BILL NUMBER: SB 1201 INTRODUCED
BILL TEXT
INTRODUCED BY Senator Torlakson
FEBRUARY 10, 2004
An act to amend Section 701.8 of the Public Utilities Code,
relating to electrical restructuring.
LEGISLATIVE COUNSEL'S DIGEST
SB 1201, as introduced, Torlakson. Electrical restructuring:
BART.
Under existing law, the Public Utilities Commission has regulatory
authority over public utilities, including electrical corporations.
The Public Utilities Act requires the commission to authorize direct
transactions between electricity suppliers and retail end-use
customers. However, other existing law suspends the right of retail
end-use customers to acquire service from certain electricity
suppliers after a period of time to be determined by the commission
until the Department of Water Resources no longer supplies
electricity under that law. Existing law authorizes the San
Francisco Bay Area Rapid Transit District's (BART) system to elect to
obtain electricity from multiple sources, including (1) preference
power purchased from a federal power marketing agency or its
successor, (2) electricity supplied by one or more direct
transactions, and (3) electricity supplied by any electric utility
regulated by the commission that owns and operates transmission and
distribution facilities that deliver electricity at one or more
locations to the BART District's system.
This bill would delete the authorization for BART to purchase
electricity supplied by one or more direct transactions, and would
instead authorize BART to elect to obtain electricity from suppliers
other than federal power marketing agencies or electrical
corporations subject to the jurisdiction of the commission. The bill
would provide that electricity supplied pursuant to this
authorization is not supplied pursuant to a direct transaction, that
no entity supplying electricity to the BART District pursuant to this
provision is a public utility subject to the jurisdiction of the
commission as a result, and that any electrical corporation subject
to the jurisdiction of the commission that owns and operates
transmission and distribution facilities would be required, upon
request by the BART District, to deliver electricity to the BART
District pursuant to this authorization without discrimination or
delay. Because a violation of the Public Utilities Act or an order
of the commission is a crime under existing law, the bill would
impose a state-mandated local program by creating a new crime.
The bill would declare that, due to the special circumstances
applicable only to the BART District, a general statute cannot be
made applicable within the meaning of Section 16 of Article IV of the
California Constitution, and the enactment of a special statute is
therefore necessary.
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. Section 701.8 of the Public Utilities Code is amended
to read:
701.8. (a) To ensure that the commission regulated electric
utilities do not operate their transmission and distribution
monopolies in a manner that impedes the ability of the San Francisco
Bay Area Rapid Transit District (BART District) to reduce its
electricity cost through the purchase and delivery of preference
power, electrical corporations shall meet the requirements of this
section.
(b) Any electric utility regulated by the commission that owns and
operates transmission and distribution facilities that deliver
electricity at one or more locations to the BART District's system
shall, upon request by the BART District, and without discrimination
or delay, use the same facilities to deliver preference power
purchased from a federal power marketing agency or its successor.
(c) Where the BART District purchases electric power at more than
one location, at any voltage, from an electric utility under tariffs
regulated by the commission, the utility shall bill the BART District
for usage as though all the electricity purchased at transmission
level voltages were metered by a single meter at one location and all
the electricity purchased at subtransmission voltages were metered
by a single meter at one location, provided that any billing for
demand charges would be based on the coincident demand of
transmission and distribution metering.
(d) If, on or after January 1, 1996, the BART District leases or
has agreed to lease, as special facilities, utility plants for the
purpose of receiving power at transmission level voltages, an
electric utility regulated by the commission may not terminate the
lease without concurrence from the BART District.
(e) When the BART District elects to have delivered pursuant to
subdivision (b), preference power purchased from a federal power
marketing agency, or its successor, neither Sections 365 and 366, and
any commission regulations, orders, or tariffs, that implement
direct transactions, are applicable, nor is the BART District an
electricity supplier. Neither the commission, nor any electric
utility that delivers the federal power to the BART District, shall
require that an electricity supplier be designated as a condition of
the delivery of that power.
(f) The BART District may elect to obtain electric power from the
following multiple sources at the same time:
(1) Electric power delivered pursuant to subdivision (b).
(2) Electric power supplied by one or more direct
transactions suppliers other than federal power
marketing agencies or electrical corporations subject to the
jurisdiction of the commission .
(3) Electric power from any electric utility regulated by the
commission that owns and operates transmission and distribution
facilities that deliver electricity at one or more locations to the
BART District's system.
(g) Any electricity supplied to the BART District pursuant to
paragraph (2) of subdivision (f) is not supplied pursuant to a direct
transaction. Any electrical corporation subject to the jurisdiction
of the commission that owns and operates transmission and
distribution facilities that deliver electricity to the BART District
shall, upon request by the BART District, deliver electricity
supplied pursuant to paragraph (2) of subdivision (b), without
discrimination or delay. No entity is a public utility subject to
the jurisdiction of the commission because it supplies electricity to
the BART District pursuant to paragraph (2) of subdivision (f).
SEC. 2. The Legislature finds and declares that, because of the
unique circumstances applicable only to the San Francisco Bay Area
Rapid Transit District, a statute of general applicability cannot be
enacted within the meaning of subdivision (b) of Section 16 of
Article IV of the California Constitution. Therefore, this special
statute is necessary.
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.