WEBVTT

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<v Batjer>Thank you
very much, operator.</v>

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Again, welcome to the California
Public Utilities Committee

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meeting on this day,
Wednesday, December 9th, 2020.

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And good morning, and
thank you for joining us today.

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I am calling this CPUC
Commissioner meeting

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of December 9th, 2020, to order.

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Today, there are three committees.

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The finance and
administration committee,

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the Policy and Governance Committee,

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and the emerging trends committee.

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Today, both the Policy and
the Governance Committee,

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and the Emerging Trends
Committee will meet.

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We will have an opportunity
for public comments

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following Q and A and discussion
from the Commissioners.

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If you wish to make a public
comment or ask a question,

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please dial 800-857-1917

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and enter code 5180519,

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and press star one.

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You will be placed into a queue

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and will be called upon to speak

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when we get to the
public comment period,

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which will be at the end
of each committee meeting.

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I will now turn to
Commissioner Rechtschaffen

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and Commissioner Randolph
to introduce the items

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on the Policy and
Governance Committee agenda.

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Commissioners?

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<v ->Thank you, President Batjer.</v>

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Welcome to the Policy
and Governance Committee,

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which I chair with
Commissioner Randolph,

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and we will both be
facilitating today's meeting.

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So just at the start, I wanna
give you a very short update

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on the revisions to the rules
of practice and procedure,

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which we voted on in September,

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and that are currently pending

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at the Office of Administrative Law.

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Our staff has identified
some necessary clarifications

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to the rules which we're working on.

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We anticipate issuing a draft resolution

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to implement those changes by February.

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So at this point, we
don't expect the rules

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to go into effect until
April of next year,

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the earliest as opposed
to January of next year.

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So stay tuned.

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Resolution coming in February.

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Any questions about that
from other Commissioners?

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Okay, if no questions,

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I will transition to the
substance of today's meeting.

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I would be remiss if not
commenting on the fact that

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this is Commissioner Randolph's

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last policy and governance meeting.

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She launched the committee in 2015

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to examine the PUC
practices and procedures

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and how we can make them
more effective and accessible,

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and like everything else she touches,

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she's done a fantastic job
here, given us a lot of ideas,

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provided a lot of vision

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that we will keep
working on to implement.

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In past meetings we've
discussed different ideas

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for developing policy at the Commission

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in ways that make our
processes more effective

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and allow for greater participation.

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And this can mean greater utilization

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of quasi legislative proceedings,

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which we have authority to do

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and which we've been discussing,

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or it can mean different
tools and processes

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in our rate making decisions.

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To continue this discussion,

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we wanna draw on the
practices of other agencies,

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and we're very fortunate to
have Doug Ito with us today

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to make a presentation.

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Doug is the director of our

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Consumer Protection and
Enforcement Division, CPED.

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Doug also previously worked at the

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California Air Resources Board,

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and he's gonna share his
experience at the Air Board

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and thoughts he may
have on how we can adapt

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some of the processes that CARB used

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to our own proceedings and processes

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within the structure and our
legal authorities, of course.

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After that, Commissioner
Randolph will provide

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some examples of
successes that she's had

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in increasing engagement
and expanding access.

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And then we'll have
a discussion facilitated

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by Conditional Randolph
about best practices

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and opportunities for going forward.

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So with that, I will
turn it over to Doug

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who has a slide show
that he'll walk us through

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and to presentation.

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<v ->Thank you, Commissioner.</v>

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Good morning Commissioners.

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My name is Doug Ito.

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I'm the director of the
Consumer Protection

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and Enforcement
Division here at the PUC.

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It's been a little over a year now

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since I joined the Commission.

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And despite the challenges
we're facing with the pandemic,

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I'm enjoying my new roles
and responsibilities here.

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I was asked to speak to you
today about my experience

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with public engagement while
working on program, policy,

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and regulatory development
at the Air Resources Board.

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In my last position there, I
served as the assistant chief

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over the transportation
and toxics division.

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I've always found public engagement

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to be personally rewarding

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and a critical part of
policy development.

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So I'm happy to share
a bit with you today.

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Next slide, please.

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In my experience, public
engagement can sometimes be viewed

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as a requirement or obligation,

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and when complex issues
combine with statutory deadlines,

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it doesn't always get the
time or attention it needs.

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So it's important to understand
why we engage the public.

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And on this slide,

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I've listed a number
of different reasons.

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All of them will vary
depending on what stage

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the project is in or the
circumstances surrounding it.

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But the focus of what I
wanna talk about today

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is in the context of the last bullet,

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to brainstorm and create new programs

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or solutions in collaboration
with public stakeholders.

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This is where I found
public engagement to be

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the most robust and exciting.

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Next slide.

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At CARB, I had the
opportunity to be involved in

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and lead a wide range of efforts,

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including the development of the

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sustainable freight action plan,

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regulations to further reduce emissions

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from freight equipment,

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guidelines for incentive programs

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like the Cap and Trade
Auction Proceeds Program,

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and the implementation
of Senate Bill 375,

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Sustainable Communities
and Climate Protection Program.

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In each of these efforts, the
process for bringing an item

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for consideration to the CARB board

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generally followed this
simplified framework

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with varying levels of public
and stakeholder engagement

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involved in each step.

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During data collection, the
engagement was generally limited

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to external stakeholders
that had data that we needed.

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This could be industry, academia,

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or other government entities.

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After the initial push to acquire data,

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we took time for staff analysis.

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Generally in most cases, we
found we needed more information

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and would reach out accordingly,

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but usually we focused
on developing our ideas

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and concepts internally.

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Next, we would publish, publicly release

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our initial staff concept.

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The timing of this was not
governed by a formal process,

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but it would generally take
place early in the project

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and could be as simple as
a PowerPoint presentation

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or more involved as a
concept paper or a white paper.

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These staff concepts would
be used to guide the discussion,

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GroundTruth our data in an analysis,

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and invite stakeholders to engage

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in the development process.

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In some cases, public engagement
ended up being the most

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resource intensive steps.

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How it was implemented
varied depending on the topic.

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And when our proposal was
ready for board consideration,

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it would follow a more formal
public comment process.

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I think it's important to point out

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that this entire framework
is highly iterative.

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A stakeholder engagement
occurred at each step.

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And even when the
item comes to the board,

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there can be iterations
where staff are asked

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to go back and collect more information,

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do more analysis, or
conduct more outreach.

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Next slide, please.

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This slide lists a few examples

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of the different types of
communication we employed,

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all of which will be familiar to you.

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But I did wanna highlight
one method that we used

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to engage stakeholders
on specific topics.

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It involved setting up
tables for four to 10 people

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and staffing each of
them with a note taker

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and a facilitator.

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These discussion
tables were topic based,

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and the facilitators were
trained to focus their effort

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on asking questions to
generate a conversation

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that would then inform the development

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of specific aspects of the
policy program or regulation.

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This was very rewarding

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in terms of the quality of
the feedback we received

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as well as the relationships
we built with the stakeholders.

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It often led to additional conversations

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throughout the project.

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This format took a lot of
planning and staff to implement,

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particularly because we often held

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several types of these
meetings across the state.

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It was also a new way of
engaging stakeholders for us.

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We were all learning,

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and there wasn't a specific
formula that worked every time.

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So we were constantly training staff

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and learning about new
tools that we could use.

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Next slide, please.

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I've summarized a few
of the lessons I learned

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through my experiences
at CARB on this slide,

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but overall I'm convinced
that the most successful

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public engagement
strategy for any project

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is one that's intentional, open,

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and takes place at
each step of the project.

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I would describe public engagement

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as the communication posture

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that staff adopts
throughout the development

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of the program, policy, or regulation.

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It really sets the tone
for how stakeholders

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will interact with each
other and with staff.

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It can also be time consuming
and staff resource intensive.

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And since the intent
is to generate ideas

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and solutions we haven't thought of,

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it is sometimes difficult to predict

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or control the
conversation as it happens.

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But in the context
of the public process,

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this is the kind of
discussion that we want,

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generation of new ideas
and a greater understanding

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across sometimes opposing perspective,

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and informed, and this
process informed the alternatives

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and trade-off that the board would

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ultimately make decisions on.

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So I'll close by noting that
since coming to the Commission,

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I've had the opportunity to participate

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in a few of our public
engagement events,

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which similarly encourage
public involvement

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through a toolbox of different strategy.

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Public engagement efforts are unique.

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And I think that just
highlights the importance

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of having dedicated staff,
such as Terrie Prosper

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and her team available as
a resource to the program.

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Last slide.

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Thank you again for this opportunity.

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It's been a pleasure
serving the Commission

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over this past year.

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I look forward to many more years,

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and I'm happy to answer
any questions you might have.

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<v ->Thank you very much, Doug.</v>

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Questions from other Commissioners.

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<v ->I, oh, go ahead, Martha.</v>

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<v ->Okay. Thank you, Doug.</v>

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I wondered if you had a perspective now

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coming from two different approaches,

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and one of the,

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I think kind of one of the
fundamental conundrums,

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if you will, is the need
for folks to become parties

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and therefore kinda come to us.

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And if you've ever thought about that,

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really that initiation
issue within our process

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and how coupling some of
these strategies that you have

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developed from experience that the ARB.

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How could they directly
address that conundrum

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at the necessity of being a party?

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<v ->The work that I've been
involved in the last year</v>

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has been primarily quasi legislative,

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and looking ahead to
some of the proceedings

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that we anticipate in 2021,

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I think I've recognized and
talked with our team at least

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about the need to engage
those potential stakeholders

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early in the process so that they learn

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how to become parties,

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what it means to participate
in the Commissions process.

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And it's really just that education

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so that they understand
that some of the ways

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that the Commission
operates might be different

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from what they're used to
in engaging other agencies.

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<v ->Although, can I ask a,</v>

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Interject or ask a follow up question?

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Under the paradigm
that you were describing,

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do the stakeholders even
need to become parties

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for some of the early brainstorming

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idea generation activities?

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Because you just,
you certainly distinguish

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between that early engagement,
and then the formal notice,

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and rulemaking comment
that will go before the board.

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Is it possible in our processes

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to have some of that
early generation idea,

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early idea generation and meetings,

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even with groups that don't
wanna become formal parties?

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<v ->That's a question
that I'm gonna get</v>

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a lot more experience on next year

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as we go through some of the proceedings

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that we have on tap.

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But in terms of this comparison
between CARB and CPUC,

00:14:50.550 --> 00:14:52.870
we didn't, at the Air Resources Board,

00:14:52.870 --> 00:14:55.990
they don't have the proceeding

00:14:55.990 --> 00:14:58.730
and the the party designation process.

00:14:58.730 --> 00:15:01.543
And so, that distinction,

00:15:03.260 --> 00:15:07.860
or that allowed for
a lot of conversation

00:15:07.860 --> 00:15:09.990
all throughout the process,
even from the beginning.

00:15:09.990 --> 00:15:13.660
And my understanding is that
through the Commission process

00:15:13.660 --> 00:15:16.270
and even during a proceeding,

00:15:16.270 --> 00:15:19.050
there is a lot of freedom
and a lot of different methods

00:15:19.050 --> 00:15:22.763
that we employ to engage
different stakeholders.

00:15:25.230 --> 00:15:28.310
I think the important thing
about the party aspect

00:15:28.310 --> 00:15:33.170
is that in order for comments
to show up on the record

00:15:33.170 --> 00:15:36.193
they do need to be
kind of put through the,

00:15:37.630 --> 00:15:40.303
let's do that more
formal filing process.

00:15:44.790 --> 00:15:46.500
<v ->Doug, this is Genevieve.</v>

00:15:46.500 --> 00:15:49.160
Thank you, and I definitely hear you

00:15:49.160 --> 00:15:53.320
in terms of that public
engagement is not simply

00:15:53.320 --> 00:15:57.030
something where you check
the box that's an event or a task.

00:15:57.030 --> 00:15:58.950
That it's meaningful,

00:15:58.950 --> 00:16:03.520
that the posture of the
staff of us is genuine,

00:16:08.230 --> 00:16:13.230
and that our value, our
valuing the public input,

00:16:15.320 --> 00:16:16.780
it comes across.

00:16:16.780 --> 00:16:18.430
So I'm just wondering at
the Air Resources Board,

00:16:18.430 --> 00:16:22.800
did you have experience
with non-English speaking

00:16:24.060 --> 00:16:25.760
members of the community?

