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CC - Item 3C - San Gabriel Basin Water Quality Authority- Opposen staf epor TO: HONORABLE MAYOR AND MEMBERS VIIANK ROSEMEAD CITY COUNCIL FROM: G. TRIPEPI, CITY MANAGER DATE: MAY 23, 2000 RE: RESOLUTION NO. 2000-24 - AB 2544 (CALDERON) - SAN GABRIEL BASIN WATER QUALITY AUTHORITY - OPPOSE Attached for the City Council's review are copies of AB 2544 (Calderon), current bill status, and complete bill history. The bill revises the scope of activities performed by the San Gabriel Basin Water Quality Authority (WQA), creates an advisory commission to determine the use of clean-up funds, and sunsets the WQA by July 2002. Specifically, the bill: • Mandates WQA reduce assessments imposed on water purveyors if they finance their own groundwater.treatmentprnjects • Requires WQA to reduce assessments based on money received from a federal, state, or government agency or as a result of proposed or pending legal action • Establishes LARWQCB as WQA's successor to dispose of its property and assets The bill's author claims this legislation provides water users with rate relief while sunseting WQA in July 2002 and using LARWQCB as its successor to wind-down operations. Opponents, representing cities and the Association of California Water Agencies, contend there will be a lack of accountability and local decision-making input. Further, the opposition maintains that WQA or a body composed of locally elected directors must remain in place until treatment projects are operational. Prior to your meeting date, the COG'S governing board plans to take a position opposing the bill. RECOM-IM JNDATION: It is recommended that the City Council adopt Resolution NO. 2000-24 opposing AB 2544 (Calderon) and authorize the Mayor to send letters of opposition. MAY 2 3 20, IT-~ncq tkgo. C RESOLUTION NO. 2000 - 24 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD OPPOSING AB 2544 REVISING THE SCOPE OF ACTIVITIES OF THE SAN GABRIEL BASIN WATER QUALITY AUTHORITY WHEREAS, AB 2544, was introduced by Assemblyman Calderon to regulate the construction and use of waste wells that extend into underground aquifers; and WHEREAS, AB 2544 has since been substantially amended for the purpose of revising the scope of activities performed by the San Gabriel Basin Water Quality Authority (WQA); and WHEREAS, AB 2544 also contains provisions for sunseting the Water Quality Authority by July 2002 and designates the Los Angeles Regional Water Quality Control Board as WQA's successor; and WHEREAS, AB 2544 mandates WQA to reduce assessments imposed on water purveyors if they finance their own groundwater treatment projects without requirement that those projects be consistent with the clean-up objectives specified in the WQA Groundwater Quality Management and Remediation Plan. . NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Rosemead does hereby oppose A132544, unless amended. As currently written, AB 2544 fails to address and specify that: clean-up treatment projects of water purveyors must conform to the WQA Plan in order to receive reduced assessments; the successor agency to WQA not be allowed to assume responsibilities until the WQA has insured all clean-up treatment facilities are operational; and lacks sufficient assurances and protections that the environmental health of the San Gabriel Groundwater Basin will not be further compromised by bill provisions. MAYOR CITY CLERK AB' 2544 Assembly Bill - Status Page 1 of 1 CURRENT BILL STATUS MEASURE : A.B. No. 2544 AUTHOR(S) Calderon. TOPIC San Gabriel Basin Water Quality Authority Act. HOUSE LOCATION ASM +LAST AMENDED DATE 05/17/2000 TYPE OF BILL Active Non-Urgency Non-Appropriations Majority Vote Required State-Mandated Local Program Fiscal Non-Tax Levy LAST HIST. ACT. DATE: -05/17/2000 LAST HIST. ACTION Read second time and amended. TITLE An act to amend Sections 607 and 706 of, and to add Section 607.1 to, the San Gabriel Basin Water Quality Authority Act (Chapter 776 of the Statutes of 1992), relating to water. http://www.leginfo.ca:goxLpub/bill/asnVab_2501-2550/ab_2544_bill_20000517_status.html AB 2544 Assembly Bill - History Page 1 of 1 COMPLETE BILL HISTORY BILL NUMBER : A.B. No. 2544 AUTHOR : Calderon TOPIC San Gabriel Basin Water Quality Authority Act. TYPE OF BILL Active Non-Urgency Non.