Bill Text: CA AB1693 | 2019-2020 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Public utilities: contracting.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2020-02-03 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB1693 Detail]

Download: California-2019-AB1693-Introduced.html


CALIFORNIA LEGISLATURE— 2019–2020 REGULAR SESSION

Assembly Bill No. 1693


Introduced by Assembly Member Cervantes

February 22, 2019


An act to amend Section 8282 of the Public Utilities Code, relating to public utilities.


LEGISLATIVE COUNSEL'S DIGEST


AB 1693, as introduced, Cervantes. Public utilities: contracting.
Under existing law, the Public Utilities Commission has regulatory authority over public utilities. Existing law requires the commission to require every electrical, gas, water, wireless telecommunications service provider, and telephone corporation with annual gross revenues exceeding $25,000,000, and their regulated subsidiaries and affiliates, to annually submit a detailed and verifiable plan for increasing procurement from women, minority, disabled veteran, and LGBT business enterprises, as defined, in all categories, including, but not limited to, renewable energy, wireless telecommunications, broadband, smart grid, and rail projects. The commission, by its rulemaking authority, has adopted General Order 156, applicable to certain electrical, gas, and telephone corporations, to effectuate these and related requirements.
This bill would revise the definitions of “LGBT business enterprise,” “minority business enterprise,” and “women business enterprise” for those purposes. Those revised definitions would require, for a business enterprise to qualify as one of those categories of business enterprises, (1) it have its principal office located in California, (2) its officers all be domiciled in California, (3) either it is at least 51% owned by members of the applicable demographic group or, in the case of any publicly owned business, at least 51% of the business enterprise’s stock is owned by members of the group, and (4) its management and daily business operations are controlled by one or more members of the group who are also owners.
Under existing law, a violation of any order, decision, rule, direction, demand, or requirement of the commission is a crime.
Because a violation of the commission’s order or decision implementing the bill’s requirements would be a crime, the bill would impose a state-mandated local program.
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   Local Program: YES  

The people of the State of California do enact as follows:


SECTION 1.

 Section 8282 of the Public Utilities Code is amended to read:

8282.
 For the purposes of this article, the following definitions apply:
(a) “Control” means exercising the power to make policy decisions.
(b) “Disabled veteran business enterprise” has the same meaning as defined in Section 999 of the Military and Veterans Code.
(c) “LGBT business enterprise” means a business enterprise that is meets all of the following requirements:
(1) The business enterprise’s principal office is located in California.
(2) The business enterprise’s officers are all domiciled in California.
(3) Either the business enterprise is at least 51-percent owned by a lesbian, gay, bisexual, or transgender person or persons; persons, or, in the case of any publicly owned business, at least 51 percent of the business enterprise’s stock of which is owned by one or more lesbian, gay, bisexual, or transgender persons; and whose persons.
(4) The business enterprise’s management and daily business operations are controlled by one or more of those individuals. individuals described in paragraph (3).
(d) (1) “Minority business enterprise” means a business enterprise that is meets all of the following requirements:
(A) The business enterprise’s principal office is located in California.
(B) The business enterprise’s officers are all domiciled in California.
(C) Either the business enterprise is at least 51-percent owned by one or more individuals who are of a minority group or groups; groups, or, in the case of any publicly owned business, at least 51 percent of the business enterprise’s stock of which is owned by persons who are of one or more minority groups, and whose groups.
(D) The business enterprise’s management and daily business operations are controlled by one or more of those individuals. The individuals described in subparagraph (C).
(2) The contracting utility shall presume that minority includes African Americans, Hispanic Americans, Native Americans, and Asian Pacific Americans.
(e) To “operate” means to be actively involved in the day-to-day management. It is not enough to merely be an officer or director.
(f) “Renewable energy project” means a project for the development and operation of an eligible renewable energy resource meeting the requirements of the California Renewables Portfolio Standard Program (Article 16 (commencing with Section 399.11) of Chapter 2.3 of Part 1 of Division 1).
(g) “Women business enterprise” means a business enterprise that is meets all of the following requirements:
(1) The business enterprise’s principal office is located in California.
(2) The business enterprise’s officers are all domiciled in California.
(3) Either the business enterprise is at least 51-percent owned by a woman or women; women, or, in the case of any publicly owned business, at least 51 percent of the business enterprise’s stock of which is owned by one or more women; and whose women.
(4) The business enterprise’s management and daily business operations are controlled by one or more of those individuals. individuals described in paragraph (3).

SEC. 2.

 No reimbursement is required by this act pursuant to Section 6 of Article XIII B 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 XIII B of the California Constitution.
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