BILL NUMBER: SB 104	ENROLLED
	BILL TEXT

	PASSED THE SENATE  SEPTEMBER 10, 2009
	PASSED THE ASSEMBLY  SEPTEMBER 8, 2009
	AMENDED IN ASSEMBLY  SEPTEMBER 4, 2009
	AMENDED IN SENATE  APRIL 30, 2009
	AMENDED IN SENATE  APRIL 13, 2009

INTRODUCED BY   Senator Oropeza
   (Coauthor: Senator Pavley)
   (Coauthor: Assembly Member Skinner)

                        JANUARY 27, 2009

   An act to amend Section 38505 of the Health and Safety Code,
relating to air pollution.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 104, Oropeza. California Global Warming Solutions Act of 2006:
nitrogen trifluoride.
   (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 adopt a statewide greenhouse gas
emissions limit equivalent to the statewide greenhouse gas emissions
level in 1990 to be achieved by 2020, and to adopt by January 1,
2011, greenhouse gas emission limits and emission reduction measures
to achieve the maximum technological feasible and cost-effective
greenhouse gas emission reductions.
   The act defines greenhouse gases to include carbon dioxide,
methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons, and
sulfur hexafluoride.
   This bill would also include in that definition nitrogen
trifluoride.
   Because a violation of the act may be a crime and this bill would
expand the scope of the act, this bill would create a state-mandated
local program.
   (2) 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.
   (3) This bill would incorporate changes to Section 38505 of the
Health and Safety Code proposed by both this bill and AB 1404, which
would become operative only if both bills are enacted and this bill
is enacted after AB 1404.