-Appropriations Majority Vote Required State-Mandated Local Program Fiscal Non-Tax Levy BILL HISTORY - 2000 May 17 Read second time and amended. May 16 From committee: Amend, do pass as amended, and re-refer to Corn. on APPR. (Ayes 9. Noes 0.) (May 9). _ May 8 Re-referred to Com. on E.S. & T.M. May 4 Referred to Com. on E.S. & T.M. From committee chair, with author's amendments: Amend, and re-refer to Com. on E.S. & T.M. Read second time and amended. Apr. 4 Read second time. To third reading. - Feb. 26 From printer. May be heard in committee March 27. Feb. 24 Read first time. To print. n ://~,Panfa.Ieginfo.;a.gov/pubibill/asm/ab_2501-2550/ab_2544_bill_20000517_history.html05/18/2000 AMENDED IN ASSEMBLY MAY 17, 2000 AMENDED IN ASSEMBLY MAY 4, 2000 CALIFORNIA LEGISLATURE-1999-2000 REGULAR SESSION ASSEMBLY BILL Introduced by Assembly Member Calderon February 24, 2000 No. 2544 An act to amend Sections 607 and 706 of, and to add Section 607.1 to, the San Gabriel Basin Water Quality Authority Act (Chapter 776 of the Statutes of 1992), relating to water. LEGISLATIVE COUNSEL'S DIGEST AB 2544, as amended, Calderon. San Gabriel Basin Water Quality Authority Act. (1) The San Gabriel Basin Water Quality Authority. Act authorizes the San Gabriel Water Quality Authority to plan, finance, and implement groundwater remediation -activities, as prescribed. The act authorizes the authority to impose an annual pumping right assessment to carry out certain activities, as prescribed, and authorizes the authority to exempt a producer from all or part of those assessments for water pumped and treated from a contaminated well under specified conditions. The act provides that the act shall remain in effect only until July 1, 2002. This bill would require the authority to exempt a producer from all or part of the assessment for water pumped and treated from a contaminated well or wells, if the producer provides the authority with a specified statement, signed 97 AB 2544 -2- under penalty of perjury. Because this would expand the scope of an existing crime, the bill would impose a state-mandated local program. The bill would impose certain reporting duties on producers who are subject to the exemption and would require producers to pay the authority the applicable assessment, as specified, if the water quantity is less than specified in the statement. The bill would require the authority to reduce the total amount of assessment adopted by an amount equal to moneys received from any federal, state, or governmental agency or from any person or entity pursuant to legal action or proposed legal action. (2) Existing law requires the Los Angeles Regional Water Quality Control Board to receive reimbursement from the authority upon the repeal of the act (July 1, 2002) for actual costs incurred related to the disposition of property and assets of the authority. The proceeds that remain are to be transferred to the Treasurer- for deposit in the Hazardous Substanees Substance Cleanup Fund for use in financing groundwater contamination investigations and remediations in the basin. This bill would provide that the Los Angeles regional board shall be deemed to be the successor agency for the purposes of receiving funds or property that the authority 97 -3- AB 2544 ' is authorized by law to receive. The bill would provide that the highest priority for the funds deposited in the Hazardous Substance Cleanup Fund shall be to treat water that is a potential source of drinking water for the purposes of meeting drinking water standards. (3) 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. The ` alifomia ^anstit •tie- the state te reimburse leeal b stafewide easts eed $1,000,090. This bill would pfevide that with f:egafd to eertain. mandates no feimbursefnent is required by this aet for a fied feasatt. With i!egafd to anyothef mandates, this bill would provide that, if e-Gemmissien-en State Mandates Bete nines the bill so fnandated by the State- feimbufsefnent faf these eests shall be made pafsuant to the - vote: --majority. Appropriation: no. Fiscal committee: -yes.