Back to California

SB-1161 • 2026

Administrative regulations: economic impact analysis and standardized regulatory impact assessments: State Air Resources Board.

Administrative regulations: economic impact analysis and standardized regulatory impact assessments: State Air Resources Board.

Taxes
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Valladares
Last action
2026-05-14
Official status
May 14 hearing: Held in committee and under submission.
Effective date
Not listed

Plain English Breakdown

The candidate explanation aligns well with the official source material. No claims were removed or materially narrowed.

Economic Impact Analysis for Air Resources Board Regulations

This law requires the State Air Resources Board to analyze how new or changed regulations might affect low- and middle-income families and disadvantaged communities, and to share this information with lawmakers before making any changes.

What This Bill Does

  • Requires the State Air Resources Board to create an economic impact assessment when proposing new or updated rules.
  • The assessment must look at how these rules will affect low- and middle-income households and disadvantaged communities.
  • Before a rule change can take effect, the board must send this assessment to lawmakers at least 6 months in advance.
  • If the proposed changes could raise costs significantly, lawmakers must hold public hearings before approving them.
  • The board also needs to include detailed information about how these rules will affect different income groups and provide an easy-to-understand summary.

Who It Names or Affects

  • State Air Resources Board
  • Lawmakers in the California Legislature
  • Low- and middle-income households in California
  • Disadvantaged communities

Terms To Know

Economic Impact Assessment
A report that looks at how new rules or changes might affect people's money, jobs, and businesses.
Standardized Regulatory Impact Analysis
A detailed study of the costs and benefits of proposed regulations.

Limits and Unknowns

  • The bill does not specify what happens if lawmakers do not hold public hearings.
  • It is unclear how long it will take for the board to complete these assessments.
  • There are no details on who decides which communities are considered 'disadvantaged'.

Bill History

  1. 2026-05-14 California Legislative Information

    May 14 hearing: Held in committee and under submission.

  2. 2026-05-08 California Legislative Information

    Set for hearing May 14.

  3. 2026-04-20 California Legislative Information

    April 20 hearing: Placed on APPR. suspense file.

  4. 2026-04-14 California Legislative Information

    Set for hearing April 20.

  5. 2026-04-09 California Legislative Information

    Read second time and amended. Re-referred to Com. on APPR.

  6. 2026-04-08 California Legislative Information

    From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 6. Noes 0. Page 3792.) (April 8).

  7. 2026-03-10 California Legislative Information

    Set for hearing April 8.

  8. 2026-02-26 California Legislative Information

    Referred to Com. on E.Q.

  9. 2026-02-19 California Legislative Information

    From printer. May be acted upon on or after March 21.

  10. 2026-02-18 California Legislative Information

    Introduced. Read first time. To Com. on RLS. for assignment. To print.

Official Summary Text

SB 1161, as amended, Valladares.
Administrative regulations: economic impact
analysis:
analysis and standardized regulatory impact assessments:
State Air Resources Board.
Existing law designates the State Air Resources Board as the state agency responsible for the preparation of the state implementation plan required by the federal Clean Air Act, and requires the state board to adopt standards, rules, and regulations that are consistent with the state goal of providing a decent home and suitable living environment for every Californian.
Existing law, the Administrative Procedure Act, governs, among other things, the procedures for the adoption, amendment, or repeal of regulations by state agencies. Existing law requires a state agency proposing to adopt, amend, or repeal
administrative regulations to assess the potential for adverse economic impact on California business enterprises and individuals, as provided. Existing law provides that a regulation or an order of repeal of a regulation becomes effective on a
quarterly basis, as prescribed, except in specified instances.
a regulation that is not a major regulation, as defined, to prepare an economic impact assessment, as provided. Existing law requires a state agency that is proposing to adopt, amend, or repeal a major regulation to prepare a standardized regulatory impact analysis, as provided.
This bill would require the State Air Resources Board proposing to adopt, amend, or repeal a regulation to prepare an economic impact assessment that assesses whether and to what extent it will affect low- and middle-income California households and disadvantage communities, as specified. The bill would require the State Air Resources Board, at least 6 months before the adoption, amendment, or repeal of the regulation goes into effect, to transmit to the Legislature this economic impact assessment. The bill would require the appropriate policy committees of the Legislature to hold a joint public hearing on the adoption, amendment, or repeal of a regulation, upon receiving the economic impact assessment, if the adoption, amendment, or repeal of the regulation would raise costs, as specified, and provide that the adoption, amendment, or repeal of the regulation does not go into effect until the joint
public hearing is held.
This bill would require the State Air Resources Board proposing to adopt, amend, or repeal a regulation to include in either the economic impact assessment, or the standardized regulatory impact assessment, a distributional analysis of the costs, benefits, and net impacts on personal income across income levels and an informative digest, as provided.

Current Bill Text

Read the full stored bill text
Download Bill PDF