State Telecommunications Discount Program
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State Telecommunications Discount Program
Discount Program for Public Educational Institutions
The Public Utilities Commission (PUC) oversees the telecommunications discount program for libraries, schools, institutions of higher education, and hospitals that was created in 1995 as part of HB 2128 and which was extended in 2007 (through HB 735).
- The discount program specifies that telecommunications providers can recoup their full cost but limits the percentage of additional returns on certain network or broadband services for public educational institutions. Returns are set at 105% or 110% of cost, for example.
- The statutory provisions governing some of discounted rates are set to expire on January 1, 2012. See Texas Utilities Code Chapters 57, 58, and 59.
- The discount program remains an essential component of the state’s information and telecommunications infrastructure.
Without the discount program, many eligible institutions would be unable to meet their current level of service.
- Without direct legislative action in the 82nd Session, some of the discounts will end.
The Texas Library Association urges the continuation of the full discount program and that any provisions that expire in January 1, 2012 be continued for another 12 years.
Telecom Survey
In order to better assess the use of the discounts, we invite all school, public, and academic libraries to complete a survey designed to gather data about the use and saving of the discount program.
Texas Telecom Discount Survey (PDF version): contains instructions and the questions that need to be answered.
PUC Sunset Process
The PUC is currently undergoing Sunset Review. The Sunset Commission staff has recommended a change in the reporting requirement for contracts.
- The Sunset staff report recommends that the reporting requirement be changed so that telecommunications providers do not have to submit regular reports on the contracts for private network with eligible institutions. Instead, providers would only be required to submit reports when an inquiry or issue is raised.
- Unfortunately, requests for data about the discount program are extremely difficult to successfully negotiate through the PUC at this time.
- We believe it is important to simplify this process over the long-term so that it is easy to track the use of the discount program.
The Texas Library Association recommends that the PUC should develop a clear and simple procedure by which inquires and requests for information can be submitted and addressed. The process should be Web-accessible.
