HomeMy WebLinkAbout2008-02-20 - Executive-Administrative-Organizational Committee Meeting Agenda PacketML
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YORBA LINDA WATER DISTRICT
EXECUTIVE - ADMINISTRATIVE - ORGANIZATIONAL COMMITTEE MEETING
Wednesday, February 20, 2008, 4:00 p.m.
4622 Plumosa Drive, Yorba Linda, CA 92886 — Tel: (714) 701 -3020
AGENDA
COMMITTEE: STAFF:
Director John Summerfield, Chair Michael A. Payne, General Manager
Director William R. Mills Ken Vecchiarelli, Asst. General Manager
Alternate: Director Ric Collett
INTRODUCTION OF VISITORS AND PUBLIC COMMENTS:
Any individual wishing to address the committee is requested to identify themselves and state the matter
on which they wish to comment. If the matter is on this agenda, the committee Chair will recognize the
individual for their comment when the item is considered. No action will be taken on matters not listed on
this agenda. Comments are limited to matters of public interest and matters within the jurisdiction of the
Water District. Comments are limited to five minutes.
ACTION ITEMS:
This portion of the agenda is for items where staff presentations and committee discussions are needed
prior to formal committee actions.
• 1. Board of Directors Annual Goals Workshop.
Recommendation: That the Executive - Administrative - Organizational
Committee provide direction to staff.
DISCUSSION ITEMS:
This portion of the agenda is for matters such as technical presentations, drafts of proposed policies, or
similar items for which staff is seeking the advice and counsel of the Committee Members. This portion of
the agenda may also include items for information only.
2. Townsend Public Affairs Report on grants.
3. Sacramento Advocates Legislative Report.
4. General Manager's monthly report.
5. Professional Services Agreement — Sacramento Advocates Contract
6. Professional Services Agreement for Legal Services - Rutan & Tucker.
7. Directors and General Manager's Fees and Expenses Year -to -Date Report
•ADJOURNMENT:
The next Executive - Administrative - Organizational Committee is scheduled for March
18, 2008, 4:00 p.m.
• Accommodations for the Disabled:
Any person may make a request for a disability-related modification or accommodation needed for that
person to be able to participate in the public meeting by telephoning Michael A. Payne, District Secretary,
at 714.701.3020 or writing to Yorba Linda Water District, P.O. Box 309, Yorba Linda, CA 92885-0309.
Requests must specify the nature of the disability and the type of accommodation requested. A
telephone number or other contact information should be included so the District staff may discuss
appropriate arrangements. Persons requesting a disability-related accommodation should make the
request with adequate time before the meeting for the District to provide the requested accommodation.
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ITEM NO. 1
AGENDA REPORT
Committee Meeting Date: February 19, 2008
To: Executive-Administrative-Organizational Committee
From: Michael A. Payne, General Manager
Staff Contact: Same
Reviewed by General Counsel: N/A Budgeted: Yes Total Budget: $
Funding Source: Water Operating Fund
CEQA Account No: Job No:
Compliance: N/A Estimated Costs: N/A Dept:
Subject: 2008 Board of Directors Goals Workshop
SUMMARY:
Each year the Board of Directors discusses the goals of the Board and staff for the upcoming
year(s).
DISCUSSION:
There are many issues to discuss such as water shortages and conservation, the economy,
variable operating expenses, the Plumosa property, District policies and organizational issues,
plus others. The workshop and the desired results can best be done with a facilitator. The
Board has several options to chose from:
1) The Board President can facilitate the workshop.
2) The General Manager and/or Assistant General Manager can facilitate the workshop.
3) The Board can bring in an outside consultant as in 2004 when the District hired Charles
Beasley.
4) Other
A copy of the minutes of the March 15, 2007 Board Goals Workshop are attached.
PRIOR RELEVANT BOARD ACTION(S):
The Board of Directors conducted the last Goals workshop on March 15, 2007 with the
General Manager as the facilitator.
STAFF RECOMMENDATION:
That the Executive-Administrative-Organizational Committee provide direction to staff on
the facilitator and a proposed agenda..
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
March 15, 2007
The March 15, 2007 regular meeting of the Yorba Linda Water District Board of
Directors was called to order by President Ric Collett at 8:37 a.m. The meeting was
held at Richfield Plant Emergency Operation Center, 913 Richfield Road, Placentia.
DIRECTORS PRESENT AT ROLL CALL
Ric Collett, President
John W. Summerfield, Vice President
Paul R. Armstrong
Michael J. Beverage
William R. Mills
STAFF PRESENT
Michael A. Payne, General Manager
Kenneth R. Vecchiarelli, Asst. G.M.
Diane Cyganik, Finance Director
John DeCriscio, Chief Plant Operator
Amelia Cloonan, Exec Secretary
INTRODUCTION OF VISITORS AND PUBLIC COMMENTS
Paul Kaymark, Charles Z. Fedak & Company, Certified Public Accountants
DISCUSSION ITEMS
1. Annual Board of Directors Workshop - 2007
General Manager Payne introduced Paul Kaymark of Charles Z. Fedak &
Company, the District's auditors. Mr. Kaymark said he would speak about the
District, historical values and the future. Mr. Kaymark noted a lot of construction
is coming up, and the District's reserves will be going towards meeting costs of
the projects. A trend chart was included in the agenda packet. Mr. Kaymark
explained the information contained in the charts, which presented operating
reserve ratios for other districts and for the Yorba Linda Water District. The
District's numbers indicate it has the lowest reserves per customer in comparison
to other agencies listed. Information about policies of other agencies was also
included in the agenda, and Mr. Kaymark spoke about these policies.
Mr. Kaymark suggested the District work with a bank for a $5 million line of credit
so funds will be available in case of emergency. There was discussion about
FEMA funds for districts and the timing of approval and availability of funds. Mr.
Kaymark recommends a goal of 1:5 ratio and two years of operating reserves for
sewers.
Director Armstrong asked about commitments on current funds. General
Manager Payne said the District has commitments for ID #1 and ID #2 projects
for storage, pumping and transmission. The District issued Certificates of
Participation (COPs) in 2003 for the administration building and Highland
Reservoir replacement project.
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General Manager Payne mentioned one of the recommendations today will be to
develop a reserve policy. Is there a consensus that the District should have a
written reserve policy? The Directors responded affirmatively.
With respect to a rate stabilization policy: Director Armstrong stated it is a very
good to have a policy in place, especially if you think there are going to be more
regional problems, ex. drought. President Collett believes you are fooling the
people if they are paying a rate that is not true. Director Beverage stated if you
have your policy and set a reserve policy of $5 million, everything is laid out.
Vice President Summerfield asked about a good number. Mr. Kaymark answered
it is wherever you are able to get the best rate.
Director Mills asked about reserves and a definition of what is actually a reserve.
Vice President Summerfield stated you first need to determine why you are
setting up reserves. Assistant General Manager Vecchiarelli stated catastrophic
failure is a reason to use reserves.
Director Beverage suggested a line of credit. President Collett added it should
be combined with a reserve policy. Raising rates is no longer as simple as in the
past. Rates for debt service on projects were discussed. Director Mills
commented the District has no funds set aside for replacing facilities. Assistant
General Manager Vecchiarelli replied that is a component of the District's water
rate.
Director Armstrong asked what the District does with the depreciated value.
Assistant General Manager Vecchiarelli said a public agency depreciation it is a
zero value.
General Manager Payne summarized the discussions and confirmed there was a
consensus to develop a written Reserve Policy and send it to the Finance-
Accounting Committee for discussion. Additionally, staff will check with financial
institutions for establishing lines of credit. The results and recommendations will
be submitted to the Finance-Accounting Committee.
A recess was declared at 10:05 a.m. Paul Kaymark left the meeting.
The Board of Directors reconvened at 10:12 a.m. All Directors were present.
2. General Manager Payne presented the working agenda for the 2007 Board
Goals Workshop.
• Construction Projects - Status Report
Staff distributed a list of the Capital Projects for the Fiscal Budget 2005/06
and 2006/07. The Board reviewed the list. There were no changes.
• Funding for Projects
The Board reviewed developer funds, annexation fees, Improvement
District funds (if appropriate), Certificates of Participation and Water rates.
The board concurred to consider issuing more COP's for Lakeview
Reservoir & Booster Project - 12 mg, balance of Highland Reservoir
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Replacement project, Transmission pipelines, etc. and to Review Water,
Sewer & Customer/Dev Fees Annually.
• Upcoming 2007/08 Budget
Staff is proposing to use the same format as 2005/07 budget. Continue
with fast track project plan. Staff is proposing the following changes: 1)
Strive for Balanced Budget within two years; 2) Do away with negative
numbers; and 3) Establish 24 month cash flow to coincide with budget
immediately following adoption of Budget.
• Cash Flows
Staff has developed a 6 month cash flow program and is continuing to
work towards a 24 month cash flow to coincide with the budget.
• Revenues - other agencies - State, MWDOC
Revenues from others, i.e. State, MWDOC, OCWD
Weaning State funds from operating - put to reserves. This will be
discussed further in the Finance-Accounting Committee.
• Standing Committee Structure
There are five standing committees. The Support Services Department
was eliminated two years ago and replace with an Information Technology
Department. Items pertaining to Information Technology items are not
presented to a specific committee. General Manager Payne suggested IT
be added to the Public Information Committee. Vice President
Summerfield stated GIS interacts with the entire District. A consensus
was reached by the Board of Directors. It was decided to rename the
Public Information Committee to the Information Systems Committee.
• Board of Directors issues
Director Armstrong wants to be sure all items appearing in the Agenda
have gone before a committee. Assistant General Manager Vecchiarelli
asked for clarification. Did Director Armstrong want Consent Calendar
Items to be presented to a committee before going to the Board? Director
Armstrong wanted Discussion and Action Items to go to a committee and
wanted a committee member to make the motion to approve the item.
Director Mills commented it a matter for the General Manager to decide,
and it is a matter of timing.
President Collett asked about emailing agendas to the Board members.
General Manager Payne said staff will develop a method to have the
entire agenda made available to the general public and a complete
agenda with reports will be sent electronically. If Agenda packets are
delivered by hand, a phone call will be made to the Director before
delivery.
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Director Armstrong asked about the procedure for visitors to speak during
a board meeting and about the procedure for Directors to recuse
themselves from discussion and voting on an item. General Manager
Payne stated the rules will be reviewed and brought back to the Executive
Committee.
Director Mills questioned staff about the District investigation of drilling a
well near the Santa Ana River? Assistant General Manager Vecchiarelli
stated this will come back to the Board in April.
3. Other Issues
• Appraisal of Plumosa Office.
Since the contract had been let on the new Administration, staff will begin
the appraisal process for the Plumosa Office in July.
• Water Conservation Rebates
General Manager Payne asked if this Board wants to look into rebates for
those who put in water conserving projects in their home, e.g. artificial turf.
Director Armstrong said to leave it to regional capabilities. Director Mills
felt MWDOC should do it. President Collett said the District should tag on
to someone else's project. Vice President Summerfield said this would be
too much for the District right now. Director Beverage wants to offer
rebates for artificial turf.
• Grant programs
General Manager Payne asked if the Board was happy with the progress
of the grant program and whether it should changed. Vice President
Summerfield asked that it be considered whether the District was wasting
time and money, because there are so many projects and only so much
funding. Director Armstrong said it should be made into a 3-4 year plan.
President Collett said to give it another budget cycle. Director Mills said it
is too early to cut it off, but the District needs to set a limit. Director
Beverage said the process takes time.
• Other Issues
There were no additional issues the Board members wanted to consider.
ADJOURNMENT
On a motion by Director Beverage, seconded by Vice President Summerfield, the Board
of Directors voted to adjourn at 11:00 a.m. to a regular meeting of the Board of Directors
scheduled for Thursday, March 22, 2007, at 8:30 a.m., at 4622 Plumosa Drive, Yorba
Linda 92886.
Kenneth R. Vecchiarelli
Assistant Secretary
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To: Board of Directors
Mike Payne, General Manager
Yorba Linda Water District
From: Christopher Townsend, President
Sean Fitzgerald, Southern California Director
Heather Dion, Senior Associate
Date: February 14, 2008
Subject: 2008 Action Plan
FY 09 Federal Appropriations
Summary: The FY 09 federal budget cycle kicks off this month with appropriations
deadlines approaching for both House and Senate members. YLWD has requested
federal funding in each of the past two years to help complete the Highland Reservoir
expansion, but has thus far not been successful. In advance of this year's deadline,
TPA engaged actively with Congressman Miller and his staff to determine the potential
success and political backing of the request in the coming year. We are pleased to
report that this outreach, which included the able assistance of MWDOC Director Brett
Barbre, has been successful in securing the Congressman's pledge to ensure that the
request is funded in the coming budget year. Mr. Miller understands the need for this
project and is cognizant of our two years worth of work to seek federal assistance.
TPA is recommending one important change to this year's request, which is that the
request will be made through a new funding source that was recently created through
the re-authorization of the Water Resources Development Act (WRDA). Within the
authorized legislation, Senator Boxer was successful in advocating for $40 million solely
for the State of California for projects in the form of design and construction for projects
related to wastewater treatment, water supply, environmental restoration, and surface
water resource protection and development (H.R. 1495, Sect. 5039). The guidelines for
these funds have not been established by the Corps of Engineers (COE), which is the
administering agency, and will be appropriated through the normal federal
appropriations request cycle with the COE acting as pass through agency. This type of
discretionary COE funding system has been established in Nevada and the L.A. office
of the COE believes California will utilize a similar model. The funding can be
distributed either through grants or reimbursement of funding expended.
