SENIOR ASSEMBLY PROPOSAL NO. 28

INTRODUCED BY ASSEMBLY MEMBER JONES

LEGISLATIVE COUNSEL'S DIGEST

AP 28:  UTILITY RATE INCREASES.

UNDER EXISTING LAW, THE CALIFORNIA PUBLIC UTILITIES COMMISSION IS AUTHORIZED TO FIX RATES CHARGED FOR UTILITY SERVICE.  EXISTING LAW REQUIRES THE COMMISSION TO DESIGNATE A BASELINE QUANTITY OF GAS AND ELECTRICITY THAT IS NECESSARY TO SUPPLY A SIGNIFICANT PORTION OF THE REASONABLE ENERGY NEEDS OF THE AVERAGE RESIDENTIAL CUSTOMER.  EXISTING LAW EXEMPTS FROM ADDITIONAL RATE INCREASES ALL RESIDENTIAL GAS AND ELECTRICITY USAGE FALLING WITHIN 130% OF BASELINE USAGE.

THIS MEASURE WOULD MEMORIALIZE THE LEGISLATURE AND THE GOVERNOR TO ENACT LEGISLATION THAT WOULD INCREASE ABOVE 130% THE PROPORTION OF THE BASELINE QUANTITY OF GAS AND ELECTRICITY USAGE THAT SENIORS COULD USE AMD STILL BE EXEMPT FROM ADDITIONAL RATE INCREASES.

VOTE:  MAJORITY.

AP 28:  RELATING TO UTILITY RATE INCREASES

WHEREAS, THE CALIFORNIA PUBLIC UTILITIES COMMISSION IS REQUIRED TO DESIGNATE A BASELINE QUANTITY OF GAS AMD ELECTRICITY THAT IS NECESSARY TO SUPPLY A SIGNIFICANT PORTION OF THE REASONABLE ENERGY NEEDS OF THE AVERAGE RESIDENTIAL CUSTOMER; AND

WHEREAS, THE COMMISSION HAS DEFINED THE BASELINE QUANTITY TO BE BETWEEN 50 AND 60 PERCENT OF AVERAGE RESIDENTIAL CONSUMPTION; AND

WHEREAS, RESIDENTIAL CUSTOMERS WITH GAS AND ELECTRICITY USAGE FALLING WITHIN 130 PERCENT OF BASELINE USAGE ARE EXEMPT FROM ADDITIONAL RATE INCREASES; AND

WHEREAS, SENIORS ON FIXED INCOMES NEED MONEY TO BUY FOOD, SHELTER, MEDICATIONS, AND PROVIDE FOR OTHER BASIC NEEDS; AND

WHEREAS, SENIORS' GAS AND ELECTRICITY USAGE TYPICALLY IS MORE THAN 50 TO 60 PERCENT OF AVERAGE RESIDENTIAL CONSUMPTION, ESPECIALLY IF THEY HAVE HEALTH PROBLEMS; AND

WHEREAS, SENIORS ON FIXED INCOMES WHO ARE REQUIRED TO PAY A DISPROPORTIONATE AMOUNT OF THEIR INCOME FOR UTILITY SERVICE, IN AN EFFORT TO REDUCE CONSUMPTION, MAY TAKE MEASURES THAT WOULD JEOPARDIZE THEIR HEALTH AND SAFETY AND COULD RENDER THEM HOMELESS; AND

WHEREAS, THE COMMISSION HAS INSTITUTED A RULEMAKING TO DETERMINE WHETHER CURRENT BASELINE ALLOWANCES FOR RESIDENTIAL GAS AND ELECTRICITY USERS IN CALIFORNIA SHOULD BE REVISED; NOW, THEREFORE, BE IT

RESOLVED, BY THE SENIOR ASSEMBLY AND THE SENIOR SENATE, JOINTLY, THAT THE SENIOR LEGISLATURE OF THE STATE OF CALIFORNIA AT ITS 2002 REGULAR SESSION, A MAJORITY OF THE MEMBERS VOTING THEREFOR, HEREBY PROPOSES THAT THE PROPORTION OF THE BASELINE QUANTITY OF GAS AND ELECTRICITY USAGE THAT SENIORS MAY USE AND STILL BE EXEMPT FROM ADDITIONAL RATE INCREASES BE INCREASED ABOVE 130 PERCENT; AND BE IT FURTHER

RESOLVED, THAT THE SENIOR LEGISLATURE OF THE STATE OF CALIFORNIA RESPECTFULLY MEMORIALIZES THE LEGISLATURE AMD THE GOVERNOR OF THE STATE OF CALIFORNIA TO ENACT APPROPRIATE LEGISLATION THAT WOULD ADDRESS THE CONCERNS SET FORTH IN THIS MEASURE; AND BE IT FURTHER

RESOLVED, THAT A COPY OF THIS MEASURE BE TRANSMITTED TO THE SPEAKER OF THE ASSEMBLY, THE PRESIDENT PRO TEMPORE OF THE SENATE, AND THE GOVERNOR OF THE STATE OF CALIFORNIA.

RN0215034

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