[Congressional Record Volume 146, Number 136 (Thursday, October 26, 2000)]
[House]
[Pages H11317-H11321]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




SENSE OF HOUSE WITH RESPECT TO RELEASE OF FINDINGS AND RECOMMENDATIONS 
BY FEDERAL ENERGY REGULATORY COMMISSION REGARDING ELECTRICITY CRISIS IN 
                               CALIFORNIA

  Mr. COX. Mr. Speaker, I move to suspend the rules and agree to the 
resolution (H. Res. 650) expressing the sense of the House with respect 
to the release of findings and recommendations by the Federal Energy 
Regulatory Commission regarding the electricity crisis in California.
  The Clerk read as follows:

                              H. Res. 650

       Whereas the Federal Energy Regulatory Commission has 
     completed its investigation of the California energy crisis: 
     Now, therefore, be it
       Resolved, That it is the sense of the United States House 
     of Representatives that, before November 1, 2000, the Federal 
     Energy Regulatory Commission should make public its findings 
     and recommendations regarding the electricity crisis in 
     California.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
California (Mr. Cox) and the gentleman from Virginia (Mr. Boucher) each 
will control 20 minutes.
  The Chair recognizes the gentleman from California (Mr. Cox).


                             General Leave

  Mr. COX. Mr. Speaker, I ask unanimous consent that all Members may 
have 5 legislative days within which to revise and extend their remarks 
and to include extraneous material on H.Res. 650.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from California?
  There was no objection.
  Mr. COX. Mr. Speaker, I yield myself 5 minutes.
  Mr. Speaker, I rise in support of House Resolution 650, introduced by 
my colleague, the gentleman from San Diego (Mr. Bilbray).
  The resolution expresses that it is the sense of the Congress that 
the Federal Energy Regulatory Commission should release its findings 
and recommendations regarding the electricity situation in California 
as soon as possible.
  San Diego Gas and Electric is the first utility in California to pay 
off its stranded costs. Customers served by San Diego Gas and Electric 
were the first in the Nation to experience the effects of unregulated 
electricity pricing without unregulated competition for new supplies of 
electricity.
  So while there is no new generating capacity in California and no 
free-wheeling competition in the wholesale market for electricity, 
consumers are facing unlimited prices.
  As a result, beginning this summer, customers of San Diego Gas and 
Electric in San Diego and Orange Counties will have seen their 
electricity bills double and triple. And that has continued over the 
last several months. The small businesses have closed, and consumers 
are suffering.
  On July 26, the Federal Energy Regulatory Commission opened an 
inquiry into this situation. They have written their findings and their 
recommendations, and yet they have not been released to the Congress or 
to the public. Considering the seriousness of the situation in 
California, there should be no further delay in releasing this report.
  This resolution, introduced by my colleague, the gentleman from 
California (Mr. Bilbray), will help assure that his constituents in San 
Diego and all other San Diego Gas and Electric customers and Orange 
County and all other California electricity consumers in the near 
future do not have to continue to wait even longer before finally 
getting answers they need simply because the Federal bureaucracy is 
dragging its feet.
  The Committee on Commerce has spent nearly 6 years holding hearings 
on the best way to modernize our laws governing the electric utilities 
so that electricity will be more affordable and reliable. In that 
process, we have talked to consumers, regulators, and power generators. 
We have learned from our California situation that interstate 
electricity markets pose complicated issues of Federal and State 
jurisdiction.
  The Federal Energy Regulatory Commission's report, if we can see it, 
will speak to the important question of interstate transmission of 
electricity. The situation in California highlights the importance of 
getting it right for consumers.
  In conclusion, I commend the gentleman from California (Mr. Bilbray), 
my colleague, on his resolution; and I urge my colleagues to support 
it.
  Mr. Speaker, I reserve the balance of my time.
  Mr. BOUCHER. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, the electricity price spikes in California have gained 
national attention and have moved to the center of the debate on the 
question of electricity industry restructuring.
  Consumers in some California communities have faced unprecedented 
electricity prices and are rightly asking what the Federal Government 
might do to help bring down the price of this vital commodity.
  This evening we consider a resolution which expresses the sense of 
the House that the Federal Energy Regulatory Commission should make 
public its findings and recommendations regarding California's 
electricity price problems by November 1, 2000. It is, to say the 
least, a modest measure.
  I will take the occasion of these comments, Mr. Speaker, to note for 
a moment the very fine work which has been done during the course of 
the last 2 years by the chairman of the Subcommittee on Energy and 
Power, the gentleman from Texas (Mr. Barton).
  Under his able guidance, the Subcommittee on Energy and Power 
reported a number of measures which, taken together, would have 
achieved

