BILL ANALYSIS Ó
SB 554
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SENATE THIRD READING
SB
554 (Wolk)
As Amended August 17, 2016
Majority vote
SENATE VOTE: 39-0
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|Committee |Votes|Ayes |Noes |
| | | | |
| | | | |
| | | | |
|----------------+-----+-----------------------+-------------------|
|Water |10-3 |Levine, Gallagher, |Bigelow, Gomez, |
| | |Dodd, Eggman, Cristina |Harper |
| | |Garcia, Eduardo | |
| | |Garcia, Lopez, Olsen, | |
| | |Salas, Williams | |
| | | | |
|----------------+-----+-----------------------+-------------------|
|Appropriations |11-4 |Gonzalez, Bloom, |Bigelow, Chang, |
| | |Bonilla, Bonta, |Jones, Obernolte |
| | |Eggman, Eduardo | |
| | |Garcia, Quirk, | |
| | |Santiago, Weber, Wood, | |
| | |McCarty | |
| | | | |
| | | | |
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SB 554
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SUMMARY: This bill extends the July 1, 2018, sunset date for
the Delta Levee Subventions program by two years. Specifically,
this bill maintains the state's 75% maximum share for Delta
levee maintenance costs in excess of $1,000 per mile until July
1, 2020.
EXISTING LAW:
1)Establishes the Delta Levee Maintenance Subventions Program
(Subventions Program) administered jointly by the Central
Valley Flood Protection Board (CVFPB) and the Department of
Water Resources (DWR) to provide reimbursement to local
agencies for a portion of the costs of maintaining or
improving project or non-project levees.
2)Since 1996, has maintained the following reimbursement rate
for the Subventions Program:
a) $0 for the first $1,000 per mile of levee, and
b) Up to 75% of eligible costs in excess of the $1,000 per
mile, based on an assessment of the agency's ability to
pay.
3)On July 1, 2018, reverts the reimbursement rate for the
Subventions Program to:
a) $0 for the first $1,000 per mile of levee,
b) Up to 50% of eligible costs in excess of the $1,000 per
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mile, based on an assessment of the agency's ability to
pay, and
c) Caps the maximum annual reimbursement per agency at $2
million.
4)Establishes the Delta Levees Program (Program) to provide
financial assistance for flood protection in the Delta.
Includes the Subventions Program and the Special Flood Control
Project Program in the Program.
5)Establishes the Delta Stewardship Council (Council) to
maintain a Delta Plan that is the long-term management plan
for the Delta. Requires the Delta Plan to, among other
things, recommend priorities for state investments in levee
operation, maintenance, and improvements.
FISCAL EFFECT: Unknown.
COMMENTS: Delta levees protect significant state interests
including conveyance for the State Water Project and the Central
Valley Project, highways, utilities, agriculture, recreational
assets, fisheries, and wildlife. The maintenance of Delta
levees is intended to reduce flood risk and ensure the Delta can
continue to serve its many valuable uses.
The Delta Levee Subventions Program provides state funding to
local agencies for the rehabilitation and maintenance of levees
in the Sacramento-San Joaquin Delta. In 1996, the Legislature
temporarily established the reimbursement rate to be up to 75%
of any costs incurred in excess of $1,000 per mile depending on
the agency's ability to pay. This rate was to be reduced to 50%
on July 1, 2006. However, the Legislature subsequently extended
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this date several times and the higher reimbursement rates are
currently authorized until July 1, 2018.
According to the 2013 Delta Plan the state has committed
approximately $700 million to levee operations, maintenance and
improvements since the 1970's. Recent estimates for needed
Delta levee improvements range from $1.3 billion to $3 billion.
Even if that level of investment were to occur, there would
still be a risk of levee failure in the Delta as increasing
risks of earthquake, flood, and sea level rise are mounting and
levees on deeply subsided islands cannot be built at a
reasonable cost to withstand all risks.
Discretion on how to spend state money on Delta levees has been
left to the DWR and the CVFPB. The Delta Stewardship Council in
consultation with local agencies and various state agencies, is
in the process of developing state investment priorities for
Delta Levees consistent with the Delta Reform Act of 2009 for
levees that are a part of the State Plan of Flood Control, and
for non-project levees. The Delta Levee Investment Strategy is
expected to be completed within the next calendar year.
According to the Public Policy Institute of California (PPIC)
the Delta Levee Subventions Program has resulted in significant
improvements in the stability of Delta levees. In 2010, the
PPIC called the Subventions Program "the most important state
investment in Delta levees."
Analysis Prepared by:
Ryan Ojakian / W., P., & W. / (916) 319-2096
FN: 0004267
SB 554
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