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AB-40 Air Quality Improvement Program: Clean Vehicle Rebate Project.(2019-2020)

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Date Published: 09/10/2019 09:00 PM
AB40:v98#DOCUMENT

Amended  IN  Assembly  September 10, 2019

CALIFORNIA LEGISLATURE— 2019–2020 REGULAR SESSION

Assembly Bill
No. 40


Introduced by Assembly Members Member Ting and Kalra
(Coauthors: Assembly Members Berman, Friedman, McCarty, and Mark Stone)

December 03, 2018


An act to add Section 43018.6 to the Health and Safety Code, relating to vehicular air pollution. An act to add Section 44274.8 to the Health and Safety Code, relating to vehicular air pollution.


LEGISLATIVE COUNSEL'S DIGEST


AB 40, as amended, Ting. Zero-emission vehicles: comprehensive strategy. Air Quality Improvement Program: Clean Vehicle Rebate Project.
Existing law establishes the Air Quality Improvement Program that is administered by the State Air Resources Board for the purposes of funding projects related to, among other things, the reduction of criteria air pollutants and improvement of air quality. Pursuant to its existing statutory authority, the state board has established the Clean Vehicle Rebate Project, as a part of the Air Quality Improvement Program, to promote the use of zero-emission vehicles by providing rebates for the purchase of new zero-emission vehicles.
This bill would declare it is the policy of the state to place at least 5,000,000 zero-emission vehicles on state roads by 2030 and 10,000,000 zero-emission vehicles on state roads by 2035. The bill also would require the state board to limit vehicle eligibility for the Clean Vehicle Rebate Project to only those vehicles manufactured by companies that have entered into a specified agreement that has been adopted by the state board, to post that agreement on the state board’s internet website, to remove plug-in hybrid electric vehicles from vehicle eligibility in the Clean Vehicle Rebate Project, to continue to maintain a waiting list for purchasers when moneys for the Clean Vehicle Rebate Project are exhausted, to create a higher rebate dollar level per vehicle for vehicles with zero emissions and a greater driving range, and to continue to limit each zero-emission vehicle purchaser to 2 rebates.

Existing law imposes various limitations on emissions of air contaminants for the control of air pollution from vehicular and nonvehicular sources. Existing law generally designates the State Air Resources Board as the state agency with the primary responsibility for the control of vehicular air pollution. Existing law required the state board to develop and adopt regulations that achieve the maximum feasible reduction of greenhouse gases emitted by passenger vehicles, light-duty trucks, and any other vehicles determined by the state board to be vehicles whose primary use is noncommercial personal transportation in the state.

This bill, no later than January 1, 2021, would require the state board to develop a comprehensive strategy to ensure that the sales of new motor vehicles and new light-duty trucks in the state have transitioned fully to zero-emission vehicles, as defined, by 2040, as specified.

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 The Legislature finds and declares all of the following:
(a) In response to the attempt by the current federal administration to roll back vehicular emissions standards, on July 25, 2019, Governor Gavin Newsom and the State Air Resources Board announced a framework with several automakers that would ensure a reduction in vehicular emissions that can serve as an alternative path for clean vehicle standards nationwide. The State Air Resources Board announced that other automakers remained free to join the framework at that time.
(b) The framework is a pragmatic approach that provides automakers additional flexibility to meet the current vehicular emissions standards while supporting an accelerated transition to zero-emission vehicles.
(c) California, in order to advance air quality and climate change goals, administers incentive programs to support the widespread commercialization of zero-emission vehicles, including the Clean Vehicle Rebate Project, established as part of the Air Quality Improvement Program (Article 3 (commencing with Section 44274) of Chapter 8.9 of Part 5 of Division 26 of the Health and Safety Code).
(d) California should not incentivize the purchase of vehicles manufactured by companies that are not helping to achieve the state’s public health and climate goals by refusing to join the state’s framework.

SEC. 2.

