BILL ANALYSIS                                                                                                                                                                                                    



                                                                       


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                              UNFINISHED BUSINESS


          Bill No:  SB 84XX
          Author:   Burton (D)
          Amended:  9/6/01
          Vote:     27 - Urgency

           
           SENATE ENERGY, U.&C. COMMITTEE  :  11-0, 7/10/01
          AYES:  Bowen, Morrow, Alarcon, Battin, Dunn, Murray,  
            Poochigian, Sher, Speier, Vasconcellos, Vincent

           SENATE APPROPRIATIONS COMMITTEE  :  12-0, 7/19/01
          (Roll call not available at time of writing)

           SENATE FLOOR  :  30-1, 7/20/01
          AYES:  Ackerman, Alarcon, Alpert, Bowen, Brulte, Burton,  
            Chesbro, Costa, Dunn, Figueroa, Johannessen, Johnson,  
            Karnette, Machado, Margett, McPherson, Monteith, Morrow,  
            Murray, O'Connell, Peace, Perata, Polanco, Poochigian,  
            Romero, Scott, Soto, Speier, Torlakson, Vincent
          NOES:  McClintock

           ASSEMBLY FLOOR  :  Not available


           SUBJECT  :    Energy Commission:  traffic control signals

           SOURCE  :     Author


           DIGEST  :    This bill requires the California Energy  
          Commission to implement a program to provide battery backup  
          power for high priority local traffic control signals.

           Assembly Amendments  add provisions relating to  
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          reimbursement for installation of specified backup  
          batteries and clarify the funding source.

           ANALYSIS  :     Current law provides funding to the CEC to  
          award loans and grants to local governments to help them  
          replace traditional incandescent traffic signals with  
          signals lighted by light-emitting diodes (LED).

          This bill requires the California Energy Commission (CEC)  
          to develop and implement a program to provide battery  
          backup power for those official traffic control signals  
          that the CEC, in consultation with cities, counties, or  
          cities and counties, determines to be high priority traffic  
          control signals.  The bill authorizes the CEC to grant 70  
          percent of the funds to a city, county, or city and county  
          for backup batter power for traffic control signals  
          retrofitted with light-emitting diodes.  The bill requires  
          the CEC to give priority to a city, county, or city and  
          county that did not receive a grant from the state for the  
          installation of light-emitting diode traffic control  
          signals.

          The bill authorizes the CEC to reimburse cities or counties  
          that have installed a backup battery system for light  
          emitting diode traffic signals between January 1, 2001 and  
          the date of this bill.  They may be reimbursed for up to 30  
          percent of the cost incurred for the installation.  CEC may  
          not spend more than $1.5 million on such reimbursements.

          The bill specifies that up to $10 million in existing State  
          funds shall be made available for the projects.  The  
          administrative costs of the CEC may not exceed five percent  
          of the program funding.

          The bill also specifies that the CEC shall report to the  
          Legislature and the Governor by June 30, 2004.

           Background

          LED traffic signals reduce energy consumption by 90%  
          compared to incandescent traffic signals.  Cities from San  
          Diego to Eureka have obtained grants from the CEC's current  
          pot of $10 million to install these signals, and they  
          estimate they'll save $4.5 million each year in energy  







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          costs and and reduce peak demand by 5.9 megawatts (MW).   
          That grant money, authorized in AB 970 (Ducheny), Chapter  
          329, Statutes of 1999, has been exhausted.  Additional  
          funding for LED traffic signal loans was provided in AB 29X  
          (Kehoe), Chapter 8, Statutes of 2001.

          While LED traffic signals are energy efficient, they still  
          require electricity, so when blackouts occur, LED traffic  
          signals fail the same way incandescent traffic signals  
          fail.  However, because LED traffic signals are far more  
          energy efficient, relatively small battery backup power  
          devices can be used.  The City of Walnut Creek is planning  
          to spend $230,000 to provide battery backup to 28 LED  
          traffic signals along major streets, while City of Laguna  
          Niguel has done the same for its intersections.  Local  
          governments believe battery backup systems will enhance  
          public safety by keeping traffic signals functioning during  
          blackouts.

          According to information provided by the author, battery  
          backup for LED traffic signals costs about $5,000 per  
          intersection.  Using the 70/30 matching criteria in the  
          bill, the $10 million appropriated by this measure should  
          result allow about 2,800 intersections to have battery  
          backup devices installed in them.  This is about nine  
          percent of the LED traffic signal controlled intersections  
          that are projected to be in place by 2002.  
           
           FISCAL EFFECT  :    Appropriation:  Yes   Fiscal Com.:  Yes    
          Local:  No

          Reallocated up to $10 million from existing state funds to  
          provide these matching grants to cities and counties.  CEC  
          overhead for providing these grants is limited to five  
          percent of the total funds expended.

           SUPPORT  :   (Verified  9/10/01)

          California State Association of Counties
          City of Torrance
          League of California Cities
          Sacramento County Board of Supervisors









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          NC:cm  9/10/01   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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