BILL NUMBER: AB 1331 AMENDED
BILL TEXT
AMENDED IN SENATE JUNE 17, 2014
AMENDED IN SENATE MAY 8, 2014
AMENDED IN SENATE APRIL 21, 2014
AMENDED IN SENATE APRIL 8, 2014
AMENDED IN SENATE MARCH 18, 2014
AMENDED IN SENATE MARCH 5, 2014
AMENDED IN SENATE JANUARY 7, 2014
AMENDED IN SENATE SEPTEMBER 11, 2013
AMENDED IN SENATE AUGUST 26, 2013
AMENDED IN ASSEMBLY MAY 21, 2013
AMENDED IN ASSEMBLY APRIL 23, 2013
AMENDED IN ASSEMBLY APRIL 1, 2013
INTRODUCED BY Assembly Member Rendon
(Principal coauthors: Assembly Members Alejo and Quirk-Silva)
(Coauthors: Assembly Members Bloom, Ian Calderon, Chau,
Daly, Fong, Hall, Holden,
Mullin, Muratsuchi, V. Manuel Pérez,
Quirk, Rodriguez, Stone, Williams, and Yamada)
(Coauthor: Senator Lara)
FEBRUARY 22, 2013
An act to repeal and add Division 26.7 (commencing with Section
79700) of the Water Code, and to repeal Section 2 of Chapter 3 of the
Seventh Extraordinary Session of the Statutes of 2009, relating to a
clean, safe, and reliable drinking water program, by providing the
funds necessary therefor through an election for the issuance and
sale of bonds of the State of California and for the handling and
disposition of those funds.
LEGISLATIVE COUNSEL'S DIGEST
AB 1331, as amended, Rendon. Clean, Safe, and Reliable Drinking
Water Act of 2014.
(1) Existing law, the Safe, Clean, and Reliable Drinking Water
Supply Act of 2012, if approved by the voters, would authorize the
issuance of bonds in the amount of $11,140,000,000 pursuant to the
State General Obligation Bond Law to finance a safe drinking water
and water supply reliability program. Existing law provides for the
submission of the bond act to the voters at the November 4, 2014,
statewide general election.
This bill would repeal these provisions.
(2) Under existing law, various measures have been approved by the
voters to provide funds for water supply and protection facilities
and programs.
This bill would enact the Clean, Safe, and Reliable Drinking Water
Act of 2014, which, if adopted by the voters, would authorize the
issuance of bonds in the amount of $8,000,000,000
$8,200,000,000 pursuant to the State General Obligation
Bond Law to finance a clean, safe, and reliable drinking water
program.
This bill would provide for the submission of the bond act to the
voters at the November 4, 2014, statewide general election.
Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Division 26.7 (commencing with Section 79700) of the
Water Code, as added by Section 1 of Chapter 3 of the Seventh
Extraordinary Session of the Statutes of 2009, is repealed.
SEC. 2. Division 26.7 (commencing with Section 79700) is added to
the Water Code, to read:
DIVISION 26.7. Clean, Safe, and Reliable Drinking Water Act of
2014.
CHAPTER 1. SHORT TITLE
79700. This division shall be known, and may be cited, as the
Clean, Safe, and Reliable Drinking Water Act of 2014.
CHAPTER 2. FINDINGS
79701. The people of California find and declare all of the
following:
(a) Safeguarding supplies of clean and safe drinking water to
California's homes, businesses, and farms is an essential
responsibility of government, and critical to protecting the quality
of life for Californians.
(b) Every Californian should have access to clean, safe, and
reliable drinking water, consistent with the human right to water and
Section 106.3. Providing adequate supplies of clean, safe, and
reliable drinking water is vital to keeping California's economy
growing and strong.
(c) Climate change has impaired California's capacity to ensure
clean, safe, and reliable drinking water, as droughts have become
more frequent and more severe, and ecosystems have become stressed.
Higher temperatures mean less snow pack, which is the state's largest
water reservoir. Scientists project a loss of at least 25 percent of
the snow pack in the Sierra Nevada Mountains by 2050. The Colorado
River basin, which provides drinking water to southern California,
has experienced prolonged drought . drought.
(d) California's water infrastructure continues to age and
deteriorate. More than 50 years ago, Californians approved the
construction of the State Water Project. In the decades that
followed, California's water leaders developed the most sophisticated
system of state, federal, regional, and local water infrastructure
anywhere in the world. In recent decades, however, that water
infrastructure and the water environment on which it depends have
deteriorated.
(e) In the years since the voters approved the State Water
Project, California's population has continued to grow, from less
than 16 million in 1960 to more than 37 million in 2010. A growing
population and a growing economy have put greater stress on
California's natural resources, including water. The Department of
Finance projects that California's population will reach 50 million
by 2049.
(f) A growing population and a growing economy have put greater
stress on California's natural resources, including water.
Contamination of groundwater aquifers from economic activity in the
agricultural and industrial sectors has threatened vital drinking
water supplies.
(g) As California and its water infrastructure have grown,
increasing demands on California's limited water supplies and
deteriorating aquatic ecosystems have led to intense conflict,
further threatening the reliability of clean and safe drinking water.
79702. The people of California find and declare all of the
following:
(a) A sustainable water future can provide the means for
California to maintain vibrant communities, globally competitive
agriculture, and healthy ecosystems, which are all a part of the
quality of life that attracts so many to live in California.
(b) Responding to climate change, ensuring clean and safe drinking
water, and preparing for California's continued growth will require
a diversified portfolio of strategies and investments to address the
many water challenges facing California.
(c) Improving water quality offers one of the most immediate steps
to ensuring a clean and safe drinking water supply. California needs
water quality improvements at all parts of the hydrologic cycle,
from source water in the watersheds where the state's drinking water
supplies originate to wastewater treatment and potential reuse to
improve surface water quality for those who live downstream.
(d) Addressing the challenges to the sustainability of the Delta,
the heart of the California water system, will help resolve some of
the conflicts that impede progress in improving the statewide water
system.
(e) Enhancing regional water self-reliance consistent with Section
85021 offers a key strategy for addressing climate change and
improving water supply reliability. It helps the Delta and it helps
local communities to address their own water challenges. Water
conservation and water recycling form one part of the regional water
self-reliance strategy and are commonsense methods to make more
efficient use of existing water supplies.
CHAPTER 3. DEFINITIONS
79703. Unless the context otherwise requires, the definitions set
forth in this section govern the construction of this division, as
follows:
(a) "CALFED Bay-Delta Program" means the program described in the
Record of Decision dated August 28, 2000.
(b) "Commission" means the California Water Commission.
(c) "Committee" means the Clean, Safe, and Reliable Drinking Water
Finance Committee created by Section 79802.
(d) "Delta" means the Sacramento-San Joaquin Delta, as defined in
Section 85058.
(e) "Delta conveyance facilities" means facilities that convey
water directly from the Sacramento River to the State Water Project
or the federal Central Valley Project pumping facilities in the south
Delta.
(f) "Delta counties" means the Counties of Contra Costa,
Sacramento, San Joaquin, Solano, and Yolo.
(g) "Department" means the Department of Water Resources.
(h) "Director" means the Director of Water Resources.
(i) "Disadvantaged community" has the meaning set forth in
subdivision (a) of Section 79505.5.
(j) "Dry weather runoff" means surface waterflow produced by
nonstormwater resulting from residential, commercial, and industrial
activities involving the use of potable and nonpotable water.
(k) "Fund" means the Clean, Safe, and Reliable Drinking Water Fund
of 2014 created by Section 79717.
(l) "Integrated regional water management plan" has the meaning
set forth in Section 10534.
(m) "Nonprofit organization" means an organization qualified to do
business in California and qualified under Section 501(c)(3) of
Title 26 of the United States Code.
(n) "Public agency" means a state agency or department, district,
joint powers authority, city, county, city and county, or other
political subdivision of the state.
(o) "Rainwater" has the meaning set forth in subdivision (c) of
Section 10573.
(p) "Secretary" means the Secretary of the Natural Resources
Agency.
(q) "Severely disadvantaged community" has the meaning set forth
in subdivision (n) of Section 116760.20 of the Health and Safety
Code.
(r) "Small community water system" means a community water system
that serves no more than 3,300 service connections or a yearlong
population of no more than 10,000 persons.
(s) "State board" means the State Water Resources Control Board.
(t) "State General Obligation Bond Law" means the State General
Obligation Bond Law (Chapter 4 (commencing with Section 16720) of
Part 3 of Division 4 of Title 2 of the Government Code).
