The Public Utilities Commission consists of 5 members appointed by the Governor and approved by the Senate, a majority of the membership concurring, for staggered 6-year terms. A vacancy is filled for the remainder of the term. The Legislature may remove a member for incompetence, neglect of duty, or corruption, two thirds of the membership of each house concurring.
Public Utilities
Section § 1
The Public Utilities Commission in California is made up of five members. The Governor appoints them, and they need Senate approval. Each member serves for six years, but their terms start at different times to ensure continuity. If someone leaves the Commission before their term ends, a new member is appointed just to finish that term. If a member is not doing their job properly, the Legislature can remove them, but two-thirds of both legislative houses must agree to it.
Public Utilities Commission members Governor appointment
Section § 2
This law allows the commission to set up its own rules and procedures, as long as they follow existing laws and due process. A commissioner, chosen by the commission, can also hold hearings or investigations and issue orders, but these actions need to be approved by the commission.
Subject to statute and due process, the commission may establish its own procedures. Any commissioner as designated by the commission may hold a hearing or investigation or issue an order subject to commission approval.
commission procedures due process hearing
Section § 3
This law outlines that any private companies or individuals owning or running services for transporting people or things, sending phone or telegraph messages, or providing essentials like heat, light, water, and more to the public are considered public utilities. These utilities are regulated by the state legislature. The law also allows the legislature to classify other businesses as public utilities if necessary.
Private corporations and persons that own, operate, control, or manage a line, plant, or system for the transportation of people or property, the transmission of telephone and telegraph messages, or the production, generation, transmission, or furnishing of heat, light, water, power, storage, or wharfage directly or indirectly to or for the public, and common carriers, are public utilities subject to control by the Legislature. The Legislature may prescribe that additional classes of private corporations or other persons are public utilities.
public utilities transportation services telecommunication services
Section § 4
This law gives the commission the power to set prices and create rules for how transportation companies charge for moving people and goods. The commission can prevent unfair pricing and make transportation companies pay back customers for overcharging. Companies can't increase their prices without the commission's approval, and the commission's decision can only be challenged in court if it's thought to lead to the taking away of company property without fair compensation.
The commission may fix rates and establish rules for the transportation of passengers and property by transportation companies, prohibit discrimination, and award reparation for the exaction of unreasonable, excessive, or discriminatory charges. A transportation company may not raise a rate or incidental charge except after a showing to and a decision by the commission that the increase is justified, and this decision shall not be subject to judicial review except as to whether confiscation of property will result.
transportation rates passenger transportation property transportation
Section § 5
This law gives the Legislature complete power to give more authority and responsibilities to the commission. It can also decide how commission decisions are reviewed in court and ensure fair payment when utility property is taken by eminent domain.
The Legislature has plenary power, unlimited by the other provisions of this constitution but consistent with this article, to confer additional authority and jurisdiction upon the commission, to establish the manner and scope of review of commission action in a court of record, and to enable it to fix just compensation for utility property taken by eminent domain.
plenary power commission authority jurisdiction
Section § 6
This law section gives a commission the authority to set rates and rules, review records, and issue subpoenas for public utilities. It can also administer oaths, take testimony, punish for contempt, and ensure a consistent accounting system for all utilities it oversees.
The commission may fix rates, establish rules, examine records, issue subpenas, administer oaths, take testimony, punish for contempt, and prescribe a uniform system of accounts for all public utilities subject to its jurisdiction.
public utilities rate setting subpoenas
Section § 7
This law states that transportation companies are not allowed to give free passes or discounts to state officials. If a government officer, except for a Public Utilities Commissioner, accepts such perks, they will lose their job. Additionally, a Public Utilities Commissioner cannot have any official ties or financial interests in any company that the commission oversees.
A transportation company may not grant free passes or discounts to anyone holding an office in this State; and the acceptance of a pass or discount by a public officer, other than a Public Utilities Commissioner, shall work a forfeiture of that office. A Public Utilities Commissioner may not hold an official relation to nor have a financial interest in a person or corporation subject to regulation by the commission.
transportation company discounts free passes for officials public officer pass acceptance
Section § 8
This law states that cities, counties, or other public bodies cannot regulate matters that the state legislature has given control over to the Commission. However, it allows cities to maintain control over certain municipal matters like public utilities, police, and sanitation as long as these powers were established under a city charter before October 10, 1911. Cities also have the right to grant business franchises under certain conditions unless these rights are removed by the voters.
A city, county, or other public body may not regulate matters over which the Legislature grants regulatory power to the Commission. This section does not affect power over public utilities relating to the making and enforcement of police, sanitary, and other regulations concerning municipal affairs pursuant to a city charter existing on October 10, 1911, unless that power has been revoked by the city’s electors, or the right of any city to grant franchises for public utilities or other businesses on terms, conditions, and in the manner prescribed by law.
local government regulation legislature authority Commission powers
Section § 9
This section is essentially saying that the changes made by this amendment do not alter the meaning or application of the existing rules in the Constitution; they simply reiterate what was already there.
The provisions of this article restate all related provisions of the Constitution in effect immediately prior to the effective date of this amendment and make no substantive change.
constitutional amendment provisions restated no substantive change
