California Is On the Verge of a World-Changing Climate Bill — But It’s in Trouble

Emissions disclosure bill is testing the state’s climate resolve in the face of industry misinformation.

Illustration: Javier Palma/The Guardian

Capital & Main, by Aaron Cantù, August , 2023

It’s been more than two years since a California lawmaker first introduced a bill requiring big corporations to report their greenhouse gas emissions. The information could be criticalin the fight against climate change, with global temperatures smashing records this summer — yet it died in the Legislature last year after failing by one vote.

Now, the bill could fail anew thanks to a handful of Democrats.

The Climate Corporate Data Accountability Act, carried by Sen. Scott Wiener (D-San Francisco), would force big companies to report their emissions to the California Air Resources Board.

Altogether, the lack of information on supply-chain emissions means we know only a fraction of the global economy’s climate impacts, undermining the public’s knowledge of the crisis. Some companies already report these figures, or disclose select information on their own.

But under SB 253, thousands of public and private companies — about 5,300 — would report the full scope of their climate pollution, many for the first time. That includes recognizable brands like Walmart and Costco and any other company that generates at least a billion dollars in revenue and operates in the state.

And if SB 253 becomes law in California, reportedly the largest sub-national economy in the world, it could contribute to a wave of transparency regulations requiring more corporate climate disclosures, among them the European Union’s new policy. Bill supporters say this information helps put pressure on companies to reduce their emissions.

But business interests, including the oil and gas lobby, are aligned to sink the California legislation. To pull that off, they would need the help of Democrats.

Fence-Sitting Democrats Receive Millions From Corporate Interests

Swing-vote Democrats in the State Assembly — where similar legislation failed by one vote in 2022 — may determine whether the opposition succeeds.

As Democrats have secured a supermajority in the California Legislature, business associations have increasingly targeted so-called moderate Democrats with their giving and lobbying.

Many of the same assemblymembers who helped kill the bill previously may have a chance to vote on it again. But a review of campaign contributions suggests that opposed industries have lawmakers’ ears.

Seventeen Assembly Democrats who registered no vote or voted against the bill in 2022 are still in the chamber. They have collectively taken nearly $1.16 million from oil and gas throughout their careers, including the months after last year’s session. (A full list of figures can be viewed here, with more detail here.) Thirteen lawmakers collected oil and gas money in 2023.

Over the course of their careers, Assemblymember Mike Gipson (D-South Bay) collected the most from oil and gas, at $244,380; Blanca Rubio (D-South Bay) and Brian Maienschein (D-Escondido) came in second and third, at $212,399 and $114,950.

Staff for Rubio and Maienschein didn’t return a request for comment. In an email to Capital & Main, Gipson chief of staff Emmanuel Aguayo noted Gipson’s affirmative votes on several climate bills signed last year by Gov. Newsom.

The lawmakers also took $4.6 million from business groups, many of which, such as the California Chamber of Commerce (recently rebranded as CalChamber) and regional agricultural associations, are opposed to SB 253. Forty percent of that total went to just three lawmakers: Gipson, Rubio and Maienschein. But 10 others have collected more than $100,000 each from business groups over their careers.

The governor’s rush to pass a climate package last year may have led to fatigue among some lawmakers, claimed Sen. Wiener.

“I suspect if our bill had come up a day or two before, my prediction is we would have gotten it off the floor,” Wiener said in an interview. “We just have a stronger, more diverse coalition this year.”

Wiener said he’s also planning outreach to 15 freshmen assemblymembers who would be voting for the first time. Of them, three — Esmeralda Soria (D-Merced), Blanca Pacheco (D-Downey) and Jasmeet Bains (D-Delano) — received thousands of dollars from oil and gas this year. And seven, including Soria, Pacheco and Bains, collected contributions from CalChamber (view figures here).

“We have a lot of new members, so we have a lot of work to do on that front,” Wiener said, “but I’m optimistic.”

Supply Chain Emissions a Missing Piece of Climate Puzzle 

A handful of companies are supporting the bill, including Microsoft, IKEA, Patagonia and Sierra Nevada Brewing Co.

In a letter to the Assembly’s Appropriations Committee, they wrote that the bill “would level the playing field by ensuring that all major public and private companies disclose their full emissions inventory, creating a pathway for collective reduction strategies.” The committee has to approve the bill before it can go to the Assembly floor.

