BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                 SB 11
                                                                       

                       SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
                               Senator Jerry Hill, Chair
                               2013-2014 Regular Session
                                            
           BILL NO:    SB 11
           AUTHOR:     Pavley
           AMENDED:    As Introduced
           FISCAL:     Yes               HEARING DATE:   April 3, 2013
           URGENCY:    Yes               CONSULTANT:      Rebecca Newhouse
            
           SUBJECT  :    ALTERNATIVE FUELS

            SUMMARY  :    
           
            Existing law  :

           1) Authorizes local air district boards to adopt a $2 surcharge  
              on vehicle registration, subject to certain requirements, to  
              be used to implement emission reduction programs from  
              vehicular sources or off-road engines, including for projects  
              eligible under the Carl Moyer Program, and other specified  
              projects until January 1, 2015 (Health and Safety Code  
              §§41081 & 44225). 

           2) Under the California Alternative and Renewable Fuel, Vehicle  
              Technology, Clean Air, and Carbon Reduction Act of 2007 (HSC  
              §43865 et seq.), requires the State Energy Resources  
              Conservation and  Development Commission (CEC) to implement  
              the Alternative and Renewable Fuels and Vehicle Technology  
              Program (ARFVTP) to provide funding measures to specified  
              entities to develop and deploy technologies and alternative  
              and renewable fuels in the marketplace, without adopting any  
              one preferred fuel or technology, to help attain the state's  
              climate change policies.  The CEC is required to develop an  
              investment plan for the program in consultation with an  
              advisory committee, pursuant to specified requirements. An  
              evaluation of the efforts funded by the ARFVTP that includes  
              research, development, and deployment efforts funded by this  
              program is required every two years, beginning in 2011. 

           3) Creates the Air Quality Improvement Program (AQIP), to be  
              administered by the California Air Resources Board (ARB) in  
              consultation with local air districts, to fund air quality  









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              improvement projects (HSC §44274). 

           4) Creates the Enhanced Fleet Modernization Subaccount to  
              implement an Enhanced Fleet Modernization program (EFMP)  
              developed by ARB, in consultation with the Bureau of  
              Automotive Repair, to commence on January 1, 2010, that  
              allows for the voluntary retirement of high polluting  
              passenger vehicles and light-duty and medium-duty trucks (HSC  
              §44125).

           5) Requires that ARB, no later than July 1, 2008, develop  
              regulations to apply following a year after a 12-month period  
              where the hydrogen fuel dispensed in California for  
              transportation purposes exceeds 3,500 metric tons. The  
              regulations are required to ensure the following (HSC §43868  
              et seq.):

              a)    That the hydrogen produced or dispensed in state be  
                 made from at least 33% renewable resources, as defined, on  
                 a statewide basis;

              b)    That "well-to-wheels" greenhouse gas (GHG) emissions  
                 for an average hydrogen powered car in state are at least  
                 30% less than an average new gasoline-powered vehicle's  
                 GHG emissions;

              c)    That "well-to-tank" emissions of nitrogen oxides (NOx)  
                 and reactive organic gases are at least 50% lower for all  
                 hydrogen fuel dispensed in state than for the average  
                 motor gasoline sold in state on an energy equivalent  
                 basis. 

              d)    That "well-to-tank" emissions of relevant toxic air  
                 contaminants from hydrogen fuel produced or dispensed in  
                 California be reduced to the maximum extent feasible at  
                 each site when compared to well-to-tank emissions of toxic  
                 air contaminants of the average motor gasoline fuel on an  
                 energy equivalent basis.

           6) Under the California Global Warming Solutions Act of 2006,  
              requires the ARB to determine the 1990 statewide greenhouse  
              gas (GHG) emissions level and approve a statewide GHG  
              emissions limit that is equivalent to that level, to be  









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              achieved by 2020, and sets various requirements to meet this  
              requirement (HSC §38500 et seq.). 

