Utility rates must be adjusted when any new federal law changes utility taxes
The Public Utilities Commission must weigh how every new federal law, including the latest federal tax and spending law, changes the federal taxes of utilities whose rates it sets, and adjust rates if costs change materially. Earlier law covered only an earlier federal tax overhaul.
Who it affects
Utilities with commission-set rates and their customers
When
This law takes effect on January 1, 2027. California laws take effect on January 1 of the year after they are signed, unless the law says otherwise.
- : Signed into law
- : This law takes effect
Official text
California AB 2589: Public utilities: rates: changes to federal law.
On California Legislative Information. The official text is what counts; read it before you act.
Not legal advice. Plain-English summaries to help you find what changes and when. Not legal advice: read the official text, and ask a lawyer about your situation.