A resolution to propose to the people of the State of California an amendment to the Constitution of the State, by amending Sections 1, 3, and 6 of, and by repealing Section 2 of, Article XII thereof, relating to public utilities.

The California Constitution establishes the Public Utilities Commission consisting of 5 members appointed by the Governor and approved by the Senate. The constitution authorizes the commission to establish its own procedures, subject to statute and due process, and authorizes a commissioner designated by the commission to hold a hearing or investigation or issue an order, subject to the commission's approval. The constitution also authorizes the commission to fix the rates of all public utilities subject to its jurisdiction. This measure would increase the membership of the commission to 9 members, and would require the Governor to appoint 5 members and the Senate Committee on Rules and the Speaker of the Assembly to each appoint 2 members. The measure would repeal the authorization for the commission to establish its own procedures and for a commissioner designated by the commission to hold a hearing or investigation or issue an order. The measure would require the commission, in fixing rates, to consider the affordability of rates. The California Constitution requires private corporations and persons that own, operate, control, or manage a line, plant, or system for the transmission of telephone and telegraph messages to be public utilities subject to control by the Legislature. The constitution authorizes the Legislature to prescribe additional classes of private corporations or other persons as public utilities. This measure would repeal the requirement that private corporations and persons that own, operate, control, or manage a line, plant, or system for the transmission of telephone and telegraphs messages be public utilities. The measure would authorize the Legislature to prescribe the duties, functions, and jurisdiction of the commission relating to telephone corporations, telecommunications service, and broadband service, including, but not limited to, by reassigning the commission's duties to another state entity.