BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 2056
                                                                  Page 1


          ASSEMBLY THIRD READING
          AB 2056 (Chesbro)
          As Amended  April 26, 2012
          Majority vote 

           ENVIRONMENTAL SAFETY         9-0APPROPRIATIONS      17-0        
           
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          |Ayes:|Wieckowksi, Miller,       |Ayes:|Fuentes, Harkey,          |
          |     |Campos, Chesbro, Davis,   |     |Blumenfield, Bradford,    |
          |     |Donnelly, Feuer, Bonnie   |     |Charles Calderon, Campos, |
          |     |Lowenthal, Morrell        |     |Davis, Donnelly, Gatto,   |
          |     |                          |     |Hall, Hill, Lara,         |
          |     |                          |     |Mitchell, Nielsen, Norby, |
          |     |                          |     |Solorio, Wagner           |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  This bill exempts small public water systems (PWS) 
          from the three year limit on permits for point-of-entry (POE) 
          and point-of-use (POU) treatment in lieu of centralized water 
          treatment.  Specifically,  this bill  :  

          1)Allows PWS of 20 or fewer residential connections to use POU 
            treatment beyond the three year maximum set by Department of 
            Public Health (DPH). 

          2)Allows these water systems to use census tract data as median 
            household income (MHI) information for the demonstration of 
            economic feasibility, as required in the pre-application for 
            POU treatment. 

           EXISTING LAW  :

          1)Provides for the use of water treatment devices by a public 
            water system (PWS), including POU and POE devices, if the PWS 
            meets the following criteria:

             a)   The PWS has less than 200 service connections; and,

             b)   The PWS has submitted pre-applications with DPH for 
               funding to correct the violations for which the POU 
               treatment is provided.









                                                                  AB 2056
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          2)Limits the issuance of a permit for the use of POU treatment 
            to the lesser of three years or until funding for centralized 
            treatment is available.

          3)Sets the Maximum Contaminant Level (MCL) for arsenic in 
            drinking water, effective 2006, at 10 micrograms per liter. 

           FISCAL EFFECT  :  According to the Assembly Appropriations 
          Committee, this bill would have minor, absorbable costs to the 
          Department of Public Health (DPH), which regulates drinking 
          water quality and public water systems.

           COMMENTS  :

             Need for the bill:   Loch Haven Mutual Water District in the 
            Santa Rosa area has arsenic in its drinking water above the 
            level allowed by state law.  The cost of centralized treatment 
            is estimated at $250,000 or more.  Due to the very small size 
            of the PWS (19 connections), building, operating, and 
            maintaining a centralized treatment facility is not 
            economically feasible. 
             
             According to the US Environmental Protection Agency (EPA), 
            "Small System Variance Technologies" must be identified in 
            lieu of affordable compliance technologies.  US EPA and other 
            agencies have studied and shown that POU systems are a cost 
            effective means of extending access to clean and safe drinking 
            water to more people.  Researchers have calculated the cost of 
            such systems against estimates for a central treatment plant, 
            and found that POU systems can be installed and maintained for 
            less than half the projected cost of centralized treatment.  A 
            PWS must apply for Proposition 84 grant funding for 
            centralized treatment, but given the limited resources, may 
            not receive funding within the current three year time limit.

            To be approved for POU treatment permit, applicants are 
            required to apply for centralized treatment funding from DPH, 
            which includes demonstration that the cost of centralized 
            treatment is not economically feasible, based on current water 
            bills and median household income (MHI) of the community.  
            This demonstration includes, according to the Loch Haven 
            Mutual Water Company, "onerous requirements for a complex 
            economic analysis requiring each homeowner to disclose family 
            income."  








                                                                  AB 2056
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             SDWA Allows POU Treatment:   Federal requirements establish a 
            national basis for implementing a POU or POE treatment 
            strategy, as a less-costly alternative to centralized 
            treatment.  To ensure the protection of public health the Safe 
            Drinking Water Act (SDWA) regulates the design, management, 
            and operation of POU and POE treatment units.  The SDWA 
            provides that: 

             1)   POU and POE units must be owned, controlled, and 
               maintained by the PWS or by a contractor hired by the PWS 
               to ensure proper operation and maintenance of the devices 
               and compliance with MCLs.  Further, the PWS may not 
               delegate its responsibility for the operation and 
               maintenance of installed POU or POE devices to homeowners 
               as part of a compliance strategy.

             2)   POU and POE units must have mechanical warnings to 
               automatically notify customers of operational problems.  
               Each POU or POE treatment device installed as part of a 
               compliance strategy must be equipped with a warning device 
               (e.g., alarm, light, etc.) that will alert users when their 
               unit is no longer adequately treating their water.  
               Alternatively, units may be equipped with an automatic 
               shut-off mechanism to meet this requirement.

             DPH Emergency POU Regulations  :  In 2010-11, DPH adopted 
            Interim POU and POE Regulations that closely follow federal 
            POU regulations, with additional guidelines for economic 
            feasibility testing.  This economic analysis requires that the 
            community water system provide to DPH information 
            demonstrating the estimated cost of centralized treatment in 
            relation to the MHI of the community and average water bills. 


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

                                                                FN: 0003783