VI. Comments on Draft Decision
The draft decision of the ALJ in this matter was mailed to the parties in accordance with Section 311(g)(1) of the Public Utilities Code and Rule 77.7 of the Rules of Practice and Procedure. Comments were filed on , and reply comments were filed on .
1. Telephone companies and representatives of the DDTP's CRS providers currently hold voting slots on the DDTPAC and the EPAC, and non-voting slots on the EPAC and the CRSAC.
2. The DDTP has been undergoing a process of centralization whereby incumbent telephone companies will not necessarily provide DDTP equipment distribution and Relay Services.
3. In view of the centralization of DDTP services away from traditional telephone companies, the historic rationale for granting such companies voting rights on the DDTP Committees is eroding.
4. GTE/Verizon, Pacific Bell and WorldCom did not oppose having non-voting positions on the DDTP Committees rather than voting positions.
5. It is appropriate to retain the GTE/Verizon, Pacific Bell, California Telephone Association and CRS provider slots on the DDTP Committees as non-voting positions. Such representatives provide valuable insight into the state of current technology, telephone network operations, possible innovations and the like.
6. It is no longer necessary for GTE/Verizon, Pacific Bell, California Telephone Association and the CRS provider representative to have voting status on any DDTP Committee.
7. There is currently only one representative of the disabled community on the DDTPAC. That representative is charged with representing the interests of consumers with needs related to vision, speech, mobility, manipulation and cognition.
8. It is reasonable to add a second representative of the disabled community to the DDTPAC.
9. There is no representative of the Speech-to-Speech service on the DDPTAC. Given the importance of Speech-to-Speech service to speech disabled consumers, it is reasonable to designate a new slot on the DDTPAC as a Speech-to-Speech position.
10. The other disabled representative slots on the DDPTAC (the one existing slot and the new slot we create here) should not be filled with a consumer of Speech-to-Speech services, given that we are adding a new Speech-to-Speech slot.
11. A current voting slot exists on the CRSAC for a representative of the CRS provider. Because the CRS representative contributes valuable insight into the program, the slot should continue to exist, but as a non-voting position.
12. The EPAC currently has two slots for representatives of the disabled community.
13. No change in the composition of the EPAC is necessary at this time.
14. The current DDTP staff provides consumer-focused service to the deaf and disabled community.
15. Additional Commission staff will be necessary to carry out SB 669's mandate to transfer DDTP funds to the State Treasury. Such staff will perform the following functions: creation of accounts in the State accounting system, establishment of lock box functions for receipt of remittance payments, posting of remittances to the proper accounts, review of claims for payment from the funds, and scheduling of payments from the program funds by the State Controller.
16. The current DDTP staff does not currently perform the foregoing accounting functions.
17. The transfer of DDTP funds to the State Treasury creates some risk of disruption of program services. Small vendors, who provide many DDTP services, may not be prepared to wait long periods of time to receive payment for services rendered. Consequently, they may defect from the program.
18. Creation of a revolving fund for the DDTP to use to pay small vendors may allow for more timely payment of invoices and reduce the risk of service disruption.
19. Use of an electronic funds transfer system may allow for more timely payment of invoices and reduce the risk of service disruption.
20. Commission study of other State agencies' experience with revolving funds may assist in determining such funds' feasibility and usefulness.
21. The DDTP should to the extent feasible offer deaf and disabled consumers up-to-date technology.
22. The DDTP may need to conduct more outreach to deaf and disabled communities, especially in Southern California.
1. SB 669 codifies the preexisting governance structure for the DDTP.
2. SB 669 places operational responsibility for the program with the DDTP, requiring it to "carry out the programs pursuant to the commission's direction, control, and approval."
3. SB 669 requires the Commission to ensure that the DDTPAC achieves "appropriate representation by the consumers of telecommunications services for the deaf and disabled."
4. SB 669 changes the way the DDTP funds are held. Under SB 669, the funds will reside in the State Treasury rather than in a bank trust fund. Moneys in the DDTPAC fund may only be expended upon appropriation in the annual state Budget Act.
5. The Commission approved the current DDTP Committee structure, and has the power to alter it.
6. The changes we make in the DDTP Committee structure are in keeping with SB 669's requirement of "appropriate representation by the consumers of telecommunications services for the deaf and disabled."
7. Our decision to leave the DDTP staff in place is consistent with SB 669's requirement that the DDTP "carry out the programs pursuant to the commission's direction, control, and approval."
