BILL ANALYSIS Ó AB 1249 Page 1 ASSEMBLY THIRD READING AB 1249 (Salas) As Amended January 6, 2014 Majority vote ENVIRONMENTAL SAFETY 5-0 APPROPRIATIONS 13-3 ----------------------------------------------------------------- |Ayes:|Alejo, Dahle, Bloom, |Ayes:|Gatto, Bocanegra, | | |Stone, Ting | |Bradford | | | | |Ian Calderon, Campos, | | | | |Eggman, Gomez, Holden, | | | | |Linder, Pan, Quirk, | | | | |Ridley-Thomas, Weber | | | | | | |-----+--------------------------+-----+--------------------------| | | |Nays:|Bigelow, Allen, Wagner | | | | | | ----------------------------------------------------------------- SUMMARY : Requires the Department of Water Resources (DWR) integrated regional water management plans (IRWMPs) to include consideration of the impacts of drinking water contaminated by nitrates. Specifically, this bill : 1)Specifies that IRWMPs include a description of high-risk nitrate areas, as determined by the State Water Resources Control Board (State Board), and an explanation of how the IRWMP plans to address nitrate contamination. 2)Requires that the DWR give Safe Drinking Water, Water Quality and Supply, Flood Control, River and Coastal Protection Bond Act of 2006 (Proposition 84) funding priority to safe drinking water and water quality projects that implement IRWMPs that address nitrate impacts in areas that have been identified by the State Board as nitrate high-risk areas, including projects that provide safe drinking water to small, disadvantaged communities. FISCAL EFFECT : According to the Assembly Appropriations Committee, cost pressures, likely in the millions of dollars, to DWR to award grant monies to projects to address nitrate contamination. However, actual grant awards may not necessarily differ from grant awards DWR would have made absent this bill (Proposition 84). AB 1249 Page 2 COMMENTS : 1)Need for the bill: According to the author, "this bill is intended to provide direction to the California Department of Water Resources to give preference, in the Integrated Regional Water Management Grant program, to funding plans that address nitrate impacts for areas identified by the State Water Resources Control Board as nitrate high-risk areas. "If an area within the boundaries of a funding plan has been identified as a nitrate high-risk area by the State Water Resources Control Board, the plan must include an explanation of how the plan addresses the nitrate contamination. If the plan does not address the nitrate contamination, an explanation of why the plan does not address the contamination must be included." 2)Nitrate contamination in California: While many contaminants are present in California's groundwater and drinking water, nitrate contamination has been the focus of recent study. SB 1 X2 (Perata), Chapter 1, Statutes of 2008 Second Extraordinary Session, required the State Board, in consultation with other agencies, to prepare a report to the Legislature focusing on nitrate groundwater contamination in the state and potential remediation solutions. In response, the State Board contracted with the University of California at Davis (UCD) to gather information for the report, which was released in January 2012. The study showed that nitrate loading to groundwater in the four-county Tulare Lake Basin and the Monterey County portion of the Salinas Valley is widespread and chronic, and is overwhelmingly the result of crop and animal agricultural activities. Due to long transit times, the impact of nitrates on groundwater resources will likely worsen in scope and concentration for several decades. According to the UCD study, infants who drink water containing nitrate in excess of the maximum contaminant level for drinking water may quickly become seriously ill and, if untreated, may die because high nitrate levels can decrease the capacity of an infant's blood to carry oxygen (methemoglobinemia, or "blue baby syndrome"). High nitrate levels may also affect pregnant women and susceptible adults. In addition, nitrate and nitrite ingestion in humans has been AB 1249 Page 3 linked to goitrogenic (anti-thyroid) actions on the thyroid gland, fatigue, reduced cognitive functioning, maternal reproductive complications, including spontaneous abortion, and a variety of carcinogenic outcomes. The UCD study proposed a range of actions that could be taken to address groundwater and drinking water contamination, including policy and regulatory changes and funding options. Following the UCD report, the State Board submitted its final Report to the Legislature, Recommendations Addressing Nitrate in Groundwater, on February 20, 2013, which focused on specific solutions for addressing nitrate contamination in groundwater. The recommendations from that report included: a) A new stable, long-term funding source should be established to ensure that all Californians, including those in disadvantaged communities, have access to safe drinking water, consistent with AB 685 (Eng), Chapter 524, Statutes of 2012. b) DWR should give preference, in the Proposition 84 IRWM Grant Program, to proposals with IRWMPs that address access to safe drinking water for small disadvantaged communities that are in nitrate high-risk areas. 3)State Board - nitrate high-risk study areas: The State Board is currently developing maps identifying the nitrate high-risk areas. The State Board is consulting with the Department of Food and Agriculture in drafting these maps. According to the State Board, they expect to present a completed set of draft maps to members of the State Board in February, with the Board voting on adoption of the maps soon afterwards. Prior to final release, there will be a publicly-noticed informational item at a future State Board meeting, followed by a vote to adopt the maps by the Board at a subsequent meeting. 4)Integrated regional water management funding: The IRWM Grant Program operated by DWR manages General Obligation Bond funds from various sources, including Proposition 84. Proposition 84 amended the Public Resources Code to authorize the Legislature to appropriate $1 billion for IRWM projects that assist local public agencies in meeting long term water needs, including the delivery of safe drinking water and the AB 1249 Page 4 protection of water quality and the environment. Of that $1 billion, $900 million, referred to as "regional funding," was allocated to 11 hydrologic regions and sub-regions or "funding areas." The remaining $100 million, referred to as "inter-regional funding," was allocated to address multi-regional needs or issues of statewide significance. Proposition 84 authorizes DWR to either expend directly or grant the inter-regional funds. According to DWR, as of fiscal year (FY) 2013-2014, the State has appropriated approximately $490 million of Proposition 84 funds for local projects and has a balance of $473 million. The Governor's proposed FY 2014-2015 budget includes the appropriation of the remaining balance of these Proposition 84 IRWM funds. Analysis Prepared by : Bob Fredenburg / E.S. & T.M. / (916) 319-3965 FN: 0002995