[[Page H11318]]

substantial progress toward the creation of a national energy policy.
  Unfortunately, on the most significant of these topics, nuclear waste 
disposal and electricity industry restructuring, the legislative 
process stalled following the reporting of the legislation from the 
subcommittee of the gentleman from Texas (Mr. Barton). And that 
happened despite the sound efforts of the gentleman to move the process 
forward.
  As a result of this legislative inaction, we find ourselves no closer 
to having a national energy policy today than we were finding ourselves 
when this Congress convened approximately 2 years ago. And I think that 
is sad. And so, today we find ourselves debating relatively modest 
policy initiatives, such as the measure that is now before us, which is 
a nonbinding resolution that merely expresses an opinion.
  While the measure might have some marginally beneficial effects, I 
would suggest that it is no substitute for leadership on energy policy.
  MR. COX. Mr. Speaker, I reserve the balance of my time.
  Mr. BOUCHER. Mr. Speaker, I am pleased to yield 10 minutes to the 
gentleman from California (Mr. Filner).
  Mr. FILNER. Mr. Speaker, I thank the gentleman for yielding me the 
time.
  Mr. Speaker, I thank the gentleman from California (Mr. Cox) for 
bringing this resolution to us tonight. I thank his colleague and my 
friend, the gentleman from San Diego, California (Mr. Bilbray). Our 
hearts and prayers are with him, as he has suffered a terrible loss in 
his family and cannot be here tonight.
  I thank my colleagues for bringing this to us. Because San Diego is 
the poster child for the future of California what is going on in San 
Diego, what happened after the deregulation to a monopoly market, will 
happen to the rest of California in another year or so and perhaps the 
rest of the Nation if we do not take heed of San Diego's crisis.
  The measure before us tonight is not the proper response to the 
crisis that we have in San Diego. It is a very weak response. If the 
gentleman from California (Mr. Bilbray) was not my friend, I would say 
it was a meaningless response to the level of crisis that we face.
  The gentleman from California (Mr. Bilbray) introduced this 
resolution yesterday. Magically, it comes to the floor today. The 
Republican leadership, the gentleman from California (Mr. Cox), and the 
gentleman from California (Mr. Bilbray) could have brought meaningful 
legislation to this floor tonight to really help us in San Diego.
  I introduced, for example, H.R. 5131 on September 7. I will explain 
that bill in a minute. But it can solve the crisis we have in San 
Diego. I asked the Speaker of the House to schedule this before we 
recessed.
  San Diego is panicking. San Diego faces enormous debts. We have had 
no response from the leadership of this House to really deal with the 
crisis that we face in San Diego.
  The gentleman from California (Mr. Cox) gave a good summary of the 
situation, the doubling and tripling of prices in San Diego over a 3-
month period. The average small business in my district, my colleagues, 
in our districts in San Diego went from let us say $800 a month in May 
and June to $1,500 a month and then to $2,500 a month. No business can 
survive with these kinds of increases.
  A person on a fixed income had his bill or her bill go from $35 a 
month to $70 a month to $120 a month. No person who is on a fixed 
income can survive this. And literally life-and-death decisions had to 
be made given that situation.
  This was not an issue, Mr. Speaker, of supply and demand in 
California. We do not have enough supply for the future developments. 
But this crisis was brought about by manipulation of the market by 
wholesalers and marketers of electricity. They caused a crisis which 
did not have to exist.
  When the FERC report that is referred to in this resolution is made 
public on November 1, it will show that there was incredibly close to 
criminal manipulation of the market, withholding of capacity by the 
major generators, laundering electricity through Northwestern States to 
get a higher price in California, artificially creating a sense of 
dearth of supply through manipulation of the transmission capacities 
and on and on. And the FERC report will outline that.
  This was a criminal gaming of the rules that were set up in 
California. This was not an issue of supply and demand. And as my 
colleague, the gentleman from California (Mr. Bilbray), knows within 
those 3 or 4 months of this crisis, after deregulation occurred in San 
Diego and Orange counties advertise, close to $600 billion was sucked 
out of our economy by these marketers and generators, $6 billion. I 
hope I said that with a ``B.'' Over $600 million from the consumers of 
San Diego alone.
  Now, the State legislature acted on this to the limit of their 
ability to act. They froze retail prices. As the gentleman from 
California (Mr. Cox) knows, they froze retail prices at 6\1/2\ cents a 
kilowatt hour. And that took the gun away from the head of San Diego 
consumers because their prices and my bill that I got was frozen at 
this figure.
  But, Mr. Speaker, that debt is mounting up for the consumers of 
California and San Diego. That retail price freeze was merely a 
deferral of the cost. The debt that individual businesses and consumers 
have is adding up in the so-called balancing account. Our Northern 
utilities in San Diego, not only San Diego Gas and Electric, which now 
has a mounting debt, but PG&E and Edison have debts mounting up again 
to almost $6 billion between them.
  This is an economic crisis, an economic recession hanging in the 
balance if we do not act here in this body and at the national level.
  A crisis was created by deregulation to a monopoly situation, $6 
billion being sucked from our economy. And how do we respond? How does 
this body respond? The Republican majority gives what kind of 
resolution? That we will get a report 5 days earlier than FERC said it 
was going to come out.
  They issued a finding in the last couple of days. That said they will 
issue the report November 1. I would like to see that earlier. I would 
like to see it today. I will vote for the resolution, but that does 
nothing for San Diego consumers. That does nothing for the California 
economy.
  What we need and what H.R. 5131 does is a roll-back of wholesale 
prices to their prederegulation levels in the Western market and 
refunds to the consumers in California. That I will tell my colleague, 
the gentleman from California (Mr. Bilbray), is the only solution to 
San Diego and California's problem.

