BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1
                                                                  Page  1

          Date of Hearing:   April 10, 2013

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                      AB 1 (Alejo) - As Amended:  April 3, 2013

          Policy Committee:                              Environmental  
          Safety and Toxic Materials                    Vote: 6-0

          Urgency:     Yes                  State Mandated Local Program:   
          No     Reimbursable:              

           SUMMARY  

          This bill appropriates $2 million to the State Water Resources  
          Control Board (SWRCB) for use by the Greater Monterey County  
          Regional Water Management Group to develop an integrated plan to  
          address the drinking water and wastewater needs of disadvantaged  
          communities in the Salinas Valley for submittal to the  
          Legislature by January 1, 2016.   After the completion of the  
          plan, any remaining funds may be spent on projects or  
          feasibility studies.

           FISCAL EFFECT  

          1)A $2 million revenue appropriation from the Waste Discharge  
            Permit Fund. 

          2)Unknown, likely minor, costs to SWRCB and the Department of  
            Public Health for participation in the development of the  
            plan.


           COMMENTS  

           1)Purpose  .  This bill provides the funds necessary to develop an  
            Integrated Water Management plan for the Salinas Valley to  
            identify ways in which water quality can be improved and  
            greater access to safe drinking water can be provided to this  
            region.

           2)Background  .  Polluted surface and groundwater pose serious  
            health risks and will require major remediation efforts.  The  
            UC Davis Nitrate Report identified irrigated agriculture as  








                                                                  AB 1
                                                                  Page  2

            the single largest source of nitrate to groundwater.  The  
            report also identifies the Salinas Valley as a significantly  
            impacted area. 

            The Regional Water Management Group for the Greater Monterey  
            County is was formed to create a comprehensive plan for the  
            region.  The group includes government agencies and private  
            and public organizations throughout the region.   

           3)The Waste Discharge Permit Fund  is comprised of revenues from  
            regulatory fees and fines and penalties for water quality and  
            underground storage tank violations.  According to the SWRCB,  
            there is currently a balance of $3.429 million in the Fund, of  
            which the governor has proposed to spend $700,000 for the  
            Department of Public Health to develop uniformed statewide  
            recycled water use criteria.

               This bill is consistent with the findings in the Governor's  
               "Report of the Drinking Water Stakeholder Group," dated  
               August 20, 2012.


           Analysis Prepared by  :    Jennifer Galehouse / APPR. / (916)  
          319-2081