AB 2145: Vehicular air pollution.
- Session Year: 2017-2018
- House: Assembly
- Latest Version Date: 2018-09-22
(1)The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The act authorizes the state board to include the use of market-based compliance mechanisms. Existing law requires all moneys, except for fines and penalties, collected by the state board as part of a market-based compliance mechanism to be deposited in the Greenhouse Gas Reduction Fund and to be available upon appropriation by the Legislature.
Existing law establishes the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007, which includes the Alternative and Renewable Fuel and Vehicle Technology Program, administered by the State Energy Resources Conservation and Development Commission, and the Air Quality Improvement Program, administered by the state board. The act requires the energy commission and state board to meet specified goals in fulfilling their responsibilities under their respective programs.
The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, upon appropriation from the Greenhouse Gas Reduction Fund, funds zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and related projects, including, among others, projects that help to facilitate clean goods movement corridors. Existing law requires the state board, in consultation with the energy commission, to develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program that is consistent with the California Global Warming Solutions Act of 2006. Existing law requires the guidance to ensure that California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program investments are coordinated with specified funding programs developed as part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007 and to promote projects that assist the state in reaching its climate goals beyond 2020. Existing law requires the state board, when evaluating potential projects to be funded under the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, to give priority to specified projects, including, among others, projects that benefit specified disadvantaged communities.
This bill would add as eligible projects for the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program those projects that support grid integration and integrated storage solutions and charging management demonstration and analytics. The bill would additionally require the energy commission, as part of the guidance developed for the program, to advise the state board on to how to allocate moneys for vehicle charging infrastructure consistent with the energy commissions investment plan strategies on charging infrastructure that is part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007. The bill instead would require the guidance to promote projects that assist the state in reaching its climate goals beyond 2030. The bill would additionally require the state board, when evaluating potential projects to be funded under the program, to give priority to a project that benefits communities that have implemented a specified community emissions reduction program.
(2)This bill would incorporate additional changes to Section 39719.2 of the Health and Safety Code proposed by SB 1403 to be operative only if this bill and SB 1403 are enacted and this bill is enacted last.
(1)The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The act authorizes the state board to include the use of market-based compliance mechanisms. Existing law requires all moneys, except for fines and penalties, collected by the state board as part of a market-based compliance mechanism to be deposited in the Greenhouse Gas Reduction Fund and to be available upon appropriation by the Legislature.
Existing law establishes the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007, which includes the Alternative and Renewable Fuel and Vehicle Technology Program, administered by the State Energy Resources Conservation and Development Commission, and the Air Quality Improvement Program, administered by the state board. The act requires the energy commission and state board to meet specified goals in fulfilling their responsibilities under their respective programs.
The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, upon appropriation from the Greenhouse Gas Reduction Fund, funds zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and related projects, including, among others, projects that help to facilitate clean goods movement corridors. Existing law requires the state board, in consultation with the energy commission, to develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program that is consistent with the California Global Warming Solutions Act of 2006. Existing law requires the guidance to ensure that California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program investments are coordinated with specified funding programs developed as part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007 and to promote projects that assist the state in reaching its climate goals beyond 2020. Existing law requires the state board, when evaluating potential projects to be funded under the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, to give priority to specified projects, including, among others, projects that benefit specified disadvantaged communities.
This bill would add as eligible projects for the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program those projects that support grid integration and integrated storage solutions and charging management demonstration and analytics. The bill would additionally require the energy commission, as part of the guidance developed for the program, to advise the state board on to how to allocate moneys for vehicle charging infrastructure consistent with the energy commissions investment plan strategies on charging infrastructure that is part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007. The bill instead would require the guidance to promote projects that assist the state in reaching its climate goals beyond 2030. The bill would additionally require the state board, when evaluating potential projects to be funded under the program, to give priority to a project that benefits communities that have implemented a specified community emissions reduction program.
(2)This bill would incorporate additional changes to Section 39719.2 of the Health and Safety Code proposed by SB 1403 to be operative only if this bill and SB 1403 are enacted and this bill is enacted last.
(1)The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The act authorizes the state board to include the use of market-based compliance mechanisms. Existing law requires all moneys, except for fines and penalties, collected by the state board as part of a market-based compliance mechanism to be deposited in the Greenhouse Gas Reduction Fund and to be available upon appropriation by the Legislature.
Existing law establishes the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007, which includes the Alternative and Renewable Fuel and Vehicle Technology Program, administered by the State Energy Resources Conservation and Development Commission, and the Air Quality Improvement Program, administered by the state board. The act requires the energy commission and state board to meet specified goals in fulfilling their responsibilities under their respective programs.
The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, upon appropriation from the Greenhouse Gas Reduction Fund, funds zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and related projects, including, among others, projects that help to facilitate clean goods movement corridors. Existing law requires the state board, in consultation with the energy commission, to develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program that is consistent with the California Global Warming Solutions Act of 2006. Existing law requires the guidance to ensure that California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program investments are coordinated with specified funding programs developed as part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007 and to promote projects that assist the state in reaching its climate goals beyond 2020. Existing law requires the state board, when evaluating potential projects to be funded under the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, to give priority to specified projects, including, among others a project that benefits specified disadvantaged communities.
This bill would add as eligible projects for the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program those projects that support grid integration and integrated storage solutions and charging management demonstration and analytics. The bill would additionally require the energy commission, as part of the guidance developed for the program, to advise the state board on to how to allocate moneys for vehicle charging infrastructure consistent with the energy commissions investment plan strategies on charging infrastructure that is part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007. The bill instead would require the guidance to promote projects that assist the state in reaching its climate goals beyond 2030. The bill would additionally require the state board, when evaluating potential projects to be funded under the program, to give priority to a project that benefits communities that have implemented a specified community emissions reduction program.
(2)Existing law requires the Alternative and Renewable Fuel and Vehicle Technology Program to provide funding measures to certain entities to develop and deploy innovative technologies that transform Californias fuel and vehicle types to help attain the states climate change policies. Existing law requires the state board to give preference to those projects that maximize the goals of the program based on specified criteria.This bill would add infrastructure entities to the list of eligible applicants and would add the development and deployment of infrastructure to the programs emphasis. The bill would add to the specified criteria the state board uses to determine preferential projects a projects ability to deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.(2)This bill would incorporate additional changes to Section 39719.2 of the Health and Safety Code proposed by SB 1403 to be operative only if this bill and SB 1403 are enacted and this bill is enacted last.
(1)The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The act authorizes the state board to include the use of market-based compliance mechanisms. Existing law requires all moneys, except for fines and penalties, collected by the state board as part of a market-based compliance mechanism to be deposited in the Greenhouse Gas Reduction Fund and to be available upon appropriation by the Legislature.
Existing law establishes the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007, which includes the Alternative and Renewable Fuel and Vehicle Technology Program, administered by the State Energy Resources Conservation and Development Commission, and the Air Quality Improvement Program, administered by the state board. The act requires the energy commission and state board to meet specified goals in fulfilling their responsibilities under their respective programs.
The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, upon appropriation from the Greenhouse Gas Reduction Fund, funds zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and related projects, including, among others, projects that help to facilitate clean goods movement corridors. Existing law requires the state board, in consultation with the energy commission, to develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program that is consistent with the California Global Warming Solutions Act of 2006. Existing law requires the guidance to ensure that California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program investments are coordinated with specified funding programs developed as part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007 and to promote projects that assist the state in reaching its climate goals beyond 2020. Existing law requires the state board, when evaluating potential projects to be funded under the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, to give priority to specified projects, including, among others a project that benefits specified disadvantaged communities.
This bill would add as eligible projects for the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program those projects that support grid integration and integrated storage solutions and charging management demonstration and analytics. The bill would additionally require the energy commission, as part of the guidance developed for the program, to advise the state board on to how to allocate moneys for vehicle charging infrastructure consistent with the energy commissions investment plan strategies on charging infrastructure that is part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007. The bill instead would require the guidance to promote projects that assist the state in reaching its climate goals beyond 2030. The bill would additionally require the state board, when evaluating potential projects to be funded under the program, to give priority to a project that benefits communities that have implemented a specified community emissions reduction program.
(2)Existing law requires the Alternative and Renewable Fuel and Vehicle Technology Program to provide funding measures to certain entities to develop and deploy innovative technologies that transform Californias fuel and vehicle types to help attain the states climate change policies. Existing law requires the state board to give preference to those projects that maximize the goals of the program based on specified criteria.
This bill would add infrastructure entities to the list of eligible applicants and would add the development and deployment of infrastructure to the programs emphasis. The bill would add to the specified criteria the state board uses to determine preferential projects a projects ability to deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles. The bill would require not less than 20% of funds allocated for the program to be available for the deployment of medium- and heavy-duty electric vehicle infrastructure.
(1)The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The act authorizes the state board to include the use of market-based compliance mechanisms. Existing law requires all moneys, except for fines and penalties, collected by the state board as part of a market-based compliance mechanism to be deposited in the Greenhouse Gas Reduction Fund and to be available upon appropriation by the Legislature.
Existing law establishes the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007, which includes the Alternative and Renewable Fuel and Vehicle Technology Program, administered by the State Energy Resources Conservation and Development Commission, and the Air Quality Improvement Program, administered by the state board. The act requires the energy commission and state board to meet specified goals in fulfilling their responsibilities under their respective programs.The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, upon appropriation from the Greenhouse Gas Reduction Fund, funds zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and related projects, including, among others, projects that help to facilitate clean goods movement corridors. Existing law requires the state board, in consultation with the energy commission, to develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program that is consistent with the California Global Warming Solutions Act of 2006. Existing law requires the guidance to ensure that California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program investments are coordinated with specified funding programs developed as part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007 and to promote projects that assist the state in reaching its climate goals beyond 2020. Existing law requires the state board, when evaluating potential projects to be funded under the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, to give priority to specified projects, including, among others a project that benefits specified disadvantaged communities.
This bill would add as eligible projects for the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program those projects that support grid integration and integrated storage solutions and charging management demonstration and analytics. The bill would additionally require the energy commission, as part of the guidance developed for the program, to advise the state board on to how to allocate moneys for vehicle charging infrastructure consistent with the energy commissions investment plan strategies on charging infrastructure that is part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007. The bill instead would require the guidance to promote projects that assist the state in reaching its climate goals beyond 2030. The bill would additionally require the state board, when evaluating potential projects to be funded under the program, to give priority to a project that benefits communities that have implemented a specified community emissions reduction program.
(2)Existing law requires the Alternative and Renewable Fuel and Vehicle Technology Program to provide funding measures to certain entities to develop and deploy innovative technologies that transform Californias fuel and vehicle types to help attain the states climate change policies. Existing law requires the state board to give preference to those projects that maximize the goals of the program based on specified criteria.This bill would add infrastructure entities to the list of eligible applicants and would add the development and deployment of infrastructure to the programs emphasis. The bill also would add to the specified criteria the state board uses to determine preferential projects a projects ability to deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles. The bill would require not less than 20% of funds allocated for the program to be available for the deployment of medium- and heavy-duty electric vehicle infrastructure.
(1)The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The act authorizes the state board to include the use of market-based compliance mechanisms. Existing law requires all moneys, except for fines and penalties, collected by the state board as part of a market-based compliance mechanism to be deposited in the Greenhouse Gas Reduction Fund and to be available upon appropriation by the Legislature.
Existing law establishes the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007, which includes the Alternative and Renewable Fuel and Vehicle Technology Program, administered by the State Energy Resources Conservation and Development Commission, and the Air Quality Improvement Program, administered by the state board. The act requires the energy commission and state board to meet specified goals in fulfilling their responsibilities under their respective programs.
The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, upon appropriation from the Greenhouse Gas Reduction Fund, funds zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and related projects, including, among others, projects that help to facilitate clean goods movement corridors. Existing law requires the state board, in consultation with the energy commission, to develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program that is consistent with the California Global Warming Solutions Act of 2006. Existing law requires the guidance to ensure that California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program investments are coordinated with specified funding programs developed as part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007 and to promote projects that assist the state in reaching its climate goals beyond 2020. Existing law requires the state board, when evaluating potential projects to be funded under the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, to give priority to specified projects, including, among others a project that benefits specified disadvantaged communities.
This bill would remove as an add as eligible projects for the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program those projects that help to facilitate clean goods movements corridors and instead add as eligible projects those that are on or adjacent to the states multimodal state freight system and those that support grid integration and integrated storage solutions and charging management demonstration and analytics. The bill would additionally require the energy commission, as part of the guidance developed for the program, to advise the state board on to how to allocate moneys for vehicle charging infrastructure consistent with the energy commissions investment plan strategies on charging infrastructure that is part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007. The bill instead would require the guidance to promote projects that assist the state in reaching its climate goals beyond 2030. The bill would additionally require the state board, when evaluating potential projects to be funded under the program, to give priority to a project that benefits communities that have implemented a specified community emissions reduction program.
(2)Existing law requires the Alternative and Renewable Fuel and Vehicle Technology Program to provide funding measures to certain entities to develop and deploy innovative technologies that transform Californias fuel and vehicle types to help attain the states climate change policies. Existing law requires the state board to give preference to those projects that maximize the goals of the program based on specified criteria.
This bill would add infrastructure entities to the list of eligible applicants and would add the development and deployment of infrastructure to the programs emphasis. The bill also would add to the specified criteria the state board uses to determine preferential projects a projects ability to deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.
(1)The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases. The act authorizes the state board to include the use of market-based compliance mechanisms. Existing law requires all moneys, except for fines and penalties, collected by the state board as part of a market-based compliance mechanism to be deposited in the Greenhouse Gas Reduction Fund and to be available upon appropriation by the Legislature.
Existing law establishes the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007, which includes the Alternative and Renewable Fuel and Vehicle Technology Program, administered by the State Energy Resources Conservation and Development Commission, and the Air Quality Improvement Program, administered by the state board. The act requires the energy commission and state board to meet specified goals in fulfilling their responsibilities under their respective programs.
The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, upon appropriation from the Greenhouse Gas Reduction Fund, funds zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and related projects, including, among others, projects that help to facilitate clean goods movement corridors. Existing law requires the state board, in consultation with the energy commission, to develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program that is consistent with the California Global Warming Solutions Act of 2006. Existing law requires the guidance to ensure that California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program investments are coordinated with specified funding programs developed as part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007 and to promote projects that assist the state in reaching its climate goals beyond 2020. Existing law requires the state board, when evaluating potential projects to be funded under the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program, to give priority to specified projects, including, among others a project that benefits specified disadvantaged communities.
This bill would remove as an eligible projects for the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program those projects that help to facilitate clean goods movements corridors and instead add as eligible projects those that are on or adjacent to the states multimodal state freight system and those that support grid integration and integrated storage solutions and charging management demonstration and analytics. The bill would additionally require the energy commission, as part of the guidance developed for the program, to advise the state board on to how to allocate moneys for vehicle charging infrastructure consistent with the energy commissions investment plan strategies on charging infrastructure that is part of the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007. The bill instead would require the guidance to promote projects that assist the state in reaching its climate goals beyond 2030. The bill would additionally require the state board, when evaluating potential projects to be funded under the program, to give priority to a project that benefits communities that have implemented a specified community emissions reduction program.
(2)Existing law requires the Alternative and Renewable Fuel and Vehicle Technology Program to provide funding measures to certain entities to develop and deploy innovative technologies that transform Californias fuel and vehicle types to help attain the states climate change policies. Existing law requires the state board to give preference to those projects that maximize the goals of the program based on specified criteria.
This bill would add infrastructure entities to the list of eligible applicants and would add the development and deployment of infrastructure to the programs emphasis. The bill also would add to the specified criteria the state board uses to determine preferential projects a projects ability to deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.
(a)The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program is hereby created, to be administered by the state board in conjunction with the State Energy Resources Conservation and Development Commission. The program, from moneys appropriated from the fund for the purposes of the program, shall fund development, demonstration, precommercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. Priority shall be given to projects benefiting disadvantaged communities pursuant to the requirements of Sections 39711 and 39713.
(b)Projects eligible for funding pursuant to this section include, but are not limited to, the following:
(1)Technology development, demonstration, precommercial pilots, and early commercial deployments of zero- and near-zero-emission medium- and heavy-duty truck technology, including projects that help to facilitate clean goods movement corridors. Until December 31, 2020, no less than 20 percent of funding made available for purposes of this paragraph shall support early commercial deployment of existing zero- and near-zero-emission heavy-duty truck technology.
(2)Zero- and near-zero-emission bus technology development, demonstration, precommercial pilots, and early commercial deployments, including pilots of multiple vehicles at one site or region.
(3)Zero- and near-zero-emission off-road vehicle and equipment technology development, demonstration, precommercial pilots, and early commercial deployments, including vehicles and equipment in the port, agricultural, marine, construction, and rail sectors.
(4)Purchase incentives, which may include point-of-sale, for commercially available zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and fueling infrastructure to support early market deployments of alternative technologies and to increase manufacturer volumes and accelerate market acceptance.
(5)Projects that support greater commercial motor vehicle and equipment freight efficiency and greenhouse gas emissions reductions, including, but not limited to, advanced intelligent transportation systems, autonomous vehicles, grid integration and integrated storage solutions, charging management demonstration and analytics, and other freight information and operations technologies.
(c)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of this section that is consistent with the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500)) and this chapter.
(d)The guidance developed pursuant to subdivision (c) shall do all of the following:
(1)Outline performance criteria and metrics for deployment incentives. The goal shall be to design a simple and predictable structure that provides incentives for truck, bus, and off-road vehicle and equipment technologies that provide significant greenhouse gas reduction and air quality benefits.
(2)(A)Ensure that program investments are coordinated with funding programs developed pursuant to 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).
(B)The State Energy Resources Conservation and Development Commission shall advise the state board on how to allocate money for vehicle charging infrastructure consistent with the commissions investment plan strategies on charging infrastructure.
(3)Promote projects that assist the state in reaching its climate goals beyond 2030, consistent with Section 38566.
(4)Promote investments in medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, marine equipment, and rail equipment.
