BILL NUMBER: SB 1383 CHAPTERED
BILL TEXT
CHAPTER 395
FILED WITH SECRETARY OF STATE SEPTEMBER 19, 2016
APPROVED BY GOVERNOR SEPTEMBER 19, 2016
PASSED THE SENATE AUGUST 31, 2016
PASSED THE ASSEMBLY AUGUST 31, 2016
AMENDED IN ASSEMBLY AUGUST 31, 2016
AMENDED IN ASSEMBLY AUGUST 19, 2016
AMENDED IN ASSEMBLY AUGUST 15, 2016
AMENDED IN SENATE APRIL 12, 2016
INTRODUCED BY Senator Lara
(Principal coauthor: Assembly Member Williams)
(Coauthors: Senators Allen, Hancock, and Hill)
(Coauthor: Assembly Member Gonzalez)
FEBRUARY 19, 2016
An act to add Sections 39730.5, 39730.6, 39730.7, and 39730.8 to
the Health and Safety Code, and to add Chapter 13.1 (commencing with
Section 42652) to Part 3 of Division 30 of the Public Resources Code,
relating to methane emissions.
LEGISLATIVE COUNSEL'S DIGEST
SB 1383, Lara. Short-lived climate pollutants: methane emissions:
dairy and livestock: organic waste: landfills.
(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 approve a statewide greenhouse gas
emissions limit equivalent to the statewide greenhouse gas emissions
level in 1990 to be achieved by 2020. The state board is also
required to complete a comprehensive strategy to reduce emissions of
short-lived climate pollutants, as defined, in the state.
This bill would require the state board, no later than January 1,
2018, to approve and begin implementing that comprehensive strategy
to reduce emissions of short-lived climate pollutants to achieve a
reduction in methane by 40%, hydrofluorocarbon gases by 40%, and
anthropogenic black carbon by 50% below 2013 levels by 2030, as
specified. The bill also would establish specified targets for
reducing organic waste in landfills.
This bill would require the state board, in consultation with the
Department of Food and Agriculture, to adopt regulations to reduce
methane emissions from livestock manure management operations and
dairy manure management operations, as specified. The bill would
require the state board to take certain actions prior to adopting
those regulations. This bill would require the regulations to take
effect on or after January 1, 2024, if the state board, in
consultation with the department, makes certain determinations.
This bill would require the state board, the Public Utilities
Commission, and the State Energy Resources Conservation and
Development Commission to undertake various actions related to
reducing short-lived climate pollutants in the state. The bill would
require state agencies to consider and, as appropriate, adopt
policies and incentives to significantly increase the sustainable
production and use of renewable gas.
(2) The California Integrated Waste Management Act of 1989, which
is administered by the Department of Resources Recycling and
Recovery, establishes an integrated waste management program that
requires each county and city and county to prepare and submit to the
department a countywide integrated waste management plan.
The bill would require the department, in consultation with the
state board, to adopt regulations that achieve the specified targets
for reducing organic waste in landfills. The bill would authorize
local jurisdictions to charge and collect fees to recover the local
jurisdiction's costs incurred in complying with the regulations. The
bill would require, no later than July 1, 2020, the department, in
consultation with the state board, to analyze the progress that the
waste sector, state government, and local governments have made in
achieving the specified targets for reducing organic waste in
landfills. The bill would authorize the department, depending on the
outcome of that analysis, to amend the regulations to include
incentives or additional requirements, as specified. By adding to the
duties of local governments related to organic waste in landfills,
this bill would impose a state-mandated local program.
(3) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that no reimbursement is required by this
act for a specified reason.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. (a) The Legislature finds and declares all of the
following:
(1) Short-lived climate pollutants, such as black carbon,
fluorinated gases, and methane, are powerful climate forcers that
have a dramatic and detrimental effect on air quality, public health,
and climate change.
(2) These pollutants create a warming influence on the climate
that is many times more potent than that of carbon dioxide.
(3) Short-lived climate pollutants that are toxic air contaminants
also are a significant environmental risk factor for premature
death.
(4) Reducing emissions of these pollutants can have an immediate
beneficial impact on climate change and on public health.
(5) To the extent possible, efforts to reduce emissions of
short-lived climate pollutants should focus on areas of the state
that are disproportionately affected by poor air quality.
(b) It is the intent of the Legislature to support the adoption of
policies that improve organics recycling and innovative, cost
effective, and environmentally beneficial uses of biomethane derived
from solid waste facilities.
(c) It is intent of the Legislature that the disposal reduction
targets established pursuant to Section 39730.6 of the Health and
Safety Code shall serve as a statewide average target and not as a
minimum requirement for each jurisdiction.
