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<br />BUDGET UPDATE from page 8 . . . . . . . <br /> <br />other sales tax revenues. (See "What Are the <br />Spillover Funds?", p. 11.) <br /> <br />As proposed by the Governor, the funds would <br />be transferred to the Transportation Debt Service <br />Fund that will pay a portion of the debt service on <br />existing and new transportation bonds (e.g., <br />Proposition 116 and Proposition 1 B). The adminis- <br />tration estimates that this could provide over $4.1 <br />billion through FY 2015-16 toward transportation <br />debt service costs, with the state general fund <br />paying the remaining debt service. <br /> <br />If the Legislature and Governor instead follow <br />the FY 2005-06 budget agreement, the estimated <br />$669 million of spillover revenue would provide <br />$200 million for the general fund, $125 million for <br />the Bay Bridge seismic retrofit program (BATA), <br />and $344 million to the PTA. <br /> <br />However, both the Senate and Assembly <br />Budget Subcommittees have rejected the <br />Governor's proposal and will now consider how to <br />allocate the additional PTA funds. As this issue <br />moves forward to the Budget Conference Com- <br />mittee, the Senate and Assembly recommenda- <br />tions it will become clearer. <br /> <br />FIND A BILL, LEGISLATORS, LEG <br /> <br />COMMITIEE - OR ASK LEG STAFF <br /> <br />Visit (and bookmark!) the League's <br />Legislative Resources page <br />(www.cacities.orallearesources). You'll find <br />a roster and contact information for the <br />League's legislative staff; the online Bill <br />Search program, background materials on <br />lobbying your legislators, and more. <br /> <br />TELECOM UPDATE <br /> <br />There were significant developments this <br />week on telecommunications reform in both <br />Congress and the state Legislature. Here are the <br />highlights: <br /> <br />State Legislature <br /> <br />AB 2987 Passes to the Assembly Floor. The <br />Assembly Appropriations Committee passed AB <br />2987 (Núñez/Levine), with amendments. AB 2987 <br />addresses telecommunications' companies' <br />desire to by-pass local franchising requirements <br />for video services, by establishing a statewide <br />franchise that would address the telephone <br />companies' "speed to market" concern. <br /> <br />The amendments fail to address most of the <br />issues the League has been concerned with. The <br />bill is expected to be taken up on the floor of <br />Assembly next week, probably on Thursday, June <br />1. Friday, June 2, is the deadline for policy bills to <br />pass their house of origin. <br /> <br />Please write or call your Assemblymember <br />to OPPOSE this bill! (See "AB 2987 Amended: <br />League Still Opposed" for talking points. You can <br />also access a sample letter at www.cacities.ora/ <br />advocacvcenter. ) <br /> <br />Congress <br /> <br />Second Hearing on Senate Telecom Re- <br />form Measure. The Senate Committee on <br />Commerce, Science and Transportation held the <br />second of three planned hearings on S. 2686, the <br />Communications, Consumers' Choice, and <br />Broadband Deployment Act of 2006. The hearing <br />covered net neutrality and interconnection. <br /> <br />Senate Democratic Reform Measure. <br />Senate Democratic staff released a working draft <br />of an alternative telecom reform measure. The <br />League is still analyzing this measure. The online <br />publication "Multimedia News" issued the following <br />story about the measure on May 25: <br /> <br />A telephone company could get a local cable <br /> <br />Visit the League's Official Website--www.cacities.org <br /> <br />ConffnuedonPage10 <br /> <br />PRIORITY FOCUS - PAGE 9 <br />May 26, 2006 - Issue #21 <br />