Amended in Assembly April 20, 2016

Amended in Assembly April 5, 2016

California Legislature—2015–16 Regular Session

Assembly BillNo. 2141


Introduced by Assembly Member Ting

February 17, 2016


An act to add Section 748 to the Public Utilities Code, relating to energy.

LEGISLATIVE COUNSEL’S DIGEST

AB 2141, as amended, Ting. Energy assistance:begin delete Cornerend deletebegin insert cornerend insert stores.

Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations. 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 each electrical corporation and gas corporation to develop and implement a program of rate assistance to eligible food banks at a fixed percentage to be determined by the commission and subject to direction and supervision by the commission. Existing law requires all public utilities to develop programs, in cooperation with local school districts, to reducebegin delete theirend deletebegin insert theend insert electricity and gas billsbegin insert of those school districtsend insert through conservation and improvements in efficiency. Pursuant to existing law, the commission supervises various energy efficiency and low-income targeted energy efficiency programs administered by electrical corporations, gas corporations, and third-party administrators.

This bill would require each electrical corporation and gas corporation to develop a program, subject to direction and supervision by the commission, that provides incentives and assistance to owners, operators, or lessees of corner stores, as defined, to reduce their electricity and gas bills through conservation and energy efficiency improvements, including the placementbegin insert of,end insert or replacement ofbegin insert less efficient equipment with,end insert free or low-cost energy-efficient refrigeration in order to improve a community’s access to healthy and fresh food options. The bill would require that the program give priority to low-income or lower income, as defined, areas and communities, areas and communities with limited access to healthy food, including those areas and communities that are considered to be food deserts, as defined, and communities with higher rates of diet-related diseases, as defined. The bill would require each electrical and gasbegin delete corporationend deletebegin insert corporation, in designing its program, to consult with store owners, product vendors, refrigeration manufacturers, and the Office of Farm to Fork in the Department of Food and Agriculture. The bill would require each electrical and gas corporationend insert to submit its proposal for the program to the commission by January 1, 2018, and would require the commission to authorize or deny implementation of the program by July 1, 2018.

Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime.

Because the provisions of this bill would be a part of the act and because a violation of an order or decision of the commission implementing its requirements would be a crime, the bill would impose a state-mandated local program by creating a new crime.

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.

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

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

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

P2    1

SECTION 1.  

Section 748 is added to the Public Utilities Code,
2to read:

3

748.  

(a) For purposes of this section, the following terms have
4the following meanings:

P3    1(1) “Corner store” means a small-scale store or grocery store,
2either an independent store or a chain store, that sells a limited
3selection of foods and other products, in rural, urban, and suburban
4settings. “Corner store” includes stores that are not located on a
5corner and stores commonly referred to as convenience stores or
6neighborhood stores.

7(2) “Diet-related diseases” includes, but is not limited to, obesity,
8diabetes, cancer, and cardiovascular diseases.

9(3) “Food desert” means an area or community that lacks or is
10begin delete absentend deletebegin insert devoidend insert of grocery stores or supermarkets that sell fresh
11produce and healthy food options.

12(4) “Low-income or lower income” means households with
13annual incomes that are no greater than 400 percent of the federal
14poverty level.

15(b) (1) Subject to the direction and approval of the commission,
16each electrical corporation and gas corporation shall develop and
17implement a program to provide incentives and assistance to
18owners, operators, or lessees of corner stores to reduce their
19electricity and gas bills through conservation and energy efficiency
20improvements, including, but not limited to, the placementbegin insert of,end insert or
21replacement ofbegin insert less efficient equipment with,end insert free or low-cost
22energy-efficient refrigeration in order to improve a community’s
23access to healthy and fresh food options.

24(2)  The program shall require participating corner stores to
25 agree to sell fresh produce and other healthy foods for a minimum
26of three years. The commission may impose other conditions to
27ensure the integrity of the program and to protect ratepayers. The
28begin delete three yearend deletebegin insert three-yearend insert requirement shall not be enforceable if the
29individual or entity, or its successor, owning, operating, or leasing
30the corner store ceases all of its retail food sales operations.

31(3) The program shall give priority to, but is not limited to, the
32following:

33(A) Low-income or lower income areas and communities.

34(B) Areas and communities with limited access to healthy food,
35including those that are considered to be food deserts.

36(C) Communities with higher rates of diet-related diseases.

37(4) The program shall encourage and include outreach to corner
38stores to promote participation.

39(c) (1) begin deleteEach end deletebegin insertIn designing its program, each end insertelectrical
40corporation and gas corporation shallbegin insert consult with store owners,
P4    1product vendors, refrigeration manufacturers, and the Office of
2Farm to Fork in the Department of Food and Agriculture. Each
3electrical corporation and gas corporation shallend insert
submit its proposal
4for the program to the commission by January 1, 2018.

begin insert

5
(2) Each electrical corporation and gas corporation shall
6consult with the Office of Farm to Fork to determine which foods
7should be considered fresh and healthy and how much refrigerated
8space should be available under this program for healthy food
9options.

end insert
begin delete

10(2)

end delete

11begin insert(3)end insert The commission may approve the proposal, modify and
12approve the proposal, or direct the utility to file a new proposal
13with elements specified by the commission by a date certain.

begin delete

14(3)

end delete

15begin insert(4)end insert The commission shall authorize or deny implementation of
16the program by July 1, 2018.

17(d) The commission shall implement an equitable means to fund
18the program, which may include, but is not limited to,
19overcollections pursuant to the California Alternate Rates for
20Energy (CARE) program, the Energy Savings Assistance Program
21established pursuant to Section 382, and other energy efficiency
22funds or programs subject to the commission’s oversight.

23

SEC. 2.  

No reimbursement is required by this act pursuant to
24Section 6 of Article XIII B of the California Constitution because
25the only costs that may be incurred by a local agency or school
26district will be incurred because this act creates a new crime or
27infraction, eliminates a crime or infraction, or changes the penalty
28for a crime or infraction, within the meaning of Section 17556 of
29the Government Code, or changes the definition of a crime within
30the meaning of Section 6 of Article XIII B of the California
31Constitution.



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