California Air Resources Board

Requires the California Environmental Protection Agency (CalEPA) to conduct a study on the costs of climate change to the State and requires responsible parties with greenhouse gas emissions greater than 1 billion metric tons globally from 1990 to 2024 to pay a cost recovery demand proportionate to their share of emissions compared to total anthropogenic greenhouse gas emissions. Authorizes responsible parties to pay the cost recovery demand in 20 annual installments, with the first installment equaling 10%of the cost recovery demand. Creates the Polluters Pay Climate Fund and continuously appropriates the funding generated by the cost recovery demands to the Fund for projects that avoid, mitigate, repair, or adapt to negative climate change impacts, with a minimum of 40%of funded projects benefitting environmental justice populations. Was not heard in the Assembly Natural Resources Committee at the request of the author.

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Summary

Would have required CARB's executive officer to review a local air district’s submitted proposed permit for a Title V facility and, if the executive officer determines that the permit does not comply with the federal Clean Air Act or State law governing air pollution, to object to the issuance of that permit. The bill would have prohibited the local air district from finalizing the proposed permit without revising it to the satisfaction of CARB’s executive officer. The bill also would have established a public petition process regarding the proposed Title V permit, as specified.

The bill would have required an applicant to submit a technical feasibility analysis to the local air district as part of its permit renewal application for a Title V facility if its current operating permit includes equipment or control apparatus that meets certain criteria. The bill would have required a local air district to require best available retrofit control technology to be applied at each piece of equipment or source category identified in the technical feasibility analysis.

The bill would have revised CARB's precertification program, including requiring CARB to update criteria and guidelines for precertification at least once every eight years. The bill would have authorized the precertification program to include the identification of equipment, controls, fuels, and processes, as specified.

The bill would have revised requirements for a local air district’s expedited permit system. The bill, among other things, would have required CARB to issue determinations for best available control technology and best available retrofit control technology, and to establish best available control technology for toxic air contaminants. Held on suspense in the Senate Appropriations Committee.

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Would have required all agencies and departments subject to the Governor’s authority to develop or update their strategic plan to reflect the use of data analysis and inclusive practices to more effectively advance racial equity and to respond to identified disparities with changes to the organization’s policies, programs, and operations. Applicable agencies and departments would have been required to report their progress the Governor and Joint Legislative Budget Committee by April 1, 2026, and each April 1 thereafter. This bill would have also required agencies and departments to engage with and gather input from California communities that have been historically disadvantaged and underserved within the scope of policies or programs administered or implemented.

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Governor’s Veto Message

To the Members of the California State Assembly:

 I am returning Assembly Bill 766 without my signature.

 This bill would require agencies, departments, offices, or commissions under the Governor's authority to develop or update their strategic plans to more effectively advance racial equity and respond to identified disparities with changes to the organization's policies, programs, and operations. This bill would also require each entity to report to the Legislature and Governor, by April 1, 2026, and annually thereafter, on the steps taken to develop and adopt a strategic plan.

 I share the author's goal to ensure equity is embedded within my Administration's actions and plans. In 2022, I signed EO N-16-22, which provided a framework towards helping make the California Dream a reality for every one of us. That EO also created the 11-member Racial Equity Commission to recommend tools, methodologies, and opportunities to address inequities facing historically underserved and marginalized communities across the state.

Unfortunately, the bill's timelines for reporting on strategic plans, along with the additional information entities must include in their plan and uncertainty around which entities are required to comply, are unworkable. Lastly, expanding the reporting requirements to all entities under my purview with these accelerated timelines will lead to significant costs not accounted for in this year's final budget agreement.

 In partnership with the Legislature this year, my Administration has enacted a balanced budget that recognizes the challenging fiscal landscape our state aces while maintaining our commitment to working families and our most vulnerable communities. With significant fiscal pressures and the federal government's hostile economic policies, it is vital that we remain disciplined when considering bills with significant fiscal implications that are not included in the budget, such as this measure.

 For these reasons, I cannot sign this bill.

 Sincerely,

Gavin Newsom

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Requires State or local agencies that directly or by contract collects demographic data as to the ancestry or ethnic origin of Californians to expand the categories to include major Middle Eastern or North African groups in any provided form that offers respondents the option of selecting one or more ethnic or racial designations. The aggregated data can be shared with the public, but not data that would permit identification of individuals.

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Requires the South Coast Air Quality Management District (SCAQMD) board to update Rule 1157 to improve air quality and increase data collection. The bill requires permanent and temporary aggregate operations, by January 1, 2027, to install and maintain a fenceline monitoring system, maintain fencing above the height of open piles, limit open storage piles to 8 feet tall if the covered facility is within 500 feet of a sensitive receptor, and cease all activities if PM10 emissions reach threshold limit set by SCAQMD. The bill requires, on and after July 1, 2027, that a covered facility with a demonstrated history of PM10 emissions at or above the threshold limit set by the SCAQMD and whose property line is within 500 feet of a sensitive receptor to fully enclose any existing open storage piles. Was not heard in the Assembly Natural Resources Committee.

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Would have required the Department of General Services (DGS) to require a light-duty vehicle supplier for State vehicle fleets to certify that the raw materials utilized for the manufacturing of the supplied vehicles were not mined by child labor. This bill would have also required the vehicle supplier to certify to DGS the locations and hourly wage of the workers that mined the raw materials. This bill also would have required DGS to post on its website the specified information provided by the vehicle supplier. Held on suspense in the Senate Appropriations Committee.

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Summary

Would have required the California Energy Commission (CEC) to develop a Master Plan for Healthy, Sustainable, and Climate-Resilient Schools on or before March 31, 2026, with input from a number of State agencies, including CARB.

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Governor’s Veto Message

To the Members of the California State Senate:

I am returning Senate Bill 1182 without my signature.

This bill requires the California Energy Commission (CEC), in consultation with multiple state entities, to develop a specified Master Plan for Healthy, Sustainable, and Climate-Resilient Schools on or before March 31, 2026.

This bill would result in costs in the multiple millions of dollars not accounted for in the 2024 Budget Act. While I support the author's goal of making our schools more climate-friendly and climate-prepared, this proposal should be considered as part of the annual budget process. Notably, last year I vetoed a substantially similar bill based on the same concerns.

In partnership with the Legislature this year, my Administration has enacted a balanced budget that avoids deep program cuts to vital services and protected investments in education, health care, climate, public safety, housing, and social service programs that millions of Californians rely on. It is important to remain disciplined when considering bills with significant fiscal implications that are not included in the budget, such as this measure.

For these reasons, I cannot sign this bill.

Sincerely,

Gavin Newsom

View Governor’s veto message here

Summary 

Would have required the Department of General Services (DGS) to require a zero-emission vehicle (ZEV) supplier for state vehicle fleets to certify that the raw materials utilized for the manufacturing of the supplied ZEVs were not mined by child labor. This bill would have also required the ZEV supplier to certify to DGS the locations and hourly wage of the workers that mined the raw materials. This bill also requires DGS to post on its website the specified information provided by the ZEV supplier. Held on suspense in the Senate Appropriations Committee. 

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Would have amended the California Constitution to declare that the people have a right to clean air and water and a healthy environment. Missed deadline for bill passage in the Assembly.

Would have increased the priority population minimum investment amounts for California Climate Investments from 25% to 50% for disadvantaged communities and from 5% to 15% for low-income communities. Was not heard in the Assembly Natural Resources Committee.