BILL ANALYSIS                                                                                                                                                                                                    �



                                                                      



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          |SENATE RULES COMMITTEE            |                  AB 2583|
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                                 THIRD READING


          Bill No:  AB 2583
          Author:   Blumenfield (D)
          Amended:  8/21/12 in Senate
          Vote:     21

           
           SENATE GOVERNMENTAL ORGANIZATION COMM.  :  7-5, 6/26/12
          AYES:  Calderon, Corbett, De Le�n, Evans, Hernandez, 
            Padilla, Yee
          NOES:  Wright, Anderson, Berryhill, Cannella, Wyland
          NO VOTE RECORDED:  Walters

           SENATE TRANSPORTATION & HOUSING COMMITTEE  :  7-2, 7/3/12
          AYES: DeSaulnier, Gaines, Kehoe, Lowenthal, Pavley, Rubio, 
            Simitian
          NOES: Harman, Wyland

           SENATE APPROPRIATIONS COMMITTEE  : 5-2, 8/16/12
          AYES:  Kehoe, Alquist, Lieu, Price, Steinberg
          NOES:  Walters, Dutton

           ASSEMBLY FLOOR  :  50-24, 5/31/12 - See last page for vote


           SUBJECT  :    Vehicular air pollution:  state fleet

           SOURCE  :     Author


           DIGEST  :    This bill requires the Department of General 
          Services (DGS) to purchase, or approve contracts for the 
          purchase of, new vehicles for the state fleet that are 
          alternatively fueled vehicles and make related 
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          infrastructure improvements.

           ANALYSIS  :    

          Existing law: 

          1. Establishes the Global Warming Solutions Act of 2006, 
             requiring the Air Resources Board (ARB) to establish a 
             statewide greenhouse gas (GHG) emissions limit and to 
             reduce GHG emissions to 1990 levels. 

          2. Authorizes DGS to procure vehicle fleet purchases for 
             state and local entities. 

          There are several existing federal and state laws and state 
          executive orders directing DGS to purchase vehicles for the 
          state fleet that meet higher emission standards.  DGS 
          indicates it already meets or exceeds those requirements.  

          DGS was awarded U.S. Department of Energy and California 
          Energy Commission grants to establish approximately 75 new 
          E85 (flexible fuel from 100 percent gasoline to 85 percent 
          gasoline/15 percent ethanol) locations statewide.  To date, 
          15 E85/biodiesel locations have been completed.  DGS 
          recently installed 24 electric vehicle (EV) charging 
          stations at five state parking facilities in Sacramento and 
          is applying for grants to install additional EV charging 
          stations.  

          DGS would be required to work with other public agencies to 
          incentivize state employee use of alternatively fueled 
          vehicles and authorizes the department to provide grants or 
          enter into interagency agreements to implement the 
          provisions of this bill.  DGS indicates that they are 
          offering state employees' incentives for using 
          alternatively fueled vehicles and will be developing a 
          policy and expanding those efforts in the next few months.  
          DGS is also expecting to enter into an interagency 
          agreement for an outreach and marketing campaign to promote 
          alternatively fueled vehicle usage. 

          This bill provides DGS with the following duties:

          1. Encourage the operation of state alternatively fueled 

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             vehicles on the alternative fuel for which the vehicle 
             is designed. 

          2. Encourage to develop commercial infrastructure for 
             alternative fuel pumps and charging stations and to work 
             with other state agencies to incentivize and promote 
             state employee operation of alternatively fueled 
             vehicles through preferential or reduced cost parking, 
             access to charging stations, or other means.

          3. Require DGS and the Department of Transportation 
             (Caltrans) to implement advanced technology vehicle 
             parking incentive programs to the extent feasible in 
             specified public parking facilities of 50 spaces or more 
             and specified park and ride lots to incentivize the 
             purchase of alternatively fueled vehicles in the state.

          4. Exempt from a prohibition relating to commercial 
             activities on fringe or transportation corridor parking 
             facilities under the jurisdiction of Caltrans a person 
             implementing advanced technology vehicle parking 
             incentive programs.  This part of the bill does not 
             apply to alternatively fueled infrastructure programs in 
             park-and-ride lots owned and operate by Caltrans.
          
