BILL ANALYSIS 1 1 SENATE ENERGY, UTILITIES AND COMMUNICATIONS COMMITTEE DEBRA BOWEN, CHAIRWOMAN ------------------------------------------------------------ |SB 1299 - Senate EU&C |Hearing Date:April 13, | S| |Committee |1999 | | |------------------------------+--------------------------+--| |As Introduced:March 1, 1999 | | B| |------------------------------+--------------------------+--| | | | | |------------------------------+--------------------------+--| | | | 1| |------------------------------+--------------------------+--| | | | 2| |------------------------------+--------------------------+--| | | | 9| |------------------------------+--------------------------+--| | | | 9| |------------------------------+--------------------------+--| | | | | ------------------------------------------------------------ DESCRIPTION This bill eliminates the requirements that publicly-owned utilities report to the California Energy Commission (CEC), and that the CEC in turn report to the Legislature, regarding low-income weatherization programs. KEY QUESTION 1)Is there any value in having the CEC collect, and pass on to the Legislature, reports on the status of publicly-owned utilities' low-income weatherization programs? BACKGROUND The U.S. Department of Energy's (DOE) Weatherization Assistance Program (WAP) provides grants to states, which in turn provide grants to local agencies, to install energy conservation measures for low-income households, especially those with children, and the elderly and disabled, to reduce financial hardships. In California, the Community Services Department (CSD) operates the WAP. Under the CSD's program, each publicly-owned electric and gas utility must provide home weatherization services such as attic insulation, weather-stripping, minor housing repairs and related energy conservation measures to improve the energy efficiency of low-income homes. The utilities are responsible for developing and implementing their own low-income weatherization program SB 1601 (Rosenthal), Chapter 809, Statutes of 1992, requires publicly-owned utilities to provide low-income weatherization services. SB 1601 was intended to ensure that all low-income households have access to such weatherization programs from either a privately or publicly-owned utility. Previously, only investor-owned utilities were required to provide low-income weatherization services. In addition, SB 1601 required publicly-owned utilities to submit a status report to the CEC regarding these programs every two years. As part of the biennial Conservation Report to the Legislature, the CEC is required to summarize the programs and their compliance with weatherization statutes. SB 1299 repeals these reporting requirements, but not the substantive low-income weatherization requirements. COMMENTS 1) Programs yes, report no. Energy efficiency offers numerous environmental and economic benefits. Investments in weatherization save an average household approximately $193 in gas energy costs annually. However, the report associated with these programs appears to be no longer needed. 1) The CEC's first low-income weatherization report, which included the 1993-94 weatherization reports from both privately or publicly owned utilities, was drafted in 1995. However, the 1995 report was never finalized or released because the CEC's biennial Conservation Report was never published. 2) According to the CEC, the enactment of AB 1890 (Brulte), Chapter 854, Statutes of 1996, which revised the CEC's responsibilities, further delayed the release of the report. The CEC is unaware of any public interest or request for the information that the report provides. In addition, the CEC's understanding is that the weatherization program information may already be provided to the public at the local level through municipal utilities. 1) Get on the omnibus. This bill is intended to serve as the Committee's omnibus code maintenance bill. As such, a number of technical, non-controversial provisions will be added as it moves through the process. As is the practice with omnibus bills, if a provision is added to the bill that attracts opposition, that provision will be removed. POSITIONS Support: California Municipal Utilities Association Oppose: None reported to Committee. Lawrence Lingbloom SB 1299 Analysis Hearing Date: April 13, 1999