BILL NUMBER: AB 2661 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MARCH 28, 2014
INTRODUCED BY Assembly Member Bradford
FEBRUARY 21, 2014
An act to amend Section 857 of the Public Utilities Code,
add Article 3.7 (commencing with Section 87375) to
Chapter 7 of Title 9 of the Government Code, and to repeal and add
Section 25205 of the Public Resources Code, relating to
utility property. the Political Reform Act of
1974.
LEGISLATIVE COUNSEL'S DIGEST
AB 2661, as amended, Bradford. Utility right-of-way.
Political Reform Act of 1974: conflicts of interests:
Energy Commission.
The Political Reform Act of 1974 prohibits a public official from
making, participating in making, or in any way attempting to use his
or her official position to influence a governmental decision in
which the public official knows or has reason to know he or she has a
financial interest. The act also imposes certain restrictions on the
postgovernmental employment and activities of certain public
officials. The act is administered and enforced by the Fair Political
Practices Commission.
Existing law establishes the State Energy Resources Conservation
and Development Commission, commonly known as the Energy Commission.
Existing law prescribes certain qualifications for members of the
Energy Commission, including a prohibition against receiving a
substantial portion of income from specified energy-related entities
in the 2 years preceding appointment to the Energy Commission.
Existing law prohibits members of the Energy Commission from being
employed by an electric utility or applicant or, within 2 years after
the member ceases to be a member of the Energy Commission, a person
who engages in the sale or manufacture of a major component of a
facility. Existing law prohibits a member of the Energy Commission
from holding any other elected or appointed public office or
position, except as specified. Existing law prohibits persons with
specified relationships to a member or employee of the Energy
Commission from appearing in proceedings and other matters in which
the Energy Commission is a party or has a direct and substantial
interest.
This bill would repeal these qualification and
conflict-of-interest requirements for members and employees of the
Energy Commission and recast them within the act. The bill would
authorize the Fair Political Practices Commission to exempt a member
or employee of the Energy Commission from the application of certain
of these provisions after a finding that the member's or employee's
interest is not sufficiently substantial to affect the integrity of
services expected from the member or employee, as specified.
A violation of the act is punishable as a misdemeanor. By
expanding the definition of an existing crime, this bill would impose
a state-mandated local program.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that no reimbursement is required by this
act for a specified reason.
The Political Reform Act of 1974, an initiative measure, provides
that the Legislature may amend the act to further the act's purposes
upon a 2/3 vote of each house and compliance with specified
procedural requirements.
This bill would declare that it furthers the purposes of the act.
Under existing law, the Public Utilities Commission has regulatory
authority over public utilities. Existing law authorizes a public
utility to lease real property acquired for purposes of obtaining a
utility right-of-way to a governmental entity for purposes of a
public park if the utility retains the use of the right-of-way for
public utility purposes, as prescribed.
This bill would make a nonsubstantive change to these provisions.
Vote: majority 2/3 . Appropriation:
no. Fiscal committee: no yes .
State-mandated local program: no yes .
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Article 3.7 (commencing wi
th Section 87375) is added to Chapter 7 of Title 9 of the
Government Code , to read:
Article 3.7. Energy Commission Conflicts of Interests
87375. (a) For purposes of this section, the following terms have
the following meanings:
(1) "Community choice aggregator" has the same meaning as set
forth in Section 331.1 of the Public Utilities Code.
(2) "Electrical corporation" has the same meaning as set forth in
Section 218 of the Public Utilities Code.
(3) "Electric service provider" has the same meaning as set forth
in Section 218.3 of the Public Utilities Code.
(4) "Energy Commission" means the State Energy Resources
Conservation and Development Commission established pursuant to
Section 25200 of the Public Resources Code.
(5) "Facility" means the structure or equipment necessary for
generating, transmitting, or distributing electricity, including
electric transmission lines and thermal, wind, hydroelectric, and
photovoltaic plants.
(6) Notwithstanding paragraph (2) of subdivision (b) of Section
82030, for purposes of this section, "income" includes salary and
reimbursement for expenses or per diem, and social security,
disability, or other similar benefit payments received from a state,
local, or federal government agency, and reimbursement for travel
expenses and per diem received from a bona fide nonprofit entity
exempt from taxation under Section 501(c)(3) of the Internal Revenue
Code.
(7) "Load serving entity" means a person, including an electrical
corporation, electric service provider, or community choice
aggregator, who sells or provides, or is authorized to sell or
provide, electricity to end users located in the state.
(8) "Major component" means any product or equipment integral to
facility construction or operation or to electrical generation,
transmission, or distribution.
(9) "Person" has the same meaning as set forth in Section 82047
and includes a city, county, public district or agency, the state or
any department or agency thereof, and the United States or any
department or agency thereof.
(b) An individual shall not be a member of the Energy Commission
if, during the two years prior to appointment to the Energy
Commission, the individual received a substantial portion of his or
her income, directly or indirectly, from any of the following:
(1) A load serving entity.
