BILL NUMBER: AB 2603 INTRODUCED
BILL TEXT
INTRODUCED BY Assembly Member Nazarian
FEBRUARY 19, 2016
An act to amend Sections 1801.3 and 1802 of, and to add Section
1809 to, the Public Utilities Code, relating to proceedings of the
Public Utilities Commission.
LEGISLATIVE COUNSEL'S DIGEST
AB 2603, as introduced, Nazarian. Public Utilities Commission:
proceedings: intervenor compensation.
Under existing law, the Public Utilities Commission has broad
regulatory authority pursuant to the California Constitution and the
Public Utilities Act over public utilities, as defined, including
common carriers, toll bridge corporations, electrical corporations,
gas corporations, pipeline corporations, telephone corporations,
telegraph corporations, water corporations, sewer system
corporations, and heat corporations. In addition, the commission has
more limited authority over certain other corporations, including
charter-party carriers of passengers. Existing law provides
compensation for reasonable advocate's fees, reasonable expert
witness fees, and other reasonable costs to public utility customers
and representatives of customers for participation or intervention in
formal proceedings of the commission involving electrical, gas,
water, telegraph, and telephone public utilities.
This bill would additionally authorize compensation to be awarded
by the commission for reasonable advocate's fees, reasonable expert
witness fees, and other reasonable costs to customers and
representatives of customers for participation or intervention in
formal proceedings of the commission involving a corporation that is
subject to regulation by the commission pursuant to the Passenger
Charter-Party Carriers' Act.
Existing law requires the commission to deny compensation to any
customer who attempts to delay or obstruct the orderly and timely
fulfillment of the commission's responsibilities.
This bill would require the commission to deny any claim for
compensation for contributions to a closed proceeding unless
otherwise specified.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 1801.3 of the Public Utilities Code is amended
to read:
1801.3. It is the intent of the Legislature that:
(a) The provisions of this article shall apply to all formal
proceedings of the commission involving electric,
electrical, gas, water, telegraph, and
telephone utilities. corporations
and to corporations that are subject to regulation by the commission
pursuant to Chapter 8 (commencing with Section 5351) of Division 2.
(b) The provisions of this article shall be administered in a
manner that encourages the effective and efficient participation of
all groups that have a stake in the public utility regulation
process.
(c) The process for finding eligibility for intervenor
compensation be streamlined, by simplifying the preliminary showing
by an intervenor of issues, budget, and costs.
(d) Intervenors be compensated for making a substantial
contribution to proceedings of the commission, as determined by the
commission in its orders and decisions.
(e) Intervenor compensation be awarded to eligible intervenors in
a timely manner, within a reasonable period after the intervenor has
made the substantial contribution to a proceeding that is the basis
for the compensation award.
(f) This article shall be administered in a manner that avoids
unproductive or unnecessary participation that duplicates the
participation of similar interests otherwise adequately represented
or participation that is not necessary for a fair determination of
the proceeding.
SEC. 2. Section 1802 of the Public Utilities Code is amended to
read:
1802. As used in this article:
(a) "Compensation" means payment for all or part, as determined by
the commission, of reasonable advocate's fees, reasonable expert
witness fees, and other reasonable costs of preparation for and
participation in a proceeding, and includes the fees and costs of
obtaining an award under this article and of obtaining judicial
review, if any.
(b) (1) "Customer" means any of the following:
(A) A participant representing consumers, customers, or
subscribers of any electrical, gas, telephone, telegraph, or water
corporation that is subject to the jurisdiction of the
commission. corporation or representing consumers,
customers, or passengers of any corporation subject to regulation by
the commission pursuant to Chapter 8 (commencing with Section 5351)
of Division 2.
(B) A representative who has been authorized by a customer.
(C) A representative of a group or organization authorized
pursuant to its articles of incorporation or bylaws to represent the
interests of residential customers, or to represent small commercial
customers who receive bundled electric service from an electrical
corporation.
(2) "Customer" does not include any state, federal, or local
government agency, any publicly owned public utility, or any entity
that, in the commission's opinion, was established or formed by a
local government entity for the purpose of participating in a
commission proceeding.
(c) "Expert witness fees" means recorded or billed costs incurred
by a customer for an expert witness.
(d) "Other reasonable costs" means reasonable out-of-pocket
expenses directly incurred by a customer that are directly related to
the contentions or recommendations made by the customer that
resulted in a substantial contribution.
(e) "Party" means any interested party, respondent public utility,
or commission staff in a hearing or proceeding.
(f) "Proceeding" means an application, complaint, or
investigation, rulemaking, alternative dispute resolution procedures
in lieu of formal proceedings as may be sponsored or endorsed by the
commission, or other formal proceeding before the commission.
(g) "Significant financial hardship" means either that the
customer cannot afford, without undue hardship, to pay the costs of
effective participation, including advocate's fees, expert witness
fees, and other reasonable costs of participation, or that, in the
case of a group or organization, the economic interest of the
individual members of the group or organization is small in
comparison to the costs of effective participation in the proceeding.
(h) "Small commercial customer" means any nonresidential customer
with a maximum peak demand of less than 50 kilowatts. The commission
may establish rules to modify or change the definition of "small
commercial customer," including use of criteria other than a peak
demand threshold, if the commission determines that the modification
or change will promote participation in proceedings at the commission
by organizations representing small businesses, without
incorporating large commercial and industrial customers.
(i) "Substantial contribution" means that, in the judgment of the
commission, the customer's presentation has substantially assisted
the commission in the making of its order or decision because the
order or decision has adopted in whole or in part one or more factual
contentions, legal contentions, or specific policy or procedural
recommendations presented by the customer. Where the customer's
participation has resulted in a substantial contribution, even if the
decision adopts that customer's contention or recommendations only
in part, the commission may award the customer compensation for all
reasonable advocate's fees, reasonable expert fees, and other
reasonable costs incurred by the customer in preparing or presenting
that contention or recommendation.
SEC. 3. Section 1809 is added to the Public Utilities Code, to
read:
1809. The commission shall deny any claim for compensation for
contributions to a closed proceeding unless otherwise specified in
this article.