BILL ANALYSIS                                                                                                                                                                                                    



SENATE RULES COMMITTEE                            SB 448  
Office of Senate Floor Analyses
1020 N Street, Suite 524
(916) 445-6614         Fax: (916) 327-4478
                                                              
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                     UNFINISHED BUSINESS 
                                                              
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Bill No:  SB 448
Author:   Sher (D)
Amended:  6/24/97
Vote:     21
                                                              
                                                             
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  SENATE JUDICIARY COMMITTEE  :  9-0, 4/8/97
AYES:  Burton, Calderon, Haynes, Lee, Leslie, Lockyer,  
  O'Connell, Sher, Wright

  SENATE FLOOR  :  39-0, 4/17/97 (Consent)
AYES:  Alpert, Ayala, Brulte, Burton, Calderon, Costa,  
  Dills, Greene, Hayden, Haynes, Hughes, Hurtt,  
  Johannessen, Johnson, Johnston, Karnette, Kelley, Knight,  
  Kopp, Lee, Leslie, Lewis, Lockyer, Maddy, McPherson,  
  Monteith, Mountjoy, O'Connell, Peace, Polanco, Rainey,  
  Rosenthal, Schiff, Sher, Solis, Thompson, Vasconcellos,  
  Watson, Wright
NOT VOTING:  Craven

  ASSEMBLY FLOOR  :  67-0, 7/18/97
                                                              
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SUBJECT  :    Public utility records

  SOURCE  :     City of Palo Alto
                                                              
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DIGEST  :    This bill would prohibit the release of  
specified information about private citizens who are  
utility customers of local agencies contained in public  
records, such as name, address, and telephone number.   
Exceptions are made for authorized family members, police,  
courts, official government business, and where the utility  
determines that the public interest in disclosure clearly  





outweighs the public interest in nondisclosure.

  Assembly Amendments  narrowed the scope of this bill to  
"local agencies" from "municipal utility" customers.

  ANALYSIS  :    The customer files of municipally owned  
utility companies are considered public records, and as  
such are available to any person who requests them.  This  
information includes the customer's name, address,  
telephone number, utility usage, payment and credit  
history.  

An ongoing lawsuit in Tennessee illustrates the danger of  
allowing unfettered public access to utility customers'  
personal information.  On March 21, 1994, a police  
informant was murdered the morning before he was to testify  
in a drug trafficking trial.  The week prior to the  
shooting, according to their records, the local municipally  
owned utility company had divulged the victim's address,  
pursuant to a public records request.  The family of the  
victim has sued the city and police department for wrongful  
death.  A privacy claim against the utility was dropped, as  
the victim's personal information was determined to be a  
public record.  However, the suit against the police and  
metro continue on.  

Investor-owned utility companies are not bound by the  
disclosure requirements of the Public Records Act.  Most do  
not release the private information contained in their  
customer files.

In partial response to these events, and in an attempt to  
achieve parity with investor-owned utilities, the  
California League of Cities unanimously passed a resolution  
in October of 1996 resolving, "that the League support  
legislation that will provide municipal utilities and their  
customers with business confidentiality and personal  
customer information privacy protection which is equivalent  
to that which is currently enjoyed by investor-owned  
utilities and their customers."

Changes to existing law:

Existing law, the Public Records Act, requires that:

1.  Public records are open to inspection at all times  
  during the office hours of the state or local agency and  
  every person has the right to inspect any public record,  
  except for records specifically exempted from disclosure  
  by law.    






2.  Public record is defined as "any writing containing  
  information relating to the conduct of the public's  
  business prepared, owned, used, or retained by any public  
  or local agency regardless of physical form or  
  characteristics."  

3.  Local agencies include "any....municipal corporation;  
  district; political subdivision; or any board commission  
  or agency thereof; other local public agency...."

If a record is not covered by a specific exemption from  
disclosure, the test for withholding documents from release  
requires a case-by-case balancing of the public and private  
interests.  In each instance, the agency must ask whether  
on the facts of the particular case, the public interest  
served by not making the record public clearly outweighs  
the public interest served by disclosure of the record.

This bill would add to the list of express exceptions to  
disclosure the release of names, credit history, utility  
usage data, home address, or telephone number of utility  
customers of local agencies.  

This bill would allow continued disclosure of customers'  
personal information in the following circumstances.

1.  To an agent or authorized family member authorized by  
  the customer.
 
2.  To an officer or employee of another governmental  
  agency when necessary for the performance of its official  
  duties.

3.  Upon court order or request of a law enforcement agency  
  in relation to an ongoing investigation.

4.  Upon determination by the local agency that utility  
  customer who is the subject of  the request has used  
  utility in a manner inconsistent with applicable federal,  
  state, or local utility usage policy.

5.  Upon determination by the local agency that the utility  
  customer who is the subject of the request is an elected  
  or appointed official with authority to determine the  
  utility usage policies of the local agency provided that  
  the home address of an appointed official shall not be  
  disclosed without his or her consent.

6.  The local agency determines that the public interest in  





  disclosure clearly outweighs the public interest in  
  nondisclosure. 

  FISCAL EFFECT  :   Appropriation:  No   Fiscal Com.:  No    
Local:  No

  SUPPORT  :   (Verified  7/8/97)

City of Palo Alto (source)
California Municipal Utilities Association
SMUD
Contra Costa Water District

  ARGUMENTS IN SUPPORT  :    The sponsors of this bill state  
that this proposal closes a gap in the privacy-protection  
legislation enacted after the fatal shooting in Los Angeles  
of actress Rebecca Shafer.  Ms. Shafer's assailant obtained  
her address through DMV records, which at the time were  
public records.  In response, the Public Records Act was  
amended to prohibit release of the personal information  
contained in DMV and Department of Housing and  
Redevelopment files.  This bill applies the same concept of  
privacy, says the sponsor, to the records contained in a  
public utility's files. 
  
  RJG:jk  7/30/97  Senate Floor Analyses
              SUPPORT/OPPOSITION:  SEE ABOVE
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