BILL NUMBER: AB 2172	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JULY 19, 2004
	AMENDED IN SENATE  JUNE 16, 2004
	AMENDED IN SENATE  MAY 28, 2004
	AMENDED IN ASSEMBLY  MARCH 24, 2004

INTRODUCED BY   Assembly Member Levine

                        FEBRUARY 18, 2004

   An act to amend Section 14666.8 of the Government Code, to amend
Section 280.5 of the Public Utilities Code, and to amend Section 1 of
Chapter 820 of the Statutes of 2003, relating to telecommunications.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2172, as amended, Levine.  Telecommunications:  lease of state
property for wireless facilities:  Digital Opportunities Account in
the California Teleconnect Fund Administrative Committee Fund.
   Existing law requires the Director of General Services  ,
 to compile and maintain an inventory of state-owned real
property, excluding certain property, that may be available for lease
to providers of wireless telecommunications services for location of
wireless telecommunications facilities, and to provide a requesting
party, upon payment of any applicable fee, with a copy of the
inventory.  Existing law authorizes the director to negotiate and
enter into an agreement for the lease of certain department-managed
and state-owned real property to any provider of wireless
telecommunications services for location of its facilities, subject
to specified conditions.
   Existing law requires, notwithstanding any other provision of law,
that any revenue collected from a lease entered into pursuant to
these provisions to use property that was acquired with money in a
fund other than the General Fund, be deposited into the fund from
which it was obtained.  Existing law requires that moneys received
and deposited in those funds be available upon appropriation by the
Legislature notwithstanding any other provision of law.
   Existing law establishes the California Teleconnect Fund
Administrative Committee to advise the Public Utilities Commission
regarding the commission's responsibilities for the development,
implementation, and administration of a program to advance universal
telephone service by providing discounted rates to qualifying
schools, libraries, hospitals, health clinics, and community
organizations.
   Existing law establishes the California Teleconnect Fund
Administrative Committee Fund in the State Treasury  ,  and
provides that moneys in the fund, collected by telephone corporations
in utility rates authorized by the commission and deposited into the
fund, may only be expended for the purposes authorized, upon
appropriation in the annual Budget Act.  Existing law creates the
Digital Divide Account within the fund, and requires that 15% of the
revenues from fees collected from the lease of state-owned real
property to the providers of wireless telecommunication services
pursuant to the above-described provisions, with certain exceptions,
be deposited in the Digital Divide Account, to be available, upon
appropriation by the Legislature, to finance digital divide projects
through the Digital Divide Grant Program.
   This bill would respectively rename the Digital Divide Account and
the Digital Divide Grant Program  ,   as 
the Digital Opportunities Account and the Digital Opportunities Grant
Program.  The bill would require that 15% of the revenues from fees
collected from the lease of state-owned real property to the
providers of wireless telecommunication services pursuant to the
above-described provisions  , excepting a lease for location of
facilities on real property acquired with funds from the Water
Resources Development System,  be deposited into the Digital
Opportunities Account to be used for the Digital Opportunities Grant
Program.  The bill would require that 85% of the revenues from fees
from a lease agreement to access property  , excepting a lease
for location of facilities on real property acquired with funds from
the Water Resources Development System,  be deposited into that
fund.   The bill would provide that all revenues from a lease for
locating facilities on property acquired with funds from the Water
Resources Development System be deposited into the appropriate State
Water Resources Development Bond fund.  The bill would require the
written approval of the Department of Water Resources for the
director to enter into a lease agreement to lease real property that
is part of the State Water Resources Development System to a provider
of wireless telecommunications services. The bill would require the
written approval of the Reclamation Board for the director to enter
into a lease agreement to lease real property that is part of the
Sacramento River and San Joaquin River flood control system to a
provider of wireless telecommunications services. The bill would
require the director to charge an application fee sufficient to
reimburse the Department of Water Resources and the Reclamation Board
for their costs for review and analysis of proposed encroachments
that are incurred pursuant to a request of a provider of wireless
telecommunications services.   The bill would require the
commission to consult with the California Teleconnect Fund
Administrative Committee in providing grants and establishing
criteria for the distribution of funds under the Digital
Opportunities Grant Program.  The bill would authorize the commission
to use moneys in the California Teleconnect Fund Administrative
Committee Fund to administer the grant program.