- - State-mandated local program: yes. The people of the State of California do enact as follows: I SECTION 1. Section 607 of the San Gabriel Basin 2 Water Quality Authority Act (Chapter 776 of the Statutes 3 of 1992) is amended to read: _ 4 Sec. 607. (a) The authority shall exempt a producer 5 from all or part of the annual pumping right assessment 6 established pursuant to Section 605 for water pumped 7 and treated from a contaminated well or wells if, prior to 8 the date the producer is otherwise required to pay the 9 pumping right assessment, the producer provides the 97 AB 2544 -4- I authority with a statement, under penalty of perjury, 2 certifying all of the following: 3 (1) That the producer operates a public water system 4 located within the boundaries of the authority. 5 (2) As part of that public water system, the producer 6 plans to pump and treat water from a contaminated well 7 or wells located within one or more of the operable units 8 identified in the authority's basinwide plan adopted 9 pursuant to Section 406. 10 (3) The quantity of water the producer plans to pump 11 and treat from the well or wells, during the ensuing fiscal 12 year. 13 (4) That the water to be pumped and treated from the 14 well or wells will be treated to meet all applicable safe 15 drinking water standards in accordance with the 16 requirements of the State Department of Health Services 17 and any other entity having jurisdiction. 18 (b) The amount of the exemption shall equal the 19 quantity specified pursuant to paragraph (3) of 20 subdivision (a) multiplied by the assessment rate per 21 acre-foot of prescriptive pumping right adopted pursuant 22 to Sections 605 and 606. 23 (c) Within 60 days after the end of the fiscal year for 24 which the exemption applies, the producer shall report to 25 the authority the quantity of water pumped and treated 26 from the well or wells. If that is less than the quantity -----27 --specified--pursuant- to- paragraph--(3)- of subdivision- -(a), 28 the producer shall pay the authority the applicable 29 assessment based on the amount of the difference. 30 SEC. 2. Section 607.1 is added to the San Gabriel Basin 31 Water Quality Authority Act (Chapter 776 of the Statutes 32 of 1992), to read: .33 - Sec. 607.1. The authority shall reduce the total 34 amount of assessment adopted pursuant to Section 606 by 35 an amount equal to moneys received from any federal, 36 state, or govemmental agency or from any person or 37 entity pursuant to legal action or proposed legal action, 38 as described in Section 407. 97 F 5- AB 2544 1 SEC. 3. Section 706 of the San Gabriel Basin Water 2 Quality Authority Act (Chapter 776 of the Statutes of 3 1992) is amended to read: 4 Sec. 706. (a) Except as provided in this section, this 5 act shall remain in effect only until July 1, 2002, and as of 6 that date is repealed, unless a later enacted statute, which 7 is enacted before July 1, 2002, deletes or extends that date. 8 (b) Upon the repeal of this act, the assets and debts of 9 the authority shall be administered as follows: 10 (1) The Los Angeles Regional Water Quality Control 11 Board shall be deemed to be the successor. agency of the 12 authority for the purposes of receiving any funds or 13 property that the authority is authorized by law to 14 receive from any federal, state, or other governmental 15 agency or from any person or entity pursuant to legal 16 action or proposed legal action, as described in Section 17 407. The regional board shall conduct public hearings to 18 receive recommendations with regard to the 19 expenditure of those funds. 20 (2) The Los Angeles Regional Water Quality Control 21 Board shall dispose of the property and assets as 22 appropriate. The Los Angeles Regional Water Quality 23 Control Board shall receive reimbursement as fellows! 24 (A) Fer for the actual costs incurred related to the 25 disposition of the property and assets. 