BILL ANALYSIS                                                                                                                                                                                                    Ó



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          Date of Hearing:  May 11, 2016


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                               Lorena Gonzalez, Chair


          AB  
          2292 (Gordon) - As Amended April 14, 2016


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          |Policy       |Environmental Safety and Toxic |Vote:|6 - 1        |
          |Committee:   |Materials                      |     |             |
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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill requires the Office of Environmental Health Hazzard  
          Assessment (OEHHA), within California Environmental Protection  
          Agency (CalEPA), to update CalEnviroScreen by July 1, 2017, to  
          include additional factors in the identification of  
          disadvantaged communities.  Specifically, this bill requires  
          CalEPA/OEHHA to use the best-available data to include areas of  
          the state disproportionately impacted by:


          1)High poverty rates; 
          2)High rent burden and severe rent burden where households pay  
            more than 50% of their household income in gross rent; 








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          3)High cost of living; and


          4)Any other factors. 





          FISCAL EFFECT:





          To the extent this bill requires OEHHA to revise the  
          CalEnviroScreen update process and outcome currently underway,  
          this bill may increase costs, potentially in the hundreds of  
          thousands of dollars range, or more if the update is finalized  
          prior to the enactment of the bill and needs to be revised to  
          meet its requirements.


          COMMENTS:


          1)Purpose.  According to the author, the methodology used in  
            CalEnviroScreen does not include a number of metrics important  
            to capture poverty and economic disadvantage. Currently,  
            CalEnviroScreen only includes one metric out of 19 to reflect  
            poverty, and does not factor in other important economic  
            factors such as cost of living or rent burden.  This bill will  
            require CalEnviroScreen to include these economic factors when  
            determining what communities are disproportionately burdened  
            by multiple sources of pollution.










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          2)Background.  SB 535 (De León), Chapter 830, Statutes of 2012,  
            requires no less than 10% of cap-and-trade revenues fund  
            projects located within disadvantaged communities (DACs), and  
            that 25% of available revenues fund projects that benefit  
            those communities. 



            To comply with the requirements set forth in SB 535, OEHHA  
            developed CalEnviroScreen (also known as CES 2.0), which uses  
            existing environmental, health, and socioeconomic data to  
            determine the extent to which communities across the state are  
            burdened by and vulnerable to pollution.  

            In October 2014, CalEPA released its list of disadvantaged  
            communities for the purpose of SB 535.  CalEPA relied on  
            CalEnviroScreen to identify the areas disproportionately  
            burdened by and vulnerable to multiple sources of pollution.  
            CalEnviroScreen uses the following metrics to identify the 25%  
            most disadvantaged census tracts:

             a)   Pollution burden indicators: ozone, PM2.5 (particulate  
               matter <2.5 microns), diesel, drinking water, pesticides,  
               toxic releases, traffic, cleanups, groundwater, hazardous  
               waste, impaired waters, and solid waste; and,
             b)   Population characteristics: age, asthma, low birth  
               weight, low education, linguistic isolation, poverty, and  
               unemployment.



            Areas (census tracts) identified as disadvantaged for SB 535's  
            25% investment purposes by CalEnviroScreen include: the  
            majority of the San Joaquin Valley; much of Los Angeles and  
            the Inland Empire; pockets of other communities near ports,  
            freeways, and major industrial facilities such as refineries  
            and power plants; and large swaths of the Coachella Valley,  
            Imperial Valley and Mojave Desert.









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          1)The Office of Environmental Health Hazard Assessment (OEHHA)  
            OEHHA is the scientific adviser within CalEPA and provides the  
            health effects assessments that assist regulatory decision  
            makers within the agency, California Department of Public  
            Health, and other agencies and non-governmental organizations.  
            This includes assessing health and environmental risks from:


             a)Carcinogens


             b)Reproductive toxins


             c)Air pollutants


             d)Pesticides


             e)   Chemical contaminants in food and water


             f)   Chemical exposures in the workplace


             g)Climate change in California


            OEHHA is currently updating CalEnviroScreen to include a new  
            public health indicator and its own indicator on housing  
            affordability.  The revised draft is scheduled to be released  
            in June of this year.

          1)Support and Opposition.  According to supporters including the  
            Bay Area Air Quality Management District (BAAQMD) and others,  
            the current version of the CalEnviroScreen is ill-suited for  
            allocating GGRF funds to DACs. Specifically, the BAAQMD  








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            believes the tool, with its complex multivariate analysis of  
            19 variables, fails to identify as disadvantaged hundreds of  
            Bay Area census tracts that are clearly very disadvantaged in  
            the real world.  The BAAQMD asserts that, "a single variable,  
            even extreme poverty, is heavily watered down by the existing  
            CalEnviroScreen.
            


            Environemental Justice advocates oppose this bill stating it  
            inappropriately substitutes regional preferences in a  
            statewide tool.  Opponents contend that environmental justice  
            is based on the premise that low-income communities and  
            communities of color face a disproportionate share of  
            pollution burden and oppose legislative changes to the  
            CalEnviroScreen tool.





          Analysis Prepared by:Jennifer Galehouse / APPR. / (916)  
          319-2081