SB 32, as amended, Pavley. California Global Warming Solutions Act of 2006.
(1) The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The state board is required to adopt a statewide greenhouse gas emissions limit equivalent to the statewide greenhouse gas emissions level in 1990 to be achieved by 2020 and to adopt rules and regulations in an open public process to achieve the maximum, technologically feasible, and cost-effective greenhouse gas emissions reductions.
This bill would require the state board to approve statewide greenhouse gas emissions
begin delete limits that are theend delete equivalent to 40% below the 1990 level to be achieved by begin delete 2030 and 80% below the 1990 level to be achieved by 2050, as specified. The bill would authorize the state board to approve an interim
greenhouse gas emissions level target to be achieved by 2040.end delete The bill also would state the intent of the Legislature for the Legislature and appropriate agencies to adopt complementary policies that ensure the long-term emissions reductions advance specified criteria.
(2) The California Global Warming Solutions Act of 2006 requires the State Air Resources Board to prepare and approve a scoping plan for achieving the maximum technologically feasible and cost-effective reductions in greenhouse gas emissions and to update the scoping plan at least once every 5 years.
This bill would prohibit the state board from taking any action to implement the next update of the scoping plan until a draft of, and the final version of, the next update to the scoping plan have been submitted to the Joint Legislative Budget Committee and the appropriate policy committees of the Legislature, as specified, before adoption of the updated scoping plan and until the state board has conducted specified evaluations relating to reducing greenhouse gas emissions. The bill would require the Legislature to hold at least one oversight hearing to review that draft and one oversight hearing to review the final version. The bill would require the state board, on or before January 1, 2017, and each year thereafter, to prepare and submit to the Joint Legislative Budget Committee and appropriate policy committees a report relating to achieving the greenhouse gas emissions limits required by the California Global Warming Solutions Act of 2006. The bill would require the Office of Environmental Health Hazard Assessment, on or before July 1, 2017, to prepare and make available to the public and the Legislature a report analyzing the impacts of the greenhouse gas emissions limits adopted by the state board on disadvantaged communities, as specified.
(3) This bill would also make conforming changes and would provide that its provisions are severable.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.
The people of the State of California do enact as follows:
It is the intent of the Legislature that all relevant
2provisions of Division 25.5 (commencing with Section 38500) of
3the Health and Safety Code apply to the sections of this act
4amending sections within Division 25.5 (commencing with Section
538500) of the Health and Safety Code.
Chapter 6 (commencing with Section 12897) is added
7to Part 2.5 of Division 3 of Title 2 of the Government Code, to
(a) The Legislature finds and declares that developing
14regulations and policies by the State Air Resources Board or other
15state agencies for purposes of implementing Division 25.5
16(commencing with Section 38500) of the Health and Safety Code
17should be conducted transparently and in a timely manner to afford
18the Legislature the opportunity to shape and oversee the
19implementation of that division on an ongoing basis.
20(b) The purpose of this chapter is to establish new legislative
21oversight and accountability over any regulations and policies
22undertaken to implement Division 25.5 (commencing with Section
2338500) of the Health and Safety Code.
(a) The State Air Resources Board shall not take any
25action to implement the next update of the scoping plan described
26in Section 38561 of the Health and Safety Code unless all of the
27following have occurred:
28(1) The State Air Resources Board has conducted, with input
29from an independent advisory committee, an evaluation of both
30of the following:
31(A) The current and projected actions other jurisdictions within
32the United States and around the world are taking to reduce
33 greenhouse gas emissions and how those actions compare to and
34complement California’s efforts.
P4 1(B) The cost-effectiveness of the various emissions reduction
2strategies the State Air Resources Board has undertaken to achieve
3the 2020 statewide greenhouse gas emissions limit pursuant to
4Section 38550 of the Health and Safety Code, which shall consider
5the marginal costs of the strategies and associated benefits to the
6health, safety, and welfare of state residents, worker safety, quality
7of life in the state, and the state’s environment.
8(2) A draft of the next update to the scoping plan has been
9submitted to the Joint Legislative Budget Committee and the
10appropriate policy committees of the Legislature.
11(3) The final version of the update to the scoping plan has been
12submitted to the Joint Legislative Budget Committee and the
13appropriate policy committees of the Legislature at least 60 days
14before approval of the updated scoping plan.
