Amended IN Assembly April 22, 2025 Amended IN Assembly March 17, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Assembly Bill No. 470Introduced by Assembly Member McKinnorFebruary 06, 2025 An act to add Article 1.5 (commencing with Section 2878) to Chapter 10 of Part 2 of Division 1 of the Public Utilities Code, relating to communications. communications, and making an appropriation therefor.LEGISLATIVE COUNSEL'S DIGESTAB 470, as amended, McKinnor. Telephone corporations: carriers of last resort.Existing law vests the Public Utilities Commission with regulatory authority over public utilities, including telephone corporations. Existing law authorizes the commission to fix just and reasonable rates and charges for public utilities. Existing law requires the commission, on or before February 1, 1995, to issue an order initiating an investigation and open proceeding to examine the current and future definitions of universal service in telecommunications. Pursuant to that provision, the commission issued a decision involving carriers of last resort, including the withdrawal process for carriers of last resort, defined as a carrier who provides local exchange service and stands ready to provide basic service to any customer requesting such service within a specified area.This bill would require a telephone corporation seeking to relinquish its carrier of last resort designation for an eligible area, as defined, to provide a notice to the commission, as described, and would require the telephone corporations carrier of last resort designation for the eligible area to be relinquished upon the submission of the notice. The bill would require the telephone corporation to modify its tariff for basic local exchange telephone service, as specified, and would require that the modified tariff be effective upon the submission of the notice. The bill would require the telephone corporation to administer and pay for a customer challenge process for customers who inform the telephone corporation that no alternative voice service, as defined, is available at their location, as specified. The bill would require the commission, as part of a specified rulemaking, to establish a transition plan that a telephone corporation would be required to follow before its carrier of last resort designation is relinquished for an area within its service territory other than an eligible area.This bill would provide procedures for telephone corporations to terminate their carrier of last resort obligations in areas where the United States Census Bureau reports no population, in areas where telephone corporations provide no basic exchange service to any customer address located within their telephone service territory, and in areas that are well-served, as defined. The bill would require telephone corporations to fulfill specified conditions and meet certain notice requirements to be relieved of the carrier of last resort obligations. The bill would impose additional duties on telephone corporations terminating their carrier of last resort obligations, including, among other things, publishing a notice which would specify a residential consumers authority to submit a written request seeking independent third-party review of the assertion that an area has no population or no basic exchange service customers or that a consumer in an area is well-served, as applicable. The bill would require the commission, on or before January 1, 2027, to determine a transition plan to be followed before a telephone corporation amends its status as a carrier of last resort in areas other than those subject to amended status under the bill.The bill would create the Public Safety Agency Technology Upgrade Grant Fund, provide that moneys in the fund are continuously appropriated to the commission for purposes of public safety agency technology upgrade grants, and authorize the fund to accept donations from nongovernmental entities. The bill would make specified exceptions to these provisions.Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest.This bill would make legislative findings to that effect.Under existing law, a violation of an order, decision, rule, direction, demand, or requirement of the commission is a crime.Because a violation of a commission action implementing this bills requirements would be a crime, the bill would impose a state-mandated local program.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.Digest Key Vote: MAJORITY Appropriation: NOYES Fiscal Committee: YES Local Program: YES Bill TextThe people of the State of California do enact as follows:SECTION 1. The Legislature finds and declares all of the following:(a) All The state encourages the deployment of advanced telecommunications capability to all Californians by utilizing regulatory forbearance measures that promote competition in the local telecommunications market, or other methods that encourage infrastructure investment.(b) All Californians deserve reliable, affordable, fast, and safe communications options, no matter who they are, where they live, or why they need to be connected.(b)(c) The transition to broadband networks is key to creating equity and positive impacts on California education, health care, agriculture, public safety, workforce development, and the economy.(c)(d) Outdated state laws result in continued investments in aging technology that consumers are increasingly abandoning have largely abandoned because it does not meet their needs.(d)(e) Californians are moving swiftly to abandon the old copper legacy network because it does not provide the benefits of modern communication technologies, with more choosing to use wireless or internet-based advanced services every year.(e)(f) California must develop a responsible and equitable transition plan that ensures all Californians have access to the connectivity they need.(f)(g) The transition should include a phased approach that over time ensures customers have access to communication services that are equally or more reliable and affordable, before transitioning away from the old legacy network.(g)(h) As part of the transition, no Californian will be left without reliable voice service in their homes, including the ability to contact 9-1-1 and to receive critical emergency alerts. 9-1-1.SEC. 2. Article 1.5 (commencing with Section 2878) is added to Chapter 10 of Part 2 of Division 1 of the Public Utilities Code, to read: Article 1.5. Carriers of Last Resort2878. For purposes of this article, all of the following definitions apply:(a) Alternative voice service means a retail service made available through a technology or service arrangement by a provider that provides, as a stand-alone service or as part of a bundled service, all of the following:(1) Voice access interconnected with the public switched telephone network.(2) Access to emergency 9-1-1 service. service and E-9-1-1 service in compliance with current state and federal laws and regulations.(3) Compatibility with a backup power source.(b)Area means census block.(c)Available means the service provider provides coverage to at least 99 percent of the population of the area, according to the most recent federal census population estimates.(d)Carrier of last resort has the same meaning as defined in Section 275.6.(e)Eligible area means either of the following:(1)An area that meets both of the following criteria:(A)The United States Bureau of the Census reports no population in the area.(B)The telephone corporation does not provide basic local exchange telephone service to a customer address in the area.(2)An area that is well-served by alternative voice service.(4) A billing option with monthly rates and without contract or early termination penalties.(5) Access to the California Relay Service pursuant to Section 2881 for deaf or hearing-impaired persons or individuals with speech disabilities.(6) Access to customer service for information about service termination, repair, and billing inquiries.(7) Free access to 800 and 8YY toll-free services with no additional usage charges for such calls.(b) Amended status means the status of a telephone corporation that relinquished carrier of last resort status in a census block or census blocks.(c) Amended status area means a census block or census blocks for which a telephone corporation relinquished carrier of last resort status.(d) Broadband service means a mass-market retail service by wire or radio provided to customers in the state that provides the capability to transmit data to, and receive data from, all or substantially all internet endpoints, including, but not limited to, any capabilities that are incidental to and enable the operation of the communications service, but excluding dial-up internet access service.(e) Comparatively priced alternative voice service means an alternative voice service that is competitively priced in relation to the relevant telephone corporations nondiscounted basic exchange telephone service when considering all the alternatives in the amended status area and the functionalities of the alternatives.(f) Eligible small business customer means a traditional landline customer with five or fewer lines, that is not subject to a separate contract for copper-based voice services and fits the microbusiness definition in paragraph (2) of subdivision (d) of Section 14837 of the Government Code.(f)(g) Notice means a written communication.(h) Qualifying public assistance program means any of the following programs:(1) The California Alternate Rates for Energy (CARE) program described in Section 739.1.(2) The State Supplementary Payment Program for the Aged, Blind and Disabled implemented pursuant to the Burton-Moscone-Bagley Citizens Income Security Act for Aged, Blind and Disabled Californians (Chapter 3 (commencing with Section 12000) of Part 3 of Division 9 of the Welfare and Institutions Code).(3) The Temporary Assistance for Needy Families program pursuant to Part A (commencing with Section 401) of Title IV of the federal Social Security Act (42 U.S.C. Sec. 601 et seq.).(4) The CalFresh program established pursuant to Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code.(5) Covered California, as described in Title 22 (commencing with Section 100500) of the Government Code.(6) Medi-Cal, as described in the Medi-Cal Act (Chapter 7 (commencing with Section 14000.4) of Part 3 of Division 9 of the Welfare and Institutions Code).(7) Supplemental security income benefits pursuant to Title XVI of the Social Security Act (Section 1381 of Title 42 of the United States Code).(g)Telephone corporation has the same meaning as defined in Section 234.(h)(i) Well-served means at least three different facilities-based service providers, providers offer alternative voice service in the relevant area, and at least one of which the service providers is a wireline provider, offer alternative voice service to customers in the relevant area, and at least one of the alternative voice services offered by a service provider is reasonably comparable in price or value to the telephone corporations current nondiscounted rate for basic local exchange telephone service. and at least one of the service providers offers a comparatively priced alternative voice service. The alternative voice service shall be available to at least 99.9 percent of the broadband-serviceable locations in the area, as such broadband-serviceable locations are set forth in the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.2878.1. (a) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area where the United States Census Bureau reports no population or where a telephone corporation provides no basic exchange service to any customer address located within its telephone service territory when it fulfills the obligations set forth in Section 2878.3(b) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area that is well-served when the telephone corporation fulfills the obligations set forth in Section 2878.4.2878.2. (a) A telephone corporation that seeks to amend its status as a carrier of last resort under either Section 2878.3 or Section 2878.4 shall first publish notice of its intention one time in the nonlegal section of a newspaper of general circulation throughout the relevant areas and on any social media channels the company utilizes for marketing in those areas. The notice shall provide all of the following:(1) A full explanation to residential consumers regarding the amended status process and applicable timelines. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(2) A provision stating that any residential consumer may oppose the telephone corporations assertion that there is either no population or no basic exchange service customer if the telephone corporation seeks amended status under Section 2878.3, or that the area is well-served if the telephone corporation seeks amended status under Section 2878.4, by submitting a written request to the telephone corporation seeking independent third-party review. The notice shall state that the written request shall be submitted to the telephone corporation no later than 90 days from the date on the notice.(b) Regarding a residential consumers written request pursuant to subdivision (a), the following shall apply to the telephone corporation:(1) No later than 30 days after the receipt of the residential consumers written request, the telephone corporation shall identify and submit to the executive director of the commission or the executive directors designee three entities qualified to conduct the independent third-party review.(2) No later than 30 days after the identification and submission, the executive director of the commission or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review.(3) The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(4) The independent third-party review shall evaluate the merits of the residential consumers claim and make its determination within 30 days of selection.(5) If the independent third-party reviewer determines that the residential consumers claim has merit, the telephone corporation shall offer to provide, to the extent technically feasible, the residential consumer with alternative voice service at that address for 24 months from the amended status effective date.2878.3. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in an area that the United States Census Bureau reports no population, or that a telephone corporation provides no basic exchange service to any customer at a customer address, shall submit the notice described in subdivision (b) to all of the following entities:(1) The Governor.(2) The commission.(3) The Office of Emergency Services.(4) The Department of Forestry and Fire Protection.(5) Each city, county, city and county, or unincorporated town or village included in the amended status area.(b) (1) The notice shall be in writing and be delivered to the address of record.(2) The notice shall include both of the following:(A) A map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(B) A copy of the tariff modification describing the telephone corporations amended status in the areas covered by the map provided pursuant to subparagraph (A).(c) The amended status and the tariff modification shall be effective 30 days from the date of the notice. The telephone corporation shall respond in good faith to all inquiries from those entities receiving notification pursuant to subdivision (a).2878.4. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in areas that are well served shall commit to the obligations described in subdivision (b) and provide the notice described in subdivision (c) to its basic exchange customers. The telephone corporations amended status in well-served areas shall be effective 30 days from date of the third customer notification letter described in subdivision (c), or 30 days from the date of the commitment letter described in subdivision (b), whichever is later.(b) A telephone corporation that seeks to amend its status as a carrier of last resort in an area that is well served shall provide a commitment letter from an officer with authority to bind the telephone corporation that certifies that the telephone corporation agrees to meet the obligations listed in this subdivision in well-served areas for 24 months from the date the telephone corporation obtains amended status in the area, unless specified otherwise below. The letter shall be addressed to the Governor with copies of the letter provided to the commission and each city, county, or unincorporated town or village in the amended status areas. The telephone corporation shall, and the letter shall state that the telephone corporation shall, do all the following:(1) For three years from the effective date a telephone corporation obtains amended status, the telephone corporation shall demonstrate that it has made accessible its advanced fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status. The telephone corporation shall provide an annual report to the executive director of the commission certifying the following:(A) The telephone corporation made accessible its advance fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status.(B) The telephone corporation had a positive year-over-year increase in its advanced fiber optics buildout in the state.(C) Notwithstanding any other provision of law, any annual report submitted pursuant to this section shall be considered confidential and protected from public disclosure in accordance with Section 583.(2) Provide continuing service to a customer who subscribes to basic exchange service for at least 12 months from the date the telephone corporation obtains amended status in the area if the customer elects not to transition to an alternative voice service.(3) To the extent technically feasible, offer an existing residential customer a comparatively priced alternative voice service. For purposes of this paragraph, comparatively priced alternative voice service shall, in addition to meeting the requirements of subdivision (a) of Section 2878, provide interoperability with legacy devices utilizing copper for alarm systems, point-of-sale devices, and medical monitoring devices.(4) Offer an affordable broadband plan in each amended status area to eligible consumers. To qualify, a household shall have an income that is at or below 400 percent of the federal poverty guidelines or at least one member of the household shall participate in a qualifying public assistance program.(5) Offer small business security and alarm system technology migration assistance in each amended status area to eligible small business customers who transition to an alternative voice service by providing a voucher to eligible small business customers for costs associated with transitioning alarm system services. Vouchers shall be administered by the telephone corporation and participation in the program reported annually to the commission.(6) Provide funding for public safety agency technology upgrade grants to be administered by the Board of State and Community Corrections to public safety agencies that have at least one service connection located in an amended status area. Administrative costs incurred by the Board of State and Community Corrections shall be recouped from the grant fund.(7) Provide funding to the Office of Emergency Services for grants and programs to tribal governments, community-based organizations, and local governments that focus on public outreach and awareness of modern communications, including, but not limited to, alternative voice services, for those with low incomes, disabilities, language barriers, older adults, and residents in high-risk areas, to help them prepare for, respond to, and recover from emergencies.(8) Provide funding for programs to develop community-based digital literacy resources in amended status areas.(9) Provide funding for a workforce development program in amended status areas that includes, but is not limited to, enhanced skills training, mentoring, education reimbursement, and career development programs for nonmanagement employees.(10) During the 90-day notice period described in subdivision (c), conduct a minimum of one informational workshop in each legislative district that includes one or more amended status areas, and conduct a minimum of one additional informational workshop in other legislative districts upon request from the Assembly Member or Senator representing the district.(11) Maintain an internet website and toll-free number dedicated to answering questions regarding the amended status process.(c) The telephone corporation shall provide three notice letters to customers in the amended areas. The letters shall be sent 30 days apart. The notice letters must comply with the commissions rules for in-language support to limited English proficient telecommunications consumers adopted pursuant to commission Decision 07-07-043 (July 26, 2007), Decision Addressing the Needs of Telecommunications Consumers Who Have Limited English Proficiency, or as subsequently revised. Each letter shall include all the following information:(1) A full explanation to customers regarding the amended status process and timing. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(2) A description of the alternative voice service available from the telephone corporation.(3) A description of the affordable broadband plans available from the telephone corporation to eligible consumers in the amended status areas.(4) Links to the internet websites and telephone numbers of alternative voice service providers in the amended status areas.(5) The date, time, and location of the informational workshop for the customers amended status area.(d) The telephone corporation shall provide a copy of the template used for the three customer notice letters in each amended status area to all the following entities:(1) The commission.(2) The Members of the Legislature representing districts included in the amended status areas.(3) Each city, county, or unincorporated town or village included in the amended status areas.(e) In addition to the customer notice template described in subdivision (d), the telephone corporation shall file a Tier 1 advice letter with the commission to be effective on the date filed that reflects the amended status areas.2878.5. (a) (1) A customer in a well-served area where a telephone corporation seeks to amend its status may do either of the following during the 90-day notice period before the effective date of the amended status:(A) Choose an alternative voice service provided by the telephone corporation.(B) Choose an alternative voice service provided by another service provider.(2) (A) If the customer does not choose either option described in paragraph (1), the customer shall remain on their basic exchange service with the telephone corporation.(B) The telephone corporation shall provide a customer remaining on their basic exchange service with two notice letters regarding the telephone corporations transition from the current voice service, which transition shall occur no sooner than 12 months from the amended status effective date described in subdivision (a) of Section 2878.4 and after all state and federal regulatory requirements have been met. The notice letters shall be sent 30 days apart. Each notice letter shall include information explaining the status of the customers existing service and, if applicable, how the customer may seek the independent third-party review described in subdivision (b).(b) (1) If a customer continues to subscribe to their basic exchange service with the telephone corporation for 12 months after the amended status effective date described in subdivision (a) of Section 2878.4 and, upon receipt of the notice letters required by subparagraph (B) of paragraph (2) of subdivision (a), is unable to obtain a comparatively priced alternative voice service, then the customer may submit a written request, pursuant to the instructions provided by the telephone corporation in the notice letters, seeking independent third-party review. The customer shall submit this written request no later than 60 days after the date of the second notice letter.(2) No later than 30 days from receipt of the customers written request, the telephone corporation shall submit to the executive director of the commission, or the executive directors designee, the identities of three entities qualified to conduct the independent third-party review. No later than 30 days after the identification, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review. The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(3) The entity selected pursuant to paragraph (2) shall determine whether or not a comparatively priced alternative voice service is available at the customers address and shall report its determination to the customer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under paragraph (2).(4) If the independent third-party reviewer determines that a comparatively priced alternative voice service is not available at the customer address, the telephone corporation shall continue to provide the customer with the customers basic exchange service at that address. If the telephone corporation can demonstrate that circumstances have changed at any time, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, identifying a comparatively priced alternative voice service at the customers address and restarting the process set forth in paragraph (2).2878.6. (a) (1) The obligations in this section apply only to a telephone corporation that has received amended status.