BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                   SB 674|
          |Office of Senate Floor Analyses   |                         |
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                                    CONSENT


          Bill No:  SB 674
          Author:   Padilla (D)
          Amended:  5/5/11
          Vote:     21

           
           SENATE ENERGY, UTIL. & COMM. COMMITTEE  :  11-0, 4/5/11
          AYES:  Padilla, Fuller, Berryhill, Corbett, De León, 
            DeSaulnier, Pavley, Rubio, Simitian, Strickland, Wright

           SENATE JUDICIARY COMMITTEE  :  5-0, 4/26/11
          AYES:  Evans, Harman, Blakeslee, Corbett, Leno

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8


           SUBJECT  :    Telecommunications: master-metering: data 
          security

           SOURCE  :     Author


           DIGEST  :    This bill repeals the California High Speed 
          Internet Access Act of 1999, clarifies that contracts 
          between utilities and third parties to facilitate a 
          customers access to consumption data require a customer's 
          prior consent for the third party use and release of a 
          customer's data for a secondary commercial purpose, and 
          excludes from the definition of rebate an incentive 
          received from the California Solar Initiative for a solar 
          thermal or photovoltaic system that service only the common 
          area of a mobilehome park. 

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           ANALYSIS  :    

          Existing law  

          1.  The California High Speed Internet Access Act of 1999, 
          among other 
               things, requires the Public Utilities Commission to 
          monitor and 
               participate in a specified proceeding of the Federal 
          Communications 
               Commission addressing whether to require incumbent 
          local exchange 
               carriers, as defined, to permit interconnection by 
          competitive data local 
               exchange carriers, as defined, at any technically 
          feasible point, to permit 
               those competitive local exchange carriers to provide 
          high bandwidth data 
               services over telephone lines with voice services 
          provided by incumbent 
               local exchange carriers.

          2.  Requires an investor-owned utility (IOU) or publicly 
          owned utility 
               (POU) using advanced metering (smart meters) to 
          protect consumers 
               energy usage data from unauthorized access or 
          disclosure.  
           
          3.  Requires a mobilehome park owner which provides master 
          meter service 
               to its tenants to pass on to each customer the 
          proportional share of any 
               rebate that the mobilehome park owner receives from an 
          IOU.  

           4.  Requires the California Public Utilities Commission 
          (CPUC) to monitor 
               and participate in a 1999 proceeding of the Federal 
          Communications 
               Commission.

           This bill  

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          1.  This bill repeals the California High Speed Internet 
          Access Act of 1999

          2.  Clarifies that contracts between utilities and third 
          parties to facilitate a 
               customer's access to consumption data require a 
          customer's prior consent 
               for the third party use and release of a customer's 
          data for a secondary 
               commercial purpose.  

          2.  Excludes from the definition of rebate an incentive 
          received from the 
               California Solar Initiative (CSI) for a solar thermal 
          or photovoltaic   
               system that service only the common area of a 
          mobilehome park. 

          3.  Repeals this obsolete provision.  
           
           Comments

           According to the author's office, this is a code 
          maintenance bill in which the author has repealed an 
          obsolete section of the Public Utilities Code and made 
          technical, non-controversial changes to two other sections. 


          1.  This bill makes technical changes to SB 1476 (Padilla, 
          2010) which were 
               intended in that bill but the author was precluded 
          from making due to 
               legislative deadlines.  The language clarifies the 
          requirement in SB 1476 
               that parties to contracts between utilities and third 
          parties will follow the 
               principles behind the bill and include in the terms of 
          contracts between 
               them that a customer's prior consent will always be 
          required for the use 
               and release of a customer's data for a secondary 
          commercial purpose.


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          2.  Under current law a mobilehome park operator which in 
          essence acts in 
               the place of a utility for its park tenants is 
          referred to as a master meter 
               and must extend any funds received in the form of 
          rebates to all of its 
               submetered customers (tenants).  This bill would, only 
          for incentive 
               payments under the CSI, permit the master meter to 
          receive and retain the 
               incentive payments if the installed solar only serves 
          the common area of 
               the mobilehome park.
           
          FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes   
          Local:  No
          RM:rm  5/16/11   Senate Floor Analyses 

                       SUPPORT/OPPOSITION:  NONE RECEIVED

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