Appropriates funds in each of fiscal years 2003-2004 and 2004-2005, to provide individuals who are blind or visually impaired with telephonic access to time-sensitive information. (SD2)

A BILL FOR AN ACT

SECTION 1. The legislature finds that it is the policy of the State to protect and advance the public interest by having appropriate and efficient telecommunications services available to all persons of the State. It is in the public interest to provide universal access to and encourage the further development of the State's telecommunications services, thereby enhancing the quality of life, ensuring a high standard of public health and safety, and allowing citizens to participate more fully in their community and government.

The legislature finds that telecommunications services are particularly important to individuals who are blind or visually impaired as a means by which these individuals can access vital knowledge and information and participate more fully in the political, social, cultural, and economic mainstream. Thousands of Hawaii residents have disabilities that prevent them from directly accessing conventional print material due to visual impairments, dyslexia, and orthopedic and other impairments that prevent the physical manipulation of print materials. For decades, there have been governmental and nonprofit organizations dedicated to providing access to reading materials on a wide variety of subjects by way of Braille, large print, or audio tape recordings. However, it is not feasible to provide access to time-sensitive, local, or regional publications through these traditional means and formats.

The legislature finds that the lack of direct and prompt access to materials such as newspapers, magazines, newsletters, broadcast media schedules, and other time-sensitive materials has a detrimental effect on the educational prospects, literacy, and opportunity for full participation in governmental and community forums of people with print disabilities.

In response to this need, the National Federation of the Blind, an IRS 501(c)(3) nonprofit organization, developed "NFB-Newsline" (Newsline), a telephonic reading service which utilizes high technology systems to provide access to previously inaccessible material through telecommunications. By making a toll-free telephone call, Newsline subscribers can hear a computer-generated voice reading today's newspapers and other time-sensitive materials.

The legislature further finds that Newsline serves the informational needs of blind and visually impaired citizens. The Newsline service has been available to Hawaii residents who are blind or visually impaired since 2000; all of the subscribers meet the criteria to receive services from the Library for the Blind and Physically Handicapped. Over two hundred Hawaii residents subscribe to the Newsline service, which uses existing telecommunications systems to provide them with access to today's daily newspapers and other time-sensitive materials. Although start up costs were covered by a combination of federal demonstration grant and private grant funding, those sources of funding will no longer be available. Absent new funding, this service will likely be discontinued.

The legislature finds that telephonic distribution of time-sensitive information is an essential communications service that falls within the ambit of the universal service program. Such services will enhance the State's current efforts to meet the needs of blind and disabled residents for access to information, thereby reducing isolation and supporting full integration and equal access for these individuals.

Accordingly, it is the purpose of this Act to appropriate funds to continue toll-free statewide access to the Newsline service furnished by the National Federation of the Blind.

SECTION 2. Section 269-41, Hawaii Revised Statutes, is amended to read as follows:

"[[]§269-41[]] Universal service program; establishment; purpose; principles. There is established the universal service program. The purpose of this program is to:

The commission shall administer the universal service program, including the establishment of criteria by which the purposes of the program are met."

SECTION 3. Section 269-42, Hawaii Revised Statutes, is amended to read as follows:

"§269-42 Universal service program; contributions. (a) There is established outside of the state treasury a special fund to be known as the universal service fund to be administered by the commission to implement the policies and goals of universal service. The fund shall consist of contributions from the sources identified in subsections [(e) and (f).] (f) and (g). Interest earned from the balance of the fund shall become a part of the fund. The commission shall adopt rules regarding the distribution of moneys from the fund including reimbursements to carriers for providing reduced rates to low-income, elderly, residents of underserved or rural areas, or other subscribers, as authorized by the commission.

(b) The commission may allow distribution of funds directly to customers based upon a need criteria established by the commission.

(c) Funds may be used to provide toll-free telephonic access to time-sensitive information, including daily newspapers, for residents who are blind or visually disabled.

[(c)] (d) A telecommunications carrier or other person contributing to the universal service program may establish a surcharge which is clearly identified and explained on customers' bills to collect from customers contributions required under this section.

[(d)] (e) Telecommunications carriers may compete to provide services to underserved areas using funds from the universal service program. For the purposes of this section, "underserved areas" means those areas in the State that lack or have very limited access to high capacity, advanced telecommunications networks and information services, including access to cable television.

[(e)] (f) The commission shall require all telecommunications carriers to contribute to the universal service program. The commission may require a person other than a telecommunications carrier to contribute to the universal service program if, after notice and opportunity for hearing, the commission determines that the person is offering a commercial service in the State that directly benefits from the telecommunications infrastructure, and that directly competes with a telecommunications service provided in the State for which a contribution is required under this subsection.

[(f)] (g) The commission shall designate the method by which the contributions under subsection [(e)] (f) shall be calculated and collected. The commission shall consider basing contributions solely on the gross operating revenues from the retail provision of intrastate telecommunications services offered by the telecommunications carriers subject to the contribution."

SECTION 4. There is appropriated out of the general revenues of the State of Hawaii the sum of $        , or so much thereof as may be necessary for fiscal year 2003-2004, and the same sum, or so much thereof as may be necessary for fiscal year 2004-2005, to provide individuals who are blind or disabled with toll-free telephonic access to time-sensitive information. The public utilities commission may enter into a contract with a qualified private, nonprofit organization to provide these services.

SECTION 5. The sums appropriated shall be expended by the public utilities commission for the purposes of this Act.

SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 7. This Act shall take effect on July 1, 2003.