BILL NUMBER: AB 1532 AMENDED
BILL TEXT
AMENDED IN SENATE AUGUST 31, 2012
AMENDED IN SENATE AUGUST 24, 2012
AMENDED IN SENATE AUGUST 21, 2012
AMENDED IN SENATE AUGUST 6, 2012
AMENDED IN SENATE JUNE 18, 2012
AMENDED IN ASSEMBLY MAY 1, 2012
AMENDED IN ASSEMBLY APRIL 17, 2012
INTRODUCED BY Assembly Member John A. Pérez
( Principal coauthor: Senator
De León )
(Coauthors: Assembly Members Blumenfield, Bonilla, Bradford,
Butler, Carter, Chesbro, Dickinson, Gordon, Roger Hernández, Hill,
Bonnie Lowenthal, Monning, Skinner, Wieckowski, Williams, and Yamada)
JANUARY 23, 2012
An act to amend Section 12894 of the Government Code, and
to add Part 8 (commencing with Section 38700) to
Division 25.5 Chapter 4.1 (commencing with
Section 39710) to Part 2 of Division 26 of the Health and
Safety Code, relating to greenhouse gas emissions.
LEGISLATIVE COUNSEL'S DIGEST
AB 1532, as amended, John A. Pérez. California Global Warming
Solutions Act of 2006: Greenhouse Gas Reduction Fund.
The California Global Warming Solutions Act of 2006 designates the
State Air Resources Board as the state agency charged with
monitoring and regulating sources of emissions of greenhouse gases.
The state board is required to adopt a statewide greenhouse gas
emissions limit equivalent to the statewide greenhouse gas emissions
level in 1990 to be achieved by 2020, and to adopt rules and
regulations in an open public process to achieve the maximum,
technologically feasible, and cost-effective greenhouse gas emissions
reductions. The act authorizes the state board to include use of
market-based compliance mechanisms. Existing
Existing law imposes limitations on any link, as defined, between
the state and another state, province, or country for purposes of a
market-based compliance mechanism by, among other things, prohibiting
any state agency, including the state board, from taking any action
to create such a link unless the state agency notifies the Governor,
and the Governor issues specified written findings on the proposed
link that consider the advice of the Attorney General.
This bill would prohibit the Governor's written findings on the
proposed link from being subject to judicial review.
Existing law requires all moneys, except for fines and
penalties, collected by the state board from the auction or sale of
allowances as part of a market-based compliance mechanism to be
deposited in the Greenhouse Gas Reduction Fund and to be available
upon appropriation by the Legislature.
This bill would require the moneys in the Greenhouse Gas Reduction
Fund to be used for specified purposes. The bill would
require administering agencies, including the state board and any
other state agency identified by the Legislature, to allocate those
moneys to measures and programs that meet specified criteria. The
bill would require the California Environmental Protection Agency to
develop a methodology that identifies priority community areas for
investment opportunities, as specified. The bill would
require the state board Department of
Finance, in consultation with the state board and any other relevant
state entity, to develop, as specified, 3
a 3-year investment plans plan
that include includes specified
analysis and information , and to
submit each the plan to the
budget committees of each house of the Legislature, as
specified , and to adopt each investment plan, as specified.
The bill would require the Governor to submit a budget to the
Legislature that includes specified appropriations consistent with
each investment plan and would require the Legislature to consider
these appropriations when adopting the Budget Act . The
bill would require the state board Department
of Finance to submit a report no later than December
March 1 of each year ,
2014, and annually thereafter, to the appropriate committees of
the Legislature containing specified information and to
hold old one public hearing on the report prior to its submission to
the Legislature .
This bill would make its provisions contingent on the enactment of
other legislation, as specified.
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 12894 of the
Government Code is amended to read:
12894. (a) (1) The Legislature finds and declares that the
establishment of nongovernmental entities, such as the Western
Climate Initiative, Incorporated, and linkages with other states and
countries by the State Air Resources Board or other state agencies
for the purposes of implementing Division 25.5 (commencing with
Section 38500) of the Health and Safety Code, should be done
transparently and should be independently reviewed by the Attorney
General for consistency with all applicable laws.
