BILL NUMBER: SB 1340	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  AUGUST 23, 2010
	AMENDED IN ASSEMBLY  AUGUST 20, 2010
	AMENDED IN ASSEMBLY  AUGUST 18, 2010
	AMENDED IN ASSEMBLY  AUGUST 2, 2010
	AMENDED IN ASSEMBLY  JUNE 17, 2010
	AMENDED IN SENATE  APRIL 22, 2010

INTRODUCED BY   Senator Kehoe
   (Coauthors: Assembly Members Bradford, Coto, Davis, and Solorio)


                        FEBRUARY 19, 2010

   An act to amend Section 44272 of the Health and Safety Code, to
amend Sections 26100, 26104, 26121, and 26123 of the Public Resources
Code, and to add Sections 5898.15, 5898.23, and 5899.3 to the
Streets and Highways Code, relating to energy.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1340, as amended, Kehoe. Energy.
   (1) Existing law establishes the Alternative and Renewable Fuel
and Vehicle Technology Program, administered by the State Energy
Resources Conservation and Development Commission (Energy
Commission), to provide to specified entities, upon appropriation by
the Legislature, grants, loans, loan guarantees, revolving loans, or
other appropriate measures, for the development and deployment of
innovative technologies that transform California's fuel and vehicle
types to help attain the state's climate change goals. Existing law
specifies that only certain projects or programs are eligible for
funding.
   This bill would, additionally, specify projects eligible for
funding under the program to include a cost-effective program to
provide funding for homeowners who purchase an electric vehicle to
offset costs associated with modifying electrical sources to include
a residential plug-in electric vehicle charging station.
   (2) Existing law authorizes a public agency and a property owner
to enter into voluntary contractual assessments to finance the
installation of distributed generation renewable energy sources or
energy or water efficiency improvements that are permanently affixed
on real property.
   This bill would expand the use of the voluntary contractual
assessment to finance electric vehicle charging infrastructure
affixed on real property. The bill would prohibit a public agency
from permitting a property owner to participate in a contractual
assessment program if the total amount of assessments and taxes on
the property exceeds 5% of the property's market value, as specified.
The bill would also require the preliminary report issued in
connection with the contractual assessment program to include
criteria for determining underwriting requirements, and safeguards to
be used to limit the total annual property tax and assessments on
the property, as specified.
   (3) Existing law requires the California Alternative Energy and
Advanced Transportation Financing Authority to establish a Property
Assessed Clean Energy (PACE) Reserve program to assist local
jurisdictions in financing the installation of distributed generation
renewable energy sources or energy or water efficiency improvements
meeting specified requirements that are permanently affixed on real
property through the use of a voluntary contractual assessment.
   This bill would expand the PACE Reserve program to assist local
jurisdictions in financing the installation of electric vehicle
charging infrastructure.
   (4) This bill would incorporate additional changes in Section
44272 of the Health and Safety Code proposed by AB 1106, that would
become operative only if AB 1106 and this bill are both chaptered and
become operative on or before January 1, 2011, and this bill is
chaptered last.
   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 44272 of the Health and Safety Code is amended
to read:
   44272.  (a) The Alternative and Renewable Fuel and Vehicle
Technology Program is hereby created. The program shall be
administered by the commission. The commission shall implement the
program by regulation pursuant to the requirements of Chapter 3.5
(commencing with Section 11340) of Part 1 of Division 3 of Title 2 of
the Government Code. The program shall provide, upon appropriation
by the Legislature, competitive grants, revolving loans, loan
guarantees, loans, or other appropriate funding measures, to public
agencies, vehicle and technology entities, businesses and projects,
public-private partnerships, workforce training partnerships and
collaboratives, fleet owners, consumers, recreational boaters, and
academic institutions to develop and deploy innovative technologies
that transform California's fuel and vehicle types to help attain the
state's climate change policies. The emphasis of this program shall
be to develop and deploy technology and alternative and renewable
fuels in the marketplace, without adopting any one preferred fuel or
technology.
   (b) A project funded by the commission shall be approved at a
noticed public hearing of the commission and shall be consistent with
the priorities established by the investment plan adopted pursuant
to Section 44272.5.
