16428.1. The Legislature finds and declares all of the following:
(a) Ratepayers and the state's economy have been harmed by
improper and unfair energy market manipulation that has resulted in
overcharging for electricity and natural gas.
(b) The purpose of the act adding this section is to ensure that
any funds paid to the state as a result of energy litigation are used
for the following purposes:
(1) To reimburse state funds for, or to finance, litigation and
investigation expenses.
(2) To reduce ratepayer costs of those utility ratepayers harmed
by the actions of the defendants.
(3) To reduce or pay debt service on the bonds issued pursuant to
Division 27 (commencing with Section 80000) of the Water Code.
16428.15. (a) The Ratepayer Relief Fund is hereby established in
the State Treasury. The purpose of the fund is to benefit electricity
and natural gas ratepayers and to fund investigation and litigation
costs of the state in pursuing allegations of overcharges and unfair
business practices against generators, suppliers, or marketers of
electricity or natural gas.
(b) Notwithstanding any other law, the Controller may use the
moneys in the Ratepayer Relief Fund for loans to the General Fund as
provided in Sections 16310 and 16381. However, interest shall be paid
on all moneys loaned to the General Fund from the Ratepayer Relief
Fund. Interest payable shall be computed at a rate determined by the
Pooled Money Investment Board to be the current earning rate of the
fund from which loaned. This subdivision does not authorize any
transfer that will interfere with the carrying out of the object for
which the Ratepayer Relief Fund was created.
16428.2. As used in this article, the following terms have the
following meanings:
(a) "Fund" means the Ratepayer Relief Fund established in Section
16428.1.
(b) "Energy settlement agreement" means any agreement arising from
the energy crisis of 2000-02, where the State of California or a
division of the State of California, is a party in a complaint or any
action relating to the operation and management of any generation
facilities, any sale or purchase or transmission of natural gas, any
sale or purchase or transmission of electricity or other utility or
energy goods and services, or a violation of the Federal Power Act
(16 U.S.C. Sec. 791a et seq.), state law, or Public Utilities
Commission orders or regulations relating to electricity generation,
transmission, or distribution, electrical corporations, gas
generation, storage, transmission, or distribution, gas corporations,
energy generation facilities, or publicly owned utilities.
16428.3. (a) Any energy settlement agreement entered into by the
Attorney General, after reimbursing the Attorney General's litigation
and investigation expenses, to the maximum extent possible, shall
direct settlement funds to the following purposes in priority order:
(1) To reduce ratepayer costs of those utility ratepayers harmed
by the actions of the settling parties. To the extent the ratepayers
of the investor-owned utilities were harmed, the settlement funds
shall be directed to reduce their costs, to the maximum extent
possible, through reduction of rates or the reduction of ratepayer
debt obligations incurred as a result of the energy crisis.
(2) For deposit in the fund.
(b) Nothing in this article shall preclude nonmonetary
compensation to the state through an energy settlement agreement,
provided that the allocation of benefits from any nonmonetary
compensation is consistent with paragraph (1) of subdivision (a).
16428.4. All funds recovered on behalf of the Department of Water
Resources, after deduction of litigation and investigation expenses,
shall be deposited in the Department of Water Resources Electric
Power Fund and applied pursuant to Division 27 (commencing with
Section 80000) of the Water Code.
16428.5. Moneys in the fund shall be expended upon appropriation by
the Legislature, for the benefit of ratepayers. Moneys in the fund
may be appropriated for the following purposes:
(a) To finance energy litigation and investigation expenses of
state entities.
(b) To reduce rates for customers in the affected service areas of
electrical utilities and gas utilities.
(c) To reduce the debt service on bonds issued pursuant to
Division 27 (commencing with Section 80000) of the Water Code.
16428.6. (a) The Attorney General shall promptly notify the
Director of Finance, Senate President pro Tempore, and the Speaker of
the Assembly upon agreeing on behalf of the state to an energy
settlement agreement. Notification shall include a description of how
the terms of the settlement agreement, as they pertain to the state,
are consistent with the purposes of this article.
(b) The Attorney General shall report semiannually to the
appropriate policy and fiscal committees of the Legislature and the
Director of Finance on energy settlement agreements, litigation and
investigation expenses, and funds expended pursuant to this article.
16428.7. Nothing in this article affects the allocation of funds
from settlements entered into before the effective date of this
article.
