This week, the Legislature begun discussions on how to spend proceeds from California’s Cap-and-Trade auction. The Assembly Budget Subcommittee on Resources and Transportation held a hearing on Wednesday, and the Senate Budget Subcommittee on Resources, Environmental Protection, Energy and Transportation held a hearing on Thursday to discuss Cap-and-Trade expenditures. RCRC was present at both hearings to address the need for significant investments in healthy forest programs, as well as advocating for a change in the way the State defines “disadvantaged communities” for the purposes of allocating auction proceeds.
In July, the Legislature and Governor Brown negotiated and passed the Cap-and-Trade extension. With the extension, the Legislature and the Administration must settle on how to spend auction proceeds for the 2017-18 budget year. An expenditure plan is expected to be finalized before the end of the 2017 Legislative Session.
Of importance to RCRC member counties, the Cap-and-Trade extension eliminates the State Responsibility Area fee permanently, and backfills the fund from Cap-and-Trade auction proceeds through 2030. RCRC continues to work hard to advocate for significant funding for healthy forest programs to alleviate wildfire risk and aid in tree mortality mitigation, and advocating for a modified definition of disadvantaged communities that will allow more rural areas to compete for targeted Cap-and-Trade dollars. RCRC also continues supporting funds for organics diversion programs and wood stove replacement programs.
RCRC’s letter to the Assembly Budget Subcommittee on Resources and Transportation, and the Senate Budget Subcommittee on Resources, Environmental Protection, Energy and Transportation regarding the 2017-18 Cap-and-Trade Expenditure Plan can be accessed here and here.