BILL ANALYSIS                                                                                                                                                                                                    Ó





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          |                                                                 |
          |         SENATE COMMITTEE ON NATURAL RESOURCES AND WATER         |
          |                   Senator Fran Pavley, Chair                    |
          |                    2011-2012 Regular Session                    |
          |                                                                 |
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          BILL NO: AB 2443                   HEARING DATE: June 26, 2012  
          AUTHOR: Williams                   URGENCY: No  
          VERSION: June 19, 2012             CONSULTANT: Alena Pribyl
          DUAL REFERRAL: Transportation and HousingFISCAL: Yes  
          SUBJECT: Vessels: registration fee: Quagga and Zebra Mussel 
          Infestation Prevention Program.
          
          BACKGROUND AND EXISTING LAW
           Dreissenid mussels
           Two species of dreissenid mussels currently exist in California 
          and the U.S., the zebra mussel, Dreissena polymorpha and the 
          quagga mussel, Dreissena rostriformis bugensis. The zebra and 
          quagga mussels are native to Eastern Europe and Western Asia and 
          were first discovered in the Great Lakes in the late 1980s. They 
          were likely introduced from the release of ballast water of 
          transoceanic ships. Since their first introduction, both species 
          have spread to lakes and rivers in 27 states and have caused 
          billions of dollars in damage.

          Dreissenid mussels pose a threat because once established in 
          freshwater, they can latch onto pipes, valves, screens, 
          irrigation canals, and gates in quantities that can severely 
          impede the movement of water and operation of critical water 
          management infrastructure. Ecological balance of a water body 
          can also be impacted because the mussels feed by filtering large 
          quantities of microscopic plants (phytoplankton) and animals 
          (zooplankton) from the water.  These phytoplankton and 
          zooplankton form the base of aquatic food webs, and removing 
          their availability will eliminate food for other species and 
          disrupt the entire food web. This would impact fish populations.

          Zebra and quagga mussels are prolific breeders, can spread 
          rapidly, and can adapt to a wide variety of aquatic 
          environments. The mussels can move downstream with the flow of 
          water, and attach to any hard object. Transport by people is the 
          primary method the mussels are spread to unconnected waters; 
          mussels can attach to recreational equipment such as boats and 
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          can survive for a week or longer out of water.  Currently 
          dreissenid mussels have been identified in 25 bodies of 
          freshwater in California, primarily in Southern California. It 
          is suspected the mussels were brought to the western U.S. on the 
          hull of a recreational boat.  According to the Department of 
          Fish and Game, eradication of dreissenid mussels is possible if 
          they are in low density, but it is very expensive. Eradication 
          of an established population of mussels is not currently 
          possible and controlling an established population is also very 
          expensive. The Metropolitan Water District has spent $30 million 
          in the last 5 years on staffing costs to wash and scrape mussels 
          from pipes and water grates. Preventing the further spread of 
          dreissenid mussels in California is much more cost effective 
          than controlling an established population. 
           




          Existing law
           Commencing with FGC§ 2301:

             1)   A person is not allowed to possess, import, ship, 
               transport, place, plant, or cause to be placed or planted, 
               dreissenid mussels in any water within the state.

             2)   Authorizes DFG to conduct inspections, temporarily stop 
               conveyances that may carry or contain adult or larval 
               dreissenid mussels on any roadway or waterway, order 
               conveyances to be decontaminated, and impound or quarantine 
               conveyances. 

             3)   Authorizes DFG to conduct inspections of state waters 
               and facilities located within state waters that may contain 
               dreissenid mussels. If mussels are detected, authorizes DFG 
               with the concurrence of the Secretary of Natural Resources, 
               to close or restrict access to the waters, areas, or 
               facilities.

             4)   Requires DFG to develop procedures for notifying 
               affected local, state, and federal agencies and requires 
               DFG to consult with the entity in charge of the affected 
               area.

             5)   Requires water supply system operators to cooperate with 
               DFG to implement measures to prevent introduction of 
               dreissenid mussel, and to develop and implement a plan to 
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               control and eradicate the mussels if they are detected.

