BILL ANALYSIS
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|SENATE RULES COMMITTEE | AB 855|
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THIRD READING
Bill No: AB 855
Author: Firebaugh (D), et al
Amended: 9/11/03 in Senate
Vote: 21
SENATE GOVERNMENTAL ORG. COMMITTEE : 8-1, 7/1/03
AYES: Vincent, Cedillo, Chesbro, Dunn, Karnette, Morrow,
Murray, Soto
NOES: Brulte
NO VOTE RECORDED: Johnson, Battin, Brulte, Machado
SENATE ENERGY, U.&C. COMMITTEE : 6-0, 7/8/03
AYES: Bowen, Alarcon, Dunn, McClintock, Murray,
Vasconcellos
NO VOTE RECORDED: Morrow, Battin, Sher
SENATE APPROPRIATIONS COMMITTEE : 7-4, 8/29/03
AYES: Alpert, Bowen, Burton, Escutia, Karnette, Machado,
Murray
NOES: Aanestad, Ashburn, Johnson, Poochigian
NO VOTE RECORDED: Burton, Speier
ASSEMBLY FLOOR : 68-9, 6/5/03 - See last page for vote
SUBJECT : Telecommunications: access to state property
for wireless
facilities
SOURCE : Author
DIGEST : This bill requires that 15 percent of the
CONTINUED
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revenues derived form new leases of state-owned property to
wireless telecommunications providers be redirected from
the General Fund to a separate account, administered by the
State Public Utilities Commission for the purpose of
funding a "Digital Divide" grant program, as specified.
ANALYSIS : Current law directs the State Department of
General Services (DGS) to negotiate access to non-highway
state-owned property.
Current regulation has created the California Teleconnect
Fund, a program administered by the State Public Utilities
Commission (PUC) to provide discounts on telecommunications
service to schools, libraries, health care institutions,
and qualifying community-based organizations.
This bill directs the Director of the DGS to, within 120
days, compile and maintain an inventory of state-owned
property that it manages, excluding state-owned highway
rights-of-way, that may be available for lease to providers
of cellular phone service for location of
telecommunications facilities. The director shall provide
a requesting party, upon payment of any applicable fee,
with a copy of the inventory.
This bill authorizes the director to negotiate and enter
into agreements to lease state-owned real property to any
provider of cellular phone service for location of its
facilities. The lease shall provide for a fair market
value to be paid to the state, designate a lease term
acceptable to the director, provide for use of the
facilities by any appropriate state agency if feasible, and
facilitate agreements among cellular companies for
co-location of their facilities.
This bill sets aside 15 percent of the revenue from new
leases, excluding leases on State Department of
Transportation property, for the purpose of addressing the
digital divide issue, subject to appropriation by the
Legislature. These revenues shall be deposited in the
Digital Divide Account, which is a subaccount of the
existing California Teleconnect Fund Administrative
Committee Fund, to provide grants to non-profit
community-based organizations for the purpose of providing
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training in technology, developing content, job training,
and accessing e-government services. This program may not
be implemented until $500,000 has accumulated in the
Digital Divide Account.
This bill requires the PUC to develop, implement, and
administer a program to advance universal service by
providing discount rates to qualifying schools, libraries,
hospitals, health clinics, and community organizations,
consistent with existing law.
The bill requires the PUC to report to the Legislature and
Governor on an annual basis on the effectiveness of the
program.
Prior/Related Legislation
AB 468 (Firebaugh), 2001-02 Session . A similar bill that
passed the Senate Floor with a vote of 30-0 on 9/31/02 and
ultimately vetoed by the Governor. In his veto message,
Governor Davis expressed concern over (1) exempting from
local land use review the location of telecommunications
facilities, and (2) the transfer of revenues from the
General Fund given the state's fiscal situation.
AB 1150 (Firebaugh), 2001-02 Session . Also a similar bill
that died in the Assembly Appropriations Committee.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
Fiscal Impact (in thousands)
Major Provisions 2003-04 2004-05
2005-06 Fund
DGS inventory list Unknown costs, probably not
substantial General
Lease revenues/ Unknown loss of revenues to the
General General/
Digital Divide Fund, potentially $14 in 2003-04
and Special*
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program increasing to $154 by 2008-09,
redirected
to grant program
PUC Digital Divide Unknown, potentially $100-$200 annually
Unknown
*California Teleconnect Fund Administrative Committee Fund
SUPPORT : (Verified 9/3/03)
AT&T Wireless
California Community Technology Policy Group
The Children's Partnership
Cingular Wireless
CompuMentor
Crescent Park Multi-Cultural Family Resource Center
New Directions, Inc.
Nextel Communications
Richmond District Neighborhood Center
San Diego Community Technology Coalition
Sprint
T-Mobile USA, Inc.
Verizon Wireless
Western Addition Community Technology Center
Women's Building (San Francisco, Ca)
Youth Opportunities Unlimited Inc.
OPPOSITION : (Verified 9/3/03)
City of Fountain Valley
Town of Apple Valley
State Department of Finance
ARGUMENTS IN SUPPORT : According to the author's office,
this measure is intended to provide wireless
telecommunications providers the ability to locate cellular
towers on state-owned property and generate additional
revenue for "digital divide" projects in under-served
communities throughout the state. The author's office
maintains that making state property available for such
leases will help expedite the deployment of wireless
communication service and minimize the aesthetic impact of
these facilities. The author's office also points out that
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this measure has been carefully drafted to address the
concerns raised by the Governor in his veto of AB 468 of
the previous legislative session.
Proponents emphasize that this bill will:
1.Help increase use of excess state property by the
wireless industry and generate new revenue for the state.
2.Help streamline the manner in which the wireless industry
obtains state property leases.
3.Help increase the service quality and capacity of the
wireless industry throughout the state which can be
critical in times of disaster or emergency situations.
4.Help ensure that all Californians have access to state
resources such as e-government kiosks and computer
centers and help enhance the academic performance of
school children.
ARGUMENTS IN OPPOSITION : Opponents argue that this bill
will provide them with little input relative to the
approval process of telecommunications facilities and open
the door to significant local aesthetic impacts.
According to the State Department of Finance, in light of
the state's current fiscal situation, they are opposed to
this bill. DGS already compiles and maintains an inventory
of state property, and is authorized to lease property for
the purposes stated in this bill. The Governor vetoed a
substantially bill, AB 468 (Firebaugh) of the 2001-02
Session, indicating that as the state faces continuing
fiscal pressures, he was "unwilling to create this new
account at the expense of the General Fund."
ASSEMBLY FLOOR :
AYES: Aghazarian, Berg, Bermudez, Bogh, Calderon,
Canciamilla, Chan, Chavez, Chu, Cohn, Corbett, Correa,
Cox, Diaz, Dutra, Dutton, Dymally, Firebaugh, Frommer,
Garcia, Goldberg, Hancock, Harman, Jerome Horton, Shirley
Horton, Houston, Keene, Kehoe, Koretz, Laird, Leno,
Levine, Lieber, Liu, Longville, Lowenthal, Maddox,
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Maldonado, Matthews, Maze, McCarthy, Montanez, Mullin,
Nakano, Nation, Negrete McLeod, Nunez, Oropeza, Pacheco,
Parra, Pavley, Plescia, Reyes, Richman, Ridley-Thomas,
Runner, Salinas, Samuelian, Simitian, Spitzer, Steinberg,
Strickland, Vargas, Wiggins, Wolk, Wyland, Yee, Wesson
NOES: Bates, Benoit, Campbell, Daucher, Haynes, La Malfa,
La Suer, Leslie, Mountjoy
TSM:cm 9/12/03 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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