Amended in Assembly February 26, 2014

Amended in Assembly February 24, 2014

Senate Bill No. 104

Introduced by Committee on Budget and Fiscal Review

January 10, 2013

An act to amend Section 8683 of the Government Code, to amend Section 50661 of, to add Section 50716 to, and to add Chapter 3 (commencing with Section 34085) to Part 1.6 of Division 24 of, the Health and Safety Code, to amend Sections 10201.5, 10214.5, and 10214.6 of the Unemployment Insurance Code, begin insert and end insert to amend Sections 1052, 1058.5, 1551, 1831, and 1845 of, and to add Sections 1846 and 13562.5 to, the Water Code, relating to drought relief, making an appropriation therefor, to take effect immediately, bill related to the budget.

LEGISLATIVE COUNSEL’S DIGEST

SB 104, as amended, Committee on Budget and Fiscal Review. Drought relief.

(1) The California Constitution requires the reasonable and beneficial use of water. Under the public trust doctrine, the State Water Resources Control Board, among other state agencies, is required to take the public trust into account in the planning and allocation of water resources and to protect the public trust whenever feasible. Existing law establishes the Water Rights Fund, which consists of various fees and penalties. The moneys in the Water Rights Fund are available, upon appropriation by the Legislature, for the administration of the board’s water rights program.

This bill would provide that a person or entity in violation of a term or condition of a permit, license, certificate, or registration issued or begin insert an order end insert adopted by the board begin delete , as prescribed, or the public trust doctrine, end delete begin insert or an emergency regulation described in paragraph (b), end insert is liable in an amount not to exceed $500 for each day in which the violation occurs. These funds would be deposited in the Water Rights Fund.

(2) Existing law, the California Emergency Services Act sets forth the emergency powers of the Governor under its provisions.

This bill would provide that the provisions of this bill described in (1) apply only in a critically dry year immediately preceded by 2 or more consecutive below normal, dry, or critically dry years, or during a period for which the Governor has issued a proclamation of a state of emergency based on drought conditions.

(3) Under existing law, the Disaster Assistance Fund is continuously appropriated, without regard to fiscal years, for purposes of the California Disaster Assistance Act. Existing law requires the Director of the Office of Emergency Services, whenever funds are available for purpose of the act, to make allocations in the amounts that the director determines to be necessary to state agencies for making the investigations, estimates, and reports required by the act.

This bill would authorize the director, when a proclamation of a state of emergency has been issued, to make allocations of funds available for the purposes of the act in the amounts that the director determines necessary to state agencies for expenditures incurred performing extraordinary emergency measures. This bill would prohibit these allocations from being made to reimburse employee costs related to emergency work activities or any permanent repairs to the agency’s own facilities.

(4) Existing law declares that the diversion or use of water other than as authorized by specified provisions of law is a trespass. Existing law authorizes the imposition of civil liability for a trespass in an amount not to exceed $500 for each day in which the trespass occurs.

This bill would authorize the imposition of civil liability by the board or superior court in an amount not to exceed the sum of $1,000 for each day in which the trespass occurs and $2,500 for each acre-foot of water diverted or used begin delete other than as authorized end delete begin insert in excess of that diverter’s water rights end insert during a critically dry year immediately preceded by 2 or more consecutive below normal, dry, or critically dry years or during a period for which the Governor has issued a proclamation of a state of emergency based on drought conditions.

(5) Under existing law, a person who violates a cease and desist order may be liable in an amount not to exceed $1,000 for each day in which the violation occurs. Revenue generated from these penalties is deposited in the Water Rights Fund.

This bill, for a violation occurring in a critically dry year immediately preceded by 2 or more consecutive below normal, dry, or critically dry years or during a period for which the Governor has issued a proclamation of a state of emergency based on drought conditions, would authorize a person violating a cease and desist order to be liable in an amount not to exceed $10,000 for each day in which the violation occurs.

