Amended IN Assembly June 20, 2018 Amended IN Senate May 01, 2018 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Senate Bill No. 1135Introduced by Senator BradfordFebruary 13, 2018 An act to amend Section 739.1 of add Section 739.12 to the Public Utilities Code, relating to energy. LEGISLATIVE COUNSEL'S DIGESTSB 1135, as amended, Bradford. Electric and gas service: rates: California Alternate Rates for Energy Family Electric Rate Assistance program.Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations and gas corporations. 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 ensure that low-income ratepayers are not jeopardized or overburdened by monthly energy expenditures and authorizes the commission to reduce energy expenditures through the establishment of different rates for low-income ratepayers, different levels of rate assistance, and energy efficiency programs. Existing law requires the Public Utilities Commission commission to establish a program of assistance to low-income electric and gas customers, referred to as the California Alternate Rates for Energy or CARE program. Eligibility for the CARE program is for those electric and gas customers with annual household incomes that are no greater than 200% of the federal poverty guideline levels. Existing decisions of the commission establish the Family Electric Rate Assistance or FERA program for the states 3 largest electrical corporations to provide specified discounts to residential customers that are families of 3 or more persons with total household annual gross income levels between 200% and 250% of the federal poverty guideline level.This bill would require the commission to continue the FERA program for the states 3 largest electrical corporations and would require that the program discount be an 18% line-item discount applied to an eligible customers bill calculated at the applicable rate for a monthly or other billing period. The bill would authorize the states 3 largest electrical corporations to increase or expand marketing and outreach efforts regarding the FERA program beyond those in effect as of December 31, 2018, and would require the commission to authorize those electrical corporations to recover all costs reasonably incurred in implementing the FERA program on a nonbypassable basis.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.By amending the act, 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.This bill would make electric and gas customers with annual household incomes that are no greater than 250% of the federal poverty guideline levels eligible for the CARE program.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOYES Bill TextThe people of the State of California do enact as follows:SECTION 1. The Legislature finds and declares all of the following:(a) Many of Californias working families earn enough income to exceed the eligibility limits for the states low-income programs, yet still struggle to afford daily necessities, including electricity.(b) Pursuant to subdivision (b) of Section 382 of the Public Utilities Code, the Public Utilities Commission is required to ensure that low-income customers are not jeopardized or overburdened by monthly energy expenditures, which may be reduced through the establishment of different levels of rate assistance.(c) In Decision 04-02-057 (February 26, 2004) Final Opinion on Phase 2 Issues, the Public Utilities Commission ordered the states three largest electrical corporations to provide for tier-exempted rate relief for customers in large households with income levels between 175 percent and 250 percent of the federal poverty guideline level. The decision acknowledged that the average electricity usage of households with three or more occupants is higher than the average usage of smaller households that are similar in other respects, with usage typically exceeding 130 percent of baseline quantities year-round and with higher usage in peak summer months. The decision also acknowledged that large households are unlikely to be able to conserve as much as other households as a means of maintaining affordable energy bills.(d) In Decision 05-10-044 (October 27, 2005), Interim Opinion Approving Various Emergency Program Changes In Light of Anticipated High Natural Gas Prices in the Winter of 2005-06, the Public Utilities Commission required electrical corporations to expand the Family Electric Rate Assistance program to residential customers that are families of three or more persons with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level.(e) In Decision 15-07-001 (July 3, 2015), Decision on Residential Rate Reform for Pacific Gas and Electric Company, Southern California Edison Company, and San Diego Gas & Electric Company and Transition to Time-of-Use Rates, the Public Utilities Commission revised the Family Electric Rate Assistance program to provide qualified households with a 12 percent line-item discount.(f) Electrical corporations can assist Californias working families by increasing the Family Electric Rate Assistance program benefits and expanding outreach to increase participation by eligible customers.(g) All administrative and other costs associated with the implementation of the Family Electric Rate Assistance program shall be recoverable in rates on a nonbypassable basis.SEC. 2. Section 739.12 is added to the Public Utilities Code, to read:739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households of three or more persons with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.(b) The FERA program discount shall be an 18 percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.(d) The commission shall authorize recovery of all costs reasonably incurred in implementing the FERA program, including, but not limited to, FERA discount costs, costs incurred in program implementation, outreach, marketing, regulatory compliance, certification and verification, billing, measurement and evaluation, and capital improvements and upgrades to communications and processing equipment, on a nonbypassable basis through the recovery mechanism established for each electrical corporation for recovery of income-qualified assistance program costs prior to January 1, 2019.SEC. 3. 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.SECTION 1.Section 739.1 of the Public Utilities Code is amended to read:739.1.(a)The commission shall continue a program of assistance to low-income electric and gas customers with annual household incomes that are no greater than 250 percent of the federal poverty guideline levels, the cost of which shall not be borne solely by any single class of customer. For one-person households, program eligibility shall be based on two-person household guideline levels. The program shall be referred to as the California Alternate Rates for Energy or CARE program. The commission shall ensure that the level of discount for low-income electric and gas customers correctly reflects the level of need.(b)The commission shall establish rates for CARE program participants, subject to both of the following:(1)That the commission ensure that low-income ratepayers are not jeopardized or overburdened by monthly energy expenditures, pursuant to subdivision (b) of Section 382.(2)That the level of the discount for low-income electricity and gas ratepayers correctly reflects the level of need as determined by the needs assessment conducted pursuant to subdivision (d) of Section 382.(c)In establishing CARE discounts for an electrical corporation with 100,000 or more customer accounts in California, the commission shall ensure all of the following:(1)The average effective CARE discount shall not be less than 30 percent or more than 35 percent of the revenues that would have been produced for the same billed usage by non-CARE customers. The average effective discount determined by the commission shall reflect any charges not paid by CARE customers, including payments for the California Solar Initiative, payments for the self-generation incentive program made pursuant to Section 379.6, payment of the separate rate component to fund the CARE program made pursuant to subdivision (a) of Section 381, payments made to the Department of Water Resources pursuant to Division 27 (commencing with Section 80000) of the Water Code, and any discount in a fixed charge. The average effective CARE discount shall be calculated as a weighted average of the CARE discounts provided to individual customers.