SB 48: Public Utilities Commission.
- Session Year: 2015-2016
- House: Senate
- Latest Version Date: 2015-09-16
(1)The California Constitution establishes the Public Utilities Commission, with jurisdiction over all public utilities. The Public Utilities Act provides that the office of the commission be in the City and County of San Francisco, that the office always be open, legal holidays and nonjudicial days excepted, that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco, and authorizes the commission to also meet at those other times and places as may be expedient and necessary for the proper performance of its duties.
This bill would require that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento and would require that the commission hold no less than 6 sessions each year in the City of Sacramento.
(2)The California Constitution authorizes the commission to establish its own procedures, subject to statutory limitations or directions and constitutional requirements of due process. Existing law requires the commission to determine whether a proceeding requires a hearing and, if so, to determine whether the matter requires a quasi-legislative, an adjudication, or a ratesetting hearing. For these purposes, quasi-legislative cases are cases that establish policy rulemakings and investigations which may establish rules affecting an entire industry, adjudication cases are enforcement cases and complaints except those challenging the reasonableness of any rates or charges, and ratesetting cases are cases in which rates are established for a specific company, including general rate cases, performance-based ratemaking, and other ratesetting mechanisms. Existing law requires the commission to publish and maintain certain documents on the Internet, including a docket card that lists all documents filed and all decisions or rulings issued in those proceedings, as provided.
This bill would make the Administrative Adjudication Code of Ethics applicable to administrative law judges of the commission. Except for in adjudication cases, the bill would require the commission, before instituting a proceeding on its own motion, where feasible and appropriate, to seek the views of those who are likely to be affected by a decision in the proceeding, including those who are likely to benefit from, and those who are potentially subject to, a decision in that proceeding. The bill would require the commission to include a docket card that lists the public versions of all prepared written testimony and advice letter filings, protests, and responses on its Internet Web site. The bill would require the commission to make additional information available on the Internet, including information on how members of the public and ratepayers can gain access to the commissions ratemaking process.
(3)The Public Utilities Act requires the commission to develop, publish, and annually update an annual workplan that does all of the following: (A) describes in clear detail the scheduled ratemaking proceedings and other decisions that may be considered by the commission during the calendar year, (B) includes information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided, (C) includes information on the operation of the office of the public adviser and identifies the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided, and (D) includes a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The act requires the commission to submit the workplan to the Governor and Legislature by February 1 of each year.
This bill would require the commission to develop, publish, and annually update a report that contains certain specified information, as provided, and would expand the requirement that the workplan, as part of that report, describe in clear detail the scheduled proceedings that may be considered by the commission during the calendar year to include all proceedings and not just ratemaking proceedings. The bill would additionally require that the report include performance criteria for the commission and executive director and evaluate the performance of the executive director during the previous year based on the criteria established in the prior years workplan.
The bill would require the president of the commission to present the annual report to the appropriate policy committees of the Senate and Assembly, and the commission to post the report in a conspicuous area of its Internet Web site and disseminate the information in the report, as provided. The bill would recast the report requirements and certain other requirements that the commission report information to an article in the Public Utilities Act pertaining to reports by the commission to the Legislature and make other conforming changes.
(4)The Public Utilities Act requires the commission to create, and annually submit to the Governor and Legislature by February 1, a report on the number of cases where resolution exceeded the time periods prescribed in scoping memos and the days that commissioners presided in hearings.
This bill would delete the requirement that the report include the number of cases where resolution exceeded the time periods prescribed in scoping memos and instead would require the commission to annually submit a report to the Legislature on the commissions timeliness in resolving cases and include information on the disposition of applications for rehearings. The bill would require that the report include the number of scoping memos issued in each proceeding and to include the number of orders issued extending the statutory deadlines for all adjudication, ratesetting, and quasi-legislative cases.
(5)The California Constitution provides that the Legislature has plenary power to establish the manner and scope of review of commission action in a court of record. Existing law provides that only the Supreme Court and the court of appeal have jurisdiction to review, reverse, correct, or annul any order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties.
This bill would authorize an action to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act to be brought against the commission in the superior court.
(6)This bill would incorporate additional changes in Section 311.5 of the Public Utilities Code, proposed by AB 825, to be operative only if AB 825 and this bill are both chaptered and become effective on or before January 1, 2016, and this bill is chaptered last.
(7)This bill would declare that Section 2 of this act shall not become operative if any section of any other act enacted by the Legislature during the 2015 calendar year and takes effect on or before January 1, 2016, amends, amends and renumbers, adds, repeals and adds, or repeals Section 306 of the Public Utilities Code.
(1)The California Constitution establishes the Public Utilities Commission, with jurisdiction over all public utilities. The Public Utilities Act provides that the office of the commission be in the City and County of San Francisco, that the office always be open, legal holidays and nonjudicial days excepted, that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco, and authorizes the commission to also meet at those other times and places as may be expedient and necessary for the proper performance of its duties.
This bill would require that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento and would require that the commission hold no less than 6 sessions each year in the City of Sacramento.
(2)The California Constitution authorizes the commission to establish its own procedures, subject to statutory limitations or directions and constitutional requirements of due process. Existing law requires the commission to determine whether a proceeding requires a hearing and, if so, to determine whether the matter requires a quasi-legislative, an adjudication, or a ratesetting hearing. For these purposes, quasi-legislative cases are cases that establish policy rulemakings and investigations which may establish rules affecting an entire industry, adjudication cases are enforcement cases and complaints except those challenging the reasonableness of any rates or charges, and ratesetting cases are cases in which rates are established for a specific company, including general rate cases, performance-based ratemaking, and other ratesetting mechanisms. Existing law requires the commission to publish and maintain certain documents on the Internet, including a docket card that lists all documents filed and all decisions or rulings issued in those proceedings, as provided.
This bill would make the Administrative Adjudication Code of Ethics applicable to administrative law judges of the commission. Except for in adjudication cases, the bill would require the commission, before instituting a proceeding on its own motion, where feasible and appropriate, to seek the views of those who are likely to be affected by a decision in the proceeding, including those who are likely to benefit from, and those who are potentially subject to, a decision in that proceeding. The bill would require the commission to include a docket card that lists the public versions of all prepared written testimony and advice letter filings, protests, and responses on its Internet Web site. The bill would require the commission to make additional information available on the Internet, including information on how members of the public and ratepayers can gain access to the commissions ratemaking process.
(3)The Public Utilities Act requires the commission to develop, publish, and annually update an annual workplan that does all of the following: (A) describes in clear detail the scheduled ratemaking proceedings and other decisions that may be considered by the commission during the calendar year, (B) includes information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided, (C) includes information on the operation of the office of the public adviser and identifies the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided, and (D) includes a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The act requires the commission to submit the workplan to the Governor and Legislature by February 1 of each year.
This bill would require the commission to develop, publish, and annually update a report that contains certain specified information, as provided, and would expand the requirement that the workplan, as part of that report, describe in clear detail the scheduled proceedings that may be considered by the commission during the calendar year to include all proceedings and not just ratemaking proceedings. The bill would additionally require that the report include performance criteria for the commission and executive director and evaluate the performance of the executive director during the previous year based on the criteria established in the prior years workplan.
The bill would require the president of the commission to present the annual report to the appropriate policy committees of the Senate and Assembly, and the commission to post the report in a conspicuous area of its Internet Web site and disseminate the information in the report, as provided. The bill would recast the report requirements and certain other requirements that the commission report information to an article in the Public Utilities Act pertaining to reports by the commission to the Legislature and make other conforming changes.
(4)The Public Utilities Act requires the commission to create, and annually submit to the Governor and Legislature by February 1, a report on the number of cases where resolution exceeded the time periods prescribed in scoping memos and the days that commissioners presided in hearings.
This bill would delete the requirement that the report include the number of cases where resolution exceeded the time periods prescribed in scoping memos and instead would require the commission to annually submit a report to the Legislature on the commissions timeliness in resolving cases and include information on the disposition of applications for rehearings. The bill would require that the report include the number of scoping memos issued in each proceeding and to include the number of orders issued extending the statutory deadlines for all adjudication, ratesetting, and quasi-legislative cases.
(5)The California Constitution provides that the Legislature has plenary power to establish the manner and scope of review of commission action in a court of record. Existing law provides that only the Supreme Court and the court of appeal have jurisdiction to review, reverse, correct, or annul any order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties.
This bill would authorize an action to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act to be brought against the commission in the superior court.
(6)This bill would incorporate additional changes in Section 311.5 of the Public Utilities Code, proposed by AB 825, to be operative only if AB 825 and this bill are both chaptered and become effective on or before January 1, 2016, and this bill is chaptered last.
(7)This bill would declare that Section 2 of this act shall not become operative if any section of any other act enacted by the Legislature during the 2015 calendar year and takes effect on or before January 1, 2016, amends, amends and renumbers, adds, repeals and adds, or repeals Section 306 of the Public Utilities Code.
(1)The California Constitution establishes the Public Utilities Commission, with jurisdiction over all public utilities. The California Constitution grants the commission certain general powers over all public utilities, subject to control by the Legislature, and authorizes the Legislature, unlimited by the other provisions of the Constitution, to confer additional authority and jurisdiction upon the commission that is cognate and germane to the regulation of public utilities. Existing law requires the Governor to designate the president of the commission from among its members and requires the president to direct the executive director, the attorney, and other staff of the commission, except for the Office of Ratepayer Advocates. Existing law authorizes the executive director and the attorney to undertake certain actions if directed or authorized by the president, except as otherwise directed or authorized by vote of the commission. The Public Utilities Act provides that the office of the commission be in the City and County of San Francisco, that the office always be open, legal holidays and nonjudicial days excepted, that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco, and authorizes the commission to also meet at those other times and places as may be expedient and necessary for the proper performance of its duties.
This bill would repeal the requirement that the president direct the executive director, the attorney, and other commission staff. The bill would delete the authority of the president to direct or authorize the executive director and attorney to undertake certain actions, thereby requiring that they be directed or authorized to undertake those actions by the commission.
(2)The Public Utilities Act provides that the office of the commission be in the City and County of San Francisco, that the office always be open, legal holidays and nonjudicial days excepted, that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco, and authorizes the commission to also meet at those other times and places as may be expedient and necessary for the proper performance of its duties.
This bill would require that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento and would require that the commission hold no less than 6 sessions each year in the City of Sacramento.
(3)
(2)The California Constitution authorizes the commission to establish its own procedures, subject to statutory limitations or directions and constitutional requirements of due process. Existing law requires the commission to determine whether a proceeding requires a hearing and, if so, to determine whether the matter requires a quasi-legislative, an adjudication, or a ratesetting hearing. For these purposes, quasi-legislative cases are cases that establish policy rulemakings and investigations which may establish rules affecting an entire industry, adjudication cases are enforcement cases and complaints except those challenging the reasonableness of any rates or charges, and ratesetting cases are cases in which rates are established for a specific company, including general rate cases, performance-based ratemaking, and other ratesetting mechanisms. Existing law requires the commission to publish and maintain certain documents on the Internet, including a docket card that lists all documents filed and all decisions or rulings issued in those proceedings, as provided.
This bill would make the Administrative Adjudication Code of Ethics applicable to administrative law judges of the commission. Except for in adjudication cases, the bill would require the commission, before instituting a proceeding on its own motion, where feasible and appropriate, to seek the views of those who are likely to be affected by a decision in the proceeding, including those who are likely to benefit from, and those who are potentially subject to, a decision in that proceeding. This The bill would require the commission to include a docket card that lists the public versions of all prepared written testimony and advice letter filings, protests, and responses. responses on its Internet Web site. The bill would require the commission to make additional information available on the Internet, including information on how members of the public and ratepayers can gain access to the commissions ratemaking process.
(4)
(3)The Public Utilities Act requires the commission to develop, publish, and annually update an annual workplan that does all of the following: (A) describes in clear detail the scheduled ratemaking proceedings and other decisions that may be considered by the commission during the calendar year, (B) include includes information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided, (C) include includes information on the operation of the office of the public adviser and identify identifies the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided, and (D) include includes a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The act requires the commission to submit the workplan to the Governor and Legislature by February 1 of each year.
This bill would require the commission to develop, publish, and annually update a report that contains certain specified information, as provided, and would expand the requirement that the workplan, as part of that report, describe in clear detail the scheduled proceedings that may be considered by the commission during the calendar year to include all proceedings and not just ratemaking proceedings. The bill would additionally require that the report include performance criteria for the commission and executive director and evaluate the performance of the executive director during the previous year based on the criteria established in the prior years workplan.
The bill would require the president of the commission to present the annual report to the appropriate policy committees of the Senate and Assembly, and the commission to post the report in a conspicuous area of its Internet Web site and disseminate the information in the report, as provided. The bill would recast the report requirements and certain other requirements that the commission report information to an article in the Public Utilities Act pertaining to reports by the commission to the Legislature and make other conforming changes.
(5)
(4)The Public Utilities Act requires the commission to create, and annually submit to the Governor and Legislature by February 1, a report on the number of cases where resolution exceeded the time periods prescribed in scoping memos and the days that commissioners presided in hearings.
This bill would delete the requirement that the report include the number of cases where resolution exceeded the time periods prescribed in scoping memos and instead would require the commission to annually submit a report to the Legislature on the commissions timeliness in resolving cases and include information on the disposition of applications for rehearings. The bill would require that the report include the number of scoping memos issued in each proceeding and to include the number of orders issued extending the statutory deadlines for all adjudication, ratesetting, and quasi-legislative cases.
(6)
(5)The California Constitution provides that the Legislature has plenary power to establish the manner and scope of review of commission action in a court of record. Existing law provides that only the Supreme Court and the court of appeal have jurisdiction to review, reverse, correct, or annul any order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties.
This bill would authorize an action to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act to be brought against the commission in the superior court.
(6)This bill would incorporate additional changes in Section 311.5 of the Public Utilities Code, proposed by AB 825, to be operative only if AB 825 and this bill are both chaptered and become effective on or before January 1, 2016, and this bill is chaptered last.
(1)The California Constitution establishes the Public Utilities Commission, with jurisdiction over all public utilities. The California Constitution grants the commission certain general powers over all public utilities, subject to control by the Legislature, and authorizes the Legislature, unlimited by the other provisions of the Constitution, to confer additional authority and jurisdiction upon the commission that is cognate and germane to the regulation of public utilities. Existing law requires the Governor to designate the president of the commission from among its members and requires the president to direct the executive director, the attorney, and other staff of the commission, except for the Office of Ratepayer Advocates. Existing law authorizes the executive director and the attorney to undertake certain actions if directed or authorized by the president, except as otherwise directed or authorized by vote of the commission.
This bill would repeal the requirement that the president direct the executive director, the attorney, and other commission staff. The bill would delete the authority of the president to direct or authorize the executive director and attorney to undertake certain actions, thereby requiring that they be directed or authorized to undertake those actions by the commission.
(2)The Public Utilities Act provides that the office of the commission be in the City and County of San Francisco, that the office always be open, legal holidays and nonjudicial days excepted, that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco, and authorizes the commission to also meet at those other times and places as may be expedient and necessary for the proper performance of its duties.
This bill would require that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento and would require that the commission hold no less than 6 sessions each year in the City of Sacramento.
(3)The California Constitution authorizes the commission to establish its own procedures, subject to statutory limitations or directions and constitutional requirements of due process. Existing law requires the commission to determine whether a proceeding requires a hearing and, if so, to determine whether the matter requires a quasi-legislative, an adjudication, or a ratesetting hearing. For these purposes, quasi-legislative cases are cases that establish policy rulemakings and investigations which may establish rules affecting an entire industry, adjudication cases are enforcement cases and complaints except those challenging the reasonableness of any rates or charges, and ratesetting cases are cases in which rates are established for a specific company, including general rate cases, performance-based ratemaking, and other ratesetting mechanisms. Existing law requires the commission to publish and maintain certain documents on the Internet, including a docket card that lists all documents filed and all decisions or rulings issued in those proceedings, as provided.
This bill would make the Administrative Adjudication Code of Ethics applicable to administrative law judges of the commission. Except for in adjudication cases, the bill would require the commission, before instituting a proceeding on its own motion, where feasible and appropriate, to seek the views of those who are likely to be affected by a decision in the proceeding, including those who are likely to benefit from, and those who are potentially subject to, a decision in that proceeding. This bill would require the commission to include a docket card that lists the public versions of all prepared written testimony and advice letter filings, protests, and responses. The bill would require the commission to make additional information available on the Internet, including information on how members of the public and ratepayers can gain access to the commissions ratemaking process.
(4)The Public Utilities Act requires the commission to develop, publish, and annually update an annual workplan that does all of the following: (A) describes in clear detail the scheduled ratemaking proceedings and other decisions that may be considered by the commission during the calendar year, (B) include information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided, (C) include information on the operation of the office of the public adviser and identify the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided, and (D) include a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The act requires the commission to submit the workplan to the Governor and Legislature by February 1 of each year.
This bill would require the commission to develop, publish, and annually update a report that contains certain specified information, as provided, and would expand the requirement that the workplan, as part of that report, describe in clear detail the scheduled proceedings that may be considered by the commission during the calendar year to include all proceedings and not just ratemaking proceedings. The bill would additionally require that the report include performance criteria for the commission and executive director and evaluate the performance of the executive director during the previous year based on the criteria established in the prior years workplan.
The bill would require the president of the commission to present the annual report to the appropriate policy committees of the Senate and Assembly, and the commission to post the report in a conspicuous area of its Internet Web site and disseminate the information in the report, as provided. The bill would recast the report requirements and certain other requirements that the commission report information to an article in the Public Utilities Act pertaining to reports by the commission to the Legislature and make other conforming changes.
(5)The Public Utilities Act requires the commission to create, and annually submit to the Governor and Legislature by February 1, a report on the number of cases where resolution exceeded the time periods prescribed in scoping memos and the days that commissioners presided in hearings.
This bill would delete the requirement that the report include the number of cases where resolution exceeded the time periods prescribed in scoping memos and instead would require the commission to annually submit a report to describe the Legislature on the commissions timeliness in resolving cases and include information on the disposition of applications for rehearings. The bill would require that the report include the number of scoping memos issued in each proceeding and to include the number of orders issued extending the statutory deadlines for all adjudication, ratesetting, and quasi-legislative cases. The bill would require this information to be included in the report described in paragraph (4).
(6)The California Constitution provides that the Legislature has plenary power to establish the manner and scope of review of commission action in a court of record. Existing law provides that only the Supreme Court and the court of appeal have jurisdiction to review, reverse, correct, or annul any order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties.
This bill would authorize an action to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act to be brought against the commission in the superior court.
(1)The California Constitution establishes the Public Utilities Commission, with jurisdiction over all public utilities. The California Constitution grants the commission certain general powers over all public utilities, subject to control by the Legislature, and authorizes the Legislature, unlimited by the other provisions of the Constitution, to confer additional authority and jurisdiction upon the commission that is cognate and germane to the regulation of public utilities. Existing law requires the Governor to designate the president of the commission from among its members and requires the president to direct the executive director, the attorney, and other staff of the commission, except for the Office of Ratepayer Advocates. Existing law authorizes the executive director and the attorney to undertake certain actions if directed or authorized by the president, except as otherwise directed or authorized by vote of the commission.
This bill would repeal the requirement that the president direct the executive director, the attorney, and other commission staff. The bill would delete the authority of the president to direct or authorize the executive director and attorney to undertake certain actions, thereby requiring that they be directed or authorized to undertake those actions by the commission.
(2)The Public Utilities Act provides that the office of the commission be in the City and County of San Francisco, that the office always be open, legal holidays and nonjudicial days excepted, that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco, and authorizes the commission to also meet at those other times and places as may be expedient and necessary for the proper performance of its duties.
This bill would require that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento and would require that the commission hold no less than 6 sessions each year in the City of Sacramento.
(3)The California Constitution authorizes the commission to establish its own procedures, subject to statutory limitations or directions and constitutional requirements of due process. Existing law requires the commission to determine whether a proceeding requires a hearing and, if so, to determine whether the matter requires a quasi-legislative, an adjudication, or a ratesetting hearing. For these purposes, quasi-legislative cases are cases that establish policy rulemakings and investigations which may establish rules affecting an entire industry, adjudication cases are enforcement cases and complaints except those challenging the reasonableness of any rates or charges, and ratesetting cases are cases in which rates are established for a specific company, including general rate cases, performance-based ratemaking, and other ratesetting mechanisms. Existing law requires the commission to publish and maintain certain documents on the Internet, including a docket card that lists all documents filed and all decisions or rulings issued in those proceedings, as provided.
This bill would make the Administrative Adjudication Code of Ethics applicable to administrative law judges of the commission. Except for in adjudication cases, the bill would require the commission, before instituting a proceeding on its own motion, where feasible and appropriate, to seek the views of those who are likely to be affected by a decision in the proceeding, including those who are likely to benefit from, and those who are potentially subject to, a decision in that proceeding. This bill would require the commission to include a docket card that lists the public versions of all prepared written testimony and advice letter filings, protests, and responses. The bill would require the commission to make additional information available on the Internet, including information on how members of the public and ratepayers can gain access to the commissions ratemaking process.
(4)The Public Utilities Act requires the commission to develop, publish, and annually update an annual workplan that does all of the following: (A) describes in clear detail the scheduled ratemaking proceedings and other decisions that may be considered by the commission during the calendar year, (B) include information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided, (C) include information on the operation of the office of the public adviser and identify the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided, and (D) include a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The act requires the commission to submit the workplan to the Governor and Legislature by February 1 of each year.
This bill would require the commission to develop, publish, and annually update a report that contains certain specified information, as provided, and would expand the requirement that the workplan, as part of that report, describe in clear detail the scheduled proceedings that may be considered by the commission during the calendar year to include all proceedings and not just ratemaking proceedings. The bill would additionally require that the report include performance criteria for the commission and executive director and evaluate the performance of the executive director during the previous year based on the criteria established in the prior years workplan.
Existing law requires the commission to produce a statement that specifies the proposed activities of the commission in reducing the costs of, and rates for, energy, including electricity, as provided.
This bill would delete this requirement.
The bill would require the president of the commission to present the annual report to the appropriate policy committees of the Senate and Assembly, and the commission to post the report in a conspicuous area of its Internet Web site and disseminate the information in the report, as provided.
(5)The Public Utilities Act requires the commission to create, and annually submit to the Governor and Legislature by February 1, a report on the number of cases where resolution exceeded the time periods prescribed in scoping memos and the days that commissioners presided in hearings.
This bill would delete the requirement that the report include the number of cases where resolution exceeded the time periods prescribed in scoping memos and instead would require the report to describe the commissions timeliness in resolving cases and include information on the disposition of applications for rehearings. The bill would require that the report include the number of scoping memos issued in each proceeding and to include the number of orders issued extending the statutory deadlines for all adjudication, ratesetting, and quasi-legislative cases. The bill would require this information to be included in the report described in paragraph (4).
(6)The California Constitution provides that the Legislature has plenary power to establish the manner and scope of review of commission action in a court of record. Existing law provides that only the Supreme Court and the court of appeal have jurisdiction to review, reverse, correct, or annul any order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties.
This bill would authorize an action to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act to be brought against the commission in the superior court.
(1)The California Constitution establishes the Public Utilities Commission, with jurisdiction over all public utilities. The California Constitution grants the commission certain general powers over all public utilities, subject to control by the Legislature, and authorizes the Legislature, unlimited by the other provisions of the Constitution, to confer additional authority and jurisdiction upon the commission that is cognate and germane to the regulation of public utilities. Existing law requires the Governor to designate the president of the commission from among its members and requires the president to direct the executive director, the attorney, and other staff of the commission, except for the Office of Ratepayer Advocates. Existing law authorizes the executive director and the attorney to undertake certain actions if directed or authorized by the president, except as otherwise directed or authorized by vote of the commission.
This bill would repeal the requirement that the president direct the executive director, the attorney, and other commission staff. The bill would delete the authority of the president to direct or authorize the executive director and attorney to undertake certain actions, thereby requiring that they be directed or authorized to undertake those actions by the commission.
(2)The Public Utilities Act provides that the office of the commission be in the City and County of San Francisco, that the office always be open, legal holidays and nonjudicial days excepted, that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco, and authorizes the commission to also meet at those other times and places as may be expedient and necessary for the proper performance of its duties.
This bill would require that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento and would require that the commission hold no less than 6 sessions each year in the City of Sacramento.
(3)The California Constitution authorizes the commission to establish its own procedures, subject to statutory limitations or directions and constitutional requirements of due process. Existing law requires the commission to determine whether a proceeding requires a hearing and, if so, to determine whether the matter requires a quasi-legislative, an adjudication, or a ratesetting hearing. For these purposes, quasi-legislative cases are cases that establish policy rulemakings and investigations which may establish rules affecting an entire industry, adjudication cases are enforcement cases and complaints except those challenging the reasonableness of any rates or charges, and ratesetting cases are cases in which rates are established for a specific company, including general rate cases, performance-based ratemaking, and other ratesetting mechanisms. Existing law requires the commission to publish and maintain certain documents on the Internet, including a docket card that lists all documents filed and all decisions or rulings issued in those proceedings, as provided.
This bill would make the Administrative Adjudication Code of Ethics applicable to adjudication hearings administrative law judges of the commission. Except for in adjudication cases, the bill would require the commission, before instituting an investigation or a proceeding on its own motion, where feasible and appropriate, to seek the views of those who are likely to be affected by a decision in the investigation or proceeding, including those who are likely to benefit from, and those who are potentially subject to, a decision in that investigation or proceeding. This bill would require the commission to post all prepared written testimony submitted in its formal proceedings on its Internet Web site. This bill would require the commission to include a docket card that lists the public versions of all prepared written testimony and advice letter filings, protests, and responses. The bill would require the commission to make additional information available on the Internet, including information on how members of the public and ratepayers can gain access to the commissions ratemaking process.
(4)The Public Utilities Act requires the commission to develop, publish, and annually update an annual workplan that does all of the following: (A) describes in clear detail the scheduled ratemaking proceedings and other decisions that may be considered by the commission during the calendar year, (B) include information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided, (C) include information on the operation of the office of the public adviser and identify the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided, and (D) include a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The act requires the commission to submit the workplan to the Governor and Legislature by February 1 of each year.
This bill would require the commission to develop, publish, and annually update a report that contains certain specified information, as provided, and would expand the requirement that the workplan workplan, as part of that report, describe in clear detail the scheduled proceedings that may be considered by the commission during the calendar year to include all proceedings and not just ratemaking proceedings. The bill would additionally require that the workplan report include performance criteria for the commission and executive director and evaluate the performance of the executive director during the previous year based on the criteria established in the prior years workplan.
Existing law requires the commission to produce a statement that specifies the proposed activities of the commission in reducing the costs of, and rates for, energy, including electricity, as provided.
This bill would delete this requirement.
The bill would require the president of the commission to present the annual report to the appropriate policy committees of the Senate and Assembly, and the commission to post the report in a conspicuous area of its Internet Web site and disseminate the information in the report, as provided.
(5)The Public Utilities Act requires the commission to create, and annually submit to the Governor and Legislature by February 1, a report on the number of cases where resolution exceeded the time periods prescribed in scoping memos and the days that commissioners presided in hearings.
This bill would delete the requirement that the report include the number of cases where resolution exceeded the time periods prescribed in scoping memos and instead would require the report to describe the commissions timeliness in resolving cases and include information on the disposition of applications for rehearings. The bill would require that the report include the number of scoping memos issued in each proceeding and to include the number of orders issued extending the statutory deadlines for all adjudication, ratesetting, and quasi-legislative cases. The bill would require this information to be included in the report described in paragraph (4).
(6)The California Constitution provides that the Legislature has plenary power to establish the manner and scope of review of commission action in a court of record. Existing law provides that only the Supreme Court and the court of appeal have jurisdiction to review, reverse, correct, or annul any order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties.
This bill would authorize an action to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act to be brought against the commission in the superior court.
(1)The California Constitution establishes the Public Utilities Commission, with jurisdiction over all public utilities. The California Constitution grants the commission certain general powers over all public utilities, subject to control by the Legislature, and authorizes the Legislature, unlimited by the other provisions of the Constitution, to confer additional authority and jurisdiction upon the commission that is cognate and germane to the regulation of public utilities. Existing law requires the Governor to designate the president of the commission from among its members and requires the president to direct the executive director, the attorney, and other staff of the commission, except for the Office of Ratepayer Advocates. Existing law authorizes the executive director and the attorney to undertake certain actions if directed or authorized by the president, except as otherwise directed or authorized by vote of the commission.
This bill would repeal the requirement that the president direct the executive director, the attorney, and other commission staff. The bill would delete the authority of the president to direct or authorize the executive director and attorney to undertake certain actions, thereby requiring that they be directed or authorized to undertake those actions by the commission. The bill would require the commission to develop performance criteria for the commission and the executive director and to annually evaluate the performance of the executive director based on the criteria established in the previous year.
(2)The Public Utilities Act provides that the office of the commission be in the City and County of San Francisco, that the office always be open, legal holidays and nonjudicial days excepted, that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco, and authorizes the commission to also meet at those other times and places as may be expedient and necessary for the proper performance of its duties.
This bill would require that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento and would require that the commission hold no less than 6 sessions each year in the City of Sacramento.
(3)The California Constitution authorizes the commission to establish its own procedures, subject to statutory limitations or directions and constitutional requirements of due process. Existing law requires the commission to determine whether a proceeding requires a hearing and, if so, to determine whether the matter requires a quasi-legislative, an adjudication, or a ratesetting hearing. For these purposes, quasi-legislative cases are cases that establish policy rulemakings and investigations which may establish rules affecting an entire industry, adjudication cases are enforcement cases and complaints except those challenging the reasonableness of any rates or charges, and ratesetting cases are cases in which rates are established for a specific company, including general rate cases, performance-based ratemaking, and other ratesetting mechanisms.
This bill would make the Administrative Adjudication Code of Ethics applicable to adjudication hearings of the commission. Except for in adjudication cases, the bill would require the commission, before instituting an investigation or proceeding on its own motion, where feasible and appropriate, to seek the views of those who are likely to be affected by a decision in the investigation or proceeding, including those who are likely to benefit from, and those who are potentially subject to, a decision in that investigation or proceeding. This bill would require the commission to post all prepared written testimony submitted in its formal proceedings on its Internet Web site.
(4)Existing law requires the commission, upon initiating a hearing, to assign one or more commissioners to oversee the case and an administrative law judge, where appropriate. Existing law requires the assigned commissioner to prepare and issue, by order or ruling, a scoping memo that describes the issues to be considered and the applicable timetable for resolution. Existing law requires the commission, to adopt procedures on the disqualification of administrative law judges due to bias or prejudice similar to those of other state agencies and superior courts.
This bill would require the commission to additionally adopt procedures on the disqualification of commissioners due to bias or prejudice similar to those of other state agencies and superior courts.
(5)
(4)The Public Utilities Act requires the commission to develop, publish, and annually update an annual workplan that does all of the following: (a) (A) describes in clear detail the scheduled ratemaking proceedings and other decisions that may be considered by the commission during the calendar year, (b) (B) include information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided, (c) (C) include information on the operation of the office of the public adviser and identify the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided, and (d) (D) include a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The act requires the commission to submit the workplan to the Governor and Legislature by February 1 of each year.
This bill would expand the requirement that the workplan describe in clear detail the scheduled proceedings that may be considered by the commission during the calendar year to include all proceedings and not just ratemaking proceedings. The bill would additionally require that the workplan include performance criteria for the commission and executive director and evaluate the performance of the executive director during the previous year based on the criteria established in the prior years workplan.
(6)
(5)The Public Utilities Act requires the commission to create, and annually submit to the Governor and Legislature by February 1, a report on the number of cases where resolution exceeded the time periods prescribed in scoping memos and the days that commissioners presided in hearings.
This bill would delete the requirement that the report include the number of cases where resolution exceeded the time periods prescribed in scoping memos and instead would require the report to describe the commissions timeliness in resolving cases and include information on the disposition of applications for rehearings. The bill would require that the report include the number of scoping memos issued in each proceeding and to include the number of orders issued extending the statutory deadlines for all adjudication, ratesetting, and quasi-legislative cases.
(7)Existing law regulates communications in hearings before the commission and defines ex parte communication to mean any oral or written communication between a decisionmaker and a person with an interest in a matter before the commission concerning substantive, but not procedural, issues that does not occur in a public hearing, workshop, or other public proceeding, or on the official record of the proceeding on the matter. Existing law requires the commission, by regulation, to adopt and publish a definition of the terms decisionmaker and persons for those purposes, along with any requirements for written reporting of ex parte communications and appropriate sanctions for noncompliance with any rule proscribing ex parte communications. Existing law requires the commission to permit ex parte communications in quasi-legislative cases without restriction.
This bill would revise the definition of an ex parte communication to include communication between a decisionmaker and a representative of the financial industry, even if the representative does not have an interest in the matter. The bill would require that the commissions definition of who is a decisionmaker include commissioners, the executive director of the commission, and the attorney of the commission. The bill would delete the provision that an ex parte communication concerns a substantive, but not a procedural matter, and instead would provide that an ex parte communication concerns any matter that the commission has not specified as being a procedural matter that is an appropriate subject for ex parte communication. The bill would require the commission to specify those procedural matter that are appropriate subjects for ex parte communications in its Rules of Practice and Procedure. The bill would permit ex parte communications in quasi-legislative proceedings only in the following circumstances: (A) for oral ex parte communications if all interested parties are invited and given not less than 3 days notice, (B) for written ex parte communications if copies of the communication are transmitted to all parties on the same day, and (C) if an ex parte communication meeting is granted to any party, all other parties are required to be granted individual ex parte meetings of a substantially equal period of time and not less than 3 days notice would be required to be sent of this right at the time that the request is granted. The bill would require that any decisionmaker who makes or receives a prohibited ex parte communication, or who learns that a permissible ex parte communication was not reported, to disclose the content of the communication and give all parties an opportunity to address the communication. The bill would make a knowing and willful violation of the ex parte communications requirements punishable by a fine of not more than $50,000 or by imprisonment for not more than one year in the county jail, or by both fine and imprisonment. By creating a new crime, the bill would impose a state-mandated local program. The bill would require the commission to post all prepared written testimony submitted in its formal proceedings on the commissions Internet Web site.
(8)
(6)The California Constitution provides that the Legislature has plenary power to establish the manner and scope of review of commission action in a court of record. Existing law provides that only the Supreme Court and the court of appeal have jurisdiction to review, reverse, correct, or annul any order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties.
This bill would authorize an action to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act to be brought against the commission in the superior court.
(9)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.
(1)The California Constitution establishes the Public Utilities Commission, with jurisdiction over all public utilities. The California Constitution grants the commission certain general powers over all public utilities, subject to control by the Legislature, and authorizes the Legislature, unlimited by the other provisions of the Constitution, to confer additional authority and jurisdiction upon the commission that is cognate and germane to the regulation of public utilities. Existing law requires the Governor to designate the president of the commission from among its members and requires the president to direct the executive director, the attorney, and other staff of the commission, except for the Office of Ratepayer Advocates. Existing law authorizes the executive director and the attorney to undertake certain actions if directed or authorized by the president, except as otherwise directed or authorized by vote of the commission.
This bill would repeal the requirement that the president direct the executive director, the attorney, and other commission staff. The bill would delete the authority of the president to direct or authorize the executive director and attorney to undertake certain actions, thereby requiring that they be directed or authorized to undertake those actions by the commission. The bill would require the commission to develop performance criteria for the commission and the executive director and to annually evaluate the performance of the executive director based on the criteria established in the previous year.
(2)The Public Utilities Act provides that the office of the commission be in the City and County of San Francisco, that the office always be open, legal holidays and nonjudicial days excepted, that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco, and authorizes the commission to also meet at those other times and places as may be expedient and necessary for the proper performance of its duties.
This bill would require that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento and would require that the commission hold no less than 6 sessions each year in the City of Sacramento.
(3)The California Constitution authorizes the commission to establish its own procedures, subject to statutory limitations or directions and constitutional requirements of due process. Existing law requires the commission to determine whether a proceeding requires a hearing and, if so, to determine whether the matter requires a quasi-legislative, an adjudication, or a ratesetting hearing. For these purposes, quasi-legislative cases are cases that establish policy rulemakings and investigations which may establish rules affecting an entire industry, adjudication cases are enforcement cases and complaints except those challenging the reasonableness of any rates or charges, and ratesetting cases are cases in which rates are established for a specific company, including general rate cases, performance-based ratemaking, and other ratesetting mechanisms.
This bill would make the Administrative Adjudication Code of Ethics applicable to adjudication hearings of the commission. Except for in adjudication cases, the bill would require the commission, before instituting an investigation or proceeding on its own motion, where feasible and appropriate, to seek the views of those who are likely to be affected by a decision in the investigation or proceeding, including those who are likely to benefit from, and those who are potentially subject to, a decision in that investigation or proceeding.
(4)Existing law requires the commission, upon initiating a hearing, to assign one or more commissioners to oversee the case and an administrative law judge, where appropriate. Existing law requires the assigned commissioner to prepare and issue, by order or ruling, a scoping memo that describes the issues to be considered and the applicable timetable for resolution. Existing law requires the commission, to adopt procedures on the disqualification of administrative law judges due to bias or prejudice similar to those of other state agencies and superior courts.
This bill would require the commission to additionally adopt procedures on the disqualification of commissioners due to bias or prejudice similar to those of other state agencies and superior courts.
(5)The Public Utilities Act requires the commission to develop, publish, and annually update an annual workplan that does all the following: (a) describes in clear detail the scheduled ratemaking proceedings and other decisions that may be considered by the commission during the calendar year, (b) include information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided, (c) include information on the operation of the office of the public adviser and identify the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided, and (d) include a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The act requires the commission to submit the workplan to the Governor and Legislature by February 1 of each year.
This bill would expand the requirement that the workplan describe in clear detail the scheduled proceedings that may be considered by the commission during the calendar year to include all proceedings and not just ratemaking proceedings. The bill would additionally require that the workplan include performance criteria for the commission and executive director and evaluate the performance of the executive director during the previous year based on the criteria established in the prior years workplan.
(6)The Public Utilities Act requires the commission to create, and annually submit to the Governor and Legislature by February 1, a report on the number of cases where resolution exceeded the time periods prescribed in scoping memos and the days that commissioners presided in hearings.
This bill would delete the requirement that the report include the number of cases where resolution exceeded the time periods prescribed in scoping memos and instead would require the report to describe the commissions timeliness in resolving cases and include information on the disposition of applications for rehearings. The bill would require that the report include the number of scoping memos issued in each proceeding and to include the number of orders issued extending the statutory deadlines for all adjudication, ratesetting, and quasi-legislative cases.
