BILL NUMBER: AB 2435 CHAPTERED 09/14/06 CHAPTER 279 FILED WITH SECRETARY OF STATE SEPTEMBER 14, 2006 APPROVED BY GOVERNOR SEPTEMBER 14, 2006 PASSED THE ASSEMBLY AUGUST 21, 2006 PASSED THE SENATE AUGUST 16, 2006 AMENDED IN SENATE JUNE 13, 2006 AMENDED IN ASSEMBLY MARCH 29, 2006 INTRODUCED BY Assembly Member Coto (Principal coauthor: Assembly Member Cohn) (Principal coauthor: Senator Alquist) (Coauthors: Assembly Members Dymally, Ruskin, Salinas, and Torrico) (Coauthors: Senators Ducheny and Maldonado) FEBRUARY 23, 2006 An act to amend Sections 4, 20, and 26.7 of, to amend and repeal Section 7.2 of, to amend, repeal, and add Sections 7 and 7.3 of, and to repeal Sections 7.4 and 8 of, the Santa Clara Valley Water District Act (Chapter 1405 of the Statutes of 1951), relating to the Santa Clara Valley Water District. LEGISLATIVE COUNSEL'S DIGEST AB 2435, Coto Santa Clara Valley Water District. (1) Existing law, the Santa Clara Valley Water District Act, establishes the Santa Clara Valley Water District and grants to that district specified powers and duties, including the management of water for all beneficial uses and protection from flooding with Santa Clara County (county). The act requires the board of directors of the district (district board) to consist of 7 members, 5 of whom are elected from county supervisorial districts and 2 of whom are appointed by the board of supervisors of the county. The act requires the board of supervisors of the county to appoint a person to fill a vacancy in the office of an appointed director. This bill would authorize the district to take action to preserve open space in the county and to support the county park system in a manner that is consistent with specified powers of the district. The bill would require the district board to appoint a person to fill a vacancy in the office of an appointed director. The bill, on and after January 1, 2010, would require the district to consist of 5 board members who are elected from county supervisorial districts. The bill would prescribe requirements for the filling of a vacancy in the office of any of those elected board members. (2) The act requires various county officials or employees to serve ex officio as officials or employees of the district. The act authorizes the county and the district to enter into agreements to perform additional services for each respective entity. This bill would repeal those provisions. (3) The act requires the board of supervisors of the county to review and adopt the budget submitted by the district. This bill would require the district board, on or before June 15 of each year, to hold a noticed public meeting with regard to the proposed budget and, after the meeting and not later than June 30 of each year, to adopt, by resolution, the budget. The bill would make additional conforming and technical changes and would repeal an obsolete provision. By establishing requirements on the district, the bill would impose a state-mandated local program. (4) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 4 of the Santa Clara Valley Water District Act (Chapter 1405 of the Statutes of 1951), as amended by Chapter 170 of the Statutes of 2001, is amended to read: Sec. 4. (a) The purposes of this act are to authorize the district to provide comprehensive water management for all beneficial uses and protection from flooding within Santa Clara County. (b) It is the intent of the Legislature that the district work collaboratively with other appropriate entities in Santa Clara County in carrying out the purposes of this act. (c) The district may take action to do all of the following: (1) Protect Santa Clara County from floodwater and stormwater of the district, including tidal floodwater and the floodwater and stormwater of streams that have their sources outside the district, but flow into the district. (2) Protect from that floodwater or stormwater the public highways, life and property in the district, and the watercourses and watersheds of streams flowing within the district. (3) Provide for the conservation and management of floodwater, stormwater, or recycled water, or other water from any sources within or outside the watershed in which the district is located for beneficial and useful purposes, including spreading, storing, retaining, and causing the waters to percolate into the soil within the district. (4) Protect, save, store, recycle, distribute, transfer, exchange, manage, and conserve in any manner any of the waters. (5) Increase and prevent the waste or diminution of the water supply in the district. (6) Obtain, retain, protect, and recycle drainage, stormwater, floodwater, or treated wastewater, or other water from any sources, within or outside the watershed in which the district is located for any beneficial uses within the district. (7) Enhance, protect, and restore streams, riparian corridors, and natural resources in connection with carrying out the purposes set forth in this section. (8) Preserve open space in Santa Clara County and support the county park system in a manner that is consistent with carrying