BILL NUMBER: SB 1222 AMENDED
BILL TEXT
AMENDED IN SENATE APRIL 27, 2016
AMENDED IN SENATE APRIL 12, 2016
AMENDED IN SENATE MARCH 29, 2016
INTRODUCED BY Senator Hertzberg
FEBRUARY 18, 2016
An act to amend Section 830.11 of the Penal Code, to repeal
Section 25403 of the Public Resources Code, and to amend Sections
308.5, 309.7, 353.13, 353.15, 454.1, 740.5, 910.4, 913.2, 913.4,
913.5, 913.9, 913.10, 914.3, 918.1, 956, 958.5, 2870,
2872.5, 2892.1, 3368, 5371.4, 5381.5, and 7661 of, to add Section
913.14 to, to add and repeal Section 913.15 of, and to repeal
Sections 318, 350, 747.5, 910.5, 910.6, 913.3, 913.6, 913.8,
913.9, 913.11, 913.13, 918.2, 2714.5, 2827.3, 2845, and
2867.1 of, the Public Utilities Code, relating to the Public
Utilities Commission.
LEGISLATIVE COUNSEL'S DIGEST
SB 1222, as amended, Hertzberg. Public Utilities Commission:
reports.
The California Constitution establishes the Public Utilities
Commission (PUC), with jurisdiction over all public utilities. The
California Constitution grants the PUC certain general powers over
all public utilities, subject to control by the Legislature, and
authorizes the Legislature to confer additional authority and
jurisdiction upon the PUC that is cognate and germane to the
regulation of public utilities. Existing law requires the PUC to
submit various reports to the Legislature, legislative committees,
and the Governor, as specified.
This bill would change the date by which the PUC must submit
specified reports, change the contents of specified reports,
reassign to the Energy Commission the PUC's duty to prepare a
specified report, and repeal the provisions requiring the PUC
to submit specified reports. The bill would repeal a reporting
requirement of electrical corporations and the PUC with respect to
the 21st Century Energy System Decision, as defined. The bill would
repeal a requirement that the PUC conduct a zero-based budget for all
of its programs by January 10, 2015.
Existing law requires the State Energy Resources Conservation and
Development Commission (Energy Commission) to submit to the PUC and
to any local publicly owned electric utility recommendations designed
to reduce wasteful, unnecessary, or uneconomic energy consumption
resulting from specified practices, including differential rate
structures, cost-of-service allocations, the disallowance of a
business expense of advertising or promotional activities that
encourage the use of electricity, peakload pricing, and other pricing
measures. Existing law requires the PUC or
and local publicly owned electric utility
utilities to review and consider the recommendations of
the Energy Commission and, within 6 months after the date it
receives they receive them, to report to the
Governor and the Legislature its their
actions and reasons therefor with respect to each recommendation.
This bill would repeal these requirements.
The California Global Warming Solutions Act of 2006 establishes
the State Air Resources Board (state board) as the state agency
responsible for monitoring and regulating sources emitting greenhouse
gases. Existing law requires the state board to report to the
Governor and the Legislature by December 31, 2011, on the reduction
in emissions of greenhouse gases resulting from the increase of new
electrical generation that utilizes excess waste heat through
combined heat and power systems and recommend policies that further
the goals of the Waste Heat and Carbon Emissions Reduction Act.
This bill would repeal this reporting requirement.
This bill would also make various technical changes, including,
but not limited to, changes to the responsibilities of various
divisions of the PUC.
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. This act shall be known, and may be cited, as the
Public Utilities Commission Accountability Act of 2016.
SEC. 2. Section 830.11 of the Penal Code is amended to read:
830.11. (a) The following persons are not peace officers but may
exercise the powers of arrest of a peace officer as specified in
Section 836 and the power to serve warrants as specified in Sections
1523 and 1530 during the course and within the scope of their
employment, if they receive a course in the exercise of those powers
pursuant to Section 832. The authority and powers of the persons
designated under this section shall extend to any place in the state:
(1) Persons employed by the Department of Business Oversight
designated by the Commissioner of Business Oversight, provided that
the primary duty of these persons shall be the enforcement of, and
investigations relating to, the provisions of law administered by the
Commissioner of Business Oversight.
(2) Persons employed by the Bureau of Real Estate designated by
the Real Estate Commissioner, provided that the primary duty of these
persons shall be the enforcement of the laws set forth in Part 1
(commencing with Section 10000) and Part 2 (commencing with Section
11000) of Division 4 of the Business and Professions Code. The Real
Estate Commissioner may designate persons under this section, who at
the time of their designation, are assigned to the Special
Investigations Unit, internally known as the Crisis Response Team.
(3) Persons employed by the State Lands Commission designated by
the executive officer, provided that the primary duty of these
persons shall be the enforcement of the law relating to the duties of
the State Lands Commission.
(4) Persons employed as investigators of the Investigations Bureau
of the Department of Insurance, who are designated by the Chief of
the Investigations Bureau, provided that the primary duty of these
persons shall be the enforcement of the Insurance Code and other laws
relating to persons and businesses, licensed and unlicensed by the
Department of Insurance, who are engaged in the business of
insurance.
(5) Persons employed as investigators by the Public Utilities
Commission, who are designated by the commission's executive director
and approved by the commission, and their supervisors up to the
director level, provided that the primary duty of these persons shall
be the enforcement of the law as that duty is set forth in Section
308.5 of the Public Utilities Code.
(6) (A) Persons employed by the State Board of Equalization,
Investigations Division, who are designated by the board's executive
director, provided that the primary duty of these persons shall be
the enforcement of laws administered by the State Board of
Equalization.
