BILL NUMBER: SB 669 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY JULY 13, 1999
AMENDED IN SENATE APRIL 20, 1999
INTRODUCED BY Senator Polanco
FEBRUARY 24, 1999
An act to amend Section 53114.1 of the Government Code,
relating to communications and to add Sections 381.5,
382.5, and 382.7 to, and to add Chapter 1.5 (commencing with Section
270) to Part 1 of Division 1 of, the Public Utilities Code, relating
to service .
LEGISLATIVE COUNSEL'S DIGEST
SB 669, as amended, Polanco. Local emergency telephone systems
: Public Utilities Commission .
Existing
(1) Existing law, the Warren-911-Emergency Assistance Act,
directs the Communications Division of the Department of General
Services to consult regularly with specified agencies, officials, and
entities to accomplish its responsibilities with respect to the
establishment by local agencies of 911 telephone service.
This bill would direct the Communications Division also to consult
for that purpose with a local representative from a city and a local
representative from a county.
(2) Existing law provides for various programs relating to
telephone corporations to be administered by the Public Utilities
Commission, and paid for in the utility rates authorized by the
commission.
This bill would, under the Public Utilities Act, create 6 advisory
boards to advise the commission regarding the implementation,
development, and administration of specified programs, and to carry
out the programs pursuant to the commission's direction, control, and
approval. The bill would require the commission to determine the
number and qualifications of the members of each advisory board, as
specified, and would prescribe certain matters of organization and
procedure for each advisory board. The bill would require each board
to submit an annual budget to the commission for approval, and a
report describing the activities of the board, as prescribed. The
bill would create a fund in the State Treasury for each advisory
board, and would require the commission, on or before July 1, 2000,
to report to the Governor and the Legislature regarding a transition
plan designed to protect the efficiency and effectiveness of programs
associated with those funds. The bill would require telephone
corporations to submit to the commission approved rate revenues for
transfer by the commission to the Controller for deposit in the
appropriate fund as created by the bill. The bill would require any
unexpended revenues collected prior to the operative date of the bill
to be deposited in the appropriate fund, as specified. The bill
would require the commission to conduct financial audits of the
revenues for each of the funds, and to conduct compliance audits with
regard to each program, as specified. Because, under the act, a
violation of those provisions would be a crime, the bill would impose
a state-mandated local program by creating new crimes.
(3) The act requires the commission to order specified electrical
corporations to collect and spend certain funds for prescribed public
benefit programs. The act specifically requires cost-effective
energy efficiency and conservation activities to be funded by San
Diego Gas and Electric Company, Southern California Edison Company,
and Pacific Gas and Electric Company at specified levels, commencing
January 1, 1998, through December 31, 2001.
The bill would require the Bureau of State Audits to conduct a
performance and financial audit of the administration by the
Department of Community Services and Development of existing federal
programs and assessing the operational and fiscal capacity of the
Department of Community Services and Development to assume the
administration of specified low-income energy efficiency programs.
The bill would require the bureau, on or before July 1, 2000, to
prepare and submit to the Governor and the chairs of specified
legislative committees a report of its audit findings. The bill
would require the commission, if it requires low-income energy
efficiency programs to be subject to competitive bidding, to consider
as part of its bid evaluation criteria both cost-of-service and
quality-of-service criteria. The bill would authorize the commission
to modify its existing policies and procedures, and the entities
with which it contracts, with regard to low-income energy efficiency
programs, based on public input from a variety of sources, including,
but not limited to, representatives from low-income communities. The
bill would make related statements of legislative intent.
(4) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that no reimbursement is required by this
act for a specified reason.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no yes .
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 53114.1 of the Government Code is amended to
read:
53114.1. To accomplish the responsibilities specified in this
article, the Communications Division is directed to consult at
regular intervals with the State Fire Marshal, the State Department
of Health Services, the Governor's Office of Traffic Safety, the
Office of Emergency Services, the California Council on Criminal
Justice, a local representative from a city, a local representative
from a county, the public utilities in this state providing telephone
service, the Associated Public Safety Communications Officers, the
Emergency Medical Services Authority, the Department of the
California Highway Patrol, and the Department of Forestry and Fire
Protection. These agencies shall provide all necessary assistance and
consultation to the Communications Division to enable it to perform
its duties specified in this article.
SEC. 2. Chapter 1.5 (commencing with Section 270) is added to Part
1 of Division 1 of the Public Utilities Code, to read:
CHAPTER 1.5. ADVISORY BOARDS
270. (a) The following funds are hereby created in the State
Treasury:
(1) The California High-Cost Fund-A Administrative Committee Fund.
(2) The California High-Cost Fund-B Administrative Committee Fund.
(3) The Universal Lifeline Telephone Service Trust Administrative
Committee Fund.
