BILL NUMBER: AB 2304 INTRODUCED
BILL TEXT
INTRODUCED BY Assembly Member Richman
FEBRUARY 19, 2004
An act to repeal Section 43024 of the Health and Safety Code, and
to amend Sections 25748 and 25751 of, and to repeal Chapter 7.2
(commencing with Section 25625) of Division 15 of, the Public
Resources Code, relating to energy resources, and declaring the
urgency thereof, to take effect immediately.
LEGISLATIVE COUNSEL'S DIGEST
AB 2304, as introduced, Richman. Energy resources.
(1) Existing law requires the State Energy Resources Conservation
and Development Commission to submit quarterly reports to the
Legislature summarizing the amount of methyl tertiary-butyl ether
(MTBE) used in gasoline by each refinery during the preceding quarter
and comparing that amount to the amount of MTBE used in gasoline by
each refinery during the previous quarter.
This bill would delete this reporting requirement.
(2) Existing law requires the commission, in conjunction with the
State Air Resources Board, to carry out a technology development and
financial assistance program relating to the use of methanol fuel.
Existing law establishes the Clean Fuels Account in the General Fund
for the purposes of the program.
This bill would repeal this program.
(3) Existing law establishes the renewable energy resources
program to increase the amount of renewable electricity generated per
year, so that it equals at least 17% of the total electricity
generated for consumption in California per year by 2006. Existing
law requires the commission to report to the Legislature on or before
May 31, 2000, and on or before May 31 of every second year
thereafter, regarding the results of the mechanisms funded under the
program, and prescribes the matters to be included in the reports.
This bill would instead require the commission to report to the
Legislature on or before November 1, 2005, and annually thereafter.
The bill would also revise the matters to be included in the reports
to include additional information, as specified.
This bill would state that the above report is in lieu of the
annual report required by Item 3360-001-0381 of the Supplemental
Budget Report of the Budget Act of 1999.
(4) Existing law establishes the Renewable Resource Trust Fund for
purposes of the renewable energy resources program and establishes
certain accounts within the trust fund. Existing law authorizes the
commission to transfer funds between accounts for cashflow purposes,
as provided, and requires the commission to examine the cashflow in
the respective accounts on an annual basis and to annually prepare
and submit to the Legislature a report that describes the status of
account transfers and repayments.
This bill would delete the annual examination and reporting
requirements.
(5) Existing law requires the commission to report to the
Legislature on a quarterly basis on the implementation of the
renewable energy resources program and specifies the information to
be included in the reports.
This bill would delete this reporting requirement.
(6) This bill would declare that it is to take effect immediately
as an urgency statute.
Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 43024 of the Health and Safety Code is
repealed.
43024. Notwithstanding Section 7550.5 of the Government Code,
commencing April 1, 2000, the State Energy Resources Conservation and
Development Commission shall submit quarterly reports to the
Legislature summarizing the amount of methyl tertiary-butyl ether
(MTBE) used in gasoline in this state by each refinery during the
preceding quarter and comparing that amount to the amount of MTBE
used in gasoline by each refinery during the previous quarter.
SEC. 2. Chapter 7.2 (commencing with Section 25625) of Division 15
of the Public Resources Code is repealed.
SEC. 3. Section 25748 of the Public Resources Code is amended to
read:
25748. (a) The commission shall report to the
Legislature on or before May 31, 2000,
November 1, 2005, and on or before May 31 of every
second year annually thereafter, regarding the
results of the mechanisms funded pursuant to this chapter.
Reports prepared pursuant to this section shall include a description
of the allocation of funds among existing, new and emerging
technologies; the allocation of funds among programs, including
consumer-side incentives; and the need for the reallocation of money
among those technologies. The report shall identify the types and
quantities of biomass fuels used by facilities receiving funds
pursuant to Section 25743 and their impacts on improving air quality.
The reports shall discuss the progress being made toward achieving
the 17-percent target provided in Section 25740 by each funding
category authorized pursuant to this chapter. The reports shall also
address the allocation of funds from interest on the accounts
described in this chapter, and money in the accounts described in
subdivision (b) of Section 25751. The report shall
contain all of the following:
(1) A description of the allocation of funds among existing, new,
and emerging technologies, the allocation of funds among programs,
including consumer-side incentives, and the need for the reallocation
of money among those technologies.
(2) The status of account transfers and repayments.
(3) A description of the cumulative commitment of claims by
account, the relative demand for funds by account, and a forecast of
future awards.