(7)Existing law regulates communications in hearings before the commission and defines ex parte communication to mean any oral or written communication between a decisionmaker and a person with an interest in a matter before the commission concerning substantive, but not procedural, issues that does not occur in a public hearing, workshop, or other public proceeding, or on the official record of the proceeding on the matter. Existing law requires the commission, by regulation, to adopt and publish a definition of the terms decisionmaker and persons for those purposes, along with any requirements for written reporting of ex parte communications and appropriate sanctions for noncompliance with any rule proscribing ex parte communications. Existing law requires the commission to permit ex parte communications in quasi-legislative cases without restriction.
This bill would revise the definition of an ex parte communication to include communication between a decisionmaker and a representative of the financial industry, even if the representative does not have an interest in the matter. The bill would require that the commissions definition of who is a decisionmaker include commissioners, the executive director of the commission, and the attorney of the commission. The bill would delete the provision that an ex parte communication concerns a substantive, but not a procedural matter, and instead would provide that an ex parte communication concerns any matter that the commission has not specified as being a procedural matter that is an appropriate subject for ex parte communication. The bill would require the commission to specify those procedural matter that are appropriate subjects for ex parte communications in its Rules of Practice and Procedure. The bill would permit ex parte communications in quasi-legislative proceedings only in the following circumstances: (A) for oral ex parte communications if all interested parties are invited and given not less than 3 days notice, (B) for written ex parte communications if copies of the communication are transmitted to all parties on the same day, and (C) if an ex parte communication meeting is granted to any party, all other parties are required to be granted individual ex parte meetings of a substantially equal period of time and not less than 3 days notice would be required to be sent of this right at the time that the request is granted. The bill would require that any decisionmaker who makes or receives a prohibited ex parte communication, or who learns that a permissible ex parte communication was not reported, to disclose the content of the communication and give all parties an opportunity to address the communication. The bill would make a knowing and willful violation of the ex parte communications requirements punishable by a fine of not more than $50,000 or by imprisonment for not more than one year in the county jail, or by both fine and imprisonment. By creating a new crime, the bill would impose a state-mandated local program. The bill would require the commission to post all prepared written testimony submitted in its formal proceedings on the commissions Internet Web site.
(8)The California Constitution provides that the Legislature has plenary power to establish the manner and scope of review of commission action in a court of record. Existing law provides that only the Supreme Court and the court of appeal have jurisdiction to review, reverse, correct, or annul any order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties.
This bill would authorize an action to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act to be brought against the commission in the superior court.
(9)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.
(1)The California Constitution establishes the Public Utilities Commission, with jurisdiction over all public utilities. The California Constitution grants the commission certain general powers over all public utilities, subject to control by the Legislature, and authorizes the Legislature, unlimited by the other provisions of the Constitution, to confer additional authority and jurisdiction upon the commission that is cognate and germane to the regulation of public utilities. Existing law requires the Governor to designate the president of the commission from among its members and requires the president to direct the executive director, the attorney, and other staff of the commission, except for the Office of Ratepayer Advocates. Existing law authorizes the executive director and the attorney to undertake certain actions if directed or authorized by the president, except as otherwise directed or authorized by vote of the commission.
This bill would repeal the requirement that the president direct the executive director, the attorney, and other commission staff. The bill would delete the authority of the president to direct or authorize the executive director and attorney to undertake certain actions, thereby requiring that they be directed or authorized to undertake those actions by the commission. The bill would require the commission to develop performance criteria for the commission and the executive director and to annually evaluate the performance of the executive director based on the criteria established in the previous year.
(2)The Public Utilities Act provides that the office of the commission be in the City and County of San Francisco, that the office always be open, legal holidays and nonjudicial days excepted, that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco, and authorizes the commission to also meet at those other times and places as may be expedient and necessary for the proper performance of its duties.
This bill would require that the commission hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento and would require that the commission hold no less than 6 sessions each year in the City of Sacramento.
(3)The California Constitution authorizes the commission to establish its own procedures, subject to statutory limitations or directions and constitutional requirements of due process. Existing law requires the commission to determine whether a proceeding requires a hearing and, if so, to determine whether the matter requires a quasi-legislative, an adjudication, or a ratesetting hearing. For these purposes, quasi-legislative cases are cases that establish policy rulemakings and investigations which may establish rules affecting an entire industry, adjudication cases are enforcement cases and complaints except those challenging the reasonableness of any rates or charges, and ratesetting cases are cases in which rates are established for a specific company, including general rate cases, performance-based ratemaking, and other ratesetting mechanisms.
This bill would make the Administrative Adjudication Code of Ethics applicable to adjudication hearings of the commission.
(4)Existing law requires the commission, upon initiating a hearing, to assign one or more commissioners to oversee the case and an administrative law judge, where appropriate. Existing law requires the assigned commissioner to prepare and issue, by order or ruling, a scoping memo that describes the issues to be considered and the applicable timetable for resolution. Existing law requires the commission, to adopt procedures on the disqualification of administrative law judges due to bias or prejudice similar to those of other state agencies and superior courts.
This bill would require the commission to additionally adopt procedures on the disqualification of commissioners due to bias or prejudice similar to those of other state agencies and superior courts.
(5)The Public Utilities Act requires the commission to develop, publish, and annually update an annual workplan that does all the following: (a) describes in clear detail the scheduled ratemaking proceedings and other decisions that may be considered by the commission during the calendar year, (b) include information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided, (c) include information on the operation of the office of the public adviser and identify the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided, and (d) include a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The act requires the commission to submit the workplan to the Governor and Legislature by February 1 of each year.
This bill would expand the requirement that the workplan describe in clear detail the scheduled proceedings that may be considered by the commission during the calendar year to include all proceedings and not just ratemaking proceedings. The bill would additionally require that the workplan include performance criteria for the commission and executive director and evaluate the performance of the executive director during the previous year based on the criteria established in the prior years workplan.
(6)The Public Utilities Act requires the commission to create, and annually submit to the Governor and Legislature by February 1, a report on the number of cases where resolution exceeded the time periods prescribed in scoping memos and the days that commissioners presided in hearings.
This bill would delete the requirement that the report include the number of cases where resolution exceeded the time periods prescribed in scoping memos and instead would require the report to describe the commissions timeliness in resolving cases and include information on the disposition of applications for rehearings. The bill would require that the report include the number of scoping memos issued in each proceeding and to include the number of orders issued extending the statutory deadlines for all adjudication, ratesetting, and quasi-legislative cases.
(7)Existing law regulates communications in hearings before the commission and defines ex parte communication to mean any oral or written communication between a decisionmaker and a person with an interest in a matter before the commission concerning substantive, but not procedural, issues that does not occur in a public hearing, workshop, or other public proceeding, or on the official record of the proceeding on the matter. Existing law requires the commission, by regulation, to adopt and publish a definition of the terms decisionmaker and persons for those purposes, along with any requirements for written reporting of ex parte communications and appropriate sanctions for noncompliance with any rule proscribing ex parte communications. Existing law requires the commission to permit ex parte communications in quasi-legislative cases without restriction.
This bill would revise the definition of an ex parte communication to include communication between a decisionmaker and a representative of the financial industry, even if the representative does not have an interest in the matter. The bill would require that the commissions definition of who is a decisionmaker include commissioners, the executive director of the commission, and the attorney of the commission. The bill would permit ex parte communications in quasi-legislative proceedings only in the following circumstances: (A) for oral ex parte communications if all interested parties are invited and given not less than 3 days notice, (B) for written ex parte communications if copies of the communication are transmitted to all parties on the same day, and (C) if an ex parte communication meeting is granted to any party, all other parties are required to be granted individual ex parte meetings of a substantially equal period of time and not less than 3 days notice would be required to be sent of this right at the time that the request is granted. The bill would make a violation of the ex parte communications requirements punishable by a fine of not more than $50,000 or by imprisonment for not more than one year in the county jail, or by both fine and imprisonment. By creating a new crime, the bill would impose a state-mandated local program. The bill would require the commission to post all prepared written testimony submitted in its formal proceedings on the commissions Internet Web site.
(8)The California Constitution provides that the Legislature has plenary power to establish the manner and scope of review of commission action in a court of record. Existing law provides that only the Supreme Court and the court of appeal have jurisdiction to review, reverse, correct, or annul any order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties.
This bill would authorize an action to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act to be brought against the commission in the superior court.
(9)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.
(a)The Legislature finds and declares all of the following:
(1)On June 3, 2014, Californias Fourth District Court of Appeal, in Disenhouse v. Peevey (2014) 226 Cal.App.4th 1096, held that an interested person desiring to enforce the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code) against the Public Utilities Commission must do so by filing a petition for writ of mandamus in the Supreme Court or the court of appeal and may not do so by filing an action for injunctive relief in the superior court.
(2)The intent of the Bagley-Keene Open Meeting Act is that actions of state agencies be taken openly and that their deliberation be conducted openly.
(3)The peoples right to remain informed so that they may retain control over the instruments of government that they have created is not less of a right for some agencies than for other agencies, nor shall the peoples ability to enforce the Bagley-Keene Open Meeting Act be more hampered for some agencies than for other agencies.
(4)The duties, responsibilities, and actions of the Public Utilities Commission affect the well-being of current and future generations and the public interest and principles of fundamental fairness and due process of law require that the commission conduct its affairs in an open, objective, and impartial manner, free of undue influence and the abuse of power and authority.
(b)It is the intent of the Legislature that the Public Utilities Commission should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
SEC. 2.Section 306 of the Public Utilities Code is amended to read:306.(a)The office of the commission shall be in the City and County of San Francisco. The office shall always be open, legal holidays and nonjudicial days excepted. The commission shall hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento. The commission may also meet at such other times and in such other places as may be expedient and necessary for the proper performance of its duties, and for that purpose may rent quarters or offices. The commission shall hold no less than six sessions each year in the City of Sacramento.
(b)The meetings of the commission shall be open and public in accordance with the provisions of Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code.
In addition to the requirements of Section 11125 of the Government Code, the commission shall include in its notice of meetings the agenda of business to be transacted, and no item of business shall be added to the agenda subsequent to the notice in the absence of an unforeseen emergency situation. A rate increase shall not constitute an unforeseen emergency situation. As used in this subdivision, meeting shall include all investigations, proceedings, and showings required by law to be open and public.
(c)The commission shall have a seal, bearing the inscription Public Utilities Commission State of California. The seal shall be affixed to all writs and authentications of copies of records and to such other instruments as the commission shall direct.
(d)The commission may procure all necessary books, maps, charts, stationery, instruments, office furniture, apparatus, and appliances.
SEC. 3.Section 311.5 of the Public Utilities Code is amended to read:311.5.(a)(1)Prior to commencement of any meeting at which commissioners vote on items on the public agenda, the commission shall make available to the public copies of the agenda, and upon request, any agenda item documents that are proposed to be considered by the commission for action or decision at a commission meeting.
(2)In addition, the commission shall publish the agenda, agenda item documents, and adopted decisions in a manner that makes copies of them easily available to the public, including publishing those documents on the Internet. Publication of the agenda and agenda item documents shall occur on the Internet at the same time as the written agenda and agenda item documents are made available to the public.
(b)The commission shall publish and maintain the following documents on the Internet:
(1)Each of the commissions proposed and alternate proposed decisions and resolutions, until the decision or resolution is adopted and published.
(2)Each of the commissions adopted decisions and resolutions. The publication shall occur within 10 days of the adoption of each decision or resolution by the commission.
(3)The then-current version of the commissions general orders and Rules of Practice and Procedure.
(4)Each of the commissions rulings. The commission shall maintain those rulings on its Internet Web site until final disposition, including disposition of any judicial appeals, of the respective proceedings in which the rulings were issued.
(5)A docket card that lists, by title and date of filing or issuance, all documents filed and all decisions or rulings issued in those proceedings, including the public versions of all prepared written testimony and advice letter filings, protests, and responses. The commission shall maintain the docket card until final disposition, including disposition of any judicial appeals, of the corresponding proceedings.
(c)The commission shall make the following information available on the Internet:
(1)Information on how members of the public and ratepayers can gain access to the commissions ratemaking process and to information regarding the specific matters to be decided.
(2)Information on the operation of the office of the public advisor established in Section 321 and how the public advisor can connect members of the public to persons responsible for specific cases and matters to be decided.
SEC. 3.5.Section 311.5 of the Public Utilities Code is amended to read:311.5.(a)(1)Prior to commencement of any meeting at which commissioners vote on items on the public agenda, the commission shall make available to the public copies of the agenda, and upon request, any agenda item documents that are proposed to be considered by the commission for action or decision at a commission meeting.
(2)In addition, the commission shall publish the agenda, agenda item documents, and adopted decisions in a manner that makes copies of them easily available to the public, including publishing those documents on the Internet. Publication of the agenda and agenda item documents shall occur on the Internet at the same time as the written agenda and agenda item documents are made available to the public.
(b)The commission shall publish and maintain the following documents on the Internet:
(1)Each of the commissions proposed and alternate proposed decisions and resolutions, until the decision or resolution is adopted and published.
(2)Each of the commissions adopted decisions and resolutions. The publication shall occur within 10 days of the adoption of each decision or resolution by the commission.
(3)The then-current version of the commissions general orders and Rules of Practice and Procedure.
(4)Each of the commissions rulings. The commission shall maintain those rulings on its Internet Web site until final disposition, including disposition of any judicial appeals, of the respective proceedings in which the rulings were issued.
(5)A docket card that lists, by title and date of filing or issuance, all documents filed and all decisions or rulings issued in those proceedings, including the public versions of all prepared written testimony and advice letter filings, protests, and responses. The commission shall maintain the docket card until final disposition, including disposition of any judicial appeals, of the corresponding proceedings. Each document that the commission distributes to any service-of-process list shall be docketed and identified on the commissions Internet Web site.
(c)The commission shall make the following information available on the Internet:
(1)Information on how members of the public and ratepayers can gain access to the commissions ratemaking process and to information regarding the specific matters to be decided.
(2)Information on the operation of the office of the public advisor established in Section 321 and how the public advisor can connect members of the public to persons responsible for specific cases and matters to be decided.
SEC. 4.Section 321.6 of the Public Utilities Code is amended to read:321.6.The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to present the annual report of the commission required pursuant to Section 910.
SEC. 5.Section 765 of the Public Utilities Code is amended to read:765.(a)When the federal National Transportation Safety Board (NTSB) submits a safety recommendation letter concerning rail safety to the commission, the commission shall provide the NTSB with a formal written response to each recommendation no later than 90 days after receiving the letter. The response shall state one of the following:
(1)The commissions intent to implement the recommendations in full, with a proposed timetable for implementation of the recommendations.
(2)The commissions intent to implement part of the recommendations, with a proposed timetable for implementation of those recommendations, and detailed reasons for the commissions refusal to implement those recommendations that the commission does not intend to implement.
(3)The commissions refusal to implement the recommendations, with detailed reasons for the commissions refusal to implement the recommendations.
(b)If the NTSB issues a safety recommendation letter concerning any commission-regulated rail facility to the United States Department of Transportation, the Federal Transit Administration, a commission-regulated rail operator, or the commission, or if the Federal Transit Administration issues a safety advisory concerning any commission-regulated rail facility, the commission shall determine if implementation of the recommendation or advisory is appropriate. The basis for the commissions determination shall be detailed in writing and shall be approved by a majority vote of the commission.
(c)If the commission determines that a safety recommendation made by the NTSB is appropriate, or that action concerning a safety advisory is necessary, the commission shall issue orders or adopt rules to implement the safety recommendation or advisory as soon as practicable. In implementing the safety recommendation or advisory, the commission shall consider whether a more effective, or equally effective and less costly, alternative exists to address the safety issue that the recommendation or advisory addresses.
SEC. 6.Section 910 of the Public Utilities Code is amended and renumbered to read:913.3.(a)By May 1 of each year, the commission shall prepare and submit to the policy and fiscal committees of the Legislature a written report summarizing the following information:
(1)All electrical corporation revenue requirement increases associated with meeting the renewables portfolio standard, as defined in Section 399.12, including direct procurement costs for eligible renewable energy resources and renewable energy credits, administrative expenses for procurement, expenses incurred to ensure a reliable supply of electricity, and expenses for upgrades to the electrical transmission and distribution grid necessary to the delivery of electricity from eligible renewable energy resources to load.
(2)All cost savings experienced, or costs avoided, by electrical corporations as a result of meeting the renewables portfolio standard.
(3)All costs incurred by electrical corporations for incentives for distributed and renewable generation, including the self-generation incentive program, the California Solar Initiative, and net energy metering.
(4)All cost savings experienced, or costs avoided, by electrical corporations as a result of incentives for distributed and renewable generation.
(5)All pending requests by an electrical corporation seeking recovery in rates for renewable, fossil fuel, and nuclear procurement costs, research, study, or pilot program costs.
(6)The decision number for each decision of the commission authorizing recovery in rates of costs incurred by an electrical corporation since the preceding report.
(7)Any change in the electrical load serviced by an electrical corporation since the preceding report.
(8)The efforts each electrical corporation is taking to recruit and train employees to ensure an adequately trained and available workforce, including the number of new employees hired by the electrical corporation for purposes of implementing the requirements of Article 16 (commencing with Section 399.11) of Chapter 2.3, the goals adopted by the electrical corporation for increasing women, minority, and disabled veterans trained or hired for purposes of implementing the requirements of Article 16 (commencing with Section 399.11) of Chapter 2.3, and, to the extent information is available, the number of new employees hired and the number of women, minority, and disabled veterans trained or hired by persons or corporations owning or operating eligible renewable energy resources under contract with an electrical corporation. This paragraph does not provide the commission with authority to engage in, regulate, or expand its authority to include, workforce recruitment or training.
(b)The commission may combine the information required by this section with the reports prepared pursuant to Article 16 (commencing with Section 399.11) of Chapter 2.3.
SEC. 7.Section 910 is added to the Public Utilities Code, to read:910.(a)The commission shall develop, publish, and annually update a report that contains all of the following information:
(1)A workplan that describes in clear detail the scheduled proceedings and other decisions that may be considered by the commission during the calendar year.
(2)Performance criteria for the commission and the executive director, and an evaluation of the performance of the executive director during the previous year based on criteria established in the prior years workplan.
(3)An accounting of the commissions transactions and proceedings from the prior year, together with other facts, suggestions, and recommendations that the commission deems of value to the people of the state. The accounting shall include the activities that the commission has taken, and plans to take, to reduce the costs of, and the rates for, water and energy, including electricity, to improve the competitiveness of the states industries, including agriculture, and, to the extent possible, shall include suggestions and recommendations for the reduction of those costs and rates.
(4)A description of activities taken and processes instituted to both solicit the input of customers from diverse regions of the state in ratesetting and quasi-legislative proceedings and to process that input in a way that makes it usable in commission decisionmaking. The report shall describe the successes and challenges of these processes, the effect of resource constraints, and efforts to be made during the calendar year to further the goal of increased public participation.
(b)(1)The commission shall submit the report required pursuant to subdivision (a) to the Governor and the Legislature, in compliance with Section 9795 of the Government Code, no later than February 1 of each year.
(2)The commission shall post the report in a conspicuous area of its Internet Web site and shall have a program to disseminate the information in the report using computer mailing lists to provide regular updates on the information to those members of the public and organizations that request that information.
SEC. 8.Section 910.1 is added to the Public Utilities Code, to read:910.1.The commission shall annually submit a report to the Legislature on the commissions timeliness in resolving cases, information on the disposition of applications for rehearings, and the days that commissioners presided in hearings. The report shall include the number of scoping memos issued in each proceeding and the number of orders issued extending the statutory deadlines pursuant to subdivision (d) of Section 1701.2, for all adjudication cases, and pursuant to subdivision (a) of Section 1701.5, for all ratesetting or quasi-legislative cases.
SEC. 9.Section 911 of the Public Utilities Code is amended and renumbered to read:913.4.(a)Notwithstanding subdivision (g) of Section 454.5 and Section 583, no later than May 1 of each year, the commission shall release to the Legislature the costs of all electricity procurement contracts for eligible renewable energy resources, including unbundled renewable energy credits, and all costs for utility-owned generation approved by the commission. The first report shall include all costs commencing January 1, 2003. Subsequent reports shall include only costs for the preceding calendar year.
(1)For power purchase contracts, the commission shall release costs in an aggregated form categorized according to the year the procurement transaction was approved by the commission, the eligible renewable energy resource type, including bundled renewable energy credits, the average executed contract price, and average actual recorded costs for each kilowatthour of production. Within each renewable energy resource type, the commission shall provide aggregated costs for different project size thresholds.
(2)For each utility-owned renewable generation project, the commission shall release the costs forecast by the electrical corporation at the time of initial approval and the actual recorded costs for each kilowatthour of production during the preceding calendar year.
(b)This section does not require the release of the terms of any individual electricity procurement contracts for eligible renewable energy resources, including unbundled renewable energy credits, approved by the commission. The commission shall aggregate data to the extent required to ensure protection of the confidentiality of individual contract costs even if this aggregation requires grouping contracts of different energy resource type. The commission shall not be required to release the data in any year when there are fewer than three contracts approved.
(c)The commission may combine the information required by this section with the report prepared pursuant to Section 913.3.
SEC. 10.Section 911.1 is added to the Public Utilities Code, to read:911.1.An action taken by the commission on a safety recommendation letter or advisory bulletin concerning gas pipeline safety issued by the federal National Transportation Safety Board (NTSB) shall be reported annually, in detail, to the Legislature with the report required by Section 910. Correspondence from the NTSB that indicates that a recommendation of the NTSB has been closed following an action that the NTSB finds unacceptable shall be noted in the report required by Section 910.
SEC. 11.Section 915 of the Public Utilities Code is amended and renumbered to read:911.(a)Beginning February 1, 2016, the commission shall annually publish a report that includes all investigations into gas or electric service safety incidents reported, pursuant to commission requirements, by any gas corporation or electrical corporation. The report shall succinctly describe each safety investigation concluded during the prior calendar year and each investigation that remains open. The categories within the description shall include the month of the safety incident, the reason for the investigation, the facility type involved, and the owner of the facility.
(b)The commission shall include in its report required pursuant to Section 910, a summary of the staff safety investigations concluded during the prior calendar year and the staff safety investigations that remain open for any gas corporation or electrical corporation, with a link to the Internet Web site with the report that contains the information required pursuant to subdivision (a).
SEC. 12.Section 916.4 is added to the Public Utilities Code, to read:916.4.An action taken by the commission on a safety recommendation letter or safety advisory pursuant to Section 765 shall be reported annually, in detail, to the Legislature with the report required by Section 910. Correspondence from the federal National Transportation Safety Board indicating that a recommendation has been closed following an action that the federal National Transportation Safety Board finds unacceptable shall be noted in the report required by Section 910.
SEC. 13.Section 960 of the Public Utilities Code is amended to read:960.(a)When the federal National Transportation Safety Board (NTSB) submits a safety recommendation letter concerning gas pipeline safety to the commission, the commission shall provide the NTSB with a formal written response to each recommendation not later than 90 days after receiving the letter. The response shall state one of the following:
(1)The commissions intent to implement the recommendations in full, with a proposed timetable for implementation of the recommendations.
(2)The commissions intent to implement part of the recommendations, with a proposed timetable for implementation of those recommendations, and detailed reasons for the commissions refusal to implement those recommendations that the commission does not intend to implement.
(3)The commissions refusal to implement the recommendations, with detailed reasons for the commissions refusal to implement the recommendations.
(b)If the NTSB issues a safety recommendation letter concerning any commission-regulated gas pipeline facility to the United States Department of Transportation, the federal Pipeline and Hazardous Materials Safety Administration (PHMSA), a gas corporation, or the commission, or the PHMSA issues an advisory bulletin concerning any commission-regulated gas pipeline facility, the commission shall determine if implementation of the recommendation or advisory is appropriate. The basis for the commissions determination shall be detailed in writing and shall be approved by a majority vote of the commission.
(c)If the commission determines that a safety recommendation made by the NTSB is appropriate or that action concerning an advisory bulletin is necessary, the commission shall issue orders or adopt rules to implement the safety recommendation or advisory as soon as practicable. In implementing the safety recommendation or advisory, the commission shall consider whether a more effective, or equally effective and less costly, alternative exists to address the safety issue that the recommendation or advisory addresses.
SEC. 14.Section 1701 of the Public Utilities Code is amended to read:1701.(a)All hearings, investigations, and proceedings shall be governed by this part and by rules of practice and procedure adopted by the commission, and in the conduct thereof the technical rules of evidence need not be applied. No informality in any hearing, investigation, or proceeding or in the manner of taking testimony shall invalidate any order, decision or rule made, approved, or confirmed by the commission.
(b)Notwithstanding Section 11425.10 of the Government Code, Articles 1 through 15, inclusive, of Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of Title 2 of the Government Code do not apply to a hearing by the commission under this code. The Administrative Adjudication Code of Ethics (Article 16 (commencing with Section 11475) of Chapter 4.5 of Part 1 of Division 3 of Title 2 of the Government Code) shall apply to administrative law judges of the commission.
SEC. 15.Section 1711 is added to the Public Utilities Code, to read:1711.Where feasible and appropriate, except for adjudication cases, before instituting a proceeding on its own motion, the commission shall seek the views of those who are likely to be affected, including those who are likely to benefit from, and those who are potentially subject to, a decision in that proceeding. The commission shall demonstrate its efforts to comply with this section in the text of the order instituting the proceeding.
SEC. 16.Section 1759 of the Public Utilities Code is amended to read:1759.(a)No court of this state, except the Supreme Court and the court of appeal, to the extent specified in this article, shall have jurisdiction to review, reverse, correct, or annul an order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties, as provided by law and the rules of court.
(b)The writ of mandamus shall lie from the Supreme Court and from the court of appeal to the commission in all proper cases as prescribed in Section 1085 of the Code of Civil Procedure.
(c)This section does not apply to the following actions, which may be brought in superior court:
(1)An action brought against the commission to enforce the requirements of the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code).
(2)An action arising from the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code) or to review a determination made under subdivision (c) of Section 6253 of the Government Code.
SEC. 17.Section 3.5 of this bill incorporates amendments to Section 311.5 of the Public Utilities Code proposed by both this bill and Assembly Bill 825. It shall only become operative if (1) both bills are enacted and become effective on or before January 1, 2016, (2) each bill amends Section 311.5 of the Public Utilities Code, and (3) this bill is enacted after Assembly Bill 825, in which case Section 3 of this bill shall not become operative.
SEC. 18.Section 2 of this act shall not become operative if any section of any other act, including any act related to the Budget Act of 2015, enacted by the Legislature during the 2015 calendar year and takes effect on or before January 1, 2016, amends, amends and renumbers, adds, repeals and adds, or repeals Section 306 of the Public Utilities Code.
(a)The Legislature finds and declares all of the following:
(1)On June 3, 2014, Californias Fourth District Court of Appeal, in Disenhouse v. Peevey (2014) 226 Cal.App.4th 1096, held that an interested person desiring to enforce the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code) against the Public Utilities Commission must do so by filing a petition for writ of mandamus in the Supreme Court or the court of appeal and may not do so by filing an action for injunctive relief in the superior court.
(2)The intent of the Bagley-Keene Open Meeting Act is that actions of state agencies be taken openly and that their deliberation be conducted openly.
(3)The peoples right to remain informed so that they may retain control over the instruments of government that they have created is not less of a right for some agencies than for other agencies, nor shall the peoples ability to enforce the Bagley-Keene Open Meeting Act be more hampered for some agencies than for other agencies.
(4)The duties, responsibilities, and actions of the Public Utilities Commission affect the well-being of current and future generations and the public interest and principles of fundamental fairness and due process of law require that the commission conduct its affairs in an open, objective, and impartial manner, free of undue influence and the abuse of power and authority.
(b)It is the intent of the Legislature that the Public Utilities Commission should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
SEC. 2.Section 306 of the Public Utilities Code is amended to read:306.(a)The office of the commission shall be in the City and County of San Francisco. The office shall always be open, legal holidays and nonjudicial days excepted. The commission shall hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento. The commission may also meet at such other times and in such other places as may be expedient and necessary for the proper performance of its duties, and for that purpose may rent quarters or offices. The commission shall hold no less than six sessions each year in the City of Sacramento.
(b)The meetings of the commission shall be open and public in accordance with the provisions of Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code.
In addition to the requirements of Section 11125 of the Government Code, the commission shall include in its notice of meetings the agenda of business to be transacted, and no item of business shall be added to the agenda subsequent to the notice in the absence of an unforeseen emergency situation. A rate increase shall not constitute an unforeseen emergency situation. As used in this subdivision, meeting shall include all investigations, proceedings, and showings required by law to be open and public.
(c)The commission shall have a seal, bearing the inscription Public Utilities Commission State of California. The seal shall be affixed to all writs and authentications of copies of records and to such other instruments as the commission shall direct.
(d)The commission may procure all necessary books, maps, charts, stationery, instruments, office furniture, apparatus, and appliances.
SEC. 3.Section 311.5 of the Public Utilities Code is amended to read:311.5.(a)(1)Prior to commencement of any meeting at which commissioners vote on items on the public agenda, the commission shall make available to the public copies of the agenda, and upon request, any agenda item documents that are proposed to be considered by the commission for action or decision at a commission meeting.
(2)In addition, the commission shall publish the agenda, agenda item documents, and adopted decisions in a manner that makes copies of them easily available to the public, including publishing those documents on the Internet. Publication of the agenda and agenda item documents shall occur on the Internet at the same time as the written agenda and agenda item documents are made available to the public.
(b)The commission shall publish and maintain the following documents on the Internet:
(1)Each of the commissions proposed and alternate proposed decisions and resolutions, until the decision or resolution is adopted and published.
(2)Each of the commissions adopted decisions and resolutions. The publication shall occur within 10 days of the adoption of each decision or resolution by the commission.
(3)The then-current version of the commissions general orders and Rules of Practice and Procedure.
(4)Each of the commissions rulings. The commission shall maintain those rulings on its Internet Web site until final disposition, including disposition of any judicial appeals, of the respective proceedings in which the rulings were issued.
(5)A docket card that lists, by title and date of filing or issuance, all documents filed and all decisions or rulings issued in those proceedings, including the public versions of all prepared written testimony and advice letter filings, protests, and responses. The commission shall maintain the docket card until final disposition, including disposition of any judicial appeals, of the corresponding proceedings.
(c)The commission shall make the following information available on the Internet:
(1)Information on how members of the public and ratepayers can gain access to the commissions ratemaking process and to information regarding the specific matters to be decided.
(2)Information on the operation of the office of the public advisor established in Section 321 and how the public advisor can connect members of the public to persons responsible for specific cases and matters to be decided.
SEC. 3.5.Section 311.5 of the Public Utilities Code is amended to read:311.5.(a)(1)Prior to commencement of any meeting at which commissioners vote on items on the public agenda, the commission shall make available to the public copies of the agenda, and upon request, any agenda item documents that are proposed to be considered by the commission for action or decision at a commission meeting.
(2)In addition, the commission shall publish the agenda, agenda item documents, and adopted decisions in a manner that makes copies of them easily available to the public, including publishing those documents on the Internet. Publication of the agenda and agenda item documents shall occur on the Internet at the same time as the written agenda and agenda item documents are made available to the public.
(b)The commission shall publish and maintain the following documents on the Internet:
(1)Each of the commissions proposed and alternate proposed decisions and resolutions, until the decision or resolution is adopted and published.
(2)Each of the commissions adopted decisions and resolutions. The publication shall occur within 10 days of the adoption of each decision or resolution by the commission.
(3)The then-current version of the commissions general orders and Rules of Practice and Procedure.
(4)Each of the commissions rulings. The commission shall maintain those rulings on its Internet Web site until final disposition, including disposition of any judicial appeals, of the respective proceedings in which the rulings were issued.
(5)A docket card that lists, by title and date of filing or issuance, all documents filed and all decisions or rulings issued in those proceedings, including the public versions of all prepared written testimony and advice letter filings, protests, and responses. The commission shall maintain the docket card until final disposition, including disposition of any judicial appeals, of the corresponding proceedings. Each document that the commission distributes to any service-of-process list shall be docketed and identified on the commissions Internet Web site.
(c)The commission shall make the following information available on the Internet:
(1)Information on how members of the public and ratepayers can gain access to the commissions ratemaking process and to information regarding the specific matters to be decided.
(2)Information on the operation of the office of the public advisor established in Section 321 and how the public advisor can connect members of the public to persons responsible for specific cases and matters to be decided.
SEC. 4.Section 321.6 of the Public Utilities Code is amended to read:321.6.The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to present the annual report of the commission required pursuant to Section 910.
SEC. 5.Section 765 of the Public Utilities Code is amended to read:765.(a)When the federal National Transportation Safety Board (NTSB) submits a safety recommendation letter concerning rail safety to the commission, the commission shall provide the NTSB with a formal written response to each recommendation no later than 90 days after receiving the letter. The response shall state one of the following:
(1)The commissions intent to implement the recommendations in full, with a proposed timetable for implementation of the recommendations.
(2)The commissions intent to implement part of the recommendations, with a proposed timetable for implementation of those recommendations, and detailed reasons for the commissions refusal to implement those recommendations that the commission does not intend to implement.
(3)The commissions refusal to implement the recommendations, with detailed reasons for the commissions refusal to implement the recommendations.
(b)If the NTSB issues a safety recommendation letter concerning any commission-regulated rail facility to the United States Department of Transportation, the Federal Transit Administration, a commission-regulated rail operator, or the commission, or if the Federal Transit Administration issues a safety advisory concerning any commission-regulated rail facility, the commission shall determine if implementation of the recommendation or advisory is appropriate. The basis for the commissions determination shall be detailed in writing and shall be approved by a majority vote of the commission.
(c)If the commission determines that a safety recommendation made by the NTSB is appropriate, or that action concerning a safety advisory is necessary, the commission shall issue orders or adopt rules to implement the safety recommendation or advisory as soon as practicable. In implementing the safety recommendation or advisory, the commission shall consider whether a more effective, or equally effective and less costly, alternative exists to address the safety issue that the recommendation or advisory addresses.
SEC. 6.Section 910 of the Public Utilities Code is amended and renumbered to read:913.3.(a)By May 1 of each year, the commission shall prepare and submit to the policy and fiscal committees of the Legislature a written report summarizing the following information:
(1)All electrical corporation revenue requirement increases associated with meeting the renewables portfolio standard, as defined in Section 399.12, including direct procurement costs for eligible renewable energy resources and renewable energy credits, administrative expenses for procurement, expenses incurred to ensure a reliable supply of electricity, and expenses for upgrades to the electrical transmission and distribution grid necessary to the delivery of electricity from eligible renewable energy resources to load.
(2)All cost savings experienced, or costs avoided, by electrical corporations as a result of meeting the renewables portfolio standard.
(3)All costs incurred by electrical corporations for incentives for distributed and renewable generation, including the self-generation incentive program, the California Solar Initiative, and net energy metering.
(4)All cost savings experienced, or costs avoided, by electrical corporations as a result of incentives for distributed and renewable generation.
(5)All pending requests by an electrical corporation seeking recovery in rates for renewable, fossil fuel, and nuclear procurement costs, research, study, or pilot program costs.
(6)The decision number for each decision of the commission authorizing recovery in rates of costs incurred by an electrical corporation since the preceding report.
(7)Any change in the electrical load serviced by an electrical corporation since the preceding report.
(8)The efforts each electrical corporation is taking to recruit and train employees to ensure an adequately trained and available workforce, including the number of new employees hired by the electrical corporation for purposes of implementing the requirements of Article 16 (commencing with Section 399.11) of Chapter 2.3, the goals adopted by the electrical corporation for increasing women, minority, and disabled veterans trained or hired for purposes of implementing the requirements of Article 16 (commencing with Section 399.11) of Chapter 2.3, and, to the extent information is available, the number of new employees hired and the number of women, minority, and disabled veterans trained or hired by persons or corporations owning or operating eligible renewable energy resources under contract with an electrical corporation. This paragraph does not provide the commission with authority to engage in, regulate, or expand its authority to include, workforce recruitment or training.
(b)The commission may combine the information required by this section with the reports prepared pursuant to Article 16 (commencing with Section 399.11) of Chapter 2.3.
SEC. 7.Section 910 is added to the Public Utilities Code, to read:910.(a)The commission shall develop, publish, and annually update a report that contains all of the following information:
(1)A workplan that describes in clear detail the scheduled proceedings and other decisions that may be considered by the commission during the calendar year.
(2)Performance criteria for the commission and the executive director, and an evaluation of the performance of the executive director during the previous year based on criteria established in the prior years workplan.
(3)An accounting of the commissions transactions and proceedings from the prior year, together with other facts, suggestions, and recommendations that the commission deems of value to the people of the state. The accounting shall include the activities that the commission has taken, and plans to take, to reduce the costs of, and the rates for, water and energy, including electricity, to improve the competitiveness of the states industries, including agriculture, and, to the extent possible, shall include suggestions and recommendations for the reduction of those costs and rates.
(4)A description of activities taken and processes instituted to both solicit the input of customers from diverse regions of the state in ratesetting and quasi-legislative proceedings and to process that input in a way that makes it usable in commission decisionmaking. The report shall describe the successes and challenges of these processes, the effect of resource constraints, and efforts to be made during the calendar year to further the goal of increased public participation.
(b)(1)The commission shall submit the report required pursuant to subdivision (a) to the Governor and the Legislature, in compliance with Section 9795 of the Government Code, no later than February 1 of each year.
(2)The commission shall post the report in a conspicuous area of its Internet Web site and shall have a program to disseminate the information in the report using computer mailing lists to provide regular updates on the information to those members of the public and organizations that request that information.
SEC. 8.Section 910.1 is added to the Public Utilities Code, to read:910.1.The commission shall annually submit a report to the Legislature on the commissions timeliness in resolving cases, information on the disposition of applications for rehearings, and the days that commissioners presided in hearings. The report shall include the number of scoping memos issued in each proceeding and the number of orders issued extending the statutory deadlines pursuant to subdivision (d) of Section 1701.2, for all adjudication cases, and pursuant to subdivision (a) of Section 1701.5, for all ratesetting or quasi-legislative cases.
SEC. 9.Section 911 of the Public Utilities Code is amended and renumbered to read:913.4.(a)Notwithstanding subdivision (g) of Section 454.5 and Section 583, no later than May 1 of each year, the commission shall release to the Legislature the costs of all electricity procurement contracts for eligible renewable energy resources, including unbundled renewable energy credits, and all costs for utility-owned generation approved by the commission. The first report shall include all costs commencing January 1, 2003. Subsequent reports shall include only costs for the preceding calendar year.
