Bill Text: CA AB33 | 2021-2022 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

---

Bill Title: Energy Conservation Assistance Act of 1979: energy storage systems and electric vehicle charging infrastructure: Native American tribes.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Passed) 2021-09-23 - Chaptered by Secretary of State - Chapter 226, Statutes of 2021. [AB33 Detail]

Download: California-2021-AB33-Amended.html

---

Amended  IN  Assembly  March 16, 2021

CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Assembly Bill

No. 33

---

Introduced by Assembly Member Ting
(Principal coauthor: Senator Becker)
(Coauthor: Assembly Member Chiu)

December 07, 2020

---

An act to add Section 17280.2 to the Education Code, to amend Section 15814.30 of the Government Code, and to add Sections 385.5, 455.6, and 2774.7 to the Public Utilities Code, relating to natural gas. amend Sections 25410.6, 25411, 25412.5, 25413, 25414, and 25415 of the Public Resources Code, relating to energy, and making an appropriation therefor.

LEGISLATIVE COUNSEL'S DIGEST

AB 33, as amended, Ting. Natural gas. Energy Conservation Assistance Act of 1979: energy storage systems and transportation electrification infrastructure.

The Warren-Alquist State Energy Resources Conservation and Development Act establishes the State Energy Resources Conservation and Development Commission (Energy Commission). Existing law requires the Energy Commission, working with the State Air Resources Board and the Public Utilities Commission, to prepare and bienially update a statewide assessment of the electric vehicle charging infrastructure needed to support the levels of electric vehicle adoption required for the state to meet its goals of putting at least 5,000,000 zero-emission vehicles on California roads by 2030 and of reducing emissions of greenhouse gases to 40% below 1990 levels by 2030. The Energy Conservation Assistance Act of 1979 states the intent of the Legislature that the Energy Commission administer the State Energy Conservation Assistance Account to provide grants and loans to local governments and public institutions to maximize energy use savings, including technical assistance, demonstrations, and identification and implementation of cost-effective energy efficiency measures and programs in existing and planned buildings or facilities.

This bill would require the Energy Commission, in administering the account, to provide grants and loans to local governments and public institutions to maximize energy use savings, expand installation of energy storage systems and expand the availability of transportation electrification infrastructure, including technical assistance, demonstrations, and identification and implementation of cost-effective energy efficiency, energy storage, and transportation electrification infrastructure measures and programs in existing and planned buildings or facilities.

Existing law establishes the account as a continuously appropriated account in the General Fund.

By expanding the purposes for which moneys in the account can be expended, this bill would thereby make an appropriation.

Existing law vests the Department of General Services with the authority to supervise the design and construction of a school building or the reconstruction or alteration of or addition to a school building to ensure that plans and specifications comply with applicable rules and regulations and building standards, and to ensure that the work of construction has been performed in accordance with the approved plans and specifications, for the protection of life and property.

This bill would prohibit the department from approving or providing funding from the construction on new school buildings that have natural gas connections.

Existing law requires all new public buildings, as defined, to be models of energy efficiency and designed, constructed, and equipped with all energy efficiency measures, materials, and devices that are feasible and cost-effective over the life of the building or the life of the energy efficiency measures, whichever is less.

This bill would prohibit new public buildings for which construction begins on or after January 1, 2022, to have natural gas connections.

Under existing law, the Public Utilities Commission has regulatory authority over public utilities, including electrical corporations. Existing law authorizes the commission to fix the rates and charges for every public utility and requires that those rates and charges be just and reasonable.

This bill would require the commission to require each electrical corporation to file a schedule of rates and charges for the provision of electric service to all-electric homes, as defined. The bill would require local publicly owned electric utilities to file a schedule of rates and charges for the provision of electric service to all-electric homes. By imposing additional duties on local publicly owned electric utilities, this bill would impose a state-mandated local program.

Under existing law, the commission has the responsibility to enforce the rules governing the extension of service by gas corporations to new residential, commercial, agricultural, and industrial customers.

This bill would prohibit the commission from authorizing a gas corporation to provide service extension allowances or line installation allowances to its customers. The bill would prohibit a local publicly owned gas utility from providing service extension allowances or line installation allowances to its customers.

Under existing law, a violation of the Public Utilities Act or an order or direction of the commission is a crime.

Because the provisions of this bill would be codified in the Public Utilities Act and would require action by the commission to implement its requirements, a violation of these provisions by a load-serving entity would impose a state-mandated local program by creating a new crime.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for specified reasons.

Digest Key

Vote: MAJORITY2/3   Appropriation: NOYES   Fiscal Committee: YES   Local Program: YESNO  

---

Bill Text

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

SECTION 1.

 Section 25410.6 of the Public Resources Code is amended to read:

25410.6.

