CALIFORNIA LEGISLATURE— 2023–2024 2nd Ext.

Assembly Bill
No. 6

Introduced by Assembly Member Lackey
(Coauthors: Assembly Members Alanis, Chen, Megan Dahle, Davies, Dixon, Gallagher, Joe Patterson, Ta, and Wallis)

September 11, 2024

An act to amend Section 21189.81 of the Public Resources Code, relating to environmental quality.


LEGISLATIVE COUNSEL'S DIGEST


AB 6, as introduced, Lackey. California Environmental Quality Act: expedited judicial review: petroleum storage projects.
The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of an environmental impact report (EIR) on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment.
CEQA authorizes the Governor to certify certain projects, including energy infrastructure projects, as defined, that meet specified requirements, including a requirement that the applicant agrees to pay the costs of preparing the record of proceedings for the project concurrent with review and consideration of the project, as specified, for streamlining benefits related to CEQA, such as the requirement that judicial actions challenging the certification of an EIR and the granting of approval by a lead agency for certified projects, including any potential appeals to the court of appeal or the Supreme Court, be resolved, to the extent feasible, within 270 days after the filing of the certified record of proceedings with the court. CEQA provides that the certification is no longer valid if the lead agency fails to approve the certified project before January 1, 2033.
This bill would revise the definition of “energy infrastructure projects” to include projects that increase the storage of petroleum products at a refinery meeting certain requirements. Because the bill would impose additional duties on lead agencies in conducting the environmental review of petroleum storage projects that are certified by the Governor, including the concurrent preparation of the record of proceedings, this bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that no reimbursement is required by this act for a specified reason.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: YES  

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


SECTION 1.

 Section 21189.81 of the Public Resources Code is amended to read:

21189.81.
 For purposes of this chapter, the following definitions apply:
(a) “Applicant” means a public or private entity or its affiliates, or a person or entity that undertakes a public works project, that proposes a project and its successors, heirs, and assignees.
(b) “Disadvantaged community” means an area identified by the California Environmental Protection Agency pursuant to Section 39711 of the Health and Safety Code or an area identified as a disadvantaged unincorporated community pursuant to Section 65302.10 of the Government Code.
(c) “Electrical transmission facility project” means a project for the construction and operation of an electrical transmission facility the meets either of the following:
(1) An electrical transmission facility project identified by the Independent System Operator in its annual transmission planning process that meets either of the following criteria:
(A) The project will facilitate delivery of electricity from renewable energy resources or zero-carbon resources.
(B) The project will facilitate delivery of electricity from energy storage projects.
(2) An electrical transmission facility project identified by a local publicly owned electric utility that would satisfy a transmission expansion need approved by the governing body of the local publicly owned electric utility and that meets either of the following criteria:
(A) The project will facilitate delivery of electricity from renewable energy resources or zero-carbon resources.
(B) The project will facilitate delivery of electricity from energy storage projects.
(d) (1) “Energy infrastructure project” means any of the following:
(A) An eligible renewable energy resource, as defined in Section 399.12 of the Public Utilities Code, excluding resources that utilize biomass fuels.
(B) New energy storage systems of 20 megawatts or more, that are capable of discharging for at least two hours, provided that a pumped hydro facility may qualify only if it is less than or equal to 500 megawatts and has been directly appropriated funding by the state before January 1, 2023.
(C) A project for which the applicant has certified that a capital investment of at least two hundred fifty million dollars ($250,000,000) made over a period of five years and the project is for either of the following:
(i) The manufacture, production, or assembly of an energy storage system or component manufacturing, wind system or component manufacturing, and solar photovoltaic energy system or component manufacturing.
(ii) The manufacture, production, or assembly of specialized products, components, or systems that are integral to renewable energy or energy storage technologies.
(D) An electric transmission facility project, provided that nothing in this chapter affects the jurisdiction of the California Coastal Commission pursuant to Division 20 (commencing with Section 30000) to regulate such projects if located in the coastal zone.
(E) A project to increase the storage of petroleum products at a refinery, if the project achieves both of the following:
(i) Prevents price spikes by increasing the supply of transportation fuels in reserve at a refinery.
(ii) Reduces emissions of greenhouse gases by eliminating the need to import petroleum products from out of state.