(1)For power purchase contracts, the commission shall release costs in an aggregated form categorized according to the year the procurement transaction was approved by the commission, the eligible renewable energy resource type, including bundled renewable energy credits, the average executed contract price, and average actual recorded costs for each kilowatthour of production. Within each renewable energy resource type, the commission shall provide aggregated costs for different project size thresholds.
(2)For each utility-owned renewable generation project, the commission shall release the costs forecast by the electrical corporation at the time of initial approval and the actual recorded costs for each kilowatthour of production during the preceding calendar year.
(b)This section does not require the release of the terms of any individual electricity procurement contracts for eligible renewable energy resources, including unbundled renewable energy credits, approved by the commission. The commission shall aggregate data to the extent required to ensure protection of the confidentiality of individual contract costs even if this aggregation requires grouping contracts of different energy resource type. The commission shall not be required to release the data in any year when there are fewer than three contracts approved.
(c)The commission may combine the information required by this section with the report prepared pursuant to Section 913.3.
SEC. 10.Section 911.1 is added to the Public Utilities Code, to read:911.1.An action taken by the commission on a safety recommendation letter or advisory bulletin concerning gas pipeline safety issued by the federal National Transportation Safety Board (NTSB) shall be reported annually, in detail, to the Legislature with the report required by Section 910. Correspondence from the NTSB that indicates that a recommendation of the NTSB has been closed following an action that the NTSB finds unacceptable shall be noted in the report required by Section 910.
SEC. 11.Section 915 of the Public Utilities Code is amended and renumbered to read:911.(a)Beginning February 1, 2016, the commission shall annually publish a report that includes all investigations into gas or electric service safety incidents reported, pursuant to commission requirements, by any gas corporation or electrical corporation. The report shall succinctly describe each safety investigation concluded during the prior calendar year and each investigation that remains open. The categories within the description shall include the month of the safety incident, the reason for the investigation, the facility type involved, and the owner of the facility.
(b)The commission shall include in its report required pursuant to Section 910, a summary of the staff safety investigations concluded during the prior calendar year and the staff safety investigations that remain open for any gas corporation or electrical corporation, with a link to the Internet Web site with the report that contains the information required pursuant to subdivision (a).
SEC. 12.Section 916.4 is added to the Public Utilities Code, to read:916.4.An action taken by the commission on a safety recommendation letter or safety advisory pursuant to Section 765 shall be reported annually, in detail, to the Legislature with the report required by Section 910. Correspondence from the federal National Transportation Safety Board indicating that a recommendation has been closed following an action that the federal National Transportation Safety Board finds unacceptable shall be noted in the report required by Section 910.
SEC. 13.Section 960 of the Public Utilities Code is amended to read:960.(a)When the federal National Transportation Safety Board (NTSB) submits a safety recommendation letter concerning gas pipeline safety to the commission, the commission shall provide the NTSB with a formal written response to each recommendation not later than 90 days after receiving the letter. The response shall state one of the following:
(1)The commissions intent to implement the recommendations in full, with a proposed timetable for implementation of the recommendations.
(2)The commissions intent to implement part of the recommendations, with a proposed timetable for implementation of those recommendations, and detailed reasons for the commissions refusal to implement those recommendations that the commission does not intend to implement.
(3)The commissions refusal to implement the recommendations, with detailed reasons for the commissions refusal to implement the recommendations.
(b)If the NTSB issues a safety recommendation letter concerning any commission-regulated gas pipeline facility to the United States Department of Transportation, the federal Pipeline and Hazardous Materials Safety Administration (PHMSA), a gas corporation, or the commission, or the PHMSA issues an advisory bulletin concerning any commission-regulated gas pipeline facility, the commission shall determine if implementation of the recommendation or advisory is appropriate. The basis for the commissions determination shall be detailed in writing and shall be approved by a majority vote of the commission.
(c)If the commission determines that a safety recommendation made by the NTSB is appropriate or that action concerning an advisory bulletin is necessary, the commission shall issue orders or adopt rules to implement the safety recommendation or advisory as soon as practicable. In implementing the safety recommendation or advisory, the commission shall consider whether a more effective, or equally effective and less costly, alternative exists to address the safety issue that the recommendation or advisory addresses.
SEC. 14Section 1701 of the Public Utilities Code is amended to read:1701.(a)All hearings, investigations, and proceedings shall be governed by this part and by rules of practice and procedure adopted by the commission, and in the conduct thereof the technical rules of evidence need not be applied. No informality in any hearing, investigation, or proceeding or in the manner of taking testimony shall invalidate any order, decision or rule made, approved, or confirmed by the commission.
(b)Notwithstanding Section 11425.10 of the Government Code, Articles 1 through 15, inclusive, of Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of Title 2 of the Government Code do not apply to a hearing by the commission under this code. The Administrative Adjudication Code of Ethics (Article 16 (commencing with Section 11475) of Chapter 4.5 of Part 1 of Division 3 of Title 2 of the Government Code) shall apply to administrative law judges of the commission.
SEC. 15.Section 1711 is added to the Public Utilities Code, to read:1711.Where feasible and appropriate, except for adjudication cases, before instituting a proceeding on its own motion, the commission shall seek the views of those who are likely to be affected, including those who are likely to benefit from, and those who are potentially subject to, a decision in that proceeding. The commission shall demonstrate its efforts to comply with this section in the text of the order instituting the proceeding.
SEC. 16.Section 1759 of the Public Utilities Code is amended to read:1759.(a)No court of this state, except the Supreme Court and the court of appeal, to the extent specified in this article, shall have jurisdiction to review, reverse, correct, or annul an order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties, as provided by law and the rules of court.
(b)The writ of mandamus shall lie from the Supreme Court and from the court of appeal to the commission in all proper cases as prescribed in Section 1085 of the Code of Civil Procedure.
(c)This section does not apply to the following actions, which may be brought in superior court:
(1)An action brought against the commission to enforce the requirements of the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code).
(2)An action arising from the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code) or to review a determination made under subdivision (c) of Section 6253 of the Government Code.
SEC. 17.Section 3.5 of this bill incorporates amendments to Section 311.5 of the Public Utilities Code proposed by both this bill and Assembly Bill 825. It shall only become operative if (1) both bills are enacted and become effective on or before January 1, 2016, (2) each bill amends Section 311.5 of the Public Utilities Code, and (3) this bill is enacted after Assembly Bill 825, in which case Section 3 of this bill shall not become operative.
SEC. 18.Section 2 of this act shall not become operative if any section of any other act, including any act related to the Budget Act of 2015, enacted by the Legislature during the 2015 calendar year and takes effect on or before January 1, 2016, amends, amends and renumbers, adds, repeals and adds, or repeals Section 306 of the Public Utilities Code.
(a)The Legislature finds and declares all of the following:
(1)On June 3, 2014, Californias Fourth District Court of Appeal, in Disenhouse v. Peevey (2014) 226 Cal.App.4th 1096, held that an interested person desiring to enforce the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code) against the Public Utilities Commission must do so by filing a petition for writ of mandamus in the Supreme Court or the court of appeal and may not do so by filing an action for injunctive relief in the superior court.
(2)The intent of the Bagley-Keene Open Meeting Act is that actions of state agencies be taken openly and that their deliberation be conducted openly.
(3)The peoples right to remain informed so that they may retain control over the instruments of government that they have created is not less of a right for some agencies than for other agencies, nor shall the peoples ability to enforce the Bagley-Keene Open Meeting Act be more hampered for some agencies than for other agencies.
(4)The duties, responsibilities, and actions of the Public Utilities Commission affect the well-being of current and future generations and the public interest and principles of fundamental fairness and due process of law require that the commission conduct its affairs in an open, objective, and impartial manner, free of undue influence and the abuse of power and authority.
(b)It is the intent of the Legislature that the Public Utilities Commission should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
SEC. 2.Section 305 of the Public Utilities Code is amended to read:305.The Governor shall designate a president of the commission from among the members of the commission. The president shall preside at all meetings and sessions of the commission.
SEC. 3.SEC. 2.Section 306 of the Public Utilities Code is amended to read:306.(a)The office of the commission shall be in the City and County of San Francisco. The office shall always be open, legal holidays and nonjudicial days excepted. The commission shall hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento. The commission may also meet at such other times and in such other places as may be expedient and necessary for the proper performance of its duties, and for that purpose may rent quarters or offices. The commission shall hold no less than six sessions each year in the City of Sacramento.
(b)The meetings of the commission shall be open and public in accordance with the provisions of Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code.
In addition to the requirements of Section 11125 of the Government Code, the commission shall include in its notice of meetings the agenda of business to be transacted, and no item of business shall be added to the agenda subsequent to the notice in the absence of an unforeseen emergency situation. A rate increase shall not constitute an unforeseen emergency situation. As used in this subdivision, meeting shall include all investigations, proceedings, and showings required by law to be open and public.
(c)The commission shall have a seal, bearing the inscription Public Utilities Commission State of California. The seal shall be affixed to all writs and authentications of copies of records and to such other instruments as the commission shall direct.
(d)The commission may procure all necessary books, maps, charts, stationery, instruments, office furniture, apparatus, and appliances.
SEC. 4.Section 307 of the Public Utilities Code is amended to read:307.(a)The commission may appoint as attorney to the commission an attorney at law of this state, who shall hold office during the pleasure of the commission.
(b)The attorney shall represent and appear for the people of the State of California and the commission in all actions and proceedings involving any question under this part or under any order or act of the commission. If directed to do so by the commission, the attorney shall intervene, if possible, in any action or proceeding in which any such question is involved.
(c)The attorney shall commence, prosecute, and expedite the final determination of all actions and proceedings directed or authorized by the commission, advise the commission and each commissioner, when so requested, in regard to all matters in connection with the powers and duties of the commission and the members thereof, and generally perform all duties and services as attorney to the commission that the commission may require of him or her.
SEC. 5.Section 308 of the Public Utilities Code is amended to read:308.(a)The commission shall appoint an executive director, who shall hold office during its pleasure. The executive director shall be responsible for the commissions executive and administrative duties and shall organize, coordinate, supervise, and direct the operations and affairs of the commission and expedite all matters within the commissions jurisdiction.
(b)The executive director shall keep a full and true record of all proceedings of the commission, issue all necessary process, writs, warrants, and notices, and perform any other duties the commission prescribes. The commission may authorize the executive director to dismiss complaints or applications when all parties are in agreement thereto, in accordance with rules that the commission may prescribe.
(c)The commission may appoint assistant executive directors who may serve warrants and other process in any county or city and county of this state.
SEC. 6.SEC. 3.Section 311.5 of the Public Utilities Code is amended to read:311.5.(a)(1)Prior to commencement of any meeting at which commissioners vote on items on the public agenda, the commission shall make available to the public copies of the agenda, and upon request, any agenda item documents that are proposed to be considered by the commission for action or decision at a commission meeting.
(2)In addition, the commission shall publish the agenda, agenda item documents, and adopted decisions in a manner that makes copies of them easily available to the public, including publishing those documents on the Internet. Publication of the agenda and agenda item documents shall occur on the Internet at the same time as the written agenda and agenda item documents are made available to the public.
(b)The commission shall publish and maintain the following documents on the Internet:
(1)Each of the commissions proposed and alternate proposed decisions and resolutions, until the decision or resolution is adopted and published.
(2)Each of the commissions adopted decisions and resolutions. The publication shall occur within 10 days of the adoption of each decision or resolution by the commission.
(3)The then-current version of the commissions general orders and Rules of Practice and Procedure.
(4)Each of the commissions rulings. The commission shall maintain those rulings on its Internet Web site until final disposition, including disposition of any judicial appeals, of the respective proceedings in which the rulings were issued.
(5)A docket card that lists, by title and date of filing or issuance, all documents filed and all decisions or rulings issued in those proceedings, including the public versions of all prepared written testimony and advice letter filings, protests, and responses. The commission shall maintain the docket card until final disposition, including disposition of any judicial appeals, of the corresponding proceedings.
(c)The commission shall make the following information available on the Internet:
(1)Information on how members of the public and ratepayers can gain access to the commissions ratemaking process and to information regarding the specific matters to be decided.
(2)Information on the operation of the office of the public advisor established in Section 321 and how the public advisor can connect members of the public to persons responsible for specific cases and matters to be decided.
SEC. 3.5.Section 311.5 of the Public Utilities Code is amended to read:311.5.(a)(1)Prior to commencement of any meeting at which commissioners vote on items on the public agenda agenda, the commission shall make available to the public copies of the agenda, and upon request, any agenda item documents that are proposed to be considered by the commission for action or decision at a commission meeting.
(2)In addition, the commission shall publish the agenda, agenda item documents, and adopted decisions in a manner that makes copies of them easily available to the public, including publishing those documents on the Internet. Publication of the agenda and agenda item documents shall occur on the Internet at the same time as the written agenda and agenda item documents are made available to the public.
(b)The commission shall publish and maintain the following documents on the Internet:
(1)Each of the commissions proposed and alternate proposed decisions and resolutions, until the decision or resolution is adopted and published.
(2)Each of the commissions adopted decisions and resolutions. The publication shall occur within 10 days of the adoption of each decision or resolution by the commission.
(3)The then-current version of the commissions general orders and Rules of Practice and Procedure.
(4)Each of the commissions rulings. The commission shall maintain those rulings on its Internet Web site until final disposition, including disposition of any judicial appeals, of the respective proceedings in which the rulings were issued.
(5)A docket card that lists, by title and date of filing or issuance, all documents filed and all decisions or rulings issued in those proceedings. proceedings, including the public versions of all prepared written testimony and advice letter filings, protests, and responses. The commission shall maintain the docket card until final disposition, including disposition of any judicial appeals, of the corresponding proceedings. Each document that the commission distributes to any service-of-process list shall be docketed and identified on the commissions Internet Web site.
(c)The commission shall make the following information available on the Internet:
(1)Information on how members of the public and ratepayers can gain access to the commissions ratemaking process and to information regarding the specific matters to be decided.
(2)Information on the operation of the office of the public advisor established in Section 321 and how the public advisor can connect members of the public to persons responsible for specific cases and matters to be decided.
SEC. 7.SEC. 4.Section 321.6 of the Public Utilities Code is amended to read:321.6.The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to present the annual report of the commission required pursuant to Section 910.
SEC. 8.SEC. 5.Section 765 of the Public Utilities Code is amended to read:765.(a)When the federal National Transportation Safety Board (NTSB) submits a safety recommendation letter concerning rail safety to the commission, the commission shall provide the NTSB with a formal written response to each recommendation no later than 90 days after receiving the letter. The response shall state one of the following:
(1)The commissions intent to implement the recommendations in full, with a proposed timetable for implementation of the recommendations.
(2)The commissions intent to implement part of the recommendations, with a proposed timetable for implementation of those recommendations, and detailed reasons for the commissions refusal to implement those recommendations that the commission does not intend to implement.
(3)The commissions refusal to implement the recommendations, with detailed reasons for the commissions refusal to implement the recommendations.
(b)If the NTSB issues a safety recommendation letter concerning any commission-regulated rail facility to the United States Department of Transportation, the Federal Transit Administration, a commission-regulated rail operator, or the commission, or if the Federal Transit Administration issues a safety advisory concerning any commission-regulated rail facility, the commission shall determine if implementation of the recommendation or advisory is appropriate. The basis for the commissions determination shall be detailed in writing and shall be approved by a majority vote of the commission.
(c)If the commission determines that a safety recommendation made by the NTSB is appropriate, or that action concerning a safety advisory is necessary, the commission shall issue orders or adopt rules to implement the safety recommendation or advisory as soon as practicable. In implementing the safety recommendation or advisory, the commission shall consider whether a more effective, or equally effective and less costly, alternative exists to address the safety issue that the recommendation or advisory addresses.
SEC. 9.SEC. 6.Section 910 of the Public Utilities Code is amended and renumbered to read:913.3.(a)By May 1 of each year, the commission shall prepare and submit to the policy and fiscal committees of the Legislature a written report summarizing the following information:
(1)All electrical corporation revenue requirement increases associated with meeting the renewables portfolio standard, as defined in Section 399.12, including direct procurement costs for eligible renewable energy resources and renewable energy credits, administrative expenses for procurement, expenses incurred to ensure a reliable supply of electricity, and expenses for upgrades to the electrical transmission and distribution grid necessary to the delivery of electricity from eligible renewable energy resources to load.
(2)All cost savings experienced, or costs avoided, by electrical corporations as a result of meeting the renewables portfolio standard.
(3)All costs incurred by electrical corporations for incentives for distributed and renewable generation, including the self-generation incentive program, the California Solar Initiative, and net energy metering.
(4)All cost savings experienced, or costs avoided, by electrical corporations as a result of incentives for distributed and renewable generation.
(5)All pending requests by an electrical corporation seeking recovery in rates for renewable, fossil fuel, and nuclear procurement costs, research, study, or pilot program costs.
(6)The decision number for each decision of the commission authorizing recovery in rates of costs incurred by an electrical corporation since the preceding report.
(7)Any change in the electrical load serviced by an electrical corporation since the preceding report.
(8)The efforts each electrical corporation is taking to recruit and train employees to ensure an adequately trained and available workforce, including the number of new employees hired by the electrical corporation for purposes of implementing the requirements of Article 16 (commencing with Section 399.11) of Chapter 2.3, the goals adopted by the electrical corporation for increasing women, minority, and disabled veterans trained or hired for purposes of implementing the requirements of Article 16 (commencing with Section 399.11) of Chapter 2.3, and, to the extent information is available, the number of new employees hired and the number of women, minority, and disabled veterans trained or hired by persons or corporations owning or operating eligible renewable energy resources under contract with an electrical corporation. This paragraph does not provide the commission with authority to engage in, regulate, or expand its authority to include, workforce recruitment or training.
(b)The commission may combine the information required by this section with the reports prepared pursuant to Article 16 (commencing with Section 399.11) of Chapter 2.3.
SEC. 10.SEC. 7.Section 910 is added to the Public Utilities Code, to read:910.(a)The commission shall develop, publish, and annually update a report that contains all of the following information:
(1)A workplan that describes in clear detail the scheduled proceedings and other decisions that may be considered by the commission during the calendar year.
(2)Performance criteria for the commission and the executive director, and an evaluation of the performance of the executive director during the previous year based on criteria established in the prior years workplan.
(3)An accounting of the commissions transactions and proceedings from the prior year, together with other facts, suggestions, and recommendations that the commission deems of value to the people of the state. The accounting shall include the activities that the commission has taken, and plans to take, to reduce the costs of, and the rates for, water and energy, including electricity, to improve the competitiveness of the states industries, including agriculture, and, to the extent possible, shall include suggestions and recommendations for the reduction of those costs and rates.
(4)A description of activities taken and processes instituted to both solicit the input of customers from diverse regions of the state in ratesetting and quasi-legislative proceedings and to process that input in a way that makes it usable in commission decisionmaking. The report shall describe the successes and challenges of these processes, the effect of resource constraints, and efforts to be made during the calendar year to further the goal of increased public participation.
(b)(1)The commission shall submit the report required pursuant to subdivision (a) to the Governor and the Legislature, in compliance with Section 9795 of the Government Code, no later than February 1 of each year.
(2)The commission shall post the report in a conspicuous area of its Internet Web site and shall have a program to disseminate the information in the report using computer mailing lists to provide regular updates on the information to those members of the public and organizations that request that information.
SEC. 11.SEC. 8.Section 910.1 is added to the Public Utilities Code, to read:910.1.The commission shall annually submit a report to the Legislature on the commissions timeliness in resolving cases, information on the disposition of applications for rehearings, and the days that commissioners presided in hearings. The report shall include the number of scoping memos issued in each proceeding and the number of orders issued extending the statutory deadlines pursuant to subdivision (d) of Section 1701.2, for all adjudication cases, and pursuant to subdivision (a) of Section 1701.5, for all ratesetting or quasi-legislative cases.
SEC. 12.SEC. 9.Section 911 of the Public Utilities Code is amended and renumbered to read:913.4.(a)Notwithstanding subdivision (g) of Section 454.5 and Section 583, no later than May 1 of each year, the commission shall release to the Legislature the costs of all electricity procurement contracts for eligible renewable energy resources, including unbundled renewable energy credits, and all costs for utility-owned generation approved by the commission. The first report shall include all costs commencing January 1, 2003. Subsequent reports shall include only costs for the preceding calendar year.
(1)For power purchase contracts, the commission shall release costs in an aggregated form categorized according to the year the procurement transaction was approved by the commission, the eligible renewable energy resource type, including bundled renewable energy credits, the average executed contract price, and average actual recorded costs for each kilowatthour of production. Within each renewable energy resource type, the commission shall provide aggregated costs for different project size thresholds.
(2)For each utility-owned renewable generation project, the commission shall release the costs forecast by the electrical corporation at the time of initial approval and the actual recorded costs for each kilowatthour of production during the preceding calendar year.
(b)This section does not require the release of the terms of any individual electricity procurement contracts for eligible renewable energy resources, including unbundled renewable energy credits, approved by the commission. The commission shall aggregate data to the extent required to ensure protection of the confidentiality of individual contract costs even if this aggregation requires grouping contracts of different energy resource type. The commission shall not be required to release the data in any year when there are fewer than three contracts approved.
(c)The commission may combine the information required by this section with the report prepared pursuant to Section 913.3.
SEC. 10.Section 911.1 is added to the Public Utilities Code, to read:911.1.An action taken by the commission on a safety recommendation letter or advisory bulletin concerning gas pipeline safety issued by the federal National Transportation Safety Board (NTSB) shall be reported annually, in detail, to the Legislature with the report required by Section 910. Correspondence from the NTSB that indicates that a recommendation of the NTSB has been closed following an action that the NTSB finds unacceptable shall be noted in the report required by Section 910.
SEC. 13.SEC. 11.Section 915 of the Public Utilities Code is amended and renumbered to read:911.(a)Beginning February 1, 2016, the commission shall annually publish a report that includes all investigations into gas or electric service safety incidents reported, pursuant to commission requirements, by any gas corporation or electrical corporation. The report shall succinctly describe each safety investigation concluded during the prior calendar year and each investigation that remains open. The categories within the description shall include the month of the safety incident, the reason for the investigation, the facility type involved, and the owner of the facility.
(b)The commission shall include in its report required pursuant to Section 910, a summary of the staff safety investigations concluded during the prior calendar year and the staff safety investigations that remain open for any gas corporation or electrical corporation, with a link to the Internet Web site with the report that contains the information required pursuant to subdivision (a).
SEC. 14.Section 911.1 is added to the Public Utilities Code, to read:911.1.An action taken by the commission on a safety recommendation letter or advisory bulletin concerning gas pipeline safety issued by the federal National Transportation Safety Board (NTSB) shall be reported annually, in detail, to the Legislature with the report required by Section 910. Correspondence from the NTSB that indicates that a recommendation of the NTSB has been closed following an action that the NTSB finds unacceptable shall be noted in the report required by Section 910.
SEC. 15.SEC. 12.Section 916.4 is added to the Public Utilities Code, to read:916.4.An action taken by the commission on a safety recommendation letter or safety advisory pursuant to Section 765 shall be reported annually, in detail, to the Legislature with the report required by Section 910. Correspondence from the federal National Transportation Safety Board indicating that a recommendation has been closed following an action that the federal National Transportation Safety Board finds unacceptable shall be noted in the report required by Section 910.
SEC. 16.SEC. 13.Section 960 of the Public Utilities Code is amended to read:960.(a)When the federal National Transportation Safety Board (NTSB) submits a safety recommendation letter concerning gas pipeline safety to the commission, the commission shall provide the NTSB with a formal written response to each recommendation not later than 90 days after receiving the letter. The response shall state one of the following:
(1)The commissions intent to implement the recommendations in full, with a proposed timetable for implementation of the recommendations.
(2)The commissions intent to implement part of the recommendations, with a proposed timetable for implementation of those recommendations, and detailed reasons for the commissions refusal to implement those recommendations that the commission does not intend to implement.
(3)The commissions refusal to implement the recommendations, with detailed reasons for the commissions refusal to implement the recommendations.
(b)If the NTSB issues a safety recommendation letter concerning any commission-regulated gas pipeline facility to the United States Department of Transportation, the federal Pipeline and Hazardous Materials Safety Administration (PHMSA), a gas corporation, or the commission, or the PHMSA issues an advisory bulletin concerning any commission-regulated gas pipeline facility, the commission shall determine if implementation of the recommendation or advisory is appropriate. The basis for the commissions determination shall be detailed in writing and shall be approved by a majority vote of the commission.
(c)If the commission determines that a safety recommendation made by the NTSB is appropriate or that action concerning an advisory bulletin is necessary, the commission shall issue orders or adopt rules to implement the safety recommendation or advisory as soon as practicable. In implementing the safety recommendation or advisory, the commission shall consider whether a more effective, or equally effective and less costly, alternative exists to address the safety issue that the recommendation or advisory addresses.
SEC. 17.SEC. 14Section 1701 of the Public Utilities Code is amended to read:1701.(a)All hearings, investigations, and proceedings shall be governed by this part and by rules of practice and procedure adopted by the commission, and in the conduct thereof the technical rules of evidence need not be applied. No informality in any hearing, investigation, or proceeding or in the manner of taking testimony shall invalidate any order, decision or rule made, approved, or confirmed by the commission.
(b)Notwithstanding Section 11425.10 of the Government Code, Articles 1 through 15, inclusive, of Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of Title 2 of the Government Code do not apply to a hearing by the commission under this code. The Administrative Adjudication Code of Ethics (Article 16 (commencing with Section 11475) of Chapter 4.5 of Part 1 of Division 3 of Title 2 of the Government Code) shall apply to administrative law judges of the commission.
SEC. 18.SEC. 15.Section 1711 is added to the Public Utilities Code, to read:1711.Where feasible and appropriate, except for adjudication cases, before instituting a proceeding on its own motion, the commission shall seek the views of those who are likely to be affected, including those who are likely to benefit from, and those who are potentially subject to, a decision in that proceeding. The commission shall demonstrate its efforts to comply with this section in the text of the order instituting the proceeding.
SEC. 19.SEC. 16.Section 1759 of the Public Utilities Code is amended to read:1759.(a)No court of this state, except the Supreme Court and the court of appeal, to the extent specified in this article, shall have jurisdiction to review, reverse, correct, or annul an order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties, as provided by law and the rules of court.
(b)The writ of mandamus shall lie from the Supreme Court and from the court of appeal to the commission in all proper cases as prescribed in Section 1085 of the Code of Civil Procedure.
(c)This section does not apply to the following actions, which may be brought in superior court:
(1)An action brought against the commission to enforce the requirements of the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code).
(2)An action arising from the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code) or to review a determination made under subdivision (c) of Section 6253 of the Government Code.
SEC. 17.Section 3.5 of this bill incorporates amendments to Section 311.5 of the Public Utilities Code proposed by both this bill and Assembly Bill 825. It shall only become operative if (1) both bills are enacted and become effective on or before January 1, 2016, (2) each bill amends Section 311.5 of the Public Utilities Code, and (3) this bill is enacted after Assembly Bill 825, in which case Section 3 of this bill shall not become operative.
(a)The Legislature finds and declares all of the following:
(1)On June 3, 2014, Californias Fourth District Court of Appeal, in Disenhouse v. Peevey (2014) 226 Cal.App.4th 1096, held that an interested person desiring to enforce the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code) against the Public Utilities Commission must do so by filing a petition for writ of mandamus in the Supreme Court or the court of appeal and may not do so by filing an action for injunctive relief in the superior court.
(2)The intent of the Bagley-Keene Open Meeting Act is that actions of state agencies be taken openly and that their deliberation be conducted openly.
(3)The peoples right to remain informed so that they may retain control over the instruments of government that they have created is not less of a right for some agencies than for other agencies, nor shall the peoples ability to enforce the Bagley-Keene Open Meeting Act be more hampered for some agencies than for other agencies.
(4)The duties, responsibilities, and actions of the Public Utilities Commission affect the well-being of current and future generations and the public interest and principles of fundamental fairness and due process of law require that the commission conduct its affairs in an open, objective, and impartial manner, free of undue influence and the abuse of power and authority.
(b)It is the intent of the Legislature that the Public Utilities Commission should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
SEC. 2.Section 305 of the Public Utilities Code is amended to read:305.The Governor shall designate a president of the commission from among the members of the commission. The president shall preside at all meetings and sessions of the commission.
SEC. 3.Section 306 of the Public Utilities Code is amended to read:306.(a)The office of the commission shall be in the City and County of San Francisco. The office shall always be open, legal holidays and nonjudicial days excepted. The commission shall hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento. The commission may also meet at such other times and in such other places as may be expedient and necessary for the proper performance of its duties, and for that purpose may rent quarters or offices. The commission shall hold no less than six sessions each year in the City of Sacramento.
(b)The meetings of the commission shall be open and public in accordance with the provisions of Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code.
In addition to the requirements of Section 11125 of the Government Code, the commission shall include in its notice of meetings the agenda of business to be transacted, and no item of business shall be added to the agenda subsequent to the notice in the absence of an unforeseen emergency situation. A rate increase shall not constitute an unforeseen emergency situation. As used in this subdivision, meeting shall include all investigations, proceedings, and showings required by law to be open and public.
(c)The commission shall have a seal, bearing the inscription Public Utilities Commission State of California. The seal shall be affixed to all writs and authentications of copies of records and to such other instruments as the commission shall direct.
(d)The commission may procure all necessary books, maps, charts, stationery, instruments, office furniture, apparatus, and appliances.
SEC. 4.Section 307 of the Public Utilities Code is amended to read:307.(a)The commission may appoint as attorney to the commission an attorney at law of this state, who shall hold office during the pleasure of the commission.
(b)The attorney shall represent and appear for the people of the State of California and the commission in all actions and proceedings involving any question under this part or under any order or act of the commission. If directed to do so by the commission, the attorney shall intervene, if possible, in any action or proceeding in which any such question is involved.
(c)The attorney shall commence, prosecute, and expedite the final determination of all actions and proceedings directed or authorized by the commission, advise the commission and each commissioner, when so requested, in regard to all matters in connection with the powers and duties of the commission and the members thereof, and generally perform all duties and services as attorney to the commission that the commission may require of him or her.
SEC. 5.Section 308 of the Public Utilities Code is amended to read:308.(a)The commission shall appoint an executive director, who shall hold office during its pleasure. The executive director shall be responsible for the commissions executive and administrative duties and shall organize, coordinate, supervise, and direct the operations and affairs of the commission and expedite all matters within the commissions jurisdiction.
(b)The executive director shall keep a full and true record of all proceedings of the commission, issue all necessary process, writs, warrants, and notices, and perform any other duties the commission prescribes. The commission may authorize the executive director to dismiss complaints or applications when all parties are in agreement thereto, in accordance with rules that the commission may prescribe.
(c)The commission may appoint assistant executive directors who may serve warrants and other process in any county or city and county of this state.
SEC. 6.Section 311.5 of the Public Utilities Code is amended to read:311.5.(a)(1)Prior to commencement of any meeting at which commissioners vote on items on the public agenda, the commission shall make available to the public copies of the agenda, and upon request, any agenda item documents that are proposed to be considered by the commission for action or decision at a commission meeting.
(2)In addition, the commission shall publish the agenda, agenda item documents, and adopted decisions in a manner that makes copies of them easily available to the public, including publishing those documents on the Internet. Publication of the agenda and agenda item documents shall occur on the Internet at the same time as the written agenda and agenda item documents are made available to the public.
(b)The commission shall publish and maintain the following documents on the Internet:
(1)Each of the commissions proposed and alternate proposed decisions and resolutions, until the decision or resolution is adopted and published.
(2)Each of the commissions adopted decisions and resolutions. The publication shall occur within 10 days of the adoption of each decision or resolution by the commission.
(3)The then-current version of the commissions general orders and Rules of Practice and Procedure.
(4)Each of the commissions rulings. The commission shall maintain those rulings on its Internet Web site until final disposition, including disposition of any judicial appeals, of the respective proceedings in which the rulings were issued.
(5)A docket card that lists, by title and date of filing or issuance, all documents filed and all decisions or rulings issued in those proceedings, including the public versions of all prepared written testimony and advice letter filings, protests, and responses. The commission shall maintain the docket card until final disposition, including disposition of any judicial appeals, of the corresponding proceedings.
(c)The commission shall make the following information available on the Internet:
(1)Information on how members of the public and ratepayers can gain access to the commissions ratemaking process and to information regarding the specific matters to be decided.
(2)Information on the operation of the office of the public advisor established in Section 321 and how the public advisor can connect members of the public to persons responsible for specific cases and matters to be decided.
SEC. 7.Section 321.6 of the Public Utilities Code is amended to read:321.6.(a)The commission shall develop, publish, and annually update a report that contains all of the following information:
(1)A workplan that describes in clear detail the scheduled proceedings and other decisions that may be considered by the commission during the calendar year.
(2)Performance criteria for the commission and executive director as well as an evaluation of the performance of the executive director during the previous year based on the criteria established in the prior years workplan.
(3)An accounting of its transactions and proceedings for the preceding year, together with other facts, suggestions, and recommendations that it deems of value to the people of the state. The accounting shall include the activities that the commission has taken, and plans to take, to reduce the costs of, and the rates for, water and energy, including electricity, to improve the competitiveness of the states industries, including agriculture, and to the extent possible, shall include suggestions and recommendations for the reduction of those costs and rates.
(4)An accounting of the commissions timeliness in resolving cases, information on the disposition of applications for rehearings, and the days that commissioners presided in hearings. The report shall include the number of scoping memos issued in each proceeding and the number of orders issued extending the statutory deadlines pursuant to subdivision (d) of Section 1701.2, for all adjudication cases, and pursuant to subdivision (a) of Section 1701.5, for all ratesetting or quasi-legislative cases.
(5)A description of activities undertaken and processes instituted to both solicit the input of customers from diverse regions of the state in ratesetting and quasi-legislative proceedings and to process that input in a way to make it usable in commission decisionmaking. The report shall describe successes and challenges in this process, the effect of resource constraints, and efforts to be made during the calendar year to further the goal of increased public participation.
(b)(1)The commission shall submit the annual report required pursuant to subdivision (a) to the Governor and Legislature no later than February 1 of each year.
(2)The commission shall post the report in a conspicuous area of its Internet Web site and shall have a program to disseminate the information in the report using computer mailing lists to provide regular updates on the information to those members of the public and organizations that request that information.
(c)
321.6.The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to present the annual report of the commission required pursuant to this section. Section 910.
SEC. 8.Section 765 of the Public Utilities Code is amended to read:765.(a)When the federal National Transportation Safety Board (NTSB) submits a safety recommendation letter concerning rail safety to the commission, the commission shall provide the NTSB with a formal written response to each recommendation no later than 90 days after receiving the letter. The response shall state one of the following:
(1)The commissions intent to implement the recommendations in full, with a proposed timetable for implementation of the recommendations.
(2)The commissions intent to implement part of the recommendations, with a proposed timetable for implementation of those recommendations, and detailed reasons for the commissions refusal to implement those recommendations that the commission does not intend to implement.
(3)The commissions refusal to implement the recommendations, with detailed reasons for the commissions refusal to implement the recommendations.
(b)If the NTSB issues a safety recommendation letter concerning any commission-regulated rail facility to the United States Department of Transportation, the Federal Transit Administration, to a commission-regulated rail operator, or to the commission, or if the Federal Transit Administration issues a safety advisory concerning any commission-regulated rail facility, the commission shall determine if implementation of the recommendation or advisory is appropriate. The basis for the commissions determination shall be detailed in writing and shall be approved by a majority vote of the commission.
(c)If the commission determines that a safety recommendation made by the NTSB is appropriate, or that action concerning a safety advisory is necessary, the commission shall issue orders or adopt rules to implement the safety recommendations recommendation or advisory as soon as practicable. In implementing the safety recommendation or advisory, the commission shall consider whether a more effective, or equally effective and less costly, alternative exists to address the safety issue that the recommendation or advisory addresses.
(d)Any action taken by the commission on a safety recommendation letter or safety advisory shall be reported annually, in detail, to the Legislature with the report required by Section 321.6. Any correspondence from the NTSB indicating that a recommendation has been closed following an action that the NTSB finds unacceptable shall be noted in the report required by Section 321.6.
SEC. 9.Section 910 of the Public Utilities Code is amended and renumbered to read:910.913.3.(a)By May 1 of each year, the commission shall prepare and submit to the policy and fiscal committees of the Legislature a written report summarizing the following information:
(1)All electrical corporation revenue requirement increases associated with meeting the renewables portfolio standard, as defined in Section 399.12, including direct procurement costs for eligible renewable energy resources and renewable energy credits, administrative expenses for procurement, expenses incurred to ensure a reliable supply of electricity, and expenses for upgrades to the electrical transmission and distribution grid necessary to the delivery of electricity from eligible renewable energy resources to load.
(2)All cost savings experienced, or costs avoided, by electrical corporations as a result of meeting the renewables portfolio standard.
(3)All costs incurred by electrical corporations for incentives for distributed and renewable generation, including the self-generation incentive program, the California Solar Initiative, and net energy metering.
(4)All cost savings experienced, or costs avoided, by electrical corporations as a result of incentives for distributed and renewable generation.
(5)All pending requests by an electrical corporation seeking recovery in rates for renewable, fossil fuel, and nuclear procurement costs, research, study, or pilot program costs.
(6)The decision number for each decision of the commission authorizing recovery in rates of costs incurred by an electrical corporation since the preceding report.
(7)Any change in the electrical load serviced by an electrical corporation since the preceding report.
(8)The efforts each electrical corporation is taking to recruit and train employees to ensure an adequately trained and available workforce, including the number of new employees hired by the electrical corporation for purposes of implementing the requirements of Article 16 (commencing with Section 399.11) of Chapter 2.3, the goals adopted by the electrical corporation for increasing women, minority, and disabled veterans trained or hired for purposes of implementing the requirements of Article 16 (commencing with Section 399.11) of Chapter 2.3, and, to the extent information is available, the number of new employees hired and the number of women, minority, and disabled veterans trained or hired by persons or corporations owning or operating eligible renewable energy resources under contract with an electrical corporation. This paragraph does not provide the commission with authority to engage in, regulate, or expand its authority to include, workforce recruitment or training.
(b)The commission may combine the information required by this section with the reports prepared pursuant to Article 16 (commencing with Section 399.11) of Chapter 2.3.
SEC. 10.Section 910 is added to the Public Utilities Code, to read:910.(a)The commission shall develop, publish, and annually update a report that contains all of the following information:
(1)A workplan that describes in clear detail the scheduled proceedings and other decisions that may be considered by the commission during the calendar year.
