BILL NUMBER: AB 2381	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 26, 2016
	AMENDED IN ASSEMBLY  APRIL 11, 2016

INTRODUCED BY   Assembly Member Roger Hernández

                        FEBRUARY 18, 2016

   An act to add Section 740.13 to the Public Utilities Code,
relating to electricity.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2381, as amended, Roger Hernández. Electricity: power outages:
bill credits.
   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.
   This bill would require electrical corporations, on or before July
1,  2017,   2018,  to establish utility
service guarantee programs. The bill would require the programs to
automatically provide each customer that experiences an outage for a
continuous 24-hour period a $30 bill credit for each  continuous
 24-hour period that the customer was without power, which would
be borne exclusively by the shareholders of the electrical
corporations. The bill would also require electrical corporations to
engage in public outreach and educate the public about the program to
increase public awareness.
   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:

  SECTION 1.  This act shall be known, and may be cited, as the
Consumers and Utilities Partnership Act of 2016.
  SEC. 2.  The Legislature finds and declares all of the following:
   (a) Power outages lasting more than 24 hours have the potential to
significantly disrupt people's lives.
   (b) Problems that people may face during an extended outage
include loss of food, lost work productivity, and an inability to use
important medical devices.
   (c) It is critical to ensure that individuals who suffer from an
extended outage, especially those who are unable to document their
losses, have the opportunity to receive financial remuneration to
compensate them for disruptions.
  SEC. 3.  Section 740.13 is added to the Public Utilities Code, to
read:
   740.13.  (a) An electrical corporation, on or before July 1,
 2017,   2018,  shall establish a utility
service guarantee program. The program  shall do all of the
following: 
    (1)     Automatically
  shall automatically  provide each customer that
experiences an outage for a continuous 24-hour period a thirty-dollar
($30) bill credit for each  continuous  24-hour period that
the customer was without power. 
   (2) The commission shall, beginning January 1, 2018, adjust the
amount of the bill credit by the annual percentage increase in the
Consumer Price Index for the prior calendar year. 
   (b) Any expense incurred pursuant to this section shall not be
recoverable either directly or indirectly in rates and shall be borne
exclusively by the shareholders of the electrical corporation.
   (c) An electrical corporation shall engage in public outreach and
educate the public about the program to increase public awareness.
   (d) An electrical corporation, on or before July 2,  2018,
  2019,  and annually thereafter, shall report to
the Legislature on the number of customers provided a bill credit and
the total amount credited to customers through  this
  the electrical corporation's  program.
   (e) An electrical corporation that, on or before January 1, 2017,
has a program that provides a bill credit to each customer that
experiences an outage shall update that program to comply with the
requirements of this section instead of creating a new program.
   (f) This section does not apply to an outage under any of the
following circumstances:
   (1) The outage is planned and for maintenance.
   (2) The outage is caused by a moderate, severe, or catastrophic
storm condition.
   (3) The facilities, lines, equipment, or other property necessary
to restore power are  unaccessible  
inaccessible  or are deemed unsafe to access.
   (4) The outage occurs during a declared emergency event or cause
related to force majeure.
   (5) The affected service location is vacant.
   (g) The bill credit provided by this section is not an exclusive
remedy and does not affect any other relief or remedy provided by
law.
  SEC. 4.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.