BILL NUMBER: AB 1584 CHAPTERED
BILL TEXT
CHAPTER 725
FILED WITH SECRETARY OF STATE OCTOBER 10, 1999
APPROVED BY GOVERNOR OCTOBER 7, 1999
PASSED THE ASSEMBLY SEPTEMBER 10, 1999
PASSED THE SENATE SEPTEMBER 9, 1999
AMENDED IN SENATE SEPTEMBER 9, 1999
AMENDED IN SENATE SEPTEMBER 3, 1999
AMENDED IN SENATE AUGUST 26, 1999
AMENDED IN SENATE JULY 12, 1999
AMENDED IN ASSEMBLY APRIL 27, 1999
INTRODUCED BY Assembly Member Machado and Senator Costa
(Principal coauthors: Assembly Members Cardoza and Florez)
(Coauthors: Assembly Members Calderon, Kuehl, Strom-Martin, and
Thomson)
(Coauthor: Senator Ortiz)
FEBRUARY 26, 1999
An act to amend Sections 13480, 14058, and 78621 of, to add
Division 26 (commencing with Section 79000) to, to add and repeal
Section 1812.6 of, and to repeal and add Sections 78626, 78648.12,
and 78675 of, the Water Code, relating to financing a safe drinking
water, water quality, flood protection, and water reliability
program, by providing the funds necessary therefor through the
issuance and sale of bonds of the State of California and by
providing for the handling and disposition of those funds, and
declaring the urgency thereof, to take effect immediately.
LEGISLATIVE COUNSEL'S DIGEST
AB 1584, Machado. Safe Drinking Water, Clean Water, Watershed
Protection, and Flood Protection Act; water resources.
Under existing law, various bond acts have been approved by the
voters to provide funds for water projects, facilities, and programs.
This bill would enact the Safe Drinking Water, Clean Water,
Watershed Protection, and Flood Protection Act which, if adopted,
would authorize, for purposes of financing a safe drinking water,
water quality, flood protection, and water reliability program, the
issuance, pursuant to the State General Obligation Bond Law, of bonds
in the amount of $1,970,000,000. The bill would also provide for
the use of prescribed bond funds, and funds repaid to the state
pursuant to certain loan contracts, for specified programs
established by this act.
The bill would require the Secretary of State to submit the bond
act to the voters at the March 7, 2000, statewide direct primary
election.
The bill would amend a provision relating to the calculations of
the interest rate to be applied to certain loans from the State Water
Pollution Control Revolving Fund.
The bill would require the Imperial Irrigation District, the
Coachella Valley Water District, and the Metropolitan Water District
of Southern California to sign and adopt a prescribed quantification
agreement on or before October 15, 1999, and, if the districts do not
do so, would require the Governor or his sole designee to promulgate
a quantification settlement by January 1, 2000, as specified. The
bill would impose specified duties on the Governor with respect to
the agreement or settlement.
The bill would declare that it is to take effect immediately as an
urgency statute.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Division 26 (commencing with Section 79000) is added to
the Water Code, to read:
DIVISION 26. SAFE DRINKING WATER, CLEAN WATER, WATERSHED
PROTECTION, AND FLOOD PROTECTION ACT
CHAPTER 1. SHORT TITLE
79000. This division shall be known and may be cited as the
Costa-Machado Water Act of 2000.
CHAPTER 2. DEFINITIONS
79005. Unless the context otherwise requires, the definitions set
forth in this chapter govern the construction of this division.
79006. "Bay-delta" means the San Francisco Bay/Sacramento-San
Joaquin Delta Estuary.
79007. "Board" means the State Water Resources Control Board.
79008. "CALFED" refers to the consortium of state and federal
agencies with management and regulatory responsibilities in the
bay-delta that are developing a long-term solution to water
management, environmental, and other problems in the bay-delta
watershed.
79009. "Clean Water Act" means the federal Clean Water Act (33
U.S.C. Sec. 1251 et seq.), and includes any amendments thereto.
79010. "Committee" means the Safe Drinking Water, Clean Water,
Watershed Protection, and Flood Protection Finance Committee created
by Section 79212.
79011. "Delta" means the Sacramento-San Joaquin Delta.
79012. "Department" means the Department of Water Resources.
79013. "Fund" means the Safe Drinking Water, Clean Water,
Watershed Protection, and Flood Protection Bond Fund created by
Section 79019.
CHAPTER 3. SAFE DRINKING WATER, CLEAN WATER, WATERSHED
PROTECTION, AND FLOOD PROTECTION BOND FUND
79019. The proceeds of bonds issued and sold pursuant to this
division shall be deposited in the Safe Drinking Water, Clean Water,
Watershed Protection, and Flood Protection Bond Fund, which is hereby
created.
CHAPTER 4. SAFE DRINKING WATER PROGRAM
Article 1. Definitions
79020. Unless the context otherwise requires, the following
definitions govern the construction of this chapter.
(a) "Federal act" means the federal Safe Drinking Water Act (42
U.S.C. Sec. 300f et seq.), and includes any amendments thereto.
(b) "State department" means the State Department of Health
Services.
(c) "Supplier" means any person, partnership, corporation,
association, public agency, or other entity, including any Indian
tribe having a federally recognized governing body carrying out
substantial governmental duties in and powers over any area, that
owns or operates a public water system.
Article 2. Safe Drinking Water State Revolving Fund
79021. The sum of seventy million dollars ($70,000,000) is hereby
transferred from the fund to the Safe Drinking Water State Revolving
Fund created by Section 116760.30 of the Health and Safety Code.
Article 3. Safe Drinking Water Program
79022. (a) The money transferred to the Safe Drinking Water State
Revolving Fund pursuant to Section 79021, except as otherwise
provided in Sections 79022.7 and 79025, shall be used by the state
department for loans and grants to suppliers for the purposes of
undertaking infrastructure improvements and related actions to meet
safe drinking water standards, in accordance with the Safe Drinking
Water State Revolving Fund Law of 1997 (Chapter 4.5 (commencing with
Section 116760) of Part 12 of Division 104 of the Health and Safety
Code).
(b) A supplier that is eligible for grants under Section 300j-12
(i) of the federal act (42 U.S.C. Sec. 1452(i)) may concurrently make
application for funds annually appropriated under the federal act
and for bond proceeds made available under this chapter. The state
department shall not place a public water system on the priority list
for project funding or enter into a contract and award a grant or
loan if a supplier has previously received a grant for public water
system expenditure for the same project under Section 300j-12(i) of
the federal act (42 U.S.C. Sec. 1452(i)) or if the supplier does not
have a public water system permit pursuant to Section 116525 of the
Health and Safety Code. The state department may place a public
water system on the priority list for funding if a supplier has not
otherwise received a letter of commitment to make a grant from the
Administrator of the Environmental Protection Agency after 180 days
from the date of the original submission of an application for a
grant under Section 300j-12(i) of the federal act (42 U.S.C. Sec.
1452(i)).
(c) The Legislature finds and declares that Indian tribes shall be
encouraged to cooperate with an adjacent public water system to
determine whether the delivery of water from the public water system
to the Indian tribe would be feasible and cost-effective in
comparison to the improvement of a public water system owned or
operated by the Indian tribe. The determination of feasibility shall
include an assessment of whether the tribal water supplier possesses
adequate financial, managerial, and technical capability to ensure
the delivery of pure, wholesome, potable water to consumers. The
Legislature further finds and declares that public water suppliers
shall be encouraged to investigate opportunities for Indian tribes to
deliver water beyond trust land boundaries to consumers that may not
be economically served by a public water system.
(d) The state department shall encourage loan or grant applicants,
where feasible, to consider the consolidation of small public water
systems and community water systems with other public water systems
to reduce the cost of service and improve the level of protection for
consumers.
(e) To the extent that loans under this chapter that are made to a
public water system regulated by the Public Utilities Commission
bear a lower interest rate than that supplier could receive from
nongovernmental sources, the Public Utilities Commission shall ensure
that the entire benefit of the interest rate differential shall
benefit the rate payers of that system by including the lower
interest rate when establishing the water system's weighted average
cost of capital.
79022.5. Any repayment of loans made pursuant to this article,
including interest payments, and all interest earnings on or accruing
to, any money resulting from the implementation of this chapter in
the Safe Drinking Water State Revolving Fund shall be deposited in
that fund and shall be available for the purposes of this chapter.
79022.7. Notwithstanding Item No. 4260-115-0001 of Section 2.00
of the Budget Act of 1999 (Chapter 50, Statutes of 1999), no money
transferred to the Safe Drinking Water State Revolving Fund pursuant
to this article may be transferred to the General Fund.
79023. There is hereby created in the Safe Drinking Water State
Revolving Fund the Technical Assistance Account.
79024. Of the funds transferred pursuant to Section 79021, the
sum of two million dollars ($2,000,000) is hereby transferred from
the Safe Drinking Water State Revolving Fund to the Technical
Assistance Account.
79025. (a) Notwithstanding Section 13340 of the Government Code,
the money in the Technical Assistance Account is hereby continuously
appropriated, without regard to fiscal years, to the state
department, to provide technical assistance to public water systems
in the state in accordance with Section 300j-12(g)(2) of the federal
act (42 U.S.C. Sec. 1452(g)(2)). For the purposes of this section,
"technical assistance" includes assistance to disadvantaged
communities, including Indian tribes.
(b) In carrying out its responsibilities under subdivision (a),
the state department may do any of the following:
(1) Assess the technical, managerial, and financial capability of
a disadvantaged community.
(2) Assist an applicant in the preparation of an application for
funding under Chapter 4.5 (commencing with Section 116760) of Part 12
of Division 104 of the Health and Safety Code or Section 300j-12(i)
of the federal act (42 U.S.C. Sec. 1452(i)).
(3) Conduct workshops in locations in or near disadvantaged
communities to provide information regarding grants or loans for the
design and construction of projects for public water systems.
79026. Not more than 3 percent of the total amount deposited in
the account may be used to pay costs incurred in connection with the
administration of this chapter.
CHAPTER 5. FLOOD PROTECTION PROGRAM
Article 1. Flood Protection Account
79030. For the purposes of this chapter, "account" means the
Flood Protection Account created by Section 79031.
79031. The Flood Protection Account is hereby created in the
fund. The sum of two hundred ninety-two million dollars
($292,000,000) is hereby transferred from the fund to the account.
Article 2. Floodplain Mapping Program
79033. (a) There is hereby created in the account the Floodplain
Mapping Subaccount.
(b) The sum of two million five hundred thousand dollars
($2,500,000) is hereby transferred from the account to the Floodplain
Mapping Subaccount for the purposes of implementing this article.
79033.2. (a) There is hereby created in the account the
Agriculture and Open Space Mapping Subaccount.
(b) The sum of two million five hundred thousand dollars
($2,500,000) is hereby transferred from the account to the
Agriculture and Open Space Mapping Subaccount.
79033.4. The money in the Floodplain Mapping Subaccount, upon
appropriation by the Legislature to the department, may be used by
the department for the purpose of assisting local land-use planning,
and to avoid or reduce future flood risks and damages. The use of
the funds in that subaccount by the department shall include, but is
not limited to, all of the following:
(a) Mapping newly identified floodplains.
(b) Mapping rural areas with potential for urbanization.
(c) Mapping flood hazard areas with undefined 100-year flood
elevations.
(d) Updating outdated floodplain maps.
(e) Accelerating mapping of riverine floodplains, alluvial fans,
and coastal flood hazard areas.
(f) Collecting topographic and hydrographic survey data.
79033.6. (a) The money in the Agriculture and Open Space Mapping
Subaccount, upon appropriation by the Legislature to the Department
of Conservation, may be used by the Department of Conservation for
the purposes of assisting local land-use planning by making available
Important Farmland Series maps and Interim Farmland maps, as those
terms are defined in Section 65570 of the Government Code. The
information provided by the Department of Conservation is intended
for local government use in conjunction with floodplain and flood
hazard maps developed by the department to protect agricultural land
resources coincident with avoidance or reduction of future flood risk
and damage to residential or commercial land uses. The use of the
funds in that subaccount by the Department of Conservation shall
include, but is not limited to, all of the following:
(1) Accelerating production of Important Farmland Series maps and
Interim Farmland maps.
(2) Increasing the coverage and availability of soil surveys
conducted by the United States Natural Resource Conservation Service.
(3) Increasing topographic, soil, and agricultural crop data
collection and enhancing data gathering capability.
(4) Developing integrated mapping that incorporates Important
Farmland Series mapping and Interim Farmland mapping data with other
relevant information, including, but not limited to, floodplain or
flood hazard information, planning designation, and other land and
natural resource data.
(b) For the purposes of this article, "maps" and "mapping" may
include digital map files.
Article 2.5. Flood Protection Corridor Program
79035. (a) There is hereby created in the account the Flood
Protection Corridor Subaccount.
(b) For the purposes of this article, "subaccount" means the Flood
Protection Corridor Subaccount created by subdivision (a).
79036. The sum of seventy million dollars ($70,000,000) is hereby
transferred from the account to the subaccount for the purposes of
implementing this article.
79037. (a) The money in the subaccount, upon appropriation by the
Legislature to the department, may be used by the department for
flood control projects through direct expenditure for the
acquisition, restoration, enhancement, and protection of real
property for the purposes of flood control protection, agricultural
land preservation, and wildlife habitat protection, and for grants to
local public agencies or nonprofit organizations for these purposes,
and for related administrative costs.
(b) The money in the subaccount, upon appropriation by the
Legislature, shall be used for the protection, creation, and
enhancement of flood protection corridors through all of the
following actions:
(1) Acquiring easements and other interests in real property from
willing sellers to protect or enhance flood protection corridors and
floodplains while preserving or enhancing the agricultural use of the
real property.
(2) Setting back existing flood control levees and, in conjunction
with undertaking those setbacks, strengthening or modifying existing
levees.
(3) Acquiring interests in real property from willing sellers
located in a floodplain that cannot reasonably be made safe from
future flooding.
(4) Acquiring easements and other interests in real property from
willing sellers to protect or enhance flood protection corridors
while preserving or enhancing the wildlife value of the real
property.
79038. (a) For the purposes of this article, the department shall
give highest priority to projects that include either of the
following:
(1) Projects that have been assigned high priority for completion
by the department for flood protection purposes and by the Department
of Conservation for purposes of preserving agricultural land in
accordance with the Agricultural Land Stewardship Program Act of 1995
(Division 10.2 (commencing with Section 10200) of the Public
Resources Code).
(2) Projects that have been assigned high priority for completion
by the department for flood protection purposes and by the Department
of Fish and Game for wildlife habitat protection or restoration
purposes.
(b) For restoration, enhancement, and protection projects, the
services of the California Conservation Corps or community
conservation corps shall be used whenever feasible.
79039. (a) In order to ensure that property acquired under
paragraph (1) of subdivision (b) of Section 79037 remains on the
county tax rolls and in agricultural use to the greatest extent
practicable, the acquisition of easements shall be the preferred
method of acquiring property interests under that paragraph unless
the acquisition of a fee interest is required for management purposes
or the landowner will only consider the sale of a fee interest in
the land. No acquisition of a fee interest shall be undertaken under
paragraph (1) of subdivision (b) of Section 79037 until all
practical alternatives have been considered by the department.
(b) Any proceeds received from the disposal of a fee interest
acquired under this article shall be deposited into the subaccount.
79040. Any acquisition pursuant to this article shall be from a
willing seller.
79041. Prior to acquiring an easement or other interest in land
pursuant to this article, the project shall include a plan to
minimize the impact on adjacent landowners. The plan shall include,
but not be limited to, an evaluation of the impact on floodwaters,
the structural integrity of affected levees, diversion facilities,
customary agricultural husbandry practices, and timber extraction
operations, and an evaluation with regard to the maintenance required
of any facilities that are proposed to be constructed or altered.
79042. Prior to acquiring an easement or other interest in land
pursuant to this article, a public hearing in the local community
shall be held. Notification shall be given to the county board of
supervisors of the affected county, adjacent landowners, affected
water districts, local municipalities, and other interested parties,
as determined by the department.