                              {time}  2045

  We must go after the folks who took our money away, and that is the 
wholesale generators and marketers. They, illegally in my opinion, in 
the opinion of the gentleman from California (Mr. Hunter) raised their 
prices to an unjust level, five, six, seven times what was the previous 
price. They charged what the market could bear. And now their earnings 
report have just come out, Mr. Speaker, the earnings report of the 
major generators in this country who provide the western market, and 
they have reported 200, 300 percent or more profit increase over the 
year before. That is unconscionable. They have taken away our 
businesses, they have taken away our future, they threaten our whole 
economy. And yet the majority motion on the floor is give us a report a 
few days earlier.
  What this Congress should do, I say to the gentleman from California 
(Mr. Bilbray), is to put H.R. 5131 on the floor tomorrow. You have the 
power to do it. You showed you can take a resolution and put it on the 
floor within a day. Let us go after those who have caused this enormous 
panic and frightening situation in San Diego. Let us instruct FERC to 
roll back the wholesale prices in the western market and refund that 
overcharge to consumers.
  That is what this House ought to do. That is what our Federal 
regulatory commission ought to do. San Diegans and Californians are 
holding our breath to see what the Federal Government will do. We have 
another day, 2 days, 3 days, we do not know yet, in this session of 
Congress. I ask the majority, I ask the gentleman from California (Mr. 
Bilbray), I ask the gentleman from California (Mr. Cox) to bring us a 
real motion, a real resolution to solve this problem. Let us really 
help San Diego and not embark on this weak and meaningless response.

