BILL NUMBER: ABX1 8	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  FEBRUARY 13, 2001

INTRODUCED BY   Assembly  Member Migden  
Members Migden, Diaz, and Oropeza 

                        JANUARY 16, 2001

   An act  to add Section 363.1 to the Public Utilities Code,
 relating to public utilities.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 8, as amended, Migden.  Public  utilities:
electricity:  Independent System Operator   Utilities
Commission:  electric generators:  unscheduled maintenance  .

   (1) Under existing electrical restructuring in the Public
Utilities Act, the Public Utilities Commission regulates the electric
generating facilities of public utility electrical corporations.
   This bill would require the commission to require electric
generators to defer scheduled maintenance of generating facilities,
as the commission determines to be appropriate, in order to maintain
the stability of the grid or of the price of electricity in the
market.  The bill would authorize the commission, notwithstanding
specified existing law, and to the extent not prohibited by federal
law, to inspect electric generating facilities and order that an
electric generating facility not operating due to unscheduled
maintenance resume operation.  Since a violation of a rule or order
of the commission is a crime, this bill would impose a state-mandated
local program by creating a new crime.
   This bill would require the commission to  prepare and submit,
monthly, to the chairs of specified legislative committees, a report
regarding certain actions taken by the commission under the
provisions of the bill.
   This bill would make related legislative findings and
declarations.  
  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.   
   Existing law requires the establishment and operation of an
Independent System Operator to ensure efficient use and reliable
operation of the state's electricity transmission grid.
   This bill would require the Independent System Operator to submit
a report to the Legislature not later than January 1, 2002, regarding
the operator's success in coordinating maintenance in advance to
maintain system reliability, minimize the quantity and effect of
congestion on the grid and connections controlled by the operator,
and preserve price stability for electricity. 
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  
no   yes  . State-mandated local program:
 no   yes  .


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  
  SECTION 1.  The Independent System Operator shall submit 

  SECTION 1.  The Legislature finds and declares all of the
following:
   (a) Shortages in electricity available to public utility
electrical corporations in this state have resulted in blackouts
affecting millions of Californians.
   (b) Unanticipated and dramatic increases in the price of
electricity threaten the public safety and economic security.
   (c) The existing energy shortage requires substantial additional
authority for the Public Utilities Commission to regulate generators
of electric power to guard against potential manipulation of the
market from poorly timed or unauthorized maintenance of electric
generating facilities.
   (d) It is the intent of the Legislature in enacting this act to
authorize the Public Utilities Commission to take measures to provide
that any actions removing electric generating plants from supplying
power are coordinated to the maximum extent possible to maintain
stability in the wholesale market for power.
  SEC. 2.  Section 363.1 is added to the Public Utilities Code, to
read:
   363.1.  (a) The commission may require electric generators to
defer scheduled maintenance of generating facilities, as the
commission determines to be appropriate, in order to maintain the
stability of the grid or of the price of electricity in the market.
   (b) Notwithstanding subdivision (g) of Section 216, and to the
extent not prohibited by federal law, the commission may inspect
electric generating facilities and may order that an electric
generating facility not operating due to unscheduled maintenance
resume operation.
   (c) The commission shall prepare and submit, monthly, to the Chair
of the Assembly Utilities and Commerce Committee and the Chair of
the Senate Energy, Utilities and Communications Committee a report
regarding any action taken by the commission in accordance with this
section to order that scheduled maintenance be conducted at a
specific generating facility at a specific time or that a generating
facility resume operation from unscheduled maintenance.
  SEC. 3.  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 report to the Legislature not later than January 1, 2002,
regarding the operator's success in coordinating maintenance in
advance to do all of the following:
   (a) Maintain system reliability.
   (b) Minimize the quantity and effect of congestion on the
transmission grid and connections controlled by the Independent
System Operator.
   (c) Preserve price stability for electricity.