California 2025-2026 Regular Session

California Senate Bill SB716 Latest Draft

Bill / Amended Version Filed 04/21/2025

                            Amended IN  Senate  April 21, 2025 Amended IN  Senate  March 26, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 716Introduced by Senator DurazoFebruary 21, 2025 An act to amend Section 11549.56 of the Government Code, and to amend Sections 270, 277, and 871 of, to amend the heading of Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of, and to add Sections 872 and 914.8 to, the Public Utilities Code, relating to communications. LEGISLATIVE COUNSEL'S DIGESTSB 716, as amended, Durazo. California Home Internet LifeLine Act of 2025.Existing law, the Moore Universal Telephone Service Act, establishes the Universal Lifeline Telephone Service program to provide low-income households with access to affordable basic residential telephone service.Existing law establishes 6 funds in the State Treasury through which the states universal service programs for communications are funded, including the Universal Lifeline Telephone Service Trust Administrative Committee Fund. Existing law requires the moneys in the funds to be expended only for specified purposes and only upon appropriation in the annual Budget Act or upon supplemental appropriation.This bill would rename the Moore Universal Telephone Service Act the Moore Universal LifeLine Services Act. The bill would additionally establish the Universal LifeLine Home Internet Services Fund in the State Treasury. The bill would provide that the above-described universal service programs will be supported by a fee per telephone access line in an amount determined by the commission sufficient to support the universal service programs pursuant to the annual Budget Act. The bill would require the commission to transfer any moneys in each fund in excess of the amount appropriated for those programs in the annual Budget Act as of March 1, 2025, except for fund reserves required by law, to the Universal LifeLine Home Internet Services Fund to support home broadband internet access service for eligible households, as specified.Existing law creates the Universal Lifeline Telephone Service Trust Administrative Committee, which is an advisory board to advise the commission regarding the development, implementation, and administration of the Universal Lifeline Telephone Service program and to carry out the Universal Lifeline Telephone Service program pursuant to the commissions direction, control, and approval. Existing law requires all revenues collected by telephone corporations in rates authorized by the commission to fund the Universal Lifeline Telephone Service program to be submitted to the commission pursuant to a schedule established by the commission. Existing law requires all moneys appropriated from the Universal Lifeline Telephone Service Trust Administrative Committee Fund to the commission to be used exclusively by the commission for the Universal Lifeline Telephone Service program.This bill would rename the Universal Lifeline Telephone Service Trust Administrative Committee as the Universal LifeLine Home Internet Services Committee to ensure home broadband internet access service is available to the people of the state, as provided, and would provide for the composition of the committee. The bill would instead require all access line fees collected by telephone corporations and interconnected VoIP service providers to fund the home internet broadband LifeLine program Universal LifeLine Home Internet Services Program, described below, to be submitted to the commission pursuant to a schedule established by the commission, and would require moneys appropriated from the Universal LifeLine Home Internet Services Fund to the commission to be used exclusively by the commission for the home internet broadband LifeLine program. Universal LifeLine Home Internet Services Program. The bill would require the commission to review the Universal LifeLine Home Internet Services Fund, on or before December 31, 3030, to review any expenditures from the Universal LifeLine Home Internet Services Fund to determine whether those expenditures were adequate and fair to all ratepayers, and report those determinations to the Legislature, as provided. The bill would authorize the commission to make recommendations to the Legislature regarding appropriations from the Universal LifeLine Home Internet Services Fund and to suspend the Universal LifeLine Home Internet Service Program upon determination by the commission that a federal program would meet specified needs and objectives.This bill would require the commission, on or before December 31, 2026, to adopt updated rules for the LifeLine program to establish a Universal LifeLine Home Internet Service Services Program that provides to provide subsidies for home broadband internet service, as defined, and to implement the program, as updated, Universal LifeLine Home Internet Services Program on or before July 1, 2027. The bill would require, for purposes of providing subsidies for home internet service, the commission to take specified actions, including, among other things, providing a home broadband internet service subsidy of $20 for each eligible household, as specified. The bill would require the commission to require all participating internet service providers to file an advice letter, as prescribed. The bill would require the commission to streamline and simplify the updated rules to the maximum extent possible, as specified. The bill would require the updated rules to maximize telephone corporation and internet service provider participation in the LifeLine program, as provided. The bill would require the commission to develop and implement an outreach program to reach all eligible households, as specified. The bill would require the commission, upon appropriation, to allocate up to $20,000,000 from the Universal LifeLine Home Internet Services Fund for public awareness through community and ethnic media channels selected through an open, competitive process, as specified.This bill would require the commission to annually report to the Legislature and the California Broadband Council on the progress in enrolling eligible households in the LifeLine programs in comparison to the goals set by relevant socioeconomic demographic factors and by participating providers.Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime.Because the above-described provisions would be part of the act and 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.This bill would include a change in state statute that would result in a taxpayer paying a higher tax within the meaning of Section 3 of Article XIIIA of the California Constitution, and thus would require for passage the approval of 2/3 of the membership of each house of the Legislature.Digest Key Vote: 2/3  Appropriation: NO  Fiscal Committee: YES  Local Program: YES Bill TextThe people of the State of California do enact as follows:SECTION 1. (a) This act shall be known, and may be cited, as the California Home Internet LifeLine Act of 2025 to memorialize the Moore Universal LifeLine Services Act.(b) The Legislature finds and declares all of the following:(1) The Moore Universal Telephone Service Act historically has been, and the Moore Universal Lifeline Services Act as revised will continue to be, an important means for achieving universal service by making two-way voice communication interconnected with the public switched telephone network and broadband internet access service affordable to low-income households through lifeline service programs.(2) The offering of high-quality broadband internet access service at affordable rates to the greatest number of people has been a long-standing goal of the state.(3) The power of the state, in the exercise of its police power or otherwise through the Public Utilities Commission or other agency, to expand access to broadband internet access service improves public health and safety.(2)(4) Factors such as competition and technological innovation have resulted in the convergence of a variety of communication technologies offering an expanded range of communication services to users that incorporate voice, video, and data. These technologies have differing regulatory regimes and jurisdictions.(3)(5) Access to universal service provides social benefits, including all of the following:(A) Improves the quality of life among the residents of California.(B) Expands access to public and private resources for education, training, and commerce.(C) Increases access to public resources enhancing public health and safety.(D) Assists in closing the digital divide through expanded access to new technologies by low-income, disabled, or otherwise disadvantaged Californians.(E) Shifts traffic patterns by enabling telecommuting, distance learning, telehealth, remote work, and emergency notifications, thereby helping to improve air quality in all areas of the state and mitigating the need for unnecessary highway expansion.(4)(6) The Digital Equity Bill of Rights (Chapter 436 of the Statutes of 2023) was enacted by the Legislature and signed into law by the Governor in 2023. The Digital Equity Bill of Rights found and declared that digital equity, in which all individuals and communities have the information technology capacity needed for full participation in society, democracy, and the economy, is necessary for civic and cultural participation, employment, lifelong learning, and to access essential services and stated that [i]t is the principle of the state, to ensure digital equity for all its residents.(5)(7) Affordability of internet service is essential to achieve digital equity as established in the Digital Equity Bill of Rights.(6)(8) Affordability of internet service remains the primary barrier for low-income households to become connected to the internet, as documented in the 2023 Statewide Digital Equity Survey, conducted by the University of Southern California in collaboration with the Department of Technology and the California Emerging Technology Fund, which contained the following findings:(A) 35.6 percent of unconnected or underconnected (have a smartphone only) households cite affordability as the top reason for not being connected to the internet, while only 2.7 percent cite the lack of infrastructure.(B) 18.8 percent of low income households are unconnected or underconnected in comparison to 4.09 percent of households that are not low income, 18.6 percent of households with a language barrier are unconnected or underconnected in comparison to 6.3 percent of households without a language barrier, and 15.5 percent of Hispanic or Latino households are unconnected or underconnected in comparison to 5 percent of White non-Hispanic households.(7)(9) Approximately 5,800,000 households in the state were eligible for the federal Affordable Connectivity Program (ACP) and, according to the Federal Communications Commission (FCC) through the Universal Service Administrative Company, approximately 2,900,000 California households were enrolled between January 1, 2022, and February 7, 2024, when the FCC terminated enrollments, which was more than 1,000,000 more households than any other state, documenting the need and demand for affordable internet service and demonstrating the ability to reach low-income residents with focused collaboration between and among the state and all stakeholders. ACP provided a $30 per month subsidy for eligible households with a minimum service speed of 100 Mbps download and 20 Mbps upload.(8)(10) However, 77 percent of the households in the 2023 Statewide Digital Equity Survey that were likely to be eligible for ACP and not enrolled in ACP were not aware of ACP and 74.2 percent of those households were not aware of affordable offers from internet service providers. Further, those households not reached by ACP tended to be poorer and more disadvantaged residents than enrolled participants, spotlighting the significant remaining digital divide that compels the state to establish a permanent program to ensure affordability for low-income households to achieve digital equity consistent with the Digital Equity Bill of Rights.(11) The furnishing of lifeline home broadband internet access services is in the public interest and should be supported fairly and equitably by every participating internet service provider, and the Public Utilities Commission, in administering the Universal LifeLine Home Internet Services Program, should implement the program in a way that is equitable, nondiscriminatory, and without competitive consequences for the telecommunications industry in California.(c) It is the intent of the Legislature to do all of the following:(1) Expand the universal service programs to include lifeline home broadband internet access services.(2) Direct that every means should be employed to ensure that every household qualified to receive lifeline telephone and home broadband internet access service is informed of, and is afforded the opportunity to participate in, the lifeline programs.(3) Serve the public interest by offering universal the lifeline programs, as defined in Section 872 of the Public Utilities Code, which are supported fairly and equitably by every telephone corporation, and the Public Utilities Commission, in administering the lifeline services program, programs, should implement the program programs in a way that is equitable, nondiscriminatory, and without competitive consequences for the telecommunications industry in California.SEC. 2. Section 11549.56 of the Government Code is amended to read:11549.56. (a) All state agencies shall work in cooperation to expedite the delivery and permitting of the statewide open-access middle-mile broadband network.(b) The office shall consider adopting rules to encourage or require internet services providers that use the statewide open-access middle-mile broadband network to participate in the lifeline program pursuant to the Moore Universal LifeLine Services Act (Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code) and the federal lifeline program.(c) The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340)) does not apply to regulations related to the operation of the statewide open-access middle-mile broadband network adopted by the office or a state agency assigned by the office to operate the broadband network.(d) The Legislature finds and declares that the statewide open-access middle-mile broadband network serves a public purpose. Notwithstanding Section 104.12 of the Streets and Highways Code and any other applicable law, any lease of public property for purposes of the statewide open-access middle-mile broadband network may be made for less than fair market value.SEC. 3. Section 270 of the Public Utilities Code is amended to read:270. (a) The following funds are hereby created in the State Treasury:(1) The California High-Cost Fund-A Administrative Committee Fund.(2) The California High-Cost Fund-B Administrative Committee Fund.(3) The Universal Lifeline Telephone Service Trust Administrative Committee Fund.(4) The Deaf and Disabled Telecommunications Program Administrative Committee Fund.(5) The California Teleconnect Fund Administrative Committee Fund.(6) The California Advanced Services Fund.(7) The Universal LifeLine Home Internet Services Fund.(b) Moneys in the funds are held in trust and may only be expended pursuant to this chapter and upon appropriation in the annual Budget Act or upon supplemental appropriation.(c) The commission, in administering the universal service program funds listed in subdivision (a), and in administering state participation in federal universal service programs, is encouraged, consistent with the states universal service policies and goals, to maximize the amount of federal funding to California participants in the federal programs.(d) The universal service programs shall be supported by a fee per telephone access line in an amount determined by the commission sufficient to support the universal service programs pursuant to the annual Budget Act.(e) The commission shall transfer any moneys in each fund in created pursuant to paragraphs (1) to (6), inclusive, of subdivision (a) in excess of the amount appropriated for the program associated with the fund in the annual Budget Act as of March 1, 2025, except for fund reserves required by law, to the Universal LifeLine Home Internet Services Fund to support home broadband internet access services for eligible households. Moneys deposited into the Universal LifeLine Home Internet Services Fund shall not be appropriated, or in any other manner transferred or otherwise diverted, to any other fund or entity. The Legislature may appropriate transfer General Fund moneys to the Universal LifeLine Home Internet Services Fund to augment the budgeted amounts from the telephone access line fee.(f) Nothing in this section or pertaining to the Universal LifeLine Home Internet Services Fund shall be construed to alter any existing statute pertaining to the Universal LifeLine Telephone Service Trust Administrative Committee Fund or impair any existing authority of the commission regarding universal two-way voice communications interconnected with the public switched telephone network.SEC. 4. Section 277 of the Public Utilities Code is amended to read:277. (a) There is hereby established the Universal LifeLine Home Internet Services Committee, which is an advisory board to advise the commission regarding the development, implementation, and administration of a program to ensure home broadband internet services are available to the people of the state, as provided for in Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 and the Digital Equity Bill of Rights (Title 15 (commencing with Section 3120) of Part 4 of Division 3 of the Civil Code), the Universal LifeLine Home Internet Services Program pursuant to Section 872 and to carry out implement the program pursuant to the commissions direction, control, and approval.(b) The Universal LifeLine Home Internet Services Committee shall include at least five persons from throughout the state who are knowledgeable about the needs and delivery of telephone and broadband home internet access services to low-income households, and representation from at least all of the following collaborating organizations:(1) The California Emerging Technology Fund.(2) The Department of Technology.(3) The State Department of Health Care Services.(4) The State Department of Social Services.(5) Other relevant state agencies identified by the commission.(6) Major industry internet service provider associations, if at least two of the largest internet service provider members in an association are participants in the Universal LifeLine Home Internet Services Fund Program.(7) Toward Utility Rate Normalization (TURN).(8) The Center for Accessible Technology.(9) Communications Workers of America (CWA).(10) Other consumer advocate organizations appointed by the commission to equal the number of internet service provider representatives.(c) All access line fees collected by telephone corporations and interconnected VoIP Voice over Internet Protocol (VoIP) service providers to fund the program specified in subdivision (a) Universal LifeLine Home Internet Services Program shall be submitted to the commission pursuant to a schedule established by the commission. The commission shall transfer the moneys received to the Controller for deposit into the Universal LifeLine Home Internet Services Fund. All interest earned by moneys in the fund shall be deposited into the fund.(d) Moneys appropriated from the Universal LifeLine Home Internet Services Fund to the commission shall be used exclusively by the commission for the program specified in subdivision (a), Universal LifeLine Home Internet Services Program, including all costs of the board Universal LifeLine Home Internet Services Committee and the commission associated with the administration and oversight of the program and the fund.(e) Unless otherwise authorized by the Legislature and permitted under federal law, all fees assessed pursuant to this section shall continue to be assessed on access lines.(f) Each calendar year, and as part of the state budgeting process, the commission shall submit a budget request and supplemental enrollment case population information to the Legislature for purposes of appropriating the requested funding from the Universal LifeLine Home Internet Services Fund.(g) The commission may make recommendations to the Legislature regarding appropriations from the Universal LifeLine Home Internet Services Fund.(h) After an opportunity for public comment, the commission may suspend the Universal LifeLine Home Internet Services Program established pursuant to Section 872 upon determining that a federal program providing for a subsidized class of lifeline broadband internet access service would meet the needs of eligible California subscribers and achieve the Universal LifeLine Home Internet Services Programs objectives. If the commission adopts an order or decision to suspend the Universal LifeLine Home Internet Services Program, the Universal LifeLine Home Internet Services Program shall continue to operate until all funds in the Universal LifeLine Home Internet Services Fund are expended.(g)(i) For purposes of this section, interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.SEC. 5. The heading of Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code is amended to read: Article 8. Moore Universal LifeLine Services ActSEC. 6. Section 871 of the Public Utilities Code is amended to read:871. This article shall be known, and may be cited, as the Moore Universal LifeLine Services Act.SEC. 7. Section 872 is added to the Public Utilities Code, to read:872. (a) On or before December 31, 2026, the commission shall adopt updated rules for the LifeLine program to establish a the Universal LifeLine Home Internet Service Services Program that provides to provide subsidies for home broadband internet service, and the commission shall implement the program, as updated, Universal LifeLine Home Internet Services Program on or before July 1, 2027.(b) For purposes of providing subsidies for home internet service, service through the Universal LifeLine Home Internet Services Program, the commission shall do all of the following:(1) Consider In establishing the cost of a plan that meets the minimum speed requirements and establishing a minimum contribution from the eligible household, consider the potential cost of service differentials between small, rural internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, Tribal organizations, and other internet service providers.(2) Where appropriate, and consistent with the home broadband internet service programs Universal LifeLine Home Internet Services Programs objectives, combine the home broadband internet service program Universal LifeLine Home Internet Services Program subsidy with the federal Lifeline program subsidy and any other federal funds.(3) Adopt annual enrollment goals, including enrolling no less than 90 percent of all eligible households in the home broadband internet service program Universal LifeLine Home Internet Services Program on or before December 31, 2032.(4) Authorize a home broadband internet service program Universal LifeLine Home Internet Services Program subsidy for all eligible households, including those households receiving a Universal Lifeline Telephone Service Program subsidy.(5) Prohibit requiring an eligible household to submit a social security number as a requirement for participating in a LifeLine program. the Universal LifeLine Home Internet Services Program.(6) Prohibit requiring a credit check in order for an eligible household to enroll in a LifeLine program. the Universal LifeLine Home Internet Services Program.(7) Require participating internet service providers to immediately enroll eligible households as of the first day of the following month, or at the beginning of the next billing period, and prohibit participating internet service providers from imposing a waiting period.(8) Provide a home broadband internet service subsidy of up to twenty dollars ($20) per month per eligible household. Each eligible household shall not be required to pay more than ten dollars ($10) per month for service that meets the minimum speed requirements. The commission may biannually increase these caps on the home broadband internet service subsidy amount and the payment by an eligible household payment amount for home internet service that meets the minimum speed requirements may be adjusted biannually by the commission requirements, consistent with the any increase in the adjusted federal poverty levels. The commission may modify these caps for rural residents served by participating internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, local agencies, nonprofit organizations and cooperatives, and Tribal organizations.(9) Authorize an eligible household to apply the home broadband internet service subsidy to any internet service from a participating internet service provider that meets or exceeds the minimum speed requirements.(10) Recognize that the state home broadband internet service subsidy amount is exclusive of any other subsidy amounts that internet service providers may obtain from the federal Lifeline program. Federal Lifeline program subsidy amounts, if any, shall be applied before the state home broadband internet service subsidy.(c) The commission shall streamline and simplify the updated rules updated pursuant to subdivision (a) (a), to the maximum extent possible, to minimize barriers to LifeLine program participation by telephone corporations, internet service providers, and local agencies. The Universal LifeLine Home Internet Services Committee shall deliberate and make a finding that the updated rules achieve the goal of being streamlined and simplified while providing essential information to measure progress in achieving the enrollment goals and ensuring transparency in the public interest.(d) The rules updated pursuant to subdivision (a) shall maximize telephone corporation and internet service provider participation in the LifeLine program, including by doing all of the following:(1) Requiring participating internet service providers to inform all eligible households about the Universal LifeLine Home Internet Services Program, including the home internet service subsidy and other affordable home internet service options, regardless of whether those options meet the minimum speed requirements.(2) (A) Prohibit upselling of higher priced offers.(B) Notwithstanding subparagraph (A), an eligible household may apply the home internet service subsidy to any internet service subscription plan that meets the minimum speed requirements.(3) Provide the following remedy if an eligible household enrolls in an internet service subscription plan other than the internet service providers lowest cost plan that meets the minimum speed requirements and the eligible household is unable to make two consecutive monthly payments:(A) Find that the internet service provider bears the financial risk of enrolling an eligible household in a home internet service plan that the eligible household cannot afford.(B) Prohibit an internet service provider from terminating home internet service or degrading the home internet service to an eligible household unless both of the following apply:(i) The eligible household is enrolled in a home internet service plan that meets the minimum speed requirements and costs no more than ten dollars ($10) per month.(ii) The internet service provider has attempted to contact the eligible household, using the eligible households preferred method of communication, at least twice per month during each month that the eligible household missed a payment.(C) Direct the internet service provider, after two months of missed payments and documenting the required attempts to contact the eligible household, to enroll the eligible household in its lowest cost home internet service plan that meets the minimum speed requirements, unless the eligible household subsequently misses two consecutive months of payments.(1)(4) Designate internet service providers and local agencies as eligible telecommunications carriers if requested by a provider for the purpose of accessing support for voice or broadband internet service under the federal Lifeline program, including establishing expedited procedures for designating affiliates of facilities-based providers that have existing licenses with the commission, and have been operating for three or more years.(2)(5) Establish an expedited internet service provider qualification process for participation in the LifeLine program Universal LifeLine Home Internet Services Program for affiliates of facilities-based internet service providers that have licenses with the commission and have been operating for three or more years. years, to maximize telephone corporation program participation.(6) Incentivize, but not require, an internet service provider to be designated as an eligible telecommunications carrier pursuant to subsection (e) of Section 214 of Title 47 of the United States Code as a condition of participation in the Universal LifeLine Home Internet Services Program.(7) Not require participation by an internet service provider, except as may be required as a condition of participation in another program administered by the commission.(3)(8) Allow local agencies to participate as internet service providers in the LifeLine program, Universal LifeLine Home Internet Services Program, subject to appropriate terms and conditions.(4)(9) Consider participation in the LifeLine program Universal LifeLine Home Internet Services Program by noneligible telecommunications carriers, as defined in subsection (e) of Section 214 of Title 47 of the United States Code, for purposes of providing subsidies for internet service only.(5)(10) Not consider consider, until January 1, 2033, telephone service and home broadband internet service subsidies for customers of eligible local exchange carriers to be revenues for purposes of rate regulation. regulation for eligible local exchange carriers that commence participation in the program on or before January 1, 2028.(e) The commission shall require each participating internet service provider to file, on a date set by the commission, an advice letter that shall be as concise as possible but shall include at least all of the following information:(1) A statement of projected revenue needs to meet the funding requirements to participate in the Universal LifeLine Home Internet Services Program and to enroll all eligible households.(2) A description of all affordable home internet service subscription plans that do not meet the minimum speed requirements and are available to eligible households.(3) A plan for informing all eligible households in their service areas of the Universal LifeLine Home Internet Services Program and of the affordable home internet service subscription plans described pursuant to paragraph (2).(4) A plan for preventing upselling of eligible households, including training of personnel performing marketing functions and working at call centers.(5) The dedicated telephone number for eligible households to use to enquire about the Universal LifeLine Home Internet Services Program and the affordable home internet service subscription plans described pursuant to paragraph (2).(6) The number of eligible households enrolled in each affordable home internet service subscription plan described pursuant to paragraph (2).(7) (A) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in the internet service providers lowest cost subscription plan that meets the minimum speed requirements and costs no more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.(B) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in an internet service providers plan other than its lowest cost plan that costs more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.(C) The information reported pursuant to this paragraph shall be reported in a form and with sufficient detail to enable the commission and the public to determine the median cost per eligible household to participate in the Universal LifeLine Home Internet Services Program.(e)(f) The commission shall develop and implement an outreach program to reach all eligible households. To support outreach to engage and enroll all eligible households, the commission shall do all of the following:(1) Engage one or more nonprofit organizations with experience in reaching and engaging eligible households in-language and in-culture.(2) Require each electrical corporation to incorporate outreach to inform all California Alternate Rates for Energy (CARE) program customers about the LifeLine program.(3) The commission may engage one or more nonprofit organizations with experience in leading and managing a digital equity ecosystem to conduct outreach and mobilization to engage community-based organizations to enroll households in the LifeLine program services, program, including by drawing on the lessons learned through the Affordable Connectivity Programs Get Connected! California campaign.(4) The commission shall prioritize outreach to covered households.(f)(g) To support outreach to engage and enroll all eligible households households, the State Department of Health Care Services and the State Department of Social Services shall continue to notify all eligible households about available LifeLine program services, including targeting communications to covered households.(g)(h) Upon appropriation, the commission shall allocate up to twenty million dollars ($20,000,000) from the Universal LifeLine Home Internet Services Fund for public awareness through community and ethnic media channels selected through an open, competitive process. No more than ten million dollars ($10,000,000) shall be expended without an assessment of impact to adjust for the expenditure of the balance of the authorized twenty million dollars ($20,000,000).(h)(i) The commission shall not authorize any surcharge on customers enrolled in a LifeLine program.(i)(j) For purposes of this section, all of the following definitions apply:(1) Adult means a person 18 years of age or older.(2) Covered household means has the same meaning as defined in Section 1721 of Title 47 of the United States Code.(3) Economic unit means all adult individuals contributing to and sharing in the income and expenses of a household.(4) Eligible household means a household within the California internet service providers California service territory with at least one resident of the household participating in a qualified public assistance program.(5) Feasibility means consistent with both of the following:(A) Equitable distribution of the funding burden for universal services among all affected consumers and industries, thereby ensuring that regulated utilities ratepayers do not bear a disproportionate share of funding responsibility.(B) The benefits justify the costs.(6) Federal Lifeline program means the program established pursuant to Subpart E of Part 54 of Title 47 of the Code of Federal Regulations.(7) Federal poverty level means the poverty guidelines updated periodically in the Federal Register by the United States Department of Health and Human Services under authority of subsection (2) of Section 9902 of Title 42 of the United States Code.(8)Home broadband internet service program means the Universal LifeLine Home Internet Service Program established pursuant to this section.(9)(8) Household means any group of individuals, including the program participant, who are living together at the same address and as one economic unit. A household may include related and unrelated persons. If an adult has no, or minimal, income and lives with someone who provides financial support to that adult, both persons shall be part of the same household. A child under 18 years of age and living with a parent or guardian shall be part of the same household as the parent or guardian.(10)(9) Interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.(11)(10) Internet service or internet means Broadband Internet access service as defined in subdivision (b) of Section 3100 of the Civil Code, except commercial mobile service and private mobile service.(12)(11) LifeLine program means the Universal Lifeline Telephone Service Program and the Universal LifeLine Home Internet Service Program. Services Program established pursuant to subdivision (a).(13)(12) Local agencies has the same meaning as defined in subdivision (e) of Section 53167 of the Government Code.(14)(13) Minimum speed requirements means at least 100 megabits per second downstream and 20 megabits per second upstream and sufficient speed and latency at all times to support distance learning, telehealth services, remote work, and emergency communications, or the highest speed offered by the internet service provider at the customers location, which may be adjusted no sooner than July 1, 2030, and no more frequently than each four years two years thereafter to align with state fiscal years and an approved Budget Act. In consideration of setting future minimum speed requirements, the commission shall consider the states minimum broadband service requirements described in paragraph (5) of subdivision (f) of Section 281 and the requirements for broadband service providers pursuant to the Digital Infrastructure and Video Competition Act of 2006 (Division 2.5 (commencing with Section 5800)). (15)(14) Qualified public assistance programs means all of the following: (A) Medi-Cal (Chapter 7 (commencing with Section 14000) of Part 3 of Division 9 of the Welfare and Institutions Code).(B) CalFresh (Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code). (C) Temporary Assistance for Needy Families (TANF) (Part A of Title IV of the Social Security Act (42 U.S.C. Sec. 601 et seq.)).(D) Federal Tribal Temporary Assistance for Needy Families (tribal TANF) (Section 10553.25 of the Welfare and Institutions Code).(E) Supplemental Security Income (SSI) and State Supplementary Payment (SSP)(Article 5 (commencing with Section 12200) of Chapter 3 of Part 3 of Division 9 of the Welfare and Institutions Code).(F) California Alternate Rates for Energy (CARE) program (Section 739.1).(G) Pell Grant recipients (20 U.S.C. Sec. 1070a), and other persons receiving income-based financial aid for postsecondary education.(16)(15) Unconnected household means any eligible household that has no internet service regardless of whether the household has had internet service previously.SEC. 8. Section 914.8 is added to the Public Utilities Code, to read:914.8. (a) The commission shall annually report to the Legislature and the California Broadband Council on the progress in enrolling eligible households in the LifeLine programs established pursuant to Article 8 (commencing with Section 871) in comparison to goals set by relevant socioeconomic demographic factors and by participating providers.(b) (1) On or before December 31, 2030, the commission shall review any expenditures from the Universal LifeLine Home Internet Services Fund to determine whether those expenditures were adequate and fair to all ratepayers, and report those determinations in the next annual report described in subdivision (a).(2) The requirement for submitting the report imposed under this subdivision is inoperative on January 1, 2034, pursuant to Section 10231.5 of the Government Code.SEC. 9. 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  Senate  April 21, 2025 Amended IN  Senate  March 26, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 716Introduced by Senator DurazoFebruary 21, 2025 An act to amend Section 11549.56 of the Government Code, and to amend Sections 270, 277, and 871 of, to amend the heading of Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of, and to add Sections 872 and 914.8 to, the Public Utilities Code, relating to communications. LEGISLATIVE COUNSEL'S DIGESTSB 716, as amended, Durazo. California Home Internet LifeLine Act of 2025.Existing law, the Moore Universal Telephone Service Act, establishes the Universal Lifeline Telephone Service program to provide low-income households with access to affordable basic residential telephone service.Existing law establishes 6 funds in the State Treasury through which the states universal service programs for communications are funded, including the Universal Lifeline Telephone Service Trust Administrative Committee Fund. Existing law requires the moneys in the funds to be expended only for specified purposes and only upon appropriation in the annual Budget Act or upon supplemental appropriation.This bill would rename the Moore Universal Telephone Service Act the Moore Universal LifeLine Services Act. The bill would additionally establish the Universal LifeLine Home Internet Services Fund in the State Treasury. The bill would provide that the above-described universal service programs will be supported by a fee per telephone access line in an amount determined by the commission sufficient to support the universal service programs pursuant to the annual Budget Act. The bill would require the commission to transfer any moneys in each fund in excess of the amount appropriated for those programs in the annual Budget Act as of March 1, 2025, except for fund reserves required by law, to the Universal LifeLine Home Internet Services Fund to support home broadband internet access service for eligible households, as specified.Existing law creates the Universal Lifeline Telephone Service Trust Administrative Committee, which is an advisory board to advise the commission regarding the development, implementation, and administration of the Universal Lifeline Telephone Service program and to carry out the Universal Lifeline Telephone Service program pursuant to the commissions direction, control, and approval. Existing law requires all revenues collected by telephone corporations in rates authorized by the commission to fund the Universal Lifeline Telephone Service program to be submitted to the commission pursuant to a schedule established by the commission. Existing law requires all moneys appropriated from the Universal Lifeline Telephone Service Trust Administrative Committee Fund to the commission to be used exclusively by the commission for the Universal Lifeline Telephone Service program.This bill would rename the Universal Lifeline Telephone Service Trust Administrative Committee as the Universal LifeLine Home Internet Services Committee to ensure home broadband internet access service is available to the people of the state, as provided, and would provide for the composition of the committee. The bill would instead require all access line fees collected by telephone corporations and interconnected VoIP service providers to fund the home internet broadband LifeLine program Universal LifeLine Home Internet Services Program, described below, to be submitted to the commission pursuant to a schedule established by the commission, and would require moneys appropriated from the Universal LifeLine Home Internet Services Fund to the commission to be used exclusively by the commission for the home internet broadband LifeLine program. Universal LifeLine Home Internet Services Program. The bill would require the commission to review the Universal LifeLine Home Internet Services Fund, on or before December 31, 3030, to review any expenditures from the Universal LifeLine Home Internet Services Fund to determine whether those expenditures were adequate and fair to all ratepayers, and report those determinations to the Legislature, as provided. The bill would authorize the commission to make recommendations to the Legislature regarding appropriations from the Universal LifeLine Home Internet Services Fund and to suspend the Universal LifeLine Home Internet Service Program upon determination by the commission that a federal program would meet specified needs and objectives.This bill would require the commission, on or before December 31, 2026, to adopt updated rules for the LifeLine program to establish a Universal LifeLine Home Internet Service Services Program that provides to provide subsidies for home broadband internet service, as defined, and to implement the program, as updated, Universal LifeLine Home Internet Services Program on or before July 1, 2027. The bill would require, for purposes of providing subsidies for home internet service, the commission to take specified actions, including, among other things, providing a home broadband internet service subsidy of $20 for each eligible household, as specified. The bill would require the commission to require all participating internet service providers to file an advice letter, as prescribed. The bill would require the commission to streamline and simplify the updated rules to the maximum extent possible, as specified. The bill would require the updated rules to maximize telephone corporation and internet service provider participation in the LifeLine program, as provided. The bill would require the commission to develop and implement an outreach program to reach all eligible households, as specified. The bill would require the commission, upon appropriation, to allocate up to $20,000,000 from the Universal LifeLine Home Internet Services Fund for public awareness through community and ethnic media channels selected through an open, competitive process, as specified.This bill would require the commission to annually report to the Legislature and the California Broadband Council on the progress in enrolling eligible households in the LifeLine programs in comparison to the goals set by relevant socioeconomic demographic factors and by participating providers.Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime.Because the above-described provisions would be part of the act and 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.This bill would include a change in state statute that would result in a taxpayer paying a higher tax within the meaning of Section 3 of Article XIIIA of the California Constitution, and thus would require for passage the approval of 2/3 of the membership of each house of the Legislature.Digest Key Vote: 2/3  Appropriation: NO  Fiscal Committee: YES  Local Program: YES