[[Page H11319]]

  I thank my colleagues. I really do thank the gentleman from 
California (Mr. Cox) for spotlighting San Diego's situation. If the 
rest of California and the rest of the country deregulates through this 
monopoly situation under the rules that we had, the rest of the country 
is going to face the same panic and economic crisis that is brewing in 
California.
  The majority party can help San Diego now. Let us do it tomorrow.
  Mr. COX. Mr. Speaker, I yield myself 3 minutes.
  I want to thank the previous speakers for their bipartisan 
cooperation in the passage of this resolution; and I would add that 
there is a big difference between this resolution which, as has been 
pointed out, is a sense of the Congress resolution urging simply that 
the Federal Energy Regulatory Commission release a report that has been 
shelf-ready since October 19, bearing directly on the kinds of 
legislation that are under discussion here, and substantive legislation 
to remake the electric utility industry in the largest State of the 
union or in the rest of the country.
  My colleague referenced H.R. 5131, his legislation, and he was good 
to point out that he has introduced this legislation for the first time 
just last month in the closing days of the second session of the 106th 
Congress. Even though this legislation, which is sweeping in its 
effects, was introduced by such a distinguished Member as the gentleman 
from San Diego, I think he recognizes it would not be regular order for 
it to be simply whisked into law in a matter of weeks without even 
being able to know the results of the significant study that has been 
underway since July at the Federal Energy Regulatory Commission.
  And so I would return to the point and the purpose of this 
resolution, which is to put before the Congress and to put before the 
general public for the requisite 3-week period of comment the already 
completed study and recommendations of the Federal Energy Regulatory 
Commission bearing on what we have all agreed is an extraordinarily 
difficult and complicated problem with very, very egregious 
consequences for consumers in Southern California.
  Mr. FILNER. Mr. Speaker, will the gentleman yield?
  Mr. COX. I yield to the gentleman from California.
  Mr. FILNER. I thank the gentleman for yielding.
  As the gentleman from California (Mr. Cox) said, this is simply a 
resolution, a sense of the Congress. It does absolutely nothing for the 
citizens of San Diego.
  Mr. COX. Reclaiming my time on that point. This resolution does 
nothing more, nothing less than it purports to do, which is to put 
before the Congress a report which we ought by rights to have seen on 
October 19, and I think that on that we should all agree.
  Mr. FILNER. As the gentleman pointed out, I introduced H.R. 5131 a 
month and a half ago. That was plenty of time, given the crisis that 
San Diego has, for this Congress to go through hearings, to go through 
anything they want.
  We have had bills put on this floor in the last couple of days that 
nobody has ever seen before, incredibly complicated tax business and 
appropriations bills that nobody had ever seen. The resolution of the 
gentleman from California (Mr. Bilbray) did not have the light of day 
until yesterday and here it is on the floor today. So you can act when 
you want to. We have had a month and a half to act.
  I will tell the gentleman that the crisis in San Diego mounts every 
day. People are going out of business as they face the mounting debt.
  The SPEAKER pro tempore (Mr. Thune). The time of the gentleman from 
California (Mr. Filner) has expired.
  Mr. BOUCHER. Mr. Speaker, I yield 2 minutes to the gentleman from 
California (Mr. Filner).
  Mr. FILNER. Mr. Speaker, as the gentleman knows, the major utilities 
in our State which are major economic forces have appealed to the 
Public Utilities Commission of California, have appealed to the Federal 
Energy Regulatory Commission to give them some relief because their 
debts are mounting and their bond ratings have gone down. If any one of 
those utilities goes under, the gentleman knows the domino effect on 
California.
