BILL NUMBER: AB 2705	INTRODUCED
	BILL TEXT


INTRODUCED BY   Committee on Agriculture (Cardoza (Chair), Maldonado
(Vice Chair), Briggs, Florez, House, Reyes, Thomson, and Wiggins)

                        FEBRUARY 25, 2000

   An act to add Chapter 7.5 (commencing with Section 25650) to
Division 15 of the Public Resources Code, relating to energy
assistance.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 2705, as introduced, Committee on Agriculture.    Agricultural
industry energy program.
   Under existing law, there is a loan program to assist low-income
fishing fleet operators reduce their energy costs and conserve fuel
by providing low-interest loans to those operators.
   This bill would require the State Energy Resources Conservation
and Development Commission to establish an agricultural industry
energy program to provide loans for the purchase of equipment and
services for agriculture energy efficiency and development
demonstration projects.  The bill would provide that the loans have a
repayment period of not more than 7 years, and bear interest at a
rate not less than 2% below the rate earned by moneys in the Pooled
Money Investment Account.  Funds from loan repayments and interest
would be required to be deposited in the Energy Technologies
Research, Development, and Demonstration Account, and upon
appropriation, would be available for loans and technical assistance.

   Vote:  majority.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Chapter 7.5 (commencing with Section 25650) is added to
Division 15 of the Public Resources Code, to read:

      CHAPTER 7.5.  AGRICULTURAL INDUSTRY ENERGY PROGRAM

   25650.  (a) The commission shall establish an agricultural
industry energy program for loans for the purchase of equipment and
services for agriculture energy efficiency and development
demonstration projects, including, but not limited to, production of
methane or ethanol, use of wind, photovoltaics, and other sources of
energy for irrigation pumping, application of load management
conservation techniques, improvements in water pumping and
pressurization techniques, and conservation tillage techniques.
   (b) The loans shall contain terms providing for a repayment period
of not more than seven years and for interest at a rate that is not
less than 2 percent below the rate earned by moneys in the Pooled
Money Investment Account.
   (c) The funds from loan repayments and interest shall be deposited
in the Energy Technologies Research, Development, and Demonstration
Account and shall be available for loans and technical assistance
pursuant to this section, upon appropriation in the Budget Act.  Up
to 20 percent of the annual appropriation shall be available for
technical assistance.