HomeMy WebLinkAboutAgenda Bill 3.A 08/02/2010`~ ~ L U~t
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DATE
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FROM
August 2, 2010
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Honorable Mayor and Members of the City Council
John C. Brown, City Manager
SUBJECT: Resolution Opposing Proposition 23 -The California Jobs Ballot Initiative to
Suspend the Clean Energy and Air Pollution Control Standards of the Global
Warming Solutions Act of 2006 (AB32)
RECOMMENDATION
It is recommended that the City Council adopt the attached resolution Opposing Proposition 23 -
the California Jobs Ballot: Initiative to Suspend the Clean Energy and Air Pollution Control
Standards of the Global Warming Solutions Act of 2006 (AB32).
BACKGROUND
Assembly Bi1132, the Global Warming Solutions Act of 2006, requires that California's
greenhouse .gas emissions be reduced to 1990 levels by 2020. A Climate Change Proposed
Scoping Plan was approved by the California Air Resource Board in December of 2008 that
holds polluters accountable'fortbeir emissions and outlines a plan to reduce California's carbon
footprint by 15%. The implementation of the plan will improve, the environment, reduce
dependence on oil, diversify energy sources, save energy, create new jobs, and enhance public
health.
DISCUSSION
Assemblyman Dan Logue authored a ballot measure titled `California Jobs Initiative' that will be
on the November 2010 ballot. This measure qualified for the November ballot on June 22, 2010
and is now called Proposition 23 (attached). Proposition 23 requests that:the regulations
established in AB32 and the subsequent Climate Change Proposed Scoping Plan be suspended
until the California unemployment rate is 5.5% or lower for four consecutive quarters.
A~uments in Favor of the Ballot Initiative
Supporters of the measure claim that approximately one million California jobs would be lost
because, manufacturers would be forced to move out of state or use foreign labor to circumvent
the regulations established in the Global Warming Solutions Act of 2006. They also claim that
the. State already proposes to cut personnel in numerous State environmental regulatory agencies,
and thatimplementing and monitoring compliance with AB32 could cause the State to maintain
Agenda Review:
Dept. Director City Attorney Finance Director City Manager
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those jobs, thus .putting,.a further burden on the State's budget. Additionally, they argue that
California produces only 1.4% of the world's greenhouse gas emissions, so efforts to address
climate change in California alone would be ineffective and unsuccessful.
Arguments in Opposition'to the Ballot Initiative
The California Air Resources Board concluded that AB32. would likely have a positive net effect
on California's economy; fuel expenditures would drop by 4.9% as a result of greater investment
in energy efficiency; and California's economy would g"row by 2.4% per year. California is
expected to create about two million jobs by 2020 regardless of whether AB32 is implemented,
but AB32 would give the state a small job boost by adding about 1-0,000 jobs in the next ten
years. When AB32 was adopted; it was widely supported by businesses, labor groups,
environmentalists, and health organizations. It builds on decades of state policies on green
energy, putting California in the forefront of the green technology industry. Suspending AB32
regulations would create more air pollution in California and threaten public health as well as
harming the newly emerging clean energy industry that is creating new jobs in wind, solar and
other renewable energy fields and clean technologies.
Opposing the suspension of AB32's clean energy and air pollution. control standards would be
consistent with the City of Petaluma's Climate Action Plan acid the goals Petaluma has set to
reduce greenhouse gas emissions.
>FINANCIAI~ IMPACTS
None known at this time.
ATTACHMENTS
1. Resolution
2. Proposed ballot measure
d"
ATTACHMENT 1
RESOLUTION OPPOSING PROPOSITION 23 -THE CALIFORNIA JOBS BALLOT
INITIATIVE"TO SUSPEND 'THE CLEAN ENERGY AND AIR POLLUTION CONTROL
STANDARDS OF THE GLOBAL WARMING SOLUTIONS ACT OF 2006 (AB32)
WHEREAS, on September 27, 2006, the California legislature passed the Global.