           7) Under the Alternative Fuels Law (HSC §38500 et seq.),  
              requires the CEC, in partnership with the ARB, and in  
              consultation with specified state agencies, to develop and  
              adopt a state plan to increase the use of alternative fuels  
              on or before June 30, 2007. 

           8) Requires the CEC to adopt and transmit an Integrated Energy  
              Policy Report (IEPR) every two years on trends and issues  
              (Public Resources Code §25300).

           9) Establishes the Carl Moyer Program, administered by ARB, to  
              fund the incremental cost of cleaner-than-required vehicles,  
              engines, and equipment and authorizes the funding of projects  
              reducing NOx, particulate matter (PM) and reactive organic  
              gasses emissions under the Carl Moyer Program until January  
              1, 2015, after which date, only the reduction of NOx emission  
              reduction projects will be eligible for funding (HSC §44275).  


           10)Establishes certain vehicle and vessel related surcharges and  
              fees, until January 1, 2016, including an $8 fee increase in  
              smog abatement, a $3 fee increase in the annual vehicle  
              registration fee, a $5 fee increase for special  
              identification plates, and a $10-20 fee increase for vessel  
              registration, to fund the AQIP and the ARFVT and EFM programs  
              (HSC §44060.5 and Vehicle Code §§9250.1, 9261.1, & 9853.6).

           11)Establishes the California Tire Recycling Fee, which imposes  
              a $1.75 surcharge on new tires, where $1 is directed to the  
              Department of Resources Recycling and Recovery (DRRR), and  
              $0.75 is directed to the Air Pollution Control Fund to be  
              allocated by the ARB to local air districts for programs and  
              projects that mitigate mobile source air pollution, until  
              January 1, 2015, at which point the tire fee is reduced to  
              $0.75 and retained by DRRR (PRC §42885).

            This bill  :  

            1) Extends the authorization for local air district boards to  
              adopt a two-dollar surcharge on vehicle registration, to be  









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              used to implement emission reduction programs from vehicular  
              sources or off-road engines, until January 1, 2024. 

            2) Defines "publicly owned hydrogen fueling station" to mean  
              equipment used to store and dispense hydrogen fuel to  
              vehicles according to industry codes and standards that is  
              open to the public.

            3) Prohibits the ARB from enforcing any element of its existing  
              clean fuels outlet regulation or of any regulation that  
              requires that any person construct, operate or provide  
              funding for the construction or operation of any publicly  
              available hydrogen fueling station until January 1, 2024.

            4) Requires the ARB to make the number of vehicles that  
              automobile manufacturers project to be sold or leased  
              available to the public. 

            5) Requires the CEC to allocate $20 million each fiscal year  
              from July 1, 2013 through June 30, 2016, and up to $20  
              million for each fiscal year thereafter not to exceed 20% of  
              the funds from the ARFVT Fund, until January 1, 2024, for  
              purposes of achieving a hydrogen fueling network sufficient  
              to provide convenient fueling to vehicles owners, and expand  
              that network as necessary to support a growing market for  
              fuel-cell vehicles, until there are at least 100 publically  
              available hydrogen fuel stations.

            6) Authorizes the CEC to defer allocation of the money  
              described above for purposes of matching fuel station number  
              to vehicle fueling needs.

            7) Authorizes the CEC, in consultation with the ARB, to  
              discontinue funding for hydrogen fueling stations if they  
              establish that the private sector is establishing public  
              hydrogen fueling stations without need for government  
              support.  
            
            8) Requires the CEC and ARB, on or before December 31, 2015,  
              and annually thereafter, to jointly review and report on  
              progress toward establishing a hydrogen fueling network that  
              provides coverage and capacity to fuel cell vehicles in the  
              state.  The CEC and ARB are required, at a minimum, to  









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              consider the following:

              a)    The available plans of automobile manufacturers to  
                 deploy fuel cell vehicles in California and their progress  
                 toward achieving those plans;

              b)    The rate of hydrogen fuel cell deployment;

           c) The length of time required to permit and construct hydrogen  
              fueling 
                   stations;

           d) The coverage and capacity of the existing hydrogen fueling  
              station 
                   network; and 

           e) The amount and timing of growth in the fueling network to  
              ensure fuel is 
                   available to these vehicles.
            
