BILL NUMBER: SB 703	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senators Florez, Denham, and Poochigian

                        FEBRUARY 21, 2003

   An act to amend Section 744 of the Public Utilities Code, relating
to public utilities.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 703, as introduced, Florez.  Electrical corporations:
agricultural tariffs.
   (1) The Public Utilities Act requires every electrical corporation
furnishing electricity to an agricultural producer, in addition to
its regular service, to prepare and file tariffs providing for
optional alternative interruptible service and optional off-peak
demand service to any agricultural producer at discounted rates.
   This bill would prohibit such a tariff from including any demand
charge, connected load charge, facilities related charge, or any
similar fixed charge. Because a violation of the act is a crime, this
bill, by establishing a new restriction on tariffs and thereby
changing the definition of a crime, would impose a state-mandated
local program.
  (2) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  yes.


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


  SECTION 1.  It is the intent of the Legislature to reduce
agricultural dependence on stationary diesel engines by establishing
an incentive for agricultural and water pumping customers to return
to electrical service by excluding certain charges from electrical
corporation agricultural tariffs.
  SEC. 2.  Section 744 of the Public Utilities Code is amended to
read:
   744.  (a) As used in this section, "agricultural producer" means
any person or corporation whose principal purpose is the agrarian
production of food or fiber.
   (b) Every electrical corporation furnishing electricity to an
agricultural producer shall, in addition to its regular service,
prepare and file tariffs providing, where economically and
technologically feasible, for optional alternative interruptible
service to any agricultural producer upon reasonable notice to the
agricultural producer consistent with safety of operations by the
agricultural producer and providing for limits upon the frequency and
duration of interruption of service which the commission finds are
reasonable in relation to the needs of the electrical corporation for
reductions in load to meet system peak requirements and the burdens
imposed upon the agricultural producer of reducing its operations
during periods of interruption of electrical service.  The commission
shall establish the rate for this service at an appropriate discount
from the system average rate, which shall be not less than the cost
of furnishing this service.
   (c) Every electrical corporation furnishing electricity to an
agricultural producer shall, in addition to its regular service,
prepare and file tariffs providing for an optional off-peak demand
service, including the availability of time-differentiating meters or
other measurement devices, to any agricultural producer providing
for furnishing electricity to the agricultural producer during
periods of off-peak demand and which the commission finds are
reasonable in relation to the needs of the electrical corporation for
reduction in demand to meet system peak requirements and the burdens
imposed upon the agricultural producer of scheduling its operations
to coincide with the periods of off-peak demand.  The off-peak demand
service tariff shall be composed of a two-part time differentiated
schedule consisting of on- and off-peak rates.  The commission shall
establish the rate for this service at an appropriate discount from
the system average rate, which shall be not less than the cost of
furnishing this service.  
   (d) A tariff filed pursuant to this section may not include any
demand charge, connected load charge, facilities related charge, or
any similar fixed charge. 
  SEC. 3.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.