(B) Persons designated pursuant to this paragraph are not entitled
to peace officer retirement benefits.
(7) Persons employed by the Department of Food and Agriculture and
designated by the Secretary of Food and Agriculture as
investigators, investigator supervisors, and investigator managers,
provided that the primary duty of these persons shall be enforcement
of, and investigations relating to, the Food and Agricultural Code or
Division 5 (commencing with Section 12001) of the Business and
Professions Code.
(8) The Inspector General and those employees of the Office of the
Inspector General as designated by the Inspector General, provided
that the primary duty of those persons shall be the enforcement of
the law relating to the duties of the Office of the Inspector
General.
(b) Notwithstanding any other provision of law, persons designated
pursuant to this section may not carry firearms.
(c) Persons designated pursuant to this section shall be included
as "peace officers of the state" under paragraph (2) of subdivision
(c) of Section 11105 for the purpose of receiving state summary
criminal history information and shall be furnished that information
on the same basis as peace officers of the state designated in
paragraph (2) of subdivision (c) of Section 11105.
SEC. 3. Section 25403 of the Public Resources Code is repealed.
SEC. 4. Section 308.5 of the Public Utilities Code is amended to
read:
308.5. Persons employed as investigators by the commission, who
are designated by the commission's executive director and approved by
the commission, and their supervisors up to the director level, have
the authority of peace officers, as specified in paragraph (5) of
subdivision (a) of Section 830.11 of the Penal Code, while engaged in
exercising the powers granted to or performing the duties imposed
upon them in investigating the laws, orders, or regulations
administered by the commission or commencing directly or indirectly
any criminal prosecution arising from any investigation conducted
under these laws. All persons herein referred to shall be deemed to
be acting within the scope of employment with respect to all acts and
matters set forth in this section.
SEC. 5. Section 309.7 of the Public Utilities Code is amended to
read:
309.7. (a) The division of the commission responsible for
railroad safety shall be responsible for inspection, surveillance,
and investigation of the rights-of-way, facilities, equipment, and
operations of railroads and public mass transit guideways, and for
enforcing state and federal laws, regulations, orders, and directives
relating to transportation of persons or commodities, or both, of
any nature or description by rail. The division of the commission
responsible for railroad safety shall advise the commission on all
matters relating to rail safety, and shall propose to the commission
rules, regulations, orders, and other measures necessary to reduce
the dangers caused by unsafe conditions on the railroads of the
state. The delegation of enforcement responsibility to the division
of the commission responsible for railroad safety shall not diminish
the power of other agencies of state government to enforce laws
relating to employee or environmental safety, pollution prevention,
or public health and safety.
(b) In performing its duties, the division of the commission
responsible for railroad safety shall exercise all powers of
investigation granted to the commission, including rights to enter
upon land or facilities, inspect books and records, and compel
testimony. The commission shall employ sufficient federally certified
inspectors to ensure at the time of inspection that railroad
locomotives and equipment and facilities located in class I railroad
yards in California are inspected not less frequently than every 180
days, and all main and branch line tracks are inspected not less
frequently than every 12 months. In performing its duties, the
division of the commission responsible for railroad safety shall
consult with representatives of railroad corporations, labor
organizations representing railroad employees, and the Federal
Railroad Administration.
(c) The general counsel shall assign to the division of the
commission responsible for railroad safety the personnel and
attorneys necessary to fully utilize the powers granted to the
commission by any state law, and by any federal law relating to rail
transportation, to enforce safety laws, rules, regulations, and
orders, and to collect fines and penalties resulting from the
violation of any safety rule or regulation.
(d) The activities of the division of the commission responsible
for railroad safety that relate to safe operation of common carriers
by rail, other than those relating to grade crossing protection,
shall also be supported by the fees paid by railroad corporations, if
any, pursuant to Sections 421 to 424, inclusive. The activities of
the division of the commission responsible for railroad safety that
relate to grade crossing protection shall be supported by funds
appropriated therefor from the State Highway Account in the State
Transportation Fund.
SEC. 6. Section 318 of the Public Utilities Code is repealed.
SEC. 7. Section 350 of the Public Utilities Code is repealed.
SEC. 8. Section 353.13 of the Public Utilities Code is amended to
read:
353.13. (a) The commission shall require each electrical
corporation to establish new tariffs on or before January 1, 2003,
for customers using distributed energy resources, including, but not
limited to, those that do not meet all of the criteria described in
Section 353.1. However, after January 1, 2003, distributed energy
resources that meet all of the criteria described in Section 353.1
shall continue to be subject only to those tariffs in existence
pursuant to Section 353.3, until June 1, 2011, except that
installations that do not operate in a combined heat and power
application will be subject to those tariffs in existence pursuant to
Section 353.3 only until June 1, 2006. Those tariffs required
pursuant to this section shall ensure that all net distribution costs
incurred to serve each customer class, taking into account the
actual costs and benefits of distributed energy resources,
proportional to each customer class, as determined by the commission,
are fully recovered only from that class. The commission shall
require each electrical corporation, in establishing those rates, to
ensure that customers with similar load profiles within a customer
class will, to the extent practicable, be subject to the same utility
rates, regardless of their use of distributed energy resources to
serve onsite loads or over-the-fence transactions allowed under
Sections 216 and 218. Customers with dedicated facilities shall
remain responsible for their obligations regarding payment for those
facilities.
(b) In establishing the tariffs, the commission shall consider
coincident peakload, and the reliability of the onsite generation, as
determined by the frequency and duration of outages, so that
customers with more reliable onsite generation and those that reduce
peak demand pay a lower cost-based rate.
