SBX2 39 (Speier) and ABX2 28 (Migden) were pulled from their respective
committee hearings next week.  Both bills are being reviewed by the
Administration.  One item which the Administration is apparently
considering is making the new PPA a quasi-regulatory agency, perhaps
with authority over all in-state generation.  If the Administration
proceeds with this plan, it would probably be incorporated into one or
both of these bills.  In their current forms, SBX2 39 and ABX2 28 would
do the following:

SBX2 39 would dramatically increase the states regulatory authority over
in-state electric generation
facilities.  This measure is being opposed by IEP and several of its
member companies.

ABX2 28 would expand the authority of the EOB to allow EOB to act on any
matters made subject to the approval or determination by EOB, and to
investigate any matter to ensure that the interests of California's
citizens.  IEP and several of its member companies are supporting this
measure.

ABX2 35 (Vargas) was just amended to require the State Public Works
Board to acquire, for a period of at least 18 months but not to exceed
24 months, in the name of and on behalf of the state, pursuant to Part
11 (commencing with Section 15850) of Division 3 of the Government Code,
possession and use of real property necessary for the generation of
power.  The intent of the author is for the state to seize all divested
plants and "rent" them for approximately two years.  The bill will be
heard by the Assembly Judiciary Committee next week.