BILL NUMBER: SB 1198 AMENDED
BILL TEXT
AMENDED IN SENATE APRIL 12, 2010
INTRODUCED BY Senator Huff
(Coauthors: Senators Cogdill, Denham, Dutton, Harman,
Hollingsworth, and Runner)
(Coauthors: Assembly Members Gilmore, Jeffries, Knight, Silva, and
Smyth)
FEBRUARY 18, 2010
An act to amend Section 25213 Sections
25213 and 25402 of the Public Resources Code, relating to
energy.
LEGISLATIVE COUNSEL'S DIGEST
SB 1198, as amended, Huff. Energy: State Energy Resources
Conservation and Development Commission: regulations.
The Warren-Alquist State Energy Resources Conservation and
Development Act requires the State Energy Resources Conservation and
Development Commission to adopt those regulations that are necessary
to carry out the act.
The act also requires the commission, after one or more public
hearings, to prescribe, by regulation, standards for minimum levels
of operating efficiency and prescribe other measures, such as energy
and water consumption labeling not preempted by federal labeling law
to promote the use of energy and water efficient appliances that do
not result in any added total costs for consumers over the designed
life of the appliances concerned.
This bill would prohibit the implementation of the television
product labeling requirement adopted by the commission unless the
United States Federal Trade Commission fails to issue a final
labeling rule for that product as of July 1, 2011.
This bill would, for all appliance standards that are effective as
of January 1, 2011, require that discount rates, payback
calculations, and life cycle cost estimates use interest rates
applicable to consumer financing and the average life of the product
before replacement.
This bill would require the commission to submit a regulation that
is adopted by the commission and which is not implemented on or
before January 1, 2011, to the Legislature before the regulation may
be implemented. The bill would authorize the commission to implement
the regulation only if both houses of the Legislature approve the
regulation by a majority vote.
The bill would prohibit a regulation that is adopted, but not
implemented, on or before January 1, 2011, from being implemented
until the state's unemployment rate remains below 5.1% for 3
consecutive months. A subsequent rise in the unemployment rate after
that consecutive 3-month period would not prevent the commission from
implementing new regulations.
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. Section 25213 of the Public Resources Code is amended
to read:
25213. (a) The commission shall adopt rules and regulations, as
necessary, to carry out the provisions of this division in conformity
with the provisions of Chapter 3.5 (commencing with Section 11340)
of Part 1 of Division 3 of Title 2 of the Government Code. The
commission shall make available to a person upon request copies of
proposed regulations, together with summaries of reasons supporting
their adoption.
(b) Notwithstanding subdivision (a), a regulation that is adopted
by the commission and which is not implemented on or before January
1, 2011, shall not be implemented until the commission submits the
regulation to the Legislature and both houses of the Legislature
approve the regulation by a majority vote.
(c) Notwithstanding subdivisions (a) and (b), a regulation of the
commission that is adopted, but not implemented, on or before January
1, 2011, shall not be implemented until the state's unemployment
rate remains below 5.1 percent for three consecutive months. A
subsequent rise in the unemployment rate after that consecutive
three-month period shall not prevent the commission from implementing
new regulations.
(b) Notwithstanding subdivision (a), the television product
labeling requirement adopted by the commission shall not be
implemented unless the United States Federal Trade Commission fails
to issue a final labeling rule for that product as of July 1, 2011.
SEC. 2. Section 25402 of the Public
Resources Code is amended to read:
25402. The commission shall, after one or more public hearings,
do all of the following, in order to reduce the wasteful, uneconomic,
inefficient, or unnecessary consumption of energy, including the
energy associated with the use of water:
(a) (1) Prescribe, by regulation, lighting, insulation climate
control system, and other building design and construction standards
that increase the efficiency in the use of energy and water for new
residential and new nonresidential buildings. The commission shall
periodically update the standards and adopt any revision that, in its
judgment, it deems necessary. Six months after the commission
certifies an energy conservation manual pursuant to subdivision (c)
of Section 25402.1, no city, county, city and county, or state agency
shall issue a permit for any building unless the building satisfies
the standards prescribed by the commission pursuant to this
subdivision or subdivision (b) that are in effect on the date an
application for a building permit is filed. Water efficiency
standards adopted pursuant to this subdivision shall be demonstrated
by the commission to be necessary to save energy.
(2) Prior to adopting a water efficiency standard for residential
buildings, the Department of Housing and Community Development and
the commission shall issue a joint finding whether the standard (A)
is equivalent or superior in performance, safety, and for the
protection of life, health, and general welfare to standards in Title
24 of the California Code of Regulations and (B) does not
unreasonably or unnecessarily impact the ability of Californians to
purchase or rent affordable housing, as determined by taking account
of the overall benefit derived from water efficiency standards.
Nothing in this subdivision in any way reduces the authority of the
Department of Housing and Community Development to adopt standards
and regulations pursuant to Part 1.5 (commencing with Section 17910)
of Division 13 of the Health and Safety Code.
