The internet economy has flourished in the state

Padilla says the internet economy has flourished in the state: "California is uniquely poised to continue to foster that research and consumer benefit and this is part of doing so."

Some consumer groups strongly oppose the bill. Mark Toney is with The Utility Reform Network. He says V-O-I-P clients would suffer. "Those are the clients who will lose all protections and ability to go complain to the California Public Utilities Commission.