   (c) The commission shall provide preferences to those projects
that maximize the goals of the Alternative and Renewable Fuel and
Vehicle Technology Program, based on the following criteria, as
applicable:
   (1) The project's ability to provide a measurable transition from
the nearly exclusive use of petroleum fuels to a diverse portfolio of
viable alternative fuels that meet petroleum reduction and
alternative fuel use goals.
   (2) The project's consistency with existing and future state
climate change policy and low-carbon fuel standards.
   (3) The project's ability to reduce criteria air pollutants and
air toxics and reduce or avoid multimedia environmental impacts.
   (4) The project's ability to decrease, on a life-cycle basis, the
discharge of water pollutants or any other substances known to damage
human health or the environment, in comparison to the production and
use of California Phase 2 Reformulated Gasoline or diesel fuel
produced and sold pursuant to California diesel fuel regulations set
forth in Article 2 (commencing with Section 2280) of Chapter 5 of
Division 3 of Title 13 of the California Code of Regulations.
   (5) The project does not adversely impact the sustainability of
the state's natural resources, especially state and federal lands.
   (6) The project provides nonstate matching funds.
   (7) The project provides economic benefits for California by
promoting California-based technology firms, jobs, and businesses.
   (8) The project uses existing or proposed fueling infrastructure
to maximize the outcome of the project.
   (9) The project's ability to reduce on a life-cycle assessment
greenhouse gas emissions by at least 10 percent, and higher
percentages in the future, from current reformulated gasoline and
diesel fuel standards established by the state board.
   (10) The project's use of alternative fuel blends of at least 20
percent, and higher blend ratios in the future, with a preference for
projects with higher blends.
   (11) The project drives new technology advancement for vehicles,
vessels, engines, and other equipment, and promotes the deployment of
that technology in the marketplace.
   (d) Only the following shall be eligible for funding:
   (1) Alternative and renewable fuel projects to develop and improve
alternative and renewable low-carbon fuels, including electricity,
ethanol, dimethyl ether, renewable diesel, natural gas, hydrogen, and
biomethane, among others, and their feedstocks that have high
potential for long-term or short-term commercialization, including
projects that lead to sustainable feedstocks.
   (2) Demonstration and deployment projects that optimize
alternative and renewable fuels for existing and developing engine
technologies.
   (3) Projects to produce alternative and renewable low-carbon fuels
in California.
   (4) Projects to decrease the overall impact of an alternative and
renewable fuel's life cycle carbon footprint and increase
sustainability.
   (5) Alternative and renewable fuel infrastructure, fueling
stations, and equipment. The preference in paragraph (10) of
subdivision (c) shall not apply to renewable diesel or biodiesel
infrastructure, fueling stations, and equipment used solely for
renewable diesel or biodiesel fuel.
   (6) Projects to develop and improve light-, medium-, and
heavy-duty vehicle technologies that provide for better fuel
efficiency and lower greenhouse gas emissions, alternative fuel usage
and storage, or emission reductions, including propulsion systems,
advanced internal combustion engines with a 40 percent or better
efficiency level over the current market standard, light-weight
materials, energy storage, control systems and system integration,
physical measurement and metering systems and software, development
of design standards and testing and certification protocols, battery
recycling and reuse, engine and fuel optimization electronic and
electrified components, hybrid technology, plug-in hybrid technology,
battery electric vehicle technology, fuel cell technology, and
conversions of hybrid technology to plug-in technology through the
installation of safety certified supplemental battery modules.
   (7) Programs and projects that accelerate the commercialization of
vehicles and alternative and renewable fuels including buy-down
programs through near-market and market-path deployments, advanced
technology warranty or replacement insurance, development of market
niches, supply-chain development, and research related to the
pedestrian safety impacts of vehicle technologies and alternative and
renewable fuels.
   (8) Programs and projects to retrofit medium- and heavy-duty
on-road and nonroad vehicle fleets with technologies that create
higher fuel efficiencies, including alternative and renewable fuel
vehicles and technologies, idle management technology, and
aerodynamic retrofits that decrease fuel consumption.
   (9) Infrastructure projects that promote alternative and renewable
fuel infrastructure development connected with existing fleets,
public transit, and existing transportation corridors, including
physical measurement or metering equipment and truck stop
electrification.
   (10) Workforce training programs related to alternative and
renewable fuel feedstock production and extraction, renewable fuel
production, distribution, transport, and storage, high-performance
and low-emission vehicle technology and high tower electronics,
automotive computer systems, mass transit fleet conversion,
servicing, and maintenance, and other sectors or occupations related
to the purposes of this chapter.
