BILL NUMBER: AB 1100	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 23, 2013

INTRODUCED BY   Assembly Member Levine

                        FEBRUARY 22, 2013

   An act to amend Section 280 of the Public Utilities Code, relating
to telecommunications.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1100, as amended, Levine. Telecommunications: California
Teleconnect Fund Administrative Committee Fund.
   Existing law, the federal Telecommunications Act of 1996,
establishes a program of cooperative federalism for the regulation of
telecommunications to attain the goal of local competition, while
implementing specific, predictable, and sufficient federal and state
mechanisms to preserve and advance universal service, consistent with
certain universal service principles. The universal service
principles include the principle that elementary and secondary
schools and classrooms, health care providers, and libraries should
have access to advanced telecommunications service. The act
authorizes states to adopt regulations not inconsistent with Federal
Communications Commission rules to preserve and advance universal
service. The act requires that every telecommunications carrier that
provides intrastate telecommunications services contribute, on an
equitable and nondiscriminatory basis, in a manner determined by the
state, to the preservation and advancement of universal service in
that state. The act authorizes each state to adopt regulations to
provide for additional definitions and standards to preserve and
advance universal service within the state, only to the extent that
they adopt additional specific, predictable, and sufficient
mechanisms that do not rely on or burden federal universal service
support mechanisms.
   Under existing law, the Public Utilities Commission has regulatory
authority over public utilities, including telephone corporations.
Existing law authorizes the commission to fix just and reasonable
rates and charges for public utilities. Existing law requires that
the commission develop, implement, and administer a program to
advance universal service by providing discounted rates to qualifying
schools, community colleges, libraries, hospitals, health clinics,
and community organizations (teleconnect program). Existing law
establishes the California Teleconnect Fund Administrative Committee
Fund in the State Treasury and requires the moneys in the fund, upon
appropriation, be expended only for the teleconnect program. A
commission decision establishes an annual limit on the reimbursement
provided to the California Community Colleges as part of the
teleconnect program.
   This bill would prohibit an annual limit for the reimbursement
provided to the California Community Colleges as part of the
teleconnect program.  The bill would prohibit the commission, for
a reimbursement limit adopted as part of the teleconnect program,
from discriminating among program participants by imposing a limit
  on a single class of participants. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 280 of the Public Utilities Code is amended to
read:
   280.  (a) The commission shall develop, implement, and administer
a program to advance universal service by providing discounted rates
to qualifying schools maintaining kindergarten or any of grades 1 to
12, inclusive, community colleges, libraries, hospitals, health
clinics, and community organizations, consistent with Chapter 278 of
the Statutes of 1994.
   (b) There is hereby created the California Teleconnect Fund
Administrative Committee, which is an advisory board to advise the
commission regarding the development, implementation, and
administration of a program to advance universal service by providing
discounted rates to qualifying schools maintaining kindergarten or
any of grades 1 to 12, inclusive, community colleges, libraries,
hospitals, health clinics, and community organizations, consistent
with Chapter 278 of the Statutes of 1994, and to carry out the
program pursuant to the commission's direction, control, and
approval.
   (c) All revenues collected by telephone corporations in rates
authorized by the commission to fund the program specified in
subdivision (a) shall be submitted to the commission pursuant to a
schedule established by the commission. The commission shall transfer
the moneys received to the Controller for deposit in the California
Teleconnect Fund Administrative Committee Fund. All interest earned
by moneys in the fund shall be deposited in the fund.
   (d) Moneys appropriated from the California Teleconnect Fund
Administrative Committee Fund to the commission shall be utilized
exclusively by the commission for the program specified in
subdivision (a), including all costs of the board and the commission
associated with the administration and oversight of the program and
the fund.
   (e) Moneys loaned from the California Teleconnect Fund
Administrative Committee Fund in the Budget Act of 2003 are subject
to Section 16320 of the Government Code. If the commission determines
a need for moneys in the California Teleconnect Fund Administrative
Committee Fund, the commission shall notify the Director of Finance
of the need, as specified in Section 16320 of the Government Code.
The commission may not increase the rates authorized by the
commission to fund the program specified in subdivision (b) while
moneys loaned from the California Teleconnect Fund Administrative
Committee Fund in the Budget Act of 2003 are outstanding unless both
of the following conditions are satisfied:
   (1) The Director of Finance, after making a determination pursuant
to subdivision (b) of Section 16320 of the Government Code, does not
order repayment of all or a portion of any loan from the California
Teleconnect Fund Administrative Committee Fund within 30 days of
notification by the commission of the need for the moneys.
   (2) The commission notifies the Director of Finance and the
Chairperson of the Joint Legislative Budget Committee in writing that
it intends to increase the rates authorized by the commission to
fund the program specified in subdivision (a). The notification
required pursuant to this paragraph shall be made 30 days in advance
of the intended rate increase.
   (f) Subdivision (e) shall become inoperative upon full repayment
or discharge of all moneys loaned from the California Teleconnect
Fund Administrative Committee Fund in the Budget Act of 2003.
   (g) The reimbursement for the California Community Colleges shall
not have an annual limit, as established pursuant to commission
Decision 08-06-020.  A reimbursement limit adopted by the
commission to achieve the goals of the program specified in
subdivision (a) shall not discriminate among program participants by
imposing a limit on a single class of participants.