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

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.