BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                  AB 1422|
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                                 THIRD READING


          Bill No:  AB 1422
          Author:   Perea (D), et al.
          Amended:  6/28/12 in Senate
          Vote:     27 - Urgency

           
           SENATE NATURAL RESOURCES AND WATER COMM.  :  6-0, 7/2/12
          AYES:  Pavley, La Malfa, Cannella, Fuller, Kehoe, Wolk
          NO VOTE RECORDED:  Evans, Padilla, Simitian

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8
           
          ASSEMBLY FLOOR  :  Not relevant


           SUBJECT  :    2012 Water Bond

           SOURCE  :     Author


           DIGEST  :    This bill (1) amends the chaptered versions of  
          SB 2X7 (Cogdill, Chapter 3, Statutes of 2009-10 Seventh 
          Extraordinary Session), AB 153 (Hernandez, Chapter 226, 
          Statutes of 2010), and AB 1265 (Caballero, Chapter 126, 
          Statutes of 2010) to delay the water bond to the November 
          4, 2014 ballot, (2) deletes the provisions specifying the 
          label, title, and summary to be included in the ballot 
          pamphlet, and (3) states that the bill calls an election 
          within the meaning of Article IV of the Constitution and 
          shall go into immediate effect.

           ANALYSIS  :    

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          Existing law:

          1. Creates the Safe, Clean, and Reliable Drinking Water 
             Supply Act of 
             2012, which, if approved by the voters, would authorize 
             the issuance of bonds in the amount of $11,140,000,000 
             pursuant to the State General Obligation Bond Law to 
             finance a safe drinking water and water supply 
             reliability program. 

          2. Provides for the submission of the bond act to the 
             voters at the November 6, 2012 statewide general 
             election.

          This bill:

          1. Amends the chaptered versions of SB 2X7 (Cogdill), AB 
             153 (Hernandez), and AB 1265 (Caballero) to delay the 
             water bond to the November 4, 2014 ballot.

          2. Deletes the provisions specifying the label, title, and 
             summary to be included in the ballot pamphlet.

          3. States that the bill calls an election within the 
             meaning of Article IV of the Constitution and shall go 
             into immediate effect.

           Background 

          SB 2X7 (Cogdill) was part of the water package passed in 
          the 2009-10 Seventh Extraordinary Session.  The bill 
          proposed to place before the voters in November 2010, the 
          Safe, Clean, and Reliable Drinking Water Supply Act of 
          2010, which would authorize $11.14 billion in general 
          obligation bonds to fund various water resources programs 
          and project.  The funding is as follows:

           $455 M              Chapter 5.Drought Relief
           $1,050              Chapter 6.Water Supply Reliability
           $2,250              Chapter 7.Delta Sustainability
           $3,000              Chapter 8.Statewide Water System 
          Operational Improvement
           $1,785              Chapter 9.Conservation And Watershed 
          Protection

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           $1,000              Chapter 10.Groundwater Protection And 
          Water Quality
           $1,250               Chapter 11.Water Recycling Program
                  $11,140 M    Total

          SB 2X7 also specified the label, title, and summary to be 
          included in the ballot pamphlet.

          Provisions of the proposed water bond were amended twice in 
          2010:

           AB 153 (Hernandez) amended the provisions governing 
            allowable uses of funds for the San Gabriel Valley 
            groundwater clean-up program.

           AB 1265 (Caballero) delayed the placement of the water 
            bond before voters to the November 6, 2012 general 
            election, changed the title of the bond to the Safe, 
            Clean, and Reliable Drinking Water Supply Act of 2012, 
            and made conforming changes throughout the bill.  The 
            bill also amended the provisions governing joint power 
            authority (JPA) participation in surface storage 
            projects.

          Both bills also included provisions regarding how the 
          Secretary of State was to incorporate the amendments made 
          by those bills into the measure placed before the voters.

          In January 2011, the Court of Appeal of the State of 
          California, in Jarvis v Bowen, wrote:  "The question posed 
          is whether, in enacting the 'Safe, Reliable, High-Speed 
          Passenger Train Bond Act for the 21st Century' to submit 
          the measure to voters as Proposition 1A at the November 4, 
          2008 general election, the Legislature acted lawfully when 
          it specified the ballot label, title and summary to be used 
          and precluded the Attorney General from revising the 
          language other than to include a financial impact 
          statement.  The answer is 'No.'"  "Simply stated, the 
          Legislature cannot dictate the ballot label, title and 
          official summary for a statewide measure ?"

          Article IV, Section 8, subdivision (c), paragraph (3) of 
          the California Constitution states, "Statutes calling 
          elections, statutes providing for tax levies or 

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          appropriations for the usual current expenses of the State, 
          and urgency statutes shall go into effect immediately upon 
          their enactment."

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes   
          Local:  No

           SUPPORT  :   (Verified  7/2/12)

          Association of California Water Agencies
          Audubon California
          Calaveras County Water District
          California Alliance for Jobs
          California Association of Sanitation Agencies
          California Building Industry Association
          California Chamber of Commerce
          California Conference of Carpenters
          California Farm Bureau Federation
          California Municipal Utilities Association
          California Water Association
          Calleguas Municipal Water District
          Castaic Lake Water Agency
          CH2M HILL
          Cucamonga Valley Water District
          Dublin San Ramon Services District
          Eastern Municipal Water District
          Friant Water Authority
          Glendale Water and Power
          Imperial Irrigation District
          Inland Empire Utilities Agency
          Kern County Water Agency
          Las Virgenes Municipal Water District
          Latino Water Coalition
          Los Angeles Department of Water and Power
          Metropolitan Water District of Southern California
          Mojave Water Agency
          Municipal Water District of Orange County
          Northern California Water Association
          Orange County Water District
          San Diego County Water Authority
          San Francisco Public Utilities Commission
          San Gabriel Basin Water Quality Authority
          Santa Clara Valley Water District
          Sonoma County Water Agency

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          The Nature Conservancy
          Three Valleys Municipal Water District
          United Water Conservation District
          Upper San Gabriel Valley
          WateReuse California
          Western Growers Association
          Western Municipal Water District
          Westlands Water District

           ARGUMENTS IN SUPPORT  :    According to a coalition of water 
          and business interests, "Although voters do agree that 
          investments in water infrastructure and environmental 
          restoration enhancements are needed, 2012 is not the year 
          to pass a water bond.  This is in part because of the 
          current state of the economy.  The key is to pass a simple 
          bill to delay the bond to 2014.


          CTW:m  7/3/12   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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