BILL NUMBER: AB 1735	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 8, 2003
	AMENDED IN ASSEMBLY  APRIL 24, 2003

INTRODUCED BY   Committee on Utilities and Commerce (Reyes (Chair),
Calderon, Campbell, Canciamilla, Diaz, Jerome Horton, La Malfa,
Levine, Maddox, Nunez, Richman, and Ridley-Thomas)

                        MARCH 5, 2003

   An act to add Section 1701.5 to the Public Utilities Code,
relating to public utilities.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1735, as amended, Committee on Utilities and Commerce.
Public Utilities Commission: ratesetting and quasi-legislative cases.

   Under the Public Utilities Act, the Public Utilities Commission
has regulatory authority over public utilities and is authorized to
conduct investigations and conduct proceedings.  Existing law
authorizes the commission to determine whether a proceeding requires
a hearing, and if so, to determine whether the matter requires a
quasi-legislative, an adjudication, or a ratesetting hearing,
authorizes the commission to assign one or more commissioners and
administrative law judges to oversee cases, and prescribes separate
procedures for proceedings that the commission determines are either
quasi-legislative, adjudication, or ratesetting cases.  Adjudication
matters are required to be resolved within 12 months of initiation
unless the commission makes findings why that deadline cannot be met
and issues an order extending that deadline.  In a ratesetting or
quasi-legislative hearing, the commission is required to issue a
final decision not later than 60 days after the issuance of a
proposed decision, except that under extraordinary circumstances the
commission may extend the time for issuance of a final decision for a
reasonable period.
   This bill would require the commission to resolve a ratesetting or
quasi-legislative case within 18 months of the date of filing,
unless the commission makes a written determination that the deadline
cannot be met and issues an order extending that deadline.  The bill
would provide that, if the commission issues an order extending the
deadline in a utility's general rate case proceeding for reasons not
caused by the utility, the utility's test year results of operations
and rates shall be effective as of the first day of the first test
year.   The bill would require, if a rehearing of a
ratesetting or quasi-legislative case is granted, that the parties
have an opportunity for final oral argument. 
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  no.


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


  SECTION 1.  Section 1701.5 is added to the Public Utilities Code,
to read:
   1701.5.  The commission shall resolve a ratesetting or
quasi-legislative case within 18 months of the date of filing, unless
the commission makes a written determination that the deadline
cannot be met, including findings as to the reason, and issues an
order extending the deadline.  If the commission issues an order
extending the deadline in a utility's general rate case proceeding
for reasons not caused by the utility, the utility's test year
results of operations and rates, as ordered by the commission, shall
be effective as of the first day of the first test year.   If
a rehearing of a ratesetting or quasi-legislative case is granted,
the parties shall have an opportunity for final oral argument.