(u) "State small water system" has the meaning set forth in
subdivision (n) of Section 116275 of the Health and Safety Code.
(v) "Stormwater" has the meaning set forth in subdivision (e) of
Section 10573.
CHAPTER 4. GENERAL PROVISIONS
79705. An amount that equals not more than 5 percent of the funds
allocated for a financial assistance program pursuant to this
division may be used to pay the administrative costs of that program.
79706. Unless otherwise specified, up to 10 percent of funds
allocated for each program funded by this division may be expended
for planning and monitoring necessary for the successful design,
selection, and implementation of the projects authorized under that
program. This section shall not otherwise restrict funds ordinarily
used by an agency for "preliminary plans," "working drawings," and
"construction" as defined in the annual Budget Act for a capital
outlay project or grant project. Water quality monitoring data shall
be collected and reported to the state board in a manner that is
compatible and consistent with surface water monitoring data systems
or groundwater monitoring data systems administered by the state
board. Watershed monitoring data shall be collected and reported to
the Department of Conservation in a manner that is compatible and
consistent with the statewide watershed program data system
administered by the Department of Conservation.
79707. Chapter 3.5 (commencing with Section 11340) of Part 1 of
Division 3 of Title 2 of the Government Code does not apply to the
development or implementation of programs or projects authorized or
funded under this division other than Chapter 9 (commencing with
Section 79760).
79708. (a) Before disbursing grants or loans pursuant to this
division, each state agency that receives an appropriation from the
funding made available by this division to administer a competitive
grant or loan program under this division shall develop and adopt
project solicitation and evaluation guidelines. The guidelines shall
include monitoring and reporting requirements and may include a
limitation on the dollar amount of grants or loans to be awarded. If
the state agency previously has developed and adopted project
solicitation and evaluation guidelines that comply with the
requirements of this subdivision, it may use those guidelines.
(b) Before disbursing grants or loans, the state agency shall
conduct three public meetings to consider public comments prior to
finalizing the guidelines, as the implementing state agency
determines to be necessary. The state agency shall publish the draft
solicitation and evaluation guidelines on its Internet Web site at
least 30 days before any public meetings held pursuant to this
subdivision. Upon adoption, the state agency shall transmit copies of
the guidelines to the fiscal committees and the appropriate policy
committees of the Legislature.
79709. It is the intent of the people that:
(a) The investment of public funds pursuant to this division will
result in public benefits that address the most critical statewide
needs and priorities for public funding.
(b) Beneficiaries pay for the benefits they receive from projects
funded pursuant to this division.
(c) In the appropriation and expenditure of funding authorized by
this division, priority will be given to projects that leverage
private, federal, or local funding or produce the greatest public
benefit.
(d) A funded project advances the purposes of the chapter from
which the project received funding.
(e) In making decisions regarding water resources, state and local
water agencies use the best available science to inform those
decisions.
(f) Special consideration will be given to projects that employ
new or innovative technology or practices, including decision support
tools that support the integration of multiple jurisdictions,
including, but not limited to, water supply, flood control, land use,
and sanitation.
(g) Except as provided in Sections 79726 and 79727, the costs of
stewardship, operation, and maintenance of the projects funded by
this division will be paid from other sources of revenue that are
sustainable over the long term.
(h) Evaluation of projects considered for funding pursuant to this
division will include review by professionals in the fields relevant
to the proposed project.
(i) To the extent practicable, a project supported by funds made
available by this division will include signage informing the public
that the project received funds from the Clean, Safe, and Reliable
Drinking Water Act of 2014.
(j) Projects funded with proceeds from this division will be
consistent with Division 7 (commencing with Section 13000) of this
code and Section 13100 of the Government Code.
79710. (a) The California State Auditor shall annually conduct a
programmatic review and an audit of expenditures from the fund.
(b) Notwithstanding Section 10231.5 of the Government Code, the
California State Auditor shall report its findings annually on or
before March 1 to the Governor and the Legislature, and shall make
the findings available to the public.
(c) If an audit, required by statute, of a public agency that
receives funding authorized by this division is conducted pursuant to
state law and reveals any impropriety, the California State Auditor
or the Controller may conduct a full audit of any or all of the
activities of the public agency.
(d) The state agency issuing any grant or loan with funding
authorized by this division shall require adequate reporting of the
expenditures of the funding from the grant or loan.
79711. (a) Funds provided by this division shall not be expended
to support or pay for the costs of project or permit specific
environmental mitigation measures except as part of the environmental
mitigation costs of projects financed by this division. Funds
provided by this division may be used for environmental enhancements
or other public benefits.
(b) Funds provided by this division shall not be expended for the
acquisition or transfer of water rights except for a dedication of
water approved in accordance with Section 1707.
(c) Funds provided by this division shall not be expended to
support or pay for penalties or correcting violations.
79712. Funds provided by this division shall not be expended to
pay the costs of the design, construction, operation, mitigation, or
maintenance of Delta conveyance facilities. Those costs shall be the
responsibility of the water agencies that benefit from the design,
construction, operation, or maintenance of those facilities.
79713. (a) This division does not diminish, impair, or otherwise
affect in any manner whatsoever any area of origin, watershed of
origin, county of origin, or any other water rights protections,
including, but not limited to, rights to water appropriated before
December 19, 1914, provided under the law. This division does not
limit or affect the application of Article 1.7 (commencing with
Section 1215) of Chapter 1 of Part 2 of Division 2, Sections 10505,
10505.5, 11128, 11460, 11461, 11462, and 11463, and Sections 12200 to
12220, inclusive.
(b) For the purposes of this division, an area that utilizes water
that has been diverted and conveyed from the Sacramento River
hydrologic region, for use outside the Sacramento River hydrologic
region or the Delta, shall not be deemed to be immediately adjacent
thereto or capable of being conveniently supplied with water
therefrom by virtue or on account of the diversion and conveyance of
that water through facilities that may be constructed for that
purpose after January 1, 2014.
(c) Nothing in this division supersedes, limits, or otherwise
modifies the applicability of Chapter 10 (commencing with Section
1700) of Part 2 of Division 2, including petitions related to any new
conveyance constructed or operated in accordance with Chapter 2
(commencing with Section 85320) of Part 4 of Division 35.
(d) Unless otherwise expressly provided, nothing in this division
supersedes, reduces, or otherwise affects existing legal protections,
both procedural and substantive, relating to the state board's
regulation of diversion and use of water, including, but not limited
to, water right priorities, the protection provided to municipal
interests by Sections 106 and 106.5, and changes in water rights.
Nothing in this division expands or otherwise alters the state board'
s existing authority to regulate the diversion and use of water or
the courts' existing concurrent jurisdiction over California water
rights.
(e) Nothing in this division shall be construed to affect the
California Wild and Scenic Rivers Act (Chapter 1.4 (commencing with
Section 5093.50) of Division 5 of the Public Resources Code) and
funds authorized pursuant to this division shall not be available for
any project that could have an adverse effect on the values upon
which a wild and scenic river or any other river is afforded
protections pursuant to the California Wild and Scenic Rivers Act.
(f) Nothing in this division supersedes, limits, or otherwise
modifies the Sacramento-San Joaquin Delta Reform Act of 2009
(Division 35 (commencing with Section 85000)).
79714. Eligible applicants under this division are public
agencies, public utilities, federally recognized Indian tribes, state
Indian tribes listed on the Native American Heritage Commission's
California Tribal Consultation List, and nonprofit organizations. A
public agency may use funding authorized by this division to benefit
recipients of water from mutual water companies that operate a public
water system if the funding provides public benefits. To be eligible
for funding under this division, a project proposed by a public
utility shall have a clear and definite public purpose, benefit its
customers, and comply with Public Utilities Commission rules on
government funding for public utilities.
79715. The Legislature may enact legislation necessary to
implement programs funded by this division.
79716. (a) Funding made available by this division shall not be
appropriated to a specific project.
(b) Projects funded pursuant to this division shall use the
services of the California Conservation Corps or certified community
conservation corps, as defined in Section 14507.5 of the Public
Resources Code, whenever feasible.
(c) The Legislature may approve multiyear budget change proposals
for appropriation of the funds authorized by this division.
79717. The proceeds of bonds issued and sold pursuant to this
division shall be deposited into the Clean, Safe, and Reliable
Drinking Water Fund of 2014, which is hereby created in the State
Treasury.
