BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 909
                                                                  Page  1

          SENATE THIRD READING
          SB 909 (Bowen) 
          As Amended August 24, 2006
          Majority vote 

           UTILITIES AND COMMERCE                                          
               (vote not relevant)
           
          SUMMARY  :  Permits California Public Utilities Commission (PUC)  
          to expend up to $2 million for the nonrecurring installation  
          costs for high-speed broadband services for specified  
          community-based organizations (CBOs).

           EXISTING LAW  establishes a program within PUC to provide  
          discounts on the installation of advanced telecommunications  
          services for CBOs to the extent that there are surplus funds, as  
          defined.

           FISCAL EFFECT  :  Unknown

           COMMENTS :  The purpose of this bill is to broaden the definition  
          of advanced telecommunications services to enable more entities  
          to qualify for the funding. 

          Current law permits PUC to expend unencumbered funds from  
          prior-year California Teleconnect Fund appropriations to provide  
          an additional 40% discount on the one-time installation costs  
          for entities that do not have access to advanced  
          telecommunications services.  Advanced telecommunications  
          services is defined as a digital subscriber line (DSL) and T-1  
          technology. 

          Although funds have been reappropriated in subsequent budget  
          acts, very few applications have been received for the funding.   
          In order to allow more entities to apply, SB 909 broadens the  
          definition of advanced telecommunications services to allow a  
          system for the transmission of information over the Internet at  
          a speed of at least 384 kilobits per second.

          This bill was amended to omit the original contents and replace  
          them with language from SB 1788 (Bowen), which is being held in  
          the Senate.  


           Analysis Prepared by  :    Gina Adams / U. & C. / (916) 319-2083 








                                                                  SB 909
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