SEC. 2. Section 39730.5 is added to the Health and Safety Code, to
read:
39730.5. (a) No later than January 1, 2018, the state board shall
approve and begin implementing the comprehensive short-lived climate
pollutant strategy developed pursuant to Section 39730 to achieve a
reduction in the statewide emissions of methane by 40 percent,
hydrofluorocarbon gases by 40 percent, and anthropogenic black carbon
by 50 percent below 2013 levels by 2030.
(b) Prior to approving the short-lived climate pollutant strategy
pursuant to subdivision (a), the state board shall do all of the
following:
(1) Coordinate with other state and local agencies and districts
to develop measures identified as part of the strategy.
(2) Provide a forum for public engagement by holding at least
three public hearings in geographically diverse locations throughout
the state.
(3) Evaluate the best-available scientific, technological, and
economic information to ensure that the strategy is cost effective
and technologically feasible.
(4) Incorporate and prioritize, as appropriate, measures and
actions that provide the following cobenefits:
(A) Job growth and local economic benefits in the state.
(B) Public health benefits.
(C) Potential for new innovation in technology, energy, and
resource management practices.
(c) The state board shall publicly notice the strategy described
in subdivision (a) and post a copy of that strategy on the state
board's Internet Web site at least one month prior to the state board
approving the strategy pursuant to subdivision (a).
SEC. 3. Section 39730.6 is added to the Health and Safety Code, to
read:
39730.6. (a) Consistent with Section 39730.5, methane emissions
reduction goals shall include the following targets to reduce the
landfill disposal of organics:
(1) A 50-percent reduction in the level of the statewide disposal
of organic waste from the 2014 level by 2020.
(2) A 75-percent reduction in the level of the statewide disposal
of organic waste from the 2014 level by 2025.
(b) Except as provided in this section and Section 42652.5 of the
Public Resources Code, the state board shall not adopt, prior to
January 1, 2025, requirements to control methane emissions associated
with the disposal of organic waste in landfills other than through
landfill methane emissions control regulations.
SEC. 4. Section 39730.7 is added to the Health and Safety Code, to
read:
39730.7. (a) For purposes of this section, the following terms
have the following meanings:
(1) "Department" means the Department of Food and Agriculture.
(2) "Commission" means the Public Utilities Commission.
(3) "Energy commission" means the State Energy Resources
Conservation and Development Commission.
(4) "Strategy" means the strategy to reduce short-lived climate
pollutants developed pursuant to Section 39730.
(b) (1) The state board, in consultation with the department,
shall adopt regulations to reduce methane emissions from livestock
manure management operations and dairy manure management operations,
consistent with this section and the strategy, by up to 40 percent
below the dairy sector's and livestock sector's 2013 levels by 2030.
(2) Prior to adopting regulations pursuant to paragraph (1), the
state board shall do all of the following:
(A) Work with stakeholders to identify and address technical,
market, regulatory, and other challenges and barriers to the
development of dairy methane emissions reduction projects. The group
of stakeholders shall include a broad range of stakeholders involved
in the development of dairy methane reduction projects, including,
but not limited to, project developers, dairy and livestock industry
representatives, state and local permitting agencies, energy agency
representatives, compost producers with experience composting dairy
manure, environmental and conservation stakeholders, public health
experts, and others with demonstrated expertise relevant to the
success of dairy methane emissions reduction efforts.
(B) Provide a forum for public engagement by holding at least
three public meetings in geographically diverse locations throughout
the state where dairy operations and livestock operations are
present.
(C) In consultation with the department, do both of the following:
(i) Conduct or consider livestock and dairy operation research on
dairy methane emissions reduction projects, including, but not
limited to, scrape manure management systems, solids separation
systems, and enteric fermentation.
(ii) Consider developing and adopting methane emissions reduction
protocols.
(3) The state board shall make available to the public by posting
on its Internet Web site a report on the progress made in
implementing paragraph (2). Pursuant to Section 9795 of the
Government Code, the state board shall notify the Legislature of the
report.
(4) Notwithstanding the Administrative Procedure Act (Chapter 3.5
(commencing with Section 11340) of Part 1 of Division 3 of Title 2 of
the Government Code), the regulations adopted pursuant to paragraph
(1) shall be implemented on or after January 1, 2024, if the state
board, in consultation with the department, determines all of the
following:
(A) The regulations are technologically feasible.
(B) The regulations are economically feasible considering milk and
live cattle prices and the commitment of state, federal, and private
funding, among other things, and that markets exist for the products
generated by dairy manure management and livestock manure management
methane emissions reduction projects, including composting,
biomethane, and other products. The analysis shall include
consideration of both of the following:
(i) Electrical interconnection of onsite electrical generation
facilities using biomethane.
(ii) Access to common carrier pipelines available for the
injection of digester biomethane.
(C) The regulations are cost effective.
(D) The regulations include provisions to minimize and mitigate
potential leakage to other states or countries, as appropriate.
