CA Codes (puc:851-857)PUBLIC UTILITIES CODE
SECTION 851-857
851. A public utility, other than a common carrier by railroad
subject to Part I of the Interstate Commerce Act ( 49 U.S.C. Sec.
10101 et seq.), shall not sell, lease, assign, mortgage, or otherwise
dispose of, or encumber the whole or any part of its railroad,
street railroad, line, plant, system, or other property necessary or
useful in the performance of its duties to the public, or any
franchise or permit or any right thereunder, or by any means
whatsoever, directly or indirectly, merge or consolidate its
railroad, street railroad, line, plant, system, or other property, or
franchises or permits or any part thereof, with any other public
utility, without first having either secured an order from the
commission authorizing it to do so for qualified transactions valued
above five million dollars ($5,000,000), or for qualified
transactions valued at five million dollars ($5,000,000) or less,
filed an advice letter and obtained approval from the commission
authorizing it to do so. If the advice letter is uncontested,
approval may be given by the executive director or the director of
the division of the commission having regulatory jurisdiction over
the utility. The commission shall determine the types of transactions
valued at five million dollars ($5,000,000) or less, that qualify
for advice letter handling. For a qualified transaction valued at
five million dollars ($5,000,000) or less, the commission may
designate a procedure different than the advice letter procedure if
it determines that the transaction warrants a more comprehensive
review. Absent protest or incomplete documentation, the commission
shall approve or deny the advice letter within 120 days of its filing
by the applicant public utility. The commission shall reject any
advice letter that seeks to circumvent the five million dollars
($5,000,000) threshold by dividing a single asset with a value of
more than five million dollars ($5,000,000), into component parts,
each valued at less than five million dollars ($5,000,000). Every
sale, lease, assignment, mortgage, disposition, encumbrance, merger,
or consolidation made other than in accordance with the advice letter
and approval from the commission authorizing it is void. The
permission and approval of the commission to the exercise of a
franchise or permit under Article 1 (commencing with Section 1001) of
Chapter 5, or the sale, lease, assignment, mortgage, or other
disposition or encumbrance of a franchise or permit under this
article shall not revive or validate any lapsed or invalid franchise
or permit, or enlarge or ad
