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LAO and industry urge Legislature to reject broad CARB fee authority; CARB says targeted fees will move costs to regulated entities
Summary
CARB told a Senate subcommittee it needs statutory trailer-bill authority to recover regulatory costs by charging fees to regulated entities; the Legislative Analyst's Office and multiple industry groups opposed a broad delegation and urged narrower, targeted fee legislation or case-by-case BCPs.
The Senate Budget Subcommittee No. 2 heard competing arguments on May 1 over proposed trailer-bill language that would authorize the California Air Resources Board to impose fees to recover costs for regulation, implementation and enforcement.
Ajay Mangat, CARB acting division chief, described past examples where CARB included fees within adopted regulations and then later sought and received budget authority to collect them, but said a recent court ruling barred CARB from collecting certain fees tied to a regulation, and that the agency now subsidizes that program from the Air Pollution Control Fund. CARB argued that the requested authority would shift the financial burden from taxpayers and drivers to regulated entities and would help sustain…
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