79718. Each state agency that receives an appropriation of
funding made available by this division shall be responsible for
establishing metrics of success and reporting the status of projects
and all uses of the funding on the state's bond accountability
Internet Web site, as provided by statute.
79719. All references in this division to other provisions of law
shall incorporate those provisions as they may be amended.
CHAPTER 5. CLEAN AND SAFE DRINKING WATER
79720. The sum of one billion dollars ($1,000,000,000) shall be
available, upon appropriation by the Legislature from the fund, to
the state board for expenditures, grants, and loans for projects that
improve water quality or help provide clean and safe drinking water
to all Californians.
79721. The projects eligible for funding pursuant to this chapter
shall help improve water quality for a beneficial use. The purposes
of this chapter are to:
(a) Reduce contaminants in drinking water supplies regardless of
the source of the water or the contamination, including the
assessment and prioritization of the risk to the safety of drinking
water supplies.
(b) Address the critical and immediate needs of disadvantaged,
rural, or small communities that suffer from contaminated drinking
water supplies, including, but not limited to, projects that address
a public health emergency.
(c) Leverage other private, federal, state, and local drinking
water quality and wastewater treatment funds.
(d) Reduce contaminants in discharges to, and improve the quality
of, surface water streams.
(e) Improve water quality of surface water streams, including
multibenefit stormwater quality projects.
(f) Prevent further contamination of drinking water supplies.
(g) Provide disadvantaged communities with public drinking water
infrastructure that provides clean and safe drinking water supplies
that the community can sustain over the long term.
(h) Ensure access to clean, safe, and affordable drinking water
for California's communities.
(i) Meet primary or secondary safe drinking water standards or
remove contaminants identified by the state or federal government for
development of a primary or secondary drinking water standard.
79722. (a) A project that receives funding under this chapter
shall be selected by a competitive grant or loan process with added
consideration for those projects that leverage private, federal, or
local funding. This subdivision shall not apply to projects for the
purposes of Section 79727 that address a public health priority for
which no other source of funding can be identified.
(b) The state board shall assess the capacity of a community to
pay for the operation and maintenance of the facility to be funded.
(c) A project that receives funding authorized by this chapter may
be implemented by any public water system or other public water
agency.
79723. An applicant for a project to clean up a groundwater
aquifer shall demonstrate that a public agency has authority to
manage the water resources in that aquifer in order to be eligible
for funding pursuant to this chapter. This section does not apply to
projects that install treatment facilities at the wellhead, customer
connection, or the tap.
79724. The contaminants that may be addressed with funding
pursuant to this chapter may include, but shall not be limited to,
nitrates, perchlorate, MTBE (methyl tertiary butyl ether), arsenic,
selenium, hexavalent chromium, mercury, PCE (perchloroethylene), TCE
(trichloroethylene), DCE (dichloroethene), DCA (dichloroethane), 1,
2, 3 TCP (trichloropropane), carbon tetrachloride, 1,4-dioxane,
1,4-dioxacyclohexane, nitrosodimethylamine, bromide, iron, manganese,
and uranium.
79725. (a) Of the funds authorized in Section 79720, not less
than four hundred million dollars ($400,000,000) shall be available
for deposit in the State Water Pollution Control Revolving Fund Small
Community Grant Fund created pursuant to Section 13477.6 for grants
for wastewater treatment projects. Priority shall be given to
projects that serve disadvantaged communities and severely
disadvantaged communities, and to projects that address public health
hazards. Projects may include, but not be limited to, projects that
identify, plan, design, and implement regional mechanisms to
consolidate wastewater systems or provide affordable treatment
technologies.
(b) The state board may expend up to ten million dollars
($10,000,000) of the funds allocated in subdivision (a) for technical
assistance to eligible communities.
79726. (a) Of the funds authorized in Section 79720, one hundred
million dollars ($100,000,000) shall be available for deposit in the
Emergency Clean Water Grant Fund, established pursuant to Section
116475 of the Health and Safety Code, for grants, loans, and direct
expenditures to finance public health emergencies and urgent actions,
as may be determined by the Legislature, to ensure that safe
drinking water supplies are available to all Californians. Eligible
projects include, but are not limited to, the following:
(1) Providing interim water supplies where necessary to protect
public health. For the purposes of this subdivision, "interim" means
the limited period of time needed to address the identified urgent
need for safe drinking water, not to exceed three years.
(2) Planning, designing, and constructing projects that improve or
replace existing water systems to provide safe, reliable,
accessible, and affordable drinking water, provide other sources of
safe drinking water, including, but not limited to, replacement
wells, and prevent contamination.
(3) Establishing connections to an adjacent water system.
(4) The design, purchase, installation, and initial operating
costs for interim water treatment equipment and systems. For the
purposes of this subdivision, "initial operating costs" means those
initial, eligible, and reimbursable costs under an agreement for
interim water treatment equipment and systems that are incurred up
to, and including, initial startup testing of the equipment and
systems. Initial operating costs are eligible to receive funding
pursuant to this section for a period not to exceed one year.
(b) The state board may expend up to ten million dollars
($10,000,000) for grants and loans to address the water quality needs
of domestic well owners that have no other source of funding and
serve members of a disadvantaged community.
(c) Any funds allocated pursuant to this section to an
investor-owned utility regulated by the Public Utilities Commission
or for the benefit of a mutual water company shall be expended for
the benefit of the ratepayers or the public, not the investors, and
the utility or company shall not charge the water system's ratepayers
for the same water infrastructure improvements funded by this
section.
79727. (a) (1) Of the funds authorized in Section 79720, four
hundred million dollars ($400,000,000) shall be available for grants
and loans for public water system infrastructure improvements and
related actions to meet safe drinking water standards, ensure
affordable drinking water, or both. Priority shall be given to
projects that provide treatment for contamination or access to an
alternate drinking water source or sources for small community water
systems or state small water systems in disadvantaged communities
whose drinking water source is impaired by chemical and nitrate
contaminants and other health hazards identified by the implementing
agency. Eligible recipients serve disadvantaged communities and are
public agencies or incorporated mutual water companies. The state
board may make grants for the purpose of financing feasibility
studies and to meet the eligibility requirements for a construction
grant. Eligible expenses may include initial operation and
maintenance costs for systems serving disadvantaged communities, for
a period not to exceed two years. Special consideration shall be
given to projects that provide shared solutions for multiple
communities, at least one of which is a disadvantaged community that
lacks safe, affordable drinking water and is served by a small
community water system, state small water system, or a private well.
Construction grants shall be limited to five million dollars
($5,000,000) per project, except that the implementing agency may set
a limit of not more than twenty million dollars ($20,000,000) for
projects that provide regional benefits or are shared among multiple
entities, at least one of which shall be a disadvantaged community.
Not more than 25 percent of a grant may be awarded in advance of
actual expenditures.
(2) For the purposes of this subdivision, "initial operation and
maintenance costs" means those initial, eligible, and reimbursable
costs under a construction funding agreement that are incurred up to,
and including, initial startup testing of
the constructed project in order to deem the project
complete. Initial operation and maintenance costs are eligible to
receive funding pursuant to this section for a period not to exceed
two years.
(b) The state board may expend up to twenty-five million dollars
($25,000,000) of the funds allocated in subdivision (a) for technical
assistance to eligible communities.
(c) The state board shall deposit two million five hundred
thousand dollars ($2,500,000) of the funds available pursuant to this
section into the Drinking Water Capital Reserve Fund, which is
hereby created in the State Treasury. Moneys in the fund shall be
available, upon appropriation by the Legislature, and shall be
administered by the state board for the purpose of serving as
matching funds for disadvantaged communities. The state board shall
develop criteria to implement this subdivision.
79728. Of the funds authorized in Section 79720, up to one
hundred million dollars ($100,000,000) shall be available for grants
and loans for treatment and remediation activities that prevent or
reduce the contamination of groundwater that serves as a source of
drinking water.
79729. (a) For the purposes of awarding funding under this
chapter, a local cost share of not less than 25 percent of the total
costs of the project shall be required. The cost-sharing requirement
may be waived or reduced for projects that directly benefit a
disadvantaged community.
(b) At least 10 percent of the funds available pursuant to this
chapter shall be allocated for projects serving severely
disadvantaged communities.
(c) Funding authorized pursuant to this chapter shall include
funding for technical assistance to disadvantaged communities. The
agency administering this funding shall operate a multidisciplinary
technical assistance program for small and disadvantaged communities.
(d) Funding for planning activities, including technical
assistance, to benefit disadvantaged communities may exceed 10
percent of the funds allocated, subject to the determination of the
need for additional planning funding by the state agency
administering the funding.
