ARTICLE 3. Allocation and Use of Revenues [3820. - 3827.]

Cal. Public Resources Code - PRC 3.

in effect

Cal. Public Resources Code - PRC § 3820. Section 3820.

(a) The Geothermal Resources Development Account is hereby created in the General Fund. (b) All revenues received by the state pursuant to Section 35 of the Mineral Lands Leasing Act of 1920, as amended (30 U.S.C. Sec. 191), with respect to activities undertaken pursuant to the Geothermal Steam Act of 1970 (Chapter 23 (commencing with Section 1001) of Title 30 of the United States Code) shall be deposited in the Geothermal Resources Development Account immediately upon receipt, and are hereby continuously appropriated from the account for expenditure or transfer in the manner and at the times specified in this article. (c) Commencing with the 1980–81 fiscal year, two million dollars ($2,000,000), or so much thereof as may be necessary, of the revenues received by the state pursuant to Section 35 of the Mineral Lands Leasing Act of 1920, as amended (30 U. S.C. Sec. 191), from sources other than activities undertaken pursuant to the Geothermal Steam Act of 1970 (Chapter 23 (commencing with Section 1001) of Title 30 of the United States Code) shall be deposited each fiscal year in the account until a total amount is deposited which is equal to the revenues that were received by the state on and after January 1, 1976, from activities undertaken pursuant to the Geothermal Steam Act of 1970, but which were not deposited in the account pursuant to subdivision (b). The revenues so deposited are hereby continuously appropriated from the account for expenditure or transfer in the manner and at the times specified in this article. The deposit of revenues required by this subdivision are in addition to the deposit of revenues required by subdivision (b).

Cal. Public Resources Code - PRC § 3821. Section 3821.

(a) Upon receipt and deposit of revenues in the Geothermal Resources Development Account, 40 percent of the revenues derived from the sale of a lease, and any bonus paid in connection therewith, shall be immediately disbursed by the State Controller to the county of origin; and 40 percent of the revenues consisting of royalties and rents shall be immediately disbursed to all counties of origin in proportion to the amounts of the revenues derived from existing leases within each county of origin. If a lease includes land in more than one county, each county’s share shall be computed on the basis of the ratio that the acreage within each county bears to the total acreage in the lease. (b) Each county of origin shall establish for deposit of such revenues an account or fund separate from the other accounts and funds of the county, and may expend such revenues only for the purposes specified in this chapter.

Cal. Public Resources Code - PRC § 3822. Section 3822.

(a) Thirty percent of the revenues received and deposited in the Geothermal Resources Development Account shall be available for expenditure by the commission as grants or loans to local jurisdictions or private entities without regard to fiscal years. These revenues shall be held by the commission in the Local Government Geothermal Resources Revolving Subaccount, which is hereby created in the Geothermal Resources Development Account. Loan repayments shall be deposited in the subaccount and shall be used for making additional grants and loans pursuant to Section 3823. (b) No local jurisdiction shall be eligible to apply for a grant or loan pursuant to this section unless its governing body approves the application by resolution. (c) Each recipient of a grant or loan made pursuant to this section shall establish, for the deposit of the revenues, an account or fund that is separate from the other accounts and funds of the recipient, and may expend the revenues only for the purposes specified in this chapter. (d) The commission shall make grants and loans pursuant to this section irrespective of whether a local jurisdiction is a county of origin. (e) Any of the revenues that are not disbursed as grants or loans pursuant to this section during the fiscal year received shall be retained in the subaccount and may be disbursed as grants or loans pursuant to this section in succeeding fiscal years. (f) (1) Any loan made under this section shall: (A) Not exceed 80 percent of the local jurisdiction’s costs. (B) Be repaid together with interest within 20 years from receipt of the loan funds. (2) Notwithstanding any other provision of law, the commission shall, unless it determines that the purposes of this chapter would be better served by establishing an alternative interest rate schedule, periodically set interest rates on the loans based on surveys of existing financial markets and at rates not lower than the Pooled Money Investment Account. (g) Any loan or grant made to a private entity under this section shall (1) be matched with at least an equal investment by the recipient, (2) provide tangible benefits, as determined by the commission, to a local jurisdiction, and (3) be approved by the city, county, or Indian reservation within which the project is to be located. (h) The commission may require an award repayment or program reimbursement agreement of any recipient of a grant or loan made pursuant to this section.

Cal. Public Resources Code - PRC § 3822.1. Section 3822.1.

Notwithstanding any other provision of law, commencing with the 1984–85 fiscal year and in each fiscal year thereafter, any revenues not granted pursuant to Section 3822 remaining in the Geothermal Resources Development Account and any revenues expected to be received and disbursed during the 1984–85 fiscal year and in each fiscal year thereafter shall be made a part of the Governor’s Budget. Projects approved by the State Energy Resources Conservation and Development Commission under this chapter shall be submitted for review and comment to the Department of Finance, the Legislative Analyst, and the Joint Legislative Budget Committee when the Legislature is in session. After a 30-day period, the commission shall execute the funding agreements. The commission shall submit to the Legislature by April 1 of each year, a list of projects, in priority order, selected and approved during the previous year.

