================================================================================
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549
                                -----------------



                                    FORM 8-K


                                 CURRENT REPORT
                     PURSUANT TO SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934



      Date of Report (Date of earliest event reported): October 15, 1998


                     CALIFORNIA INFRASTRUCTURE AND ECONOMIC
                  DEVELOPMENT BANK SPECIAL PURPOSE TRUST SCE-1
--------------------------------------------------------------------------------
                            (Issuer of Certificates)





                                 SCE FUNDING LLC
--------------------------------------------------------------------------------
               (Exact Name of Registrant as Specified in Charter)



            Delaware                  333-30785                 95-46440661
  (State or Other Jurisdiction       (Commission               (IRS Employer
        of Incorporation             File Number)           Identification No.)





      2244 Walnut Grove Avenue, Room 180, Rosemead, CA                91770
--------------------------------------------------------------------------------
          (Address of Principal Executive Offices)                  (Zip Code)

    Registrant's telephone number, including area code:          (626) 302-1850
--------------------------------------------------------------------------------





--------------------------------------------------------------------------------
          (Former Name or Former Address, if Changed Since Last Report)


<PAGE>

Items 1  through  4, 6, and 8 through 9 are not  included  because  they are not
applicable.

Item 5.  Other Events.

On October 15, 1998,  the  registrant  was advised that Bankers Trust Company of
California,  N.A.,  acting  as  Certificate  Trustee  for  the  holders  of Rate
Reduction  Certificates  issued by the  California  Infrastructure  and Economic
Development  Bank  Special  Purpose  Trust  SCE-1,  has  mailed  letters  to the
Certificate  holders regarding certain actions the Certificate Trustee is taking
related to  Proposition  9 to be voted on by  California  voters on  November 3,
1998. A copy of a press  release of the  registrant,  dated October 16, 1998, is
attached hereto as Exhibit 99.2 and incorporated herein by reference.  A copy of
the Certificate Trustee's letter, plus enclosures, is attached hereto as Exhibit
99.1.  Proposition  9 was  previously  discussed  in  Part  II,  Item  1 of  the
registrant's Quarterly Report on Form 10-Q for the quarter ended June 30, 1998.


Item 7.  Exhibits.

(a)      Financial Statements of Businesses Acquired.  Not applicable.

(b)      Pro Forma financial Information.  Not applicable.

(c)      Exhibits

         Exhibit No.                      Description

         99.1       Trustee's Letter to Certificate Holders, plus Attachments
         99.2       Press Release - Bankers Trust Company Notifies SCE Funding
                    LLC and Rate Reduction Certificate Holders about
                    Proposition 9 Impacts

<PAGE>


                                   SIGNATURES




         Pursuant to the  requirements  of the Securities  Exchange Act of 1934,
the  registrant  has duly  caused  this report to be signed on its behalf by the
undersigned thereunto duly authorized.


                                           SCE FUNDING LLC


                                            By:      /s/  Mary C. Simpson
                                            ------------------------------------
                                                     Mary C. Simpson
                                                   Vice President and Treasurer


October 16, 1998
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{"company-data": {"conformed-name": "SCE FUNDING LLC", "cik": "0001041856", "assigned-sic": "6189", "irs-number": "954640661", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "333-30785", "film-number": "98726713"}, "business-address": {"street1": "2244 WALNUT GROVE AVE", "street2": "ROOM 180", "city": "ROSEMEAD", "state": "CA", "zip": "91770", "phone": "6263021850"}, "mail-address": {"street1": "2244 WALNUT GROVE AVE", "street2": "ROOM 180", "city": "ROSEMEAD", "state": "CA", "zip": "91770"}}
================================================================================
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549
                                -----------------

                                    FORM 8-K

                                 CURRENT REPORT
                     PURSUANT TO SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

      Date of Report (Date of earliest event reported): October 15, 1998

                     CALIFORNIA INFRASTRUCTURE AND ECONOMIC
                  DEVELOPMENT BANK SPECIAL PURPOSE TRUST SCE-1
--------------------------------------------------------------------------------
                            (Issuer of Certificates)

                                 SCE FUNDING LLC
--------------------------------------------------------------------------------
               (Exact Name of Registrant as Specified in Charter)

            Delaware                  333-30785                 95-46440661
  (State or Other Jurisdiction       (Commission               (IRS Employer
        of Incorporation             File Number)           Identification No.)

      2244 Walnut Grove Avenue, Room 180, Rosemead, CA                91770
--------------------------------------------------------------------------------
          (Address of Principal Executive Offices)                  (Zip Code)

    Registrant's telephone number, including area code:          (626) 302-1850
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
          (Former Name or Former Address, if Changed Since Last Report)
Items 1  through  4, 6, and 8 through 9 are not  included  because  they are not
applicable.

Item 5.  Other Events.

On October 15, 1998,  the  registrant  was advised that Bankers Trust Company of
California,  N.A.,  acting  as  Certificate  Trustee  for  the  holders  of Rate
Reduction  Certificates  issued by the  California  Infrastructure  and Economic
Development  Bank  Special  Purpose  Trust  SCE-1,  has  mailed  letters  to the
Certificate  holders regarding certain actions the Certificate Trustee is taking
related to  Proposition  9 to be voted on by  California  voters on  November 3,
1998. A copy of a press  release of the  registrant,  dated October 16, 1998, is
attached hereto as Exhibit 99.2 and incorporated herein by reference.  A copy of
the Certificate Trustee's letter, plus enclosures, is attached hereto as Exhibit
99.1.  Proposition  9 was  previously  discussed  in  Part  II,  Item  1 of  the
registrant's Quarterly Report on Form 10-Q for the quarter ended June 30, 1998.

Item 7.  Exhibits.

(a)      Financial Statements of Businesses Acquired.  Not applicable.

(b)      Pro Forma financial Information.  Not applicable.

(c)      Exhibits

         Exhibit No.                      Description

         99.1       Trustee's Letter to Certificate Holders, plus Attachments
         99.2       Press Release - Bankers Trust Company Notifies SCE Funding
                    LLC and Rate Reduction Certificate Holders about
                    Proposition 9 Impacts
SIGNATURES

         Pursuant to the  requirements  of the Securities  Exchange Act of 1934,
the  registrant  has duly  caused  this report to be signed on its behalf by the
undersigned thereunto duly authorized.

                                           SCE FUNDING LLC

                                            By:      /s/  Mary C. Simpson
                                            ------------------------------------
                                                     Mary C. Simpson
                                                   Vice President and Treasurer

October 16, 1998