BILL ANALYSIS ------------------------------------------------------------ |SENATE RULES COMMITTEE | AB 1058| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ THIRD READING Bill No: AB 1058 Author: Laird (D) Amended: 7/17/07 in Senate Vote: 21 SENATE TRANSPORTATION & HOUSING COMM. : 7-4, 6/26/07 AYES: Lowenthal, Cedillo, Corbett, Kehoe, Simitian, Torlakson, Yee NOES: McClintock, Ashburn, Dutton, Harman SENATE ENV. QUALITY COMMITTEE : 5-2, 7/10/07 AYES: Simitian, Florez, Kuehl, Lowenthal, Steinberg NOES: Runner, Aanestad SENATE APPROPRIATIONS COMMITTEE : 9-7, 8/30/07 AYES: Torlakson, Cedillo, Corbett, Florez, Kuehl, Oropeza, Ridley-Thomas, Steinberg, Yee NOES: Cox, Aanestad, Ashburn, Battin, Dutton, Runner, Wyland NO VOTE RECORDED: Simitian ASSEMBLY FLOOR : 45-34, 6/5/07 - See last page for vote SUBJECT : Green building construction: best practices SOURCE : Author DIGEST : This bill requires the California Environmental Protection Agency and ultimately the Building Standards Commission to adopt best practices and building standards CONTINUED AB 1058 Page 2 related to green building. ANALYSIS : Existing law: 1. Under the California Integrated Waste Management Act of 1989, contains requirements for recycling certain types of materials (e.g., metallic discards, papers, plastic trash bags, rigid plastic packaging containers, cell phones, paving materials, and waste tires), provides programs for recycling at certain types of facilities (e.g., schoolsites, large venues), and requires model ordinances for certain matters (e.g., adequate areas for collection and loading of recyclable materials in development projects; diversion of construction and demolition materials; solid waste reduction, reuse, and recycling at large venues). The Act creates the California Integrated Waste Management Board (CIWMB) under the California Environmental Protection Agency (CalEPA). 2. Under the California Building Standards Law, sets procedures for adopting state building codes that require a building standard adopted or proposed by state agencies to be submitted to the California Building Standards Commission (BSC) for approval or adoption prior to codification. Where no state agency has authority to adopt building standards applicable to state buildings, the BSC must adopt, approve, codify, and publish building standards for the design and construction of state buildings. This bill creates the Green Building Standards Law that: 1. Requires CalEPA to develop, adopt, and make available voluntary best practices by July 1, 2009, for residential home construction that address certain matters (e.g., energy efficiency, water efficiency, materials and resources, indoor environmental quality). 2. Requires CalEPA to coordinate a working group consisting of certain state entities (e.g., BSC, AB 1058 Page 3 CIWMB, State Energy Resources Conservation and Development Commission, Air Resources Board) that must consult representatives from certain organizations in developing voluntary best practices. Entities involved in this effort must consider current guidelines (e.g., US Green Building Council's Leadership in Energy and Environmental Design (LEED) for homes rating system, 2005 Build It Green "New Home Construction Green Building Guidelines). 3. Each state entity must provide the BSC and CalEPA with an analysis of the proposed best practices that include potential overlap with other agencies' jurisdiction, assurance that all aspects exceed the California Building Standards Code, and justification of the best practices. 4. Requires the BSC to review the voluntary best practices prior to adoption to ensure that nothing falls below or conflicts with standards in the California Building Standards Code (Title 24). If the BSC identifies conflict with the Code, CalEPA must revise its best practices to be in conformance with the code. 5. Requires CalEPA to develop an education program informing local entities of green building benefits and encourage use of the best practices. 6. Requires CalEPA, beginning July 1, 2011, to conduct a public review of the best practices with state, and local government entities and certain representatives to determine the level of use and effectiveness in a representative sampling of residential construction. 7. Requires CalEPA to reconvene the working group to develop proposed building standards based on the best practices and their review. Each state entity must develop proposed building standards related to its area of expertise. CalEPA must be responsible for coordinating proposed building standards and submitting a comprehensive set of proposed building standards to the BSC by July 1, 2012, for BSC adoption pursuant to the California Building Standards Code. AB 1058 Page 4 8. Authorizes the BSC to modify the proposed building standards as long as the modifications do not reduce the environmental benefits or efficiencies that would have been achieved by the proposed standards. 