BILL NUMBER: SB 659 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY AUGUST 23, 2004
AMENDED IN ASSEMBLY JUNE 1, 2004
AMENDED IN ASSEMBLY JUNE 9, 2003
AMENDED IN SENATE APRIL 21, 2003
INTRODUCED BY Senator Soto
FEBRUARY 21, 2003
An act to amend Section 1731 of, and to repeal Section
1768 of, Sections 1731 and 1768 of the Public
Utilities Code, relating to public utilities.
LEGISLATIVE COUNSEL'S DIGEST
SB 659, as amended, Soto. Public Utilities Commission:
rehearings and judicial review.
Under existing law, after any order or decision has been made by
the Public Utilities Commission, any party to the action or
proceeding, or any stockholder or bondholder or other party
pecuniarily interested in the public utility affected, may apply for
a rehearing in respect to any matters determined in the action or
proceeding and specified in the application for rehearing. Existing
law specifically prohibits a cause of action arising out of any order
or decision of the commission construing, applying, or implementing
the provisions of Chapter 4 of the Statutes of the 2001-02
First Extraordinary Session, relating to an electricity crisis, from
accruing in any court to any corporation or person unless the
corporation or person has filed an application to the commission for
a rehearing within 10 days after the date of issuance of its order or
decision, and requires the commission to issue its decision and
order on rehearing within 20 days after the filing of that
application.
Existing law also sets forth a specific procedure to expedite
judicial review of an order or decision of the commission
interpreting, implementing, or applying the provisions of Chapter 4
of the Statutes of the 2001-02 First Extraordinary
Session.
This bill would repeal limit the
expedited rehearing and review provisions applicable specifically to
Chapter 4 of the Statutes of the 2001-02 First
Extraordinary Session , to only those orders or decisions of the
commission that relate to either of the following: (1) the
determination or implementation of the revenue requirements of the
Department of Water Resources, or the establishment or implementation
of bond or power charges necessary to recover those revenue
requirements; or (2) in the determination of the department, require
expedited review for the maintenance of any credit rating on any
bonds or notes of the department issued pursuant to the division of
the Water Code added by Chapter 4 of the Statutes of the 2001-02
First Extraordinary Session, or to meet the department's obligations
with respect any bonds or notes issued pursuant to that division
.
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. The Legislature finds and declares all of the
following:
(a) Chapter 4 of the Statutes of the 2001-02 First
Extraordinary Session authorized the Department of Water Resources
to purchase electric power for sale to customers of certain
financially distressed electrical corporations, and
to issue bonds to fund a portion of the costs of those
purchases , and to establish revenue requirements to recover its
costs of operations and debt service from those customers. Chapter
4 contained additional provisions with respect to the rates and terms
and conditions of service offered by electrical corporations .
(b) Chapter 9 of the Statutes of the 2001-02 First
Extraordinary Session, enacted various amendments to the provisions
described in subdivision (a), and also added expedited rehearing and
judicial review provisions to the Public Utilities Code to
facilitate the issuance of those bonds at the earliest possible date.
(c) The sale of the bonds was successfully completed in late 2002.
(d) Now that the bonds have been sold, the expedited rehearing and
judicial review provisions are no longer necessary and should be
repealed, so that rehearing and judicial review of orders and
decisions of the commission that construe, apply, or implement
Chapter 4 of the Statutes of 2001-02 First Extraordinary Session,
that are not related to the bond issuance can be conducted under the
statutory procedures that govern most other orders and decisions of
the commission. that apply to all orders and decisions
of the Public Utilities Commission arising under Chapter 4.
(c) While the expedited rehearing and judicial review provisions
may still be necessary with respect to orders and decisions of the
commission that relate to the determination or implementation of the
department's revenue requirements or the establishment or
implementation of bond or power charges necessary to recover those
revenue requirements, the expedited rehearing and judicial review
provisions are not necessary or appropriate and should be repealed
with respect to the other issues addressed by Chapter 4, so that
rehearing and judicial review of orders and decisions of the
commission that address those issues can be conducted under the
statutory procedures that govern most other orders and decisions of
the commission.
SEC. 2. Section 1731 of the Public Utilities Code is amended to
read:
1731. (a) The commission shall set an effective date when issuing
an order or decision. The commission may set the effective date of
an order or decision prior to the date of issuance of the order or
decision.
