Synopsis of the Energy Commission's Budget

Fiscal Year 2011-2012 Governor's Budget

The Commission's proposed FY 2011/12 budget is $386.6 million. Included in this amount are $106.1 million Alternative and Renewable Fuel and Vehicle Technology Fund (ARFVTF), $43.3 million Public Interest RD&D (PIER) funds, $70.7 million Public Interest Renewable (Renewable) funds, $68.5 million in Energy Resources Programs Account (ERPA) funds, $57.6 million in federal funds, $24.0 million in Natural Gas Subaccount, Public Interest RD&D (PIER-NG) funds, $5.8 million in reimbursement funds, $1.5 million in Geothermal Resource Development Account (GRDA) funds, $7.0 million in Energy Facility License and Compliance funds and $2.1 million in other funds.

The Commission's proposed FY 2011/12 budget is approximately $195.9 million less than estimated FY 2010/11 expenditures. This difference is mainly due to carryover balances in Federal ($29 million), PIER ($51.5 million), ARFVTF ($63.7 million) and Natural Gas Subaccount ($18.5 million) funds from FY 09/10.

Proposed authorized positions are 625.1. Total proposed support funding is $110.5 million consisting of $63.0 million for personal services, $28.5 million for contracts and $19.0 million for other operating. Special item or pass through funding is $277.5 million.


Budget Change Proposal

The Commission's FY 11/12 Budget Change Proposal requests $983,000 and a 10-month extension of nine limited term positions to continue implementation and close out of the ARRA/SEP program.


Funds

Highlights of the various funds in the Commission Budget:

Alt. and Renewable Fuel and Vehicle Tech Funds - proposed expenditure level is $106.1m. The ARFVT will fund grants, loans, and other appropriate measures to public agencies, public-private partnerships, and other entities to develop alternative fuels and related technologies, including electricity, ethanol, renewable diesel, natural gas, hydrogen, and biomethane, among others. Language is included in the Budget Bill to allow for a two-year encumbrance period to 6/30/13 and a liquidation period to 6/30/17. These funds include $6.1m for 9.0 positions, operating and baseline contracts. Additionally, another $100m is for pass through projects.

ECAA/LJEAA Funds - proposed expenditure level is $1.42m. These continuously appropriated funds support 2.0 positions and $4.26m in pass through funding for energy efficiency loans to schools, hospitals and local jurisdictions.

Energy Facility License and Compliance Fund - proposed expenditure level is $7.0m for power plant siting and compliance monitoring peak workload. These funds include $3.5m in baseline contracts.

ERPA Funds - proposed expenditure level is $68.5m. ERPA is the primary funding source for CEC staff, contract and operating expenses.

Federal Funds - proposed expenditure level is $57.6m. These funds include $8.15m in staff support and contracts for the State Energy Program (including Baseline-SEP, ARRA-SEP and AB 758) and the Energy Efficiency Block Grant Program and $49.45m for anticipated federal awards for various Commission programs such as Carbon Sequestration Partnership.

GRDA Funds - proposed expenditure level is $1.5m. These funds include $307K for 3.9 positions and $1.25m for local assistance. Language is included in the Budget Bill to allow for a two-year encumbrance period to 6/30/13 and a liquidation period to 6/30/15 for local assistance funds.

MVA Funds - proposed expenditure level is $140K. These funds support 2.0 positions.

Natural Gas Subaccount, Public Interest Research, Development and Demonstration Fund - proposed expenditure level is $24m. These funds include $2.2m for 14.0 positions, operating and baseline contracts. Additionally, another $21.8m is for pass through natural gas RD and D projects.

Public Interest Research, Development and Demonstration Program Fund - proposed expenditure level is $43.3m. These funds include $12.05m for 72.1 positions, operating and baseline technical support contracts and $31.25m for pass through RD and D projects. Language is included in the Budget Bill to allow for a two-year encumbrance period to 6/30/13 and a liquidation period to 6/30/17. Proposed expenditure level reflects current PIER sunset date of December 31, 2011.

Public Interest Renewable Resource Trust Fund - proposed expenditure level is $70.7m. These funds include $6.2m for 33.0 positions, operating and baseline contracts. Additionally, another $64.5m is continuously appropriated for Renewables projects. Proposed expenditure level reflects current Renewables sunset date of December 31, 2011.

Reimbursements - proposed expenditure level is $5.8m. These funds are primarily expenditure authority for anticipated funding from government agencies.

Current and Proposed Budgets