California Legislature—2013–14 Regular Session

Assembly Bill No. 2554

Introduced by Assembly Member Rendon

February 21, 2014

An act to add Chapter 4.5 (commencing with Section 16788) to Part 3 of Division 4 of Title 2 of the Government Code, and to amend Sections 151 and 154 of the Water Code, relating to natural resources.

LEGISLATIVE COUNSEL’S DIGEST

AB 2554, as introduced, Rendon. Bond accountability.

(1) Existing law provides for various oversight and reporting requirements for the expenditure of state funds, including the proceeds of bonds.

This bill would create the Natural Resources Bond Accountability Commission, to be composed of a specified membership, to provide independent review of all expenditures resulting from the adoption of any natural resources-related bond acts approved by the voters after January 1, 2014.

(2) Existing law establishes the California Water Commission in the Department of Water Resources. Under existing law, the commission consists of 9 members who are appointed to 4-year terms by the Governor, subject to confirmation by the Senate.

Existing law, the Safe, Clean, and Reliable Drinking Water Supply Act of 2012, if approved by the voters, would authorize the issuance of bonds in the amount of $11,140,000,000 pursuant to the State General Obligation Bond Law to finance a safe drinking water and water supply reliability program. Existing law provides for the submission of the bond act to the voters at the November 4, 2014, statewide general election. The bond act, among other things, would continuously appropriate $3,000,000,000 to the commission for public benefits associated with water storage projects, as specified.

This bill would require that the commission consist of 11 members by adding a member appointed by the Senate Committee on Rules and a member appointed by the Speaker of the Assembly.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

SECTION 1.  

Chapter 4.5 (commencing with Section 16788)
is added to Part 3 of Division 4 of Title 2 of the Government Code,
to read:

 

Chapter  4.5. Natural Resources Bond Accountability
Commission

 

16788.  

The Natural Resources Bond Accountability
Commission is hereby created in the Controller’s office. As used
in this chapter, “commission” means the Natural Resources Bond
Accountability Commission.

16789.  

(a) The commission shall be composed of five
members, as follows:

(1) The Controller.

(2) The Secretary for Environmental Protection.

(3) The Director of Finance.

(4) Two members of the public, with the Senate Committee on
Rules and the Speaker of the Assembly each appointing one of
these persons.

(b) (1) In order to provide for staggered terms, members of the
public appointed to the commission shall be appointed to initial
terms to expire as follows:

(A) The person appointed by the Speaker of the Assembly shall
be appointed to a term that expires on January 1, 2017.

(B) The person appointed by the Senate Committee on Rules
shall be appointed to a term that expires on January 1, 2019.

(2) Following expiration of each of the initial terms provided
for in this subdivision, members of the public appointed to the
commission shall serve four-year terms.

(c) If a vacancy occurs within a term, the appointing authority
shall appoint a replacement member within 30 days to serve the
remainder of the term. When a term expires, the appointing
authority shall appoint a member within 30 days of the expiration
date.

(d) The members of the commission shall elect one of the
members as the chair and another member as the vice chair. The
chair and vice chair shall be elected at the first meeting of each
calendar year or when a vacancy exists. The chair shall preside at
all meetings of the commission and the vice chair shall preside in
the absence of the chair.

16790.  

The Controller shall furnish to the commission, at its
request, assistance, including, but not limited to, technical, legal,
and clerical services, as is required.

16791.  

This chapter shall apply only to any natural
resources-related state general obligation bond act approved by
the voters after January 1, 2014.

16792.  

(a) Within 45 days of the Legislature appropriating
moneys from a bond act, the state entity receiving the appropriation
shall report to the Joint Legislative Budget Committee and the
commission on the projects the state entity may implement or
allocate the money for implementation.

(b) Before a project is approved for implementation, the state
entity responsible for its implementation or for allocating the
money for its implementation shall deliver information to the
commission, as the commission determines is necessary, for the
commission to determine whether the project is consistent with
the purposes of the bond act and applicable existing law. The state
entity responsible for implementation of the project or for
allocating the money for its implementation shall neither implement
the project nor allocate the money for its implementation until the
commission determines the project is consistent with the purposes
of the bond act and applicable existing law.

(c) (1) Before a project is approved for implementation, a
responsible state entity shall report to the commission whether the
project contributes to the achievement of a statewide natural
resource priority.

(2) Using reports received pursuant to paragraph (1), the
commission shall annually review whether statewide natural
resource priorities are being achieved.

(d) After a responsible state entity has implemented a project
or allocated the money for a project’s implementation, the entity
shall provide annual progress reports to the commission detailing
the use of the bond funds.

(e) A responsible state entity shall ensure that its reporting under
this section is provided in a timely manner and in a format
requested by the commission.

(f) (1) The commission shall ensure that detailed information
provided pursuant to this section will be available online in a
searchable format, and updated at least annually.

(2) The commission shall annually prepare and make available
online an executive summary of its findings, including a summary
and analysis of the data, and any conclusions and
recommendations, in a format the commission determines will
provide useful for the public.

16793.  

(a) The commission shall provide independent review
of all project expenditures funded with the proceeds of a bond act.

(b) The commission may request that the Controller audit a
public entity that receives funds from the proceeds of a bond act.

(c) The commission shall have access and authority to examine
and obtain any document from a public or private entity related to
the use of the proceeds of a bond act.

(d) The commission shall have the power to subpoena all
necessary persons and records for the purposes of this chapter.

(e) If a public or private entity violates any provision of law,
the commission may bar that public or private entity from receiving
the proceeds of a bond act.

SEC. 2.  

Section 151 of the Water Code is amended to read:

151.  

The California Water Commission consists of begin delete nine end delete begin insert 11
members, appointed as follows: end insert

begin insert (a) end insert begin insert   end insert begin insert Nine end insert members begin delete who are end delete appointed by the Governor subject
to the confirmation of the Senate, as provided in this article.

begin insert

(b) One member appointed by the Senate Committee on Rules.

end insert begin insert

(c) One member appointed by the Speaker of the Assembly.

end insert

SEC. 3.  

Section 154 of the Water Code is amended to read:

154.  

Appointments shall be for terms of four years. Vacancies
shall be immediately filled begin delete by the Governor end delete for the unexpired
portion of the terms in which they occur.