            9) Authorizes the CEC to design grants, loan incentive programs  
              and other forms of financial assistance to assist in  
              deployment of hydrogen fueling infrastructure as rapidly as  
              possible.

            10)Specifies that the funds appropriated for hydrogen  
              infrastructure shall be available for encumbrance by the  
              commission for up to four years from the date of  
              appropriation and available for liquidation up to four years  
              after the encumbrance expiration.

            11)Requires the ARB, in consultation with air districts, to  
              convene working groups to evaluate the policies and goals of  
              the Carl Moyer Program, no later than 
              July 1, 2013.

            12)Directs ARB and CEC to update the economic analysis used to  
              develop and review ARB's regulations to include a range of  
              petroleum and alternative fuel prices to more accurately  
              assess the future costs of petroleum-based and alternative  
              fuels by November 1, 2014.  

            13)Beginning November 1, 2015, and every two years thereafter,  









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              requires CEC, in consultation with ARB and as a part of its  
              IEPR, to provide a status of the state's alternative  
              transportation fuel use, including:  

              a) An evaluation of how new and existing investment programs  
              could help to 
                  increase the state's alternative fuels use; and, 

              b) An evaluation of how federal fuel policies and existing  
              state policies will  
                  help increase the use of alternative fuels in the state.   


            14)Requires ARB, when developing new and amended regulations,  
              to include a finding on the effect of the proposed  
              regulations on the state's alternative transportation fuels  
              use.  

            15)Provides that this bill does not preempt AB 32 and that the  
              bill be implemented consistent with environmental, public  
              health, and sustainability considerations articulated in AB  
              32, clean fuels and vehicle funding statutes.  

            16)Requires ARB and CEC, when studying the state's alternative  
              transportation fuel use, to measure:  

                a) In-state job creation through the continued development  
              of an alternative 
                    fuels industry in the state;  

                b) Economic vulnerability of residents to future petroleum  
              fuel price spikes 
                    by the use of either petroleum fuels or alternative  
              fuels and vehicles;

                c) Alternative fuel market penetration in nonattainment  
              areas; and,  

                d) Increase access to the supply of alternative fuels and  
              alternative fuel 
                    vehicles for all residents, including barriers to  
              supply.










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           17) Extends the authorization to fund projects reducing NOx, PM  
           and reactive 
                  organic gasses under the Carl Moyer Program, until  
           January 1, 2024.

           18) Extends the sunset date of various vehicle and  
           vessel-related fees, including an 
                 $8 fee increase in smog abatement, a $3 fee increase in  
           the annual vehicle 
                 registration fee, a $5 fee increase for special  
           identification plates, and a $10 fee 
                 increase for vessel registration, to fund the ARFVT, AQIP  
           and EFM programs, 
                 until January 1, 2024.

           19) Extends the sunset date of the $0.75 fee increase on tire  
           sales to fund the Carl
                 Moyer Program, until January 1, 2024.

