CA AB523

Establishes that beginning July 1, 2013, state funding for ethanol production projects is limited to non-corn-derived ethanol under the Alternative and Renewable Fuel and Vehicle Technology Program.

Exempts ethanol derived from corn stover, leaves, cobs, and other nonedible corn plant portions from the corn-derived ethanol funding restriction.

Requires biorefiners receiving state loans to submit improvement plans within 6 months, cost estimates within 12 months, secure permits within 24 months, obtain financing within 36 months, and complete facility modifications within 48 months of program acceptance.

Mandates that biorefiners demonstrate compliance with enhancement goals designed to reduce carbon intensity and improve efficiency and environmental sustainability of biofuel production.

Applies compliance requirements to biorefiners receiving loan appropriations from the 2010-11 or 2011-12 fiscal years and subsequent years.