BILL ANALYSIS Ó AB 964 Page 1 Date of Hearing: May 11, 2011 ASSEMBLY COMMITTEE ON APPROPRIATIONS Felipe Fuentes, Chair AB 964 (Huffman) - As Amended: April 13, 2011 Policy Committee: Environmental Safety and Toxic Materials Vote: 8-0 Local Government 9-0 Urgency: No State Mandated Local Program: No Reimbursable: No SUMMARY This bill conditions financial assistance for onsite sewer improvements. Specifically, this bill: 1)Limits financial assistance provided by the State Water Resources Control Board from the State Water Pollution Control Revolving Fund for onsite sewer improvements to only those projects for which a public agency has adopted a sewer system management plan that, in addition to other applicable requirements, includes a 10-year plan for sewer upgrades. 2)Requires, commencing January 1, 2013, a public agency receiving financial assistance from the fund for onsite sewer improvements to report annually to the board on progress developing and implementing the 10-year plan for sewer upgrades. FISCAL EFFECT 1)Minor ongoing costs, if any, to the State Water Resources Control Board to receive reports from public agencies and review 10-year plans for sewer upgrades. 2)Potential marginal shift in the public agencies to which the board awards State Water Pollution Control Revolving Fund monies. COMMENTS 1)Rationale . The author intends to to encourage public agencies AB 964 Page 2 to adopt and implement 10-year plans for sewer upgrades, which, the author contends, will help protect surface water and groundwater through prevention of sewage spills caused by stormwater intrusion into sewer collection systems. 2)Background. The Clean Water State Revolving Fund is a federal financial assistance program that implements the federal Clean Water Act and various state water quality laws. The federal program provides financial assistance for construction or implementation of projects that address water quality and prevent water pollution. California implements the federal program through establishment of the State Water Pollution Control Revolving Fund, which receives capitalization from federal funds and state bond funds and from which the board makes financial awards. 3)Support. This bill is supported by the California Association of Realtors, the California Association of Sanitation Agencies, the Sierra Club California and others. 4)Opposition. The bill is opposed by the Association of California Water Agencies (ACWA), whose members would be unable to receive awards from the State Water Pollution Control Revolving Fund if they had not adopted a sewer system management plan that, in addition to other applicable requirements, includes a 10-year plan for sewer upgrades. Analysis Prepared by : Jay Dickenson / APPR. / (916) 319-2081