Amended IN  Senate  April 21, 2025 Amended IN  Senate  March 26, 2025

Amended IN  Senate  April 21, 2025
Amended IN  Senate  March 26, 2025



CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION

Senate Bill

No. 716

Introduced by Senator DurazoFebruary 21, 2025

Introduced by Senator Durazo
February 21, 2025



An act to amend Section 11549.56 of the Government Code, and to amend Sections 270, 277, and 871 of, to amend the heading of Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of, and to add Sections 872 and 914.8 to, the Public Utilities Code, relating to communications.

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

SB 716, as amended, Durazo. California Home Internet LifeLine Act of 2025.

Existing law, the Moore Universal Telephone Service Act, establishes the Universal Lifeline Telephone Service program to provide low-income households with access to affordable basic residential telephone service.Existing law establishes 6 funds in the State Treasury through which the states universal service programs for communications are funded, including the Universal Lifeline Telephone Service Trust Administrative Committee Fund. Existing law requires the moneys in the funds to be expended only for specified purposes and only upon appropriation in the annual Budget Act or upon supplemental appropriation.This bill would rename the Moore Universal Telephone Service Act the Moore Universal LifeLine Services Act. The bill would additionally establish the Universal LifeLine Home Internet Services Fund in the State Treasury. The bill would provide that the above-described universal service programs will be supported by a fee per telephone access line in an amount determined by the commission sufficient to support the universal service programs pursuant to the annual Budget Act. The bill would require the commission to transfer any moneys in each fund in excess of the amount appropriated for those programs in the annual Budget Act as of March 1, 2025, except for fund reserves required by law, to the Universal LifeLine Home Internet Services Fund to support home broadband internet access service for eligible households, as specified.Existing law creates the Universal Lifeline Telephone Service Trust Administrative Committee, which is an advisory board to advise the commission regarding the development, implementation, and administration of the Universal Lifeline Telephone Service program and to carry out the Universal Lifeline Telephone Service program pursuant to the commissions direction, control, and approval. Existing law requires all revenues collected by telephone corporations in rates authorized by the commission to fund the Universal Lifeline Telephone Service program to be submitted to the commission pursuant to a schedule established by the commission. Existing law requires all moneys appropriated from the Universal Lifeline Telephone Service Trust Administrative Committee Fund to the commission to be used exclusively by the commission for the Universal Lifeline Telephone Service program.This bill would rename the Universal Lifeline Telephone Service Trust Administrative Committee as the Universal LifeLine Home Internet Services Committee to ensure home broadband internet access service is available to the people of the state, as provided, and would provide for the composition of the committee. The bill would instead require all access line fees collected by telephone corporations and interconnected VoIP service providers to fund the home internet broadband LifeLine program Universal LifeLine Home Internet Services Program, described below, to be submitted to the commission pursuant to a schedule established by the commission, and would require moneys appropriated from the Universal LifeLine Home Internet Services Fund to the commission to be used exclusively by the commission for the home internet broadband LifeLine program. Universal LifeLine Home Internet Services Program. The bill would require the commission to review the Universal LifeLine Home Internet Services Fund, on or before December 31, 3030, to review any expenditures from the Universal LifeLine Home Internet Services Fund to determine whether those expenditures were adequate and fair to all ratepayers, and report those determinations to the Legislature, as provided. The bill would authorize the commission to make recommendations to the Legislature regarding appropriations from the Universal LifeLine Home Internet Services Fund and to suspend the Universal LifeLine Home Internet Service Program upon determination by the commission that a federal program would meet specified needs and objectives.This bill would require the commission, on or before December 31, 2026, to adopt updated rules for the LifeLine program to establish a Universal LifeLine Home Internet Service Services Program that provides to provide subsidies for home broadband internet service, as defined, and to implement the program, as updated, Universal LifeLine Home Internet Services Program on or before July 1, 2027. The bill would require, for purposes of providing subsidies for home internet service, the commission to take specified actions, including, among other things, providing a home broadband internet service subsidy of $20 for each eligible household, as specified. The bill would require the commission to require all participating internet service providers to file an advice letter, as prescribed. The bill would require the commission to streamline and simplify the updated rules to the maximum extent possible, as specified. The bill would require the updated rules to maximize telephone corporation and internet service provider participation in the LifeLine program, as provided. The bill would require the commission to develop and implement an outreach program to reach all eligible households, as specified. The bill would require the commission, upon appropriation, to allocate up to $20,000,000 from the Universal LifeLine Home Internet Services Fund for public awareness through community and ethnic media channels selected through an open, competitive process, as specified.This bill would require the commission to annually report to the Legislature and the California Broadband Council on the progress in enrolling eligible households in the LifeLine programs in comparison to the goals set by relevant socioeconomic demographic factors and by participating providers.Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime.Because the above-described provisions would be part of the act and 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.This bill would include a change in state statute that would result in a taxpayer paying a higher tax within the meaning of Section 3 of Article XIIIA of the California Constitution, and thus would require for passage the approval of 2/3 of the membership of each house of the Legislature.

Existing law, the Moore Universal Telephone Service Act, establishes the Universal Lifeline Telephone Service program to provide low-income households with access to affordable basic residential telephone service.

Existing law establishes 6 funds in the State Treasury through which the states universal service programs for communications are funded, including the Universal Lifeline Telephone Service Trust Administrative Committee Fund. Existing law requires the moneys in the funds to be expended only for specified purposes and only upon appropriation in the annual Budget Act or upon supplemental appropriation.

This bill would rename the Moore Universal Telephone Service Act the Moore Universal LifeLine Services Act. The bill would additionally establish the Universal LifeLine Home Internet Services Fund in the State Treasury. The bill would provide that the above-described universal service programs will be supported by a fee per telephone access line in an amount determined by the commission sufficient to support the universal service programs pursuant to the annual Budget Act. The bill would require the commission to transfer any moneys in each fund in excess of the amount appropriated for those programs in the annual Budget Act as of March 1, 2025, except for fund reserves required by law, to the Universal LifeLine Home Internet Services Fund to support home broadband internet access service for eligible households, as specified.

Existing law creates the Universal Lifeline Telephone Service Trust Administrative Committee, which is an advisory board to advise the commission regarding the development, implementation, and administration of the Universal Lifeline Telephone Service program and to carry out the Universal Lifeline Telephone Service program pursuant to the commissions direction, control, and approval. Existing law requires all revenues collected by telephone corporations in rates authorized by the commission to fund the Universal Lifeline Telephone Service program to be submitted to the commission pursuant to a schedule established by the commission. Existing law requires all moneys appropriated from the Universal Lifeline Telephone Service Trust Administrative Committee Fund to the commission to be used exclusively by the commission for the Universal Lifeline Telephone Service program.

This bill would rename the Universal Lifeline Telephone Service Trust Administrative Committee as the Universal LifeLine Home Internet Services Committee to ensure home broadband internet access service is available to the people of the state, as provided, and would provide for the composition of the committee. The bill would instead require all access line fees collected by telephone corporations and interconnected VoIP service providers to fund the home internet broadband LifeLine program Universal LifeLine Home Internet Services Program, described below, to be submitted to the commission pursuant to a schedule established by the commission, and would require moneys appropriated from the Universal LifeLine Home Internet Services Fund to the commission to be used exclusively by the commission for the home internet broadband LifeLine program. Universal LifeLine Home Internet Services Program. The bill would require the commission to review the Universal LifeLine Home Internet Services Fund, on or before December 31, 3030, to review any expenditures from the Universal LifeLine Home Internet Services Fund to determine whether those expenditures were adequate and fair to all ratepayers, and report those determinations to the Legislature, as provided. The bill would authorize the commission to make recommendations to the Legislature regarding appropriations from the Universal LifeLine Home Internet Services Fund and to suspend the Universal LifeLine Home Internet Service Program upon determination by the commission that a federal program would meet specified needs and objectives.

This bill would require the commission, on or before December 31, 2026, to adopt updated rules for the LifeLine program to establish a Universal LifeLine Home Internet Service Services Program that provides to provide subsidies for home broadband internet service, as defined, and to implement the program, as updated, Universal LifeLine Home Internet Services Program on or before July 1, 2027. The bill would require, for purposes of providing subsidies for home internet service, the commission to take specified actions, including, among other things, providing a home broadband internet service subsidy of $20 for each eligible household, as specified. The bill would require the commission to require all participating internet service providers to file an advice letter, as prescribed. The bill would require the commission to streamline and simplify the updated rules to the maximum extent possible, as specified. The bill would require the updated rules to maximize telephone corporation and internet service provider participation in the LifeLine program, as provided. The bill would require the commission to develop and implement an outreach program to reach all eligible households, as specified. The bill would require the commission, upon appropriation, to allocate up to $20,000,000 from the Universal LifeLine Home Internet Services Fund for public awareness through community and ethnic media channels selected through an open, competitive process, as specified.

This bill would require the commission to annually report to the Legislature and the California Broadband Council on the progress in enrolling eligible households in the LifeLine programs in comparison to the goals set by relevant socioeconomic demographic factors and by participating providers.

Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime.

Because the above-described provisions would be part of the act and 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.

This bill would include a change in state statute that would result in a taxpayer paying a higher tax within the meaning of Section 3 of Article XIIIA of the California Constitution, and thus would require for passage the approval of 2/3 of the membership of each house of the Legislature.

## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. (a) This act shall be known, and may be cited, as the California Home Internet LifeLine Act of 2025 to memorialize the Moore Universal LifeLine Services Act.(b) The Legislature finds and declares all of the following:(1) The Moore Universal Telephone Service Act historically has been, and the Moore Universal Lifeline Services Act as revised will continue to be, an important means for achieving universal service by making two-way voice communication interconnected with the public switched telephone network and broadband internet access service affordable to low-income households through lifeline service programs.(2) The offering of high-quality broadband internet access service at affordable rates to the greatest number of people has been a long-standing goal of the state.(3) The power of the state, in the exercise of its police power or otherwise through the Public Utilities Commission or other agency, to expand access to broadband internet access service improves public health and safety.(2)(4) Factors such as competition and technological innovation have resulted in the convergence of a variety of communication technologies offering an expanded range of communication services to users that incorporate voice, video, and data. These technologies have differing regulatory regimes and jurisdictions.(3)(5) Access to universal service provides social benefits, including all of the following:(A) Improves the quality of life among the residents of California.(B) Expands access to public and private resources for education, training, and commerce.(C) Increases access to public resources enhancing public health and safety.(D) Assists in closing the digital divide through expanded access to new technologies by low-income, disabled, or otherwise disadvantaged Californians.(E) Shifts traffic patterns by enabling telecommuting, distance learning, telehealth, remote work, and emergency notifications, thereby helping to improve air quality in all areas of the state and mitigating the need for unnecessary highway expansion.(4)(6) The Digital Equity Bill of Rights (Chapter 436 of the Statutes of 2023) was enacted by the Legislature and signed into law by the Governor in 2023. The Digital Equity Bill of Rights found and declared that digital equity, in which all individuals and communities have the information technology capacity needed for full participation in society, democracy, and the economy, is necessary for civic and cultural participation, employment, lifelong learning, and to access essential services and stated that [i]t is the principle of the state, to ensure digital equity for all its residents.(5)(7) Affordability of internet service is essential to achieve digital equity as established in the Digital Equity Bill of Rights.(6)(8) Affordability of internet service remains the primary barrier for low-income households to become connected to the internet, as documented in the 2023 Statewide Digital Equity Survey, conducted by the University of Southern California in collaboration with the Department of Technology and the California Emerging Technology Fund, which contained the following findings:(A) 35.6 percent of unconnected or underconnected (have a smartphone only) households cite affordability as the top reason for not being connected to the internet, while only 2.7 percent cite the lack of infrastructure.(B) 18.8 percent of low income households are unconnected or underconnected in comparison to 4.09 percent of households that are not low income, 18.6 percent of households with a language barrier are unconnected or underconnected in comparison to 6.3 percent of households without a language barrier, and 15.5 percent of Hispanic or Latino households are unconnected or underconnected in comparison to 5 percent of White non-Hispanic households.(7)(9) Approximately 5,800,000 households in the state were eligible for the federal Affordable Connectivity Program (ACP) and, according to the Federal Communications Commission (FCC) through the Universal Service Administrative Company, approximately 2,900,000 California households were enrolled between January 1, 2022, and February 7, 2024, when the FCC terminated enrollments, which was more than 1,000,000 more households than any other state, documenting the need and demand for affordable internet service and demonstrating the ability to reach low-income residents with focused collaboration between and among the state and all stakeholders. ACP provided a $30 per month subsidy for eligible households with a minimum service speed of 100 Mbps download and 20 Mbps upload.(8)(10) However, 77 percent of the households in the 2023 Statewide Digital Equity Survey that were likely to be eligible for ACP and not enrolled in ACP were not aware of ACP and 74.2 percent of those households were not aware of affordable offers from internet service providers. Further, those households not reached by ACP tended to be poorer and more disadvantaged residents than enrolled participants, spotlighting the significant remaining digital divide that compels the state to establish a permanent program to ensure affordability for low-income households to achieve digital equity consistent with the Digital Equity Bill of Rights.(11) The furnishing of lifeline home broadband internet access services is in the public interest and should be supported fairly and equitably by every participating internet service provider, and the Public Utilities Commission, in administering the Universal LifeLine Home Internet Services Program, should implement the program in a way that is equitable, nondiscriminatory, and without competitive consequences for the telecommunications industry in California.(c) It is the intent of the Legislature to do all of the following:(1) Expand the universal service programs to include lifeline home broadband internet access services.(2) Direct that every means should be employed to ensure that every household qualified to receive lifeline telephone and home broadband internet access service is informed of, and is afforded the opportunity to participate in, the lifeline programs.(3) Serve the public interest by offering universal the lifeline programs, as defined in Section 872 of the Public Utilities Code, which are supported fairly and equitably by every telephone corporation, and the Public Utilities Commission, in administering the lifeline services program, programs, should implement the program programs in a way that is equitable, nondiscriminatory, and without competitive consequences for the telecommunications industry in California.SEC. 2. Section 11549.56 of the Government Code is amended to read:11549.56. (a) All state agencies shall work in cooperation to expedite the delivery and permitting of the statewide open-access middle-mile broadband network.(b) The office shall consider adopting rules to encourage or require internet services providers that use the statewide open-access middle-mile broadband network to participate in the lifeline program pursuant to the Moore Universal LifeLine Services Act (Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code) and the federal lifeline program.(c) The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340)) does not apply to regulations related to the operation of the statewide open-access middle-mile broadband network adopted by the office or a state agency assigned by the office to operate the broadband network.(d) The Legislature finds and declares that the statewide open-access middle-mile broadband network serves a public purpose. Notwithstanding Section 104.12 of the Streets and Highways Code and any other applicable law, any lease of public property for purposes of the statewide open-access middle-mile broadband network may be made for less than fair market value.SEC. 3. Section 270 of the Public Utilities Code is amended to read:270. (a) The following funds are hereby created in the State Treasury:(1) The California High-Cost Fund-A Administrative Committee Fund.(2) The California High-Cost Fund-B Administrative Committee Fund.(3) The Universal Lifeline Telephone Service Trust Administrative Committee Fund.(4) The Deaf and Disabled Telecommunications Program Administrative Committee Fund.(5) The California Teleconnect Fund Administrative Committee Fund.(6) The California Advanced Services Fund.(7) The Universal LifeLine Home Internet Services Fund.(b) Moneys in the funds are held in trust and may only be expended pursuant to this chapter and upon appropriation in the annual Budget Act or upon supplemental appropriation.(c) The commission, in administering the universal service program funds listed in subdivision (a), and in administering state participation in federal universal service programs, is encouraged, consistent with the states universal service policies and goals, to maximize the amount of federal funding to California participants in the federal programs.(d) The universal service programs shall be supported by a fee per telephone access line in an amount determined by the commission sufficient to support the universal service programs pursuant to the annual Budget Act.(e) The commission shall transfer any moneys in each fund in created pursuant to paragraphs (1) to (6), inclusive, of subdivision (a) in excess of the amount appropriated for the program associated with the fund in the annual Budget Act as of March 1, 2025, except for fund reserves required by law, to the Universal LifeLine Home Internet Services Fund to support home broadband internet access services for eligible households. Moneys deposited into the Universal LifeLine Home Internet Services Fund shall not be appropriated, or in any other manner transferred or otherwise diverted, to any other fund or entity. The Legislature may appropriate transfer General Fund moneys to the Universal LifeLine Home Internet Services Fund to augment the budgeted amounts from the telephone access line fee.(f) Nothing in this section or pertaining to the Universal LifeLine Home Internet Services Fund shall be construed to alter any existing statute pertaining to the Universal LifeLine Telephone Service Trust Administrative Committee Fund or impair any existing authority of the commission regarding universal two-way voice communications interconnected with the public switched telephone network.SEC. 4. Section 277 of the Public Utilities Code is amended to read:277. (a) There is hereby established the Universal LifeLine Home Internet Services Committee, which is an advisory board to advise the commission regarding the development, implementation, and administration of a program to ensure home broadband internet services are available to the people of the state, as provided for in Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 and the Digital Equity Bill of Rights (Title 15 (commencing with Section 3120) of Part 4 of Division 3 of the Civil Code), the Universal LifeLine Home Internet Services Program pursuant to Section 872 and to carry out implement the program pursuant to the commissions direction, control, and approval.(b) The Universal LifeLine Home Internet Services Committee shall include at least five persons from throughout the state who are knowledgeable about the needs and delivery of telephone and broadband home internet access services to low-income households, and representation from at least all of the following collaborating organizations:(1) The California Emerging Technology Fund.(2) The Department of Technology.(3) The State Department of Health Care Services.(4) The State Department of Social Services.(5) Other relevant state agencies identified by the commission.(6) Major industry internet service provider associations, if at least two of the largest internet service provider members in an association are participants in the Universal LifeLine Home Internet Services Fund Program.(7) Toward Utility Rate Normalization (TURN).(8) The Center for Accessible Technology.(9) Communications Workers of America (CWA).(10) Other consumer advocate organizations appointed by the commission to equal the number of internet service provider representatives.(c) All access line fees collected by telephone corporations and interconnected VoIP Voice over Internet Protocol (VoIP) service providers to fund the program specified in subdivision (a) Universal LifeLine Home Internet Services Program shall be submitted to the commission pursuant to a schedule established by the commission. The commission shall transfer the moneys received to the Controller for deposit into the Universal LifeLine Home Internet Services Fund. All interest earned by moneys in the fund shall be deposited into the fund.(d) Moneys appropriated from the Universal LifeLine Home Internet Services Fund to the commission shall be used exclusively by the commission for the program specified in subdivision (a), Universal LifeLine Home Internet Services Program, including all costs of the board Universal LifeLine Home Internet Services Committee and the commission associated with the administration and oversight of the program and the fund.(e) Unless otherwise authorized by the Legislature and permitted under federal law, all fees assessed pursuant to this section shall continue to be assessed on access lines.(f) Each calendar year, and as part of the state budgeting process, the commission shall submit a budget request and supplemental enrollment case population information to the Legislature for purposes of appropriating the requested funding from the Universal LifeLine Home Internet Services Fund.(g) The commission may make recommendations to the Legislature regarding appropriations from the Universal LifeLine Home Internet Services Fund.(h) After an opportunity for public comment, the commission may suspend the Universal LifeLine Home Internet Services Program established pursuant to Section 872 upon determining that a federal program providing for a subsidized class of lifeline broadband internet access service would meet the needs of eligible California subscribers and achieve the Universal LifeLine Home Internet Services Programs objectives. If the commission adopts an order or decision to suspend the Universal LifeLine Home Internet Services Program, the Universal LifeLine Home Internet Services Program shall continue to operate until all funds in the Universal LifeLine Home Internet Services Fund are expended.(g)(i) For purposes of this section, interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.SEC. 5. The heading of Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code is amended to read: Article 8. Moore Universal LifeLine Services ActSEC. 6. Section 871 of the Public Utilities Code is amended to read:871. This article shall be known, and may be cited, as the Moore Universal LifeLine Services Act.SEC. 7. Section 872 is added to the Public Utilities Code, to read:872. (a) On or before December 31, 2026, the commission shall adopt updated rules for the LifeLine program to establish a the Universal LifeLine Home Internet Service Services Program that provides to provide subsidies for home broadband internet service, and the commission shall implement the program, as updated, Universal LifeLine Home Internet Services Program on or before July 1, 2027.(b) For purposes of providing subsidies for home internet service, service through the Universal LifeLine Home Internet Services Program, the commission shall do all of the following:(1) Consider In establishing the cost of a plan that meets the minimum speed requirements and establishing a minimum contribution from the eligible household, consider the potential cost of service differentials between small, rural internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, Tribal organizations, and other internet service providers.(2) Where appropriate, and consistent with the home broadband internet service programs Universal LifeLine Home Internet Services Programs objectives, combine the home broadband internet service program Universal LifeLine Home Internet Services Program subsidy with the federal Lifeline program subsidy and any other federal funds.(3) Adopt annual enrollment goals, including enrolling no less than 90 percent of all eligible households in the home broadband internet service program Universal LifeLine Home Internet Services Program on or before December 31, 2032.(4) Authorize a home broadband internet service program Universal LifeLine Home Internet Services Program subsidy for all eligible households, including those households receiving a Universal Lifeline Telephone Service Program subsidy.(5) Prohibit requiring an eligible household to submit a social security number as a requirement for participating in a LifeLine program. the Universal LifeLine Home Internet Services Program.(6) Prohibit requiring a credit check in order for an eligible household to enroll in a LifeLine program. the Universal LifeLine Home Internet Services Program.(7) Require participating internet service providers to immediately enroll eligible households as of the first day of the following month, or at the beginning of the next billing period, and prohibit participating internet service providers from imposing a waiting period.(8) Provide a home broadband internet service subsidy of up to twenty dollars ($20) per month per eligible household. Each eligible household shall not be required to pay more than ten dollars ($10) per month for service that meets the minimum speed requirements. The commission may biannually increase these caps on the home broadband internet service subsidy amount and the payment by an eligible household payment amount for home internet service that meets the minimum speed requirements may be adjusted biannually by the commission requirements, consistent with the any increase in the adjusted federal poverty levels. The commission may modify these caps for rural residents served by participating internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, local agencies, nonprofit organizations and cooperatives, and Tribal organizations.(9) Authorize an eligible household to apply the home broadband internet service subsidy to any internet service from a participating internet service provider that meets or exceeds the minimum speed requirements.(10) Recognize that the state home broadband internet service subsidy amount is exclusive of any other subsidy amounts that internet service providers may obtain from the federal Lifeline program. Federal Lifeline program subsidy amounts, if any, shall be applied before the state home broadband internet service subsidy.(c) The commission shall streamline and simplify the updated rules updated pursuant to subdivision (a) (a), to the maximum extent possible, to minimize barriers to LifeLine program participation by telephone corporations, internet service providers, and local agencies. The Universal LifeLine Home Internet Services Committee shall deliberate and make a finding that the updated rules achieve the goal of being streamlined and simplified while providing essential information to measure progress in achieving the enrollment goals and ensuring transparency in the public interest.(d) The rules updated pursuant to subdivision (a) shall maximize telephone corporation and internet service provider participation in the LifeLine program, including by doing all of the following:(1) Requiring participating internet service providers to inform all eligible households about the Universal LifeLine Home Internet Services Program, including the home internet service subsidy and other affordable home internet service options, regardless of whether those options meet the minimum speed requirements.(2) (A) Prohibit upselling of higher priced offers.(B) Notwithstanding subparagraph (A), an eligible household may apply the home internet service subsidy to any internet service subscription plan that meets the minimum speed requirements.(3) Provide the following remedy if an eligible household enrolls in an internet service subscription plan other than the internet service providers lowest cost plan that meets the minimum speed requirements and the eligible household is unable to make two consecutive monthly payments:(A) Find that the internet service provider bears the financial risk of enrolling an eligible household in a home internet service plan that the eligible household cannot afford.(B) Prohibit an internet service provider from terminating home internet service or degrading the home internet service to an eligible household unless both of the following apply:(i) The eligible household is enrolled in a home internet service plan that meets the minimum speed requirements and costs no more than ten dollars ($10) per month.(ii) The internet service provider has attempted to contact the eligible household, using the eligible households preferred method of communication, at least twice per month during each month that the eligible household missed a payment.(C) Direct the internet service provider, after two months of missed payments and documenting the required attempts to contact the eligible household, to enroll the eligible household in its lowest cost home internet service plan that meets the minimum speed requirements, unless the eligible household subsequently misses two consecutive months of payments.(1)(4) Designate internet service providers and local agencies as eligible telecommunications carriers if requested by a provider for the purpose of accessing support for voice or broadband internet service under the federal Lifeline program, including establishing expedited procedures for designating affiliates of facilities-based providers that have existing licenses with the commission, and have been operating for three or more years.(2)(5) Establish an expedited internet service provider qualification process for participation in the LifeLine program Universal LifeLine Home Internet Services Program for affiliates of facilities-based internet service providers that have licenses with the commission and have been operating for three or more years. years, to maximize telephone corporation program participation.(6) Incentivize, but not require, an internet service provider to be designated as an eligible telecommunications carrier pursuant to subsection (e) of Section 214 of Title 47 of the United States Code as a condition of participation in the Universal LifeLine Home Internet Services Program.(7) Not require participation by an internet service provider, except as may be required as a condition of participation in another program administered by the commission.(3)(8) Allow local agencies to participate as internet service providers in the LifeLine program, Universal LifeLine Home Internet Services Program, subject to appropriate terms and conditions.(4)(9) Consider participation in the LifeLine program Universal LifeLine Home Internet Services Program by noneligible telecommunications carriers, as defined in subsection (e) of Section 214 of Title 47 of the United States Code, for purposes of providing subsidies for internet service only.(5)(10) Not consider consider, until January 1, 2033, telephone service and home broadband internet service subsidies for customers of eligible local exchange carriers to be revenues for purposes of rate regulation. regulation for eligible local exchange carriers that commence participation in the program on or before January 1, 2028.(e) The commission shall require each participating internet service provider to file, on a date set by the commission, an advice letter that shall be as concise as possible but shall include at least all of the following information:(1) A statement of projected revenue needs to meet the funding requirements to participate in the Universal LifeLine Home Internet Services Program and to enroll all eligible households.(2) A description of all affordable home internet service subscription plans that do not meet the minimum speed requirements and are available to eligible households.(3) A plan for informing all eligible households in their service areas of the Universal LifeLine Home Internet Services Program and of the affordable home internet service subscription plans described pursuant to paragraph (2).(4) A plan for preventing upselling of eligible households, including training of personnel performing marketing functions and working at call centers.(5) The dedicated telephone number for eligible households to use to enquire about the Universal LifeLine Home Internet Services Program and the affordable home internet service subscription plans described pursuant to paragraph (2).(6) The number of eligible households enrolled in each affordable home internet service subscription plan described pursuant to paragraph (2).(7) (A) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in the internet service providers lowest cost subscription plan that meets the minimum speed requirements and costs no more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.(B) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in an internet service providers plan other than its lowest cost plan that costs more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.(C) The information reported pursuant to this paragraph shall be reported in a form and with sufficient detail to enable the commission and the public to determine the median cost per eligible household to participate in the Universal LifeLine Home Internet Services Program.(e)(f) The commission shall develop and implement an outreach program to reach all eligible households. To support outreach to engage and enroll all eligible households, the commission shall do all of the following:(1) Engage one or more nonprofit organizations with experience in reaching and engaging eligible households in-language and in-culture.(2) Require each electrical corporation to incorporate outreach to inform all California Alternate Rates for Energy (CARE) program customers about the LifeLine program.(3) The commission may engage one or more nonprofit organizations with experience in leading and managing a digital equity ecosystem to conduct outreach and mobilization to engage community-based organizations to enroll households in the LifeLine program services, program, including by drawing on the lessons learned through the Affordable Connectivity Programs Get Connected! California campaign.(4) The commission shall prioritize outreach to covered households.(f)(g) To support outreach to engage and enroll all eligible households households, the State Department of Health Care Services and the State Department of Social Services shall continue to notify all eligible households about available LifeLine program services, including targeting communications to covered households.(g)(h) Upon appropriation, the commission shall allocate up to twenty million dollars ($20,000,000) from the Universal LifeLine Home Internet Services Fund for public awareness through community and ethnic media channels selected through an open, competitive process. No more than ten million dollars ($10,000,000) shall be expended without an assessment of impact to adjust for the expenditure of the balance of the authorized twenty million dollars ($20,000,000).(h)(i) The commission shall not authorize any surcharge on customers enrolled in a LifeLine program.(i)(j) For purposes of this section, all of the following definitions apply:(1) Adult means a person 18 years of age or older.(2) Covered household means has the same meaning as defined in Section 1721 of Title 47 of the United States Code.(3) Economic unit means all adult individuals contributing to and sharing in the income and expenses of a household.(4) Eligible household means a household within the California internet service providers California service territory with at least one resident of the household participating in a qualified public assistance program.(5) Feasibility means consistent with both of the following:(A) Equitable distribution of the funding burden for universal services among all affected consumers and industries, thereby ensuring that regulated utilities ratepayers do not bear a disproportionate share of funding responsibility.(B) The benefits justify the costs.(6) Federal Lifeline program means the program established pursuant to Subpart E of Part 54 of Title 47 of the Code of Federal Regulations.(7) Federal poverty level means the poverty guidelines updated periodically in the Federal Register by the United States Department of Health and Human Services under authority of subsection (2) of Section 9902 of Title 42 of the United States Code.(8)Home broadband internet service program means the Universal LifeLine Home Internet Service Program established pursuant to this section.(9)(8) Household means any group of individuals, including the program participant, who are living together at the same address and as one economic unit. A household may include related and unrelated persons. If an adult has no, or minimal, income and lives with someone who provides financial support to that adult, both persons shall be part of the same household. A child under 18 years of age and living with a parent or guardian shall be part of the same household as the parent or guardian.(10)(9) Interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.(11)(10) Internet service or internet means Broadband Internet access service as defined in subdivision (b) of Section 3100 of the Civil Code, except commercial mobile service and private mobile service.(12)(11) LifeLine program means the Universal Lifeline Telephone Service Program and the Universal LifeLine Home Internet Service Program. Services Program established pursuant to subdivision (a).(13)(12) Local agencies has the same meaning as defined in subdivision (e) of Section 53167 of the Government Code.(14)(13) Minimum speed requirements means at least 100 megabits per second downstream and 20 megabits per second upstream and sufficient speed and latency at all times to support distance learning, telehealth services, remote work, and emergency communications, or the highest speed offered by the internet service provider at the customers location, which may be adjusted no sooner than July 1, 2030, and no more frequently than each four years two years thereafter to align with state fiscal years and an approved Budget Act. In consideration of setting future minimum speed requirements, the commission shall consider the states minimum broadband service requirements described in paragraph (5) of subdivision (f) of Section 281 and the requirements for broadband service providers pursuant to the Digital Infrastructure and Video Competition Act of 2006 (Division 2.5 (commencing with Section 5800)). (15)(14) Qualified public assistance programs means all of the following: (A) Medi-Cal (Chapter 7 (commencing with Section 14000) of Part 3 of Division 9 of the Welfare and Institutions Code).(B) CalFresh (Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code). (C) Temporary Assistance for Needy Families (TANF) (Part A of Title IV of the Social Security Act (42 U.S.C. Sec. 601 et seq.)).(D) Federal Tribal Temporary Assistance for Needy Families (tribal TANF) (Section 10553.25 of the Welfare and Institutions Code).(E) Supplemental Security Income (SSI) and State Supplementary Payment (SSP)(Article 5 (commencing with Section 12200) of Chapter 3 of Part 3 of Division 9 of the Welfare and Institutions Code).(F) California Alternate Rates for Energy (CARE) program (Section 739.1).(G) Pell Grant recipients (20 U.S.C. Sec. 1070a), and other persons receiving income-based financial aid for postsecondary education.(16)(15) Unconnected household means any eligible household that has no internet service regardless of whether the household has had internet service previously.SEC. 8. Section 914.8 is added to the Public Utilities Code, to read:914.8. (a) The commission shall annually report to the Legislature and the California Broadband Council on the progress in enrolling eligible households in the LifeLine programs established pursuant to Article 8 (commencing with Section 871) in comparison to goals set by relevant socioeconomic demographic factors and by participating providers.(b) (1) On or before December 31, 2030, the commission shall review any expenditures from the Universal LifeLine Home Internet Services Fund to determine whether those expenditures were adequate and fair to all ratepayers, and report those determinations in the next annual report described in subdivision (a).(2) The requirement for submitting the report imposed under this subdivision is inoperative on January 1, 2034, pursuant to Section 10231.5 of the Government Code.SEC. 9. 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. (a) This act shall be known, and may be cited, as the California Home Internet LifeLine Act of 2025 to memorialize the Moore Universal LifeLine Services Act.(b) The Legislature finds and declares all of the following:(1) The Moore Universal Telephone Service Act historically has been, and the Moore Universal Lifeline Services Act as revised will continue to be, an important means for achieving universal service by making two-way voice communication interconnected with the public switched telephone network and broadband internet access service affordable to low-income households through lifeline service programs.(2) The offering of high-quality broadband internet access service at affordable rates to the greatest number of people has been a long-standing goal of the state.(3) The power of the state, in the exercise of its police power or otherwise through the Public Utilities Commission or other agency, to expand access to broadband internet access service improves public health and safety.(2)(4) Factors such as competition and technological innovation have resulted in the convergence of a variety of communication technologies offering an expanded range of communication services to users that incorporate voice, video, and data. These technologies have differing regulatory regimes and jurisdictions.(3)(5) Access to universal service provides social benefits, including all of the following:(A) Improves the quality of life among the residents of California.(B) Expands access to public and private resources for education, training, and commerce.(C) Increases access to public resources enhancing public health and safety.(D) Assists in closing the digital divide through expanded access to new technologies by low-income, disabled, or otherwise disadvantaged Californians.(E) Shifts traffic patterns by enabling telecommuting, distance learning, telehealth, remote work, and emergency notifications, thereby helping to improve air quality in all areas of the state and mitigating the need for unnecessary highway expansion.(4)(6) The Digital Equity Bill of Rights (Chapter 436 of the Statutes of 2023) was enacted by the Legislature and signed into law by the Governor in 2023. The Digital Equity Bill of Rights found and declared that digital equity, in which all individuals and communities have the information technology capacity needed for full participation in society, democracy, and the economy, is necessary for civic and cultural participation, employment, lifelong learning, and to access essential services and stated that [i]t is the principle of the state, to ensure digital equity for all its residents.(5)(7) Affordability of internet service is essential to achieve digital equity as established in the Digital Equity Bill of Rights.(6)(8) Affordability of internet service remains the primary barrier for low-income households to become connected to the internet, as documented in the 2023 Statewide Digital Equity Survey, conducted by the University of Southern California in collaboration with the Department of Technology and the California Emerging Technology Fund, which contained the following findings:(A) 35.6 percent of unconnected or underconnected (have a smartphone only) households cite affordability as the top reason for not being connected to the internet, while only 2.7 percent cite the lack of infrastructure.(B) 18.8 percent of low income households are unconnected or underconnected in comparison to 4.09 percent of households that are not low income, 18.6 percent of households with a language barrier are unconnected or underconnected in comparison to 6.3 percent of households without a language barrier, and 15.5 percent of Hispanic or Latino households are unconnected or underconnected in comparison to 5 percent of White non-Hispanic households.(7)(9) Approximately 5,800,000 households in the state were eligible for the federal Affordable Connectivity Program (ACP) and, according to the Federal Communications Commission (FCC) through the Universal Service Administrative Company, approximately 2,900,000 California households were enrolled between January 1, 2022, and February 7, 2024, when the FCC terminated enrollments, which was more than 1,000,000 more households than any other state, documenting the need and demand for affordable internet service and demonstrating the ability to reach low-income residents with focused collaboration between and among the state and all stakeholders. ACP provided a $30 per month subsidy for eligible households with a minimum service speed of 100 Mbps download and 20 Mbps upload.(8)(10) However, 77 percent of the households in the 2023 Statewide Digital Equity Survey that were likely to be eligible for ACP and not enrolled in ACP were not aware of ACP and 74.2 percent of those households were not aware of affordable offers from internet service providers. Further, those households not reached by ACP tended to be poorer and more disadvantaged residents than enrolled participants, spotlighting the significant remaining digital divide that compels the state to establish a permanent program to ensure affordability for low-income households to achieve digital equity consistent with the Digital Equity Bill of Rights.(11) The furnishing of lifeline home broadband internet access services is in the public interest and should be supported fairly and equitably by every participating internet service provider, and the Public Utilities Commission, in administering the Universal LifeLine Home Internet Services Program, should implement the program in a way that is equitable, nondiscriminatory, and without competitive consequences for the telecommunications industry in California.(c) It is the intent of the Legislature to do all of the following:(1) Expand the universal service programs to include lifeline home broadband internet access services.(2) Direct that every means should be employed to ensure that every household qualified to receive lifeline telephone and home broadband internet access service is informed of, and is afforded the opportunity to participate in, the lifeline programs.(3) Serve the public interest by offering universal the lifeline programs, as defined in Section 872 of the Public Utilities Code, which are supported fairly and equitably by every telephone corporation, and the Public Utilities Commission, in administering the lifeline services program, programs, should implement the program programs in a way that is equitable, nondiscriminatory, and without competitive consequences for the telecommunications industry in California.

