California 2019-2020 Regular Session

California Assembly Bill AB1720 Compare Versions

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1-Amended IN Senate July 27, 2020 Amended IN Senate June 29, 2020 Amended IN Assembly March 25, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 1720Introduced by Assembly Member CarrilloFebruary 22, 2019An act to amend and repeal Section 21168.6.20 of the Public Resources Code, to add Sections 2837.5 2837.5, 2837.6, and 2837.7 to the Public Utilities Code, and to amend Sections 80010, 80200, and 80260 of, to add Sections 80001, 80002.6, 80013, and 80201 to, and to add Article 2 (commencing with Section 80125) to Chapter 2 of Division 27 of, the Water Code, relating to energy, and to make an appropriation therefor.LEGISLATIVE COUNSEL'S DIGESTAB 1720, as amended, Carrillo. Energy: long-duration energy storage: environmental review and procurement.The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment. CEQA establishes a procedure by which a person may seek judicial review of the decision of the lead agency made pursuant to CEQA.This bill would establish specified procedures for the administrative and judicial review of the environmental review and approvals granted for a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day. The bill would apply certain rules of court establishing procedures requiring actions or proceedings seeking judicial review pursuant to CEQA or the granting of project approvals, including any appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court to an action or proceeding seeking judicial review of the lead agencys action related to the project. The bill would, except as provided, prohibit the San Diego County Water Authority from prequalifying or shortlisting or awarding a contract to perform any portion of the project. The bill would repeal these provisions on January 1, 2026. Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law requires the PUC to open a proceeding to determine appropriate targets, if any, for each load-serving entity, as defined, to procure viable and cost-effective energy storage systems to be achieved by December 31, 2015, and December 31, 2020. If determined to be appropriate, the PUC is required to adopt the procurement targets, targets by October 1, 2013, and to reevaluate the determinations not less than once every 3 years. Pursuant to these provisions, the PUC has adopted decisions establishing energy storage system procurement targets. Existing law requires each load-serving entity, by January 1, 2016, and again by January 1, 2021, to submit a report to the PUC demonstrating that it has complied with the energy storage system procurement targets and policies adopted by the PUC. Existing law requires the PUC to adopt a process for each load-serving entity to file an integrated resource plan and a schedule for periodic updates to the plan to ensure that load-serving entities accomplish specified objectives. Existing law requires each load-serving entity to prepare and file an integrated resource plan consistent with those objectives on a time schedule directed by the PUC and subject to PUC review. Pursuant to these authorities, the PUC has adopted a decision establishing 2 thresholds for the emissions of greenhouse gases, to meet by 2030, as the target ranges for the electric sector as part of the PUCs 201920 integrated resource planning process. That decision also establishes the amount of long-duration energy storage, and the in-service date of the storage, that are required to be included in the load-serving entitys integrated resource plans.This bill would require the PUC, by January 4, 2021, to report to the Governor, the Independent System Operator, the Department of Water Resources, and the State Energy Resources Conservation and Development Commission (Energy Commission) on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities. The bill would require the PUC, in the report, to state whether it will issue an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of long-duration energy storage capacity identified in the commissions decision referenced above for a specific threshold of emissions of greenhouse gases. The bill would require the Department of Water Resources, if the PUC does not issue that order, to procure that amount of long-duration energy storage capacity, as specified, and would specify that the long-duration energy storage capacity is procured on behalf and for the benefit of the customers of the load-serving entities. The bill would provide that the costs incurred by the department resulting from the procurement are recoverable as a revenue requirement from those customers. The bill would require the PUC, upon request by the Department of Water Resources, to order electrical corporations to act as the agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporations for their services, and to adequately secure payment to the department. The bill would establish the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund as a repository for moneys recovered from the customers of load-serving entities. The bill would, except as provided, would continuously appropriate moneys in the account to the department for purposes of the procurement, thereby making an appropriation.This bill would require the PUC and the Energy Commission to timely incorporate consideration of long-duration energy storage systems, as defined, into their energy and resource planning. The bill would require the PUC and the Energy Commission to consider measures to advance described objectives for long-duration energy storage, including support through research and development, demonstration, procurement, and incentives. Under existing law, a violation of an order, decision, rule, direction, demand, or requirement of the commission is a crime.Because a violation of an order or decision of the commission implementing the requirements of the bill would be a crime, this bill would impose a state-mandated local program by creating a new crime. The bill would prohibit the San Diego County Water Authority from prequalifying or shortlisting or awarding a contract to perform any portion of a long-duration energy storage project, except as provided.This bill would make legislative findings and declarations as to the necessity of a special statute for the County of San Diego.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.Digest Key Vote: MAJORITY Appropriation: YES Fiscal Committee: YES Local Program: YES Bill TextThe people of the State of California do enact as follows:SECTION 1. In regards to Sections 3 to 12, inclusive, of this act, the The Legislature finds and declares all of the following:(a) California must urgently respond to the economic adversity created by the coronavirus without abandoning the states leadership in combating the threats posed by climate change. Climate change imperils human health and economic prosperity by threatening more frequent droughts, devastating wildfires, intense storms, and extreme heat. This legislation acts on an identified need for clean energy investment and urgently addresses two immediate threats to California, high unemployment and the perils of climate change.(b) The purpose of this act is to directly invest in clean energy infrastructure, to create good paying jobs, with benefits and pensions, and accelerate Californias investment in technologies to reduce emissions of greenhouse gases. This act will create both multiyear construction jobs as well as long-term employment and tax revenues fostering economic recovery of communities without reliance on California state budget revenues.(c) California remains heavily reliant on the burning of natural gas for the generation of electricity, large hydroelectric generation, and imported electricity to meet customer demand and balance the variable production of generation by eligible renewable energy resources. Changes to the generation portfolio outside of California, including aging coal-fired powerplant retirements and more west wide renewable energy development, render future reliance on those resources ill advised.(d) The states clean energy targets create a need for low-carbon, grid support resources to integrate generation from eligible renewable energy resources to meet customer demand. Investment in energy storage is needed to support reliable grid operations, meet customer demand during periods when variable wind and solar resources are not generating electricity, and efficiently capture, rather than curtail, renewable generation during periods of over-generation when variable wind and solar resources exceed customer demand.(e) Multiple energy storage technologies hold promise to help maintain reliability while also cost-effectively integrating increasing amounts of eligible renewable energy resources to achieve the states 2030 and 2045 renewable and zero-carbon electricity goals. They include, but are not limited to, electrochemical, compressed air, liquified liquefied air, pumped hydroelectric, flow batteries, electrolytic and renewable hydrogen, and several other chemical, mechanical, gravity-based, and thermal energy storage technologies.(f) In Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning, the Public Utilities Commission has adopted a range of 46,000,000 to 38,000,000 metric tons of greenhouse gas emissions by 2030 as the target range for the electric sector as part of its 201920 integrated resource planning process. Modeling conducted by the commission as part of its 201920 integrated resource planning process indicates that over 16 gigawatts of energy storage, both short and long duration, will be needed to cost-effectively maintain reliability under the 38,000,000 metric tons target. Much of that amount, including long-duration energy storage, is needed by 2026.(g) The need for substantial amounts of zero greenhouse gas emission capacity is immediate and pressing, as evidenced by the Public Utilities Commissions Decision 19-11-016 (November 7, 2019) Decision Requiring Electric System Reliability Procurement for 20212023, finding an urgent need for, and ordering the immediate procurement of, 3,300 megawatts of resource adequacy capacity to be in service starting on August 1, 2021. The commission took this action as well as proposing to extend the operational life of once-through cooling natural gas powerplants to avoid electrical system resource adequacy shortages beginning as soon as 2021.(h) The State Energy Resources Conservation and Development Commission has identified a number of barriers to long-duration energy storage systems and certain other zero-carbon resources, including, for some technologies, long development timelines and uncertainty surrounding cost recovery and allocation.(i) The Public Utilities Commission is the lead agency to direct procurement of long-duration energy storage. However, in Decision 19-04-040, 19-04-040 (April 25, 2019) Decision Adopting Preferred System Portfolio and Plan for 20172018 Integrated Resource Plan Cycle, the commission recognized the challenges to long-duration energy storage procurement and in the summer of 2020 will commence, in a procurement track in the current resource planning cycle, to assess how to address these challenges. In September 2020, all load-serving entities are required to submit to the commission their integrated resource plans so that by the end of 2020 the commission will know whether the load-serving entities have plans to procure long-duration energy storage and, if so, by when, how much much, and what types.(j) It is in the interest of the state that there be an approved alternative procurement path in the event the load-serving entities do not include sufficient long-duration energy storage in their integrated resource plans or the Public Utilities Commission cannot successfully require the procurement of the amount needed to ensure the state meets its statutory climate and reliability goals. This act is intended to provide the additional tools necessary to enable the timely development and deployment of long-duration energy storage in the years leading up to 2030.SEC. 2.Section 21168.6.20 is added to the Public Resources Code, to read:21168.6.20.(a)For purposes of this section, the following definitions apply:(1)Project means a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day.(2)Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(3)Skilled and trained workforce has the same meaning as provided in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the Public Contract Code.(b)(1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the project unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2)Paragraph (1) does not apply if any of the following requirements are met:(A)The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B)The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C)The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.(c)Rules 3.2220 to 3.2237, inclusive, of the California Rules of Court, as may be amended by the Judicial Council, shall apply to any action or proceeding brought to attack, review, set aside, void, or annul the certification or adoption of any environmental impact report for the project or the granting of any project approvals, to require the action or proceeding, including any potential appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court. On or before September 1, 2021, the Judicial Council shall amend the California Rules of Court, as necessary, to implement this subdivision.(d)(1) The draft and final environmental impact report shall include a notice in not less than 12-point type stating the following:THIS ENVIRONMENTAL IMPACT REPORT IS SUBJECT TO SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE, WHICH PROVIDES, AMONG OTHER THINGS, THAT THE LEAD AGENCY NEED NOT CONSIDER CERTAIN COMMENTS FILED AFTER THE CLOSE OF THE PUBLIC COMMENT PERIOD, IF ANY, FOR THE DRAFT ENVIRONMENTAL IMPACT REPORT. ANY JUDICIAL ACTION CHALLENGING THE CERTIFICATION OR ADOPTION OF THE ENVIRONMENTAL IMPACT REPORT OR THE APPROVAL OF THE PROJECT DESCRIBED IN SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS SUBJECT TO THE PROCEDURES SET FORTH IN THAT SECTION. A COPY OF SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS INCLUDED IN THE APPENDIX TO THIS ENVIRONMENTAL IMPACT REPORT.(2)The draft environmental impact report and final environmental impact report shall contain, as an appendix, the full text of this section.(3)Within 10 days after the release of the draft environmental impact report, the lead agency shall conduct an informational workshop to inform the public of the key analyses and conclusions of that document.(4)Within 10 days before the close of the public comment period, the lead agency shall hold a public hearing to receive testimony on the draft environmental impact report. A transcript of the hearing shall be included as an appendix to the final environmental impact report.(5)(A) Within five days following the close of the public comment period, a commenter on the draft environmental impact report may submit to the lead agency a written request for nonbinding mediation. The lead agency shall participate in nonbinding mediation with all commenters who submitted timely comments on the draft environmental impact report and who requested the mediation. Mediation conducted pursuant to this paragraph shall end no later than 35 days after the close of the public comment period.(B)A request for mediation shall identify all areas of dispute raised in the comment submitted by the commenter that are to be mediated.(C)The lead agency shall select one or more mediators who shall be retired judges or recognized experts with at least five years of experience in land use and environmental law or science, or mediation. The lead agency shall bear the costs of mediation.(D)A mediation session shall be conducted on each area of dispute with the parties requesting mediation on that area of dispute.(E)The lead agency shall adopt, as a condition of approval, any measures agreed upon by the lead agency and any commenter who requested mediation. A commenter who agrees to a measure pursuant to this subparagraph shall not raise the issue addressed by that measure as a basis for an action or proceeding challenging the lead agencys decision to certify or to adopt the environmental impact report or to grant project approval.(6)The lead agency need not consider written comments submitted after the close of the public comment period, unless those comments address any of the following:(A)New issues raised in the response to comments by the lead agency.(B)New information released by the lead agency subsequent to the release of the draft environmental impact report, such as new information set forth or embodied in a staff report, proposed permit, proposed resolution, ordinance, or similar documents.(C)Changes made to the project after the close of the public comment period.(D)Proposed conditions for approval, mitigation measures, or proposed findings required by Section 21081 or a proposed reporting or monitoring program required by paragraph (1) of subdivision (a) of Section 21081.6, if the lead agency releases those documents subsequent to the release of the draft environmental impact report.(E)New information that was not reasonably known and could not have been reasonably known during the public comment period.(7)The lead agency shall file the notice required by subdivision (a) of Section 21152 within five days after the last initial project approval.(e)(1) The lead agency shall prepare and certify the record of the proceedings in accordance with this subdivision and in accordance with Rule 3.1365 of the California Rules of Court.(2)No later than three business days following the date of the release of the draft environmental impact report, the lead agency shall make available to the public in a readily accessible electronic format the draft environmental impact report and all other documents submitted to or relied on by the lead agency in the preparation of the draft environmental impact report. A document prepared by the lead agency after the date of the release of the draft environmental impact report that is a part of the record of the proceedings shall be made available to the public in a readily accessible electronic format within five business days after the document is prepared by the lead agency.(3)Notwithstanding paragraph (2), documents submitted to or relied on by the lead agency that were not prepared specifically for the project and are copyright protected are not required to be made readily accessible in an electronic format. For those copyright-protected documents, the lead agency shall make an index of the documents available in an electronic format no later than the date of the release of the draft environmental impact report, or within five business days if the document is received or relied on by the lead agency after the release of the draft environmental impact report. The index shall specify the libraries or lead agency offices in which hardcopies of the copyrighted materials are available for public review.(4)The lead agency shall encourage written comments on the project to be submitted in a readily accessible electronic format, and shall make any such comments available to the public in a readily accessible electronic format within five days of their receipt.(5)Within seven business days after the receipt of any comment that is not in an electronic format, the lead agency shall convert that comment into a readily accessible electronic format and make it available to the public in that format.(6)The lead agency shall indicate in the record of proceedings comments received that were not considered by the lead agency pursuant to paragraph (6) of subdivision (d) and need not include the content of the comments as a part of the record of proceedings.(7)Within five days after the filing of the notice required by subdivision (a) of Section 21152, the lead agency shall certify the record of proceedings for the approval or determination and shall provide an electronic copy of the record of proceedings to a party that has submitted a written request for a copy. The lead agency may charge and collect a reasonable fee from a party requesting a copy of the record of proceedings for the electronic copy, which shall not exceed the reasonable cost of reproducing that copy.(8)Within 10 days after being served with a complaint or a petition for a writ of mandate, the lead agency shall lodge a copy of the certified record of proceedings with the superior court.(9)Any dispute over the content of the record of proceedings shall be resolved by the superior court. Unless the superior court directs otherwise, a party disputing the content of the record of proceedings shall file a motion to augment the record of proceedings at the time it files its initial brief.(10)The contents of the record of proceedings shall be as set forth in subdivision (e) of Section 21167.6.(f)This section shall remain in effect only until January 1, 2026, and as of that date is repealed. SEC. 3.SEC. 2. Section 2837.5 is added to the Public Utilities Code, to read:2837.5. (a) For purposes of this section, the following terms have the following meanings:(1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(2) Department means the Department of Water Resources.(3) Load-serving entity has the same meaning as that defined in Section 380. (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.(B) Long-duration energy storage system does not include either of the following:(i)An include an energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California. (ii)An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts of the following: (A) All contracts procuring long-duration energy storage shall be approved by the commission no later than March 1, 2022. The(B) The contracts shall require that the long-duration energy storage systems be operational and providing placed in service between January 1, 2026, and December 31, 2030.(C) The entire capacity of a long-duration energy storage project shall be procured by the load-serving entities subject to the procurement order.(c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).(d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:(1) The department shall consult with the commission and Independent System Operator before undertaking any procurement to ensure that the long-duration energy storage systems from which it procures capacity are consistent with Decision 20-03-028 and meet the needs of the electrical system.(1)(2) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, Section 80110 of the Water Code, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.(2)(3) The departments costs shall be recovered from all retail end-use customers of load-serving entities entities, as determined by the commission.(3)(4) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.(5) The departments authority to procure long-duration energy storage services is limited to achieving the 38,000,000-metric-ton electric sector target identified in Decision 20-03-028. No additional procurement by the department is authorized by this section.(e) Except as otherwise set forth in this section and in Section 80220 80125 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.SEC. 3. Section 2837.6 is added to the Public Utilities Code, to read:2837.6. (a) For purposes of this section, the following definitions apply:(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the development of a long-duration energy storage system, as defined in Section 2837.5, unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all construction work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if any of the following requirements are met:(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.SEC. 4. Section 2837.7 is added to the Public Utilities Code, to read:2837.7. (a) For purposes of this section, long-duration energy storage system has the same meaning as defined in Section 2837.5.(b) It is the intent of the Legislature that the state supports the development of a robust market for long-duration energy storage systems that will eventually be free of commercial barriers, including barriers to multiple technologies and technologies capable of providing storage over multiple days, to cost-effectively integrate increasing amounts of electricity from eligible renewable energy resources and meet the states renewable energy resource goals for 2030 and 2045 as described in subparagraph (B) of paragraph (2) of subdivision (b) of Section 399.15 and subdivision (a) of Section 454.53, while maintaining electrical system operational flexibility and electrical grid reliability. (c) The commission and the Energy Commission shall timely incorporate consideration of long-duration energy storage systems into their energy and resource planning. (d) The commission and the Energy Commission shall consider measures to advance the objective set forth in subdivision (b), including, but not limited to, support through research and development, demonstration, procurement, and incentives. Any measures adopted pursuant to this subdivision shall be in addition to any solicitation process authorized by Section 2837.5. (e) In order to support eligible renewable energy resource goals, to support operational flexibility and reliability, and to enhance resiliency on the local and distribution level, the commission, as part of the integrated resource planning process, shall do all of the following: (1) Evaluate and analyze the potential for long-duration energy storage systems to help integrate generation from eligible renewable energy resources into the electrical grid on a daily, multiday, and seasonal basis, including, but not limited to, consideration of the capacity contribution of long-duration energy storage systems as a function of duration. (2) Identify the role of long-duration energy storage systems to ensure grid reliability during multiday weather events that reduce output from eligible renewable energy resources. (3) Identify mechanisms to encourage eligible renewable energy resources to be increasingly firmed and dispatchable. (4) Develop a long-term assessment of the capacity contribution of combined eligible renewable energy resources and energy storage that considers the installed capacity of the generating and storage resources and storage duration. (5) Incorporate consideration of long-duration energy storage systems into the commissions preferred system plans. (f) This section does not prohibit the commission from evaluating or approving an application for funding or recovery of costs for any ongoing or new development, demonstration, or testing of a long-duration energy storage system outside of the process required by this chapter. SEC. 5. Section 80001 is added to the Water Code, to read:80001. The Legislature further finds and declares that the effort to reduce emissions of greenhouse gases is essential for the safety, health, and well-being of the people of California. A number of factors create significant challenges to the Public Utilities Commissions ability to meet the states need for large scale long-duration energy storage projects with multiple beneficiary system-side grid benefits in the timeframe identified by the Public Utilities Commissions modeling in the 20192020 integrated resource planning proceeding and warrant requiring the department to undertake this effort should the commission not do so.SEC. 6. Section 80002.6 is added to the Water Code, to read:80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, power, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output. power.SEC. 7. Section 80010 of the Water Code is amended to read:80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:(a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.(b) Commission means the Public Utilities Commission.(c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.(e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.(f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.(g) Local publicly owned electric utility has the same meaning as defined in Section 224.3 of the Public Utilities Code.(h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.(i) Power means electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.(j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.SEC. 8. Section 80013 is added to the Water Code, to read:80013. The department shall do those things necessary and authorized pursuant to Article 2 (commencing with Section 80125) to enter into long-duration energy storage agreements for electrical capacity and output pursuant to Section 2837.5 of Public Utilities Code.SEC. 9. Article 2 (commencing with Section 80125) is added to Chapter 2 of Division 27 of the Water Code, to read: Article 2. Long-Duration Energy Storage80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:(a) The energy storage agreement requires the long-duration energy storage system to meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.(b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.(c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.(d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output power provided by the long-duration energy storage system.(f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.(g) Before commercial operation the developer shall provide periodic progress reports.(h) The entire capacity of each long-duration energy storage project shall be procured by the department pursuant to this procurement.80125.2. (a) For purposes of this article, costs incurred pursuant to an agreement to procure long-duration energy storage shall be just and reasonable if either of the following is true:(1) The long-duration energy storage agreement price is at or below the cost assumptions the commission used for long-duration energy storage in Decision 20-03-028.(2) The developer of the long-duration energy storage system is able to establish to the departments satisfaction that the costs in excess of the commissions cost assumptions described in paragraph (1) are justifiable in light of documented or projected costs and confirmed by an independent evaluator, provided, however, those costs shall not exceed the cost assumption benchmarks identified in paragraph (1) by more than 15 percent in aggregate.(b) The department shall have no obligation to execute an agreement for the procurement of long-duration energy storage services contract if the developer is found to have misrepresented its costs in any material respect or if the agreement would not satisfy subdivision (a).(c)The department shall not enter into a long-duration energy storage services contract under this section if the associated long-duration energy storage project is subject to review under Division 13 (commencing with Section 21000) of the Public Resources Code unless it finds that the project developer has agreed to acceptable mitigation measures to avoid significant impact on any tribal cultural resource, as defined in subdivision (a) or (b) of Section 21074 of Public Resources Code. The department shall not make this finding unless the California Native American Tribe, if any, that is culturally and traditionally affiliated with the geographic area in which the project is located concurs in this finding.80125.4. (a) A long-duration energy storage agreement made pursuant to this article may provide for assignment on any terms and conditions as the agreement may specify. The agreements shall allow assignment to a central procurement authority, if one is created, so long as the payment and security provisions are comparable to those provided in this article.(b) Any long-duration energy storage agreement shall contain any contractual terms and security provisions as are determined by the department to be necessary or appropriate and the department may enter into such arrangements as may be necessary or appropriate.(c)Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors to use a multicraft project labor agreement, as that term is defined paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code, for construction and contracted out maintenance of the long-duration energy storage system facility. The project labor agreements shall conform to the industry standard agreements recently used for private large thermal powerplant projects, including side letters for high-voltage transmission and related work.80125.5. (a) For purposes of this section, the following definitions apply:(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.(b) (1) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors and its subcontractors at every tier to use a skilled and trained workforce to perform all construction and contracted-out maintenance work on the project that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if the developer or its general contractor has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.80125.6. Upon the delivery of electrical capacity and output power pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output power from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output power to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate. The revenue requirements shall be recovered through a cost-of-service or similar rate that is not to be charged to end-use customers until the date of operation of a project delivering energy storage services pursuant to this article.(b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.(c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output power to the customers.80126.2. All money collected with respect to any electrical capacity or output power acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output power acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output power from or sell electrical output and capacity power to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output power purchased by the department pursuant to this article.80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. 2023. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.(b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.(c) Contract for the services of other public agencies.(d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.80127. For purposes of any agreements entered into pursuant to this article, the department shall not rely upon or otherwise use the authority provided in Article 1 (commencing with Sections 80100) or Chapter 2.5 (commencing with Sections 80130), with the exception of Section 80134, which shall apply to commitments made pursuant to this article.SEC. 10. Section 80200 of the Water Code is amended to read:80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).(b) Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:(1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.(2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.(3) Payment of any bonds or other contractual obligations authorized by this division.(4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.(c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.(d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.(e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.SEC. 11. Section 80201 is added to the Water Code, to read:80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), Code, all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.(b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act. payable solely from the Long-Duration Energy Storage Account.(d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.SEC. 12. Section 80260 of the Water Code is amended to read:80260. (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power.(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section Section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2. (c) This section does not affect the authority of the department to administer contracts entered into prior to those dates or the departments authority to sell electrical capacity or output of energy storage services from a long-duration energy storage system.SEC. 13. The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.SEC. 14. In regards to Section 2 3 of this act, the Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances regarding the pumped hydroelectric energy storage facility in the vicinity of the San Vicente Reservoir in the County of San Diego.SEC. 15. 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.
