Amended in Assembly January 6, 2014

California Legislature—2013–14 Regular Session

Assembly Bill No. 876

Introduced by Assembly Member Bonta

February 22, 2013

An act to begin insert amend Section 280 of, and to end insert add begin delete Section end delete begin insert Sections end insert 280.1 begin insert and 280.2 end insert to begin insert , end insert the Public Utilities Code, relating to telecommunications.

LEGISLATIVE COUNSEL’S DIGEST

AB 876, as amended, Bonta. Telecommunications: California Teleconnect Fund Administrative Committee Fund.

Existing law requires the Public Utilities Commission to develop and implement a program funded by the California Teleconnect Fund Administrative Committee Fund to advance universal service by providing begin delete discount end delete begin insert discounted end insert rates to qualifying begin delete schools, end delete begin insert end insert begin insert schools maintaining kindergarten or any of grades 1 to 12, inclusive, end insert community colleges, libraries, hospitals, health clinics, and community organizations.

begin insert

This bill would specify that discounted rates are available to qualifying schools maintaining preschools and transitional kindergartens. The bill would require the commission to develop and implement an outreach plan to preschools and transitional kindergartens to increase awareness of services available to these schools under the program described above.

end insert

This bill would require the commission to revise the program described above to give priority for advanced begin delete high-quality communication end delete begin insert telecommunication end insert services begin delete over legacy communication services. The bill would require the commission to open a new proceeding or amend an existing proceeding to determine whether the rates charged to qualifying schools receiving financial support from the program are comparable to the rates charged to for-profit entities for comparable communication services. end delete begin insert as the commission deems appropriate. The bill would require the commission to ensure that the program described above does not favor a particular technology used to provide advanced telecommunications end insert begin insert services to qualifying entities. end insert The bill would require the commission to begin delete establish, maintain, and make available to the public end delete begin insert establish and maintain end insert a database of communication services purchased by qualifying entities receiving financial support from the program begin insert and the prices paid for those communication services end insert begin insert . The bill would require the commission to allow qualifying entities to access the database and to make only average price information from the database available to the public. The bill would require the commission to open a new proceeding or amend an existing proceeding to revise the definition of advanced telecommunication services to include the needs of personalized digital learning in schools and libraries end insert .

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

begin insert

begin insert SECTION 1. end insert   

end insert

begin insert Section 280 of the end insert begin insert Public Utilities Code end insert begin insert is
amended to read: end insert

280.  

(a) The commission shall develop, implement, and
administer a program to advance universal service by providing
discounted rates to qualifying schools maintaining begin insert preschool,
transitional kindergarten, end insert 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
begin insert preschool, transitional kindergarten, end insert 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.

begin insert

begin insert SEC. 2. end insert   

end insert

begin insert Section 280.1 is added to the end insert begin insert Public Utilities Code end insert begin insert , to
read: end insert

begin insert

begin insert 280.1. end insert   

The commission shall develop and implement an
outreach plan to preschools and transitional kindergartens to
increase awareness of services available to these schools under
the program developed pursuant to Section 280.

end insert

begin delete SECTION 1. end delete
begin insert SEC. 3. end insert   

Section begin delete 280.1 end delete begin insert 280.2 end insert is added to the Public Utilities
Code, to read:

begin delete

280.1.  

(a) The commission shall open a new proceeding or
amend an existing proceeding to determine whether the rates
charged to qualifying schools receiving financial support from the
program developed pursuant to Section 280 are comparable to
rates charged to for-profit entities for comparable communication
services.

(b)

end delete

begin insert

begin insert 280.2. end insert   

end insert

begin insert ( end insert begin insert a) end insert  The commission shall establish and maintain a
database of communication services purchased by qualifying
entities receiving financial support from the program developed
pursuant to Section 280 begin delete to end delete begin insert and the prices paid for those
communications services. The commission shall end insert allow qualifying
entities begin insert to access the database in order end insert to collaborate and allow
for the use of common infrastructure to reduce begin delete costs, and end delete begin insert costs.
The commission shall only end insert make begin insert average price information from end insert
the database available to the public on the commission’s Internet
Web site. begin insert The database shall exclude communications services
purchased by qualifying entities who are residential customers
and any information prohibited from being publicly disclosed by
law. end insert

begin delete

(c)

end delete

begin insert ( end insert begin insert b) end insert  The commission shall revise the program developed pursuant
to Section 280 to give priority to using moneys in the California
Teleconnect Fund Administrative Committee Fund for advanced
begin delete high-quality communications end delete begin insert telecommunications end insert services begin delete over
legacy communication services end delete begin insert as the commission deems
appropriate end insert . begin insert The commission shall ensure that the program
developed pursuant to Section 280 does not favor a particular
technology used to provide advanced telecommunications services
to qualifying entities. end insert

begin insert

(c) The commission shall open a new proceeding or amend an
existing proceeding to revise the definition of advanced
telecommunications services to include the needs of personalized
digital learning in schools and libraries.

end insert