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AB-2172 Telecommunications: lease of state property for wireless facilities: Digital Opportunities Account in the California Teleconnect Fund Administrative Committee Fund.(2003-2004)

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Amended  IN  Assembly  March 24, 2004
Amended  IN  Senate  May 28, 2004
Amended  IN  Senate  June 16, 2004
Amended  IN  Senate  July 19, 2004

CALIFORNIA LEGISLATURE— 2003–2004 REGULAR SESSION

Assembly Bill
No. 2172

Introduced  by  Assembly Member Levine

February 18, 2004

An act to amend Section 14666.8 of the Government Code, to amend Section 280.5 of the Public Utilities Code, and to amend Section 1 of Chapter 820 of the Statutes of 2003, relating to telecommunications.


LEGISLATIVE COUNSEL'S DIGEST


AB 2172, as amended, Levine. Telecommunications: lease of state property for wireless facilities: Digital Opportunities Account in the California Teleconnect Fund Administrative Committee Fund.
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 to provide a requesting party, upon payment of any applicable fee, with a copy of the inventory. Existing law 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 requires, notwithstanding any other provision of law, that any revenue collected from a lease entered into pursuant to these provisions to use property that was acquired with money in a fund other than the General Fund, be deposited into the fund from which it was obtained. Existing law requires that moneys received and deposited in those funds be available upon appropriation by the Legislature notwithstanding any other provision of law.
Existing law establishes the California Teleconnect Fund Administrative Committee to advise the Public Utilities Commission regarding the commission’s responsibilities for the development, implementation, and administration of a program to advance universal telephone service by providing discounted rates to qualifying schools, libraries, hospitals, health clinics, and community organizations.
Existing law establishes the California Teleconnect Fund Administrative Committee Fund in the State Treasury, and provides that moneys in the fund, collected by telephone corporations in utility rates authorized by the commission and deposited into the fund, may only be expended for the purposes authorized, upon appropriation in the annual Budget Act. Existing law creates the Digital Divide Account within the fund, and 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, with certain exceptions, 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 respectively rename the Digital Divide Account and the Digital Divide Grant Program, as the Digital Opportunities Account and the Digital Opportunities Grant Program. The bill would require 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, excepting a lease for location of facilities on real property acquired with funds from the Water Resources Development System, be deposited into the Digital Opportunities Account to be used for the Digital Opportunities Grant Program. The bill would require that 85% of the revenues from fees from a lease agreement to access property, excepting a lease for location of facilities on real property acquired with funds from the Water Resources Development System, be deposited into that fund. The bill would provide that all revenues from a lease for locating facilities on property acquired with funds from the Water Resources Development System be deposited into the appropriate State Water Resources Development Bond fund. The bill would require the written approval of the Department of Water Resources for the director to enter into a lease agreement to lease real property that is part of the State Water Resources Development System to a provider of wireless telecommunications services. The bill would require the written approval of the Reclamation Board for the director to enter into a lease agreement to lease real property that is part of the Sacramento River and San Joaquin River flood control system to a provider of wireless telecommunications services. The bill would require the director to charge an application fee sufficient to reimburse the Department of Water Resources and the Reclamation Board for their costs for review and analysis of proposed encroachments that are incurred pursuant to a request of a provider of wireless telecommunications services. The bill would require the commission to consult with the California Teleconnect Fund Administrative Committee in providing grants and establishing criteria for the distribution of funds under the Digital Opportunities Grant Program. The bill would authorize the commission to use moneys in the California Teleconnect Fund Administrative Committee Fund to administer the grant program.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 14666.8 of the Government Code is amended to read:

14666.8.
 (a) The director shall, within 120 days of the operative date of this section, compile and maintain an inventory of state-owned real property that may be available for lease to providers of wireless telecommunications services for location of wireless telecommunications facilities. This inventory shall be the state’s sole inventory of state-owned real property available for this purpose. The term “state-owned real property,” as used in this section, excludes property owned or managed by the Department of Transportation and property subject to Section 7901 of the Public Utilities Code.
(b) The director shall provide, in a cost-effective manner, upon payment of any applicable fee, a requesting party a copy of the inventory.
(c) On behalf of the state, the director may negotiate and enter into an agreement to lease department-managed and state-owned real property to any provider of wireless telecommunications services for location of its facilities. The director may only negotiate and enter into an agreement to lease real property to a provider of wireless telecommunications services for location of facilities on real property that is a part of the State Water Resources Development System, with the written approval of the Department of Water Resources. The director may only negotiate and enter into an agreement to lease real property to a provider of wireless telecommunications services for location of facilities on real property that is a part of the Sacramento River and San Joaquin River flood control system, with the written approval of the Reclamation Board. The director shall charge an application fee sufficient to reimburse the Department of Water Resources and the Reclamation Board for their costs for review and analysis of proposed encroachments that are incurred pursuant to a request of a provider of wireless telecommunications services. A lease for this purpose shall do all of the following:
(1) Provide for fair market value to be paid by the provider of wireless telecommunications service to the state to the extent permitted under existing state law.
(2) Designate a lease term that is acceptable to the director and the state agency that has control over the property. The duration of the initial lease term for any wireless facility may not exceed 10 years, and the lease may provide for a negotiated number of renewal terms, not to exceed five years for each term.
(3) Provide for the use of the wireless provider’s facilities located on the state-owned real property by any appropriate state agency if technically, legally, aesthetically, and economically feasible.
(4) Facilitate, to the greatest extent possible, agreements among providers of wireless telecommunications services for colocation of their facilities on state-owned real property.
(d) Nothing in this section alters any existing rights of telegraph or telephone corporations pursuant to Section 7901 of the Public Utilities Code.
(e) Notwithstanding any other provision of law, 85 percent of any revenue collected from a lease entered into pursuant to this section, including a special fund established pursuant to Chapter 2 (commencing with Section 16346), but excluding a lease on real property that is a part of the State Water Resources Development System, shall be deposited into the fund from which the money was obtained. Fifteen percent of any revenue collected from a lease entered into pursuant to this section, excluding any revenues from a lease on real property that is a part of the State Water Resources Development System, shall be deposited into the Digital Opportunities Account in the California Teleconnect Fund Administrative Committee Fund, to be used for digital opportunity projects pursuant to Section 280.5 of the Public Utilities Code. If a wireless telecommunications facility or other facility is sited on real property acquired with funds from the Water Resources Development System, all revenue generated from any lease or other real property transaction shall be deposited into the appropriate State Water Resources Development Bond fund.