00:16:25.760 --> 00:16:28.040
And also what,

00:16:28.040 --> 00:16:31.050
maybe I'll call 'em
non-traditional stakeholders.

00:16:31.050 --> 00:16:33.790
We have an order instituting rulemaking

00:16:33.790 --> 00:16:38.790
for incarcerated calling
services, incarcerated persons.

00:16:41.070 --> 00:16:46.000
We are foreseeing stakeholders
who don't have experience

00:16:46.000 --> 00:16:49.590
with our our proceedings,
whether quasi legislative,

00:16:49.590 --> 00:16:53.037
quasi judicial, quasi judicatory,

00:16:53.037 --> 00:16:56.230
all the different types of proceedings.

00:16:56.230 --> 00:17:01.230
Did you have some experience
with non-English speaking,

00:17:04.054 --> 00:17:06.730
the Air Force Board would
say are non-traditional

00:17:06.730 --> 00:17:08.563
stakeholders interested parties?

00:17:09.890 --> 00:17:14.890
<v ->Yeah, and the strategies
that were available</v>

00:17:15.530 --> 00:17:17.500
for the non-English
speaking stakeholders

00:17:17.500 --> 00:17:19.773
really expanded over
the last several years.

00:17:20.900 --> 00:17:25.010
In some of our workshops and
community meetings that we held

00:17:25.010 --> 00:17:30.010
we would actually prepare
both bilingual written handouts

00:17:30.950 --> 00:17:34.440
as well as, in some cases,
we brought two sets of

00:17:35.840 --> 00:17:38.000
presentation equipment and materials.

00:17:38.000 --> 00:17:39.950
So we had projectors and screens set up

00:17:39.950 --> 00:17:43.520
that had a bilingual
presentation that we projected

00:17:43.520 --> 00:17:46.840
while we provided the presentation.

00:17:46.840 --> 00:17:49.710
And if we knew we were
going into a community

00:17:49.710 --> 00:17:52.800
that was primarily Spanish
speaking, for instance,

00:17:52.800 --> 00:17:56.700
we would make sure that
we had a translator available

00:17:56.700 --> 00:17:59.250
that could come and assist folks

00:17:59.250 --> 00:18:01.823
that wanted to provide feedback.

00:18:07.780 --> 00:18:10.230
<v ->Commissioner Randolph,
did you have a question?</v>

00:18:13.150 --> 00:18:15.240
<v ->Yeah, I guess I'm
sort of thinking about</v>

00:18:15.240 --> 00:18:16.313
how to formulate it.

00:18:19.830 --> 00:18:21.280
One of the things that
I thought was helpful

00:18:21.280 --> 00:18:23.810
about your presentation was
your discussion about data

00:18:23.810 --> 00:18:27.570
because so much of what we do is very

00:18:27.570 --> 00:18:29.630
data intensive and highly technical,

00:18:29.630 --> 00:18:31.670
but that's also very true of

00:18:31.670 --> 00:18:33.630
the work you were doing as well.

00:18:33.630 --> 00:18:37.360
And so I was just wondering
if you had any thoughts

00:18:37.360 --> 00:18:42.360
about engaging sort
of the intersection of

00:18:42.760 --> 00:18:45.890
making sure the community stays engaged

00:18:45.890 --> 00:18:50.890
but also sort of not making
the processing too inaccessible

00:18:53.810 --> 00:18:57.980
because there's so much
data flying back and forth.

00:18:57.980 --> 00:18:59.930
So do you have any thoughts about that?

00:19:01.490 --> 00:19:04.150
<v ->Well, I think in
terms of data analytics</v>

00:19:04.150 --> 00:19:09.150
and communicating the data
in a way that's easily accessible

00:19:09.530 --> 00:19:13.963
is a huge effort and super important.

00:19:14.820 --> 00:19:17.860
We were just beginning to tap into

00:19:17.860 --> 00:19:22.860
a lot of the analytical tools
and GIS type applications

00:19:22.950 --> 00:19:27.190
to help illustrate some
of the geographic pieces

00:19:27.190 --> 00:19:30.503
that we were looking at,
even web-based maps.

00:19:31.380 --> 00:19:34.565
If you're familiar with
the CalEnviroScreen tool,

00:19:34.565 --> 00:19:36.870
CalEPA was doing a lot of work

00:19:36.870 --> 00:19:38.850
trying to figure out how best to

00:19:39.920 --> 00:19:44.190
identify and easily communicate
the areas of importance

00:19:44.190 --> 00:19:47.723
in some of their
aggregated tools like that.

00:19:51.427 --> 00:19:54.050
I think it's super essential.

00:19:54.050 --> 00:19:55.490
There's gotta be an intersection

00:19:55.490 --> 00:19:59.330
between the public engagement
kinda logistics process,

00:19:59.330 --> 00:20:02.270
but also the ability for technical staff

00:20:02.270 --> 00:20:04.080
to tap into some of these resources

00:20:04.080 --> 00:20:06.300
so that we can explain
some of the things

00:20:06.300 --> 00:20:08.380
that we're seeing with
the big data efforts,

00:20:08.380 --> 00:20:11.390
or even if it's a very.

00:20:11.390 --> 00:20:14.930
One regulatory development
effort I was involved in

00:20:14.930 --> 00:20:16.770
was with the ocean-going vessels.

00:20:16.770 --> 00:20:19.410
And there's a lot of
technical information

00:20:19.410 --> 00:20:21.990
that was involved, and
some of that was proprietary,

00:20:21.990 --> 00:20:24.880
but in all cases, we
needed to find a way

00:20:24.880 --> 00:20:28.990
to explain our rationale in a way that

00:20:28.990 --> 00:20:31.236
other stakeholders
were able to understand

00:20:31.236 --> 00:20:36.020
and see in a transparent way
how we were making decisions

00:20:36.020 --> 00:20:38.223
or how we were making a recommendation.

00:20:43.250 --> 00:20:45.050
<v ->It seems like just a reflection</v>

00:20:45.050 --> 00:20:47.720
of how you're describing
a lot of the work

00:20:50.110 --> 00:20:54.490
is really a reflection of the,
to use our nomenclature,

00:20:54.490 --> 00:20:58.510
our industry divisions
taking on this role,

00:20:58.510 --> 00:21:02.860
we assume their work and
not something that's bifurcated

00:21:02.860 --> 00:21:07.310
into somebody's job to
do outreach and so forth,

00:21:07.310 --> 00:21:10.460
but really making it an
integral part of the work

00:21:10.460 --> 00:21:15.310
where these community
meetings or public outreaches

00:21:15.310 --> 00:21:19.040
informing the work
as well as vice versa.

00:21:19.040 --> 00:21:21.350
And I do think that's a distinction here

00:21:22.490 --> 00:21:25.213
from how we have a bifurcation of,

00:21:26.270 --> 00:21:29.120
early on, and this is obviously varied.

00:21:29.120 --> 00:21:32.550
I know Genevieve mentioned
the incarcerated people calling.

00:21:32.550 --> 00:21:34.160
The industry division
there has been doing

00:21:34.160 --> 00:21:37.060
a tremendous amount
of outreach themselves,

00:21:37.060 --> 00:21:41.253
and with the intention of
learning from both sides.

00:21:43.160 --> 00:21:46.220
So I, but I don't think that's
a reality across the board.

00:21:46.220 --> 00:21:49.040
I think many of our different teams

00:21:49.040 --> 00:21:51.340
within industry division don't see

00:21:53.010 --> 00:21:56.270
an inherent role for them
to be kind of the educator

00:21:56.270 --> 00:21:57.190
or engager.

00:21:59.170 --> 00:22:01.000
Was, just a couple of questions.

00:22:01.000 --> 00:22:03.190
When you talked about these facilitated

00:22:03.190 --> 00:22:08.190
smaller kind of discussions,
was that in-house staff?

00:22:08.320 --> 00:22:10.990
Were those kind of the
staff working on the program,

00:22:10.990 --> 00:22:13.890
or who were those associates?

00:22:15.790 --> 00:22:18.386
<v ->This actually gets to
your initial comment.</v>

00:22:18.386 --> 00:22:19.940
I actually think it's both.

00:22:19.940 --> 00:22:23.490
I think having a bifurcated
unit that is specialized

00:22:23.490 --> 00:22:27.290
in public engagement is really necessary

00:22:27.290 --> 00:22:30.990
because they could keep
tabs on all the latest tools,

00:22:30.990 --> 00:22:35.990
techniques and really
have a collection of venues

00:22:37.300 --> 00:22:39.200
that are available.

00:22:39.200 --> 00:22:41.540
They can establish contacts
with community members

00:22:41.540 --> 00:22:43.400
or stakeholders in the area

00:22:43.400 --> 00:22:45.460
that make it a lot more efficient

00:22:45.460 --> 00:22:47.760
for a program to come in and say,

00:22:47.760 --> 00:22:49.810
hey, we we've got something to share.

00:22:49.810 --> 00:22:53.087
We need some feedback
in this geographic location.

00:22:53.087 --> 00:22:55.920
And they're not reinventing the wheel.

00:22:55.920 --> 00:22:59.180
The other thing that we
had started to do at the board

00:22:59.180 --> 00:23:03.130
was to combine our
communications across programs,

00:23:03.130 --> 00:23:06.270
because we were getting
feedback from the communities

00:23:06.270 --> 00:23:08.820
that there are so many things going on,

00:23:08.820 --> 00:23:11.580
and they had five different
programs reaching out

00:23:11.580 --> 00:23:15.030
to the same community saying,
we need your engagement.

00:23:15.030 --> 00:23:16.223
It's really important.

00:23:17.130 --> 00:23:19.180
But a lot of these folks are volunteers.

00:23:19.180 --> 00:23:20.260
They have other jobs,

00:23:20.260 --> 00:23:23.490
and it was easier for them to say,

00:23:23.490 --> 00:23:25.530
just give me a point of contact.

00:23:25.530 --> 00:23:26.850
We'll set up a meeting.

00:23:26.850 --> 00:23:29.970
We'll have five different
topic areas that you can cover.

00:23:29.970 --> 00:23:33.130
We'll bring in people and we
can have that conversation.

00:23:33.130 --> 00:23:34.500
So I think it's really,

00:23:34.500 --> 00:23:36.970
and then from an equipment standpoint,

00:23:36.970 --> 00:23:41.603
projectors, screens,
flip pads, all that stuff,

00:23:42.560 --> 00:23:45.440
there really is a role to have a unit

00:23:45.440 --> 00:23:47.883
that can really focus on that.

00:23:49.730 --> 00:23:54.730
For the community meeting
kind of dynamic, we brought both.

00:23:54.910 --> 00:23:58.340
So because these are
so staff-resourced intense,

00:23:58.340 --> 00:24:00.710
we couldn't handle
it with just our unit.

00:24:00.710 --> 00:24:02.940
So we were borrowing
folks who had experience

00:24:02.940 --> 00:24:06.000
with these events from other divisions

00:24:06.000 --> 00:24:07.750
so that we could staff tables

00:24:07.750 --> 00:24:10.950
and have topics, topical discussions.

00:24:10.950 --> 00:24:13.060
A lot of times the note takers were

00:24:13.060 --> 00:24:16.270
maybe not necessarily
tied to the specific program,

00:24:16.270 --> 00:24:19.420
but they could help
document the conversation

00:24:19.420 --> 00:24:22.893
and pull out the pertinent
points that we needed to record.

00:24:29.600 --> 00:24:32.763
<v ->Are there any other questions?</v>

00:24:37.110 --> 00:24:38.670
Doug, thank you very much.

00:24:38.670 --> 00:24:40.360
This is extremely helpful.

00:24:40.360 --> 00:24:44.200
I think the last interaction,

00:24:44.200 --> 00:24:46.204
the last back and forth you had

00:24:46.204 --> 00:24:50.460
with Commissioner Guzman
Aceves is very, very important.

00:24:50.460 --> 00:24:54.850
We are developing expertise
in our news and outreach office

00:24:54.850 --> 00:24:59.117
about better ways to reach
a broader set of stakeholders

00:24:59.117 --> 00:25:01.610
and members of the public,

00:25:01.610 --> 00:25:05.170
and hopefully industry
divisions can draw

00:25:05.170 --> 00:25:07.820
on the expertise of the units
within news and outreach

00:25:07.820 --> 00:25:12.450
to help in these innovative
engagement efforts.