            COMMENTS  :

            1) Purpose of Bill  .  The author notes that in order to address  
              major health and environmental risks, stringent air quality  
              and climate requirements, and chronic under-investments in  
              clean transportation solutions, SB 11 provides incentives  
              that address two overarching challenges, including the legacy  
              mobile source fleet and the acceleration of next-generation  
              technologies.  According to the author, the former will  
              reduce near-term particulate pollution and NOx by  
              accelerating the turnover of older, dirtier vehicles and  
              off-road engines; provide assistance for on- and off-road  
              users to upgrade equipment prior to regulatory requirements  
              and help prevent the loss of federal highway funds by  
              accelerating progress toward meeting state and federal air  
              quality health standards.  The author states that  
              accelerating next-generation technologies will reduce the  
              cost of clean, next-generation cars and trucks through  
              research and development as well as direct purchase  
              incentives; help meet AB 32, zero-emission vehicle mandates,  
              and clean air goals; ensure widespread availability of  
              alternative fuels by providing infrastructure for hydrogen,  
              electricity, natural gas, biofuels, and other clean fuels  
              which move us towards clean air and energy independence;  









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              facilitate roll-out of zero-emission hydrogen fuel cell  
              electric vehicles which are crucial to achieving California's  
              long-term air quality and climate goals and expand  
              California's manufacturing capacity for advanced technology  
              vehicles, fuels, and components, providing in-state jobs.

            2) Background  . 

               AB 118  : AB 118 (Núñez), Chapter 750, Statutes of 2007,  
              created the ARFVT program, AQIP and the EFMP. AB 118  
              provides, upon appropriation by the Legislature,  
              approximately $180 million annually until 2016 for these  
              programs.  These funds primarily come from additional fees on  
              vehicle registrations and vessel registrations.  The  
              extension of the vehicle registration fees, trailer fees,  
              tire fees, and boat registration fees in this bill will  
              result in approximately $180 million per year for an  
              additional eight years for the AB 118 programs. 

               Carl Moyer Program/AB 923  : AB 1571 (Villaraigosa), Chapter  
              923, Statutes of 1999, established the Carl Moyer Memorial  
              Air Quality Standards Attainment Program through which ARB  
              provides grants to offset the incremental costs of purchasing  
              or retrofitting engines in order to reduce specified air  
              emissions.  The Carl Moyer Program originally received  
              General Fund appropriations. AB 923 (Firebaugh), Chapter 707,  
              Statutes of 2004, expanded the Carl Moyer Program to cover  
              additional pollutants and engines, imposed a 75-cent fee on  
              tire sales to fund the Carl Moyer Program, and authorized  
              local air districts to levy a surcharge on vehicle  
              registrations to fund certain emission reduction programs,  
              including eligible projects under the Carl Moyer Program. The  
              fee for the Carl Moyer Program and the authorization for the  
              surcharge are set to expire on January 1, 2015.   

               Clean Fuels Outlet  .  ARB adopted its Clean Fuels Outlet (CFO)  
              Regulation to provide fueling stations for fuel to meet the  
              needs of those driving clean, alternative fuel vehicles.   
              When it first began work on the regulation in 1990, ARB  
              planned to use it as a tool to provide methanol, ethanol, and  
              compressed natural gas fueling stations once a certain number  
              of vehicles using those fuels were certified in California.   
              Those vehicles were not forthcoming, and ARB last updated the  









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              regulation in 2000.

              In January 2012, ARB considered and passed amendments to the  
              regulation to require major refiners and importers of  
              gasoline to provide alternative fuel fueling stations when  
              the number of vehicles using a particular alternative fuel  
              reaches 10,000 within an air basin or 20,000 statewide with  
              specified adjustments.  Refiners and importers of gasoline  
              would provide these alternative fueling stations in  
              proportion to their market share but would not provide  
              fueling stations for electric vehicles.  This update to the  
              CFO Regulation arose as part of ARB's work to meet  
              California's air quality and greenhouse gas emission  
              reduction goals but has not been finalized by the Office of  
              Administrative Law as required by state law.

               ZEVs  .  ARB's zero emission vehicle (ZEV) regulation requires  
              that by 2025 about 15% of new car sales will be zero emission  
              and requires automakers to produce and sell ZEVs, which  
              include plug-in electric vehicles (PEVs) and fuel cell  
              vehicles (FCVs), in order to achieve this mandate.   
              Automakers may also produce and sell vehicles that are  
              partially zero emission or help transition to ZEVs in order  
              to meet the mandate.  This will ensure that there will be 1.5  
              million ZEVs on the road by 2025 as directed under Governor  
              Brown's Executive Order B-16-2012. 
            