   (11) Block grants administered by not-for-profit technology
entities for multiple projects, education and program promotion
within California, and development of alternative and renewable fuel
and vehicle technology centers.
   (12) Life cycle and multimedia analyses, sustainability and
environmental impact evaluations, and market, financial, and
technology assessments performed by a state agency to determine the
impacts of increasing the use of low-carbon transportation fuels and
technologies, and to assist in the preparation of the investment plan
and program implementation.
   (13) A program to provide funding for homeowners who purchase a
plug-in electric vehicle to offset costs associated with modifying
electrical sources to include a residential plug-in electric vehicle
charging station. In establishing this program, the commission shall
consider funding criteria to maximize the public benefit of the
program.
   (e) The commission may make a single source or sole source award
pursuant to this section for applied research. The same requirements
set forth in Section 25620.5 of the Public Resources Code shall apply
to awards made on a single source basis or a sole source basis. This
subdivision does not authorize the commission to make a single
source or sole source award for a project or activity other than for
applied research.
   (f) Until January 1, 2012, the commission may contract with the
Treasurer to expend funds through programs implemented by the
Treasurer, if that expenditure is consistent with all of the
requirements of this chapter.
  SEC. 1.5.  Section 44272 of the Health and Safety Code is amended
to read:
   44272.  (a) The Alternative and Renewable Fuel and Vehicle
Technology Program is hereby created. The program shall be
administered by the commission. The commission shall implement the
program by regulation pursuant to the requirements of Chapter 3.5
(commencing with Section 11340) of Part 1 of Division 3 of Title 2 of
the Government Code. The program shall provide, upon appropriation
by the Legislature, competitive grants, revolving loans, loan
guarantees, loans, or other appropriate funding measures, to public
agencies, vehicle and technology entities, businesses and projects,
public-private partnerships, workforce training partnerships and
collaboratives, fleet owners, consumers, recreational boaters, and
academic institutions to develop and deploy innovative technologies
that transform California's fuel and vehicle types to help attain the
state's climate change policies. The emphasis of this program shall
be to develop and deploy technology and alternative and renewable
fuels in the marketplace, without adopting any one preferred fuel or
technology.
   (b) A project funded by the commission shall be approved at a
noticed public hearing of the commission and shall be consistent with
the priorities established by the investment plan adopted pursuant
to Section 44272.5.
   (c) The commission shall provide preferences to those projects
that maximize the goals of the Alternative and Renewable Fuel and
Vehicle Technology Program, based on the following criteria, as
applicable:
   (1) The project's ability to provide a measurable transition from
the nearly exclusive use of petroleum fuels to a diverse portfolio of
viable alternative fuels that meet petroleum reduction and
alternative fuel use goals.
   (2) The project's consistency with existing and future state
climate change policy and low-carbon fuel standards.
   (3) The project's ability to reduce criteria air pollutants and
air toxics and reduce or avoid multimedia environmental impacts.
   (4) The project's ability to decrease, on a life cycle basis, the
discharge of water pollutants or any other substances known to damage
human health or the environment, in comparison to the production and
use of California Phase 2 Reformulated Gasoline or diesel fuel
produced and sold pursuant to California diesel fuel regulations set
forth in Article 2 (commencing with Section 2280) of Chapter 5 of
Division 3 of Title 13 of the California Code of Regulations.
   (5) The project does not adversely impact the sustainability of
the state's natural resources, especially state and federal lands.
   (6) The project provides nonstate matching funds.
   (7) The project provides economic benefits for California by
promoting California-based technology firms, jobs, and businesses.
   (8) The project uses existing or proposed fueling infrastructure
to maximize the outcome of the project.
   (9) The project's ability to reduce on a life cycle assessment
greenhouse gas emissions by at least 10 percent, and higher
percentages in the future, from current reformulated gasoline and
diesel fuel standards established by the state board.
   (10) The project's use of alternative fuel blends of at least 20
percent, and higher blend ratios in the future, with a preference for
projects with higher blends.
   (11) The project drives new technology advancement for vehicles,
vessels, engines, and other equipment, and promotes the deployment of
that technology in the marketplace.
