BILL NUMBER: SB 850 AMENDED
BILL TEXT
AMENDED IN SENATE JANUARY 24, 2006
AMENDED IN SENATE JANUARY 5, 2006
AMENDED IN SENATE MARCH 30, 2005
INTRODUCED BY Senator Escutia
FEBRUARY 22, 2005
An act to add Section 12019.5 to the Government Code, and to amend
Section 280.5 of, and to add Section 871.9 to, the Public Utilities
Code, relating to telecommunications.
LEGISLATIVE COUNSEL'S DIGEST
SB 850, as amended, Escutia Broadband telecommunications service.
(1) Under existing law, the State Chief Information Officer is
part of the Governor's Office, and acts as the special advisor to the
Governor on information technology issues.
This bill would require the State Chief Information Officer
to develop a strategy for making broadband
telecommunications service accessible to all areas of the state, as
prescribed, and would require the State Chief Information Officer to
prepare and submit to the Legislature a report on the strategy
developed before January 1, 2007 , on or before
January 1, 2008, to prepare and submit to the Legislature a report
that analyzes the need for broadband
telecommunications service accessible in all areas of the state
and which assesses, by area, the extent of the digital divide.
The bill would require that specified information relating
to financing alternatives also be included in
the report .
(2) Under existing law, the Public Utilities Commission has
regulatory authority over public utilities, including telephone
corporations. Existing law imposes various duties on the commission
with regard to the provision of universal telephone and
telecommunications service.
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 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 creates the Digital Divide Account within the
California Teleconnect Fund Administrative Committee Fund in the
State Treasury. Existing law 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, except for revenues from fees collected
from a lease agreement for access to Department of Transportation
property or a lease agreement existing prior to January 1, 2004, 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 declare that the state's universal service policy
should include the concept of universal availability of broadband
service to all areas of the state, and would authorize moneys
appropriated from the Digital Divide Account to be utilized to fund
the costs incurred by the State Chief Information Officer to prepare
and submit the broadband service strategy.
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 12019.5 is added to the Government Code, to
read:
12019.5. (a) The Notwithstanding Section
7550.5, the State Chief Information Officer shall
develop a strategy for making broadband telecommunications service
accessible to all areas of the state. In developing that strategy,
the State Chief Information Officer shall consider all of the
following:
(1) How to encourage the deployment of privately financed
broadband infrastructure.
(2) Where privately financed infrastructure will not be deployed
in a timely manner, how to encourage publicly financed
infrastructure.
(3) How public or private partnerships and cooperatives can be
utilized.
(b) Notwithstanding
Section 7550.5, the State Chief Information Officer shall prepare
and submit to the Legislature a report on the strategy developed
pursuant to this section before January 1, 2008.
prepare and submit to the Legislature, on or before January 1, 2008,
a report that analyzes making broadband telecommunications service
accessible in all areas of the state. That report shall include all
of the following:
(1) An assessment of the need for broadband
telecommunications that are accessible in all areas of the state.
The report shall also assess, by area, the extent of the digital
divide.
(2) A description of the alternatives for private and public
financing of the need identified pursuant to paragraph (1). The
description shall include partnerships or cooperative arrangements of
public and private financing.
(3) An analysis of the cost-effectiveness of the financing
alternatives identified in paragraph (2).
SEC. 2. Section 280.5 of the Public Utilities Code is amended to
read:
280.5. (a) Of the revenues from fees collected pursuant to
Section 14666.8 of the Government Code after the operative date of
this section, except for revenues from fees from a lease agreement
for access to Department of Transportation property or a lease
agreement existing prior to the operative date of the section, 15
percent shall be available, upon appropriation by the Legislature,
for the purpose of addressing the state's digital divide.
(b) Revenues described in subdivision (a) shall be deposited in
the Digital Divide Account, which is hereby established in the
California Teleconnect Fund Administrative Committee Fund established
pursuant to Section 270, to be used only for digital divide pilot
projects and payment of the cost incurred to prepare and submit the
broadband service strategy incurred pursuant to Section 12019.5 of
the Government Code. Not more than 5 percent of the revenues
described in subdivision (a) may be used to pay the costs incurred in
connection with the administration of digital divide pilot projects
by the commission.
(c) (1) The Digital Divide 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 Divide Account during the calendar year
following implementation, based on money collected pursuant to
Section 14666.8 of the Government Code.
(2) The commission shall provide grants pursuant to this
subdivision on a competitive basis subject to criteria to be
established by the commission and in a way that disburses the funds
widely, including urban and rural areas. Grants shall be awarded to
community-based nonprofit organizations that are exempt from taxation
under Section 501(c)(3) of the Internal Revenue Code for the purpose
of funding community technology programs.
(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.
(d) 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) For purposes of this section, "digital divide 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 relevant to the interests and wants of the
local community.
(3) Preparing youth for opportunities in the new economy through
multimedia training and skills.
(4) Harnessing technology for e-government services.
SEC. 3. Section 871.9 is added to the Public Utilities Code, to
read:
871.9. (a) The Legislature finds and declares all of the
following:
(1) California has long had a policy of universal telephone
service that resulted in programs that helped individuals obtain
affordable access to basic telephone service.
(2) Broadband telecommunications service, whether provided by
cable, fiber optic line, or wirelessly, provides much greater
capability than basic telephone service.
(3) Broadband telecommunications service has been rapidly adopted,
with about 30,000,000 broadband customers nationwide.
(4) However, broadband service is not offered in many areas of
this state. About 25 percent of cities in this state do not have any
broadband access.
(5) Broadband service is the foundation for our nation's continued
technological and economic leadership.
(6) The absence of broadband is a barrier to economic development.
(7) The President of the United States has declared that the
country should have universal, affordable broadband access by 2007.
(b) The Legislature further finds and declares that this state's
universal service policy should include the concept of universal
availability of broadband service to all areas of the state.