              Hydrogen Highway  .  In 2004, Governor Schwarzenegger signed an  
              executive order calling for the development of the California  
              Hydrogen Highway Blueprint Plan (plan) that would expedite  
              availability of hydrogen fueling stations. The plan outlined  
              a path for 100 hydrogen-fueling stations and 2,000  
              hydrogen-fueled vehicles by 2010, to be followed by two more  
              phases with increased deployment of FCVs and hydrogen fuel  
              stations. As recommended by the plan, the 2005-06 Budget  
              allocated $6.5 million for state-sponsored hydrogen  
              demonstration projects and over $12 million was allocated in  
              two subsequent budgets for the continued development of  
              hydrogen stations.  The CEC has awarded $18.2 million to  
              date, and has $28.6 currently allocated for hydrogen  
              infrastructure, and has $20 million proposed for the  
              2013-2014 draft ARFVTP investment plan.  According to the  
              California Fuel Cell Partnership (CaFCP), there are currently  









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              36 hydrogen-fueling stations, of which, eight are public, 15  
              are private or demonstration, and 13 are in development.  In  
              total, 25 stations received state funding, 14 of which are  
              currently open.  The CaFCP has published a document, the  
              California Road Map, which describes the need for 68 hydrogen  
              stations in state by 2016 to serve the thousands of FCV  
              drivers expected in the early years of commercialization. 

               Environmental impacts of hydrogen  .  An FCV is powered by the  
              reaction of hydrogen and oxygen in a fuel cell to produce  
              electricity and water vapor as the only tail pipe emission.   
              The initial production of hydrogen may be associated with a  
              range of GHG emissions depending on the production pathway.  
              Electrolysis, where electricity is used to split water into  
              oxygen and hydrogen, can produce hydrogen without GHG  
              emissions if renewable electricity is used. Only a small  
              fraction of hydrogen is produced in this manner, however, due  
              to the high costs associated with electrolyzers and renewable  
              energy.  Currently, the most cost effective way to produce  
              hydrogen on a large scale is to react natural gas with water  
              to produce CO2 and hydrogen (termed steam reformation).   
              Ninety-five percent of hydrogen is produced via steam  
              reformation, primarily for industrial and refinery purposes.   
              Estimates of "well-to-wheels" (WTW) GHG emissions for  
              hydrogen produced in this manner reduce GHG emissions by half  
              relative to current conventional gasoline vehicles, due in  
              part to the increased efficiency of fuel cells compared to  
              internal combustion engines.  Steam reformation with  
              biomethane as a feedstock could further decrease WTW GHG  
              emissions for hydrogen production, although current supplies  
              of biomethane available in the state are limited.  New  
              regulations and standards for landfill biomethane, as well as  
              efforts to increase biomethane production in state, pursuant  
              to AB 1900 (Gatto), Chapter 602, Statutes of 2012, may help  
              increase in-state biomethane production. 

              Current law requires the ARB, by July 1, 2008, to develop  
              regulations that would, among other things, require that the  
              hydrogen produced or dispensed in state be made from at least  
              33% renewable resources when dispensed hydrogen exceeds 3500  
              metric tons/year (which translates to roughly 10,000 FCVs).   
              ARB has not yet drafted these regulations and last noticed a  
              workshop for regulation development in 2010. 









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            3) Bundling of sunset extensions  .  SB 11 extends the sunset  
              extensions on several disparate programs.  Extension of  
              several fees for several different programs in a single bill  
              makes legislative oversight of each individual program more  
                                                                       difficult. 

