BILL ANALYSIS                                                                                                                                                                                                    



                                                               SB 1408
                                                                       

                      SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
                               Byron D. Sher, Chairman
                              1999-2000 Regular Session
                                           
           BILL NO:    SB 1408
           AUTHOR:     Senator Alarcon
           AMENDED:    As introduced
           FISCAL:     Yes               HEARING DATE:     April 24, 2000
           URGENCY:    No                CONSULTANT:       Randy Pestor
            
           SUBJECT  :    ENVIRONMENTAL JUSTICE

            SUMMARY  :    
           
            Existing law  :

           1) Requires the Governor's Office of Planning and Research  
              (OPR) to be the coordinating agency in state government for  
              environmental justice programs and requires the OPR  
              director to carry out certain related responsibilities.

           2) Under Environmental Justice Law, requires the California  
              Environmental Protection Agency (Cal-EPA) to meet certain  
              requirements relating to environmental justice, and to  
              develop a model environmental justice mission statement for  
              boards, departments, and offices within the agency.

           3) Under the Warren-Alquist State Energy Resources  
              Conservation and Development Act, establishes the State  
              Energy Resources Conservation and Development Commission  
              (CEC) with various energy responsibilities, including  
              planning and forecasting, assistance, research and  
              development, and power facility and site certification.

            This bill  :

           1) Creates the Environmental Justice Technical Assistance  
              Grant Demonstration Program that:

              a)    Requires OPR to allocate grants, from funds  
                 appropriated for that purpose, in amounts up to $25,000  
                 for community-based nonprofit organizations in  
                 communities with low-income or minority populations to  









                                                               SB 1408
                                                                 Page 2

                 obtain technical assistance in connection with the  
                 organization's participation in a decision to issue a  
                 permit by any board, department, or office within  
                 Cal-EPA, or in a decision to issue a permit by the State  
                 Energy Resources Conservation and Development  
                 Commission.

              b)    Requires OPR to submit an evaluation of the grant  
                 demonstration program to the Legislature no later than  
                 June 30, 2004.

              c)    Includes related legislative intent.

              d)    Is inoperative on June 30, 2004, and sunsets January  
                 1, 2005.

            COMMENTS  :

            1) Purpose of Bill  .  SB 115 (Solis) Chapter 690, Statutes of  
              1999, requires OPR to be the coordinating agency in state  
              government for environmental justice programs and enacted  
              the Environmental Justice Law (#1, 2 above).

           According to the author, many "low-income and minority  
              communities are subject to disproportionately high and  
              adverse human health or environmental effects.  One of the  
              causes of this historical inequality of environmental  
              burdens is the lack of financial and other resources  
              low-income and minority communities have to obtain  
              technical assistance with complicated state permitting  
              processes.  Without such technical assistance, low-income  
              and minority communities are at a disadvantage in terms of  
              effectively voicing their concerns about a project."

           The author notes that providing technical assistance grants to  
              these community-based organizations in these communities  
              "will facilitate greater participation by such communities  
              in permitting decisions and reduce the risk that already  
              overburdened communities will be subject to additional  
              environmental degradations."

           The author has also requested a Budget augmentation of  
              $300,000 for OPR to fund ten grants and administrative  









                                                               SB 1408
                                                                 Page 3

              costs.

            2) Background.   Environmental justice refers to the fair  
              treatment of people of all races, cultures, and income with  
              respect to the development, adoption, implementation, and  
              enforcement of environmental laws, regulations, and  
              policies.  On February 11, 1994, President Clinton signed  
              Executive Order 12898 regarding "federal actions to address  
              environmental justice in minority populations and  
              low-income populations."  The executive order directs  
              federal agencies to address human health and environmental  
              issues in low-income communities and minority communities,  
              and followed a 1992 Environmental Protection Agency (EPA)  
              report indicating that "communities of color and low-income  
              populations experience higher than average exposures to  
              selected air pollutants, hazardous waste facilities, and  
              other forms of environmental pollution."  

           The President also directed each federal agency to address  
              effects of actions on these communities when analysis is  
              required under the National Environmental Policy Act  
              (NEPA).  The Council on Environmental Quality (CEQ) has  
              oversight of federal government compliance with the  
              executive order and NEPA, and the CEQ has developed  
              guidance to assist federal agencies with their NEPA  
              procedures (  NOTE  :  Enacted in 1970, CEQA was modeled after  
              NEPA which was enacted by Congress in 1969).

           The EPA has the following three environmental justice grant  
              programs:  1) Environmental Justice, to provide financial  
              assistance to eligible community groups and tribal  
              governments for projects to address environmental justice  
              issues; 2) Environmental Justice Community/University  
              Partnership, to help community groups address local  
              environmental justice issues through partnerships with  
              higher education institutions; and 3) Environmental Justice  
              through Pollution Prevention, to empower low income,  
              minority communities through education on environmental  
              issues and to provide pollution prevention resources for  
              addressing these issues.

