Amended IN Senate March 20, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 254Introduced by Senator BeckerFebruary 03, 2025An act to amend Section 381 of the Public Utilities Code, relating to electricity. An act to amend Section 739.12 of the Public Utilities Code, relating to electricity.LEGISLATIVE COUNSEL'S DIGESTSB 254, as amended, Becker. Electrical corporations: nonbypassable charge. Electricity: Family Electric Rate Assistance program.Existing law vests the Public Utilities Commission with regulatory authority over public utilities, including electrical corporations. Existing law requires the commission to continue a program of assistance to residential customers of the states 3 largest electrical corporations consisting of households of 3 or more persons with total household annual gross income levels between 200% and 250% of the federal poverty guideline level, which is referred to as the Family Electric Rate Assistance (FERA) program.Existing law requires the commission, by March 1, 2025, and each year thereafter, to require the states 3 largest electrical corporations to report on their efforts to enroll customers in the FERA program. Existing law requires the commission, by June 1, 2025, and each year thereafter, to review each electrical corporations report to ensure it has made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory. If the commission, in its review of a report, determines an electrical corporation has not made reasonable efforts to enroll eligible households in the FERA program, existing law requires the commission to require the electrical corporation to develop a strategy and plan to sufficiently enroll eligible households within 3 years of the adoption of the strategy and plan.This bill would additionally require each electrical corporations report to provide a breakdown of the number of eligible households and FERA program enrollment by disadvantaged community, as defined by the commission. The bill would also require the above-described strategy and plan to include strategies to reach households in disadvantaged communities.Under existing law, a violation of the Public Utilities Act, or any order, decision, rule, direction, demand, or requirement of the commission, is a crime.Because the provisions of this bill would be a part of the act and a violation of a commission action implementing the bills provisions would be a crime, the bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason.Existing law requires each electrical corporation to identify a separate rate component that is required to be a nonbypassable element of the local distribution service. Existing law requires the Public Utilities Commission to allocate these funds for certain programs that enhance system reliability and provide in-state benefits.This bill would make nonsubstantive changes to the latter requirement.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NOYES Local Program: NOYES Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 739.12 of the Public Utilities Code is amended to read:739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.(b) The FERA program discount shall be an 18-percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.(d) (1) The commission, by March 1, 2025, and by March 1 each year thereafter, shall require the states three largest electrical corporations to report on their efforts to enroll customers in the FERA program.(2) The commission, by June 1, 2025, and by June 1 each year thereafter, shall review each electrical corporations report to ensure it has made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory. Each electrical corporations report shall provide a breakdown of the number of eligible households and FERA program enrollment by disadvantaged community, as defined by the commission.(3) If the commission, in its review of an electrical corporations report, determines the electrical corporation has not made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory, the commission shall require the electrical corporation to develop a strategy and plan to sufficiently enroll eligible households within three years of the adoption of the strategy and plan. plan, including strategies to reach households in disadvantaged communities.(4) An electrical corporation may market enrollment for the FERA program separately from the CARE program and provide a separate FERA program-only application form.SEC. 2. 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 381 of the Public Utilities Code is amended to read:381.(a)To ensure that the funding for the programs described in subdivision (b) and Section 382 are not commingled with other revenues, the commission shall require each electrical corporation to identify a separate rate component to collect the revenues used to fund these programs. The rate component shall be a nonbypassable element of the local distribution service.(b)(1)The commission shall allocate funds collected pursuant to subdivision (a), and any interest earned on collected funds, to programs that enhance system reliability and provide in-state benefits as follows:(A)Cost-effective energy efficiency and conservation activities.(B)Public interest research and development not adequately provided by competitive and regulated markets.(C)In-state operation and development of existing and new and emerging eligible renewable energy resources, as defined in Section 399.12.(2)The commission shall order the respective electrical corporations to collect and spend these funds at the levels and for the purposes required in Section 399.8.(3)Each electrical corporation shall allow customers to make voluntary contributions through their utility bill payments as either a fixed amount or a variable amount to support programs established pursuant to subparagraph (C) of paragraph (1). Funds collected by electrical corporations for these purposes shall be forwarded in a timely manner to the appropriate fund as specified by the commission.