1+Amended IN Senate June 29, 2020 Amended IN Assembly March 25, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 1720Introduced by Assembly Member CarrilloFebruary 22, 2019An act to add Section 65040.31 to the Government Code, relating to land use. An act to amend and repeal Section 21168.6.20 of the Public Resources Code, to add Sections 2837.5 and 2837.7 to the Public Utilities Code, and to amend Sections 80010, 80200, and 80260 of, to add Sections 80001, 80002.6, 80013, and 80201 to, and to add Article 2 (commencing with Section 80125) to Chapter 2 of Division 27 of, the Water Code, relating to energy, and to make an appropriation therefor.LEGISLATIVE COUNSEL'S DIGESTAB 1720, as amended, Carrillo. Office of Planning and Research: land use guidelines. Energy: long-duration energy storage: environmental review and procurement.The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment. CEQA establishes a procedure by which a person may seek judicial review of the decision of the lead agency made pursuant to CEQA.This bill would establish specified procedures for the administrative and judicial review of the environmental review and approvals granted for a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day. The bill would apply certain rules of court establishing procedures requiring actions or proceedings seeking judicial review pursuant to CEQA or the granting of project approvals, including any appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court to an action or proceeding seeking judicial review of the lead agencys action related to the project. The bill would, except as provided, prohibit the San Diego County Water Authority from prequalifying or shortlisting or awarding a contract to perform any portion of the project. The bill would repeal these provisions on January 1, 2026. Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law requires the PUC to open a proceeding to determine appropriate targets, if any, for each load-serving entity, as defined, to procure viable and cost-effective energy storage systems to be achieved by December 31, 2015, and December 31, 2020. If determined to be appropriate, the PUC is required to adopt the procurement targets, by October 1, 2013, and to reevaluate the determinations not less than once every 3 years. Pursuant to these provisions, the PUC has adopted decisions establishing energy storage system procurement targets. Existing law requires each load-serving entity, by January 1, 2016, and again by January 1, 2021, to submit a report to the PUC demonstrating that it has complied with the energy storage system procurement targets and policies adopted by the PUC. Existing law requires the PUC to adopt a process for each load-serving entity to file an integrated resource plan and a schedule for periodic updates to the plan to ensure that load-serving entities accomplish specified objectives. Existing law requires each load-serving entity to prepare and file an integrated resource plan consistent with those objectives on a time schedule directed by the PUC and subject to PUC review. Pursuant to these authorities, the PUC has adopted a decision establishing 2 thresholds for the emissions of greenhouse gases, to meet by 2030, as the target ranges for the electric sector as part of the PUCs 201920 integrated resource planning process. That decision also establishes the amount of long-duration energy storage, and the in-service date of the storage, that are required to be included in the load-serving entitys integrated resource plans.This bill would require the PUC, by January 4, 2021, to report to the Governor, the Independent System Operator, the Department of Water Resources, and the State Energy Resources Conservation and Development Commission (Energy Commission) on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities. The bill would require the PUC, in the report, to state whether it will issue an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of long-duration energy storage capacity identified in the commissions decision referenced above for a specific threshold of emissions of greenhouse gases. The bill would require the Department of Water Resources, if the PUC does not issue that order, to procure that amount of long-duration energy storage capacity, as specified, and would specify that the long-duration energy storage capacity is procured on behalf and for the benefit of the customers of the load-serving entities. The bill would provide that the costs incurred by the department resulting from the procurement are recoverable as a revenue requirement from those customers. The bill would require the PUC, upon request by the Department of Water Resources, to order electrical corporations to act as the agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporations for their services, and to adequately secure payment to the department. The bill would establish the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund as a repository for moneys recovered from the customers of load-serving entities. The bill would, except as provided, continuously appropriate moneys in the account to the department for purposes of the procurement, thereby making an appropriation.This bill would require the PUC and the Energy Commission to timely incorporate consideration of long-duration energy storage systems, as defined, into their energy and resource planning. The bill would require the PUC and the Energy Commission to consider measures to advance described objectives for long-duration energy storage, including support through research and development, demonstration, procurement, and incentives. Under existing law, a violation of an order, decision, rule, direction, demand, or requirement of the commission is a crime.Because a violation of an order or decision of the commission implementing the requirements of the bill would be a crime, this bill would impose a state-mandated local program by creating a new crime.This bill would make legislative findings and declarations as to the necessity of a special statute for the County of San Diego.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.Existing law requires the Office of Planning and Research to implement various long-range planning and research policies and goals that are intended to, among other things, encourage the formation and proper functioning of local entities and, in connection with those responsibilities, to adopt guidelines for the preparation and content of the mandatory elements required in city and county general plans.This bill would require the Office of Planning and Research by January 1, 2021, to develop and adopt guidelines for a city or county to implement policies and practices that represent best practices to support small businesses within their jurisdictions. The bill would require those guidelines to include, among other things, recommendations for policies and practices to be included within mandatory elements required in general plans, specific plans, and other land use planning documents of a city or county.Digest Key Vote: MAJORITY Appropriation: NOYES Fiscal Committee: YES Local Program: NOYES Bill TextThe people of the State of California do enact as follows:SECTION 1. In regards to Sections 3 to 12, inclusive, of this act, the Legislature finds and declares all of the following:(a) California must urgently respond to the economic adversity created by the coronavirus without abandoning the states leadership in combating the threats posed by climate change. Climate change imperils human health and economic prosperity by threatening more frequent droughts, devastating wildfires, intense storms, and extreme heat. This legislation acts on an identified need for clean energy investment and urgently addresses two immediate threats to California, high unemployment and the perils of climate change.(b) The purpose of this act is to directly invest in clean energy infrastructure, to create good paying jobs, with benefits and pensions, and accelerate Californias investment in technologies to reduce emissions of greenhouse gases. This act will create both multiyear construction jobs as well as long-term employment and tax revenues fostering economic recovery of communities without reliance on California state budget revenues.(c) California remains heavily reliant on the burning of natural gas for the generation of electricity, large hydroelectric generation, and imported electricity to meet customer demand and balance the variable production of generation by eligible renewable energy resources. Changes to the generation portfolio outside of California, including aging coal-fired powerplant retirements and more west wide renewable energy development, render future reliance on those resources ill advised.(d) The states clean energy targets create a need for low-carbon, grid support resources to integrate generation from eligible renewable energy resources to meet customer demand. Investment in energy storage is needed to support reliable grid operations, meet customer demand during periods when variable wind and solar resources are not generating electricity, and efficiently capture, rather than curtail, renewable generation during periods of over-generation when variable wind and solar resources exceed customer demand.(e) Multiple energy storage technologies hold promise to help maintain reliability while also cost-effectively integrating increasing amounts of eligible renewable energy resources to achieve the states 2030 and 2045 renewable and zero-carbon electricity goals. They include, but are not limited to, electrochemical, compressed air, liquified air, pumped hydroelectric, flow batteries, electrolytic and renewable hydrogen, and several other chemical, mechanical, gravity-based, and thermal energy storage technologies.(f) In Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning, the Public Utilities Commission has adopted a range of 46,000,000 to 38,000,000 metric tons of greenhouse gas emissions by 2030 as the target range for the electric sector as part of its 201920 integrated resource planning process. Modeling conducted by the commission as part of its 201920 integrated resource planning process indicates that over 16 gigawatts of energy storage, both short and long duration, will be needed to cost-effectively maintain reliability under the 38,000,000 metric tons target. Much of that amount, including long-duration energy storage, is needed by 2026.(g) The need for substantial amounts of zero greenhouse gas emission capacity is immediate and pressing, as evidenced by the Public Utilities Commissions Decision 19-11-016 (November 7, 2019) Decision Requiring Electric System Reliability Procurement for 20212023, finding an urgent need for, and ordering the immediate procurement of, 3,300 megawatts of resource adequacy capacity to be in service starting on August 1, 2021. The commission took this action as well as proposing to extend the operational life of once-through cooling natural gas powerplants to avoid electrical system resource adequacy shortages beginning as soon as 2021.(h) The State Energy Resources Conservation and Development Commission has identified a number of barriers to long-duration energy storage systems and certain other zero-carbon resources, including, for some technologies, long development timelines and uncertainty surrounding cost recovery and allocation.(i) The Public Utilities Commission is the lead agency to direct procurement of long-duration energy storage. However, in Decision 19-04-040, the commission recognized the challenges to long-duration energy storage procurement and in the summer of 2020 will commence, in a procurement track in the current resource planning cycle, to assess how to address these challenges. In September 2020, all load-serving entities are required to submit to the commission their integrated resource plans so that by the end of 2020 the commission will know whether the load-serving entities have plans to procure long-duration energy storage and, if so, by when, how much and what types.(j) It is in the interest of the state that there be an approved alternative procurement path in the event the load-serving entities do not include sufficient long-duration energy storage in their integrated resource plans or the Public Utilities Commission cannot successfully require the procurement of the amount needed to ensure the state meets its statutory climate and reliability goals. This act is intended to provide the additional tools necessary to enable the timely development and deployment of long-duration energy storage in the years leading up to 2030.SEC. 2. Section 21168.6.20 is added to the Public Resources Code, to read:21168.6.20. (a) For purposes of this section, the following definitions apply:(1) Project means a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day.(2) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(3) Skilled and trained workforce has the same meaning as provided in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the Public Contract Code.(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the project unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if any of the following requirements are met:(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.(c) Rules 3.2220 to 3.2237, inclusive, of the California Rules of Court, as may be amended by the Judicial Council, shall apply to any action or proceeding brought to attack, review, set aside, void, or annul the certification or adoption of any environmental impact report for the project or the granting of any project approvals, to require the action or proceeding, including any potential appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court. On or before September 1, 2021, the Judicial Council shall amend the California Rules of Court, as necessary, to implement this subdivision.(d) (1) The draft and final environmental impact report shall include a notice in not less than 12-point type stating the following:THIS ENVIRONMENTAL IMPACT REPORT IS SUBJECT TO SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE, WHICH PROVIDES, AMONG OTHER THINGS, THAT THE LEAD AGENCY NEED NOT CONSIDER CERTAIN COMMENTS FILED AFTER THE CLOSE OF THE PUBLIC COMMENT PERIOD, IF ANY, FOR THE DRAFT ENVIRONMENTAL IMPACT REPORT. ANY JUDICIAL ACTION CHALLENGING THE CERTIFICATION OR ADOPTION OF THE ENVIRONMENTAL IMPACT REPORT OR THE APPROVAL OF THE PROJECT DESCRIBED IN SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS SUBJECT TO THE PROCEDURES SET FORTH IN THAT SECTION. A COPY OF SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS INCLUDED IN THE APPENDIX TO THIS ENVIRONMENTAL IMPACT REPORT.(2) The draft environmental impact report and final environmental impact report shall contain, as an appendix, the full text of this section.(3) Within 10 days after the release of the draft environmental impact report, the lead agency shall conduct an informational workshop to inform the public of the key analyses and conclusions of that document.(4) Within 10 days before the close of the public comment period, the lead agency shall hold a public hearing to receive testimony on the draft environmental impact report. A transcript of the hearing shall be included as an appendix to the final environmental impact report.(5) (A) Within five days following the close of the public comment period, a commenter on the draft environmental impact report may submit to the lead agency a written request for nonbinding mediation. The lead agency shall participate in nonbinding mediation with all commenters who submitted timely comments on the draft environmental impact report and who requested the mediation. Mediation conducted pursuant to this paragraph shall end no later than 35 days after the close of the public comment period.(B) A request for mediation shall identify all areas of dispute raised in the comment submitted by the commenter that are to be mediated.(C) The lead agency shall select one or more mediators who shall be retired judges or recognized experts with at least five years of experience in land use and environmental law or science, or mediation. The lead agency shall bear the costs of mediation.(D) A mediation session shall be conducted on each area of dispute with the parties requesting mediation on that area of dispute.(E) The lead agency shall adopt, as a condition of approval, any measures agreed upon by the lead agency and any commenter who requested mediation. A commenter who agrees to a measure pursuant to this subparagraph shall not raise the issue addressed by that measure as a basis for an action or proceeding challenging the lead agencys decision to certify or to adopt the environmental impact report or to grant project approval.(6) The lead agency need not consider written comments submitted after the close of the public comment period, unless those comments address any of the following:(A) New issues raised in the response to comments by the lead agency.(B) New information released by the lead agency subsequent to the release of the draft environmental impact report, such as new information set forth or embodied in a staff report, proposed permit, proposed resolution, ordinance, or similar documents.(C) Changes made to the project after the close of the public comment period.(D) Proposed conditions for approval, mitigation measures, or proposed findings required by Section 21081 or a proposed reporting or monitoring program required by paragraph (1) of subdivision (a) of Section 21081.6, if the lead agency releases those documents subsequent to the release of the draft environmental impact report.(E) New information that was not reasonably known and could not have been reasonably known during the public comment period.(7) The lead agency shall file the notice required by subdivision (a) of Section 21152 within five days after the last initial project approval.(e) (1) The lead agency shall prepare and certify the record of the proceedings in accordance with this subdivision and in accordance with Rule 3.1365 of the California Rules of Court.(2) No later than three business days following the date of the release of the draft environmental impact report, the lead agency shall make available to the public in a readily accessible electronic format the draft environmental impact report and all other documents submitted to or relied on by the lead agency in the preparation of the draft environmental impact report. A document prepared by the lead agency after the date of the release of the draft environmental impact report that is a part of the record of the proceedings shall be made available to the public in a readily accessible electronic format within five business days after the document is prepared by the lead agency.(3) Notwithstanding paragraph (2), documents submitted to or relied on by the lead agency that were not prepared specifically for the project and are copyright protected are not required to be made readily accessible in an electronic format. For those copyright-protected documents, the lead agency shall make an index of the documents available in an electronic format no later than the date of the release of the draft environmental impact report, or within five business days if the document is received or relied on by the lead agency after the release of the draft environmental impact report. The index shall specify the libraries or lead agency offices in which hardcopies of the copyrighted materials are available for public review.(4) The lead agency shall encourage written comments on the project to be submitted in a readily accessible electronic format, and shall make any such comments available to the public in a readily accessible electronic format within five days of their receipt.(5) Within seven business days after the receipt of any comment that is not in an electronic format, the lead agency shall convert that comment into a readily accessible electronic format and make it available to the public in that format.(6) The lead agency shall indicate in the record of proceedings comments received that were not considered by the lead agency pursuant to paragraph (6) of subdivision (d) and need not include the content of the comments as a part of the record of proceedings.(7) Within five days after the filing of the notice required by subdivision (a) of Section 21152, the lead agency shall certify the record of proceedings for the approval or determination and shall provide an electronic copy of the record of proceedings to a party that has submitted a written request for a copy. The lead agency may charge and collect a reasonable fee from a party requesting a copy of the record of proceedings for the electronic copy, which shall not exceed the reasonable cost of reproducing that copy.(8) Within 10 days after being served with a complaint or a petition for a writ of mandate, the lead agency shall lodge a copy of the certified record of proceedings with the superior court.(9) Any dispute over the content of the record of proceedings shall be resolved by the superior court. Unless the superior court directs otherwise, a party disputing the content of the record of proceedings shall file a motion to augment the record of proceedings at the time it files its initial brief.(10) The contents of the record of proceedings shall be as set forth in subdivision (e) of Section 21167.6.(f) This section shall remain in effect only until January 1, 2026, and as of that date is repealed. SEC. 3. Section 2837.5 is added to the Public Utilities Code, to read:2837.5. (a) For purposes of this section, the following terms have the following meanings:(1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(2) Department means the Department of Water Resources.(3) Load-serving entity has the same meaning as that defined in Section 380. (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.(B) Long-duration energy storage system does not include either of the following:(i) An energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California. (ii) An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts procuring long-duration energy storage be approved by the commission no later than March 1, 2022. The contracts shall require that the long-duration energy storage systems be operational and providing service between January 1, 2026, and December 31, 2030.(c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).(d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:(1) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.(2) The departments costs shall be recovered from all retail end-use customers of load-serving entities as determined by the commission.(3) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.(e) Except as otherwise set forth in this section and in Section 80220 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.SEC. 4. Section 2837.7 is added to the Public Utilities Code, to read:2837.7. (a) For purposes of this section, long-duration energy storage system has the same meaning as defined in Section 2837.5.(b) It is the intent of the Legislature that the state supports the development of a robust market for long-duration energy storage systems that will eventually be free of commercial barriers, including barriers to multiple technologies and technologies capable of providing storage over multiple days, to cost-effectively integrate increasing amounts of electricity from eligible renewable energy resources and meet the states renewable energy resource goals for 2030 and 2045 as described in subparagraph (B) of paragraph (2) of subdivision (b) of Section 399.15 and subdivision (a) of Section 454.53, while maintaining electrical system operational flexibility and electrical grid reliability. (c) The commission and the Energy Commission shall timely incorporate consideration of long-duration energy storage systems into their energy and resource planning. (d) The commission and the Energy Commission shall consider measures to advance the objective set forth in subdivision (b), including, but not limited to, support through research and development, demonstration, procurement, and incentives. Any measures adopted pursuant to this subdivision shall be in addition to any solicitation process authorized by Section 2837.5. (e) In order to support eligible renewable energy resource goals, to support operational flexibility and reliability, and to enhance resiliency on the local and distribution level, the commission, as part of the integrated resource planning process, shall do all of the following: (1) Evaluate and analyze the potential for long-duration energy storage systems to help integrate generation from eligible renewable energy resources into the electrical grid on a daily, multiday, and seasonal basis, including, but not limited to, consideration of the capacity contribution of long-duration energy storage systems as a function of duration. (2) Identify the role of long-duration energy storage systems to ensure grid reliability during multiday weather events that reduce output from eligible renewable energy resources. (3) Identify mechanisms to encourage eligible renewable energy resources to be increasingly firmed and dispatchable. (4) Develop a long-term assessment of the capacity contribution of combined eligible renewable energy resources and energy storage that considers the installed capacity of the generating and storage resources and storage duration. (5) Incorporate consideration of long-duration energy storage systems into the commissions preferred system plans. (f) This section does not prohibit the commission from evaluating or approving an application for funding or recovery of costs for any ongoing or new development, demonstration, or testing of a long-duration energy storage system outside of the process required by this chapter. SEC. 5. Section 80001 is added to the Water Code, to read:80001. The Legislature further finds and declares that the effort to reduce emissions of greenhouse gases is essential for the safety, health, and well-being of the people of California. A number of factors create significant challenges to the Public Utilities Commissions ability to meet the states need for large scale long-duration energy storage projects with multiple beneficiary system-side grid benefits in the timeframe identified by the Public Utilities Commissions modeling in the 20192020 integrated resource planning proceeding and warrant requiring the department to undertake this effort should the commission not do so.SEC. 6. Section 80002.6 is added to the Water Code, to read:80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output.SEC. 7. Section 80010 of the Water Code is amended to read:80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:(a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.(b) Commission means the Public Utilities Commission.(c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(c)(d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.(d)(e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.(f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.(e)(g) Local publicly owned electric utility includes the entities defined in subdivision (d) of Section 9604 of the Public Utilities Code and publicly owned utilities that provide electricity. has the same meaning as defined in Section 224.3 of the Public Utilities Code.(h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.(f)(i) Power means electric power electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.(g)(j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.SEC. 8. Section 80013 is added to the Water Code, to read:80013. The department shall do those things necessary and authorized pursuant to Article 2 (commencing with Section 80125) to enter into long-duration energy storage agreements for electrical capacity and output pursuant to Section 2837.5 of Public Utilities Code.SEC. 9. Article 2 (commencing with Section 80125) is added to Chapter 2 of Division 27 of the Water Code, to read: Article 2. Long-Duration Energy Storage80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:(a) The energy storage agreement requires the long-duration energy storage system meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.(b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.(c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.(d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output provided by the long-duration energy storage system.(f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.(g) Before commercial operation the developer shall provide periodic progress reports.80125.2. (a) For purposes of this article, costs incurred pursuant to an agreement to procure long-duration energy storage shall be just and reasonable if either of the following is true:(1) The long-duration energy storage agreement price is at or below the cost assumptions the commission used for long-duration energy storage in Decision 20-03-028.(2) The developer of the long-duration energy storage system is able to establish to the departments satisfaction that the costs in excess of the commissions cost assumptions described in paragraph (1) are justifiable in light of documented or projected costs and confirmed by an independent evaluator, provided, however, those costs shall not exceed the cost assumption benchmarks identified in paragraph (1) by more than 15 percent in aggregate.(b) The department shall have no obligation to execute an agreement for the procurement of long-duration energy storage services contract if the developer is found to have misrepresented its costs in any material respect or if the agreement would not satisfy subdivision (a).(c) The department shall not enter into a long-duration energy storage services contract under this section if the associated long-duration energy storage project is subject to review under Division 13 (commencing with Section 21000) of the Public Resources Code unless it finds that the project developer has agreed to acceptable mitigation measures to avoid significant impact on any tribal cultural resource, as defined in subdivision (a) or (b) of Section 21074 of Public Resources Code. The department shall not make this finding unless the California Native American Tribe, if any, that is culturally and traditionally affiliated with the geographic area in which the project is located concurs in this finding.80125.4. (a) A long-duration energy storage agreement made pursuant to this article may provide for assignment on any terms and conditions as the agreement may specify. The agreements shall allow assignment to a central procurement authority, if one is created, so long as the payment and security provisions are comparable to those provided in this article.(b) Any long-duration energy storage agreement shall contain any contractual terms and security provisions as are determined by the department to be necessary or appropriate and the department may enter into such arrangements as may be necessary or appropriate.(c) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors to use a multicraft project labor agreement, as that term is defined paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code, for construction and contracted out maintenance of the long-duration energy storage system facility. The project labor agreements shall conform to the industry standard agreements recently used for private large thermal powerplant projects, including side letters for high-voltage transmission and related work.80125.6. Upon the delivery of electrical capacity and output pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate.(b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.(c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output to the customers.80126.2. All money collected with respect to any electrical capacity or output acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output from or sell electrical output and capacity to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output purchased by the department pursuant to this article.80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.(b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.(c) Contract for the services of other public agencies.(d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.80127. For purposes of any agreements entered into pursuant to this article, the department shall not rely upon or otherwise use the authority provided in Article 1 (commencing with Sections 80100) or Chapter 2.5 (commencing with Sections 80130), with the exception of Section 80134, which shall apply to commitments made pursuant to this article.SEC. 10. Section 80200 of the Water Code is amended to read:80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).(b) All Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:(1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.(2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.(3) Payment of any bonds or other contractual obligations authorized by this division.(4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.(c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.(d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.(e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.SEC. 11. Section 80201 is added to the Water Code, to read:80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.(b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act.(d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.SEC. 12. Section 80260 of the Water Code is amended to read:80260. On (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power. This(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2. (c) This section does not affect the authority of the department to administer contracts entered into prior to that date those dates or the departments authority to sell electricity. electrical capacity or output of energy storage services from a long-duration energy storage system.SEC. 13. The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.SEC. 14. In regards to Section 2 of this act, the Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances regarding the pumped hydroelectric energy storage facility in the vicinity of the San Vicente Reservoir in the County of San Diego.SEC. 15. 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 65040.31 is added to the Government Code, immediately following Section 65040.3, to read:65040.31.(a)In connection with its responsibilities under subdivision (l) of Section 65040, the Office of Planning and Research shall develop and adopt guidelines for a city or county to implement policies and practices that represent best practices to support small businesses within their jurisdictions. The guidelines shall include recommendations, as the office determines appropriate, for those policies and practices to be included within mandatory elements required in general plans, specific plans, and other land use planning documents of a city or county.(b)The office may request from each state department and agency, including, but not limited to, the Governors Office of Business and Economic Development, technical assistance in readopting, amending, or repealing the guidelines. The department or agency shall provide technical assistance if so requested.(c)The guidelines shall be advisory to each city or county in order to provide assistance in preparing and maintaining their respective general plans, specific plans, and other land use planning documents.(d)The guidelines shall address the needs of small commercial businesses, including microbusinesses.(e)(1)The guidelines shall include recommendations for best practices to allow for collaborative land use planning adjacent to residential, mixed-use, and industrial facilities.(2)The guidelines shall encourage enhanced land use compatibility between transportation, workforce training, and other areas of commercial development within the region through the examination of potential impacts upon one another.(f)The guidelines shall be adopted through a collaborative process with other public and private organizations that serve the needs of small business, economic development, and neighborhood revitalization.(g)The office shall publish the guidelines by January 1, 2021, and shall thereafter regularly review and revise those guidelines in accordance with the requirements of this section.
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3- Amended IN Senate July 27, 2020 Amended IN Senate June 29, 2020 Amended IN Assembly March 25, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 1720Introduced by Assembly Member CarrilloFebruary 22, 2019An act to amend and repeal Section 21168.6.20 of the Public Resources Code, to add Sections 2837.5 2837.5, 2837.6, and 2837.7 to the Public Utilities Code, and to amend Sections 80010, 80200, and 80260 of, to add Sections 80001, 80002.6, 80013, and 80201 to, and to add Article 2 (commencing with Section 80125) to Chapter 2 of Division 27 of, the Water Code, relating to energy, and to make an appropriation therefor.LEGISLATIVE COUNSEL'S DIGESTAB 1720, as amended, Carrillo. Energy: long-duration energy storage: environmental review and procurement.The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment. CEQA establishes a procedure by which a person may seek judicial review of the decision of the lead agency made pursuant to CEQA.This bill would establish specified procedures for the administrative and judicial review of the environmental review and approvals granted for a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day. The bill would apply certain rules of court establishing procedures requiring actions or proceedings seeking judicial review pursuant to CEQA or the granting of project approvals, including any appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court to an action or proceeding seeking judicial review of the lead agencys action related to the project. The bill would, except as provided, prohibit the San Diego County Water Authority from prequalifying or shortlisting or awarding a contract to perform any portion of the project. The bill would repeal these provisions on January 1, 2026. Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law requires the PUC to open a proceeding to determine appropriate targets, if any, for each load-serving entity, as defined, to procure viable and cost-effective energy storage systems to be achieved by December 31, 2015, and December 31, 2020. If determined to be appropriate, the PUC is required to adopt the procurement targets, targets by October 1, 2013, and to reevaluate the determinations not less than once every 3 years. Pursuant to these provisions, the PUC has adopted decisions establishing energy storage system procurement targets. Existing law requires each load-serving entity, by January 1, 2016, and again by January 1, 2021, to submit a report to the PUC demonstrating that it has complied with the energy storage system procurement targets and policies adopted by the PUC. Existing law requires the PUC to adopt a process for each load-serving entity to file an integrated resource plan and a schedule for periodic updates to the plan to ensure that load-serving entities accomplish specified objectives. Existing law requires each load-serving entity to prepare and file an integrated resource plan consistent with those objectives on a time schedule directed by the PUC and subject to PUC review. Pursuant to these authorities, the PUC has adopted a decision establishing 2 thresholds for the emissions of greenhouse gases, to meet by 2030, as the target ranges for the electric sector as part of the PUCs 201920 integrated resource planning process. That decision also establishes the amount of long-duration energy storage, and the in-service date of the storage, that are required to be included in the load-serving entitys integrated resource plans.This bill would require the PUC, by January 4, 2021, to report to the Governor, the Independent System Operator, the Department of Water Resources, and the State Energy Resources Conservation and Development Commission (Energy Commission) on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities. The bill would require the PUC, in the report, to state whether it will issue an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of long-duration energy storage capacity identified in the commissions decision referenced above for a specific threshold of emissions of greenhouse gases. The bill would require the Department of Water Resources, if the PUC does not issue that order, to procure that amount of long-duration energy storage capacity, as specified, and would specify that the long-duration energy storage capacity is procured on behalf and for the benefit of the customers of the load-serving entities. The bill would provide that the costs incurred by the department resulting from the procurement are recoverable as a revenue requirement from those customers. The bill would require the PUC, upon request by the Department of Water Resources, to order electrical corporations to act as the agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporations for their services, and to adequately secure payment to the department. The bill would establish the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund as a repository for moneys recovered from the customers of load-serving entities. The bill would, except as provided, would continuously appropriate moneys in the account to the department for purposes of the procurement, thereby making an appropriation.This bill would require the PUC and the Energy Commission to timely incorporate consideration of long-duration energy storage systems, as defined, into their energy and resource planning. The bill would require the PUC and the Energy Commission to consider measures to advance described objectives for long-duration energy storage, including support through research and development, demonstration, procurement, and incentives. Under existing law, a violation of an order, decision, rule, direction, demand, or requirement of the commission is a crime.Because a violation of an order or decision of the commission implementing the requirements of the bill would be a crime, this bill would impose a state-mandated local program by creating a new crime. The bill would prohibit the San Diego County Water Authority from prequalifying or shortlisting or awarding a contract to perform any portion of a long-duration energy storage project, except as provided.This bill would make legislative findings and declarations as to the necessity of a special statute for the County of San Diego.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.Digest Key Vote: MAJORITY Appropriation: YES Fiscal Committee: YES Local Program: YES
3+ Amended IN Senate June 29, 2020 Amended IN Assembly March 25, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 1720Introduced by Assembly Member CarrilloFebruary 22, 2019An act to add Section 65040.31 to the Government Code, relating to land use. An act to amend and repeal Section 21168.6.20 of the Public Resources Code, to add Sections 2837.5 and 2837.7 to the Public Utilities Code, and to amend Sections 80010, 80200, and 80260 of, to add Sections 80001, 80002.6, 80013, and 80201 to, and to add Article 2 (commencing with Section 80125) to Chapter 2 of Division 27 of, the Water Code, relating to energy, and to make an appropriation therefor.LEGISLATIVE COUNSEL'S DIGESTAB 1720, as amended, Carrillo. Office of Planning and Research: land use guidelines. Energy: long-duration energy storage: environmental review and procurement.The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment. CEQA establishes a procedure by which a person may seek judicial review of the decision of the lead agency made pursuant to CEQA.This bill would establish specified procedures for the administrative and judicial review of the environmental review and approvals granted for a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day. The bill would apply certain rules of court establishing procedures requiring actions or proceedings seeking judicial review pursuant to CEQA or the granting of project approvals, including any appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court to an action or proceeding seeking judicial review of the lead agencys action related to the project. The bill would, except as provided, prohibit the San Diego County Water Authority from prequalifying or shortlisting or awarding a contract to perform any portion of the project. The bill would repeal these provisions on January 1, 2026. Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law requires the PUC to open a proceeding to determine appropriate targets, if any, for each load-serving entity, as defined, to procure viable and cost-effective energy storage systems to be achieved by December 31, 2015, and December 31, 2020. If determined to be appropriate, the PUC is required to adopt the procurement targets, by October 1, 2013, and to reevaluate the determinations not less than once every 3 years. Pursuant to these provisions, the PUC has adopted decisions establishing energy storage system procurement targets. Existing law requires each load-serving entity, by January 1, 2016, and again by January 1, 2021, to submit a report to the PUC demonstrating that it has complied with the energy storage system procurement targets and policies adopted by the PUC. Existing law requires the PUC to adopt a process for each load-serving entity to file an integrated resource plan and a schedule for periodic updates to the plan to ensure that load-serving entities accomplish specified objectives. Existing law requires each load-serving entity to prepare and file an integrated resource plan consistent with those objectives on a time schedule directed by the PUC and subject to PUC review. Pursuant to these authorities, the PUC has adopted a decision establishing 2 thresholds for the emissions of greenhouse gases, to meet by 2030, as the target ranges for the electric sector as part of the PUCs 201920 integrated resource planning process. That decision also establishes the amount of long-duration energy storage, and the in-service date of the storage, that are required to be included in the load-serving entitys integrated resource plans.This bill would require the PUC, by January 4, 2021, to report to the Governor, the Independent System Operator, the Department of Water Resources, and the State Energy Resources Conservation and Development Commission (Energy Commission) on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities. The bill would require the PUC, in the report, to state whether it will issue an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of long-duration energy storage capacity identified in the commissions decision referenced above for a specific threshold of emissions of greenhouse gases. The bill would require the Department of Water Resources, if the PUC does not issue that order, to procure that amount of long-duration energy storage capacity, as specified, and would specify that the long-duration energy storage capacity is procured on behalf and for the benefit of the customers of the load-serving entities. The bill would provide that the costs incurred by the department resulting from the procurement are recoverable as a revenue requirement from those customers. The bill would require the PUC, upon request by the Department of Water Resources, to order electrical corporations to act as the agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporations for their services, and to adequately secure payment to the department. The bill would establish the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund as a repository for moneys recovered from the customers of load-serving entities. The bill would, except as provided, continuously appropriate moneys in the account to the department for purposes of the procurement, thereby making an appropriation.This bill would require the PUC and the Energy Commission to timely incorporate consideration of long-duration energy storage systems, as defined, into their energy and resource planning. The bill would require the PUC and the Energy Commission to consider measures to advance described objectives for long-duration energy storage, including support through research and development, demonstration, procurement, and incentives. Under existing law, a violation of an order, decision, rule, direction, demand, or requirement of the commission is a crime.Because a violation of an order or decision of the commission implementing the requirements of the bill would be a crime, this bill would impose a state-mandated local program by creating a new crime.This bill would make legislative findings and declarations as to the necessity of a special statute for the County of San Diego.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.Existing law requires the Office of Planning and Research to implement various long-range planning and research policies and goals that are intended to, among other things, encourage the formation and proper functioning of local entities and, in connection with those responsibilities, to adopt guidelines for the preparation and content of the mandatory elements required in city and county general plans.This bill would require the Office of Planning and Research by January 1, 2021, to develop and adopt guidelines for a city or county to implement policies and practices that represent best practices to support small businesses within their jurisdictions. The bill would require those guidelines to include, among other things, recommendations for policies and practices to be included within mandatory elements required in general plans, specific plans, and other land use planning documents of a city or county.Digest Key Vote: MAJORITY Appropriation: NOYES Fiscal Committee: YES Local Program: NOYES
44
5- Amended IN Senate July 27, 2020 Amended IN Senate June 29, 2020 Amended IN Assembly March 25, 2019
5+ Amended IN Senate June 29, 2020 Amended IN Assembly March 25, 2019
66
7-Amended IN Senate July 27, 2020
87 Amended IN Senate June 29, 2020
98 Amended IN Assembly March 25, 2019
109
1110 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION
1211
1312 Assembly Bill
1413
1514 No. 1720
1615
1716 Introduced by Assembly Member CarrilloFebruary 22, 2019
1817
1918 Introduced by Assembly Member Carrillo
2019 February 22, 2019
2120
22-An act to amend and repeal Section 21168.6.20 of the Public Resources Code, to add Sections 2837.5 2837.5, 2837.6, and 2837.7 to the Public Utilities Code, and to amend Sections 80010, 80200, and 80260 of, to add Sections 80001, 80002.6, 80013, and 80201 to, and to add Article 2 (commencing with Section 80125) to Chapter 2 of Division 27 of, the Water Code, relating to energy, and to make an appropriation therefor.
21+An act to add Section 65040.31 to the Government Code, relating to land use. An act to amend and repeal Section 21168.6.20 of the Public Resources Code, to add Sections 2837.5 and 2837.7 to the Public Utilities Code, and to amend Sections 80010, 80200, and 80260 of, to add Sections 80001, 80002.6, 80013, and 80201 to, and to add Article 2 (commencing with Section 80125) to Chapter 2 of Division 27 of, the Water Code, relating to energy, and to make an appropriation therefor.
2322
2423 LEGISLATIVE COUNSEL'S DIGEST
2524
2625 ## LEGISLATIVE COUNSEL'S DIGEST
2726
28-AB 1720, as amended, Carrillo. Energy: long-duration energy storage: environmental review and procurement.
27+AB 1720, as amended, Carrillo. Office of Planning and Research: land use guidelines. Energy: long-duration energy storage: environmental review and procurement.