(2)Performance criteria for the commission and the executive director, and an evaluation of the performance of the executive director during the previous year based on criteria established in the prior years workplan.
(3)An accounting of the commissions transactions and proceedings from the prior year, together with other facts, suggestions, and recommendations that the commission deems of value to the people of the state. The accounting shall include the activities that the commission has taken, and plans to take, to reduce the costs of, and the rates for, water and energy, including electricity, to improve the competitiveness of the states industries, including agriculture, and, to the extent possible, shall include suggestions and recommendations for the reduction of those costs and rates.
(4)A description of activities taken and processes instituted to both solicit the input of customers from diverse regions of the state in ratesetting and quasi-legislative proceedings and to process that input in a way that makes it usable in commission decisionmaking. The report shall describe the successes and challenges of these processes, the effect of resource constraints, and efforts to be made during the calendar year to further the goal of increased public participation.
(b)(1)The commission shall submit the report required pursuant to subdivision (a) to the Governor and the Legislature, in compliance with Section 9795 of the Government Code, no later than February 1 of each year.
(2)The commission shall post the report in a conspicuous area of its Internet Web site and shall have a program to disseminate the information in the report using computer mailing lists to provide regular updates on the information to those members of the public and organizations that request that information.
SEC. 11.Section 910.1 is added to the Public Utilities Code, to read:910.1.The commission shall annually submit a report to the Legislature on the commissions timeliness in resolving cases, information on the disposition of applications for rehearings, and the days that commissioners presided in hearings. The report shall include the number of scoping memos issued in each proceeding and the number of orders issued extending the statutory deadlines pursuant to subdivision (d) of Section 1701.2, for all adjudication cases, and pursuant to subdivision (a) of Section 1701.5, for all ratesetting or quasi-legislative cases.
SEC. 12.Section 911 of the Public Utilities Code is amended and renumbered to read:911.913.4.(a)Notwithstanding subdivision (g) of Section 454.5 and Section 583, no later than May 1 of each year, the commission shall release to the Legislature the costs of all electricity procurement contracts for eligible renewable energy resources, including unbundled renewable energy credits, and all costs for utility-owned generation approved by the commission. The first report shall include all costs commencing January 1, 2003. Subsequent reports shall include only costs for the preceding calendar year.
(1)For power purchase contracts, the commission shall release costs in an aggregated form categorized according to the year the procurement transaction was approved by the commission, the eligible renewable energy resource type, including bundled renewable energy credits, the average executed contract price, and average actual recorded costs for each kilowatthour of production. Within each renewable energy resource type, the commission shall provide aggregated costs for different project size thresholds.
(2)For each utility-owned renewable generation project, the commission shall release the costs forecast by the electrical corporation at the time of initial approval and the actual recorded costs for each kilowatthour of production during the preceding calendar year.
(b)This section does not require the release of the terms of any individual electricity procurement contracts for eligible renewable energy resources, including unbundled renewable energy credits, approved by the commission. The commission shall aggregate data to the extent required to ensure protection of the confidentiality of individual contract costs even if this aggregation requires grouping contracts of different energy resource type. The commission shall not be required to release the data in any year when there are fewer than three contracts approved.
(c)The commission may combine the information required by this section with the report prepared pursuant to Section 910, as added by Chapter 1 of the First Extraordinary Session of the Statutes of 2011. 913.3.
SEC. 13.Section 915 of the Public Utilities Code is amended and renumbered to read:915.911.(a)Beginning February 1, 2016, the commission shall annually publish a report that includes all investigations into gas or electric service safety incidents reported, pursuant to commission requirements, by any gas corporation or electrical corporation. The report shall succinctly describe each safety investigation concluded during the prior calendar year and each investigation that remains open. The categories within the description shall include the month of the safety incident, the reason for the investigation, the facility type involved, and the owner of the facility.
(b)The commission shall include in its work plan report required pursuant to Section 321.6, 910, a summary of the staff safety investigations concluded during the prior calendar year and the staff safety investigations that remain open for any gas corporation or electrical corporation, with a link to the Internet Web site with the report that contains the information required pursuant to subdivision (a).
SEC. 14.Section 911.1 is added to the Public Utilities Code, to read:911.1.An action taken by the commission on a safety recommendation letter or advisory bulletin concerning gas pipeline safety issued by the federal National Transportation Safety Board (NTSB) shall be reported annually, in detail, to the Legislature with the report required by Section 910. Correspondence from the NTSB that indicates that a recommendation of the NTSB has been closed following an action that the NTSB finds unacceptable shall be noted in the report required by Section 910.
SEC. 15.Section 916.4 is added to the Public Utilities Code, to read:916.4.An action taken by the commission on a safety recommendation letter or safety advisory pursuant to Section 765 shall be reported annually, in detail, to the Legislature with the report required by Section 910. Correspondence from the federal National Transportation Safety Board indicating that a recommendation has been closed following an action that the federal National Transportation Safety Board finds unacceptable shall be noted in the report required by Section 910.
SEC. 16.Section 960 of the Public Utilities Code is amended to read:960.(a)When the federal National Transportation Safety Board (NTSB) submits a safety recommendation letter concerning gas pipeline safety to the commission, the commission shall provide the NTSB with a formal written response to each recommendation not later than 90 days after receiving the letter. The response shall state one of the following:
(1)The commissions intent to implement the recommendations in full, with a proposed timetable for implementation of the recommendations.
(2)The commissions intent to implement part of the recommendations, with a proposed timetable for implementation of those recommendations, and detailed reasons for the commissions refusal to implement those recommendations that the commission does not intend to implement.
(3)The commissions refusal to implement the recommendations, with detailed reasons for the commissions refusal to implement the recommendations.
(b)If the NTSB issues a safety recommendation letter concerning any commission-regulated gas pipeline facility to the United States Department of Transportation, the federal Pipeline and Hazardous Materials Safety Administration (PHMSA), a gas corporation, or to the commission, or the PHMSA issues an advisory bulletin concerning any commission-regulated gas pipeline facility, the commission shall determine if implementation of the recommendation or advisory is appropriate. The basis for the commissions determination shall be detailed in writing and shall be approved by a majority vote of the commission.
(c)If the commission determines that a safety recommendation made by the NTSB is appropriate or that action concerning an advisory bulletin is necessary, the commission shall issue orders or adopt rules to implement the safety recommendations recommendation or advisory as soon as practicable. In implementing the safety recommendation or advisory, the commission shall consider whether a more effective, or equally effective and less costly, alternative exists to address the safety issue that the recommendation or advisory addresses.
(d)Any action taken by the commission on a safety recommendation letter or advisory bulletin shall be reported annually, in detail, to the Legislature with the report required by Section 321.6. Any correspondence from the NTSB that indicates that a recommendation of the NTSB has been closed following an action that the NTSB finds unacceptable shall be noted in the report required by Section 321.6.
SEC. 8.SEC. 17.Section 1701 of the Public Utilities Code is amended to read:1701.(a)All hearings, investigations, and proceedings shall be governed by this part and by rules of practice and procedure adopted by the commission, and in the conduct thereof the technical rules of evidence need not be applied. No informality in any hearing, investigation, or proceeding or in the manner of taking testimony shall invalidate any order, decision or rule made, approved, or confirmed by the commission.
(b)Notwithstanding Section 11425.10 of the Government Code, Articles 1 through 15, inclusive, of Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of Title 2 of the Government Code do not apply to a hearing by the commission under this code. The Administrative Adjudication Code of Ethics (Article 16 (commencing with Section 11475) of Chapter 4.5 of Part 1 of Division 3 of Title 2 of the Government Code) shall apply to administrative law judges of the commission.
SEC. 9.SEC. 18.Section 1711 is added to the Public Utilities Code, to read:1711.Where feasible and appropriate, except for adjudication cases, before instituting a proceeding on its own motion, the commission shall seek the views of those who are likely to be affected, including those who are likely to benefit from, and those who are potentially subject to, a decision in that proceeding. The commission shall demonstrate its efforts to comply with this section in the text of the order instituting the proceeding.
SEC. 10.SEC. 19.Section 1759 of the Public Utilities Code is amended to read:1759.(a)No court of this state, except the Supreme Court and the court of appeal, to the extent specified in this article, shall have jurisdiction to review, reverse, correct, or annul an order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties, as provided by law and the rules of court.
(b)The writ of mandamus shall lie from the Supreme Court and from the court of appeal to the commission in all proper cases as prescribed in Section 1085 of the Code of Civil Procedure.
(c)This section does not apply to the following actions, which may be brought in superior court:
(1)An action brought against the commission to enforce the requirements of the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code).
(2)An action arising from the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code) or to review a determination made under subdivision (c) of Section 6253 of the Government Code.
(a)The Legislature finds and declares all of the following:
(1)On June 3, 2014, Californias Fourth District Court of Appeal, in Disenhouse v. Peevey (2014) 226 Cal.App.4th 1096, held that an interested person desiring to enforce the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code) against the Public Utilities Commission must do so by filing a petition for writ of mandamus in the Supreme Court or the court of appeal and may not do so by filing an action for injunctive relief in the superior court.
(2)The intent of the Bagley-Keene Open Meeting Act is that actions of state agencies be taken openly and that their deliberation be conducted openly.
(3)The peoples right to remain informed so that they may retain control over the instruments of government that they have created is not less of a right for some agencies than for other agencies, nor shall the peoples ability to enforce the Bagley-Keene Open Meeting Act be more hampered for some agencies than for other agencies.
(4)The duties, responsibilities, and actions of the Public Utilities Commission affect the well-being of current and future generations and the public interest and principles of fundamental fairness and due process of law require that the commission conduct its affairs in an open, objective, and impartial manner, free of undue influence and the abuse of power and authority.
(b)It is the intent of the Legislature that the Public Utilities Commission should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
SEC. 2.Section 305 of the Public Utilities Code is amended to read:305.The Governor shall designate a president of the commission from among the members of the commission. The president shall preside at all meetings and sessions of the commission.
SEC. 3.Section 306 of the Public Utilities Code is amended to read:306.(a)The office of the commission shall be in the City and County of San Francisco. The office shall always be open, legal holidays and nonjudicial days excepted. The commission shall hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento. The commission may also meet at such other times and in such other places as may be expedient and necessary for the proper performance of its duties, and for that purpose may rent quarters or offices. The commission shall hold no less than six sessions each year in the City of Sacramento.
(b)The meetings of the commission shall be open and public in accordance with the provisions of Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code.
In addition to the requirements of Section 11125 of the Government Code, the commission shall include in its notice of meetings the agenda of business to be transacted, and no item of business shall be added to the agenda subsequent to the notice in the absence of an unforeseen emergency situation. A rate increase shall not constitute an unforeseen emergency situation. As used in this subdivision, meeting shall include all investigations, proceedings, and showings required by law to be open and public.
(c)The commission shall have a seal, bearing the inscription Public Utilities Commission State of California. The seal shall be affixed to all writs and authentications of copies of records and to such other instruments as the commission shall direct.
(d)The commission may procure all necessary books, maps, charts, stationery, instruments, office furniture, apparatus, and appliances.
SEC. 4.Section 307 of the Public Utilities Code is amended to read:307.(a)The commission may appoint as attorney to the commission an attorney at law of this state, who shall hold office during the pleasure of the commission.
(b)The attorney shall represent and appear for the people of the State of California and the commission in all actions and proceedings involving any question under this part or under any order or act of the commission. If directed to do so by the commission, the attorney shall intervene, if possible, in any action or proceeding in which any such question is involved.
(c)The attorney shall commence, prosecute, and expedite the final determination of all actions and proceedings directed or authorized by the commission, advise the commission and each commissioner, when so requested, in regard to all matters in connection with the powers and duties of the commission and the members thereof, and generally perform all duties and services as attorney to the commission that the commission may require of him or her.
SEC. 5.Section 308 of the Public Utilities Code is amended to read:308.(a)The commission shall appoint an executive director, who shall hold office during its pleasure. The executive director shall be responsible for the commissions executive and administrative duties and shall organize, coordinate, supervise, and direct the operations and affairs of the commission and expedite all matters within the commissions jurisdiction.
(b)The executive director shall keep a full and true record of all proceedings of the commission, issue all necessary process, writs, warrants, and notices, and perform any other duties the commission prescribes. The commission may authorize the executive director to dismiss complaints or applications when all parties are in agreement thereto, in accordance with rules that the commission may prescribe.
(c)The commission may appoint assistant executive directors who may serve warrants and other process in any county or city and county of this state.
SEC. 6.Section 311.5 of the Public Utilities Code is amended to read:311.5.(a)(1)Prior to commencement of any meeting at which commissioners vote on items on the public agenda, the commission shall make available to the public copies of the agenda, and upon request, any agenda item documents that are proposed to be considered by the commission for action or decision at a commission meeting.
(2)In addition, the commission shall publish the agenda, agenda item documents, and adopted decisions in a manner that makes copies of them easily available to the public, including publishing those documents on the Internet. Publication of the agenda and agenda item documents shall occur on the Internet at the same time as the written agenda and agenda item documents are made available to the public.
(b)The commission shall publish and maintain the following documents on the Internet:
(1)Each of the commissions proposed and alternate proposed decisions and resolutions, until the decision or resolution is adopted and published.
(2)Each of the commissions adopted decisions and resolutions. The publication shall occur within 10 days of the adoption of each decision or resolution by the commission.
(3)The then-current version of the commissions general orders and Rules of Practice and Procedure.
(4)Each of the commissions rulings. The commission shall maintain those rulings on its Internet Web site until final disposition, including disposition of any judicial appeals, of the respective proceedings in which the rulings were issued.
(5)A docket card that lists, by title and date of filing or issuance, all documents filed and all decisions or rulings issued in those proceedings, including the public versions of all prepared written testimony and advice letter filings, protests, and responses. The commission shall maintain the docket card until final disposition, including disposition of any judicial appeals, of the corresponding proceedings.
(c)The commission shall make the following information available on the Internet:
(1)Information on how members of the public and ratepayers can gain access to the commissions ratemaking process and to information regarding the specific matters to be decided.
(2)Information on the operation of the office of the public advisor established in Section 321 and how the public advisor can connect members of the public to persons responsible for specific cases and matters to be decided.
SEC. 7.Section 321.6 of the Public Utilities Code is amended to read:321.6.(a)The commission shall develop, publish, and annually update a report that contains all of the following information:
(1)A workplan that describes in clear detail the scheduled proceedings and other decisions that may be considered by the commission during the calendar year.
(2)Performance criteria for the commission and executive director as well as an evaluation of the performance of the executive director during the previous year based on the criteria established in the prior years workplan.
(3)An accounting of its transactions and proceedings for the preceding year, together with other facts, suggestions, and recommendations that it deems of value to the people of the state. The accounting shall include the activities that the commission has taken, and plans to take, to reduce the costs of, and the rates for, water and energy, including electricity, to improve the competitiveness of the states industries, including agriculture, and to the extent possible, shall include suggestions and recommendations for the reduction of those costs and rates.
(4)An accounting of the commissions timeliness in resolving cases, information on the disposition of applications for rehearings, and the days that commissioners presided in hearings. The report shall include the number of scoping memos issued in each proceeding and the number of orders issued extending the statutory deadlines pursuant to subdivision (d) of Section 1701.2, for all adjudication cases, and pursuant to subdivision (a) of Section 1701.5, for all ratesetting or quasi-legislative cases.
(5)A description of activities undertaken and processes instituted to both solicit the input of customers from diverse regions of the state in ratesetting and quasi-legislative proceedings and to process that input in a way to make it usable in commission decisionmaking. The report shall describe successes and challenges in this process, the effect of resource constraints, and efforts to be made during the calendar year to further the goal of increased public participation.
(b)(1)The commission shall submit the annual report required pursuant to subdivision (a) to the Governor and Legislature no later than February 1 of each year.
(2)The commission shall post the report in a conspicuous area of its Internet Web site and shall have a program to disseminate the information in the report using computer mailing lists to provide regular updates on the information to those members of the public and organizations that request that information.
(c)The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to present the annual report of the commission required pursuant to this section.
SEC. 8.Section 1701 of the Public Utilities Code is amended to read:1701.(a)All hearings, investigations, and proceedings shall be governed by this part and by rules of practice and procedure adopted by the commission, and in the conduct thereof the technical rules of evidence need not be applied. No informality in any hearing, investigation, or proceeding or in the manner of taking testimony shall invalidate any order, decision or rule made, approved, or confirmed by the commission.
(b)Notwithstanding Section 11425.10 of the Government Code, Articles 1 through 15, inclusive, of Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of Title 2 of the Government Code do not apply to a hearing by the commission under this code. The Administrative Adjudication Code of Ethics (Article 16 (commencing with Section 11475) of Chapter 4.5 of Part 1 of Division 3 of Title 2 of the Government Code) shall apply to administrative law judges of the commission.
SEC. 9.Section 1711 is added to the Public Utilities Code, to read:1711.Where feasible and appropriate, except for adjudication cases, before instituting a proceeding on its own motion, the commission shall seek the views of those who are likely to be affected, including those who are likely to benefit from, and those who are potentially subject to, a decision in that proceeding. The commission shall demonstrate its efforts to comply with this section in the text of the order instituting the proceeding.
SEC. 10.Section 1759 of the Public Utilities Code is amended to read:1759.(a)No court of this state, except the Supreme Court and the court of appeal, to the extent specified in this article, shall have jurisdiction to review, reverse, correct, or annul an order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties, as provided by law and the rules of court.
(b)The writ of mandamus shall lie from the Supreme Court and from the court of appeal to the commission in all proper cases as prescribed in Section 1085 of the Code of Civil Procedure.
(c)This section does not apply to the following actions, which may be brought in superior court:
(1)An action brought against the commission to enforce the requirements of the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code).
(2)An action arising from the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code), including Code) or to review a determination made under subdivision (c) of Section 6253 of the Government Code.
(a)The Legislature finds and declares all of the following:
(1)On June 3, 2014, Californias Fourth District Court of Appeal, in Disenhouse v. Peevey (2014) 226 Cal.App.4th 1096, held that an interested person desiring to enforce the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code) against the Public Utilities Commission must do so by filing a petition for writ of mandamus in the Supreme Court or the court of appeal and may not do so by filing an action for injunctive relief in the superior court.
(2)The intent of the Bagley-Keene Open Meeting Act is that actions of state agencies be taken openly and that their deliberation be conducted openly.
(3)The peoples right to remain informed so that they may retain control over the instruments of government that they have created is not less of a right for some agencies than for other agencies, nor shall the peoples ability to enforce the Bagley-Keene Open Meeting Act be more hampered for some agencies than for other agencies.
(4)The duties, responsibilities, and actions of the Public Utilities Commission affect the well-being of current and future generations and the public interest and principles of fundamental fairness and due process of law require that the commission conduct its affairs in an open, objective, and impartial manner, free of undue influence and the abuse of power and authority.
(b)It is the intent of the Legislature that the Public Utilities Commission should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
SEC. 2.Section 305 of the Public Utilities Code is amended to read:305.The Governor shall designate a president of the commission from among the members of the commission. The president shall preside at all meetings and sessions of the commission.
SEC. 3.Section 306 of the Public Utilities Code is amended to read:306.(a)The office of the commission shall be in the City and County of San Francisco. The office shall always be open, legal holidays and nonjudicial days excepted. The commission shall hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento. The commission may also meet at such other times and in such other places as may be expedient and necessary for the proper performance of its duties, and for that purpose may rent quarters or offices. The commission shall hold no less than six sessions each year in the City of Sacramento.
(b)The meetings of the commission shall be open and public in accordance with the provisions of Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code.
In addition to the requirements of Section 11125 of the Government Code, the commission shall include in its notice of meetings the agenda of business to be transacted, and no item of business shall be added to the agenda subsequent to the notice in the absence of an unforeseen emergency situation. A rate increase shall not constitute an unforeseen emergency situation. As used in this subdivision, meeting shall include all investigations, proceedings, and showings required by law to be open and public.
(c)The commission shall have a seal, bearing the inscription Public Utilities Commission State of California. The seal shall be affixed to all writs and authentications of copies of records and to such other instruments as the commission shall direct.
(d)The commission may procure all necessary books, maps, charts, stationery, instruments, office furniture, apparatus, and appliances.
SEC. 4.Section 307 of the Public Utilities Code is amended to read:307.(a)The commission may appoint as attorney to the commission an attorney at law of this state, who shall hold office during the pleasure of the commission.
(b)The attorney shall represent and appear for the people of the State of California and the commission in all actions and proceedings involving any question under this part or under any order or act of the commission. If directed to do so by the commission, the attorney shall intervene, if possible, in any action or proceeding in which any such question is involved.
(c)The attorney shall commence, prosecute, and expedite the final determination of all actions and proceedings directed or authorized by the commission, advise the commission and each commissioner, when so requested, in regard to all matters in connection with the powers and duties of the commission and the members thereof, and generally perform all duties and services as attorney to the commission that the commission may require of him or her.
SEC. 5.Section 308 of the Public Utilities Code is amended to read:308.(a)The commission shall appoint an executive director, who shall hold office during its pleasure. The executive director shall be responsible for the commissions executive and administrative duties and shall organize, coordinate, supervise, and direct the operations and affairs of the commission and expedite all matters within the commissions jurisdiction.
(b)The executive director shall keep a full and true record of all proceedings of the commission, issue all necessary process, writs, warrants, and notices, and perform any other duties the commission prescribes. The commission may authorize the executive director to dismiss complaints or applications when all parties are in agreement thereto, in accordance with rules that the commission may prescribe.
(c)The commission may appoint assistant executive directors who may serve warrants and other process in any county or city and county of this state.
SEC. 6.Section 309.8 is added to the Public Utilities Code, to read:309.8.The commission shall post all prepared written testimony submitted in its formal proceedings on its Internet Web site.
SEC. 6.Section 311.5 of the Public Utilities Code is amended to read:311.5.(a)(1)Prior to commencement of any meeting at which commissioners vote on items on the public agenda agenda, the commission shall make available to the public copies of the agenda, and upon request, any agenda item documents that are proposed to be considered by the commission for action or decision at a commission meeting.
(2)In addition, the commission shall publish the agenda, agenda item documents, and adopted decisions in a manner that makes copies of them easily available to the public, including publishing those documents on the Internet. Publication of the agenda and agenda item documents shall occur on the Internet at the same time as the written agenda and agenda item documents are made available to the public.
(b)The commission shall publish and maintain the following documents on the Internet:
(1)Each of the commissions proposed and alternate proposed decisions and resolutions, until the decision or resolution is adopted and published.
(2)Each of the commissions adopted decisions and resolutions. The publication shall occur within 10 days of the adoption of each decision or resolution by the commission.
(3)The then-current version of the commissions general orders and Rules of Practice and Procedure.
(4)Each of the commissions rulings. The commission shall maintain those rulings on its Internet Web site until final disposition, including disposition of any judicial appeals, of the respective proceedings in which the rulings were issued.
(5)A docket card that lists, by title and date of filing or issuance, all documents filed and all decisions or rulings issued in those proceedings. proceedings, including the public versions of all prepared written testimony and advice letter filings, protests, and responses. The commission shall maintain the docket card until final disposition, including disposition of any judicial appeals, of the corresponding proceedings.
(c)The commission shall make the following information available on the Internet:
(1)Information on how members of the public and ratepayers can gain access to the commissions ratemaking process and to information regarding the specific matters to be decided.
(2)Information on the operation of the office of the public advisor established in Section 321 and how the public advisor can connect members of the public to persons responsible for specific cases and matters to be decided.
SEC. 7.Section 321.6 of the Public Utilities Code is amended to read:321.6.(a)The commission shall do all of the following: develop, publish, and annually update a report that contains all of the following information:
(1)Develop, publish, and annually update an annual A workplan that describes in clear detail the scheduled proceedings and other decisions that may be considered by the commission during the calendar year. The plan shall include, but is not limited to, information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided. The plan shall also include information on the operation of the office of the public advisor and identify the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided. The plan shall also include a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The plan shall also include performance criteria
(2)Performance criteria for the commission and executive director and shall evaluate as well as an evaluation of the performance of the executive director during the previous year based on the criteria established in the prior years workplan. The commission shall post the plan under the Official Documents area of its Internet Web site and shall develop a program to disseminate the information in the plan utilizing computer mailing lists to provide regular updates on the information to those members of the public and organizations which request that information.
(2)Produce a complete accounting
(3)An accounting of its transactions and proceedings for the preceding year, together with other facts, suggestions, and recommendations that it deems of value to the people of the state and a statement that specifies the activities and achievements of the commission in reducing the costs of, and rates for, energy, including electricity, for state agriculture and other rural energy consumers. state.
(3)Create a report describing the
(4)An accounting of the commissions timeliness in resolving cases, information on the disposition of applications for rehearings, and the days that commissioners presided in hearings. The report shall include the number of scoping memos issued in each proceeding and the number of orders issued extending the statutory deadlines pursuant to subdivision (d) of Section 1701.2, for all adjudication cases, and pursuant to subdivision (a) of Section 1701.5, for all ratesetting or quasi-legislative cases.
(5)A description of activities undertaken and processes instituted to both solicit the input of customers from diverse regions of the state in ratesetting and quasi-legislative proceedings and to process that input in a way to make it usable in commission decisionmaking. The report shall describe successes and challenges in this process, the effect of resource constraints, and efforts to be made during the calendar year to further the goal of increased public participation.
(4)Submit annually the plan, accounting, and report required by paragraphs (1), (2), and (3) to
(b)(1)The commission shall submit the annual report required pursuant to subdivision (a) to the Governor and Legislature no later than February 1 of each year.
(2)The commission shall post the report in a conspicuous area of its Internet Web site and shall have a program to disseminate the information in the report using computer mailing lists to provide regular updates on the information to those members of the public and organizations that request that information.
(b)
(c)The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to report on the annual workplan access guide present the annual report of the commission required pursuant to this section.
(c)The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to report on the annual report of the commission on the commissions timeliness in resolving cases and the days that commissioners presided in hearings.
SEC. 8.Section 1701 of the Public Utilities Code is amended to read:1701.(a)All hearings, investigations, and proceedings shall be governed by this part and by rules of practice and procedure adopted by the commission, and in the conduct thereof the technical rules of evidence need not be applied. No informality in any hearing, investigation, or proceeding or in the manner of taking testimony shall invalidate any order, decision or rule made, approved, or confirmed by the commission.
(b)Notwithstanding Section 11425.10 of the Government Code, Articles 1 through 15, inclusive, of Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of Title 2 of the Government Code do not apply to a hearing by the commission under this code. The Administrative Adjudication Code of Ethics (Article 16 (commencing with Section 11475) of Chapter 4.5 of Part 1 of Division 3 of Title 2 of the Government Code) shall apply to adjudication proceedings administrative law judges of the commission.
SEC. 9.Section 1711 is added to the Public Utilities Code, to read:1711.Where feasible and appropriate, except for adjudication cases, before instituting an investigation or a proceeding on its own motion, the commission shall seek the views of those who are likely to be affected, including those who are likely to benefit from, and those who are potentially subject to, a decision in that investigation or proceeding. The commission shall demonstrate its efforts to comply with this section in the text of the order instituting the investigation or proceeding.
SEC. 10.Section 1759 of the Public Utilities Code is amended to read:1759.(a)No court of this state, except the Supreme Court and the court of appeal, to the extent specified in this article, shall have jurisdiction to review, reverse, correct, or annul any an order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties, as provided by law and the rules of court.
(b)The writ of mandamus shall lie from the Supreme Court and from the court of appeal to the commission in all proper cases as prescribed in Section 1085 of the Code of Civil Procedure.
(c)This section does not apply to an action the following actions, which may be brought in superior court:
(1)An action brought against the commission to enforce the requirements of the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code) or the Code).
(2)An action arising from the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code), which action may be brought in the superior court. including to review a determination made under subdivision (c) of Section 6253 of the Government Code.
(a)The Legislature finds and declares all of the following:
(1)On June 3, 2014, Californias Fourth District Court of Appeal, in Disenhouse v. Peevey (2014) 226 Cal.App.4th 1096, held that an interested person desiring to enforce the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code) against the Public Utilities Commission must do so by filing a petition for writ of mandamus in the Supreme Court or the Court of Appeal court of appeal and may not do so by filing an action for injunctive relief in the superior court.
(2)The intent of the Bagley-Keene Open Meeting Act is that actions of state agencies be taken openly and that their deliberation be conducted openly.
(3)The peoples right to remain informed so that they may retain control over the instruments of government that they have created is not less of a right for some agencies than for other agencies, nor shall the peoples ability to enforce the Bagley-Keene Open Meeting Act be more hampered for some agencies than for other agencies.
(4)The duties, responsibilities, and actions of the Public Utilities Commission affect the well-being of current and future generations and the public interest and principles of fundamental fairness and due process of law require that the commission conduct its affairs in an open, objective, and impartial manner, free of undue influence and the abuse of power and authority.
(b)It is the intent of the Legislature that the Public Utilities Commission should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
SEC. 2.Section 305 of the Public Utilities Code is amended to read:305.The Governor shall designate a president of the commission from among the members of the commission. The president shall preside at all meetings and sessions of the commission.
SEC. 3.Section 306 of the Public Utilities Code is amended to read:306.(a)The office of the commission shall be in the City and County of San Francisco. The office shall always be open, legal holidays and nonjudicial days excepted. The commission shall hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento. The commission may also meet at such other times and in such other places as may be expedient and necessary for the proper performance of its duties, and for that purpose may rent quarters or offices. The commission shall hold no less than six sessions each year in the City of Sacramento.
(b)The meetings of the commission shall be open and public in accordance with the provisions of Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code.
In addition to the requirements of Section 11125 of the Government Code, the commission shall include in its notice of meetings the agenda of business to be transacted, and no item of business shall be added to the agenda subsequent to the notice in the absence of an unforeseen emergency situation. A rate increase shall not constitute an unforeseen emergency situation. As used in this subdivision, meeting shall include all investigations, proceedings, and showings required by law to be open and public.
(c)The commission shall have a seal, bearing the inscription Public Utilities Commission State of California. The seal shall be affixed to all writs and authentications of copies of records and to such other instruments as the commission shall direct.
(d)The commission may procure all necessary books, maps, charts, stationery, instruments, office furniture, apparatus, and appliances.
SEC. 4.Section 307 of the Public Utilities Code is amended to read:307.(a)The commission may appoint as attorney to the commission an attorney at law of this state, who shall hold office during the pleasure of the commission.
(b)The attorney shall represent and appear for the people of the State of California and the commission in all actions and proceedings involving any question under this part or under any order or act of the commission. If directed to do so by the commission, the attorney shall intervene, if possible, in any action or proceeding in which any such question is involved.
(c)The attorney shall commence, prosecute, and expedite the final determination of all actions and proceedings directed or authorized by the commission, advise the commission and each commissioner, when so requested, in regard to all matters in connection with the powers and duties of the commission and the members thereof, and generally perform all duties and services as attorney to the commission that the commission may require of him or her.
SEC. 5.Section 308 of the Public Utilities Code is amended to read:308.(a)The commission shall appoint an executive director, who shall hold office during its pleasure. The executive director shall be responsible for the commissions executive and administrative duties and shall organize, coordinate, supervise, and direct the operations and affairs of the commission and expedite all matters within the commissions jurisdiction.
(b)The executive director shall keep a full and true record of all proceedings of the commission, issue all necessary process, writs, warrants, and notices, and perform any other duties the commission prescribes. The commission may authorize the executive director to dismiss complaints or applications when all parties are in agreement thereto, in accordance with rules that the commission may prescribe.
(c)The commission may appoint assistant executive directors who may serve warrants and other process in any county or city and county of this state.
(d)The commission shall develop performance criteria for the commission and the executive director and shall annually evaluate the performance of the executive director based on the criteria established in the previous year.
SEC. 6.Section 309.6 of the Public Utilities Code is amended to read:309.6.(a)The commission shall adopt procedures on the disqualification of commissioners and administrative law judges due to bias or prejudice similar to those of other state agencies and superior courts.
(b)The commission shall develop the procedures with the opportunity for public review and comment.
SEC. 6.Section 309.8 is added to the Public Utilities Code, to read:309.8.The commission shall post all prepared written testimony submitted in its formal proceedings on its Internet Web site.
SEC. 7.Section 321.6 of the Public Utilities Code is amended to read:321.6.(a)The commission shall do all of the following:
(1)Develop, publish, and annually update an annual workplan that describes in clear detail the scheduled proceedings and other decisions that may be considered by the commission during the calendar year. The plan shall include, but is not limited to, information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided. The plan shall also include information on the operation of the office of the public adviser advisor and identify the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided. The plan shall also include a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The plan shall also include performance criteria for the commission and executive director and shall evaluate the performance of the executive director during the previous year based on the criteria established in the prior years workplan. The commission shall post the plan under the Official Documents area of its Internet Web site and shall develop a program to disseminate the information in the plan utilizing computer mailing lists to provide regular updates on the information to those members of the public and organizations which request that information.
(2)Produce a complete accounting of its transactions and proceedings for the preceding year, together with other facts, suggestions, and recommendations that it deems of value to the people of the state and a statement that specifies the activities and achievements of the commission in reducing the costs of, and rates for, energy, including electricity, for state agriculture and other rural energy consumers.
(3)Create a report describing the commissions timeliness in resolving cases, information on the disposition of applications for rehearings, and the days that commissioners presided in hearings. The report shall include the number of scoping memos issued in each proceeding and the number of orders issued extending the statutory deadlines pursuant to subdivision (d) of Section 1701.2, for all adjudication cases, and pursuant to subdivision (a) of Section 1701.5, for all ratesetting or quasi-legislative cases.
(4)Submit annually the plan, accounting, and report required by paragraphs (1), (2), and (3) to the Governor and Legislature no later than February 1 of each year.
(b)The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to report on the annual workplan access guide of the commission required pursuant to this section.
(c)The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to report on the annual report of the commission on the commissions timeliness in resolving cases and the days that commissioners presided in hearings.
SEC. 8.Section 1701 of the Public Utilities Code is amended to read:1701.(a)All hearings, investigations, and proceedings shall be governed by this part and by rules of practice and procedure adopted by the commission, and in the conduct thereof the technical rules of evidence need not be applied. No informality in any hearing, investigation, or proceeding or in the manner of taking testimony shall invalidate any order, decision or rule made, approved, or confirmed by the commission.
(b)Notwithstanding Section 11425.10 of the Government Code, Articles 1 through 15, inclusive, of Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of Title 2 of the Government Code do not apply to a hearing by the commission under this code. The Administrative Adjudication Code of Ethics (Article 16 (commencing with Section 11475) of Chapter 4.5) 4.5 of Part 1 of Division 3 of Title 2 of the Government Code) shall apply to adjudication proceedings of the commission.
SEC. 9.Section 1701.1 of the Public Utilities Code is amended to read:1701.1.(a)The commission, consistent with due process, public policy, and statutory requirements, shall determine whether a proceeding requires a hearing. The commission shall determine whether the matter requires a quasi-legislative, an adjudication, or a ratesetting hearing. The commissions decision as to the nature of the proceeding shall be subject to a request for rehearing within 10 days of the date of that decision. If that decision is not appealed to the commission within that time period it shall not be subsequently subject to judicial review. Only those parties who have requested a rehearing within that time period shall subsequently have standing for judicial review and that review shall only be available at the conclusion of the proceeding. The commission shall render its decision regarding the rehearing within 30 days. The commission shall establish regulations regarding ex parte communication on case categorization issues.
(b)The commission upon initiating a hearing shall assign one or more commissioners to oversee the case and an administrative law judge where appropriate. The assigned commissioner shall schedule a prehearing conference. The assigned commissioner shall prepare and issue by order or ruling a scoping memo that describes the issues to be considered and the applicable timetable for resolution.
(c)(1)Quasi-legislative cases, for purposes of this article, are cases that establish policy, including, but not limited to, rulemakings and investigations which may establish rules affecting an entire industry.
(2)Adjudication cases, for purposes of this article, are enforcement cases and complaints except those challenging the reasonableness of any rates or charges as specified in Section 1702.
(3)Ratesetting cases, for purposes of this article, are cases in which rates are established for a specific company, including, but not limited to, general rate cases, performance-based ratemaking, and other ratesetting mechanisms.
(d)(1)Ex parte communication, for purposes of this article, means any oral or written communication between a decisionmaker and a person with an interest in a matter before the commission or a representative of the financial industry concerning any matter that the commission has not specified as being a procedural matter that is an appropriate subject for ex parte communication, that does not occur in a public hearing, workshop, or other public proceeding, or on the official record of the proceeding on the matter. The commission shall specify those procedural matter that are appropriate subjects for ex parte communications in its Rules of Practice and Procedure. Person with an interest, for purposes of this article, means any of the following:
(A)Any applicant, an agent or an employee of the applicant, or a person receiving consideration for representing the applicant, or a participant in the proceeding on any matter before the commission.
(B)Any person with a financial interest, as described in Article 1 (commencing with Section 87100) of Chapter 7 of Title 9 of the Government Code, in a matter before the commission, or an agent or employee of the person with a financial interest, or a person receiving consideration for representing the person with a financial interest.
(C)A representative acting on behalf of any civic, environmental, neighborhood, business, labor, trade, or similar organization who intends to influence the decision of a commission member on a matter before the commission.
(2)The commission shall by regulation adopt and publish a definition of decisionmakers and persons for purposes of this section, which shall include commissioners, the executive director, and the attorney to the commission, along with any requirements for written reporting of ex parte communications and appropriate sanctions, in addition to those described in Section 1701.6, for noncompliance with any rule proscribing ex parte communications. The regulation shall provide that reportable communications shall be reported by the party and the decisionmaker pursuant to paragraphs (3) and (4), whether the communication was initiated by the party or the decisionmaker.
(3)The communication shall be reported by the party within three working days of the communication by filing a Notice of Ex Parte Communication with the commission in accordance with the procedures established by the commission for the service of that notice. The notice shall include the following information:
(A)The date, time, and location of the communication, and whether it was oral, written, or a combination.
(B)The identity of the recipient and the person initiating the communication, as well as the identity of any persons present during the communication.
(C)A description of the partys, but not the decisionmakers, communication and its content, to which shall be attached a copy of any written material or text used during the communication.
(4)Any decisionmaker who makes or receives a prohibited ex parte communication, or who learns that a permissible ex parte communication was not reported pursuant to paragraph (3), shall disclose the content of the communication and give all parties an opportunity to address the communication.
(e)The commission shall post all prepared written testimony submitted in its formal proceedings on its Internet Web site.