(4) The Deaf and Disabled Telecommunications Program
Administrative Committee Fund.
(5) The Payphone Service Providers Committee Fund.
(6) The California Teleconnect Fund Administrative Committee Fund.
(b) Moneys in the funds may only be expended pursuant to this
chapter.
(c) Moneys in each fund may not be appropriated, or in any other
manner transferred or otherwise diverted, to any other fund or
entity.
(d) Notwithstanding Section 7550.5 of the Government Code, on or
before July 1, 2000, the Public Utilities Commission, in consultation
with the Department of Finance, shall report to the Governor and the
Legislature regarding a transition plan designed to protect the
efficiency and effectiveness of programs associated with funds to be
established within the State Treasury, as specified in subdivision
(a). Advisory committees created by Sections 275, 276, 277, 278,
279, and 280 shall provide information and input to the commission in
development of the specified transition plan.
271. For each advisory board created pursuant to this chapter all
of the following are applicable:
(a) The commission shall establish the number of, and
qualifications for, persons to serve as members of each board, and
shall appoint the members of each board. In determining the
qualifications of persons who will serve as members of each board,
the commission shall consider the purpose of the program, and shall
attempt to achieve balanced public participation, for each board.
The membership of each board shall reflect, to the extent possible,
and consistent with existing law, the ethnic and gender diversity of
the state.
(b) Each board shall determine, subject to approval by the
commission, the time, location, and number of monthly meetings for
each board.
(c) A majority of the number of members of each board constitutes
a quorum.
(d) A board cannot act at a meeting without the presence of a
quorum.
(e) The affirmative vote of a majority of those members present at
the meeting of a board is necessary in order to pass any motion,
resolution, or measure.
(f) The commission shall determine for each board whether the
board members shall receive expense reimbursement pursuant to Section
19820 of the Government Code and a per diem allowance, as specified
in Section 11564.5 of the Government Code, or as established by the
commission. Each member of a board who is not a commission or public
utility employee, or who is not otherwise compensated by an employer
for service on the board, shall be entitled to make a claim for and
to receive a per diem allowance, if authorized by the commission.
Each member of a board who is not a public utility employee, or who
is not otherwise reimbursed by an employer for expenses incurred when
serving on the board, shall be entitled to make a claim for and to
receive expense reimbursement, if authorized by the commission. The
commission shall allow all reasonable expense and per diem claims.
The payments in each instance shall be made only from the fund that
supports the activities of the board and shall be subject to the
availability of money in that fund. The claims shall be filed by the
board with the commission.
273. Each advisory board created pursuant to this chapter shall
do both of the following:
(a) Submit an annual budget to the commission. Within 90 calendar
days after receiving a board's annual budget, the commission shall
either accept, accept with conditions, or reject the submitted
budget.
(b) Notwithstanding Section 7550.5 of the Government Code, submit,
in accordance with procedures established by the commission, a
report that shall describe the activities of the board during the
prior reporting period. The report shall be submitted on an annual
or more frequent basis, as ordered by the commission.
274. The commission may, whenever it determines it to be
necessary, conduct financial audits of the revenues required to be
collected and submitted to the commission for each of the funds
specified in Section 270. The commission may, whenever it determines
it to be necessary, conduct compliance audits on the compliance with
commission orders with regard to each program subject to this
chapter. The commission shall conduct a financial and compliance
audit at least once every three years. The first three-year period
for a financial and compliance audit commences on January 1, 2000.
The second and subsequent three-year periods for financial audits
commence three years after the completion of the prior financial
audit. The second and subsequent three-year periods for compliance
audits commence three years after the completion of the prior
compliance audit. The commission may contract with the Bureau of
State Audits or the Department of Finance for all necessary auditing
services. All costs for audits shall be paid from the fund that
supports the activities of the board audited and shall be subject to
the availability of money in that fund.
275. (a) There is hereby created the California High-Cost Fund-A
Administrative Committee, which is an advisory board to advise the
commission regarding the development, implementation, and
administration of a program to provide for transfer payments to small
independent telephone corporations providing local exchange services
in high-cost rural and small metropolitan areas in the state to
create fair and equitable local rate structures, as provided for in
Section 739.3, and to carry out the program pursuant to the
commission's direction, control, and approval.
(b) All revenues collected by telephone corporations in rates
authorized by the commission to fund the program specified in
subdivision (a) shall be submitted to the commission pursuant to a
schedule established by the commission. The commission shall
transfer the moneys received to the Controller for deposit in the
California High-Cost Fund-A Administrative Committee Fund. All
interest earned by moneys in the fund shall be deposited in the fund.
Any unexpended revenues collected prior to the operative date of
this section shall be submitted to the commission, and the commission
shall transfer those moneys to the Controller for deposit in the
California High-Cost Fund-A Administrative Committee Fund.
