BILL NUMBER: AB 1007	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JULY 5, 2005
	AMENDED IN SENATE  JUNE 16, 2005
	AMENDED IN ASSEMBLY  MAY 27, 2005

INTRODUCED BY   Assembly Member Pavley
   (Coauthors: Assembly Members Hancock and Nation)
   (Coauthor: Senator Kehoe)

                        FEBRUARY 22, 2005

   An act to add Article 6 (commencing with Section 43860) to Chapter
4 of Part 5 of Division 26 of the Health and Safety Code, relating
to air pollution.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1007, as amended, Pavley.  Air quality: alternative fuels.
   Existing law imposes various limitations on emissions of air
contaminants for the control of air pollution from vehicular and
nonvehicular sources. Existing law generally designates the State Air
Resources Board as the state agency with the primary responsibility
for the control of vehicular air pollution.
   This bill would require, not later than January 1, 2007, the state
board, in consultation with specified state agencies, to develop and
adopt a state plan to increase the use of alternative fuels, as
defined.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Article 6 (commencing with Section 43860) is added to
Chapter 4 of Part 5 of Division 26 of the Health and Safety Code, to
read:

      Article 6.  Alternative Fuels

   43860.
   The Legislature finds and declares all of the following:
   (a) The production, marketing, and use of petroleum fuels in
California causes significant degradation of public health and
environmental quality due to releases of air and water pollutants.
   (b) Clean alternative fuels have the potential to considerably
reduce these impacts and are important strategies for the state to
attain its air and water quality goals.
   (c) Research, development, and commercialization of alternative
fuels in California have the potential to strengthen California's
economy by providing job growth and helping to reduce the state's
vulnerability to petroleum price volatility.
   (d) The State Energy Resources Conservation and Development
Commission and the State Air Resources Board have previously
recommended in their report to the Legislature, "Reducing California'
s Petroleum Dependency" in August 2003, that the state adopt a goal
of 20 percent nonpetroleum fuel use in the year 2020 and 30 percent
in the year 2030.
    43961. 
    43861. 
   Not later than January 1, 2007, the state board, in consultation
with the State Energy Resources Conservation and Development
Commission, the State Water Resources Control Board, the Department
of Food and Agriculture, and other relevant state agencies, shall
develop and adopt a state plan to increase the use of alternative
transportation fuels.
   (a) The plan shall include an evaluation of alternative fuels on a
full  fuel cycle   fuel-cycle  assessment
of emissions of criteria air pollutants, air toxics, greenhouse
gases, water pollutants, and other substances that are known to
damage human health, impacts on petroleum consumption, and other
matters the state board deems necessary.
   (b) The plan shall set goals for the years 2012, 2017, and 2022
for increased alternative fuel use in the state that accomplishes all
of the following:
   (1) Maximizes the environmental and public health benefits of
alternative fuels, including, but not limited to, reductions in
criteria air pollutants, greenhouse gases, and water pollutants
consistent with existing or future state board regulations.
   (2) Ensures that there is no net increase in air pollution, water
pollution, or any other substances that are known to damage human
health.
   (3) Minimizes the economic costs to the state, if any.
   (4) Maximizes the economic benefits of producing alternative fuels
in the state.
   (c) The plan shall recommend policies to ensure alternative fuel
goals are attained, including, but not limited to:
   (1) Standards on transportation fuels and vehicles.
   (2) Requirements, financial incentives, and other policy
mechanisms to ensure that vehicles capable of operating on
alternative fuels use those fuels to the maximum extent feasible.
   (3) Requirements, financial incentives, and other policy
mechanisms to ensure that alternative fuel fueling stations are
available to drivers of alternative fuel vehicles.
   (4) Incentives, requirements, programs, or other mechanisms to
encourage the research, development, demonstration,
commercialization, manufacturing, or production of vehicles that use
alternative fuels.
    43962. 
    43862. 
   For the purposes of this article,  "alternative fuel"
  the following terms have the following meanings: 

    (a)     "Alternative fuel"  means a
fuel, including electricity, ethanol, biodiesel, hydrogen, methanol,
or natural gas that, when used in vehicles, has demonstrated, to the
satisfaction of the state board, to have the ability to meet
applicable vehicular emission standards.  
   (b) "Full fuel-cycle assessment" means evaluating and comparing
the full environmental and health impacts of each step in the life
cycle of a fuel, including, but not limited to, all of the following:
 
   (1) Feedstock extraction, transport, and storage.  
   (2) Fuel production, distribution, transport, and storage. 

   (3) Vehicle operation, including refueling, combustion or
conversion, and evaporation.