Environmental justice groups want cap-and-trade revenue

By CMTA Staff

Capitol Update, June 3, 2011 Share this on FacebookTweet thisEmail this to a friend

SB 535 (Kevin De Leon, D-Los Angeles) directs that cap-and-trade auction revenues, with no dollar cap, be spent on programs for the “most impacted and disadvantaged communities” in California.  The purposes for which the money could be used include “mitigation of climate change impacts” and “green collar training programs” as well as greenhouse gas reductions in those communities.

AB 32 already directs California Air Resources Board (CARB) “to the extent feasible, to direct public and private investment toward the most disadvantaged communities in California and to provide an opportunity for small businesses, schools, affordable housing associations, and other community institutions to participate in and benefit from statewide efforts to reduce greenhouse gas emissions.

SB 535 would jump ahead of CARB plans to host a public process to develop recommendations to the Legislature and Governor describing the types of projects and programs to be funded, eligibility criteria, and the selection, oversight, and accountability process for the projects and programs to be funded.

The bill decides where billions could be spent without understanding how other vital purposes will be impacted, such as lowering costs for ratepayers, offsetting higher gasoline prices, energy efficiency programs, and saving jobs in manufacturing and other AB 32 impacted industries.

And there is no scientific or economic analysis to justify the bill’s overly vague definition of “impacted disadvantaged communities”.

CMTA opposes SB 535.  It just passed out of the Senate to be heard next in an Assembly policy committee.

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