BILL ANALYSIS                                                                                                                                                                                                    �



                                                               AB 2049
                                                                       

                       SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
                               Senator Jerry Hill, Chair
                               2013-2014 Regular Session
                                            
           BILL NO:    AB 2049
           AUTHOR:     Dahle
           AMENDED:    Introduced
           FISCAL:     Yes               HEARING DATE:     June 18, 2014
           URGENCY:    No                CONSULTANT:       Rachel Machi
                                                             Wagoner
            
           SUBJECT  :    DRINKING WATER:  POINT-OF-ENTRY AND POINT-OF-USE  
                          TREATMENT SYSTEMS

            Existing law  :

           1) Under the federal Safe Drinking Water Act (SDWA), requires  
              the federal Environmental Protection Agency (US EPA) to set  
              standards for drinking water quality and oversee the states,  
              localities, and water suppliers who implement those  
              standards.  California has authority over drinking water,  
              delegated by US EPA.

           2) Establishes the Drinking Water Program within the Department  
              of Public Health (DPH) to regulate public drinking water  
              systems.

           3) Authorizes point-of-use (POU) and point-of-entry (POE)  
              devices for water treatment to meet drinking water standards  
              as specified by state and federal law. 

           4) Requires regulations adopted under the SDWA to include  
              requirements governing the POU and POE treatment by public  
              water systems in lieu of centralized treatment where it can  
              be demonstrated that centralized treatment is not immediately  
              economically feasible and is limited to:  a) less than 200  
              service connections, b) use allowed under the SDWA's  
              implementing regulations, and c) water systems that have  
              submitted pre-applications with the DPH for funding to  
              correct the violations for which the POU/POE treatment is  
              provided.  











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            This bill  expands the authorization to use POU/POE treatment  
           systems, as specified above, from 200 service connections to  
           public water systems with up to 500 service connections.

            COMMENTS  :

            1) Purpose of Bill  .  According to the author "AB 2049 will to  
              expedite the delivery of safe, clean drinking water in  
              communities served by smaller water systems.  The bill will  
              allow water systems with less than 500 service connections to  
              use point-of-entry and point-of-use treatment devices to  
              provide clean drinking water when centralized treatment is  
              not immediately economically feasible, such devices are  
              allowed under the federal Safe Drinking Water Act, and the  
              water system has applied to the Department of Public Health  
              for funding to correct the violations."

            2) Drinking Water Contamination in California  .  According to  
              DPH, 98% of the population of California served by community  
              water systems receives drinking water that meets all primary  
              drinking water standards.  However, for the nearly one  
              million Californians without clean water, contaminants such  
              as nitrates, hexavalent chromium and arsenic threaten public  
              drinking water safety.  The most impacted populations are  
              located in disadvantaged communities and are served by small  
              water systems that have difficulty finding the sufficient  
              resources for maintenance and operation or to undertake  
              repairs and upgrades.  DPH currently utilizes funds from the  
              Safe Drinking Water State Revolving Fund and Propositions 50  
              and 84 bond funds to assist in drinking water system  
              upgrades.  While these funds have provided and continue to  
              provide significant assistance in the improvement of water  
              systems, there is a greater need than funding available.  US  
              EPA as well as DPH are working to explore how to reach  
              critical drinking water standards while also acknowledging  
              the need for affordability of conveyance, especially in these  
              small communities. 

              In acknowledgement of the strain that small water systems  
              face when trying to upgrade systems to meet necessary water  
              quality improvements, AB 2515 (V. M. Perez) Chapter 601,  
              Statutes of 2010, was enacted as a stop gap to provide a  
              temporary measure while a permanent, safer and more effective  









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              centralized treatment could be devised for these small  
              disadvantaged communities.  

            3) Point-of-Use/ Point-of-Entry Treatment  .  A POU treatment  
              device is any unit installed on a single water faucet or  
              bubbler that changes the water quality.  A POE treatment  
              device is any unit installed that changes the water quality  
              of all potable water entering a building.  POE and POU  
              treatment devices such as carbon filters are sometimes  
              installed to enhance the aesthetic quality (taste and odor)  
              of potable water supplied by a local water system.  In other  
              cases, POE and POU treatment devices are installed to meet  
              drinking water standards in place of centralized treatment.