             6)   Grants immunity to water delivery and storage facilities 
               from criminal and civil liability for mussel infestations 
               if they have developed, implemented, and kept up to date a 
               plan approved by DFG for the control and eradication of 
               mussels.

             7)   Any entity that discovers dreissenid mussels within the 
               state shall immediately report the discovery to DFG.

             8)   Sunsets the provisions in #1 - #7 on January 1, 2017.

             9)   Requires water reservoir operators where recreational 
               activities are allowed, to assess vulnerability of the 
               reservoir for the introduction of dreissenid mussels and 
               develop and implement a program to prevent introduction of 
               dreissenid mussels. If the reservoir does not allow 
               recreational activities, the operator shall include visual 
               monitoring for mussels as part of its routine field 
               activities.

          PROPOSED LAW
          This bill will increase vessel registration fees by no more than 
          $10 per year to provide funding for a statewide grant program to 
          prevent infestation by dreissenid mussels. Specifically this 
          bill:

          1) Adds legislative findings and declarations regarding the 
            threat of nonnative, invasive quagga and zebra mussels to 
            California's water supply, flood control, power generation, 
            and aquatic resource infrastructure. Makes statements about 
            the financial burden mussel infestations pose on local 
            governments and economies and the current threats to water 
            management in California from the invasive mussels.

          2)  Adds the "quagga and zebra mussel infestation prevention 
            fee" to vessel registration fees in the amount of no more than 
            $10/year (because vessel registration fees are for two years, 
            this may amount to $20). The fee will not apply to vessels 
            used exclusively in marine waters.

          3) Requires the Department of Boating and Waterways (DBW) to 
            establish and consult with a technical advisory group 
            appointed by the director to determine the amount of the fee. 
            The advisory group will consist of interested persons 
            including recreational boating and reservoir operation 
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            representatives. 

          4) Requires all revenue from the fees be placed in the Harbors 
            and Watercraft Revolving Fund (HWRF). 

          5) Requires DBW to adopt emergency regulations for the 
            collection and use of the quagga and zebra mussel infestation 
            prevention fee. The regulations are to include rules for 
            administering grants awarded to local governments from the 
            fees.

          6) Revenue placed in the HWRF from the quagga and zebra mussel 
            fee will be appropriated as follows:
                 Not more than 3% of total revenues to the Department of 
            Motor Vehicles (DMV) for 
                   reasonable costs associated with collection and 
            administration of the fee.
                 Not more than 3% of total revenues to DBW for reasonable 
            costs associated with 
                   determining the fee, adopting emergency regulations, 
            and administering grants.
                 Not more than 15% of remaining revenues to the 
            Department of Fish and Game (DFG) 
                 Not less than 85% of the remaining revenues will be made 
            available for grants to 
                  entities required to evaluate, develop and implement 
            programs to stop the spread of 
                  dreissenid mussels (#9 above under existing law).
           
          7) Requires DBW to give priority for grant funding to prevention 
            plans that are consistent with current code and DFG's Invasive 
            Mussels Guidebook for Recreational Water Managers and Users or 
            the Natural Resource Agency's Aquatic Invasive Species 
            Management Plan or subsequently adopted management plans. Also 
            requires DBW to take into consideration the benefits of 
            regional-scale dreissenid mussel prevention plans and the 
            unique economic, ecological, and recreational impacts to rural 
            and urban reservoirs from mussel infestation.

          8) Requires an entity receiving grant funding to report data to 
            DBW regarding mussel prevention and inspection programs 
            implemented with the funding

          9) Specifies that this bill does not preempt a special district, 
            city, county, or joint powers authority from adopting local 
            regulations for the prevention and eradication of invasive 
            species.
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          ARGUMENTS IN SUPPORT
          According to the author, a severe lack of funding for the 
          implementation of prevention efforts against the spread of 
          quagga and zebra mussels threatens local water supply, flood 
          control, and aquatic recreation facilities across the state. 
          This bill would help offset local government and state agency 
          costs by establishing a new source of revenue to help protect 
          California's vulnerable waters from quagga and zebra mussel 
          infestation.

