BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1200
                                                                  Page 1

          Date of Hearing:   April 30, 2012

           ASSEMBLY COMMITTEE ON ENVIRONMENTAL SAFETY AND TOXIC MATERIALS
                                  Luis Alejo, Chair
                    AB 1200 (Levine) - As Amended:  April 9, 2013
           
            SUBJECT  :   Recycled water:  agricultural irrigation  
          impoundments: pilot project.

           SUMMARY  :   Requires the San Francisco Bay Regional Water Quality  
          Control Board (San Francisco Regional Board) to authorize a  
          voluntary pilot project within the Counties of Napa and Sonoma  
          to investigate potential water quality impacts and water supply  
          benefits associated with allowing agricultural irrigation  
          impoundments containing recycled water to overflow during storm  
          events.  Specifically,  this bill  :

          1)Makes legislative findings about water recycling.

          2)Requires, before October 1, 2014, the San Francisco Regional  
            Board to authorize a voluntary pilot project for the purposes  
            of investigating potential water quality impacts and water  
            supply benefits associated with maximizing the supplementation  
            of agricultural irrigation impoundments with disinfected  
            tertiary treated recycled water, if the San Francisco Regional  
            Board finds that the proposed pilot project satisfies all of  
            the following criteria:

             a)   The pilot project is designed to measure, analyze, and  
               report water quality data collected upstream and downstream  
               of agricultural irrigation impoundments before, during, and  
               following at least five storm events that result in the  
               release of commingled disinfected tertiary recycled water  
               and surface water runoff from up to four agricultural  
               irrigation impoundments into waters of the state.

             b)   The pilot project includes a process for selecting up to  
               four existing agricultural irrigation impoundments, which  
               meet specified requirements, within the Counties of Napa  
               and Sonoma for the purposes of the pilot project.

             c)   The pilot project is designed to measure, analyze, and  
               report at least the following water quality and  
               environmental parameters:
               i)     Constituents addressed by total maximum daily loads  








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                 completed for the San Francisco Bay, Napa River  
                 watershed, and the Sonoma Creek watershed, including, but  
                 not limited to, mercury, Polychlorinated biphenyls,  
                 pathogens, nutrients, and selenium.
               ii)    Constituents associated with municipal recycled  
                 water, including, but not limited to, total suspended  
                 solids, total ammonia, copper, pH, temperature,  
                 biochemical oxygen demand, total chlorine residual,  
                 copper, nickel, and cyanide.

             d)   The pilot project incorporates a stakeholder advisory  
               group to review and provide input on pilot project design,  
               implementation, and data analysis, and consists of the  
               following membership:
               i)     One representative from each of three  
                 nongovernmental organizations focused on San Francisco  
                 Bay region water quality and habitat issues.
               ii)    One representative from a regional agricultural  
                 organization.
               iii)   Two private landowners.
               iv)    A representative from the Sonoma Valley County  
                 Sanitation District.
               v)     A representative from the Napa Sanitation District.
               vi)    A representative from the Sonoma County Water  
                 Agency.
               vii)   A representative from the San Francisco Regional  
                 Board.

             e)   The pilot project will include an analysis of local  
               water management implications associated with increasing  
               the use of recycled water for agricultural irrigation  
               impoundments, including, but not limited to, reduced  
               reliance on surface and groundwater resources, reduced  
               ecosystem conflicts, and increased local resilience to  
               climate change.

             f)   The proposed pilot project identifies all costs  
               associated with the pilot project and project proponents  
               will have secured funding, such as local funds and state  
               bond funds, prior to pilot project implementation.

          3)Requires, within 12 months of final data collection made  
            pursuant to the pilot project, data to be analyzed and  
            compiled and requires that a draft report be made available  
            for stakeholder advisory group review.








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          4)Requires a final report to be issued to the San Francisco  
            Regional Board and the State Water Resources Control Board  
            (SWRCB) within three months of the release of the draft  
            report, which must include consideration of comments made by  
            the stakeholder advisory group.

          5)Sunsets the provisions governing the pilot project on January  
            1, 2018.

           EXISTING LAW  :

          1)Pursuant to the federal Clean Water Act (CWA), administered by  
            the United States Environmental Protection Agency (US EPA)  
            regulates discharges of pollutants into the waters of the  
            United States and regulates quality standards for surface  
            waters.

             a)   Enforces the CWA by requiring a National Pollutant  
               Discharge Elimination System (NPDES) permit for each point  
               source (discrete conveyance such as a pipe or human-made  
               ditch) that discharges pollutants into surface waters.   
               Authorizes California to issue NPDES permits in lieu of  
               direct regulation by US EPA.
             
