Powers Of The Department - - CA Water

Section § 80520

This law permits the department to hire an electrical company or its successor to handle services like billing and collecting payments. They can set terms to fairly compensate the company while ensuring the department gets paid. If the department asks, the commission can require the electrical company to fulfill these duties as per the contract.

(a) The department may contract with an electrical corporation or its successor in the performance of related service, as an agent of the department, to provide billing, collection, and other related services on terms and conditions that reasonably compensate the electrical corporation or its successor for its services, and adequately secure payment to the department.

(b) At the request of the department, the commission shall order an electrical corporation or its successor to perform the duties pursuant to a contract described in subdivision (a).

billing services collection services electrical corporation compensation payment security service contract commission order agent of department utility services contract terms electrical company duties

(Added by Stats. 2019, Ch. 79, Sec. 22. (AB 1054) Effective July 12, 2019.)

Section § 80522

This law allows the commission to create rules for how the agency's responsibilities are carried out, such as collecting and paying money to the department.

The commission may issue rules regulating the enforcement of the agency functions pursuant this division, including collection and payment to the department.

commission rules agency enforcement agency functions collection procedures payment to department regulation issuance enforcement rules department payment administrative rules agency regulation rule creation payment collection function oversight commission authority enforcement regulation

(Added by Stats. 2019, Ch. 79, Sec. 22. (AB 1054) Effective July 12, 2019.)

Section § 80524

This section sets rules for calculating how much money the California Department of Water Resources can collect each year. First, it states that the annual revenue requirement is based on an average from 2013 to 2018. Normally, this rule lasts until 2036, but it can extend to 2046 if the Public Utilities Commission (PUC) imposes certain charges.

The law also outlines a process for adjustments if too much or too little money is collected. If collections fall short, the department notifies the PUC, which has 30 days to raise charges to meet obligations. Agreements between the department and PUC have the same authority as court orders under the law, ensuring they follow a fair process. These rules only apply when all major electric companies choose to participate. This ensures the department meets its financial obligations without affecting previous decisions deemed fair and reasonable by the PUC.

(a)

(1) The revenue requirement for each year or, with respect to the first year and last year, the pro rata portion of the year, shall be equal to the average annual amount of collections by the department with respect to charges imposed pursuant to the revenue requirements established by the department under Section 80110 for the period from January 1, 2013, through December 31, 2018. Except as provided in paragraph (2), the revenue requirement shall remain in effect until January 1, 2036.

(2) The revenue requirement specified in paragraph (1) shall remain in effect until January 1, 2046, if the Public Utilities Commission imposes a nonbypassable charge pursuant to Section 3299.2 of the Public Utilities Code. This paragraph shall become operative upon all large electrical corporations electing to participate in the account pursuant to Section 3299 of the Public Utilities Code.

(b) If, pursuant to Section 3289 of the Public Utilities Code, the commission makes a just and reasonable determination with respect to the revenue requirement, then the commission shall enter into an agreement with the department with respect to charges under Section 3289 of the Public Utilities Code with respect to the revenue requirement, and that agreement shall have the force and effect of an irrevocable financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission. The agreement and financing order shall provide for the administration of the revenue requirement, including provisions to the effect that (1) the department shall notify the commission each year of the annual collections received by the department with respect to the revenue requirement and the amount of any excess or deficiency in collections above or below the revenue requirement and that the commission shall adjust charges in the subsequent year to reflect any such excess or deficiency, and (2) during any revenue requirement period if the department forecasts that the revenue requirement for that period will not be met and that collections will not be sufficient to fund any of the amounts in paragraphs (1) to (5), inclusive, of subdivision (a) of Section 80544, then the department shall notify the commission in writing and the commission shall act within 30 days to increase charges so that the amounts collected during that period are sufficient to meet those obligations. For avoidance of doubt, no such adjustment to charges by the commission shall affect in any respect the commission’s just and reasonable determination with respect to the revenue requirement.

(c)

(1) If, pursuant to Section 3299.2 of the Public Utilities Code, the commission makes a just and reasonable determination with respect to the revenue requirement, then the commission shall enter into an agreement with the department with respect to charges under Section 3299.2 of the Public Utilities Code with respect to the revenue requirement, and that agreement shall have the force and effect of an irrevocable financing order adopted in accordance with Article 5.5 (commencing with Section 840) of Chapter 4 of Part 1 of Division 1 of the Public Utilities Code, as determined by the commission. The agreement and financing order shall provide for the administration of the revenue requirement, including provisions to the effect that: (A) the department shall notify the commission each year of the annual collections received by the department with respect to the revenue requirement and the amount of any excess or deficiency in collections above or below the revenue requirement and that the commission shall adjust charges in the subsequent year to reflect any such excess or deficiency; and (B) during any revenue requirement period, if the department forecasts that the revenue requirement for that period will not be met and that collections will not be sufficient to fund any of the amounts in paragraphs (1) to (4), inclusive, subdivision (a) of Section 80544.5, then the department shall notify the commission in writing and the commission shall act within 30 days to increase charges so that the amounts collected during that period are sufficient to meet those obligations. For avoidance of doubt, no such adjustment to charges by the commission shall affect in any respect the commission’s just and reasonable determination with respect to the revenue requirement.

(2) This subdivision shall become operative upon all large electrical corporations electing to participate in the account pursuant to Section 3299 of the Public Utilities Code.

revenue requirement Department of Water Resources annual collections Public Utilities Commission nonbypassable charge just and reasonable determination irrevocable financing order Section 3299 Section 3289 Section 3299.2 electrical corporations revenue adjustment excess or deficiency collections finance administration charge increase

(Amended by Stats. 2025, Ch. 119, Sec. 69. (SB 254) Effective September 19, 2025.)

Section § 80526

This law requires that when an electrical company collects money under Section 80520, they must keep that money separate and treat it as if it's held in trust for a government department. This segregation ensures that the money is protected and used solely for the department's obligations until it's officially handed over as specified by a contract or order.

To the extent any moneys are received by an electrical corporation pursuant to Section 80520 in the process of collection, and pending their transfer to the department, those moneys shall be segregated by the electrical corporation on terms and conditions established by the department and shall be held in trust for the department’s exercise of its obligations regarding those moneys until paid over to the department pursuant to the contract or order established pursuant to Section 80520.

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(Added by Stats. 2019, Ch. 79, Sec. 22. (AB 1054) Effective July 12, 2019.)

Section § 80528

This law section gives the department a range of powers to effectively carry out its duties. It allows the department to hire private companies for professional and technical help, contract with other public agencies, and make any necessary arrangements to fulfill its responsibilities. It also permits the hiring of personnel needed to implement its programs effectively, with assistance from the State Personnel Board and the Department of Human Resources to speed up the hiring process.

(a) The department may do any of the following as may be, in the determination of the department, necessary for the purposes of this division:

(1) Engage the services of private parties to render professional and technical assistance and advice and other services in carrying out the purposes of this division.

(2) Contract for the services of other public agencies.

(3) Engage in such activities or enter into such contracts or arrangements as may be necessary or desirable to carry out the department’s duties and responsibilities pursuant to this division.

(b) Hire personnel necessary and desirable for the timely and successful implementation and administration of the department’s duties and responsibilities pursuant to this division. The State Personnel Board and the Department of Human Resources shall assist the department in expediting that hiring.

private parties engagement professional assistance technical advice public agency contracts department's duties hiring personnel State Personnel Board Department of Human Resources implementation administration contracting powers outsourcing services human resources assistance timely implementation division responsibilities

(Added by Stats. 2019, Ch. 79, Sec. 22. (AB 1054) Effective July 12, 2019.)