Cal. Public Resources Code - PRC § 3822.2. Section 3822.2.

(a) Notwithstanding any other provision of law, the State Energy Resources Conservation and Development Commission may expend funds, from that portion of the Geothermal Resources Development Account used by the commission for grants and loans, to provide direct technical assistance to local jurisdictions which are eligible for grants and loans pursuant to Section 3822. (b) The total of all amounts expended pursuant to this section shall not exceed 5 percent of all funds available under Section 3822 or one hundred thousand dollars ($100,000), whichever amount is less. (c) In making expenditures under this section, the commission shall consider, but not be limited to a consideration of, all of the following: (1) The availability of energy resource and technology opportunities. (2) The project definition and likelihood of success. (3) Local needs and potential project benefits.

Cal. Public Resources Code - PRC § 3823. Section 3823.

Revenues disbursed to counties of origin pursuant to Section 3821 and grants or loans made to local jurisdictions or private entities pursuant to Section 3822 shall be expended by the recipient for the following purposes: (a) Undertaking research and development projects relating to geothermal resource assessment and exploration, and direct-use and electric generation technology. (b) Local and regional planning and policy development and implementation necessary for compliance with programs required by local, state, or federal laws and regulations. (c) Identification of feasible measures that will mitigate the adverse impacts of the development or production of geothermal resources, the extraction of minerals from geothermal brines, and related activities, and the adoption of ordinances, regulations, and guidelines to implement those measures. (d) Collecting baseline data and conducting environmental monitoring. (e) Preparation or revision of geothermal resource elements, or geothermal components of energy elements, for inclusion in the local general plan, zoning and other ordinances, and related planning and environmental documents. (f) Administrative costs incurred by the local jurisdiction that are attributable to the development or production of geothermal resources, the extraction of minerals from geothermal brines, and related activities. (g) Monitoring and inspecting geothermal facilities and related activities to assure compliance with applicable laws, regulations, and ordinances. (h) Identifying, researching, and implementing feasible measures that will mitigate the adverse impacts of the development or production of geothermal resources, extraction of minerals from geothermal brines, and related activities, including mitigation measures that provide community benefits directly or indirectly related to adverse social and economic impacts. (i) Planning, constructing, providing, operating, and maintaining those public services and facilities that are necessitated by, and result from, the development or of geothermal resources, the extraction of minerals from geothermal brines, and related activities. (j) Undertaking projects demonstrating the technical and economic feasibility of geothermal direct heat and electrical generation applications. (k) Undertaking projects for the enhancement, restoration, or preservation of natural resources, including, but not limited to, water development, water quality improvement, fisheries enhancement, and park and recreation facilities and areas. ( l ) In furtherance of the state’s zero-emission vehicle and energy storage objectives, undertaking projects to recover lithium, metals, agricultural products, and other beneficial minerals from highly mineralized geothermal brines at a geothermal facility that is in a disadvantaged community and provides local employment opportunities.

Cal. Public Resources Code - PRC § 3824. Section 3824.

Subject to the requirements of Section 3824.5, revenues disbursed to counties of origin pursuant to Section 3821 may be expended for the repair and maintenance of capital assets, including roads, bridges, aviation facilities, buildings, and parking areas. These revenues, including unencumbered revenues already accumulated, may also be expended for the construction of jail facilities.

Cal. Public Resources Code - PRC § 3824.5. Section 3824.5.

Revenues disbursed to counties of origin pursuant to Section 3821 may be expended for purposes unrelated to geothermal development only in counties where there is no new geothermal development and substantial planning, maintenance, and environmental mitigation of geothermal development have been achieved.

Cal. Public Resources Code - PRC § 3825. Section 3825.

Thirty percent of the revenues received and deposited in the Geothermal Resources Development Account shall, upon receipt by the Controller, be transferred to the Renewable Resources Investment Fund and shall be available, upon appropriation by the Legislature, for expenditure for the purposes of Section 34000.

Cal. Public Resources Code - PRC § 3826. Section 3826.

For all lands of the United States which are received by the State Lands Commission as indemnity lands pursuant to Section 851 of Title 43 of the United States Code after July 1, 1980, the revenue received by the state from the leasing of these lands for geothermal development shall be distributed as follows: (a) Fifty percent of all revenues shall be deposited in the Geothermal Resources Development Account and disbursed pursuant to this chapter. (b) Fifty percent of all revenues shall be deposited in the Teachers’ Retirement Fund and shall be expended pursuant to Section 24702 of the Education Code.

Cal. Public Resources Code - PRC § 3827. Section 3827.

If federal geothermal lease lands are transferred to the state for any reason, the lease revenues shall continue to be deposited into the accounts specified pursuant to Section 3826.

Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026