            4) Abrogating the CFO  .  This bill would override the ARB  
              approved amendments to the CFO and prohibit the ARB from  
              adopting a similar regulation for the next 12 years. It is  
              unclear why this action is necessary, since the amendments to  
              the regulation were never finalized and the authority to  
              amend or withdraw them belongs to ARB. In addition to  
              abrogating the CFO regulation, SB 11 prohibits, until 2024,  
              the ARB from requiring "any person construct, operate or  
              provide funding for the construction or operation of publicly  
              available hydrogen fueling stations."

              Amendments to the CFO regulation, like other regulations,  
              required significant stakeholder input at the agency level.  
              Statutorily overriding regulations is the Legislature's  
              prerogative, but undoing the stakeholder process should only  
              be done when the Legislature believes there is adequate  
              justification. 

            5) ARFVTP funded infrastructure  . For infrastructure funded by  
              the CEC's Alternative and Renewable Fuels and Vehicle  
              Technology program, should a fraction of the cost of  
              re-charging or re-fueling be directed to the state to help  
              pay back the initial public investment? 

            6) ARFVTP benefits report  . The December 2011 benefits report  
              evaluated the first few years of funding from the ARFVT  
              program. The report gave a range for estimated petroleum and  
              diesel fuel displacement in years leading up to 2020 based on  
              ARB's ZEV mandate, as well as surveys and feedback from grant  
              awardees and auto manufacturers. The high and low projections  
              are based on a variety of factors including uncertainties in  
              the market, gas prices, extent of future utilization of  
              funded technologies, consumer willingness to switch to  
              alternative vehicles and infrastructure readiness. The report  
              gives a high value for petroleum gallons displaced from FCVs,  
              estimated to number 124,000 by 2020, of 4% of the total  









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              gallons displaced from alternative fuel and vehicle  
              technologies in 2020 (estimated to be 1.184 billion). In  
              contrast, petroleum displaced due to plug-in electric  
              vehicles (PEVs) represents 21% of the total projected  
              petroleum displaced for the high estimate in 2020.  These  
              numbers highlight the fact that FCVs will not result in a  
              significant reduction of GHG emissions in the short run, but  
              instead, will require vehicle market transformation where  
              FCVs represent a large fraction of the vehicle fleet to  
              realize significant GHG reductions.  Although not  
              insurmountable, the requirements for market transformation of  
              FCVs, including creating a hydrogen fueling infrastructure  
              network from scratch, distributing hydrogen fuel at  
              competitive costs to dispersed fueling stations and high  
              initial FCV costs in the early stages of a transition,  
              represent significant challenges, especially considering the  
              limited public funds available and the uncertainty  
              surrounding when the hydrogen market will be self-sustaining  
              and no longer require public subsidy. 

            7) CEC has the authority to allocate money for hydrogen  
              infrastructure  .  Under the ARFVT program administered by the  
              CEC, projects for hydrogen infrastructure can be and have  
              already been awarded, but the author and proponents contend  
              that the provisions requiring $20 million be awarded for  
              hydrogen infrastructure for 3 years and up to $20 million in  
              eight subsequent years are necessary to send a clear signal  
              to auto manufacturers that there is a commitment to hydrogen  
              infrastructure from the state and thus prompt a timely roll  
              out of FCVs from the manufacturers beginning in 2015.  
              However, this mandated allocation for hydrogen infrastructure  
              funds could make the CEC less flexible in responding to  
              changing market demand for hydrogen as well as other  
              alternative fuel and infrastructure technological  
              advancements, especially if there are significant  
              technological leaps in various fields. 

            8) ARFVT program requirements and hydrogen allocation  . SB 11  
              would allocate funds to construct a hydrogen infrastructure  
              from ARFVTP funds, but it is not clearly stated in the bill  
              that these awards would necessarily be subject to the  
              statutory and regulatory requirements of the ARFVT program,  
              including, among other things, life-cycle assessments,  









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              ensuring measurability of air emission reduction and  
              benefits, and the establishment of a competitive process for  
              the allocation of funds.  The committee may wish to suggest  
              that language that unambiguously subjects funds granted for  
              hydrogen infrastructure to the existing ARFVT program  
              requirements be included.

