BILL NUMBER: AB 1405	AMENDED
	BILL TEXT

	AMENDED IN SENATE  SEPTEMBER 1, 2009
	AMENDED IN SENATE  JULY 23, 2009
	AMENDED IN SENATE  JUNE 23, 2009
	AMENDED IN ASSEMBLY  JUNE 1, 2009
	AMENDED IN ASSEMBLY  APRIL 28, 2009
	AMENDED IN ASSEMBLY  APRIL 14, 2009

INTRODUCED BY   Assembly Members De Leon and V. Manuel Perez
   (Coauthors: Assembly Members Arambula, Caballero, Carter, Coto,
Fuentes, Hernandez, Mendoza, Salas, Saldana, and Solorio)
   (  Coauthor:   Senator  
Romero   Coauthors:   Senators  
Pavley,   Price,   and Romero  )

                        FEBRUARY 27, 2009

   An act to add Section 38597.4 to the Health and Safety Code,
relating to air pollution.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1405, as amended, De Leon. California Global Warming Solutions
Act of 2006: Community Benefits Fund.
   The California Global Warming Solutions Act of 2006 requires the
State Air Resources Board to adopt regulations to require the
reporting and verification of emissions of greenhouse gases and to
monitor and enforce compliance with the reporting and verification
program, and requires the state board to adopt a statewide greenhouse
gas emissions limit equivalent to the statewide greenhouse gas
emissions level in 1990 to be achieved by 2020. The act requires the
state board to adopt rules and regulations in an open public process
to achieve the maximum technologically feasible and cost-effective
greenhouse gas emission reductions. The act authorizes the state
board to include the use of market-based compliance mechanisms. The
act authorizes the state board to adopt a schedule of fees to be paid
by the sources of greenhouse gas emissions regulated pursuant to the
act, and requires the revenues collected pursuant to that fee to be
deposited into the Air Pollution Control Fund and be available, upon
appropriation by the Legislature, for purposes of carrying out the
act.
   This bill would establish the Community Benefits Fund, and would
require a minimum of 30% of revenues generated pursuant to the act,
including the fee discussed above,  other than revenues collected
for administrative purposes,  to be deposited into that fund.
The moneys in the fund would be used, upon appropriation by the
Legislature, in the most impacted and disadvantaged communities in
California to accelerate greenhouse gas emission reductions or
mitigate direct health impacts of climate change in those
communities. The state board would be required to develop a
methodology to identify the most impacted and disadvantaged
communities. The state board  , the State Energy Resources
Conservation and Development Commission, and the State Department of
Public Health   would be required to prepare a report by
June 30, 2011, that describes how this bill will be implemented. The
bill would require the report to provide for the formation of an
independent panel to review, evaluate, and recommend approval of
projects and programs solicited for funding. The state board 
would  also  be required to  jointly 
develop and adopt biennial plans for the use of funds.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    It is the intent of the Legislature
that investments made pursuant to this act shall include, to the
greatest extent possible, green collar employment opportunities for
low-income residents of the targeted communities. 
   SECTION 1.   SEC. 2.   Section 38597.4
is added to the Health and Safety Code, to read:
   38597.4.  (a) There is hereby established in the State Treasury
the Community Benefits Fund. A minimum of 30 percent of the 
total   remaining  revenues generated each year
pursuant to this division, including, but not limited to, Section
38597,  other than revenues collected for administrative
purposes,  shall be deposited by the state board into the
Community Benefits Fund. The moneys in the fund shall be used, upon
appropriation by the Legislature, for the purposes described in
subdivision (b).
   (b) (1) Funds appropriated by the Legislature from the Community
Benefits Fund shall be used solely in the most impacted and
disadvantaged communities in California to accelerate greenhouse gas
emission reductions or mitigate direct health impacts of climate
change in those communities. Funds appropriated shall be used to
provide competitive grants for projects  that reduce greenhouse
gas emissions  , including, but not limited to, any projects
that do any of the following: 
   (A) Reduce greenhouse gas emissions, while achieving cobenefits
such as reductions in other air pollutants, diversification of clean
energy sources, and improving energy efficiency.  
   (B) Minimize health impacts caused by climate change. 