 Section 44274.8 is added to the Health and Safety Code, to read:

44274.8.
 (a) It is the policy of the state to place at least 5,000,000 zero-emission vehicles on state roads by 2030 and 10,000,000 zero-emission vehicles on state roads by 2035.
(b) The state board shall do all of the following:
(1) (A) Limit vehicle eligibility for the Clean Vehicle Rebate Project established as part of the Air Quality Improvement Program to only those vehicles manufactured by companies that have entered into an agreement that has been adopted by the state board to maintain and increase reductions in greenhouse gas emissions from those vehicles.
(B) The state board shall post on its internet website the adopted agreement described in subparagraph (A).
(2) Remove plug-in hybrid electric vehicles from vehicle eligibility in the Clean Vehicle Rebate Project established as part of the Air Quality Improvement Program.
(3) Continue to maintain a waiting list for purchasers when moneys for the Clean Vehicle Rebate Project established as part of the Air Quality Improvement Program are exhausted in order for purchasers to receive a rebate if additional moneys are appropriated by the Legislature for that purpose.
(4) Create a higher rebate dollar level per vehicle for vehicles with zero emissions and a greater driving range.
(5) Continue to limit each zero-emission vehicle purchaser to two rebates.

SECTION 1.

The Legislature finds and declares all of the following:

(a)The largest source of the state’s greenhouse gas emissions come from the transportation sector, primarily from passenger vehicles, accounting for nearly 40 percent of emissions.

(b)Over one-half of criteria air pollution, which causes smog and direct health impacts, comes from transportation.

(c)People who live near freeways and busy roadways are at high risk for exposure to health-threatening air pollutants from passenger vehicles traveling those corridors.

(d)Since the 1990s, air pollution experts have identified moving to zero-emission vehicles as a key to delivering clean air to residents.

(e)The state can effectively reduce both health-threatening criteria air pollution and climate pollution by adopting zero-emission vehicles statewide.

(f)Climate change is a matter of increasing concern for public health and the environment in the state.

(g)The control and reduction of greenhouse gas emissions are critical to slow the effects of climate change, such as sea-level rise, extreme weather events, or food insecurity.

(h)Technological solutions to reduce greenhouse gas emissions will stimulate the state’s economy and provide good clean energy job opportunities.

SEC. 2.Section 43018.6 is added to the Health and Safety Code, to read:
43018.6.

(a)For purposes of this section, “zero-emission vehicles” means a vehicle that produces zero exhaust emissions of any criteria air pollutant, precursor pollutant, or greenhouse gas, excluding emissions from air conditioning systems, under any possible operating modes or conditions.

(b)No later than January 1, 2021, the state board shall develop a comprehensive strategy to ensure that the sales of new motor vehicles and new light-duty trucks in the state have transitioned fully to zero-emission vehicles by 2040. In developing the strategy, the state board shall do all of the following:

(1)Assess the credit provisions and regulatory structure adjustments needed to meet the future motor vehicle volumes in order to shift the state’s new motor vehicle market to zero-emission vehicles by 2040.

(2)Identify regulation that could improve market acceptance, spur technology advancements, and reduce technology costs.

(3)Identify research needs to address any data gaps.

(4)Identify areas where coordination with other state agencies and districts is needed to implement measures identified as part of the comprehensive strategy.

(c)As part of the comprehensive strategy developed pursuant to subdivision (b), the state board shall consult with experts in academia, industry, and the community on zero-emission vehicles, motor vehicle marketing, and motor vehicle technology adoption. The topics shall include, but not be limited to, all of the following:

(1)Identification of opportunities and challenges for adopting zero-emission vehicles.

(2)Recommendations to increase dealership engagement and improve the retail experience.

(3)Identification of regulatory actions other state agencies might take to encourage greater consumer access to zero-emission vehicles.

(d)To provide a forum for public engagement, the state board shall hold at least one public workshop during the development of the comprehensive strategy required pursuant to subdivision (b).