BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 71
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          Date of Hearing:   April 2, 2013

                   ASSEMBLY COMMITTEE ON WATER, PARKS AND WILDLIFE
                                Anthony Rendon, Chair
                AB 71 (V. Manuel Perez) - As Amended:  March 18, 2013
          
          SUBJECT  :   Salton Sea

           SUMMARY  :   Requires the Secretary of the Natural Resources  
          Agency, in consultation and coordination with the Salton Sea  
          Authority, to lead Salton Sea restoration efforts.   
          Specifically,  this bill  :

          1)Requires the Secretary of the Natural Resources Agency, in  
            consultation and coordination with the Salton Sea Authority,  
            to lead Salton Sea restoration efforts, and provides that such  
            restoration efforts shall include: a) early start habitat  
            demonstration projects; b) biological investigations; c)  
            investigations of water quality, sedimentation and inflows; d)  
            air quality investigations in consultation and coordination  
            with air quality agencies; e) geotechnical investigations; and  
            f) local financial assistance grant programs.

          2)Provides that the Secretary and the Legislature shall maintain  
            full authority and responsibility for any state obligation  
            under the Quantification Settlement Agreement (QSA), and shall  
            have final approval for any proposed restoration plan.

          3)Authorizes the Department of Water Resources (DWR), to the  
            extent funding is available for this purpose, to undertake  
            Salton Sea restoration efforts, and requires DWR to disclose  
            specified information relating to the Salton Sea Species  
            Conservation Habitat Project.

          4)Requires the Secretary, in consultation and coordination with  
            the Salton Sea Authority, to form a technical advisory group  
            including the Secretary and representatives of specified state  
            departments, local agencies, tribal governments, nonprofit  
            environmental organizations, the U.S. Geological Survey, and  
            research institutions.

          5)Authorizes the Salton Sea Authority to undertake a restoration  
            funding and feasibility study, in consultation with the  
            Natural Resources Agency and the technical advisory group, and  
            requires the study to include specified elements.  








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          6)Requires the Department of Fish and Wildlife (DFW) to enter  
            into a funding agreement with the Salton Sea Authority for an  
            amount of no less than $2,000,000 from the Salton Sea  
            Restoration Fund to fund the study.

          7)Requires the Secretary to seek input from the Salton Sea  
            Authority with regard to specific restoration components,  
            including design options and and integration of habitat,  
            public access and air quality objectives, public access and  
            recreation, economic development opportunities, habitat  
            locations, vector and predator control, and feasible financial  
            resources to fund restoration.

          8)States legislative findings and declarations regarding the  
            Salton Sea and its benefits and threats.  States the intent of  
            the Legislature to permanently protect fish and wildlife  
            dependent on the Sea, restore habitat, mitigate air quality  
            impacts, protect water quality, maintain the Sea as a vital  
            link in the Pacific Flyway, preserve local tribal heritage and  
            cultural values, minimize noxious odors, coordinate with other  
            agencies with responsibilities under the QSA, and enhance  
            economic development opportunities.       

           EXISTING LAW  :  

          1)Established the Salton Sea Restoration Act which states  
            legislative intent that:  a) the state undertake the  
            restoration of the Salton Sea ecosystem and the permanent  
            protection of the wildlife dependent on that ecosystem;  b)  
            that restoration be based on the preferred alternative  
            developed as a result of a restoration study and alternative  
            selection process; and, c) that the preferred alternative  
            provide the maximum feasible attainment of specified  
            environmental objectives, including restoration of long-term  
            stable aquatic and shoreline habitat to historic levels and  
            diversity of fish and wildlife dependent on the Salton Sea,  
            elimination of air quality impacts from restoration projects,  
            and protection of water quality.  Provides that for purposes  
            of the restoration plan the Salton Sea ecosystem includes the  
            Salton Sea, agricultural lands surrounding the Sea, and the  
            tributaries and drains within Imperial and Coachella Valleys  
            that deliver water to the Sea.

          2)Required the Secretary of the Resources Agency (now the  








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            Natural Resources Agency), in consultation with the Department  
            of Fish and Game (now DFW), DWR, the Salton Sea Authority, air  
            quality districts, and the Salton Sea Advisory Committee to  
            undertake a restoration study to determine a preferred  
            alternative for restoration of the Salton Sea, to prepare a  
            Programmatic Environmental Impact Report (PEIR) analyzing the  
            alternatives, and to submit a preferred alternative to the  
            Legislature on or before December 31, 2006.  The Resources  
            Agency published a Final PEIR and submitted a preferred  
            alternative, with an estimated cost of nearly $9 billion, to  
            the Legislature in May 2007.  The Legislature has not acted on  
            the preferred alternative proposed by the Resources Agency in  
            2007 but has appropriated funding for the Species Conservation  
            Habitat (SCH) Project, which is similar to the early start  
            habitat projects described as Phase 1 in the 2007 PEIR.

          3)In 2010 the Legislature passed and the Governor signed SB 51  
            (Ducheny) which, among other things, established the Salton  
            Sea Restoration Council to serve as the state agency  
            responsible for overseeing restoration of the Salton Sea.  SB  
            51 required the Council to evaluate Salton Sea restoration  
            plans, including the $9 billion 2007 preferred alternative,  
            and to report to the Governor and the Legislature by June 30,  
            2013 with a recommended restoration plan.  The Governor's 2012  
            Reorganization Plan, as modified by budget trailer bill SB  
            1018 (Leno) of 2012, eliminated the Council, effective  
            December 31, 2012, before the Council ever actually met.

           FISCAL EFFECT  :   Unknown.  Authorizes no less than $2,000,000 in  
          the Salton Sea Restoration Fund to be used to fund a restoration  
          funding and feasibility study.

