agenda communications and legislative liaison …jun 08, 2017 · recommendation: adopt resolution...

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AGENDA COMMUNICATIONS AND LEGISLATIVE LIAISON COMMITTEE MEETING

WITH BOARD OF DIRECTORS* ORANGE COUNTY WATER DISTRICT

18700 Ward Street, Fountain Valley, CA (714) 378-3200 Thursday, June 8, 2017, 8:00 a.m. - Conference Room C-2

*The OCWD Communications and Legislative Liaison Committee meeting is noticed as a joint

meeting with the Board of Directors for the purpose of strict compliance with the Brown Act and it provides an opportunity for all Directors to hear presentations and participate in discussions. Directors receive no additional compensation or stipend as a result of simultaneously convening this meeting. Items recommended for approval at this meeting will be placed on the June 21, 2017 Board meeting Agenda for approval.

ROLL CALL

ITEMS RECEIVED TOO LATE TO BE AGENDIZED RECOMMENDATION: Adopt resolution determining need to take immediate action on item(s)

and that the need for action came to the attention of the District subsequent to the posting of the Agenda (requires two-thirds vote of the Board members present, or, if less than two-thirds of the members are present, a unanimous vote of those members present.)

VISITOR PARTICIPATION Time has been reserved at this point in the agenda for persons wishing to comment for up to three minutes to the Board of Directors on any item that is not listed on the agenda, but within the subject matter jurisdiction of the District. By law, the Board of Directors is prohibited from taking action on such public comments. As appropriate, matters raised in these public comments will be referred to District staff or placed on the agenda of an upcoming Board meeting. At this time, members of the public may also offer public comment for up to three minutes on any item on the Consent Calendar. While members of the public may not remove an item from the Consent Calendar for separate discussion, a Director may do so at the request of a member of the public. CONSENT CALENDAR (ITEM NO. 1) All matters on the Consent Calendar are to be approved by one motion, without separate discussion on these items, unless a Board member or District staff request that specific items be removed from the Consent Calendar for separate consideration.

1. MINUTES OF COMMUNICATIONS AND LEGISLATIVE LIAISON COMMITTEE

MEETING HELD MAY 4, 2017

RECOMMENDATION: Approve minutes as presented

END OF CONSENT CALENDAR

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MATTERS FOR CONSIDERATION 2. STATE LEGISLATIVE UPDATE

RECOMMENDATION: Agendize for June 21 Board meeting: Authorize transmittal of letter to the State Water Resources Control Board requesting the State issue enough revenue bonds to support all projects with complete applications through the Clean Water State Revolving Fund program

3. FEDERAL LEGISLATIVE UPDATE

RECOMMENDATION: Agendize for June 21 Board meeting: Take action as appropriate

INFORMATIONAL ITEMS 4. PUBLIC AFFAIRS OUTREACH REPORT (MAY 2017) CHAIR DIRECTION AS TO WHICH ITEMS IF ANY TO BE AGENDIZED AS A MATTER

FOR CONSIDERATION AT THE JUNE 21 BOARD MEETING DIRECTOR’S ANNOUNCEMENTS/REPORTS GENERAL MANAGER’S ANNOUNCEMENT/REPORT ADJOURNMENT

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COMMUNICATION AND LEGISLATIVE LIAISON COMMITTEE MEMBERS Philip Anthony - Chair Vicente Sarmiento - Vice Chair Shawn Dewane Cathy Green Steve Sheldon Roger Yoh - Alternate 1 James Vanderbilt - Alternate 2 Bruce Whitaker - Alternate 3 Dina Nguyen - Alternate 4 Denis Bilodeau - Alternate 5

Agenda Posting: In accordance with the requirements of California Government Code Section 54954.2, this agenda is posted in the window of the guard shack at the main entrance of the Orange County Water District, 18700 Ward Street, Fountain Valley, CA and on the OCWD website: www.ocwd.com not less than 72 hours prior to the meeting date and time above. All written materials relating to each agenda item are available for public inspection in the office of the Assistant District Secretary. Backup material for the Agenda is available at the District offices for public review and can be viewed online at the District’s website: www.ocwd.com. Accommodations to the Disabled: Pursuant to the Americans with Disabilities Act, persons with a disability who require a disability-related modification or accommodation in order to participate in a meeting, including auxiliary aids or services, may request such modification or accommodation from the District Secretary at (714) 378-3233, by email at [email protected] by fax at (714) 378-3373. Notification 24 hours prior to the meeting will enable District staff to make reasonable arrangements to assure accessibility to the meeting. Availability of Agenda Material: As a general rule, agenda reports or other written documentation that has been prepared or organized with respect to each item of business listed on the agenda can be reviewed at www.ocwd.com. Copies of these materials and other disclosable public records distributed to all or a majority of the members of the Board of Directors in connection with an Open Session agenda item are also on file with and available for inspection at the Office of the District Secretary, 18700 Ward Street, Fountain Valley, California, during regular business hours, 8:00 a.m. to 5:00 p.m., Monday through Friday. If such writings are distributed to members of the Board of Directors on the day of a Board meeting, the writings will be available at the entrance to the Board of Directors meeting room at the Orange County Water District office.

http://www.ocwd.com/

http://www.ocwd.com/

mailto:[email protected]

MINUTES OF BOARD OF DIRECTORS MEETING WITH COMMUNICATIONS AND LEGISLATIVE LIAISON COMMITTEE

ORANGE COUNTY WATER DISTRICT May 4, 2017 @ 8:00 a.m.

Director Anthony called the Communications and Legislative Liaison Committee meeting to order in Conference Room C-2 at the District office. The Assistant District Secretary called the roll and reported a quorum as follows: Committee Members OCWD Staff Philip Anthony Mike Wehner - Assistant General Manager Vicente Sarmiento (absent) Eleanor Torres – Director of Public Affairs Shawn Dewane Christina Fuller- Assistant District Secretary Cathy Green Steve Sheldon Alternates Roger Yoh James Vanderbilt (absent) Bruce Whitaker (absent) Dina Nguyen Denis Bilodeau (absent) CONSENT CALENDAR The Consent Calendar was approved upon motion by Director Green, seconded by Director Dewane and carried [5-0] as follows. [Yes –Anthony, Dewane, Green, Sheldon, Nguyen /No – 0 1. Minutes of Previous Meeting The minutes of the April 6, 2017 Communications/Legislative Liaison Committee meeting are approved as presented. Director Yoh arrived at 8:05 a.m. during the following discussion. MATTERS FOR CONSIDERATION 2. State Legislative Update OCWD’s state legislative consultants, Edelstein, Gilbert, Robson, and Smith and Joe A. Gonsalves and Son provided a verbal update on the state legislative calendar, legislation of interest to the District, and their monthly activities on behalf of the District. District state legislative consultant Don Gilbert of Edelstein Gilbert Robson & Smith provided an update on AB 1668, AB 1669 and AB 1427. After a brief discussion of the legislative bills, the Committee took the following action: Upon motion by Director Dewane, seconded by Director Yoh and carried [5-0], the Committee recommended that the Board at its May 24 Board meeting: Adopt the following positions:

