3. Purpose and Structure of the Small Business
Advisory Council

Our objectives in issuing this OIR are to create a Small Business Advisory Council that will facilitate communication between small businesses and the Commission on how Commission policies impact small businesses and ensure that the perspective of the small business is taken into account. These objectives are focused to better serve the small business community. Consistent with these objectives, the Small Business Advisory Council should do all of the following to advise the Commission regarding the Commission's duties:

1. Provide input on how CPUC policy decisions affect small businesses, and provide advice and counsel on how Commission policies and procedures can be better adapted to the realities of small businesses in California.

2. Monitor and evaluate the implementation of all Commission programs provided to small business customers

3. Assist in the development and analysis of assessments of the needs of small business customers.

4. Encourage collaboration between State and utility programs to educate small business customers of CPUC-regulated utilities about energy efficiency programs, renewable energy policies, consumer protection initiatives and any other matters affecting small businesses.

In addition, the Commission, in conjunction with the Small Business Advisory Council, should work with interested parties, small business outreach groups and community-based organizations to increase participation in programs for small business customers. The Commission should also give technical support to the Council and should provide notice of Council meetings in the Commission's daily calendar.

We have examined the structure of other similar boards and determine that the structure of the Low Income Oversight Board (LIOB) is a good model for the Small Business Advisory Council.¹ While the staffing, travel, and administrative costs, costs of the members of the LIOB are covered by statute, reimbursement for the staffing, travel and administrative costs of the members of the Small Business Advisory Council, if any, will be determined in course of this proceeding. Additionally, this proceeding will consider whether this Council can effectively serve as a de facto proxy for small business interests. Since this new relationship between the Commission and small businesses will undoubtedly continue to evolve, we will establish the Small Business Advisory Council as a three-year pilot program to ensure that we retain the flexibility to modify it as necessary to carry out the goals set forth in this OIR. Also, given the focus of the Council on small-business issues, we conclude that a smaller Council is appropriate here. We determine that the Small Business Advisory Council shall be comprised of nine members, who will serve three-year terms, to be selected as follows:

1. Three members selected by the Commission who are small business owners and who are not affiliated with any Commissioner, State agency or utility group, or otherwise involved in representation before this Commission. These members shall be selected in a manner to ensure an equitable geographic distribution throughout the State of California ("small business members").

2. One member selected by the Commission who is a Commissioner or Commissioner designee.

3. One member selected by the Commission from the Commission's Small Business & Community Outreach Group.

4. One member selected by the California Small Business Association.

5. One member selected by the California Chamber of Commerce.

6. One member selected by the Commission who is a representative of an electrical or gas corporation, as defined by the Public Utilities Code.

7. One member selected by the Commission who is a representative of a water or communications corporation, as defined by the Public Utilities Code.

The Small Business Advisory Council shall meet quarterly beginning in April 2011. In order to ensure fairness to all members, the Small Business Advisory Council will alternate meeting locations between northern, central, and southern California. Those members who are not able to participate in the quarterly meetings in person may participate remotely.

We take the following initial steps in establishing the Small Business Advisory Council by requesting that individuals interested in filling one of the three small business member appointments submit a letter of interest and a résumé, including references, by February 15, 2011. Those representatives of electric and/or gas utilities interested in having a representative appointed to the respective Council positions also should submit letters of interest and a résumé of the candidate, including references. Upon receipt of this information, the Supervisor of the Commission's Business & Community Outreach Group will confer with the President of the Commission to select and propose to the Commission the members of the Council for a three-year term. The non-Commission members of the Small Business Advisory Council may not be reappointed to an additional term in order to ensure a fresh perspective on the Council.

¹ See Public Utilities Code section 382.1. See also Assigned Commissioner Wood's Ruling Regarding the Establishment of the Low Income Oversight Board and the Implementation of other Provisions of Senate Bill X1 2, dated, issued on November 20, 2001 in R.01-08-027.