California Assembly Bill AB904 Amended / Bill

 BILL NUMBER: AB 904AMENDED BILL TEXT AMENDED IN SENATE JUNE 23, 2015 AMENDED IN ASSEMBLY APRIL 29, 2015 INTRODUCED BY Assembly Member Perea  (   Coauthor:   Assembly Member   Eduardo Garcia  )  FEBRUARY 26, 2015 An act to add Section 44274.9 to the Health and Safety Code, relating to vehicular air pollution. LEGISLATIVE COUNSEL'S DIGEST AB 904, as amended, Perea. Air Quality Improvement Program: Clean Reused Vehicle Rebate Project. Existing law establishes the Air Quality Improvement Program that is administered by the State Air Resources Board for the purposes of funding projects related to, among other things, the reduction of criteria air pollutants and improvement of air quality. Pursuant to its existing statutory authority, the state board has established the Clean Vehicle Rebate Project, as a part of the Air Quality Improvement Program, to promote the production and use of zero-emission vehicles by providing rebates for the purchase of new zero-emission vehicles. This bill would require the state board to establish the Clean Reused Vehicle Rebate Project, as a part of the Air Quality Improvement Program, to provide rebates  or other incentives  for the  purchase   acquisition  of an eligible used vehicle  or   , as defined; the replacement or refurbishment of  a battery  and related components  for an  electric   eligible used  vehicle  ,   or an extended warranty for the battery or related components; or an extended service warranty to cover unexpected vehicle repairs not covered by the manufacturer's   warranty related to unique problems in eligible used vehicles,  as specified. Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 44274.9 is added to the Health and Safety Code, to read: 44274.9. (a) For purposes of this section, the following terms mean the following: (1) "Eligible used vehicle" only includes the same categories of vehicles that are eligible for a rebate under the Clean Vehicle Rebate Project. (2) "Used vehicle" has the same meaning as set forth in Section 665 of the Vehicle Code. (b) No later than July 1, 2017, the state board shall establish, as a part of the Air Quality Improvement Program, the Clean Reused Vehicle Rebate Project to provide an applicant with  either   any  of the following: (1) A rebate  or other incentive with a value  of up to two thousand five hundred dollars ($2,500) for the  purchase   acquisition  of an eligible used vehicle from a licensed dealer. (2) A rebate  or other incentive  for the purchase   replacement or refurbishment  of a battery  and related components  for an  electric vehicle.   eligible used vehicle, for an extended warranty for the battery and related components, or for both   .   (3) A rebate or other incentive for an extended service warranty to cover unexpected vehicle repairs not covered by the manufacturer's warranty related to unique problems in eligible used vehicles.  (c) A rebate  or other incentive  issued pursuant to  subdivision (b)   this section  shall be limited to one per vehicle.  (d) Rebates or other incentives issued pursuant to this section shall be limited to low- and moderate-income consumers residing in disadvantaged communities, as identified pursuant to Section 39711.   (d)   (e)  The state board shall coordinate the Clean Reused Vehicle Rebate Project with the Clean Vehicle Rebate Project, established as part of the Air Quality Improvement Program established pursuant to this article,  and  the enhanced fleet modernization program, established pursuant to Article 11 (commencing with Section 44125) of Chapter 5, to enhance outreach to low-income and moderate-income communities.   and the Charge Ahead California Initiative, established pursuant to Chapter 8.5 (commencing with Section 44285), including, but not limited to, all of the following:   (1) Coordinating eligibility pursuant to this section with eligibility for the enhanced fleet modernization program.   (2) Ensuring appropriate outreach and targeting to low- and moderate-income households in an effort to encourage participation.   (3) Expanding financing mechanisms, including, but not limited to, a loan or loan-loss reserve credit enhancement program to increase consumer access to zero-emission and near-zero-emission vehicle financing and leasing options that can help lower expenditures on transportation and prequalification or point-of-sale rebates or other methods to increase participation rates among low- and moderate-income consumers.   (f) (1) The state board shall establish safeguards for the project established pursuant to this section to prevent both of the following:   (A) Fraudulent activity by the sellers and acquirers of eligible used vehicles.   (B) Practices that could prevent the intended recipients of rebates or other incentives from benefiting from this section.   (2) For purposes of this subdivision, "fraudulent activity" may include raising the price of eligible used vehicles in a manner that partially or completely captures a rebate or other incentive issued pursuant to this section.