SEC. 9. Section 353.15 of the Public Utilities Code is amended to
read:
353.15. (a) In order to evaluate the efficiency, emissions, and
reliability of distributed energy resources with a capacity greater
than 10 kilowatts, customers that install those resources pursuant to
this article shall report to the commission, on an annual basis, all
of the following information, as recorded on a monthly basis:
(1) Heat rate for the resource.
(2) Total kilowatthours produced in the peak and off-peak periods,
as determined by the ISO.
(3) Emissions data for the resource, as required by the State Air
Resources Board or the appropriate air quality management district or
air pollution control district.
(b) The commission shall release the information submitted
pursuant to subdivision (a) in a manner that does not identify the
individual user of the distributed energy resource.
SEC. 10. Section 454.1 of the Public Utilities Code is amended to
read:
454.1. (a) Except as provided in subdivision (b), if a customer
with a maximum peak electrical demand in excess of 20 kilowatts
located or planning to locate within the service territory of an
electrical corporation receives a bona fide offer for electric
service from an irrigation district at rates less than the electrical
corporation's tariffed rates, the electrical corporation may
discount its noncommodity rates, but may not discount its
noncommodity rates below its distribution marginal cost of serving
that customer. For purposes of this subdivision, the costs of the
electric commodity shall be excluded from both the irrigation
district and electric corporation's rates. The electrical corporation
may recover any difference between its tariffed and discounted
service from its remaining customers, allocated as determined by the
commission. However, the reallocation may not increase rates to its
remaining customers by any greater amount than the rates would be
increased if the customer had taken electric distribution service
from the irrigation district and the irrigation district had paid the
charge established in subdivision (e) of Section 9607. Further,
there shall be a firewall preventing the reallocation of such
differences resulting from discounting to residential customers or to
commercial customers with maximum peak demands not in excess of 20
kilowatts.
(b) Subdivision (a) does not apply to a cumulative 75 megawatts of
load served by the Merced Irrigation District, determined as
follows:
(1) The load is located within the boundaries of Merced Irrigation
District, as those boundaries existed on December 20, 1995, together
with the territory of Castle Air Force Base which was located
outside the district on that date.
(2) For purposes of this section, a megawatt of load shall be
calculated in accordance with the methodology established by the
California Energy Resource Conservation
and Development Commission in its Docket No. 96-IRR-1890.
(c) Subdivision (a) applies to the load of customers that move to
the areas described in paragraph (1) of subdivision (b) after
December 31, 2000, and such load shall be excluded from the
calculation of the 75 megawatts in subdivision (b).
(d) If an electrical corporation seeks to apply the discounts
permitted under subdivision (a) within the geographic area described
in subdivision (b) of Section 9610, the electrical corporation's
resulting rate for distribution service may not be less than 120
percent of the electrical corporation's marginal distribution cost of
serving that customer.
SEC. 11. Section 740.5 of the Public Utilities Code is amended to
read:
740.5. (a) For purposes of this section, "21st Century Energy
System Decision" means commission Decision 12-12-031 (December 20,
2012), Decision Granting Authority to Enter Into a Research and
Development Agreement with Lawrence Livermore National Laboratory for
21st Century Energy Systems and for costs up to $152.19 million, or
any subsequent decision in Application 11-07-008 (July 18, 2011),
Application of Pacific Gas and Electric Company (U39M), San Diego Gas
and Electric Company (U902E), and Southern California Edison Company
(U338E) for Authority to Increase Electric Rates and Charges to
Recover Costs of Research and Development Agreement with Lawrence
Livermore National Laboratory for 21st Century Energy Systems.
(b) In implementing the 21st Century Energy System Decision, the
commission shall not authorize recovery from ratepayers of any
expense for research and development projects that are not for
purposes of cyber security and grid integration. Total funding for
research and development projects for purposes of cyber security and
grid integration pursuant to the 21st Century Energy System Decision
shall not exceed thirty-five million dollars ($35,000,000). All cyber
security and grid integration research and development projects
shall be concluded by the fifth anniversary of their start date.
(c) The commission shall not approve for recovery from ratepayers
those program management expenditures proposed, commencing with page
seven, in the joint advice letter filed by the state's three largest
electrical corporations, Advice 3379-G/4215-E (Pacific Gas and
Electric Company), Advice 2887-E (Southern California Edison
Company), and Advice 2473-E (San Diego Gas and Electric Company),
dated April 19, 2013. Project managers for the 21st Century Energy
System Decision shall be limited to three representatives, one
representative each from Pacific Gas and Electric Company, Southern
California Edison Company, and San Diego Gas and Electric Company.
(d) The commission shall require the Lawrence Livermore National
Laboratory, as a condition for entering into any contract pursuant to
the 21st Century Energy System Decision, and Pacific Gas and
Electric Company, Southern California Edison Company, and San Diego
Gas and Electric Company to ensure that research parameters reflect a
new contribution to cyber security and that there not be a
duplication of research being done by other private and governmental
entities.
SEC. 12. Section 747.5 of the Public Utilities Code is repealed.
SEC. 13. Section 910.4 of the Public Utilities Code is amended to
read:
910.4. By February 1 of each year, the commission shall report to
the Joint Legislative Budget Committee and appropriate fiscal and
policy committees of the Legislature, on all sources and amounts of
funding and actual and proposed expenditures, both in the two prior
fiscal years and for the proposed fiscal year, including any costs to
ratepayers, related to both of the following:
(a) Entities or programs established by the commission by order,
decision, motion, settlement, or other action, including, but not
limited to, the California Clean Energy Fund, the California Emerging
Technology Fund, and the Pacific Forest and Watershed Lands
Stewardship Council. The report shall contain descriptions of
relevant issues, including, but not limited to, all of the following:
(1) Any governance structure established for an entity or program.
