Bill Text: CA SB32 | 2015-2016 | Regular Session | Amended

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

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Bill Title: California Global Warming Solutions Act of 2006: emissions limit.

Spectrum: Partisan Bill (Democrat 31-0)

Status: (Passed) 2016-09-08 - Chaptered by Secretary of State. Chapter 249, Statutes of 2016. [SB32 Detail]

Download: California-2015-SB32-Amended.html

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BILL NUMBER: SB 32	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  JUNE 10, 2016
	AMENDED IN ASSEMBLY  SEPTEMBER 10, 2015
	AMENDED IN ASSEMBLY  SEPTEMBER 4, 2015
	AMENDED IN ASSEMBLY  AUGUST 31, 2015
	AMENDED IN SENATE  JUNE 1, 2015
	AMENDED IN SENATE  MAY 5, 2015
	AMENDED IN SENATE  MARCH 16, 2015

INTRODUCED BY   Senator Pavley
   (Coauthors: Senators Allen, Beall, Block, De León, Hancock, Hill,
Jackson, Leno, Liu, McGuire, Mitchell, Monning, Wieckowski, and Wolk)

   (Coauthors: Assembly Members Bloom, Chau, Chiu, Chu, Cristina
Garcia,  Eduardo Garcia,  McCarty, Quirk, Rendon, Mark
Stone, Thurmond, Ting, Williams, and Wood)

                        DECEMBER 1, 2014

   An act to  add Chapter 6 (commencing with Section 12897)
to Part 2.5 of Division 3 of Title 2 of the Government Code, and to
 amend Sections 38505, 38550, 38551, and 38561 of the Health
and Safety Code, relating to greenhouse gases.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 32, as amended, Pavley. California Global Warming Solutions Act
of  2006.   2006: emissions limit. 

   (1) The 
    The  California Global Warming Solutions Act of 2006
designates the State Air Resources Board as the state agency charged
with monitoring and regulating sources of emissions of greenhouse
gases. The state board is required to adopt a statewide greenhouse
gas emissions limit equivalent to the statewide greenhouse gas
emissions level in 1990 to be achieved by 2020 and to adopt rules and
regulations in an open public process to achieve the maximum,
technologically feasible, and cost-effective greenhouse gas emissions
reductions.
   This bill would require the state board to approve a statewide
greenhouse gas emissions limit that is equivalent to 40% below the
1990 level to be achieved by 2030.  The bill also would state
the intent of the Legislature for the Legislature and appropriate
agencies to adopt complementary policies that ensure the long-term
emissions reductions advance specified criteria.  
   (2) The California Global Warming Solutions Act of 2006 requires
the State Air Resources Board to prepare and approve a scoping plan
for achieving the maximum technologically feasible and cost-effective
reductions in greenhouse gas emissions and to update the scoping
plan at least once every 5 years.  
   This bill would prohibit the state board from taking any action to
implement the next update of the scoping plan until a draft of, and
the final version of, the next update to the scoping plan have been
submitted to the Joint Legislative Budget Committee and the
appropriate policy committees of the Legislature, as specified,
before adoption of the updated scoping plan and until the state board
has conducted specified evaluations relating to reducing greenhouse
gas emissions. The bill would require the Legislature to hold at
least one oversight hearing to review that draft and one oversight
hearing to review the final version. The bill would require the state
board, on or before January 1, 2017, and each year thereafter, to
prepare and submit to the Joint Legislative Budget Committee and
appropriate policy committees a report relating to achieving the
greenhouse gas emissions limits required by the California Global
Warming Solutions Act of 2006. The bill would require the Office of
Environmental Health Hazard Assessment, on or before July 1, 2017, to
prepare and make available to the public and the Legislature a
report analyzing the impacts of the greenhouse gas emissions limits
adopted by the state board on disadvantaged communities, as
specified.  
   (3) This bill would also 
    This bill also would  make conforming changes and
 would  provide that its provisions are severable.
   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.  It is the intent of the Legislature that all relevant
provisions of  Division   the California Global
Warming Solutions Act of 2006 (Division  25.5 (commencing with
Section 38500) of the Health and Safety  Code 
Code)  apply to the sections of this act amending sections
within  Division  the California Global Warming
Solutions Act of 2006 (Division  25.5 (commencing with Section
38500) of the Health and Safety  Code.   Code).
 