79043. Money in the subaccount may be used, upon appropriation by
the Legislature, to repair breaches in the flood control system
developed pursuant to this article or caused by the development of an
easement program financed through this section and to repair water
diversion facilities or flood control facilities damaged by a project
developed pursuant to this section or financed pursuant to this
section.
79044. (a) (1) In expending grant money pursuant to this article
to acquire an interest in any particular parcel of land, a local
public agency or nonprofit organization may use the money to
establish a trust fund in the amount of not more than 20 percent of
the amount of money paid for the acquisition. Interest from the
trust fund shall be used only to maintain the lands that are acquired
pursuant to this chapter.
(2) A local public agency or nonprofit organization that acquires
land with money from the subaccount and transfers the land to another
public agency or nonprofit organization shall also transfer the
ownership of the trust fund that was established to maintain that
land.
(b) If the local public agency or nonprofit organization does not
establish a trust fund pursuant to subdivision (a), it shall certify
to the department that it can maintain the land to be acquired from
funds otherwise available to the agency or organization.
(c) This section does not apply to state agencies.
79044.5. (a) It is the intent of the Legislature to address the
problem of soaring federal flood insurance rates by assisting local
governments to meet technical requirements for participation in the
National Flood Insurance Program and the National Flood Insurance
Program's Community Rating System.
(b) Notwithstanding any other provision of this article, of the
funds transferred pursuant to Section 79036, the sum of one million
dollars ($1,000,000) is hereby continuously appropriated, without
regard to fiscal years, to the department, as follows:
(1) Five hundred thousand dollars ($500,000) to educate and
provide technical assistance to cities and counties regarding the
National Flood Insurance Program and the enrollment process.
(2) Five hundred thousand dollars ($500,000) to educate and
provide technical assistance to cities and counties currently
enrolled in the National Flood Insurance Program with regard to the
National Flood Insurance Program's Community Rating System and the
implementation of activities creditable under that system.
79044.6. Notwithstanding any other provision of this article, the
sum of five million dollars ($5,000,000), upon appropriation by the
Legislature to the department, shall be allocated by the department
to the City of Santee for the purposes of flood protection for
streets and highways.
79044.7. Not more than 5 percent of the total amount deposited in
the subaccount may be used to pay costs incurred in connection with
the administration of this article.
79044.9. The department may adopt regulations to carry out this
article.
Article 3. Delta Levee Rehabilitation Program
79045. (a) There is hereby created in the account the Delta Levee
Rehabilitation Subaccount.
(b) For the purposes of this article, "subaccount" means the Delta
Levee Rehabilitation Subaccount created by subdivision (a).
79046. The sum of thirty million dollars ($30,000,000) is hereby
transferred from the account to the subaccount for the purposes of
implementing this article pursuant to Section 12986.
79047. Notwithstanding Section 13340 of the Government Code, the
money in the subaccount is hereby continuously appropriated, without
regard to fiscal years, to the department, as follows:
(a) Fifteen million dollars ($15,000,000) for local assistance
under the delta levee maintenance subventions program under Part 9
(commencing with Section 12980) of Division 6, and for the
administration of that assistance.
(b) Fifteen million dollars ($15,000,000) for special flood
protection projects under Chapter 2 (commencing with Section 12310)
of Part 4.8 of Division 6, subsidence studies and monitoring, and for
the administration of this subdivision. Allocation of these funds
shall be for flood protection projects on Bethel, Bradford, Holland,
Hotchkiss, Jersey, Sherman, Twitchell, and Webb Islands, and at other
locations in the delta.
(c) Any funds that are made available under subdivision (a) may be
used to reimburse local agencies for the state's share of costs for
eligible projects completed on or after July 1, 1998.
79048. The expenditure of funds under this article is subject to
Chapter 1.5 (commencing with Section 12306) of Part 4.8 of Division
6.
79049. Of the funds appropriated pursuant to subdivision (a) or
(b) of Section 79047, not more than 5 percent may be expended by the
department to repair levee road pavement if the damage is
attributable to flood control maintenance.
79050. No expenditure of funds may be made under this article
unless the Department of Fish and Game makes a written determination
as part of its review and approval of a plan or project pursuant to
Section 12314 or 12987. The Department of Fish and Game shall make
its determination in a reasonable and timely manner following the
submission of the project or plan to that department. For the
purposes of this article, an expenditure may include more than one
levee project or plan.
79051. For the purposes of this article, a levee project includes
levee improvements and related habitat improvements undertaken in
the delta at a location other than the location of that levee
improvement.
79052. Following the date on which a program for the bay-delta is
adopted by CALFED, the remaining funds in the subaccount shall be
used for levee rehabilitation improvement projects that, to the
greatest extent possible, are consistent with the program adopted by
CALFED.
Article 4. Flood Control Subventions Program
79055. (a) There is hereby created in the account the Flood
Control Subventions Subaccount.
(b) For the purposes of this article, "subaccount" means the Flood
Control Subventions Subaccount created by subdivision (a).
79056. The sum of forty-five million dollars ($45,000,000) is
hereby transferred from the fund to the subaccount.
79057. (a) Notwithstanding Section 13340 of the Government Code,
or any other provision of law, the money in the subaccount is hereby
continuously appropriated, without regard to fiscal year, to the
department to pay for the state's share of the nonfederal costs of
flood control and flood prevention projects adopted and authorized as
of January 1, 1999, under The State Water Resources Law of 1945
(Chapter 1 (commencing with Section 12570) and Chapter 2 (commencing
with Section 12639) of Part 6 of Division 6), The Flood Control Law
of 1946 (Chapter 3 (commencing with Section 12800) of Part 6 of
Division 6), and The California Watershed Protection and Flood
Prevention Law (Chapter 4 (commencing with Section 12850) of Part 6
of Division 6), including the credits and loans to local agencies
pursuant to Sections 12585.3 and 12585.4, subdivision (d) of Section
12585.5, and Sections 12866.3 and 12866.4, and to implement Chapter
3.5 (commencing with Section 12840) of Part 6 of Division 6.
(b) The money in the subaccount shall be allocated only to
projects in the Counties of Contra Costa, Fresno, Kern, Los Angeles,
Marin, Napa, Orange, Riverside, San Bernardino, San Diego, Santa
Clara, Sonoma, and Ventura.
(c) It is the intent of the Legislature that the state's share of
the nonfederal costs of projects for flood control and flood
prevention adopted and authorized after January 1, 2001, shall not
exceed that portion of the nonfederal costs authorized pursuant to
Chapter 1 (commencing with Section 12570) of Part 6 or any amendments
thereto.
Article 5. Urban Stream Restoration Program
79060. (a) There is hereby created in the account the Urban
Stream Restoration Subaccount.
(b) For the purposes of this article, "subaccount" means the Urban
Stream Restoration Subaccount created by subdivision (a).
79061. The sum of twenty-five million dollars ($25,000,000) is
hereby transferred from the account to the subaccount for the
purposes of implementing this article.
79062. The money in the subaccount, upon appropriation by the
Legislature to the department, may be used by the department for both
of the following:
(a) Grants to local agencies and nonprofit organizations for
effective, low-cost flood control projects pursuant to Section 7048.
(b) Grants to local community conservation corps and other
nonprofit corporations for local stream clearance, flood mitigation,
and cleanup activities.
79062.5. Notwithstanding any other provision of law, regulations
set forth in Chapter 2.4 (commencing with Section 451.1) of Division
2 of Title 23 of the California Code of Regulations that are in
effect on March 8, 2000, may be used to carry out this article.
Article 6. Capital Area Flood Protection Program
79065. The Legislature hereby finds and declares all of the
following:
(a) Since Sacramento, the state capital, was founded over 150
years ago, it has suffered from flood disasters because of inadequate
flood protection. Each year, the State Capitol and more than 1,300
other government-owned buildings and infrastructure of the capital
region are at risk because of their location in the worst protected
urban area in the country.
(b) The State of California's investment of money and other
resources in the state's seat of government is important to preserve
and protect.
(c) It is in the best interest of this state to invest in a
cost-shared program to protect life and property in the state capital
from flooding, thus resulting in opportunities for sustainable
economic development and continued protection of the state's natural
resources.
(d) The Congress and the President of the United States have
recognized the national importance of increasing the level of the
state capital's flood protection by authorizing projects in the Water
Resources Development Act of 1999.
79065.2. (a) There is hereby created in the account the State
Capital Protection Subaccount.
(b) For purposes of this article, "subaccount" means the State
Capital Protection Subaccount created by subdivision (a).
79065.4. The sum of twenty million dollars ($20,000,000) is
hereby transferred from the account to the subaccount for the
purposes of this article.
79065.6.
The money in the subaccount, upon appropriation by the Legislature to
the Sacramento Area Flood Control Agency, may be used by the
Sacramento Area Flood Control Agency to pay the state's share of the
costs of flood management projects authorized by the United States to
improve the level of flood protection in the state capital region.
79065.8. No money deposited in the subaccount may be used to pay
the costs incurred in connection with the administration of this
article.
Article 7. San Lorenzo River Flood Control Program
79067. (a) There is hereby created in the account the San
Lorenzo River Flood Control Subaccount.
(b) For purposes of this article, "subaccount" means the San
Lorenzo River Flood Control Subaccount created by subdivision (a).
79067.2. The sum of two million dollars ($2,000,000) is hereby
transferred from the account to the subaccount for the purposes of
this article.
79067.4. The money in the subaccount, upon appropriation by the
Legislature to the department, shall be allocated by the department
to the City of Santa Cruz to pay for the state's share of the costs
of flood management projects authorized by the United States to
improve the level of flood protection in the Santa Cruz region.
Article 8. Yuba Feather Flood Protection Program
79068. Unless the context otherwise requires, the definitions set
forth in this section govern the construction of this article.
(a) "Nonstructural improvements" are projects that are intended to
reduce or eliminate susceptibility to flooding by preserving or
increasing the flood-carrying capacity of floodways, and include such
measures as levees, setback levees, floodproofing structures, and
zoning, designating, or acquiring flood prone areas.
(b) "Structural improvements" are projects that are intended to
modify flood patterns and rely primarily on constructed components,
and include such measures as levees, floodwalls, and improved
channels.
(c) "Subaccount" means the Yuba Feather Flood Protection
Subaccount created by Section 79068.2.
79068.2. There is hereby created in the account the Yuba Feather
Flood Protection Subaccount.
79068.4. The sum of ninety million dollars ($90,000,000) is
hereby transferred from the account to the subaccount for the
purposes of implementing this article.
79068.6. Seventy million dollars ($70,000,000) in the subaccount,
upon appropriation by the Legislature to the department or
Reclamation Board, shall be used by the department or Reclamation
Board to fund one or more of the following flood protection projects
to be implemented by a local public entity that has legal authority
and jurisdiction to implement a flood control program along the Yuba
and Feather Rivers and their tributaries:
(a) The construction or improvements of weirs, bypasses, and
channels.
(b) The construction of levees or improving publicly maintained
levees, including, but not limited to, setback levees, training
walls, floodwalls, and streambank protection projects, which provide
flood protection or flood damage reduction.
(c) The modification or reoperation of existing dams and
waterworks, including spillways or other capital outlay facilities,
for the purpose of increased efficiency in managing flood waters.
(d) The installation of tailwater suppression systems, detention
basins, relief wells, test wells, flood warning systems, and
telemetry devices.
(e) The relocation or floodproofing of structures within
floodplains, which meet or exceed a community's floodplain
regulations, pursuant to the National Flood Insurance Program.
(f) Implementation of watershed projects, which provide flood
protection or flood damage reduction.
(g) The construction of, or improvement to, a state or interstate
highway, county road, or a levee road, that is designated a flood
emergency evacuation route, or that provides access to a levee for
emergency vehicles, flood fights, or levee repair and maintenance, or
a project that protects such a road or highway.
(h) The purchase of lands, easements, and rights-of-way.
(i) Capital costs of environmental mitigation.
79068.8. No expenditures of state funds may be made under this
article until the department or the Reclamation Board determines that
all of the following requirements have been met:
(a) There is a final environmental document prepared pursuant to
the California Environmental Quality Act (commencing with Section
21000 of the Public Resources Code).
(b) The project is in compliance with the California Endangered
Species Act (Chapter 1.5 (commencing with Section 2050) of Division 3
of the Fish and Game Code), as demonstrated by documentation such as
comments received from the Department of Fish and Game, a permit
obtained from the Department of Fish and Game or other appropriate
evidence.
(c) The local project proponent agrees to pay at least that
portion of the nonfederal capital costs of the project required by
Section 12585.5.
(d) The local project proponent agrees to operate and maintain the
completed project.
(e) The local project proponent enters into an agreement
indemnifying and holding the state, its agencies, officers and
employees free and harmless from any and all liability arising out of
the design, construction, operation and maintenance of the project.
(f) The project is recommended for implementation by the
department or the Reclamation Board.
79068.10. All of the following factors shall be considered by the
department and the Reclamation Board for prioritizing projects:
(a) Potential loss of life from flooding.
(b) Increased flood protection or flood damage reduction for areas
that have the greatest flood risk or have experienced repetitive
flood loss.
(c) The local community is a small community with financial
hardship.
(d) Projects that provide multiple benefits.
(e) Projects that are implemented in accordance with the
Sacramento/San Joaquin River Basins Comprehensive Study.
(f) Projects that are implemented pursuant to the completion of
feasibility studies conducted by the United States Army Corps of
Engineers or local agencies.
(g) Projects along the Yuba and Feather Rivers and their
tributaries.
(h) Projects that address regional flood problems.
(i) Projects along the Colusa Drain and its tributaries.
(j) Minimizing impacts to the environment.
79068.12. Of the fund appropriated pursuant to Section 79068.6,
two million six hundred thousand dollars ($2,600,000) in the
subaccount shall be used for the local share of levee repairs and
enhancements in Sutter County.
79068.14. (a) Twenty million dollars ($20,000,000) in the
subaccount, upon appropriation to the Department of Fish and Game,
may be used by that department, if it determines that any flood
control project undertaken pursuant to this article would result in a
reduction of, or damage to, fish, wildlife, or riparian habitat, to
protect, improve, restore, create, or enhance fish, wildlife, and
riparian habitat of a comparable type to that which was reduced or
damaged.
(b) Any land acquired pursuant to this section shall be acquired
from willing sellers.
79068.16. If all of the funds appropriated pursuant to Section
79068.6 are encumbered, and any funds described in Section 79068.14
are not needed for the purposes of that section, as stated in writing
by that department to the Legislature, the Legislature may
appropriate the funds not needed for the purposes of Section 79068.14
for the purposes of Article 4 (commencing with Section 79055).
79068.18. Not more than 5 percent of the total amount deposited
in the subaccount may be used to pay the costs incurred in connection
with the administration of this chapter.
79068.20. The department and board may adopt regulations to carry
out this article.
Article 9. Arroyo Pasajero Watershed Program
79069. The Legislature hereby finds and declares all of the
following:
(a) The Arroyo Pasajero Watershed incurred unprecedented flooding
in 1995 that resulted in a loss of lives due to a bridge failure on
Interstate Highway Route 5 (I-5).
(b) Flooding in the watershed cause damage to important federal,
state, and local public facilities, including the Lemoore Naval Air
Station, Interstate Highway Route 5 (I-5), the California Aqueduct,
and critical local roads and highways, as well as private property.
(c) It is of statewide importance to undertake projects to
eliminate future flooding in the watershed in order to protect life
and property and to protect the drinking water supply of southern
California.
79069.2. Unless the context otherwise requires, the definitions
set forth in this section govern construction of this article.
(a) "Subaccount" means the Arroyo Pasajero Watershed Subaccount
created pursuant to Section 79069.4.
(b) "Watershed" means the Arroyo Pasajero Watershed.
79069.4. There is hereby created in the account the Arroyo
Pasajero Watershed Subaccount. The sum of five million dollars
($5,000,000) is hereby transferred from the account to the subaccount
for the purposes of this article.
79069.6. The money in the subaccount, upon appropriation by the
Legislature to the department, shall be used by the department for
projects that improve flood protection for State Highway Route 269 in
the area north of the City of Huron or improve flood control for the
California Aqueduct in the area of the Arroyo Pasajero Crossing.
