Ind. Code ch. 4-4-38.5

Ind. Code ch. 4-4-38.5
in effect

Ind. Code § 4-4-38.5-1 Applicability

Sec. 1. (a) This chapter applies to grants awarded from the fund after July 31, 2019. (b) This chapter does not apply to subgrants awarded by the Indiana broadband office under the federal Broadband Equity, Access, and Deployment Program established under 47 U.S.C. 1702(b). As added by P.L.189-2019, SEC.7. Amended by P.L.86-2024, SEC.1.

Ind. Code § 4-4-38.5-1.6 "Challenge"

Sec. 1.6. As used in this chapter, "challenge" means notice that: (1) is provided to the office by an eligible broadband service provider under the process established by the office under section 8.5 of this chapter; and (2) asserts that minimum broadband Internet is already deployed at a specific address with respect to which another eligible broadband service provider has submitted a letter of intent under the process established by the office under section 8.5 of this chapter. As added by P.L.121-2021, SEC.1.

Ind. Code § 4-4-38.5-1.7 "Deployed"

Sec. 1.7. As used in this chapter, "deployed" means, with respect to the availability of minimum broadband Internet at a location, that an eligible broadband service provider: (1) currently has minimum broadband Internet at the location; or (2) could provide minimum broadband Internet to a customer that requests minimum broadband Internet at the location: (A) not later than ten (10) days after the customer requests minimum broadband Internet at the location; and (B) without: (i) an extraordinary commitment of resources; or (ii) construction charges or fees exceeding an ordinary service activation fee. Minimum broadband Internet is considered to be deployed at a location regardless of whether any person or entity subscribes to minimum broadband Internet at the location. As added by P.L.121-2021, SEC.2.

Ind. Code § 4-4-38.5-2 "Eligible broadband project"

Sec. 2. (a) As used in this chapter, "eligible broadband project" means a project for the deployment of terrestrial broadband infrastructure for the provision of eligible broadband service, regardless of the delivery technology: (1) to buildings used by public school corporations primarily for educating students, as described in section 9(b)(1) of this chapter; (2) to rural health clinics, as described in section 9(b)(2) of this chapter; (3) to ensure that eligible students have access points providing a connection to eligible broadband service, as described in section 9(b)(3) of this chapter; or (4) in rural areas in Indiana, as described in section 9(b)(4) of this chapter. (b) For purposes of this section, terrestrial broadband infrastructure includes infrastructure used for a fixed wireless connection to the Internet but does not include infrastructure used for a satellite connection to the Internet. As added by P.L.189-2019, SEC.7. Amended by P.L.89-2021, SEC.1.

Ind. Code § 4-4-38.5-3 "Eligible broadband service"

Sec. 3. As used in this chapter, "eligible broadband service" means a connection to the Internet that provides an actual speed of at least: (1) one thousand (1,000) megabits per second downstream with respect to grants awarded under section 9(b)(1) or 9(b)(2) of this chapter; or (2) one hundred (100) megabits per second downstream and at least twenty (20) megabits per second upstream with respect to grants awarded under section 9(b)(3) or 9(b)(4) of this chapter; regardless of the technology or medium used to provide the connection. As added by P.L.189-2019, SEC.7. Amended by P.L.89-2021, SEC.2; P.L.236-2023, SEC.1.

Ind. Code § 4-4-38.5-4 "Eligible broadband service provider"

Sec. 4. As used in this chapter, "eligible broadband service provider" means any company, firm, corporation, partnership, or association that: (1) either: (A) has been providing broadband service to at least one hundred (100) residences and businesses in Indiana for at least three (3) consecutive years; or (B) is: (i) a corporation organized under IC 8-1-13; or (ii) a corporation organized under IC 23-17 that is an electric cooperative and that has at least one (1) member that is a corporation organized under IC 8-1-13; and (2) has demonstrated, to the satisfaction of the office: (A) financial; (B) technical; and (C) operational; capability in building and operating a broadband network, according to standards for determining such capability in guidelines adopted by the office under section 10 of this chapter. As added by P.L.189-2019, SEC.7.

Ind. Code § 4-4-38.5-4.5 "Eligible student"

Sec. 4.5. As used in this chapter, "eligible student" means a student who is: (1) a resident of Indiana; (2) less than twenty-three (23) years of age; and (3) enrolled in a school in Indiana providing any combination of kindergarten through grade 12 instruction. As added by P.L.89-2021, SEC.3.

