Existing law designates the State Air Resources Board as the state agency responsible for the preparation of the state implementation plan required by the federal Clean Air Act, and requires the state board to adopt standards, rules, and regulations that are consistent with the state goal of providing a decent home and suitable living environment for every Californian.

Existing law, the Administrative Procedure Act, governs, among other things, the procedures for the adoption, amendment, or repeal of regulations by state agencies. Existing law requires a state agency proposing to adopt, amend, or repeal administrative regulations to assess the potential for adverse economic impact on California business enterprises and individuals, as provided. Existing law provides that a regulation or an order of repeal of a regulation becomes effective on a quarterly basis, as prescribed, except in specified instances.

This bill would require the State Air Resources Board proposing to adopt, amend, or repeal a regulation to prepare an economic impact assessment that assesses whether and to what extent it will affect low- and middle-income California households and disadvantage communities, as specified. The bill would require the State Air Resources Board, at least 6 months before the adoption, amendment, or repeal of the regulation goes into effect, to transmit to the Legislature this economic impact assessment. The bill would require the appropriate policy committees of the Legislature to hold a joint public hearing on the adoption, amendment, or repeal of a regulation, upon receiving the economic impact assessment, if the adoption, amendment, or repeal of the regulation would raise costs, as specified, and provide that the adoption, amendment, or repeal of the regulation does not go into effect until the joint public hearing is held.