79069.8. For the purposes of carrying out projects pursuant to
this article, the department is encouraged to utilize the services of
the California Conservation Corps or community conservation corps or
both.
79069.10. Not more than 5 percent of the total amount deposited
in the subaccount may be used to pay costs incurred in connection
with the administration of this article.
79069.12. The department may adopt regulations to carry out this
article.
CHAPTER 6. WATERSHED PROTECTION PROGRAM
Article 1. Watershed Protection Account
79070. For the purposes of this chapter, "account" means the
Watershed Protection Account created by Section 79071.
79071. The Watershed Protection Account is hereby created in the
fund. The sum of four hundred sixty-eight million dollars
($468,000,000) is hereby transferred from the fund to the account.
Article 2. Watershed Protection Program
79075. (a) There is hereby created in the account the Watershed
Protection Subaccount.
(b) For the purposes of this article, "subaccount" means the
Watershed Protection Subaccount created by subdivision (a).
79076. The sum of ninety million dollars ($90,000,000) is hereby
transferred from the account to the subaccount for the purposes of
implementing this article.
79077. The purposes of this article are to provide funds to
assist in implementing watershed plans to reduce flooding, control
erosion, improve water quality, and improve aquatic and terrestrial
species habitats, to restore natural systems of groundwater recharge,
native vegetation, water flows, and riparian zones, to restore the
beneficial uses of waters of the state in watersheds, and to provide
matching funds for federal grant programs.
79078. Unless the context otherwise requires, the following
definitions govern the construction of this article:
(a) "Local agency" means any city, county, city and county,
district, or other political subdivision of the state.
(b) "Local watershed group" means a group consisting of owners and
managers of land within the watershed of interest, local, state, and
federal government representatives, and interested persons, other
than landowners, who reside or work within the watershed of interest,
and may include other persons, organizations, nonprofit
corporations, and businesses.
(c) "Local watershed management plan" means a document prepared by
a local watershed group that sets forth a strategy to achieve an
ecologically stable watershed, and that does all of the following:
(1) Defines the geographical boundaries of the watershed.
(2) Describes the natural resource conditions within the
watershed.
(3) Describes measurable characteristics for water quality
improvements.
(4) Describes methods for achieving and sustaining water quality
improvements.
(5) Identifies any person, organization, or public agency that is
responsible for implementing the methods described in paragraph (4).
(6) Provides milestones for implementing the methods described in
paragraph (4).
(7) Describes a monitoring program designed to measure the
effectiveness of the methods described in paragraph (4).
(d) "Municipality" has the same meaning as defined in the Clean
Water Act and also includes the state or any agency, department, or
political subdivision thereof, and applicants eligible for technical
assistance under Section 319 (33 U.S.C. Sec. 1329) or grants under
Section 320 of the Clean Water Act (33 U.S.C. Sec. 1330).
(e) "Nonprofit organization" means any California corporation
organized under Section 501(c)(3) or 501(c)(5) of the Internal
Revenue Code.
(f) "Regional board" means a regional water quality control board.
79079. The money in the subaccount, upon appropriation by the
Legislature to the board, may be used by the board for grants to
municipalities, local agencies, or nonprofit organizations in
accordance with this article. The grants shall be used to develop
local watershed management plans or to implement projects that are
consistent with local watershed management and regional water quality
control plans. The board shall ensure that activities funded by
these grants will be coordinated with activities undertaken by state
and federal agencies, and with other appropriate watershed efforts.
79079.5. The funds used for the purposes described in Section
79079 shall be allocated as follows:
(a) Sixty percent to projects in the Counties of Los Angeles,
Orange, Riverside, San Diego, San Bernardino, and Ventura.
(b) Forty percent to projects in counties not described in
subdivision (a).
79080. (a) A municipality, local agency, or nonprofit
organization may only receive a grant under this article if the board
determines that both of the following apply:
(1) The municipality, local agency, or nonprofit organization has
adequate legal authority to manage the grant money.
(2) The municipality, local agency, or nonprofit organization is a
member of a local watershed group.
(b) Grants may be awarded for projects that implement methods for
attaining watershed improvements or for a monitoring program
described in a local watershed management plan in an amount not to
exceed five million dollars ($5,000,000) per project. At least 85
percent of the total amount in the subaccount shall be used for
capital outlay projects described in this subdivision.
(c) Eligible projects under this article may do any of the
following:
(1) Reduce chronic flooding problems or control water velocity and
volume using vegetation management or other nonstructural methods.
(2) Protect and enhance greenbelts and riparian and wetlands
habitats.
(3) Restore or improve habitat for aquatic or terrestrial species.
(4) Monitor the water quality conditions and assess the
environmental health of the watershed.
(5) Use geographic information systems to display and manage the
environmental data describing the watershed.
(6) Prevent watershed soil erosion and sedimentation of surface
waters.
(7) Support beneficial groundwater recharge capabilities.
(8) Otherwise reduce the discharge of pollutants to state waters
from storm water or nonpoint sources.
(d) (1) Grants may be awarded to municipalities, local agencies,
or nonprofit organizations for the development of local watershed
management plans in amounts not to exceed two hundred thousand
dollars ($200,000) per local watershed management plan.
(2) Funding under this subdivision may be used to develop
components of local watershed management plans that contribute to the
development or implementation of species recovery plans.
(e) Grants may be awarded to meet requirements for nonfederal
matching funds set forth in Section 205(j) of the Clean Water Act (33
U.S.C. Sec. 1285(j)) or Section 319(h) of the Clean Water Act (33
U.S.C. Sec. 1329(h)).
(f) Projects funded under this article shall be designed to
withstand substantial flooding and shall include a minimum 10-year
maintenance program and shall demonstrate the potential to provide
watershed benefits for 20 years.
(g) A proponent of a project funded from the subaccount, except a
grant recipient pursuant to subdivision (d), shall be required to
submit to the board a monitoring and reporting plan that does all of
the following:
(1) Describes the baseline water quality of the waterbody
impacted.
(2) Describes the manner in which the proposed watershed
restoration activities are implemented.
(3) Determines the effectiveness of the watershed restoration
activities in preventing or reducing pollution.
(4) Determines, to the extent feasible, the changes in the pattern
of flow in affected streams, including reduction of flood flows and
increases in spring, summer, and fall flows that result from the
implementation of the project.
(5) Determines, to the extent feasible, the economic benefits
resulting from changes determined pursuant to paragraph (3) or (4).
(h) (1) A grant applicant shall inform the board with regard to
necessary public agency approvals, entitlements, and permits that may
be necessary to implement the project. The municipality, local
agency, or nonprofit organization shall certify to the board, at the
appropriate time, that those approvals, entitlements, and permits
have been granted.
(2) A grant applicant shall notify, in writing, adjoining
landowners of its request for funding under this article and the
scope of the project for which the funding is requested. If this
paragraph requires notification of more than 200 landowners,
notification may be made by letter to the owners of record of the 200
largest parcels and by publication for at least 20 days in a local
newspaper of general circulation. Upon completion of the
notification required under this paragraph, the municipality, local
agency, or nonprofit organization shall inform the board that the
notification has occurred.
(i) The board may adopt regulations to carry out this article.
(j) In awarding grants under this article, the board shall
consider the extent to which projects do the following:
(1) Consider the entire ecosystem to be protected or restored.
(2) Include definable targets and desired future conditions.
(3) Support local community institutional capacity to restore the
watershed.
(4) Include community decisionmaking by affected stakeholders in
project design and fund allocation.
(5) Help protect intact or nearly intact ecosystems and
watersheds.
(6) Consider the economic benefits of the restoration project or
program.
(7) Address the root causes of degradation, rather than the
symptoms.
(8) Maximize the use of other restoration funds.
(9) Include an educational component, if appropriate.
(10) Improve the quality of drinking water and support other
beneficial uses of waters of the state, including coastal waters.
79081. A grant recipient shall obtain written permission from the
landowners of the parcel of land upon which the project is proposed
to be carried out. The written permission shall expressly consent to
the actions described in the grant application.
79082. Not more than 25 percent of a grant may be awarded in
advance of actual expenditures.
79083. (a) A grant recipient shall submit to the board a report
upon the completion of the project or activity funded under this
article. The report shall summarize the completed project and
identify additional steps necessary to achieve the purposes of the
local watershed management plan. The board shall make the report
available to interested federal, state, and local agencies and other
interested parties.
(b) The board shall prepare and submit to the Governor a biennial
report regarding the implementation of this article. The biennial
report shall include, at a minimum, a discussion relating to the
extent to which the purposes described in Section 79077 are being
furthered by the implementation of this article.
79084. (a) Of the funds transferred pursuant to Section 79076, at
least thirty-five million dollars ($35,000,000) shall be for grants
to small communities.
(b) For the purposes of this article, "small community" means a
municipality with a population of 10,000 persons or less, a rural
county, or a reasonably isolated and divisible segment of a larger
municipality where the population of the segment is 10,000 persons or
less, with a financial hardship as determined by the board.
(c) If the board determines that any of the funds made available
for grants under this section will not be encumbered for that purpose
on or before January 1, 2007, the board may use these funds for
other purposes of this article.
79085. The board shall give added consideration to projects that
utilize the services of the California Conservation Corps, community
conservation corps, or other local nonprofit entities employing
underprivileged youths.
79085.5. Notwithstanding any other provision of this article, the
following amounts from the subaccount, upon appropriation by the
Legislature, shall be allocated as follows:
(a) The sum of two million dollars ($2,000,000) to the board for
allocation to the Pajaro River Watershed Flood Prevention Authority
for a hydrologic study with regard to the Pajaro River Watershed.
(b) The sum of one million dollars ($1,000,000) to the board for
allocation to the County of Sonoma to develop and implement
community-based watershed management activities that will protect,
restore, and enhance the environmental and economic value of the
Russian River Watershed in the County of Sonoma.
(c) The sum of five million dollars ($5,000,000) to the board for
the Clover Creek Flood Protection and Environmental Enhancement
Project to provide for the acquisition, restoration, and conservation
of low-flow stream channel, open water, seasonal wetlands, riparian
habitat, oak woodland regeneration, and grassland meadow
preservation.
(d) The sum of two million dollars ($2,000,000) to the board to
rehabilitate and improve the Clear Lake Watershed by funding one or
more of the following projects or activities: Clear Lake Basin 2000
Project, aeration, wetlands restoration, fishery enhancement, and
wastewater treatment, or for grants awarded by the board to local
public agencies for any of these purposes. The first priority for
funding under this subdivision is for a grant award to fund eligible
expenses of the Basin 2000 Project.
(e) To the maximum extent feasible, the watershed restoration and
flood control projects described in this subdivision shall do one or
more of the following:
(1) Preserve agricultural land.
(2) Protect and enhance wildlife habitat.
(3) Protect and enhance recreational and environmental education
resources.
(4) Protect lake water quality.
79086. Notwithstanding any other provision of law, the board
shall terminate any grant where it is determined that the project is
not providing the proposed watershed benefits.
79087. Not more than 5 percent of the total amount deposited in
the subaccount may be used to pay costs incurred in connection with
the administration of this article.
79088. Where recovery plans for coho salmon, steelhead trout, or
other threatened or endangered aquatic species exist, projects funded
under this article shall be consistent with those plans, and to the
extent feasible, shall seek to implement actions specified in those
plans.
Article 3. Water and Watershed Education Program
79090. (a) There is hereby created in the account the Water and
Watershed Education Subaccount.
(b) For the purposes of this article, "subaccount" means the Water
and Watershed Education Subaccount created by subdivision (a).
79091. The sum of eight million dollars ($8,000,000) is hereby
transferred from the account to the subaccount for the purposes of
implementing this article.
79092. Three million dollars ($3,000,000) in the subaccount, upon
appropriation by the Legislature to the department, may be used by
the department for allocation to California State University, Fresno
for the purposes of establishing and furthering the purposes of the
San Joaquin Valley Water Institute at that campus.
79093. Two million dollars ($2,000,000) in the subaccount, upon
appropriation by the Legislature to the department, shall be used by
the department for the development of a Delta Science Center,
including, but not limited to, all of the following components:
(a) Public educational opportunities.
(b) Wildlife and habitat enhancement.
(c) Preservation of agricultural lands.
(d) Enhanced levee protection and rehabilitation.
(e) Water quality improvements.
(f) Nonstructural flood protection.
79094. Three million dollars ($3,000,000) in the subaccount, upon
appropriation by the Legislature to the University of California,
may be used for the purpose of site acquisition, construction, and
equipping of a Watershed Science Laboratory, for long-term monitoring
and research with regard to the hydrology, geomorphology, water
quality and aquatic and riparian ecology of the north delta and its
tributary watersheds.
Article 4. River Protection Program
79100. (a) There is hereby created in the account the River
Protection Subaccount.
(b) For the purposes of this article, "subaccount" means the River
Protection Subaccount created by subdivision (a).
79101. The sum of ninety-five million dollars ($95,000,000) is
hereby transferred from the account to the subaccount for the
purposes of implementing this article.
79102. The money in the subaccount, upon appropriation by the
Legislature, may be used to meet the requirements of Article 6
(commencing with Section 78682) of Chapter 6 of Division 24.
79103. At least 60 percent of the funds transferred pursuant to
Section 79101 shall be used for projects that are located in, or in
close proximity to, major metropolitan areas.
79103.2. Notwithstanding any other provision of this article, of
the funds transferred pursuant to Section 79101, ten million dollars
($10,000,000) shall, upon appropriation
to the department, be allocated to the San Joaquin River
Parkway Conservancy for the purposes of the San Joaquin River
Parkway.
79103.4. Notwithstanding any other provision of this article, of
the funds transferred pursuant to Section 79101, two million five
hundred thousand dollars ($2,500,000) in the subaccount shall be used
by the department, upon appropriation, for the purpose of the Kern
River Parkway Project between the mouth of Kern Canyon and Interstate
Highway Route 5.
79104. Not more than 3 percent of the total amount deposited in
the subaccount may be used to pay the costs incurred in connection
with the administration of this article.
Article 5. Southern California Integrated Watershed Program
79104.20. The Legislature hereby finds and declares all of the
following:
(a) The Santa Ana Watershed is experiencing increased water
demands due to significant population growth that has caused undue
infrastructure dependence and strain on imported water supplies.
(b) Regional programs have been developed to address the problems
facing the watershed. These programs have four main elements, as
follows:
(1) Storage of more than one million acre-feet of water from wet
years in groundwater storage basins.
(2) Conservation, including water use efficiency and reclamation,
that results in the substantial development of new usable supplies.
(3) Desalting and treatment of brackish water to allow poor
quality water to be reclaimed and used.
(4) Enhancement of native habitat along the river and its
tributaries.
(c) The water supply programs proposed by the Santa Ana Watershed
Project Authority will develop significant new water supply and
storage capabilities, thereby reducing the imported water needs of
urban southern California, especially during dry years.
79104.22. (a) There is hereby created in the account the Santa
Ana River Watershed Subaccount.
(b) For purposes of this article, "subaccount" means the Santa Ana
River Watershed Subaccount created by subdivision (a).
79104.24. The sum of two hundred thirty-five million dollars
($235,000,000) is hereby transferred from the account to the
subaccount.
79104.26. The money in the subaccount, upon appropriation by the
Legislature to the board, may be used by the board for allocation to
the Santa Ana Watershed Project Authority for all of the following
projects for the purposes of rehabilitating and improving the Santa
Ana River Watershed:
(a) Basin water banking in one or more of the following basins:
Chino, Colton, Orange County, Riverside, San Bernardino, and San
Jacinto.
(b) Contaminant and salt removal through reclamation and desalting
in Orange County, San Jacinto, or other basins in the watershed.
(c) Removal of nonnative plants, and the creation of new open
space and wetlands.
(d) Programs for water conservation and efficiency and storm water
capture and management.
(e) Planning and implementation of a flood control program to
protect agricultural operations and adjacent property , to assist in
abating the effects of waste discharges into waters of the state,
consistent with the requirements of Section 13442.
