BILL ANALYSIS                                                                                                                                                                                                    



                                                          AB 301
                                                          Page  1

Date of Hearing:   April 5, 1999

          ASSEMBLY COMMITTEE ON UTILITIES AND COMMERCE 
                     Roderick Wright, Chair
        AB 301 (Wright) - As Introduced:  February 8, 1999
     AS PROPOSED TO BE AMENDED LEGISLATIVE COUNSEL RN9910131
  
SUBJECT  :   Public Utilities Commission Rules and Regulations

  SUMMARY  :   Requires the California Public Utilities Commission  
(CPUC) to modify its rules of practice and procedure to allow  
interested persons to petition the commission to adopt, amend or  
repeal a regulation.   Specifically,  this bill  :  

1)Establishes that the term "interested persons" is to be  
  construed broadly, to infer standing all persons seeking to  
  avail themselves of the rights embodied herein;

2)Establishes that the regulations referred to in the bill are  
  intended as a general reference to rules of general  
  applicability and future effect;

3)Requires CPUC to establish rules that would allow any  
  interested person to petition the commission to make changes  
  in its regulations;

4)Requires CPUC to either institute a rulemaking or deny the  
  petition within a six-month timeframe;

5)Specifies that CPUC must include a statement of the reasons  
  for denial; and,

6)Requires CPUC to develop, in not less than 18 months after its  
  effective date, guidelines for implementing this section in  
  its rules of Practice and Procedure.

  EXISTING LAW  requires CPUC to submit amendments, revisions or  
modifications of its Rules of Practice and Procedure to the  
Office of Administrative Law (OAL) in accordance with specified  
sections of the Government Code.  Existing law does not,  
however, provide interested parties with the specific authority  
to petition to adopt, amend, or repeal a regulation, nor does it  
require CPUC to respond to such petitions.

  FISCAL EFFECT  :   CPUC has determined that it would require two  








                                                          AB 301
                                                          Page  2

additional Administrative Law Judges (ALJ) to annually analyze  
approximately 12 petitions and three rulemakings resulting from  
this bill.  This increase, of 15 docketed items, is an  
approximate 25% increase in the current caseload per ALJ.  CPUC  
has also determined that increased document management and  
clerical support related to these 15 additional dockets requires  
two additional support staff.  Thus $136,345 from the Public  
Utilities Reimbursement Account is appropriated to CPUC for the  
purposes of funding the costs incurred in implementing this  
bill.

  COMMENTS  :   The purpose of this bill is to codify a process so  
that any interested persons can file petitions for regulatory  
change at CPUC.  At present, there is no guarantee that a  
petition, once filed, would be addressed by CPUC at any time  
certain.  The deregulation of the telecommunications industry,  
restructuring in the gas and electric industries, and the  
overall proliferation of changes at CPUC today necessitates the  
ability to request changes in a uniform manner.  Establishing a  
clear process for change will enable all stakeholders to respond  
quickly with the assurance that their request will be addressed  
within a time certain.

Last year, SB 779 (Calderon), Chapter 886, Statutes 1998, was  
enacted to implement several changes impacting CPUC in an effort  
to expand both public access to CPUC actions and proceedings and  
judicial review of CPUC decisions.  SB 779 also required that  
changes to CPUC procedures be reviewed and approved by the OAL.   
This bill is an effort to further expand public access to CPUC  
actions and proceedings and embraces the policies and principles  
contained in the Administrative Procedure Act.

  REGISTERED SUPPORT / OPPOSITION  :   

  Support  

GTE California, Inc.
California Municipal Utilities Association
California Public Utilities Commission

  Opposition  

None on file
  
Analysis Prepared by  :    Carolyn Veal-Hunter / U. & C. / (916)  








                                                          AB 301
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319-2083