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AB2766 Subvention Fund Program


In 1990, California Assembly Bill 2766 was signed into law (Health & Safety Code Sections: 44220 - 44247) and the funding program described in that law has since been known as the “AB2766 program” or just “AB2766.”

AB 2766 provides for the collection of an additional $4 in motor vehicle registration fees to fund various air pollution efforts.  Each dollar collected is disbursed as follows:

  • 30 cents  -  used by the AQMD for programs to reduce air pollution from motor vehicles and to carry out planning, monitoring, enforcement and technical studies that are authorized by, or necessary to implement, the California Clean Air Act. 
  • 40 cents  -  distributed on a quarterly basis by the AQMD to cities and counties located in the South Coast District, based on their percentage of population, to be used to reduce motor vehicle air pollution.  Every year AQMD provides technical assistance and training for the local government AB2766 reporting process.
  • 30 cents  -  deposited by the AQMD into a "Discretionary Fund" to be used to implement or monitor programs to reduce motor vehicle air pollution.  To determine which projects should be funded by the Discretionary Fund, AB 2766 provided for the creation of the Mobile Source Air Pollution Reduction Review Committee (MSRC), which develops a Work Program for evaluating programs and makes a final recommendation to the SCAQMD Governing Board as to which programs and/or projects should be funded.