BILL ANALYSIS �
AB 2565
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CONCURRENCE IN SENATE AMENDMENTS
AB 2565 (Muratsuchi)
As Amended August 19, 2014
Majority vote
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|ASSEMBLY: |51-26|(May 29, 2014) |SENATE: |27-8 |(August 21, |
| | | | | |2014) |
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Original Committee Reference: TRANS.
SUMMARY : Requires an owner of a commercial or residential
property to approve the installation of an electric vehicle (EV)
charging station if it meets specified requirements and complies
with the owner's process for approving a modification to the
property and makes a term in a lease of a commercial property,
executed, renewed, or extended on or after January 1, 2015, void
and unenforceable if it prohibits or unreasonably restricts the
installation of an EV charging station in a parking space.
The Senate amendments :
1)Make the owner of the property, rather than the lessee,
responsible for installing the charging station and its
infrastructure.
2)Exempt from this bill residential rental properties where:
a)There are already electric charging stations in a ration that
is equal to or greater than 10% of the designated parking
spaces;
b) Parking is not provided as part of the lease agreement;
c) There are less than five parking space; and
d) The dwellings are subject to a local rent control
ordnance.
1)Provides that if an EV charging station has the effect of
providing a lessee with a reserved parking space, the lessor
may charge a monthly rental amount for the parking space.
2)Require a lessee to provide a written description of how,
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when, and where the modifications and improvements to the
property are proposed to be made consistent with those items
specified in the "Permitting Checklist" of the Zero-Emission
Vehicles in California: Community Readiness Guidebook
published by the Office of Planning and Research.
3)Make other technical changes.
AS PASSED IN THE ASSEMBLY , this bill made a term in a lease of a
commercial or residential property, executed, renewed, or
extended on or after January 1, 2015, void and unenforceable if
it prohibits or unreasonably restricts the installation of an EV
charging station in a parking space:
1)Defined "electric vehicle charging station" or "charging
station" to mean a charging station that is designed in
compliance with the National Electric Code (NEC) Article 625
and delivers electricity from a source outside an electric
vehicle into one or more EV.
2)Defined "reasonable costs" to include but not be limited to
costs associated with those items specified in the "Permitting
Checklist" of the Zero-Emission Vehicles in California:
Community Readiness Guidebook, published by the California
Office of Planning and Research.
3)Defined "reasonable restrictions" or "reasonable standards" as
restrictions or standards that do not significantly increase
the cost of the EV charging station, its installation, or
significantly decrease the charging station's efficiency or
performance.
4)Required an EV charging station to meet appropriate state and
local health and safety standards and requirements, and all
applicable zoning, land use, or other ordinances or land use
permit requirements.
5)Provided that this bill does not grant a lessee the ability to
install EV charging stations in more parking spaces than those
allotted to the lessee in the lease.
6)Provided that if a lessee does not have assigned parking
spaces then the number of parking spaces that will be allotted
to the lessee is determined by multiplying the total number of
parking spaces located at the property by the total square
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feet rented by the lease holder divided by the total rentable
square feet at the property.
7)Provided that if the approval of the landlord is required for
installation of an EV charging station the application must be
processed and approved in the same manner as an application
for approval of a lessee modification to the property and must
not be willfully avoided or delayed.
8)Provided that to the extent installation of an EV charging
station would have the effect of granting a lessee a reserved
parking space, where no such reserved parking space existed
before, the owner of the property may charge a reasonable
monthly rental amount for the parking space.
9)Provided this the bill does not apply to commercial property
where there are already EV charging stations for tenants use
in a ratio equal to or greater than two available parking
spaces for every 100 parking spaces on the property.
10)Exempted the following types of properties from this bill:
a) Commercial property where EV charging stations already
exist for use by tenants in a ratio that is equal to or
greater than two available parking spaces for every 100
parking spaces at the property;
b) Commercial properties with less than 50 parking spaces;
and
c) Residential properties with less than five rental units.
1)Required the written approval or denial of a lessee's
application to install an EV charging
station.
2)Provided that if the lessor's approval is required for
installation of an EV charging station then the application
shall not be willfully avoided or delayed.
3)Provided that if the lessor approval is required and obtained
by the lessee, the lessor shall approve the installation, if
the lessee complies with the applicable provisions of the
lease consistent with the following:
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a) Comply with the lessor's reasonable standards for the
installation of the charging station;
b) Engage a licensed contractor to install the charging
station; and
c) Within 14 days of approval provide a certificate of
insurance for $1 million that names the lessor as an
additional insured.