(2)If an electrical corporation provides an average effective CARE discount in excess of the maximum percentage specified in paragraph (1), the electrical corporation shall not reduce, on an annual basis, the average effective CARE discount by more than a reasonable percentage decrease below the discount in effect on January 1, 2013, or that the electrical corporation had been authorized to place in effect by that date.(3)The entire discount shall be provided in the form of a reduction in the overall bill for the eligible CARE customer.(d)The commission shall work with electrical and gas corporations to establish penetration goals. The commission shall authorize recovery of all administrative costs associated with the implementation of the CARE program that the commission determines to be reasonable, through a balancing account mechanism. Administrative costs shall include, but are not limited to, outreach, marketing, regulatory compliance, certification and verification, billing, measurement and evaluation, and capital improvements and upgrades to communications and processing equipment.(e)The commission shall examine methods to improve CARE enrollment and participation. This examination shall include, but need not be limited to, comparing information from CARE and the Universal Lifeline Telephone Service (ULTS) to determine the most effective means of utilizing that information to increase CARE enrollment, automatic enrollment of ULTS customers who are eligible for the CARE program, customer privacy issues, and alternative mechanisms for outreach to potential enrollees. The commission shall ensure that a customer consents prior to enrollment. The commission shall consult with interested parties, including ULTS providers, to develop the best methods of informing ULTS customers about other available low-income programs, as well as the best mechanism for telephone providers to recover reasonable costs incurred pursuant to this section.(f)(1)The commission shall improve the CARE application process by cooperating with other entities and representatives of California government, including the California Health and Human Services Agency and the Secretary of California Health and Human Services, to ensure that all gas and electric customers eligible for public assistance programs in California that reside within the service territory of an electrical corporation or gas corporation, are enrolled in the CARE program. The commission may determine that gas and electric customers are categorically eligible for CARE assistance if they are enrolled in other public assistance programs with substantially the same income eligibility requirements as the CARE program. To the extent practicable, the commission shall develop a CARE application process using the existing ULTS application process as a model. The commission shall work with electrical and gas corporations and the Low-Income Oversight Board established in Section 382.1 to meet the low-income objectives in this section.(2)The commission shall ensure that an electrical corporation or gas corporation with a commission-approved program to provide discounts based upon economic need in addition to the CARE program, including a Family Electric Rate Assistance program, utilize a single application form, to enable an applicant to alternatively apply for any assistance program for which the applicant may be eligible. It is the intent of the Legislature to allow applicants under one program, that may not be eligible under that program, but that may be eligible under an alternative assistance program based upon economic need, to complete a single application for any commission-approved assistance program offered by the public utility.(g)It is the intent of the Legislature that the commission ensure CARE program participants receive affordable electric and gas service that does not impose an unfair economic burden on those participants.(h)The commissions program of assistance to low-income electric and gas customers shall, as soon as practicable, include nonprofit group living facilities specified by the commission, if the commission finds that the residents in these facilities substantially meet the commissions low-income eligibility requirements and there is a feasible process for certifying that the assistance shall be used for the direct benefit, such as improved quality of care or improved food service, of the low-income residents in the facilities. The commission shall authorize utilities to offer discounts to eligible facilities licensed or permitted by appropriate state or local agencies, and to facilities, including womens shelters, hospices, and homeless shelters, that may not have a license or permit but provide other proof satisfactory to the utility that they are eligible to participate in the program.(i)(1)In addition to existing assessments of eligibility, an electrical corporation may require proof of income eligibility for those CARE program participants whose electricity usage, in any monthly or other billing period, exceeds 400 percent of baseline usage. The authority of an electrical corporation to require proof of income eligibility is not limited by the means by which the CARE program participant enrolled in the program, including if the participant was automatically enrolled in the CARE program because of participation in a governmental assistance program. If a CARE program participants electricity usage exceeds 400 percent of baseline usage, the electrical corporation may require the CARE program participant to participate in the Energy Savings Assistance Program (ESAP), which includes a residential energy assessment, in order to provide the CARE program participant with information and assistance in reducing his or her energy usage. Continued participation in the CARE program may be conditioned upon the CARE program participant agreeing to participate in ESAP within 45 days of notice being given by the electrical corporation pursuant to this paragraph. The electrical corporation may require the CARE program participant to notify the utility of whether the residence is rented, and if so, a means by which to contact the landlord, and the electrical corporation may share any evaluation and recommendation relative to the residential structure that is made as part of an energy assessment, with the landlord of the CARE program participant. Requirements imposed pursuant to this paragraph shall be consistent with procedures adopted by the commission.(2)If a CARE program participants electricity usage exceeds 600 percent of baseline usage, the electrical corporation shall require the CARE program participant to participate in ESAP, which includes a residential energy assessment, in order to provide the CARE program participant with information and assistance in reducing his or her energy usage. Continued participation in the CARE program shall be conditioned upon the CARE program participant agreeing to participate in ESAP within 45 days of a notice made by the electrical corporation pursuant to this paragraph. The electrical corporation may require the CARE program participant to notify the utility of whether the residence is rented, and if so, a means by which to contact the landlord, and the electrical corporation may share any evaluation and recommendation relative to the residential structure that is made as part of an energy assessment, with the landlord of the CARE program participant. Following the completion of the energy assessment, if the CARE program participants electricity usage continues to exceed 600 percent of baseline usage, the electrical corporation may remove the CARE program participant from the program if the removal is consistent with procedures adopted by the commission. Nothing in this paragraph shall prevent a CARE program participant with electricity usage exceeding 600 percent of baseline usage from participating in an appeals process with the electrical corporation to determine whether the participants usage levels are legitimate.(3)A CARE program participant in a rental residence shall not be removed from the program in situations where the landlord is nonresponsive when contacted by the electrical corporation or does not provide for ESAP participation.