(2) The obligations in this section apply for 10 years after a telephone corporation meets the requirements described in paragraph (1).(b) (1) A telephone corporation that meets the requirements described in paragraph (1) of subdivision (a) shall provide alternative voice service to any residential consumer that is unable to obtain alternative voice service from any provider in the well-served area if both of the following occur:(A) The residential consumer notifies the telephone corporation in writing that no alternative voice service is available in the well-served area.(B) An independent third-party reviewer approved by the executive director of the commission or the executive directors designee determines that no alternative voice service is available in the well-served area.(2) (A) No later than 30 days after the receipt of the residential consumers written notification under subparagraph (A) of paragraph (1), the telephone corporation shall identify and submit to the executive director of the commission, or the executive directors designee, three entities qualified to conduct the independent third-party review.(B) No later than 30 days after the identification and submission, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review.(C) The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(D) The entity selected pursuant to subparagraph (B) shall determine whether or not an alternative voice service is available at the residential consumers address and shall report its determination to the residential consumer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under subparagraph (B).(3) (A) When the telephone corporation can demonstrate that circumstances have changed, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, that identifies an alternative voice service available at the residential consumers location.(B) The telephone corporation shall be relieved of the obligations under paragraph (1) of subdivision (b) if an independent third-party reviewer that is approved by the executive director of the commission, or the executive directors designee, determines that there is an alternative voice service available to the residential consumer.2878.7. (a) This article does not confer regulatory authority to the commission over alternative voice services.(b) As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall determine a transition plan that shall be followed before a telephone corporation may amend its status as a carrier of last resort in areas not described in Section 2878.3 or not well served by alternative voice services as described in Section 2878.4. The commission may consider input from stakeholders during this process, including representatives of public safety agencies. The commission shall issue its final decision on or before January 1, 2027.2878.8. The Public Safety Agency Technology Upgrade Grant fund is hereby created in the State Treasury. Notwithstanding Section 13340 of the Government Code, the moneys in the fund are hereby continuously appropriated without regard to fiscal year to the commission for purposes of paragraph (6) of subdivision (b) of Section 2878.4. The fund may accept donations from nongovernmental entities 2878.9. (a) This article shall not apply to intrastate legacy time-division multiplexing services used to directly connect land mobile radio systems used for public safety.(b) This article shall not apply to any inhabited island that is not part of the mainland area of the state and is not accessible by bridge or road, if any part of the island is well served.2878.1.(a)(1)A telephone corporation seeking to relinquish its carrier of last resort designation for an eligible area within its service territory shall submit to the commission a notice. The telephone corporations carrier of last resort designation for the eligible area shall be relinquished upon the submission of the notice.(2)A notice submitted pursuant to paragraph (1) shall include both of the following:(A)A map of the eligible area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission or commission map showing fixed and wireless broadband coverage.(B)A copy of the modified tariff described in subdivision (b).(b)Notwithstanding any other law or commission decision, a telephone corporation, before submitting a notice pursuant to subdivision (a), shall modify its tariff for basic local exchange telephone service to align with its relinquishment of its carrier of last resort designation. The modified tariff shall be effective upon the submission of the notice pursuant to subdivision (a).(c)(1)The telephone corporation shall administer and pay for a customer challenge process available to a customer who informs the telephone corporation that no alternative voice service is available at their location.(2)The telephone corporation shall notify its customers of its customer challenge process.(3)If a customer successfully challenges the availability of alternative voice service at their location, the telephone corporation shall continue to provide basic local exchange telephone service to the customer for at least two years after the challenge process is complete.(d)This section does not confer regulatory authority to the commission over alternative voice service.(e)As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall establish a transition plan that a telephone corporation shall be required to follow before its carrier of last resort designation is relinquished for an area within its service territory other than an eligible area. The commission may consider input from stakeholders, including representatives of public safety agencies, during that portion of the rulemaking.SEC. 3. The Legislature finds and declares that Section 1 of this act, which adds subparagraph (C) of paragraph (1) of subdivision (b) of Section 2878.4 of the Public Utilities Code, imposes a limitation on the publics right of access to the meetings of public bodies or the writings of public officials and agencies within the meaning of Section 3 of Article I of the California Constitution. Pursuant to that constitutional provision, the Legislature makes the following findings to demonstrate the interest protected by this limitation and the need for protecting that interest:In order to order to protect the confidential and proprietary information of an entity subject to Section 1 of this act, it is necessary that this act limit the publics right of access to that information.SEC. 3.SEC. 4. 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. Amended IN Assembly April 22, 2025 Amended IN Assembly March 17, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Assembly Bill No. 470Introduced by Assembly Member McKinnorFebruary 06, 2025 An act to add Article 1.5 (commencing with Section 2878) to Chapter 10 of Part 2 of Division 1 of the Public Utilities Code, relating to communications. communications, and making an appropriation therefor.LEGISLATIVE COUNSEL'S DIGESTAB 470, as amended, McKinnor. Telephone corporations: carriers of last resort.Existing law vests the Public Utilities Commission with regulatory authority over public utilities, including telephone corporations. Existing law authorizes the commission to fix just and reasonable rates and charges for public utilities. Existing law requires the commission, on or before February 1, 1995, to issue an order initiating an investigation and open proceeding to examine the current and future definitions of universal service in telecommunications. Pursuant to that provision, the commission issued a decision involving carriers of last resort, including the withdrawal process for carriers of last resort, defined as a carrier who provides local exchange service and stands ready to provide basic service to any customer requesting such service within a specified area.This bill would require a telephone corporation seeking to relinquish its carrier of last resort designation for an eligible area, as defined, to provide a notice to the commission, as described, and would require the telephone corporations carrier of last resort designation for the eligible area to be relinquished upon the submission of the notice. The bill would require the telephone corporation to modify its tariff for basic local exchange telephone service, as specified, and would require that the modified tariff be effective upon the submission of the notice. The bill would require the telephone corporation to administer and pay for a customer challenge process for customers who inform the telephone corporation that no alternative voice service, as defined, is available at their location, as specified. The bill would require the commission, as part of a specified rulemaking, to establish a transition plan that a telephone corporation would be required to follow before its carrier of last resort designation is relinquished for an area within its service territory other than an eligible area.This bill would provide procedures for telephone corporations to terminate their carrier of last resort obligations in areas where the United States Census Bureau reports no population, in areas where telephone corporations provide no basic exchange service to any customer address located within their telephone service territory, and in areas that are well-served, as defined. The bill would require telephone corporations to fulfill specified conditions and meet certain notice requirements to be relieved of the carrier of last resort obligations. The bill would impose additional duties on telephone corporations terminating their carrier of last resort obligations, including, among other things, publishing a notice which would specify a residential consumers authority to submit a written request seeking independent third-party review of the assertion that an area has no population or no basic exchange service customers or that a consumer in an area is well-served, as applicable. The bill would require the commission, on or before January 1, 2027, to determine a transition plan to be followed before a telephone corporation amends its status as a carrier of last resort in areas other than those subject to amended status under the bill.The bill would create the Public Safety Agency Technology Upgrade Grant Fund, provide that moneys in the fund are continuously appropriated to the commission for purposes of public safety agency technology upgrade grants, and authorize the fund to accept donations from nongovernmental entities. The bill would make specified exceptions to these provisions.Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest.This bill would make legislative findings to that effect.Under existing law, a violation of an order, decision, rule, direction, demand, or requirement of the commission is a crime.Because a violation of a commission action implementing this bills requirements would be a crime, the bill would impose a state-mandated local program.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.Digest Key Vote: MAJORITY Appropriation: NOYES Fiscal Committee: YES Local Program: YES Amended IN Assembly April 22, 2025 Amended IN Assembly March 17, 2025 Amended IN Assembly April 22, 2025 Amended IN Assembly March 17, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Assembly Bill No. 470 Introduced by Assembly Member McKinnorFebruary 06, 2025 Introduced by Assembly Member McKinnor February 06, 2025 An act to add Article 1.5 (commencing with Section 2878) to Chapter 10 of Part 2 of Division 1 of the Public Utilities Code, relating to communications. communications, and making an appropriation therefor. LEGISLATIVE COUNSEL'S DIGEST ## LEGISLATIVE COUNSEL'S DIGEST AB 470, as amended, McKinnor. Telephone corporations: carriers of last resort. Existing law vests the Public Utilities Commission with regulatory authority over public utilities, including telephone corporations. Existing law authorizes the commission to fix just and reasonable rates and charges for public utilities. Existing law requires the commission, on or before February 1, 1995, to issue an order initiating an investigation and open proceeding to examine the current and future definitions of universal service in telecommunications. Pursuant to that provision, the commission issued a decision involving carriers of last resort, including the withdrawal process for carriers of last resort, defined as a carrier who provides local exchange service and stands ready to provide basic service to any customer requesting such service within a specified area.This bill would require a telephone corporation seeking to relinquish its carrier of last resort designation for an eligible area, as defined, to provide a notice to the commission, as described, and would require the telephone corporations carrier of last resort designation for the eligible area to be relinquished upon the submission of the notice. The bill would require the telephone corporation to modify its tariff for basic local exchange telephone service, as specified, and would require that the modified tariff be effective upon the submission of the notice. The bill would require the telephone corporation to administer and pay for a customer challenge process for customers who inform the telephone corporation that no alternative voice service, as defined, is available at their location, as specified. The bill would require the commission, as part of a specified rulemaking, to establish a transition plan that a telephone corporation would be required to follow before its carrier of last resort designation is relinquished for an area within its service territory other than an eligible area.This bill would provide procedures for telephone corporations to terminate their carrier of last resort obligations in areas where the United States Census Bureau reports no population, in areas where telephone corporations provide no basic exchange service to any customer address located within their telephone service territory, and in areas that are well-served, as defined. The bill would require telephone corporations to fulfill specified conditions and meet certain notice requirements to be relieved of the carrier of last resort obligations. The bill would impose additional duties on telephone corporations terminating their carrier of last resort obligations, including, among other things, publishing a notice which would specify a residential consumers authority to submit a written request seeking independent third-party review of the assertion that an area has no population or no basic exchange service customers or that a consumer in an area is well-served, as applicable. The bill would require the commission, on or before January 1, 2027, to determine a transition plan to be followed before a telephone corporation amends its status as a carrier of last resort in areas other than those subject to amended status under the bill.The bill would create the Public Safety Agency Technology Upgrade Grant Fund, provide that moneys in the fund are continuously appropriated to the commission for purposes of public safety agency technology upgrade grants, and authorize the fund to accept donations from nongovernmental entities. The bill would make specified exceptions to these provisions.Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest.This bill would make legislative findings to that effect.Under existing law, a violation of an order, decision, rule, direction, demand, or requirement of the commission is a crime.Because a violation of a commission action implementing this bills requirements would be a crime, the bill would impose a state-mandated local program.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. Existing law vests the Public Utilities Commission with regulatory authority over public utilities, including telephone corporations. Existing law authorizes the commission to fix just and reasonable rates and charges for public utilities. Existing law requires the commission, on or before February 1, 1995, to issue an order initiating an investigation and open proceeding to examine the current and future definitions of universal service in telecommunications. Pursuant to that provision, the commission issued a decision involving carriers of last resort, including the withdrawal process for carriers of last resort, defined as a carrier who provides local exchange service and stands ready to provide basic service to any customer requesting such service within a specified area. This bill would require a telephone corporation seeking to relinquish its carrier of last resort designation for an eligible area, as defined, to provide a notice to the commission, as described, and would require the telephone corporations carrier of last resort designation for the eligible area to be relinquished upon the submission of the notice. The bill would require the telephone corporation to modify its tariff for basic local exchange telephone service, as specified, and would require that the modified tariff be effective upon the submission of the notice. The bill would require the telephone corporation to administer and pay for a customer challenge process for customers who inform the telephone corporation that no alternative voice service, as defined, is available at their location, as specified. The bill would require the commission, as part of a specified rulemaking, to establish a transition plan that a telephone corporation would be required to follow before its carrier of last resort designation is relinquished for an area within its service territory other than an eligible area. This bill would provide procedures for telephone corporations to terminate their carrier of last resort obligations in areas where the United States Census Bureau reports no population, in areas where telephone corporations provide no basic exchange service to any customer address located within their telephone service territory, and in areas that are well-served, as defined. The bill would require telephone corporations to fulfill specified conditions and meet certain notice requirements to be relieved of the carrier of last resort obligations. The bill would impose additional duties on telephone corporations terminating their carrier of last resort obligations, including, among other things, publishing a notice which would specify a residential consumers authority to submit a written request seeking independent third-party review of the assertion that an area has no population or no basic exchange service customers or that a consumer in an area is well-served, as applicable. The bill would require the commission, on or before January 1, 2027, to determine a transition plan to be followed before a telephone corporation amends its status as a carrier of last resort in areas other than those subject to amended status under the bill. The bill would create the Public Safety Agency Technology Upgrade Grant Fund, provide that moneys in the fund are continuously appropriated to the commission for purposes of public safety agency technology upgrade grants, and authorize the fund to accept donations from nongovernmental entities. The bill would make specified exceptions to these provisions. Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest. This bill would make legislative findings to that effect. Under existing law, a violation of an order, decision, rule, direction, demand, or requirement of the commission is a crime. Because a violation of a commission action implementing this bills requirements would be a crime, the bill would impose a state-mandated local program. 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. ## Digest Key ## Bill Text The people of the State of California do enact as follows:SECTION 1. The Legislature finds and declares all of the following:(a) All The state encourages the deployment of advanced telecommunications capability to all Californians by utilizing regulatory forbearance measures that promote competition in the local telecommunications market, or other methods that encourage infrastructure investment.(b) All Californians deserve reliable, affordable, fast, and safe communications options, no matter who they are, where they live, or why they need to be connected.(b)(c) The transition to broadband networks is key to creating equity and positive impacts on California education, health care, agriculture, public safety, workforce development, and the economy.(c)(d) Outdated state laws result in continued investments in aging technology that consumers are increasingly abandoning have largely abandoned because it does not meet their needs.(d)(e) Californians are moving swiftly to abandon the old copper legacy network because it does not provide the benefits of modern communication technologies, with more choosing to use wireless or internet-based advanced services every year.(e)(f) California must develop a responsible and equitable transition plan that ensures all Californians have access to the connectivity they need.(f)(g) The transition should include a phased approach that over time ensures customers have access to communication services that are equally or more reliable and affordable, before transitioning away from the old legacy network.(g)(h) As part of the transition, no Californian will be left without reliable voice service in their homes, including the ability to contact 9-1-1 and to receive critical emergency alerts. 9-1-1.SEC. 2. Article 1.5 (commencing with Section 2878) is added to Chapter 10 of Part 2 of Division 1 of the Public Utilities Code, to read: Article 1.5. Carriers of Last Resort2878. For purposes of this article, all of the following definitions apply:(a) Alternative voice service means a retail service made available through a technology or service arrangement by a provider that provides, as a stand-alone service or as part of a bundled service, all of the following:(1) Voice access interconnected with the public switched telephone network.(2) Access to emergency 9-1-1 service. service and E-9-1-1 service in compliance with current state and federal laws and regulations.(3) Compatibility with a backup power source.(b)Area means census block.(c)Available means the service provider provides coverage to at least 99 percent of the population of the area, according to the most recent federal census population estimates.(d)Carrier of last resort has the same meaning as defined in Section 275.6.(e)Eligible area means either of the following:(1)An area that meets both of the following criteria:(A)The United States Bureau of the Census reports no population in the area.(B)The telephone corporation does not provide basic local exchange telephone service to a customer address in the area.(2)An area that is well-served by alternative voice service.(4) A billing option with monthly rates and without contract or early termination penalties.(5) Access to the California Relay Service pursuant to Section 2881 for deaf or hearing-impaired persons or individuals with speech disabilities.(6) Access to customer service for information about service termination, repair, and billing inquiries.(7) Free access to 800 and 8YY toll-free services with no additional usage charges for such calls.(b) Amended status means the status of a telephone corporation that relinquished carrier of last resort status in a census block or census blocks.(c) Amended status area means a census block or census blocks for which a telephone corporation relinquished carrier of last resort status.(d) Broadband service means a mass-market retail service by wire or radio provided to customers in the state that provides the capability to transmit data to, and receive data from, all or substantially all internet endpoints, including, but not limited to, any capabilities that are incidental to and enable the operation of the communications service, but excluding dial-up internet access service.(e) Comparatively priced alternative voice service means an alternative voice service that is competitively priced in relation to the relevant telephone corporations nondiscounted basic exchange telephone service when considering all the alternatives in the amended status area and the functionalities of the alternatives.(f) Eligible small business customer means a traditional landline customer with five or fewer lines, that is not subject to a separate contract for copper-based voice services and fits the microbusiness definition in paragraph (2) of subdivision (d) of Section 14837 of the Government Code.(f)(g) Notice means a written communication.(h) Qualifying public assistance program means any of the following programs:(1) The California Alternate Rates for Energy (CARE) program described in Section 739.1.(2) The State Supplementary Payment Program for the Aged, Blind and Disabled implemented pursuant to the Burton-Moscone-Bagley Citizens Income Security Act for Aged, Blind and Disabled Californians (Chapter 3 (commencing with Section 12000) of Part 3 of Division 9 of the Welfare and Institutions Code).(3) The Temporary Assistance for Needy Families program pursuant to Part A (commencing with Section 401) of Title IV of the federal Social Security Act (42 U.S.C. Sec. 601 et seq.).(4) The CalFresh program established pursuant to Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code.(5) Covered California, as described in Title 22 (commencing with Section 100500) of the Government Code.(6) Medi-Cal, as described in the Medi-Cal Act (Chapter 7 (commencing with Section 14000.4) of Part 3 of Division 9 of the Welfare and Institutions Code).