BILL ANALYSIS �
AB 2334
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Date of Hearing: May 9, 2012
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Felipe Fuentes, Chair
AB 2334 (Fong) - As Amended: April 9, 2012
Policy Committee: Water, Parks and
Wildlife Vote: 8-3
Environmental Safety and Toxic Materials7-2
Urgency: No State Mandated Local Program:
No Reimbursable: No
SUMMARY
This bill requires the Department of Water Resources (DWR), as
part of updating the California Water Plan, to:
1)Identify water systems struggling or failing to meet federal
affordability benchmarks.
2)Determine factors contributing to the high cost of these
systems.
3)Assess existing low-income water affordability programs.
4)Propose subsidy programs to make water affordable for
communities facing especially high costs for water rates, as
defined.
FISCAL EFFECT
Annual costs to DWR of an unknown amount, likely ranging from
several hundred thousand dollars to over $1 million dollars.
(General Fund, special funds and bond funds).
These annual costs to DWR include the work of a small team of
economists, demographers and analysts working to identify, among
the state's thousands of water systems, those water systems
struggling to meet federal affordability benchmarks; determining
the factors contributing to the high cost of these systems;
assessing existing low-income water affordability programs
(which, presumably, include local, state and federal programs,
as well as privately operated programs); and developing a
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proposal for subsidy programs. All of this work falls well
outside the normal scope of the Water Plan and well beyond its
normal depth, making the information and analysis required by
this bill a significant, distinct addition to the plan.
COMMENTS
1)Rationale. The author notes the prevalence of Californians
who do not have access to affordable clean drinking water or
wastewater services, both of which the author describes as
basic necessities. The author intends this bill to establish
a process by which to assess the scale of the problem of
drinking water and wastewater accessibility so that
appropriate policies may be developed to address the problem.
2)Background .
a) State Water Plans. 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. According to DWR, the Water Plan is a
high-level document that assists water managers in managing
water in the state. The Water Plan focuses on water supply
management, not drinking water quality or affordability.
DWR last updated the plan in 2009 and plans its next update
for 2013.
Statute also requires the Department of Public Health (DPH)
to update a Drinking Water Plan every five years. The
Drinking Water Plan must include, among other subjects, an
analysis of the 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
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drinking water; and an analysis of the current cost of
drinking water paid by residential, business, and
industrial consumers based on a statewide survey of large,
medium, and small public water systems.
Despite statutory requirements, DPH has not updated the
plan since 1993 because, according to the department, it
has not received funding to update the plan. Pursuant to a
recent court settlement, DPH has agreed to submit a
drinking water plan within three years.
b) Many Californians Lack Access to Affordable Clean Water .
As noted in a recent United Nations report, the Central
Valley relies on groundwater for 90% of its drinking water,
and much of that groundwater is contaminated. Residents
who are serviced by water systems with contaminated water
supplies oftentimes must purchase bottled water at a cost
considerably higher than water system rates. Others
residents, who cannot afford to purchase supplemental water
or who are unaware of drinking water contamination issues
or both, drink water contaminated with nitrates, arsenic or
other contaminants.
3)Support . This bill is supported by a long list of
organizations that advocate on behalf of human rights,
including, though not exclusively, the rights of immigrants,
poor people and disadvantaged communities.
4)There is no opposition formally registered to this bill.
Analysis Prepared by : Jay Dickenson / APPR. / (916) 319-2081