Amended IN Assembly June 20, 2018 Amended IN Senate May 01, 2018 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Senate Bill No. 1135Introduced by Senator BradfordFebruary 13, 2018 An act to amend Section 739.1 of add Section 739.12 to the Public Utilities Code, relating to energy. LEGISLATIVE COUNSEL'S DIGESTSB 1135, as amended, Bradford. Electric and gas service: rates: California Alternate Rates for Energy Family Electric Rate Assistance program.Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations and gas corporations. 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 ensure that low-income ratepayers are not jeopardized or overburdened by monthly energy expenditures and authorizes the commission to reduce energy expenditures through the establishment of different rates for low-income ratepayers, different levels of rate assistance, and energy efficiency programs. Existing law requires the Public Utilities Commission commission to establish a program of assistance to low-income electric and gas customers, referred to as the California Alternate Rates for Energy or CARE program. Eligibility for the CARE program is for those electric and gas customers with annual household incomes that are no greater than 200% of the federal poverty guideline levels. Existing decisions of the commission establish the Family Electric Rate Assistance or FERA program for the states 3 largest electrical corporations to provide specified discounts to residential customers that are families of 3 or more persons with total household annual gross income levels between 200% and 250% of the federal poverty guideline level.This bill would require the commission to continue the FERA program for the states 3 largest electrical corporations and would require that the program discount be an 18% line-item discount applied to an eligible customers bill calculated at the applicable rate for a monthly or other billing period. The bill would authorize the states 3 largest electrical corporations to increase or expand marketing and outreach efforts regarding the FERA program beyond those in effect as of December 31, 2018, and would require the commission to authorize those electrical corporations to recover all costs reasonably incurred in implementing the FERA program on a nonbypassable basis.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.By amending the act, 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.This bill would make electric and gas customers with annual household incomes that are no greater than 250% of the federal poverty guideline levels eligible for the CARE program.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOYES
Amended IN Assembly June 20, 2018 Amended IN Senate May 01, 2018
Amended IN Assembly June 20, 2018
Amended IN Senate May 01, 2018
CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION
Senate Bill No. 1135
Introduced by Senator BradfordFebruary 13, 2018
Introduced by Senator Bradford
February 13, 2018
An act to amend Section 739.1 of add Section 739.12 to the Public Utilities Code, relating to energy.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
SB 1135, as amended, Bradford. Electric and gas service: rates: California Alternate Rates for Energy Family Electric Rate Assistance program.
Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations and gas corporations. 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 ensure that low-income ratepayers are not jeopardized or overburdened by monthly energy expenditures and authorizes the commission to reduce energy expenditures through the establishment of different rates for low-income ratepayers, different levels of rate assistance, and energy efficiency programs. Existing law requires the Public Utilities Commission commission to establish a program of assistance to low-income electric and gas customers, referred to as the California Alternate Rates for Energy or CARE program. Eligibility for the CARE program is for those electric and gas customers with annual household incomes that are no greater than 200% of the federal poverty guideline levels. Existing decisions of the commission establish the Family Electric Rate Assistance or FERA program for the states 3 largest electrical corporations to provide specified discounts to residential customers that are families of 3 or more persons with total household annual gross income levels between 200% and 250% of the federal poverty guideline level.This bill would require the commission to continue the FERA program for the states 3 largest electrical corporations and would require that the program discount be an 18% line-item discount applied to an eligible customers bill calculated at the applicable rate for a monthly or other billing period. The bill would authorize the states 3 largest electrical corporations to increase or expand marketing and outreach efforts regarding the FERA program beyond those in effect as of December 31, 2018, and would require the commission to authorize those electrical corporations to recover all costs reasonably incurred in implementing the FERA program on a nonbypassable basis.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.By amending the act, 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.This bill would make electric and gas customers with annual household incomes that are no greater than 250% of the federal poverty guideline levels eligible for the CARE program.
Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations and gas corporations. 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 ensure that low-income ratepayers are not jeopardized or overburdened by monthly energy expenditures and authorizes the commission to reduce energy expenditures through the establishment of different rates for low-income ratepayers, different levels of rate assistance, and energy efficiency programs. Existing law requires the Public Utilities Commission commission to establish a program of assistance to low-income electric and gas customers, referred to as the California Alternate Rates for Energy or CARE program. Eligibility for the CARE program is for those electric and gas customers with annual household incomes that are no greater than 200% of the federal poverty guideline levels. Existing decisions of the commission establish the Family Electric Rate Assistance or FERA program for the states 3 largest electrical corporations to provide specified discounts to residential customers that are families of 3 or more persons with total household annual gross income levels between 200% and 250% of the federal poverty guideline level.
