BILL NUMBER: AB 313	CHAPTERED
	BILL TEXT

	CHAPTER   230
	FILED WITH SECRETARY OF STATE   AUGUST 6, 1997
	APPROVED BY GOVERNOR   AUGUST 6, 1997
	PASSED THE ASSEMBLY   JULY 24, 1997
	PASSED THE SENATE   JULY 18, 1997
	AMENDED IN SENATE   JULY 1, 1997

INTRODUCED BY  Assembly Member Thomson

                        FEBRUARY 14, 1997

   An act to amend Section 3126 of the Public Utilities Code,
relating to public utilities.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 313, Thomson.  Gas:  producers' cooperatives.
   Existing law permits 3 or more natural persons engaged in the
production of gas to form a cooperative association for purposes of
selling gas produced by the association's members and performing
other specified related functions.
   This bill would permit an association to acquire a real property
easement from a public utility for the purpose of accommodating the
association's gas plant, and would provide that the easement shall be
deemed to be held for a public purpose by the association, provided
that the Public Utilities Commission finds that the use by the
association is in the public interest.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 3126 of the Public Utilities Code is amended to
read:
   3126.  An association may buy, hold, and exercise all privileges
of ownership  of real or personal property as may be necessary or
convenient for the conduct and operation of, or incidental to, any
business of the association.  Without limiting the foregoing, an
association may acquire a real property easement from a public
utility for the purpose of accommodating the association's gas plant,
and the easement shall be deemed to be held for a public purpose by
the association, provided that the commission finds that the use by
the association is in the public interest.