            9) Broad provisions describing infrastructure spending  .  The CEC  
              scores applications for ARFVT program funds based on a number  
              of criteria, including, among other things, qualifications of  
              the applicant team, market viability of the proposal, and  
              economic benefits of the proposed station, given its  
              location, expected performance, innovation and  
              sustainability. However, the bill does not require the CEC to  
              reference or produce an initial plan for constructing a  
              hydrogen fueling network that minimizes public financial  
              resources while maximizing user accessibility, but simply  
              states that hydrogen fueling stations should provide  
              "convenient fueling" and the network be expanded "as  
              necessary," with at least 100 hydrogen fueling stations,  
              although the CEC may defer funding.  SB 11 requires the CEC  
              and the ARB to conduct a thorough review of the progress  
              toward achieving a hydrogen infrastructure network by the end  
              of December 2015, but at this point, $60 million would  
              already be appropriated, with the possibility that much of  
              that allocated funding could already be awarded to  
              recipients. Should there be an outlined strategy for the  
              holistic and integrated placements of hydrogen fueling  
              stations for various early FCV deployment scenarios, before  
              any of the money is awarded to ensure the creation of a  
              publicly subsidized hydrogen fueling network with maximum  
              benefit and usability from the fewest stations and resources  
              necessary? 

            10)Opposition concerns  . The Automobile Club of Southern  
              California objects to fees and taxes imposed on gasoline  
              powered on-road vehicles being used to pay for environmental  
              mitigation stemming from off-road equipment, heavy-duty  
              vehicles and school buses. They also state that usage of fees  
              and taxes appears to violate Article XIX of the California  
              Constitution. The Sierra Club objects to language in SB 11  
              that abrogates the CFO, which they note was publicly vetted  
              over a year ago. They also state that the CFO abrogation sets  









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              a dangerous precedent that undermines the integrity of the  
              rulemaking process at the ARB.  

            11)Suggested Amendments  : 

              a)    The Committee may wish to suggest that the regulation  
                 abrogation language be removed so that the CFO regulation  
                 can be amended or withdrawn with stakeholder input at the  
                 agency level (see Comment #4). 

              b)    The Committee may wish to suggest that the provisions  
                 prescribing how ARFVTP funds are spent on hydrogen be  
                 removed so that the CEC is able to adapt to technological  
                 developments and changing markets for alternative fuels,  
                 including hydrogen, and allocate limited public funds  
                 accordingly (see Comment #7). If the committee does not  
                 wish to remove those provisions, then the committee should  
                 amend the bill to require the CEC to produce or reference  
                 a guiding document for the strategic location of fueling  
                 stations that balances maximum user accessibility and  
                 cost-effectiveness (comment #9).

            12)Technical Amendments  . Per Senate Engrossing and Enrolling,  
              the bill needs to be amended to address several technical  
              errors in existing law.   

            13)Related legislation  . SB 1455 (Kehoe) of 2011 included very  
              similar provisions to SB 11. SB 1455 failed passage on the  
              Senate floor on August 31, 2012 (25-10).

            14)Double Referral to Senate Transportation and Housing  
              Committee  .  If this measure is approved by this committee,  
              the do pass motion must include the action to re-refer the  
              bill to the Senate Transportation and Housing Committee.  
            
