BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   AB 626|
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                                 THIRD READING


          Bill No:  AB 626
          Author:   Eng (D), et al
          Amended:  8/7/09 in Senate
          Vote:     21

           
           SENATE NATURAL RES. & WATER COMMITTEE :  7-3, 7/6/09
          AYES:  Pavley, Kehoe, Leno, Padilla, Simitian, Wiggins,  
            Wolk
          NOES:  Benoit, Hollingsworth, Huff
          NO VOTE RECORDED:  Cogdill

           SENATE APPROPRIATIONS COMMITTEE  :  8-4, 8/17/09
          AYES:  Kehoe, Corbett, Hancock, Leno, Oropeza, Price, Wolk,  
            Yee
          NOES:  Denham, Runner, Walters, Wyland
          NO VOTE RECORDED:  Cox

           ASSEMBLY FLOOR  :  50-28, 6/2/09 - See last page for vote



           SUBJECT  :    Bond revenues:  integrated regional water  
          management:  
                      grants

           SOURCE  :     California Rural Legal Assistance Foundation
                      Environmental Justice Coalition for Water


           DIGEST  :    This bill requires the Department of Water  
          Resources to achieve the 10 percent statewide allocation of  
          Integrated Regional Water Management funding within each  
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          region.

           ANALYSIS  :    Existing law appropriates $181 971,000 of  
          Integrated Regional Water Management (IRWM) bond funds to  
          Department of Water Resource (DWR), including $139 million  
          for implementation and planning grants.  Not less than 10  
          percent of that $139 million is required to address the  
          critical water supply needs of disadvantaged communities  
          and to facilitate participation of those communities in  
          integrated regional water management planning.

          This bill:

          1. Amends a 2008 appropriation to IRWM programs to require  
             DWR to grant IRWM funding to disadvantaged communities  
             within a hydrologic region in a total dollar amount that  
             is not less than 10 percent of the total dollar amount  
             of such grants awarded within the region.

          2. Requires DWR to implement this provision with due  
             diligence, but only to the extent that the  
             implementation does not affect the expeditious  
             allocation of funds for IRWM grants.

          3. Requires DWR to report to the Legislature on this  
             provision by July 1, 2010.

           Background
           
          On November 7, 2006, the voters approved the Safe Drinking  
          Water, Water Quality and Supply, Flood Control, River and  
          Coastal Protection Bond Act of 2006, (Proposition 84).   
          Among other things, Proposition 84 authorized the issuance  
          of $5.4 billion in general obligation bonds, of which $1.0  
          billion is available for IRWM programs and projects.   
          Proposition 84 further allocated the $900 million by  
          region, the other $100 million was designated as  
          Inter-regional/Unallocated, and were to be expended by the  
          DWR to address multiregional water needs or water issues of  
          statewide significance.

          Last session, the Legislature passed and the Governor  
          signed SB 1XX (Perata).  That bill, among other things,  
          appropriated funds to DWR for integrated regional water  

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          management activities, including:
          $100 million for implementation grants.

          $39 million for planning grants, local groundwater  
          assistance grants, and CALFED scientific research grants.

          SB 1XX further specified that of the $139 million  
          appropriation, DWR was to allocate not less than 10 percent  
          to facilitate and support the participation of  
          disadvantaged communities in IRWM planning and for projects  
          that address critical water supply or water quality needs  
          for disadvantaged communities.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

                          Fiscal Impact (in thousands)

           Major Provisions           2009-10      2010-11      2011-12        
           Fund  

          Updating grant guidelines     Minor and absorbable        
          Bonds*

          Cost pressures on bond         Unknown, but minor pressures  
             Bonds*
          funds

          *Proposition 84

           SUPPORT  :   (Verified  8/18/09)

          California Rural Legal Assistance Foundation (co-source)
          Environmental Justice Coalition for Water (co-source)
          Clean Water Action
          Community Water Center
          Organization of Chinese Americans, Sacramento
          Sierra Nevada Alliance


           ARGUMENTS IN SUPPORT  :    According to the author's office,  
          "Disadvantaged communities around the state struggle to  
          meet basic water related public health functions including  
          supplying safe drinking water to their communities and  

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          maintaining basic wastewater infrastructure.  These  
          communities lack, entirely, the capacity to engage in water  
          use efficiency programs, low impact development standards,  
          recycled water opportunities, etc.  The IRWMP program  
          provides an opportunity for these communities to be part of  
          regional solutions that bring water-related agencies  
          together to develop integrated water management plans that  
          benefit from the efficiencies possible when multiple  
          agencies work together."

          "AB 626 will ensure that disadvantaged communities in every  
          region have equitable access to these funds and to the  
          IRWMP process.  SB 1XX (Perata), of 2008, required that no  
          less than 10 percent of the $139 million appropriated for  
          the IRWMP program be used to fund projects that provide  
          direct benefits to disadvantaged communities."


           ASSEMBLY FLOOR  : 
          AYES:  Ammiano, Arambula, Beall, Blumenfield, Brownley,  
            Buchanan, Caballero, Charles Calderon, Carter, Chesbro,  
            Coto, Davis, De La Torre, De Leon, Eng, Evans, Feuer,  
            Fong, Fuentes, Furutani, Gilmore, Hall, Hayashi,  
            Hernandez, Hill, Huber, Huffman, Jones, Krekorian, Lieu,  
            Bonnie Lowenthal, Ma, Mendoza, Monning, Nava, John A.  
            Perez, V. Manuel Perez, Portantino, Price, Ruskin, Salas,  
            Saldana, Skinner, Solorio, Swanson, Torlakson, Torres,  
            Torrico, Yamada, Bass
          NOES:  Adams, Anderson, Bill Berryhill, Tom Berryhill,  
            Blakeslee, Conway, Cook, DeVore, Duvall, Emmerson,  
            Fletcher, Fuller, Gaines, Garrick, Hagman, Harkey,  
            Jeffries, Knight, Logue, Miller, Nestande, Niello,  
            Nielsen, Silva, Smyth, Audra Strickland, Tran, Villines
          NO VOTE RECORDED:  Block, Galgiani


          CTW:do  8/19/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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