(4) A list identifying the types and quantities of biomass fuels
used by facilities receiving funds pursuant to Section 25743 and
their impacts on improving air quality.
(5) A discussion of the progress being made toward achieving the
17-percent target provided in Section 25740 by each funding category
authorized pursuant to this chapter.
(6) A description of the allocation of funds from interest on the
accounts described in this chapter, and money in the accounts
described in subdivision (b) of Section 25751.
(7) An itemized list, including project descriptions, award
amounts, and outcomes for projects awarded funding in the prior year.
(8) Other matters the commission determines may be of importance
to the Legislature.
(b) Money may be reallocated without further legislative
action among existing, new, and emerging technologies and
consumer-side programs in a manner consistent with the report and
with the latest report provided to the Legislature pursuant to this
section, except that reallocations may not reduce the allocation
established in Section 25743 nor increase the allocation established
in Section 25742.
SEC. 4. Section 25751 of the Public Resources Code is amended to
read:
25751. (a) The Renewable Resource Trust Fund is hereby created in
the State Treasury.
(b) The following accounts are hereby established within the
Renewable Resource Trust Fund:
(1) The Existing Renewable Resources Account.
(2) New Renewable Resources Account.
(3) Emerging Renewable Resources Account.
(4) Customer-Credit Renewable Resource Purchases Account.
(5) Renewable Resources Consumer Education Account.
(c) The money in the fund may be expended for the state's
administration of this article only upon appropriation by the
Legislature in the annual Budget Act.
(d) Notwithstanding Section 383, that portion of revenues
collected by electrical corporations for the benefit of in-state
operation and development of existing and new and emerging renewable
resource technologies, pursuant to Section 399.8 of the Public
Utilities Code, shall be transmitted to the commission at least
quarterly for deposit in the Renewable Resource Trust Fund pursuant
to Section 399.6 of the Public Utilities Code. After setting aside
in the fund money that may be needed for expenditures authorized by
the annual Budget Act in accordance with subdivision (c), the
Treasurer shall immediately deposit money received pursuant to this
section into the accounts created pursuant to subdivision (b) in
proportions designated by the commission for the current calendar
year. Notwithstanding Section 13340 of the Government Code, the
money in the fund and the accounts within the fund are hereby
continuously appropriated to the commission without regard to fiscal
year for the purposes enumerated in this chapter.
(e) Upon notification by the commission, the Controller shall pay
all awards of the money in the accounts created pursuant to
subdivision (b) for purposes enumerated in this chapter. The
eligibility of each award shall be determined solely by the
commission based on the procedures it adopts under this chapter.
Based on the eligibility of each award, the commission shall also
establish the need for a multiyear commitment to any particular award
and so advise the Department of Finance. Eligible awards submitted
by the commission to the Controller shall be accompanied by
information specifying the account from which payment should be made
and the amount of each payment; a summary description of how payment
of the award furthers the purposes enumerated in this chapter; and an
accounting of future costs associated with any award or group of
awards known to the commission to represent a portion of a multiyear
funding commitment.
(f) The commission may transfer funds between accounts for
cashflow purposes, provided that the balance due each account is
restored and the transfer does not adversely affect any of the
accounts. The commission shall examine the cashflow in the
respective accounts on an annual basis, and shall annually prepare
and submit to the Legislature a report that describes the status of
account transfers and repayments.
(g) The commission shall, on a quarterly basis, report to
the Legislature on the implementation of this article. Those
quarterly reports shall be submitted to the Legislature not more than
30 days after the close of each quarter and shall include
information describing the awards submitted to the Controller for
payment pursuant to this article, the cumulative commitment of claims
by account, the relative demand for funds by account, a forecast of
future awards, and other matters the commission determines may be of
importance to the Legislature.
(h) The Department of Finance, commencing March 1, 1999,
shall conduct an independent audit of the Renewable Resource Trust
Fund and its related accounts annually, and provide an audit report
to the Legislature not later than March 1 of each year for which this
article is operative. The Department of Finance's report shall
include information regarding revenues, payment of awards, reserves
held for future commitments, unencumbered cash balances, and other
matters that the Director of Finance determines may be of importance
to the Legislature.
SEC. 5. The report required by Section 25748 of the Public
Resources Code shall be prepared by the State Energy Resources
Conservation and Development Commission in lieu of the annual report
required by Item 3360-001-0381 of the Supplemental Budget Report of
the Budget Act of 1999.
SEC. 6. This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect. The facts constituting the necessity are:
In order to consolidate reporting requirements and reduce
unnecessary expenditures, it is necessary that this act take effect
immediately.