1.1                          A bill for an act 
  1.2             relating to state government; modifying the provision 
  1.3             of telecommunications and information services by the 
  1.4             commissioner of administration; amending Minnesota 
  1.5             Statutes 2002, section 16B.465, as amended. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 2002, section 16B.465, as 
  1.8   amended by Laws 2003, chapter 130, section 12; and Laws 2003, 
  1.9   First Special Session chapter 1, article 2, sections 41 and 42, 
  1.10  is amended to read: 
  1.11     16B.465 [STATE INFORMATION INFRASTRUCTURE ENTERPRISE 
  1.12  NETWORK AND FINISHED SERVICES.] 
  1.13     Subdivision 1.  [POLICY.] (a) The state through its 
  1.14  departments and agencies shall seek ways to meet its the 
  1.15  telecommunications and information services needs of state 
  1.16  agencies in a manner that will help to promote investment and 
  1.17  growth of the private sector information infrastructure 
  1.18  throughout the state.  
  1.19     (b) The commissioner shall ensure that telecommunications 
  1.20  and information services are acquired in a manner that: 
  1.21     (1) promotes the availability of technologies with 
  1.22  statewide high-speed or advanced telecommunications capability 
  1.23  for both public and private customers in a reasonable and timely 
  1.24  fashion; 
  1.25     (2) enables the cost-effective provision of 
  2.1   telecommunications and information services to the entities 
  2.2   identified in this section state agencies; 
  2.3      (3) uses standards-based open, interoperable networks to 
  2.4   the extent practicable and associated protocols and processes; 
  2.5      (4) promotes ensures fair and open competition in the 
  2.6   delivery of telecommunications and information services; 
  2.7      (5) promotes economic development; 
  2.8      (6) allows effective state information infrastructure 
  2.9   enterprise network management, responsiveness, and fault 
  2.10  protection; 
  2.11     (6) (7) provides enterprise networkwide security and 
  2.12  confidentiality as appropriate for promoting public safety, 
  2.13  health, and welfare; and 
  2.14     (7) (8) meets performance standards that are reasonable and 
  2.15  necessary.  
  2.16     (c) The state may purchase, own, or lease customer premises 
  2.17  equipment.  Customer premises equipment consists of terminal and 
  2.18  associated equipment and inside wire located at an end user's 
  2.19  premises and connected with communication channels at the point 
  2.20  established in a building or a complex to separate customer 
  2.21  equipment from the network.  Customer premises equipment also 
  2.22  includes, but is not limited to, communications devices eligible 
  2.23  for distribution to communications impaired persons under 
  2.24  section 237.51, subdivision 1. 
  2.25     (d) This section does not prohibit the commissioner or 
  2.26  other governmental entity from owning, leasing, operating, and 
  2.27  staffing a network operation center that allows the commissioner 
  2.28  to test, troubleshoot, and maintain network operations.  
  2.29     Subd. 1a.  [CREATION STATE ENTERPRISE NETWORK.] Except as 
  2.30  provided in subdivision 4, (a) The commissioner, through the 
  2.31  state information infrastructure, shall design, plan, arrange 
  2.32  for the, provision of, and manage a core state enterprise 
  2.33  network that meets the voice, data, video, and other 
  2.34  telecommunications transmission and information services to 
  2.35  demands of state agencies and those entities defined in 
  2.36  subdivision 3, paragraph (b).  The commissioner shall establish 
  3.1   and publish a central services gateway architecture to the state 
  3.2   enterprise network, along with necessary protocols and processes 
  3.3   that will enable private sector vendors to interconnect the 
  3.4   networks of their customers, as described in subdivision 3, 
  3.5   paragraph (b), with agencies on a nondiscriminatory basis at 
  3.6   fair and reasonable rates.  The state information infrastructure 
  3.7   may also serve educational institutions, including public 
  3.8   schools as defined in section 120A.05, subdivisions 9, 11, 13, 
  3.9   and 17, nonpublic, church or religious organization schools that 
  3.10  provide instruction in compliance with sections 120A.22, 
  3.11  120A.24, and 120A.41, and private colleges; public corporations; 
  3.12  Indian tribal governments; state political subdivisions; and 
  3.13  public noncommercial educational television broadcast stations 
  3.14  as defined in section 129D.12, subdivision 2.  It The state 
  3.15  enterprise network is not a telephone company for purposes of 
  3.16  chapter 237.  The commissioner may purchase, own, or lease any 
  3.17  telecommunications network facilities or equipment after first 
  3.18  seeking bids or proposals and having determined that the private 
  3.19  sector cannot, will not, or is unable to provide these services, 
  3.20  facilities, or equipment as bid or proposed in a reasonable or 
  3.21  timely fashion consistent with policy set forth in this 
  3.22  section.  The commissioner shall not resell or sublease any 
  3.23  services or facilities to nonpublic entities except to serve 
  3.24  private schools and colleges.  The commissioner has the 
  3.25  responsibility for planning, development, and operations of the 
  3.26  state information infrastructure in order to provide 
  3.27  cost-effective telecommunications transmission services to state 
  3.28  information infrastructure users consistent with the policy set 
  3.29  forth in this section. 