  I cannot overstate the crisis for my city, my State or my Nation. Yet 
we are not doing anything in the waning days of this session. We should 
have the hearings. The gentleman from Texas (Mr. Barton) and his 
Subcommittee on Energy and Power of the Committee on Commerce did come 
to San Diego, and we are very grateful for that. They had findings at 
that hearing. They heard San Diegans testify all day. They heard the 
Federal Energy Regulatory Commission. They had enough to go on to have 
hearings on my bill or any other bill that anybody thought would solve 
the problem.
  By the way, I am joined in my bill by the gentleman from California 
(Mr. Hunter) and the gentleman from California (Mr. Bilbray). Also the 
gentleman from California (Mr. Cunningham) and the gentleman from 
California (Mr. Packard) have expressed support. We do have time to act 
when you want to. The majority should put our bills on the floor now.
  Mr. COX. Mr. Speaker, I yield myself 1 minute and simply agree with 
the essential points that have been made on both sides here this 
evening. That is, first, that the crisis for consumers and small 
businesses alike in Southern California, in particular in San Diego and 
Orange Counties is very real.
  Second, that we should take swift action and prudent action to 
address it both in the State legislature in Sacramento and here in 
Washington, D.C. And, third, that to inform those decisions, we are 
entitled to see the report and the study and the recommendations of the 
Federal Energy Regulatory Commission on this very topic.
  I would finally observe that as my colleague from San Diego points 
out, the legislation to which he refers, H.R. 5131, not the only bill 
on this topic but an important one, is sponsored jointly by Democrats 
and Republicans, highly respected Members of this body, and it is 
therefore in the interest of both Republicans and Democrats that we 
move rapidly on such legislation.
  Mr. BOUCHER. Mr. Speaker, I am pleased to yield 3 minutes to the 
gentleman from New Jersey (Mr. Pallone).
  Mr. PALLONE. Mr. Speaker, let me just say to my colleague on the 
other side from California, there is really no purpose to this 
resolution whatsoever. I think he has been trying to justify it, and I 
know he is trying by suggesting that somehow this puts the report or 
the recommendation into the Record, but the resolution does not even 
accomplish that. There is a FERC order from October 26 that says that 
the commission will place in the public record the report. So not only 
is this just a sense of Congress which accomplishes nothing, but the 
report would be put in the Record, anyway, it would be made a public 
record that anybody would have access to. There is nothing here.
  Mr. Speaker, I would urge opposition to this resolution. It is bad 
policy, it is bad process. I want to back up what the gentleman from 
California (Mr. Filner) said. The bill was introduced last night, it 
has not seen the light of day let alone any proper committee process. 
Essentially the bill does nothing. It is purely political. The FERC is 
expected to come out with its findings and recommendations regarding 
California's energy price spikes on November 1. This bill just asks the 
FERC to release its findings 1 day sooner. It is already a matter of 
public record once it comes out. And California already has legislation 
in place to freeze energy rates.
  Now, I say this is an exercise in futility not only because it is, 
and I want to bare the reality of it here tonight and support what the 
gentleman from California (Mr. Filner) said but also to stress that in 
the meantime, the House Republican leadership is not bringing other 
measures to the floor that would truly address California and the 
Nation's rising energy costs.
  In fact, the tax package that we debated today eliminates important 
energy conservation and alternative energy measures that would save 
energy and money for our businesses and consumers and would protect our 
environment. For example, the tax package does not include $400 million 
for electricity produced from renewable sources. The package also does 
not include tax credits for alternative fuel or hybrid vehicles.