(3) Water efficiency standards and water conservation design
standards adopted pursuant to this subdivision and subdivision (b)
shall be consistent with the legislative findings of this division to
ensure and maintain a reliable supply of electrical energy and be
equivalent to or superior to the performance, safety, and protection
of life, health, and general welfare standards contained in Title 24
of the California Code of Regulations. The commission shall consult
with the members of the coordinating council as established in
Section 18926 of the Health and Safety Code in the development of
these standards.
(b) (1) Prescribe, by regulation, energy and water conservation
design standards for new residential and new nonresidential
buildings. The standards shall be performance standards and shall be
promulgated in terms of energy consumption per gross square foot of
floorspace, but may also include devices, systems, and techniques
required to conserve energy and water. The commission shall
periodically review the standards and adopt any revision that, in its
judgment, it deems necessary. A building that satisfies the
standards prescribed pursuant to this subdivision need not comply
with the standards prescribed pursuant to subdivision (a). Water
conservation design standards adopted pursuant to this subdivision
shall be demonstrated by the commission to be necessary to save
energy. Prior to adopting a water conservation design standard for
residential buildings, the Department of Housing and Community
Development and the commission shall issue a joint finding whether
the standard (A) is equivalent or superior in performance, safety,
and for the protection of life, health, and general welfare to
standards in the California Building Standards Code and (B) does not
unreasonably or unnecessarily impact the ability of Californians to
purchase or rent affordable housing, as determined by taking account
of the overall benefit derived from the water conservation design
standards. Nothing in this subdivision in any way reduces the
authority of the Department of Housing and Community Development to
adopt standards and regulations pursuant to Part 1.5 (commencing with
Section 17910) of Division 13 of the Health and Safety Code.
(2) In order to increase public participation and improve the
efficacy of the standards adopted pursuant to subdivisions (a) and
(b), the commission shall, prior to publication of the notice of
proposed action required by Section 18935 of the Health and Safety
Code, involve parties who would be subject to the proposed
regulations in public meetings regarding the proposed regulations.
All potential affected parties shall be provided advance notice of
these meetings and given an opportunity to provide written or oral
comments. During these public meetings, the commission shall receive
and take into consideration input from all parties concerning the
parties' design recommendations, cost considerations, and other
factors that would affect consumers and California businesses of the
proposed standard. The commission shall take into consideration prior
to the start of the notice of proposed action any input provided
during these public meetings.
(3) The standards adopted or revised pursuant to subdivisions (a)
and (b) shall be cost-effective when taken in their entirety and when
amortized over the economic life of the structure compared with
historic practice. When determining cost-effectiveness, the
commission shall consider the value of the water or energy saved,
impact on product efficacy for the consumer, and the life cycle cost
of complying with the standard. The commission shall consider other
relevant factors, as required by Sections 18930 and 18935 of the
Health and Safety Code, including, but not limited to, the impact on
housing costs, the total statewide costs and benefits of the standard
over its lifetime, economic impact on California businesses, and
alternative approaches and their associated costs.
(c) (1) Prescribe, by regulation, standards for minimum levels of
operating efficiency, based on a reasonable use pattern, and may
prescribe other cost-effective measures, including incentive
programs, fleet averaging, energy and water consumption labeling not
preempted by federal labeling law, and consumer education programs,
to promote the use of energy and water efficient appliances whose
use, as determined by the commission, requires a significant amount
of energy or water on a statewide basis. The minimum levels of
operating efficiency shall be based on feasible and attainable
efficiencies or feasible improved efficiencies that will reduce the
energy or water consumption growth rates. The standards shall become
effective no sooner than one year after the date of adoption or
revision. No new appliance manufactured on or after the effective
date of the standards may be sold or offered for sale in the state,
unless it is certified by the manufacturer thereof to be in
compliance with the standards. The standards shall be drawn so that
they do not result in any added total costs for consumers over the
designed life of the appliances concerned.
In
(2) In order to increase public
participation and improve the efficacy of the standards adopted
pursuant to this subdivision, the commission shall, prior to
publication of the notice of proposed action required by Section
18935 of the Health and Safety Code, involve parties who would be
subject to the proposed regulations in public meetings regarding the
proposed regulations. All potential affected parties shall be
provided advance notice of these meetings and given an opportunity to
provide written or oral comments. During these public meetings, the
commission shall receive and take into consideration input from all
parties concerning the parties' design recommendations, cost
considerations, and other factors that would affect consumers and
California businesses of the proposed standard. The commission shall
take into consideration prior to the start of the notice of proposed
action any input provided during these public meetings.