276. (a) There is hereby created the California High-Cost Fund-B
Administrative Committee, which is an advisory board to advise the
commission regarding the development, implementation, and
administration of a program to provide for transfer payments to
telephone corporations providing local exchange services in high-cost
areas in the state to create fair and equitable local rate
structures, as provided for in Section 739.3, and to carry out the
program pursuant to the commission's direction, control, and
approval.
(b) All revenues collected by telephone corporations in rates
authorized by the commission to fund the program specified in
subdivision (a) shall be submitted to the commission pursuant to a
schedule established by the commission. The commission shall
transfer the moneys received to the Controller for deposit in the
California High-Cost Fund-B Administrative Committee Fund. All
interest earned by moneys in the fund shall be deposited in the fund.
Any unexpended revenues collected prior to the operative date of
this section shall be submitted to the commission, and the commission
shall transfer those moneys to the Controller for deposit in the
California High-Cost Fund-B Administrative Committee Fund.
277. (a) There is hereby created the Universal Lifeline Telephone
Service Trust Administrative Committee, which is an advisory board
to advise the commission regarding the development, implementation,
and administration of a program to ensure lifeline telephone service
is available to the people of the state, as provided for in Article 8
(commencing with Section 871) of Chapter 4 of Part 1 of Division 1,
and to carry out the program pursuant to the commission's direction,
control, and approval.
(b) All revenues collected by telephone corporations in rates
authorized by the commission to fund the program specified in
subdivision (a) shall be submitted to the commission pursuant to a
schedule established by the commission. The commission shall
transfer the moneys received to the Controller for deposit in the
Universal Lifeline Telephone Service Trust Administrative Committee
Fund. All interest earned by moneys in the fund shall be deposited
in the fund. Any unexpended revenues collected prior to the
operative date of this section shall be submitted to the commission,
and the commission shall transfer those moneys to the Controller for
deposit in the Universal Lifeline Telephone Service Trust
Administrative Committee Fund.
278. (a) (1) There is hereby created the Deaf and Disabled
Telecommunications Program Administrative Committee, which is an
advisory board to advise the commission regarding the development,
implementation, and administration of programs to provide specified
telecommunications services and equipment to persons in this state
who are deaf or disabled, as provided for in Sections 2881, 2881.1,
and 2881.2, and to carry out the programs pursuant to the commission'
s direction, control, and approval.
(2) In addition to the membership qualifications established by
the commission pursuant to subdivision (a) of Section 271, the
commission shall establish qualifications for persons to serve as
members of the Deaf and Disabled Telecommunications Program
Administrative Committee to achieve appropriate representation by the
consumers of telecommunications services for the deaf and disabled.
(b) All revenues collected by telephone corporations in rates
authorized by the commission to fund the programs specified in
subdivision (a) shall be submitted to the commission pursuant to a
schedule established by the commission. The commission shall
transfer the moneys received to the Controller for deposit in the
Deaf and Disabled Telecommunications Program Administrative Committee
Fund. All interest earned by moneys in the fund shall be deposited
in the fund. Any unexpended revenues collected prior to the
operative date of this section shall be submitted to the commission,
and the commission shall transfer those moneys to the Controller for
deposit in the Deaf and Disabled Telecommunications Program
Administrative Committee Fund. In addition, those revenues that are
collected pursuant to subdivision (d) of Section 2881 shall be
accounted for separately, as required by subdivision (b) of Section
2881.2, and deposited in the fund created by the commission pursuant
to subdivision (b) of Section 2881.2.
279. (a) There is hereby created the Payphone Service Providers
Committee, which is an advisory board to advise the commission
regarding the development, implementation, and administration of
programs to educate payphone service providers, ensure compliance
with the commission's requirements for payphone operations, and
educate consumers on matters related to payphones, as provided for in
commission Decision 90-06-018, and to provide for the placement of
telecommunications devices capable of servicing the needs of the deaf
or the hearing-impaired in existing buildings and public
accommodations, as specified in subdivision (a) of Section 2881.2.
(b) All revenues collected by telephone corporations in rates
authorized by the commission to fund the programs specified in
subdivision (a) shall be submitted to the commission pursuant to a
schedule established by the commission. The commission shall
transfer the moneys received to the Controller for deposit in the
Payphone Service Providers Committee Fund. All interest earned by
moneys in the fund shall be deposited in the fund. Any unexpended
revenues collected prior to the operative date of this section shall
be submitted to the commission, and the commission shall transfer
those moneys to the Controller for deposit in the Payphone Service
Providers Committee Fund.