(5)Implement purchase incentives for eligible technologies to increase the use of the cleanest vehicles in disadvantaged communities.
(6)Allow for remanufactured and retrofitted vehicles to qualify for purchase incentives if those vehicles meet warranty and emissions requirements, as determined by the state board.
(7)Establish a competitive process for the allocation of moneys for projects funded pursuant to this section.
(8)Leverage, to the maximum extent feasible, federal or private funding.
(9)Ensure that the results of emissions reductions or benefits can be measured or quantified.
(10)Ensure that activities undertaken pursuant to this section complement, and do not interfere with, efforts to achieve and maintain federal and state ambient air quality standards and to reduce toxic air contaminants.
(e)In evaluating potential projects to be funded pursuant to this section, the state board shall give priority to projects that demonstrate one or more of the following characteristics:
(1)Benefit disadvantaged communities pursuant to Sections 39711 and 39713 or communities with a community emissions reduction program implemented pursuant to Section 44391.2.
(2)The ability to leverage additional public and private funding.
(3)The potential for cobenefits or multiple-benefit attributes.
(4)The potential for the project to be replicated.
(5)Regional benefit, with focus on collaboration between multiple entities.
(6)Support for technologies with broad market and emissions reduction potential.
(7)Support for projects addressing technology and market barriers not addressed by other programs.
(8)Support for enabling technologies that benefit multiple technology pathways.
(f)In implementing this section, the state board, in consultation with the State Energy Resources Conservation and Development Commission, shall create an annual framework and plan. The framework and plan shall be developed with public input and may utilize existing investment plan processes and workshops as well as existing state and third-party research and technology roadmaps. The framework and plan shall do all of the following:
(1)Articulate an overarching vision for technology development, demonstration, precommercial pilot, and early commercial deployments, with a focus on moving technologies through the commercialization process.
(2)Outline technology categories and performance criteria for technologies and applications that may be considered for funding pursuant to this section. This shall include technologies for medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, construction equipment, marine equipment, and rail equipment.
(3)Describe the roles of the relevant agencies and the process for coordination.
(g)For purposes of this section, zero- and near-zero-emission means vehicles, fuels, and related technologies that reduce greenhouse gas emissions and improve air quality when compared with conventional or fully commercialized alternatives, as defined by the state board in consultation with the State Energy Resources Conservation and Development Commission. Zero- and near-zero-emission may include, but is not limited to, zero-emission technology, enabling technologies that provide a pathway to emissions reductions, advanced or alternative fuel engines for long-haul trucks, and hybrid or alternative fuel technologies for trucks and off-road equipment.
SEC. 1.5.Section 39719.2 of the Health and Safety Code is amended to read:39719.2.(a)The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program is hereby created, to be administered by the state board in conjunction with the State Energy Resources Conservation and Development Commission. The program, from moneys appropriated from the fund for the purposes of the program, shall fund development, demonstration, precommercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. Priority shall be given to projects benefiting disadvantaged communities pursuant to the requirements of Sections 39711 and 39713.
(b)Projects eligible for funding pursuant to this section include, but are not limited to, the following:
(1)Technology development, demonstration, precommercial pilots, and early commercial deployments of zero- and near-zero-emission medium- and heavy-duty truck technology, including projects that help to facilitate clean goods movement corridors. Until December 31, 2020, no less than 20 percent of funding made available for purposes of this paragraph shall support early commercial deployment of existing zero- and near-zero-emission heavy-duty truck technology.
(2)Zero- and near-zero-emission bus technology development, demonstration, precommercial pilots, and early commercial deployments, including pilots of multiple vehicles at one site or region.
(3)Zero- and near-zero-emission off-road vehicle and equipment technology development, demonstration, precommercial pilots, and early commercial deployments, including vehicles and equipment in the port, agricultural, marine, construction, and rail sectors.
(4)Purchase incentives, which may include point-of-sale, for commercially available zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and fueling infrastructure to support early market deployments of alternative technologies and to increase manufacturer volumes and accelerate market acceptance.
(5)Projects that support greater commercial motor vehicle and equipment freight efficiency and greenhouse gas emissions reductions, including, but not limited to, advanced intelligent transportation systems, autonomous vehicles, grid integration and integrated storage solutions, charging management demonstration and analytics, and other freight information and operations technologies.
(c)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of this section that is consistent with the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500)) and this chapter.
(d)The guidance developed pursuant to subdivision (c) shall do all of the following:
(1)Outline performance criteria and metrics for deployment incentives. The goal shall be to design a simple and predictable structure that provides incentives for truck, bus, and off-road vehicle and equipment technologies that provide significant greenhouse gas reduction and air quality benefits.
(2)(A)Ensure that program investments are coordinated with funding programs developed pursuant to 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).
(B)The State Energy Resources Conservation and Development Commission shall advise the state board on how to allocate money for vehicle charging infrastructure consistent with the commissions investment plan strategies on charging infrastructure.
(3)Promote projects that assist the state in reaching its climate goals beyond 2030, consistent with Section 38566.
(4)Promote investments in medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, marine equipment, and rail equipment.
(5)Implement purchase incentives for eligible technologies to increase the use of the cleanest vehicles in disadvantaged communities.
(6)Allow for remanufactured and retrofitted vehicles to qualify for purchase incentives if those vehicles meet warranty and emissions requirements, as determined by the state board.
(7)Establish a competitive process for the allocation of moneys for projects funded pursuant to this section.
(8)Leverage, to the maximum extent feasible, federal or private funding.
(9)Ensure that the results of emissions reductions or benefits can be measured or quantified.
(10)Ensure that activities undertaken pursuant to this section complement, and do not interfere with, efforts to achieve and maintain federal and state ambient air quality standards and to reduce toxic air contaminants.
(e)In evaluating potential projects to be funded pursuant to this section, the state board shall give priority to projects that demonstrate one or more of the following characteristics:
(1)Benefit disadvantaged communities pursuant to Sections 39711 and 39713 or communities with a community emissions reduction program implemented pursuant to Section 44391.2.
(2)The ability to leverage additional public and private funding.
(3)The potential for cobenefits or multiple-benefit attributes.
(4)The potential for the project to be replicated.
(5)Regional benefit, with focus on collaboration between multiple entities.
(6)Support for technologies with broad market and emissions reduction potential.
(7)Support for projects addressing technology and market barriers not addressed by other programs.
(8)Support for enabling technologies that benefit multiple technology pathways.
(f)In implementing this section, the state board, in consultation with the State Energy Resources Conservation and Development Commission, shall create an annual framework and plan. The framework and plan shall be developed with public input and may utilize existing investment plan processes and workshops as well as existing state and third-party research and technology roadmaps. The framework and plan shall do all of the following:
(1)Articulate an overarching vision for technology development, demonstration, precommercial pilot, and early commercial deployments, with a focus on moving technologies through the commercialization process.
(2)Outline technology categories and performance criteria for technologies and applications that may be considered for funding pursuant to this section. This shall include technologies for medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, construction equipment, marine equipment, and rail equipment.
(3)Describe the roles of the relevant agencies and the process for coordination.
(g)For purposes of this section, zero- and near-zero-emission means vehicles, fuels, and related technologies that reduce greenhouse gas emissions and improve air quality when compared with conventional or fully commercialized alternatives, as defined by the state board in consultation with the State Energy Resources Conservation and Development Commission. Zero- and near-zero-emission may include, but is not limited to, zero-emission technology, enabling technologies that provide a pathway to emissions reductions, advanced or alternative fuel engines for long-haul trucks, and hybrid or alternative fuel technologies for trucks and off-road equipment.
(h)(1)In addition to the requirements of Section 44258.4, commencing with the funding plan for the 201920 fiscal year of the Air Quality Improvement Program (Article 3 (commencing with Section 44274) of Chapter 8.9 of Part 5), the state board shall include a three-year investment strategy that includes the immediate fiscal year and a forecast of estimated funding needs for the subsequent two fiscal years for zero- and near-zero-emission heavy-duty vehicles and equipment commensurate with meeting the goals of this chapter and the goals of the state.
(2)The three-year investment strategy shall do all of the following:
(A)Describe the role of public investments in supporting the demonstration and deployment of advanced technologies.
(B)Provide an assessment of available funding and the investment needed.
(C)Provide a description of the state boards portfolio of investments.
(3)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall include in the investment strategy information related to milestones achieved by the states schoolbus incentive programs and the projected need for funding taking into consideration the states schoolbus inventory, turnover, and useful life.
SEC. 2.Section 1.5 of this bill incorporates amendments to Section 39719.2 of the Health and Safety Code proposed by both this bill and Senate Bill 1403. That section of this bill shall only become operative if (1) both bills are enacted and become effective on or before January 1, 2019, (2) each bill amends Section 39719.2 of the Health and Safety Code, and (3) this bill is enacted after Senate Bill 1403, in which case Section 1 of this bill shall not become operative.
(a)The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program is hereby created, to be administered by the state board in conjunction with the State Energy Resources Conservation and Development Commission. The program, from moneys appropriated from the fund for the purposes of the program, shall fund development, demonstration, precommercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. Priority shall be given to projects benefiting disadvantaged communities pursuant to the requirements of Sections 39711 and 39713.
(b)Projects eligible for funding pursuant to this section include, but are not limited to, the following:
(1)Technology development, demonstration, precommercial pilots, and early commercial deployments of zero- and near-zero-emission medium- and heavy-duty truck technology, including projects that help to facilitate clean goods movement corridors. Until December 31, 2020, no less than 20 percent of funding made available for purposes of this paragraph shall support early commercial deployment of existing zero- and near-zero-emission heavy-duty truck technology.
(2)Zero- and near-zero-emission bus technology development, demonstration, precommercial pilots, and early commercial deployments, including pilots of multiple vehicles at one site or region.
(3)Zero- and near-zero-emission off-road vehicle and equipment technology development, demonstration, precommercial pilots, and early commercial deployments, including vehicles and equipment in the port, agricultural, marine, construction, and rail sectors.
(4)Purchase incentives, which may include point-of-sale, for commercially available zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and fueling infrastructure to support early market deployments of alternative technologies and to increase manufacturer volumes and accelerate market acceptance.
(5)Projects that support greater commercial motor vehicle and equipment freight efficiency and greenhouse gas emissions reductions, including, but not limited to, advanced intelligent transportation systems, autonomous vehicles, grid integration and integrated storage solutions, charging management demonstration and analytics, and other freight information and operations technologies.
(c)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of this section that is consistent with the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500)) and this chapter.
(d)The guidance developed pursuant to subdivision (c) shall do all of the following:
(1)Outline performance criteria and metrics for deployment incentives. The goal shall be to design a simple and predictable structure that provides incentives for truck, bus, and off-road vehicle and equipment technologies that provide significant greenhouse gas reduction and air quality benefits.
(2)(A)Ensure that program investments are coordinated with funding programs developed pursuant to 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).
(B)The State Energy Resources Conservation and Development Commission shall advise the state board on how to allocate money for vehicle charging infrastructure consistent with the commissions investment plan strategies on charging infrastructure.
(3)Promote projects that assist the state in reaching its climate goals beyond 2030, consistent with Section 38566.
(4)Promote investments in medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, marine equipment, and rail equipment.
(5)Implement purchase incentives for eligible technologies to increase the use of the cleanest vehicles in disadvantaged communities.
(6)Allow for remanufactured and retrofitted vehicles to qualify for purchase incentives if those vehicles meet warranty and emissions requirements, as determined by the state board.
(7)Establish a competitive process for the allocation of moneys for projects funded pursuant to this section.
(8)Leverage, to the maximum extent feasible, federal or private funding.
(9)Ensure that the results of emissions reductions or benefits can be measured or quantified.
(10)Ensure that activities undertaken pursuant to this section complement, and do not interfere with, efforts to achieve and maintain federal and state ambient air quality standards and to reduce toxic air contaminants.
(e)In evaluating potential projects to be funded pursuant to this section, the state board shall give priority to projects that demonstrate one or more of the following characteristics:
(1)Benefit disadvantaged communities pursuant to Sections 39711 and 39713 or communities with a community emissions reduction program implemented pursuant to Section 44391.2.
(2)The ability to leverage additional public and private funding.
(3)The potential for cobenefits or multiple-benefit attributes.
(4)The potential for the project to be replicated.
(5)Regional benefit, with focus on collaboration between multiple entities.
(6)Support for technologies with broad market and emissions reduction potential.
(7)Support for projects addressing technology and market barriers not addressed by other programs.
(8)Support for enabling technologies that benefit multiple technology pathways.
(f)In implementing this section, the state board, in consultation with the State Energy Resources Conservation and Development Commission, shall create an annual framework and plan. The framework and plan shall be developed with public input and may utilize existing investment plan processes and workshops as well as existing state and third-party research and technology roadmaps. The framework and plan shall do all of the following:
(1)Articulate an overarching vision for technology development, demonstration, precommercial pilot, and early commercial deployments, with a focus on moving technologies through the commercialization process.
(2)Outline technology categories and performance criteria for technologies and applications that may be considered for funding pursuant to this section. This shall include technologies for medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, construction equipment, marine equipment, and rail equipment.
(3)Describe the roles of the relevant agencies and the process for coordination.
(g)For purposes of this section, zero- and near-zero-emission means vehicles, fuels, and related technologies that reduce greenhouse gas emissions and improve air quality when compared with conventional or fully commercialized alternatives, as defined by the state board in consultation with the State Energy Resources Conservation and Development Commission. Zero- and near-zero-emission may include, but is not limited to, zero-emission technology, enabling technologies that provide a pathway to emissions reductions, advanced or alternative fuel engines for long-haul trucks, and hybrid or alternative fuel technologies for trucks and off-road equipment.
SEC. 1.5.Section 39719.2 of the Health and Safety Code is amended to read:39719.2.(a)The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program is hereby created, to be administered by the state board in conjunction with the State Energy Resources Conservation and Development Commission. The program, from moneys appropriated from the fund for the purposes of the program, shall fund development, demonstration, precommercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. Priority shall be given to projects benefiting disadvantaged communities pursuant to the requirements of Sections 39711 and 39713.
(b)Projects eligible for funding pursuant to this section include, but are not limited to, the following:
(1)Technology development, demonstration, precommercial pilots, and early commercial deployments of zero- and near-zero-emission medium- and heavy-duty truck technology, including projects that help to facilitate clean goods movement corridors. Until December 31, 2020, no less than 20 percent of funding made available for purposes of this paragraph shall support early commercial deployment of existing zero- and near-zero-emission heavy-duty truck technology.
(2)Zero- and near-zero-emission bus technology development, demonstration, precommercial pilots, and early commercial deployments, including pilots of multiple vehicles at one site or region.
(3)Zero- and near-zero-emission off-road vehicle and equipment technology development, demonstration, precommercial pilots, and early commercial deployments, including vehicles and equipment in the port, agricultural, marine, construction, and rail sectors.
(4)Purchase incentives, which may include point-of-sale, for commercially available zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and fueling infrastructure to support early market deployments of alternative technologies and to increase manufacturer volumes and accelerate market acceptance.
(5)Projects that support greater commercial motor vehicle and equipment freight efficiency and greenhouse gas emissions reductions, including, but not limited to, advanced intelligent transportation systems, autonomous vehicles, grid integration and integrated storage solutions, charging management demonstration and analytics, and other freight information and operations technologies.
(c)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of this section that is consistent with the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500)) and this chapter.
(d)The guidance developed pursuant to subdivision (c) shall do all of the following:
(1)Outline performance criteria and metrics for deployment incentives. The goal shall be to design a simple and predictable structure that provides incentives for truck, bus, and off-road vehicle and equipment technologies that provide significant greenhouse gas reduction and air quality benefits.
(2)(A)Ensure that program investments are coordinated with funding programs developed pursuant to 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).
(B)The State Energy Resources Conservation and Development Commission shall advise the state board on how to allocate money for vehicle charging infrastructure consistent with the commissions investment plan strategies on charging infrastructure.
(3)Promote projects that assist the state in reaching its climate goals beyond 2030, consistent with Section 38566.
(4)Promote investments in medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, marine equipment, and rail equipment.
(5)Implement purchase incentives for eligible technologies to increase the use of the cleanest vehicles in disadvantaged communities.
(6)Allow for remanufactured and retrofitted vehicles to qualify for purchase incentives if those vehicles meet warranty and emissions requirements, as determined by the state board.
(7)Establish a competitive process for the allocation of moneys for projects funded pursuant to this section.
(8)Leverage, to the maximum extent feasible, federal or private funding.
(9)Ensure that the results of emissions reductions or benefits can be measured or quantified.
(10)Ensure that activities undertaken pursuant to this section complement, and do not interfere with, efforts to achieve and maintain federal and state ambient air quality standards and to reduce toxic air contaminants.
(e)In evaluating potential projects to be funded pursuant to this section, the state board shall give priority to projects that demonstrate one or more of the following characteristics:
(1)Benefit disadvantaged communities pursuant to Sections 39711 and 39713 or communities with a community emissions reduction program implemented pursuant to Section 44391.2.
(2)The ability to leverage additional public and private funding.
(3)The potential for cobenefits or multiple-benefit attributes.
(4)The potential for the project to be replicated.
(5)Regional benefit, with focus on collaboration between multiple entities.
(6)Support for technologies with broad market and emissions reduction potential.
(7)Support for projects addressing technology and market barriers not addressed by other programs.
(8)Support for enabling technologies that benefit multiple technology pathways.
(f)In implementing this section, the state board, in consultation with the State Energy Resources Conservation and Development Commission, shall create an annual framework and plan. The framework and plan shall be developed with public input and may utilize existing investment plan processes and workshops as well as existing state and third-party research and technology roadmaps. The framework and plan shall do all of the following:
(1)Articulate an overarching vision for technology development, demonstration, precommercial pilot, and early commercial deployments, with a focus on moving technologies through the commercialization process.
(2)Outline technology categories and performance criteria for technologies and applications that may be considered for funding pursuant to this section. This shall include technologies for medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, construction equipment, marine equipment, and rail equipment.