Action Items (Timeline/Status):
• Submit appropriations request forms to Congressman Gary Miller's office in
advance of February 15th deadline (Complete)
• Submit appropriations request forms to Senators Boxer and Feinstein in advance
of their February 29th deadline (Prior to Feb. 29)
• Conduct meetings with the offices of Congressman Miller and Senators Boxer
and Feinstein in coordination with ACWA DC Conference (late February)
• Gather renewed support letters from agencies and organizations that support the
project (March/April)
Proposition 50 CDPH Grants
Summary: YLWD submitted two pre-applications for the Prop. 50 Drinking Water
Program, and both are under review by the Department of Public Health (formerly
DHS). CDPH expects to publish its results for this initial review, known as the Project
Priority List, in early 2008. This announcement will trim the field of potential applicants
and invite only a certain segment to submit a full proposal. Should YLWD make this list,
it will stand a very good chance of funding through this program.
Action Items (Timeline/Status):
• Monitor CDPH release of Project Priority List (PPL). (Ongoing)
• Assess feedback from CDPH staff, either in preparation for submission of full
application or for re-submission as a pre-application in mid-2008. (Likely March)
• Provided YLWD makes the PPL, work directly with staff in preparation of full
application. (Summer 2008)
Synthetic Turf Replacement/Water Use Efficiency Funding
Summary: YLWD seeks to create recreation/open space opportunities from the
covering of its active reservoirs and, in particular, is interested in synthetic turf
installations that provide greater water efficiency, as well as greater capacity for active
recreational uses. TPA secured the state's first ever parks and recreation grant for
synthetic turf and remains engaged in the process to appropriate funds from Proposition
84 for such purposes. It is likely that park funding from Prop. 84 will finally be available
in 2008 and it would provide an excellent opportunity to secure funding for such
projects.
Action Items (Timeline/Status):
• Work with Asm. Mike Duvall to facilitate a visit to YLWD by Sedrick Mitchell,
Deputy Director of the state's Department of Parks & Recreation, who oversees
all funding programs for the department. (Ongoing)
• Monitor status of state budget relating to appropriation of Proposition 84 funds.
(Ongoing) Please note: Our January update included a review of the budget as
relates to Prop. 84.
• Monitor development of grant funding criteria and processes by CA Dept. of
Parks & Recreation (DPR). (Spring 2008)
• Actively assist YLWD staff in project definition and preparation of grant funding
application. (Summer 2008)
Recreational Trails Program (RTP)
Summary: In coordination with the effort to maximize its reservoir infrastructure for
community benefit, YLWD could seek funding through this program for the construction
of trails around the Highland Reservoir, or other suitable projects. RTP is funded by
federal transportation monies administered by the Dept. of Parks & Recreation. Grant
cycles begin every October, with announcements made about 90 days thereafter. This
program would provide an excellent partnership opportunity with the City of Yorba Linda
(and potentially other municipalities) particularly in connecting with other existing trail
systems.
Action Items:
• TPA to work with YLWD staff to determine best possible projects in relation to
the RTP guidelines (February-March)
• If applicable, TPA to work with YLWD to establish partnership with City of Yorba
Linda (March)
• TPA to assist with grant preparation and submission (Fall 2008)
Upcoming Potential Funding Programs:
The following programs have not yet been released, nor has an appropriate YLWD
project yet been identified. When the criteria for these programs are released, however,
they may provide additional opportunities for project funding in 2008. In particular,
these opportunities could relate to the Elk Mountain project, other YLWD reservoirs, and
the groundwater basin. The State Revolving Loan Fund can be used for nearly any of
the District's projects and represents an excellent source of low-interest financing.
Urban Streams Restoration Grants
Summary: This program is intended to reduce urban flooding/erosion, restore
environmental value, and promote community stewardship of urban streams.
Funds Available (Max/Min): $18 million (Max = $1 million per project)
Eligible applicants: Current criteria not yet available, past recipients include public
agencies and non-profits.
Timeline: DWR expects to release a proposal solicitation notice for the program in early
2008.
Prevention or Reduction of Contamination of Groundwater that Serves as a
Source of Drinkinci Water (CDPH)
Summary: This funding is available for both loans and grants to reduce or prevent
contamination of groundwater that serves as a drinking water source. CDPH will
require repayment for costs that are recovered from parties responsible for the
contamination.
Funds Available (Max/Min): $60 million (Max = $5 million per project)
Eligible applicants: Community water systems that hold or have applied for a domestic
water permit pursuant to Health and Safety Code section 116525, public agencies and
non-profit organizations.
Timeline: The upcoming pre-application period (pre-applications are required in order
to be invited back to submit a full application) is yet to be announced, but is expected to
occur in July 2008.
Emergency Clean Water Grant Program (CDPH)
Summary: This funding is available for grants and direct expenditures to fund
emergency and urgent actions to ensure safe drinking water. Projects can include, but
are not limited to:
• Alternative water supplies including bottled water;
• Improvements in existing water systems necessary to prevent contamination;
• Establishing connections to adjacent water systems
• Design, purchase, installation and initial operation for water treatment
equipment and systems.
Funds Available (Max/Min): $10 million (Max = $250,000 per project)
Eligible applicants: Requests for funds must come from a public water system, the
local Health Officer, or the local Director of Environmental Health.
Timeline: This program falls under CDPH's pre-application guideline process. The next
pre-application period is anticipated in July 2008.
State Revolving Fund Loan Program (SWRCB)
Summary: The program provides low-interest funding for construction of publicly owned
wastewater treatment facilities, local sewers, sewer interceptors, water reclamation
facilities, as well as expanded use projects such as implementation of non-point source
projects or programs, development and implementation of estuary conservation and
management plans, and storm water treatment.
Funds Available (Max/Min): Approximately $200-$300 million available annually
Eligible applicants: Public water systems.
Timeline: Applications are accepted on a continuous basis
Barry S. Brokaw Sacramento Advocates, Inc.
Donne Brownsey A California based Public Affairs and Governmental Relations Firm
James D. Stassi
1215 K Street, Suite 2030 - Sacramento, CA 95814
Daniel E. Boatwright Phone (916) 448-1222 ■ Fax (916) 448-1121
General Counsel
MEMORANDUM
To: Board of Directors, YLWD
From: Barry Brokaw
Re: State Capitol Update
Date: February 7, 2008
Overview
Life at the State Capitol took on a "Mr. Toad's Wild Ride" aspect with the rejection of
Proposition 93 by the voters. Already swirling in a $14.5 billion budget deficit mess, and facing
the options of major cutbacks in state programs and services, and/or tax and fee increases, we
now heap on major intra-party fights for leadership positions in the Assembly and Senate. And of
course, we have an election year, with 34 termed out legislators searching for other offices to run
for. This year looks to be a wild ride to nowhere.
Bill Introduction Season
Even though legislators have been urged to rein in their legislative proposals in 2008, especially
those that would require new state funding (either directly or through state mandated local
programs), the lawmakers have through February 22, 2008 to introduce general legislation (non-
urgency items). Bills are starting to trickle out of the Legislative Counsel's Office. Sacramento
Advocates, Inc. will keep the board apprised of any legislation that may have an impact on the
district.
Left over measures from 2007 are still working their way through the two-year session, and many
of those bear little resemblance to their original subject matter. We are watching those bills as
well. One such measure is AB 642-A design-build, public/private partnership bill that could
impact water districts (copy attached).
AB 642 (Wolk) Design-build: counties, cities, and
special districts. (A-01/24/2008)
Summary:
Existing law, until January 1, 2011, authorizes certain cities, with the approval of the appropriate
city council, to enter into design-build contracts, as defined, in accordance with specified
provisions. This bill would authorize any city, with the approval of the appropriate city council,
to enter into design-build contracts, as defined, in accordance with specified provisions. The bill
also would extend these provisions until January 1, 2019. This bill contains other related
provisions and other existing laws.
Note: This bill would authorize a qualified entity that operates a wastewater facility, solid waste
management facility, or water recycling facility, with the approval of the appropriate governing
body, to enter into design-build contracts.
Status: 01/29/2008-Read third time, passed, and to Senate.
Water Bond Discussions Pick Up
A coalition of business and development interests is working with the Governor and U.S. Senator
Diane Feinstein on draft bond language in hopes the Senator will join the Governor as a Co-
Chairman of an initiative to place what would now be a $10.885 billion water bond on the
November 2008 ballot. A copy of latest draft proposal in attached, along with a comparison with
the plan by state Senate President Pro Tempore Don Perata, which has support from many in the
environmental community. Also included was the previously offered Chamber of Commerce-
backed proposal. My latest information is that Senator Feinstein is reluctant to jump on board at
this time, with environmentalists still strongly opposed to above-ground storage.
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AMENDED IN ASSEMBLY JANUARY 24, 2008
AMENDED IN ASSEMBLY JANUARY 10, 2008
AMENDED IN ASSEMBLY SEPTEMBER 5, 2007
CALIFORNIA LEGISLATURE-2007-08 REGULAR SESSION
ASSEMBLY BILL No. 642
Introduced by Assembly Member Wolk
(Coauthor: Assembly Member Soto)
February 21, 2007
An act to amend Section 20175.2 of, and to add and repeal Article
5.5 (commencing with Section 20193) of Chapter 1 of Part 3 of Division
2 of, the Public Contract Code, relating to public contracts.
LEGISLATIVE COUNSEL'S DIGEST
AB 642, as amended, Wolk. Design-build: counties, cities, and special
districts.
(1) Existing law, until January 1, 2011, authorizes certain cities, with
the approval of the appropriate city council, to enter into design-build
contracts, as defined, in accordance with specified provisions.
This bill would authorize any city, with the approval of the appropriate
city council, to enter into design-build contracts, as defined, in
accordance with specified provisions. The bill also would extend these
provisions until January 1, 2019.
(2) Existing law requires public entities to comply with certain
procedures in soliciting and evaluating bids and awarding contracts for
the erection, construction, alteration, repair, or improvement of any
public structure, building, road, or other public improvement.
This bill would authorize a qualified entity, as defined, that operates
a wastewater facility, solid waste management facility, or water
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recycling facility, with the approval of the appropriate governing body,
to enter into design-build contracts, as defined, in accordance with
specified provisions. The bill also would repeal these provisions on
January 1, 2020.
(3) This bill would require specified information to be verified under
oath, thus imposing a state-mandated local program by expanding the
scope of an existing crime.
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.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
The people of the State of California do enact as follows:
1 SECTION 1. Section 20175.2 of the Public Contract Code is
2 amended to read:
3 20175.2. (a) (1) A city, with approval of the appropriate city
4 council, may utilize an alternative procedure for bidding on
5 building construction projects.
6 (2) Cities may award the project using either the lowest
7 responsible bidder or by best value.
8 (b) (1) It is the intent of the Legislature to enable cities to utilize
9 cost-effective options for building and modernizing public
10 facilities. The Legislature also recognizes the national trend,
11 including authorization in California, to allow public entities to
12 utilize design-build contracts as a project delivery method. It is
13 not the intent of the Legislature to authorize this procedure for
14 transportation facilities, including, but not limited to, roads and
15 bridges.
16 (2) The Legislature also finds and declares that utilizing a
17 design-build contract requires a clear understanding of the roles
18 and responsibilities of each participant in the design-build process.
19 The Legislature also finds that the cost-effective benefits to cities
20 are achieved by shifting the liability and risk for cost containment
21 and project completion to the design-build entity.
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(3) It is the intent of the Legislature to provide an alternative
and optional procedure for bidding and building construction
projects for cities.
(4) The design-build approach may be used, but is not limited
to use, when it is anticipated that it will: reduce project cost,
expedite project completion, or provide design features not
achievable through the design-bid-build method.
(5) If a city council elects to proceed under this section, the city
council shall establish and enforce, for design-build projects, a
labor compliance program containing the requirements outlined
in Section 1771.5 of the Labor Code, or it shall contract with a
third party to operate a labor compliance program containing the
requirements outlined in Section 1771.5 of the Labor Code. This
requirement shall not apply to any project where the city or the
design-build entity has entered into any collective bargaining
agreement or agreements that bind all of the contractors performing
work on the projects.
(c) As used in this section:
(1) "Best value" means a value determined by objectives relative
to price, features, functions, and life-cycle costs.
(2) "Design-build" means a procurement process in which both
the design and construction of a project are procured from a single
entity.
(3) "Design-build entity" means a partnership, corporation, or
other legal entity that is able to provide appropriately licensed
contracting, architectural, and engineering services, as needed,
pursuant to a design-build contract.
(4) "Project" means the construction of a building and
improvements directly related to the construction of a building,
but does not include streets and highways, public rail transit, or
water resource facilities and infrastructure.
(d) Design-build projects shall progress in a four-step process,
as follows:
(1) (A) The city shall prepare a set of documents setting forth
the scope of the project. The documents may include, but are not
limited to, the size, type, and desired design character of the
buildings and site, perfonnance specifications covering the quality
of materials, equipment, and workmanship, preliminary plans or
building layouts, or any other infonnation deemed necessary to
describe adequately the city's needs. The performance
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specifications and any plans shall be prepared by a design
professional who is duly licensed and registered in California.
(B) Any architect or engineer retained by the city to assist in
the development of the project-specific documents shall not be
eligible to participate in the preparation of a bid with any
design-build entity for that project.
(2) (A) Based on the documents prepared in paragraph (1), the
city shall prepare a request for proposals that invites interested
parties to submit competitive sealed proposals in the manner
prescribed by the city. The request for proposals shall include, but
is not limited to, the following elements:
(i) Identification of the basic scope and needs of the project or
contract, the expected cost range, and other information deemed
necessary by the city to inform interested parties of the contracting
opportunity, to include the methodology that will be used by the
city to evaluate proposals, and specifically if the contract will be
awarded to the lowest responsible bidder.
(ii) Significant factors which the city reasonably expects to
consider in evaluating proposals, including cost or price and all
nonprice related factors.
(iii) The relative importance of weight assigned to each of the
factors identified in the request for proposals.
(B) With respect to clause (iii) of subparagraph (A), if a
nonweighted system is used, the agency shall specifically disclose
whether all evaluation factors, other than cost or price, when
combined are:
(i) Significantly more important than cost or price.
