FYI.  From IEP lobbyist.  Will have more information first thing in the AM.

Best,
Jeff		

-----Original Message-----
From: Katie Kaplan [mailto:kaplan@iepa.com]
Sent: Tuesday, August 21, 2001 7:40 PM

In a nutshell:

The governor and assembly leadership (without Rod Wright) have reached
agreement and believe they have the 41 votes to support the below:
o There will be a $2.9 Billion bailout that can be used to pay the QF's and
the banks, but not the generators-either directly or indirectly-and will be
recovered through a Dedicated Rate Component charged to consumers 20 kwh and
above.

o Business and consumer interests are being briefed at the moment by the
staff of Davis and Angelides on the proposal.

o The easement language is consistent with the language proposed in 78xx

o The renewable portfolio standard language is primarily consistent with
82xx however discussions on final language are continuing now.

o Regarding the transmission lines and direct access, language has not been
written and discussions are also continuing.  In fact much of the bill is
being drafted now and is said to circulate tomorrow among members.  Davis
has indicated that he wants a vote as soon as Thursday

o The Senate has not agreed, but there are staff meetings going on now.

o The CPUC has not involved in the discussions, but the administration
continues to assure that no CPUC action will be taken in contrary to the
language of the bill.

Please feel free to call with questions and as always we will keep you
posted.

Thanks,


Katie Kaplan
Manager of State Policy Affairs
Independent Energy Producers Association
		(916) 448-9499