   (d) Only the following shall be eligible for funding:
   (1) Alternative and renewable fuel projects to develop and improve
alternative and renewable low-carbon fuels, including electricity,
ethanol, dimethyl ether, renewable diesel, natural gas, hydrogen, and
biomethane, among others, and their feedstocks that have high
potential for long-term or short-term commercialization, including
projects that lead to sustainable feedstocks.
   (2) Demonstration and deployment projects that optimize
alternative and renewable fuels for existing and developing engine
technologies.
   (3) Projects to produce alternative and renewable low-carbon fuels
in California.
   (4) Projects to decrease the overall impact of an alternative and
renewable fuel's life cycle carbon footprint and increase
sustainability.
   (5) Alternative and renewable fuel infrastructure, fueling
stations, and equipment. The preference in paragraph (10) of
subdivision (c) shall not apply to renewable diesel or biodiesel
infrastructure, fueling stations, and equipment used solely for
renewable diesel or biodiesel fuel.
   (6) Projects to develop and improve light-, medium-, and
heavy-duty vehicle technologies that provide for better fuel
efficiency and lower greenhouse gas emissions, alternative fuel usage
and storage, or emission reductions, including propulsion systems,
advanced internal combustion engines with a 40 percent or better
efficiency level over the current market standard, light-weight
materials, energy storage, control systems and system integration,
physical measurement and metering systems and software, development
of design standards and testing and certification protocols, battery
recycling and reuse, engine and fuel optimization electronic and
electrified components, hybrid technology, plug-in hybrid technology,
battery electric vehicle technology, fuel cell technology, and
conversions of hybrid technology to plug-in technology through the
installation of safety certified supplemental battery modules.
   (7) Programs and projects that accelerate the commercialization of
vehicles and alternative and renewable fuels including buy-down
programs through near-market and market-path deployments, advanced
technology warranty or replacement insurance, development of market
niches, supply-chain development, and research related to the
pedestrian safety impacts of vehicle technologies and alternative and
renewable fuels.
   (8) Programs and projects to retrofit medium- and heavy-duty
on-road and nonroad vehicle fleets with technologies that create
higher fuel efficiencies, including alternative and renewable fuel
vehicles and technologies, idle management technology, and
aerodynamic retrofits that decrease fuel consumption.
   (9) Infrastructure projects that promote alternative and renewable
fuel infrastructure development connected with existing fleets,
public transit, and existing transportation corridors, including
physical measurement or metering equipment and truck stop
electrification.
   (10) Workforce training programs related to alternative and
renewable fuel feedstock production and extraction, renewable fuel
production, distribution, transport, and storage, high-performance
and low-emission vehicle technology and high tower electronics,
automotive computer systems, mass transit fleet conversion,
servicing, and maintenance, and other sectors or occupations related
to the purposes of this chapter.
   (11) Block grants administered by not-for-profit technology
entities for multiple projects, education and program promotion
within California, and development of alternative and renewable fuel
and vehicle technology centers.
   (12) Life cycle and multimedia analyses, sustainability and
environmental impact evaluations, and market, financial, and
technology assessments performed by a state agency to determine the
impacts of increasing the use of low-carbon transportation fuels and
technologies, and to assist in the preparation of the investment plan
and program implementation.
   (13) A program to provide funding for homeowners who purchase a
plug-in electric vehicle to offset costs associated with modifying
electrical sources to include a residential plug-in electric vehicle
charging station. In establishing this program, the commission shall
consider funding criteria to maximize the public benefit of the
program.
   (e) The commission may make a single source or sole source award
pursuant to this section for applied research. The same requirements
set forth in Section 25620.5 of the Public Resources Code shall apply
to awards made on a single source basis or a sole source basis. This
subdivision does not authorize the commission to make a single
source or sole source award for a project or activity other than for
applied research.
   (f)  Until January 1, 2012, the   The 
commission may do both of the following:
   (1) Contract with the Treasurer to expend funds through programs
implemented by the Treasurer, if the expenditure is consistent with
all of the requirements of this  chapter  
article and Article 1 (commencing with Section 44270)  .
   (2) Contract with small business financial development
corporations established by the Business, Transportation and Housing
Agency to expend funds through the Small Business Loan Guarantee
Program if the expenditure is consistent with all of the requirements
of  the program and this chapter   this article
and Article 1 (commencing with Section 44270)  .