(2) The purpose of this section is to establish new oversight and
transparency over any such linkages and related activities undertaken
in relation to Division 25.5 (commencing with Section 38500) of the
Health and Safety Code by the executive agencies in order to ensure
consistency with applicable laws.
(b) (1) The California membership of the board of directors of the
Western Climate Initiative, Incorporated, shall be modified as
follows:
(A) One appointee or his or her designee who shall serve as an ex
officio nonvoting member shall be appointed by the Senate Committee
on Rules.
(B) One appointee or his or her designee who shall serve as an ex
officio nonvoting member shall be appointed by the Speaker of the
Assembly.
(C) The Chairperson of the State Air Resources Board or her or his
designee.
(D) The Secretary for Environmental Protection or his or her
designee.
(2) Sections 11120 through 11132 do not apply to the Western
Climate Initiative, Incorporated, or to appointees specified in
subparagraphs (C) and (D) of paragraph (1) when performing their
duties under this section.
(c) The State Air Resources Board shall provide notice to the
Joint Legislative Budget Committee, consistent with that required for
Department of Finance augmentation or reduction authorizations
pursuant to subdivision (e) of Section 28.00 of the annual Budget
Act, of any funds over one hundred fifty thousand dollars ($150,000)
provided to the Western Climate Initiative, Incorporated, or its
derivatives or subcontractors no later than 30 days prior to transfer
or expenditure of these funds.
(d) The Chairperson of the State Air Resources Board and the
Secretary for Environmental Protection, as the California voting
representatives on the Western Climate Initiative, Incorporated,
shall report every six months to the Joint Legislative Budget
Committee on any actions proposed by the Western Climate Initiative,
Incorporated, that affect California state government or entities
located within the state.
(e) For purposes of this section, "link," "linkage," or "linking"
means an action taken by the State Air Resources Board or any other
state agency that will result in acceptance by the State of
California of compliance instruments issued by any other governmental
agency, including any state, province, or country, for purposes of
demonstrating compliance with the market-based compliance mechanism
established pursuant to Division 25.5 (commencing with Section 38500)
of the Health and Safety Code and specified in Sections 95801 to
96022, inclusive, of Title 17 of the California Code of Regulations.
(f) A state agency, including, but not limited to, the State Air
Resources Board, shall not link a market-based compliance mechanism
established pursuant to Division 25.5 (commencing with Section 38500)
of the Health and Safety Code and specified in Sections 95801 to
96022, inclusive, of Title 17 of the California Code of Regulations
with any other state, province, or country unless the state agency
notifies the Governor that the agency intends to take such action and
the Governor, acting in his or her independent capacity, makes all
of the following findings:
(1) The jurisdiction with which the state agency proposes to link
has adopted program requirements for greenhouse gas reductions,
including, but not limited to, requirements for offsets, that are
equivalent to or stricter than those required by Division 25.5
(commencing with Section 38500) of the Health and Safety Code.
(2) Under the proposed linkage, the State of California is able to
enforce Division 25.5 (commencing with Section 38500) of the Health
and Safety Code and related statutes, against any entity subject to
regulation under those statutes, and against any entity located
within the linking jurisdiction to the maximum extent permitted under
the United States and California Constitutions.
(3) The proposed linkage provides for enforcement of applicable
laws by the state agency or by the linking jurisdiction of program
requirements that are equivalent to or stricter than those required
by Division 25.5 (commencing with Section 38500) of the Health and
Safety Code.
(4) The proposed linkage and any related participation of the
State of California in Western Climate Initiative, Incorporated,
shall not impose any significant liability on the state or any state
agency for any failure associated with the linkage.
(g) The Governor shall issue findings pursuant to subdivision (f)
within 45 days of receiving a notice from a state agency, and shall
provide those findings to the Legislature. The findings shall
consider the advice of the Attorney General. The findings to be
submitted to the Legislature shall not be unreasonably withheld.