(2) Any staff or employees hired by or for the entity or program
and their salaries and expenses.
(3) Any staff or employees transferred or loaned internally or
interdepartmentally for the entity or program and their salaries and
expenses.
(4) Any contracts entered into by the entity or program, the
funding sources for those contracts, and the legislative authority
under which the commission entered into the contract.
(5) The public process and oversight governing the entity or
program's activities.
(b) Entities or programs established by the commission, other than
those expressly authorized by statute, under the following sections:
(1) Section 379.6.
(2) Section 399.8.
(3) Section 739.1.
(4) Section 2790.
(5) Section 2851.
SEC. 14. Section 910.5 of the Public Utilities Code is repealed.
SEC. 15. Section 910.6 of the Public Utilities Code is repealed.
SEC. 16. Section 913.2 of the Public Utilities Code is amended to
read:
913.2. By February 1 of each year, the commission shall report to
the Governor and the Legislature on the commission's recommendations
for a smart grid, the plans and deployment of smart grid
technologies by the state's electrical corporations, and the costs
and benefits to ratepayers.
SEC. 17. Section 913.3 of the Public Utilities Code is repealed.
SEC. 18. Section 913.4 of the Public Utilities Code is amended to
read:
913.4. (a) Notwithstanding subdivision (g) of Section 454.5 and
Section 583, no later than May 1 of each year, the commission shall
release to the Legislature for the preceding calendar year the costs
of all electricity procurement contracts for eligible renewable
energy resources, including unbundled renewable energy credits, and
all costs for utility-owned generation approved by the commission.
(1) For power purchase contracts, the commission shall release
costs in an aggregated form categorized according to the year the
procurement transaction was approved by the commission, the eligible
renewable energy resource type, including bundled renewable energy
credits, the average executed contract price, and average actual
recorded costs for each kilowatthour of production. Within each
renewable energy resource type, the commission shall provide
aggregated costs for different project size thresholds.
(2) For each utility-owned renewable generation project, the
commission shall release the costs forecast by the electrical
corporation at the time of initial approval and the actual recorded
costs for each kilowatthour of production during the preceding
calendar year.
(b) The commission shall report all electrical corporation revenue
requirement increases associated with meeting the renewables
portfolio standard, as defined in Section 399.12, including direct
procurement costs for eligible renewable energy resources and
renewable energy credits.
(c) The commission shall report all cost savings experienced, or
costs avoided, by electrical corporations as a result of meeting the
renewables portfolio standard.
(d) This section does not require the release of the terms of any
individual electricity procurement contracts for eligible renewable
energy resources, including unbundled renewable energy credits,
approved by the commission. The commission shall aggregate data to
the extent required to ensure protection of the confidentiality of
individual contract costs even if this aggregation requires grouping
contracts of different energy resource type. The commission shall not
be required to release the data in any year when there are fewer
than three contracts approved.
SEC. 19. Section 913.5 of the Public Utilities Code is amended to
read:
913.5. In order to evaluate the progress of the state's
electrical corporations in complying with the California Renewables
Portfolio Standard Program (Article 16 (commencing with Section
399.11) of Chapter 2.3), the commission shall report to the
Legislature no later than November 1 of each year on all of the
following:
(a) The progress and status of procurement activities by each
retail seller pursuant to the California Renewables Portfolio
Standard Program.
(b) For each electrical corporation, an implementation schedule to
achieve the renewables portfolio standard procurement requirements,
including all substantive actions that have been taken or will be
taken to achieve the program procurement requirements.
(c) The projected ability of each electrical corporation to meet
the renewables portfolio standard procurement requirements under the
cost limitations in subdivisions (c) and (d) of Section 399.15 and
any recommendations for revisions of those cost limitations.
(d) Any renewable energy procurement plan approved by the
commission pursuant to Section 399.13, schedule, and status report
for all substantive procurement, transmission development, and other
activities that the commission has approved to be undertaken by an
electrical corporation to achieve the procurement requirements of the
renewables portfolio standard.
(e) Any barriers to, and policy recommendations for, achieving the
renewables portfolio standard pursuant to the California Renewables
Portfolio Standard Program.
(f) The efforts each electrical corporation is taking to recruit
and train employees to ensure an adequately trained and available
workforce, including the number of new employees hired by the
electrical corporation for purposes of implementing the requirements
of Article 16 (commencing with Section 399.11) of Chapter 2.3, the
goals adopted by the electrical corporation for increasing women,
minority, and disabled veterans trained or hired for purposes of
implementing the requirements of Article 16 (commencing with Section
399.11) of Chapter 2.3, and, to the extent information is available,
the number of new employees hired and the number of women, minority,
and disabled veterans trained or hired by persons or corporations
owning or operating eligible renewable energy resources under
contract with an electrical corporation. This subdivision does not
provide the commission with authority to engage in, regulate, or
expand its authority to include, workforce recruitment or training.
SEC. 20. Section 913.6 of the Public Utilities Code is repealed.
SEC. 21. Section 913.8 of the Public Utilities Code is repealed.
SEC. 22. Section 913.9 of the Public Utilities
Code is repealed.
SEC. 22. Section 913.9 of the Public
Utilities Code is amended to read:
913.9. (a) The commission
Energy Commission shall report annually on
its the state's efforts to
identify ratepayer-funded fund energy efficiency
programs that are similar to programs,
including identifying programs similar to one another that
are administered by the Energy Public
Utilities Commission, the State Air Resources Board,
and the California Alternative Energy and Advanced
Transportation Financing Authority in its annual report
prepared pursuant to Section 913 and to require revisions to
ratepayer-funded programs as necessary Authority, and
other agencies. The Energy Commission shall make recommendations to
revise programs, as necessary, to ensure that the
ratepayer-funded programs complement one another
and do not duplicate programs of other state agencies.
efforts.
