Bill Text: CA SB1275 | 2013-2014 | Regular Session | Introduced

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

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Bill Title: Vehicle retirement and replacement: Charge Ahead

Spectrum: Partisan Bill (Democrat 7-0)

Status: (Passed) 2014-09-21 - Chaptered by Secretary of State. Chapter 530, Statutes of 2014. [SB1275 Detail]

Download: California-2013-SB1275-Introduced.html

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BILL NUMBER: SB 1275	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator De León

                        FEBRUARY 21, 2014

   An act to amend Section 44125 of, and to add Chapter 8.5
(commencing with Section 44258) to Part 5 of Division 26 of, the
Health and Safety Code, relating to vehicular air pollution.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1275, as introduced, De León. Vehicle retirement and
replacement: Charge Ahead California Initiative.
   (1) Existing law creates an enhanced fleet modernization program
for the retirement of high polluting vehicles to be administered by
the Bureau of Automotive Repair pursuant to guidelines adopted by the
State Air Resources Board. Existing law requires the program's
guidelines to be updated no later than June 30, 2015. Existing law
requires the updated guidelines to ensure vehicle replacement be an
option for all motor vehicle owners and may be in addition to
compensation for vehicles retired, as specified.
   This bill would require the updated guidelines to ensure there be
a mobility option, as defined, and that the compensation for a
mobility option be no less than the combination of what the motor
vehicle owner would have received as compensation toward a
replacement vehicle and the amount of a specified incentive available
for a qualified plug-in battery electric vehicle. The bill also
would require the updated guidelines to ensure the inclusion of car
sharing, as specified.
   (2) Existing law establishes the Air Quality Improvement Program
that is administered by the State Air Resources Board for the
purposes of funding projects related to, among other things,
reduction of criteria air pollutants and improvement of air quality.
Pursuant to the Air Quality Improvement Program, the state board has
established the Clean Vehicle Rebate Project to promote the
production and use of zero-emission vehicles and the Hybrid and
Zero-Emission Truck and Bus Voucher Incentive Project to provide
vouchers to help California fleets to purchase hybrid and
zero-emission trucks and buses.
   This bill would establish the Charge Ahead California Initiative
to be administered by the state board, in consultation with the State
Energy Resources Conservation and Development Commission, air
pollution control and air quality management districts, and public
stakeholders. The bill would require the state board to adopt, no
later than June 30, 2015, a 9-year funding plan, commencing in the
2016-17 fiscal year, to fund specified programs and projects; to
adopt, no later than June 30, 2015, specified revisions to the
criteria and guidelines for the Clean Vehicle Rebate Project and the
Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project; and
to establish programs that further increase access and direct
benefits for disadvantaged and low- and moderate-income communities
from electric transportation.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  The Legislature finds and declares all of the
following:
   (a) Seven of the 10 worst polluted cities in the United States are
in California. California has the largest proportion of its
population, over 40 percent, living close or near busy roadways and
who may be exposed to an elevated risk of air pollution and health
impacts.
   (b) California's low-income and disadvantaged populations continue
to face disproportionate impacts from substandard air quality in the
form of higher rates of respiratory illnesses, hospitalizations, and
premature death. Climate change is expected also to have
disproportionate impacts on disadvantaged, low-income, and other
vulnerable communities in California.
   (c) Residents and businesses annually spent more than $70 billion
in transportation fuel bills.
   (d) Cars and trucks are the single largest source of global
warming pollution in California. They also are the largest
contributor to air pollution that harms public health.
   (e) Zero-emission and near-zero-emission vehicles, including
light-, medium-, and heavy-duty vehicles and buses, can improve the
health and welfare of all residents, especially those in lower income
households and disadvantaged communities, by reducing air pollution
and greenhouse gas emissions.
   (f) California businesses stand to benefit from increased
deployment of zero-emission and near-zero-emission vehicles through
reduced fuel expenditures and reduced pollution exposure to workers
and communities.
   (g) California attracts over half of the nation's venture capital
for clean technology and ranks high among the states in the number of
workers and facilities supporting the clean vehicle and electric
vehicle industries.
   (h) Automakers and truck manufacturers are in early
commercialization of zero-emission and near-zero-emission vehicles,
which can dramatically lower smog and greenhouse gas emissions even
when emissions from the production, distribution, and refining of
fuels and the generation of electricity are considered.
   (i) Electric utilities are providing clean renewable electricity
in increasing amounts to transportation customers throughout the
state. Charging-service providers are beginning to deploy electric
vehicle charging infrastructure throughout the state. Expanding the
market for zero-emission and near-zero-emission vehicles to
under-served markets in California is a priority.
   (j) Low-carbon transportation has been identified as an eligible
investment under the Greenhouse Gas Reduction Fund Investment Plan
and Communities Revitalization Act (Chapter 4.1 (commencing with
Section 39710) of Part 2 of Division 26 of the Health and Safety
Code). The act has identified low-carbon freight transport and
zero-emission passenger transportation as a recommended area for
investment.
   (k) It is the goal of the state to place in service at least one
million zero-emission and near-zero-emission vehicles within eight
years and to establish a self-sustaining zero-emission and
near-zero-emission vehicle industry in which zero-emission and
near-zero-emission vehicles are a viable mainstream option for
individual vehicle purchasers, businesses, and public fleets.
   (l) It is the goal of the state to increase access for
disadvantaged and low-income communities to zero-emission and
near-zero-emission vehicles and to increase the placement of those
vehicles in those communities in order to enhance the air quality,
lower greenhouse gases, and promote overall benefits for those
communities.
   (m) It is the intent of the Legislature that this act be
consistent with the appropriations processes and criteria established
by the Greenhouse Gas Reduction Fund Investment Plan and Communities
Revitalization Act (Chapter 4.1 (commencing with Section 39710) of
Part 2 of Division 26 of the Health and Safety Code).
  SEC. 2.  Section 44125 of the Health and Safety Code is amended to
read:
   44125.  (a) No later than July 1, 2009, the state board, in
consultation with the bureau, shall adopt a program to commence on
January 1, 2010, that allows for the voluntary retirement of
passenger vehicles and light-duty and medium-duty trucks that are
high polluters. The program shall be administered by the bureau
pursuant to guidelines adopted by the state board.
   (b) No later than June 30, 2015, the state board, in consultation
with the bureau, shall update the program established pursuant to
subdivision (a). The program shall continue to be administered by the
bureau pursuant to guidelines updated and adopted by the state
board.
   (c) The guidelines shall ensure all of the following:
   (1) Vehicles retired pursuant to the program are permanently
removed from operation and retired at a dismantler under contract
with the bureau.
   (2) Districts retain their authority to administer vehicle
retirement programs otherwise authorized under law.
   (3) The program is available for high polluting passenger vehicles
and light-duty and medium-duty trucks that have been continuously
registered in California for two years prior to acceptance into the
program or otherwise proven to have been driven primarily in
California for the last two years and have not been registered in
another state or country in the last two years. The guidelines may
require a vehicle to take, complete, or pass a smog check inspection.