00:25:12.450 --> 00:25:15.610
But I think, as Commissioner
Guzman Aceves suggests,

00:25:15.610 --> 00:25:18.370
it's very important
that it's also be seen

00:25:18.370 --> 00:25:23.010
as something that is
part and parcel of the work

00:25:23.010 --> 00:25:28.010
and not something separate
from the development of policy.

00:25:28.330 --> 00:25:30.333
I think that's really important.

00:25:31.410 --> 00:25:33.090
Good luck with your work.

00:25:33.090 --> 00:25:36.970
I'm delighted that
you are thinking about

00:25:36.970 --> 00:25:39.027
how to engage the public
earlier in the process

00:25:39.027 --> 00:25:40.870
and the work in CPED.

00:25:40.870 --> 00:25:42.610
And as you said, most of you work

00:25:42.610 --> 00:25:45.390
is in the quasi legislative space,

00:25:45.390 --> 00:25:47.290
which gives them a
little bit more flexibility

00:25:47.290 --> 00:25:49.283
in terms of our governing rules.

00:25:50.310 --> 00:25:52.930
With that, I think I will,
thanks again, Doug.

00:25:52.930 --> 00:25:55.490
I look, we look forward to
working with you on this,

00:25:55.490 --> 00:25:57.973
and I'll turn it over to
Commissioner Randolph.

00:25:59.090 --> 00:25:59.923
<v ->Thank you.</v>

00:26:01.230 --> 00:26:02.083
Thanks, Doug.

00:26:03.120 --> 00:26:06.150
I'm gonna, I think the last point that

00:26:07.790 --> 00:26:09.620
Commissioner Rechtschaffen raised,

00:26:09.620 --> 00:26:12.530
teeing off of Commissioner
Guzman Aceves' point,

00:26:12.530 --> 00:26:17.030
is kind of exactly the part
that I wanted to discuss,

00:26:17.030 --> 00:26:22.030
which is, how do we
take these outreach efforts

00:26:22.980 --> 00:26:27.350
and integrate them fully
into the proceeding process

00:26:27.350 --> 00:26:32.350
and make it a fundamental part of our

00:26:32.510 --> 00:26:36.103
decision-making strategy
at the Commission?

00:26:37.480 --> 00:26:42.480
We do have due process issues
that we need to be aware of.

00:26:44.090 --> 00:26:49.090
And as an agency, we have
always been keenly aware of that.

00:26:50.180 --> 00:26:51.770
We don't lose in court very often,

00:26:51.770 --> 00:26:53.780
but when we do, it tends to be

00:26:53.780 --> 00:26:57.970
because we didn't
follow our stated process.

00:26:57.970 --> 00:27:00.550
So I don't wanna lose sight of that,

00:27:00.550 --> 00:27:04.420
but it's also true that
the public utilities code

00:27:04.420 --> 00:27:07.050
specifically says that
we're not bound by

00:27:07.050 --> 00:27:08.750
the rules of evidence,

00:27:08.750 --> 00:27:13.400
and our responsibilities
to provide due process,

00:27:13.400 --> 00:27:15.317
in the form of notice and come in,

00:27:15.317 --> 00:27:17.880
and an opportunity to be heard

00:27:17.880 --> 00:27:20.800
can really be met in a number of ways.

00:27:20.800 --> 00:27:23.660
And so I think we always want to be open

00:27:23.660 --> 00:27:26.863
to the variety of ways
that that can occur.

00:27:28.150 --> 00:27:30.390
And there are numerous proceedings

00:27:30.390 --> 00:27:32.320
I think we can point to at the PUC

00:27:32.320 --> 00:27:35.770
where we have really
thought creatively about

00:27:35.770 --> 00:27:40.770
how to engage communities and parties

00:27:41.090 --> 00:27:43.320
that aren't always repeat players

00:27:44.860 --> 00:27:48.423
but sometimes participate
in a specific issue.

00:27:49.680 --> 00:27:51.340
In our new proposed rule

00:27:51.340 --> 00:27:53.340
about quasi legislative proceedings

00:27:53.340 --> 00:27:55.570
we listed some of the
components that we see as

00:27:55.570 --> 00:27:59.070
effective tools in QL proceedings,

00:27:59.070 --> 00:28:02.010
and that can include staff proposals

00:28:02.010 --> 00:28:04.690
that are prepared by
industry division staff

00:28:04.690 --> 00:28:06.920
so that the Commission
takes the opportunity

00:28:06.920 --> 00:28:08.580
to frame the issues more fully

00:28:08.580 --> 00:28:11.110
than we're able to do in a scoping memo.

00:28:11.110 --> 00:28:14.770
And I think, I thought Doug's
discussion was really good

00:28:14.770 --> 00:28:19.770
about sort of being
more open and intentional

00:28:20.180 --> 00:28:23.120
about data gathering
ahead of that process,

00:28:23.120 --> 00:28:25.090
ahead of the staff proposal process,

00:28:25.090 --> 00:28:29.203
and sort of getting input that
can frame the staff proposal.

00:28:30.210 --> 00:28:33.840
We have also used
workshops and working groups

00:28:33.840 --> 00:28:37.260
that allow for more give
and take and problem solving

00:28:37.260 --> 00:28:40.023
than the testimony
and hearing structure.

00:28:42.120 --> 00:28:43.720
And of course in QL proceedings,

00:28:43.720 --> 00:28:45.900
the Commissioners
have more responsibility

00:28:45.900 --> 00:28:48.550
for the content of the proceeding.

00:28:48.550 --> 00:28:51.140
I'm sorry, the content
of the proposed decision.

00:28:51.140 --> 00:28:54.763
So that can provide
opportunities as well.

00:28:56.230 --> 00:28:58.180
And there are any number of proceedings

00:28:58.180 --> 00:29:01.230
where I feel like we have made progress

00:29:01.230 --> 00:29:04.773
in incorporating those ideas.

00:29:05.780 --> 00:29:09.010
In the adaptation proceeding,

00:29:09.010 --> 00:29:13.150
we had several working group meetings

00:29:13.150 --> 00:29:15.920
that were centered around topics

00:29:15.920 --> 00:29:18.870
and included a variety of stakeholders.

00:29:18.870 --> 00:29:23.100
And those groups could
work through issues

00:29:23.100 --> 00:29:25.630
and share their proposals.

00:29:25.630 --> 00:29:28.960
And those proposals
had a significant impact

00:29:28.960 --> 00:29:33.960
on how the proposed decision
was eventually modified

00:29:34.380 --> 00:29:36.050
coming out of the staff proposal

00:29:36.050 --> 00:29:39.170
that we would release ahead
of each of the working groups.

00:29:39.170 --> 00:29:43.810
So it was staff proposal,
working group meeting,

00:29:43.810 --> 00:29:46.140
working group report,

00:29:46.140 --> 00:29:49.890
and all of that was used to
inform the proposed decision.

00:29:49.890 --> 00:29:54.890
And that iterative and
fully engaged process,

00:29:55.300 --> 00:29:57.263
I think was quite effective.

00:29:58.490 --> 00:30:03.230
And my fellow Commissioners
can also talk about

00:30:03.230 --> 00:30:07.030
their efforts to engage
the community in,

00:30:07.030 --> 00:30:10.410
particularly Commissioner
Guzman Aceves' examples

00:30:10.410 --> 00:30:12.630
around the San Joaquin Valley proceeding

00:30:12.630 --> 00:30:17.630
and some of the broadband outreach

00:30:17.940 --> 00:30:20.030
that she did out in the community,

00:30:20.030 --> 00:30:22.680
which was really
important in the before times

00:30:22.680 --> 00:30:24.740
when you could actually
go out in the community

00:30:24.740 --> 00:30:25.853
and engage people.

00:30:26.824 --> 00:30:30.150
So I really want to
encourage proceedings

00:30:30.150 --> 00:30:33.910
to use these strategies.

00:30:33.910 --> 00:30:37.333
And it's not just limited to
quasi legislative proceedings.

00:30:39.120 --> 00:30:42.140
There are certainly
proceedings that are rate setting

00:30:42.140 --> 00:30:45.850
because they do affect the
rates of a particular utility,

00:30:45.850 --> 00:30:49.840
but at heart, our policy
proceedings that lend themselves

00:30:49.840 --> 00:30:54.840
to that integrated process
and that back and forth.

00:30:58.690 --> 00:31:02.600
And our, I thought Doug's
comments about data

00:31:02.600 --> 00:31:05.600
were really helpful because
some of those proceedings

00:31:05.600 --> 00:31:07.850
can be extremely data intensive,

00:31:07.850 --> 00:31:10.520
and making sure that those are available

00:31:11.450 --> 00:31:16.450
and that there are
opportunities for parties

00:31:17.970 --> 00:31:20.610
to engage directly with the data.

00:31:20.610 --> 00:31:22.273
For instance, in IRP,

00:31:23.390 --> 00:31:26.470
parties have the opportunity
to access the model.

00:31:26.470 --> 00:31:29.670
And I will concede that these are,

00:31:29.670 --> 00:31:34.670
typically are repeat
players who have the staff

00:31:35.840 --> 00:31:39.010
and ability to use those models,

00:31:39.010 --> 00:31:41.120
but making sure that
we're as transparent

00:31:41.120 --> 00:31:42.040
with that as possible,

00:31:42.040 --> 00:31:45.253
I think is an important
goal for the Commission.

00:31:47.510 --> 00:31:52.510
And your typical rate
case or project application

00:31:54.010 --> 00:31:57.800
that may be more of
the kind of proceedings

00:31:57.800 --> 00:32:01.063
that does involve
testimony and hearings,

00:32:02.000 --> 00:32:05.380
that there may be sort of
less opportunities around that,

00:32:05.380 --> 00:32:09.510
but for rate setting policy,
rate setting proceedings

00:32:09.510 --> 00:32:12.070
but really our policy decisions,

00:32:12.070 --> 00:32:14.980
I think we should take every opportunity

00:32:14.980 --> 00:32:17.930
to use the working group process

00:32:17.930 --> 00:32:22.030
as we've done in resource
adequacy and other proceedings

00:32:22.030 --> 00:32:26.010
where parties can really
kinda unpack the issues

00:32:26.010 --> 00:32:30.960
and work through them, and present,

00:32:30.960 --> 00:32:33.370
put together a record
that can really inform

00:32:33.370 --> 00:32:36.623
the fundamentally policy
decision-making of the Commission.

00:32:37.460 --> 00:32:40.250
So those are kind of
my high-level thoughts,

00:32:40.250 --> 00:32:44.340
and happy to hear any
thoughts and discussion

00:32:44.340 --> 00:32:48.590
from my colleagues about
things that they have found useful

00:32:48.590 --> 00:32:50.013
and helpful over the years.

00:32:52.490 --> 00:32:55.910
<v Batjer>Well, I will say
Commissioner Rechtschaffen</v>

00:32:55.910 --> 00:32:57.630
and Commissioner Randolph,

00:32:57.630 --> 00:33:01.350
this has been a really important
and interesting discussion.

00:33:01.350 --> 00:33:04.010
And thank you,
Commissioner Guzman Aceves.

00:33:04.010 --> 00:33:07.930
Your input is, and how
hard you've worked on

00:33:07.930 --> 00:33:10.010
better and more thorough
public engagement

00:33:10.010 --> 00:33:11.650
has been exemplary.

00:33:11.650 --> 00:33:13.510
And I thank all of you for this.

00:33:13.510 --> 00:33:15.573
This is very, very helpful discussion.

00:33:16.580 --> 00:33:18.690
And of course, Doug,
thank you for your input.

00:33:18.690 --> 00:33:19.523
This was great.

00:33:19.523 --> 00:33:22.550
And for sharing your experience at CARB.

00:33:22.550 --> 00:33:23.383
Very important.

00:33:23.383 --> 00:33:25.470
I too found your data
analytics discussion

00:33:25.470 --> 00:33:27.530
extremely important.

00:33:27.530 --> 00:33:29.535
And so thank you.

00:33:29.535 --> 00:33:34.250
Are there any other
comments for Liane and Cliff,

00:33:34.250 --> 00:33:36.470
or questions from the Commissioners?

00:33:36.470 --> 00:33:38.060
Yes, Commissioner Shiroma.

00:33:40.150 --> 00:33:43.300
<v ->I just wanted to do a shout out</v>

00:33:43.300 --> 00:33:47.580
for the Public Participation
Hearings, the PPHs,

00:33:47.580 --> 00:33:51.650
that we're doing in
many of our proceedings.

