BILL ANALYSIS
AB 626
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Date of Hearing: May 20, 2009
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Kevin De Leon, Chair
AB 626 (Eng) - As Amended: May 4, 2009
Policy Committee: WPW Vote:9-4
Urgency: No State Mandated Local Program:
No Reimbursable: No
SUMMARY
Current law requires the Department of Water Resources (DWR) to
award 10% of certain grants funds to address the critical water
supply needs of disadvantaged communities. This bill directs
DWR to achieve this requirement by awarding 10% of these grants
funds to severely disadvantaged communities within each
hydrologic region in which DWR awards such grants funds.
FISCAL EFFECT
Cost pressures, likely in the millions of dollars, to DWR to
award grant monies to disadvantaged communities in each
hydrologic region that receives grant funding. Actual grant
awards, however, might be no different, or only somewhat
different than the grant awards DWR would have made absent this
bill. (Proposition 84)
COMMENTS
1)Rationale. The sponsors argue that the prioritization of
disadvantaged communities in each region will better achieve
the existing state goal of benefiting and including
disadvantaged communities through the awarding of Proposition
84 grants.
2)Background.
a) Proposition 84 (The Safe Drinking Water, Water Quality
and Supply, Flood Control, River and Coastal Protection
Bond Act of 2006) allocates $5.4 billion in general
obligation bonds to fund safe drinking water, water quality
and supply, flood control, waterway and natural resource
AB 626
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protection, water pollution and contamination control,
state and local park improvements, public access to natural
resources, and water conservation efforts. Implementing
legislation (SB 1XX of 2008) allocates $182 million of
those funds to DWR for integrated regional water management
activities.
b) Percentage of Grant Funds Must Go to "Disadvantaged"
Communities. Of that $182 million appropriation for
integrated regional water management activities, $100
million is for implementation grants. Another $39 million
is for planning grants, local groundwater assistance
grants, and CALFED scientific research grants. SB 1XX
states that DWR must allocate not less than 10% of that
$139 million in grants to address the critical water supply
needs of disadvantaged communities and to facilitate
participation of those communities in integrated regional
water management planning.
3)10% Statewide Versus 10% in Each Region . As described above,
existing law directs DWR to allocate at least 10% of certain
of Proposition 84 bond fund grants to disadvantaged
communities. The sponsors of this bill are concerned that,
consistent with the law, DWR could choose to award 10% of such
grants to a disadvantaged community or communities in only one
or a few hydrologic regions. This bill specifies that 10% of
applicable Proposition 84 grants made in any hydrologic region
be awarded to disadvantaged communities. In this way, the
bill better ensures that disadvantaged communities from
throughout the state will benefit from the 10% of Proposition
84 bond funds dedicated to those communities.
4)Supporters -certain environmental justice and human rights
groups-fear that DWR may, in keeping with the letter but not
the intent of current law, concentrate Proposition 84 grants
that must go to disadvantaged communities in one or a few
hydrologic regions. These proponents of the bill believe it
more just and more beneficial to use Proposition 84 funds to
help disadvantaged communities throughout the state.
There are no registered opponents to this bill.
Analysis Prepared by : Jay Dickenson / APPR. / (916) 319-2081