(7) Supplemental security income benefits pursuant to Title XVI of the Social Security Act (Section 1381 of Title 42 of the United States Code).(g)Telephone corporation has the same meaning as defined in Section 234.(h)(i) Well-served means at least three different facilities-based service providers, providers offer alternative voice service in the relevant area, and at least one of which the service providers is a wireline provider, offer alternative voice service to customers in the relevant area, and at least one of the alternative voice services offered by a service provider is reasonably comparable in price or value to the telephone corporations current nondiscounted rate for basic local exchange telephone service. and at least one of the service providers offers a comparatively priced alternative voice service. The alternative voice service shall be available to at least 99.9 percent of the broadband-serviceable locations in the area, as such broadband-serviceable locations are set forth in the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.2878.1. (a) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area where the United States Census Bureau reports no population or where a telephone corporation provides no basic exchange service to any customer address located within its telephone service territory when it fulfills the obligations set forth in Section 2878.3(b) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area that is well-served when the telephone corporation fulfills the obligations set forth in Section 2878.4.2878.2. (a) A telephone corporation that seeks to amend its status as a carrier of last resort under either Section 2878.3 or Section 2878.4 shall first publish notice of its intention one time in the nonlegal section of a newspaper of general circulation throughout the relevant areas and on any social media channels the company utilizes for marketing in those areas. The notice shall provide all of the following:(1) A full explanation to residential consumers regarding the amended status process and applicable timelines. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(2) A provision stating that any residential consumer may oppose the telephone corporations assertion that there is either no population or no basic exchange service customer if the telephone corporation seeks amended status under Section 2878.3, or that the area is well-served if the telephone corporation seeks amended status under Section 2878.4, by submitting a written request to the telephone corporation seeking independent third-party review. The notice shall state that the written request shall be submitted to the telephone corporation no later than 90 days from the date on the notice.(b) Regarding a residential consumers written request pursuant to subdivision (a), the following shall apply to the telephone corporation:(1) No later than 30 days after the receipt of the residential consumers written request, the telephone corporation shall identify and submit to the executive director of the commission or the executive directors designee three entities qualified to conduct the independent third-party review.(2) No later than 30 days after the identification and submission, the executive director of the commission or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review.(3) The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(4) The independent third-party review shall evaluate the merits of the residential consumers claim and make its determination within 30 days of selection.(5) If the independent third-party reviewer determines that the residential consumers claim has merit, the telephone corporation shall offer to provide, to the extent technically feasible, the residential consumer with alternative voice service at that address for 24 months from the amended status effective date.2878.3. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in an area that the United States Census Bureau reports no population, or that a telephone corporation provides no basic exchange service to any customer at a customer address, shall submit the notice described in subdivision (b) to all of the following entities:(1) The Governor.(2) The commission.(3) The Office of Emergency Services.(4) The Department of Forestry and Fire Protection.(5) Each city, county, city and county, or unincorporated town or village included in the amended status area.(b) (1) The notice shall be in writing and be delivered to the address of record.(2) The notice shall include both of the following:(A) A map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(B) A copy of the tariff modification describing the telephone corporations amended status in the areas covered by the map provided pursuant to subparagraph (A).(c) The amended status and the tariff modification shall be effective 30 days from the date of the notice. The telephone corporation shall respond in good faith to all inquiries from those entities receiving notification pursuant to subdivision (a).2878.4. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in areas that are well served shall commit to the obligations described in subdivision (b) and provide the notice described in subdivision (c) to its basic exchange customers. The telephone corporations amended status in well-served areas shall be effective 30 days from date of the third customer notification letter described in subdivision (c), or 30 days from the date of the commitment letter described in subdivision (b), whichever is later.(b) A telephone corporation that seeks to amend its status as a carrier of last resort in an area that is well served shall provide a commitment letter from an officer with authority to bind the telephone corporation that certifies that the telephone corporation agrees to meet the obligations listed in this subdivision in well-served areas for 24 months from the date the telephone corporation obtains amended status in the area, unless specified otherwise below. The letter shall be addressed to the Governor with copies of the letter provided to the commission and each city, county, or unincorporated town or village in the amended status areas. The telephone corporation shall, and the letter shall state that the telephone corporation shall, do all the following:(1) For three years from the effective date a telephone corporation obtains amended status, the telephone corporation shall demonstrate that it has made accessible its advanced fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status. The telephone corporation shall provide an annual report to the executive director of the commission certifying the following:(A) The telephone corporation made accessible its advance fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status.(B) The telephone corporation had a positive year-over-year increase in its advanced fiber optics buildout in the state.(C) Notwithstanding any other provision of law, any annual report submitted pursuant to this section shall be considered confidential and protected from public disclosure in accordance with Section 583.(2) Provide continuing service to a customer who subscribes to basic exchange service for at least 12 months from the date the telephone corporation obtains amended status in the area if the customer elects not to transition to an alternative voice service.(3) To the extent technically feasible, offer an existing residential customer a comparatively priced alternative voice service. For purposes of this paragraph, comparatively priced alternative voice service shall, in addition to meeting the requirements of subdivision (a) of Section 2878, provide interoperability with legacy devices utilizing copper for alarm systems, point-of-sale devices, and medical monitoring devices.(4) Offer an affordable broadband plan in each amended status area to eligible consumers. To qualify, a household shall have an income that is at or below 400 percent of the federal poverty guidelines or at least one member of the household shall participate in a qualifying public assistance program.(5) Offer small business security and alarm system technology migration assistance in each amended status area to eligible small business customers who transition to an alternative voice service by providing a voucher to eligible small business customers for costs associated with transitioning alarm system services. Vouchers shall be administered by the telephone corporation and participation in the program reported annually to the commission.(6) Provide funding for public safety agency technology upgrade grants to be administered by the Board of State and Community Corrections to public safety agencies that have at least one service connection located in an amended status area. Administrative costs incurred by the Board of State and Community Corrections shall be recouped from the grant fund.(7) Provide funding to the Office of Emergency Services for grants and programs to tribal governments, community-based organizations, and local governments that focus on public outreach and awareness of modern communications, including, but not limited to, alternative voice services, for those with low incomes, disabilities, language barriers, older adults, and residents in high-risk areas, to help them prepare for, respond to, and recover from emergencies.(8) Provide funding for programs to develop community-based digital literacy resources in amended status areas.(9) Provide funding for a workforce development program in amended status areas that includes, but is not limited to, enhanced skills training, mentoring, education reimbursement, and career development programs for nonmanagement employees.(10) During the 90-day notice period described in subdivision (c), conduct a minimum of one informational workshop in each legislative district that includes one or more amended status areas, and conduct a minimum of one additional informational workshop in other legislative districts upon request from the Assembly Member or Senator representing the district.(11) Maintain an internet website and toll-free number dedicated to answering questions regarding the amended status process.(c) The telephone corporation shall provide three notice letters to customers in the amended areas. The letters shall be sent 30 days apart. The notice letters must comply with the commissions rules for in-language support to limited English proficient telecommunications consumers adopted pursuant to commission Decision 07-07-043 (July 26, 2007), Decision Addressing the Needs of Telecommunications Consumers Who Have Limited English Proficiency, or as subsequently revised. Each letter shall include all the following information:(1) A full explanation to customers regarding the amended status process and timing. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(2) A description of the alternative voice service available from the telephone corporation.(3) A description of the affordable broadband plans available from the telephone corporation to eligible consumers in the amended status areas.(4) Links to the internet websites and telephone numbers of alternative voice service providers in the amended status areas.(5) The date, time, and location of the informational workshop for the customers amended status area.(d) The telephone corporation shall provide a copy of the template used for the three customer notice letters in each amended status area to all the following entities:(1) The commission.(2) The Members of the Legislature representing districts included in the amended status areas.(3) Each city, county, or unincorporated town or village included in the amended status areas.(e) In addition to the customer notice template described in subdivision (d), the telephone corporation shall file a Tier 1 advice letter with the commission to be effective on the date filed that reflects the amended status areas.2878.5. (a) (1) A customer in a well-served area where a telephone corporation seeks to amend its status may do either of the following during the 90-day notice period before the effective date of the amended status:(A) Choose an alternative voice service provided by the telephone corporation.(B) Choose an alternative voice service provided by another service provider.(2) (A) If the customer does not choose either option described in paragraph (1), the customer shall remain on their basic exchange service with the telephone corporation.(B) The telephone corporation shall provide a customer remaining on their basic exchange service with two notice letters regarding the telephone corporations transition from the current voice service, which transition shall occur no sooner than 12 months from the amended status effective date described in subdivision (a) of Section 2878.4 and after all state and federal regulatory requirements have been met. The notice letters shall be sent 30 days apart. Each notice letter shall include information explaining the status of the customers existing service and, if applicable, how the customer may seek the independent third-party review described in subdivision (b).(b) (1) If a customer continues to subscribe to their basic exchange service with the telephone corporation for 12 months after the amended status effective date described in subdivision (a) of Section 2878.4 and, upon receipt of the notice letters required by subparagraph (B) of paragraph (2) of subdivision (a), is unable to obtain a comparatively priced alternative voice service, then the customer may submit a written request, pursuant to the instructions provided by the telephone corporation in the notice letters, seeking independent third-party review. The customer shall submit this written request no later than 60 days after the date of the second notice letter.(2) No later than 30 days from receipt of the customers written request, the telephone corporation shall submit to the executive director of the commission, or the executive directors designee, the identities of three entities qualified to conduct the independent third-party review. No later than 30 days after the identification, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review. The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(3) The entity selected pursuant to paragraph (2) shall determine whether or not a comparatively priced alternative voice service is available at the customers address and shall report its determination to the customer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under paragraph (2).(4) If the independent third-party reviewer determines that a comparatively priced alternative voice service is not available at the customer address, the telephone corporation shall continue to provide the customer with the customers basic exchange service at that address. If the telephone corporation can demonstrate that circumstances have changed at any time, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, identifying a comparatively priced alternative voice service at the customers address and restarting the process set forth in paragraph (2).2878.6. (a) (1) The obligations in this section apply only to a telephone corporation that has received amended status.(2) The obligations in this section apply for 10 years after a telephone corporation meets the requirements described in paragraph (1).(b) (1) A telephone corporation that meets the requirements described in paragraph (1) of subdivision (a) shall provide alternative voice service to any residential consumer that is unable to obtain alternative voice service from any provider in the well-served area if both of the following occur:(A) The residential consumer notifies the telephone corporation in writing that no alternative voice service is available in the well-served area.(B) An independent third-party reviewer approved by the executive director of the commission or the executive directors designee determines that no alternative voice service is available in the well-served area.(2) (A) No later than 30 days after the receipt of the residential consumers written notification under subparagraph (A) of paragraph (1), the telephone corporation shall identify and submit to the executive director of the commission, or the executive directors designee, three entities qualified to conduct the independent third-party review.(B) No later than 30 days after the identification and submission, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review.(C) The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(D) The entity selected pursuant to subparagraph (B) shall determine whether or not an alternative voice service is available at the residential consumers address and shall report its determination to the residential consumer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under subparagraph (B).(3) (A) When the telephone corporation can demonstrate that circumstances have changed, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, that identifies an alternative voice service available at the residential consumers location.(B) The telephone corporation shall be relieved of the obligations under paragraph (1) of subdivision (b) if an independent third-party reviewer that is approved by the executive director of the commission, or the executive directors designee, determines that there is an alternative voice service available to the residential consumer.2878.7. (a) This article does not confer regulatory authority to the commission over alternative voice services.(b) As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall determine a transition plan that shall be followed before a telephone corporation may amend its status as a carrier of last resort in areas not described in Section 2878.3 or not well served by alternative voice services as described in Section 2878.4. The commission may consider input from stakeholders during this process, including representatives of public safety agencies. The commission shall issue its final decision on or before January 1, 2027.2878.8. The Public Safety Agency Technology Upgrade Grant fund is hereby created in the State Treasury. Notwithstanding Section 13340 of the Government Code, the moneys in the fund are hereby continuously appropriated without regard to fiscal year to the commission for purposes of paragraph (6) of subdivision (b) of Section 2878.4. The fund may accept donations from nongovernmental entities 2878.9. (a) This article shall not apply to intrastate legacy time-division multiplexing services used to directly connect land mobile radio systems used for public safety.(b) This article shall not apply to any inhabited island that is not part of the mainland area of the state and is not accessible by bridge or road, if any part of the island is well served.2878.1.(a)(1)A telephone corporation seeking to relinquish its carrier of last resort designation for an eligible area within its service territory shall submit to the commission a notice. The telephone corporations carrier of last resort designation for the eligible area shall be relinquished upon the submission of the notice.(2)A notice submitted pursuant to paragraph (1) shall include both of the following:(A)A map of the eligible area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission or commission map showing fixed and wireless broadband coverage.(B)A copy of the modified tariff described in subdivision (b).(b)Notwithstanding any other law or commission decision, a telephone corporation, before submitting a notice pursuant to subdivision (a), shall modify its tariff for basic local exchange telephone service to align with its relinquishment of its carrier of last resort designation. The modified tariff shall be effective upon the submission of the notice pursuant to subdivision (a).(c)(1)The telephone corporation shall administer and pay for a customer challenge process available to a customer who informs the telephone corporation that no alternative voice service is available at their location.(2)The telephone corporation shall notify its customers of its customer challenge process.(3)If a customer successfully challenges the availability of alternative voice service at their location, the telephone corporation shall continue to provide basic local exchange telephone service to the customer for at least two years after the challenge process is complete.(d)This section does not confer regulatory authority to the commission over alternative voice service.(e)As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall establish a transition plan that a telephone corporation shall be required to follow before its carrier of last resort designation is relinquished for an area within its service territory other than an eligible area. The commission may consider input from stakeholders, including representatives of public safety agencies, during that portion of the rulemaking.SEC. 3. The Legislature finds and declares that Section 1 of this act, which adds subparagraph (C) of paragraph (1) of subdivision (b) of Section 2878.4 of the Public Utilities Code, imposes a limitation on the publics right of access to the meetings of public bodies or the writings of public officials and agencies within the meaning of Section 3 of Article I of the California Constitution. Pursuant to that constitutional provision, the Legislature makes the following findings to demonstrate the interest protected by this limitation and the need for protecting that interest:In order to order to protect the confidential and proprietary information of an entity subject to Section 1 of this act, it is necessary that this act limit the publics right of access to that information.SEC. 3.SEC. 4. 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. The people of the State of California do enact as follows: ## The people of the State of California do enact as follows: SECTION 1. The Legislature finds and declares all of the following:(a) All The state encourages the deployment of advanced telecommunications capability to all Californians by utilizing regulatory forbearance measures that promote competition in the local telecommunications market, or other methods that encourage infrastructure investment.(b) All Californians deserve reliable, affordable, fast, and safe communications options, no matter who they are, where they live, or why they need to be connected.(b)(c) The transition to broadband networks is key to creating equity and positive impacts on California education, health care, agriculture, public safety, workforce development, and the economy.(c)(d) Outdated state laws result in continued investments in aging technology that consumers are increasingly abandoning have largely abandoned because it does not meet their needs.(d)(e) Californians are moving swiftly to abandon the old copper legacy network because it does not provide the benefits of modern communication technologies, with more choosing to use wireless or internet-based advanced services every year.(e)(f) California must develop a responsible and equitable transition plan that ensures all Californians have access to the connectivity they need.(f)(g) The transition should include a phased approach that over time ensures customers have access to communication services that are equally or more reliable and affordable, before transitioning away from the old legacy network.(g)(h) As part of the transition, no Californian will be left without reliable voice service in their homes, including the ability to contact 9-1-1 and to receive critical emergency alerts. 9-1-1. SECTION 1. The Legislature finds and declares all of the following:(a) All The state encourages the deployment of advanced telecommunications capability to all Californians by utilizing regulatory forbearance measures that promote competition in the local telecommunications market, or other methods that encourage infrastructure investment.(b) All Californians deserve reliable, affordable, fast, and safe communications options, no matter who they are, where they live, or why they need to be connected.(b)(c) The transition to broadband networks is key to creating equity and positive impacts on California education, health care, agriculture, public safety, workforce development, and the economy.(c)(d) Outdated state laws result in continued investments in aging technology that consumers are increasingly abandoning have largely abandoned because it does not meet their needs.(d)(e) Californians are moving swiftly to abandon the old copper legacy network because it does not provide the benefits of modern communication technologies, with more choosing to use wireless or internet-based advanced services every year.(e)(f) California must develop a responsible and equitable transition plan that ensures all Californians have access to the connectivity they need.(f)(g) The transition should include a phased approach that over time ensures customers have access to communication services that are equally or more reliable and affordable, before transitioning away from the old legacy network.(g)(h) As part of the transition, no Californian will be left without reliable voice service in their homes, including the ability to contact 9-1-1 and to receive critical emergency alerts. 