  SEC. 2.  Section 26100 of the Public Resources Code is amended to
read:
   26100.  (a) The Legislature finds and declares all of the
following:
   (1) Property Assessed Clean Energy (PACE) financing has been
pioneered by municipalities and counties in California as a way for
home and small business owners to finance voluntary energy and water
efficiency and clean energy improvements.
   (2) PACE financing was pioneered in the City of Berkeley, while
the City and County of San Francisco, City of San Diego, City of Palm
Desert, Sonoma County, and the California Statewide Communities
Development Authority (CSCDA) have already initiated or are working
to launch additional programs.
   (3) Seventeen other states, including Colorado and New York, have
also enacted enabling PACE legislation.
   (4) The public subsidy provided by the PACE financing is justified
by the benefits received in job creation, lower energy demand, and
spurring new clean industries that will grow the economy.
   (b) It is the intent of the Legislature to assist local
jurisdictions in financing the installation of distributed generation
renewable energy sources, electric vehicle charging infrastructure,
or energy or water efficiency improvements that are permanently fixed
to real property through the use of voluntary contractual
assessments.
   (c) It is not the intent of the Legislature to create any debt,
liability, or obligation on the part of the state in assisting local
jurisdictions pursuant to this division.
  SEC. 3.  Section 26104 of the Public Resources Code is amended to
read:
   26104.  "Property Assessed Clean Energy bond" or "PACE bond" means
a bond that is secured by a voluntary contractual assessment on
property authorized pursuant to paragraph (2) of subdivision (a) of
Section 5898.20 of the Streets and Highways Code or by a voluntary
contractual assessment or a voluntary special tax on property to
finance the installation of distributed generation renewable energy
sources, electric vehicle charging infrastructure, or energy or water
efficiency improvements that is levied pursuant to a chartered city'
s constitutional authority under Section 5 of Article XI of the
California Constitution.
  SEC. 4.  Section 26121 of the Public Resources Code is amended to
read:
   26121.  To qualify for assistance pursuant to this division, the
PACE program shall require all of the following:
   (a) The interest rate on the PACE bond does not exceed a
percentage as determined by the authority to be appropriate.
   (b) Minimum legal loan structure and credit underwriting criteria
as determined by the authority are met.
   (c) Proceeds of the PACE bonds are used to finance qualified
energy and water efficiency, electric vehicle charging
infrastructure, and clean energy improvements.
   (d) The improvement financed is for a residential project of three
units or fewer, or a commercial project that costs less than
twenty-five thousand dollars ($25,000) in total.
  SEC. 5.  Section 26123 of the Public Resources Code is amended to
read:
   26123.  (a) In evaluating eligibility, the authority shall
consider whether the applicant's PACE program includes the following
conditions:
   (1) Loan recipients are legal owners of underlying property.
   (2) Loan recipients are current on mortgage and property tax
payments.
   (3) Loan recipients are not in default or in bankruptcy
proceedings.
   (4) Loans are for less than 10 percent of the value of the
property.
   (5) The property is within the geographical boundaries of the PACE
program.
   (6) The program offers financing for energy efficiency
improvements or electric vehicle charging infrastructure.
   (7) Improvements financed by the program follow applicable
standards of energy efficiency retrofit work, including any
guidelines adopted by the State Resources Conservation and
Development Commission.
   (b) In evaluating an application, the authority shall consider all
of the following factors:
   (1) The use by the PACE program of best practices, adopted by the
authority, to qualify eligible properties for participation in
underwriting the PACE program.
   (2) The cost efficiency of the applicant's PACE program, including
bond issuance.
   (3) The projected number of jobs created by the PACE program.
   (4) The applicant's PACE program requirements for quality
assurance and consumer protection as related to achieving efficiency
and clean energy production.
   (5) The mechanisms by which savings produced by this program are
passed on to the property owners.
   (6) Any other factors deemed appropriate by the authority.
  SEC. 6.  Section 5898.15 is added to the Streets and Highways Code,
to read:
   5898.15.  (a) A public agency shall not permit a property owner to
participate in any program established pursuant to this chapter if
the owner's participation would result in the total amount of any
annual property taxes and assessments exceeding 5 percent of the
property's market value, as determined at the time of approval of the
owner's contractual assessment.