(6) Under existing law, emergency regulations of the board are not subject to review by the Office of Administrative Law if the board adopts findings that the emergency regulation is adopted to prevent the waste, unreasonable use, unreasonable method of use, or unreasonable method of diversion, of water to promote wastewater reclamation, or to promote water conservation, and that the emergency regulation is adopted in response to conditions which exist, or are threatened, in a critically dry year immediately preceded by 2 or more consecutive dry or critically dry years.

This bill also would allow the adoption of emergency regulations by the board if the board finds the emergency regulation is adopted to require curtailment of diversions when water is not available under the diverter’s priority of right. This bill instead would require the emergency regulation to be adopted in response to conditions which exist, or are threatened, in a critically dry year immediately preceded by 2 or more consecutive below normal, dry, or critically dry years or during a period for which the Governor has issued a proclamation of a state of emergency based on drought conditions. This bill would make a violation of a regulation adopted by the board under these provisions an infraction punishable by a fine of up to $500 for each day in which the violation occurs. By creating a new crime, this bill would impose a state-mandated local program.

Existing law provides that these emergency regulations are authorized to remain in effect for up to 270 days, as prescribed.

This bill would permit an emergency regulation adopted under these provisions to be renewed if the board determines that the above-described conditions are still in effect.

(7) Existing law authorizes the board to issue a cease and desist order against a person who is violating, or threatening to violate, certain requirements, including requirements set forth in a decision or order relating to the unauthorized use of water.

This bill would authorize the board to issue a cease and desist order in response to a violation or threatened violation of an emergency regulation adopted pursuant to the provisions described in (6).

(8) Existing law requires the State Department of Public Health to adopt uniform water recycling criteria for indirect potable water reuse for groundwater recharge, as defined, by December 31, 2013.

This bill would require the State Department of Public Health, no later than June 30, 2014, to adopt by emergency regulations requirements for groundwater replenishment using recycled water.

(9) Existing law creates the Housing Rehabilitation Loan Fund and continuously appropriates moneys in the fund for, among other purposes, making specified deferred payment housing rehabilitation loans.

This bill, to the extent no other funding sources are available, would make available $10,000,000 in the fund to the department for the purpose of providing housing rental-related subsidies to persons rendered homeless, or at risk of becoming homeless, due to unemployment, underemployment, or other economic hardship resulting from the state of emergency proclaimed by the Governor based on drought conditions. This bill would authorize the department to administer the housing rental-related subsidies or contract with qualified local government agencies or nonprofit organizations to administer the program.

(10) Existing law authorizes the Department of Housing and Community Development to contract with local public and private nonprofit agencies to provide housing services, including shelter, education, sanitation, and day care services, for migrant agricultural workers, through the development, construction, reconstruction, rehabilitation, or operation of a migrant farm labor center.

This bill would require the department to make the Office of Migrant Services centers available for rent by persons or families experiencing economic hardships as a result of the drought.

(11) Existing law authorizes the Employment Development Department to collect and administer an employment training tax. Existing law establishes the Employment Training Panel (ETP) in the Employment Development Department, and prescribes the functions and duties of the ETP with respect to the development, implementation, and administration of various employment training programs in the state. Existing law requires the ETP to establish the Partnership for Workforce Recovery Training for the purpose of supporting and implementing the workforce development goals set forth in the federal American Recovery and Reinvestment Act of 2009.

This bill would eliminate the requirement that the ETP establish the Partnership for Workforce Recovery Training, and would instead require the ETP to develop and publish guidelines for the purpose of supporting and implementing one or more alternative fund programs to reimburse the cost of training using funds from a source other than the employment training tax.

This bill would require the ETP, as needed in response to a proclamation of a state of emergency issued by the Governor under the California Emergency Services Act, to identify industries and occupations that shall be priorities for training funds for the purpose of funding special employment training projects that improve the skills and employment security of frontline workers and to waive specified wage and employment retention provisions.

Existing law, with respect to funds appropriated in the annual Budget Act to the department for allocation by the ETP for the training of workers in regions suffering from high unemployment and low job creation, authorizes the ETP to waive the minimum wage requirements for participation in the program in certain circumstances.

This bill would provide that the ETP may waive the minimum wage requirements with respect to funds appropriated to the department for allocation by the ETP in the annual Budget Act for training of workers in regions identified in a proclamation of a state of emergency issued by the Governor under the California Emergency Services Act.