           EPA's Office of Civil Rights also processes complaints filed  
              under Title VI of the Civil Rights Act of 1964, "alleging  









                                                               SB 1408
                                                                 Page 4

              discriminatory intent or effect based on race, color, or  
              national origin resulting from the issuance of pollution  
              control permits by State or local governmental agencies  
              that receive EPA funding." 

           SB 115 (Solis), as approved by the committee, tracked  
              requirements of federal environmental justice provisions by  
              requiring each state agency to make environmental justice  
              part of its mission, requiring OPR to develop an agencywide  
              environmental justice strategy, and requiring changes to  
              the CEQA guidelines so that environmental justice matters  
              are considered in the CEQA process.  SB 115 required OPR to  
              identify communities and populations disproportionately  
              affected by high and adverse environmental effects and to  
              identify communities and populations where existing data or  
              information is insufficient or incomplete and propose  
              strategies for correcting those deficiencies.  SB 115 also  
              required OPR and the secretary to coordinate their efforts  
              with the CEQ and U.S. Environmental Protection Agency.   
              Because of concerns by the Governor and certain interest  
              groups, SB 115 was subsequently amended to strike these  
              provisions and add certain OPR and Cal-EPA requirements.

            3) Examples of environmental justice matters.   There are a  
              number of factors to be considered in identifying an  
              environmental justice issue.  Factors that could be  
              considered include, for example, a concentration of  
              environmental hazards in an affected area because of the  
              lack of public participation, a lack of adequate protection  
              under health and environmental laws, or unusual  
              vulnerability of a community to hazards.  Examples of  
              environmental justice problems could include inadequate  
              stormwater protection in a predominately minority populated  
              section of a city compared to systems in other parts of the  
              city, siting a landfill in a community with an  
              overconcentration of other hazards such as Superfund sites,  
              placement of a highway through a low-income and minority  
              community, and unsafe stormwater discharges harming fish  
              that are part of the subsistence diet of Native Americans.   
              Environmental justice concerns, therefore, are not limited  
              to the responsibilities of entities under Cal-EPA.

            4) More conditions for grantees?   SB 1408 currently requires  









                                                               SB 1408
                                                                 Page 5

              grantees to be community-based nonprofit organizations in  
              communities with low-income and minority populations to  
              obtain technical assistance in regarding the organization's  
              participation in certain permit activities.

           Should other conditions or goals be included (  e.g.  ,  
              identifying environmental justice problems; improving  
              communication and coordination between the community,  
              agencies, and stakeholders; building and strengthening  
              capacity to identify and respond to issues; collecting and  
              interpreting data; training residents in their rights and  
              responsibilities; helping to resolve environmental  
              problems; identifying pollution sources; monitoring).

           Should possible grantees be organizations that can provide,  
              rather than only obtain, technical assistance?

            5) Increase participation regarding other state agency  
              permits?   SB 1408 involves participation in Cal-EPA and CEC  
              permit issues, yet other state permit issues involve  
              environmental justice concerns (  e.g.  , Business, Housing,  
              and Transportation Agency; Resources Agency).

           Should this bill include other state agency permit matters? 

            6) Related legislation.   SB 89 (Escutia), currently at the  
              Assembly Desk, revises the Environmental Justice Law to  
              require the Cal-EPA Secretary to convene a Working Group  
              with certain responsibilities, to convene a technical  
              advisory group to assist the working group, and to prepare  
              and submit a report to the Governor and the Legislature  
              every three years regarding implementation of the law.

           SB 1622 (Alarcon), to be heard by the committee April 24,  
              2000, revises Environmental Justice Law, to require  
              Cal-EPA, in consultation with the Resources Agency and CEC,  
              to also develop a model environmental justice mission  
              statement for the CEC.  Under the Warren-Alquist State  
              Energy Resources Conservation and Development Act, SB 1622  
              requires the CEC on or before January 1, 2002 to adopt  
              regulations that will ensure the CEC is in conformance with  
              applicable federal guidance relating to environmental  
              justice when certifying sites and related facilities.









                                                               SB 1408
                                                                 Page 6


            7) Support and opposition highlights.   Supporters of SB 1408  
              generally note that the lack of resources to low-income and  
              minority communities "is one of the reasons for the heavy  
              human health burdens borne by many [of these communities]"  
              and that the bill would "facilitate informed and effective  
              participation . . . " and "resolve conflicts early . .  ."   
              Opponents generally note that state agencies responsible  
              for permitting projects have staff that can properly  
              evaluate projects and make decisions, and that the bill is  
              premature because "legislation enacted last year regarding  
              environmental justice has not been fully implemented."

            SOURCE  :        Senator Alarcon  

           SUPPORT  :       American Federation of State, County and  
                          Municipal
           Employees, American Lung Association, California League of  
                          Conservation Voters, California Public Interest  
                          Research Group, Greenlining Institute, Planning  
                          and Conservation League, Sierra Club California
            
           OPPOSITION  :    California Chamber of Commerce, California  
                          Council for Environmental and Economic Balance,  
                          Printing Industries of California, Western  
                          States Petroleum Association