CalChamber has reiterated the same concerns over two years. A letter boils it down to difficulties tracking supply chain emissions, which it has described as “impossible” and something that would “necessarily require that large businesses stop doing business with small and medium businesses” that act as subcontractors.

Such claims are “not true,” said Simon Fischweicher, head of corporations and supply chains for CDP North America. The nonprofit supports companies’ efforts to account for their emissions, and connects them to climate-conscious investors; CDP’s member companies represent trillions in global market capital.

“A significant portion of companies disclosing emissions are small or medium sized,” Fischweicher said. “It’s already happening.”

Most company’s supply chain emissions (which are referred to as Scope 3 emissions by the World Resources Institute) account for the vast majority of their climate pollution. For oil refiners, this includes emissions generated when people fuel up their cars and drive using gasoline refined from company petroleum.

To take another example, Coca-Cola can track the emissions generated when its executives drive or fly (Scope 1), or when its office buildings use fossil fuels for electricity (Scope 2). But far more pollution happens indirectly, across the lifecycle of each Coke bottle or can. Understanding it requires gathering data points from subcontractors involved in bottling and distribution, as well as estimated climate pollution from all the trashed Cokes in landfills.

The bill directs companies to use the GHG Protocol, which determines supply chain emissions by multiplying “emissions factors” by weight or cost of products. The figures are imprecise, an ongoing concern as the need for accurate information grows. Advocates say standards will improve.

“That level of granularity involves different assumptions that can be made, so we’re not always going to end up on the same exact number, even from a Coke to a Pepsi,” Fischweicher said. “But what’s critical is that companies go through those steps, understand where their impacts lie, explain those figures, and understand the methodology to know how they got there.”

Industries “Fighting, Delaying” Disclosure Rules 

Companies have railed against Scope 3 emissions requirements to the Securities and Exchange Commission, which is working on rules requiring public companies to disclose their emissions and exposure to climate change.

The U.S. Chamber of Commerce argued that the costs of compliance to businesses would be far higher than the government’s estimates — and that investors just don’t care much about emissions.

Separately, the American Petroleum Institute, the organization that once served as the fossil fuel industry’s main disseminator of climate change denial, said the information would be unreliable and hard to gather.

Yet API’s comments contradict its endorsement of emissions-gathering in other venues. In 2020, API and two other oil associations released a guide that encourages companies to report emissions across their value chains using various frameworks, among them the GHG Protocol.

And both the state chamber and oil lobby have cited the SEC’s rulemaking to argue that California’s climate disclosure bill would be redundant — even as their national counterparts oppose that same rulemaking at the SEC.

Wiener called these actions “shocking.”

“They’re fighting, delaying and trying to kill the SEC rule, but then saying we shouldn’t legislate because the SEC will handle it,” he said. “It’s so cynical.”

Benicia is proud of Susannah Delano and Close the Gap California

R & MS

[Note from Benicia Independent contributor Roger Straw – We’re feeling pretty proud of our daughter Susannah Delano these days! See the article below. Close the Gap California is doing a great job under Susannah’s leadership, and the nod from highly influential Capitol Weekly is well deserved. We love the descriptive phrase “no wavering or vacillating” and the illustration by punk artist Chris Shary.  – Roger and Mary Susan]

Capitol Weekly’s Top 100

Each year, Capitol Weekly’s Top 100 names the most powerful movers and shakers in California politics. We don’t include elected officials. Instead, we look at those who devote their professional lives to fighting for – or against – issues of state politics and policy, including lobbyists, bureaucrats, activists, trade group leaders, Capitol staffers and even journalists.  >> Capitol Weekly is a nonpartisan news publication covering California government and politics.

Capitol Weekly’s Top 100: Susannah Delano

CAPITOLWEEKLY Top 100 – 99. Susannah Delano, 08.15.2023

You might have noticed there are more women serving in the Legislature right now than in previous years. A lot more. And Susannah Delano and Close the Gap California are a big reason why.