79104.30. It is the intent of the Legislature to urge the federal
government to allocate funds for projects to improve the Santa Ana
River Watershed to match the state's financial commitment to the
projects described in this article.
79104.32. It is the intent of the Legislature that the
expenditure of the funds under this article be made through a
broad-based watershed stakeholder process.
79104.34. Not more than 3 percent of the total amount deposited
in the subaccount may be used to pay costs incurred by the board in
connection with the administration of this article.
Article 6. Lake Elsinore and San Jacinto Watershed Program
79104.100. (a) There is hereby created in the account the Lake
Elsinore and San Jacinto Watershed Subaccount.
(b) For the purposes of this article, "subaccount" means the Lake
Elsinore and San Jacinto Watershed Subaccount created by subdivision
(a).
79104.102. The sum of fifteen million dollars ($15,000,000) is
hereby transferred from the account to the subaccount.
79104.104. The money in the subaccount, upon appropriation by the
Legislature to the board, may be used by the board to rehabilitate
and improve the Lake Elsinore Watershed and San Jacinto Watershed and
the water quality of Lake Elsinore by funding one or more of the
following projects: watershed monitoring, storm channel
modification, nutrient control, aeration, wetlands restoration and
enhancement, wildlife habitat enhancement, fishery enhancement,
calcium quicklime treatment, and sediment removal, or for grants
awarded by the board to the Santa Ana Watershed Project Authority,
other joint powers authorities, or local public agencies for any of
these purposes, and for related planning and administrative costs.
79104.106. To the maximum extent feasible, the watershed
management and flood control projects described in Section 79104.104
shall do one or more of the following:
(a) Preserve agricultural land.
(b) Protect wildlife habitat.
(c) Protect and enhance recreational resources.
(d) Improve lake water quality.
79104.108. It is the intent of the Legislature to urge the
federal government to allocate funds for projects to improve the Lake
Elsinore Watershed and San Jacinto Watershed, and lake water quality
by matching the state's financial commitment to those projects.
79104.110. The funds appropriated pursuant to Section 79104.104
shall be allocated to a joint powers agency consisting of the City of
Lake Elsinore, the Santa Ana Watershed Project Authority, the
Elsinore Valley Municipal Water District and other agencies for
implementation of programs to improve the water quality and habitat
of Lake Elsinore, and its back basin consistent with the Lake
Elsinore Management Plan.
79104.114. Not more than 3 percent of the total amount deposited
in the subaccount may be used to pay costs incurred in connection
with the administration of this article.
Article 7. Coastal Watershed Salmon Habitat Program
79104.200. (a) There is hereby created in the account the Coastal
Watershed Salmon Habitat Subaccount.
(b) For the purpose of this article, "subaccount" means the
Coastal Watershed Salmon Habitat Subaccount created by subdivision
(a).
79104.202. The sum of twenty-five million dollars ($25,000,000)
is hereby transferred from the account to the subaccount for the
purposes of implementing this article.
79104.204. The money in the subaccount, upon appropriation by the
Legislature to the Department of Fish and Game, shall be used by the
Department of Fish and Game for direct expenditure and for grants to
public agencies and nonprofit organizations to protect, restore,
acquire, and enhance habitat for salmon. These funds may be used to
match federal funding available for those purposes.
79104.206. Not more than 3 percent of the total amount deposited
in the subaccount may be used to pay the costs incurred in connection
with the administration of this article.
CHAPTER 7. CLEAN WATER AND WATER RECYCLING PROGRAM
Article 1. Clean Water and Water Recycling Account
79105. For the purposes of this chapter, "account" means the
Clean Water and Water Recycling Account created by Section 79106.
79106. The Clean Water and Water Recycling Account is hereby
created in the fund. The sum of three hundred fifty-five million
dollars ($355,000,000) hereby transferred from the fund to the
account.
Article 2. Nonpoint Source Pollution Control Program
79110. The purpose of this article is to provide grant funding
for projects that protect the beneficial uses of water throughout the
state through the control of nonpoint source pollution.
79111. Unless the context otherwise requires, the following
definitions govern the construction of this article:
(a) "Best management practices" means those practices or set of
practices determined by the board, a regional board, or the water
quality planning agency for a designated area to be the most
effective feasible means of preventing or reducing the generation of
a specific type of nonpoint source pollution, given technological,
institutional, environmental, and economic constraints.
(b) "Capital costs" has the same meaning as "cost," as defined in
Section 32025 of the Public Resources Code.
(c) "Management measures" means economically achievable measures
to prevent or control the addition of pollutants to state waters,
which reflect the greatest degree of pollutant prevention achievable
through the application of the best available nonpoint source
pollution control practices, technologies, processes, siting
criteria, operating methods, or other alternatives.
(d) "Regional board" means a regional water quality control board.
(e) "Subaccount" means the Nonpoint Source Pollution Control
Subaccount created by Section 79112.
79112. There is hereby created in the account the Nonpoint Source
Pollution Control Subaccount.
79113. The sum of one hundred million dollars ($100,000,000) is
hereby transferred from the account to the subaccount for the
purposes of implementing this article.
79114. (a) The money in the subaccount, upon appropriation by the
Legislature to the board, may be used by the board to award grants,
not to exceed five million dollars ($5,000,000) per project, to local
public agencies or nonprofit organizations formed by landowners to
prepare and implement local nonpoint source plans. Grants shall only
be awarded for any of the following projects:
(1) A project that is consistent with local watershed management
plans that are developed under subdivision (d) of Section 79080 and
with regional water quality control plans.
(2) A broad-based nonpoint source project, including a project
identified in the board's "Initiatives in NPS Management," dated
September 1995, and nonpoint source technical advisory committee
reports.
(3) A project that is consistent with the "Integrated Plan for
Implementation of the Watershed Management Initiative" prepared by
the board and the regional boards.
(4) A project that implements management measures and practices or
other needed projects identified by the board pursuant to its
nonpoint source pollution control program's 15-year implementation
strategy and five-year implementation plan that meets the
requirements of Section 6217(g) of the federal Coastal Zone Act
Reauthorization Amendments of 1990.
(b) The projects funded from the subaccount shall demonstrate a
capability of sustaining water quality benefits for a period of 20
years. Categories of nonpoint source pollution addressed by projects
may include, but are not limited to: silviculture, agriculture,
urban runoff, mining, hydromodification, grazing, onsite disposal
systems, boatyards and marinas, and animal feeding operations.
Projects to address nonpoint source pollution may include, but are
not limited to, wildfire management, installation of vegetative
systems to filter or retard pollutant loading, incentive programs or
large scale demonstration programs to reduce commercial reliance on
polluting substances or to increase acceptance of alternative methods
and materials, and engineered features to minimize impacts of
nonpoint source pollution. Projects shall have defined water quality
or beneficial use goals.
(c) Projects funded from the subaccount shall utilize best
management practices, management measures, or both.
(d) If projects include capital costs, those costs shall be
identified by the project applicant. The grant recipient shall
provide a matching contribution for the portion of the project
consisting of capital expenditures for construction, according to the
following formula:
Project Capital Cost/Capital Cost Match by Recipient
$1,000,000 to $5,000,000, inclusive ..................... 20%
$125,000 to $999,999, inclusive ......................... 15%
$1 to $124,999, inclusive ............................... 10%
(e) Not more than 25 percent of a grant may be awarded in advance
of actual expenditure.
(f) A proponent of a project funded from the subaccount shall be
required to submit to the board a monitoring and reporting plan that
does all of the following:
(1) Identifies one or more nonpoint sources of pollution.
(2) Describes the baseline water quality of the waterbody
impacted.
(3) Describes the manner in which the proposed practices or
measures are implemented.
(4) Determines the effectiveness of the proposed practices or
measures in preventing or reducing pollution.
(g) Notwithstanding subdivision (b), the board may award up to 5
percent of the total amount deposited in the subaccount for
demonstration projects that are intended to prevent, reduce, or treat
nonpoint source pollution.
(h) A grant recipient shall submit a report to the board, upon
completion of the project, that summarizes completed activities and
indicates whether the purposes of the project have been met. The
report shall include information collected by the grant recipient in
accordance with the project monitoring and reporting plan, including
a determination of the effectiveness of the best management practices
or management measures implemented as part of the project in
preventing or reducing nonpoint source pollution. The board shall
make the report available to watershed groups, and federal, state,
and local agencies.
79114.2. Notwithstanding any other provision of this article, the
sum of five million dollars ($5,000,000) is hereby appropriated from
the subaccount, to the board to be used by the board, after
consultation with the Department of Food and Agriculture, for loans,
not to exceed five hundred thousand dollars ($500,000) per loan, to
provide low interest loans to finance the construction of projects
designed to manage animal nutrients from animal feeding operations.
Grants may be made available to local public agencies to pay for the
cost of developing ordinances, regulations, and elements for their
General Plan or other planning devices to assist in providing uniform
standards for the permitting and operation of animal feeding
operations within their jurisdictions. These funds may also be used
for the preparation of the related environmental reviews that may be
necessary under the California Environmental Quality Act (Division 13
(commencing with Section 21000) of the Public Resources Code) for
approval of the devices.
79114.3. No project shall receive funds under this article if it
receives funds pursuant to Article 5 (commencing with Section 79148).
79114.5. (a) Sixty percent of the money in the subaccount shall
be allocated to projects in the Counties of Riverside, Ventura, Los
Angeles, San Diego, Orange, or San Bernardino.
(b) Forty percent of the money in the subaccount shall be
allocated to projects in counties not described in subdivision (a).
(c) This section does not apply to Section 79114.2 or Section
79117.
79115. The board may adopt regulations to implement this article.
79116. Not more than 5 percent of the total amount deposited in
the subaccount may be used to pay the costs incurred in connection
with the administration of this article.
79117. (a) Notwithstanding any other provision of this article,
of the funds transferred pursuant to Section 79113, the sum of ten
million dollars ($10,000,000), upon appropriation by the Legislature
to the board, may be used by the board, after consultation with the
Department of Pesticide Regulation and the Office of Environmental
Health Hazard Assessment, for grants as follows:
(1) Two million dollars ($2,000,000) for research and source
identification.
(2) Eight million dollars ($8,000,000) for mitigation measures to
protect water quality from potential adverse effects of pesticides,
which measures have the ability to provide benefits for a period of
20 years, as determined by the board after consultation with the
Department of Pesticide Regulation and the Office of Environmental
Health Hazard Assessment.
(b) The board shall adopt regulations to carry out this section.
Article 3. Clean Water Program
79120. Unless the context otherwise requires, the following
definitions govern the construction of this article:
(a) "Eligible project" means a project or activity described in
paragraph (1), (2), (3), or (4) of subdivision (a) of Section 13480
that is all of the following:
(1) Necessary to prevent water pollution, reclaim water, or
improve water quality.
(2) Eligible for funds from the State Revolving Fund Loan
Subaccount or federal assistance.
(3) Certified by the board as entitled to priority over other
eligible projects.
(4) Complies with applicable water quality standards, policies,
and plans.
(b) "Federal assistance" means money provided to a municipality,
either directly or through allocation by the state, from the federal
government to construct eligible projects pursuant to the Clean Water
Act.
(c) "Municipality" has the same meaning as defined in the Clean
Water Act and also includes the state or any agency, department, or
political subdivision thereof, and applicants eligible for technical
assistance under Section 319 (33 U.S.C. Sec. 1329) or grants under
Section 320 of the Clean Water Act (33 U.S.C. Sec. 1330).
(d) "Small community" means a municipality with a population of
10,000 persons or less, or a reasonably isolated and divisible
segment of a larger municipality where the segment of the population
is 10,000 persons or less, with a financial hardship as determined by
the board.
(e) "Treatment works" has the same meaning as defined in the Clean
Water Act.
79121. There is hereby created in the account all of the
following subaccounts:
(a) The State Revolving Fund Loan Subaccount.
(b) The Small Communities Grant Subaccount.
(c) The Wastewater Construction Grant Subaccount.
79122. (a) The following amounts are hereby transferred from the
account to the following subaccounts and, notwithstanding Section
13340 of the Government Code, are hereby continuously appropriated,
without regard to fiscal years, to the board, as follows:
(1) Thirty million five hundred thousand dollars ($30,500,000) to
the State Revolving Fund Loan Subaccount for the purposes of
providing loans pursuant to the Clean Water Act, to aid in the
construction or implementation of eligible projects, and for the
purposes described in Section 79124.
(2) Thirty-four million dollars ($34,000,000) to the Small
Communities Grant Subaccount for grants by the board to small
communities for construction of eligible treatment works, and for the
purposes described in Section 79124.
79122.2. The sum of thirty-five million five hundred thousand
dollars ($35,500,000) is hereby transferred from the account to the
Wastewater Construction Grant Subaccount and, upon appropriation by
the Legislature to the board, may be used by the board for the
purposes of providing grants to aid in the construction of treatment
works for the Cities of Manteca, Stockton, Tracy, and Orange Cove.
79122.4. The board may transfer unallocated funds from the State
Revolving Fund Loan Subaccount to the State Water Pollution Control
Revolving Fund created pursuant to Section 13477 for the purposes of
meeting federal requirements for state matching funds to provide
loans in accordance with the Clean Water Act.
79123. The board may adopt regulations to carry out this article.
79124. The board may, by contract or otherwise, undertake plans,
surveys, research, development, and studies necessary or desirable to
carry out this article, and may prepare recommendations with regard
thereto, including the preparation of comprehensive statewide or
areawide studies and reports on the collection, treatment, and
disposal of waste, and wastewater recycling. For the purposes of
this section, "research" may include the design, acquisition,
installation, or construction of monitoring and testing equipment and
related facilities.
79125. Not more than 3 percent of the total amount deposited in
each subaccount created pursuant to this article may be used to pay
the costs incurred in connection with the administration of this
article.
79126. Not more than 2 percent of the total amount deposited in
each subaccount under this article may be used for the purposes of
Section 79124.
79127. For the purposes of implementing paragraph (1) of
subdivision (a) of Section 79122, the board may make loans to
municipalities, pursuant to contract, to aid in the construction or
implementation of eligible projects.
79128. (a) For purposes of paragraph (2) of subdivision (a) of
Section 79122, the board may make grants to small communities so that
any state grant does not exceed 971/2 percent of the eligible cost
of necessary studies, planning, design, and construction of the
eligible project determined in accordance with applicable state law
and regulations.
(b) The total amount of grants made pursuant to paragraph (2) of
subdivision (a) of Section 79122, for any single project, may not
exceed three million five hundred thousand dollars ($3,500,000).
79128.5. For the purposes of paragraph (3) of subdivision (a) of
Section 79122, the board may make grants for the cost of planning,
design, and construction of treatment works necessary to comply with
waste discharge requirements.
79129. Any contract entered into pursuant to this article for a
loan or grant may include provisions determined by the board, and
shall include all of the following provisions:
(a) An estimate of the reasonable cost of the project.
(b) A description of the type of assistance being offered.
(c) An agreement by the board to pay to the municipality or small
community, during the progress of the project or following
completion, as agreed upon by the parties, the amount specified in
the contract determined pursuant to applicable federal and state
laws.
(d) An agreement by the municipality or small community to proceed
expeditiously with, and complete, the project, commence operation of
the project upon completion, properly operate and maintain the
project in accordance with applicable provisions of law, and provide
for payment of its share of the costs of the project.
79130. All contracts entered into pursuant to this article for
loans or grants are subject to both of the following requirements:
(a) Municipalities seeking assistance shall demonstrate, to the
satisfaction of the board, that an adequate opportunity for public
participation regarding the project has been provided.
(b) Any election held with respect to the project shall include
the voters of the entire municipality unless the municipality
proposes to accept the assistance on behalf of a specified portion or
portions of the municipality, in which case the election shall be
held in that portion or portions of the municipality only.
79131. Any loan made pursuant to Section 79127 shall meet the
requirements of paragraph (1) of subdivision (b) of Section 13480.
79132. All principal and interest payments received pursuant to
loan contracts entered into pursuant to this article shall be
deposited in the State Revolving Fund Loan Subaccount for the
purposes of entering into additional loans under this article, and
shall not be transferred to the General Fund.