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Item Position

AB 1668 (Friedman) Governor Budget Trailer Bill –Water Management Planning

Oppose

AB 1669 (Friedman) Governor Budget Trailer Bill – Water Conservation Standards and Use Reporting

Oppose

AB 1427 (Eggman) Water: Underground Storage as a beneficial use

Amend Oppose unless amended

[Yes –Anthony, Dewane, Green, Sheldon, Yoh /No – 0] 3. Federal Legislative Update

Federal consultants James McConnell, Eric Sapirstein, and Holland and Knight provided a summary of funding opportunities and the status of state revolving funds for upcoming OCWD capital improvement infrastructure funding opportunities. 4. Dedication of Burris Basin Pump Station Director of Public Affairs Eleanor Torres stated that staff is seeking direction on dedication plans for the Burris Basin Pump Station. Ms. Torres requested committee feedback on selecting a date for the event and direction on the guest list. After a brief discussion, the committee took the following action. Upon motion by Director Green, seconded by Director Yoh and carried [5-0], the Committee recommended that the Board at its May 24 Board meeting: 1) Select July 20, 2017 for the Dedication of the Burris Basin Pump Station; and 2) Provide direction on guest list: State elected officials, local elected officials-mayors and city council, water producers and OCWD executive management. . [Yes –Anthony, Green, Sheldon, Yoh, Nguyen /No – 0] 5. 2017 Groundwater Adventure Tour Ms. Torres stated the 2017 Groundwater Adventure Tour will take place Thursday, October 26 from 8:00 a.m. to 4:30 p.m. She noted that registration will open in the fall and approximately 150 guests attend the event each year. 6. Public Affairs Outreach Report (March/April) There was no verbal report on this item. ITEMS TO BE AGENDIZED ON CONSENT CALENDAR AT THE MAY 24 BOARD MEETING The Committee recommended Item Nos. 2 and 4 be agendized on the Consent Calendar at the May 24 Board meeting. ADJOURNMENT There being no further business to come before the Committee, the meeting was adjourned at 8:45 a.m. ____________________________________ Philip Anthony, Chair

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AGENDA ITEM SUBMITTAL Meeting Date: June 8, 2017 Budgeted: N/A Budgeted Amount: N/A To: Communications/Leg. Liaison Cte Cost Estimate: N/A Board of Directors Funding Source: N/A Program/Line Item No.: N/A From: Mike Markus General Counsel Approval: N/A Engineers/Feasibility Report: N/A Staff Contact: E. Torres/A. Dunkin CEQA Compliance: N/A POLICY ISSUE: STATE LEGISLATIVE UPDATE SUMMARY The Orange County Water District (OCWD; the District) consultants Joe A. Gonsalves & Son and Edelstein, Gilbert, Robson & Smith will provide a report on the grants and loans applied for this year, research of opportunities for funding OCWD projects, upcoming funding opportunities/recommended actions, and legislation of interest to the district. Attachment(s)

• Joe A. Gonsalves & Son, Edelstein Gilbert Robson & Smith May 2017 Report • OCWD Bill Report May 2017

RECOMMENDATION Agendize for June 21 Board meeting: Authorize transmittal of letter to the State Water Resources Control Board requesting the State issue enough revenue bonds to support all projects with complete applications through the Clean Water State Revolving Fund program. BACKGROUND ANAYSIS Below is a summary of actions related to securing state funding to support OCWD projects.

Goal Action Taken Action/Recommendation Advocate for policies to gain funding for the Groundwater Replenishment System (GWRS) Final Phase. -State Revolving Fund. -Grant Authorization and Appropriation.

-Supported SB 5 (De Leon); OCWD wrote a letter and consultants testified on the District’s behalf. -Researched SRF funding options through the State Water

- Continue supporting SB 5 (De Leon) and specifically the provisions providing additional grant funding for water reuse projects - Leverage SRF funding through the State Water Resources Control Board ACTION: OCWD send a letter to the State Board requesting the state issue

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Resources Control Board (State Board). Current funding is not sufficient to support GWRS)

enough revenue bonds to support all projects with complete applications through the Clean Water State Revolving Fund program; coordinate efforts with the WateReuse Association.

Gain grant funding and Governor’s support for groundwater cleanup projects.

-Met with CalEPA and Assemblymember Quirk-Sliva regarding the EPA’s letter to list the North Basin cleanup project

- Schedule a meeting with the Governor’s staff and the Orange County delegation to update them on the topic.

Gain grant funding for desalination.

-Researched options to increase the cap of $5 million on desalination projects. Current funding in Proposition 1 cannot be changed per Proposition 50 reference; however, SB 5(DeLeon) may provide an opportunity for additional desalination grants -CalDesal has coordinated a work group to advocate for Desalination funding to be included in SB 5

-OCWD and consultants continue to work with other organizations to advocate for desalination funding to be included in SB 5 and other legislation

OCWD’s state legislative consultants, Edelstein, Gilbert, Robson, and Smith and Joe A. Gonsalves and Son will provide a verbal update on the grants and loans applied for this year, research of opportunities for funding OCWD projects, upcoming funding opportunities/recommended actions, and legislation of interest to the District. May Legislative Activities

May 9-12 Director Green and Alicia Dunkin attended the ACWA Spring Conference in Monterey

May 19 Alicia Dunkin and Jason Ikerd participated in the ACWA State Legislative

Committee meeting May 25 Mike Marks and OCWD’s consultants met with Assemblymember Quirk-Silva

and CalEPA regarding groundwater cleanup on the North Basin

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TO: ORANGE COUNTY WATER DISTRICT

FROM: JOE A. GONSALVES & SON EDELSTEIN, GILBERT, ROBSON AND SMITH

SUBJECT: LEGISLATIVE UPDATE

DATE: FRIDAY, MAY 26, 2017

__________________________________________________________________________________

During the month of May, the Legislative focus has shifted toward the May Revision of the Governor’s Proposed Budget. This includes water, an extension of the cap & trade program that is currently set to expire in 2020, and Senate President Pro Tem De León’s push for a 100% renewable RPS. Conference Committees will gear up to finalize the budget differences between the two houses in an effort to reach the June 15 constitutional deadline to adopt a budget. Only the main budget bill must be adopted by June 15, 2017. All budget trailer bills have until the end of session to be adopted. Additionally, last Friday was the deadline for fiscal bills to pass the Appropriations Committees in their respective houses. All of the conservation bills were in the Assembly Appropriations Committee. As you know, these bills are basically broken into two categories; those dealing with setting conservation standards, and those dealing with urban water management planning. Ultimately, both of the main conservation standards bills, both AB 968 (Rubio) and AB 1669 (Friedman), were held in the Appropriations Committee and died. Their urban water management counter parts, AB 1654 (Rubio) and AB 1668 (Friedman), both passed. The only conservation standards bill that did pass was AB 1323 (Weber). You will recall that AB 1323 simply requires DWR to convene a task force to develop and recommend adoption of water use efficiency targets. AB 869 (Rubio), which gives full credit for recycled water under any conservation standards, passed out of Assembly Appropriations earlier this month and is also pending on the Assembly Floor. The water district sponsored bills that have continued to move help to provide water districts with political leverage on the issues. We spoke with the Speaker’s staff about the outcome after the hearing last week. Their view is that holding both the Friedman and Rubio conservation standard bills will give time for negotiations with stakeholders to continue, while moving the Weber bill means that there is some sort of backstop should the Legislature fail to adopt something. They went so

