BILL NUMBER: SCR 30	AMENDED
	BILL TEXT

	AMENDED IN SENATE  AUGUST 26, 2003
	AMENDED IN SENATE  JULY 16, 2003

INTRODUCED BY   Senator Poochigian
   (Coauthors:  Senators Ashburn, Battin, Johnson, Margett,
McClintock, McPherson, and Morrow)

                        MAY 1, 2003

   Senate Concurrent Resolution No. 30--Relative to electricity cost
refunds.



	LEGISLATIVE COUNSEL'S DIGEST


   SCR 30, as amended, Poochigian.  Electricity cost refunds.
   This measure would urge that energy-related refunds ordered by the
Federal Energy Regulatory Commission, or negotiated by the Attorney
General, the Governor, or any other agent of the state, should be
used to benefit ratepayers who were harmed and that, in order to
provide relief, money from energy-related refunds should be dedicated
to reduce those ratepayers' costs, to the maximum extent possible,
through reduction of rates or the reduction of ratepayer debt
obligations incurred as a result of the energy crisis.   The
measure would also urge that energy-related refunds should be used to
reimburse reasonable litigation expenses incurred by the Attorney
General. 
   Fiscal committee:  yes.




   WHEREAS, In 2000-01, this state experienced skyrocketing
electricity costs and an unprecedented number of rolling blackouts.
California ratepayers will experience the hardship of excessive
electricity costs for many years; and
   WHEREAS, The Department of Water Resources began to purchase
electricity for the customers of the investor-owned utilities in
January 2001 to avoid electricity service disruptions and to minimize
the adverse effect on California's economy; and
   WHEREAS, California issued approximately $12,000,000,000 in
revenue bonds, the largest municipal bond sale in the history of the
United States, to finance  the  Department of Water
Resources energy purchases and repay funds borrowed from the state's
General Fund; and
   WHEREAS, Ratepayers are now forced to pay an energy surcharge for
the debt service of the energy  bond   bonds
 over 20 years, totaling approximately $17,400,000,000; and
   WHEREAS, The ratepayers of California deserve relief from
exorbitant energy prices ; and
   WHEREAS, The Federal Energy Regulatory Commission must determine
refunds, which may be due to California for unjust and unreasonable
wholesale electricity charges; and
   WHEREAS, The Attorney General has initiated legal proceedings to
recover funds from market participants, and has negotiated
settlements on several energy lawsuits; now, therefore, be it
   Resolved by the Senate of the State of California, the Assembly
thereof concurring, That energy-related refunds ordered by the
Federal Energy Regulatory Commission, or negotiated by the Attorney
General, the Governor, or any other agent of the state, should be
used to benefit the ratepayers who were harmed  and to reimburse
reasonable litigation expenses incurred by the Attorney General 
; and be it further
   Resolved, That, in order to provide relief, money from energy
refunds should be dedicated to reduce those ratepayers' costs, to the
maximum extent possible, through reduction of rates or the reduction
of ratepayer debt obligations incurred as a result of the energy
crisis; and be it further
   Resolved, That the Secretary of the Senate transmit copies of this
resolution to each member of the Federal Energy Regulatory
Commission, the Governor, the Attorney General, each member of the
Public Utilities Commission, and the Director of Water Resources.