BILL ANALYSIS                                                                                                                                                                                                    






                                 SENATE HEALTH
                               COMMITTEE ANALYSIS
                        Senator Elaine K. Alquist, Chair


          BILL NO:       AB 1100                                      
          A
          AUTHOR:        Duvall                                       
          B
          AMENDED:       May 5, 2009
          HEARING DATE:  July 8, 2009                                 
          1
          REFERRAL:      Environmental Quality                        
          1
          CONSULTANT:                                                 
          0
          Orr/                                                        
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                                     SUBJECT
                                         
                       Potable reuse demonstration water

                                     SUMMARY  

          Defines potable reuse demonstration water and allows it to  
          be bottled for consumption, subject to distribution limits  
          and labeling requirements, for educational purposes only.

                             CHANGES TO EXISTING LAW  

          Existing federal law:
          Establishes the Federal Food, Drug, and Cosmetic Act,  
          giving authority to the U.S. Food and Drug Administration  
          (FDA) to define, regulate, and oversee the safety of the  
          food, drugs, and cosmetics sold in the United States. 

          Authorizes the FDA to regulate bottled water as food and  
          set standards for bottled water products in interstate  
          commerce.


          Establishes the Safe Drinking Water Act (SDWA) to protect  
          public health by regulating the nation's public drinking  
                                                         Continued---



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          water supply. The act requires actions to protect drinking  
          water and its sources, including rivers, lakes, reservoirs,  
          springs, and ground water wells. 


          Authorizes the Office of Ground Water and Drinking Water  
          within the United States Environmental Protection Agency  
          (EPA) to set national health-based standards for drinking  
          water to protect against both naturally occurring and  
          man-made contaminants that may be found in drinking water,  
          under the Safe Drinking Water Act.

          Existing state law:
          Establishes the Department of Public Health (DPH), Food and  
          Drug Branch, which is responsible for licensing and  
          regulating manufacturers of bottled water and providers of  
          vended water.  

          Establishes the Sherman Food, Drug, and Cosmetics Law,  
          which prescribes various quality and labeling standards for  
          bottled water and vended water, and limits the levels of  
          certain contaminants that may be contained in those water  
          products. 

          Establishes the Water Recycling Act of 1991, creating a  
          statewide goal to recycle a total of 700,000 acre-feet of  
          water per year by the year 2000 and 1,000,000 acre-feet of  
          water per year by the year 2010. Requires each urban water  
          supplier to prepare, and update every five years, an urban  
          water management plan with specified components, including  
          information on recycled water and its potential for use as  
          a water source in the service area of the urban water  
          supplier.

          This bill:
          Defines potable reuse demonstration water (PRDW) as  
          secondary effluent (treated wastewater) from a wastewater  
          treatment facility, operated by a wastewater treatment  
          agency with a source control program that goes beyond  
          conventional source control. The water must be treated to  
          remove particulates by: 1) either a microfiltration,  
          ultrafiltration, or other filtration process prior to  
          reverse osmosis; 2) reverse osmosis; and, 3) advanced  
          oxidation by means of ultraviolet light and peroxide. In  
          order to be classified as PRDW, the water must meet or  




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          exceed all federal and state drinking water standards and  
          all maximum contaminant levels (MCLs) set by DPH for public  
          drinking water. 

          Allows the operator of a facility that produces PRDW to  
          bottle and distribute the water for educational purposes,  
          provided the operator first tests samples of the water in  
          accordance with current federal and state bottled water  
          testing standards. The water is not to be sold or exchanged  
          for financial consideration. 

          Requires PRDW to be bottled in a licensed water-bottling  
          plant in nonreturnable bottles or packages, and labeled to  
          stipulate that the water is "not for sale" and "highly  
          treated recycled wastewater meeting all federal and state  
          drinking water standards." Allows the operator to establish  
          a collection and recycling program for distributed bottles.  


          Makes PRDW subject to the certain regulations governing the  
          transportation, bottling, and handling of bottled water.  
          Stipulates that PRDW may not be distributed unless the  
          water meets all federal and state drinking water standards  
          and maximum contaminant levels (MCLs) set by DPH for public  
          drinking water.

          Sets a limit of no more than 1,000 gallons of PRDW to be  
          bottled per year. 

