BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
                               Senator Wieckowski, Chair
                                 2015 - 2016  Regular 
           
          Bill No:            AB 2594
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          |Author:    |Gordon                                               |
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          |Version:   |5/19/2016              |Hearing      |6/15/2016       |
          |           |                       |Date:        |                |
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          |Urgency:   |No                     |Fiscal:      |Yes             |
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          |Consultant:|Rachel Machi Wagoner                                 |
          |           |                                                     |
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          SUBJECT:  Stormwater resources:  use of captured water

            ANALYSIS:
          
          Existing federal law:

          1)Under the federal Clean Water Act (CWA),
                        
             a)   Establishes the structure for regulating discharges of  
               pollutants into the waters of the United States and  
               regulating quality standards for surface waters.  

             b)   Establishes the Clean Water State Revolving Fund (CWSRF)  
               to provide funding to states for water quality protection  
               projects for wastewater treatment, nonpoint source pollution  
               control, and watershed and estuary management.

          Existing California law:

          1)Under the California Porter-Cologne Water Quality Control Act  
            (Porter-Cologne), provides the State Water Resources Control  
            Board (SWRCB) authority over state water rights and water  
            quality policy.  Porter-Cologne also establishes eight regional  
            water quality control boards (regional boards) to oversee water  
            quality at the local/regional level.  Under the auspices of the  
            United States Environmental Protection Agency (US EPA), SWRCB  
            and eight regional boards, the state also has responsibility for  
            granting National Pollutant Discharge Elimination System (NPDES)  
            permits, for certain point-source discharges.  The Municipal  
            Storm Water Permitting Program regulates storm water discharges  







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            from municipal separate storm sewer systems (MS4s). 

          2)Under the Stormwater Resources Act (SRA) authorizes cities,  
            counties, and special districts to develop and implement  
            stormwater resources plans (plans).  Such plans are required to,  
            among other things:
                               Be developed on a watershed basis;
                               Provide for community participation in plan  
                      development and implementation;
                               Be consistent with and assist in compliance  
                      with various water quality requirements; and,
                               Be consistent with any adopted Integrated  
                      Regional Water Management Plans (IRWMPs).

               Plans are required to identify, among other things:
                               Opportunities to augment local water supply  
                      through groundwater recharge or storage for beneficial  
                      reuse of stormwater;
                               Opportunities for source control for both  
                      pollution and stormwater runoff volume, onsite and  
                      local infiltration, and reuse of stormwater;
                               Projects to reestablish natural water  
                      drainage treatment and infiltration systems, or mimic  
                      natural system functions to the maximum extent  
                      feasible;
                               Opportunities to develop or enhance habitat  
                      and open space through stormwater management,  
                      including wetlands, riverside habitats, parkways, and  
                      parks; and,
                               Projects and programs to ensure the  
                      effective implementation of the stormwater resource  
                      plan pursuant to this part and achieve multiple  
                      benefits.

          This bill:  specifies that a public entity that captures  
          stormwater, in accordance with a stormwater resource plan and  
          consistent with an MS4 permit, before the water reaches a natural  
          channel is entitled to use the captured water.

            Background
          
          1) Stormwater.  Stormwater is runoff from rain or snow melt that  
             runs off surfaces such as rooftops, paved streets, highways or  
             parking lots and can carry with it pollutants such as: oil,  
             pesticides, herbicides, sediment, trash, bacteria and metals.   







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             The runoff can then drain directly into a local stream, lake or  
             bay. Often, the runoff drains into storm drains which  
             eventually drain untreated into a local waterbody.

             Additionally, municipal or urban areas commonly include large  
             impervious surfaces which contribute to an increase in runoff  
             flow, velocity and volume. As a result streams are  
             hydrologically impacted through streambed and channel scouring,  
             instream sedimentation and loss of aquatic and riparian  
             habitat. In addition to hydrological impacts, large impervious  
             surfaces contribute to greater pollutant loading, resulting in  
             turbid water, nutrient enrichment, bacterial contamination, and  
             increased temperature and trash.

             SWRCB regulates stormwater discharges from municipal separate  
             storm sewer systems or MS4s.

             MS4 permits were issued by SWRCB in two phases.

             Under Phase I, which started in 1990, the Regional Water  
             Quality Control Boards have adopted National Pollutant  
             Discharge Elimination System General Permit (NPDES) storm  
             water permits for medium (serving between 100,000 and 250,000  
             people) and large (serving 250,000 or more people)  
             municipalities. Most of these permits are issued to a group  
             of co-permittees encompassing an entire metropolitan area.   
             These permits are reissued as the permits expire.  The Phase  
             I MS4 permits require the discharger to develop and implement  
             a Storm Water Management Plan/Program with the goal of  
             reducing the discharge of pollutants to the maximum extent  
             practicable (MEP). MEP is the performance standard specified  
             in Section 402(p) of the Clean Water Act. The management  
             programs specify what best management practices (BMPs) will  
             be used to address certain program areas.  The program areas  
             include public education and outreach; illicit discharge  
             detection and elimination; construction and  
             post-construction; and good housekeeping for municipal  
             operations. In general, medium and large municipalities are  
             required to conduct monitoring.