Amended IN Senate March 20, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 254Introduced by Senator BeckerFebruary 03, 2025An act to amend Section 381 of the Public Utilities Code, relating to electricity. An act to amend Section 739.12 of the Public Utilities Code, relating to electricity.LEGISLATIVE COUNSEL'S DIGESTSB 254, as amended, Becker. Electrical corporations: nonbypassable charge. Electricity: Family Electric Rate Assistance program.Existing law vests the Public Utilities Commission with regulatory authority over public utilities, including electrical corporations. Existing law requires the commission to continue a program of assistance to residential customers of the states 3 largest electrical corporations consisting of households of 3 or more persons with total household annual gross income levels between 200% and 250% of the federal poverty guideline level, which is referred to as the Family Electric Rate Assistance (FERA) program.Existing law requires the commission, by March 1, 2025, and each year thereafter, to require the states 3 largest electrical corporations to report on their efforts to enroll customers in the FERA program. Existing law requires the commission, by June 1, 2025, and each year thereafter, to review each electrical corporations report to ensure it has made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory. If the commission, in its review of a report, determines an electrical corporation has not made reasonable efforts to enroll eligible households in the FERA program, existing law requires the commission to require the electrical corporation to develop a strategy and plan to sufficiently enroll eligible households within 3 years of the adoption of the strategy and plan.This bill would additionally require each electrical corporations report to provide a breakdown of the number of eligible households and FERA program enrollment by disadvantaged community, as defined by the commission. The bill would also require the above-described strategy and plan to include strategies to reach households in disadvantaged communities.Under existing law, a violation of the Public Utilities Act, or any order, decision, rule, direction, demand, or requirement of the commission, is a crime.Because the provisions of this bill would be a part of the act and a violation of a commission action implementing the bills provisions would be a crime, the bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason.Existing law requires each electrical corporation to identify a separate rate component that is required to be a nonbypassable element of the local distribution service. Existing law requires the Public Utilities Commission to allocate these funds for certain programs that enhance system reliability and provide in-state benefits.This bill would make nonsubstantive changes to the latter requirement.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NOYES Local Program: NOYES
Amended IN Senate March 20, 2025
Amended IN Senate March 20, 2025
CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION
Senate Bill
No. 254
Introduced by Senator BeckerFebruary 03, 2025
Introduced by Senator Becker
February 03, 2025
An act to amend Section 381 of the Public Utilities Code, relating to electricity. An act to amend Section 739.12 of the Public Utilities Code, relating to electricity.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
SB 254, as amended, Becker. Electrical corporations: nonbypassable charge. Electricity: Family Electric Rate Assistance program.
Existing law vests the Public Utilities Commission with regulatory authority over public utilities, including electrical corporations. Existing law requires the commission to continue a program of assistance to residential customers of the states 3 largest electrical corporations consisting of households of 3 or more persons with total household annual gross income levels between 200% and 250% of the federal poverty guideline level, which is referred to as the Family Electric Rate Assistance (FERA) program.Existing law requires the commission, by March 1, 2025, and each year thereafter, to require the states 3 largest electrical corporations to report on their efforts to enroll customers in the FERA program. Existing law requires the commission, by June 1, 2025, and each year thereafter, to review each electrical corporations report to ensure it has made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory. If the commission, in its review of a report, determines an electrical corporation has not made reasonable efforts to enroll eligible households in the FERA program, existing law requires the commission to require the electrical corporation to develop a strategy and plan to sufficiently enroll eligible households within 3 years of the adoption of the strategy and plan.This bill would additionally require each electrical corporations report to provide a breakdown of the number of eligible households and FERA program enrollment by disadvantaged community, as defined by the commission. The bill would also require the above-described strategy and plan to include strategies to reach households in disadvantaged communities.Under existing law, a violation of the Public Utilities Act, or any order, decision, rule, direction, demand, or requirement of the commission, is a crime.Because the provisions of this bill would be a part of the act and a violation of a commission action implementing the bills provisions would be a crime, the bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason.Existing law requires each electrical corporation to identify a separate rate component that is required to be a nonbypassable element of the local distribution service. Existing law requires the Public Utilities Commission to allocate these funds for certain programs that enhance system reliability and provide in-state benefits.This bill would make nonsubstantive changes to the latter requirement.
Existing law vests the Public Utilities Commission with regulatory authority over public utilities, including electrical corporations. Existing law requires the commission to continue a program of assistance to residential customers of the states 3 largest electrical corporations consisting of households of 3 or more persons with total household annual gross income levels between 200% and 250% of the federal poverty guideline level, which is referred to as the Family Electric Rate Assistance (FERA) program.
Existing law requires the commission, by March 1, 2025, and each year thereafter, to require the states 3 largest electrical corporations to report on their efforts to enroll customers in the FERA program. Existing law requires the commission, by June 1, 2025, and each year thereafter, to review each electrical corporations report to ensure it has made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory. If the commission, in its review of a report, determines an electrical corporation has not made reasonable efforts to enroll eligible households in the FERA program, existing law requires the commission to require the electrical corporation to develop a strategy and plan to sufficiently enroll eligible households within 3 years of the adoption of the strategy and plan.
