Telecommunications Discounts
& Technology Funds
Support the Continuation of Telecommunications Discounts and
Technology Funding for Libraries, Schools, and Higher Education in HB 789

THE FACTS

The Public Utilities Regulatory Act of 1995 offered telecommunications companies the opportunity to elect certain options for deregulation. Part of this overall effort involved the creation of telecommunications discounts and technology funding (through the Telecommunications Infrastructure Fund assessment) for libraries, schools, and institutions of higher education.

All statutes related to the Public Utilities Code are now under review. Libraries need continued statutory support in the form of telecommunications discounts and access to funding provided through any continuation of the Telecommunications Infrastructure Fund (TIF) assessment.

Telecommunications Discounts

·  The incentive regulation program created in 1995 has dramatically helped libraries provide diverse and increasingly robust access to advanced information services.

1.  All mid-size and larger Texas libraries and educational institutions have benefited from discounted T-1 rates, especially since the published T-1 tariffs make it easy to project future costs.

2.  The discounts providing private network services at 105% or 110% of cost and the waiver of installation charges are particularly important to larger institutions that need advanced services (e.g., frame relay service to link branches to central libraries or campuses in a school district).

·  The savings realized by libraries range from the thousands of dollars to hundreds of thousands of dollars. Without these discounts, even the largest libraries would be unable to sustain their current services. Without action by the Legislature, these discounts will expire in August 2005.

Technology Funding through the TIF Assessment

·  The Telecommunications Infrastructure Fund was created as a mechanism to support the statewide deployment of advanced telecommunications services through libraries, schools, institutions of higher education, and healthcare facilities.

·  Through the TIF assessment, libraries purchased telecommunications wiring, computer hardware and software, technology training, and content, such as TexShare. Without funding for technology, libraries will be unable to keep current with the evolving state of technology, let alone expand online services for greater efficiency and benefit.

·  Beyond the need for funding of electronic content, Texas libraries still face many other challenges in their efforts to meet the continually evolving technology needs of the state. TIF support has allowed Texas libraries to better respond to these demands.

RECOMMENDED ACTION

·  Contact Rep. King’s office to support the continuation of telecommunications discounts and technology funding for libraries, schools, and institutions of higher education in HB 789. In the Senate, contact Senator Fraser.

TEXAS LIBRARY ASSOCIATION

2005 LEGISLATIVE ISSUES

www.txla.org 2/10/05


A CLOSER LOOK

Background

Libraries are central in supporting education and economic development of our state. Of particular importance, access to abundant and quality electronic information is essential to a thriving population. This access depends on the maintenance of a robust technological infrastructure and affordable telecommunications rates.

Texas libraries have effectively used TIF funding to increase public access to computer technology, training, and Internet services in rural and urban areas. Through TIF grants, libraries spurred access to digital information by expanding online services, providing additional equipment, teaching people how to use technology, and offering quality electronic resources, such as the TexShare databases.

Libraries and Telecommunications Services

The need for advanced telecommunications services in libraries is growing. The demand for Web-based economic opportunities (such as job searches and online work applications), government information, and distance learning opportunities are some of the fastest growing usage areas in libraries. In the case of distance learning, which offers courses and degrees by Texas colleges and universities, institutions must provide an online framework that meets the full breadth of educational needs for students who are sometimes hundreds of miles away.

Similarly, the K-12 educational environment is looking for ways to provide core instructional materials online (digital textbooks) and increase online instruction for students, faculty, and staff. Such activities are already being tested in pilot cases and, within the next four to six years, we expect schools to rely further on online instruction. In public libraries, video conferencing and on-demand Web training (for the public as well as for library staff) are in their infancy. Over the next few years, we expect such programs to grow, along with the already heavy demand for current broadband-dependent services. All of these scenarios necessitate robust connectivity to support the digital instructional infrastructure now being developed.