----- Forwarded by Jeff Dasovich/NA/Enron on 03/19/2001 10:13 AM -----

	Andy Brown <ABB@eslawfirm.com>
	03/16/2001 06:19 PM
		 
		 To: "'Julee Malinowski-Ball'" <jmball@ns.net>, Susan McCabe 
<smccabe@mccabeandcompany.net>, Scott Govenar <sgovenar@govadv.com>, Ron Tom 
<thackbarth@govadv.com>, Robert Ross <robbiz@cwo.com>, Rina Venturini 
<rventurini@teamgsi.net>, Phil Isenberg <Isenberg@HMOT.com>, Mike Monagan 
<mrmonagan@aol.com>, Maureen OHaren <Oharen@HMOT.com>, Marie Moretti 
<mmoretti@mccabeandcompany.net>, Kassandra Gough <kgough@calpine.com>, Jamie 
Parker <jparker@hmot.com>, Hedy Govenar <hgovenar@govadv.com>, DJ Smith 
<djsmith@smithandkempton.com>, Delany Hunter <dhunter@smithandkempton.com>, 
Chuck Cole <ccole@advocation-inc.com>, Bev Hansen <bhansen@lhom.com>, Anne 
Kelly <kelly@hnks.com>, Fred Pownall <fred_pownall@ka-pow.com>, Mark Nobili 
<mnobili@cal-lobby.com>
		 cc: Jean Munoz <jmunoz@mcnallytemple.com>, Greg Blue <gtbl@dynegy.com>, Jack 
Pigott <jackp@calpine.com>, Jeff Dasovich <Jeff.Dasovich@enron.com>, Joe 
Ronan <joer@calpine.com>, John Stout <john_h_stout@reliantenergy.com>, kent 
Palmerton <kent.palmerton@williams.com>, "Larrea, John" 
<John.g.Larrea@williams.com>, Lynn Lednicky <lale@dynegy.com>, Paula Soos 
<paula_soos@ogden-energy.com>, Richard Hyde <rwhyde@duke-energy.com>, Roger 
Pelote <roger.pelote@williams.com>, Sandi McCubbin <smccubbi@enron.com>, 
Stephanie Newell <stephanie-newell@reliantenergy.com>, Steve Ponder 
<steve_ponder@fpl.com>, Sue Mara <smara@enron.com>, Jan Smutny Jones 
<smutny@iepa.com>, Steven Kelley <steven@iepa.com>, Katie Kaplan 
<kaplan@iepa.com>, Chris Ellison <CTE@eslawfirm.com>, Doug Kerner 
<runwithmee@aol.com>, Andy Brown <ABB@eslawfirm.com>, Nam Nguyen 
<nam.nguyen@powersrc.com>
		 Subject: Confidential: Follow-up re Action Items from 3/15 IEP Lobbyist Ca 
ll and 3/16 drafting meeting on 60x


This email is a follow-up to yesterday's lobbyist conference call and
today's meeting re potential language changes on 60x.  Attached are two sets
of draft amendment language that were discussed today consistent with a
general strategy on the bill that was discussed yesterday.  That strategy,
generally speaking, keys off an expected Calpine meeting with Hertzberg on
Monday, and is as outlined again below.  Comments / concerns with language
and/or general strategy should go to Julee for IEP by Monday COB for
consideration in next steps as mentioned in the action items.

The anticipated approach with the Hertzberg will be:

A) Persuade him that the "California First!" notion as presented in this
bill (and elsewhere) is not a good policy approach and that the bill should
be killed because: it will be interpreted as protectionist by other states
and will lead them to retailiate; it will isolate California from existing
supplies elsewhere that could help serve California loads; it could deny CA
access to new generation built in other states that could help CA; it will
slow CA projects "in the pipeline"; it will undermine existing commercial
arrangements that developers have _with_ California entities from CA
projects in the pipeline, etc.

If this does not happen, then ...

B) Persuade him to change the bill into something else (as in
carrot/incentive and not a stick that increases commercial and development
risks);

if this does not work and he will consider alternate language which does not
disrupt existing arrangements, then ...

