{"id":66745,"date":"2024-09-04T17:33:27","date_gmt":"2024-09-04T17:33:27","guid":{"rendered":"https:\/\/www.ecoonline.com\/your-california-disclosure-task-force\/"},"modified":"2025-04-14T09:48:06","modified_gmt":"2025-04-14T09:48:06","slug":"your-california-disclosure-task-force","status":"publish","type":"post","link":"https:\/\/www.ecoonline.com\/en-us\/blog\/your-california-disclosure-task-force\/","title":{"rendered":"Your California Disclosure Task Force"},"content":{"rendered":"\n<section class=\"Pegasus__Container w-full   relative h-fit  text-content-dark mobile-stacking-standard is-layout-flow wp-block-pegasus-container-is-layout-flow\" style=\"  padding-bottom:var(--wp--preset--spacing--30); \" >\n\t        \n\t\t\t\t\t\t\t\n\t\t\t\t\t\t\n\t\t\t\t\t\t\n\t\t        \t\t\n\t\t\n\t\n\t\t\t<div class=\"relative h-full is-flex-layout flex flex-col justify-start  w-full\">\n\n<p>If your business is based in California, you\u2019ve probably heard about\u00a0<a href=\"https:\/\/leginfo.legislature.ca.gov\/faces\/billNavClient.xhtml?bill_id=202320240SB261\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">California\u2019s new climate disclosure laws: SB253 and SB\u00a0261<\/a>.\u00a0<a href=\"https:\/\/leginfo.legislature.ca.gov\/faces\/billNavClient.xhtml?bill_id=202320240SB253\">SB 253<\/a>, or The Climate Corporate Data\u00a0Accountability Act, and\u00a0<a href=\"https:\/\/leginfo.legislature.ca.gov\/faces\/billNavClient.xhtml?bill_id=202320240SB261\">SB 261<\/a>\u00a0pertaining to Greenhouses: Climate-Related\u00a0Financial Risk, affects businesses with total annual revenues over $500 million. But did you know that even businesses headquartered outside of California with a branch within the State must also\u00a0adhere to these new bills?\u00a0\u00a0<\/p>\n\n\n\n<p>It\u2019s vital that your company is prepared to meet these reporting requirements. What\u2019s a step in the right direction? Start assembling your disclosure task force. These are the people you&nbsp;should have on your team to help your organization disclose an accurate and successful report, in compliance with the new laws.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Keep reading to discover:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Who needs be on your team and why&nbsp;<\/li>\n\n\n\n<li>Who should be leading the charge<\/li>\n\n\n\n<li>What role EHS members play<br><\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/www.ecoonline.com\/wp-content\/uploads\/2024\/09\/3856694d-4899-45fe-8fb2-63b749448f65-4.webp\" alt=\"3856694d-4899-45fe-8fb2-63b749448f65.png\"\/><\/figure>\n\n\n\n<p><\/p>\n\n\n\n<h2 class=\"wp-block-heading has-large-font-size\">Who needs to be on your team \u2013 and why<\/h2>\n\n\n\n<p>According to&nbsp;<a href=\"https:\/\/www.ecoonline.com\/en-us\/2024-sustainability-readiness-report?hsCtaTracking=33f6bb30-39b1-481b-ab80-f1511cabd318%7C0c0e823c-dd7b-4205-8f88-5fe254ea7136\">EcoOnline\u2019s 2024&nbsp;Sustainability Readiness Report<\/a>, which surveyed leaders from 6,300 US-based companies with revenues over $500 million a year, these are the departments or groups who are involved&nbsp;in sustainability processes and compliance efforts:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>ESG or sustainability teams&nbsp;<\/li>\n\n\n\n<li>Board, investors, and\/or the CEO<\/li>\n\n\n\n<li>Finance<\/li>\n\n\n\n<li>Operations<\/li>\n\n\n\n<li>EHS members<\/li>\n<\/ul>\n\n\n\n<p>It\u2019s no surprise that sustainability and finance teams are involved, but you might be wondering what part operations, your CEO, and EHS members play. Let\u2019s dive into each department a little&nbsp;deeper to uncover their responsibilities:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>ESG or sustainability teams:<\/strong>&nbsp;Sustainability members are essential to this process as they can help provide their expertise on what matters need to be disclosed&nbsp;and how to do so, in terms of Scope 1, 2, and 3 emissions as well as climate-related risks and opportunities.&nbsp;&nbsp;<\/li>\n\n\n\n<li><strong>Board, investors, and\/or the CEO:<\/strong>&nbsp;40% of respondents to the EcoOnline survey stated that their CEO or board members oversee and are accountable for their&nbsp;organization\u2019s sustainability strategies as well as compliance. Investors may also play a role here in terms of providing insight into what initiatives and elements may affect the company\u2019s&nbsp;standing in the market.<\/li>\n\n\n\n<li><strong>Finance:<\/strong>&nbsp;Finance team members, including your CRO, should also be included in your California disclosure task force to help calculate all financial-related&nbsp;elements impacted by climate-related risks and opportunities.&nbsp;&nbsp;<\/li>\n\n\n\n<li><strong>Operations:<\/strong>&nbsp;Operational teams usually provide and are responsible for quality sustainability data used in your sustainability reports. This data is also vital&nbsp;for allowing key stakeholders to set goals and targets for improvements.&nbsp;<\/li>\n\n\n\n<li><strong>EHS members:<\/strong>&nbsp;Finally, most sustainability initiatives involve EHS members as they also share knowledge and expertise when it comes to environmental matters and&nbsp;data reporting (more on this later!).&nbsp;&nbsp;<\/li>\n<\/ul>\n\n\n\n<p>Lay the foundation for a successful reporting process with the abovementioned team members by your side.