BILL ANALYSIS Ó
AB 2543
Page 1
ASSEMBLY THIRD READING
AB
2543 (Gordon)
As Introduced February 19, 2016
Majority vote
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|Committee |Votes|Ayes |Noes |
| | | | |
| | | | |
| | | | |
|----------------+-----+----------------------+--------------------|
|Natural |9-0 |Williams, Jones, | |
|Resources | | | |
| | | | |
| | |Cristina Garcia, | |
| | |Gomez, Hadley, | |
| | |Harper, McCarty, | |
| | | | |
| | | | |
| | |Mark Stone, Wood | |
| | | | |
|----------------+-----+----------------------+--------------------|
|Accountability |8-0 |Cristina Garcia, | |
| | |Lackey, Brough, | |
| | |Burke, Frazier, | |
| | |Irwin, Medina, | |
| | |Rodriguez | |
| | | | |
|----------------+-----+----------------------+--------------------|
|Appropriations |20-0 |Gonzalez, Bigelow, | |
| | |Bloom, Bonilla, | |
AB 2543
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| | |Bonta, Calderon, | |
| | |Chang, Daly, Eggman, | |
| | |Gallagher, Eduardo | |
| | |Garcia, Roger | |
| | |Hernández, Holden, | |
| | |Jones, Obernolte, | |
| | |Quirk, Santiago, | |
| | |Wagner, Weber, Wood | |
| | | | |
| | | | |
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SUMMARY: Revises existing energy efficiency planning
requirements for state facilities to give the California Energy
Commission (CEC) lead responsibility, instead of the Department
of General Services (DGS), and adds consideration of water
conservation. Specifically, this bill:
1)Revises the multi-year plan required under existing law to
give CEC lead responsibility, in consultation with DGS.
2)Adds water conservation to the planning requirement.
3)Prohibits the plan from prohibiting, limiting, or superseding
more stringent green building requirements for public
buildings.
4)Excludes from the plan buildings leased by the state, except
those financed through lease-revenue bonds.
5)Requires DGS to consult with CEC when making recommendations
to improve energy efficiency and water efficiency in state
facilities and developing the related report.
AB 2543
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EXISTING LAW:
1)Requires DGS, in consultation with the CEC, to develop a
multi-year plan, to be updated biennially, with the goal of
exploiting all practicable and cost-effective energy
efficiency measures in state facilities.
2)Authorizes the State Public Works Board to develop energy and
water conservation and design efficiency standards for state
buildings.
3)Requires all new state buildings, as well as existing
buildings when renovated or remodeled, to meet energy
efficiency standards adopted by the CEC, and requires DGS or
other responsible state agencies to consider additional energy
efficiency measures that are cost-effective and feasible.
Requires all new public buildings to be models of energy
efficiency - designed, constructed and equipped with all
energy efficiency measures, materials and devices that are
feasible and cost-effective.
FISCAL EFFECT: According to the Assembly Appropriations
Committee, this bill has the following state costs:
1)Increased ongoing costs of $500,000 in contracts and an
estimated $200,000 to $350,000 for three positions at the CEC
(unknown funding source).
The CEC estimates three new technical staff would be required
to: a) prepare the multi-year plans; b) solicit for and
manage contract resources; c) participate in state building
audits; d) identify and evaluate potential energy and water
conservation measures; e) collaborate with all affected state
agencies; f) organize and facilitate public workshops; and g)
track multi-year plan implementations. Contract resources
will be needed to fund state building audits as well as
identification and evaluation of potential energy and water
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conservation measures.
These new responsibilities are not able to be absorbed by
current resources. The CEC basic funding source is ERPA
(Energy Program Resource Account) but it is currently in
deficit, so some other fund would need to be identified to pay
for this bill (General Fund or other special fund).
2)Minimal fiscal impact on DGS, and potential cost savings.
Although the bill shifts responsibility of the report to CEC,
DGS is still required to make recommendations and report
information on energy efficiency measures
COMMENTS: Since at least 1991, state law has required new and
renovated state buildings to meet prevailing energy efficiency
standards and to consider additional measures when
cost-effective and feasible. Over the same period, DGS has been
required to continually update an energy efficiency plan for
state facilities. However, because their capital budgets are
disconnected from their utility budgets, state agencies often
have lacked the incentive and the funds to fully exploit
cost-effective energy efficiency opportunities in building
design and materials.
DGS' most recent report, Biennial Report for Energy Efficiency
in Public Buildings, was submitted to the Legislature July 25,
2013. The report includes progress made on greenhouse gas (GHG)
emissions reductions, energy efficiency, reducing grid-based
energy purchases, demand response programs, on-site renewable
energy goals, building design and construction, existing
buildings, building commissioning, indoor environmental quality,
water efficiency and conservation, electric vehicle charging,
and environmentally preferable purchasing. According to the
report, "the greatest obstacle to implementing energy efficiency
measures is lack of funding. The prolonged economic downturn
has greatly impacted the availability of General Fund
allocations to projects that are critical to the function of
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state programs."
While DGS has oversight over state facilities, CEC has broader
expertise and experience with energy and water efficiency
measures and potential funding sources. This bill would give
CEC a greater role in ensuring that the state is doing as much
as possible to improve energy and water efficiency.
Analysis Prepared by: Elizabeth
MacMillan / NAT. RES. / (916) 319-2092 FN: 0003183