The
(3) The standards adopted or
revised pursuant to this subdivision shall not result in any added
total costs for consumers over the designed life of the appliances
concerned. For all standards that are effective as of January 1,
2011, discou nt rates, pay back calculations,
and life cycle cost estimates shall use interest rates applicable to
consumer financing and the average life of the product before
replacement. When determining cost-effectiveness, the
commission shall consider the value of the water or energy saved,
impact on product efficacy for the consumer, and the life cycle cost
to the consumer of complying with the standard. The commission shall
consider other relevant factors, as required by Sections 11346.5 and
11357 of the Government Code, including, but not limited to, the
impact on housing costs, the total statewide costs and benefits of
the standard over its lifetime, economic impact on California
businesses, and alternative approaches and their associated costs.
(2)
(4) No new appliance, except for any plumbing fitting,
regulated under paragraph (1), that is manufactured on or after July
1, 1984, may be sold, or offered for sale, in the state, unless the
date of the manufacture is permanently displayed in an accessible
place on that appliance.
(3)
(5) During the period of five years after the
commission has adopted a standard for a particular appliance under
paragraph (1), no increase or decrease in the minimum level of
operating efficiency required by the standard for that appliance
shall become effective, unless the commission adopts other
cost-effective measures for that appliance.
(4)
(6) Neither the commission nor any other state agency
shall take any action to decrease any standard adopted under this
subdivision on or before June 30, 1985, prescribing minimum levels of
operating efficiency or other energy conservation measures for any
appliance, unless the commission finds by a four-fifths vote that a
decrease is of benefit to ratepayers, and that there is significant
evidence of changed circumstances. Before January 1, 1986, the
commission shall not take any action to increase a standard
prescribing minimum levels of operating efficiency for any appliance
or adopt a new standard under paragraph (1). Before January 1, 1986,
any appliance manufacturer doing business in this state shall provide
directly, or through an appropriate trade or industry association,
information, as specified by the commission after consultation with
manufacturers doing business in the state and appropriate trade or
industry associations on sales of appliances so that the commission
may study the effects of regulations on those sales. These
informational requirements shall remain in effect until the
information is received. The trade or industry association may submit
sales information in an aggregated form in a manner that allows the
commission to carry out the purposes of the study. The commission
shall treat any sales information of an individual manufacturer as
confidential and that information shall not be a public record. The
commission shall not request any information that cannot be
reasonably produced in the exercise of due diligence by the
manufacturer. At least one year prior to the adoption or amendment of
a standard for an appliance, the commission shall notify the
Legislature of its intent, and the justification to adopt or amend a
standard for the appliance. Notwithstanding paragraph (3)
(5) and this paragraph, the commission may do
any of the following:
(A) Increase the minimum level of operating efficiency in an
existing standard up to the level of the National Voluntary Consensus
Standards 90, adopted by the American Society of Heating,
Refrigeration, and Air Conditioning Engineers or, for appliances not
covered by that standard, up to the level established in a similar
nationwide consensus standard.
(B) Change the measure or rating of efficiency of any standard, if
the minimum level of operating efficiency remains substantially the
same.
(C) Adjust the minimum level of operating efficiency in an
existing standard in order to reflect changes in test procedures that
the standards require manufacturers to use in certifying compliance,
if the minimum level of operating efficiency remains substantially
the same.
(D) Readopt a standard preempted, enjoined, or otherwise found
legally defective by an administrative agency or a lower court, if
final legal action determines that the standard is valid and if the
standard that is readopted is not more stringent than the standard
that was found to be defective or preempted.
(E) Adopt or amend any existing or new standard at any level of
operating efficiency, if the Governor has declared an energy
emergency as described in Section 8558 of the Government Code.
(5)
(7) Notwithstanding paragraph (4)
(6) , the commission may adopt standards pursuant to
Commission Order No. 84-0111-1, on or before June 30, 1985.
(d) (1) Recommend minimum standards of
efficiency for the operation of any new facility at a particular site
that are technically and economically feasible. No site and related
facility shall be certified pursuant to Chapter 6 (commencing with
Section 25500), unless the applicant certifies that standards
recommended by the commission have been considered, which
certification shall include a statement specifying the extent to
which conformance with the recommended standards will be achieved.
Whenever
(2) Whenever this section and
Chapter 11.5 (commencing with Section 19878) of Part 3 of Division 13
of the Health and Safety Code are in conflict, the commission shall
be governed by that chapter of the Health and Safety Code to the
extent of the conflict.
(e) The commission shall do all of the following:
(1) Not later than January 1, 2004, amend any regulations in
effect on January 1, 2003, pertaining to the energy efficiency
standards for residential clothes washers to require that residential
clothes washers manufactured on or after January 1, 2007, be at
least as water efficient as commercial clothes washers.
(2) Not later than April 1, 2004, petition the federal Department
of Energy for an exemption from any relevant federal regulations
governing energy efficiency standards that are applicable to
residential clothes washers.
(3) Not later than January 1, 2005, report to the Legislature on
its progress with respect to the requirements of paragraphs (1) and
(2) (4) .