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2023 SESSION

23101619D
SENATE BILL NO. 1029
Offered January 11, 2023
Prefiled January 8, 2023
A BILL to amend and reenact § 56-1 of the Code of Virginia and to amend the Code of Virginia by adding a section numbered 56-16.3, relating to public utilities; fiber optic broadband lines crossing railroads.
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Patrons-- Stanley, Hackworth, Hanger, Peake, Ruff, Spruill and Vogel; Delegates: Kory and Simonds
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Referred to Committee on Commerce and Labor
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Be it enacted by the General Assembly of Virginia:

1. That § 56-1 of the Code of Virginia is amended and reenacted and that the Code of Virginia is amended by adding a section numbered 56-16.3 as follows:

§ 56-1. Definitions.

Whenever used in this title, unless the context requires a different meaning:

"Broadband connection," for purposes of this section, means a connection where transmission speeds exceed 200 kilobits per second in at least one direction.

"Broadband service provider" means an entity that provides broadband service through the utilization of a fiber optic broadband line and that has obtained all governmental approvals required for the provision of broadband service.

"Commission" means the State Corporation Commission.

"Corporation" or "company" includes all corporations created by acts of the General Assembly of Virginia, or under the general incorporation laws of this Commonwealth, or doing business therein, and shall exclude all municipal corporations, other political subdivisions, and public institutions owned or controlled by the Commonwealth.

"Electric vehicle charging service" means the replenishment of the battery of a plug-in electric motor vehicle, which replenishment occurs by plugging the motor vehicle into an electric power source in order to charge or recharge its battery.

"Fiber optic broadband line" means a cable consisting of one or more thin flexible fibers with a glass core through which light signals can transmit data as pulses.

"Interexchange telephone service" means telephone service between points in two or more exchanges that is not classified as local exchange telephone service. "Interexchange telephone service" shall not include Voice-over-Internet protocol service for purposes of regulation by the Commission, including the imposition of certification processing fees and other administrative requirements, and the filing or approval of tariffs. Nothing herein shall be construed to either mandate or prohibit the payment of switched network access rates or other intercarrier compensation, if any, related to Voice-over-Internet protocol service.

"Local exchange telephone service" means telephone service provided in a geographical area established for the administration of communication services and consists of one or more central offices together with associated facilities which are used in providing local exchange service. Local exchange service, as opposed to interexchange service, consists of telecommunications between points within an exchange or between exchanges which are within an area where customers may call at specified rates and charges. "Local exchange telephone service" shall not include Voice-over-Internet protocol service for purposes of regulation by the Commission, including the imposition of certification processing fees and other administrative requirements, and the filing or approval of tariffs. Nothing herein shall be construed to either mandate or prohibit the payment of switched network access rates or other intercarrier compensation, if any, related to Voice-over-Internet protocol service.

"Mail" includes electronic mail and other forms of electronic communication when the customer has requested or authorized electronic bill delivery or other electronic communications.

"Municipality" or "municipal corporation" shall include an authority created by a governmental unit exempt from the referendum requirement of § 15.2-5403.

"Person" includes individuals, partnerships, limited liability companies, and corporations.

"Plug-in electric motor vehicle" means an on-road motor vehicle that draws propulsion using a traction battery that has at least four kilowatt hours of capacity, uses an external source of electric energy to charge or recharge the battery, has a gross vehicle weight of not more than 14,000 pounds, and meets any applicable emissions standards.

"Public service corporation" or "public service company" includes gas, pipeline, electric light, heat, power and water supply companies, sewer companies, telephone companies, and all persons authorized to transport passengers or property as a common carrier. "Public service corporation" or "public service company" shall not include (i) a municipal corporation, other political subdivision or public institution owned or controlled by the Commonwealth; however, if such an entity has obtained a certificate to provide services pursuant to § 56-265.4:4, then such entity shall be deemed to be a public service corporation or public service company and subject to the authority of the Commission with respect only to its provision of the services it is authorized to provide pursuant to such certificate; or (ii) any company described in subdivision (b)(10) of § 56-265.1.

"Railroad" includes all railroad or railway lines, whether operated by steam, electricity, or other motive power, except when otherwise specifically designated.

"Railroad company" includes any company, trustee or other person owning, leasing or operating a railroad.

"Rate" means rate charged for any service rendered or to be rendered.

"Rate," "charge" and "regulation" include joint rates, joint charges and joint regulations, respectively.

"Regulated operating revenue" includes only revenue from services not found to be competitive.

"Standard cumulative crossing fee" means a one-time payment, in lieu of any license fees, to reimburse the railroad company for any and all direct and indirect expenses incurred by the railroad company as a result of the construction of a fiber optic broadband line.

"Transportation company" includes any railroad company, any company transporting express by railroad, and any ship or boat company.