SECTION 1. (a) This act shall be known, and may be cited, as the California Home Internet LifeLine Act of 2025 to memorialize the Moore Universal LifeLine Services Act.(b) The Legislature finds and declares all of the following:(1) The Moore Universal Telephone Service Act historically has been, and the Moore Universal Lifeline Services Act as revised will continue to be, an important means for achieving universal service by making two-way voice communication interconnected with the public switched telephone network and broadband internet access service affordable to low-income households through lifeline service programs.(2) The offering of high-quality broadband internet access service at affordable rates to the greatest number of people has been a long-standing goal of the state.(3) The power of the state, in the exercise of its police power or otherwise through the Public Utilities Commission or other agency, to expand access to broadband internet access service improves public health and safety.(2)(4) Factors such as competition and technological innovation have resulted in the convergence of a variety of communication technologies offering an expanded range of communication services to users that incorporate voice, video, and data. These technologies have differing regulatory regimes and jurisdictions.(3)(5) Access to universal service provides social benefits, including all of the following:(A) Improves the quality of life among the residents of California.(B) Expands access to public and private resources for education, training, and commerce.(C) Increases access to public resources enhancing public health and safety.(D) Assists in closing the digital divide through expanded access to new technologies by low-income, disabled, or otherwise disadvantaged Californians.(E) Shifts traffic patterns by enabling telecommuting, distance learning, telehealth, remote work, and emergency notifications, thereby helping to improve air quality in all areas of the state and mitigating the need for unnecessary highway expansion.(4)(6) The Digital Equity Bill of Rights (Chapter 436 of the Statutes of 2023) was enacted by the Legislature and signed into law by the Governor in 2023. The Digital Equity Bill of Rights found and declared that digital equity, in which all individuals and communities have the information technology capacity needed for full participation in society, democracy, and the economy, is necessary for civic and cultural participation, employment, lifelong learning, and to access essential services and stated that [i]t is the principle of the state, to ensure digital equity for all its residents.(5)(7) Affordability of internet service is essential to achieve digital equity as established in the Digital Equity Bill of Rights.(6)(8) Affordability of internet service remains the primary barrier for low-income households to become connected to the internet, as documented in the 2023 Statewide Digital Equity Survey, conducted by the University of Southern California in collaboration with the Department of Technology and the California Emerging Technology Fund, which contained the following findings:(A) 35.6 percent of unconnected or underconnected (have a smartphone only) households cite affordability as the top reason for not being connected to the internet, while only 2.7 percent cite the lack of infrastructure.(B) 18.8 percent of low income households are unconnected or underconnected in comparison to 4.09 percent of households that are not low income, 18.6 percent of households with a language barrier are unconnected or underconnected in comparison to 6.3 percent of households without a language barrier, and 15.5 percent of Hispanic or Latino households are unconnected or underconnected in comparison to 5 percent of White non-Hispanic households.(7)(9) Approximately 5,800,000 households in the state were eligible for the federal Affordable Connectivity Program (ACP) and, according to the Federal Communications Commission (FCC) through the Universal Service Administrative Company, approximately 2,900,000 California households were enrolled between January 1, 2022, and February 7, 2024, when the FCC terminated enrollments, which was more than 1,000,000 more households than any other state, documenting the need and demand for affordable internet service and demonstrating the ability to reach low-income residents with focused collaboration between and among the state and all stakeholders. ACP provided a $30 per month subsidy for eligible households with a minimum service speed of 100 Mbps download and 20 Mbps upload.(8)(10) However, 77 percent of the households in the 2023 Statewide Digital Equity Survey that were likely to be eligible for ACP and not enrolled in ACP were not aware of ACP and 74.2 percent of those households were not aware of affordable offers from internet service providers. Further, those households not reached by ACP tended to be poorer and more disadvantaged residents than enrolled participants, spotlighting the significant remaining digital divide that compels the state to establish a permanent program to ensure affordability for low-income households to achieve digital equity consistent with the Digital Equity Bill of Rights.(11) The furnishing of lifeline home broadband internet access services is in the public interest and should be supported fairly and equitably by every participating internet service provider, and the Public Utilities Commission, in administering the Universal LifeLine Home Internet Services Program, should implement the program in a way that is equitable, nondiscriminatory, and without competitive consequences for the telecommunications industry in California.(c) It is the intent of the Legislature to do all of the following:(1) Expand the universal service programs to include lifeline home broadband internet access services.(2) Direct that every means should be employed to ensure that every household qualified to receive lifeline telephone and home broadband internet access service is informed of, and is afforded the opportunity to participate in, the lifeline programs.(3) Serve the public interest by offering universal the lifeline programs, as defined in Section 872 of the Public Utilities Code, which are supported fairly and equitably by every telephone corporation, and the Public Utilities Commission, in administering the lifeline services program, programs, should implement the program programs in a way that is equitable, nondiscriminatory, and without competitive consequences for the telecommunications industry in California.

SECTION 1. (a) This act shall be known, and may be cited, as the California Home Internet LifeLine Act of 2025 to memorialize the Moore Universal LifeLine Services Act.

### SECTION 1.

(b) The Legislature finds and declares all of the following:

(1) The Moore Universal Telephone Service Act historically has been, and the Moore Universal Lifeline Services Act as revised will continue to be, an important means for achieving universal service by making two-way voice communication interconnected with the public switched telephone network and broadband internet access service affordable to low-income households through lifeline service programs.

(2) The offering of high-quality broadband internet access service at affordable rates to the greatest number of people has been a long-standing goal of the state.

(3) The power of the state, in the exercise of its police power or otherwise through the Public Utilities Commission or other agency, to expand access to broadband internet access service improves public health and safety.

(2)

(4) Factors such as competition and technological innovation have resulted in the convergence of a variety of communication technologies offering an expanded range of communication services to users that incorporate voice, video, and data. These technologies have differing regulatory regimes and jurisdictions.

(3)

(5) Access to universal service provides social benefits, including all of the following:

(A) Improves the quality of life among the residents of California.

(B) Expands access to public and private resources for education, training, and commerce.

(C) Increases access to public resources enhancing public health and safety.

(D) Assists in closing the digital divide through expanded access to new technologies by low-income, disabled, or otherwise disadvantaged Californians.

(E) Shifts traffic patterns by enabling telecommuting, distance learning, telehealth, remote work, and emergency notifications, thereby helping to improve air quality in all areas of the state and mitigating the need for unnecessary highway expansion.

(4)

(6) The Digital Equity Bill of Rights (Chapter 436 of the Statutes of 2023) was enacted by the Legislature and signed into law by the Governor in 2023. The Digital Equity Bill of Rights found and declared that digital equity, in which all individuals and communities have the information technology capacity needed for full participation in society, democracy, and the economy, is necessary for civic and cultural participation, employment, lifelong learning, and to access essential services and stated that [i]t is the principle of the state, to ensure digital equity for all its residents.

(5)

(7) Affordability of internet service is essential to achieve digital equity as established in the Digital Equity Bill of Rights.

(6)

(8) Affordability of internet service remains the primary barrier for low-income households to become connected to the internet, as documented in the 2023 Statewide Digital Equity Survey, conducted by the University of Southern California in collaboration with the Department of Technology and the California Emerging Technology Fund, which contained the following findings:

(A) 35.6 percent of unconnected or underconnected (have a smartphone only) households cite affordability as the top reason for not being connected to the internet, while only 2.7 percent cite the lack of infrastructure.

(B) 18.8 percent of low income households are unconnected or underconnected in comparison to 4.09 percent of households that are not low income, 18.6 percent of households with a language barrier are unconnected or underconnected in comparison to 6.3 percent of households without a language barrier, and 15.5 percent of Hispanic or Latino households are unconnected or underconnected in comparison to 5 percent of White non-Hispanic households.

(7)

(9) Approximately 5,800,000 households in the state were eligible for the federal Affordable Connectivity Program (ACP) and, according to the Federal Communications Commission (FCC) through the Universal Service Administrative Company, approximately 2,900,000 California households were enrolled between January 1, 2022, and February 7, 2024, when the FCC terminated enrollments, which was more than 1,000,000 more households than any other state, documenting the need and demand for affordable internet service and demonstrating the ability to reach low-income residents with focused collaboration between and among the state and all stakeholders. ACP provided a $30 per month subsidy for eligible households with a minimum service speed of 100 Mbps download and 20 Mbps upload.

(8)

(10) However, 77 percent of the households in the 2023 Statewide Digital Equity Survey that were likely to be eligible for ACP and not enrolled in ACP were not aware of ACP and 74.2 percent of those households were not aware of affordable offers from internet service providers. Further, those households not reached by ACP tended to be poorer and more disadvantaged residents than enrolled participants, spotlighting the significant remaining digital divide that compels the state to establish a permanent program to ensure affordability for low-income households to achieve digital equity consistent with the Digital Equity Bill of Rights.

(11) The furnishing of lifeline home broadband internet access services is in the public interest and should be supported fairly and equitably by every participating internet service provider, and the Public Utilities Commission, in administering the Universal LifeLine Home Internet Services Program, should implement the program in a way that is equitable, nondiscriminatory, and without competitive consequences for the telecommunications industry in California.

(c) It is the intent of the Legislature to do all of the following:

(1) Expand the universal service programs to include lifeline home broadband internet access services.

(2) Direct that every means should be employed to ensure that every household qualified to receive lifeline telephone and home broadband internet access service is informed of, and is afforded the opportunity to participate in, the lifeline programs.

(3) Serve the public interest by offering universal the lifeline programs, as defined in Section 872 of the Public Utilities Code, which are supported fairly and equitably by every telephone corporation, and the Public Utilities Commission, in administering the lifeline services program, programs, should implement the program programs in a way that is equitable, nondiscriminatory, and without competitive consequences for the telecommunications industry in California.

SEC. 2. Section 11549.56 of the Government Code is amended to read:11549.56. (a) All state agencies shall work in cooperation to expedite the delivery and permitting of the statewide open-access middle-mile broadband network.(b) The office shall consider adopting rules to encourage or require internet services providers that use the statewide open-access middle-mile broadband network to participate in the lifeline program pursuant to the Moore Universal LifeLine Services Act (Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code) and the federal lifeline program.(c) The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340)) does not apply to regulations related to the operation of the statewide open-access middle-mile broadband network adopted by the office or a state agency assigned by the office to operate the broadband network.(d) The Legislature finds and declares that the statewide open-access middle-mile broadband network serves a public purpose. Notwithstanding Section 104.12 of the Streets and Highways Code and any other applicable law, any lease of public property for purposes of the statewide open-access middle-mile broadband network may be made for less than fair market value.

SEC. 2. Section 11549.56 of the Government Code is amended to read:

### SEC. 2.

11549.56. (a) All state agencies shall work in cooperation to expedite the delivery and permitting of the statewide open-access middle-mile broadband network.(b) The office shall consider adopting rules to encourage or require internet services providers that use the statewide open-access middle-mile broadband network to participate in the lifeline program pursuant to the Moore Universal LifeLine Services Act (Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code) and the federal lifeline program.(c) The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340)) does not apply to regulations related to the operation of the statewide open-access middle-mile broadband network adopted by the office or a state agency assigned by the office to operate the broadband network.(d) The Legislature finds and declares that the statewide open-access middle-mile broadband network serves a public purpose. Notwithstanding Section 104.12 of the Streets and Highways Code and any other applicable law, any lease of public property for purposes of the statewide open-access middle-mile broadband network may be made for less than fair market value.

11549.56. (a) All state agencies shall work in cooperation to expedite the delivery and permitting of the statewide open-access middle-mile broadband network.(b) The office shall consider adopting rules to encourage or require internet services providers that use the statewide open-access middle-mile broadband network to participate in the lifeline program pursuant to the Moore Universal LifeLine Services Act (Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code) and the federal lifeline program.(c) The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340)) does not apply to regulations related to the operation of the statewide open-access middle-mile broadband network adopted by the office or a state agency assigned by the office to operate the broadband network.(d) The Legislature finds and declares that the statewide open-access middle-mile broadband network serves a public purpose. Notwithstanding Section 104.12 of the Streets and Highways Code and any other applicable law, any lease of public property for purposes of the statewide open-access middle-mile broadband network may be made for less than fair market value.

11549.56. (a) All state agencies shall work in cooperation to expedite the delivery and permitting of the statewide open-access middle-mile broadband network.(b) The office shall consider adopting rules to encourage or require internet services providers that use the statewide open-access middle-mile broadband network to participate in the lifeline program pursuant to the Moore Universal LifeLine Services Act (Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code) and the federal lifeline program.(c) The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340)) does not apply to regulations related to the operation of the statewide open-access middle-mile broadband network adopted by the office or a state agency assigned by the office to operate the broadband network.(d) The Legislature finds and declares that the statewide open-access middle-mile broadband network serves a public purpose. Notwithstanding Section 104.12 of the Streets and Highways Code and any other applicable law, any lease of public property for purposes of the statewide open-access middle-mile broadband network may be made for less than fair market value.

11549.56. (a) All state agencies shall work in cooperation to expedite the delivery and permitting of the statewide open-access middle-mile broadband network.

###### 11549.56.

(b) The office shall consider adopting rules to encourage or require internet services providers that use the statewide open-access middle-mile broadband network to participate in the lifeline program pursuant to the Moore Universal LifeLine Services Act (Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code) and the federal lifeline program.

(c) The Administrative Procedure Act (Chapter 3.5 (commencing with Section 11340)) does not apply to regulations related to the operation of the statewide open-access middle-mile broadband network adopted by the office or a state agency assigned by the office to operate the broadband network.

(d) The Legislature finds and declares that the statewide open-access middle-mile broadband network serves a public purpose. Notwithstanding Section 104.12 of the Streets and Highways Code and any other applicable law, any lease of public property for purposes of the statewide open-access middle-mile broadband network may be made for less than fair market value.

SEC. 3. Section 270 of the Public Utilities Code is amended to read:270. (a) The following funds are hereby created in the State Treasury:(1) The California High-Cost Fund-A Administrative Committee Fund.(2) The California High-Cost Fund-B Administrative Committee Fund.(3) The Universal Lifeline Telephone Service Trust Administrative Committee Fund.(4) The Deaf and Disabled Telecommunications Program Administrative Committee Fund.(5) The California Teleconnect Fund Administrative Committee Fund.(6) The California Advanced Services Fund.(7) The Universal LifeLine Home Internet Services Fund.(b) Moneys in the funds are held in trust and may only be expended pursuant to this chapter and upon appropriation in the annual Budget Act or upon supplemental appropriation.(c) The commission, in administering the universal service program funds listed in subdivision (a), and in administering state participation in federal universal service programs, is encouraged, consistent with the states universal service policies and goals, to maximize the amount of federal funding to California participants in the federal programs.(d) The universal service programs shall be supported by a fee per telephone access line in an amount determined by the commission sufficient to support the universal service programs pursuant to the annual Budget Act.(e) The commission shall transfer any moneys in each fund in created pursuant to paragraphs (1) to (6), inclusive, of subdivision (a) in excess of the amount appropriated for the program associated with the fund in the annual Budget Act as of March 1, 2025, except for fund reserves required by law, to the Universal LifeLine Home Internet Services Fund to support home broadband internet access services for eligible households. Moneys deposited into the Universal LifeLine Home Internet Services Fund shall not be appropriated, or in any other manner transferred or otherwise diverted, to any other fund or entity. The Legislature may appropriate transfer General Fund moneys to the Universal LifeLine Home Internet Services Fund to augment the budgeted amounts from the telephone access line fee.(f) Nothing in this section or pertaining to the Universal LifeLine Home Internet Services Fund shall be construed to alter any existing statute pertaining to the Universal LifeLine Telephone Service Trust Administrative Committee Fund or impair any existing authority of the commission regarding universal two-way voice communications interconnected with the public switched telephone network.

