California 2015-2016 Regular Session Status: Passed Senate

SB 286 — Electricity: direct transactions.

Last action — August 11 hearing. Held in committee and under submission.

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  1. ✓
    Introduced
  2. ✓
    In Committee
  3. 3
    Passed Senate
  4. 4
    Passed Assembly
  5. 5
    To Executive
  6. 6
    Enacted

This bill died with 2015-2016 Regular Session. It reached “Passed Senate” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.

This bill is no longer active — its legislative session has ended, so there is no live prognosis. It would have to be reintroduced in the current session to move again.

Summary

The Public Utilities Act requires the Public Utilities Commission, pursuant to electrical restructuring, to authorize and facilitate direct transactions between electricity suppliers and retail end-use customers. Existing law, enacted during the energy crisis of 2000–01, authorized the Department of Water Resources, until January 1, 2003, to enter into contracts for the purchase of electricity, and to sell electricity to retail end-use customers at not more than the department's acquisition costs and to recover those costs through the issuance of bonds to be repaid by ratepayers. That law suspended the right of retail end-use customers, other than community choice aggregators and a qualifying direct transaction customer, as defined, to acquire service through a direct transaction until the Department of Water Resources no longer supplies electricity under that law. Existing law continues the suspension of direct transactions except as expressly authorized, until the Legislature, by statute, repeals the suspension or otherwise authorizes direct transactions. Existing law requires the commission to authorize direct transactions for nonresidential end-use customers subject to a reopening schedule that will phase in over a period of not less than 3 years and not more than 5 years, and is subject to an annual maximum allowable total kilowatthour limit established, as specified, for each electrical corporation. The California Renewables Portfolio Standard Program requires a retail seller, as defined, and local publicly owned electric utilities to purchase specified minimum quantities of electricity products from eligible renewable energy resources, as defined, for specified compliance periods. The program, consistent with the goals of procuring the least-cost and best-fit eligible renewable energy resources that meet project viability principles, requires that all retail sellers procure a balanced portfolio of electricity products from eligible renewable energy resources, meeting specified portfolio content categories. This bill would require the commission to adopt and implement a schedule that implements a 2nd phase-in period for expanding direct transactions for individual retail nonresidential end-use customers over a period of not more than 3 years, raising the allowable limit of kilowatthours that can be supplied by other providers in each electrical corporation's distribution service territory by that electrical corporation's share of an aggregate of 8,000 gigawatthours, apportioned as specified. The bill would require that 75% of an electric service provider's retail sales associated with each 2nd phase direct transaction to be procured from eligible renewable energy resources during 2016, increasing to 100% by December 31, 2020, and would require the commission to enforce the bill's renewables procurement requirements as part of the California Renewables Portfolio Standard Program. The bill would require nonresidential retail end-use customers engaging in direct transactions to be responsible for their proportionate share of the costs of specified programs. The bill would require that an electrical corporation continue to construct, own, and operate distribution system equipment, as specified, and continue to provide support functions, as specified, through its own employees, except that construction of distribution system equipment and line clearance tree trimming may be performed under contract. The bill would prohibit an electric service provider from offering full consolidated billing beginning January 1, 2016. Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime. Because the provisions of this bill would be a part of the act and because a violation of an order or decision of the commission implementing its requirements would be a crime, the bill would impose a state-mandated local program by expanding the operation of a 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.

Bill Text

Action History

  1. August 11 hearing. Held in committee and under submission.

  2. From committee with author's amendments. Read second time and amended. Re-referred to Com. on APPR.

  3. August 27 hearing postponed by committee.

  4. Joint Rule 62(a) suspended.

  5. August 26 set for first hearing. Placed on APPR. suspense file.

  6. Read second time and amended. Re-referred to Com. on APPR.

  7. (Received at desk July 17 pursuant to JR 61(a)(10))

  8. From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 10. Noes 1.) (July 13).

  9. Referred to Com. on U. & C.

  10. In Assembly. Read first time. Held at Desk.

  11. Read third time. Passed. (Ayes 34. Noes 2. Page 1301.) Ordered to the Assembly.

  12. Read second time and amended. Ordered to third reading.

  13. From committee: Do pass as amended. (Ayes 5. Noes 1. Page 1151.) (May 28).

  14. Set for hearing May 28.

  15. May 4 hearing: Placed on APPR. suspense file.

  16. From committee with author's amendments. Read second time and amended. Re-referred to Com. on APPR.

  17. Set for hearing May 4.

  18. Read second time and amended. Re-referred to Com. on APPR.

  19. From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 11. Noes 0. Page 724.) (April 21).

  20. From committee with author's amendments. Read second time and amended. Re-referred to Com. on E., U., & C.

  21. Set for hearing April 21.

  22. April 7 set for first hearing canceled at the request of author.

  23. Set for hearing April 7.

  24. Referred to Com. on E., U., & C.

  25. From printer. May be acted upon on or after March 22.

  26. Introduced. Read first time. To Com. on RLS. for assignment. To print.

Sponsors

  • Hertzberg · Primary

Sponsorship breakdown

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1 sponsors · 0 co-sponsors · 121 not signed on · 2 voted No

Sponsors (1)

  • Hertzberg

Co-sponsors (0)

None.

Not signed on (121)

121 members have not signed on to this bill.

