BILL NUMBER: SB 177 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY AUGUST 26, 1999
AMENDED IN ASSEMBLY JULY 8, 1999
AMENDED IN SENATE MAY 19, 1999
AMENDED IN SENATE APRIL 21, 1999
AMENDED IN SENATE APRIL 7, 1999
AMENDED IN SENATE MARCH 16, 1999
INTRODUCED BY Senators Peace and Burton
JANUARY 12, 1999
An act to add Sections 625 and 626 to, and to repeal and add
Section 616 of, the Public Utilities Code, relating to public
utilities.
LEGISLATIVE COUNSEL'S DIGEST
SB 177, as amended, Peace. Public utilities: eminent domain.
(1) The Public Utilities Act authorizes certain public utilities
to condemn property, as prescribed.
This bill would amend the act to prohibit a telephone corporation
from condemning any property on an airport, as prescribed,
unless that property is necessary to provide telecommunications
services as a carrier of last resort seeking to serve an
unserved areas area . The bill would
amend the act to prohibit specified public utilities that offer
competitive services from condemning any property for the purpose of
competing with another entity in the offering of those competitive
services, unless the Public Utilities Commission finds, pursuant to a
petition or complaint filed by the public utility, an adjudication
hearing in accordance with specified provisions of the act governing
hearings and judicial review, and a public hearing in the local
jurisdiction that would be affected by the proposed condemnation, as
prescribed, that such an action would serve the public interest.
Condemnation actions necessary solely to meet a
commission-ordered obligation to serve would be excepted from these
requirements, as prescribed. The bill would require
specified utilities or their affiliates or subsidiaries to give
notice, as prescribed, if they intend to install telecommunications
equipment on property acquired by eminent domain, as prescribed.
The bill would authorize the commission to make such a finding
if, in the determination of the commission, either of specified
conditions is met. The bill would require the commission to develop
procedures to facilitate access for affected property owners to
eminent domain proceedings pursuant to those provisions, and to
facilitate the participation of those owners in those proceedings.
The bill would specify matters relating to certain existing
provisions of the Code of Civil Procedure governing eminent domain
proceedings. The bill would prohibit a public utility from entering
into any exclusive access agreement with the owner or lessor of, or a
person controlling or managing, a property or premises served by the
public utility, or from committing or permitting any other act, that
would limit the right of any other public utility to provide service
to a tenant or other occupant of the property or premises.
(2) Because a violation of the act is a crime, this bill would
impose a state-mandated local program by creating a new crime.
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 616 of the Public Utilities Code is repealed.
SEC. 2. Section 616 is added to the Public Utilities Code, to
read:
616. A telephone corporation may not condemn any property unless
that property is necessary for that telephone corporation to provide
telecommunications services as a carrier of last resort seeking to
serve unserved areas.
616. A telephone corporation may not condemn any property on an
airport owned by a city and county, and located in another county,
unless that property is necessary for that telephone corporation to
provide telecommunications as a carrier of last resort seeking to
serve an unserved area.
SEC. 3. Section 625 is added to the Public Utilities Code, to
read:
625. (a) (1) (A) For the purpose of this article,
except as specified in paragraph (4), a public utility that offers
competitive services may not condemn any property for the purpose of
competing with another entity in the offering of those competitive
services, unless the commission finds that such an action would serve
the public interest, pursuant to a petition or complaint filed by
the public utility and an adjudication hearing in accordance with
Chapter 9 (commencing with Section 1701), including an opportunity
for the public to participate.
(B) The requirements of this section do not apply to the
condemnation of any property that is necessary solely for an
electrical company or gas corporation to meet its commission-ordered
obligation to serve. Proposed exercises of eminent domain by
electrical or gas corporations that initially, or subsequently,
acquire property for either commission-ordered electrical corporation
obligation to serve and competitive telecommunications services or
gas corporation obligation to serve and telecommunications services
are subject to paragraph (2) of subdivision (b). For property
acquired through the exercise of eminent domain after January 1,
2000, by an electrical or gas corporation solely to meet its
commission-ordered obligation to serve, any electrical or gas
corporation, or subsidiary or affiliate, that intends to install
telecommunication equipment on the property for the purpose of
providing competitive telecommunications services shall provide
notice for the planned installation in the commission calendar.