CHAPTER 6. PROTECTING RIVERS, LAKES, STREAMS, COASTAL WATERS,
AND WATERSHEDS
79730. The sum of one billion five hundred million dollars
($1,500,000,000) shall be available, upon appropriation by the
Legislature from the fund, in accordance with this chapter, for
expenditures and grants for multibenefit ecosystem and watershed
protection and restoration projects that protect and improve
California watersheds, wetlands, forests, and flood plains.
79731. (a) Of the funds made available by this chapter, seven
hundred fifty million dollars ($750,000,000) shall be available for
appropriation as follows:
(1) Baldwin Hills Conservancy: eight million six hundred thousand
dollars ($8,600,000).
(2) California Tahoe Conservancy: twenty-five million seven
hundred thousand dollars ($25,700,000).
(3) Coachella Valley Mountains Conservancy: seventeen million one
hundred thousand dollars ($17,100,000).
(4) San Diego River Conservancy: eight million six hundred
thousand dollars ($8,600,000).
(5) San Gabriel and Lower Los Angeles Rivers and Mountains
Conservancy: thirty-four million three hundred thousand dollars
($34,300,000).
(6) San Joaquin River Conservancy: seventeen million one hundred
thousand dollars ($17,100,000).
(7) Santa Monica Mountains Conservancy: fifty-five million seven
hundred thousand dollars ($55,700,000).
(8) Sierra Nevada Conservancy: fifty-five million seven hundred
thousand dollars ($55,700,000).
(9) State Coastal Conservancy: three hundred million dollars
($300,000,000).
(10) Wildlife Conservation Board: one hundred eighty-four million
three hundred thousand dollars ($184,300,000).
(11) California Ocean Protection Council: forty-two million nine
hundred thousand dollars ($42,900,000).
(b) Of the funds allocated to the State Coastal Conservancy
pursuant to paragraph (9) of subdivision (a), one hundred seven
million dollars one hundred thousand dollars ($107,100,000) are
available as follows:
(1) Forty-two million eight hundred thousand dollars ($42,800,000)
shall be available for projects that help restore coastal salmonid
populations.
(2) Sixty-four million three hundred thousand dollars
($64,300,000) shall be available for flood control projects on public
lands that provide critical flood, water quality, and wetland
ecosystem benefits to the San Francisco Bay region.
79732. In protecting and restoring California rivers, lakes,
streams, and watersheds, the purposes of this chapter are to:
(a) Protect and increase the economic benefits arising from
healthy watersheds, fishery resources, and instream flow.
(b) Implement watershed adaptation projects in order to reduce the
impacts of climate change on California's communities and
ecosystems.
(c) Restore river parkways throughout the state, including, but
not limited to, projects pursuant to the California River Parkways
Act of 2004 (Chapter 3.8 (commencing with Section 5750) of Division 5
of the Public Resources Code), in the Urban Streams Restoration
Program established pursuant to Section 7048, and urban river
greenways.
(d) Protect and restore aquatic, wetland, and migratory bird
ecosystems, including fish and wildlife corridors and the acquisition
of water rights for instream flow pursuant to Section 1707.
(e) Fulfill the obligations of the State of California in
complying with the terms of multiparty settlement agreements related
to water resources.
(f) Remove barriers to fish passage.
(g) Collaborate with federal agencies in the protection of fish
native to California and wetlands in the central valley of
California.
(h) Implement fuel treatment projects to reduce wildfire risks,
protect watersheds tributary to water storage facilities, and promote
watershed health.
(i) Protect and restore rural and urban watershed health to
improve watershed storage capacity, forest health, protection of life
and property, stormwater resource management, and greenhouse gas
reduction.
(j) Promote access and recreational opportunities to watersheds
and waterways that are compatible with habitat values and water
quality objectives.
(k) Promote educational opportunities to instruct and inform
Californians, including young people, about the value of watersheds.
(l) Protect and restore coastal watersheds, including, but not
limited to, bays, marine estuaries, and nearshore ecosystems.
(m) Reduce pollution or contamination of rivers, lakes, streams,
or coastal waters, prevent and remediate mercury contamination from
legacy mines, and protect or restore natural system functions that
contribute to water supply, water quality, or flood management.
(n) Assist in the recovery of endangered, threatened, or migratory
species by improving watershed health, instream flows pursuant to
Section 1707, fish passage, coastal or inland wetland restoration, or
other means, such as natural community conservation plan and habitat
conservation plan implementation.
(o) Promote urban forestry pursuant to the Urban Forest Act of
1978 (Chapter 2 (commencing with Section 4799.06) of Part 2.5 of
Division 4 of the Public Resources Code).
79733. For restoration and ecosystem protection projects under
this chapter, the services of the California Conservation Corps or a
local conservation corps certified by the California Conservation
Corps shall be used whenever feasible.
79734. (a) (1) Notwithstanding Section 79711, of the funds
authorized in Section 79730, five hundred million dollars
($500,000,000) shall be available for appropriation to the secretary
to fulfill the obligations of the State of California in complying
with the terms of any of the following:
(A) The February 18, 2010, Klamath Basin Restoration Agreement or
Klamath Hydroelectric Settlement Agreement.
(B) Chapters 611, 612, and 613 of the Statutes of 2003, which were
enacted to facilitate the execution and implementation of the
Quantification Settlement Agreement, including restoration of the
Salton Sea.
(C) The San Joaquin River Restoration Settlement, as described in
Part I of Subtitle A of Title X of Public Law 111-11.
(D) Section 3406(d) of Title 34 of Public Law 102-575.
(E) The Tahoe Regional Planning Compact set forth in Section
66801 of the Government Code pursuant to Title 7.42 (commencing with
Section 66905) of the Government Code.
(2) Expenditures funded by this subdivision shall comply with
Section 16727 of the Government Code.
(b) Of the funds authorized in Section 79730, two hundred fifty
million dollars ($250,000,000) shall be available for appropriation
to the secretary for a competitive program to fund multibenefit
watershed and urban rivers enhancement projects in urban watersheds,
including watersheds that drain into the San Francisco Bay, that
increase regional and local water self-sufficiency, and that meet at
least two or more of the following objectives:
(1) Promote groundwater recharge and water reuse.
(2) Reduce energy consumption.
(3) Use soils, plants, and natural processes to treat runoff.
(4) Create or restore native habitat.
(5) Increase regional and local resiliency and adaptability to
climate change.
(c) The program described in subdivision (b) shall be implemented
by state conservancies, the Wildlife Conservation Board, or other
entities designated by the secretary whose jurisdiction includes
urban watersheds. The projects are subject to a plan developed
jointly by the conservancies, the Wildlife Conservation Board, or
other designated entities in consultation with the secretary.
(d) At least 25 percent of the funds available pursuant to this
section shall be allocated for projects that benefit disadvantaged
communities.
(e) Up to 10 percent of the funds available pursuant to this
section may be allocated for project planning.
79735. For the purposes of this chapter, the terms "protection"
and "restoration" have the meanings set forth in Section 75005 of the
Public Resources Code.
CHAPTER 7. CLIMATE CHANGE AND DROUGHT PREPAREDNESS FOR
REGIONAL WATER RELIABILITY
79740. The sum of two billion dollars ($2,000,000,000) shall be
available, upon appropriation by the Legislature from the fund, for
expenditures and competitive grants and loans to projects that
respond to climate change and contribute to regional water security
as provided in this chapter.
79741. In order to improve regional water self-reliance and adapt
to the effects on water supply arising out of climate change, the
purposes of this chapter are to:
(a) Help water infrastructure systems adapt to climate change,
including, but not limited to, sea level rise.
(b) Provide incentives for water agencies throughout each
watershed to collaborate in managing the region's water resources and
setting regional priorities for water infrastructure.
(c) Improve regional water self-reliance, including projects
consistent with Section 85021.
79742. (a) In selecting among proposed projects in a watershed,
the scope of the adopted integrated regional water management plan
may be considered by the administering state agency, with priority
going to projects in plans that cover a greater portion of the
watershed. If a plan covers substantially all of the watershed, then
the plan's project priorities shall be given deference if the project
and plan otherwise meet the requirements of this division and the
Integrated Regional Water Management Planning Act of 2002 (Part 2.2
(commencing with Section 10530) of Division 6).