This bill would require the commission to continue the FERA program for the states 3 largest electrical corporations and would require that the program discount be an 18% line-item discount applied to an eligible customers bill calculated at the applicable rate for a monthly or other billing period. The bill would authorize the states 3 largest electrical corporations to increase or expand marketing and outreach efforts regarding the FERA program beyond those in effect as of December 31, 2018, and would require the commission to authorize those electrical corporations to recover all costs reasonably incurred in implementing the FERA program on a nonbypassable basis.
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.
By amending the act, 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.
This bill would make electric and gas customers with annual household incomes that are no greater than 250% of the federal poverty guideline levels eligible for the CARE program.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. The Legislature finds and declares all of the following:(a) Many of Californias working families earn enough income to exceed the eligibility limits for the states low-income programs, yet still struggle to afford daily necessities, including electricity.(b) Pursuant to subdivision (b) of Section 382 of the Public Utilities Code, the Public Utilities Commission is required to ensure that low-income customers are not jeopardized or overburdened by monthly energy expenditures, which may be reduced through the establishment of different levels of rate assistance.(c) In Decision 04-02-057 (February 26, 2004) Final Opinion on Phase 2 Issues, the Public Utilities Commission ordered the states three largest electrical corporations to provide for tier-exempted rate relief for customers in large households with income levels between 175 percent and 250 percent of the federal poverty guideline level. The decision acknowledged that the average electricity usage of households with three or more occupants is higher than the average usage of smaller households that are similar in other respects, with usage typically exceeding 130 percent of baseline quantities year-round and with higher usage in peak summer months. The decision also acknowledged that large households are unlikely to be able to conserve as much as other households as a means of maintaining affordable energy bills.(d) In Decision 05-10-044 (October 27, 2005), Interim Opinion Approving Various Emergency Program Changes In Light of Anticipated High Natural Gas Prices in the Winter of 2005-06, the Public Utilities Commission required electrical corporations to expand the Family Electric Rate Assistance program to residential customers that are families of three or more persons with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level.(e) In Decision 15-07-001 (July 3, 2015), Decision on Residential Rate Reform for Pacific Gas and Electric Company, Southern California Edison Company, and San Diego Gas & Electric Company and Transition to Time-of-Use Rates, the Public Utilities Commission revised the Family Electric Rate Assistance program to provide qualified households with a 12 percent line-item discount.(f) Electrical corporations can assist Californias working families by increasing the Family Electric Rate Assistance program benefits and expanding outreach to increase participation by eligible customers.(g) All administrative and other costs associated with the implementation of the Family Electric Rate Assistance program shall be recoverable in rates on a nonbypassable basis.SEC. 2. Section 739.12 is added to the Public Utilities Code, to read:739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households of three or more persons with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.(b) The FERA program discount shall be an 18 percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.(d) The commission shall authorize recovery of all costs reasonably incurred in implementing the FERA program, including, but not limited to, FERA discount costs, costs incurred in program implementation, outreach, marketing, regulatory compliance, certification and verification, billing, measurement and evaluation, and capital improvements and upgrades to communications and processing equipment, on a nonbypassable basis through the recovery mechanism established for each electrical corporation for recovery of income-qualified assistance program costs prior to January 1, 2019.SEC. 3. 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.SECTION 1.Section 739.1 of the Public Utilities Code is amended to read:739.1.(a)The commission shall continue a program of assistance to low-income electric and gas customers with annual household incomes that are no greater than 250 percent of the federal poverty guideline levels, the cost of which shall not be borne solely by any single class of customer. For one-person households, program eligibility shall be based on two-person household guideline levels. The program shall be referred to as the California Alternate Rates for Energy or CARE program. The commission shall ensure that the level of discount for low-income electric and gas customers correctly reflects the level of need.(b)The commission shall establish rates for CARE program participants, subject to both of the following:(1)That the commission ensure that low-income ratepayers are not jeopardized or overburdened by monthly energy expenditures, pursuant to subdivision (b) of Section 382.(2)That the level of the discount for low-income electricity and gas ratepayers correctly reflects the level of need as determined by the needs assessment conducted pursuant to subdivision (d) of Section 382.(c)In establishing CARE discounts for an electrical corporation with 100,000 or more customer accounts in California, the commission shall ensure all of the following:(1)The average effective CARE discount shall not be less than 30 percent or more than 35 percent of the revenues that would have been produced for the same billed usage by non-CARE customers. The average effective discount determined by the commission shall reflect any charges not paid by CARE customers, including payments for the California Solar Initiative, payments for the self-generation incentive program made pursuant to Section 379.6, payment of the separate rate component to fund the CARE program made pursuant to subdivision (a) of Section 381, payments made to the Department of Water Resources pursuant to Division 27 (commencing with Section 80000) of the Water Code, and any discount in a fixed charge. The average effective CARE discount shall be calculated as a weighted average of the CARE discounts provided to individual customers.(2)If an electrical corporation provides an average effective CARE discount in excess of the maximum percentage specified in paragraph (1), the electrical corporation shall not reduce, on an annual basis, the average effective CARE discount by more than a reasonable percentage decrease below the discount in effect on January 1, 2013, or that the electrical corporation had been authorized to place in effect by that date.(3)The entire discount shall be provided in the form of a reduction in the overall bill for the eligible CARE customer.