california update 2 12 executive summary likelihood involuntary bankruptcy filing utilities appears greater 60 due circumstances surrounding filed rate doctrine case mentioned also 30 day cure period utilities paying bills end week increasing likelihood ipp creditors act state loses filed rate doctrine case today believed happen involuntary bankruptcy filing even threat one bail plan enacted quickly 1 utilities vs cpuc governor davis attempt delay filed rate doctrine case succeed case come judge monday february 12 th federal judge expected rule summary judgment favor utilities however judge allow utilities collect injunction release requesting 01 kwh left appellate court decision allow utilities collect cash could trigger involuntary bankruptcy filing smaller ipps noted reports last week larger state generators duke reliant dynegy noted press morning expected next week week 2 prospects bailout bill ab 18 x effectively dead lack support senator burton despite public refusals moving closer agreeing utility bail statements burton ca state treasurer merely negotiating position concerned possibility bankruptcy appear burton long association labor unions unions oppose utility bankruptcy burton negotiating consumer advocate harvey rosenfield get attacked deal burton expected arrange would bonds issued utilities rather state kind state support less full faith credit state ca would pass would amount securitization extra charge power bills e g 01 though actual amount known bonds would asset backed securities payment receivable rate payers term bonds unknown term made quite long e g 20 years associated rate increase could small state would purchase utilities transmission assets high price amount extra charge power bills known price transmission assets settled state loses filed rate doctrine case today believed happen involuntary bankruptcy filing even threat one sources believe bail plan enacted quickly noted earlier report california legislature habitually act things hit wall expected republicans legislature follow burton lead support bail plan assembly members particular yet supportive plan nature one moderate democratic legislator source spoke said opposition bail central valley district 50 1 however involuntary filing threat thereof may enough trigger legislative support would allow argument imminent threat people state california 3 consumer opposition harvey rosenfield short cash fight plan associated rate increase anything referendum referendum fails intends attack individual legislators though john burton reportedly immunity rosenfield legislators thinking voting bail plan supporting referendum rosenfield later however bail plan rate increase described passed legislature bill rather put place puc example reversed referendum additional insurance rosenfield supporting bonds issued plan state argue credit would impaired case referendum repeal plan clear factual argument still might impede referendum