[[Page H11320]]

  We all know that oil and gas prices have been higher than in previous 
years. If the average fuel economy of the 131 million cars driven in 
1998 were to have been increased by just one mile per gallon, we would 
have conserved 3.2 billion gallons of gasoline that year. Furthermore, 
if we now were to increase the fuel efficiency of vehicles by just 
three miles per gallon, we would save one million barrels of oil per 
day. I say this because I would like to preclude the need for even 
suggesting the drilling in ANWR, the Arctic National Wildlife Refuge 
which Governor Bush and the Republican leadership in Congress also are 
advocating. Unfortunately, we do not see any measures being brought to 
the floor by the Republican leadership that would encourage greater 
fuel efficiency in vehicles.
  The point is this bill is futile. It is bad policy. It accomplishes 
nothing. We should be doing a lot more important things.
  Mr. COX. Mr. Speaker, I yield myself 1\1/2\ minutes.
  I would simply correct for the record one statement that my 
distinguished colleague has just made, and, that is, that the purpose 
of this resolution is to advance by 1 day the release of the Federal 
Energy Regulatory Commission report. It is, to the contrary, to release 
the report immediately, whereas it has been completed since October 19. 
Let me read from the concurring opinion of one of the FERC 
commissioners on October 19 when that report was released:
  ``Rather than wait for November to release the findings of our 
staff's investigation, I urge the chairman to release the completed 
report now. Our open government requires it. Fairness does as well. The 
people of California should have as much time as possible to digest our 
staff's findings and consider the options presented.''
  The commissioner continues:
  ``Justice Brandeis often remarked, `Sunlight is the best 
disinfectant.' Let the sun shine on our staff's report. It could only 
help heal the raw emotions rampant in the State of California. I hope 
that the commission will proceed in the right path from now on.''
  The bureaucracy here, to put it relatively impolitely in this case, 
is dragging its feet. This is a report on a very significant topic, the 
result of a significant and long study. It should not be gathering dust 
on the shelf. There is a 3-week comment period once it is released that 
will have to expire before the recommendations can be made final. The 
California legislature is going into session at the beginning of 
December.
  Mr. BOUCHER. Mr. Speaker, I yield 2 minutes to the gentleman from 
California (Mr. Filner).
  Mr. FILNER. Mr. Speaker, I just want to point out one more factor in 
all this before I conclude and, that is, the Federal Energy Regulatory 
Commission has claimed both in public and in private conversations they 
do not have the authority to roll back wholesale prices retroactively.
  My legislation, cosponsored by the gentleman from California (Mr. 
Bilbray) and the gentleman from California (Mr. Hunter), gives them 
that authority to roll back prices retroactively. That is the only 
thing that can save San Diego and the rest of California from its 
mounting debt which has now reached $6 billion as I pointed out. We 
must go after those who have gouged us with these prices.
  In conclusion, Mr. Speaker, I just want to say that although the 
gentleman from California (Mr. Cox) and the gentleman from California 
(Mr. Bilbray) are saying that the bureaucracy is dragging its feet, 
actually FERC has acted with incredible speed in this investigation. It 
is the Congress that is dragging its feet. What San Diego wants to see 
from this Congress before it adjourns is some meaningful action to stop 
the mounting debt that threatens big and small business alike and 
threatens the very income of all of our residents.

                              {time}  2100

  San Diego is watching this Congress. What San Diego sees, because the 
majority party will not schedule any meaningful legislation to be voted 
on, is Congress dragging its feet. That is the issue, Mr. Speaker, that 
we must address. California is waiting. San Diego is waiting. This 
Congress should act before we adjourn.
  Mr. COX. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, this is an important resolution, because it will lay 
before the Congress, lay before the public, lay before legislators in 
California, vitally important information, the results of a study by 
the Federal Energy Regulatory Commission on the energy crisis in 
Southern California caused by the deregulation legislation enacted in 
the legislature in Sacramento.
  Without question, this is a situation that we must not allow to 
continue; but without question, we also must know where we are headed 
with reform in Sacramento.
  When the Democratic legislature adopted the deregulation that has led 
to this crisis, they did so with the best of intentions, and they did 
so with bipartisan cooperation.
  It has not turned out as people would have wished. The best of 
intentions or acting in haste, therefore, as we have seen from 
experience is not what is required; what is required is immediate 
remedial action based upon the facts; and right now, the best facts lie 
with the FERC.
  We ought to in this Congress, while we are still in session, have 
that information. This resolution, which I expect will be unanimously 
adopted by Republicans and Democrats, is, in fact, what the FERC needs 
to hear, because it is true, as Justice Brandeis has said, that 
sunshine is the best disinfectant. Let us get that information out. Let 
us get that report released.
  Let us enact this Bilbray resolution so that we may then swiftly move 
to the more fundamental legislation that has occupied so much of our 
debate here this evening.
  Mr. Speaker, I submit the following for the Record:

