BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                     SB 830


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          Date of Hearing:  August 31, 2016


                            ASSEMBLY COMMITTEE ON BUDGET


                                 Philip Ting, Chair


          SB  
          830 (Committee on Budget and Fiscal Review) - As Amended August  
          30, 2016


          SENATE VOTE:  25-11


          SUBJECT:  CAP AND TRADE


          SUMMARY:  Amends the 2016 Budget Act to appropriate $900 million  
          of Greenhouse Gas Reduction Funds consistent with the 2016 Cap  
          and Trade Plan.  Specifically, this bill:  


             1)   Appropriates $900 million of Greenhouse Gas Reduction  
               Funds for a portfolio of programs: 


                  a.        $135 million for the Transit and Intercity  
                    Rail Capital program, helping fund essential local  
                    capital projects to keep Californians moving by bus  
                    and commuter rail;


                  b.        $10 million for the Active Transportation  
                    Program to fund bicycle and pedestrian programs that  
                    make walking or biking to school and work safer and  
                    easier;








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                  c.        $133 million for a reformed Clean Vehicle  
                    Rebate Project, which help low and middle income  
                    families purchase the newest, cleanest vehicles  
                    available;


                  d.        $150 million for the Heavy Duty and Off-Road  
                    Investments to help develop and pilot cleaner  
                    industrial vehicles, buses, and port equipment with  
                    new low or zero emissions;


                  e.        $80 million for the Enhanced Vehicle Fleet  
                    Modernization program to provide low income families  
                    help in replacing their existing polluting vehicle  
                    with a newer, cleaner vehicle;


                  f.        $140 million for the Transformative Climate  
                    Communities program to allow for a community-wide  
                    approach for disadvantaged communities specified in  
                    statute to implement an integrated transportation,  
                    housing, and green space development plan to reduce  
                    pollution and improve local quality of life;


                  g.        $5 million to reduce black carbon emissions by  
                    supplementing successful local programs to reduce wood  
                    smoke pollution through fireplace, stove, and heater  
                    replacement;


                  h.        $40 million for waste diversion projects for  
                    organic material which fund projects that have a  
                    double environmental benefit of capture greenhouse  
                    gases while also reducing methane emissions;









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                  i.        $7.5 million for the Healthy Soils program, to  
                    establish innovative farming practices that capture  
                    carbon, reduce water use and improve soil health;


                  j.        $50 million for programs that help dairies  
                    reduce emissions and pollution associated with animal  
                    manure;


                  aa.       $7.5 million to continue the successful State  
                    Water Efficiency and Enhancement Program (SWEEP) which  
                    helps replace older inefficient water irrigation and  
                    pumping equipment with new state-of-the-art  
                    replacements that pollute less and save water;


                  bb.       $25 million for the Healthy Forest program,  
                    which preserves existing forests by reducing the  
                    threat of wildfires by reducing fuels, removing dead  
                    trees, and providing long-term protection to forest  
                    land;


                  cc.       $80 million for the Urban Greening program, to  
                    create green spaces and parks in communities in  
                    California that lack green space;


                  dd.       $15 million to continue the successful Urban  
                    Forestry program, which helps urban disadvantage  
                    communities plant trees in their neighborhood;


                  ee.       $20 million to help individuals in low-income  
                    communities reduce their energy use with  
                    weatherization and energy efficiency improvements,  
                    including solar installations; and








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                  ff.       $2 million to assist disadvantaged communities  
                    and local governments with developing climate action  
                    plans.


             2)   Reappropriates previously appropriated funds for the  
               Building Equity and Growth in Neighborhoods (BEGIN) program  
               at the Department of Housing and Community Development and  
               Affordable Housing and Sustainable Community program funds  
               at the Strategic Growth Council.


          FISCAL EFFECT:  This bill contains $900 million of Greenhouse  
          Gas Reduction Fund appropriations, which would result in a  
          remaining fund balance for the fund of at least $460 million for  
          future appropriations.


          COMMENTS:  This bill amends the 2016 Budget Act, SB 826 (Leno)  
          (Chapter 23, Statutes of 2016) to add appropriations related to  
          Cap and Trade.    When the budget agreement was reached in June,  
          the decision regarding programmatic funding for Cap and Trade  
          programs was deferred.  This bill reflects the result of a  
          subsequent agreement on spending a portion of available  
          Greenhouse Gas Reduction funds and thus adds these  
          appropriations into the 2016 Budget.


          REGISTERED SUPPORT / OPPOSITION:




          Support


          None on File








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          Opposition


          None on File




          Analysis Prepared by:Christian Griffith / BUDGET / (916)  
          319-2099