HomeMy WebLinkAboutAgenda Bill 3.F 05/16/2011I85$
DATE': May16 2011
TO: Honorable Mayor and Members of the City'Council through City Manager
FROM: Pamela Tuft, Interim Director, Department of Water Resources, and Conservation
SUBJECT: Resolution Approving a;;Letter ofOpposition.for Senate Bill 34 (Slmlflan) Which
Adds. a State Water Resources Assessment Fee to Water Delivered to City
Customers.
RECOMMENDATION
It is recommended that the City Counciladopt.the attached Resolution Approving a Letter of
Opposition for Senate Bi1134 (Simitian) Which'Adds,a State Water Resources Assessment Fee
to Water Delivered to CityCustomers.
BACKGROUND
SB 34 has been proposed by Senator Joe Simitian. Current'wordii g of the Senate Bill ( "SB 34 ")
is attached as well as a draft letter and - Resolution. Information on. the Senator's website states:
"Senate Bill 34 will create a California Water Resources Investment Program and a
California Water Resources investment Fund supported, by a fee designed to
strategically invest in 5 broad,public- purpose activities. The 5 categories are:
• planning and efficient management of the statewide water system
• broadening: access to necessarywater services
• ecosystem improvements
• management of water - related risks and major public emergencies
• water system changes to improve recreation opport unities"
The,current
H water re spur es. assessment fee being discussed is $11`0 /acre foot of water delivered
customers.' current - version of4he bi'llincludes a blank space for the amount of
the.fee, which results in uncertainty when iattempting to. evaluate the bill's impact on the City of
Petaluma:water enterprise and our ratepayers' monthly bills.
DISCUSSION
Agenda Review:'
City Attorney Finance Director:! City Manager v 1
The'current bill does not reduce - anticipated fee for urban water providers who implement
Best Management Practices, (BMPs) 'for water conservation, but it does reduce the fee for
agricultural water users utilizing B'14Ps. This dichotomy directly contradicts the proposed text of
SB34 which would add California Water Code section §87020.(a)(l ), which states: "The
assessment should be equitable, and should have equal application.to similar water users..."
SB'_34 at proposed Water Code section §870:10:(c) states "Funding,of public benefits should be
guided by the beneficiary pays principle... ". The City of Petaluma already pays for many
services that provide local °benefit, including, services of the California Department of
Public Health and annuaLfees to the State Water Resources Control Board. Additionally, we
annually report Public Water System Statistics to the Department of Water Resources, which
would now be duplicated pursuant ;to SB 34 at ' § 8706;7.(a).
The ` Sonoma County Water Agency (SCWA) and the retail water contractors, including the City,
have planned and funded regional programs to enhance local water supply, recycled water, and
expansive water conservation programs., In addition, in the past. year SCWA and -the retail water
contractors formed'the:Sonoma Marin Saving WaterPartner -ship to further these efforts and to
ensure compliance to SBx7 =7, which`requires a 20 % reduction in per capita water use by the year
2020.
The State legislature has already imposed „costl,mand'atory,measures on the City and other water
contractors with the Water Supply Act of 2010. That comprehensive legislation, again aimed at
improving the Sacramento /San_Joaqun,Delta water supply and conveyance, included SBx7 -7.
The reduction in,per capita water';use resulting 'from - S'Bx7 -7 'will result in a direct reduction in
water sales revenue to fund the water enterprise operation and maintenance activities of the City.
Attached for Council's considerat onds a letter opposing SB 34..
FINANCIAL IMPACTS
Should SB 34 be passed at the discussed fee of $110 /acre foot of water delivered, the City's
annual the current assessment budget to three p - -and the
p ately $810,000. This amount could not be, absorbed into
full amount, of the fee would need to be passed through to.
our customers. The average residential bill could see an increase of up to eight percent (8. %)
caused 'by SB 34.,
ATTACHMENTS
1. Resolution
2. Draft letter to Senator Jose Simtian
3. Current SB 34'wording
2
Attachment 1
$ZESOLUTION APPROVING A LETTER OF OPPOSITION FOR SENATE BILL 34
(SIMITIAN) WHICH ADDS A STATE WATER IRSOURGES' ASSESSMENT FEE TO
WATER DELIVERED TO CITY CUSTOMERS
WHEREAS, the City of Petaluma conducts operation and maintenance activities to
ensure the function of the community's water distribution system; and,
WHEREAS, Senator,Joe Simitian has proposed Senate Bill 34 ( "SB 34 "), which would
adopt the California Water Resources Investment Act,of'2011; and
WHEREAS, SB 34 would impose substantial fees as an annual assessment on local
water providers to fund statewide and regional waterprojects with no guarantee that the funded
projects would directly benefit City water consumers other °than as-members of the general
public; and
WHEREAS, the pending legislation does not quantifyahe fee, but the potential fiscal.
