BILL ANALYSIS
AB 870
Page 1
Date of Hearing: May 16, 2001
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Carole Migden, Chairwoman
AB 870 (Wesson) - As Amended: April 19, 2001
Policy Committee:
UtilitiesVote:17-0
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill:
1)Prohibits, effective July 2002, the use of automatic calling
devices, which are capable of sequentially or randomly calling
telephone numbers, from making telephone connections where no
person or prerecorded message is available for the person
called.
2)Authorizes the PUC to require persons operating the automatic
dialing devices to maintain records of such connections.
3)Authorizes the PUC to establish, by July 2002, an acceptable
error rate for connections made in violation of this measure.
FISCAL EFFECT
1)Minor absorbable special fund costs to the PUC to establish
the error rate and maintain records.
2)Potential absorbable costs, offset by fine revenue, to the PUC
and/or the Attorney General for enforcement.
COMMENTS
1)Purpose . According to the author, this bill seeks to address
a growing problem in the telemarketing field relating to the
use of predictive dialers, in which a computer dials phone
numbers from a database while telemarketers converse with
potential customers. Predictive dialers reach more people
than telemarketers actually speak with in order to reduce
AB 870
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telemarketer down time. Sometimes the connection is made and
the telemarketer is not yet available, so when an individual
answers the telephone, there is no one on the other end. This
bill prohibits this effective July 2, 2001, unless it is
within an acceptable error rate that the PUC may establish by
that time.
2)Prior Legislation . Last year, AB 2721 (Wesson), which
included the provisions of this bill, failed on the Senate
floor. AB 2721 also included a provision regulating the use
of automatic dialing-announcing devices, which is not in AB
870.
Analysis Prepared by : Chuck Nicol / APPR. / (916)319-2081