This bill would additionally require each electrical corporations report to provide a breakdown of the number of eligible households and FERA program enrollment by disadvantaged community, as defined by the commission. The bill would also require the above-described strategy and plan to include strategies to reach households in disadvantaged communities.
Under existing law, a violation of the Public Utilities Act, or any order, decision, rule, direction, demand, or requirement of the commission, is a crime.
Because the provisions of this bill would be a part of the act and a violation of a commission action implementing the bills provisions would be a crime, the bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.
Existing law requires each electrical corporation to identify a separate rate component that is required to be a nonbypassable element of the local distribution service. Existing law requires the Public Utilities Commission to allocate these funds for certain programs that enhance system reliability and provide in-state benefits.
This bill would make nonsubstantive changes to the latter requirement.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 739.12 of the Public Utilities Code is amended to read:739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.(b) The FERA program discount shall be an 18-percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.(d) (1) The commission, by March 1, 2025, and by March 1 each year thereafter, shall require the states three largest electrical corporations to report on their efforts to enroll customers in the FERA program.(2) The commission, by June 1, 2025, and by June 1 each year thereafter, shall review each electrical corporations report to ensure it has made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory. Each electrical corporations report shall provide a breakdown of the number of eligible households and FERA program enrollment by disadvantaged community, as defined by the commission.(3) If the commission, in its review of an electrical corporations report, determines the electrical corporation has not made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory, the commission shall require the electrical corporation to develop a strategy and plan to sufficiently enroll eligible households within three years of the adoption of the strategy and plan. plan, including strategies to reach households in disadvantaged communities.(4) An electrical corporation may market enrollment for the FERA program separately from the CARE program and provide a separate FERA program-only application form.SEC. 2. 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 381 of the Public Utilities Code is amended to read:381.(a)To ensure that the funding for the programs described in subdivision (b) and Section 382 are not commingled with other revenues, the commission shall require each electrical corporation to identify a separate rate component to collect the revenues used to fund these programs. The rate component shall be a nonbypassable element of the local distribution service.(b)(1)The commission shall allocate funds collected pursuant to subdivision (a), and any interest earned on collected funds, to programs that enhance system reliability and provide in-state benefits as follows:(A)Cost-effective energy efficiency and conservation activities.(B)Public interest research and development not adequately provided by competitive and regulated markets.(C)In-state operation and development of existing and new and emerging eligible renewable energy resources, as defined in Section 399.12.(2)The commission shall order the respective electrical corporations to collect and spend these funds at the levels and for the purposes required in Section 399.8.(3)Each electrical corporation shall allow customers to make voluntary contributions through their utility bill payments as either a fixed amount or a variable amount to support programs established pursuant to subparagraph (C) of paragraph (1). Funds collected by electrical corporations for these purposes shall be forwarded in a timely manner to the appropriate fund as specified by the commission.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Section 739.12 of the Public Utilities Code is amended to read:739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.(b) The FERA program discount shall be an 18-percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.(d) (1) The commission, by March 1, 2025, and by March 1 each year thereafter, shall require the states three largest electrical corporations to report on their efforts to enroll customers in the FERA program.(2) The commission, by June 1, 2025, and by June 1 each year thereafter, shall review each electrical corporations report to ensure it has made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory. Each electrical corporations report shall provide a breakdown of the number of eligible households and FERA program enrollment by disadvantaged community, as defined by the commission.(3) If the commission, in its review of an electrical corporations report, determines the electrical corporation has not made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory, the commission shall require the electrical corporation to develop a strategy and plan to sufficiently enroll eligible households within three years of the adoption of the strategy and plan. plan, including strategies to reach households in disadvantaged communities.(4) An electrical corporation may market enrollment for the FERA program separately from the CARE program and provide a separate FERA program-only application form.
SECTION 1. Section 739.12 of the Public Utilities Code is amended to read:
### SECTION 1.
739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.(b) The FERA program discount shall be an 18-percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.(d) (1) The commission, by March 1, 2025, and by March 1 each year thereafter, shall require the states three largest electrical corporations to report on their efforts to enroll customers in the FERA program.(2) The commission, by June 1, 2025, and by June 1 each year thereafter, shall review each electrical corporations report to ensure it has made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory. Each electrical corporations report shall provide a breakdown of the number of eligible households and FERA program enrollment by disadvantaged community, as defined by the commission.(3) If the commission, in its review of an electrical corporations report, determines the electrical corporation has not made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory, the commission shall require the electrical corporation to develop a strategy and plan to sufficiently enroll eligible households within three years of the adoption of the strategy and plan. plan, including strategies to reach households in disadvantaged communities.(4) An electrical corporation may market enrollment for the FERA program separately from the CARE program and provide a separate FERA program-only application form.
