BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 2715


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          Date of Hearing:  May 18, 2016


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                               Lorena Gonzalez, Chair


          AB  
          2715 (Eduardo Garcia) - As Amended May 11, 2016


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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill establishes the Agricultural Working Poor Energy  
          Efficient Housing Program (Program) within the Department of  
          Community Services and Development (CSD).  Specifically, this  
          bill:  








                                                                    AB 2715


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          1)Requires the Program to be used to improve energy efficiency  
            in farmworker housing, including: a) weatherization of homes  
            and other residences; b) replacement of energy inefficient  
            appliances with Energy Star certified appliances; c)  
            replacement of lighting with light emitting diode (LED)  
            lighting; d) installation of photovoltaic solar panels and  
            solar water heating systems; and, e) installation of battery  
            backups. Authorizes CSD to develop requirements, guidelines,  
            and subgrantee contract provisions for the Program. 


          2)Requires CSD to give preference to an association of federally  
            designated farmworker organizations" and other organizations  
            that have a proven track record of assisting farmworkers.  


          3)Requires CSD consult with the Public Utilities Commission  
            (PUC) and the California Energy Commission (CEC) in developing  
            the program in order to avoid duplication.


          4)Requires CSD to post draft guidelines and hold a public  
            hearing, as specified.


          FISCAL EFFECT:


          1)Unknown costs pressures, likely in the $25 to $50 million  
            range, to fund the Program.  This bill does not specify a  
            funding source.


          2)Increased annual costs of approximately $600,000 and five  
            permanent staff to create a unit within CSD to establish and  
            administer the program.









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          3)Unknown, likely absorbable, costs for the PUC and CEC to  
            advise CSD in developing the program to avoid duplicating  
            existing programs.


          COMMENTS:


          1)Purpose.  According to the author, California's 800,000  
            low-income farmworkers cannot afford to reduce their reliance  
            on carbon intensive energy sources.  Without additional  
            resources and assistance, it will be especially difficult for  
            farmworkers, who are very low-income because of seasonal  
            employment and low wages, to make the expensive investments in  
            retrofitting homes for increased energy efficiency,  
            fuel-efficient cars, and other low carbon infrastructure  
            and/or technologies.  This bill provides a program  
            specifically targeted towards making farmworker housing energy  
            efficient.


          2)Background.  CSD partners with a network of private,  
            non-profit and local government community service providers  
            dedicated to helping low-income families achieve and maintain  
            self-sufficiency, meet their home energy needs and reside in  
            housing free from the dangers of lead hazards.


            CSD has received $154 million from the AB 32 cap-and-trade  
            revenues (GGRF) for low-income weatherization programs.   
            According to the author, CSD efforts to reach farmworkers for  
            these programs have not been successful.  While the farmworker  
            population was once characterized by its mobility, today it  
            has become much more stable in the agricultural areas of the  
            state.  Energy consumption in homes owned by farmworkers is  
            often higher than average, because there are generally larger  
            numbers of individuals per household.  According to the  
            National Agricultural Workers Survey conducted by the US  








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            Department of Labor, approximately 15% of California's  
            farmworkers own homes.  


            This bill develops a different program, with an unspecified  
            funding source, that will benefit from the experience and  
            expertise of farmworker organizations to reach this  
            population.


            



            





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