00:33:51.650 --> 00:33:54.400
And speaking of the general rate cases,

00:33:54.400 --> 00:33:57.960
I think they've been
particularly important

00:33:57.960 --> 00:34:01.670
for us to hear directly
from the customers.

00:34:01.670 --> 00:34:06.670
And the the pandemic
has actually allowed for

00:34:07.580 --> 00:34:12.240
a lot more customers
to participate by phone,

00:34:12.240 --> 00:34:17.240
and to weigh in, and versus
having to appear in person.

00:34:19.540 --> 00:34:21.053
So we've talked before about,

00:34:21.970 --> 00:34:26.050
as we come out of a
pandemic, to retain that feature.

00:34:26.050 --> 00:34:31.050
That because some of the
utilities territories are vast,

00:34:31.690 --> 00:34:33.800
and it's just not possible
for people to come

00:34:33.800 --> 00:34:36.080
to a meeting in person.

00:34:36.080 --> 00:34:38.700
And I think it's been a
very important feature.

00:34:38.700 --> 00:34:42.360
Also, we heard from our travel advisor

00:34:42.360 --> 00:34:45.710
Ken Holbrook at our
last committee meeting

00:34:45.710 --> 00:34:50.710
where he spoke of taking a fresh look

00:34:51.190 --> 00:34:54.810
at the tribal consultation
policy that we have

00:34:54.810 --> 00:34:59.810
to assure that we are
providing for best practices,

00:35:02.120 --> 00:35:04.040
for meaningful consultation,

00:35:04.040 --> 00:35:08.810
for the kind of outreach
that we need to do

00:35:08.810 --> 00:35:12.150
to the tribal sovereign nations,

00:35:12.150 --> 00:35:15.030
and for assuring, as Doug outlined,

00:35:15.030 --> 00:35:20.030
the other Commissioners have outlined,

00:35:20.071 --> 00:35:24.490
to have that ability for the public

00:35:24.490 --> 00:35:29.490
and for the stakeholders
to weigh in on shaping

00:35:29.890 --> 00:35:32.410
the direction of a proceeding,
the policies of a proceeding.

00:35:32.410 --> 00:35:33.570
So thank you.

00:35:33.570 --> 00:35:34.630
Thank you for the opportunity,

00:35:34.630 --> 00:35:37.303
and thank you for the
committee topic today.

00:35:39.881 --> 00:35:41.680
<v ->President Batjer.</v>

00:35:41.680 --> 00:35:43.230
President Batjer, I don't know.

00:35:44.480 --> 00:35:46.710
If there are no other questions,

00:35:46.710 --> 00:35:50.060
I do wanna just say
what our next steps are,

00:35:50.060 --> 00:35:51.726
but I wanna see if-
<v Batjer>Sure.</v>

00:35:51.726 --> 00:35:53.140
<v ->I don't know.</v>

00:35:53.140 --> 00:35:55.580
<v Batjer>Yeah, I don't think
we have any other questions.</v>

00:35:55.580 --> 00:35:57.410
So sure, absolutely.

00:35:57.410 --> 00:35:58.243
<v ->Okay, well, I do.</v>

00:35:58.243 --> 00:36:01.440
I wanna echo your
remarks, your comments,

00:36:01.440 --> 00:36:04.630
that I think the discussion
here was very helpful

00:36:04.630 --> 00:36:07.930
and will inform us going forward.

00:36:07.930 --> 00:36:12.460
And some of the divisions
do the kind of work that

00:36:12.460 --> 00:36:15.010
we're talking about, but not all,

00:36:15.010 --> 00:36:18.450
and there's variation
even within the divisions.

00:36:18.450 --> 00:36:21.660
One thing for us to think
about as a Commission

00:36:21.660 --> 00:36:25.330
is how we institutionalize
the best practices

00:36:25.330 --> 00:36:27.410
for policy development.

00:36:27.410 --> 00:36:30.360
And again, this can be in
quasi legislative proceedings

00:36:30.360 --> 00:36:31.610
or in other proceedings,

00:36:31.610 --> 00:36:35.430
as Commissioner Randolph talked about.

00:36:35.430 --> 00:36:38.730
Our Office of Commission,
Office of the Commission

00:36:38.730 --> 00:36:41.710
is researching this question.

00:36:41.710 --> 00:36:45.340
It's gonna be doing a little
bit of a deep dive about

00:36:45.340 --> 00:36:48.700
the best practices among
the different divisions,

00:36:48.700 --> 00:36:52.390
as well as other agencies,
CARB and otherwise.

00:36:52.390 --> 00:36:54.513
In Doug's presentation, obviously,

00:36:54.513 --> 00:36:59.513
it's very interesting to get a
window into what CARB does.

00:36:59.860 --> 00:37:03.100
And this committee without
Commissioner Randolph

00:37:04.280 --> 00:37:06.690
will return back to the group

00:37:06.690 --> 00:37:08.323
with more ideas for discussion.

00:37:14.970 --> 00:37:16.321
<v Batjer>I share your tears.</v>

00:37:16.321 --> 00:37:18.090
(laughing)

00:37:18.090 --> 00:37:20.113
Tears and joy. Tears and joy.

00:37:21.210 --> 00:37:22.713
Okay, well, thank you.

00:37:25.341 --> 00:37:27.530
Thank you again,
Commissioner Rechtschaffen

00:37:27.530 --> 00:37:28.590
and Commissioner Randolph,

00:37:28.590 --> 00:37:31.560
and of course, Doug Ito for all of your

00:37:31.560 --> 00:37:35.970
interesting discussion
points for us to consider

00:37:36.910 --> 00:37:38.613
in our future proceedings.

00:37:40.060 --> 00:37:42.270
If there are no more items to discuss,

00:37:42.270 --> 00:37:44.710
we'll now turn to the
Emerging Trends Committee

00:37:44.710 --> 00:37:46.682
led by Commissioner Guzman Aceves.

00:37:46.682 --> 00:37:48.007
<v Anne>President Batjer.</v>

00:37:48.007 --> 00:37:49.217
<v Batjer>Oh, yeah.</v>

00:37:49.217 --> 00:37:50.050
<v Anne>President Batjer,
this is Anne Simon.</v>

00:37:50.050 --> 00:37:52.608
Would you like to take public comments?

00:37:52.608 --> 00:37:55.823
<v Batjer>Yeah, sorry, I
got ahead of myself.</v>

00:37:56.680 --> 00:37:58.800
Yes, I am so sorry.

00:37:58.800 --> 00:38:02.430
We will now turn to, if
there's any public comment,

00:38:02.430 --> 00:38:04.770
I'll turn back to the operators

00:38:04.770 --> 00:38:08.100
and ask if we have anyone
on the line for public comment.

00:38:08.100 --> 00:38:10.980
Please remind them
how to get on the line,

00:38:10.980 --> 00:38:12.233
operator as well, please.

00:38:14.520 --> 00:38:15.450
<v Anne>Thank you.</v>

00:38:15.450 --> 00:38:17.700
The public comment line is now open.

00:38:17.700 --> 00:38:19.640
If you would like to
make a public comment,

00:38:19.640 --> 00:38:21.360
please press star one.

00:38:21.360 --> 00:38:24.190
You will be prompted
to record your name.

00:38:24.190 --> 00:38:25.300
You'll be placed in a queue

00:38:25.300 --> 00:38:27.770
in the order that you
have identified yourself,

00:38:27.770 --> 00:38:29.950
and I will announce your
name when it is your turn.

00:38:29.950 --> 00:38:31.960
Once again, if you would
like to make a public comment,

00:38:31.960 --> 00:38:34.100
please press star one.

00:38:34.100 --> 00:38:36.750
Take just a moment for
those to start coming through.

00:38:53.620 --> 00:38:57.173
<v Batjer>Okay, operator, is
there anybody on the line?</v>

00:38:58.200 --> 00:38:59.880
<v Anne>We have no public
comments coming through</v>

00:38:59.880 --> 00:39:00.713
at this time.

00:39:01.910 --> 00:39:04.220
<v Batjer>Okay. Thank you, operator.</v>

00:39:04.220 --> 00:39:07.200
And with no further public comments

00:39:07.200 --> 00:39:09.370
or people who are waiting on the line,

00:39:09.370 --> 00:39:14.370
I think we will now turn to the
Emerging Trends Committee

00:39:15.020 --> 00:39:18.830
led by Commissioner Guzman
Aceves and Commissioner Shiroma.

00:39:18.830 --> 00:39:19.950
Commissioners?

00:39:19.950 --> 00:39:22.260
<v ->Yes, thank you,
President Batjer.</v>

00:39:22.260 --> 00:39:25.370
Today, as you know,
we have Director Osborn

00:39:25.370 --> 00:39:27.420
from our communications division

00:39:27.420 --> 00:39:29.920
that's gonna provide an update for us

00:39:29.920 --> 00:39:32.880
on all things broadband that are,

00:39:32.880 --> 00:39:34.630
not all things but some
of the major things

00:39:34.630 --> 00:39:39.630
that we're looking at with
the Federal RDOF Program,

00:39:39.750 --> 00:39:43.840
as well as how it relates to
our state broadband program.

00:39:43.840 --> 00:39:47.170
And have a couple of
discussion items after that.

00:39:47.170 --> 00:39:51.283
So it looks like we have
Director Osborne on.

00:39:55.190 --> 00:39:57.963
Maybe give him a second
to switch the screen here.

00:40:01.920 --> 00:40:03.010
<v ->Can you hear me?</v>

00:40:03.010 --> 00:40:03.843
<v ->Yes.</v>

00:40:05.520 --> 00:40:07.820
<v ->Great. Can we put
the first slide up please?</v>

00:40:12.260 --> 00:40:13.093
All right. Thank you.

00:40:13.093 --> 00:40:14.900
So as Commissioner Guzman Aceves said,

00:40:14.900 --> 00:40:18.020
I'm Robert Osborn, director
of the communications division.

00:40:18.020 --> 00:40:21.030
Today I'm gonna talk
about how staff are realigning

00:40:21.030 --> 00:40:22.990
the California Advanced Services Fund

00:40:22.990 --> 00:40:26.090
to take better advantage of
federal funding opportunities

00:40:26.090 --> 00:40:27.960
and better align with
the Governor's broadband

00:40:27.960 --> 00:40:30.320
for all executive order.

00:40:30.320 --> 00:40:32.170
The FCC, I just wanna remind everyone,

00:40:32.170 --> 00:40:35.250
the FCC quiet period for
communication about bids

00:40:35.250 --> 00:40:39.080
and bidder strategies is
in place until January 29th.

00:40:39.080 --> 00:40:42.070
So I will not discuss
specific auction results

00:40:42.070 --> 00:40:44.480
during my presentation today.

00:40:44.480 --> 00:40:45.790
Since the program's inception,

00:40:45.790 --> 00:40:49.480
the CPC has awarded 77
broadband infrastructure projects

00:40:49.480 --> 00:40:52.390
between 2008 and 2019.

00:40:52.390 --> 00:40:54.550
These include last mile, hybrid,

00:40:54.550 --> 00:40:56.530
and middle mile projects that provide

00:40:56.530 --> 00:40:58.360
or will provide broadband access

00:40:58.360 --> 00:41:03.360
to an estimated 320,734 households.

00:41:04.440 --> 00:41:06.290
Could we go to the next slide please?

00:41:11.270 --> 00:41:14.150
So why realignment?

00:41:14.150 --> 00:41:16.810
The CASF program isn't designed to

00:41:16.810 --> 00:41:19.420
effectively close the digital divide.

00:41:19.420 --> 00:41:22.030
Through our experience, program rules

00:41:22.030 --> 00:41:25.030
have created a patchwork
of often non-contiguous

00:41:25.030 --> 00:41:27.430
eligible areas that are, in many cases,

00:41:27.430 --> 00:41:30.460
not viable CASF projects.

00:41:30.460 --> 00:41:33.000
Providers have applied for only

00:41:33.000 --> 00:41:35.740
return on investment positive projects,

00:41:35.740 --> 00:41:38.530
and high cost communities
are repeatedly left behind.

00:41:38.530 --> 00:41:42.530
And this goes for federally
eligible areas as well.

00:41:42.530 --> 00:41:45.470
Moreover, incumbents have
had the ability to preemptively

00:41:45.470 --> 00:41:48.260
claim territory under
a right of first refusal,

00:41:48.260 --> 00:41:52.040
and then if they later decide
not to upgrade that territory,

00:41:52.040 --> 00:41:55.170
leave the area
continuing to be unserved.

