BILL ANALYSIS SB 168 Page 1 Date of Hearing: June 30, 2003 ASSEMBLY COMMITTEE ON NATURAL RESOURCES Hannah-Beth Jackson, Chair SB 168 (Energy, Utilities and Communications) - As Amended: June 19, 2003 SENATE VOTE : 39-0 SUBJECT : Telecommunications: Renewable Resource Trust Fund. SUMMARY : This bill is the Senate Energy, Utilities and Communications Committee annual clean up measure and contains a number of technical and non-substantive changes to the codes. EXISTING LAW : 1)Requires the State Energy Resources Conservation and Development Act (CEC) to certify a sufficient number of sites and related facilities to provide a supply of electric power sufficient to accommodate projected demand for power statewide. 2)Prohibits the CEC from certifying any power facility that does not comply with applicable state, local, or regional standards, ordinances, or laws, unless determined by the CEC. 3)Authorizes the CEC to solicit applications for awards, using a sealed competitive bid, competitive negotiation process, multiparty agreement, single source, or sole source method. 4)Requires the CEC to regularly convene an advisory board to make recommendations guiding the CEC's selection of specified programs and projects to be funded. 5)Requires the CEC to report to the Legislature on the implementation of the Renewable Resource Trust Fund and funding mechanisms on a quarterly basis and on the funding mechanisms every two years. 6)Requires the CEC, in consultation with the Public Utilities Commission (PUC), to submit a report to the Legislature on the feasibility of implementing real-time metering by March 31, 2003. SB 168 Page 2 7)Requires the PUC to develop, implement, and maintain a suitable program to establish a fair and equitable local rate structure aided by transfer payments to small independent telephone corporations serving high cost rural and small metropolitan areas, in order to promote the goals of universal telephone service. 8)Requires the PUC to transfer monies for this program into the California High-Cost Fund-B Administrative Committee Fund, upon appropriation in the annual Budget Act. 9)Establishes the Universal lifeline Telephone Trust Administrative Committee Fund, within the PUC, to meet minimum residential communication needs. THIS BILL : 1)Expands the potential membership of a CEC advisory board to include the Public Interest Research Program. 2)Eliminates requirements that the CEC file four quarterly reports, an annual report and a biennial report, on the Renewable Resource Trust Fund and consolidates these reports into one annual report to the Legislature. 3)Extends, from March 31, 2003 to September 30, 2003, the due date for a CEC report, as revised, regarding the feasibility of implementing real-time metering. 4)Appropriates $40,000,000 from the High Cost Fund A Administrative Committee Fund to the PUC to pay for prior year claims owed to telephone corporations providing services in the high-cost rural and small metropolitan areas. 5)Appropriates $6,000,000 from the Universal Lifeline Telephone Service Trust Administrative Committee Fund to the PUC to pay for prior year claims owed to telephone corporations providing discounted residential telephone services to eligible customers. 6)Makes technical changes to correct cross-reference errors and grammatical errors. FISCAL EFFECT : According to the Senate Appropriations Committee SB 168 Page 3 Analysis, the bill has minimal costs. COMMENTS : This bill is the annual omnibus clean up bill for the Senate Energy, Utilities and Communications Committee. The bill contains only technical items that have no opposition and do not present a major policy question. According to the Committee Chair's office, the bill corrects several incorrect cross references, expands the potential membership of a CEC advisory board for the Public Interest Research Program, and consolidates a number of reports the CEC is required to file with the Legislature into a single annual report. In addition, this bill contains an appropriation to pay approved prior year claims owed to telephone corporations that provide services under the High Cost Fund B program and the Universal Lifeline Telephone Service program. REGISTERED SUPPORT / OPPOSITION : Support None on file Opposition None on file Analysis Prepared by : Kyra Emanuels Ross / NAT. RES. / (916) 319-2092