BILL NUMBER: AB 1389	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Ridley-Thomas

                        FEBRUARY 21, 2003

   An act to add Article 9 (commencing with Section 650) to Chapter 3
of Part 1 of Division 1 of the Public Utilities Code, relating to
public utilities.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1389, as introduced, Ridley-Thomas.  Public utilities: rights
and obligations: hiring.
   Under existing law, the Public Utilities Commission has regulatory
authority over public utilities. The Public Utilities Act
establishes the rights and obligations of public utilities under the
jurisdiction of the commission.
   This bill would provide that it is the policy of California,
consistent with constitutional requirements, that the tasks and
duties necessary for the rendering of public utility service within
the state be performed by California residents.
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  no.
State-mandated local program:  no.


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


  SECTION 1.  The Legislature finds and declares all of the
following:
   (a) Public utilities serve a vital function, providing basic
infrastructure essential to the efficient conduct of commerce and
societal interaction.
   (b) Because of the essential nature of public utility services and
the economics of the production of public utility services, state
policy has shielded the public utilities from competition by granting
the public utilities monopolies within their service areas.
   (c) Though public utility markets have been increasingly subject
to competition, the public utilities have nevertheless retained
distinct competitive advantages versus their competitors because of
actions taken by the Public Utilities Commission.
   (d) In exchange for the state's granting of public utility
monopolies or near-monopolies, the public utilities bear a heightened
responsibility for contributing to the public interest.
   (e) The public interest has been interpreted to include providing
an adequate level of public utility service at a just and reasonable
rate.  This interpretation has not explicitly included a
consideration of the benefits of public utility employment to the
state and its residents.  A more complete interpretation of the
public interest would give this consideration some weight.
   (f) Given the current poor economic climate and the high
unemployment rate within the State of California, it is necessary and
proper state policy to encourage the employment of Californians and
discourage the employment of non-Californians by California's public
utilities.
   (g) The Public Utilities Commission has broad powers to regulate
the practices and rates of public utilities.
  SEC. 2.  Article 9 (commencing with Section 650) is added to
Chapter 3 of Part 1 of Division 1 of the Public Utilities Code, to
read:

      Article 9.  Hiring.
   650.  It is the policy of the State of California, consistent with
the federal and state constitutions, that the tasks and duties
necessary for the rendering of public utility service within the
state shall be performed by residents of California.