(b) An urban water supplier that does not prepare, adopt, and
submit its urban water management plan in accordance with the Urban
Water Management Planning Act (Part 2.6 (commencing with Section
10610) of Division 6) is ineligible to apply for funds made available
pursuant to this chapter until the urban water management plan is
prepared and submitted in accordance with the requirements of that
act. The department shall certify that an urban water management plan
meets the requirements of the Urban Water Management Planning Act
and Sections 10608.56 and 10631.5 before awarding any grants or loans
pursuant to this chapter.
(c) An agricultural water supplier that does not prepare, adopt,
and submit its agricultural water management plan in accordance with
the Agricultural Water Management Planning Act (Part 2.8 (commencing
with Section 10800) of Division 6) is ineligible to apply for funds
made available pursuant to this chapter until the agricultural water
management plan is prepared and submitted in accordance with the
requirements of that act. The department shall certify that an
agricultural water management plan meets the requirements of the
Agricultural Water Management Planning Act and Section 10608.56
before awarding any grants or loans pursuant to this chapter.
(d) A local agency that does not prepare, adopt, and submit its
groundwater management plan in accordance with Part 2.75 (commencing
with Section 10750) of Division 6 is ineligible to apply for funds
made available pursuant to this chapter until the plan is prepared
and submitted in accordance with the requirements of that part. The
department shall certify that a groundwater management plan meets the
requirements of that part and Section 10753.7 before awarding any
grants or loans pursuant to this chapter.
(e) For the purposes of awarding funding under this chapter, a
cost share from nonstate sources of not less than 25 percent of the
total costs of the project shall be required. The cost sharing
requirement may be waived or reduced for projects that directly
benefit a disadvantaged community.
(f) Not less than 10 percent of the funds authorized by this
chapter shall be allocated to projects that directly benefit
disadvantaged communities.
(g) For the purposes of awarding funding under Section 79744, the
applicant shall demonstrate that the integrated regional water
management plan the applicant's project implements contributes to
addressing the risks in the region to water supply and water
infrastructure arising from climate change.
(h) Projects that achieve multiple benefits shall receive special
consideration.
79743. Subject to the determination of regional priorities by the
regional water management group and the purposes described in
Section 79741, projects eligible for funding allocated regionally by
Section 79744 shall be regional projects or programs, as defined in
Section 10537, and may include, but are not limited to, projects that
promote any of the following:
(a) Water reuse and recycling for nonpotable reuse and direct and
indirect potable reuse.
(b) Water-use efficiency and water conservation.
(c) Local and regional surface and underground water storage,
including groundwater aquifer cleanup or recharge projects.
(d) Regional water conveyance facilities that improve integration
of separate water systems.
(e) Watershed protection, restoration, and management projects,
including projects that reduce the risk of wildfire or improve water
supply reliability or water quality.
(f) Stormwater resource management plans and projects pursuant to
the Stormwater Resource Planning Act (Part 2.3 (commencing with
Section 10560) of Division 6).
(g) Conjunctive use of surface and groundwater storage facilities.
(h) Water desalination projects.
(i) Improvement of water quality, including drinking water
treatment and distribution, groundwater and aquifer remediation,
matching water quality to water use, wastewater treatment, water
pollution prevention, and management of urban and agricultural
runoff.
79744. (a) Of the funds authorized in Section 79740, the sum of
one billion dollars ($1,000,000,000) shall be administered according
to this section.
(b) Funds made available pursuant to this section shall be
available for appropriation to, and shall be administered by, the
department in close collaboration with the state board. Specific
project and planning grant awards shall be selected jointly by the
director and chair of the state board.
(c) Funds shall be allocated to the hydrologic regions as
identified in the California Water Plan in accordance with this
section. For the South Coast hydrologic region, the department shall
establish three funding areas that reflect the watersheds of San
Diego County and southern Orange County (designated as the San Diego
subregion), the Santa Ana River watershed (designated as the Santa
Ana subregion), and the Los Angeles and Ventura County watersheds
(designated as the Los Angeles subregion), and shall allocate funds
to those areas in accordance with this subdivision. The North and
South Lahontan hydrologic regions shall be treated as one area for
the purpose of allocating funds. For purposes of this subdivision,
the Sacramento River hydrologic region does not include the Delta.
For purposes of this subdivision, the Mountain Counties Overlay is
not eligible for funds from the Sacramento River hydrologic region or
the San Joaquin River hydrologic region. Multiple integrated
regional water management plans may be recognized in each of the
areas allocated funding.
(d) Funds described in this section shall be allocated as follows:
(1) Forty-five million dollars ($45,000,000) for the North Coast
hydrologic region.
(2) One hundred thirty-two million dollars ($132,000,000) for the
San Francisco Bay hydrologic region.
(3) Fifty-eight million dollars ($58,000,000) for the Central
Coast hydrologic region.
(4) One hundred ninety-eight million dollars ($198,000,000) for
the Los Angeles subregion.
(5) One hundred nineteen million dollars ($119,000,000) for the
Santa Ana subregion.
(6) Ninety-six million dollars ($96,000,000) for the San Diego
subregion.
(7) Seventy-six million dollars ($76,000,000) for the Sacramento
River hydrologic region.
(8) Sixty-four million dollars ($64,000,000) for the San Joaquin
River hydrologic region.
(9) Seventy million dollars ($70,000,000) for the Tulare/Kern
hydrologic region.
(10) Fifty-one million dollars ($51,000,000) for the North/South
Lahontan hydrologic region.
(11) Forty-seven million dollars ($47,000,000) for the Colorado
River Basin hydrologic region.
(12) Forty-four million dollars ($44,000,000) for the Mountain
Counties Overlay.
(e) Funds allocated pursuant to this section may be used for the
purposes described in Sections 79745 and 79747.
79745. (a) Of the funds authorized by Section 79740, two hundred
fifty million dollars ($250,000,000) shall be available for
appropriation to the department for direct expenditures, grants, and
loans for water conservation and water use efficiency plans,
projects, and programs, including either of the following:
(1) Urban water conservation plans, projects, and programs,
including regional projects and programs, implemented to achieve
urban water use targets developed pursuant to Section 10608.20.
Priority for funding shall be given to programs that do any of the
following:
(A) Assist water suppliers and regions to implement conservation
programs and measures that are not locally cost effective.
(B) Support water supplier and regional efforts to implement
programs targeted to enhance water use efficiency for commercial,
industrial, and institutional water users.
(C) Assist water suppliers and regions with programs and measures
targeted toward realizing the conservation benefits of implementation
of the provisions of the state landscape model ordinance.
(2) Agricultural water management plans or agricultural water use
efficiency projects and programs developed pursuant to Part 2.8
(commencing with Section 10800) of Division 6. Of the funds provided
by this section, one hundred million dollars ($100,000,000) shall be
available for improving on-farm water use efficiency, including, but
not limited to, drip irrigation.
(b) Section 1011 applies to all conservation measures that an
agricultural water supplier or an urban water supplier implements
with funding under this chapter. This subdivision does not limit the
application of Section 1011 to any other measures or projects
implemented by a water supplier.
(c) For purposes of this section, funded projects shall not be
required to comply with the requirements of the Integrated Regional
Water Management Planning Act of 2002 (Part 2.2 (commencing with
Section 10530) of Division 6). The funding available pursuant to this
section may be appropriated to an integrated regional water
management program or plan.
79746. Of the funds authorized by Section 79740, five hundred
million dollars ($500,000,000) shall be available to the state board,
upon appropriation by the Legislature from the fund, for grants and
low-interest loans for water recycling and advanced treatment
technology projects, including all of the following:
(a) Water recycling projects, including, but not limited to,
treatment, storage, conveyance, and distribution facilities for
potable and nonpotable recycling projects.
(b) Contaminant and salt removal projects, including, but not
limited to, groundwater and seawater desalination and associated
treatment, storage, conveyance, and distribution facilities.
(c) Dedicated distribution infrastructure to serve residential,
agricultural, commercial, and industrial end-users to allow the use
of recycled water.
(d) Pilot projects for new salt and contaminant removal
technology.
(e) Groundwater recharge infrastructure related to recycled water.
(f) Technical assistance and grant writing assistance for
disadvantaged communities.
(g) For projects funded pursuant to this section, at least a 25
percent local cost share shall be required. That cost share may be
suspended or reduced for disadvantaged communities.
(h) Water supply reliability improvement for critical urban water
supplies in designated superfund areas with groundwater contamination
listed on the National Priorities List established pursuant to
Section 105 of the Comprehensive Environmental Response,
Compensation, and Liability Act of 1980 (42 U.S.C. Sec. 9605(a)(8)
(B)).