(ii) Approximately equal in importance to cost or price.
(iii) Significantly less important than cost or price.
(C) If the city chooses to reserve the right to hold discussions
or negotiations with responsive bidders, it shall so specify in the
request for proposal and shall publish separately, or incorporate
into the request for proposal, applicable rules and procedures to
be observed by the city to ensure that any discussions or
negotiations are conducted in good faith.
(3) (A) The city shall establish a procedure to prequalify
design-build entities using a standard questionnaire developed by
the city. In preparing the questionnaire, the city shall consult with
the construction industry, including representatives of the building
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1 trades and surety industry. This questionnaire shall require
2 information including, but not limited to, all of the following:
3 (i) if the design-build entity is a partnership, limited partnership,
4 or other association, a listing of all of the partners, general partners,
5 or association members known at the time of bid submission who
6 will participate in the design-build contract, including, but not
7 limited to, mechanical subcontractors.
8 (ii) Evidence that the members of the design-build entity have
9 completed, or demonstrated the experience, competency, capability,
10 and capacity to complete projects of similar size, scope, or
I1 complexity, and that proposed key personnel have sufficient
12 experience and training to competently manage and complete the
13 design and construction of the project, as well as a financial
14 statement that assures the city that the design-build entity has the
15 capacity to complete the project.
16 (iii) The licenses, registration, and credentials required to design
17 and construct the project, including information on the revocation
18 or suspension of any license, credential, or registration.
19 (iv) Evidence that establishes that the design-build entity has
20 the capacity to obtain all required payment and performance
21 bonding, liability insurance, and errors and omissions insurance.
22 (v) Any prior serious or willful violation of the California
23 Occupational Safety and Health Act of 1973, contained in Part 1
24 (commencing with Section 6300) of Division 5 of the Labor Code
25 or the federal Occupational Safety and Health Act of 1970 (Public
26 Law 91-596) settled against any member of the design-build entity,
27 and information concerning workers' compensation experience
28 history and worker safety program.
29 (vi) Information concerning any debarment, disqualification,
30 or removal from a federal, state, or local government public works
31 project. Any instance where an entity, its owners, officers, or
32 managing employees submitted a bid on a public works project
33 and were found to be nonresponsive, or were found by an awarding
34 body not to be a responsible bidder.
35 (vii) Any instance where the entity, its owners, officers, or
36 managing employees defaulted on a construction contract.
37 (viii) Any violations of the Contractors' State License Law
38 (Chapter 9 (commencing with Section 7000) of Division 3 of the
39 Business and Professions Code), excluding alleged violations of
40 federal or state law including the payment of wages, benefits,
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apprenticeship requirements, or personal income tax withholding,
or of Federal Insurance Contribution Act (FICA) withholding
requirements settled against any member of the design-build entity.
(ix) Information concerning the bankruptcy or receivership of
any member of the design-build entity, including information
concerning any work completed by a surety.
(x) Information concerning all settled adverse claims, disputes,
or lawsuits between the owner of a public works project and any
member of the design-build entity during the five years preceding
submission of a bid pursuant to this section, in which the claim,
settlement, or judgment exceeds fifty thousand dollars ($50,000).
Information shall also be provided concerning any work completed
by a surety during this period.
(xi) In the case of a partnership or other association that is not
a legal entity, a copy of the agreement creating the partnership or
association and specifying that all partners or association members
agree to be fully liable for the performance under the design-build
contract.
(B) The information required pursuant to this subdivision shall
be verified under oath by the entity and its members in the manner
in which civil pleadings in civil actions are verified. Information
that is not a public record pursuant to the California Public Records
Act (Chapter 3.5 (commencing with Section 6250) of Division 7
of Title 1 of the Government Code) shall not be open to public
inspection.
(4) The city shall establish a procedure for final selection of the
design-build entity. Selection shall be based on either of the
following criteria:
(A) A competitive bidding process resulting in lump-sum bids
by the prequalified design-build entities. Awards shall be made to
the lowest responsible bidder.
(B) The city may use a design-build competition based upon
best value and other criteria set forth in paragraph (2) of
subdivision (d). The design-build competition shall include the
following elements:
(i) Competitive proposals shall be evaluated by using only the
criteria and selection procedures specifically identified in the
request for proposal. However, the following minimum factors
shall each represent at least 10 percent of the total weight of
consideration given to all criteria factors: price, technical design
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and construction expertise, life-cycle costs over 15 years or more,
skilled labor force availability, and acceptable safety record. Each
of these factors shall be weighted equally.
(ii) Once the evaluation is complete, the top three responsive
bidders shall be ranked sequentially from the most advantageous
to the least.
(iii) The award of the contract shall be made to the responsible
bidder whose proposal is determined, in writing, to be the most
advantageous.
(iv) Notwithstanding any provision of this code, upon issuance
of a contract award, the city shall publicly announce its award,
identifying the contractor to whom the award is made, along with
a written decision supporting its contract award and stating the
basis of the award. The notice of award shall also include the city's
second and third ranked design-build entities.
(v) For the purposes of this paragraph, "skilled labor force
availability" shall be determined by the existence of an agreement
with a registered apprenticeship program, approved by the
California Apprenticeship Council, which has graduated
apprentices in each of the preceding five years. This graduation
requirement shall not apply to programs providing apprenticeship
training for any craft that has been deemed by the Department of
Labor and the Department of Industrial Relations to be an
apprenticeable craft in the five years prior to enactment of this act.
(vi) For the purposes of this paragraph, a bidder's "safety
record" shall be deemed "acceptable" if their experience
modification rate for the most recent three-year period is an average
of 1.00 or less, and their average total recordable injury/illness
rate and average lost work rate for the most recent three-year period
does not exceed the applicable statistical standards for its business
category, or if the bidder is a party to an alternative dispute
resolution system, as provided for in Section 3201.5 of the Labor
Code.
(e) (1) Any design-build entity that is selected to design and
build a project pursuant to this section shall possess or obtain
sufficient bonding to cover the contract amount for nondesign
services and errors and omissions insurance coverage sufficient
to cover all design and architectural services provided in the
contract. This section does not prohibit a general or engineering
contractor from being designated the lead entity on a design-build
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entity for the purposes of purchasing necessary bonding to cover
the activities of the design-build entity.
(2) Any payment or performance bond written for the purposes
of this section shall be written using a bond form developed by
the city.
(f) All subcontractors that were not listed by the design-build
entity in accordance with clause (i) of subparagraph (A) of
paragraph (3) of subdivision (d) shall be awarded by the
design-build entity in accordance with the design-build process
set forth by the city in the design-build package. All subcontractors
bidding on contracts pursuant to this section shall be afforded the
protections contained in Chapter 4 (commencing with Section
4100) of Part 1. The design-build entity shall do both of the
following:
(1) Provide public notice of the availability of work to be
subcontracted in accordance with the publication requirements
applicable to the competitive bidding process of the city.
(2) Provide a fixed date and time on which the subcontracted
work will be awarded in accordance with the procedure established
pursuant to this section.
(g) The minimum performance criteria and design standards
established pursuant to paragraph (1) of subdivision (d) shall be
adhered to by the design-build entity. Any deviations from those
standards may only be allowed by written consent of the city.
(h) The city may retain the services of a design professional or
construction project manager, or both, throughout the course of
the project in order to ensure compliance with this section.
(i) Contracts awarded pursuant to this section shall be valid until
the project is completed.
0) Nothing in this section is intended to affect, expand, alter,
or limit any rights or remedies otherwise available at law.
(k) (1) If the city elects to award a project pursuant to this
section, retention proceeds withheld by the city from the
design-build entity shall not exceed 5 percent if a performance and
payment bond, issued by an admitted surety insurer, is required in
the solicitation of bids.
(2) In a contract between the design-build entity and the
subcontractor, and in a contract between a subcontractor and any
subcontractor thereunder, the percentage of the retention proceeds
withheld may not exceed the percentage specified in the contract
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1 between the city and the design-build entity. If the design-build
2 entity provides written notice to any subcontractor who is not a
3 member of the design-build entity, prior to or at the time the bid
4 is requested, that a bond may be required and the subcontractor
5 subsequently is unable or refuses to furnish a bond to the
6 design-build entity, then the design-build entity may withhold
7 retention proceeds in excess of the percentage specified in the
8 contract between the city and the design-build entity from any
9 payment made by the design-build entity to the subcontractor.
10 (0 Each city that elects to proceed under this section and uses
1 I the design-build method on a public works project shall submit to
12 the Legislative Analyst's Office before December 1, 2014, a report
13 containing a description of each public works project procured
14 through the design-build process that is completed after January
15 1, 2011, and before November 1, 2014. The report shall include,
16 but shall not be limited to, all of the following information:
17 (1) The type of project.
18 (2) The gross square footage of the project.
19 (3) The design-build entity that was awarded the project.
20 (4) The estimated and actual project costs.
21 (5) A description of any written protests concerning any aspect
22 of the solicitation, bid, proposal, or award of the design-build
23 project, including the resolution of the protests.
24 (6) An assessment of the prequalifi cation process and criteria.
25 (7) An assessment of the effect of retaining 5 percent retention
26 on the project.
27 (8) A description of the Labor Force Compliance Program and
28 an assessment of the project impact, where required.
29 (9) A description of the method used to award the contract. If
30 the best value method was used, the report shall describe the factors
31 used to evaluate the bid, including the weighting of each factor
32 and an assessment of the effectiveness of the methodology.
33 (10) An assessment of the project impact of "skilled labor force
34 availability."
35 (11) An assessment of the most appropriate uses for the
36 design-build approach.
37 (m) Any city that elects not to use the authority granted by this
38 section may submit a report to the Legislative Analyst's Office
39 explaining why the city elected not to use the design-build method.
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(n) On or before January 1, 2014 2015, the Legislative Analyst's
Office shall report to the Legislature on the use of the design-build
method by cities pursuant to this section, including the information
listed in subdivision (n. The report may include recommendations
for modifying or extending this section.
(o) Except as provided in this section, nothing in this act shall
be construed to affect the application of any other law.
(p) This section shall remain in effect only until January 1, 2019,
and as of that date is repealed, unless a later enacted statute, that
is enacted before January 1, 2019, deletes or extends that date.
SEC. 2. Article 5.5 (commencing with Section 20193) is added
to Chapter 1 of Part 3 of Division 2 of the Public Contract Code,
to read:
Article 5.5. Waste and Recycling Facilities
20193. (a) (1) Notwithstanding any other provision of law
and subject to the limitations of this article, a qualified entity, with
approval of its governing body, may utilize an alternative procedure
on bidding on projects in excess of two million five hundred
thousand dollars ($2,500,000).
(2) Only 20 design-build projects shall be authorized under this
article.
(3) A qualified entity may award a project using either the lowest
responsible bidder or by best value.
(4) For purposes of this article, "qualified entity" means an
entity that meets both of the following:
(A) The entity is any of the following:
(i) A city.
(ii) A county.
(iii) A special district as defined in subdivision (d) of Section
16271 of the Government Code.
(B) The entity operates wastewater facilities, solid waste
management facilities, or water recycling facilities.
(b) If a qualified entity elects to proceed under this section, the
qualified entity shall establish and enforce for design-build projects
a labor compliance program containing the requirements outlined
in Section 1771.5 of the Labor Code, or it shall contract with a
third party to operate a labor compliance program containing the
requirements outlined in Section 1771.5 of the Labor Code. This
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requirement shall not apply to any project where the qualified
entity or the design-build entity has entered into any collective
bargaining agreement or agreements that bind all of the contractors
performing work on the projects.
(c) As used in this section:
(1) "Best value" means a value determined by objective criteria
related to price, features, functions, small business contracting
plans, past performance, and life-cycle costs.
(2) "Design-build" means a procurement process in which both
the design and construction of a project are procured from a single
entity.
(3) "Design-build entity" means a partnership, corporation, or
other legal entity that is able to provide appropriately licensed
contracting, architectural, and engineering services as needed
pursuant to a design-build contract.
(4) "Project" means the construction of local wastewater
treatment facilities, local solid waste facilities, or local water
recycling facilities.
(d) Design-build projects shall progress in a four-step process,
as follows:
(1) (A) The qualified entity shall prepare a set of documents
setting forth the scope of the project. The documents may include,
but are not limited to, the size, type, and desired design character
of the project and site, performance specifications covering the
quality of materials, equipment, and workmanship, preliminary
plans or project layouts, or any other information deemed necessary
to describe adequately the qualified entity's needs. The
performance specifications and any plans shall be prepared by a
design professional who is duly licensed and registered in
California.
(B) Any architect or engineer retained by the qualified entity
to assist in the development of the project specific documents shall
not be eligible to participate in the preparation of a bid with any
design-build entity for that project.
(2) (A) Based on the documents prepared in paragraph (1), the
qualified entity shall prepare a request for proposals that invites
interested parties to submit competitive sealed proposals in the
manner prescribed by the qualified entity. The request for proposals
shall include, but is not limited to, the following elements:
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(i) Identification of the basic scope and needs of the project or
contract, the expected cost range, and other information deemed
necessary by the qualified entity to inform interested parties of the
contracting opportunity, to include the methodology that will be
used by the qualified entity to evaluate proposals and specifically
if the contract will be awarded to the lowest responsible bidder.
(ii) Significant factors that the qualified entity reasonably
expects to consider in evaluating proposals, including cost or price
and all nonprice related factors.
(iii) The relative importance of weight assigned to each of the
factors identified in the request for proposals.
(B) With respect to clause (iii) of subparagraph (A), if a
nonweighted system is used, the qualified entity shall specifically
disclose whether all evaluation factors other than cost or price
when combined are:
(i) Significantly more important than cost or price.
(ii) Approximately equal in importance to cost or price.
(iii) Significantly less important than cost or price.
(C) If the qualified entity chooses to reserve the right to hold
discussions or negotiations with responsive bidders, it shall so
specify in the request for proposal and shall publish separately or
incorporate into the request for proposal applicable rules and
procedures to be observed by the qualified entity to ensure that
any discussions or negotiations are conducted in good faith.
