SB 327: Public utilities: review of accounts: electrical and gas corporations: rates: political influence activities.

Existing law authorizes the Public Utilities Commission to fix the rates and charges for public utilities, including electrical corporations and gas corporations, and requires those rates and charges to be just and reasonable. Under existing law, a regulated public utility is prohibited from using ratepayer funds for advocacy-related activities that are political or do not otherwise benefit ratepayers. Existing law prohibits each electrical corporation or gas corporation from recording to an above-the-line account, or otherwise recovering from ratepayers, direct or indirect costs of specified activities.

This bill would include in those activities for which costs may not be recovered from ratepayers any activities related to opposing the municipalization of electrical or gas utility service, as specified.

Existing law authorizes the commission, each commissioner, and each officer and person employed by the commission to inspect the accounts, books, papers, and documents of any public utility. Existing law establishes within the commission an independent Public Advocates Office of the Public Utilities Commission and authorizes the office to require an entity regulated by the commission to produce or disclose any information the office deems necessary to perform its duties, as provided.

This bill would additionally authorize the office to require an entity regulated by the commission to produce or disclose any information the office deems necessary to support the commissions duties. The bill would also specify that the office has the same authority to discover information and review the accounts of a public utility as the commission and would change the timing of a specified annual report by the office to the Legislature.

Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime.

Because the above-described provisions would be part of the act and a violation of a commission action implementing the bills requirements would be a crime, this bill would impose a state-mandated local program.

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.