Amended  IN  Assembly  March 19, 2019

CALIFORNIA LEGISLATURE— 2019–2020 REGULAR SESSION

Assembly Bill No. 1744

Introduced by Assembly Member Salas

February 22, 2019

An act to amend Section 44299.91 of the Health and Safety Code, relating to vehicular air pollution. An act to add Section 43013.4 to the Health and Safety Code, relating to vehicular air pollution.


LEGISLATIVE COUNSEL'S DIGEST


AB 1744, as amended, Salas. Schoolbuses: retrofit and replacement. State Air Resources Board: regulations: emissions reduction credit program.
Existing law imposes various limitations on the emissions of air contaminants for the control of air pollution from vehicular and nonvehicular sources. Pursuant to that authority, the State Air Resources Board has adopted a regulation to significantly reduce emissions of particulate matter, oxides of nitrogen, and other criteria air pollutants from existing diesel trucks and buses operating in the state, commonly known as the Truck and Bus Regulation.
This bill would require the state board to develop and implement an emissions reduction credit program, as specified, for any regulation to reduce emissions of diesel particulate matter, oxides of nitrogen, and other criteria air pollutants from in-use, heavy-duty diesel-fueled vehicles.

Existing law establishes various programs for the reduction of vehicular air pollution, including the Lower-Emission School Bus Program adopted by the State Air Resources Board. The Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006, approved by the voters as Proposition 1B at the November 7, 2006, general election, authorizes the issuance of $19.925 billion of general obligation bonds for specified purposes, including $200 million for schoolbus retrofit and replacement purposes. Existing law requires the state board to allocate those bond moneys for the schoolbus retrofit and replacement program to air pollution control and air quality management districts by prioritizing the retrofit or replacement of the most polluting schoolbuses in small air districts first and then medium air districts, as specified. Existing law requires each allocation to provide sufficient funding for at least one project to be implemented as part of the Lower-Emission School Bus Program.

This bill instead would require the state board to prioritize the retrofit or replacement of the most polluting and oldest schoolbuses that operate in air districts that are designated federal extreme nonattainment, followed by small air districts, and then medium air districts, as specified.

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 43013.4 is added to the Health and Safety Code, to read:

43013.4.
 (a) The state board shall develop and implement an emissions reduction credit program for a regulation to reduce emissions of diesel particulate matter, oxides of nitrogen, and other criteria air pollutants from in-use, heavy-duty diesel-fueled vehicles. The emissions reduction credit program shall include all of the following criteria:
(1) Results in reductions of diesel particular matter, oxides of nitrogen, and other criteria air pollutants that are real, permanent, quantifiable, verifiable, and enforceable by the state board.
(2) Be based on the amount of emissions that are created from vehicles subject to a regulation to reduce emissions of diesel particulate matter, oxides of nitrogen, and other criteria air pollutants from in-use, heavy-duty diesel-fueled vehicles.
(3) Allows an emissions reduction credit to be used in any compliance year for owners and operators of any of the following:
(A) A low-mileage construction truck operated for less than 5,000 miles per year in the state each compliance year.
(B) A vehicle operated for less than 5,000 miles per year that is either of the following:
(i) A truck owned by a contractor licensed through the Contractors’ State License Board.
(ii) A single-engine crane with a load rating of 15 tons or more.
(b) If the state board makes a determination at a public hearing that the implementation of this section would violate the current state implementation plan, as required by the federal Clean Air Act (42 U.S.C. Sec. 7401 et seq.), the state board shall delay the implementation of this section until the state board has submitted an amended state implementation plan to the United States Environmental Protection Agency for approval.

SECTION 1.Section 44299.91 of the Health and Safety Code is amended to read:
44299.91.

Of the funds appropriated pursuant to Item 3900-001-6053 of Section 2.00 of the Budget Act of 2007 and for the purposes of this chapter, the state board shall allocate the funds in accordance with all of the following:

(a)All schoolbuses in operation in the state of model year 1976 or earlier shall be replaced.

(b)(1)The funds remaining after the allocation made pursuant to subdivision (a) shall be apportioned to districts based on the number of schoolbuses of model years 1977 to 1986, inclusive, that are in operation within each district consistent with subdivision (i).

(2)Each district shall determine the percentage of its allocation to spend between replacement of schoolbuses of model years 1977 to 1986, inclusive, and retrofit of schoolbuses of any model year. Of the funds spent by a district for replacement of schoolbuses pursuant to this paragraph, a district shall replace the oldest schoolbuses of model years 1977 to 1986, inclusive, within the district. Of the funds spent by a district for retrofit of schoolbuses pursuant to this paragraph, a district shall retrofit the most polluting schoolbuses within the district.

(c)All schoolbuses replaced pursuant to this section shall be scrapped.

(d)These funds shall be administered by either the State Energy Resources Conservation and Development Commission or the district.

(e)If a district’s funds, including accrued interest, are not committed by an executed contract as reported to the state board on or before June 30, 2012, then those funds shall be transferred, on or before January 1, 2013, to another district that demonstrates an ability to expend the funds by January 1, 2014. In implementing this section, the state board, in consultation with the districts, shall, by September 30, 2012, establish a list of potential recipient districts, prioritizing districts consistent with subdivision (i).

(f)Each allocation made pursuant to this section to a district shall provide enough funding for at least one project to be implemented pursuant to the Lower-Emission School Bus Program adopted by the state board. In the event a district has unspent funds as of January 1, 2014, the district shall work with the state board to transfer the unspent funds to an alternative district with existing demand consistent with subdivision (i).

(g)Funds made available pursuant to this chapter to a district shall be expended by June 30, 2014.

(h)All funds not expended by a district by June 30, 2014, shall be returned to the state board.

(i)Beginning January 1, 2020, funds authorized by the state board shall be allocated to districts by prioritizing to retrofit or replace the most polluting and oldest schoolbuses that operate in districts that are designated as federal extreme nonattainment, followed by small districts first, and then medium districts, as defined by the state board. Each allocation shall provide sufficient funding for at least one project to be implemented pursuant to the Lower-Emission School Bus Program adopted by the state board. If a district has unspent funds within six months of the expenditure deadline, the district shall work with the state board to transfer those funds to an alternative qualifying district with existing demand.