(b) The Public Utilities Commission shall consider the Energy
Commission's recommendations made pursuant to subdivision (a) in
determining whether to revise its ratepayer-funded energy efficiency
programs.
SEC. 23. Section 913.10 of the Public Utilities Code is amended to
read:
913.10. (a) On or before February 1, 2010, and biennially
thereafter, the commission, in consultation with the Independent
System Operator and the Energy Commission, shall study and submit a
report to the Legislature and the Governor on the impacts of
distributed energy generation on the state's distribution and
transmission grid. The study shall evaluate all of the following:
(1) Reliability and transmission issues related to connecting
distributed energy generation to the local distribution networks and
regional grid.
(2) Issues related to grid reliability and operation, including
interconnection, and the position of federal and state regulators
toward distributed energy accessibility.
(3) The effect on overall grid operation of various distributed
energy generation sources.
(4) Barriers affecting the connection of distributed energy to the
state's grid.
(5) Emerging technologies related to distributed energy generation
interconnection.
(6) Interconnection issues that may arise for the Independent
System Operator and local distribution companies.
(7) The effect on peak demand for electricity.
(b) In addition, the commission shall specifically assess the
impacts of the California Solar Initiative program, specified in
Section 2851 and Section 25783 of the Public Resources Code, the
self-generation incentive program authorized by Section
379.6. 379.6, and the net energy metering program
specified in Sections 2827 and 2827.1.
SEC. 24. Section 913.11 of the Public Utilities Code is repealed.
SEC. 25. Section 913.13 of the Public Utilities Code is repealed.
SEC. 26. Section 913.14 is added to the Public Utilities Code, to
read:
913.14. On or before July 30, 2020, and by July 30 of every third
year thereafter through 2029, the commission shall submit to the
Legislature an assessment of the Multifamily Affordable
Housing Solar Roofs Program. That
assessment shall include the number of qualified multifamily
affordable housing property sites that have a qualifying solar energy
system for which an award was made pursuant to Chapter 9.5
(commencing with Section 2870) of Part 2 and the dollar value of the
award, the electrical generating capacity of the qualifying renewable
energy system, the bill reduction outcomes of the program for the
participants, the cost of the program, the total electrical system
benefits, the environmental benefits, the progress made toward
reaching the goals of the program, the program's impact on the CARE
program budget, and the recommendations for improving the program to
meet its goals. The report shall include an analysis of pending
program commitments, reservations, obligations, and projected demands
for the program to determine whether future ongoing funding
allocations for the program are substantiated. The report shall also
include a summary of the other programs intended to benefit
disadvantaged communities, including, but not limited to, the
Single-Family Affordable Solar Homes Program, the Multifamily
Affordable Solar Housing Program, and the Green Tariff Shared
Renewables Program (Chapter 7.6 (commencing with Section 2831) of
Part 2).
SEC. 27. Section 913.15 is added to the Public Utilities Code, to
read:
913.15. (a) The commission shall require each participating
electrical corporation to prepare and submit to the commission, by 60
days following the conclusion of all research and development
projects, a joint report summarizing the outcome of all funded
projects, including an accounting of expenditures by the project
managers and grant recipients on administrative and overhead costs
and whether the project resulted in any technological advancements or
breakthroughs in promoting cyber security and grid integration. The
commission shall, within 30 days of receiving the joint report,
determine whether the report is sufficient or requires revision and,
upon determining that the report is sufficient, submit the report to
the Legislature in compliance with Section 9795 of the Government
Code.
(b) This section shall remain in effect only until January 1,
2023, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2023, deletes or extends
that date.
SEC. 28. Section 914.3 of the Public Utilities Code is amended to
read:
914.3. By December 31 of each year, the commission shall submit
to the Governor and the Legislature a report that includes, based on
yearend data, on an aggregated basis, the information submitted by
holders pursuant to subdivision (b) of Section 5960. All information
reported by the commission pursuant to this section shall be
disclosed to the public only as provided for pursuant to Section 583.
No individually identifiable customer or subscriber information
shall be subject to public disclosure.
SEC. 29. Section 918.1 of the Public Utilities Code is amended to
read:
918.1. (a) The commission shall hire an independent entity for
not more than two hundred fifty thousand dollars ($250,000) to, in
consultation with carrier trade associations for industries under the
jurisdiction of the commission, assess the capabilities of the
commission's Transportation Enforcement Branch to carry out the
activities specified in subdivision (b) of Section 5102 and
subdivision (b) of Section 5352. The commission shall report to the
Legislature no later than February 1, 2017, on licensing matters and
no later than July 1, 2017, on enforcement matters. The report shall
contain an analysis of current capabilities and deficiencies, and
recommendations to overcome any deficiencies identified.
(b) The report shall be submitted in compliance with Section 9795
of the Government Code.
(c) Pursuant to Section 10231.5 of the Government Code, this
section shall remain in effect only until January 1, 2021, and as of
that date is repealed, unless a later enacted statute, that is
enacted before January 1, 2021, deletes or extends that date.
SEC. 30. Section 918.2 of the Public Utilities Code is repealed.
SEC. 31. Section 956 of the Public Utilities Code is amended to
read:
956. (a) On or before July 1, 2012, the commission shall open an
appropriate proceeding or expand the scope of an existing proceeding
to establish compatible emergency response standards that owners or
operators of commission-regulated gas pipeline facilities shall be
required to follow for intrastate transmission and distribution
lines. The commission shall establish the standards to ensure that
intrastate transmission and distribution lines have emergency
response plans that adequately prepare them for a natural disaster or
malfunction that could cause injury to human life or property, with
the purpose of minimizing the occurrence of both.
