SB 605, as amended, Lara. California Global Warming Solutions Act of 2006: Greenhouse Gas Reduction Fund and scoping plan.
(1) The California Global Warming Solutions Act of 2006 establishes the State Air Resources Board as the state agency responsible for monitoring and regulating sources emitting greenhouse gases.
The act authorizes the state board to include the use of market-based compliance mechanisms. Existing law requires all moneys, except for fines and penalties, collected by the state board from the auction or sale of allowances as part of a market-based compliance mechanism to be deposited in the Greenhouse Gas Reduction Fund and to be available upon appropriation by the Legislature. Existing law authorizes the Controller to use the moneys in the fund for cash flow loans to the General Fund, as specified. Existing law requires the Department of Finance, in consultation with the state board and any other relevant state agency, to develop, as specified, a 3-year investment plan for the moneys deposited in the Greenhouse Gas Reduction Fund.
This bill, during the 2013-14 fiscal year, would require the Controller to determine the amount of moneys collected and deposited in the fund by the state board. The bill would appropriate a specified amount of those moneysbegin insert that are unencumberedend insert to thebegin delete State Air Resources Boardend deletebegin insert state boardend insert from the fund to be expended consistent with the act on projects and programs that are located within and benefit disadvantaged communities, as specified, thereby making an appropriation.begin insert The
bill would authorize moneys in the fund to be available, upon appropriation by the Legislature, to the state board and administering agencies for administrative purposes related to these provisions.end insert The bill would prohibit moneys in the fund designated for those specified programs and projects to disadvantaged communities from being transferred or loaned to any other fundbegin insert in the 2013-13 fiscal yearend insert.
(2) The California Global Warming Solutions Act of 2006 requires the state board to adopt a statewide greenhouse gas emissions limit, as defined, to be achieved by 2020, equivalent to the statewide greenhouse gas emissions levels in 1990. The act requires the state board to prepare and approve a scoping plan for achieving the maximum technologically feasible and cost-effective reductions in greenhouse gas emissions. The act requires the scoping plan to be updated at least once every 5 years.
This bill would require the state board, when updating the scoping plan, to include specified criteria. The bill would require the state board to submit that specified criteria to the Joint Legislative Budget Committee, as specified. The bill would require the state board, if it has completed an update of the scoping plan prior to January 1, 2014, to further update the scoping plan to meet the criteria and provisions of this bill.
Vote: majority. Appropriation: yes. Fiscal committee: yes. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 16428.8 of the Government Code is
2amended to read:
(a) The Greenhouse Gas Reduction Fund, hereafter
4referred to in this article as the fund, is hereby created as a special
5fund in the State Treasury.
P3 1(b) Except for fines and penalties, all moneys collected by the
2State Air Resources Board from the auction or sale of allowances,
3pursuant to a market-based compliance mechanism established
4pursuant to Division 25.5 (commencing with Section 38500) of
5the Health and Safety Code and specified in Sections 95800 to
696022, inclusive, of Title 17 of the California Code of Regulations,
7shall be deposited in the fund and available for appropriation by
8the Legislature.
9(c) All moneys deposited in the fund shall be appropriated and
10shall be separately identified
in the annual Budget Act. No moneys
11from the General Fund or any other fund shall be deposited in the
12fund.
13(d) Notwithstanding any other law, the Controller may use the
14moneys in the fund for cashflow loans to the General Fund as
15provided in Sections 16310 and 16381.
16(e) Any technical amendments made by the State Air Resources
17Board to the regulations established under Sections 95800 to 96022,
18inclusive, of Title 17 of the California Code of Regulations to
19conform that regulation to this article shall be exempt from the
20provisions of the Administrative Procedure Act (Chapter 3.5
21(commencing with Section 11340) of Part 1 of Division 3) and
22from the review and approval of the Office of Administrative Law.
23(f) (1) During the 2013-14 fiscal year, the month following an
24auction or sale of
allowances, pursuant to a market-based
25compliance mechanism established pursuant to Division 25.5
26(commencing with Section 38500) of the Health and Safety Code
27and specified in Sections 95800 to 96022, inclusive, of Title 17 of
28the California Code of Regulations, the Controller shall determine
29the amount of moneys collected and deposited in the fund by the
30State Air Resources Board.