739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.(b) The FERA program discount shall be an 18-percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.(d) (1) The commission, by March 1, 2025, and by March 1 each year thereafter, shall require the states three largest electrical corporations to report on their efforts to enroll customers in the FERA program.(2) The commission, by June 1, 2025, and by June 1 each year thereafter, shall review each electrical corporations report to ensure it has made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory. Each electrical corporations report shall provide a breakdown of the number of eligible households and FERA program enrollment by disadvantaged community, as defined by the commission.(3) If the commission, in its review of an electrical corporations report, determines the electrical corporation has not made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory, the commission shall require the electrical corporation to develop a strategy and plan to sufficiently enroll eligible households within three years of the adoption of the strategy and plan. plan, including strategies to reach households in disadvantaged communities.(4) An electrical corporation may market enrollment for the FERA program separately from the CARE program and provide a separate FERA program-only application form.
739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.(b) The FERA program discount shall be an 18-percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.(d) (1) The commission, by March 1, 2025, and by March 1 each year thereafter, shall require the states three largest electrical corporations to report on their efforts to enroll customers in the FERA program.(2) The commission, by June 1, 2025, and by June 1 each year thereafter, shall review each electrical corporations report to ensure it has made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory. Each electrical corporations report shall provide a breakdown of the number of eligible households and FERA program enrollment by disadvantaged community, as defined by the commission.(3) If the commission, in its review of an electrical corporations report, determines the electrical corporation has not made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory, the commission shall require the electrical corporation to develop a strategy and plan to sufficiently enroll eligible households within three years of the adoption of the strategy and plan. plan, including strategies to reach households in disadvantaged communities.(4) An electrical corporation may market enrollment for the FERA program separately from the CARE program and provide a separate FERA program-only application form.
739.12. (a) The commission shall continue a program of assistance to residential customers of the states three largest electrical corporations consisting of households with total household annual gross income levels between 200 percent and 250 percent of the federal poverty guideline level. The program shall continue to be referred to as the Family Electric Rate Assistance or FERA program.
(b) The FERA program discount shall be an 18-percent line-item discount applied to an eligible customers bill calculated at the applicable rate for the billing period.
(c) The commission shall authorize the states three largest electrical corporations to increase or expand marketing and outreach efforts beyond those in effect as of December 31, 2018, to increase eligible customer participation in the FERA program.
(d) (1) The commission, by March 1, 2025, and by March 1 each year thereafter, shall require the states three largest electrical corporations to report on their efforts to enroll customers in the FERA program.
(2) The commission, by June 1, 2025, and by June 1 each year thereafter, shall review each electrical corporations report to ensure it has made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory. Each electrical corporations report shall provide a breakdown of the number of eligible households and FERA program enrollment by disadvantaged community, as defined by the commission.
(3) If the commission, in its review of an electrical corporations report, determines the electrical corporation has not made reasonable efforts to enroll eligible households in the FERA program commensurate with the proportion of households the commission determines to be eligible within the electrical corporations service territory, the commission shall require the electrical corporation to develop a strategy and plan to sufficiently enroll eligible households within three years of the adoption of the strategy and plan. plan, including strategies to reach households in disadvantaged communities.
(4) An electrical corporation may market enrollment for the FERA program separately from the CARE program and provide a separate FERA program-only application form.
SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
SEC. 2. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.
### SEC. 2.
(a)To ensure that the funding for the programs described in subdivision (b) and Section 382 are not commingled with other revenues, the commission shall require each electrical corporation to identify a separate rate component to collect the revenues used to fund these programs. The rate component shall be a nonbypassable element of the local distribution service.
(b)(1)The commission shall allocate funds collected pursuant to subdivision (a), and any interest earned on collected funds, to programs that enhance system reliability and provide in-state benefits as follows:
(A)Cost-effective energy efficiency and conservation activities.
(B)Public interest research and development not adequately provided by competitive and regulated markets.
(C)In-state operation and development of existing and new and emerging eligible renewable energy resources, as defined in Section 399.12.
(2)The commission shall order the respective electrical corporations to collect and spend these funds at the levels and for the purposes required in Section 399.8.
(3)Each electrical corporation shall allow customers to make voluntary contributions through their utility bill payments as either a fixed amount or a variable amount to support programs established pursuant to subparagraph (C) of paragraph (1). Funds collected by electrical corporations for these purposes shall be forwarded in a timely manner to the appropriate fund as specified by the commission.