BILL ANALYSIS Ó
AB 2408
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Date of Hearing: May 11, 2016
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez, Chair
AB
2408 (Eggman) - As Amended April 20, 2016
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Urgency: No State Mandated Local Program: NoReimbursable: No
SUMMARY:
This bill directs allocations from AB 32 cap-and-trade revenues
(Greenhouse Gas Reduction Funds) to maximize the delivery of
integrated projects for households in low-income and
disadvantaged communities. Specifically, this bill:
1)Requires state agencies administering grant programs with
Greenhouse Gas Reduction Funds (GGRF) to update guidelines and
encourage the coordination of grantees by:
a) The use of a single or coordinated application by
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grantees to determine the eligibility of a member of the
public for benefits provided by the regional and
neighborhood programs.
b) The use of a single mechanism by grantees to report to
the granting agencies on the efficacy of their programs, to
the extent feasible.
1)Requires state agencies administering GGRF grant programs to
authorize the use of a percentage of the grant to provide
technical assistance.
2)Requires state agencies administering GGRF grant programs to
prioritize programs that demonstrate one or more of the
following characteristics:
a) Coordination with other programs;
b) The ability to leverage additional public or private
funding;
c) The potential for multiple benefits;
d) The potential for program replication;
e) The use of existing regional infrastructure and
institutions;
f) The inclusion of workforce development programs for
various populations as specified, in low-income or
disadvantaged communities.
FISCAL EFFECT:
1) Unknown cost increases, potentially in the hundreds of
thousands of dollars, for state agencies administering GGRF
grant programs to revise and reprioritize their programs
and coordinate across state government (GGRF). There are
approximately 47 state agencies with GGRF funded programs.
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2) Increased ongoing costs of approximately $380,000 for
the California Air Resources Board (ARB), as the GGRF
administering agency, to coordinate across programs, revise
guidelines, collect data, and evaluate eligibility for
legal consistency (GGRF)
COMMENTS:
1)Purpose. This bill is intended to require state agencies to
develop systems that will allow grant applicants to apply for
multiple grants and assistance programs, from multiple state
agencies, with a single application. This bill additionally
requires state agencies to prioritize projects based on
additional funding options, co-benefits, and other factors.
2)Background. The California Global Warming Solutions Act of
2006 (AB 32). AB 32 requires ARB to adopt a statewide GHG
emissions limit equivalent to 1990 levels by 2020 and adopt
regulations, including market-based compliance mechanisms, to
achieve maximum technologically feasible and cost-effective
GHG emission reductions.
As part of the implementation of AB 32 market-based compliance
measures, ARB adopted a cap-and-trade program that caps the
allowable statewide emissions and provides for the auctioning
of emission credits, the proceeds of which are quarterly
deposited into the GGRF available for appropriation by the
Legislature.
SB 535 (De León), Chapter 830, Statutes of 2012, requires no
less than 10% of cap-and-trade revenues fund projects located
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within disadvantaged communities, and that 25% of available
revenues fund projects that benefit those communities.
3)Environmental Justice. According to the Office of
Environmental Health Hazard Assessment (OEHHA), approximately
8 million Californians (21%) live in zip codes that are
considered "highly impacted" by environmental, public health,
and socioeconomic stressors.
Nearly half of all Californians live within six miles of a
facility that is a significant
GHG emitter and they are disproportionately people of color.
In February of 2014, CalEPA issued an Environmental Justice
Program Update, which included four main areas for future
actions: 1)Increase efforts to eliminate discrimination on
the basis of race, national origin, ethnic group
identification, religion, age, sex, sexual orientation, color,
genetic information, or disability in any program or activity
conducted or funded by the state; 2)Develop guidance to
promote a sound legal framework for CalEPA to advance
environmental justice goals and objectives; 3)Lead an
agency-wide working group dedicated to increase compliance
with environmental laws in communities with relatively higher
environmental burdens; and, 4)Add additional indicators to
CalEnviroScreen to identify disadvantaged communities for the
purpose of GGRF expenditures.
This bill targets a variety of vulnerable populations
including veterans, former foster care recipients,
farmworkers, and at-risk youth living in low-income or
disadvantaged communities.
AB 2408
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Analysis Prepared by:Jennifer Galehouse / APPR. / (916)
319-2081