   (b) Nothing in this chapter shall be construed to void or
otherwise release a property owner from the contractual obligations
incurred by a contractual assessment on a property, particularly in
the event that the total amount of annual property taxes and
assessments exceeds 5 percent of a property's market value after the
property owner has entered into a contractual assessment pursuant to
this chapter.
  SEC. 7.  Section 5898.23 is added to the Streets and Highways Code,
to read:
   5898.23.  For purposes of the report required pursuant to Section
5898.22, the statement of public agency policies required pursuant to
subdivision (c) of that section shall also include a brief
description of criteria for determining the underwriting
requirements, and safeguards that will be used to ensure that the
total annual property tax and assessments on the property will not
exceed 5 percent of the property's market value, as determined at the
time of approval for the owner's contractual assessment.
  SEC. 8.  Section 5899.3 is added to the Streets and Highways Code,
to read:
   5899.3.  (a) The Legislature finds and declares all of the
following:
   (1) This chapter should be used to finance the installation of
electric vehicle charging infrastructure that is permanently fixed to
residential, commercial, industrial, agricultural, or other real
property.
   (2) Electric vehicle charging infrastructure is a necessary
component to transitioning to increase electric vehicle usage.
Electric vehicles and their electric charging infrastructure also
address the issue of global climate change.
   (3) The upfront cost of installing electric vehicle charging
infrastructure improvements for residential, commercial, industrial,
agricultural, or other real property prevents many property owners
from making those improvements. To make those improvements more
affordable and to promote the installation of those improvements, it
is necessary to authorize an alternative procedure for authorizing
assessments to finance the cost of installing electric vehicle
charging infrastructure.
   (4) The Legislature declares that a public purpose will be served
by a voluntary contractual assessment program that provides the
legislative body of a public agency with the authority to finance the
installation of electric vehicle charging infrastructure that is
permanently fixed to residential, commercial, industrial,
agricultural, or other real property.
   (b) For the purpose of financing the installation of electric
vehicle charging infrastructure, "public agency" means a county,
city, city and county, or a municipal utility district, an irrigation
district, or public utility district that owns and operates an
electric distribution system. The definition of "city" in Section
5005 shall not apply to this section.
   (c) The legislative body of any public agency may designate an
area, in the manner provided pursuant to Section 5898.20, within
which authorized public agency officials and property owners may
enter into voluntary contractual assessments to finance the
installation of electric vehicle charging infrastructure that is
permanently fixed to real property pursuant to this chapter.
   (d) For purposes of establishing a voluntary contractual
assessment program relating to electric vehicle charging
infrastructure, the legislative body shall make the determinations
required pursuant to Section 5898.20 by adopting a resolution
indicating its intention to do so. The resolution of intention shall
identify the kinds of electric vehicle charging infrastructure that
may be financed and shall include all of the information that is
required pursuant to subdivision (b) of Section 5898.20, including,
but not limited to, directing an appropriate public agency official
to prepare a report pursuant to Section 5898.22.
   (e) For purposes of the report required pursuant to Section
5898.22, relating to a voluntary contractual assessment program for
electric vehicle charging infrastructure, the designated public
agency official shall satisfy the requirements of paragraph (1) of
subdivision (c) of Section 5898.22 by identifying the types of
electric vehicle charging infrastructure that may be financed
                                       through the use of contractual
assessments.
   (f) Notwithstanding any other provision of this chapter, upon the
written consent of an authorized public agency official, the proposed
arrangements for financing the program pertaining to the
installation of electric vehicle charging infrastructure that is
permanently fixed to real property may authorize the property owner
to purchase directly the related equipment and materials for the
installation of electric vehicle charging infrastructure and to
contract directly for the installation of electric vehicle charging
infrastructure that is permanently fixed to the property owner's
residential, commercial, industrial, agricultural, or other real
property.
  SEC. 9.  Section 1.5 of this bill incorporates amendments to
Section 44272 of the Health and Safety Code proposed by this bill and
AB 1106. It shall only become operative if (1) both bills are
enacted and become effective on or before January 1, 2011, (2) each
bill amends Section 44272 of the Health and Safety Code, and (3) this
bill is enacted after AB 1106, in which case Section 44272 of the
Health and Safety Code, as amended by AB 1106, shall remain operative
only until the operative date of this bill, at which time Section
1.5 of this bill shall become operative, and Section 1 of this bill
shall not become operative.