SEC. 3. Section 270 of the Public Utilities Code is amended to read:

### SEC. 3.

270. (a) The following funds are hereby created in the State Treasury:(1) The California High-Cost Fund-A Administrative Committee Fund.(2) The California High-Cost Fund-B Administrative Committee Fund.(3) The Universal Lifeline Telephone Service Trust Administrative Committee Fund.(4) The Deaf and Disabled Telecommunications Program Administrative Committee Fund.(5) The California Teleconnect Fund Administrative Committee Fund.(6) The California Advanced Services Fund.(7) The Universal LifeLine Home Internet Services Fund.(b) Moneys in the funds are held in trust and may only be expended pursuant to this chapter and upon appropriation in the annual Budget Act or upon supplemental appropriation.(c) The commission, in administering the universal service program funds listed in subdivision (a), and in administering state participation in federal universal service programs, is encouraged, consistent with the states universal service policies and goals, to maximize the amount of federal funding to California participants in the federal programs.(d) The universal service programs shall be supported by a fee per telephone access line in an amount determined by the commission sufficient to support the universal service programs pursuant to the annual Budget Act.(e) The commission shall transfer any moneys in each fund in created pursuant to paragraphs (1) to (6), inclusive, of subdivision (a) in excess of the amount appropriated for the program associated with the fund in the annual Budget Act as of March 1, 2025, except for fund reserves required by law, to the Universal LifeLine Home Internet Services Fund to support home broadband internet access services for eligible households. Moneys deposited into the Universal LifeLine Home Internet Services Fund shall not be appropriated, or in any other manner transferred or otherwise diverted, to any other fund or entity. The Legislature may appropriate transfer General Fund moneys to the Universal LifeLine Home Internet Services Fund to augment the budgeted amounts from the telephone access line fee.(f) Nothing in this section or pertaining to the Universal LifeLine Home Internet Services Fund shall be construed to alter any existing statute pertaining to the Universal LifeLine Telephone Service Trust Administrative Committee Fund or impair any existing authority of the commission regarding universal two-way voice communications interconnected with the public switched telephone network.

270. (a) The following funds are hereby created in the State Treasury:(1) The California High-Cost Fund-A Administrative Committee Fund.(2) The California High-Cost Fund-B Administrative Committee Fund.(3) The Universal Lifeline Telephone Service Trust Administrative Committee Fund.(4) The Deaf and Disabled Telecommunications Program Administrative Committee Fund.(5) The California Teleconnect Fund Administrative Committee Fund.(6) The California Advanced Services Fund.(7) The Universal LifeLine Home Internet Services Fund.(b) Moneys in the funds are held in trust and may only be expended pursuant to this chapter and upon appropriation in the annual Budget Act or upon supplemental appropriation.(c) The commission, in administering the universal service program funds listed in subdivision (a), and in administering state participation in federal universal service programs, is encouraged, consistent with the states universal service policies and goals, to maximize the amount of federal funding to California participants in the federal programs.(d) The universal service programs shall be supported by a fee per telephone access line in an amount determined by the commission sufficient to support the universal service programs pursuant to the annual Budget Act.(e) The commission shall transfer any moneys in each fund in created pursuant to paragraphs (1) to (6), inclusive, of subdivision (a) in excess of the amount appropriated for the program associated with the fund in the annual Budget Act as of March 1, 2025, except for fund reserves required by law, to the Universal LifeLine Home Internet Services Fund to support home broadband internet access services for eligible households. Moneys deposited into the Universal LifeLine Home Internet Services Fund shall not be appropriated, or in any other manner transferred or otherwise diverted, to any other fund or entity. The Legislature may appropriate transfer General Fund moneys to the Universal LifeLine Home Internet Services Fund to augment the budgeted amounts from the telephone access line fee.(f) Nothing in this section or pertaining to the Universal LifeLine Home Internet Services Fund shall be construed to alter any existing statute pertaining to the Universal LifeLine Telephone Service Trust Administrative Committee Fund or impair any existing authority of the commission regarding universal two-way voice communications interconnected with the public switched telephone network.

270. (a) The following funds are hereby created in the State Treasury:(1) The California High-Cost Fund-A Administrative Committee Fund.(2) The California High-Cost Fund-B Administrative Committee Fund.(3) The Universal Lifeline Telephone Service Trust Administrative Committee Fund.(4) The Deaf and Disabled Telecommunications Program Administrative Committee Fund.(5) The California Teleconnect Fund Administrative Committee Fund.(6) The California Advanced Services Fund.(7) The Universal LifeLine Home Internet Services Fund.(b) Moneys in the funds are held in trust and may only be expended pursuant to this chapter and upon appropriation in the annual Budget Act or upon supplemental appropriation.(c) The commission, in administering the universal service program funds listed in subdivision (a), and in administering state participation in federal universal service programs, is encouraged, consistent with the states universal service policies and goals, to maximize the amount of federal funding to California participants in the federal programs.(d) The universal service programs shall be supported by a fee per telephone access line in an amount determined by the commission sufficient to support the universal service programs pursuant to the annual Budget Act.(e) The commission shall transfer any moneys in each fund in created pursuant to paragraphs (1) to (6), inclusive, of subdivision (a) in excess of the amount appropriated for the program associated with the fund in the annual Budget Act as of March 1, 2025, except for fund reserves required by law, to the Universal LifeLine Home Internet Services Fund to support home broadband internet access services for eligible households. Moneys deposited into the Universal LifeLine Home Internet Services Fund shall not be appropriated, or in any other manner transferred or otherwise diverted, to any other fund or entity. The Legislature may appropriate transfer General Fund moneys to the Universal LifeLine Home Internet Services Fund to augment the budgeted amounts from the telephone access line fee.(f) Nothing in this section or pertaining to the Universal LifeLine Home Internet Services Fund shall be construed to alter any existing statute pertaining to the Universal LifeLine Telephone Service Trust Administrative Committee Fund or impair any existing authority of the commission regarding universal two-way voice communications interconnected with the public switched telephone network.

270. (a) The following funds are hereby created in the State Treasury:

###### 270.

(1) The California High-Cost Fund-A Administrative Committee Fund.

(2) The California High-Cost Fund-B Administrative Committee Fund.

(3) The Universal Lifeline Telephone Service Trust Administrative Committee Fund.

(4) The Deaf and Disabled Telecommunications Program Administrative Committee Fund.

(5) The California Teleconnect Fund Administrative Committee Fund.

(6) The California Advanced Services Fund.

(7) The Universal LifeLine Home Internet Services Fund.

(b) Moneys in the funds are held in trust and may only be expended pursuant to this chapter and upon appropriation in the annual Budget Act or upon supplemental appropriation.

(c) The commission, in administering the universal service program funds listed in subdivision (a), and in administering state participation in federal universal service programs, is encouraged, consistent with the states universal service policies and goals, to maximize the amount of federal funding to California participants in the federal programs.

(d) The universal service programs shall be supported by a fee per telephone access line in an amount determined by the commission sufficient to support the universal service programs pursuant to the annual Budget Act.

(e) The commission shall transfer any moneys in each fund in created pursuant to paragraphs (1) to (6), inclusive, of subdivision (a) in excess of the amount appropriated for the program associated with the fund in the annual Budget Act as of March 1, 2025, except for fund reserves required by law, to the Universal LifeLine Home Internet Services Fund to support home broadband internet access services for eligible households. Moneys deposited into the Universal LifeLine Home Internet Services Fund shall not be appropriated, or in any other manner transferred or otherwise diverted, to any other fund or entity. The Legislature may appropriate transfer General Fund moneys to the Universal LifeLine Home Internet Services Fund to augment the budgeted amounts from the telephone access line fee.

(f) Nothing in this section or pertaining to the Universal LifeLine Home Internet Services Fund shall be construed to alter any existing statute pertaining to the Universal LifeLine Telephone Service Trust Administrative Committee Fund or impair any existing authority of the commission regarding universal two-way voice communications interconnected with the public switched telephone network.

SEC. 4. Section 277 of the Public Utilities Code is amended to read:277. (a) There is hereby established the Universal LifeLine Home Internet Services Committee, which is an advisory board to advise the commission regarding the development, implementation, and administration of a program to ensure home broadband internet services are available to the people of the state, as provided for in Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 and the Digital Equity Bill of Rights (Title 15 (commencing with Section 3120) of Part 4 of Division 3 of the Civil Code), the Universal LifeLine Home Internet Services Program pursuant to Section 872 and to carry out implement the program pursuant to the commissions direction, control, and approval.(b) The Universal LifeLine Home Internet Services Committee shall include at least five persons from throughout the state who are knowledgeable about the needs and delivery of telephone and broadband home internet access services to low-income households, and representation from at least all of the following collaborating organizations:(1) The California Emerging Technology Fund.(2) The Department of Technology.(3) The State Department of Health Care Services.(4) The State Department of Social Services.(5) Other relevant state agencies identified by the commission.(6) Major industry internet service provider associations, if at least two of the largest internet service provider members in an association are participants in the Universal LifeLine Home Internet Services Fund Program.(7) Toward Utility Rate Normalization (TURN).(8) The Center for Accessible Technology.(9) Communications Workers of America (CWA).(10) Other consumer advocate organizations appointed by the commission to equal the number of internet service provider representatives.(c) All access line fees collected by telephone corporations and interconnected VoIP Voice over Internet Protocol (VoIP) service providers to fund the program specified in subdivision (a) Universal LifeLine Home Internet Services Program shall be submitted to the commission pursuant to a schedule established by the commission. The commission shall transfer the moneys received to the Controller for deposit into the Universal LifeLine Home Internet Services Fund. All interest earned by moneys in the fund shall be deposited into the fund.(d) Moneys appropriated from the Universal LifeLine Home Internet Services Fund to the commission shall be used exclusively by the commission for the program specified in subdivision (a), Universal LifeLine Home Internet Services Program, including all costs of the board Universal LifeLine Home Internet Services Committee and the commission associated with the administration and oversight of the program and the fund.(e) Unless otherwise authorized by the Legislature and permitted under federal law, all fees assessed pursuant to this section shall continue to be assessed on access lines.(f) Each calendar year, and as part of the state budgeting process, the commission shall submit a budget request and supplemental enrollment case population information to the Legislature for purposes of appropriating the requested funding from the Universal LifeLine Home Internet Services Fund.(g) The commission may make recommendations to the Legislature regarding appropriations from the Universal LifeLine Home Internet Services Fund.(h) After an opportunity for public comment, the commission may suspend the Universal LifeLine Home Internet Services Program established pursuant to Section 872 upon determining that a federal program providing for a subsidized class of lifeline broadband internet access service would meet the needs of eligible California subscribers and achieve the Universal LifeLine Home Internet Services Programs objectives. If the commission adopts an order or decision to suspend the Universal LifeLine Home Internet Services Program, the Universal LifeLine Home Internet Services Program shall continue to operate until all funds in the Universal LifeLine Home Internet Services Fund are expended.(g)(i) For purposes of this section, interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.

SEC. 4. Section 277 of the Public Utilities Code is amended to read:

### SEC. 4.

277. (a) There is hereby established the Universal LifeLine Home Internet Services Committee, which is an advisory board to advise the commission regarding the development, implementation, and administration of a program to ensure home broadband internet services are available to the people of the state, as provided for in Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 and the Digital Equity Bill of Rights (Title 15 (commencing with Section 3120) of Part 4 of Division 3 of the Civil Code), the Universal LifeLine Home Internet Services Program pursuant to Section 872 and to carry out implement the program pursuant to the commissions direction, control, and approval.(b) The Universal LifeLine Home Internet Services Committee shall include at least five persons from throughout the state who are knowledgeable about the needs and delivery of telephone and broadband home internet access services to low-income households, and representation from at least all of the following collaborating organizations:(1) The California Emerging Technology Fund.(2) The Department of Technology.(3) The State Department of Health Care Services.(4) The State Department of Social Services.(5) Other relevant state agencies identified by the commission.(6) Major industry internet service provider associations, if at least two of the largest internet service provider members in an association are participants in the Universal LifeLine Home Internet Services Fund Program.(7) Toward Utility Rate Normalization (TURN).(8) The Center for Accessible Technology.(9) Communications Workers of America (CWA).(10) Other consumer advocate organizations appointed by the commission to equal the number of internet service provider representatives.(c) All access line fees collected by telephone corporations and interconnected VoIP Voice over Internet Protocol (VoIP) service providers to fund the program specified in subdivision (a) Universal LifeLine Home Internet Services Program shall be submitted to the commission pursuant to a schedule established by the commission. The commission shall transfer the moneys received to the Controller for deposit into the Universal LifeLine Home Internet Services Fund. All interest earned by moneys in the fund shall be deposited into the fund.(d) Moneys appropriated from the Universal LifeLine Home Internet Services Fund to the commission shall be used exclusively by the commission for the program specified in subdivision (a), Universal LifeLine Home Internet Services Program, including all costs of the board Universal LifeLine Home Internet Services Committee and the commission associated with the administration and oversight of the program and the fund.(e) Unless otherwise authorized by the Legislature and permitted under federal law, all fees assessed pursuant to this section shall continue to be assessed on access lines.(f) Each calendar year, and as part of the state budgeting process, the commission shall submit a budget request and supplemental enrollment case population information to the Legislature for purposes of appropriating the requested funding from the Universal LifeLine Home Internet Services Fund.(g) The commission may make recommendations to the Legislature regarding appropriations from the Universal LifeLine Home Internet Services Fund.(h) After an opportunity for public comment, the commission may suspend the Universal LifeLine Home Internet Services Program established pursuant to Section 872 upon determining that a federal program providing for a subsidized class of lifeline broadband internet access service would meet the needs of eligible California subscribers and achieve the Universal LifeLine Home Internet Services Programs objectives. If the commission adopts an order or decision to suspend the Universal LifeLine Home Internet Services Program, the Universal LifeLine Home Internet Services Program shall continue to operate until all funds in the Universal LifeLine Home Internet Services Fund are expended.(g)(i) For purposes of this section, interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.

277. (a) There is hereby established the Universal LifeLine Home Internet Services Committee, which is an advisory board to advise the commission regarding the development, implementation, and administration of a program to ensure home broadband internet services are available to the people of the state, as provided for in Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 and the Digital Equity Bill of Rights (Title 15 (commencing with Section 3120) of Part 4 of Division 3 of the Civil Code), the Universal LifeLine Home Internet Services Program pursuant to Section 872 and to carry out implement the program pursuant to the commissions direction, control, and approval.(b) The Universal LifeLine Home Internet Services Committee shall include at least five persons from throughout the state who are knowledgeable about the needs and delivery of telephone and broadband home internet access services to low-income households, and representation from at least all of the following collaborating organizations:(1) The California Emerging Technology Fund.(2) The Department of Technology.(3) The State Department of Health Care Services.(4) The State Department of Social Services.(5) Other relevant state agencies identified by the commission.(6) Major industry internet service provider associations, if at least two of the largest internet service provider members in an association are participants in the Universal LifeLine Home Internet Services Fund Program.(7) Toward Utility Rate Normalization (TURN).(8) The Center for Accessible Technology.(9) Communications Workers of America (CWA).(10) Other consumer advocate organizations appointed by the commission to equal the number of internet service provider representatives.(c) All access line fees collected by telephone corporations and interconnected VoIP Voice over Internet Protocol (VoIP) service providers to fund the program specified in subdivision (a) Universal LifeLine Home Internet Services Program shall be submitted to the commission pursuant to a schedule established by the commission. The commission shall transfer the moneys received to the Controller for deposit into the Universal LifeLine Home Internet Services Fund. All interest earned by moneys in the fund shall be deposited into the fund.(d) Moneys appropriated from the Universal LifeLine Home Internet Services Fund to the commission shall be used exclusively by the commission for the program specified in subdivision (a), Universal LifeLine Home Internet Services Program, including all costs of the board Universal LifeLine Home Internet Services Committee and the commission associated with the administration and oversight of the program and the fund.(e) Unless otherwise authorized by the Legislature and permitted under federal law, all fees assessed pursuant to this section shall continue to be assessed on access lines.(f) Each calendar year, and as part of the state budgeting process, the commission shall submit a budget request and supplemental enrollment case population information to the Legislature for purposes of appropriating the requested funding from the Universal LifeLine Home Internet Services Fund.(g) The commission may make recommendations to the Legislature regarding appropriations from the Universal LifeLine Home Internet Services Fund.(h) After an opportunity for public comment, the commission may suspend the Universal LifeLine Home Internet Services Program established pursuant to Section 872 upon determining that a federal program providing for a subsidized class of lifeline broadband internet access service would meet the needs of eligible California subscribers and achieve the Universal LifeLine Home Internet Services Programs objectives. If the commission adopts an order or decision to suspend the Universal LifeLine Home Internet Services Program, the Universal LifeLine Home Internet Services Program shall continue to operate until all funds in the Universal LifeLine Home Internet Services Fund are expended.(g)(i) For purposes of this section, interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.

277. (a) There is hereby established the Universal LifeLine Home Internet Services Committee, which is an advisory board to advise the commission regarding the development, implementation, and administration of a program to ensure home broadband internet services are available to the people of the state, as provided for in Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 and the Digital Equity Bill of Rights (Title 15 (commencing with Section 3120) of Part 4 of Division 3 of the Civil Code), the Universal LifeLine Home Internet Services Program pursuant to Section 872 and to carry out implement the program pursuant to the commissions direction, control, and approval.(b) The Universal LifeLine Home Internet Services Committee shall include at least five persons from throughout the state who are knowledgeable about the needs and delivery of telephone and broadband home internet access services to low-income households, and representation from at least all of the following collaborating organizations:(1) The California Emerging Technology Fund.(2) The Department of Technology.(3) The State Department of Health Care Services.(4) The State Department of Social Services.(5) Other relevant state agencies identified by the commission.(6) Major industry internet service provider associations, if at least two of the largest internet service provider members in an association are participants in the Universal LifeLine Home Internet Services Fund Program.(7) Toward Utility Rate Normalization (TURN).(8) The Center for Accessible Technology.(9) Communications Workers of America (CWA).(10) Other consumer advocate organizations appointed by the commission to equal the number of internet service provider representatives.(c) All access line fees collected by telephone corporations and interconnected VoIP Voice over Internet Protocol (VoIP) service providers to fund the program specified in subdivision (a) Universal LifeLine Home Internet Services Program shall be submitted to the commission pursuant to a schedule established by the commission. The commission shall transfer the moneys received to the Controller for deposit into the Universal LifeLine Home Internet Services Fund. All interest earned by moneys in the fund shall be deposited into the fund.(d) Moneys appropriated from the Universal LifeLine Home Internet Services Fund to the commission shall be used exclusively by the commission for the program specified in subdivision (a), Universal LifeLine Home Internet Services Program, including all costs of the board Universal LifeLine Home Internet Services Committee and the commission associated with the administration and oversight of the program and the fund.(e) Unless otherwise authorized by the Legislature and permitted under federal law, all fees assessed pursuant to this section shall continue to be assessed on access lines.(f) Each calendar year, and as part of the state budgeting process, the commission shall submit a budget request and supplemental enrollment case population information to the Legislature for purposes of appropriating the requested funding from the Universal LifeLine Home Internet Services Fund.(g) The commission may make recommendations to the Legislature regarding appropriations from the Universal LifeLine Home Internet Services Fund.(h) After an opportunity for public comment, the commission may suspend the Universal LifeLine Home Internet Services Program established pursuant to Section 872 upon determining that a federal program providing for a subsidized class of lifeline broadband internet access service would meet the needs of eligible California subscribers and achieve the Universal LifeLine Home Internet Services Programs objectives. If the commission adopts an order or decision to suspend the Universal LifeLine Home Internet Services Program, the Universal LifeLine Home Internet Services Program shall continue to operate until all funds in the Universal LifeLine Home Internet Services Fund are expended.(g)(i) For purposes of this section, interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.

277. (a) There is hereby established the Universal LifeLine Home Internet Services Committee, which is an advisory board to advise the commission regarding the development, implementation, and administration of a program to ensure home broadband internet services are available to the people of the state, as provided for in Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 and the Digital Equity Bill of Rights (Title 15 (commencing with Section 3120) of Part 4 of Division 3 of the Civil Code), the Universal LifeLine Home Internet Services Program pursuant to Section 872 and to carry out implement the program pursuant to the commissions direction, control, and approval.

###### 277.

(b) The Universal LifeLine Home Internet Services Committee shall include at least five persons from throughout the state who are knowledgeable about the needs and delivery of telephone and broadband home internet access services to low-income households, and representation from at least all of the following collaborating organizations:

(1) The California Emerging Technology Fund.

(2) The Department of Technology.

(3) The State Department of Health Care Services.

(4) The State Department of Social Services.

(5) Other relevant state agencies identified by the commission.

(6) Major industry internet service provider associations, if at least two of the largest internet service provider members in an association are participants in the Universal LifeLine Home Internet Services Fund Program.

(7) Toward Utility Rate Normalization (TURN).

(8) The Center for Accessible Technology.

(9) Communications Workers of America (CWA).

(10) Other consumer advocate organizations appointed by the commission to equal the number of internet service provider representatives.

(c) All access line fees collected by telephone corporations and interconnected VoIP Voice over Internet Protocol (VoIP) service providers to fund the program specified in subdivision (a) Universal LifeLine Home Internet Services Program shall be submitted to the commission pursuant to a schedule established by the commission. The commission shall transfer the moneys received to the Controller for deposit into the Universal LifeLine Home Internet Services Fund. All interest earned by moneys in the fund shall be deposited into the fund.

(d) Moneys appropriated from the Universal LifeLine Home Internet Services Fund to the commission shall be used exclusively by the commission for the program specified in subdivision (a), Universal LifeLine Home Internet Services Program, including all costs of the board Universal LifeLine Home Internet Services Committee and the commission associated with the administration and oversight of the program and the fund.

(e) Unless otherwise authorized by the Legislature and permitted under federal law, all fees assessed pursuant to this section shall continue to be assessed on access lines.

(f) Each calendar year, and as part of the state budgeting process, the commission shall submit a budget request and supplemental enrollment case population information to the Legislature for purposes of appropriating the requested funding from the Universal LifeLine Home Internet Services Fund.

(g) The commission may make recommendations to the Legislature regarding appropriations from the Universal LifeLine Home Internet Services Fund.

(h) After an opportunity for public comment, the commission may suspend the Universal LifeLine Home Internet Services Program established pursuant to Section 872 upon determining that a federal program providing for a subsidized class of lifeline broadband internet access service would meet the needs of eligible California subscribers and achieve the Universal LifeLine Home Internet Services Programs objectives. If the commission adopts an order or decision to suspend the Universal LifeLine Home Internet Services Program, the Universal LifeLine Home Internet Services Program shall continue to operate until all funds in the Universal LifeLine Home Internet Services Fund are expended.

