BILL ANALYSIS Ó SB 1222 Page 1 (Without Reference to File) SENATE THIRD READING SB 1222 (Hertzberg) As Amended August 30, 2016 Majority vote SENATE VOTE: 39-0 ------------------------------------------------------------------ |Committee |Votes|Ayes |Noes | | | | | | | | | | | | | | | | |----------------+-----+----------------------+--------------------| |Utilities & |15-0 |Gatto, Patterson, | | |Commerce | |Burke, Chávez, Dahle, | | | | |Eggman, Cristina | | | | |Garcia, | | | | | | | | | | | | | | |Eduardo Garcia, | | | | |Hadley, | | | | | | | | | | | | | | |Roger Hernández, | | SB 1222 Page 2 | | |Obernolte, Quirk, | | | | |Santiago, Ting, | | | | |Williams | | | | | | | |----------------+-----+----------------------+--------------------| |Appropriations |20-0 |Gonzalez, Bigelow, | | | | |Bloom, Bonilla, | | | | |Bonta, Calderon, | | | | |Chang, Daly, Eggman, | | | | |Gallagher, Eduardo | | | | |Garcia, Holden, | | | | |Jones, Obernolte, | | | | |Quirk, Santiago, | | | | |Wagner, Weber, Wood, | | | | |Chau | | | | | | | | | | | | |----------------+-----+----------------------+--------------------| |Utilities & |14-0 |Gatto, Patterson, | | |Commerce | |Burke, Chávez, Dahle, | | | | |Eggman, Cristina | | | | |Garcia, | | | | | | | | | | | | | | |Eduardo Garcia, | | | | |Hadley, Holden, | | | | |Obernolte, Quirk, | | | | |Santiago, Ting | | | | | | | | | | | | ------------------------------------------------------------------ SUMMARY: Makes various changes to the authorities of the California Public Utilities Commission (CPUC) and the reports required to be provided to the Legislature. Specifically, this bill: SB 1222 Page 3 1)Changes dates by which the CPUC must submit specified reports. 2)Changes and adds to the required contents of specified CPUC reports. 3)Repeals requirements for the CPUC to submit specified reports. 4)Extends CPUC's authority to issue financing orders from December 31, 2016, to June 30, 2022. 5)Limits CPUC's authority to serve warrants and make arrests to investigators. FISCAL EFFECT: According to the Assembly Appropriations Committee: 1)Increases California Energy Commission (CEC) costs of approximately $136,000 (1 personnel year) to compile information, conduct analysis, and prepare formal comments regarding energy efficient programs (Energy Resources Program Account or other special fund.) 2)No additional CPUC costs, potential minor savings. COMMENTS: 1)Purpose and Background: According to the author, this bill clarifies CPUC reporting obligations. According to the CPUC, there are several dozen reports required by the Legislature. Many of these report requirements have been scattered SB 1222 Page 4 throughout the Public Utilities Code. Several are now outdated, with deadlines that have long passed. CPUC sponsored legislation last year, SB 697 (Hertzberg), Chapter 612, Statutes of 2015, shifted many reporting requirements to one location within the code in an effort to better organize the Public Utilities Code. This bill builds off efforts from last year. This bill also extends the sunset date on the CPUC's authority to refinance the costs of 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 zero percent. According to the CPUC, having refinancing authority saves ratepayers money. This bill extends that authority to June 30, 2022. Analysis Prepared by: Sue Kateley / U. & C. / (916) 319-2083 FN: 0004998