Show all 121 →

"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Votes

Do pass as amended and be re-referred to the Committee on [Appropriations]

Passed 10 Yea · 1 Nay · 4 Other
Party YeaNayPresentNot Voting
Unaffiliated 9004
Republican 1100
Total 10104
% of votes cast 67%7%0%27%
How each member voted (15)
Member Party Vote
Achadjian — Not Voting
Quirk — Not Voting
Ting — Yea
Bonilla — Yea
Eggman — Yea
Burke — Yea
Hadley — Not Voting
Obernolte — Yea
Rendon — Yea
Santiago — Not Voting
Williams — Yea
Cristina Garcia — Yea
Roger Hernández — Yea
Dahle, Megan Republican Nay
Patterson, Joe Republican Yea

Official roll call →

3rd Reading

Passed 34 Yea · 2 Nay · 4 Other
Party YeaNayPresentNot Voting
Unaffiliated 32104
Democratic 2100
Total 34204
% of votes cast 85%5%0%10%
How each member voted (40)
Member Party Vote
Anderson — Yea
Bates — Not Voting
Hill — Yea
Hueso — Yea
Huff — Yea
Leno — Yea
Leyva — Nay
Mendoza — Not Voting
Nielsen — Yea
Pavley — Yea
Vidak — Yea
Fuller — Yea
Glazer — Yea
Cannella — Yea
Galgiani — Yea
Allen — Yea
Mitchell — Yea
De León — Yea
Hall — Yea
Runner — Not Voting
Hernandez — Yea
Hertzberg — Yea
Beall — Yea
Block — Yea
Lara — Yea
Liu — Yea
Monning — Yea
Moorlach — Yea
Morrell — Yea
Pan — Yea
Roth — Yea
Wieckowski — Yea
Wolk — Yea
Hancock — Not Voting
Beth Gaines — Yea
Bill Berryhill — Yea
Mark Stone — Yea
Jackson, Corey A. Democratic Yea
McGuire, Mike Democratic Yea
Nguyen, Stephanie Democratic Nay

Official roll call →

Do pass as amended

Passed 5 Yea · 1 Nay · 1 Other
Party YeaNayPresentNot Voting
Unaffiliated 5101
Total 5101
% of votes cast 71%14%0%14%
How each member voted (7)
Member Party Vote
Bates — Yea
Beall — Yea
Hill — Yea
Lara — Yea
Mendoza — Not Voting
Nielsen — Nay
Leyva — Yea

Official roll call →

Placed on suspense file

Passed 7 Yea · 0 Nay
Party YeaNayPresentNot Voting
Unaffiliated 7000
Total 7000
% of votes cast 100%0%0%0%
How each member voted (7)
Member Party Vote
Bates — Yea
Leyva — Yea
Mendoza — Yea
Hill — Yea
Beall — Yea
Lara — Yea
Nielsen — Yea

Official roll call →

Subjects

technology energy
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Frequently asked questions

What does SB 286 do?
The Public Utilities Act requires the Public Utilities Commission, pursuant to electrical restructuring, to authorize and facilitate direct transactions between electricity suppliers and retail end-use customers. Existing law, enacted during the energy crisis of 2000–01, authorized the Department of Water Resources, until January 1, 2003, to enter into contracts for the purchase of electricity, and to sell electricity to retail end-use customers at not more than the department's acquisition costs and to recover those costs through the issuance of bonds to be repaid by ratepayers. That law suspended the right of retail end-use customers, other than community choice aggregators and a qualifying direct transaction customer, as defined, to acquire service through a direct transaction until the Department of Water Resources no longer supplies electricity under that law. Existing law continues the suspension of direct transactions except as expressly authorized, until the Legislature, by statute, repeals the suspension or otherwise authorizes direct transactions. Existing law requires the commission to authorize direct transactions for nonresidential end-use customers subject to a reopening schedule that will phase in over a period of not less than 3 years and not more than 5 years, and is subject to an annual maximum allowable total kilowatthour limit established, as specified, for each electrical corporation. The California Renewables Portfolio Standard Program requires a retail seller, as defined, and local publicly owned electric utilities to purchase specified minimum quantities of electricity products from eligible renewable energy resources, as defined, for specified compliance periods. The program, consistent with the goals of procuring the least-cost and best-fit eligible renewable energy resources that meet project viability principles, requires that all retail sellers procure a balanced portfolio of electricity products from eligible renewable energy resources, meeting specified portfolio content categories. This bill would require the commission to adopt and implement a schedule that implements a 2nd phase-in period for expanding direct transactions for individual retail nonresidential end-use customers over a period of not more than 3 years, raising the allowable limit of kilowatthours that can be supplied by other providers in each electrical corporation's distribution service territory by that electrical corporation's share of an aggregate of 8,000 gigawatthours, apportioned as specified. The bill would require that 75% of an electric service provider's retail sales associated with each 2nd phase direct transaction to be procured from eligible renewable energy resources during 2016, increasing to 100% by December 31, 2020, and would require the commission to enforce the bill's renewables procurement requirements as part of the California Renewables Portfolio Standard Program. The bill would require nonresidential retail end-use customers engaging in direct transactions to be responsible for their proportionate share of the costs of specified programs. The bill would require that an electrical corporation continue to construct, own, and operate distribution system equipment, as specified, and continue to provide support functions, as specified, through its own employees, except that construction of distribution system equipment and line clearance tree trimming may be performed under contract. The bill would prohibit an electric service provider from offering full consolidated billing beginning January 1, 2016. Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime. Because the provisions of this bill would be a part of the act and because a violation of an order or decision of the commission implementing its requirements would be a crime, the bill would impose a state-mandated local program by expanding the operation of a 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.
Who sponsors SB 286?
SB 286 is sponsored by Hertzberg.
What is the current status of SB 286?
This bill died with 2015-2016 Regular Session. It reached “Passed Senate” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
Where can I track SB 286?
Track SB 286 free on One Click Politics — get push/email alerts when it moves.

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