(3)Describe the roles of the relevant agencies and the process for coordination.
(g)For purposes of this section, zero- and near-zero-emission means vehicles, fuels, and related technologies that reduce greenhouse gas emissions and improve air quality when compared with conventional or fully commercialized alternatives, as defined by the state board in consultation with the State Energy Resources Conservation and Development Commission. Zero- and near-zero-emission may include, but is not limited to, zero-emission technology, enabling technologies that provide a pathway to emissions reductions, advanced or alternative fuel engines for long-haul trucks, and hybrid or alternative fuel technologies for trucks and off-road equipment.
(h)(1)In addition to the requirements of Section 44258.4, commencing with the funding plan for the 201920 fiscal year of the Air Quality Improvement Program (Article 3 (commencing with Section 44274) of Chapter 8.9 of Part 5), the state board shall include a three-year investment strategy that includes the immediate fiscal year and a forecast of estimated funding needs for the subsequent two fiscal years for zero- and near-zero-emission heavy-duty vehicles and equipment commensurate with meeting the goals of this chapter and the goals of the state.
(2)The three-year investment strategy shall do all of the following:
(A)Describe the role of public investments in supporting the demonstration and deployment of advanced technologies.
(B)Provide an assessment of available funding and the investment needed.
(C)Provide a description of the state boards portfolio of investments.
(3)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall include in the investment strategy information related to milestones achieved by the states schoolbus incentive programs and the projected need for funding taking into consideration the states schoolbus inventory, turnover, and useful life.
SEC. 2.Section 1.5 of this bill incorporates amendments to Section 39719.2 of the Health and Safety Code proposed by both this bill and Senate Bill 1403. That section of this bill shall only become operative if (1) both bills are enacted and become effective on or before January 1, 2019, (2) each bill amends Section 39719.2 of the Health and Safety Code, and (3) this bill is enacted after Senate Bill 1403, in which case Section 1 of this bill shall not become operative.
(a)The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program is hereby created, to be administered by the state board in conjunction with the State Energy Resources Conservation and Development Commission. The program, from moneys appropriated from the fund for the purposes of the program, shall fund development, demonstration, precommercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. Priority shall be given to projects benefiting disadvantaged communities pursuant to the requirements of Sections 39711 and 39713.
(b)Projects eligible for funding pursuant to this section include, but are not limited to, the following:
(1)Technology development, demonstration, precommercial pilots, and early commercial deployments of zero- and near-zero-emission medium- and heavy-duty truck technology, including projects that help to facilitate clean goods movement corridors. Until December 31, 2020, no less than 20 percent of funding made available for purposes of this paragraph shall support early commercial deployment of existing zero- and near-zero-emission heavy-duty truck technology.
(2)Zero- and near-zero-emission bus technology development, demonstration, precommercial pilots, and early commercial deployments, including pilots of multiple vehicles at one site or region.
(3)Zero- and near-zero-emission off-road vehicle and equipment technology development, demonstration, precommercial pilots, and early commercial deployments, including vehicles and equipment in the port, agricultural, marine, construction, and rail sectors.
(4)Purchase incentives, which may include point-of-sale, for commercially available zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and fueling infrastructure to support early market deployments of alternative technologies and to increase manufacturer volumes and accelerate market acceptance.
(5)Projects that support greater commercial motor vehicle and equipment freight efficiency and greenhouse gas emissions reductions, including, but not limited to, advanced intelligent transportation systems, autonomous vehicles, grid integration and integrated storage solutions, charging management demonstration and analytics, and other freight information and operations technologies.
(c)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of this section that is consistent with the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500)) and this chapter.
(d)The guidance developed pursuant to subdivision (c) shall do all of the following:
(1)Outline performance criteria and metrics for deployment incentives. The goal shall be to design a simple and predictable structure that provides incentives for truck, bus, and off-road vehicle and equipment technologies that provide significant greenhouse gas reduction and air quality benefits.
(2)(A)Ensure that program investments are coordinated with funding programs developed pursuant to 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).
(B)The State Energy Resources Conservation and Development Commission shall advise the state board on how to allocate money for vehicle charging infrastructure consistent with the commissions investment plan strategies on charging infrastructure.
(3)Promote projects that assist the state in reaching its climate goals beyond 2030, consistent with Section 38566.
(4)Promote investments in medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, marine equipment, and rail equipment.
(5)Implement purchase incentives for eligible technologies to increase the use of the cleanest vehicles in disadvantaged communities.
(6)Allow for remanufactured and retrofitted vehicles to qualify for purchase incentives if those vehicles meet warranty and emissions requirements, as determined by the state board.
(7)Establish a competitive process for the allocation of moneys for projects funded pursuant to this section.
(8)Leverage, to the maximum extent feasible, federal or private funding.
(9)Ensure that the results of emissions reductions or benefits can be measured or quantified.
(10)Ensure that activities undertaken pursuant to this section complement, and do not interfere with, efforts to achieve and maintain federal and state ambient air quality standards and to reduce toxic air contaminants.
(e)In evaluating potential projects to be funded pursuant to this section, the state board shall give priority to projects that demonstrate one or more of the following characteristics:
(1)Benefit disadvantaged communities pursuant to Sections 39711 and 39713 or communities with a community emissions reduction program implemented pursuant to Section 44391.2.
(2)The ability to leverage additional public and private funding.
(3)The potential for cobenefits or multiple-benefit attributes.
(4)The potential for the project to be replicated.
(5)Regional benefit, with focus on collaboration between multiple entities.
(6)Support for technologies with broad market and emissions reduction potential.
(7)Support for projects addressing technology and market barriers not addressed by other programs.
(8)Support for enabling technologies that benefit multiple technology pathways.
(f)In implementing this section, the state board, in consultation with the State Energy Resources Conservation and Development Commission, shall create an annual framework and plan. The framework and plan shall be developed with public input and may utilize existing investment plan processes and workshops as well as existing state and third-party research and technology roadmaps. The framework and plan shall do all of the following:
(1)Articulate an overarching vision for technology development, demonstration, precommercial pilot, and early commercial deployments, with a focus on moving technologies through the commercialization process.
(2)Outline technology categories and performance criteria for technologies and applications that may be considered for funding pursuant to this section. This shall include technologies for medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, construction equipment, marine equipment, and rail equipment.
(3)Describe the roles of the relevant agencies and the process for coordination.
(g)For purposes of this section, zero- and near-zero-emission means vehicles, fuels, and related technologies that reduce greenhouse gas emissions and improve air quality when compared with conventional or fully commercialized alternatives, as defined by the state board in consultation with the State Energy Resources Conservation and Development Commission. Zero- and near-zero-emission may include, but is not limited to, zero-emission technology, enabling technologies that provide a pathway to emissions reductions, advanced or alternative fuel engines for long-haul trucks, and hybrid or alternative fuel technologies for trucks and off-road equipment.
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, infrastructure 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 Californias fuel and vehicle types to help attain the states climate change policies. The emphasis of this program shall be to develop and deploy technology, infrastructure, 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 commissions 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 projects 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 projects consistency with existing and future state climate change policy and low-carbon fuel standards.(3)The projects ability to reduce criteria air pollutants and air toxics and reduce or avoid multimedia environmental impacts.(4)The projects 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 states 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 projects 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 projects 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 projects ability to transition workers to, or promote employment in, the alternative and renewable fuel and vehicle technology sector.(13)The projects ability to deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.(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 fuels 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 Californias 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 states 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 Governors 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.SEC. 1.5.Section 39719.2 of the Health and Safety Code is amended to read:39719.2.(a)The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program is hereby created, to be administered by the state board in conjunction with the State Energy Resources Conservation and Development Commission. The program, from moneys appropriated from the fund for the purposes of the program, shall fund development, demonstration, precommercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. Priority shall be given to projects benefiting disadvantaged communities pursuant to the requirements of Sections 39711 and 39713.
(b)Projects eligible for funding pursuant to this section include, but are not limited to, the following:
(1)Technology development, demonstration, precommercial pilots, and early commercial deployments of zero- and near-zero-emission medium- and heavy-duty truck technology, including projects that help to facilitate clean goods-movement goods movement corridors. Until December 31, 2020, no less than 20 percent of funding made available for purposes of this paragraph shall support early commercial deployment of existing zero- and near-zero-emission heavy-duty truck technology.
(2)Zero- and near-zero-emission bus technology development, demonstration, precommercial pilots, and early commercial deployments, including pilots of multiple vehicles at one site or region.
(3)Zero- and near-zero-emission off-road vehicle and equipment technology development, demonstration, precommercial pilots, and early commercial deployments, including vehicles and equipment in the port, agricultural, marine, construction, and rail sectors.
(4)Purchase incentives, which may include point-of-sale, for commercially available zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and fueling infrastructure to support early market deployments of alternative technologies and to increase manufacturer volumes and accelerate market acceptance.
(5)Projects that support greater commercial motor vehicle and equipment freight efficiency and greenhouse gas emissions reductions, including, but not limited to, advanced intelligent transportation systems, autonomous vehicles, and grid integration and integrated storage solutions, charging management demonstration and analytics, and other freight information and operations technologies.
(c)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of this section that is consistent with the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500)) and this chapter.
(d)The guidance developed pursuant to subdivision (c) shall do all of the following:
(1)Outline performance criteria and metrics for deployment incentives. The goal shall be to design a simple and predictable structure that provides incentives for truck, bus, and off-road vehicle and equipment technologies that provide significant greenhouse gas reduction and air quality benefits.
(2)(A)Ensure that program investments are coordinated with funding programs developed pursuant to 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).
(B)The State Energy Resources Conservation and Development Commission shall advise the state board on how to allocate money for vehicle charging infrastructure consistent with the commissions investment plan strategies on charging infrastructure.
(3)Promote projects that assist the state in reaching its climate goals beyond 2020, 2030, consistent with Sections 38550 and 38551. Section 38566.
(4)Promote investments in medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, marine equipment, and rail equipment.
(5)Implement purchase incentives for eligible technologies to increase the use of the cleanest vehicles in disadvantaged communities.
(6)Allow for remanufactured and retrofitted vehicles to qualify for purchase incentives if those vehicles meet warranty and emissions requirements, as determined by the state board.
(7)Establish a competitive process for the allocation of moneys for projects funded pursuant to this section.
(8)Leverage, to the maximum extent feasible, federal or private funding.
(9)Ensure that the results of emissions reductions or benefits can be measured or quantified.
(10)Ensure that activities undertaken pursuant to this section complement, and do not interfere with, efforts to achieve and maintain federal and state ambient air quality standards and to reduce toxic air contaminants.
(e)In evaluating potential projects to be funded pursuant to this section, the state board shall give priority to projects that demonstrate one or more of the following characteristics:
(1)Benefit disadvantaged communities pursuant to Sections 39711 and 39713. 39713 or communities with a community emissions reduction program implemented pursuant to Section 44391.2.
(2)The ability to leverage additional public and private funding.
(3)The potential for cobenefits or multiple-benefit attributes.
(4)The potential for the project to be replicated.
(5)Regional benefit, with focus on collaboration between multiple entities.
(6)Support for technologies with broad market and emissions reduction potential.
(7)Support for projects addressing technology and market barriers not addressed by other programs.
(8)Support for enabling technologies that benefit multiple technology pathways.
(f)In the implementation of implementing this section, the state board, in consultation with the State Energy Resources Conservation and Development Commission, shall create an annual framework and plan. The framework and plan shall be developed with public input and may utilize existing investment plan processes and workshops as well as existing state and third-party research and technology roadmaps. The framework and plan shall do all of the following:
(1)Articulate an overarching vision for technology development, demonstration, precommercial pilot, and early commercial deployments, with a focus on moving technologies through the commercialization process.
(2)Outline technology categories and performance criteria for technologies and applications that may be considered for funding pursuant to this section. This shall include technologies for medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, construction equipment, marine equipment, and rail equipment.
(3)Describe the roles of the relevant agencies and the process for coordination.
(g)For purposes of this section, zero- and near-zero-emission means vehicles, fuels, and related technologies that reduce greenhouse gas emissions and improve air quality when compared with conventional or fully commercialized alternatives, as defined by the state board in consultation with the State Energy Resources Conservation and Development Commission. Zero- and near-zero-emission may include, but is not limited to, zero-emission technology, enabling technologies that provide a pathway to emissions reductions, advanced or alternative fuel engines for long-haul trucks, and hybrid or alternative fuel technologies for trucks and off-road equipment.
(h)(1)In addition to the requirements of Section 44258.4, commencing with the funding plan for the 201920 fiscal year of the Air Quality Improvement Program (Article 3 (commencing with Section 44274) of Chapter 8.9 of Part 5), the state board shall include a three-year investment strategy that includes the immediate fiscal year and a forecast of estimated funding needs for the subsequent two fiscal years for zero- and near-zero-emission heavy-duty vehicles and equipment commensurate with meeting the goals of this chapter and the goals of the state.
(2)The three-year investment strategy shall do all of the following:
(A)Describe the role of public investments in supporting the demonstration and deployment of advanced technologies.
(B)Provide an assessment of available funding and the investment needed.
(C)Provide a description of the state boards portfolio of investments.
(3)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall include in the investment strategy information related to milestones achieved by the states schoolbus incentive programs and the projected need for funding taking into consideration the states schoolbus inventory, turnover, and useful life.
SEC. 2.Section 1.5 of this bill incorporates amendments to Section 39719.2 of the Health and Safety Code proposed by both this bill and Senate Bill 1403. That section of this bill shall only become operative if (1) both bills are enacted and become effective on or before January 1, 2019, (2) each bill amends Section 39719.2 of the Health and Safety Code, and (3) this bill is enacted after Senate Bill 1403, in which case Section 1 of this bill shall not become operative.
(a)The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program is hereby created, to be administered by the state board in conjunction with the State Energy Resources Conservation and Development Commission. The program, from moneys appropriated from the fund for the purposes of the program, shall fund development, demonstration, precommercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. Priority shall be given to projects benefiting disadvantaged communities pursuant to the requirements of Sections 39711 and 39713.
(b)Projects eligible for funding pursuant to this section include, but are not limited to, the following:
(1)Technology development, demonstration, precommercial pilots, and early commercial deployments of zero- and near-zero-emission medium- and heavy-duty truck technology, including projects that help to facilitate clean goods movement corridors. Until December 31, 2020, no less than 20 percent of funding made available for purposes of this paragraph shall support early commercial deployment of existing zero- and near-zero-emission heavy-duty truck technology.
(2)Zero- and near-zero-emission bus technology development, demonstration, precommercial pilots, and early commercial deployments, including pilots of multiple vehicles at one site or region.
(3)Zero- and near-zero-emission off-road vehicle and equipment technology development, demonstration, precommercial pilots, and early commercial deployments, including vehicles and equipment in the port, agricultural, marine, construction, and rail sectors.
(4)Purchase incentives, which may include point-of-sale, for commercially available zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and fueling infrastructure to support early market deployments of alternative technologies and to increase manufacturer volumes and accelerate market acceptance.
(5)Projects that support greater commercial motor vehicle and equipment freight efficiency and greenhouse gas emissions reductions, including, but not limited to, advanced intelligent transportation systems, autonomous vehicles, grid integration and integrated storage solutions, charging management demonstration and analytics, and other freight information and operations technologies.
(c)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of this section that is consistent with the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500)) and this chapter.
(d)The guidance developed pursuant to subdivision (c) shall do all of the following:
(1)Outline performance criteria and metrics for deployment incentives. The goal shall be to design a simple and predictable structure that provides incentives for truck, bus, and off-road vehicle and equipment technologies that provide significant greenhouse gas reduction and air quality benefits.
(2)(A)Ensure that program investments are coordinated with funding programs developed pursuant to 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).
(B)The State Energy Resources Conservation and Development Commission shall advise the state board on how to allocate money for vehicle charging infrastructure consistent with the commissions investment plan strategies on charging infrastructure.
(3)Promote projects that assist the state in reaching its climate goals beyond 2030, consistent with Section 38566.
(4)Promote investments in medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, marine equipment, and rail equipment.
(5)Implement purchase incentives for eligible technologies to increase the use of the cleanest vehicles in disadvantaged communities.
(6)Allow for remanufactured and retrofitted vehicles to qualify for purchase incentives if those vehicles meet warranty and emissions requirements, as determined by the state board.
(7)Establish a competitive process for the allocation of moneys for projects funded pursuant to this section.
(8)Leverage, to the maximum extent feasible, federal or private funding.
(9)Ensure that the results of emissions reductions or benefits can be measured or quantified.
(10)Ensure that activities undertaken pursuant to this section complement, and do not interfere with, efforts to achieve and maintain federal and state ambient air quality standards and to reduce toxic air contaminants.
(e)In evaluating potential projects to be funded pursuant to this section, the state board shall give priority to projects that demonstrate one or more of the following characteristics:
(1)Benefit disadvantaged communities pursuant to Sections 39711 and 39713 or communities with a community emissions reduction program implemented pursuant to Section 44391.2.
(2)The ability to leverage additional public and private funding.
(3)The potential for cobenefits or multiple-benefit attributes.
(4)The potential for the project to be replicated.
(5)Regional benefit, with focus on collaboration between multiple entities.
(6)Support for technologies with broad market and emissions reduction potential.
(7)Support for projects addressing technology and market barriers not addressed by other programs.
(8)Support for enabling technologies that benefit multiple technology pathways.
(f)In implementing this section, the state board, in consultation with the State Energy Resources Conservation and Development Commission, shall create an annual framework and plan. The framework and plan shall be developed with public input and may utilize existing investment plan processes and workshops as well as existing state and third-party research and technology roadmaps. The framework and plan shall do all of the following:
(1)Articulate an overarching vision for technology development, demonstration, precommercial pilot, and early commercial deployments, with a focus on moving technologies through the commercialization process.
(2)Outline technology categories and performance criteria for technologies and applications that may be considered for funding pursuant to this section. This shall include technologies for medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, construction equipment, marine equipment, and rail equipment.
(3)Describe the roles of the relevant agencies and the process for coordination.