280. (a) There is hereby created the California Teleconnect Fund
Administrative Committee, which is an advisory board to advise the
commission regarding the development, implementation, and
administration of a program to advance universal service by providing
discounted rates to qualifying schools, libraries, hospitals, health
clinics, and community organizations, consistent with Chapter 278 of
the Statutes of 1994, and to carry out the program pursuant to the
commission's direction, control, and approval.
(b) All revenues collected by telephone corporations in rates
authorized by the commission to fund the program specified in
subdivision (a) shall be submitted to the commission pursuant to a
schedule established by the commission. The commission shall
transfer the moneys received to the Controller for deposit in the
California Teleconnect Fund Administrative Committee Fund. All
interest earned by moneys in the fund shall be deposited in the fund.
Any unexpended revenues collected prior to the operative date of
this section shall be submitted to the commission, and the commission
shall transfer those moneys to the Controller for deposit in the
California Teleconnect Fund Administrative Committee Fund.
281. Any revenues that are deposited in funds created pursuant to
this chapter shall not be used by the state for any purpose other
than as specified in this chapter.
SEC. 3. Section 381.5 is added to the Public Utilities Code, to
read:
381.5. It is the intent of the Legislature to do all of the
following:
(a) To protect and strengthen the current network of community
service providers by doing both of the following:
(1) Establishing criteria for the selection of service delivery
providers that recognizes the value of local public and private
nonprofit organizations that have established relationships with
low-income communities across the state.
(2) Directing any evaluation of the effectiveness of low-income
energy efficiency programs shall be based not solely on cost
criteria, but also on the degree to which the provision of services
allows maximum program accessibility to quality programs to
low-income communities by agencies that have demonstrated performance
in effectively delivering services to those communities.
(b) To determine the feasibility of transferring the
administration of low-income energy efficiency programs to the
Department of Community Services and Development, thereby preventing
the creation of an additional administrative entity, which would
contribute to the needless growth of government.
(c) To ensure that high quality low-income energy efficiency
programs are delivered to the maximum number of eligible participants
at the minimum cost.
SEC. 4. Section 382.5 is added to the Public Utilities Code, to
read:
382.5. (a) The Bureau of State Audits shall conduct a performance
and financial audit of the Department of Community Services and
Development, including both of the following:
(1) Evaluating the quality and efficiency of the administration by
the Department of Community Services and Development of services
presently delivered to low-income households using federal Low-Income
Home Energy Assistance program funds or federal Department of Energy
Low-Income Weatherization Assistance program funds. The evaluation
shall include, but not be limited to, all of the following:
(A) The efficiency of program expenditures, including, but not
limited to, an assessment of administrative costs.
(B) Procedures for handling complaints, including, but not limited
to, an inventory of inspection failures.
(C) An assessment of the ratio of services delivered to the
population of those persons eligible to receive services, including,
but not limited to, an assessment of barriers to the receipt of
service under the federal Low-Income Home Energy Assistance program
or federal Department of Energy Low-Income Weatherization Assistance
program.
(2) Assessing the operational and fiscal capacity of the
Department of Community Services and Development to assume the
administration of the low-income energy efficiency programs,
including, but not limited to, weatherization, appliance repair and
replacement, energy education, and the California Alternative Rates
for Energy Program.
(b) Notwithstanding Section 7550.5 of the Government Code, on or
before July 1, 2000, the Bureau of State Audits shall prepare and
submit to the Governor and the Chairs of the Senate Committee on
Energy, Utilities, and Communications, the Assembly Committee on
Utilities and Commerce, and the Senate and Assembly Appropriations
Committees, a report of its audit findings, including, but not
limited to, recommendations on the feasibility of transferring the
low-income energy efficiency programs to the Department of Community
Services and Development.
SEC. 5. Section 382.7 is added to the Public Utilities Code, to
read:
382.7. (a) If the commission requires low-income energy
efficiency programs to be subject to competitive bidding, the
commission as part of its bid evaluation criteria, shall consider
both cost-of-service and quality-of-service criteria. The
quality-of-service criteria shall include a recognition of an entity'
s experience and effectiveness in doing similar work, its knowledge
of the targeted communities, and its ability to reach the targeted
communities.
(b) The commission may modify its existing policies and
procedures, and the entities with which it contracts, with regard to
low-income energy efficiency programs, based on public input from a
variety of sources, including, but not limited to, representatives
from low-income communities.
SEC. 6. No reimbursement is required by this act pursuant to
Section 6 of Article XIIIB of the California Constitution because the
only costs that may be incurred by a local agency or school district
will be incurred because this act creates a new crime or infraction,
eliminates a crime or infraction, or changes the penalty for a crime
or infraction, within the meaning of Section 17556 of the Government
Code, or changes the definition of a crime within the meaning of
Section 6 of Article XIIIB of the California Constitution.