Walters: How California’s new fixed utility charge got its sneaky start in the Legislature

A monthly residential bill from San Diego Gas & Electric. A California budget “trailer bill” has repealed the $10 cap on fixed utility charges and ordered a new charge that would vary by customers’ incomes.

Such charges, meant to pay for the upkeep of the system no matter how much juice is used, are commonly billed to customers of both publicly owned systems, such as SMUD, and investor-owned corporations, such as Pacific Gas and Electric Co., that are regulated by the California Public Utilities Commission.

The CPUC’s plan also lowers rates for consumption, which will at least partially offset the fixed charges. As a trailer bill, however, it was hastily enacted without such exposure. Thus, many of the legislators who would later criticize the change actually voted for AB 205 without knowing — or caring — what effect it would have.Many — probably most — will in fact be related to the budget. But it’s dead certain that when their details are finally drafted, some will contain significant policy changes that have little or nothing to do with the budget.

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