BILL ANALYSIS Ó
------------------------------------------------------------
|SENATE RULES COMMITTEE | SB 379|
|Office of Senate Floor Analyses | |
|1020 N Street, Suite 524 | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
------------------------------------------------------------
THIRD READING
Bill No: SB 379
Author: Fuller (R), et al.
Amended: 4/25/11
Vote: 21
SENATE ENERGY, UTIL. & COMM. COMMITTEE : 11-0, 4/5/11
AYES: Padilla, Fuller, Berryhill, Corbett, De León,
DeSaulnier, Pavley,
Rubio, Simitian, Strickland, Wright
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
SUBJECT : Telecommunications policies
SOURCE : Californias Independent Telecommunications
Companies
DIGEST : This bill declares that the states
telecommunications policies include continuing universal
service rate support for telephone corporations subject to
rate of return regulation by the California Public
Utilities Commission (CPUC) for the purpose of providing
rural areas of the state with access to telecommunications
service.
ANALYSIS : Existing law:
1. Requires the CPUC to establish and maintain universal
service programs to ensure that affordable telephone
service is available in rural, high-cost areas of the
CONTINUED
SB 379
Page
2
state, including the California High Cost Fund A
program, which sunsets on January 1, 2013.
2. Declares the policies for telecommunications in
California which include continuing our universal
service commitment by ensuring the
continued affordability and widespread availability of
high-quality telecommunications services to all
Californians.
Background
Universal Service ensures the availability of high quality,
affordable telephone service for all Americans has long
been a bedrock principle of telecommunications policy
nationwide and in California. The goal is to keep rates
affordable in rural, sparsely populated areas with rough
terrain where the cost of providing service is high.
Keeping as many people as possible connected to the
telecommunications network increases the value of the
network for all subscribers.
California has two programs to promote universal service in
rural, high-cost areas, one for each of the two major
groups of providers of traditional landline telephone
service.
1. Includes the four large local exchange carriers (AT&T,
Verizon, Frontier and SureWest).
2. Includes the 14 small independent telephone companies
that serve mostly rural areas.
Comments
The author's office states that this bill is intended to
affirm the state's commitment to supporting rural
Californians' access to affordable, up-to-date
telecommunications services.
Related Legislation . SB 3 (Padilla) extends the sunset
date of the California High Cost Fund B.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
SB 379
Page
3
Local: No
SUPPORT : (4/28/11)
California's Independent Telecommunications Companies
(Source)
Division of Ratepayer Advocates (if amended)
Frontier Communications
Regional Council of Rural Counties
RM:rm 5/3/11 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
**** END ****