C1) Take the more extensive "bulletproof" language, attached as "C1", which
protects any existing commercial arrangements and provides a method to bring
buyers and sellers together via a notice to interested purchasers maintained
by the CEC;

if that does not work and he will consider alternate language on another
approach which will not disrupt existing arrangements, then ...

C2) Take the "offer to negotiate" language, attached as version "C2", which
was the language developed and circulated yesterday (with the addition of
irrigation districts to the list of folks to whom the offer to negotiate is
extended),

and if that doesn't work, then

D) he wants to disrupt existing commercial relationships and he wants to
adopt a protectionist "California First!" policy which we cannot fix or
support.

Option C1 = file = C1_010315_IEPrev3b_abx1_60_bill_20010312_amended_asm.doc
Option C2 = file = C2_010315_IEPv3_abx1_60_bill_20010312_amended_asm_.doc

ABB

Andrew B. Brown
Ellison, Schneider & Harris, LLP
2015 H Street
Sacramento, CA  95814
Phone: (916) 447-2166
Fax: (916) 447-3512
mailto:abb@eslawfirm.com

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indicated or by telephone at (916)447-2166. Thank you.


-----Original Message-----
From: Julee Malinowski-Ball [mailto:jmball@ns.net]
Sent: Thursday, March 15, 2001 3:26 PM
To: Susan McCabe; Scott Govenar; Ron Tom; Robert Ross; Rina Venturini;
Phil Isenberg; Mike Monagan; Maureen OHaren; Marie Moretti; Kassandra
Gough; Jamie Parker; Hedy Govenar; DJ Smith; Delany Hunter; Chuck Cole;
Bev Hansen; Anne Kelly; Fred Pownall; Mark Nobili
Cc: Jean Munoz; Greg Blue; Jack Pigott; Jeff Dasovich; Joe Ronan; John
Stout; Kassandra Gough; kent Palmerton; Larrea, John; Lynn Lednicky;
Paula Soos; Richard Hyde; Roger Pelote; Sandi McCubbin; Stephanie
Newell; Steve Ponder; Sue Mara; Jan Smutny Jones; Steven Kelley; Katie
Kaplan; Chris Ellison; Doug Kerner; Andy Brown; Nam Nguyen
Subject: Action Items from Today's Lobbyist Call


ACTION ITEMS from today's IEP member company lobbyist conference call:

AB 60x (Hertzberg)
- Calpine will attempt to get a meeting with the Speaker on Monday regarding
his interest in other "California First" avenues, and report the results to
IEP.

- In anticipation of using Plan B, there will be a drafting meeting on
Friday (3/16) at 11am in IEP's office to fine-tune the current IEP proposed
amendments (attached).

- All available lobbyists will push the Speaker's office to hold off on
moving the bill until IEP has had an opportunity to present language.

- E+M will schedule a follow-up conference call on this issue early in the
week.

- IEP will explore the possibility of an editorial campaign regarding the
poor direction of this "California First" issue, tying it to long-term
contracting.


SB 6x (Burton)
- Review IEP proposed amendments to soften the eminent domain language
(attached).

- All available lobbyists will make contact with the Pro tem's office to
support the IEP amendments.


AB 8x (Migden)
- Review IEP comments that mitigate the EOB's authority in the coordinate of
operation and maintenance scheduling (attached).

- All available lobbyists will make contact with Assembly Member Migden's
office to support a stakeholder meeting taking place, because IEP would like
to make this bill work.


SB 39x (Speier)
- IEP will explore the possibility of including in its PR efforts on
maintenance and outages, the IOU- and labor-run nuclear facility being down
for an extended period of time.

PLEASE SHARE ANY INFORMATION YOU GET WITH ME FROM YOUR CONTACT WITH ANY OF
THE ABOVE-NAMED MEMER'S OFFICES.

THANKS.



> Julee Malinowski-Ball
> Senior Associate
> Edson + Modisette
> 916-552-7070
> FAX-552-7075
> jmball@ns.net
>
>



 - C1_010315_IEPrev3b_abx1_60_bill_20010312_amended_asm.doc
 - C2_010315_IEPv3_abx1_60_bill_20010312_amended_asm_.doc