(g)For purposes of this section, zero- and near-zero-emission means vehicles, fuels, and related technologies that reduce greenhouse gas emissions and improve air quality when compared with conventional or fully commercialized alternatives, as defined by the state board in consultation with the State Energy Resources Conservation and Development Commission. Zero- and near-zero-emission may include, but is not limited to, zero-emission technology, enabling technologies that provide a pathway to emissions reductions, advanced or alternative fuel engines for long-haul trucks, and hybrid or alternative fuel technologies for trucks and off-road equipment.
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, infrastructure 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 Californias fuel and vehicle types to help attain the states climate change policies. The emphasis of this program shall be to develop and deploy technology, infrastructure, 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 commissions 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 projects 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 projects consistency with existing and future state climate change policy and low-carbon fuel standards.
(3)The projects ability to reduce criteria air pollutants and air toxics and reduce or avoid multimedia environmental impacts.
(4)The projects 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 states 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 projects 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 projects 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 projects ability to transition workers to, or promote employment in, the alternative and renewable fuel and vehicle technology sector.
(13)The projects ability to deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.
(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 fuels 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 Californias 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 states 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)Not less than 20 percent of funds appropriated for purposes of this section shall be allocated for the deployment of medium- and heavy-duty electric vehicle infrastructure.(g)(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.
(h)(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 Governors 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.
(i)(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.
(a)The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program is hereby created, to be administered by the state board in conjunction with the State Energy Resources Conservation and Development Commission. The program, from moneys appropriated from the fund for the purposes of the program, shall fund development, demonstration, precommercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. Priority shall be given to projects benefiting disadvantaged communities pursuant to the requirements of Sections 39711 and 39713.
(b)Projects eligible for funding pursuant to this section include, but are not limited to, the following:
(1)Technology development, demonstration, precommercial pilots, and early commercial deployments of zero- and near-zero-emission medium- and heavy-duty truck technology, including projects that help to facilitate clean goods movement corridors. Until December 31, 2020, no less than 20 percent of funding made available for purposes of this paragraph shall support early commercial deployment of existing zero- and near-zero-emission heavy-duty truck technology.
(2)Zero- and near-zero-emission bus technology development, demonstration, precommercial pilots, and early commercial deployments, including pilots of multiple vehicles at one site or region.
(3)Zero- and near-zero-emission off-road vehicle and equipment technology development, demonstration, precommercial pilots, and early commercial deployments, including vehicles and equipment in the port, agricultural, marine, construction, and rail sectors.
(4)Purchase incentives, which may include point-of-sale, for commercially available zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and fueling infrastructure to support early market deployments of alternative technologies and to increase manufacturer volumes and accelerate market acceptance.
(5)Projects that support greater commercial motor vehicle and equipment freight efficiency and greenhouse gas emissions reductions, including, but not limited to, advanced intelligent transportation systems, autonomous vehicles, grid integration and integrated storage solutions, charging management demonstration and analytics, and other freight information and operations technologies.
(c)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of this section that is consistent with the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500)) and this chapter.
(d)The guidance developed pursuant to subdivision (c) shall do all of the following:
(1)Outline performance criteria and metrics for deployment incentives. The goal shall be to design a simple and predictable structure that provides incentives for truck, bus, and off-road vehicle and equipment technologies that provide significant greenhouse gas reduction and air quality benefits.
(2)(A)Ensure that program investments are coordinated with funding programs developed pursuant to 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).
(B)The State Energy Resources Conservation and Development Commission shall advise that the state board on how to allocate money for vehicle charging infrastructure consistent with the commissions commissions investment plan strategies on charging infrastructure.
(3)Promote projects that assist the state in reaching its climate goals beyond 2030, consistent with Section 38566.
(4)Promote investments in medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, marine equipment, and rail equipment.
(5)Implement purchase incentives for eligible technologies to increase the use of the cleanest vehicles in disadvantaged communities.
(6)Allow for remanufactured and retrofitted vehicles to qualify for purchase incentives if those vehicles meet warranty and emissions requirements, as determined by the state board.
(7)Establish a competitive process for the allocation of moneys for projects funded pursuant to this section.
(8)Leverage, to the maximum extent feasible, federal or private funding.
(9)Ensure that the results of emissions reductions or benefits can be measured or quantified.
(10)Ensure that activities undertaken pursuant to this section complement, and do not interfere with, efforts to achieve and maintain federal and state ambient air quality standards and to reduce toxic air contaminants.
(e)In evaluating potential projects to be funded pursuant to this section, the state board shall give priority to projects that demonstrate one or more of the following characteristics:
(1)Benefit disadvantaged communities pursuant to Sections 39711 and 39713 or communities with a community emissions reduction program implemented pursuant to Section 44391.2.
(2)The ability to leverage additional public and private funding.
(3)The potential for cobenefits or multiple-benefit attributes.
(4)The potential for the project to be replicated.
(5)Regional benefit, with focus on collaboration between multiple entities.
(6)Support for technologies with broad market and emissions reduction potential.
(7)Support for projects addressing technology and market barriers not addressed by other programs.
(8)Support for enabling technologies that benefit multiple technology pathways.
(f)In implementing this section, the state board, in consultation with the State Energy Resources Conservation and Development Commission, shall create an annual framework and plan. The framework and plan shall be developed with public input and may utilize existing investment plan processes and workshops as well as existing state and third-party research and technology roadmaps. The framework and plan shall do all of the following:
(1)Articulate an overarching vision for technology development, demonstration, precommercial pilot, and early commercial deployments, with a focus on moving technologies through the commercialization process.
(2)Outline technology categories and performance criteria for technologies and applications that may be considered for funding pursuant to this section. This shall include technologies for medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, construction equipment, marine equipment, and rail equipment.
(3)Describe the roles of the relevant agencies and the process for coordination.
(g)For purposes of this section, zero- and near-zero-emission means vehicles, fuels, and related technologies that reduce greenhouse gas emissions and improve air quality when compared with conventional or fully commercialized alternatives, as defined by the state board in consultation with the State Energy Resources Conservation and Development Commission. Zero- and near-zero-emission may include, but is not limited to, zero-emission technology, enabling technologies that provide a pathway to emissions reductions, advanced or alternative fuel engines for long-haul trucks, and hybrid or alternative fuel technologies for trucks and off-road equipment.
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, infrastructure 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 Californias fuel and vehicle types to help attain the states climate change policies. The emphasis of this program shall be to develop and deploy technology, infrastructure, 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 commissions 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 projects 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 projects consistency with existing and future state climate change policy and low-carbon fuel standards.
(3)The projects ability to reduce criteria air pollutants and air toxics and reduce or avoid multimedia environmental impacts.
(4)The projects 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 states 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 projects 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 projects 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 projects ability to transition workers to, or promote employment in, the alternative and renewable fuel and vehicle technology sector.
(13)The projects ability to deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.
(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 fuels 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 Californias 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 states 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)Not less than 20 percent of funds appropriated for purposes of this section shall be allocated for the deployment of medium- and heavy-duty electric vehicle infrastructure.
(f)(g)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)(h)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 Governors 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)(i)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.
(a)The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program is hereby created, to be administered by the state board in conjunction with the State Energy Resources Conservation and Development Commission. The program, from moneys appropriated from the fund for the purposes of the program, shall fund development, demonstration, precommercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. Priority shall be given to projects benefiting disadvantaged communities pursuant to the requirements of Sections 39711 and 39713.
(b)Projects eligible for funding pursuant to this section include, but are not limited to, the following:
(1)Technology development, demonstration, precommercial pilots, and early commercial deployments of zero- and near-zero-emission medium- and heavy-duty truck technology, including projects on or adjacent to the states multimodal state freight system. that help to facilitate clean goods movement corridors. Until December 31, 2020, no less than 20 percent of funding made available for purposes of this paragraph shall support early commercial deployment of existing zero- and near-zero-emission heavy-duty truck technology.
(2)Zero- and near-zero-emission bus technology development, demonstration, precommercial pilots, and early commercial deployments, including pilots of multiple vehicles at one site or region.
(3)Zero- and near-zero-emission off-road vehicle and equipment technology development, demonstration, precommercial pilots, and early commercial deployments, including vehicles and equipment in the port, agricultural, marine, construction, and rail sectors.
(4)Purchase incentives, which may include point-of-sale, for commercially available zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and fueling infrastructure to support early market deployments of alternative technologies and to increase manufacturer volumes and accelerate market acceptance.
(5)Projects that support greater commercial motor vehicle and equipment freight efficiency and greenhouse gas emissions reductions, including, but not limited to, advanced intelligent transportation systems, autonomous vehicles, grid integration and integrated storage solutions, charging management demonstration and analytics, and other freight information and operations technologies.
(c)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of this section that is consistent with the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500)) and this chapter.
(d)The guidance developed pursuant to subdivision (c) shall do all of the following:
(1)Outline performance criteria and metrics for deployment incentives. The goal shall be to design a simple and predictable structure that provides incentives for truck, bus, and off-road vehicle and equipment technologies that provide significant greenhouse gas reduction and air quality benefits.
(2)(A)Ensure that program investments are coordinated with funding programs developed pursuant to 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).
(B)The State Energy Resources Conservation and Development Commission shall advise that state board on how to allocate money for vehicle charging infrastructure consistent with the commissions investment plan strategies on charging infrastructure.
(3)Promote projects that assist the state in reaching its climate goals beyond 2030, consistent with Section 38566.
(4)Promote investments in medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, marine equipment, and rail equipment.
(5)Implement purchase incentives for eligible technologies to increase the use of the cleanest vehicles in disadvantaged communities.
(6)Allow for remanufactured and retrofitted vehicles to qualify for purchase incentives if those vehicles meet warranty and emissions requirements, as determined by the state board.
(7)Establish a competitive process for the allocation of moneys for projects funded pursuant to this section.
(8)Leverage, to the maximum extent feasible, federal or private funding.
(9)Ensure that the results of emissions reductions or benefits can be measured or quantified.
(10)Ensure that activities undertaken pursuant to this section complement, and do not interfere with, efforts to achieve and maintain federal and state ambient air quality standards and to reduce toxic air contaminants.
(e)In evaluating potential projects to be funded pursuant to this section, the state board shall give priority to projects that demonstrate one or more of the following characteristics:
(1)Benefit disadvantaged communities pursuant to Sections 39711 and 39713 or communities with a community emissions reduction program implemented pursuant to Section 44391.2.
(2)The ability to leverage additional public and private funding.
(3)The potential for cobenefits or multiple-benefit attributes.
(4)The potential for the project to be replicated.
(5)Regional benefit, with focus on collaboration between multiple entities.
(6)Support for technologies with broad market and emissions reduction potential.
(7)Support for projects addressing technology and market barriers not addressed by other programs.
(8)Support for enabling technologies that benefit multiple technology pathways.
(f)In implementing this section, the state board, in consultation with the State Energy Resources Conservation and Development Commission, shall create an annual framework and plan. The framework and plan shall be developed with public input and may utilize existing investment plan processes and workshops as well as existing state and third-party research and technology roadmaps. The framework and plan shall do all of the following:
(1)Articulate an overarching vision for technology development, demonstration, precommercial pilot, and early commercial deployments, with a focus on moving technologies through the commercialization process.
(2)Outline technology categories and performance criteria for technologies and applications that may be considered for funding pursuant to this section. This shall include technologies for medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, construction equipment, marine equipment, and rail equipment.
(3)Describe the roles of the relevant agencies and the process for coordination.
(g)For purposes of this section, zero- and near-zero-emission means vehicles, fuels, and related technologies that reduce greenhouse gas emissions and improve air quality when compared with conventional or fully commercialized alternatives, as defined by the state board in consultation with the State Energy Resources Conservation and Development Commission. Zero- and near-zero-emission may include, but is not limited to, zero-emission technology, enabling technologies that provide a pathway to emissions reductions, advanced or alternative fuel engines for long-haul trucks, and hybrid or alternative fuel technologies for trucks and off-road equipment.
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, infrastructure 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 Californias fuel and vehicle types to help attain the states climate change policies. The emphasis of this program shall be to develop and deploy technology, infrastructure, 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 commissions 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 projects 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 projects consistency with existing and future state climate change policy and low-carbon fuel standards.
(3)The projects ability to reduce criteria air pollutants and air toxics and reduce or avoid multimedia environmental impacts.
(4)The projects 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 states 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 projects 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 projects 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 projects ability to transition workers to, or promote employment in, the alternative and renewable fuel and vehicle technology sector.
(13)The projects ability to deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.
(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 fuels 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 Californias 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 states 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 Governors 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.
(a)The California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program is hereby created, to be administered by the state board in conjunction with the State Energy Resources Conservation and Development Commission. The program, from moneys appropriated from the fund for the purposes of the program, shall fund development, demonstration, precommercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. Priority shall be given to projects benefiting disadvantaged communities pursuant to the requirements of Sections 39711 and 39713.
(b)Projects eligible for funding pursuant to this section include, but are not limited to, the following:
(1)Technology development, demonstration, precommercial pilots, and early commercial deployments of zero- and near-zero-emission medium- and heavy-duty truck technology, including projects that help to facilitate clean goods-movement corridors. on or adjacent to the states multimodal state freight system. Until December 31, 2020, no less than 20 percent of funding made available for purposes of this paragraph shall support early commercial deployment of existing zero- and near-zero-emission heavy-duty truck technology.
(2)Zero- and near-zero-emission bus technology development, demonstration, precommercial pilots, and early commercial deployments, including pilots of multiple vehicles at one site or region.
(3)Zero- and near-zero-emission off-road vehicle and equipment technology development, demonstration, precommercial pilots, and early commercial deployments, including vehicles and equipment in the port, agricultural, marine, construction, and rail sectors.
(4)Purchase incentives, which may include point-of-sale, for commercially available zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies and fueling infrastructure to support early market deployments of alternative technologies and to increase manufacturer volumes and accelerate market acceptance.
(5)Projects that support greater commercial motor vehicle and equipment freight efficiency and greenhouse gas emissions reductions, including, but not limited to, advanced intelligent transportation systems, autonomous vehicles, grid integration and integrated storage solutions, charging management demonstration and analytics, and other freight information and operations technologies.
(c)The state board, in consultation with the State Energy Resources Conservation and Development Commission, shall develop guidance through the existing Air Quality Improvement Program funding plan process for the implementation of this section that is consistent with the California Global Warming Solutions Act of 2006 (Division 25.5 (commencing with Section 38500)) and this chapter.
(d)The guidance developed pursuant to subdivision (c) shall do all of the following:
(1)Outline performance criteria and metrics for deployment incentives. The goal shall be to design a simple and predictable structure that provides incentives for truck, bus, and off-road vehicle and equipment technologies that provide significant greenhouse gas reduction and air quality benefits.
(2)(A)Ensure that program investments are coordinated with funding programs developed pursuant to 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).
(B)The State Energy Resources Conservation and Development Commission shall advise that state board on how to allocate money for vehicle charging infrastructure consistent with the commissions investment plan strategies on charging infrastructure.
(3)Promote projects that assist the state in reaching its climate goals beyond 2020, 2030, consistent with Sections 38550 and 38551. Section 38566.
(4)Promote investments in medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, marine equipment, and rail equipment.
(5)Implement purchase incentives for eligible technologies to increase the use of the cleanest vehicles in disadvantaged communities.
(6)Allow for remanufactured and retrofitted vehicles to qualify for purchase incentives if those vehicles meet warranty and emissions requirements, as determined by the state board.
(7)Establish a competitive process for the allocation of moneys for projects funded pursuant to this section.
(8)Leverage, to the maximum extent feasible, federal or private funding.
(9)Ensure that the results of emissions reductions or benefits can be measured or quantified.
(10)Ensure that activities undertaken pursuant to this section complement, and do not interfere with, efforts to achieve and maintain federal and state ambient air quality standards and to reduce toxic air contaminants.
(e)In evaluating potential projects to be funded pursuant to this section, the state board shall give priority to projects that demonstrate one or more of the following characteristics:
(1)Benefit disadvantaged communities pursuant to Sections 39711 and 39713. 39713 or communities with a community emissions reduction program implemented pursuant to Section 44391.2.
(2)The ability to leverage additional public and private funding.
(3)The potential for cobenefits or multiple-benefit attributes.
(4)The potential for the project to be replicated.
(5)Regional benefit, with focus on collaboration between multiple entities.
(6)Support for technologies with broad market and emissions reduction potential.
(7)Support for projects addressing technology and market barriers not addressed by other programs.
(8)Support for enabling technologies that benefit multiple technology pathways.
(f)In the implementation of implementing this section, the state board, in consultation with the State Energy Resources Conservation and Development Commission, shall create an annual framework and plan. The framework and plan shall be developed with public input and may utilize existing investment plan processes and workshops as well as existing state and third-party research and technology roadmaps. The framework and plan shall do all of the following:
(1)Articulate an overarching vision for technology development, demonstration, precommercial pilot, and early commercial deployments, with a focus on moving technologies through the commercialization process.
(2)Outline technology categories and performance criteria for technologies and applications that may be considered for funding pursuant to this section. This shall include technologies for medium- and heavy-duty trucking, including, but not limited to, vocational trucks, short-haul and long-haul trucks, buses, and off-road vehicles and equipment, including, but not limited to, port equipment, agricultural equipment, construction equipment, marine equipment, and rail equipment.
(3)Describe the roles of the relevant agencies and the process for coordination.
(g)For purposes of this section, zero- and near-zero-emission means vehicles, fuels, and related technologies that reduce greenhouse gas emissions and improve air quality when compared with conventional or fully commercialized alternatives, as defined by the state board in consultation with the State Energy Resources Conservation and Development Commission. Zero- and near-zero-emission may include, but is not limited to, zero-emission technology, enabling technologies that provide a pathway to emissions reductions, advanced or alternative fuel engines for long-haul trucks, and hybrid or alternative fuel technologies for trucks and off-road equipment.