00:41:55.170 --> 00:41:58.310
And then finally the program
offers no technical support

00:41:58.310 --> 00:42:00.303
to uncertain communities.

00:42:01.200 --> 00:42:03.020
So we have some very prominent providers

00:42:03.020 --> 00:42:05.820
who are actively involved
in the legislative process,

00:42:05.820 --> 00:42:08.950
but they've refused to
participate in the program.

00:42:08.950 --> 00:42:13.330
With AB 1665, California was
the only state to move backward

00:42:13.330 --> 00:42:15.500
in eligibility on the speed threshold

00:42:15.500 --> 00:42:18.710
from a previous standard of
six megabits per second down

00:42:18.710 --> 00:42:21.950
and 1.5 megabits per second up,

00:42:21.950 --> 00:42:25.253
down to a threshold of six down, one up.

00:42:26.360 --> 00:42:30.320
In AB 1665, also some
additional roadblocks

00:42:30.320 --> 00:42:31.850
were put into place including a

00:42:31.850 --> 00:42:34.930
prohibition of funding
middle mile only projects,

00:42:34.930 --> 00:42:37.760
and also prohibition of
awarding CASF money

00:42:37.760 --> 00:42:42.150
to areas eligible for the
FCC's Connect America fund.

00:42:42.150 --> 00:42:45.650
This created an even more untenable

00:42:45.650 --> 00:42:47.483
patchwork across the state.

00:42:48.340 --> 00:42:52.490
Prior to AB 1665, the
CPC leveraged $40 million

00:42:52.490 --> 00:42:56.490
to get $155 million
in federal RF funding.

00:42:56.490 --> 00:42:58.800
But for the most part,
California has missed out

00:42:58.800 --> 00:43:00.770
on major federal funding opportunities

00:43:00.770 --> 00:43:04.350
due to a lack of state
coordination and advocacy.

00:43:04.350 --> 00:43:08.340
Some examples include the
CAF Phase One Mobility Fund,

00:43:08.340 --> 00:43:10.770
Connect America Fund, Auction 903

00:43:10.770 --> 00:43:13.230
left about half of the money available

00:43:13.230 --> 00:43:15.130
to California on the table.

00:43:15.130 --> 00:43:17.650
USDA Reconnect, we've been unable to

00:43:17.650 --> 00:43:19.780
take much advantage of that.

00:43:19.780 --> 00:43:22.470
And then finally Connect
America Fund Phase Two

00:43:22.470 --> 00:43:25.170
for the incumbent
local exchange carriers

00:43:25.170 --> 00:43:29.820
was more than $500 million,
$590 million, excuse me,

00:43:29.820 --> 00:43:32.770
that funded service for 10
megabits per second down

00:43:32.770 --> 00:43:34.120
and one up.

00:43:34.120 --> 00:43:39.010
And those areas are now
eligible to be upgraded to 25.3.

00:43:39.010 --> 00:43:43.210
So the need to make the
best use of limited state funds,

00:43:43.210 --> 00:43:46.110
particularly during the
pandemic and budget crisis,

00:43:46.110 --> 00:43:49.510
and to maximize federal dollars
is more important than ever.

00:43:49.510 --> 00:43:52.730
We estimate the cost to
build out a network statewide

00:43:52.730 --> 00:43:55.730
to deliver 25 megabits per second down,

00:43:55.730 --> 00:43:57.510
and three megabits per second up,

00:43:57.510 --> 00:44:02.510
or greater, to all households
would be around $5.3 billion.

00:44:03.960 --> 00:44:07.540
And the current CASF amount
earmarked for this program

00:44:07.540 --> 00:44:09.660
is only 565 million.

00:44:09.660 --> 00:44:12.263
So just over 10% of the required amount.

00:44:13.210 --> 00:44:16.830
With AB 82, the legislature
allowed for CASF to once again

00:44:16.830 --> 00:44:20.120
leverage state funding to be
combined with federal funding.

00:44:20.120 --> 00:44:21.870
Let's go to the next slide, please.

00:44:26.220 --> 00:44:28.590
So, in terms of the realignment,

00:44:28.590 --> 00:44:30.413
I've broken this into three stages.

00:44:31.310 --> 00:44:34.190
The first stage is
from the period of April

00:44:34.190 --> 00:44:36.610
to October this year,

00:44:36.610 --> 00:44:40.180
and really the focus of stage
one has been to promote RDOF

00:44:40.180 --> 00:44:42.840
and to reconcile the CASF project.

00:44:42.840 --> 00:44:47.840
So we had over 50, we had
54 applications on May 4th,

00:44:48.520 --> 00:44:51.140
and a lot of those had RDOF overlap.

00:44:51.140 --> 00:44:53.840
So the reconciliation
was trying to separate out

00:44:53.840 --> 00:44:57.120
those that had RDOF
overlap and those that did not.

00:44:57.120 --> 00:45:00.510
Stage two, which is the
stage we're in right now,

00:45:00.510 --> 00:45:05.320
is a matter of awarding the
non-RDOF projects for CASF,

00:45:05.320 --> 00:45:09.230
and then creating RDOF
leverage, as I mentioned earlier.

00:45:09.230 --> 00:45:11.740
And finally, stage three,

00:45:11.740 --> 00:45:15.470
which will be from January
through October of next year,

00:45:15.470 --> 00:45:18.410
is to, the focus will be
to award the kicker funds,

00:45:18.410 --> 00:45:21.210
and I'll go into more
detail what that means,

00:45:21.210 --> 00:45:22.290
to the RDOF winners,

00:45:22.290 --> 00:45:26.793
and then also award the
remaining CASF products.

00:45:28.240 --> 00:45:29.190
Next slide, please.

00:45:31.750 --> 00:45:34.070
So more on stage one.

00:45:34.070 --> 00:45:37.940
What were we trying to
do and how did we do it?

00:45:37.940 --> 00:45:41.200
So on the left side you can
see what we're trying to do

00:45:41.200 --> 00:45:43.970
is ensure that California
maximizes the eligible

00:45:43.970 --> 00:45:46.280
federal money available to it,

00:45:46.280 --> 00:45:49.240
and also maximize the
number of RDOF bid participants

00:45:49.240 --> 00:45:50.373
in California.

00:45:51.350 --> 00:45:52.380
How did we do that?

00:45:52.380 --> 00:45:55.640
Well, we removed
the statutory prohibition

00:45:55.640 --> 00:45:56.570
for federal matching,

00:45:56.570 --> 00:46:01.170
and that was through
AB 82, AB 82, excuse me.

00:46:01.170 --> 00:46:03.150
And then we also
created a kicker proposal

00:46:03.150 --> 00:46:06.550
to make up the difference
between the RDOF reserve price

00:46:06.550 --> 00:46:07.823
and the final bids.

00:46:08.900 --> 00:46:11.120
And then we've been promoting RDOF

00:46:11.120 --> 00:46:15.470
and provided technical
assistance on RDOF to applicants.

00:46:15.470 --> 00:46:18.120
We also hosted in the FCC webinar,

00:46:18.120 --> 00:46:20.940
and we provided an interactive map

00:46:20.940 --> 00:46:25.080
that had the reserve price information,

00:46:25.080 --> 00:46:27.110
as well as estimated build-out costs

00:46:27.110 --> 00:46:28.903
for all the RDOF locations.

00:46:30.220 --> 00:46:32.870
A little bit on the kicker proposal.

00:46:32.870 --> 00:46:36.200
We created this proposal
to supplement RDOF,

00:46:37.400 --> 00:46:40.440
and with the kicker money
that would be available

00:46:40.440 --> 00:46:43.890
to RDOF winners, there
are some obligations.

00:46:43.890 --> 00:46:45.580
So we have three levels.

00:46:45.580 --> 00:46:50.220
Level one would provide
a 10% kicker fund,

00:46:50.220 --> 00:46:53.780
basically kickers sub to the
10% of their original RDOF

00:46:53.780 --> 00:46:57.093
reserve price for those areas,
which for which they won.

00:46:58.170 --> 00:47:02.650
That would include the
gigabit capable infrastructure,

00:47:02.650 --> 00:47:07.650
which is one of the preferred
thresholds for RDOF.

00:47:08.500 --> 00:47:11.330
Another one is meaningful
tribal consultation,

00:47:11.330 --> 00:47:13.150
which is consistent with the CPC's

00:47:13.150 --> 00:47:15.430
tribal consultation policy.

00:47:15.430 --> 00:47:17.720
Another important one is open access.

00:47:17.720 --> 00:47:19.670
So for instance, in the last mile,

00:47:19.670 --> 00:47:23.230
providing service competition
akin to the utopia model

00:47:23.230 --> 00:47:27.470
that we saw in, or that
we're seeing in Utah.

00:47:27.470 --> 00:47:30.700
And then also non-discriminatory
access for middle mile.

00:47:30.700 --> 00:47:33.630
And then finally
providing California lifeline.

00:47:33.630 --> 00:47:36.080
This last item about California lifeline

00:47:36.080 --> 00:47:38.380
is a condition for the 10%.

00:47:38.380 --> 00:47:40.690
Keep in mind that all RDOF recipients

00:47:40.690 --> 00:47:42.940
are required to provide federal lifeline

00:47:42.940 --> 00:47:46.160
as part of their ETC application.

00:47:46.160 --> 00:47:48.740
The level two, which would
provide an additional 10%,

00:47:48.740 --> 00:47:51.400
would be the level
one plus a requirement

00:47:51.400 --> 00:47:54.113
for offering a low-income
plan for 10 years.

00:47:54.960 --> 00:47:57.650
Long-term no costs fiber leases,

00:47:57.650 --> 00:48:01.147
otherwise known as
irrevoke or sorry, IRU's.

00:48:02.760 --> 00:48:04.500
I call them irrevocable rights of use,

00:48:04.500 --> 00:48:06.840
but I think they're
indefeasible rights of use

00:48:06.840 --> 00:48:08.033
is the correct term.

00:48:08.930 --> 00:48:12.460
And then also outside financing

00:48:12.460 --> 00:48:14.060
equal to at least twice the amount

00:48:14.060 --> 00:48:15.913
of the request to kicker amount.

00:48:17.200 --> 00:48:19.030
I'm sorry, that was level two plus.

00:48:19.030 --> 00:48:22.363
Level two, and I'm sorry
that this is rather confusing.

00:48:23.550 --> 00:48:26.063
Level two, sorry, just
to take a step back,

00:48:26.940 --> 00:48:28.930
designation is a carrier of last resort.

00:48:28.930 --> 00:48:32.560
So a core obligation
would be part of level two.

00:48:32.560 --> 00:48:35.530
There's a third level
that's called level two plus,

00:48:35.530 --> 00:48:38.190
but that is available
only to public entities.

00:48:38.190 --> 00:48:41.280
And I don't know if we
have any public entities

00:48:41.280 --> 00:48:43.003
that are eligible for that.

00:48:44.230 --> 00:48:46.080
Let's go onto the next slide, please.

00:48:48.720 --> 00:48:52.230
So stage two, awarding non-RDOF, CASF,

00:48:52.230 --> 00:48:53.760
and creating RDOF leverage,

00:48:53.760 --> 00:48:55.480
designing the new program structure.

00:48:55.480 --> 00:48:58.620
So expanding CASF to provide tribal

00:48:58.620 --> 00:49:00.230
technical assistance to tribes.

00:49:00.230 --> 00:49:03.110
As I mentioned earlier, one
of the drawbacks to CASF,

00:49:03.110 --> 00:49:04.810
is we don't really have a tribal,

00:49:04.810 --> 00:49:07.620
or have a technical
assistance component.

00:49:07.620 --> 00:49:10.800
To that end, we
created a tribal technical

00:49:10.800 --> 00:49:13.490
assistance grant program,

00:49:13.490 --> 00:49:15.150
and also prioritized projects

00:49:15.150 --> 00:49:17.320
that are not dependent on RDOF.

00:49:17.320 --> 00:49:18.410
So as I mentioned earlier,

00:49:18.410 --> 00:49:21.410
we created this tribal technical
assistance grant program,

00:49:21.410 --> 00:49:24.880
up to $5 million from CASF to develop,

00:49:24.880 --> 00:49:27.370
for tribes to develop broadband plans.

00:49:27.370 --> 00:49:30.150
And we've already
made our first nine awards

00:49:30.150 --> 00:49:31.960
from the October application,

00:49:31.960 --> 00:49:33.680
and those are made in November.

