AB 2461

Bill Subjects

Abstract

Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations, as defined. Existing law, adopted as part of electrical restructuring, requires the PUC to supervise the administration of certain low-income energy efficiency programs, in consultation with the Low-Income Oversight Board, with the programs being funded through a nonbypassable charge upon distribution that is collected on the basis of usage. Existing law requires the PUC to ensure that low-income ratepayers are not jeopardized or overburdened by monthly energy expenditures, recognizing that electricity is a basic necessity and that all residents should be able to afford essential electricity and gas supplies. Existing law authorizes energy expenditures to be reduced, for these purposes, through the establishment of different rates for low-income ratepayers, different levels of rate assistance, and energy efficiency programs. Existing law requires the PUC to allocate funds necessary to meet these low-income objectives. Pursuant to these low-income energy efficiency directives, the PUC has established the Energy Savings Assistance Program. This bill would require the PUC to expand the scope of the Energy Savings Assistance Program to increase its penetration in low-income communities, and specifically to include schools, small businesses, and community centers. By expanding the scope of programs funded through the nonbypassable charge on distribution adopted as part of electrical restructuring, the bill would constitute a change in state statute that would result in a taxpayer paying a higher tax within the meaning of Section 3 of Article XIIIA of the California Constitution, and thus would require for passage the approval of 23 of the membership of each house of the Legislature. Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime. Because the provisions of this bill would be a part of the act and because a violation of an order or decision of the commission implementing its requirements would be a crime, the bill would impose a state-mandated local program by expanding what is a crime. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.