BILL ANALYSIS Ó
SB 1464
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SENATE THIRD READING
SB
1464 (De León)
As Amended April 11, 2016
Majority vote
SENATE VOTE: 26-5
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|Committee |Votes|Ayes |Noes |
| | | | |
| | | | |
| | | | |
|----------------+-----+----------------------+--------------------|
|Natural |7-1 |Williams, Cristina |Harper |
|Resources | |Garcia, Gomez, | |
| | |Hadley, McCarty, Mark | |
| | |Stone, Wood | |
| | | | |
|----------------+-----+----------------------+--------------------|
|Appropriations |12-1 |Gonzalez, Bloom, |Bigelow |
| | |Bonilla, Bonta, | |
| | |Eggman, | |
| | | | |
| | | | |
| | |Eduardo Garcia, | |
| | |Jones, Quirk, | |
| | |Santiago, Weber, | |
| | |Wood, McCarty | |
| | | | |
| | | | |
SB 1464
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SUMMARY: Requires that the Greenhouse Gas Reduction Fund (GGRF)
Investment Plan include additional assessments and recommended
metrics for proposed investments. Specifically, this bill:
1)Requires that when identifying priority programmatic
investments that facilitate the achievement of feasible and
cost-effective greenhouse gas (GHG) emissions reductions
toward achievement of GHG reduction goals and targets, the
Investment Plan do both of the following:
a) Asses how the proposed investments interact with current
state regulations, policies, and programs; and,
b) Evaluate if and how those proposed investments could be
incorporated into existing programs.
2)Requires that the Investment Plan recommend metrics that would
measure progress and benefits from the proposed programmatic
investments.
FISCAL EFFECT: Increased Air Resources Board (ARB) costs of
approximately $320,000 per year for two years, and an additional
$300,000 in contracts for modeling investments, interactions
with existing policies, and analyzing emissions impacts from
investment concepts (GGRF).
COMMENTS: The first three-year Investment Plan for
cap-and-trade auction proceeds, developed by the Department of
Finance in consultation with ARB and other state agencies and
covering 2013-2015, was submitted to the Legislature in May
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2013. The Investment Plan identified sustainable communities
and clean transportation, energy efficiency and clean energy,
and natural resources and waste diversion as the three broad
categories that provide the best opportunities, in that order,
for achieving state GHG reduction goals via auction proceeds.
Existing law also directs specified levels of investment be made
to benefit disadvantaged communities. Within those categories,
the Investment Plan identified a range of programs and measures
to reduce GHG emissions, benefit disadvantaged communities, and
provide other cobenefits, such as reduced air pollution,
diversification of energy and fuels, and spurring relevant
technological innovation.
The second Investment Plan was released in January 2016, and
proposes diverse strategies under the same three major
investment categories, identifies gaps in the current investment
portfolio, and suggests approaches that would help address these
gaps.
According to the Legislative Analyst's Office February 2016
report on the Governor's proposed resources and environmental
protection budget expenditures, the Investment Plan lacks the
necessary analysis needed to develop a framework for spending.
They also state that the Investment Plan does not explicitly
address how new programs might interact with existing
regulations or programs, and that proposals from the
administration lack reliable estimates of benefits, which make
it difficult to evaluate which set of programs are likely to
best achieve state priorities and provide the greatest overall
benefits, compared to alternative strategies.
This bill is intended to ensure that the Investment Plan better
serves its original statutory intent to guide the Legislature in
funding an optimized strategy of complementary investments to
maximize GHG emissions reductions and co-benefits from the GGRF,
especially in those communities disproportionately burdened by
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pollution.
Analysis Prepared by:
Elizabeth MacMillan / NAT. RES. / (916) 319-2092
FN: 0004018