(d)The commission shall work with electrical and gas corporations to establish penetration goals. The commission shall authorize recovery of all administrative costs associated with the implementation of the CARE program that the commission determines to be reasonable, through a balancing account mechanism. Administrative costs shall include, but are not limited to, outreach, marketing, regulatory compliance, certification and verification, billing, measurement and evaluation, and capital improvements and upgrades to communications and processing equipment.(e)The commission shall examine methods to improve CARE enrollment and participation. This examination shall include, but need not be limited to, comparing information from CARE and the Universal Lifeline Telephone Service (ULTS) to determine the most effective means of utilizing that information to increase CARE enrollment, automatic enrollment of ULTS customers who are eligible for the CARE program, customer privacy issues, and alternative mechanisms for outreach to potential enrollees. The commission shall ensure that a customer consents prior to enrollment. The commission shall consult with interested parties, including ULTS providers, to develop the best methods of informing ULTS customers about other available low-income programs, as well as the best mechanism for telephone providers to recover reasonable costs incurred pursuant to this section.(f)(1)The commission shall improve the CARE application process by cooperating with other entities and representatives of California government, including the California Health and Human Services Agency and the Secretary of California Health and Human Services, to ensure that all gas and electric customers eligible for public assistance programs in California that reside within the service territory of an electrical corporation or gas corporation, are enrolled in the CARE program. The commission may determine that gas and electric customers are categorically eligible for CARE assistance if they are enrolled in other public assistance programs with substantially the same income eligibility requirements as the CARE program. To the extent practicable, the commission shall develop a CARE application process using the existing ULTS application process as a model. The commission shall work with electrical and gas corporations and the Low-Income Oversight Board established in Section 382.1 to meet the low-income objectives in this section.(2)The commission shall ensure that an electrical corporation or gas corporation with a commission-approved program to provide discounts based upon economic need in addition to the CARE program, including a Family Electric Rate Assistance program, utilize a single application form, to enable an applicant to alternatively apply for any assistance program for which the applicant may be eligible. It is the intent of the Legislature to allow applicants under one program, that may not be eligible under that program, but that may be eligible under an alternative assistance program based upon economic need, to complete a single application for any commission-approved assistance program offered by the public utility.(g)It is the intent of the Legislature that the commission ensure CARE program participants receive affordable electric and gas service that does not impose an unfair economic burden on those participants.(h)The commissions program of assistance to low-income electric and gas customers shall, as soon as practicable, include nonprofit group living facilities specified by the commission, if the commission finds that the residents in these facilities substantially meet the commissions low-income eligibility requirements and there is a feasible process for certifying that the assistance shall be used for the direct benefit, such as improved quality of care or improved food service, of the low-income residents in the facilities. The commission shall authorize utilities to offer discounts to eligible facilities licensed or permitted by appropriate state or local agencies, and to facilities, including womens shelters, hospices, and homeless shelters, that may not have a license or permit but provide other proof satisfactory to the utility that they are eligible to participate in the program.(i)(1)In addition to existing assessments of eligibility, an electrical corporation may require proof of income eligibility for those CARE program participants whose electricity usage, in any monthly or other billing period, exceeds 400 percent of baseline usage. The authority of an electrical corporation to require proof of income eligibility is not limited by the means by which the CARE program participant enrolled in the program, including if the participant was automatically enrolled in the CARE program because of participation in a governmental assistance program. If a CARE program participants electricity usage exceeds 400 percent of baseline usage, the electrical corporation may require the CARE program participant to participate in the Energy Savings Assistance Program (ESAP), which includes a residential energy assessment, in order to provide the CARE program participant with information and assistance in reducing his or her energy usage. Continued participation in the CARE program may be conditioned upon the CARE program participant agreeing to participate in ESAP within 45 days of notice being given by the electrical corporation pursuant to this paragraph. The electrical corporation may require the CARE program participant to notify the utility of whether the residence is rented, and if so, a means by which to contact the landlord, and the electrical corporation may share any evaluation and recommendation relative to the residential structure that is made as part of an energy assessment, with the landlord of the CARE program participant. Requirements imposed pursuant to this paragraph shall be consistent with procedures adopted by the commission.(2)If a CARE program participants electricity usage exceeds 600 percent of baseline usage, the electrical corporation shall require the CARE program participant to participate in ESAP, which includes a residential energy assessment, in order to provide the CARE program participant with information and assistance in reducing his or her energy usage. Continued participation in the CARE program shall be conditioned upon the CARE program participant agreeing to participate in ESAP within 45 days of a notice made by the electrical corporation pursuant to this paragraph. The electrical corporation may require the CARE program participant to notify the utility of whether the residence is rented, and if so, a means by which to contact the landlord, and the electrical corporation may share any evaluation and recommendation relative to the residential structure that is made as part of an energy assessment, with the landlord of the CARE program participant. Following the completion of the energy assessment, if the CARE program participants electricity usage continues to exceed 600 percent of baseline usage, the electrical corporation may remove the CARE program participant from the program if the removal is consistent with procedures adopted by the commission. Nothing in this paragraph shall prevent a CARE program participant with electricity usage exceeding 600 percent of baseline usage from participating in an appeals process with the electrical corporation to determine whether the participants usage levels are legitimate.