   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 14666.8 of the Government Code is amended to
read:
   14666.8.  (a) The director shall, within 120 days of the operative
date of this section, compile and maintain an inventory of
state-owned real property that may be available for lease to
providers of wireless telecommunications services for location of
wireless telecommunications facilities.  This inventory shall be the
state's sole inventory of state-owned real property available for
this purpose.  The term "state-owned real property," as used in this
section, excludes property owned or managed by the Department of
Transportation and property subject to Section 7901 of the Public
Utilities Code.
   (b) The director shall provide, in a cost-effective manner, upon
payment of any applicable fee, a requesting party a copy of the
inventory.
   (c) On behalf of the state, the director may negotiate and enter
into an agreement to lease department-managed and state-owned real
property to any provider of wireless telecommunications services for
location of its facilities.   The director may only negotiate and
enter into an agreement to lease real property to a provider of
wireless telecommunications services for location of facilities on
real property that is a part of the State Water Resources Development
System, with the written approval of the Department of Water
Resources.  The director may only negotiate and enter into an
agreement to lease real property to a provider of wireless
telecommunications services for location of facilities on real
property that is a part of the Sacramento River and San Joaquin River
flood control system, with the written approval of the Reclamation
Board.  The director shall charge an application fee sufficient to
reimburse the Department of Water Resources and the Reclamation Board
for their costs for review and analysis of proposed encroachments
that are incurred pursuant to a request of a provider of wireless
telecommunications services.   A lease for this purpose shall do
all of the following:
   (1) Provide for fair market value to be paid by the provider of
wireless telecommunications service to the state to the extent
permitted under existing state law.
   (2) Designate a lease term that is acceptable to the director and
the state agency that has control over the property. The duration of
the initial lease term for any wireless facility may not exceed 10
years, and the lease may provide for a negotiated number of renewal
terms, not to exceed five years for each term.
   (3) Provide for the use of the wireless provider's facilities
located on the state-owned real property by any appropriate state
agency if technically, legally, aesthetically, and economically
feasible.
   (4) Facilitate, to the greatest extent possible, agreements among
providers of wireless telecommunications services for colocation of
their facilities on state-owned real property.
   (d) Nothing in this section alters any existing rights of
telegraph or telephone corporations pursuant to Section 7901 of the
Public Utilities Code.
   (e) Notwithstanding any other provision of law, 85 percent of any
revenue collected from a lease entered into pursuant to this section,
including a special fund established pursuant to Chapter 2
(commencing with Section 16346),  but excluding a lease on real
property that is a part of the State Water Resources Development
System,  shall be deposited into the fund from which the money
was obtained.  Fifteen percent of any revenue collected from a lease
entered into pursuant to this section  , excluding any revenues
from a lease on real property that is a part of the State Water
Resources Development System,  shall be deposited into the
Digital Opportunities Account in the California Teleconnect Fund
Administrative Committee Fund, to be used for digital opportunity
projects pursuant to Section 280.5 of the Public Utilities Code.
 If a wireless telecommunications facility or other facility is
sited on real property acquired with funds from the Water Resources
Development System, all revenue generated from any lease or other
real property transaction shall be deposited into the appropriate
State Water Resources Development Bond fund. 
  SEC. 2.  Section 280.5 of the Public Utilities Code is amended to
read:
   280.5.  (a) The Digital Opportunities Account is hereby
established in the California Teleconnect Fund Administrative
Committee Fund established pursuant to Section 270, to be used only
for digital opportunities pilot projects.  Not more than 5 percent of
the revenues in this account, may be used to pay the costs incurred
in connection with the administration of digital opportunities pilot
projects by the commission.
   (b) (1) The Digital Opportunities Grant Program is hereby
established subject to the availability of funding pursuant to this
section.  The commission may not implement the grant program until
the commission projects that at least five hundred thousand dollars
($500,000) will be available in the Digital Opportunities Account
during the calendar year following implementation, based on money
collected pursuant to Section 14666.8 of the Government Code.