                                  FISCAL IMPACT
                                         
          The Assembly Appropriations Committee estimates negligible  
          costs to the Department of Public Health.

                            BACKGROUND AND DISCUSSION  

          The state's growing demand for water, lack of new water  
          resources, and frequent calls for water conservation in low  
          and consecutive low rainfall years have resulted in efforts  
          to augment potable supplies with recycled water. The author  
          claims that water recycling is a cost-effective, reliable  
          way to meet our water demands and alleviate pressure on our  
          fragile river systems.  According to the EPA, effluent  
          discharges from recycled water have been accepted for many  
          years as an important source for maintaining minimum stream  




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          flows. The investment in treatment technologies required to  
          meet restrictive discharge limits has led an increasing  
          number of industries and communities to consider other uses  
          for their treated wastewater effluents as a means to  
          recover part of this investment. As sources of water  
          supplies have become limited, there has been greater use  
          and acceptance of reclaimed wastewater effluents as an  
          alternative source of water for a wide variety of  
          applications, including landscape and agricultural  
          irrigation, toilet and urinal flushing, industrial  
          processing, power plant cooling, wetland habitat creation,  
          restoration and maintenance, and groundwater recharge.

          Orange County Groundwater Replenishment System
          The Orange County Water District (OCWD) partnered with the  
          Orange County Sanitation District (OCSD) to construct a  
          water purification project, the Groundwater Replenishment  
          System (GWR). The GWR takes treated water from OCSD,  
          currently sent to the ocean, and purifies to  
          nearly-distilled quality water.  The water is then used to  
          expand OCWD's seawater barrier, and sent to percolation  
          ponds to recharge natural groundwater supplies. The GWR  
          system was reviewed, approved and permitted by the  
          California Department of Public Health and the Santa Ana  
          Regional Water Quality control board to ensure public  
          health, water quality, and environmental compliance prior  
          to starting production, and it began producing water for  
          recharge in January 2008. 

          Since then, the GWR system has produced more than 10.5  
          billion gallons of highly purified new water, and is the  
          largest indirect potable water recycling project in the  
          world. The water purification facility has helped to meet  
          the water demands for more than 500,000 residents in Orange  
          County. OCWD claims GWR reduces the amount of outfall  
          during storms to the Pacific Ocean, preserves the county's  
          coast and uses fewer gas emissions than when importing  
          water from the California State Water Project. 

          Drinking water quality
          The EPA's Office of Ground Water and Drinking Water issues  
          regulations on the production, distribution, and quality of  
          drinking water, including regulations on source protection,  
          operation of drinking water systems, contaminant levels and  
          reporting requirements.  The EPA is responsible for  




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          enforcing the National Primary Drinking Water Regulations,  
          which apply to every public water system in the United  
          States. 

          Due to the sheer numbers of potential chemicals that exist,  
          the EPA contends that traditional wastewater treatment  
          processes used in public water systems for recycled water  
          are not the panacea for all potable water quality concerns,  
          particularly since current analytical methods are  
          insufficient to identify all potential contaminants at  
          concentrations of health significance. For instance, trace  
          organic compounds, including pharmaceuticals, hormones,  
          antibiotics, anti-inflammatories, and personal care  
          products (antibacterial soaps, sunscreen, bath gels, etc.)  
          can be present in municipal wastewaters. None of these  
          individual compounds are regulated or monitored by MCLs in  
          the SDWA. 

          Drinking water, including bottled water, may reasonably be  
          expected to contain at least small amounts of some  
          contaminants. As water naturally travels over the surface  
          of the land or through the ground, it can pick up naturally  
          occurring substances as well as substances that are present  
          due to animal and human activity. Technologies, such as  
          reverse osmosis, may help to somewhat alleviate the risk of  
          contamination, but the presence of contaminants does not  
          necessarily indicate that water poses a health risk. Plus,  
          several epidemiological studies to monitor the health of  
          those consuming recycled water so far have shown no link  
          between the incidence of infectious disease or cancer rates  
          and exposure to reclaimed water. Other studies have shown  
          no association between reclaimed water and adverse birth  
          outcomes.

