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The Cal. legislature passed 2 bills related to universal service....

The Cal. legislature passed 2 bills related to universal service. The first, SB-1276, extends 4 years the legal life of the state’s high-cost subsidy program. That program was due to sunset at year-end. The measure would require the Cal.…

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PUC during 2005 to review the high- cost program to ensure local telephone rate support structures are “fair and equitable.” The bill also would require that any charges imposed to promote universal service must “reasonably equal the benefits of universal service.” The 2nd bill (AB-2758) would extend 2 years the legal life of a state grant program intended to encourage the extension of telephone service into unserved areas around the state. The program originally was to sunset at the end of 2005 but this measure would extend it through 2007. Funding for the program was eliminated from the state budget for 2001-02 but resumed for fiscal 2003-04. The extension would in essence restore the program to its original funded length. Both bills were sent to Gov. Arnold Schwarzenegger (R).