At Steve Peace's suggestion, I had a conversation with Senator Jim
Brulte, Senate Minority Leader, about the energy situation in Ca.  He
made the following points:

1.  He and most others believe "there is some funny stuff going on" in
the market.

2.  If generators are gaming the market, Rosenfield's initiative will
ensure that there is public power.

3.  The only thing Gov. Davis knows for sure at this point is that we
have to have long term contracts, which will pass early in the session.

4.  PG&E went to the marketplace to cover its short term debt and 40
banks turned them down.  He thinks there is a good chance the utilities
will ask for bankruptcy protection.

5.  He's not interested in calling Ken Lay and/or Pres. Bush (he is
close to Bush himself) to have the Feds stabilize the market.  He thinks
Peace's idea is to deflect criticism of Gov. Davis and place Bush and
the Republicans on the hot seat.

6.  He thinks almost every problem with the Ca. market is the result of
a bad PUC decision and that we'll go to a public power authority and
condemn all plants if the problem doesn't correct soon.    Peace's $2
billion placeholder in the budget could be used for this purpose.

7.  He thinks preferential buying of surplus power should be given to
the companies which contually sell power into Ca.

8.  To the extent the market can be saved, the Legislature's job is to
provide a level playing field.