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Calif. Bills Address Drug Imports, Privacy
by Chloe Albanesius
California lawmakers reconvened for their latest session Monday and introduced several technology-related measures that address issues such as privacy and the importation of prescription drugs from Canada.
Democratic Sen. Deborah Ortiz introduced a bill, S.B. 19, that would allow the state's Health Services Department to negotiate agreements with licensed drug manufacturers for drug discounts. It also would require the Consumer Affairs Department to create a Web site that would include information about cheap prescription drugs from Canada.
Ortiz introduced a similar measure last year, but it was vetoed by Republican Gov. Arnold Schwarzenegger in September. In his veto message, the governor said he was working with drug companies to secure lower prices for prescription drugs and would introduce his own drug plan in January. As a result, he said Ortiz's bill was unnecessary.
Another bill, S.B. 22, would implement a state ballot initiative, Proposition 69, approved by voters Nov. 2 that calls for all people suspected of, arrested for, or convicted of felonies to provide DNA for the state's database.
The bill would authorize $7 million from the state's general fund and $4 million from the DNA Identification Fund for the California Justice Department to implement the program. The department would have to repay the legislature, with interest, within four years of the loan from revenue generated by Proposition 69.
The initiative generated controversy this week when the American Civil Liberties Union sued because the law would collect DNA from people not convicted of felonies.
Another controversial measure, A.B. 35, calls for an Internet database of registered sex offenders. Depending on the nature of people's crimes, their online profiles could include photographs, names, current residences and details of their crimes.
Two bills from Assemblywoman Gloria Negrete McLeod, a Democrat, seek to eliminate government waste.
The first, A.B. 53, calls for the consolidation of five state agencies into one Office of Management and Budget that would handle budget development, contracting, procurement, facility and operations support, data storage, and human resource functions. The other bill, A.B. 54, would require the General Services Department to complete its required inventory of state property by Jan. 1 each year.
Sen. Debra Bowen, who last year failed to win passage of her bill to require employees to notify employers when their communications are being monitored, introduced another privacy bill. The measure, S.B. 13, would prohibit public agencies from giving Social Security numbers and other personal information to any person or organization unless required by law.
"The state needs to take a hard look at its data-sharing laws to make sure Social Security numbers and other key data [that] identity thieves thrive on aren't being handed out like holiday eggnog," Bowen said in a press release. The move comes after a hacker accessed a database with the personal information of 1.4 million residents at the University of California at Berkeley.
Bowen, a Democrat, also crafted legislation, S.B. 11, that would prohibit state and local candidates from accepting contributions from e-voting manufacturers or vendors. While saying there is no current evidence of problems with contributions from such companies, she added that "it's natural to wonder whether election results are being manipulated or whether these machines are so bug-ridden no one should be using them."
In other state legislative news, a Virginia committee last month voted against joining the Streamlined Sales Tax Project (SSTP), which would let states tax cross-border online sales. A joint committee established by the General Assembly and including private-sector officials, concluded that it is not clear whether the benefits of SSTP justify the costs of collecting taxes and the lost opportunity to use tax policy as a means to compete for new business in Virginia.
"Virginia currently has one of the nation's simplest sales tax systems and is a leader in attracting and retaining information technology and e-commerce businesses," said Tim Hugo, chairman of the committee and president of tech lobbying group CapNet. "The subcommittee was concerned that if Virginia joined [SSTP], these advantages could be lost."
An Arkansas lawmaker, meanwhile, introduced a measure, H.B. 1012, that would provide state police with eight weeks of Homeland Security Department training in order to gain the rights and powers of federal immigration officers.
And the New Jersey Senate on Monday passed a bill, S.B. 1835, that would make it a crime to steal electronic toll devices from vehicles.
California Utilities Commissioner Urges Convergence
Telecommunications convergence is the key to driving down prices and providing greater value in the sector, California Public Utilities Commissioner Susan Kennedy said Friday.
"Convergence is irreversible and it's happening now," she said at a Silicon Valley luncheon sponsored by TechNet, the tech group AeA and the Silicon Valley Manufacturing Group. She urged regulators and business leaders to develop a "new regulatory framework that promotes technology convergence and gets out of the way of innovation and competition."
"All the state and federal statutes were written before technology convergence blurred the lines between services and service providers," she said.
Particularly debilitating, Kennedy added, is the "consumer bill of rights" her commission enacted in August, which requires providers to follow a laundry list of requirements intended to provide consumers with the best possible service. "Who in the world is going to offer voice services if doing so triggers compliance with this morass of mandates?" she asked.
While Kennedy believes there is a "strong role for states in regulating the telecommunications industry, specifically with regard to consumer protection ... California regulators have to change their way of thinking about this industry," she said.
It is difficult, however, to convince legislators just how important the boring minutiae of telecom law is to average Americans, she said. "I went up to Sacramento a few times to talk to legislators [about regulation], but their eyes glazed over," she said.
As a result, companies need to make a collective effort to inform legislators of the importance of their industries and the needed regulation. "If you don't think telecom reform is urgent, neither will legislators," Kennedy said. "We need your help now to bring imagination back to the regulatory process."
The commission has a proceeding underway to revamp the regulatory framework for telecom carriers, she said. In addition, the commission is considering a high-speed Internet proceeding to modernize broadband deployment.
Ridge Releases Billions in Homeland Security Funds
Homeland Security Secretary Tom Ridge on Friday announced $1.66 billion in homeland security grants and $855 million in grants to urban areas.
"The continuing maturation of our grants programs, streamlined distribution process and greater accountability measures will ensure that, with this new allocation of over $2.5 billion, we are even better enhancing the capabilities of our nation's first responders to prevent terrorism and respond to emergencies," Ridge said at an appearance in Chicago.
The top three state recipients of funds through the Urban Area Security Initiative are New York with about $221 million, California with $148 million, and the District of Columbia with $82 million. In New York and California, New York City will take home $207 million of the state total and Los Angeles will receive $61 million.
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