SEC. 10.Section 1701.4 of the Public Utilities Code is amended to read:1701.4.(a)If the commission pursuant to Section 1701.1 has determined that a quasi-legislative case requires a hearing, the procedures prescribed by this section shall be applicable. The assigned administrative law judge shall act as an assistant to the assigned commissioner in quasi-legislative cases. The assigned commissioner shall be present for formal hearings. The assigned commissioner shall prepare the proposed rule or order with the assistance of the administrative law judge. The assigned commissioner shall present the proposed rule or order to the full commission in a public meeting. The report shall include the number of days of hearing and the number of days that the commissioner was present.
(b)Ex parte communications shall be permitted in quasi-legislative cases, subject to the following:
(1)Oral ex parte communications may be permitted if all interested parties are invited and given not less than three days notice.
(2)Written ex parte communications may be permitted if copies of the communication are transmitted to all parties on the same day.
(3)If an ex parte communication meeting is granted to any party, all other parties shall also be granted individual ex parte meetings of a substantially equal period of time and shall be sent a notice of this right at the time that the request is granted. In no event shall that notice be less than three days.
(c)Any party has the right to present a final oral argument of its case before the commission. Those requests shall be scheduled in a timely manner. A quorum of the commission shall be present for the final oral arguments.
(d)The commission may, in issuing its rule or order, adopt, modify, or set aside the proposed decision or any part of the rule or order. The final rule or order of the commission shall be issued not later than 60 days after the issuance of the proposed rule or order. Under extraordinary circumstances the commission may extend this date for a reasonable period. The 60-day period shall be extended for 30 days if any alternate rule or order is proposed pursuant to Section 311.
SEC. 11.Section 1701.6 is added to the Public Utilities Code, to read:1701.6.A knowing and willful violation of the ex parte communications requirements of this article by any person is punishable by a fine of not more than fifty thousand dollars ($50,000) or by imprisonment for not more than one year in a county jail, or by both that fine and imprisonment.
SEC. 12.SEC. 9.Section 1711 is added to the Public Utilities Code, to read:1711.Where feasible and appropriate, except for adjudication cases, before instituting an investigation or proceeding on its own motion, the commission shall seek the views of those who are likely to be affected, including those who are likely to benefit from, and those who are potentially subject to, a decision in that investigation or proceeding. The commission shall demonstrate its efforts to comply with this section in the text of the order instituting the investigation or proceeding.
SEC. 13.SEC. 10.Section 1759 of the Public Utilities Code is amended to read:1759.(a)No court of this state, except the Supreme Court and the court of appeal, to the extent specified in this article, shall have jurisdiction to review, reverse, correct, or annul any order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties, as provided by law and the rules of court.
(b)The writ of mandamus shall lie from the Supreme Court and from the court of appeal to the commission in all proper cases as prescribed in Section 1085 of the Code of Civil Procedure.
(c)This section does not apply to an action brought against the commission to enforce the requirements of the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code) or the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code), which action may be brought in the superior court.
SEC. 14.No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
(a)The Legislature finds and declares all of the following:
(1)On June 3, 2014, Californias Fourth District Court of Appeal, in Disenhouse v. Peevey (2014) 226 Cal.App.4th 1096, held that an interested person desiring to enforce the Bagley-Keene Open Meeting Act against the Public Utilities Commission must do so by filing a petition for writ of mandamus in the Supreme Court or the Court of Appeal and may not do so by filing an action for injunctive relief in the superior court.
(2)The intent of the Bagley-Keene Open Meeting Act is that actions of state agencies be taken openly and that their deliberation be conducted openly.
(3)The peoples right to remain informed so that they may retain control over the instruments of government that they have created is not less of a right for some agencies than for other agencies, nor shall the peoples ability to enforce the Bagley-Keene Open Meeting Act be more hampered for some agencies than for other agencies.
(4)The duties, responsibilities, and actions of the Public Utilities Commission affect the well-being of current and future generations and the public interest and principles of fundamental fairness and due process of law require that the commission conduct its affairs in an open, objective, and impartial manner, free of undue influence and the abuse of power and authority.
(b)It is the intent of the Legislature that the Public Utilities Commission should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
SEC. 2.Section 305 of the Public Utilities Code is amended to read:305.The Governor shall designate a president of the commission from among the members of the commission. The president shall preside at all meetings and sessions of the commission.
SEC. 3.Section 306 of the Public Utilities Code is amended to read:306.(a)The office of the commission shall be in the City and County of San Francisco. The office shall always be open, legal holidays and nonjudicial days excepted. The commission shall hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento. The commission may also meet at such other times and in such other places as may be expedient and necessary for the proper performance of its duties, and for that purpose may rent quarters or offices. The commission shall hold no less than six sessions each year in the City of Sacramento.
(b)The meetings of the commission shall be open and public in accordance with the provisions of Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code.
In addition to the requirements of Section 11125 of the Government Code, the commission shall include in its notice of meetings the agenda of business to be transacted, and no item of business shall be added to the agenda subsequent to the notice in the absence of an unforeseen emergency situation. A rate increase shall not constitute an unforeseen emergency situation. As used in this subdivision, meeting shall include all investigations, proceedings, and showings required by law to be open and public.
(c)The commission shall have a seal, bearing the inscription Public Utilities Commission State of California. The seal shall be affixed to all writs and authentications of copies of records and to such other instruments as the commission shall direct.
(d)The commission may procure all necessary books, maps, charts, stationery, instruments, office furniture, apparatus, and appliances.
SEC. 4.Section 307 of the Public Utilities Code is amended to read:307.(a)The commission may appoint as attorney to the commission an attorney at law of this state, who shall hold office during the pleasure of the commission.
(b)The attorney shall represent and appear for the people of the State of California and the commission in all actions and proceedings involving any question under this part or under any order or act of the commission. If directed to do so by the commission, the attorney shall intervene, if possible, in any action or proceeding in which any such question is involved.
(c)The attorney shall commence, prosecute, and expedite the final determination of all actions and proceedings directed or authorized by the commission, advise the commission and each commissioner, when so requested, in regard to all matters in connection with the powers and duties of the commission and the members thereof, and generally perform all duties and services as attorney to the commission that the commission may require of him or her.
SEC. 5.Section 308 of the Public Utilities Code is amended to read:308.(a)The commission shall appoint an executive director, who shall hold office during its pleasure. The executive director shall be responsible for the commissions executive and administrative duties and shall organize, coordinate, supervise, and direct the operations and affairs of the commission and expedite all matters within the commissions jurisdiction.
(b)The executive director shall keep a full and true record of all proceedings of the commission, issue all necessary process, writs, warrants, and notices, and perform any other duties the commission prescribes. The commission may authorize the executive director to dismiss complaints or applications when all parties are in agreement thereto, in accordance with rules that the commission may prescribe.
(c)The commission may appoint assistant executive directors who may serve warrants and other process in any county or city and county of this state.
(d)The commission shall develop performance criteria for the commission and the executive director and shall annually evaluate the performance of the executive director based on the criteria established in the previous year.
SEC. 6.Section 309.6 of the Public Utilities Code is amended to read:309.6.(a)The commission shall adopt procedures on the disqualification of commissioners and administrative law judges due to bias or prejudice similar to those of other state agencies and superior courts.
(b)The commission shall develop the procedures with the opportunity for public review and comment.
SEC. 7.Section 321.6 of the Public Utilities Code is amended to read:321.6.(a)The commission shall do all of the following:
(1)Develop, publish, and annually update an annual workplan that describes in clear detail the scheduled proceedings and other decisions that may be considered by the commission during the calendar year. The plan shall include, but is not limited to, information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided. The plan shall also include information on the operation of the office of the public adviser and identify the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided. The plan shall also include a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The plan shall also include performance criteria for the commission and executive director and shall evaluate the performance of the executive director during the previous year based on the criteria established in the prior years workplan. The commission shall post the plan under the Official Documents area of its Internet Web site and shall develop a program to disseminate the information in the plan utilizing computer mailing lists to provide regular updates on the information to those members of the public and organizations which request that information.
(2)Produce a complete accounting of its transactions and proceedings for the preceding year, together with other facts, suggestions, and recommendations that it deems of value to the people of the state and a statement that specifies the activities and achievements of the commission in reducing the costs of, and rates for, energy, including electricity, for state agriculture and other rural energy consumers.
(3)Create a report describing the commissions timeliness in resolving cases, information on the disposition of applications for rehearings, and the days that commissioners presided in hearings. The report shall include the number of scoping memos issued in each proceeding and the number of orders issued extending the statutory deadlines pursuant to subdivision (d) of Section 1701.2, for all adjudication cases, and pursuant to subdivision (a) of Section 1701.5, for all ratesetting or quasi-legislative cases.
(4)Submit annually the plan, accounting, and report required by paragraphs (1), (2), and (3) to the Governor and Legislature no later than February 1 of each year.
(b)The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to report on the annual workplan access guide of the commission required pursuant to this section.
(c)The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to report on the annual report of the commission on the commissions timeliness in resolving cases and the days that commissioners presided in hearings.
SEC. 8.Section 1701 of the Public Utilities Code is amended to read:1701.(a)All hearings, investigations, and proceedings shall be governed by this part and by rules of practice and procedure adopted by the commission, and in the conduct thereof the technical rules of evidence need not be applied. No informality in any hearing, investigation, or proceeding or in the manner of taking testimony shall invalidate any order, decision or rule made, approved, or confirmed by the commission.
(b)Notwithstanding Section 11425.10 of the Government Code, Articles 1 through 15, inclusive, of Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of Title 2 of the Government Code do not apply to a hearing by the commission under this code. The Administrative Adjudication Code of Ethics (Article 16 (commencing with Section 11475) of Chapter 4.5) shall apply to adjudication proceedings of the commission.
SEC. 9.Section 1701.1 of the Public Utilities Code is amended to read:1701.1.(a)The commission, consistent with due process, public policy, and statutory requirements, shall determine whether a proceeding requires a hearing. The commission shall determine whether the matter requires a quasi-legislative, an adjudication, or a ratesetting hearing. The commissions decision as to the nature of the proceeding shall be subject to a request for rehearing within 10 days of the date of that decision. If that decision is not appealed to the commission within that time period it shall not be subsequently subject to judicial review. Only those parties who have requested a rehearing within that time period shall subsequently have standing for judicial review and that review shall only be available at the conclusion of the proceeding. The commission shall render its decision regarding the rehearing within 30 days. The commission shall establish regulations regarding ex parte communication on case categorization issues.
(b)The commission upon initiating a hearing shall assign one or more commissioners to oversee the case and an administrative law judge where appropriate. The assigned commissioner shall schedule a prehearing conference. The assigned commissioner shall prepare and issue by order or ruling a scoping memo that describes the issues to be considered and the applicable timetable for resolution.
(c)(1)Quasi-legislative cases, for purposes of this article, are cases that establish policy, including, but not limited to, rulemakings and investigations which may establish rules affecting an entire industry.
(2)Adjudication cases, for purposes of this article, are enforcement cases and complaints except those challenging the reasonableness of any rates or charges as specified in Section 1702.
(3)Ratesetting cases, for purposes of this article, are cases in which rates are established for a specific company, including, but not limited to, general rate cases, performance-based ratemaking, and other ratesetting mechanisms.
(4)
(d)(1)Ex parte communication, for purposes of this article, means any oral or written communication between a decisionmaker and a person with an interest in a matter before the commission or a representative of the financial industry concerning substantive, but not procedural issues, any matter that the commission has not specified as being a procedural matter that is an appropriate subject for ex parte communication, that does not occur in a public hearing, workshop, or other public proceeding, or on the official record of the proceeding on the matter. The commission shall specify those procedural matter that are appropriate subjects for ex parte communications in its Rules of Practice and Procedure. Person with an interest, for purposes of this article, means any of the following:
(A)Any applicant, an agent or an employee of the applicant, or a person receiving consideration for representing the applicant, or a participant in the proceeding on any matter before the commission.
(B)Any person with a financial interest, as described in Article 1 (commencing with Section 87100) of Chapter 7 of Title 9 of the Government Code, in a matter before the commission, or an agent or employee of the person with a financial interest, or a person receiving consideration for representing the person with a financial interest.
(C)A representative acting on behalf of any civic, environmental, neighborhood, business, labor, trade, or similar organization who intends to influence the decision of a commission member on a matter before the commission.
The
(2)The commission shall by regulation adopt and publish a definition of decisionmakers and persons for purposes of this section, which shall include commissioners, the executive director, and the attorney to the commission, along with any requirements for written reporting of ex parte communications and appropriate sanctions, in addition to those described in Section 1701.6, for noncompliance with any rule proscribing ex parte communications. The regulation shall provide that reportable communications shall be reported by the party and the decisionmaker pursuant to paragraphs (3) and (4), whether the communication was initiated by the party or the decisionmaker. Communications
(3)The communication shall be reported by the party within three working days of the communication by filing a Notice of Ex Parte Communication with the commission in accordance with the procedures established by the commission for the service of that notice. The notice shall include the following information:
(i)
(A)The date, time, and location of the communication, and whether it was oral, written, or a combination.
(ii)
(B)The identity of the recipient and the person initiating the communication, as well as the identity of any persons present during the communication.
(iii)
(C)A description of the partys, but not the decisionmakers, communication and its content, to which shall be attached a copy of any written material or text used during the communication.
(4)Any decisionmaker who makes or receives a prohibited ex parte communication, or who learns that a permissible ex parte communication was not reported pursuant to paragraph (3), shall disclose the content of the communication and give all parties an opportunity to address the communication.
(d)
(e)The commission shall post all prepared written testimony submitted in its formal proceedings on its Internet Web site.
SEC. 10.Section 1701.4 of the Public Utilities Code is amended to read:1701.4.(a)If the commission pursuant to Section 1701.1 has determined that a quasi-legislative case requires a hearing, the procedures prescribed by this section shall be applicable. The assigned administrative law judge shall act as an assistant to the assigned commissioner in quasi-legislative cases. The assigned commissioner shall be present for formal hearings. The assigned commissioner shall prepare the proposed rule or order with the assistance of the administrative law judge. The assigned commissioner shall present the proposed rule or order to the full commission in a public meeting. The report shall include the number of days of hearing and the number of days that the commissioner was present.
(b)Ex parte communications shall be permitted in quasi-legislative cases, subject to the following:
(1)Oral ex parte communications may be permitted if all interested parties are invited and given not less than three days notice.
(2)Written ex parte communications may be permitted if copies of the communication are transmitted to all parties on the same day.
(3)If an ex parte communication meeting is granted to any party, all other parties shall also be granted individual ex parte meetings of a substantially equal period of time and shall be sent a notice of this right at the time that the request is granted. In no event shall that notice be less than three days.
(c)Any party has the right to present a final oral argument of its case before the commission. Those requests shall be scheduled in a timely manner. A quorum of the commission shall be present for the final oral arguments.
(d)The commission may, in issuing its rule or order, adopt, modify, or set aside the proposed decision or any part of the rule or order. The final rule or order of the commission shall be issued not later than 60 days after the issuance of the proposed rule or order. Under extraordinary circumstances the commission may extend this date for a reasonable period. The 60-day period shall be extended for 30 days if any alternate rule or order is proposed pursuant to Section 311.
SEC. 11.Section 1701.6 is added to the Public Utilities Code, to read:1701.6.A knowing and willful violation of the ex parte communications requirements of this article by any person is punishable by a fine of not more than fifty thousand dollars ($50,000) or by imprisonment for not more than one year in a county jail, or by both that fine and imprisonment.
SEC. 12.Section 1711 is added to the Public Utilities Code, to read:1711.Where feasible and appropriate, except for adjudication cases, before instituting an investigation or proceeding on its own motion, the commission shall seek the views of those who are likely to be affected, including those who are likely to benefit from, and those who are potentially subject to, a decision in that investigation or proceeding. The commission shall demonstrate its efforts to comply with this section in the text of the order instituting the investigation or proceeding.
SEC. 12.SEC. 13.Section 1759 of the Public Utilities Code is amended to read:1759.(a)No court of this state, except the Supreme Court and the court of appeal, to the extent specified in this article, shall have jurisdiction to review, reverse, correct, or annul any order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties, as provided by law and the rules of court.
(b)The writ of mandamus shall lie from the Supreme Court and from the court of appeal to the commission in all proper cases as prescribed in Section 1085 of the Code of Civil Procedure.
(c)This section does not apply to an action brought against the commission to enforce the requirements of the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code) or the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code), which action may be brought in the superior court.
SEC. 13.SEC. 14.No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
(a)The Legislature finds and declares all of the following:
(1)On June 3, 2014, Californias Fourth District Court of Appeal, in Disenhouse v. Peevey (2014) 226 Cal.App.4th 1096, held that an interested person desiring to enforce the Bagley-Keene Open Meeting Act against the Public Utilities Commission must do so by filing a petition for writ of mandamus in the Supreme Court or the Court of Appeal and may not do so by filing an action for injunctive relief in the superior court.
(2)The intent of the Bagley-Keene Open Meeting Act is that actions of state agencies be taken openly and that their deliberation be conducted openly.
(3)The peoples right to remain informed so that they may retain control over the instruments of government that they have created is not less of a right for some agencies than for other agencies, nor shall the peoples ability to enforce the Bagley-Keene Open Meeting Act be more hampered for some agencies than for other agencies.
(4)The duties, responsibilities, and actions of the Public Utilities Commission affect the well-being of current and future generations and the public interest and principles of fundamental fairness and due process of law require that the commission conduct its affairs in an open, objective, and impartial manner, free of undue influence and the abuse of power and authority.
(b)It is the intent of the Legislature that the Public Utilities Commission should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
SEC. 2.Section 305 of the Public Utilities Code is amended to read:305.The Governor shall designate a president of the commission from among the members of the commission. The president shall direct the executive director, the attorney, and other staff of the commission, except for the staff of the division described in Section 309.5, in the performance of their duties, in accordance with commission policies and guidelines. The president shall preside at all meetings and sessions of the commission.
SEC. 3.Section 306 of the Public Utilities Code is amended to read:306.(a)The office of the commission shall be in the City and County of San Francisco. The office shall always be open, legal holidays and nonjudicial days excepted. The commission shall hold its sessions at least once in each calendar month in the City and County of San Francisco or the City of Sacramento. The commission may also meet at such other times and in such other places as may be expedient and necessary for the proper performance of its duties, and for that purpose may rent quarters or offices. The commission shall hold no less than six sessions each year in the City of Sacramento.
(b)The meetings of the commission shall be open and public in accordance with the provisions of Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code.
In addition to the requirements of Section 11125 of the Government Code, the commission shall include in its notice of meetings the agenda of business to be transacted, and no item of business shall be added to the agenda subsequent to the notice in the absence of an unforeseen emergency situation. A rate increase shall not constitute an unforeseen emergency situation. As used in this subdivision, meeting shall include all investigations, proceedings, and showings required by law to be open and public.
(c)The commission shall have a seal, bearing the inscription Public Utilities Commission State of California. The seal shall be affixed to all writs and authentications of copies of records and to such other instruments as the commission shall direct.
(d)The commission may procure all necessary books, maps, charts, stationery, instruments, office furniture, apparatus, and appliances.
SEC. 4.Section 307 of the Public Utilities Code is amended to read:307.(a)The commission may appoint as attorney to the commission an attorney at law of this state, who shall hold office during the pleasure of the commission.
(b)The attorney shall represent and appear for the people of the State of California and the commission in all actions and proceedings involving any question under this part or under any order or act of the commission. If directed to do so by the president, except as otherwise directed by vote of the commission, the attorney shall intervene, if possible, in any action or proceeding in which any such question is involved.
(c)The attorney shall commence, prosecute, and expedite the final determination of all actions and proceedings directed or authorized by the president, except as otherwise directed or authorized by vote of the commission, advise the commission and each commissioner, when so requested, in regard to all matters in connection with the powers and duties of the commission and the members thereof, and generally perform all duties and services as attorney to the commission that the president, or vote of the commission, may require of him. him or her.
SEC. 5.Section 308 of the Public Utilities Code is amended to read:308.(a)The commission shall appoint an executive director, who shall hold office during its pleasure. The executive director shall be responsible for the commissions executive and administrative duties and shall organize, coordinate, supervise, and direct the operations and affairs of the commission and expedite all matters within the commissions jurisdiction.
(b)The executive director shall keep a full and true record of all proceedings of the commission, issue all necessary process, writs, warrants, and notices, and perform such any other duties as the president, or vote of the commission, the commission prescribes. The president commission may authorize the executive director to dismiss complaints or applications when all parties are in agreement thereto, in accordance with rules that the commission may prescribe.
(c)The commission may appoint assistant executive directors who may serve warrants and other process in any county or city and county of this state.
(d)The commission shall develop performance criteria for the commission and the executive director and shall annually evaluate the performance of the executive director based on the criteria established in the previous year.
SEC. 6.Section 309.6 of the Public Utilities Code is amended to read:309.6.(a)The commission shall adopt procedures on the disqualification of commissioners and administrative law judges due to bias or prejudice similar to those of other state agencies and superior courts.
(b)The commission shall develop the procedures with the opportunity for public review and comment.
SEC. 7.Section 321.6 of the Public Utilities Code is amended to read:321.6.(a)The commission shall do all of the following:
(1)Develop, publish, and annually update an annual workplan that describes in clear detail the scheduled ratemaking proceedings and other decisions that may be considered by the commission during the calendar year. The plan shall include, but is not limited to, information on how members of the public and ratepayers can gain access to the commissions ratemaking process and information regarding the specific matters to be decided. The plan shall also include information on the operation of the office of the public adviser and identify the names and telephone numbers of those contact persons responsible for specific cases and matters to be decided. The plan shall also include a statement that specifies activities that the commission proposes to reduce the costs of, and rates for, energy, including electricity, and for improving the competitive opportunities for state agriculture and other rural energy consumers. The plan shall also include performance criteria for the commission and executive director and shall evaluate the performance of the executive director during the previous year based on the criteria established in the prior years workplan. The commission shall post the plan under the Official Documents area of its Internet Web site and shall develop a program to disseminate the information in the plan utilizing computer mailing lists to provide regular updates on the information to those members of the public and organizations which request that information.
(2)Produce a complete accounting of its transactions and proceedings for the preceding year, together with other facts, suggestions, and recommendations that it deems of value to the people of the state and a statement that specifies the activities and achievements of the commission in reducing the costs of, and rates for, energy, including electricity, for state agriculture and other rural energy consumers.
(3)Create a report on the number of cases where resolution exceeded the time periods prescribed in scoping memos describing the commissions timeliness in resolving cases, information on the disposition of applications for rehearings, and the days that commissioners presided in hearings. The report shall include the number of scoping memos issued in each proceeding and the number of orders issued extending the statutory deadlines pursuant to subdivision (d) of Section 1701.2, for all adjudication cases, and pursuant to subdivision (a) of Section 1701.5, for all ratesetting or quasi-legislative cases.
(4)Submit annually the plan, accounting, and report required by paragraphs (1), (2), and (3) to the Governor and Legislature no later than February 1 of each year.
(b)The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to report on the annual workplan access guide of the commission required pursuant to this section.
(c)The president of the commission shall annually appear before the appropriate policy committees of the Senate and Assembly to report on the annual report of the commission on the number of cases where resolution exceeded the time periods prescribed in scoping memos commissions timeliness in resolving cases and the days that commissioners presided in hearings, pursuant to Section 13 of Chapter 856 of the Statutes of 1996. hearings.
SEC. 8.Section 1701 of the Public Utilities Code is amended to read:1701.(a)All hearings, investigations, and proceedings shall be governed by this part and by rules of practice and procedure adopted by the commission, and in the conduct thereof the technical rules of evidence need not be applied. No informality in any hearing, investigation, or proceeding or in the manner of taking testimony shall invalidate any order, decision or rule made, approved, or confirmed by the commission.
(b)Notwithstanding Section 11425.10 of the Government Code, Articles 1 through 15, inclusive, of Chapter 4.5 (commencing with Section 11400) of Part 1 of Division 3 of Title 2 of the Government Code does do not apply to a hearing by the commission under this code. The Administrative Adjudication Code of Ethics (Article 16 (commencing with Section 11475) of Chapter 4.5) shall apply to adjudication proceedings of the commission.
SEC. 9.Section 1701.1 of the Public Utilities Code is amended to read:1701.1.(a)The commission, consistent with due process, public policy, and statutory requirements, shall determine whether a proceeding requires a hearing. The commission shall determine whether the matter requires a quasi-legislative, an adjudication, or a ratesetting hearing. The commissions decision as to the nature of the proceeding shall be subject to a request for rehearing within 10 days of the date of that decision. If that decision is not appealed to the commission within that time period it shall not be subsequently subject to judicial review. Only those parties who have requested a rehearing within that time period shall subsequently have standing for judicial review and that review shall only be available at the conclusion of the proceeding. The commission shall render its decision regarding the rehearing within 30 days. The commission shall establish regulations regarding ex parte communication on case categorization issues.
(b)The commission upon initiating a hearing shall assign one or more commissioners to oversee the case and an administrative law judge where appropriate. The assigned commissioner shall schedule a prehearing conference. The assigned commissioner shall prepare and issue by order or ruling a scoping memo that describes the issues to be considered and the applicable timetable for resolution.
(c)(1)Quasi-legislative cases, for purposes of this article, are cases that establish policy, including, but not limited to, rulemakings and investigations which may establish rules affecting an entire industry.
(2)Adjudication cases, for purposes of this article, are enforcement cases and complaints except those challenging the reasonableness of any rates or charges as specified in Section 1702.
(3)Ratesetting cases, for purposes of this article, are cases in which rates are established for a specific company, including, but not limited to, general rate cases, performance-based ratemaking, and other ratesetting mechanisms.
(4)Ex parte communication, for purposes of this article, means any oral or written communication between a decisionmaker and a person with an interest in a matter before the commission or a representative of the financial industry concerning substantive, but not procedural issues, that does not occur in a public hearing, workshop, or other public proceeding, or on the official record of the proceeding on the matter. Person with an interest, for purposes of this article, means any of the following:
(A)Any applicant, an agent or an employee of the applicant, or a person receiving consideration for representing the applicant, or a participant in the proceeding on any matter before the commission.
(B)Any person with a financial interest, as described in Article 1 (commencing with Section 87100) of Chapter 7 of Title 9 of the Government Code, in a matter before the commission, or an agent or employee of the person with a financial interest, or a person receiving consideration for representing the person with a financial interest.
(C)A representative acting on behalf of any civic, environmental, neighborhood, business, labor, trade, or similar organization who intends to influence the decision of a commission member on a matter before the commission.
The commission shall by regulation adopt and publish a definition of decisionmakers and persons for purposes of this section, which shall include commissioners, the executive director, and the attorney to the commission, along with any requirements for written reporting of ex parte communications and appropriate sanctions, in addition to those described in Section 1701.6, for noncompliance with any rule proscribing ex parte communications. The regulation shall provide that reportable communications shall be reported by the party, party and the decisionmaker, whether the communication was initiated by the party or the decisionmaker. Communications shall be reported by the party within three working days of the communication by filing a Notice of Ex Parte Communication with the commission in accordance with the procedures established by the commission for the service of that notice. The notice shall include the following information:
(i)The date, time, and location of the communication, and whether it was oral, written, or a combination.
(ii)The identity of the recipient and the person initiating the communication, as well as the identity of any persons present during the communication.
(iii)A description of the partys, but not the decisionmakers, communication and its content, to which shall be attached a copy of any written material or text used during the communication.
(d)The commission shall post all prepared written testimony submitted in its formal proceedings on its Internet Web site.
SEC. 10.Section 1701.4 of the Public Utilities Code is amended to read:1701.4.(a)If the commission pursuant to Section 1701.1 has determined that a quasi-legislative case requires a hearing, the procedures prescribed by this section shall be applicable. The assigned administrative law judge shall act as an assistant to the assigned commissioner in quasi-legislative cases. The assigned commissioner shall be present for formal hearings. The assigned commissioner shall prepare the proposed rule or order with the assistance of the administrative law judge. The assigned commissioner shall present the proposed rule or order to the full commission in a public meeting. The report shall include the number of days of hearing and the number of days that the commissioner was present.
(b)Ex parte communications shall be permitted without any restrictions. in quasi-legislative cases, subject to the following:
(1)Oral ex parte communications may be permitted if all interested parties are invited and given not less than three days notice.
(2)Written ex parte communications may be permitted if copies of the communication are transmitted to all parties on the same day.
(3)If an ex parte communication meeting is granted to any party, all other parties shall also be granted individual ex parte meetings of a substantially equal period of time and shall be sent a notice of this right at the time that the request is granted. In no event shall that notice be less than three days.
(c)Any party has the right to present a final oral argument of its case before the commission. Those requests shall be scheduled in a timely manner. A quorum of the commission shall be present for the final oral arguments.
(d)The commission may, in issuing its rule or order, adopt, modify, or set aside the proposed decision or any part of the rule or order. The final rule or order of the commission shall be issued not later than 60 days after the issuance of the proposed rule or order. Under extraordinary circumstances the commission may extend this date for a reasonable period. The 60-day period shall be extended for 30 days if any alternate rule or order is proposed pursuant to Section 311.
SEC. 11.Section 1701.6 is added to the Public Utilities Code, to read:1701.6.A violation of the ex parte communications requirements of this article by any person is punishable by a fine of not more than fifty thousand dollars ($50,000) or by imprisonment for not more than one year in a county jail, or by both that fine and imprisonment.
SEC. 12.Section 1759 of the Public Utilities Code is amended to read:1759.(a)No court of this state, except the Supreme Court and the court of appeal, to the extent specified in this article, shall have jurisdiction to review, reverse, correct, or annul any order or decision of the commission or to suspend or delay the execution or operation thereof, or to enjoin, restrain, or interfere with the commission in the performance of its official duties, as provided by law and the rules of court.
(b)The writ of mandamus shall lie from the Supreme Court and from the court of appeal to the commission in all proper cases as prescribed in Section 1085 of the Code of Civil Procedure.
(c)This section does not apply to an action brought against the commission to enforce the requirements of the Bagley-Keene Open Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government Code) or the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code), which action may be brought in the superior court.
SEC. 13.No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
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| Sep 11, 2015 | Assembly amendments concurred in. (Ayes 37. Noes 1.) Ordered to engrossing and enrolling. |
| Jun 30, 2015 | From committee: Do pass and re-refer to Com. on APPR. (Ayes 14. Noes 0.) (June 29). Re-referred to Com. on APPR. |
| Jul 7, 2015 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on APPR. |
| Jul 15, 2015 | July 15 set for first hearing. Placed on APPR. suspense file. |
| Aug 28, 2015 | From committee: Do pass as amended. (Ayes 17. Noes 0.) (August 27). |
| Aug 28, 2015 | Read second time and amended. Ordered to second reading. |
| Aug 31, 2015 | Read second time. Ordered to third reading. |
| Sep 4, 2015 | Ordered to third reading. |
| Sep 4, 2015 | Read third time and amended. |
| Sep 9, 2015 | Ordered to third reading. |
| Sep 9, 2015 | Read third time and amended. |
| Jun 24, 2015 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on U. & C. |
| Sep 11, 2015 | Assembly amendments concurred in. (Ayes 38. Noes 1. Page 2769.) Ordered to engrossing and enrolling. |
| Sep 11, 2015 | Assembly amendments concurred in. (Ayes 38. Noes 1.) Ordered to engrossing and enrolling. |
| Sep 11, 2015 | In Senate. Concurrence in Assembly amendments pending. |
| Sep 11, 2015 | Read third time. Passed. Ordered to the Senate. |
| Sep 11, 2015 | Read third time. Passed. (Ayes 79. Noes 0. Page 3124.) Ordered to the Senate. |
| Sep 17, 2015 | Enrolled and presented to the Governor at 4:45 p.m. |
| Oct 9, 2015 | In Senate. Consideration of Governor's veto pending. |
| Oct 9, 2015 | Vetoed by the Governor. |
| Apr 25, 2016 | Last day to consider Governors veto pursuant to Joint Rule 58.5. |
| Apr 25, 2016 | Last day to consider Governor’s veto pursuant to Joint Rule 58.5. |
| May 8, 2015 | Set for hearing May 18. |
| Dec 19, 2014 | From printer. May be acted upon on or after January 18. |
| Jan 5, 2015 | Read first time. |
| Jan 15, 2015 | Referred to Com. on E., U., & C. |
| Mar 24, 2015 | Set for hearing April 21. |
| Apr 14, 2015 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on E., U., & C. |
| Apr 21, 2015 | April 21 hearing postponed by committee. |
| Apr 22, 2015 | Set for hearing April 27. |
| May 5, 2015 | From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 9. Noes 0. Page 795.) (April 27). |
| May 5, 2015 | From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 9. Noes 0.) (April 27). |
| May 6, 2015 | Read second time and amended. Re-referred to Com. on APPR. |
| Dec 18, 2014 | Introduced. To Com. on RLS. for assignment. To print. |
| May 18, 2015 | May 18 hearing: Placed on APPR. suspense file. |
| May 23, 2015 | Set for hearing May 28. |
| May 28, 2015 | From committee: Do pass. (Ayes 7. Noes 0. Page 1146.) (May 28). |
| May 28, 2015 | From committee: Do pass. (Ayes 7. Noes 0.) (May 28). |
| May 28, 2015 | Read second time. Ordered to third reading. |
| Jun 1, 2015 | Read third time. Passed. (Ayes 39. Noes 0. Page 1194.) Ordered to the Assembly. |
| Jun 1, 2015 | Read third time. Passed. (Ayes 39. Noes 0.) Ordered to the Assembly. |
| Jun 2, 2015 | In Assembly. Read first time. Held at Desk. |
| Jun 15, 2015 | Referred to Com. on U. & C. |
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| Sep 11, 2015 | Unfinished Business (Supplemental File 2) SB48 Hill Concurrence | Senate Floor |
Passed |
|
| Sep 11, 2015 | SB 48 Hill Senate Third Reading By RENDON | Assembly Floor |
Passed |
|
| Aug 27, 2015 | Do pass as amended. | Assembly Standing Committee on Appropriations |
Passed |
|
| Jun 29, 2015 | Do pass and be re-referred to the Committee on [Appropriations] | Assembly Standing Committee on Utilities and Commerce |
Passed |
|
| Jun 1, 2015 | Senate 3rd Reading SB48 Hill | Senate Floor |
Passed |
|
| May 28, 2015 | Do pass | Senate Standing Committee on Appropriations |
Passed |
|
| May 18, 2015 | Placed on suspense file | Senate Standing Committee on Appropriations |
Passed |
|
| Apr 27, 2015 | Do pass as amended, but first amend, and re-refer to the Committee on [Appropriations] | Senate Standing Committee on Energy, Utilities and Communications |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
|
Organization
|
Position
|
Date
|
|---|---|---|
| California Cable & Telecommunications Association | ** Support | Apr 27, 2015 |
| California Newspaper Publishers Association | ** Support | Sep 11, 2015 |
| Communications Workers of America, District 9 AFL-CIO | ** Support | Sep 11, 2015 |
| CONCERN: | ** Support | Apr 27, 2015 |
| Michael B. Day, et al | ** Against | Apr 27, 2015 |
| Page Q | ** Support | Jun 29, 2015 |
| Sierra Club California | ** Support | Sep 11, 2015 |
| strike | ** Against | Jun 1, 2015 |
| The Utility Reform Network | ** Support | Sep 11, 2015 |
SB 48
Page 9
|
Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 |
SB 48 |
VETO
Bill No: SB 48
Amended: 9/9/15
SENATE ENERGY, U. & C. COMMITTEE: 9-0, 4/27/15
AYES: Hueso, Fuller, Cannella, Hertzberg, Hill, Leyva, McGuire, Morrell, Wolk
NO VOTE RECORDED: Lara, Pavley
SENATE APPROPRIATIONS COMMITTEE: 7-0, 5/28/15
AYES: Lara, Bates, Beall, Hill, Leyva, Mendoza, Nielsen
SENATE FLOOR: 39-0, 6/1/15
AYES: Allen, Anderson, Bates, Beall, Block, Cannella, De León, Fuller, Gaines, Galgiani, Glazer, Hall, Hancock, Hernandez, Hertzberg, Hill, Hueso, Huff, Jackson, Lara, Leno, Leyva, Liu, McGuire, Mendoza, Mitchell, Monning, Moorlach, Morrell, Nguyen, Nielsen, Pan, Pavley, Roth, Runner, Stone, Vidak, Wieckowski, Wolk
NO VOTE RECORDED: Berryhill
SENATE FLOOR: 38-1, 9/11/15
AYES: Allen, Anderson, Bates, Beall, Berryhill, Block, Cannella, De León, Fuller, Gaines, Galgiani, Glazer, Hall, Hancock, Hernandez, Hertzberg, Hill, Hueso, Huff, Jackson, Lara, Leno, Leyva, Liu, McGuire, Mitchell, Monning, Moorlach, Nguyen, Nielsen, Pan, Pavley, Roth, Runner, Stone, Vidak, Wieckowski, Wolk
NOES: Morrell
NO VOTE RECORDED: Mendoza
ASSEMBLY FLOOR: 79-0, 9/11/15 - See last page for vote
SUBJECT: Public Utilities Commission
DIGEST: This bill proposes a suite of reforms of the governance and operations of the California Public Utilities Commission (CPUC), including, among others, requiring sessions in Sacramento, applying the Code of Ethics from the Administrative Procedures Act (APA) to administrative law judges (ALJs), clarifying and augmenting the information the CPUC must provide the Legislature in its annual report, and others.
Existing law:
Establishes the CPUC with five members appointed by the Governor and confirmed by the Senate and empowers it to regulate privately owned public utilities in California. (Article XII of the California Constitution; Public Utilities Code §301 et seq.)
Requires the Governor to designate one of the commissioners as president who is granted with certain authority not provided to the other four commissioners. These powers include the ability to direct the executive director, the general counsel and staff, as well as, preside over all CPUC meetings, and other powers. (Public Utilities Code §305)
Requires the CPUC to hold at least one hearing per calendar month in the City and County of San Francisco. (Public Utilities Code §306)
Authorizes the CPUC to appoint a general counsel to represent the CPUC in all actions, to commence, prosecute or intervene in proceedings as directed by the president, and to advise the CPUC and each commissioner on all matters. (Public Utilities Code §307)
Requires the president of the CPUC to annually appear before the appropriate legislative policy committees. (Public Utilities Code §321.6)
Exempts the CPUC from the APA. (Public Utilities Code §1701)
Provides that the California Supreme Court and the court of appeal of the CPUC shall be the venues to address appeals of CPUC decisions. (Public Utilities Code §1701.6)
Establishes rules for state agencies to ensure meetings are open, public and available to all, as noted in the Bagley-Keene Open Meeting Act. Restricts a majority of members of a state governing body from meeting without proper notice, public access, and transparency. (Government Code §11120)
This bill:
Finds it is the intent of the Legislature that the CPUC should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
Requires the CPUC to make information about the operation of the office of public advisor and other specified information available on the Internet. Requires that information is available regarding how the public and ratepayers can access the CPUC’s ratemaking process.
