BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 2328
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          ASSEMBLY THIRD READING
          AB 2328 (Niello)
          As Amended  April 19, 2010
          Majority vote 

           NATURAL RESOURCES   7-2         APPROPRIATIONS      14-1        
           
           ----------------------------------------------------------------- 
          |Ayes:|Chesbro, Gilmore,         |Ayes:|Fuentes, Conway, Coto,    |
          |     |Brownley, Hill, Knight,   |     |Davis, Bonnie Lowenthal,  |
          |     |Logue, Skinner            |     |Hall, Harkey, Miller,     |
          |     |                          |     |Nielsen, Norby, Skinner,  |
          |     |                          |     |Solorio, Torlakson, Hill  |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|De Leon, Huffman          |Nays:|Ammiano                   |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Requires at least one of the members of the ARB  
          appointed by the Governor be the owner of a small business,  
          which is generally defined by the California Employment  
          Development Department (EDD) to be any incorporated business  
          with less than 100 employees.

           EXISTING FEDERAL LAW  requires the ARB to administer an  
          Ombudsman's Office that serves as a general resource to small  
          businesses, large businesses, trade associations, and to  
          individual community members regarding air quality regulations.

           EXISTING STATE LAW  establishes the ARB within the California  
          Environmental Protection Agency (CalEPA).  The ARB is  
          responsible for controlling emissions from motor vehicles as  
          well as enforcing federal air pollution regulations.  The board  
          consists of 11 members who are appointed by the Governor and are  
          subject to confirmation by the Senate.  With the exception of  
          the chair, all other members are part-time positions.  Two of  
          the 11 members appointed by the Governor are "public" members,  
          who are defined as any California resident that is not an  
          elected official.  
           
           FISCAL EFFECT  :  Unknown

           COMMENTS  :  The ARB has resources for small businesses needing to  
          comply with state air quality standards.  For example, the ARB  








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          website has information specific to small businesses on how to  
          interpret and comply with air quality regulations that aim to  
          comply with the greenhouse gas reduction measures, such as AB  
          32, that are enacted by the Legislature.  Specifically, the ARB  
          provides information regarding the California Capital Access  
          Program within the California Pollution Control Financing  
          Authority.  This program can ensure bank loan awards up to $1.5  
          million in an individual loan to small businesses for energy  
          efficiency upgrades such as the acquisition of land, building  
          renovation, building construction, and equipment purchases.   
          Previously, the ARB provided over $1 billion in funding for  
          truck and bus diesel vehicles through the Carl Moyer, the  
          Proposition 1B Goods Movement Emission Reduction, and the Lower  
          Emission School Bus Programs.  These programs, among others,  
          provide non-competitive grants to vehicle owners for vehicle  
          upgrades including exhaust retrofits and vehicle replacement.  

          The ARB has resources for small businesses wanting to  
          participate in the creation of new air quality regulations, and  
          to comment on regulations in the process of formulation.  During  
          the formulation of any air quality regulation regarding state  
          policy that is first created by the state legislature, the ARB  
          publicly announces any new regulations on their website and  
          allows for 45 days of public comment, either electronically or  
          via regular mail, before the board meets for a public hearing  
          prior to voting to adopt the policy.  This public comment period  
          is open to any member of the community, including small business  
          owners.  All public comments on pending ARB policies are posted  
          publicly on the ARB Web site.  In addition, the ARB holds public  
          hearings subsequent to the 45 day comment period for any new  
          pending air quality regulation policy, where any members of the  
          public, including small business owners, may voice concerns and  
          questions before the board member prior to a board vote.  In  
          addition, the ARB accepts proposals for new policies from the  
          public as well as from the legislature.  Small businesses are  
          welcome to submit new ideas for policy, or for policy changes,  
          to the ARB in this manner.

          As mentioned above, the ARB is federally mandated to house an  
          Ombudsman Office (OO) where small and large businesses, trade  
          associations, and individual community members have a resource  
          for help on any aspect of the ARB regulatory process.  Among its  
          provisions, the OO mission to the public includes education on  
          California's air quality management system, guidance on air  








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          quality rules and regulations, assisting small businesses in  
          compliance with those regulations, and providing help toward  
          solutions when there is an air quality compliance problem.  

          The ARB is currently required to include an additional impact  
          report specifically concerning small businesses in every new  
          regulation package that is sent to the California Office of  
          Administrative Law (OAL) which ensures that California agency  
          regulations are clear, necessary, legally valid, and available  
          to the public.  The OAL oversees the publication and  
          distribution of the California Code of Regulations and the  
          California Regulatory Notice Register.  

          The ARB currently has two members that are small business owners  
          in addition to their existing board qualifications.

           
          Analysis Prepared by  :  Jessica Westbrook / NAT. RES. / (916)  
          319-2092 


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