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far as to say that conversations could continue into 2018 with no further action from the Legislature in 2017. In the meantime, on behalf of OCWD we have participated in two stakeholder negotiation sessions in the Governor’s Office. Those sessions have generally gone fairly well. After the most recent session the Administration committed to coming out with revised language that will, hopefully, incorporate stakeholder positions in various areas including credit for recycled water. In short, negotiations are ongoing and it is too early to tell where the final language will end up. We will continue to stay closely engaged on the issue moving forward and will keep you apprised of further developments. Desal Earlier this month we talked with Ron Davis, lobbyist for CalDesal, about the potential for Proposition 1 Desal funding. We subsequently participated in a CalDesal meeting which was focused on this issue. CalDesal is working to increase the $5 million per project grant cap which, according to CalDesal, was inadvertently written into the desal provisions in Proposition 1. CalDesal is working with DWR to increase the cap and is also developing a legislative advocacy approach to this objective. We are now engaged with CalDesal to achieve this funding objective. SB 5 SB 5 continues to provide funding opportunities for OCWD. However, the funding in SB 5 has been reduced a bit and has been narrowed. There was previously $375 million available for the IRWM program. That funding was recently eliminated from the bond. The previous version of the bond also had $375 million available for each of the following programs: State Revolving Fund program, recycled water and advanced treatment technology projects, and groundwater contamination cleanup projects. While the current bill continues to fund these programs, the amount of funding has been reduced to the following:

• $170 million for the State Revolving Fund program • $165 million for recycled water and advanced treatment technology projects • $165 million for groundwater cleanup

SB 5 is expected to pass off of the Senate Floor this week and will move to the Assembly for more consideration. We will continue to support SB 5 on behalf of OCWD. State Revolving Fund The State Water Board is dealing with the oversubscription to the State Revolving Fund (SRF) program in part by issuing revenue bonds. They issued $1.2 billion in 2016 and are

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looking to issue an additional $1 billion or so in 2017 to cover all projects with complete or pending funding agreements. Unfortunately, the Groundwater Replenishment System (GWRS) does not fall in this category. It is in the category of "complete application review pending." Our understanding is that if the State Board was to leverage itself further it could provide funding sooner for projects in this category as well. The State Board may resist as they seem to be more inclined to spread out the revenue bonds more so they can make more disbursements over the next several years rather than front-loading in the short term. There are a number of options for lobbying this issue as an individual agency and in concert with WateReuse and others. We will continue to work with OCWD staff to do so. Should you have any questions or concerns, please feel free to contact our offices.

Orange County Water District Status Report

Tuesday, May 30, 2017

AB 18

(Garcia, Eduardo D) California Clean Water, Climate, Coastal Protection, and Outdoor Access For All Act of 2018.

Current Text: Amended: 2/23/2017 Text

Introduced: 12/5/2016

Last Amend: 2/23/2017

Status: 3/20/2017-Read third time. Urgency clause adopted. Passed. Ordered to the Senate. In Senate. Read first time. To Com. on RLS. for assignment.

Location: 3/20/2017-S. DESK

Summary: Would enact the California Clean Water, Climate, Coastal Protection, and Outdoor Access For All Act of 2018, which, if approved by the voters, would authorize the issuance of bonds in an amount of $3,105,000,000 pursuant to the State General Obligation Bond Law to finance a clean water, climate, coastal protection, and outdoor access for all program. This bill contains other related provisions.

Position

Watch

AB 46 (Cooper D) Employers: wage discrimination.

Current Text: Introduced: 12/5/2016 Text


Status: 5/11/2017-Read second time. Ordered to third reading.

Location: 5/11/2017-A. THIRD READING

Calendar: 5/30/2017 #256 ASSEMBLY THIRD READING FILE - ASSEMBLY BILLS

Summary: Under current law, an employer or other person who violates or causes a violation of that prohibition, or who reduces the wages of any employee in order to comply with that prohibition, is guilty of a misdemeanor. This bill would define “employer” for those purposes to include public and private employers. The bill would specify that a public employer is not subject to the misdemeanor provision.

Position

Watch

AB 166 (Salas D) Safe drinking water: household filtration systems: rebate program.




Status: 5/26/2017-From committee: Do pass. (Ayes 17. Noes 0.) (May 26). Read second time. Ordered to third reading.



Summary: Would require the State Water Resources Control Board, in collaboration with specified entities, to conduct a study on the feasibility and financial stability of a rebate program that would provide a household that is served by a water system that does not meet primary drinking water standards with a rebate for the purchase of a household water filtration system. The bill would also require the study to include any recommendations for the Legislature to implement the rebate program. The bill would require the state board to conclude the study no later than January 1, 2019, and to submit a report on the study to the Legislature no later than March 1, 2019.

Position

Watch

AB 176 (Salas D) Water project: Friant-Kern Canal.



Status: 5/26/2017-In committee: Held under submission.

Location: 5/26/2017-A. APPR.

Summary: Current law requires the Department of Water Resources, upon appropriation by the Legislature, to provide funding for a project that substantially conforms to the project description for the Reverse Flow Pump-back Facilities on the Friant-Kern Canal Restoration Project, as specified, provided that certain conditions are met. Current law requires that the appropriation be no more than $7,000,000.This bill would appropriate $7,000,000 from the General Fund to the department for this project. This bill contains other related provisions.

Position

Watch

AB 196

(Bigelow R) Greenhouse Gas Reduction Fund: water supply and wastewater systems.







Summary: Current law requires moneys from the Greenhouse Gas Reduction Fund to be allocated for the purpose of reducing greenhouse gas emissions in this state and satisfying other purposes. Current law authorizes specified investments, including water use and supply, if the investment furthers the regulatory purposes of the California Global Warming Solutions Act of 2006 and is consistent with law. This bill would authorize the use of the moneys in the fund for electric pump efficiency, water and wastewater systems, pump and pump motor efficiency improvements, and drinking water transmission and distribution systems’ water loss if the investment furthers the regulatory purposes of the act and is consistent with law.

Position

Watch

AB 272 (Gipson D) Southeast Los Angeles County Drinking Water Relief Act.