The findings shall not be subject to judicial review.
SECTION 1. Part 8 (commencing with Section
38700) is added to Division 25.5 of the Health and Safety Code, to
read:
PART 8. GREENHOUSE GAS REDUCTION FUND
38700. For purposes of this part, the following terms have the
following meanings:
(a) "Fund"
SEC. 2. Chapter 4.1 (commencing with Section
39710) is added to Part 2 of Division 26 of the Health and
Safety Code , to read:
CHAPTER 4.1. GREENHOUSE GAS REDUCTION FUND
INVESTMENT PLAN AND COMMUNITIES REVITALIZATION ACT
39710. For purposes of this part, fund
means the Greenhouse Gas Reduction Fund, created pursuant to Section
16428.8 of the Government Code.
(b) "Qualified recipients" means public agencies, businesses,
nonprofit organizations, academic institutions, public-private
partnerships, and workforce training partnerships.
38702. 39712. (a) (1)
It is the intent of the Legislature that moneys shall be
appropriated from the fund only in a manner consistent with the
requirements of this part and Article 9.7 (commencing with Section
16428.8) of Chapter 2 of Part 2 of Division 4 of Title 2 of the
Government Code.
(2) The state shall not approve allocations for a measure or
program using moneys appropriated from the fund except after
determining, based on the available evidence, that the use of those
moneys furthers the regulatory purposes of Division 25.5 (commencing
with Section 38500) and is consistent with law. If any expenditure of
moneys from the fund for any measure or project is determined by a
court to be inconsistent with law, the allocations for the remaining
measures or projects shall be severable and shall not be affected.
(b) Moneys shall be used to facilitate the achievement of
feasible and cost-effective reductions of greenhouse gas
emissions in this state consistent with this division and, where
applicable and to the extent feasible , do all of the
following :
(1) Maximize economic, environmental, and public health benefits
to the state.
(2) Foster job creation by promoting in-state greenhouse gas
emissions reduction projects carried out by California workers and
businesses.
(3) Complement efforts to improve air quality.
(4) Direct investment toward the most disadvantaged communities
and households in the state.
(5) Provide opportunities for small businesses,
schools, affordable housing developers, water and
wastewater agencies, local governments, public
agencies, nonprofits, and other community institutions to
participate in and benefit from statewide efforts to reduce
greenhouse gas emissions.
(6) Mitigate Lessen the impacts and
effects of climate change on the state's communities, economy, and
environment.
(c) Moneys appropriated from the fund may be allocated, consistent
with subdivision (a), for the purpose of reducing greenhouse gas
emissions in this state through investments that may include, but are
not limited to, any of the following:
(1) Investments in clean and efficient energy, including, but not
limited to, any of the following:
(A) Industrial and manufacturing facilities to reduce greenhouse
gas emissions by investment in energy efficiency, energy storage, and
clean and renewable energy projects.
(B) Public universities, schools, water and wastewater agencies,
local governments, and other public facilities and fleets and their
energy suppliers to reduce greenhouse gas emissions by investment in
energy and water use efficiency, energy storage, and clean and
renewable energy and fuel projects.
(C) Single-family and multifamily residential and commercial
distributed generation and energy efficiency programs that serve to
reduce greenhouse gas emissions, including, but not limited to, the
federal Energy Efficiency and Conservation Block Grant Program,
established pursuant to Section 542 of the federal Energy
Independence and Security Act of 2007 (42 U.S.C. Sec. 17152), the
program established pursuant to Section 25943 of the Public Resources
Code, and the Weatherization Assistance Program (42 U.S.C. Sec. 6861
et seq.).
(D) Increasing the in-state diversion of municipal solid waste
from disposal through waste reduction, reuse, and low-carbon,
recycled-content processing, manufacturing, and other market
development activities consistent with the policy goal established
pursuant to subdivision (a) of Section 41780.01 of the Public
Resources Code and that directly reduce greenhouse gas emissions.
