BILL ANALYSIS                                                                                                                                                                                                    �




                                                                  AB 2334
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          Date of Hearing:   April 24, 2012

           ASSEMBLY COMMITTEE ON ENVIRONMENTAL SAFETY AND TOXIC MATERIALS
                                Bob Wieckowski, Chair
                     AB 2334 (Fong) - As Amended:  April 9, 2012
           
          SUBJECT  :   California Water Plan:  Affordable drinking water 
          analysis.

           SUMMARY  :   Requires the Department of Water Resources (DWR), as 
          part of the California Water Plan, to analyze how drinking water 
          and wastewater services could be made more affordable for 
          low-income residents.  Specifically,  this bill  :

          1)  Finds that reliable and potable drinking water and 
          wastewater services are not affordable or accessible for 
          hundreds of thousands of low-income residents in California and 
          that it is in the public interest to meet these basic needs.


          2)  Finds that while California has adopted programs to assure 
          that low-income households have access to affordable and 
          dependable basic energy and telecommunications services, there 
          is no similar program for water and wastewater.


          3)  Requires DWR to include an analysis in the California Water 
          Plan which:
            a)  Identifies which systems are struggling or failing to meet 
          affordability benchmarks; 

            b)  Determines the factors contributing to high costs in these 
          systems; 

            c)  Assesses existing low-income affordability programs; and, 

            d)  Proposes appropriate programs to help make water 
          affordable to high-cost communities. 

          4)  Defines, for the purpose of this bill, a high-cost community 
          as disadvantaged communities where water rates are more than 2 
          percent of median household income (MHI) or communities where 
          more than 10 percent of the population spends more than 2 
          percent of their income on water. 










                                                                  AB 2334
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           EXISTING LAW  :

          1)Specifies that the California Water Plan is the master plan 
            which guides the orderly and coordinated control, protection, 
            conservation, development, management and efficient 
            utilization of California's water resources. 


          2)Requires that DWR update the California Water Plan every five 
            years and include a determination of the amount of water 
            needed to meet the state's future needs and to recommend 
            programs, policies, and facilities to meet those needs. 


          3)Includes, among other requirements, that DWR include a 
            discussion in the California Water Plan of the potential for 
            alternative water pricing policies to change current and 
            projected urban, commercial, industrial, agricultural and open 
            space water uses. 

          4)Requires the Department of Public Health (DPH) to update the 
            Drinking Water Plan every five years.  The Drinking Water Plan 
            must include, among other subjects, an analysis of overall 
            quality of California's drinking water; identification of 
            specific water quality problems and the types and levels of 
            contaminants found in public drinking water systems; an 
            analysis of the known and potential health risks that may be 
            associated with drinking water contamination; an evaluation of 
            how existing water quality information systems currently 
            maintained by local or state agencies can be more effectively 
            used to protect drinking water; and an analysis of the current 
            cost of drinking water paid by residential, business, and 
            industrial consumers based on statewide survey of large, 
            medium, and small public water systems. 

           FISCAL EFFECT  :   Not Known.

           COMMENTS  :

           1)Need for the bill:   According to the author, "unlike many 
            other goods and services, drinking water is a basic necessity 
            that every person requires and because it is consumed, 
            low-quality drinking water has profound public health impacts. 
             Despite this, across California there are water districts 
            that struggle to provide safe, affordable drinking water to 









                                                                  AB 2334
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            their consumers." The affordability of water and water service 
            is a growing concern for water customers across the state. 

           2)California Water Plan:   DWR is legally required to update the 
            California Water Plan every five years.  The plan presents 
            basic data and information on California's water resources, 
            including water supply evaluations and assessments of 
            agricultural, urban, and environmental water uses to quantify 
            the gap between water supplies and uses.  The plan also 
            identifies and evaluates existing and proposed statewide 
            demand management and water supply augmentation programs and 
            projects to address the State's water needs.  DWR last updated 
            the plan in 2009 and plans its next update for 2013. 
           
            3)CRLA Lawsuit  :  In 2010, DPH had not updated the plan since 
            1993 because, according to DPH, it has not received funding to 
            update the plan.  California Rural Legal Assistance (CRLA) 
            sued on behalf of residents of the San Joaquin Valley and a 
            grassroots organization, La Asociaci�n de Gente Unida por el 
            Agua (the AGUA Coalition), asking the court to order the CDPH 
            to prepare the required plan.  After an appellate court 
            reversed a dismissal of the suit (Newton-Enloe v. Horton) in 
            April, the parties settled the case in November.  The 
            department will submit a Safe Drinking Water Plan-a detailed 
            five-year implementation plan-within three years of the 
            settlement.  And, most important to CRLA, DPH must comply with 
            the state statute and investigate the water quality and 
            service of water systems throughout the state with fewer than 
            10,000 service connections<1>.  The settlement also allows 
            CRLA and its clients to submit their own data as part of the 
            state's plan.
             