Status: 4/28/2017-Failed Deadline pursuant to Rule 61(a)(2). (Last location was W.,P. & W. on 4/5/2017)(May be acted upon Jan 2018)

Location: 4/28/2017-A. 2 YEAR

Summary: The California Safe Drinking Water Act provides for the operation of public water systems and imposes on the State Water Resources Control Board various responsibilities and duties. This bill, the Southeast Los Angeles County Drinking Water Relief Act, would authorize the department and the state board to condition the awardance of financial assistance to an urban water supplier in southeast Los Angeles County that does not have adequate technical, managerial, and financial capacity for a water infrastructure project on the participation of a public water agency that has sufficient technical, managerial, and financial capacity to complete and operate the project.

Position

Watch

AB 277 (Mathis R) Water and Wastewater Loan and Grant Program.







Summary: Would, to the extent funding is made available, authorize the State Water Resources Control Board to establish the Water and Wastewater Loan and Grant Program to provide funding to eligible applicants for specified purposes relating to drinking water and wastewater treatment. This bill would authorize a county or qualified nonprofit organization to apply to the board for a grant to award loans or grants, or both, to an eligible applicant. The bill would authorize the board to use a funding source that is authorized for and consistent with the purposes of the program.

Position

Watch

AB 281 (Salas D) Labor Code Private Attorneys General Act of 2004: right to cure.




Status: 5/12/2017-Failed Deadline pursuant to Rule 61(a)(3). (Last location was L. & E. on 2/13/2017)(May be acted upon Jan 2018)


Summary: The Labor Code Private Attorneys General Act of 2004 authorizes an aggrieved employee who complies with specified notice and filing requirements to bring a civil action to recover specified civil penalties that would otherwise be assessed and collected by the Labor and Workforce Development Agency (agency). The act provides an employer a right to cure violations under the act, except for certain specified violations, including health and safety violations, before the aggrieved employee may bring a civil action. This bill would extend the period of time in which the employer may cure the violation from 33 to 65

calendar days.

Position

Watch

AB 313 (Gray D) Water.







Summary: Current law authorizes the State Water Resources Control Board to adopt an order setting administrative civil liability based on the allegations set forth in the complaint without a hearing, unless a written request for a hearing signed by, or on behalf of, the party served with the complaint is delivered to or received by mail by the board within 20 days after receipt of the complaint. This bill, commencing July 1, 2018, would establish a Water Rights Division within the Office of Administrative Hearings, as prescribed.

Position

Watch

AB 321 (Mathis R) Groundwater sustainability agencies.




Status: 5/18/2017-Referred to Com. on N.R. & W.

Location: 5/18/2017-S. N.R. & W.

Summary: Sustainable Groundwater Management Act requires a groundwater sustainability agency to consider the interests of all beneficial uses and users of groundwater, as well as those responsible for implementing groundwater sustainability plans, including, among other interests, holders of overlying groundwater rights, including agricultural users and domestic well owners. This bill would specifically include farmers, ranchers, and dairy professionals in the agricultural users whose interests a groundwater sustainability agency is required to consider.

Position

Watch

AB 339 (Mathis R) State Water Pollution Cleanup and Abatement Account.







Summary: The Porter-Cologne Water Quality Control Act creates the State Water Pollution Cleanup and Abatement Account in the State Water Quality Control Fund and continuously

appropriates moneys in the account to the state board for the purposes of cleaning up waste or abating its effects on state waters. Existing law, until July 1, 2018, authorizes the state board to pay these moneys from the account to, among others, a community water system that services a disadvantaged community to be used to assist in addressing urgent drinking water need, among other purposes. This bill would limit the above-described payments to grants, and would delete the July 1, 2018, sunset date. By extending the term of an existing appropriation, this bill would make an appropriation.

Position

Watch

AB 355 (Chu D) Water pollution: enforcement.




Status: 5/18/2017-Referred to Com. on EQ.

Location: 5/18/2017-S. E.Q.

Calendar: 6/7/2017 9:30 a.m. - Room 3191 SENATE ENVIRONMENTAL QUALITY, WIECKOWSKI, Chair

Summary: Current law permits the State Water Resources Control Board or regional board, in lieu of assessing all or a portion of the mandatory minimum penalties against a publicly owned treatment works serving a small community, as defined, to elect to require the publicly owned treatment works to spend an equivalent amount towards completion of a compliance project proposed by the publicly owned treatment works if the state board or regional board makes certain findings. Current law, for these purposes, defines "a publicly owned treatment works serving a small community." This bill, for purposes of the exception, would instead define publicly owned treatment works serving a small community as a publicly owned treatment works serving a population of 20,000 persons or fewer or a rural county, with a financial hardship.

Position

Watch

AB 429 (Grayson D) State water policy: water rights: use and transferability.



Status: 5/12/2017-Failed Deadline pursuant to Rule 61(a)(3). (Last location was PRINT on 2/13/2017)(May be acted upon Jan 2018)


Summary: Current law declares that the growing water needs of the state require the use of water in an efficient manner and that the efficient use of water requires certainty in the definition of property rights to the use of water and transferability of those rights. This bill would make nonsubstantive changes to those declarations.

Position

Watch Closely

AB 464 (Gallagher R) Local government reorganization.




Status: 5/24/2017-Referred to Com. on GOV. & F.

Location: 5/24/2017-S. GOV. & F.

Summary: Under the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000, current law requires that an applicant seeking a change of organization or reorganization submit a plan for providing services within the affected territory that includes, among other requirements, an enumeration and description of the services to be extended to the affected territory and an indication of when those services can feasibly be extended. This bill would specify that the plan is required to also include specific information regarding services currently provided to the affected territory, as applicable, and make related changes.

Position

Watch

AB 472

(Frazier D) Water transfers: idled agricultural land: wildlife, waterfowl, and bird nesting habitat.







Summary: Current law requires landowners to be encouraged, when agricultural lands are being idled in order to provide water for transfer and an amount of water is determined to be made available by that idling, to cultivate or retain nonirrigated cover crops or natural vegetation to provide waterfowl, upland game bird, and other wildlife habitat. This bill would require the department to allow nonirrigated cover crops or natural vegetation to remain on idled agricultural lands, without penalty to the landowner, unless it determines, based on peer-reviewed scientific studies or other credible scientific evidence, that an injury to another legal user of water would occur as a result of allowing those crops or vegetation to remain on those lands.

Position

Watch

AB 474 (Garcia, Eduardo D) Hazardous waste: spent brine solutions.






Summary: Current law exempts from certain requirements of the Hazardous Waste Control Law wastes from the extraction, beneficiation, or processing of ores and minerals that are not subject to regulation under the federal Resource Conservation and Recovery Act of 1976, including spent brine solutions used to produce geothermal energy that meet specified requirements. This bill would exempt spent brine solutions that are byproducts of the treatment of groundwater to meet California drinking water standards from those same requirements if certain conditions are met, including that the spent brine solutions are transferred for dewatering via a closed piping system to lined surface impoundments

regulated by the California regional water quality control boards.

Position

Watch

AB 554 (Cunningham R) Desalination: statewide goal.





Location: 5/26/2017-A. APPR.

