BILL ANALYSIS Ó AB 2161 Page 1 ASSEMBLY THIRD READING AB 2161 (Achadjian) As Introduced February 23, 2012 Majority vote NATURAL RESOURCES 8-1 APPROPRIATIONS 17-0 ----------------------------------------------------------------- |Ayes:|Chesbro, Knight, |Ayes:|Fuentes, Harkey, | | |Brownley, Dickinson, | |Blumenfield, Bradford, | | |Grove, Huffman, Monning, | |Charles Calderon, Campos, | | |Skinner | |Davis, Donnelly, Gatto, | | | | |Ammiano, Hill, Lara, | | | | |Mitchell, Nielsen, Norby, | | | | |Solorio, Wagner | |-----+--------------------------+-----+--------------------------| |Nays:|Halderman | | | | | | | | ----------------------------------------------------------------- SUMMARY : Adds San Luis Obispo to the list of counties eligible to receive renewable energy planning grants from the California Energy Commission (CEC). EXISTING LAW requires the CEC to provide, upon appropriation by the Legislature, up to $7 million in grants to 15 qualified counties in the San Joaquin Valley and desert regions to revise rules and policies, including general plans, zoning ordinances, and conservation plans, to facilitate renewable energy development on "disturbed lands," as defined. FISCAL EFFECT : According to the Assembly Appropriations Committee, no direct state costs, but cost pressure of an unknown amount, but potentially in the hundreds of thousands of dollars, to make renewable energy grants to San Luis Obispo County (special fund). COMMENTS : In 2011, AB 13 X1 (V. Manuel Perez, et al.), Chapter 10, Statutes of 2011-12 First Extraordinary Session, expanded existing provisions, enacted to facilitate permitting of solar energy projects in a specified desert region, to include a broader range of renewable energy projects in the desert and, for specified provisions, other regions of the state. The bill also established new provisions to support planning and permitting of renewable energy projects in the San Joaquin AB 2161 Page 2 Valley and desert regions, including directing the CEC to provide grants for local government participation, upon appropriation of funds from the Legislature. Although major solar energy projects have been proposed in San Luis Obispo, the county was not included in AB 13 X1's list of eligible counties. According to the author: AB 2161 would add San Luis Obispo County to the current list of counties that would be deemed "qualified" to apply for this grant funding to allow for additional opportunities for renewable energy development?San Luis Obispo County demonstrated its commitment to solar power by approving two large utility scale solar projects?and by promoting distributed and rooftop solar. However, the efficiency at which the County can process solar energy facility (SEF) projects is hampered by outdated plans, policies and rules. The County is motivated to update its regulations and streamline the review process for SEF projects. As a starting point, the County would like to pursue customizing the California County Planning Director Association's Solar Energy Facility (SEF) Permit Streamlining Guide and Model SEF Ordinance for local use. The Guide and Model SEF Ordinance were developed with involvement from a broad, statewide coalition of stakeholders, over 100 participants strong. The goal of this project was to assist counties in their effort to provide a streamlined regulatory climate for the installation of SEF project while protecting important farmland and sensitive habitat. The County would like to build upon this model and facilitate more efficient processing of these projects. Concurrent to the original intent of AB 13 X1, with its location on the Central Coast, San Luis Obispo is in a prime location to continue and expand on its renewable energy portfolio. When the grant funding is appropriated through the Energy Commission's budget, these counties, with the addition of San Luis Obispo will be poised to act. Analysis Prepared by : Lawrence Lingbloom / NAT. RES. / (916) 319-2092 AB 2161 Page 3 FN: 0003874