(3)A CARE program participant in a rental residence shall not be removed from the program in situations where the landlord is nonresponsive when contacted by the electrical corporation or does not provide for ESAP participation.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. The Legislature finds and declares all of the following:(a) Many of Californias working families earn enough income to exceed the eligibility limits for the states low-income programs, yet still struggle to afford daily necessities, including electricity.(b) Pursuant to subdivision (b) of Section 382 of the Public Utilities Code, the Public Utilities Commission is required to ensure that low-income customers are not jeopardized or overburdened by monthly energy expenditures, which may be reduced through the establishment of different levels of rate assistance.(c) In Decision 04-02-057 (February 26, 2004) Final Opinion on Phase 2 Issues, the Public Utilities Commission ordered the states three largest electrical corporations to provide for tier-exempted rate relief for customers in large households with income levels between 175 percent and 250 percent of the federal poverty guideline level. The decision acknowledged that the average electricity usage of households with three or more occupants is higher than the average usage of smaller households that are similar in other respects, with usage typically exceeding 130 percent of baseline quantities year-round and with higher usage in peak summer months. The decision also acknowledged that large households are unlikely to be able to conserve as much as other households as a means of maintaining affordable energy bills.(d) In Decision 05-10-044 (October 27, 2005), Interim Opinion Approving Various Emergency Program Changes In Light of Anticipated High Natural Gas Prices in the Winter of 2005-06, the Public Utilities Commission required electrical corporations to expand the Family Electric Rate Assistance program to residential customers that are families of three or more persons with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level.(e) In Decision 15-07-001 (July 3, 2015), Decision on Residential Rate Reform for Pacific Gas and Electric Company, Southern California Edison Company, and San Diego Gas & Electric Company and Transition to Time-of-Use Rates, the Public Utilities Commission revised the Family Electric Rate Assistance program to provide qualified households with a 12 percent line-item discount.(f) Electrical corporations can assist Californias working families by increasing the Family Electric Rate Assistance program benefits and expanding outreach to increase participation by eligible customers.(g) All administrative and other costs associated with the implementation of the Family Electric Rate Assistance program shall be recoverable in rates on a nonbypassable basis.
SECTION 1. The Legislature finds and declares all of the following:(a) Many of Californias working families earn enough income to exceed the eligibility limits for the states low-income programs, yet still struggle to afford daily necessities, including electricity.(b) Pursuant to subdivision (b) of Section 382 of the Public Utilities Code, the Public Utilities Commission is required to ensure that low-income customers are not jeopardized or overburdened by monthly energy expenditures, which may be reduced through the establishment of different levels of rate assistance.(c) In Decision 04-02-057 (February 26, 2004) Final Opinion on Phase 2 Issues, the Public Utilities Commission ordered the states three largest electrical corporations to provide for tier-exempted rate relief for customers in large households with income levels between 175 percent and 250 percent of the federal poverty guideline level. The decision acknowledged that the average electricity usage of households with three or more occupants is higher than the average usage of smaller households that are similar in other respects, with usage typically exceeding 130 percent of baseline quantities year-round and with higher usage in peak summer months. The decision also acknowledged that large households are unlikely to be able to conserve as much as other households as a means of maintaining affordable energy bills.(d) In Decision 05-10-044 (October 27, 2005), Interim Opinion Approving Various Emergency Program Changes In Light of Anticipated High Natural Gas Prices in the Winter of 2005-06, the Public Utilities Commission required electrical corporations to expand the Family Electric Rate Assistance program to residential customers that are families of three or more persons with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level.(e) In Decision 15-07-001 (July 3, 2015), Decision on Residential Rate Reform for Pacific Gas and Electric Company, Southern California Edison Company, and San Diego Gas & Electric Company and Transition to Time-of-Use Rates, the Public Utilities Commission revised the Family Electric Rate Assistance program to provide qualified households with a 12 percent line-item discount.(f) Electrical corporations can assist Californias working families by increasing the Family Electric Rate Assistance program benefits and expanding outreach to increase participation by eligible customers.(g) All administrative and other costs associated with the implementation of the Family Electric Rate Assistance program shall be recoverable in rates on a nonbypassable basis.
SECTION 1. The Legislature finds and declares all of the following:
### SECTION 1.
(a) Many of Californias working families earn enough income to exceed the eligibility limits for the states low-income programs, yet still struggle to afford daily necessities, including electricity.
(b) Pursuant to subdivision (b) of Section 382 of the Public Utilities Code, the Public Utilities Commission is required to ensure that low-income customers are not jeopardized or overburdened by monthly energy expenditures, which may be reduced through the establishment of different levels of rate assistance.
(c) In Decision 04-02-057 (February 26, 2004) Final Opinion on Phase 2 Issues, the Public Utilities Commission ordered the states three largest electrical corporations to provide for tier-exempted rate relief for customers in large households with income levels between 175 percent and 250 percent of the federal poverty guideline level. The decision acknowledged that the average electricity usage of households with three or more occupants is higher than the average usage of smaller households that are similar in other respects, with usage typically exceeding 130 percent of baseline quantities year-round and with higher usage in peak summer months. The decision also acknowledged that large households are unlikely to be able to conserve as much as other households as a means of maintaining affordable energy bills.
(d) In Decision 05-10-044 (October 27, 2005), Interim Opinion Approving Various Emergency Program Changes In Light of Anticipated High Natural Gas Prices in the Winter of 2005-06, the Public Utilities Commission required electrical corporations to expand the Family Electric Rate Assistance program to residential customers that are families of three or more persons with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level.