          2)Pursuant to the Porter-Cologne Water Quality Control Act,  
            establishes the SWRCB and the regional water quality control  
            boards and provides that the SWRCB and the regional water  
            quality control boards are the principal state agencies with  
            authority over matters relating to water quality and  
            implementation of the CWA.  Authorizes the state and regional  
            water boards to implement the NPDES program (Water Code (WC) �  
            13000, et seq.).

          3)Defines "recycled water" as water which, as a result of  
            treatment of waste, is suitable for a direct beneficial use or  
            a controlled use that would not otherwise occur and is  
            therefore considered a valuable resource (WC � 13050(n)).

          4)Provides that it is State policy to promote the use of  
            recycled water to the maximum extent in order to supplement  
            existing surface and ground water supplies to help meet water  
            needs (WC � 13510 - 13512).

          5)Requires all persons who recycle or propose to recycle water,  








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            and who use or propose to use recycled water, to file a report  
            with the appropriate regional water board (WC � 13522.5).

          6)Authorizes, if it determines that it is necessary to protect  
            public health, safety, or welfare, regional water boards to  
            prescribe water recycling requirements where recycled water is  
            used or proposed to be used (WC � 13523).

           FISCAL EFFECT  :   Unknown.

           COMMENTS  :   

           Need for the bill  :  According to the author, "Existing law  
          treats recycled water as a waste.  Regional water quality  
          control boards issue permits with this in mind.  The result in  
          Sonoma and Napa valleys, regulated under the San Francisco Bay  
          regional water quality control board, is that storage is  
          underutilized and use is not maximized.  This is a particularly  
          poor use of resources because the use of less recycled water  
          means the use of more raw or groundwater.  The bill would allow  
          for a pilot project that examines from a scientific approach the  
          effect of increased storage in up to four small existing ponds.

          The issue with current law is that the regional board does not  
          feel that they can move forward with allowing storage until  
          there is information about any impacts of recycled water storage  
          overflow.  The regional board needs information on the impacts  
          of storage to approve storage, but the only way to get the  
          information on the impacts of storage is to move forward with  
          storage.  This creates a situation where it would be  
          administratively possible to move forward with a pilot project,  
          but that administrative possibility is not going to occur.

          Recycled water is currently used in this watershed for  
          agricultural and habitat restoration.  Recycled water that is  
          not used is discharged into the same watershed."

           Recycled water  :  According to US EPA, water recycling is reusing  
          treated waste water for beneficial purposes such as agricultural  
          and landscape irrigation, industrial processes, toilet flushing,  
          and replenishing a ground water basin (ground water recharge).   
          Water is sometimes recycled and reused on site; for example,  
          when an industrial facility recycles water used for cooling  
          processes.  A common type of recycled water is water that has  
          been reclaimed from municipal waste water, or sewage.  The term  








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          water recycling is generally used synonymously with water  
          reclamation and water reuse.

          US EPA notes that recycled water can satisfy most water demands,  
          as long as it is adequately treated to ensure quality  
          appropriate for the use.  In uses where there is a greater  
          chance of human exposure to the water, more treatment is  
          required.  As for any water source that is not properly treated,  
          health problems could arise from drinking or being exposed to  
          recycled water if it contains disease causing organisms or other  
          contaminants.
           
          Recycled water regulation in California :  In California, the  
          SWRCB establishes general policies governing the permitting of  
          recycled water projects consistent with its role of protecting  
          water quality and sustaining water supplies.  The SWRCB  
          exercises general oversight over recycled water projects,  
          including review of regional water board permitting practices  
          (including NPDES permits), and leads the effort to meet the  
          recycled water use goals set forth in state recycled water  
          policy.  The SWRCB is also charged by statute with developing a  
          general permit for irrigation uses of recycled water.

          While the SWRCB is responsible for the bulk of recycled water  
          regulation, it shares jurisdiction over the use of recycled  
          water with the regional water boards and with the Department of  
          Public Health.  In addition, the Department of Water Resources  
          and the California Public Utilities Commission have roles to  
          play in encouraging the use of recycled water.
           
          California's recycled water policy  :  On February 3, 2009, the  
          SWRCB adopted Resolution 2009-2011, a policy for water quality  
          control for recycled water.  In adopting the resolution, the  
          SWRCB made a finding that the Strategic Plan Update 2008-2012  
          for the state and regional boards includes a priority to  
          increase sustainable local water supplies available for meeting  
          existing and future beneficial uses and to ensure adequate water  
          flows for fish and wildlife habitat.  The SWRCB found that  
          increasing the acceptance and promoting the use of recycled  
          water is a means towards achieving sustainable local water  
          supplies and can result in the reduction in greenhouse gases.   
          It also found that the recycled water policy is intended to  
          encourage beneficial use of, rather than solely disposal of,  
          recycled water.