Twenty of the 50 women in office right now came through the Close the Gap recruiting process, including 10 from last November’s record class of 11. To be clear, there are other recruiting organizations out there, such as Emerge and California Women Lead. We chose Delano because her group’s main goal from its inception in 2013 has not been just to elect more women, but to achieve gender parity in the Legislature by 2028, and there’s been no wavering or vacillating.

Given their success last year, what once seemed to be a lofty goal now seems more than realistic. Delano has been instrumental in that success streak since coming on board as executive director in 2018. And, though most folks don’t know it, she’s been CTG’s sole full-time staffer for most of her time with the organization.

The Silicon Valley Elite Who Want to Build a City From Scratch

A mysterious company has spent $800 million in an effort to buy thousands of acres of San Francisco Bay Area land. The people behind the deals are said to be a who’s who of the tech industry.

From left, Michael Moritz, Reid Hoffman, Marc Andreessen and Chris Dixon, four prominent Silicon Valley investors, have backed Flannery Associates.Credit…Bloomberg; The New York Times; Clara Mokri for The New York Times; Getty Images; Reuters

The New York Times, by Conor Dougherty and Erin Griffith, August 25, 2023

In 2017, Michael Moritz, the billionaire venture capitalist, sent a note to a potential investor about what he described as an unusual opportunity: a chance to invest in the creation of a new California city.

The site was in a corner of the San Francisco Bay Area where land was cheap. Mr. Moritz and others had dreams of transforming tens of thousands of acres into a bustling metropolis that, according to the pitch, could generate thousands of jobs and be as walkable as Paris or the West Village in New York.

He painted a kind of urban blank slate where everything from design to construction methods and new forms of governance could be rethought. And it would all be a short distance from San Francisco and Silicon Valley. “Let me know if this tickles your fancy,” he said in the note, a copy of which was reviewed by The New York Times.

Michael Moritz, a well-known investor, wrote in a 2017 pitch, “If the plans materialize anywhere close to what is being contemplated, this should be a spectacular investment. | Alex Flynn / Bloomberg.

Since then, a company called Flannery Associates has been buying large plots of land in a largely agricultural region 60 miles northeast of San Francisco. The company, which has little information public about its operations, has committed more than $800 million to secure thousands of acres of farmland, court documents show. One parcel after another, Flannery made offers to every landowner for miles, paying several times the market rate, whether the land had been listed for sale or not.

The purchases by a company that no one in the area had heard of and whose business was a mystery have become the subject of heavy speculation and developing news stories, rattling landowners, local supervisors, the nearby Air Force base and members of Congress. Was Disney buying it for a new theme park? Could the purchases be linked to China? A deepwater port?

Flannery is the brainchild of Jan Sramek, 36, a former Goldman Sachs trader who has quietly courted some of the tech industry’s biggest names as investors, according to the pitch and people familiar with the matter. The company’s ambitions expand on the 2017 pitch: Take an arid patch of brown hills cut by a two-lane highway between suburbs and rural land, and convert into it into a community with tens of thousands of residents, clean energy, public transportation and dense urban life.

The company’s investors, whose identities have not been previously reported, are a who’s who of Silicon Valley, according to three people who were not authorized to speak publicly about the plans.

They include Mr. Moritz; Reid Hoffman, the LinkedIn co-founder, venture capitalist and Democratic donor; Marc Andreessen and Chris Dixon, investors at the Andreessen Horowitz venture capital firm; Patrick and John Collison, the sibling co-founders of the payments company Stripe; Laurene Powell Jobs, founder of the Emerson Collective; and Nat Friedman and Daniel Gross, entrepreneurs turned investors. Andreessen Horowitz is also a backer. It was unclear how much each had invested.

It is unclear how much the investors, who include Patrick and John Collison, the sibling co-founders of the payments company Stripe, have each invested in Flannery. | David Paul Morris / Bloomberg.

Brian Brokaw, a representative for the investor group, said in a statement that the group was made up of “Californians who believe that Solano County’s and California’s best days are ahead.” He said the group planned to start working with Solano County residents and elected officials, as well as with Travis Air Force Base, next week.

In California, housing has long been an intractable problem, and Silicon Valley’s moguls have long been frustrated with the Bay Area’s real estate shortage, and the difficulty of building in California generally, as their work forces have exploded. Companies like Google have clashed with cities like Palo Alto and Mountain View over expanding their headquarters, while their executives have funded pro-development politicians and the “Yes in my backyard” activists who have pushed for looser development and zoning laws in hopes of making it easier to build faster and taller.