(12) Existing law, the Safe Drinking Water, Water Quality and Supply, Flood Control, River and Coastal Protection Bond Act of 2006, an initiative bond act, authorizes the issuance of bonds in the amount of $5,388,000,000 for the purposes of financing a safe drinking water, water quality and supply, flood control, and resource protection program.

This bill would appropriate $472,500,000 from these bond funds for the purposes of integrated regional water management grants.

(13) The bill would require, to the extent feasible and appropriate, water conservation and drought response projects funded pursuant to these provisions and the provisions of the bill described in paragraph (15) to use the services of the California Conservation Corps or certified community conservation corps.

(14) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

(15) This bill would become operative only if AB 79 or SB 103 is enacted, amending the Budget Act of 2013.

(16) This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.

Vote: majority. Appropriation: yes. Fiscal committee: yes. State-mandated local program: yes.

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

SECTION 1.  

The Legislature finds and declares that California
is experiencing an unprecedented dry period and shortage of water
for its citizens, local governments, agriculture, environment, and
other uses. The purpose of this act is to enact urgent legislation to
appropriate funds and expedite administrative actions to increase
water supply reliability consistent with the state’s economic, health
and safety, and resource protection laws.

SEC. 2.  

Section 8683 of the Government Code is amended to
read:

8683.  

(a)  Whenever funds are available for purposes of this
chapter, the director shall make allocations from the funds available
in the amounts that he or she determines to be necessary to state
agencies for expenditure for making the investigations, estimates,
and reports required by this chapter. Those allocations may also
be made to provide for preliminary investigations, estimates,
reports, training of state agency personnel, or to reimburse the
state agencies for expenditures made in anticipation of actual
applications by local agencies. Allocations may also be made for
the purpose of making any investigations, estimates, and reports
that may be necessary to enable local agencies to obtain federal
aid for disaster relief purposes, regardless of whether or not that
aid is available for projects that are eligible for state allocations
pursuant to this chapter. The director may make allocations to any
state agency or office from those funds, or other funds available
therefor, in the amounts that are necessary to administer this
chapter.

(b) When a proclamation of a state of emergency has been issued
by the Governor under the California Emergency Services Act
(Chapter 7 (commencing with Section 8550)) and funds are
available for purposes of this chapter, the director may make
allocations from the funds available in the amounts that the director
determines necessary to state agencies for expenditures incurred
performing extraordinary emergency measures. An allocation
pursuant to this subdivision is at the discretion of the director, but
an allocation shall not reimburse either of the following:

(1) Employee costs related to emergency work activities.

(2) Any permanent repairs to the agency’s own facilities.

SEC. 3.  

Chapter 3 (commencing with Section 34085) is added
to Part 1.6 of Division 24 of the Health and Safety Code, to read:

 

Chapter  3. Drought Housing Rental Subsidies

 

34085.  

(a) The department shall provide housing rental-related
subsidies for the purposes of disaster relief to persons rendered
homeless or at risk of becoming homeless due to unemployment,
underemployment, or other economic hardship resulting from the
state of emergency proclaimed by the Governor on January 17,
2014. The housing rental-related subsidies shall provide rental
assistance to individuals who are unemployed or underemployed
because agricultural or other businesses are affected by the drought
conditions and to other persons that have suffered economic losses
due to the drought conditions.

(b) The department may administer the housing rental-related
subsidies or contract with qualified local government agencies or
nonprofit organizations to administer the subsidies.

(c) The department shall adopt guidelines establishing criteria
for the subsidies, including, but not limited to, eligibility, income
limits, and subsidy amounts.

34086.  

Any rule, policy, or standard of general application
employed by the department in implementing the provisions of
this chapter shall not be subject to the requirements of the
Administrative Procedure Act (Chapter 3.5 (commencing with
Section 11340) of Part 1 of Division 3 of Title 2 of the Government
Code).

SEC. 4.  

Section 50661 of the Health and Safety Code is
amended to read:

50661.  