Summary: The Cobey-Porter Saline Water Conversion Law provides that is it the intention of the Legislature that the Department of Water Resources undertake to find economic and efficient methods of desalting saline water so that desalted water may be made available to help meet the growing water requirements of the state. This bill would establish a goal to desalinate 300,000 acre-feet of drinking water per year by the year 2025 and 500,000 acre-feet of drinking water per year by the year 2030.

Position

Support

AB 560

(Salas D) Safe Drinking Water State Revolving Fund: project financing: severely disadvantaged communities.




Status: 5/25/2017-Read second time. Ordered to Consent Calendar.

Location: 5/25/2017-A. CONSENT CALENDAR

Calendar: 5/30/2017 #454 ASSEMBLY CONSENT CALENDAR 2ND DAY-ASSEMBLY BILLS

Summary: Would, to the extent permitted by federal law, authorize the State Water Resources Control Board to provide grant funding, and principal forgiveness and 0 percent financing on loans, from the Safe Drinking Water State Revolving Fund to a project for a water system with a service area that qualifies as a severely disadvantaged community if the water system demonstrates that repaying a Safe Drinking Water State Revolving Fund loan with interest would result in unaffordable water rates, as defined.

Position

Watch

AB 567

(Quirk-Silva D) School facilities: drinking water fountains: spigot for filling water bottles.




Status: 4/28/2017-Failed Deadline pursuant to Rule 61(a)(2). (Last location was ED. on 2/27/2017)(May be acted upon Jan 2018)


Summary: Would require a school district, on or after July 1, 2018, to ensure that every drinking water fountain at each school under its jurisdiction is equipped with both a water

fountain and a spigot, or a combination water fountain and spigot, for filling water bottles. Because the bill would impose new duties on local educational agencies, the bill would impose a state-mandated local program.

Position

Watch

AB 570 (Gonzalez Fletcher D) Workers’ compensation: permanent disability apportionment.



Status: 5/26/2017-From committee: Do pass. (Ayes 13. Noes 3.) (May 26).

Location: 5/26/2017-A. APPR. SUSPENSE FILE

Calendar: 5/30/2017 #37 ASSEMBLY SECOND READING FILE -- ASSEMBLY BILLS

Summary: Current law requires apportionment of permanent disability to be based on causation, and a physician who prepares a report addressing the issue of permanent disability due to a claimed industrial injury is required to address the issue of causation of the permanent disability. Current law requires the physician to make an apportionment determination by finding the approximate percentage of the permanent disability that was caused by the direct result of injury arising out of and occurring in the course of employment, and the approximate percentage of the permanent disability that was caused by other factors both before and subsequent to the industrial injury, including prior industrial injuries. This bill would prohibit apportionment, in the case of a physical injury occurring on or after January 1, 2018, from being based on pregnancy, childbirth, or other medical conditions related to pregnancy or childbirth.

Position

Watch

AB 574 (Quirk D) Potable reuse.







Summary: Current law required the State Department of Public Health to develop and adopt uniform water recycling criteria for surface water augmentation, as defined, by December 31, 2016, if a specified expert panel found that the criteria would adequately protect public health health. Current law defined the terms “direct potable reuse,” “indirect potable reuse for groundwater recharge,” and “surface water augmentation” for these purposes. This bill would remove certain references to “direct potable reuse,” “indirect potable reuse for groundwater recharge,” and “surface water augmentation,” and would instead specify the four different types of potable reuse projects as “groundwater augmentation,” “reservoir augmentation,” “raw water augmentation,” and “treated drinking water augmentation.”

Position

Support

AB 577 (Caballero D) Disadvantaged communities.




Status: 4/28/2017-Failed Deadline pursuant to Rule 61(a)(2). (Last location was E.S. & T.M. on 2/27/2017)(May be acted upon Jan 2018)


Summary: Current law defines a disadvantaged community as a community with an annual median household income that is less than 80% of the statewide annual median household income for various purposes, that include, but are not limited to, the Water Quality, Supply, and Infrastructure Improvement Act of 2014, eligibility for certain entities to apply for funds from the State Water Pollution Cleanup and Abatement Account, and authorization for a community revitalization and investment authority to carry out a community revitalization plan. This bill would expand the definition of a disadvantaged community to include a community with an annual per capita income that is less than 80% of the statewide annual per capita income.

Position

Watch

AB 594

(Irwin D) Water supply planning: California Environmental Quality Act: photovoltaic or wind energy generation facility.





Summary: Current law requires a city or county that determines that a project, as defined, is subject to the California Environmental Quality Act to identify any public water system that may supply water for the project and to request those public water systems to prepare a specified water supply assessment. If no public water system is identified, the city or county is required to prepare the water supply assessment. Current law, until January 1, 2018, exempts from the definition of “project” a proposed photovoltaic or wind energy generation facility that would demand no more than 75 acre-feet of water annually. This bill would indefinitely exempt from the definition of “project” a proposed photovoltaic or wind energy generation facility that would demand no more than 50 acre-feet of water annually.

Position

Watch

AB 640 (Harper R) Recycled water: recycling criteria.





Summary: Current law, the Porter-Cologne Water Quality Control Act, requires the State Water Resources Control Board to establish uniform statewide recycling criteria for each varying type of use of recycled water if the use involves the protection of public health. The act defines recycling criteria to mean the levels of constituents of recycled water, and the means for assurance of reliability under the design concept that will result in recycled water that is safe for the uses to be made.This bill would make technical, nonsubstantive changes to that definition.

Position

Watch

AB 641 (Harper R) Water conservation and reclamation projects.





Summary: Current law, the Water Conservation Projects Act of 1985, declares that the intent of the act is to encourage local agencies and private enterprise to implement potential water conservation and reclamation projects by establishing a state program to finance or assist in financing projects that meet state criteria and will result in an additional supply of water for use in areas of need.This bill would make nonsubstantive changes in that provision.

Position

Watch

AB 642 (Harper R) Desalinated water.





Summary: The Cobey-Porter Saline Water Conversion Law declares that the growing water needs of the state require the development of cost-effective and efficient water supply technologies and that desalination technology is now feasible to help provide significant new water supplies from seawater, brackish water, and reclaimed water.This bill would declare the intent of the Legislature to enact subsequent legislation relating to desalination.

Position

Watch

AB 645 (Quirk D) Local government: organization: dissolution.



Status: 5/12/2017-Failed Deadline pursuant to Rule 61(a)(3). (Last location was L. GOV. on 3/2/2017)(May be acted upon Jan 2018)


Summary: Under current law, if a change of organization consists of a dissolution, the commission is required to order the dissolution subject to confirmation of voters if, among other things, the proposal was not initiated by the commission and if a subject agency has not objected to the proposal, the commission has found that, for an inhabited territory protests have been signed by either 25% of the number of landowners within the affected territory who own at least 25% of the assessed value of land within the territory or 25% of the voters entitled to vote as a result of residing or owning land within the affected territory. This bill would decrease that threshold to 10% of the number of landowners within the affected territory who own at least 25% of the assessed value of land within the territory or 10% of the voters entitled to vote as a result of residing or owning land within the affected territory.

Position

Watch

AB 793 (Frazier D) Sacramento-San Joaquin Delta: financing.