8. The DDTP fund should be augmented by all interest earned by moneys in the fund. This requirement is not inconsistent with Government Code § 16305.7.
9. The legislature in passing SB 669 did not anticipate any reduction in DDTP program funds as a result of shifting the funds to the State Treasury. If necessary, the Commission should, through an adjustment in the DDTP surcharge or other means, ensure that DDTP funds do not decrease as a result of SB 669.
10. The Commission may request creation of a revolving fund.
11. The Commission is required to keep abreast of technological advances in the delivery of DDTP services.
IT IS ORDERED that:
1. Within 60 days of mailing of this decision, the Commission, through the Deaf and Disabled Telecommunications Program (DDTP) staff, shall amend the DDTP Committee Charters to reflect the changes we make in the composition of the DDTP Administrative Committee (DDTPAC), the California Relay Service (CRS) Advisory Committee (CRSAC) and the Equipment Program Advisory Committee (EPAC), and submit the amended Charters to the Commission for approval. The submission shall also describe how the DDTP proposes to implement the ordered changes in Committee membership.
The Commission will take the following steps to implement this decision:
a. Seek to establish in the State Treasury a revolving fund to pay DDTP vendors with contracts of no more than $24,000 annually and $2,000 monthly. The fund shall contain no more than 10% of the DDTP's annual budget at any time.
b. Study the feasibility of implementing an electronic funds transfer system for regular DDTP vendors. The study should examine whether other state agencies, including the Controller's office, use such systems, identify the costs and benefits of such systems, and make a recommendation to the Commission on whether such a system would be feasible and effective to expedite vendor payment. The study shall be completed within 180 days of mailing of this decision.
c. Seek augmentation of Commission staffing in order to perform fiscal functions associated with transferring DDTP funds to the State Treasury.
d. Seek to ensure that interest on DDTP funds is credited to the DDTP account in the State Treasury. If transfer of the DDTP fund to the State Treasury reduces funds for program services as a result of transaction costs or a lowering of investment returns, the Commission will take steps to make the DDTP whole by offsetting this reduction through a change in the DDTP surcharge.
2. Within 180 days of this decision, DDTP staff shall prepare and file with the Commission a report examining whether the DDTP program is offering up-to-date telecommunications technology to its consumers. The report should describe DDTP technological innovations in the last five years, planned innovations for the future, trials currently underway, impediments to further innovation, and necessary resources to enhance innovation. If the report reveals a need for improvement, we will consider opening an Investigation into the technological appropriateness of DDTP services and equipment.
3. DDTP staff shall study whether current DDTP outreach efforts are adequate to educate deaf and disabled consumers of the existence and nature of the program. If there appear to be deficits, within 180 days of this decision, DDTP staff shall prepare and file a report suggesting improvements and detailing a plan to address them.
This order is effective today.
Dated , at San Francisco, California.
See CPUC Formal File For Appendix A
APPENDIX B
(Page 1)
Public Participation Hearings - R.00-05-001
September 2000
Speakers
Oakland, September 5, 2000
Ms. Huong Lien To
Mr. Joe Partansky
Ms. Patricia Boese, President, East Bay Self Help for Hard of Hearing39
Mr. Tony Papalia
Ms. Shelly Bergum, Executive Director, DDTP
Mr. John Darby, Chair DDTPAC
Mr. Michael Koeller, Late-Deafened Adult representative, DDTPAC
Mr. Wayne Baker, Disabled and Speech disabled representative, EPAC
Mr. Tom Davinroy
Mr. Rob Roth, Executive Director, Deaf Counseling Advocacy and Referral Agency (DCARA)
Mr. Winston Ching
Ms. Sharon Shafran
APPENDIX B
(Page 2)
Ms. Dana Mulvany, member, EPAC
Ms. Jackie Brand
