BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 2304
                                                                  Page  1

          CONCURRENCE IN SENATE AMENDMENTS
          AB 2304 (Richman)
          As Amended August 18, 2004
          2/3 vote.  Urgency
           
           ----------------------------------------------------------------- 
          |ASSEMBLY:  |72-0 |(April 29,      |SENATE: |32-0 |(August 23,    |
          |           |     |2004)           |        |     |2004)          |
           ----------------------------------------------------------------- 
            
           Original Committee Reference:   U. & C.  

           SUMMARY  :  Amends and repeals requirements that the California  
          Energy Resources Conservation and Development Commission (CEC)  
          provides specified reports to the Legislature. 

           The Senate amendments  make technical non-substantive changes to  
          resolve a chaptering out conflict with SB 1478 (Sher). 

           AS PASSED BY THE ASSEMBLY  , this bill:

          1)Repealed a requirement that CEC submit quarterly reports to  
            the legislature summarizing the amount of MTBE used in  
            gasoline in California.

          2)Repealed provision creating the Clean Fuels Account and  
            mandating that $7 million of funds in the account be expended  
            to advance the use of methanol fuel.

          3)Consolidated several reports that CEC provides to the  
            Legislature regarding the operation of and expenditures from  
            the Renewable Energy Program into one annual report.  

          4)Stated that this bill would take effect immediately. 

           FISCAL EFFECT  :  Unknown

           COMMENTS  :  Under existing law, CEC is required to provided  
          quarterly reports to the Legislature on the amount of MTBE used  
          in blended gasoline in California.  However, beginning on  
          January 1, 2004, the use of MTBE in gasoline was prohibited,  
          leaving the need to collect data on the use of MTBE irrelevant. 

          AB 1147, (Presley) Chapter 1340, Statutes of 1986, created the  
          Clean Fuels Account within the General Fund and allocated $7  








                                                                  AB 2304
                                                                  Page  2

          million to the account to fund programs promoting the use of  
          methanol.  CEC has completed all projects mandated under the act  
          and has expended all available funds.  Since the program has  
          been completed, CEC believes deletion of the code section is  
          appropriate. 

          Existing law creates various programs at CEC to promote and  
          develop renewable energy resources.  CEC is required to file one  
          quarterly report, two annual reports, and one bi-annual report  
          to the Legislature regarding the operation of these programs and  
          the expenditure of funds. This bill consolidates the reports  
          into one annual report. 


           Analysis Prepared by  :    Edward Randolph / U. & C. / (916)  
          319-2083                  FN: 0008347