BILL ANALYSIS                                                                                                                                                                                                    



                                                                       


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          |SENATE RULES COMMITTEE            |                  SB 1163|
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                                 THIRD READING


          Bill No:  SB 1163
          Author:   Dunn (D)
          Amended:  3/26/04
          Vote:     21

           
           SENATE HOUSING & COMM. DEV. COMMITTEE  :  6-2, 3/22/04
          AYES:  Ducheny, Alarcon, Cedillo, Dunn, Florez, Torlakson
          NOES:  Hollingsworth, Ackerman
          NO VOTE RECORDED:  Vacancy

           SENATE APPROPRIATIONS COMMITTEE  :  7-5, 4/26/04
          AYES:  Alpert, Bowen, Burton, Karnette, Machado, Murray,  
            Speier
          NOES:  Battin, Aanestad, Ashburn, Johnson, Poochigian
          NO VOTE RECORDED:  Escutia


           SUBJECT  :    Utilities

           SOURCE  :     Author


           DIGEST  :    This bill requires the State Public Utilities  
          Commission to accept and investigate, as necessary,  
          complaints made by sub-metered mobilehome park or apartment  
          complex customers alleging violations of master-meter  
          responsibilities, and makes related changes.

           ANALYSIS  :    Current law requires master-meter customers to  
          separately state the opening and closing readings for  
          sub-metered mobilehome park customers when rendering a  
          bill, and to post the prevailing residential utilities rate  
          schedule of the serving utility.
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                                                               SB 1163
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          2


          This bill requires that when the master-meter customer  
          renders such a bill, it shall be generally in the form and  
          with the content of the bills the utility serving the  
          master-meter customer renders to its residential customers.

          This bill requires mobilehome parks to disclose the name,  
          address and telephone number of the billing agent or  
          company on each resident's billing if a third-party billing  
          agent or company prepares utility bills for the park.

          Current law establishes requirements about the rates  
          charged by a master-meter customer to its sub-metered  
          tenants, specifies the general form and content of the  
          bills rendered by the master-meter customer, and makes it a  
          duty of master-meter customers to maintain and repair the  
          facilities between the master-meter and the sub-metered  
          tenant.

          This bill requires the State Public Utilities Commission  
          (PUC), through its consumer affairs branch, to accept and  
          respond to complaints concerning these requirements.

           Comments

           Typically, a master-meter customer is a multi-unit  
          dwelling, such as a mobilehome park or an apartment  
          complex, where the park or complex is the customer of the  
          utility and pays the utility bill.  The park or complex is  
          responsible for the electric, gas, or water system within  
          the park or complex, and separately meters and bills the  
          tenants for their individual utility usage.

          There are approximately 4,850 mobilehome parks and  
          manufactured housing communities in California with over  
          375,000 spaces housing more than 600,000 people.  Each  
          mobilehome space consists of a utility pedestal for  
          electric and gas as well as sewer and water hook-ups.  In  
          most parks, utility service is provided by the park owner  
          to individual mobilehome spaces through a "master-meter"  
          system.

          The Senate Select Committee on Mobile and Manufactured  
          Homes has received a number of complaints from mobilehome  







                                                               SB 1163
                                                                Page  
          3

          park residents about master-meter relationships with park  
          owners.  In 2001, the committee held a hearing on this  
          issue and heard complaints regarding metering inaccuracies,  
          billing mistakes, an inability to contact the billing  
          company, failure to pass through utility rebates, and the  
          imposition of meter-reading fees.

          The first part of this bill requires the PUC to accept and  
          respond to complaints concerning master-meter customers.   
          While this appears unnecessary because the PUC is the  
          enforcement authority for the Public Utilities Code, the  
          author's office notes the PUC has been unwilling or unable  
          to perform this function.  This part of the bill eliminates  
          any ambiguity by making it clear the PUC is responsible for  
          handling complaints filed by sub-metered customers.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

          PUC staff estimate increased costs of $300,000 annually.   
          The Public Utilities Reimbursement Account revenues are  
          derived from an annual fee imposed on public utilities.   
          Therefore, any increased costs should be offset by  
          increased fee revenues.

           SUPPORT  :   (Verified  4/28/04)

          California Mobilehome Resource and Action Association
          Golden State Mobilehome Owners League, Inc.

           OPPOSITION  :    (Verified  4/28/04)

          California Mobilehome Parkowners Alliance
          Western Manufactured Housing Communities Association


          NC:cm  4/28/04   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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