           4)Quality vs Affordability?   This bill directs DWR to address 
            issues of affordability of drinking water, focusing on 
            disadvantaged low-income communities.  The Drinking Water Plan 
            being prepared by DPH may have some overlap, but the main 
            focus is to address quality, but not affordability.  Is 
            affordability something that DPH should be looking at in the 
            Drinking Water Plan, along with quality?  If DPH already has 
            some information on affordability of struggling systems, would 
            it be duplicative to require DWR to include the same analysis? 
          ---------------------------
             
            <1>http://www.theshriverbrief.org/2011/12/articles/economic-sec
            urity-and-opportun/ensuring-access-to-safe-drinking-water-for-a
            ll/








                                                                  AB 2334
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           5)Prior Legislation  :  AB 2222 (Caballero, Chapter 670, Statutes 
            of 2008) requires the State Water Resources Control Board 
            (SWRCB) to submit a report to the Legislature that identifies: 
             communities in California that rely on contaminated 
            groundwater as a primary source of drinking water; the 
            principal contaminants and constituents of concern; and 
            potential solutions and funding sources to clean up or treat 
            groundwater, or provide alternative water supplies.  The SWRCB 
            draft report has identified 682 communities, serving more than 
            21 million people that rely on groundwater contaminated with 
            one or more principal contaminants.

            AB 1187 (Fong, 2011) would have required DWR to include the 
            Safe Drinking Water Plan in updates of the California Water 
            Plan, and would have required DWR to contract with DPH to 
            incorporate the Drinking Water Plan in updates of the Water 
            Plan.  Failed passage in the Assembly Committee on 
            Appropriations February, 2011. 

           6)Related Current Legislation:  
            AB 1669 (Perea), Drinking Water Nitrate Contamination - 
            Establishes the Nitrate at Risk Area Fund for the purposes of 
            developing and implementing sustainable and affordable 
            solutions for disadvantaged communities in areas reliant on 
            nitrate-contaminated groundwater as their source of drinking 
            water.  AB 1669 is scheduled for hearing in the Environmental 
            Safety and Toxic Materials (ESTM) Committee on April 24, 2012.

            AB 2208 (Perea), Consolidated drinking water systems 
            authorization.  Authorizes the CDPH, when implementing the 
            Safe Drinking Water State Revolving Fund (SDWSRF), to 
            consolidate multiple community projects to meet safe drinking 
            water stands.  AB 2208 is scheduled for hearing in the ESTM 
            Committee on April 24, 2012.

            AB 2238 (Perea), Requires the CDPH to promote the 
            consolidation and merger of small community water systems that 
            serve disadvantaged communities.  Requires local agency 
            formation commissions LAFCO to examine drinking water and 
            waste treatment service consolidation as part of a LAFCO local 
            agency service review.  AB 2238 is scheduled for hearing in 
            the ESTM Committee on April 24, 2012.










                                                                  AB 2334
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            AB 2529 (Wieckowski), Streamlines the Safe Drinking Waste Act 
            regulations and criteria for revolving funds.  Authorizes the 
            CDPH to adopt interim regulations and take other actions to 
            expedite the process of providing funds for drinking water 
            projects, especially to severely disadvantaged communities.  
            AB 2529 is scheduled for hearing in the ESTM Committee on 
            April 24, 2012.

          7)This bill was heard in the Assembly Committee on Water, Parks 
            & Wildlife on April 10th, 2012 and passed Ayes 8, Noes 3.

           REGISTERED SUPPORT / OPPOSITION  :

           Support  








































                                                                 AB 2334
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          California Rural Legal Assistance Foundation (Sponsor) 
          PolicyLink (Sponsor) 
          Clean Water Action (Sponsor) 
          Community Water Center (Sponsor) 
          ACCESS/Women's Health Rights Coalition 
          ACT for Women and Girls 
          Alliance of Californians for Community 
               Empowerment 
          Asian Health Services 
          Asian Pacific American Legal Center 
          Black Women for Wellness
          California Immigrant Policy Center 
          California Latinas for Reproductive Justice 
          California Pan-Ethnic Health Network 
          California Partnership 
          California Public Utilities Commission 
               Division of Ratepayer Advocates 
          Cal-Islanders Humanitarian Association 
          Central Valley Partnership 
          Centro Binacional Para el Desarrollo 
               Ind�gena Oaxaque�o, Inc. 
          Coalition for Humane Immigrant Rights of  
               Los Angeles 
          Communities for a New California Education Fund 
          Earth Mama Healing 
          Frente Ind�gena de Orbanizaciones Binacionales 
          Great Beginnings for Black Babies 
          Guam Communications Network 
          Korean Community Center of East Bay 
          Korean Resource Center 
          Latino Coalition for a Health California 
          Libreria del Pueblo, Inc. 
          Low-Income Families' Empowerment through Education 
          Madera Coalition for Community Justice 
          Nana's Wish 
          Pacific Islander Cancer Survivors Network 
          San Jerardo Cooperative Inc. 
          Sierra Club
          Services, Immigrant Rights, and Education Network 
          South Asian Network 
          SSG - PALS for Health 
          Street Level Health 
          The Council of Mexican Federations 
           









                                                                  AB 2334
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           Opposition 
           
          None on File
           

          Analysis Prepared by  :    Dharia McGrew / E.S. & T.M. / (916) 
          319-3965