BILL NUMBER: AB 21	CHAPTERED
	BILL TEXT

	CHAPTER  628
	FILED WITH SECRETARY OF STATE  OCTOBER 8, 2013
	APPROVED BY GOVERNOR  OCTOBER 8, 2013
	PASSED THE SENATE  SEPTEMBER 9, 2013
	PASSED THE ASSEMBLY  SEPTEMBER 10, 2013
	AMENDED IN SENATE  SEPTEMBER 3, 2013
	AMENDED IN ASSEMBLY  FEBRUARY 14, 2013
	AMENDED IN ASSEMBLY  FEBRUARY 5, 2013

INTRODUCED BY   Assembly Members Alejo and V. Manuel Pérez
   (Principal coauthor: Assembly Member Salas)
   (Coauthor: Assembly Member Perea)

                        DECEMBER 3, 2012

   An act to add Section 116760.46 to the Health and Safety Code,
relating to drinking water, and making an appropriation therefor.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 21, Alejo. Safe Drinking Water Small Community Emergency Grant
Fund.
   Existing law establishes the Safe Drinking Water State Revolving
Fund, which is continuously appropriated to the department for the
provision of grants and revolving fund loans to provide for the
design and construction of projects for public water systems that
will enable suppliers to meet safe drinking water standards. Existing
law requires the department to establish criteria to be met for
projects to be eligible for consideration for this funding.
   This bill would authorize the department to assess a specified
annual charge in lieu of interest on loans for water projects made
pursuant to the Safe Drinking Water State Revolving Fund, and deposit
that money into the Safe Drinking Water Small Community Emergency
Grant Fund, which the bill would create in the State Treasury. The
bill would limit the grant fund to a maximum of $50,000,000. The bill
would authorize the department to expend the money for grants for
specified water projects that serve disadvantaged and severely
disadvantaged communities, thereby making an appropriation.
   Appropriation: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 116760.46 is added to the Health and Safety
Code, to read:
   116760.46.  (a) The Safe Drinking Water Small Community Emergency
Grant Fund is hereby created in the State Treasury.
   (b) The following moneys shall be deposited in the grant fund:
   (1) Moneys transferred to the grant fund pursuant to subdivision
(c).
   (2) Notwithstanding Section 16475 of the Government Code, any
interest earned upon the moneys deposited in the grant fund.
   (c) (1) For any loans made for projects meeting the eligibility
criteria under Section 116760.50, the department may assess an annual
charge to be deposited in the grant fund in lieu of interest that
would otherwise be charged.
   (2) Any amounts collected under this subdivision shall be
deposited in the grant fund. Not more than fifty million dollars
($50,000,000) shall be deposited in the grant fund.
   (3) The charge authorized by this subdivision may be applied at
any time during the term of the financing and, once applied, shall
remain unchanged.
   (4) The charge authorized by this subdivision shall not increase
the financing repayment amount, as set forth in the terms and
conditions imposed pursuant to this chapter.
   (d) (1) Moneys in the grant fund may be expended on grants for
projects that meet the requirements stated in Section 116475 and that
serve disadvantaged and severely disadvantaged communities.
   (2) For the purpose of approving grants, the department shall give
priority to projects that serve severely disadvantaged communities.
   (3) Funds expended pursuant to this section shall be expended in a
manner consistent with the federal EPA grant regulations established
in Section 35.3530(b)(2) of Title 40 of the Code of Federal
Regulations.