BILL ANALYSIS Ó ------------------------------------------------------------ |SENATE RULES COMMITTEE | SB 724| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ VETO Bill No: SB 724 Author: Dutton (R), et al. Amended: 6/22/11 Vote: 21 SENATE TRANSPORTATION & HOUSING COMM : 7-0, 4/26/11 AYES: DeSaulnier, Gaines, Harman, Huff, Kehoe, Lowenthal, Pavley NO VOTE RECORDED: Rubio, Simitian SENATE ENVIRONMENTAL QUALITY COMMITTEE : 7-0, 5/2/11 AYES: Simitian, Strickland, Blakeslee, Hancock, Kehoe, Lowenthal, Pavley SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8 SENATE FLOOR : 39-0, 5/31/11 AYES: Alquist, Anderson, Blakeslee, Calderon, Cannella, Corbett, Correa, De León, DeSaulnier, Dutton, Emmerson, Evans, Fuller, Gaines, Hancock, Harman, Hernandez, Huff, Kehoe, La Malfa, Leno, Lieu, Liu, Lowenthal, Negrete McLeod, Padilla, Pavley, Price, Rubio, Runner, Simitian, Steinberg, Strickland, Vargas, Walters, Wolk, Wright, Wyland, Yee NO VOTE RECORDED: Berryhill ASSEMBLY FLOOR : 76-0, 7/14/11 (Consent) - See last page for vote SENATE FLOOR : 37-0, 8/15/11 AYES: Alquist, Anderson, Berryhill, Blakeslee, Calderon, Cannella, Corbett, Correa, De León, DeSaulnier, Dutton, CONTINUED SB 724 Page 2 Emmerson, Fuller, Gaines, Hancock, Harman, Huff, Kehoe, La Malfa, Leno, Lieu, Liu, Lowenthal, Negrete McLeod, Padilla, Pavley, Price, Rubio, Simitian, Steinberg, Strickland, Vargas, Walters, Wolk, Wright, Wyland, Yee NO VOTE RECORDED: Evans, Hernandez, Runner SUBJECT : State Air Resources Board: mobile source certification SOURCE : Californians for Enforcement Reform and Transparency DIGEST : This bill requires the Air Resources Board (ARB), within 30 working days after receipt of an application for certification of a new, a carryover, or a partial carryover on-road or off-road vehicle, engine, or equipment family, as defined, to inform the applicant, in writing, either that the application is complete and accepted for filing, or that the application is deficient, identifying the specific information required to make the application complete. Assembly Amendments added two new sections to the bill which were subsequently amended out of the bill. This bill is now identical to the version that passed the Senate (39-0) on 5/31/11. ANALYSIS : Existing law: 1.Grants ARB with primary responsibility for the control of mobile source air pollution, and broadly authorizes ARB to adopt rules for the reduction of emissions and the specification of fuel composition. 2.Authorizes ARB to certify new motor vehicles and new motor vehicle engines. 3.Requires ARB to adopt and implement emission standards for new motor vehicles and engines for the control of emissions from new motor vehicles that ARB finds to be necessary and technologically feasible. CONTINUED SB 724 Page 3 This bill: 1.Requires ARB, within 30 working days after receipt of an application for certification of a new, a carryover, or a partial carryover on-road or off-road vehicle, engine, or equipment family, as defined, to inform the applicant, in writing, either that the application is complete and accepted for filing, or that the application is deficient, identifying the specific information required to make the application complete. 2.Defines "Carryover vehicle, engine, or equipment family" as an on-road or off-road vehicle, engine, or equipment family whose application for certification differs from the vehicle, engine, or equipment family certified in the previous model year inmodel-year designation only. 3.Defines "Partial carryover vehicle, engine, or equipment family" as an on-road or off-road vehicle, engine, or equipment family that is certified to the same emission standards and the same certification category as the prior certified model year, if there has been no change to the applicable emission standard and requirements, including, but not limited to, durability and warranty requirements, and no change in emissions performance from changes to emission-related components, engine configurations, calibrations, or designs, as determined by the state board. 