Bill Text: CA SB535 | 2011-2012 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: California Global Warming Solutions Act of 2006:

Spectrum: Partisan Bill (Democrat 5-0)

Status: (Passed) 2012-09-30 - Chaptered by Secretary of State. Chapter 830, Statutes of 2012. [SB535 Detail]

Download: California-2011-SB535-Amended.html
BILL NUMBER: SB 535	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  JUNE 21, 2011
	AMENDED IN SENATE  MAY 31, 2011
	AMENDED IN SENATE  MARCH 24, 2011

INTRODUCED BY   Senator De León
    (   Coauthor:   Senator   Pavley
  ) 
    (   Coauthors:   Assembly Members 
 Davis   and Lara   ) 

                        FEBRUARY 17, 2011

   An act to add Part 5 (commencing with Section 71420) to Division
34 of the Public Resources Code, relating to climate change.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 535, as amended, De León. California Communities Healthy Air
Revitalization Trust.
   The California Global Warming Solutions Act of 2006 requires the
State Air Resources Board to adopt regulations to require the
reporting and verification of emissions of greenhouse gases and to
monitor and enforce compliance with the reporting and verification
program, and requires the state board to adopt a statewide greenhouse
gas emissions limit equivalent to the statewide greenhouse gas
emissions level in 1990 to be achieved by 2020. The act requires the
state board to adopt rules and regulations in an open public process
to achieve the maximum technologically feasible and cost-effective
greenhouse gas emission reductions.  The act authorizes the state
board to include use of market-based compliance mechanisms. The act
authorizes the state board to adopt a schedule of fees to be paid by
the sources of greenhouse gas emissions regulated pursuant to the
act, and requires the   revenues collected pursuant to that
fee to be deposited into the Air Pollution Control Fund and be
available, upon appropriation by the Legislature, for the purposes of
carrying out the act. 
   This bill would establish the California Communities Healthy Air
Revitalization Trust in the State Treasury  and would require a
minimum of 10% of specified revenues generated for the state each
year from the act to be deposited into that trust  . The moneys
in the trust would be used, upon appropriation by the Legislature, in
the most impacted and disadvantaged communities, as defined, to fund
programs or projects that reduce greenhouse gas emissions or
mitigate direct health or environmental impacts of climate change
through competitive grants, loans, or other funding mechanisms. The
bill would require the State Air Resources Board to administer moneys
appropriated from the trust, establish criteria and procedures, 
convene a review panel,  and meet other specified requirements
in connection with implementation.
   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) California embraced the challenge posed by climate change with
the passage of the California Global Warming Solutions Act in 2006,
enacted as Chapter 488 of the Statutes of 2006 (Assembly Bill 32).
Assembly Bill 32 recognizes the disproportionate impacts climate
change will have on disadvantaged and low-income communities in
California, which already face disproportionate impacts from
substandard air quality in the form of higher rates of respiratory
illness, hospitalizations, and premature death.
   (b) Assembly Bill 32 recognizes the potential vulnerability of
California's low-income and disadvantaged population to efforts to
reduce greenhouse gas emissions and requires that activities taken to
comply with Assembly Bill 32 do not disproportionately impact those
communities.
   (c) Assembly Bill 32 recognizes the public health impacts of
climate change and requires that activities taken to comply with
Assembly Bill 32 consider the localized and cumulative impacts in
communities that are already adversely impacted by air pollution.
   (d) Assembly Bill 32 requires that public and private investment
be directed toward the most disadvantaged communities in California
to provide an opportunity for small businesses, schools, affordable
housing associations, and other community institutions to participate
in and benefit from statewide efforts to reduce greenhouse gas
emissions.
   (e) Assembly Bill 32 does not provide a definition, however, for
California's most impacted and disadvantaged communities, nor
direction on how the state will mitigate adverse impacts from climate
change in these communities, nor direction on how the state will
ensure these communities can participate in and receive investments
from activities taken pursuant to Assembly Bill 32 and not experience
disproportionate impacts.
   (f) Since the passage of Assembly Bill 32, the State Air Resources
Board and other state agencies have adopted various regulatory
programs to enable California to achieve Assembly Bill 32's
greenhouse gas emissions reduction target. The people of California
voiced their strong support for continued implementation of Assembly
Bill 32 with the defeat of Proposition 23 in November 2010.
   (g) It is the intent of the Legislature that this act continue
California's implementation of Assembly Bill 32 by directing
resources to the state's most impacted and disadvantaged communities
to ensure activities taken pursuant to that authority will provide
economic and health benefits to these communities as originally
intended.
   (h) It is the intent of the Legislature that funds collected
pursuant to this act continue California's implementation of Assembly
Bill 32 by achieving additional emission reductions and mitigating
direct health impacts on California's most impacted and disadvantaged
communities.
  SEC. 2.  Part 5 (commencing with Section 71420) is added to
Division 34 of the Public Resources Code, to read:

