BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 489
                                                                  Page 1


          ASSEMBLY THIRD READING
          AB 489 (Skinner)
          As Introduced  February 19, 2013
          Majority vote 

           NATURAL RESORUCES   6-2         APPROPRIATIONS      12-5        
           
           ----------------------------------------------------------------- 
          |Ayes:|Chesbro, Garcia,          |Ayes:|Gatto, Bocanegra,         |
          |     |Muratsuchi, Skinner,      |     |Bradford,                 |
          |     |Stone, Williams           |     |Ian Calderon, Campos,     |
          |     |                          |     |Eggman, Gomez, Hall,      |
          |     |                          |     |Ammiano, Pan, Quirk,      |
          |     |                          |     |Weber                     |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Grove, Bigelow            |Nays:|Harkey, Bigelow,          |
          |     |                          |     |Donnelly, Linder, Wagner  |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Repeals the requirement that activities undertaken by  
          the California Energy Commission (CEC) to develop a  
          comprehensive program to achieve greater energy savings in  
          existing residential and nonresidential buildings, formally  
          known as the AB 758 Comprehensive Energy Efficiency Program for  
          Existing Buildings (AB 758 Program), be funded by the American  
          Recovery and Reinvestment Act (ARRA).  

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee, this bill has no fiscal impact to CEC.   This bill  
          may create unknown cost pressure, potentially in the millions of  
          dollars, to fund AB 758 efficiency and retrofit projects.

           COMMENTS  :  AB 758 (Skinner), Chapter 470, Statutes of 2009,  
          established the AB 758 Program.  The program has been  
          successful; it has implemented 11 pilot programs throughout  
          California to assess and retrofit inefficient buildings.    
          Benefits from the program are not limited to increased energy  
          efficiency and reduced electricity costs; the pilot programs  
          have also created green jobs.  For example, one pilot located in  
          the Sacramento area "will provide Home Energy Rating system  
          Phase II audits and/or home performance retrofits to 15,150  
          homes, preserve or create 1,148 jobs, provide high quality  
          retrofits to 1,050 low-income homes and 100 moderate-income  








                                                                  AB 489
                                                                  Page 2


          foreclosed, purchased, and renovated homes, [and] create  
          significant demand for building science professionals?"  

          According to the author, the AB 758 Program was intended to be  
          an ongoing program funded through any available funding sources.  
           Assembly Member Skinner submitted a letter to the CEC  
          clarifying this intent at the time the bill was chaptered.  

          This bill repeals the requirement that the AB 758 Program be  
          funded exclusively by ARRA and other non-state funds, which will  
          allow CEC to pursue all available funding options.  

           
          Analysis Prepared by  :    Elizabeth MacMillan / NAT. RES. / (916)  
          319-2092 


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