Requires the CPUC to hold no less than six sessions per year in the City of Sacramento.
Directs the CPUC to modify their annual report, a document that is published and provided to the Legislature by February 1st, to include performance criteria for both the CPUC and executive director, and annually evaluate the executive director based on the performance criteria, an accounting of the CPUC’s proceedings and other specified information.
Requires the CPUC to create a report regarding the cases before the agency, including timeliness in resolving the cases, approvals for rehearings, number of scoping memos issued in each proceeding, number of orders issued, and other items.
Requires the ALJs to adhere to ethics provisions of the APA for adjudicated proceedings.
Requires the CPUC to seek the views of those who are likely affected by a decision or proceeding, except in adjudicated cases, and requires the CPUC to demonstrate their efforts to engage these residents within the text of the order.
Provides that actions to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act can be taken to the superior court.
Includes chaptering amendments related to AB 825 (Rendon, 2015) and the Budget Act of 2015.
Background
Fatal explosion in San Bruno. On September 9, 2010, a natural gas pipeline owned by Pacific Gas and Electric Company (PG&E) exploded in a residential neighborhood in the City of San Bruno. Eight people died, dozens were injured, 38 houses were destroyed and many more were damaged. The investigations by the National Transportation Safety Board (NTSB) and an independent review panel appointed by the CPUC found that PG&E mismanaged their pipeline over decades, failed to adequately test the strength of the pipeline and, more generally, valued profits over safety. These same investigations also noted the CPUC’s inadequate oversight of PG&E.
Emails demonstrate “Culture of Conversation.” During the summer and fall of 2014, PG&E, bowing to legal pressure from the City of San Bruno, began to release a growing number of emails between the utility and CPUC officials. PG&E released 65,000 emails from over a five-year period many of which PG&E says it believes “violated CPUC rules governing ex parte communications.” The initial release of emails exposed regular, private, familiar communications between PG&E and certain CPUC commissioners.
Criminal investigations opened. Since PG&E’s initial release of the emails, both the state Attorney General and the United States Department of Justice have opened investigations into communications between the CPUC and regulated entities. PG&E has fired three senior executives. A senior CPUC official has resigned, while other top CPUC officials – including longtime CPUC President Michael Peevey and Executive Director Paul Clannon – have retired under pressure.
Audits reveal CPUC’s efforts are lacking. In recent years, the CPUC has undergone a number of audits related to its budget, transportation program, natural gas pipeline safety program and others. The findings of these audits have raised concerns about the ability of CPUC to manage even some of its core functions. A March 2014 audit by the State Auditor found that “the commission lacks adequate processes for sufficient oversight of utility balancing accounts to protect ratepayers from unfair rate increases.” The NTSB San Bruno investigation report and subsequent audits found that CPUC’s oversight of natural gas pipeline safety efforts by the utilities needs improvements.
The CPUC quasi-independent, but still accountable to the Legislature. The CPUC was established by constitutional amendment as part of the sweep of progressive reforms in the early 1900s. Then-Governor Hiram Johnson pushed for reforms of the Railroad Commission, which became today’s CPUC, as a largely independent agency that would guard against the corrupting influence of railroads. In demonstration of its independence, the CPUC was located in San Francisco, a distance from the state capitol in Sacramento. Article XII of the California Constitution grants the CPUC authority to regulate public utilities "subject to control of the Legislature" and grants the Legislature "plenary power" to confer authority and jurisdiction upon the CPUC, with the intent that the CPUC be accountable to the Legislature.
Reporting to the Legislature. Current law requires the CPUC to publish an annual workplan by February 1st and for the president of the CPUC to appear annually before the relevant legislative policy committees. SB 48 proposes several amendments to ensure the CPUC’s annual report more accurately reflects the agency’s progress related to timeliness of proceedings and the need to ensure the work of the agency is evaluated based on establishing annual goals and performance criteria. This bill also requires an annual performance evaluation of the executive director by the CPUC based on the established workplan.
Code of ethics. Most state agencies follow the APA rules and requirements for rulemakings and enforcement proceedings. However, as a quasi-independent agency, the CPUC is exempt from the APA and instead follows its own rules and procedures. SB 48 proposes to apply the APA Code of Ethics to adjudication proceedings of the CPUC to align with other state agencies.
Appeals. A party wishing to appeal a decision of the CPUC can appeal to the CPUC’s own court or the California Supreme Court. This unique limitation to CPUC processes means most decisions of the agency stand as it is unlikely the Supreme Court will wish to hear many of these cases. This bill proposes to allow any action related to the Bagley-Keene Open Meetings Act or the California Public Records Act to be petitioned at a superior court, where there is greater opportunity to have a case heard.
Affected stakeholders. This bill proposes a requirement on the CPUC to affirmatively seek out the views and input of those impacted most by a proposed proceeding or investigation. One of the many criticisms of the CPUC is the challenges of identifying who may be interested and facilitating their participation as a party in a proceeding. CPUC processes are legalistic and archaic and can be off-putting to the average resident who wants to participate. However, the CPUC should be encouraged to make every feasible effort to connect with those most affected by their decisions, whether it is a community affected by increased water rates or low-income residents who can benefit from public purpose programs.
Prior/Related Legislation
AB 825 (Rendon, 2015), which was vetoed, would have proposed a suite of reforms of the CPUC to make the agency more accessible and transparent to the public.
AB 1023 (Rendon, 2015), which was vetoed, would have proposed to codify the summary log requirements currently required at the CPUC for ratesetting proceedings and extends those requirements to quasi-legislative proceedings.
SB 215 (Leno, 2015) proposed a suite of reforms of the CPUC related to governance and operations, including disqualification of commissioners to proceedings, modifying the role of the president, and other reforms. Many of the provisions of this bill were amended into SB 660. The bill is currently in the Senate Energy, Utilities and Communications Committee.
SB 660 (Leno and Hueso, 2015), which was vetoed, would have proposed reforms of the ex parte communications laws related to ratesetting and quasi-legislative proceedings, addressed the process for disqualifying a commissioner from a proceeding, and other reforms of the CPUC.
SB 611 (Hill, as amended April 13, 2013) proposed some of the same changes suggested in SB 48, including repealing some of the powers of the president. The bill was successfully voted out of Senate Committee on Energy, Utilities and Communications. It was subsequently amended numerous times, and ultimately chaptered into law with unrelated language regarding modified limousines.
FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No
According to the Assembly Appropriations Committee:
Significant one-time information technology upgrades, including contracting, systems development, staffing, and implementation costs of approximately $7.5 million to fulfill the public information requirements of this bill.
Ongoing annual costs of approximately $1.7 million to maintain and operate the new information technology systems.
One-time costs of $120,000 a year for two years for a proceeding to establish rules for outreach, and ongoing costs of up to $400,000 per year to seek the views of interested persons.
Ongoing annual legal costs of approximately $335,000 for the workload associated with superior court reviews of Bagley-Keene Open Meeting and Public Records Acts enforcement actions.
Ongoing annual costs of up to $120,000 to hold at least six meetings in Sacramento instead of San Francisco. This includes the costs of meetings sites, equipment, and staff travel.
Ongoing annual costs of $35,000 for increased reporting requirements.
California Newspaper Publishers Association
Communications Workers of America, District 9 AFL-CIO
Sierra Club California
The Utility Reform Network
OPPOSITION: (Verified 10/21/15)
None received
ARGUMENTS IN SUPPORT: The author argues that the current governance structure, whereby the president of the CPUC is able to direct the CPUC staff, is not working. The author cites a string of incidents, including some involving management of ratepayer money, management staff leadership failures, and recent scandals, as evidence that the current system is broken. The author commends the leadership of the CPUC for taking some positive steps in recent months. However, he cautions these changes should not be temporary. Therefore, permanent changes are needed of the agency as defined in this bill.
ARGUMENTS IN OPPOSITION: The opponents expressed concerns that the current powers of the president should be preserved. They argue that not having a strong president will result in the ALJ having dominance in decision-making.
GOVERNOR'S VETO MESSAGE:
I am returning Senate Bill 18, Senate Bill 48 and Assembly Bill 825 without my signature.
These bills include various provisions to increase transparency and accessibility to the Public Utilities Commission. I support the intent of these bills and many of their proposed reforms, however some additional work is needed to ensure that they achieve their intended purposes and can be effectively implemented.
Allowing Bagley-Keene and Public Records Act lawsuits to be brought against the Commission by any interested party in Superior Court, rather than exclusively in the Courts of Appeal and the California Supreme Court, will only result in increased litigation and likely delay Commission decision-making. It will not improve public access to critical information about the actions of regulated entities. Amending Section 583 of the Public Utilities Code to require more information to be publicly available is a much better way to ensure that the public is provided with this information.
Moreover, the Commission needs sufficient funds to fully accomplish some of these reforms, such as holding more public meetings outside of San Francisco, shortening the timeframe for concluding formal ratesetting and quasi-legislative proceedings and expanding the scope of the information required to be posted on the CPUC's web site. I am directing the Commission to work with the Legislature through the budget process to ensure the necessary funds are dedicated to accomplish these needed reforms.
ASSEMBLY FLOOR: 79-0, 9/11/15
AYES: Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle, Daly, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Linder, Lopez, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen, Patterson, Perea, Quirk, Rendon, Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk, Wood, Atkins
NO VOTE RECORDED: Williams
Prepared by: Nidia Bautista / E., U., & C. / (916) 651-4107
11/4/15 14:11:57
**** END ****
SB 48
Page 7
|
Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 |
UNFINISHED BUSINESS
Bill No: SB 48
Amended: 9/9/15
SENATE ENERGY, U. & C. COMMITTEE: 9-0, 4/27/15
AYES: Hueso, Fuller, Cannella, Hertzberg, Hill, Leyva, McGuire, Morrell, Wolk
NO VOTE RECORDED: Lara, Pavley
SENATE APPROPRIATIONS COMMITTEE: 7-0, 5/28/15
AYES: Lara, Bates, Beall, Hill, Leyva, Mendoza, Nielsen
SENATE FLOOR: 39-0, 6/1/15
AYES: Allen, Anderson, Bates, Beall, Block, Cannella, De León, Fuller, Gaines, Galgiani, Glazer, Hall, Hancock, Hernandez, Hertzberg, Hill, Hueso, Huff, Jackson, Lara, Leno, Leyva, Liu, McGuire, Mendoza, Mitchell, Monning, Moorlach, Morrell, Nguyen, Nielsen, Pan, Pavley, Roth, Runner, Stone, Vidak, Wieckowski, Wolk
NO VOTE RECORDED: Berryhill
ASSEMBLY FLOOR: Not available
SUBJECT: Public Utilities Commission
DIGEST: This bill proposes a suite of reforms of the governance and operations of the California Public Utilities Commission (CPUC), including, among others, requiring sessions in Sacramento, applying the Code of Ethics from the Administrative Procedures Act (APA) to administrative law judges (ALJs), clarifying and augmenting the information the CPUC must provide the Legislature in its annual report, and others.
Assembly Amendments remove provisions in this bill limiting the powers of the president, shift report requirements to a separate section of the Public Utilities Code, and make other technical and clarifying amendments.
Existing law:
Establishes the CPUC with five members appointed by the Governor and confirmed by the Senate and empowers it to regulate privately owned public utilities in California. (Article XII of the California Constitution; Public Utilities Code §301 et seq.)
Requires the Governor to designate one of the commissioners as president who is granted with certain authority not provided to the other four commissioners. These powers include the ability to direct the executive director, the general counsel and staff, as well as, preside over all CPUC meetings, and other powers. (Public Utilities Code §305)
Requires the CPUC to hold at least one hearing per calendar month in the City and County of San Francisco. (Public Utilities Code §306)
Authorizes the CPUC to appoint a general counsel to represent the CPUC in all actions, to commence, prosecute or intervene in proceedings as directed by the president, and to advise the CPUC and each commissioner on all matters. (Public Utilities Code §307)
Requires the president of the CPUC to annually appear before the appropriate legislative policy committees. (Public Utilities Code §321.6)
Exempts the CPUC from the APA. (Public Utilities Code §1701)
Provides that the California Supreme Court and the court of appeal of the CPUC shall be the venues to address appeals of CPUC decisions. (Public Utilities Code §1701.6)
Establishes rules for state agencies to ensure meetings are open, public and available to all, as noted in the Bagley-Keene Open Meeting Act. Restricts a majority of members of a state governing body from meeting without proper notice, public access, and transparency. (Government Code §11120)
This bill:
Finds it is the intent of the Legislature that the CPUC should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
Requires the CPUC to make information about the operation of the office of public advisor and other specified information available on the Internet. Requires that information is available regarding how the public and ratepayers can access the CPUC’s ratemaking process.
Requires the CPUC to hold no less than six sessions per year in the City of Sacramento.
Directs the CPUC to modify their annual report, a document that is published and provided to the Legislature by February 1st, to include performance criteria for both the CPUC and executive director, and annually evaluate the executive director based on the performance criteria, an accounting of the CPUC’s proceedings and other specified information.
Requires the CPUC to create a report regarding the cases before the agency, including timeliness in resolving the cases, approvals for rehearings, number of scoping memos issued in each proceeding, number of orders issued, and other items.
Requires the ALJs to adhere to ethics provisions of the APA for adjudicated proceedings.
Requires the CPUC to seek the views of those who are likely affected by a decision or proceeding, except in adjudicated cases, and requires the CPUC to demonstrate their efforts to engage these residents within the text of the order.
Provides that actions to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act can be taken to the superior court.
Includes chaptering amendments related to AB 825 (Rendon, 2015) and the Budget Act of 2015.
Background
Fatal explosion in San Bruno. On September 9, 2010, a natural gas pipeline owned by Pacific Gas and Electric Company (PG&E) exploded in a residential neighborhood in the City of San Bruno. Eight people died, dozens were injured, 38 houses were destroyed and many more were damaged. The investigations by the National Transportation Safety Board (NTSB) and an independent review panel appointed by the CPUC found that PG&E mismanaged their pipeline over decades, failed to adequately test the strength of the pipeline and, more generally, valued profits over safety. These same investigations also noted the CPUC’s inadequate oversight of PG&E.
Emails demonstrate “Culture of Conversation.” During the summer and fall of 2014, PG&E, bowing to legal pressure from the City of San Bruno, began to release a growing number of emails between the utility and CPUC officials. PG&E released 65,000 emails from over a five-year period many of which PG&E says it believes “violated CPUC rules governing ex parte communications.” The initial release of emails exposed regular, private, familiar communications between PG&E and certain CPUC commissioners.
Criminal investigations opened. Since PG&E’s initial release of the emails, both the state Attorney General and the United States Department of Justice have opened investigations into communications between the CPUC and regulated entities. PG&E has fired three senior executives. A senior CPUC official has resigned, while other top CPUC officials – including longtime CPUC President Michael Peevey and Executive Director Paul Clannon – have retired under pressure.
Audits reveal CPUC’s efforts are lacking. In recent years, the CPUC has undergone a number of audits related to its budget, transportation program, natural gas pipeline safety program and others. The findings of these audits have raised concerns about the ability of CPUC to manage even some of its core functions. A March 2014 audit by the State Auditor found that “the commission lacks adequate processes for sufficient oversight of utility balancing accounts to protect ratepayers from unfair rate increases.” The NTSB San Bruno investigation report and subsequent audits found that CPUC’s oversight of natural gas pipeline safety efforts by the utilities needs improvements.
The CPUC quasi-independent, but still accountable to the Legislature. The CPUC was established by constitutional amendment as part of the sweep of progressive reforms in the early 1900s. Then-Governor Hiram Johnson pushed for reforms of the Railroad Commission, which became today’s CPUC, as a largely independent agency that would guard against the corrupting influence of railroads. In demonstration of its independence, the CPUC was located in San Francisco, a distance from the state capitol in Sacramento. Article XII of the California Constitution grants the CPUC authority to regulate public utilities "subject to control of the Legislature" and grants the Legislature "plenary power" to confer authority and jurisdiction upon the CPUC, with the intent that the CPUC be accountable to the Legislature.
Reporting to the Legislature. Current law requires the CPUC to publish an annual workplan by February 1st and for the president of the CPUC to appear annually before the relevant legislative policy committees. SB 48 proposes several amendments to ensure the CPUC’s annual report more accurately reflects the agency’s progress related to timeliness of proceedings and the need to ensure the work of the agency is evaluated based on establishing annual goals and performance criteria. This bill also requires an annual performance evaluation of the executive director by the CPUC based on the established workplan.
Code of ethics. Most state agencies follow the APA rules and requirements for rulemakings and enforcement proceedings. However, as a quasi-independent agency, the CPUC is exempt from the APA and instead follows its own rules and procedures. SB 48 proposes to apply the APA Code of Ethics to adjudication proceedings of the CPUC to align with other state agencies.
Appeals. A party wishing to appeal a decision of the CPUC can appeal to the CPUC’s own court or the California Supreme Court. This unique limitation to CPUC processes means most decisions of the agency stand as it is unlikely the Supreme Court will wish to hear many of these cases. This bill proposes to allow any action related to the Bagley-Keene Open Meetings Act or the California Public Records Act to be petitioned at a superior court, where there is greater opportunity to have a case heard.
Affected stakeholders. This bill proposes a requirement on the CPUC to affirmatively seek out the views and input of those impacted most by a proposed proceeding or investigation. One of the many criticisms of the CPUC is the challenges of identifying who may be interested and facilitating their participation as a party in a proceeding. CPUC processes are legalistic and archaic and can be off-putting to the average resident who wants to participate. However, the CPUC should be encouraged to make every feasible effort to connect with those most affected by their decisions, whether it is a community affected by increased water rates or low-income residents who can benefit from public purpose programs.
Prior/Related Legislation
AB 825 (Rendon, 2015) proposes a suite of reforms of the CPUC to make the agency more accessible and transparent to the public. The bill is currently headed to the Assembly Floor for concurrence.
AB 1023 (Rendon, 2015) proposes to codify the summary log requirements currently required at the CPUC for ratesetting proceedings and extends those requirements to quasi-legislative proceedings. The bill is currently on the Assembly Floor for concurrence.
SB 215 (Leno, 2015) proposed a suite of reforms of the CPUC related to governance and operations, including disqualification of commissioners to proceedings, modifying the role of the president, and other reforms. Many of the provisions of this bill were amended into SB 660. The bill is currently in the Senate Energy, Utilities and Communications Committee.
SB 660 (Leno and Hueso, 2015) proposes reforms of the ex parte communications laws related to ratesetting and quasi-legislative proceedings, addresses the process for disqualifying a commissioner from a proceeding, and other reforms of the CPUC. The bill is on the Senate Floor for a concurrence vote.
SB 611 (Hill, as amended April 13, 2013) proposed some of the same changes suggested in SB 48, including repealing some of the powers of the president. The bill was successfully voted out of Senate Committee on Energy, Utilities and Communications. It was subsequently amended numerous times, and ultimately chaptered into law with unrelated language regarding modified limousines.
FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No
According to the Assembly Appropriations Committee:
Significant one-time information technology upgrades, including contracting, systems development, staffing, and implementation costs of approximately $7.5 million to fulfill the public information requirements of this bill.
Ongoing annual costs of approximately $1.7 million to maintain and operate the new information technology systems.
One-time costs of $120,000 a year for two years for a proceeding to establish rules for outreach, and ongoing costs of up to $400,000 per year to seek the views of interested persons.
Ongoing annual legal costs of approximately $335,000 for the workload associated with superior court reviews of Bagley-Keene Open Meeting and Public Records Acts enforcement actions.
Ongoing annual costs of up to $120,000 to hold at least six meetings in Sacramento instead of San Francisco. This includes the costs of meetings sites, equipment, and staff travel.
Ongoing annual costs of $35,000 for increased reporting requirements.
California Newspaper Publishers Association
Communications Workers of America, District 9 AFL-CIO
Sierra Club California
The Utility Reform Network
OPPOSITION: (Verified 9/11/15)
None received
ARGUMENTS IN SUPPORT: The author argues that the current governance structure, whereby the president of the CPUC is able to direct the CPUC staff, is not working. The author cites a string of incidents, including some involving management of ratepayer money, management staff leadership failures, and recent scandals, as evidence that the current system is broken. The author commends the leadership of the CPUC for taking some positive steps in recent months. However, he cautions these changes should not be temporary. Therefore, permanent changes are needed of the agency as defined in this bill.
ARGUMENTS IN OPPOSITION: The opponents expressed concerns that the current powers of the president should be preserved. They argue that not having a strong president will result in the ALJ having dominance in decision-making.
Prepared by: Nidia Bautista / E., U., & C. / (916) 651-4107
9/11/15 19:33:04
**** END ****
SB 48
Page 3
SENATE THIRD READING
SB 48
(Hill)
As Amended September 9, 2015
Majority vote
SENATE VOTE: 39-0
Committee |
Votes |
Ayes |
Noes |
Utilities |
14-0 |
Rendon, Patterson, Achadjian, Bonilla, Burke, Dahle, Eggman, Cristina Garcia, Hadley, Obernolte, Quirk, Santiago, Ting, Williams |
|
Appropriations |
17-0 |
Gomez, Bigelow, Bloom, Bonta, Calderon, Chang, Nazarian, Eggman, Gallagher, Eduardo Garcia, Holden, Jones, Quirk, Rendon, Wagner, Weber, Wood |
|
SUMMARY: Proposes a suite of reforms on the governance and operations of the California Public Utilities Commission (CPUC). Specifically, this bill:
Requires the CPUC to hold at least six commission sessions each year in Sacramento.
Requires the CPUC to publish and include all written testimony in proceeding docket cards. Requires the CPUC to post information on the Internet regarding how the public can access the ratemaking process, the role of the Office of the Public Advisor, and how the Office of the Public Advisor can be of assistance.
Expands reporting requirements to include specified information regarding the details of CPUC cases and proceedings, and requires the CPUC president to report on the timeliness of resolving cases annually before the appropriate legislative policy committees.
Expands the reporting requirements of the CPUC's annual workplan to include, among other things, performance criteria for the CPUC and its executive director, as well as an annual evaluation of the executive director based on the performance criteria.
Subjects the CPUC's adjudication proceedings to the Administrative Adjudication Code of Ethics.
With the exception of adjudicated proceedings, requires the CPUC to seek and engage the views of those likely to be affected by a decision or proceeding, as specified. Requires the CPUC to annually publish and update its outreach activities.
Provides that actions to enforce the CPUC's process for handling and determining disclosable public records, as well as actions to enforce Bagley-Keene Open Meetings Act requirements, may be taken to the superior court.
Makes various legislative findings regarding the judicial review provisions of the Bagley-Keene Open Meetings Act.
Makes other technical and clarifying changes to address chaptering out conflicts.
FISCAL EFFECT: According to the Assembly Appropriations Committee, this bill would have the following costs:
Significant one-time information technology upgrades, including contracting, systems development, staffing, and implementation costs of approximately $7.5 million to fulfill the public information requirements of the bill.
Ongoing annual costs of approximately $1.7 million to maintain and operate the new information technology systems.
One-time costs of $120,000 a year for two years for a proceeding to establish rules for outreach, and ongoing costs of up to $400,000 per year to seek the views of interested persons.
Ongoing annual legal costs of approximately $335,000 for the workload associated with superior court reviews of Bagley-Keene Open Meeting and Public Records Acts enforcement actions.
Ongoing annual costs of up to $120,000 to hold at least six meetings in Sacramento instead of San Francisco. This includes the costs of meetings sites, equipment, and staff travel.
Potential increased annual costs in the range of tens of thousands of dollars to the low hundreds of thousands of dollars for additional meetings in order for the Commission, rather than the president, to direct the executive director, attorney, and staff.
Ongoing annual costs of $35,000 for increased reporting requirements.
COMMENTS:
Author's Statement: "Recent scandals at the [CPUC] have highlighted the need for more visibility in the interactions between Commissioners and regulated utilities, and a series of embarrassing audits of the CPUC's mismanagement of public funds and poor safety oversight point toward poor management of the organization. SB 48 would reform the CPUC's governance structure, more clearly outlining the roles and responsibilities of Commissioners and staff, and require the CPUC to reach out to communities affected by CPUC decisions instead of only the regulated utilities."
Background: California Constitution Article XII establishes the CPUC, and grants it the authority to regulate public utilities. The CPUC is governed by five full-time commissioners appointed by the Governor and confirmed by the State Senate. Commissioners are appointed for six-year terms and can only be removed by the Legislature. Beginning in 2014, Pacific Gas and Electric began releasing over 65,000 emails from a five-year period between utility executives and CPUC officials. The emails revealed discussions on subjects the CPUC was deliberating within a number of proceedings, many of which arguably violated CPUC's rules governing ex parte communications, including emails pertaining to the selection of administrative law judges for ratesetting cases.
This bill makes changes to the operation and governance of the CPUC, including requiring the CPUC to hold at least six sessions each year in Sacramento.
Bagley-Keene Open Meeting Act: The CPUC is subject to the Bagley-Keene Open Meeting Act, which requires state entities take "action" only at a public meeting following public posting of an agenda describing the item for proposed action. Any private gathering of a majority of the members of a state body at the same time and place to hear, discuss, or deliberate upon any item that is within its jurisdiction is unlawful.
This bill provides that actions to enforce the Bagley-Keene Open Meeting Act and the CPUC's process for disclosing public records may be taken to the superior court. This bill also makes various legislative findings regarding the judicial review provisions of the Bagley-Keene Open Meeting Act.
CPUC's Internal Deficiencies: The CPUC has recently undergone a number of audits related to its budget, transportation program, natural gas pipeline safety program, among other internal functions. The findings of these audits have raised questions about the CPUC's ability to manage even some of its core functions. In March 2014, an audit by the State Auditor found that "the commission lacks adequate process for sufficient oversight of utility balancing accounts to protect ratepayers from unfair rate increases."
This bill makes various changes to the CPUC to promote greater transparency, including expanding reporting requirements regarding cases, proceedings, and its annual workplan, as specified. This bill also requires the CPUC to promote greater public involvement by publishing information online and engaging in outreach activities, as specified.
Analysis Prepared by: Edmond Cheung / U. & C. / (916) 319-2083 FN: 0002338
SB 48
Page 3
SENATE THIRD READING
SB 48
(Hill)
As Amended September 4, 2015
Majority vote
SENATE VOTE: 39-0
Committee |
Votes |
Ayes |
Noes |
Utilities |
14-0 |
Rendon, Patterson, Achadjian, Bonilla, Burke, Dahle, Eggman, Cristina Garcia, Hadley, Obernolte, Quirk, Santiago, Ting, Williams |
|
Appropriations |
17-0 |
Gomez, Bigelow, Bloom, Bonta, Calderon, Chang, Nazarian, Eggman, Gallagher, Eduardo Garcia, Holden, Jones, Quirk, Rendon, Wagner, Weber, Wood |
|
SUMMARY: Proposes a suite of reforms on the governance and operations of the California Public Utilities Commission (CPUC). Specifically, this bill:
Requires the CPUC to hold at least six commission sessions each year in Sacramento.
Requires the CPUC to publish and include all written testimony in proceeding docket cards. Requires the CPUC to post information on the Internet regarding how the public can access the ratemaking process, the role of the Office of the Public Advisor, and how the Office can be of assistance.
Expands reporting requirements to include specified information regarding the details of CPUC cases and proceedings, and requires the CPUC president to report on the timeliness of resolving cases annually before the appropriate legislative policy committees.
Expands the reporting requirements of the CPUC's annual workplan to include, among other things, performance criteria for the CPUC and its executive director, as well as an annual evaluation of the executive director based on the performance criteria.
Subjects the CPUC's adjudication proceedings to the Administrative Adjudication Code of Ethics.
With the exception of adjudicated proceedings, requires the CPUC to seek and engage the views of those likely to be affected by a decision or proceeding, as specified. Requires the CPUC to annually publish and update its outreach activities.
Provides that actions to enforce the CPUC's process for handling and determining disclosable public records, as well as actions to enforce Bagley-Keene Open Meetings Act requirements, may be taken to the superior court.
Makes various legislative findings regarding the judicial review provisions of the Bagley-Keene Open Meetings Act.
Makes other technical and clarifying changes to address chaptering out conflicts.
FISCAL EFFECT: According to the Assembly Appropriations Committee, this bill would have the following costs:
Significant one-time information technology upgrades, including contracting, systems development, staffing and implementation costs of approximately $7.5 million to fulfill the public information requirements of the bill.
Ongoing annual costs of approximately $1.7 million to maintain and operate the new information technology systems.
One-time costs of $120,000 a year for two years for a proceeding to establish rules for outreach, and ongoing costs of up to $400,000 per year to seek the views of interested persons.
Ongoing annual legal costs of approximately $335,000 for the workload associated with superior court reviews of Bagley-Keene Open Meeting and Public Records Acts enforcement actions.
Ongoing annual costs of up to $120,000 to hold at least six meetings in Sacramento instead of San Francisco. This includes the costs of meetings sites, equipment, and staff travel.
Potential increased annual costs in the range of tens of thousands of dollars to the low hundreds of thousands of dollars for additional meetings in order for the Commission, rather than the president, to direct the executive director, attorney, and staff.
Ongoing annual costs of $35,000 for increased reporting requirements.
COMMENTS:
Author's Statement: "Recent scandals at the [CPUC] have highlighted the need for more visibility in the interactions between Commissioners and regulated utilities, and a series of embarrassing audits of the CPUC’s mismanagement of public funds and poor safety oversight point toward poor management of the organization. SB 48 would reform the CPUC’s governance structure, more clearly outlining the roles and responsibilities of Commissioners and staff, and require the CPUC to reach out to communities affected by CPUC decisions instead of only the regulated utilities."
Background: California Constitution Article XII establishes the CPUC and grants it the authority to regulate public utilities. The CPUC is governed by five full-time commissioners appointed by the Governor and confirmed by the State Senate. Commissioners are appointed for six-year terms and can only be removed by the Legislature. Beginning in 2014, Pacific Gas & Electric began releasing over 65,000 emails from a five-year period between utility executives and CPUC officials. The emails revealed discussions on subjects the CPUC was deliberating within a number of proceedings, many of which arguably violated CPUC's rules governing ex parte communications, including emails pertaining to the selection of administrative law judges for ratesetting cases.
This bill makes changes to the operation and governance of the CPUC, including requiring the CPUC to hold at least six sessions each year in Sacramento.
Bagley-Keene Open Meeting Act: The CPUC is subject to the Bagley-Keene Open Meeting Act, which requires state entities take "action" only at a public meeting following public posting of an agenda describing the item for proposed action. Any private gathering of a majority of the members of a state body at the same time and place to hear, discuss, or deliberate upon any item that is within its jurisdiction is unlawful.
This bill provides that actions to enforce the Bagley-Keene Open Meeting Act and the CPUC's process for disclosing public records may be taken to the superior court. This bill also makes various legislative findings regarding the judicial review provisions of the Bagley-Keene Open Meeting Act.
CPUC's Internal Deficiencies: The CPUC has recently undergone a number of audits related to its budget, transportation program, natural gas pipeline safety program, among other internal functions. The findings of these audits have raised questions about the CPUC's ability to manage even some of its core functions. In March 2014, an audit by the State Auditor found that "the commission lacks adequate process for sufficient oversight of utility balancing accounts to protect ratepayers from unfair rate increases."
This bill makes various changes to the CPUC to promote greater transparency, including expanding reporting requirements regarding cases, proceedings, and its annual workplan, as specified. This bill also requires the CPUC to promote greater public involvement by publishing information online and engaging in outreach activities, as specified.
Analysis Prepared by: Edmond Cheung / U. & C. / (916) 319-2083 FN: 0002133
SB 48
Page 3
SENATE THIRD READING
SB 48
(Hill)
As Amended August 28, 2015
Majority vote
SENATE VOTE: 39-0
Committee |
Votes |
Ayes |
Noes |
Utilities |
14-0 |
Rendon, Patterson, Achadjian, Bonilla, Burke, Dahle, Eggman, Cristina Garcia, Hadley, Obernolte, Quirk, Santiago, Ting, Williams |
|
Appropriations |
17-0 |
Gomez, Bigelow, Bloom, Bonta, Calderon, Chang, Nazarian, Eggman, Gallagher, Eduardo Garcia, Holden, Jones, Quirk, Rendon, Wagner, Weber, Wood |
|
SUMMARY: Proposes a suite of reforms on the governance and operations of the California Public Utilities Commission (CPUC). Specifically, this bill:
Repeals the CPUC President's authority to direct the executive director, the chief counsel, and other commission staff. Makes related conforming changes.
Requires the CPUC to hold at least six sessions each year in Sacramento.
Requires the CPUC to publish and include all written testimony in proceeding docket cards. Requires the CPUC to post information on the Internet regarding how the public can access the ratemaking process, the role of the Office of the Public Advisor, and how the Office can be of assistance.
Expands reporting requirements to include specified information regarding the details of CPUC cases and proceedings, and requires the CPUC president to report on the timeliness of resolving cases annually before the appropriate legislative policy committees.
Expands the reporting requirements of the CPUC's annual workplan to include, among other things, performance criteria for the CPUC and its executive director, as well as an annual evaluation of the executive director based on the performance criteria.
Subjects the CPUC's adjudication proceedings to the Administrative Adjudication Code of Ethics.
With the exception of adjudicated proceedings, requires the CPUC to seek and engage the views of those likely to be affected by a decision or proceeding, as specified. Requires the CPUC to annually publish and update its outreach activities.
Provides that actions to enforce the CPUC's process for handling and determining disclosable public records, as well as actions to enforce Bagley-Keene Open Meetings Act requirements, may be taken to the superior court.
Makes various legislative findings regarding the judicial review provisions of the Bagley-Keene Open Meetings Act.
FISCAL EFFECT: According to the Assembly Appropriations Committee, this bill would have the following costs:
Significant one-time information technology upgrades, including contracting, systems development, staffing and implementation costs of approximately $7.5 million to fulfill the public information requirements of the bill.
Ongoing annual costs of approximately $1.7 million to maintain and operate the new information technology systems.
One-time costs of $120,000 a year for two years for a proceeding to establish rules for outreach, and ongoing costs of up to $400,000 per year to seek the views of interested persons.
Ongoing annual legal costs of approximately $335,000 for the workload associated with superior court reviews of Bagley-Keene Open Meeting and Public Records Acts enforcement actions.
Ongoing annual costs of up to $120,000 to hold at least six meetings in Sacramento instead of San Francisco. This includes the costs of meetings sites, equipment, and staff travel.
Potential increased annual costs in the range of tens of thousands of dollars to the low hundreds of thousands of dollars for additional meetings in order for the Commission, rather than the president, to direct the executive director, attorney, and staff.
Ongoing annual costs of $35,000 for increased reporting requirements.
COMMENTS:
Author's Statement: "Recent scandals at the [CPUC] have highlighted the need for more visibility in the interactions between Commissioners and regulated utilities, and a series of embarrassing audits of the CPUC's mismanagement of public funds and poor safety oversight point toward poor management of the organization. SB 48 would reform the CPUC's governance structure, more clearly outlining the roles and responsibilities of Commissioners and staff, and require the CPUC to reach out to communities affected by CPUC decisions instead of only the regulated utilities."
Background: California Constitution Article XII establishes the CPUC and grants it the authority to regulate public utilities. The CPUC is governed by five full-time commissioners appointed by the Governor and confirmed by the State Senate. Commissioners are appointed for six-year terms and can only be removed by the Legislature. Beginning in 2014, Pacific Gas & Electric began releasing over 65,000 emails from a five year period between utility executives and CPUC officials. The emails revealed discussions on subjects the CPUC was deliberating within a number of proceedings, many of which arguably violated CPUC's rules governing ex parte communications, including emails pertaining to the selection of administrative law judges for ratesetting cases.
This bill makes changes to the operation and governance of the CPUC, including modifying the powers of the CPUC president and requiring the CPUC to hold at least six sessions each year in Sacramento.
Bagley-Keene Open Meeting Act: The CPUC is subject to the Bagley-Keene Open Meeting Act, which requires state entities take "action" only at a public meeting following public posting of an agenda describing the item for proposed action. Any private gathering of a majority of the members of a state body at the same time and place to hear, discuss, or deliberate upon any item that is within its jurisdiction is unlawful.
This bill provides that actions to enforce the Bagley-Keene Open Meeting Act and the CPUC's process for disclosing public records may be taken to the superior court. This bill also makes various legislative findings regarding the judicial review provisions of the Bagley-Keene Open Meeting Act.
CPUC's Internal Deficiencies: The CPUC has recently undergone a number of audits related to its budget, transportation program, natural gas pipeline safety program, among other internal functions. The findings of these audits have raised questions about the CPUC's ability to manage even some of its core functions. In March 2014, an audit by the State Auditor found that "the commission lacks adequate process for sufficient oversight of utility balancing accounts to protect ratepayers from unfair rate increases."
This bill makes various changes to the CPUC to promote greater transparency, including expanding reporting requirements regarding cases, proceedings, and its annual workplan, as specified. This bill also requires the CPUC to promote greater public involvement by publishing information online and engaging in outreach activities, as specified.
Analysis Prepared by: Edmond Cheung / U. & C. / (916) 319-2083 FN: 0001722
Date of Hearing: July 15, 2015
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Jimmy Gomez, Chair
SB 48
(Hill) – As Amended July 7, 2015
Policy Committee: |
Utilities and Commerce |
Vote: |
14 - 0 |
|
|
|
|
|
|
|
|
Urgency: No State Mandated Local Program: No Reimbursable: No
SUMMARY:
This bill makes numerous changes to the operation and governance of the California Public Utilities Commission (PUC). Specifically, this bill:
Repeals the President of the PUC's authority to direct the executive director, the attorney and other commission staff. Makes related conforming changes.
Requires the PUC to hold at least six sessions each year in Sacramento.
Requires the PUC to publish and include all written testimony in proceeding docket cards. Requires the PUC to post information on the Internet regarding how the public can access the ratemaking process, the role of the Office of the Public Advisor, and how the Office can be of assistance.
Expands reporting requirements to include specified information regarding the details of PUC cases and proceedings, and requires the PUC President to report on the timeliness of resolving cases annually before the appropriate legislative policy committees.
Expands the reporting requirements of the PUC's annual workplan to include, among other things, performance criteria for the PUC and its executive director as well as an annual evaluation of the executive director based on the performance criteria.