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, infrastructure 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 Californias fuel and vehicle types to help attain the states climate change policies. The emphasis of this program shall be to develop and deploy technology technology, infrastructure, 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 commissions 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 projects 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 projects consistency with existing and future state climate change policy and low-carbon fuel standards.
(3)The projects ability to reduce criteria air pollutants and air toxics and reduce or avoid multimedia environmental impacts.
(4)The projects 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 states 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 projects 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 projects 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 projects ability to transition workers to, or promote employment in, the alternative and renewable fuel and vehicle technology sector.
(13)The projects ability to deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.
(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 fuels 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 Californias 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 states 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 Governors 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.
|
Date
|
Status
|
|---|---|
| Sep 22, 2018 | Chaptered by Secretary of State - Chapter 672, Statutes of 2018. |
| Sep 22, 2018 | Approved by the Governor. |
| Sep 10, 2018 | Enrolled and presented to the Governor at 3:30 p.m. |
| Aug 29, 2018 | Assembly Rule 77 suspended. |
| Aug 28, 2018 | In Assembly. Concurrence in Senate amendments pending. May be considered on or after August 30 pursuant to Assembly Rule 77. |
| Aug 28, 2018 | Read third time. Passed. Ordered to the Assembly. |
| Aug 24, 2018 | Read second time. Ordered to third reading. |
| Aug 23, 2018 | Read third time and amended. Ordered to second reading. |
| Aug 20, 2018 | Read second time. Ordered to third reading. |
| Aug 17, 2018 | From committee: Amend, and do pass as amended. (Ayes 7. Noes 0.) (August 16). |
| Aug 6, 2018 | In committee: Referred to APPR. suspense file. |
| Jun 21, 2018 | From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 7. Noes 0.) (June 20). Re-referred to Com. on APPR. |
| Jun 20, 2018 | From committee: Do pass and re-refer to Com. on EQ. (Ayes 12. Noes 0.) (June 19). Re-referred to Com. on EQ. |
| Jun 7, 2018 | Referred to Coms. on T. & H. and EQ. |
| May 30, 2018 | In Senate. Read first time. To Com. on RLS. for assignment. |
| May 29, 2018 | Read third time. Passed. Ordered to the Senate. |
| May 24, 2018 | Read second time. Ordered to Consent Calendar. |
| May 23, 2018 | From committee: Do pass. To Consent Calendar. (Ayes 16. Noes 0.) (May 23). |
| May 21, 2018 | Re-referred to Com. on APPR. |
| May 17, 2018 | From committee chair, with author's amendments: Amend, and re-refer to Com. on APPR. Read second time and amended. |
| Mar 20, 2018 | From committee: Do pass and re-refer to Com. on APPR. (Ayes 13. Noes 0.) (March 19). Re-referred to Com. on APPR. |
| Mar 19, 2018 | In committee: Set, first hearing. Hearing canceled at the request of author. |
| Mar 19, 2018 | Re-referred to Com. on TRANS. |
| Mar 15, 2018 | From committee chair, with author's amendments: Amend, and re-refer to Com. on TRANS. Read second time and amended. |
| Feb 26, 2018 | Referred to Com. on TRANS. |
| Feb 13, 2018 | From printer. May be heard in committee March 15. |
| Feb 12, 2018 | Read first time. To print. |
|
Date
|
Description
|
Location
|
Votes
|
|
|---|---|---|---|---|
| Aug 29, 2018 | AB 2145 REYES Concurrence in Senate Amendments | Assembly Floor |
Passed |
|
| Aug 28, 2018 | Assembly 3rd Reading AB2145 Reyes By Lara | Senate Floor |
Passed |
|
| Aug 16, 2018 | Do pass as amended | Senate Standing Committee on Appropriations |
Passed |
|
| Aug 6, 2018 | Placed on suspense file | Senate Standing Committee on Appropriations |
Passed |
|
| Jun 20, 2018 | Do pass, but first be re-referred to the Committee on [Appropriations] with the recommendation: To Consent Calendar | Senate Standing Committee on Environmental Quality |
Passed |
|
| Jun 19, 2018 | Do pass, but first be re-referred to the Committee on [Environmental Quality] | Senate Standing Committee on Transportation and Housing |
Passed |
|
| May 29, 2018 | AB 2145 REYES Consent Calendar Second Day Regular Session | Assembly Floor |
Passed |
|
| May 23, 2018 | Do pass. To Consent Calendar. | Assembly Standing Committee on Appropriations |
Passed |
|
| Mar 19, 2018 | Do pass and be re-referred to the Committee on [Appropriations] | Assembly Standing Committee on Transportation |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
|
Organization
|
Position
|
Date
|
|---|---|---|
| Calstart | ** Support | Aug 24, 2018 |
| Silicon Valley Leadership Group | ** Support | May 22, 2018 |
CONCURRENCE IN SENATE AMENDMENTS
CSA1 Bill Id:AB 2145
Author:(Reyes)
As Amended Ver:August 23, 2018
Majority vote
ASSEMBLY: | 78-0 | (May 29, 2018) | SENATE: | 38-0 | (August 28, 2018) |
Original Committee Reference: TRANS.
SUMMARY: Modifies and updates the Clean Truck, Bus, and Off-Road Vehicle and Equipment Program (Clean Truck Program).
The Senate amendments:
- Narrow the scope of the bill by removing from the Assembly version all the proposed modifications to the Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP).
- Add provisions from SB 1403 (Lara) of the current legislative session, to avoid chaptering out conflicts.
AS PASSED BY THE ASSEMBLY, this bill:
- Modified the Clean Truck Program as follows:
- Added grid integration and integrated storage solutions, as well as charging management demonstration and analytics to the list of eligible projects that can be funded to support greater commercial motor vehicle and equipment efficiency.
- Required California Energy Commission (CEC) to advise the California Air Resources Board (ARB) on how to allocate money for vehicle charging infrastructure consistent with the CEC's investment plan strategies on charging infrastructure.
- Required ARB to promote projects that assist the state in reaching its climate goals beyond 2030 consistent with SB 32 (Pavley), Chapter 249, Statutes of 2016, instead of by 2020, per AB 32 (Núñez), Chapter 614, Statutes of 2006.
- Required ARB to prioritize funding for communities with a community emissions reduction program.
- Modified the ARFVTP as follows:
- Added infrastructure entities to the list of entities eligible for ARFVTP grants and other financial incentives.
- Required CEC to emphasize the development and deployment of technology and infrastructure.
- Added a project's ability to: Deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and; match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles to the list on which CEC must base project prioritization.
- Required CEC to allocate at least 20% of ARFVTP funds for the deployment of medium- and heavy-duty electric vehicle infrastructure.
FISCAL EFFECT: According to the Senate Appropriations Committee:
- Minor and absorbable administrative costs to the California Air Resources Board (CARB) as a result of modifications to the Clean Truck Program. These changes are not expected to result in significant reallocations of program funds. (Greenhouse Gas Reduction Fund – GGRF)
- Minor and absorbable State Energy Resources Conservation and Development Commission (CEC) administrative costs related to revisions to ARFVTP and to advise CARB on allocations of Clean Truck Program funds for vehicle charging infrastructure. (ARFVT Fund)
COMMENTS: AB 118 (Núñez), Chapter 750, Statutes of 2007, established the Air Quality Improvement Program (AQIP) to be administered by ARB in consultation with local air districts. The AQIP is funded through various fees and surcharges on vehicles and provides competitive grants to fund projects that improve air quality. AQIP investments have concentrated on three main categories: commercial deployment of clean vehicles, pre-commercial advanced technology demonstrations, and financial assistance to small trucking fleets. AB 118 also established the ARFVTP, which is administered by CEC, and provides funding for development and deployment of alternative and renewable fuels and advanced transportation technologies to help attain the state's climate change goals. Eligible projects include, for example, development, improvement, and production of alternative and renewable low-carbon fuels; improvement of light-, medium-, and heavy-duty vehicle technologies; and expansion of infrastructure connected with existing fleets, public transit, and transportation corridors. Additionally, as part of the ARFVTP, CEC prepares and adopts an annual investment plan that identifies the funding priorities for the coming fiscal year.
In 2014, the Clean Truck Program was established, to be administered by ARB in conjunction with CEC, with the intent to create a single, overarching program to develop and deploy zero- and near zero-emission heavy-duty vehicles. Specifically, the Clean Truck Program provides GGRF funds for projects that develop technology, demonstrate and pilot commercial and early-commercial deployment of zero and near zero emission medium- and heavy-duty truck technology, and facilitate clean goods movement. As part of the Clean Truck Program, ARB helped develop zero-and near zero emission technologies for specified vehicles and equipment not only for trucks, but also for off-road vehicles and equipment at the ports as well as in agricultural, marine, and rail sectors. Within the Clean Truck Program, funding priority is generally given to projects that demonstrate benefit to disadvantaged communities, that have the ability to leverage additional public and private funding, and that provide the potential for co-benefits. To help incentivize the adoption of new technologies and update program guidelines, the author has introduced this bill.
Please see the policy committee analysis for full discussion of this bill.
Analysis Prepared by: Cynthia Alvarez / TRANS. / (916) 319-2093 FN: 0004903
Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 | AB |
THIRD READING
Bill No: AB 2145
Amended: 8/23/18 in Senate
SENATE TRANS. & HOUSING COMMITTEE: 12-0, 6/19/18
AYES: Beall, Cannella, Allen, Dodd, Gaines, Galgiani, McGuire, Morrell, Roth, Skinner, Vidak, Wiener
NO VOTE RECORDED: Wieckowski
SENATE ENVIRONMENTAL QUALITY COMMITTEE: 7-0, 6/20/18
AYES: Wieckowski, Stone, Gaines, Hill, Lara, Skinner, Stern
SENATE APPROPRIATIONS COMMITTEE: 7-0, 8/16/18
AYES: Portantino, Bates, Beall, Bradford, Hill, Nielsen, Wiener
ASSEMBLY FLOOR: 78-0, 5/29/18 (Consent) - See last page for vote
DIGEST:
This bill modifies and updates the Clean Truck Program.
Senate Floor Amendments of 8/23/18 narrow the scope of the bill and add contingent enactment language with SB 1403 (Lara).
Existing law:
- Requires the state Air Resources Board (ARB) to develop a plan to reduce emissions to 1990 levels by 2020. It also requires ARB to ensure programs that reduce greenhouse gas (GHG) emissions are targeted, to the extent feasible, to the most disadvantaged communities in the state. Pursuant to AB 32, ARB adopted a cap-and-trade program that caps allowable statewide GHG emissions and provides for the auctioning of emission credits, the proceeds of which are deposited into the Greenhouse Gas Reduction Fund (GGRF) for appropriation by the Legislature. This program is authorized until December 31, 2030.
- Establishes a target of reducing statewide GHG emissions to 80% below 1990 levels by 2050, and an interim statewide GHG emissions reduction target of 40% below 1990 levels by 2030.
- Establishes the Clean Truck Program to fund, using GGRF monies, development, demonstration, pre-commercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. At least 20% of the funding for the Clean Truck Program must go to early commercial development of existing zero- and near-zero-emission (ZEV and near-ZEV) heavy-duty truck technology, until December 31, 2020. ARB must prioritize projects that demonstrate benefit to disadvantaged communities, address technology and market barriers not addressed by other programs, and enabling technologies that benefit multiple technology pathways.
- Requires ARB to select locations around the state for preparation of community emissions reduction programs, based on specified criteria.
This bill revises the Clean Truck Program as follows:
- Authorizes the addition of the following specified technologies for funding: grid integration and integrated storage solutions, charging management demonstration, and analytics which support greater commercial motor vehicle and equipment freight efficiency and GHG reductions.
- Updates the program to require ARB to promote projects that assist the state in reaching its climate goals beyond 2030.
- Updates the program to include in the definition of disadvantaged communities those communities selected by the ARB for preparation of community emissions reductions programs.
Comments
- Author’s purpose. AB 2145 is intended to update the ARB’s Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program. These changes 1) update the program to reflect the latest technological developments and the status of the clean vehicle market so that new project types are eligible for funding, and 2) update the program guidelines and planning elements to ensure better coordination of programmatic investments between the agencies.
- Charging infrastructure. The inadequacy of the refueling infrastructure is one of the barriers to the widespread adoption of ZEV and near-ZEV vehicles. Unlike the privately funded and widely available gas stations, EV charging stations and hydrogen refueling stations are heavily publicly subsidized and rarely available. An EV charging station costs as little as a few thousand dollars; hydrogen refueling stations a few million dollars.
- Is everyone on the same page? There exist several state programs supporting ZEV and near-ZEV infrastructure deployment. Ensuring coordination and avoiding duplication, as required by this bill, will be a challenge as these programs are administered by different organizations and agencies.
The investor-owned utilities (PG&E, Southern California Edison (SCE), San Diego Gas and Electric) have their own substantial medium- and heavy-duty electric vehicle charging programs funded through electric rates. PG&E will spend $236 million to support make-ready installations at a minimum of 700 sites, supporting the electrification of at least 6,500 medium- and heavy-duty fleet vehicles. SCE will spend $343 million to support make-ready installations at a minimum of 870 sites to support the electrification of at least 8,490 medium- or heavy-duty fleet vehicles. In addition, the utilities will collectively spent up to $197 million to install the infrastructure to support up to 12,500 charging stations. This program is overseen by the California Public Utilities Commission.
The California Energy Commission (CEC) provides significant support for medium- and heavy-duty vehicles in the Alternative and Renewable Fuel and Vehicle Technology Program. So far, that program has spent $126.8 million in support of these vehicles. In FY 2018-2019, the CEC allocates $17.5 million for charging and refueling infrastructure and alternative fuel and advanced technology freight and fleet vehicles. The CEC notes that it expects increasing demand for this technology, and will take those needs into account. However, one drawback to supporting charging infrastructure for heavy duty vehicles is that it may need to be located in areas inaccessible to the public for security purposes, unlike charging infrastructure for light duty vehicles which is typically more publicly accessible.
Electrify America, a VW subsidiary, will invest $800 million in California over the next several years to install EV charging infrastructure and other EV support programs as part of the court settlement of VW’s diesel emissions cheating issues. These expenditures are overseen by the federal courts and approved by ARB and the United States Environmental Protection Agency.
- Recent Amendments. The recent floor amendments narrow the scope of this bill and add contingent enactment language with SB 1403 (Lara).
FISCAL EFFECT: Appropriation: Fiscal Com.: Local:
According to the Senate Appropriations Committee:
- Minor and absorbable administrative costs to the ARB as a result of modifications to the Clean Truck Program. These changes are not expected to result in significant reallocations of program funds. (Greenhouse Gas Reduction Fund – GGRF)
CALSTART (source)
OPPOSITION: (Verified 8/24/18)
None received
ASSEMBLY FLOOR: 78-0, 5/29/18
AYES: Acosta, Aguiar-Curry, Travis Allen, Arambula, Baker, Berman, Bigelow, Bloom, Bonta, Brough, Burke, Caballero, Calderon, Carrillo, Cervantes, Chau, Chávez, Chen, Chiu, Choi, Chu, Cooley, Cooper, Cunningham, Dahle, Daly, Eggman, Flora, Fong, Frazier, Friedman, Gallagher, Cristina Garcia, Eduardo Garcia, Gipson, Gloria, Gonzalez Fletcher, Gray, Grayson, Harper, Holden, Irwin, Jones-Sawyer, Kalra, Kamlager-Dove, Kiley, Lackey, Levine, Limón, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Melendez, Mullin, Muratsuchi, Nazarian, Obernolte, O'Donnell, Patterson, Quirk, Quirk-Silva, Reyes, Rodriguez, Rubio, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Voepel, Waldron, Weber, Wood, Rendon
8/24/18 14:39:53
**** END ****
Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 | AB |
THIRD READING
Bill No: AB 2145
Amended: 8/17/18 in Senate
SENATE TRANS. & HOUSING COMMITTEE: 12-0, 6/19/18
AYES: Beall, Cannella, Allen, Dodd, Gaines, Galgiani, McGuire, Morrell, Roth, Skinner, Vidak, Wiener
NO VOTE RECORDED: Wieckowski
SENATE ENVIRONMENTAL QUALITY COMMITTEE: 7-0, 6/20/18
AYES: Wieckowski, Stone, Gaines, Hill, Lara, Skinner, Stern
SENATE APPROPRIATIONS COMMITTEE: 7-0, 8/16/18
AYES: Portantino, Bates, Beall, Bradford, Hill, Nielsen, Wiener
ASSEMBLY FLOOR: 78-0, 5/29/18 (Consent) - See last page for vote
DIGEST:
This bill modifies and updates the Clean Truck Program and Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP).
Existing law:
- Requires the state Air Resources Board (ARB) to develop a plan to reduce emissions to 1990 levels by 2020. It also requires ARB to ensure programs that reduce greenhouse gas (GHG) emissions are targeted, to the extent feasible, to the most disadvantaged communities in the state. Pursuant to AB 32, ARB adopted a cap-and-trade program that caps allowable statewide GHG emissions and provides for the auctioning of emission credits, the proceeds of which are deposited into the Greenhouse Gas Reduction Fund (GGRF) for appropriation by the Legislature. This program is authorized until December 31, 2030.
- Establishes a target of reducing statewide GHG emissions to 80% below 1990 levels by 2050, and an interim statewide GHG emissions reduction target of 40% below 1990 levels by 2030.
- Establishes the Clean Truck Program to fund, using GGRF monies, development, demonstration, pre-commercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. At least 20% of the funding for the Clean Truck Program must go to early commercial development of existing zero- and near-zero-emission (ZEV and near-ZEV) heavy-duty truck technology, until December 31, 2020. ARB must prioritize projects that demonstrate benefit to disadvantaged communities, address technology and market barriers not addressed by other programs, and enabling technologies that benefit multiple technology pathways.