Waiming Solutions Act of 2006, AB32, a clean energy and air pollution control law that holds
polluters accountable for their emissions and requires them to reduce air pollution that threatens
human health and contributes to climate change; and
WHEREAS, suspending AB32 regulations would create more air pollution in California
and threaten public health, and would be harmful to California's newly emerging clean energy
industry that is creating new jobs in the wind, solar, and other renewable energy fields and clean
technologies that will reduce energy cost and dependence on non-renewable and polluting fossil
fuels; and
WHEREAS, the suspension of AB32's clean energy and air pollution control standards is
opposed. by a broad coalition of businesses, environmental organizations, public health
advocates, and various elected officials; and
WHEREAS, opposing the suspension of AB32's clean energy and air pollution control
standards is consistent with the goals and policies of Petaluma's Climate Action Plan.
NOW, THEREFORE, BE IT RESOLVED that the City of Petaluma opposes Proposition
23 and the: suspension of AB32's clean energy and air pollution control standards.
3
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SECTION 1. STATEMENT OF FINDINGS
A. In 2006, the Legislature and. Governor enacted a sweeping environmental law, AB 32.
While protecting the environment is of utmost importance, we must balance such
regulation with the ability to maintain jobs and protect our economy.
B. At the time the bill was signed, the unemployment rate in California was 4.8%.
California's unemployment rate has since skyrocketed to more than 12%.
C. Numerous economic studies predict that complying with AB 32 will cost Californians
billions of dollars with massive increases in the price of gasoline, electricity, food and
water, further punishing. California consumers and households.
D. California businesses cannot drive our economic recovery and create the jobs we need
when faced with billions of dollars in new regulations and added costs; and
E. California families being hit with job losses, pay cuts and furloughs cannot afford to pay
the increased prices that will be passed onto them as a result of this legislation right now.
SECTION 2. STATEMENT OF PURPOSE
A. 'The people desire to temporarily suspend the operation and implementation of AB 32 until
the state's unemployment rate returns to the levels that existed at the time of its adoption.
SECTION 3. SUSPENSION OF AB 32
Division 25.6 (commencing with section 38600) of the Health and Safety Code is hereby
added to .read:
i
§38600(a) From"and after the effective date of this measure, Division 25.5(commencing
with. section 38500) of the Health and Safety Code is suspended until such time as the
unemployment rate in California is 5.5% or less for four consecutive calendar quarters.
(b) Whine suspended, no state agency shall propose, promulgate,. or adopt any regulation
implementing Division 25.5(commencing with section 38500) and any regulation
adopted prior to the effective date of this measure shall be void and unenforceable until
such time as the suspension is lifted.
~~®p~osa$~oa~, 23
Initiative Statute
14'54. (09-0104] -Final Random Sample Update - 06/22/.1.0
Sulspends Air Pollution Control .Laws.Requiring PWajor Polluters to Report and Reduce
Greenhouse Gas Emissions That Cause :Global 1A/arming Until .Unemployment Drops Below
Specified Level for Full Year.
Qualified: 06/22/10
Proponent: Thomas W. Hiltachk°'(,916) 442-7757
Suspends State laws requiring reduced greenhouse gas, emissions that cause global warming, until ~
California's unemployment rate dropsto 5.5 percent or less for four consecutive quarters. Requires
State to abandon implementation of .comprehensive greenhouse-gas-reduction program that
includes increased renewable energy and cleaner fuel requirements, and mandatory emission
reporting and fee requirements for major polluters such as power plants and oil refineries, until
suspension is lifted. Summary of estimate by Legislative Analyst 'and Director of Finance of fiscal
impact on state and local government: Potential positive, short-term impacts on state and
IocaC government revenues from the suspension of regulatory' activity, with uncertain
.longer-rurr impacts. Potential foregone state revenues from the auctioning of emission
allowances'by state government, by suspending the future implementation of cap-and-
trade regulations. (09-0104.)