BILL ANALYSIS
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|SENATE RULES COMMITTEE | SB 419|
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THIRD READING
Bill No: SB 419
Author: Scott (D)
Amended: 4/29/03
Vote: 21
SENATE ENERGY, U.&C. COMMITTEE : 7-1, 4/8/03
AYES: Bowen, Alarcon, Battin, Dunn, Murray, Sher,
Vasconcellos
NOES: Morrow
SENATE APPROPRIATIONS COMMITTEE : 7-3, 4/28/03
AYES: Alpert, Battin, Escutia, Karnette, Machado, Murray,
Speier
NOES: Aanestad, Ashburn, Johnson
SUBJECT : Telecommunications
SOURCE : California State Sheriffs Association
DIGEST : This bill requires the Public Utilities
Commission to adopt rules related to the conversion of
Cellular Digital Packet Data telecommunications systems
used by public safety departments, as specified.
ANALYSIS : Current law allows the Public Utilities
Commission (PUC) to regulate the terms and conditions of
services offered by wireless phone companies.
This bill:
1.Finds AT&T Wireless is the largest provider of a
CONTINUED
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particular wireless telecommunications technology, known
as Cellular Digital Packet Data (CDPD), that is essential
to law enforcement agencies.
2.Further finds AT&T Wireless is discontinuing CDPD, but
isn't providing law enforcement agencies that rely on the
technology with sufficient notice of the change, thus
jeopardizing the ability of those agencies to perform
their duties.
3.Further finds the discontinuance of CDPD by AT&T Wireless
will make years of investment in CDPD infrastructure by
public safety agencies useless.
4.Further finds AT&T Wireless plans to replace CDPD with a
new technology which will be priced in a way which
potentially makes it far more expensive to use.
5.Finds that public safety agencies will need until at
least July 1, 2007, to convert to the new system.
6.Requires the PUC to ensure that any contractual
conversion from existing CDPD telecommunications systems
used by public safety departments won't jeopardize the
public safety or the safety of employees of public safety
departments.
The PUC shall consult with the advisory committee on the
California Law Enforcement Telecommunications System and
the Public Safety Radio Strategic Planning Committee and
shall adopt rules or other appropriate procedures.
7.Clarifies that this bill is not intended to require
public safety departments to convert from one wireless
telecommunications technology to another.
Background
Law enforcement officers have always been equipped with
communications capabilities. Those capabilities have
become increasingly sophisticated and now include data
transmission. Law enforcement agencies and their officers
now rely on the ability to connect directly to a number of
databases, including the Department of Motor Vehicles'
database, the Megan's Law database, and the proprietary
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databases of the law enforcement agencies themselves.
Unlike the voice communications systems, which are
proprietary designs and often make each public safety
agency an island unable to communicate with sister
agencies, the data communications capabilities have relied
on publicly available communications systems provided by
private companies, such as AT&T Wireless. This shifts the
burden of keeping the technology current to the private
company, but reduces the control of the public safety
agency over the communications system.
AT&T Wireless, a spin-off of AT&T with no continued
affiliation, is the largest provider of a wireless
technology known as Cellular Digital Packet Data (CDPD).
This technology is a widely used data communications
technology employed by many public safety agencies. AT&T
Wireless has announced it will discontinue CDPD on July 1,
2004 and replace it with a new service known as Global
Mobile System/General Packet Radio Service (GMS/GPRS).
This new service is touted as being faster with greater
data transmission capacity.
Replacing CDPD with GMS/GPRS will impact customers in
several ways. First, GMS/GPRS coverage is different than
CDPD coverage, which may make the service less functional.
Second, using GMS/GPRS may also effect other non-related
computer systems, much as an upgrade to computer operating
systems can affect other computer applications. Third,
CDPD is currently priced as a flat-rate service. GMS/GPRS
is contemplated to be priced on a usage basis, which will
no doubt affect the cost of the service.
Many public safety agencies view the replacement of CDPD
with some trepidation. While they welcome the faster data
transmission speed, they're concerned about a potential
loss of functionality because of changes in coverage
patterns, glitches in the interaction between GMS/GPRS and
the computer applications used in the patrol cars, and the
potential for increased ongoing costs due to the change in
rate structure.
Public safety agencies view CDPD as an essential service.
They don't want to lose the capability provided by CDPD and
don't want to change to GMS/GPRS until they know it is
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reliable and compatible.
Comments
1.Time To Search For Other Options. The sponsor of SB 419,
the California State Sheriffs Association (CSSA), is
concerned it won't have time to research alternatives,
identify budget resources, and implement replacement
technology if CDPD disappears in July 2004.
It hopes that by bringing the PUC in to oversee the
transition away from CDPD, AT&T Wireless will agree to
extend the July 1, 2004 termination date for CDPD and to
provide customer support for the transition to the new
technology.
2.Investment In Danger Of Becoming Obsolete? The Attorney
General notes public safety agencies have relied on CDPD
being available until 2007 and made their technology
investment decisions based on that assumption. AT&T
Wireless' July 2004 cutoff date will make a certain
percentage of all of that investment obsolete.
3.Requiring AT&T Wireless To Offer A Service. The bill
requires the PUC to oversee the conversion from CDPD to
the new technology to make sure the change doesn't
jeopardize the public safety or the safety of employees
of public safety departments. It isn't clear whether the
PUC has the authority to require a cellular company to
offer a service it doesn't want to provide. Federal law
bars states from regulating the entry of, or the rates
charged by, any cellular carrier. However, federal law
reserves the rights of the states to regulate other terms
and conditions of cellular service.
4.Why Not Switch? In competitive markets, a ratepayer's
best weapon against rising prices is the threat to cancel
their service with one provider and go over to a
competitor offering the same or similar service. For
CDPD service, such threats are empty because competitors
don't offer a similar service and aren't expected to for
at least a year, and the existing service is critical to
the mission of law enforcement agencies.
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FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: Yes
Increased costs to the PUC to adopt rules are unknown, but
could be in the range of $50,000 to $150,000. Utilities
Reimbursement Account revenues are derived from an annual
fee imposed on public utilities. Therefore, any increased
costs to the PUC should be offset by revenues.
SUPPORT : (Verified 4/29/03)
California State Sheriffs Association (source)
NC:nl 04/30/03 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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