impacts ,of this pending legislation could include a possible annual water resources assessment
fee to the City's water delivery system in excess of $800;000; and
WHEREAS, the `City's operation of its'. potable water system has been modified to
comply with the Water Supply .Act of 2010, implementing and exceeding the Best Management
Practices presented by'the' California Urban Water Conservation Council; and
'WHEREAS, addition of the proposed "annual water resources assessment by the State of
Californi
' a would cause. adverse fiscal impacts to: the operation and maintenance of the City of
Petaluma's potable water services and could fiscally impact the water ratepayers with a
significant rate increase.
NOW, THEREFORE, BE IT RESOLVED THAT the Petaluma City Council strongly
opposes Senate Bill 34 (S' mitian) for the reasons stated in the recitals above and directs the
Mayor to send the attached.; letter of opposition to California Senator Joe Simitian.
3
May 17, 2011
The Honorable Joe Sim'itian.
California State'Senate
State Capitol, Room 2080
Sacramento, CA 95814
Attachment 2
Re SB 34 California Water Resources lnvestm'ent Act of 2011
Dear Senator Sim itian':
Attached please find,. Resolution 2011 -XXX N'.C.S., ;adopted unanimously by the
City of Petaluma City Council, to respectfully voice our opposition to the SB 34
legislation. 'The proposed Legislation will add substantial :cost to the water
delivery system for our community, which we will have no choice but to pass on
directly to our'customers, the ratepayers.,
The Apr.il'version, of the bill, obtained from your website, includes a blank where
the fee is identified., This uncertainty 'of impact to o ratepayers precludes our
ability to evaluate the bills impact on the City of Petaluma water enterprise and
our ratepayers' monthly bills. An earlier version of the bill identified the
antics aced cost at
p ' 1 %acre foot. This,fee would result 'in a burden to the City
of Petaluma of approximately, $810;000 and 'translate to an 8% increase to our
typical residential units.
e any reduction for urban water providers 'who
m 'the � � �� `
P
d not
the r California Urban ''Water Conservation " Council Best'
Management. Practices. The City of Petaluma has consistently implemented'and
exceed�e'd water cons
ervation BMPs, investing in excess of $560,000 per year in
our_conservati.on programs.
SB 34 at' §870.10.(c) I'states "Funding of 'public benefits should be guided by the
beneficiary pays prir ciple... a statement we can support. The City of ,Petaluma
already pays for. many services that, provide Local public benefit, including
services of the California Department of Public Health, and annual fees to the
State Water Resources Control Board, satisfying the public benefit reference
included` as §87010.(b)(2)(C). Additionally, we `annually report Public Water
0
The 'Honorable Joe Simitian
California State Senate May 17, 2011
Re: �SB 34 [California Water Resources Investment Act of 2011 Page 5
System Statistics to the Department of Water Resources which would -now be
duplicated pursuant'to S614 at §87067.0).
The Sonoma County Water Agency (SCWA) and the retail water contractors,
including the City;. have planned and funded regional programs to enhance local
water supply, recycled water,, acid expansive water conservation programs. In
addition, in the paste year SCWA and the retail water contractors formed the
Sonoma Marin Saving'Water Partnership to further these efforts and to ensure
compliance to 8Bx7 -7, which requires a 20% reduction in per capita water use by
the year 2020., - This reduction in. per capita water use will result in a direct
reduction in water .,sales, revenue, to fund the water enterprise operation and
maintenance activities of the. City. The City of Petaluma is committed to
reaching
eaching thes
e reductions in per capita water use and still operate and maintain
a system to, ensure continuous provision of utility services to our community.
The State legislature has already pressed costly, mandatory measures on the City
of Petaluma
and other water contractors with the Water Supply Act of 2010. To
continue adding ,mandatory fees or measures while we are still struggling to
absorb or pass on the costs associated with last year's measures, seems
punitive; especially to agencies who have already reduced their operating
g y
income through reduction of water use. , b' our consumers. We respectfully
request:that you work with us to solve the regional and state =wide water supply
issues rather than merely assess more fees.
