State Legislature - Week of November 27, 2009

CCTA Legislative & Regulatory Update
November 25, 2009

FINAL UPATE FOR 2009 – WILL PROVIDE A YEAR-END REPORT MID-DECEMBER
 
Regulatory Update

CCTA and Edison reached an agreement for a new pole attachment rate.  CCTA and Edison reached an agreement for a new pole attachment rate of $9.00, effective 2010, with a 50 cent incremental increase annually for 5 years.
 
State Legislative Update
 
Legislature to reconvene January 4, 2010
 
Proposed Legislation to Eliminate the White Pages.  Senator Leland Yee (D-San Francisco) recently announced that he will introduce legislation next year to prohibit telephone companies from delivering the white pages unless customers request it. The intent of this proposal is to “help save the economy and reduce local recycling costs.” According to the Senator, two U.S. cities have already adopted this proposal:  Cleveland, Ohio and Miami, Florida. The proposed legislation simply states that:
“A telephone corporation shall not distribute an alphabetical telephone directory to a subscriber unless that subscriber affirmatively elects to receive the directory.”
As written, this language would require the California Public Utilities Commission (CPUC) to develop the proper regulatory rules to implement this legislative proposal. According to the Senator’s staff, the proposal was intended to only to apply to the white pages for residential customers. Therefore, the Senator plans on amending the language to make it clear.  The Senator also understands that this proposal conflicts with the CPUC directive that white pages be provided to all customers as part of the “universal service” policy (CPUC Decision 96-10-066). CCTA is reviewing the language with Members to determine its impact on the cable industry.
 
Governor Appoints Senator Maldonado Interim Lieutenant Governor. With the recent election of Lieutenant Governor John Garamendi to congress, Governor Arnold Schwarzenegger appointed Senator Able Maldonado (R-Santa Maria) to fill the vacant Lieutenant Governor position. Both the state Senate and Assembly will have to approve of Senator Maldonado’s appointment within 90 days which is no later than February 22, 2009. Senate President Pro Tem Darrell Steinberg (D-Sacramento) questioned whether the position should be filled at all. Since Senator Maldonado’s current Senate term does not expire until 2012, his confirmation as Lieutenant Governor would require a special election, at roughly a $2 million cost, to fill his senate seat. In addition, a number of other state senators, republican and democrat, are currently running for the Lieutenant Governor’s seat next year. Confirmation of Maldonado as Lieutenant Governor would allow him to run for the position as an incumbent and give him an advantage in the election next year.  There are some Democrats that would like to see Senator Maldonado confirmed as Lieutenant Governor so that the Democrats could aggressively pursue his senate seat.