BILL ANALYSIS
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|SENATE RULES COMMITTEE | SB 632|
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THIRD READING
Bill No: SB 632
Author: Lowenthal (D)
Amended: 4/30/09
Vote: 21
SENATE TRANS. & HOUSING COMMITTEE : 10-1, 3/31/09
AYES: Lowenthal, Huff, Ashburn, DeSaulnier, Harman, Kehoe,
Oropeza, Pavley, Simitian, Wolk
NOES: Hollingsworth
NO VOTE RECORDED: Vacancy, Vacancy
SENATE ENV. QUALITY COMMITTEE : 7-0, 4/27/09
AYES: Simitian, Runner, Ashburn, Corbett, Hancock,
Lowenthal, Pavley
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
SUBJECT : Ports: congestion and mitigation relief
SOURCE : Author
DIGEST : This bill requires the ports of Los Angeles,
Long Beach, and Oakland, by July 1, 2010, to assess their
infrastructure and air quality improvement needs, including
assessing the total cost for these projects and identifying
potential sources of funding for them.
ANALYSIS :
Existing law:
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1. Establishes the California Marine and Intermodal
Transportation System Advisory Council, and requires the
council to meet, hold hearings, and compile data on
certain issues (e.g., projected growth of each maritime
port in the state, impacts of maritime growth on the
state's transportation system, air pollution caused by
goods movement, statewide plan).
2. Under the Harbors and Ports Mitigation Law, requires a
public agency to approve certain mitigation for port
projects involving filling of subtidal habitats within
ocean or inland ports.
3. Establishes the California Transportation Commission
(CTC) and sets various duties and procedures for the
CTC.
4. Authorizes the State Resources Board (ARB) to coordinate
efforts to attain and maintain ambient air quality
standards (Health and Safety Code 39003) and specifies
its powers.
5. Creates the State Infrastructure and Economic
Development Bank and specifies its powers.
This bill:
1. Renumbers and makes technical amendments to the
California Marine and Intermodal Transportation System
Advisory Council requirements.
2. Enacts the Port Congestion Relief and Port Mitigation
Relief Law that:
A. Requires the ports of Long Beach, Los Angeles,
and Oakland to assess infrastructure and air
quality improvement needs beginning January 1,
2010.
B. Requires the ports of Long Beach and Los Angeles
to consult with the Southern California Association
of Governments, and the Port of Oakland to consult
the Metropolitan Transportation Commission, on
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infrastructure projects that improve cargo movement
efficiency and reduce congestion impacts associated
with cargo movement. The ports must identify the
projects, funding source or possible funding
source, and estimated timeliness for completion.
C. Requires the ports of Long Beach and Los Angeles
to consult with the South Coast Air Quality
Management District, and the Port of Oakland to
consult the Bay Area Air Quality Management
District, on air quality projects that reduce
pollution associated with cargo movement, including
projects that reduce pollution from trucks, cargo
handling equipment, locomotives, and ships. The
ports must identify the project, funding source or
possible funding source, and estimated timelines
for completion.
D. Requires the ports to provide the assessments to
the Legislature by July 1, 2010, including
assessments of infrastructure and air quality
improvement costs, funding sources, and possible
funding options for projects without a funding
source.
E. Contains related legislative intent.
Comments
Bills setting shipping container fees to finance certain
port mitigation and congestion projects include SB 760
(Lowenthal) of 2006. The provisions of that bill were
subsequently amended into SB 927 (Lowenthal) of 2006. In
vetoing SB 927, Governor Schwarzenegger indicated that "if
done in a more coordinated fashion with the public and
private sector, funding for additional congestion relief
and mitigation could be increased geometrically." The
Governor also cited his support of the transportation bond
and noted that "my goods movement task force is developing
a comprehensive report that will provide more thorough and
strategic direction and insight on what the best options
are to address goods movement and port related challenges."
According to the Governor, in vetoing SB 974 (Lowenthal)
of 2007-08, "I encourage the Legislature to develop
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legislation that provides proper guidance, oversight and
accountability, ensures that the San Joaquin Valley is
eligible for funds to address port-related cargo pollution,
and allows for varied congestion reduction infrastructure."
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: Yes
SUPPORT : (Verified 5/19/09)
Bay Area Quality Management District
Breathe California
Coalition for Clean Air
South Coast Air Quality Management District
ARGUMENTS IN SUPPORT : According to the author's office,
pollution from the state's ports causes 3,700 premature
deaths annually; polluting activities from port operations
will have an aggregate health impact equivalent to about
$200 billion over the next 15 years; by 2020, ports and
freight transport operations will be the largest source of
particulate matter and nitrogen oxide emissions in the
state, producing more PM than all passenger vehicles,
off-road equipment, and stationary sources combined.
The author's office notes that according to the Los Angeles
Economic Development Corporation, southern California must
spend at least $10.5 billion to improve railroads, rail
yards, and highways to keep up with international trade or
risk losing more than 500,000 new jobs and more than $1
billion of taxes annually. According to the author's
office, southern California also risks losing $12.1 billion
in federal highway funds if federal Clean Air Act standards
are not met; the estimated cost to reduce goods movement
pollution statewide to 2001 levels is between $6 billion
and $10 billion; and that for every one dollar invested to
reduce goods movement pollution, California will save
between three dollars and eight dollars in avoided health
costs.
In response to these concerns, this bill provides the
Legislature with infrastructure and air quality improvement
information for the state's three largest ports.
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JJA:do 5/19/09 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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