9-1-1. SECTION 1. The Legislature finds and declares all of the following: ### SECTION 1. (a) All The state encourages the deployment of advanced telecommunications capability to all Californians by utilizing regulatory forbearance measures that promote competition in the local telecommunications market, or other methods that encourage infrastructure investment. (b) All Californians deserve reliable, affordable, fast, and safe communications options, no matter who they are, where they live, or why they need to be connected. (b) (c) The transition to broadband networks is key to creating equity and positive impacts on California education, health care, agriculture, public safety, workforce development, and the economy. (c) (d) Outdated state laws result in continued investments in aging technology that consumers are increasingly abandoning have largely abandoned because it does not meet their needs. (d) (e) Californians are moving swiftly to abandon the old copper legacy network because it does not provide the benefits of modern communication technologies, with more choosing to use wireless or internet-based advanced services every year. (e) (f) California must develop a responsible and equitable transition plan that ensures all Californians have access to the connectivity they need. (f) (g) The transition should include a phased approach that over time ensures customers have access to communication services that are equally or more reliable and affordable, before transitioning away from the old legacy network. (g) (h) As part of the transition, no Californian will be left without reliable voice service in their homes, including the ability to contact 9-1-1 and to receive critical emergency alerts. 9-1-1. SEC. 2. Article 1.5 (commencing with Section 2878) is added to Chapter 10 of Part 2 of Division 1 of the Public Utilities Code, to read: Article 1.5. Carriers of Last Resort2878. For purposes of this article, all of the following definitions apply:(a) Alternative voice service means a retail service made available through a technology or service arrangement by a provider that provides, as a stand-alone service or as part of a bundled service, all of the following:(1) Voice access interconnected with the public switched telephone network.(2) Access to emergency 9-1-1 service. service and E-9-1-1 service in compliance with current state and federal laws and regulations.(3) Compatibility with a backup power source.(b)Area means census block.(c)Available means the service provider provides coverage to at least 99 percent of the population of the area, according to the most recent federal census population estimates.(d)Carrier of last resort has the same meaning as defined in Section 275.6.(e)Eligible area means either of the following:(1)An area that meets both of the following criteria:(A)The United States Bureau of the Census reports no population in the area.(B)The telephone corporation does not provide basic local exchange telephone service to a customer address in the area.(2)An area that is well-served by alternative voice service.(4) A billing option with monthly rates and without contract or early termination penalties.(5) Access to the California Relay Service pursuant to Section 2881 for deaf or hearing-impaired persons or individuals with speech disabilities.(6) Access to customer service for information about service termination, repair, and billing inquiries.(7) Free access to 800 and 8YY toll-free services with no additional usage charges for such calls.(b) Amended status means the status of a telephone corporation that relinquished carrier of last resort status in a census block or census blocks.(c) Amended status area means a census block or census blocks for which a telephone corporation relinquished carrier of last resort status.(d) Broadband service means a mass-market retail service by wire or radio provided to customers in the state that provides the capability to transmit data to, and receive data from, all or substantially all internet endpoints, including, but not limited to, any capabilities that are incidental to and enable the operation of the communications service, but excluding dial-up internet access service.(e) Comparatively priced alternative voice service means an alternative voice service that is competitively priced in relation to the relevant telephone corporations nondiscounted basic exchange telephone service when considering all the alternatives in the amended status area and the functionalities of the alternatives.(f) Eligible small business customer means a traditional landline customer with five or fewer lines, that is not subject to a separate contract for copper-based voice services and fits the microbusiness definition in paragraph (2) of subdivision (d) of Section 14837 of the Government Code.(f)(g) Notice means a written communication.(h) Qualifying public assistance program means any of the following programs:(1) The California Alternate Rates for Energy (CARE) program described in Section 739.1.(2) The State Supplementary Payment Program for the Aged, Blind and Disabled implemented pursuant to the Burton-Moscone-Bagley Citizens Income Security Act for Aged, Blind and Disabled Californians (Chapter 3 (commencing with Section 12000) of Part 3 of Division 9 of the Welfare and Institutions Code).(3) The Temporary Assistance for Needy Families program pursuant to Part A (commencing with Section 401) of Title IV of the federal Social Security Act (42 U.S.C. Sec. 601 et seq.).(4) The CalFresh program established pursuant to Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code.(5) Covered California, as described in Title 22 (commencing with Section 100500) of the Government Code.(6) Medi-Cal, as described in the Medi-Cal Act (Chapter 7 (commencing with Section 14000.4) of Part 3 of Division 9 of the Welfare and Institutions Code).(7) Supplemental security income benefits pursuant to Title XVI of the Social Security Act (Section 1381 of Title 42 of the United States Code).(g)Telephone corporation has the same meaning as defined in Section 234.(h)(i) Well-served means at least three different facilities-based service providers, providers offer alternative voice service in the relevant area, and at least one of which the service providers is a wireline provider, offer alternative voice service to customers in the relevant area, and at least one of the alternative voice services offered by a service provider is reasonably comparable in price or value to the telephone corporations current nondiscounted rate for basic local exchange telephone service. and at least one of the service providers offers a comparatively priced alternative voice service. The alternative voice service shall be available to at least 99.9 percent of the broadband-serviceable locations in the area, as such broadband-serviceable locations are set forth in the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.2878.1. (a) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area where the United States Census Bureau reports no population or where a telephone corporation provides no basic exchange service to any customer address located within its telephone service territory when it fulfills the obligations set forth in Section 2878.3(b) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area that is well-served when the telephone corporation fulfills the obligations set forth in Section 2878.4.2878.2. (a) A telephone corporation that seeks to amend its status as a carrier of last resort under either Section 2878.3 or Section 2878.4 shall first publish notice of its intention one time in the nonlegal section of a newspaper of general circulation throughout the relevant areas and on any social media channels the company utilizes for marketing in those areas. The notice shall provide all of the following:(1) A full explanation to residential consumers regarding the amended status process and applicable timelines. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(2) A provision stating that any residential consumer may oppose the telephone corporations assertion that there is either no population or no basic exchange service customer if the telephone corporation seeks amended status under Section 2878.3, or that the area is well-served if the telephone corporation seeks amended status under Section 2878.4, by submitting a written request to the telephone corporation seeking independent third-party review. The notice shall state that the written request shall be submitted to the telephone corporation no later than 90 days from the date on the notice.(b) Regarding a residential consumers written request pursuant to subdivision (a), the following shall apply to the telephone corporation:(1) No later than 30 days after the receipt of the residential consumers written request, the telephone corporation shall identify and submit to the executive director of the commission or the executive directors designee three entities qualified to conduct the independent third-party review.(2) No later than 30 days after the identification and submission, the executive director of the commission or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review.(3) The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(4) The independent third-party review shall evaluate the merits of the residential consumers claim and make its determination within 30 days of selection.(5) If the independent third-party reviewer determines that the residential consumers claim has merit, the telephone corporation shall offer to provide, to the extent technically feasible, the residential consumer with alternative voice service at that address for 24 months from the amended status effective date.2878.3. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in an area that the United States Census Bureau reports no population, or that a telephone corporation provides no basic exchange service to any customer at a customer address, shall submit the notice described in subdivision (b) to all of the following entities:(1) The Governor.(2) The commission.(3) The Office of Emergency Services.(4) The Department of Forestry and Fire Protection.(5) Each city, county, city and county, or unincorporated town or village included in the amended status area.(b) (1) The notice shall be in writing and be delivered to the address of record.(2) The notice shall include both of the following:(A) A map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(B) A copy of the tariff modification describing the telephone corporations amended status in the areas covered by the map provided pursuant to subparagraph (A).(c) The amended status and the tariff modification shall be effective 30 days from the date of the notice. The telephone corporation shall respond in good faith to all inquiries from those entities receiving notification pursuant to subdivision (a).2878.4. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in areas that are well served shall commit to the obligations described in subdivision (b) and provide the notice described in subdivision (c) to its basic exchange customers. The telephone corporations amended status in well-served areas shall be effective 30 days from date of the third customer notification letter described in subdivision (c), or 30 days from the date of the commitment letter described in subdivision (b), whichever is later.(b) A telephone corporation that seeks to amend its status as a carrier of last resort in an area that is well served shall provide a commitment letter from an officer with authority to bind the telephone corporation that certifies that the telephone corporation agrees to meet the obligations listed in this subdivision in well-served areas for 24 months from the date the telephone corporation obtains amended status in the area, unless specified otherwise below. The letter shall be addressed to the Governor with copies of the letter provided to the commission and each city, county, or unincorporated town or village in the amended status areas. The telephone corporation shall, and the letter shall state that the telephone corporation shall, do all the following:(1) For three years from the effective date a telephone corporation obtains amended status, the telephone corporation shall demonstrate that it has made accessible its advanced fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status. The telephone corporation shall provide an annual report to the executive director of the commission certifying the following:(A) The telephone corporation made accessible its advance fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status.(B) The telephone corporation had a positive year-over-year increase in its advanced fiber optics buildout in the state.(C) Notwithstanding any other provision of law, any annual report submitted pursuant to this section shall be considered confidential and protected from public disclosure in accordance with Section 583.(2) Provide continuing service to a customer who subscribes to basic exchange service for at least 12 months from the date the telephone corporation obtains amended status in the area if the customer elects not to transition to an alternative voice service.(3) To the extent technically feasible, offer an existing residential customer a comparatively priced alternative voice service. For purposes of this paragraph, comparatively priced alternative voice service shall, in addition to meeting the requirements of subdivision (a) of Section 2878, provide interoperability with legacy devices utilizing copper for alarm systems, point-of-sale devices, and medical monitoring devices.(4) Offer an affordable broadband plan in each amended status area to eligible consumers. To qualify, a household shall have an income that is at or below 400 percent of the federal poverty guidelines or at least one member of the household shall participate in a qualifying public assistance program.(5) Offer small business security and alarm system technology migration assistance in each amended status area to eligible small business customers who transition to an alternative voice service by providing a voucher to eligible small business customers for costs associated with transitioning alarm system services. Vouchers shall be administered by the telephone corporation and participation in the program reported annually to the commission.(6) Provide funding for public safety agency technology upgrade grants to be administered by the Board of State and Community Corrections to public safety agencies that have at least one service connection located in an amended status area. Administrative costs incurred by the Board of State and Community Corrections shall be recouped from the grant fund.(7) Provide funding to the Office of Emergency Services for grants and programs to tribal governments, community-based organizations, and local governments that focus on public outreach and awareness of modern communications, including, but not limited to, alternative voice services, for those with low incomes, disabilities, language barriers, older adults, and residents in high-risk areas, to help them prepare for, respond to, and recover from emergencies.(8) Provide funding for programs to develop community-based digital literacy resources in amended status areas.(9) Provide funding for a workforce development program in amended status areas that includes, but is not limited to, enhanced skills training, mentoring, education reimbursement, and career development programs for nonmanagement employees.(10) During the 90-day notice period described in subdivision (c), conduct a minimum of one informational workshop in each legislative district that includes one or more amended status areas, and conduct a minimum of one additional informational workshop in other legislative districts upon request from the Assembly Member or Senator representing the district.(11) Maintain an internet website and toll-free number dedicated to answering questions regarding the amended status process.(c) The telephone corporation shall provide three notice letters to customers in the amended areas. The letters shall be sent 30 days apart. The notice letters must comply with the commissions rules for in-language support to limited English proficient telecommunications consumers adopted pursuant to commission Decision 07-07-043 (July 26, 2007), Decision Addressing the Needs of Telecommunications Consumers Who Have Limited English Proficiency, or as subsequently revised. Each letter shall include all the following information:(1) A full explanation to customers regarding the amended status process and timing. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(2) A description of the alternative voice service available from the telephone corporation.(3) A description of the affordable broadband plans available from the telephone corporation to eligible consumers in the amended status areas.(4) Links to the internet websites and telephone numbers of alternative voice service providers in the amended status areas.(5) The date, time, and location of the informational workshop for the customers amended status area.(d) The telephone corporation shall provide a copy of the template used for the three customer notice letters in each amended status area to all the following entities:(1) The commission.(2) The Members of the Legislature representing districts included in the amended status areas.(3) Each city, county, or unincorporated town or village included in the amended status areas.(e) In addition to the customer notice template described in subdivision (d), the telephone corporation shall file a Tier 1 advice letter with the commission to be effective on the date filed that reflects the amended status areas.2878.5. (a) (1) A customer in a well-served area where a telephone corporation seeks to amend its status may do either of the following during the 90-day notice period before the effective date of the amended status:(A) Choose an alternative voice service provided by the telephone corporation.(B) Choose an alternative voice service provided by another service provider.(2) (A) If the customer does not choose either option described in paragraph (1), the customer shall remain on their basic exchange service with the telephone corporation.(B) The telephone corporation shall provide a customer remaining on their basic exchange service with two notice letters regarding the telephone corporations transition from the current voice service, which transition shall occur no sooner than 12 months from the amended status effective date described in subdivision (a) of Section 2878.4 and after all state and federal regulatory requirements have been met. The notice letters shall be sent 30 days apart. Each notice letter shall include information explaining the status of the customers existing service and, if applicable, how the customer may seek the independent third-party review described in subdivision (b).(b) (1) If a customer continues to subscribe to their basic exchange service with the telephone corporation for 12 months after the amended status effective date described in subdivision (a) of Section 2878.4 and, upon receipt of the notice letters required by subparagraph (B) of paragraph (2) of subdivision (a), is unable to obtain a comparatively priced alternative voice service, then the customer may submit a written request, pursuant to the instructions provided by the telephone corporation in the notice letters, seeking independent third-party review. The customer shall submit this written request no later than 60 days after the date of the second notice letter.(2) No later than 30 days from receipt of the customers written request, the telephone corporation shall submit to the executive director of the commission, or the executive directors designee, the identities of three entities qualified to conduct the independent third-party review. No later than 30 days after the identification, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review. The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(3) The entity selected pursuant to paragraph (2) shall determine whether or not a comparatively priced alternative voice service is available at the customers address and shall report its determination to the customer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under paragraph (2).(4) If the independent third-party reviewer determines that a comparatively priced alternative voice service is not available at the customer address, the telephone corporation shall continue to provide the customer with the customers basic exchange service at that address. If the telephone corporation can demonstrate that circumstances have changed at any time, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, identifying a comparatively priced alternative voice service at the customers address and restarting the process set forth in paragraph (2).2878.6. (a) (1) The obligations in this section apply only to a telephone corporation that has received amended status.(2) The obligations in this section apply for 10 years after a telephone corporation meets the requirements described in paragraph (1).(b) (1) A telephone corporation that meets the requirements described in paragraph (1) of subdivision (a) shall provide alternative voice service to any residential consumer that is unable to obtain alternative voice service from any provider in the well-served area if both of the following occur:(A) The residential consumer notifies the telephone corporation in writing that no alternative voice service is available in the well-served area.(B) An independent third-party reviewer approved by the executive director of the commission or the executive directors designee determines that no alternative voice service is available in the well-served area.(2) (A) No later than 30 days after the receipt of the residential consumers written notification under subparagraph (A) of paragraph (1), the telephone corporation shall identify and submit to the executive director of the commission, or the executive directors designee, three entities qualified to conduct the independent third-party review.(B) No later than 30 days after the identification and submission, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review.(C) The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(D) The entity selected pursuant to subparagraph (B) shall determine whether or not an alternative voice service is available at the residential consumers address and shall report its determination to the residential consumer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under subparagraph (B).(3) (A) When the telephone corporation can demonstrate that circumstances have changed, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, that identifies an alternative voice service available at the residential consumers location.(B) The telephone corporation shall be relieved of the obligations under paragraph (1) of subdivision (b) if an independent third-party reviewer that is approved by the executive director of the commission, or the executive directors designee, determines that there is an alternative voice service available to the residential consumer.2878.7. (a) This article does not confer regulatory authority to the commission over alternative voice services.(b) As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall determine a transition plan that shall be followed before a telephone corporation may amend its status as a carrier of last resort in areas not described in Section 2878.3 or not well served by alternative voice services as described in Section 2878.4. The commission may consider input from stakeholders during this process, including representatives of public safety agencies. The commission shall issue its final decision on or before January 1, 2027.2878.8. The Public Safety Agency Technology Upgrade Grant fund is hereby created in the State Treasury. Notwithstanding Section 13340 of the Government Code, the moneys in the fund are hereby continuously appropriated without regard to fiscal year to the commission for purposes of paragraph (6) of subdivision (b) of Section 2878.4. The fund may accept donations from nongovernmental entities 2878.9. (a) This article shall not apply to intrastate legacy time-division multiplexing services used to directly connect land mobile radio systems used for public safety.(b) This article shall not apply to any inhabited island that is not part of the mainland area of the state and is not accessible by bridge or road, if any part of the island is well served.2878.1.(a)(1)A telephone corporation seeking to relinquish its carrier of last resort designation for an eligible area within its service territory shall submit to the commission a notice. The telephone corporations carrier of last resort designation for the eligible area shall be relinquished upon the submission of the notice.(2)A notice submitted pursuant to paragraph (1) shall include both of the following:(A)A map of the eligible area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission or commission map showing fixed and wireless broadband coverage.(B)A copy of the modified tariff described in subdivision (b).(b)Notwithstanding any other law or commission decision, a telephone corporation, before submitting a notice pursuant to subdivision (a), shall modify its tariff for basic local exchange telephone service to align with its relinquishment of its carrier of last resort designation. The modified tariff shall be effective upon the submission of the notice pursuant to subdivision (a).(c)(1)The telephone corporation shall administer and pay for a customer challenge process available to a customer who informs the telephone corporation that no alternative voice service is available at their location.(2)The telephone corporation shall notify its customers of its customer challenge process.