Sincerely,
David Giass
Ma
yo r
C: Senator Mark`Leno
AssemblyNlemberJared Huffman
Senator Lois WoIk
Senator Robert- Huff
Senator`Mark Desaulnier
Senator Jean Fuller
Senator Loni Hancock
5
The Hanordble J6e Simitian
California State Senate May 17, 2011
Re SB 34'California .Water Resources Investment Act of 2011 Pape 6
Senator Ed 'Hernandez
Senator;Chrisfi'ne Kehoe
Senator Doug La.Malfa
Senator.Caro[ LiU.
Peter.Detwiler, Senate. Governance and Finance Committee
Cindy Tuck, ACWA Legislative Director.
Pamela Tuft', Interim Director Petaluma Dept. of Water Resources and
Conservation
Grant Davis:, General Manager, Sonoma County Water Agency
Paul Helliker, General Manager, Marin Municipal Water District
Krishna ',Kumar, General Manager, Valley of the Moon Water District
MileS1ferrls, Utilities Director, City of,Santa Rosa
Richard Bunt, Public Works Director,'Town of Windsor
Milenk'a Bates Public WorksiDirector, City'of Sonoma
Darrin Jenkins City Engineer; City of Rohnert Park
Damien O'Bid, Public Works Director, City of Cotati
Tito'Sa`saki,,,North Bay Agricultural Alliance
Jennifer Persike, ACWA.
Editor, Press Democrat
Editor, Angus Courier
S:\WATER RESOURCES & CONSERVATIOMCity Council City Manager Correspondence\201] \Senator Simitian S_ B34 opposition
0511.doc
0
SB 34 Senate Bill' - AMENDED Page 1 of 1'0'
BILL NUMBER: SB,`34 AMENDED
BILL TEXT
AMENDED IN SENATE APRIL 13 201:1
AMENDED IN SENATE MARCH 23, 2011
INTRODUCED BY Senator Simitian
DECEMBER 6, 2010
An act to add Division 36 (commencing with Section 8700.0) to the
Water Code, relating to water
T .
LEGISLATIVE COUNSEL'S DIGEST
SB 34, as amended, Simitan. California Water Resources Investment
Act of 2011.
(1) Under existing law, 'various measures provide _funding for water
resources projects, facilities, and programs.
This bill would enact the California Water Resources Investment
Act of 2011 to finance a,water resources investment program. To
finance the program the bill would impose on each retail water
supplier in the state an annual charge based on the volume of 'water
provided in its service area that is provided for nonagricultural
uses and an annual charge based on each acre of land within its
service area that. is irrigated for agricultural arses
purposes . The bill would require the State
Board of Equalization to, collect, the, charge's from retail water
suppliers in accordance with the Fee'.Cbllection Procedures Law, and
would authorize the State Board of Equalization and the Department of
.Water Resources to adopt and enforce regulations for the
administration and enforcement of the charges and related
requirements as emergency,regulations.
The bill would require the revenues of the charges col- lected for
purposes of the water res'ources' investment program to deposited in
the California Water Resources.Investment Fund, whch,would be
established by, -the bill. The bill would establish a State Investment
Account and ii an unspeci -f ied number of
regional Tonal investme nt, nts within the fund, and .would require 50%
accou
of the moneys deposited in, the fund to be
6rrn?regrs -g t a d-�o,_ tyre —Form raiser ° - - - - - -- - -
transferred to the State Investment Account and..50% of the
moneys deposited in the fund to be
t - �ke--_e treirei f6r—* _ -T transferred to
the .regional investment accounts based on the amount of charges
collected within unspecified funding region
established by the bill.
Attachment 3
7
SB '34 Senate Bill - AMENDED
The bill would require the moneys in each of the regional
investment accounts to. be available, upon appropriation by' the
Legislature, for purposes of providing funding for public benefits' of
.water - related projects and programs, consistent with prescribed
requirements.
The bill would require the moneys in the State Investment Account
to be expended', upon appropriat on.by the•Le,gislature, for
administration of t'he water resources investment program and to.fund
public 'benefits of specified water - related:
pj the o eratig expenses of
projects and including statewide water resources
projects, ALT p 9 P 'the
Delta Stewardship Council and the Delta Plan adopted: by the council,
projects that reduce t_he irppacts of mercury contamination in the
Sacramento -San Joaquin Delta, etnei, specified
scientific studies and assessments debt service 'on general
obligation bonds for projlects and programs that. provide. statewide and
interregional public benefits; and other unspecified purposes
(2) By expanding'the: application of the 'Fee Collection Procedures
Law, the violation of which is a. crime•, this bill would impose a
state - mandated local program,.
