AB-737
Energy & Environment

Energy: building decarbonization: notice and recordation of a decarbonization charge.

Enrolled
CA
2025-2026 Regular Session
0
0
Track

Key Takeaways

  • Expands decarbonization charges to gas corporations to fund upgrades.
  • Sets 30-day deadlines to record notices after funding, full cost recovery, and ceasing collection.
  • Transfers charge obligations to successor subscribers and imposes post-2023 lease requirements.
  • Imposes regulator enforcement and crime penalties; no reimbursement to local agencies.

Summary

The measure, authored by Assembly Member Quirk-Silva, codifies a site-specific decarbonization charge framework that expands the set of energy suppliers to include gas corporations and attaches a formal notice regime to property records. Its stated aim is to provide transparency for renters and home buyers by recording, on the property’s public record, any decarbonization upgrade-related charge tied to the meter.

Key provisions establish a precise sequence for recording and removing the decarbonization charge. An energy supplier must record a notice within 30 days after funding a decarbonization upgrade, and the county recorder must index the notice by the property owner’s name, with the notice detailing the property’s location, the charge amount and payment period, a description of funded upgrades, and contact information for outstanding charges. After full cost recovery, a separate notice of removal must be recorded within 30 days, referencing the original notice; similarly, a notice of cessation of collection must be recorded within 30 days of that decision. The framework binds the charge obligation to the subscriber property and makes it transferable to a successor subscriber, while requiring in leases for owner-not-occupied properties executed after January 1, 2023 that the obligation appear in occupancy terms.

The bill also adds procedural and enforcement parameters. It specifies that recording a decarbonization charge is not to be treated as debt collection, but it creates a regulatory pathway through the Public Utilities Commission or local utility boards, with violations potentially described as crimes under applicable enforcement provisions. The act designates that no state reimbursement is required for mandated local costs, even though county recorders and energy suppliers will bear new recordation and notification duties. The charge framework references Government Code requirements for record indexing and treats the recorded notice as sufficient notice to a subsequent subscriber.

In context, the proposal builds on existing decarbonization initiatives by formalizing a public-record mechanism that links site-specific investments to meter-based charges, while clarifying scope to include gas corporations and detailing transferability, successor-notice mechanisms, and lease-related disclosures. It imposes new operational requirements on energy suppliers, property owners, tenants, and local recorders, with regulatory oversight by energy regulators to ensure compliance with the recordation and removal timelines and to address disputes within the statutory framework.

Key Dates

Vote on Assembly Floor
Assembly Floor
Vote on Assembly Floor
AB 737 Quirk-Silva Concurrence in Senate Amendments
Vote on Senate Floor
Senate Floor
Vote on Senate Floor
Assembly 3rd Reading AB737 Quirk-Silva By Caballero
Senate Energy, Utilities and Communications Hearing
Senate Committee
Senate Energy, Utilities and Communications Hearing
Do pass as amended, but first amend, and re-refer to the Committee on [Appropriations]
Vote on Assembly Floor
Assembly Floor
Vote on Assembly Floor
AB 737 Quirk-Silva Consent Calendar Second Day Regular Session
Assembly Appropriations Hearing
Assembly Committee
Assembly Appropriations Hearing
Do pass. To Consent Calendar
Assembly Utilities And Energy Hearing
Assembly Committee
Assembly Utilities And Energy Hearing
Do pass and be re-referred to the Committee on [Appropriations] with recommendation: To Consent Calendar
Introduced
Assembly Floor
Introduced
Read first time. To print.

Contacts

Profile
Sharon Quirk-SilvaD
Assemblymember
Bill Author
Not Contacted
Not Contacted
0 of 1 row(s) selected.
Page 1 of 1
Select All Legislators
Profile
Sharon Quirk-SilvaD
Assemblymember
Bill Author

Get Involved

Act Now!

Email the authors or create an email template to send to all relevant legislators.