(E) The regulations include an evaluation of the achievements made
by incentive-based programs.
(c) No later than July 1, 2020, the state board, in consultation
with the department, shall analyze the progress the dairy and
livestock sector has made in achieving the goals identified in the
strategy and specified in paragraph (1) of subdivision (b). The
analysis shall determine if sufficient progress has been made to
overcome technical and market barriers, as identified in the
strategy. If the analysis determines that progress has not been made
in meeting the targets due to insufficient funding or technical or
market barriers, the state board, in consultation with the department
and upon consultation with stakeholders, may reduce the goal in the
strategy for the dairy and livestock sectors, as identified pursuant
to paragraph (1).
(d) (1) (A) No later than January 1, 2018, the state board, in
consultation with the commission and the energy commission, shall
establish energy infrastructure development and procurement policies
needed to encourage dairy biomethane projects to meet the goal
identified pursuant to paragraph (1) of subdivision (b).
(B) The state board shall develop a pilot financial mechanism to
reduce the economic uncertainty associated with the value of
environmental credits, including credits pursuant to the Low-Carbon
Fuel Standard regulations (Subarticle 7 (commencing with Section
95480) of Title 17 of the California Code of Regulations) from
dairy-related projects producing low-carbon transportation fuels. The
state board shall make recommendations to the Legislature for
expanding this mechanism to other sources of biogas.
(2) No later than January 1, 2018, the commission, in consultation
with the state board and the department, shall direct gas
corporations to implement not less than five dairy biomethane pilot
projects to demonstrate interconnection to the common carrier
pipeline system. For the purposes of these pilot projects, gas
corporations may recover in rates the reasonable cost of pipeline
infrastructure developed pursuant to the pilot projects.
(e) No later than January 1, 2018, the state board shall provide
guidance on credits generated pursuant to the Low-Carbon Fuel
Standard regulations (Subarticle 7 (commencing with Section 95480) of
Title 17 of the California Code of Regulations) and the market-based
compliance mechanism developed pursuant to Part 5 (commencing with
Section 38570) of Division 25.5 from the methane reduction protocols
described in the strategy and shall ensure that projects developed
before the implementation of regulations adopted pursuant to
subdivision (b) receive credit for at least 10 years. Projects shall
be eligible for an extension of credits after the first 10 years to
the extent allowed by regulations adopted pursuant to the California
Global Warming Solutions Act of 2006 (Division 25.5 (commencing with
Section 38500)).
(f) Enteric emissions reductions shall be achieved only through
incentive-based mechanisms until the state board, in consultation
with the department, determines that a cost-effective, considering
the impact on animal productivity, and scientifically proven method
of reducing enteric emissions is available and that adoption of the
enteric emissions reduction method would not damage animal health,
public health, or consumer acceptance. Voluntary enteric emissions
reductions may be used toward satisfying the goals of this chapter.
(g) Except as provided in this section, the state board shall not
adopt methane emissions reduction regulations controlling the
emissions of methane from dairy operations or livestock operations to
achieve the 2020 and 2030 greenhouse gas emissions reduction goals
established pursuant to the California Global Warming Solutions Act
of 2006 (Division 25.5 (commencing with Section 38500)).
(h) Nothing in this section shall limit the authority of the state
board to acquire planning and baseline information, including
requiring the monitoring and reporting of emissions.
(i) This section does not in any way affect the state board's or
districts' authority to regulate emissions of criteria pollutants,
toxic air contaminants, or other pollutants pursuant to other
provisions of this division.
SEC. 5. Section 39730.8 is added to the Health and Safety Code, to
read:
39730.8. (a) For purposes of this section, the following terms
have the following meanings:
(1) "Commission" means the Public Utilities Commission.
(2) "Energy commission" means the State Energy Resources
Conservation and Development Commission.
(3) "Strategy" means the strategy to reduce short-lived climate
pollutants developed pursuant to Section 39730.
(b) The energy commission, in consultation with the state board
and the commission, shall develop recommendations for the development
and use of renewable gas, including biomethane and biogas, as a part
of its 2017 Integrated Energy Policy Report prepared pursuant to
Section 25302 of the Public Resources Code. In developing the
recommendations, the energy commission shall identify cost-effective
strategies that are consistent with existing state policies and
climate change goals by considering priority end uses of renewable
gas, including biomethane and biogas, and their interactions with
state policies, including biomethane and all of the following:
(1) The Renewables Portfolio Standard program (Article 16
(commencing with Section 399.11) of Chapter 2.3 of Part 1 of Division
1 of the Public Utilities Code).
(2) The Low-Carbon Fuel Standard regulations (Subarticle 7
(commencing with Section 95480) of Title 17 of the California Code of
Regulations).
(3) Waste diversion goals established pursuant to Division 30
(commencing with Section 40000) of the Public Resources Code.
