BILL NUMBER: SB 726	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MAY 24, 2013
	AMENDED IN SENATE  APRIL 8, 2013

INTRODUCED BY   Senator Lara

                        FEBRUARY 22, 2013

   An act to amend Section 12894 of the Government Code, relating to
greenhouse gases.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 726, as amended, Lara. California Global Warming Solutions Act
of 2006: Western Climate Initiative, Incorporated.
   (1) The California Global Warming Solutions Act of 2006 designates
the State Air Resources Board as the state agency charged with
monitoring and regulating sources of emissions of greenhouse gases.
The state board is required to adopt a statewide greenhouse gas
emissions limit equivalent to the statewide greenhouse gas emissions
level in 1990 to be achieved by 2020, and to adopt rules and
regulations in an open public process to achieve the maximum,
technologically feasible, and cost-effective greenhouse gas emissions
reductions. Existing law also imposes conditions on the Western
Climate Initiative, Incorporated, a nongovernmental entity created to
assist the state board in the implementation of the act. Existing
law specifies who may serve as part of the California membership of
the board of directors of the Western Climate Initiative,
Incorporated.
   This bill, commencing January 1, 2014, would  require
  prohibit the state board from entering into any
contract or revising any existing contract with  the Western
Climate Initiative, Incorporated,  to cease all work on
behalf of the state  until the non-ex officio California
membership of the board of directors of the Western Climate
Initiative, Incorporated, is confirmed by the Senate. The bill,
commencing January 1, 2014, would require the state board to include
information on all proposed expenditures and allocations of moneys to
the Western Climate Initiative, Incorporated, in the Governor's
Budget. The bill would require the Western Climate Initiative,
Incorporated, to annually submit a specified report to the Governor
and the Legislature.
   (2) The Bagley-Keene Open Meeting Act generally requires that all
meetings of a state body be open and public. Existing law exempts the
Western Climate Initiative, Incorporated, and its appointees from
the Bagley-Keene Open Meeting Act when performing their duties.
   This bill would repeal that exemption and instead subject the
Western Climate Initiative, Incorporated, and its appointees to the
Bagley-Keene Open Meeting Act when performing their duties.
   (3) The California Public Records Act requires state and local
agencies to make public records available for inspection by the
public, subject to specified criteria, and with specified exceptions.