Introduced By

Sharon Quirk-Silva
Sharon Quirk-SilvaD
California State Assembly Member
70% progression
Bill has passed both houses in identical form and is being prepared for the Governor (9/10/2025)

Latest Voting History

September 10, 2025
PASS
Assembly Floor
Vote on Assembly Floor
AyesNoesNVRTotalResult
6801280PASS

Key Takeaways

  • Expands decarbonization charges to gas corporations to fund upgrades.
  • Sets 30-day deadlines to record notices after funding, full cost recovery, and ceasing collection.
  • Transfers charge obligations to successor subscribers and imposes post-2023 lease requirements.
  • Imposes regulator enforcement and crime penalties; no reimbursement to local agencies.

Get Involved

Act Now!

Email the authors or create an email template to send to all relevant legislators.

Introduced By

Sharon Quirk-Silva
Sharon Quirk-SilvaD
California State Assembly Member

Summary

The measure, authored by Assembly Member Quirk-Silva, codifies a site-specific decarbonization charge framework that expands the set of energy suppliers to include gas corporations and attaches a formal notice regime to property records. Its stated aim is to provide transparency for renters and home buyers by recording, on the property’s public record, any decarbonization upgrade-related charge tied to the meter.

Key provisions establish a precise sequence for recording and removing the decarbonization charge. An energy supplier must record a notice within 30 days after funding a decarbonization upgrade, and the county recorder must index the notice by the property owner’s name, with the notice detailing the property’s location, the charge amount and payment period, a description of funded upgrades, and contact information for outstanding charges. After full cost recovery, a separate notice of removal must be recorded within 30 days, referencing the original notice; similarly, a notice of cessation of collection must be recorded within 30 days of that decision. The framework binds the charge obligation to the subscriber property and makes it transferable to a successor subscriber, while requiring in leases for owner-not-occupied properties executed after January 1, 2023 that the obligation appear in occupancy terms.

The bill also adds procedural and enforcement parameters. It specifies that recording a decarbonization charge is not to be treated as debt collection, but it creates a regulatory pathway through the Public Utilities Commission or local utility boards, with violations potentially described as crimes under applicable enforcement provisions. The act designates that no state reimbursement is required for mandated local costs, even though county recorders and energy suppliers will bear new recordation and notification duties. The charge framework references Government Code requirements for record indexing and treats the recorded notice as sufficient notice to a subsequent subscriber.

In context, the proposal builds on existing decarbonization initiatives by formalizing a public-record mechanism that links site-specific investments to meter-based charges, while clarifying scope to include gas corporations and detailing transferability, successor-notice mechanisms, and lease-related disclosures. It imposes new operational requirements on energy suppliers, property owners, tenants, and local recorders, with regulatory oversight by energy regulators to ensure compliance with the recordation and removal timelines and to address disputes within the statutory framework.

70% progression
Bill has passed both houses in identical form and is being prepared for the Governor (9/10/2025)

Key Dates

Vote on Assembly Floor
Assembly Floor
Vote on Assembly Floor
AB 737 Quirk-Silva Concurrence in Senate Amendments
Vote on Senate Floor
Senate Floor
Vote on Senate Floor
Assembly 3rd Reading AB737 Quirk-Silva By Caballero
Senate Energy, Utilities and Communications Hearing
Senate Committee
Senate Energy, Utilities and Communications Hearing
Do pass as amended, but first amend, and re-refer to the Committee on [Appropriations]
Vote on Assembly Floor
Assembly Floor
Vote on Assembly Floor
AB 737 Quirk-Silva Consent Calendar Second Day Regular Session
Assembly Appropriations Hearing
Assembly Committee
Assembly Appropriations Hearing
Do pass. To Consent Calendar
Assembly Utilities And Energy Hearing
Assembly Committee
Assembly Utilities And Energy Hearing
Do pass and be re-referred to the Committee on [Appropriations] with recommendation: To Consent Calendar
Introduced
Assembly Floor
Introduced
Read first time. To print.

Latest Voting History

September 10, 2025
PASS
Assembly Floor
Vote on Assembly Floor
AyesNoesNVRTotalResult
6801280PASS

Contacts

Profile
Sharon Quirk-SilvaD
Assemblymember
Bill Author
Not Contacted
Not Contacted
0 of 1 row(s) selected.
Page 1 of 1
Select All Legislators
Profile
Sharon Quirk-SilvaD
Assemblymember
Bill Author