      PART 5.  CALIFORNIA COMMUNITIES HEALTHY AIR REVITALIZATION
TRUST


   71420.  This part shall be known, and may be cited, as the
California Communities Healthy Air Revitalization Trust (Cal CHART).
   71421.  As used in this part, the following terms have the
following meanings:
   (a) "Trust" means the California Communities Healthy Air
Revitalization Trust.
   (b) (1) "Most impacted and disadvantaged communities" means either
those areas having the highest 10 percent air pollution exposure and
socioeconomic vulnerability within an air basin that does not meet
one or more national or state ambient air quality standards, or those
areas having the highest 10 percent socioeconomic vulnerability to
direct health or environmental impacts of climate change.
   (2) The evaluation criteria for air pollution exposure shall
include, at a minimum, criteria and toxic air pollution levels,
proximity to sources of air pollution, and sensitive populations.
   (3) The evaluation criteria for socioeconomic vulnerability shall
include, to the extent feasible, multiple indicators, including, but
not limited to, poverty level, percent home ownership, unemployment
level, and educational attainment.
   71422.  (a) The California Communities Healthy Air Revitalization
Trust is established in the State Treasury.  Not less than 10
percent of the revenues deposited in the Air Pollution Control Fund
pursuant to the California Global Warming Solutions Act of 2006
(Division 25.5 (commencing with Section 38500) of the Health and
Safety Code), other than revenues collected for administrative
purposes pursuant to Section 38597 of the Health and Safety Code,
shall be allocated to the trust.  Moneys in the trust are
available, upon appropriation by the Legislature  ,  for the
purposes described in this part.
   (b) (1) Moneys allocated to the trust shall be used solely in the
most impacted and disadvantaged communities in California.
   (2) Moneys allocated to the trust shall be used to fund programs
or projects that reduce greenhouse gas emissions or mitigate direct
health impacts of climate change, through competitive grants, loans,
or other funding mechanisms.
   (3) To the extent allowed by law, and consistent with paragraph
(2), moneys allocated to the trust may be appropriated for green
collar employment or training opportunities for the most impacted and
disadvantaged communities.
   (4) Up to 5 percent of the moneys allocated to the trust may be
used for purposes of administering this part, upon appropriation by
the Legislature.
   (c) To the extent that funds allocated to the trust are provided
to existing programs, those funds shall be used to supplement, not
supplant, those programs to meet the goals of this part.
   71423.  (a) The State Air Resources Board shall administer moneys
appropriated from the trust and shall establish criteria and
procedures for the implementation of this part. The State Air
Resources Board shall begin implementation of the program created
pursuant to this part within 90 days of finding that more than five
million dollars ($5,000,000) has been deposited in the trust.
   (b) The State Air Resources Board, following an open and public
process, shall develop and adopt a report that describes the support
structure and framework for the implementation of this part, the
types of programs and projects to be funded under this part, the
selection and oversight process for the programs and projects to be
funded, and the eligibility criteria. The report shall be made
available to the public on the State Air Resources Board's Internet
Web site.
   (c) Upon implementation of the program, and by every third January
1 thereafter, the State Air Resources Board, in consultation with
the Climate Action Team, in an open process, shall develop and adopt
the list of the most impacted and disadvantaged communities in
California and triennial plans describing the specific type of
programs and projects to be solicited for funding during the
three-year period. The plans and lists shall be made public on the
State Air Resources  Board   Board's 
Internet Web site. 
   (d) (1) By September 1, 2015, and every three years thereafter,
the State Air Resources Board, in consultation with the Climate
Action Team, shall submit a report to the Legislature describing the
activities taken during the preceding three-year period pursuant to
this part, including the amount and geographic distribution of
programs and projects funded, a description of each program and
project funded, and the manner in which those programs and projects
and the plan adopted pursuant to subdivision (c) furthered the goals
of the California Global Warming Solutions Act of 2006 (Division 25.5
(commencing with Section 38500) of the Health and Safety Code). The
report shall be made public on the State Air Resources Board's
Internet Web site.  
   (2) A report to be submitted pursuant to this section shall be
submitted in compliance with Section 9795 of the Government Code.
 
