Amended in Senate July 10, 2013

Amended in Assembly May 8, 2013

Amended in Assembly April 24, 2013

Amended in Assembly April 1, 2013

California Legislature—2013–14 Regular Session

Assembly BillNo. 628


Introduced by Assembly Members Gorell and Hall

(Coauthors: Assembly Members Brown and V. Manuel Pérez)

February 20, 2013


An act to add Section 63045.2 to the Government Code, and to add Chapter 13 (commencing with Section 25990) to Division 15 of the Public Resources Code, relating to energy.

LEGISLATIVE COUNSEL’S DIGEST

AB 628, as amended, Gorell. Energy management plans for harbor and port districts.

(1) Existing law requires the California Infrastructure Development Bank, following consultation with appropriate state and local agencies, to establish criteria, priorities, and guidelines for the selection of projects to receive assistance from the bank, including those based on, among other things, the State Environmental Goals and Policy Report, or its successor, relating to implementation of state environmental goals and policies. Existing law further requires that projects that receive assistance from the bank, among other things, facilitate effective and efficient use of existing and future public resources so as to promote both economic development and conservation of natural resources.

This bill would authorize the bank to fund projects to promote economic development in harbor and port districts that arebegin delete developedend deletebegin insert implementedend insert pursuant to an energy management plan, and would require the bank to consider appropriatebegin delete actionend deletebegin insert actionsend insert that it may take to facilitate the financing of those projects.

(2) Existing law requires the State Energy Resources Conservation and Development Commission to adopt energy conservation standards to reduce the wasteful, uneconomic, inefficient, or unnecessary consumption of energy, and to implement various programs to provide financial assistance to specified entities for energy efficient improvements.

This bill would authorize specified harbor and port districts, as defined, in collaboration with an electrical corporation, gas corporation, or publicly owned electric utility serving the district, to prepare one or more energy management plans to reduce air emissions and promote economic development through the addition of new businesses and the retention of existing businesses in the district. The bill would require, if a district prepares an energy management plan pursuant to these provisions, that the plan include specified provisions.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1begin insert

begin insertSECTION 1.end insert  

end insert
begin insert

The Legislature finds and declares all of the
2following:

end insert
begin insert

3(a) The state promotes the efficient use of low-cost,
4low-emissions energy sources in the operations of its ports and
5harbors.

end insert
begin insert

6(b) There is an opportunity in port and harbor district
7operations, including the movement of commercial goods, to reduce
8vehicular emissions of greenhouse gases and criteria pollutants.

end insert
begin insert

9(c) The state encourages the development of new businesses
10and the retention of existing businesses within port and harbor
11district boundaries.

end insert
begin insert

12(d) Energy utility customers located within the state’s port and
13harbor districts may benefit from the addition of new businesses
14and the retention of existing businesses through increased energy
15cost certainty.

end insert
begin insert

P3    1(e) Businesses located within the state’s port and harbor districts
2may benefit through greater stability and certainty in the cost of
3energy services.

end insert
begin insert

4(f) Investor-owned and publicly owned utilities are in an optimal
5position, and are encouraged to engage in joint projects with port
6and harbor districts to provide and administer energy-related
7service alternatives and programs that may promote economic
8development and retention in those districts.

end insert
9

begin deleteSECTION 1.end delete
10begin insertSEC. 2.end insert  

Section 63045.2 is added to the Government Code, to
11read:

12

63045.2.  

Projects to promote economic development in harbor
13and port districts implemented pursuant to an energy management
14plan developed in accordance with Chapter 13 (commencing with
15Section 25990) of Division 15 of the Public Resources Code shall
16be eligible for funding under this division. The bank shall consider
17appropriate actions that it may take to facilitate the financing of
18those projects.

19

begin deleteSEC. 2.end delete
20begin insertSEC. 3.end insert  

Chapter 13 (commencing with Section 25990) is added
21to Division 15 of the Public Resources Code, to read:

22 

23Chapter  13. Energy Management Plans for Harbor and
24Port Districts
25

 

begin delete
26

25990.  

