BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  AB 2775|
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                                 THIRD READING


          Bill No:  AB 2775
          Author:   Huffman (D), et al
          Amended:  6/29/10 in Senate
          Vote:     27 - Urgency

           
           SENATE NATURAL RES. & WATER COMMITTEE  :  7-1, 6/22/10
          AYES:  Pavley, Cogdill, Hollingsworth, Huff, Lowenthal,  
            Padilla, Simitian
          NOES:  Wolk
          NO VOTE RECORDED:  Kehoe

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8

           ASSEMBLY FLOOR  :  74-0, 4/29/10 (Consent) - See last page  
            for vote


           SUBJECT  :    Safe, Clean, and Reliable Drinking Water Supply  
          Act of 
                      2010:  surface storage projects:  joint powers  
          authorities

           SOURCE  :     Author


           DIGEST  :    This bill deletes a provision in the Safe, Clean  
          and Reliable Drinking Water Supply Act authorizing Joint  
          Powers Authorities to include in their membership  
          governmental and nongovernmental partners that are not  
          located within their respective hydrologic regions in  
          financing surface storage projects.  This bill also  
          clarifies that a joint powers authority may not include a  
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          for-profit corporation, or a mutual water company that  
          includes a for-profit corporation or private entity.

           Senate Floor Amendments  of 6/29/10 reinstate language that  
          authorized joint powers authorities (JPA's) to include  
          their membership governmental and nongovernmental partners  
          to participate in financing the surface storage projects  
          that will be authorized, and add clarifying language that a  
          JPA may not include a for-profit corporation, or a mutual  
          water company that includes a for-profit corporation or  
          private entity.

           ANALYSIS  :    Existing law, SBX7 2(Cogdill), Chapter 3,  
          Statutes of 2009-10 Seventh Extraordinary Session, is part  
          of the water package passed.  That bill enacted the Safe,  
          Clean, and Reliable Drinking Water Supply Act of 2010,  
          which, if approved by the voters in November 2010,  
          authorizes $11.14 billion in general obligation bonds to  
          fund various water resources programs and project.  The  
          funding by chapter is as follows:

          $455 M         Chapter 5Drought Relief
          $1,050         Chapter 6Water Supply Reliability
          $2,250         Chapter 7Delta Sustainability
          $3,000         Chapter 8Statewide Water System Operational  
          Improvement
          $1,785         Chapter 9Conservation and Watershed  
          Protection
          $1,000         Chapter 10Groundwater Protection and Water  
          Quality
           $1,250          Chapter 11Water Recycling Program
          $11,140 M Total

          Chapter 8 provides $3.0 B for surface and groundwater  
          storage projects.  Chapter 8 specified, among other things,  
          that funds allocated construction of surface storage  
          projects identified in the CALFED Bay-Delta Record of  
          Decision may be provided for those purposes to local joint  
          powers authorities formed by irrigation districts and other  
          local water districts and local governments within the  
          applicable hydrologic region to design, acquire, and  
          construct those projects.  

          Chapter 8 further specified that the JPA may include in  

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          their membership governmental and nongovernmental partners  
          that are not located within their respective hydrologic  
          regions in financing the surface storage projects,  
          including, as appropriate, cost share participation or  
          equity participation.  Also the Department of Water  
          Resources (DWR) would be an ex-officio member of each joint  
          powers authority subject to this section, but the DWR would  
          be prohibited from controlling the governance, management,  
          or operation of the surface water storage projects.

          This bill deletes a provision in the Safe, Clean and  
          Reliable Drinking Water Supply Act authorizing JPA to  
          include in their membership governmental and  
          nongovernmental partners that are not located within their  
          respective hydrologic regions in financing surface storage  
          projects, and clarifies that a JPA may not include a  
          for-profit corporation, or a mutual water company that  
          includes a for-profit corporation or private entity.

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

           ARGUMENTS IN SUPPORT  :    According to the author's office,  
          "AB 2775 clarifies that the intent of the bond funds is to  
          be used only for public benefits.  These amendments remove  
          unnecessary language to avoid possible confusion regarding  
          private partners in a public JPA."


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

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            Lowenthal, Torrico, Vacancy


          CTW:do  6/30/10   Senate Floor Analyses 

                       SUPPORT/OPPOSITION:  NONE RECEIVED

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