CSAC Bulletin Article

Senate Budget Committee Approves $1.5 Billion Cap & Trade Plan

September 14, 2017

The Senate Budget Committee voted to approve a $1.5 billion in expenditures from the Greenhouse Gas Reduction Fund (GGRF) for FY 17-18 laid out in measures AB 109 and AB 134. The two measures are Budget Bill Trailer Bills and contained a mix of expenditure items, but predominately contained the expenditure plan for funds from the GGRF. These two measures made some slight modification from the proposed Cap & Trade expenditure plan put forth by the Administration two weeks ago.

Two expenditure items strongly supported by CSAC, and other local government advocates, were $40 million to Cal Recycle to increase waste diversion from landfills and $345.8 million for Forestry and Natural Resources projects including funds for urban greening and forest fire prevention efforts. During the hearing, the Administration cited waste diversion as one of the most cost effective ways of reducing greenhouse gas emissions.

These measures come after the passage of AB 398 earlier this year which stabilized the Cap & Trade program. A major focus of the expenditures were funds to decrease the use of diesel powered vehicles and improvement in air quality in areas that are effected by freight transportation exhaust. In addition, the agriculture sector received increased funds to help reduce greenhouse gasses from a variety of sources within the industry.

Please click here for a rough breakdown of the expenditures included in AB 109 & AB 134.

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