Amended in Assembly April 4, 2016

California Legislature—2015–16 Regular Session

Assembly BillNo. 1800


Introduced by Assembly Member Hadley

February 8, 2016


An act to add Chapter 6 (commencing with Section 8390) to Division 4.1 of the Public Utilities Code, relating to public utilities.

LEGISLATIVE COUNSEL’S DIGEST

AB 1800, as amended, Hadley. Utility outage compensation claims: annual posting.

Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations, while local publicly owned electric utilities are under the direction of their governing boards. Existing law requires each electrical corporation to report annually on its compliance with specified standards or rules adopted by the commission, including, but not limited to, standards for operation, reliability, and safety during periods of emergency and disaster.begin insert end insertbegin insertExisting law requires the commission to adopt inspection, maintenance, repair, and replacement standards for the distribution systems of electrical corporations in order to provide highend insertbegin insert-quality, safe, and reliable service. Existing law requires the commission to conduct a review to determine whether the standards have been met and to perform the review after every major outage.end insert

begin insert

The existing restructuring of the electrical industry within the Public Utilities Act provides for the establishment of an Independent System Operator, or ISO, as a nonprofit public benefit corporation and requires the ISO to ensure efficient use and reliable operation of the electrical transmission grid consistent with achieving planning and operating reserve criteria no less stringent than those established by the Western Electricity Coordinating Council and the North American Electric Reliability Council. Existing law requires the ISO to perform a review after any major outage that affects at least 10% of the customers of the entity providing the local distribution service. If the ISO finds that the operation and maintenance practices of the transmission facility owner or operator prolonged the response time or was responsible for the outage, the ISO is authorized to order appropriate sanctions, subject to the Federal Energy Regulatory Commission approving that authority.

end insert

This bill would require each electrical corporation and local publicly owned electric utility to annually post on its Internet Web site specified information relating to utility outage compensation claims for the previous year.begin insert The bill would make these requirements applicable to end insertbegin insertthose outages that the ISO, the commission, or the utility has determined are the fault of the utility. By adding reporting requirements that are applicable to local publicly owned electric utilities, the bill would impose a state-mandated local program.end insert

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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.

end insert
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This bill would provide that no reimbursement is required by this act for a specified reason.

end insert

Vote: majority. Appropriation: no. Fiscal committee: begin deleteno end deletebegin insertyesend insert. State-mandated local program: begin deleteno end deletebegin insertyesend insert.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

Chapter 6 (commencing with Section 8390) is
2added to Division 4.1 of the Public Utilities Code, to read:

3 

4Chapter  6. Electrical Utility Outage Compensation
5Claims
6

 

begin insert
7

begin insert8390.end insert  

The reporting requirements of this chapter apply only
8to those outages that the Independent System Operator, the
9commission, or the electrical corporation or local publicly owned
10electric utility has determined are the fault of the utility.

end insert
P3    1

begin delete8390.end delete
2
begin insert8391.end insert  

Each electrical corporation and local publicly owned
3electric utility shall annually post on its Internet Web site all of
4the following information relating to utility outage compensation
5claims for the previous year:

6(a) begin deleteApplications end deletebegin insertThe number of claims end insertstill open from the
7previous year.

8(b) begin deleteNew applications end deletebegin insertThe number of new claims end insertreceived.

begin delete

9(c) The number of incomplete applications received.

end delete
begin delete

10(d) Total number of incomplete applications that were still left
11incomplete by the end of the year.

end delete
begin delete

12(e) Pool of total

end delete

13begin insert(c)end insertbegin insertend insertbegin insertThe total number ofend insert applicants awaiting determination or
14judgment at the end of the year.

begin delete

15(f) Progress on processing applications.

end delete
begin delete

16(g) Current average

end delete

17begin insert(d)end insertbegin insertend insertbegin insertThe medianend insert time taken to processbegin delete applications.end deletebegin insert claims once
18the outage was end insert
begin insertdetermined to be the fault of the utility.end insert

begin delete

19(h)

end delete

20begin insert(e)end insert The number ofbegin delete applicationsend deletebegin insert claimsend insert approved.

begin delete

21(i) The percentage of applications approved.

end delete
begin delete

22(j)

end delete

23begin insert(f)end insert The number ofbegin delete applicationsend deletebegin insert claimsend insert denied.

begin delete

24(k) The average number of days it took to close approved
25applications.

end delete
begin delete

26(l) The average number of days it took to close denied
27applications.

end delete
begin delete

28(m) The number of denied applications that were subsequently
29appealed.

end delete
begin delete

30(n) The number of successful appeals from denied applications.

end delete
begin delete

31(o) For the Successful appeals, the average number of days
32between the submission of the appeal and the closing of the appeal.

end delete
begin delete

33(p) The average amount paid for successful claims.

end delete
34begin insert

begin insertSEC. 2.end insert  

end insert
begin insert

No reimbursement is required by this act pursuant to
35Section 6 of Article XIII B of the California Constitution because
36a local agency or school district has the authority to levy service
37charges, fees, or assessments sufficient to pay for the program or
P4    1level of service mandated by this act, within the meaning of Section
217556 of the Government Code.

end insert


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