2928
30-The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment. CEQA establishes a procedure by which a person may seek judicial review of the decision of the lead agency made pursuant to CEQA.This bill would establish specified procedures for the administrative and judicial review of the environmental review and approvals granted for a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day. The bill would apply certain rules of court establishing procedures requiring actions or proceedings seeking judicial review pursuant to CEQA or the granting of project approvals, including any appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court to an action or proceeding seeking judicial review of the lead agencys action related to the project. The bill would, except as provided, prohibit the San Diego County Water Authority from prequalifying or shortlisting or awarding a contract to perform any portion of the project. The bill would repeal these provisions on January 1, 2026. Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law requires the PUC to open a proceeding to determine appropriate targets, if any, for each load-serving entity, as defined, to procure viable and cost-effective energy storage systems to be achieved by December 31, 2015, and December 31, 2020. If determined to be appropriate, the PUC is required to adopt the procurement targets, targets by October 1, 2013, and to reevaluate the determinations not less than once every 3 years. Pursuant to these provisions, the PUC has adopted decisions establishing energy storage system procurement targets. Existing law requires each load-serving entity, by January 1, 2016, and again by January 1, 2021, to submit a report to the PUC demonstrating that it has complied with the energy storage system procurement targets and policies adopted by the PUC. Existing law requires the PUC to adopt a process for each load-serving entity to file an integrated resource plan and a schedule for periodic updates to the plan to ensure that load-serving entities accomplish specified objectives. Existing law requires each load-serving entity to prepare and file an integrated resource plan consistent with those objectives on a time schedule directed by the PUC and subject to PUC review. Pursuant to these authorities, the PUC has adopted a decision establishing 2 thresholds for the emissions of greenhouse gases, to meet by 2030, as the target ranges for the electric sector as part of the PUCs 201920 integrated resource planning process. That decision also establishes the amount of long-duration energy storage, and the in-service date of the storage, that are required to be included in the load-serving entitys integrated resource plans.This bill would require the PUC, by January 4, 2021, to report to the Governor, the Independent System Operator, the Department of Water Resources, and the State Energy Resources Conservation and Development Commission (Energy Commission) on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities. The bill would require the PUC, in the report, to state whether it will issue an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of long-duration energy storage capacity identified in the commissions decision referenced above for a specific threshold of emissions of greenhouse gases. The bill would require the Department of Water Resources, if the PUC does not issue that order, to procure that amount of long-duration energy storage capacity, as specified, and would specify that the long-duration energy storage capacity is procured on behalf and for the benefit of the customers of the load-serving entities. The bill would provide that the costs incurred by the department resulting from the procurement are recoverable as a revenue requirement from those customers. The bill would require the PUC, upon request by the Department of Water Resources, to order electrical corporations to act as the agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporations for their services, and to adequately secure payment to the department. The bill would establish the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund as a repository for moneys recovered from the customers of load-serving entities. The bill would, except as provided, would continuously appropriate moneys in the account to the department for purposes of the procurement, thereby making an appropriation.This bill would require the PUC and the Energy Commission to timely incorporate consideration of long-duration energy storage systems, as defined, into their energy and resource planning. The bill would require the PUC and the Energy Commission to consider measures to advance described objectives for long-duration energy storage, including support through research and development, demonstration, procurement, and incentives. Under existing law, a violation of an order, decision, rule, direction, demand, or requirement of the commission is a crime.Because a violation of an order or decision of the commission implementing the requirements of the bill would be a crime, this bill would impose a state-mandated local program by creating a new crime. The bill would prohibit the San Diego County Water Authority from prequalifying or shortlisting or awarding a contract to perform any portion of a long-duration energy storage project, except as provided.This bill would make legislative findings and declarations as to the necessity of a special statute for the County of San Diego.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.
29+The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment. CEQA establishes a procedure by which a person may seek judicial review of the decision of the lead agency made pursuant to CEQA.This bill would establish specified procedures for the administrative and judicial review of the environmental review and approvals granted for a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day. The bill would apply certain rules of court establishing procedures requiring actions or proceedings seeking judicial review pursuant to CEQA or the granting of project approvals, including any appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court to an action or proceeding seeking judicial review of the lead agencys action related to the project. The bill would, except as provided, prohibit the San Diego County Water Authority from prequalifying or shortlisting or awarding a contract to perform any portion of the project. The bill would repeal these provisions on January 1, 2026. Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law requires the PUC to open a proceeding to determine appropriate targets, if any, for each load-serving entity, as defined, to procure viable and cost-effective energy storage systems to be achieved by December 31, 2015, and December 31, 2020. If determined to be appropriate, the PUC is required to adopt the procurement targets, by October 1, 2013, and to reevaluate the determinations not less than once every 3 years. Pursuant to these provisions, the PUC has adopted decisions establishing energy storage system procurement targets. Existing law requires each load-serving entity, by January 1, 2016, and again by January 1, 2021, to submit a report to the PUC demonstrating that it has complied with the energy storage system procurement targets and policies adopted by the PUC. Existing law requires the PUC to adopt a process for each load-serving entity to file an integrated resource plan and a schedule for periodic updates to the plan to ensure that load-serving entities accomplish specified objectives. Existing law requires each load-serving entity to prepare and file an integrated resource plan consistent with those objectives on a time schedule directed by the PUC and subject to PUC review. Pursuant to these authorities, the PUC has adopted a decision establishing 2 thresholds for the emissions of greenhouse gases, to meet by 2030, as the target ranges for the electric sector as part of the PUCs 201920 integrated resource planning process. That decision also establishes the amount of long-duration energy storage, and the in-service date of the storage, that are required to be included in the load-serving entitys integrated resource plans.This bill would require the PUC, by January 4, 2021, to report to the Governor, the Independent System Operator, the Department of Water Resources, and the State Energy Resources Conservation and Development Commission (Energy Commission) on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities. The bill would require the PUC, in the report, to state whether it will issue an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of long-duration energy storage capacity identified in the commissions decision referenced above for a specific threshold of emissions of greenhouse gases. The bill would require the Department of Water Resources, if the PUC does not issue that order, to procure that amount of long-duration energy storage capacity, as specified, and would specify that the long-duration energy storage capacity is procured on behalf and for the benefit of the customers of the load-serving entities. The bill would provide that the costs incurred by the department resulting from the procurement are recoverable as a revenue requirement from those customers. The bill would require the PUC, upon request by the Department of Water Resources, to order electrical corporations to act as the agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporations for their services, and to adequately secure payment to the department. The bill would establish the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund as a repository for moneys recovered from the customers of load-serving entities. The bill would, except as provided, continuously appropriate moneys in the account to the department for purposes of the procurement, thereby making an appropriation.This bill would require the PUC and the Energy Commission to timely incorporate consideration of long-duration energy storage systems, as defined, into their energy and resource planning. The bill would require the PUC and the Energy Commission to consider measures to advance described objectives for long-duration energy storage, including support through research and development, demonstration, procurement, and incentives. Under existing law, a violation of an order, decision, rule, direction, demand, or requirement of the commission is a crime.Because a violation of an order or decision of the commission implementing the requirements of the bill would be a crime, this bill would impose a state-mandated local program by creating a new crime.This bill would make legislative findings and declarations as to the necessity of a special statute for the County of San Diego.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.Existing law requires the Office of Planning and Research to implement various long-range planning and research policies and goals that are intended to, among other things, encourage the formation and proper functioning of local entities and, in connection with those responsibilities, to adopt guidelines for the preparation and content of the mandatory elements required in city and county general plans.This bill would require the Office of Planning and Research by January 1, 2021, to develop and adopt guidelines for a city or county to implement policies and practices that represent best practices to support small businesses within their jurisdictions. The bill would require those guidelines to include, among other things, recommendations for policies and practices to be included within mandatory elements required in general plans, specific plans, and other land use planning documents of a city or county.
3130
3231 The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of an environmental impact report on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment. CEQA establishes a procedure by which a person may seek judicial review of the decision of the lead agency made pursuant to CEQA.
3332
34-
35-
3633 This bill would establish specified procedures for the administrative and judicial review of the environmental review and approvals granted for a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day. The bill would apply certain rules of court establishing procedures requiring actions or proceedings seeking judicial review pursuant to CEQA or the granting of project approvals, including any appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court to an action or proceeding seeking judicial review of the lead agencys action related to the project. The bill would, except as provided, prohibit the San Diego County Water Authority from prequalifying or shortlisting or awarding a contract to perform any portion of the project. The bill would repeal these provisions on January 1, 2026.
3734
38-
39-
40-Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law requires the PUC to open a proceeding to determine appropriate targets, if any, for each load-serving entity, as defined, to procure viable and cost-effective energy storage systems to be achieved by December 31, 2015, and December 31, 2020. If determined to be appropriate, the PUC is required to adopt the procurement targets, targets by October 1, 2013, and to reevaluate the determinations not less than once every 3 years. Pursuant to these provisions, the PUC has adopted decisions establishing energy storage system procurement targets. Existing law requires each load-serving entity, by January 1, 2016, and again by January 1, 2021, to submit a report to the PUC demonstrating that it has complied with the energy storage system procurement targets and policies adopted by the PUC.
35+Under existing law, the Public Utilities Commission (PUC) has regulatory authority over public utilities, including electrical corporations. Existing law requires the PUC to open a proceeding to determine appropriate targets, if any, for each load-serving entity, as defined, to procure viable and cost-effective energy storage systems to be achieved by December 31, 2015, and December 31, 2020. If determined to be appropriate, the PUC is required to adopt the procurement targets, by October 1, 2013, and to reevaluate the determinations not less than once every 3 years. Pursuant to these provisions, the PUC has adopted decisions establishing energy storage system procurement targets. Existing law requires each load-serving entity, by January 1, 2016, and again by January 1, 2021, to submit a report to the PUC demonstrating that it has complied with the energy storage system procurement targets and policies adopted by the PUC.
4136
4237 Existing law requires the PUC to adopt a process for each load-serving entity to file an integrated resource plan and a schedule for periodic updates to the plan to ensure that load-serving entities accomplish specified objectives. Existing law requires each load-serving entity to prepare and file an integrated resource plan consistent with those objectives on a time schedule directed by the PUC and subject to PUC review.
4338
4439 Pursuant to these authorities, the PUC has adopted a decision establishing 2 thresholds for the emissions of greenhouse gases, to meet by 2030, as the target ranges for the electric sector as part of the PUCs 201920 integrated resource planning process. That decision also establishes the amount of long-duration energy storage, and the in-service date of the storage, that are required to be included in the load-serving entitys integrated resource plans.
4540
46-This bill would require the PUC, by January 4, 2021, to report to the Governor, the Independent System Operator, the Department of Water Resources, and the State Energy Resources Conservation and Development Commission (Energy Commission) on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities. The bill would require the PUC, in the report, to state whether it will issue an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of long-duration energy storage capacity identified in the commissions decision referenced above for a specific threshold of emissions of greenhouse gases. The bill would require the Department of Water Resources, if the PUC does not issue that order, to procure that amount of long-duration energy storage capacity, as specified, and would specify that the long-duration energy storage capacity is procured on behalf and for the benefit of the customers of the load-serving entities. The bill would provide that the costs incurred by the department resulting from the procurement are recoverable as a revenue requirement from those customers. The bill would require the PUC, upon request by the Department of Water Resources, to order electrical corporations to act as the agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporations for their services, and to adequately secure payment to the department. The bill would establish the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund as a repository for moneys recovered from the customers of load-serving entities. The bill would, except as provided, would continuously appropriate moneys in the account to the department for purposes of the procurement, thereby making an appropriation.
41+This bill would require the PUC, by January 4, 2021, to report to the Governor, the Independent System Operator, the Department of Water Resources, and the State Energy Resources Conservation and Development Commission (Energy Commission) on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities. The bill would require the PUC, in the report, to state whether it will issue an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of long-duration energy storage capacity identified in the commissions decision referenced above for a specific threshold of emissions of greenhouse gases. The bill would require the Department of Water Resources, if the PUC does not issue that order, to procure that amount of long-duration energy storage capacity, as specified, and would specify that the long-duration energy storage capacity is procured on behalf and for the benefit of the customers of the load-serving entities. The bill would provide that the costs incurred by the department resulting from the procurement are recoverable as a revenue requirement from those customers. The bill would require the PUC, upon request by the Department of Water Resources, to order electrical corporations to act as the agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporations for their services, and to adequately secure payment to the department. The bill would establish the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund as a repository for moneys recovered from the customers of load-serving entities. The bill would, except as provided, continuously appropriate moneys in the account to the department for purposes of the procurement, thereby making an appropriation.
4742
4843 This bill would require the PUC and the Energy Commission to timely incorporate consideration of long-duration energy storage systems, as defined, into their energy and resource planning. The bill would require the PUC and the Energy Commission to consider measures to advance described objectives for long-duration energy storage, including support through research and development, demonstration, procurement, and incentives.
4944
5045 Under existing law, a violation of an order, decision, rule, direction, demand, or requirement of the commission is a crime.
5146
5247 Because a violation of an order or decision of the commission implementing the requirements of the bill would be a crime, this bill would impose a state-mandated local program by creating a new crime.
5348
54- The bill would prohibit the San Diego County Water Authority from prequalifying or shortlisting or awarding a contract to perform any portion of a long-duration energy storage project, except as provided.
55-
5649 This bill would make legislative findings and declarations as to the necessity of a special statute for the County of San Diego.
5750
5851 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.
5952
6053 This bill would provide that no reimbursement is required by this act for a specified reason.
6154
55+Existing law requires the Office of Planning and Research to implement various long-range planning and research policies and goals that are intended to, among other things, encourage the formation and proper functioning of local entities and, in connection with those responsibilities, to adopt guidelines for the preparation and content of the mandatory elements required in city and county general plans.
56+
57+
58+
59+This bill would require the Office of Planning and Research by January 1, 2021, to develop and adopt guidelines for a city or county to implement policies and practices that represent best practices to support small businesses within their jurisdictions. The bill would require those guidelines to include, among other things, recommendations for policies and practices to be included within mandatory elements required in general plans, specific plans, and other land use planning documents of a city or county.
60+
61+
62+
6263 ## Digest Key
6364
6465 ## Bill Text
6566
66-The people of the State of California do enact as follows:SECTION 1. In regards to Sections 3 to 12, inclusive, of this act, the The Legislature finds and declares all of the following:(a) California must urgently respond to the economic adversity created by the coronavirus without abandoning the states leadership in combating the threats posed by climate change. Climate change imperils human health and economic prosperity by threatening more frequent droughts, devastating wildfires, intense storms, and extreme heat. This legislation acts on an identified need for clean energy investment and urgently addresses two immediate threats to California, high unemployment and the perils of climate change.(b) The purpose of this act is to directly invest in clean energy infrastructure, to create good paying jobs, with benefits and pensions, and accelerate Californias investment in technologies to reduce emissions of greenhouse gases. This act will create both multiyear construction jobs as well as long-term employment and tax revenues fostering economic recovery of communities without reliance on California state budget revenues.(c) California remains heavily reliant on the burning of natural gas for the generation of electricity, large hydroelectric generation, and imported electricity to meet customer demand and balance the variable production of generation by eligible renewable energy resources. Changes to the generation portfolio outside of California, including aging coal-fired powerplant retirements and more west wide renewable energy development, render future reliance on those resources ill advised.(d) The states clean energy targets create a need for low-carbon, grid support resources to integrate generation from eligible renewable energy resources to meet customer demand. Investment in energy storage is needed to support reliable grid operations, meet customer demand during periods when variable wind and solar resources are not generating electricity, and efficiently capture, rather than curtail, renewable generation during periods of over-generation when variable wind and solar resources exceed customer demand.(e) Multiple energy storage technologies hold promise to help maintain reliability while also cost-effectively integrating increasing amounts of eligible renewable energy resources to achieve the states 2030 and 2045 renewable and zero-carbon electricity goals. They include, but are not limited to, electrochemical, compressed air, liquified liquefied air, pumped hydroelectric, flow batteries, electrolytic and renewable hydrogen, and several other chemical, mechanical, gravity-based, and thermal energy storage technologies.(f) In Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning, the Public Utilities Commission has adopted a range of 46,000,000 to 38,000,000 metric tons of greenhouse gas emissions by 2030 as the target range for the electric sector as part of its 201920 integrated resource planning process. Modeling conducted by the commission as part of its 201920 integrated resource planning process indicates that over 16 gigawatts of energy storage, both short and long duration, will be needed to cost-effectively maintain reliability under the 38,000,000 metric tons target. Much of that amount, including long-duration energy storage, is needed by 2026.(g) The need for substantial amounts of zero greenhouse gas emission capacity is immediate and pressing, as evidenced by the Public Utilities Commissions Decision 19-11-016 (November 7, 2019) Decision Requiring Electric System Reliability Procurement for 20212023, finding an urgent need for, and ordering the immediate procurement of, 3,300 megawatts of resource adequacy capacity to be in service starting on August 1, 2021. The commission took this action as well as proposing to extend the operational life of once-through cooling natural gas powerplants to avoid electrical system resource adequacy shortages beginning as soon as 2021.(h) The State Energy Resources Conservation and Development Commission has identified a number of barriers to long-duration energy storage systems and certain other zero-carbon resources, including, for some technologies, long development timelines and uncertainty surrounding cost recovery and allocation.(i) The Public Utilities Commission is the lead agency to direct procurement of long-duration energy storage. However, in Decision 19-04-040, 19-04-040 (April 25, 2019) Decision Adopting Preferred System Portfolio and Plan for 20172018 Integrated Resource Plan Cycle, the commission recognized the challenges to long-duration energy storage procurement and in the summer of 2020 will commence, in a procurement track in the current resource planning cycle, to assess how to address these challenges. In September 2020, all load-serving entities are required to submit to the commission their integrated resource plans so that by the end of 2020 the commission will know whether the load-serving entities have plans to procure long-duration energy storage and, if so, by when, how much much, and what types.(j) It is in the interest of the state that there be an approved alternative procurement path in the event the load-serving entities do not include sufficient long-duration energy storage in their integrated resource plans or the Public Utilities Commission cannot successfully require the procurement of the amount needed to ensure the state meets its statutory climate and reliability goals. This act is intended to provide the additional tools necessary to enable the timely development and deployment of long-duration energy storage in the years leading up to 2030.SEC. 2.Section 21168.6.20 is added to the Public Resources Code, to read:21168.6.20.(a)For purposes of this section, the following definitions apply:(1)Project means a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day.(2)Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(3)Skilled and trained workforce has the same meaning as provided in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the Public Contract Code.(b)(1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the project unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2)Paragraph (1) does not apply if any of the following requirements are met:(A)The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B)The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C)The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.(c)Rules 3.2220 to 3.2237, inclusive, of the California Rules of Court, as may be amended by the Judicial Council, shall apply to any action or proceeding brought to attack, review, set aside, void, or annul the certification or adoption of any environmental impact report for the project or the granting of any project approvals, to require the action or proceeding, including any potential appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court. On or before September 1, 2021, the Judicial Council shall amend the California Rules of Court, as necessary, to implement this subdivision.(d)(1) The draft and final environmental impact report shall include a notice in not less than 12-point type stating the following:THIS ENVIRONMENTAL IMPACT REPORT IS SUBJECT TO SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE, WHICH PROVIDES, AMONG OTHER THINGS, THAT THE LEAD AGENCY NEED NOT CONSIDER CERTAIN COMMENTS FILED AFTER THE CLOSE OF THE PUBLIC COMMENT PERIOD, IF ANY, FOR THE DRAFT ENVIRONMENTAL IMPACT REPORT. ANY JUDICIAL ACTION CHALLENGING THE CERTIFICATION OR ADOPTION OF THE ENVIRONMENTAL IMPACT REPORT OR THE APPROVAL OF THE PROJECT DESCRIBED IN SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS SUBJECT TO THE PROCEDURES SET FORTH IN THAT SECTION. A COPY OF SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS INCLUDED IN THE APPENDIX TO THIS ENVIRONMENTAL IMPACT REPORT.(2)The draft environmental impact report and final environmental impact report shall contain, as an appendix, the full text of this section.(3)Within 10 days after the release of the draft environmental impact report, the lead agency shall conduct an informational workshop to inform the public of the key analyses and conclusions of that document.(4)Within 10 days before the close of the public comment period, the lead agency shall hold a public hearing to receive testimony on the draft environmental impact report. A transcript of the hearing shall be included as an appendix to the final environmental impact report.(5)(A) Within five days following the close of the public comment period, a commenter on the draft environmental impact report may submit to the lead agency a written request for nonbinding mediation. The lead agency shall participate in nonbinding mediation with all commenters who submitted timely comments on the draft environmental impact report and who requested the mediation. Mediation conducted pursuant to this paragraph shall end no later than 35 days after the close of the public comment period.(B)A request for mediation shall identify all areas of dispute raised in the comment submitted by the commenter that are to be mediated.(C)The lead agency shall select one or more mediators who shall be retired judges or recognized experts with at least five years of experience in land use and environmental law or science, or mediation. The lead agency shall bear the costs of mediation.(D)A mediation session shall be conducted on each area of dispute with the parties requesting mediation on that area of dispute.(E)The lead agency shall adopt, as a condition of approval, any measures agreed upon by the lead agency and any commenter who requested mediation. A commenter who agrees to a measure pursuant to this subparagraph shall not raise the issue addressed by that measure as a basis for an action or proceeding challenging the lead agencys decision to certify or to adopt the environmental impact report or to grant project approval.(6)The lead agency need not consider written comments submitted after the close of the public comment period, unless those comments address any of the following:(A)New issues raised in the response to comments by the lead agency.(B)New information released by the lead agency subsequent to the release of the draft environmental impact report, such as new information set forth or embodied in a staff report, proposed permit, proposed resolution, ordinance, or similar documents.(C)Changes made to the project after the close of the public comment period.(D)Proposed conditions for approval, mitigation measures, or proposed findings required by Section 21081 or a proposed reporting or monitoring program required by paragraph (1) of subdivision (a) of Section 21081.6, if the lead agency releases those documents subsequent to the release of the draft environmental impact report.(E)New information that was not reasonably known and could not have been reasonably known during the public comment period.(7)The lead agency shall file the notice required by subdivision (a) of Section 21152 within five days after the last initial project approval.(e)(1) The lead agency shall prepare and certify the record of the proceedings in accordance with this subdivision and in accordance with Rule 3.1365 of the California Rules of Court.(2)No later than three business days following the date of the release of the draft environmental impact report, the lead agency shall make available to the public in a readily accessible electronic format the draft environmental impact report and all other documents submitted to or relied on by the lead agency in the preparation of the draft environmental impact report. A document prepared by the lead agency after the date of the release of the draft environmental impact report that is a part of the record of the proceedings shall be made available to the public in a readily accessible electronic format within five business days after the document is prepared by the lead agency.(3)Notwithstanding paragraph (2), documents submitted to or relied on by the lead agency that were not prepared specifically for the project and are copyright protected are not required to be made readily accessible in an electronic format. For those copyright-protected documents, the lead agency shall make an index of the documents available in an electronic format no later than the date of the release of the draft environmental impact report, or within five business days if the document is received or relied on by the lead agency after the release of the draft environmental impact report. The index shall specify the libraries or lead agency offices in which hardcopies of the copyrighted materials are available for public review.(4)The lead agency shall encourage written comments on the project to be submitted in a readily accessible electronic format, and shall make any such comments available to the public in a readily accessible electronic format within five days of their receipt.(5)Within seven business days after the receipt of any comment that is not in an electronic format, the lead agency shall convert that comment into a readily accessible electronic format and make it available to the public in that format.(6)The lead agency shall indicate in the record of proceedings comments received that were not considered by the lead agency pursuant to paragraph (6) of subdivision (d) and need not include the content of the comments as a part of the record of proceedings.(7)Within five days after the filing of the notice required by subdivision (a) of Section 21152, the lead agency shall certify the record of proceedings for the approval or determination and shall provide an electronic copy of the record of proceedings to a party that has submitted a written request for a copy. The lead agency may charge and collect a reasonable fee from a party requesting a copy of the record of proceedings for the electronic copy, which shall not exceed the reasonable cost of reproducing that copy.(8)Within 10 days after being served with a complaint or a petition for a writ of mandate, the lead agency shall lodge a copy of the certified record of proceedings with the superior court.(9)Any dispute over the content of the record of proceedings shall be resolved by the superior court. Unless the superior court directs otherwise, a party disputing the content of the record of proceedings shall file a motion to augment the record of proceedings at the time it files its initial brief.(10)The contents of the record of proceedings shall be as set forth in subdivision (e) of Section 21167.6.(f)This section shall remain in effect only until January 1, 2026, and as of that date is repealed. SEC. 3.SEC. 2. Section 2837.5 is added to the Public Utilities Code, to read:2837.5. (a) For purposes of this section, the following terms have the following meanings:(1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(2) Department means the Department of Water Resources.(3) Load-serving entity has the same meaning as that defined in Section 380. (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.(B) Long-duration energy storage system does not include either of the following:(i)An include an energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California. (ii)An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts of the following: (A) All contracts procuring long-duration energy storage shall be approved by the commission no later than March 1, 2022. The(B) The contracts shall require that the long-duration energy storage systems be operational and providing placed in service between January 1, 2026, and December 31, 2030.(C) The entire capacity of a long-duration energy storage project shall be procured by the load-serving entities subject to the procurement order.(c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).(d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:(1) The department shall consult with the commission and Independent System Operator before undertaking any procurement to ensure that the long-duration energy storage systems from which it procures capacity are consistent with Decision 20-03-028 and meet the needs of the electrical system.(1)(2) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, Section 80110 of the Water Code, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.(2)(3) The departments costs shall be recovered from all retail end-use customers of load-serving entities entities, as determined by the commission.(3)(4) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.(5) The departments authority to procure long-duration energy storage services is limited to achieving the 38,000,000-metric-ton electric sector target identified in Decision 20-03-028. No additional procurement by the department is authorized by this section.(e) Except as otherwise set forth in this section and in Section 80220 80125 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.SEC. 3. Section 2837.6 is added to the Public Utilities Code, to read:2837.6. (a) For purposes of this section, the following definitions apply:(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the development of a long-duration energy storage system, as defined in Section 2837.5, unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all construction work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if any of the following requirements are met:(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.SEC. 4. Section 2837.7 is added to the Public Utilities Code, to read:2837.7. (a) For purposes of this section, long-duration energy storage system has the same meaning as defined in Section 2837.5.(b) It is the intent of the Legislature that the state supports the development of a robust market for long-duration energy storage systems that will eventually be free of commercial barriers, including barriers to multiple technologies and technologies capable of providing storage over multiple days, to cost-effectively integrate increasing amounts of electricity from eligible renewable energy resources and meet the states renewable energy resource goals for 2030 and 2045 as described in subparagraph (B) of paragraph (2) of subdivision (b) of Section 399.15 and subdivision (a) of Section 454.53, while maintaining electrical system operational flexibility and electrical grid reliability. (c) The commission and the Energy Commission shall timely incorporate consideration of long-duration energy storage systems into their energy and resource planning. (d) The commission and the Energy Commission shall consider measures to advance the objective set forth in subdivision (b), including, but not limited to, support through research and development, demonstration, procurement, and incentives. Any measures adopted pursuant to this subdivision shall be in addition to any solicitation process authorized by Section 2837.5. (e) In order to support eligible renewable energy resource goals, to support operational flexibility and reliability, and to enhance resiliency on the local and distribution level, the commission, as part of the integrated resource planning process, shall do all of the following: (1) Evaluate and analyze the potential for long-duration energy storage systems to help integrate generation from eligible renewable energy resources into the electrical grid on a daily, multiday, and seasonal basis, including, but not limited to, consideration of the capacity contribution of long-duration energy storage systems as a function of duration. (2) Identify the role of long-duration energy storage systems to ensure grid reliability during multiday weather events that reduce output from eligible renewable energy resources. (3) Identify mechanisms to encourage eligible renewable energy resources to be increasingly firmed and dispatchable. (4) Develop a long-term assessment of the capacity contribution of combined eligible renewable energy resources and energy storage that considers the installed capacity of the generating and storage resources and storage duration. (5) Incorporate consideration of long-duration energy storage systems into the commissions preferred system plans. (f) This section does not prohibit the commission from evaluating or approving an application for funding or recovery of costs for any ongoing or new development, demonstration, or testing of a long-duration energy storage system outside of the process required by this chapter. SEC. 5. Section 80001 is added to the Water Code, to read:80001. The Legislature further finds and declares that the effort to reduce emissions of greenhouse gases is essential for the safety, health, and well-being of the people of California. A number of factors create significant challenges to the Public Utilities Commissions ability to meet the states need for large scale long-duration energy storage projects with multiple beneficiary system-side grid benefits in the timeframe identified by the Public Utilities Commissions modeling in the 20192020 integrated resource planning proceeding and warrant requiring the department to undertake this effort should the commission not do so.SEC. 6. Section 80002.6 is added to the Water Code, to read:80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, power, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output. power.SEC. 7. Section 80010 of the Water Code is amended to read:80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:(a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.(b) Commission means the Public Utilities Commission.(c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.(e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.(f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.(g) Local publicly owned electric utility has the same meaning as defined in Section 224.3 of the Public Utilities Code.(h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.(i) Power means electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.(j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.SEC. 8. Section 80013 is added to the Water Code, to read:80013. The department shall do those things necessary and authorized pursuant to Article 2 (commencing with Section 80125) to enter into long-duration energy storage agreements for electrical capacity and output pursuant to Section 2837.5 of Public Utilities Code.SEC. 9. Article 2 (commencing with Section 80125) is added to Chapter 2 of Division 27 of the Water Code, to read: Article 2. Long-Duration Energy Storage80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:(a) The energy storage agreement requires the long-duration energy storage system to meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.(b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.(c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.(d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output power provided by the long-duration energy storage system.(f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.(g) Before commercial operation the developer shall provide periodic progress reports.(h) The entire capacity of each long-duration energy storage project shall be procured by the department pursuant to this procurement.80125.2. (a) For purposes of this article, costs incurred pursuant to an agreement to procure long-duration energy storage shall be just and reasonable if either of the following is true:(1) The long-duration energy storage agreement price is at or below the cost assumptions the commission used for long-duration energy storage in Decision 20-03-028.(2) The developer of the long-duration energy storage system is able to establish to the departments satisfaction that the costs in excess of the commissions cost assumptions described in paragraph (1) are justifiable in light of documented or projected costs and confirmed by an independent evaluator, provided, however, those costs shall not exceed the cost assumption benchmarks identified in paragraph (1) by more than 15 percent in aggregate.(b) The department shall have no obligation to execute an agreement for the procurement of long-duration energy storage services contract if the developer is found to have misrepresented its costs in any material respect or if the agreement would not satisfy subdivision (a).(c)The department shall not enter into a long-duration energy storage services contract under this section if the associated long-duration energy storage project is subject to review under Division 13 (commencing with Section 21000) of the Public Resources Code unless it finds that the project developer has agreed to acceptable mitigation measures to avoid significant impact on any tribal cultural resource, as defined in subdivision (a) or (b) of Section 21074 of Public Resources Code. The department shall not make this finding unless the California Native American Tribe, if any, that is culturally and traditionally affiliated with the geographic area in which the project is located concurs in this finding.80125.4. (a) A long-duration energy storage agreement made pursuant to this article may provide for assignment on any terms and conditions as the agreement may specify. The agreements shall allow assignment to a central procurement authority, if one is created, so long as the payment and security provisions are comparable to those provided in this article.(b) Any long-duration energy storage agreement shall contain any contractual terms and security provisions as are determined by the department to be necessary or appropriate and the department may enter into such arrangements as may be necessary or appropriate.(c)Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors to use a multicraft project labor agreement, as that term is defined paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code, for construction and contracted out maintenance of the long-duration energy storage system facility. The project labor agreements shall conform to the industry standard agreements recently used for private large thermal powerplant projects, including side letters for high-voltage transmission and related work.80125.5. (a) For purposes of this section, the following definitions apply:(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.(b) (1) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors and its subcontractors at every tier to use a skilled and trained workforce to perform all construction and contracted-out maintenance work on the project that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if the developer or its general contractor has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.80125.6. Upon the delivery of electrical capacity and output power pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output power from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output power to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate. The revenue requirements shall be recovered through a cost-of-service or similar rate that is not to be charged to end-use customers until the date of operation of a project delivering energy storage services pursuant to this article.(b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.(c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output power to the customers.80126.2. All money collected with respect to any electrical capacity or output power acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output power acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output power from or sell electrical output and capacity power to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output power purchased by the department pursuant to this article.80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. 2023. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.(b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.(c) Contract for the services of other public agencies.(d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.80127. For purposes of any agreements entered into pursuant to this article, the department shall not rely upon or otherwise use the authority provided in Article 1 (commencing with Sections 80100) or Chapter 2.5 (commencing with Sections 80130), with the exception of Section 80134, which shall apply to commitments made pursuant to this article.SEC. 10. Section 80200 of the Water Code is amended to read:80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).(b) Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:(1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.(2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.(3) Payment of any bonds or other contractual obligations authorized by this division.(4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.(c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.(d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.(e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.SEC. 11. Section 80201 is added to the Water Code, to read:80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), Code, all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.(b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act. payable solely from the Long-Duration Energy Storage Account.(d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.SEC. 12. Section 80260 of the Water Code is amended to read:80260. (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power.(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section Section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2. (c) This section does not affect the authority of the department to administer contracts entered into prior to those dates or the departments authority to sell electrical capacity or output of energy storage services from a long-duration energy storage system.SEC. 13. The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.SEC. 14. In regards to Section 2 3 of this act, the Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances regarding the pumped hydroelectric energy storage facility in the vicinity of the San Vicente Reservoir in the County of San Diego.SEC. 15. 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.
