This bill would create the Public Transmission Financing Fund within the State Treasury for the purpose of financing eligible transmission projects, as defined, and projects that are necessary to meet the state’s clean energy goals to reduce or offset ratepayer costs associated with the public benefits of transmission projects. The bill would make the moneys in the fund, except as specified, continuously appropriated, without regard to fiscal year, for the support of eligible entities, as defined, and available for expenditure for the above-described purpose. By establishing a continuously appropriated fund, the bill would make an appropriation.

This bill would require the I-Bank to administer the Public Transmission Financing Program to provide financial assistance and financing for eligible transmission projects, sponsored or owned, in whole or in part, by a public transmission sponsor, as defined. The bill would authorize the I-Bank to provide financial assistance under the Public Transmission Financing Program program to any public transmission sponsor or participating party, as defined, either directly or to a lending or financial institution, in connection with the financing or refinancing of a transmission project owned or financed, in whole or in part, by a public transmission sponsor, in accordance with an agreement or agreements, between the I-Bank and the public transmission sponsor either as a sole lender or in participation or syndication with other lenders. The bill would authorize the I-Bank to issue taxable or tax-exempt bonds, as specified, loan the proceeds to a public transmission sponsor, and deposit the proceeds into the Public Transmission Financing Fund or use the proceeds to refund bonds previously issued, as provided. The bill would prohibit the I-Bank from providing financing or other support for eligible transmission projects that will recover costs through an authorized revenue requirement approved by the Federal Energy Regulatory Commission (FERC) unless the public transmission sponsor makes specified commitments. The bill would prohibit the I-Bank from financing an eligible transmission project unless certain conditions are met for the construction and maintenance of the transmission project and the transmission project complies with General Order 95 of the Public Utilities Commission (PUC).

Existing law establishes the Wildfire Fund to pay eligible claims arising from a covered wildfire, as provided. Existing law requires the PUC to direct an electrical corporation participating in the Wildfire Fund to collect a nonbypassable charge from the electrical corporation’s ratepayers to support the Wildfire Fund.

This bill would require a public transmission sponsor of a transmission project that receives benefits from the Public Transmission Financing Program to participate in the Wildfire Fund, as provided