BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 1221
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          CONCURRENCE IN SENATE AMENDMENTS
          AB 1221 (Alejo)
          As Amended  June 28, 2011
          2/3 vote
           
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          |ASSEMBLY:  |64-10|(June 3, 2011)  |SENATE: |38-0 |(September 1,  |
          |           |     |                |        |     |2011)          |
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           Original Committee Reference:    E.S. & T. M.  

           SUMMARY  :  Expands eligibility for funding from the State Water 
          Pollution Cleanup and Abatement Account (CAA).  Allows a 
          not-for-profit organization and listed tribe serving a 
          disadvantaged community to receive funding from the CAA for 
          waste clean-up.   Requires that not-for-profit organization to 
          be either controlled by a local public agency or, in the case of 
          a private corporation, have a broadly-based ownership or 
          membership of the people of the local community.

           The Senate amendments  limit the eligibility of not-for-profit 
          organizations and tribes to those entities which are either 
          public water systems or are under the regulatory authority of 
          Porter-Cologne Water Quality Act.  The Senate amendments require 
          that the tribes that enter into an agreement with the State 
          Water Resources Control Board (SWRCB) for funds be regulated by 
          the SWRCB and waive tribal sovereign immunity explicitly for the 
          purposes of the agreed upon SWRCB oversight.

           EXISTING LAW  establishes the CAA that is administered by the 
          SWRCB and provides grants to public agencies for the cleanup or 
          abatement of water pollution.

           AS PASS BY THE ASSEMBLY  , this bill was substantially similar to 
          the version approved by the Senate.

           FISCAL EFFECT  :  According to the Assembly Appropriations 
          Committee enactment of this bill would result in the following 
          fiscal effects:

          1)Negligible costs to SWRCB to accept and process a potentially 
            greater number of applications for funding from the CAA.

          2)Potential significant shift in CAA funding of an unknown 








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            amount away from public agencies and to tribes or 
            not-for-profit organizations.
           
          COMMENTS  :  According to the author, "There are far too many 
          communities throughout the state that lack access to clean water 
          services, including safe drinking water.  The majority of these 
          communities are rural unincorporated disadvantaged communities 
          that do not have the resources to develop infrastructural 
          projects for the delivery of sanitary sewer and safe drinking 
          water.  Families in these communities cannot afford the 
          treatment required to access clean water.  As a result, these 
          communities are at a higher risk of adverse health impacts.  
          There continues to be a lack of help from public agency's to 
          apply for funding to help disadvantaged communities and tribes 
          to access water."


          The CAA was created by Water Code Section 13440-13443 to provide 
          public agencies with grants for the cleanup or abatement of 
          pollution when there are no viable responsible parties available 
          to undertake the work.  The CAA is supported by court judgments 
          and administrative civil liabilities assessed by the SWRCB and 
          the Regional Water Quality Control Boards.  Only public agencies 
          with authority to cleanup or abate a waste are eligible to 
          receive funding.  In 2010 approximately $9.3 million was 
          allocated from the CAA for public agency clean-up projects.



          The type of not-for-profit organizations included in this bill 
          is designed to include housing cooperatives, or other private 
          entities that are not traditional non-profit organization but 
          are quasi-public entities like the San Jerardo Housing 
          Cooperative in Monterey County.  This organization is currently 
          eligible for development funding by the United State Department 
          of Agriculture.
           

          Analysis Prepared by  :    Bob Fredenburg / E.S. & T.M. / (916) 
          319-3965 

                                                               FN: 0002135 











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