(i) Projects funded pursuant to this section shall be selected on
a competitive basis, considering all of the following criteria:
(1) Regional water supply reliability improvement.
(2) Water quality and ecosystem benefits related to decreased
reliance on diversions from the Delta or instream flows.
(3) Public health benefits from improved drinking water quality.
(4) Cost effectiveness.
(5) Energy efficiency and greenhouse gas emission impacts.
(6) Reasonable geographic allocation to eligible projects
throughout the state, including both northern and southern California
and coastal and inland regions.
(j) For the purposes of this section, eligible projects shall
implement a plan or strategy by one or more regional water agencies
or integrated regional water management groups to incorporate water
recycling or advanced treatment technology into the region's water
supplies.
(k) For purposes of this section, competitive programs shall be
implemented consistent with water recycling programs administered
pursuant to Sections 79140 and 79141 or consistent with desalination
programs administered pursuant to Sections 79545 and 79547.2.
(l) For purposes of this section, funded projects shall not be
required to comply with the requirements of the Integrated Regional
Water Management Planning Act of 2002 (Part 2.2 (commencing with
Section 10530) of Division 6).
79747. (a) Of the funds authorized by Section 79740, two hundred
fifty million dollars ($250,000,000) shall be available for
appropriation to the state board for grants and loans for projects
that develop, implement, or improve a stormwater capture and reuse
plan consistent with Part 2.3 (commencing with Section 10560) of
Division 6 and that capture and put to beneficial use stormwater or
dry weather runoff.
(b) Stormwater capture and reuse projects developed pursuant to an
adopted integrated regional water management plan in compliance with
Part 2.2 (commencing with Section 10530) of Division 6 are also
eligible for funding under this section if those projects were
identified and developed in substantive compliance with Part 2.3
(commencing with Section 10560) of Division 6.
(c) Projects eligible for funding under this section shall assist
in the capture and reuse of stormwater or dry weather runoff.
Eligible projects include any of the following:
(1) Projects that capture, convey, treat, or put to beneficial use
stormwater or dry weather runoff.
(2) The development of stormwater capture and reuse plans pursuant
to Part 2.3 (commencing with Section 10560) of Division 6.
(3) Decision support tools, data acquisition, and data analysis to
identify and evaluate the benefits and costs of potential stormwater
capture and reuse projects.
(4) Projects that, in addition to capturing and reusing stormwater
or dry weather runoff, improve water quality, provide public
benefits, such as augmentation of water supply, flood control, open
space, and recreation, and projects designed to mimic or restore
natural watershed functions.
(d) The state board shall grant special consideration to plans or
projects that provide multiple benefits such as water quality, water
supply, flood control, natural lands, or recreation.
(e) The state board shall require a 25 percent local cost share
for grant funds, but may suspend or reduce the matching requirements
for projects that capture or reuse stormwater or dry weather runoff
in disadvantaged communities.
(f) The state board shall adopt a policy establishing criteria for
projects funded by this section to ensure that a project funded
pursuant to this section complies with water quality laws and does
not put at risk any groundwater or surface water supplies.
79748. In order to receive funding authorized by this chapter to
address groundwater quality or supply in an aquifer, the applicant
shall demonstrate that a public agency has authority to manage the
water resources in that aquifer. A groundwater management plan
adopted and approved pursuant to Part 2.75 (commencing with Section
10750) of Division 6 shall be deemed sufficient to satisfy the
requirements of this section.
CHAPTER 8. SACRAMENTO-SAN JOAQUIN DELTA SUSTAINABILITY
79750. (a) The sum of one billion dollars
($1,000,000,000) two hundred million dollars
($1,200,000,000) shall be available, upon appropriation by the
Legislature from the fund, for grants and direct expenditures to
improve the sustainability of the Delta as follows:
Delta, as provided in this chapter.
(1) Four
hundred million dollars ($400,000,000) of the funding available
pursuant to this chapter shall be available for appropriation to the
department for the purpose identified in subdivision (b) of Section
79751.
(2) Six hundred million dollars ($600,000,000) of the funding
available pursuant to this chapter shall be available for
appropriation to the Sacramento-San Joaquin Delta Conservancy for the
purposes identified in subdivisions (a) and (c) of Section 79751.
(3) Funding available pursuant to paragraphs (1) and (2) may be
combined to provide funding to projects that accomplish more than one
of the purposes identified in Section 79751.
(b) This chapter provides state funding for public benefits
associated with projects needed to assist in the Delta's
sustainability as a vital resource for fish, wildlife, water quality,
water supply, agriculture, and recreation.
(b) Funds allocated for one of the purposes identified in Section
79751 may be used for a project that primarily accomplishes a
separate identified purpose if the use of the funds fulfills the
purposes for which the funding was allocated.
(c) Nothing in this chapter supersedes, limits, or otherwise
modifies the Sacramento-San Joaquin Delta Reform Act of 2009
(Division 35 (commencing with Section 85000)). The funding authorized
by this chapter shall advance one or more of the objectives
specified in Section 85020.
79751. In order to promote the sustainability and resiliency of
the Delta, the purposes of this chapter are to:
(a) Protect, restore, and enhance the Delta ecosystem.
(b) Maintain and improve existing Delta levees.
(c) Promote the sustainability of the Delta
economic sustainability and well-being of Delta residents
.
79752. (a) Of the funds authorized in Section 79750, six hundred
million dollars ($600,000,000) shall be available for the purposes
identified in subdivision (a) of Section 79751.
(b) A state agency receiving an appropriation of funds pursuant to
this section shall do the following:
(1) Consult and coordinate with the Sacramento-San Joaquin Delta
Conservancy, the Delta Protection Commission, or the relevant local
government as a partner in the development and implementation of
Delta ecosystem restoration projects funded by this section.
(2) Consult with the Delta Independent Science Board on the
proposed ecosystem restoration project. A project recommended by the
Delta Independent Science Board shall receive priority for an
allocation of funding from the agency receiving an appropriation of
funds pursuant to this section.
(c) Ecosystem restoration projects shall first occur on land owned
by a public agency or nonprofit organization for conservation
purposes as of January 1, 2014. If an ecosystem restoration project
requires the use of land owned by a private party, a state agency
receiving an appropriation of funds pursuant to this section shall
coordinate the project's development and implementation with the
landowner and the Sacramento-San Joaquin Delta Conservancy, the Delta
Protection Commission, or the relevant local government. Title to
lands shall, to the maximum extent possible, remain with the
landowner or local agency with property management authority.
(d) The funds authorized in Section 79750 shall not be used to
purchase water or water rights to augment instream flow in the Delta.
A state agency implementing a Delta ecosystem restoration project
may acquire water rights in conjunction with a land acquisition for
the purpose of creating wetland habitat in the Delta.
(e) The funds made available pursuant to this section may be used
to support the work of the Delta Independent Science Board and the
Delta Science Program related to ecosystem restoration in the Delta.
79753. (a) Of the funds authorized in Section 79750, four hundred
million dollars ($400,000,000) shall be available for the purposes
identified in subdivision (b) of Section 79751.
(b) The funds made available pursuant to this section shall reduce
the risk of levee failure and flood in the Delta and may be
expended, consistent with the Delta levee investment priorities
recommended pursuant to Section 85306, for any of the following:
(1) Local assistance under the Delta levee maintenance subventions
program under Part 9 (commencing with Section 12980) of Division 6.
(2) Special flood protection projects under Chapter 2 (commencing
with Section 12310) of Part 4.8 of Division 6.
(3) Levee improvement projects that increase the resiliency of
levees within the Delta to withstand earthquake, flooding, or sea
level rise.
(4) Emergency response and repair projects.
(c) In developing and implementing a levee improvement project,
the department shall pursue cost-sharing from all beneficiaries of
the project.
(d) Net long-term habitat improvement, as provided by Part 9
(commencing with Section 12980) of Division 6 may be accomplished
through a habitat improvement project separate but related to a
specific levee project funded pursuant to this section.
79754. (a) Of the funds authorized in Section 79750, two hundred
million dollars ($200,000,000) shall be available to either the
Sacramento-San Joaquin Delta Conservancy or the Delta Protection
Commission for the purposes identified in subdivision (c) of Section
79751.
(b) Improving economic sustainability of the Delta may include the
following actions:
(1) Implementing the recommendations contained in the Delta
Protection Commission's economic sustainability plan required by
Section 29759 of the Public Resources Code.
