This is correct. Your 1996 Subaru has an earlier model of the OBD II Engine
Control System. These computer systems were not designed to work with the
new California State mandated smog machine systems. However the BAR (Bureau
of Automotive Repairs) has downloaded software to all California smog
machines to allow for the testing of vehicles with early OBD II computer
systems. Your vehicle should not have a problem getting through the
functional portion of the OBD2 test.
If you do run into any problems you have two solutions. First you may see
the vehicle's dealer/manufacturer and explain your problem. They may be able
to re-program your engine computer to function with California's smog
equipment, or you can have your vehicle inspected by the State Referee's
Office. They may bypass the smog equipments OBDII connection system and pass
your Subaru. You may reach the Referee's Office at (800)622-7733.