00:49:33.680 --> 00:49:35.150
And then secondly,
as I mentioned earlier,

00:49:35.150 --> 00:49:37.900
we bifurcated the CASF of applications

00:49:37.900 --> 00:49:40.300
into those that have
RDOFs and those that don't.

00:49:41.720 --> 00:49:42.670
Next slide, please.

00:49:44.580 --> 00:49:47.620
So stage three, which
will begin in January,

00:49:47.620 --> 00:49:51.400
we will be looking to implement
the RDOF kicker proposal.

00:49:51.400 --> 00:49:54.760
Secondly, close out the
CASF application cycle.

00:49:54.760 --> 00:49:56.670
So for those applications,

00:49:56.670 --> 00:49:59.190
for CASF that do have RDOF overlap,

00:49:59.190 --> 00:50:02.530
our plan is to look at what areas

00:50:02.530 --> 00:50:06.130
those CASF applicants
received an RDF funding,

00:50:06.130 --> 00:50:08.310
if they did receive RDOF funding,

00:50:08.310 --> 00:50:12.190
and then reconcile the
CASF award based on that.

00:50:12.190 --> 00:50:15.111
And then also continuing
leveraging RDOF.

00:50:15.111 --> 00:50:20.111
So awarding the kicker
funds will be the focus,

00:50:21.140 --> 00:50:24.910
assuming that the kicker
fund proposal is approved.

00:50:24.910 --> 00:50:29.390
And then also finally,
awarding out the CSF projects,

00:50:29.390 --> 00:50:31.663
as I mentioned, minus the RDOF awards.

00:50:33.110 --> 00:50:36.620
So a couple of things to
address on the kicker proposal.

00:50:36.620 --> 00:50:38.700
Our intent was to have
this proposal go out

00:50:38.700 --> 00:50:40.100
prior to the RDOF auction,

00:50:40.100 --> 00:50:42.810
but we weren't able
to do it that quickly.

00:50:42.810 --> 00:50:45.340
Moreover, the FCC rules prevent,

00:50:45.340 --> 00:50:48.680
well, they make ineligible
any RDOF location

00:50:48.680 --> 00:50:50.550
that receives outside funding.

00:50:50.550 --> 00:50:52.670
So we didn't want to award kicker money

00:50:52.670 --> 00:50:54.271
prior to the RDOF auction,

00:50:54.271 --> 00:50:59.271
which began on October 29th
and ended November 24th.

00:51:01.150 --> 00:51:04.760
So a couple of questions on,
that I've had on this proposal,

00:51:04.760 --> 00:51:07.150
is the proposal deploying broadband

00:51:07.150 --> 00:51:08.980
or leveraging public benefits?

00:51:08.980 --> 00:51:10.600
And the answer is it does both.

00:51:10.600 --> 00:51:14.280
So the proposal would
allow RDOF service providers

00:51:14.280 --> 00:51:18.227
to submit CASF applications
to serve CASF households

00:51:18.227 --> 00:51:21.960
that were not in the RDOF
eligible area but were adjacent.

00:51:21.960 --> 00:51:26.870
And so this is a refinement
that we'll be making

00:51:26.870 --> 00:51:30.203
in the coming weeks on this proposal.

00:51:31.120 --> 00:51:33.140
Secondly, it increases deployment

00:51:33.140 --> 00:51:35.450
through the public benefits
that I mentioned earlier

00:51:35.450 --> 00:51:37.630
with the different levels of funding.

00:51:37.630 --> 00:51:40.830
So with the first 10% of
funding, as I mentioned,

00:51:40.830 --> 00:51:42.557
there's a tribal
consultation requirement,

00:51:42.557 --> 00:51:45.850
but more importantly, there's
an open access requirement.

00:51:45.850 --> 00:51:49.250
With level two, you actually
provide feasible rights of use,

00:51:49.250 --> 00:51:52.500
which is basically providing
fiber strands to the tribes

00:51:52.500 --> 00:51:55.450
that are in the area for
which you're applying.

00:51:55.450 --> 00:51:59.850
So those public benefits
become part of the obligation,

00:51:59.850 --> 00:52:03.570
and they actually increase
the broadband deployment.

00:52:03.570 --> 00:52:06.250
Second question I
had is, is this in statute?

00:52:06.250 --> 00:52:07.700
And the answer is yes.

00:52:07.700 --> 00:52:09.760
As I mentioned earlier with AB 82,

00:52:09.760 --> 00:52:12.630
AB 82 requires us to
act because it allows us

00:52:12.630 --> 00:52:15.420
now the opportunity to
once again leverage CASF

00:52:15.420 --> 00:52:17.793
to improve our federal
funding situation.

00:52:18.810 --> 00:52:20.160
And then finally,

00:52:20.160 --> 00:52:23.120
why does this need to
happen now rather than later?

00:52:23.120 --> 00:52:25.850
So we have many stakeholders
who are aware of this proposal.

00:52:25.850 --> 00:52:28.920
We've published the
straw proposal already,

00:52:28.920 --> 00:52:33.920
and prior to the auction,
we made them aware of this.

00:52:34.620 --> 00:52:37.540
And at this point, the RDOF
winners need some certainty

00:52:37.540 --> 00:52:39.670
about what we are going to do.

00:52:39.670 --> 00:52:42.320
With regard to the
timing of the FCC actions,

00:52:42.320 --> 00:52:47.320
the FCC's long form filing
period begins January 14th

00:52:47.320 --> 00:52:49.370
and ends on January 29th.

00:52:49.370 --> 00:52:54.340
So we'd really like to make
this a kicker proposal firm

00:52:54.340 --> 00:52:58.830
and available before
the long form is due,

00:52:58.830 --> 00:53:00.210
because if it's not,

00:53:00.210 --> 00:53:02.950
and we still don't
provide any certainty,

00:53:02.950 --> 00:53:05.250
it's possible that
some of the bid winners

00:53:05.250 --> 00:53:08.293
decide to not file a long
form and then pull out.

00:53:10.835 --> 00:53:13.220
So final slide, please.

00:53:13.220 --> 00:53:16.070
Let's go to, yes, thank you.

00:53:16.070 --> 00:53:19.030
So nationwide, the auction was for

00:53:19.030 --> 00:53:21.450
16 billion of support for RDOF,

00:53:21.450 --> 00:53:26.400
and the total award amount
was about 9.23 billion.

00:53:26.400 --> 00:53:29.060
We got this announcement
on this past Monday,

00:53:29.060 --> 00:53:30.540
December 7th.

00:53:30.540 --> 00:53:34.740
For California, 15
providers were announced.

00:53:34.740 --> 00:53:37.680
So they're expected to receive
almost 700 million in funding

00:53:37.680 --> 00:53:40.340
for over a period of 10 years to fund,

00:53:40.340 --> 00:53:45.340
to provide infrastructure to
364,878 locations in the state.

00:53:46.710 --> 00:53:48.320
That represents about 98%

00:53:48.320 --> 00:53:50.410
of the eligible California locations.

00:53:50.410 --> 00:53:54.490
So the fact that phase
one was able to address

00:53:54.490 --> 00:53:56.690
98% of the eligible locations,

00:53:56.690 --> 00:53:59.430
I think speaks to the
success of our efforts

00:53:59.430 --> 00:54:01.470
to provide technical
assistance to providers

00:54:01.470 --> 00:54:03.370
and promote RDOF.

00:54:03.370 --> 00:54:05.080
As I said earlier, in
auction, I know three,

00:54:05.080 --> 00:54:08.210
roughly half the amount of
money available to California

00:54:08.210 --> 00:54:10.130
did not come because
there were no bidders.

00:54:10.130 --> 00:54:13.020
So I think this was a
very different situation

00:54:13.020 --> 00:54:15.720
because we were actively
involved in recruiting,

00:54:15.720 --> 00:54:17.720
and providing technical assistance,

00:54:17.720 --> 00:54:18.970
and getting the word out.

00:54:20.020 --> 00:54:22.320
So that concludes my presentation.

00:54:22.320 --> 00:54:24.920
And I'll hand it back to
Commissioner Guzman Aceves.

00:54:28.440 --> 00:54:29.400
<v ->Thank you, Rob.</v>

00:54:29.400 --> 00:54:32.140
There's just a couple of
things I wanted to highlight.

00:54:32.140 --> 00:54:34.740
I know that it was a lot of information,

00:54:34.740 --> 00:54:38.290
and we're in the weeds
here trying to summarize

00:54:38.290 --> 00:54:39.560
the situation for you.

00:54:39.560 --> 00:54:44.560
But I think, the opportunity
before us is really to

00:54:44.980 --> 00:54:48.700
further amplify the awardees,

00:54:48.700 --> 00:54:53.700
the auction selections that were made

00:54:53.830 --> 00:54:58.830
to see if we can broaden
the actual project areas.

00:54:59.010 --> 00:55:04.010
And so that's really the
importance of, as Rob said,

00:55:05.430 --> 00:55:10.430
we're gonna be revising the
proposal on the RDOF kicker

00:55:10.470 --> 00:55:15.470
to really focus in on that
and do so in a timely way.

00:55:16.040 --> 00:55:17.913
So that's one piece.

00:55:18.930 --> 00:55:21.280
A couple of other
things just in reflection

00:55:21.280 --> 00:55:22.713
of what was awarded,

00:55:23.860 --> 00:55:28.860
I think it was something that we'll

00:55:29.470 --> 00:55:32.250
obviously be able to get
into more detail about,

00:55:32.250 --> 00:55:36.993
but for the most part,
there wasn't a lot of new.

00:55:39.430 --> 00:55:42.400
The goal that we had, and I
just wanted to reflect on this,

00:55:42.400 --> 00:55:46.150
of having some of the local
governments take a bigger lead,

00:55:46.150 --> 00:55:49.210
and particularly for having
more sustainable infrastructure

00:55:49.210 --> 00:55:50.810
like fiber.

00:55:50.810 --> 00:55:52.520
Unfortunately, a lot of what we've seen

00:55:52.520 --> 00:55:56.040
is what we've seen in
the past federal auctions,

00:55:56.040 --> 00:56:01.010
which is a lot of direct
wireless that, in many areas,

00:56:01.010 --> 00:56:03.570
I know recently I shared
some examples with you

00:56:04.430 --> 00:56:06.300
like the community of San Hernaldo,

00:56:06.300 --> 00:56:09.450
where some of that infrastructure

00:56:09.450 --> 00:56:11.860
is still yielding insufficient speeds,

00:56:11.860 --> 00:56:16.120
and is why I personally
want to continue to engage

00:56:16.120 --> 00:56:20.300
those providers such as
Comcast in that particular area

00:56:20.300 --> 00:56:24.440
to provide a more sustainable
and reliable solution.

00:56:24.440 --> 00:56:26.520
It's just a reflection in that I think

00:56:27.860 --> 00:56:30.660
it's certainly a good
thing that California

00:56:30.660 --> 00:56:32.540
is receiving these investments,

00:56:32.540 --> 00:56:35.690
but I do think we're
in this interesting time

00:56:35.690 --> 00:56:37.330
where the type of infrastructure

00:56:37.330 --> 00:56:39.490
that we really need to be sustainable

00:56:39.490 --> 00:56:43.040
in all areas of our state
was not quite reached.

00:56:43.040 --> 00:56:46.920
So I think the importance
of what we can do

00:56:46.920 --> 00:56:50.890
to maximize the CASF to
partner with these awardees

00:56:50.890 --> 00:56:52.283
is more critical than ever.

00:56:53.770 --> 00:56:55.400
And then finally, I'll just mention

00:56:55.400 --> 00:56:58.230
on a totally separate front that

00:56:58.230 --> 00:57:01.920
we hope to see a lot of building here

00:57:01.920 --> 00:57:04.680
with this chunk of investments as well

00:57:04.680 --> 00:57:07.820
as the awards that we talked about

00:57:07.820 --> 00:57:09.630
at our last voting meeting,

00:57:09.630 --> 00:57:12.560
and certainly the resolutions
that will be on our agenda

00:57:12.560 --> 00:57:14.270
the next voting meeting,

00:57:14.270 --> 00:57:19.270
and just the recognition
that we will need to be

00:57:19.550 --> 00:57:23.060
very coordinated with our IOU partners

00:57:23.060 --> 00:57:27.180
to make sure that we can
facilitate the attachments

00:57:27.180 --> 00:57:30.220
of this infrastructure
to polls in a safe way

00:57:30.220 --> 00:57:32.770
and in a way that's responsible

00:57:32.770 --> 00:57:36.150
for both the electric and
broadband customers.

