BILL ANALYSIS SB 60 Page 1 Date of Hearing: August 18, 1999 ASSEMBLY COMMITTEE ON APPROPRIATIONS Carole Migden, Chairwoman SB 60 (Hayden) - As Introduced: December 7, 1998 Policy Committee: Water, Parks & Wildlife Vote: 12-0 Local Government 8-0 (Consent) Urgency: No State Mandated Local Program:YesReimbursable: No SUMMARY : This bill relates to activities at the Metropolitan Water District of Southern California (MWD), as follows: 1)Requires greater emphasis at MWD on sustainable, environmentally sound, and cost-effective water conservation, recycling, and groundwater storage and replenishment measures and requires the MWD, starting February 1, 2001, to annually report to the Legislature on its water conservation efforts. 2)Requires the MWD to consider programs for groundwater recharge and replenishment, watershed management, habitat restoration and environmentally compatible community development using the potential resources of southern California rivers. 3)Requires the MWD to establish an Office of Ethics to deal with matters related to internal disclosure, lobbying, conflicts of interest, contracts, campaign contributions and general ethics for its board members, officers and employees. 4)Prohibits the MWD and its member agencies from spending public money to investigate elected officials, advocacy groups or other parties interested in matters pending before the MWD board. FISCAL EFFECT : Moderate ongoing costs to the MWD to prepare an annual report and operate an Office of Ethics; these costs are covered by SB 60 Page 2 wholesale water charges imposed by the MWD and are not state-reimbursable. COMMENTS : 1)Rationale . This bill requires greater focus at the MWD on two distinct issues: a) water supply enhancement via conservation, recycling, recharge and replenishment and b) the ethical conduct of business by MWD personnel. The author believes that MWD has not fully tapped the opportunities for environmentally-sound and cost-effective options for increasing water supply. The ethics focus was triggered by a specific case whereby 12 MWD member agencies spent $12,000 to compile information on public officials that could be used as a strategic tool in the ongoing issue involving water transfers from the Imperial Valley to San Diego. 2)Previous Legislation . Last year, SB 1875 (Hayden), similar to this bill, was vetoed by Governor Wilson. Analysis Prepared by : Steve Archibald / APPR. / (916)319-2081