  SEC. 2.    Chapter 6 (commencing with Section
12897) is added to Part 2.5 of Division 3 of Title 2 of the
Government Code, to read:
      CHAPTER 6.  LEGISLATIVE ACCOUNTABILITY AND OVERSIGHT OF
CALIFORNIA GREENHOUSE GAS EMISSIONS REDUCTION POLICIES


   12897.  (a) The Legislature finds and declares that developing
regulations and policies by the State Air Resources Board or other
state agencies for purposes of implementing Division 25.5 (commencing
with Section 38500) of the Health and Safety Code should be
conducted transparently and in a timely manner to afford the
Legislature the opportunity to shape and oversee the implementation
of that division on an ongoing basis.
   (b) The purpose of this chapter is to establish new legislative
oversight and accountability over any regulations and policies
undertaken to implement Division 25.5 (commencing with Section 38500)
of the Health and Safety Code.
   12898.  (a) The State Air Resources Board shall not take any
action to implement the next update of the scoping plan described in
Section 38561 of the Health and Safety Code unless all of the
following have occurred:
   (1) The State Air Resources Board has conducted, with input from
an independent advisory committee, an evaluation of both of the
following:
   (A) The current and projected actions other jurisdictions within
the United States and around the world are taking to reduce
greenhouse gas emissions and how those actions compare to and
complement California's efforts.
   (B) The cost-effectiveness of the various emissions reduction
strategies the State Air Resources Board has undertaken to achieve
the 2020 statewide greenhouse gas emissions limit pursuant to Section
38550 of the Health and Safety Code, which shall consider the
marginal costs of the strategies and associated benefits to the
health, safety, and welfare of state residents, worker safety,
quality of life in the state, and the state's environment.
   (2) A draft of the next update to the scoping plan has been
submitted to the Joint Legislative Budget Committee and the
appropriate policy committees of the Legislature.
   (3) The final version of the update to the scoping plan has been
submitted to the Joint Legislative Budget Committee and the
appropriate policy committees of the Legislature at least 60 days
before approval of the updated scoping plan.
   (b) The Legislature shall hold at least one oversight hearing to
review the draft of the next update to the scoping plan and at least
one oversight hearing to review the final version of the update to
the scoping plan before approval.
   (c) After holding the oversight hearings required pursuant to
subdivision (b), the Legislature may act to modify, reject, or delay
some or all of the scoping plan before its approval.
   (d) On or before January 1, 2017, and each year thereafter, the
State Air Resources Board shall prepare and submit to the Joint
Legislative Budget Committee and appropriate policy committees a
report that contains both of the following:
   (1) A detailed list of regulatory policies that have been adopted
and implemented by a state agency in furtherance of achieving the
greenhouse gas emissions limits adopted by the State Air Resources
Board pursuant to Division 25.5 (commencing with Section 38500) of
the Health and Safety Code.
   (2) The amounts, sources, and locations of greenhouse gas
emissions reductions achieved toward the statewide emissions limit,
as defined in Section 38505 of the Health and Safety Code.
   (e) On or before July 1, 2017, the Office of Environmental Health
Hazard Assessment shall prepare a report analyzing the impacts of the
greenhouse gas emissions limits adopted by the State Air Resources
Board pursuant to Division 25.5 (commencing with Section 38500) of
the Health and Safety Code on disadvantaged communities and make the
report available to the public and the Legislature. The report shall
include, but shall not be limited to, all of the following:
   (1) Tracking and analysis of greenhouse gas emissions, criteria
air pollutants, and other pollutant emission levels in disadvantaged
communities.
   (2) California Global Warming Solutions Act of 2006 (Division 25.5
(commencing with Section 38500) of the Health and Safety Code)
compliance strategies used for greenhouse gas emissions sources in
disadvantaged communities.
   (3) Analysis of public health and other relevant environmental
health exposure indicators related to air pollutants in disadvantaged
communities.
   (f) The State Air Resources Board may include relevant reports
required pursuant to Section 12894 within the report required
pursuant to subdivision (d).
   (g) Nothing in this section affects in any manner the authority or
responsibility of the State Air Resources Board or a district, as
defined in Section 39025 of the Health and Safety Code, under the
federal Clean Air Act (42 U.S.C. Sec. 7401 et seq.), under Division
26 (commencing with Section 39000) of the Health and Safety Code, or
to implement regulations or other measures adopted prior to the
approval of the next update to the scoping plan.
   (h) It is the intent of the Legislature that this chapter be
interpreted in a manner that does not violate Article IV of the
California Constitution.
   (i) The provisions of this chapter are severable. If any provision
of this chapter or its application is held invalid, that invalidity
