Amended in Assembly September 3, 2013

Amended in Assembly June 25, 2013

Senate Bill No. 291

Introduced by Senator Hill

February 14, 2013

An act to add Section 1702.5 to the Public Utilities Code, relating to the Public Utilities Commission.

LEGISLATIVE COUNSEL’S DIGEST

SB 291, as amended, Hill. Public Utilities Commission: safety enforcement: gas and electrical corporations.

Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including gas corporations and electrical corporations, as defined. The Public Utilities Act requires the commission to investigate the cause of all accidents occurring upon the property of any public utility or directly or indirectly arising from or connected with its maintenance or operation, resulting in loss of life or injury to person or property and requiring, in the judgment of the commission, investigation by it, and authorizes the commission to make any order or recommendation with respect to the investigation that it determines to be just and reasonable. The act additionally authorizes the commission to ascertain and fix just and reasonable standards, classifications, regulations, practices, measurements, or services to be furnished, imposed, observed, and followed by specified public utilities, including electrical and gas corporations. Existing law authorizes the commission to issue and serve citations in the enforcement of certain pipeline safety laws applicable to mobilehome park gas delivery systems and propane operators.

This bill would require the commission, in an existing or new proceeding, to develop and implement a safety enforcement program that includes procedures for begin insert monitoring, data tracking and analysis, and investigations, as well as end insert issuance of citations by commission staff, under the direction of the Executive Director of the commission, to gas corporations and electrical corporations for correction and punishment of safety violations. The bill would require the commission to develop and implement an appeals process to govern issuance and appeal of citations, or resolution of corrective action orders. The bill would require the commission to implement the safety enforcement program for gas safety by July 1, 2014, and for begin delete electric end delete begin insert electrical end insert safety by January 1, 2015.

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.  

Section 1702.5 is added to the Public Utilities
Code, to read:

1702.5.  

(a) The commission shall, in an existing or new
proceeding, develop and implement a safety enforcement program
applicable to gas corporations and electrical corporations begin insert that are
public utilities end insert , which includes procedures for begin insert monitoring, data
tracking and analysis, and investigations, as well as end insert issuance of
citations by commission staff, under the direction of the executive
director. The enforcement program shall be designed to improve
gas and begin delete electric end delete begin insert electrical end insert system safety through the enforcement
of applicable law, or order or rule of the commission related to
safety using a variety of enforcement mechanisms, including the
issuance of corrective actions, orders, and citations by designated
commission staff begin insert , and recommendations for action made to the
commission by designated commission staff end insert .

(1) When issuing citations and assessing penalties, the
commission staff shall take into account voluntary begin insert reporting of
potential violations, voluntary end insert removal or resolution efforts
undertaken, the prior history of violations, the gravity of the
violation, and the degree of culpability.

(2) The procedures shall include, but are not limited to,
providing notice of violation begin delete and end delete begin insert within end insert a reasonable begin delete period, not
to exceed 30 calendar days, for the respondent to correct the
violation, to allow one or more hearings within 60 days of being
a citation at the request of the respondent end delete begin insert period of time after the
discovery of the violation end insert .

(3) The commission shall adopt an administrative limit on the
amount of monetary penalty that may be set by commission staff.

(b) The commission shall develop and implement an appeals
process to govern the issuance and appeal of citations or resolution
of corrective action orders issued by the commission staff. begin insert The
appeals process shall provide the respondent a reasonable period
of time, upon receiving a citation, to file a notice of appeal, shall
afford an opportunity for a hearing, and shall require the hearing
officer to expeditiously provide a draft disposition. end insert

(c) The commission shall, within a reasonable time set by the
commission, conclude a safety enforcement action begin delete by determining end delete
begin insert with end insert a finding of violation, begin delete by end delete begin insert a end insert corrective action order, begin insert a end insert citation,
begin insert a end insert determination of no violation, begin insert approval of the corrective actions
undertaken by the gas corporation or electrical corporation, end insert or
other action. The commission may institute a formal proceeding
regarding the alleged violation begin insert , potentially resulting in additional
enforcement action, end insert regardless of any enforcement action taken at
the commission staff level.

(d) The commission shall implement the safety enforcement
program for gas safety by July 1, 2014, and the safety enforcement
program for begin delete electric end delete begin insert electrical end insert safety no later than January 1, 2015.