Bill Text: CA AB1697 | 2015-2016 | Regular Session | Chaptered


Bill Title: Alternative and Renewable Fuel and Vehicle Technology

Spectrum: Partisan Bill (Democrat 4-0)

Status: (Passed) 2016-09-22 - Chaptered by Secretary of State - Chapter 446, Statutes of 2016. [AB1697 Detail]

Download: California-2015-AB1697-Chaptered.html
BILL NUMBER: AB 1697	CHAPTERED
	BILL TEXT

	CHAPTER  446
	FILED WITH SECRETARY OF STATE  SEPTEMBER 22, 2016
	APPROVED BY GOVERNOR  SEPTEMBER 22, 2016
	PASSED THE SENATE  AUGUST 18, 2016
	PASSED THE ASSEMBLY  AUGUST 23, 2016
	AMENDED IN SENATE  AUGUST 15, 2016
	AMENDED IN ASSEMBLY  APRIL 25, 2016
	AMENDED IN ASSEMBLY  APRIL 12, 2016
	AMENDED IN ASSEMBLY  MARCH 16, 2016

INTRODUCED BY   Assembly Member Bonilla
   (Coauthors: Assembly Members Brown, Campos, and Chu)

                        JANUARY 21, 2016

   An act to amend Section 44272 of the Health and Safety Code,
relating to vehicular air pollution.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1697, Bonilla. Alternative and Renewable Fuel and Vehicle
Technology Program.
   Existing law establishes the Alternative and Renewable Fuel and
Vehicle Technology Program, administered by the State Energy
Resources Conservation and Development Commission. Existing law
requires the program to provide funding measures to certain entities
to develop and deploy innovative technologies that transform
California's fuel and vehicle types to help attain the state's
climate change policies. Existing law requires the commission to
provide preferences to projects that maximize the goals of the
program based on certain criteria, including the project's ability to
provide economic benefits for California by promoting
California-based technology firms, jobs, and businesses. Existing law
specifies that projects eligible for funding include workforce
training programs related to various sectors or occupations related
to the purposes of the program.
   This bill would add a project's ability to transition workers to,
or promote employment in, the alternative and renewable fuels and
vehicle technology sector as additional criteria on which preference
under the program shall be provided. The bill would revise the
eligibility criteria for workforce training programs, as specified.
The bill would require the commission to collaborate with entities,
as specified, that have expertise in workforce development to
implement the workforce development components of the program.