(3) (A) The qualified entity shall establish a procedure to
prequalify design-build entities using a standard questionnaire
developed by the qualified entity. In preparing the questionnaire,
the qualified entity shall consult with the construction industry,
including representatives of the building trades and surety industry.
This questionnaire shall require information including, but not
limited to, all of the following:
(i) If the design-build entity is a partnership, limited partnership,
or other association, a listing of all of the partners, general partners,
or association members known at the time of bid submission who
will participate in the design-build contract, including, but not
limited to, mechanical subcontractors.
(ii) Evidence that the members of the design-build entity have
completed, or demonstrated the experience, competency, capability,
and capacity to complete projects of similar size, scope, or
complexity, and that proposed key personnel have sufficient
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experience and training to competently manage and complete the
design and construction of the project, as well as a financial
statement that assures the special district that the design-build
entity has the capacity to complete the project.
(iii) The licenses, registration, and credentials required to design
and construct the project, including information on the revocation
or suspension of any license, credential, or registration.
(iv) Evidence that establishes that the design-build entity has
the capacity to obtain all required payment and performance
bonding, liability insurance, and errors and omissions insurance.
(v) Any prior serious or willful violation of the California
Occupational Safety and Health Act of 1973, contained in Part 1
(commencing with Section 6300) of Division 5 of the Labor Code
or the federal Occupational Safety and Health Act of 1970 (Public
Law 91-596), settled against any member of the design-build entity,
and information concerning workers' compensation experience
history and worker safety program.
(vi) Information concerning any debarment, disqualification,
or removal from a federal, state, or local government public works
project. Any instance where an entity, its owners, officers, or
managing employees submitted a bid on a public works project
and were found to be nonresponsive, or were found by an awarding
body not to be a responsible bidder.
(vii) Any instance where the entity, its owner, officers, or
managing employees defaulted on a construction contract.
(viii) Any violations of the Contractors' State License Law
(Chapter 9 (commencing with Section 7000) of Division 3 of the
Business and Professions Code), excluding alleged violations of
federal or state law including the payment of wages, benefits,
apprenticeship requirements, or personal income tax withholding,
or of Federal Insurance Contribution Act (FICA) withholding
requirements settled against any member of the design-build entity.
(ix) Information concerning the bankruptcy or receivership of
any member of the design-build entity, including information
concerning any work completed by a surety.
(x) Information concerning all settled adverse claims, disputes,
or lawsuits between the owner of a public works project and any
member of the design-build entity during the five years preceding
submission of a bid pursuant to this section, in which the claim,
settlement, or judgment exceeds fifty thousand dollars ($50,000).
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Information shall also be provided concerning any work completed
by a surety during this period.
(xi) In the case of a partnership or other association, that is not
a legal entity, a copy of the agreement creating the partnership or
association and specifying that all partners or association members
agree to be fully liable for the performance under the design-build
contract.
(B) The information required pursuant to this subdivision shall
be verified under oath by the entity and its members in the manner
in which civil pleadings in civil actions are verified. Infonnation
that is not a public record pursuant to the California Public Records
Act (Chapter 3.5 (cominencing with Section 6250) of Division 7
Title 1 of the Government Code) shall not be open to public
inspection.
(4) The qualified entity shall establish a procedure for final
selection of the design-build entity. Selection shall be based on
either of the following criteria:
(A) A competitive bidding process resulting in lump sum bids
by the prequalified design-build entities. Awards shall be made to
the lowest responsible bidder.
(B) A qualified entity may use a design-build competition based
upon best value and other criteria set forth in paragraph (2) of
subdivision (d). The design-build competition shall include the
following elements:
(i) Competitive proposals shall be evaluated by using only the
criteria and selection procedures specifically identified in the
request for proposal. However, the following minimum factors
shall each represent at least 10 percent of the total weight of
consideration given to all criteria factors; price, technical design
and construction expertise, life-cycle costs over 15 years or more,
skilled labor force availability, and acceptable safety record.
(ii) Once the evaluation is complete, the top three responsive
bidders shall be ranked sequentially from the most advantageous
to the least.
(iii) The award of the contract shall be made to the responsible
bidder whose proposal is determined, in writing, to be the most
advantageous.
(iv) Notwithstanding any provision of this code, upon issuance
of a contract award, the qualified entity shall publicly announce
its award, identifying the contractor to which the award is made,
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along with a written decision supporting its contract award and
stating the basis of the award. The notice of award shall also
include the qualified entity's second and third ranked design-build
entities.
(v) For the purposes of this paragraph, "skilled labor force
availability" shall be determined by the existence of an agreement
with a registered apprenticeship program, approved by the
California Apprenticeship Council, which has graduated
apprentices in each of the preceding five years. This graduation
requirement shall not apply to programs providing apprenticeship
training for any craft that has been deemed by the Department of
Labor and the Department of Industrial Relations to be an
apprenticeable craft in the five years prior to enactment of this act.
(vi) For the purposes of this paragraph, a bidder's "safety
record" shall be deemed "acceptable" if their experience
modification rate for the most recent three-year period is an average
of 1.00 or less, and their average total recordable injury/illness
rate and average lost work rate for the most recent three-year period
does not exceed the applicable statistical standards for its business
category, or if the bidder is a party to an alternative dispute
resolution system as provided for in Section 3201.5 of the Labor
Code.
(e) (1) Any design-build entity that is selected to design and
build a project pursuant to this section shall possess or obtain
sufficient bonding to cover the contract amount for nondesign
services, and errors and omission insurance coverage sufficient to
cover all design and architectural services provided in the contract.
This section does not prohibit a general or engineering contractor
from being designated the lead entity on a design-build entity for
the purposes of purchasing necessary bonding to cover the activities
of the design-build entity.
(2) Any payment or performance bond written for the purposes
of this section shall be written using a bond form developed by
the qualified entity.
(f) All subcontractors that were not listed by the design-build
entity in accordance with clause (i) of subparagraph (A) of
paragraph (3) of subdivision (d) shall be awarded by the
design-build entity in accordance with the design-build process
set forth by the qualified entity in the design-build package. All
subcontractors bidding on contracts pursuant to this section shall
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1 be afforded the protections contained in Chapter 4 (commencing
2 with Section 4100) of Part 1. The design-build entity shall do both
3 of the following:
4 (1) Provide public notice of the availability of work to be
5 subcontracted in accordance with the publication requirements
6 applicable to the competitive bidding process of the qualified
7 entity.
8 (2) Provide a fixed date and time on which the subcontracted
9 work will be awarded in accordance with the procedure established
10 pursuant to this section.
11 (g) The minimum performance criteria and design standards
12 established pursuant to paragraph (1) of subdivision (d) shall be
13 adhered to by the design-build entity. Any deviations from those
14 standards may only be allowed by written consent of the qualified
15 entity.
16 (h) The qualified entity may retain the services of a design
17 professional or construction project manager, or both, throughout
18 the course of the project in order to ensure compliance with this
19 section.
20 (i) Contracts awarded pursuant to this section shall be valid until
21 the project is completed.
22 0) Nothing in this section is intended to affect, expand, alter,
23 or limit any rights or remedies otherwise available at law.
24 (k) (1) If the qualified entity elects to award a project pursuant
25 to this section, retention proceeds withheld by the qualified entity
26 from the design-build entity shall not exceed 5 percent if a
27 performance and payment bond, issued by an admitted surety
28 insurer, is required in the solicitation of bids.
29 (2) In a contract between the design-build entity and the
30 subcontractor, and in a contract between a subcontractor and any
31 subcontractor thereunder, the percentage of the retention proceeds
32 withheld may not exceed the percentage specified in the contract
33 between the qualified entity and the design-build entity. If the
34 design-build entity provides written notice to any subcontractor
35 who is not a member of the design-build entity, prior to or at the
36 time the bid is requested, that a bond may be required and the
37 subcontractor subsequently is unable or refuses to furnish a bond
38 to the design-build entity, then the design-build entity may withhold
39 retention proceeds in excess of the percentage specified in the
40 contract between the qualified entity and the design-build entity
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1 from any payment made by the design-build entity to the
2 subcontractor.
3 (l) Each qualified entity that elects to proceed under this section
4 and uses the design-build method on a public works project shall
5 do both of the following:
6 (1) Notify the Legislative Analyst's Office upon initiation of
7 the project and upon completion of the project.
8 (2) Submit to the Legislative Analyst's Office before December
9 1, 2012, a report containing a description of the public works
10 project procured through the design-build process pursuant to this
11 section and completed after January 1, 2009, and before November
12 1, 2012. The report shall include, but shall not be limited to, all of
13 the following information:
14 (A) The type of project.
15 (B) The gross square footage of the project.
16 (C) The design-build entity that was awarded the project.
17 (D) The estimated and actual project costs.
18 (E) A description of any written protests concerning any aspect
19 of the solicitation, bid, proposal, or award of the design-build
20 project, including the resolution of the protests.
21 (F) An assessment of the prequalification process and criteria.
22 (G) An assessment of the effect of retaining 5-percent retention
23 on the project.
24 (H) A description of the Labor Force Compliance Program and
25 an assessment of the project impact, where required.
26 (I) A description of the method used to award the contract. If
27 best value was the method, the report shall describe the factors
28 used to evaluate the bid, including the weighting of each factor
29 and an assessment of the effectiveness of the methodology.
30 (J) An assessment of the project impact of "skilled labor force
31 availability."
32 (K) An assessment of the most appropriate uses for the
33 design-build approach.
34 (m) Any qualified entity that elects not to use the authority
35 granted by this section may submit a report to the Legislative
36 Analyst's Office explaining why the qualified entity elected to not
37 use the design-build method.
38 (n) (1) Any quaked entity that wants to utilize a design-build
39 project authorized under this section must notify the Governor's
40 Office of Planning and Research of its intent by clearly stating on
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AB 642
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its California Environmental Quality Act compliance forms that
the qualified entity is seeking an election to proceed under this
section.
(2) The Office of Planning and Research shall keep track of the
number of applications submitted pursuant to this subdivision,
and shall notes any qualified entity with a prospective project
submitted after the limitation, specified in paragraph (2) of
subdivision (a), has been met that the quaked entity is not eligible
to proceed with the project pursuant to this section.
(3) Any qualified entity that elects not to use this authority
previously granted by this section shall notify the Office of
Planning and Research immediately so that the office can consider
additional applications to utilize a design-build project as
authorized by this section.
(n) The Legislative Analyst shall do both of the foil
(1) Notify the qualified entity with a prospeetive p
the litnitation speeified in paragraph (2) of subdivision (a) has been
met and that the qualified entity sliall not be eligible to proeeed
with the projeet pursuant to this artiele.
(2) Report to the Legislature oa the use of the design build
(o) The Legislative Analyst shall report to the Legislature on
the use of the design-build method by qualified entities pursuant
to this section, including the information listed in subdivision (I).
The report may include recommendations for modifying or
extending this section, and shall be submitted on either of the
following dates, whichever occurs first:
f1k)
(I) Within one year of the completion of the 20 projects, if the
projects are completed prior to January 1, 2019.
f~)
(2) No later than January 1, 2020.
20194. (a) No qualified entity shall enter into an agreement
with any state public entity to use the design-build procedure for
water projects.
(b) A qualified entity may use state funds for local water projects
utilizing the design-build procedure.
(c) Except as provided in this section, nothing in this act shall
be construed to affect the application of any other law.
20195. This article shall remain in effect until January 1, 2020,
or until the date upon which the Legislative Analyst has submitted
96
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1 the report required pursuant to this article to the Legislature,
2 whichever occurs first, and as of the date is repealed, unless a later
3 enacted statute, that is enacted before either of the dates specified
4 in this section, deletes or extends those dates.
5 SEC. 3. No reimbursement is required by this act pursuant to
6 Section 6 of Article XIII B of the California Constitution because
7 the only costs that may be incurred by a local agency or school
8 district will be incurred because this act creates a new crime or
9 infraction, eliminates a crime or infraction, or changes the penalty
10 for a crime or infraction, within the meaning of Section 17556 of
I 1 the Government Code, or changes the definition of a crime within
12 the meaning of Section 6 of Article XIII B of the California
13 Constitution.
O
96
SECTION 1. Division 26.7 (commencing with Section 79700) is
added to the Water Code, to read:
DIVISION 26.7. THE SAFE, CLEAN, RELIABLE DRINKING
WATER SUPPLY ACT OF 2008
CHAPTER 1. SHORT TITLE
79700. This division shall be known and may be cited as the
Safe, Clean, Reliable, Drinking Water Supply Act of 2008.
CHAPTER 2. FINDINGS AND DECLARATIONS
79701. The people of California find and declare all of the
following:
(a) Safeguarding supplies of clean, safe drinking water to
California's homes, businesses, and farms is an essential
responsibility of government, and critical to protecting the quality
of life for Californians.
(b) Providing adequate supplies of clean, safe drinking water is
vital to keeping California's economy growing and strong.
(c) Encouraging water conservation and recycling are common-sense
methods to make more efficient use of existing water supplies.
(d) Protecting lakes, rivers, and streams from pollution, cleaning
up polluted groundwater supplies, and protecting water sources that
supply the entire state are crucial to providing a
reliable supply of drinking water.
CHAPTER 3. DEFINITIONS
{ 00053417. DOC. } 1
79702. Unless the context otherwise requires, the definitions set
forth in this section govern the construction of this division, as
follows:
(a) "Bay Delta Conservation Plan" means the final plan
prepared pursuant to the Planning Agreement regarding the Bay Delta
Conservation Plan, dated October 6, 2006.
(b) "Bay-Delta Estuary" means the delta, Suisun Bay,
and Suisun Marsh.
(c) "CALFED Bay -Delta Program" means the program described in
the Record of Decision dated August 28, 2000.
(d) "Committee" means the Safe Drinking Water Finance Committee
created by Section 79782.