(g)

(i) For purposes of this section, interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.

SEC. 5. The heading of Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code is amended to read: Article 8. Moore Universal LifeLine Services Act

SEC. 5. The heading of Article 8 (commencing with Section 871) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code is amended to read:

### SEC. 5.

Article 8. Moore Universal LifeLine Services Act

Article 8. Moore Universal LifeLine Services Act

Article 8. Moore Universal LifeLine Services Act

Article 8. Moore Universal LifeLine Services Act

##### Article 8. Moore Universal LifeLine Services Act

SEC. 6. Section 871 of the Public Utilities Code is amended to read:871. This article shall be known, and may be cited, as the Moore Universal LifeLine Services Act.

SEC. 6. Section 871 of the Public Utilities Code is amended to read:

### SEC. 6.

871. This article shall be known, and may be cited, as the Moore Universal LifeLine Services Act.

871. This article shall be known, and may be cited, as the Moore Universal LifeLine Services Act.

871. This article shall be known, and may be cited, as the Moore Universal LifeLine Services Act.

871. This article shall be known, and may be cited, as the Moore Universal LifeLine Services Act.

###### 871.

SEC. 7. Section 872 is added to the Public Utilities Code, to read:872. (a) On or before December 31, 2026, the commission shall adopt updated rules for the LifeLine program to establish a the Universal LifeLine Home Internet Service Services Program that provides to provide subsidies for home broadband internet service, and the commission shall implement the program, as updated, Universal LifeLine Home Internet Services Program on or before July 1, 2027.(b) For purposes of providing subsidies for home internet service, service through the Universal LifeLine Home Internet Services Program, the commission shall do all of the following:(1) Consider In establishing the cost of a plan that meets the minimum speed requirements and establishing a minimum contribution from the eligible household, consider the potential cost of service differentials between small, rural internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, Tribal organizations, and other internet service providers.(2) Where appropriate, and consistent with the home broadband internet service programs Universal LifeLine Home Internet Services Programs objectives, combine the home broadband internet service program Universal LifeLine Home Internet Services Program subsidy with the federal Lifeline program subsidy and any other federal funds.(3) Adopt annual enrollment goals, including enrolling no less than 90 percent of all eligible households in the home broadband internet service program Universal LifeLine Home Internet Services Program on or before December 31, 2032.(4) Authorize a home broadband internet service program Universal LifeLine Home Internet Services Program subsidy for all eligible households, including those households receiving a Universal Lifeline Telephone Service Program subsidy.(5) Prohibit requiring an eligible household to submit a social security number as a requirement for participating in a LifeLine program. the Universal LifeLine Home Internet Services Program.(6) Prohibit requiring a credit check in order for an eligible household to enroll in a LifeLine program. the Universal LifeLine Home Internet Services Program.(7) Require participating internet service providers to immediately enroll eligible households as of the first day of the following month, or at the beginning of the next billing period, and prohibit participating internet service providers from imposing a waiting period.(8) Provide a home broadband internet service subsidy of up to twenty dollars ($20) per month per eligible household. Each eligible household shall not be required to pay more than ten dollars ($10) per month for service that meets the minimum speed requirements. The commission may biannually increase these caps on the home broadband internet service subsidy amount and the payment by an eligible household payment amount for home internet service that meets the minimum speed requirements may be adjusted biannually by the commission requirements, consistent with the any increase in the adjusted federal poverty levels. The commission may modify these caps for rural residents served by participating internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, local agencies, nonprofit organizations and cooperatives, and Tribal organizations.(9) Authorize an eligible household to apply the home broadband internet service subsidy to any internet service from a participating internet service provider that meets or exceeds the minimum speed requirements.(10) Recognize that the state home broadband internet service subsidy amount is exclusive of any other subsidy amounts that internet service providers may obtain from the federal Lifeline program. Federal Lifeline program subsidy amounts, if any, shall be applied before the state home broadband internet service subsidy.(c) The commission shall streamline and simplify the updated rules updated pursuant to subdivision (a) (a), to the maximum extent possible, to minimize barriers to LifeLine program participation by telephone corporations, internet service providers, and local agencies. The Universal LifeLine Home Internet Services Committee shall deliberate and make a finding that the updated rules achieve the goal of being streamlined and simplified while providing essential information to measure progress in achieving the enrollment goals and ensuring transparency in the public interest.(d) The rules updated pursuant to subdivision (a) shall maximize telephone corporation and internet service provider participation in the LifeLine program, including by doing all of the following:(1) Requiring participating internet service providers to inform all eligible households about the Universal LifeLine Home Internet Services Program, including the home internet service subsidy and other affordable home internet service options, regardless of whether those options meet the minimum speed requirements.(2) (A) Prohibit upselling of higher priced offers.(B) Notwithstanding subparagraph (A), an eligible household may apply the home internet service subsidy to any internet service subscription plan that meets the minimum speed requirements.(3) Provide the following remedy if an eligible household enrolls in an internet service subscription plan other than the internet service providers lowest cost plan that meets the minimum speed requirements and the eligible household is unable to make two consecutive monthly payments:(A) Find that the internet service provider bears the financial risk of enrolling an eligible household in a home internet service plan that the eligible household cannot afford.(B) Prohibit an internet service provider from terminating home internet service or degrading the home internet service to an eligible household unless both of the following apply:(i) The eligible household is enrolled in a home internet service plan that meets the minimum speed requirements and costs no more than ten dollars ($10) per month.(ii) The internet service provider has attempted to contact the eligible household, using the eligible households preferred method of communication, at least twice per month during each month that the eligible household missed a payment.(C) Direct the internet service provider, after two months of missed payments and documenting the required attempts to contact the eligible household, to enroll the eligible household in its lowest cost home internet service plan that meets the minimum speed requirements, unless the eligible household subsequently misses two consecutive months of payments.(1)(4) Designate internet service providers and local agencies as eligible telecommunications carriers if requested by a provider for the purpose of accessing support for voice or broadband internet service under the federal Lifeline program, including establishing expedited procedures for designating affiliates of facilities-based providers that have existing licenses with the commission, and have been operating for three or more years.(2)(5) Establish an expedited internet service provider qualification process for participation in the LifeLine program Universal LifeLine Home Internet Services Program for affiliates of facilities-based internet service providers that have licenses with the commission and have been operating for three or more years. years, to maximize telephone corporation program participation.(6) Incentivize, but not require, an internet service provider to be designated as an eligible telecommunications carrier pursuant to subsection (e) of Section 214 of Title 47 of the United States Code as a condition of participation in the Universal LifeLine Home Internet Services Program.(7) Not require participation by an internet service provider, except as may be required as a condition of participation in another program administered by the commission.(3)(8) Allow local agencies to participate as internet service providers in the LifeLine program, Universal LifeLine Home Internet Services Program, subject to appropriate terms and conditions.(4)(9) Consider participation in the LifeLine program Universal LifeLine Home Internet Services Program by noneligible telecommunications carriers, as defined in subsection (e) of Section 214 of Title 47 of the United States Code, for purposes of providing subsidies for internet service only.(5)(10) Not consider consider, until January 1, 2033, telephone service and home broadband internet service subsidies for customers of eligible local exchange carriers to be revenues for purposes of rate regulation. regulation for eligible local exchange carriers that commence participation in the program on or before January 1, 2028.(e) The commission shall require each participating internet service provider to file, on a date set by the commission, an advice letter that shall be as concise as possible but shall include at least all of the following information:(1) A statement of projected revenue needs to meet the funding requirements to participate in the Universal LifeLine Home Internet Services Program and to enroll all eligible households.(2) A description of all affordable home internet service subscription plans that do not meet the minimum speed requirements and are available to eligible households.(3) A plan for informing all eligible households in their service areas of the Universal LifeLine Home Internet Services Program and of the affordable home internet service subscription plans described pursuant to paragraph (2).(4) A plan for preventing upselling of eligible households, including training of personnel performing marketing functions and working at call centers.(5) The dedicated telephone number for eligible households to use to enquire about the Universal LifeLine Home Internet Services Program and the affordable home internet service subscription plans described pursuant to paragraph (2).(6) The number of eligible households enrolled in each affordable home internet service subscription plan described pursuant to paragraph (2).(7) (A) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in the internet service providers lowest cost subscription plan that meets the minimum speed requirements and costs no more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.(B) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in an internet service providers plan other than its lowest cost plan that costs more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.(C) The information reported pursuant to this paragraph shall be reported in a form and with sufficient detail to enable the commission and the public to determine the median cost per eligible household to participate in the Universal LifeLine Home Internet Services Program.(e)(f) The commission shall develop and implement an outreach program to reach all eligible households. To support outreach to engage and enroll all eligible households, the commission shall do all of the following:(1) Engage one or more nonprofit organizations with experience in reaching and engaging eligible households in-language and in-culture.(2) Require each electrical corporation to incorporate outreach to inform all California Alternate Rates for Energy (CARE) program customers about the LifeLine program.(3) The commission may engage one or more nonprofit organizations with experience in leading and managing a digital equity ecosystem to conduct outreach and mobilization to engage community-based organizations to enroll households in the LifeLine program services, program, including by drawing on the lessons learned through the Affordable Connectivity Programs Get Connected! California campaign.(4) The commission shall prioritize outreach to covered households.(f)(g) To support outreach to engage and enroll all eligible households households, the State Department of Health Care Services and the State Department of Social Services shall continue to notify all eligible households about available LifeLine program services, including targeting communications to covered households.(g)(h) Upon appropriation, the commission shall allocate up to twenty million dollars ($20,000,000) from the Universal LifeLine Home Internet Services Fund for public awareness through community and ethnic media channels selected through an open, competitive process. No more than ten million dollars ($10,000,000) shall be expended without an assessment of impact to adjust for the expenditure of the balance of the authorized twenty million dollars ($20,000,000).(h)(i) The commission shall not authorize any surcharge on customers enrolled in a LifeLine program.(i)(j) For purposes of this section, all of the following definitions apply:(1) Adult means a person 18 years of age or older.(2) Covered household means has the same meaning as defined in Section 1721 of Title 47 of the United States Code.(3) Economic unit means all adult individuals contributing to and sharing in the income and expenses of a household.(4) Eligible household means a household within the California internet service providers California service territory with at least one resident of the household participating in a qualified public assistance program.(5) Feasibility means consistent with both of the following:(A) Equitable distribution of the funding burden for universal services among all affected consumers and industries, thereby ensuring that regulated utilities ratepayers do not bear a disproportionate share of funding responsibility.(B) The benefits justify the costs.(6) Federal Lifeline program means the program established pursuant to Subpart E of Part 54 of Title 47 of the Code of Federal Regulations.(7) Federal poverty level means the poverty guidelines updated periodically in the Federal Register by the United States Department of Health and Human Services under authority of subsection (2) of Section 9902 of Title 42 of the United States Code.(8)Home broadband internet service program means the Universal LifeLine Home Internet Service Program established pursuant to this section.(9)(8) Household means any group of individuals, including the program participant, who are living together at the same address and as one economic unit. A household may include related and unrelated persons. If an adult has no, or minimal, income and lives with someone who provides financial support to that adult, both persons shall be part of the same household. A child under 18 years of age and living with a parent or guardian shall be part of the same household as the parent or guardian.(10)(9) Interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.(11)(10) Internet service or internet means Broadband Internet access service as defined in subdivision (b) of Section 3100 of the Civil Code, except commercial mobile service and private mobile service.(12)(11) LifeLine program means the Universal Lifeline Telephone Service Program and the Universal LifeLine Home Internet Service Program. Services Program established pursuant to subdivision (a).(13)(12) Local agencies has the same meaning as defined in subdivision (e) of Section 53167 of the Government Code.(14)(13) Minimum speed requirements means at least 100 megabits per second downstream and 20 megabits per second upstream and sufficient speed and latency at all times to support distance learning, telehealth services, remote work, and emergency communications, or the highest speed offered by the internet service provider at the customers location, which may be adjusted no sooner than July 1, 2030, and no more frequently than each four years two years thereafter to align with state fiscal years and an approved Budget Act. In consideration of setting future minimum speed requirements, the commission shall consider the states minimum broadband service requirements described in paragraph (5) of subdivision (f) of Section 281 and the requirements for broadband service providers pursuant to the Digital Infrastructure and Video Competition Act of 2006 (Division 2.5 (commencing with Section 5800)). (15)(14) Qualified public assistance programs means all of the following: (A) Medi-Cal (Chapter 7 (commencing with Section 14000) of Part 3 of Division 9 of the Welfare and Institutions Code).(B) CalFresh (Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code). (C) Temporary Assistance for Needy Families (TANF) (Part A of Title IV of the Social Security Act (42 U.S.C. Sec. 601 et seq.)).(D) Federal Tribal Temporary Assistance for Needy Families (tribal TANF) (Section 10553.25 of the Welfare and Institutions Code).(E) Supplemental Security Income (SSI) and State Supplementary Payment (SSP)(Article 5 (commencing with Section 12200) of Chapter 3 of Part 3 of Division 9 of the Welfare and Institutions Code).(F) California Alternate Rates for Energy (CARE) program (Section 739.1).(G) Pell Grant recipients (20 U.S.C. Sec. 1070a), and other persons receiving income-based financial aid for postsecondary education.(16)(15) Unconnected household means any eligible household that has no internet service regardless of whether the household has had internet service previously.

SEC. 7. Section 872 is added to the Public Utilities Code, to read:

### SEC. 7.

872. (a) On or before December 31, 2026, the commission shall adopt updated rules for the LifeLine program to establish a the Universal LifeLine Home Internet Service Services Program that provides to provide subsidies for home broadband internet service, and the commission shall implement the program, as updated, Universal LifeLine Home Internet Services Program on or before July 1, 2027.(b) For purposes of providing subsidies for home internet service, service through the Universal LifeLine Home Internet Services Program, the commission shall do all of the following:(1) Consider In establishing the cost of a plan that meets the minimum speed requirements and establishing a minimum contribution from the eligible household, consider the potential cost of service differentials between small, rural internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, Tribal organizations, and other internet service providers.(2) Where appropriate, and consistent with the home broadband internet service programs Universal LifeLine Home Internet Services Programs objectives, combine the home broadband internet service program Universal LifeLine Home Internet Services Program subsidy with the federal Lifeline program subsidy and any other federal funds.(3) Adopt annual enrollment goals, including enrolling no less than 90 percent of all eligible households in the home broadband internet service program Universal LifeLine Home Internet Services Program on or before December 31, 2032.(4) Authorize a home broadband internet service program Universal LifeLine Home Internet Services Program subsidy for all eligible households, including those households receiving a Universal Lifeline Telephone Service Program subsidy.(5) Prohibit requiring an eligible household to submit a social security number as a requirement for participating in a LifeLine program. the Universal LifeLine Home Internet Services Program.(6) Prohibit requiring a credit check in order for an eligible household to enroll in a LifeLine program. the Universal LifeLine Home Internet Services Program.(7) Require participating internet service providers to immediately enroll eligible households as of the first day of the following month, or at the beginning of the next billing period, and prohibit participating internet service providers from imposing a waiting period.(8) Provide a home broadband internet service subsidy of up to twenty dollars ($20) per month per eligible household. Each eligible household shall not be required to pay more than ten dollars ($10) per month for service that meets the minimum speed requirements. The commission may biannually increase these caps on the home broadband internet service subsidy amount and the payment by an eligible household payment amount for home internet service that meets the minimum speed requirements may be adjusted biannually by the commission requirements, consistent with the any increase in the adjusted federal poverty levels. The commission may modify these caps for rural residents served by participating internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, local agencies, nonprofit organizations and cooperatives, and Tribal organizations.(9) Authorize an eligible household to apply the home broadband internet service subsidy to any internet service from a participating internet service provider that meets or exceeds the minimum speed requirements.(10) Recognize that the state home broadband internet service subsidy amount is exclusive of any other subsidy amounts that internet service providers may obtain from the federal Lifeline program. Federal Lifeline program subsidy amounts, if any, shall be applied before the state home broadband internet service subsidy.(c) The commission shall streamline and simplify the updated rules updated pursuant to subdivision (a) (a), to the maximum extent possible, to minimize barriers to LifeLine program participation by telephone corporations, internet service providers, and local agencies. The Universal LifeLine Home Internet Services Committee shall deliberate and make a finding that the updated rules achieve the goal of being streamlined and simplified while providing essential information to measure progress in achieving the enrollment goals and ensuring transparency in the public interest.(d) The rules updated pursuant to subdivision (a) shall maximize telephone corporation and internet service provider participation in the LifeLine program, including by doing all of the following:(1) Requiring participating internet service providers to inform all eligible households about the Universal LifeLine Home Internet Services Program, including the home internet service subsidy and other affordable home internet service options, regardless of whether those options meet the minimum speed requirements.(2) (A) Prohibit upselling of higher priced offers.(B) Notwithstanding subparagraph (A), an eligible household may apply the home internet service subsidy to any internet service subscription plan that meets the minimum speed requirements.(3) Provide the following remedy if an eligible household enrolls in an internet service subscription plan other than the internet service providers lowest cost plan that meets the minimum speed requirements and the eligible household is unable to make two consecutive monthly payments:(A) Find that the internet service provider bears the financial risk of enrolling an eligible household in a home internet service plan that the eligible household cannot afford.(B) Prohibit an internet service provider from terminating home internet service or degrading the home internet service to an eligible household unless both of the following apply:(i) The eligible household is enrolled in a home internet service plan that meets the minimum speed requirements and costs no more than ten dollars ($10) per month.(ii) The internet service provider has attempted to contact the eligible household, using the eligible households preferred method of communication, at least twice per month during each month that the eligible household missed a payment.(C) Direct the internet service provider, after two months of missed payments and documenting the required attempts to contact the eligible household, to enroll the eligible household in its lowest cost home internet service plan that meets the minimum speed requirements, unless the eligible household subsequently misses two consecutive months of payments.(1)(4) Designate internet service providers and local agencies as eligible telecommunications carriers if requested by a provider for the purpose of accessing support for voice or broadband internet service under the federal Lifeline program, including establishing expedited procedures for designating affiliates of facilities-based providers that have existing licenses with the commission, and have been operating for three or more years.(2)(5) Establish an expedited internet service provider qualification process for participation in the LifeLine program Universal LifeLine Home Internet Services Program for affiliates of facilities-based internet service providers that have licenses with the commission and have been operating for three or more years. years, to maximize telephone corporation program participation.(6) Incentivize, but not require, an internet service provider to be designated as an eligible telecommunications carrier pursuant to subsection (e) of Section 214 of Title 47 of the United States Code as a condition of participation in the Universal LifeLine Home Internet Services Program.(7) Not require participation by an internet service provider, except as may be required as a condition of participation in another program administered by the commission.(3)(8) Allow local agencies to participate as internet service providers in the LifeLine program, Universal LifeLine Home Internet Services Program, subject to appropriate terms and conditions.(4)(9) Consider participation in the LifeLine program Universal LifeLine Home Internet Services Program by noneligible telecommunications carriers, as defined in subsection (e) of Section 214 of Title 47 of the United States Code, for purposes of providing subsidies for internet service only.(5)(10) Not consider consider, until January 1, 2033, telephone service and home broadband internet service subsidies for customers of eligible local exchange carriers to be revenues for purposes of rate regulation. regulation for eligible local exchange carriers that commence participation in the program on or before January 1, 2028.(e) The commission shall require each participating internet service provider to file, on a date set by the commission, an advice letter that shall be as concise as possible but shall include at least all of the following information:(1) A statement of projected revenue needs to meet the funding requirements to participate in the Universal LifeLine Home Internet Services Program and to enroll all eligible households.(2) A description of all affordable home internet service subscription plans that do not meet the minimum speed requirements and are available to eligible households.(3) A plan for informing all eligible households in their service areas of the Universal LifeLine Home Internet Services Program and of the affordable home internet service subscription plans described pursuant to paragraph (2).(4) A plan for preventing upselling of eligible households, including training of personnel performing marketing functions and working at call centers.(5) The dedicated telephone number for eligible households to use to enquire about the Universal LifeLine Home Internet Services Program and the affordable home internet service subscription plans described pursuant to paragraph (2).(6) The number of eligible households enrolled in each affordable home internet service subscription plan described pursuant to paragraph (2).(7) (A) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in the internet service providers lowest cost subscription plan that meets the minimum speed requirements and costs no more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.(B) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in an internet service providers plan other than its lowest cost plan that costs more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.(C) The information reported pursuant to this paragraph shall be reported in a form and with sufficient detail to enable the commission and the public to determine the median cost per eligible household to participate in the Universal LifeLine Home Internet Services Program.(e)(f) The commission shall develop and implement an outreach program to reach all eligible households. To support outreach to engage and enroll all eligible households, the commission shall do all of the following:(1) Engage one or more nonprofit organizations with experience in reaching and engaging eligible households in-language and in-culture.(2) Require each electrical corporation to incorporate outreach to inform all California Alternate Rates for Energy (CARE) program customers about the LifeLine program.(3) The commission may engage one or more nonprofit organizations with experience in leading and managing a digital equity ecosystem to conduct outreach and mobilization to engage community-based organizations to enroll households in the LifeLine program services, program, including by drawing on the lessons learned through the Affordable Connectivity Programs Get Connected! California campaign.(4) The commission shall prioritize outreach to covered households.(f)(g) To support outreach to engage and enroll all eligible households households, the State Department of Health Care Services and the State Department of Social Services shall continue to notify all eligible households about available LifeLine program services, including targeting communications to covered households.(g)(h) Upon appropriation, the commission shall allocate up to twenty million dollars ($20,000,000) from the Universal LifeLine Home Internet Services Fund for public awareness through community and ethnic media channels selected through an open, competitive process. No more than ten million dollars ($10,000,000) shall be expended without an assessment of impact to adjust for the expenditure of the balance of the authorized twenty million dollars ($20,000,000).(h)(i) The commission shall not authorize any surcharge on customers enrolled in a LifeLine program.(i)(j) For purposes of this section, all of the following definitions apply:(1) Adult means a person 18 years of age or older.(2) Covered household means has the same meaning as defined in Section 1721 of Title 47 of the United States Code.(3) Economic unit means all adult individuals contributing to and sharing in the income and expenses of a household.(4) Eligible household means a household within the California internet service providers California service territory with at least one resident of the household participating in a qualified public assistance program.(5) Feasibility means consistent with both of the following:(A) Equitable distribution of the funding burden for universal services among all affected consumers and industries, thereby ensuring that regulated utilities ratepayers do not bear a disproportionate share of funding responsibility.(B) The benefits justify the costs.(6) Federal Lifeline program means the program established pursuant to Subpart E of Part 54 of Title 47 of the Code of Federal Regulations.(7) Federal poverty level means the poverty guidelines updated periodically in the Federal Register by the United States Department of Health and Human Services under authority of subsection (2) of Section 9902 of Title 42 of the United States Code.(8)Home broadband internet service program means the Universal LifeLine Home Internet Service Program established pursuant to this section.(9)(8) Household means any group of individuals, including the program participant, who are living together at the same address and as one economic unit. A household may include related and unrelated persons. If an adult has no, or minimal, income and lives with someone who provides financial support to that adult, both persons shall be part of the same household. A child under 18 years of age and living with a parent or guardian shall be part of the same household as the parent or guardian.(10)(9) Interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.(11)(10) Internet service or internet means Broadband Internet access service as defined in subdivision (b) of Section 3100 of the Civil Code, except commercial mobile service and private mobile service.(12)(11) LifeLine program means the Universal Lifeline Telephone Service Program and the Universal LifeLine Home Internet Service Program. Services Program established pursuant to subdivision (a).(13)(12) Local agencies has the same meaning as defined in subdivision (e) of Section 53167 of the Government Code.(14)(13) Minimum speed requirements means at least 100 megabits per second downstream and 20 megabits per second upstream and sufficient speed and latency at all times to support distance learning, telehealth services, remote work, and emergency communications, or the highest speed offered by the internet service provider at the customers location, which may be adjusted no sooner than July 1, 2030, and no more frequently than each four years two years thereafter to align with state fiscal years and an approved Budget Act. In consideration of setting future minimum speed requirements, the commission shall consider the states minimum broadband service requirements described in paragraph (5) of subdivision (f) of Section 281 and the requirements for broadband service providers pursuant to the Digital Infrastructure and Video Competition Act of 2006 (Division 2.5 (commencing with Section 5800)). (15)(14) Qualified public assistance programs means all of the following: (A) Medi-Cal (Chapter 7 (commencing with Section 14000) of Part 3 of Division 9 of the Welfare and Institutions Code).(B) CalFresh (Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code). (C) Temporary Assistance for Needy Families (TANF) (Part A of Title IV of the Social Security Act (42 U.S.C. Sec. 601 et seq.)).(D) Federal Tribal Temporary Assistance for Needy Families (tribal TANF) (Section 10553.25 of the Welfare and Institutions Code).(E) Supplemental Security Income (SSI) and State Supplementary Payment (SSP)(Article 5 (commencing with Section 12200) of Chapter 3 of Part 3 of Division 9 of the Welfare and Institutions Code).(F) California Alternate Rates for Energy (CARE) program (Section 739.1).(G) Pell Grant recipients (20 U.S.C. Sec. 1070a), and other persons receiving income-based financial aid for postsecondary education.(16)(15) Unconnected household means any eligible household that has no internet service regardless of whether the household has had internet service previously.

