BILL NUMBER: SB 1753 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY JUNE 13, 2002
AMENDED IN SENATE MAY 2, 2002
INTRODUCED BY Senator Bowen
(Coauthors: Senators Burton, Dunn, Sher, and Speier)
FEBRUARY 21, 2002
An act to add Section 345.5 to the Public Utilities Code, relating
to public utilities.
LEGISLATIVE COUNSEL'S DIGEST
SB 1753, as amended, Bowen. Independent System Operator: duties.
(1) Existing law provides for the establishment of an Independent
System Operator, a nonprofit, public benefit corporation, to ensure
efficient use and reliable operation of the electrical transmission
grid.
This bill would require the Independent System Operator to conduct
its operations consistent with applicable state and federal
laws and consistent with the interests of the people of the
state. The bill would also require the Independent System Operator
to manage the transmission grid and related energy markets in a
manner that makes the most efficient use of available energy
resources, assures the least reduces
overall economic cost to the state's consumers, is consistent with
state policies applicable state law
intended to protect the public's health and the environment, and
assures the maximum maximizes the
availability of electric generation resources necessary to meet the
needs of the state's electricity consumers. The bill would also
require the Independent System Operator to ensure that its purposes
and functions are consistent with those of a nonprofit public benefit
corporation, maintain open meetings consistent with the general
policies of the Bagley-Keene Open Meetings Act, and provide
public access to corporate records consistent with the general
policies of the California Public Records Act. The
bill would authorize the Independent System Operator's governing
board to adopt exceptions to the requirement to maintain open
meetings and provide public access to corporate records if it finds
the exceptions further the purposes of the governing acts.
Since under existing law a violation of the bill's requirements would
be a crime, this bill would impose a state-mandated local program by
changing the definition of a 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.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 345.5 is added to the Public Utilities Code, to
read:
345.5. (a) The Independent System Operator, as a nonprofit,
public benefit corporation, shall conduct its operations consistent
with applicable state and federal laws and consistent with
the interests of the people of the state.
(b) To ensure the reliability of retail
electric service and the health and safety of the public, the
Independent System Operator shall manage the transmission grid and
related energy markets in a manner that is consistent with all of the
following:
(1) Makes Making the most efficient
use of available energy resources. For purposes of this section
, "available energy resources" include energy, capacity,
ancillary services, and demand bid into markets administered by the
Independent System Operator. "Available energy resources" do not
include a schedule of bilateral energy contracts or generation
submitted to the Independent System Operator by an electrical
corporation or a local publicly owned electric utility to meet its
own customer load.
(2) Assures the least Reducing, to the
extent possible, overall economic cost to the state's
consumers.
(3) Is consistent with state policies
Applicable state law intended to protect the public's health
and the environment.
(4) Assures maximum availability of
Maximizing availability of existing electric generation
resources necessary to meet the needs of the state's electricity
consumers.
(c) The Independent System Operator shall do all of the following:
(1) Consult and coordinate with appropriate state and local
agencies to ensure that the Independent System Operator operates in
furtherance of state policies law
regarding consumer and environmental protection.
(2) Ensure that the purposes and functions of the Independent
System Operator are consistent with the purposes and functions of
nonprofit, public benefit corporations in the state, including duties
of care and conflict-of-interest standards for officers and
directors of a corporation.
(3) Maintain open meeting standards and meeting notice
requirements consistent with the general policies of the
Bagley-Keene Open Meetings Act (Article 9 (commencing with Section
11120) of Chapter 1 of Part 1 of the Government Code) and affording
the public the greatest possible access, consistent with other duties
of the corporation. The Independent System Operator
governing board may adopt exceptions to the strict requirements of
the act, including, but not limited to, decreasing the notice
requirement for public meetings, if it finds that the exceptions
further the purposes of the act. corporation. The
Independent System Operator's Open Meeting Policy, as adopted on
April 23, 1998, and in effect as of May 1, 2002, meets the
requirements of this paragraph. The Independent System Operator
shall maintain a policy that is no less consistent with the
Bagley-Keene Open Meetings Act than its policy in effect as of May 1,
2002.
(4) Provide public access to corporate records consistent with the
general policies of the California Public Records Act
(Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1
of the Government Code) and affording the public the greatest
possible access, consistent with the other duties of the corporation.
The Independent System Operator governing board may adopt
exceptions to the strict requirements of the act if it finds that the
exceptions further the purposes of the act. The
Independent System Operator's Information Availability Policy, as
adopted on October 22, 1998, and in effect as of May 1, 2002, meets
the requirements of this paragraph. The Independent System Operator
shall maintain a policy that is no less consistent with the
California Public Records Act than its policy in effect as of May 1,
2002.
SEC. 2. No reimbursement is required by this act pursuant to
Section 6 of Article XIII B 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 XIII B of the California
Constitution.