BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | AB 1549|
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THIRD READING
Bill No: AB 1549
Author: Wood (D)
Amended: 8/19/16 in Senate
Vote: 21
SENATE TRANS. & HOUSING COMMITTEE: 10-0, 6/14/16
AYES: Beall, Cannella, Allen, Bates, Gaines, Galgiani, Leyva,
McGuire, Mendoza, Roth
NO VOTE RECORDED: Wieckowski
SENATE APPROPRIATIONS COMMITTEE: 7-0, 8/11/16
AYES: Lara, Bates, Beall, Hill, McGuire, Mendoza, Nielsen
ASSEMBLY FLOOR: 78-0, 1/27/16 (Consent) - See last page for
vote
SUBJECT: Department of Transportation: state highway
rights-of-way: broadband: fiber optic cables
SOURCE: Author
DIGEST: This bill requires the Department of Transportation
(Caltrans) to encourage collaborative broadband installations by
noticing when they are planning projects which are suitable for
the installation of broadband conduit and developing guidelines
to facilitate the installation of broadband conduit by broadband
providers on state highway rights-of-way.
Senate Floor Amendments of 8/19/16 delete the requirement that
Caltrans maintain an inventory of broadband conduit; delete the
requirement that Caltrans install conduit on specified projects;
AB 1549
Page 2
and require that Caltrans develop guidelines by January 1, 2018,
to facilitate the installation of broadband conduit on state
highway rights-of-way. These guidelines shall address access to
information on existing assets and collaboration on future
projects. Guidelines shall address access to information on
existing assets and collaboration on future projects.
ANALYSIS:
Existing law:
1)Creates the California Broadband Task Force, as set forth in a
2006 Governor's Executive Order (S-23-06), to facilitate
widespread deployment of state-of-the-art telecommunications
technology. The Executive Order specifically requires, in
part:
a) The Business, Transportation, and Housing Agency (BTH)
to establish a database of current and prospective projects
for deploying broadband. The database is to be available
for use by broadband providers, state entities, and
municipalities.
b) State agencies to place broadband conduit in their
infrastructure projects for use by multiple government
entities and broadband providers.
c) State agencies to expedite permitting for broadband
providers' requests for access to rights-of-way.
2)Authorizes, generally, Caltrans to lease to public agencies or
private entities the use of areas above or below state
highways, subject to any reservations, restrictions, and
conditions that the department deems necessary to ensure
adequate protection of the safety and the adequacy of highway
facilities.
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Page 3
3)Establishes the California Broadband Council to promote
broadband deployment throughout the state and, to that end,
improve coordination among state agencies.
This bill requires Caltrans to:
1)Provide notice on its Web site when it is planning highway
construction projects which are suitable for broadband conduit
installation.
2)Develop guidelines by January 1, 2018, to facilitate the
installation of broadband conduit on state highway
rights-of-way. These guidelines shall address access to
information on existing assets and collaboration on future
projects.
Comments
1)Purpose. The United States compares poorly to other nations
in the speed, quality, and cost of broadband service [Federal
Communications Commission: International Broadband Data
Report, August 13, 2012]. California is no different. That's
largely because public policy is caught in the middle. It has
not supported a single regulated broadband provider who would
benefit from the economies of scope and scale, as is the case
in other countries. And the competition that public policy
has encouraged has been too weak to result in high-quality,
high-speed service at reasonable rates. This problem is of
course worse in rural areas where potential customers are much
less densely located than in urban and suburban areas.
2)Not for lack of effort. Inadequate and costly broadband
service has been a longstanding problem for which California
has implemented many potential solutions. One of the most
significant efforts resulted from a 2006 Executive Order from
Governor Schwarzenegger. That order required the then-BTH to
encourage public/private broadband partnerships, required all
state agencies to place broadband conduit in their
infrastructure projects if there is sufficient demand, and
created the California Broadband Task Force.
The Task Force recommended that:
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Page 4
a) High-speed broadband infrastructure be built out to all
Californians.
b) Model permitting standards are developed and
collaboration among broadband providers be encouraged.
c) Use and adoption of broadband and computer technology be
increased.
This bill redoubles the broadband build-out effort. The
fundamental assumption in the bill is that landline broadband
infrastructure deployment can be done more quickly and
inexpensively when done in conjunction with Caltrans
construction projects. This may well be true, and was one of
the bases for the 2006 Executive Order.
As a result of the 2006 Executive Order, Caltrans created a
program to notify telecommunications providers of projects in
which they could install their fiber optic facilities during
the Caltrans construction process. No provider participated
in any projects and consequently Caltrans decided to
discontinue the program in 2014. That program was limited to
telecommunications companies licensed by the California Public
Utilities Commission. Caltrans has an existing program for
collaboration with companies that want to use their facilities
for wireless broadband purposes. This bill deals with
wireline broadband.
1)When? This bill calls for Caltrans to notify broadband
companies during the planning phase of construction projects
that run parallel to the highway. The idea is that freeways
provide convenient, and sometimes the only, physical
connection between population centers, so as Caltrans is
fixing the road between city A and city B, other companies and
organizations should be permitted to install their conduit and
fiber optic cables in the trench for a fee, thereby sharing
costs.
FISCAL EFFECT: Appropriation: No Fiscal
Com.:YesLocal: No
According to the Senate Appropriations Committee (as amended on
August 19, 2016):
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Minor and absorbable costs for Caltrans to notify broadband
companies of specified projects on its website and to
establish a stakeholder process for collaborating on broadband
conduit installations within Caltrans rights-of-way.
SUPPORT: (Verified 8/22/16)
California Association of Competitive Telecommunications
Companies
California Center for Rural Policy
Corporation for Education Network Initiatives in California
Humboldt County Board of Supervisors
Marin County Board of Supervisors
Placer County Board of Supervisors
Praxis Associates
Redwood Region Economic Development Commission
Rural County Representatives of California
Tellus Venture Associates
OPPOSITION: (Verified8/22/16)
None received
ASSEMBLY FLOOR: 78-0, 1/27/16
AYES: Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom,
Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang,
Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle,
Daly, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina
Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez,
Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden,
Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Linder,
Lopez, Low, Maienschein, Mayes, McCarty, Medina, Melendez,
Mullin, Nazarian, Obernolte, O'Donnell, Olsen, Patterson,
Quirk, Rendon, Ridley-Thomas, Rodriguez, Salas, Santiago,
Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber,
Wilk, Williams, Wood, Atkins
NO VOTE RECORDED: Mathis
AB 1549
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Prepared by:Randy Chinn / T. & H. / (916) 651-4121
8/22/16 22:40:07
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