BILL NUMBER: AB 2672	AMENDED
	BILL TEXT

	AMENDED IN SENATE  AUGUST 20, 2014
	AMENDED IN SENATE  JUNE 30, 2014
	AMENDED IN ASSEMBLY  MAY 27, 2014
	AMENDED IN ASSEMBLY  APRIL 21, 2014

INTRODUCED BY   Assembly Member Perea

                        FEBRUARY 21, 2014

   An act to add Section 783.5 to the Public Utilities Code, relating
to energy.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2672, as amended, Perea. Access to energy: disadvantaged
communities: San Joaquin Valley. 
   Under 
    (1)     Under  existing law, the
Public Utilities Commission has regulatory authority over public
utilities, including electrical and gas corporations, as defined.
Existing law authorizes the commission to fix the rates and charges
for every public utility, and requires that those rates and charges
be just and reasonable. Existing law requires the commission to
establish various programs that provide assistance to low-income
electric and gas customers.
   This bill would require the  commission to require a gas
corporation that provides natural gas service in the San Joaquin
Valley to identify by January 31, 2015, disadvantaged communities in
the San Joaquin Valley that do not have natural gas service. The bill
would require the  commission, by March 31, 2015, to
initiate a new proceeding to  conduct an affordable energy
feasibility study for those communities. The bill would require the
commission to determine whether any option analyzed in the study
would increase access to affordable energy in an economically viable
manner. For these options, the bill would require the commission to
take appropriate action and to determine appropriate funding sources.
  identify disadvantaged communities in the San Joaquin
Valley meeting   specified requirements and to analyze
economically feasible options to increase access to affordable energy
in those disadvantaged communities. The bill also would require the
commission to determine whether the options   analyzed would
increase access to affordable energy to those disadvantaged
communities in a cost-effective manner. The bill would require the
commission, for those options, to take appropriate action and
determine appropriate funding sources.  
   (2) This bill would make legislative findings and declarations as
to the necessity of a special statute for the San Joaquin Valley.

   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  The Legislature finds and declares the following:
   (a) Many low-income communities throughout California's San
Joaquin Valley lack access to natural gas lines.
   (b) Increasing access to affordable energy can improve the health,
safety, and air quality of these communities.
  SEC. 2.  Section 783.5 is added to the Public Utilities Code, to
read:
   783.5.  (a) For  the  purposes of this section,
the following terms have the following meanings:
   (1) "Disadvantaged community" means  an area of the
  a  San Joaquin Valley  in which a high
concentration of low-income customers of an electrical corporation
are enrolled in the CARE program pursuant to Section 739.1. 
 community that meets all of the following criteria:  
   (A) At least 25 percent of residential households with electrical
service are enrolled in the CARE program pursuant to Section 739.1.
 
   (B) Has a population greater than 100 persons within its
geographic boundaries as identified by the most recent United States
Census or a community survey.  
   (C) Has geographic boundaries no farther than seven miles from the
nearest natural gas pipeline operated by a gas corporation. 
   (2) "San Joaquin Valley" means the counties of Fresno,  Kern,
 Kings, Madera,  Tulare,  Merced,  San
Joaquin,  Stanislaus,  San Joaquin, and Kern. 
 and Tulare.  
   (b) The commission shall require a gas corporation that provides
natural gas in the San Joaquin Valley to identify by January 31,
2015, disadvantaged communities that do not have natural gas service.
 
   (c) The 
    (b)     No later than March 31, 2015, the
 commission  shall, by March 31, 2015,  
shall  initiate a new proceeding to  conduct an
affordable energy feasibility study for communities identified
pursuant to subdivision (b). The study shall include analysis of the
economic feasibility   do all  of the 
following options:   following:  
   (1) Identify disadvantaged communities based on the criteria
specified in subdivision (a).  
   (2) Analyze the economic feasibility of the following options:
 
   (1) 
    (A)  Extending  natural  gas pipelines to
 the   those disadvantaged  communities.

   (2) 
    (B)  Increasing subsidies for electricity for 
individuals   residential customers  in those 
disadvantaged  communities. 
   (3) 
    (C)  Other alternatives that would increase access to
affordable energy  in those disadvantaged communities  that
the commission deems appropriate. 
   (d) 
    (c)  The commission shall determine whether any of the
options analyzed in the  study   proceeding
 would increase access to affordable energy in  an
economically viable   a cost-effective  manner. For
these options, the commission shall take appropriate action and
determine appropriate funding sources.
   SEC. 3.    The Legislature finds and declares that a
special law is necessary and that a general law cannot be made
applicable within the meaning of Section 16 of Article IV of the
California Constitution because of the unique circumstance that the
San Joaquin Valley is home to many communities that lack access to
natural gas service and it is necessary to ensure more affordable and
cleaner alternatives are available.