BILL ANALYSIS Ó SB 870 Page 1 SENATE THIRD READING SB 870 (Padilla) As Amended July 12, 2011 Majority vote SENATE VOTE :39-0 NATURAL RESOURCES 9-0 UTILITIES & COMMERCE 13-0 ----------------------------------------------------------------- |Ayes:|Chesbro, Knight, |Ayes:|Bradford, Fletcher, | | |Brownley, Dickinson, | |Buchanan, Fong, Fuentes, | | |Grove, Halderman, Hill, | |Furutani, Beth Gaines, | | |Monning, Skinner | |Roger Hernández, Huffman, | | | | |Knight, Nestande, | | | | |Skinner, Valadao | |-----+--------------------------+-----+--------------------------| | | | | | ----------------------------------------------------------------- APPROPRIATIONS 17-0 ----------------------------------------------------------------- |Ayes:|Fuentes, Harkey, | | | | |Blumenfield, Bradford, | | | | |Charles Calderon, Campos, | | | | |Davis, Donnelly, Gatto, | | | | |Hall, Hill, Lara, | | | | |Mitchell, Nielsen, Norby, | | | | |Solorio, Wagner | | | |-----+--------------------------+-----+--------------------------| | | | | | ----------------------------------------------------------------- SUMMARY : Requires the Chair of the California Energy Commission (CEC) to annually appear before the appropriate policy committees of the Senate and the Assembly to report on the CEC's activities. EXISTING LAW : 1)Establishes the CEC, provides for appointment of the Chair and four other commissioners by the Governor, subject to Senate confirmation, and requires the Chair to direct the adviser, the executive director, and other staff in the performance of SB 870 Page 2 their duties in conformance with the policies and guidelines established by the CEC. 2)Requires the President of the Public Utilities Commission (PUC) to annually appear before the appropriate policy committees of the Senate and Assembly to report on two specified annual reports required by statute. FISCAL EFFECT : According to the Assembly Appropriations Committee, minor, absorbable annual costs to the CEC. COMMENTS : In 2003, AB 1735 (Utilities and Commerce Committee), Chapter 452, Statutes of 2003, enacted a requirement for the President of the PUC to annually appear before the "appropriate policy committees" to report on two specific items - the PUC's annual workplan and the "SB 960 report" on resolution of cases and commissioner attendance at hearings. This bill applies a similar appearance requirement to the Chair of the CEC, though the scope of the report is broader, applying to "the activities of the commission." According to the author, this bill is "part of a multi-pronged effort to improve communication between the CEC and the Legislature in an attempt to focus and revitalize its programs and priorities." Notwithstanding the stated intent to improve communication, the scope and purpose of this bill appear vague, and its necessity unclear. There are a couple differences between the CEC and PUC that may be relevant to this bill. First, the CEC already has annual general policy reporting obligations to the Legislature and Governor via the Integrated Energy Policy Report. Second, the CEC is three blocks, rather than 90 miles, from the Capitol, making in-person communication easier. Last year, Governor Schwarzenegger vetoed SB 1467 (Padilla), which contained a similar provision to this bill. In his veto message, the Governor stated: In addition to making several non-substantive changes to the Public Utilities Code and the Public Resources Code, this bill requires the Chairperson of the State Energy Resources Conservation and Development Commission (Commission) to appear annually before the Senate Committee on Energy, Utilities and Communications and the Assembly SB 870 Page 3 Committee on Utilities and Commerce to report on the activities of the Commission. This bill is unnecessary. During my Administration, the Chairperson of the Commission has always been accessible to the Legislature and, in fact, has appeared on several occasions this year before both committees to report on Energy Commission activities. If the Legislature would like to invite the Chairperson to appear before their committees, they simply need to call. In this bill's absence, I am ordering DGS to check all phone lines between the Legislature and the Chairperson's office to make sure they are in good working order. Analysis Prepared by : Lawrence Lingbloom / NAT. RES. / (916) 319-2092 FN: 0002140