   (2) The commission shall, in consultation with the California
Teleconnect Fund Administrative Committee, provide grants pursuant to
this subdivision on a competitive basis subject to criteria to be
established by the California Teleconnect Fund Administrative
Committee and the commission and in a way that disburses the funds
widely, including urban and rural areas. Grants shall be awarded to
nonprofit community technology programs, as defined in Section 884,
for the purpose of funding community technology programs in
underserved communities.
   (3) Recipients of grants pursuant to this subdivision shall report
to the commission annually on the effectiveness of the grant
program.
   (4) The commission shall report to the Legislature and the
Governor annually on the effectiveness of the program administered
pursuant to this subdivision.
   (5) The commission may use moneys from the California Teleconnect
Fund Administrative Committee Fund to administer the grant program.
Any revenues used from this fund for administration shall count
against the 5-percent limitation in subdivision (a).
   (c) For purposes of this section, "community technology programs"
means a program that is engaged in diffusing technology in local
communities and training local communities in the use of technology,
especially local communities that otherwise would have no access or
limited access to the Internet and other technologies.  
   (e)  
   (d)  For purposes of this section, "digital opportunities
projects" means community technology programs involved in activities
that include, but are not limited to, the following:
   (1) Providing open access to and opportunities for training in
technology.
   (2) Developing content that is available through the Internet and
is relevant to the interests and wants of the local community.
   (3) Preparing youth for opportunities in the new economy through
employment training and skills, including multimedia skills and
access to educational assistance beyond the regular schoolday or
school year.
   (4) Using technology for access to e-government services and
educational opportunities.
  SEC. 3.  Section 1 of Chapter 820 of the Statutes of 2003 is
amended to read:
  SECTION. 1.  The Legislature finds and declares all of the
following:
   (a) Wireless telecommunications service is a critical part of
California's infrastructure.
   (b) The rapid deployment of wireless telecommunications facilities
is critical to ensure network access and quality of service.
   (c) It is in the public interest to minimize the aesthetic impact
of wireless telecommunications towers and facilities necessary to
support wireless networks.
   (d) Use of property owned by the state, local government agencies,
and other public entities for location of wireless
telecommunications facilities will expedite deployment of wireless
telecommunications service and minimize the aesthetic impact of
wireless telecommunications towers and, facilities, or other wireless
repeaters, amplifiers, regenerative repeaters, or regenerators that
have the shape of natural or manmade structures or objects.
   (e) Today, many Americans are using the Internet to conduct daily
activities, including job searches, job training, accessing
e-government services, and educational enhancement.
   (f) Raising the level of digital access and opportunities by
increasing the number of Californians using the technology tools of
the digital age is a high priority for the State of California.
   (g) Access through the Internet to governmental services and
educational programs can provide a cost-effective method of service
delivery.
   (h) Community technology programs prepare Californians for the
digital age and the resulting economic and educational opportunities
that fuel California's economy, and can provide access to
governmental services in a cost-effective manner.  
   (i) The State Water Resources Development System serves a critical
state infrastructure function in providing for the conservation,
development, distribution, and utilization of water, with the
incidental generation of electricity, as well as other public
benefits.  The State Water Resources Development System was
constructed and is operated and maintained primarily on real property
acquired by the Department of Water Resources.
   (j) Revenue derived from the sale or lease of real property that
was acquired for the State Water Resources Development System is
required to be deposited into the appropriate State Water Resources
Development Bond fund (Section 11595 of the Water Code) and the
California Water Resources Development Bond Act (Section 12937 of the
Water Code).
   (k) The flood control system for the Sacramento River and San
Joaquin River watersheds, as authorized in Article 2 (commencing with
Section 12648) of Chapter 2 of Part 6 of Division 6 of the Water
Code, serves a critical state infrastructure function for flood
management.  This flood control system was constructed primarily on
real property acquired by the Sacramento and San Joaquin Drainage
District, acting by and through the State Reclamation Board.
   (l) It is in the public interest to control, manage, and minimize
any adverse encroachments that may affect the State Water Resources
Development System and the Sacramento River and San Joaquin River
flood control system in order to avoid impacts on public health and
safety.  These critical infrastructure systems deserve unique
treatment to protect the beneficiaries of these systems and the state'
s financial investment in these systems.