BILL ANALYSIS                                                                                                                                                                                                    Ó




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          |SENATE RULES COMMITTEE            |                        SB 859|
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                                UNFINISHED BUSINESS 


          Bill No:  SB 859
          Author:   Committee on Budget and Fiscal Review   
          Amended:  8/30/16  
          Vote:     21 

           SENATE FLOOR:  Not relevant

           ASSEMBLY FLOOR:  Not available

           SUBJECT:   Public resources:  greenhouse emissions and biomass


          SOURCE:    Author


          DIGEST:  This bill is the cap-and-trade trailer bill for  
          2016-17. This bill contains necessary statutory changes to  
          implement the cap-and-trade expenditures in the 2016-17 Budget.


          Assembly Amendments delete the Senate version of the bill and  
          insert the current language.


          ANALYSIS:   This bill does the following:


           1) Makes changes, effective November 1, 2016, to the  
             eligibility for vehicle rebates offered by the Clean Vehicle  
             Rebate Project in the following manner:


             a)   Reduces the maximum income eligibility levels to qualify  
               for rebates to $150,000 for single filers, $204,000 for  
               head-of-household filers, and $300,000 for joint filers;








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             b)   Restricts rebates offered to plug-in hybrid electric  
               vehicles to those that have an electric-only  range of over  
               20 miles; 


             c)   Exempts fuel-cell electric cars rebates from the new  
               income cap; and,


             d)   Repeals the above provisions on June 30, 2017.


           2) Requires a grantee of Greenhouse Gas Reduction Funds (GGRF)  
             for dairy programs to determine and mitigate impacts of  
             investments of a proposed project on pollution, toxic air  
             containments, groundwater and surface water impacts, truck  
             traffic, and odor.


           3) Requires retail sellers of electricity to purchase a total  
             of 125 megawatts of power from biomass facilities that  
             generate electricity from forest materials removed from  
             specific high fire hazard zones, as designated by CAL FIRE in  
             the Governor's Proclamation of a State of Emergency issued  
             October 30, 2015. 


           4) Stipulates that GGRF grant funding for forest projects shall  
             reduce greenhouse gas emissions and improve forest health,  
             with priority given to projects that promote long-term forest  
             management goals.


           5) Establishes an urban greening program to support the  
             development of sustainable communities. Under this program,  
             the Secretary of the Natural Resources Agency awards GGRF  
             funding to local governments and non-profits to develop  
             greening projects, such as park expansions. At least 75  
             percent of the funding allocated by this program must be  
             awarded to disadvantaged communities.








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           6) Establishes a "Healthy Soils Program," which funds farmer  
             demonstration projects that achieves greenhouse gas  
             reductions through increasing soil organic matter and  
             improving soil structure.   


           7) Expands the membership and expands the scope of the  
             Scientific Advisory Panel on Environmental Farming.


           8) Clarifies that Native American tribes are among the entities  
             to participate in and benefit from statewide efforts to  
             reduce greenhouse gas emissions, and can receive programmatic  
             funding for that purpose.


           9) Clarifies the role of a trustee of public lands.


           10)Requires the California State Air Resources Board to develop  
             a standardized emissions greenhouse gas emissions inventory  
             for natural and working lands and a framework for accounting  
             emission reductions from forests.


           11)Expands and clarifies the definition of eligible uses for  
             the Greenhouse Gas Reduction Revolving Loan program operated  
             by CalRecycle.


           12)Appropriates $1.4 million from Waste Discharge Permit Fund  
             for the State Water Resources Control Board to provide grants  
             for the projects that eliminate public health and safety  
             risks for wastewater, agricultural, and other discharge of  
             urbanized areas of tributaries of the Salton Sea.


          FISCAL EFFECT:   Appropriation:    Yes         Fiscal  
          Com.:YesLocal:   Yes









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          This bill provides statutory provisions associated with the $900  
          million 2016 Cap and Trade Expenditure plan contained in SB 830  
          (Committee on Budget and Fiscal Review) and AB 1613 (Committee  
          on Budget). This bill also contains a $1.4 million special fund  
          appropriation related to the Salton Sea.


          SUPPORT:   (Verified8/30/16)


          None received


          OPPOSITION:   (Verified8/30/16)


          None received
            


          Prepared by:Catherine Freeman / B. & F.R. / (916) 651-4103
          8/31/16 20:32:54


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