BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1879
                                                                  Page  1

          CONCURRENCE IN SENATE AMENDMENTS
          AB 1879 (Beall)
          As Amended  August 4, 2010
          Majority vote
           
           ----------------------------------------------------------------- 
          |ASSEMBLY:  |67-8 |(June 1, 2010)  |SENATE: |34-0 |(August 9,     |
          |           |     |                |        |     |2010)          |
           ----------------------------------------------------------------- 
            
           Original Committee Reference:    U. & C.  

           SUMMARY  :   Requires the California Public Utilities Commission  
          (PUC) to reconsider a 1986 decision that allows a utility to  
          backbill small commercial customers for up to three years. 

           The Senate amendment  stipulates that if PUC does not reconsider  
          its decision on or before January 1, 2011, the PUC shall open a  
          new proceeding to determine appropriate retroactive billing  
          limits.
           
          AS PASSED BY THE ASSEMBY  , this bill was substantially similar to  
          the version passed by the Senate.

           FISCAL EFFECT:   According to the Assembly Appropriations  
          Committee, absorbable cost to PUC, which has already opened a  
          proceeding on this issue.  [Public Utilities Reimbursement  
          Account]

           COMMENTS  :   The utilities' tariffs are authorized by PUC and  
          govern the timing of adjustment of bills for meter or billing  
          error.  A current PUC tariff, promulgated in 1986, allows  
          residential customers to only be backbilled for three months  
          worth of undercharges.  However, for commercial and industrial  
          customers, the tariff allows the utility to backbill up to three  
          years worth of undercharges.  

           
          Analysis Prepared by  :    DaVina Flemings / U. & C. / (916)  
          319-2083 


                                                                FN: 0005786