4.Authorizes ARB to adopt regulations that further define "partial carryover vehicle, engine, or equipment family" for different types of vehicles, engines, or equipment families. Comments ARB's current certification process . In a letter dated December 27, 2010, from ARB to Senator Dutton and Senator Correa, ARB addressed specific questions regarding its certification process. Some key points are worth highlighting. The letter indicates that ARB received approximately 9,000 certification applications between 2008 and 2010 and executive orders (EOs) were issued within 90 days for 96 percent of completed applications. A common CONTINUED SB 724 Page 4 reason why ARB is not able to act on an application within 90 days is that the applicant has not provided all of the information necessary for ARB to complete its review. ARB states, "In all instances, ARB staff continued to work with the applicants until the applications were completed or until the applicant chose not to further pursue an EO." With regard to carryover and partial carryover certification applications, ARB estimates that approximately 15 percent of certifications are for carryover vehicles, engines, or equipment and approximately 50 percent are for partial carryovers. An application for a partial carryover takes approximately 50 percent less time to process compared to an application for a new product. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: No SUPPORT : (Verified 7/26/11) Californians for Enforcement Reform and Transparency (source) American Home Furnishing Alliance Associated General Contractors of America California Chapter of the American Fence Contractors Association California Dump Truck Owner Association California Motorcycle Dealers Association California Moving and Storage Association California Retailers Association Compliant Car Builders Association Construction Industry Air Quality Association Engineering Contractors Association Flasher/Barricade Association Independent Waste Oil Collectors and Transporters Marine Builders Association Moving and Storage Association National Marine Manufacturers Association Outdoor Power Equipment Institute Southern California Contractors Association GOVERNOR'S VETO MESSAGE: CONTINUED SB 724 Page 5 "I am returning Senate Bill 724 without my signature. This bill would require the Air Resources Board (ARB) to respond to an applicant in writing within 30 working days of receipt of a certification application for a vehicle, engine, or equipment family regarding the application's completeness and acceptance for filing. If the ARB determines that the application is not complete, ARB must specify in writing the information required to make it complete. The ARB's vehicle and equipment certification process is intended to ensure that new vehicles, equipment, and engines sold in California meet minimum emission standards to protect air quality and public health. Under the current certification process, the ARB works closely with applicants to obtain the information necessary to make an approval determination and issue a certification for sale. In fact, ARB issues approval determinations within 90 days for over 96 percent of applications once they are deemed complete. Moreover, this bill could interfere with the iterative information gathering application approval process, thereby rushing the process and inadvertently allowing vehicles with defective emission components on the market. Finally, I would note that no real or convincing evidence has been presented to me that justifies a rigid, 30 day deadline for a written response." ASSEMBLY FLOOR : 76-0, 7/14/11 AYES: Achadjian, Alejo, Allen, Ammiano, Atkins, Beall, Bill Berryhill, Block, Blumenfield, Bonilla, Bradford, Brownley, Buchanan, Butler, Charles Calderon, Campos, Carter, Cedillo, Chesbro, Conway, Cook, Davis, Dickinson, Donnelly, Eng, Feuer, Fletcher, Fong, Fuentes, Furutani, Galgiani, Gatto, Gordon, Grove, Hagman, Halderman, Hall, Harkey, Hayashi, Roger Hernández, Hill, Huber, Hueso, Huffman, Jeffries, Jones, Knight, Lara, Logue, Bonnie Lowenthal, Ma, Mansoor, Mendoza, Miller, Monning, Morrell, Nestande, Nielsen, Norby, Olsen, Pan, Perea, V. Manuel Pérez, Portantino, Silva, Skinner, Smyth, Solorio, Swanson, Torres, Valadao, Wagner, Wieckowski, Williams, CONTINUED SB 724 Page 6 Yamada, John A. Pérez NO VOTE RECORDED: Beth Gaines, Garrick, Gorell, Mitchell JJA:nl 1/4/12 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END **** CONTINUED