            4) Limitations of POU/POE Treatment  .  While POU/POE treatment  
              has advanced in recent years it cannot provide equivalent  
              treatment to centralized treatment.   
            
               a)    Multiple Contaminants  .  POU/POE treatment technologies  
                 can provide sufficient treatment for one specific  
                 contaminant.  However, they are not designed to treat the  
                 complex myriad contaminants that may be in drinking water.  
                  So while it may address the primary contaminant of  
                 concern, other contaminants may not be sufficiently  
                 removed.  Additionally, contaminants in water affect the  
                 water quality individually and cumulatively.  POU/POE  
                 treatment systems are not designed to address the  
                 cumulative impacts to water quality.

               b)    Adjustment for Quality  .  Water quality levels are not  
                 static.  Centralized treatment systems are regularly  
                 monitored and the treatment is adjusted as changes in the  
                 water quality and levels of the range of contaminants  
                 change.  POU/POE treatment systems cannot be adjusted as  
                 the water quality changes, so their efficacy may vary.

               c)    POU Does Not Treat All Water  .  Because POU treatment  
                 systems attach to the faucet, their treatment is limited  
                 to water that comes through that faucet.  Showers, washing  
                 machines and other faucets, such as those in bathrooms,  
                 will not be treated.  POU treatment devices are not  
                 appropriate in households where the treated contaminant  
                 presents health risks when inhaled, such as volatile  









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                 organic compounds (VOCs) or hexavalent chromium, that may  
                 be released into the air and inhaled, especially in warm  
                 water like a shower because in those households only the  
                 drinking water would be treated.  With many contaminants  
                 that could pose an additional risk, especially in homes  
                 with children, these systems are meant as a very temporary  
                 stopgap measure until centralized water treatment can be  
                 provided.  

               d)    Lack of Accountability and Monitoring  .  Centralized  
                 treatment facilities are regularly inspected and monitored  
                 to ensure sufficient maintenance by either DPH or the  
                 county environmental health jurisdictions.  There is no  
                 built in inspection, monitoring or maintenance when water  
                 systems use POU/POE treatment.  Ensuring proper working  
                 order to POU/POE devices is crucial.  If filters are not  
                 changed when needed, some systems can build up  
                 contaminants in the system and release them into the water  
                 in high concentrations.  

                 Who is expected to make sure that the systems are always  
                 working properly?  Is it practical to expect that water  
                 systems will regularly monitor and repair each of the  
                 POU/POE devices?

            5) Two Classes of Drinking Water Quality  .  Improving  
              California's drinking water quality is crucially important.   
              As solutions for meeting drinking water standards to protect  
              public health are contemplated, it is important to ensure  
              that solutions that compromise standards are not used.   
              Expanded use of POU/POE treatment devices essentially creates  
              two classes for drinking water in California -- those that  
              get centralized treatment that is monitored and accountable  
              for meeting drinking water standards and those that get a  
              lower standard of quality and accountability.

            6) What are the Fees Paying For  ?  Water systems are often not  
              government agencies, but rather privately owned for-profit  
              companies collecting a fee for service.  Water systems  
              deliver drinking water that is required to meet all drinking  
              water standards and collect a fee for that service.  What are  
              these systems doing with fee revenues while delivering water  
              that is undrinkable and unusable and does not meet state and  









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              federal water quality standards?  Perhaps rather than  
              downgrading treatment standards, water systems should be  
              evaluated that are failing to meet their obligation, and  
              resources directed to on-going maintenance, repair upgrades,  
              and capital outlay.

            7) The University of California at Davis (UC Davis) Nitrate  
              Study  .  Recently UC Davis released a report on the extensive  
              nitrate contamination in the Tulare Lake Basin and Salinas  
              Valley groundwater that highlights the extent of the  
              contamination, the primary sources, public health and  
              financial costs of cleaning up and treating groundwater for  
              drinking water amounting to billions of dollars of damage.   
              Should efforts be focused on preventing and remediating  
              ground and surface water contamination so that the state is  
              not faced with difficult decisions about weakening water  
              treatment standards in order for water systems to afford to  
              provide some level of treated drinking water?  Does  
              authorizing measures like POU/POE create a disincentive for  
              taking the needed steps to address contaminated water?

            8) Questions Regarding the Bill  .  

              a)    Why now  ?  Is there a demonstrated need to expand the  
                 POU/POE treatment allowance?  Who would be impacted by  
                 expanding this statute?     

                 Is it appropriate to expand this authorization, knowing  
                 that there are water quality risks, when there has not  
                 been successful implementation on a smaller scale and  
                 there has not been an opportunity to evaluate the use of  
                 this treatment technology on that smaller scale?  

                 There has not been a demonstrated need to expand the use  
                 of these devises that would justify the increased.

               b)    Who is Responsible for Maintenance, Upkeep and Repair  ?   
                 For POU/POE systems to work as designed they must be  
                 properly maintained and filters must be promptly replaced.  
                  Who is inspecting all of these POU/POE systems and  
                 maintaining and replacing the filters?  Who is going to be  
                 responsible for the maintenance and replacement of all of  
                 the filters?  









