BILL ANALYSIS Ó AB 284 Date of Hearing: May 24, 2013 ASSEMBLY COMMITTEE ON APPROPRIATIONS Mike Gatto, Chair AB 284 (Quirk) - As Amended: May 8, 2013 Policy Committee: Natural ResourcesVote:6-0 Utilities and Commerce 10-1 Urgency: No State Mandated Local Program: No Reimbursable: SUMMARY 1)This bill requires the Air Resources Board (ARB) to convene a Road to 2050 Board consisting of various state agencies and commissions who would be required to submit a report to the Governor and the Legislature every two years, beginning in 2016, on the impacts of global warming on public health and natural resources. (Existing law defines 2050 goals as reducing GHG emissions by 80 %from 1990 levels. ) Specifically, this bill: 2)Requires the 2050 Board to consist of representatives from the ARB, California Energy Commission, Public Utilities Commission, California Environmental Protection Agency, California Independent System Operator, two members appointed by the Speaker of the Assembly and two members appointed by the Senate Rules Committee. 3)Requires the Board, by January 1, 2016 and every two years after, to prepare a report to be used on an advisory basis to guide decision making processes and policies at the local and state level to ensure those processes consider implications for meeting the 2050 goals. 4)Requires the report to establish consistent metrics to quantify emissions and reductions and to assess the costs and benefits of each reduction program. 5)Requires the 2050 Board to hold at least one public hearing to receive comment on the report. FISCAL EFFECT AB 284 This bill essentially requires ARB to update its scoping plan every two years including the impact of climate change and an overview of emission reductions efforts to date. Based on ARB's state expenditures on the scoping plan required by AB 32, this bill is estimated to cost up to $5 million annually (special fund) for state positions and contracts to fulfill the requirements of the bill. COMMENTS 1)Purpose. According to the author strategies to achieve AB 32 goals vary in scope, length and complexity. One strategy has been the creation of different programs to incentivize the use of energy efficiency, alternative energy and alternative fuel technologies. However, there lacks a state-wide strategic or cohesive structure to encourage communication and coordination on AB 32-associated programs 2)Background. AB 32 (Núñez), Chapter 455, Statutes of 2006) requires California to limit its emissions of GHGs so that, by 2020, those emissions are equal to what they were in 1990. AB 32 required ARB to develop a comprehensive scoping plan for achieving the maximum technologically feasible and cost-effective reductions in GHG emission from emission sources or categories of sources by January 1, 2009. The completed plan identified direct emission reductions and alternative and market-based compliance mechanisms necessary to achieve the 2020 goal. 3)Beyond 2020. The prevailing opinion among climate scientists is that achieving an 80 % reduction in GHG emissions compared to 1990 levels by 2050 is necessary to stabilize the global climate. Analysis Prepared by : Jennifer Galehouse / APPR. / (916) 319-2081