(2) Investments in low-carbon transportation, sustainable
development, and infrastructure, including, but not limited to, any
of the following:
(A) Public transportation and infrastructure development,
including, but not limited to, transit, bicycle, and pedestrian
facilities.
(B) Programs for clean vehicles and the advancement of
transportation technologies, including, but not limited to, the
Alternative and Renewable Fuel and Vehicle Technology Program
(Article 2 (commencing with Section 44272) of Chapter 8.9 of Part 5
of Division 26) and the Air Quality Improvement Program (Article 3
(commencing with Section 44274) of Chapter 8.9 of Part 5 of Division
26).
(C) Advanced transportation and fueling infrastructure.
(D) Local and regional sustainable development efforts, such as
planning, development, financing, and implementation of multielement
transportation infrastructure and rural infrastructure projects or
other planning processes, including, but not limited to, the updating
of general plans or the creation of specific plans, consistent with
the implementation of Section 65080 of the Government Code or other
greenhouse gas emissions reduction strategies in local and regional
plans, including, but not limited to, any of the following:
(i) Transit-oriented residential development consistent with
paragraph (4) of subdivision (b).
(ii) Transportation efficiency measures that expand transit
service and transportation systems within existing developed areas to
support infill development, and demand management strategies.
(iii) Improved transportation options and land use incentives,
including, but not limited to, municipal infrastructure to support
transit-oriented development and infill, multimodal connectivity,
including, but not limited to, crossings, transit infrastructure and
electrification, and other measures to assist in achieving the
implementation of Section 65080 of the Government Code.
(E) Low-carbon goods movement and freight vehicle technologies and
infrastructure, including, but not limited to, locomotives and
heavy-duty fleets.
(3) Investments in natural resource protection, including, but not
limited to, any of the following:
(A) Natural resource management programs and projects, including,
but not limited to, watershed projects with cobenefits of water
quality, flood protection, and coastal and ocean protection.
(B) Land conservation, habitat restoration, or other stewardship
activities, such as projects administered by state conservancies,
state and certified local conservation corps pursuant to Section
14315 of the Public Resources Code, and the Wildlife Conservation
Board.
(C) Development and implementation of sustainable agriculture,
forestry, urban greening, preservation, and open space programs.
(1) Funding to reduce greenhouse gas emissions through energy
efficiency, clean and renewable energy generation, distributed
renewable energy generation, transmission and storage, and other
related actions, including, but not limited to, at public
universities, state and local public buildings, and industrial and
manufacturing facilities.
(2) Funding to reduce greenhouse gas emissions through the
development of state-of-the-art systems to move goods and freight,
advanced technology vehicles and vehicle infrastructure, advanced
biofuels, and low-carbon and efficient public transportation.
(3) Funding to reduce greenhouse gas emissions associated with
water use and supply, land and natural resource conservation and
management, forestry, and sustainable agriculture.
(4) Funding to reduce greenhouse gas emissions through strategic
planning and development of sustainable infrastructure projects,
including, but not limited to, transportation and housing.
(5) Funding to reduce greenhouse gas emissions through increased
in-state diversion of municipal solid waste from disposal through
waste reduction, diversion, and reuse.
(4) Investments
(6) Funding to reduce greenhouse gas
emissions through investments in community climate
innovation programs that foster the implementation
of projects consistent with paragraphs (1), (2), and (3). Eligible
applicants shall be cities, counties, cities and counties, charter
cities, state conservancies, metropolitan planning organizations,
regional climate authorities, special districts, air pollution
control and air quality management districts, joint powers
authorities, regional collaboratives, and nonprofit organizations
coordinating with local governments implemented by
local and regional agencies, local and regional collaboratives, and
nonprofit organizations coordinating with local governments .
(5) Investments
(7) Funding in research,
development, and deployment of innovative technologies, measures, and
practices related to programs and projects funded pursuant to this
part.
