Bill

Bill > SB875


CA SB875

CA SB875
Public utilities: eminent domain: just compensation.


summary

Introduced
01/06/2026
In Committee
04/15/2026
Crossed Over
Passed
Dead

Introduced Session

2025-2026 Regular Session

Bill Summary

An act to amend Sections 1240.650 and 1245.250 of the Code of Civil Procedure, and to amend Sections 851 and 1411 of, and to add Sections 1410.5 and 1425 to, the Public Utilities Code, relating to public utilities.

AI Summary

This bill aims to streamline the process for public entities, particularly within the Pacific Gas and Electric Company (PG&E) service area, to acquire public utility property through eminent domain, which is the government's constitutional right to take private property for public use. It modifies existing laws to create a **conclusive presumption** (meaning it cannot be challenged or disproven) that a public entity's intended use of electrical or gas utility property is a "more necessary use" than its current use, specifically when the acquiring entity is within PG&E's service area. This change is significant because prior law established a "rebuttable presumption" which allowed utility companies to challenge such acquisitions. The bill also clarifies that resolutions of necessity, which are official declarations by a public entity that a project is needed, will conclusively establish the public interest and necessity for acquiring electrical or gas utility property within the PG&E service area. Furthermore, it limits the Public Utilities Commission's review of asset transfers from electrical or gas corporations to public entities within the PG&E service area to ensuring fairness to affected employees, and specifies that this review should occur after an agreement is made for voluntary transfers or after condemnation proceedings are completed for involuntary ones. The bill also introduces new requirements for utility owners to submit their own just compensation proposals or respond to separation plans within 90 days of a political subdivision doing so, and mandates that the Public Utilities Commission fix just compensation within 18 months of a petition being filed, while also allowing the commission to establish processes for reimbursing costs related to physically separating utility assets. Finally, it prohibits public utilities from recovering litigation costs associated with these acquisition efforts from their ratepayers.

Committee Categories

Justice, Transportation and Infrastructure

Sponsors (3)

Last Action

April 21 set for first hearing. Failed passage in committee. (Ayes 4. Noes 1.) (on 04/21/2026)

bill text


bill summary

Loading...

bill summary

Loading...
Loading...