(E)

(F) An energy infrastructure project does not include projects utilizing hydrogen as a fuel.
(2) Any project to develop a facility within the meaning of subdivision (b) of Section 25545 shall meet the requirements of Sections 25545.3.3 and 25545.3.5, except that those requirements shall also apply to solar photovoltaic and terrestrial wind electrical generating power plants with a generating capacity of between 20 and 50 megawatts and energy storage projects capable of storing between 80 and 200 megawatt hours of electrical energy.
(e) “Infrastructure project” means a project that is certified pursuant to Sections 21189.82 and 21189.83 as any of the following:
(1) An energy infrastructure project.
(2) A semiconductor or microelectronic project.
(3) A transportation-related project.
(4) A water-related project.
(f) “Semiconductor or microelectronic project” means a project that meets the requirements related to investment in new or expanded facilities and is awarded funds under the federal Creating Helpful Incentives to Produce Semiconductors Act of 2022 (Public Law 117-167), commonly known as the CHIPS Act of 2022, and the requirements of Section 21183.5.
(g) (1) “Transportation-related project” means a transportation infrastructure project that advances one or more of, and does not conflict with, the following goals related to the Climate Action Plan for Transportation Infrastructure adopted by the Transportation Agency:
(A) Build toward an integrated, statewide rail and transit network.
(B) Invest in networks of safe and accessible bicycle and pedestrian infrastructure.
(C) Include investments in light-, medium-, and heavy-duty zero-emission vehicle infrastructure.
(D) Develop a zero-emission freight transportation system.
(E) Reduce public health and economic harms and maximize community benefits.
(F) Make safety improvements to reduce fatalities and severe injuries of all users towards zero.
(G) Assess and integrate assessments of physical climate risk.
(H) Promote projects that do not significantly increase passenger vehicle travel.
(I) Promote compact infill development while protecting residents and businesses from displacement.
(J) Protect natural and working lands.
(2) Transportation-related projects are public works for the purposes of Section 1720 of the Labor Code and shall comply with the applicable provisions of Chapter 1 (commencing with Section 1720) of Part 7 of Division 2 of the Labor Code.
(h) (1) “Water-related project” means any of the following:
(A) A project that is approved to implement a groundwater sustainability plan that the Department of Water Resources has determined is in compliance with Sections 10727.2 and 10727.4 of the Water Code or to implement an interim groundwater sustainability plan adopted pursuant to Section 10735.6 of the Water Code.
(B) (i) A water storage project funded by the California Water Commission pursuant to Chapter 8 (commencing with Section 79750) of Division 26.7 of the Water Code.
(ii) In addition to clause (i), the applicant shall demonstrate that the project will minimize the intake or diversion of water except during times of surplus water and prioritizes the discharge of water for ecological benefits or to mitigate an emergency, including, but not limited to, dam repair, levee repair, wetland restoration, marshland restoration, or habitat preservation, or other public benefits described in Section 79753 of the Water Code.
(C) Projects for the development of recycled water, as defined in Section 13050 of the Water Code.
(D) Contaminant and salt removal projects, including groundwater desalination and associated treatment, storage, conveyance, and distribution facilities. This shall not include seawater desalination.
(E) Projects exclusively for canal or other conveyance maintenance and repair.
(2) Water-related projects are public works for the purposes of Section 1720 of the Labor Code and shall comply with the applicable provisions of Chapter 1 (commencing with Section 1720) of Part 7 of Division 2 of the Labor Code.
(3) “Water-related project” does not include the design or construction of through-Delta conveyance facilities of the Sacramento-San Joaquin Delta.

SEC. 2.

 No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because a local agency or school district has the authority to levy service charges, fees, or assessments sufficient to pay for the program or level of service mandated by this act, within the meaning of Section 17556 of the Government Code.

Statutes affected:
ABX2 6: 21189.81 PRC
09/11/24 - Introduced: 21189.81 PRC