The practical need for more space has at times morphed into lofty visions of building entire cities from scratch. Several years ago, Y Combinator, the start-up incubator, announced an initiative with dreams of turning empty land into a new economy and society. Years before that, Peter Thiel, the PayPal co-founder and billionaire Facebook investor, invested in the Seasteading Institute, an attempt to build a new society on lily pad-like structures in the law-and-tax-free open ocean.

But while these ideas have garnered lots of attention and curiosity — lauded in some corners for vision and derided in others for hubris — they have been little more than talk.

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As Flannery began seeking property, it bought so much land, so fast, that it spooked locals who had no idea who the buyer was or the plans it had in mind. Catherine Moy, the mayor of Fairfield, Calif., started posting about the project on Facebook several years ago after she got a call from a farmer about some mystery buyer making offers throughout the county. In an interview, Ms. Moy said she had gone to the county assessor’s office and found that Flannery had purchased tens of thousands of acres.

John Garamendi, a Democrat who along with Mike Thompson, another Democrat, represents the surrounding region in Congress, said he had been trying to figure out the company’s identity for four years.

“I couldn’t find out anything,” he said.

Representative John Garamendi, Democrat of California, said he had been trying to figure out Flannery’s identity for four years. | Rich Pedroncelli / Associated Press.

On Friday, he said that had suddenly changed. This week representatives for Flannery reached out to him and other elected officials requesting meetings about their plans. That meeting is now being scheduled, he said.

“This is their first effort, ever, to talk to any of the local representatives, myself included,” he said.

The land that Flannery has been purchasing is not zoned for residential use, and even in his 2017 pitch, Mr. Moritz acknowledged that rezoning could “clearly be challenging” — a nod to California’s notoriously difficult and litigious development process.

To pull off the project, the company will almost certainly have to use the state’s initiative system to get Solano County residents to vote on it. The hope is that voters will be enticed by promises of thousands of local jobs, increased tax revenue and investments in infrastructure like parks, a performing arts center, shopping, dining and a trade school.

The financial gains could be huge, Mr. Moritz said in the 2017 pitch. He estimated the return could be many times the initial investment just from the rezoning, and far more if and when they started building.

“If the plans materialize anywhere close to what is being contemplated, this should be a spectacular investment,” Mr. Moritz wrote.

The Bay Area is among the country’s most expensive regions, even after rent and home prices fell after the pandemic. Economists and housing experts have for decades blamed a longstanding housing shortage and California’s inability to build enough to meet demand.

Mr. Moritz nodded to this in the email to the investor, arguing that “this effort should relieve some of the Silicon Valley pressures we all feel — rising home prices, homelessness, congestion etc.” He added that his group had secured some 1,400 acres for less than $5,000 per acre. The price per acre has since escalated, and the company’s most recent purchases have neared $20,000 per acre, according to court documents and people familiar with the matter.

The purchases burst into public view this spring when lawyers for Flannery filed a lawsuit in U.S. District Court, accusing landowners of colluding to inflate prices.

The group focused on Jepson Prairie and Montezuma Hills, an agricultural patch of eastern Solano County between the cities of Fairfield and Rio Vista, according to the lawsuit. This area is mostly unpopulated and covered with ranches, windmills and power lines.

ravis Air Force Base’s proximity to the land deals prompted speculation about the motives of the people behind Flannery. | Jim Wilson / The New York Times.

In November 2018, the company sent offers to “most landowners in this area,” the lawsuit said, and included incentives such as allowing sellers to retain income from wind turbines, as well as stay on the properties rent-free under long-term lease-back agreements. Over the five years, the company purchased some 140 properties from 400 owners, the lawsuit said.

This month, a lawyer representing landowners jointly filed a motion to dismiss the case. In July, three landowners said they had reached a potential settlement with Flannery. Other owners could not be reached for comment this week, or had declined to do so.

As the offers continued and prices escalated, landowners in Solano County started buzzing about who was buying so much land for so much money.

“They would come with an offer of four and five times over the market at the time,” Ms. Moy said. “They were deals that they couldn’t pass up.”

