BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1214
                                                                  Page  1


          ASSEMBLY THIRD READING
          AB 1214 (Skinner)
          As Amended  May 27, 2011
          Majority vote 

           UTILITIES & COMMERCE          14-0                  
          APPROPRIATIONS      12-0        
           
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          |Ayes:|Bradford, Fletcher,       |Ayes:|Fuentes, Blumenfield,     |
          |     |Buchanan, Fong, Fuentes,  |     |Bradford, Charles         |
          |     |Achadjian,                |     |Calderon, Campos, Davis,  |
          |     |Roger Hern�ndez, Huffman, |     |Gatto, Hall, Hill, Lara,  |
          |     |Knight, Ma, Nestande,     |     |Mitchell, Solorio         |
          |     |Skinner, Swanson, Valadao |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Requires the Public Utilities Commission (PUC) and the 
          Independent System Operator (CAISO) to coordinate the planning 
          and approval of transmission facilities serving renewable 
          generation that will be built in order to meet the state's 
          Renewable Portfolio Standard (RPS) goal of 33% by 2020.  
          Specifically,  this bill  :

          1)Requires the PUC and CAISO to review all new and upgraded 
            transmission facilities identified in the CAISO'S planning 
            process as being facilities serving renewable development 
            areas, and to publish a report, by March 31, 2012, identifying 
            these new or upgraded transmission facilities that can be 
            placed in service by December 31, 2016, in order to take 
            maximum advantage of available federal investment tax credits.

          2)Requires the report to include timeframes for obtaining 
            government approvals, construction, and placing each 
            transmission project into service, and an analysis to any 
            barriers in meeting these milestones and means to eliminate 
            those barriers.

          3)Requires the PUC and CAISO to:

             a)   Coordinate the CAISO'S transmission planning process 
               with PUC's issuance of certificates for transmission 
               facilities; and,








                                                                  AB 1214
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             b)   Evaluate alternatives for building and upgrading 
               transmission facilities that may enhance achievement of the 
               state's RPS and AB 32 (Nunez), Chapter 488, Statutes of 
               2006, goals.

           FISCAL EFFECT  :  Annual special fund costs of $100,000 for one 
          position for at least two years, regarding enhanced transmission 
          planning and coordination with the CAISO.

           COMMENTS  :  PUC has constitutional authority to fix rates, 
          establish rules, examine records, issue subpoenas, administer 
          oaths, take testimony, punish for contempt, and prescribe a 
          uniform system of accounts for California investor owned 
          utilities.  In addition, PUC provides a program to provide 
          reasonable compensation to interveners to assist public 
          participation in PUC proceedings.  PUC is funded by ratepayers.

          CAISO is a non-profit public benefit corporation that has 
          statutory requirements to manage the state's electricity grid 
          and consult and coordinate with state and local agencies.  CAISO 
          must meet the state's open meeting requirements and comply with 
          the California Public Records Act.  CAISO is funded generally 
          through grid and transmission management charges.  CAISO, 
          through its transmission planning process, identifies those 
          facilities necessary to interconnect renewable generators to, 
          and deliver renewable power on, the CAISO-controlled grid. 

          AB 1214 (Skinner) is intended to promote the timely construction 
          of those transmission facilities necessary to interconnect 
          renewable generation in order to meet the state's RPS goal of 
          33% by 2020.


           Analysis Prepared by  :   Sue Kateley / U. & C. / (916) 319-2083 


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