The California Constt "uti'on requires the state to reimburse local
agencies and school districts for eertain 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.
(3) This bill would. constitute a ^'change in state Statute that'
would result ult in a le of Artiela'xpaye;r' paying a higher tax within the meaning of
would res X 11 A of the, California Cons titutidn, and this
would require for passage the.approval of 2/3 of the membership of
each house of the Legi'sl'ature.
Vote_; 2/3'. - Appropriation fires-- no
Fi'scai committee: ye "s. State - mandated local program: yes.
THE PEOPLE OE THE STATE OF CALIFORNIA DO ENACT'AS FOLLOWS:
SECTION 1.. Division 36 (commencing with Section
87000) is added to' the Water Code . , to read;
DIVISION 36,:' California Water Resources. Investment Act
CHAPTER 1. GENERAL PROVISIONS
87000. This. division shall' be known and may be cited as the
California Water Resources Investment Act of 2011.
Page 2 of 10
8
I, P
SB 34 Senate Bill - AMENDED
7010. The Legislature finds and declares all of the following:
(a) It is necessary to establish a sustainable revenue source to
fund the public benefits of water- related projects and programs.
(b) (1') Public benefits are the advantages or outcomes from an
undertaking that accrue to the general public. Public benefits are
such .that no one person or group -of people can be effectively
excluded from receiving the benefi.ts. While some public benefits of
wafer - related projects and'programs may accrue to. all Californians,
others accrue on amore 1-i'mited regional basis, such as within a
specific watershed or hydrologic region.
(2) Public benefits of water7related projects and programs may
include any of the following
(A) Enhancement of public trust resources beyond the regulatory
baseline.
(B) Protection of public health and safety.
(C) Efficient administration of water - related institutions or
information.
(D) Research and devel'opm'ent ,of new technologies.
(E)
(c) Funding.of public benefits .should be guided by the beneficiary
pays principle ,and th"e, polluter pays principle.
(1) Under the beneficiary pays principle, beneficiaries of a
program or project pay for the 'benef"ts they receive in approximate .
proportion to the benefits received. Beneficiaries may include
individual water users, water agencies, nonprofit organizations,
local or regional governmen•ts,; and the general public. Beneficiaries
are not expected to pay for actions that fall under the polluter pays
principle.
(2) Under the polluter pays principle, those who cause, or may
" cause harm to the environment,pay the costs to remedia.te, mitigate,
or avoid causing that harm. The polluter pays principle is designed
to en's that a project or program bears the full cost of the
environmental effects of that project" or program.
(d) (1) Decisions regarding fun din "g of public benefits of
water- related projects and programs should be made by th'e public
receiving those• benefits.
(2) Decisions regarding funding of public benefits that accrue
statewide should be made by the s ate.
(3) Decisions regarding funding of public benefits that accrue a
specific .region 'should be °made by that region.
(e) Under the prin ciples set forth in subdivisions (a) to (d),
inclusive, responsibility fo'r funding water- related programs should
, be as follows:
(1) The state should generally be responsible for funding the
public benefits�of certain types of water - related programs. Depending
on the specific circumstance , , these may include:
(A) Projtec
is or programs, rams that provide public•benefits statewide or
to more than one region:.
(B) Protection and enhancement of public trust resources beyond
that required of any person.or entity as a condition of "a permit,
regulation, state or federal statute, or other legally enforceable
requirement..
(,C) Protection of public health or safety where local agencies are
unable to perform this task adequately.
(D) Resolving interregional legacy problems, such as mercury
pollution, where the person or'entity that caused the pollution
cannot be found or no 'longer exists and there is no other practical
F recourse to cause remediation of the problem.
(E) Efficient administration of state water institutions or
information.
Page 3 of 10
I
SB34 Senate Bill, -'AMENDED Page -4 Of 10
(F) Research and development of new technologies.
(G) Debt service on general obligation bonds projects and
programs that provide sta.'tewide and interregional public ,benefits.
(H)
(2) Specific regions of the state should generally be responsible
for funding the public benefits of certain types of' water- .related
programs: Depending on the specific circumstance, these might
include:
(A) Projects or programs that provide. public benefits to that
specific region.