shall not affect other provisions or applications that can be given
effect without the invalid provision or application. 
   SEC. 3.   SEC. 2.   Section 38505 of the
Health and Safety Code is amended to read:
   38505.  For purposes of this division, the following terms have
the following meanings:
   (a) "Allowance" means an authorization to emit, during a specified
year, up to one ton of carbon dioxide equivalent.
   (b) "Alternative compliance mechanism" means an action undertaken
by a greenhouse gas emission source that achieves the equivalent
reduction of greenhouse gas emissions over the same time period as a
direct emission reduction, and that is approved by the state board.
"Alternative compliance mechanism" includes, but is not limited to, a
flexible compliance schedule, alternative control technology, a
process change, or a product substitution.
   (c) "Carbon dioxide equivalent" means the amount of carbon dioxide
by weight that would produce the same global warming impact as a
given weight of another greenhouse gas, based on the best available
science, including from the Intergovernmental Panel on Climate
Change.
   (d) "Cost-effective" or "cost-effectiveness" means the cost per
unit of reduced emissions of greenhouse gases adjusted for its global
warming potential.
   (e) "Direct emission reduction" means a greenhouse gas emission
reduction action made by a greenhouse gas emission source at that
source.
   (f) "Emissions reduction measure" means programs, measures,
standards, and alternative compliance mechanisms authorized pursuant
to this division, applicable to sources or categories of sources,
that are designed to reduce emissions of greenhouse gases.
   (g) "Greenhouse gas" or "greenhouse gases" includes all of the
following gases:
   (1) Carbon dioxide.
   (2) Methane.
   (3) Nitrous oxide.
   (4) Hydrofluorocarbons.
   (5) Perfluorocarbons.
   (6) Sulfur hexafluoride.
   (7) Nitrogen trifluoride.
   (h) "Greenhouse gas emissions limit" means an authorization,
during a specified year, to emit up to a level of greenhouse gases
specified by the state board, expressed in tons of carbon dioxide
equivalents.
   (i) "Greenhouse gas emission source" or "source" means any source,
or category of sources, of greenhouse gas emissions whose emissions
are at a level of significance, as determined by the state board,
that its participation in the program established under this division
will enable the state board to effectively reduce greenhouse gas
emissions and monitor compliance with the statewide greenhouse gas
emissions limit.
   (j) "Leakage" means a reduction in emissions of greenhouse gases
within the state that is offset by an increase in emissions of
greenhouse gases outside the state.
   (k) "Market-based compliance mechanism" means either of the
following:
   (1) A system of market-based declining annual aggregate emissions
limitations for sources or categories of sources that emit greenhouse
gases.
   (2) Greenhouse gas emissions exchanges, banking, credits, and
other transactions, governed by rules and protocols established by
the state board, that result in the same greenhouse gas emission
reduction, over the same time period, as direct compliance with a
greenhouse gas emission limit or emissions reduction measure adopted
by the state board pursuant to this division.
   (l) "State board" means the State Air Resources Board.
   (m) "Statewide greenhouse gas emissions" means the total annual
emissions of greenhouse gases in the state, including all emissions
of greenhouse gases from the generation of electricity delivered to
and consumed in California, accounting for transmission and
distribution line losses, whether the electricity is generated in
state or imported. Statewide emissions shall be expressed in tons of
carbon dioxide equivalents.
   (n) "Statewide greenhouse gas emissions limit" or "statewide
emissions limit" means the maximum allowable level of statewide
greenhouse gas emissions, as determined by the state board pursuant
to Part 3 (commencing with Section 38550).
   SEC. 4.   SEC. 3.   Section 38550 of the
Health and Safety Code is amended to read:
   38550.  (a) By January 1, 2008, the state board shall, after one
or more public workshops, with public notice, and an opportunity for
all interested parties to comment, determine what the statewide
greenhouse gas emissions level was in 1990, and approve in a public
hearing, a statewide greenhouse gas emissions limit that is
equivalent to that level, to be achieved by 2020. In order to ensure
the most accurate determination feasible, the state board shall
evaluate the best available scientific, technological, and economic
information on greenhouse gas emissions to determine the 1990 level
of greenhouse gas emissions.
   (b) (1) Notwithstanding subdivision (a), the state board shall
approve in a public hearing, based on the best available scientific,
technological, and economic assessments, a statewide greenhouse gas
emissions limit that is equivalent to 40 percent below the 1990
level, as determined pursuant to subdivision (a) or Section 39730, to
be achieved by 2030.
   (2) For the purposes of this subdivision, a greenhouse gas
emissions limit shall include short-lived climate pollutants, as
defined in  Chapter 4.2 (commencing with  Section
 39730) of Part 2 of Division 26.   39730. 