Ms. Deborah Kaplan, Executive Director, World Institute on Disability
Mr. Ed Joseph
Ms. Laura Brewer
Ontario, September 11, 2000
Ms. Grace Tiessen, Vice President, Self Help for Hard of Hearing People California
Mr. Phil Kaplan, President, Self Help for Hard of Hearing People, San Fernando Valley
Ms. Sandi Streeter
Ms. Betty Coombs
Mr. William Py
Ms. Linda Hardy, Co-Director, Mojave Deaf Services, Victorville
Mr. Willis Mimms
Mr. Brian French
Mr. Mario Muller
Sacramento, September 13, 2000
Dr. Robert Segalman, national founder, Speech-to-Speech services
Ms. Judy Viera
Mr. Bill Stobbe
APPENDIX B
(Page 3)
Mr. Steve Birdlebough
Ms. Sally Davis
Mr. Earl Boynton
Mr. Joseph Ossman
"Tim"
San Diego, September 18, 2000
Ms. Barbara Yates
Mr. Al George
Ms. Joan Ireland
Mr. Tom Galey
Mr. Seymour Bernstein
Mr. Elias Papazis
Ms. Lee Ellis
APPENDIX B
(Page 4)
Workshop - R.00-05-001
October 2, 2000
Participants
Commissioner Henry Duque
Mark Vandervelden, CPUC Division of Strategic Planning
Mr. John Darby, Hard Of Hearing Community Representative, DDTPAC
Ms. Margo Friedrich, Verizon and Verizon DDTPAC Representative
Ms. Katy Lindsay, AT&T
Mr. Ken Kresse, California Association For The Deaf
Mr. Richard Ray
Ms. Dorothy Brookover
Mr. Galen Fisher
Mr. Tony Papalia, Coalition Of Agencies Serving The Deaf And
Hard Of Hearing
Mr. Wayne Baker, Disabled Communities representative, EPAC
Ms. Alana Beal, WorldCom
Mr. Bob Ingram, WorldCom Project Manager, CRS; member, DDTPAC and CRSAC
Pat Chow, WorldCom
Ms. Melissa Anes, Cooper White & Cooper law firm
Ms. Sylvia Batson, Citizens Communication
Mr. Michael Purcell, Pacific Bell; voting member, DDTPAC
APPENDIX B
(Page 5)
Ms. Pam Garza, Pacific Bell
Ms. Juliet Petrencs, Pacific Bell
Mr. Frank Bustillos, Pacific Bell
Ms. Mary Vanderpan, Attorney, Pacific Bell
Mr. Steve Schuppert, Pacific Bell
Mr. John Schweizer, Pacific Bell
Dr. Richard Panzer, Self Help for Hard of Hearing People, Napa
Ms. Susanne Paradis, DDTP Administrative and Human Resources Manager
Ms. Shelley Bergum, DDTP Executive Director
Mr. Tom Davinroy, Association of Late Deafened Adults (ALDA)
Mr. Bob Segalman, Department Of Rehabilitation; Founder, Speech-To-Speech
Mr. Hale Zukas
Ms. Helen Mickiewicz, Attorney, CPUC
Mr. Mike Koeller
(END OF APPENDIX B)
APPENDIX C
(Page 1)
A MESSAGE FROM THE CALIFORNIA PUBLIC UTILITIES COMMISSION:
WHAT RULES ARE NEEDED TO IMPLEMENT NEW LEGISLATION CONCERNING TELECOMMUNICATIONS SERVICES FOR THE DEAF AND DISABLED?
Recently, the California legislature enacted legislation (SB 669) that may require changes to the Deaf and Disabled Telecommunications Program (DDTP). The legislation does two things: (1) it creates the DDTP Administrative Committee; and (2) it requires that funds for the DDTP be held by the State Treasury rather than in a bank trust fund. The California Public Utilities Commission (Commission) is now conducting proceedings to implement SB 669 and requests your input.
Details of the rulemaking are available at HTTP:// www.cpuc.ca.gov or from the Commission's Public Advisor. Express your opinion at the Commission's public participation hearings (dates below). If you cannot attend, write or email your views to the Commission's Public Advisor:
California Public Utilities Commission
Public Advisor's Office
505 Van Ness Avenue, Room 5203
San Francisco, CA 94102
California Public Utilities Commission
Public Advisor's Office
320 West 4th Street, Suite 500
Los Angeles, CA 90013
PUBLIC PARTICIPATION HEARINGS:
September 5, 2000 Elihu Harris State Building Auditorium
1515 Clay Street
Oakland, California
APPENDIX C
(Page 2)
September 11, 2000 Ontario Convention Center
2000 Convention Center Way
Ontario, California
September 13, 2000 Employment Development Department Auditorium
722 Capitol Mall
Sacramento, California
September 18, 2000 Scottish Rite Center
1895 Camino Del Rio South
San Diego, California
All public participation hearings begin at 6:30 p.m. Sign language interpreters, captioning, voicing and disabled access at all locations. For other reasonable accommodations, contact the Commission's Public Advisor (contact information above) no later than five business days before each public participation hearing.