(B) Protection and enhancement of public trust resources beyond
that required of any person or ent -i,ty as a condition of a; permit,
regulation, state or federal statute, or other legally enforceable
requirement, where the.protection or enhancement leads to other
regional public benefits.
(C) Protection of publ -ic health or safety.
(D) Resolving regional legacy problems, such as groundwater
pollution, where the person or , entity that caused the, pollution
cannot be found or no longer exist's and there is no other practical
recourse to cause remediation of the problem
(E) Efficient administration of regional water institutions or
information; such as gro.undwa;ter monitoring en'fities. .
(F) Attaining regional water quality 'objectives for nonpont
source pollutants.
(G) .Debt service on general obligation bonds for projects 'and
programs that provide regional or ,local public benefits.
(f)-Pursuant to the principles set forth in subdivisions (a) to
(d), inclusive, neither the state'nor specific regions of the state
should have any responsibility to fund certain types of water - related
activities. These include, but are not limited to, al-1 of the
following:
(1) A project or program that provides no public benefits.
(2) An improvement required.as, a means of meeting mitigation
requirements associated' with a project.
(3) An enhancement or improvement where a specific individual or
group of individuals can be identified as the sole beneficiaries.
(4)
87020. The Legislature further finds and declares all of'the
following:
(a) A water resource's assessment imposed for purposes of financing
the pub -lic benefits of water- related projects and programs should
have all of the following characteristics:
(1), The assessment 'Should be 'equitable, and should' have. equal
application to. simil'a "water users and differential application to
dissimilar water - users in approximate proportion to their
differences.
(2) The assessment 'should be comprehensive, and should apply to
the greatest number of water users possible. There should be few, if
any, free riders..
(3) The ass.essm'ent should be unavoidable. Those who are subject to
the asse.ssmen - t „should not be able to avoid paying the assessment
through loophoi "es, exceptions, or similar mechanisms.
(4) The assessmen',t,should be affordable, and should not. place an
undue burden upon those required to pay the assessment.
(5) The assessment should be understandable. The assessment should
be easy to explain, and comprehend.
(6) The assessment shcul'd.be easy to administer. The method of
collecting the assessment should minimize the costs of administering
and complying with the law.
9R 34 Senate Bill - AMENDED Page 5 of 10
(7) The assessmen"tisho.uld be: stable. Th'e assessment should ;provide
a reasonably stable a- nd.'predictable revenue stream.
(8)
(b) Consistent with subdivis on (a), and as. a .result of the
differences in the uses of water, sources of water; and methods of
distributing water among the ,end users., it is appropriate, for a water
resources assessment to apply differently to agricultural and
nonagricultural water uses, and to have all of the fol- lowing
characteristics'.
(1) The assessment should be imposed on all retail water
suppliers.
(2) The assessment should be .impose'd. on nonagricultural water uses
based .. on the number of'acre.feet of water used.
(3): The assessment• should be. imposed on agricultural waiter users
based on the number of acres of,, irr land.
(4) The assessment should. be imposed without regard:;to whether the
water used by the end water user was purchased from the retail water
supplier or was self - supplied through a private well or other
private, legal water 'right.
(5') The assessment should result in a different effective rate for
agricultural and n6nagricultura -1 uses.
(6) The assessment should encourage high levels of 'agricultural
water use efficiency,..
(7)
(c) The proceeds of :a water resources assessment should be shared
between the state and regions of °the sta;te..
(1) Half of the proceeds should be allocated to ,the state to fund
statewide and' interregional publlco benefits associa ;ted'With
water - related projects and programs.
(2) Half of' the proceeds should be allocated among the regions of
the state to fund regional and' local .public. benefi'.ts asso'cia'ted with
water - related projects and programs. The allocation among the - reg i ons
should be in proportion to. the proceeds raised in each region.
87030. The purpose of this di`visi'on is to. establish a sustainable
funding source to fund the public benefits of water- related projects
and programs consistent with the policies set forth °in" this chapter.
CHAPTER 2.. DEFINITIONS
870.40. Unless the contakt requires, the following
definitions govern the constr:u;ction of this division;
(a-)
4 'App3icant-" means an entity that submits a regional': proposal
for funding in accordance with this division.
(b) "Funding region" means one of the following: regions in the
states
meaning as defined egi, waiter mana the same
g gement 'plan " ha
ction 10534: .
