Electrical corporations and gas corporations: rate recovery: political activities and promotional advertising.

Crime Education Energy

Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor: Berman (A) , Addis
Last action: 2025-10-11
Official status: Chaptered by Secretary of State - Chapter 634, Statutes of 2025.
Effective date: Not listed

Plain English Breakdown

The official summary and digest do not provide specific details on exceptions for political activities or ads.

Electric and Gas Companies: Rules on Using Customer Money

The law stops electric and gas companies from using customer money to pay for political activities or ads that don't help customers. It also makes these companies tell people where their money comes from when they make public messages.

What This Bill Does

Prohibits electric and gas companies from using ratepayer funds for political influence activities or promotional advertising, except as provided.
Requires electric and gas companies to clearly state in all public messages whether the costs were paid by shareholders or customers.
Makes these companies report certain information about their expenses annually starting May 31, 2026.
Gives the Public Utilities Commission power to fine companies that break these rules.

Who It Names or Affects

Electric and gas companies in California
Ratepayers (customers) of electric and gas companies

Terms To Know

Public Utilities Commission: A government agency that regulates public utilities like electricity and gas to ensure fair rates for customers.
Ratepayer: A person who pays the bills for utility services such as electricity or gas.

Limits and Unknowns

The bill does not specify what happens if a company fails to report information on time.
It is unclear how strictly the Public Utilities Commission will enforce these rules.
There are no details about specific exceptions for when companies can use customer funds for political activities or ads.

Bill History

2025-10-11 California Legislative Information
Chaptered by Secretary of State - Chapter 634, Statutes of 2025.
2025-10-11 California Legislative Information
Approved by the Governor.
2025-09-22 California Legislative Information
Enrolled and presented to the Governor at 3 p.m.
2025-09-10 California Legislative Information
Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 50. Noes 8. Page 3251.).
2025-09-09 California Legislative Information
In Assembly. Concurrence in Senate amendments pending.
2025-09-09 California Legislative Information
Read third time. Passed. Ordered to the Assembly. (Ayes 30. Noes 10. Page 2660.).
2025-09-02 California Legislative Information
Read second time. Ordered to third reading.
2025-08-29 California Legislative Information
Read second time and amended. Ordered returned to second reading.
2025-08-29 California Legislative Information
From committee: Amend, and do pass as amended. (Ayes 5. Noes 2.) (August 29).
2025-08-18 California Legislative Information
In committee: Referred to suspense file.
2025-07-07 California Legislative Information
Re-referred to Com. on APPR.
2025-07-07 California Legislative Information
Withdrawn from committee.
2025-07-03 California Legislative Information
Read second time and amended. Re-referred to Com. on JUD.
2025-07-02 California Legislative Information
From committee: Amend, and do pass as amended and re-refer to Com. on JUD. (Ayes 13. Noes 4.) (July 1).
2025-06-19 California Legislative Information
From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on E., U & C.
2025-06-11 California Legislative Information
Referred to Coms. on E., U & C. and JUD.
2025-06-03 California Legislative Information
In Senate. Read first time. To Com. on RLS. for assignment.
2025-06-02 California Legislative Information
Read third time. Passed. Ordered to the Senate. (Ayes 52. Noes 1. Page 1917.)
2025-05-27 California Legislative Information
Read second time. Ordered to third reading.
2025-05-23 California Legislative Information
Read second time and amended. Ordered returned to second reading.
2025-05-23 California Legislative Information
From committee: Amend, and do pass as amended. (Ayes 10. Noes 0.) (May 23).
2025-05-23 California Legislative Information
Assembly Rule 63 suspended. (Ayes 51. Noes 16. Page 1644.)
2025-05-14 California Legislative Information
In committee: Set, first hearing. Referred to APPR. suspense file.
2025-05-06 California Legislative Information
Re-referred to Com. on APPR.
2025-05-05 California Legislative Information
Read second time and amended.
2025-05-01 California Legislative Information
From committee: Amend, and do pass as amended and re-refer to Com. on APPR. (Ayes 13. Noes 0.) (April 30).
2025-04-22 California Legislative Information
Re-referred to Com. on U. & E.
2025-04-21 California Legislative Information
From committee chair, with author's amendments: Amend, and re-refer to Com. on U. & E. Read second time and amended.
2025-03-26 California Legislative Information
Re-referred to Com. on U. & E.
2025-03-25 California Legislative Information
From committee chair, with author's amendments: Amend, and re-refer to Com. on U. & E. Read second time and amended.
2025-03-24 California Legislative Information
Referred to Com. on U. & E.
2025-02-24 California Legislative Information
Read first time.
2025-02-22 California Legislative Information
From printer. May be heard in committee March 24.
2025-02-21 California Legislative Information
Introduced. To print.

Official Summary Text

AB 1167, Berman.
Electrical corporations and gas corporations: rate recovery: political activities and promotional advertising.
Existing law authorizes the Public Utilities Commission to fix the rates and charges for public utilities, including electrical corporations and gas corporations, and requires those rates and charges to be just and reasonable. Under existing law, a regulated public utility is prohibited from using ratepayer funds for advocacy-related activities that are political or do not otherwise benefit ratepayers.
This bill would prohibit, except as provided, each electrical corporation or gas corporation from recording
to accounts that contain expenses that the electrical corporation or gas corporation recovers from ratepayers,
or otherwise recovering from ratepayers, various expenses, including those associated with political influence activities or promotional advertising, as specified. The bill would require each electrical corporation or gas corporation to clearly and conspicuously disclose in all of its public messages whether the costs of the public messages are paid for by the corporation’s shareholders or ratepayers. The bill would require
each electrical corporation or gas corporation, on or before May 31, 2026, and annually thereafter, to report, as part of a specified statement to the commission, certain related information. The bill would require the commission to make the reports publicly available, as provided.
This bill would require the commission to assess a civil penalty, based on the severity of the violation, against an electrical corporation or gas
corporation that violates the prohibition described above, or that neglects to comply with any part or provision of any order, decision, decree, rule, direction, demand, or requirement of the commission related to implementing that prohibition, as provided.
Under existing law, a violation of the Public Utilities Act or any order, decision, rule, direction, demand, or requirement of the commission is a crime.
Because the above provisions would be part of the act and a violation of a commission action implementing this bill’s requirements would be a crime, the bill would impose a state-mandated local program.
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.

Current Bill Text

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