38702.5. The California Environmental Protection Agency shall
develop a methodology that identifies priority community areas for
investment opportunities related to this part. These priority
community investment areas shall be identified and updated no less
than every two years, based on geographic, socioeconomic, and
environmental hazard criteria, which may include, but not be limited
to, any of the following:
(a) Areas disproportionately adversely affected by within close
proximity to sources that produce high criteria and toxic air
pollution levels, environmental pollution, and other hazards that can
lead to negative public health effects, exposure, and environmental
degradation.
(b) Areas that contain or produce material that, because of its
quantity, concentration, or physical or chemical characteristics,
pose a significant hazard to human health and safety.
(c) Areas with concentrations of people that are of low income,
high unemployment, low levels of homeownership, high rent burden,
sensitive populations, and low levels of educational attainment.
38703. (a) The state board and any other state agency identified
by the Legislature are the administering agencies for moneys
appropriated in accordance with this part.
(b) (1) The administering agencies shall, upon appropriation by
the Legislature, carry out a program to allocate moneys appropriated
pursuant to this part through competitive grants, revolving loans,
loan guarantees, loans, credit enhancements, or other appropriate
funding measures to qualified recipients to reduce greenhouse gas
emissions consistent with subdivisions (b) and (c) of Section 38702.
(2) The state board shall develop guidelines for administering
agencies for purposes of allocating moneys to projects that maximize
benefits for priority community areas, as described in Section
38702.5.
(3) Administering agencies shall have the authority to set aside a
percentage of their appropriated moneys from the fund for projects
that maximize benefits to priority community investment areas, as
described in Section 38702.5.
(4) In implementing this subdivision, administering agencies shall
ensure the investments maximize the benefits described in
subdivision (b) of Section 38702 for investments to priority
community investment areas, as described in Section 38702.5, through
activities that include, but are not limited to, any of the
following:
(A) Participatory program guideline development.
(B) Targeted solicitation outreach.
(C) Education and training efforts.
(D) Solicitation scoring criteria priority.
(c) Notwithstanding Chapter 3.5 (commencing with Section 11340) of
Part 1 of Division 3 of Title 2 of the Government Code and prior to
the initial allocation of moneys in accordance with this part, the
state board shall, after one or more public hearings, adopt
guidelines to provide state agencies guidance as well as guidance to
potential funding applicants and the public regarding the allocation
and allowable uses of moneys. The guidelines shall, at a minimum, do
all of the following:
(1) Establish minimum criteria for receiving funding and
additional criteria, including, but not limited to, those identified
in subdivision (b) of Section 38702, that the state agencies shall
take into account in establishing preferences for awarding moneys.
(2) Provide a process to verify the qualifications of recipients.
(3) Provide for the monitoring and, as deemed necessary, the audit
of expenditures.
(4) Establish minimum criteria and provide for the tracking of
outcomes.
(d) Any state agency that allocates moneys pursuant to subdivision
(b) shall adopt guidelines that are consistent with the guidelines
adopted by the state board pursuant to subdivision (c).
38704. 39716. (a) (1)
The state board
Department of Finance, on behalf of the Governor, and in consultation
with the state board and any other relevant state entity,
shall develop and adopt, beginning April 1, 2013, three
investment plans for the following time periods: 2013 to 2014, 2015
to 2017, and 2018 to 2020. Each and submit to the
Legislature at the time of the department's adjustments to the
proposed 2013-14 fiscal year budget pursuant to subdivision (e) of
Section 13308 of the Government Code a three-year investment plan.
Commencing with the 2016-17 fiscal year budget and every three years
thereafter, with the release of the Governor's budget proposal, the
Department of Finance shall include updates to the investment plan
following the public process described in subdivisions (b) and (c).
The investment plan, consistent with the requirements of
Section 38702 39712 , shall do all of
the following:
(A)
(1) Identify the state's near-term and long-term
greenhouse gas emissions reduction goals and targets by sector
, including, but not limited to, an analysis of all of the
following: .
(i) Current and projected sector greenhouse gas emissions.
