BILL ANALYSIS                                                                                                                                                                                                              1
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                SENATE ENERGY, UTILITIES AND COMMUNICATIONS COMMITTEE
                               DEBRA BOWEN, CHAIRWOMAN
          

          SB 500 -  Torlakson                                    Hearing  
          Date:  January 15, 2002         S
          As Amended: January 7, 2002        FISCAL           B
                                                                        
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                                      DESCRIPTION
           
           Current law  requires most retailers to both offer and provide  
          customers with a four-hour window during which repairs or  
          deliveries will be made.  

           Current law  doesn't apply this same standard to utility and  
          cable television companies.  Those entities can choose to tell  
          customers about the four-hour window either when customers call  
          (as most retailers are required to do) or by mailing such  
          information to their subscribers or ratepayers three times a  
          year.  Utility and cable television companies are required to  
          provide a four-hour delivery or service window to customers upon  
          request.  

           This bill  deletes the option for utilities and cable television  
          companies to mail customers a notification of the right to a  
          four-hour window.  These companies will therefore have to tell  
          customers of their right to a four-hour window when the customer  
          calls for service.
                                           
                                     BACKGROUND
           
          SB 101 (Lockyer), Chapter 1075, Statutes of 1989, SB 101  
          (Lockyer) of 1992, and SB 47 (Lockyer), Chapter 28, Statutes of  
          1993 combined to generally require that customers be given a  
          four-hour window to expect repairmen to show up or deliveries to  
          be made.  If the company misses the appointment, the customer  
          may go to small claims court and sue for lost wages, expenses  
          actually incurred, or other actual damages not exceeding $500.   
          Unforeseen or unavoidable events beyond the control of the  











          company are valid reasons for missing the appointment, provided  
          a diligent attempt is made to notify the customer beforehand and  
          a new two-hour window is arranged.

          Current law exempts cable television companies and utilities  
          (electric, natural gas, water, and telecommunication companies)  
          from the general provision requiring retailers to offer and  
          provide a four-hour window.  These companies have to provide the  
          four-hour window, but they can choose to offer it verbally when  
          the customer calls for service or by mail three times per year.
           
          Pacific Bell has been required by the California Public  
          Utilities Commission (CPUC), as part of the resolution of a  
          complaint, to modify its "611" repair service to alert customers  
          that four-hour windows are available.







































                                       COMMENTS
           
           It's Hard To Use A Right You Don't Know You Have  .  This bill  
          doesn't establish a cable or utility customer's right to a  
          four-hour window for service appointments - that right already  
          exists in current law.  This bill simply  requires  these  
          companies to provide the notice to customers when they call in  
          to establish service or request repairs and  deletes  the option  
          that utilities currently have to notify customers solely via a  
          mailing or a bill insert.

          One shortcoming with the current mail or bill insert  
          notification requirement is only  existing  customers are  
          notified.  A  new  customer wouldn't know that he or she has the  
          right to a four-hour service window.  This bill corrects that  
          problem.


                                       POSITIONS
           
           Sponsor:
           
          Author

           Support:
           
          Consumers Union
          The American Federation of State, County and State Employees,  
          AFL-CIO
          The Utility Reform Network

           Oppose:
           
          None on file

          
























          Randy Chinn 
          SB 500 Analysis
          Hearing Date:  January 15, 2002