Summary: Would declare it to be state policy that the existing state of the Sacramento-San Joaquin Delta is recognized and defined as an integral component of California’s water infrastructure. The bill would state that the maintenance and repair of the Delta are eligible for the same forms of financing as other water collection and treatment infrastructure and would specify the maintenance and repair activities that are eligible are limited to certain cleanup and abatement-related restoration and conservation activities.

Position

Watch

AB 810

(Gallagher R) Local alternative transportation improvement program: Feather River crossing.






Summary: Would, with respect to planned state transportation facilities over the Feather River in the City of Yuba City and the Counties of Sutter and Yuba, which facilities are no longer planned to be constructed, authorize the affected local agencies, acting jointly with the transportation planning agency having jurisdiction, to develop and file with the California Transportation Commission a local alternative transportation improvement program that addresses transportation problems and opportunities in the area that was to be served by the canceled state facilities.

Position

Oppose

AB 851 (Caballero D) Local agency design-build projects.







Summary: Would authorize the Santa Clara Valley Water District to use the design-build procurement process as specified when contracting for the construction of a building or buildings and improvements directly related to the construction of a building or buildings. The

bill would also authorize the utilization of the design-build procurement process by the Santa Clara Valley Water District for the purposes of, among other things, flood protection improvements, habitat restorations or enhancements, and the retrofit, repair, or expansion of existing surface water facilities, upon approval by its governing body.

Position

Watch

AB 869 (Rubio D) Sustainable water use and demand reduction: recycled water.







Summary: Current law imposes various water use reduction requirements that apply to urban retail water suppliers, including a requirement that the state achieve a 20% reduction in urban per capita water use by December 31, 2020. This bill would require recycled water delivered within the service area of an urban retail water supplier or its urban wholesale water supplier for either nonpotable or potable use or that replenishes a groundwater basin and supplements the groundwater supply available to an urban retail water supplier be excluded from the calculation of any urban water use target or reduction in urban per capita water use.

Position

Watch Closely

AB 885 (Rubio D) Pupil health: drinking water: lead.






Summary: Would require a community water system, as defined, to test, on or before July 1, 2019, and every year thereafter, for the presence of lead at a sample of water outlets used for drinking or cooking at each school, defined to include a public elementary school, a public secondary school, a public preschool located on public school property, and a public day care facility located on public school property, constructed before January 1, 1993, within the boundaries of the community water system.

Position

Watch

AB 947

(Gallagher R) Department of Fish and Wildlife: lake or streambed alteration agreements: definitions.




Status: 5/26/2017-In committee: Hearing postponed by committee.


Summary: Current law prohibits an entity from substantially diverting or obstructing the natural flow of, or substantially changing or using any material from the bed, channel, or bank of, any river, stream, or lake, or from depositing certain material where it may pass into any river, stream, or lake, without first notifying the Department of Fish and Wildlife of that activity, and entering into a lake or streambed alteration agreement if required by the department to protect fish and wildlife resources.This bill would define “river” and “stream” for purposes of these provisions.

Position

Watch

AB 967 (Gloria D) Human remains disposal: alkaline hydrolysis: licensure and regulation.




Status: 5/26/2017-From committee: Amend, and do pass as amended. (Ayes 14. Noes 1.) (May 26).



Summary: Would, commencing January 1, 2019, require the Cemetery and Funeral Bureau to license and regulate hydrolysis facilities, as defined, and hydrolysis facility managers, and would enact requirements applicable to hydrolysis facilities substantially similar to those applicable to crematoria. By expanding the definition of crimes relating to the disposition of human remains and creating new crimes, this bill would impose a state-mandated local program.

Position

Watch Closely

AB 968 (Rubio D) Urban water use: water efficiency.






Summary: Would require each urban retail water supplier to develop a water efficiency target, as defined, for 2025 in its 2020 urban water management plan required to be submitted by July 1, 2021, and to achieve that target. The bill would authorize an urban retail water supplier to adjust and update the water efficiency target, as appropriate, when the supplier reports its compliance in achieving the water efficiency targets and its implementation of the identified performance measures in its 2025 urban water management plan required to be submitted by July 1, 2026. The bill would require each urban retail water supplier to meet its adjusted 2025 water efficiency target by December 31, 2025, unless the supplier makes a certain report to the department.

Position

Support

AB 975 (Friedman D) Natural resources: wild and scenic rivers.




Status: 5/4/2017-Read third time and amended. Ordered to third reading.



Summary: Current law establishes that it is the policy of the state that certain rivers that possess extraordinary scenic, recreational, fishery, or wildlife values shall be preserved in their free-flowing state, together with their immediate environments, for the benefit and enjoyment of the people of the state. This bill would revise that policy to specify that certain rivers that possess scenic, recreational, fishery, wildlife, historical, cultural, geological, or other similar values shall be preserved in their free-flowing state, together with their immediate environments, for the benefit and enjoyment of the people of the state, and would revise the definition of “immediate environments,” and define the term “extraordinary value” for purposes of that policy.

Position

Watch

AB 1000 (Friedman D) Water conservation: certification.






Summary: Current law requires the State Energy Resources Conservation and Development Commission to establish minimum levels of operating efficiency to promote the use of energy and water efficient appliances. This bill would require the commission to certify innovative water conservation and water loss detection and control technologies that meet certain criteria.

Position

Watch

AB 1009

(Gallagher R) Sustainable groundwater management: groundwater sustainability agencies.





Summary: The Sustainable Groundwater Management Act generally authorizes any local agency or combination of local agencies overlying a basin to decide to become a groundwater sustainability agency for that basin. The act requires a groundwater sustainability agency to establish and maintain a list of persons interested in receiving notices regarding plan preparation, meeting announcements, and availability of draft plans, maps, and other relevant documents. This bill would make a nonsubstantive change in these provisions.

Position

Watch

AB 1017 (Santiago D) Collective bargaining agreements: arbitration: litigation.




Status: 5/22/2017-Read third time. Passed. Ordered to the Senate. In Senate. Read first time. To Com. on RLS. for assignment.


Summary: Current law, with regard to disputes concerning collective bargaining agreements for private employment, requires a court to award attorney’s fees to a prevailing party in an action to compel arbitration of the disputes unless the other party has raised substantial and credible issues involving complex or significant questions of law or fact regarding whether or not the dispute is arbitrable. Current law also creates, in this context, a right to attorney’s fees for a prevailing party in a court action to compel compliance with the decision or award of an arbitrator or grievance panel regarding the disputes, or for a prevailing appellee in the appeal of the decision of an arbitrator regarding the disputes, unless the other party or appellant, respectively, has raised substantial issues involving complex or significant questions of law. This bill would apply these provisions to public employment.

Position

Watch

AB 1133 (Dahle R) California Endangered Species Act: experimental populations.







