BILL ANALYSIS SENATE HEALTH COMMITTEE ANALYSIS Senator Elaine K. Alquist, Chair BILL NO: SB 918 S AUTHOR: Pavley B AMENDED: March 17, 2010 HEARING DATE: March 24, 2010 9 CONSULTANT: 1 Orr/ 8 SUBJECT Water recycling SUMMARY Requires the California Department of Public Health (CDPH) to develop and adopt uniform water recycling criteria for indirect potable water reuse, and investigate the feasibility of developing uniform water recycling criteria for direct potable reuse. CHANGES TO EXISTING LAW Existing federal law: Establishes the Safe Drinking Water Act (SDWA) to protect public health by regulating the nation's public drinking water supply. The act requires actions to protect drinking water and its sources, including rivers, lakes, reservoirs, springs, and ground water wells. Establishes the Clean Water Act (CWA), which prescribes the basic structure for regulating discharges of pollutants into the waters of the United States and regulating quality standards for surface waters. Existing state law: Requires CDPH to establish uniform statewide recycling criteria for each type of use of recycled water use, as Continued--- STAFF ANALYSIS OF SENATE BILL 918 (Pavley) Page 2 specified. Establishes the Water Recycling Act of 1991, creating a statewide goal to recycle a total of 700,000 acre-feet of water per year by the year 2000 and 1,000,000 acre-feet of water per year by the year 2010. Requires each urban water supplier to prepare, and update every five years, an urban water management plan with specified components, including information on recycled water and its potential for use as a water source in the service area of the urban water supplier. Establishes The Porter-Cologne Water Quality Control Act to give authority to the State Water Resources Control Board (state board) over state water rights and water quality policy, and establishes nine regional water quality control boards (regional boards) to oversee water quality on a day-to-day basis at the local/regional level. Finds any person who causes or permits a hazardous substance to be discharged into waters of the state to be strictly civilly liable for those impermissible discharges. Finds any person civilly liable who is found in violation of specified clean-up orders or waste discharge requirements in waters of the state, with certain exceptions. Prevents a regional board from imposing civil liability in an amount less than the minimum amount prescribed in statute, unless certain findings are made. Requires the Attorney General, upon request, to petition the superior court to impose, assess and recover the sums. Requires funds generated by these civil penalties to be deposited into the Waste Discharge Permit Fund, to be expended by the state board upon appropriation by the Legislature, to assist regional boards in cleaning up or abating the effects of waste in waters in the state. This bill: Requires CDPH to complete and adopt criteria for uniform water recycling of indirect potable water reuse according to a specified schedule. Requires CDPH to investigate and report to the Legislature on the feasibility of developing uniform water recycling STAFF ANALYSIS OF SENATE BILL 918 (Pavley) Page 3 criteria for direct potable reuse, and requires a public review draft report. The final report shall be provided to the Legislature by December 31, 2015 and be made public. Requires CDPH to convene an expert panel to advise on scientific and technical matters related to the development of the aforementioned criteria, comprised of specified experts. Allows CDPH to also appoint an advisory group, task force, or other group comprised of representatives of water and wastewater agencies, local public health officers, and related public health and environmental organizations. Provides that funds generated by these civil penalties between July 1, 2011 and June 30, 2015 shall be made available to CDPH upon appropriation by the Legislature, for the purpose of completing these uniform water recycling criteria requirements, and not to exceed specified amounts. Makes findings and declarations regarding the state board's updated water recycling policy and the goal of increasing the use of recycled water in the state over 2002 levels by at least 1,000,000 acre-feet per year by 2020, and by at least 2,000,000 acre-feet per year by 2030. Makes various non-substantive technical changes. FISCAL IMPACT This bill has not been analyzed by a fiscal committee. BACKGROUND AND DISCUSSION The state's growing demand for water, lack of new water resources, and frequent calls for water conservation in low and consecutive low rainfall years have resulted in efforts to augment potable supplies with recycled water. According to the author, California discharges nearly four million acre feet of wastewater into the ocean each year, much of which could be recycled. Water recycling has been recognized as a cost-effective and drought-proof method of STAFF ANALYSIS OF SENATE BILL 918 (Pavley) Page 4 helping to meet California's needs. Recycled water Recycled water, sometimes called reclaimed water, is former wastewater (sewage) that has been treated to remove solids and certain impurities, and then allowed to recharge the aquifer rather than being discharged to surface water. This recharging is often done by using the treated wastewater for irrigation. Recycled water is used for many purposes including agricultural irrigation, landscape irrigation, groundwater recharge, and seawater intrusion barriers. Before recycled water can be used for these beneficial uses, the regional water quality control boards and CDPH require treatment to remove pollutants that could be harmful to the beneficial use. Federal water quality The objective of the Federal Water Pollution Control Act, commonly referred to as the Clean Water Act (CWA), is to restore and maintain the chemical, physical, and biological integrity of the nation's waters by preventing point and nonpoint pollution sources, providing assistance to publicly owned treatment works for the improvement of wastewater treatment, and maintaining the integrity of wetlands. It is the national policy that area wide treatment management planning processes be developed and implemented to assure adequate control of sources of pollutants in each state. The 1972 amendments to the act introduced a permit system for regulating point sources of pollution. Point sources include: industrial facilities (including manufacturing, mining, oil and gas extraction, and service industries), municipal governments and other government facilities (such as military bases), and some agricultural facilities, such as animal feedlots. Point sources