(3)If a customer successfully challenges the availability of alternative voice service at their location, the telephone corporation shall continue to provide basic local exchange telephone service to the customer for at least two years after the challenge process is complete.(d)This section does not confer regulatory authority to the commission over alternative voice service.(e)As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall establish a transition plan that a telephone corporation shall be required to follow before its carrier of last resort designation is relinquished for an area within its service territory other than an eligible area. The commission may consider input from stakeholders, including representatives of public safety agencies, during that portion of the rulemaking. SEC. 2. Article 1.5 (commencing with Section 2878) is added to Chapter 10 of Part 2 of Division 1 of the Public Utilities Code, to read: ### SEC. 2. Article 1.5. Carriers of Last Resort2878. For purposes of this article, all of the following definitions apply:(a) Alternative voice service means a retail service made available through a technology or service arrangement by a provider that provides, as a stand-alone service or as part of a bundled service, all of the following:(1) Voice access interconnected with the public switched telephone network.(2) Access to emergency 9-1-1 service. service and E-9-1-1 service in compliance with current state and federal laws and regulations.(3) Compatibility with a backup power source.(b)Area means census block.(c)Available means the service provider provides coverage to at least 99 percent of the population of the area, according to the most recent federal census population estimates.(d)Carrier of last resort has the same meaning as defined in Section 275.6.(e)Eligible area means either of the following:(1)An area that meets both of the following criteria:(A)The United States Bureau of the Census reports no population in the area.(B)The telephone corporation does not provide basic local exchange telephone service to a customer address in the area.(2)An area that is well-served by alternative voice service.(4) A billing option with monthly rates and without contract or early termination penalties.(5) Access to the California Relay Service pursuant to Section 2881 for deaf or hearing-impaired persons or individuals with speech disabilities.(6) Access to customer service for information about service termination, repair, and billing inquiries.(7) Free access to 800 and 8YY toll-free services with no additional usage charges for such calls.(b) Amended status means the status of a telephone corporation that relinquished carrier of last resort status in a census block or census blocks.(c) Amended status area means a census block or census blocks for which a telephone corporation relinquished carrier of last resort status.(d) Broadband service means a mass-market retail service by wire or radio provided to customers in the state that provides the capability to transmit data to, and receive data from, all or substantially all internet endpoints, including, but not limited to, any capabilities that are incidental to and enable the operation of the communications service, but excluding dial-up internet access service.(e) Comparatively priced alternative voice service means an alternative voice service that is competitively priced in relation to the relevant telephone corporations nondiscounted basic exchange telephone service when considering all the alternatives in the amended status area and the functionalities of the alternatives.(f) Eligible small business customer means a traditional landline customer with five or fewer lines, that is not subject to a separate contract for copper-based voice services and fits the microbusiness definition in paragraph (2) of subdivision (d) of Section 14837 of the Government Code.(f)(g) Notice means a written communication.(h) Qualifying public assistance program means any of the following programs:(1) The California Alternate Rates for Energy (CARE) program described in Section 739.1.(2) The State Supplementary Payment Program for the Aged, Blind and Disabled implemented pursuant to the Burton-Moscone-Bagley Citizens Income Security Act for Aged, Blind and Disabled Californians (Chapter 3 (commencing with Section 12000) of Part 3 of Division 9 of the Welfare and Institutions Code).(3) The Temporary Assistance for Needy Families program pursuant to Part A (commencing with Section 401) of Title IV of the federal Social Security Act (42 U.S.C. Sec. 601 et seq.).(4) The CalFresh program established pursuant to Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code.(5) Covered California, as described in Title 22 (commencing with Section 100500) of the Government Code.(6) Medi-Cal, as described in the Medi-Cal Act (Chapter 7 (commencing with Section 14000.4) of Part 3 of Division 9 of the Welfare and Institutions Code).(7) Supplemental security income benefits pursuant to Title XVI of the Social Security Act (Section 1381 of Title 42 of the United States Code).(g)Telephone corporation has the same meaning as defined in Section 234.(h)(i) Well-served means at least three different facilities-based service providers, providers offer alternative voice service in the relevant area, and at least one of which the service providers is a wireline provider, offer alternative voice service to customers in the relevant area, and at least one of the alternative voice services offered by a service provider is reasonably comparable in price or value to the telephone corporations current nondiscounted rate for basic local exchange telephone service. and at least one of the service providers offers a comparatively priced alternative voice service. The alternative voice service shall be available to at least 99.9 percent of the broadband-serviceable locations in the area, as such broadband-serviceable locations are set forth in the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.2878.1. (a) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area where the United States Census Bureau reports no population or where a telephone corporation provides no basic exchange service to any customer address located within its telephone service territory when it fulfills the obligations set forth in Section 2878.3(b) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area that is well-served when the telephone corporation fulfills the obligations set forth in Section 2878.4.2878.2. (a) A telephone corporation that seeks to amend its status as a carrier of last resort under either Section 2878.3 or Section 2878.4 shall first publish notice of its intention one time in the nonlegal section of a newspaper of general circulation throughout the relevant areas and on any social media channels the company utilizes for marketing in those areas. The notice shall provide all of the following:(1) A full explanation to residential consumers regarding the amended status process and applicable timelines. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(2) A provision stating that any residential consumer may oppose the telephone corporations assertion that there is either no population or no basic exchange service customer if the telephone corporation seeks amended status under Section 2878.3, or that the area is well-served if the telephone corporation seeks amended status under Section 2878.4, by submitting a written request to the telephone corporation seeking independent third-party review. The notice shall state that the written request shall be submitted to the telephone corporation no later than 90 days from the date on the notice.(b) Regarding a residential consumers written request pursuant to subdivision (a), the following shall apply to the telephone corporation:(1) No later than 30 days after the receipt of the residential consumers written request, the telephone corporation shall identify and submit to the executive director of the commission or the executive directors designee three entities qualified to conduct the independent third-party review.(2) No later than 30 days after the identification and submission, the executive director of the commission or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review.(3) The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(4) The independent third-party review shall evaluate the merits of the residential consumers claim and make its determination within 30 days of selection.(5) If the independent third-party reviewer determines that the residential consumers claim has merit, the telephone corporation shall offer to provide, to the extent technically feasible, the residential consumer with alternative voice service at that address for 24 months from the amended status effective date.2878.3. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in an area that the United States Census Bureau reports no population, or that a telephone corporation provides no basic exchange service to any customer at a customer address, shall submit the notice described in subdivision (b) to all of the following entities:(1) The Governor.(2) The commission.(3) The Office of Emergency Services.(4) The Department of Forestry and Fire Protection.(5) Each city, county, city and county, or unincorporated town or village included in the amended status area.(b) (1) The notice shall be in writing and be delivered to the address of record.(2) The notice shall include both of the following:(A) A map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(B) A copy of the tariff modification describing the telephone corporations amended status in the areas covered by the map provided pursuant to subparagraph (A).(c) The amended status and the tariff modification shall be effective 30 days from the date of the notice. The telephone corporation shall respond in good faith to all inquiries from those entities receiving notification pursuant to subdivision (a).2878.4. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in areas that are well served shall commit to the obligations described in subdivision (b) and provide the notice described in subdivision (c) to its basic exchange customers. The telephone corporations amended status in well-served areas shall be effective 30 days from date of the third customer notification letter described in subdivision (c), or 30 days from the date of the commitment letter described in subdivision (b), whichever is later.(b) A telephone corporation that seeks to amend its status as a carrier of last resort in an area that is well served shall provide a commitment letter from an officer with authority to bind the telephone corporation that certifies that the telephone corporation agrees to meet the obligations listed in this subdivision in well-served areas for 24 months from the date the telephone corporation obtains amended status in the area, unless specified otherwise below. The letter shall be addressed to the Governor with copies of the letter provided to the commission and each city, county, or unincorporated town or village in the amended status areas. The telephone corporation shall, and the letter shall state that the telephone corporation shall, do all the following:(1) For three years from the effective date a telephone corporation obtains amended status, the telephone corporation shall demonstrate that it has made accessible its advanced fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status. The telephone corporation shall provide an annual report to the executive director of the commission certifying the following:(A) The telephone corporation made accessible its advance fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status.(B) The telephone corporation had a positive year-over-year increase in its advanced fiber optics buildout in the state.(C) Notwithstanding any other provision of law, any annual report submitted pursuant to this section shall be considered confidential and protected from public disclosure in accordance with Section 583.(2) Provide continuing service to a customer who subscribes to basic exchange service for at least 12 months from the date the telephone corporation obtains amended status in the area if the customer elects not to transition to an alternative voice service.(3) To the extent technically feasible, offer an existing residential customer a comparatively priced alternative voice service. For purposes of this paragraph, comparatively priced alternative voice service shall, in addition to meeting the requirements of subdivision (a) of Section 2878, provide interoperability with legacy devices utilizing copper for alarm systems, point-of-sale devices, and medical monitoring devices.(4) Offer an affordable broadband plan in each amended status area to eligible consumers. To qualify, a household shall have an income that is at or below 400 percent of the federal poverty guidelines or at least one member of the household shall participate in a qualifying public assistance program.(5) Offer small business security and alarm system technology migration assistance in each amended status area to eligible small business customers who transition to an alternative voice service by providing a voucher to eligible small business customers for costs associated with transitioning alarm system services. Vouchers shall be administered by the telephone corporation and participation in the program reported annually to the commission.(6) Provide funding for public safety agency technology upgrade grants to be administered by the Board of State and Community Corrections to public safety agencies that have at least one service connection located in an amended status area. Administrative costs incurred by the Board of State and Community Corrections shall be recouped from the grant fund.(7) Provide funding to the Office of Emergency Services for grants and programs to tribal governments, community-based organizations, and local governments that focus on public outreach and awareness of modern communications, including, but not limited to, alternative voice services, for those with low incomes, disabilities, language barriers, older adults, and residents in high-risk areas, to help them prepare for, respond to, and recover from emergencies.(8) Provide funding for programs to develop community-based digital literacy resources in amended status areas.(9) Provide funding for a workforce development program in amended status areas that includes, but is not limited to, enhanced skills training, mentoring, education reimbursement, and career development programs for nonmanagement employees.(10) During the 90-day notice period described in subdivision (c), conduct a minimum of one informational workshop in each legislative district that includes one or more amended status areas, and conduct a minimum of one additional informational workshop in other legislative districts upon request from the Assembly Member or Senator representing the district.(11) Maintain an internet website and toll-free number dedicated to answering questions regarding the amended status process.(c) The telephone corporation shall provide three notice letters to customers in the amended areas. The letters shall be sent 30 days apart. The notice letters must comply with the commissions rules for in-language support to limited English proficient telecommunications consumers adopted pursuant to commission Decision 07-07-043 (July 26, 2007), Decision Addressing the Needs of Telecommunications Consumers Who Have Limited English Proficiency, or as subsequently revised. Each letter shall include all the following information:(1) A full explanation to customers regarding the amended status process and timing. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(2) A description of the alternative voice service available from the telephone corporation.(3) A description of the affordable broadband plans available from the telephone corporation to eligible consumers in the amended status areas.(4) Links to the internet websites and telephone numbers of alternative voice service providers in the amended status areas.(5) The date, time, and location of the informational workshop for the customers amended status area.(d) The telephone corporation shall provide a copy of the template used for the three customer notice letters in each amended status area to all the following entities:(1) The commission.(2) The Members of the Legislature representing districts included in the amended status areas.(3) Each city, county, or unincorporated town or village included in the amended status areas.(e) In addition to the customer notice template described in subdivision (d), the telephone corporation shall file a Tier 1 advice letter with the commission to be effective on the date filed that reflects the amended status areas.2878.5. (a) (1) A customer in a well-served area where a telephone corporation seeks to amend its status may do either of the following during the 90-day notice period before the effective date of the amended status:(A) Choose an alternative voice service provided by the telephone corporation.(B) Choose an alternative voice service provided by another service provider.(2) (A) If the customer does not choose either option described in paragraph (1), the customer shall remain on their basic exchange service with the telephone corporation.(B) The telephone corporation shall provide a customer remaining on their basic exchange service with two notice letters regarding the telephone corporations transition from the current voice service, which transition shall occur no sooner than 12 months from the amended status effective date described in subdivision (a) of Section 2878.4 and after all state and federal regulatory requirements have been met. The notice letters shall be sent 30 days apart. Each notice letter shall include information explaining the status of the customers existing service and, if applicable, how the customer may seek the independent third-party review described in subdivision (b).(b) (1) If a customer continues to subscribe to their basic exchange service with the telephone corporation for 12 months after the amended status effective date described in subdivision (a) of Section 2878.4 and, upon receipt of the notice letters required by subparagraph (B) of paragraph (2) of subdivision (a), is unable to obtain a comparatively priced alternative voice service, then the customer may submit a written request, pursuant to the instructions provided by the telephone corporation in the notice letters, seeking independent third-party review. The customer shall submit this written request no later than 60 days after the date of the second notice letter.(2) No later than 30 days from receipt of the customers written request, the telephone corporation shall submit to the executive director of the commission, or the executive directors designee, the identities of three entities qualified to conduct the independent third-party review. No later than 30 days after the identification, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review. The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(3) The entity selected pursuant to paragraph (2) shall determine whether or not a comparatively priced alternative voice service is available at the customers address and shall report its determination to the customer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under paragraph (2).(4) If the independent third-party reviewer determines that a comparatively priced alternative voice service is not available at the customer address, the telephone corporation shall continue to provide the customer with the customers basic exchange service at that address. If the telephone corporation can demonstrate that circumstances have changed at any time, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, identifying a comparatively priced alternative voice service at the customers address and restarting the process set forth in paragraph (2).2878.6. (a) (1) The obligations in this section apply only to a telephone corporation that has received amended status.(2) The obligations in this section apply for 10 years after a telephone corporation meets the requirements described in paragraph (1).(b) (1) A telephone corporation that meets the requirements described in paragraph (1) of subdivision (a) shall provide alternative voice service to any residential consumer that is unable to obtain alternative voice service from any provider in the well-served area if both of the following occur:(A) The residential consumer notifies the telephone corporation in writing that no alternative voice service is available in the well-served area.(B) An independent third-party reviewer approved by the executive director of the commission or the executive directors designee determines that no alternative voice service is available in the well-served area.(2) (A) No later than 30 days after the receipt of the residential consumers written notification under subparagraph (A) of paragraph (1), the telephone corporation shall identify and submit to the executive director of the commission, or the executive directors designee, three entities qualified to conduct the independent third-party review.(B) No later than 30 days after the identification and submission, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review.(C) The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(D) The entity selected pursuant to subparagraph (B) shall determine whether or not an alternative voice service is available at the residential consumers address and shall report its determination to the residential consumer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under subparagraph (B).(3) (A) When the telephone corporation can demonstrate that circumstances have changed, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, that identifies an alternative voice service available at the residential consumers location.(B) The telephone corporation shall be relieved of the obligations under paragraph (1) of subdivision (b) if an independent third-party reviewer that is approved by the executive director of the commission, or the executive directors designee, determines that there is an alternative voice service available to the residential consumer.2878.7. (a) This article does not confer regulatory authority to the commission over alternative voice services.(b) As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall determine a transition plan that shall be followed before a telephone corporation may amend its status as a carrier of last resort in areas not described in Section 2878.3 or not well served by alternative voice services as described in Section 2878.4. The commission may consider input from stakeholders during this process, including representatives of public safety agencies. The commission shall issue its final decision on or before January 1, 2027.2878.8. The Public Safety Agency Technology Upgrade Grant fund is hereby created in the State Treasury. Notwithstanding Section 13340 of the Government Code, the moneys in the fund are hereby continuously appropriated without regard to fiscal year to the commission for purposes of paragraph (6) of subdivision (b) of Section 2878.4. The fund may accept donations from nongovernmental entities 2878.9. (a) This article shall not apply to intrastate legacy time-division multiplexing services used to directly connect land mobile radio systems used for public safety.(b) This article shall not apply to any inhabited island that is not part of the mainland area of the state and is not accessible by bridge or road, if any part of the island is well served.2878.1.(a)(1)A telephone corporation seeking to relinquish its carrier of last resort designation for an eligible area within its service territory shall submit to the commission a notice. The telephone corporations carrier of last resort designation for the eligible area shall be relinquished upon the submission of the notice.(2)A notice submitted pursuant to paragraph (1) shall include both of the following:(A)A map of the eligible area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission or commission map showing fixed and wireless broadband coverage.(B)A copy of the modified tariff described in subdivision (b).(b)Notwithstanding any other law or commission decision, a telephone corporation, before submitting a notice pursuant to subdivision (a), shall modify its tariff for basic local exchange telephone service to align with its relinquishment of its carrier of last resort designation. The modified tariff shall be effective upon the submission of the notice pursuant to subdivision (a).(c)(1)The telephone corporation shall administer and pay for a customer challenge process available to a customer who informs the telephone corporation that no alternative voice service is available at their location.(2)The telephone corporation shall notify its customers of its customer challenge process.(3)If a customer successfully challenges the availability of alternative voice service at their location, the telephone corporation shall continue to provide basic local exchange telephone service to the customer for at least two years after the challenge process is complete.(d)This section does not confer regulatory authority to the commission over alternative voice service.