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Measure AB 1347
Authors Carrillo  
Subject Electrical modernization zones.
Relating To relating to electricity.
Title An act to add Section 933.1 to the Public Utilities Code, relating to electricity.
Last Action Dt 2025-03-28
State Amended Assembly
Status In Committee Process
Active? Y
Vote Required Majority
Appropriation No
Fiscal Committee Yes
Local Program Yes
Substantive Changes None
Urgency No
Tax Levy No
Leginfo Link Bill
Actions
2025-04-30     In committee: Set, first hearing. Hearing canceled at the request of author.
2025-04-23     In committee: Hearing postponed by committee.
2025-04-22     From committee: Do pass and re-refer to Com. on U. & E. (Ayes 7. Noes 0.) (April 22). Re-referred to Com. on U. & E.
2025-04-07     Re-referred to Coms. on E.D., G., & H.I. and U. & E. pursuant to Assembly Rule 96.
2025-04-01     Re-referred to Com. on U. & E.
2025-03-28     From committee chair, with author's amendments: Amend, and re-refer to Com. on U. & E. Read second time and amended.
2025-03-28     Referred to Coms. on U. & E. and E.D., G., & H.I.
2025-02-24     Read first time.
2025-02-22     From printer. May be heard in committee March 24.
2025-02-21     Introduced. To print.
Keywords
Tags
Versions
Amended Assembly     2025-03-28
Introduced     2025-02-21
Last Version Text
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		<ns0:AuthorText authorType="LEAD_AUTHOR">Introduced by Assembly Member Carrillo</ns0:AuthorText>
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		<ns0:Title> An act to add Section 933.1 to the Public Utilities Code, relating to electricity. </ns0:Title>
		<ns0:RelatingClause>electricity</ns0:RelatingClause>
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			<ns0:Subject>Electrical modernization zones.</ns0:Subject>
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			<html:p>Existing law provides that it is the policy of the state that each electrical corporation upgrade the state’s electrical distribution systems as needed. Existing law requires the Public Utilities Commission (PUC), in consultation with the State Energy Resources Conservation and Development Commission (Energy Commission) and the Independent System Operator (ISO), to take specified actions to facilitate the commercialization of microgrids for distribution customers of large electrical corporations.</html:p>
			<html:p>This bill would require the Governor’s Office of Business and Economic Development, in conjunction with the ISO, to identify six electrical infrastructure
			 modernization zones, as provided. The bill would require the PUC and the Energy Commission to recognize these zones as load growth priority areas. The bill would authorize an electrical corporation that serves a customer within an electrical infrastructure modernization zone to work with the local jurisdiction to update its electrical load projections. The bill would require the PUC to authorize an electrical corporation that serves a customer within an electrical infrastructure modernization zone to expedite cost recovery and to manage microgrids, as specified.</html:p>
			<html:p>Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the PUC is a crime.</html:p>
			<html:p>Because the provisions of this bill would be a part of the act, and because a violation of a PUC action
			 implementing its requirements would be a crime, the bill would impose a state-mandated local program.</html:p>
			<html:p>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.</html:p>
			<html:p>This bill would provide that no reimbursement is required by this act for a specified reason.</html:p>
			<html:p>This bill would make legislative findings and declarations as to the necessity of a special statute for the unincorporated area known as Altadena in the County of Los Angeles.</html:p>
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		<ns0:Preamble>The people of the State of California do enact as follows:</ns0:Preamble>
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			<ns0:Num>SECTION 1.</ns0:Num>
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				<html:p>The Legislature finds and declares all of the following:</html:p>
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					(a)
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					The state is facing unprecedented load growth coupled with increased pressures on affordability.
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					(b)
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					Although the Legislature, in 2023, enacted the Powering Up Californians Act (Article 14.5 (commencing with Section 930) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code), many jurisdictions continue
				to face energy constraints.
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					(c)
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					Delays in providing electricity, including service upgrades, are costly to local cities.
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					(d)
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					Many local jurisdictions face millions of dollars of lost revenue because of potential delays.
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					(e)
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					The state needs to look at alternative ways of providing safe and reliable electricity to hard-to-reach areas and customers.
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			<ns0:Num>SEC. 2.</ns0:Num>
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				Section 933.1 is added to the 
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				, to read:
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								(a)
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								(1)
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								The Governor’s Office of Business and Economic Development, in conjunction with the Independent System Operator, shall identify six electrical infrastructure modernization zones based on, at a minimum, all of the following indicators:
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								(A)
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								Need for increased economic development within the local jurisdiction.
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								(B)
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								Lack of electrical infrastructure and delays in providing timely electrification, or both.
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								(C)
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								Projected load growth in the local jurisdiction.
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								(D)
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								Need to build infrastructure with a minimum impact on
						ratepayers.
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								(2)
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								The six electrical infrastructure modernization zones identified pursuant to paragraph (1) shall include both of the following zones:
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								(A)
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								The high desert area, as defined by the Governor’s Office of Business and Economic Development in conjunction with the Independent System Operator.
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								(B)
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								The unincorporated area known as Altadena in the County of Los Angeles.
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								(b)
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								For electrical infrastructure modernization zones identified pursuant to subdivision (a), all of the following shall apply:
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								(1)
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								The commission and the Energy Commission shall recognize the electrical infrastructure modernization zones as load growth priority areas.
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								(2)
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								An electrical corporation that serves a customer within an electrical infrastructure modernization zone may work with the local jurisdiction to update its electrical load projections.
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								(3)
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								The commission shall authorize an electrical corporation that serves a customer within an electrical infrastructure modernization zone to do both of the following: 
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								(A)
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								Expedite cost recovery pursuant to subdivision (a) of Section 937.
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								(B)
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								Manage a microgrid, upon approval of the local jurisdiction. If the microgrid is not interconnected to the electrical grid, the electrical corporation may collect a fixed charge from a customer of the microgrid. If the electrical corporation is not able to manage the microgrid, a customer may contract with a microgrid provider for up
						to 10 years with a one-time 10-year renewal process.
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					No reimbursement is required by this act pursuant to Section 6 of Article XIII
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					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
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					B of the California Constitution.
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				<html:p>The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique demand for adequate operational electrical infrastructure in the unincorporated area known as Altadena in the County of Los Angeles.</html:p>
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Last Version Text Digest Existing law provides that it is the policy of the state that each electrical corporation upgrade the state’s electrical distribution systems as needed. Existing law requires the Public Utilities Commission (PUC), in consultation with the State Energy Resources Conservation and Development Commission (Energy Commission) and the Independent System Operator (ISO), to take specified actions to facilitate the commercialization of microgrids for distribution customers of large electrical corporations. This bill would require the Governor’s Office of Business and Economic Development, in conjunction with the ISO, to identify six electrical infrastructure modernization zones, as provided. The bill would require the PUC and the Energy Commission to recognize these zones as load growth priority areas. The bill would authorize an electrical corporation that serves a customer within an electrical infrastructure modernization zone to work with the local jurisdiction to update its electrical load projections. The bill would require the PUC to authorize an electrical corporation that serves a customer within an electrical infrastructure modernization zone to expedite cost recovery and to manage microgrids, as specified. Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the PUC is a crime. This bill would make legislative findings and declarations as to the necessity of a special statute for the unincorporated area known as Altadena in the County of Los Angeles.