The Legislature finds and declares all of the following:

27(a) The state should promote the efficient use of low-cost,
28low-emissions energy sources in the operations of its ports and
29harbors.

30(b) There is an opportunity in port and harbor district operations,
31including the movement of commercial goods, to reduce vehicular
32emissions of greenhouse gases and criteria pollutants.

33(c) The state should encourage the development of new
34businesses and the retention of existing businesses within port and
35harbor district boundaries.

36(d) Energy utility customers located within the state’s port and
37harbor districts can benefit from the addition of new businesses
38and the retention of existing businesses through increased energy
39cost certainty.

P4    1(e) Businesses located within the state’s port and harbor districts
2could benefit through greater stability and certainty in the cost of
3energy services.

4(f) Investor-owned and publicly owned utilities are in an optimal
5position, and should be encouraged to engage in joint projects with
6port and harbor districts to provide and administer energy-related
7service alternatives and programs that can promote economic
8development and retention in those districts.

end delete
9

begin delete25991.end delete
10begin insert25990.end insert  

(a) For purposes of this chapter, the term “district”
11shall mean a harbor or port district formed pursuant to Division 8
12(commencing with Section 5000) of the Harbors and Navigation
13Code, the Humboldt Bay Harbor, Recreation and Conservation
14District, the Ports of Hueneme, Oakland, Long Beach, Los Angeles,
15Redwood City, Richmond, San Diego, San Francisco, Stockton,
16and West Sacramento, and any other harbor, recreation, and
17conservation district that operates a harbor or port in the state. A
18district may prepare one or more energy management plans,
19developed jointly with an electric corporation, as defined in
20subdivision (a) of Section 218 of the Public Utilities Code, a gas
21corporation, as defined in Section 222 of the Public Utilities Code,
22or a public utility, as defined in subdivision (a) of Section 216 of
23the Public Utilities Code, that produces, generates, or supplies
24electricity to the public and that serves the district in order to reduce
25air emissions, promote economic development, and encourage the
26development of new businesses and retain existing businesses in
27that district.

28(b) If a district prepares an energy management plan pursuant
29to this chapter, it shall include, at a minimum, all of the following:

30(1) An assessment of current energy consumption within the
31district by energy source and type of users. Examples of users may
32include commercial, industrial, governmental, ships, individual
33transport, and product transport.

34(2) An assessment of other energy efficiency and management
35issues the district determines to evaluate in order to inform the
36development of specific goals and actions that reduce air emissions
37and promote economic development, including all of the following:

38(A) An electric or natural gas load forecast, developed in
39coordination with the serving electrical corporation, gas
P5    1corporation, or local publicly owned electric utility, and that
2reflects anticipated load growth within the district.

3(B) An assessment of the role that distributed generation,
4combined with accurately priced utility services, could play in
5providing greater rate stability and energy cost certainty to aid in
6economic development, and proposed actions with respect to that
7role. This assessment shall be developed jointly with the serving
8electrical corporation, gas corporation, or local publicly owned
9electric utility.

10(C) An assessment, in consultation with business and industry,
11that identifies current and emerging processes and technologies to
12reduce energy consumption and improve energy efficiency.

13(D) An assessment, in consultation with business and industry,
14that identifies domestic and international shipping requirements
15and operations related to energy use and consumption.

16(3) A set of measurable energy performance and management
17goals that reduce airbegin delete pollutionend deletebegin insert emissionsend insert and promote economic
18development, and a prioritized list of infrastructure projects, public
19education initiatives, and other actions that the district will
20undertake to achieve those goals.

21(4) A list of recommendations, developed jointly with the
22serving electrical corporation, gas corporation, or local publicly
23owned electric utility, for the enhanced use of cost-effective energy
24efficiency and demand-side management in existing buildings and
25the inclusion of energy efficiency measures as part of the
26development of new buildings.