(2) Advancing the economic well-being of Delta residents as
described in subdivision (b) of Section 32322 of the Public Resources
Code.
(3) Protecting and enhancing the unique cultural, recreational,
natural resource, and agricultural values of the Delta as an evolving
place as provided in Section 85054.
(c) The funds made available pursuant to this section may be
transferred to the Delta Investment Fund created pursuant to Section
29778.5 of the Public Resources Code.
79752. 79755. The funds authorized
in Section 79750 shall not be used to pay the costs of a public
agency exercising eminent domain to acquire or use property. All
property acquired with moneys available pursuant to this chapter
shall be acquired from willing sellers.
79754. 79756. Funding authorized by
this chapter for the purpose of subdivision (a) of Section 79751 may
include, but is not limited to, the following:
(a) Projects to protect and restore native fish and wildlife
dependent on the Delta ecosystem, including improvement of aquatic or
terrestrial habitat or the removal or reduction of undesirable
invasive species.
(b) Projects to reduce greenhouse gas emissions from exposed Delta
soils.
(c) Scientific studies and assessments that support the projects
authorized under this section.
79755. (a) Funding authorized by this chapter for the purpose of
subdivision (b) of Section 79751 shall reduce the risk of levee
failure and flood in the Delta and may be expended, consistent with
the Delta levee investment priorities recommended pursuant to Section
85306, for any of the following:
(1) Local assistance under the Delta levee maintenance subventions
program under Part 9 (commencing with Section 12980) of Division 6.
(2) Special flood protection projects under Chapter 2 (commencing
with Section 12310) of Part 4.8 of Division 6.
(3) Levee improvement projects that increase the resiliency of
levees within the Delta to withstand earthquake, flooding, or sea
level rise.
(4) Emergency response and repair projects.
(b) All projects funded pursuant to this section shall be subject
to Section 79050.
(c) The department shall, as a part of the 2015-16 fiscal year May
budget revision, provide the Senate and Assembly Budget Committees a
proposal for implementing paragraphs (3) and (4) of subdivision (a)
including any changes to statutes necessary to implement that
proposal.
CHAPTER 9. WATER STORAGE FOR CLIMATE CHANGE
79760. (a) Notwithstanding Section 162, the commission may make
the determinations, findings, and recommendations required of it by
this chapter independent of the views of the director. All final
actions by the commission in implementing this chapter shall be taken
by a majority of the members of the commission at a public meeting
noticed and held pursuant to the Bagley-Keene Open Meeting Act
(Article 9 (commencing with Section 11120) of Chapter 1 of Part 1 of
Division 3 of Title 2 of the Government Code).
(b) The commission shall submit project status reports as
requested to the Department of Finance.
(c) Projects shall be selected by the commission through a
competitive public process that ranks potential projects based on the
expected return for public investment as measured by the magnitude
of the public benefits provided, pursuant to criteria established
under this chapter.
(d) Only projects selected by the commission shall be eligible for
funding authorized by this chapter. Funding authorized by this
chapter shall be appropriated to the commission.
(e) The commission shall, to the extent feasible, maximize the
following:
(1) Leveraging of the funding made available in this chapter with
funds from federal, local, and private sources.
(2) Statewide storage benefits or regional storage benefits that
promote regional self-reliance.
79761. The sum of two billion five hundred million dollars
($2,500,000,000) shall be available, upon appropriation by the
Legislature, from the fund to the commission, for expenditures,
competitive grants, and loans for public benefits associated with
projects that expand the state's water storage capacity.
79762. In order to expand the state's water storage capacity to
address the impacts of climate change on the snow pack in the Sierra
Nevada Mountains and water storage resources, the purposes of this
chapter are to:
(a) Construct new surface water storage projects.
(b) Restore and expand groundwater aquifer storage capacity.
(c) Restore water storage capacity of existing surface water
storage reservoirs.
(d) Remediate or prevent contamination of groundwater aquifers.
(e) Construct and expand stormwater retention facilities.
79763. Projects for which the public benefits are eligible for
funding under this chapter consist of only the following:
(a) Surface storage projects identified in the CALFED Bay-Delta
Program Record of Decision, dated August 28, 2000, except for
projects prohibited by Chapter 1.4 (commencing with Section 5093.50)
of Division 5 of the Public Resources Code.
(b) Groundwater storage projects and groundwater contamination
prevention or remediation projects that provide water storage
benefits.
(c) Conjunctive use and reservoir reoperation projects.
(d) Local and regional surface storage projects that improve the
operation of water systems in the state, including, but not limited
to, reservoirs for storing recycled water.
(e) Projects that remove sediment, improve dam stability in
seismic events, or otherwise restore water storage capacity in
existing water storage reservoirs.
79764. A project in the Delta watershed shall not be funded
pursuant to this chapter unless it provides measurable improvements
to the Delta ecosystem.
79765. (a) Funds allocated pursuant to this chapter may be
expended solely for the following public benefits associated with
water storage projects:
(1) Ecosystem improvements, including changing the timing of water
diversions, improvement in flow conditions, temperature, or other
benefits that contribute to restoration of aquatic ecosystems and
native fish and wildlife, including those ecosystems and fish and
wildlife in the Delta or the Delta tributaries.
(2) Water quality improvements in the Delta, or in other river
systems, that provide significant public trust fish and wildlife
resources, or that clean up and restore groundwater resources.
(3) Flood control benefits, including, but not limited to,
increases in flood reservation space in existing reservoirs by
exchange for existing or increased water storage capacity in response
to the effects of changing hydrology and decreasing snow pack on
California's water and flood management system.
(b) Notwithstanding subdivision (a), in response to an emergency
declared by the Governor, funds provided by this chapter may be used
to acquire or to reimburse the costs of acquiring emergency water
supplies and flows for dilution and salinity repulsion following a
natural disaster or act of terrorism.
79766. In consultation with the Department of Fish and Wildlife,
the state board, and the department, the commission shall develop and
adopt, by regulation, methods for quantification and management of
public benefits described in Section 79765 by December 15, 2015. The
regulations shall include the priorities and relative environmental
value of ecosystem benefits as provided by the Department of Fish and
Wildlife and the priorities and relative environmental value of
water quality benefits as provided by the state board.
79767. (a) Except as provided in subdivision (c), funds allocated
pursuant to this chapter shall not be allocated for a project until
the commission approves the project based on the commission's
determination that all of the following have occurred:
(1) The commission has adopted the regulations specified in
Section 79766 and specifically quantified and made public the cost of
the public benefits associated with the project.
(2) For projects to be constructed and operated by the department,
the department has entered into a contract with each party that will
derive benefits, other than public benefits, as defined in Section
79765, from the project that ensures the party will pay its share of
the total costs of the project. The benefits available to a party
shall be consistent with that party's share of total project costs.
(3) The department has entered into a contract with each public
agency identified in Section 79766 that administers the public
benefits, after that agency makes a finding that the public benefits
of the project for which that agency is responsible meet all the
requirements of this chapter, to ensure that the public contribution
of funds pursuant to this chapter achieves the public benefits
identified for the project.
(4) The commission has held a public hearing for the purposes of
providing an opportunity for the public to review and comment on the
information required to be prepared pursuant to this subdivision.
(5) All of the following additional conditions are met:
(A) Feasibility studies have been completed.
(B) The commission has found and determined that the project is
feasible, is consistent with all applicable laws and regulations,
and, if the project is in the Delta watershed, will advance one or
more of the policy objectives specified in Section 85020.
(C) All environmental documentation associated with the project
has been completed, and all other federal, state, and local
approvals, certifications, and agreements required to be completed
have been obtained.
(b) The commission shall submit to the Legislature its findings
for each of the criteria identified in subdivision (a) for a project
funded pursuant to this chapter.
(c) Notwithstanding subdivision (a), funds may be made available
under this chapter for the completion of environmental documentation
and permitting of a project.
79768. (a) The public benefit cost share of a project funded
pursuant to this chapter shall not exceed 50 percent of the total
costs of any project funded under this chapter.
(b) In order to receive funding authorized by this chapter to
improve groundwater storage in an aquifer, the applicant shall
demonstrate that a public agency has authority to manage the water
resources in that aquifer.
79769. (a) A project is not eligible for funding under this
chapter unless, by January 1, 2018, all of the following conditions
are met:
(1) All feasibility studies are complete and draft environmental
documentation is available for public review.
(2) The commission makes a finding that the project is feasible,
and will advance the long-term objectives of restoring ecological
health and improving water management for beneficial uses.
