BILL NUMBER: SB 620 AMENDED
BILL TEXT
AMENDED IN SENATE APRIL 1, 2013
INTRODUCED BY Senator Wright
FEBRUARY 22, 2013
An act to amend Sections 60290, 60315, 60335,
60336, and 60339 of , and to repeal Sections 60291 and
60328.1 of, the Water Code, relating to water.
LEGISLATIVE COUNSEL'S DIGEST
SB 620, as amended, Wright. Water replenishment districts.
(1) Existing law, the Water Replenishment District Act, provides
for the formation of water replenishment districts and grants
authority to a water replenishment district relating to the
replenishment, protection, and preservation of groundwater supplies
within that district. The act generally authorizes a water
replenishment district to establish an annual reserve fund in an
amount not to exceed $10,000,000 commencing with the 2000-01 fiscal
year, and thereafter, as that amount is adjusted annually. The act
requires a minimum of 80% of the reserve fund to be expended for
water purchases.
This bill would eliminate the requirement that the
reserve fund not exceed $10,000,000 and related provisions. This bill
instead would permit the district to establish an annual reserve
fund maintained according to generally accepted accounting
principles. This bill would authorize the board to transfer funds to
a designated reserve, require the board to declare the exclusive
purposes for which the moneys in a designated reserve fund may be
spent and restrict those moneys only for the exclusive purposes for
which the board established the designated reserve, as prescribed
a minimum of 80% of the reserve fund be expended for
water purchases .
(2) The act requires the board of directors of a water
replenishment district to declare whether funds are to be raised to
purchase water for replenishment, as specified, and whether the funds
are to be raised either by a water charge, a general assessment, a
replenishment assessment, or a combination, as prescribed. The act
requires the board to make certain determinations in connection with
a decision to impose a water replenishment assessment and requires
the water replenishment assessment to be fixed at a uniform rate per
acre-foot of groundwater produced within the district. The act
provides that if a producer knowingly fails to pay a replenishment
assessment within 30 days of when due the producer is liable to the
district for interest at the rate of 1% per month on the delinquent
amount of the assessment.
This bill, instead, would provide that the producer is liable to
the district for a penalty of 5% of the unpaid assessment as of the
due date in addition to interest at the rate of 1% per month, or part
of a month the assessment remains unpaid. This bill would prohibit
the penalty from exceeding 25% of the total unpaid assessment.
(3) The act provides that any operator of a water-producing
facility that knowingly fails to register his or her water-producing
facility or knowingly fails to file a groundwater production
statement, or any other reports or statements required, as specified,
in addition to interest due, as prescribed, is liable to the
district for a penalty of $150.
This bill would provide that the operator is liable to the
district for a penalty of $1,000.
(4) The act authorizes the superior court of the county in which
the major portion of the district lies to issue a temporary
restraining order upon the filing by the district with the court of a
verified petition or complaint setting forth that the defendant is
the operator of a water-producing facility that has not been
registered with the district or that the defendant is delinquent in
the payment of a replenishment assessment, as specified.
This bill would require the court to direct that the party
prevailing on any motion, as prescribed, be awarded the reasonable
attorney's fees and costs of making or opposing the motion unless the
court finds that the party acted with substantial justification or
that other circumstances make the imposition of attorney's fees and
costs unjust.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 60290 of the Water Code is amended to read:
60290. (a) The district may establish an annual reserve fund that
shall be maintained according to generally accepted accounting
principles. The board may transfer funds to a designated reserve fund
any time after the establishment of the fund.
(b) When the board establishes a designated reserve described in
subdivision (a), the board shall declare the exclusive purposes for
which the moneys in the designated reserve fund may be spent. The
moneys in a designated reserve shall be spent only for the exclusive
purposes for which the board established the designated reserve. If
the board finds that the funds in a designated reserve are no longer
required for the purpose for which it established the designated
reserve, the board may discontinue the designated reserve or transfer
any funds that are no longer required from the designated reserve to
the district's general fund.
60290. The district may establish an annual reserve fund in an
amount not to exceed ten million dollars ($10,000,000) commencing
with the 2000-01 fiscal year. The maximum allowable reserve fund may
be adjusted annually commencing with 2001-02 fiscal year to reflect
percentage increases or decreases in the blended cost of water from
district supply sources.
SEC. 2. Section 60291 of the Water Code is
repealed.
SEC. 3. Section 60315 of the Water Code is
amended to read:
60315. Upon completing the hearing, but no later than the second
Tuesday in May, the board shall, by resolution, find all of the
following:
(a) The annual overdraft for the preceding water year.
(b) The estimated annual overdraft for the current water year.
(c) The estimated annual overdraft for the ensuing water year.
(d) The accumulated overdraft as of the last day of the preceding
water year.
(e) The estimated accumulated overdraft as of the last day of the
current water year.
(f) The total production of groundwater from the groundwater
supplies within the district during the preceding water year.