out the powers granted by this section. SEC. 2. Section 7 of the Santa Clara Valley Water District Act (Chapter 1405 of the Statutes of 1951), as amended by Chapter 56 of the Statutes of 1973, is amended to read: Sec. 7. (a) (1) The board of directors shall consist of seven members. Five members shall be elected, one from each of the five county supervisorial districts. Two members shall be appointed by the Board of Supervisors of Santa Clara County representing the district at large. The term of office of directors shall be four years. The directors shall hold office until their successors are elected or appointed and qualified. (2) In this act, unless the context requires otherwise, "board" and "board of directors" mean the board of directors of the district. (b) Notwithstanding subdivision (a), the terms of the two appointed directors shall expire on December 31, 2009. (c) This section shall remain in effect only until January 1, 2010, and as of that date is repealed. SEC. 3. Section 7 is added to the Santa Clara Valley Water District Act (Chapter 205 of the Statutes of 1967), to read: Sec. 7. (a) (1) The board of directors shall consist of five members, one elected from each of the five county supervisorial districts. The term of office of directors shall be four years. The directors shall hold office until their successors are elected or appointed and qualified. (2) In this act, unless the context requires otherwise, "board" and "board of directors" mean the board of directors of the district. (b) This section shall become operative on January 1, 2010. SEC. 4. Section 7.2 of the Santa Clara Valley Water District Act (Chapter 1405 of the Statutes of 1951), as amended by Chapter 164 of the Statutes of 1988, is amended to read: Sec. 7.2. (a) The two appointed directors shall represent the district at large. One appointed director shall have been a qualified elector for a period of at least two years immediately preceding his or her appointment in that portion of the district that consisted of the area of the Gavilan Water Conservation District on November 8, 1967. The other appointed director shall have been a qualified elector in that portion of the district that consisted of the area of the Santa Clara Valley Water Conservation District on November 8, 1967. Each appointed director shall continue to reside within the area from which the director was appointed during his or her incumbency in office. (b) The first term of office of the appointed director residing in the area of the Santa Clara Valley Water Conservation District shall terminate on the first Monday in January of the first even-numbered year following his or her appointment, and the first term of office of the director residing in the area of the Gavilan Water Conservation District shall terminate on the first Monday in January of the second even-numbered year following his or her appointment. (c) This section shall remain in effect only until January 1, 2010, and as of that date is repealed. SEC. 5. Section 7.3 of the Santa Clara Valley Water District Act (Chapter 1405 of the Statutes of 1951), as added by Chapter 205 of the Statutes of 1967, is amended to read: Sec. 7.3. (a) Whenever a vacancy occurs in the office of an elected director, the vacancy shall be filled by appointment by the board of directors of a qualified elector from the district in which the vacancy occurs. If an appointment is not made within 30 days from the occurrence of the vacancy, the Board of Supervisors of Santa Clara County shall make the appointment. An appointee shall hold office until the election and qualification of his or her successor. At the next general election following any vacancy, a director shall be elected for the unexpired term of the office unless the term is to expire on the first Monday in January of the year succeeding the general election. (b) Whenever a vacancy occurs in the office of an appointed director, the vacancy shall be filled by appointment by the board of a qualified elector from the area in which the vacancy occurs for the unexpired term of the office. (c) This section shall remain in effect only until January 1, 2010, and as of that date is repealed. SEC. 6. Section 7.3 is added to the Santa Clara Valley Water District Act (Chapter 205 of the Statutes of 1967), to read: Sec. 7.3. Any vacancy in the office of a director shall be filled pursuant to Section 1780 of the Government Code. (b) This section shall become operative on January 1, 2010. SEC. 7. Section 7.4 of the Santa Clara Valley Water District Act (Chapter 1405 of the Statutes of 1951), as added by Chapter 205 of the Statutes of 1967, is repealed. SEC. 8. Section 8 of the Santa Clara Valley Water District Act (Chapter 1405 of the Statutes of 1951), as amended by Chapter 205 of the Statutes of 1967, is repealed. SEC. 9. Section 20 of the Santa Clara Valley Water District Act (Chapter 1405 of the Statutes of 1951), as added by Chapter 205 of the Statutes of 1967, is amended to read: Sec. 20. (a) On or before June 15 of each year, the board shall meet, at the time and place designated by