67+The people of the State of California do enact as follows:SECTION 1. In regards to Sections 3 to 12, inclusive, of this act, the Legislature finds and declares all of the following:(a) California must urgently respond to the economic adversity created by the coronavirus without abandoning the states leadership in combating the threats posed by climate change. Climate change imperils human health and economic prosperity by threatening more frequent droughts, devastating wildfires, intense storms, and extreme heat. This legislation acts on an identified need for clean energy investment and urgently addresses two immediate threats to California, high unemployment and the perils of climate change.(b) The purpose of this act is to directly invest in clean energy infrastructure, to create good paying jobs, with benefits and pensions, and accelerate Californias investment in technologies to reduce emissions of greenhouse gases. This act will create both multiyear construction jobs as well as long-term employment and tax revenues fostering economic recovery of communities without reliance on California state budget revenues.(c) California remains heavily reliant on the burning of natural gas for the generation of electricity, large hydroelectric generation, and imported electricity to meet customer demand and balance the variable production of generation by eligible renewable energy resources. Changes to the generation portfolio outside of California, including aging coal-fired powerplant retirements and more west wide renewable energy development, render future reliance on those resources ill advised.(d) The states clean energy targets create a need for low-carbon, grid support resources to integrate generation from eligible renewable energy resources to meet customer demand. Investment in energy storage is needed to support reliable grid operations, meet customer demand during periods when variable wind and solar resources are not generating electricity, and efficiently capture, rather than curtail, renewable generation during periods of over-generation when variable wind and solar resources exceed customer demand.(e) Multiple energy storage technologies hold promise to help maintain reliability while also cost-effectively integrating increasing amounts of eligible renewable energy resources to achieve the states 2030 and 2045 renewable and zero-carbon electricity goals. They include, but are not limited to, electrochemical, compressed air, liquified air, pumped hydroelectric, flow batteries, electrolytic and renewable hydrogen, and several other chemical, mechanical, gravity-based, and thermal energy storage technologies.(f) In Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning, the Public Utilities Commission has adopted a range of 46,000,000 to 38,000,000 metric tons of greenhouse gas emissions by 2030 as the target range for the electric sector as part of its 201920 integrated resource planning process. Modeling conducted by the commission as part of its 201920 integrated resource planning process indicates that over 16 gigawatts of energy storage, both short and long duration, will be needed to cost-effectively maintain reliability under the 38,000,000 metric tons target. Much of that amount, including long-duration energy storage, is needed by 2026.(g) The need for substantial amounts of zero greenhouse gas emission capacity is immediate and pressing, as evidenced by the Public Utilities Commissions Decision 19-11-016 (November 7, 2019) Decision Requiring Electric System Reliability Procurement for 20212023, finding an urgent need for, and ordering the immediate procurement of, 3,300 megawatts of resource adequacy capacity to be in service starting on August 1, 2021. The commission took this action as well as proposing to extend the operational life of once-through cooling natural gas powerplants to avoid electrical system resource adequacy shortages beginning as soon as 2021.(h) The State Energy Resources Conservation and Development Commission has identified a number of barriers to long-duration energy storage systems and certain other zero-carbon resources, including, for some technologies, long development timelines and uncertainty surrounding cost recovery and allocation.(i) The Public Utilities Commission is the lead agency to direct procurement of long-duration energy storage. However, in Decision 19-04-040, the commission recognized the challenges to long-duration energy storage procurement and in the summer of 2020 will commence, in a procurement track in the current resource planning cycle, to assess how to address these challenges. In September 2020, all load-serving entities are required to submit to the commission their integrated resource plans so that by the end of 2020 the commission will know whether the load-serving entities have plans to procure long-duration energy storage and, if so, by when, how much and what types.(j) It is in the interest of the state that there be an approved alternative procurement path in the event the load-serving entities do not include sufficient long-duration energy storage in their integrated resource plans or the Public Utilities Commission cannot successfully require the procurement of the amount needed to ensure the state meets its statutory climate and reliability goals. This act is intended to provide the additional tools necessary to enable the timely development and deployment of long-duration energy storage in the years leading up to 2030.SEC. 2. Section 21168.6.20 is added to the Public Resources Code, to read:21168.6.20. (a) For purposes of this section, the following definitions apply:(1) Project means a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day.(2) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(3) Skilled and trained workforce has the same meaning as provided in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the Public Contract Code.(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the project unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if any of the following requirements are met:(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.(c) Rules 3.2220 to 3.2237, inclusive, of the California Rules of Court, as may be amended by the Judicial Council, shall apply to any action or proceeding brought to attack, review, set aside, void, or annul the certification or adoption of any environmental impact report for the project or the granting of any project approvals, to require the action or proceeding, including any potential appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court. On or before September 1, 2021, the Judicial Council shall amend the California Rules of Court, as necessary, to implement this subdivision.(d) (1) The draft and final environmental impact report shall include a notice in not less than 12-point type stating the following:THIS ENVIRONMENTAL IMPACT REPORT IS SUBJECT TO SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE, WHICH PROVIDES, AMONG OTHER THINGS, THAT THE LEAD AGENCY NEED NOT CONSIDER CERTAIN COMMENTS FILED AFTER THE CLOSE OF THE PUBLIC COMMENT PERIOD, IF ANY, FOR THE DRAFT ENVIRONMENTAL IMPACT REPORT. ANY JUDICIAL ACTION CHALLENGING THE CERTIFICATION OR ADOPTION OF THE ENVIRONMENTAL IMPACT REPORT OR THE APPROVAL OF THE PROJECT DESCRIBED IN SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS SUBJECT TO THE PROCEDURES SET FORTH IN THAT SECTION. A COPY OF SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS INCLUDED IN THE APPENDIX TO THIS ENVIRONMENTAL IMPACT REPORT.(2) The draft environmental impact report and final environmental impact report shall contain, as an appendix, the full text of this section.(3) Within 10 days after the release of the draft environmental impact report, the lead agency shall conduct an informational workshop to inform the public of the key analyses and conclusions of that document.(4) Within 10 days before the close of the public comment period, the lead agency shall hold a public hearing to receive testimony on the draft environmental impact report. A transcript of the hearing shall be included as an appendix to the final environmental impact report.(5) (A) Within five days following the close of the public comment period, a commenter on the draft environmental impact report may submit to the lead agency a written request for nonbinding mediation. The lead agency shall participate in nonbinding mediation with all commenters who submitted timely comments on the draft environmental impact report and who requested the mediation. Mediation conducted pursuant to this paragraph shall end no later than 35 days after the close of the public comment period.(B) A request for mediation shall identify all areas of dispute raised in the comment submitted by the commenter that are to be mediated.(C) The lead agency shall select one or more mediators who shall be retired judges or recognized experts with at least five years of experience in land use and environmental law or science, or mediation. The lead agency shall bear the costs of mediation.(D) A mediation session shall be conducted on each area of dispute with the parties requesting mediation on that area of dispute.(E) The lead agency shall adopt, as a condition of approval, any measures agreed upon by the lead agency and any commenter who requested mediation. A commenter who agrees to a measure pursuant to this subparagraph shall not raise the issue addressed by that measure as a basis for an action or proceeding challenging the lead agencys decision to certify or to adopt the environmental impact report or to grant project approval.(6) The lead agency need not consider written comments submitted after the close of the public comment period, unless those comments address any of the following:(A) New issues raised in the response to comments by the lead agency.(B) New information released by the lead agency subsequent to the release of the draft environmental impact report, such as new information set forth or embodied in a staff report, proposed permit, proposed resolution, ordinance, or similar documents.(C) Changes made to the project after the close of the public comment period.(D) Proposed conditions for approval, mitigation measures, or proposed findings required by Section 21081 or a proposed reporting or monitoring program required by paragraph (1) of subdivision (a) of Section 21081.6, if the lead agency releases those documents subsequent to the release of the draft environmental impact report.(E) New information that was not reasonably known and could not have been reasonably known during the public comment period.(7) The lead agency shall file the notice required by subdivision (a) of Section 21152 within five days after the last initial project approval.(e) (1) The lead agency shall prepare and certify the record of the proceedings in accordance with this subdivision and in accordance with Rule 3.1365 of the California Rules of Court.(2) No later than three business days following the date of the release of the draft environmental impact report, the lead agency shall make available to the public in a readily accessible electronic format the draft environmental impact report and all other documents submitted to or relied on by the lead agency in the preparation of the draft environmental impact report. A document prepared by the lead agency after the date of the release of the draft environmental impact report that is a part of the record of the proceedings shall be made available to the public in a readily accessible electronic format within five business days after the document is prepared by the lead agency.(3) Notwithstanding paragraph (2), documents submitted to or relied on by the lead agency that were not prepared specifically for the project and are copyright protected are not required to be made readily accessible in an electronic format. For those copyright-protected documents, the lead agency shall make an index of the documents available in an electronic format no later than the date of the release of the draft environmental impact report, or within five business days if the document is received or relied on by the lead agency after the release of the draft environmental impact report. The index shall specify the libraries or lead agency offices in which hardcopies of the copyrighted materials are available for public review.(4) The lead agency shall encourage written comments on the project to be submitted in a readily accessible electronic format, and shall make any such comments available to the public in a readily accessible electronic format within five days of their receipt.(5) Within seven business days after the receipt of any comment that is not in an electronic format, the lead agency shall convert that comment into a readily accessible electronic format and make it available to the public in that format.(6) The lead agency shall indicate in the record of proceedings comments received that were not considered by the lead agency pursuant to paragraph (6) of subdivision (d) and need not include the content of the comments as a part of the record of proceedings.(7) Within five days after the filing of the notice required by subdivision (a) of Section 21152, the lead agency shall certify the record of proceedings for the approval or determination and shall provide an electronic copy of the record of proceedings to a party that has submitted a written request for a copy. The lead agency may charge and collect a reasonable fee from a party requesting a copy of the record of proceedings for the electronic copy, which shall not exceed the reasonable cost of reproducing that copy.(8) Within 10 days after being served with a complaint or a petition for a writ of mandate, the lead agency shall lodge a copy of the certified record of proceedings with the superior court.(9) Any dispute over the content of the record of proceedings shall be resolved by the superior court. Unless the superior court directs otherwise, a party disputing the content of the record of proceedings shall file a motion to augment the record of proceedings at the time it files its initial brief.(10) The contents of the record of proceedings shall be as set forth in subdivision (e) of Section 21167.6.(f) This section shall remain in effect only until January 1, 2026, and as of that date is repealed. SEC. 3. Section 2837.5 is added to the Public Utilities Code, to read:2837.5. (a) For purposes of this section, the following terms have the following meanings:(1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(2) Department means the Department of Water Resources.(3) Load-serving entity has the same meaning as that defined in Section 380. (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.(B) Long-duration energy storage system does not include either of the following:(i) An energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California. (ii) An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts procuring long-duration energy storage be approved by the commission no later than March 1, 2022. The contracts shall require that the long-duration energy storage systems be operational and providing service between January 1, 2026, and December 31, 2030.(c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).(d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:(1) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.(2) The departments costs shall be recovered from all retail end-use customers of load-serving entities as determined by the commission.(3) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.(e) Except as otherwise set forth in this section and in Section 80220 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.SEC. 4. Section 2837.7 is added to the Public Utilities Code, to read:2837.7. (a) For purposes of this section, long-duration energy storage system has the same meaning as defined in Section 2837.5.(b) It is the intent of the Legislature that the state supports the development of a robust market for long-duration energy storage systems that will eventually be free of commercial barriers, including barriers to multiple technologies and technologies capable of providing storage over multiple days, to cost-effectively integrate increasing amounts of electricity from eligible renewable energy resources and meet the states renewable energy resource goals for 2030 and 2045 as described in subparagraph (B) of paragraph (2) of subdivision (b) of Section 399.15 and subdivision (a) of Section 454.53, while maintaining electrical system operational flexibility and electrical grid reliability. (c) The commission and the Energy Commission shall timely incorporate consideration of long-duration energy storage systems into their energy and resource planning. (d) The commission and the Energy Commission shall consider measures to advance the objective set forth in subdivision (b), including, but not limited to, support through research and development, demonstration, procurement, and incentives. Any measures adopted pursuant to this subdivision shall be in addition to any solicitation process authorized by Section 2837.5. (e) In order to support eligible renewable energy resource goals, to support operational flexibility and reliability, and to enhance resiliency on the local and distribution level, the commission, as part of the integrated resource planning process, shall do all of the following: (1) Evaluate and analyze the potential for long-duration energy storage systems to help integrate generation from eligible renewable energy resources into the electrical grid on a daily, multiday, and seasonal basis, including, but not limited to, consideration of the capacity contribution of long-duration energy storage systems as a function of duration. (2) Identify the role of long-duration energy storage systems to ensure grid reliability during multiday weather events that reduce output from eligible renewable energy resources. (3) Identify mechanisms to encourage eligible renewable energy resources to be increasingly firmed and dispatchable. (4) Develop a long-term assessment of the capacity contribution of combined eligible renewable energy resources and energy storage that considers the installed capacity of the generating and storage resources and storage duration. (5) Incorporate consideration of long-duration energy storage systems into the commissions preferred system plans. (f) This section does not prohibit the commission from evaluating or approving an application for funding or recovery of costs for any ongoing or new development, demonstration, or testing of a long-duration energy storage system outside of the process required by this chapter. SEC. 5. Section 80001 is added to the Water Code, to read:80001. The Legislature further finds and declares that the effort to reduce emissions of greenhouse gases is essential for the safety, health, and well-being of the people of California. A number of factors create significant challenges to the Public Utilities Commissions ability to meet the states need for large scale long-duration energy storage projects with multiple beneficiary system-side grid benefits in the timeframe identified by the Public Utilities Commissions modeling in the 20192020 integrated resource planning proceeding and warrant requiring the department to undertake this effort should the commission not do so.SEC. 6. Section 80002.6 is added to the Water Code, to read:80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output.SEC. 7. Section 80010 of the Water Code is amended to read:80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:(a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.(b) Commission means the Public Utilities Commission.(c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(c)(d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.(d)(e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.(f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.(e)(g) Local publicly owned electric utility includes the entities defined in subdivision (d) of Section 9604 of the Public Utilities Code and publicly owned utilities that provide electricity. has the same meaning as defined in Section 224.3 of the Public Utilities Code.(h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.(f)(i) Power means electric power electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.(g)(j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.SEC. 8. Section 80013 is added to the Water Code, to read:80013. The department shall do those things necessary and authorized pursuant to Article 2 (commencing with Section 80125) to enter into long-duration energy storage agreements for electrical capacity and output pursuant to Section 2837.5 of Public Utilities Code.SEC. 9. Article 2 (commencing with Section 80125) is added to Chapter 2 of Division 27 of the Water Code, to read: Article 2. Long-Duration Energy Storage80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:(a) The energy storage agreement requires the long-duration energy storage system meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.(b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.(c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.(d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output provided by the long-duration energy storage system.(f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.(g) Before commercial operation the developer shall provide periodic progress reports.80125.2. (a) For purposes of this article, costs incurred pursuant to an agreement to procure long-duration energy storage shall be just and reasonable if either of the following is true:(1) The long-duration energy storage agreement price is at or below the cost assumptions the commission used for long-duration energy storage in Decision 20-03-028.(2) The developer of the long-duration energy storage system is able to establish to the departments satisfaction that the costs in excess of the commissions cost assumptions described in paragraph (1) are justifiable in light of documented or projected costs and confirmed by an independent evaluator, provided, however, those costs shall not exceed the cost assumption benchmarks identified in paragraph (1) by more than 15 percent in aggregate.(b) The department shall have no obligation to execute an agreement for the procurement of long-duration energy storage services contract if the developer is found to have misrepresented its costs in any material respect or if the agreement would not satisfy subdivision (a).(c) The department shall not enter into a long-duration energy storage services contract under this section if the associated long-duration energy storage project is subject to review under Division 13 (commencing with Section 21000) of the Public Resources Code unless it finds that the project developer has agreed to acceptable mitigation measures to avoid significant impact on any tribal cultural resource, as defined in subdivision (a) or (b) of Section 21074 of Public Resources Code. The department shall not make this finding unless the California Native American Tribe, if any, that is culturally and traditionally affiliated with the geographic area in which the project is located concurs in this finding.80125.4. (a) A long-duration energy storage agreement made pursuant to this article may provide for assignment on any terms and conditions as the agreement may specify. The agreements shall allow assignment to a central procurement authority, if one is created, so long as the payment and security provisions are comparable to those provided in this article.(b) Any long-duration energy storage agreement shall contain any contractual terms and security provisions as are determined by the department to be necessary or appropriate and the department may enter into such arrangements as may be necessary or appropriate.(c) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors to use a multicraft project labor agreement, as that term is defined paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code, for construction and contracted out maintenance of the long-duration energy storage system facility. The project labor agreements shall conform to the industry standard agreements recently used for private large thermal powerplant projects, including side letters for high-voltage transmission and related work.80125.6. Upon the delivery of electrical capacity and output pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate.(b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.(c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output to the customers.80126.2. All money collected with respect to any electrical capacity or output acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output from or sell electrical output and capacity to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output purchased by the department pursuant to this article.80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.(b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.(c) Contract for the services of other public agencies.(d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.80127. For purposes of any agreements entered into pursuant to this article, the department shall not rely upon or otherwise use the authority provided in Article 1 (commencing with Sections 80100) or Chapter 2.5 (commencing with Sections 80130), with the exception of Section 80134, which shall apply to commitments made pursuant to this article.SEC. 10. Section 80200 of the Water Code is amended to read:80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).(b) All Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:(1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.(2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.(3) Payment of any bonds or other contractual obligations authorized by this division.(4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.(c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.(d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.(e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.SEC. 11. Section 80201 is added to the Water Code, to read:80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.(b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act.(d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.SEC. 12. Section 80260 of the Water Code is amended to read:80260. On (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power. This(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2. (c) This section does not affect the authority of the department to administer contracts entered into prior to that date those dates or the departments authority to sell electricity. electrical capacity or output of energy storage services from a long-duration energy storage system.SEC. 13. The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.SEC. 14. In regards to Section 2 of this act, the Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances regarding the pumped hydroelectric energy storage facility in the vicinity of the San Vicente Reservoir in the County of San Diego.SEC. 15. 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 65040.31 is added to the Government Code, immediately following Section 65040.3, to read:65040.31.(a)In connection with its responsibilities under subdivision (l) of Section 65040, the Office of Planning and Research shall develop and adopt guidelines for a city or county to implement policies and practices that represent best practices to support small businesses within their jurisdictions. The guidelines shall include recommendations, as the office determines appropriate, for those policies and practices to be included within mandatory elements required in general plans, specific plans, and other land use planning documents of a city or county.(b)The office may request from each state department and agency, including, but not limited to, the Governors Office of Business and Economic Development, technical assistance in readopting, amending, or repealing the guidelines. The department or agency shall provide technical assistance if so requested.(c)The guidelines shall be advisory to each city or county in order to provide assistance in preparing and maintaining their respective general plans, specific plans, and other land use planning documents.(d)The guidelines shall address the needs of small commercial businesses, including microbusinesses.(e)(1)The guidelines shall include recommendations for best practices to allow for collaborative land use planning adjacent to residential, mixed-use, and industrial facilities.(2)The guidelines shall encourage enhanced land use compatibility between transportation, workforce training, and other areas of commercial development within the region through the examination of potential impacts upon one another.(f)The guidelines shall be adopted through a collaborative process with other public and private organizations that serve the needs of small business, economic development, and neighborhood revitalization.(g)The office shall publish the guidelines by January 1, 2021, and shall thereafter regularly review and revise those guidelines in accordance with the requirements of this section.
6768
6869 The people of the State of California do enact as follows:
6970
7071 ## The people of the State of California do enact as follows:
7172
72-SECTION 1. In regards to Sections 3 to 12, inclusive, of this act, the The Legislature finds and declares all of the following:(a) California must urgently respond to the economic adversity created by the coronavirus without abandoning the states leadership in combating the threats posed by climate change. Climate change imperils human health and economic prosperity by threatening more frequent droughts, devastating wildfires, intense storms, and extreme heat. This legislation acts on an identified need for clean energy investment and urgently addresses two immediate threats to California, high unemployment and the perils of climate change.(b) The purpose of this act is to directly invest in clean energy infrastructure, to create good paying jobs, with benefits and pensions, and accelerate Californias investment in technologies to reduce emissions of greenhouse gases. This act will create both multiyear construction jobs as well as long-term employment and tax revenues fostering economic recovery of communities without reliance on California state budget revenues.(c) California remains heavily reliant on the burning of natural gas for the generation of electricity, large hydroelectric generation, and imported electricity to meet customer demand and balance the variable production of generation by eligible renewable energy resources. Changes to the generation portfolio outside of California, including aging coal-fired powerplant retirements and more west wide renewable energy development, render future reliance on those resources ill advised.(d) The states clean energy targets create a need for low-carbon, grid support resources to integrate generation from eligible renewable energy resources to meet customer demand. Investment in energy storage is needed to support reliable grid operations, meet customer demand during periods when variable wind and solar resources are not generating electricity, and efficiently capture, rather than curtail, renewable generation during periods of over-generation when variable wind and solar resources exceed customer demand.(e) Multiple energy storage technologies hold promise to help maintain reliability while also cost-effectively integrating increasing amounts of eligible renewable energy resources to achieve the states 2030 and 2045 renewable and zero-carbon electricity goals. They include, but are not limited to, electrochemical, compressed air, liquified liquefied air, pumped hydroelectric, flow batteries, electrolytic and renewable hydrogen, and several other chemical, mechanical, gravity-based, and thermal energy storage technologies.(f) In Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning, the Public Utilities Commission has adopted a range of 46,000,000 to 38,000,000 metric tons of greenhouse gas emissions by 2030 as the target range for the electric sector as part of its 201920 integrated resource planning process. Modeling conducted by the commission as part of its 201920 integrated resource planning process indicates that over 16 gigawatts of energy storage, both short and long duration, will be needed to cost-effectively maintain reliability under the 38,000,000 metric tons target. Much of that amount, including long-duration energy storage, is needed by 2026.(g) The need for substantial amounts of zero greenhouse gas emission capacity is immediate and pressing, as evidenced by the Public Utilities Commissions Decision 19-11-016 (November 7, 2019) Decision Requiring Electric System Reliability Procurement for 20212023, finding an urgent need for, and ordering the immediate procurement of, 3,300 megawatts of resource adequacy capacity to be in service starting on August 1, 2021. The commission took this action as well as proposing to extend the operational life of once-through cooling natural gas powerplants to avoid electrical system resource adequacy shortages beginning as soon as 2021.(h) The State Energy Resources Conservation and Development Commission has identified a number of barriers to long-duration energy storage systems and certain other zero-carbon resources, including, for some technologies, long development timelines and uncertainty surrounding cost recovery and allocation.(i) The Public Utilities Commission is the lead agency to direct procurement of long-duration energy storage. However, in Decision 19-04-040, 19-04-040 (April 25, 2019) Decision Adopting Preferred System Portfolio and Plan for 20172018 Integrated Resource Plan Cycle, the commission recognized the challenges to long-duration energy storage procurement and in the summer of 2020 will commence, in a procurement track in the current resource planning cycle, to assess how to address these challenges. In September 2020, all load-serving entities are required to submit to the commission their integrated resource plans so that by the end of 2020 the commission will know whether the load-serving entities have plans to procure long-duration energy storage and, if so, by when, how much much, and what types.(j) It is in the interest of the state that there be an approved alternative procurement path in the event the load-serving entities do not include sufficient long-duration energy storage in their integrated resource plans or the Public Utilities Commission cannot successfully require the procurement of the amount needed to ensure the state meets its statutory climate and reliability goals. This act is intended to provide the additional tools necessary to enable the timely development and deployment of long-duration energy storage in the years leading up to 2030.
73+SECTION 1. In regards to Sections 3 to 12, inclusive, of this act, the Legislature finds and declares all of the following:(a) California must urgently respond to the economic adversity created by the coronavirus without abandoning the states leadership in combating the threats posed by climate change. Climate change imperils human health and economic prosperity by threatening more frequent droughts, devastating wildfires, intense storms, and extreme heat. This legislation acts on an identified need for clean energy investment and urgently addresses two immediate threats to California, high unemployment and the perils of climate change.(b) The purpose of this act is to directly invest in clean energy infrastructure, to create good paying jobs, with benefits and pensions, and accelerate Californias investment in technologies to reduce emissions of greenhouse gases. This act will create both multiyear construction jobs as well as long-term employment and tax revenues fostering economic recovery of communities without reliance on California state budget revenues.(c) California remains heavily reliant on the burning of natural gas for the generation of electricity, large hydroelectric generation, and imported electricity to meet customer demand and balance the variable production of generation by eligible renewable energy resources. Changes to the generation portfolio outside of California, including aging coal-fired powerplant retirements and more west wide renewable energy development, render future reliance on those resources ill advised.(d) The states clean energy targets create a need for low-carbon, grid support resources to integrate generation from eligible renewable energy resources to meet customer demand. Investment in energy storage is needed to support reliable grid operations, meet customer demand during periods when variable wind and solar resources are not generating electricity, and efficiently capture, rather than curtail, renewable generation during periods of over-generation when variable wind and solar resources exceed customer demand.(e) Multiple energy storage technologies hold promise to help maintain reliability while also cost-effectively integrating increasing amounts of eligible renewable energy resources to achieve the states 2030 and 2045 renewable and zero-carbon electricity goals. They include, but are not limited to, electrochemical, compressed air, liquified air, pumped hydroelectric, flow batteries, electrolytic and renewable hydrogen, and several other chemical, mechanical, gravity-based, and thermal energy storage technologies.(f) In Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning, the Public Utilities Commission has adopted a range of 46,000,000 to 38,000,000 metric tons of greenhouse gas emissions by 2030 as the target range for the electric sector as part of its 201920 integrated resource planning process. Modeling conducted by the commission as part of its 201920 integrated resource planning process indicates that over 16 gigawatts of energy storage, both short and long duration, will be needed to cost-effectively maintain reliability under the 38,000,000 metric tons target. Much of that amount, including long-duration energy storage, is needed by 2026.(g) The need for substantial amounts of zero greenhouse gas emission capacity is immediate and pressing, as evidenced by the Public Utilities Commissions Decision 19-11-016 (November 7, 2019) Decision Requiring Electric System Reliability Procurement for 20212023, finding an urgent need for, and ordering the immediate procurement of, 3,300 megawatts of resource adequacy capacity to be in service starting on August 1, 2021. The commission took this action as well as proposing to extend the operational life of once-through cooling natural gas powerplants to avoid electrical system resource adequacy shortages beginning as soon as 2021.(h) The State Energy Resources Conservation and Development Commission has identified a number of barriers to long-duration energy storage systems and certain other zero-carbon resources, including, for some technologies, long development timelines and uncertainty surrounding cost recovery and allocation.(i) The Public Utilities Commission is the lead agency to direct procurement of long-duration energy storage. However, in Decision 19-04-040, the commission recognized the challenges to long-duration energy storage procurement and in the summer of 2020 will commence, in a procurement track in the current resource planning cycle, to assess how to address these challenges. In September 2020, all load-serving entities are required to submit to the commission their integrated resource plans so that by the end of 2020 the commission will know whether the load-serving entities have plans to procure long-duration energy storage and, if so, by when, how much and what types.(j) It is in the interest of the state that there be an approved alternative procurement path in the event the load-serving entities do not include sufficient long-duration energy storage in their integrated resource plans or the Public Utilities Commission cannot successfully require the procurement of the amount needed to ensure the state meets its statutory climate and reliability goals. This act is intended to provide the additional tools necessary to enable the timely development and deployment of long-duration energy storage in the years leading up to 2030.
