(a) Purpose. The provisions of this section establish
the administration of the Texas Universal Service Fund (TUSF).
(b) Programs included in the TUSF.
(1) Section 26.403 of this title (relating to the Texas
High Cost Universal Service Plan (THCUSP));
(2) Section 26.404 of this title (relating to the Small
and Rural Incumbent Local Exchange Company (ILEC) Universal Service
Plan);
(3) Section 26.406 of this title (relating to the Implementation
of the Public Utility Regulatory Act §56.025);
(4) Section 26.408 of this title (relating to Additional
Financial Assistance (AFA));
(5) Section 26.410 of this title (relating to Universal
Service Fund Reimbursement for Certain IntraLATA Service);
(6) Section 26.412 of this title (relating to Lifeline
Service Program);
(7) Section 26.414 of this title (relating to Telecommunications
Relay Service (TRS));
(8) Section 26.415 of this title (relating to Specialized
Telecommunications Assistance Program (STAP));
(9) Section 26.417 of this title (relating to Designation
as Eligible Telecommunications Providers to Receive Texas Universal
Service Funds (TUSF));
(10) Section 26.418 of this title (relating to Designation
of Common Carriers as Eligible Telecommunications Carriers to Receive
Federal Universal Service Funds);
(11) Section 26.420 of this title (relating to Administration
of Texas Universal Service Fund (TUSF));
(12) Section 26.421 of this title (relating to Designation
of Eligible Telecommunications Providers to Provide Service to Uncertificated
Areas);
(13) Section 26.422 of this title (relating to Subsequent
petitions for Service to Uncertificated Areas);
(14) Section 26.423 of this title (relating to High
Cost Universal Service Plan for Uncertificated Areas Where an Eligible
Telecommunications Provider Volunteers to Provide Basic Local Telecommunications
Service); and
(15) Section 26.424 of this title (relating to Audio
Newspaper Assistance Program).
(c) Responsibilities of the commission. The commission
is the official governing agency for the TUSF, but may delegate the
ministerial functions of TUSF administration to another entity (the
TUSF administrator) through contractual agreement.
(1) Monitoring, and supervising TUSF administration.
The commission reserves the exclusive power to revise rules related
to the operation and administration of the TUSF and to monitor and
supervise such operation and administration.
(2) Annual audit. The commission annually shall provide
for an audit of the TUSF by an independent auditor. The costs of the
audit are costs of the commission that are incurred in administering
the TUSF, and therefore shall be reimbursed from the TUSF.
(3) Inquiry into administration of the TUSF. The commission
may, upon its own motion, upon the petition of the commission staff
or the Office of Public Utility Counsel, initiate an inquiry into
any aspect of the administration of the TUSF. Any other party may
initiate a complaint proceeding pursuant to the commission's procedural
rules.
(4) Selection of the TUSF administrator.
(A) The commission shall have the sole discretion in
the selection of the TUSF administrator. The selection of the TUSF
administrator shall be based on a competitive bidding process.
(B) The TUSF administrator must meet the technical
qualifications as provided in subsection (d)(1) of this section as
well as other requirements as determined by the commission.
(5) Contract term of the TUSF administrator. The commission
shall determine the duration of the TUSF administrator's contract.
Prior to expiration of the contract term, the commission may discharge
the TUSF administrator of its duties upon 60-days written notice.
(6) Audit STAP voucher payments and expenditures. The
commission shall audit voucher payments and other expenditures made
under the STAP program.
(d) TUSF administrator. The TUSF administrator serves
at the discretion of the commission.
(1) Technical requirements of the TUSF administrator.
The TUSF administrator shall:
(A) be neutral and impartial, not advocate specific
positions to the commission in proceedings not related to the administration
of the universal service support mechanisms, and not have a direct
financial interest in the universal service support mechanisms established
by the commission;
(B) possess demonstrated technical capabilities, competence,
and resources to perform the duties of the TUSF administrator as described
in this section; and
(C) be bonded or bondable.
(2) Duties of the TUSF administrator. The TUSF administrator
will administer the TUSF in accordance with the rules set forth in
this section and in accordance with the guidelines established by
the commission in its contract with the TUSF administrator. The TUSF
administrator's general duties shall include, but not be limited to:
(A) managing the daily operations and affairs of the
TUSF in an efficient, fair and competitively neutral manner;
(B) taking steps necessary to ensure that all eligible
telecommunications providers (ETPs) are in compliance with the relevant
sections of this title under which they are receiving universal service
support;
(C) calculating and collecting the proper assessment
amount from every telecommunications provider and verifying that all
telecommunications providers are in compliance with the Public Utility
Regulatory Act §56.022;
(D) disbursing the proper support amounts, ensuring
that only eligible recipients receive funds, and verifying that all
recipients are in compliance with the section or sections of this
title under which they are eligible to receive support;
(E) taking steps necessary, including audits, to ensure
that all telecommunications providers that are subject to the TUSF
assessment are accurately reporting required information;
(F) taking steps necessary, including audits, to ensure
that all recipients of TUSF funds are accurately reporting required
information;
(G) submitting periodic summary reports to the commission
regarding the administration of the TUSF in accordance with specifications
established by the commission;
(H) notifying the commission of any telecommunications
providers that are in violation of any of the requirements of this
section, §26.417 of this title and any reporting requirements;
and
(I) performing other duties as determined by the commission.
(e) Determination of the amount needed to fund the
TUSF.
(1) Amount needed to fund the TUSF. The amount needed
to fund the TUSF shall be composed of the following elements.
(A) Costs of TUSF programs. The TUSF administrator
shall compute and include the costs of the following TUSF programs:
(i) Texas High Cost Universal Service Plan, §26.403
of this title;
(ii) Small and Rural ILEC Universal Service Plan, §26.404
of this title;
(iii) Implementation of the Public Utility Regulatory
Act §56.025, §26.406 of this title;
(iv) Additional Financial Assistance, §26.408
of this title;
(v) Reimbursement for Certain IntraLATA Service, §26.410
of this title;
(vi) Lifeline Service Program, §26.412 of this
title;
(vii) Telecommunications Relay Service, §26.414
of this title;
(viii) Specialized Telecommunications Assistance Program
(STAP), §26.415 of this title; and
(ix) Audio Newspaper Assistance Program, §26.424
of this title.
(B) Costs of implementation and administration of the
TUSF. The TUSF implementation and administration costs shall include
appropriate costs associated with the implementation and administration
of the TUSF incurred by the commission (including the costs incurred
by the TUSF administrator on behalf of the commission), and any costs
incurred by the Texas Commission for the Deaf and Hard of Hearing
caused by its administration of the Specialized Telecommunications
Assistance Program (STAP) and the Telecommunications Relay Service
programs.
(C) Reserve for contingencies. The TUSF administrator
shall establish a reserve for such contingencies as late payments
and uncollectibles in an amount authorized by the commission.
(2) Determination of amount needed. After the initial
determination, the TUSF administrator shall determine, on a periodic
basis, the amount needed to fund the TUSF. The determined amount shall
be approved by the commission.
(f) Assessments for the TUSF.
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