published notice, at which meeting any member of the general public may appear and be heard regarding any item in the proposed budget or for the inclusion of additional items. (b) After the conclusion of the meeting, and not later than June 30 of each year, and after making any revisions of, deductions from, or increases or additions to, the proposed budget that the board determines advisable during or after the meeting, the board, by resolution, shall adopt the budget as finally determined. SEC. 10. Section 26.7 of the Santa Clara Valley Water District Act (Chapter 1405 of the Statutes of 1951), as amended by Chapter 664 of the Statutes of 1992, is amended to read: Sec. 26.7. (a) (1) Prior to the end of the water year in which the hearing is held, and based upon the findings and determinations from the hearing, the board shall determine whether or not a groundwater charge should be levied in any zone or zones. (2) If the board determines that a groundwater charge should be levied, it shall levy, assess, and affix the charge or charges against all persons operating groundwater-producing facilities within the zone or zones during the ensuing water year. (3) (A) The charge shall be computed at a fixed and uniform rate or rates per acre-foot for agricultural water, and at a fixed and uniform rate or rates per acre-foot for all water other than agricultural water. (B) Different rates may be established in different zones, except that in each zone the rate or rates for agricultural water shall be fixed and uniform. (C) The rate or rates, as applied to operators who produce groundwater above a specified annual amount, may, except in the case of any person extracting groundwater in compliance with a government-ordered program of cleanup of hazardous waste contamination, be subject to prescribed, fixed, and uniform increases in proportion to increases by that operator in groundwater production over the production of that operator for a prior base period to be specified by the board, upon a finding by the board that conditions of drought and water shortage require the increases. The increases shall be related directly to the reduction in the affected zone groundwater levels in the same base period. (D) The rates shall be established each year in accordance with a budget for that year approved by the board pursuant to this act, or amendments or adjustments to that budget, and shall be fixed and uniform rates for agricultural water and for all water other than agricultural water, respectively, except that each rate for agricultural water shall not exceed one-fourth of the rate for all water other than agricultural water. (b) (1) The board may also impose or adjust any groundwater charge, and the rate of any charge, on or before January 1 of each water year whenever the board determines that the imposition or adjustment of the charge is necessary. (2) The board shall prepare a supplemental report to the annual report prepared pursuant to Section 26.5, explaining the reasons for the imposition or adjustment of the charge. The board shall file the supplemental report with the clerk of the board at least 45 days before the date the new or adjusted charge is proposed to take effect. (3) (A) The clerk shall publish in a newspaper of general circulation published within the district, pursuant to Section 6061 of the Government Code, a notice of the receipt of the supplemental report and a hearing to be held on the proposed imposition or adjustment of the groundwater charge at least 31 days before the date on which the new or adjusted charge is proposed to take effect and at least 10 days before the date of the hearing. (B) The notice shall invite any operator of a water-producing facility within the district and other interested parties to examine the supplemental report prepared pursuant to paragraph (2) at the district office. (4) (A) A public hearing shall be held at least 21 days before the date on which the new or adjusted groundwater charge is proposed to take effect in the chambers of the board. (B) Any operator of a water-producing facility within the district may, in person or by means of a representative, present evidence at the hearing concerning the imposition or adjustment of the groundwater charge. (c) Any groundwater charge levied pursuant to this section shall be in addition to any general tax or assessment levied within the district or any zone or zones thereof. (d) Clerical errors occurring or appearing in the name of any person or in the description of the water-producing facility from which the production of water is otherwise properly charged, or in the making or extension of any charge upon the records that do not affect the substantial rights of the assessee or assessees, shall not invalidate the groundwater charge. SEC. 11. No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district are the result of a program for which legislative authority was requested by that local agency or school district, within the meaning of Section 17556 of the Government Code and Section 6 of Article XIII B of the California Constitution.