BILL ANALYSIS                                                                                                                                                                                                    




          Appropriations Committee Fiscal Summary

                                SB 1298 (Bowen)

Hearing Date: 5/10/99           Amended: 4/5/99        
Consultant:  Bob Franzoia           Policy Vote: E,U&C 9-0
____________________________________________________________ 

BILL SUMMARY: 

SB 1298 would, to the extent permitted by federal law,  
appropriate $14,000 from the Petroleum Violation Escrow  
Account (PVEA) to the California Energy Commission (CEC)  
for specified energy conservation projects and programs.  

                         Fiscal Impact (in thousands)
  
Major Provisions             1999-2000       2000-01       2001-02    Fund  

Appropriation          $14,000               Special*

* Petroleum Violation Escrow Account

STAFF COMMENTS:  

This bill meets the criteria to be placed on the Suspense  
file.

In 1996-97, the Legislature and the Governor failed to  
reach an agreement on the expenditure of PVEA funds.  In  
1997-98, Chapter 659, Statutes of 1997 (SB 368, Peace)  
appropriated $32,646,000.  In 1998-99, the PVEA had a fund  
balance of $12,400,000.  No appropriation, other than that  
provided in the 1998 Budget Act, was made.   For 1999-00,  
the PVEA has a fund balance of approximately $14,000,000.   
Of that amount, the Governor's proposed Budget appropriates  
$9,000,000 for low income residence weatherization work  
performed by the California Conservation Corps and  
$1,000,000 for energy conservation work by the CEC, leaving  
$4,000,000 for individual member projects.

The bill would appropriate that money to the CEC for grants  
that are available to all local air quality management  
districts, on a matching basis, for local programs to buy  
down the cost of zero-emission vehicles and infrastructure  
($2,500,000) and for grants that are available to all  










counties and cities, on a competitive basis, to buy-down  
the cost of acquiring zero-emission vehicles and  
infrastructure for use in their own fleets ($1,000,000).   
The bill also would appropriate $500,000 for grants to the  
Department of General Services, the Senate Committee on  
Rules and the Assembly Committee on Rules to acquire  
zero-emission vehicles and infrastructure.