BILL ANALYSIS �
AB 1874
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Date of Hearing: May 14, 2014
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Mike Gatto, Chair
AB 1874 (Gonzalez) - As Amended: April 23, 2014
Policy Committee: Water, Parks and
Wildlife Vote: 15-0
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill requires the Department of Water Resources (DWR) to
develop a streamlined funding process for the integrated
regional water management program (IRWMP) to pass-through funds
directly to eligible regions. Specifically, this bill:
1)Requires DWR to make a streamlined IRWMP application process
available to any regional water management group (RWMG) that
either:
a) Represents a funding area made up of a single planning
area; or,
b) Represents all planning regions within a funding area if
those regions have a written agreement detailing their
proportional allocations of any funding.
1)Requires the streamlined application to include how much
funding is being requested, what types of projects will be
funded, and how those projects comply with existing regulatory
requirements.
2)Requires DWR to award any appropriated regional funds to a
regional water management group with an approved streamlined
application.
3)Requires the RWMG to report DWR within 90 days of receiving
funding with a list of projects and requires quarterly
updates.
4)Requires DWR to audit expenditures at least once every two
years.
AB 1874
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FISCAL EFFECT
1)Increased costs to DWR in the $150,000 to $250,000 range to
develop a separate application process.
2)Increased costs to DWR in the $150,000 to $300,000 range to
perform audits every two years.
COMMENTS
1)Purpose. According to the author, this bill will streamline
the administration of the IRWM program by delegating increased
responsibility to the regional water management groups.
2)Background . Currently, the Legislature appropriates bond
funds to DWR for a competitive IRWM grant solicitation. DWR
then issues guidelines for a round of IRWM funding, and
regional water management groups submit their list of local
projects. DWR ranks the projects and makes the awards within
each IRWM funding region. In many cases, regional water
management groups contract with their local entities that will
carry out the projects. Most projects are implemented in
phases with the local entity submitting invoices to its
regional water management group, who then submits the invoices
to DWR. If a problem arises, DWR raises it to the regional
water management group.
Examples of past problems have included excessive overhead
rates or a description of work that was performed which did
not match the agreed-upon scope of work.
3)IRWMP Grants. Proposition 84, passed by the voters in 2006,
includes funding for the IRWMP and provides specified amounts
for allocation to each of the hydrologic regions of the state.
Proposition 84 requires DWR to grant funding on a competitive
basis with in each hydrological region or subregion.
Proposition 84 funds would not be available for the purposes
of this bill.
4)State Audits. The Department of Finance (DOF) typically
audits the IRWMP. This bill shifts audit responsibility to
DWR.
Analysis Prepared by : Jennifer Galehouse / APPR. / (916)
319-2081
AB 1874
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