16428.1. The Legislature finds and declares all of the following:
(a) Ratepayers and the state's economy have been harmed by
improper and unfair energy market manipulation that has resulted in
overcharging for electricity and natural gas.
(b) The purpose of the act adding this section is to ensure that
any funds paid to the state as a result of energy litigation are used
for the following purposes:
(1) To reimburse state funds for, or to finance, litigation and
investigation expenses.
(2) To reduce ratepayer costs of those utility ratepayers harmed
by the actions of the defendants.
(3) To reduce or pay debt service on the bonds issued pursuant to
Division 27 (commencing with Section 80000) of the Water Code.
16428.15. (a) The Ratepayer Relief Fund is hereby established in
the State Treasury. The purpose of the fund is to benefit electricity
and natural gas ratepayers and to fund investigation and litigation
costs of the state in pursuing allegations of overcharges and unfair
business practices against generators, suppliers, or marketers of
electricity or natural gas.
(b) Notwithstanding any other law, the Controller may use the
moneys in the Ratepayer Relief Fund for loans to the General Fund as
provided in Sections 16310 and 16381. However, interest shall be paid
on all moneys loaned to the General Fund from the Ratepayer Relief
Fund. Interest payable shall be computed at a rate determined by the
Pooled Money Investment Board to be the current earning rate of the
fund from which loaned. This subdivision does not authorize any
transfer that will interfere with the carrying out of the object for
which the Ratepayer Relief Fund was created.
16428.2. As used in this article, the following terms have the
following meanings:
(a) "Fund" means the Ratepayer Relief Fund established in Section
16428.1.
(b) "Energy settlement agreement" means any agreement arising from
the energy crisis of 2000-02, where the State of California or a
division of the State of California, is a party in a complaint or any
action relating to the operation and management of any generation
facilities, any sale or purchase or transmission of natural gas, any
sale or purchase or transmission of electricity or other utility or
energy goods and services, or a violation of the Federal Power Act
(16 U.S.C. Sec. 791a et seq.), state law, or Public Utilities
Commission orders or regulations relating to electricity generation,
transmission, or distribution, electrical corporations, gas
generation, storage, transmission, or distribution, gas corporations,
energy generation facilities, or publicly owned utilities.
16428.3. (a) Any energy settlement agreement entered into by the
Attorney General, after reimbursing the Attorney General's litigation
and investigation expenses, to the maximum extent possible, shall
direct settlement funds to the following purposes in priority order:
(1) To reduce ratepayer costs of those utility ratepayers harmed
by the actions of the settling parties. To the extent the ratepayers
of the investor-owned utilities were harmed, the settlement funds
shall be directed to reduce their costs, to the maximum extent
possible, through reduction of rates or the reduction of ratepayer
debt obligations incurred as a result of the energy crisis.
(2) For deposit in the fund.
(b) Nothing in this article shall preclude nonmonetary
compensation to the state through an energy settlement agreement,
provided that the allocation of benefits from any nonmonetary
compensation is consistent with paragraph (1) of subdivision (a).
16428.4. All funds recovered on behalf of the Department of Water
Resources, after deduction of litigation and investigation expenses,
shall be deposited in the Department of Water Resources Electric
Power Fund and applied pursuant to Division 27 (commencing with
Section 80000) of the Water Code.
16428.5. Moneys in the fund shall be expended upon appropriation by
the Legislature, for the benefit of ratepayers. Moneys in the fund
may be appropriated for the following purposes:
(a) To finance energy litigation and investigation expenses of
state entities.
(b) To reduce rates for customers in the affected service areas of
electrical utilities and gas utilities.
(c) To reduce the debt service on bonds issued pursuant to
Division 27 (commencing with Section 80000) of the Water Code.
16428.6. (a) The Attorney General shall promptly notify the
Director of Finance, Senate President pro Tempore, and the Speaker of
the Assembly upon agreeing on behalf of the state to an energy
settlement agreement. Notification shall include a description of how
the terms of the settlement agreement, as they pertain to the state,
are consistent with the purposes of this article.
(b) The Attorney General shall report semiannually to the
appropriate policy and fiscal committees of the Legislature and the
Director of Finance on energy settlement agreements, litigation and
investigation expenses, and funds expended pursuant to this article.
16428.7. Nothing in this article affects the allocation of funds
from settlements entered into before the effective date of this
article.
