BILL ANALYSIS                                                                                                                                                                                                    




                    Appropriations Committee Fiscal Summary
          
          AB 2098 (Migden)
          
          Hearing Date:  8/7/00                       Amended: 8/7/00
          Consultant:  Bob Franzoia      Policy Vote: E, U&C 6-0
          ____________________________________________________________ 
          ___
          BILL SUMMARY: AB 2098 would require the California Energy  
          Commission (CEC), by January 31, 2002, to report on the  
          feasibility of financing, constructing, and operating a new  
          pipeline or expanding the capacity of existing pipelines to  
          transport motor vehicle fuel and its components from the  
          Gulf Coast to California.

                              Fiscal Impact (in thousands)
           
          Major Provisions                     2000-01       2001-02  2002-03         
               Fund  
          
          Study              $200 one time                  Special*
          * Energy Resources Programs Account                      
          
          STAFF COMMENTS: This bill meets the criteria to be placed  
          on the Suspense file.

          California refiners export about 100,000 barrels of  
          gasoline a day to other states, which is approximately 10  
          percent of their overall production.

          Currently, there is a pipeline that transports gasoline  
          from refineries in Los Angeles to Phoenix and another  
          pipeline that transports gasoline from El Paso to Phoenix.   
          A third leg of the connection, which would build a gasoline  
          pipeline from El Paso to Houston, is already under  
          construction.  These three pipelines are owned by three  
          different companies.

          The bill would require that the study shall be conducted in  
          conjunction with any other studies required by act enacted  
          during the 2000 portion of the 1999-00 session dealing with  
          gasoline prices.