           Comments  

          DGS procures vehicle fleet purchases on behalf of state 
          agencies.  There are existing federal and state laws, and 
          state executive orders, directing DGS to green the state 
          fleet. DGS has met or exceeded those requirements. 

          This bill requires DGS to encourage, to the extent 
          feasible, the operation of state AFVs on the alternative 
          fuel for which the vehicle is designed and the development 
          of commercial infrastructure for alternative fuel pumps and 
          charging stations at or near state vehicle fueling or 
          parking sites.  DGS is currently implementing this bill 
          provision. 
          
           Related Legislation  .  AB 236 (Lieu, Chapter 593, Statutes 
          of 2007) required DGS, in conjunction with ARB and the 
          California Energy Commission, by December 31, 2008, to 
          amend and revise existing purchasing methodology to rank 

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          environmental and energy benefits, and costs of motor 
          vehicles for potential procurement by state and local 
          governments and to develop a vehicle ranking containing 
          specified criteria.  In particular, AB 236 amended Public 
          Resources Code Section 25722.5 to require DGS to (1) 
          evaluate and score emissions, fuel costs, and fuel economy 
          in addition to capital cost to enable DGS to choose the 
          vehicle with the lowest life-cycle cost when awarding a 
          state vehicle procurement contract, and (2) maximize the 
          purchase or lease of alternative fuel vehicles.

          AB 236 also maintained the exemption for generally police, 
          firefighting, public safety and emergency vehicles.
           
           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes   
          Local:  No

          According to the Senate Appropriations Committee, there 
          would be potentially minor costs annually from the Service 
          Revolving Fund as DGS is generally implementing the 
          provisions of this bill.

           SUPPORT  :   (Verified  8/17/12)

          American Lung Association
          CALSTART
          California Natural Gas Vehicle Coalition
          Clean Energy
          Sempra Energy
          South Coast Air Quality Management District

           ARGUMENTS IN SUPPORT  :    Sempra Energy utilities believe 
          this bill would assist with the growth of the alternative 
          fuel vehicle market in two ways.  First the bill requires 
          DGS to encourage the development of commercial fueling and 
          charging infrastructure near state vehicle fueling or 
          parking sites.  Second, the bill would require DGS and 
          Caltrans to develop and implement alternative fuel vehicle 
          parking incentive programs in DGS-operated public parking 
          facilities with 50 spaces or more and Caltrans-operative 
          park and ride lots.  This bill requires these programs to 
          provide meaningful, tangible benefits to alternative fuel 
          vehicle drivers, and allows these incentive to include 
          preferential spaces, reduced fees, and fueling 

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          infrastructure.  They believe that alternative charging and 
          fueling infrastructure is essential for the alternative 
          fuel vehicle market to be successful and to continue 
          growing.  Additionally, the public parking and 
          park-and-ride incentives will provide benefits to encourage 
          the public to move toward alternative fuel vehicle choices.


           ASSEMBLY FLOOR  :  50-24, 5/31/12
          AYES:  Alejo, Allen, Ammiano, Atkins, Beall, Block, 
            Blumenfield, Bonilla, Bradford, Brownley, Buchanan, 
            Butler, Campos, Carter, Cedillo, Chesbro, Davis, 
            Dickinson, Eng, Feuer, Fong, Fuentes, Furutani, Galgiani, 
            Gatto, Gordon, Hall, Hayashi, Roger Hern�ndez, Hill, 
            Huber, Hueso, Huffman, Lara, Bonnie Lowenthal, Ma, 
            Mitchell, Monning, Pan, Perea, V. Manuel P�rez, 
            Portantino, Skinner, Solorio, Swanson, Torres, 
            Wieckowski, Williams, Yamada, John A. P�rez
          NOES:  Achadjian, Bill Berryhill, Conway, Cook, Donnelly, 
            Beth Gaines, Garrick, Gorell, Grove, Hagman, Halderman, 
            Harkey, Jeffries, Jones, Knight, Logue, Miller, Morrell, 
            Nestande, Nielsen, Olsen, Silva, Smyth, Wagner
          NO VOTE RECORDED:  Charles Calderon, Fletcher, Mansoor, 
            Mendoza, Norby, Valadao


          DLW:m  8/21/12   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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