BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



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                                 UNFINISHED BUSINESS


          Bill No:  SB 605
          Author:   Lara (D) and Pavley (D)
          Amended:  8/29/14
          Vote:     21


          PRIOR VOTES NOT RELEVANT

           SENATE ENVIRONMENTAL QUALITY COMMITTEE  :  4-2, 8/25/14 
          (Pursuant to Senate Rule 29.10)
          AYES:  Hill, Jackson, Leno, Pavley
          NOES:  Fuller, Gaines

           ASSEMBLY FLOOR  :  Not available


           SUBJECT  :    Short-lived climate pollutants

           SOURCE  :     Author


           DIGEST  :    This bill requires the Air Resources Board (ARB) to  
          complete a comprehensive strategy to reduce emissions of  
          short-lived climate pollutants (SLCPs).

           Assembly Amendments  delete the prior version of this bill  
          relating to the California Global Warming Solutions Act and  
          instead add the current language.

           ANALYSIS  :    

          Existing law requires ARB, pursuant to AB 32, (Núñez, Chapter  
          488, Statutes of 2006):
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          1.Adopts a statewide GHG emissions limit equivalent to 1990  
            levels by 2020 and adopts regulations to achieve maximum  
            technologically feasible and cost-effective GHG emission  
            reductions.

          2.Prepares and approves a scoping plan, on or before January 1,  
            2009 and at once every five years thereafter, for achieving  
            the maximum technologically feasible and cost-effective  
            reductions in GHG emissions from sources or categories of  
            sources of GHGs by 2020. 

          This bill:

          1.Requires ARB to complete the SLCP strategy by January 1, 2016.

          2.States that the requirements of this bill are notwithstanding  
            the 2020 statewide greenhouse gas (GHG) emissions limit  
            required by the California Global Warming Solutions Act of  
            2006 (AB 32, Núñez, Chapter 488).

          3.Requires ARB to:

             A.   Complete an inventory of sources and emissions of SLCPs  
               based on available data.

             B.   Identify research needs to identify any data gaps.

             C.   Identify existing and potential new control measures to  
               reduce emissions.

             D.   Prioritize the development of new measures that offer  
               co-benefits by improving water quality or reducing air  
               pollutants that impact community health and benefit  
               identified disadvantaged communities.

             E.   Coordinate with other state agencies and air districts  
               to develop measures identified as part of the SLCP  
               strategy.

          1.Requires ARB to consult with experts on SLCPs on specified  
            topics.

          2.Requires ARB to hold at least one public workshop during  







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            development of the SLCP strategy.

          3.Defines "short-lived climate pollutant" as an agent that has a  
            relatively short lifetime in the atmosphere and a  
            climate-warming influence that is more potent than carbon  
            dioxide.

          4.Provides that this bill does not affect the existing authority  
            of a state agency to adopt and implement rules and regulations  
            that result in the reduction of GHGs or SLCPs to extent  
            authorized or required by existing law.

           Background

           As part of AB 32's direction that ARB adopt a statewide GHG  
          emissions limit equivalent to 1990 levels by 2020 and adopt  
          regulations to achieve maximum technologically feasible and  
          cost-effective GHG emission reductions, AB 32 requires ARB to  
          prepare and approve a scoping plan at five-year intervals.

          The first AB 32 scoping plan, adopted by ARB in 2008, described  
          the specific measures ARB and others must take to reduce  
          statewide GHG emissions to 1990 levels by 2020.  Pursuant to AB  
          32, the reduction measures identified in the scoping plan had to  
          be proposed, reviewed, and adopted as individual regulations by  
          January 1, 2011, to become operative beginning on January 1,  
          2012.  According to ARB, a total reduction of 80 million metric  
          tons (MMT), or 16% compared to business as usual, is necessary  
          to achieve the 2020 limit.  Approximately 78% of the reductions  
          will be achieved through identified direct regulations.  ARB  
          proposes to achieve the balance of reductions necessary to meet  
          the 2020 limit (approximately 18 MMT) through a cap-and-trade  
          program that covers an estimated 600 entities.

          In May 2014, ARB adopted a scoping plan update.  The scoping  
          plan update discusses the objective of achieving an 80%  
          reduction by 2050 and the need for a midterm target, but does  
          not propose or adopt a specific target.  According to ARB, the  
          update defines ARB's climate change priorities for the next five  
          years and sets the groundwork to reach California's long-term  
          climate goals.  Among its provisions, the update commits ARB to  
          develop a SLCP strategy by 2015 that will include an inventory  
          of sources and emissions, the identification of additional  
          research needs, and a plan for developing SLCP control measures.







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           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

          According to the Assembly Appropriations Committee, minor and  
          absorbable costs.

           SUPPORT  :   (Verified  8/26/14)

          Coalition for Clean Air
          Environmental Defense Fund
          Natural Resources Defense Council
          Sierra Club

           OPPOSITION  :    (Verified  8/26/14)

          Agricultural Energy Consumers Association
          California Chamber of Commerce
          California Cotton Ginners Association 
          California Cotton Growers Association
          California Council for Environmental and Economic Balance
          California Farm Bureau Federation
          California Independent Petroleum Association
          California League of Food Processors
          California Manufacturers and Technology Association
          California Poultry Federation
          Nisei Farmers League
          Western Agricultural Processors Association
          Western Growers Association
          Western States Petroleum Association

           ARGUMENTS IN SUPPORT  :    Supporters of the bill state that SB  
          605 would put a much needed priority on reducing short-lived  
          climate pollutants, which have been scientifically proven to  
          trigger short-term climate warming as well as have negative  
          public health impacts, particularly in low-income communities.

           ARGUMENTS IN OPPOSITION  :    Opponents state that the bill will  
          result in duplicative regulations that will drive up cost with  
          regard to environmental or health benefits, and that SB 605 does  
          not include a requirement that emission reduction strategies  
          maximize cost-effectiveness and technological feasibility, which  
          is an important component needed to ensure that the state gets  
          the biggest bang for the buck when choosing to create new  







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          regulations.  
           


          RM:e  8/29/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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