BILL NUMBER: SB 357	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MAY 31, 2011
	AMENDED IN SENATE  MAY 10, 2011
	AMENDED IN SENATE  APRIL 4, 2011

INTRODUCED BY   Senator Dutton

                        FEBRUARY 15, 2011

   An act to add Section  11346.47 to the Government
  38567 to the Health and Safety  Code, relating to
regulations.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 357, as amended, Dutton.  Regulations:  
California Global Warming Solutions Act of 2006: regulations: 
obsolete equipment.
   The Administrative Procedure Act governs the procedure for the
adoption, amendment, or repeal of regulations by state agencies and
for the review of those regulatory actions by the Office of
Administrative Law. The act requires that an agency identify, in the
notice of proposed action for a regulation, an estimate, prepared in
accordance with instructions adopted by the Department of Finance, of
the cost or savings to a state agency. 
   The California Global Warming Solutions Act of 2006 (hereafter the
act) 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
rules and regulations in an open public process to achieve the
maximum technologically feasible and cost-effective greenhouse gas
emission reductions. 
   This bill would additionally require  an agency 
 the state board  to estimate the cost or savings to the
state in revenues that are lost or gained as a result of a regulation
 adopted pursuant to the act  that would make equipment
obsolete, where that equipment would otherwise have a remaining
depreciable life. The bill would require the Franchise Tax Board to
provide to  each state agency   the state board
 , and update every 5 years, the average tax rate to be applied
to the amount of the estimated accelerated deduction due to reduced
asset life attributable to the regulation for an increase in business
depreciation.
   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.    Section 38567 is added to the 
 Health and Safety Code   , to read:  
   38567.  (a) For purposes of the estimate of costs and savings to a
state agency reported pursuant to paragraph (6) of subdivision (a)
of Section 11346.5 of the Government Code, and in addition to
information required by the Department of Finance pursuant to Section
11357 of the Government Code, an estimate made by the state board
shall include an estimate of the cost or savings to the state in
revenues that are lost or gained as a result of a regulation adopted
pursuant to this division that makes equipment obsolete, where that
equipment would otherwise have a remaining depreciable life.
   (b) For purposes of this section, the Franchise Tax Board shall
provide to the state board, and update every five years, the average
tax rate to be applied to the amount of the estimated accelerated
deduction due to reduced asset life attributable to the regulation
adopted pursuant to this division for an increase in business
depreciation.  
  SECTION 1.    Section 11346.47 is added to the
Government Code, to read:
   11346.47.  (a) For purposes of the estimate of costs and savings
to a state agency reported pursuant to paragraph (6) of subdivision
(a) of Section 11346.5, and in addition to information required by
the Department of Finance pursuant to Section 11357, the agency's
estimate shall include an estimate of the cost or savings to the
state in revenues that are lost or gained as a result of a regulation
that makes equipment obsolete, where that equipment would otherwise
have a remaining depreciable life.
   (b) For purposes of this section, the Franchise Tax Board shall
provide to each state agency, and update every five years, the
average tax rate to be applied to the amount of the estimated
accelerated deduction due to reduced asset life attributable to the
regulation for an increase in business depreciation.