BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                     SB 189  


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          Date of Hearing:  August 26, 2015


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                                 Jimmy Gomez, Chair


          SB 189  
          (Hueso) - As Amended August 17, 2015


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          |Policy       |Jobs, Economic Development,    |Vote:|6 - 2        |
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          |             |Natural Resources              |     |6 - 1        |
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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill creates the Clean Energy and Low-Carbon Economic and  
          Jobs Growth Blue Ribbon Committee (Committee) in the Cal EPA  
          Agency to advise state agencies on economic benefits and job  
          growth related to a cleaner, low-carbon economy.  Specifically,  








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          this bill:                                             


          1)Establishes the Committee within CalEPA.  Requires the  
            Committee to consist solely of people with specified expertise  
            comprised of the following  seven members: 


             a)   Five members appointed by the Governor and subject to  
               confirmation by the Senate. At least two members appointed  
               by the Governor are to have experience working on economic  
               projects in disadvantaged communities.


             b)   One member each appointed by the Speaker of the Assembly  
               and the Senate Committee on Rules.


          2)Specifies each member may serve a four-year term; members will  
            not receive per diem or other compensation, but may be  
            reimbursed for travel expenses.  Any member who fails to  
            attend three Committee meetings in one year will be removed  
            from the Committee.  


          3)Requires the Committee to hold its first meeting on or before  
            December 1, 2016, and requires that meetings be held quarterly  
            or at a frequency determined by the Committee.  


          4)Requires the Committee to advise state agencies, develop  
            specified guidance, and provide annual updates to the Governor  
            and Legislature.  Requires the Committee to consult with the  
            Labor Workforce and Workforce Development Agency and the  
            California Workforce Investment board, as appropriate.


          5)Requires CEC, the Public Utilities Commission (PUC), ARB, and  
            any other state agency that has received advice from the  








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            Committee to submit an annual progress report to the Governor  
            and Legislature describing how it implemented or responded to  
            the advice, guidance, and any recommendations provided by the  
            Committee.  Specifies that this report may be combined with  
            any other annual report submitted by the agency.  Sunsets the  
            reporting requirements on January 1, 2021.  


          





          FISCAL EFFECT:


          1)Unknown increased costs, likely in the hundreds of thousands  
            of dollars annually, for CalEPA to house, staff and provide  
            administrative support to the Committee (GF and/or special  
            funds).


          2)Increased costs of up to $175,000 for ARB to coordinate with  
            the Committee on Greenhouse Gas Revenue Fund (AB 32 cap and  
            trade revenue) investments (GGRF).

          3)Unknown costs, potentially in the hundreds of thousands of  
            dollars annually for state agencies to integrate, as  
            appropriate, the Committee's advice, guidance, and  
            recommendations. 

          4)Unknown costs, potentially in the hundreds of thousands of  
            dollars annually for the Labor and Workforce Agency and the  
            California Workforce Investment Board to consult with the  
            Committee.


          5)Unknown minor costs, likely in the $50,000 range per agency  








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            annually, for the CEC, PUC, ARB and any other state agencies  
            receiving advice from the Committee to report to the Governor  
            and Legislature.


          COMMENTS:


          1)Purpose.  According to the author, this bill creates a single  
            independent blue ribbon committee to provide advice to  
            agencies on the most effective ways to maximize California's  
            economic benefits and job creation via actions and investments  
            in a cleaner, low-carbon economy.


          2)Background.  AB 32 (Núñez-Pavley), Chapter 488, Statutes of  
            2006, required ARB to adopt a statewide GHG emissions limit  
            equivalent to 1990 levels by 2020 and adopt regulations to  
            achieve maximum technologically feasible and cost-effective  
            GHG emission reductions.  


            In October 2014, CalEPA released its list of disadvantaged  
            communities based on the California Communities Environmental  
            Health Screening Tool (CalEnviroScreen), a tool that assesses  
            all census tracts in California to identify the areas  
            disproportionately burdened by, and vulnerable to, multiple  
            sources of pollution.  Areas identified as disadvantaged by  
            CalEnviroScreen 2.0 include the majority of the San Joaquin  
            Valley; much of the Los Angeles Area 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.



            In his January 5, 2015 Inaugural Address, Governor Brown  
            announced the following objectives:  1) Increase the amount of  








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            renewable energy used in California from 33% to 50%;  2)  
            Reduce petroleum use in cars and trucks by up to 50%; and, 3)  
            Double the efficiency of existing buildings and make heating  
            fuels cleaner.

          3)Jobs and Economic Development Efforts.  There are a number of  
            entities throughout state government designed to increase  
            workforce and economic development efforts, with a particular  
            emphasis on emerging technology, green jobs, and the green  
            economy including:
            GO-Biz:  GO-Biz serves as California's single point of contact  
            for economic development and job creation efforts.  GO-Biz  
            markets the business and investment opportunities available in  
            California by working in partnership with local, regional,  
            federal, and other state public and private institutions to  
            encourage business development and investment in the state.  



            Commission for Economic Development: The commission,  
            consisting of the Lieutenant Governor as Chairperson, three  
            members appointed by each the Senate Committee on Rules and  
            the Assembly Speaker, and 10 members appointed by the  
            Governor, was established to provide bipartisan legislative,  
            executive branch and private sector support and guidance for  
            the best possible overall economic development of the state.  



            California Workforce Investment Board (CWIB):  CWIB is charged  
            with developing a unified, strategic planning process to  
            coordinate various education, training, and employment  
            programs into an integrated workforce development system that  
            supports economic development.  


            










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            Green Collar Jobs Council (GCJC):  GCJC was created to address  
            the workforce needs that accompany California's growing green  
            economy under the purview of CWIB.  GCJC makes recommendations  
            and creates strategies for comprehensive and effective  
            workforce training opportunities to help prepare California's  
            current and future workforce to meet the skills demanded by  
            businesses supporting the energy efficiency and clean energy  
            sectors.  








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