   (e) (1) The adoption of triennial plans and identification of the
most impacted and disadvantaged communities pursuant to subdivision
(c) and the expenditure of moneys for individual programs or projects
shall be approved or adopted with the approval of no fewer than four
members of the review panel described in Section 71424.  
   (2) If four panel members do not approve an action as required by
paragraph (1), the State Air Resources Board shall resubmit the
action, revised as appropriate, to the panel for reconsideration,
within 90 days of the disapproval.  
   71424. (a) (1) The State Air Resources Board shall convene a
review panel to make recommendations, approve programs and projects
funded under this part, and review the development of policies,
plans, and programs as they relate to this part.  
   (2) The panel shall have seven members meeting the following
requirements:  
   (A) Each member shall have demonstrated expertise, and a minimum
of seven years of working experience, in the areas of air pollution,
public health, energy efficiency, transportation, economics, or
running a small business.  
   (B) Three members shall have demonstrated knowledge and experience
in advancing community interests in the area of environmental
protection for at least seven years.  
   (3) The State Air Resources Board shall solicit nominations to
serve on the panel in an open and public process, and shall appoint
panel members in consultation with the Senate pro Tempore and the
Speaker of the Assembly. A member of the panel shall serve for a
three-year term and may be reappointed for no more than a second
three-year term. For the initial appointments pursuant to this
section, the State Air Resources Board shall appoint panel members
for two- or three-year terms to ensure staggered terms and continuity
of the panel.  
   (b) The panel shall convene every three months to review, make
recommendations, and approve projects or programs funded pursuant to
this part. The panel shall convene annually to review the support
structure and framework for the implementation of this part, the list
of the most impacted and disadvantaged communities in California,
and the selection and eligibility criteria for the programs and
projects to be funded under this part. 
    71424.   71425.   (a) Except as
otherwise provided in subdivision (b), the State Air Resources Board
shall only approve a program or project for funding after
determining, based on the available evidence, that the use of moneys
for that program or project is consistent with the requirements for
the use of moneys derived from valid regulatory fees, as established
by the California Supreme Court in Sinclair Paint Co. v. State Bd. of
Equalization (1997) 15 Cal.4th 866 and reaffirmed in California Farm
Bureau Federation v. State Water Resources Control Bd. (2011) 51
Cal.4th 421.
   (b) The requirements of subdivision (a) do not apply to the use of
penalty moneys, if those moneys are segregated from fee moneys.
    71425.   71425.5   Nothing in this part
shall be construed as resulting in any taxpayer paying a higher tax
within the meaning of Section 3 of Article XIII A of the California
Constitution.
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