(3) For projects to be constructed and operated by the department,
the director receives commitments for not less than 75 percent of
the nonpublic benefit cost share of the project.
(b) If compliance with subdivision (a) is delayed by litigation or
failure to promulgate regulations, the date in subdivision (a) shall
be extended by the commission for a time period that is equal to the
time period of the delay, and funding under this chapter that has
been dedicated to the project shall be encumbered until the time at
which the litigation is completed or the regulations have been
promulgated.
79770. (a) Funding authorized by this chapter shall not be used
to pay any share of the costs of remediation recoverable from parties
responsible for the contamination of a groundwater storage aquifer,
but may be used to pay costs that cannot be recovered from
responsible parties. Parties that receive funding for remediating
groundwater storage aquifers shall exercise reasonable efforts to
recover the costs of groundwater cleanup from the parties responsible
for the contamination.
(b) Projects and activities that leverage funding from local
agencies and responsible parties to the maximum extent possible shall
receive priority consideration.
79771. From the funds described in Section 79761, upon
appropriation by the Legislature, the commission shall make
twenty-five million dollars ($25,000,000) available to the department
for studying the feasibility of additional surface storage projects.
Funds provided by this section are not available to study the
feasibility of any storage project identified in the CALFED Bay-Delta
Program Record of Decision, dated August 28, 2000.
CHAPTER 10. FISCAL PROVISIONS
79800. (a) Bonds in the total amount of eight billion
dollars ($8,000,000,000) eight billion two hundred
million dollars ($8,200,000,000) , or so much thereof as is
necessary, not including the amount of any refunding bonds issued in
accordance with Section 79812 may be issued and sold to provide a
fund to be used for carrying out the purposes expressed in this
division and to reimburse the General Obligation Bond Expense
Revolving Fund pursuant to Section 16724.5 of the Government Code.
The bonds, when sold, shall be and constitute a valid and binding
obligation of the State of California, and the full faith and credit
of the State of California is hereby pledged for the punctual payment
of both principal of, and interest on, the bonds as the principal
and interest become due and payable.
(b) The Treasurer shall sell the bonds authorized by the committee
pursuant to this section. The bonds shall be sold upon the terms and
conditions specified in a resolution to be adopted by the committee
pursuant to Section 16731 of the Government Code.
79801. The bonds authorized by this division shall be prepared,
executed, issued, sold, paid, and redeemed as provided in the State
General Obligation Bond Law (Chapter 4 (commencing with Section
16720) of Part 3 of Division 4 of Title 2 of the Government Code),
and all of the provisions of that law apply to the bonds and to this
division and are hereby incorporated in this division as though set
forth in full in this division, except subdivisions (a) and (b) of
Section 16727 of the Government Code.
79802. (a) Solely for the purpose of authorizing the issuance and
sale pursuant to the State General Obligation Bond Law (Chapter 4
(commencing with Section 16720) of Part 3 of Division 4 of Title 2 of
the Government Code) of the bonds authorized by this division, the
Clean, Safe, and Reliable Drinking Water Finance Committee is hereby
created. For purposes of this division, the Clean, Safe, and Reliable
Drinking Water Finance Committee is the "committee" as that term is
used in the State General Obligation Bond Law.
(b) The committee consists of the Director of Finance, the
Treasurer, the Controller, the Director of Water Resources, and the
Secretary of the Natural Resources Agency. Notwithstanding any other
provision of law, any member may designate a representative to act as
that member in his or her place for all purposes, as though the
member were personally present.
(c) The Treasurer shall serve as chairperson of the committee.
(d) A majority of the committee may act for the committee.
79803. The committee shall determine whether or not it is
necessary or desirable to issue bonds authorized pursuant to this
division in order to carry out the actions specified in this division
and, if so, the amount of bonds to be issued and sold. Successive
issues of bonds may be authorized and sold to carry out those actions
progressively, and it is not necessary that all of the bonds
authorized to be issued be sold at any one time.
79804. For purposes of the State General Obligation Bond Law,
"board," as defined in Section 16722 of the Government Code, means
the Department of Water Resources.
79805. There shall be collected each year and in the same manner
and at the same time as other state revenue is collected, in addition
to the ordinary revenues of the state, a sum in an amount required
to pay the principal of, and interest on, the bonds each year. It is
the duty of all officers charged by law with any duty in regard to
the collection of the revenue to do and perform each and every act
that is necessary to collect that additional sum.
79806. Notwithstanding Section 13340 of the Government Code,
there is hereby appropriated from the General Fund in the State
Treasury, for the purposes of this division, an amount that will
equal the total of the following:
(a) The sum annually necessary to pay the principal of, and
interest on, bonds issued and sold pursuant to this division, as the
principal and interest become due and payable.
(b) The sum that is necessary to carry out the provisions of
Section 79809, appropriated without regard to fiscal years.
79807. The board may request the Pooled Money Investment Board to
make a loan from the Pooled Money Investment Account in accordance
with Section 16312 of the Government Code for the purpose of carrying
out this division less any amount withdrawn pursuant to Section
79809. The amount of the request shall not exceed the amount of the
unsold bonds that the committee has, by resolution, authorized to be
sold for the purpose of carrying out this division. The board shall
execute those documents required by the Pooled Money Investment Board
to obtain and repay the loan. Any amounts loaned shall be deposited
in the fund to be allocated in accordance with this division.
79808. Notwithstanding any other provision of this division, or
of the State General Obligation Bond Law, if the Treasurer sells
bonds that include a bond counsel opinion to the effect that the
interest on the bonds is excluded from gross income for federal tax
purposes under designated conditions or is otherwise entitled to any
federal tax advantage, the Treasurer may maintain separate accounts
for the bond proceeds invested and for the investment earnings on
those proceeds, and may use or direct the use of those proceeds or
earnings to pay any rebate, penalty, or other payment required under
federal law or take any other action with respect to the investment
and use of those bond proceeds, as may be required or desirable under
federal law in order to maintain the tax-exempt status of those
bonds and to obtain any other advantage under federal law on behalf
of the funds of this state.
79809. For the purposes of carrying out this division, the
Director of Finance may authorize the withdrawal from the General
Fund of an amount or amounts not to exceed the amount of the unsold
bonds that have been authorized by the committee to be sold for the
purpose of carrying out this division less any amount borrowed
pursuant to Section 79807. Any amounts withdrawn shall be deposited
in the fund. Any moneys made available under this section shall be
returned to the General Fund, with interest at the rate earned by the
moneys in the Pooled Money Investment Account, from proceeds
received from the sale of bonds for the purpose of carrying out this
division.
79810. All moneys deposited in the fund that are derived from
premium and accrued interest on bonds sold pursuant to this division
shall be reserved in the fund and shall be available for transfer to
the General Fund as a credit to expenditures for bond interest,
except that amounts derived from premium may be reserved and used to
pay the cost of bond issuance prior to any transfer to the General
Fund.
79811. Pursuant to Chapter 4 (commencing with Section 16720) of
Part 3 of Division 4 of Title 2 of the Government Code, the cost of
bond issuance shall be paid out of the bond proceeds, including
premium, if any. To the extent the cost of bond issuance is not paid
from premiums received from the sale of bonds, these costs shall be
shared proportionately by each program funded through this division
by the applicable bond sale.
79812. The bonds issued and sold pursuant to this division may be
refunded in accordance with Article 6 (commencing with Section
16780) of Chapter 4 of Part 3 of Division 4 of Title 2 of the
Government Code, which is a part of the State General Obligation Bond
Law. Approval by the voters of the state for the issuance of the
bonds under this
division shall include approval of the issuance of any bonds issued
to refund any bonds originally issued under this division or any
previously issued refunding bonds.
79813. The proceeds from the sale of bonds authorized by this
division are not "proceeds of taxes" as that term is used in Article
XIII B of the California Constitution, and the disbursement of these
proceeds is not subject to the limitations imposed by that article.
SEC. 3. Section 2 of Chapter 3 of the Seventh Extraordinary
Session of the Statutes of 2009, as amended by Section 1 of Chapter
74 of the Statutes of 2012, is repealed.
SEC. 4. Section 2 of this act shall be submitted to the voters at
the November 4, 2014, statewide general election in accordance with
provisions of the Government Code and the Elections Code governing
the submission of a statewide measure to the voters.
SEC. 5. Section 2 of this act shall take effect upon the approval
by the voters of the Clean, Safe, and Reliable Drinking Water Act of
2014, as set forth in that section at the November 4, 2014, statewide
general election.