Subjects the PUC's adjudication proceedings to the Administrative Adjudication Code of Ethics.
With the exception of adjudicated proceedings, requires the PUC to seek and engage the views of those likely to be affected by a decision or proceeding, as specified. Requires the PUC to annually publish and update its outreach activities.
Provides that actions to enforce the PUC's process for handling and determining disclosable public records, as well as actions to enforce Bagley-Keene Open Meetings Act requirements, may be taken to the superior court.
Makes various legislative findings regarding the judicial review provisions of the Bagley-Keene Open Meetings Act.
FISCAL EFFECT:
Significant one-time information technology upgrades, including contracting, systems development, staffing and implementation costs of approximately $7.5 million (Public Utilities Reimbursement Account) to fulfill the public information requirements of the bill.
Ongoing annual costs of approximately $1.7 million (Public Utilities Reimbursement Account) to maintain and operate the new information technology systems.
One-time costs of $120,000 a year for two years for a proceeding to establish rules for outreach, and ongoing costs of up to $400,000 per year (Public Utilities Reimbursement Account) to seek the views of interested persons.
Ongoing annual legal costs of approximately $335,000 for the workload associated with superior court reviews of Bagley-Keene Open Meeting and Public Records Acts enforcement actions.
Ongoing annual costs of up to $120,000 (Public Utilities Reimbursement Account) to hold at least six meetings in Sacramento instead of San Francisco. This includes the costs of meetings sites, equipment and staff travel.
Potential increased annual costs in the range of tens of thousands of dollars to the low hundreds of thousands of dollars (Public Utilities Reimbursement Account) for additional meetings in order for the Commission, rather than the President, to direct the executive director, attorney and staff.
Ongoing annual costs of $35,000 (Public Utilities Reimbursement Account) for increased reporting requirements.
COMMENTS:
Purpose. According to the author, this bill will reform the PUC's governing structure by clearly identifying the roles and responsibilities of Commissioners and staff, and will require PUC to reach out to communities affected by regulatory decisions instead of only regulated utilities.
Background. The PUC is established in the California Constitution and is governed by five full-time commissioners, appointed by the governor and confirmed by the Senate. It is staffed by approximately 1,000 individuals who, together, regulate privately owned electric, natural gas, telecommunications, water, railroad, rail transit, and passenger transportation companies. Staff includes four personal advisors to each Commissioner, except five to the president, as well as the 42 judges of the Administrative Law Division – attorneys, engineers and accountants who prepare the docket for all official filings, including maintenance of the official record of proceedings.
The PUC is subject to the Bagley-Keene Open Meetings Act, which requires a state body to take actions only at a public meeting following the public posting of an agenda describing the item for proposed action at least 10 days prior to the meeting. Any private congregation of a majority of the members of a state body at the same time and place to hear, discuss, or deliberate upon any item that is within its jurisdiction is unlawful. However, only the Supreme Court and the court of appeal have the jurisdiction over any order or decision of the PUC, including Bagley-Keene Open meeting requirements.
PUC Deficiencies. The PUC has recently undergone a number of audits related to its budget, transportation program, natural gas pipeline safety program, and other internal functions. The audit findings raised questions regarding the PUC’s ability to manage its core functions. An audit by the State Auditor in March of 2014 found the Commission lacks adequate process for the sufficient oversight of utility balancing accounts to protect ratepayers from unfair rate increases.
A recent report commissioned by the PUC found ex parte communications to be frequent, pervasive, and at least sometimes outcome-determinative in ratesetting cases.
This bill addresses audit findings of mismanagement of public funds, poor safety oversight, ex-parte communication violations, and failed governance.
Analysis Prepared by: Jennifer Galehouse / APPR. / (916) 319-2081
SB 48
Page 7
Date of Hearing: June 29, 2015
ASSEMBLY COMMITTEE ON UTILITIES AND COMMERCE
Anthony Rendon, Chair
SB 48
(Hill) – As Amended May 6, 2015
SENATE VOTE: 39-0
SUBJECT: Public Utilities Commission.
SUMMARY: This bill proposes a suite of reforms of the governance and operations of the California Public Utilities Commission (CPUC), including, among others, modifying the powers of the president, requiring sessions in Sacramento, applying the Code of Ethics from the Administrative Procedures Act (APA) to administrative law judges (ALJs). Specifically, this bill:
Declares the intent of the Bagley-Keene Open Meeting Act is that actions of state agencies be taken openly and that their deliberations be conducted openly,
Repeals certain powers granted to the president of the CPUC, including the ability to direct the executive director, the general counsel, and other CPUC staff,
Requires the CPUC to hold no less than six sessions per year in the City of Sacramento,
Directs the CPUC to modify their annual workplan report, a document that is published and provided to the Legislature by February 1st, to include performance criteria for both the CPUC and executive director, and annually evaluate the executive director based on the performance criteria,
Requires the CPUC to create a report regarding the cases before the agency, including timeliness in resolving cases, approvals for rehearings, number of scoping memos issued in each proceeding, number of orders issued, and other items,
Requires the president of the CPUC to report on the timeliness in resolving cases during the annual appearance before the appropriate legislative policy committees,
Requires the ALJs to adhere to ethics provisions of the APA for adjudicated proceedings,
Requires the CPUC to seek the views of those who are likely affected by a decision or proceeding, except adjudicated proceedings, and requires the CPUC to demonstrate their efforts to engage these residents within the text of the order,
Provides that actions to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act can be taken to the superior court,
Provides that actions to enforce the CPUC’s process for handling and determining disclosable public records requests can be taken to the superior court,
Requires the CPUC to publish and maintain public versions of all prepared written testimony in the docket card,
Requires the CPUC to post information online about ways the public can access the CPUC’s ratemaking process, and on the operation and role of the public advisor, and
Requires the CPUC to annually publish and update a description of outreach activities to solicit input from customers from diverse regions of the state, report the effectiveness of this process, and post the report in an accessible area of its website.
EXISTING LAW:
Establishes the CPUC with five members appointed by the Governor and confirmed by the Senate, and empowers it to regulate privately-owned public utilities in California. (Article XII of the California Constitution; Public Utilities Code Section 301 et seq.)
Requires the Governor to designate one of the commissioners as president who is granted with certain authority not provided to the other four commissioners. These powers include the ability to direct the executive director, the general counsel and staff, as well as preside over all CPUC meetings, and other powers. (Public Utilities Code Section 305)
Requires the CPUC to hold at least one hearing per calendar month in the City and County of San Francisco. (Public Utilities Code Section 306)
Authorizes the CPUC to appoint a general counsel to represent the CPUC in all actions, to commence, prosecute, or intervene in proceedings as directed by the president, and to advise the CPUC and each commissioner on all matters. (Public Utilities Code Section 307)
Requires the president of the CPUC to annually appear before the appropriate legislative policy committees. (Public Utilities Code Section 321.6)
Exempts the CPUC from the APA. (Public Utilities Code §1701)
Specifies CPUC as the first venue for rehearing a decision and that if rejected by the CPUC allows the California Supreme Court to hear appeals of CPUC decisions. (Public Utilities Code Section 1701.6)
Establishes rules for state agencies to ensure meetings are open, public, and available to all, as noted in the Bagley-Keene Open Meeting Act. Restricts a majority of members of a state governing body from meeting without proper notice, public access, and transparency. (Government Code Section 11120)
FISCAL EFFECT: Unknown.
According to the Senate Appropriations Committee:
Ongoing annual costs in the tens of thousands of dollars and possibly into the low thousands to the Public Utilities Reimbursement Account (special) to have at least six meetings in Sacramento instead of San Francisco.
One-time costs of $160,000 annually for two years followed by estimated annual costs of $360,000 to the Public Utilities Reimbursement Account (special) to seek views of interested persons.
Unknown possible legal costs to the Public Utilities Reimbursement Account (special) to respond to claims under the Bagley-Keene Open Meeting Act.
Minor and absorbable costs to the Public Utilities Reimbursement Account (special) for additional meetings in order for the CPUC to direct the executive director, attorney, and staff.
COMMENTS:
Author’s Statement: “Recent scandals at the California Public Utilities Commission (CPUC) have highlighted the need for more visibility in the interactions between Commissioners and regulated utilities, and a series of embarrassing audits of the CPUC’s mismanagement of public funds poor safety oversight point toward poor management of the organization.”
SB 48 would reform the CPUC’s governance structure, more clearly outlining the roles and responsibilities of the Commissioners and staff, and require the CPUC to reach out to communities affected by CPUC decisions instead of only regulated utilities.”
Background History and Structure of CPUC: The CPUC was established by a constitutional amendment which was part of a sweep of progressive reforms starting in the early 1900s. The Governor at the time, Hiram Johnson, was pushing to limit the influence that the railroad industry had on politics, leading to the establishment of the Railroad Commission, which later became today’s CPUC. To separate the influence of the railroads from Commission that regulated them, the agency was located in San Francisco. Article XII of the California Constitution grants the CPUC authority to regulate public utilities, “subject to the control of the Legislature,” and grants the Legislature plenary power to confer authority and jurisdiction upon the CPUC, with the intent that the CPUC be accountable to the Legislature.
The CPUC is governed by five full-time commissioners appointed by the Governor and confirmed by the Senate. Commissioners are appointed for staggered six-year terms to limit the potential that a single Governor appoints a majority of commissioners within a four-year gubernatorial term. To additionally balance the power of the Governor, the Legislature, not the Executive branch, has the power to remove the commissioners. The CPUC establishes its own procedures and review of CPUC decisions has historically been limited to courts of appeal and the Supreme Court, not to trial courts.
The CPUC is staffed by approximately 1,000 individuals who, together, regulate privately-owned electric, natural gas, telecommunications, water, railroad, rail transit, and passenger transportation companies. CPUC staff includes 4 personal advisors to each commissioner, 5 to the president, as well as the 42 judges of the Administrative Law Division - attorneys, engineers, and accountants who prepare the docket for all CPUC official filings, including maintenance of the official record of proceedings.
The CPUC is subject to the Bagley-Keene Open Meeting Act, which requires state entities take “action” only at a public meeting following public posting of an agenda describing the item for proposed action. Any private gathering of a majority of the members of a state body at the same time and place to hear, discuss, or deliberate upon any item that is within its jurisdiction is unlawful.
Ex Parte Communication Rules: “Ex-parte” communication is any substantive communication outside of the public record that occurs between any decision-maker and a party with an interest in a CPUC proceeding. California law recognizes that ex parte communications can conflict with the need for transparency and public decision-making at the CPUC, and directs the CPUC to adopt regulations and reporting requirements for this type of secluded communication. The regulations are to require the interested party report the communication within three working days of the communication to parties participating in the proceeding on the topic that was discussed in the communication. This law does not apply to the CPUC itself, so the burden of reporting is solely on the interested party.
Though the CPUC is not required to report ex parte communication, the CPUC has still adopted related regulations. The regulations prohibit ex parte communications in adjudicatory proceedings, and allow them without restriction in quasi-legislative proceedings. The regulations also explicitly prohibit ex parte communications regarding the assignment of ALJs to cases.
San Bruno Explosion and Criminal Investigation Opened: On September 9, 2010, a natural gas pipeline owned by Pacific Gas and Electric Company (PG&E) exploded in a residential neighborhood in the City of San Bruno. Eight people died, dozens were injured, thirty-eight houses were destroyed, and many more were damaged. The National Transportation Safety Board (NTSB) and an independent review panel appointed by the CPUC opened investigations and found that PG&E had been mismanaging their pipeline for decades. PG&E had failed to adequately test the strength and durability of the pipeline, and essentially valued profit over the safety of their infrastructure. PG&E was able to do this because of the CPUC’s complete lack of oversight, exploiting a very lax system of regulation and review.
Following the investigation, the Safety and Enforcement Division (SED) of the CPUC formally recommended that the CPUC levy fines of $2.25 billion against PG&E, and that the full amount be used to enhance safety practices and oversight. PG&E protested this recommendation, arguing that they neither could have nor should have known about the pipeline’s safety issues. The CPUC referred the SED’s proposed penalty against PG&E to the Administrative Law Division for assignment to an ALJ. The ALJ was to review the recommendation and propose a final decision on the matter, which the CPUC would later vote to adopt, modify, or reject.
Emails Reveal Relationship between CPUC and PG&E: Beginning in the summer and fall of 2014, PG&E began releasing emails between utility executives and CPUC officials. PG&E released over 65,000 emails from a five-year period, revealing discussions on subjects the CPUC was deliberating within a number of proceedings, many of which arguably violated “CPUC’s rules governing ex parte communications.” Many of the emails exposed regular, private, familiar communications between PG&E and certain CPUC commissioners, including former CPUC President Michael Peevey, current Commissioner Mike Florio, and other senior CPUC officials.
The release of these emails sparked the California State Attorney General and United States Department of Justice to open investigations into communications between the CPUC and the entities it regulates. PG&E fired three senior executives, a senior CPUC official resigned, CPUC President Michal Peevey and Executive Director Paul Clanon retired.
Audits demonstrate CPUC’s internal deficiencies: The CPUC has recently undergone a number of audits related to its budget, transportation program, natural gas pipeline safety program, among other internal functions. The findings of these audits have raised questions about the CPUC’s ability to manage even some of its core functions. An audit by the State Auditor in March of 2014 found that “the commission lacks adequate process for sufficient oversight of utility balancing accounts to protect ratepayers from unfair rate increases.”
A recent report1 commissioned by the CPUC found that ex parte communications are "frequent, pervasive, and at least sometimes outcome-determinative in CPUC ratesetting cases. In general, these practices have the unavoidable effect of moving actual governmental decision-making out of the public eye. And we found that these practices are fundamentally unfair to the parties, who are not adequately informed by opposing parties’ disclosures of what was said ex parte and are sometimes prevented from having ex parte meetings of their own by their adversaries scheduling their meetings at the last-minute. "
The same report goes on to say: "The evidence also supports the claim that present ex parte practices systematically favor the interests of utilities and other well-funded parties."
Addressing the problem: accountability, CPUC, and the Legislature: Legislation proposed over the years aimed at improving accountability at the CPUC. Concurrent with the 1996 electric restructuring, a series of procedural reforms were enacted to improve the accountability of individual commissioners by requiring each commissioner to spend more time in hearings and to take “ownership” of the CPUC’s decisions.
In 1999, the State passed SB 33 (Peace, Chapter 509, Statutes of 1999) which attempted to address a perceived lack of accountability among commissioners and centralized power by increasing the president’s authority. Prior to SB 33, the president was elected by commissioners, and commissioners also appointed the attorney and executive director who served at the direction of the CPUC. SB 33 reorganized the leadership, putting the executive director and general counsel directly under the control of the president. The bill additionally authorized the governor to appoint the president of the CPUC, further decreasing the ability of the CPUC to hold the president and the position accountable.
A number of bills have since attempted to limit the power of the CPUC president, but none of those bills were chaptered. Most recently, SB 611 (Hill) in 2013 proposed several reforms of the CPUC presidency, yet was amended and chaptered with unrelated language.
Comments on SB 48: APA Code of Ethics: Most state agencies follow the Administrative Procedures Act for rulemakings and enforcement proceedings. However, because the CPUC is exempt from the APA, it follows its own rules and procedures. SB 48 proposes to apply the APA Code of Ethics to adjudication proceedings of the CPUC to align its process with other state agencies. This will provide ALJs with an established code of ethics to reference and use when engaging with CPUC officials.
Appeals: Appeals of CPUC decisions are addressed by the CPUC itself (the CPUC determines whether to reopen its decision and consider revisions to its decision or reject the appeal). Following a rejection of a request for a rehearing before the CPUC, the petitioner is entitled to seek relief before California Supreme Court. The Court review is restricted from receiving new evidence and the court is limited in the scope of its determining on whether to reverse a CPUC decision. Most CPUC decisions are upheld. SB 48 proposes to allow any action related to the Bagley-Keene Open Meetings Act of the California Public Records Act to be petitioned at a superior court, where there is greater opportunity to have a case heard.
Impacted Stakeholders: The CPUC has historically been criticized for excluding and misidentifying interested parties and not facilitating their participation. SB 48 proposes a requirement that the CPUC actively seek out the input of those impacted most by a proposed proceeding or investigation at the agency. This provision in SB 48 will encourage the CPUC to engage with communities that their processes and decisions inevitably affect.
Related Legislation:
AB 1494 (Eng) revised the “serial meeting” provision of the Bagley-Keene Open Meeting Act to prohibit members of a state body from using intermediaries to discuss business. The bill was in response to an appellate decision (Wolfe v. City of Fremont (2006) 144 Cal. App. 4th 533) that opined that existing law only prohibited serial meetings if they were to gain concurrence on a voting item. Chaptered by the Secretary of State - Chapter 150, Statutes of 2009.
SB 1234 (Shelley) stated legislative intent to reject a California Supreme Court decision (Regents of University of California v. Superior Court (1999) 20 Cal. 4th 509) in which the Court held that the only remedy under the Bagley-Keene Act for an action taken in violation of that Act is to bring a lawsuit to nullify the action within 30 days. Chaptered by the Secretary of State - Chapter 393, Statutes of 1999.
SB 779 (Calderon) called the Calderon-Peace-McBride Judicial Reform Act of 1998, included transparency provisions and expanded judicial review of CPUC decisions by allowing decisions to be reviewed by not only the Supreme Court but also the courts of appeal, and by allowing them to review decisions made in ratesetting and quasi-legislative proceedings. Chaptered by the Secretary of State - Chapter 886, Statutes of 1998.
SB 33 (Peace) centralized the functioning of the CPUC under its president by putting the CPUC's executive director and general counsel directly under the control of the president. It also made the president more directly accountable to the Governor by allowing the Governor to appoint the president. Chaptered by the Secretary of State - Chapter 509, Statutes of 1999.
SB 532 (Kopp) revised procedures for administrative procedures by, among other things, requiring that all state adjudicative proceedings adhere to an "administrative adjudication bill of rights," which would promote greater due process, fairness, accessibility, objectivity, and consistency in adjudicative proceedings. This bill exempted the CPUC from its requirements. Chaptered by the Secretary of State - Chapter 938, Statutes of 1995.
SB 960 (Leonard) among other things, prescribed separate procedures for proceedings that the CPUC determines to be quasi-legislative, adjudicative, or ratesetting cases, including ex parte rules. Chaptered by the Secretary of State - Chapter 856, Statutes of 1996.
AB 1157 (Ruskin, 2007) provided that the president of the CPUC be elected by the members of the CPUC, rather than be appointed by the Governor. Held in Assembly Committee on Appropriations.
AB 1973 (Ruskin, 2008) required Senate confirmation of the Governor-appointed president of the CPUC, and had the executive director and attorney take direction from the CPUC rather than the president. Failed in the Assembly, on Concurrence.
Support and Opposition:
Supporters argue SB 48 addressees long-needed reforms and will assist the CPUC in carrying out its mission to serve the public interest and hold the CPUC more accountable at a time when it is being scrutinized for its secrecy and coziness with the companies it is supposed to regulate.
There is no opposition on file.
REGISTERED SUPPORT / OPPOSITION:
Support
California Newspaper Publishers Association
Communication Workers of America
The Utility Reform Network
Opposition
None on file.
Analysis Prepared by: Allegra Roth / U. & C. / (916) 319-2083
1 Report to the California Public Utilities Commission Regarding Ex Parte Communications and Related Practices, , M. Strumwasser and B. Grossman Palmer, Strumwasser and Woocher LLP, June 11, 2015
SB 48
Page 9
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Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 |
THIRD READING
Bill No: SB 48
Amended: 5/6/15
SENATE ENERGY, U. & C. COMMITTEE: 9-0, 4/27/15
AYES: Hueso, Fuller, Cannella, Hertzberg, Hill, Leyva, McGuire, Morrell, Wolk
NO VOTE RECORDED: Lara, Pavley
SENATE APPROPRIATIONS COMMITTEE: 7-0, 5/28/15
AYES: Lara, Bates, Beall, Hill, Leyva, Mendoza, Nielsen
SUBJECT: Public Utilities Commission
DIGEST: This bill proposes a suite of reforms of the governance and operations of the California Public Utilities Commission (CPUC), including, among others, modifying the powers of the president, requiring sessions in Sacramento, applying the Code of Ethics from the Administrative Procedures Act (APA) to administrative law judges (ALJs).
Existing law:
Establishes the CPUC with five members appointed by the Governor and confirmed by the Senate and empowers it to regulate privately-owned public utilities in California. Specifies that the Legislature may prescribe that additional classes of private corporations or other persons are public utilities. (Article XII of the California Constitution; Public Utilities Code §301 et seq.)
Requires the Governor to designate one of the commissioners as president who is granted with certain authority not provided to the other four commissioners. These powers include the ability to direct the executive director, the general counsel and staff, as well as, preside over all CPUC meetings, and other powers. (Public Utilities Code §305)
Requires the CPUC to hold at least one hearing per calendar month in the City and County of San Francisco. (Public Utilities Code §306)
Authorizes the CPUC to appoint a general counsel to represent the CPUC in all actions, to commence, prosecute or intervene in proceedings as directed by the president, and to advise the CPUC and each commissioner on all matters. (Public Utilities Code §307)
Requires the president of the CPUC to annually appear before the appropriate legislative policy committees. (Public Utilities Code §321.6)
Exempts the CPUC from the APA. (Public Utilities Code §1701)
Provides that the California Supreme Court and the court of appeal of the CPUC shall be the venues to address appeals of CPUC decisions. (Public Utilities Code §1701.6)
Establishes rules for state agencies to ensure meetings are open, public and available to all, as noted in the Bagley-Keene Open Meeting Act. Restricts a majority of members of a state governing body from meeting without proper notice, public access, and transparency. (Government Code §11120)
This bill:
Repeals certain powers granted to the president of the CPUC, including the ability to direct the executive director, the general counsel, and other CPUC staff.
Requires the CPUC to hold no less than six sessions per year in the City of Sacramento.
Finds it is the intent of the Legislature that the CPUC should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act, including those noted in Government Code §11130 et seq, which provide for the ability of the Attorney General and other parties to take legal action against a governing body who violates the Bagley-Keene Open Meeting Act.
Directs the CPUC to modify their annual workplan report, a document that is published and provided to the Legislature by February 1st, to include performance criteria for both the CPUC and executive director, and annually evaluate the executive director based on the performance criteria.
Requires the CPUC to create a report regarding the cases before the agency, including timeliness in resolving the cases, approvals for rehearings, number of scoping memos issued in each proceeding, number of orders issued, and other items.
Requires the president of the CPUC to report on the timeliness in resolving cases during the annual appearance before the appropriate legislative policy committees.
Requires the ALJs to adhere to ethics provisions of the APA for adjudicated proceedings.
Requires the CPUC to seek the views of those who are likely affected by a decision or proceeding, except adjudicated proceedings, and requires the CPUC to demonstrate their efforts to engage these residents within the text of the order.
Provides that actions to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act can be taken to the superior court.
Background
CPUC in 2015. The CPUC is governed by five full-time commissioners, appointed by the Governor and confirmed by the Senate, and staffed by approximately 1,000 individuals who, together, regulate privately-owned electric, natural gas, telecommunications, water, railroad, rail transit, and passenger transportation companies. CPUC staff includes four personal advisors to each commissioner, except five to the president, as well as the 42 judges of the Administrative Law Division – attorneys, engineers, and accountants who prepare the docket for all CPUC official filings, including maintenance of the official record of proceedings.
Fatal explosion in San Bruno. On September 9, 2010, a natural gas pipeline owned by Pacific Gas and Electric Company (PG&E) exploded in a residential neighborhood in the City of San Bruno. Eight people died, dozens were injured, 38 houses were destroyed and many more were damaged. The investigations by the National Transportation Safety Board (NTSB) and an independent review panel appointed by the CPUC found that PG&E mismanaged their pipeline over decades, failed to adequately test the strength of the pipeline and, more generally, valued profits over safety. These same investigations also noted the CPUC’s inadequate oversight of PG&E.
Following the investigation, in May of 2013, the Safety and Enforcement Division (SED) of the CPUC formally recommended the CPUC to levy fines of $2.25 billion against PG&E, the full amount of which to be used to enhance safety. PG&E protested, contending they neither could have nor should have known the gas pipeline was installed incorrectly and that SED based the amount of the recommended penalty on “the deeply flawed analysis of one consultant.” The CPUC referred the SED’s proposed penalty against PG&E to the Administrative Law Division for assignment to an ALJ. The ALJ was to review the recommendation and, eventually, propose a final decision on the matter, including how any fines would be allocated among PG&E’s shareholders and ratepayers. Eventually, the five commissioners of the CPUC would vote on whether to adopt, modify, or reject the ALJ’s proposed decision.
On April 9, 2015, the CPUC approved a decision of $1.6 billion against PG&E for the San Bruno explosion, specifically a $300 million fine to the General Fund, $850 million assessed on shareholders for gas pipeline safety improvements, $400 million disallowance/bill credit, and an estimated $50 million for additional remedies for pipeline safety.
Emails demonstrate “Culture of Conversation.” During the summer and fall of 2014, PG&E, bowing to legal pressure from the City of San Bruno, began to release a growing number of emails between the utility and CPUC officials. PG&E released 65,000 emails from over a five-year period many of which PG&E says it believes “violated CPUC rules governing ex parte communications.” The initial release of emails revealed efforts by PG&E executives to influence the CPUC’s assignment of ALJ to a ratemaking proceeding stemming from the San Bruno explosion. Many of the other emails exposed regular, private, familiar communications between PG&E and certain CPUC commissioners, including former CPUC President Michael Peevey and current Commissioner Mike Florio, as well as senior CPUC officials.
Criminal investigations opened. Since PG&E’s initial release of the emails, both the state Attorney General and the United States Department of Justice have opened investigations into communications between the CPUC and regulated entities. PG&E has fired three senior executives. A senior CPUC official has resigned, while other top CPUC officials – including longtime CPUC President Michael Peevey and Executive Director Paul Clannon – have retired under pressure. Attorneys in CPUC’s legal division requested CPUC commissioner’s direct staff on how to properly cooperate with ongoing law enforcement investigations and to ensure CPUC staff preserves evidence relative to the investigations. Investigators working with the Attorney General’s Office have raided the CPUC offices and the homes of former CPUC Commissioner President Peevey and PG&E former-Vice President Brian Cherry. In early February, only after a newspaper published details of the search warrant, Southern California Edison disclosed a meeting that occurred two years prior in Warsaw, Poland between then-CPUC President Peevey and a utility executive in which they discussed how to resolve the shutdown plans for San Onofre Nuclear Generating Station.
Interim Executive Director Timothy Sullivan, who described the emails as “shocking to the organization,” is considering personnel action against CPUC employees. Newly appointed CPUC President Michael Picker acknowledged the communications have damaged the public’s trust in the regulatory agency and that changes are needed.
Audits reveal CPUC’s efforts are lacking. In recent years, the CPUC has undergone a number of audits related to its budget, transportation program, natural gas pipeline safety program and others. The findings of these audits have raised concerns about the ability of CPUC to manage even some of its core functions. A March 2014 audit by the State Auditor found that “the commission lacks adequate processes for sufficient oversight of utility balancing accounts to protect ratepayers from unfair rate increases.” The NTSB San Bruno investigation report and subsequent audits found that CPUC’s oversight of natural gas pipeline safety efforts by the utilities needs improvements.
The CPUC quasi-independent, but still accountable to the Legislature. The CPUC was established by constitutional amendment as part of the sweep of progressive reforms in the early 1900s. Then-Governor Hiram Johnson pushed for reforms of the Railroad Commission, which became today’s CPUC, as a largely independent agency that would guard against the corrupting influence of railroads. In demonstration of its independence, the CPUC was located in San Francisco, a distance from the state capitol in Sacramento. Article XII of the California Constitution grants the CPUC authority to regulate public utilities "subject to control of the Legislature" and grants the Legislature "plenary power" to confer authority and jurisdiction upon the CPUC, with the intent that the CPUC be accountable to the Legislature.
The CPUC has historically been afforded much independence. Commissioners are appointed for staggered six-year terms to limit the potential for a single Governor to appoint a majority of commissioners within a four-year gubernatorial term. The Legislature, not the Governor, may remove a commissioner. The CPUC has been given broad latitude to set its own procedures, and any review of CPUC decisions has historically been limited to courts of appeal and the Supreme Court, not trial courts.
Reporting to the Legislature. Current law requires the CPUC to publish an annual workplan by February 1st and for the president of the CPUC to appear annually before the relevant legislative policy committees. SB 48 proposes several amendments to ensure the CPUC’s annual report more accurately reflects the agency’s progress related to timeliness of proceedings and the need to ensure the work of the agency is evaluated based on establishing annual goals and performance criteria. This bill also requires an annual performance evaluation of the executive director by the CPUC based on the established workplan.
Changing role of president. Legislation proposed over the years, and some enacted, has been aimed at improving CPUC accountability. Concurrent with the 1996 electric restructuring, a series of procedural reforms were enacted to improve the accountability of individual commissioners by requiring each commissioner to spend more time in hearings and to take "ownership" of draft decisions.
SB 33 (Peace, Chapter 509, Statutes of 1999) attempted to address a perceived lack of accountability by commissioners by centralizing more authority with the president. Prior to that time, the CPUC president was elected by commissioners. The commissioners, prior to SB 33, also appointed the attorney and executive director, who performed at the direction of the CPUC. SB 33 put the executive director and general counsel directly under the control of the president and authorized the Governor to appoint the president.
Since then, a series of bills have sought to limit the power of the CPUC President, but none of those bills were chaptered. The most recent effort was a bill introduced in 2013, SB 611 (Hill) which proposed several reforms of the CPUC, including limiting the role of the president. The bill was subsequently amended and chaptered with unrelated language.
Public meeting required. The CPUC is subject to the Bagley-Keene Open Meetings Act, which requires a state body to take "action" (collective decision or an actual vote) only at a public meeting following the public posting of an agenda describing the item for proposed action at least 10 days prior to the meeting. Any private congregation of a majority of the members of a state body at the same time and place to hear, discuss, or deliberate upon any item that is within its jurisdiction is unlawful. Violations of the Act can result in members of the state body facing misdemeanor penalties and action taken rendered invalid, with attorney's fees awarded to prevailing plaintiffs.
Code of ethics. Most state agencies follow the APA rules and requirements for rulemakings and enforcement proceedings. However, as a quasi-independent agency, the CPUC is exempt from the APA and instead follows its own rules and procedures. SB 48 proposes to apply the APA Code of Ethics to adjudication proceedings of the CPUC to align with other state agencies.
Appeals. A party wishing to appeal a decision of the CPUC can appeal to the CPUC’s own court or the California Supreme Court. This unique limitation to CPUC processes means most decisions of the agency stand as it is unlikely the Supreme Court will wish to hear many of these cases. SB 48 proposes to allow any action related to the Bagley-Keene Open Meetings Act or the California Public Records Act to be petitioned at a superior court, where there is greater opportunity to have a case heard.
Affected stakeholders. SB 48 proposes a requirement on the CPUC to affirmatively seek out the views and input of those impacted most by a proposed proceeding or investigation. One of the many criticisms of the CPUC is the challenges of identifying who may be interested and facilitating their participation as a party in a proceeding. CPUC processes are legalistic and archaic and can be off-putting to the average resident who wants to participate. However, the CPUC should be encouraged to make every feasible effort to connect with those most affected by their decisions, whether it is a community affected by increased water rates or low-income residents who can benefit from public purpose programs.
Prior/Related Legislation
SB 215 (Leno, 2015) proposed a suite of reforms of the CPUC related to governance and operations, including disqualification of commissioners to proceedings, modifying the role of the president, and other reforms. Many of the provisions of this bill were amended into SB 660. The bill is currently in the Senate Energy, Utilities and Communications Committee.
SB 660 (Leno and Hueso, 2015) proposes reforms of the ex parte communications laws related to ratesetting and quasi-legislative proceedings, aligns the language related to the powers of the president so that both SB 660 and SB 48 have the exact same language, addresses the process for disqualifying a commissioner from a proceeding, and other reforms of the CPUC. The bill passed the Senate Appropriations Committee on a vote of 5-2.
SB 611 (Hill, as amended April 13, 2013) proposed some of the same changes suggested in SB 48, including repealing some of the powers of the president. The bill was successfully voted out of Senate Committee on Energy, Utilities and Communications. It was subsequently amended numerous times, and ultimately chaptered into law with unrelated language regarding modified limousines.
FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No
According to the Senate Appropriations Committee:
Ongoing annual costs in the tens of thousands of dollars and possibly into the low thousands to the Public Utilities Reimbursement Account (special) to have at least six meetings in Sacramento instead of San Francisco.
One-time costs of $160,000 annually for two years followed by estimated annual costs of $360,000 to the Public Utilities Reimbursement Account (special) to seek views of interested persons.
Unknown possible legal costs to the Public Utilities Reimbursement Account (special) to respond to claims under the Bagley-Keene Open Meeting Act.
Minor and absorbable costs to the Public Utilities Reimbursement Account (special) for additional meetings in order for the CPUC to direct the executive director, attorney, and staff.
California Newspaper Publishers Association
Communications Workers of America, District 9 AFL-CIO
Sierra Club California
The Utility Reform Network
OPPOSITION: (Verified 5/29/15)
Six individuals
ARGUMENTS IN SUPPORT: The author argues that the current governance structure, whereby the president of the CPUC is able to direct the CPUC staff, is not working. The author cites a string of incidents, including some involving management of ratepayer money, management staff leadership failures, and recent scandals, as evidence that the current system is broken. The author also argues that the CPUC has a large workload that necessitates a president that will share responsibilities with other commissioners to ensure the effectiveness of the agency. Furthermore, the author commends the leadership of the CPUC for taking some positive steps in recent months. However, he cautions these changes should not be temporary. Therefore, permanent changes are needed of the agency.
ARGUMENTS IN OPPOSITION: The opponents expressed concerns that the current powers of the president should be preserved. They argue that not having a strong president will result in the ALJ having dominance in decision-making.
Prepared by: Nidia Bautista / E., U., & C. / (916) 651-4107
5/31/15 11:40:28
**** END ****
SB 48 (Hill) Page 4 of 4
SENATE COMMITTEE ON APPROPRIATIONS
Senator Ricardo Lara, Chair
2015 - 2016 Regular Session
SB 48 (Hill) - Public Utilities Commission.
|
|
Version: May 6, 2015 |
Policy Vote: E., U., & C. 9 - 0 |
Urgency: No |
Mandate: No |
Hearing Date: May 18, 2015 |
Consultant: Marie Liu |
This bill meets the criteria for referral to the Suspense File.
Bill Summary:
SB 48 would make various changes to the internal governance, annual reporting requirements, and meeting requirements of the California Public Utilities Commission (CPUC).
Fiscal Impact:
Ongoing annual costs in the tens of thousands of dollars and possibly into the low thousands to the Public Utilities Reimbursement Account (special) to have at least six meetings in Sacramento instead of San Francisco.
One-time costs of $160,000 annually for two years followed by estimated annual costs of $360,000 to the Public Utilities Reimbursement Account (special) to seek views of interested persons.
Unknown possible legal costs to the Public Utilities Reimbursement Account (special) to respond to claims under the Bagley-Keene Open Meeting Act.
Minor and absorbable costs to the Public Utilities Reimbursement Account (special) for additional meetings in order for the commission to direct the executive director, attorney, and staff.
Background:
The CPUC is established in the California Constitution and is governed by five full-time commissioners, appointed by the governor and confirmed by the Senate, and staffed by approximately 1,000 individuals who, together, regulate privately owned electric, natural gas, telecommunications, water, railroad, rail transit, and passenger transportation companies. CPUC staff includes four personal advisors to each commissioner, except five to the president, as well as the 42 judges of the Administrative Law Division – attorneys, engineers and accountants who prepare the docket for all CPUC official filings, including maintenance of the official record of proceedings.
The CPUC is subject to the Bagley-Keene Open Meeting Act, which requires a state body to take actions only at a public meeting following the public posting of an agenda describing the item for proposed action at least 10 days prior to the meeting. Any private congregation of a majority of the members of a state body at the same time and place to hear, discuss, or deliberate upon any item that is within its jurisdiction is unlawful. However, only the Supreme Court and the court of appeal have the jurisdiction over any order or decision of the CPUC, including Bagley-Keene Open meeting requirements.
Proposed Law:
This bill would make various changes to the operation and internal governance of the CPUC. Specifically, this bill would:
Allow actions to enforce the Bagley-Keene Open Meeting Act or the California Records Act to be brought to the superior court.
Remove the president’s ability to solely direct the executive director, the attorney, and other staff of the commission and instead require the staff to be directed by the entire commission.
Require that the CPUC hold at least six sessions annually in Sacramento.
Require that all written testimony submitted in a formal proceeding of the CPUC to be posted on its website.
Require the commission to include performance criteria for the commission and executive director as well as an evaluation of the executive director for the past year based on those criteria in its annual workplan.
Expand the existing required annual report regarding cases before the agency to also include information on the number of scoping memos issued in each proceeding and a description of the commission’s timeliness in resolving cases.
Subject the commission’s adjudication proceedings to the Administrative Adjudication Code of Ethics (GOV§11476 et seq.)
Explicitly require the commission to seek the views of those who are likely to be affected by a proceeding, except in adjudication cases, and to describe these efforts in the text of the order instituting the investigation or proceeding.
Related Legislation:
SB 215 (Leno) would make similar revisions to the CPUC in regards to the powers of the president and would establish the criteria for when an administrative law judge should be excused from a proceeding. SB 215 is currently in the Senate Energy, Utilities, and Commerce Committee.
SB 660 (Leno, Hueso) would make various changes to the ex parte communication laws related to ratesetting and quasi-legislative proceedings at the CPUC. SB 660 is set to be heard in the Senate Appropriations Committee on May 18, 2015.
SB 33 (Peace) Chapter 509, Statutes of 1999 put the executive director and general counsel directly under the control of the president and authorize the Governor to appoint the president.
Staff Comments:
In order to have at least six meetings in Sacramento instead of San Francisco, the CPUC estimates costs in the tens of thousands of dollars to the low hundreds of thousands of dollars. The costs in the low range would include travel costs for approximately 40 people including CPUC staff and the commissioners for six meetings. The higher range would be include facility costs should no state or complimentary facilities that meet the CPUC’s needs be available. The CPUC notes that the meeting facility would need to be of sufficient size, have a space for closed meetings, be compatible with the CPUC’s video/audio contractor as all meetings are webcasted and audiocasted.