          Supporters emphasize the need for continued monitoring and 
          inspection to prevent the spread of zebra and quagga mussels. 
          The lack of a statewide revenue source has impeded the ability 
          of California to develop a comprehensive approach to protecting 
          water bodies and hydropower facilities from the mussels. 
          Supporters also state that current funding is sporadic and 
          subject to cancellation as agencies undergo budget cuts. This 
          bill is a practical, cost-reasonable solution that can help 
          protect California's lakes and rivers.

          ARGUMENTS IN OPPOSITION
          Opponents state that boaters already pay their "fair share" 
          through boater gas tax dollars, vessel registration fees, and 
          interest paid on loans for boating infrastructure. They say that 
          other sources of revenue should be sought. They also believe 
          boater-funded grants should not go to local governments for the 
          purpose of preventing the spread of dreissenid mussels and that 
          local resources should be expended instead.  Opponents also 
          state that a new, comprehensive statewide approach should not be 
          undertaken without an examination of the effectiveness of the 
          current programs and fees should not be imposed on boaters 
          throughout the state regardless of whether they boat in affected 
          areas.  

          COMMENTS 
           Current status of monitoring/inspection programs
           State and federal agencies have initiated a unified response to 
          quagga/zebra mussels in California by increasing watercraft 
          inspections at Food and Agriculture border protection stations, 
          developing and implementing monitoring plans for high risk water 
          bodies, training state, federal and local agency staff to 
          conduct watercraft inspections and monitoring, and conducting 
          public outreach and education.  

          The problem is that many water bodies are managed by local 
          governments or authorities who are covering the cost of 
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          inspection and monitoring programs on their own. These local 
          entities don't have a stable funding source and often spend more 
          time soliciting grants than managing invasive species. For 
          example, Monterey County Parks Department implemented a mussel 
          prevention program in 2010 from an initial grant of $100,000 
          from DFG. This money was used to hire vessel screeners at all of 
          the public boat ramps at two different lakes. The initial 
          funding was depleted quickly, but luckily the Parks Department 
          was able to obtain additional funds from a one-time revenue 
          allotment from the Monterey County Agricultural Commissioner's 
          Office to continue the program for a while longer. According to 
          the Parks Department however, with several years of budget cuts 
          they have no way of sustaining the mussel prevention program 
          once the revenue allotment runs out, unless a long-term funding 
          solution is found.

           What if we do nothing?
           The cost of doing nothing to prevent the spread of quagga and 
          zebra mussels could end up costing California hundreds of 
          millions of dollars. Between 2000 and 2010, zebra mussel 
          infestations cost the Great Lakes over $5 billion in economic 
          impacts. In California, the Metropolitan Water District of 
          Southern California expects to spend between $10 million and $15 
          million a year to address quagga mussel infestations in its 
          242-mile Colorado River aqueduct and reservoirs. The Tahoe 
          Regional Planning Agency estimates a mussel invasion could mean 
          an economic loss of $22 million per year.   
               
          SUPPORT
          Monterey County Board of Supervisors (co-sponsor)
          San Luis Obispo County Board of Supervisors (co-sponsor)
          Santa Barbara County (co-sponsor)
          Association of California Water Agencies 
          Cachuma Operation and Maintenance Board
          California Agricultural Commissioners and Sealers Association
          California Municipal Utilities Association
          California State Association of Counties
          Contra Costa Water District
          East Bay Municipal Utility District
          Goleta Water District
          Humboldt Bay Municipal Water District
          Metropolitan Water District of Southern California 
          Pacific Gas and Electric Company
          Redwood Valley County Water District
          San Diego County Water Authority
          Santa Clara County Board of Supervisors
          Santa Clara Valley Water District
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          Sonoma County Water Agency
          
          OPPOSITION
          California Association of Harbor Masters and Port Captains
          California Marine Parks and Harbors Association
          California Yacht Brokers Association
          Marina Recreation Association
          Northern California Marine Association
          Recreational Boaters of California
          Western Boaters Safety Group





































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