&nbsp;&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-large-font-size\">Who should be leading the charge<\/h2>\n\n\n\n<p>With your team assembled, it\u2019s time to decide who will be leading this sustainability initiative. According to our report, these are the departments leading this&nbsp;effort:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>35% ESG or sustainability<\/li>\n\n\n\n<li>21% finance<\/li>\n\n\n\n<li>19% board, investor, and\/or CEO<\/li>\n\n\n\n<li>16% operations<\/li>\n\n\n\n<li>9% EHS&nbsp;<\/li>\n<\/ul>\n\n\n\n<p>The expertise and insight offered by the ESG and sustainability team is second to none, which is why they are leading the way across companies in America. But what about the company\u2019s CEO?&nbsp;As previously stated, 40% of respondents stated their CEO had oversight into this process with one fifth of people stating their CEO or board members were actually leading the&nbsp;initiative.&nbsp;<\/p>\n\n\n\n<p>The survey also revealed that 56% of respondents assigned responsibility to a senior or VP leader of the sustainability or finance department.&nbsp;&nbsp;&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/www.ecoonline.com\/wp-content\/uploads\/2024\/09\/California20disclosure20report20graph20-2.webp\" alt=\"California%20disclosure%20report%20graph%20.png?width=476&amp;height=497&amp;name=California%20disclosure%20report%20graph%20.png\"\/><\/figure>\n\n\n\n<p>So, what\u2019s the answer? It\u2019s safe to say that having a senior level representative from your sustainability team is the way to go.&nbsp;&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-large-font-size\">What role do EHS members play<\/h2>\n\n\n\n<p>As seen above, only about 9% of respondents mentioned EHS members leading sustainability strategies. Though they may not be the most popular to lead this effort, they\u2019re still a vital part&nbsp;of the team and here\u2019s why.&nbsp;<\/p>\n\n\n\n<p>There\u2019s a strong&nbsp;<a href=\"https:\/\/www.ecoonline.com\/en-us\/blog\/exploring-the-synergy-between-ehs-and-esg-reporting\">connection between EHS and ESG<\/a>&nbsp;with both&nbsp;having a role in reporting environmental factors related to an organization. EHS members may look at environmental factors more holistically, while ESG or sustainability departments get more&nbsp;granular in specific areas.&nbsp;&nbsp;<\/p>\n\n\n\n<p>The method in which data is analyzed and assessed is also shared between these two departments. EHS members have used the same strategies to collect and analyze EHS data in terms of&nbsp;communicating and collaborating with team members across the organization to get the most accurate information. These skills play an important role in your disclosure processes, making EHS&nbsp;members a necessary part of your California climate disclosure task force.&nbsp;&nbsp;<br><\/p>\n\n\n\n<h2 class=\"wp-block-heading has-large-font-size\">Ready to get started?<\/h2>\n\n\n\n<p>Building your team is an important part of a successful disclosure process. According to the EcoOnline report, 0% of respondents are waiting for sustainability laws to go into effect before&nbsp;building their sustainability program or team, so what are you waiting for? Start assembling your team now.&nbsp;<\/p>\n\n\n\n<p>To dive into more insights from sustainability leaders across America including key findings related to sustainability budgets, net zero target dates, and more, access the EcoOnline 2024&nbsp;Sustainability Readiness Report now.&nbsp;&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/www.ecoonline.com\/wp-content\/uploads\/2024\/09\/3856694d-4899-45fe-8fb2-63b749448f65-4.webp\" alt=\"3856694d-4899-45fe-8fb2-63b749448f65.png\"\/><\/figure>\n\n<\/div>\n\t\t\n\t        <\/section>\n","protected":false},"excerpt":{"rendered":"<p>If your business is based in California, you\u2019ve probably heard about California\u2019s new climate disclosure laws: SB253 and SB 261. SB 253, or The Climate Corporate Data Accountability Act, and SB 261 pertaining to Greenhouses: Climate-Related Financial Risk, affects businesses with total annual revenues over $500 million. But did you know that even businesses headquartered outside of California with a branch within the State must also adhere to these new bills?&nbsp;&nbsp;<\/p>\n","protected":false},"author":2,"featured_media":66746,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","footnotes":"","_links_to":"","_links_to_target":""},"category":[66],"tags":[],"item-type":[210],"class_list":["post-66745","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized-en-us","item-type-article-en-us"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>California Disclosure Laws: What to Know | EcoOnline US<\/title>\n<meta name=\"description\" content=\"SB253 &amp; SB261 affect global businesses with branches in California. Learn if your company must comply.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.ecoonline.com\/en-us\/blog\/your-california-disclosure-task-force\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"California Disclosure Laws: What to Know | EcoOnline US\" \/>\n<meta property=\"og:description\" content=\"SB253 &amp; SB261 affect global businesses with branches in California. 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