15(b) The Legislature shall hold at least one oversight hearing to
16review the draft of the next update to the scoping plan and at least
17one oversight hearing to review the final version of the update to
18the scoping plan before approval.
19(c) After holding the oversight hearings required pursuant to
20subdivision (b), the Legislature may act to modify, reject, or delay
21some or all of the scoping plan before its approval.
22(d) On or before January 1, 2017, and each year thereafter, the
23State Air Resources Board shall prepare and submit to the Joint
24Legislative Budget Committee and appropriate policy committees
25a report that contains both of the following:
26(1) A detailed list of regulatory policies that have been adopted
27and implemented by a state agency in furtherance of achieving the
28greenhouse gas emissions limits adopted by the State Air Resources
29Board pursuant to Division 25.5 (commencing with Section 38500)
30of the Health and Safety Code.
31(2) The amounts, sources, and locations of greenhouse gas
32emissions reductions achieved toward the statewide emissions
33limit, as defined in Section 38505 of the Health and Safety Code.
34(e) On or before July 1, 2017, the Office of Environmental
35Health Hazard Assessment shall prepare a report analyzing the
36impacts of the greenhouse gas emissions limits adopted by the
37State Air Resources Board pursuant to Division 25.5 (commencing
38with Section 38500) of the Health and Safety Code on
39disadvantaged communities and make the report available to the
P5 1public and the Legislature. The report shall include, but shall not
2be limited to, all of the following:
3(1) Tracking and analysis of greenhouse gas emissions, criteria
4air pollutants, and other pollutant emission levels in disadvantaged
6(2) California Global Warming Solutions Act of 2006 (Division
725.5 (commencing with Section 38500) of the Health and Safety
8Code) compliance strategies used for greenhouse gas emissions
9sources in disadvantaged communities.
10(3) Analysis of public health and other relevant environmental
11health exposure indicators related to air pollutants in disadvantaged
13(f) The State Air Resources Board may include relevant reports
14required pursuant to Section 12894 within the report required
15pursuant to subdivision (d).
16(g) Nothing in this section affects in any manner the authority
17or responsibility of the State Air Resources Board or a district, as
18defined in Section 39025 of the Health and Safety Code, under the
19federal Clean Air Act (42 U.S.C. Sec. 7401 et seq.), under Division
2026 (commencing with Section 39000) of the Health and Safety
21Code, or to implement regulations or other measures adopted prior
22to the approval of the next update to the scoping plan.
23(h) It is the intent of the Legislature that this chapter be
24interpreted in a manner that does not violate
begin delete Section 8 ofend delete Article
25IV of the California Constitution.
26(i) The provisions of this chapter are severable. If any provision
27of this chapter or its application is held invalid, that invalidity shall
28not affect other provisions or applications that can be given effect
29without the invalid provision or application.
Section 38505 of the Health and Safety Code is
31amended to read:
For purposes of this division, the following terms have
33the following meanings:
34(a) “Allowance” means an authorization to emit, during a
35specified year, up to one ton of carbon dioxide equivalent.
36(b) “Alternative compliance mechanism” means an action
37undertaken by a greenhouse gas emission source that achieves the
38equivalent reduction of greenhouse gas emissions over the same
39time period as a direct emission reduction, and that is approved
40by the state board. “Alternative compliance mechanism” includes,
P6 1but is not limited to, a flexible compliance schedule, alternative
2control technology, a process change, or a product substitution.
3(c) “Carbon dioxide equivalent” means the amount of carbon
4dioxide by weight that would produce the same global warming
5impact as a given weight of another greenhouse gas, based on the
6best available science, including from the Intergovernmental Panel
7on Climate Change.
8(d) “Cost-effective” or “cost-effectiveness” means the cost per
9unit of reduced emissions of greenhouse gases adjusted for its
10global warming potential.
11(e) “Direct emission reduction” means a greenhouse gas
12emission reduction action made by a greenhouse gas emission
13source at that source.
14(f) “Emissions reduction measure” means programs, measures,
15standards, and alternative compliance mechanisms authorized
16pursuant to this division, applicable to sources or categories of
17sources, that are designed to reduce emissions of greenhouse gases.
18(g) “Greenhouse gas” or “greenhouse gases” includes all of the
20(1) Carbon dioxide.
