BILL ANALYSIS                                                                                                                                                                                                    Ó






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          |SENATE RULES COMMITTEE            |                       AB 1525|
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                                   THIRD READING 


          Bill No:  AB 1525
          Author:   Committee on Utilities and Commerce  
          Introduced:3/16/15  
          Vote:     21  

           SENATE ENERGY, U. & C. COMMITTEE:  10-0, 6/16/15
           AYES:  Hueso, Fuller, Cannella, Hertzberg, Hill, Lara, Leyva,  
            McGuire, Morrell, Wolk
           NO VOTE RECORDED:  Pavley

           ASSEMBLY FLOOR:  77-0, 5/18/15 (Consent) - See last page for  
            vote

           SUBJECT:   Electrical restructuring


          SOURCE:    Author

          DIGEST:   This bill deletes an obsolete section of statute  
          concerning establishment of the Fuel Price Index Mechanism to  
          enable the transition to a competitive energy market.
          
          ANALYSIS:    Existing law requires the California Public  
          Utilities Commission (CPUC) to authorize an electrical  
          corporation to implement a rate cap mechanism that includes a  
          fuel price index mechanism, provided certain conditions are met.  
           This requirement became inoperative on December 31, 2001.

          This bill deletes the inoperative statutory language, described  
          above, in its entirety.
          
          Background









                                                                    AB 1525  
                                                                    Page  2


          Existing law, enacted as part of electrical restructuring,  
          required the CPUC to authorize an electrical corporation meeting  
          specified conditions to implement a rate cap mechanism that  
          included a fuel price index mechanism to ensure the continued  
          safe and reliable provision of electric service during the  
          transition to competition and to limit the effect of fuel price  
          volatility in electric rates paid by consumers.  This  
          requirement became inoperative on December 31, 2001.  This bill  
          deletes the obsolete language in its entirety.

          This bill is committee sponsored and is intended as code  
          cleanup.
          
          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:NoLocal:    No


          SUPPORT:   (Verified6/16/15)


          None received


          OPPOSITION:   (Verified6/16/15)


          None received

          ARGUMENTS IN SUPPORT:   According to the author, the obsolete  
          code provisions should be removed from statute.
           

          ASSEMBLY FLOOR:  77-0, 5/18/15
          AYES:  Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom,  
            Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang,  
            Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle,  
            Daly, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina  
            Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez,  
            Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden,  
            Irwin, Jones, Jones-Sawyer, Lackey, Levine, Linder, Lopez,  
            Low, Maienschein, Mayes, McCarty, Medina, Mullin, Nazarian,  
            Obernolte, O'Donnell, Olsen, Patterson, Perea, Quirk, Rendon,  
            Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth, Mark  
            Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk, Williams,  







                                                                    AB 1525  
                                                                    Page  3


            Wood, Atkins
          NO VOTE RECORDED:  Kim, Mathis, Melendez

          Prepared by:Jay Dickenson / E., U., & C. / (916) 651-4107
          6/17/15 14:11:16


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