(END OF APPENDIX C)
APPENDIX D
(Page 1)
Deaf and Disabled Telecommunications Program (DDTP)
California Public Utilities Commission
Public Participation Hearings
September 2000
Commissioner: Henry Duque
Administrative Law Judge: Sarah R. Thomas, srt@cpuc.ca.gov
Commissioner Duque's Advisors: Timothy Sullivan and Lynne McGhee
Staff: Mark Vandervelden
Public Advisor: Rosalina White, public.advisor@cpuc.ca.gov
Introduction
In 1999, the California legislature passed a law relating to the Deaf and Disabled Telecommunications Program (DDTP) and several other programs not relevant to this proceeding. The law, known as Senate Bill 669, now appears in the California Public Utilities Code. (See attachment for full text of the law.) The California Public Utilities Commission (CPUC) is responsible to implement SB 669 and desires your input.
Description of SB 669
SB 669:
1) Requires funds for the DDTP be held in the State Treasury (instead of a bank trust fund as is currently done), and
APPENDIX D
(Page 2)
2) Creates the DDTP Administrative Committee (DDTPAC) as an advisory board for the CPUC to help develop, implement, and administer programs providing telecommunications services and equipment to the deaf or disabled.
Note: The CPUC created the DDTPAC prior to the passage of SB 669. SB 669 codifies the DDTPAC's existence.
Questions
The CPUC would like your input on the following questions. Feel free to address other issues about the DDTP at the Hearing, but be aware that the CPUC also desires your input on the issues raised below:
1. Does the DDTPAC's structure ensure that it achieves "appropriate representation by the consumers of telecommunications services for the deaf and disabled"?
a. Does the CPUC need to alter the composition of the DDTPAC to ensure "appropriate representation by the consumers of telecommunications services for the deaf and disabled?"
b. Are there groups that should be represented on the DDTPAC that are not included?
2. Are there groups represented on the DDTPAC that should not be?
a. Should the DDTPAC continue to have utility representatives as members?
b. Should the DDTPAC continue to have Commission employees as members?
APPENDIX D
(Page 3)
3. Should there be changes in how the DDTPAC advises the CPUC? If so, what changes?
4. What can the CPUC do to ensure that the DDTPAC has the authority and resources needed to "carry out the programs pursuant to the [CPUC's] direction, control, and approval?"
5. Are there things the CPUC can do to make sure that transfer of DDTP funds into the State Treasury does not cause delay in payment of DDTP vendors or interruptions in service to DDTP consumers? What changes are necessary in CPUC procedures to ensure timely payment of vendors and to avoid the disruption of services to the deaf and disabled community?
Attachment - SB 669
The portion of Senate Bill 669 relating to the DDTP now appears in California Public Utilities Code Sections 270-278. Those Sections are reproduced below. The most important Sections for today's Public Participation Hearing are Section 270(a)(4) and 278.
270.
(a) The following funds are hereby created in the State Treasury:
. . .
(4) The Deaf and Disabled Telecommunications Program Administrative Committee Fund.
. . .
(b) Moneys in the funds may only be expended pursuant to this chapter and upon appropriation in the annual Budget Act.
(c)
APPENDIX D
(Page 4)
(d) Moneys in each fund may not be appropriated, or in any other manner transferred or otherwise diverted, to any other fund or entity.
(e) Notwithstanding Section 7550.5 of the Government Code, on or before July 1, 2000, the Public Utilities Commission, in consultation with the Department of Finance, shall report to the Governor and the Legislature regarding a transition plan for programs associated with funds to be established within the State Treasury, as specified in subdivision (a). The transition plan report shall include information regarding the annual revenue to be deposited in, and the annual estimated expenditure for, each fund specified in subdivision (a). Advisory committees created by Section[ ] . . . 278 . . . shall provide information and input to the commission in development of the specified transition plan.
271. For each advisory board created pursuant to this chapter all of the following are applicable:
(a) The commission shall establish the number of, and qualifications for, persons to serve as members of each board, and shall appoint the members of each board. In determining the qualifications of persons who will serve as members of each board, the commission shall consider the purpose of the program, and shall attempt to achieve balanced public participation, for each board. The membership of each board shall reflect, to the extent possible, and consistent with existing law, the ethnic and gender diversity of the state.