(d)' "Tn.vestment fund" means the California Wa >te ;r Resources
In vestment Fund e'stablishe'd pursuant to Section 87070.
(e), ` "Person"- means , any individual, estate; 'business: or common law
tru`s.t, firm, joint; {s,tock company, joint venture, business concern,
COrpOrati'On, inCllld�l -ng, bUt no,t. necessarily lim- ted to," a governmeh;t
corporation, partnership; limited partnership, limited liability
partnersh=ip, limited liability company, and any other business
entity, and any soc club, cooperative organization, fraternal
organization, or any Other Organization ,or - associations. "•Person" also
includes any city, county, city and county, district, commission,
the state or any department, agency, or ,political subdivision
4:
SB 34 Senate Bill.- AMENDED
thereof, any interstate. body, 'And the United States and its agencies
and ,i : nst T ,rumen tald ties ,to the, extent permitted by law.
(f) "Public agency" means a state agency or department, a
district, a joint powers au:thority,. a city, county, a city and
county, and any other political subdivision of the state.
(g) "Regional investment account" means. any of the accounts
established in the investment fund pursuant to Section 87070 and
corresponding to a funding region identified pursuant to subdivision
(b)'
(h) "Retail water service" means water service that is purchased
by municipal, industrial, or agricul,t.ural water customers without
further :sale of water to other water, customers.
W "Retail water supplier " ,means any ,local entity, including a
public .agency, city, county, investor -owned utility, municipal water
company, or private water company or person that provides .retail
water service to municipal, industrial., or agri- cultural water
customers.
CHAPTER 3. INVESTMENT IN CALIFORNIA WATER.RESOURCES
Article 1. General Provisions
87050. (a) The ,departmenf and the State Board of Equalization may
each,.adopt emergency regulations to .implement and enforce this
chapter.
(b) The emergency regulations adopted pursuant to subdivision (a)
shall be adopted in accordance with ;Chap ter 3.5 (commencing with
Section 113'4'0) of Part l` of Division 3 of Title 2 of the ;Government
Code, and for the purpose's of that chapter, including Section 1 °1349.6
of the Government Code, Kthe adoption of these regulations is an
emergency, and shall be considered by .the Office of Administrative
Law as necessary for preservation of the public peace,
health, safety, and general welfare. Notwithstanding Chapter 3.5
(commencing with Section 11340) of Part l of Division 3`of'Title 2 of
the Government Code, any emergency regulations adopted by the
department or the State Board of Equalization pu'rsuan't to this
section shall be filed with., but not be repealed by, ith Office of
Administrative Law, and - shal "l remai n in effect ' for a per -iod of two
years or until revised by the department or the State Board of
Equalization, whichever occurs first.
Article 2. Water Resources Assessment
87060. '(a) Commencing July 1, 2012, , an annual
assessment shall be imposed on every retail water
state for each - calendar year, in accordance. with
requirements.
(1) A charge of dollars ($ ) per acre
is sold for nonagricultural uses.
(2) (A) Except as provided in subparagraph (B)
waster resources
supplier in th 's
the following
foot of water that
and
subdivision
that is
area of the
(b)., a charge of dot -lags ($ ) per acre of land
irrigated for agricultural purposes within the service
retail water supplier. .This, charge shall apply to all land irrigated
for agricultural purposes, regardless of whether the source of the
irrigation water is surface or groundwater.
(B) For each acre of land that the department determines to be
utilizing best management practices for the crop and soil type
Page 6 of 10
12
SB 34 Senate Bill' - Al 'ENDED
irrigated on that acre:, as determined pursuant to `subdivision (b) ,
the water resources assessment shall be dollars ($ ).
(b) On or before July 1, 2013, the department shall adopt
regulations establishing a program to determine best management
practices for irrigated agriculture, based on crop and soil type.
87062. The imposition of 'the' water resources, assessment in
accordance with this article is a matter of sta interest and
concern, and is applicable uniformly throughout the state.
Article 3. Collection of Water Resources.Assessment
87065. (a) The State Board of Equalization shall, collect and
administer the water resources, assessment imposed pursuant to Section
8:7060 in accordance with the 'Fee Collection Procedure's Law (Part 30
(commencing with Section 55001) of Division 2 of the Revenue and
Taxation Code) . For purposes of this section, "feepayer,," within the
meaning of the Fee Collection Procedures Law,. shall include a retail
wager supplier.