(a)  There is hereby created in the State Treasury the
Housing Rehabilitation Loan Fund. All interest or other increments
resulting from the investment of moneys in the Housing
Rehabilitation Loan Fund shall be deposited in the fund,
notwithstanding Section 16305.7 of the Government Code.
Notwithstanding Section 13340 of the Government Code, all
money in the fund is continuously appropriated to the department
for the following purposes:

(1)  For making deferred-payment rehabilitation loans for
financing all or a portion of the cost of rehabilitating existing
housing to meet rehabilitation standards as provided in this chapter.

(2)  For making deferred payment loans as provided in Sections
50668.5, 50669, and 50670.

(3)  For making deferred payment loans pursuant to Sections
50662.5 and 50671.

(4)  Subject to the restrictions of Section 53131, if applicable,
for administrative expenses of the department made pursuant to
this chapter, Article 3 (commencing with Section 50693) of Chapter
7.5, and Chapter 10 (commencing with Section 50775).

(5)  For related administrative costs of nonprofit corporations
and local public entities contracting with the department pursuant
to Section 50663 in an amount, if any, as determined by the
department, to enable the entities and corporations to implement
a program pursuant to this chapter. The department shall ensure
that not less than 20 percent of the funds loaned pursuant to this
chapter shall be allocated to rural areas. For purposes of this chapter
“rural area” shall have the same meaning as in Section 50199.21.

(6) To the extent no other funding sources are available, ten
million dollars ($10,000,000) shall be available for the purposes
of Section 34085.

(b)  There shall be paid into the fund the following:

(1)  Any moneys appropriated and made available by the
Legislature for purposes of the fund.

(2)  Any moneys that the department receives in repayment of
loans made from the fund, including any interest thereon.

(3)  Any other moneys that may be made available to the
department for the purposes of this chapter from any other source
or sources.

(4)  Moneys transferred or deposited to the fund pursuant to
Sections 50661.5 and 50778.

(c)  Notwithstanding any other provision of law, any interest or
other increment earned by the investment or deposit of moneys
appropriated by subdivision (b) of Section 3 of Chapter 2 of the
Statutes of the 1987-88 First Extraordinary Session, or Section 7
of Chapter 4 of the Statutes of the 1987-88 First Extraordinary
Session, shall be deposited in a special account in the Housing
Rehabilitation Loan Fund and shall be used exclusively for
purposes of Sections 50662.5 and 50671.

(d)  Notwithstanding any other provision of law, effective with
the date of the act adding this subdivision, appropriations
authorized by the Budget Act of 1996 for support of the
Department of Housing and Community Development from the
California Disaster Housing Repair Fund and the California
Homeownership Assistance Fund shall instead be authorized for
expenditure from the Housing Rehabilitation Loan Fund.

SEC. 5.  

Section 50716 is added to the Health and Safety Code,
to read:

50716.  

(a) Notwithstanding any other law, to respond to the
state of emergency proclaimed by the Governor on January 17,
2014, the department shall, directly or through contracts, make the
Office of Migrant Services centers available for rent by persons
or families experiencing economic hardships as a result of the
drought. This may include, but is not limited to, extending the
period of occupancy prior to or beyond the standard 180-day period
and redefining persons and families eligible to occupy the centers.
To the extent feasible, the department shall give preference to
persons and families that meet existing program criteria.

(b) The department may adopt program guidelines to implement
this section. Any rule, policy, or standard of general application
employed by the department in implementing the provisions of
this section shall not be subject to the requirements of the
Administrative Procedure Act (Chapter 3.5 (commencing with
Section 11340) of Part 1 of Division 3 of Title 2 of the Government
Code).

SEC. 6.  

Section 10201.5 of the Unemployment Insurance Code
is amended to read:

10201.5.  

