Meanwhile, the Davis administration's efforts to renegotiate the contracts continue, with an unfortunately familiar flavor of conflict of interest. The most important lobbyist for the state's backdoor bailout of Calpine, the San Jose power company, is actually a top state official -- Jeremiah Hallisey, a high-powered San Francisco lawyer (Standard Oil et al.) and longtime associate of Davis' from the Jerry Brown days, who now serves on the state Transportation Commission.
The two chief negotiators for the state are former L.A. Assemblyman Richard Katz, who had virtually no involvement with energy issues until last year and knows that the governor referred to the company as a "white-hat power generator," and Michael Kahn, another San Francisco lawyer, who represented the polluters in the infamous Stringfellow toxic-waste-dumping case.
Calpine is in danger of bankruptcy after the latest downgrade in its junk-bond-class credit rating and the canceling or delay of billions in power-turbine purchases.
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You may have stumbled on the holy grail! Could this be why Calpine has been given preferential treatment all these months?