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

  SECTION 1.  The Legislature finds and declares all of the
following:
   (a) The California Global Warming Solutions Act of 2006 (Division
25.5 (commencing with Section 38500) of the Health and Safety Code)
requires California to reduce the emissions of greenhouse gases to
1990 levels by 2020.
   (b) In January 2015, Governor Brown issued an executive order
declaring a statewide goal of reducing petroleum use by 50 percent by
2030 in order to reduce the emissions of greenhouse gases.
   (c) To address the long-term goals of reducing the emissions of
greenhouse gases in California, the Legislature enacted the
California Alternative and Renewable Fuel, Vehicle Technology, Clean
Air and Carbon Reduction Act of 2007 (Chapter 8.9 (commencing with
Section 44270) of Part 5 of Division 26 of the Health and Safety
Code) that established the Alternative and Renewable Fuel and Vehicle
Technology Program to provide up to $100 million in grants each year
to help California establish and expand alternative and renewable
fuel production and infrastructure.
   (d) As policies that reduce the emissions of greenhouse gases and
petroleum use go into effect, the job market will inevitably change,
resulting in a greater emphasis on green jobs.
   (e) To ensure that the skills and technical training in existing
industries are integrated into the new green economy, it is incumbent
on the state to foster earn-and-learn pathways and additional
training opportunities to transition workers from the carbon-based
economy to jobs focused on alternative and renewable fuels to match
growing demand.
  SEC. 2.  Section 44272 of the Health and Safety Code is amended to
read:
   44272.  (a) The Alternative and Renewable Fuel and Vehicle
Technology Program is hereby created. The program shall be
administered by the commission. The commission shall implement the
program by regulation pursuant to the requirements of Chapter 3.5
(commencing with Section 11340) of Part 1 of Division 3 of Title 2 of
the Government Code. The program shall provide, upon appropriation
by the Legislature, competitive grants, revolving loans, loan
guarantees, loans, or other appropriate funding measures to public
agencies, vehicle and technology entities, businesses and projects,
public-private partnerships, workforce training partnerships and
collaboratives, fleet owners, consumers, recreational boaters, and
academic institutions to develop and deploy innovative technologies
that transform California's fuel and vehicle types to help attain the
state's climate change policies. The emphasis of this program shall
be to develop and deploy technology and alternative and renewable
fuels in the marketplace, without adopting any one preferred fuel or
technology.
   (b) A project that receives more than seventy-five thousand
dollars ($75,000) in funds from the commission shall be approved at a
noticed public meeting of the commission and shall be consistent
with the priorities established by the investment plan adopted
pursuant to Section 44272.5. Under this article, the commission may
delegate to the commission's executive director, or his or her
designee, the authority to approve either of the following:
   (1) A contract, grant, loan, or other agreement or award that
receives seventy-five thousand dollars ($75,000) or less in funds
from the commission.
   (2) Amendments to a contract, grant, loan, or other agreement or
award as long as the amendments do not increase the amount of the
award, change the scope of the project, or modify the purpose of the
agreement.
   (c) The commission shall provide preferences to those projects
that maximize the goals of the Alternative and Renewable Fuel and
Vehicle Technology Program, based on the following criteria, as
applicable:
   (1) The project's ability to provide a measurable transition from
the nearly exclusive use of petroleum fuels to a diverse portfolio of
viable alternative fuels that meet petroleum reduction and
alternative fuel use goals.
   (2) The project's consistency with existing and future state
climate change policy and low-carbon fuel standards.
   (3) The project's ability to reduce criteria air pollutants and
air toxics and reduce or avoid multimedia environmental impacts.
   (4) The project's ability to decrease, on a life-cycle basis, the
discharge of water pollutants or any other substances known to damage
human health or the environment, in comparison to the production and
use of California Phase 2 Reformulated Gasoline or diesel fuel
produced and sold pursuant to California diesel fuel regulations set
forth in Article 2 (commencing with Section 2280) of Chapter 5 of
Division 3 of Title 13 of the California Code of Regulations.
   (5) The project does not adversely impact the sustainability of
the state's natural resources, especially state and federal lands.
   (6) The project provides nonstate matching funds. Costs incurred
from the date a proposed award is noticed may be counted as nonstate
matching funds. The commission may adopt further requirements for the
purposes of this paragraph. The commission is not liable for costs
incurred pursuant to this paragraph if the commission does not give
final approval for the project or the proposed recipient does not
meet requirements adopted by the commission pursuant to this
paragraph.
   (7) The project provides economic benefits for California by
promoting California-based technology firms, jobs, and businesses.
   (8) The project uses existing or proposed fueling infrastructure
to maximize the outcome of the project.
   (9) The project's ability to reduce on a life-cycle assessment
greenhouse gas emissions by at least 10 percent, and higher
percentages in the future, from current reformulated gasoline and
diesel fuel standards established by the state board.
   (10) The project's use of alternative fuel blends of at least 20
percent, and higher blend ratios in the future, with a preference for
projects with higher blends.
   (11) The project drives new technology advancement for vehicles,
vessels, engines, and other equipment, and promotes the deployment of
that technology in the marketplace.
   (12) The project's ability to transition workers to, or promote
employment in, the alternative and renewable fuel and vehicle
technology sector.
   (d) The commission shall rank applications for projects proposed
for funding awards based on solicitation criteria developed in
accordance with subdivision (c), and shall give additional preference
to funding those projects with higher benefit-cost scores.
   (e) Only the following shall be eligible for funding:
   (1) Alternative and renewable fuel projects to develop and improve
alternative and renewable low-carbon fuels, including electricity,