7374
74-SECTION 1. In regards to Sections 3 to 12, inclusive, of this act, the The Legislature finds and declares all of the following:(a) California must urgently respond to the economic adversity created by the coronavirus without abandoning the states leadership in combating the threats posed by climate change. Climate change imperils human health and economic prosperity by threatening more frequent droughts, devastating wildfires, intense storms, and extreme heat. This legislation acts on an identified need for clean energy investment and urgently addresses two immediate threats to California, high unemployment and the perils of climate change.(b) The purpose of this act is to directly invest in clean energy infrastructure, to create good paying jobs, with benefits and pensions, and accelerate Californias investment in technologies to reduce emissions of greenhouse gases. This act will create both multiyear construction jobs as well as long-term employment and tax revenues fostering economic recovery of communities without reliance on California state budget revenues.(c) California remains heavily reliant on the burning of natural gas for the generation of electricity, large hydroelectric generation, and imported electricity to meet customer demand and balance the variable production of generation by eligible renewable energy resources. Changes to the generation portfolio outside of California, including aging coal-fired powerplant retirements and more west wide renewable energy development, render future reliance on those resources ill advised.(d) The states clean energy targets create a need for low-carbon, grid support resources to integrate generation from eligible renewable energy resources to meet customer demand. Investment in energy storage is needed to support reliable grid operations, meet customer demand during periods when variable wind and solar resources are not generating electricity, and efficiently capture, rather than curtail, renewable generation during periods of over-generation when variable wind and solar resources exceed customer demand.(e) Multiple energy storage technologies hold promise to help maintain reliability while also cost-effectively integrating increasing amounts of eligible renewable energy resources to achieve the states 2030 and 2045 renewable and zero-carbon electricity goals. They include, but are not limited to, electrochemical, compressed air, liquified liquefied air, pumped hydroelectric, flow batteries, electrolytic and renewable hydrogen, and several other chemical, mechanical, gravity-based, and thermal energy storage technologies.(f) In Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning, the Public Utilities Commission has adopted a range of 46,000,000 to 38,000,000 metric tons of greenhouse gas emissions by 2030 as the target range for the electric sector as part of its 201920 integrated resource planning process. Modeling conducted by the commission as part of its 201920 integrated resource planning process indicates that over 16 gigawatts of energy storage, both short and long duration, will be needed to cost-effectively maintain reliability under the 38,000,000 metric tons target. Much of that amount, including long-duration energy storage, is needed by 2026.(g) The need for substantial amounts of zero greenhouse gas emission capacity is immediate and pressing, as evidenced by the Public Utilities Commissions Decision 19-11-016 (November 7, 2019) Decision Requiring Electric System Reliability Procurement for 20212023, finding an urgent need for, and ordering the immediate procurement of, 3,300 megawatts of resource adequacy capacity to be in service starting on August 1, 2021. The commission took this action as well as proposing to extend the operational life of once-through cooling natural gas powerplants to avoid electrical system resource adequacy shortages beginning as soon as 2021.(h) The State Energy Resources Conservation and Development Commission has identified a number of barriers to long-duration energy storage systems and certain other zero-carbon resources, including, for some technologies, long development timelines and uncertainty surrounding cost recovery and allocation.(i) The Public Utilities Commission is the lead agency to direct procurement of long-duration energy storage. However, in Decision 19-04-040, 19-04-040 (April 25, 2019) Decision Adopting Preferred System Portfolio and Plan for 20172018 Integrated Resource Plan Cycle, the commission recognized the challenges to long-duration energy storage procurement and in the summer of 2020 will commence, in a procurement track in the current resource planning cycle, to assess how to address these challenges. In September 2020, all load-serving entities are required to submit to the commission their integrated resource plans so that by the end of 2020 the commission will know whether the load-serving entities have plans to procure long-duration energy storage and, if so, by when, how much much, and what types.(j) It is in the interest of the state that there be an approved alternative procurement path in the event the load-serving entities do not include sufficient long-duration energy storage in their integrated resource plans or the Public Utilities Commission cannot successfully require the procurement of the amount needed to ensure the state meets its statutory climate and reliability goals. This act is intended to provide the additional tools necessary to enable the timely development and deployment of long-duration energy storage in the years leading up to 2030.
75+SECTION 1. In regards to Sections 3 to 12, inclusive, of this act, the Legislature finds and declares all of the following:(a) California must urgently respond to the economic adversity created by the coronavirus without abandoning the states leadership in combating the threats posed by climate change. Climate change imperils human health and economic prosperity by threatening more frequent droughts, devastating wildfires, intense storms, and extreme heat. This legislation acts on an identified need for clean energy investment and urgently addresses two immediate threats to California, high unemployment and the perils of climate change.(b) The purpose of this act is to directly invest in clean energy infrastructure, to create good paying jobs, with benefits and pensions, and accelerate Californias investment in technologies to reduce emissions of greenhouse gases. This act will create both multiyear construction jobs as well as long-term employment and tax revenues fostering economic recovery of communities without reliance on California state budget revenues.(c) California remains heavily reliant on the burning of natural gas for the generation of electricity, large hydroelectric generation, and imported electricity to meet customer demand and balance the variable production of generation by eligible renewable energy resources. Changes to the generation portfolio outside of California, including aging coal-fired powerplant retirements and more west wide renewable energy development, render future reliance on those resources ill advised.(d) The states clean energy targets create a need for low-carbon, grid support resources to integrate generation from eligible renewable energy resources to meet customer demand. Investment in energy storage is needed to support reliable grid operations, meet customer demand during periods when variable wind and solar resources are not generating electricity, and efficiently capture, rather than curtail, renewable generation during periods of over-generation when variable wind and solar resources exceed customer demand.(e) Multiple energy storage technologies hold promise to help maintain reliability while also cost-effectively integrating increasing amounts of eligible renewable energy resources to achieve the states 2030 and 2045 renewable and zero-carbon electricity goals. They include, but are not limited to, electrochemical, compressed air, liquified air, pumped hydroelectric, flow batteries, electrolytic and renewable hydrogen, and several other chemical, mechanical, gravity-based, and thermal energy storage technologies.(f) In Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning, the Public Utilities Commission has adopted a range of 46,000,000 to 38,000,000 metric tons of greenhouse gas emissions by 2030 as the target range for the electric sector as part of its 201920 integrated resource planning process. Modeling conducted by the commission as part of its 201920 integrated resource planning process indicates that over 16 gigawatts of energy storage, both short and long duration, will be needed to cost-effectively maintain reliability under the 38,000,000 metric tons target. Much of that amount, including long-duration energy storage, is needed by 2026.(g) The need for substantial amounts of zero greenhouse gas emission capacity is immediate and pressing, as evidenced by the Public Utilities Commissions Decision 19-11-016 (November 7, 2019) Decision Requiring Electric System Reliability Procurement for 20212023, finding an urgent need for, and ordering the immediate procurement of, 3,300 megawatts of resource adequacy capacity to be in service starting on August 1, 2021. The commission took this action as well as proposing to extend the operational life of once-through cooling natural gas powerplants to avoid electrical system resource adequacy shortages beginning as soon as 2021.(h) The State Energy Resources Conservation and Development Commission has identified a number of barriers to long-duration energy storage systems and certain other zero-carbon resources, including, for some technologies, long development timelines and uncertainty surrounding cost recovery and allocation.(i) The Public Utilities Commission is the lead agency to direct procurement of long-duration energy storage. However, in Decision 19-04-040, the commission recognized the challenges to long-duration energy storage procurement and in the summer of 2020 will commence, in a procurement track in the current resource planning cycle, to assess how to address these challenges. In September 2020, all load-serving entities are required to submit to the commission their integrated resource plans so that by the end of 2020 the commission will know whether the load-serving entities have plans to procure long-duration energy storage and, if so, by when, how much and what types.(j) It is in the interest of the state that there be an approved alternative procurement path in the event the load-serving entities do not include sufficient long-duration energy storage in their integrated resource plans or the Public Utilities Commission cannot successfully require the procurement of the amount needed to ensure the state meets its statutory climate and reliability goals. This act is intended to provide the additional tools necessary to enable the timely development and deployment of long-duration energy storage in the years leading up to 2030.
7576
76-SECTION 1. In regards to Sections 3 to 12, inclusive, of this act, the The Legislature finds and declares all of the following:
77+SECTION 1. In regards to Sections 3 to 12, inclusive, of this act, the Legislature finds and declares all of the following:
7778
7879 ### SECTION 1.
7980
8081 (a) California must urgently respond to the economic adversity created by the coronavirus without abandoning the states leadership in combating the threats posed by climate change. Climate change imperils human health and economic prosperity by threatening more frequent droughts, devastating wildfires, intense storms, and extreme heat. This legislation acts on an identified need for clean energy investment and urgently addresses two immediate threats to California, high unemployment and the perils of climate change.
8182
8283 (b) The purpose of this act is to directly invest in clean energy infrastructure, to create good paying jobs, with benefits and pensions, and accelerate Californias investment in technologies to reduce emissions of greenhouse gases. This act will create both multiyear construction jobs as well as long-term employment and tax revenues fostering economic recovery of communities without reliance on California state budget revenues.
8384
8485 (c) California remains heavily reliant on the burning of natural gas for the generation of electricity, large hydroelectric generation, and imported electricity to meet customer demand and balance the variable production of generation by eligible renewable energy resources. Changes to the generation portfolio outside of California, including aging coal-fired powerplant retirements and more west wide renewable energy development, render future reliance on those resources ill advised.
8586
8687 (d) The states clean energy targets create a need for low-carbon, grid support resources to integrate generation from eligible renewable energy resources to meet customer demand. Investment in energy storage is needed to support reliable grid operations, meet customer demand during periods when variable wind and solar resources are not generating electricity, and efficiently capture, rather than curtail, renewable generation during periods of over-generation when variable wind and solar resources exceed customer demand.
8788
88-(e) Multiple energy storage technologies hold promise to help maintain reliability while also cost-effectively integrating increasing amounts of eligible renewable energy resources to achieve the states 2030 and 2045 renewable and zero-carbon electricity goals. They include, but are not limited to, electrochemical, compressed air, liquified liquefied air, pumped hydroelectric, flow batteries, electrolytic and renewable hydrogen, and several other chemical, mechanical, gravity-based, and thermal energy storage technologies.
89+(e) Multiple energy storage technologies hold promise to help maintain reliability while also cost-effectively integrating increasing amounts of eligible renewable energy resources to achieve the states 2030 and 2045 renewable and zero-carbon electricity goals. They include, but are not limited to, electrochemical, compressed air, liquified air, pumped hydroelectric, flow batteries, electrolytic and renewable hydrogen, and several other chemical, mechanical, gravity-based, and thermal energy storage technologies.
8990
9091 (f) In Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning, the Public Utilities Commission has adopted a range of 46,000,000 to 38,000,000 metric tons of greenhouse gas emissions by 2030 as the target range for the electric sector as part of its 201920 integrated resource planning process. Modeling conducted by the commission as part of its 201920 integrated resource planning process indicates that over 16 gigawatts of energy storage, both short and long duration, will be needed to cost-effectively maintain reliability under the 38,000,000 metric tons target. Much of that amount, including long-duration energy storage, is needed by 2026.
9192
9293 (g) The need for substantial amounts of zero greenhouse gas emission capacity is immediate and pressing, as evidenced by the Public Utilities Commissions Decision 19-11-016 (November 7, 2019) Decision Requiring Electric System Reliability Procurement for 20212023, finding an urgent need for, and ordering the immediate procurement of, 3,300 megawatts of resource adequacy capacity to be in service starting on August 1, 2021. The commission took this action as well as proposing to extend the operational life of once-through cooling natural gas powerplants to avoid electrical system resource adequacy shortages beginning as soon as 2021.
9394
9495 (h) The State Energy Resources Conservation and Development Commission has identified a number of barriers to long-duration energy storage systems and certain other zero-carbon resources, including, for some technologies, long development timelines and uncertainty surrounding cost recovery and allocation.
9596
96-(i) The Public Utilities Commission is the lead agency to direct procurement of long-duration energy storage. However, in Decision 19-04-040, 19-04-040 (April 25, 2019) Decision Adopting Preferred System Portfolio and Plan for 20172018 Integrated Resource Plan Cycle, the commission recognized the challenges to long-duration energy storage procurement and in the summer of 2020 will commence, in a procurement track in the current resource planning cycle, to assess how to address these challenges. In September 2020, all load-serving entities are required to submit to the commission their integrated resource plans so that by the end of 2020 the commission will know whether the load-serving entities have plans to procure long-duration energy storage and, if so, by when, how much much, and what types.
97+(i) The Public Utilities Commission is the lead agency to direct procurement of long-duration energy storage. However, in Decision 19-04-040, the commission recognized the challenges to long-duration energy storage procurement and in the summer of 2020 will commence, in a procurement track in the current resource planning cycle, to assess how to address these challenges. In September 2020, all load-serving entities are required to submit to the commission their integrated resource plans so that by the end of 2020 the commission will know whether the load-serving entities have plans to procure long-duration energy storage and, if so, by when, how much and what types.
9798
9899 (j) It is in the interest of the state that there be an approved alternative procurement path in the event the load-serving entities do not include sufficient long-duration energy storage in their integrated resource plans or the Public Utilities Commission cannot successfully require the procurement of the amount needed to ensure the state meets its statutory climate and reliability goals. This act is intended to provide the additional tools necessary to enable the timely development and deployment of long-duration energy storage in the years leading up to 2030.
99100
101+SEC. 2. Section 21168.6.20 is added to the Public Resources Code, to read:21168.6.20. (a) For purposes of this section, the following definitions apply:(1) Project means a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day.(2) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(3) Skilled and trained workforce has the same meaning as provided in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the Public Contract Code.(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the project unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if any of the following requirements are met:(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.(c) Rules 3.2220 to 3.2237, inclusive, of the California Rules of Court, as may be amended by the Judicial Council, shall apply to any action or proceeding brought to attack, review, set aside, void, or annul the certification or adoption of any environmental impact report for the project or the granting of any project approvals, to require the action or proceeding, including any potential appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court. On or before September 1, 2021, the Judicial Council shall amend the California Rules of Court, as necessary, to implement this subdivision.(d) (1) The draft and final environmental impact report shall include a notice in not less than 12-point type stating the following:THIS ENVIRONMENTAL IMPACT REPORT IS SUBJECT TO SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE, WHICH PROVIDES, AMONG OTHER THINGS, THAT THE LEAD AGENCY NEED NOT CONSIDER CERTAIN COMMENTS FILED AFTER THE CLOSE OF THE PUBLIC COMMENT PERIOD, IF ANY, FOR THE DRAFT ENVIRONMENTAL IMPACT REPORT. ANY JUDICIAL ACTION CHALLENGING THE CERTIFICATION OR ADOPTION OF THE ENVIRONMENTAL IMPACT REPORT OR THE APPROVAL OF THE PROJECT DESCRIBED IN SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS SUBJECT TO THE PROCEDURES SET FORTH IN THAT SECTION. A COPY OF SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS INCLUDED IN THE APPENDIX TO THIS ENVIRONMENTAL IMPACT REPORT.(2) The draft environmental impact report and final environmental impact report shall contain, as an appendix, the full text of this section.(3) Within 10 days after the release of the draft environmental impact report, the lead agency shall conduct an informational workshop to inform the public of the key analyses and conclusions of that document.(4) Within 10 days before the close of the public comment period, the lead agency shall hold a public hearing to receive testimony on the draft environmental impact report. A transcript of the hearing shall be included as an appendix to the final environmental impact report.(5) (A) Within five days following the close of the public comment period, a commenter on the draft environmental impact report may submit to the lead agency a written request for nonbinding mediation. The lead agency shall participate in nonbinding mediation with all commenters who submitted timely comments on the draft environmental impact report and who requested the mediation. Mediation conducted pursuant to this paragraph shall end no later than 35 days after the close of the public comment period.(B) A request for mediation shall identify all areas of dispute raised in the comment submitted by the commenter that are to be mediated.(C) The lead agency shall select one or more mediators who shall be retired judges or recognized experts with at least five years of experience in land use and environmental law or science, or mediation. The lead agency shall bear the costs of mediation.(D) A mediation session shall be conducted on each area of dispute with the parties requesting mediation on that area of dispute.(E) The lead agency shall adopt, as a condition of approval, any measures agreed upon by the lead agency and any commenter who requested mediation. A commenter who agrees to a measure pursuant to this subparagraph shall not raise the issue addressed by that measure as a basis for an action or proceeding challenging the lead agencys decision to certify or to adopt the environmental impact report or to grant project approval.(6) The lead agency need not consider written comments submitted after the close of the public comment period, unless those comments address any of the following:(A) New issues raised in the response to comments by the lead agency.(B) New information released by the lead agency subsequent to the release of the draft environmental impact report, such as new information set forth or embodied in a staff report, proposed permit, proposed resolution, ordinance, or similar documents.(C) Changes made to the project after the close of the public comment period.(D) Proposed conditions for approval, mitigation measures, or proposed findings required by Section 21081 or a proposed reporting or monitoring program required by paragraph (1) of subdivision (a) of Section 21081.6, if the lead agency releases those documents subsequent to the release of the draft environmental impact report.(E) New information that was not reasonably known and could not have been reasonably known during the public comment period.(7) The lead agency shall file the notice required by subdivision (a) of Section 21152 within five days after the last initial project approval.(e) (1) The lead agency shall prepare and certify the record of the proceedings in accordance with this subdivision and in accordance with Rule 3.1365 of the California Rules of Court.(2) No later than three business days following the date of the release of the draft environmental impact report, the lead agency shall make available to the public in a readily accessible electronic format the draft environmental impact report and all other documents submitted to or relied on by the lead agency in the preparation of the draft environmental impact report. A document prepared by the lead agency after the date of the release of the draft environmental impact report that is a part of the record of the proceedings shall be made available to the public in a readily accessible electronic format within five business days after the document is prepared by the lead agency.(3) Notwithstanding paragraph (2), documents submitted to or relied on by the lead agency that were not prepared specifically for the project and are copyright protected are not required to be made readily accessible in an electronic format. For those copyright-protected documents, the lead agency shall make an index of the documents available in an electronic format no later than the date of the release of the draft environmental impact report, or within five business days if the document is received or relied on by the lead agency after the release of the draft environmental impact report. The index shall specify the libraries or lead agency offices in which hardcopies of the copyrighted materials are available for public review.(4) The lead agency shall encourage written comments on the project to be submitted in a readily accessible electronic format, and shall make any such comments available to the public in a readily accessible electronic format within five days of their receipt.(5) Within seven business days after the receipt of any comment that is not in an electronic format, the lead agency shall convert that comment into a readily accessible electronic format and make it available to the public in that format.(6) The lead agency shall indicate in the record of proceedings comments received that were not considered by the lead agency pursuant to paragraph (6) of subdivision (d) and need not include the content of the comments as a part of the record of proceedings.(7) Within five days after the filing of the notice required by subdivision (a) of Section 21152, the lead agency shall certify the record of proceedings for the approval or determination and shall provide an electronic copy of the record of proceedings to a party that has submitted a written request for a copy. The lead agency may charge and collect a reasonable fee from a party requesting a copy of the record of proceedings for the electronic copy, which shall not exceed the reasonable cost of reproducing that copy.(8) Within 10 days after being served with a complaint or a petition for a writ of mandate, the lead agency shall lodge a copy of the certified record of proceedings with the superior court.(9) Any dispute over the content of the record of proceedings shall be resolved by the superior court. Unless the superior court directs otherwise, a party disputing the content of the record of proceedings shall file a motion to augment the record of proceedings at the time it files its initial brief.(10) The contents of the record of proceedings shall be as set forth in subdivision (e) of Section 21167.6.(f) This section shall remain in effect only until January 1, 2026, and as of that date is repealed.
102+
103+SEC. 2. Section 21168.6.20 is added to the Public Resources Code, to read:
104+
105+### SEC. 2.
106+
107+21168.6.20. (a) For purposes of this section, the following definitions apply:(1) Project means a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day.(2) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(3) Skilled and trained workforce has the same meaning as provided in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the Public Contract Code.(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the project unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if any of the following requirements are met:(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.(c) Rules 3.2220 to 3.2237, inclusive, of the California Rules of Court, as may be amended by the Judicial Council, shall apply to any action or proceeding brought to attack, review, set aside, void, or annul the certification or adoption of any environmental impact report for the project or the granting of any project approvals, to require the action or proceeding, including any potential appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court. On or before September 1, 2021, the Judicial Council shall amend the California Rules of Court, as necessary, to implement this subdivision.(d) (1) The draft and final environmental impact report shall include a notice in not less than 12-point type stating the following:THIS ENVIRONMENTAL IMPACT REPORT IS SUBJECT TO SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE, WHICH PROVIDES, AMONG OTHER THINGS, THAT THE LEAD AGENCY NEED NOT CONSIDER CERTAIN COMMENTS FILED AFTER THE CLOSE OF THE PUBLIC COMMENT PERIOD, IF ANY, FOR THE DRAFT ENVIRONMENTAL IMPACT REPORT. ANY JUDICIAL ACTION CHALLENGING THE CERTIFICATION OR ADOPTION OF THE ENVIRONMENTAL IMPACT REPORT OR THE APPROVAL OF THE PROJECT DESCRIBED IN SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS SUBJECT TO THE PROCEDURES SET FORTH IN THAT SECTION. A COPY OF SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS INCLUDED IN THE APPENDIX TO THIS ENVIRONMENTAL IMPACT REPORT.(2) The draft environmental impact report and final environmental impact report shall contain, as an appendix, the full text of this section.(3) Within 10 days after the release of the draft environmental impact report, the lead agency shall conduct an informational workshop to inform the public of the key analyses and conclusions of that document.(4) Within 10 days before the close of the public comment period, the lead agency shall hold a public hearing to receive testimony on the draft environmental impact report. A transcript of the hearing shall be included as an appendix to the final environmental impact report.(5) (A) Within five days following the close of the public comment period, a commenter on the draft environmental impact report may submit to the lead agency a written request for nonbinding mediation. The lead agency shall participate in nonbinding mediation with all commenters who submitted timely comments on the draft environmental impact report and who requested the mediation. Mediation conducted pursuant to this paragraph shall end no later than 35 days after the close of the public comment period.(B) A request for mediation shall identify all areas of dispute raised in the comment submitted by the commenter that are to be mediated.(C) The lead agency shall select one or more mediators who shall be retired judges or recognized experts with at least five years of experience in land use and environmental law or science, or mediation. The lead agency shall bear the costs of mediation.(D) A mediation session shall be conducted on each area of dispute with the parties requesting mediation on that area of dispute.(E) The lead agency shall adopt, as a condition of approval, any measures agreed upon by the lead agency and any commenter who requested mediation. A commenter who agrees to a measure pursuant to this subparagraph shall not raise the issue addressed by that measure as a basis for an action or proceeding challenging the lead agencys decision to certify or to adopt the environmental impact report or to grant project approval.(6) The lead agency need not consider written comments submitted after the close of the public comment period, unless those comments address any of the following:(A) New issues raised in the response to comments by the lead agency.(B) New information released by the lead agency subsequent to the release of the draft environmental impact report, such as new information set forth or embodied in a staff report, proposed permit, proposed resolution, ordinance, or similar documents.(C) Changes made to the project after the close of the public comment period.(D) Proposed conditions for approval, mitigation measures, or proposed findings required by Section 21081 or a proposed reporting or monitoring program required by paragraph (1) of subdivision (a) of Section 21081.6, if the lead agency releases those documents subsequent to the release of the draft environmental impact report.(E) New information that was not reasonably known and could not have been reasonably known during the public comment period.(7) The lead agency shall file the notice required by subdivision (a) of Section 21152 within five days after the last initial project approval.(e) (1) The lead agency shall prepare and certify the record of the proceedings in accordance with this subdivision and in accordance with Rule 3.1365 of the California Rules of Court.(2) No later than three business days following the date of the release of the draft environmental impact report, the lead agency shall make available to the public in a readily accessible electronic format the draft environmental impact report and all other documents submitted to or relied on by the lead agency in the preparation of the draft environmental impact report. A document prepared by the lead agency after the date of the release of the draft environmental impact report that is a part of the record of the proceedings shall be made available to the public in a readily accessible electronic format within five business days after the document is prepared by the lead agency.(3) Notwithstanding paragraph (2), documents submitted to or relied on by the lead agency that were not prepared specifically for the project and are copyright protected are not required to be made readily accessible in an electronic format. For those copyright-protected documents, the lead agency shall make an index of the documents available in an electronic format no later than the date of the release of the draft environmental impact report, or within five business days if the document is received or relied on by the lead agency after the release of the draft environmental impact report. The index shall specify the libraries or lead agency offices in which hardcopies of the copyrighted materials are available for public review.(4) The lead agency shall encourage written comments on the project to be submitted in a readily accessible electronic format, and shall make any such comments available to the public in a readily accessible electronic format within five days of their receipt.(5) Within seven business days after the receipt of any comment that is not in an electronic format, the lead agency shall convert that comment into a readily accessible electronic format and make it available to the public in that format.(6) The lead agency shall indicate in the record of proceedings comments received that were not considered by the lead agency pursuant to paragraph (6) of subdivision (d) and need not include the content of the comments as a part of the record of proceedings.(7) Within five days after the filing of the notice required by subdivision (a) of Section 21152, the lead agency shall certify the record of proceedings for the approval or determination and shall provide an electronic copy of the record of proceedings to a party that has submitted a written request for a copy. The lead agency may charge and collect a reasonable fee from a party requesting a copy of the record of proceedings for the electronic copy, which shall not exceed the reasonable cost of reproducing that copy.(8) Within 10 days after being served with a complaint or a petition for a writ of mandate, the lead agency shall lodge a copy of the certified record of proceedings with the superior court.(9) Any dispute over the content of the record of proceedings shall be resolved by the superior court. Unless the superior court directs otherwise, a party disputing the content of the record of proceedings shall file a motion to augment the record of proceedings at the time it files its initial brief.(10) The contents of the record of proceedings shall be as set forth in subdivision (e) of Section 21167.6.(f) This section shall remain in effect only until January 1, 2026, and as of that date is repealed.
108+
109+21168.6.20. (a) For purposes of this section, the following definitions apply:(1) Project means a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day.(2) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(3) Skilled and trained workforce has the same meaning as provided in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the Public Contract Code.(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the project unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if any of the following requirements are met:(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.(c) Rules 3.2220 to 3.2237, inclusive, of the California Rules of Court, as may be amended by the Judicial Council, shall apply to any action or proceeding brought to attack, review, set aside, void, or annul the certification or adoption of any environmental impact report for the project or the granting of any project approvals, to require the action or proceeding, including any potential appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court. On or before September 1, 2021, the Judicial Council shall amend the California Rules of Court, as necessary, to implement this subdivision.(d) (1) The draft and final environmental impact report shall include a notice in not less than 12-point type stating the following:THIS ENVIRONMENTAL IMPACT REPORT IS SUBJECT TO SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE, WHICH PROVIDES, AMONG OTHER THINGS, THAT THE LEAD AGENCY NEED NOT CONSIDER CERTAIN COMMENTS FILED AFTER THE CLOSE OF THE PUBLIC COMMENT PERIOD, IF ANY, FOR THE DRAFT ENVIRONMENTAL IMPACT REPORT. ANY JUDICIAL ACTION CHALLENGING THE CERTIFICATION OR ADOPTION OF THE ENVIRONMENTAL IMPACT REPORT OR THE APPROVAL OF THE PROJECT DESCRIBED IN SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS SUBJECT TO THE PROCEDURES SET FORTH IN THAT SECTION. A COPY OF SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS INCLUDED IN THE APPENDIX TO THIS ENVIRONMENTAL IMPACT REPORT.(2) The draft environmental impact report and final environmental impact report shall contain, as an appendix, the full text of this section.(3) Within 10 days after the release of the draft environmental impact report, the lead agency shall conduct an informational workshop to inform the public of the key analyses and conclusions of that document.(4) Within 10 days before the close of the public comment period, the lead agency shall hold a public hearing to receive testimony on the draft environmental impact report. A transcript of the hearing shall be included as an appendix to the final environmental impact report.(5) (A) Within five days following the close of the public comment period, a commenter on the draft environmental impact report may submit to the lead agency a written request for nonbinding mediation. The lead agency shall participate in nonbinding mediation with all commenters who submitted timely comments on the draft environmental impact report and who requested the mediation. Mediation conducted pursuant to this paragraph shall end no later than 35 days after the close of the public comment period.(B) A request for mediation shall identify all areas of dispute raised in the comment submitted by the commenter that are to be mediated.(C) The lead agency shall select one or more mediators who shall be retired judges or recognized experts with at least five years of experience in land use and environmental law or science, or mediation. The lead agency shall bear the costs of mediation.(D) A mediation session shall be conducted on each area of dispute with the parties requesting mediation on that area of dispute.(E) The lead agency shall adopt, as a condition of approval, any measures agreed upon by the lead agency and any commenter who requested mediation. A commenter who agrees to a measure pursuant to this subparagraph shall not raise the issue addressed by that measure as a basis for an action or proceeding challenging the lead agencys decision to certify or to adopt the environmental impact report or to grant project approval.(6) The lead agency need not consider written comments submitted after the close of the public comment period, unless those comments address any of the following:(A) New issues raised in the response to comments by the lead agency.(B) New information released by the lead agency subsequent to the release of the draft environmental impact report, such as new information set forth or embodied in a staff report, proposed permit, proposed resolution, ordinance, or similar documents.(C) Changes made to the project after the close of the public comment period.(D) Proposed conditions for approval, mitigation measures, or proposed findings required by Section 21081 or a proposed reporting or monitoring program required by paragraph (1) of subdivision (a) of Section 21081.6, if the lead agency releases those documents subsequent to the release of the draft environmental impact report.(E) New information that was not reasonably known and could not have been reasonably known during the public comment period.(7) The lead agency shall file the notice required by subdivision (a) of Section 21152 within five days after the last initial project approval.(e) (1) The lead agency shall prepare and certify the record of the proceedings in accordance with this subdivision and in accordance with Rule 3.1365 of the California Rules of Court.(2) No later than three business days following the date of the release of the draft environmental impact report, the lead agency shall make available to the public in a readily accessible electronic format the draft environmental impact report and all other documents submitted to or relied on by the lead agency in the preparation of the draft environmental impact report. A document prepared by the lead agency after the date of the release of the draft environmental impact report that is a part of the record of the proceedings shall be made available to the public in a readily accessible electronic format within five business days after the document is prepared by the lead agency.(3) Notwithstanding paragraph (2), documents submitted to or relied on by the lead agency that were not prepared specifically for the project and are copyright protected are not required to be made readily accessible in an electronic format. For those copyright-protected documents, the lead agency shall make an index of the documents available in an electronic format no later than the date of the release of the draft environmental impact report, or within five business days if the document is received or relied on by the lead agency after the release of the draft environmental impact report. The index shall specify the libraries or lead agency offices in which hardcopies of the copyrighted materials are available for public review.(4) The lead agency shall encourage written comments on the project to be submitted in a readily accessible electronic format, and shall make any such comments available to the public in a readily accessible electronic format within five days of their receipt.(5) Within seven business days after the receipt of any comment that is not in an electronic format, the lead agency shall convert that comment into a readily accessible electronic format and make it available to the public in that format.(6) The lead agency shall indicate in the record of proceedings comments received that were not considered by the lead agency pursuant to paragraph (6) of subdivision (d) and need not include the content of the comments as a part of the record of proceedings.(7) Within five days after the filing of the notice required by subdivision (a) of Section 21152, the lead agency shall certify the record of proceedings for the approval or determination and shall provide an electronic copy of the record of proceedings to a party that has submitted a written request for a copy. The lead agency may charge and collect a reasonable fee from a party requesting a copy of the record of proceedings for the electronic copy, which shall not exceed the reasonable cost of reproducing that copy.(8) Within 10 days after being served with a complaint or a petition for a writ of mandate, the lead agency shall lodge a copy of the certified record of proceedings with the superior court.(9) Any dispute over the content of the record of proceedings shall be resolved by the superior court. Unless the superior court directs otherwise, a party disputing the content of the record of proceedings shall file a motion to augment the record of proceedings at the time it files its initial brief.(10) The contents of the record of proceedings shall be as set forth in subdivision (e) of Section 21167.6.(f) This section shall remain in effect only until January 1, 2026, and as of that date is repealed.
