Amended in Senate May 31, 2016

Amended in Senate March 28, 2016

Senate BillNo. 1074


Introduced by Senator Hueso

February 16, 2016


An act to amendbegin delete Sectionend deletebegin insert Sections 3823 andend insert 25463 of the Public Resources Code, relating to energy, and making an appropriation therefor.

LEGISLATIVE COUNSEL’S DIGEST

SB 1074, as amended, Hueso. Energy: Federal Trustbegin delete Fund.end deletebegin insert Fund: geothermal projects.end insert

begin insert

Existing law requires that all revenues received by the state pursuant to specified federal laws be deposited in the Geothermal Resources Development Account and continuously appropriated as specified. Existing law requires some of those revenues to be disbursed to counties in which the federal government has leased land for geothermal development and another portion of those revenues to be available for distribution by the State Energy Resources Conservation and Development Commission (Energy Commission) as grants or loans made to local jurisdictions or private entities. Existing law specifies purposes primarily relating to geothermal energy development and mitigation for which recipients may expend these moneys.

end insert
begin insert

This bill would additionally authorize those recipients to expend those revenues to undertake projects to recover lithium, metals, agricultural products, and other beneficial minerals from highly mineralized geothermal brines at existing geothermal facilities that are in disadvantaged communities and provide local employment opportunities.

end insert

Existing law authorizes thebegin delete Stateend delete Energybegin delete Resources Conservation and Developmentend delete Commission to administer funds appropriated by the federal American Recovery and Reinvestment Act of 2009 (federal act) for the federal Energy Efficiency and Conservation Block Grant Program to award contracts, grants, and loans for energy-related projects.

This bill would, for thebegin delete fiscal year 2016-17,end deletebegin insert 2016- 17 fiscal year,end insert appropriate to the commission $13,000,000 from the moneys derived from the federal act in the Federal Trust Fund for thebegin delete above purposes.end deletebegin insert purposes specified in existing law for funds derived from the federal act and, of those moneys, would allocate $2,500,000 to the commission for the geothermal brine treatment projects that would be authorized by this bill.end insert The bill would, for thebegin insert 2017-18end insert fiscal yearbegin delete 2017-18end delete and each fiscal year thereafter, continuously appropriate $2,500,000 annually to thebegin delete commissionend deletebegin insert commission,end insert from the moneys derived from the federal act in the Federal Trust Fund for the abovebegin delete purposes,end deletebegin insert purposes specified in existing lawend insert until all of those moneys are encumbered or expended.

Vote: majority. Appropriation: yes. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1begin insert

begin insertSECTION 1.end insert  

end insert

begin insertSection 3823 of the end insertbegin insertPublic Resources Codeend insertbegin insert is
2amended to read:end insert

3

3823.  

Revenues disbursed to counties of origin pursuant to
4Section 3821 and grants or loans made to local jurisdictions or
5private entities pursuant to Section 3822 shall be expended by the
6recipient for the following purposes:

7(a) Undertaking research and development projects relating to
8geothermal resource assessment and exploration, and direct-use
9and electric generation technology.

10(b) Local and regional planning and policy development and
11implementation necessary for compliance with programs required
12by local, state, or federal laws and regulations.

13(c) Identification of feasible measures that will mitigate the
14 adverse impacts of the development of geothermal resources and
15the adoption of ordinances, regulations, and guidelines to
16implement those measures.

17(d) Collecting baseline data and conducting environmental
18monitoring.

P3    1(e) Preparation or revision of geothermal resource elements, or
2geothermal components of energy elements, for inclusion in the
3local general plan, zoning and other ordinances, and related
4planning and environmental documents.

5(f) Administrative costs incurred by the local jurisdiction that
6are attributable to the development or production of geothermal
7resources.

8(g) Monitoring and inspecting geothermal facilities and related
9activities to assure compliance with applicable laws, regulations,
10and ordinances.

11(h) Identifying, researching, and implementing feasible measures
12that will mitigate the adverse impacts of that development or
13production.

14(i) Planning, constructing, providing, operating, and maintaining
15those public services and facilities that are necessitated by and
16result from the development or production.

17(j) Undertaking projects demonstrating the technical and
18economic feasibility of geothermal direct heat and electrical
19generation applications.

20(k) Undertaking projects for the enhancement, restoration, or
21preservation of natural resources, including, but not limited to,
22water development, water quality improvement, fisheries
23enhancement, and park and recreation facilities and areas.

begin insert

24
(l) In furtherance of the state’s zero-emission vehicle and energy
25storage objectives, undertaking projects to recover lithium, metals,
26agricultural products, and other beneficial minerals from highly
27mineralized geothermal brines at an existing geothermal facility
28that is in a disadvantaged community and provides local
29employment opportunities.

end insert
30

begin deleteSECTION 1.end delete
31
begin insertSEC. 2.end insert  

Section 25463 of the Public Resources Code is
32amended to read:

33

25463.  

(a) Notwithstanding any other provision of this
34division, federal funds available to the commission pursuant to
35this chapter may be used by the commission to augment funding
36for any programs or measures authorized by this division unless
37otherwise prohibited by the American Recovery and Reinvestment
38Act of 2009 (Public Law 111-5). The commission may administer
39any funds used to augment other programs using the procedures
40of the augmented program consistent with applicable federal law.

P4    1(b) This section shall be liberally construed to maximize the
2commission’s ability to utilize and award federal funds
3expeditiously and in accordance with the American Recovery and
4Reinvestment Act of 2009 or federal acts related to the American
5Recovery and Reinvestment Act of 2009.

6(c) (1) For thebegin delete fiscal year 2016-17,end deletebegin insert 2016-17 fiscal year,end insert the
7sum of thirteen million dollars ($13,000,000) is hereby appropriated
8to the commission from the moneys derived from the American
9Recovery and Reinvestment Act of 2009 in the Federal Trust Fund
10for purposes authorized by Section 25461.begin insert Of these moneys, the
11sum of two million five hundred thousand dollars ($2,500,000) is
12hereby allocated for purposes consistent with subdivision (l) of
13Section 3823. No later than February 1, 2017, the commission
14shall issue a competitive solicitation for projects pursuant to
15subdivision (l) of Section 3823 to be funded from this allocation.end insert

16(2) Notwithstanding Section 13340 of the Government Code,
17for thebegin insert 2017-18end insert fiscal yearbegin delete 2017-18end delete and each fiscal year thereafter
18until all moneys in the Federal Trust Fund derived from the
19American Recovery and Reinvestment Act of 2009 have been
20encumbered or expended, the sum of two million five hundred
21thousand dollars ($2,500,000) annually is hereby continuously
22appropriated to the commission for the purposes authorized by
23Section 25461.



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