27(5) A description of measures to be taken to reduce air emissions
28for vehicle use within district boundaries, including vehicles used
29for movement of commercial products. Proposed actions,
30 developed jointly with the serving electrical corporation, gas
31corporation, or local publicly owned electric utility, may include
32replacement of vehicles with lower emitting alternatives and
33development of infrastructure, in appropriate areas, to aid in the
34refueling of alternative fuelbegin delete vehicles, and may provide for utility
35ownership or operation of those facilities to provide services within
36the district.end delete
begin insert vehicles.end insert

begin delete

37(6) Other proposed actions and associated utility services that
38may be implemented in connection with the jointly developed
39energy management plan.

end delete
begin delete

40(7)

end delete

P6    1begin insert(end insertbegin insert6)end insert A summary identifying governmental and nongovernmental
2impediments to implementation of the plan that includes
3recommendations on how these impediments may be overcome.

begin delete

4(8)

end delete

5begin insert(end insertbegin insert7)end insert A description of one-year, 3-year, 5-year, 10-year, and
615-year objectives for implementation of the plan. These objectives
7shall be in sufficient detail to allow the district to undertake a
8meaningful annual review of the plan’s progress.

begin delete

9(9)

end delete

10begin insert(end insertbegin insert8)end insert Proposed methods to fund the activities included in the plan,
11including funding through utility ratepayer-funded programs and
12financing through the California Infrastructure and Economic
13Developmental Bank established pursuant tobegin delete Chapter 3
14(commencing with Section 63050) ofend delete
Division 1begin insert (commencing
15with Section 63000)end insert
of Title 6.7 of the Government Code, the
16California Alternative Energy and Advanced Transportation
17Financing Authority Act (Division 16 (commencing with Section
1826000)), or other appropriate sources.

begin delete

19(10)

end delete

20begin insert(end insertbegin insert9)end insert Other related energy plans, mandates, and requirementsbegin insert,end insert
21 and, to the extent possible, leverage opportunities for achieving
22energy efficiency and sustainable energy production, while not
23overburdening impacted businesses.

24(c) A district that prepares a plan shall engage with small
25business technical assistance providers to assist in the identification
26of joint or collaborative energy efficiency project opportunities,
27public education activities, and financing opportunities that
28implement the actions and projects in the plan.

begin delete

29(d) (1) If a district has jointly developed with an electric or gas
30corporation one or more plan elements under a plan prepared
31pursuant to subdivision (b) that involves special programs to be
32 offered in the district and administered by the electric or gas
33corporation to facilitate emissions reductions, increase energy
34efficiency, or promote economic development, including, but not
35limited to, the use of biogas for direct injection into common carrier
36pipelines, economic development rates, distributed generation,
37energy storage, and alternative fuel vehicle infrastructure, the
38Public Utilities Commission shall provide expedited review of the
39proposed jointly developed elements of the plan.

40(2)

end delete

P7    1begin insert(d)end insert The Public Utilities Commission shall encourage electric or
2gas corporations to participate jointly with local agencies in
3developing, implementing, and administering viable energy
4management plans forbegin delete districts, and shall not limit the role of the
5electric or gas corporation that was cooperatively developed in the
6energy management planend delete
begin insert districtsend insert. The governing boards of local
7publicly owned utilities and rural electric cooperatives shall
8encourage joint participation with local agencies and gas
9corporations in developing, implementing, and administering viable
10energy management plans for districts.

11(e) If an energy management plan is prepared pursuant to this
12chapter, it shall also address the development of projects that
13provide greater certainty of energy costs over a period of up to 15
14years for businesses developing in the district and shall consider
15applying to the California Infrastructure and Economic
16Development Bank for financial support of these projects.

17(f) The Public Utilities Commission may offer technical
18assistance in the preparation of the energy management plans
19developed and implemented pursuant to this chapterbegin insert,end insert including,
20but not limited to, identifying best practices, innovations in
21technology, and potential funding sources.



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