BILL ANALYSIS Ó
AB 177
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Date of Hearing: January 23, 2014
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Mike Gatto, Chair
AB 177 (V. Manuel Perez) - As Amended: January 15, 2014
Policy Committee: Utilities and
Commerce Vote: 9-4
Natural Resources 5-1
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill requires the California Energy Commission (CEC), in
consultation with the Public Utilities Commission, the Natural
Resources Agency and the Salton Sea Authority, to solicit and
consider recommendations regarding development of renewable
energy resources in the Salton Sea area. Specifically, this
bill:
1)Requires the CEC to convene a group of stakeholders to provide
advice and to hold workshops and public hearings to consider
recommendations, and to include its findings in the next
Integrated Energy Policy Report (IEPR).
2)States findings regarding renewable energy resources located
near the Salton Sea, as well as Northern California, and state
and local Salton Sea restoration efforts.
FISCAL EFFECT
Increased costs over a two-year period to the CEC potentially in
the $500,000 to $1 million range to convene the stakeholder
group, workshops and public hearings, and perform the analysis
required by the bill (Energy Resources Programs Account.)
COMMENTS
1)Purpose. This bill provides a process led by the CEC to
analyze issues relevant to the development of Salton Sea
resources which may serve as a basis for future Legislative
action.
AB 177
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2)Background. The Salton Sea, California's largest lake was
formed in 1905 when the Colorado River flooded its banks at a
faulty irrigation diversion site. Restoration is necessary to
protect fish and wildlife habitat, preserve endangered species
and remediate the salinity caused by agricultural runoff.
Restoring the sea will help prevent future significant air
quality problems resulting from the shrinking sea. The Salton
Sea is one of the most important wetland areas in the world
for shorebirds migrating along the Pacific Flyway.
The Quantification Settlement Agreement (QSA) was a negotiated
settlement among the Imperial Irrigation District, The
Metropolitan District of Southern California, the Coachella
Water District, the San Diego Water Authority and the state to
settle claims to Colorado River water. It provided a path for
the state to reduce its consumption of Colorado River water to
its 4.4 million acre foot entitlement. In 2003, the
Legislature enacted a package of QSA implementing bills
including a requirement to restore the Salton Sea. Under the
QSA, the amount of water flowing into the Sea will be
significantly reduced in 2017. Without restoration efforts,
the environmental consequences of the reduced flows will be
significant to fish, wildlife, habitat and air quality.
Subsequently, the County of Imperial and the Imperial
Irrigation District signed a Memorandum of Understanding
pledging mutual efforts to advance the development of
renewable resources and mineral extraction to provide a
funding source to assist the state in meeting its mitigation
and restoration obligations required by the QSA.
This bill requires the CEC to analyze the feasibility of
developing these resources and identify funding,
environmental, and other related issues.
Analysis Prepared by : Jennifer Galehouse / APPR. / (916)
319-2081