1)Required that the lessee is responsible for the following:
a) Costs for damage to property and the EV charging station
resulting from the installation, maintenance, repair,
removal, or replacement of the EV charging station;
b) Costs for maintenance, repair, and replacement of the EV
charging station; and
c) The cost of electricity associated with the EV charging
station.
d) Maintain lessee liability coverage for $1 million naming
the lessor as an additional insured under the policy with a
right to notice of cancellation and property insurance
covering any damage or destruction caused by the EV
charging station, named lessor as it interests may appear.
1)Exempted residential rental properties where an EV charging
station has already been installed or where parking is not
provided as part of the lease agreement.
2)Required a lessee in a residential property to provide as part
of the request to install a EV charging station written
agreement to the following:
a) Compliance with the lessor's requirements for the
installation, use, and removal of the EV charging station
and installation of the infrastructure for the charging
station.
b) Compliance with the lessor's requirements for the lessee
to provide an analysis of the financial and physical
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feasibility of the installation of the EV charging station
and its infrastructure.
c) Obligation of the lessee to pay the lessor all costs
associated with installing the EV charging station and its
infrastructure prior to any modification or improvement
being made to the leased premises.
d) Written identification of how, where, and when the
modifications and improvements will be made, and the
permits, construction contracts, performance bond, and
assessments identify for the proposed modification.
e) Obligation of the lessee to pay for the costs associated
with the electrical usage of the charging station, damage,
maintenance, repair, removal, and replacement of the
charging station and modifications or improvements made to
the leased premises associated with the charging station.
1)Required a lessee in a common interest development to comply
with existing requirements for installing an EV charging
station in Civil Code Section 4745.
FISCAL EFFECT : None
COMMENTS : According to a 2012 study completed by the California
Center for Sustainable Energy in coordination with the
California Air Resources Board (ARB), Californians own more than
12,000 plug-in EVs, roughly 35% of all plug-in vehicles in the
United States. Approximately 1,000 new plug-in vehicles are
being sold in the state every month.
In 2012, the Governor issued an Executive Order directing ARB,
the California Energy Commission, the California Public
Utilities Commission, and other relevant agencies working with
the Plug-in Electric Vehicle Collaboration and the Fuel Cell
Partnership to develop benchmarks to help support and facilitate
the rapid commercialization of zero-emission vehicles. The order
directed these agencies to establish benchmarks to help the
state's zero-emission vehicle infrastructure support 1.5 million
EVs by 2025. In furtherance of this goal, the Office of
Planning and Research and the State Architect published
guidelines to address physical accessibility standards and
design guidelines for the installation of plug-in EV charging
stations throughout California. These guidelines are voluntary
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and apply to public and private sites and eventually could
become regulations within California Building Code Chapter 11B:
Accessibility to Public Buildings, Public Accommodations,
Commercial Buildings and Public Housing.
AB 1092 (Levine), Chapter 410, Statutes of 2012, required the
California Building Standards Commission to adopt mandatory
standards for the installation of EV charging infrastructure for
parking spaces in newly constructed multifamily dwellings and
nonresidential development in the next triennial edition of the
California Building Standards Code (Title 24 of the California
Code of Regulations). The first drafts of these guidelines were
recently released and are expected to be adopted in 2015.
SB 209 (Corbett), Chapter 121, Statutes of 2011, prohibited the
governing documents of an association from denying or
restricting the installation of an EV charging station by an
owner in a common interest development (CID). SB 209 specified
conditions for the installation of an EV charging station in the
common area of a CID. This bill is modeled after SB 209 but it
applies to rental commercial or residential properties. SB 209
prohibited a homeowner association from unreasonably restricting
an owner's right to install an EV charging station. Whereas in
a CID the members have a shared ownership of the common space in
a commercial or residential tenant has no ownership of the
common space.
Purpose of the bill: According to the author, "In order to
address the lack of EV infrastructure, AB 2565 seeks to remove
an impediment to EV charging station installation. Property
owners may refuse to allow the installation of a charging
station even if the tenant is willing to pay for the
installation and operation of the station. AB 2565 would remove
this impediment by stating that a property owner cannot deny a
tenant the ability to install a charging station if the tenant
is willing to pay for all expenses related to the installation
and operation of the station."
Analysis Prepared by : Lisa Engel / H. & C.D. / (916) 319-2085
FN: 0005341
AB 2565
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