26 27 28 29 legal 30 aetion, as desefi ed in Seetion 407 31 The cost recovery shall be from the proceeds of the 32 disposition pursuant to this section. The proceeds, if any, 33 shall be transferred to the Treasurer to be applied to pay 34 the debts of the authority and, if_ any proceeds remain, 35 shall be transferred to the Treasurer for deposit in the San 36 Gabriel Valley Basin Eleanep Fufld to w a a 37 and disbursed in aeeerdanee with theme- of the 38 39 40 in the basin for bene`ieift' us-e deposit in the Hazardous 97 AB 2544 -6 1 Substance Cleanup Fund. The highest priority for the 2 expenditure of funds deposited in the Hazardous 3 Substance Cleanup Fund pursuant to this subdivision 4 shall be to treat water that is a potential source of drinking 5 water for the purposes of meeting drinking water 6 standards. Preference shall be given in the disposition of 7 assets of the authority to transfers to producers who may 8 be able to use the assets for the benefit of water 9 distribution systems and to provide for continued 10 operation and maintenance of the assets in order to 11 further the purposes of this act. 12 (2) The Treasurer shall administer the payment of 13 debts of the authority. The Treasurer shall apply the 14 proceeds from the disposition of assets to the payment of 15 the debts. If debts remain after application of the 16 proceeds from disposition of assets, the Treasurer may 17 continue to collect, in lieu of the authority, the pumping 18 right assessments authorized under either (A) Section 19 602 if the debt relates to administrative costs or (B) 20 Section 605 if the debt is to repay warrants, notes, bonds, 21 and other evidences of indebtedness, or both, to make 22 payments pursuant to leases or installment sale 23 agreements in connection - with certificates of 24 participation, to pay for operation and maintenance costs 25 of facilities, and to make payments pursuant to any other 26 financial obligations. All provisions set forth in Article 6 27- -(commencing- with-Section 601)relating -to the-levy and 28 collection of the pumping right assessments are not 29 repealed and shall continue in effect until the debts of the 30 authority are paid, as determined by the Treasurer, who 31 shall notify the Secretary of State. Upon receipt by the 32 Secretary of State of the Treasurer's notice, Article 6 33 (commencing with Section 601) is repealed. The 34 Treasurer's authority to levy and collect assessments 35 under this act is-limited according to the provisions of this 36 act and shall cease when all debts of the authority have 37 been paid. 38 39 purpose of deteffiiinitig the use of Rinds deposited -in the 97 -7- AB 2544 ' 1 2 San Gabfiel Valley Basin Gea ftep Fund. The advisafy 3 4 5 distfiets. 6 7 BasinWatefm G Th aster. 9ffi E ti f th L A l 8 9 ( ) e Regional Wat Th d i eef xeeu ye ef Quality Centre! Be M i o e es nge es ffE17 b h ll b i t d 10 e a v s afy eenw ss en fne ffi ers s a e appo n e 11 12 13 14 15 16 17 f .t:... ..1:_:_..t, 1 n f e 8 19 20 2 1 .:A.:., h l:,... 6 f S i g f A..ti VTTT D ,.V L6 l 1 22 23 t e m C-Edifafnia H - ee , o ean n . ifh 4 S t e o e e E 17610 th 24 owever , G t snatng =1e w s if th G - d G ee ten e e - , State M : i d t 2 eveennen e aff r e, e an ss e a es 5 26 27- f . dist`i t th h ll b t' . - q _7 t- t P d 2 af e s s a ese as e o fL ffla e pufsuaft 8 29 f th 2 G e TF " t E d th f •~-e t t id t e o e i f l e. e yefnffle - i bu t l e s o a ew e ees t 6 illi 30 m ef e a ees e m Lsemen eftem no exeee en 31 32 33 34 35 36 37 38 39 40 the State Man SEC. 4. - pursuant to Constitution by a local because this eliminates a for a crime 17556 of the dates m'aim' Fund No reimbursement is required by this act Section 6 of Article XIII B of the California because the only costs that may be incurred agency or school district will be incurred act creates a new crime or infraction, crime or infraction, or changes the penalty or infraction, within the meaning of Section Government Code, or changes the definition 97 AB 2544 -8- I of a crime within the meaning of Section 6 of Article 2 XIII B of the California Constitution. 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