          The Drinking Water Program within the DPH Division of  
          Drinking Water and Environmental Management (DDWEM)  
          regulates the state's public water systems; promotes and  
          provides information on water conservation; oversees water  
          recycling projects; and certifies drinking water treatment  
          and distribution operators, among other things. DDWEM has  
          not approved any disinfected tertiary or advanced treated  
          recycled water, including PRDW, for drinking. Tertiary  
          treatment includes treatment processes beyond secondary or  
          biological processes which further improve effluent  
          quality, and can include detention in lagoons and  




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          conventional filtration via sand, among others. However,  
          DDWEM does allow disinfected-tertiary or advanced treated  
          recycled water for "indirect drinking use" such as water  
          recharge.
          
          Bottled water standards
          The Food and Drug Administration (FDA) regulates bottled  
          water as a food. The Federal Food, Drug, and Cosmetic Act  
          (FFDCA) provides FDA with broad regulatory authority over  
          food that is introduced or delivered for introduction into  
          interstate commerce. Under the FFDCA, manufacturers are  
          responsible for producing safe, wholesome and truthfully  
          labeled food products, including bottled water products. It  
          is a violation of the law to introduce into interstate  
          commerce adulterated or misbranded products that violate  
          the various provisions of the FFDCA.


          The FDA establishes a standard of identity and a standard  
          of quality for bottled water.  The standard of identity  
          encompasses: (1) a general description of bottled water;  
          (2) names that may be used to identify bottled water  
          products (e.g., "bottled water," "drinking water," or  
          alternative terms such as "purified water" or "spring  
          water"); and (3) FDA requirements for "other label  
          statements" specific to bottled water products. Under the  
          standard of identity, the FDA describes bottled water as  
          water that is intended for human consumption and that is  
          sealed in bottles or other containers with no added  
          ingredients except that it may contain safe and suitable  
          antimicrobial agents. 


          Under their standard of quality, FDA establishes allowable  
          levels for contaminants in bottled water. There are  
          microbiological standards that set allowable coliform  
          levels; physical standards that set allowable levels for  
          turbidity, color and odor; and radiological standards that  
          set levels for radium activity, alpha-particle activity,  
          and beta particle and photon radioactivity. The standard of  
          quality also includes allowable levels for more than 70  
          different chemical contaminants. 


          When the microbiological, physical, chemical or  




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          radiological quality of bottled water is below that  
          prescribed in the quality standard, the label of the  
          bottled water bottle must contain a statement of  
          substandard quality, such as "Contains Excessive Bromate,"  
          "Contains Excessive Bacteria," or "Excessively  
          Radioactive." However, including a label of substandard  
          quality may not be sufficient. Regardless of whether  
          bottled water bears a statement of substandard quality, it  
          is considered adulterated if it contains a substance at a  
          level considered injurious to health under section  
          402(a)(1) of the FFDCA.


          In California, bottled water is regulated by a separate  
          division in DPH, the Food and Drug Branch, and is described  
          within the Sherman Food, Drug, and Cosmetics Law. Prior to  
          bottling or vending water, existing law requires the water  
          to be subjected to filtration and effective germicidal  
          treatment by ozone, ultraviolet, carbon dioxide, or an  
          equivalent disinfection process approved by DPH. PRDW does  
          undergo extensive filtration processes, however it remains  
          unclear whether PRDW is allowable under current bottled  
          water requirements. 

          Related bills 
          AB 301 (Fuentes) 2009 requires applicants for licenses to  
          bottle water in California report the volume of the water,  
          the source, and the county of the source to the Department  
          of Public Health. Requires the Department to compile this  
          information and make it available to the public. Pending in  
          Senate Appropriations Committee.

          AB 410 (De la Torre) 2009 would set a statewide water  
          recycling target to a total of 1,300,000 acre-feet of water  
          per year by the year 2020, and 2,000,000 acre-feet of water  
          per year by the year 2030. Would require the Department of  
          Water Resources to assess progress toward meeting that  
          target every five years, based on information provided in  
          urban water management plans. Pending in the Senate  
          Environmental Quality Committee.

          Prior legislation
          AB 2186 (Salas) 2008 would have required each water-vending  
          machine, retail water facility, and private water source  
          that sells water at retail to display the identity of the  




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          source from which the water was last obtained prior to  
          being bottled.  The bill was set to be heard in Assembly  
          Environmental Safety and Toxic Materials Committee, but the  
          hearing was canceled by the author.