(e) In Decision 15-07-001 (July 3, 2015), Decision on Residential Rate Reform for Pacific Gas and Electric Company, Southern California Edison Company, and San Diego Gas & Electric Company and Transition to Time-of-Use Rates, the Public Utilities Commission revised the Family Electric Rate Assistance program to provide qualified households with a 12 percent line-item discount.
(f) Electrical corporations can assist Californias working families by increasing the Family Electric Rate Assistance program benefits and expanding outreach to increase participation by eligible customers.
(g) All administrative and other costs associated with the implementation of the Family Electric Rate Assistance program shall be recoverable in rates on a nonbypassable basis.
SEC. 2. Section 739.12 is added to the Public Utilities Code, to read:739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households of three or more persons with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.(b) The FERA program discount shall be an 18 percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.(d) The commission shall authorize recovery of all costs reasonably incurred in implementing the FERA program, including, but not limited to, FERA discount costs, costs incurred in program implementation, outreach, marketing, regulatory compliance, certification and verification, billing, measurement and evaluation, and capital improvements and upgrades to communications and processing equipment, on a nonbypassable basis through the recovery mechanism established for each electrical corporation for recovery of income-qualified assistance program costs prior to January 1, 2019.
SEC. 2. Section 739.12 is added to the Public Utilities Code, to read:
### SEC. 2.
739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households of three or more persons with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.(b) The FERA program discount shall be an 18 percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.(d) The commission shall authorize recovery of all costs reasonably incurred in implementing the FERA program, including, but not limited to, FERA discount costs, costs incurred in program implementation, outreach, marketing, regulatory compliance, certification and verification, billing, measurement and evaluation, and capital improvements and upgrades to communications and processing equipment, on a nonbypassable basis through the recovery mechanism established for each electrical corporation for recovery of income-qualified assistance program costs prior to January 1, 2019.
739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households of three or more persons with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.(b) The FERA program discount shall be an 18 percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.(d) The commission shall authorize recovery of all costs reasonably incurred in implementing the FERA program, including, but not limited to, FERA discount costs, costs incurred in program implementation, outreach, marketing, regulatory compliance, certification and verification, billing, measurement and evaluation, and capital improvements and upgrades to communications and processing equipment, on a nonbypassable basis through the recovery mechanism established for each electrical corporation for recovery of income-qualified assistance program costs prior to January 1, 2019.
739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households of three or more persons with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.(b) The FERA program discount shall be an 18 percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.(d) The commission shall authorize recovery of all costs reasonably incurred in implementing the FERA program, including, but not limited to, FERA discount costs, costs incurred in program implementation, outreach, marketing, regulatory compliance, certification and verification, billing, measurement and evaluation, and capital improvements and upgrades to communications and processing equipment, on a nonbypassable basis through the recovery mechanism established for each electrical corporation for recovery of income-qualified assistance program costs prior to January 1, 2019.
739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households of three or more persons with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.
(b) The FERA program discount shall be an 18 percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.
(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.
(d) The commission shall authorize recovery of all costs reasonably incurred in implementing the FERA program, including, but not limited to, FERA discount costs, costs incurred in program implementation, outreach, marketing, regulatory compliance, certification and verification, billing, measurement and evaluation, and capital improvements and upgrades to communications and processing equipment, on a nonbypassable basis through the recovery mechanism established for each electrical corporation for recovery of income-qualified assistance program costs prior to January 1, 2019.
SEC. 3. 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.
SEC. 3. 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.
SEC. 3. 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.
### SEC. 3.
(a)The commission shall continue a program of assistance to low-income electric and gas customers with annual household incomes that are no greater than 250 percent of the federal poverty guideline levels, the cost of which shall not be borne solely by any single class of customer. For one-person households, program eligibility shall be based on two-person household guideline levels. The program shall be referred to as the California Alternate Rates for Energy or CARE program. The commission shall ensure that the level of discount for low-income electric and gas customers correctly reflects the level of need.
(b)The commission shall establish rates for CARE program participants, subject to both of the following:
(1)That the commission ensure that low-income ratepayers are not jeopardized or overburdened by monthly energy expenditures, pursuant to subdivision (b) of Section 382.
(2)That the level of the discount for low-income electricity and gas ratepayers correctly reflects the level of need as determined by the needs assessment conducted pursuant to subdivision (d) of Section 382.
(c)In establishing CARE discounts for an electrical corporation with 100,000 or more customer accounts in California, the commission shall ensure all of the following:
(1)The average effective CARE discount shall not be less than 30 percent or more than 35 percent of the revenues that would have been produced for the same billed usage by non-CARE customers. The average effective discount determined by the commission shall reflect any charges not paid by CARE customers, including payments for the California Solar Initiative, payments for the self-generation incentive program made pursuant to Section 379.6, payment of the separate rate component to fund the CARE program made pursuant to subdivision (a) of Section 381, payments made to the Department of Water Resources pursuant to Division 27 (commencing with Section 80000) of the Water Code, and any discount in a fixed charge. The average effective CARE discount shall be calculated as a weighted average of the CARE discounts provided to individual customers.
(2)If an electrical corporation provides an average effective CARE discount in excess of the maximum percentage specified in paragraph (1), the electrical corporation shall not reduce, on an annual basis, the average effective CARE discount by more than a reasonable percentage decrease below the discount in effect on January 1, 2013, or that the electrical corporation had been authorized to place in effect by that date.
(3)The entire discount shall be provided in the form of a reduction in the overall bill for the eligible CARE customer.
