Bill Text: CA AB2334 | 2013-2014 | Regular Session | Amended
Bill Title: Electricity rates: economic development pilot program: former military bases.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2014-05-23 - In committee: Set, second hearing. Held under submission. [AB2334 Detail]
Download: California-2013-AB2334-Amended.html
BILL NUMBER: AB 2334 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 24, 2014
AMENDED IN ASSEMBLY MARCH 28, 2014
INTRODUCED BY Assembly Member Gray
FEBRUARY 21, 2014
An act to add and repeal Section 740.45 of the Public Utilities
Code, relating to electricity.
LEGISLATIVE COUNSEL'S DIGEST
AB 2334, as amended, Gray. Electricity rates: economic development
pilot program: former military bases.
Under existing law, the Public Utilities Commission has regulatory
authority over public utilities, including electrical corporations,
as defined. Existing law authorizes the commission to fix the rates
and charges for every public utility, and requires that those rates
and charges be just and reasonable. Existing law requires the
commission to authorize public utilities to engage in programs to
encourage economic development, including rate discounts to
industries or business entities whose facilities are, or will be
located, within the boundaries of enterprise zones, economic
incentive areas, or recycling market development zones.
This bill would require the commission to direct and supervise the
implementation and administration, by electrical corporations, of an
economic development pilot program to encourage new business
activity at 3 former military bases. The bill would require an
electrical corporation to administer the pilot program for 7 years
following its implementation at each former base and would require
that the pilot program provide discounted rates
for new business activity that are discounted by
40% from the otherwise applicable tariff of the electrical
corporation for the service territory in which the former military
base is located. provided to eligible new and existing
businesses and are consistent with discounts offered by economic
development programs approved by the commission. The bill would
require an electrical corporation to annually report specified
information relative to each pilot program site to the commission and
require the commission to compile the information and report the
results to the Legislature. These provisions would be repealed on
January 1, 2024.
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 are within the act and require
action by the commission to implement its requirements, a violation
of these provisions 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 740.45 is added to the Public Utilities Code,
immediately following Section 740.4, to read:
740.45. (a) The commission shall direct and supervise the
implementation and administration, by electrical corporations, of an
economic development pilot program to encourage new business activity
at three former military bases closed as a result of the base
realignment and closure process.
(b) The pilot program shall be administered by an electrical
corporation for seven years following its implementation at the
former military base.
(c) The pilot program shall include one former military base in
northern California, one former military base in central California,
and one former military base in southern California. The bases shall
be selected for participation in the pilot program based on local
economic need, including, but not limited to, higher unemployment
rates than the state average and median income that is lower than the
state average.
(d) The discount provided pursuant to the pilot program shall be
40 percent of the otherwise applicable tariff of the
electrical corporation for the service territory in which the former
military base is located. provided to eligible new and
existing businesses and shall be consistent with discounts offered
by economic development programs approved by the commission.
(e) Each electrical corporation shall annually report to the
commission all of the following:
(1) The total amount of the annual discounts given at each pilot
program site.
(2) The number and types of new businesses created as a
result of the pilot program during the prior year at each site.
(3) The total number of jobs created by new businesses
as a result of the pilot program during the prior year at each site.
(4) The average salary and benefits of the jobs created by
new businesses as a result of the pilot program during the
prior year at each site.
(f) The commission shall annually compile the information and
report the results of the pilot program to the Legislature. The
report shall be submitted in compliance with Section 9795 of the
Government Code.
(g) This section shall remain in effect only until January 1,
2024, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2024, deletes or extends
that date.
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.
