BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 2556
                                                                  Page  1

          Date of Hearing:   May 16, 2012

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                     AB 2556 (Allen) - As Amended:  May 1, 2012 

          Policy Committee:                              UtilitiesVote:9-5

          Urgency:     No                   State Mandated Local Program: 
          Yes    Reimbursable:              No

           SUMMARY  

          This bill requires every investor-owned electrical utility (IOU) 
          and every publicly-owned electric utility (POU) to avoid 
          excessive tree trimming and to notify the public prior to 
          removing trees. Specifically, this bill:

             1)   Requires IOUs and POUs to avoid excessive tree trimming 
               unless required by the utility's vegetation management 
               plan.

             2)   Prohibits and IOU or POU from removing a tree absent 
               knowledge that the tree is dead, rotten, or diseased and: 

             a)   removal of the tree is necessary to maintain responsible 
               fire protection, or
             b)   there is reasonable possibility the tree may damage a 
               transmission line or distribution line, or
             c)   the tree requires such extensive trimming that its 
               health would be compromised.

             3)   Requires an IOU or POU, if it determines a tree should 
               be removed per the above, to:

             a)   obtain written confirmation by a licensed arborist, and 
             b)   publish legal notification of its intent in a newspaper 
               of general circulation at least 120 days before the 
               scheduled removal.

             4)   Requires each IOU and POU, in performing tree 
               maintenance or brush removal, to:

             a)   Provide the affected local government with a copy of the 








                                                                  AB 2556
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               utility's vegetation management plan.
             b)   Publish the plan on the utility's website.
             c)   Provide notification to any affected property owners.

             5)   Stipulates that nothing in the bill is to be construed 
               to prevent a utility from complying with state or federal 
               law.

           FISCAL EFFECT  

          The PUC anticipates that the bills restrictions and requirements 
          regarding tree trimming could lead to more tree-related 
          incidents on utility property and many more customer complaints 
          to the commission regarding utilities' tree trimming operations. 
          Over the last four years, the number of incidents and complaints 
          requiring the commission's attention averaged eight and 22, 
          respectively, and eight commission staff are involved in these 
          activities as part of their duties. Depending on the number of 
          additional incidents and complaints, if two additional utility 
          engineers were needed, annual costs would total $230,000. 
          �Public Utilities Reimbursement Account]

           COMMENTS  

           1)Purpose  . According to the author, "In recent years, 
            controversies have arisen between communities and electrical 
            utilities over what many perceive to be unnecessary tree 
            removals and excessive tree trimming? �R]ecently, a 
            controversy has arisen in multiple areas throughout Sonoma 
            County where PG&E has decided to virtually remove all trees 
            underneath a 39-mile stretch of transmission lines. Since 
            their original public statements, PG&E has retracted and 
            informed residents that they are only doing inventory and have 
            yet to determine which trees will be removed. Residents in 
            these communities estimate that PG&E has scheduled at least 
            10,000 trees for removal though PG&E has yet to verify the 
            number despite requests from residents. 

            "In every area where controversies have occurred, two common 
            themes have emerged: First, communities argue that the 
            electrical utility provided insufficient community 
            notification for scheduled tree removals?Second, communities 
            argue that the electrical utility has provided conflicting, 
            inconsistent, or inadequate information justifying the need 
            for tree removals.








                                                                  AB 2556
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            To provide more transparency and objectivity to tree removals 
            as part of an electrical utility's vegetation management plan, 
            AB 2556 requires utilities to provide an increased level of 
            notification to communities when trees need to be removed. The 
            bill also limits tree removal to those trees that pose a 
            threat to service reliability or public safety or to comply 
            with other existing state and federal laws.

           2)Opposition  . The Trinity Public Utility District (TPUD) 
            believes believes the bill "is an unnecessary, 
            'one-size-fits-all' approach to dealing with what appears to 
            be an issue in the Assemblymember's district, rather than a 
            statewide problem." TPUD indicates that it has not received 
            complaints of excessive tree trimming from its customer, and 
            contends that residents of Trinity County "would likely prefer 
            to err on the side of caution when it comes to preventing 
            forest fires due to power lines."

            San Diego Gas and Electric argues that AB 2556 would establish 
            significant new impediments to utility action regarding tree 
            removal, trimming, or brush removal, including requiring four 
            months advance notification. Southern California Edison and 
            PG&E are likewise opposed.

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081