   (C) Assist small businesses to reduce their greenhouse gas
emissions.  
   (D) Reduce greenhouse gas emissions by the installation or
replacement of equipment. 
   (E) Improvements to mass transit that reduce greenhouse gas
emissions, including, but not limited to, subsidies to commuters.
 
   (F) Clean distributed electricity generation systems that reduce
greenhouse gas emissions.  
   (G) Energy efficiency upgrades for schools, senior centers, or
low-income housing that reduce greenhouse gas emissions.

   (H) Emergency preparedness for extreme weather events caused by
climate change.  
   (A) Reduce greenhouse gas emissions, while achieving cobenefits
such as reductions in air pollution.  
   (B) Increase water and energy efficiency and conservation through
retrofitting, replacing, or weatherizing activities.  
   (C) Install clean distributed generation systems that utilize
locally available renewable energy sources such as solar, wind, and
geothermal energy.  
   (D) Initiate or enhance public mass transit, including fare
subsidies to commuters.  
   (E) Incentive low-income, public mass transit-oriented housing
development.  
   (F) Minimize the direct health impacts of climate change and
prepare for emergencies from extreme weather events by taking actions
such as the operation of air-conditioned cooling centers that are
open to the public.  
   (G) Provide community-based greening, forestry, or water-related
projects, such as stormwater capture, tree planting, and water
conservation and efficiency measures that have been recognized to
reduce greenhouse gas emissions and produce cobenefits. 
   (2) The state board shall, before June 30, 2010, adopt a
methodology to identify the most impacted and disadvantaged
communities, meeting all of the following requirements:
   (A) The methodology shall identify, through a peer review and
public process, the most impacted and disadvantaged communities as
those areas within each air basin with the highest 10 percent of air
pollution impacts, taking into account air pollution exposure and
socioeconomic indicators.
   (B) The state board shall limit its analysis to a consideration of
only socioeconomic indicators for any air basin where variations of
air pollution exposure within the air basin cannot be determined.
   (C) The air pollution exposure indicators to be considered shall
include, but not be limited to, criteria and toxic pollutant levels,
proximity to sources, and land use, to the extent data is readily
available.
   (D) The socioeconomic indicators to be considered shall include,
but not be limited to, income and poverty level, educational
attainment, linguistic isolation, and vulnerability to air pollution
impacts, to the extent data is readily available.
   (E) The methodology shall be reviewed and updated as necessary
through a peer review and public process along with the update of the
scoping plan required by subdivision (h) of Section 38561. 
   (3)  (A) The state board, the State Energy Resources Conservation
and Development Commission, and the State Department of Public Health
shall jointly develop and adopt biennial plans for the use of funds
under this section.  
   (3) (A) Before June 30, 2011, the state board, in an open public
process, shall develop and adopt a report that describes the support
structure and framework for the implementation of this section, the
types of projects and programs to be funded under this section, the
selection and oversight process for the projects and programs to be
funded under this section, and the eligibility criteria for the
projects and programs to be funded under this section. The state
board, in its discretion, may consult with other agencies in
developing the report. The report shall also provide for the
formation and structure of an independent panel to review, evaluate,
and recommend approval of the programs and projects solicited for
funding and the biennial plans required by subparagraph (B). 

   (B) Before December 30, 2011, and every two years thereafter, the
state board, in an open public process, shall develop and adopt
biennial plans describing the specific type of programs and projects
to be solicited for funding during the two-year period. 

   (B) 
    (C)  The environmental justice advisory committee
convened pursuant to subdivision (a) of Section 38591 shall be
consulted in developing the biennial plans pursuant to subparagraph
 (A)   (B)  , including in the development
of draft plans. Draft plans shall be submitted to the environmental
justice advisory committee, and the committee shall make
recommendations on those draft plans, that shall be considered prior
to the adoption of the biennial plans pursuant to subparagraph
 (A)   (B)  .
   (4) Notwithstanding any other provision of this section, projects
shall only be funded if the state board determines, based on the
facts available to it, that the use of moneys for that project would
be consistent with Article XIII A of the California Constitution and
case law construing that provision. The state board shall ensure in
this regard that no feepayer pays for a disproportionate share of the
climate change harm addressed by this section.
   (c) Costs incurred to implement the requirements of this section
may be recovered under the fee authority described in Section 38597.