Summary: Would provide that a person who obtains a federal enhancement of survival permit that authorizes the take of endangered or threatened species that is also listed as endangered, threatened, or candidate under CESA, in order to establish or maintain an experimental population of the species pursuant to FESA, requires no further authorization or approval under CESA for that person to take that species as identified in, and in accordance with, the enhancement of survival permit, if specified requirements are met. These provisions would remain in effect only until the effective date of an amendment to FESA that alters the requirements for issuing an enhancement of survival permit.

Position

Watch

AB 1145

(Quirk D) Conversion of existing overhead electric and communication facilities to underground locations: cable operators.




Status: 5/26/2017-Read third time. Passed. Ordered to the Senate. In Senate. Read first time. To Com. on RLS. for assignment.


Summary: The Improvement Act of 1911 authorizes the initiation of special assessment

proceedings for the conversion of overhead electric and communication facilities to underground locations upon either the filing of a petition or a determination by the local legislative body that the city or a public utility has voluntarily agreed to pay over 50% of all costs of conversion, excluding costs of users’ connections to underground electric or communications facilities. Current law authorizes an agreement entered into as part of those proceedings to allocate duties between a city and an electricity or communication provider regarding the planning and specifications of, and contributions of labor, materials, and money to, the conversion of those electric and communication facilities to underground locations. This bill would additionally make these provisions applicable to cable television facilities and a cable operator and, where overhead electric or communications facilities that are to be converted to underground are owned by a city or municipal government, would require the legislative body initiating the conversion proceeding to reimburse the costs incurred by a cable operator for relocation

Position

Watch

AB 1235 (Daly D) Santa Ana River Conservancy Program.






Summary: Current law establishes the State Coastal Conservancy with prescribed powers and responsibilities for implementing and administering various programs intended to preserve, protect, and restore the state's coastal areas. Current law also establishes the Santa Ana River Conservancy Program, to be administered by the conservancy, for purposes related to the implementation of projects to restore, preserve, and enhance specified lands in the Santa Ana River region, as defined.This bill would appropriate the sum of $20,000,000 from the General Fund to the conservancy to be expended for the purposes of the program.

Position

Watch

AB 1277 (Daly D) Dentistry: Dental Board of California: regulations.




Status: 5/24/2017-Referred to Com. on B., P. & E.D.

Location: 5/24/2017-S. B., P. & E.D.

Summary: Would require the Dental Board of California to amend regulations on the minimum standards for infection control to require water or other methods used for irrigation to be sterile or contain recognized disinfecting or antibacterial properties when performing dental procedures that expose dental pulp. The bill, until December 31, 2018, would deem the adoption and readoption of the regulation an emergency and would exempt the board from describing facts showing the need for immediate action and from review by the Office of Administrative Law.

Position

Support

AB 1323 (Weber D) Sustainable water use and demand reduction: stakeholder workgroup.






Summary: Would require the Department of Water Resources to convene a stakeholder workgroup with prescribed representatives invited to participate, including, among others, representatives of the department and the State Water Resources Control Board, no later than February 1, 2018. The bill would require the stakeholder workgroup to develop, evaluate, and recommend proposals for establishing new water use targets for urban water suppliers and to examine and report to the Governor and the Legislature by December 31, 2018, as specified.

Position

Watch Closely

AB 1328 (Limón D) Oil and gas: wells.







Summary: Would require the owner or operator of an oil or gas well to disclose quarterly to the Division of Oil, Gas, and Geothermal Resources, in a format determined by the division, specified information relating to chemical constituents injected or added to the well. The bill would authorize the division, the State Water Resources Control Board, or the applicable regional water quality control board to request from the owner or operator of a well additional data or chemical analyses of chemical constituents disclosed pursuant to these provisions to enhance the entity’s injection fluid analysis or to determine the potential consequences of that chemical constituent for the environment and human health.

Position

Watch

AB 1369 (Gray D) Water quality and storage.





Summary: Current law requires all moneys, except for fines and penalties, collected by the State Air Resources Board from the auction or sale of allowances as part of a market-based compliance mechanism relative to reduction of greenhouse gas emissions to be deposited in the Greenhouse Gas Reduction Fund. This bill would require the Department of Water Resources to increase statewide water storage capacity by 25% by January 1, 2025, and 50% by January 1, 2050, as specified.

Position

Watch

AB 1427 (Eggman D) Water: underground storage.






Summary: Current law provides for the reversion of water rights to which a person is entitled when the person fails to beneficially use the water for a period of 5 years. Current law declares that the storing of water underground, and related diversions for that purpose, constitute a beneficial use of water if the stored water is thereafter applied to the beneficial purposes for which the appropriation for storage was made. This bill would revise the above declaration to additionally provide that certain uses of stored water while underground constitute beneficial use.

Position

Oppose

AB 1438

(Committee on Environmental Safety and Toxic Materials) State Water Resources Control Board: environmental laboratories: public water systems: certificates and permits: procedures.



Status: 5/18/2017-Referred to Coms. on EQ. and JUD.

Location: 5/18/2017-S. E.Q.

Calendar: 6/7/2017 9:30 a.m. - Room 3191 SENATE ENVIRONMENTAL QUALITY, WIECKOWSKI, Chair

Summary: The Environmental Laboratory Accreditation Act authorizes the State Water Resources Control Board to adopt regulations to establish reporting requirements, establish the accreditation procedures, recognize the accreditation of laboratories located outside California, and collect laboratory accreditation fees. Current law authorizes the state board to implement these provisions by entering and inspecting laboratories for these purposes, as specified. Current law makes it a crime to interfere with the state board with regard to those inspection provisions.This bill would revise and recast those provisions.

Position

Watch

AB 1455 (Bocanegra D) The California Public Records Act: exemptions.







Summary: The California Public Records Act requires state and local agencies to make their records available for public inspection, unless an exemption from disclosure applies. Current law exempts from disclosure specific records of state agencies related to activities

governed by the Dills Act, the State Excluded Employees Bill of Rights, and the Higher Education Employer-Employee Relations Act. This bill would also exempt from disclosure specific records of local agencies related to activities governed by the Meyers-Milias-Brown Act.

Position

Watch

AB 1490 (Gray D) State Water Resources Control Board: school drinking water.






Summary: Would require the State Water Resources Control Board, no later than July 1, 2018, to prepare and submit to the Legislature a report evaluating potential adverse impacts resulting from the implementation of the Bay-Delta Water Quality Control Plan on the quality and supply of drinking water provided to schools in disadvantaged communities, as defined, in the state, including a summary describing any measures that may be implemented to address any adverse impacts identified in the report.

Position

Watch

AB 1529

(Thurmond D) Cross-connection or backflow prevention device inspectors: certification.







Summary: Would require valid and current certifications for cross-connection inspection and testing or backflow prevention device inspection, testing, and maintenance that were determined by the State Department of Public Health to demonstrate competency before January 1, 2016, to be approved California-specific certifications either until the State Water Resources Control Board promulgates regulations for cross-connection inspection and testing and backflow prevention device inspection, testing, and maintenance, or until January 1, 2020, whichever comes first.

Position

Watch

AB 1587 (Levine D) Invasive species: dreissenid mussels.