(g) The estimated total production of groundwater from the
groundwater supplies within the district for the current water year.
(h) The estimated total production of groundwater from the
groundwater supplies within the district for the ensuing water year.
(i) The changes during the preceding water year in the pressure
levels or piezometric heights of the groundwater contained within
pressure-level areas of the district, and the effects thereof upon
the groundwater supplies within the district.
(j) The estimated changes during the current water year in the
pressure levels or piezometric heights of the groundwater contained
within pressure-level areas of the district, and the estimated
effects thereof upon the groundwater supplies within the district.
(k) The quantity of water that should be purchased for the
replenishment of the groundwater supplies of the district during the
ensuing water year.
( l ) The source and estimated cost of water
available for the replenishment.
(m) The estimated costs of replenishing the groundwater supplies
with the water so purchased.
(n) The estimated costs of purchasing, in water years succeeding
the ensuing water year, that portion of the quantity of water which
should be purchased for the replenishment of the groundwater supplies
of the district during the ensuing water year, but which is
estimated to be unavailable for purchase during the ensuing water
year; estimated costs shall be based on the estimated price of water
for replenishment purposes during the ensuing water year.
(o) The estimated rate of the replenishment assessment required to
be levied upon the production of groundwater from the groundwater
supplies within the district during the ensuing fiscal year for the
purposes of accomplishing the replenishment and providing a reserve
fund to purchase in future years, when available, that portion of the
quantity of water which should be purchased for the replenishment of
the groundwater supplies of the district during the ensuing water
year, but which is estimated to be unavailable for purchase during
that ensuing water year.
(p) Whether any contaminants should be removed from groundwater
supplies during the ensuing fiscal year, and whether any other
actions under Section 60224 should be undertaken during the ensuing
fiscal year, the estimated costs thereof, and the estimated
additional rate of replenishment assessment required to be levied
upon the production of groundwater from the groundwater supplies
within the district during the ensuing fiscal year for those
purposes.
(q) Whether any program for removal of contaminants or other
actions under Section 60224 should be a multiyear program or is a
continuation of a previously authorized multiyear program.
SEC. 4. Section 60328.1 of the Water Code is
repealed.
SEC. 5. SEC. 2. Section 60335 of the
Water Code is amended to read:
60335. If any producer shall knowingly fail to pay a
replenishment assessment within 30 days of when due, the producer
shall become liable to the district for a penalty of 5 percent of the
unpaid assessment as of the due date in addition to interest at the
rate of 1 percent per month, or part of a month that the assessment
remains unpaid, on the delinquent amount of the assessment. The
penalty shall not exceed 25 percent of the total unpaid assessment.
SEC. 6. SEC. 3. Section 60336 of the
Water Code is amended to read:
60336. Should any operator of a water-producing facility
knowingly fail to register his or her water-producing facility or
knowingly fail to file the groundwater production statement, or
knowingly fail to file and furnish any other reports or statements
required by resolution of the board adopted pursuant to Section
60326, the operator shall, in addition to interest as provided in
Section 60335, become liable to the district for a penalty of one
thousand dollars ($1,000).
SEC. 7. SEC. 4. Section 60339 of the
Water Code is amended to read:
60339. (a) The superior court of the county in which the major
portion of the district lies may issue a temporary restraining order
upon the filing by the district with the court of a verified petition
or complaint setting forth that the person named therein as
defendant is the operator of a water-producing facility which has not
been registered with the district or that the defendant is
delinquent in the payment of a replenishment assessment. The
temporary restraining order shall be returnable to the court on or
before ten (10) 10 days after its
issuance.
(b) The court may issue and grant an injunction restraining and
prohibiting the named defendant from the operation of any
water-producing facility when it is established by the preponderance
of the evidence at a hearing that the defendant has failed to
register the water-producing facility with the district or that the
defendant is delinquent in the payment of a replenishment assessment.
The court may provide that the injunction so made and issued shall
be stayed for a period not to exceed 10 days to permit the defendant
to register the water-producing facility or to pay the delinquent
replenishment assessment.
(c) Service of process shall be made by posting a copy of the
summons and complaint upon the water-producing facility or the parcel
of land upon which the water-producing facility is located and by
personal service of summons and complaint upon the named defendant.
(d) The right to proceed for injunctive relief as provided in this
section shall be in addition to any other right which may be
provided elsewhere in this act or which may be otherwise allowed by
law. The procedure provided in Chapter 3 (commencing with Section
525) of Title 7 of Part 2 of the Code of Civil Procedure regarding
injunctions shall be followed except insofar as it may be otherwise
provided in this section.
(e) The court shall direct that the party prevailing on any motion
under this section be awarded the reasonable attorney's fees and
costs of making or opposing the motion unless the court finds that
the other party acted with substantial justification or that other
circumstances make the imposition of attorney's fees and costs
unjust.