             On April 30, 2003 as part of Phase II, the State Water  
             Resources Control Board issued a General Permit for the  
             Discharge of Storm Water from Small MS4s (WQ Order No.  
             2003-0005-DWQ) to provide permit coverage for smaller  







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             municipalities (population less than 100,000), including  
             non-traditional Small MS4s, which are facilities such as  
             military bases, public campuses, prison and hospital  
             complexes.  The Phase II Small MS4 General Permit covers  
             Phase II Permittees statewide. On February 5, 2013 the Phase  
             II Small MS4 General Permit was adopted and will become  
             effective on July 1, 2013.


             Statewide, it has been estimated that stormwater capture  
             could produce 630,000 acre-feet of new water.  Much attention  
             has been paid to how the Los Angeles area could benefit from  
             greater stormwater capture.  It has been estimated that 30-45  
             percent of Los Angeles water needs could be met through  
             stormwater capture, producing over 250,000 acre-feet of new  
             water.  For the most part, infrastructure in coastal cities  
             has been developed to funnel stormwater to the ocean.  Fifty  
             percent of the rain falling in the Los Angeles watershed  
             flows to the ocean. 

             The Clean Water Act includes stormwater in NPDES requirements,  
             this dictates cities reduce stormwater discharges.  Cities or  
             regions have a municipal separate stormwater sewer system (MS4)  
             permit to comply with the Clean Water Act.  Stormwater that  
             winds up in the MS4 system is unused and flushed out to a body  
             of water, typically the ocean.


             There are numerous agencies that could have responsibility for  
             stormwater capture. Until recently, many of those agencies  
             viewed managing stormwater as a burden with a significant cost.  
              That view has changed with many agencies now wanting to  
             capture stormwater and use it; the big missing piece to the  
             picture is financing.  Implementing stormwater capture projects  
             will require a very different approach to stormwater  
             infrastructure as new or reconfigured infrastructure has a  
             significant price tag.  In Los Angeles that price tag is  
             estimated to be $20 billion over the next 25 years.  


             Proposition 1 included $200 million for multibenefit stormwater  
             management projects and specifically made rainwater and  
             stormwater capture eligible for funding.  In 2004 Los Angeles  
             Measure O authorized $500 million in general obligation bonds  
             that funded some watershed improvement projects.  







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            Comments
          
             1)   Purpose of Bill.  According to the author, climate change  
               models predict more frequent storms and more floods in  
               California; at the same time, our state's infrastructure  
               treats stormwater as a waste product rather than a natural  
               resource that can help mitigate drought.  The Stormwater  
               Resources Planning Act encourages local watersheds to develop  
               plans to beneficially use stormwater.  Compliance with a  
               Stormwater Resource Plan does not entitle public entities to  
               use the stormwater or to use it for water supply or water  
               quality purposes.  This means that billions of gallons of  
               relatively clean water flows into the ocean every year.  This  
               bill will make clear that public entities can capture  
               stormwater and can use it.  This will encourage more  
               stormwater capture and will provide additional options to  
               finance stormwater systems.  


            Related/Prior Legislation

          The Water Quality, Supply, and Infrastructure Improvement Act of  
          2014, Proposition 1 authorized $7.12 billion in general obligation  
          bonds for state water supply infrastructure projects, such as  
          public water system improvements, surface and groundwater storage,  
          drinking water protection, water recycling and advanced water  
          treatment technology, water supply management and conveyance,  
          wastewater treatment, drought relief, emergency water supplies,  
          and ecosystem and watershed protection and restoration, including  
          $200 million for multibenefit stormwater management projects and  
          specifically made rainwater and stormwater capture eligible for  
          funding.  

            
          SB 985 (Pavley, Chapter 555, Statutes of 2014) requires a  
          stormwater resource plan (SRP) to be submitted to any applicable  
          regional water management group, to identify and prioritize  
          stormwater and dry weather runoff capture projects for  
          implementation in a prescribed quantitative manner and to  
          prioritize the use of lands or easements in public ownership for  
          stormwater and dry weather runoff projects.

          SB 790 (Pavley, Chapter 620, Statutes of 2009) authorizes  







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          stormwater resource plans.


          DOUBLE REFERRAL:
          
          If this measure is approved by the Senate Environmental Quality  
          Committee, the do pass motion must include the action to re-refer  
          the bill to the Senate Rules Committee.  
           
            SOURCE:                    Author  

           SUPPORT: 
                         
          7th Generation Advisors
          American Rivers
          California Coastal Protection Network
          California Coastkeeper Alliance
          California State Association of Counties
          Center for Oceanic Awareness, Research, & Education 
          City of Santa Monica
          Clean Water Action
          Desal Response Group
          Environmental Water Caucus
          Heal the Bay
          Huntington Beach, former Mayor Debbie Cook
          Los Angeles Waterkeeper
          Natural Resources Defense Council
          Planning and Conservation League
          Southern California Watershed Alliance 
          TreePeople
          WILDCOAST
           
           OPPOSITION:    

          Association of California Water Agencies
          California Municipal Utilities Association 
           
           ARGUMENTS IN  
          SUPPORT:    Supporters believe that AB 2594 offers a creative  
          solution to create incentives for stormwater capture projects by  
          offering financial incentive to do so.
           
           ARGUMENTS IN  
          OPPOSITION:    The opposition believes that AB 2594 could have  
          unintended consequences, altering existing water rights.







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