Attorney General No.
Secretary of State No.
AIR QUALITY IMPROVEMENT. TAX CREDITS. INITIATIVE STATUTE. Authorizes State Air Resources Board, and delegated air pollution control districts, to award $218 million in state tax credits annually, until January 2011, to encourage air-emissions reduction through acquisition, conversion, and retrofitting of vehicles, buses, and heavy-duty trucks; hearth products; construction vehicles and equipment; lawn and garden equipment; ambient air pollution destruction technology; off-road, nonrecreational vehicles; port equipment; agricultural waste and rice straw conversion facilities; and through research and development. Requires study of air quality market-based incentive program for prescribed burning projects. Establishes local transportation funds as trust funds. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local governments: This measure would result in a net annual state General Fund revenue loss averaging in the tens of millions to over a hundred million dollars from 1999 to beyond 2010 for tax credits for air quality improvements. The revenue loss could exceed $218 million in some years. It would also result in an increase in local sales tax revenues, potentially in the millions of dollars annually through 2010-11, from purchases of equipment. State General Fund costs of about $4.7 million annually through 2010-11 for administration of the tax credit program would also occur. There also may be potential long-term savings to state and local governments, of an unknown amount, in health care expenditures.
Gerald H. Meral Planning And Conservation League, 926 "J" Street, Room 612, Sacramento, Ca. 95814 (916) 444-8726
Air Quality Improvement. Tax Credits. California Initiative 779 (1997).