BILL ANALYSIS Senate Appropriations Committee Fiscal Summary Senator Christine Kehoe, Chair 301 (Fuentes) Hearing Date: 08/12/2010 Amended: 04/01/2009 Consultant: Brendan McCarthy Policy Vote: EQ 5-2 _________________________________________________________________ ____ BILL SUMMARY: AB 301 requires applicants for an annual bottled-water license to include information on the total volume of water bottled or sold in the state and source information. This bill requires the Department of Public Health to annually compile this information and make it available to the public. _________________________________________________________________ ____ Fiscal Impact (in thousands) Major Provisions 2009-10 2010-11 2011-12 Fund Compiling and publicizing $50 $40 $40General information _________________________________________________________________ ____ STAFF COMMENTS: SUSPENSE FILE. AS PROPOSED TO BE AMENDED. Existing law requires water-bottling plants or bottled water distributors to obtain a license from the Department of Public Health. The Department is required to collect fees for those licenses. Fees collected by the Department are required to be sufficient to enforce the laws pertaining to bottled, vended, hauled and processed water, as specified. (However, statute gives the Department of Finance authority to adjust fee levels only to reflect changes in the cost of living.) AB 301 requires applicants for a license as a water-bottling plant or a private water source in the state to provide to the Department, at the time of submittal of the application, information pertaining to the total volume of water bottled or sold either for wholesale or retail use; specify whether the source of the water bottled or sold is a public or private water agency or an artesian well, lake, river, spring, or well; and the location of the source water and whether this source is privately or publicly owned and operated. The bill requires the Department to annually compile a listing of the information reported by the applicants and make that information available to the public. Costs to compile and report this information would be about $40,000 annually, including one half-time position. Start up costs would be about $30,000 in the first year and would include a contract to modify the existing database to receive the new information. Because existing fees are adjusted only to reflect changes in the cost of living, additional program activities will not be covered by fee revenues. Therefore, additional program activities will likely require General Fund appropriations. This bill is similar to AB 2275 (Fuentes) of 2008 which was vetoed by the Governor with a generic veto message applied to bills passed before the budget was signed. The proposed amendments would make technical changes and add coauthors.