9. Requires all residential occupancies for which a project application is deemed complete on or after July 1, 2013, to comply with the building standards proposed by CalEPA if the BSC rejects the proposed standard, until the date that the proposed CalEPA building standards are adopted by the BSC take effect. 10. Contains related legislative intent. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: No According to the Senate Appropriations Committee: Fiscal Impact (in thousands) Major Provisions 2007-08 2008-09 2009-10 Fund Develop standards $150 $300 $300 GF Adopt standards -minor and absorbable GF Implement standards in -unknown increase in construction costs GF applicable state buildingsoffset by unknown, potentially savings in out years SUPPORT : (Verified 8/31/07) American Federation of State, County and Municipal Employees American Lung Association California Interfaith Power and Light California League of Conservation Voters City of Santa Cruz County of Santa Cruz Environment California AB 1058 Page 5 Gilroy Independence Metropolitan Water District of Southern California Natural Resources Defense Council Planning and Conservation League, Santa Cruz, Sierra Club California, Silicon Valley Leadership Group Sierra Club California OPPOSITION : (Verified 8/31/07) Department of Finance Department of Housing and Community Development Building Standards Commission California Apartment Association California Building Industry Association California Business Properties Association California Chamber of Commerce California Major Builders Council California Manufacturers & Technology Association Consulting Engineers and Land Surveyors of California Shapell Industries Western Electrical Contractors Association ARGUMENTS IN SUPPORT : According to the author, "In 2005, California had approximately 12.9 million existing housing units and over 211,000 new units were constructed. In 2003, construction investment in California for new residential housing totaled $34 billion. While residential housing is [a] significant economic force, the construction of a 2,000 square foot home generates three to five tons of waste, California residences use 5.6 million acre-feet of applied water annually, and the residential sector accounts for roughly 31 percent of the electricity consumed in the state." The author also notes that "Green building practices utilize energy, water, and materials efficiently throughout the building life cycle; enhance indoor air quality; and incorporate environmentally preferable products. While green building practices have been encouraged by the past three Governors through Executive Orders, none of these have included residential. As shown above, California residences have a large impact on the environment, and by providing guidelines on how to most efficiently build/operate a home to minimize the environmental impact AB 1058 Page 6 we can make a significant difference in that impact." ARGUMENTS IN OPPOSITION : Opponents primarily object to the fact that the bill goes outside the existing process for developing building standards. In addition, opponents argue that the benefits of green building standards should be balanced against the impact on housing affordability. BSC and HCD have proposed amendments that require HCD to propose green building standards for residential occupancies and BSC to propose green building standards for uses outside state jurisdiction by July 1, 2009. These standards may be voluntary or mandatory and would take into account the impact on housing affordability. ASSEMBLY FLOOR : AYES: Bass, Beall, Berg, Brownley, Caballero, Charles Calderon, Carter, Coto, Davis, De La Torre, De Leon, DeSaulnier, Dymally, Eng, Evans, Feuer, Fuentes, Galgiani, Hancock, Hayashi, Hernandez, Huffman, Jones, Karnette, Krekorian, Laird, Leno, Levine, Lieber, Lieu, Ma, Mendoza, Mullin, Nava, Portantino, Price, Richardson, Ruskin, Salas, Saldana, Solorio, Swanson, Torrico, Wolk, Nunez NOES: Adams, Aghazarian, Anderson, Arambula, Benoit, Berryhill, Blakeslee, Cook, DeVore, Duvall, Emmerson, Fuller, Gaines, Garcia, Garrick, Horton, Houston, Huff, Jeffries, Keene, La Malfa, Maze, Nakanishi, Niello, Parra, Plescia, Sharon Runner, Silva, Smyth, Spitzer, Strickland, Tran, Villines, Walters NO VOTE RECORDED: Soto JJA:nl 8/31/07 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END ****