(b) The commission shall establish the compatible emergency
response standards in consultation with the California Emergency
Management Agency, the State Fire Marshal, and members of California'
s first responder community including, but not limited to, members of
the California Fire Chiefs Association.
(c) The compatible emergency response standards shall require
owners or operators of intrastate transmission and distribution lines
to implement emergency response plans that are compatible with the
United States Department of Transportation Pipeline and Hazardous
Materials Safety Administration's regulations concerning emergency
plans contained in Section 192.615 of Title 49 of the Code of Federal
Regulations, and those plans shall include, but not be limited to,
all of the following requirements:
(1) Emergency shutdown and pressure reduction shall be utilized
whenever deemed necessary and appropriate by the owners or operators
to minimize hazards to life or property. An owner or operator shall
notify appropriate first responders of emergency shutdown and
pressure reduction.
(2) During an emergency response effort, the incident commander
may direct coordination between first responders and owners or
operators to ensure timely and ongoing communication on decisions for
emergency shutdown and pressure reduction.
(3) Owners or operators of intrastate transmission and
distribution lines shall establish and maintain liaison with
appropriate fire, police, and other public officials to do all of the
following:
(A) Learn the responsibility and resources of each government
organization that may respond to a gas pipeline emergency, including,
but not limited to, the role of the incident commander in an
emergency.
(B) Acquaint the officials with the owner's or operator's ability
in responding to a gas pipeline emergency.
(C) Identify the types of gas pipeline emergencies of which the
owner or operator notifies the officials.
(D) Plan how the owner or operator and officials can engage in
mutual assistance to minimize hazards to life or property.
(E) Identify and update information on individual personnel
responsible for the liaison with the appropriate first responder
organizations.
(4) Owners and operators of intrastate transmission lines shall
provide the State Fire Marshal and the chief fire official of the
applicable city, county, city and county, or fire protection district
with instructions on how to access and utilize the National Pipeline
Mapping System developed by the United States Department of
Transportation, Pipeline and Hazardous Materials Safety
Administration, utilizing data submitted pursuant to Section 60132 of
Title 49 of the United States Code, to improve local response
capabilities for pipeline emergencies.
SEC. 32. Section 958.5 of the Public Utilities Code is amended to
read:
958.5. (a) Twice a year, or as determined by the commission, each
gas corporation shall file with the division of the commission
responsible for utility safety a gas transmission and storage safety
report. The division of the commission responsible for utility safety
shall review the reports to monitor each gas corporation's storage
and pipeline-related activities to assess whether the projects that
have been identified as high risk are being carried out, and to track
whether the gas corporation is spending its allocated funds on these
storage and pipeline-related safety, reliability, and integrity
activities for which they have received approval from the commission.
(b) The gas transmission and storage safety report shall include a
thorough description and explanation of the strategic planning and
decisionmaking approach used to determine and rank the gas storage
projects, intrastate transmission line safety, integrity, and
reliability, operation and maintenance activities, and inspections of
its intrastate transmission lines. If there has been no change in
the gas corporation's approach for determining and ranking which
projects and activities are prioritized since the previous gas
transmission and storage safety report, the subsequent report may
reference the immediately preceding report.
(c) If the division of the commission responsible for utility
safety determines that there is a deficiency in a gas corporation's
prioritization or administration of the storage or pipeline capital
projects or operation and maintenance activities, the division shall
bring the problems to the commission's immediate attention.
SEC. 33. Section 2714.5 of the Public Utilities Code is repealed.
SEC. 34. Section 2827.3 of the Public Utilities Code is repealed.
SEC. 35. Section 2845 of the Public Utilities Code is repealed.
SEC. 36. Section 2867.1 of the Public Utilities Code is repealed.
SEC. 37. Section 2870 of the Public Utilities Code is amended to
read:
2870. (a) As used in this section, the following terms have the
following meanings:
(1) "CARE program" means the California Alternate Rates for Energy
program established pursuant to Section 739.1.
(2) "Program" means the Multifamily Affordable Housing Solar Roofs
Program established pursuant to this chapter.
(3) "Qualified multifamily affordable housing property" means a
multifamily residential building of at least five rental housing
units that is operated to provide deed-restricted low-income
residential housing, as defined in clause (i) of subparagraph (A) of
paragraph (3) of subdivision (a) of Section 2852, and that meets one
or more of the following requirements:
(A) The property is located in a disadvantaged community, as
identified by the California Environmental Protection Agency pursuant
to Section 39711 of the Health and Safety Code.
(B) At least 80 percent of the households have incomes at or below
60 percent of the area median income, as defined in subdivision (f)
of Section 50052.5 of the Health and Safety Code.
(4) "Solar energy system" means a solar energy photovoltaic device
that meets or exceeds the eligibility criteria established pursuant
to Section 25782 of the Public Resources Code.
(b) (1) Adoption and implementation of the Multifamily Affordable
Housing Solar Roofs Program may count toward the satisfaction of the
commission's obligation to ensure that specific alternatives designed
for growth among residential customers in disadvantaged communities
are offered as part of the standard contract or tariff authorized
pursuant to paragraph (1) of subdivision (b) of Section 2827.1.
(2) Nothing in this section shall preclude electrical corporations
from offering and administering a distributed energy resource
program, including solar energy systems, in disadvantaged communities
offered under current or proposed programs using funds provided
under subdivision (c) of Section 748.5 or programs proposed to comply
with paragraph (1) of subdivision (b) as approved by the commission.
