California Air Resources Board

Summary 

Would have required CARB, if CARB requires a fleet owner to acquire zero-emission vehicles (ZEVs) as part of its fleet, to authorize the rental of a ZEV or vehicles for a cumulative total of 260 days in a calendar year to be deemed ownership of one ZEV for purposes of meeting that obligation. This provision would have resulted in the exemption of any vehicles rented less than 260 days as not a part of the “owned fleet,” thereby reducing the fleet’s compliance obligation under CARB’s Advanced Clean Fleets (ACF) Regulation.  

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Governor’s Veto Message 

To the Members of the California State Assembly:  

I am returning Assembly Bill 637 without my signature.  

This bill would require the California Air Resources Board (CARB) to authorize a fleet owner's rental of a zero-emission vehicle (ZEV) for a cumulative total of 260 days per year to be considered ownership of one ZEV for the purpose of complying with the Advanced Clean Fleets (ACF) regulation.  

In 2020, I issued Executive Order (EO) N-79-20, which directed CARB, among other things, to develop strategies to transition in-state sales of new passenger vehicles and trucks to 100 percent zero-emission by 2035, where feasible. Pursuant to this EO, CARB developed the ACF to accelerate transportation sector emission reductions while providing safe, feasible, and flexible compliance options for affected fleet owners that have over 50 vehicles or over $50 million in gross annual revenue.  

This bill would allow rental vehicle companies to circumvent the ACF regulations, and the flexible and balanced compliance mechanisms CARB has already created, with a new and unclear compliance mechanism. I am concerned this will jeopardize our clean air goals at a time when the state awaits action on its Clean Air Act waiver by the United States Environmental Protection Agency.  

With that, I encourage the rental vehicle companies to work toward meeting the ACF regulations, and if there are insurmountable challenges, to work with CARB to explore practical and alternative compliance pathways through the existing regulatory process.  

For these reasons, I cannot sign this bill.  

Sincerely,  

Gavin Newsom 

View Governor’s veto message here 

Summary 

This bill would have required CARB, when providing a voucher for the purchase of a new or used drayage truck, to ensure the incentive amount be determined pursuant to a sliding scale that authorizes increased vouchers in different amounts for fleets of 50 or fewer, 30 or fewer, or 5 or fewer vehicles. The bill would have also required CARB, when administering incentives specified by this bill, to prioritize fleets of five or fewer trucks and drayage operations transporting goods between the Ports of Los Angeles, Long Beach, or Oakland and warehouses located in the State. Was not heard in the Senate Environmental Quality Committee. 

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Summary

Would have required CARB to adopt regulations to improve air quality in population centers located in valleys and would have required each local air district to implement those regulations with regard to stationary sources located within its jurisdiction. The bill would have made those requirements inoperative on January 1, 2029, and would have required CARB, by January 1, 2030, to submit a report to the Legislature describing any air quality improvements resulting from those regulations. Held on suspense in the Assembly Appropriations Committee.

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Summary 

Would have required State agencies and departments to consider the use of more inclusive practices to advance equity and defined “equity” as addressing the disparities in opportunities and outcomes of underserved populations, and empowering and meeting the unique needs of diverse and underserved populations, to ensure that communities facing the greatest inequities are not left behind, in a fair and just way. Moved to the Senate Inactive File.

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Summary 

Requires CARB, if CARB requires a fleet owner to acquire zero-emission vehicles as part of its fleet, to authorize the rental of a zero-emission vehicle or vehicles for a cumulative total of 260 days in a calendar year to be deemed ownership of one zero-emission vehicle for purposes of meeting that obligation. This provision would result in the exemption of any vehicles rented less than 260 days as not a part of the “owned fleet,” thereby reducing the fleet’s compliance obligation under CARB’s Advanced Clean Fleets regulation. Was not heard in the Assembly Transportation Committee.

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Summary 

This bill (1) Requires CARB to create a list of cities that contain both a DAC, and some portion of the city is in the top 10 percentile of worst air quality in the state for diesel particulate matter. The bill requires CARB to publish this list of cities on its internet website; (2) bans the operation of heavy-duty diesel fueled vehicles within the city limits of any cities on the aforementioned list. However, the bill provides a number of exemptions to this requirements including emergency vehicles, vehicles operated by utilities, agricultural vehicles, tanks, and out-of-state vehicles; and (3) Create an incentive program to be administered by the South Coast Air Quality Management District for the purchase of zero-emission or natural gas trucks. Was not heard in the Assembly Transportation Committee.

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Summary 

Requires State agencies and departments to consider the use of more inclusive practices to advance equity and defines “equity” as addressing the disparities in opportunities and outcomes of underserved populations and empowering and meeting the unique needs of diverse and underserved populations, to ensure that communities facing the greatest inequities are not left behind. Moved to the inactive file in on the Senate Floor.

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