         Statement of Congressman Brian Bilbray for H. Res. 650

       I would like to take this opportunity to thank Chairman 
     Bliley and leadership for working with me to bring this 
     resolution to the floor. H. Res. 650 is a simple, 
     straightforward resolution that expresses the sense of 
     Congress that the Federal Energy Regulatory Commission 
     release it's completed report on the California electricity 
     crisis before November 1, 2000.
       FERC has been investigating the electricity market place in 
     California as a result of unexpected rate of volatility this 
     summer, San Diego and Orange Counties were the first in the 
     nation to experience the effects of an unregulated 
     electricity markets.
       After speaking with the Commission and writing a letter, a 
     copy of which is included for the record, requesting that the 
     completed report be released as soon as possible, I 
     introduced H. Res. 650 to ensure that the report be made 
     public sooner rather than later, so that all interested 
     parties can examine, analyze and make response to the report 
     as quickly as possible. The initial report is complete. Why 
     not let the public have access to it now?
       The consumers in southern California have had a difficult 
     time this summer, and the crisis is not over. The entire 
     state of California will be facing these hardships unless 
     consumers, industry, utilities, generators, legislators, the 
     Governor, and regulators--both FERC and the California Public 
     Utility Commission,--come together to fix the flaws in the 
     California electricity market. Until the FERC report is 
     released, all of these interested parties are in limbo.
       Help San Diego. Help California. Vote for H. Res. 650.
       Thank you.
                                  ____

                                    Congress of the United States,


                                     House of Representatives,

                                 Washington, DC, October 20, 2000.
     Chairman James J. Hoecker,
     Federal Energy Regulatory Commission,
     Washington, DC.
       Dear Chairman Hoecker: I am writing regarding the ``Order 
     Announcing Expedited Procedures for Addressing California 
     Market Issues'' issued October 19, 2000--the result of the 
     staff fact-finding investigation you commissioned on July 26, 
     2000, of the conditions of the electric bulk power markets in 
     various regions of the country, particularly California.
       I commend you for initiating this process, the results of 
     which will surely be critical in developing a strategy for 
     moving beyond the crisis we are now enduring in California. 
     It is my understanding, that the results of this 
     investigation are complete; however, they are not currently 
     scheduled for public release until November 9, 2000.
       Given the time-sensitive nature of the electricity crisis 
     in California, with small businesses closing and consumers 
     suffering, I would strongly urge you to make the results of 
     your investigation public immediately, so that this 
     information can be put to use as soon as possible in 
     developing sound remedies for the adverse situation to which 
     California electricity consumers have been subjected. 
     Additionally, with the State legislature set to reconvene in 
     December, it would seem to make sense to provide California's 
     legislators with this information as soon as

[[Page H11321]]

     possible, in order to enable them to ``hit the ground 
     running'' on this critical matter once they gather again in 
     Sacramento in December. It is my intention to do everything 
     within my power to make this information available to the 
     decisionmakers who will need it to help bring some relief to 
     the long-suffering electricity consumers in San Diego and 
     elsewhere throughout California.
       I greatly appreciate and thank you in advance for your 
     attention to this request, and your anticipated affirmative 
     response. Please don't hesitate to contact me directly with 
     any questions or to further discuss this important matter.
           Sincerely,
                                                    Brian Bilbray,
                                               Member of Congress.

  Mr. BILBRAY. Mr. Speaker, I would like to take this opportunity to 
thank Chairman Bliley and leadership for working with me to bring this 
resolution to the floor. H. Res. 650 is a simple, straightforward 
resolution that expresses the sense of Congress that the Federal Energy 
Regulatory Commission release it's completed report on the California 
electricity crisis before November 1, 2000.
  FERC has been investigating the electricity market place in 
California as a result of unexpected rate volatility this summer. San 
Diego and Orange Counties were the first in the nation to experience 
the effects of an unregulated electricity market.
  After speaking with the Commission and writing a letter, a copy of 
which is included for the record, requesting that the completed report 
be released as soon as possible, I introduced H. Res. 650 to ensure 
that the report be made public sooner rather than later, so that all 
interested parties can examine, analyze and make respond to the report 
as quickly as possible. The initial report is complete. Why not let the 
public have access to it now?
  The consumers in southern California have had a difficult time this 
summer, and the crisis is not over. The entire State of California will 
be facing these hardships unless consumers, industry, utilities, 
generators, legislators, the Governor, and regulators--both FERC and 
the California Public Utility Commission--come together to fix the 
flaws in the California electricity market. Until the FERC report is 
released, all of these interested parties are in limbo.
  Help San Diego. Help California. Vote for H. Res. 650