(c) The commission shall annually authorize the allocation of one
hundred million dollars ($100,000,000) or 10 percent of available
funds, whichever is less, from the revenues described in subdivision
(c) of Section 748.5 for the Multifamily Affordable Housing Solar
Roofs Program, beginning with the fiscal year commencing July 1,
2016, and ending with the fiscal year ending June 30, 2020. The
commission shall continue authorizing the allocation of these funds
through June 30, 2026, if the commission determines that revenues are
available after 2020 and that there is adequate interest and
participation in the program.
(d) The commission shall consider the most appropriate program
administration structure, including administration by a qualified
third-party administrator, selected by the commission through a
competitive bidding process, or administration by an electrical
corporation, in an existing or future proceeding.
(e) Not more than 10 percent of the funds allocated to the program
shall be used for administration.
(f) (1) By June 30, 2017, the commission shall authorize the award
of monetary incentives for qualifying solar energy systems that are
installed on qualified multifamily affordable housing properties
through December 31, 2030. The target of the program is to install a
combined generating capacity of at least 300 megawatts on qualified
properties.
(2) The commission shall require that the electricity generated by
qualifying renewable energy systems installed pursuant to the
program be primarily used to offset electricity usage by low-income
tenants. These requirements may include required covenants and
restrictions in deeds.
(3) The commission shall require that qualifying solar energy
systems owned by third-party owners are subject to contractual
restrictions to ensure that no additional costs for the system be
passed on to low-income tenants at the properties receiving
incentives pursuant to the program. The commission shall require
third-party owners of solar energy systems to provide ongoing
operations and maintenance of the system, monitor energy production,
and, where necessary, take appropriate action to ensure that the kWh
production levels projected for the system are achieved throughout
the period of the third-party agreement. Such actions may include,
but are not limited to, providing a performance guarantee of annual
production levels or taking corrective actions to resolve
underproduction problems.
(4) The commission shall ensure that incentive levels for
photovoltaic installations receiving incentives through the program
are aligned with the installation costs for solar energy systems in
affordable housing markets and take account of federal investment tax
credits and contributions from other sources to the extent feasible.
(5) The commission shall require that no individual installation
receive incentives at a rate greater than 100 percent of the total
system installation costs.
(6) The commission shall establish local hiring requirements for
the program to provide economic development benefits to disadvantaged
communities.
(7) The commission shall establish energy efficiency requirements
that are equal to the energy efficiency requirements established for
the program described in Section 2852, including participation in a
federal, state, or utility-funded energy efficiency program or
documentation of a recent energy efficiency retrofit.
(g) (1) Low-income tenants who participate in the program shall
receive credits on utility bills from the program. The commission
shall ensure that utility bill reductions are achieved through
tariffs that allow for the allocation of credits, such as virtual net
metering tariffs designed for Multifamily Affordable Solar Housing
Program participants, or other tariffs that may be adopted by the
commission pursuant to Section 2827.1.
(2) The commission shall ensure that electrical corporation tariff
structures affecting the low-income tenants participating in the
program continue to provide a direct economic benefit from the
qualifying solar energy system.
(h) Nothing in this chapter is intended to supplant CARE program
rates as the primary mechanism for achieving the goals of the CARE
program.
(i) The commission shall determine the eligibility of qualified
multifamily affordable housing property tenants that are customers of
community choice aggregators.
(j) (1) Every three years, the commission shall evaluate the
program's expenditures, commitments, uncommitted balances, future
demands, performance, and outcomes and shall make any necessary
adjustments to the program to ensure the goals of the program are
being met. If, upon review, the commission finds there is
insufficient participation in the program, the commission may credit
uncommitted funds back to ratepayers pursuant to Section 748.5.
(2) As part of the annual workplan required pursuant to Section
910, the commission shall provide an annual update of the Multifamily
Affordable Housing Solar Roofs Program that shall include, but not
be limited to, the number of projects approved, number of projects
completed, number of pending projects awaiting approval, and
geographic distribution of the projects.
SEC. 38. Section 2872.5 of the Public Utilities Code is amended to
read:
2872.5. The commission, in consultation with the Office of
Emergency Services, shall open an investigative proceeding to
determine whether standardized notification systems and protocol
should be utilized by entities that are authorized to use automatic
dialing-announcing devices pursuant to subdivision (e) of Section
2872, to facilitate notification of affected members of the public of
local emergencies. The commission shall not establish standards for
notification systems or standard notification protocol unless it
determines that the benefits of the standards exceed the costs.
SEC. 39. Section 2892.1 of the Public Utilities Code is amended to
read:
2892.1. (a) For purposes of this section, "telecommunications
service" means voice communication provided by a telephone
corporation as defined in Section 234, voice communication provided
by a provider of satellite telephone services, voice communication
provided by a provider of mobile telephony service, as defined in
Section 2890.2, and voice communication provided by a commercially
available facilities-based provider of voice communication services
utilizing voice over Internet Protocol or any successor protocol.
(b) The commission, in consultation with the Office of Emergency
Services, shall open an investigative or other appropriate proceeding
to identify the need for telecommunications service systems not on
the customer's premises to have backup electricity to enable
telecommunications networks to function and to enable the customer to
contact a public safety answering point operator during an
electrical outage, to determine performance criteria for backup
systems, and to determine whether the best practices recommended by
the Network Reliability and Interoperability Council in December
2005, for backup systems have been implemented by telecommunications
service providers operating in California. If the commission
determines it is in the public interest, the commission shall,
consistent with subdivisions (c) and (d), develop and implement
performance reliability standards.
