BILL NUMBER: AB 2767	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Members Richman and Canciamilla

                        FEBRUARY 20, 2004

   An act to amend Section 80260 of the Water Code, relating to
electricity.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 2767, as introduced, Richman.  Department of Water Resources:
electricity purchases:  contracts.
   Existing law that provides for the purchase of electricity by the
Department of Water Resources for sale to retail end-use customers
and to requesting local publicly owned electric utilities, as
practicable, prohibits the department from contracting for the
purchase of electrical power under those provisions on and after
January 1, 2003, but states that the authority of the department to
administer contracts entered into prior to that date, or the
department's authority to sell electricity, is unaffected.
   This bill would clarify that the authority of the department to
administer each contract entered into under those provisions
includes, but is not limited to, the authority to renegotiate,
novate, or otherwise amend that contract to include any contractual
term that the department determines to be necessary, appropriate, or
convenient to further the purposes of those provisions.  The bill
would authorize the department to enter into arrangements that it
determines to be necessary, appropriate, or convenient to implement
that authority.  The bill would declare that its provisions are
declaratory of existing law.
   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.  Section 80260 of the Water Code is amended to read:
   80260.   (a)  On and after January 1, 2003, the
department shall not contract under this division for the purchase of
electrical power.  This section does not affect the authority of the
department to administer contracts entered into prior to that date
or the department's authority to sell electricity.  
   (b) Notwithstanding any other provision of law, the authority of
the department to administer each contract entered into under this
division includes, but is not limited to, the authority to
renegotiate, novate, or otherwise amend that contract to include any
contractual term that the department determines to be necessary,
appropriate, or convenient to further the purposes of the program
described in this division.  The department may enter into
arrangements that it determines to be necessary, appropriate, or
convenient to implement this subdivision.  The Legislature finds and
declares that this subdivision is declaratory of existing law.