Intro

Over the past decade, California has struggled with an alarming rise in climate disasters. We’ve experienced unprecedented wildfires, prolonged droughts, and extreme heat waves. Unfortunately, while major fossil fuel companies profit from their contribution to climate change, the financial burden of these disasters has fallen onto taxpayers. The Polluters Pay Climate Superfund Act of 2025 (SB 684/AB 1243) seeks to shift this burden by holding fossil fuel enterprises financially accountable for their historical emissions.


Existing Law

The California Climate Crisis Act of 2006 required the state to reduce greenhouse gas emissions to 1990 levels by 2020. It allows the California Air Resources Board (CARB) to set industry limits to help achieve this goal. Building on that foundation, it also sets a statewide target of net-zero emissions by 2045, with at least an 85% reduction below 1990 levels.

While this establishes important targets, it does not hold fossil fuel companies accountable for their significant role in environmental damage. Federal law gives the United States Environmental Protection Agency (US EPA) the authority to seek out parties responsible for releasing pollutants and enforce cleanup efforts. Inspired by this model, the Polluters Pay Climate Superfund Act of 2025 was born.


Polluters Pay Climate Superfund Act

The Polluters Pay Climate Superfund Act recognizes that major fossil fuel corporations have long been aware of their environmental impacts and seeks to hold them financially responsible. Introduced by Senator Caroline Menjivar and Assemblymember Dawn Addis on February 21, 2025, this act proposes creating a Polluters Pay Climate Superfund Program administered by the California EPA. It targets fossil fuel companies responsible for GHG emissions from 1990 to 2024 and would require them to pay their fair share of climate pollution. 

CalEPA would conduct a climate cost study to quantify total damages caused by fossil fuel emissions from 1990 to 2045 and assess compensatory fees. This act would establish the Polluters Pay Climate Superfund Fund in the State Treasury, allocated to climate mitigation, adaptation, and response projects. The goal is to relieve current and future taxpayers from bearing the full cost of weather disasters.

Environmental Justice for the Bay Area

The troubling reality of global warming is that Bay Area communities, particularly low-income and communities of color, face heightened exposure to climate-related hazards. Rising sea levels, air pollution, and extreme droughts all contribute to a dangerous public health hazard. 

The funds collected through this act could support a wide range of initiatives—from clean energy and response projects to strengthening California’s public health systems. If successful, it would shift the financial burden from taxpayers to major polluters while paving the way for a new era of environmental and health justice.


Conclusion

Climate change is a reflection of our collective overreach–an imbalance rooted in the unchecked exploitation of resources meant to sustain all life. As residents of one of the world’s most climate-vulnerable regions, Californians have both the responsibility and the opportunity to lead with bold, restorative action. The Polluters Pay Climate Superfund Act of 2025 offers a meaningful path forward. It starts us off with holding major polluters accountable, investing in community protection, and safeguarding the health of future generations. We must take adequate measures to protect ourselves, this land, and its resources.