110+
111+21168.6.20. (a) For purposes of this section, the following definitions apply:(1) Project means a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day.(2) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(3) Skilled and trained workforce has the same meaning as provided in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the Public Contract Code.(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the project unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if any of the following requirements are met:(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.(c) Rules 3.2220 to 3.2237, inclusive, of the California Rules of Court, as may be amended by the Judicial Council, shall apply to any action or proceeding brought to attack, review, set aside, void, or annul the certification or adoption of any environmental impact report for the project or the granting of any project approvals, to require the action or proceeding, including any potential appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court. On or before September 1, 2021, the Judicial Council shall amend the California Rules of Court, as necessary, to implement this subdivision.(d) (1) The draft and final environmental impact report shall include a notice in not less than 12-point type stating the following:THIS ENVIRONMENTAL IMPACT REPORT IS SUBJECT TO SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE, WHICH PROVIDES, AMONG OTHER THINGS, THAT THE LEAD AGENCY NEED NOT CONSIDER CERTAIN COMMENTS FILED AFTER THE CLOSE OF THE PUBLIC COMMENT PERIOD, IF ANY, FOR THE DRAFT ENVIRONMENTAL IMPACT REPORT. ANY JUDICIAL ACTION CHALLENGING THE CERTIFICATION OR ADOPTION OF THE ENVIRONMENTAL IMPACT REPORT OR THE APPROVAL OF THE PROJECT DESCRIBED IN SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS SUBJECT TO THE PROCEDURES SET FORTH IN THAT SECTION. A COPY OF SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS INCLUDED IN THE APPENDIX TO THIS ENVIRONMENTAL IMPACT REPORT.(2) The draft environmental impact report and final environmental impact report shall contain, as an appendix, the full text of this section.(3) Within 10 days after the release of the draft environmental impact report, the lead agency shall conduct an informational workshop to inform the public of the key analyses and conclusions of that document.(4) Within 10 days before the close of the public comment period, the lead agency shall hold a public hearing to receive testimony on the draft environmental impact report. A transcript of the hearing shall be included as an appendix to the final environmental impact report.(5) (A) Within five days following the close of the public comment period, a commenter on the draft environmental impact report may submit to the lead agency a written request for nonbinding mediation. The lead agency shall participate in nonbinding mediation with all commenters who submitted timely comments on the draft environmental impact report and who requested the mediation. Mediation conducted pursuant to this paragraph shall end no later than 35 days after the close of the public comment period.(B) A request for mediation shall identify all areas of dispute raised in the comment submitted by the commenter that are to be mediated.(C) The lead agency shall select one or more mediators who shall be retired judges or recognized experts with at least five years of experience in land use and environmental law or science, or mediation. The lead agency shall bear the costs of mediation.(D) A mediation session shall be conducted on each area of dispute with the parties requesting mediation on that area of dispute.(E) The lead agency shall adopt, as a condition of approval, any measures agreed upon by the lead agency and any commenter who requested mediation. A commenter who agrees to a measure pursuant to this subparagraph shall not raise the issue addressed by that measure as a basis for an action or proceeding challenging the lead agencys decision to certify or to adopt the environmental impact report or to grant project approval.(6) The lead agency need not consider written comments submitted after the close of the public comment period, unless those comments address any of the following:(A) New issues raised in the response to comments by the lead agency.(B) New information released by the lead agency subsequent to the release of the draft environmental impact report, such as new information set forth or embodied in a staff report, proposed permit, proposed resolution, ordinance, or similar documents.(C) Changes made to the project after the close of the public comment period.(D) Proposed conditions for approval, mitigation measures, or proposed findings required by Section 21081 or a proposed reporting or monitoring program required by paragraph (1) of subdivision (a) of Section 21081.6, if the lead agency releases those documents subsequent to the release of the draft environmental impact report.(E) New information that was not reasonably known and could not have been reasonably known during the public comment period.(7) The lead agency shall file the notice required by subdivision (a) of Section 21152 within five days after the last initial project approval.(e) (1) The lead agency shall prepare and certify the record of the proceedings in accordance with this subdivision and in accordance with Rule 3.1365 of the California Rules of Court.(2) No later than three business days following the date of the release of the draft environmental impact report, the lead agency shall make available to the public in a readily accessible electronic format the draft environmental impact report and all other documents submitted to or relied on by the lead agency in the preparation of the draft environmental impact report. A document prepared by the lead agency after the date of the release of the draft environmental impact report that is a part of the record of the proceedings shall be made available to the public in a readily accessible electronic format within five business days after the document is prepared by the lead agency.(3) Notwithstanding paragraph (2), documents submitted to or relied on by the lead agency that were not prepared specifically for the project and are copyright protected are not required to be made readily accessible in an electronic format. For those copyright-protected documents, the lead agency shall make an index of the documents available in an electronic format no later than the date of the release of the draft environmental impact report, or within five business days if the document is received or relied on by the lead agency after the release of the draft environmental impact report. The index shall specify the libraries or lead agency offices in which hardcopies of the copyrighted materials are available for public review.(4) The lead agency shall encourage written comments on the project to be submitted in a readily accessible electronic format, and shall make any such comments available to the public in a readily accessible electronic format within five days of their receipt.(5) Within seven business days after the receipt of any comment that is not in an electronic format, the lead agency shall convert that comment into a readily accessible electronic format and make it available to the public in that format.(6) The lead agency shall indicate in the record of proceedings comments received that were not considered by the lead agency pursuant to paragraph (6) of subdivision (d) and need not include the content of the comments as a part of the record of proceedings.(7) Within five days after the filing of the notice required by subdivision (a) of Section 21152, the lead agency shall certify the record of proceedings for the approval or determination and shall provide an electronic copy of the record of proceedings to a party that has submitted a written request for a copy. The lead agency may charge and collect a reasonable fee from a party requesting a copy of the record of proceedings for the electronic copy, which shall not exceed the reasonable cost of reproducing that copy.(8) Within 10 days after being served with a complaint or a petition for a writ of mandate, the lead agency shall lodge a copy of the certified record of proceedings with the superior court.(9) Any dispute over the content of the record of proceedings shall be resolved by the superior court. Unless the superior court directs otherwise, a party disputing the content of the record of proceedings shall file a motion to augment the record of proceedings at the time it files its initial brief.(10) The contents of the record of proceedings shall be as set forth in subdivision (e) of Section 21167.6.(f) This section shall remain in effect only until January 1, 2026, and as of that date is repealed.
100112
101113
102114
103-
104-(a)For purposes of this section, the following definitions apply:
105-
106-
115+21168.6.20. (a) For purposes of this section, the following definitions apply:
107116
108117 (1) Project means a pumped hydroelectric energy storage project undertaken by the San Diego County Water Authority in the vicinity of the San Vicente Reservoir in the County of San Diego that has a storage capacity rate not to exceed 4,000 megawatthour per day.
109118
110-
111-
112119 (2) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.
113-
114-
115120
116121 (3) Skilled and trained workforce has the same meaning as provided in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the Public Contract Code.
117122
118-
119-
120123 (b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the project unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.
121-
122-
123124
124125 (2) Paragraph (1) does not apply if any of the following requirements are met:
125126
126-
127-
128127 (A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.
129-
130-
131128
132129 (B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.
133130
134-
135-
136131 (C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.
137-
138-
139132
140133 (c) Rules 3.2220 to 3.2237, inclusive, of the California Rules of Court, as may be amended by the Judicial Council, shall apply to any action or proceeding brought to attack, review, set aside, void, or annul the certification or adoption of any environmental impact report for the project or the granting of any project approvals, to require the action or proceeding, including any potential appeals therefrom, to be resolved, to the extent feasible, within 270 days of the filing of the certified record of proceedings with the court. On or before September 1, 2021, the Judicial Council shall amend the California Rules of Court, as necessary, to implement this subdivision.
141134
142-
143-
144135 (d) (1) The draft and final environmental impact report shall include a notice in not less than 12-point type stating the following:
145-
146-
147136
148137 THIS ENVIRONMENTAL IMPACT REPORT IS SUBJECT TO SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE, WHICH PROVIDES, AMONG OTHER THINGS, THAT THE LEAD AGENCY NEED NOT CONSIDER CERTAIN COMMENTS FILED AFTER THE CLOSE OF THE PUBLIC COMMENT PERIOD, IF ANY, FOR THE DRAFT ENVIRONMENTAL IMPACT REPORT. ANY JUDICIAL ACTION CHALLENGING THE CERTIFICATION OR ADOPTION OF THE ENVIRONMENTAL IMPACT REPORT OR THE APPROVAL OF THE PROJECT DESCRIBED IN SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS SUBJECT TO THE PROCEDURES SET FORTH IN THAT SECTION. A COPY OF SECTION 21168.6.20 OF THE PUBLIC RESOURCES CODE IS INCLUDED IN THE APPENDIX TO THIS ENVIRONMENTAL IMPACT REPORT.
149138
150-
151-
152139 (2) The draft environmental impact report and final environmental impact report shall contain, as an appendix, the full text of this section.
153-
154-
155140
156141 (3) Within 10 days after the release of the draft environmental impact report, the lead agency shall conduct an informational workshop to inform the public of the key analyses and conclusions of that document.
157142
158-
159-
160143 (4) Within 10 days before the close of the public comment period, the lead agency shall hold a public hearing to receive testimony on the draft environmental impact report. A transcript of the hearing shall be included as an appendix to the final environmental impact report.
161-
162-
163144
164145 (5) (A) Within five days following the close of the public comment period, a commenter on the draft environmental impact report may submit to the lead agency a written request for nonbinding mediation. The lead agency shall participate in nonbinding mediation with all commenters who submitted timely comments on the draft environmental impact report and who requested the mediation. Mediation conducted pursuant to this paragraph shall end no later than 35 days after the close of the public comment period.
165146
166-
167-
168147 (B) A request for mediation shall identify all areas of dispute raised in the comment submitted by the commenter that are to be mediated.
169-
170-
171148
172149 (C) The lead agency shall select one or more mediators who shall be retired judges or recognized experts with at least five years of experience in land use and environmental law or science, or mediation. The lead agency shall bear the costs of mediation.
173150
174-
175-
176151 (D) A mediation session shall be conducted on each area of dispute with the parties requesting mediation on that area of dispute.
177-
178-
179152
180153 (E) The lead agency shall adopt, as a condition of approval, any measures agreed upon by the lead agency and any commenter who requested mediation. A commenter who agrees to a measure pursuant to this subparagraph shall not raise the issue addressed by that measure as a basis for an action or proceeding challenging the lead agencys decision to certify or to adopt the environmental impact report or to grant project approval.
181154
182-
183-
184155 (6) The lead agency need not consider written comments submitted after the close of the public comment period, unless those comments address any of the following:
185-
186-
187156
188157 (A) New issues raised in the response to comments by the lead agency.
189158
190-
191-
192159 (B) New information released by the lead agency subsequent to the release of the draft environmental impact report, such as new information set forth or embodied in a staff report, proposed permit, proposed resolution, ordinance, or similar documents.
193-
194-
195160
196161 (C) Changes made to the project after the close of the public comment period.
197162
198-
199-
200163 (D) Proposed conditions for approval, mitigation measures, or proposed findings required by Section 21081 or a proposed reporting or monitoring program required by paragraph (1) of subdivision (a) of Section 21081.6, if the lead agency releases those documents subsequent to the release of the draft environmental impact report.
201-
202-
203164
204165 (E) New information that was not reasonably known and could not have been reasonably known during the public comment period.
205166
206-
207-
208167 (7) The lead agency shall file the notice required by subdivision (a) of Section 21152 within five days after the last initial project approval.
209-
210-
211168
212169 (e) (1) The lead agency shall prepare and certify the record of the proceedings in accordance with this subdivision and in accordance with Rule 3.1365 of the California Rules of Court.
213170
214-
215-
216171 (2) No later than three business days following the date of the release of the draft environmental impact report, the lead agency shall make available to the public in a readily accessible electronic format the draft environmental impact report and all other documents submitted to or relied on by the lead agency in the preparation of the draft environmental impact report. A document prepared by the lead agency after the date of the release of the draft environmental impact report that is a part of the record of the proceedings shall be made available to the public in a readily accessible electronic format within five business days after the document is prepared by the lead agency.
217-
218-
219172
220173 (3) Notwithstanding paragraph (2), documents submitted to or relied on by the lead agency that were not prepared specifically for the project and are copyright protected are not required to be made readily accessible in an electronic format. For those copyright-protected documents, the lead agency shall make an index of the documents available in an electronic format no later than the date of the release of the draft environmental impact report, or within five business days if the document is received or relied on by the lead agency after the release of the draft environmental impact report. The index shall specify the libraries or lead agency offices in which hardcopies of the copyrighted materials are available for public review.
221174
222-
223-
224175 (4) The lead agency shall encourage written comments on the project to be submitted in a readily accessible electronic format, and shall make any such comments available to the public in a readily accessible electronic format within five days of their receipt.
225-
226-
227176
228177 (5) Within seven business days after the receipt of any comment that is not in an electronic format, the lead agency shall convert that comment into a readily accessible electronic format and make it available to the public in that format.
229178
230-
231-
232179 (6) The lead agency shall indicate in the record of proceedings comments received that were not considered by the lead agency pursuant to paragraph (6) of subdivision (d) and need not include the content of the comments as a part of the record of proceedings.
233-
234-
235180
236181 (7) Within five days after the filing of the notice required by subdivision (a) of Section 21152, the lead agency shall certify the record of proceedings for the approval or determination and shall provide an electronic copy of the record of proceedings to a party that has submitted a written request for a copy. The lead agency may charge and collect a reasonable fee from a party requesting a copy of the record of proceedings for the electronic copy, which shall not exceed the reasonable cost of reproducing that copy.
237182
238-
239-
240183 (8) Within 10 days after being served with a complaint or a petition for a writ of mandate, the lead agency shall lodge a copy of the certified record of proceedings with the superior court.
241-
242-
243184
244185 (9) Any dispute over the content of the record of proceedings shall be resolved by the superior court. Unless the superior court directs otherwise, a party disputing the content of the record of proceedings shall file a motion to augment the record of proceedings at the time it files its initial brief.
245186
246-
247-
248187 (10) The contents of the record of proceedings shall be as set forth in subdivision (e) of Section 21167.6.
249-
250-
251188
252189 (f) This section shall remain in effect only until January 1, 2026, and as of that date is repealed.
253190
191+SEC. 3. Section 2837.5 is added to the Public Utilities Code, to read:2837.5. (a) For purposes of this section, the following terms have the following meanings:(1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(2) Department means the Department of Water Resources.(3) Load-serving entity has the same meaning as that defined in Section 380. (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.(B) Long-duration energy storage system does not include either of the following:(i) An energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California. (ii) An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts procuring long-duration energy storage be approved by the commission no later than March 1, 2022. The contracts shall require that the long-duration energy storage systems be operational and providing service between January 1, 2026, and December 31, 2030.(c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).(d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:(1) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.(2) The departments costs shall be recovered from all retail end-use customers of load-serving entities as determined by the commission.(3) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.(e) Except as otherwise set forth in this section and in Section 80220 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.
254192
193+SEC. 3. Section 2837.5 is added to the Public Utilities Code, to read:
255194
256-SEC. 3.SEC. 2. Section 2837.5 is added to the Public Utilities Code, to read:2837.5. (a) For purposes of this section, the following terms have the following meanings:(1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(2) Department means the Department of Water Resources.(3) Load-serving entity has the same meaning as that defined in Section 380. (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.(B) Long-duration energy storage system does not include either of the following:(i)An include an energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California. (ii)An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts of the following: (A) All contracts procuring long-duration energy storage shall be approved by the commission no later than March 1, 2022. The(B) The contracts shall require that the long-duration energy storage systems be operational and providing placed in service between January 1, 2026, and December 31, 2030.(C) The entire capacity of a long-duration energy storage project shall be procured by the load-serving entities subject to the procurement order.(c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).(d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:(1) The department shall consult with the commission and Independent System Operator before undertaking any procurement to ensure that the long-duration energy storage systems from which it procures capacity are consistent with Decision 20-03-028 and meet the needs of the electrical system.(1)(2) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, Section 80110 of the Water Code, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.(2)(3) The departments costs shall be recovered from all retail end-use customers of load-serving entities entities, as determined by the commission.(3)(4) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.(5) The departments authority to procure long-duration energy storage services is limited to achieving the 38,000,000-metric-ton electric sector target identified in Decision 20-03-028. No additional procurement by the department is authorized by this section.(e) Except as otherwise set forth in this section and in Section 80220 80125 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.
195+### SEC. 3.
257196
258-SEC. 3.SEC. 2. Section 2837.5 is added to the Public Utilities Code, to read:
197+2837.5. (a) For purposes of this section, the following terms have the following meanings:(1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(2) Department means the Department of Water Resources.(3) Load-serving entity has the same meaning as that defined in Section 380. (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.(B) Long-duration energy storage system does not include either of the following:(i) An energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California. (ii) An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts procuring long-duration energy storage be approved by the commission no later than March 1, 2022. The contracts shall require that the long-duration energy storage systems be operational and providing service between January 1, 2026, and December 31, 2030.(c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).(d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:(1) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.(2) The departments costs shall be recovered from all retail end-use customers of load-serving entities as determined by the commission.(3) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.(e) Except as otherwise set forth in this section and in Section 80220 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.
259198
260-### SEC. 3.SEC. 2.
199+2837.5. (a) For purposes of this section, the following terms have the following meanings:(1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(2) Department means the Department of Water Resources.(3) Load-serving entity has the same meaning as that defined in Section 380. (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.(B) Long-duration energy storage system does not include either of the following:(i) An energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California. (ii) An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts procuring long-duration energy storage be approved by the commission no later than March 1, 2022. The contracts shall require that the long-duration energy storage systems be operational and providing service between January 1, 2026, and December 31, 2030.(c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).(d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:(1) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.(2) The departments costs shall be recovered from all retail end-use customers of load-serving entities as determined by the commission.(3) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.(e) Except as otherwise set forth in this section and in Section 80220 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.
261200
262-2837.5. (a) For purposes of this section, the following terms have the following meanings:(1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(2) Department means the Department of Water Resources.(3) Load-serving entity has the same meaning as that defined in Section 380. (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.(B) Long-duration energy storage system does not include either of the following:(i)An include an energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California. (ii)An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts of the following: (A) All contracts procuring long-duration energy storage shall be approved by the commission no later than March 1, 2022. The(B) The contracts shall require that the long-duration energy storage systems be operational and providing placed in service between January 1, 2026, and December 31, 2030.(C) The entire capacity of a long-duration energy storage project shall be procured by the load-serving entities subject to the procurement order.(c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).(d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:(1) The department shall consult with the commission and Independent System Operator before undertaking any procurement to ensure that the long-duration energy storage systems from which it procures capacity are consistent with Decision 20-03-028 and meet the needs of the electrical system.(1)(2) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, Section 80110 of the Water Code, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.(2)(3) The departments costs shall be recovered from all retail end-use customers of load-serving entities entities, as determined by the commission.(3)(4) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.(5) The departments authority to procure long-duration energy storage services is limited to achieving the 38,000,000-metric-ton electric sector target identified in Decision 20-03-028. No additional procurement by the department is authorized by this section.(e) Except as otherwise set forth in this section and in Section 80220 80125 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.
263-
264-2837.5. (a) For purposes of this section, the following terms have the following meanings:(1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(2) Department means the Department of Water Resources.(3) Load-serving entity has the same meaning as that defined in Section 380. (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.(B) Long-duration energy storage system does not include either of the following:(i)An include an energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California. (ii)An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts of the following: (A) All contracts procuring long-duration energy storage shall be approved by the commission no later than March 1, 2022. The(B) The contracts shall require that the long-duration energy storage systems be operational and providing placed in service between January 1, 2026, and December 31, 2030.(C) The entire capacity of a long-duration energy storage project shall be procured by the load-serving entities subject to the procurement order.(c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).(d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:(1) The department shall consult with the commission and Independent System Operator before undertaking any procurement to ensure that the long-duration energy storage systems from which it procures capacity are consistent with Decision 20-03-028 and meet the needs of the electrical system.(1)(2) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, Section 80110 of the Water Code, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.(2)(3) The departments costs shall be recovered from all retail end-use customers of load-serving entities entities, as determined by the commission.(3)(4) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.(5) The departments authority to procure long-duration energy storage services is limited to achieving the 38,000,000-metric-ton electric sector target identified in Decision 20-03-028. No additional procurement by the department is authorized by this section.(e) Except as otherwise set forth in this section and in Section 80220 80125 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.
265-
266-2837.5. (a) For purposes of this section, the following terms have the following meanings:(1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(2) Department means the Department of Water Resources.(3) Load-serving entity has the same meaning as that defined in Section 380. (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.(B) Long-duration energy storage system does not include either of the following:(i)An include an energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California. (ii)An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts of the following: (A) All contracts procuring long-duration energy storage shall be approved by the commission no later than March 1, 2022. The(B) The contracts shall require that the long-duration energy storage systems be operational and providing placed in service between January 1, 2026, and December 31, 2030.(C) The entire capacity of a long-duration energy storage project shall be procured by the load-serving entities subject to the procurement order.(c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).(d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:(1) The department shall consult with the commission and Independent System Operator before undertaking any procurement to ensure that the long-duration energy storage systems from which it procures capacity are consistent with Decision 20-03-028 and meet the needs of the electrical system.(1)(2) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, Section 80110 of the Water Code, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.(2)(3) The departments costs shall be recovered from all retail end-use customers of load-serving entities entities, as determined by the commission.(3)(4) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.(5) The departments authority to procure long-duration energy storage services is limited to achieving the 38,000,000-metric-ton electric sector target identified in Decision 20-03-028. No additional procurement by the department is authorized by this section.(e) Except as otherwise set forth in this section and in Section 80220 80125 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.
201+2837.5. (a) For purposes of this section, the following terms have the following meanings:(1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(2) Department means the Department of Water Resources.(3) Load-serving entity has the same meaning as that defined in Section 380. (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.(B) Long-duration energy storage system does not include either of the following:(i) An energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California. (ii) An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts procuring long-duration energy storage be approved by the commission no later than March 1, 2022. The contracts shall require that the long-duration energy storage systems be operational and providing service between January 1, 2026, and December 31, 2030.(c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).(d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:(1) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.(2) The departments costs shall be recovered from all retail end-use customers of load-serving entities as determined by the commission.(3) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.(e) Except as otherwise set forth in this section and in Section 80220 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.
267202
268203
269204
270205 2837.5. (a) For purposes of this section, the following terms have the following meanings:
271206
272207 (1) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.
273208
274209 (2) Department means the Department of Water Resources.
275210
276211 (3) Load-serving entity has the same meaning as that defined in Section 380.
277212
278213 (4) (A) Long-duration energy storage system means an electrolyzer or an energy storage system, as defined in Section 2835, interconnected to the electrical grid in California that has the capability to continuously discharge at its full discharge capacity for at least eight hours, including both energy storage systems designed to complete a full charge and discharge cycle within a single day and those designed to do so over multiple days.
279214
280215 (B) Long-duration energy storage system does not include either of the following:
281216
282-(i)An include an energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California.
217+(i) An energy storage system associated with the Lake Elsinore Advanced Pumped Storage System (LEAPS) located in Lake Elsinore, California.
283218
284219 (ii) An energy storage system whose construction is not subject to a project labor agreement as defined in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.
285220
286-
287-
288221 (b) (1) No later than January 4, 2021, the commission shall report to the Governor, the Independent System Operator, the department, and the Energy Commission on the specific types and amount of long-duration energy storage and in-service dates of that storage included in the integrated resource plans submitted by load-serving entities pursuant to Decision 20-03-028.
289222
290-(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts of the following:
291-
292- (A) All contracts procuring long-duration energy storage shall be approved by the commission no later than March 1, 2022. The
293-
294-(B) The contracts shall require that the long-duration energy storage systems be operational and providing placed in service between January 1, 2026, and December 31, 2030.
295-
296-(C) The entire capacity of a long-duration energy storage project shall be procured by the load-serving entities subject to the procurement order.
223+(2) In the report required pursuant to paragraph (1), the commission shall state whether it intends to propose an order on or before March 1, 2021, requiring load-serving entities, in the aggregate, to procure, at a minimum, the amount of new long-duration energy storage capacity identified in Decision 20-03-028 under the 38,000,000 metric ton electric sector greenhouse gases emissions scenario. That order, if issued, shall require that all contracts procuring long-duration energy storage be approved by the commission no later than March 1, 2022. The contracts shall require that the long-duration energy storage systems be operational and providing service between January 1, 2026, and December 31, 2030.
297224
298225 (c) If the commission does not issue the order specified in subdivision (b) by March 1, 2021, the department shall procure, pursuant to Article 2 (commencing with Section 80125) of Chapter 2 of Division 27 of the Water Code, not less than the required new long-duration energy storage capacity and on the same timeframe as specified in paragraph (2) of subdivision (b).
299226
300227 (d) If the department becomes responsible for the procurement of the long-duration energy storage systems as provided in subdivision (c), all of the following apply:
301228
302-(1) The department shall consult with the commission and Independent System Operator before undertaking any procurement to ensure that the long-duration energy storage systems from which it procures capacity are consistent with Decision 20-03-028 and meet the needs of the electrical system.
229+(1) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.
303230
304-(1)
231+(2) The departments costs shall be recovered from all retail end-use customers of load-serving entities as determined by the commission.
305232
233+(3) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.
306234
307-
308-(2) Long-duration energy storage services procured by the department shall be deemed to have been purchased on behalf of retail end-use customers of load-serving entities and, pursuant to Water Code Section 80110, Section 80110 of the Water Code, the department shall be entitled to recover, as a revenue requirement, at amounts, and at times, necessary to enable it to recover the costs incurred by the procurement.
309-
310-(2)
311-
312-
313-
314-(3) The departments costs shall be recovered from all retail end-use customers of load-serving entities entities, as determined by the commission.
315-
316-(3)
317-
318-
319-
320-(4) The long-term energy storage services procured by the department shall be credited to the load-serving entities long-duration energy storage procurement requirements in proportion to the costs paid by the customers of each load-serving entity, as determined by the commission.
321-
322-(5) The departments authority to procure long-duration energy storage services is limited to achieving the 38,000,000-metric-ton electric sector target identified in Decision 20-03-028. No additional procurement by the department is authorized by this section.
323-
324-(e) Except as otherwise set forth in this section and in Section 80220 80125 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.
325-
326-SEC. 3. Section 2837.6 is added to the Public Utilities Code, to read:2837.6. (a) For purposes of this section, the following definitions apply:(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the development of a long-duration energy storage system, as defined in Section 2837.5, unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all construction work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if any of the following requirements are met:(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.
327-
328-SEC. 3. Section 2837.6 is added to the Public Utilities Code, to read:
329-
330-### SEC. 3.
331-
332-2837.6. (a) For purposes of this section, the following definitions apply:(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the development of a long-duration energy storage system, as defined in Section 2837.5, unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all construction work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if any of the following requirements are met:(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.
333-
334-2837.6. (a) For purposes of this section, the following definitions apply:(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the development of a long-duration energy storage system, as defined in Section 2837.5, unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all construction work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if any of the following requirements are met:(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.
335-
336-2837.6. (a) For purposes of this section, the following definitions apply:(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the development of a long-duration energy storage system, as defined in Section 2837.5, unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all construction work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if any of the following requirements are met:(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.
337-
338-
339-
340-2837.6. (a) For purposes of this section, the following definitions apply:
341-
342-(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.
343-
344-(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.
345-
346-(b) (1) Except as provided in paragraph (2), an entity shall not be prequalified or shortlisted or awarded a contract by the San Diego County Water Authority to perform any portion of the development of a long-duration energy storage system, as defined in Section 2837.5, unless the entity provides an enforceable commitment to the San Diego County Water Authority that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all construction work on the project or contract that falls within an apprenticeable occupation in the building and construction trades.
347-
348-(2) Paragraph (1) does not apply if any of the following requirements are met:
349-
350-(A) The San Diego County Water Authority has entered into a project labor agreement that will bind all contractors and subcontractors performing work on the project or contract to use a skilled and trained workforce, and the entity agrees to be bound by that project labor agreement.
351-
352-(B) The project or contract is being performed under the extension or renewal of a project labor agreement that was entered into by the San Diego County Water Authority before January 1, 2021.
353-
354-(C) The entity has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.
235+(e) Except as otherwise set forth in this section and in Section 80220 of the Water Code, this section does not disrupt, delay, or supersede any procurement of, or otherwise disturb any final finding as to the need for, other generation or storage capacity ordered by the commission, whether before or after January 1, 2021, including requirements established by the commission pursuant to Sections 2837.7 and 454.51 to 454.54, inclusive.
355236
356237 SEC. 4. Section 2837.7 is added to the Public Utilities Code, to read:2837.7. (a) For purposes of this section, long-duration energy storage system has the same meaning as defined in Section 2837.5.(b) It is the intent of the Legislature that the state supports the development of a robust market for long-duration energy storage systems that will eventually be free of commercial barriers, including barriers to multiple technologies and technologies capable of providing storage over multiple days, to cost-effectively integrate increasing amounts of electricity from eligible renewable energy resources and meet the states renewable energy resource goals for 2030 and 2045 as described in subparagraph (B) of paragraph (2) of subdivision (b) of Section 399.15 and subdivision (a) of Section 454.53, while maintaining electrical system operational flexibility and electrical grid reliability. (c) The commission and the Energy Commission shall timely incorporate consideration of long-duration energy storage systems into their energy and resource planning. (d) The commission and the Energy Commission shall consider measures to advance the objective set forth in subdivision (b), including, but not limited to, support through research and development, demonstration, procurement, and incentives. Any measures adopted pursuant to this subdivision shall be in addition to any solicitation process authorized by Section 2837.5. (e) In order to support eligible renewable energy resource goals, to support operational flexibility and reliability, and to enhance resiliency on the local and distribution level, the commission, as part of the integrated resource planning process, shall do all of the following: (1) Evaluate and analyze the potential for long-duration energy storage systems to help integrate generation from eligible renewable energy resources into the electrical grid on a daily, multiday, and seasonal basis, including, but not limited to, consideration of the capacity contribution of long-duration energy storage systems as a function of duration. (2) Identify the role of long-duration energy storage systems to ensure grid reliability during multiday weather events that reduce output from eligible renewable energy resources. (3) Identify mechanisms to encourage eligible renewable energy resources to be increasingly firmed and dispatchable. (4) Develop a long-term assessment of the capacity contribution of combined eligible renewable energy resources and energy storage that considers the installed capacity of the generating and storage resources and storage duration. (5) Incorporate consideration of long-duration energy storage systems into the commissions preferred system plans. (f) This section does not prohibit the commission from evaluating or approving an application for funding or recovery of costs for any ongoing or new development, demonstration, or testing of a long-duration energy storage system outside of the process required by this chapter.
