BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 2584
                                                                  Page  1

          CONCURRENCE IN SENATE AMENDMENTS
          AB 2584 (Bradford)
          As Amended  July 6, 2012
          Majority vote
           
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          |ASSEMBLY:  |73-0 |(May 10, 2012)  |SENATE: |36-0 |(August 9,     |
          |           |     |                |        |     |2012)          |
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           Original Committee Reference:    U. & C.  

           SUMMARY  :  Requires electric and gas corporations to fully 
          cooperate with the Public Utilities Commission (PUC) in its 
          investigations and provide the commission, upon its request, 
          with access to specified information and retain documentation 
          from an accident for five years.

           The Senate amendments  make technical changes. 

           AS PASSED BY THE ASSEMBLY  , this bill was substantially similar 
          to the version passed by the Senate.

           FISCAL EFFECT  :  No fiscal impact as this bill codifies an 
          existing PUC order.  According to the Senate Appropriations 
          Committee, pursuant to Senate Rule 28.8, negligible state costs. 
           

           COMMENTS  :

           Author's Statement  :  At a Joint Hearing of the Assembly 
          Utilities and Commerce Committee and the Joint Legislative 
          Committee on Emergency Management, the PUC reported that 
          materials and equipment that would have been useful for 
          determining the cause of a widespread and lengthy power outage 
          may have been destroyed.  This bill will make it clear that 
          evidence related to an outage shall be preserved until the PUC 
          has determined that it can be released.

           Background  :   On April 22, 1911, the Legislature passed an act 
          (Chapter 499, Statutes of 1911) which regulated the erection and 
          maintenance of poles, wires, etc. employed in overhead electric 
          line construction.   In 1915 the Legislature issued Chapter 600, 
          which amended Chapter 499 and required the Railroad Commission 
          (the PUC's predecessor) to inspect all such work.








                                                                  AB 2584
                                                                  Page  2


          On May 1, 1922, the Railroad Commission issued its General Order 
          No. 64 covering rules and regulations for overhead electric line 
          construction.  On December 17, 1928, General Order 64-A was 
          issued applicable to lines constructed or reconstructed on and 
          after that date.

          Since that time, the PUC has issued its General Order No. 95 
          that pertains to the Rules for Overhead Electric Line 
          Construction.  Contained in General Order 95 is PUC Rule 19 
          which orders each regulated utility with electric lines on its 
          duties for preserving evidence related to accidents. 

           Service Outages:   While Californians like to believe that 
          "blackouts" ceased with the closure of the California Energy 
          Crisis in 2001-02, outages for various reasons continue today 
          and remain a significant safety risk.  On September 8, 2011, 
          more than 4 million people lost power after the North 
          Gila-Hassayampa 500 kV transmission line was tripped offline, 
          triggering a massive blackout in Mexico, Southern California and 
          Arizona.  Usually this type of outage would have been isolated 
          to the Yuma area.  Questions have arisen as to why this was not 
          the case.  San Diego Gas & Electric (SDG&E) said that 1.4 
          million customers were affected.  Two million more people were 
          reported to be without power in Mexico.  A multi-stage 
          restoration plan was needed to restore all power.  Then on 
          November 30, 2012 and December 1, 2012, a windstorm with gusts 
          of 60-80 mph hit the Los Angeles area knocking out power to more 
          than 250,000 residents.  A number of residents were without 
          service for 7 days.


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


                                                               FN: 0004459