(2) A person engaged in, or authorized to engage in, generating,
transmitting, or distributing electricity in the state.
(3) A person who engages in the sale or manufacture of any major
component of a facility located in the state.
(c) Except as provided in Section 25202 of the Public Resources
Code, and subject to the prohibitions of Section 1099 of the
Government Code, a member of the Energy Commission shall not hold any
other elected or appointed public office or position.
(d) A member or employee of the Energy Commission shall not
maintain a relationship as a partner, employer, employee, or
consultant with a person who acts as an attorney, agent, or employee
for a person other than the state in connection with a judicial or
other proceeding, hearing, application, request for ruling, or other
determination; contract; claim; controversy; study; plan; or other
particular matter in which the Energy Commission is a party or has a
direct and substantial interest.
(e) If the Fair Political Practices Commission finds that the
interest of a member or employee of the Energy Commission, as
appropriate, in income described in subdivision (b), in holding an
office or position described in subdivision (c) that is not otherwise
prohibited by Section 1099, or in a relationship described in
subdivision (d) is not sufficiently substantial to affect the
integrity of services that the state may expect from the member or
employee with respect to the Energy Commission, the subdivision to
which the Fair Political Practices Commission's findings pertain
shall not apply to that member or employee in that instance.
SEC. 2. Section 25205 of the Public
Resources Code is repealed.
25205. (a) No person shall be a member of the commission who,
during the two years prior to appointment on the commission, received
any substantial portion of his or her income directly or indirectly
from any electric utility, or who engages in sale or manufacture of
any major component of any facility. A member of the commission shall
not be employed by any electric utility, applicant, or, within two
years after he or she ceases to be a member of the commission, by any
person who engages in the sale or manufacture of any major component
of any facility.
(b) Except as provided in Section 25202, the members of the
commission shall not hold any other elected or appointed public
office or position.
(c) The members of the commission and all employees of the
commission shall comply with all applicable provisions of Section
19251 of the Government Code.
(d) A person who is a member or employee of the commission shall
not participate personally and substantially as a member or employee
of the commission, through decision, approval, disapproval,
recommendation, the rendering of advice, investigation, or otherwise,
in a judicial or other proceeding, hearing, application, request for
a ruling, or other determination, contract, claim, controversy,
study, plan, or other particular matter in which, to his or her
knowledge, he or she, his or her spouse, minor child, or partner, or
any organization, except a governmental agency or educational or
research institution qualifying as a nonprofit organization under
state or federal income tax law, in which he or she is serving, or
has served as officer, director, trustee, partner, or employee while
serving as a member or employee of the commission or within two years
prior to his or her appointment as a member of the commission, has a
direct or indirect financial interest.
(e) A person who is a partner, employer, or employee of a member
or employee of the commission shall not act as an attorney, agent, or
employee for any person other than the state in connection with any
judicial or other proceeding, hearing, application, request for a
ruling, or other determination, contract, claim, controversy, study,
plan, or other particular matter in which the commission is a party
or has a direct and substantial interest.
(f) The provisions of this section shall not apply if the Attorney
General finds that the interest of the member or employee of the
commission is not so substantial as to be deemed likely to affect the
integrity of the services which the state may expect from the member
or employee.
(g) Any person who violates any provision of this section is
guilty of a felony and shall be subject to a fine of not more than
ten thousand dollars ($10,000) or imprisonment pursuant to
subdivision (h) of Section 1170 of the Penal Code, or both that fine
and imprisonment.
(h) The amendment of subdivision (d) of this section enacted by
the 1975-76 Regular Session of the Legislature does not constitute a
change in, but is declaratory of, existing law.
SEC. 3. Section 25205 is added to the
Public Resources Code , to read:
25205. Members and employees of the commission shall be subject
to Section 87375 of the Government Code.
SEC. 4. No reimbursement is required by this act
pursuant to Section 6 of Article XIIIB of the California Constitution
because the only costs that may be incurred by a local agency or
school district will be incurred because this act creates a new crime
or infraction, eliminates a crime or infraction, or changes the
penalty for a crime or infraction, within the meaning of Section
17556 of the Government Code, or changes the definition of a crime
within the meaning of Section 6 of Article XIIIB of the California
Constitution.
SEC. 5. The Legislature finds and declares that
this bill furthers the purposes of the Political Reform Act of 1974
within the meaning of subdivision (a) of Section 81012 of the
Government Code.
SECTION 1. Section 857 of the Public Utilities
Code is amended to read:
857. (a) A public utility that owns real property acquired for
purposes of obtaining a utility right-of-way, may lease that property
to a governmental entity for purposes of a public park, if the
public utility retains the use of the right-of-way for public utility
purposes.
(b) In determining whether a lease of real property to a
governmental entity for park purposes is for fair value, the
commission shall include the community benefits of parks and open
space as a benefit to ratepayers.
(c) As used in this section, "community benefits" include, but are
not limited to, improving public health, protecting the environment,
and increasing recreational assets.