With respect to funding appropriated in the annual
Budget Act to the Employment Development Department for
allocation by the Employment Training Panel and identified for
training of workers in regions suffering from high unemployment
and low job creation or regions identified in a proclamation of a
state of emergency issued by the Governor under the California
Emergency Services Act (Chapter 7 (commencing with Section
8550) of Division 1 of Title 2 of the Government Code), the panel,
notwithstanding subdivision (f) of Section 10201, may waive the
minimum wage requirements included in that subdivision provided
that the post-retention wage of each trainee who has completed
training and the required training period exceeds his or her wage
before and during training. This determination shall be made on
a case-by-case basis to ensure that post-training improvements in
earnings are sufficient to warrant the investment of public funds.

SEC. 7.  

Section 10214.5 of the Unemployment Insurance Code
is amended to read:

10214.5.  

(a) The panel may allocate up to 15 percent of the
annually available training funds for the purpose of funding special
employment training projects that improve the skills and
employment security of frontline workers, as defined in subdivision
(a) of Section 10200. Notwithstanding any other provision of this
chapter, participants in these projects are not required to meet the
eligibility criteria set forth in paragraph (1) of subdivision (a) of
Section 10200 or subdivision (c) of Section 10201.

(b) The panel shall, on an annual basis or as needed in response
to a proclamation of a state of emergency issued by the Governor
under the California Emergency Services Act (Chapter 7
(commencing with Section 8550) of Division 1 of Title 2 of the
Government Code), identify industries and occupations that shall
be priorities for funding under this section. Training shall be
targeted, but not limited, to frontline workers who earn at least the
state average hourly wage.

(c) The panel may waive the minimum wage provisions pursuant
to subdivision (f) of Section 10201 for projects in regions of the
state where the unemployment rate is significantly higher than the
state average or regions identified in a proclamation of a state of
emergency issued by the Governor under the California Emergency
Services Act (Chapter 7 (commencing with Section 8550) of
Division 1 of Title 2 of the Government Code), and also may waive
the employment retentions provisions specified in subdivision (f)
of Section 10209 and instead require that the trainee has been
retained in employment for a minimum of 90 days out of 120
consecutive days after the end of training with no more than three
employers.

(d) (1) The panel may allocate funds pursuant to subdivision
(a) to increase the productivity and extended employment retention
of workers in the state’s major seasonal industries.

(2) In funding special employment training projects for this
purpose, the panel may do all of the following:

(A) When the amount of the postretention wages of each trainee
who has completed training exceeds the amount of wages that the
trainee earned before and during training, waive the minimum
wage requirements set forth in subdivision (f) of Section 10201.

(B) Waive the employment retention requirements set forth in
subdivision (f) of Section 10209 and instead require that the trainee
be retained in employment for not less than 500 hours within the
12-month period following the completion of the training.

(C) When the panel finds that the training is necessary to achieve
the objectives of vocational training, waive the limitation on
job-related basic and literacy skills training set forth in subdivision
(a) of Section 10209.

(3) For purposes of this section, “major seasonal industries”
means eligible employers who satisfy all of the following
requirements:

(A) Have a workforce comprised of at least 50 percent of
workers whose employment period is necessarily cyclical,
including, but not limited to, businesses directly involved in the
harvesting, packing, or processing of goods or products.

(B) Have retained at least 50 percent of the same seasonal
employees for at least one season of not less than 500 hours for
the preceding 12-month period.

(C) Pay wages and provide benefits that exceed industry
averages.

(e) The panel shall adopt minimum standards for consideration
of proposals to be funded pursuant to this section.

(f) The panel may select contracts funded under this section
based on competitive bidding.

(g) It is the intent of the Legislature in providing the authority
for these projects that the panel allocate these funds in a manner
consistent with the objectives of this chapter as provided in Section
10200.

SEC. 8.  

Section 10214.6 of the Unemployment Insurance Code
is amended to read:

10214.6.  

(a) The panel shall develop and publish guidelines
for the purpose of supporting and implementing one or more
alternative fund programs to reimburse the cost of training
consistent with the purposes of this part, using funds from a source
other than the employment training tax. The alternative funds may
be from any federal, state, or local governmental entity, as
appropriated in statute or other means. The guidelines shall include
adequate fiscal and accounting controls, as prescribed in
subdivision (f) of Section 10205.