. (b) For each calendar yea -r,, the, water resources assessment imposed
'pursuant to Section 87060 shall be due and'payable to the State
Board of Equalization by—July 1 of the immediately following calendar
year'. Paymen'ts shall be accompanied by a return in the form
prescribed by the State Board of Equalization, and may include, but
are not necessarily limited to, electronic media.
(c) Notwithstanding subdivis=ion (b), if the State Board of
Equalization deems it necessary in.order to ensure.payment or to
facilitate collection ,of the water resources assessmenit the 'State
Board of Equalization may require annual returns and payment of the
water resources assessment for a different period from that set forth
in subdivision (b), as determined -,by the'State board of
,Equalization.
(d) The State` Board of Equaliza -;tion may prescribe, :adopt, and
enforce regulations for the 'administration, and enforcement of the
water resources assessment pursuant' to this article.
87066. A retail water° "supplier may collect the costs of the water
resources assessment from .its customers by using the amounts set
forth in subdivision (a) of Section 8706.0 or by using an alternate
collection method consis °tent with the supplier's practices."
87067. (a) On or before March 1, 2012, each retail water supplier
in the state shall submi=t to the department a written statement
describing whether it is publicly or pri•va'tely owned, its official
mailing address, a map - of its service area, the connection, categories
used in billing its water customersiand the number of connections' in
each Cate, the volume of water provided to its nonage- i'Cultural
cusomeTs�in the immedi >a.tely ipreceding calenda year, the' n,umber of
acres irrigated for agri'cul'tural use within its, service area, and any
other relevant ienformat on as may be' determined by 'the' department.
(b) On ,or before July 2012, the department shall provide the.
State Board of Equalization with a list of each retail water supplier
in the .state', `ncluding' the information for each retail :water
supplier collected pursuan . to subdivision (a) .
Article ;4. California Water Resources Investment Fund
87070. ('a) "The Water Resources Investment Fund is
established in the State Treasury.
(b) ",The investment fund consists of accounts, which are
hereby established as follows:
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SB 34 Senate Bill" -'AM ENDED
(1) The General Accoun''t for 'receipt of deposits from the State
Board of Equalization and for general' expenditures._
(2) The State Inves tmen•t Account .
(3) regional investment accounts, corresponding to the
funding regions specified 'in.subdivision;'.(b) ;of Section 87040.
(c) Water resources assessments and any penalties imposed on
retail water suppliers in connection with the collection of the
assessments by the State Board of Equalization, shall be remitted by
the. Sta't'e Board of 'Equ.a1'iza'tion, in accordance with Article 2
(commencing with Section `870`609, and shall be depos , ted in the
investment fund. Notwith'Standing Section .16305. 7 of the Government
Code, all interest earned on;moneys'deposi Led in the i +nvestmen t fund
shall, be maintained in the lh vgstment fund..
(d) Moneys deposited 'n the ; investment fund shall not be
appropriated for any purpo'se.other than-the purposes au,th'orized by
this division.
87072. (a) All moneys cb'lle p chapter shall be
cted ursuant to this
deposi,ted by the State Board of Equaliza =Lion into the - General
Account in the investment fund.'
(b) The Controller shall transfer the moneys deposited in the
General Account to the State;,Investmen:t Account and the regional
investment accounts, as followsi
(1) Fifty percent shall be fra'nsferred to the State Investment
Account.
(2) Fifty percent shall bIe tra'ns'ferred to the regional
investment accounts on a. :pro rata basis: that reflects th'e.percentage
of the moneys collected from.wthin each respective funding region.
(c) For purposes of ca'lcullati•ng the amounts transferred ,pursuant
to paragraph (2) of subdivision (b) the State'; Board; of Equalization
shall provide a statement- of, the` Per.cen,age of the moneys collected
' pursuant this chapter that is at;t= ributable to each of the funding
regions to the Controller on a 'quarterly, basis.
87074. (a) Notwithstanding any other law, the State Investment
Account and each of ;the regional • - investment- accounts'shald accumulate
the revenues deposited in th'e respective accounts in any year in
which those revenues are, not expended.
(b) Notwithstanding Section 16305.7 of the Government Code, any
interest earned on moneys deposited in the State Invesl'tm,ent Account
or any of the regi -onal investment.accoun ;ts shall 'be.re,.tained in the
respective account and may be,exp'ended for the authorized purposes of
the respective account':.