16428.1. The Legislature finds and declares all of the following:
(a) Ratepayers and the state's economy have been harmed by
improper and unfair energy market manipulation that has resulted in
overcharging for electricity and natural gas.
(b) The purpose of the act adding this section is to ensure that
any funds paid to the state as a result of energy litigation are used
for the following purposes:
(1) To reimburse state funds for, or to finance, litigation and
investigation expenses.
(2) To reduce ratepayer costs of those utility ratepayers harmed
by the actions of the defendants.
(3) To reduce or pay debt service on the bonds issued pursuant to
Division 27 (commencing with Section 80000) of the Water Code.
16428.15. (a) The Ratepayer Relief Fund is hereby established in
the State Treasury. The purpose of the fund is to benefit electricity
and natural gas ratepayers and to fund investigation and litigation
costs of the state in pursuing allegations of overcharges and unfair
business practices against generators, suppliers, or marketers of
electricity or natural gas.
(b) Notwithstanding any other law, the Controller may use the
moneys in the Ratepayer Relief Fund for loans to the General Fund as
provided in Sections 16310 and 16381. However, interest shall be paid
on all moneys loaned to the General Fund from the Ratepayer Relief
Fund. Interest payable shall be computed at a rate determined by the
Pooled Money Investment Board to be the current earning rate of the
fund from which loaned. This subdivision does not authorize any
transfer that will interfere with the carrying out of the object for
which the Ratepayer Relief Fund was created.
16428.2. As used in this article, the following terms have the
following meanings:
(a) "Fund" means the Ratepayer Relief Fund established in Section
16428.1.
(b) "Energy settlement agreement" means any agreement arising from
the energy crisis of 2000-02, where the State of California or a
division of the State of California, is a party in a complaint or any
action relating to the operation and management of any generation
facilities, any sale or purchase or transmission of natural gas, any
sale or purchase or transmission of electricity or other utility or
energy goods and services, or a violation of the Federal Power Act
(16 U.S.C. Sec. 791a et seq.), state law, or Public Utilities
Commission orders or regulations relating to electricity generation,
transmission, or distribution, electrical corporations, gas
generation, storage, transmission, or distribution, gas corporations,
energy generation facilities, or publicly owned utilities.
16428.3. (a) Any energy settlement agreement entered into by the
Attorney General, after reimbursing the Attorney General's litigation
and investigation expenses, to the maximum extent possible, shall
direct settlement funds to the following purposes in priority order:
(1) To reduce ratepayer costs of those utility ratepayers harmed
by the actions of the settling parties. To the extent the ratepayers
of the investor-owned utilities were harmed, the settlement funds
shall be directed to reduce their costs, to the maximum extent
possible, through reduction of rates or the reduction of ratepayer
debt obligations incurred as a result of the energy crisis.
(2) For deposit in the fund.
(b) Nothing in this article shall preclude nonmonetary
compensation to the state through an energy settlement agreement,
provided that the allocation of benefits from any nonmonetary
compensation is consistent with paragraph (1) of subdivision (a).
16428.4. All funds recovered on behalf of the Department of Water
Resources, after deduction of litigation and investigation expenses,
shall be deposited in the Department of Water Resources Electric
Power Fund and applied pursuant to Division 27 (commencing with
Section 80000) of the Water Code.
16428.5. Moneys in the fund shall be expended upon appropriation by
the Legislature, for the benefit of ratepayers. Moneys in the fund
may be appropriated for the following purposes:
(a) To finance energy litigation and investigation expenses of
state entities.
(b) To reduce rates for customers in the affected service areas of
electrical utilities and gas utilities.
(c) To reduce the debt service on bonds issued pursuant to
Division 27 (commencing with Section 80000) of the Water Code.
16428.6. (a) The Attorney General shall promptly notify the
Director of Finance, Senate President pro Tempore, and the Speaker of
the Assembly upon agreeing on behalf of the state to an energy
settlement agreement. Notification shall include a description of how
the terms of the settlement agreement, as they pertain to the state,
are consistent with the purposes of this article.
(b) The Attorney General shall report semiannually to the
appropriate policy and fiscal committees of the Legislature and the
Director of Finance on energy settlement agreements, litigation and
investigation expenses, and funds expended pursuant to this article.
16428.7. Nothing in this article affects the allocation of funds
from settlements entered into before the effective date of this
article.
