BILL NUMBER: SB 720	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  AUGUST 18, 2003
	AMENDED IN ASSEMBLY  JULY 1, 2003
	AMENDED IN SENATE  APRIL 22, 2003
	AMENDED IN SENATE  APRIL 1, 2003

INTRODUCED BY   Senator Bowen
   (Coauthor:  Senator Alarcon)

                        FEBRUARY 21, 2003

   An act to amend Section 884 of the Public Utilities Code, relating
to telecommunications.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 720, as amended, Bowen.  Telecommunications services.
   (1) Existing law declares the Legislature's policies for
telecommunications in California.  Existing law states the intent of
the Legislature that the Public Utilities Commission should provide a
nonprofit community technology program, as defined, with discounts
comparable to those that are provided to schools and libraries to
address inequality of access to advanced telecommunications services.

   This bill would state the intent of the Legislature that the
commission provide a nonprofit community technology program, as
defined, with discounts comparable to those that are provided to
schools and libraries to address inequality of access to advanced
telecommunications services, as defined.
   (2) Existing law establishes the California Teleconnect Fund
Administrative Committee to advise the commission regarding the
implementation, development, and administration of a program to
advance universal service by providing discounted rates to qualifying
schools, libraries, hospitals, health clinics, and community
organizations, and to carry out the program pursuant to the
commission's direction, control, and approval.  Existing law
establishes the California Teleconnect Fund Administrative Committee
Fund in the State Treasury, and requires that moneys from the fund
may only be expended upon appropriation in the annual Budget Act and
requires that the moneys appropriated be utilized exclusively by the
commission for the authorized programs.  Pursuant to this authority,
the commission has established the California Teleconnect Fund
Program, which provides discounted services to qualifying schools,
libraries, hospitals, and other community-based organizations.
   This bill would  ,  if consistent with the purposes for
which the funds are appropriated ,  authorize the commission
to  make a one-time expenditure of up to 90%, of the
  expend up to $3,000,000 for up to an additional 40% of
the one-time  installation costs of advanced telecommunications
services for entities that do not have access to those services,
from the unencumbered difference between what is appropriated and
what is expended by the commission from the California Teleconnect
Fund Administrative Committee Fund for the 2003-04 and 2004-05 fiscal
years.   The incremental cost of the one-time expenditure
may not exceed $3,000,000 over the discounts available under existing
programs of the commission. 
   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 884 of the Public Utilities Code is amended to
read:
   884.  (a) It is the intent of the Legislature that any program
administered by the commission that addresses the inequality of
access to advanced telecommunications services by providing those
services to schools and libraries at a discounted price, provide
comparable discounts to a nonprofit community technology program.
   (b) If the moneys expended from the California Teleconnect Fund
Administrative Committee Fund are less than the amounts appropriated
in the annual Budget Act for the 2003-04 and 2004-05 fiscal years,
from the unencumbered difference between what was appropriated and
what was expended  in each of those fiscal years  ,
notwithstanding any other law or existing program of the commission
but consistent with the purposes for which those funds are
appropriated, the commission may  make a one-time expenditure
of up to 90 percent of the one-time installation costs of advanced
telecommunications services,   expend up to three
million dollars ($3,000,000) for up to an additional 40 percent of
the one-time installation costs  for entities that do not have
access to advanced telecommunications services.   The
incremental cost for the one-time expenditure that exceed discounts
under existing programs established by the commission, may not exceed
three million dollars ($3,000,000). 
   (c) For the purpose of this section:
   (1)  "Advanced telecommunications services" includes high speed
communications services such as digital subscriber line (DSL)
services and T-1 technology.
   (2)  "Nonprofit community technology program" means a
community-based nonprofit organization that is exempt from taxation
under Section 501(c)(3) of the Internal Revenue Code and engages in
diffusing technology into local communities and training local
communities that have no access to, or have limited access to, the
Internet and other technologies.