BILL ANALYSIS Ó SB 1260 Page 1 Date of Hearing: June 14, 2016 ASSEMBLY COMMITTEE ON ENVIRONMENTAL SAFETY AND TOXIC MATERIALS Luis Alejo, Chair SB 1260 (Allen) - As Amended April 11, 2016 SENATE VOTE: 38-0 SUBJECT: Stormwater: municipalities: online resource center SUMMARY: Requires the State Water Resources Control Board (State Water Board) to make information available online for compliance with municipal storm water permit requirements. Specifically, this bill: 1) Requires the State Water Board to establish an online resource center that addresses measures available for municipalities to comply with municipal storm water permit requirements. 2) Authorizes the State Water Board to include the Internet Website link in the online resource center for the following: a. Relevant state, federal, and local agencies regarding municipal separate storm sewer system national pollutant discharge elimination system SB 1260 Page 2 (NPDES) permits; b. Water quality mitigation measures for watershed management programs or enhanced watershed management programs; and, c. Various regional agencies related to storm water, including, but not limited to, public works departments and special districts. 3) Authorizes the State Water Board to include in the online resource center a library of scientific studies relevant to storm water issues confronting our communities. EXISTING LAW: 1) Establishes the federal Clean Water Act to regulate discharges of pollutants into the waters of the United States and regulate quality standards for surface waters. (33 U.S.C. §1251 et seq.) 2) Pursuant to the Porter-Cologne Water Quality Control Act, prohibits the discharge of pollutants to surface waters unless the discharger obtains a permit from State Water Board. 3) Establishes the NPDES permit program requiring the State Water Board and the nine California regional water quality control boards to prescribe waste discharge requirements which, among other things, regulate the discharge of pollutants in storm water, including municipal storm water systems. SB 1260 Page 3 4) Requires the State Water Board to develop a comprehensive guidance document for evaluating and measuring the effectiveness of municipal storm water management programs and permits. FISCAL EFFECT: This bill was approved by the Senate Appropriations Committee on consent; therefore, the fiscal impacts of the bill are unknown, but likely negligible. COMMENTS: Need for the bill: According to the author, "Recent changes in California's storm water discharge regulations have made compliance a major challenge, particularly in Los Angeles County. These changes include requiring local jurisdiction to meet strict water quality standards and limit pollution from storm water through Municipal Separate Storm Sewer Systems (MS4). Also, a 2012 regulation as part of MS4 permit renewal adopted by the Los Angeles Regional Water Quality Control Board forces Los Angeles County communities to limit 33 pollutants rather than the previous 3. Upcoming regulations from the US Environmental Protection Agency will likely increase enforcement of water quality standards. These new mandates placed on cities impose catastrophic costs, particularly for smaller communities. The State Water Resources Control Board, as the state entity charged with implementing the Clean Water Act, can help jurisdictions by providing a website with critical information and resources." Storm water: Storm water 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. 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 body of water. Both the US EPA and the Regional Water Quality Control Boards have determined that SB 1260 Page 4 storm water and urban runoff are significant sources of water pollution that can threaten aquatic life and public health. However, storm water may also act as a resource and recharge to groundwater when properly managed. Regulating storm water: For nearly two decades, the State Water Board has regulated runoff and treatment of storm water from industrial and municipal sources in California, including storm drains, rivers, streams, lakes, wetlands and the ocean. The federal Clean Water Act requires the State Water Board and regional water boards to regulate the discharge of storm water from a number of sources. Storm water discharges in California are regulated through NPDES permits. Municipal Storm Water Permitting Program: The Municipal Storm Water Permitting Program regulates storm water discharges from MS4 permits, which are issued in two phases. Under Phase I, NPDES storm water permits were issued for medium (serving between 100,000 and 250,000 people) and large (serving 250,000 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). 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. SB 1260 Page 5 Under Phase II, the State Water Board issues a General Permit for the Discharge of Storm Water from Small MS4s to provide permit coverage for smaller municipalities (population less than 100,000), including non-traditional Small MS4s, which are facilities such as military bases, public campuses, prison and hospital complexes. Los Angeles Regional Water Quality Board: The MS4 permit for the Los Angeles area adopted by the Los Angeles Regional Water Quality Control Board (Regional Board) in 1996 allowed permittees to be in compliance with the permit as long as they were, in good faith, implementing the permit's iterative process of evaluating and improving the Best Management Practices where necessary to comply with water quality standards. This was viewed as following the MEP standard. However, several court challenges to this MS4 permit called the "good faith" standard into question, and the 2001 revised permit for the Los Angeles area did not contain the same standard. Instead, the Regional Board determined that MS4 permits must meet water quality standards and the NPDES permits must include limitations necessary to meet those standards. Federal and state law provide steep penalties for non-compliance with provisions in a discharge permit. The Clean Water Act authorizes civil penalties of up to $37,500 per day per violation of permit conditions and also criminal penalties. California's Porter-Cologne Water Quality Act contains penalties for violation of discharge permit requirements, authorizing a penalty of up to $25,000 per day per violation. However, according to the author, the cost to meet these water quality standards is also high. Existing efforts to make resources available: In January 2014, in the midst of the state's ongoing four-year drought, Governor Jerry Brown released the California Water Action Plan that SB 1260 Page 6 called for multiple-benefit storm water management solutions. To accomplish this, the state and regional water boards are working on multiple paths by providing financial assistance and working cooperatively with local agencies to encourage multiple benefit storm water projects for achieving regulatory compliance and supplemental water supplies. The State Water Board has adopted the Storm Water Resource Plan Guidelines to provide guidance for entities preparing a Storm Water Resource Plan, and the Storm Water Grant Program Guidelines to assist interested applicants with obtaining grant funds for multiple-benefit storm water projects. At a minimum, the Storm Water Resource Plan Guidelines seek to: Maximize cooperation and collaboration among state, regional and local agencies, and nongovernmental organizations during the development and implementation of a Storm Water Resource Plan; Provide guidance for the identification and prioritization of storm water projects and actions based on quantitative analysis of multiple benefits; and, Provide the appropriate geographic scale of watersheds for storm water resource planning. Proposition 1 Water Bond: The Water Quality, Supply, and Infrastructure Improvement Act of 2014, also known as SB 1260 Page 7 Proposition 1 (AB 1471, Rendon, Chapter 188, Statutes of 2014), approved by the voters on November 4, 2014, authorized $200 million to the State Water Board for providing matching grants to public agencies, nonprofit organizations, public utilities, state and federally recognized Indian tribes, and mutual water companies for multi-benefit storm water projects. The State Water Board developed the Proposition 1 Storm Water Grant Program Guidelines to establish the process and criteria to solicit applications, evaluate and rank proposals, and award funding to recommended projects. Why additional resources are still needed: Despite the Proposition 1 funding, local governments need more assistance to comply with storm water requirements. Many jurisdictions in Southern California are struggling to comply with new standards and upcoming enforcement of MS4 permits. While Proposition 1 offered limited funds to help, the cost remains prohibitive. While not offering funding, SB 1260 is proposing to make a web portal for information on mitigation options, funding, and other resources available to those who need it. REGISTERED SUPPORT / OPPOSITION: Support Association of California Water Agencies City of Santa Monica SB 1260 Page 8 Clean Water Action Santa Clara Valley Water District Opposition None on file. Analysis Prepared by:Paige Brokaw / E.S. & T.M. / (916) 319-3965