BILL ANALYSIS Ó
SB 1222
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Date of Hearing: August 3, 2016
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez, Chair
SB 1222
(Hertzberg) - As Amended June 16, 2016
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|Policy |Utilities and Commerce |Vote:|15 - 0 |
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Urgency: No State Mandated Local Program: NoReimbursable: No
SUMMARY:
This omnibus bill makes a variety of changes to the authorities
of the California Public Utilities Commission (PUC) and the
reports required to be provided to the Legislature including:
1)Changing the dates by which the PUC must submit specified
reports.
2)Changing and adding to the required contents of specified PUC
reports.
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3)Repealing requirements for PUC to submit specified reports.
4)Transferring the responsibility for developing a specified
energy efficiency report, from the PUC to the California
Energy Commission (CEC), and expanding the reporting
requirements.
5)Extending PUC's authority to issue financing orders from
December 31, 2016, to June 30, 2022.
6)Limiting PUC's authority to serve warrants and make arrests
only to investigators.
FISCAL EFFECT:
1)Increased CEC costs of approximately $136,000 (1PY) to compile
information, conduct analysis, and prepare formal comments
regarding energy efficient programs (Energy Resources Program
Account or other special fund.)
2)No additional PUC costs, potential minor savings.
COMMENTS:
1)Purpose and Background. According to the author, this bill
clarifies PUC reporting obligations. According to the PUC,
there are several dozen reports required by the Legislature
ranging from an annual work plan report, to triennial reports
on energy efficiency programs, to quarterly reports related to
the states progress in meeting the RPS.
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Unfortunately, many of these report requirements have been
scattered throughout the Public Utilities Code and several are
now outdated, with deadlines that have long passed.
In an effort to better organize the Public Utilities Code and
to have all required reports to the Legislature
located in one area, the PUC sponsored legislation last
year, SB 697 (Hertzberg), Chapter 612, Statutes of 2015, to
shift many of these requirements to one location within the
code. This bill builds off the efforts of last year.
This bill also extends the sunset date on the PUC's authority
to refinance the costs from electric deregulation. In 1995,
the state issued 20-year bonds to cover certain costs
associated with that transition that are paid back by utility
ratepayers. In recent years, interest rates have declined
substantially and the short term finance rates are near 0%.
According to the PUC, this authority has been used to save
ratepayers money. This bill extends that authority to June 30,
2022.
Analysis Prepared by:Jennifer Galehouse / APPR. / (916)
319-2081
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