357238
358239 SEC. 4. Section 2837.7 is added to the Public Utilities Code, to read:
359240
360241 ### SEC. 4.
361242
362243 2837.7. (a) For purposes of this section, long-duration energy storage system has the same meaning as defined in Section 2837.5.(b) It is the intent of the Legislature that the state supports the development of a robust market for long-duration energy storage systems that will eventually be free of commercial barriers, including barriers to multiple technologies and technologies capable of providing storage over multiple days, to cost-effectively integrate increasing amounts of electricity from eligible renewable energy resources and meet the states renewable energy resource goals for 2030 and 2045 as described in subparagraph (B) of paragraph (2) of subdivision (b) of Section 399.15 and subdivision (a) of Section 454.53, while maintaining electrical system operational flexibility and electrical grid reliability. (c) The commission and the Energy Commission shall timely incorporate consideration of long-duration energy storage systems into their energy and resource planning. (d) The commission and the Energy Commission shall consider measures to advance the objective set forth in subdivision (b), including, but not limited to, support through research and development, demonstration, procurement, and incentives. Any measures adopted pursuant to this subdivision shall be in addition to any solicitation process authorized by Section 2837.5. (e) In order to support eligible renewable energy resource goals, to support operational flexibility and reliability, and to enhance resiliency on the local and distribution level, the commission, as part of the integrated resource planning process, shall do all of the following: (1) Evaluate and analyze the potential for long-duration energy storage systems to help integrate generation from eligible renewable energy resources into the electrical grid on a daily, multiday, and seasonal basis, including, but not limited to, consideration of the capacity contribution of long-duration energy storage systems as a function of duration. (2) Identify the role of long-duration energy storage systems to ensure grid reliability during multiday weather events that reduce output from eligible renewable energy resources. (3) Identify mechanisms to encourage eligible renewable energy resources to be increasingly firmed and dispatchable. (4) Develop a long-term assessment of the capacity contribution of combined eligible renewable energy resources and energy storage that considers the installed capacity of the generating and storage resources and storage duration. (5) Incorporate consideration of long-duration energy storage systems into the commissions preferred system plans. (f) This section does not prohibit the commission from evaluating or approving an application for funding or recovery of costs for any ongoing or new development, demonstration, or testing of a long-duration energy storage system outside of the process required by this chapter.
363244
364245 2837.7. (a) For purposes of this section, long-duration energy storage system has the same meaning as defined in Section 2837.5.(b) It is the intent of the Legislature that the state supports the development of a robust market for long-duration energy storage systems that will eventually be free of commercial barriers, including barriers to multiple technologies and technologies capable of providing storage over multiple days, to cost-effectively integrate increasing amounts of electricity from eligible renewable energy resources and meet the states renewable energy resource goals for 2030 and 2045 as described in subparagraph (B) of paragraph (2) of subdivision (b) of Section 399.15 and subdivision (a) of Section 454.53, while maintaining electrical system operational flexibility and electrical grid reliability. (c) The commission and the Energy Commission shall timely incorporate consideration of long-duration energy storage systems into their energy and resource planning. (d) The commission and the Energy Commission shall consider measures to advance the objective set forth in subdivision (b), including, but not limited to, support through research and development, demonstration, procurement, and incentives. Any measures adopted pursuant to this subdivision shall be in addition to any solicitation process authorized by Section 2837.5. (e) In order to support eligible renewable energy resource goals, to support operational flexibility and reliability, and to enhance resiliency on the local and distribution level, the commission, as part of the integrated resource planning process, shall do all of the following: (1) Evaluate and analyze the potential for long-duration energy storage systems to help integrate generation from eligible renewable energy resources into the electrical grid on a daily, multiday, and seasonal basis, including, but not limited to, consideration of the capacity contribution of long-duration energy storage systems as a function of duration. (2) Identify the role of long-duration energy storage systems to ensure grid reliability during multiday weather events that reduce output from eligible renewable energy resources. (3) Identify mechanisms to encourage eligible renewable energy resources to be increasingly firmed and dispatchable. (4) Develop a long-term assessment of the capacity contribution of combined eligible renewable energy resources and energy storage that considers the installed capacity of the generating and storage resources and storage duration. (5) Incorporate consideration of long-duration energy storage systems into the commissions preferred system plans. (f) This section does not prohibit the commission from evaluating or approving an application for funding or recovery of costs for any ongoing or new development, demonstration, or testing of a long-duration energy storage system outside of the process required by this chapter.
365246
366247 2837.7. (a) For purposes of this section, long-duration energy storage system has the same meaning as defined in Section 2837.5.(b) It is the intent of the Legislature that the state supports the development of a robust market for long-duration energy storage systems that will eventually be free of commercial barriers, including barriers to multiple technologies and technologies capable of providing storage over multiple days, to cost-effectively integrate increasing amounts of electricity from eligible renewable energy resources and meet the states renewable energy resource goals for 2030 and 2045 as described in subparagraph (B) of paragraph (2) of subdivision (b) of Section 399.15 and subdivision (a) of Section 454.53, while maintaining electrical system operational flexibility and electrical grid reliability. (c) The commission and the Energy Commission shall timely incorporate consideration of long-duration energy storage systems into their energy and resource planning. (d) The commission and the Energy Commission shall consider measures to advance the objective set forth in subdivision (b), including, but not limited to, support through research and development, demonstration, procurement, and incentives. Any measures adopted pursuant to this subdivision shall be in addition to any solicitation process authorized by Section 2837.5. (e) In order to support eligible renewable energy resource goals, to support operational flexibility and reliability, and to enhance resiliency on the local and distribution level, the commission, as part of the integrated resource planning process, shall do all of the following: (1) Evaluate and analyze the potential for long-duration energy storage systems to help integrate generation from eligible renewable energy resources into the electrical grid on a daily, multiday, and seasonal basis, including, but not limited to, consideration of the capacity contribution of long-duration energy storage systems as a function of duration. (2) Identify the role of long-duration energy storage systems to ensure grid reliability during multiday weather events that reduce output from eligible renewable energy resources. (3) Identify mechanisms to encourage eligible renewable energy resources to be increasingly firmed and dispatchable. (4) Develop a long-term assessment of the capacity contribution of combined eligible renewable energy resources and energy storage that considers the installed capacity of the generating and storage resources and storage duration. (5) Incorporate consideration of long-duration energy storage systems into the commissions preferred system plans. (f) This section does not prohibit the commission from evaluating or approving an application for funding or recovery of costs for any ongoing or new development, demonstration, or testing of a long-duration energy storage system outside of the process required by this chapter.
367248
368249
369250
370251 2837.7. (a) For purposes of this section, long-duration energy storage system has the same meaning as defined in Section 2837.5.
371252
372253 (b) It is the intent of the Legislature that the state supports the development of a robust market for long-duration energy storage systems that will eventually be free of commercial barriers, including barriers to multiple technologies and technologies capable of providing storage over multiple days, to cost-effectively integrate increasing amounts of electricity from eligible renewable energy resources and meet the states renewable energy resource goals for 2030 and 2045 as described in subparagraph (B) of paragraph (2) of subdivision (b) of Section 399.15 and subdivision (a) of Section 454.53, while maintaining electrical system operational flexibility and electrical grid reliability.
373254
374255 (c) The commission and the Energy Commission shall timely incorporate consideration of long-duration energy storage systems into their energy and resource planning.
375256
376257 (d) The commission and the Energy Commission shall consider measures to advance the objective set forth in subdivision (b), including, but not limited to, support through research and development, demonstration, procurement, and incentives. Any measures adopted pursuant to this subdivision shall be in addition to any solicitation process authorized by Section 2837.5.
377258
378259 (e) In order to support eligible renewable energy resource goals, to support operational flexibility and reliability, and to enhance resiliency on the local and distribution level, the commission, as part of the integrated resource planning process, shall do all of the following:
379260
380261 (1) Evaluate and analyze the potential for long-duration energy storage systems to help integrate generation from eligible renewable energy resources into the electrical grid on a daily, multiday, and seasonal basis, including, but not limited to, consideration of the capacity contribution of long-duration energy storage systems as a function of duration.
381262
382263 (2) Identify the role of long-duration energy storage systems to ensure grid reliability during multiday weather events that reduce output from eligible renewable energy resources.
383264
384265 (3) Identify mechanisms to encourage eligible renewable energy resources to be increasingly firmed and dispatchable.
385266
386267 (4) Develop a long-term assessment of the capacity contribution of combined eligible renewable energy resources and energy storage that considers the installed capacity of the generating and storage resources and storage duration.
387268
388269 (5) Incorporate consideration of long-duration energy storage systems into the commissions preferred system plans.
389270
390271 (f) This section does not prohibit the commission from evaluating or approving an application for funding or recovery of costs for any ongoing or new development, demonstration, or testing of a long-duration energy storage system outside of the process required by this chapter.
391272
392273 SEC. 5. Section 80001 is added to the Water Code, to read:80001. The Legislature further finds and declares that the effort to reduce emissions of greenhouse gases is essential for the safety, health, and well-being of the people of California. A number of factors create significant challenges to the Public Utilities Commissions ability to meet the states need for large scale long-duration energy storage projects with multiple beneficiary system-side grid benefits in the timeframe identified by the Public Utilities Commissions modeling in the 20192020 integrated resource planning proceeding and warrant requiring the department to undertake this effort should the commission not do so.
393274
394275 SEC. 5. Section 80001 is added to the Water Code, to read:
395276
396277 ### SEC. 5.
397278
398279 80001. The Legislature further finds and declares that the effort to reduce emissions of greenhouse gases is essential for the safety, health, and well-being of the people of California. A number of factors create significant challenges to the Public Utilities Commissions ability to meet the states need for large scale long-duration energy storage projects with multiple beneficiary system-side grid benefits in the timeframe identified by the Public Utilities Commissions modeling in the 20192020 integrated resource planning proceeding and warrant requiring the department to undertake this effort should the commission not do so.
399280
400281 80001. The Legislature further finds and declares that the effort to reduce emissions of greenhouse gases is essential for the safety, health, and well-being of the people of California. A number of factors create significant challenges to the Public Utilities Commissions ability to meet the states need for large scale long-duration energy storage projects with multiple beneficiary system-side grid benefits in the timeframe identified by the Public Utilities Commissions modeling in the 20192020 integrated resource planning proceeding and warrant requiring the department to undertake this effort should the commission not do so.
401282
402283 80001. The Legislature further finds and declares that the effort to reduce emissions of greenhouse gases is essential for the safety, health, and well-being of the people of California. A number of factors create significant challenges to the Public Utilities Commissions ability to meet the states need for large scale long-duration energy storage projects with multiple beneficiary system-side grid benefits in the timeframe identified by the Public Utilities Commissions modeling in the 20192020 integrated resource planning proceeding and warrant requiring the department to undertake this effort should the commission not do so.
403284
404285
405286
406287 80001. The Legislature further finds and declares that the effort to reduce emissions of greenhouse gases is essential for the safety, health, and well-being of the people of California. A number of factors create significant challenges to the Public Utilities Commissions ability to meet the states need for large scale long-duration energy storage projects with multiple beneficiary system-side grid benefits in the timeframe identified by the Public Utilities Commissions modeling in the 20192020 integrated resource planning proceeding and warrant requiring the department to undertake this effort should the commission not do so.
407288
408-SEC. 6. Section 80002.6 is added to the Water Code, to read:80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, power, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output. power.
289+SEC. 6. Section 80002.6 is added to the Water Code, to read:80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output.
409290
410291 SEC. 6. Section 80002.6 is added to the Water Code, to read:
411292
412293 ### SEC. 6.
413294
414-80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, power, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output. power.
295+80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output.
415296
416-80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, power, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output. power.
297+80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output.
417298
418-80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, power, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output. power.
299+80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output.
419300
420301
421302
422-80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, power, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output. power.
303+80002.6. It is the intent of the Legislature that electrical capacity and output acquired by the department pursuant to Section 2837.5 of the Public Utilities Code shall provide energy storage services that will, among other things, facilitate the integration of eligible renewable resources, enhance grid balancing, reduce emissions of greenhouse gases, and minimize curtailment of generation by eligible renewable energy resources and that these services are for the benefit of the retail end-use customers being served by load-serving entities in light of the system-wide benefits that will be realized. Notwithstanding the foregoing, the department may sell electrical capacity and output, to the extent practicable, as determined by the department, to those local publicly owned electric utilities requesting that electrical capacity and output.
423304
424-SEC. 7. Section 80010 of the Water Code is amended to read:80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:(a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.(b) Commission means the Public Utilities Commission.(c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.(e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.(f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.(g) Local publicly owned electric utility has the same meaning as defined in Section 224.3 of the Public Utilities Code.(h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.(i) Power means electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.(j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.
305+SEC. 7. Section 80010 of the Water Code is amended to read:80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:(a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.(b) Commission means the Public Utilities Commission.(c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(c)(d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.(d)(e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.(f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.(e)(g) Local publicly owned electric utility includes the entities defined in subdivision (d) of Section 9604 of the Public Utilities Code and publicly owned utilities that provide electricity. has the same meaning as defined in Section 224.3 of the Public Utilities Code.(h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.(f)(i) Power means electric power electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.(g)(j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.
425306
426307 SEC. 7. Section 80010 of the Water Code is amended to read:
427308
428309 ### SEC. 7.
429310
430-80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:(a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.(b) Commission means the Public Utilities Commission.(c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.(e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.(f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.(g) Local publicly owned electric utility has the same meaning as defined in Section 224.3 of the Public Utilities Code.(h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.(i) Power means electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.(j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.
311+80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:(a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.(b) Commission means the Public Utilities Commission.(c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(c)(d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.(d)(e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.(f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.(e)(g) Local publicly owned electric utility includes the entities defined in subdivision (d) of Section 9604 of the Public Utilities Code and publicly owned utilities that provide electricity. has the same meaning as defined in Section 224.3 of the Public Utilities Code.(h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.(f)(i) Power means electric power electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.(g)(j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.
431312
432-80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:(a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.(b) Commission means the Public Utilities Commission.(c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.(e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.(f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.(g) Local publicly owned electric utility has the same meaning as defined in Section 224.3 of the Public Utilities Code.(h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.(i) Power means electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.(j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.
313+80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:(a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.(b) Commission means the Public Utilities Commission.(c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(c)(d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.(d)(e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.(f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.(e)(g) Local publicly owned electric utility includes the entities defined in subdivision (d) of Section 9604 of the Public Utilities Code and publicly owned utilities that provide electricity. has the same meaning as defined in Section 224.3 of the Public Utilities Code.(h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.(f)(i) Power means electric power electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.(g)(j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.
433314
434-80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:(a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.(b) Commission means the Public Utilities Commission.(c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.(e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.(f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.(g) Local publicly owned electric utility has the same meaning as defined in Section 224.3 of the Public Utilities Code.(h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.(i) Power means electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.(j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.
315+80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:(a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.(b) Commission means the Public Utilities Commission.(c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.(c)(d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.(d)(e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.(f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.(e)(g) Local publicly owned electric utility includes the entities defined in subdivision (d) of Section 9604 of the Public Utilities Code and publicly owned utilities that provide electricity. has the same meaning as defined in Section 224.3 of the Public Utilities Code.(h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.(f)(i) Power means electric power electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.(g)(j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.
435316
436317
437318
438319 80010. As used in this division, unless the context otherwise requires, the following terms have the following meanings:
439320
440321 (a) Bonds means bonds, notes, or other evidences of indebtedness issued solely for the purposes of paying the cost of electric power and transmission, scheduling, and other related expenses incurred by the department on and after the effective date of this division, or to reimburse expenditures from the fund for those purposes; repaying to the General Fund any advances made to the department from appropriations made to the fund pursuant hereto or hereafter for purposes of this division, any advances made to the department from the Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001; establishing or maintaining reserves in connection with the bonds; costs of issuance of bonds or incidental to their payment or security; capitalized interest; or to renew or refund any bonds.
441322
442323 (b) Commission means the Public Utilities Commission.
443324
444325 (c) Decision 20-03-028 means commission Decision 20-03-028 (March 26, 2020) 20192020 Electric Resource Portfolios to Inform Integrated Resource Plans and Transmission Planning.
445326
327+(c)
328+
329+
330+
446331 (d) Electrical corporation has the same meaning as that term is defined in Section 218 of the Public Utilities Code.
332+
333+(d)
334+
335+
447336
448337 (e) Fund means the Department of Water Resources Electric Power Fund established by Section 80200.
449338
450339 (f) Load-serving entity has the same meaning as that defined in Section 380 of the Public Utilities Code.
451340
452-(g) Local publicly owned electric utility has the same meaning as defined in Section 224.3 of the Public Utilities Code.
341+(e)
342+
343+
344+
345+(g) Local publicly owned electric utility includes the entities defined in subdivision (d) of Section 9604 of the Public Utilities Code and publicly owned utilities that provide electricity. has the same meaning as defined in Section 224.3 of the Public Utilities Code.
453346
454347 (h) Long-duration energy storage system has the same meaning as defined in subdivision (a) of Section 2837.5 of the Public Utilities Code.
455348
456-(i) Power means electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.
349+(f)
350+
351+
352+
353+(i) Power means electric power electricity and energy, including, but not limited to, capacity and output, or any of them. Power shall also include energy storage service available from a long-duration energy storage system.
354+
355+(g)
356+
357+
457358
458359 (j) Public utility has the same meaning as that term is defined in Section 216 of the Public Utilities Code.
459360
460361 SEC. 8. Section 80013 is added to the Water Code, to read:80013. The department shall do those things necessary and authorized pursuant to Article 2 (commencing with Section 80125) to enter into long-duration energy storage agreements for electrical capacity and output pursuant to Section 2837.5 of Public Utilities Code.
461362
462363 SEC. 8. Section 80013 is added to the Water Code, to read:
463364
464365 ### SEC. 8.
465366
466367 80013. The department shall do those things necessary and authorized pursuant to Article 2 (commencing with Section 80125) to enter into long-duration energy storage agreements for electrical capacity and output pursuant to Section 2837.5 of Public Utilities Code.
467368
468369 80013. The department shall do those things necessary and authorized pursuant to Article 2 (commencing with Section 80125) to enter into long-duration energy storage agreements for electrical capacity and output pursuant to Section 2837.5 of Public Utilities Code.
469370
470371 80013. The department shall do those things necessary and authorized pursuant to Article 2 (commencing with Section 80125) to enter into long-duration energy storage agreements for electrical capacity and output pursuant to Section 2837.5 of Public Utilities Code.
471372
472373
473374
474375 80013. The department shall do those things necessary and authorized pursuant to Article 2 (commencing with Section 80125) to enter into long-duration energy storage agreements for electrical capacity and output pursuant to Section 2837.5 of Public Utilities Code.
475376
476-SEC. 9. Article 2 (commencing with Section 80125) is added to Chapter 2 of Division 27 of the Water Code, to read: Article 2. Long-Duration Energy Storage80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:(a) The energy storage agreement requires the long-duration energy storage system to meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.(b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.(c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.(d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output power provided by the long-duration energy storage system.(f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.(g) Before commercial operation the developer shall provide periodic progress reports.(h) The entire capacity of each long-duration energy storage project shall be procured by the department pursuant to this procurement.80125.2. (a) For purposes of this article, costs incurred pursuant to an agreement to procure long-duration energy storage shall be just and reasonable if either of the following is true:(1) The long-duration energy storage agreement price is at or below the cost assumptions the commission used for long-duration energy storage in Decision 20-03-028.(2) The developer of the long-duration energy storage system is able to establish to the departments satisfaction that the costs in excess of the commissions cost assumptions described in paragraph (1) are justifiable in light of documented or projected costs and confirmed by an independent evaluator, provided, however, those costs shall not exceed the cost assumption benchmarks identified in paragraph (1) by more than 15 percent in aggregate.(b) The department shall have no obligation to execute an agreement for the procurement of long-duration energy storage services contract if the developer is found to have misrepresented its costs in any material respect or if the agreement would not satisfy subdivision (a).(c)The department shall not enter into a long-duration energy storage services contract under this section if the associated long-duration energy storage project is subject to review under Division 13 (commencing with Section 21000) of the Public Resources Code unless it finds that the project developer has agreed to acceptable mitigation measures to avoid significant impact on any tribal cultural resource, as defined in subdivision (a) or (b) of Section 21074 of Public Resources Code. The department shall not make this finding unless the California Native American Tribe, if any, that is culturally and traditionally affiliated with the geographic area in which the project is located concurs in this finding.80125.4. (a) A long-duration energy storage agreement made pursuant to this article may provide for assignment on any terms and conditions as the agreement may specify. The agreements shall allow assignment to a central procurement authority, if one is created, so long as the payment and security provisions are comparable to those provided in this article.(b) Any long-duration energy storage agreement shall contain any contractual terms and security provisions as are determined by the department to be necessary or appropriate and the department may enter into such arrangements as may be necessary or appropriate.(c)Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors to use a multicraft project labor agreement, as that term is defined paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code, for construction and contracted out maintenance of the long-duration energy storage system facility. The project labor agreements shall conform to the industry standard agreements recently used for private large thermal powerplant projects, including side letters for high-voltage transmission and related work.80125.5. (a) For purposes of this section, the following definitions apply:(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.(b) (1) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors and its subcontractors at every tier to use a skilled and trained workforce to perform all construction and contracted-out maintenance work on the project that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if the developer or its general contractor has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.80125.6. Upon the delivery of electrical capacity and output power pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output power from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output power to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate. The revenue requirements shall be recovered through a cost-of-service or similar rate that is not to be charged to end-use customers until the date of operation of a project delivering energy storage services pursuant to this article.(b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.(c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output power to the customers.80126.2. All money collected with respect to any electrical capacity or output power acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output power acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output power from or sell electrical output and capacity power to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output power purchased by the department pursuant to this article.80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. 2023. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.(b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.(c) Contract for the services of other public agencies.(d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.80127. For purposes of any agreements entered into pursuant to this article, the department shall not rely upon or otherwise use the authority provided in Article 1 (commencing with Sections 80100) or Chapter 2.5 (commencing with Sections 80130), with the exception of Section 80134, which shall apply to commitments made pursuant to this article.
377+SEC. 9. Article 2 (commencing with Section 80125) is added to Chapter 2 of Division 27 of the Water Code, to read: Article 2. Long-Duration Energy Storage80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:(a) The energy storage agreement requires the long-duration energy storage system meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.(b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.(c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.(d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output provided by the long-duration energy storage system.(f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.(g) Before commercial operation the developer shall provide periodic progress reports.80125.2. (a) For purposes of this article, costs incurred pursuant to an agreement to procure long-duration energy storage shall be just and reasonable if either of the following is true:(1) The long-duration energy storage agreement price is at or below the cost assumptions the commission used for long-duration energy storage in Decision 20-03-028.(2) The developer of the long-duration energy storage system is able to establish to the departments satisfaction that the costs in excess of the commissions cost assumptions described in paragraph (1) are justifiable in light of documented or projected costs and confirmed by an independent evaluator, provided, however, those costs shall not exceed the cost assumption benchmarks identified in paragraph (1) by more than 15 percent in aggregate.(b) The department shall have no obligation to execute an agreement for the procurement of long-duration energy storage services contract if the developer is found to have misrepresented its costs in any material respect or if the agreement would not satisfy subdivision (a).(c) The department shall not enter into a long-duration energy storage services contract under this section if the associated long-duration energy storage project is subject to review under Division 13 (commencing with Section 21000) of the Public Resources Code unless it finds that the project developer has agreed to acceptable mitigation measures to avoid significant impact on any tribal cultural resource, as defined in subdivision (a) or (b) of Section 21074 of Public Resources Code. The department shall not make this finding unless the California Native American Tribe, if any, that is culturally and traditionally affiliated with the geographic area in which the project is located concurs in this finding.80125.4. (a) A long-duration energy storage agreement made pursuant to this article may provide for assignment on any terms and conditions as the agreement may specify. The agreements shall allow assignment to a central procurement authority, if one is created, so long as the payment and security provisions are comparable to those provided in this article.(b) Any long-duration energy storage agreement shall contain any contractual terms and security provisions as are determined by the department to be necessary or appropriate and the department may enter into such arrangements as may be necessary or appropriate.(c) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors to use a multicraft project labor agreement, as that term is defined paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code, for construction and contracted out maintenance of the long-duration energy storage system facility. The project labor agreements shall conform to the industry standard agreements recently used for private large thermal powerplant projects, including side letters for high-voltage transmission and related work.80125.6. Upon the delivery of electrical capacity and output pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate.(b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.(c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output to the customers.80126.2. All money collected with respect to any electrical capacity or output acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output from or sell electrical output and capacity to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output purchased by the department pursuant to this article.80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.(b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.(c) Contract for the services of other public agencies.(d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.80127. For purposes of any agreements entered into pursuant to this article, the department shall not rely upon or otherwise use the authority provided in Article 1 (commencing with Sections 80100) or Chapter 2.5 (commencing with Sections 80130), with the exception of Section 80134, which shall apply to commitments made pursuant to this article.
477378
478379 SEC. 9. Article 2 (commencing with Section 80125) is added to Chapter 2 of Division 27 of the Water Code, to read:
479380
480381 ### SEC. 9.
481382
482- Article 2. Long-Duration Energy Storage80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:(a) The energy storage agreement requires the long-duration energy storage system to meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.(b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.(c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.(d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output power provided by the long-duration energy storage system.(f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.(g) Before commercial operation the developer shall provide periodic progress reports.(h) The entire capacity of each long-duration energy storage project shall be procured by the department pursuant to this procurement.80125.2. (a) For purposes of this article, costs incurred pursuant to an agreement to procure long-duration energy storage shall be just and reasonable if either of the following is true:(1) The long-duration energy storage agreement price is at or below the cost assumptions the commission used for long-duration energy storage in Decision 20-03-028.(2) The developer of the long-duration energy storage system is able to establish to the departments satisfaction that the costs in excess of the commissions cost assumptions described in paragraph (1) are justifiable in light of documented or projected costs and confirmed by an independent evaluator, provided, however, those costs shall not exceed the cost assumption benchmarks identified in paragraph (1) by more than 15 percent in aggregate.(b) The department shall have no obligation to execute an agreement for the procurement of long-duration energy storage services contract if the developer is found to have misrepresented its costs in any material respect or if the agreement would not satisfy subdivision (a).(c)The department shall not enter into a long-duration energy storage services contract under this section if the associated long-duration energy storage project is subject to review under Division 13 (commencing with Section 21000) of the Public Resources Code unless it finds that the project developer has agreed to acceptable mitigation measures to avoid significant impact on any tribal cultural resource, as defined in subdivision (a) or (b) of Section 21074 of Public Resources Code. The department shall not make this finding unless the California Native American Tribe, if any, that is culturally and traditionally affiliated with the geographic area in which the project is located concurs in this finding.80125.4. (a) A long-duration energy storage agreement made pursuant to this article may provide for assignment on any terms and conditions as the agreement may specify. The agreements shall allow assignment to a central procurement authority, if one is created, so long as the payment and security provisions are comparable to those provided in this article.(b) Any long-duration energy storage agreement shall contain any contractual terms and security provisions as are determined by the department to be necessary or appropriate and the department may enter into such arrangements as may be necessary or appropriate.(c)Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors to use a multicraft project labor agreement, as that term is defined paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code, for construction and contracted out maintenance of the long-duration energy storage system facility. The project labor agreements shall conform to the industry standard agreements recently used for private large thermal powerplant projects, including side letters for high-voltage transmission and related work.80125.5. (a) For purposes of this section, the following definitions apply:(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.(b) (1) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors and its subcontractors at every tier to use a skilled and trained workforce to perform all construction and contracted-out maintenance work on the project that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if the developer or its general contractor has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.80125.6. Upon the delivery of electrical capacity and output power pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output power from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output power to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate. The revenue requirements shall be recovered through a cost-of-service or similar rate that is not to be charged to end-use customers until the date of operation of a project delivering energy storage services pursuant to this article.(b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.(c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output power to the customers.80126.2. All money collected with respect to any electrical capacity or output power acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output power acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output power from or sell electrical output and capacity power to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output power purchased by the department pursuant to this article.80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. 2023. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.(b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.(c) Contract for the services of other public agencies.(d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.80127. For purposes of any agreements entered into pursuant to this article, the department shall not rely upon or otherwise use the authority provided in Article 1 (commencing with Sections 80100) or Chapter 2.5 (commencing with Sections 80130), with the exception of Section 80134, which shall apply to commitments made pursuant to this article.
383+ Article 2. Long-Duration Energy Storage80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:(a) The energy storage agreement requires the long-duration energy storage system meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.(b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.(c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.(d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output provided by the long-duration energy storage system.(f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.(g) Before commercial operation the developer shall provide periodic progress reports.80125.2. (a) For purposes of this article, costs incurred pursuant to an agreement to procure long-duration energy storage shall be just and reasonable if either of the following is true:(1) The long-duration energy storage agreement price is at or below the cost assumptions the commission used for long-duration energy storage in Decision 20-03-028.(2) The developer of the long-duration energy storage system is able to establish to the departments satisfaction that the costs in excess of the commissions cost assumptions described in paragraph (1) are justifiable in light of documented or projected costs and confirmed by an independent evaluator, provided, however, those costs shall not exceed the cost assumption benchmarks identified in paragraph (1) by more than 15 percent in aggregate.(b) The department shall have no obligation to execute an agreement for the procurement of long-duration energy storage services contract if the developer is found to have misrepresented its costs in any material respect or if the agreement would not satisfy subdivision (a).(c) The department shall not enter into a long-duration energy storage services contract under this section if the associated long-duration energy storage project is subject to review under Division 13 (commencing with Section 21000) of the Public Resources Code unless it finds that the project developer has agreed to acceptable mitigation measures to avoid significant impact on any tribal cultural resource, as defined in subdivision (a) or (b) of Section 21074 of Public Resources Code. The department shall not make this finding unless the California Native American Tribe, if any, that is culturally and traditionally affiliated with the geographic area in which the project is located concurs in this finding.80125.4. (a) A long-duration energy storage agreement made pursuant to this article may provide for assignment on any terms and conditions as the agreement may specify. The agreements shall allow assignment to a central procurement authority, if one is created, so long as the payment and security provisions are comparable to those provided in this article.(b) Any long-duration energy storage agreement shall contain any contractual terms and security provisions as are determined by the department to be necessary or appropriate and the department may enter into such arrangements as may be necessary or appropriate.(c) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors to use a multicraft project labor agreement, as that term is defined paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code, for construction and contracted out maintenance of the long-duration energy storage system facility. The project labor agreements shall conform to the industry standard agreements recently used for private large thermal powerplant projects, including side letters for high-voltage transmission and related work.80125.6. Upon the delivery of electrical capacity and output pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate.(b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.(c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output to the customers.80126.2. All money collected with respect to any electrical capacity or output acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output from or sell electrical output and capacity to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output purchased by the department pursuant to this article.80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.(b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.(c) Contract for the services of other public agencies.(d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.80127. For purposes of any agreements entered into pursuant to this article, the department shall not rely upon or otherwise use the authority provided in Article 1 (commencing with Sections 80100) or Chapter 2.5 (commencing with Sections 80130), with the exception of Section 80134, which shall apply to commitments made pursuant to this article.
