Lifeline program: broadband internet access service.

Senator Durazo's proposal to expand California's Universal Lifeline Telephone Service program would allow internet service providers to voluntarily offer subsidized broadband access to low-income households. The measure establishes eligibility criteria requiring providers to offer plans with speeds of at least 100 megabits per second downstream and 20 megabits per second upstream at $30 or less monthly to qualify for lifeline subsidies.

The bill prohibits requiring subscribers to bundle voice and internet services to receive subsidies and limits households to one lifeline subsidy, though they may still access federal program benefits. Internet providers would not need to obtain eligible telecommunications carrier designation to participate, except for certain small independent telephone corporation affiliates seeking federal support. The Public Utilities Commission would oversee implementation, including preventing inappropriate upselling of internet plans to subsidy recipients.

To maintain fiscal stability, the measure caps program surcharge increases at the highest rate collected in the previous four years as of January 2026. The Commission must estimate any necessary surcharge adjustments by December 2026 and adopt implementing rules by July 2027. Annual reporting requirements include tracking changes in program participation and subscribers transitioning between services. The provisions would sunset on January 1, 2032.