(b) Each board shall determine, subject to approval by the commission, the time, location, and number of monthly meetings for each board.
(c) A majority of the number of members of each board constitutes a quorum.
APPENDIX D
(Page 5)
(d) A board cannot act at a meeting without the presence of a quorum.
(e) The affirmative vote of a majority of those members present at the meeting of a board is necessary in order to pass any motion, resolution, or measure.
(f) The commission shall determine for each board whether the board members shall receive expense reimbursement pursuant to Section 19820 of the Government Code and a per diem allowance, as specified in Section 11564.5 of the Government Code, or as established by the commission. Each member of a board who is not a commission or public utility employee, or who is not otherwise compensated by an employer for service on the board, shall be entitled to make a claim for and to receive a per diem allowance, if authorized by the commission. Each member of a board who is not a public utility employee, or who is not otherwise reimbursed by an employer for expenses incurred when serving on the board, shall be entitled to make a claim for and to receive expense reimbursement, if authorized by the commission. The commission shall allow all reasonable expense and per diem claims. The payments in each instance shall be made only from the fund that supports the activities of the board and shall be subject to the availability of money in that fund. The claims shall be filed by the board with the commission.
273. Each advisory board created pursuant to this chapter shall do both of the following:
APPENDIX D
(Page 6)
(a) Submit an annual budget to the commission. Within 90 calendar days after receiving a board's annual budget, the commission shall either accept, accept with conditions, or reject the submitted budget.
(b) Notwithstanding Section 7550.5 of the Government Code, submit, in accordance with procedures established by the commission, a report that shall describe the activities of the board during the prior reporting period. The report shall be submitted on an annual or more frequent basis, as ordered by the commission.
274. The commission may on its own order, whenever it determines it to be necessary, conduct financial audits of the revenues required to be collected and submitted to the commission for each of the funds specified in Section 270. The commission may on its own order, whenever it determines it to be necessary, conduct compliance audits on the compliance with commission orders with regard to each program subject to this chapter. The commission shall conduct a financial and compliance audit of program-related costs and activities at least once every three years. The first three-year period for a financial and compliance audit commences on January 1, 2000. The second and subsequent three-year periods for financial audits commence three years after the completion of the prior financial audit. The second and subsequent three-year periods for compliance audits commence three years after the completion of the prior compliance audit. The commission may contract with the Bureau of State Audits or the Department of Finance for all necessary auditing services. All costs for audits shall be paid from the fund that supports the activities of the board audited and shall be subject to the availability of money in that fund.
. . .
APPENDIX D
(Page 7)
278.
(a) (1) There is hereby created the Deaf and Disabled Telecommunications Program Administrative Committee, which is an advisory board to advise the commission regarding the development, implementation, and administration of programs to provide specified telecommunications services and equipment to persons in this state who are deaf or disabled, as provided for in Sections 2881, 2881.1,and 2881.2, and to carry out the programs pursuant to the commission's direction, control, and approval.
(b) In addition to the membership qualifications established by the commission pursuant to subdivision (a) of Section 271, the commission shall establish qualifications for persons to serve as members of the Deaf and Disabled Telecommunications Program Administrative Committee to achieve appropriate representation by the consumers of telecommunications services for the deaf and disabled.
(c) All revenues collected by telephone corporations in rates authorized by the commission to fund the programs specified in subdivision (a) 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 in the Deaf and Disabled Telecommunications Program Administrative Committee Fund. All interest earned by moneys in the fund shall be deposited in the fund. Any unexpended revenues collected prior to the operative date of this section shall be submitted to the commission, and the commission shall transfer those moneys to the Controller for deposit in the Deaf and Disabled Telecommunications Program Administrative Committee Fund. In addition, those revenues that are collected pursuant to subdivision (d) of Section 2881 shall be
APPENDIX D
(Page 8)
accounted for separately, as required by subdivision (b) of Section 2881.2, and deposited in the fund created by the commission pursuant to subdivision (b) of Section 2881.2.
(d) Moneys appropriated from the Deaf and Disabled Telecommunications Program Administrative Committee Fund to the commission shall be utilized exclusively by the commission for the program specified in subdivision (a), including all costs of the board and the commission associated with the administration and oversight of the program and the fund.
281. Any revenues that are deposited in funds created pursuant to this chapter shall not be used by the state for any purpose other than as specified in this chapter.
(END OF APPENDIX D)
39 Organizations for identification only.