(e)As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall establish a transition plan that a telephone corporation shall be required to follow before its carrier of last resort designation is relinquished for an area within its service territory other than an eligible area. The commission may consider input from stakeholders, including representatives of public safety agencies, during that portion of the rulemaking. Article 1.5. Carriers of Last Resort2878. For purposes of this article, all of the following definitions apply:(a) Alternative voice service means a retail service made available through a technology or service arrangement by a provider that provides, as a stand-alone service or as part of a bundled service, all of the following:(1) Voice access interconnected with the public switched telephone network.(2) Access to emergency 9-1-1 service. service and E-9-1-1 service in compliance with current state and federal laws and regulations.(3) Compatibility with a backup power source.(b)Area means census block.(c)Available means the service provider provides coverage to at least 99 percent of the population of the area, according to the most recent federal census population estimates.(d)Carrier of last resort has the same meaning as defined in Section 275.6.(e)Eligible area means either of the following:(1)An area that meets both of the following criteria:(A)The United States Bureau of the Census reports no population in the area.(B)The telephone corporation does not provide basic local exchange telephone service to a customer address in the area.(2)An area that is well-served by alternative voice service.(4) A billing option with monthly rates and without contract or early termination penalties.(5) Access to the California Relay Service pursuant to Section 2881 for deaf or hearing-impaired persons or individuals with speech disabilities.(6) Access to customer service for information about service termination, repair, and billing inquiries.(7) Free access to 800 and 8YY toll-free services with no additional usage charges for such calls.(b) Amended status means the status of a telephone corporation that relinquished carrier of last resort status in a census block or census blocks.(c) Amended status area means a census block or census blocks for which a telephone corporation relinquished carrier of last resort status.(d) Broadband service means a mass-market retail service by wire or radio provided to customers in the state that provides the capability to transmit data to, and receive data from, all or substantially all internet endpoints, including, but not limited to, any capabilities that are incidental to and enable the operation of the communications service, but excluding dial-up internet access service.(e) Comparatively priced alternative voice service means an alternative voice service that is competitively priced in relation to the relevant telephone corporations nondiscounted basic exchange telephone service when considering all the alternatives in the amended status area and the functionalities of the alternatives.(f) Eligible small business customer means a traditional landline customer with five or fewer lines, that is not subject to a separate contract for copper-based voice services and fits the microbusiness definition in paragraph (2) of subdivision (d) of Section 14837 of the Government Code.(f)(g) Notice means a written communication.(h) Qualifying public assistance program means any of the following programs:(1) The California Alternate Rates for Energy (CARE) program described in Section 739.1.(2) The State Supplementary Payment Program for the Aged, Blind and Disabled implemented pursuant to the Burton-Moscone-Bagley Citizens Income Security Act for Aged, Blind and Disabled Californians (Chapter 3 (commencing with Section 12000) of Part 3 of Division 9 of the Welfare and Institutions Code).(3) The Temporary Assistance for Needy Families program pursuant to Part A (commencing with Section 401) of Title IV of the federal Social Security Act (42 U.S.C. Sec. 601 et seq.).(4) The CalFresh program established pursuant to Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code.(5) Covered California, as described in Title 22 (commencing with Section 100500) of the Government Code.(6) Medi-Cal, as described in the Medi-Cal Act (Chapter 7 (commencing with Section 14000.4) of Part 3 of Division 9 of the Welfare and Institutions Code).(7) Supplemental security income benefits pursuant to Title XVI of the Social Security Act (Section 1381 of Title 42 of the United States Code).(g)Telephone corporation has the same meaning as defined in Section 234.(h)(i) Well-served means at least three different facilities-based service providers, providers offer alternative voice service in the relevant area, and at least one of which the service providers is a wireline provider, offer alternative voice service to customers in the relevant area, and at least one of the alternative voice services offered by a service provider is reasonably comparable in price or value to the telephone corporations current nondiscounted rate for basic local exchange telephone service. and at least one of the service providers offers a comparatively priced alternative voice service. The alternative voice service shall be available to at least 99.9 percent of the broadband-serviceable locations in the area, as such broadband-serviceable locations are set forth in the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.2878.1. (a) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area where the United States Census Bureau reports no population or where a telephone corporation provides no basic exchange service to any customer address located within its telephone service territory when it fulfills the obligations set forth in Section 2878.3(b) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area that is well-served when the telephone corporation fulfills the obligations set forth in Section 2878.4.2878.2. (a) A telephone corporation that seeks to amend its status as a carrier of last resort under either Section 2878.3 or Section 2878.4 shall first publish notice of its intention one time in the nonlegal section of a newspaper of general circulation throughout the relevant areas and on any social media channels the company utilizes for marketing in those areas. The notice shall provide all of the following:(1) A full explanation to residential consumers regarding the amended status process and applicable timelines. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(2) A provision stating that any residential consumer may oppose the telephone corporations assertion that there is either no population or no basic exchange service customer if the telephone corporation seeks amended status under Section 2878.3, or that the area is well-served if the telephone corporation seeks amended status under Section 2878.4, by submitting a written request to the telephone corporation seeking independent third-party review. The notice shall state that the written request shall be submitted to the telephone corporation no later than 90 days from the date on the notice.(b) Regarding a residential consumers written request pursuant to subdivision (a), the following shall apply to the telephone corporation:(1) No later than 30 days after the receipt of the residential consumers written request, the telephone corporation shall identify and submit to the executive director of the commission or the executive directors designee three entities qualified to conduct the independent third-party review.(2) No later than 30 days after the identification and submission, the executive director of the commission or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review.(3) The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(4) The independent third-party review shall evaluate the merits of the residential consumers claim and make its determination within 30 days of selection.(5) If the independent third-party reviewer determines that the residential consumers claim has merit, the telephone corporation shall offer to provide, to the extent technically feasible, the residential consumer with alternative voice service at that address for 24 months from the amended status effective date.2878.3. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in an area that the United States Census Bureau reports no population, or that a telephone corporation provides no basic exchange service to any customer at a customer address, shall submit the notice described in subdivision (b) to all of the following entities:(1) The Governor.(2) The commission.(3) The Office of Emergency Services.(4) The Department of Forestry and Fire Protection.(5) Each city, county, city and county, or unincorporated town or village included in the amended status area.(b) (1) The notice shall be in writing and be delivered to the address of record.(2) The notice shall include both of the following:(A) A map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(B) A copy of the tariff modification describing the telephone corporations amended status in the areas covered by the map provided pursuant to subparagraph (A).(c) The amended status and the tariff modification shall be effective 30 days from the date of the notice. The telephone corporation shall respond in good faith to all inquiries from those entities receiving notification pursuant to subdivision (a).2878.4. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in areas that are well served shall commit to the obligations described in subdivision (b) and provide the notice described in subdivision (c) to its basic exchange customers. The telephone corporations amended status in well-served areas shall be effective 30 days from date of the third customer notification letter described in subdivision (c), or 30 days from the date of the commitment letter described in subdivision (b), whichever is later.(b) A telephone corporation that seeks to amend its status as a carrier of last resort in an area that is well served shall provide a commitment letter from an officer with authority to bind the telephone corporation that certifies that the telephone corporation agrees to meet the obligations listed in this subdivision in well-served areas for 24 months from the date the telephone corporation obtains amended status in the area, unless specified otherwise below. The letter shall be addressed to the Governor with copies of the letter provided to the commission and each city, county, or unincorporated town or village in the amended status areas. The telephone corporation shall, and the letter shall state that the telephone corporation shall, do all the following:(1) For three years from the effective date a telephone corporation obtains amended status, the telephone corporation shall demonstrate that it has made accessible its advanced fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status. The telephone corporation shall provide an annual report to the executive director of the commission certifying the following:(A) The telephone corporation made accessible its advance fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status.(B) The telephone corporation had a positive year-over-year increase in its advanced fiber optics buildout in the state.(C) Notwithstanding any other provision of law, any annual report submitted pursuant to this section shall be considered confidential and protected from public disclosure in accordance with Section 583.(2) Provide continuing service to a customer who subscribes to basic exchange service for at least 12 months from the date the telephone corporation obtains amended status in the area if the customer elects not to transition to an alternative voice service.(3) To the extent technically feasible, offer an existing residential customer a comparatively priced alternative voice service. For purposes of this paragraph, comparatively priced alternative voice service shall, in addition to meeting the requirements of subdivision (a) of Section 2878, provide interoperability with legacy devices utilizing copper for alarm systems, point-of-sale devices, and medical monitoring devices.(4) Offer an affordable broadband plan in each amended status area to eligible consumers. To qualify, a household shall have an income that is at or below 400 percent of the federal poverty guidelines or at least one member of the household shall participate in a qualifying public assistance program.(5) Offer small business security and alarm system technology migration assistance in each amended status area to eligible small business customers who transition to an alternative voice service by providing a voucher to eligible small business customers for costs associated with transitioning alarm system services. Vouchers shall be administered by the telephone corporation and participation in the program reported annually to the commission.(6) Provide funding for public safety agency technology upgrade grants to be administered by the Board of State and Community Corrections to public safety agencies that have at least one service connection located in an amended status area. Administrative costs incurred by the Board of State and Community Corrections shall be recouped from the grant fund.(7) Provide funding to the Office of Emergency Services for grants and programs to tribal governments, community-based organizations, and local governments that focus on public outreach and awareness of modern communications, including, but not limited to, alternative voice services, for those with low incomes, disabilities, language barriers, older adults, and residents in high-risk areas, to help them prepare for, respond to, and recover from emergencies.(8) Provide funding for programs to develop community-based digital literacy resources in amended status areas.(9) Provide funding for a workforce development program in amended status areas that includes, but is not limited to, enhanced skills training, mentoring, education reimbursement, and career development programs for nonmanagement employees.(10) During the 90-day notice period described in subdivision (c), conduct a minimum of one informational workshop in each legislative district that includes one or more amended status areas, and conduct a minimum of one additional informational workshop in other legislative districts upon request from the Assembly Member or Senator representing the district.(11) Maintain an internet website and toll-free number dedicated to answering questions regarding the amended status process.(c) The telephone corporation shall provide three notice letters to customers in the amended areas. The letters shall be sent 30 days apart. The notice letters must comply with the commissions rules for in-language support to limited English proficient telecommunications consumers adopted pursuant to commission Decision 07-07-043 (July 26, 2007), Decision Addressing the Needs of Telecommunications Consumers Who Have Limited English Proficiency, or as subsequently revised. Each letter shall include all the following information:(1) A full explanation to customers regarding the amended status process and timing. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(2) A description of the alternative voice service available from the telephone corporation.(3) A description of the affordable broadband plans available from the telephone corporation to eligible consumers in the amended status areas.(4) Links to the internet websites and telephone numbers of alternative voice service providers in the amended status areas.(5) The date, time, and location of the informational workshop for the customers amended status area.(d) The telephone corporation shall provide a copy of the template used for the three customer notice letters in each amended status area to all the following entities:(1) The commission.(2) The Members of the Legislature representing districts included in the amended status areas.(3) Each city, county, or unincorporated town or village included in the amended status areas.(e) In addition to the customer notice template described in subdivision (d), the telephone corporation shall file a Tier 1 advice letter with the commission to be effective on the date filed that reflects the amended status areas.2878.5. (a) (1) A customer in a well-served area where a telephone corporation seeks to amend its status may do either of the following during the 90-day notice period before the effective date of the amended status:(A) Choose an alternative voice service provided by the telephone corporation.(B) Choose an alternative voice service provided by another service provider.(2) (A) If the customer does not choose either option described in paragraph (1), the customer shall remain on their basic exchange service with the telephone corporation.(B) The telephone corporation shall provide a customer remaining on their basic exchange service with two notice letters regarding the telephone corporations transition from the current voice service, which transition shall occur no sooner than 12 months from the amended status effective date described in subdivision (a) of Section 2878.4 and after all state and federal regulatory requirements have been met. The notice letters shall be sent 30 days apart. Each notice letter shall include information explaining the status of the customers existing service and, if applicable, how the customer may seek the independent third-party review described in subdivision (b).(b) (1) If a customer continues to subscribe to their basic exchange service with the telephone corporation for 12 months after the amended status effective date described in subdivision (a) of Section 2878.4 and, upon receipt of the notice letters required by subparagraph (B) of paragraph (2) of subdivision (a), is unable to obtain a comparatively priced alternative voice service, then the customer may submit a written request, pursuant to the instructions provided by the telephone corporation in the notice letters, seeking independent third-party review. The customer shall submit this written request no later than 60 days after the date of the second notice letter.(2) No later than 30 days from receipt of the customers written request, the telephone corporation shall submit to the executive director of the commission, or the executive directors designee, the identities of three entities qualified to conduct the independent third-party review. No later than 30 days after the identification, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review. The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(3) The entity selected pursuant to paragraph (2) shall determine whether or not a comparatively priced alternative voice service is available at the customers address and shall report its determination to the customer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under paragraph (2).(4) If the independent third-party reviewer determines that a comparatively priced alternative voice service is not available at the customer address, the telephone corporation shall continue to provide the customer with the customers basic exchange service at that address. If the telephone corporation can demonstrate that circumstances have changed at any time, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, identifying a comparatively priced alternative voice service at the customers address and restarting the process set forth in paragraph (2).2878.6. (a) (1) The obligations in this section apply only to a telephone corporation that has received amended status.(2) The obligations in this section apply for 10 years after a telephone corporation meets the requirements described in paragraph (1).(b) (1) A telephone corporation that meets the requirements described in paragraph (1) of subdivision (a) shall provide alternative voice service to any residential consumer that is unable to obtain alternative voice service from any provider in the well-served area if both of the following occur:(A) The residential consumer notifies the telephone corporation in writing that no alternative voice service is available in the well-served area.(B) An independent third-party reviewer approved by the executive director of the commission or the executive directors designee determines that no alternative voice service is available in the well-served area.(2) (A) No later than 30 days after the receipt of the residential consumers written notification under subparagraph (A) of paragraph (1), the telephone corporation shall identify and submit to the executive director of the commission, or the executive directors designee, three entities qualified to conduct the independent third-party review.(B) No later than 30 days after the identification and submission, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review.(C) The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(D) The entity selected pursuant to subparagraph (B) shall determine whether or not an alternative voice service is available at the residential consumers address and shall report its determination to the residential consumer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under subparagraph (B).(3) (A) When the telephone corporation can demonstrate that circumstances have changed, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, that identifies an alternative voice service available at the residential consumers location.(B) The telephone corporation shall be relieved of the obligations under paragraph (1) of subdivision (b) if an independent third-party reviewer that is approved by the executive director of the commission, or the executive directors designee, determines that there is an alternative voice service available to the residential consumer.2878.7. (a) This article does not confer regulatory authority to the commission over alternative voice services.(b) As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall determine a transition plan that shall be followed before a telephone corporation may amend its status as a carrier of last resort in areas not described in Section 2878.3 or not well served by alternative voice services as described in Section 2878.4. The commission may consider input from stakeholders during this process, including representatives of public safety agencies. The commission shall issue its final decision on or before January 1, 2027.2878.8. The Public Safety Agency Technology Upgrade Grant fund is hereby created in the State Treasury. Notwithstanding Section 13340 of the Government Code, the moneys in the fund are hereby continuously appropriated without regard to fiscal year to the commission for purposes of paragraph (6) of subdivision (b) of Section 2878.4. The fund may accept donations from nongovernmental entities 2878.9. (a) This article shall not apply to intrastate legacy time-division multiplexing services used to directly connect land mobile radio systems used for public safety.(b) This article shall not apply to any inhabited island that is not part of the mainland area of the state and is not accessible by bridge or road, if any part of the island is well served.2878.1.(a)(1)A telephone corporation seeking to relinquish its carrier of last resort designation for an eligible area within its service territory shall submit to the commission a notice. The telephone corporations carrier of last resort designation for the eligible area shall be relinquished upon the submission of the notice.(2)A notice submitted pursuant to paragraph (1) shall include both of the following:(A)A map of the eligible area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission or commission map showing fixed and wireless broadband coverage.(B)A copy of the modified tariff described in subdivision (b).(b)Notwithstanding any other law or commission decision, a telephone corporation, before submitting a notice pursuant to subdivision (a), shall modify its tariff for basic local exchange telephone service to align with its relinquishment of its carrier of last resort designation. The modified tariff shall be effective upon the submission of the notice pursuant to subdivision (a).(c)(1)The telephone corporation shall administer and pay for a customer challenge process available to a customer who informs the telephone corporation that no alternative voice service is available at their location.(2)The telephone corporation shall notify its customers of its customer challenge process.(3)If a customer successfully challenges the availability of alternative voice service at their location, the telephone corporation shall continue to provide basic local exchange telephone service to the customer for at least two years after the challenge process is complete.(d)This section does not confer regulatory authority to the commission over alternative voice service.(e)As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall establish a transition plan that a telephone corporation shall be required to follow before its carrier of last resort designation is relinquished for an area within its service territory other than an eligible area. The commission may consider input from stakeholders, including representatives of public safety agencies, during that portion of the rulemaking. Article 1.5. Carriers of Last Resort Article 1.5. Carriers of Last Resort ##### Article 1.5. Carriers of Last Resort 2878. For purposes of this article, all of the following definitions apply:(a) Alternative voice service means a retail service made available through a technology or service arrangement by a provider that provides, as a stand-alone service or as part of a bundled service, all of the following:(1) Voice access interconnected with the public switched telephone network.(2) Access to emergency 9-1-1 service. service and E-9-1-1 service in compliance with current state and federal laws and regulations.