79133. (a) Notwithstanding any other provision of this article,
of the continuously appropriated funds described in paragraph (1) of
subdivision (a) of Section 79122, the sum of seven million dollars
($7,000,000) shall be used by the Department of Toxic Substances
Control for allocation to local agencies for groundwater remediation
projects.
(b) The Department of Toxic Substances Control shall adopt
regulations to carry out this subdivision.
Article 4. Water Recycling Program
79135. Unless the context otherwise requires, the following
definitions govern the construction of this article:
(a) "Municipality" has the same meaning as that set forth in
subdivision (c) of Section 79120.
(b) "Subaccount" means the Water Recycling Subaccount created by
Section 79136.
(c) "Water recycling project" means a water recycling project that
meets applicable reclamation criteria and water reclamation
requirements and that complies with applicable water quality
standards, policies, and plans.
79136. There is hereby created in the account the Water Recycling
Subaccount.
79137. (a) The sum of forty million dollars ($40,000,000) is
hereby transferred from the account to the subaccount for the
purposes of this article.
(b) (1) Sixty percent of the money in the subaccount shall be
allocated to projects in the Counties of Riverside, Ventura, Los
Angeles, San Diego, Orange, or San Bernardino.
(2) Forty percent of the money in the subaccount shall be
allocated to projects in counties not described in paragraph (1).
79138. Unallocated funds remaining in the Water Recycling
Subaccount in the Clean Water and Water Recycling Account in the
Safe, Clean, Reliable Water Supply Fund on March 8, 2000, and any
funds deposited into that subaccount after that date, shall be
transferred to, and all money repaid to the state pursuant to any
loan contract executed under Chapter 17 (commencing with Section
14050) of Division 7 or Article 3 (commencing with Section 78620) of
Chapter 5 of Division 24 shall be deposited in, the subaccount for
the purposes of this article.
79139. The board may enter into an agreement with the federal
government for federal contributions to the subaccount if all of the
following conditions have been met:
(a) The board has identified any required matching funds.
(b) The board is prepared to commit to the expenditure of any
minimum amount in the subaccount in the manner required by the Clean
Water Act.
(c) Any agreement between the board and the federal government is
consistent with the purposes of this article.
79140. (a) Notwithstanding Section 13340 of the Government Code,
50 percent of the money in the subaccount is hereby continuously
appropriated, without regard to fiscal years, to the board for loans
to municipalities for the design and construction of water recycling
projects in accordance with Section 79141, and for the purposes
described in Sections 79143, 79144, and Section 79145.
(b) Fifty percent of the money in the subaccount, upon
appropriation by the Legislature to the board, may be used by the
board for grants to municipalities for the design and construction of
water recycling projects in accordance with Section 79141.
79141. The board may enter into agreements with municipalities
for loans and grants for projects to recycle water in accordance with
this article. Criteria to be considered by the board in determining
whether to enter into an agreement under this article may include,
but are not limited to, whether the project is a cost-effective means
to meet the state or local water supply needs, when compared to
other sources of water supply that may be available to the
municipality, whether the project is necessary to protect water
quality, the readiness of the municipality to proceed with the design
and construction of water recycling projects, the degree to which
the recycled water improves water supply reliability, water quality,
ecosystem restoration, and other environmental benefits, the net
water savings benefit, the degree to which the recycled water would
reduce water supply demands on the bay-delta system, the Colorado
River, or other water systems critical to regional or statewide water
supply, the ability to encourage development of new water recycling
projects, and the amount of funding that the municipality is
requesting under this article. The cost effectiveness of a project
when compared to other sources of state or local water supply shall
not be the sole factor in determining whether to enter into an
agreement.
79142. An agreement entered into pursuant to Section 79141 may
include those provisions determined by the board to be necessary for
the purposes of this article.
79142.2. (a) A contract for a loan made pursuant to this article
may not provide for a moratorium on, or the deferment of, the payment
of the principal of, or interest on, the loan.
(b) Any loan made pursuant to Section 79141 shall be for a period
not to exceed 20 years.
(c) The board may enter into a contract for a loan that equals up
to 100 percent of the total eligible cost of design and construction
of an eligible recycling project.
79142.4. (a) The board may establish the interest rate for a loan
made pursuant to this article at a rate equal to 50 percent of the
interest rate paid by the state on the most recent sale of state
general obligation bonds, to be computed according to the true
interest cost method.
(b) If the interest rate so determined is not a multiple of
one-tenth of 1 percent, the interest rate shall be set at the next
higher multiple of one-tenth of 1 percent.
(c) The interest rate set for each contract shall be applied
throughout the repayment period of the contract. There shall be a
level annual repayment of principal and interest on the loans.
79142.6. All principal and interest payments received pursuant to
loan contracts executed pursuant to this article shall be deposited
in the subaccount for the purposes of this article, and shall not be
transferred to the General Fund.
79142.8. All interest earned by assets in the subaccount shall be
deposited in the subaccount.
79143. The board may make grants to municipalities for facility
planning studies for water recycling projects. The amount of the
grants may not exceed seventy-five thousand dollars ($75,000) per
study.
79144. The board may, by contract or otherwise, undertake plans,
surveys, research, development, and studies necessary or desirable to
carry out this article, and may prepare recommendations with regard
thereto, including the preparation of comprehensive statewide or
areawide studies and reports on the collection, treatment, and
disposal of waste and wastewater recycling. For the purposes of this
section, "research" may include the design, acquisition,
installation, or construction of monitoring and testing equipment and
related facilities.
79145. (a) Not more than 3 percent of the total amount deposited
in the subaccount may be used to pay the costs incurred in connection
with the administration of this article.
(b) Not more than 3 percent of the total amount deposited in the
subaccount may be used for the purposes of Section 79144.
79146. Notwithstanding any other provision of this article, the
money in the subaccount may not be used to provide financial
assistance to any water recycling project used to augment water
supplies by discharging recycled water into a surface water reservoir
that supplies water directly to a treatment facility for a water
supply system that serves domestic uses.
79147. (a) The board may adopt regulations to carry out this
article.
(b) The board is encouraged to expedite the review and processing
of agreements to carry out the purposes of this article. The board
shall report to the Legislature on the progress of implementing this
article on or before June 30, 2001.
Article 5. Coastal Nonpoint Source Control Program
79148. The purpose of this article is to provide funding for
projects that restore and protect the water quality and environment
of coastal waters, estuaries, bays, and near share waters and
groundwaters.
79148.2. Unless the context otherwise requires, the following
definitions govern the construction of this article:
(a) "Educational institution" means community colleges, state
colleges, and the University of California.
(b) "Local public agency" means any city, county, city and county,
district, or other political subdivision of the state.
(c) "Municipality" has the same meaning as defined in the Clean
Water Act and also includes the state or any agency, department, or
political subdivision thereof, and applicants eligible for technical
assistance under Section 319 (33 U.S.C. Sec. 1329) or grants under
Section 320 of the Clean Water Act (33 U.S.C. Sec. 1330).
(d) "Nonprofit organization" means any California corporation
organized under Section 501(c)(3) or 501(c)(5) of the Internal
Revenue Code.
(e) "Regional board" means a regional water quality control board.
(f) "Subaccount" means the Coastal Nonpoint Source Control
Subaccount created by Section 79148.4.
79148.4. There is hereby created in the account the Coastal
Nonpoint Source Control Subaccount.
79148.6. The sum of ninety million dollars ($90,000,000) is
hereby transferred from the account to the subaccount for the
purposes of implementing this article.
79148.7. Notwithstanding any other provision of this article, the
sum of four million dollars ($4,000,000), upon appropriation by the
Legislature to the board, shall be allocated by the board to the City
of Huntington Beach to fund multiagency studies to establish
recommendations to address coastal nonpoint source pollution in the
tidal marshes and coastal waters, and to implement those
recommendations. Agencies authorized to conduct the studies and
implement the recommendations may include, but need not be limited
to, municipal and county governments, flood control districts, and
sanitation districts.
79148.8. (a) The money in the subaccount, upon appropriation by
the Legislature to the board, may be used by the board, in
consultation with the California Coastal Commission, to award loans
as provided in subdivision (b), and to award grants not to exceed
five million dollars ($5,000,000) per project, to municipalities,
local public agencies, educational institutions, or nonprofit
organizations for the purposes of this article. Grants may be
awarded for any of the following projects:
(1) A project designed to improve water quality at public beaches
and to make improvements for the purpose of ensuring that coastal
waters adjacent to public beaches meet the bacteriological standards
set forth in Article 2 (commencing with Section 115880) of Chapter 5
of Part 10 of Division 104 of the Health and Safety Code.
(2) A project to provide comprehensive capability for monitoring,
collecting, and analyzing ambient water quality, including monitoring
technology that can be entered into a statewide information base
with standardized protocols and sampling, collection, storage and
retrieval procedures.
(3) A project to make improvements to existing sewer collection
systems and septic systems for the restoration and protection of
coastal water quality.
(4) A project designed to implement storm water and runoff
pollution reduction and prevention programs for the restoration and
protection of coastal water quality.
(5) A project that is consistent with the state's nonpoint source
control program, as revised to meet the requirements of Section 6217
of the federal Coastal Zone Act Reauthorization Amendments of 1990,
Section 319 of the federal Clean Water Act (33 U.S.C. Sec. 1329), and
the requirements of Division 7 (commencing with Section 13000).
(b) In addition to the grants authorized pursuant to subdivision
(a), the board may make loans not to exceed five million dollars
($5,000,000) per project to municipalities, local public agencies,
educational institutions, or nonprofit organizations for the purposes
set forth in paragraph (3) of subdivision (a).
(c) The projects funded from the subaccount shall demonstrate the
capability of contributing to sustained, long-term water quality or
environmental restoration or protection benefits for a period of 20
years, shall address the causes of degradation, rather than the
symptoms, and shall be consistent with water quality and resource
protection plans prepared, implemented, or adopted by the board, the
applicable regional water quality control board, and the California
Coastal Commission.
(d) An applicant for funds from the subaccount shall be required
to submit to the board a monitoring and reporting plan that does all
of the following:
(1) Identifies the nonpoint source or sources of pollution to be
prevented or reduced by the project.
(2) Describes the baseline water quality or quality of the
environment to be addressed.
(3) Describes the manner in which the project will be effective in
preventing or reducing pollution and in demonstrating the desired
environmental results.
(e) Upon completion of the project, a recipient of funds from the
subaccount shall submit a report to the board that summarizes the
completed activities and indicates whether the purposes of the
project have been met. The report shall include information
collected by the recipient in accordance with the project monitoring
and reporting plan, including a determination of the effectiveness of
the project in preventing or reducing pollution. The board shall
make the report available to the public, watershed groups, and
federal, state, and local agencies.
(f) If projects include capital costs for construction, those
costs shall be identified by the project applicant. The grant
recipient shall provide a matching contribution for the portion of
the project consisting of capital costs for construction, according
to the following formula:
Capital Cost Project Cost/Capital Cost Match by Recipient
$1,000,000 to $5,000,000, inclusive ....................... 20%
$125,000 to $999,999, inclusive ........................... 15%
$1 to $124,999, inclusive ................................. 10%
For the purposes of this subdivision, "capital costs" has the same
meaning as "cost" as defined in Section 32025 of the Public
Resources Code.
(g) Not more than 25 percent of a grant may be awarded in advance
of actual expenditure.
(h) An applicant for funds from the subaccount shall inform the
board of any necessary public agency approvals, entitlements, and
permits that may be necessary to implement the project. The
application shall certify to the board, at the appropriate time, that
those approvals, entitlements, and permits have been granted.
(i) Where recovery plans for coho salmon, steelhead trout, or
other threatened or endangered aquatic species exist, projects funded
under this article shall be consistent with those plans, and to the
extent feasible, shall seek to implement actions specified in those
plans.
79148.10. (a) Sixty percent of the money in the subaccount shall
be allocated to projects in the Counties of Riverside, Ventura, Los
Angeles, San Diego, Orange, or San Bernardino.
(b) Forty percent of the money in the subaccount shall be
allocated to projects in the counties not described in subdivision
(a).
79148.12. The board shall provide opportunity for public review
and comment in awarding funds pursuant to this article, and may, in
consultation with the California Coastal Commission, adopt
regulations to implement this article.
79148.14. No project shall receive funds under this article if it
receives funds pursuant to Article 2 (commencing with Section
79110).
79148.15. Notwithstanding any other provision of this article,
three million dollars ($3,000,000), upon appropriation by the
Legislature to the board, shall be allocated by the board to the San
Diego County Water Authority for environmental studies and
engineering studies for the San Diego Regional Conveyance Facility.
79148.16. Not more than 5 percent of the total amount deposited
in the subaccount may be used to pay the costs incurred in connection
with the administration of this article.
Article 6. Seawater Intrusion Control
79149. Unless the context otherwise requires, the following
definitions govern the construction of this article:
(a) (1) "Eligible seawater intrusion control project" means a
project that meets all of the following requirements:
(A) The project is necessary to protect groundwater and meets both
of the following requirements:
(i) The project is within a basin that is subject to a local
groundwater management plan for which a review is completed pursuant
to the California Environmental Quality Act (Division 13 (commencing
with Section 21000) of the Public Resources Code).
(ii) The project is threatened by seawater intrusion in an area
where restrictions on groundwater pumping, a physical solution, or
both, are necessary to prevent the destruction of, or irreparable
injury to, groundwater quality.
(B) In the case of a project that would provide a substitute water
supply, the project is cost-effective when compared to the
development of other new sources of water and includes requirements
or measures adequate to ensure that the substitute supply will be
used in lieu of previously established extractions or diversions of
groundwater.
(C) The project complies with applicable water quality standards,
policies, and plans.
(2) Eligible projects may include, but are not limited to, water
conservation, freshwater well injection, and substitution of
groundwater pumping from local surface supplies.
(b) "Local agency" means any city, county, district, joint powers
authority, or other political subdivision of the state involved in
water management.
(c) "Subaccount" means the Seawater Intrusion Control Subaccount
created by Section 79149.2.
79149.2. (a) There is hereby created in the account the Seawater
Intrusion Control Subaccount. The sum of twenty-five million dollars
($25,000,000) is hereby transferred from the account to the
subaccount for the purposes of implementing this article.
(b) Notwithstanding Section 13340 of the Government Code, the
money in the subaccount is hereby continuously appropriated, without
regard to fiscal years, to the board for loans to local agencies to
carry out eligible seawater intrusion control projects and for the
purposes described in this article and for the administration of this
article.
79149.3. Unallocated funds remaining in the Seawater Intrusion
Control Subaccount in the Clean Water and Water Recycling Account in
the Safe, Clean, Reliable Water Supply Fund on March 8, 2000, and any
funds deposited into that subaccount after that date, shall be
transferred to, and all money repaid to the state pursuant to any
loan contract executed under Article 6 (commencing with Section
78648) of Chapter 5 of Division 24 shall be deposited in, the
subaccount for the purposes of this article.
79149.4. The board may enter into contracts to make loans to
local agencies for the purposes set forth in this article.
79149.6. Any contract for a loan entered into pursuant to Section
79149.4 may include those provisions determined by the board to be
necessary for the purposes of this article and shall include both of
the following provisions:
(a) An estimate of the reasonable cost of the eligible seawater
intrusion control project.
(b) An agreement by the local agency to proceed expeditiously
with, and complete, the eligible seawater intrusion control project,
commence operation of the project in accordance with applicable
provisions of law, and provide for the payment of the local agency's
share of the cost of the project, including the principal of, and
interest on, the loan.
79149.8. (a) A contract for a loan may not provide for a
moratorium on the payment of the principal of, or interest on, the
loan.
(b) Any loan made pursuant to Section 79149.4 shall be for a
period not to exceed 20 years.
(c) The board may enter into a contract for a loan amount that
equals up to 100 percent of the total eligible cost of design and
construction of an eligible seawater intrusion control project.
79149.10. (a) The board shall establish the interest rate for a
loan made pursuant to this article at a rate equal to 50 percent of
the interest rate paid by the state on the most recent sale of state
general obligation bonds, to be computed according to the true
interest cost method.