 (a) It is the intent of the Legislature that the The commission shall administer the State Energy Conservation Assistance Account to provide grants and loans to local governments and public institutions to maximize energy use savings, savings, expand installation of energy storage systems, and expand the availability of transportation electrification infrastructure, including, but not limited to, technical assistance, demonstrations, and identification and implementation of cost-effective energy efficiency efficiency, energy storage, and transportation electrification infrastructure measures and programs in existing and planned buildings or facilities.

(b) It is further the intent of the Legislature that the commission seek the assistance of utility companies in providing energy audits for local governments and public institutions and in publicizing the availability of State Energy Conservation Assistance Account funds to qualified entities.

SEC. 2.

 Section 25411 of the Public Resources Code is amended to read:

25411.

 As used in this chapter:

(a) “Allocation” means a loan of funds by the commission pursuant to the procedures specified in this chapter.

(b) “Building” means any existing or planned structure that that, for an energy conservation project, includes a heating or cooling system, or both. Additions to an original building shall be considered part of that building rather than a separate building.

(c) “Eligible institution” means a school, hospital, public care institution, or a unit of local government.

(d) “Energy audit” means a determination of the energy consumption characteristics of a building or facility that does all of the following:

(1) Identifies the type, size, and energy use level of the building or facility and the major energy using systems of the building or facility.

(2) Determines appropriate energy conservation maintenance and operating procedures.

(3) Indicates the need, if any, for the acquisition and installation of energy conservation measures.

(e) “Energy conservation maintenance and operating procedure” means a modification or modifications in the maintenance and operations of a building or facility, and any installations therein (based on the use time schedule of the building or facility), which are designed to reduce energy consumption in the building or facility and that require no significant expenditure of funds.

(f) “Energy conservation measure” means an installation or modification of an installation in a building or facility that is primarily intended to reduce energy consumption or peak electricity demand, or allow the use of a more desirable energy source.

(g) “Energy conservation project” means an undertaking to acquire and to install one or more energy conservation measures in a building or facility, and technical assistance in connection with that undertaking.

(h) “Facility” means any major energy using system of an eligible institution whether or not housed in a building.

(i) “Hospital” means a public or nonprofit institution that is both of the following:

(1) A general hospital, tuberculosis hospital, or any other type of hospital, other than a hospital furnishing primarily domiciliary care.

(2) Duly authorized to provide hospital services under the laws of this state.

(j) “Hospital building” means a building housing a hospital and related operations, including laboratories, laundries, outpatient departments, nurses’ home and training activities, and central service operations in connection with a hospital, and also includes a building housing education or training activities for health professions personnel operated as an integral part of a hospital.

(k) “Local government building” means a building that is primarily occupied by offices or agencies of a unit of local government or by a public care institution.

(l) “Project” means a purpose for which an allocation may be requested and made under this chapter. Those purposes shall include energy audits, energy conservation and operating procedures, and energy conservation measures in existing and planned buildings and facilities, energy conservation projects, and technical assistance programs.

(m) “Public care institution” means a public or nonprofit institution that owns:

(1) A long-term care institution.

(2) A rehabilitation institution.

(3) An institution for the provision of public health services, including related publicly owned services such as laboratories, clinics, and administrative offices operated in connection with the institution.

(4) A residential child care center.

(n) “Public or nonprofit institution” means an institution owned and operated by:

(1) The state, a political subdivision of the state, or an agency or instrumentality of either.

(2) An organization exempt from income tax under Section 501(c)(3) of the Internal Revenue Code of 1954.

(3) In the case of public care institutions, an organization also exempt from income tax under Section 501(c)(4) of the Internal Revenue Code of 1954.

(o) “School” means a public or nonprofit institution, including a local educational agency, which:

(1) Provides, and is legally authorized to provide, elementary education or secondary education, or both, on a day or residential basis.

(2) Provides, and is legally authorized to provide, a program of education beyond secondary education, on a day or residential basis and meets all of the following requirements:

(A) Admits as students only persons having a certificate of graduation from a school providing secondary education, or the recognized equivalent of that certificate.

(B) Is accredited by a nationally recognized accrediting agency or association.

(C) Provides an education program for which it awards a bachelor’s degree or higher degree or provides not less than a two-year program that is acceptable for full credit toward a degree at any institution that meets the requirements of subparagraphs (A) and (B) and provides that program.

(3) Provides not less than a one-year program of training to prepare students for gainful employment in a recognized occupation and that meets the provisions of paragraph (2).

(p) “School building” means a building housing classrooms, laboratories, dormitories, athletic facilities, or related facilities operated in connection with a school.

(q) “Technical assistance costs” means costs incurred for the use of existing personnel or the temporary employment of other qualified personnel, or both, necessary for providing technical assistance.

(r) “Technical assistance program” means assistance to schools, hospitals, local government, and public care institutions and includes, but is not limited to:

(1) Conducting specialized studies identifying and specifying energy savings and related cost savings that are likely to be realized as a result of:

(A) Modification of maintenance and operating procedures in a building or facility, in addition to those modifications implemented after the preliminary energy audit, or

(B) Acquisition and installation of one or more specified energy conservation measures in the building or facility, or as a result of both.