(ii) Progress toward achievement of sector greenhouse gas
emissions reduction targets.
(iii) The sectors' greenhouse gas emissions reduction achievements
as compared to state greenhouse gas emissions targets.
(iv) Any additional greenhouse gas emissions reduction goals for
sectors that do not have targets.
(B) List and describe the key measures and strategies that the
state is relying on to achieve greenhouse gas emissions reductions
goals and targets by sector. For each measure and strategy, the state
board shall include, at a minimum, all of the following:
(i) A description of expected greenhouse gas emissions reductions
and other benefits anticipated from the measure's or strategy's
implementation.
(ii) Current funding levels and sources for the measure or
strategy, as applicable.
(iii) A projection of greenhouse gas emissions reductions and
other impacts based on continued progress at current implementation
schedules.
(C)
(2) Analyze gaps, where applicable, in current state
strategies to meeting the state's greenhouse gas emissions reduction
goals by sector , including, but not limited to, all of the
following: .
(i) Funding.
(ii) Policies.
(iii) Compliance.
(iv) Market preparedness.
(v) State authority, local authority, or other relevant
considerations.
(D)
(3) Identify priority programmatic investments of
moneys appropriated from the fund that will
facilitate the achievement of feasible and cost-effective greenhouse
gas emissions reductions toward achievement of greenhouse gas
reduction goals and targets by sector, consistent with subdivision
(c) of Section 38702, including, but not limited to, all of
the following: 39712.
(i) The expected greenhouse gas emissions reductions and other
cobenefits of the investment.
(ii) The administering agency that will implement the investment.
(iii) Other relevant information the state board deems appropriate
to explain and justify the investment pursuant to Section 38702.
(E) Maximize benefits to priority community investment areas, as
described in Section 38702.5, through activities that include, but
are not limited to, any of the following:
(i) Participatory program guideline development.
(ii) Targeted solicitation outreach.
(iii) Education and training efforts.
(iv) Solicitation scoring criteria priority.
(v) Fund set-asides.
(2) The state board shall, prior to adopting each investment plan,
consult with the Public Utilities Commission to ensure the
investment plan is coordinated with, and does not conflict with or
unduly overlap with, activities under the oversight or administration
of the Public Utilities Commission undertaken pursuant to Part 5
(commencing with Section 38570) or other activities under the
oversight or administration of the Public Utilities Commission that
facilitate greenhouse gas emissions reductions consistent with this
division.
(b) The Public Utilities Commission shall develop and send to the
state board a report to be included in each investment plan adopted
by the state board pursuant to subdivision (a). The Public Utilities
Commission's report shall include its requirements regarding the use
of any allowance auction moneys the investor-owned utilities might
collect pursuant to a market-based compliance mechanism.
(c) The state board shall receive input from an advisory body that
shall provide information and oversight to the state board to assist
in its adoption of each investment plan. The advisory body shall
include the secretaries for the Natural Resources Agency, the
California Environmental Protection Agency, the Department of Food
and Agriculture, the Labor and Workforce Development Agency, and the
Business, Transportation and Housing Agency.
(b) (1) The state board
shall hold at least two public workshops in different regions of the
state and one public hearing prior to adopting any
the Department of Finance submitting the
investment plan. The advisory body shall participate in each
public workshop on an investment plan and provide testimony to the
state board on each investment plan.
(d) The state board shall submit to the relevant committee of each
house of the Legislature with jurisdiction over the state budget, 30
days prior to adoption, each investment plan proposed to be adopted
pursuant to subdivision (a) or any amendment to an investment plan
adopted pursuant to subdivision (a).
(2) The state board shall, prior to the submission of each
investment plan, consult with the Public Utilities Commission to
ensure the investment plan is coordinated with, and does not conflict
with or unduly
overlap with, activities under the oversight or administration of the
Public Utilities Commission undertaken pursuant to Part 5
(commencing with Section 38570) of Division 25.5 or other activities
under the oversight or administration of the Public Utilities
Commission that facilitate greenhouse gas emissions reductions
consistent with this division. The investment plan shall include a
description of the use of any moneys generated by the sale of
allowances received at no cost by the investor-owned utilities
pursuant to a market-based compliance mechanism.
