Amended in Assembly June 15, 2016

Amended in Senate May 27, 2016

Amended in Senate April 11, 2016

Senate BillNo. 1049


Introduced by Senator Hill

February 12, 2016


begin deleteAn act to amend Section 316 of the Public Utilities Code, relating to energy public utilities. end deletebegin insertAn act to add Section 326 to the Public Utilities Code, relating to the Public Utilities Commission.end insert

LEGISLATIVE COUNSEL’S DIGEST

SB 1049, as amended, Hill. begin deleteElectrical corporations and gas corporations: accident investigations. end deletebegin insertPublic Utilities Commission: close call reporting program.end insert

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Under existing law, the Public Utilities Commission has regulatory authority over public utilities. The California Constitution authorizes the commission to establish rules for all public utilities, subject to control by the Legislature.

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This bill would require the commission to establish procedures and processes to implement a confidential, nonpunitive, and independent close call reporting program for purposes of facilitating the identification of accident precursors by persons familiar with public utility operations and of collecting, analyzing, and disseminating unbiased safety information. The bill would authorize any person to voluntarily submit through the program a confidential close call report that both involves a public utility and relates to public, employee, or contractor safety.

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Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations and gas corporations. The Natural Gas Pipeline Safety Act of 2011 requires each gas corporation to develop a plan, as specified, for the safe and reliable operation of its commission-regulated gas pipeline facility, as defined. Existing law requires the commission to adopt inspection, maintenance, repair, and replacement standards for the distribution systems of electrical corporations in order to provide high-quality, safe, and reliable service. Existing law requires every electrical corporation to cooperate fully with the commission in an investigation into any major accident or any reportable incident, as defined by the commission, concerning overhead electric supply facilities, regardless of pending litigation or other investigations, including those that may be related to a commission investigation. Existing law requires every electrical corporation, after the scene of the incident has been made safe and service has been restored, to provide the commission, upon its request, immediate access to specified evidence, information, and documents, including any and all documents under the electrical corporation’s control that are related to the incident and are not subject to attorney-client privilege or attorney work product doctrine.

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This bill would require every electrical corporation to cooperate fully with the commission in an investigation into any major accident or any reportable incident concerning any electric supply facilities, rather than only overhead electric supply facilities. The bill would make the above-described requirements that are currently applicable to an electrical corporation additionally applicable to gas corporations, but would permit all of these corporations to postpone commission access to the specified evidence, information, and documents until after service restoration only in the case of a major outage. The bill would provide that facts, information, or documents that concern, discuss, or analyze an accident or a failure involving electrical corporation or gas corporation facilities, but that themselves are not privileged or subject to the attorney work product doctrine, may not be withheld from the commission on the basis that they are or were referenced or discussed in a communication with counsel or incorporated into an attorney’s work product.

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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.

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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.

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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.

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

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Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: begin deleteyes end deletebegin insertnoend insert.

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

P3    1begin insert

begin insertSECTION 1.end insert  

end insert

begin insertSection 326 is added to the end insertbegin insertPublic Utilities Codeend insertbegin insert,
2to read:end insert

begin insert
3

begin insert326.end insert  

(a) The commission shall establish procedures and
4processes to implement a confidential, nonpunitive, and
5independent close call reporting program for purposes of
6facilitating the identification of accident precursors by persons
7familiar with public utility operations, including, but not limited
8to, public utility employees and contractors, and of collecting,
9analyzing, and disseminating unbiased safety information. Through
10the program, any person, including, but not limited to, a public
11utility employee or contractor or a member of the public, may
12voluntarily submit a confidential close call report that both involves
13a public utility and relates to public, employee, or contractor
14safety.

15
(b) The commission shall not use a report pursuant to
16 subdivision (a) or information derived therefrom, except for
17information concerning an accident or criminal offense, in an
18enforcement action. The commission may establish additional
19exceptions to this subdivision.

20
(c) The commission may contract with a third party to administer
21the program.

22
(d) A public utility employee or the employee of a contractor
23performing work for a public utility shall not be subject to
24demotion, discharge, or any other form of retaliation or
25discrimination for participating in the close call reporting program
26established pursuant to this section.

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begin delete
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SECTION 1.  

Section 316 of the Public Utilities Code is
2amended to read:

3

316.  

(a) Each electrical corporation and gas corporation shall
4cooperate fully with the commission in an investigation into any
5major accident or any reportable incident, as these terms are defined
6by the commission, concerning electric supply facilities and
7commission-regulated gas pipeline facilities, regardless of pending
8litigation or other investigations, including, but not limited to,
9those that may be related to a commission investigation.

10(b) After the scene of the incident has been made safe and, in
11the case of a major outage, service has been restored, each electrical
12corporation and gas corporation shall provide the commission,
13upon its request, immediate access to all of the following:

14(1) Any factual or physical evidence under the electrical or gas
15corporation’s, or its agent’s, physical control, custody, or
16possession related to the incident.

17(2) The name and contact information of any known percipient
18witness.

19(3) Any employee percipient witness under the electrical or gas
20corporation’s control.

21(4) The name and contact information of any person or entity
22that has taken possession of any physical evidence removed from
23the site of the incident.

24(5) Any and all documents under the electrical or gas
25corporation’s control that are related to the incident and are not
26subject to attorney-client privilege or the attorney work product
27doctrine. Facts, information, or documents that concern, discuss,
28or analyze an accident or a failure involving utility facilities, but
29that themselves are not privileged or subject to the attorney work
30product doctrine, may not be withheld from the commission on
31the basis that they are or were referenced or discussed in a
32communication with counsel or incorporated into an attorney’s
33work product.

34(c) Each electrical corporation and gas corporation shall preserve
35any and all documents or evidence it collects as part of its own
36investigation related to the incident for at least five years or a
37shorter period of time as authorized by the commission.

38(d) Any and all documents collected by an electrical corporation
39or gas corporation pursuant to this section shall be catalogued and
P5    1preserved in an accessible manner for assessment by commission
2investigators as determined by the commission.

3

SEC. 2.  

No reimbursement is required by this act pursuant to
4Section 6 of Article XIII B of the California Constitution because
5the only costs that may be incurred by a local agency or school
6district will be incurred because this act creates a new crime or
7infraction, eliminates a crime or infraction, or changes the penalty
8for a crime or infraction, within the meaning of Section 17556 of
9the Government Code, or changes the definition of a crime within
10the meaning of Section 6 of Article XIII B of the California
11Constitution.

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