(e) "Commission" means the California Water Commission (Article 2
(commencing with Section 150) of Chapter 2 of Division 1).
(f) "Delta" means the Sacramento-San Joaquin Delta as
defined in Section 12220.
(g) "Delta conveyance facilities" means facilities that convey water
directly from the Sacramento River to the State Water Project or
federal Central Valley Project pumping facilities in the south delta.
(h) "Department" means the Department of Water
Resources.
(i) "Director" means the Director of Water Resources.
0) "Disadvantaged community" has the meaning set forth in
subdivision (a) of Section 79505.5.
(k) "Fund" means the Safe Drinking Water Fund of 2008 created by
Section 79720.
(1) "Integrated regional water management plan" means a
comprehensive plan for a defined geographic area, the specific
development and content of which shall be defined by guidelines
{ 00053417. DOC. } 2
adopted by the department. At a minimum, an integrated regional
water management plan describes the major water-related objectives
and conflicts within a region, considers a broad variety of water
management strategies, and identifies the appropriate combination of
water demand and supply management alternatives, water quality
protections, and environmental stewardship actions to provide
long-term, reliable, and high-quality water supplies and to protect
the environment.
(m) "Nonprofit organization" means an organization
qualified to do business in California and qualified under Section
501(c) (3) of Title 26 of the United States Internal Revenue Code.
(n) "Public agency" means a state agency or department,
district, joint powers authority, city, county, city and county, or
other political subdivision of the state.
(o) "Secretary" means the Secretary of the Resources
Agency.
(p) "State General Obligation Bond Law" means the State
General Obligation Bond Law (Chapter 4 (commencing with Section
16720) of Part 3 of Division 4 of Title 2 of the Government Code).
(q) "Economically distressed area" means a municipality with a
population of 20,000 persons or less, a rural county, or a reasonably
isolated and divisible segment of a larger municipality where the
segment of the population is 20,000 persons or less, with a financial
hardship, as determined by the department after considering such
factors as median income of the residents, rate of unemployment, and
low population density.
CHAPTER 4. GENERAL PROVISIONS
79710. An amount that equals not more than 5 percent of the funds
allocated for a grant program pursuant to this division may be used
{ 00053417. DOC. } 3
to pay the costs to administer that program.
79710.5. Up to 10 percent of funds allocated for each program
funded by this division may be used to finance planning and
monitoring necessary for the successful design, selection, and
implementation of the projects authorized under that program. This
section shall not otherwise restrict funds ordinarily used by an agency
for "preliminary plans, "working drawings," and "construction" as
defined in the annual Budget Act for a capital outlay project or grant
project. Water quality monitoring shall be integrated into the surface
water ambient monitoring program administered by the State Water
Resources Control Board.
79710.7. Funds made available pursuant to this division shall be
appropriated only in the Budget Act of the first year of each
Legislative Session.
79711. Chapter 3.5 (commencing with Section 11340) of Part 1 of
Division 3 of Title 2 of the Government Code does not apply to the
development or implementation of programs or projects authorized or
funded under this division.
79712. (a) Prior to disbursing grants pursuant to this division,
each state agency that is required to administer a competitive grant
program under this division shall develop project solicitation and
evaluation guidelines. The guidelines may include a limitation on the
dollar amount of grants to be awarded.
(b) Prior to disbursing grants, the state agency shall conduct three
public meetings to consider public comments prior to finalizing the
guidelines. The state agency shall publish the draft solicitation and
evaluation guidelines on its Internet Web site at least 30 days before
100053417.DOC. }4
the public meetings. One meeting shall be conducted at a location in
northern California, one meeting shall be conducted at a location in the
central valley, and one meeting shall be conducted at a location in
southern California. Upon adoption, the state agency shall transmit
copies of the guidelines to the fiscal committees and the appropriate
policy committees of the Legislature.
79713. It is the intent of the people that the investment of
public funds pursuant to this division should result in public
benefits.
79714. The State Auditor shall annually conduct a programmatic
review and an audit of expenditures from the fund. The State Auditor
shall report its findings annually on or before March 1 to the Governor
and the Legislature, and shall make the findings available to the
public.
79715. Funds provided by this division shall not be used to support
or pay for the costs of environmental mitigation measures or
compliance obligations of any party except as part of the
environmental mitigation costs of projects financed by this division.
Funds provided by this division may be used for environmental
enhancements or other public benefits.
79716. Funds provided by this division shall not be expended to pay
the costs of the design, construction, operation, or maintenance of
delta conveyance facilities. Those costs shall be the responsibility of
the agencies that benefit from the design, construction, operation, or
maintenance of those facilities.
{ 00053417. DOC. } 5
79717. Nothing in this division shall limit or otherwise affect the
application of Sections 10505, 10505.5, 11128, 11460, 11461, 11462,
11463 and Sections 12200 through 12220, inclusive.
79718. The Legislature may enact legislation necessary to implement
programs funded by this division.
CHAPTER 5. SAFE DRINKING WATER FUND OF 2008
79720. The proceeds of bonds issued and sold pursuant to this
division shall be deposited in the Safe Drinking Water Fund of 2008,
which is hereby created.
CHAPTER 6. WATER SUPPLY RELIABILITY
79721. The sum of two billion six hundred million dollars
($2,600,000,000) is available, upon appropriation by the Legislature,
from the fund to the department for competitive grants in accordance
with Section 79722.
79722. (a) Except as provided in subdivision (g), the department
shall award grants to eligible projects that implement an
adopted integrated regional water management plan.
(b) An urban water supplier that does not prepare, adopt, and
submit its urban water management plan in accordance with the Urban
Water Management Planning Act (Part 2.6 (commencing with Section
10610) of Division 6) is ineligible to receive funds made available
pursuant to Section 79721 until the urban water management plan is
prepared and submitted in accordance with the requirements of that
act.
{ 00053417.OOC. } 6
(c) For the purposes of awarding a grant under this chapter, the
department shall require a local cost share of not less than 50 percent
of the total costs of the projects. The department may waive or reduce
the cost-sharing requirement for projects that directly benefit a
disadvantaged community or an economically distressed area.
(d) Eligible projects include , but are not limited to, all of the
following:
(1) Agricultural and urban water use efficiency implementation
projects, as well as feasibility studies, technical assistance,
education, and public outreach, and projects that result in water
savings, increased instream flow, improved water quality, or
increased energy efficiency.
(2) Recycling, reclamation, water treatment for the recovery of water
supplies, desalination, and associated
facilities, including distributions systems.
(3) Groundwater and surface storage projects, and conjunctive use
and reservoir reoperations projects.
(4) Groundwater contamination prevention, cleanup, and treatment,
and other water quality projects necessary to protect existing or
potential water supplies. The implementation of a project financed
pursuant to this paragraph does not relieve a responsible party or
liable person from that person's obligation under existing state or
federal law to clean up or remediate, or otherwise treat,
contaminated water.
(5) Projects that reduce contributions to climate change from water
management systems.
(6) Projects that enhance the adaptability to climate change of water
management systems.
(7) Other projects that meet the requirements of Section 75026 of the
Public Resources Code.
(e) Eligible applicants are public agencies, public utilities, and
{ 00053417. DOC. } 7
mutual water companies. To be eligible for funding under
Section 79721, projects proposed by public utilities that are regulated
by the Public Utilities Commission and mutual water companies shall
have a clear and definite public purpose and shall benefit the
customers of those respective water systems.
(f) The funding provided in Section 79721 shall be allocated to
each hydrologic region as identified in the California Water Plan in
accordance with this subdivision. For the South Coast hydrologic
region, the department shall establish three funding areas that
reflect the watersheds of San Diego County (designated as the San
Diego subregion), the Santa Ana River watershed and southern Orange
County (designated as the Santa Ana subregion), and the Los Angeles
and Ventura County watersheds (designated as the Los Angeles
subregion), and shall allocate funds to those areas in accordance
with this subdivision. The North and South Lahontan hydrologic
regions shall be treated as one area for the purpose of allocating
funds. The department may recognize multiple integrated regional
water management plans in each of the areas allocated funding. Funds
made available by this chapter shall be allocated as follows:
(1) North Coast
(2) San Francisco Bay
(3) Central Coast
(4) Los Angeles subregion
(5) Santa Ana subregion
(6) San Diego subregion
(7) Sacramento River
(8) San Joaquin River
(9) Tulare/Kern
(10) North/South Lahonton
(11) Colorado River Basin
$120,000,000
$288,000,000
$145,000,000
$409,000,000
$260,000,000
$192,000,000
$180,000,000
$154,000,000
$158,000,000
$125,000,000
$119,000,000
{ 00053417. DOC. } 8
(12) Interregional $450,000,000
(g) Interregional funds may be expended directly or granted by the
department to address multiregional needs or state priorities,
including, but not limited to, any of the following:
(1) Investing in new water technology development and deployment.
(2) Meeting state water recycling goals.
(3) Adapting to climate change impacts.
(4) Reducing contributions to climate change.
(5) Other projects to improve statewide water management systems.
(6) Other projects and activities designed to meet the needs of
disadvantaged communities or economically distressed areas.
(7) Fifty million dollars ($50,000,000) shall be expended for costs
incurred in connection with the provision of recreation and fish and
wildlife enhancement at state water projects. The funds shall be
available to meet the cost associated with the planning, construction,
operation, and maintenance for recreation and fish and wildlife
enhancement.
79723. (a) The sum of five hundred million dollars ($500,000,000) is
available, upon appropriation by the Legislature, from the fund to the
department for grants and expenditures for the planning, design, and
construction of local and regional conveyance projects that support
regional and interregional connectivity and water management.
Projects shall be consistent with an adopted integrated regional water
management plan and shall provide one or more of the following
benclits:
(1) Improvements in regional or interregional water supply and
water supply reliability.
(2) Mitigation of conditions of groundwater overdraft, saline water
intrusion, water quality degradation, or subsidence.
{ 00053417. DOC. } 9
(3) Adaptation to the impacts of hydrologic changes.
(4) Improved water security from drought, natural disasters, or other
events that could interrupt imported water supplies.
(5) Providing safe drinking water for disadvantaged communities
and economically distressed areas.
(b) Not more than 10 percent of the funds provided by this section
shall be available for planning, investigations, studies, and monitoring.
(c) The department shall require a cost share of not less than 50
percent of total project costs from non-state sources. The department
may waive or reduce the cost share requirement for projects that
directly benefit disadvantaged communities or economically distressed
areas.
CHAPTER 7. DELTA SUSTAINABILITY
79730. (a) The Bay-Delta Estuary is a unique and irreplaceable
combination of environmental and economic resources. Current
management and use of the delta is not sustainable, and results in a
high level of conflict among various interests. Future delta
sustainability is threatened by changing hydrology due to climate
change, water diversions, flood risk, seismic events, nonnative species,
toxics, and other environmental problems. Future management of the
delta must improve delta ecosystem health and improve the means of
delta water conveyance in order to protect drinking water quality,
improve water supply reliability, restore ecosystem health, and
preserve agricultural and recreational values in the delta, while
providing to counties and watersheds of origin assurances that their
priority to water resources will be protected and that programs or
facilities implemented or constructed in the delta will not result in
redirection of unmitigated, significant adverse impacts to the counties
(00053417.DOC. )10
and watershed of origin. Many sources of funding will be needed to
implement improved delta
management.
(b) This chapter provides state funding for public benefits
associated with projects needed to assist in the delta's
sustainability as a vital resource for fish, wildlife, water quality,
water supply, agriculture, and recreation.
(c) In implementing this chapter, the department, taking into
consideration the recommendations of the Blue Ribbon Task Force
established by Executive Order S-17-06 and the Bay-Delta
Conservation Plan, shall develop, in cooperation with the Department
of Fish and Game and the State Water Resources Control Board, a
comprehensive delta sustainability program that includes ecosystem
and water conveyance improvements, and that meets the following
criteria:
(1) Reduces impacts to native fish caused by the operation of the
export pumps and improves the operational flexibility and ability of
the State Water Project and the Central Valley Project to provide the
ecosystem and water supply benefits described by this subdivision.
(2) Provides conditions that will allow for habitat improvements
for fish and wildlife in the delta, the recovery of listed species, and
sustainable ecosystem functions.
(3) Provides improved water supply reliability and conveyance for
the State Water Project and the Central Valley Project and for
water transfers.
(4) Reduces the quantity of bromide, total organic carbon, and
total dissolved solids in the water pumped at state and federal water
pumping facilities to protect the public health and improves the ability
to manage salinity.
(5) Reduces vulnerability to seismic events in or near the delta
{ 000534 U. DOC. } 1 1
and provides flexibility to manage uncertainties associated with
climate change and future fishery needs.
(6) Promotes ecosystem restoration of the delta.
(7) Facilitates wet-year water storage for use in dry years.
(d) The Legislature may only amend or repeal this section by a
statute that is passed in each house by rollcall vote entered into
the journal, two-thirds of the membership concurring.
79731. The sum of two billion four hundred million dollars
($2,400,000,000) is available, upon appropriation by the
Legislature, from the fund for grants and direct expenditure, as follows:
(a) One billion dollars ($1,000,000,000) for projects that provide
public benefits and support delta sustainability options, including
projects that do any of the
following:
(1) Ensure that urban and agricultural water supplies derived from
the delta, including water supplies used within the delta,
are not disrupted because of catastrophic failures
of delta levees resulting from earthquakes, floods, land sinking,
rising ocean levels, or other forces.
(2) Improve the quality of drinking water derived from the delta.
(3) Provide physical improvements or other actions to create
waterflow and water quality conditions within the delta to provide
adequate habitat for native fish and wildlife.
(4) Protect transportation and other vital infrastructure in and
around the delta.
(5) Facilitate other projects that provide public benefits and
support delta sustainability options approved by the Legislature,
including costs associated with planning, monitoring, and design of
alternatives, and project modifications and adaptations necessary to
achieve the goals of this chapter .