           COMMENTS  :   According to the author, this bill seeks to fill the  
          void created by elimination of the Salton Sea Restoration  
          Council, while ensuring that local stakeholders have a voice in  
          restoration decision making.  It does so by providing that the  
          Natural Resources Agency shall be the lead agency for  
          restoration efforts at the Sea, but shall do so in consultation  
          and coordination with the Salton Sea Authority.  The Salton Sea  
          Authority is a local Joint Powers Authority made up of the  
          following five entities:  Riverside County, Imperial County,  
          Imperial Irrigation District (IID), Coachella Valley Water  
          District (CVWD), and the Torres Martinez Desert Cahuilla Indians  
          Tribe.  This bill also calls for formation of a technical  
          advisory group to assist the Natural Resources Agency and help  








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          guide restoration activities at the Sea.  Prior to enactment of  
          SB 51 (Ducheny), the law provided that the Natural Resources  
          Agency would serve as lead agency for Salton Sea restoration and  
          work cooperatively with DWR, the State Air Resources Board, the  
          State Water Resources Control Board, and DFW.  The Natural  
          Resources Agency was designated to serve as lead agency for  
          implementation, in partnership with one or more of its  
          departments, unless and until legislation was enacted  
          establishing a new governing structure for restoration of the  
          Sea.  SB 51, enacted in 2010, created a new governing structure  
          with the establishment of the Salton Sea Restoration Council.   
          However, as noted above, the Council was repealed last year  
          before it ever actually met.  
            
          The Salton Sea, California's largest lake, is located in a  
          low-lying trough or desert sink in Southern California, much of  
          which is below sea level.  The current sea was formed in 1905  
          when the Colorado River flooded its banks at a faulty irrigation  
          diversion site.  However, the sea bed has periodically filled  
          and receded numerous times, from prehistoric times through the  
          1800s.  The present sea is fed primarily by agricultural runoff.  
           Since it has no natural outlet, it is becoming increasingly  
          saline and today is considerably saltier than the ocean.  In  
          2003, the Legislature approved a package of implementing  
          legislation related to the QSA and calling for restoration of  
          the Salton Sea.  The QSA is a collection of agreements between  
          the IID, Metropolitan Water District, San Diego County Water  
          Authority, the CVWD, and the state, that included approval of  
          water transfers from IID, settled a number of claims to the  
          Colorado River, and provided a transition period for the state  
          to reduce its consumption of Colorado River water to its 4.4  
          million acre feet entitlement.  Under the QSA, the amount of  
          water flowing into the Salton Sea will be significantly reduced  
          after 2017.

          The Salton Sea is one of the most important wetland areas in  
          California for migratory waterfowl and shorebirds, since over  
          95% of California's historical wetlands have been converted to  
          other land uses.  The Salton Sea supports over 400 species of  
          birds, and is an internationally significant stopover site for  
          hundreds of thousands of birds migrating along the Pacific  
          Flyway.  Recently, fishery resources in the sea have declined  
          significantly due to increasing salinity, evaporation and  
          declining water quality.  It is generally recognized that  
          without restoration efforts the ecosystem of the Salton Sea will  








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          collapse over the next decade or two.

           Funding for a Restoration Funding and Feasibility Study
           This bill also authorizes no less than $2,000,000 from the  
          Salton Sea Restoration Fund to go to the Salton Sea Authority to  
          fund a restoration funding and feasibility study, though this  
          bill does not actually appropriate those funds.  Last year's  
          budget bill, AB 1464, included language directing DFW to provide  
          up to $2,000,000 to the Salton Sea Authority for such a study.   
          The Governor used his line-item veto authority to delete that  
          provision from the budget bill.  The Governor in his veto  
          message stated, "I am also deleting Provision 4 because it would  
          require up to $2 million to be appropriated from the Salton Sea  
          Restoration Fund to the Salton Sea Authority to update previous  
          analyses of restoration planning efforts for the Salton Sea. I  
          am vetoing the provision because the Salton Sea Restoration Fund  
          has a reserve of $675,000 for the 2012-13 fiscal year, and using  
          other departmental funds would result in an unallocated  
          reduction to other Fish and Game programs. I will be directing  
          the Department of Fish and Game to continue conversations with  
          the Salton Sea Authority and environmental stakeholders in an  
          effort to identify other options for conducting the proposed  
          feasibility study and enhancing restoration efforts."  Last  
          year's Governor's budget also proposed to appropriate funding  
          from the Salton Sea Restoration Fund for habitat restoration  
          work, but that appropriation was deleted from the Budget by the  
          Legislature.

          This year, the Governor's proposed Budget includes an increase  
          of $12.1 million from Proposition 84 funds dedicated to Salton  
          Sea Restoration for the restoration of between 800 and 1,200  
          acres of habitat. The proposal will implement a pilot project to  
          create habitat through the construction of ponds at sites where  
          the sea bed is exposed because of evaporation. The proposal also  
          requests re-appropriation of funds to provide additional funding  
          for the restoration project, which is estimated to cost  
          approximately $28 million to complete. The Governor's budget  
          makes no mention though of funding for the restoration funding  
          and feasibility study.  It should be noted that while the QSA  
          legislation directed the State Natural Resources Agency to  
          develop a restoration strategy and funding plan, to date no  
          funding plan has been proposed.


           REGISTERED SUPPORT / OPPOSITION  :   








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           Support 
           
          Coachella Valley Economic Partnership
          Coachella Valley Water District
          County of Imperial
          County of Riverside
          Defenders of Wildlife
          Imperial Irrigation District
          Indio Chamber of Commerce
          Salton Sea Authority
          Sierra Club California
          Wilson Johnson Commercial Real Estate

           Opposition 
           
          None on file.
           
          Analysis Prepared by  :    Diane Colborn / W., P. & W. / (916)  
          319-2096