BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



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                                    THIRD READING


          Bill No:  AB 2145
          Author:   Bradford (D)
          Amended:  8/19/14 in Senate
          Vote:     21


           SENATE ENERGY, UTIL. & COMMUNIC. COMM.  :  6-3, 6/23/14
          AYES:  Padilla, Fuller, Cannella, De León, DeSaulnier, Hill
          NOES:  Corbett, Knight, Wolk
          NO VOTE RECORDED:  Block, Pavley

           SENATE APPROPRIATIONS COMMITTEE  :  5-0, 8/14/14
          AYES:  De León, Hill, Lara, Padilla, Steinberg
          NO VOTE RECORDED:  Walters, Gaines

           ASSEMBLY FLOOR  :  51-15, 5/28/14 - See last page for vote


           SUBJECT  :    Electricity:  community choice aggregation

           SOURCE  :     Coalition of California Utility Employees


           DIGEST  :    This bill places new requirements and restrictions on  
          the establishment of, and activities by, community choice  
          aggregators (CCAs).

           ANALYSIS  :    

          Existing law:

          1.Allows cities and/or counties to implement a CCA program under  
            which the municipality purchases electricity for constituents  
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            within their political boundaries.  A municipality may also  
            join any other existing CCA by adoption of a resolution,  
            without regard to geography.  Two or more municipalities may  
            also form a joint powers agency to act as a CCA with the  
            adoption of an ordinance by each participating municipality.

          2.Requires an investor-owned utility (IOU) to cooperate fully  
            with a CCA in its pursuit and implementation of operation, and  
            to provide billing and data services, metering, collection,  
            and customer service to all CCA retail customers.  CCAs may  
            file complaints with the Public Utilities Commission (PUC)  
            against an IOU in an expedited complaint procedure if the IOU  
            is allegedly violating its obligations to a CCA.

          3.Does not direct the PUC to regulate CCA's program except to  
            the extent that its program elements may affect utility  
            operations and the rate and services for IOU customers.

          This bill:

          1.Restricts the expansion of a CCA to a geographic area of three  
            contiguous counties, unless the CCA had already exceeded three  
            counties prior to January 1, 2015.

          2.Requires CCA customer solicitations and consumer  
            communications to include the electric supply rates for that  
            customer if he/she remains with the IOU and joins the CCA.

          3.Allows complaints under an expedited complaint procedure to be  
            submitted to the PUC regarding a CCA's alleged violations of  
            its statutory obligations.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes

          According to the Senate Appropriations Committee, annual costs  
          of $200,000 from the PUC Utilities Reimbursement Account  
          (special) for new PUC responsibilities regarding CCAs.

           SUPPORT  :   (Verified  8/18/14)

          Coalition of California Utility Employees (source)
          California Labor Federation
          Encinitas Chamber of Commerce

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          International Brotherhood of Electrical Workers Local 100
          Laguna Niguel Chamber of Commerce
          Orange County Taxpayers Association
          Pacific Gas and Electric Company
          San Diego Gas & Electric Company
          San Diego Regional Chamber of Commerce
          State Building and Construction Trades Council, AFL-CIO

           OPPOSITION  :    (Verified  8/18/14)

          350 Bay Area
          Alameda County Board of Supervisors
          Alameda County Green Party
          Alliance for Retail Energy Markets
          Asian Pacific Environmental Network
          Association of Bay Area Governments
          Bay Area Air Quality Management District
          Bay Localize
          Beach Cities Democratic Club
          Berkeley Climate Action Coalition
          Berkeley Community Choice Energy Working Group
          BoDean Company
          Brad Wagenknecht, Napa County Supervisor, District 1
          Bruce Gibson, San Luis Obispo Board of Supervisors, District 2 
          California Air Pollution Control Officers Association 
          California Center for Sustainable Energy
          California Climate and Agriculture Network
          California Environmental Justice Alliance
          California Interfaith Power & Light
          California Manufacturers & Technology Association
          California Municipal Utilities Association
          California State Association of Counties
          Carbon Free Mountain View
          Center for Biological Diversity
          Center for Community Action and Environmental Justice
          Center for Race, Poverty and the Environment
          Center for Sustainable Energy
          Charles M. Schulz Creative Associates LLC
          Cities Association of Santa Clara County
          Cities of Belvedere, Benicia, Berkeley, Beverly Hills, Chula  
          Vista, Cotati, Davis,                                       El  
          Cerrito, Goleta, Hermosa Beach, Hayward, Lancaster, Manhattan  
          Beach,                                                      Mill  
          Valley, Oakland, Plymouth, Richmond, San Carlos, San Diego, 

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            San Jose, San Leandro, San Luis Obispo, San Pablo, San Rafael,  
          Santa Cruz,                                                  
          Santa Monica, Santa Rosa, Sausalito and Sunnyvale
          City of Richmond Department of Employment and Training
          Clean Coalition
          Clean Energy & Jobs Oakland Campaign
          Clean Water Action
          Climate Protection Campaign
          Coalition for Sustainable Transportation
          Communities for a Better Environment
          Community Choice Energy Working Group
          Community Environmental Council
          Counties of Marin, Santa Barbara, Santa Cruz and Sonoma
          Electric Auto Association
          Energy 2001, Inc.
          Energy Solidarity Cooperative
          Environment California
          Environmental Health Coalition
          Everybody Solar
          Friends of the Earth
          G2 Energy LLC
          GenPower, LLC
          Global Exchange
          Global Green USA
          Green Ideals
          Green Party of California
          GreenTown Los Altos
          Greywater Action
          Institute for Local Self-Reliance
          International Longshore & Warehouse Union Local 6
          Ironworkers Local 155
          Joint Venture Monterey Bay
          Joint Venture Silicon Valley
          Kehilla Community Synagogue
          KyotoUSA
          League of California Cities
          Lean Energy US
          Local Clean Energy Alliance of San Francisco
          Local Government Commission
          Los Angeles County Board of Supervisors
          Lynette McElhaney, Oakland City Councilmember
          Mainstreet Moms
          Marin Clean Energy
          Marin Conservation League

