BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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                                 THIRD READING


          Bill No:  AB 2483
          Author:   Coto (D), et al
          Amended:  8/3/10 in Senate
          Vote:     21

           
           SENATE NATURAL RES. & WATER COMMITTEE  :  5-3, 6/29/10
          AYES:  Pavley, Kehoe, Lowenthal, Padilla, Wolk
          NOES:  Cogdill, Hollingsworth, Huff
          NO VOTE RECORDED:  Simitian

           SENATE LOCAL GOVERNMENT COMMITTEE  :  3-2, 6/30/10
          AYES:  Kehoe, DeSaulnier, Price
          NOES:  Cox, Aanestad

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8 

           ASSEMBLY FLOOR  :  49-28, 6/3/10 - See last page for vote


           SUBJECT  :    Santa Clara Valley Water District

           SOURCE  :     Santa Clara Valley Water District


           DIGEST  :    This bill revises and recast the Santa Clara  
          Valley Water District Act.

           ANALYSIS  :    Existing law:

          1.Requires the Santa Clara Water District (district) to  
            annually prepare a written report on the district's  
            activities in the protection and augmentation of the  
                                                           CONTINUED





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            water supplies of the district, and requires the report  
            to include information prescribed by the act and other  
            information the board may order. 

          2.Requires the report to include a recommendation as to  
            whether or not a groundwater charge should be levied in  
            any zone or zones of the district during the ensuing  
            water year and, if a groundwater charge is recommended, a  
            proposal of the rate or rates per acre-foot of water, as  
            specified.

          3.Requires the board of directors of the district (board)  
            to hold a public hearing on the annual report, and  
            prescribes notice requirements for purposes of the public  
            hearing.

          4.Requires the board to determine whether to levy a  
            groundwater charge in any zone or zones prior to the end  
            of the water year based upon findings and determinations  
            from the public hearing on the annual report. 

          5.Sets forth various requirements relating to the  
            calculation of groundwater charges, including a  
            requirement that certain increases in rates be directly  
            related to the reduction in the affected zone groundwater  
            levels in a specified period. 

          6.Prescribes public hearing and notice requirements for the  
            imposition of new and adjusted groundwater charges.

          7.Requires that assessments, fees, and charges be submitted  
            to property owners for approval or rejection after the  
            provision of a written notice and the holding of a public  
            hearing.

          8.Prescribes specific procedures and parameters for local  
            jurisdictions in complying with Article XIII D of the  
            California Constitution.

          This bill:

          1.Authorizes the district to take actions relating to water  
            management, water quality, and energy and environmental  
            benefits in the district.







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          2.Authorizes the district to provide incentives or  
            assistance to water retailers to implement specified  
            water conservation measures.

          3.Authorizes the district to implement other measures if  
            the implementation of those measures is a precondition  
            for continued delivery of imported water to the district  
            pursuant to state or federal law.

          4.Requires a written report on the district's activities in  
            the protection and augmentation of the water supplies of  
            the district.

          5.Revises the required groundwater charge recommendation to  
            instead require the district to make recommendation as to  
            whether a groundwater charge should remain unchanged, be  
            decreased or increased, or be newly imposed in any zone  
            or zones of  the district. 

          6.Repeals a public hearing and notice requirement related  
            to groundwater changes and authorizes the board to impose  
            a groundwater charge in any zone in compliance with  
            Article XII D of the California Constitution and  
            specified provisions of the Government Code.

          7.Revises certain requirements relating to the calculation  
            of groundwater charges, and delete the requirement that  
            certain increases in groundwater charge rates be directly  
            related to the reduction in the affected zone groundwater  
            levels.

           Background
           
          The Santa Clara Valley Water District operates under a 1951  
          special act, providing flood control and water services.   
          Over the last 50 years, the District's mission changed from  
          serving an agricultural base into an urban water agency.

          In 1962, the District gained the ability to levy  
          groundwater charges in areas that benefit from the recharge  
          of underground water supplies or the distribution of  
          imported water to those areas.  The owners of water  
          producing facilities pay the groundwater charges.  The  







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          District's Act spells out the procedures that it must  
          follow before levying the annual groundwater charges,  
          including a detailed annual report, public notices, and a  
          public hearing (SB 1x, Thompson, 1962).

          Proposition 218 (1996) defined a property-related fee or  
          charge as any levy other than an ad valorem tax, a special  
          tax, or an assessment imposed by an agency on a parcel or  
          on a person as an incident of property ownership, including  
          a user fee or charge for a property-related service.   
          Before a local government can charge a new property-related  
          fee, or increase an existing one, Proposition 218 requires  
          local officials to:

          1. Identify the parcels to be charged.
          2. Calculate the fee for each parcel.
          3. Notify the parcels' owners in writing about the fees and  
             the hearing.
          4. Hold a public hearing to consider and count protests.
          5. Abandon the fees if a majority of the parcels' owners  
             protest.

          Further, new or increased property-related fees require:

          1. A majority-vote of the affected property owners; or,
          2. Two-thirds registered voter approval; or,
          3. Weighted ballot approval by the affected property  
             owners.

          The election requirements don't apply to property-related  
          fees for sewer, water, or refuse collection services.

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

           SUPPORT :   (Verified  8/9/10)

          Santa Clara Valley Water District (source) 
          American Federation of State, County and Municipal  
          Employees
          Association of California Water Agencies
          California Special Districts Association
          Clean Water Action
          Gavilan Water District







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          International Federation of Professional and Technical  
          Engineers
          Professional and Technical Engineers, IFPTE Local 21
          Sierra Club-California

           OPPOSITION  :    (Verified  8/9/10)

          Great Oaks Water Company
          Silicon Valley Taxpayers Association
          Howard Jarvis Taxpayers Association


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


          CTW:nl  8/9/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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