BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 580
                                                                  Page  1

          Date of Hearing:   July 13, 2005

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                   Judy Chu, Chair

                   SB 580 (Escutia) - As Amended:  April 26, 2005 

          Policy Committee:                              UtilitiesVote:6-4

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:               

           SUMMARY  

          This bill expands the Public Utilities Commission (PUC)  
          Low-Income Oversight Board (LIOB) purview to include water  
          utility customer issues in addition to the existing electric and  
          gas customer issues, and increases the number of LIOB board  
          members from 9 to 11.

           FISCAL EFFECT  

          Minor absorbable costs to the PUC for additional staff support  
          associated with the board's expanded purview.

           COMMENTS  

           Purpose . Established in 2001, the LIOB advises the PUC about the  
          California Alternative Rates for Energy (CARE) program, which  
          provides rate discounts for eligible low-income customers, and  
          the low-income energy efficiency (LIEE) programs that seek to  
          reduce customers' energy bills by reducing demand. Current law  
          also requires the PUC to consider programs to assist low-income  
          water ratepayers. This bill adds water issues to the LIOB's  
          advisory role. According to the author, the PUC has  
          unsuccessfully attempted to address water rate issues for  
          low-income customers in a number of rate cases.

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081