BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           457 (Wolk)
          
          Hearing Date:  05/28/2009           Amended: 05/05/2009
          Consultant:  Brendan McCarthy   Policy Vote: NR&W 7-3, LG 3-2














































          SB 457 (Wolk)
          Page 2


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          BILL SUMMARY: SB 457 would establish a new Delta Stewardship  
          Council which would be required to adopt a plan to restore the  
          Delta ecosystem and ensure a reliable water supply, determine  
          whether any project approved by a state agency or local  
          government is consistent with the plan, and assume  
          responsibility for any conservation plan for the Delta. 

          The bill would establish a Delta Science and Engineering  
          Program, with specified responsibilities. The bill would also  
          require the Delta Protection Commission to carry out additional  
          land use responsibilities.
          _________________________________________________________________ 
          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2009-10      2010-11       2011-12     Fund
           
          New Council staff      Up to $3,000 per year            General
                                                                  
          Implementation of      Potentially in the hundreds of  
          millionsGeneral        
            conservation plans                                    

          New science program    $10,000 to $20,000 per year      General 

          Delta Protection                  $1,500      $1,500    General
            Commission consistency                                
            determinations

          Reimbursable state     Unknown                          General
            mandates    
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: Suspense file. 
          
          Under current law, the Delta Protection Commission has developed  
          a management plan for land use issues in the Delta. The policies  
          contained in the management plan have been adopted into the  
          general plans of local governments in the Delta. In the event  
          that a local government makes a land use decision that may  
          conflict with Delta Protection Commission policies, the  
          Commission acts as an appellate body for those decisions.







          SB 457 (Wolk)
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          During its 2005-2006 Regular Session, the Legislature passed and  
          the Governor signed AB1200 (Laird), SB1574 (Kuehl), and AB1803  
          (Committee on Budget).  Together, these bills required an  
          assessment of the potential impacts on water supplies of  
          catastrophic failures in the Delta, identification and  
          evaluation of options to protect water supplies and the  
          ecosystem of the Delta, the development of a vision for a  
          sustainable Delta, and a strategic plan to achieve a sustainable  
          Sacramento-San Joaquin Delta.  Additionally, SB 1574 created a  
          Delta Vision Committee to develop the vision and strategic plan.  
           

          On September 28, 2006, the Governor issued an Executive Order  
          that, established a Blue Ribbon Task Force and directed it to  
          develop a vision for the Delta.
           
          In October 2008, the Blue Ribbon Task Force published its Delta  
          Vision Strategic Plan.  According to the plan, in order to  
          achieve a healthy Delta and a more reliable water system for  
          Californians, policy makers must:
           Legally acknowledge the co-equal goals of restoring the Delta  
            ecosystem and creating a more reliable water supply for  
            California.
           Recognize and enhance the unique cultural, recreational, and  
            agricultural values of the California Delta as an evolving  
            place, an action critical to achieving the co-equal goals.
           Restore the Delta ecosystem as the heart of a healthy estuary.
           Promote statewide water conservation, efficiency, and  
            sustainable use.
           Build facilities to improve the existing water conveyance  
            system and expand statewide storage, and operate both to  
            achieve the co-equal goals.
           Reduce risks to people, property, and state interests in the  
            Delta by effective emergency preparedness, appropriate land  
            uses, and strategic levee investments.
           Establish a new governance structure with the authority,  
            responsibility, accountability, science support, and secure  
            funding to achieve these goals.

          The report of the Blue Ribbon Task force can be considered a  
          starting point for several bills under consideration by this  
          committee relating to the Delta.









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          SB 457 would create the Delta Stewardship Council, consisting of  
          eight appointed members and the chair of the Delta Protection  
          Commission. The Council would be required to develop and approve  
          a Delta Stewardship Plan, to hear appeals of decisions made by  
          the Delta Protection Commission, to determine the consistency of  
          major proposed infrastructure projects with the Stewardship  
          Plan, and establish policies and procedures for the operation of  
          water export systems to ensure consistency with the Stewardship  
          Plan.

          Because the bill would establish a new entity in state  
          government with responsibilities that are broadly defined, it is  
          difficult to accurately estimate the costs to operate the  
          Council. Staff notes that the San Francisco Bay Conservation and  
          Development Commission has somewhat analogous authority within  
          the San Francisco Bay, and has an ongoing budget of about $6  
          million per year. Because the Council under SB 457 would have  
          less direct permitting responsibility, the costs may be less.  
          These costs, plus the additional costs to develop and  
          periodically revise a require plan could be up to $3 million per  
          year.

          The Council would also assume responsibility for any  
          conservation or habitat management plan for the Delta. In  
          addition to the annual staff costs, there would be substantial  
          costs for actually implementing any habitat restoration plan.  
          Staff notes that the CalFed program has spent over $570 million  
          over the past decade on programs relating to ecosystem  
          restoration in the Delta. While the scope of activities  
          authorized under this bill is unknown, efforts to protect  
          environmental attributes of the Delta in the past have proved  
          very costly. 

          The bill would require the Council to create a Delta Science and  
          Engineering Program, as a replacement for the CalFed Science  
          Program. The Science Program would be responsible for  
          researching issues relating to the Delta, synthesizing  
          information for policymakers, reviewing major projects relating  
          to the Delta, and conducting independent reviews of other  
          government agency actions relating to the Delta. Staff notes  
          that over the past several years, the CalFed Science Program has  
          been budgeted between $10 million and $35 million per year.

          The bill would require the Delta Protection Commission to revise  
          its plans to be consistent with the Stewardship Plan, review all  







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          general plans in the Delta to ensure consistency with the  
          Stewardship Plan, review all development proposals in the Delta  
          for consistency with the Stewardship Plan, and develop a  
          regional economic development plan. The cost to carry out these  
          responsibilities would be about $1.5 million per year.

          Because the bill allows the Council to impose requirements on  
          local governments, including general plan requirements, the bill  
          would impose a state mandate.

          Staff notes that this bill is one of several bills relating to  
          the Delta that will be before this committee, including, SB 12  
          (Simitian), SB 229 (Pavley), and SB 458 (Wolk).