1000534 U.DOC.112
(b) One billion four hundred million dollars ($1,400,000,000) for
projects to protect and enhance the sustainability of the delta
ecosystem, including any of the following:
(1) Projects for the development and implementation of the Bay Delta
Conservation Plan that promote the conservation, as that term is defined
in Chapter 10 (commencing with Section 2800) of Division 3 of the
Fish and Game Code, of covered species, and for native fishery
restoration projects that are consistent with the findings of the Blue
Ribbon Task Force established by Executive Order S-17-06. The
projects shall be implemented through a cooperative effort among
regulatory agencies, regulated and potentially regulated entities, and
affected parties, including state and federal water contractors. These
funds may be expended for the preparation of environmental
documentation and environmental compliance.
(2) Other projects to protect and restore native fish and wildlife
dependent on the delta ecosystem, including the acquisition of water
rights and the removal or reduction of undesirable invasive species.
(3) Projects to reduce greenhouse gas emissions from exposed delta
soils.
79732. The expenditure of any portion of the funds provided pursuant
to this chapter is contingent on the adoption and implementation of a
comprehensive plan for delta sustainability to implement the program
described in subdivision (c) of Section 79730.
79733. The secretary shall adopt the plan described in Section 79732
and submit it to the Legislature. No later than April 1 of each year
following the submission of the plan, the secretary shall evaluate the
progress in implementing the plan, determine if adequate progress is
being made, and submit those findings to the Legislature along with
recommendations to improve the implementation of the plan.
100053417. DOC. )13
CHAPTER 8. STATEWIDE WATER SYSTEM OPERATIONAL
IMPROVEMENT
79740. (a) The sum of two billion five hundred million dollars
($2,500,000,000) is available, upon appropriation by the Legislature
from the fund to the commission, for public benefits associated with
water storage projects that improve the operation of the state water
system, are cost effective, capable of timely implementation, and that
provide a net improvement in ecosystem and water quality conditions,
in accordance with this chapter.
(b) Projects shall be selected through a competitive public process that
ranks potential projects based on their cost-effectiveness in providing
public benefits pursuant to criteria established under this chapter.
(c) Notwithstanding Section 162, the commission is authorized to
make the determinations, findings, and recommendations required of it
by this chapter independent of the views of the director. All final
actions by the commission in implementing this chapter shall be taken
by a majority of the members of the commission at a public meeting
noticed and held pursuant to the Bagley-Keene Open Meeting Act
(Government Code Section 11120 et. seq).
(d) Any project constructed with funds provided by this chapter shall
be subject to the requirements of Section 11590.
79741. Projects for which the public benefits are eligible for funding
under this chapter consist of any of the following:
(a) Surface storage projects identified in the CALFED Bay-Delta
Program Record of Decision, dated August 28, 2000, excluding the
expansion of Shasta Reservoir.
{ 00053417. DOC. } 14
(b) Groundwater storage projects and groundwater contamination
prevention or remediation projects that provide water storage
benefits.
(c) Conjunctive use and reservoir reoperation projects.
(d) Regional and local surface storage projects that improve the
operation of water systems in the state and provide public benefits.
79742. (a) Funds allocated pursuant to this chapter may be expended
solely for the following public benefits associated with water storage
projects:
(1) Ecosystem improvements, including reduced water diversions,
changing the timing of water diversions, improvement in flow
conditions, temperature, or other benefits that contribute to
restoration of aquatic ecosystems and native fish and wildlife,
including those ecosystems and fish and wildlife in the delta.
(2) Water quality improvements in the delta, or in other river systems,
that provide significant public trust resources, or that clean up and
restore groundwater resources.
(3) Flood control benefits, including, but not limited to, increases in
flood reservation space in existing reservoirs by exchange for
existing or increased water storage capacity in response to the
effects of changing hydrology and decreasing snow pack on
California's water and flood management system.
(4) Reduction in greenhouse gas emissions related to water system
operation.
(b) For the purposes of this chapter, "public benefits" does not include
the costs of environmental mitigation measures or compliance
obligations established prior to the enactment of this division under
state or federal law.
J00053417. DOC. } 15
79743. In consultation with the Department of Fish and Game, the
State Water Resources Control Board, and the department, the
commission shall develop and adopt, by regulation, methods for
quantification and management of public benefits described under
Section 79742 not later than December 15, 2009. The regulations shall
include the priorities and relative environmental value of ecosystem
benefits as determined by the Department of Fish and Game and the
priorities and relative environmental value of water quality benefits as
determined by the State Water Resources Control Board.
79744. (a) Except as provided under subdivision (b), no funds
allocated pursuant to this chapter may be appropriated for a project
unless all of the following conditions are met:
(1) The commission adopts the regulations specified in Section 79743
and specifically quantifies and makes public the cost of the public
benefits associated with the project.
(2) The department enters into a binding and enforceable agreement
with each party who will derive benefits, other than public
benefits as defined in Section 79742, from the project that ensures
the party will pay its share of the total costs of the project. The
benefits available to a party shall be consistent with that party's
share of total project costs.
(3) The department enters into a binding and enforceable agreement
with each public agency identified in Section 79743 that
administers the public benefits, after that agency makes a finding
that the public benefits of the project for which that agency is
responsible meet all the requirements of this chapter, to assure
that the public contribution of funds pursuant to this chapter
achieves the public benefits identified for the project.
(4) The commission holds a public hearing for the purposes of
providing an opportunity for the public to review and comment on
100053417.DOC. } 16
the information required to be prepared pursuant to this
subdivision.
(5) The commission submits the information required to be prepared
pursuant to this section to the Legislature as part of any request
for any appropriation of funds for a project funded pursuant to
this chapter.
(6) For a project identified in subdivision (a) of Section 79741, all of
the following additional conditions are met:
(A) Feasibility studies are completed.
(B) The director finds and determines that the project is feasible, is
consistent with all applicable laws and regulations, and will
advance the objectives of the CALFED Bay-Delta Program.
(C) All environmental documentation associated with the project is
completed, and all other federal, state, and local approvals,
certifications, and agreements required to be completed in order to
fund the surface storage project are obtained.
(b) Notwithstanding subdivision (a), the Legislature may
appropriate funds available under this chapter for the completion of
environmental documentation and permitting of a project if it
determines that all of the conditions of this section have been met
except for the conditions established under subparagraph (C) of
paragraph (6) of subdivision (a).
(c) At the time a request for an appropriation of funds that exceeds
two hundred fifty million dollars ($250,000,000) for a surface
storage project is made pursuant to this chapter, the Legislative
Analyst's Office shall prepare and submit to the Legislature a
review and audit that verifies the cost effectiveness, financing, and
public benefits of the proposed surface storage project.
79745. (a) The public benefit cost share of a project funded
pursuant to the chapter, other than a project defined under
{ 00053417.DOC. } 17
subdivision (c) of Section 79741, may not exceed 50 percent of the
total costs of any project funded under this chapter.
(b) No CALFED Bay-Delta surface storage projects may be
funded unless it provides ecosystem improvements as described in
paragraph (1) of subdivision (a) of Section 79742 that are at least 50
percent of total public benefits of the project funded under this
chapter.
79746. (a) No project identified in subdivision (a) of Section 79741
shall be eligible for funding under this chapter unless by January 1,
2012, all of the following conditions are met:
(1) All feasibility studies are complete and draft environmental
documentation is available for public review.
(2) The director makes a finding that the project is feasible, and meets
the objectives of the CALFED Bay-Delta Program.
(3) The director receives commitments for not less than 75 percent of
local cost share of the project.
(b) If compliance with subdivision (a) is delayed by litigation or failure
to promulgate regulations, the date in subdivision (a) shall be extended
by the director for a time period that does not exceed the time period of
the delay.
79747. Surface storage projects funded pursuant to this chapter and
described in subdivision (a) of Section 79741 may be made a unit of the
Central Valley Project as provided in Section 11290 and may be
financed, acquired, constructed, operated, and maintained pursuant to
Part 3 (commencing with Section 11100) of Division 6.
CHAPTER 9. CONSERVATION AND WATERSHED PROTECTION
(00053417. DOC. ) 18
79770. The sum of one billion dollars ($1,000,000,000) is available,
upon appropriation by the Legislature from the fund, for expenditures
and grants for ecosystem and watershed protection and restoration
projects, including, but not limited to, all of the following watersheds:
(a) The San Joaquin River watershed.
(b) The Kern River and Tulare Basin watersheds.
(c) The Salton Sea and Colorado River watersheds.
(d) The Los Angeles River watershed.
(e) The San Gabriel River watershed.
(f) The Santa Ana River watershed.
(g) The Klamath River watershed, including the Trinity, Scott, and
Shasta Rivers and watersheds.
(h) North coast watersheds.
(i) San Francisco Bay watersheds.
0) Central coast watersheds.
(k) South coast watersheds.
(1) Lake Tahoe Basin watershed.
(m) The Sacramento River watershed, including the Yolo Bypass.
(n) San Diego County coastal watersheds.
(o) The Ventura River watershed.
(p) The Sierra Nevada Mountain watersheds.
(q) The Mojave River watershed.
79771. (a) Funds provided for the Sacramento River and San
Joaquin River watersheds under Section 79770 shall be available for
projects consistent with the ecosystem restoration program element of
the California Bay-Delta Program, or its successor, or the San Joaquin
River Parkway Master Plan.
(b) Funds provided for Salton Sea watershed projects under Section
79770 shall be available for Salton Sea restoration activities
identified for "Period I" in the Resources Agency report entitled
(00053417.DOC.) 19
"Salton Sea Ecosystem Restoration Program Preferred Alternative
Report and Funding Plan," dated May 2007.
(c) Funds provided for the Lake Tahoe Basin watershed under
Section 79770 shall be available for projects consistent with the
Lake Tahoe Environmental Improvement Program.
(d) Funds provided for the Los Angeles River and San Gabriel River
watersheds under Section 79770 shall be available pursuant to
Section 79508, and for projects identified in the Los Angeles River
Revitalization Master Plan.
79772. (a) The sum of eighty-five million dollars ($85,000,000)
is available, upon appropriation by the Legislature from the fund,
to the Department of Fish and Game for expenditures and grants to
protect the delta ecosystem and the state's water supply from
invasive species, including, but not limited to, asiatic clams, zebra
mussels, quagga mussels, and New Zealand mud snails.
(b) At least fifty million dollars ($50,000,000) of the funds
provided pursuant to subdivision (a) shall be available for grants to
public agencies, including water agencies, to pay for capital
expenditures associated with the control of invasive species,
including, but not limited to, chlorination facilities, habitat
modifications, and monitoring equipment. The Department of Fish and
Game shall administer the grant program.
(c) The Legislature, by statute, shall establish requirements for both
of the following:
(1) Repayment of grant funds made available pursuant to this section
in the event of cost recovery from parties responsible for the
introduction of invasive species that affect the delta ecosystem
and the state's water supply.
(2) Recipients of grants to make reasonable efforts to recover costs
from parties described in paragraph (1).
{ 00053417. DOC. }20
79773. For restoration and ecosystem protection projects under
this chapter, the services of the California Conservation Corps or
community conservation corps shall be used whenever feasible.
79774. Funds provided under this chapter may be
appropriated to the Resources Agency, the Department of Fish and
Game, The Wildlife Conservation Board, the California Conservation
Corps, the Department of Parks and Recreation, or to state
conservancies for expenditures and grants consistent with this
chapter and other applicable laws.
79774.1. Of the funds made available pursuant to Section 79770,
not less than two hundred million dollars ($200,000,000) shall be
available to the State Coastal Conservancy for coastal watershed
projects, of which not less than forty million dollars ($40,000,000)
shall be available for projects in the Santa Ana River Watershed.
79774.2. Of the funds provided in Section 79770, not less than
one hundred million dollars ($100,000,000) shall be available to the
Wildlife Conservation Board for direct expenditure or grants for the
acquisition of water rights from willing sellers and the conveyance
of water for the benefit of migratory birds on wildlife refuges and
wildlife habitat areas subject to Section 3406(d) of the federal
Central Valley Project Improvement Act (Public Law 102-575).
79774.3. Of the funds provided in Section 79770, not less than two
hundred million dollars ($200,000,000) shall be available to the
Wildlife Conservation Board for direct expenditure or grants for the
protection or restoration of watershed lands that provide sources of
( 00053417. DOC. )21
drinking water or rivers and streams that support species listed as
threatened or endangered under state or federal law.
79774.5. For the purposes of this chapter, the terms "restoration"
and "protection" have the meanings set forth in Section 75005 of the
Public Resources Code.
79774.6. The sum of one hundred fifty million dollars
($150,000,000) is available, upon appropriation by the Legislature
from the fund, to the Wildlife Conservation Board, in consultation
with the California Department of Forestry and Fire Protection, for
grants and direct expenditures for watershed restoration in fire
damaged areas, and for fuel load reduction and other projects to reduce
the potential for watershed damage from wildfires to protect water
quality, fish, and wildlife.
79774.7. The sum of three hundred million dollars ($300,000,000) is
available, upon appropriation by the Legislature from the fund, to the
Department of Fish and Game and the State Coastal Conservancy for
grants and expenditures for projects that improve fish passage on
rivers and streams, including barrier removal, sediment management,
and related watershed restoration.
CHAPTER 10. GROUNDWATER PROTECTION AND
WATER QUALITY
79775. The sum of four hundred million dollars ($400,000,000)
is available, upon appropriation by the Legislature from the
fund, for expenditures, grants, and loans for projects to prevent or
reduce the contamination of groundwater that serves as a source of
drinking water. Projects shall be consistent with an adopted integrated
100053417.DOC. }22
regional water management plan. Except as provided in subdivision
(d), funds appropriated pursuant to this section shall be available to the
State Water Resources Control Board for projects necessary to protect
public health by preventing or reducing the contamination of
groundwater that serves as a major source of drinking water for a
community.
