BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 2443
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          CONCURRENCE IN SENATE AMENDMENTS
          AB 2443 (Williams)
          As Amended  August 21, 2012
          Majority vote
           
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          |ASSEMBLY:  |52-25|(May 30, 2012)  |SENATE: |23-6 |(August 23,    |
          |           |     |                |        |     |2012)          |
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           Original Committee Reference:    W., P. & W.  

           SUMMARY  :  Imposes a Quagga and Zebra mussel infestation 
          prevention fee on vessel registrations to fund a grant program 
          for implementation and administration of dreissenid mussel 
          infestation inspection and prevention programs.

           The Senate amendments  :

          1)Require the Department of Motor Vehicles (DMV) when collecting 
            vessel registration and renewal fees to collect an additional 
            Quagga and Zebra mussel infestation prevention fee in an 
            amount established by the Department of Boating and Waterways 
            (DBW).  DMV would be required to provide documentation of its 
            administrative costs to DBW.

          2)Provide that the prevention fee shall not be more than $10 for 
            vessels initially registered in even years, $20 for vessels 
            registered in odd years, and $20 for renewals.

          3)Require emergency regulations adopted by DBW to include rules 
            for administering grants to be awarded from the prevention fee 
            revenue collected.

          4)Delete the creation of a new Quagga and Zebra mussel Account 
            and instead require the fee revenue to be deposited in the 
            Harbors and Watercraft Revolving Fund and used exclusively for 
            the grants program and administrative costs.  The fee revenue 
            would be available upon appropriation of the Legislature to 
            cover DBW's reasonable administrative costs, the Department of 
            Fish and Game's (DFG) reasonable costs, not to exceed 15% of 
            the remaining revenues in the fund, and not less than 85% of 
            the remaining revenues deposited in the fund to be available 
            for grants for infestation prevention programs.   









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          5)Require DBW in awarding grants to take into consideration 
            benefits of regional-scale plans and impacts to rural and 
            urban reservoirs.

          6)Require as a condition of receiving grant funding that an 
            entity report data to DBW on programs implemented with the 
            funding.

           EXISTING LAW  :

          1)Makes it unlawful to possess, import, ship or transport 
            dreissenid mussels in California, or to place, plant or cause 
            to be placed or planted dreissenid mussels in any waters of 
            the state.

          2)Provides for regulation of dreissenid mussels as invasive 
            species.  Authorizes DFG to conduct inspections, order 
            quarantines, and take other actions as necessary to prevent 
            the spread of invasive mussels.


          3)Requires water reservoir operators and managers where 
            recreational boating is allowed to conduct a vulnerability 
            assessment and to develop plans to prevent mussel infestation.

          4)Grants immunity from criminal or civil liability for mussel 
            infestation to operators of water storage and delivery 
            facilities that have adopted, implemented, and kept up to date 
            an approved plan to control and eradicate dreissenid mussels.

           AS PASSED BY THE ASSEMBLY  , this bill required that a Quagga and 
          Zebra mussel infestation prevention fee be imposed in an amount 
          not to exceed $10, on every vessel subject to registration fees 
          in California.  The fees would be deposited into a Quagga and 
          Zebra Mussel Infestation Prevention Account which this bill 
          would create, and expended solely for the purposes of this bill. 
           Funds in the Account would be available to DBW upon 
          appropriation of the Legislature, with 85% being made available 
          for grants to local governments to implement a dreissenid mussel 
          infestation prevention plan, and 15% to the Department of Fish 
          and Game (DFG) for inspections and other actions to prevent 
          spread of dreissenid mussels in areas of the state where a 
          dreissenid mussel infestation plan has not been adopted
          .
           FISCAL EFFECT  :  According to the Senate Appropriations 








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          Committee, estimated revenues of $5.1 million annually to the 
          Harbors and Watercraft Revolving Fund from new vessel 
          registration fee, as follows:

          1)$75,000 to $150,000 one-time to the Harbors and Watercraft 
            Revolving Fund to adopt regulations and establish a grant 
            program, similar annual costs to administer the grant program.

          2)$271,000 in 2012-13, $113,000 in 2013-14, and $47,000 in 
            2014-15 from the Harbors and Watercraft Revolving Fund for the 
            DMV to revise vessel registration fee collection systems.

          3)$410,000 annually from the Harbors and Watercraft Revolving 
            Fund to DFG to implement a Quagga and Zebra mussel prevention 
            plan. 

          4)Up to $4.2 million annually from the Harbors and Watercraft 
            Revolving Fund to DBW for local grants to fund infestation 
            prevention programs.

           COMMENTS  :  This bill would establish a dedicated funding source 
          to cover the costs of local inspection programs to prevent the 
          infestation or spread of infestation of Quagga and Zebra mussels 
          in California waters.  Quagga and Zebra mussels are non-native 
          dreissenid mussels which were introduced to the United States 
          from Europe in 1988 and first appeared in the Great Lakes region 
          where they have caused billions of dollars in economic damages.  
          Quagga mussels were first discovered in California in Lake 
          Havasu in 2007 and have since been identified in 25 freshwater 
          bodies in California, mostly in Southern California, and in the 
          Colorado River Aqueduct.  Zebra mussels were found in 2008 in 
          San Justo Reservoir in San Benito County.  Both mussels are 
          highly invasive species that reproduce rapidly and in large 
          quantities, and can severely hinder water delivery systems by 
          clogging pipes, pumps and other water intake structures.

          The Senate amendments make procedural changes related to 
          collection of the fees, reimbursement of administrative 
          expenses, and fund management, and add reporting requirements.


          Analysis Prepared by  :    Diane Colborn / W., P. & W. / (916) 
          319-2096                 










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