(3) Compatibility with a backup power source.(b)Area means census block.(c)Available means the service provider provides coverage to at least 99 percent of the population of the area, according to the most recent federal census population estimates.(d)Carrier of last resort has the same meaning as defined in Section 275.6.(e)Eligible area means either of the following:(1)An area that meets both of the following criteria:(A)The United States Bureau of the Census reports no population in the area.(B)The telephone corporation does not provide basic local exchange telephone service to a customer address in the area.(2)An area that is well-served by alternative voice service.(4) A billing option with monthly rates and without contract or early termination penalties.(5) Access to the California Relay Service pursuant to Section 2881 for deaf or hearing-impaired persons or individuals with speech disabilities.(6) Access to customer service for information about service termination, repair, and billing inquiries.(7) Free access to 800 and 8YY toll-free services with no additional usage charges for such calls.(b) Amended status means the status of a telephone corporation that relinquished carrier of last resort status in a census block or census blocks.(c) Amended status area means a census block or census blocks for which a telephone corporation relinquished carrier of last resort status.(d) Broadband service means a mass-market retail service by wire or radio provided to customers in the state that provides the capability to transmit data to, and receive data from, all or substantially all internet endpoints, including, but not limited to, any capabilities that are incidental to and enable the operation of the communications service, but excluding dial-up internet access service.(e) Comparatively priced alternative voice service means an alternative voice service that is competitively priced in relation to the relevant telephone corporations nondiscounted basic exchange telephone service when considering all the alternatives in the amended status area and the functionalities of the alternatives.(f) Eligible small business customer means a traditional landline customer with five or fewer lines, that is not subject to a separate contract for copper-based voice services and fits the microbusiness definition in paragraph (2) of subdivision (d) of Section 14837 of the Government Code.(f)(g) Notice means a written communication.(h) Qualifying public assistance program means any of the following programs:(1) The California Alternate Rates for Energy (CARE) program described in Section 739.1.(2) The State Supplementary Payment Program for the Aged, Blind and Disabled implemented pursuant to the Burton-Moscone-Bagley Citizens Income Security Act for Aged, Blind and Disabled Californians (Chapter 3 (commencing with Section 12000) of Part 3 of Division 9 of the Welfare and Institutions Code).(3) The Temporary Assistance for Needy Families program pursuant to Part A (commencing with Section 401) of Title IV of the federal Social Security Act (42 U.S.C. Sec. 601 et seq.).(4) The CalFresh program established pursuant to Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code.(5) Covered California, as described in Title 22 (commencing with Section 100500) of the Government Code.(6) Medi-Cal, as described in the Medi-Cal Act (Chapter 7 (commencing with Section 14000.4) of Part 3 of Division 9 of the Welfare and Institutions Code).(7) Supplemental security income benefits pursuant to Title XVI of the Social Security Act (Section 1381 of Title 42 of the United States Code).(g)Telephone corporation has the same meaning as defined in Section 234.(h)(i) Well-served means at least three different facilities-based service providers, providers offer alternative voice service in the relevant area, and at least one of which the service providers is a wireline provider, offer alternative voice service to customers in the relevant area, and at least one of the alternative voice services offered by a service provider is reasonably comparable in price or value to the telephone corporations current nondiscounted rate for basic local exchange telephone service. and at least one of the service providers offers a comparatively priced alternative voice service. The alternative voice service shall be available to at least 99.9 percent of the broadband-serviceable locations in the area, as such broadband-serviceable locations are set forth in the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage. 2878. For purposes of this article, all of the following definitions apply: ###### 2878. (a) Alternative voice service means a retail service made available through a technology or service arrangement by a provider that provides, as a stand-alone service or as part of a bundled service, all of the following: (1) Voice access interconnected with the public switched telephone network. (2) Access to emergency 9-1-1 service. service and E-9-1-1 service in compliance with current state and federal laws and regulations. (3) Compatibility with a backup power source. (b)Area means census block. (c)Available means the service provider provides coverage to at least 99 percent of the population of the area, according to the most recent federal census population estimates. (d)Carrier of last resort has the same meaning as defined in Section 275.6. (e)Eligible area means either of the following: (1)An area that meets both of the following criteria: (A)The United States Bureau of the Census reports no population in the area. (B)The telephone corporation does not provide basic local exchange telephone service to a customer address in the area. (2)An area that is well-served by alternative voice service. (4) A billing option with monthly rates and without contract or early termination penalties. (5) Access to the California Relay Service pursuant to Section 2881 for deaf or hearing-impaired persons or individuals with speech disabilities. (6) Access to customer service for information about service termination, repair, and billing inquiries. (7) Free access to 800 and 8YY toll-free services with no additional usage charges for such calls. (b) Amended status means the status of a telephone corporation that relinquished carrier of last resort status in a census block or census blocks. (c) Amended status area means a census block or census blocks for which a telephone corporation relinquished carrier of last resort status. (d) Broadband service means a mass-market retail service by wire or radio provided to customers in the state that provides the capability to transmit data to, and receive data from, all or substantially all internet endpoints, including, but not limited to, any capabilities that are incidental to and enable the operation of the communications service, but excluding dial-up internet access service. (e) Comparatively priced alternative voice service means an alternative voice service that is competitively priced in relation to the relevant telephone corporations nondiscounted basic exchange telephone service when considering all the alternatives in the amended status area and the functionalities of the alternatives. (f) Eligible small business customer means a traditional landline customer with five or fewer lines, that is not subject to a separate contract for copper-based voice services and fits the microbusiness definition in paragraph (2) of subdivision (d) of Section 14837 of the Government Code. (f) (g) Notice means a written communication. (h) Qualifying public assistance program means any of the following programs: (1) The California Alternate Rates for Energy (CARE) program described in Section 739.1. (2) The State Supplementary Payment Program for the Aged, Blind and Disabled implemented pursuant to the Burton-Moscone-Bagley Citizens Income Security Act for Aged, Blind and Disabled Californians (Chapter 3 (commencing with Section 12000) of Part 3 of Division 9 of the Welfare and Institutions Code). (3) The Temporary Assistance for Needy Families program pursuant to Part A (commencing with Section 401) of Title IV of the federal Social Security Act (42 U.S.C. Sec. 601 et seq.). (4) The CalFresh program established pursuant to Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code. (5) Covered California, as described in Title 22 (commencing with Section 100500) of the Government Code. (6) Medi-Cal, as described in the Medi-Cal Act (Chapter 7 (commencing with Section 14000.4) of Part 3 of Division 9 of the Welfare and Institutions Code). (7) Supplemental security income benefits pursuant to Title XVI of the Social Security Act (Section 1381 of Title 42 of the United States Code). (g)Telephone corporation has the same meaning as defined in Section 234. (h) (i) Well-served means at least three different facilities-based service providers, providers offer alternative voice service in the relevant area, and at least one of which the service providers is a wireline provider, offer alternative voice service to customers in the relevant area, and at least one of the alternative voice services offered by a service provider is reasonably comparable in price or value to the telephone corporations current nondiscounted rate for basic local exchange telephone service. and at least one of the service providers offers a comparatively priced alternative voice service. The alternative voice service shall be available to at least 99.9 percent of the broadband-serviceable locations in the area, as such broadband-serviceable locations are set forth in the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage. 2878.1. (a) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area where the United States Census Bureau reports no population or where a telephone corporation provides no basic exchange service to any customer address located within its telephone service territory when it fulfills the obligations set forth in Section 2878.3(b) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area that is well-served when the telephone corporation fulfills the obligations set forth in Section 2878.4. 2878.1. (a) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area where the United States Census Bureau reports no population or where a telephone corporation provides no basic exchange service to any customer address located within its telephone service territory when it fulfills the obligations set forth in Section 2878.3 ###### 2878.1. (b) A telephone corporation shall no longer be a carrier of last resort, or have any carrier of last resort obligations, in an area that is well-served when the telephone corporation fulfills the obligations set forth in Section 2878.4. 2878.2. (a) A telephone corporation that seeks to amend its status as a carrier of last resort under either Section 2878.3 or Section 2878.4 shall first publish notice of its intention one time in the nonlegal section of a newspaper of general circulation throughout the relevant areas and on any social media channels the company utilizes for marketing in those areas. The notice shall provide all of the following:(1) A full explanation to residential consumers regarding the amended status process and applicable timelines. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(2) A provision stating that any residential consumer may oppose the telephone corporations assertion that there is either no population or no basic exchange service customer if the telephone corporation seeks amended status under Section 2878.3, or that the area is well-served if the telephone corporation seeks amended status under Section 2878.4, by submitting a written request to the telephone corporation seeking independent third-party review. The notice shall state that the written request shall be submitted to the telephone corporation no later than 90 days from the date on the notice.(b) Regarding a residential consumers written request pursuant to subdivision (a), the following shall apply to the telephone corporation:(1) No later than 30 days after the receipt of the residential consumers written request, the telephone corporation shall identify and submit to the executive director of the commission or the executive directors designee three entities qualified to conduct the independent third-party review.(2) No later than 30 days after the identification and submission, the executive director of the commission or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review.(3) The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(4) The independent third-party review shall evaluate the merits of the residential consumers claim and make its determination within 30 days of selection.(5) If the independent third-party reviewer determines that the residential consumers claim has merit, the telephone corporation shall offer to provide, to the extent technically feasible, the residential consumer with alternative voice service at that address for 24 months from the amended status effective date. 2878.2. (a) A telephone corporation that seeks to amend its status as a carrier of last resort under either Section 2878.3 or Section 2878.4 shall first publish notice of its intention one time in the nonlegal section of a newspaper of general circulation throughout the relevant areas and on any social media channels the company utilizes for marketing in those areas. The notice shall provide all of the following: ###### 2878.2. (1) A full explanation to residential consumers regarding the amended status process and applicable timelines. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage. (2) A provision stating that any residential consumer may oppose the telephone corporations assertion that there is either no population or no basic exchange service customer if the telephone corporation seeks amended status under Section 2878.3, or that the area is well-served if the telephone corporation seeks amended status under Section 2878.4, by submitting a written request to the telephone corporation seeking independent third-party review. The notice shall state that the written request shall be submitted to the telephone corporation no later than 90 days from the date on the notice. (b) Regarding a residential consumers written request pursuant to subdivision (a), the following shall apply to the telephone corporation: (1) No later than 30 days after the receipt of the residential consumers written request, the telephone corporation shall identify and submit to the executive director of the commission or the executive directors designee three entities qualified to conduct the independent third-party review. (2) No later than 30 days after the identification and submission, the executive director of the commission or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review. (3) The telephone corporation shall contract with the selected entity and pay for the independent third-party review. (4) The independent third-party review shall evaluate the merits of the residential consumers claim and make its determination within 30 days of selection. (5) If the independent third-party reviewer determines that the residential consumers claim has merit, the telephone corporation shall offer to provide, to the extent technically feasible, the residential consumer with alternative voice service at that address for 24 months from the amended status effective date. 2878.3. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in an area that the United States Census Bureau reports no population, or that a telephone corporation provides no basic exchange service to any customer at a customer address, shall submit the notice described in subdivision (b) to all of the following entities:(1) The Governor.(2) The commission.(3) The Office of Emergency Services.(4) The Department of Forestry and Fire Protection.(5) Each city, county, city and county, or unincorporated town or village included in the amended status area.(b) (1) The notice shall be in writing and be delivered to the address of record.(2) The notice shall include both of the following:(A) A map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(B) A copy of the tariff modification describing the telephone corporations amended status in the areas covered by the map provided pursuant to subparagraph (A).(c) The amended status and the tariff modification shall be effective 30 days from the date of the notice. The telephone corporation shall respond in good faith to all inquiries from those entities receiving notification pursuant to subdivision (a). 2878.3. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in an area that the United States Census Bureau reports no population, or that a telephone corporation provides no basic exchange service to any customer at a customer address, shall submit the notice described in subdivision (b) to all of the following entities: ###### 2878.3. (1) The Governor. (2) The commission. (3) The Office of Emergency Services. (4) The Department of Forestry and Fire Protection. (5) Each city, county, city and county, or unincorporated town or village included in the amended status area. (b) (1) The notice shall be in writing and be delivered to the address of record. (2) The notice shall include both of the following: (A) A map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage. (B) A copy of the tariff modification describing the telephone corporations amended status in the areas covered by the map provided pursuant to subparagraph (A). (c) The amended status and the tariff modification shall be effective 30 days from the date of the notice. The telephone corporation shall respond in good faith to all inquiries from those entities receiving notification pursuant to subdivision (a). 2878.4. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in areas that are well served shall commit to the obligations described in subdivision (b) and provide the notice described in subdivision (c) to its basic exchange customers. The telephone corporations amended status in well-served areas shall be effective 30 days from date of the third customer notification letter described in subdivision (c), or 30 days from the date of the commitment letter described in subdivision (b), whichever is later.(b) A telephone corporation that seeks to amend its status as a carrier of last resort in an area that is well served shall provide a commitment letter from an officer with authority to bind the telephone corporation that certifies that the telephone corporation agrees to meet the obligations listed in this subdivision in well-served areas for 24 months from the date the telephone corporation obtains amended status in the area, unless specified otherwise below. The letter shall be addressed to the Governor with copies of the letter provided to the commission and each city, county, or unincorporated town or village in the amended status areas. The telephone corporation shall, and the letter shall state that the telephone corporation shall, do all the following:(1) For three years from the effective date a telephone corporation obtains amended status, the telephone corporation shall demonstrate that it has made accessible its advanced fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status. The telephone corporation shall provide an annual report to the executive director of the commission certifying the following:(A) The telephone corporation made accessible its advance fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status.(B) The telephone corporation had a positive year-over-year increase in its advanced fiber optics buildout in the state.(C) Notwithstanding any other provision of law, any annual report submitted pursuant to this section shall be considered confidential and protected from public disclosure in accordance with Section 583.(2) Provide continuing service to a customer who subscribes to basic exchange service for at least 12 months from the date the telephone corporation obtains amended status in the area if the customer elects not to transition to an alternative voice service.(3) To the extent technically feasible, offer an existing residential customer a comparatively priced alternative voice service. For purposes of this paragraph, comparatively priced alternative voice service shall, in addition to meeting the requirements of subdivision (a) of Section 2878, provide interoperability with legacy devices utilizing copper for alarm systems, point-of-sale devices, and medical monitoring devices.(4) Offer an affordable broadband plan in each amended status area to eligible consumers. To qualify, a household shall have an income that is at or below 400 percent of the federal poverty guidelines or at least one member of the household shall participate in a qualifying public assistance program.(5) Offer small business security and alarm system technology migration assistance in each amended status area to eligible small business customers who transition to an alternative voice service by providing a voucher to eligible small business customers for costs associated with transitioning alarm system services. Vouchers shall be administered by the telephone corporation and participation in the program reported annually to the commission.(6) Provide funding for public safety agency technology upgrade grants to be administered by the Board of State and Community Corrections to public safety agencies that have at least one service connection located in an amended status area. Administrative costs incurred by the Board of State and Community Corrections shall be recouped from the grant fund.(7) Provide funding to the Office of Emergency Services for grants and programs to tribal governments, community-based organizations, and local governments that focus on public outreach and awareness of modern communications, including, but not limited to, alternative voice services, for those with low incomes, disabilities, language barriers, older adults, and residents in high-risk areas, to help them prepare for, respond to, and recover from emergencies.(8) Provide funding for programs to develop community-based digital literacy resources in amended status areas.(9) Provide funding for a workforce development program in amended status areas that includes, but is not limited to, enhanced skills training, mentoring, education reimbursement, and career development programs for nonmanagement employees.(10) During the 90-day notice period described in subdivision (c), conduct a minimum of one informational workshop in each legislative district that includes one or more amended status areas, and conduct a minimum of one additional informational workshop in other legislative districts upon request from the Assembly Member or Senator representing the district.(11) Maintain an internet website and toll-free number dedicated to answering questions regarding the amended status process.(c) The telephone corporation shall provide three notice letters to customers in the amended areas. The letters shall be sent 30 days apart. The notice letters must comply with the commissions rules for in-language support to limited English proficient telecommunications consumers adopted pursuant to commission Decision 07-07-043 (July 26, 2007), Decision Addressing the Needs of Telecommunications Consumers Who Have Limited English Proficiency, or as subsequently revised. Each letter shall include all the following information:(1) A full explanation to customers regarding the amended status process and timing. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage.(2) A description of the alternative voice service available from the telephone corporation.(3) A description of the affordable broadband plans available from the telephone corporation to eligible consumers in the amended status areas.(4) Links to the internet websites and telephone numbers of alternative voice service providers in the amended status areas.(5) The date, time, and location of the informational workshop for the customers amended status area.(d) The telephone corporation shall provide a copy of the template used for the three customer notice letters in each amended status area to all the following entities:(1) The commission.(2) The Members of the Legislature representing districts included in the amended status areas.(3) Each city, county, or unincorporated town or village included in the amended status areas.(e) In addition to the customer notice template described in subdivision (d), the telephone corporation shall file a Tier 1 advice letter with the commission to be effective on the date filed that reflects the amended status areas. 