After several weeks of working closely with our supply chain partners/members as part of the Goods Movement Coalition on cap-and-trade issues, we are happy to report that they have successfully been able to keep an issue out of the discussion.

AB 617, noted above, is the follow-on bill dealing with Air Quality issues above and beyond Cap-and-Trade reauthorization.  It is this bill that has made us the most nervous, as there have been some indications it potentially would carry language pertaining to a new Indirect Source Review (ISR) rule which could wreak havoc on the supply chain and regulate individual buildings as well as discrete neighborhood areas, in a manner that could stop building and/or growth of existing facilities.

After reviewing the final language in the measure, and receiving feedback from many of our members we believe the language is as good as it is going to get and has no specific ISR authorization.

Here is the official statement from the Goods Movement Coalition on AB 617 (C. Garcia, E. Garcia, Santiago):

For years, the goods movement industry has worked in partnership with the administration, the Air Resources Board, and local air districts on emission reduction measures that balance emission reductions, efficiency and jobs and will continue to do so. 

In recognition that Cap and Trade is such an important piece of the State’s GHG policy, we are neutral on Sec. 8 of the July 10th draft of AB 617 but would have concerns with any further amendments which tip the delicate balance between further emission reductions, efficiency and jobs. 

We remain vigilant and are watching closely to make sure the language does not get changed in a manner that backslides on our hard work.

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