   (4) The program is focused where the greatest air quality impact
can be identified.
   (5) (A) Compensation for retired vehicles shall be at least one
thousand five hundred dollars ($1,500) for a low-income motor vehicle
owner, as defined in Section 44062.1, and no more than one thousand
dollars ($1,000) for all other motor vehicle owners.
   (B) Replacement  or a mobility option  may be an option
for all motor vehicle owners and may be in addition to compensation
for vehicles retired pursuant to subparagraph (A). For low-income
motor vehicle owners, as defined in Section 44062.1, compensation
 toward a repla   cement vehicle  shall be no less
than two thousand five hundred dollars ($2,500)  and compensation
for the mobility option shall be no less than the combination of
what the motor vehicle owner would have received as compensation
toward a replacement vehicle and the amount of an incentive available
for a qualified plug-in battery electric vehicle pursuant to the
Clean Vehicle Rebate Project, established pursuant to Section 44274
 . Compensation for all other motor vehicle owners  may
  shall  not exceed compensation for low-income
motor vehicle owners.
   (C) Compensation for either retired or replacement vehicles for
low-income motor vehicle owners may be increased as necessary to
maximize the air quality benefits of the program while also ensuring
participation by low-income motor vehicle owners, as defined in
Section 44062.1. Increases in compensation amounts may be based on
factors, including, but not limited to, the age of the retired or
replaced vehicle, the emissions benefits of the retired or replaced
vehicle, the emissions impact of any replacement vehicle,
participation by low-income motor vehicle owners, as defined in
Section 44062.1, and the location of the vehicle in an area of the
state with the poorest air quality.
   (6) Cost-effectiveness and impacts on disadvantaged and low-income
populations are considered. Program eligibility may be limited on
the basis of income to ensure the program adequately serves persons
of low or moderate income.
   (7) Provisions that coordinate the vehicle retirement and
replacement  and   mobility option  components of
the program with the vehicle retirement component of the bureau's
Consumer Assistance Program, established pursuant to other provisions
of this chapter, to ensure vehicle owners participate in the
appropriate program to maximize emissions reductions.
   (8) Streamlined administration to simplify participation while
protecting the accountability of moneys spent.
   (9) Specific steps to ensure the vehicle replacement  and
mobility option  component of the program is available in areas
designated as federal extreme nonattainment.
   (10) A requirement that vehicles eligible for retirement have
sufficient remaining life. Demonstration of sufficient remaining life
may include proof of current registration, passing a recent smog
check inspection, or passing another test similar to a smog check
inspection.
   (d) When updating the guidelines to the program established
pursuant to subdivision (a), the state board shall study and consider
all the following elements:
   (1) Methods of financial assistance other than vouchers.
   (2) An option for automobile dealerships or other used car sellers
to accept cars for retirement, provided the cars are dismantled
consistent with the requirements of the program.
   (3) An incentive structure with varied incentive amounts to
maximize program participation and cost-effective emissions
reductions.
   (4) Increased emphasis on the replacement of high polluters with
cleaner vehicles or the increased use of public transit  and car
sharing  that results in the increased utilization of the
vehicle replacement  and mobility option  component of the
program.
   (5) Increased emphasis on the reduction of greenhouse gas
emissions through increased vehicle efficiency or transit  and
car sharing use as a result of the program.
   (6) Increased partnerships and outreach with community-based
organizations. 
   (e) For purposes of this section, the following terms have the
following meanings:  
   (1) "Car sharing" has the same definition as in Section 44258.
 