2878.4. (a) Subject to completion of the process set forth in Section 2878.2, a telephone corporation that seeks to amend its status as a carrier of last resort in areas that are well served shall commit to the obligations described in subdivision (b) and provide the notice described in subdivision (c) to its basic exchange customers. The telephone corporations amended status in well-served areas shall be effective 30 days from date of the third customer notification letter described in subdivision (c), or 30 days from the date of the commitment letter described in subdivision (b), whichever is later. ###### 2878.4. (b) A telephone corporation that seeks to amend its status as a carrier of last resort in an area that is well served shall provide a commitment letter from an officer with authority to bind the telephone corporation that certifies that the telephone corporation agrees to meet the obligations listed in this subdivision in well-served areas for 24 months from the date the telephone corporation obtains amended status in the area, unless specified otherwise below. The letter shall be addressed to the Governor with copies of the letter provided to the commission and each city, county, or unincorporated town or village in the amended status areas. The telephone corporation shall, and the letter shall state that the telephone corporation shall, do all the following: (1) For three years from the effective date a telephone corporation obtains amended status, the telephone corporation shall demonstrate that it has made accessible its advanced fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status. The telephone corporation shall provide an annual report to the executive director of the commission certifying the following: (A) The telephone corporation made accessible its advance fiber optics buildout to at least the number of residential units in the state as the number of basic exchange customers the telephone corporation had as of the effective date of its obtaining amended status. (B) The telephone corporation had a positive year-over-year increase in its advanced fiber optics buildout in the state. (C) Notwithstanding any other provision of law, any annual report submitted pursuant to this section shall be considered confidential and protected from public disclosure in accordance with Section 583. (2) Provide continuing service to a customer who subscribes to basic exchange service for at least 12 months from the date the telephone corporation obtains amended status in the area if the customer elects not to transition to an alternative voice service. (3) To the extent technically feasible, offer an existing residential customer a comparatively priced alternative voice service. For purposes of this paragraph, comparatively priced alternative voice service shall, in addition to meeting the requirements of subdivision (a) of Section 2878, provide interoperability with legacy devices utilizing copper for alarm systems, point-of-sale devices, and medical monitoring devices. (4) Offer an affordable broadband plan in each amended status area to eligible consumers. To qualify, a household shall have an income that is at or below 400 percent of the federal poverty guidelines or at least one member of the household shall participate in a qualifying public assistance program. (5) Offer small business security and alarm system technology migration assistance in each amended status area to eligible small business customers who transition to an alternative voice service by providing a voucher to eligible small business customers for costs associated with transitioning alarm system services. Vouchers shall be administered by the telephone corporation and participation in the program reported annually to the commission. (6) Provide funding for public safety agency technology upgrade grants to be administered by the Board of State and Community Corrections to public safety agencies that have at least one service connection located in an amended status area. Administrative costs incurred by the Board of State and Community Corrections shall be recouped from the grant fund. (7) Provide funding to the Office of Emergency Services for grants and programs to tribal governments, community-based organizations, and local governments that focus on public outreach and awareness of modern communications, including, but not limited to, alternative voice services, for those with low incomes, disabilities, language barriers, older adults, and residents in high-risk areas, to help them prepare for, respond to, and recover from emergencies. (8) Provide funding for programs to develop community-based digital literacy resources in amended status areas. (9) Provide funding for a workforce development program in amended status areas that includes, but is not limited to, enhanced skills training, mentoring, education reimbursement, and career development programs for nonmanagement employees. (10) During the 90-day notice period described in subdivision (c), conduct a minimum of one informational workshop in each legislative district that includes one or more amended status areas, and conduct a minimum of one additional informational workshop in other legislative districts upon request from the Assembly Member or Senator representing the district. (11) Maintain an internet website and toll-free number dedicated to answering questions regarding the amended status process. (c) The telephone corporation shall provide three notice letters to customers in the amended areas. The letters shall be sent 30 days apart. The notice letters must comply with the commissions rules for in-language support to limited English proficient telecommunications consumers adopted pursuant to commission Decision 07-07-043 (July 26, 2007), Decision Addressing the Needs of Telecommunications Consumers Who Have Limited English Proficiency, or as subsequently revised. Each letter shall include all the following information: (1) A full explanation to customers regarding the amended status process and timing. The explanation shall include a map of each area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission National Broadband Map showing fixed and wireless broadband coverage. (2) A description of the alternative voice service available from the telephone corporation. (3) A description of the affordable broadband plans available from the telephone corporation to eligible consumers in the amended status areas. (4) Links to the internet websites and telephone numbers of alternative voice service providers in the amended status areas. (5) The date, time, and location of the informational workshop for the customers amended status area. (d) The telephone corporation shall provide a copy of the template used for the three customer notice letters in each amended status area to all the following entities: (1) The commission. (2) The Members of the Legislature representing districts included in the amended status areas. (3) Each city, county, or unincorporated town or village included in the amended status areas. (e) In addition to the customer notice template described in subdivision (d), the telephone corporation shall file a Tier 1 advice letter with the commission to be effective on the date filed that reflects the amended status areas. 2878.5. (a) (1) A customer in a well-served area where a telephone corporation seeks to amend its status may do either of the following during the 90-day notice period before the effective date of the amended status:(A) Choose an alternative voice service provided by the telephone corporation.(B) Choose an alternative voice service provided by another service provider.(2) (A) If the customer does not choose either option described in paragraph (1), the customer shall remain on their basic exchange service with the telephone corporation.(B) The telephone corporation shall provide a customer remaining on their basic exchange service with two notice letters regarding the telephone corporations transition from the current voice service, which transition shall occur no sooner than 12 months from the amended status effective date described in subdivision (a) of Section 2878.4 and after all state and federal regulatory requirements have been met. The notice letters shall be sent 30 days apart. Each notice letter shall include information explaining the status of the customers existing service and, if applicable, how the customer may seek the independent third-party review described in subdivision (b).(b) (1) If a customer continues to subscribe to their basic exchange service with the telephone corporation for 12 months after the amended status effective date described in subdivision (a) of Section 2878.4 and, upon receipt of the notice letters required by subparagraph (B) of paragraph (2) of subdivision (a), is unable to obtain a comparatively priced alternative voice service, then the customer may submit a written request, pursuant to the instructions provided by the telephone corporation in the notice letters, seeking independent third-party review. The customer shall submit this written request no later than 60 days after the date of the second notice letter.(2) No later than 30 days from receipt of the customers written request, the telephone corporation shall submit to the executive director of the commission, or the executive directors designee, the identities of three entities qualified to conduct the independent third-party review. No later than 30 days after the identification, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review. The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(3) The entity selected pursuant to paragraph (2) shall determine whether or not a comparatively priced alternative voice service is available at the customers address and shall report its determination to the customer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under paragraph (2).(4) If the independent third-party reviewer determines that a comparatively priced alternative voice service is not available at the customer address, the telephone corporation shall continue to provide the customer with the customers basic exchange service at that address. If the telephone corporation can demonstrate that circumstances have changed at any time, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, identifying a comparatively priced alternative voice service at the customers address and restarting the process set forth in paragraph (2). 2878.5. (a) (1) A customer in a well-served area where a telephone corporation seeks to amend its status may do either of the following during the 90-day notice period before the effective date of the amended status: ###### 2878.5. (A) Choose an alternative voice service provided by the telephone corporation. (B) Choose an alternative voice service provided by another service provider. (2) (A) If the customer does not choose either option described in paragraph (1), the customer shall remain on their basic exchange service with the telephone corporation. (B) The telephone corporation shall provide a customer remaining on their basic exchange service with two notice letters regarding the telephone corporations transition from the current voice service, which transition shall occur no sooner than 12 months from the amended status effective date described in subdivision (a) of Section 2878.4 and after all state and federal regulatory requirements have been met. The notice letters shall be sent 30 days apart. Each notice letter shall include information explaining the status of the customers existing service and, if applicable, how the customer may seek the independent third-party review described in subdivision (b). (b) (1) If a customer continues to subscribe to their basic exchange service with the telephone corporation for 12 months after the amended status effective date described in subdivision (a) of Section 2878.4 and, upon receipt of the notice letters required by subparagraph (B) of paragraph (2) of subdivision (a), is unable to obtain a comparatively priced alternative voice service, then the customer may submit a written request, pursuant to the instructions provided by the telephone corporation in the notice letters, seeking independent third-party review. The customer shall submit this written request no later than 60 days after the date of the second notice letter. (2) No later than 30 days from receipt of the customers written request, the telephone corporation shall submit to the executive director of the commission, or the executive directors designee, the identities of three entities qualified to conduct the independent third-party review. No later than 30 days after the identification, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review. The telephone corporation shall contract with the selected entity and pay for the independent third-party review. (3) The entity selected pursuant to paragraph (2) shall determine whether or not a comparatively priced alternative voice service is available at the customers address and shall report its determination to the customer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under paragraph (2). (4) If the independent third-party reviewer determines that a comparatively priced alternative voice service is not available at the customer address, the telephone corporation shall continue to provide the customer with the customers basic exchange service at that address. If the telephone corporation can demonstrate that circumstances have changed at any time, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, identifying a comparatively priced alternative voice service at the customers address and restarting the process set forth in paragraph (2). 2878.6. (a) (1) The obligations in this section apply only to a telephone corporation that has received amended status.(2) The obligations in this section apply for 10 years after a telephone corporation meets the requirements described in paragraph (1).(b) (1) A telephone corporation that meets the requirements described in paragraph (1) of subdivision (a) shall provide alternative voice service to any residential consumer that is unable to obtain alternative voice service from any provider in the well-served area if both of the following occur:(A) The residential consumer notifies the telephone corporation in writing that no alternative voice service is available in the well-served area.(B) An independent third-party reviewer approved by the executive director of the commission or the executive directors designee determines that no alternative voice service is available in the well-served area.(2) (A) No later than 30 days after the receipt of the residential consumers written notification under subparagraph (A) of paragraph (1), the telephone corporation shall identify and submit to the executive director of the commission, or the executive directors designee, three entities qualified to conduct the independent third-party review.(B) No later than 30 days after the identification and submission, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review.(C) The telephone corporation shall contract with the selected entity and pay for the independent third-party review.(D) The entity selected pursuant to subparagraph (B) shall determine whether or not an alternative voice service is available at the residential consumers address and shall report its determination to the residential consumer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under subparagraph (B).(3) (A) When the telephone corporation can demonstrate that circumstances have changed, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, that identifies an alternative voice service available at the residential consumers location.(B) The telephone corporation shall be relieved of the obligations under paragraph (1) of subdivision (b) if an independent third-party reviewer that is approved by the executive director of the commission, or the executive directors designee, determines that there is an alternative voice service available to the residential consumer. 2878.6. (a) (1) The obligations in this section apply only to a telephone corporation that has received amended status. ###### 2878.6. (2) The obligations in this section apply for 10 years after a telephone corporation meets the requirements described in paragraph (1). (b) (1) A telephone corporation that meets the requirements described in paragraph (1) of subdivision (a) shall provide alternative voice service to any residential consumer that is unable to obtain alternative voice service from any provider in the well-served area if both of the following occur: (A) The residential consumer notifies the telephone corporation in writing that no alternative voice service is available in the well-served area. (B) An independent third-party reviewer approved by the executive director of the commission or the executive directors designee determines that no alternative voice service is available in the well-served area. (2) (A) No later than 30 days after the receipt of the residential consumers written notification under subparagraph (A) of paragraph (1), the telephone corporation shall identify and submit to the executive director of the commission, or the executive directors designee, three entities qualified to conduct the independent third-party review. (B) No later than 30 days after the identification and submission, the executive director of the commission, or the executive directors designee, shall select one of the three identified entities to conduct the independent third-party review. (C) The telephone corporation shall contract with the selected entity and pay for the independent third-party review. (D) The entity selected pursuant to subparagraph (B) shall determine whether or not an alternative voice service is available at the residential consumers address and shall report its determination to the residential consumer, the telephone corporation, and to the executive director of the commission, or the executive directors designee, within 30 days after being requested to conduct a review under subparagraph (B). (3) (A) When the telephone corporation can demonstrate that circumstances have changed, the telephone corporation may submit a notice to the executive director of the commission, or the executive directors designee, that identifies an alternative voice service available at the residential consumers location. (B) The telephone corporation shall be relieved of the obligations under paragraph (1) of subdivision (b) if an independent third-party reviewer that is approved by the executive director of the commission, or the executive directors designee, determines that there is an alternative voice service available to the residential consumer. 2878.7. (a) This article does not confer regulatory authority to the commission over alternative voice services.(b) As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall determine a transition plan that shall be followed before a telephone corporation may amend its status as a carrier of last resort in areas not described in Section 2878.3 or not well served by alternative voice services as described in Section 2878.4. The commission may consider input from stakeholders during this process, including representatives of public safety agencies. The commission shall issue its final decision on or before January 1, 2027. 2878.7. (a) This article does not confer regulatory authority to the commission over alternative voice services. ###### 2878.7. (b) As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall determine a transition plan that shall be followed before a telephone corporation may amend its status as a carrier of last resort in areas not described in Section 2878.3 or not well served by alternative voice services as described in Section 2878.4. The commission may consider input from stakeholders during this process, including representatives of public safety agencies. The commission shall issue its final decision on or before January 1, 2027. 2878.8. The Public Safety Agency Technology Upgrade Grant fund is hereby created in the State Treasury. Notwithstanding Section 13340 of the Government Code, the moneys in the fund are hereby continuously appropriated without regard to fiscal year to the commission for purposes of paragraph (6) of subdivision (b) of Section 2878.4. The fund may accept donations from nongovernmental entities 2878.8. The Public Safety Agency Technology Upgrade Grant fund is hereby created in the State Treasury. Notwithstanding Section 13340 of the Government Code, the moneys in the fund are hereby continuously appropriated without regard to fiscal year to the commission for purposes of paragraph (6) of subdivision (b) of Section 2878.4. The fund may accept donations from nongovernmental entities ###### 2878.8. 2878.9. (a) This article shall not apply to intrastate legacy time-division multiplexing services used to directly connect land mobile radio systems used for public safety.(b) This article shall not apply to any inhabited island that is not part of the mainland area of the state and is not accessible by bridge or road, if any part of the island is well served. 2878.9. (a) This article shall not apply to intrastate legacy time-division multiplexing services used to directly connect land mobile radio systems used for public safety. ###### 2878.9. (b) This article shall not apply to any inhabited island that is not part of the mainland area of the state and is not accessible by bridge or road, if any part of the island is well served. (a)(1)A telephone corporation seeking to relinquish its carrier of last resort designation for an eligible area within its service territory shall submit to the commission a notice. The telephone corporations carrier of last resort designation for the eligible area shall be relinquished upon the submission of the notice. (2)A notice submitted pursuant to paragraph (1) shall include both of the following: (A)A map of the eligible area covered by the notice, including the source and date for all data reflected in the map. The telephone corporation may use the most recent publicly available Federal Communications Commission or commission map showing fixed and wireless broadband coverage. (B)A copy of the modified tariff described in subdivision (b). (b)Notwithstanding any other law or commission decision, a telephone corporation, before submitting a notice pursuant to subdivision (a), shall modify its tariff for basic local exchange telephone service to align with its relinquishment of its carrier of last resort designation. The modified tariff shall be effective upon the submission of the notice pursuant to subdivision (a). (c)(1)The telephone corporation shall administer and pay for a customer challenge process available to a customer who informs the telephone corporation that no alternative voice service is available at their location. (2)The telephone corporation shall notify its customers of its customer challenge process. (3)If a customer successfully challenges the availability of alternative voice service at their location, the telephone corporation shall continue to provide basic local exchange telephone service to the customer for at least two years after the challenge process is complete. (d)This section does not confer regulatory authority to the commission over alternative voice service. (e)As part of its Rulemaking 24-06-012 (June 20, 2024), Order Instituting Rulemaking Proceeding to Consider Changes to the Commissions Carrier of Last Resort Rules, the commission shall establish a transition plan that a telephone corporation shall be required to follow before its carrier of last resort designation is relinquished for an area within its service territory other than an eligible area. The commission may consider input from stakeholders, including representatives of public safety agencies, during that portion of the rulemaking. SEC. 3. The Legislature finds and declares that Section 1 of this act, which adds subparagraph (C) of paragraph (1) of subdivision (b) of Section 2878.4 of the Public Utilities Code, imposes a limitation on the publics right of access to the meetings of public bodies or the writings of public officials and agencies within the meaning of Section 3 of Article I of the California Constitution. Pursuant to that constitutional provision, the Legislature makes the following findings to demonstrate the interest protected by this limitation and the need for protecting that interest:In order to order to protect the confidential and proprietary information of an entity subject to Section 1 of this act, it is necessary that this act limit the publics right of access to that information. SEC. 3. The Legislature finds and declares that Section 1 of this act, which adds subparagraph (C) of paragraph (1) of subdivision (b) of Section 2878.4 of the Public Utilities Code, imposes a limitation on the publics right of access to the meetings of public bodies or the writings of public officials and agencies within the meaning of Section 3 of Article I of the California Constitution. Pursuant to that constitutional provision, the Legislature makes the following findings to demonstrate the interest protected by this limitation and the need for protecting that interest:In order to order to protect the confidential and proprietary information of an entity subject to Section 1 of this act, it is necessary that this act limit the publics right of access to that information. SEC. 3. The Legislature finds and declares that Section 1 of this act, which adds subparagraph (C) of paragraph (1) of subdivision (b) of Section 2878.4 of the Public Utilities Code, imposes a limitation on the publics right of access to the meetings of public bodies or the writings of public officials and agencies within the meaning of Section 3 of Article I of the California Constitution. Pursuant to that constitutional provision, the Legislature makes the following findings to demonstrate the interest protected by this limitation and the need for protecting that interest: ### SEC. 3. In order to order to protect the confidential and proprietary information of an entity subject to Section 1 of this act, it is necessary that this act limit the publics right of access to that information. SEC. 3.SEC. 4. 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. SEC. 3.SEC. 4. 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. SEC. 3.SEC. 4. 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. ### SEC. 3.SEC. 4.