(c) The commission, in developing any standards pursuant to the
proceeding required by subdivision (b), shall consider current best
practices and technical feasibility for establishing battery backup
requirements.
(d) The commission shall not implement standards pursuant to the
proceeding required by subdivision (b) unless it determines that the
benefits of the standards exceed the costs.
(e) The commission shall determine the feasibility of the use of
zero greenhouse gas emission fuel cell systems to replace diesel
backup power systems.
SEC. 40. Section 3368 of the Public Utilities Code is amended to
read:
3368. (a) The authority may provide financing for natural gas
transportation or storage projects recommended to it by the
commission. In recommending a project to the authority, the
commission shall ensure that the project is in the public interest.
(b) Nothing in this section prevents the commission from acting on
its own authority to direct gas corporations within its jurisdiction
to construct, or facilitate the construction or operation, by the
owners or operators of pipelines not within the jurisdiction of the
commission, of, natural gas transportation and storage facilities as
the commission determines to be needed to provide adequate,
seasonally reliable amounts of competitively priced natural gas to
residential, commercial, and industrial customers, including, but not
limited to, electric generating plants.
SEC. 41. Section 5371.4 of the Public Utilities Code is amended to
read:
5371.4. (a) The governing body of any city, county, or city and
county may not impose a fee on charter-party carriers operating
limousines. However, the governing body of any city, county, or city
and county may impose a business license fee on, and may adopt and
enforce any reasonable rules and regulations pertaining to operations
within its boundaries for, any charter-party carrier domiciled or
maintaining a business office within that city, county, or city and
county.
(b) The governing body of any airport may not impose vehicle
safety, vehicle licensing, or insurance requirements on charter-party
carriers operating limousines that are more burdensome than those
imposed by the commission. However, the governing board of any
airport may require a charter-party carrier operating limousines to
obtain an airport permit for operating authority at the airport.
(c) Notwithstanding subdivisions (a) and (b), the governing body
of any airport may adopt and enforce reasonable and nondiscriminatory
local airport rules, regulations, and ordinances pertaining to
access, use of streets and roads, parking, traffic control, passenger
transfers, trip fees, and occupancy, and the use of buildings and
facilities, that are applicable to charter-party carriers operating
limousines on airport property.
(d) This section does not apply to any agreement entered into
pursuant to Sections 21690.5 to 21690.9, inclusive, between the
governing body of an airport and charter-party carriers operating
limousines.
(e) The governing body of any airport shall not impose a fee based
on gross receipts of charter-party carriers operating limousines.
(f) Notwithstanding subdivisions (a) to (e), inclusive, nothing in
this section prohibits a city, county, city and county, or the
governing body of any airport, from adopting and enforcing reasonable
permit requirements, fees, rules, and regulations applicable to
charter-party carriers of passengers other than those operating
limousines.
(g) Notwithstanding subdivisions (a) to (e), inclusive, a city,
county, or city and county may impose reasonable rules for the
inspection of waybills of charter-party carriers of passengers
operating within the jurisdiction of the city, county, or city and
county, for purposes of verifying valid prearranged travel.
(h) For the purposes of this section, "limousine" includes any
sedan or sport utility vehicle, of either standard or extended
length, with a seating capacity of not more than 10 passengers
including the driver, used in the transportation of passengers for
hire on a prearranged basis within this state.
SEC. 42. Section 5381.5 of the Public Utilities Code is amended to
read:
5381.5. (a) The commission shall, by rule or other appropriate
procedure, ensure that every charter-party carrier of passengers
operates on a prearranged basis within the state, consistent with
Section 5360.5. The commission shall require every charter-party
carrier of passengers to include on a waybill or trip report at least
all of the following:
(1) The name of at least one passenger in the traveling party, or
identifying information of the traveling party's affiliation, along
with the point of origin and destination of the passenger or
traveling party.
(2) Information as to whether the transportation was arranged by
telephone, written contract, or electronic communication.
(b) A waybill or trip report may be kept in electronic or hardcopy
format. When requested by any commission or airport enforcement
officer or any official of a city, county, or city and county
authorized to inspect a waybill or trip report pursuant to
subdivision (g) of Section 5371.4, the waybill or trip report may be
provided in either electronic or hardcopy format.
(c) A charter-party carrier of passengers shall produce in its
office a hardcopy of any waybill or trip report when requested by the
commission or one of its authorized representatives pursuant to
Section 5389.
(d) This section shall become operative on January 1, 2014.
SEC. 43. Section 7661 of the Public Utilities Code is amended to
read:
7661. (a) The commission shall require every railroad corporation
operating in this state to develop, within 90 days of the effective
date of the act adding this section, in consultation with, and with
the approval of, the Office of Emergency Services, a protocol for
rapid communications with the Office of Emergency Services, the
Department of the California Highway Patrol, and designated county
public safety agencies in an endangered area if there is a runaway
train or any other uncontrolled train movement that threatens public
health and safety.
(b) A railroad corporation shall promptly notify the Office of
Emergency Services, the Department of the California Highway Patrol,
and designated county public safety agencies, through a communication
to the Warning Center of the Office of Emergency Services, if there
is a runaway train or any other uncontrolled train movement that
threatens public health and safety, in accordance with the railroad
corporation's communications protocol developed pursuant to
subdivision (a).
(c) The notification required pursuant to subdivision (b) shall
include the following information, whether or not an accident or
spill occurs:
(1) The information required by subdivision (c) of Section 7673.
(2) In the event of a runaway train, a train list.
(3) In the event of an uncontrolled train movement or uncontrolled
movement of railcars, a track list or other inventory document if
available.
(d) The division of the commission responsible for railroad safety
shall investigate any incident that results in a notification
required pursuant to subdivision (b).