                                                                  AB 1200
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          According to the SWRCB, the purpose of the Recycled Water Policy  
          (Policy) is to increase the use of recycled water from municipal  
          wastewater sources in a manner that implements state and federal  
          water quality laws.  When used in compliance with the Policy and  
          applicable state and federal water quality laws, the SWRCB  
          argues that recycled water is safe for approved uses, and  
          strongly supports recycled water as a safe alternative to  
          potable water for such approved uses.  The Policy establishes a  
          mandate to increase the use of recycled water in California by  
          200,000 acre-feet per year (afy) by 2020 and by an additional  
          300,000 afy by 2030.

           Recycled water in the proposed pilot project region  :  The Sonoma  
          Valley County Sanitation District currently holds a NPDES permit  
          for point source discharges into surface waters (Order No.  
          R2-2008-0090).   The Sonoma Valley County Sanitation District  
          owns and the Sonoma County Water Agency operates wastewater  
          treatment plant and collection systems.  The plant provides  
          secondary treatment to the wastewater collected from the City of  
          Sonoma, unincorporated areas of Glen Ellen, Boyes Hot Springs,  
          El Verano, and Agua Caliente.  Treatment processes consist of  
          flow equalization; pretreatment by screening and grit removal;  
          extended aeration activated sludge treatment; secondary  
          sedimentation; and effluent disinfection by chlorination and  
          de-chlorination.

          According to the Sonoma County Water Agency, the sponsor of the  
          bill, currently, they and their agricultural landowner partners  
          risk being penalized if small irrigation ponds storing high  
          quality recycled water overflow during a rain event, despite the  
          fact that they currently hold water quality permits allowing for  
          discharge, tidal habitat restoration, and agricultural  
          irrigation within the same watershed and using the same recycled  
          water.  They argue that the financial risk to them and their  
          landowner partners has limited their ability to use  
          highly-treated recycled water to its greatest potential.  They  
          assert that by authorizing a water quality monitoring pilot  
          project in the Los Carneros wine grape region, AB 1200 can  
          provide state and regional regulatory entities, the public, and  
          their partners in the agricultural sector with data necessary to  
          advance innovative recycled water reuse projects.

           

          Can the pilot project be authorized within the existing permit  








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          process  ?  A review of the 2008 NPDES permit for the Sonoma  
          Valley County Sanitation District and conversations with the San  
          Francisco Regional Board indicate that the pilot project that is  
          being proposed in AB 1200 might be able to be addressed in the  
          District's next permit, which is anticipated to be issued later  
          this year.  The 2008 permit appears to provide the District with  
          flexibility in the operation of its water recycling program and,  
          further, outlines an optional study similar to the one proposed  
          in AB 1200 (although the study outlined in the permit is  
          specific to wetlands and the dry season rather than to  
          irrigation ponds and the wet season.)  Since the permit would be  
          reissued in a public process, the stakeholders identified in AB  
          1200 would have the opportunity to review and comment on the  
          structure and timing of an optional study that could be designed  
          to achieve the goals of the study proposed in AB 1200.  Should  
          the legislature bind the San Francisco Regional Board to  
          authorize a project that can otherwise be addressed at the staff  
          level, or simply authorized through legislation, and to do so by  
          a fixed date, irrespective of its other priorities?



          The author may wish to amend the bill to ensure that the pilot  
          project is managed through the existing permitting process.



           Double referral  :  This bill was double referred to the Assembly  
          Water, Parks and Wildlife Committee (WP&W) and to the Assembly  
          ESTM Committee.  It passed out of the WP&W Committee with a 15-0  
          vote.


           Related legislation  :
          AB 803 (Gomez).  Reconciles recycled water spill reporting  
          standards, statutorily supersedes specified recycled water terms  
          as defined in regulation, and codifies regional water quality  
          control board authority to permit recycled water advanced  
          treatment projects.  AB 803 was double referred to the Assembly  
          Water Parks and Wildlife Committee, which it passed with a
          15-0 vote and now in the ESTM Committee, which is scheduled to  
          hear the bill on April 30.

          AB 2398 (Heuso, 2012).  Would have overhauled and modernized the  
          state's statutes related to recycled water and consolidate them  








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          under a new Water Code division.  AB 2398 passed the ESTM  
          Committee on an 8-1 vote, but was held in the Senate Natural  
          Resources and Water Committee with a commitment to convene a  
          recycled water stakeholder group to explore the potential  
          administrative and statutory barriers to more recycled water  
          use.


           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          Sonoma County Water Agency (sponsor)
          California Farm Bureau Federation
          Napa County Supervisor, District 1, Brad Wagenknecht
          North Bay Water Reuse Authority
          Novato Sanitary District
          Russian Riverkeeper

           Opposition 
           
          None received
           

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