BILL NUMBER: SB 177 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY AUGUST 31, 1999
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 616.1, 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 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. This bill would exempt specified entities, as
prescribed. 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
SECTION 1. Section 616.1 is added to the Public Utilities Code, to
read:
616.1. Notwithstanding Section 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 and Section 626
do not apply to a railroad corporation , a refined
petroleum product common carrier pipeline 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 owners of the
property is outweighed by the benefits to the public utility.
(C) The public benefit of acquiring the property by eminent domain
outweighs the hardship to the owners of the property.
(D) The proposed project is located in a manner most compatible
with the greatest public good and least private injury.
(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.
(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.
(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.
(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.