(d)The commission shall work with electrical and gas corporations to establish penetration goals. The commission shall authorize recovery of all administrative costs associated with the implementation of the CARE program that the commission determines to be reasonable, through a balancing account mechanism. Administrative costs shall include, but are not limited to, outreach, marketing, regulatory compliance, certification and verification, billing, measurement and evaluation, and capital improvements and upgrades to communications and processing equipment.
(e)The commission shall examine methods to improve CARE enrollment and participation. This examination shall include, but need not be limited to, comparing information from CARE and the Universal Lifeline Telephone Service (ULTS) to determine the most effective means of utilizing that information to increase CARE enrollment, automatic enrollment of ULTS customers who are eligible for the CARE program, customer privacy issues, and alternative mechanisms for outreach to potential enrollees. The commission shall ensure that a customer consents prior to enrollment. The commission shall consult with interested parties, including ULTS providers, to develop the best methods of informing ULTS customers about other available low-income programs, as well as the best mechanism for telephone providers to recover reasonable costs incurred pursuant to this section.
(f)(1)The commission shall improve the CARE application process by cooperating with other entities and representatives of California government, including the California Health and Human Services Agency and the Secretary of California Health and Human Services, to ensure that all gas and electric customers eligible for public assistance programs in California that reside within the service territory of an electrical corporation or gas corporation, are enrolled in the CARE program. The commission may determine that gas and electric customers are categorically eligible for CARE assistance if they are enrolled in other public assistance programs with substantially the same income eligibility requirements as the CARE program. To the extent practicable, the commission shall develop a CARE application process using the existing ULTS application process as a model. The commission shall work with electrical and gas corporations and the Low-Income Oversight Board established in Section 382.1 to meet the low-income objectives in this section.
(2)The commission shall ensure that an electrical corporation or gas corporation with a commission-approved program to provide discounts based upon economic need in addition to the CARE program, including a Family Electric Rate Assistance program, utilize a single application form, to enable an applicant to alternatively apply for any assistance program for which the applicant may be eligible. It is the intent of the Legislature to allow applicants under one program, that may not be eligible under that program, but that may be eligible under an alternative assistance program based upon economic need, to complete a single application for any commission-approved assistance program offered by the public utility.
(g)It is the intent of the Legislature that the commission ensure CARE program participants receive affordable electric and gas service that does not impose an unfair economic burden on those participants.
(h)The commissions program of assistance to low-income electric and gas customers shall, as soon as practicable, include nonprofit group living facilities specified by the commission, if the commission finds that the residents in these facilities substantially meet the commissions low-income eligibility requirements and there is a feasible process for certifying that the assistance shall be used for the direct benefit, such as improved quality of care or improved food service, of the low-income residents in the facilities. The commission shall authorize utilities to offer discounts to eligible facilities licensed or permitted by appropriate state or local agencies, and to facilities, including womens shelters, hospices, and homeless shelters, that may not have a license or permit but provide other proof satisfactory to the utility that they are eligible to participate in the program.
(i)(1)In addition to existing assessments of eligibility, an electrical corporation may require proof of income eligibility for those CARE program participants whose electricity usage, in any monthly or other billing period, exceeds 400 percent of baseline usage. The authority of an electrical corporation to require proof of income eligibility is not limited by the means by which the CARE program participant enrolled in the program, including if the participant was automatically enrolled in the CARE program because of participation in a governmental assistance program. If a CARE program participants electricity usage exceeds 400 percent of baseline usage, the electrical corporation may require the CARE program participant to participate in the Energy Savings Assistance Program (ESAP), which includes a residential energy assessment, in order to provide the CARE program participant with information and assistance in reducing his or her energy usage. Continued participation in the CARE program may be conditioned upon the CARE program participant agreeing to participate in ESAP within 45 days of notice being given by the electrical corporation pursuant to this paragraph. The electrical corporation may require the CARE program participant to notify the utility of whether the residence is rented, and if so, a means by which to contact the landlord, and the electrical corporation may share any evaluation and recommendation relative to the residential structure that is made as part of an energy assessment, with the landlord of the CARE program participant. Requirements imposed pursuant to this paragraph shall be consistent with procedures adopted by the commission.
(2)If a CARE program participants electricity usage exceeds 600 percent of baseline usage, the electrical corporation shall require the CARE program participant to participate in ESAP, which includes a residential energy assessment, in order to provide the CARE program participant with information and assistance in reducing his or her energy usage. Continued participation in the CARE program shall be conditioned upon the CARE program participant agreeing to participate in ESAP within 45 days of a notice made by the electrical corporation pursuant to this paragraph. The electrical corporation may require the CARE program participant to notify the utility of whether the residence is rented, and if so, a means by which to contact the landlord, and the electrical corporation may share any evaluation and recommendation relative to the residential structure that is made as part of an energy assessment, with the landlord of the CARE program participant. Following the completion of the energy assessment, if the CARE program participants electricity usage continues to exceed 600 percent of baseline usage, the electrical corporation may remove the CARE program participant from the program if the removal is consistent with procedures adopted by the commission. Nothing in this paragraph shall prevent a CARE program participant with electricity usage exceeding 600 percent of baseline usage from participating in an appeals process with the electrical corporation to determine whether the participants usage levels are legitimate.
(3)A CARE program participant in a rental residence shall not be removed from the program in situations where the landlord is nonresponsive when contacted by the electrical corporation or does not provide for ESAP participation.