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               c)    Who is Paying for the Systems, the Installation,  
                 Maintenance, Replacement Filters and Inspections  ?   
                 Oversight of water systems is done by DPH or the county  
                 environmental health jurisdictions.  This bill does not  
                 contemplate who would conduct and pay for these  
                 inspections and maintenance or who would pay for the  
                 systems and replacement filters.

               d)    How are contaminated filters disposed  ?  POU/POE systems  
                 collect and concentrate the contaminants that they treat.   
                 How will these filters with concentrations of arsenic or  
                 hexavalent chromium be disposed?  Is it appropriate to be  
                 throwing several thousands of these filters full of  
                 contaminants in the trash every few months?

               e)    Where is This Needed  ?  What communities within  
                 California are in need of this expansion and what is the  
                 appropriate number of service connections to allow POU/POE  
                 treatment devices as a temporary solution while the water  
                 system develops a permanent centralized treatment  
                 solution?

               f)    Why is Use of POU/POE Necessary?  Why are the water  
                 systems within these communities unable to meet the water  
                 quality standard and why do they not have the financial  
                 capability and reserve to do the necessary upgrades and  
                 maintenance to the system?

               g)    What happens if communities expand without having  
                 necessary infrastructure?   How can we prevent communities  
                 that currently do not have sufficient centralized  
                 treatment from expanding without building the appropriate  
                 centralized treatment infrastructure?

               h)    How does the state ensure long-term centralized  
                 treatment?   How can water systems that use POU/POE  
                 treatment as a temporary solution ensure that the  
                 necessary capital outlay to build the sufficient  
                 centralized treatment system is available and have the  
                 necessary financial support to maintain and upgrade that  
                 system as necessary?










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            9) Previous Legislation  .  
               
              AB 119 (Assembly Committee On Environmental Safety and Toxic  
              Materials, Chapter 403, Statutes of 2013) removes the  
              statutory requirement for the DPH to independently certify  
              POU and POE water treatment devices and instead requires DPH  
              to verify that the specified devices have been certified by  
              third party certification organizations and publish specified  
              information on the DPH website and requires manufacturers to  
              pay a regulatory fee to cover DPH's administration and  
              enforcement costs.

              SB 962 (Anderson, 2012) would have increased from 200 to 500,  
              the limit on the number of service connections served by a  
              small community water system that the DPH may permit to use  
              POU/POE water treatment in place of centralized water  
              treatment.  SB 962 was held by the Assembly Appropriations  
              Committee.

              AB 2056 (Chesbro, 2011) would have expanded the authorization  
              to use POU treatment as a permanent solution for public water  
              systems with up to 20 service connections by requiring DPH to  
              allow continued use of POU treatment beyond the 3-year  
              maximum.  If DPH requires a demonstration of economic  
              feasibility for public water systems serving 20 or less  
              residential connections, the applicant may use "available  
              census tract data to demonstrate median household income."   
              AB 2056 failed passage in the Senate Environmental Quality  
              Committee on a vote of 2-3.

              AB 2515 (V. Manuel P�rez, Chapter 601 Statutes of 2010)  
              requires DPH to adopt emergency regulations governing the use  
              of point-of-entry and point-of-use water treatment systems,  
              and authorizes DPH to award grants for the installation of  
              POU/POE water treatment systems.

             AB 1541 (Assembly Committee on Health, Chapter 542, Statutes  
             of 2009) authorizes POU/POE devices for water treatment to  
             meet drinking water standards where it can be demonstrated  
             that centralized water treatment is not immediately  
             economically feasible, as specified: 1) for water systems with  
             less than 200 service connections; 2) usage allowed under the  
             federal Safe Drinking Water Act  and its related regulations;  









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             3) the water systems have submitted pre-applications with DPH  
             for funding to correct the violations for which the  
             point-of-use treatment is provided.

           10)Transfer of the Drinking Water Program from DPH to the State  
              Water Resources Control Board (SWRCB)  .  The Legislature is  
              currently, in the 2014-2015 Budget considering transferring  
              the entire Drinking Water Program from DPH to SWRCB.  In  
              doing a reorganization of this program there will be many  
              complications in transferring duties, staff, budgets and each  
              individual statutory mandate from one agency to another.  Any  
              legislation that alters this statute while the two agencies  
              work to transfer the Drinking Water Program add additional  
              complications and may put in jeopardy the important  
              responsibilities that are already in place.

              Consideration of any additional changes to the Drinking Water  
              Program should be held until after the successful and  
              completed transfer of the program.

            11)Possible amendments.  
               
              If the committee believes that there is a need to expand the  
              use of POU/POE treatment in California, then any legislation  
              should  :

              a)    Require DPH to conduct a full audit of the water system  
                 to examine why the water system has been unable to do the  
                 necessary upgrades and maintenance in order to comply with  
                 water quality standards. 

              b)    Require the water system to develop and submit a  
                 capital outlay plan for building a centralized treatment  
                 system within five years.

              c)    Prohibit the water system from adding new service  
                 connections until such time that appropriate centralized  
                 treatment is provided.

            SOURCE  :        Author  

           SUPPORT  :  Western Growers Association
            









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           OPPOSITION  :    None on file