BILL ANALYSIS �
------------------------------------------------------------
|SENATE RULES COMMITTEE | SB 357|
|Office of Senate Floor Analyses | |
|1020 N Street, Suite 524 | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
------------------------------------------------------------
THIRD READING
Bill No: SB 357
Author: Dutton (R)
Amended: 5/31/11
Vote: 21
SENATE GOVERNMENTAL ORG. COMMITTEE : 8-2, 4/26/11
AYES: Wright, Anderson, Berryhill, Cannella, Hernandez,
Padilla, Strickland, Wyland
NOES: Corbett, Evans
NO VOTE RECORDED: Calderon, De Le�n, Yee
SENATE ENVIRONMENTAL QUALITY COMMITTEE : 4-0, 5/2/11
AYES: Simitian, Blakeslee, Kehoe, Lowenthal
NO VOTE RECORDED: Strickland, Hancock, Pavley
SENATE APPROPRIATIONS COMMITTEE : 9-0, 5/26/11
AYES: Kehoe, Walters, Alquist, Emmerson, Lieu, Pavley,
Price, Runner, Steinberg
SUBJECT : Regulations: obsolete equipment
SOURCE : Author
DIGEST : This bill amends the Health and Safety Code to
expand the criteria by which the Air Resources Board must
analyze and report as part of their economic assessments of
adopting, amending, or repealing of any regulations, to
require estimates of lost revenue or savings to the state
as a result of accelerated depreciation due to the
regulation rendering equipment "obsolete" before the
CONTINUED
SB 357
Page
2
equipment had been fully depreciated.
ANALYSIS :
Existing law:
1. 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.
2. Requires a state agency to estimate the cost or savings
to the agency that will result from the proposed
regulation, and include the estimate in the notice of
proposed action for a regulation.
This bill amends the Health and Safety Code to expand the
criteria by which the Air Resources Board must analyze and
report as part of their economic assessments of adopting,
amending, or repealing of any regulations, to require
estimates of lost revenue or savings to the state as a
result of accelerated depreciation due to the regulation
rendering equipment "obsolete" before the equipment had
been fully depreciated.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee:
Fiscal Impact (in thousands)
Major Provisions 2011-12 2012-13
2013-14 Fund
Economic analysis Unknown
costs, potentially in the Various
millions annually
SUPPORT : (Verified 5/31/11)
California Association of Bed and Breakfast Inns
California Fence Association
California Building Industry Association
SB 357
Page
3
California Fence Contractors' Association
California Hotel & Lodging Association
California Manufacturers & Technology Association
California Retailers Association
Engineering and Utility Contractors Association
Engineering Contractors' Association
Flasher Barricade Association
Marin Builders' Association
Western Growers
ARGUMENTS IN SUPPORT : According to the author's office,
this bill will improve CARB's economic analysis of
regulations as well as draw attention to regulations that
render equipment obsolete before the equipment had been
fully depreciated. CARB does not routinely assess whether
their regulation will result in lost revenues to the state.
Requiring this estimate will not only help to ensure that
policymakers know the true cost of a regulation but, also,
it will also help to ensure that state revenue estimates
are more accurate.
PQ:do 5/31/11 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
**** END ****