BILL ANALYSIS
AB 450
Page 1
Date of Hearing: May 20, 2009
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Kevin De Leon, Chair
AB 450 (De La Torre) - As Amended: April 21, 2009
Policy Committee: WPW Vote:10-2
Urgency: No State Mandated Local Program:
No Reimbursable: No
SUMMARY
This bill declares that the use of potable domestic water in oil
refineries is a waste or unreasonable use of water if recycled
water is available. Specifically, this bill:
1)Declares that the use of potable domestic water in oil
refineries is a waste or unreasonable use of water if recycled
water is available that meets the requirements of the State
Water Resources Control Board (SWRCB).
2)Prohibits oil refineries from using water from any source of
quality suitable for potable domestic use for nonpotable uses
if recycled water is available that meets the requirements of
SWRCB.
3)States that any use of recycled water in lieu of water
suitable for potable domestic use shall be deemed to
constitute a reasonable beneficial use of that water and the
use of recycled water shall not cause any loss or diminution
of an existing water right.
4)States the Legislature's intent to provide incentives to
assist in compliance and that the measure becomes operative in
2020.
FISCAL EFFECT
Ongoing annual costs of approximately $200,000 to SWRCB to
conduct enforcement proceedings for violations of the terms of
this bill.
COMMENTS
AB 450
Page 2
1)Rationale. The author notes that refining industry is the
largest industrial user of freshwater and that California is
home to 21 refineries, mainly in Southern California. The
author contends that assisting the oil companies in reducing
their water use would greatly further the state's water
recycling goals. The author acknowledges that, as written,
the bill lacks specifics about its implementation.
2)California's Water Recycling Goals. Use of recycled water for
non-potable purposes, such as landscape irrigation, is an
integral part of the state's and several public water systems'
efforts to conserve water. The state has set a goal of one
million acre-feet of recycled water in use by 2010, with
current use estimated at about 600,000 acre-feet per year.
Barriers to achieving the 2010 target include water quality
concerns, regulatory impediments, public opposition, and a
lack of financing.
3)Concerns, but No Opposition. There is no registered support
or opposition to this bill. However, the Western States
Petroleum Association has formally expressed its desire to
work with the author to craft solutions to the problems its
members face in using recycled water.
Analysis Prepared by : Jay Dickenson / APPR. / (916) 319-2081