(b) If the interest rate so determined is not a multiple of
one-tenth of 1 percent, the interest rate shall be set at the next
higher multiple of one-tenth of 1 percent.
(c) The interest rate set for each contract shall be applied
throughout the repayment period of the contract. There shall be a
level annual repayment of principal and interest on the loans.
79149.12. All principal and interest payments received pursuant
to loan contracts entered into pursuant to this article shall be
deposited in the subaccount.
79149.14. The board may, by contract or otherwise, undertake
plans, surveys, research, development, and studies necessary,
convenient, or desirable to carry out the purposes of this article.
79149.16. Not more than 3 percent of the total amount deposited
in the subaccount may be used to pay for both of the following:
(a) To pay the costs incurred in connection with the
administration of this article.
(b) For the purposes of Section 79149.14.
CHAPTER 8. WATER CONSERVATION PROGRAM
Article 1. Findings and Declarations
79150. The Legislature finds and declares that:
(a) Voluntary, cost-effective capital outlay water conservation
programs can help meet the growing demand for clean and abundant
water supplies throughout the state.
(b) The participation of the state in the construction of local
water conservation projects is desirable to further the effective
management of the water resources of the state.
Article 2. General Provisions
79151. Unless the context otherwise requires, the following
definitions govern the construction of this chapter:
(a) "Account" means the Water Conservation Account created by
Section 79152.
(b) (1) "Water conservation program or project" means those
feasible capital outlay measures undertaken to improve the efficiency
of water use through projects, the benefits of which exceed the
costs.
(2) The programs include, but are not limited to, all of the
following:
(A) The lining or piping of ditches.
(B) Improvements in water distribution system controls such as
automated canal control, construction of small reservoirs within
distribution systems that conserve water that has already been
captured for use, and related physical improvements.
(C) Tailwater pumpback recovery systems.
(D) Major improvements to, or replacement of, deteriorated
distribution systems to reduce leakage and maximize conservation.
(E) Capital outlay features of agricultural water conservation
programs identified in the "Memorandum of Understanding Regarding
Efficient Agricultural Water Management Practices," dated July 16,
1997, and endorsed by the Agricultural Water Management Council, and
any amendments thereto.
(c) "Economically disadvantaged area" means any area of the state
for which both of the following statements apply:
(1) A median household income that is less than forty thousand
dollars ($40,000) based on the most recent federal census.
(2) An annual average unemployment rate that is greater than 9
percent based on the most recent federal census.
(d) (1) "Groundwater recharge facilities" means lands and
facilities for artificial groundwater recharge through methods that
include, but are not limited to, percolation using basins, pits,
ditches, and furrows, modified streambeds, flooding, and well
injection. For the purposes of this chapter, expenditures for
"groundwater recharge facilities" include capital outlay expenditures
to expand, renovate, or restructure land and facilities used for the
purposes of groundwater recharge and to acquire additional land for
recharge basins.
(2) Groundwater recharge facilities may include any of the
following:
(A) Instream facilities for regulation of water levels, but not
regulation of streamflow to accomplish diversion from the waterway.
(B) Agency-owned facilities for extraction.
(C) Conveyance facilities to convey water to the recharge site,
including devices for flow regulation and measurement of recharge
waters.
(3) Any part or all of the project facilities, including the land
under the facilities, may consist of separable features, or an
appropriate share of multipurpose features, of a larger system, or
both.
(e) "Infrastructure rehabilitation project" means a project
located in an economically disadvantaged area for the repair,
replacement, restoration, or rehabilitation of an existing water
distribution system that delivers water for domestic, municipal, or
industrial uses, including pipelines, pump stations, valves, meters,
reservoirs, and all other appurtenant water delivery facilities that
result in the reduction or elimination of significant distribution
system water losses or replace a failing system component that
threatens the health, safety, welfare, and economy of areas relying
on the water distribution system.
(f) "Local agency" or "agency" means any city, county, city and
county, district, joint powers authority, or other political
subdivision of the state involved with water management. "Local
agency" or "agency" also means a mutual water company. For purposes
of this chapter, mutual water company means a nonprofit corporation
organized for, or engaged in the business of, developing,
distributing, supplying, or delivering water for irrigation or
domestic use, or both, to its members or shareholders, at actual cost
plus necessary expenses.
(g) "Project" may include any of the following:
(1) Water conservation project.
(2) Groundwater recharge facilities.
(3) Urban water conservation project.
(4) Infrastructure rehabilitation project.
(h) "Urban water conservation project" means capital outlay
features of urban water conservation programs identified in the
"Memorandum of Understanding Regarding Urban Water Conservation in
California," as amended on April 8, 1998, by the California Urban
Water Conservation Council, and any amendments thereto.
79152. The Water Conservation Account is hereby created in the
fund.
79153. (a) The sum of one hundred fifty-five million dollars
($155,000,000) is hereby transferred from the fund to the account for
the purposes of this chapter.
(b) Unallocated funds remaining in the Water Conservation and
Groundwater Recharge Subaccount in the Water Supply Reliability
Account in the Safe, Clean, Reliable Water Supply Fund on March 8,
2000, shall be transferred to, and all money repaid to the state
pursuant to any loan contract executed under Article 3 (commencing
with Section 78670) of Chapter 6 of Division 24 shall be deposited
in, the account for the purposes of entering into additional loans
under Article 3 (commencing with Section 79157) and Article 4
(commencing with Section 79161).
79154. (a) Any loan agreement entered into pursuant to this
chapter may include provisions determined to be necessary by the
department.
(b) Any loan agreement pursuant to this chapter shall include all
of the following:
(1) A finding by the department that the agency has the ability to
repay the loan, that the project is cost-effective, and that the
project is feasible from an engineering or hydrologic standpoint, or
both.
(2) An agreement by the agency to proceed expeditiously with, and
complete, the project in conformance with approved plans and
specifications and to operate and maintain the project properly upon
completion throughout the repayment period.
(3) A provision that there shall be no moratorium on, or deferment
of, payments of principal or interest.
(4) (A) A loan period of not more than 20 years with an interest
rate set at a rate equal to 50 percent of the interest rate paid by
the state on the most recent sale of state general obligation bonds,
to be computed according to the true interest cost method.
(B) If the interest rate so determined is not a multiple of 1
percent, the interest rate shall be set at the next multiple of
one-tenth of 1 percent.
(C) The interest rate for each loan agreement shall be applied
throughout the repayment period of the contract. There shall be a
level annual repayment of principal and interest on the loans.
79155. (a) Any grant agreement entered into pursuant to this
chapter may include provisions determined to be necessary by the
department.
(b) Any grant agreement pursuant to this chapter shall include
both of the following:
(1) A determination by the department that the project is
economically justified, and that the project is feasible.
(2) An estimate of the reasonable cost and benefit of the project,
including a feasibility report that sets forth the engineering and
financial feasibility of the project, and shall include a description
of the proposed facilities and their relation to other water-related
facilities in the system service area.
79155.5. Notwithstanding any other provision of law, regulations
set forth in Chapter 2.3 (commencing with Section 450.1) of Division
2 of Title 23 of the California Code of Regulations
that are in effect on March 8, 2000, may
be used to carry out this chapter.
79156. Not more than 3 percent of the total amount deposited in
the subaccount may be used by the department to pay the costs
incurred in connection with the administration of this article.
Article 3. Agricultural Water Conservation Program
79157. (a) The sum of thirty-five million dollars ($35,000,000)
in the account, upon appropriation by the Legislature to the
department, shall be used by the department for loans to local
agencies to aid in the acquisition and construction of agricultural
water conservation projects, and for grants in accordance with
Section 79158.
(b) For the purposes of approving a loan under this section, the
department shall determine if there will be a net saving of water as
a result of each proposed project and if the project is determined by
the department to be cost-effective.
(c) A project under this article shall not receive any more than
five million dollars ($5,000,000) in loan proceeds from the
department.
(d) The department shall give preference to the agencies that
propose the most cost-effective projects.
79158. (a) The department may make grants to local agencies,
under any terms and conditions that may be determined necessary by
the department, for the purpose of financing feasibility studies of
projects potentially eligible for a loan under Section 79157.
(b) No single feasibility study shall be eligible to receive more
than one hundred thousand dollars ($100,000), and not more than 5
percent of the total amount deposited in the account may be expended
for the purposes of financing feasibility studies.
(c) A grant for a feasibility study shall not affect the maximum
amount of any loan that may be made under this article.
Article 4. Groundwater Recharge Facilities Program
79161. (a) The sum of thirty million dollars ($30,000,000) in the
account is hereby appropriated to the department, without regard to
fiscal years, for use by the department for loans and grants to local
agencies for the acquisition and construction of groundwater
recharge facilities.
(b) A loan application pursuant to this article shall include the
reasonable cost and benefit of the proposed project, including a
feasibility report that shall set forth the economic justification
for the project, and shall include explanations of the proposed
facilities and their relation to other water supply related
facilities in the basin or region.
(c) A project under this article shall not receive any more than
five million dollars ($5,000,000) in loan proceeds from the
department.
(d) The department shall give preference under this section to
projects that are located in overdrafted groundwater basins, projects
of critical need, projects whose feasibility studies demonstrate the
greatest engineering and hydrogeologic feasibility as determined by
the department, and projects located in areas that have groundwater
management plans.
79161.5. (a) The department may make grants to local agencies,
under any terms and conditions that may be determined necessary by
the department, for the purpose of financing feasibility studies of
projects potentially eligible for a loan under Section 79161.
(b) No single feasibility study shall be eligible to receive more
than one hundred thousand dollars ($100,000), and not more than 5
percent of the total amount deposited in the account may be expended
for the purposes of financing feasibility studies.
(c) A grant for a feasibility study shall not affect the maximum
amount of any loan that may be made under this article.
Article 5. Infrastructure Rehabilitation Program
79162. (a) The sum of sixty million dollars ($60,000,000) in the
account, upon appropriation by the Legislature to the department,
shall be used by the department for grants awarded by the department
to local agencies for the purposes of funding infrastructure
rehabilitation projects.
(b) (1) For the purposes of making grants pursuant to subdivision
(a), the factors to be considered by the department in determining
whether to enter into an agreement shall include, but not be limited
to, the need to implement projects that provide measurable
conservation through the reduction of system water losses by
rehabilitating water delivery systems.
(2) Grants awarded pursuant to subdivision (a) shall be available
for public water systems owned and operated by local agencies in
economically disadvantaged areas with service connections that exceed
200 but are not greater than 16,000 in number. The department shall
give highest priority in awarding grants to those agencies with the
highest retail water rates and service charges as of January 1, 1999.
(c) No single construction grant under this article shall exceed
five million dollars ($5,000,000).
79162.2. (a) The department may make grants to local agencies,
under any terms and conditions as may be determined necessary by the
department, for the purpose of financing feasibility studies of
projects potentially eligible for a grant under Section 79162.
(b) No single feasibility study shall be eligible to receive more
than one hundred thousand dollars ($100,000), and not more than 5
percent of the total amount deposited in the account may be expended
for the purposes of financing feasibility studies.
(c) A grant for a feasibility study shall not affect the maximum
of any construction grant that may be made under this article.
79162.4. The department may adopt regulations to carry out this
article.
Article 6. Urban Water Conservation Program
79163. (a) The sum of thirty million dollars ($30,000,000) in the
account, upon appropriation by the Legislature to the department,
shall be used by the department for grants and loans awarded by the
department to local agencies for the purposes of funding urban water
conservation projects.
(b) A project under this article shall not receive more than five
million dollars ($5,000,000) in loan proceeds from the department.
79164. (a) The department may make grants to local agencies,
under any terms and conditions that may be determined necessary by
the department, for the purpose of financing feasibility studies of
projects potentially eligible for a loan under Section 79163.
(b) No single feasibility study shall be eligible to receive more
than one hundred thousand dollars ($100,000), and not more than 5
percent of the total amount deposited in the account may be expended
for the purposes of financing feasibility studies.
(c) A grant for a feasibility study shall not affect the maximum
amount of any loan that may be made under this article.
CHAPTER 9. WATER SUPPLY, RELIABILITY, AND INFRASTRUCTURE
PROGRAM
Article 1. Water Supply, Reliability, and Infrastructure
Account
79165. For the purposes of this chapter, "account" means the
Water Supply, Reliability, and Infrastructure Account created by
Section 79166.
79166. The Water Supply, Reliability, and Infrastructure Account
is hereby created in the fund. The sum of six hundred thirty
million dollars ($630,000,000) is hereby transferred from the fund to
the account.
Article 2. Groundwater Storage Program
79170. The Legislature finds and declares that the conjunctive
management of surface water and groundwater is an effective way to
improve the reliability of water supply for all sectors in
California.
79171. Unless the context otherwise requires, the following
definitions govern the construction of this article:
(a) "Conjunctive use" means the temporary storage of water in a
groundwater aquifer through intentional recharge and subsequent
extraction for later use. Storage is accomplished by either of the
following methods:
(1) "Direct recharge" of an aquifer by conducting surface water
into the ground by various means, including, without limitation,
spreading ponds and injection wells for the purpose of making the
water stored in the aquifer available for extraction and later use in
drier years.
(2) "In-lieu recharge" means increasing the amount of groundwater
available in an aquifer by substituting surface water supplies to a
user who would otherwise pump groundwater.
(b) "Conjunctive use facilities" include land and appurtenant
facilities for any phase of a conjunctive use operation. Appurtenant
facilities may include subsurface storage, treatment, conveyance,
recharge ponds, injection wells, spreading grounds, monitoring,
measurements, subsidence detection, flow regulation, detention basins
to facilitate recharge, diversion facilities, and extraction
facilities.
(c) "Conjunctive use project" means a project that is intended to
produce water supply benefits for the local agency or a project that
is intended to produce water supply benefits for water users,
including the environment, in addition to the local agency.
(d) "Local agency" means any city, county, city and county,
district, joint powers authority, mutual water company, or other
political subdivision of the state.
(e) "Project participants" means any public agency participating
in, and benefiting from, a conjunction use project under this
article.
(f) "Subaccount" means the Conjunctive Use Subaccount created by
Section 79172.
79172. There is hereby created in the account the Conjunctive Use
Subaccount.
79173. The sum of two hundred million dollars ($200,000,000) is
hereby transferred from the account to the subaccount for the
purposes of implementing this article.
79174. The money in the subaccount, upon appropriation by the
Legislature to the department, may be used by the department for
grants for feasibility studies, project design, or the construction
of conjunctive use projects on a pilot or operational scale.
79175. Not more than 5 percent of the total amount deposited in
the subaccount may be expended for purposes of financing feasibility
studies.
79176. For the purpose of approving projects pursuant to this
article, the department shall give priority to those projects for
which there is available third-party funds from any source other than
the Central Valley Project Restoration Fund authorized by the
Central Valley Project Improvement Act. The department shall also
take into consideration all of the following with regard to each
proposed project:
(a) The magnitude of the actual increase in water supply yield and
reliability compared to preexisting conditions.
(b) The consistency with the plans or recommendations proposed by
CALFED.
(c) The distribution of the benefits to water supply and to the
environment.
(d) The availability of the storage for conserved water.
(e) The technical and environmental suitability of the groundwater
basin for conjunctive use.
(f) The potential to reduce critically overdrafted conditions in a
groundwater basin.
(g) The need for the project.
(h) The potential to alleviate salt water intrusion into
groundwater basins or other groundwater quality degradation.
(i) The economic, engineering, and hydrogeologic justification for
the project.
(j) The availability of third-party or local matching funds from
any source other than the Central Valley Project Restoration Fund
authorized by the Central Valley Project Improvement Act.
(k) The involvement of one or more local agencies whose
jurisdiction or water service area overlies or is adjacent to the
aquifer utilized to store water.
(l) The potential to reduce dry year demand for surface water
under existing contracts.
(m) The existence of a system for the recovery of the stored water
or an agreement with the department or a local agency for the
installation of that system.
(n) Whether the project is located in an area that is subject to a
groundwater management program.