Flannery’s offers were creating multimillionaires across the county, but no one seemed to know what the mysterious company intended to do with land that now amounted to a large chunk of the entire county.

That changed last week, when residents started receiving texts and emails with a poll gauging their opinions on a number of questions. One asked them to rate the favorability of several names including “Joe Biden,” “Donald Trump” and “Flannery Associates.” Another question began with a description of a possible ballot initiative for a project that “would include a new city with tens of thousands of new homes, a large solar energy farm, orchards with over a million new trees, and over 10,000 acres of new parks and open space.”

Ms. Moy cited poor infrastructure, including the two-lane highway bisecting the region that she said was already clogged by super-commuters driving to the edges of the Bay Area and beyond. The area is also prone to regular droughts and is at high risk for wildfires.

“It seems very pie in the sky,” she said.

How to navigate renewed COVID threat in the Bay Area

Roger Straw

[Note from BenIndy Contributor Roger Straw: Well, it finally ALMOST happened. My wife and I have been ultra careful, and so far are among the increasingly rare few who have not contracted the coronavirus. Mary Susan is immune compromised, so we still wear masks in the grocery and other crowded indoors places. But we were seriously exposed when close family members tested positive a day or two after celebrating a birthday in our own home. They got on Paxlovid right away, and are fine, but only after a really miserable 2 weeks. We isolated and tested negative every other day for 10 days – and whew, still have not got the bug. Thank goodness we celebrated with windows wide open and seated widely spaced at the long dinner table. Please know that COVID is back, it’s around you, and it is no fun when you get it! And… it can be really serious, even long-lasting. Read on….]

How to navigate renewed COVID threat in the Bay Area

San Francisco Chronicle, by Aidin Vaziri, Aug. 22, 2023

Fans wait for Ethel Cain at the Sutro stage during the first day of the Outside Lands Music Festival on Aug. 11. As the Bay Area’s summer COVID-19 swell gains ground, outdoor venues remain a relatively safe environment, even without masks. | Jessica Christian/The Chronicle

UPDATERising COVID cases prompt Bay Area hospital to reinstate mask mandate

A local theater troupe cancels a weekend of performances because cast members have COVID. A Sunday luncheon is postponed because the hostess has fallen ill. A colleague catches the coronavirus on a trip back from Italy. The nearby Walgreens is sold out of home test kits.

There’s no mistaking that the SARS-CoV-2 virus is staging an unwanted comeback in the Bay Area. The uptick in COVID cases evokes memories of summers since 2020. Official figures, though early, back up the anecdotes: The state’s test positivity rate has climbed to 11.8%, its highest level since the beginning of the year, and hospitalizations are up more than 63% in the last month, from a seven-day average of 163 admissions per day in mid-July to 266 per day last week.

Nationally, there were 12,613 new COVID-19 hospitalizations for the week ending Aug. 12, according to data released Monday by the Centers for Disease Control and Prevention. This figure reflects a 21.6% rise compared to the preceding week. Deaths due to COVID-19, a lagging indicator, are also starting to pick up nationwide, with an 8.3% increase over the same period.

While many cases result in mild symptoms, especially for those who’ve been vaccinated or previously battled the virus, COVID’s disruption to work and life is still undeniable. Plus, some evidence suggests that each subsequent bout of the virus may raise the risk of experiencing a persistent state of exhaustion, brain fog, or other symptoms known as long COVID.

Despite the resurgence, a sense of “pandemic fatigue” pervades the population, prompting many people to resume normal activities and overlook the threat, especially if their risk of severe illness is low. Restaurants, movie theaters, concert venues and airplanes are now packed with crowds of almost entirely unmasked people who roll the dice and hope for the best.

But what if you’re not among those willing to wager on chance, either due to underlying health conditions or general concern about adverse outcomes? As the summer swell gains momentum, here is a refresher on the latest expert advice to navigate uncertain times.

When to consider vaccinations and boosters

Throughout 2023, the dominant strains of the coronavirus nationwide and in the Bay Area have been descendants of the omicron family of SARS-CoV-2. The currently available vaccines and boosters were tailored to combat both the original 2020 coronavirus strain and a 2022 omicron derivative, so they offer somewhat diminished protection against the current variants. Yet they still afford greater protection than no vaccination at all. Updated vaccines geared toward more recent variants are set to roll out in late September or early October.