483384
484- Article 2. Long-Duration Energy Storage80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:(a) The energy storage agreement requires the long-duration energy storage system to meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.(b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.(c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.(d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output power provided by the long-duration energy storage system.(f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.(g) Before commercial operation the developer shall provide periodic progress reports.(h) The entire capacity of each long-duration energy storage project shall be procured by the department pursuant to this procurement.80125.2. (a) For purposes of this article, costs incurred pursuant to an agreement to procure long-duration energy storage shall be just and reasonable if either of the following is true:(1) The long-duration energy storage agreement price is at or below the cost assumptions the commission used for long-duration energy storage in Decision 20-03-028.(2) The developer of the long-duration energy storage system is able to establish to the departments satisfaction that the costs in excess of the commissions cost assumptions described in paragraph (1) are justifiable in light of documented or projected costs and confirmed by an independent evaluator, provided, however, those costs shall not exceed the cost assumption benchmarks identified in paragraph (1) by more than 15 percent in aggregate.(b) The department shall have no obligation to execute an agreement for the procurement of long-duration energy storage services contract if the developer is found to have misrepresented its costs in any material respect or if the agreement would not satisfy subdivision (a).(c)The department shall not enter into a long-duration energy storage services contract under this section if the associated long-duration energy storage project is subject to review under Division 13 (commencing with Section 21000) of the Public Resources Code unless it finds that the project developer has agreed to acceptable mitigation measures to avoid significant impact on any tribal cultural resource, as defined in subdivision (a) or (b) of Section 21074 of Public Resources Code. The department shall not make this finding unless the California Native American Tribe, if any, that is culturally and traditionally affiliated with the geographic area in which the project is located concurs in this finding.80125.4. (a) A long-duration energy storage agreement made pursuant to this article may provide for assignment on any terms and conditions as the agreement may specify. The agreements shall allow assignment to a central procurement authority, if one is created, so long as the payment and security provisions are comparable to those provided in this article.(b) Any long-duration energy storage agreement shall contain any contractual terms and security provisions as are determined by the department to be necessary or appropriate and the department may enter into such arrangements as may be necessary or appropriate.(c)Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors to use a multicraft project labor agreement, as that term is defined paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code, for construction and contracted out maintenance of the long-duration energy storage system facility. The project labor agreements shall conform to the industry standard agreements recently used for private large thermal powerplant projects, including side letters for high-voltage transmission and related work.80125.5. (a) For purposes of this section, the following definitions apply:(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.(b) (1) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors and its subcontractors at every tier to use a skilled and trained workforce to perform all construction and contracted-out maintenance work on the project that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if the developer or its general contractor has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.80125.6. Upon the delivery of electrical capacity and output power pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output power from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output power to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate. The revenue requirements shall be recovered through a cost-of-service or similar rate that is not to be charged to end-use customers until the date of operation of a project delivering energy storage services pursuant to this article.(b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.(c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output power to the customers.80126.2. All money collected with respect to any electrical capacity or output power acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output power acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output power from or sell electrical output and capacity power to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output power purchased by the department pursuant to this article.80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. 2023. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.(b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.(c) Contract for the services of other public agencies.(d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.80127. For purposes of any agreements entered into pursuant to this article, the department shall not rely upon or otherwise use the authority provided in Article 1 (commencing with Sections 80100) or Chapter 2.5 (commencing with Sections 80130), with the exception of Section 80134, which shall apply to commitments made pursuant to this article.
385+ Article 2. Long-Duration Energy Storage80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:(a) The energy storage agreement requires the long-duration energy storage system meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.(b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.(c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.(d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output provided by the long-duration energy storage system.(f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.(g) Before commercial operation the developer shall provide periodic progress reports.80125.2. (a) For purposes of this article, costs incurred pursuant to an agreement to procure long-duration energy storage shall be just and reasonable if either of the following is true:(1) The long-duration energy storage agreement price is at or below the cost assumptions the commission used for long-duration energy storage in Decision 20-03-028.(2) The developer of the long-duration energy storage system is able to establish to the departments satisfaction that the costs in excess of the commissions cost assumptions described in paragraph (1) are justifiable in light of documented or projected costs and confirmed by an independent evaluator, provided, however, those costs shall not exceed the cost assumption benchmarks identified in paragraph (1) by more than 15 percent in aggregate.(b) The department shall have no obligation to execute an agreement for the procurement of long-duration energy storage services contract if the developer is found to have misrepresented its costs in any material respect or if the agreement would not satisfy subdivision (a).(c) The department shall not enter into a long-duration energy storage services contract under this section if the associated long-duration energy storage project is subject to review under Division 13 (commencing with Section 21000) of the Public Resources Code unless it finds that the project developer has agreed to acceptable mitigation measures to avoid significant impact on any tribal cultural resource, as defined in subdivision (a) or (b) of Section 21074 of Public Resources Code. The department shall not make this finding unless the California Native American Tribe, if any, that is culturally and traditionally affiliated with the geographic area in which the project is located concurs in this finding.80125.4. (a) A long-duration energy storage agreement made pursuant to this article may provide for assignment on any terms and conditions as the agreement may specify. The agreements shall allow assignment to a central procurement authority, if one is created, so long as the payment and security provisions are comparable to those provided in this article.(b) Any long-duration energy storage agreement shall contain any contractual terms and security provisions as are determined by the department to be necessary or appropriate and the department may enter into such arrangements as may be necessary or appropriate.(c) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors to use a multicraft project labor agreement, as that term is defined paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code, for construction and contracted out maintenance of the long-duration energy storage system facility. The project labor agreements shall conform to the industry standard agreements recently used for private large thermal powerplant projects, including side letters for high-voltage transmission and related work.80125.6. Upon the delivery of electrical capacity and output pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate.(b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.(c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output to the customers.80126.2. All money collected with respect to any electrical capacity or output acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output from or sell electrical output and capacity to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output purchased by the department pursuant to this article.80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.(b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.(c) Contract for the services of other public agencies.(d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.80127. For purposes of any agreements entered into pursuant to this article, the department shall not rely upon or otherwise use the authority provided in Article 1 (commencing with Sections 80100) or Chapter 2.5 (commencing with Sections 80130), with the exception of Section 80134, which shall apply to commitments made pursuant to this article.
485386
486387 Article 2. Long-Duration Energy Storage
487388
488389 Article 2. Long-Duration Energy Storage
489390
490-80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:(a) The energy storage agreement requires the long-duration energy storage system to meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.(b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.(c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.(d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output power provided by the long-duration energy storage system.(f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.(g) Before commercial operation the developer shall provide periodic progress reports.(h) The entire capacity of each long-duration energy storage project shall be procured by the department pursuant to this procurement.
391+80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:(a) The energy storage agreement requires the long-duration energy storage system meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.(b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.(c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.(d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output provided by the long-duration energy storage system.(f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.(g) Before commercial operation the developer shall provide periodic progress reports.
491392
492393
493394
494395 80125. Except as provided in Section 80125.2, the department, pursuant to Section 2837.5 of the Public Utilities Code, shall enter into long-duration energy storage agreements on terms, conditions, and for time periods as the department prescribes, subject to the good faith of each party, and at prices the department deems appropriate, taking into account all of the following:
495396
496-(a) The energy storage agreement requires the long-duration energy storage system to meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.
397+(a) The energy storage agreement requires the long-duration energy storage system meet or exceed the minimum requirements for long-duration energy storage specified by Decision 20-03-028.
497398
498399 (b) The length of the energy storage agreement is commensurate with the useful life of the long-duration energy storage system and minimizes near-term cost impacts to ratepayers of a load-serving entity.
499400
500401 (c) The long-duration energy storage system shall be placed in service between January 1, 2026, and December 31, 2030.
501402
502403 (d) Costs paid under any energy storage agreement shall be just and reasonable, as defined in subdivision (a) of Section 80125.2.
503404
504-(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output power provided by the long-duration energy storage system.
405+(e) The long-duration energy storage agreement may provide for periodic price adjustments to recover reasonably unforeseeable changes in operations and maintenance expenses or the need for future capital investment, but only to the extent necessary to ensure the continued efficient, expected operational performance of the long-duration energy storage system over the term of the energy storage agreement or to otherwise increase the value of the electrical capacity and output provided by the long-duration energy storage system.
505406
506407 (f) The developer of the long-duration energy storage system shall make available accounts and records for periodic audits of costs and evaluation of price terms.
507408
508409 (g) Before commercial operation the developer shall provide periodic progress reports.
509-
510-(h) The entire capacity of each long-duration energy storage project shall be procured by the department pursuant to this procurement.
511410
512411 80125.2. (a) For purposes of this article, costs incurred pursuant to an agreement to procure long-duration energy storage shall be just and reasonable if either of the following is true:(1) The long-duration energy storage agreement price is at or below the cost assumptions the commission used for long-duration energy storage in Decision 20-03-028.(2) The developer of the long-duration energy storage system is able to establish to the departments satisfaction that the costs in excess of the commissions cost assumptions described in paragraph (1) are justifiable in light of documented or projected costs and confirmed by an independent evaluator, provided, however, those costs shall not exceed the cost assumption benchmarks identified in paragraph (1) by more than 15 percent in aggregate.(b) The department shall have no obligation to execute an agreement for the procurement of long-duration energy storage services contract if the developer is found to have misrepresented its costs in any material respect or if the agreement would not satisfy subdivision (a).(c) The department shall not enter into a long-duration energy storage services contract under this section if the associated long-duration energy storage project is subject to review under Division 13 (commencing with Section 21000) of the Public Resources Code unless it finds that the project developer has agreed to acceptable mitigation measures to avoid significant impact on any tribal cultural resource, as defined in subdivision (a) or (b) of Section 21074 of Public Resources Code. The department shall not make this finding unless the California Native American Tribe, if any, that is culturally and traditionally affiliated with the geographic area in which the project is located concurs in this finding.
513412
514413
515414
516415 80125.2. (a) For purposes of this article, costs incurred pursuant to an agreement to procure long-duration energy storage shall be just and reasonable if either of the following is true:
517416
518417 (1) The long-duration energy storage agreement price is at or below the cost assumptions the commission used for long-duration energy storage in Decision 20-03-028.
519418
520419 (2) The developer of the long-duration energy storage system is able to establish to the departments satisfaction that the costs in excess of the commissions cost assumptions described in paragraph (1) are justifiable in light of documented or projected costs and confirmed by an independent evaluator, provided, however, those costs shall not exceed the cost assumption benchmarks identified in paragraph (1) by more than 15 percent in aggregate.
521420
522421 (b) The department shall have no obligation to execute an agreement for the procurement of long-duration energy storage services contract if the developer is found to have misrepresented its costs in any material respect or if the agreement would not satisfy subdivision (a).
523422
524423 (c) The department shall not enter into a long-duration energy storage services contract under this section if the associated long-duration energy storage project is subject to review under Division 13 (commencing with Section 21000) of the Public Resources Code unless it finds that the project developer has agreed to acceptable mitigation measures to avoid significant impact on any tribal cultural resource, as defined in subdivision (a) or (b) of Section 21074 of Public Resources Code. The department shall not make this finding unless the California Native American Tribe, if any, that is culturally and traditionally affiliated with the geographic area in which the project is located concurs in this finding.
525424
526-
527-
528425 80125.4. (a) A long-duration energy storage agreement made pursuant to this article may provide for assignment on any terms and conditions as the agreement may specify. The agreements shall allow assignment to a central procurement authority, if one is created, so long as the payment and security provisions are comparable to those provided in this article.(b) Any long-duration energy storage agreement shall contain any contractual terms and security provisions as are determined by the department to be necessary or appropriate and the department may enter into such arrangements as may be necessary or appropriate.(c) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors to use a multicraft project labor agreement, as that term is defined paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code, for construction and contracted out maintenance of the long-duration energy storage system facility. The project labor agreements shall conform to the industry standard agreements recently used for private large thermal powerplant projects, including side letters for high-voltage transmission and related work.
529426
530427
531428
532429 80125.4. (a) A long-duration energy storage agreement made pursuant to this article may provide for assignment on any terms and conditions as the agreement may specify. The agreements shall allow assignment to a central procurement authority, if one is created, so long as the payment and security provisions are comparable to those provided in this article.
533430
534431 (b) Any long-duration energy storage agreement shall contain any contractual terms and security provisions as are determined by the department to be necessary or appropriate and the department may enter into such arrangements as may be necessary or appropriate.
535432
536433 (c) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors to use a multicraft project labor agreement, as that term is defined paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code, for construction and contracted out maintenance of the long-duration energy storage system facility. The project labor agreements shall conform to the industry standard agreements recently used for private large thermal powerplant projects, including side letters for high-voltage transmission and related work.
537434
538-
539-
540-80125.5. (a) For purposes of this section, the following definitions apply:(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.(b) (1) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors and its subcontractors at every tier to use a skilled and trained workforce to perform all construction and contracted-out maintenance work on the project that falls within an apprenticeable occupation in the building and construction trades.(2) Paragraph (1) does not apply if the developer or its general contractor has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.
435+80125.6. Upon the delivery of electrical capacity and output pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.
541436
542437
543438
544-80125.5. (a) For purposes of this section, the following definitions apply:
439+80125.6. Upon the delivery of electrical capacity and output pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.
545440
546-(1) Project labor agreement has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code.
547-
548-(2) Skilled and trained workforce has the same meaning as in subdivision (d) of Section 2601 of the Public Contract Code.
549-
550-(b) (1) Any long-duration energy storage agreement made pursuant to this article shall require that the developer of the long-duration energy storage system use or require its contractors and its subcontractors at every tier to use a skilled and trained workforce to perform all construction and contracted-out maintenance work on the project that falls within an apprenticeable occupation in the building and construction trades.
551-
552-(2) Paragraph (1) does not apply if the developer or its general contractor has entered into a project labor agreement that will bind the entity and all of its subcontractors at every tier performing the project or contract to use a skilled and trained workforce.
553-
554-80125.6. Upon the delivery of electrical capacity and output power pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output power from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.
441+80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.
555442
556443
557444
558-80125.6. Upon the delivery of electrical capacity and output power pursuant to a long-duration energy storage agreement made pursuant to this article, the benefited retail end-use customers shall be deemed to have purchased that electrical capacity or output power from the department. Payment for any sale shall be a direct obligation of the retail end-use customer to the department.
559-
560-80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output power to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.(c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.
561-
562-
563-
564-80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output power to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.
445+80125.8. (a) The department may contract with any electrical corporation whose retail end-use customers are deemed to have benefited from the electrical capacity or output to act as agent of the department, provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.
565446
566447 (b) At the request of the department, the commission shall order the electrical corporation to act as agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation for its services, and adequately secure payment to the department.
567448
568449 (c) The commission may issue rules regulating the enforcement of the agency function pursuant to this chapter, including collection and payment to the department.
569450
570-80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate. The revenue requirements shall be recovered through a cost-of-service or similar rate that is not to be charged to end-use customers until the date of operation of a project delivering energy storage services pursuant to this article.(b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.(c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output power to the customers.
451+80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate.(b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.(c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output to the customers.
571452
572453
573454
574-80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate. The revenue requirements shall be recovered through a cost-of-service or similar rate that is not to be charged to end-use customers until the date of operation of a project delivering energy storage services pursuant to this article.
455+80126. (a) The department shall be entitled to recover, as a revenue requirement, amounts and at the times necessary to enable it to comply with Section 80134, and shall advise the commission as the department determines to be appropriate.
575456
576457 (b) For the purposes of this article and except as otherwise provided in this section, the commissions authority as set forth in Section 451 of the Public Utilities Code shall apply, except any just and reasonable review under Section 451 shall be conducted and determined by the department.
577458
578459 (c) The commission may enter into an agreement with the department with respect to charges under Section 451 of the Public Utilities Code for purposes of this article, and that agreement shall have the force and effect of a financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission.
579460
580-(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output power to the customers.
461+(d) The department shall have the same rights with respect to the payment by retail end-use customers for electrical capacity and output purchased by the department pursuant to this article as do providers of electrical capacity and output to the customers.
581462
582-80126.2. All money collected with respect to any electrical capacity or output power acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output power acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.
463+80126.2. All money collected with respect to any electrical capacity or output acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.
583464
584465
585466
586-80126.2. All money collected with respect to any electrical capacity or output power acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output power acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.
467+80126.2. All money collected with respect to any electrical capacity or output acquired and sold pursuant to this article and all money paid directly or indirectly to or for the account of the department with respect to any sale, exchange, transfer, or disposition of electrical capacity or output acquired pursuant to this article, shall constitute property of the department and shall be deposited in the fund in accordance with subdivision (b) of Section 80200. To the extent any moneys are received by an electrical corporation pursuant to Section 80125.6 or Section 80125.8 in the process of collection, and pending their transfer to the department, they shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the benefit of the department.
587468
588-80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output power from or sell electrical output and capacity power to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.
469+80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output from or sell electrical output and capacity to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.
589470
590471
591472
592-80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output power from or sell electrical output and capacity power to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.
473+80126.4. The department shall exercise operational control over the long-duration energy storage systems in a manner that seeks to maximize benefits to retail end-use customers and, in so doing, may buy electrical capacity and output from or sell electrical output and capacity to any person or public or private entity, including the Independent System Operator in whatever way and upon those terms and conditions as are advantageous, necessary, or otherwise enhances ratepayer benefits.
593474
594-80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output power purchased by the department pursuant to this article.
475+80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output purchased by the department pursuant to this article.
595476
596477
597478
598-80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output power purchased by the department pursuant to this article.
479+80126.6. The department may fix and establish the procedure and charges for the sale or other disposal of electrical capacity or output purchased by the department pursuant to this article.
599480
600-80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. 2023. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.(b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.(c) Contract for the services of other public agencies.(d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.
481+80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.(b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.(c) Contract for the services of other public agencies.(d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.
601482
602483
603484
604485 80126.8. The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this article:
605486
606-(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. 2023. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.
487+(a) Hire and appoint employees as required, at salary levels determined by the director to be competitive to attract and retain persons with the necessary expertise and skills. Prior to hiring or appointing an employee at a salary in excess of a salary approved by the Department of Human Resources, the director shall submit the proposed salary to the Director of Finance who shall submit it to the Legislature in accordance with Section 27.00 of the annual Budget Act. No excess salary authorized under this section may be paid on or after January 1, 20__. The excess portion of a salary authorized under this section may not be considered salary in the calculation of final compensation for purposes of benefits under the Public Employees Retirement System.
607488
608489 (b) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.
609490
610491 (c) Contract for the services of other public agencies.
611492
612493 (d) The State Personnel Board and the Department of Human Resources shall assist the department in expediting the hiring of personnel necessary and desirable for the timely and successful implementation and administration of the departments duties and responsibilities pursuant to this division.
613494
614495 80127. For purposes of any agreements entered into pursuant to this article, the department shall not rely upon or otherwise use the authority provided in Article 1 (commencing with Sections 80100) or Chapter 2.5 (commencing with Sections 80130), with the exception of Section 80134, which shall apply to commitments made pursuant to this article.
615496
616497
617498
618499 80127. For purposes of any agreements entered into pursuant to this article, the department shall not rely upon or otherwise use the authority provided in Article 1 (commencing with Sections 80100) or Chapter 2.5 (commencing with Sections 80130), with the exception of Section 80134, which shall apply to commitments made pursuant to this article.
619500
620-SEC. 10. Section 80200 of the Water Code is amended to read:80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).(b) Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:(1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.(2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.(3) Payment of any bonds or other contractual obligations authorized by this division.(4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.(c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.(d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.(e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.
501+SEC. 10. Section 80200 of the Water Code is amended to read:80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).(b) All Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:(1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.(2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.(3) Payment of any bonds or other contractual obligations authorized by this division.(4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.(c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.(d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.(e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.
621502
622503 SEC. 10. Section 80200 of the Water Code is amended to read:
623504
624505 ### SEC. 10.
625506
626-80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).(b) Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:(1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.(2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.(3) Payment of any bonds or other contractual obligations authorized by this division.(4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.(c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.(d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.(e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.
507+80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).(b) All Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:(1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.(2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.(3) Payment of any bonds or other contractual obligations authorized by this division.(4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.(c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.(d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.(e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.
627508
628-80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).(b) Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:(1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.(2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.(3) Payment of any bonds or other contractual obligations authorized by this division.(4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.(c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.(d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.(e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.
509+80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).(b) All Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:(1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.(2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.(3) Payment of any bonds or other contractual obligations authorized by this division.(4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.(c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.(d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.(e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.
629510
630-80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).(b) Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:(1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.(2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.(3) Payment of any bonds or other contractual obligations authorized by this division.(4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.(c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.(d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.(e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.
511+80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).(b) All Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:(1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.(2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.(3) Payment of any bonds or other contractual obligations authorized by this division.(4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.(c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.(d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.(e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.
631512
632513
633514
634515 80200. (a) There is hereby established in the State Treasury the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code, all moneys in the fund are continuously appropriated, without regard to fiscal year, to the department, and shall be available for the purposes of this division. It is the intent of the Legislature that this fund be a continuation of the fund created in Chapter 3 of the Statutes of 2001 (SB 7 of the First 200102 Extraordinary Session).
635516
636-(b) Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:
517+(b) All Except for revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2, all revenues payable to the department under this division shall be deposited in the fund. Notwithstanding any other provision of law, interest accruing on money in the fund shall remain in the fund and shall be used for the purposes of this division. Payments from the fund may be made only for the purposes authorized by this division, including, but not limited to, payments for any of the following:
637518
638519 (1) The cost of electric power and transmission, scheduling, and other related expenses incurred by the department.
639520
640521 (2) The pooled money investment rate on funds advanced for electric power purchases prior to the receipt of payment for those purchases by the purchasing entity.
641522
642523 (3) Payment of any bonds or other contractual obligations authorized by this division.
643524
644525 (4) Repayment to the General Fund of appropriations made to the fund pursuant hereto or hereafter for purposes of this division, appropriations made to the Department of Water Resources Electric Power Fund, and General Fund moneys expended by the department pursuant to the Governors Emergency Proclamation dated January 17, 2001. That repayment shall be made as soon as practicable.
645526
646527 (c) Except as provided in subdivision (b) of Section 5 of the statute adding this section, the administrative costs of the department incurred in administering this division shall be provided in the annual Budget Act.
647528
648529 (d) Obligations authorized by this division shall be payable solely from the fund. Neither the full faith and credit nor the taxing power of the state are or may be pledged for any payment under any obligation authorized by this division.
649530
650531 (e) While any obligations of the department incurred under this division remain outstanding and not fully performed or discharged, the rights, powers, duties, and existence of the department and the commission shall not be diminished or impaired in any manner that will affect adversely the interests and rights of the holders of or parties to such obligations. The department may include this pledge and undertaking of the state in the departments obligations.
651532
652-SEC. 11. Section 80201 is added to the Water Code, to read:80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), Code, all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.(b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act. payable solely from the Long-Duration Energy Storage Account.(d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.
533+SEC. 11. Section 80201 is added to the Water Code, to read:80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.(b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act.(d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.
653534
654535 SEC. 11. Section 80201 is added to the Water Code, to read:
655536
656537 ### SEC. 11.
657538
658-80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), Code, all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.(b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act. payable solely from the Long-Duration Energy Storage Account.(d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.
539+80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.(b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act.(d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.
659540
660-80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), Code, all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.(b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act. payable solely from the Long-Duration Energy Storage Account.(d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.
541+80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.(b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act.(d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.
661542
662-80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), Code, all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.(b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act. payable solely from the Long-Duration Energy Storage Account.(d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.
543+80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.(b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act.(d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.
663544
664545
665546
666-80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), Code, all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.
547+80201. (a) There is hereby established the Long-Duration Energy Storage Account in the Department of Water Resources Electric Power Fund. Notwithstanding Section 13340 of the Government Code and except as provided in subdivision (c), all moneys in the account are continuously appropriated, without regard to fiscal year, to the department, and shall be available for purposes of Article 2 (commencing with Section 80125) of Chapter 2.
667548
668549 (b) All revenues payable to the department pursuant to Article 2 (commencing with Section 80125) of Chapter 2 shall be deposited in the Long-Duration Energy Storage Account. Notwithstanding any other law, interest accruing on money in the account shall remain in the account and shall be used for the purposes of that article.
669550
670-(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act. payable solely from the Long-Duration Energy Storage Account.
551+(c) The administrative costs of the department incurred in administering Article 2 (commencing with Section 80125) of Chapter 2 shall be provided in the annual Budget Act.
671552
672553 (d) Obligations authorized by Article 2 (commencing with Section 80125) of Chapter 2 shall be payable solely from the Long-Duration Energy Storage Account.
673554
674-SEC. 12. Section 80260 of the Water Code is amended to read:80260. (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power.(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section Section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2. (c) This section does not affect the authority of the department to administer contracts entered into prior to those dates or the departments authority to sell electrical capacity or output of energy storage services from a long-duration energy storage system.
555+SEC. 12. Section 80260 of the Water Code is amended to read:80260. On (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power. This(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2. (c) This section does not affect the authority of the department to administer contracts entered into prior to that date those dates or the departments authority to sell electricity. electrical capacity or output of energy storage services from a long-duration energy storage system.
675556
676557 SEC. 12. Section 80260 of the Water Code is amended to read:
677558
678559 ### SEC. 12.
679560
680-80260. (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power.(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section Section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2. (c) This section does not affect the authority of the department to administer contracts entered into prior to those dates or the departments authority to sell electrical capacity or output of energy storage services from a long-duration energy storage system.
561+80260. On (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power. This(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2. (c) This section does not affect the authority of the department to administer contracts entered into prior to that date those dates or the departments authority to sell electricity. electrical capacity or output of energy storage services from a long-duration energy storage system.
681562
682-80260. (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power.(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section Section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2. (c) This section does not affect the authority of the department to administer contracts entered into prior to those dates or the departments authority to sell electrical capacity or output of energy storage services from a long-duration energy storage system.
563+80260. On (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power. This(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2. (c) This section does not affect the authority of the department to administer contracts entered into prior to that date those dates or the departments authority to sell electricity. electrical capacity or output of energy storage services from a long-duration energy storage system.
683564
684-80260. (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power.(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section Section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2. (c) This section does not affect the authority of the department to administer contracts entered into prior to those dates or the departments authority to sell electrical capacity or output of energy storage services from a long-duration energy storage system.
565+80260. On (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power. This(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2. (c) This section does not affect the authority of the department to administer contracts entered into prior to that date those dates or the departments authority to sell electricity. electrical capacity or output of energy storage services from a long-duration energy storage system.
685566
686567
687568
688-80260. (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power.
569+80260. On (a) Except as provided in subdivision (b), on and after January 1, 2003, the department shall not contract under this division for the purchase of electrical power. This
689570
690-(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section Section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2.
571+(b) On or before March 31, 2022, the department may enter into agreements for energy storage services for long-duration energy storage pursuant to section 2837.5 of the Public Utilities Code consistent with the requirements of Article 2 (commencing with Section 80125) of Chapter 2.
691572
692-(c) This section does not affect the authority of the department to administer contracts entered into prior to those dates or the departments authority to sell electrical capacity or output of energy storage services from a long-duration energy storage system.
573+(c) This section does not affect the authority of the department to administer contracts entered into prior to that date those dates or the departments authority to sell electricity. electrical capacity or output of energy storage services from a long-duration energy storage system.
693574
694575 SEC. 13. The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.
695576
696577 SEC. 13. The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.
697578
698579 SEC. 13. The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.
699580
700581 ### SEC. 13.
701582
702-SEC. 14. In regards to Section 2 3 of this act, the Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances regarding the pumped hydroelectric energy storage facility in the vicinity of the San Vicente Reservoir in the County of San Diego.
583+SEC. 14. In regards to Section 2 of this act, the Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances regarding the pumped hydroelectric energy storage facility in the vicinity of the San Vicente Reservoir in the County of San Diego.
703584
704-SEC. 14. In regards to Section 2 3 of this act, the Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances regarding the pumped hydroelectric energy storage facility in the vicinity of the San Vicente Reservoir in the County of San Diego.
585+SEC. 14. In regards to Section 2 of this act, the Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances regarding the pumped hydroelectric energy storage facility in the vicinity of the San Vicente Reservoir in the County of San Diego.
705586
706-SEC. 14. In regards to Section 2 3 of this act, the Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances regarding the pumped hydroelectric energy storage facility in the vicinity of the San Vicente Reservoir in the County of San Diego.
587+SEC. 14. In regards to Section 2 of this act, the Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances regarding the pumped hydroelectric energy storage facility in the vicinity of the San Vicente Reservoir in the County of San Diego.
707588
708589 ### SEC. 14.
709590
710591 SEC. 15. 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.
711592
712593 SEC. 15. 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.
713594
714595 SEC. 15. 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.
715596
716597 ### SEC. 15.
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603+(a)In connection with its responsibilities under subdivision (l) of Section 65040, the Office of Planning and Research shall develop and adopt guidelines for a city or county to implement policies and practices that represent best practices to support small businesses within their jurisdictions. The guidelines shall include recommendations, as the office determines appropriate, for those policies and practices to be included within mandatory elements required in general plans, specific plans, and other land use planning documents of a city or county.
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607+(b)The office may request from each state department and agency, including, but not limited to, the Governors Office of Business and Economic Development, technical assistance in readopting, amending, or repealing the guidelines. The department or agency shall provide technical assistance if so requested.
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611+(c)The guidelines shall be advisory to each city or county in order to provide assistance in preparing and maintaining their respective general plans, specific plans, and other land use planning documents.
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615+(d)The guidelines shall address the needs of small commercial businesses, including microbusinesses.
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619+(e)(1)The guidelines shall include recommendations for best practices to allow for collaborative land use planning adjacent to residential, mixed-use, and industrial facilities.
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623+(2)The guidelines shall encourage enhanced land use compatibility between transportation, workforce training, and other areas of commercial development within the region through the examination of potential impacts upon one another.
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627+(f)The guidelines shall be adopted through a collaborative process with other public and private organizations that serve the needs of small business, economic development, and neighborhood revitalization.
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631+(g)The office shall publish the guidelines by January 1, 2021, and shall thereafter regularly review and revise those guidelines in accordance with the requirements of this section.