Public Utilities Commission: duties and responsibilities: governance.

(1) Existing law vests the Public Utilities Commission with regulatory authority over household goods carriers. Existing law imposes upon household goods carriers, and every person or corporation, owning or operating motor vehicles in the transportation of property for hire upon the public highways, under the jurisdiction of the commission, a license fee equal to 110 of 1% of the gross revenue, as defined. This bill would, on July 1, 2018, rename household goods carriers "household movers" for purposes of this regulatory and fee authority, revise and recast the regulatory requirements imposed on household movers, and transfer that regulatory authority to the Division of Household Movers within the Bureau of Electronic and Appliance Repair, Home Furnishings, and Thermal Insulation in the Department of Consumer Affairs. The bill would establish the Household Movers Fund in the Professions and Vocations Fund and would require all moneys, including fines or penalties, collected for the regulation of household movers to be deposited in the fund. The bill would require moneys in the fund, upon appropriation by the Legislature, to be expended by the department in regulating household movers. The bill would repeal the license fee. The bill would impose fees for the issuance, renewal, reinstatement, and transfer of a permit, and would require the bureau, on or before January 1, 2023, to adopt and implement a fee schedule to adjust the fees imposed for these purposes. The bill would also authorize the bureau to provide for different fees for purposes of household movers. The bill would specify that a permit expires 2 years from the date of issuance. (2) Existing law vests the commission with certain regulatory authority over vessels for hire. This bill would, on July 1, 2018, transfer that regulatory authority to regulate vessels for hire to the Division of Boating and Waterways within the Department of Parks and Recreation. (3) Existing law provides the commission with broad regulatory jurisdiction and authority over public utilities, including common carriers, electrical corporations, gas corporations, telephone corporations, and water corporations. Existing law prohibits a commissioner from holding an official relation to or having a financial interest in a person or corporation subject to regulation by the commission and requires the commission to adopt an updated Conflict of Interest Code and Statement of Incompatible Activities by February 28, 1998. This bill would prohibit an executive of a public utility from serving as a commissioner within 2 years after leaving the employment of the utility. The bill would require the commission to maintain an updated Conflict of Interest Code and Statement of Incompatible Activities. The bill would establish an ethics officer within the legal division of the commission. The ethics officer would be designated by the general counsel of the commission and would be responsible for instituting a program of enhanced ethics training for all commissioners and employees of the commission. The ethics officer would additionally be responsible for providing confidential advice to commissioners and employees of the commission relative to the commission's Conflict of Interest Code, Statement of Incompatible Activities, and limitations on ex parte communications. (4) Existing law requires the commission to appoint an executive director who is responsible for the commission's executive and administrative duties and to organize, coordinate, supervise, and direct the operations and affairs of the commission and expedite all matters within the commission's jurisdiction. Existing law authorizes the executive director to employ those officers, administrative law judges, experts, engineers, statisticians, accountants, inspectors, clerks, and employees as the executive director deems necessary to carry out the provisions of the Public Utilities Act or to perform the duties and exercise the powers conferred upon the commission by law. This bill would authorize the executive director to authorize commission employees to undertake temporary training and development assignments with other agencies, departments, and commissions that undertake coordinated activities with the commission, including the State Energy Resources Conservation and Development Commission, the State Air Resources Board, and the Division of Oil, Gas, and Geothermal Resources. The bill would require the commission to appoint a chief administrative law judge and a chief internal auditor, to hold office at the pleasure of the commission and to perform specified functions. (5) Existing law requires that the commission comply with specified requirements when entering into contracts for consultant or advisory services, except when the commission makes a finding that extraordinary circumstances justify expedited contracting for consultant or advisory services. This bill would clarify that these requirements do not apply to contracts for legal services by attorneys who are not employees of the commission. The bill would require the commission to notify the Attorney General when contracting for legal services by attorneys who are not employees of the commission. (6) The California Constitution authorizes the commission to establish rules, examine records, and prescribe a uniform system of accounts for all public utilities. The Public Utilities Act requires the commission to inspect and audit the books and records of electrical corporations, gas corporations, heat corporations, telegraph corporations, telephone corporations, and water corporations for regulatory and tax purposes. This bill would authorize the commission to conduct financial and performance audits of any entity or program created by any order, decision, motion, settlement, or other action of the commission. The bill would authorize the commission to conduct additional followup work that is related to any findings and recommendations related to the audit. If the commission undertakes an audit pursuant to this authority, the bill would require the commission to transmit a copy of the audit report to the Legislature and to the Governor immediately upon completion of the audit and to make the report available to the public. (7) Existing law requires the commission to establish an office of the public advisor and requires the office of the public advisor to assist members of the public and ratepayers who desire to testify before or present information to the commission in any hearing or proceeding of the commission. This bill would require the public advisor to receive complaints and comments from members of the public concerning how the commission is carrying out its functions. The bill would require the public advisor to assess the nature of substantive complaints and comments from members of the public and take them into consideration when analyzing and recommending options for resolution of the matters underlying those complaints and comments. The public advisor would be required to maintain the confidentiality of the identity of a member of the public who makes a complaint or comment unless the member of the public expressly indicates a desire to communicate his or her identity to the commission. (8) Existing law vests the commission with regulatory authority over private carriers, as defined. This bill would, on July 1, 2018, revise and recast the regulatory requirements imposed on private carriers and would transfer that regulatory authority to the Department of Motor Vehicles. The bill would revise the information required to be submitted to the department by an applicant for a registration as private carrier, as specified. (9) Existing law vests the commission with certain regulatory authority over commercial air operators. This bill would, on July 1, 2018, transfer that authority to the city, county, or city and county with geographic jurisdiction. By imposing additional duties on a local jurisdiction, the bill would impose a state-mandated local program. The bill would authorize the local jurisdiction to charge reasonable fees for its regulatory oversight of commercial air operators. The bill would require commercial air operators to maintain in force at least $1,000,000 of liability insurance with additional liability coverage of $100,000 for each passenger of an aircraft. (10) This bill would, on July 1, 2018, reappropriate the unexpended balance of funds appropriated to the commission to fund its regulatory activities with regard to household movers, vessels for hire, and private carriers to the respective state agencies given jurisdiction by the bill, thereby making an appropriation. (11) This bill would, on July 1, 2018, require, in any action or proceeding by or against the commission pertaining to the matters related to household movers, vessels for hire, commercial air operators, or private carriers, the Bureau of Electronic and Appliance Repair, Home Furnishings, and Thermal Insulation, the Division of Boating and Waterways in the Department of Parks and Recreation, the Department of Motor Vehicles, or the local jurisdiction, respectively, to substitute for the commission in the action or proceeding. Because this bill would impose additional duties on local jurisdictions, the bill would impose a state-mandated local program. (12) This bill would incorporate additional changes to Section 205 of the Business and Professions Code, as amended by Section 1 of Chapter 800 of the Statutes of 2016, proposed by AB 1705 to be operative only if this bill and AB 1705 are enacted and this bill is enacted last. (13) 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. This bill would provide that no reimbursement is required by this act for a specified reason.