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Senate committee advances bill to allow three-month utility payment deferments for customers facing sudden hardship
Summary
A Senate committee voted to advance SB 636, which would require the California Public Utilities Commission to create an application and verification process allowing eligible utility customers to defer payments for up to three months after certain sudden hardships, and bar utility shutoffs during that period.
The Senate Committee on Energy, Utilities and Communications advanced SB 636 as amended, a bill to let residential customers request up to three months of payment deferment from investor‑owned utilities after specified hardships, with verification set by the California Public Utilities Commission (CPUC).
Sponsor and author Senator Menjivar told the committee she would accept committee amendments and emphasized the bill is intended as a temporary safety net: it would allow deferments for customers impacted by death in the household, loss of full‑time employment within 60 days of the hardship, medical care for a household member, or the customer’s residence, employment or education being affected by a governor‑declared natural disaster. "This bill is not a free for all and only aims to provide a safety net for customers who have an unexpected life event that is at no fault to their own," the author said.
The bill would remove self‑attestation and instead direct the CPUC to establish an application and validation process to verify eligibility. Under the committee amendments, the CPUC would determine the documentation required and the mechanics of verification; the bill as amended limits applicants to one deferment within an 18‑month period and specifies repayment is required at the end of the deferment period.
Advocates who testified in support said the measure addresses rapid increases in electricity bills and the acute hardship that results when unexpected events coincide with rising rates. Constance Slider Pierre, organizing director at The Utility Reform Network, described the problem as beyond low‑income households: "For families already struggling, a utility shut off really could be the tipping point into homelessness," she said, urging an "I vote" on SB 636.
Investor‑owned utilities expressed opposition in committee but said they were engaging with the author’s office. Israel Salas of Southern California Gas Company and San Diego Gas & Electric noted utilities already offer hardship programs and an open CPUC proceeding addressing these issues, and said disconnection for nonpayment is a measure of last resort.
Committee members asked practical questions addressed by the amendments: who reviews applications, whether landlords whose rent includes utilities could seek relief, and how verification would occur. The author and witnesses said the CPUC will set the verification approach and that details such as landlords’ eligibility could be explored further.
The committee passed SB 636 as amended; the measure was later recorded by committee staff as advancing with the committee recommendation. Final recorded committee action: passed as amended; recorded floor/committee vote reported in transcript as 13 yes, 3 no (bill referred as noted in the hearing record).