(b) The panel may adopt any regulations necessary to implement
this section, but any regulations so adopted are exempt from the
requirements of Chapter 3.5 (commencing with Section 11340) of
Part 1 of Division 3 of Title 2 of the Government Code.

(c) The panel may solicit proposals and enter into contracts or
other agreements to secure funding for the purposes of this section,
but those proposals, contracts, and agreements shall be exempt
from any competitive bidding requirements otherwise prescribed
in statute.

SEC. 9.  

Section 1052 of the Water Code is amended to read:

1052.  

(a) The diversion or use of water subject to this division
other than as authorized in this division is a trespass.

(b) The Attorney General, upon request of the board, shall
institute in the superior court in and for any county where the
diversion or use is threatened, is occurring, or has occurred an
action for the issuance of injunctive relief as may be warranted by
way of temporary restraining order, preliminary injunction, or
permanent injunction.

(c) Any person or entity committing a trespass as defined in this
section may be liable in an amount not to exceed the following:

(1) If the unauthorized diversion or use occurs in a critically
dry year immediately preceded by two or more consecutive below
normal, dry, or critically dry years or during a period for which
the Governor has issued a proclamation of a state of emergency
under the California Emergency Services Act (Chapter 7
(commencing with Section 8550) of Division 1 of Title 2 of the
Government Code) based on drought conditions, the sum of the
following:

(A) One thousand dollars ($1,000) for each day in which the
trespass occurs.

(B) Two thousand five hundred dollars ($2,500) for each
acre-foot of water diverted or used begin delete other than as authorized in this
division end delete begin insert in excess of that diverter’s water rights end insert .

(2) If the unauthorized diversion or use is not described by
paragraph (1), five hundred dollars ($500) for each day in which
the unauthorized diversion or use occurs.

(d) Civil liability for a violation of this section may be imposed
by the superior court or the board as follows:

(1) The superior court may impose civil liability in an action
brought by the Attorney General, upon request of the board, to
impose, assess, and recover any sums pursuant to subdivision (c).
In determining the appropriate amount, the court shall take into
consideration all relevant circumstances, including, but not limited
to, the extent of harm caused by the violation, the nature and
persistence of the violation, the length of time over which the
violation occurs, and the corrective action, if any, taken by the
violator.

(2) The board may impose civil liability in accordance with
Section 1055.

(e) All funds recovered pursuant to this section shall be
deposited in the Water Rights Fund established pursuant to Section
1550.

(f) The remedies prescribed in this section are cumulative and
not alternative.

SEC. 10.  

Section 1058.5 of the Water Code is amended to read:

1058.5.  

(a) This section applies to any emergency regulation
adopted by the board for which the board makes both of the
following findings:

(1) The emergency regulation is adopted to prevent the waste,
unreasonable use, unreasonable method of use, or unreasonable
method of diversion, of water, to promote water recycling or water
conservation, to require curtailment of diversions when water is
not available under the diverter’s priority of right, or in furtherance
of any of the foregoing, to require reporting of diversion or use or
the preparation of monitoring begin delete or technical end delete reports.

(2) The emergency regulation is adopted in response to
conditions which exist, or are threatened, in a critically dry year
immediately preceded by two or more consecutive below normal,
dry, or critically dry years or during a period for which the
Governor has issued a proclamation of a state of emergency under
the California Emergency Services Act (Chapter 7 (commencing
with Section 8550) of Division 1 of Title 2 of the Government
Code) based on drought conditions.

(b) Notwithstanding Sections 11346.1 and 11349.6 of the
Government Code, any findings of emergency adopted by the
board, in connection with the adoption of an emergency regulation
under this section, are not subject to review by the Office of
Administrative Law.

(c) An emergency regulation adopted by the board under this
section may remain in effect for up to 270 days, as determined by
the board, and is deemed repealed immediately upon a finding by
the board that due to changed conditions it is no longer necessary
for the regulation to remain in effect. An emergency regulation
adopted by the board under this section may be renewed if the
board determines that the conditions specified in paragraph (2) of
subdivision (a) are still in effect.