872. (a) On or before December 31, 2026, the commission shall adopt updated rules for the LifeLine program to establish a the Universal LifeLine Home Internet Service Services Program that provides to provide subsidies for home broadband internet service, and the commission shall implement the program, as updated, Universal LifeLine Home Internet Services Program on or before July 1, 2027.(b) For purposes of providing subsidies for home internet service, service through the Universal LifeLine Home Internet Services Program, the commission shall do all of the following:(1) Consider In establishing the cost of a plan that meets the minimum speed requirements and establishing a minimum contribution from the eligible household, consider the potential cost of service differentials between small, rural internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, Tribal organizations, and other internet service providers.(2) Where appropriate, and consistent with the home broadband internet service programs Universal LifeLine Home Internet Services Programs objectives, combine the home broadband internet service program Universal LifeLine Home Internet Services Program subsidy with the federal Lifeline program subsidy and any other federal funds.(3) Adopt annual enrollment goals, including enrolling no less than 90 percent of all eligible households in the home broadband internet service program Universal LifeLine Home Internet Services Program on or before December 31, 2032.(4) Authorize a home broadband internet service program Universal LifeLine Home Internet Services Program subsidy for all eligible households, including those households receiving a Universal Lifeline Telephone Service Program subsidy.(5) Prohibit requiring an eligible household to submit a social security number as a requirement for participating in a LifeLine program. the Universal LifeLine Home Internet Services Program.(6) Prohibit requiring a credit check in order for an eligible household to enroll in a LifeLine program. the Universal LifeLine Home Internet Services Program.(7) Require participating internet service providers to immediately enroll eligible households as of the first day of the following month, or at the beginning of the next billing period, and prohibit participating internet service providers from imposing a waiting period.(8) Provide a home broadband internet service subsidy of up to twenty dollars ($20) per month per eligible household. Each eligible household shall not be required to pay more than ten dollars ($10) per month for service that meets the minimum speed requirements. The commission may biannually increase these caps on the home broadband internet service subsidy amount and the payment by an eligible household payment amount for home internet service that meets the minimum speed requirements may be adjusted biannually by the commission requirements, consistent with the any increase in the adjusted federal poverty levels. The commission may modify these caps for rural residents served by participating internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, local agencies, nonprofit organizations and cooperatives, and Tribal organizations.(9) Authorize an eligible household to apply the home broadband internet service subsidy to any internet service from a participating internet service provider that meets or exceeds the minimum speed requirements.(10) Recognize that the state home broadband internet service subsidy amount is exclusive of any other subsidy amounts that internet service providers may obtain from the federal Lifeline program. Federal Lifeline program subsidy amounts, if any, shall be applied before the state home broadband internet service subsidy.(c) The commission shall streamline and simplify the updated rules updated pursuant to subdivision (a) (a), to the maximum extent possible, to minimize barriers to LifeLine program participation by telephone corporations, internet service providers, and local agencies. The Universal LifeLine Home Internet Services Committee shall deliberate and make a finding that the updated rules achieve the goal of being streamlined and simplified while providing essential information to measure progress in achieving the enrollment goals and ensuring transparency in the public interest.(d) The rules updated pursuant to subdivision (a) shall maximize telephone corporation and internet service provider participation in the LifeLine program, including by doing all of the following:(1) Requiring participating internet service providers to inform all eligible households about the Universal LifeLine Home Internet Services Program, including the home internet service subsidy and other affordable home internet service options, regardless of whether those options meet the minimum speed requirements.(2) (A) Prohibit upselling of higher priced offers.(B) Notwithstanding subparagraph (A), an eligible household may apply the home internet service subsidy to any internet service subscription plan that meets the minimum speed requirements.(3) Provide the following remedy if an eligible household enrolls in an internet service subscription plan other than the internet service providers lowest cost plan that meets the minimum speed requirements and the eligible household is unable to make two consecutive monthly payments:(A) Find that the internet service provider bears the financial risk of enrolling an eligible household in a home internet service plan that the eligible household cannot afford.(B) Prohibit an internet service provider from terminating home internet service or degrading the home internet service to an eligible household unless both of the following apply:(i) The eligible household is enrolled in a home internet service plan that meets the minimum speed requirements and costs no more than ten dollars ($10) per month.(ii) The internet service provider has attempted to contact the eligible household, using the eligible households preferred method of communication, at least twice per month during each month that the eligible household missed a payment.(C) Direct the internet service provider, after two months of missed payments and documenting the required attempts to contact the eligible household, to enroll the eligible household in its lowest cost home internet service plan that meets the minimum speed requirements, unless the eligible household subsequently misses two consecutive months of payments.(1)(4) Designate internet service providers and local agencies as eligible telecommunications carriers if requested by a provider for the purpose of accessing support for voice or broadband internet service under the federal Lifeline program, including establishing expedited procedures for designating affiliates of facilities-based providers that have existing licenses with the commission, and have been operating for three or more years.(2)(5) Establish an expedited internet service provider qualification process for participation in the LifeLine program Universal LifeLine Home Internet Services Program for affiliates of facilities-based internet service providers that have licenses with the commission and have been operating for three or more years. years, to maximize telephone corporation program participation.(6) Incentivize, but not require, an internet service provider to be designated as an eligible telecommunications carrier pursuant to subsection (e) of Section 214 of Title 47 of the United States Code as a condition of participation in the Universal LifeLine Home Internet Services Program.(7) Not require participation by an internet service provider, except as may be required as a condition of participation in another program administered by the commission.(3)(8) Allow local agencies to participate as internet service providers in the LifeLine program, Universal LifeLine Home Internet Services Program, subject to appropriate terms and conditions.(4)(9) Consider participation in the LifeLine program Universal LifeLine Home Internet Services Program by noneligible telecommunications carriers, as defined in subsection (e) of Section 214 of Title 47 of the United States Code, for purposes of providing subsidies for internet service only.(5)(10) Not consider consider, until January 1, 2033, telephone service and home broadband internet service subsidies for customers of eligible local exchange carriers to be revenues for purposes of rate regulation. regulation for eligible local exchange carriers that commence participation in the program on or before January 1, 2028.(e) The commission shall require each participating internet service provider to file, on a date set by the commission, an advice letter that shall be as concise as possible but shall include at least all of the following information:(1) A statement of projected revenue needs to meet the funding requirements to participate in the Universal LifeLine Home Internet Services Program and to enroll all eligible households.(2) A description of all affordable home internet service subscription plans that do not meet the minimum speed requirements and are available to eligible households.(3) A plan for informing all eligible households in their service areas of the Universal LifeLine Home Internet Services Program and of the affordable home internet service subscription plans described pursuant to paragraph (2).(4) A plan for preventing upselling of eligible households, including training of personnel performing marketing functions and working at call centers.(5) The dedicated telephone number for eligible households to use to enquire about the Universal LifeLine Home Internet Services Program and the affordable home internet service subscription plans described pursuant to paragraph (2).(6) The number of eligible households enrolled in each affordable home internet service subscription plan described pursuant to paragraph (2).(7) (A) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in the internet service providers lowest cost subscription plan that meets the minimum speed requirements and costs no more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.(B) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in an internet service providers plan other than its lowest cost plan that costs more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.(C) The information reported pursuant to this paragraph shall be reported in a form and with sufficient detail to enable the commission and the public to determine the median cost per eligible household to participate in the Universal LifeLine Home Internet Services Program.(e)(f) The commission shall develop and implement an outreach program to reach all eligible households. To support outreach to engage and enroll all eligible households, the commission shall do all of the following:(1) Engage one or more nonprofit organizations with experience in reaching and engaging eligible households in-language and in-culture.(2) Require each electrical corporation to incorporate outreach to inform all California Alternate Rates for Energy (CARE) program customers about the LifeLine program.(3) The commission may engage one or more nonprofit organizations with experience in leading and managing a digital equity ecosystem to conduct outreach and mobilization to engage community-based organizations to enroll households in the LifeLine program services, program, including by drawing on the lessons learned through the Affordable Connectivity Programs Get Connected! California campaign.(4) The commission shall prioritize outreach to covered households.(f)(g) To support outreach to engage and enroll all eligible households households, the State Department of Health Care Services and the State Department of Social Services shall continue to notify all eligible households about available LifeLine program services, including targeting communications to covered households.(g)(h) Upon appropriation, the commission shall allocate up to twenty million dollars ($20,000,000) from the Universal LifeLine Home Internet Services Fund for public awareness through community and ethnic media channels selected through an open, competitive process. No more than ten million dollars ($10,000,000) shall be expended without an assessment of impact to adjust for the expenditure of the balance of the authorized twenty million dollars ($20,000,000).(h)(i) The commission shall not authorize any surcharge on customers enrolled in a LifeLine program.(i)(j) For purposes of this section, all of the following definitions apply:(1) Adult means a person 18 years of age or older.(2) Covered household means has the same meaning as defined in Section 1721 of Title 47 of the United States Code.(3) Economic unit means all adult individuals contributing to and sharing in the income and expenses of a household.(4) Eligible household means a household within the California internet service providers California service territory with at least one resident of the household participating in a qualified public assistance program.(5) Feasibility means consistent with both of the following:(A) Equitable distribution of the funding burden for universal services among all affected consumers and industries, thereby ensuring that regulated utilities ratepayers do not bear a disproportionate share of funding responsibility.(B) The benefits justify the costs.(6) Federal Lifeline program means the program established pursuant to Subpart E of Part 54 of Title 47 of the Code of Federal Regulations.(7) Federal poverty level means the poverty guidelines updated periodically in the Federal Register by the United States Department of Health and Human Services under authority of subsection (2) of Section 9902 of Title 42 of the United States Code.(8)Home broadband internet service program means the Universal LifeLine Home Internet Service Program established pursuant to this section.(9)(8) Household means any group of individuals, including the program participant, who are living together at the same address and as one economic unit. A household may include related and unrelated persons. If an adult has no, or minimal, income and lives with someone who provides financial support to that adult, both persons shall be part of the same household. A child under 18 years of age and living with a parent or guardian shall be part of the same household as the parent or guardian.(10)(9) Interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.(11)(10) Internet service or internet means Broadband Internet access service as defined in subdivision (b) of Section 3100 of the Civil Code, except commercial mobile service and private mobile service.(12)(11) LifeLine program means the Universal Lifeline Telephone Service Program and the Universal LifeLine Home Internet Service Program. Services Program established pursuant to subdivision (a).(13)(12) Local agencies has the same meaning as defined in subdivision (e) of Section 53167 of the Government Code.(14)(13) Minimum speed requirements means at least 100 megabits per second downstream and 20 megabits per second upstream and sufficient speed and latency at all times to support distance learning, telehealth services, remote work, and emergency communications, or the highest speed offered by the internet service provider at the customers location, which may be adjusted no sooner than July 1, 2030, and no more frequently than each four years two years thereafter to align with state fiscal years and an approved Budget Act. In consideration of setting future minimum speed requirements, the commission shall consider the states minimum broadband service requirements described in paragraph (5) of subdivision (f) of Section 281 and the requirements for broadband service providers pursuant to the Digital Infrastructure and Video Competition Act of 2006 (Division 2.5 (commencing with Section 5800)). (15)(14) Qualified public assistance programs means all of the following: (A) Medi-Cal (Chapter 7 (commencing with Section 14000) of Part 3 of Division 9 of the Welfare and Institutions Code).(B) CalFresh (Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code). (C) Temporary Assistance for Needy Families (TANF) (Part A of Title IV of the Social Security Act (42 U.S.C. Sec. 601 et seq.)).(D) Federal Tribal Temporary Assistance for Needy Families (tribal TANF) (Section 10553.25 of the Welfare and Institutions Code).(E) Supplemental Security Income (SSI) and State Supplementary Payment (SSP)(Article 5 (commencing with Section 12200) of Chapter 3 of Part 3 of Division 9 of the Welfare and Institutions Code).(F) California Alternate Rates for Energy (CARE) program (Section 739.1).(G) Pell Grant recipients (20 U.S.C. Sec. 1070a), and other persons receiving income-based financial aid for postsecondary education.(16)(15) Unconnected household means any eligible household that has no internet service regardless of whether the household has had internet service previously.

872. (a) On or before December 31, 2026, the commission shall adopt updated rules for the LifeLine program to establish a the Universal LifeLine Home Internet Service Services Program that provides to provide subsidies for home broadband internet service, and the commission shall implement the program, as updated, Universal LifeLine Home Internet Services Program on or before July 1, 2027.(b) For purposes of providing subsidies for home internet service, service through the Universal LifeLine Home Internet Services Program, the commission shall do all of the following:(1) Consider In establishing the cost of a plan that meets the minimum speed requirements and establishing a minimum contribution from the eligible household, consider the potential cost of service differentials between small, rural internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, Tribal organizations, and other internet service providers.(2) Where appropriate, and consistent with the home broadband internet service programs Universal LifeLine Home Internet Services Programs objectives, combine the home broadband internet service program Universal LifeLine Home Internet Services Program subsidy with the federal Lifeline program subsidy and any other federal funds.(3) Adopt annual enrollment goals, including enrolling no less than 90 percent of all eligible households in the home broadband internet service program Universal LifeLine Home Internet Services Program on or before December 31, 2032.(4) Authorize a home broadband internet service program Universal LifeLine Home Internet Services Program subsidy for all eligible households, including those households receiving a Universal Lifeline Telephone Service Program subsidy.(5) Prohibit requiring an eligible household to submit a social security number as a requirement for participating in a LifeLine program. the Universal LifeLine Home Internet Services Program.(6) Prohibit requiring a credit check in order for an eligible household to enroll in a LifeLine program. the Universal LifeLine Home Internet Services Program.(7) Require participating internet service providers to immediately enroll eligible households as of the first day of the following month, or at the beginning of the next billing period, and prohibit participating internet service providers from imposing a waiting period.(8) Provide a home broadband internet service subsidy of up to twenty dollars ($20) per month per eligible household. Each eligible household shall not be required to pay more than ten dollars ($10) per month for service that meets the minimum speed requirements. The commission may biannually increase these caps on the home broadband internet service subsidy amount and the payment by an eligible household payment amount for home internet service that meets the minimum speed requirements may be adjusted biannually by the commission requirements, consistent with the any increase in the adjusted federal poverty levels. The commission may modify these caps for rural residents served by participating internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, local agencies, nonprofit organizations and cooperatives, and Tribal organizations.(9) Authorize an eligible household to apply the home broadband internet service subsidy to any internet service from a participating internet service provider that meets or exceeds the minimum speed requirements.(10) Recognize that the state home broadband internet service subsidy amount is exclusive of any other subsidy amounts that internet service providers may obtain from the federal Lifeline program. Federal Lifeline program subsidy amounts, if any, shall be applied before the state home broadband internet service subsidy.(c) The commission shall streamline and simplify the updated rules updated pursuant to subdivision (a) (a), to the maximum extent possible, to minimize barriers to LifeLine program participation by telephone corporations, internet service providers, and local agencies. The Universal LifeLine Home Internet Services Committee shall deliberate and make a finding that the updated rules achieve the goal of being streamlined and simplified while providing essential information to measure progress in achieving the enrollment goals and ensuring transparency in the public interest.(d) The rules updated pursuant to subdivision (a) shall maximize telephone corporation and internet service provider participation in the LifeLine program, including by doing all of the following:(1) Requiring participating internet service providers to inform all eligible households about the Universal LifeLine Home Internet Services Program, including the home internet service subsidy and other affordable home internet service options, regardless of whether those options meet the minimum speed requirements.(2) (A) Prohibit upselling of higher priced offers.(B) Notwithstanding subparagraph (A), an eligible household may apply the home internet service subsidy to any internet service subscription plan that meets the minimum speed requirements.(3) Provide the following remedy if an eligible household enrolls in an internet service subscription plan other than the internet service providers lowest cost plan that meets the minimum speed requirements and the eligible household is unable to make two consecutive monthly payments:(A) Find that the internet service provider bears the financial risk of enrolling an eligible household in a home internet service plan that the eligible household cannot afford.(B) Prohibit an internet service provider from terminating home internet service or degrading the home internet service to an eligible household unless both of the following apply:(i) The eligible household is enrolled in a home internet service plan that meets the minimum speed requirements and costs no more than ten dollars ($10) per month.(ii) The internet service provider has attempted to contact the eligible household, using the eligible households preferred method of communication, at least twice per month during each month that the eligible household missed a payment.(C) Direct the internet service provider, after two months of missed payments and documenting the required attempts to contact the eligible household, to enroll the eligible household in its lowest cost home internet service plan that meets the minimum speed requirements, unless the eligible household subsequently misses two consecutive months of payments.(1)(4) Designate internet service providers and local agencies as eligible telecommunications carriers if requested by a provider for the purpose of accessing support for voice or broadband internet service under the federal Lifeline program, including establishing expedited procedures for designating affiliates of facilities-based providers that have existing licenses with the commission, and have been operating for three or more years.(2)(5) Establish an expedited internet service provider qualification process for participation in the LifeLine program Universal LifeLine Home Internet Services Program for affiliates of facilities-based internet service providers that have licenses with the commission and have been operating for three or more years. years, to maximize telephone corporation program participation.(6) Incentivize, but not require, an internet service provider to be designated as an eligible telecommunications carrier pursuant to subsection (e) of Section 214 of Title 47 of the United States Code as a condition of participation in the Universal LifeLine Home Internet Services Program.(7) Not require participation by an internet service provider, except as may be required as a condition of participation in another program administered by the commission.(3)(8) Allow local agencies to participate as internet service providers in the LifeLine program, Universal LifeLine Home Internet Services Program, subject to appropriate terms and conditions.(4)(9) Consider participation in the LifeLine program Universal LifeLine Home Internet Services Program by noneligible telecommunications carriers, as defined in subsection (e) of Section 214 of Title 47 of the United States Code, for purposes of providing subsidies for internet service only.(5)(10) Not consider consider, until January 1, 2033, telephone service and home broadband internet service subsidies for customers of eligible local exchange carriers to be revenues for purposes of rate regulation. regulation for eligible local exchange carriers that commence participation in the program on or before January 1, 2028.(e) The commission shall require each participating internet service provider to file, on a date set by the commission, an advice letter that shall be as concise as possible but shall include at least all of the following information:(1) A statement of projected revenue needs to meet the funding requirements to participate in the Universal LifeLine Home Internet Services Program and to enroll all eligible households.(2) A description of all affordable home internet service subscription plans that do not meet the minimum speed requirements and are available to eligible households.(3) A plan for informing all eligible households in their service areas of the Universal LifeLine Home Internet Services Program and of the affordable home internet service subscription plans described pursuant to paragraph (2).(4) A plan for preventing upselling of eligible households, including training of personnel performing marketing functions and working at call centers.(5) The dedicated telephone number for eligible households to use to enquire about the Universal LifeLine Home Internet Services Program and the affordable home internet service subscription plans described pursuant to paragraph (2).(6) The number of eligible households enrolled in each affordable home internet service subscription plan described pursuant to paragraph (2).(7) (A) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in the internet service providers lowest cost subscription plan that meets the minimum speed requirements and costs no more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.(B) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in an internet service providers plan other than its lowest cost plan that costs more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.(C) The information reported pursuant to this paragraph shall be reported in a form and with sufficient detail to enable the commission and the public to determine the median cost per eligible household to participate in the Universal LifeLine Home Internet Services Program.(e)(f) The commission shall develop and implement an outreach program to reach all eligible households. To support outreach to engage and enroll all eligible households, the commission shall do all of the following:(1) Engage one or more nonprofit organizations with experience in reaching and engaging eligible households in-language and in-culture.(2) Require each electrical corporation to incorporate outreach to inform all California Alternate Rates for Energy (CARE) program customers about the LifeLine program.(3) The commission may engage one or more nonprofit organizations with experience in leading and managing a digital equity ecosystem to conduct outreach and mobilization to engage community-based organizations to enroll households in the LifeLine program services, program, including by drawing on the lessons learned through the Affordable Connectivity Programs Get Connected! California campaign.(4) The commission shall prioritize outreach to covered households.(f)(g) To support outreach to engage and enroll all eligible households households, the State Department of Health Care Services and the State Department of Social Services shall continue to notify all eligible households about available LifeLine program services, including targeting communications to covered households.(g)(h) Upon appropriation, the commission shall allocate up to twenty million dollars ($20,000,000) from the Universal LifeLine Home Internet Services Fund for public awareness through community and ethnic media channels selected through an open, competitive process. No more than ten million dollars ($10,000,000) shall be expended without an assessment of impact to adjust for the expenditure of the balance of the authorized twenty million dollars ($20,000,000).(h)(i) The commission shall not authorize any surcharge on customers enrolled in a LifeLine program.(i)(j) For purposes of this section, all of the following definitions apply:(1) Adult means a person 18 years of age or older.(2) Covered household means has the same meaning as defined in Section 1721 of Title 47 of the United States Code.(3) Economic unit means all adult individuals contributing to and sharing in the income and expenses of a household.(4) Eligible household means a household within the California internet service providers California service territory with at least one resident of the household participating in a qualified public assistance program.(5) Feasibility means consistent with both of the following:(A) Equitable distribution of the funding burden for universal services among all affected consumers and industries, thereby ensuring that regulated utilities ratepayers do not bear a disproportionate share of funding responsibility.(B) The benefits justify the costs.(6) Federal Lifeline program means the program established pursuant to Subpart E of Part 54 of Title 47 of the Code of Federal Regulations.(7) Federal poverty level means the poverty guidelines updated periodically in the Federal Register by the United States Department of Health and Human Services under authority of subsection (2) of Section 9902 of Title 42 of the United States Code.(8)Home broadband internet service program means the Universal LifeLine Home Internet Service Program established pursuant to this section.(9)(8) Household means any group of individuals, including the program participant, who are living together at the same address and as one economic unit. A household may include related and unrelated persons. If an adult has no, or minimal, income and lives with someone who provides financial support to that adult, both persons shall be part of the same household. A child under 18 years of age and living with a parent or guardian shall be part of the same household as the parent or guardian.(10)(9) Interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.(11)(10) Internet service or internet means Broadband Internet access service as defined in subdivision (b) of Section 3100 of the Civil Code, except commercial mobile service and private mobile service.(12)(11) LifeLine program means the Universal Lifeline Telephone Service Program and the Universal LifeLine Home Internet Service Program. Services Program established pursuant to subdivision (a).(13)(12) Local agencies has the same meaning as defined in subdivision (e) of Section 53167 of the Government Code.(14)(13) Minimum speed requirements means at least 100 megabits per second downstream and 20 megabits per second upstream and sufficient speed and latency at all times to support distance learning, telehealth services, remote work, and emergency communications, or the highest speed offered by the internet service provider at the customers location, which may be adjusted no sooner than July 1, 2030, and no more frequently than each four years two years thereafter to align with state fiscal years and an approved Budget Act. In consideration of setting future minimum speed requirements, the commission shall consider the states minimum broadband service requirements described in paragraph (5) of subdivision (f) of Section 281 and the requirements for broadband service providers pursuant to the Digital Infrastructure and Video Competition Act of 2006 (Division 2.5 (commencing with Section 5800)). (15)(14) Qualified public assistance programs means all of the following: (A) Medi-Cal (Chapter 7 (commencing with Section 14000) of Part 3 of Division 9 of the Welfare and Institutions Code).(B) CalFresh (Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code). (C) Temporary Assistance for Needy Families (TANF) (Part A of Title IV of the Social Security Act (42 U.S.C. Sec. 601 et seq.)).(D) Federal Tribal Temporary Assistance for Needy Families (tribal TANF) (Section 10553.25 of the Welfare and Institutions Code).(E) Supplemental Security Income (SSI) and State Supplementary Payment (SSP)(Article 5 (commencing with Section 12200) of Chapter 3 of Part 3 of Division 9 of the Welfare and Institutions Code).(F) California Alternate Rates for Energy (CARE) program (Section 739.1).(G) Pell Grant recipients (20 U.S.C. Sec. 1070a), and other persons receiving income-based financial aid for postsecondary education.(16)(15) Unconnected household means any eligible household that has no internet service regardless of whether the household has had internet service previously.

