Public utilities: rates.

Crime Education Energy

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor: Allen
Last action: 2026-04-23
Official status: From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 13. Noes 4.) (April 21).
Effective date: Not listed

Plain English Breakdown

The official source does not specify penalties for non-compliance or exact details on when the bill will take effect.

Public Utilities: Rates

The bill requires electrical and gas companies to include specific information when proposing rate changes based on return on invested capital, and mandates the Public Utilities Commission to consider wildfire risk reduction efforts in approving these changes.

What This Bill Does

Requires electrical and gas companies to provide detailed information if they want to change rates based on their investment returns.
Makes it necessary for the Public Utilities Commission to think about how well a company is reducing risks of wildfires when deciding on rate changes.

Who It Names or Affects

Electrical and gas companies in California
The Public Utilities Commission

Terms To Know

Public Utilities Commission: A government agency that sets rules for companies providing electricity, water, and other essential services.
Return on invested capital: The profit a company makes from the money it has spent to grow its business.

Limits and Unknowns

Does not specify how much extra information companies must provide.
Doesn't explain exactly what happens if a company doesn't follow these rules.
Doesn't say when this bill will start being used.

Bill History

2026-04-23 California Legislative Information
From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 13. Noes 4.) (April 21).
2026-04-16 California Legislative Information
Set for hearing April 21.
2026-04-09 California Legislative Information
From committee with author's amendments. Read second time and amended. Re-referred to Com. on E., U & C.
2026-04-08 California Legislative Information
Re-referred to Com. on E., U & C.
2026-03-25 California Legislative Information
From committee with author's amendments. Read second time and amended. Re-referred to Com. on RLS.
2026-03-04 California Legislative Information
Referred to Com. on RLS.
2026-02-20 California Legislative Information
From printer. May be acted upon on or after March 22.
2026-02-19 California Legislative Information
Introduced. Read first time. To Com. on RLS. for assignment. To print.

Official Summary Text

SB 1233, as amended, Allen.
Public utilities: rates.
Existing law authorizes the Public Utilities Commission to fix the rates and charges for every public utility, and requires that those rates and charges be just and reasonable. Existing law prohibits a public utility from changing a rate or altering a classification, contract, practice, or rule that would result in a new rate, except upon a showing before the commission and a finding by the commission that the new rate is justified and the public utility notifying its customers of the rate change.
This bill would require an electrical corporation or gas corporation proposing to change a rate or to alter a classification, contract, practice, or rule that would result in a new rate, based directly or indirectly on its request for return on invested capital, to include in its proposal certain information, as provided. The bill would require the
commission, in approving the rate change, to take into account, and make specific findings related
to, certain considerations.
to wildfire risk reduction efforts taken by the electrical corporation or gas corporation.
Under existing law, a violation of the Public Utilities Act or an 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 the bill’s requirements would be a crime, this 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

Read the full stored bill text

Download Bill PDF