(d) In addition to any other applicable civil or criminal penalties,
any person or entity who violates a regulation adopted by the board
pursuant to this section is guilty of an infraction punishable by a
fine of up to five hundred dollars ($500) for each day in which the
violation occurs.

SEC. 11.  

Section 1551 of the Water Code is amended to read:

1551.  

All of the following shall be deposited in the Water
Rights Fund:

(a) All fees, expenses, and penalties collected by the board or
the State Board of Equalization under this chapter and Part 3
(commencing with Section 2000).

(b) All funds collected under Section 1052, Article 4
(commencing with Section 1845) of Chapter 12, or Section 5107.

(c) All fees collected under Section 13160.1 in connection with
certificates for activities involving hydroelectric power projects
subject to licensing by the Federal Energy Regulatory Commission.

SEC. 12.  

Section 1831 of the Water Code is amended to read:

1831.  

(a) When the board determines that any person is
violating, or threatening to violate, any requirement described in
subdivision (d), the board may issue an order to that person to
cease and desist from that violation.

(b) The cease and desist order shall require that person to comply
forthwith or in accordance with a time schedule set by the board.

(c) The board may issue a cease and desist order only after
notice and an opportunity for hearing pursuant to Section 1834.

(d) The board may issue a cease and desist order in response to
a violation or threatened violation of any of the following:

(1) The prohibition set forth in Section 1052 against the
unauthorized diversion or use of water subject to this division.

(2) Any term or condition of a permit, license, certification, or
registration issued under this division.

(3) Any decision or order of the board issued under this part,
Section 275, or Article 7 (commencing with Section 13550) of
Chapter 7 of Division 7, in which decision or order the person to
whom the cease and desist order will be issued, or a predecessor
in interest to that person, was named as a party directly affected
by the decision or order.

(4) A regulation adopted under Section 1058.5.

(e) This article begin delete does end delete begin insert shall end insert not authorize the board to regulate in
any manner, the diversion or use of water not otherwise subject to
regulation of the board under this begin delete division or Section 275 end delete begin insert part end insert .

SEC. 13.  

Section 1845 of the Water Code is amended to read:

1845.  

(a) Upon the failure of any person to comply with a
cease and desist order issued by the board pursuant to this chapter,
the Attorney General, upon the request of the board, shall petition
the superior court for the issuance of prohibitory or mandatory
injunctive relief as appropriate, including a temporary restraining
order, preliminary injunction, or permanent injunction.

(b) (1) A person or entity who violates a cease and desist order
issued pursuant to this chapter may be liable in an amount not to
exceed the following:

(A) If the violation occurs in a critically dry year immediately
preceded by two or more consecutive below normal, dry, or
critically dry years or during a period for which the Governor has
issued a proclamation of a state of emergency under the California
Emergency Services Act (Chapter 7 (commencing with Section
8550) of Division 1 of Title 2 of the Government Code) based on
drought conditions, ten thousand dollars ($10,000) for each day
in which the violation occurs.

(B) If the violation is not described by subparagraph (A), one
thousand dollars ($1,000) for each day in which the violation
occurs.

(2) Civil liability may be imposed by the superior court. The
Attorney General, upon the request of the board, shall petition the
superior court to impose, assess, and recover those sums.

(3) Civil liability may be imposed administratively by the board
pursuant to Section 1055.

(c) In determining the appropriate amount, the court, or the
board, as the case may be, shall take into consideration all relevant
circumstances, including, but not limited to, the extent of harm
caused by the violation, the nature and persistence of the violation,
the length of time over which the violation occurs, and the
corrective action, if any, taken by the violator.

(d) All funds recovered pursuant to this section shall be
deposited in the Water Rights Fund established pursuant to Section
1550.

SEC. 14.  

Section 1846 is added to the Water Code, to read:

1846.  

(a) A person or entity may be liable for a violation of
any of the following in an amount not to exceed five hundred
dollars ($500) for each day in which the violation occurs:

(1) A term or condition of a permit, license, certificate, or
registration issued under this division.

(2)  begin delete An order or end delete begin insert A end insert regulation adopted by the board under Section
begin delete 275, Section 1058.5, or the public trust doctrine end delete begin insert 1058.5 or an order
adopted by the board end insert .

