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Comment 98 for Public Workshops on Investment of Cap-and-Trade Auction Proceeds to Benefit Disadvantaged Communities (sb-535-guidance-ws) - 1st Workshop.
First Name: Amelia
Last Name: Oliver
Email Address: aoliver@californiareleaf.org
Affiliation: California ReLeaf
Subject: California ReLeaf Comments of CAL-EPA Approaches to Identifying DACs
Comment:
On behalf of California ReLeaf – a statewide non-profit that supports a network of ninety community groups engaged in on-the-ground urban forestry throughout California – we are writing to commend CAL-EPA for a thoughtful and transparent process in identifying what constitutes a disadvantaged community. This is an essential element that must be defined for the purposes of awarding cap-and-trade auction revenues for projects that meet the goals and objectives of AB 32, AB 1532, and SB 535. The August 2014 discussion draft issued by CAL-EPA and OEHHA does a good job tracing the history of the CalEnviroScreen Process, and providing stakeholders with options to evaluate in how CalEnviroScreen indicators are used to maximize opportunities for DACs now and in the years to come. The basic questions posed by this document revolve around the appropriate cutpoint for identifying what constitutes a DAC and which of the five “methods” presented by CAL-EPA and OEHHA best reflect the goals and objectives of SB 535 and CalEnviroScreen. For California ReLeaf, these questions have fairly straightforward answers. 1. Cutpoint. California ReLeaf supports 25% as the cutpoint for what constitutes a DAC for the purposes of awarding cap-and-trade auction revenues for projects that are located within, or provide benefit to, a disadvantaged community. We agree with the argument put forward in the discussion draft that asserts “SB 535 requires the allocation of at least 25 percent of the available proceeds to projects that provide benefits to disadvantaged communities. Therefore, we present cutpoints up to 25% to ensure disadvantaged communities receive at least a proportionate share of funds when compared to the rest of the state.” Furthermore, the 25% cutpoint broadens the scope of opportunity across California, while still adhering to the goals and objectives of SB 535. Counties such as San Francisco, Butte, Imperial, Santa Cruz and Tehama would be excluded from this process if a lower mark of 15% or less was selected. In short, an additional 15% of the State’s counties are afforded an opportunity to compete for funding from cap-and-trade auction revenues by integrating disproportionately burdened communities such as San Francisco, Palo Alto, Oroville, Watsonville and Daly City into the fold. All of these communities, and many more that rank lower on CalEnviroScreen, would benefit from increased canopy cover that can improve air quality and help mitigate urban heat island effect. 2. Preferred Methods. California ReLeaf does not support one specific method identified by CAL-EPA and OEHHA in this discussion draft. Most reflect the spirit and statutory intent of CalEnviroScreen and SB 535, respectively; and nearly all stay within the heavily concentrated areas of the Central Valley, Southern California, and portions of the East Bay and Sacramento Valley. As a statewide organization representing community groups throughout California, we are not inclined to “pick favorites”, but rather offer some brief observations on some of the proposed methods. Methods 2 and 3 do not take into account all 19 indicators, and therefore interpret state statute to assume “either or” is appropriate in regards to how pollution burden and population characteristics are integrated into the final CalEnviroScreen model. While this may or may not be a correct interpretation of SB 535 (CAL-EPA and OEHHA seem split on this issue), it certainly raises enough questions that could potentially slow the distribution of auction revenues for projects, which was already delayed by a year due to outcomes in the 2013-14 State Budget. Neither model seems particularly transformative in relation to the other methods (though Method 3 is certainly more inclusive of Northern California and the lower Inland Empire), and could spark controversy, further delaying the process. Method 5 is intriguing as it is the only model that integrates the percentage cutpoints into the methodology. While Method 5 still represents a 25% cutpoint for projects, it does so in a way that “levels the playing field” for projects that are either high pollution-medium population or medium pollution-high population. This approach lends itself to a more competitive process for these auction revenues, as only projects that are both high pollution-high population would rank higher. In this sense, pollution and population are equally weighted. Finally, “Method 6” – an alternative to the models developed by OEHHA which has been introduced by the Bay Area Air Quality Management District – is not without merit. This straightforward approach of multiplying each of the 19 indicators (and weighting each equally) still follows the framework set forth by SB 535, but does produce some interesting results. While the mapping of this methodology still recognizes the disproportionate burden of pollution and population placed on Los Angeles and the Central Valley, it also recognizes other underserved communities by expanding the field of opportunity in portions of San Francisco, East Bay, San Diego and the Central Coast. Consequently, this method would provide additional opportunities for Network partners in the Bay Area and the South Coast to build upon the tremendous urban forestry efforts that have helped improve the quality of life in these highly populated areas of the state. Currently, CAL FIRE is requiring 100% of urban forestry cap-and-trade auction revenues to be utilized for meeting the goals and objectives of SB 535. While this will be a subject of comments addressed to CARB regarding its discussion draft on what investments benefit DACs, it is pertinent here for one simple reason. The natural inclination for many organizations confined to a specific geography would be to ensure their field of operation is included in that geography, or that the area is as large as possible. For California ReLeaf and many of its Network members, we would rather see the spirit and statutory requirements of SB 535 persevere, and work though other channels to ensure cap-and-trade investments in urban forestry can benefit all California communities in the coming years. Consequently, we believe Methods 1, 4, 5 and 6 all meet the intent of SB 535. We appreciate the opportunity to provide comments.
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Date and Time Comment Was Submitted: 2014-09-15 15:55:43
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