ArCic1''e 5: Regional Investment Accounts
87080,. The moneys in-each regional investment accounL shall be
available, upon appropr•iatron 'by, the Legislature,, to fund ,publi =c
benefits,, of water - related projects and programs in accordance with
this article.
87082. In order to be; eligible financial assistance from a
regional nves;tmen ?t accountl,,a project or program shall be consistent
with one or mdre, of ,the following;
(a.) An adopted n:tegrated regional water management plan
consistent 'with Part 2.:2 ;('commencing with Section 1`0530) of Division
6.
(b) An adopted s "tormwater resource plan consistent with Part 2.3
(commencing with Section 105,60) of .Division '6..
(c) An adopted groundwater management plan that complies with the
requirements of Section 110753.7.
(d) A water quality control plan developed pursuant to Section
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SB 34 Senate Bill' AMENDED Page 9 of 10
13240.
(e)
8708.4. In order to be eligible for financial assistance from a
regional investment' account, an applicant submitting a proposal for
funding shall meet all of the following requirements, as applicable:
(a) If the applicant is an, urban water supplier, the applicant
shall prepare, adopt, and subm!_t to the depar-,tment an urban wa!te "r
management plan in accordance with the Urban waster management
Planning Act (Part 2.6 (commencing with Section 10610) of Division
6) .
(b) If the applicant is an agricultural water supplier, the
applicant shall prepare, adopt, and submit to the department an
agricultural wa er management plan .in accordance with Part 2.8
(commencing with Section' 10800) of Division 6.
(c) If the applicant requests funding for a groundwater
management, storage, or recharge project, or a project with potential
groundwater impacts, the applicant shall demonstrate that one or
more of the following conditions have been met„ as applicable:
(1) A groundwater management plan fors 'the affected groundwater
basin has been prepared and implemented in accordance with Part 2.75
(commencing with Section 10750) of Division 6.
(2) The applicant participates in, or agrees to be subject to, a
groundwater management plan,, basinwide management plan, or other
program or, plan that meets the requirements of Sect on'l075.3_ 7.
(3) The applicant complie's with the requirements,of an
adjudication of water rights, in an affected groundwater basin,. For
purposes of this paragraph, an "adjudication" includes an
adjudication under Section 2.101, an`.adminis.traLive adjudi,ca.tion, and
an adjudication in state or federal court.
Article 6. State Investment Account
87090. The moneys in the State Investment Account shall be
expended_, upon appropriation by the Legislature, for all of the
following purposes:
(a) For allocation to the State Board of Equal- izat.io'n. for payment
of refunds of the water resources a- ssessment, in;terest•, and
penalties, as au;thorized'pursuant to Chapter 5 (commencing with
Section 55221) of Part 30 of Division 2 of the Revenue and Taxation
Code, including refunds due on, account of judgments: for the return of
charges that are unlawfully collected.
(b) For allocation to .the State -Board of Equalization and the
department to ensure,sufficien ;t. revenues for those agencies to carry
out the duties imposed upon each of them by this division.
(c) For a' reserve not to exceed dollars ($ ), which shall
be maintained,, in t "he State Inves Account.
87092.. The balance of the moneys in the 'State Investment Account
after allocation, for expenditure for all of the purposes set forth
in Section 57090, shallf be available, upon appr.opri&tion by the
Legislature, to fund the public benefits of the following
water'-related projects and programs:
(a) Project's of.s atewide and interregional significance.
,(b) Operating. expenses of the Delta Stewardship Council and the
Delta "Plan adopted -by the Delta Stewardship Council., -and grants and
direct expenditures to implement the Delta Plan.
(c) Projects tha t reduce the impacts of mercury contamination of
the Sacramento -San Joa4din Delta and its watersheds, and'remediation
and elimination of continuing sources of mercury contamination.
(d) scientific studies and assessments that support projects
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SB'34 Senate Bill - AMENDED
authorized under :this section.
(e) Debt service on ,general' obligation bonds for projects and
programs that provide statewide and interregional public benefits.
(f)
SEC. 2. No reimbursement is required by this act
pursuant to Section 6 of Article XIII B of the California
Constitution because. the'onl'y costs that may be'incurred °by a local
agency or school district will -be incurred because this act , crea'tes.a
new crime or infraction,,, eliminates
a crime or infraction, or changes the penalay 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. All
matter omitted in this version of the bill appears in the bill as
amended in the Senate, March 23, 2011: (JR11)
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