BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                  AB 1255|
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                                 THIRD READING


          Bill No:  AB 1255
          Author:   V. Manuel Pérez (D) and Achadjian (R)
          Amended:  8/31/12 in Senate
          Vote:     27 - Urgency

           
          PRIOR VOTES NOT RELEVANT

           SENATE ENERGY, UTIL. & COMMUNIC. COMMITTEE  :  8-0, 8/31/12
            (pursuant to Senate Rule 29.10)
          AYES:  Padilla, Fuller, Berryhill, Corbett, DeSaulnier, 
            Emmerson, Simitian, Strickland
          NO VOTE RECORDED:  De León, Kehoe, Pavley, Rubio, Wright

           ASSEMBLY FLOOR  :  Not available


           SUBJECT  :    Energy:  renewable energy resources

           SOURCE  :     Author


           DIGEST  :    This bill broadens eligibility for the planning 
          grants to also include counties that enter into a 
          memorandum of understanding with the California Energy 
          Commission (CEC) agreeing to participate in the development 
          of a natural community conservation plan (NCCP).  

           Senate Floor Amendments  of 8/23/12 delete the Assembly 
          version of this bill relating to corporate boards of 
          directors and instead relates to grant qualification for 
          counties within the Desert Renewable Energy Conservation 
          Plan (DRECP).
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           ANALYSIS  :    Existing law requires the CEC to provide up to 
          seven million dollars in grants to 15 qualified counties 
          for the development or revision of rules and policies, 
          including general plan elements, zoning ordinances, and 
          NCCP that facilitate the development of eligible renewable 
          energy resources, and their associated electric 
          transmission facilities, and the processing of permits for 
          eligible renewable energy resources.  Funding is to be made 
          available only upon appropriation by the Legislature. 

          Existing law prohibits the award of a grant to a county 
          within the DRECP if the county is not participant in the 
          plan.

          This bill:

          1.Allows a county within the DRECP to qualify for grants by 
            either being a signatory to the planning agreement 
            associated with the DRECP or by entering into a 
            memorandum of understanding with the commission in which 
            the county agrees to participate in the development of 
            the DRECP for the purpose of ensuring that the Plan can 
            achieve the goals set forth in the planning agreement 
            consistent with relevant county policies.

          2.Authorizes the Energy Commission to award a grant to such 
            a county if the county enters into a specified memorandum 
            of understanding with the commission in which the county 
            agrees to participate in the development of the natural 
            community conservation plan.

          3.Requires the Energy Commission to provide up to $7 
            million in grants to 14 "qualified" counties for the 
            development or revision of rules and policies, including, 
            but not limited to, general plan elements, zoning 
            ordinances, and a natural community conservation plan as 
            a plan participant, that facilitate the development of 
            eligible renewable energy resources, and their associated 
            electric transmission facilities, and the processing of 
            permits for eligible renewable energy resources.

          4.Requires the Energy Commission in its initial round of 
            grant funding, to establish a preference for a grant to a 

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            qualified county in an amount that is adequate to develop 
            a renewable energy element in its general plan that will 
            facilitate the development and siting of eligible 
            renewable energy resources that utilize multiple 
            renewable energy technologies.  Requires the Energy 
            Commission shall also establish a preference for a grant 
            for those counties that have experience in geothermal 
            energy development and have adopted a geothermal element, 
            as defined, to its general plan.

          5.Defines qualified counties as the Counties of Fresno, 
            Imperial, Inyo, Kern, Kings, Los Angeles, Madera, Merced, 
            Riverside, San Bernardino, San Diego, San Luis Obispo, 
            San Joaquin, Stanislaus, and Tulare.  For counties within 
            the Desert Renewable Energy Conservation Plan planning 
            area, the commission shall not award a grant to a county 
            that is not a "plan participant," as defined, in the 
            Desert Renewable Energy Conservation Plan.

           Background
           
           Desert Renewable Energy Conservation Plan  .  The DRECP is a 
          component of California's renewable energy planning efforts 
          that is to result in a biological mitigation and 
          conservation program providing renewable project developers 
          with permit timing and cost certainty under the federal and 
          California Endangered Species Acts while at the same time 
          preserving, restoring and enhancing natural communities and 
          related ecosystems. Approximately 22.5 million acres of 
          federal and non-federal California desert land are in the 
          DRECP Plan Area.

          The DRECP is focused on the desert regions and adjacent 
          lands of seven California counties - Imperial, Inyo, Kern, 
          Los Angeles, Riverside, San Bernardino, and San Diego.  It 
          is being prepared through a collaborative effort between 
          the CEC, Department of Fish and Game (DFG), the U.S. Bureau 
          of Land Management, and the U.S. Fish and Wildlife Service 
          also known as the Renewable Energy Action Team.

           Natural Community Conservation Planning  .  This DFG program 
          includes private and public partners and takes a 
          broad-based ecosystem approach to planning for the 
          protection and perpetuation of biological diversity. An 

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          NCCP identifies and provides for the regional or area-wide 
          protection of plants, animals, and their habitats, while 
          allowing compatible and appropriate economic activity. 
          The NCCP program is a cooperative effort to protect 
          habitats and species. It began in 1991 under the State's 
          Natural Community Conservation Planning Act, legislation 
          broader in its orientation and objectives than the 
          California and Federal Endangered Species Acts.  The 
          primary objective of the NCCP program is to conserve 
          natural communities at the ecosystem level while 
          accommodating compatible land use.  The program seeks to 
          anticipate and prevent the controversies and gridlock 
          caused by species' listings by focusing on the long-term 
          stability of wildlife and plant communities and including 
          key interests in the process.

          Working with landowners, environmental organizations, and 
          other interested parties, a local agency oversees the 
          numerous activities that compose the development of a 
          conservation plan.  The DFG and the U.S. Fish and Wildlife 
          Service provide the necessary support, direction, and 
          guidance to NCCP participants.  The NCCP approach to 
          conservation is available statewide and planning efforts 
          are underway in Butte, Santa Clara, Placer, Yolo, Sutter, 
          and Yuba Counties, as well as with the Mendocino Redwood 
          Company.  There are currently 23 active NCCPs covering more 
          than 11 million acres.

           Comments

           To broaden eligibility for county plan grants that 
          facilitate the development of renewable resources to meet 
          the goals for the Renewables Portfolio Standard which 
          increases the amount of electricity generated from eligible 
          renewable energy resources per year, so that amount equals 
          at least 33% of total retail sales of electricity in 
          California per year by 2020.    

           Related Legislation
           
          AB 13 X1 (Perez), Chapter 10, Statutes of 2011-12 First 
          Extraordinary Session, was signed into law in August 2011 
          and adds Section 25619 to the Public Resources Code, which 
          specifies that the Energy Commission can only implement 

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          Section 25619 upon receiving an appropriation from the 
          legislature from either the Renewable Resources Trust Fund 
          or other funds from the Energy Resources Program Account.  
          This appropriation was made in item 3360-001-0382 of the 
          2012 Budget Act (AB 1464).

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes   
          Local:  No

          According to the Senate Appropriations Committee, uncertain 
          cost pressures, possibly in the hundreds of thousands of 
          dollars, from the Renewable Resource Trust Fund (General 
          Fund) from additional applications for local assistance 
          grants.

           SUPPORT  :   (Verified  8/30/12)

          California Energy Commission


          RM:nd   8/31/12   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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