   (2) "Mobility option" means a voucher for public transit or car
sharing. 
  SEC. 3.  Chapter 8.5 (commencing with Section 44258) is added to
Part 5 of Division 26 of the Health and Safety Code, to read:
      CHAPTER 8.5.  CHARGE AHEAD CALIFORNIA INITIATIVE


   44258.  For purposes of this chapter, the following terms have the
following meanings:
   (a) "Car sharing" means a model of vehicle rental where users can
rent vehicles for short periods of time and users are members that
have been preapproved to drive.
   (b) "Near-zero-emission vehicle" means a light-duty plug-in hybrid
electric vehicle or a medium-duty, heavy-duty, or bus hybrid
electric vehicle or plug-in hybrid electric vehicle.
   (c) "Zero-emission vehicle" means a light-duty, medium-duty,
heavy-duty, or bus battery electric vehicle or hydrogen fuel cell
vehicle.
   44258.4.  (a) The Charge Ahead California Initiative is hereby
established and shall be administered by the state board.
   (b) The state board, in consultation with the State Energy
Resources Conservation and Development Commission, districts, and
public stakeholders, shall do all of the following:
   (1) No later than June 30, 2015, adopt a nine-year funding plan,
commencing in the 2016-17 fiscal year, to fund programs and projects
that include, but are not limited to, any of the following:
   (A) The Clean Vehicle Rebate Project, established pursuant to
Section 44274.
   (B) The Hybrid and Zero-Emission Truck and Bus Voucher Incentive
Project, established pursuant to Article 3 (commencing with Section
44274) of Chapter 8.9.
   (C) The Advanced Technology Demonstration Projects, established
pursuant to Section 44274.
   (D) Zero-emission and near-zero-emission vehicle fueling
infrastructure projects eligible under the Alternative and Renewable
Fuel and Vehicle Technology Program, established pursuant to Article
2 (commencing with Section 44272) of Chapter 8.9.
   (E) Light-duty, medium-duty, and heavy-duty zero-emission and
near-zero-emission vehicle deployment projects eligible under the
Alternative and Renewable Fuel and Vehicle Technology Program,
established pursuant to Article 2 (commencing with Section 44272) of
Chapter 8.9.
   (F) Medium-duty and heavy-duty zero-emission and
near-zero-emission vehicle technology demonstration projects eligible
under the Alternative and Renewable Fuel and Vehicle Technology
Program, established pursuant to Article 2 (commencing with Section
44272) of Chapter 8.9.
   (G) Precommercial demonstration projects of advanced freight
technology to move cargo in the state.
   (H) Programs adopted pursuant to paragraph (4).
   (2) No later than June 30, 2015, adopt revisions to the criteria
and guidelines for the Clean Vehicle Rebate Project, established
pursuant to Section 44274, to ensure all of the following:
   (A) Rebate levels are phased down in multiyear increments based on
cumulative sales levels as determined by the state board.
   (B) Modifications are adopted to both improve effectiveness and
ensure that the program better serves persons of low and moderate
incomes.
   (C) Qualified low-income motor vehicle owner participants in the
Enhanced Fleet Modernization Program, established pursuant to Article
11 (commencing with Section 44125) of Chapter 5, are eligible for
rebates for the purchase of both new zero-emission and
near-zero-emission light-duty vehicles that are eligible for rebates
under the Clean Vehicle Rebate Project, established pursuant to
Section 44274, and used zero-emission and near-zero-emission
light-duty vehicles that were eligible for rebates when they were
originally purchased.
   (D) Consideration of the conversion to point-of-sale rebates or
other methods to increase participation rates.
   (3) No later than June 30, 2015, adopt revisions to the criteria
and guidelines for the Hybrid and Zero-Emission Truck and Bus Voucher
Incentive Project to ensure program eligibility for a truck and bus
retrofitted or remanufactured to be a zero-emission or
near-zero-emission vehicle.
   (4) Establish programs that further increase access and direct
benefits for disadvantaged and low- and moderate-income communities
from electric transportation, including, but not limited to, any of
the following:
   (A) A loan or loss reserve credit enhancement program to increase
consumer access to zero-emission and near-zero-emission vehicle
financing and leasing options that can help lower expenditures on
transportation.
   (B) Car sharing programs that serve disadvantaged communities and
incorporate zero-emission and near-zero-emission vehicles.
   (C) Deployment of charging infrastructure in multiunit dwellings
in disadvantaged communities to remove barriers to zero-emission and
near-zero-emission vehicle adoption by those who do not live in
detached homes.