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

  SECTION 1.  Section 38505 of the Health and Safety Code is amended
to read:
   38505.  For the purposes of this division, the following terms
have the following meanings:
   (a) "Allowance" means an authorization to emit, during a specified
year, up to one ton of carbon dioxide equivalent.
   (b) "Alternative compliance mechanism" means an action undertaken
by a greenhouse gas emission source that achieves the equivalent
reduction of greenhouse gas emissions over the same time period as a
direct emission reduction, and that is approved by the state board.
"Alternative compliance mechanism" includes, but is not limited to, a
flexible compliance schedule, alternative control technology, a
process change, or a product substitution.
   (c) "Carbon dioxide equivalent" means the amount of carbon dioxide
by weight that would produce the same global warming impact as a
given weight of another greenhouse gas, based on the best available
science, including from the Intergovernmental Panel on Climate
Change.
   (d) "Cost-effective" or "cost-effectiveness" means the cost per
unit of reduced emissions of greenhouse gases adjusted for its global
warming potential.
   (e) "Direct emission reduction" means a greenhouse gas emission
reduction action made by a greenhouse gas emission source at that
source.
   (f) "Emissions reduction measure" means programs, measures,
standards, and alternative compliance mechanisms authorized pursuant
to this division, applicable to sources or categories of sources,
that are designed to reduce emissions of greenhouse gases.
   (g) "Greenhouse gas" or "greenhouse gases" includes all of the
following gases:
   (1) Carbon dioxide.
   (2) Methane.
   (3) Nitrous oxide.
   (4) Hydrofluorocarbons.
   (5) Perfluorocarbons.
   (6) Sulfur hexafluoride.
   (7) Nitrogen trifluoride.
   (h) "Greenhouse gas emissions limit" means an authorization,
during a specified year, to emit up to a level of greenhouse gases
specified by the state board, expressed in tons of carbon dioxide
equivalents.
   (i) "Greenhouse gas emission source" or "source" means any source,
or category of sources, of greenhouse gas emissions whose emissions
are at a level of significance, as determined by the state board,
that its participation in the program established under this division
will enable the state board to effectively reduce greenhouse gas
emissions and monitor compliance with the statewide greenhouse gas
emissions limit.
   (j) "Leakage" means a reduction in emissions of greenhouse gases
within the state that is offset by an increase in emissions of
greenhouse gases outside the state.
   (k) "Market-based compliance mechanism" means either of the
following:
   (1) A system of market-based declining annual aggregate emissions
limitations for sources or categories of sources that emit greenhouse
gases.
   (2) Greenhouse gas emissions exchanges, banking, credits, and
other transactions, governed by rules and protocols established by
the state board, that result in the same greenhouse gas emission
reduction, over the same time period, as direct compliance with a
greenhouse gas emission limit or emission reduction measure adopted
by the state board pursuant to this division.
   (l) "State board" means the State Air Resources Board.
   (m) "Statewide greenhouse gas emissions" means the total annual
emissions of greenhouse gases in the state, including all emissions
of greenhouse gases from the generation of electricity delivered to
and consumed in California, accounting for transmission and
distribution line losses, whether the electricity is generated in
state or imported. Statewide emissions shall be expressed in tons of
carbon dioxide equivalents.
   (n) "Statewide greenhouse gas emissions limit" or "statewide
emissions limit" means the maximum allowable level of statewide
greenhouse gas emissions in 2020, as determined by the state board
pursuant to Part 3 (commencing with Section 38550).
  SEC. 1.5.  Section 38505 of the Health and Safety Code is amended
to read:
   38505.  For the purposes of this division, the following terms
have the following meanings:
   (a) "Allowance" means an authorization to emit, during a specified
year, up to one ton of carbon dioxide equivalent.
   (b) "Alternative compliance mechanism" means an action undertaken
by a greenhouse gas emission source that achieves the equivalent
reduction of greenhouse gas emissions over the same time period as a
direct emission reduction, and that is approved by the state board.
"Alternative compliance mechanism" includes, but is not limited to, a
flexible compliance schedule, alternative control technology, a
process change, or a product substitution.
   (c) "Carbon dioxide equivalent" means the amount of carbon dioxide
by weight that would produce the same global warming impact as a
given weight of another greenhouse gas, based on the best available
science, including from the Intergovernmental Panel on Climate
Change.
   (d) "Cost-effective" or "cost-effectiveness" means the cost per
unit of reduced emissions of greenhouse gases adjusted for its global
warming potential.
   (e) "Compliance offset" means a quantified reduction in emissions
of greenhouse gases in a sector different from the sector or sectors
regulated by a greenhouse gas emission limit for which a market-based
compliance mechanism has been adopted by the state board, that is
used for compliance of that greenhouse gas emission limit by a
greenhouse gas emission source regulated by that limit.
   (f) "Direct emission reduction" means a greenhouse gas emission
reduction action made by a greenhouse gas emission source at that
source.
   (g) "Emissions reduction measure" means programs, measures,
standards, and alternative compliance mechanisms authorized pursuant
to this division, applicable to sources or categories of sources,
that are designed to reduce emissions of greenhouse gases.
   (h) "Greenhouse gas" or "greenhouse gases" includes all of the
following gases:
   (1) Carbon dioxide.
   (2) Methane.
   (3) Nitrous oxide.
   (4) Hydrofluorocarbons.
   (5) Perfluorocarbons.
   (6) Sulfur hexafluoride.
   (7) Nitrogen trifluoride.
   (i) "Greenhouse gas emissions limit" means an authorization,
during a specified year, to emit up to a level of greenhouse gases
specified by the state board, expressed in tons of carbon dioxide
equivalents.
   (j) "Greenhouse gas emission source" or "source" means any source,
or category of sources, of greenhouse gas emissions whose emissions
are at a level of significance, as determined by the state board,
that its participation in the program established under this division
will enable the state board to effectively reduce greenhouse gas
emissions and monitor compliance with the statewide greenhouse gas
emissions limit.
   (k) "Leakage" means a reduction in emissions of greenhouse gases
within the state that is offset by an increase in emissions of
greenhouse gases outside the state.
   (l) "Market-based compliance mechanism" means either of the
following:
   (1) A system of market-based declining annual aggregate emissions
limitations for sources or categories of sources that emit greenhouse
gases.
   (2) Greenhouse gas emissions exchanges, banking, credits, and
other transactions, governed by rules and protocols established by
the state board, that result in the same greenhouse gas emission
reduction, over the same time period, as direct compliance with a
greenhouse gas emission limit or emission reduction measure adopted
by the state board pursuant to this division.
   (m) "State board" means the State Air Resources Board.
   (n) "Statewide greenhouse gas emissions" means the total annual
emissions of greenhouse gases in the state, including all emissions
of greenhouse gases from the generation of electricity delivered to
and consumed in California, accounting for transmission and
distribution line losses, whether the electricity is generated in
state or imported. Statewide emissions shall be expressed in tons of
carbon dioxide equivalents.
   (o) "Statewide greenhouse gas emissions limit" or "statewide
emissions limit" means the maximum allowable level of statewide
greenhouse gas emissions in 2020, as determined by the state board
pursuant to Part 3 (commencing with Section 38550).
  SEC. 2.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.
  SEC. 3.  Section 1.5 of this bill incorporates amendments to
Section 38505 of the Health and Safety Code proposed by both this
bill and AB 1404. It shall only become operative if (1) both bills
are enacted and become effective on or before January 1, 2010, (2)
each bill amends Section 38505 of the Health and Safety Code, and (3)
this bill is enacted after AB 1404, in which case Section 1 of this
bill shall not become operative.