AB 2145, as introduced, Linder. Vehicle replacement: rebates.
Existing law requires the State Air Resources Board, in consultation with the Bureau of Automotive Repair, to adopt a program, known as the enhanced fleet modernization program, that allows for the voluntary retirement of passenger vehicles and light-duty and medium-duty trucks that are high polluters.
The Charge Ahead California Initiative, administered by the state board, includes goals of, among other things, placing in service at least 1,000,000 zero-emission and near-zero-emission vehicles by January 1, 2023, and increasing access for disadvantaged, low-income, and moderate-income communities and consumers to zero-emission and near-zero-emission vehicles.
Existing law, for the purposes of calculating the vehicle license fee, requires the Department of Motor Vehicles to determine the market value of the vehicle on the basis of the cost price to the purchaser, not including California sales or use tax or any local sales, transactions, use, or other local tax, as specified.
This bill, for the purpose of calculating the vehicle license fee, would authorize the amount of compensation provided to a low-income motor vehicle owner under the enhanced fleet modernization program to be deducted from the motor vehicle’s price, as specified. The bill would require the state board to develop a standardized certificate for issuance to recipients of compensation that states the amount of compensation received, and would require the Department of Motor Vehicles to adjust the motor vehicle’s price accordingly, upon submission of that certificate to the department by the vehicle owner.
This bill would also, for the purpose of calculating the vehicle license fee, authorize the amount of a vehicle replacement rebate provided to a low- or moderate-income purchaser under the Charge Ahead California Initiative to be deducted from the motor vehicle’s price, as specified. The bill would require the state board to develop a standardized certificate for issuance to low- or moderate-income rebate recipients that states the amount of the rebate received, and would require the Department of Motor Vehicles to adjust the motor vehicle’s price accordingly, upon submission of that certificate to the department by the vehicle owner.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 44125 of the Health and Safety Code is
2amended to read:
(a) No later than July 1, 2009, the state board, in
4consultation with the bureau, shall adopt a program to commence
5on January 1, 2010, that allows for the voluntary retirement of
6passenger vehicles and light-duty and medium-duty trucks that are
7high polluters. The program shall be administered by the bureau
8pursuant to guidelines adopted by the state board.
9(b) No later than June 30, 2015, the state board, in consultation
10with the bureau, shall update the program established pursuant to
11subdivision (a). The program shall continue to be administered by
12the bureau pursuant to guidelines updated and adopted by the state
14(c) The guidelines shall ensure all of the following:
15(1) Vehicles retired pursuant to the program are permanently
16removed from operation and retired at a dismantler under contract
17with the bureau.
18(2) Districts retain their authority to administer vehicle
19retirement programs otherwise authorized
begin delete underend delete law.
P3 1(3) The program is available for high polluting passenger
2vehicles and light-duty and medium-duty trucks that have been
3continuously registered in California for two years prior to
4acceptance into the program or otherwise proven to have been
5driven primarily in California for the last two years and have not
6been registered in another state or country in the last two years.
7The guidelines may require a vehicle to take, complete, or pass a
8smog check inspection.
9(4) The program is focused where the greatest air quality impact
10can be identified.
11(5) (A) Compensation for retired vehicles shall be at least one
12thousand five hundred dollars ($1,500) for a low-income motor
13vehicle owner, as defined in Section 44062.1, and
begin delete noend delete more
14than one thousand dollars ($1,000) for all other motor vehicle
16(B) Replacement or a mobility option may be an option for all
17motor vehicle owners and may be in addition to compensation for
18vehicles retired pursuant to subparagraph (A). For low-income
19motor vehicle owners, as defined in Section 44062.1, compensation
20toward a replacement vehicle or mobility option shall be no less
21than two thousand five hundred dollars ($2,500). Compensation
22toward a replacement vehicle for all other motor vehicle owners
23shall not exceed compensation for low-income motor vehicle
25(C) Compensation for either retired or replacement vehicles or
26a mobility option for low-income motor vehicle owners may be
27increased as necessary to maximize the air quality benefits of the
28program while also ensuring participation by low-income motor
29vehicle owners, as defined in Section 44062.1. Increases in
30compensation amounts may be based on factors, including, but
31not limited to, the age of the retired or replaced vehicle, the
32emissions benefits of the retired or replaced vehicle, the emissions
33impact of any replacement vehicle, participation by low-income
34motor vehicle owners, as defined in Section 44062.1, and the
35location of the vehicle in an area of the state with the poorest air
37(6) Cost-effectiveness and impacts on disadvantaged and
38low-income populations are considered. Program eligibility may
39be limited on the basis of income to ensure the program adequately
40serves persons of low or moderate income.
P4 1(7) Provisions that coordinate the vehicle retirement and
2replacement and mobility option components of the program with
3the vehicle retirement component of the bureau’s Consumer
4Assistance Program, established pursuant to other provisions of
5this chapter, to ensure vehicle owners participate in the appropriate
6program to maximize emissions reductions.
7(8) Streamlined administration to simplify participation while
8protecting the accountability of moneys spent.
9(9) Specific steps to ensure the vehicle replacement and mobility
10option component of the program is available in areas designated
11as federal extreme nonattainment.
12(10) A requirement that vehicles eligible for retirement have
13sufficient remaining life. Demonstration of sufficient remaining
14life may include proof of current registration, passing a recent
15smog check inspection, or passing another test similar to a smog
17(d) When updating the guidelines to the program established
18pursuant to subdivision (a), the state board shall study and consider
19all the following elements:
20(1) Methods of financial assistance other than vouchers.
