BILL ANALYSIS Ó
AB 865
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB
865 (Alejo)
As Amended September 1, 2015
Majority vote
--------------------------------------------------------------------
|ASSEMBLY: |59-16 |(June 2, 2015) |SENATE: |28-11 |(September 3, |
| | | | | |2015) |
| | | | | | |
| | | | | | |
--------------------------------------------------------------------
Original Committee Reference: U. & C.
SUMMARY: Requires the California Energy Commission (CEC) to
develop and implement an outreach program to inform certified
women, minorities, disabled veterans, and gay, lesbian,
bisexual, and transgender (LGBT) businesses of CEC workshops,
training, and funding opportunities, as specified.
The Senate amendments deleted the requirements on recipients of
contracts and grants, and made other clarifying changes.
EXISTING LAW:
1)Requires the CEC to take steps to solicit various loan
applications, as specified. (Public Resources Code Section
25412.5)
AB 865
Page 2
2)Directs the CEC to oversee much of the state's investments in
clean energy research, clean transportation, and energy
efficiency. (Public Resources Code Sections 25007, 25008, and
25400)
3)Declares that it is the policy of California to aid in the
interests of women, minority, disabled veterans, and LGBT
business enterprises, encourage greater economic opportunity
for these groups, and promote competition among utilities to
procure contracts with diverse businesses. (Public Utilities
Code Section 8281)
FISCAL EFFECT: According to the Senate Appropriations
Committee, this bill would have costs of up to $150,000 annually
to the Energy Resource Program Account to the CEC for
implementation of its outreach program.
COMMENTS:
1)Author's Statement: "AB 865 will ensure that California's
clean energy future is inclusive of diverse communities. This
bill will help working families and working-class communities
make economic and environmental gains with its investments.
The CEC currently directs much of California's investments in
clean energy research, clean transportation, and energy
efficiency. This bill helps ensure California's climate
change policies and investments have maximum co-benefits to
reduce pollution and poverty."
2)Background: Beginning in 1986, the Legislature enacted a
series of statutes, resulting in the adoption of General Order
(GO) 156 by the California Public Utilities Commission (CPUC).
GO 156 established the Supplier Diversity program,
symbolizing an evolving state effort to increase utility
contracting with women and minority-owned businesses.
Disabled veterans were added in 1990, and LGBT enterprises
AB 865
Page 3
were added to the program in 2012.
Under GO 156, each electrical, gas, water, and telephone
corporation with gross annual revenues exceeding $25 million,
and their associated CPUC-regulated subsidiaries and
affiliates, are required to participate in the Supplier
Diversity program. Under this program, utilities are required
to annually submit a detailed and verifiable plan with goals
and timetables for increasing supplier diversity in all
procurement categories.
3)CEC Resolution: On April 8, 2015, the CEC adopted a
resolution to implement a policy to reflect the CEC's
commitment to making sure the widest possible range of
Californians participate in existing and future programs. The
resolution specifically aims to maximize opportunities for
small businesses, women, disabled veterans, minority and
LGBT-owned businesses, as well as economically disadvantaged
and underserved communities, to participate in and benefit
from CEC programs.
This bill would promote greater implementation of the CEC's
resolution by requiring the CEC to develop and implement an
outreach program to inform certified women, minorities,
disabled veterans, and LGBT businesses of CEC workshops,
training, and funding opportunities, as specified.
Analysis Prepared by: Edmond Cheung / U. & C. / (916) 319-2083
FN: 0002037
AB 865
Page 4