BILL ANALYSIS                                                                                                                                                                                                    




                    Appropriations Committee Fiscal Summary
          
           ------------------------------------------------------------ 
          |                               |1574(Lowenthal)             |
          |-------------------------------+----------------------------|
          |                               |                            |
          |-------------------------------+----------------------------|
          |Hearing Date:  9/6/01          |Amended: 8/23/01 and        |
          |                               |proposed to be amended      |
          |-------------------------------+----------------------------|
          |Consultant:  Lisa Matocq       |Policy Vote: E, U & C       |
          |                               |6-0                         |
          |                               |                            |
           ------------------------------------------------------------ 
          ____________________________________________________________ 
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          BILL SUMMARY:  AB 1574 authorizes the California Energy  
          Commission (CEC) to develop measures to enhance energy  
          efficiency for homes that were built prior to the  
          establishment of the current energy efficiency standards,  
          and makes related changes. 
                              Fiscal Impact (in thousands)
           Major Provisions                     2001-02              2002-03          
            2003-04                Fund  
          
          CEC                     Potential costs of $250-500                   
                    General
                                  
          
          STAFF COMMENTS:  SUSPENSE FILE.   Current law requires the  
          CEC to adopt energy conservation standards for lighting,  
          heating and air conditioning, and other systems, for  new   
          residences.  

          The bill provides that a home inspection may include an  
          energy efficiency component if requested by the buyer or  
          seller.   In addition, it specifies that an inspector  
          certified by the statewide home energy rating program,  
          administered by the CEC, may perform the inspection.  Staff  
          notes that program is not yet developed by the CEC and may  
          not be for a year or more.  The bill specifies that an  
           uncertified  inspector may refer the person to one of a  
          number of other entities, such as a municipal utility, for  
          home energy efficiency program information. 

          As proposed to be amended, the bill would allow CEC to post  










          the measures on its website, and to provide the information  
          to homeowners, upon request. 

          SB 37xx (Brulte), pending in this committee, requires the  
          CEC to identify ways to reduce wasteful peak load energy  
          consumption.  SB 1085 (Bowen) pending in the Assembly,  
          requires new public buildings to exceed the minimum  
          building energy efficiency standards, provided the measures  
          are cost-effective.  AB 29x (Kehoe, Ch. 8, St. of 2001),  
          among other things, requires the Department of General  
          Services to identify each state building where it is  
          feasible to reduce energy consumption and achieve energy  
          efficiencies.  AB 549 (Longville), on this committee's  
          suspense file, appropriates $500,000 from the General Fund  
          to the CEC to develop a plan to reduce wasteful peak load  
          energy consumption.