BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                          SB 763 (Steinberg)
          
          Hearing Date: 01/19/2012        Amended: 04/28/2011
          Consultant: Brendan McCarthy    Policy Vote: EQ 5-0
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          ____
          BILL SUMMARY: SB 763 creates a voluntary program to recognize 
          businesses that have achieved advanced environmental 
          performance.
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          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2011-12      2012-13       2013-14     Fund
           
          Establishing criteria  $250                             Various 
          *

          Reviewing applications            $1,500      $1,500    Various 
          *

          * The Office of the Secretary for Environmental Protection is 
          supported by the General Fund and a variety of special funds.
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          ____

          STAFF COMMENTS: SUSPENSE FILE. 

          SB 763 authorizes the Secretary for Environmental Protection to 
          create a program to recognize businesses that have demonstrated 
          a commitment to enhanced environmental performance. The bill 
          requires the Secretary to establish criteria to judge 
          environmental performance. Businesses could voluntarily apply to 
          the Secretary to participate in the program and the Secretary 
          would review applications to determine whether a business 
          qualifies and what level of recognition is appropriate.

          The bill requires the Secretary to report biannually to the 
          Legislature on the program.

          The Secretary's Office indicates that it will require additional 
          staff to develop criteria and review applications. The total 
          cost of the program will depend on the number of businesses that 








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          apply to participate in the program. The Secretary's Office 
          indicates that costs to review applications are likely to be at 
          least $1.5 million and could be up to $3 million per year. 

          For businesses that achieve certain levels of performance under 
          the program, the bill authorizes the Secretary to provide a 
          single point of contact for regulatory matters, expedited 
          permitting, and preferential contracting with the state. Costs 
          to provide those incentives are unknown and will depend on how 
          many businesses achieve advanced levels of recognition.

          Staff notes that the Secretary's Office currently oversees a 
          program that recognizes Environmental and Economic Leadership. 
          That program does not appear to have the same level of rigor as 
          is proposed in this bill.