22(3) Nitrous oxide.
25(6) Sulfur hexafluoride.
26(7) Nitrogen trifluoride.
27(h) “Greenhouse gas emissions limit” means an authorization,
28during a specified year, to emit up to a level of greenhouse gases
29specified by the state board, expressed in tons of carbon dioxide
31(i) “Greenhouse gas emission source” or “source” means any
32source, or category of sources, of greenhouse gas emissions whose
33emissions are at a level of significance, as determined by the state
34board, that its participation in the program established under this
35division will enable the state board to effectively reduce greenhouse
36gas emissions and monitor compliance with the statewide
37greenhouse gas emissions limit.
38(j) “Leakage” means a reduction in emissions of greenhouse
39gases within the state that is offset by an increase in emissions of
40greenhouse gases outside the state.
P7 1(k) “Market-based compliance mechanism” means either of the
3(1) A system of market-based declining annual aggregate
4emissions limitations for sources or categories of sources that emit
6(2) Greenhouse gas emissions exchanges, banking, credits, and
7other transactions, governed by rules and protocols established by
8the state board, that result in the same greenhouse gas emission
9reduction, over the same time period, as direct compliance with a
10greenhouse gas emission limit or emissions reduction measure
11adopted by the state board pursuant to this division.
12(l) “State board” means the State Air Resources Board.
13(m) “Statewide greenhouse gas emissions” means the total
14annual emissions of greenhouse gases in the state, including all
15emissions of greenhouse gases from the generation of electricity
16delivered to and consumed in California, accounting for
17transmission and distribution line losses, whether the electricity
18is generated in state or imported. Statewide emissions shall be
19expressed in tons of carbon dioxide equivalents.
20(n) “Statewide greenhouse gas emissions limit” or “statewide
21emissions limit” means the maximum allowable level of statewide
22greenhouse gas emissions, as determined by the state board
23pursuant to Part 3 (commencing with Section 38550).
Section 38550 of the Health and Safety Code is
25amended to read:
(a) By January 1, 2008, the state board shall, after one
27or more public workshops, with public notice, and an opportunity
28for all interested parties to comment, determine what the statewide
29greenhouse gas emissions level was in 1990, and approve in a
30public hearing, a statewide greenhouse gas emissions limit that is
31equivalent to that level, to be achieved by 2020. In order to ensure
32the most accurate determination feasible, the state board shall
33evaluate the best available scientific, technological, and economic
34information on greenhouse gas emissions to determine the 1990
35level of greenhouse gas emissions.
begin delete(A)end delete begin delete end deleteNotwithstanding
subdivision (a), the state board
37shall approve in a public hearing, based on the best available
38scientific, technological, and economic
begin delete assessments, all of the
3(i) A statewide greenhouse gas emissions limit that is equivalent
4to 40 percent below the 1990 level, as determined pursuant to
5subdivision (a) or Section 39730, to be achieved by 2030.
6(ii) A statewide greenhouse gas emissions limit that is equivalent
7to 80 percent below the 1990 level, as determined pursuant to
8subdivision (a) or Section 39730, to be achieved by 2050.
10 For the purposes of this
begin delete paragraph,end delete a greenhouse
11gas emissions limit shall include short-lived climate pollutants, as
12defined in Chapter 4.2 (commencing with Section 39730) of Part
132 of Division 26.
14(2) The state board also may approve an interim greenhouse
15gas emissions level target to be achieved by 2040 consistent with
17(c) In furtherance of subdivision (b), the state board shall
18consider historic efforts to reduce greenhouse gas emissions and
19objectively seek, and account for, cost-effective actions to reduce
20greenhouse gas emissions across all sectors.
Section 38551 of the Health and Safety Code is
22amended to read:
(a) Each of the statewide greenhouse gas emissions
24limits shall remain in effect unless otherwise amended or repealed.
25(b) It is the intent of the Legislature that the statewide
26greenhouse gas emissions limits established pursuant to Section
2738550 continue in existence and be used to maintain and continue
28reductions in emissions of greenhouse gases.
29(c) The state board shall make recommendations to the Governor
30and the Legislature on how to continue reductions of greenhouse
31gas emissions beyond
begin delete 2050.end delete
32(d) In implementing subdivision (b) of Section 38550, it is the
33intent of the Legislature for the Legislature and appropriate
34agencies to adopt complementary policies that ensure the long-term
35emissions reductions adopted pursuant to subdivision (b) of Section
3638550 advance all of the following:
37(1) Job growth and local economic benefits in California.