When to consider a booster:

  • Higher-risk individuals: People at higher risk of severe illness, including those with health conditions such as obesity or diabetes, individuals age 65 and above, or those with compromised immune systems due to underlying immunological problems or cancer treatments, should get a booster shot every six months. Some vulnerable people might consider a shot now if it’s been more than four months since their last.
  • General population: If you are in good health, under 65, and have received a vaccine or battled COVID within the past six months, the best option is likely to wait until the fall for the updated booster. Even if it has been more than six months, you might want to hold out for the new booster because it’s better tuned to fighting off current variants.

Masking calculus

Few topics have sparked more debate than masking, with arguments ranging from its efficacy to ideological objections to mandates. Yet the evidence remains clear: Consistent masking has been shown to be an accessible and effective means to reduce transmission, whether you’re at risk of unknowingly spreading the virus or of contracting it.

For those looking for more protection in the current environment, situations where a tight-fitting quality N95 or KN95 mask can be beneficial include:

  • Public transportation.
  • Airport waiting lounges and during aircraft boarding and taxiing.
  • Crowded indoor spaces where people are singing or shouting.
  • Bustling restaurants before and after meals.

Scenarios that may not warrant the same level of precaution include:

  • Walking or hiking outdoors.
  • Open-air concerts or sporting events.
  • Alfresco dining or social interactions.

Navigating social situations and testing

Although there are no definitive rules for safe or unsafe behavior in more intimate social settings, a combination of thoughtfulness and common courtesy can guide most interactions.

  • Home test kits, while still able to detect the latest coronavirus strains, are not as reliable as they were in the past. A positive home test remains a clear indication of COVID, and there’s no need to confirm the diagnosis with an official lab test unless it’s required for work absences or other reasons.
  • A greater concern is the potential for “false negatives” from home tests during the early stages of infection. If you suspect you may be ill and are worried about meeting other people, multiple tests over successive days should clear up any doubt.
  • If you need to have more certainty for some reason, many pharmacies and health providers still provide a polymerase chain reaction, or PCR, laboratory test, which is considered the gold standard. Payment is dependent on insurance carriers, and out-of-pocket testing can cost upward of $100.
  • When visiting at-risk friends or family members, wearing a mask requires minimal effort and can safeguard your loved ones. If you have any reason to suspect you may be sick or have been exposed to the virus, taking a home COVID test before meeting affords a quick — if imperfect — screen.
  • For hospital or nursing home visits, an over-the-counter test ahead of time and masking can help protect vulnerable populations, as well as yourself.

What should you do if you are exposed or infected?

  • In case of exposure: The Centers for Disease Control and Prevention offers a practical risk calculator for determining post-exposure actions following contact with someone who has COVID-19. The first step: Put on a mask to protect others for 10 days, watch for symptoms such as fever, and test yourself on Day 6. If you’re negative, keep masking until Day 10, and then you can stop.
  • If you are infected: In the event of a positive test or development of symptoms, the CDC advises immediate isolation. Wear a high-quality mask if you must be around others. The most infectious period usually spans the first five days after testing positive.
  • When to seek emergency treatment: If you have trouble breathing, persistent pain or pressure in the chest, feel disoriented, unable to wake or stay awake, or experience a change in skin tone, call 911 or your local emergency department.
  • When to end isolation: Those who show no symptoms can end isolation after five days, the CDC says. But if you do have symptoms, you should continue to isolate until you are fever-free for 24 hours without the use of fever-reducing medication.If you had moderate (difficulty breathing) or severe (requiring hospitalization) symptoms, you should isolate through Day 10. Wear a mask until you have two sequential negative test results 48 hours apart.
  • Treatments and medications: For those experiencing mild illness, the CDC advises home recovery, with over-the-counter medications like acetaminophen (Tylenol) or ibuprofen (Motrin, Advil) to help manage symptoms.A Food and Drug Administration-approved antiviral drug, Paxlovid, can effectively treat mild to moderate COVID-19 in individuals who are at greater risk, but treatment must be started within days of symptom onset. Preliminary research also suggests Paxlovid can reduce the risk of developing long COVID.

More COVID on the Benicia Independent…

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