BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 2161
                                                                  Page  1

          Date of Hearing:   May 2, 2012

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

               AB 2161 (Achadjian) - As Introduced:  February 23, 2012 

          Policy Committee:                              Natural 
          ResourcesVote:8-1
           
          Urgency:     No                   State Mandated Local Program: 
          No     Reimbursable:              No

           SUMMARY  

          This bill adds San Luis Obispo (SLO) County to the list of 
          counties eligible for renewable energy planning grants from the 
          California Energy Commission (CEC).

           FISCAL EFFECT  

          1)No direct state costs.

          2)Cost pressure of an unknown amount, but potentially in the 
            hundreds of thousands of dollars, to make renewable energy 
            grants to San Luis Obispo County.   (Special fund.) 

           COMMENTS  

           1)Rationale.   The author and sponsor (SLO County) contend the 
            county is as appropriate a place for renewable energy 
            development as are the other counties authorized by statute to 
            receive renewable energy grants.  The author describes SLO 
            County as having demonstrated its commitment to and 
            suitability for large scale and distributed solar projects.  
            According to the author, SLO County would use renewable energy 
            grant awards to update planning documents to achieve a 
            streamlined permitting process for solar projects, in keeping 
            with legislative intent.  

          2)Background.   Recently enacted legislation (Chapter 10, 1st 
            Extraordinary Session of 2011 (AB 13 X1, V.M. Perez)) expanded 
            existing siting and permitting provisions for renewable energy 
            projects and changed planning and permitting of renewable 
            energy projects. One of many provisions was the requirement 
            that CEC provide, upon appropriation, $7 million in grants to 







                                                                  AB 2161
                                                                  Page  2

            counties in the San Joaquin Valley and desert areas to revise 
            planning documents to facilitate development of renewable 
            energy resources.  The counties made eligible for renewable 
            energy grants by AB 13 X1 were those identified by the author 
            of AB 13 X1 and interested parties as being those being most 
            likely to develop large scale renewable energy projects if 
            local planning and permitting revisions were achieved.  The AB 
            13 X1 list of counties eligible for renewable energy grants 
            does not include SLO County, though it, too, is capable of 
            hosting large scale solar projects.  
                 
             To date, the Legislature has appropriated no funds for AB 13 
            X1 renewable energy grants.  CEC indicates the possibility of 
            an appropriation in the 2012-13 budget and will make grants as 
            funds become available.

           Analysis Prepared by  :    Jay Dickenson / APPR. / (916) 319-2081