00:57:36.150 --> 00:57:37.740
And this is gonna be a critical issue

00:57:37.740 --> 00:57:41.240
because once again, we've already seen

00:57:43.360 --> 00:57:47.090
the holdup that this can
happen when there is an impasse

00:57:47.090 --> 00:57:50.480
between whether or not the utility

00:57:50.480 --> 00:57:52.610
feels it's safe to attach to.

00:57:52.610 --> 00:57:55.040
And so this is a conundrum for us

00:57:55.040 --> 00:57:58.220
and one that I think we
really need to take head on,

00:57:58.220 --> 00:57:59.960
and certainly with the
amount of investment

00:57:59.960 --> 00:58:03.630
that we're seeing in
hardening the infrastructure,

00:58:03.630 --> 00:58:06.080
it's kind of this opportunity
for us to optimize

00:58:06.080 --> 00:58:09.960
when those repairs
are happening jointly.

00:58:09.960 --> 00:58:11.440
And I'll just give as an example,

00:58:11.440 --> 00:58:13.470
a meeting I'll be having on Monday

00:58:13.470 --> 00:58:16.263
with a community just
outside of Anderson, California,

00:58:16.263 --> 00:58:20.060
up here in Northern California,
community at Happy Valley,

00:58:20.060 --> 00:58:22.550
where a charter has been attempting to

00:58:22.550 --> 00:58:25.320
attach to some PG&amp;E poles,

00:58:25.320 --> 00:58:27.490
and the conundrum is real there.

00:58:27.490 --> 00:58:32.490
So we need to facilitate
these attachments in a safe way

00:58:32.900 --> 00:58:35.070
and also think about
more comprehensively,

00:58:35.070 --> 00:58:37.650
how we do this moving forward

00:58:37.650 --> 00:58:40.700
when new poles and new
infrastructure are put in place,

00:58:40.700 --> 00:58:44.480
and making sure we take
advantage of that moment

00:58:44.480 --> 00:58:47.750
to add this important
piece of infrastructure,

00:58:47.750 --> 00:58:49.330
primarily fiber.

00:58:49.330 --> 00:58:51.970
Okay, so I know I shared a lot there,

00:58:51.970 --> 00:58:56.170
but I wanted to just share
as much with you as possible

00:58:56.170 --> 00:58:59.610
because this is a very important time

00:58:59.610 --> 00:59:02.223
for getting more
connectivity to Californians.

00:59:05.050 --> 00:59:08.624
Commissioner, do any,
Commissioner Shiroma,

00:59:08.624 --> 00:59:10.174
would you like to add anything?

00:59:11.400 --> 00:59:12.633
<v ->Yes, thank you.</v>

00:59:12.633 --> 00:59:17.313
Thank you. Very much
appreciate the presentation.

00:59:18.870 --> 00:59:23.740
Rob really reflects the hard work,

00:59:23.740 --> 00:59:28.130
the strategic work that your team did

00:59:28.130 --> 00:59:33.130
to maximize the opportunity
to bid into the RDOF

00:59:34.250 --> 00:59:37.040
and to provide for this coverage.

00:59:37.040 --> 00:59:40.200
And Commissioner Guzman Aceves,

00:59:40.200 --> 00:59:45.200
your point about the
quality of the connectivity

00:59:46.240 --> 00:59:48.720
is essential.

00:59:48.720 --> 00:59:53.720
And I'm hopeful and
optimistic that the kicker funding

00:59:54.060 --> 00:59:58.302
from the state will speak to that.

00:59:58.302 --> 01:00:03.302
And Rob, maybe you can add in about,

01:00:03.550 --> 01:00:05.040
or remind us about the metrics

01:00:05.040 --> 01:00:06.700
that will be collected on that.

01:00:06.700 --> 01:00:11.700
But in the meantime,
this prospect of the quality

01:00:14.270 --> 01:00:18.390
of the connectivity
is really tantamount.

01:00:18.390 --> 01:00:22.970
And in our lifeline proceeding

01:00:22.970 --> 01:00:27.970
we really looked to,
what has been happening,

01:00:28.100 --> 01:00:31.870
and so far as even the types of devices?

01:00:31.870 --> 01:00:34.510
Again, in this case,
I'm talking about lifeline.

01:00:34.510 --> 01:00:39.360
That the quality was
of a lesser quality.

01:00:39.360 --> 01:00:44.360
And I compared it to in our Care ISA

01:00:46.460 --> 01:00:51.350
proceeding the quality
of electricity is the same

01:00:51.350 --> 01:00:54.870
whether you've got a
multimillion dollar house,

01:00:54.870 --> 01:00:56.020
you've got a business,

01:00:56.020 --> 01:00:59.564
or you're on the low-income
discount program.

01:00:59.564 --> 01:01:02.870
And so in our rural areas

01:01:02.870 --> 01:01:06.563
and the areas that have gone wanting,

01:01:07.932 --> 01:01:11.800
it's a key thing to assure
that that quality is there,

01:01:11.800 --> 01:01:16.100
that others enjoy and
elsewhere in the state.

01:01:16.100 --> 01:01:18.120
And I know in the urban environment,

01:01:18.120 --> 01:01:23.120
there are also these pockets
of where the quality is less.

01:01:23.680 --> 01:01:27.250
I'm also excited about
the prospect of the jobs

01:01:27.250 --> 01:01:32.250
that will be there for
this infrastructure effort.

01:01:33.600 --> 01:01:37.030
So otherwise, it's the question for Rob,

01:01:37.030 --> 01:01:41.550
and that is the tribal technical
assistance grant program

01:01:42.490 --> 01:01:44.340
is really exciting.

01:01:44.340 --> 01:01:47.910
And I know you've got
staff that have been working

01:01:47.910 --> 01:01:49.800
on that outreach.

01:01:49.800 --> 01:01:53.937
And is there anything that
you can point to in terms of

01:01:53.937 --> 01:01:58.937
the outreach education
that was particularly important

01:02:01.580 --> 01:02:06.460
for the success of the program

01:02:07.378 --> 01:02:12.378
and the dovetailing into
the RDOF bidding process?

01:02:15.890 --> 01:02:19.170
And by the way, maybe
the answer to the question is

01:02:19.170 --> 01:02:21.270
you have to develop those

01:02:21.270 --> 01:02:23.440
person to person working relationships,

01:02:23.440 --> 01:02:28.240
and that is key in
any successful effort,

01:02:28.240 --> 01:02:30.793
but anything else you
want to add to that, Rob?

01:02:39.760 --> 01:02:41.370
<v ->Oh, Rob, we cannot hear you.</v>

01:02:41.370 --> 01:02:43.203
I think for some reason it's mute.

01:02:44.100 --> 01:02:45.250
<v ->Sorry about that.</v>

01:02:45.250 --> 01:02:46.120
Thank you, Commissioner.

01:02:46.120 --> 01:02:48.330
I'm sorry, it was on mute there.

01:02:48.330 --> 01:02:50.760
This comes down to
people, I think, ultimately,

01:02:50.760 --> 01:02:54.483
and we have our tribal technical,

01:02:55.720 --> 01:02:58.080
or sorry, tribal liaison, Ken Holbrook,

01:02:58.080 --> 01:03:02.300
who's been instrumental
in connecting us with tribes.

01:03:02.300 --> 01:03:04.650
In CD, we have Karen Eckersley

01:03:04.650 --> 01:03:08.840
who's up in the Northwest
working with tribes directly.

01:03:08.840 --> 01:03:12.870
We have Stephanie Green
and Hector Garcia on outreach.

01:03:12.870 --> 01:03:15.350
So I think that combination of people,

01:03:15.350 --> 01:03:18.700
in addition to working
with tribal leaders like

01:03:18.700 --> 01:03:23.700
Matt Rantanen, or Forest James
has been absolutely essential

01:03:24.770 --> 01:03:26.050
in getting the word out,

01:03:26.050 --> 01:03:28.670
not only for the tribal
technical assistance grants,

01:03:28.670 --> 01:03:31.580
but also the educational
broadband Spectrum

01:03:32.810 --> 01:03:34.893
tribal priority window
where we were able to get

01:03:34.893 --> 01:03:38.610
over 30 tribes free
Spectrum from the FCC.

01:03:38.610 --> 01:03:41.388
So I think that's been a very useful

01:03:41.388 --> 01:03:44.843
and productive partnership
among all those folks.

01:03:50.733 --> 01:03:52.781
<v Batjer>Thank you.</v>

01:03:52.781 --> 01:03:56.477
I'd like to see Commissioner
Guzman Aceves.

01:03:57.518 --> 01:03:58.351
<v ->Yes.</v>

01:03:58.351 --> 01:04:00.000
<v Batjer>I want to thank you.</v>

01:04:00.000 --> 01:04:03.810
I wanna thank you in particular, Martha,

01:04:03.810 --> 01:04:05.784
for all of your incredible hard work

01:04:05.784 --> 01:04:09.710
and steadfast devotion to this effort.

01:04:09.710 --> 01:04:13.697
And Rob, thank you and your staff.

01:04:13.697 --> 01:04:18.697
I mean, this has
been quite a heavy lift,

01:04:18.780 --> 01:04:20.503
and I so appreciate it.

01:04:22.067 --> 01:04:23.763
Just a couple real quick points.

01:04:25.360 --> 01:04:30.360
The kicker proposal, as I
know that was very detailed,

01:04:31.460 --> 01:04:32.770
that you went through, Rob,

01:04:32.770 --> 01:04:35.960
but criteria generally
limits the eligibility

01:04:35.960 --> 01:04:38.820
to the fiber companies
is my understanding.

01:04:38.820 --> 01:04:41.380
And yet the six wireless companies

01:04:42.610 --> 01:04:46.200
won 90% of the bids in California,

01:04:46.200 --> 01:04:49.100
which frankly was
a little bit surprising.

01:04:49.100 --> 01:04:53.323
What are the concerns with
the fixed wireless service?

01:04:56.550 --> 01:04:58.910
<v ->So first, let me
say that there's no</v>

01:04:58.910 --> 01:05:01.720
technology limitation
on the kicker proposal.

01:05:01.720 --> 01:05:05.110
It's specifies gigabit
capable infrastructure.

01:05:05.110 --> 01:05:08.520
So that's not a limitation.

01:05:08.520 --> 01:05:11.380
I think, and I'll just speak for myself

01:05:11.380 --> 01:05:13.890
on the concern about fixed wireless,

01:05:13.890 --> 01:05:17.210
I think has to do with scalability.

01:05:17.210 --> 01:05:20.360
And also the issue of
just the technology itself

01:05:20.360 --> 01:05:24.410
generally requiring line of
sight from the access point

01:05:24.410 --> 01:05:27.320
or the antenna to the
customer's location.

01:05:27.320 --> 01:05:29.830
So when you're particularly
up in rural parts of the states,

01:05:29.830 --> 01:05:31.400
that are mountainous or have trees,

01:05:31.400 --> 01:05:33.380
or have barriers in between,

01:05:33.380 --> 01:05:36.440
you need to deploy a
whole lot of access points

01:05:36.440 --> 01:05:39.320
in order to reach all of the customers.

01:05:39.320 --> 01:05:43.450
Some fixed wireless
providers up in the Northeast

01:05:43.450 --> 01:05:46.310
have taken to hiring
arborists to climb trees

01:05:46.310 --> 01:05:47.770
to put antennas up,

01:05:47.770 --> 01:05:49.290
and then that takes into account

01:05:49.290 --> 01:05:50.760
the sway of the trees and the wind.

01:05:50.760 --> 01:05:53.340
I mean, it's a fairly tricky process.

01:05:53.340 --> 01:05:56.580
So I think getting
back to the scalability

01:05:56.580 --> 01:05:59.540
and as well as reliability on the fiber

01:05:59.540 --> 01:06:04.540
and finally because fiber
generally has a longer life span,

01:06:04.960 --> 01:06:07.290
generally you just need
to swap out the electronics

01:06:07.290 --> 01:06:09.250
on either end as opposed to replacing

01:06:09.250 --> 01:06:10.853
the technology wholesale.

01:06:11.890 --> 01:06:13.400
<v Batjer>Right.</v>

01:06:13.400 --> 01:06:15.593
Yeah, I'm concerned about the same.

