STATUS: signed into law in 2006; Air Resources Board Scoping Plan approved at the Board's hearing on December 12, 2008.
ADMINISTRATOR: California Air Resources Board (CARB)

SUMMARY
Assembly Bill 32 aims to reduce Greenhouse Gas (GHG) emissions to 1990 levels by 2020, which equals a reduction of approximately 25 percent, and then an 80 percent reduction below 1990 levels by 2050.

The law establishes a first-in-the-world comprehensive program of regulatory and market mechanisms to achieve real, quantifiable, cost-effective reductions of GHGs; makes the Air Resources Board (ARB) responsible for monitoring and reducing GHG emissions; continues the existing Climate Action Team to coordinate statewide efforts; and authorizes the Governor to invoke a safety valve in the event of extraordinary circumstances, catastrophic events or the threat of significant economic harm, for up to 12 months at a time.1

WHY IT MATTERS
• Climate change is one of the most serious environmental issues facing California and the world.
• California alone is the world's 12th largest source of carbon dioxide, which is the leading contributor to global warming and climate change.
• GHG reduction strategies will also:
o Protect and improve public health
o Promote the development of clean energy
o Provide a model for regional, federal, and international programs
o Foster opportunities for economic growth

AB 32 REQUIRES CARB TO:

• • Establish a statewide GHG emissions cap for 2020, based on 1990 emissions by January 1, 2008.
• • Adopt mandatory reporting rules for significant sources of greenhouse gases by January 1, 2008.
• • Adopt a plan by January 1, 2009 indicating how emission reductions will be achieved from significant GHG sources via regulations, market mechanisms and other actions.
• • Adopt regulations by January 1, 2011 to achieve the maximum technologically feasible and cost-effective reductions in GHGs, including provisions for using both market mechanisms and alternative compliance mechanisms.
• • Convene an Environmental Justice Advisory Committee and an Economic and Technology Advancement Advisory Committee to advise CARB.
• • Ensure public notice and opportunity for comment for all CARB actions.
• • Prior to imposing any mandates or authorizing market mechanisms, requires CARB to evaluate several factors, including but not limited to: impacts on California's economy, the environment, and public health; equity between regulated entities; electricity reliability, conformance with other environmental laws, and to ensurethat the rules do not disproportionately impact low-income communities.
• • Adopt a list of discrete, early action measureby July 1, 2007 that can be implemented before January 1, 2010 and adopt such measures.

LOCAL GOVERNMENT ACTION
The AB32 scoping plan identified local governments as being an essential partner in the state's effort to reduce greenhouse gas (GHG) emissions as outlined in AB 32, California's Global Warming Solutions Act of 2006. CARB adopted the Local Government Operartions Protocal to provide guidance on how to inventory and report greenhouse gas emissions. CARB encourages local governments to use the protocol to track their progress in acheiving reductions from municipal operations. The passage of SB 375 (2008) creates a process whereby local governments and regional transoportation planning agencies work together to acheive reductions through integrated development patterns, improved transportation planning and other transportation measures and policies.2

1 California Air Resources Board, AB 32 Fact Sheet - California Global Warming Solutions Act of 2006, September 25, 2006, www.arb.ca.gov/cc/factsheets/ab32factsheet.pdf (last viewed on April 15, 2009)

2 Climate Change Proposed Scoping Plan: www.arb.ca.gov/cc/scopingplan/document/psp.pdf, pg 27 (last accessed April 22, 2009)