Ind. Code § 4-4-38.5-5 "Fund"

Sec. 5. As used in this chapter, "fund" refers to the rural broadband fund established by section 11 of this chapter. As added by P.L.189-2019, SEC.7.

Ind. Code § 4-4-38.5-5.6 "Minimum broadband Internet"

Sec. 5.6. As used in this chapter, "minimum broadband Internet" means a terrestrial connection to the Internet that provides an actual speed of at least one hundred (100) megabits per second downstream and at least twenty (20) megabits per second upstream, regardless of the technology or medium used to provide the connection. As added by P.L.121-2021, SEC.3. Amended by P.L.236-2023, SEC.2.

Ind. Code § 4-4-38.5-6 "Office"

Sec. 6. As used in this chapter, "office" refers to the office of community and rural affairs established by IC 4-4-9.7-4. As added by P.L.189-2019, SEC.7.

Ind. Code § 4-4-38.5-6.2 "Public school corporation"

Sec. 6.2. As used in this chapter, "public school corporation" means either of the following: (1) A local public school corporation established under Indiana law, including a: (A) school city; (B) school town; (C) metropolitan school district; (D) consolidated school corporation; (E) county school corporation; (F) community school corporation; and (G) united school corporation. (2) A charter school (as defined in IC 20-24-1-4). As added by P.L.89-2021, SEC.4.

Ind. Code § 4-4-38.5-7 "Rural area"

Sec. 7. As used in this chapter, "rural area" means: (1) an unincorporated area; or (2) a small municipality, as defined by the office in guidelines adopted under section 10 of this chapter; in Indiana. As added by P.L.189-2019, SEC.7.

Ind. Code § 4-4-38.5-7.1 "Rural health clinic"

Sec. 7.1. (a) As used in this chapter, "rural health clinic" means a building that is: (1) located in a rural area; (2) owned or operated by a health care entity (as defined in IC 25-26-14-6); and (3) used primarily to provide diagnostic, medical, surgical, dental, or rehabilitative care. (b) The term does not include a pharmacy or wholesale drug distributor. As added by P.L.89-2021, SEC.5.

Ind. Code § 4-4-38.5-8 "State agency"

Sec. 8. As used in this chapter, "state agency" means an authority, a board, a branch, a commission, a committee, a department, a division, or another instrumentality of the executive, including the administrative, department of state government. As added by P.L.189-2019, SEC.7.

Ind. Code § 4-4-38.5-8.5 Challenge process

Sec. 8.5. (a) The office shall establish a process to be used before each formal request for the submission of grant applications by the office under this chapter. The process established by the office under this section must do the following: (1) Invite any prospective grant applicant to submit a letter of intent identifying all addresses and census blocks that the applicant intends to include in an application filed as part of the immediately forthcoming request for the submission of grant applications by the office. (2) Provide that the office will make all addresses and census blocks submitted in letters of intent under subdivision (1) publicly available for a period of time, to be determined by the office, during which eligible broadband service providers will have the opportunity to challenge a listed address or census block. (3) Provide that upon receiving a challenge from an eligible broadband service provider under subdivision (2), the office will: (A) review all information received from the eligible broadband service provider and determine whether minimum broadband Internet: (i) is deployed; or (ii) will be deployed within eighteen (18) months; to the challenged address or census block; and (B) determine whether the eligible broadband service provider's challenge is valid or invalid based on the office's review under clause (A). (4) Provide that if the office finds a challenge to an address or a census block to be invalid under subdivision (3), the office will do the following: (A) Provide to all eligible broadband service providers that challenged the address or census block timely written notice that: (i) indicates the office has determined the challenge to be invalid; and (ii) sets forth the reasons for the office's determination with such specificity as will enable each eligible broadband service provider that challenged the address or census block to review each reason and provide additional information to the office to support the eligible broadband service provider's challenge. (B) Allow an eligible broadband service provider that receives notice under clause (A) a period of time, to be determined by the office, to provide further information to the office to support the eligible broadband service provider's challenge. (C) Find an eligible broadband service provider's challenge valid if the office determines, based on additional information submitted under clause (B), that minimum broadband Internet: (i) is deployed; or (ii) will be deployed within eighteen (18) months; to the challenged address or census block. (5) Provide that after the completion of the challenge process described in subdivisions (2) through (4), the office will notify prospective grant applicants that submitted a letter of intent under subdivision (1) of the census blocks and addresses that were not the subject of a valid challenge under subdivisions (2) through (4). (b) Upon issuing a request for the submission of grant applications under this chapter, the office shall publish the results of the challenge process established under subsection (a). (c) The process established by the office under this section with respect to: (1) letters of intent; and (2) challenges; by prospective grant applicants must precede and remain distinct from the procedures set forth in section 9(g) of the chapter with respect to actual grant applications. As added by P.L.121-2021, SEC.4.

