BILL ANALYSIS Ó
SB 631
Page 1
SENATE THIRD READING
SB
631 (Hueso)
As Amended June 17, 2015
Majority vote
SENATE VOTE: 29-4
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|Committee |Votes|Ayes |Noes |
| | | | |
| | | | |
| | | | |
|---------------+-----+----------------------+--------------------|
|Utilities |14-0 |Rendon, Patterson, | |
| | |Achadjian, Bonilla, | |
| | |Burke, Eggman, | |
| | |Cristina Garcia, | |
| | |Hadley, | |
| | | | |
| | | | |
| | |Roger Hernández, | |
| | |Obernolte, Quirk, | |
| | |Santiago, Ting, | |
| | |Williams | |
| | | | |
|---------------+-----+----------------------+--------------------|
|Appropriations |10-3 |Gomez, Bloom, Bonta, |Bigelow, Gallagher, |
| | |Calderon, Eggman, |Jones |
| | | | |
| | | | |
| | |Eduardo Garcia, | |
| | |Quirk, Rendon, Weber, | |
SB 631
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| | |Wood | |
| | | | |
| | | | |
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SUMMARY: Specifies that the fee for filing a certificate of
public convenience and necessity (CPCN) with the Public
Utilities Commission (CPUC) is $500. Specifically, this bill:
1)Increases the application filing fee for a CPCN issued to a
telephone corporation and other utilities from $75 to $500.
2)Authorizes the CPUC to adjust the fee based on the Consumer
Price Index.
3)Repeals a section of the statute which requires collected CPCN
application fees to be paid to the credit of the General Fund.
FISCAL EFFECT: According to the Assembly Appropriations
Committee, there will be minor annual fee revenue increases of
approximately $8,500 (Public Utilities Reimbursement Account).
According to the CPUC, there are approximately 20 CPCN
application filings per year.
COMMENTS:
1)Background: A CPCN is a permit issued by the CPUC to a
utility that wants to provide service or construct or extend
facilities or telecommunications services. A $75 fee on CPCN
applications was established in statute in 1969. The CPCN
application process involves the participation of an
administrative law judge, CPUC staff, and commissioners, and
is a lengthy and in-depth public process. It involves review
SB 631
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of California Environmental Quality Act documents, cost
analysis, need analysis, and extensive workshops and public
hearings.
2)Purpose: The costs of processing a CPCN application are not
well reflected in the $75 fee established in law nearly half a
century ago. However, the CPUC does not have authority to
revise the application fee without a change in the statute.
In 2013, the CPUC adopted Decision (D.) 13-05-035 which
acknowledged the need to increase the CPCN fee with
legislative approval. In that decision, the CPUC stated that
had the application fee been adjusted for inflation, the 2013
fee would have been $432.
Analysis Prepared by:
Allegra Roth / U. & C. / (916) 319-2083 FN:
0001188