BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1541
                                                                  Page  1

          Date of Hearing:   April 18, 2012

                   ASSEMBLY COMMITTEE ON GOVERNMENTAL ORGANIZATION
                                 Isadore Hall, Chair
                  AB 1541 (Dickinson) - As Amended:  April 16, 2012
          
          SUBJECT  :   Public Utilities Commission: public records

           SUMMARY  :   Provides that certain records, of, or filed, with the 
          Public Utilities Commission (PUC) are public records that shall 
          be subject to the California Public Records Act (CPRA), except 
          as specified. Specifically,  this bill  :  

          1)Exempts from disclosure security-related information, 
            proprietary business information, market-sensitive 
            information, and personally identifiable information of 
            employees or customers.

          2)Provides that documents containing personally identifiable 
            information of employees or customers that are not exempt from 
            public disclosure shall be redacted to maintain the 
            confidentiality of the personally identifiable information of 
            employees or customers, and shall be made public in their 
            redacted form. 

          3)Provides that any present or former officer or employee of the 
            commission who divulges any information pertaining to 
            security-related information, proprietary business 
            information, market-sensitive information, or personally 
            identifiable information of employees or customers, except as 
            specified, shall be guilty of a misdemeanor. 

           EXISTING LAW  

          1)The PRA governs disclosure of governmental records to the 
            public, upon request. Generally, all public records are open 
            to the public upon request unless the record requested is 
            exempt from public disclosure. 

          2)Provides the PUC with regulatory authority over public 
            utilities and authorizes it to establish its own procedures, 
            subject to statutory limitations and constitutional 
            requirements of due process.

          3)Requires, under the Public Utilities Act (Act), the PUC to 








                                                                  AB 1541
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            investigate the cause of all accidents occurring upon the 
            property of any public utility, resulting in loss of life or 
            injury to person or property and authorizes the PUC to make 
            any order or recommendation with respect to the investigation 
            that it determines to be just and reasonable. 

          4)Prohibits the PUC or an officer or employee of the PUC from 
            disclosing any information furnished to the PUC by a public 
            utility, a subsidiary, an affiliate, or corporation holding a 
            controlling interest in a public utility, unless the 
            information is specifically required to be open to the public 
            inspection under the Act, except on order of the PUC or a 
            commissioner in the course of a hearing or proceeding. A 
            violation of that provision is a crime. 

           FISCAL EFFECT :   Unknown

           COMMENTS  :   

           Explosions in Rancho Cordova and San Bruno  :  On December 24, 
          2008 a gas pipeline explosion occurred in the Sacramento Suburb 
          of Rancho Cordova, killing one person and injuring five others.  
          On September 9, 2010 a gas pipeline explosion in the San 
          Francisco suburb of San Bruno killed eight people, injured more 
          than 50 people and destroyed 37 homes. 

          Following these explosions, consumer advocacy organizations and 
          the Legislature had to pressure the PUC to release information 
          pertaining to accident investigations and public safety. Many of 
          these documents subsequently exposed a culture of cutting 
          corners at gas utility companies that put public at risk and 
          lapses in oversight of utility companies by the PUC. 

           Author's statement  : According to the author, "the explosions in 
          Rancho Cordova and San Bruno exposed the serious consequences of 
          operating in secrecy. The Legislature and the public should be 
          able to monitor the crucial services regulated by the PUC on an 
          ongoing basis. We should not have to wait for a brief glimpse of 
          transparency following another tragedy. This bill will bring the 
          PUC in line with the policy and practice of other public 
          agencies in California."

           Arguments in support  : The Utility Reform Network (TURN) states 
          that, "contrary to State policy as expressed in the CPRA, 
          current law shields from disclosure records submitted by the 








                                                                 AB 1541
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          public utilities regulated by the PUC.  In practice, this means 
          that, if a utility wants to keep a document from the public, it 
          merely needs to label the document as confidential. Anyone who 
          learns about the existence of the document has to go to the 
          considerable time and effort to file pleadings with the PUC and 
          wait potentially weeks for a commissioner for decide if the 
          document may be revealed to the public.  Adopting AB 1541 will 
          go a long way to restoring public confidence in the CPUC and 
          regulated utilities by making the process of decision making far 
          more transparent to the general public."

           Related legislation  :

          SB 1000 (Yee), 2011-2012 Legislative Session ( pending in the 
          Senate Energy Committee).  The bill would subject the PUC to the 
          PRA. 

           Prior Legislation  :

          SB 1488 (Bowen), Chapter 690, Statutes of 2005.  The bill 
          requires the PUC to initiate a proceeding to review its public 
          disclosure practices. 

           REGISTERED SUPPORT / OPPOSITION  :   

          Support 
           
          The Utility Reform Network

           Opposition 
           
          None on file
           
          Analysis Prepared by :    Felipe Lopez / G. O. / (916) 319-2531