BILL ANALYSIS                                                                                                                                                                                                    



                                                             


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|SENATE RULES COMMITTEE            |                   SB 669|
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                    UNFINISHED BUSINESS
                              

Bill No:  SB 669
Author:   Polanco (D)
Amended:  8/30/99
Vote:     21

  
  SENATE ENERGY, U. & C. COMMITTEE  :  8-1, 4/13/99
AYES:  Bowen, Baca, Brulte, Hughes, Kelley, Peace, Solis,  
  Speier
NOES:  Mountjoy
NOT VOTING:  Alarcon, Vasconcellos

  SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8

  SENATE FLOOR  :  37-1, 5/24/99
AYES: Alarcon, Alpert, Baca, Bowen, Brulte, Burton,  
  Chesbro, Costa, Dunn, Escutia, Hayden, Hughes,  
  Johannessen, Johnson, Johnston, Karnette, Kelley, Knight,  
  Leslie, Lewis, McPherson, Monteith, Morrow, Murray,  
  O'Connell, Ortiz, Peace, Perata, Polanco, Poochigian,  
  Rainey, Schiff, Sher, Solis, Speier, Vasconcellos, Wright
NOES:  Mountjoy
NOT VOTING:  Figueroa, Haynes

  ASSEMBLY FLOOR  :  75-1, 9/3/99 - See last page for vote
 

  SUBJECT  :    Local emergency telephone systems; Public  
Utilities
            Commission

  SOURCE  :     League of California Cities

 
                                                 CONTINUED





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  DIGEST  :    This bill (1) adds a representative from a city  
and a county to the list of entities with which the State  
Department of General Services must consult when  
considering the state's 911 program, and (2) codifies the  
advisory boards for six telecommunications programs  
administered by the Public Utilities Commission.

  Assembly Amendments  add the provisions which codify the  
advisory boards for the telecommunications programs.

  ANALYSIS  :    Current law establishes a 911 program, managed  
by the State Department of General Services (DGS), to  
expedite public safety response to citizen emergencies.  As  
one of its responsibilities, DGS is required to regularly  
consult with a number of state and private entities,  
including the State Fire Marshall, the State Department of  
Health Services, the Governor's Office of Traffic Safety,  
the Office of Emergency Services, the public utilities of  
the state, and the California Highway Patrol (CHP).

This bill adds a representative from a city and a county to  
this list of consultees.

Existing law provides for various programs relating to  
telephone corporations to be administered by the Public  
Utilities Commission (PUC), and paid for in the utility  
rates authorized by the PUC.  These programs include  
low-income ratepayer assistance, energy efficiency, and  
telephone service for deaf and disabled individuals.

This bill:

1.Creates six advisory boards to advise the PUC regarding  
  the implementation, development, and administration of  
  specified programs:

   A.    The California High-Cost Fund-A Administrative  
      Committee and Fund, designed to keep rates for rural  
      telephone companies low.

   B.    The California High-Cost Fund-B Administrative  
      Committee and Fund, designed to keep rates for rural  
      customers low.








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   C.    The Universal Lifeline Telephone Service Trust  
      Administrative Committee and Fund, designed to  
      provide low-cost telephone service to low-income  
      households.

   D.    The Deaf and Disabled Telecommunications Program  
      Administrative Committee and Fund, designed to  
      provide discounted telephone service and equipment to  
      the deaf and disabled.

   E.    The Payphone Service Providers Committee and Fund,  
      designed to provide consumer protection to pay  
      telephone customers.

   F.    The California Teleconnect Fund Administrative  
      Committee and Fund, designed to fund advanced  
      communications services for schools, libraries, and  
      community organizations.

2.Requires the PUC to determine the number and  
  qualifications of the members of each advisory board, and  
  prescribes certain matters or organization and procedure  
  for each advisory board.

3.Requires each board to submit an annual budget to the PUC  
  for approval and report describing the activities of the  
  board.

4.Creates a fund in the State Treasury for each advisory  
  board.

5.Requires the PUC, 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.

6.Specifies that all revenues collected by telephone  
  corporations to fund these programs shall be submitted to  
  the PUC pursuant to a schedule established by the PUC.   
  These moneys will be transferred to the State Controller  
  for deposit in the appropriate fund.

7.Requires the PUC to conduct financial audits of the  
  revenues for each of the funds, and to conduct compliance  







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  audits of each program.

  Comments

  Calls to 911 are answered either by the CHP or by local  
public safety agencies, and responded to by local  
government agencies (e.g. police or sheriff departments).   
Since local governments play a critical role in maintaining  
an efficient and effective 911 program, it arguably makes  
sense to give local governments a seat at the table when  
911 issues are discussed.  
  
This bill codifies the advisory boards for each of six  
programs relating to telephone corporations and creates  
special accounts in the state treasury to hold the program  
funds in trust.  The State Department of Finance and the  
Attorney General's Office have informally expressed their  
preference that the funding for these programs be kept with  
the state and that the advisory boards be codified.  The  
six telecommunications advisory boards created by this bill  
advise the PUC regarding the implementation, development,  
and administration of thee programs, and carry out the  
programs subject to the PUC's direction, control and  
approval.

  FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
Local:  No

The PUC estimates special fund costs of about $200,000 in  
1999-2000 and $400,000 annually thereafter to administer  
the programs.

  SUPPORT  :   (Unable to reverify at time of writing)

League of California Cities (source)
California State Sheriff's Association
California Public Utilities Commission

  ARGUMENTS IN SUPPORT  :    This bill is sponsored by the  
League of California Cities, which argues that since cities  
are participants in the 911 system statewide, it is  
appropriate to include them in DGS's consultation  
requirements.  The author intends that a representative  
from a city and a representative from a county be  







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consulted.



  ASSEMBLY FLOOR  : 
AYES:  Ackerman, Aroner, Ashburn, Baldwin, Bates, Battin,  
  Baugh, Bock, Brewer, Briggs, Calderon, Campbell,  
  Cardenas, Cardoza, Cedillo, Corbett, Correa, Cox,  
  Cunneen, Davis, Dickerson, Ducheny, Dutra, Firebaugh,  
  Florez, Floyd, Frusetta, Gallegos, Granlund, Havice,  
  Hertzberg, Honda, House, Jackson, Keeley, Knox, Kuehl,  
  Leach, Lempert, Leonard, Longville, Lowenthal, Machado,  
  Maddox, Maldonado, Margett, Mazzoni, Migden, Nakano,  
  Olberg, Oller, Robert Pacheco, Rod Pacheco, Papan,  
  Pescetti, Reyes, Romero, Runner, Scott, Shelley, Soto,  
  Steinberg, Strickland, Strom-Martin, Thompson, Thomson,  
  Torlakson, Vincent, Washington, Wayne, Wesson, Wiggins,  
  Wildman, Zettel, Villaraigosa
NOES:  McClintock
NOT VOTING:  Aanestad, Alquist, Kaloogian, Wright


NC:cm  9/5/99   Senate Floor Analyses 

               SUPPORT/OPPOSITION:  SEE ABOVE

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