SEC. 2.

 Section 280.5 of the Public Utilities Code is amended to read:

280.5.
 (a) The Digital Opportunities Account is hereby established in the California Teleconnect Fund Administrative Committee Fund established pursuant to Section 270, to be used only for digital opportunities pilot projects. Not more than 5 percent of the revenues in this account, may be used to pay the costs incurred in connection with the administration of digital opportunities pilot projects by the commission.
(b) (1) The Digital Opportunities 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 Opportunities Account during the calendar year following implementation, based on money collected pursuant to Section 14666.8 of the Government Code.
(2) The commission shall, in consultation with the California Teleconnect Fund Administrative Committee, provide grants pursuant to this subdivision on a competitive basis subject to criteria to be established by the California Teleconnect Fund Administrative Committee and the commission and in a way that disburses the funds widely, including urban and rural areas. Grants shall be awarded to nonprofit community technology programs, as defined in Section 884, for the purpose of funding community technology programs in underserved communities.
(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.
(5) The commission may use moneys from the California Teleconnect Fund Administrative Committee Fund to administer the grant program. Any revenues used from this fund for administration shall count against the 5-percent limitation in subdivision (a).
(c) 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)

(d) For purposes of this section, “digital opportunities 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 that is available through the Internet and is relevant to the interests and wants of the local community.
(3) Preparing youth for opportunities in the new economy through employment training and skills, including multimedia skills and access to educational assistance beyond the regular schoolday or school year.
(4) Using technology for access to e-government services and educational opportunities.

SEC. 3.

 Section 1 of Chapter 820 of the Statutes of 2003 is amended to read:

SECTION. 1.
 The Legislature finds and declares all of the following:
(a) Wireless telecommunications service is a critical part of California’s infrastructure.
(b) The rapid deployment of wireless telecommunications facilities is critical to ensure network access and quality of service.
(c) It is in the public interest to minimize the aesthetic impact of wireless telecommunications towers and facilities necessary to support wireless networks.
(d) Use of property owned by the state, local government agencies, and other public entities for location of wireless telecommunications facilities will expedite deployment of wireless telecommunications service and minimize the aesthetic impact of wireless telecommunications towers and, facilities, or other wireless repeaters, amplifiers, regenerative repeaters, or regenerators that have the shape of natural or manmade structures or objects.
(e) Today, many Americans are using the Internet to conduct daily activities, including job searches, job training, accessing e-government services, and educational enhancement.
(f) Raising the level of digital access and opportunities by increasing the number of Californians using the technology tools of the digital age is a high priority for the State of California.
(g) Access through the Internet to governmental services and educational programs can provide a cost-effective method of service delivery.
(h) Community technology programs prepare Californians for the digital age and the resulting economic and educational opportunities that fuel California’s economy, and can provide access to governmental services in a cost-effective manner.
(i) The State Water Resources Development System serves a critical state infrastructure function in providing for the conservation, development, distribution, and utilization of water, with the incidental generation of electricity, as well as other public benefits. The State Water Resources Development System was constructed and is operated and maintained primarily on real property acquired by the Department of Water Resources.
(j) Revenue derived from the sale or lease of real property that was acquired for the State Water Resources Development System is required to be deposited into the appropriate State Water Resources Development Bond fund (Section 11595 of the Water Code) and the California Water Resources Development Bond Act (Section 12937 of the Water Code).
(k) The flood control system for the Sacramento River and San Joaquin River watersheds, as authorized in Article 2 (commencing with Section 12648) of Chapter 2 of Part 6 of Division 6 of the Water Code, serves a critical state infrastructure function for flood management. This flood control system was constructed primarily on real property acquired by the Sacramento and San Joaquin Drainage District, acting by and through the State Reclamation Board.
(l) It is in the public interest to control, manage, and minimize any adverse encroachments that may affect the State Water Resources Development System and the Sacramento River and San Joaquin River flood control system in order to avoid impacts on public health and safety. These critical infrastructure systems deserve unique treatment to protect the beneficiaries of these systems and the state’s financial investment in these systems.