BILL NUMBER: ABX2 5	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  JULY 16, 2001
	AMENDED IN ASSEMBLY  JUNE 28, 2001

INTRODUCED BY   Assembly Members Kelley and Reyes
    (Coauthors:  Assembly Members Alquist, Ashburn, Bates,
Maldonado, and Zettel) 

                        MAY 15, 2001

   An act to add Section 739.9 to the Public Utilities Code, relating
to public utilities, and declaring the urgency thereof, to take
effect immediately.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 5, as amended, Kelley.  Rates:  baseline quantities.
   (1) The Public Utilities Act requires the Public Utilities
Commission to designate a baseline quantity of gas and electricity
necessary to supply a significant portion of the reasonable energy
needs of the average residential customer, as prescribed, and
requires the commission to also take into account differentials in
energy use by climatic zone and season.  The act requires the
commission to require that every electrical and gas corporation file
a schedule of rates and charges providing baseline rates.
   This bill would require the commission to recalculate the summer
baseline quantity of electricity for all climatic zones in the state
based on 70% of the average usage for each of these zones for the
months of April to September, inclusive, using 5 years of historical
data, including the latest available usage for 2001.  The bill would
require the commission to adjust the baseline quantities for these
areas not later than 30 days from the effective date of this section.
  The bill would prohibit the commission from adjusting any baseline
quantity downward for winter or summer months for any climatic zone
in the state prior to July 1, 2003.  Because a violation of a rule or
order of the commission is a crime under existing provisions of law,
the bill would impose a state-mandated local program by creating a
new crime.
  (2) 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.
   This bill would declare that it is to take effect immediately as
an urgency statute.
   Vote:  2/3.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  yes.


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


  SECTION 1.  Section 739.9 is added to the Public Utilities Code, to
read:
   739.9.  (a) The commission shall recalculate the summer baseline
quantity of electricity for all climatic zones in the state based on
70 percent of the average usage for each of these zones for the
months of April to September, inclusive, using five years of
historical data, including the latest available usage for 2001.
Average quantities of usage shall include  the  use of
air-conditioning.  The commission shall adjust the baseline
quantities for these areas not later than 30 days from the effective
date of this section.
   (b) The commission may not adjust any baseline quantity downward
for winter or summer months for any climatic zone in the state prior
to July 1, 2003.
  SEC. 2.  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.
  SEC. 3.  This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect.  The facts constituting the necessity are:
   In order to alleviate the current energy crisis, it is necessary
that this act take effect immediately.