                                    Congress of the United States,


                                     House of Representatives,

                                 Washington, DC, October 20, 2000.
     Chairman James J. Hoecker,
     Federal Energy Regulatory Commission,
     Washington, DC.
       Dear Chairman Hoecker: I am writing regarding the ``Order 
     Announcing Expedited Procedures for Addressing California 
     Market Issues'' issued October 19, 2000--the result of the 
     staff fact-finding investigation you commissioned on July 26, 
     2000, of the conditions of the electric bulk power markets in 
     various regions of the country, particularly California.
       I commend you for initiating this process, the results of 
     which will surely be critical in developing a strategy for 
     moving beyond the crisis we are now enduring in California. 
     It is my understanding,that the results of this investigation 
     are complete; however, they are not currently scheduled for 
     public release until November 9, 2000.
       Given the time-sensitive nature of the electricity crisis 
     in California, with small businesses closing and consumers 
     suffering, I would strongly urge you to make the results of 
     your investigation public immediately, so that this 
     information can be put to use as soon as possible in 
     developing sound remedies for the adverse situation to which 
     California electricity consumers have been subjected. 
     Additionally, with the State legislature set to reconvene in 
     December, it would seem to make sense to provide California's 
     legislators with this information as soon as possible, in 
     order to enable them to ``hit the ground running'' on this 
     critical matter once they gather again in Sacramento in 
     December. It is my intention to do everything within my power 
     to make this information available to the decisionmakers who 
     will need it to help bring some relief to the long-suffering 
     electricity consumers in San Diego and elsewhere throughout 
     California.
       I greatly appreciate and thank you in advance for your 
     attention to this request, and your anticipated affirmative 
     response. Please don't hesitate to contact me directly with 
     any questions or to further discuss this important matter.
           Sincerely,
                                                    Brian Bilbray,
                                               Member of Congress.

  Ms. ESHOO. Mr. Speaker, I rise in support of H. Res. 650, which 
encourages the Federal Energy Regulatory Commission to make public its 
findings and recommendations regarding the electricity crisis in 
California.
  While I have no substantive objection to H. Res. 650, I'm 
disappointed that the Majority party failed to bring forward 
comprehensive electricity legislation this Congress which would help 
prevent another crisis next year.
  According to industry figures, power transactions across the national 
grid have jumped from 200,000 transactions in 1997 to over 1.5 million 
projected for this year. Reliability of energy, therefore, is likely to 
get worse without comprehensive action.
  We must have open and non-discriminatory access to transmission 
lines. We must ensure the reliability of the electricity market. And we 
must take action to stem the threat to stable prices caused by market 
manipulation
  If the leadership of this Congress had been willing to take a first 
step, we could have considered H.R. 4941, the National Electric 
Reliability Act, which I'm proud to cosponsor. The bill would create an 
independent organization to ensure the reliability of the interstate 
transmission grids. This legislation has already passed the Senate with 
overwhelming bipartisan support.
  Yet this House failed to consider any of these measures. Now it's 
likely that price spikes, power market abuses, and reliability problems 
will continue, especially in my state and in places like San Diego 
where there have been such problems. What a dismal outcome.
  Mr. Speaker, I support this resolution. For those who come from 
states who haven't yet felt the impact of higher energy prices, the 
failure of this House to take meaningful steps to ensure reliable 
electricity, prevent price spikes, and protect against market power 
abuses in the electricity market will come home to your state and your 
constituents as well.
  Mark my words. We'll be back here next Congress in a crisis mode 
because of the House leadership's failure to take on the hard 
challenges this issue confronts us with.
  Mr. BOUCHER. Mr. Speaker, I yield back the balance of my time.
  Mr. COX. Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore (Mr. Thune). The question is on the motion 
offered by the gentleman from California (Mr. Cox) that the House 
suspend the rules and agree to the resolution, H. Res. 650.
  The question was taken.
  The SPEAKER pro tempore. In the opinion of the Chair, two-thirds of 
those present have voted in the affirmative.
  Mr. BOUCHER. Mr. Speaker, I object to the vote on the ground that a 
quorum is not present and make the point of order that a quorum is not 
present.
  The SPEAKER pro tempore. Pursuant to clause 8, rule XX and the 
Chair's prior announcement, further proceedings on this motion will be 
postponed.
  The point of no quorum is considered withdrawn.

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