BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 84 X2
                                                                  Page  1

          Date of Hearing:  September 4, 2001

                 ASSEMBLY COMMITTEE ON ENERGY COSTS AND AVAILABILITY
                              Roderick D. Wright, Chair
                    SB 84 X2 (Burton) - As Amended:  July 20, 2001

           SENATE VOTE  :  30-1
           
          SUBJECT  :  State Energy Resources Conservation and Development  
          Commission

           SUMMARY  :  Requires the State Energy Resources Conservation and  
          Development Commission (CEC) to develop and implement a program  
          to provide battery backup power for traffic control signals that  
          CEC, in consultation with cities and counties, determines to be  
          high priority traffic control signals, and specifies that up to  
          $10 million in existing state funds shall be made available for  
          the projects.  Specifically,  this bill  :

          1)Requires CEC to develop and implement a program to provide  
            battery backup power for those official traffic control  
            signals that CEC, in consultation with cities, counties, or  
            cities and counties, determines to be high priority traffic  
            control signals.

          2)Authorizes CEC to grant 70% of the funds to a city, county, or  
            city and county for backup battery power for traffic control  
            signals retrofitted with light-emitting diodes.

          3)Requires 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.

          4)Authorizes the expenditure of up to $10,000,000 from existing  
            state funds for the purpose of providing matching grants  
            pursuant to this measure.

           EXISTING LAW  provides funding to 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).

           FISCAL EFFECT  :  Unknown.

           COMMENTS  :   








                                                                  SB 84 X2
                                                                  Page  2


          LED traffic signals use one-tenth of the electricity of  
          traditional incandescent traffic signals.  Twice within the last  
          twelve months the Legislature has enacted legislation to provide  
          funding for cities and counties to transform traffic signal  
          lights from incandescent lamps to LED.  AB 970 (Ducheny),  
          Chapter 329, Statutes of 2000) appropriated $10 million for  
          grants to local governments for this purpose.  AB X1 29 (Kehoe),  
          Chapter 8, Statutes of 2001) contained an additional  
          appropriation for loans to local governments, but the  
          appropriation was line-item vetoed by the Governor, who  
          expressed reservations about appropriating monies for  
          expenditures that would not impact peak demand this summer.  

          According to the author's office, the existing grant programs  
          will reduce peak demand by 5.9 megawatts (MW) and result in $4.5  
          million per year in reduced energy costs for participating  
          cities and counties.

          While LED traffic signals are far more efficient than  
          traditional incandescent traffic signals, they still require  
          electricity in order to operate.  In the event of a blackout,  
          the installation of backup battery packs enable the LED traffic  
          signals to continue to operate.  This measure authorizes CEC to  
          implement a matching grant program to assist local governments  
          in meeting the cost of supplying back-up battery power at  
          high-priority LED intersections throughout the state.  The $10  
          million appropriations would come from existing state funds.

          According to the author's office, backup battery power for LED  
          traffic signals cost approximately $5,000 per intersection.   
          Under this bill, the state would provide 70 percent of the cost  
          with a 30 percent match by local governments.  This would result  
          in the installation of backup battery power for approximately  
          2,800 intersections throughout California.  By keeping the  
          traffic signals running during blackouts, this measure will  
          enhance public safety and reduce automobile accidents at high  
          priority intersections throughout the state.

           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          California State Association of Counties
          California State Automobile Association








                                                                  SB 84 X2
                                                                  Page  3

          City of Huntington Beach
          City of Torrance
          County of Sacramento
          League of California Cities
           
            Opposition 
           
          None on file.


           Analysis Prepared by  :    Joseph Lyons / U. & C. / (916) 319-2083