BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                   SB 267|
          |Office of Senate Floor Analyses   |                         |
          |1020 N Street, Suite 524          |                         |
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                                 THIRD READING


          Bill No:  SB 267
          Author:   Rubio (D)
          Amended:  4/13/11
          Vote:     27 - Urgency

           
           SENATE NATURAL RES. & WATER COMMITTEE  :  8-0, 4/12/11
          AYES:  Pavley, La Malfa, Cannella, Evans, Fuller, Kehoe, 
            Padilla, Wolk
          NO VOTE RECORDED:  Simitian

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8


           SUBJECT  :    Water supply planning:  renewable energy plants

           SOURCE  :     California Wind Energy Association
                      County of Kern


           DIGEST  :    This bill revises the definition of project to 
          exclude a proposed photovoltaic or wind energy generation 
          facility approved on or after the effective date of this 
          bill that demands an amount of water equivalent to, or less 
          than, the amount of water required by a 250 dwelling unit 
          project.

           ANALYSIS  :    

          Existing law:

          1. Requires a city or county that determines a project is 
             subject to the California Environmental Quality Act 
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             (CEQA) to identify any public water system that may 
             supply water for the project and to request those public 
             water systems to prepare a specified water supply 
             assessment. 

          2. Requires the city or county, if no public water system 
             is identified, to prepare the water supply assessment.  

          3. Defines "project" for purposes of the above provisions 
             as, among other things, a proposed industrial, 
             manufacturing, or processing plant, or industrial park 
             planned to house more than 1,000 persons, occupying more 
             than 40 acres of land, or having more than 650,000 
             square feet of floor area.  

          This bill revises the definition of "project" to exclude a 
          proposed photovoltaic or wind energy generation facility 
          approved on or after the effective date of this bill that 
          demands an amount of water equivalent to, or less than, the 
          amount of water required by a 250 dwelling unit project.

           Background
           
          In 2001, the Legislature passed, and Governor Davis signed 
          SB 610 (Costa), and SB 221 (Kuehl), Chapter 642, Statutes 
          of 2001.  Collectively, these two bills are also known as 
          the "show us the water" bills.  The purpose of these bills, 
          as noted in the findings for SB 610, was "to strengthen the 
          process pursuant to which local agencies determine the 
          adequacy of existing and planned future water supplies to 
          meet existing and planned future demands on those water 
          supplies."

          To assist local governments in deciding whether to approve 
          projects, SB 610 requires a "water supply assessment" (WSA) 
          whenever a city or county determines a proposed "project" 
          is subject to CEQA.  The WSA must be included in any CEQA 
          document prepared for the project.  In turn, a provision of 
          CEQA requires compliance with the SB 610 requirements.
          Under Water Code Section 10912(a), a "project" requiring a 
          WSA is any of the following:

          1. A proposed residential development of more than 500 
             dwelling units. 

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          2. A proposed shopping center or business establishment 
             employing more than 1,000 persons or having more than 
             500,000 square feet of floor space. 

          3. A proposed commercial office building employing more 
             than 1,000 persons or having more than 250,000 square 
             feet of floor space. 

          4. A proposed hotel or motel, or both, having more than 500 
             rooms. 

          5. A proposed industrial, manufacturing, or processing 
             plant, or industrial park planned to house more than 
             1,000 persons, occupying more than 40 acres of land, or 
             having more than 650,000 square feet of floor area. 

          6. A mixed-use project that includes one or more of the 
             projects specified in this subdivision. 

          7. A project that would demand an amount of water 
             equivalent to, or greater than, the amount of water 
             required by a 500 dwelling unit project.

          The WSA is prepared by the public water system that may 
          provide water for the project, or, if the city or county 
          identifies no such public water system, the city or county 
          prepares the WSA.

          The WSA is required to include a discussion regarding 
          whether the total projected water supplies (during normal, 
          single dry, and multiple dry water years) over the next 
          20-years will meet the projected water demand associated 
          with the proposed project, over and above that required for 
          existing and planned future uses.  Further, when a water 
          supply for a proposed project includes groundwater, the WSA 
          must include additional information about the sufficiency 
          of the groundwater supply.

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

           SUPPORT  :   (Verified  5/2/11)


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          California Wind Energy Association (co-source)
          County of Kern (co-source)

           OPPOSITION  :    (Verified  5/2/11)

          East Bay Municipal Utility District
          Planning and Conservation League 
          Sierra Club

           ARGUMENTS IN SUPPORT  :    According to the author, "As 
          California moves toward requiring 33 percent of our energy 
          to be from renewable sources, we must do everything 
          possible to reach this important goal.  SB 267 addresses a 
          recent court decision that has caused proposed renewable 
          energy facilities to evaluate project water needs beyond 
          what is currently required in CEQA, just because they will 
          occupy 40 acres or more.  Wind and solar photovoltaic 
          renewal energy projects do not use significant water and 
          should not be required to study water use above and beyond 
          CEQA.  To apply a requirement that is clearly intended for 
          large water users will stymie the state's ongoing efforts 
          to encourage renewable energy projects."

           ARGUMENTS IN OPPOSITION  :    According to the Planning and 
          Conservation League and the Sierra Club, the "most 
          significant concern is the exemption of a renewable energy 
          project from the water supply assessment process.  
          Regardless of the possible noble intentions of a project, 
          it is unjust and a disservice to the existing community to 
          approve a project without assessing the impact to local 
          water supply.  With California's water supply under intense 
          pressure from climate change, increasing population and 
          development, the water supply assessment process is the 
          best safeguard to ensure a community's vital water supply 
          is not exhausted due to poor planning."


          CTW:kc  5/2/11   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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