  3.30     (b) The commissioner may purchase, own, or lease customer 
  3.31  premises equipment.  Customer premises equipment consists of 
  3.32  terminal and associated equipment and inside wire located on 
  3.33  agency's premises and connected with communication channels at 
  3.34  the point established in a building or a complex to separate 
  3.35  customer equipment from the enterprise network.  Customer 
  3.36  premise equipment also includes, but is not limited to, 
  4.1   communications devices eligible for distribution to 
  4.2   communications-impaired persons under section 237.51, 
  4.3   subdivision 1. 
  4.4      (c) This section does not prohibit the commissioner or 
  4.5   other governmental entity from owning, leasing, operating, and 
  4.6   staffing a network operation center that allows the commissioner 
  4.7   to test, troubleshoot, and maintain the enterprise network 
  4.8   operations. 
  4.9      Subd. 3.  [DUTIES FINISHED SERVICES.] (a) Subject to 
  4.10  subdivision 4a, the commissioner shall: 
  4.11     (1) consult, design, plan, arrange for, provision, or 
  4.12  manage the voice, data, video, and other 
  4.13  telecommunications transmission and information services to of 
  4.14  the state and to political subdivisions through an account in 
  4.15  the intertechnologies revolving fund agencies; 
  4.16     (2) assist the entities defined in paragraph (b) to 
  4.17  interconnect their respective networks with the core state 
  4.18  enterprise network consistent with subdivision 1, paragraph (a); 
  4.19     (3) manage vendor relationships, enterprise network 
  4.20  function, and capacity planning in order to be responsive to the 
  4.21  needs of the state information infrastructure users 
  4.22  agencies; and 
  4.23     (3) set rates and fees for services; 
  4.24     (4) approve contracts for services, facilities, or 
  4.25  equipment relating to the system; 
  4.26     (5) develop a system plan and the annual program and fiscal 
  4.27  plans for the system; and 
  4.28     (6) in consultation with the commissioner of education in 
  4.29  regard to schools, assist state agencies, political subdivisions 
  4.30  of the state, and higher education institutions, including 
  4.31  private colleges and public and private schools, to identify 
  4.32  their telecommunication needs, and develop plans for 
  4.33  interoperability of the network consistent with the policies in 
  4.34  subdivision 1, paragraphs (a) and (b).  When requested, the 
  4.35  commissioner may also assist in identifying, purchasing, or 
  4.36  leasing their customer premises equipment. 
  5.1      (4) establish fair and reasonable reimbursement rates in 
  5.2   cooperation with the commissioner of finance to be billed to all 
  5.3   agencies sufficient to cover the operating, maintenance, and 
  5.4   administrative costs associated with the state enterprise 
  5.5   network and finished services provided. 
  5.6      (b) The commissioner may purchase, own, or lease any 
  5.7   telecommunications network facilities or equipment after first 
  5.8   seeking bids or proposals and having determined that the private 
  5.9   sector cannot, will not, or is unable to provide these services, 
  5.10  facilities, or equipment as bid or proposed in a reasonable and 
  5.11  timely fashion consistent with the policy set forth in this 
  5.12  section.  The commissioner shall not consult, design, plan, 
  5.13  arrange for, provision, or manage the voice, data, video, and 
  5.14  information services for educational institutions, including 
  5.15  public schools as defined in section 120A.05, subdivisions 9, 
  5.16  11, 13, and 17; nonpublic, church, or religious organization 
  5.17  schools that provide instruction in compliance with sections 
  5.18  120A.22, 120A.24, and 120A.41; private colleges; public 
  5.19  corporations; Indian tribal governments; state political 
  5.20  subdivisions; and public noncommercial educational television 
  5.21  broadcast stations as defined in section 129D.12. 