This bill would require the CPUC to actively seek the views of parties that could be affected by an rulemaking, including those that might benefit from the rulemaking. To implement this requirement, the CPUC would need a proceeding to establish the rules so that the outreach is performed uniformly and transparently. There would also be ongoing costs to implement the outreach. These implementation costs would depend on the process established by the rulemaking, but the CPUC anticipates that would need one analyst for every five proceedings. Given that there were 15 proceedings in 2014, it anticipates needing three Public Utilities Regulatory Analysts III to carry out the outreach annually plus some supervisorial assistance and legal support for an annual cost of approximately $360,000 annually. Staff notes that according to the author’s office, this language was modeled after an Executive Order issued by President Obama aimed at improving regulation and regulatory review by ensuring that regulations are adopted in a process that involves public opinion. It is open to interpretation on what level of effort is called for by this bill. Arguably it is possible to fulfill the requirements of this provision with a notice in the major newspapers as well as a more intensive effort that involved individually contacting known interest groups. The proceeding establishing these rules would define the necessary level of effort, though staff believes it is reasonable to assume that the CPUC would be compelled to take a relatively more involved effort in its outreach efforts as a result of this bill.
This bill would make it easier to bring forward an action against the CPUC under the Bagley-Keene Open Meeting Act by allowing such actions to be brought to the superior court in addition to the court of appeal and the Supreme Court. If the CPUC is complying with the requirements of the Bagley-Keene Open Meeting Act, there should seemingly be minimal costs associated with this provision. However, the CPUC notes that it may have costs associated with baseless claims that may be filed in order to undermine or delay CPUC proceedings. Staff notes that while it may be reasonable to assume that a party may use baseless claims as a strategic move especially given that the CPUC addresses controversial issues, any estimate of such costs would be speculative.
This bill will change the internal governance of the CPUC by specifying that the executive director, chief counsel, and staff operated under the direction of the commission as a whole, not just the president. The CPUC notes potential costs, ranging from minimal to hundreds of thousands of dollars, associated with this change as more decisions would need to be made in meetings in order for the commission to provide direction. Staff notes that historically the commission was responsible for directing the staff. This changed in 1999 with the passage of SB 33 (Peace) which gave the president the sole power to direct staff in an attempt to improve accountability. Given that there were no potential savings anticipated with the empowering of the president when SB 33 was heard by the Assembly Appropriations Committee, staff assumes that the costs of removing the powers of the president are likely to be minor and absorbable.
-- END --
SB 48 (Hill) Page 11 of 11
SENATE COMMITTEE ON ENERGY, UTILITIES AND COMMUNICATIONS
Senator Ben Hueso, Chair
2015 - 2016 Regular
Bill No: SB 48 Hearing Date: 4/27/2015
Author: |
Hill |
||
Version: |
4/14/2015 As Amended |
||
Urgency: |
No |
Fiscal: |
Yes |
Consultant: |
Nidia Bautista |
||
SUBJECT: Public Utilities Commission
DIGEST: This bill proposes a suite of reforms of the governance and operations of the California Public Utilities Commission (CPUC), including modifying the powers of the president, requiring sessions in Sacramento, and applying the Code of Ethics from the Administrative Procedures Act (APA) to administrative law judges (ALJs).
ANALYSIS:
Existing law:
Establishes the CPUC with five members appointed by the Governor and confirmed by the Senate and empowers it to regulate privately-owned public utilities in California. Specifies that the Legislature may prescribe that additional classes of private corporations or other persons are public utilities. (Article XII of the California Constitution; Public Utilities Code §301 et seq.)
Requires the Governor to designate one of the commissioners as president who is granted with certain authority not provided to the other four commissioners. These powers include the ability to direct the executive director, the general counsel and staff, as well as, preside over all commission meetings, and other powers. (Public Utilities Code §305)
Requires the CPUC to hold at least one hearing per calendar month in the City and County of San Francisco. (Public Utilities Code §306)
Requires the president of the commission to annually appear before the appropriate legislative policy committees. (Public Utilities Code §321.6)
Exempts the CPUC from the California Administrative Procedures Act. (Public Utilities Code §1701)
Provides that the California Supreme Court and the court of appeal of the commission shall be the venues to address appeals of CPUC decisions. (Public Utilities Code §1701.6)
Authorizes the CPUC to appoint a general counsel to represent the CPUC in all actions, to commence, prosecute or intervene in proceedings as directed by the president, and to advise the commission and each commissioner on all matters. (Public Utilities Code §307)
This bill:
Repeals certain powers granted to the president of the CPUC, including the ability to direct the executive director, the attorney and other CPUC staff.
Requires the CPUC to hold no less than six sessions per year in the City of Sacramento.
Finds it is the intent of the legislature that the CPUC should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
Requires the CPUC to develop performance criteria for the CPUC and the executive director, and to conduct an annual evaluation of the director.
Directs the CPUC to adopt procedures on the disqualification of commissioners due to bias or prejudice.
Directs the CPUC to modify their annual workplan report, a document that is published and provided to the Legislature, to include performance criteria for the CPUC and executive director. As part of the effort, the CPUC shall create a report regarding the cases before the agency, including timeliness in resolving the cases, approvals for rehearings, number of scoping memos issued in each proceeding, number of orders issued and other items.
Requires the president of the CPUC to report on the timeliness in resolving cases during the annual appearance before the appropriate legislative policy committees.
Requires the ALJs to adhere to ethics provisions of the APA.
Expands the list of persons with an interest to include representatives from the financial industry for purposes of ex parte communication.
Requires the CPUC to specify the procedural matters that are appropriate subjects for ex parte communications for persons of interest.
Requires the CPUC to adopt by regulation a definition of decisionmakers to include commissioners, the executive director, and the attorney of the CPUC.
Requires participating parties and decisionmakers to report ex parte communications.
Establishes certain restrictions for ex parte communications in quasi-legislative proceedings that are currently applied to rate-setting proceedings, including: requiring all-party noticed meetings, granting all parties individual meetings and equal period of time if an individual meeting is granted to a party, and requires written ex parte communications to be submitted into the record.
Requires the CPUC to seek the views of those who are likely affected and demonstrate their efforts in the text of the order.
Provides that actions to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act can be taken to the superior court.
Background
CPUC in 2015 – The CPUC is governed by five full-time commissioners, appointed by the governor and confirmed by the Senate, and staffed by approximately 1,000 individuals who, together, regulate privately owned electric, natural gas, telecommunications, water, railroad, rail transit, and passenger transportation companies. CPUC staff includes four personal advisors to each commissioner, except five to the president, as well as the 42 judges of the Administrative Law Division – attorneys, engineers and accountants who prepare the docket for all CPUC official filings, including maintenance of the official record of proceedings.
Fatal Explosion in San Bruno – On September 9, 2010, a natural gas pipeline owned by Pacific Gas and Electric Company (PG&E) exploded in a residential neighborhood in the City of San Bruno. Eight people died, dozens were injured, 38 houses were destroyed and many more were damaged. The investigations by the National Transportation Safety Board (NTSB) and an independent review panel appointed by the CPUC found that PG&E mismanaged their pipeline over decades, failed to adequately test the strength of the pipeline and, more generally, valued profits over safety. These same investigations also noted the CPUC’s inadequate oversight of the PG&E.
Following the investigation, in May of 2013, the Safety and Enforcement Division (SED) of the CPUC formally recommended the CPUC to levy fines of $2.25 billion against PG&E, the full amount of which to be used to enhance safety. PG&E protested, contending they neither could have nor should have known the gas pipeline was installed incorrectly and that SED based the amount of the recommended penalty on “the deeply flawed analysis of one consultant.” The CPUC referred the SED’s proposed penalty against PG&E to the Administrative Law Division for assignment to an ALJ. The ALJ was to review the recommendation and, eventually, propose a final decision on the matter, including how any fines would be allocated among PG&E’s shareholders and ratepayers. Eventually, the five commissioners of the CPUC would vote on whether to adopt, modify, or reject the ALJ’s proposed decision.
Emails Demonstrate “Culture of Conversation” – During the summer and fall of 2014, PG&E, bowing to legal pressure from the City of San Bruno, began to release a growing number of emails between the utility and CPUC officials. PG&E released 65,000 emails from over a five year period many of which PG&E says it believes “violated CPUC rules governing ex parte communications.” The initial release of emails revealed efforts by PG&E executives to influence the CPUC’s assignment of ALJ to a ratemaking proceeding. Many of the other emails exposed regular, private, familiar communications between PG&E and certain CPUC commissioners, including former CPUC President Michael Peevey and current Commissioner Mike Florio, as well as senior CPUC officials.
Criminal Investigation Opened – Since PG&E’s initial release of the emails, both the state Attorney General and the United States Department of Justice have opened investigations into communications between the CPUC and regulated entities. PG&E has fired three senior executives. A senior CPUC official has resigned, while other top CPUC officials – including longtime CPUC President Michael Peevey and Executive Director Paul Clannon – have retired under pressure. Attorneys in CPUC’s legal division requested CPUC commissioner’s direct staff on how to properly cooperate with ongoing law enforcement investigations and to ensure CPUC staff preserves evidence relative to the investigations. Investigators working with the Attorney General’s Office have raided the CPUC offices and the homes of former CPUC Commissioner President Peevey and PG&E former-Vice President Brian Cherry. In early February, only after a newspaper published details of the search warrant, Southern California Edison disclosed a meeting that occurred a year prior in Warsaw, Poland between then-CPUC President Peevey and a utility executive in which they discussed how to resolve the shutdown plans for San Onofre Nuclear Generating Station (SONGS).
Recently appointed Interim Executive Director Timothy Sullivan, who described the emails as “shocking to the organization,” is considering personnel action against CPUC employees. Newly appointed CPUC President Michael Picker acknowledged the communications have damaged the public’s trust in the regulatory agency and that changes are needed.
Audits Reveal CPUC’s Efforts are Lacking – In recent years, the CPUC has undergone a number of audits related to its budget, transportation program, natural gas pipeline safety program and others. The findings of these audits have raised concerns about the ability of CPUC to manage even some of its core functions. A March 2014 audit by the State Auditor found that “the commission lacks adequate processes for sufficient oversight of utility balancing accounts to protect ratepayers from unfair rate increases.” The NTSB San Bruno investigation report and subsequent audits found that CPUC’s oversight of natural gas pipeline safety efforts by the utilities needs improvements.
The CPUC Quasi-independent, but Still Accountable to the Legislature – The CPUC was established by constitutional amendment as part of the sweep of progressive reforms in the early 1900s. Then-Governor Hiram Johnson pushed for reforms of the Railroad Commission, which became today’s CPUC, as a largely independent agency that would guard against the corrupting influence of railroads. In demonstration of its independence, the CPUC was located in San Francisco, a distance from the state capitol in Sacramento. Article XII of the California Constitution grants the CPUC authority to regulate public utilities "subject to control of the Legislature" and grants the Legislature "plenary power" to confer authority and jurisdiction upon the CPUC, with the intent that the CPUC be accountable to the Legislature.
The CPUC has historically been afforded much independence. Commissioners are appointed for staggered six-year terms to limit the potential for a single Governor to appoint a majority of commissioners within a four-year gubernatorial term. The legislature, not the governor, may remove a commissioner. The CPUC has been given broad latitude to set its own procedures, and any review of CPUC decisions has historically been limited to courts of appeal and the Supreme Court, not trial courts.
Reporting to the Legislature – Current law requires the CPUC to publish an annual workplan by February 1and for the president of the CPUC to appear annually before the relevant legislative policy committees. SB 48 proposes several amendments to ensure the CPUC’s annual report more accurately reflects the agency’s progress related to timeliness of proceedings and the need to ensure the work of the agency is evaluated based on establishing annual goals and performance criteria.
Changing Role of President – Legislation proposed over the years, and some enacted, has been aimed at improving CPUC accountability. Concurrent with the 1996 electric restructuring, a series of procedural reforms were enacted to improve the accountability of individual commissioners by requiring each commissioner to spend more time in hearings and to take "ownership" of draft decisions.
SB 33 (Peace, Chapter 509, Statutes of 1999) attempted to address a perceived lack of accountability by commissioners by centralizing more authority with the president. Prior to that time, the CPUC president was elected by commissioners. The commissioners, prior to SB 33, also appointed the attorney and executive director, who performed at the direction of the commission. SB 33 put the executive director and general counsel directly under the control of the president and authorized the Governor to appoint the president.
Since then, a series of bills have sought to limit the power of the CPUC President, but none of those bills were chaptered. The most recent effort was a bill introduced in 2013, SB 611 (Hill) which proposed several reforms of the CPUC, including limiting the role of the president. The bill was subsequently amended and chaptered with unrelated language.
Public Meeting Required – The CPUC is subject to the Bagley-Keene Open Meeting Act, which requires a state body to take "action" (collective decision or an actual vote) only at a public meeting following the public posting of an agenda describing the item for proposed action at least 10 days prior to the meeting. Any private congregation of a majority of the members of a state body at the same time and place to hear, discuss, or deliberate upon any item that is within its jurisdiction is unlawful. Violations of the act can result in members of the state body facing misdemeanor penalties and action taken rendered invalid, with attorney's fees awarded to prevailing plaintiffs.
Disqualification of Commissioners – The law directs the CPUC to establish rules to address incidents when an ALJ may be disqualified from a proceeding. However, no similar mention is made of addressing concerns of bias by commissioners. In recent times, motions to recuse a commissioner from a proceeding due to a party’s claim that there is undue bias have been denied. After the release of the PG&E emails, the City of San Bruno motioned for a recusal of then President Peevey. That motion was denied. The ALJ as the time stated that “No specific rule sets forth a procedure for addressing motions to seek the recusal of a Commissioner for cause.”
Ex Parte Communication Rules – Substantive communication outside of the public record that occurs between a decisionmaker and a party with an interest in a CPUC proceeding are known as “ex parte” communications. Statute recognizes that ex parte communications can conflict with the need for public decisionmaking at the CPUC.
Current law directs the CPUC to adopt regulations requiring the reporting of ex parte communications. The regulations are to require CPUC’s ex parte rules to require the interested party to report the communication within three working days of the communication and include:
The date, time, and location of the communication, and whether it was oral, written, or a combination.
The identity of the recipient and the person initiating the communication, as well as the identity of any persons present during the communication.
A description of the party’s, but not the decisionmaker’s, communication and its content.
Statute does not require a CPUC decisionmaker to report ex parte communication with an interested party.
Statute directs CPUC to identify each of its proceedings according to one of three categories – adjudicatory, quasi-legislative, and ratesetting – and provides ex parte rules applicable to each type of proceeding. The types of proceedings and the statutory ex parte rules applicable to each are:
Adjudication cases – enforcement cases and complaints, except those challenging the reasonableness of rates or charges. Statute expressly prohibits ex parte communication related to an adjudicatory proceeding.
Quasi-legislative cases – those that establish policy, including, but not limited to, rulemakings and investigations which may establish rules affecting an entire industry. Statute expressly allows for ex parte communication without restriction in these types of proceedings.
Ratesetting cases – cases in which rates are established for a specific company. Statute expressly prohibits ex parte communication related to ratesetting cases. However, despite the prohibition, statue provides circumstances in which ex parte communication is permitted and procedures for reporting and managing such communication.
The CPUC has adopted regulations regarding ex parte communications. The regulations define ex parte communication as oral or written communication that: (1) concerns any substantive issue in a formal proceeding, (2) takes place between an interested person and a decisionmaker, and (3) does not occur in a public hearing, workshop, or other public forum noticed by ruling or order in the proceeding, or on the record of the proceeding. The regulations define “decisionmaker” as any commissioner, the chief administrative law judge, any assistant chief administrative law judge, the assigned administrative law judge, or the law and motion administrative law judge. The ex parte regulations applicable to decisionmakers are also applicable to commissioners “personal advisors,” with certain exceptions regarding ratesetting proceedings.
The CPUC’s ex parte regulations generally conform to statutory requirements and prohibitions. The regulations prohibit ex parte communications in adjudicatory proceedings and allow them without restriction in quasi-legislative proceedings. Notably, the regulations explicitly prohibit ex parte communications regarding assignment of ALJs. Regarding ratesetting proceedings, however, the regulations depart from statute in that they make no mention of a general prohibition on ex parte communications in ratesetting proceedings. Rather, the regulations describe, in detail, circumstances in which ex parte communications are authorized and the reporting requirements for such communication.
Code of Ethics – Most state agencies follow the APA for rulemakings and enforcement proceedings. However, as a quasi-independent agency, the CPUC is exempt from the APA and instead follows its own rules and procedures. SB 48 proposes to apply the APA Code of Ethics to adjudication proceedings of the commission to align with most other state agencies.
Appeals – Appeals for decisions for most matters at the CPUC are addressed by the CPUC or by the California Supreme Court. This unique limitation to CPUC processes means most decisions of the agency stand. This is because most cases are not likely to be heard by the Supreme Court and it can require a fair amount of resources to pay for the necessary legal representation. SB 48 proposes to allow any action related to the Bagley-Keene Open Meetings Act or the California Public Records Act to be petitioned at a superior court, where there is greater opportunity to have a case heard.
Impacted Stakeholders – SB 48 proposes a requirement on the CPUC to affirmatively seek out the views and input of those impacted most by a proposed proceeding or investigation. One of the many criticisms of the CPUC is the challenges of identifying who may be interested and facilitating their participation as a party in a proceeding. CPUC processes are legalistic and archaic and may not be of interest to some. However, the CPUC should be encouraged to make every feasible effort to connect with those most impacted by their decisions, whether it is a community impacted by water rates or low-income residents who aren’t aware of changes to public purpose programs.
Comments/Amendments
SB 48 proposes numerous reforms of CPUC governance and operations to ensure the agency is more accountable to the public. With two related bills pending in committee, the Chair is working with the authors to ensure the bill proposals do not conflict with one another.
In order to preserve most of the elements of the SB 48, while eliminating any potential conflicts with SB 660, which is also up in committee, the author and committee may wish to amend SB 48 as noted below:
Delete most of the proposal related to ex parte communication restrictions, including the proposed restrictions on quasi-legislative proceedings, (proposed in SB 48 Section 9 and 10).
Delete the language related to disqualification of commissioners (proposed amends PUC §309.6).
Move language related to annual performance review to a separate section (proposed amends PUC §308 (d)).
Delete the language related to applying ex parte communication to a representative of the financial industry. (proposed amends Section 9. PUC §1701.1 (d)(1)).
Move language related to requiring the commission to specify those procedural matters for the purposes of ex parte communication, proposed section 9. PUC §1701.1 (d)(1).
Delete the language related to ex parte communication, including language defining a decisionmaker as the attorney of the agency and language regarding requiring the proposed reporting requirements, penalties, etc. (proposed amends PUC §1701.1 (c)).
Delete proposed amendments in Section 10, which relate to restricting ex parte communication in quasi-legislative proceedings. (proposed PUC §1701.4).
Prior/Related Legislation
SB 215 (Leno) proposes a suite of reforms of the CPUC related to governance and operations, including disqualification of commissioners to proceedings, modifying the role of the president, and other reforms.
SB 660 (Hueso) proposes reforms of the ex parte communications laws related to ratesetting and quasi-legislative proceedings.
SB 611 (Hill, as amended April 13, 2013) proposed some of the same changes suggested in this bill, including repealing some of the powers of the president. The bill was successfully voted out of Senate EU&C Committee. It was subsequently amended numerous times, and ultimately chaptered into law with unrelated language regarding modified limousines.
FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: Yes
SUPPORT:
California Newspaper Publishers Association
Communications Workers of America, District 9 AFL-CIO
Sierra Club California
The Utility Reform Network
CONCERN:
California Cable & Telecommunications Association
OPPOSITION:
Michael B. Day, et al
ARGUMENTS IN SUPPORT: The author argues that the current governance structure, whereby the president of the CPUC is able to direct the CPUC staff, is not working. The author cites a string of incidents, including some involving management of ratepayer money, management staff leadership failures, and recent scandals, as evidence that the current system is broken. The author also argues that the CPUC has a large workload that necessitates a president that will share responsibilities with other commissioners to ensure the effectiveness of the agency. Furthermore, the author commends the leadership of the CPUC for taking some positive steps in recent months. However, he cautions these changes should not be temporary; therefore, permanent changes are needed of the agency.
ARGUMENTS IN OPPOSITION: Those in opposition express concerns that the current powers of the president should be preserved. They argue that not having a strong president will result in the Administrative Law Judges having dominance in decision-making. Additionally, both opposed letters express opposition to restricting ex parte rules in a manner that would jeopardize the ability of stakeholders with smaller issues from having the ear of the commissioners. They worry that proposed restrictions on ex parte communications could further increase the regulated utilities dominance.
-- END --
SB 48 (Hill) Page 11 of 11
SENATE COMMITTEE ON ENERGY, UTILITIES AND COMMUNICATIONS
Senator Ben Hueso, Chair
2015 - 2016 Regular
Bill No: SB 48 Hearing Date: 4/21/2015
Author: |
Hill |
||
Version: |
4/14/2015 As Amended |
||
Urgency: |
No |
Fiscal: |
Yes |
Consultant: |
Nidia Bautista |
||
SUBJECT: Public Utilities Commission
DIGEST: This bill proposes a suite of reforms of the governance and operations of the California Public Utilities Commission (CPUC), including modifying the powers of the president, requiring sessions in Sacramento, and applying the Code of Ethics from the Administrative Procedures Act (APA) to administrative law judges (ALJs).
ANALYSIS:
Existing law:
Establishes the CPUC with five members appointed by the Governor and confirmed by the Senate and empowers it to regulate privately-owned public utilities in California. Specifies that the Legislature may prescribe that additional classes of private corporations or other persons are public utilities. (Article XII of the California Constitution; Public Utilities Code §301 et seq.)
Requires the Governor to designate one of the commissioners as president who is granted with certain authority not provided to the other four commissioners. These powers include the ability to direct the executive director, the general counsel and staff, as well as, preside over all commission meetings, and other powers. (Public Utilities Code §305)
Requires the CPUC to hold at least one hearing per calendar month in the City and County of San Francisco. (Public Utilities Code §306)
Requires the president of the commission to annually appear before the appropriate legislative policy committees. (Public Utilities Code §321.6)
Exempts the CPUC from the California Administrative Procedures Act. (Public Utilities Code §1701)
Provides that the California Supreme Court and the court of appeal of the commission shall be the venues to address appeals of CPUC decisions. (Public Utilities Code §1701.6)
Authorizes the CPUC to appoint a general counsel to represent the CPUC in all actions, to commence, prosecute or intervene in proceedings as directed by the president, and to advise the commission and each commissioner on all matters. (Public Utilities Code §307)
This bill:
Repeals certain powers granted to the president of the CPUC, including the ability to direct the executive director, the attorney and other CPUC staff.
Requires the CPUC to hold no less than six sessions per year in the City of Sacramento.
Finds it is the intent of the legislature that the CPUC should be subject to the judicial review provisions of the Bagley-Keene Open Meeting Act.
Requires the CPUC to develop performance criteria for the CPUC and the executive director, and to conduct an annual evaluation of the director.
Directs the CPUC to adopt procedures on the disqualification of commissioners due to bias or prejudice.
Directs the CPUC to modify their annual workplan report, a document that is published and provided to the Legislature, to include performance criteria for the CPUC and executive director. As part of the effort, the CPUC shall create a report regarding the cases before the agency, including timeliness in resolving the cases, approvals for rehearings, number of scoping memos issued in each proceeding, number of orders issued and other items.
Requires the president of the CPUC to report on the timeliness in resolving cases during the annual appearance before the appropriate legislative policy committees.
Requires the ALJs to adhere to ethics provisions of the APA.
Expands the list of persons with an interest to include representatives from the financial industry for purposes of ex parte communication.
Requires the CPUC to specify the procedural matters that are appropriate subjects for ex parte communications for persons of interest.
Requires the CPUC to adopt by regulation a definition of decisionmakers to include commissioners, the executive director, and the attorney of the CPUC.
Requires participating parties and decisionmakers to report ex parte communications.
Establishes certain restrictions for ex parte communications in quasi-legislative proceedings that are currently applied to rate-setting proceedings, including: requiring all-party noticed meetings, granting all parties individual meetings and equal period of time if an individual meeting is granted to a party, and requires written ex parte communications to be submitted into the record.
Requires the CPUC to seek the views of those who are likely affected and demonstrate their efforts in the text of the order.
Provides that actions to enforce the requirements of the Bagley-Keene Open Meeting Act or the California Public Records Act can be taken to the superior court.
Background
CPUC in 2015. The CPUC is governed by five full-time commissioners, appointed by the governor and confirmed by the Senate, and staffed by approximately 1,000 individuals who, together, regulate privately owned electric, natural gas, telecommunications, water, railroad, rail transit, and passenger transportation companies. CPUC staff includes four personal advisors to each commissioner, except five to the president, as well as the 42 judges of the Administrative Law Division – attorneys, engineers and accountants who prepare the docket for all CPUC official filings, including maintenance of the official record of proceedings.
Fatal Explosion in San Bruno. On September 9, 2010, a natural gas pipeline owned by Pacific Gas and Electric Company (PG&E) exploded in a residential neighborhood in the City of San Bruno. Eight people died, dozens were injured, 38 houses were destroyed and many more were damaged. The investigations by the National Transportation Safety Board (NTSB) and an independent review panel appointed by the CPUC found that PG&E mismanaged their pipeline over decades, failed to adequately test the strength of the pipeline and, more generally, valued profits over safety. These same investigations also noted the CPUC’s inadequate oversight of the PG&E.
Following the investigation, in May of 2013, the Safety and Enforcement Division (SED) of the CPUC formally recommended the CPUC to levy fines of $2.25 billion against PG&E, the full amount of which to be used to enhance safety. PG&E protested, contending they neither could have nor should have known the gas pipeline was installed incorrectly and that SED based the amount of the recommended penalty on “the deeply flawed analysis of one consultant.” The CPUC referred the SED’s proposed penalty against PG&E to the Administrative Law Division for assignment to an ALJ. The ALJ was to review the recommendation and, eventually, propose a final decision on the matter, including how any fines would be allocated among PG&E’s shareholders and ratepayers. Eventually, the five commissioners of the CPUC would vote on whether to adopt, modify, or reject the ALJ’s proposed decision.
Emails Demonstrate “Culture of Conversation”. During the summer and fall of 2014, PG&E, bowing to legal pressure from the City of San Bruno, began to release a growing number of emails between the utility and CPUC officials. PG&E released 65,000 emails from over a five year period many of which PG&E says it believes “violated CPUC rules governing ex parte communications.” The initial release of emails revealed efforts by PG&E executives to influence the CPUC’s assignment of ALJ to a ratemaking proceeding. Many of the other emails exposed regular, private, familiar communications between PG&E and certain CPUC commissioners, including former CPUC President Michael Peevey and current Commissioner Mike Florio, as well as senior CPUC officials.
Criminal Investigation Opened. Since PG&E’s initial release of the emails, both the state Attorney General and the United States Department of Justice have opened investigations into communications between the CPUC and regulated entities. PG&E has fired three senior executives. A senior CPUC official has resigned, while other top CPUC officials – including longtime CPUC President Michael Peevey and Executive Director Paul Clannon – have retired under pressure. Attorneys in CPUC’s legal division requested CPUC commissioner’s direct staff on how to properly cooperate with ongoing law enforcement investigations and to ensure CPUC staff preserves evidence relative to the investigations. Investigators working with the Attorney General’s Office have raided the CPUC offices and the homes of former CPUC Commissioner President Peevey and PG&E former-Vice President Brian Cherry. In early February, only after a newspaper published details of the search warrant, Southern California Edison disclosed a meeting that occurred a year prior in Warsaw, Poland between then-CPUC President Peevey and a utility executive in which they discussed how to resolve the shutdown plans for San Onofre Nuclear Generating Station (SONGS).
Recently appointed Interim Executive Director Timothy Sullivan, who described the emails as “shocking to the organization,” is considering personnel action against CPUC employees. Newly appointed CPUC President Michael Picker acknowledged the communications have damaged the public’s trust in the regulatory agency and that changes are needed.
Audits Reveal CPUC’s Efforts are Lacking. In recent years, the CPUC has undergone a number of audits related to its budget, transportation program, natural gas pipeline safety program and others. The findings of these audits have raised concerns about the ability of CPUC to manage even some of its core functions. A March 2014 audit by the State Auditor found that “the commission lacks adequate processes for sufficient oversight of utility balancing accounts to protect ratepayers from unfair rate increases.” The NTSB San Bruno investigation report and subsequent audits found that CPUC’s oversight of natural gas pipeline safety efforts by the utilities needs improvements.
The CPUC Quasi-independent, but Still Accountable to the Legislature. The CPUC was established by constitutional amendment as part of the sweep of progressive reforms in the early 1900s. Then-Governor Hiram Johnson pushed for reforms of the Railroad Commission, which became today’s CPUC, as a largely independent agency that would guard against the corrupting influence of railroads. In demonstration of its independence, the CPUC was located in San Francisco, a distance from the state capitol in Sacramento. Article XII of the California Constitution grants the CPUC authority to regulate public utilities "subject to control of the Legislature" and grants the Legislature "plenary power" to confer authority and jurisdiction upon the CPUC, with the intent that the CPUC be accountable to the Legislature.
The CPUC has historically been afforded much independence. Commissioners are appointed for staggered six-year terms to limit the potential for a single Governor to appoint a majority of commissioners within a four-year gubernatorial term. The legislature, not the governor, may remove a commissioner. The CPUC has been given broad latitude to set its own procedures, and any review of CPUC decisions has historically been limited to courts of appeal and the Supreme Court, not trial courts.
Reporting to the Legislature. Current law requires the CPUC to publish an annual workplan by February 1and for the president of the CPUC to appear annually before the relevant legislative policy committees. SB 48 proposes several amendments to ensure the CPUC’s annual report more accurately reflects the agency’s progress related to timeliness of proceedings and the need to ensure the work of the agency is evaluated based on establishing annual goals and performance criteria.
Changing Role of President. Legislation proposed over the years, and some enacted, has been aimed at improving CPUC accountability. Concurrent with the 1996 electric restructuring, a series of procedural reforms were enacted to improve the accountability of individual commissioners by requiring each commissioner to spend more time in hearings and to take "ownership" of draft decisions.
SB 33 (Peace, Chapter 509, Statutes of 1999) attempted to address a perceived lack of accountability by commissioners by centralizing more authority with the president. Prior to that time, the CPUC president was elected by commissioners. The commissioners, prior to SB 33, also appointed the attorney and executive director, who performed at the direction of the commission. SB 33 put the executive director and general counsel directly under the control of the president and authorized the Governor to appoint the president.
Since then, a series of bills have sought to limit the power of the CPUC President, but none of those bills were chaptered. The most recent effort was a bill introduced in 2013, SB 611 (Hill) which proposed several reforms of the CPUC, including limiting the role of the president. The bill was subsequently amended and chaptered with unrelated language.
Public Meeting Required. The CPUC is subject to the Bagley-Keene Open Meeting Act, which requires a state body to take "action" (collective decision or an actual vote) only at a public meeting following the public posting of an agenda describing the item for proposed action at least 10 days prior to the meeting. Any private congregation of a majority of the members of a state body at the same time and place to hear, discuss, or deliberate upon any item that is within its jurisdiction is unlawful. Violations of the act can result in members of the state body facing misdemeanor penalties and action taken rendered invalid, with attorney's fees awarded to prevailing plaintiffs.
Disqualification of Commissioners. The law directs the CPUC to establish rules to address incidents when an ALJ may be disqualified from a proceeding. However, no similar mention is made of addressing concerns of bias by commissioners. In recent times, motions to recuse a commissioner from a proceeding due to a party’s claim that there is undue bias have been denied. After the release of the PG&E emails, the City of San Bruno motioned for a recusal of then President Peevey. That motion was denied. The ALJ as the time stated that “No specific rule sets forth a procedure for addressing motions to seek the recusal of a Commissioner for cause.”
Ex Parte Communication Rules. Substantive communication outside of the public record that occurs between a decisionmaker and a party with an interest in a CPUC proceeding are known as “ex parte” communications. Statute recognizes that ex parte communications can conflict with the need for public decisionmaking at the CPUC.
Current law directs the CPUC to adopt regulations requiring the reporting of ex parte communications. The regulations are to require CPUC’s ex parte rules to require the interested party to report the communication within three working days of the communication and include:
The date, time, and location of the communication, and whether it was oral, written, or a combination.
The identity of the recipient and the person initiating the communication, as well as the identity of any persons present during the communication.
A description of the party’s, but not the decisionmaker’s, communication and its content.
Statute does not require a CPUC decisionmaker to report ex parte communication with an interested party.
Statute directs CPUC to identify each of its proceedings according to one of three categories – adjudicatory, quasi-legislative, and ratesetting – and provides ex parte rules applicable to each type of proceeding. The types of proceedings and the statutory ex parte rules applicable to each are:
Adjudication cases – enforcement cases and complaints, except those challenging the reasonableness of rates or charges. Statute expressly prohibits ex parte communication related to an adjudicatory proceeding.
Quasi-legislative cases – those that establish policy, including, but not limited to, rulemakings and investigations which may establish rules affecting an entire industry. Statute expressly allows for ex parte communication without restriction in these types of proceedings.
Ratesetting cases – cases in which rates are established for a specific company. Statute expressly prohibits ex parte communication related to ratesetting cases. However, despite the prohibition, statue provides circumstances in which ex parte communication is permitted and procedures for reporting and managing such communication.
The CPUC has adopted regulations regarding ex parte communications. The regulations define ex parte communication as oral or written communication that: (1) concerns any substantive issue in a formal proceeding, (2) takes place between an interested person and a decisionmaker, and (3) does not occur in a public hearing, workshop, or other public forum noticed by ruling or order in the proceeding, or on the record of the proceeding. The regulations define “decisionmaker” as any commissioner, the chief administrative law judge, any assistant chief administrative law judge, the assigned administrative law judge, or the law and motion administrative law judge. The ex parte regulations applicable to decisionmakers are also applicable to commissioners “personal advisors,” with certain exceptions regarding ratesetting proceedings.
The CPUC’s ex parte regulations generally conform to statutory requirements and prohibitions. The regulations prohibit ex parte communications in adjudicatory proceedings and allow them without restriction in quasi-legislative proceedings. Notably, the regulations explicitly prohibit ex parte communications regarding assignment of ALJs. Regarding ratesetting proceedings, however, the regulations depart from statute in that they make no mention of a general prohibition on ex parte communications in ratesetting proceedings. Rather, the regulations describe, in detail, circumstances in which ex parte communications are authorized and the reporting requirements for such communication.
Code of Ethics. Most state agencies follow the APA for rulemakings and enforcement proceedings. However, as a quasi-independent agency, the CPUC is exempt from the APA and instead follows its own rules and procedures. SB 48 proposes to apply the APA Code of Ethics to adjudication proceedings of the commission to align with most other state agencies.
Appeals. Appeals for decisions for most matters at the CPUC are addressed by the CPUC or by the California Supreme Court. This unique limitation to CPUC processes means most decisions of the agency stand. This is because most cases are not likely to be heard by the Supreme Court and it can require a fair amount of resources to pay for the necessary legal representation. SB 48 proposes to allow any action related to the Bagley-Keene Open Meetings Act or the California Public Records Act to be petitioned at a superior court, where there is greater opportunity to have a case heard.
Impacted Stakeholders. SB 48 proposes a requirement on the CPUC to affirmatively seek out the views and input of those impacted most by a proposed proceeding or investigation. One of the many criticisms of the CPUC is the challenges of identifying who may be interested and facilitating their participation as a party in a proceeding. CPUC processes are legalistic and archaic and may not be of interest to some. However, the CPUC should be encouraged to make every feasible effort to connect with those most impacted by their decisions, whether it is a community impacted by water rates or low-income residents who aren’t aware of changes to public purpose programs.
Comments/Amendments
SB 48 proposes numerous reforms of CPUC governance and operations to ensure the agency is more accountable to the public. With two related bills pending in committee, the Chair is working with the authors to ensure the bill proposals do not conflict with one another.
In order to preserve most of the elements of the SB 48, while eliminating any potential conflicts with the other vehicles, the author and committee may wish to amend SB 48 as noted below:
Delete most of the proposal related to ex parte communication restrictions, including the proposed restrictions on quasi-legislative proceedings, (proposed in SB 48 Section 9 and 10).
Delete the language related to disqualification of commissioners (proposed amends PUC §309.6).
Move language related to annual performance review to a separate section (proposed amends PUC §308 (d)).
Delete the language related to applying ex parte communication to a representative of the financial industry. (proposed amends Section 9. PUC §1701.1 (d)(1)).
Move language related to requiring the commission to specify those procedural matters for the purposes of ex parte communication, proposed section 9. PUC §1701.1 (d)(1).
Delete the language related to ex parte communication, including language defining a decisionmaker as the attorney of the agency and language regarding requiring the proposed reporting requirements, penalties, etc. (proposed amends PUC §1701.1 (c)).
Move language related to requiring the commission to specify those procedural matter for the purposes of ex parte communication, proposed PUC §1701.1 (d)(1).
Delete proposed amendments in Section 10, which relate to restricting ex parte communication in quasi-legislative proceedings. (proposed PUC §1701.4).
Prior/Related Legislation
SB 215 (Leno) proposes a suite of reforms of the CPUC related to governance and operations, including disqualification of commissioners to proceedings, modifying the role of the president, and other reforms.
SB 660 (Hueso) proposes reforms of the ex parte communications laws related to ratesetting and quasi-legislative proceedings.
SB 611 (Hill, as amended April 13, 2013) proposed some of the same changes suggested in this bill, including repealing some of the powers of the president. The bill was successfully voted out of Senate EU&C Committee. It was subsequently amended numerous times, and ultimately chaptered into law with unrelated language regarding modified limousines.
FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: Yes
SUPPORT:
California Newspaper Publishers Association
Communications Workers of America, District 9 AFL-CIO
Sierra Club California
CONCERN:
California Cable & Telecommunications Association
OPPOSITION:
None received
ARGUMENTS IN SUPPORT: The author argues that the current governance structure, whereby the president of the CPUC is able to direct the CPUC staff, is not working. The author cites a string of incidents, including some involving management of ratepayer money, management staff leadership failures, and recent scandals, as evidence that the current system is broken. The author also argues that the CPUC has a large workload that necessitates a president that will share responsibilities with other commissioners to ensure the effectiveness of the agency. Furthermore, the author commends the leadership of the CPUC for taking some positive steps in recent months. However, he cautions these changes should not be temporary; therefore, permanent changes are needed of the agency.
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Discussed in Hearing
Assembly Floor
Senate Floor
Assembly Floor
Assembly Standing Committee on Utilities and Commerce
Senate Floor
Senate Standing Committee on Energy, Utilities and Communications
Bill Author
Bill Co-Author(s):