(b) After any order or decision has been made by the commission,
any party to the action or proceeding, or any stockholder or
bondholder or other party pecuniarily interested in the public
utility affected, may apply for a rehearing in respect to any matters
determined in the action or proceeding and specified in the
application for rehearing. The commission may grant and hold a
rehearing on those matters, if in its judgment sufficient reason is
made to appear. No cause of action arising out of any order or
decision of the commission shall accrue in any court to any
corporation or person unless the corporation or person has filed an
application to the commission for a rehearing within 30 days after
the date of issuance or within 10 days after the date of issuance in
the case of an order issued pursuant to either Article 5 (commencing
with Section 816) or Article 6 (commencing with Section 851) of
Chapter 4 relating to security transactions and the transfer or
encumbrance of utility property. For purposes of this article, "date
of issuance" means the date when the commission mails the order or
decision to the parties to the action or proceeding.
(c) No cause of action arising out of any order or decision of the
commission construing, applying, or implementing the provisions of
Chapter 4 of the Statutes of the 2001-02 First Extraordinary Session
that (1) relates to the determination or implementation of the
department's revenue requirements, or the establishment or
implementation of bond or power charges necessary to recover those
revenue requirements, or (2) in the sole determination of the
Department of Water Resources, the expedited review of order or
decision of the commission is necessary or desirable, for the
maintenance of any credit ratings on any bonds or notes of the
department issued pursuant to Division 27 (commencing with Section
80000) of the Water Code or for the department to meet its
obligations with respect to any bonds or notes pursuant to that
division, shall accrue in any court to any corporation or person
unless the corporation or person has filed an application with the
commission for a rehearing within 10 days after the date of issuance
of the order or decision. The Department of Water Resources shall
notify the commission of any determination pursuant to paragraph (2)
of this subdivision prior to the issuance by the commission of any
order or decision construing, applying, or implementing the
provisions of Chapter 4 of the Statutes of the 2001-02 First
Extraordinary Session. The commission shall issue its decision and
order on rehearing within 20 days after the filing of the
application.
SEC. 3. Section 1768 of the Public Utilities Code is
repealed. amended to read:
1768. The following procedures shall apply to judicial review of
an order or decision of the commission interpreting, implementing, or
applying the provisions of Chapter 4 of the Statutes of the
2001-02 First Extraordinary Session that (1) relates to
the determination or implementation of the revenue requirements of
the Department of Water Resources or the establishment or
implementation of bond or power charges necessary to recover those
revenue requirements, or (2) in the sole determination of the
department, the expedited review of an order or decision of the
commission is necessary or desirable, for the maintenance of any
credit ratings on any bonds or notes of the department issued
pursuant to Division 27 (commencing with Section 80000) of the Water
Code or for the department to meet its obligations with respect to
any bonds or notes pursuant to that division :
(a) Within 30 days after the commission issues its order or
decision denying the application for a rehearing, or, if the
application is granted, then within 30 days after the commission
issues its decision on rehearing, any aggrieved party may petition
for a writ of review in the California Supreme Court for the purpose
of determining the lawfulness of the original order or decision or of
the order or decision on rehearing. If the writ issues, it shall be
made returnable at a time and place specified by court order and
shall direct the commission to certify its record in the case to the
court within the time specified. No order of the commission
interpreting, implementing, or applying the provisions of Chapter 4
of the Statutes of the 2001-02 First Extraordinary Session
shall be subject to review in the courts of appeal.
(b) The petition for review shall be served upon the executive
director of the commission either personally or by service at the
office of the commission.
(c) For purposes of this section, the issuance of a decision or
the granting of an application shall be construed to have occurred on
the date when the commission mails the decision or grant to the
parties to the action or proceeding.
(d) All actions and proceedings under this section and all actions
or proceedings to which the commission or the people of the State of
California are parties in which any question arises under this
section, or under or concerning any order or decision of the
commission under this section, shall be preferred over, and shall be
heard and determined in preference to, all other civil business
except election causes, irrespective of position on the calendar.
(e) The provisions of this article apply to actions under this
section to the extent that those provisions are not in conflict with
this section.