may not discharge pollutants to surface waters without a permit from the National Pollutant Discharge Elimination System (NPDES). This system is managed by the United States Environmental Protection Agency (EPA) in partnership with state environmental agencies. EPA has authorized 46 states to issue permits directly to the discharging facilities. Due to the sheer numbers of potential chemicals that exist, the EPA contends that traditional wastewater treatment processes used in public water systems for recycled water STAFF ANALYSIS OF SENATE BILL 918 (Pavley) Page 5 are not the only solution for all potable water quality concerns, particularly since current analytical methods are insufficient to identify all potential contaminants at concentrations of health significance. For instance, trace organic compounds, including pharmaceuticals, hormones, antibiotics, anti-inflammatories, and personal care products (antibacterial soaps, sunscreen, bath gels, etc.) can be present in municipal wastewaters. None of these individual compounds are regulated or monitored by maximum contaminant levels (MCLs) in the SDWA. State water quality The Drinking Water Program within the CDPH Division of Drinking Water and Environmental Management (DDWEM) regulates California's public water systems; promotes and provides information on water conservation; oversees water recycling projects; and certifies drinking water treatment and distribution operators, among other things. DDWEM allows disinfected-tertiary or advanced treated recycled water for "indirect drinking use" such as water recharge. Tertiary treatment includes treatment processes beyond secondary or biological processes which further improve effluent quality, and can include detention in lagoons and conventional filtration via sand, among others. State regulations The use of recycled water for groundwater recharge by surface or subsurface application is regulated under several state laws designed to ensure the protection of public health and water quality. CDPH regulates projects under the State Water Recycling Criteria (Title 22) and draft groundwater recharge regulations. The draft recharge regulations, which are used as guidance in evaluating projects, specifically address protection of public health in terms of chemicals, microorganisms, and constituents of emerging concern, such as personal care products, pharmaceuticals, and compounds that impact human growth and reproduction. In January 2007, CDPH posted a revised draft of the Groundwater Recharge Regulations on its website and formed an expanded Groundwater Recharge Regulations Working Group (advisory group) to discuss and revise the draft regulations. In August 2008, CDPH posted a revised draft of the regulations on its website and asked for public comments to be submitted in October 2008. Since that time, CDPH has been reviewing the comments and preparing responses. In 2009, CDPH submitted the draft to CDPH's STAFF ANALYSIS OF SENATE BILL 918 (Pavley) Page 6 legal services group for review. Once a final draft has been prepared based on the legal services input, the complete regulatory package must be prepared and the formal regulatory process can begin. Per the CDPH website, the main steps in the formal regulatory process will include review of the proposed regulation by CDPH's Office of Regulations and Hearings, CDPH's Budget Office, the Department of Finance, the Health & Human Services Agency and the Office of Administrative Law (OAL), prior to publication in the California Regulatory Notice Register. There is a 45-day public comment period, followed by preparation of responses to comments. The final regulations package goes for approval by the CDPH Director's Office. Once signed, the package goes to OAL for final review for Administrative Procedure Act compliance, which can take up to 30 working days. Following OAL approval, the regulation is filed with the Secretary of State, and becomes effective 30 days later. The timeframe for completing this process is at a minimum two to three years, based on adoption of other CDPH regulations. Related bills AB 1100 (Duvall) of 2009, would have defined potable reuse demonstration water and allowed it to be bottled for consumption, subject to distribution limits and labeling requirements, for educational purposes only. Failed passage in Senate Environmental Quality Committee. AB 410 (De la Torre) of 2009 would have set a statewide water recycling target to a total of 1,300,000 acre-feet of water per year by the year 2020, and 2,000,000 acre-feet of water per year by the year 2030. Would require the Department of Water Resources to assess progress toward meeting that target every five years, based on information provided in urban water management plans. Pending in the Senate Appropriations Committee. Prior legislation AB 2270 (Laird) of 2008 would have required additional reporting on recycled water and allow local limitations on salinity inputs. Vetoed AB 921 (Wayne) Chapter 295, Statutes of 1998, prohibited the department from issuing a permit to a public water system or from amending a valid STAFF ANALYSIS OF SENATE BILL 918 (Pavley) Page 7 existing permit for the use of a reservoir as a source of supply that is directly augmented with recycled water, as specified, unless specified requirements imposed on the department are satisfied. Arguments in support WateReuse California contends that this bill reinforces a science-based approach to evaluating the safety of recycled water and will help California meet current and future water supply demand. They note that CDPH has made significant progress on groundwater recharge criteria using scientific research, independent expert guidance and a stakeholder panel. This bill provides CDPH with the resources to finish its work on water recycling criteria for groundwater recharge and surface water augmentation. County Sanitation Districts of Los Angeles claims it is critical for the state to support the increased use of recycled water in the future, since it is one of the few sources of "new" water supply. The type of use with the largest potential that is currently allowed involves indirect potable reuse, either via groundwater recharge, direct injection, or surface water augmentation. COMMENTS 1. Double referral. This bill is double referred to Environmental Quality Committee. POSITIONS Support: Planning and Conservation League (Co-sponsor) WateReuse California (Co-sponsor) California Association of Sanitation Agencies California Water Association County Sanitation Districts of Los Angeles County East Bay Municipal Utility District Sierra Club California Oppose: None received -- END --