21(2) An option for automobile dealerships or other
used car sellers
22to accept cars for retirement, provided the cars are dismantled
23consistent with the requirements of the program.
24(3) An incentive structure with varied incentive amounts to
25maximize program participation and cost-effective emissions
27(4) Increased emphasis on the replacement of high polluters
28with cleaner vehicles or the increased use of public transit and car
29sharing that results in the increased utilization of the vehicle
30replacement and mobility option component of the program.
31(5) Increased emphasis on the reduction of greenhouse gas
32emissions through increased vehicle efficiency or transit and car
33sharing use as a result of the program.
34(6) Increased partnerships and outreach with community-based
7 For purposes of this section, the following terms have the
9(1) “Car sharing” has the same definition as in Section 44258.
10(2) “Mobility option” means a voucher for public transit or car
Section 44258.4 of the Health and Safety Code is
13amended to read:
(a) Any moneys utilized
begin delete by this actend delete from the Greenhouse Gas Reduction Fund, established
16pursuant to Section 16428.8 of the Government Code, shall be
17consistent with the appropriations processes and criteria established
18by the Greenhouse Gas Reduction Fund Investment Plan and
19Communities Revitalization Act (Chapter 4.1 (commencing with
20Section 39710) of Part 2).
21(b) The Charge Ahead California Initiative is hereby established
22and shall be administered by the state board. The goals of this
23initiative are to place in service at least 1,000,000 zero-emission
24and near-zero-emission vehicles by January 1, 2023, to establish
25a self-sustaining California market for zero-emission and
26near-zero-emission vehicles in which zero-emission and
27near-zero-emission vehicles are a viable mainstream option for
28individual vehicle purchasers, businesses, and public fleets, to
29increase access for disadvantaged, low-income, and
30moderate-income communities and consumers to zero-emission
31and near-zero-emission vehicles, and to increase the placement of
32those vehicles in those communities and with those consumers to
33enhance the air quality, lower greenhouse gases, and promote
34overall benefits for those communities and consumers.
35(c) The state board, in consultation with the State Energy
36Resources Conservation and Development Commission, districts,
37and the public, shall do all of the following:
38(1) (A) Include, commencing
with the Air Quality Improvement
39Program funding plan for the 2016-17 fiscal year, a funding plan
40that includes the immediate fiscal year and a forecast of estimated
P6 1funding needs for the subsequent two fiscal years commensurate
2with meeting the goals of this chapter. Funding needs may be
3described as a range that identifies the projected high and low
4funding levels needed for the two-year forecast period to contribute
5to technology advancement, market readiness, and consumer
6acceptance of zero- and near-zero-emission vehicle technologies.
7The funding plan shall include a market and technology assessment
8for each funded zero- and near-zero-emission vehicle technology
9to inform the appropriate funding level, incentive type, and
10incentive amount. The forecast shall include an assessment of
11when a self-sustaining market is expected and how existing
12incentives may be modified to recognize expected changes in future
included in the forecast may include, but are not
15limited to, any of the following:
16(i) The Clean Vehicle Rebate Project, established pursuant to
18(ii) Light-duty zero-emission and near-zero-emission vehicle
19deployment projects eligible under the Alternative and Renewable
20Fuel and Vehicle Technology Program, established pursuant to
21Article 2 (commencing with Section 44272) of Chapter 8.9.
22(iii) Programs adopted pursuant to paragraph (4).
23(2) Update the plan required pursuant to paragraph (1) at least
24every three years through January 1, 2023.
25(3) No later than June 30, 2015, adopt revisions to the criteria
26and other requirements for the Clean Vehicle Rebate Project,
27 established pursuant to Section 44274, to ensure the following:
28(A) Rebate levels can be phased down in increments based on
29cumulative sales levels as determined by the state board.
30(B) Eligibility is limited based on income.
3(C) Consideration of the conversion to prequalification and
4point-of-sale rebates or other methods to increase participation
6(4) (A) Establish programs that further increase access to and
7direct benefits for disadvantaged, low-income, and
8moderate-income communities and consumers from electric
9transportation, including, but not limited to, any of the following:
10(i) Financing mechanisms,
including, but not limited to, a loan
11or loan-loss reserve credit enhancement program to increase
12consumer access to zero-emission and near-zero-emission vehicle
13financing and leasing options that can help lower expenditures on
14transportation and prequalification or point-of-sale rebates or other
15methods to increase participation rates among low- and
17(ii) Car sharing programs that serve disadvantaged communities
18and utilize zero-emission and near-zero-emission vehicles.
19(iii) Deployment of charging infrastructure in multiunit
20dwellings in disadvantaged communities to remove barriers to
21zero-emission and near-zero-emission vehicle adoption by those
22who do not live in detached homes. This clause does not preclude
23the Public Utilities Commission from acting within the scope of
25(iv) Additional incentives for zero-emission, near-zero-emission,
26or high-efficiency replacement vehicles or a mobility option
27available to participants in the enhanced fleet modernization
28program, established pursuant to Article 11 (commencing with
29Section 44125) of Chapter 5.
30(B) Programs implemented pursuant to this paragraph shall
31provide adequate outreach to disadvantaged, low-income, and
32moderate-income communities and consumers, including partnering
33with community-based organizations.