FYI.  New amendments out on DA that Keeley's accepted that I'm faxing to you 
right now.  Also, it's 82XX we're talking about, not 83XX.  83XX is the bill 
that Wright's authoring with the Rs.

Also faxing to you Reliant's "Dear Dunn, Go to Hell, Sincerely, Reliant" 
letter.

Best,
Jeff

Vegas still sez best odds are on Edison going in.



	James D Steffes
	07/18/2001 03:48 PM
		 
		 To: David W Delainey/HOU/EES@EES, Janet R Dietrich/HOU/EES@EES, Jeremy 
Blachman/HOU/EES@EES, Vicki Sharp/HOU/EES@EES, Marty Sunde/HOU/EES@EES, Dan 
Leff/HOU/EES@EES, Evan Hughes/HOU/EES@EES, Tim Belden/Enron@EnronXGate, Don 
Black/HOU/EES@EES, Jeff Richter/Enron@EnronXGate
		 cc: Jeff Dasovich/NA/Enron@Enron, Harry Kingerski/Enron@EnronXGate, Richard 
Shapiro/NA/Enron@Enron
		 Subject: Potential Legislative Suspension of DA in California

The games continue in California.  

The date of suspension now being considered in 83xx is July 12.  We are still 
working (1) to define this in a way that is favorable to getting our recent 
DASR group authorized for DA service or (2) supporting some other solution.

Will keep everyone informed as information comes in.  

By the way, I've asked Evan Hughes for a detailed listing of how moving the 
date impacts our success ratio.

Jim

---------------------- Forwarded by James D Steffes/NA/Enron on 07/18/2001 
03:43 PM ---------------------------
From: Harry Kingerski/ENRON@enronXgate on 07/18/2001 11:47 AM
To: Kevin Keeney/HOU/EES@EES, Vicki Sharp/HOU/EES@EES, Marty 
Sunde/HOU/EES@EES, Bert Frazier/ENRON@enronXgate, Lamar Frazier/HOU/EES@EES, 
Don Black/HOU/EES@EES, James W Lewis/HOU/EES@EES, Dennis Benevides/HOU/EES@EES
cc: James D Steffes/NA/Enron@Enron 

Subject: FW: California Update--0717.01

Both 82XX and 83XX are to be discussed in committee today.  Significantly, an 
amendment that is expected to be included in 82XX would establish July 12 as 
the start date for when the PUC may not authorize any new or replacement 
direct transactions.

By contrast, 83XX directs the commission to authorize direct transactions on 
an open enrollment basis not less than 2 times each year, conicident with the 
expiration of DWR purchases.

Nothing more yet from the CPUC on its intended action.

 -----Original Message-----
From:  Dasovich, Jeff  
Sent: Tuesday, July 17, 2001 7:31 PM
To: skean@enron.com; Shapiro, Richard; Steffes, James; Mara, Susan; 
Kingerski, Harry; Lawner, Leslie; Tribolet, Michael; Walsh, Kristin; Denne, 
Karen; mpalmer@enron.com; Guerrero, Janel; Kaufman, Paul; Susan M 
Landwehr/Enron@EnronXGate; Robertson, Linda
Subject: California Update--0717.01

What people know:

Hertzberg (et al's) bill (82XX)was heard in an "informational" hearing today 
and still sits in the Assembly Energy Committee.  It will be heard again 
tomorrow (perhaps beginning at 10 AM) , at which time parties will have a 
chance to support/oppose and ask for amendments.  Most, including us, oppose 
unless significantly amended.
The Wright (D) -Richman (R) bill (83XX)was heard in an "informational" 
hearing today and still sits in the Assembly Energy Committee.  It will be 
heard again tomorrow, at which time parties will have a chance to 
support/oppose and ask for amendments.  From our perspective, this is the 
best bill out there yet, though it still has serious problems---it isn't 
available electronically yet, but should be tomorrow, and I'll distribute 
then.  The chances of the joint D-R bill being successful are slim, however, 
since it's up against the Speakers competing bill.  There is talk that the 
Speaker will try to negotiate with Wright/Richman tonight and include any 
agreement in his bill (82XX).
The original version of the Governor's MOU bill sits in the Senate.  Most 
believe that Burton will put it up for a vote this week and it will fail.
The Senate's version of the MOU (Sher-Peace-Kuehl) (78XX)came out today.  It 
will likely be heard in the committee tomorrow or the next day.  Notably, it 
kills Direct Access completely and makes Edison shareholders responsible for 
that portion of Edison's debt owed to suppliers.  In short, a very bad bill.
Burton's 18XX, which would de-link the bond issuance (to pay back the General 
Fund) from the DWR contracts is likely to pass the Senate tomorrow or the 
next day.  Many--including Enron--support the bill (though we are supporting 
it behind the scenes).

What people don't know:
Whether there's the time or the will in the Assembly and Senate to achieve by 
Friday a single, comprehensive bill that can be sent to the governor for his 
signature. 
Whether the Legislature would postpone its month-long recess if the 
Legislature hasn't finished a bill by Friday (most folks think they will not 
postpone).
Whether it's true that, irrespective of the energy issue, the Legislature 
will fail to get the budget completed by Friday and therefore have to 
postpone their recess anyway, in which case they might continue to work on 
the energy legislation at the same time.

Odds-makers still say it's better than 50-50 that the Legislature does not 
get the Edison bills done by Friday and leaves on on its 30-day vacation.

Best,
Jeff

Sacramento is one goofy place.