   This bill would require the Western Climate Initiative,
Incorporated, and its appointees to be subject to the California
Public Records Act when performing their duties.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 12894 of the Government Code is amended to
read:
   12894.  (a) (1) The Legislature finds and declares that the
establishment of nongovernmental entities, such as the Western
Climate Initiative, Incorporated, and linkages with other states and
countries by the State Air Resources Board or other state agencies
for the purposes of implementing Division 25.5 (commencing with
Section 38500) of the Health and Safety Code, should be done
transparently and should be independently reviewed by the Attorney
General for consistency with all applicable laws.
   (2) The purpose of this section is to establish new oversight and
transparency over any such linkages and related activities undertaken
in relation to Division 25.5 (commencing with Section 38500) of the
Health and Safety Code by the executive agencies in order to ensure
consistency with applicable laws.
   (b) (1) The California membership of the Board of Directors of the
Western Climate Initiative, Incorporated, shall be modified as
follows:
   (A) One appointee or his or her designee who shall serve as an ex
officio nonvoting member shall be appointed by the Senate Committee
on Rules.
   (B) One appointee or his or her designee who shall serve as an ex
officio nonvoting member shall be appointed by the Speaker of the
Assembly.
   (C) The Chairperson of the State Air Resources Board or her or his
designee.
   (D) The Secretary for Environmental Protection or his or her
designee.
   (2) Commencing January 1, 2014,  the State Air Resources Board
shall not enter into any contract or revise any existing contract
with  the Western Climate Initiative, Incorporated, 
shall cease all work on behalf of the state  until the
non-ex officio California membership of the Board of Directors of the
Western Climate Initiative, Incorporated, is confirmed by the
Senate.
   (c) The State Air Resources Board shall provide notice to the
Joint Legislative Budget Committee, consistent with that required for
Department of Finance augmentation or reduction authorizations
pursuant to subdivision (e) of Section 28.00 of the annual Budget
Act, of any funds over one hundred fifty thousand dollars ($150,000)
provided to the Western Climate Initiative, Incorporated, or its
derivatives or subcontractors no later than 30 days prior to transfer
or expenditure of these funds.
   (d) (1) The Chairperson of the State Air Resources Board and the
Secretary for Environmental Protection, as the California voting
representatives on the Western Climate Initiative, Incorporated,
shall report every six months to the Joint Legislative Budget
Committee on any actions proposed by the Western Climate Initiative,
Incorporated, that affect California state government or entities
located within the state.
   (2) The Western Climate Initiative, Incorporated, shall annually
submit a report to the Governor and the appropriate committees of the
Legislature that includes all of the following:
   (A) Emissions reductions achieved pursuant to the Western Climate
Initiative.
   (B) General plans to foster relationships with other localities,
states, and nations in order to reduce greenhouse gas emissions in
California.
   (3) A report submitted pursuant to this subdivision shall be
submitted in compliance with Section 9795 of the Government Code.
   (e) For purposes of this section, "link," "linkage," or "linking"
means an action taken by the State Air Resources Board or any other
state agency that will result in acceptance by the State of
California of compliance instruments issued by any other governmental
agency, including any state, province, or country, for purposes of
demonstrating compliance with the market-based compliance mechanism
established pursuant to Division 25.5 (commencing with Section 38500)
of the Health and Safety Code and specified in Sections 95801 to
96022, inclusive, of Title 17 of the California Code of Regulations.
   (f) A state agency, including, but not limited to, the State Air
Resources Board, shall not link a market-based compliance mechanism
established pursuant to Division 25.5 (commencing with Section 38500)
of the Health and Safety Code and specified in Sections 95801 to
96022, inclusive, of Title 17 of the California Code of Regulations
with any other state, province, or country unless the state agency
notifies the Governor that the agency intends to take such action and
the Governor, acting in his or her independent capacity, makes all
of the following findings:
   (1) The jurisdiction with which the state agency proposes to link
has adopted program requirements for greenhouse gas reductions,
including, but not limited to, requirements for offsets, that are
equivalent to or stricter than those required by Division 25.5
(commencing with Section 38500) of the Health and Safety Code.
   (2) Under the proposed linkage, the State of California is able to
enforce Division 25.5 (commencing with Section 38500) of the Health
and Safety Code and related statutes, against any entity subject to
regulation under those statutes, and against any entity located
within the linking jurisdiction to the maximum extent permitted under
the United States and California Constitutions.
   (3) The proposed linkage provides for enforcement of applicable
laws by the state agency or by the linking jurisdiction of program
requirements that are equivalent to or stricter than those required
by Division 25.5 (commencing with Section 38500) of the Health and
Safety Code.
   (4) The proposed linkage and any related participation of the
State of California in the Western Climate Initiative, Incorporated,
shall not impose any significant liability on the state or any state
agency for any failure associated with the linkage.
   (g) The Governor shall issue findings pursuant to subdivision (f)
within 45 days of receiving a notice from a state agency, and shall
provide those findings to the Legislature. The findings shall
consider the advice of the Attorney General. The findings to be
submitted to the Legislature shall not be unreasonably withheld. The
findings shall not be subject to judicial review.
   (h) The Bagley-Keene Open Meeting Act (Article 9 (commencing with
Section 11120) of Chapter 1 of Part 1) and the California Public
Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7
of Title 1) shall apply to the Western Climate Initiative,
Incorporated, and to appointees specified in paragraph (1) of
subdivision (b) when performing their duties under this section.
   (i) Commencing January 1, 2014, the State Air Resources Board
shall include information on all proposed expenditures and
allocations of moneys to the Western Climate Initiative,
Incorporated, in the Governor's Budget.