On August 31, the California Assembly and Senate passed SB 219, which provides for the following notable changes to the climate disclosure laws, among others:

• The amendments would not impact the timeline for the disclosure of Scopes 1 and 2 Greenhouse Gas (GHG) emissions under SB 253, beginning in 2026, but may slightly delay the timeline for disclosure of Scope 3 GHG emissions (although the first disclosure will continue to be due in 2027). 
• The California Air Resources Board (CARB) would have until July 1, 2025, to adopt regulations for Scopes 1, 2, and 3 GHG emissions reporting.
• GHG emission reports would be allowed to be consolidated at the parent company level.

Gov. Gavin Newsom has until September 30 to sign or veto SB 219. We expect that he will sign the bill into law, though he may continue to advocate for delays in the reporting deadlines.

This article is part of a Fenwick "Securities Law Update" authored by David A. Bell, Ran Ben-Tzur, Amanda Rose, and Merritt Steele.