872. (a) On or before December 31, 2026, the commission shall adopt updated rules for the LifeLine program to establish a the Universal LifeLine Home Internet Service Services Program that provides to provide subsidies for home broadband internet service, and the commission shall implement the program, as updated, Universal LifeLine Home Internet Services Program on or before July 1, 2027.

###### 872.

(b) For purposes of providing subsidies for home internet service, service through the Universal LifeLine Home Internet Services Program, the commission shall do all of the following:

(1) Consider In establishing the cost of a plan that meets the minimum speed requirements and establishing a minimum contribution from the eligible household, consider the potential cost of service differentials between small, rural internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, Tribal organizations, and other internet service providers.

(2) Where appropriate, and consistent with the home broadband internet service programs Universal LifeLine Home Internet Services Programs objectives, combine the home broadband internet service program Universal LifeLine Home Internet Services Program subsidy with the federal Lifeline program subsidy and any other federal funds.

(3) Adopt annual enrollment goals, including enrolling no less than 90 percent of all eligible households in the home broadband internet service program Universal LifeLine Home Internet Services Program on or before December 31, 2032.

(4) Authorize a home broadband internet service program Universal LifeLine Home Internet Services Program subsidy for all eligible households, including those households receiving a Universal Lifeline Telephone Service Program subsidy.

(5) Prohibit requiring an eligible household to submit a social security number as a requirement for participating in a LifeLine program. the Universal LifeLine Home Internet Services Program.

(6) Prohibit requiring a credit check in order for an eligible household to enroll in a LifeLine program. the Universal LifeLine Home Internet Services Program.

(7) Require participating internet service providers to immediately enroll eligible households as of the first day of the following month, or at the beginning of the next billing period, and prohibit participating internet service providers from imposing a waiting period.

(8) Provide a home broadband internet service subsidy of up to twenty dollars ($20) per month per eligible household. Each eligible household shall not be required to pay more than ten dollars ($10) per month for service that meets the minimum speed requirements. The commission may biannually increase these caps on the home broadband internet service subsidy amount and the payment by an eligible household payment amount for home internet service that meets the minimum speed requirements may be adjusted biannually by the commission requirements, consistent with the any increase in the adjusted federal poverty levels. The commission may modify these caps for rural residents served by participating internet service providers who are part of, or affiliated with, small independent telephone corporations, as defined in Section 275.6, local agencies, nonprofit organizations and cooperatives, and Tribal organizations.

(9) Authorize an eligible household to apply the home broadband internet service subsidy to any internet service from a participating internet service provider that meets or exceeds the minimum speed requirements.

(10) Recognize that the state home broadband internet service subsidy amount is exclusive of any other subsidy amounts that internet service providers may obtain from the federal Lifeline program. Federal Lifeline program subsidy amounts, if any, shall be applied before the state home broadband internet service subsidy.

(c) The commission shall streamline and simplify the updated rules updated pursuant to subdivision (a) (a), to the maximum extent possible, to minimize barriers to LifeLine program participation by telephone corporations, internet service providers, and local agencies. The Universal LifeLine Home Internet Services Committee shall deliberate and make a finding that the updated rules achieve the goal of being streamlined and simplified while providing essential information to measure progress in achieving the enrollment goals and ensuring transparency in the public interest.

(d) The rules updated pursuant to subdivision (a) shall maximize telephone corporation and internet service provider participation in the LifeLine program, including by doing all of the following:

(1) Requiring participating internet service providers to inform all eligible households about the Universal LifeLine Home Internet Services Program, including the home internet service subsidy and other affordable home internet service options, regardless of whether those options meet the minimum speed requirements.

(2) (A) Prohibit upselling of higher priced offers.

(B) Notwithstanding subparagraph (A), an eligible household may apply the home internet service subsidy to any internet service subscription plan that meets the minimum speed requirements.

(3) Provide the following remedy if an eligible household enrolls in an internet service subscription plan other than the internet service providers lowest cost plan that meets the minimum speed requirements and the eligible household is unable to make two consecutive monthly payments:

(A) Find that the internet service provider bears the financial risk of enrolling an eligible household in a home internet service plan that the eligible household cannot afford.

(B) Prohibit an internet service provider from terminating home internet service or degrading the home internet service to an eligible household unless both of the following apply:

(i) The eligible household is enrolled in a home internet service plan that meets the minimum speed requirements and costs no more than ten dollars ($10) per month.

(ii) The internet service provider has attempted to contact the eligible household, using the eligible households preferred method of communication, at least twice per month during each month that the eligible household missed a payment.

(C) Direct the internet service provider, after two months of missed payments and documenting the required attempts to contact the eligible household, to enroll the eligible household in its lowest cost home internet service plan that meets the minimum speed requirements, unless the eligible household subsequently misses two consecutive months of payments.

(1)

(4) Designate internet service providers and local agencies as eligible telecommunications carriers if requested by a provider for the purpose of accessing support for voice or broadband internet service under the federal Lifeline program, including establishing expedited procedures for designating affiliates of facilities-based providers that have existing licenses with the commission, and have been operating for three or more years.

(2)

(5) Establish an expedited internet service provider qualification process for participation in the LifeLine program Universal LifeLine Home Internet Services Program for affiliates of facilities-based internet service providers that have licenses with the commission and have been operating for three or more years. years, to maximize telephone corporation program participation.

(6) Incentivize, but not require, an internet service provider to be designated as an eligible telecommunications carrier pursuant to subsection (e) of Section 214 of Title 47 of the United States Code as a condition of participation in the Universal LifeLine Home Internet Services Program.

(7) Not require participation by an internet service provider, except as may be required as a condition of participation in another program administered by the commission.

(3)

(8) Allow local agencies to participate as internet service providers in the LifeLine program, Universal LifeLine Home Internet Services Program, subject to appropriate terms and conditions.

(4)

(9) Consider participation in the LifeLine program Universal LifeLine Home Internet Services Program by noneligible telecommunications carriers, as defined in subsection (e) of Section 214 of Title 47 of the United States Code, for purposes of providing subsidies for internet service only.

(5)

(10) Not consider consider, until January 1, 2033, telephone service and home broadband internet service subsidies for customers of eligible local exchange carriers to be revenues for purposes of rate regulation. regulation for eligible local exchange carriers that commence participation in the program on or before January 1, 2028.

(e) The commission shall require each participating internet service provider to file, on a date set by the commission, an advice letter that shall be as concise as possible but shall include at least all of the following information:

(1) A statement of projected revenue needs to meet the funding requirements to participate in the Universal LifeLine Home Internet Services Program and to enroll all eligible households.

(2) A description of all affordable home internet service subscription plans that do not meet the minimum speed requirements and are available to eligible households.

(3) A plan for informing all eligible households in their service areas of the Universal LifeLine Home Internet Services Program and of the affordable home internet service subscription plans described pursuant to paragraph (2).

(4) A plan for preventing upselling of eligible households, including training of personnel performing marketing functions and working at call centers.

(5) The dedicated telephone number for eligible households to use to enquire about the Universal LifeLine Home Internet Services Program and the affordable home internet service subscription plans described pursuant to paragraph (2).

(6) The number of eligible households enrolled in each affordable home internet service subscription plan described pursuant to paragraph (2).

(7) (A) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in the internet service providers lowest cost subscription plan that meets the minimum speed requirements and costs no more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.

(B) The number of eligible households participating in the Universal LifeLine Home Internet Services Program and enrolled in an internet service providers plan other than its lowest cost plan that costs more than ten dollars ($10), or as modified pursuant to paragraph (8) of subdivision (b), per month.

(C) The information reported pursuant to this paragraph shall be reported in a form and with sufficient detail to enable the commission and the public to determine the median cost per eligible household to participate in the Universal LifeLine Home Internet Services Program.

(e)

(f) The commission shall develop and implement an outreach program to reach all eligible households. To support outreach to engage and enroll all eligible households, the commission shall do all of the following:

(1) Engage one or more nonprofit organizations with experience in reaching and engaging eligible households in-language and in-culture.

(2) Require each electrical corporation to incorporate outreach to inform all California Alternate Rates for Energy (CARE) program customers about the LifeLine program.

(3) The commission may engage one or more nonprofit organizations with experience in leading and managing a digital equity ecosystem to conduct outreach and mobilization to engage community-based organizations to enroll households in the LifeLine program services, program, including by drawing on the lessons learned through the Affordable Connectivity Programs Get Connected! California campaign.

(4) The commission shall prioritize outreach to covered households.

(f)

(g) To support outreach to engage and enroll all eligible households households, the State Department of Health Care Services and the State Department of Social Services shall continue to notify all eligible households about available LifeLine program services, including targeting communications to covered households.

(g)

(h) Upon appropriation, the commission shall allocate up to twenty million dollars ($20,000,000) from the Universal LifeLine Home Internet Services Fund for public awareness through community and ethnic media channels selected through an open, competitive process. No more than ten million dollars ($10,000,000) shall be expended without an assessment of impact to adjust for the expenditure of the balance of the authorized twenty million dollars ($20,000,000).

(h)

(i) The commission shall not authorize any surcharge on customers enrolled in a LifeLine program.

(i)

(j) For purposes of this section, all of the following definitions apply:

(1) Adult means a person 18 years of age or older.

(2) Covered household means has the same meaning as defined in Section 1721 of Title 47 of the United States Code.

(3) Economic unit means all adult individuals contributing to and sharing in the income and expenses of a household.

(4) Eligible household means a household within the California internet service providers California service territory with at least one resident of the household participating in a qualified public assistance program.

(5) Feasibility means consistent with both of the following:

(A) Equitable distribution of the funding burden for universal services among all affected consumers and industries, thereby ensuring that regulated utilities ratepayers do not bear a disproportionate share of funding responsibility.

(B) The benefits justify the costs.

(6) Federal Lifeline program means the program established pursuant to Subpart E of Part 54 of Title 47 of the Code of Federal Regulations.

(7) Federal poverty level means the poverty guidelines updated periodically in the Federal Register by the United States Department of Health and Human Services under authority of subsection (2) of Section 9902 of Title 42 of the United States Code.

(8)Home broadband internet service program means the Universal LifeLine Home Internet Service Program established pursuant to this section.

(9)

(8) Household means any group of individuals, including the program participant, who are living together at the same address and as one economic unit. A household may include related and unrelated persons. If an adult has no, or minimal, income and lives with someone who provides financial support to that adult, both persons shall be part of the same household. A child under 18 years of age and living with a parent or guardian shall be part of the same household as the parent or guardian.

(10)

(9) Interconnected Voice over Internet Protocol (VoIP) service has the same meaning as in Section 9.3 of Title 47 of the Code of Federal Regulations.

(11)

(10) Internet service or internet means Broadband Internet access service as defined in subdivision (b) of Section 3100 of the Civil Code, except commercial mobile service and private mobile service.

(12)

(11) LifeLine program means the Universal Lifeline Telephone Service Program and the Universal LifeLine Home Internet Service Program. Services Program established pursuant to subdivision (a).

(13)

(12) Local agencies has the same meaning as defined in subdivision (e) of Section 53167 of the Government Code.

(14)

(13) Minimum speed requirements means at least 100 megabits per second downstream and 20 megabits per second upstream and sufficient speed and latency at all times to support distance learning, telehealth services, remote work, and emergency communications, or the highest speed offered by the internet service provider at the customers location, which may be adjusted no sooner than July 1, 2030, and no more frequently than each four years two years thereafter to align with state fiscal years and an approved Budget Act. In consideration of setting future minimum speed requirements, the commission shall consider the states minimum broadband service requirements described in paragraph (5) of subdivision (f) of Section 281 and the requirements for broadband service providers pursuant to the Digital Infrastructure and Video Competition Act of 2006 (Division 2.5 (commencing with Section 5800)).

(15)

(14) Qualified public assistance programs means all of the following:

(A) Medi-Cal (Chapter 7 (commencing with Section 14000) of Part 3 of Division 9 of the Welfare and Institutions Code).

(B) CalFresh (Chapter 10 (commencing with Section 18900) of Part 6 of Division 9 of the Welfare and Institutions Code).

(C) Temporary Assistance for Needy Families (TANF) (Part A of Title IV of the Social Security Act (42 U.S.C. Sec. 601 et seq.)).

(D) Federal Tribal Temporary Assistance for Needy Families (tribal TANF) (Section 10553.25 of the Welfare and Institutions Code).

(E) Supplemental Security Income (SSI) and State Supplementary Payment (SSP)(Article 5 (commencing with Section 12200) of Chapter 3 of Part 3 of Division 9 of the Welfare and Institutions Code).

(F) California Alternate Rates for Energy (CARE) program (Section 739.1).

(G) Pell Grant recipients (20 U.S.C. Sec. 1070a), and other persons receiving income-based financial aid for postsecondary education.

(16)

(15) Unconnected household means any eligible household that has no internet service regardless of whether the household has had internet service previously.

SEC. 8. Section 914.8 is added to the Public Utilities Code, to read:914.8. (a) The commission shall annually report to the Legislature and the California Broadband Council on the progress in enrolling eligible households in the LifeLine programs established pursuant to Article 8 (commencing with Section 871) in comparison to goals set by relevant socioeconomic demographic factors and by participating providers.(b) (1) On or before December 31, 2030, the commission shall review any expenditures from the Universal LifeLine Home Internet Services Fund to determine whether those expenditures were adequate and fair to all ratepayers, and report those determinations in the next annual report described in subdivision (a).(2) The requirement for submitting the report imposed under this subdivision is inoperative on January 1, 2034, pursuant to Section 10231.5 of the Government Code.

SEC. 8. Section 914.8 is added to the Public Utilities Code, to read:

### SEC. 8.

914.8. (a) The commission shall annually report to the Legislature and the California Broadband Council on the progress in enrolling eligible households in the LifeLine programs established pursuant to Article 8 (commencing with Section 871) in comparison to goals set by relevant socioeconomic demographic factors and by participating providers.(b) (1) On or before December 31, 2030, the commission shall review any expenditures from the Universal LifeLine Home Internet Services Fund to determine whether those expenditures were adequate and fair to all ratepayers, and report those determinations in the next annual report described in subdivision (a).(2) The requirement for submitting the report imposed under this subdivision is inoperative on January 1, 2034, pursuant to Section 10231.5 of the Government Code.

914.8. (a) The commission shall annually report to the Legislature and the California Broadband Council on the progress in enrolling eligible households in the LifeLine programs established pursuant to Article 8 (commencing with Section 871) in comparison to goals set by relevant socioeconomic demographic factors and by participating providers.(b) (1) On or before December 31, 2030, the commission shall review any expenditures from the Universal LifeLine Home Internet Services Fund to determine whether those expenditures were adequate and fair to all ratepayers, and report those determinations in the next annual report described in subdivision (a).(2) The requirement for submitting the report imposed under this subdivision is inoperative on January 1, 2034, pursuant to Section 10231.5 of the Government Code.

914.8. (a) The commission shall annually report to the Legislature and the California Broadband Council on the progress in enrolling eligible households in the LifeLine programs established pursuant to Article 8 (commencing with Section 871) in comparison to goals set by relevant socioeconomic demographic factors and by participating providers.(b) (1) On or before December 31, 2030, the commission shall review any expenditures from the Universal LifeLine Home Internet Services Fund to determine whether those expenditures were adequate and fair to all ratepayers, and report those determinations in the next annual report described in subdivision (a).(2) The requirement for submitting the report imposed under this subdivision is inoperative on January 1, 2034, pursuant to Section 10231.5 of the Government Code.

914.8. (a) The commission shall annually report to the Legislature and the California Broadband Council on the progress in enrolling eligible households in the LifeLine programs established pursuant to Article 8 (commencing with Section 871) in comparison to goals set by relevant socioeconomic demographic factors and by participating providers.

###### 914.8.

(b) (1) On or before December 31, 2030, the commission shall review any expenditures from the Universal LifeLine Home Internet Services Fund to determine whether those expenditures were adequate and fair to all ratepayers, and report those determinations in the next annual report described in subdivision (a).

(2) The requirement for submitting the report imposed under this subdivision is inoperative on January 1, 2034, pursuant to Section 10231.5 of the Government Code.

SEC. 9. 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. 9. 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. 9. 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. 9.