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          Marin County Board of Supervisors
          Marin County Council of Mayors and Councilmembers 
          Monterey Bay Community Power
          Movement Generation Justice and Ecology Project
          New Voices Are Rising
          Novato City Councilmember, Denise Athas
          Oakland City Council
          Office of Ratepayer Advocates
          Organizing for Action Members
          OurEvolution Energy and Engineering
          Pacific Cookie Company
          Pacific Energy Advisors, Inc.
          Palos Verdes Democrats
          People Organizing to Demand Environmental and Economic Rights
          People United for a Better Life in Oakland
          Planting Justice
          Prime Mover Technology
          Récolte Energy
          Renewable 100 Policy Institute
          Renovate America
          Resilient Neighborhoods
          Retail Energy Supply Association
          Re-volv
          Richmond Progressive Alliance
          Rose Foundation for Communities & the Environment
          Salinas Valley Solid Waste Authority
          San Diego County Board of Supervisors, Chairwoman, District 2,  
          Dianne Jacob
          San Diego County Board of Supervisors, District 3, Dave Roberts
          San Diego Energy District Foundation
          San Francisco Green Party
          San Lorenzo Valley Water District
          San Luis Obispo Clean Energy
          San Rafael Airport LLC
          SanDiego350
          School Project for Utility Rate Reduction
          SeaWave Battery, Inc.
          Shell Energy North America
          Shute, Mihaly and Weinberger, LLP
          Sierra Club California
          Sierra Club, San Francisco Bay Chapter
          SightWorks Architecture + Interior Design
          Solana Energy
          Solar Energy Industries Association

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          SolarCity
          SolEd Benefit Corporation
          Sonoma Clean Power Authority
          Sonoma County Democratic Center Committee
          Sonoma County Water Agency
          South Bay 350 Climate Action Group
          StopWaste
          Sun Light & Power
          Sunspeed Enterprises
          Sustainable Economies Law Center
          Sustainable Marin
          Tar Sands Action Southern California 
          The Action Hub, Richmond
          The Greenlining Institute
          The Utility Reform Network
          Torrance Democratic Club
          Tosdal Law Firm
          Town of Ross
          Town of Tiburon
          Transition United States
          USGBC California
          Victory Garden Foundation
          Vote Solar
          Wellstone Democratic Renewal Club
          West Los Angeles Democratic Club
          West Oakland Environmental Indicators Project
          Western Power Trading Forum
          Wild Heritage Planners
          World Team Now 
          World Wildlife Fund
          Xandex Inc.

           ARGUMENTS IN SUPPORT  :    Orange County Taxpayers Association  
          "believes that ratepayers have a right to choose their  
          electricity provider, including community choice aggregation,  
          and deserve as much transparency and information as possible  
          when making that decision.  AB 2145 will require CCA  
          implementation plans include rate comparison information and  
          greenhouse gas emission rates using protocols established by the  
          California Air Resources Board.  AB 2145 would give a customer  
          the choice to opt-in by electing to participate in the program  
          and provides consistency with many other customer choice  
          programs.  Ratepayers should have the opportunity to consider  
          the costs and benefits of their choice prior to applying for a  

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          new service.

           ARGUMENTS IN OPPOSITION  :    Récolte Energy states, "Our own  
          position is that cities and counties across the state are so  
          highly variable in the logistics of how they might need to  
          implement or participate in any desired Community Choice program  
          that it is likely not possible to implement such geographic  
          restrictions without greatly hampering many efforts toward  
          successful Community Choice programs.

          "Nevertheless, such parameters are now being defined for the  
          bill.  We must insist that sufficient time be taken to  
          comprehensively discuss, fully identify implications of, and  
          very carefully work out any such language that will be included  
          in AB 2145, with all affected parties represented equitably at  
          the table of discussion."

           ASSEMBLY FLOOR  :  51-15, 5/28/14
          AYES:  Achadjian, Allen, Bocanegra, Bonilla, Bonta, Bradford,  
            Brown, Buchanan, Ian Calderon, Campos, Chau, Chávez, Conway,  
            Cooley, Dababneh, Dahle, Daly, Dickinson, Garcia, Gatto,  
            Gomez, Gonzalez, Gray, Grove, Hall, Harkey, Roger Hernández,  
            Holden, Jones, Jones-Sawyer, Maienschein, Medina, Melendez,  
            Muratsuchi, Nazarian, Nestande, Pan, Patterson, Perea, John A.  
            Pérez, Quirk, Quirk-Silva, Rendon, Ridley-Thomas, Rodriguez,  
            Salas, Wagner, Waldron, Wilk, Williams, Atkins
          NOES:  Ammiano, Bloom, Chesbro, Donnelly, Fox, Gordon, Gorell,  
            Levine, Logue, Mansoor, V. Manuel Pérez, Skinner, Stone, Ting,  
            Yamada
          NO VOTE RECORDED:  Alejo, Bigelow, Eggman, Fong, Frazier, Beth  
            Gaines, Hagman, Linder, Lowenthal, Mullin, Olsen, Weber,  
            Wieckowski, Vacancy


          JG:e  8/19/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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