79177. To be eligible for funding for the construction of a
conjunctive use project under this article, an applicant that is
other than a local agency shall be required to carry out that project
with the participation of a local agency. The department or a local
agency may provide technical assistance, coordination, or any other
assistance in implementing a project or study if requested by the
participating local agency.
79178. No construction project may receive more than fifty
million dollars ($50,000,000) from the subaccount.
79179. Not more than 5 percent of the total amount deposited in
the subaccount may be used to pay the costs incurred in connection
with the administration of this article.
79180. Not less than 40 percent of the total amount deposited in
the subaccount shall be expended for studies, projects, and
facilities within watersheds of the central valley.
79181. (a) A project undertaken pursuant to this article shall
fully protect and preserve the groundwater rights of the overlying
landowners and shall fully protect and preserve the water rights of
the project participants. The department shall not provide funding
for a project unless it determines that the project will be designed
and operated in a manner that ensures that other users of the same or
a hydrologically related aquifer will not suffer any unreasonable
diminution of the quantity or quality of their groundwater supplies
or incur additional uncompensated expense as a result of the
implementation of the project.
(b) For the purposes of receiving funding for a conjunctive use
project pursuant to this article, the applicant shall be required to
do both of the following:
(1) Provide for a continuing groundwater monitoring and mitigation
program.
(2) Limit the extraction of the groundwater to not more than the
amount of water that is stored or recharged by the project
participants or the amount that complies with all laws and contract
terms governing the extraction, appropriation, and use of groundwater
by the project participants.
(c) Persons and agencies participating in the project may not
assert a claim or file a cause of action against an overlying
landowner who is not exceeding either of the following:
(1) The overlying landowner's historic rate of groundwater
pumping.
(2) The full amount of groundwater to which the overlying
landowner would be entitled to under state law regarding rights to
groundwater and reasonable beneficial use on the landowner's land
that overlies the groundwater.
(d) The overlying landowners may not assert a claim or file a
cause of action against the persons or agencies participating in the
project if the project is implemented in compliance with this
section, except as provided by contract between the project
participants.
(e) Nothing in this article modifies state law with regard to
groundwater rights, regulation, or management.
79182. In carrying out this article and awarding grants, the
department shall convene and consult with an advisory committee
comprised of technically qualified representatives of local water
agencies, project participants, environmental interests, agricultural
laborer interests, and interests representing farmers who use
groundwater. The advisory committee shall be geographically balanced
to reflect the communities that use water in the Central Valley. If
a member of the advisory committee, or a member of his or her
immediate family, is employed by a grant applicant or the employer of
a grant applicant, the committee members shall make that disclosure
to the other members of the committee and shall not participate in
the review of the grant application of that applicant.
79183. The department may adopt regulations to carry out this
article.
Article 3. Bay-Delta Multipurpose Water Management Program
79190. Unless the context otherwise requires, the following
definitions govern the construction of this article:
(a) "CALFED Bay-Delta Program" or "program" means the undertaking
by CALFED pursuant to the Framework Agreement dated June 20, 1994, to
develop a long-term solution to water management, environmental, and
other problems in the bay-delta watershed by means of a programmatic
environmental impact statement/environmental impact report.
(b) "CALFED EIS/EIR" means the final programmatic environmental
impact statement/environmental impact report prepared by CALFED.
(c) "CALFED stage 1 action" means an action identified in the
preferred alternative of the CALFED EIS/EIR as an action intended for
implementation during stage 1 of Phase III of the CALFED Bay-Delta
Program.
(d) (1) "Eligible project" means a demonstration project, subject
to the CALFED adaptive management principle that requires an
assessment of the performance of the demonstration projects in order
to determine which projects are successful in achieving the goals of
the program.
(2) "Eligible project" means a project that meets both of the
following requirements.
(A) The project is identified in the CALFED EIS/EIR as a CALFED
stage 1 action.
(B) The project does one or more of the following:
(i) Constructs treatment facilities or relocates discharge
facilities for agricultural drainage generated within the delta to
improve water quality in the delta or the quality of water that is
transported from the delta.
(ii) Constructs facilities to control waste discharges that
contribute to low dissolved oxygen and other water quality problems
in the lower San Joaquin River and the south delta.
(iii) Constructs fish facilities for the State Water Project or
the Central Valley Project intakes in the south delta, such as
facilities for fish screens, fish handling, and fish passage, or
modifications to intake structures or other facilities, to reduce
losses of any life stages of fish to water diversions in the San
Joaquin River and the delta in accordance with paragraph (1) of
Section (C) of Chapter IV of the board's 1995 water quality control
plan.
(iv) Constructs a permanent barrier at the head of Old River to
improve fish migration and other permanent barriers in the south
delta channels to improve water quality and water level for local
diversions.
(v) Constructs facilities to control drainage from abandoned mines
that adversely affect water quality in the bay-delta.
(vi) Constructs a permanent barrier at Grantline Canal to improve
water quality and water levels for local diversion.
(e) "Subaccount" means the Bay-Delta Multipurpose Water Management
Subaccount created by Section 79194.
79191. This article does not affect the authority of any agency
pursuant to any other provision of law to expend funds for the
purposes described in this article.
79192. The Legislature hereby finds and declares all of the
following:
(a) CALFED is in the process of preparing a programmatic EIS/EIR
for a long-term comprehensive plan that will resolve problems related
to ecosystem restoration, including the recovery of endangered
species such as chinook salmon, water quality, water supply, water
management, and system integrity for the protection of beneficial
uses of the bay-delta ecosystem.
(b) The CALFED Bay-Delta Program is of statewide and national
importance. The state should participate in the funding of eligible
projects as a part of its ongoing program to improve conditions in
the bay-delta ecosystem.
(c) The programmatic EIS/EIR will include a schedule for funding
and implementing all elements of the long-term comprehensive plan.
(d) The elements of the CALFED Bay-Delta Program will achieve
balanced solutions in all identified problem areas, including the
ecosystem, water quality, water supply, and system integrity.
79193. (a) This article does not authorize the implementation of
the CALFED Bay-Delta Program or any element of that program. The
implementation of the CALFED Bay-Delta Program, or any element of
that program, shall only be undertaken pursuant to authority provided
by law other than this division.
(b) Nothing in this article affects the obligation to comply with
provisions of existing law in connection with the implementation of
this article.
79194. There is hereby created in the account the Bay-Delta
Multipurpose Water Management Subaccount.
79195. The sum of two hundred fifty million dollars
($250,000,000) is hereby transferred from the account to the
subaccount.
79196. (a) The money in the subaccount, upon appropriation by the
Legislature to the department, may be used by the department to
carry out eligible projects and for the purposes of Section 79202.
(b) Money in the subaccount that is allocated to carry out
eligible projects, as described in clauses (ii), (iv), and (vi) of
subparagraph (B) of paragraph (2) of subdivision (d) of Section
79190, and is not expended for those purposes, may be reallocated by
the department to carry out other eligible projects, as described in
clauses (i), (iii), and (v) of subparagraph (B) of paragraph (2) of
subdivision (d) of Section 79190.
(c) No funds in the subaccount shall be used by the department
unless and until the department has consulted, on an annual basis,
with the state and federal agencies that participate in CALFED, as
well as representatives of the public convened as a duly authorized
advisory committee, with regard to the specific projects proposed for
funding under this article. Decisions regarding specific
expenditures of funds provided under this article shall be jointly
determined, to the maximum extent possible, by the recommendations of
the state and federal CALFED agencies with the advice of the
advisory committee.
79196.5. The funds appropriated pursuant to Section 79196 shall
be allocated as following:
(a) Seventeen million dollars ($17,000,000) for the purposes of
the project described in clause (i) of subparagraph (B) of paragraph
(2) of subdivision (d) of Section 79190.
(b) Forty million dollars ($40,000,000) for the purposes of the
project described in clause (ii) of subparagraph (B) of paragraph (2)
of subdivision (d) of Section 79190.
(c) One hundred twenty million dollars ($120,000,000) for the
purposes of the project described in clause (iii) of subparagraph (B)
of paragraph (2) of subdivision (d) of Section 79190.
(d) Forty million dollars ($40,000,000) for the purposes of the
project described in clause (iv) of subparagraph (B) of paragraph (2)
of subdivision (d) of Section 79190.
(e) Seventeen million dollars ($17,000,000) for the purposes of
the project to described in clause (v) of subparagraph (B) of
paragraph (2) of subdivision (d) of Section 79190.
(f) Sixteen million dollars ($16,000,000) for the purposes of the
project described in clause (vi) of subparagraph (B) of paragraph (2)
of subdivision (d) of Section 79190.
79197. No funds in the subaccount may be expended until all of
the following conditions have been met:
(a) The CALFED EIS/EIR has been certified by the state lead agency
and a notice of determination has been issued as required by
Division 13 (commencing with Section 21000) of the Public Resources
Code.
(b) The CALFED EIS/EIR has been filed by the federal lead agencies
with the United States Environmental Protection Agency, the required
notice has been published in the Federal Register, and there has
been federal approval of a program identical to the program approved
by the state.
79198. The state, to the greatest extent possible, shall secure
federal and nonfederal funds to implement this article.
79199. Due to the importance of issuing permits and otherwise
expediting all elements of the CALFED Bay-Delta Program in a timely
and balanced manner, the following procedures shall apply to the use
of funds authorized by this article:
(a) After the requirements set forth in Section 79197 are met,
funds in the subaccount shall become available for use in accordance
with the schedule for eligible projects set forth in the final
programmatic EIS/EIR, unless the Secretary of the Resources Agency
determines that the schedule established in the final programmatic
EIS/EIR has not been substantially adhered to.
(b) On or before November 15 of each year, the Secretary of the
Resources Agency, in consultation with state and federal CALFED
representatives and other interested persons and agencies, shall
review adherence to the schedule.
(c) The absence of funding from nonfederal or nonstate sources
shall not be a basis for a determination that the schedule has not
been adhered to.
(d) If, at the conclusion of each annual review, the Secretary of
the Resources Agency determines that the schedule established in the
final programmatic EIS/EIR, or a revised schedule prepared pursuant
to this subdivision, has not been substantially adhered to, the
secretary, after notice to, and consultation with, state and federal
CALFED representatives and other interested persons and agencies,
shall prepare a revised schedule that ensures that balanced solutions
in all identified problem areas, including ecosystem restoration,
water supply, water quality, and system integrity are achieved,
consistent with the intent of the final programmatic EIS/EIR. Funds
shall be available for expenditure unless a revised schedule has not
been developed within six months from the date on which the secretary
determines that the prior schedule has not been substantially
adhered to. Upon the preparation of any revised schedule under this
subdivision, funds shall be expended in accordance with that revised
schedule.
(e) Funds in the subaccount shall become available in accordance
with the cost-share agreement developed by the CALFED Bay-Delta
Program, which shall describe the federal, state, and local share of
funding for the programs, projects, and other CALFED stage 1 actions.
79200. On or before December 15 of each year, the Secretary of
the Resources Agency shall submit an annual report to the Legislature
that describes the status of the implementation of all elements of
the CALFED Bay-Delta Program, any determinations made by the
secretary pursuant to subdivisions (b) and (d) of Section 79199 and
other significant scheduling issues. The report also shall include a
detailed accounting of expenditures, descriptions of programs for
which expenditures have been made, and a schedule of anticipated
expenditures for the next year.
79201. The report prepared pursuant to Section 79200 shall
include both of the following:
(a) A summary of the results achieved by the projects funded under
this article.
(b) An identification of any necessary modifications that should
be made to eligible projects or other CALFED bay-delta projects, to
ensure that the goals and objectives of CALFED are met.
79201.5. Nothing in this article shall be construed to
address the allocation of benefits from projects or programs funded
by this article. It is anticipated that this issue will be settled
in the CALFED process or by the Legislature by statute.
79202. Not more than 5 percent of the total amount deposited in
the subaccount may be used to pay the costs incurred in connection
with the administration of this article.
79203. The department may adopt regulations to carry out this
article.
Article 4. Interim Water Reliable Supply and Water Quality
Infrastructure and Management Program
79205.2. (a) "Delta export service area," as used in this
article, means both of the following:
(1) The counties included within the Association of Bay Area
Governments.
(2) Those areas of the state outside the delta that receive water
from the State Water Project or the Central Valley Project, either
directly or by exchange, by means of diversions from the delta.
(b) "Local agency," as used in this article, means any city,
county, city and county, district, or other political subdivision of
the state.
79205.4. (a) There is hereby created the Interim Water Supply and
Water Quality Infrastructure and Management Subaccount.
(b) For the purposes of this article, "subaccount" means the
Interim Reliable Water Supply and Water Quality Infrastructure and
Management Subaccount.
79205.6. The sum of one hundred eighty million dollars
($180,000,000) is hereby transferred from the account to the
subaccount for the purposes of this article.
79205.8. (a) The money in the subaccount, upon appropriation by
the Legislature to the department, may be used by the department to
provide grants or loans, or any combination thereof, which are
approved by the Governor, to local agencies located in the delta
export service areas for programs or projects that can be completed
and provide the intended benefits not later than March 8, 2009, and
are designed to increase water supplies, enhance water supply
reliability, or improve water quality.
(b) The department shall provide grants for programs or projects
located outside the delta and which meet one of the following
requirements:
(1) The project or program constructs new or expands existing
groundwater storage and recovery projects or acquires rights to use
storage in existing reservoirs.
(2) The project or program implements measures that facilitate
improved water treatment, water transfers, or exchanges, including,
but not limited to, a project that improves water quality by shifting
reliance from lower quality to higher quality water supplies.
(3) The project or program implements state of the art
agricultural water conservation programs, and programs that treat or
manage agricultural drainage water for reuse or instream water
quality benefits.
(c) The department shall list the projects that are proposed to be
funded from the subaccount.
79205.10. For purposes of prioritizing eligible programs or
projects for funding under this article, the department shall give
priority to programs or projects that meet one or more of the
following requirements:
(a) Can be completed expeditiously and thereby provide near term
benefits and more immediate mitigation of urgent problems related to
water supply and water quality.
(b) Implements actions to improve water quality and protect water
level conditions in San Luis Reservoir.
(c) Includes public-private partnerships or cost sharing
arrangements that maximize public benefits.
(d) Sponsored by a public agency with water supplies that are
being or would be impacted to a greater degree by delta-related water
supply shortages and water quality degradation.
79205.12. The state, to the greatest extent possible, shall seek
matching federal funds to implement this article.
79205.14. Funds available from the subaccount shall be available
for all phases of project development including, but not limited to,
project administration, permitting and environmental compliance,
feasibility studies, and construction.
79205.16. Not more than 5 percent of the total amount deposited
in the subaccount may be used to pay costs incurred in connection
with the administration of this article.
CHAPTER 10. FISCAL PROVISIONS
79210. Bonds in the total amount of one billion nine hundred
seventy million dollars ($1,970,000,000), not including the amount of
any refunding bonds issued in accordance with Section 79219, or so
much thereof as is necessary, may be issued and sold to provide a
fund to be used for carrying out the purposes expressed in this
division and to be used to reimburse the General Obligation Bond
Expense Revolving Fund pursuant to Section 16724.5 of the Government
Code. The bonds, when sold, shall be and constitute a valid and
binding obligation of the State of California, and the full faith and
credit of the State of California is hereby pledged for the punctual
payment of the principal of, and interest on, the bonds as the
principal and interest become due and payable.
79211. (a) The bonds authorized by this division shall be
prepared, executed, issued, sold, paid, and redeemed as provided in
the State General Obligation Bond Law (Chapter 4 (commencing with
Section 16720) of Part 3 of Division 4 of Title 2 of the Government
Code), except Section 16727, and all of the provisions of that law
apply to the bonds and to this division and are hereby incorporated
in this division as though set forth in full in this division.
(b) For purposes of the State General Obligation Bond Law, each
state agency that administers an appropriation of the Safe Drinking
Water, Clean Water, Watershed Protection, and Flood Protection Bond
Fund is designated the "board."