Ind. Code § 4-4-38.5-9 Grants for eligible broadband projects; funding priorities; grant eligibility; preferred projects; publication of grant applications and receipt of comments, objections, and counter proposals

Sec. 9. (a) The office shall establish procedures for the awarding of grants from the fund after July 31, 2019, by state agencies to eligible broadband service providers for eligible broadband projects. (b) The procedures established under this section must establish the following priorities for the awarding of grants under this chapter: (1) First, extending the deployment of eligible broadband service (as defined in section 3(1) of this chapter) to any building: (A) that is used by a public school corporation primarily for educating students; and (B) with respect to which the only available connections to the Internet are at actual speeds of less than one thousand (1,000) megabits per second downstream. (2) Second, extending the deployment of eligible broadband service (as defined in section 3(1) of this chapter) to any rural health clinic with respect to which the only available connections to the Internet are at actual speeds of less than one thousand (1,000) megabits per second downstream. (3) Third, extending the deployment of eligible broadband service (as defined in section 3(2) of this chapter) so as to ensure that every eligible student has at the student's primary Indiana residence an access point that provides a connection to the Internet at actual speeds of at least the speed set forth in section 3(2) of this chapter. (4) Fourth, extending the deployment of eligible broadband service (as defined in section 3(2) of this chapter) to rural areas in which the only available connections to the Internet are at actual speeds of less than one hundred (100) megabits per second downstream. (5) Projects: (A) described in subdivision (2) shall not be funded before projects described in subdivision (1); (B) described in subdivision (3) shall not be funded before projects described in subdivision (1) or (2); and (C) described in subdivision (4) shall not be funded before projects described in subdivision (1), (2), or (3). However, a state agency may fund an eligible broadband project that is designated as a lower priority under this subsection if no competitive applications for eligible broadband projects designated as a higher priority under this subsection are submitted with respect to any particular round of grant funding under this chapter. (c) Except for a project described in subsection (b)(1) or (b)(2), the procedures established under this section may not permit the awarding of a grant from the fund for any proposed broadband project to deploy broadband infrastructure to a specific address for which a connection to the Internet that provides an actual speed of at least one hundred (100) megabits per second downstream is available. (d) The procedures established under this section may not permit the office to award a grant from the fund: (1) for any project to extend the deployment of eligible broadband service to one (1) or more service addresses with respect to which funding from the federal government has been used or will be disbursed to extend broadband service at actual speeds of at least one hundred (100) megabits per second downstream to those same addresses; or (2) if the awarding of the grant would jeopardize funding that has been awarded by the federal government for purposes of expanding broadband service in Indiana, including funding from the: (A) Connect America Fund; (B) Rural Digital Opportunity Fund; (C) Broadband Technology Opportunities Program; or (D) State Broadband Initiative; or from any other similar federal funding program. (e) The procedures established under this section must establish a system of priorities for awarding grants under this chapter, weighted as determined by the office in guidelines adopted under section 10 of this chapter, that gives preference to eligible broadband projects that meet the following criteria: (1) Projects that will provide eligible broadband service to unincorporated areas in Indiana. (2) Projects for which the applicant commits to providing more than fifty percent (50%) of the cost to deploy the proposed broadband infrastructure. (3) Projects that require a lower contribution from the fund per passing, as determined by calculating: (A) the amount of the grant to be awarded under this chapter; divided by (B) the total number of unserved homes and unserved businesses at which eligible broadband service will be made available by completion of the eligible broadband project. (4) Projects that permit the applicant to use existing facilities or infrastructure to enable the applicant to offer eligible broadband service to buildings or locations described in subsection (b). (f) The procedures established under this section must prohibit a state agency, in awarding any grant from the fund, from discriminating between different types of technology used to provide eligible broadband service in connection with proposed eligible broadband projects. (g) The procedures established under this section must, subject to section 14 of this chapter, require the office to publish on the office's website all grant applications, including the specific addresses for which state funds would be used to provide eligible broadband service, received by the office under this chapter. For each grant application received, the office shall establish a period of at least thirty (30) days from the date the application is published on the office's website under this subsection, during which time the office will accept comments or objections concerning the application. The office shall consider, in making a determination as to whether to award a grant to an applicant under this chapter, all comments or objections received under this subsection, including any new grant application that: (1) is submitted by another eligible broadband service provider; and (2) indicates that such other eligible broadband service provider would be willing to provide eligible broadband service to the same addresses included in the posted application at a lower cost to the state. Any new grant application submitted by another eligible broadband service provider under subdivisions (1) and (2) in response to a grant application published on the office's website must be submitted to the office within the time frame established by the office under this subsection for the submission of comments and objections with respect to the published grant application. The office shall publish any new grant applications submitted under subdivisions (1) and (2) on the office's website and shall notify the original grant applicant of the publication. However, the submission of one (1) or more new grant applications under subdivisions (1) and (2) does not trigger a new comment period under this subsection with respect to those new applications. Any amended grant application by the original applicant in response to any new grant application under subdivisions (1) and (2) must be submitted within a time frame that is established by the office and that commences with the publication of the new application on the office's website. The office is not required to allow the submission of new applications in response to any amended application by the original broadband service provider. As added by P.L.189-2019, SEC.7. Amended by P.L.89-2021, SEC.6; P.L.236-2023, SEC.3.