(c) The Climate Action Team, established under Executive Order
S-3-05, shall provide information to the Department of Finance and
the state board to assist in the development of each investment plan.
The Climate Action Team shall participate in each public workshop
held on an investment plan and provide testimony to the state board
on each investment plan. For purposes of this section, the Secretary
of Labor and Workforce Development shall assist the Climate Action
Team in its efforts.
38705. (a) The state board shall annually provide to the
Governor, concurrent with the submission required pursuant to Section
13320 of the Government Code, a plan consistent with the relevant
investment plan adopted pursuant to Section 38704, detailing proposed
appropriations from the fund.
(b) (1) As part of the Governor's annual budget submission to the
Legislature, pursuant to subdivision (a) of Section 12 of Article IV
of the California Constitution, the Governor shall include proposed
appropriations consistent with the plan submitted pursuant to
subdivision (a).
(2) If the state board, in consultation with the California
Environmental Protection Agency, finds in its report to the
Legislature, pursuant to Section 38706, that the investments made in
the prior fiscal year did not result in at least 25 percent of the
available moneys from that fiscal year being allocated to projects
that provide benefits described in subdivision (b) of Section 38702
to priority community investment areas, as described in Section
38702.5, and that at least 10 percent of all of the available moneys
from that fiscal year were not invested in projects located in
priority community investment areas, as described in Section 38702.5,
then the Governor shall include as part of the Governor's annual
budget submission to the Legislature, pursuant to subdivision (a) of
Section 12 of Article IV of the California Constitution, allocations
to administering agencies to make investments in eligible projects in
priority community investment areas in an amount equal to the
difference between the total investments in the prior fiscal year
that benefited priority community investment areas and an amount
equal to 25 percent of the total allocations from the prior fiscal
year. This allocation shall not be considered part of the next fiscal
year's priority community investment area considerations for
purposes of this part and shall be separately identified in the
Governor's annual budget submission to the Legislature to provide
transparency to the investment.
(c) The Legislature shall consider adopting the appropriations
submitted by the Governor pursuant to subdivision (b) as part of the
annual Budget Act.
39718. (a) Moneys in the fund shall be
appropriated through the annual Budget Act consistent with the
investment plan developed and submitted pursuant to Section 39716.
(b) Upon appropriation, moneys in the Greenhouse Gas Reduction
Fund shall be available to the state board and to administering
agencies for administrative purposes in carrying out this chapter.
(c) Any repayment of loans, including interest payments and all
interest earnings on or accruing to any money, resulting from
implementation of this chapter shall be deposited in the Greenhouse
Gas Reduction Fund for the purposes of this chapter.
38706. 39720. (a) Notwithstanding
Section 10231.5 of the Government Code, the state board
Department of Finance shall submit a report on
or before December 1 of each year March 1,
2014, and annually thereafter, to the appropriate committees of
the Legislature on the status of projects funded pursuant to this
part and their outcomes , any changes the state board
recommends to the investment plan completed pursuant to Section
38705, and a description of how agencies have Section 38702.5,
including, but not limited to, the percentage of funds allocated to
date and in the prior fiscal year that have been invested in projects
in priority community investment areas and that have provided
benefits, as defined in subdivision (b) of Section 38702, to priority
community investment areas. It is the intent of the Legislature that
the appropriations required for the implementation of these changes
to the three-year investment plan shall be included in the annual
Budget Act for the subsequent fiscal year .
(b) The state board shall hold one public hearing on the report
submitted pursuant to subdivision (a) prior to its submission to the
Legislature.
(c)
(b) A report submitted pursuant to subdivision (a)
shall be submitted in compliance with Section 9795 of the Government
Code.
SEC. 3. This act shall not become operative unless
Senate Bill 535 of the 2011-12 Regular Session is enacted.