- Establishes the ARFVTP to develop and deploy alternative and renewable fuels and advanced transportation technologies to help attain the state’s climate change goals. This program, along with several others, is funded through surcharges on vehicle registration fees, a portion of the vessel registration fee, a portion of the Smog Abatement Fee (paid to register vehicles less than six model years old and therefore exempt from smog check), and an increase in the fee for identification plates for various types of vehicles, such as logging vehicles operated on public roads. The ARFVTP is administered by the California Energy Commission (CEC) at about $100 million annually. The CEC must allocate $20 million annually, not to exceed 20% of the moneys appropriated, until there are at least 100 publicly available hydrogen-fueling stations in operation in California.
- Requires ARB to select locations around the state for preparation of community emissions reduction programs, based on specified criteria.
This bill:
- Revises the Clean Truck Program as follows:
- Authorizes the addition of the following specified technologies for funding: grid integration and integrated storage solutions, charging management demonstration, and analytics which support greater commercial motor vehicle and equipment freight efficiency and GHG reductions.
- Updates the program to require ARB to promote projects that assist the state in reaching its climate goals beyond 2030.
- Updates the program to include in the definition of disadvantaged communities those communities selected by the ARB for preparation of community emissions reductions programs.
- Revises the ARFVTP as follows:
- Authorizes “infrastructure entities” as eligible for ARFVTP grants and other financial incentives and adds development and deployment of “infrastructure” as one of the program emphases.
- Adds the following preference: deploying infrastructure not already deployed by other state agencies or utilities, to integrate fueling infrastructure and the grid, and to match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.
Comments
- Author’s Statement. AB 2145 makes changes to the Energy Commission Advanced and Renewable Fuel and Vehicle Technology Program and the Air Resources Board Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program. In summary, these changes include:
- Updating the programs to reflect the latest technological developments and the status of the clean vehicle market so that new project types are eligible for funding, and;
- Updating the programs’ guidelines and planning elements to ensure better coordination of programmatic investments between the agencies.
- Charging Infrastructure. The inadequacy of the refueling infrastructure is one of the barriers to the widespread adoption of ZEV and near-ZEV vehicles. Unlike the privately funded and widely available gas stations, EV charging stations and hydrogen refueling stations are heavily publicly subsidized and rarely available. An EV charging station costs as little as a few thousand dollars; hydrogen refueling stations a few million dollars.
- Is Everyone on the Same Page? There exist several state programs supporting ZEV and near-ZEV infrastructure deployment. Ensuring coordination and avoiding duplication, as required by this bill, will be a challenge as these programs are administered by different organizations and agencies.
The investor-owned utilities (PG&E, Southern California Edison (SCE), San Diego Gas and Electric) have their own substantial medium- and heavy-duty electric vehicle charging programs funded through electric rates. PG&E will spend $236 million to support make-ready installations at a minimum of 700 sites, supporting the electrification of at least 6,500 medium- and heavy-duty fleet vehicles. SCE will spend $343 million to support make-ready installations at a minimum of 870 sites to support the electrification of at least 8,490 medium- or heavy-duty fleet vehicles. In addition, the utilities will collectively spent up to $197 million to install the infrastructure to support up to 12,500 charging stations. This program is overseen by the California Public Utilities Commission.
The CEC provides significant support for medium- and heavy-duty vehicles in the ARFVTP. So far, that program has spent $126.8 million in support of these vehicles. In FY 2018-2019, the CEC allocates $17.5 million for charging and refueling infrastructure and alternative fuel and advanced technology freight and fleet vehicles. The CEC notes that it expects increasing demand for this technology, and will take those needs into account. However, one drawback to supporting charging infrastructure for heavy duty vehicles is that it may need to be located in areas inaccessible to the public for security purposes, unlike charging infrastructure for light duty vehicles which is typically more publicly accessible.
Electrify America, a VW subsidiary, will invest $800 million in California over the next several years to install EV charging infrastructure and other EV support programs as part of the court settlement of VW’s diesel emissions cheating issues. These expenditures are overseen by the federal courts and approved by ARB and the United States Environmental Protection Agency.
FISCAL EFFECT: Appropriation: Fiscal Com.: Local:
According to the Senate Appropriations Committee:
- Minor and absorbable administrative costs to the ARB as a result of modifications to the Clean Truck Program. These changes are not expected to result in significant reallocations of program funds. (Greenhouse Gas Reduction Fund – GGRF)
- Minor and absorbable State Energy Resources Conservation and Development Commission (CEC) administrative costs related to revisions to ARFVTP and to advise ARB on allocations of Clean Truck Program funds for vehicle charging infrastructure. (ARFVT Fund)
CALSTART (source)
OPPOSITION: (Verified 8/17/18)
None received
ASSEMBLY FLOOR: 78-0, 5/29/18
AYES: Acosta, Aguiar-Curry, Travis Allen, Arambula, Baker, Berman, Bigelow, Bloom, Bonta, Brough, Burke, Caballero, Calderon, Carrillo, Cervantes, Chau, Chávez, Chen, Chiu, Choi, Chu, Cooley, Cooper, Cunningham, Dahle, Daly, Eggman, Flora, Fong, Frazier, Friedman, Gallagher, Cristina Garcia, Eduardo Garcia, Gipson, Gloria, Gonzalez Fletcher, Gray, Grayson, Harper, Holden, Irwin, Jones-Sawyer, Kalra, Kamlager-Dove, Kiley, Lackey, Levine, Limón, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Melendez, Mullin, Muratsuchi, Nazarian, Obernolte, O'Donnell, Patterson, Quirk, Quirk-Silva, Reyes, Rodriguez, Rubio, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Voepel, Waldron, Weber, Wood, Rendon
8/20/18 9:15:23
**** END ****
SENATE COMMITTEE ON
Senator Anthony Portantino, Chair
2017 - 2018 Regular Session
AB 2145 (Reyes) - Vehicular air pollution
Version: | Policy Vote: |
Urgency: | Mandate: |
Hearing Date: | Consultant: |
Bill Summary:
AB 2145 would modify and update the Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program (Clean Truck Program) and the Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP). The bill would also require at least 20% of funds appropriated for ARFVTP to be allocated for the deployment of medium- and heavy-duty electric vehicle infrastructure.
*********** ANALYSIS ADDENDUM – SUSPENSE FILE ***********
The following information is revised to reflect amendments
adopted by the committee on August 16, 2018
Fiscal Impact:
- Minor and absorbable administrative costs to the California Air Resources Board (CARB) as a result of modifications to the Clean Truck Program. These changes are not expected to result in significant reallocations of program funds. (Greenhouse Gas Reduction Fund – GGRF)
- Minor and absorbable State Energy Resources Conservation and Development Commission (CEC) administrative costs related to revisions to ARFVTP and to advise CARB on allocations of Clean Truck Program funds for vehicle charging infrastructure. (ARFVT Fund)
Committee Amendments:
Delete the requirement that at least 20% of funds appropriated for ARFVTP to be allocated for the deployment of medium- and heavy-duty electric vehicle infrastructure.
-- END --
SENATE COMMITTEE ON APPROPRIATIONS
Senator Anthony Portantino, Chair
2017 - 2018 Regular Session
AB 2145 (Reyes) - Vehicular air pollution
Version: May 17, 2018 | Policy Vote: T. & H. 12 - 0, E.Q. 7 - 0 |
Urgency: No | Mandate: No |
Hearing Date: August 6, 2018 | Consultant: Mark McKenzie |
This bill would meet the criteria for referral to the Suspense File.
Bill Summary:
AB 2145 would modify and update the Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program (Clean Truck Program) and the Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP). The bill would also require at least 20% of funds appropriated for ARFVTP to be allocated for the deployment of medium- and heavy-duty electric vehicle infrastructure.
Fiscal Impact:
- Minor and absorbable administrative costs to the California Air Resources Board (CARB) as a result of modifications to the Clean Truck Program. These changes are not expected to result in significant reallocations of program funds. (Greenhouse Gas Reduction Fund – GGRF)
- Minor and absorbable State Energy Resources Conservation and Development Commission (CEC) administrative costs related to revisions to ARFVTP and to advise CARB on allocations of Clean Truck Program funds for vehicle charging infrastructure. (ARFVT Fund)
- Significant ongoing cost pressures, likely in the low tens of millions annually, to dedicate 20% of ARFVT funds to medium- and heavy-duty electric vehicle infrastructure. This requirement would divert funding from other ARFVT expenditures. (ARFVT Fund)
Background:
Existing law establishes the Clean Truck Program to fund development, demonstration, pre-commercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. This program is funded with GGRF monies as part of the umbrella of CARB’s Low Carbon Transportation Investments within its Clean Transportation Incentive programs. Eligible projects include zero- and near-zero-emission medium- and heavy-truck, bus, and off-road vehicle and equipment technologies that are in the development, demonstration, pre-commercial pilot, or early commercial deployment stages, as well as purchase incentives and projects that support greater commercial motor vehicle and equipment freight efficiency and GHG emissions reductions. At least 20% of any funding made available for medium- and heavy-duty truck technology must be used to support early commercial development of existing zero- and near-zero-emission heavy-duty truck technology, until December 31, 2020. CARB must prioritize projects that demonstrate a benefit to disadvantaged communities, address technology and market barriers not addressed by other programs, and enable technologies that benefit multiple technology pathways.
Existing law, the California Alternative and Renewable Fuel, Vehicle Technology, Clean Air, and Carbon Reduction Act of 2007 (AB 118 (Nunez), Chap. 750/2007) provides for a temporary increase in vehicle registration fees (+$3), Smog Abatement Fee (+$8), boat registration fees ($10/$20), and special identification plates (+$5) until January 1, 2024 to fund three programs: the ARFVT Program, the Air Quality Improvement Program, and the Enhanced Fleet Modernization Program.
The ARFVT Program is funded by $2 of the vehicle registration fee and receives approximately $100 million per year. The CEC administers the program, which provides funding for development and deployment of alternative and renewable fuels and advanced transportation technologies to help attain the state’s climate change goals. Eligible projects include, among other things, improvement of light-, medium-, and heavy-duty vehicle technologies, and retrofitting medium- and heavy-duty on-road and off-road vehicle fleets.
Proposed Law:
AB 2145 would make the following changes to the Clean Truck Program:
- Add grid integration and integrated storage solutions, and charging management demonstration and analytics to the list of projects eligible for funding that support greater commercial vehicle and equipment freight efficiency and greenhouse gas reductions.
- Require the CEC to advise CARB on how to allocate money for vehicle charging infrastructure consistent with CEC’s investment plan strategies on charging infrastructure.
- Update the program to require program guidance to promote projects that assist the state in reaching its climate goals beyond 2030 (rather than beyond 2020).
- Update the program to require that projects demonstrate benefits to communities with a community emissions reduction program, in addition to benefiting disadvantaged communities.
The bill would also make the following changes to the ARFVTP:
- Authorize “infrastructure entities” to be eligible recipients of program funds, and add development and deployment of “infrastructure” as one of the program emphases.
- Add to the program’s preference list a project with the ability to deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.
- Require at least 20% of appropriated ARFVTP funds to be allocated for the deployment of medium- and heavy-duty electric vehicle infrastructure.
Related Legislation:
SB 1403 (Lara), which is currently pending in the Assembly Appropriations Committee, would extend the sunset to January 1, 2030 on the Clean Truck Program’s setaside for support of early commercial deployment of existing zero- and near-zero-emission heavy-duty truck technology. The bill would also require CARB to develop a three-year investment strategy for zero- and near-zero-emission heavy-duty vehicles and equipment.
SB 1204 (Lara), Chap. 524/2014, established the Clean Truck Program to fund the development, demonstration, pre-commercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies, as specified.
AB 8 (Perea), Chap. 401/2013), extended until January 1, 2024, the fees that support Air Quality and Improvement Program and AFRVTP.
AB 118 (Núñez), Chap. 750/2007, established the ARFVTP and Air Quality Improvement Program and dedicated specified temporary vehicle registration fee revenues to provide funding measures to specified entities to develop and deploy technologies and alternative and renewable fuels in the marketplace to help attain the state’s climate change policies.
Staff Comments:
The CEC has dedicated $80 million in ARFVTP funds to deploy nearly 8,000 new vehicle charging stations, all of which are for light-duty vehicles. The 2018-19 ARFVTP Investment Plan notes that medium- and heavy-duty vehicles may require charging infrastructure with specialized connectors or significantly higher voltage and power levels than what can be provided by light-duty chargers. In addition, heavy-duty vehicle operators may need to locate chargers in areas that are inaccessible to the public for security and safety reasons. The Investment Plan reflects that $277.5 million in ARFVTP funding is available for allocation in 2018-19, a significant increase in spending as a result of budget actions to support the goals of Governor Brown’s Executive Order B-48-18, which set a directive to install 250,000 zero-emission chargers by 2025. The CEC’s Plan allocates $134.5 million to hydrogen refueling and electric vehicle charging infrastructure, and $17.5 million for advanced freight and vehicle technologies. CEC staff indicates that some portion of the funding from these allocations will be used to support the deployment of charging infrastructure for medium- and heavy-duty electric vehicles.
This bill would require the CEC to allocate at least 20% of available ARFVTP funds for the deployment of medium- and heavy-duty electric vehicle infrastructure. Historically, this amount would represent an allocation of at least $20 million in a given fiscal year, but for 2018-19 it would be the equivalent of an allocation of at least $55.5 million for medium- and heavy-duty charging infrastructure. This would be a substantial increase in funding for those purposes, and would divert funding from other eligible project expenditures. Dedication of 20% of ARFVTP funds for medium- and heavy-duty electric vehicle infrastructure would create significant annual cost pressures to fund the deployment of greenhouse gas reducing technologies and infrastructure from other sources.
-- END --
SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
Senator Wieckowski, Chair
2017 - 2018 Regular
Bill No: AB 2145
Author: | Reyes | ||
Version: | 5/17/2018 | Hearing Date: | 6/20/2018 |
Urgency: | No | Fiscal: | Yes |
Consultant: | David Ernest García | ||
SUBJECT: Vehicular air pollution
ANALYSIS:
Existing law:
- Establishes the Air Resources Board (ARB) as the air pollution control agency in California and requires ARB, among other things, to control emissions from a wide array of mobile sources and coordinate, encourage, and review the efforts of all levels of government as they affect air quality. (Health and Safety Code (HSC) §39500 et seq.)
- Establishes the California Energy Resources Conservation and Development Commission (CEC) as the state’s primary energy policy and planning agency. (Public Resources Code (PRC) §25000 et seq.)
- Establishes the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program (Clean Truck Program), to be administered by ARB and CEC, to fund development, demonstration, precommercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. (HSC §39719.2)
- Requires, under the California Global Warming Solutions Act of 2006 (also known as AB 32), ARB to (1) determine the 1990 statewide greenhouse gas (GHG) emissions level and approve a statewide GHG emissions limit that is equivalent to that level to be achieved by 2020; (2) ensure that statewide GHG emissions are reduced to at least 40% below the 1990 level by December 31, 2030 (i.e., SB 32); and (3) adopt regulations, until December 31, 2030, that utilize market-based compliance mechanisms to reduce GHG emissions (i.e., the cap-and-trade program). (HSC §38500 et seq.)
- Establishes the Greenhouse Gas Reduction Fund (GGRF) in the State Treasury, requires all moneys, except for fines and penalties, collected pursuant to a market-based mechanism be deposited in the fund. (Government Code §16428.8)
- Requires ARB to establish Community Emissions Reductions Programs (CERP) for the purposes of reducing emissions of toxic air contaminants and criteria air pollutants, as specified. (HSC §44391.2)
- Establishes the Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP), to be administered by CEC, to provide 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, as specified. (HSC §44272 et seq.)
- Requires the emphasis of ARFVTP to be to develop and deploy technology, and alternative and renewable fuels in the marketplace, without adopting any one preferred fuel or technology.
- Requires the emphasis of ARFVTP to be to develop and deploy technology, and alternative and renewable fuels in the marketplace, without adopting any one preferred fuel or technology.
- Requires CEC to provide preferences to projects for ARFVTP, as specified.
This bill:
- Adds to the list of projects eligible for funding under the Clean Truck Program that support greater commercial motor vehicle and equipment freight efficiency and greenhouse gas emissions reductions (a) grid integration and integrated storage solutions projects, and (b) charging management demonstration and analytics projects.
- Requires CEC to advise ARB on how to allocate money for vehicle charging infrastructure consistent with CEC’s investment plan strategies on charging infrastructure.
- Expands the priority given to projects benefitting disadvantaged communities to include communities with a CERP.
- Adds infrastructure entities to the ARFVTP eligibility list.
- Adds infrastructure to ARFVTP emphasis.
- Adds infrastructure to ARFVTP emphasis.
- Adds, to the ARFVTP preference list, a project with the ability to deploy infrastructure not already deployed by other state agencies or utilities, integrate fueling infrastructure and the grid, and match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.
- Requires that at least 20% of ARFVTP funds be allocated for the deployment of medium- and heavy-duty electric vehicle infrastructure.
Background
- Implementing AB 32: The California Global Warming Solutions Act of 2006. In 2006, AB 32 (Núñez and Pavley, Chapter 488, Statutes of 2006) was signed into law, which requires ARB to determine the 1990 statewide GHG emission level and achieve a reduction in GHG emissions to that level by 2020. In addition to calling on ARB to inventory GHGs in California (including carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons, and sulfur hexafluoride) and approve the aforementioned statewide GHG emissions limit.
AB 32 also requires ARB to (1) implement regulations that achieve the maximum technologically feasible and cost-effective reduction of GHG emissions, (2) identify and adopt regulations for discrete early-action measures, and (3) prepare and approve a scoping plan, to be updated at least once every five years, to achieve the maximum technologically feasible and cost-effective reduction of GHG emissions. Due to a variety of factors, most importantly being the great recession that started in 2008, California will achieve the goals of AB 32 in advance of the 2020 deadline.
In 2016, the Legislature approved, and the Governor signed, SB 32 (Pavley, Chapter 249, Statutes of 2016), which requires ARB to ensure that statewide GHG emissions are reduced to at least 40% below the 1990 level by December 31, 2030. This new goal is known as the SB 32 target.