Ind. Code § 4-4-38.5-10 Office to adopt guidelines; collaboration with state agencies and political subdivisions

Sec. 10. (a) The office shall adopt guidelines to implement this chapter, including guidelines governing the following: (1) The form and content of requests to provide eligible broadband service in connection with an eligible broadband project. (2) The form and content of applications for grants under this chapter. (3) A competitive bidding process or a process for requests for proposals for eligible broadband projects. (4) Standards for determining whether a broadband service provider has demonstrated: (A) financial; (B) technical; and (C) operational; capability in building and operating a broadband network, as necessary to qualify as an eligible broadband service provider for purposes of this chapter. (5) Standards establishing population parameters or another appropriate metric for defining a community that qualifies as a small municipality for purposes of section 7(2) of this chapter. (6) Standards for determining the types and categories of expenses that are: (A) directly related to an eligible broadband project; and (B) eligible to receive funding under this chapter. (7) Standards for assigning weight to the funding priorities set forth in section 9(e) of this chapter. (b) In adopting the guidelines described in subsection (a) or in otherwise administering this chapter, the office may collaborate with other state agencies or with political subdivisions of the state. As added by P.L.189-2019, SEC.7. Amended by P.L.89-2021, SEC.7.

Ind. Code § 4-4-38.5-11 Rural broadband fund

Sec. 11. (a) The rural broadband fund is established for the purpose of: (1) awarding grants under: (A) this chapter after July 31, 2019; and (B) IC 4-4-38 before August 1, 2019; (2) providing financial assistance under the program established by the office under section 10.5 of this chapter for expenses described in section 10.5(b) of this chapter incurred before July 1, 2025; (3) providing funding for the creation and annual maintenance of the public broadband portal created and administered by the office under IC 4-4-41-8; and (4) awarding grants under the Indiana broadband connectivity program under IC 4-4-41. (b) The office shall administer the fund. (c) The fund consists of: (1) money appropriated by the general assembly; (2) money received by the office from federal grants or programs for broadband infrastructure, other than money received by the state under the federal Broadband Equity, Access, and Deployment Program established under 47 U.S.C. 1702(b); and (3) donations, gifts, and money received from any other source, including transfers from other funds or accounts. (d) The treasurer of state shall invest the money in the fund not currently needed to meet the obligations of the fund in the same manner as other public funds may be invested. (e) Money in the fund at the end of a state fiscal year does not revert to the state general fund but remains in the fund to be used exclusively for the purposes of this chapter and IC 4-4-38. As added by P.L.189-2019, SEC.7. Amended by P.L.89-2021, SEC.9; P.L.137-2021, SEC.16; P.L.158-2021, SEC.1; P.L.86-2024, SEC.2.