38(2) Public health benefits for California residents, particularly
39in disadvantaged communities, that result from direct onsite
40reductions of greenhouse gas emissions.
P9 1(3) Innovation in technology and energy, water, and resource
3(4) Regional and international collaboration to adopt similar
4greenhouse gas emissions reduction policies.
Section 38561 of the Health and Safety Code is
6amended to read:
(a) (1) On or before January 1, 2009, the state board
8shall prepare and approve a scoping plan, as that term is understood
9by the state board, for achieving the maximum technologically
10feasible and cost-effective reductions in greenhouse gas emissions
11from sources or categories of sources of greenhouse gases under
13(2) The state board shall consult with all state agencies with
14jurisdiction over sources of greenhouse gases, including the Public
15Utilities Commission and the State Energy Resources Conservation
16and Development Commission, on all elements of its plan that
17pertain to energy-related matters including, but not limited to,
18electrical generation, load-based standards or requirements, the
19provision of reliable and affordable electrical service, petroleum
20refining, and statewide fuel supplies to ensure the greenhouse gas
21emissions reduction activities to be adopted and implemented by
22the state board are complementary, nonduplicative, and can be
23implemented in an efficient and cost-effective manner.
24(b) The plan shall identify and make recommendations on direct
25emissions reduction measures, alternative compliance mechanisms,
26market-based compliance mechanisms, and potential monetary
27and nonmonetary incentives for sources and categories of sources
28that the state board finds are necessary or desirable to facilitate
29the achievement of the maximum feasible and cost-effective
30reductions of greenhouse gas emissions under this division.
31(c) In making the determinations required by subdivision (b),
32the state board shall consider all relevant information pertaining
33to greenhouse gas emissions reduction programs in other states,
34localities, and nations, including the northeastern states of the
35United States, Canada, and the European Union.
36(d) The state board shall evaluate the total potential costs and
37total potential economic and noneconomic benefits of the plan for
38reducing greenhouse gases to California’s economy, environment,
39and public health, using the best available economic models,
40emission estimation techniques, and other scientific methods.
P10 1(e) In developing its plan, the state board shall take into account
2the relative contribution of each source or source category to
3statewide greenhouse gas emissions, and the potential for adverse
4effects on small businesses, and shall recommend a de minimis
5threshold of greenhouse gas emissions below which emissions
6reduction requirements will not apply.
7(f) In developing its plan, the state board shall identify
8opportunities for emissions reduction measures from all verifiable
9and enforceable voluntary actions, including, but not limited to,
10carbon sequestration projects and best management practices.
11(g) The state board shall conduct a series of public workshops
12to give interested parties an opportunity to comment on the plan.
13The state board shall conduct a portion of these workshops in
14regions of the state that have the most significant exposure to air
15pollutants, including, but not limited to, communities with minority
16populations, communities with low-income populations, or both.
17(h) The state board shall update its plan for achieving the
18maximum technologically feasible and cost-effective reductions
19of greenhouse gas emissions at least once every five years in
20 accordance with Chapter 6 (commencing with Section 12897) of
21Part 2.5 of Division 3 of Title 2 of the Government Code.
Section 38566 is added to the Health and Safety Code,
(a) For purposes of this section, “appropriate public
25entities” includes metropolitan planning organizations, districts,
26as defined in Section 39025, the League of California Cities, the
27California State Association of Counties, local transportation
28agencies, and members of the public, including homebuilders,
29environmental organizations, including environmental justice
30organizations, planning organizations, affordable housing
31organizations, and others.
32(b) The state board, in consultation with appropriate public
33entities, shall ensure that the 2050 greenhouse gas emissions limit
34required pursuant to clause (ii) of subparagraph (A) of paragraph
35(1) of subdivision (b) of Section 38550 is achieved without
36imposing disproportionate greenhouse gas emissions reduction
37requirements on land use and permitting decisions made by lead
38agencies, as defined in Section 21067 of the Public Resources
The provisions of this act are severable. If any
3provision of this act or its application is held invalid, that invalidity
4shall not affect other provisions or applications that can be given
5effect without the invalid provision or application.