AB-1999
This bill would repeal the provisions described in the preceding paragraph. The bill prohibit modifications to the amount of the income-graduated fixed charge from exceeding changes in inflation, as provided. The bill would make the provisions authorizing the income-graduated fixed charge inoperative on July 1, 2028. The bill, commencing July 1, 2028, would instead permit the commission to authorize fixed charges that, as of January 1, 2015, do not exceed $5 per residential customer account per month for low-income customers enrolled in the California Alternate Rates for Energy (CARE) program and that do not exceed $10 per residential customer account per month for customers not enrolled in the CARE program. The bill would authorize these maximum allowable fixed charges to be adjusted by no more than the annual percentage increase in the Consumer Price Index for the prior calendar year, beginning January 1, 2016.
The bill would require the commission to adopt any modification to an existing fixed charge for the collection of a reasonable portion of the fixed costs of providing electrical service to residential customers in a stand-alone proceeding. The bill would prohibit a fixed charge from resulting in an increase to an electrical corporation’s revenue requirement. The bill would require the commission, on or before July 1, 2027, but no sooner than 2 years after the adoption of the income-graduated fixed charge, to submit a public report to the relevant policy committees of both houses of the Legislature on the electrical corporations’ implementation of the income-graduated fixed charge and other cost-saving options, as specified.