(a) Projects shall be prioritized based upon the following
criteria:
(1) The threat posed by groundwater contamination to the affected
community's overall drinking water supplies, including the need for
treatment of alternative supplies if groundwater is not available due
to contamination.
(2) The potential for groundwater contamination to spread and
reduce drinking water supply and water storage for nearby population
areas.
(3) The potential of the project, if fully implemented, to enhance
local water supply reliability.
(4) The potential of the project to increase opportunities for
groundwater recharge and optimization of groundwater supplies.
(b) The board shall give additional consideration to projects that
meet any of the following criteria:
(1) The project is implemented pursuant to a comprehensive
basin-wide groundwater quality management and remediation plan or
is necessary to develop a comprehensive groundwater plan.
(2) Affected groundwater provides a local supply that, if
contaminated and not remediated, will require import of additional
water from outside the region.
(3) The project will serve an economically disadvantaged
community or an economically distressed area.
{00053417. DOC. }23
(4) The project addresses contamination at a site where the
responsible parties have not been identified, or where the responsible
parties are unwilling or unable to pay for cleanup.
(c) Of the amount made available by this section, up to one hundred
million dollars ($100,000,000) shall be available for projects that meet
the requirement of this section and the following criteria.
(1) The project is part of a basinwide management and remediation
plan for which federal funds have been allocated.
(2) The project addresses contamination at a site on the list
maintained by the Department of Toxic Substances Control pursuant
to Section 25356 of the Health and Safety Code or a site listed on the
National Priorities List pursuant to the Comprehensive Environmental
Response, Compensation, and Liability Act of 1980 (42 U.S.C. Sec.
9601 et seq.).
(d) Of the amount made available by this Section, forty million dollars
($40,000,000) shall be available to the State Department of Public
Health for grants and direct expenditures to finance emergency and
urgent actions in accordance with this section on behalf of
disadvantaged communities and economically distressed areas to
ensure that safe drinking water supplies are available to all
Californians.
(e) The Legislature, by statute, shall establish both of the
following:
(1) Requirements for repayment of grant funds in the event of cost
recovery from parties responsible for the groundwater contamination.
(2) Requirements for recipients of grants to make reasonable
efforts to recover costs from parties responsible for groundwater
contamination.
79776. The sum of one hundred million dollars ($100,000,000)
is available, upon appropriation by the Legislature from the fund,
{ 00053417. DOC. } 24
to the State Water Resources Control Board for grants for small
community wastewater treatment projects to protect water quality that
meet the following criteria:
(a) The project is for the planning, design, permitting,
construction, or improvement of a wastewater treatment facility,
sewer system, or related infrastructure necessary to meet water
quality standards or prevent contamination of surface water or
groundwater resources.
(b) The project will serve a community with a population of 20,000
or less.
(c) The project meets other standards that may be established by
the State Water Resources Control Board with respect to the design,
construction, financing, and operation of the project.
79777. (a) The sum of five hundred million dollars ($500,000,000)
is available, upon for appropriation by the Legislature from the
fund, to the State Water Resources Control Board for competitive
grants and loans for stormwater management and water quality
projects
pursuant to this section.
(b) Eligible projects shall assist in compliance with total
maximum daily load (TMDL) implementation plans and be consistent
with
all applicable waste discharge permits.
(c) Eligible projects include facilities and infrastructure to
reduce, manage, and treat stormwater runoff, including, but not
limited to:
(1) Detention and retention basins.
(2) Dry weather diversion facilities, trash filters, and screens.
(3) Treatment wetlands creation and enhancement.
(4) Stormwater runoff reduction projects, including permeable
100053417. DOC. } 25
surface installation, cisterns, and collection and treatment
facilities for groundwater recharge.
(5) Other stormwater management infrastructure for low impact
development.
(d) The board shall require not less than a 50 percent local cost share
for grant funds, but may suspend or reduce the matching requirements
for disadvantaged communities and economically distressed areas.
(e) The board shall award grants on a competitive basis,
considering the following criteria:
(1) Water quality benefits of the project, including the project's
ability to reduce impairment of the receiving water body.
(2) Cost effectiveness.
(3) Public health benefits of the project.
(f) Eligible recipients shall include local public agencies and
joint powers authorities.
79778. The sum of one hundred million dollars ($100,000,000) is
available, upon appropriation by the Legislature from the fund, to the
State Coastal Conservancy for projects that meet the requirements of
the California Ocean Protection Act (Division 26.5 (commencing with
Section 35500) of the Public Resources Code). The conservancy shall
allocate the funds to the Ocean Protection Council to make grants to
public agencies for projects to protect and improve water quality in
areas of special biological significance, as defined in subdivision (f) of
Section 36700 of the Public Resources Code.
CHAPTER 11. WATER RECYCLING PROGRAM
79779. The sum of two hundred fifty million dollars
($250,000,000) is available, upon appropriation by the
Legislature from the fund, to the State Water Resources Control Board
100053417. DOC. } 26
for grants and loans for water recycling projects.
79779.5. Eligible applicants under this chapter are public agencies,
public utilities, and mutual water companies. To be eligible for
funding under this chapter, projects proposed by public utilities that
are regulated by the Public Utilities Commission and mutual water
companies shall have a clear and definite public purpose and shall
benefit the customers of those respective water systems.
CHAPTER 12. FISCAL PROVISIONS
79780. (a) Bonds in the total amount ten billion eight hundred
eighty-five million dollars ($10,885,000,000), not including the
amount of any refunding bonds issued in accordance with Section
79792, or so much thereof as is necessary,
may be issued and sold to provide a fund to be used for carrying out
the purposes expressed in this division and to reimburse the General
Obligation Bond Expense Revolving Fund pursuant to Section
16724.5 of
the Government Code. The bonds, when sold, shall be and constitute
valid and binding obligations of the State of California, and the
full faith and credit of the State of California is hereby pledged
for the punctual payment of both the principal of, and interest on,
the bonds as the principal and interest become due and payable.
(b) The Treasurer shall sell the bonds authorized by the committee
pursuant to this section. The bonds shall be sold upon the terms and
conditions specified in a resolution to be adopted by the committee
pursuant to Section 16731 of the Government Code.
79781. The bonds authorized by this division shall be prepared,
{ 00053417.DOC. }27
executed, issued, sold, paid, and redeemed as provided in the State
General Obligation Bond Law, and all of the provisions of that law
apply to the bonds and to this division and are hereby incorporated
in this division as though set forth in full in this division, except
Section 16727 of the Government Code shall not apply to the extent
that it is inconsistent with any other provision of this division.
79782. (a) Solely for the purpose of authorizing the issuance and
sale, pursuant to the State General Obligation Bond Law, of the
bonds authorized by this division, Safe Drinking Water Finance
Committee is hereby
created. For purposes of this division, the Safe Drinking Water
Finance Committee is "the committee" as that term is used in the State
General Obligation Bond Law.
(b) The committee consists of the Director of Finance, the
Treasurer, the Controller, the Director of Water Resources, and the
Secretary of the Resources Agency. Notwithstanding any other
provision of law, any member may designate a deputy to act as that
member in his or her place for all purposes, as though the member
were personally present.
(c) The Treasurer shall serve as chairperson of the committee.
(d) A majority of the members of the committee shall constitute a
quorum of the committee, and may act for the committee.
79783. The committee shall determine whether or not it is
necessary or desirable to issue bonds authorized pursuant to this
division to carry out the actions specified in this division and, if
so, the amount of bonds to be issued and sold. Successive issues of
bonds may be authorized and sold to carry out those actions
progressively, and it is not necessary that all of the bonds
authorized to be issued be sold at any one time.
(00053417.DOC. }28
79784. "Board," as defined in Section 16722 of the Government
Code for the purposes of compliance with the State General Obligation
Bond Law, means the department.
79785. There shall be collected each year and in the same manner
and at the same time as other state revenue is collected, in addition
to the ordinary revenues of the state, a sum in an amount required
to pay the principal of, and interest on, the bonds each year, and it
is the duty of all officers charged by law with any duty in regard
to the collection of the revenue to do and perform each and every act
which is necessary to collect that additional sum.
79786. Notwithstanding Section 13340 of the Government Code,
there is hereby appropriated from the General Fund in the State
Treasury, for the purposes of this division, an amount that will
equal the total of the following:
(a) The sum annually necessary to pay the principal of, and
interest on, bonds issued and sold pursuant to this division, as the
principal and interest become due and payable.
(b) The sum that is necessary to carry out the provisions of
Section 79789, appropriated without regard to fiscal years.
79787. The board may request the Pooled Money Investment Board to
make a loan from the Pooled Money Investment Account in accordance
with Section 16312 of the Government Code for the purpose of carrying
out this division. The amount of the request shall not exceed the
amount of the unsold bonds that the committee has, by resolution,
authorized to be sold for the purpose of carrying out this division.
The board shall execute those documents required by the Pooled Money
Investment Board to obtain and repay the loan. Any amounts loaned
shall be deposited in the fund to be allocated in accordance with
{ 00053417. DOC. } 29
this division.
79788. Notwithstanding any other provision of this division, or
of the State General Obligation Bond Law, if the Treasurer sells
bonds that include a bond counsel opinion to the effect that the
interest on the bonds is excluded from gross income for federal tax
purposes under designated conditions, the Treasurer may maintain
separate accounts for the bond proceeds invested and for the
investment earnings on those proceeds, and may use or direct the use
of those proceeds or earnings to pay any rebate, penalty, or other
payment required under federal law or take any other action with
respect to the investment and use of those bond proceeds, as may be
required or desirable under federal law in order to maintain the
tax-exempt status of those bonds and to obtain any other advantage
under federal law on behalf of the funds of this state.
79789. For the purposes of carrying out this division, the
Director of Finance may authorize the withdrawal from the General
Fund of an amount or amounts not to exceed the amount of the unsold
bonds that have been authorized by the committee to be sold for the
purpose of carrying out this division. Any amounts withdrawn shall be
deposited in the fund. Any money made available under this section
shall be returned to the General Fund, with interest at the rate
earned by the money in the Pooled Money Investment Account, from
proceeds received from the sale of bonds for the purpose of carrying
out this division.
79790. All money deposited in the fund that is derived from premiums and
accrued interest on bonds sold pursuant to this division shall be reserved in the fund
and shall be available for transfer to the General Fund as a credit
to expenditures for bond interest.
{ 00053417. DOC. } 3 0
79791. Pursuant to Chapter 4 (commencing with Section 16720) of
Part 3 of Division 4 of Title 2 of the Government Code, the cost of
bond issuance shall be paid out of the bond proceeds. These costs
shall be shared proportionately by each program funded through this
division.
79792. The bonds issued and sold pursuant to this division may be
refunded in accordance with Article 6 (commencing with Section
16780) of Chapter 4 of Part 3 of Division 4 of Title 2 of the
Government Code, which is a part of the State General Obligation Bond
Law. Approval by the electors of the state for the issuance of the
bonds under this division shall include approval of the issuance of
any bonds issued to refund any bonds originally issued under this
division or any previously issued refunding bonds.
79793. The proceeds from the sale of bonds authorized by this division
are not "proceeds of taxes" as that term is used in Article XIII B of
the California Constitution, and the disbursement of these proceeds is
not subject to the limitations imposed by that article.
{ 00053417. DOC. } 31
P "fl lant;Q1 pauP I
2/6/2008
Project
Perata SBX2 2
CCRW Version C
Compromise 12 -17 -07
Title
-The Safe Drinking Water Act of 2008
-The Comprehensive Safe Drinking Water,
-The Safe, Clean, Reliable Drinking Water
Water Supply Reliability, and Delta Restoration
Supply Act of 2008
Act of 2008.
Total Cost
$6.835 billion
- $11.690 billion
- $10.885 billion
Findings &
- States the importance of safeguarding a clean
-Same as Perata, except adds that comprehensive
-Same as Perata
Declarations
safe drinking water supply for CA's people and
delta health and restoration improvements will
economy, which is the responsibility of
also help resolve litigation that threatens delta
government. Encouraging water conservation
health and CA economy.
and water recycling; protecting lakes, rivers and
streams; and protecting watersheds are crucial to
providing a reliable drinking supply.
Water Supply
-$2.0 billion for list of water supply projects.
-$2.2 billion for same list of water supply
-$2.6 billion for same list of water supply
Reliability
- -Ag. & urban water efficiency
projects, except add:
projects, except add:.
-- Recycling, reclamation, desalination
- -Flood and floodplain mgmt. programs
-- reduce contributions to climate from win
-- Groundwater & surface storage, and reop
-- Nonpoint source pollution cleanup
systems
-- Groundwater cleanup
-- Projects to reduce water outages cause by
-- enhance win system adaptability to climate
-- Improve reliability and delivery of safe
natural/human made disasters.
change
drinking water
-- -Funds divided among 11 hydrologic regions.
-- -Funds divided among 11 hydrologic regions.
-- -Funds divided among 11 hydrologic regions.
$600 million dedicated to interregional projects
$450 million dedicated to interregional projects
$400 million dedicated to interregional projects
to be allocated by DWR.
to be allocated by DWR
to be allocated by DWR
- - -$50 million for fish and wildlife enhancement
- Matching fund waiver for disadvantaged
at SWP
communities or economically distressed areas.
- Matching fund waiver for disadvantaged
- Matching fund waiver for disadvantaged
communities; no reference to economically
-$500 million for local/regional
communities or economically distressed areas.
distressed areas.
underground/surface storage projects.
-$500 million to support regional and
interregional connectivity and water
management
Delta
-$2.4 billion for delta projects.
-Same as Perata
-Same as Perata, except as follows;
Sustainability
- -$1.0 billion for projects to provide public
j
benefits and support delta sustainability options,
- Expenditures contingent on adoption and
including:
implementation of delta sustainability plan.