The following year, AB 398 (E. Garcia, Chapter 135, Statutes of 2017) was enacted to extend the authority of ARB to implement a cap-and-trade program to reduce GHG emissions throughout the state. AB 398 specified a variety of requirements on the post-2020 cap-and-trade program, most notable are (1) requiring the banking of allowances from the current cap-and-trade program into the post-2020 program, (2) specifying industry assistance factors for the post-2020 program, and (3) requiring that all GHG rules and regulations adopted by ARB must be consistent with the updated scoping plan. - Cap-and-Trade. The cap-and-trade program was recommended in the initial Scoping Plan as a market-based compliance mechanism to reduce GHG emissions over time. Pursuant to legal authority under AB 32, ARB adopted cap-and-trade regulations and those regulations were approved on December 13, 2011.
Sources of GHG emissions included under the cap are termed “covered” entities and must surrender one “compliance instrument” for every emissions unit (i.e., metric ton of carbon dioxide equivalent or MTCO2e) that it emits at the end of a compliance period. Revenues are generated from the sale of those compliance instruments. Two forms of compliance instruments are used: allowances and offsets.
Since November 2012, ARB has conducted eight California-only, 13 joint California-Québec, and one joint California-Québec-Ontario cap-and-trade auctions. To date, $7.2 billion has been generated by the cap-and-trade auctions and deposited into the GGRF. - Use of Cap-and-Trade Auction Revenue. State law specifies that the auction revenues must be used to facilitate the achievement of measurable GHG emissions reductions and outlines various categories of allowable expenditures. Statute further requires the Department of Finance, in consultation with ARB and any other relevant state agency, to develop a three-year investment plan for the auction proceeds, which are deposited in the GGRF. ARB is required to develop guidance for administering agencies on reporting and quantifying methodologies for programs and projects funded through the GGRF to ensure the investments further the regulatory purposes of AB 32.
Several bills have provided legislative direction for the expenditure of cap-and-trade auction proceeds to help California achieve its climate goals and provide benefits to disadvantaged communities (see Related/Prior Legislation). - Clean Truck Program. In 2014, the Clean Truck Program was established, to be administered by ARB in conjunction with CEC, with the intent to create a single, overarching program to develop and deploy zero- and near zero-emission heavy-duty vehicles. Specifically, the Clean Truck Program provides GGRF funds for projects that develop technology, demonstrate and pilot commercial and early-commercial deployment of zero and near zero emission medium- and heavy-duty truck technology, and facilitate clean goods movement.
As part of the Clean Truck Program, ARB helped develop zero-and near zero emission technologies for specified vehicles and equipment not only for trucks, but also for off-road vehicles and equipment at the ports as well as in agricultural, marine, and rail sectors. Within the Clean Truck Program, funding priority is generally given to projects that demonstrate benefit to disadvantaged communities, that have the ability to leverage additional public and private funding, and that provide the potential for co-benefits. - ARFVTP. AB 118 (Núñez, Chapter 750, Statutes of 2007) created ARFVTP at CEC. The statute, subsequently amended by Assembly Bill 109 (Núñez, Chapter 313, Statutes of 2008), and Assembly Bill 8 (Perea, Chapter 401, Statutes of 2013) authorizes CEC to develop and deploy alternative and renewable fuels and advanced transportation technologies to help attain the state’s climate change policies.
The statute allows CEC to use grants, loans, loan guarantees, revolving loans, and other appropriate measures. Eligible recipients include: public agencies, private businesses, public-private partnerships, vehicle and technology consortia, workforce training partnerships and collaboratives, fleet owners, consumers, recreational boaters, and academic institutions. CEC must prepare and adopt an Investment Plan and convene an Advisory Committee to assist in preparing the Investment Plan.
CEC has an annual program budget of approximately $100 million to support projects that:- Develop and improve alternative and renewable low-carbon fuels.
- Optimize alternative and renewable fuels for existing and developing engine technologies.
- Produce alternative and renewable low-carbon fuels in California.
- Decrease, on a full fuel cycle basis, the overall impact and carbon footprint of alternative and renewable fuels and increase sustainability.
- Expand fuel infrastructure, fueling stations, and equipment.
- Improve light-, medium-, and heavy-duty vehicle technologies.
- Retrofit medium- and heavy-duty on-road vehicle fleets.
- Expand infrastructure connected with existing fleets, public transit, and transportation corridors.
- Establish workforce training programs, conduct public education and promotion, and create technology centers.
- Develop and improve alternative and renewable low-carbon fuels.
Comments
- Purpose of Bill. According to the author, “it is critical that as we address air pollution through the incentivizing and development of zero emission technology that we prioritize investments in the middle and heavy duty sector. AB 2145 clarifies eligibility for new types of projects for both the California Energy Commission and California Air Resources Board programs to better facilitate the deployment of heavy duty electric vehicle infrastructure and sets a minimum amount of investment in middle and heavy duty zero emission infrastructure.”
- A question. AB 2145 contains a provision requiring that at least 20% of ARFVTP funds be allocated for the deployment of medium- and heavy-duty electric vehicle infrastructure. While there are medium-duty electric vehicles available, heavy-duty electric vehicles are still in the research and development stage. That being said, one of the statutory directions to CEC in implementing ARFVTP is “to develop and deploy innovative technologies that transform California’s fuel and vehicle types to help attain the state’s climate change policies.”
Additionally, AB 8 (Perea, Chapter 401, Statutes of 2013) required CEC to set aside $20 million (or 20% of ARFVTP funds) for hydrogen-fueling stations until there are at least 100 publicly available hydrogen-fueling stations in California.
A question for the Committee to consider: given the goal of ARFVTP “to develop and deploy innovative technologies that transform California’s fuel and vehicle types to help attain the state’s climate change policies,” and given that 20% of ARFVTP is already set aside for hydrogen fueling stations, is the research and development of heavy-duty electric vehicles advanced enough to justify setting aside another 20% of ARFVTP funds for the deployment of medium- and heavy-duty electric vehicle infrastructure?
Related/Prior Legislation
AB 1550 (Gomez, Chapter 369, Statutes of 2016) requires a minimum of 25% of GGRF moneys be spent on projects located within and benefiting disadvantaged communities and an additional minimum of 10% of GGRF moneys be spent on projects that benefit low-income households, or are within and benefit low-income communities.
SB 862 (Committee on Budget and Fiscal Review, Chapter 36, Statutes of 2014) established a long-term cap-and-trade expenditure plan by continuously appropriating portions of the funds for designated programs or purposes. The legislation appropriates 25% for the state’s high-speed rail project, 20% for affordable housing and sustainable communities grants, 10% to the Transit and Intercity Rail Capital Program, and 5% for low-carbon transit operations. The remaining 40% is available for annual appropriation by the Legislature.
SB 535 (de León, Chapter 830, Statutes of 2012) requires that 25% of GGRF moneys be used to benefit disadvantaged communities and requires that 10% of auction revenue be invested in disadvantaged communities.
SB 1018 (Committee on Budget and Fiscal Review, Chapter 39, Statutes of 2012) created the GGRF, into which all auction revenue is to be deposited. The legislation requires that before departments can spend moneys from the GGRF, they must prepare a record specifying: (1) how the expenditures will be used, (2) how the expenditures will further the purposes of AB 32 (Núñez and Pavley, Chapter 488, Statutes of 2006), (3) how the expenditures will achieve GHG emission reductions, (4) how the department considers other non-GHG-related objectives, and (5) how the department will document the results of the expenditures.
AB 118 (Núñez, Chapter 750, Statutes of 2007), creates, among other things, the ARFVTP and AQIP to provide funding measures to specified entities to develop and deploy technologies and alternative and renewable fuels in the marketplace to help attain the state’s climate change policies.
AB 1697 (Bonilla, Chapter 446, Statutes of 2016) expands the criteria for funding programs through ARFVTP to include workforce training.
AB 8 (Perea, Chapter 401, Statutes of 2013), extended until January 1, 2024, the fees that support AQIP and AFRVTP.
SB 1204 (Lara, Chapter 524, Statutes of 2014) creates the Clean Truck, Bus, and Off-Road Vehicle and Equipment Program to fund development, demonstration, pre-commercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies.
DOUBLE REFERRAL:
This measure is set to be heard in the Senate Transportation and Housing Committee on June 19, 2018 and this analysis does not reflect any changes that Committee may have made to the bill.
SOURCE:
CALSTART
SUPPORT:
None received
OPPOSITION:
None received
-- END --
SENATE COMMITTEE ON TRANSPORTATION AND HOUSING
Senator Jim Beall, Chair
2017 - 2018 Regular
Bill No: Hearing Date: 6/19/2018
Author: | Reyes | ||
Version: | 5/17/2018 | ||
Urgency: | No | Fiscal: | Yes |
Consultant: | Randy Chinn | ||
SUBJECT:
DIGEST: This bill modifies and updates the Clean Truck Program and Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP).
ANALYSIS:
Existing law:
- Requires the state Air Resources Board (ARB) to develop a plan to reduce emissions to 1990 levels by 2020. It also requires ARB to ensure programs that reduce greenhouse gas (GHG) emissions are targeted, to the extent feasible, to the most disadvantaged communities in the state. Pursuant to AB 32, ARB adopted a cap-and-trade program that caps allowable statewide GHG emissions and provides for the auctioning of emission credits, the proceeds of which are deposited into the Greenhouse Gas Reduction Fund (GGRF) for appropriation by the Legislature. This program is authorized until December 31, 2030.
- Establishes a target of reducing statewide GHG emissions to 80% below 1990 levels by 2050, and an interim statewide GHG emissions reduction target of 40% below 1990 levels by 2030.
- Establishes the Clean Truck Program to fund, using GGRF monies, development, demonstration, pre-commercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. At least 20% of the funding for the Clean Truck Program must go to early commercial development of existing zero- and near-zero-emission (ZEV and near-ZEV) heavy-duty truck technology, until December 31, 2020. ARB must prioritize projects that demonstrate benefit to disadvantaged communities, address technology and market barriers not addressed by other programs, and enabling technologies that benefit multiple technology pathways.
- Establishes the ARFVTP to develop and deploy alternative and renewable fuels and advanced transportation technologies to help attain the state’s climate change goals. This program, along with several others, is funded through surcharges on vehicle registration fees, a portion of the vessel registration fee, a portion of the Smog Abatement Fee (paid to register vehicles less than six model years old and therefore exempt from smog check), and an increase in the fee for identification plates for various types of vehicles, such as logging vehicles operated on public roads. The ARFBTP is administered by the California Energy Commission (CEC) at about $100 million annually. The CEC must allocate twenty million dollars ($20,000,000) annually, not to exceed 20% of the moneys appropriated, until there are at least 100 publicly available hydrogen-fueling stations in operation in California.
- Requires ARB to select locations around the state for preparation of community emissions reduction programs, based on specified criteria.
Clean Truck Program — The Clean Truck Program was established in 2014 to fund, using GGRF monies, development, demonstration, pre-commercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies. By statute, at least 20% of the funding for the Clean Truck Program must go to early commercial development of existing zero- and near-zero-emission heavy-duty truck technology, until December 31, 2020. ARB must prioritize projects that demonstrate benefit to disadvantaged communities, address technology and market barriers not addressed by other programs, and enabling technologies that benefit multiple technology pathways.
In October 2016, ARB allocated $59 million from the Clean Truck Program. ARB selected nine projects, to be supplemented with an additional $59 million in match funding from federal, state, local, and private sources. These projects included, among others, funding for EV charging infrastructure.
This bill revises the Clean Truck Program as follows:
- Authorizes the addition of the following specified technologies for funding: grid integration and integrated storage solutions, charging management demonstration, and analytics which support greater commercial motor vehicle and equipment freight efficiency and GHG reductions.
- Updates the program to require ARB to promote projects that assist the state in reaching its climate goals beyond 2030.
- Updates the program to include in the definition of disadvantaged communities those communities selected by the ARB for preparation of community emissions reductions programs.
Alternative and Renewable Fuel and Vehicle Technology Program — The ARFVTP was established in 2007 under the CEC to develop and deploy alternative and renewable fuels and advanced transportation technologies to help attain the state’s climate goals. It is authorized through 2023 and specifies that the CEC allocate up to $20 million per year (or up to 20% of each fiscal year’s funds) for hydrogen station development until at least 100 stations are operational. The ARFVTP provides approximately $100 million per year in competitive grant funding for projects that develop and deploy low-carbon fuels, fueling infrastructure, and advanced vehicle technologies. The program is funded through surcharges on vehicle registration fees, a portion of the vessel registration fee, a portion of the smog abatement fee, and an increase in the fee for identification plates for various types of vehicles
This bill revises the ARFVTP as follows:
- Authorizes “infrastructure entities” as eligible for ARFVTP grants and other financial incentives and adds development and deployment of “infrastructure” as one of the program emphases.
- Adds the following preference: deploying infrastructure not already deployed by other state agencies or utilities, to integrate fueling infrastructure and the grid, and to match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.
- Requires that at least 20% of funds will be spent on medium- and heavy-duty electric vehicle infrastructure.
COMMENTS
- Author’s Statement. AB 2145 makes changes to the Energy Commission Advanced and Renewable Fuel and Vehicle Technology Program and the Air Resources Board Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program. In summary, these changes include:
- Setting aside 20% of ARFVTP’s funding for medium- and heavy-duty vehicle charging infrastructure;
- Updating the programs to reflect the latest technological developments and the status of the clean vehicle market so that new project types are eligible for funding, and;
- Updates the programs’ guidelines and planning elements to ensure better coordination of programmatic investments between the agencies.
- Charging Infrastructure. The inadequacy of the refueling infrastructure is one of the barriers to the widespread adoption of ZEV and near-ZEV vehicles. Unlike the privately funded and widely available gas stations, EV charging stations and hydrogen refueling stations are heavily publicly subsidized and rarely available. An EV charging station costs as little as a few thousand dollars; hydrogen refueling stations a few million dollars.
- Utilities Plugging In. The investor-owned utilities (PG&E, Southern California Edison, San Diego Gas and Electric) have their own substantial medium- and heavy-duty electric vehicle charging programs funded through electric rates. PG&E will spend $236 million to support make-ready installations at a minimum of 700 sites, supporting the electrification of at least 6,500 medium- and heavy-duty fleet vehicles. SCE will spend $343 million to support make-ready installations at a minimum of 870 sites to support the electrification of at least 8,490 medium- or heavy-duty fleet vehicles. In addition, the utilities will collectively spent up to $197 million to install the infrastructure to support up to 12,500 charging stations.
- Lots of Love. The CEC provides significant support for medium- and heavy-duty vehicles in the ARFVTP. So far, that program has spent $126.8 million in support of these vehicles. In FY 2018-2019, the CEC allocates $17.5 million for charging and refueling infrastructure and alternative fuel and advanced technology freight and fleet vehicles. The CEC notes that it expects increasing demand for this technology, and will take those needs into account. However, one drawback to supporting charging infrastructure for heavy duty vehicles is that it may need to be located in areas inaccessible to the public for security purposes, unlike charging infrastructure for light duty vehicles which is typically more publicly accessible.
- Can’t Touch This. The most significant provision in this bill is the minimum 20% set aside in the ARFVRT program for medium- and heavy-duty vehicle charging infrastructure. But it isn’t clear why the Legislature would want to do this. As noted above, there’s no evidence that the CEC, or state programs more generally, are neglecting this area.
Reducing GHG emissions is a state goal to which California applies many state programs and spends billions of dollars. Determining how that money is best spent requires much analysis of which programs are most efficient at reducing GHG emissions in the long and short-term and potential tradeoffs between equity and efficiency, as well as strong coordination between the several state agencies managing the various programs. This is a dynamic process as economics, programs, science, technology and public policy values change. To declare a minimum set aside is to ignore this process, to the potential detriment of other worthy GHG reducing programs such as EV charging infrastructure in multi-unit dwellings or additional EV subsidies in disadvantaged communities. As noted in the prior comment, the CEC is aware of the need for infrastructure for medium- and heavy-duty vehicles and has provided significant funding. The bill adds a policy preference for deployment of infrastructure for light-, medium-, and heavy duty vehicles. Perhaps that’s enough. The author and committee may wish to delete this 20% set aside.
- Double Referral. This bill is double-referred to the Environmental Quality Committee.
Related Legislation:
SB 1403 (Lara, 2018) — extends the sunset on a set-aside within the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program (Clean Truck Program). This bill is pending in the Assembly.
SB 32 (Pavley, Chapter 249, Statutes of 2016) — required ARB to ensure that statewide GHG emissions are reduced at least 40% below 1990 levels by 2030.
AB 857 (Perea, 2015) — would have reserved 50% or $100 million annually, whichever is greater, of GGRF monies that are allocated to the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program (SB 1204 Program) to support the commercial deployment of existing zero- and near-zero emission heavy-duty truck technology that meets or exceeds the ARB’s optional low NOx standard between 2018 and 2023. AB 857 was held on the Senate Appropriations Committee suspense file.
SB 1204 (Lara, Chapter 524, Statutes of 2014) — created the Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program to fund development, demonstration, pre-commercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies.
AB 8 (Perea, Chapter 401, Statutes of 2013) — extended until January 1, 2024, the fees that support Air Quality and Improvement Program and AFRVTP.
AB 118 (Núñez, Chapter 750, Statutes of 2007) — created the ARFVTP and Air Quality Improvement Program to provide funding measures to specified entities to develop and deploy technologies and alternative and renewable fuels in the marketplace to help attain the state’s climate change policies
AB 32 (Núñez, Chapter 488, Statutes of 2006) — required ARB to develop a plan of how to reduce emissions to 1990 levels by the year 2020.
FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No
Assembly Votes:
Transportation: 13-0
Appropriations: 16-0
Floor: 78-0
POSITIONS: (Communicated to the committee before noon on Wednesday,
June 13, 2018.)
SUPPORT:
CALSTART (sponsor)
OPPOSITION:
None received.