(C) New construction activities.

(2) Planning of specific remodeling, renovation, repair, replacement, or insulation projects related to the installation of energy conservation measures in the building or facility.

(3) Developing and evaluating alternative project implementation methods and proposals.

(s) “Unit of local government” means a unit of general purpose government below the state, a special district, or any combination of that unit and special district formed for the joint exercise of power.

SEC. 3.

 Section 25412.5 of the Public Resources Code is amended to read:

25412.5.

 The commission shall take steps to solicit loan applications to do all of the following:

(a) Encourage an equitable distribution of loans statewide.

(b) Award loans for energy conservation projects or measures in regions with high summer peak loads, with high heating costs, or that have electrical or natural gas system distribution constraints.

(c) Place an emphasis on offering these loans in disadvantaged communities.

SEC. 4.

 Section 25413 of the Public Resources Code is amended to read:

25413.

 Applications for energy conservation projects or measures may be approved by the commission only in those instances where the eligible institution has furnished information satisfactory to the commission that the costs of the project, plus interest on state funds loaned, calculated in accordance with Section 25415, will be recovered through savings in the cost of energy to the institution during the repayment period of the allocation.

The savings shall be calculated in a manner prescribed by the commission.

SEC. 5.

 Section 25414 of the Public Resources Code is amended to read:

25414.

 Annually at the conclusion of each fiscal year, but not later than October 31, each eligible institution that has received an allocation for an energy conservation project or measures pursuant to this chapter shall compute the cost of energy saved as a result of implementing a an energy conservation project or measures funded by the allocation. The cost shall be calculated in a manner prescribed by the commission.

SEC. 6.

 Section 25415 of the Public Resources Code is amended to read:

25415.

 (a) Each eligible institution to which an allocation has been made under this chapter shall repay the principal amount of the allocation, plus interest, in not more than 40 equal semiannual payments, as determined by the commission. Loan repayments shall be made in accordance with a schedule established by the commission. The repayment period may shall not exceed the life of the equipment, as determined by the commission or the lease term of the building in which the energy conservation conservation, energy storage, or transportation electrification infrastructure project or measures will be installed.

(b) Notwithstanding any other law, the commission shall, unless it determines that the purposes of this chapter would be better served by establishing an alternative interest rate schedule, periodically set interest rates on the loans based on surveys of existing financial markets and may authorize no-interest loans.

(c) The governing body of each eligible institution shall annually budget an amount at least sufficient to make the semiannual payments required in this section. The For an energy conservation project or measures, the amount shall not be raised by the levy of additional taxes but shall instead be obtained by a savings in energy costs or other sources.

SECTION 1.Section 17280.2 is added to the Education Code, to read:

17280.2.

On or after January 1, 2022, the Department of General Services shall not approve or provide funding for the construction of a new school building that has natural gas connections.

SEC. 2.Section 15814.30 of the Government Code is amended to read:

15814.30.

(a)(1)All new public buildings for which construction begins after January 1, 1993, shall be models of energy efficiency and shall be designed, constructed, and equipped with all energy efficiency measures, materials, and devices that are feasible and cost-effective over the life of the building or the life of the energy efficiency measure, whichever is less.

(2)In determining which energy efficiency measures, materials, and devices are feasible and cost-effective over the life of the building, the State Architect and the Department of General Services shall consult with the State Energy Resources Conservation and Development Commission.

(b)All new public buildings for which construction begins on or after January 1, 2022, shall not have any natural gas connections.

(c)For purposes of this section, “cost-effective” means that savings generated over the life of the building or the life of the energy efficiency measure, whichever is less, shall exceed the cost of purchasing and installing the energy efficiency measures, materials, or devices by not less than 10 percent.

SEC. 3.Section 385.5 is added to the Public Utilities Code, to read:

385.5.

(a)For purposes of this section, “all-electric home” means a residential building with electric service only.

(b)Each local publicly owned electric utility shall establish a schedule of rates and charges for the provision of electric service to all-electric homes.

SEC. 4.Section 455.6 is added to the Public Utilities Code, to read:

455.6.

(a)For purposes of this section, “all-electric home” means a residential building with electric service only.

(b)The commission shall require each electrical corporation to file a schedule of rates and charges for the provision of electric service to all-electric homes.

SEC. 5.Section 2774.7 is added to the Public Utilities Code, to read:

2774.7.

(a)On or after January 1, 2022, the commission shall not authorize a gas corporation to provide a service extension allowance or a line installation allowance to its customers.

(b)On and after January 1, 2022, local publicly owned gas utility shall not provide a service extension allowance or a line installation allowance to its customers.

SEC. 6.

No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because a local agency or school district has the authority to levy service charges, fees, or assessments sufficient to pay for the program or level of service mandated by this act or because costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.