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AB 1266

Air districts: administrative rulemaking: standardized regulatory impact analysis.

2025-2026 Regular Session Introduced by José Solache

AB 1266 requires large air districts (pop > ~5M) to apply SRIA when adopting major regulations with estimated impacts >$50 million, boosting transparency and early public input.

In committee: Set, first hearing. Hearing canceled at the request of author.
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Bill Summary · AB 1266

AB 1266 — Air districts: administrative rulemaking: standardized regulatory impact analysis

Author: Solache
Introduced: February 21, 2025
Status (as of 2025-04-23): In committee; first hearing set then canceled at author's request

Summary — purpose and intent

AB 1266 would require large regional air pollution control and air quality management districts to follow the same standardized regulatory impact analysis (SRIA) procedures that state agencies use when adopting, amending, or repealing "major regulations." The bill’s intent is to increase early public input, standardize economic evaluation of significant rules, and improve the information available to decisionmakers and affected parties when regulations are likely to have substantial economic effects.

Key provisions

  • Adds Section 40007 to the Health and Safety Code.
  • Defines “major regulation” for districts as a proposed adoption, amendment, or repeal of a standard, rule, or regulation with an estimated economic impact on California businesses and individuals exceeding $50,000,000 (as estimated by the district).
  • Requires affected districts, when adopting/amending/repealing a major regulation, to comply with Government Code Section 11346.3 (the SRIA requirements) in addition to other applicable rulemaking obligations.
  • Scope limitation: the requirement applies only to districts whose jurisdictional geographic area has a population of over five million people or one‑eighth of the state population, whichever is greater (effectively a ~5 million threshold based on current state population).
  • Department of Finance (DoF) review exceptions:
    • Districts are not required to submit their SRIA to DoF for review. They may voluntarily submit it.
    • If a district does submit the SRIA, DoF review is not required; and if DoF does not review within 30 days, the district may make a finding of compliance and proceed.
  • Makes a nonsubstantive amendment to the Government Code definition of “major regulation” (Section 11342.548) to align the wording.

Who would be affected

  • Large regional air pollution control/air quality management districts that regulate areas with populations above the specified threshold (likely the state’s largest districts such as the South Coast and Bay Area air districts, depending on current population data).
  • Parties and businesses subject to, or affected by, major district rules — they would have access to SRIA documentation and an earlier, standardized process for raising economic concerns.
  • District staff — additional analysis and procedural steps for qualifying regulations.

Procedural and fiscal notes

  • The bill creates a state‑mandated local program by imposing additional duties on local air districts.
  • The author states no state reimbursement is required under Article XIII B, Section 6 of the California Constitution because local agencies can levy fees/charges sufficient to fund the mandated program (Government Code §17556). If the Commission on State Mandates finds other reimbursable costs, reimbursement would follow existing statutory processes.
  • Legislative actions to date: introduced 2/21/2025; amended and re‑referred to Natural Resources Committee (3/28/2025); set for committee hearing 4/23/2025 which was canceled at the author's request.

Potential impacts and considerations

  • Transparency and consistency: SRIA use should improve economic transparency and early stakeholder engagement for high‑impact district regulations.
  • Administrative burden: preparing SRIAs will require staff time and possibly external consultants, which could increase costs or slow rulemaking for qualifying regulations.
  • Autonomy vs. oversight: the bill extends SRIA requirements but explicitly limits DoF oversight (optional submission and a 30‑day review clock), preserving district control of timing while providing the SRIA framework.
  • Narrow applicability: because of the population threshold, the requirement affects only the largest districts rather than all air districts statewide.

Compiled from official sources — confirm details with the bill’s official record.

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