31(2) Of thebegin insert unencumberedend insert moneys determined by the Controller
32to be in the fund, an amount not to exceed one hundred twenty-five
33million dollars ($125,000,000) for the entire 2013-14 fiscal year
34is hereby appropriated to the State Air Resources Board.
35(3) Subject to paragraph (2) of subdivision (a) of Section 39712
36of the Health and Safety Code, of the moneys appropriated pursuant
37to paragraph (2),
the State Air Resources Board shall expend those
38moneys on a periodic basis on projects and programs that are
39located within and benefit disadvantaged communities, as defined
40in Section 39711 of the Health and Safety Code. Through an
P4 1expedited approval process, the State Air Resources Board shall
2expend those moneys as quickly as feasible but no later than June
330, 2014, in accordance withbegin insert existing programs withinend insert the
4three-year investment plan developed and adopted pursuant to
5Section 39716 of the Health and Safety Code for the 2013-14 to
62015-16 fiscal years, inclusive.
7(4) Upon appropriation by the Legislature, moneys in the fund
8shall be available to the State Air Resources Board and to
9administering agencies for administrative purposes in carrying
10out
this subdivision.
11(5) This subdivision shall not be construed to interfere with
12Chapter 20 of the Statutes of 2013.
13(4)
end delete
14begin insert(6)end insert Notwithstanding subdivision (d),begin insert
unencumberedend insert moneys in
15the fund designated for programs and projects pursuant to
16paragraph (3) shall not be transferred or loaned to any other fund
17begin insert in the 2013-14 fiscal yearend insert.
Section 38561.5 is added to the Health and Safety
19Code, to read:
(a) When updating the scoping plan pursuant to
21subdivision (h) of Section 38561, the state board shall do all of
22the following:
23(1) Prioritize and emphasize measures and actions resulting in
24greenhouse gas emissions reductions that do both of the following:
25(A) Create jobs within the state.
26(B) Reduce copollutants in regions of the state most impacted
27by toxic and criteria air pollutants.
28(2) Prioritize and emphasize current regulations and actions,
29and recommend additional measures and actions that can be
30implemented beginning no later than December
31, 2015, to
31achieve the maximum, technologically feasible, and cost-effective
32reductions in short-lived climate pollutants with high global
33warming potentials.
34(3) Limit the use of offsetsbegin delete, to the maximum extent feasible,end delete to
35those offsets originating and achieved within the state.
36(4) Include a plan that achieves the greenhouse gas emissions
37goals established pursuant to Part 3 (commencing with Section
3838550) to be implemented in the event any regulatory measures
39implemented and adopted by the state board pursuant to this
40division are not projected to result in the greenhouse gas emissions
P5 1reductions necessary to meet the greenhouse emissions goals
2established pursuant to Part 3 (commencing with Section 38550).
3(5) Consider the use
of special funds authorized to be expended
4for the purposes of greenhouse gas emissions reductions, including,
5but not limited to, funds derived from market-based compliance
6mechanisms, the Electric Program Investment Charge Fund created
7by Section 25711 of the Public Resources Code, and the Alternative
8and Renewable Fuel and Vehicle Technology Fund created by
9Section 44273 for emissions reductions from sources within the
10state in furtherance of achieving and maintaining the greenhouse
11gas emissions goals established pursuant to Part 3 (commencing
12with Section 38550).
13(b) The state board shall submit the criteria required pursuant
14to subdivision (a) to the Joint Legislative Budget Committee. If,
15after 30 days of receipt, the Joint Legislative Budget Committee
16has not made a finding on the submitted elements, the updated
17scoping plan shall be deemed concurred.
18(c) If the scoping
plan is updated prior to January 1, 2014,
19pursuant to subdivision (h) of Section 38561, the state board shall
20revise the scoping plan to incorporate the requirements detailed
21in subdivision (a) and shall comply with subdivision (b).
22(d) For purposes of this section, “offset” means a quantified
23unit of greenhouse gas emission that is reduced, avoided, or
24permanently sequestered in a sector not regulated by a
25market-based compliance mechanism adopted by the state board.
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