BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    SB 1263


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          SENATE THIRD READING


          SB  
          1263 (Wieckowski and Pavley)


          As Amended  August 11, 2016


          Majority vote


          SENATE VOTE:  21-13


           -------------------------------------------------------------------- 
          |Committee       |Votes|Ayes                   |Noes                 |
          |                |     |                       |                     |
          |                |     |                       |                     |
          |                |     |                       |                     |
          |----------------+-----+-----------------------+---------------------|
          |Environmental   |5-0  |Alejo, Arambula, Gray, |                     |
          |Safety          |     |Lopez, McCarty         |                     |
          |                |     |                       |                     |
          |----------------+-----+-----------------------+---------------------|
          |Water           |10-4 |Levine, Dodd, Eggman,  |Gallagher, Bigelow,  |
          |                |     |                       |Harper, Olsen        |
          |                |     |                       |                     |
          |                |     |Cristina Garcia,       |                     |
          |                |     |Eduardo Garcia, Gomez, |                     |
          |                |     |Lopez, Nazarian,       |                     |
          |                |     |Salas, Williams        |                     |
          |                |     |                       |                     |
          |----------------+-----+-----------------------+---------------------|
          |Appropriations  |14-6 |Gonzalez, Bloom,       |Bigelow, Chang,      |
          |                |     |Bonilla, Bonta,        |Gallagher, Jones,    |
          |                |     |Calderon, Daly,        |Obernolte, Wagner    |
          |                |     |Eggman, Eduardo        |                     |








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          |                |     |Garcia, Holden, Quirk, |                     |
          |                |     |Santiago, Weber, Wood, |                     |
          |                |     |Chau                   |                     |
          |                |     |                       |                     |
          |                |     |                       |                     |
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          SUMMARY:  Requires a person submitting an application for a  
          permit for a proposed new public water system to first submit a  
          preliminary technical report to the State Water Resources  
          Control Board (State Water Board).  Authorizes the State Water  
          Board to deny a permit for a new public water system if it  
          determines that it is reasonably foreseeable that the proposed  
          new public water system will be unable to provide affordable,  
          safe drinking water.  Specifically, this bill:  


          1)Encourages, but does not require, a person considering  
            submitting an application for a permit for a proposed new  
            public water system to, no later than seven days after  
            submitting an application for a building permit for any  
            water-related improvement, submit the preliminary technical  
            report to the city or county.


          2)Requires an applicant for a permit for a proposed new public  
            water system that would be regulated by a local primacy agency  
            to submit a copy of the preliminary technical report to the  
            State Water Board.


          3)Requires the preliminary technical report for a proposed new  
            public water system to include a number of elements including  
            the name of existing public water systems within three miles  
            of the proposed public water system, any information provided  
            by the local agency formation commission, and a discussion of  
            the feasibility of connecting to an adjacent public water  
            system.








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          4)Authorizes an applicant for a new proposed public water system  
            to submit documents, prepared to comply with the California  
            Environmental Quality Act (CEQA), to the State Water Board, in  
            lieu of the preliminary technical report and provides that  
            these documents shall be considered the functional equivalent  
            of the preliminary technical report.  


          5)Authorizes an applicant for a new proposed public water system  
            to submit the preliminary technical report and documents  
            prepared to comply with the CEQA to the State Water Board, if  
            those documents include some, but not necessarily all, of the  
            information required by the preliminary technical report, and  
            provides that together those documents and the preliminary  
            technical report shall be considered the functional equivalent  
            of the preliminary technical report.  


          6)Authorizes the State Water Board, upon review of a preliminary  
            technical report, to take a number of actions including  
            directing the applicant to undertake additional discussions  
            with the local agency formation commission and any existing  
            public water system within three miles of the proposed public  
            water system.


          7)Authorizes the State Water Board to impose technical,  
            financial, or managerial requirements as part of a permit for  
            a proposed public water system.


          8)Prohibits a local primacy agency from issuing a permit for a  
            new proposed public water system without the concurrence of  
            the State Water Board.


          9)Authorizes the State Water Board to deny a permit for a  








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            proposed new public water system if it determines, based on  
            its assessment of the preliminary technical report, the permit  
            application and other relevant substantial evidence submitted,  
            that it is reasonably foreseeable that the proposed new public  
            water system will be unable to provide affordable, safe  
            drinking water in the reasonably foreseeable future.  


          10)Prohibits a city, including a charter city, or a county from  
            issuing a building permit for the construction of a new  
            residential development where a source of water supply is  
            water transported by water hauler, bottled water, a  
            water-vending machine or a retail water facility. 


          EXISTING LAW:   


          1)Prohibits any person from operating a public water system  
            unless he or she first submits an application to the State  
            Water Board and receives a permit.  (Health and Safety Code  
            Section (HSC) 116525)


          2)Requires the State Water Board, following completion of its  
            required investigation, to issue or deny the permit for a  
            public water system.  Authorizes the State Water Board to  
            impose permit conditions, requirements for system  
            improvements, and time schedules as it deems necessary to  
            ensure a reliable and adequate supply of water at all times  
            that is pure, wholesome, potable, and does not endanger the  
            health of consumers.  (HSC 116540)


          3)Requires any person who owns a public water system to ensure  
            that the system meets drinking water standards, provides a  
            reliable and adequate supply of pure, wholesome, healthful,  
            and potable water and other requirements.  (HSC 116555(a))









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          4)Declares to be the established policy of the state that every  
            human being has the right to safe, clean, affordable, and  
            accessible water adequate for human consumption, cooking and  
            sanitary purposes.  (Water Code Section 106.3)


          FISCAL EFFECT:  According to the Assembly Appropriations  
          Committee, enactment of this bill will result in minor and  
          absorbable costs to the State Water Board.





          COMMENTS:  


          Need for the bill:  According to the author, "SB 1263 will limit  
          the proliferation of new, unsustainable public water systems by  
          creating a strengthened review process for new system  
          applications.  California has more than 7,600 public water  
          systems and these smaller systems can be challenged over the  
          long term by their lack of technical, financial and managerial  
          abilities."


          Framework for affordable, safe drinking water:  Governor Jerry  
          Brown's Administration has a framework for resilient,  
          affordable, safe drinking water for disadvantaged communities.   
          The goal of this framework is to ensure that every Californian  
          has access to an adequate supply of safe water for daily human  
          needs.  According to the Governor's Office, this goal will be  
          achieved by easing the burden on local governments by limiting  
          the proliferation of new, unsustainable systems.


          This bill is designed to encourage new developments to first  
          look at the possibility of connecting to an existing public  








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          water system before submitting an application to the State Water  
          Board for a new public water system.  California currently has  
          over 7,600 public water systems, some of which are unable to  
          provide clean, affordable and safe water to their customers.   
          The State Water Board is currently dealing with water systems  
          that are unsustainable, while this bill looks to prevent future  
          unsustainable public water systems.  In order to stem the flow  
          of more potentially unsustainable water systems in the future,  
          this bill strengthens the application process for new public  
          water systems by requiring developers to assess whether the  
          proposed development can be connected to an existing public  
          water system before embarking on the creation of a new water  
          system.




          Analysis Prepared by:                                             
                          Josh Tooker / E.S. & T.M. / (916) 319-3965  FN:  
          0003916