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SB-1142 Electrical and gas corporations: restoration and termination of services.(2023-2024)



Current Version: 09/25/24 - Chaptered

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SB1142:v93#DOCUMENT

Senate Bill No. 1142
CHAPTER 600

An act to add Sections 779.6 and 779.7 to the Public Utilities Code, relating to public utilities.

[ Approved by Governor  September 25, 2024. Filed with Secretary of State  September 25, 2024. ]

LEGISLATIVE COUNSEL'S DIGEST


SB 1142, Menjivar. Electrical and gas corporations: restoration and termination of services.
Existing law prohibits an electrical or gas corporation from terminating residential service for nonpayment of a delinquent account unless the corporation first gives notice of the delinquency and impending termination, as provided. Existing law requires the notice to include information on procedures by which the affected residential customer may initiate a complaint, request an investigation concerning the service or charges, and request amortization of the unpaid charges. Existing law requires that a residential customer who initiated a complaint, requested an investigation, or requested an extension of the payment period be given an opportunity for review of the complaint, investigation, or request by a review manager of the corporation. Existing law requires the review to include a consideration of whether the customer is to be permitted to amortize the unpaid balance of the delinquent account over a reasonable time period, not to exceed 12 months.
This bill would require an electrical or gas corporation to restore service to a residential customer whose service was previously terminated for nonpayment of delinquent amounts upon the customer entering into an amortization agreement or any other arrearage payment plan determined by the Public Utilities Commission. The bill would require the restoration of service to occur by specified deadlines, to the extent authorized by commission rules.
This bill would require the commission, on or before July 1, 2025, to determine whether to direct electrical and gas corporations to take into account a customer’s ability to pay before terminating or reconnecting services, as provided.
Under existing law, a violation of the Public Utilities Act or an order, decision, rule, direction, demand, or requirement of the commission is a crime.
Because a violation of the provisions of this bill or a commission action implementing the requirements of the bill would be a crime, the bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: YES  

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


SECTION 1.

 Section 779.6 is added to the Public Utilities Code, to read:

779.6.
 (a) An electrical or gas corporation shall restore service to a residential customer whose service was previously terminated for nonpayment of delinquent amounts upon the customer entering into either an amortization agreement described in subdivision (c) of Section 779 or any other arrearage payment plan determined by the commission.
(b) To the extent authorized by commission rules, the restoration of service shall occur as follows:
(1) Within 24 hours of the payment for remote reconnections.
(2) Within one business day for field reconnections, except in situations relating to safety or extreme weather.

SEC. 2.

 Section 779.7 is added to the Public Utilities Code, to read:

779.7.
 (a) On or before July 1, 2025, the commission shall, in a new or existing proceeding, determine whether to direct electrical and gas corporations to take into account a customer’s ability to pay in any of the following circumstances:
(1) Before terminating service due to nonpayment.
(2) Before terminating service for a customer on an amortization agreement.
(3) In reconnecting service for a residential customer whose service was previously terminated for nonpayment.
(b) In determining whether to direct electrical corporations to consider a customer’s ability to pay before terminating service, the commission shall consider whether to limit the amount an electrical corporation can collect up to an amount specified by the commission.
(c) The commission shall consider impacts to participating and nonparticipating customers to inform the determinations made pursuant to subdivision (a).

SEC. 3.

 No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.