ethanol, dimethyl ether, renewable diesel, natural gas, hydrogen, and
biomethane, among others, and their feedstocks that have high
potential for long-term or short-term commercialization, including
projects that lead to sustainable feedstocks.
   (2) Demonstration and deployment projects that optimize
alternative and renewable fuels for existing and developing engine
technologies.
   (3) Projects to produce alternative and renewable low-carbon fuels
in California.
   (4) Projects to decrease the overall impact of an alternative and
renewable fuel's life-cycle carbon footprint and increase
sustainability.
   (5) Alternative and renewable fuel infrastructure, fueling
stations, and equipment. The preference in paragraph (10) of
subdivision (c) shall not apply to renewable diesel or biodiesel
infrastructure, fueling stations, and equipment used solely for
renewable diesel or biodiesel fuel.
   (6) Projects to develop and improve light-, medium-, and
heavy-duty vehicle technologies that provide for better fuel
efficiency and lower greenhouse gas emissions, alternative fuel usage
and storage, or emission reductions, including propulsion systems,
advanced internal combustion engines with a 40 percent or better
efficiency level over the current market standard, lightweight
materials, intelligent transportation systems, energy storage,
control systems and system integration, physical measurement and
metering systems and software, development of design standards and
testing and certification protocols, battery recycling and reuse,
engine and fuel optimization electronic and electrified components,
hybrid technology, plug-in hybrid technology, battery electric
vehicle technology, fuel cell technology, and conversions of hybrid
technology to plug-in technology through the installation of safety
certified supplemental battery modules.
   (7) Programs and projects that accelerate the commercialization of
vehicles and alternative and renewable fuels including buy-down
programs through near-market and market-path deployments, advanced
technology warranty or replacement insurance, development of market
niches, supply-chain development, and research related to the
pedestrian safety impacts of vehicle technologies and alternative and
renewable fuels.
   (8) Programs and projects to retrofit medium- and heavy-duty
onroad and nonroad vehicle fleets with technologies that create
higher fuel efficiencies, including alternative and renewable fuel
vehicles and technologies, idle management technology, and
aerodynamic retrofits that decrease fuel consumption.
   (9) Infrastructure projects that promote alternative and renewable
fuel infrastructure development connected with existing fleets,
public transit, and existing transportation corridors, including
physical measurement or metering equipment and truck stop
electrification.
   (10) Workforce training programs related to the development and
deployment of technologies that transform California's fuel and
vehicle types and assist the state in implementing its climate change
policies, including, but not limited to, alternative and renewable
fuel feedstock production and extraction; renewable fuel production,
distribution, transport, and storage; high-performance and
low-emission vehicle technology and high tower electronics;
automotive computer systems; mass transit fleet conversion,
servicing, and maintenance; and other sectors or occupations related
to the purposes of this chapter, including training programs to
transition dislocated workers affected by the state's greenhouse gas
emission policies, including those from fossil fuel sectors, or
training programs for low-skilled workers to enter or continue in a
career pathway that leads to middle skill, industry-recognized
credentials or state-approved apprenticeship opportunities in
occupations related to the purposes of this chapter.
   (11) Block grants or incentive programs administered by public
entities or not-for-profit technology entities for multiple projects,
education and program promotion within California, and development
of alternative and renewable fuel and vehicle technology centers. The
commission may adopt guidelines for implementing the block grant or
incentive program, which shall be approved at a noticed public
meeting of the commission.
   (12) Life-cycle and multimedia analyses, sustainability and
environmental impact evaluations, and market, financial, and
technology assessments performed by a state agency to determine the
impacts of increasing the use of low-carbon transportation fuels and
technologies, and to assist in the preparation of the investment plan
and program implementation.
   (13) A program to provide funding for homeowners who purchase a
plug-in electric vehicle to offset costs associated with modifying
electrical sources to include a residential plug-in electric vehicle
charging station. In establishing this program, the commission shall
consider funding criteria to maximize the public benefit of the
program.
   (f) The commission may make a single source or sole source award
pursuant to this section for applied research. The same requirements
set forth in Section 25620.5 of the Public Resources Code shall apply
to awards made on a single source basis or a sole source basis. This
subdivision does not authorize the commission to make a single
source or sole source award for a project or activity other than for
applied research.
   (g) The commission may do all of the following:
   (1) Contract with the Treasurer to expend funds through programs
implemented by the Treasurer, if the expenditure is consistent with
all of the requirements of this article and Article 1 (commencing
with Section 44270).
   (2) Contract with small business financial development
corporations established by the Governor's Office of Business and
Economic Development to expend funds through the Small Business Loan
Guarantee Program if the expenditure is consistent with all of the
requirements of this article and Article 1 (commencing with Section
44270).
   (3) Advance funds, pursuant to an agreement with the commission,
to any of the following:
   (A) A public entity.
   (B) A recipient to enable it to make advance payments to a public
entity that is a subrecipient of the funds and under a binding and
enforceable subagreement with the recipient.
   (C) An administrator of a block grant program.
   (h) The commission shall collaborate with entities that have
expertise in workforce development to implement the workforce
development components of this section, including, but not limited
to, the California Workforce Development Board, the Employment
Training Panel, the Employment Development Department, and the
Division of Apprenticeship Standards.
     
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