(4) The market-based compliance mechanism developed pursuant to
Part 5 (commencing with Section 38570) of Division 25.5.
(5) The strategy.
(c) Based on the recommendations developed pursuant to subdivision
(b), and to meet the state's climate change, renewable energy,
low-carbon fuel, and short-lived climate pollutants goals, including
black carbon, landfill diversion, and dairy methane targets
identified in the strategy, state agencies shall consider and, as
appropriate, adopt policies and incentives to significantly increase
the sustainable production and use of renewable gas, including
biomethane and biogas.
(d) Based on the recommendations developed pursuant to subdivision
(b), the commission, in consultation with the energy commission and
the state board, shall consider additional policies to support the
development and use in the state of renewable gas, including
biomethane and biogas, that reduce short-lived climate pollutants in
the state.
(e) In implementing this section, priority shall be given to fuels
with the greatest greenhouse gas emissions benefits, including the
consideration of carbon intensity and reduction in short-lived
climate pollutants, as appropriate.
SEC. 6. Chapter 13.1 (commencing with Section 42652) is added to
Part 3 of Division 30 of the Public Resources Code, to read:
CHAPTER 13.1. SHORT-LIVED CLIMATE POLLUTANTS
42652. The Legislature finds and declares all of the following:
(a) The organic disposal reduction targets are essential to
achieving the statewide recycling goal identified in Section
41780.01.
(b) Achieving organic waste disposal reduction targets requires
significant investment to develop organics recycling capacity.
(c) More robust state and local funding mechanisms are needed to
support the expansion of organics recycling capacity.
42652.5. (a) The department, in consultation with the State Air
Resources Board, shall adopt regulations to achieve the organic waste
reduction goals for 2020 and 2025 established in Section 39730.6 of
the Health and Safety Code. The regulations shall comply with all of
the following:
(1) May require local jurisdictions to impose requirements on
generators or other relevant entities within their jurisdiction and
may authorize local jurisdictions to impose penalties on generators
for noncompliance.
(2) Shall include requirements intended to meet the goal that not
less than 20 percent of edible food that is currently disposed of is
recovered for human consumption by 2025.
(3) Shall not establish a numeric organic waste disposal limit for
individual landfills.
(4) May include different levels of requirements for local
jurisdictions and phased timelines based upon their progress in
meeting the organic waste reduction goals for 2020 and 2025
established in Section 39730.6 of the Health and Safety Code. The
department shall base its determination of progress on relevant
factors, including, but not limited to, reviews conducted pursuant to
Section 41825, the amount of organic waste disposed compared to the
2014 level, per capita disposal rates, the review required by Section
42653, and other relevant information provided by a jurisdiction.
(5) May include penalties to be imposed by the department for
noncompliance. If penalties are included, they shall not exceed the
amount authorized pursuant to Section 41850.
(6) Shall take effect on or after January 1, 2022, except the
imposition of penalties pursuant to paragraph (1) shall not take
effect until two years after the effective date of the regulations.
(b) A local jurisdiction may charge and collect fees to recover
the local jurisdiction's costs incurred in complying with the
regulations adopted pursuant to this section.
42653. (a) No later than July 1, 2020, the department, in
consultation with the State Air Resources Board, shall analyze the
progress that the waste sector, state government, and local
governments have made in achieving the organic waste reduction goals
for 2020 and 2025 established in Section 39730.6 of the Health and
Safety Code. The analysis shall include all of the following:
(1) The status of new organics recycling infrastructure
development, including the commitment of state funding and
appropriate rate increases for solid waste and recycling services to
support infrastructure expansion.
(2) The progress in reducing regulatory barriers to the siting of
organics recycling facilities and the timing and effectiveness of
policies that will facilitate the permitting of organics recycling
infrastructure.
(3) The status of markets for the products generated by organics
recycling facilities, including cost-effective electrical
interconnection and common carrier pipeline injection of digester
biomethane and the status of markets for compost, biomethane, and
other products from the recycling of organic waste.
(b) If the department determines that significant progress has not
been made on the items analyzed pursuant to subdivision (a), the
department may include incentives or additional requirements in the
regulations described in Section 42652 to facilitate progress towards
achieving the organic waste reduction goals for 2020 and 2025
established in Section 39730.6 of the Health and Safety Code. The
department may, upon consultation with stakeholders, recommend to the
Legislature revisions to those organic waste reduction goals.
42654. This chapter shall not limit the authority of a local
jurisdiction to adopt, implement, or enforce requirements in addition
to those set forth in the regulations adopted pursuant to this
chapter.
SEC. 7. No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because a
local agency or school district has the authority to levy service
charges, fees, or assessments sufficient to pay for the program or
level of service mandated by this act, within the meaning of Section
17556 of the Government Code.