- -- ensure no supply disruption due to
catastrophic levee failure
- Secretary to adopt plan, annually evaluate
- -- improve drinking water quality
progress and submit to Legislature
- -- provide adequate fish and wildlife habitat
- -- create sustainable land use patterns
-Does not call for Bay Delta Conservation
- -- protect infrastructure
Steering Committee recommendations.
- -- planning, monitoring, and design costs
100053418.DOC.1
Confidential Paize 2 2/6/2008
(00053418.130C.)
- -$1.4 billion for projects to protect and enhance
sustainability of the delta ecosystem, including:
- - -BDCP projects consistent with Delta Vision
- -- protect and restore native fish and wildlife
- -- reduce GHG emissions from exposed soils
- Expenditure of funds contingent upon adoption
of plan for delta sustainability.
-Bay Delta Steering Comm. recommends cost
share formula for nonstate share of implementing
Blue Ribbon Task Force findings.
- Conveyance
-DWR implement comprehensive plan including
-Same as Perata, except add 3 criteria:
-Same as Perata, except add 2 criteria: -
both conveyance and ecosystem improvements
-- Guides ecosystem restoration
-- Promotes ecosystem restoration of the delta.
that meets 5 criteria:
-- Provides for conveyance of water deliveries for
-- Facilitates wet year water storage for use in dry
-- Reduce pumping impact on fish
SWP, CVP, and water transfers
years.
-- Improves fish and wildlife habitat
-- Provides conveyance capacity to store wet year
-- Improves water supply reliability &
supplies south of the delta for dry years
conveyance for SWP & CVP and water transfers
-- Reduces bromides, TOC, TDS at pumps
-- Reduces seismic vulnerability and provides
flexibility to manage future climate change and
fishery needs
-Funds cannot be expended on D &C of Delta
-Same as Perata
-Same as Perata
water transfer facilities. Costs of all conveyance
improvements are borne by agencies that benefit.
Statewide
N/A
-$3.5 billion continuously appropriated to water
-$2.5 billion available for appropriation to
Water System
infrastructure commission (CWIC) for water
California Water Commission (CWC) for public
Operation
storage projects that improve operation of state
benefits associated with water storage projects
Improvement
water system and provide public benefits.
that improve state water system operations, cost
-- Eligible projects are:
effective, capable of timely implementation, and
- -- Surface storage projects in CALFED ROD.,
provide net improvement in ecosystem and wq
excluding Shasta
conditions.
- - -GW storage, CU, and reservoir re -op
- -Same list of eligible projects except does not
- - -GW contamination prevention or remediation
include local conveyance and says local projects
that provides storage benefits
should improve water system operation in the
- -- Regional and local surface storage /conveyance
state and provide public benefits.
enhancements that improve interregional water
system operations
- Projects p rioritized on magnitude of public
(00053418.130C.)
Cnnfidential Pa1?e 3
2/6/2008
(00053418.DOC.)
benefits, which are same as "C" except:
- Projects must provide measurable
- -adds clean-up and restore GW resources to WQ
improvements to the delta ecosystem or its
improvements
tributaries.
- -omits emergency response
- -adds reduction in GHG emissions related to
-Funds are prioritized by magnitude of public
water system operation
benefits, which are identified as
- -omits recreation
-- Ecosystem
- -Flood Control
. CWC will make determination in consultation
- -WQ improvements of the Delta or its tribs
with DFG, SWRCB, and DWR. CWC to develop
-- Emergency response
and adopt by regulation quantification of public
-- Recreation
benefits by Dec 15, 2009.
-DWR adopts regs. to quantify public benefits
-All feasibility studies and environmental docs
and identify appropriate public agencies to
must be completed and permits obtained.
administer public benefits.
-DWR enter into binding agreements with
-CWIC enter into contracts with beneficiaries
beneficiaries and with administering public
and with administering public agencies to assure
agencies to assure benefits are commensurate
benefits are commensurate with costs.
with costs.
-DWR Director must find project is feasible and
-CWC holds public hearings to receive
meets the objectives of the CALFED B -D
comments on completed studies
program.
-CWC submits info to Legislature as part of
-State cost share capped at 50 %.
request for appropriation
-All feasibility studies and contractual
- Appropriated funds may be used to complete
commitments for 75% of local cost sharing must
environmental documentation and permitting of
be complete.
projects
- Projects may be made a unit of CVP.
-If a request exceeds $250 mil, LAO shall audit
and submit report to Legislature verifying cost
effectiveness, financing and public benefits.
-State cost share capped at 50%
- Project funded only if ecosystem improvements
is a least 50% of the public benefits.
Following must be met by Jan 1, 2012
-All feasibility studies and envir docs complete
and available for public review
(00053418.DOC.)
Cnnfidentinl Page 4 2/6/2008
(00053418.DOC. )
- Director find project is feasible and advance
CALFED objectives.
- Director receive commitment for at least 75%
of local cost share
- Pro'ects ma y be made a unit of CVP.
Conservation
-$1.0 billion for ecosystem protection and
-Same as Perata, except:
-Same as Version B, except:
& Watershed
restoration projects for 16 watersheds (does not
- -Adds Mojave River watershed.
Protection
include Mojave River as the others do)
-$150 million to protect reservoir watersheds
- -$200 million for coastal watershed projects.
-Adds $155 million to protect reservoir
from wildfire impacts.
- -$100 million to acquire water rights from
watersheds from wildfire impacts.
willing sellers for migratory birds on wildlife
-Adds $300 million for improved fish passage
refuges.
-$85 million to fight invasive mussels, clams,
-Same as Perata
-Same as Perata
and snails.
Groundwater
-$1.1 billion for water cleanup:
-Same as Perata, except add:
-Same as Perata
Protection &
- -$400 million to reduce contamination of
1
Water Quality
groundwater used for drinking
-$500 million for clean and safe drinking water
- -$100 million for small community wastewater
grants.
treatment projects.
-- Requires at least 50% cost share.
- -$500 million for stormwater runoff mgmt.
-- Matching fund waiver for disadvantaged
(TMDL).
communities and economically distressed areas.
- -$100 million to Ocean Protection Council for
areas of special biological significance (ASBS)
- Requires recipients to repay grants if costs are
-Same as Perata
recovered from responsible parties.
Water
-$250 million for water recycling projects
-Same as Perata
-Same as Perata
Recycling
CA Water
N/A
-Sole purpose is to ensure accountability and
N/A
Infrastructure
timely implementation of improvements in water
Commission
conveyance and statewide storage.
(C WIC)
- Commission is completely self - supporting/no
impact on General Fund.
- Commission ceases to exist when projects are
complete.
-7 member board: 5 gubernatorial appointees,
(00053418.DOC. )
Confidential Pate 5 2/6/2008
{ 00053418.DOC. }
DWR Dir., and Resources Secretary. Legislature
can confirm or reject appointees with a 213 vote.
- Minimal staff, contracts or uses inter - agency
agreements w/ DWR for several services.
{ 00053418.DOC. }
Confidential Page 6
2/6/2008
Accountability
-State Auditor annually conducts programmatic
-Same as Perata, except add:
-Same as Perata.
Water Supply Reliability
review of expenditures and reports to Governor
$2.700
$3.100
Delta Sustainability
and Legislature.
-DWR and water infrastructure commission
$2.400
Statewide Water System Operation Improvement
$0.000
annually report to Legislature.
$2.500
Conservation and Watershed Protection
$1.085
-Water infrastructure commission pays for 1)
$1.535
Groundwater Protection and Water Quality
$1.100
annual independent financial audit that State
$1.100
Water Recycling
$0.250
Controller reviews and 2) annual performance
$0.250
TOTAL
$6.835
audit from State Auditor.
$10.885
Environmental
-Funds cannot be used to pay environmental
-Same as Perata.
-Same as Perata, except funds can be used to pay
Mitigation
mitigation of private parties or local agencies.
for environmental mitigation costs of projects
funded by this proposal.
Salinity
- Criteria #4 of delta program says program
- Criteria #5 of delta program same as Perata
-Same as Perata.
Management
should reduce the quantity of bromide, total
organic carbon, and total dissolved solids in the
water pumped at state and federal water pumping
facilities to improves the ability to manage
salinity
Method of
-Funds subject to legislative appropriation.
-Funds subject to legislative appropriation,
-Funds appropriated only in the Budget Act of
Appropriation
except statewide storage money is continuously
the first year of each Legislative Session
appropriated to water infrastructure commission
(CWIC) and conveyance improvements are paid
for by agencies that benefit.
Summary
(00053418.DOC.)
Perata
CCRW Version C
12/17/07
Water Supply Reliability
$2.000
$2.700
$3.100
Delta Sustainability
$2.400
$2.400
$2.400
Statewide Water System Operation Improvement
$0.000
$3.500
$2.500
Conservation and Watershed Protection
$1.085
$1.240
$1.535
Groundwater Protection and Water Quality
$1.100
$1.600
$1.100
Water Recycling
$0.250
$0.250
$0.250
TOTAL
$6.835
$11.690
$10.885
(00053418.DOC.)
YEAR -TO -DATE REPORT
YORBA LINDA WATER DISTRICT
DIRECTORS AND GENERAL MANAGER FEES AND EXPENSES
FISCAL YEAR 2007 -2008
MILLS
SUMMERFIELD
YEAR -TO -DATE REPORT FROM 10- 01.2007 TO 12.31.2007
TOTAL
ARMSTRONG
BEVERAGE
REGULAR MEETINGS ATTENDED
11
13
COMMITTEE MEETINGS ATTENDED
15
24
OFF SITE MEETINGS ATTENDED
0
1
TOTAL MEETINGS ATTENDED YTD
26
38
DIRECTOR FEES YTD
$3,900
$5,700
MEETING FEES BUDGET YTD
$5,950
$5,950
TRAVEL & CONFERENCES EXPENSES YTD
$25
$0
TRAVEL & CONFERENCE BUDGET YTD
$1,070
$1,070
DIRECTORS FEES & EXPENSES YTD
$3,925
$5,700
FEES & EXPENSES BUDGET YTD
$7,020
$7,020
GEN MGR EXPENSES YTD
GEN MGR TRAVEL CONF. BUDGET YTD
TOTAL FEES & EXPENSES YTD $3,925 $5,700
TOTAL FEES & EXPENSES BUDGET YTD $7,020 $7,020
COLETT
MILLS
SUMMERFIELD
SUB -TOTAL PAYNE
TOTAL
13
11
13
61
17
12
18
86
2
8
4
15
32
31
35
162
162
$4,800
$4,650
$5,250
$24,300
$24,300
$5,950
$5,950
$5,950
$29,750
$29,750
$0
$1,237
$0
$1,262
$1,262
$1,070
$1,070
$1,070
$5,350
$5.350
$4,800
$5,887
$5,250
$25,562
$25,562
$7,020
$7,020
$7,020
$35,100
$35.100
$3,868 $3,868
$3,724 53.724
$4,800 $5,887 $5,250 $25,562 $3,868 $29,430
$7,020 $7,020 $7,020 $35,100 $3.724 $38.824
m
z
0
Quarter -To -Date Report
YORBA LINDA WATER DISTRICT
DIRECTORS AND GENERAL MANAGER FEES AND EXPENSES
FISCAL YEAR 2007 -2008
2ND QUARTER REPORT FROM 10 -01 -2007 TO 12 -31 -2007
ARMSTRONG
BEVERAGE
COLLETT
MILLS
SUMMERFIELD SUB -TOTAL
PAYNE
TOTAL
REGULAR MEETINGS ATTENDED
6
7
8
6
7
34
COMMITTEE MEETINGS ATTENDED
7
15
10
6
11
49
OFF SITE MEETINGS ATTENDED
0
0
1
6
3
10
SPECIAL MEETINGS ATTENDED
0
TOTAL MEETINGS ATTENDED QTD
13
22
19
18
21
93
93
DIRECTOR FEES QTD
$1,950
$3,300
$2,850
$2,700
$3,150
$13,950
$13,950
MEETING FEES BUDGET QTD
$2,975
$2,975
$2,975
$2,975
$2,975
$14,875
$14,875
TRAVEL & CONFERENCES EXPENSES,
$25
$0
$0
$1,237
$0
$1,262
$1,262
TRAVEL & CONFERENCES BUDGET QT
$535
$535
$535
$535
$535
$2,675
$2,675
DIRYEES AND EXPENSES QTD
$1,975
$3,300
$2,850
$3,937
$3,150
$15,212
$15,212
FEES AND EXPENSES BUDGET QTD
$3,510
$3,510
$3,510
$3,510
$3,510
$17,550
$17,550
GEN MGR EXPENSES QTD
$25
$25
GEN MGR TRAVEL /CONF. BUDGET QTD
$1,862
$1,862
TOTAL FEES & EXPENSES QTD
$1,975
$3,300
$2,850
$3,937
$3,150
$15,212
$25
$15,237
TOTAL FEES & EXPENSES BUDGET QT
$3,510
$3,510
$3,510
$3,510
$3,510
$17,550
$1,862
$19,412
DIRECTORS RECAP OF TRAVEL /CONFERENCE EXPENSES
October - December 2007
GL Trip Trip Trip Reimbursable expenses paid by YLWD
Director date date name location Meals Lodging Travel Conf Fee Misc Total trip Total
Armstrong 12/3/07 10/25/07 YL State of City- CoC YL $25 $25
$0 $25
Beverage $0
$0 $0
Collett $0 $0
Mills 12/3/07 10/25/07 YL State of City- CoC
YL
$25
$25
11/30/07 11/26/07 ACWA Fall Conference
Indian Wells
$551 $101 $560 $1,212
$0
$1,237
Summerfield
$0
$0
$0
Total directors
$50
$551 $101 $560 $0 $1,262
$1,262
General Manager
Payne 12/3/07 10/25/07 YL State of City- CoC
YL
$25
$25
$0
$0
$0
$0
$25
Total GM
$25
$0 $0 $0 $0 $25
$25
Total directors & GM $75 $551 $101 $560 $0 $1,287 $1,287
Assistant General Manager
Vecchiarelli 0 0