BILL NUMBER: SB 554	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JANUARY 4, 2016

INTRODUCED BY   Senator Wolk

                        FEBRUARY 26, 2015

   An act to  add Section 167 to   amend Section
12987.5 of, and to amend and repeal Section 12986 of,  the
Water Code, relating to water.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 554, as amended, Wolk.  California Water Commission:
disqualifying financial interest: removal from office.  
Delta levee maintenance.  
   Existing law establishes a delta levee maintenance program
pursuant to which a local agency may request reimbursement for costs
incurred in connection with the maintenance or improvement of project
or nonproject levees in the Sacramento-San Joaquin Delta. Existing
law declares legislative intent to reimburse eligible local agencies
under this program, until July 1, 2018, in an amount not to exceed
75% of those costs that are incurred in excess of $1,000 per mile of
levee. Existing law, until July 1, 2018, authorizes the board to
provide funds to an eligible local agency under this program in the
form of an advance in an amount that does not exceed 75% of the
estimated state share. Existing law, on and after July 1, 2018,
declares the intent of the Legislature to reimburse eligible local
agencies under this program in an amount not to exceed 50% of those
costs that are incurred in any year for the maintenance and
improvement of levees.  
   This bill would declare legislative intent to reimburse up to 75%
of those costs incurred in any year for the maintenance or
improvement of levees in excess of $1,000 per mile of levee and would
authorize the board to advance funds in an amount that does not
exceed 75% of the estimated state share to an eligible local agency.
 
   Existing law, the Political Reform Act of 1974, prohibits a public
official at any level of state or local government from making,
participating in making, or in any way attempting to use his or her
official position to influence a governmental decision in which he or
she knows, or has reason to know, that he or she has a financial
interest. Existing law provides that a public official has a
financial interest in a decision if it is reasonably foreseeable that
the decision will have a material financial effect, distinguishable
from its effect on the public generally, on the official, a member of
his or her immediate family, or as specified.  
   This bill would remove a member of the California Water Commission
from office if after trial a court finds that the commission member
has knowingly participated in any commission decision in which the
member has a disqualifying financial interest in the decision.

   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 12986 of the   Water
Code   , as amended by Section 3 of Chapter 549 of the
Statutes of 2012, is amended to rea   d: 
   12986.  (a) It is the intent of the Legislature to reimburse an
eligible local agency pursuant to this part for costs incurred in any
year for the maintenance or improvement of project or nonproject
levees as follows:
   (1) No costs incurred shall be reimbursed if the entire cost
incurred per mile of project or nonproject levee is one thousand
dollars ($1,000) or less.
   (2) Not more than 75 percent of any costs incurred in excess of
one thousand dollars ($1,000) per mile of project or nonproject levee
shall be reimbursed.
   (3) (A) As part of the project plans approved by the board, the
department shall require the local agency or an independent financial
consultant to provide information regarding the agency's ability to
pay for the cost of levee maintenance or improvement. Based on that
information, the department may require the local agency or an
independent financial consultant to prepare a comprehensive study on
the agency's ability to pay.
   (B) The information or comprehensive study of the agency's ability
to pay shall be the basis for determining the maximum allowable
reimbursement eligible under this part. Nothing in this paragraph
shall be interpreted to increase the maximum reimbursement allowed
under paragraph (2).
   (4) Reimbursements made to the local agency in excess of the
maximum allowable reimbursement shall be returned to the department.
   (5) The department may recover, retroactively, excess
reimbursements paid to the local agency from any time after January
1, 1997, based on an updated study of the agency's ability to pay.
   (6) All final costs allocated or reimbursed under a plan shall be
approved by the Central Valley Flood Protection Board for project and
nonproject levee work.
   (7) Costs incurred pursuant to this part that are eligible for
reimbursement include construction costs and associated engineering
services, financial or economic analyses, environmental costs,
mitigation costs, and habitat improvement costs.
   (b) Upon completion of its evaluation pursuant to Sections 139.2
and 139.4, by January 1, 2008, the department shall recommend to the
Legislature and the Governor priorities for funding under this
section.
   (c) Reimbursements made pursuant to this section shall reflect the
priorities of, and be consistent with, the Delta Plan established
pursuant to Chapter 1 (commencing with Section 85300) of Part 4 of
Division 35. 
   (d) This section shall become inoperative on July 1, 2018, and, as
of January 1, 2019, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2019, deletes or
extends the dates on which it becomes inoperative and is repealed.

   SEC.   2.    Section 12986 of the  
Water Code   , as amended by Section 2 of Chapter 549 of
the Statutes of   2012, is repealed.  
   12986.  (a) It is the intent of the Legislature to reimburse from
the General Fund an eligible local agency pursuant to this part for
costs incurred in any year for the maintenance or improvement of
project or nonproject levees as follows:
   (1) No costs incurred shall be reimbursed if the entire cost
incurred per mile of levee is one thousand dollars ($1,000) or less.
   (2) Fifty percent of any costs incurred in excess of one thousand
dollars ($1,000) per mile of levee shall be reimbursed.
   (3) The maximum total reimbursement from the General Fund shall
not exceed two million dollars ($2,000,000) annually.
   (b) This section shall become operative on July 1, 2018. 

   SEC. 3.    Section 12987.5 of the   Water
Code   is amended to read: 
   12987.5.  (a) In an agreement entered into under Section 12987,
the board may provide for an advance to the applicant in an amount
not to exceed 75 percent of the estimated state share. The agreement
shall provide that no advance shall be made until the applicant has
incurred costs averaging one thousand dollars ($1,000) per mile of
levee.
   (b) Advances made under subdivision (a) shall be subtracted from
amounts to be reimbursed after the work has been performed. If the
department finds that work has not been satisfactorily performed or
where advances made actually exceed reimbursable costs, the local
agency shall promptly remit to the state all amounts advanced in
excess of reimbursable costs. If advances are sought, the board may
require a bond to be posted to ensure the faithful performance of the
work set forth in the agreement. 
   (c) This section shall become inoperative on July 1, 2018, and, as
of January 1, 2019, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2019, deletes or
extends the dates on which it becomes inoperative and is repealed.
 
  SECTION 1.    Section 167 is added to the Water
Code, to read:
   167.  (a) A member of the commission shall not participate in any
commission decision in which the member has a disqualifying financial
interest in the decision within the meaning of Section 87103 of the
Government Code.
   (b) Upon the request of any person, or on the Attorney General's
own initiative, the Attorney General may file a complaint in the
Superior Court for the County of Sacramento alleging that a
commission member has knowingly violated this section and the facts
upon which the allegation is based and asking that the member be
removed from office. Further proceedings shall be in accordance as
near as may be with rules governing civil actions. If after trial the
court finds that the commission member has knowingly violated this
section, it shall pronounce judgment that the member be removed from
office.