          SB 220 (Corbett) Chapter 575, Statutes of 2007, requires a  
          water-bottling plant to annually prepare a bottled water  
          report, including information about the source of the  
          bottled water, i.e. a spring, drilled well, or municipal  
          water supply, as a condition of licensure. The report must  
          also include a brief description of the treatment process  
          used for producing the bottled water. This bill also  
          enhanced the Department of Public Health's regulatory  
          process governing water dispensed from water vending  
          machines and the labeling requirements for bottled water.

          AB 1521 (Salas) 2007 would have required each container of  
          bottled water sold in this state to include on its label  
          the identity of the source from which the water was last  
          obtained prior to being bottled, in compliance with  
          applicable federal regulations.  Required, as a condition  
          of licensure, that a water-bottling plant annually prepare  
          and submit to the department a consumer confidence report.  
          Vetoed by the governor. 
          
          SB 1589 (Denham) 2004 would have required that bottled  
          water may not exceed 10 parts per billion of total  
          triahalomethanes or 5 parts per billion of lead, unless the  
          department establishes a lower level by regulation, and  
          vended water may not exceed 10 parts per billion of total  
          triahalomethanes, on average, or 5 parts per billion of  
          lead for public drinking water. Set to be heard in the  
          Senate Health and Human Services Committee; hearing was  
          cancelled at the request of the author.

          AB 83 (Corbett) 2003 would have transferred the provisions  
          relating to the licensure and regulation of persons engaged  
          in the bottled water activities from the Sherman Food,  
          Drug, and Cosmetic Law to the California Safe Drinking  
          Water Act. It would have required specified information on  
          labeling and in advertising bottled water products. The  
          bill would have required bottled water licensees to comply  
          with provisions similar to those imposed on public water  
          systems regarding emergency notification plans, consumer  
          confidence reports, and inspections. This bill would have  




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          also revised the annual license fee schedule. Failed  
          passage on the Senate Floor.

          Arguments in support
          The OCWD contends that this bill will educate Californians  
          about the advanced purification process used to treat water  
          at the district, and allow them to sample the purified  
          water produced there. This bill will also make more  
          Californians familiar with water recycling agencies and  
          their role in managing the state's water resources. The  
          Southern California Water Committee claims that bottling  
          this recycled water is an opportunity to help battle the  
          misinformation and negative public perception of recycled  
          water.  The California Special Districts Association  
          contends that this bill is a sensible approach to allowing  
          potable reuse demonstration water, and cite the need for  
          using all tools available for the purpose of solving our  
          water challenges and sustaining our groundwater resources. 

                                  PRIOR ACTIONS

           Assembly Floor:                              76-0
          Assembly Appropriations:                15-0
          Assembly Environmental Safety and Toxic Materials:7-0

                                     COMMENTS

           1. Do we have the authority?
             The federal government has ultimate authority over  
            drinking water standards, and it is believed that the EPA  
            does not expressly allow for municipal wastewater to be  
            treated and used for human consumption. The Department of  
            Public Health believes that federal law does not  
            currently recognize secondary effluent as a potential  
            source of drinking water. DPH suggests amending the bill  
            to reflect this, but the suggested amendments have not  
            yet been submitted to this committee.  The bill is  
            double-referred to the Senate Environmental Quality  
            Committee and d  ue to the delay in transmitting the  
            amendments to th  is  committee and the impending fiscal  
            bill deadline, these amendments will need to  be  
            considered  in E  .  Q  .  Committee. 

            These amendments will likely render the bill inoperable  
            until PRDW is recognized by the federal government as  




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            drinking water. In spite of the  potential  federal  
            preemption, the author contends that this bill is an  
            important step forward in educating the public about the  
            benefits and uses of recycled water.  

                                         
                                   POSITIONS
                                         
          Support:  Orange County Water District (sponsor)
                    Association of California Water Agencies
                    California Association of Sanitation Agencies
                    California Special Districts Association
                    San Diego County Water Authority
                    Southern California Water Committee
                    Western Municipal Water District
          
          Oppose:   None received
                                   -- END --