BILL ANALYSIS Ó AB 936 Page 1 Date of Hearing: April 22, 2015 ASSEMBLY COMMITTEE ON APPROPRIATIONS Jimmy Gomez, Chair AB 936 (Salas) - As Amended April 15, 2015 ----------------------------------------------------------------- |Policy |Water, Parks and Wildlife |Vote:|14 - 0 | |Committee: | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: NoReimbursable: SUMMARY: This bill authorizes the Department of Water Resources (DWR) to allow projects and programs in disadvantaged communities currently ineligible for funding due to noncompliance with groundwater monitoring requirements to receive state funding if AB 936 Page 2 the project includes actions necessary to meet groundwater monitoring requirements. FISCAL EFFECT: 1)Potential increased shifts in the awarding of grants from eligible entities to entities currently ineligible. 2)Minor to moderate increased staff costs, likely in the $100,000 to $150,000 range to evaluate applications to determine if the grant request would result in compliance with monitoring functions. DWR administers a number of grant programs to which this bill may apply including Integrated Regional Water Management Program, Local Groundwater Assistance Grants, Agricultural Water Conservation grants, and Urban Water Conservation grants. Each program may potentially have the additional duty of reviewing requests to determine if the applicant is in a disadvantaged community and the grant brings the entity into compliance. COMMENTS: 1)Rationale. The California Statewide Groundwater Elevation Monitoring Program (CASGEM) requires reporting of groundwater basin elevation information to DWR, and requires DWR to assume monitoring functions if the local agency is unable or unwilling to perform the reporting and monitoring duties. Basins for which DWR assumes the duties, or are out of compliance with CASEGEM requirements, are prohibited from receiving state grants and loans. AB 936 Page 3 According to the author, the policy of denying CASGEM noncompliant basins state funding is having the negative consequence of preventing local agencies from receiving much needed water grants and loans in order to set up groundwater monitoring programs This bill would allow basins to receive funding under specified circumstance. 2)Background. On January 17, 2014, Governor Brown proclaimed a drought State of Emergency. That was followed on April 25, 2014 by a continued State of Emergency and on April 3, 2015 by a seven-page Executive Order, B-29-15, with 31 directives to address the drought crisis. Directive 15 states that local agencies in all high and medium priority groundwater basins are to immediately implement all CASGEM requirements or be referred to the State Water Resources Control Board for possible enforcement action. There are currently 127 high and medium priority basins in California. Those groundwater basins account for 96% of all groundwater use. Of the high and medium priority basins, DWR has determined that 9 are fully unmonitored and 16 are partially unmonitored. In other words, 102 are currently CASGEM compliant and 25 are noncompliant. In the 25 non-compliant basins, local agencies can still be eligible for a water grant or loan if their whole area is a disadvantaged community. That is because it is assumed that the bar to compliance is that the entity's customers are financially incapable of supporting a monitoring program. This bill will further clarify eligibility. AB 936 Page 4 Analysis Prepared by:Jennifer Galehouse / APPR. / (916) 319-2081