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AB-9 Transportation fuels: specifications: production enhancement strategies. (2023-2024)



Current Version: 10/01/24 - Amended Assembly

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AB9:v97#DOCUMENT

Amended  IN  Assembly  October 01, 2024
Amended  IN  Assembly  September 26, 2024

CALIFORNIA LEGISLATURE— 2023–2024 2nd Ext.

Assembly Bill
No. 9

Introduced by Assembly Member Petrie-Norris

September 24, 2024

An act to add Section 43830.9 to to, and to add and repeal Section 43019.4 of, the Health and Safety Code, and to add and repeal Section 25371.4 of the Public Resources Code, relating to energy, and declaring the urgency thereof, to take effect immediately.


LEGISLATIVE COUNSEL'S DIGEST


AB 9, as amended, Petrie-Norris. Transportation fuels: specifications: production enhancement strategies.
Existing law authorizes the State Air Resources Board to adopt and implement motor vehicle fuel specifications for the control of air contaminants and sources of air pollution. Existing law prohibits the state board from adopting any regulation that establishes a specification for motor vehicle fuel unless that regulation, and a multimedia evaluation conducted by affected agencies and coordinated by the state board, are reviewed by the California Environmental Policy Council.
This bill would authorize the state board to adopt a schedule of fees, not to exceed a total amount collected of $5,000,000 over 3 years, to cover all or a portion of the state board’s reasonable costs associated with the development, implementation, and enforcement of a specification for a blend of gasoline that contains more than 10% and up to 15% ethanol by volume for use as a transportation fuel, as provided. The bill would require that the revenues from those fees be deposited into the Cost of Implementation Account and be available, upon appropriation by the Legislature, for purposes of carrying out these provisions.
This bill would require the state board to ensure that the multimedia evaluation of gasoline containing up to 15% ethanol by volume conducted pursuant to those provisions is completed, and ready for review by the council, on or before July 1, 2025.
Existing law requires the State Energy Resources Conservation and Development Commission, on or before January 1, 2024, and every 3 years thereafter, to submit an assessment to the Governor and the Legislature that, among other things, identifies methods to ensure a reliable supply of affordable and safe transportation fuels in California, as provided.
This bill would require the commission commission, in consultation with the state board, to prepare and submit a report to the Legislature on or before July 1, 2025, regarding potential solutions to increase the supply of gasoline through the production enhancement strategies identified by the commission in its 2024 assessment submitted to the Legislature and the Governor, as specified.
This bill would declare that it is to take effect immediately as an urgency statute.
Vote: 2/3   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

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


SECTION 1.

 Section 43019.4 is added to the Health and Safety Code, to read:

43019.4.
 (a) The state board may adopt a schedule of fees, not to exceed a total amount collected of five million dollars ($5,000,000) over three years, to cover all or a portion of the state board’s reasonable costs associated with the development, implementation, and enforcement of a specification for a blend of gasoline that contains more than 10 percent and up to 15 percent ethanol by volume for use as a transportation fuel.
(b) The fees adopted pursuant to subdivision (a) shall apply only to entities that produce fuel ethanol for use in blended transportation fuels sold in California.
(c) The revenues collected pursuant to this section shall be deposited into the Cost of Implementation Account established in the Air Pollution Control Fund pursuant to Section 16428.95 of the Government Code and shall be available, upon appropriation by the Legislature, for purposes of carrying out this section.
(d) Failure to comply with the fee schedule shall not result in a violation of Section 43020.
(e) This section shall remain in effect only until January 1, 2028, and as of that date is repealed.

SECTION 1.SEC. 2.

 Section 43830.9 is added to the Health and Safety Code, to read:

43830.9.
 The state board shall ensure that the multimedia evaluation of gasoline containing up to 15 percent ethanol by volume (E15 gasoline) conducted pursuant to Section 43830.8 is completed, and ready for review by the California Environmental Policy Council, established pursuant to Section 71017 of the Public Resources Code, on or before July 1, 2025.

SEC. 2.SEC. 3.

 Section 25371.4 is added to the Public Resources Code, to read:

25371.4.
 (a) The commission commission, in consultation with the State Air Resources Board, shall prepare and submit a report to the Legislature on or before July 1, 2025, regarding potential solutions to increase the supply of gasoline through the production enhancement strategies identified by the commission on pages 63 to 66, inclusive, of its assessment submitted to the Legislature and the Governor on August 15, 2024, pursuant to Section 25371. As part of the report, the commission shall do both of the following:
(1) Conduct an analysis to resolve the outstanding issues identified by the commission in the 2024 report for each production enhancement strategy.
(2) Make recommendations on which potential solutions the state should pursue to increase the supply of gasoline and lower the cost of gasoline.
(b) (1) A report to be submitted pursuant to subdivision (a) shall be submitted in compliance with Section 9795 of the Government Code.
(2) Pursuant to Section 10231.5 of the Government Code, this section shall become inoperative on July 1, 2029, and, as of January 1, 2030, is repealed.

SEC. 3.SEC. 4.

 This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the California Constitution and shall go into immediate effect. The facts constituting the necessity are:
In order to develop solutions to help reduce the price of gasoline as soon as possible, it is necessary that this act take effect immediately.