-- END --
Date of Hearing: March 19, 2018
ASSEMBLY COMMITTEE ON TRANSPORTATION
Jim Frazier, Chair
ABPCA Bill Id:AB 2145 (
Author:Reyes) – As Amended Ver:March 15, 2018
SUBJECT: Vehicular air pollution
SUMMARY: Modifies the Clean Truck, Bus, and Off-Road Vehicle and Equipment Program (Clean Truck Program) to fund additional technologies and expands the criteria for funding through the Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP). Specifically, this bill:
- Modifies the Clean Truck Program as follows:
- Adds grid integration and integrated storage solutions, as well as charging management demonstration and analytics to the list of eligible projects that can be funded to support greater commercial motor vehicle and equipment efficiency.
- Requires the California Energy Commission (CEC) to advise the California Air Resources Board (ARB) on how to allocate money for vehicle charging infrastructure consistent with the CEC’s investment plan strategies on charging infrastructure.
- Requires ARB to promote projects that assist the state in reaching its climate goals beyond 2030 consistent with SB 32 (Pavley) of 2016 instead of by 2020, per AB 32 (Núñez) of 2006.
- Requires ARB to prioritize funding for communities with a community emissions reduction program.
- Expands the ARFVTP as follows:
- Adds infrastructure entities to the list of entities eligible for ARFVTP grants and other financial incentives.
- Requires CEC to emphasize the development and deployment of technology and infrastructure.
- Adds a project’s ability to:
- Deploy infrastructure not already deployed by other state agencies or utilities,
- Integrate fueling infrastructure and the grid, and;
- Match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles to the list on which CEC must base project prioritization.
EXISTING LAW:
- Requires ARB, pursuant to California Global Warming Solutions Act of 2006 [AB 32 (Núñez), Chapter 488, Statutes of 2006], to adopt a statewide greenhouse gas (GHG) emissions limit equivalent to 1990 levels by 2020 and adopt regulations to achieve maximum technologically feasible and cost-effective GHG emission reductions. AB 32 authorizes ARB to permit the use of market-based compliance mechanisms to comply with GHG reduction regulations, once specified conditions are met.
- Requires ARB to ensure that statewide GHG emissions are reduced to at least 40% below 1990 levels by 2030.
- Establishes the Greenhouse Gas Reduction Fund (GGRF) and requires all moneys, except for fines and penalties, collected by ARB from the auction or sale of allowances pursuant to a market-based compliance mechanism (i.e., the cap-and-trade program adopted by ARB under AB 32) to be deposited in the GGRF and available for appropriation by the Legislature.
- Establishes the Air Quality Improvement Program (AQIP), administered by ARB, to fund projects that reduce criteria air pollutants, improve air quality, and provide research for alternative fuels and vehicles, vessels, and equipment technologies.
- Establishes the Clean Truck Program, administered by ARB in conjunction with CEC, to use GGRF funds for development, demonstration, pre-commercial pilot, and early commercial deployment of zero- and near zero-emission truck, bus, and off-road vehicle and equipment technologies.
- Defines projects eligible for funding for the Clean Truck Program, to include, but not limited to, the following:
- Technology development, demonstration, pre-commercial pilots, and early commercial deployments of zero- and near zero-emission medium- and heavy-duty truck technology, including projects that help to facilitate clean goods movement corridors.
- Zero- and near zero-emission bus technology development, demonstration, pre-commercial pilots, and early commercial deployments, including pilots of vehicle fleets.
- Zero- and near zero-emission off-road vehicle and equipment technology development, demonstration, pre-commercial pilots, and early commercial deployments, including vehicles and equipment in the port, agricultural, marine, construction, and rail sectors.
- Purchase incentives, which may include point-of-sale, for commercially available zero- and near zero-emission truck, bus, and off-road vehicle and equipment technologies and fueling infrastructure to support early market deployments of alternative technologies.
- Projects that support greater commercial motor vehicle and equipment freight efficiency and GHG reductions, including, but not limited to, advanced intelligent transportation systems, autonomous vehicles and other freight information and operations technologies.
- Requires ARB, in consultation with CEC, to develop guidance through the existing AQIP funding plan process to implement the Clean Truck Program.
- Requires ARB, for the Clean Truck Program, to promote projects that assist the state in reaching its climate goals beyond 2020, consistent with AB 32, and prioritize projects that benefit disadvantaged communities, leverage funds, and provide co-benefits.
- Establishes the ARFVTP, administered by CEC, to provide grants and other financial incentives to accelerate the development and deployment of clean, efficient, low carbon alternative fuels and technologies.
- Defines entities eligible for ARFVTP grants and other financial incentives as; 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.
11) Requires CEC to prioritize projects that maximize ARFVTP goals based on the following criteria, as applicable:
a) Ability to provide a measurable transition to a diverse portfolio of viable alternative fuels that meet petroleum reduction and alternative fuel use goals.
b) Consistency with state climate change policy and low-carbon fuel standards.
d) Ability to reduce criteria air pollutants and air toxics and reduce or avoid multimedia environmental impacts.
e) Ability to decrease the discharge of water pollutants or other substances known to damage health or the environment, as specified.
f) Lack of adverse impact on the sustainability of the state’s natural resources, especially state and federal lands.
g) Provision of non-state matching funds.
h) Provision of economic benefits for the state by promoting California-based technology firms, jobs, and businesses.
i) Use of existing or proposed fueling infrastructure to maximize project outcome.
j) Ability to reduce GHG emissions by at least 10%, and higher percentages in the future, from current reformulated gasoline and diesel fuel standards established by ARB.
k) Use of alternative fuel blends of least 20% and higher blend ratios in the future, with a preference for projects with higher blends.
l) Ability to drive new technology advancement for vehicles, vessels, engines, and other equipment, and promotion of deployment of that technology in the marketplace.
m) Ability to transition workers to, or promote employment in, the alternative and renewable fuel and vehicle technology sector.
12) Limits eligibility for ARFVTP funding to the following:
a) Projects to develop and improve alternative and renewable low-carbon fuels, as specified.
b) Demonstration and deployment projects that optimize alternative and renewable fuels for existing and developing engine technologies.
c) Projects to produce alternative and renewable low-carbon fuels in California.
d) Projects to decrease the overall impact of an alternative and renewable fuel’s carbon footprint and increase sustainability.
e) Alternative and renewable fuel infrastructure, fueling stations, and equipment.
f) Projects to develop and improve light-, medium-, and heavy-duty vehicle technologies that provide for better fuel efficiency and lower GHG emissions, alternative fuel usage and storage, or emissions reductions.
g) Programs and projects that accelerate the commercialization of vehicles and alternative and renewable fuels.
h) Programs and projects to retrofit medium- and heavy-duty on-road and off-road vehicle fleets with technologies that create higher fuel efficiencies.
i) Infrastructure projects that promote alternative and renewable fuel infrastructure development connected with existing fleets, public transit, and existing transportation corridors.
j) Workforce training programs related 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 related sectors or occupations.
k) Block grants or incentive programs administered by public entities or nonprofit entities for projects, education, and program promotion within the state, and development of alternative and renewable fuel and vehicle technology centers.
l) 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.
m) 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.
13) Requires ARB to select locations around the state for preparation of community emissions reduction programs.
FISCAL EFFECT: Unknown
COMMENTS: AB 32 required ARB to develop a plan to reduce GHG emissions to 1990 levels by 2020 and, subsequently, SB 32 (Pavley) of 2016, requires ARB to ensure GHG emissions are reduced to at least 40 percent below 1990 levels by 2030. AB 32 also required ARB to ensure that GHG emissions reduction requirements and programs, to the extent feasible, directed public and private investment toward the most disadvantaged communities in the state. In addition,
AB 32 authorized ARB to adopt a schedule of fees to be paid by GHG emission sources and to deposit those monies into the GGRF, which would then be available upon appropriation by the Legislature, to carry out AB 32 requirements.
AB 118 (Núñez) of 2007 established the AQIP to be administered by ARB in consultation with local air districts. The AQIP is funded through various fees and surcharges on vehicles and provides competitive grants to fund projects that improve air quality. AQIP investments have concentrated on three main categories: commercial deployment of clean vehicles, pre-commercial advanced technology demonstrations, and financial assistance to small trucking fleets. AB 118 also established the ARFVTP, which is administered by CEC, and provides funding for development and deployment of alternative and renewable fuels and advanced transportation technologies to help attain the state’s climate change goals. Eligible projects include, for example, development, improvement, and production of alternative and renewable low-carbon fuels; improvement of light-, medium-, and heavy-duty vehicle technologies; and expansion of infrastructure connected with existing fleets, public transit, and transportation corridors. Additionally, as part of the ARFVTP, CEC prepares and adopts an annual investment plan that identifies the funding priorities for the coming fiscal year.
In 2014, the Clean Truck Program was established, to be administered by ARB in conjunction with CEC, with the intent to create a single, overarching program to develop and deploy zero- and near zero-emission heavy-duty vehicles. Specifically, the Clean Truck Program provides GGRF funds for projects that develop technology, demonstrate and pilot commercial and early-commercial deployment of zero and near zero emission medium- and heavy-duty truck technology, and facilitate clean goods movement. As part of the Clean Truck Program, ARB helped develop zero-and near zero emission technologies for specified vehicles and equipment not only for trucks, but also for off-road vehicles and equipment at the ports as well as in agricultural, marine, and rail sectors. Within the Clean Truck Program, funding priority is generally given to projects that demonstrate benefit to disadvantaged communities, that have the ability to leverage additional public and private funding, and that provide the potential for co-benefits.
To help incentivize the adoption of new technologies and update program guidelines, the author has introduced this bill. According to the author, “AB 2145 modernizes two important clean transportation grant programs at these two agencies (ARB and CEC) to reflect the status of clean vehicle technology. It makes eligible for funding new types of clean vehicle projects – such as grid integration and integrated storage solutions, charging management demonstration and analytics – an area that requires further research if the state is going to help electrify the medium- and heavy-duty zero-emission vehicle sector. Furthermore, it encourages more coordination between the Energy Commission and the Air Resources Board on how they invest in charging infrastructure so that their efforts are not duplicative”.
Writing in support and as sponsor of the bill, CALSTART notes that making changes to both programs to reflect the latest technological developments and the status of the clean vehicle market is necessary so new project types are eligible for funding. In addition, they believe updating the programs’ guidelines and planning elements ensures better coordination of investments between agencies.
Previous legislation: AB 617 (Cristina Garcia), Chapter 136, Statutes 2017, required, among other things, ARB to identify and select locations around the state for the preparation of community emissions reduction programs.
AB 1697 (Bonilla), Chapter 446, Statutes of 2016, expanded the criteria for funding programs through the state’s ARFVTP to include workforce training.
SB 32 (Pavley), Chapter 249, Statutes of 2016, required ARB to ensure that statewide GHG emissions are reduced at least 40% below 1990 levels by 2030.
AB 857 (Perea) of 2015, would have reserved 50% or $100 million annually, whichever is greater, of GGRF monies that are allocated to the California Clean Truck, Bus, and Off-Road Vehicle and Equipment Technology Program (SB 1204 Program) to support the commercial deployment of existing zero- and near-zero emission heavy-duty truck technology that meets or exceeds the ARB’s optional low NOx standard between 2018 and 2023. AB 857 was held on the Senate Appropriations Committee suspense file.
SB 1204 (Lara), Chapter 524, Statutes of 2014, created the Clean Truck Program to fund development, demonstration, pre-commercial pilot, and early commercial deployment of zero- and near-zero-emission truck, bus, and off-road vehicle and equipment technologies.
AB 8 (Perea), Chapter 401, Statutes of 2013, extended until January 1, 2024, the fees that support AQIP and AFRVTP.
AB 118 (Núñez), Chapter 750, Statutes of 2007, created the ARFVTP and AQIP to provide funding measures to specified entities to develop and deploy technologies and alternative and renewable fuels in the marketplace to help attain the state’s climate change policies
AB 32 (Núñez), Chapter 488, Statutes of 2006, required ARB to develop a plan of how to reduce emissions to 1990 levels by the year 2020.
REGISTERED SUPPORT / OPPOSITION:
Support
CALSTART (Sponsor)
Silicon Valley Leadership Group
Opposition
None on file
Analysis Prepared by: Cynthia Alvarez / TRANS. / (916) 319-2093
Date of Hearing: May 23, 2018
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Lorena Gonzalez Fletcher, Chair
ABPCA Bill Id:AB 2145
Author:(Reyes) – As Amended Ver:May 17, 2018
Policy Committee: | Transportation | Vote: | 13 - 0 |
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Urgency: No State Mandated Local Program: No Reimbursable: No
SUMMARY:
This bill modifies and updates the Clean Truck, Bus, and Off-Road Vehicle and Equipment Program (Clean Truck Program) and Alternative and Renewable Fuel and Vehicle Technology Program (ARFVTP). Specifically, this bill:
- Revises the Clean Truck Program as follows:
- Expressly states “grid integration and integrated storage solutions” and “charging management demonstration and analytics” are projects that support greater commercial motor vehicle and equipment freight efficiency and greenhouse gas (GHG) reductions for the purposes of the program.
- Requires the California Energy Commission (CEC) to advise the California Air Resources Board (ARB) on how to allocate money for vehicle charging infrastructure.
- Updates the program to require ARB to promote projects that assist the state in reaching its climate goals beyond 2030, pursuant to SB 32 (Pavley), Chapter 249, Statutes of 2016.
- Updates the program to include in the definition of disadvantaged communities those communities burdened by high concentrations of air pollutants, pursuant to AB 617 (C. Garicia) Chapter, 136, Statutes of 2018.
- Revises the ARFVTP as follows:
- Expressly states infrastructure entities are eligible for ARFVTP grants and other financial incentives.
- Adds the word “infrastructure” to the statement describing the emphasis of the program and declaring the program will be fuel and technology neutral.
- Adds, to the list describing projects that may receive preference “as applicable”, a project’s ability to deploy infrastructure not already deployed by other state agencies or utilities, to integrate fueling infrastructure and the grid, and to match infrastructure to the deployment of advanced light-, medium-, and heavy-duty vehicles.
- Specifies 20% of funds will be spent on medium- and heavy-duty electric vehicle infrastructure.
FISCAL EFFECT:
This bill is absorbable within existing resources.
COMMENTS:
- Purpose. To help incentivize the adoption of new technologies and update program guidelines, the author has introduced this bill. According to the author:
AB 2145 modernizes two important clean transportation grant programs to reflect the status of clean vehicle technology and encourages more coordination between CEC and ARB on how they invest in charging infrastructure so their efforts are not duplicative.
- Background. The Clean Truck Program is administered by ARB in conjunction with CEC, to develop and deploy zero- and near zero-emission heavy-duty vehicles. Specifically, the program provides Greenhouse Gas Reduction Funds (GGRF) for projects that develop technology, demonstrate and test commercial deployment of zero- and near-zero emission medium- and heavy-duty truck technology, and facilitate clean goods movement. Funding priority is generally given to projects that benefit disadvantaged communities, have the ability to leverage additional public and private funding, and provide air quality co-benefits.
The ARFVTP is administered by CEC and provides funding for development and deployment of alternative and renewable fuels and advanced transportation technologies to help attain the state’s climate change and air quality goals. CEC prepares and adopts an annual investment plan that identifies the funding priorities for the coming fiscal year.
- Governor’s Initiatives. The governor issued Executive Order B-48-18, establishing new goals and a $2.5 billion investment plan over eight years to reduce carbon emissions from transportation. The plan includes: a) 5 million zero-emission vehicles (ZEV) on the road by 2030 ($1.6 billion over eight years), and b) 250,000 ZEV chargers, including 10,000 fast charging stations, and 200 hydrogen fueling stations by 2025 ($900 million over eight years).
The governor’s budget proposes a total of $235 million at the CEC through the ARFVTP for electrical vehicle charging and hydrogen fueling infrastructure projects. Specifically, it makes the following funding shifts:
- Directs $77 million from various AB 118 programs to ZEV charging infrastructure.
- Directs a fund balance of $70 million ($15 million from the ARB’s Air Quality Improvement Fund and $55 million from ARFVTP) to ARFVTP.
- Transfers $88 million from the New Solar Homes Partnership Program to ARFVTP.
- Removes the current limits on annual expenditures for hydrogen fueling stations of $20 million, or 20% of the amount appropriated by the Legislature.
The figure below summarizes the AB 118 Program funding changes.
Governor’s ZEV Infrastructure Initiative Funding Proposal
in millions) AB 118 Program | 2017-18 Funding | Proposal | 2018-19 Funding | Ongoing Funding |
Low Carbon Fuel Production | $25 | Shift to GGRF | $0 | $0 |
Electric Charging Infrastructure | $20 | Expand | $235 | $95 |
Hydrogen Charging Infrastructure | $20 | Expand | (included above) | (included above) |
Advanced Freight and Fleet Technologies | $17.5 | AB 118 funding | $17.5 | $0 |
Manufacturing | $5 | Eliminate | $0 | $0 |
Emerging Opportunities | $4.2 | GGRF | $0 | $0 |
Workforce Training and Development | $3.5 | GGRF | $0 | $0 |
Numerous programs previously funded from AB 118 (Núñez, Chapter 750, Statutes of 2007) and subsequent legislation would not be funded from ARFVTF under the governor’s proposal. Specifically, funding for the low-carbon fuel production program is proposed to be backfilled by GGRF funds in 2018-19. Funding for Advanced Freight and Fleet Technologies or Alternative Fuel and Fleet Technologies would be reduced to $18 million and funded from ARFVTF on a one-time basis in 2018-19. Manufacturing funding would be eliminated and workforce training and other activities would be integrated into the proposed GGRF allocation for “research.”
This bill responds to the budget proposal and emphasizes legislative priorities for funding infrastructure for medium- and heavy-duty trucks in addition to passenger vehicles.
Analysis Prepared by: Jennifer Galehouse / APPR. / (916) 319-2081
Discussed in Hearing
1MIN
Assembly Floor
44SEC
Senate Floor
1H
Senate Standing Committee on Appropriations
4MIN
Senate Standing Committee on Transportation and Housing
3MIN
Assembly Standing Committee on Transportation
Bill Author
Bill Co-Author(s):