BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 1613


                                                                    Page  1


          (Without Reference to File)





          CONCURRENCE IN SENATE AMENDMENTS


          AB  
          1613 (Committee on Budget)


          As Amended  August 30, 2016


          Majority vote.  Budget Bill Appropriation Takes Effect  
          Immediately


           -------------------------------------------------------------------- 
          |ASSEMBLY:  |      |(April 28,     |SENATE: |      |(August 31,      |
          |           |      |2016)          |        |25-13 |2016)            |
          |           |      |               |        |      |                 |
          |           |      |               |        |      |                 |
           -------------------------------------------------------------------- 
               (vote not relevant)




          Original Committee Reference:  BUDGET


          SUMMARY:  Amends the 2016 Budget Act to appropriate $900 million  
          of Greenhouse Gas Reduction Funds consistent with the 2016 Cap  
          and Trade Plan.  


          The Senate amendments delete the Assembly version of this bill,  
          and instead:









                                                                    AB 1613


                                                                    Page  2



          1)Appropriate $900 million of Greenhouse Gas Reduction Funds for  
            a portfolio of programs: 


             a)   $135 million for the Transit and Intercity Rail Capital  
               program, helping fund essential local capital projects to  
               keep Californians moving by bus and commuter rail;


             b)   $10 million for the Active Transportation Program to  
               fund bicycle and pedestrian programs that make walking or  
               biking to school and work safer and easier;


             c)   $133 million for a reformed Clean Vehicle Rebate  
               Project, which help low and middle income families purchase  
               the newest, cleanest vehicles available;


             d)   $150 million for the Heavy Duty and Off-Road Investments  
               to help develop and pilot cleaner industrial vehicles,  
               buses, and port equipment with new low or zero emissions;


             e)   $80 million for the Enhanced Vehicle Fleet Modernization  
               program to provide low income families help in replacing  
               their existing polluting vehicle with a newer, cleaner  
               vehicle;


             f)   $140 million for the Transformative Climate Communities  
               program to allow for a community-wide approach for  
               disadvantaged communities specified in statute to implement  
               an integrated transportation, housing, and green space  
               development plan to reduce pollution and improve local  
               quality of life;


             g)   $5 million to reduce black carbon emissions by  
               supplementing successful local programs to reduce wood  
               smoke pollution through fireplace, stove, and heater  








                                                                    AB 1613


                                                                    Page  3


               replacement;


             h)   $40 million for waste diversion projects for organic  
               material which fund projects that have a double  
               environmental benefit of capture greenhouse gases while  
               also reducing methane emissions;


             i)   $7.5 million for the Healthy Soils program, to establish  
               innovative farming practices that capture carbon, reduce  
               water use and improve soil health;


             j)   $50 million for programs that help dairies reduce  
               emissions and pollution associated with animal manure;


             aa)  $7.5 million to continue the successful State Water  
               Efficiency and Enhancement Program (SWEEP) which helps  
               replace older inefficient water irrigation and pumping  
               equipment with new state-of-the-art replacements that  
               pollute less and save water;


             bb)  $25 million for the Healthy Forest program, which  
               preserves existing forests by reducing the threat of  
               wildfires by reducing fuels, removing dead trees, and  
               providing long-term protection to forest land;


             cc)  $80 million for the Urban Greening program, to create  
               green spaces and parks in communities in California that  
               lack green space;


             dd)  $15 million to continue the successful Urban Forestry  
               program, which helps urban disadvantage communities plant  
               trees in their neighborhood;


             ee)  $20 million to help individuals in low-income  








                                                                    AB 1613


                                                                    Page  4


               communities reduce their energy use with weatherization and  
               energy efficiency improvements, including solar  
               installations; and


             ff)  $2 million to assist disadvantaged communities and local  
               governments with developing climate action plans.


          2)Reappropriate previously appropriated funds for the Building  
            Equity and Growth in Neighborhoods (BEGIN) program at the  
            Department of Housing and Community Development and Affordable  
            Housing and Sustainable Community program funds at the  
            Strategic Growth Council.


          FISCAL EFFECT:  This bill contains $900 million of Greenhouse  
          Gas Reduction Fund appropriations, which would result in a  
          remaining fund balance for the fund of at least $462 million for  
          future appropriations.


          COMMENTS:  This bill amends the 2016 Budget Act, SB 826 (Leno),  
          Chapter 23, Statutes of 2016, to add appropriations related to  
          Cap and Trade.  When the budget agreement was reached in June,  
          the decision regarding programmatic funding for Cap and Trade  
          programs was deferred.  This bill reflects the result of a  
          subsequent agreement on spending a portion of available  
          Greenhouse Gas Reduction funds and thus adds these  
          appropriations into the 2016 Budget.


          Analysis Prepared by:                                             
                          Christian Griffith / BUDGET / 916-319-2099  FN:  
          0005034















                                                                    AB 1613


                                                                    Page  5