01:06:16.514 --> 01:06:20.800
I'm so pleased with what
we did receive in the auction,

01:06:20.800 --> 01:06:24.250
but you can always
wish for more. (laughs)

01:06:24.250 --> 01:06:26.630
And I think that there was a,

01:06:26.630 --> 01:06:30.040
I think you mentioned,
Rob, a $2 billion amount

01:06:30.040 --> 01:06:31.653
in the RDOF funds that were,

01:06:32.720 --> 01:06:35.243
that California was eligible for,

01:06:37.276 --> 01:06:42.170
and a little disappointed in
what we actually received,

01:06:42.170 --> 01:06:44.520
but I guess that has to do
with how many people bid.

01:06:44.520 --> 01:06:48.530
And I know you did a
tremendous amount of outreach,

01:06:48.530 --> 01:06:49.973
but a couple of things.

01:06:51.230 --> 01:06:53.140
That money goes
back into the whole pool.

01:06:53.140 --> 01:06:55.850
We don't have another bite of the apple.

01:06:55.850 --> 01:06:59.323
So that went back to
the national pool, correct?

01:07:00.430 --> 01:07:02.270
<v ->Correct. There is a phase two.</v>

01:07:02.270 --> 01:07:06.030
So as I said, 98% of the
locations were awarded.

01:07:06.030 --> 01:07:08.730
So there's still 2% remaining,
which isn't very much,

01:07:08.730 --> 01:07:11.020
and that will be addressed
in the phase two auction,

01:07:11.020 --> 01:07:14.000
which will be sometime,
hopefully in 2021.

01:07:14.000 --> 01:07:15.105
But you're correct, Commissioner.

01:07:15.105 --> 01:07:19.360
The difference between the
2 billion and the 700 million

01:07:19.360 --> 01:07:21.680
is a function of how much the bidding

01:07:21.680 --> 01:07:25.140
brought the result the
final award price down

01:07:25.140 --> 01:07:26.393
from the reserve price.

01:07:28.426 --> 01:07:30.470
<v Batjer>Yeah, okay.</v>

01:07:30.470 --> 01:07:31.840
All right, well, thank you again

01:07:31.840 --> 01:07:33.280
for all of your hard work, Rob.

01:07:33.280 --> 01:07:35.510
This has been quite amazing.

01:07:35.510 --> 01:07:38.090
And Martha yours as well.

01:07:38.090 --> 01:07:38.923
Thank you.

01:07:41.950 --> 01:07:45.310
<v ->Commissioner Guzman
Aceves, if I could just add-</v>

01:07:45.310 --> 01:07:47.040
<v ->Yes, please.</v>

01:07:47.040 --> 01:07:47.940
<v ->One quick comment.</v>

01:07:47.940 --> 01:07:48.773
Thank you, Rob,

01:07:48.773 --> 01:07:51.740
and I think your strategy is very clever

01:07:51.740 --> 01:07:56.740
and effective to leverage
the funds as best we can

01:07:56.860 --> 01:07:58.670
and to provide the kicker,

01:07:58.670 --> 01:08:01.950
which is a really
interesting and helpful idea.

01:08:01.950 --> 01:08:04.670
You said, we need
something like $5.3 billion

01:08:04.670 --> 01:08:07.580
to get up to speeds of 25.3.

01:08:07.580 --> 01:08:10.380
We just got awarded 700 million,

01:08:10.380 --> 01:08:14.344
and we have about 500
million in the CASF fund.

01:08:14.344 --> 01:08:16.850
Is that roughly right,

01:08:16.850 --> 01:08:21.620
and does that mean we
still have a roughly $4 billion

01:08:21.620 --> 01:08:24.653
shortfall in need at this point?

01:08:26.650 --> 01:08:28.007
<v ->So that's a very good question,</v>

01:08:28.007 --> 01:08:32.280
and I apologize when I
said the 565 million for CASF

01:08:32.280 --> 01:08:35.651
was the total for the
program in its history.

01:08:35.651 --> 01:08:37.960
So unfortunately,

01:08:37.960 --> 01:08:40.820
based on what we
received in May this year,

01:08:40.820 --> 01:08:42.140
we were oversubscribed.

01:08:42.140 --> 01:08:44.010
So that money is not available.

01:08:44.010 --> 01:08:46.170
That whole amount is not available now.

01:08:46.170 --> 01:08:49.930
We have, I think roughly
a hundred, 122 million.

01:08:49.930 --> 01:08:52.549
I'll have to go back and confirm that.

01:08:52.549 --> 01:08:55.483
So that's not completely additive.

01:08:57.850 --> 01:09:01.210
<v ->In any case, we
have a lot of needs left</v>

01:09:01.210 --> 01:09:05.083
and a big amount of
investment that needs to be done.

01:09:05.990 --> 01:09:06.840
<v ->That's correct.</v>

01:09:08.219 --> 01:09:11.670
<v ->Thanks.</v>

01:09:11.670 --> 01:09:12.787
<v ->Thank you, Commissioner
Rechtschaffen.</v>

01:09:12.787 --> 01:09:16.050
Rob, just make a
note on this last point.

01:09:16.050 --> 01:09:20.240
In terms of a need being
something that's finite

01:09:20.240 --> 01:09:22.620
or somehow reached at a point of,

01:09:22.620 --> 01:09:26.110
let's say, five $6 billion
more invested in the states.

01:09:26.110 --> 01:09:28.440
And while that is absolutely needed,

01:09:28.440 --> 01:09:32.260
I would actually just have
us think about this more

01:09:32.260 --> 01:09:34.680
as we're thinking about
it on the electricity side,

01:09:34.680 --> 01:09:36.610
and certainly on the water side,

01:09:36.610 --> 01:09:39.450
is the ongoing
reinvestment that's needed

01:09:39.450 --> 01:09:41.060
in keeping the infrastructure

01:09:41.920 --> 01:09:44.050
up to the speeds that are needed

01:09:44.050 --> 01:09:46.010
that will continue to evolve.

01:09:46.010 --> 01:09:48.770
And we certainly know
from some of the other work

01:09:48.770 --> 01:09:52.710
we're doing right now
with AT&amp;T, Frontier,

01:09:52.710 --> 01:09:55.540
others that the need for reinvestment,

01:09:55.540 --> 01:09:58.160
even in those areas that
are considered served,

01:09:58.160 --> 01:09:59.670
is tremendous.

01:09:59.670 --> 01:10:03.720
And so I think we're hitting
this kind of next frontier

01:10:03.720 --> 01:10:05.490
on how we're looking at this problem

01:10:05.490 --> 01:10:08.610
as not just a rural
problem, and by no means,

01:10:08.610 --> 01:10:11.680
although the rural areas
are of course the hardest hit,

01:10:11.680 --> 01:10:16.680
but looking at this as an
issue for how we ensure

01:10:16.870 --> 01:10:19.630
there's quality of service
for all Californians,

01:10:19.630 --> 01:10:22.660
and it will certainly not
be kind of this one-time

01:10:22.660 --> 01:10:24.160
chunk of funding that's needed

01:10:24.160 --> 01:10:27.830
but something that needs
continued reinvestment in

01:10:27.830 --> 01:10:30.220
and reinvestment in
a way that is equitable

01:10:30.220 --> 01:10:32.620
and not redlining.

01:10:32.620 --> 01:10:34.894
So just this one up to that point,

01:10:34.894 --> 01:10:38.290
but certainly there's
gonna be a lot of dialogue

01:10:38.290 --> 01:10:40.880
I know in the legislature this year.

01:10:40.880 --> 01:10:45.500
So I hope this approach
of showing the nimbleness

01:10:45.500 --> 01:10:48.260
of the program and trying to attempt to

01:10:48.260 --> 01:10:50.660
maximize every dollar
is certainly something

01:10:50.660 --> 01:10:54.010
that the legislature
requested and recognizes

01:10:54.010 --> 01:10:58.580
I hope moving forward to
hopefully extend the program

01:10:58.580 --> 01:11:01.680
as well as many other
proposals that are out there

01:11:01.680 --> 01:11:04.283
for meeting the needs of Californians.

01:11:05.260 --> 01:11:07.450
So Rob, if you had any closing thoughts,

01:11:07.450 --> 01:11:09.973
and then I think we'll take
some public comments.

01:11:12.480 --> 01:11:13.617
<v ->No, thank you, Commissioner.</v>

01:11:13.617 --> 01:11:14.823
That's it for me.

01:11:15.740 --> 01:11:20.053
<v ->Okay. Let me see if the
operator can check the line.</v>

01:11:22.780 --> 01:11:23.613
<v Anne>Yes, once again,</v>

01:11:23.613 --> 01:11:25.900
if you would like to
make a public comment,

01:11:25.900 --> 01:11:29.060
please press star one
and record your name.

01:11:29.060 --> 01:11:31.810
I will open your lines one at a time.

01:11:31.810 --> 01:11:33.830
Once again, if you'd like
to make a public comment,

01:11:33.830 --> 01:11:36.703
please press star one
in one moment, please.

01:11:51.660 --> 01:11:54.150
Once again, if you would
like to make a public comment,

01:11:54.150 --> 01:11:56.533
please press star one
and record your name.

01:12:06.140 --> 01:12:09.170
<v ->Okay, so it sounds
like no one's on the line.</v>

01:12:09.170 --> 01:12:11.130
Thank you for checking.

01:12:11.130 --> 01:12:12.190
With that, President Batjer,

01:12:12.190 --> 01:12:15.483
I think we have finished
the subcommittee.

01:12:16.700 --> 01:12:17.670
<v Batjer>Okay, great.</v>

01:12:17.670 --> 01:12:20.080
Thank you so much,
Commissioner Guzman Aceves.

01:12:20.080 --> 01:12:22.640
And I thank Commissioner Shiroma as well

01:12:22.640 --> 01:12:26.390
for this important committee meeting

01:12:26.390 --> 01:12:29.110
of the Emerging Trends Committee.

01:12:29.110 --> 01:12:32.763
And before I close the meeting today,

01:12:34.350 --> 01:12:37.070
my fellow Commissioners
and I would like to

01:12:37.070 --> 01:12:40.520
congratulate our Commissioner Randolph.

01:12:40.520 --> 01:12:44.980
We are incredibly proud of
her for her appointment today

01:12:44.980 --> 01:12:49.180
as the chair of the
California Resources Board,

01:12:49.180 --> 01:12:50.300
Air Resources Board.

01:12:50.300 --> 01:12:52.050
This is tremendous.

01:12:52.050 --> 01:12:54.823
And as we alluded to earlier,

01:12:56.210 --> 01:12:59.660
we are tremendously proud and pleased,

01:12:59.660 --> 01:13:03.150
but boy, will we miss her
wisdom, and guidance,

01:13:03.150 --> 01:13:08.150
and her tremendous effort,
hard work, depths of knowledge.

01:13:10.440 --> 01:13:15.440
I just, I kinda can't imagine
the Commission without Liane.

01:13:15.810 --> 01:13:19.960
But we are all for the
good here in California,

01:13:19.960 --> 01:13:24.790
and dare I say the nation
in that this is an incredible,

01:13:24.790 --> 01:13:28.623
historic, terrific appointment
by Governor Newsom.

01:13:29.740 --> 01:13:34.740
We are so fortunate that
she is, will be remaining

01:13:34.890 --> 01:13:38.760
in public service as her
term here after six years

01:13:38.760 --> 01:13:43.170
at the Public Utilities
Commission will come to an end,

01:13:43.170 --> 01:13:44.740
December 31st.

01:13:44.740 --> 01:13:46.710
Again, tears, tears, tears.

01:13:46.710 --> 01:13:51.710
However, we are not losing
her wisdom and hard work.

01:13:52.610 --> 01:13:55.160
It will continue for all of us

01:13:55.160 --> 01:13:59.740
at the premier important
California Air Resources Board.

01:13:59.740 --> 01:14:01.913
So congratulations, Liane.

01:14:03.440 --> 01:14:05.193
God speed. Thank you.

01:14:06.510 --> 01:14:09.050
So with no further
comments from the public

01:14:09.050 --> 01:14:13.300
and no further questions or
comments from the Commissioners,

01:14:13.300 --> 01:14:15.790
I wanna thank everyone
for joining today.

01:14:15.790 --> 01:14:17.350
This meeting is now adjourned.

01:14:17.350 --> 01:14:18.183
Thank you all.

01:14:19.394 --> 01:14:21.034
<v ->Thank you.</v>

01:14:21.034 --> 01:14:22.034
<v ->Thank you.</v>