(2) (A) Before making a finding pursuant to this subdivision, the
commission shall conduct the hearing in the local jurisdiction that
would be affected by the proposed condemnation. The hearing shall
commence within 45 days of the date that the petition or complaint is
filed, unless there is a need for discovery or the respondent
requests an extension. The commission shall provide public notice of
the hearing pursuant to the procedures of the commission and shall
also notify the local jurisdiction. In addition, the commission
shall provide the local jurisdiction with copies of the notice of
hearing in time for the local jurisdiction to mail that notice at
least seven days in advance of the hearing to all persons who have
requested copies of the local jurisdiction's agenda or agenda packet
pursuant to Section 54954.1 of the Government Code.
(B) For purposes of subparagraph (A), "local jurisdiction" means
each city within whose boundaries property sought to be taken by
eminent domain is located, and if property sought to be taken is not
located within city boundaries, each county within whose boundaries
that property is located. However, where there is more than one local
jurisdiction with respect to a single complaint or petition, the
commission shall provide notice and copies of notices for mailing to
all local jurisdictions involved, but shall hold only a single
hearing in any one of those local jurisdictions.
(3) (A) The assigned commissioner or administrative law judge
shall render a decision on making a finding in accordance with this
subdivision within 45 days of the conclusion of the hearing, unless
further briefing is ordered, in which event this period may be
extended by up to 30 additional days to allow for briefing.
(B) If the rendering of a decision pursuant to this subdivision
requires review under the California Environmental Quality Act
(Division 13 (commencing with Section 21000) of the Public Resources
Code), then the time limits contained in subparagraph (A) of
paragraph (2) and subparagraph (A) of paragraph (3) shall be extended
as needed to accommodate that review.
(4) This subdivision does not apply to a railroad corporation or a
water corporation.
(b) The commission may make a finding pursuant to subdivision (a)
if, in the determination of the commission, either of the following
conditions is met:
(1) The proposed condemnation is necessary to provide service as a
provider of last resort to an unserved area , except when there
are competing offers from facility-based carriers to serve that area
.
(2) The public utility is able to show all of the following with
regard to the proposed condemnation:
(A) The public interest and necessity require the proposed
project.
(B) The property to be condemned is necessary for the proposed
project.
(C) That, if the commission does not permit the acquisition of the
property by eminent domain, the hardship to the public
utility will outweigh any hardship to the owners of the property.
hardship to the owners of the property is outweighed
by the benefits to the public utility.
(D) The proposed project is located in a manner most compatible
with the greatest public good and least private injury.
(c) A public utility may not condemn property and subsequently use
that property for any purpose other than a public utility purpose,
or sell that property, unless that property has been used by the
public utility for a public utility purpose for 50 years from the
date of condemnation.
(d)
(c) The commission shall develop procedures to facilitate
access for affected property owners to eminent domain proceedings
pursuant to this section, and to facilitate the participation of
those owners in those proceedings.
(e)
(d) Nothing in this section relieves a public utility from
complying with Section 1240.030 of the Code of Civil Procedure or any
other requirement imposed by law.
(f)
(e) A public utility that does not comply with this section
may not exercise the power of eminent domain, including, but not
limited to, any authority provided by Title 7 (commencing with
Section 1230.010) of Part 3 of the Code of Civil Procedure.
(g)
(f) The authority provided in this section supplements, and
does not replace or otherwise affect any other limitation in law on
the exercise of the power of eminent domain, including, but not
limited to, any authority provided by Title 7 (commencing with
Section 1230.010) of Part 3 of the Code of Civil Procedure.
SEC. 4. Section 626 is added to the Public Utilities Code, to
read:
626. On or after January 1, 2000, a public utility may not enter
into any exclusive access agreement with the owner or lessor of, or a
person controlling or managing, a property or premises served by the
public utility, or commit or permit any other act, that would limit
the right of any other public utility to provide service to a tenant
or other occupant of the property or premises.
SEC. 5. No reimbursement is required by this act pursuant to
Section 6 of Article XIIIB 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 XIIIB of the California Constitution.