   (c) In furtherance of subdivision (b), the state board shall
consider historic efforts to reduce greenhouse gas emissions and
objectively  seek,   seek  and account
 for,   for  cost-effective actions to
reduce greenhouse gas emissions across all sectors.
   SEC. 5.   SEC. 4.   Section 38551 of the
Health and Safety Code is amended to read:
   38551.  (a) Each of the statewide greenhouse gas emissions limits
shall remain in effect unless otherwise amended or repealed.
   (b) It is the intent of the Legislature that the statewide
greenhouse gas emissions limits established pursuant to Section 38550
continue in existence and be used to maintain and continue
reductions in emissions of greenhouse gases.
   (c) The state board shall make recommendations to the Governor and
the Legislature on how to continue reductions of greenhouse gas
emissions beyond 2030. 
   (d) In implementing subdivision (b) of Section 38550, it is the
intent of the Legislature for the Legislature and appropriate
agencies to adopt complementary policies that ensure the long-term
emissions reductions adopted pursuant to subdivision (b) of Section
38550 advance all of the following:  
   (1) Job growth and local economic benefits in California.
 
   (2) Public health benefits for California residents, particularly
in disadvantaged communities, that result from direct onsite
reductions of greenhouse gas emissions.  
   (3) Innovation in technology and energy, water, and resource
management practices.  
   (4) Regional and international collaboration to adopt similar
greenhouse gas emissions reduction policies. 
   SEC. 6.   SEC. 5.   Section 38561 of the
Health and Safety Code is amended to read:
   38561.  (a) (1) On or before January 1, 2009, the state board
shall prepare and approve a scoping plan, as that term is understood
by the state board, for achieving the maximum technologically
feasible and cost-effective reductions in greenhouse gas emissions
from sources or categories of sources of greenhouse gases under this
division.
   (2) The state board shall consult with all state agencies with
jurisdiction over sources of greenhouse gases, including the Public
Utilities Commission and the State Energy Resources Conservation and
Development Commission, on all elements of its plan that pertain to
energy-related matters including, but not limited to, electrical
generation, load-based standards or requirements, the provision of
reliable and affordable electrical service, petroleum refining, and
statewide fuel supplies to ensure the greenhouse gas emissions
reduction activities to be adopted and implemented by the state board
are complementary, nonduplicative, and can be implemented in an
efficient and cost-effective manner.
   (b) The plan shall identify and make recommendations on direct
emissions reduction measures, alternative compliance mechanisms,
market-based compliance mechanisms, and potential monetary and
nonmonetary incentives for sources and categories of sources that the
state board finds are necessary or desirable to facilitate the
achievement of the maximum feasible and cost-effective reductions of
greenhouse gas emissions under this division.
   (c) In making the determinations required by subdivision (b), the
state board shall consider all relevant information pertaining to
greenhouse gas emissions reduction programs in other states,
localities, and nations, including the northeastern states of the
United States, Canada, and the European Union.
   (d) The state board shall evaluate the total potential costs and
total potential economic and noneconomic benefits of the plan for
reducing greenhouse gases to California's economy, environment, and
public health, using the best available economic models, emission
estimation techniques, and other scientific methods.
   (e) In developing its plan, the state board shall take into
account the relative contribution of each source or source category
to statewide greenhouse gas emissions, and the potential for adverse
effects on small businesses, and shall recommend a de minimis
threshold of greenhouse gas emissions below which emissions reduction
requirements will not apply.
   (f) In developing its plan, the state board shall identify
opportunities for emissions reduction measures from all verifiable
and enforceable voluntary actions, including, but not limited to,
carbon sequestration projects and best management practices.
   (g) The state board shall conduct a series of public workshops to
give interested parties an opportunity to comment on the plan. The
state board shall conduct a portion of these workshops in regions of
the state that have the most significant exposure to air pollutants,
including, but not limited to, communities with minority populations,
communities with low-income populations, or both.
   (h) The state board shall update its plan for achieving the
maximum technologically feasible and cost-effective reductions of
greenhouse gas emissions at least once every five  years in
accordance with Chapter 6 (commencing with Section 12897) of Part 2.5
of Division 3 of Title 2 of the Government Code.  
years. 
   SEC. 7.   SEC. 6.   The provisions of
this act are severable. If any provision of this act or its
application is held invalid, that invalidity shall not affect other
provisions or applications that can be given effect without the
invalid provision or application.