"Virginia limited liability company" has the same meaning ascribed to "limited liability company" in § 13.1-1002. A foreign limited liability company, as that term is defined in § 13.1-1002, may become a Virginia limited liability company, even though also being a limited liability company organized under laws other than the laws of the Commonwealth, by filing articles of organization that meet the requirements of §§ 13.1-1003 and 13.1-1011 and include (i) the name of the foreign limited liability company immediately prior to the filing of the articles of organization; (ii) the date on which and the jurisdiction in which the foreign limited liability company was first formed, organized, created or otherwise came into being; and (iii) the jurisdiction that constituted the seat, siege social, or principal place of business or central administration of the foreign limited liability company, or any equivalent thereto under applicable law, immediately prior to the filing of the articles of organization. With respect to a foreign limited liability company that is also organized as a Virginia limited liability company, the terms and conditions of its organization as a Virginia limited liability company shall be approved in the manner provided for by the document, instrument, agreement or other writing, as the case may be, governing the internal affairs of the foreign limited liability company in the conduct of its business or by applicable law other than the law of the Commonwealth, as appropriate.

"Voice-over-Internet protocol service" or "VoIP service" means any service that: (i) enables real-time, two-way voice communications that originate or terminate from the user's location using Internet protocol or any successor protocol and (ii) uses a broadband connection from the user's location. This definition includes any such service that permits users generally to receive calls that originate on the public switched telephone network and to terminate calls to the public switched telephone network.

56-16.3. Fiber optic broadband lines crossing railroads.

A. Notwithstanding any other provision of law and in accordance with this section, a broadband service provider, in the construction of its works, may cross the works of a railroad company if such crossing is located, constructed, and operated so as not to impair, impede, or obstruct, in any material degree, the works and operations of the railroad to be crossed; is supported by permanent and proper structures and fixtures; and is controlled by customary and approved appliances, methods, and regulations to prevent damage to the works of the railroad and ensure the safety of its passengers.

B. The broadband service provider shall give the railroad company written notice of the provider's desire to cross the works of such railroad company at least 30 days before the desired crossing date. If the broadband service provider desires to cross at a location where an electric transmission line crossing already exists, then the broadband service provider shall be required to give notice 15 days before the desired crossing date. The written notice shall include documentation of the location of the crossing, the railroad right-of-way, and the railroad company's tracks, wires, and other improvements that the fiber optic broadband line will cross.

C. The broadband service provider shall be responsible for all aspects of the implementation of the physical crossing, including flagging operations, constructing necessary infrastructure, and running the fiber optic broadband line.

D. The cost of such crossings shall be borne by the broadband service provider. A broadband service provider that locates its fiber optic broadband line within a railroad right-of-way shall pay the railroad company for the right to make a crossing of the railroad company's works a standard cumulative crossing fee of $750 for each crossing unless otherwise agreed to by the broadband service provider and the railroad company. The broadband service provider shall pay the railroad company the standard cumulative fee when it gives the railroad company the notice required by subsection B.

E. If the railroad company asserts that the crossing will cause undue hardship on the railroad company or create the imminent likelihood of danger to public health or safety, then the railroad company may petition the Commission for relief within 15 days from the date the broadband service provider provided notice of the intended crossing. Within 30 days from the date of such notice, the Commission, in its discretion, may, by notice served upon both parties, suspend work on such crossing for a reasonable time, not to exceed 60 days. The Commission may make any necessary findings of fact and determinations related to the existence of undue hardship on the railroad company or the imminent likelihood of danger to public health or safety, as well as any relief to be granted, including any amount to which the railroad company is entitled in excess of the one-time standard cumulative crossing fee prescribed in subsection D. The Commission shall (i) examine the location, plans, specifications, and descriptions of appliances and the methods proposed to be employed; (ii) hear any objections and consider any modifications that the railroad company desires to offer; and (iii) within such time as the Commission may determine, reject, approve, or modify such plans and specifications. A determination of the Commission shall be considered a final action that may be appealed as provided in § 12.1-40. The Commission may, in its discretion, employ expert engineers, to be paid equally by both companies, at a cost not exceeding $500, to advise it during such proceedings. If no notice of suspension of the work on such crossing by the Commission is received by the broadband service provider within the applicable notice period, then the broadband service provider may proceed with the construction and operation of the crossing as specified in the notice of intended crossing.

F. If the broadband service provider gives notice to the railroad company to cross a section of track that has been legally abandoned pursuant to an order of a federal or state agency having jurisdiction over the track and is not being used for railroad service, then the railroad company shall notify the broadband service provider that the specified section of track is legally abandoned within 30 days of such notice. If the specified section of track has been legally abandoned, then the railroad company shall not have the opportunity to petition the Commission as described in subsection E, and the broadband service provider shall not be subject to the standard cumulative crossing fee.