  5.22     (c) The commissioner must conclude any agreement or 
  5.23  contract for consulting, design, planning, arranging for, 
  5.24  provisioning, or managing the voice, data, video, and 
  5.25  information services between the state and an entity defined in 
  5.26  paragraph (b) in effect as of March 1, 2004, at the first 
  5.27  available termination date.  If, after a request for proposal, 
  5.28  no private entity can serve a public school as defined in 
  5.29  section 120A.05, subdivisions 9, 11, 13, and 17, at a price 
  5.30  comparable to the price offered by the commissioner, the school 
  5.31  may continue receiving service from the commissioner until 
  5.32  January 1, 2007, when the school must issue another request for 
  5.33  proposal. 
  5.34     Subd. 4.  [PROGRAM PARTICIPATION.] The commissioner may 
  5.35  require the participation of state agencies and the commissioner 
  5.36  of education, and may request the participation of the Board of 
  6.1   Regents of the University of Minnesota and the Board of Trustees 
  6.2   of the Minnesota State Colleges and Universities, in the 
  6.3   planning and implementation of the network to provide 
  6.4   interconnective technologies.  The Board of Trustees of the 
  6.5   Minnesota State Colleges and Universities may opt out of 
  6.6   participation as a subscriber on the network, in whole or in 
  6.7   part, if the board is able to secure telecommunications services 
  6.8   from another source that ensures it will achieve the policy 
  6.9   objectives set forth in subdivision 1.  
  6.10     Subd. 4a.  [ALTERNATIVE ECONOMIC DEVELOPMENT AGGREGATION.] 
  6.11  The commissioner may, but is not required to, approve shall 
  6.12  require state agencies to participate in community-based 
  6.13  aggregation of demand for telecommunications and information 
  6.14  services for state agencies, including Minnesota State Colleges 
  6.15  and Universities together with those entities described in 
  6.16  subdivision 3, paragraph (b), and the private sector whenever 
  6.17  reasonable economic benefits are anticipated to result from such 
  6.18  aggregation.  To be considered a community-based aggregation 
  6.19  project In such cases: 
  6.20     (1) the project must aggregate telecommunications demands 
  6.21  of state agencies with that of the private sector in a community 
  6.22  or a group of communities in a geographic region to the extent 
  6.23  permitted by law; and (a) The commissioner shall recuse himself 
  6.24  or herself from the duties described in subdivision 3, paragraph 
  6.25  (a), and shall cooperate with qualified private sector vendors 
  6.26  to accomplish the greatest economic development benefits 
  6.27  possible for the community. 
  6.28     (2) (b) The aggregation must result in the provision of 
  6.29  telecommunications infrastructure improvements and information 
  6.30  services that ensure the policy set forth in subdivision 1, 
  6.31  paragraphs (a) and (b). 
  6.32     Subd. 4b.  [RATES.] (a) The commissioner shall establish 
  6.33  reimbursement rates in cooperation with the commissioner of 
  6.34  finance to be billed to participating agencies and educational 
  6.35  institutions sufficient to cover the operating, maintenance, and 
  6.36  administrative costs of the system. 
  7.1      (b) Except as otherwise provided in subdivision 4, a direct 
  7.2   appropriation made to an educational institution for usage costs 
  7.3   associated with the state information infrastructure must only 
  7.4   be used by the educational institution for payment of usage 
  7.5   costs of the network as billed by the commissioner of 
  7.6   administration.  
  7.7      Subd. 6.  [APPROPRIATION.] Money appropriated for the state 
  7.8   information infrastructure enterprise network and fees for 
  7.9   telecommunications finished services must be deposited in an 
  7.10  account in the intertechnologies office of technology fund.  
  7.11  Money in the account is appropriated annually to the 
  7.12  commissioner to carry out the purposes of this section. 
  7.13     Subd. 7.  [EXEMPTION.] The system is exempt from the 
  7.14  five-year limitation on contracts set by sections 16C.05, 
  7.15  subdivision 2, paragraph (b), 16C.08, subdivision 3, clause (5), 
  7.16  and 16C.09, clause (6).