79212. Solely for the purpose of authorizing the issuance and
sale, pursuant to the State General Obligation Bond Law, of the bonds
authorized by this division, the Safe Drinking Water, Clean Water,
Watershed Protection, and Flood Protection Finance Committee is
hereby created. For purposes of this division, the Safe Drinking
Water, Clean Water, Watershed Protection, and Flood Protection
Finance Committee is the "committee" as that term is used in the
State General Obligation Bond Law. The committee consists of the
Treasurer, the Controller, and the Director of Finance, or their
designated representatives. A majority of the committee may act for
the committee.
79213. The committee shall determine whether or not it is
necessary or desirable to issue bonds authorized pursuant to this
division in order to carry out the actions specified in this division
and, if so, the amount of bonds to be issued and sold. Successive
issues of bonds may be authorized and sold to carry out those actions
progressively, and it is not necessary that all of the bonds
authorized to be issued be sold at any one time.
79214. There shall be collected each year and in the same manner
and at the same time as other state revenue is collected, in addition
to the ordinary revenues of the state, a sum in an amount required
to pay the principal of, and interest on, the bonds each year. It is
the duty of all officers charged by law with any duty in regard to
the collection of the revenue to do and perform each and every act
that is necessary to collect that additional sum.
79215. Notwithstanding Section 13340 of the Government Code,
there is hereby appropriated from the General Fund in the State
Treasury, for the purposes of this division, an amount that will
equal the total of the following:
(a) The sum annually necessary to pay the principal of, and
interest on, bonds issued and sold pursuant to this division, as the
principal and interest become due and payable.
(b) The sum necessary to carry out Section 79216, appropriated
without regard to fiscal years.
79216. For the purposes of carrying out this division, the
Director of Finance may authorize the withdrawal from the General
Fund of an amount not to exceed the amount of the unsold bonds that
have been authorized by the committee to be sold for the purpose of
carrying out this division. Any amount withdrawn shall be deposited
in the fund. Any money made available under this section shall be
returned to the General Fund, plus an amount equal to the interest
that the money would have earned in the Pooled Money Investment
Account, from proceeds received from the sale of bonds for the
purpose of carrying out this division.
79217. All money deposited in the fund that is derived from
premium and accrued interest on bonds sold shall be reserved in the
fund and shall be available for transfer to the General Fund as a
credit to expenditures for bond interest.
79218. The agency that administers an appropriation of the Safe
Drinking Water, Clean Water, Watershed Protection, and Flood
Protection Bond Fund may request the Pooled Money Investment Board to
make a loan from the Pooled Money Investment Account, in accordance
with Section 16312 of the Government Code, for the purpose of
carrying out this division. The amount of the request shall not
exceed the amount of the unsold bonds that the committee, by
resolution, has authorized to be sold for the purpose of carrying out
this division. The requesting agency shall execute any documents
required by the Pooled Money Investment Board to obtain and repay the
loan. Any amounts loaned shall be deposited in the fund to be
allocated by the requesting agency in accordance with this division.
79219. The bonds may be refunded in accordance with Article 6
(commencing with Section 16780) of Chapter 4 of Part 3 of Division 4
of Title 2 of the Government Code, which is a part of the State
General Obligation Bond Law. Approval by the voters of the state for
the issuance of the bonds described in this division includes the
approval of the issuance of any other bonds issued to refund any
bonds originally issued under this division or any previously issued
refunding bonds.
79220. Notwithstanding any provision of this division or the
State General Obligation Bond Law, if the Treasurer sells bonds
pursuant to this division that include a bond counsel opinion to the
effect that the interest on the bonds is excluded from gross income
for federal tax purposes, subject to designated conditions, the
Treasurer may maintain separate accounts for the investment of bond
proceeds and for the investment earnings on those proceeds. The
Treasurer may use or direct the use of those proceeds or earnings to
pay any rebate, penalty, or other payment required under federal law
or to take any other action with respect to the investment and use of
those bond proceeds required or desirable under federal law to
maintain the tax-exempt status of those bonds and to obtain any other
advantage under federal law on behalf of the funds of that state.
79221. The Legislature hereby finds and declares that, inasmuch
as the proceeds from the sale of bonds authorized by this division
are not "proceeds of taxes" as that term is used in Article XIIIB of
the California Constitution, the disbursement of these proceeds is
not subject to the limitations imposed by that article.
SEC. 1.5. Section 1812.6 is added to the Water Code, to read:
1812.6. (a) On or before October 15, 1999, the Imperial
Irrigation District, the Coachella Valley Water District, and the
Metropolitan Water District of Southern California shall sign and
adopt a quantification agreement regarding their respective Colorado
River entitlements. The quantification agreement shall secure the
approval of the Metropolitan Water District of Southern California
and the Coachella Valley Water District for a transfer for the
benefit of the San Diego County Water Authority of up to 200,000
acre-feet of water under the exchange agreement between the San Diego
County Water District and the Metropolitan Water District of
Southern California dated November 10, 1998. The quantification
agreement shall be consistent with federal and state law.
(b) If by October 15, 1999, the quantification agreement described
in subdivision (a) is not signed by all three districts listed in
subdivision (a), the Governor or his sole designee shall promulgate a
quantification settlement by January 1, 2000, and impose that
settlement on the Imperial Irrigation District, the Coachella Valley
Water District, and the Metropolitan Water District of Southern
California. The quantification settlement shall meet the requirement
of subdivision (a). The Governor, or his designee shall insure that
any quantification agreement or settlement, whether imposed by the
Governor pursuant to this subdivision or agreed to among the Imperial
Irrigation District, the Coachella Valley Water District, the
Metropolitan Water District of Southern California and any other
parties, shall not limit the right or obligation of the State of
California, or the right of any person, to enforce the provisions of
the California Constitution and conforming state statutes and
regulations.
(c) This section shall remain in effect only until January 1,
2001, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2001, deletes or extends
that date.
SEC. 2. Section 13480 of the Water Code is amended to read:
13480. (a) Moneys in the fund shall be used only for the
permissible purposes allowed by the federal act, including providing
financial assistance for the following purposes:
(1) The construction of publicly owned treatment works, as defined
by Section 212 of the federal act (33 U.S.C.A. Sec. 1292), by any
municipality.
(2) Implementation of a management program pursuant to Section 319
of the federal act (33 U.S.C.A. Sec. 1329).
(3) Development and implementation of a conservation and
management plan under Section 320 of the federal act (33 U.S.C.A.
Sec. 1330).
(4) Financial assistance, other than a loan, toward the nonfederal
share of costs of any grant-funded treatment works project, but only
if that assistance is necessary to permit the project to proceed.
(b) Consistent with expenditure for authorized purposes, moneys in
the fund may be used for the following purposes:
(1) Loans that meet all of the following requirements:
(A) Are made at or below market interest rates.
(B) Require annual payments of principal and any interest, with
repayment commencing not later than one year after completion of the
project for which the loan is made and full amortization not later
than 20 years after project completion.
(C) Require the loan recipient to establish an acceptable
dedicated source of revenue for repayment of any loan.
(D) (i) Contain other terms and conditions required by the board
or the federal act or applicable rules, regulations, guidelines, and
policies. To the extent permitted by federal law, the interest rate
shall be set at a rate equal to 50 percent of the interest rate paid
by the state on the most recent sale of state general obligation
bonds and the interest rate shall be computed according to the true
interest cost method. If the interest rate so determined is not a
multiple of one-tenth of 1 percent, the interest rate shall be set at
the multiple of one-tenth of 1 percent next above the interest rate
so determined. Any loan from the fund used to finance costs of
facilities planning, or the preparation of plans, specifications, or
estimates for construction of publicly owned treatment works shall
comply with Section 603(e) of the federal act (33 U.S.C.A. Sec. 1383
(e)).
(ii) Notwithstanding clause (i), if the loan applicant is a
municipality, an applicant for a loan for the implementation of a
management program pursuant to Section 319 of the Clean Water Act (33
U.S.C. Sec. 1329), or an applicant for a loan for nonpoint source or
estuary enhancement pursuant to Section 320 of the Clean Water Act
(33 U.S.C. Sec. 1330), and the applicant provides matching funds, the
interest rate on the loan shall be 0 percent. A loan recipient that
returns to the fund an amount of money equal to 20 percent of the
remaining unpaid federal balance of an existing loan shall have the
remaining unpaid loan balance refinanced at a rate of 0 percent over
the time remaining in the original loan contract.
(2) To buy or refinance the debt obligations of municipalities
within the state at or below market rates if those debt obligations
were incurred after March 7, 1985.
(3) To guarantee, or purchase insurance for, local obligations
where that action would improve credit market access or reduce
interest rates.
(4) As a source of revenue or security for the payment of
principal and interest on revenue or general obligation bonds issued
by the state, if the proceeds of the sale of those bonds will be
deposited in the fund.
(5) To establish loan guarantees for similar revolving funds
established by municipalities.
(6) To earn interest.
(7) For payment of the reasonable costs of administering the fund
and conducting activities under Subchapter VI (commencing with
Section 601) of the federal act (33 U.S.C.A. Sec. 1381 et seq.).
Those costs shall not exceed 4 percent of all federal contributions
to the fund, except that if permitted by federal and state law,
interest repayments into the fund and other moneys in the fund may be
used to defray additional administrative and activity costs to the
extent permitted by the federal government and approved by the
Legislature in the Budget Act.
(8) For financial assistance toward the nonfederal share of the
costs of grant-funded treatment works projects to the extent
permitted by the federal act.
SEC. 3. Section 14058 of the Water Code is amended to read:
14058. (a) The sum of thirty million dollars ($30,000,000) of the
money in the fund shall be deposited in the Water Reclamation
Account and, notwithstanding Section 13340 of the Government Code, is
hereby continuously appropriated to the board for the purposes of
this section.
(b) The board may enter into contracts with local public agencies
having authority to construct, operate, and maintain water
reclamation projects, for loans to aid in the design and construction
of eligible water reclamation projects. The board may loan up to
100 percent of the total eligible cost of design and construction of
an eligible reclamation project.
(c) Any contract for an eligible water reclamation project entered
into pursuant to this section may include such provisions as
determined by the board and shall include both of the following
provisions:
(1) An estimate of the reasonable cost of the eligible water
reclamation project.
(2) An agreement by the local public agency to proceed
expeditiously with, and complete, the eligible water reclamation
project; commence operation of the project in accordance with
applicable provisions of law, and provide for the payment of the
local public agency's share of the cost of the project, including
principal and interest on any state loan made pursuant to this
section.
(d) Loan contracts may not provide for a moratorium on payments of
principal or interest.
(e) Any loans made from the fund may be for a period of up to 20
years. The interest rate for the loans shall be set at a rate equal
to 50 percent of the interest rate paid by the state on the most
recent sale of state general obligation bonds, with that rate to be
computed according to the true interest cost method. When the
interest rate so determined is not a multiple of one-tenth of 1
percent, the interest rate shall be set at the next higher multiple
of one-tenth of 1 percent.
(f) All money repaid to the state pursuant to any contract
executed under this chapter shall be deposited in the Water Recycling
Subaccount in the Clean Water and Water Recycling Account in the
Safe Drinking Water, Clean Water, Watershed Protection, and Flood
Protection Bond Fund created by Section 79136, for the purposes set
forth in Article 4 (commencing with Section 79135) of Chapter 7 of
Division 26.
SEC. 4. Section 78621 of the Water Code is amended to read:
78621. (a) (1) There is hereby created in the account the Water
Recycling Subaccount. The sum of sixty million dollars ($60,000,000)
is hereby transferred from the account to the subaccount for the
purpose of implementing this article.
(2) All money repaid to the state pursuant to any contract
executed under the Clean Water and Water Reclamation Bond Law of 1988
(Chapter 17 (commencing with Section 14050) of Division 7) shall be
deposited in the Water Recycling Subaccount in the Clean Water and
Water Recycling Account in the Safe Drinking Water, Clean Water,
Watershed Protection, and Flood Protection Bond Fund created by
Section 79136, for the purposes set forth in Article 4 (commencing
with Section 79135) of Chapter 7 of Division 26.
(b) Notwithstanding Section 13340 of the Government Code, the
money in the subaccount is hereby continuously appropriated, without
regard to fiscal years, to the board for loans to public agencies to
construct, operate, and maintain eligible recycling projects, for
loans to aid in the design and construction of eligible recycling
projects, for grants in accordance with Section 78628, and for the
purposes described in Section 78629 and subdivision (a) of Section
78630.
SEC. 5. Section 78626 of the Water Code is repealed.
SEC. 6. Section 78626 is added to the Water Code, to read:
78626. Unallocated funds remaining in the subaccount on March 8,
2000, and any funds deposited into the subaccount after that date,
shall be transferred to, and all money repaid to the state pursuant
to any loan contract executed under this article shall be deposited
in, the Water Recycling Subaccount in the Clean Water and Water
Recycling Account in the Safe Drinking Water, Clean Water, Watershed
Protection, and Flood Protection Bond Fund for the purposes set forth
in Section 79140.
SEC. 7. Section 78648.12 of the Water Code is repealed.
SEC. 8. Section 78648.12 is added to the Water Code, to read:
78648.12. Unallocated funds remaining in the subaccount on March
8, 2000 and any funds deposited into the subaccount after that date,
shall be transferred to, and all money repaid to the state pursuant
to any loan contract executed under this article shall be deposited
in, the Seawater Intrusion Control Subaccount in the Clean Water and
Water Recycling Account in the Safe Drinking Water, Clean Water,
Watershed Protection, and Flood Protection Bond Fund for the purposes
set forth in Article 6 (commencing with Section 79149) of Chapter 7
of Division 26.
SEC. 9. Section 78675 of the Water Code is repealed.
SEC. 10. Section 78675 is added to the Water Code, to read:
78675. Unallocated funds remaining in the subaccount on March 8,
2000, shall be transferred to, and all money repaid to the state
pursuant to any loan contract executed under this article shall be
deposited in, the Water Conservation Account in the Safe Drinking
Water, Clean Water, Watershed Protection, and Flood Protection Bond
Fund for the purposes of entering into additional loans under Article
3 (commencing with Section 79157) and Article 4 (commencing with
Section 79161) of Chapter 8 of Division 26.
SEC. 11. Sections 1, 3, 4, 5, 6, 7, 8, 9, and 10 of this act shall
become effective upon the approval by the voters of the Safe
Drinking Water, Clean Water, Watershed Protection, and Flood
Protection Act, as set forth in Section 1 of this act.
SEC. 12. Sections 1, 3, 4, 5, 6, 7, 8, 9, and 10 of this act shall
be submitted to the voters at the March 7, 2000, statewide direct
primary election in accordance with provisions of the Government Code
and the Elections Code governing the submission of statewide
measures to the voters.
SEC. 13. (a) Notwithstanding any other provision of law, all
ballots at the election shall have printed thereon and in a square
thereof, the words: "Safe Drinking Water, Clean Water, Watershed
Protection, and Flood Protection Bond Act" and in the same square
under those words, the following in 8-point type: "This act provides
for a bond issue of one billion nine hundred seventy million
dollars ($1,970,000,000) to provide funds for a safe drinking water,
water quality, flood protection, and water reliability program."
Opposite the square, there shall be left spaces in which the voters
may place a cross in the manner required by law to indicate whether
they vote for or against the act.
(b) Notwithstanding Sections 13247 and 13281 of the Elections
Code, the language in subdivision (a) shall be the only language
included in the ballot label for the condensed statement of the
ballot title, and the Attorney General shall not supplement, subtract
from, or revise that language, except that the Attorney General may
include the financial impact summary prepared pursuant to Section
9087 of the Elections Code and Section 88003 of the Government Code.
The ballot label is the condensed statement of the ballot title and
the financial impact summary.
(c) Where voting in the election is done by means of voting
machines used pursuant to law in a manner that carries out the intent
of this section, the use of the voting machines and the expression
of the voters' choice by means thereof are in compliance with this
section.
SEC. 14. This act is an urgency statute necessary for the
immediate preservation of the public peace, health, or safety within
the meaning of Article IV of the Constitution and shall go into
immediate effect. The facts constituting the necessity are:
In order to remedy critical drinking water, water quality, flood
protection, and water supply problems, thereby protecting public
health and safety, it is necessary that this act take effect
immediately.