(b) Civil liability may be imposed by the superior court. The
Attorney General, upon the request of the board, shall petition the
superior court to impose, assess, and recover those sums.

(c) Civil liability may be imposed administratively by the board
pursuant to Section 1055.

(d) In determining the appropriate amount of civil liability, the
court, pursuant to subdivision (b), or the board, pursuant to
subdivision (c), may take into consideration all relevant
circumstances, including, but not limited to, the extent of harm
caused by the violation, the nature and persistence of the violation,
the length of time over which the violation occurs, and the
corrective action, if any, taken by the violator.

(e) No liability shall be recoverable under this section for any
violation for which liability is recovered under Section 1052.

(f) All funds recovered pursuant to this section shall be deposited
in the Water Rights Fund established pursuant to Section 1550.

(g) This section applies only in a critically dry year immediately
preceded by two or more consecutive below normal, dry, or
critically dry years or during a period for which the Governor has
issued a proclamation of a state of emergency under the California
Emergency Services Act (Chapter 7 (commencing with Section
8550) of Division 1 of Title 2 of the Government Code) based on
drought conditions.

SEC. 15.  

Section 13562.5 is added to the Water Code, to read:

13562.5.  

Notwithstanding any other law, no later than June
30, 2014, the department shall adopt, by emergency regulations
in accordance with Chapter 3.5 (commencing with Section 11340)
of Part 1 of Division 3 of Title 2 of the Government Code,
requirements for groundwater replenishment using recycled water.
The adoption of these regulations is an emergency and shall be
considered by the Office of Administrative Law as necessary for
the immediate preservation of the public peace, health, safety, and
general welfare. Notwithstanding Chapter 3.5 (commencing with
Section 11340) of Part 1 of Division 3 of Title 2 of the Government
Code, emergency regulations adopted by the department pursuant
to this section shall not be subject to review by the Office of
Administrative Law and shall remain in effect until revised by the
department.

SEC. 16.  

Water conservation and drought response projects
funded by the provisions of this act, or the act described in Section
19, shall, to the extent feasible and appropriate, use the services
of the California Conservation Corps or certified community
conservation corps, as defined in Section 14507.5 of the Public
Resources Code.

SEC. 17.  

No reimbursement is required by this act pursuant
to Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of
the Government Code, or changes the definition of a crime within
the meaning of Section 6 of Article XIII B of the California
Constitution.

SEC. 18.  

Of the funds made available pursuant to Division 43
(commencing with Section 75001) of the Public Resources Code,
the sum of four hundred seventy-two million five hundred thousand
dollars ($472,500,000) is hereby appropriated pursuant to Section
75026 of the Public Resources Code as follows:

(a) Two hundred million dollars ($200,000,000) shall be
available to the Department of Water Resources for integrated
regional water management grants through an expedited solicitation
round for projects that provide immediate regional drought
preparedness, increase local water supply reliability and the
delivery of safe drinking water, assist water suppliers and regions
to implement conservation programs and measures that are not
locally cost-effective, or reduce water quality conflicts or
ecosystem conflicts created by the drought. The Department of
Water Resources shall consult with the State Department of Public
Health on what emergency drinking water projects may be further
expedited through these funds.

(b) Two hundred seventy-two million five hundred thousand
dollars ($272,500,000), shall be available to the Department of
Water Resources for integrated regional water management grants.
Notwithstanding Section 75100 of the Public Resources Code, the
Department of Water Resources may expend up to twenty-one
million eight hundred thousand dollars ($21,800,000) of the funds
appropriated pursuant to this paragraph for projects submitted prior
to the enactment of this section.

SEC. 19.  

This act shall become operative only if Assembly
Bill 79 or Senate Bill 103 of the 2013-14 Regular Session is
enacted as amending the Budget Act of 2013.

SEC. 20.  

This act is a bill providing for appropriations related
to the Budget Bill within the meaning of subdivision (e) of Section
12 of Article IV of the California Constitution, has been identified
as related to the budget in the Budget Bill, and shall take effect
immediately.