Ind. Code § 4-4-38.5-12 Awarding of grants after July 31, 2019; limitation on transfer of assets; grant agreement required; funds conditioned on project completion

Sec. 12. (a) After July 31, 2019, a state agency may award grants under this chapter from the fund to eligible broadband service providers for eligible broadband projects, in accordance with: (1) the procedures established by the office under section 9 of this chapter; and (2) the guidelines adopted by the office under section 10 of this chapter. (b) Once funds have been released from the fund in accordance with this chapter, all authority and ownership of the eligible broadband infrastructure vests with the eligible broadband service provider that built the infrastructure. The office may not allow for the transfer of eligible broadband assets paid for with funds under this chapter to any entity other than an eligible broadband service provider. (c) The office shall sign a grant agreement with an eligible broadband service provider awarded a grant under this chapter for an eligible broadband project. A grant agreement required under this subsection must: (1) outline a start date and end date for completion of the eligible broadband project; and (2) condition the release of any grant funds awarded under this chapter on the progressive completion of the eligible broadband project. As added by P.L.189-2019, SEC.7.

Ind. Code § 4-4-38.5-13 Broadband grant goals and assessment metrics; annual report to interim study committee on energy, utilities, and telecommunications; annual audit by state board of accounts

Sec. 13. (a) The office shall establish and publish on the office's website: (1) specific, measurable goals; and (2) metrics to be used in assessing the progress made toward accomplishing those goals; for the disbursement of state broadband grant funds. (b) Beginning in 2020, not later than August 1 of each year, the office shall submit to the interim study committee on energy, utilities, and telecommunications established by IC 2-5-1.3-4(8) a report on the awarding of grants under this chapter during the most recent state fiscal year, including the following: (1) The number, amounts, and recipients of grants awarded under this chapter, along with the state agency awarding each grant. (2) The status of any funded eligible broadband projects. (3) Expenses incurred and funds spent by the office in administering this chapter. (4) A list of the entities, if any, that the office collaborated with in administering this chapter. (5) An accounting of money in the fund, including funds awarded as grants under this chapter. (6) The number of: (A) school corporation buildings described in section 9(b)(1) of this chapter; (B) rural health clinics described in section 9(b)(2) of this chapter; (C) access points described in section 9(b)(3) of this chapter; and (D) locations in rural areas described in section 9(b)(4) of this chapter; to which broadband infrastructure has been deployed with the use of grant funds under this chapter, including address-level information for newly connected locations. (7) The overall progress of the deployment of broadband infrastructure for the provision of eligible broadband service: (A) to school corporation buildings, as described in section 9(b)(1) of this chapter; (B) to rural health clinics, as described in section 9(b)(2) of this chapter; (C) so as to ensure that eligible students have access points providing a connection to eligible broadband service, as described in section 9(b)(3) of this chapter; and (D) in rural areas in Indiana, as described in section 9(b)(4) of this chapter. A report to the interim study committee on energy, utilities, and telecommunications under this subsection must be in an electronic format under IC 5-14-6. (c) Every year, beginning in 2021, the state board of accounts shall conduct an audit of the awarding of grants under: (1) IC 4-4-38; and (2) this chapter; as appropriate, during the most recent state fiscal year. A report of an audit conducted under this subsection shall be submitted to the interim study committee on energy, utilities, and telecommunications established by IC 2-5-1.3-4(8) in an electronic format under IC 5-14-6 not later than September 1 of the calendar year that includes the end of the state fiscal year covered by the audit. As added by P.L.189-2019, SEC.7. Amended by P.L.89-2021, SEC.10; P.L.1-2025, SEC.11.

Ind. Code § 4-4-38.5-14 Confidential or proprietary business information; nondisclosure

Sec. 14. The office, and any state agency or any political subdivision with which the office cooperates or consults in administering this chapter: (1) shall not disclose information designated as confidential or proprietary business information by a grant applicant or recipient; and (2) shall execute appropriate nondisclosure agreements to prevent the disclosure of confidential or proprietary business information in connection with grants awarded under this chapter. As added by P.L.189-2019, SEC.7.
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://iga.in.gov/laws/2026/ic/titles/4Fetched: 10/17/2026

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