            SOURCE  :        American Lung Association, California
                          CALSTART
                          California Air Pollution Control Officer's  
                          Association
            
           SUPPORT  :       Achates Power
                          Aemetis, Inc.
                          Alameda-Contra Costa Transit District









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                          Alliance of Automobile Manufacturers
                          Associated General Contractors 
                          Association of Global Automakers
                          Bay Area Air Quality Management District 
                          BIODICO
                          Bioenergy Association of California
                          Black Business Association
                          Bosch Rexroth Americas
                          California Air Resources Board
                          California Association of Black Pastors
                          California Association of School Transportation  
                     Officials
                          California Association of Winegrape Growers 
                          California Biodiesel Alliance
                          California Citrus Mutual
                          California Cotton Ginners & Growers Association
                          California Council for Environmental and Economic  
                          Balance
                          California Dairies, Inc.
                          California Electric Transportation Coalition 
                          California Energy Commission
                          California Farm Bureau Federation
                          California Grape and Tree Fruit League
                          California Independent Oil Marketers Association
                          California Industry Air Quality Coalition
                          California Manufacturers & Technology Association
                          California Municipal Utilities Association
                          California Natural Gas Vehicle Coalition
                          California Rice Industry Association 
                          California Service Station & Automotive Repair  
                          Association
                          California Small Business Alliance
                          California Thoracic Society
                          California Transit Association
                          California Trucking Association 
                          Carson Black Chamber of Commerce
                          Caterpillar
                          ChargePoint
                          Clean Energy
                          CleanWorld
                          Coalition for Clean Air
                          Coalition of Energy Users
                          CODA Automotive









                                                                 SB 11
                                                                 Page 16

                          Construction Industry Air Quality Coalition        

                          Contra Costa Council 
                          CR&R Incorporated
                          Dow Kokam
                          Eaton Vehicle Group
                          Efficient Drivetrains, Inc.
                          Electric Vehicles International, LLC
                          Environmental Defense Fund 
                          Greater Corona Hispanic Chamber of Commerce
                          Greenkraft, Inc.
                          Harvest Power
                          Honda North America, Inc.
                          Hydrogenics Corporation
                          Kern County Taxpayers Association
                          Kings Canyon Unified Transportation
                          Linde
                          Los Angeles Area Chamber of Commerce
                          Los Angeles County Medical Association
                          Mission Motor Company
                          Moreno Valley Black Chamber of Commerce
                          Motiv Power Systems, Inc.
                          Move LA
                          Napa Valley Unified School District  
                          Transportation
                          Natural Resources Defense Council
                          Nisei Farmers League
                          Odyne Systems, LLC
                          Otto Construction
                          Pacific Ethanol
                          Physicians for Social Responsibility, Sacramento  
                          Chapter
                          Physicians for Social Responsibility, SF-Bay Area  
                          Chapter
                          Propel Fuels
                          Proterra
                          Public Health Institute
                          Quallion
                          Quantum Technologies
                          Regional Asthma Management and Prevention
                          Sacramento Black Chamber of Commerce
                          Sacramento Metropolitan Air Quality Management  
                          District









                                                                 SB 11
                                                                 Page 17

                          San Diego Gas & Electric
                          San Diego Urban Economic Corporation
                          San Francisco County Transportation Authority      
                               
                          San Joaquin Valley Unified Air Pollution Control  
                          District 
                          Sempra Energy utilities
                          Sierra Energy & Sierra Railroad
                          Silicon Valley Leadership Group
                          Slavic American Chamber of Commerce
                          Smith Electric Vehicles
                          South Bay Latino Chamber of Commerce
                          Southern California Gas Company
                          South Coast Air Quality Management District
                          Synergex
                          Technology Partners
                          Tesla Motors
                          The Grant Farm
                          TransPower
                          Total Transportation Services, Inc.
                          United Parcel Service              
                          US Hybrid Corporation
                          Vision Industries Corporation
                          Ventura County Air Pollution Control Board
                          Volvo Group North America
                          Waste Management              
                          Western Agricultural Processors Association
                          Western States Petroleum Association          
                          Yolo-Solano Air Quality Management District,  
                          Board of 
                                              Directors
                          
            OPPOSITION  :    Automobile Club of Southern California 
                          CRM Company of Rancho Dominguez
                          Sierra Club California