Summary: Would require the Director of Fish and Wildlife, upon lifting a closure, quarantine, or restriction on a reservoir as specified where dreissenid mussels have been detected, to order the entity that owns or manages the reservoir to implement a dreissenid mussel control program to prevent the spread of dreissenid mussels within the state from conveyances exiting the reservoir. The bill would authorize the Division of Boating and Waterways to award grants from funds generated from the quagga and zebra mussel prevention infestation fee to those entities required by the director to implement a dreissenid mussel control program for the reasonable regulatory costs to implement the program.

Position

Watch

AB 1605 (Caballero D) Maximum contaminant level: nitrate: replacement water.




Status: 5/1/2017-Re-referred to Com. on JUD.

Location: 5/1/2017-A. JUD.

Summary: The California Safe Drinking Water Act, requires the state board to administer provisions relating to the regulation of drinking water to protect public health and vests with the state board specified responsibilities. This bill would prohibit a person or entity providing replacement water, as defined, to address drinking water that exceeds the maximum contaminant level for nitrate in groundwater from being deemed to have caused pollution or a nuisance, or from being liable for negligence or trespass, if certain conditions are met.

Position

Watch

AB 1654 (Rubio D) Water shortage: urban water management planning.







Summary: Would require each urban retail water supplier to report annually by June 15 to the Department of Water Resources the status of its water supplies for that year and whether the supplies will be adequate to meet projected customer demand, as prescribed. The bill would require the urban retail water supplier to implement the appropriate responses as described in its water shortage contingency analysis if the urban retail water supplier reports that all available water supplies for the applicable water year will not be adequate to meet projected customer demand.

Position

Support

AB 1667 (Friedman D) Agricultural water management planning.







Summary: Current law requires an agricultural water supplier to prepare and adopt an agricultural water management plan with specified components on or before December 31, 2012, and to update that plan on December 31, 2015, and on or before December 31 every 5 years thereafter. This bill would revise the components of the plan and additionally require the agricultural water management plan to quantify measures to increase agricultural water use efficiency, describe the agricultural water supplier’s water management strategy with specified elements, and include a drought plan describing the actions of the agricultural water supplier for drought preparedness and management of water supplies and allocations during drought conditions.

Position

Watch Closely

AB 1668 (Friedman D) Water management planning.




Status: 5/26/2017-From committee: Do pass. (Ayes 11. Noes 6.) (May 26).



Summary: Current law, the Urban Water Management Planning Act, requires every public and private urban water supplier that directly or indirectly provides water for municipal purposes to prepare and adopt an urban water management plan and to update its plan once every 5 years on or before December 31 in years ending in 5 and zero, except as specified. This bill would require an urban water management plan to be updated on or before July 1, in years ending in 6 and one, incorporating updated and new information from the 5 years preceding the plan update.

Position

Oppose

AB 1669 (Friedman D) Urban water conservation standards and use reporting.






Summary: Would require the State Water Resources Control Board, in consultation with the Department of Water Resources, to adopt long-term standards for urban water conservation and water use by May 20, 2021. The bill would authorize the board, in consultation with the department, to adopt interim standards for urban water conservation and water use by emergency regulation. The bill would require the board, before adopting an emergency regulation, to provide at least 60 days for the public to review and comment on the proposed regulation and would require the board to hold a public hearing.

Position

Oppose

AB 1671 (Caballero D) Backflow protection and cross-connection controls: regulations.







Summary: Would, on or before January 1, 2020, would require the state board to update its backflow protection and cross-connection control regulations. This bill contains other existing laws.

Position

Watch

SB 5

(De León D) California Drought, Water, Parks, Climate, Coastal Protection, and Outdoor Access For All Act of 2018.




Status: 5/26/2017-From committee: Do pass as amended. (Ayes 5. Noes 2.) (May 25). Read second time and amended. Ordered to third reading.

Location: 5/26/2017-S. THIRD READING

Calendar: 5/30/2017 #224 SENATE SEN THIRD READING FILE - SEN BILLS

Summary: Would enact the California Drought, Water, Parks, Climate, Coastal Protection, and Outdoor Access For All Act of 2018, which, if approved by the voters, would authorize the issuance of bonds in an amount of $3,500,000,000 pursuant to the State General Obligation Bond Law to finance a drought, water, parks, climate, coastal protection, and outdoor access for all program. This bill contains other related provisions.

Position

Support

SB 49

(De León D) California Environmental, Public Health, and Workers Defense Act of 2017.







Summary: The Porter-Cologne Water Quality Control Act regulates the discharge of pollutants into the waters of the state. The California Safe Drinking Water Act establishes standards for drinking water and regulates drinking water systems. The California Endangered Species Act requires the Fish and Game Commission to establish a list of endangered species and a list of threatened species and generally prohibits the taking of those species. The Protect California Air Act of 2003 prohibits air quality management districts and air pollution control districts from amending or revising their new source review

rules or regulations to be less stringent than those rules or regulations that existed on December 30, 2002. This bill would prohibit state or local agencies from amending or revising their rules and regulations implementing the above state laws to be less stringent than the baseline federal standards, as defined, and would require specified agencies to take prescribed actions to maintain and enforce certain requirements and standards pertaining to air, water, and protected species.

Position

Watch

SB 193

(Cannella R) Monterey County Water Resources Agency: Lake Nacimiento and Lake San Antonio: white bass.




Status: 5/12/2017-Failed Deadline pursuant to Rule 61(a)(3). (Last location was N.R. & W. on 3/23/2017)(May be acted upon Jan 2018)

Location: 5/12/2017-S. 2 YEAR

Summary: Current law makes it unlawful to place, plant, or cause to be placed or planted, in any of the waters of this state, any live fish, any fresh or salt water animal, or any aquatic plant, whether taken without or within the state, without first submitting it for inspection to, and securing the written permission of, the Department of Fish and Wildlife. Current law also makes it unlawful to transport or possess any live white bass, whether taken within or without the state, unless it is first submitted for inspection to, and written permission is obtained from, the department. This bill would exempt the movement of white bass between Lake Nacimiento and Lake San Antonio through the interlake underground tunnel or pipeline from the above-described provisions relating to fish and wildlife.

Position

Watch

SB 210 (Leyva D) Pupil health: drinking water.




Status: 5/26/2017-Read second time and amended. Ordered to third reading.



Summary: The California Safe Drinking Water Act, requires the State Water Resources Control Board to establish a grant program, in consultation with the State Department of Education, to award grants to local educational agencies for the purposes of improving access to, and the quality of, drinking water in public schools serving kindergarten or any of grades 1 to 12, inclusive, and preschools and child day care facilities located on public school property. The act requires the state board to give priority to certain projects. This bill would require priority be given to projects for schools that have tested their drinking water fixtures, and the results show that the drinking water either does not meet the United States Environmental Protection Agency drinking water standards for lead or is above the California maximum contaminant level for any other contaminant, as specified.

Position

Watch

SB 231 (Hertzberg D) Local government: fees and charges.




Status: 5/22/2017-Referred to Com. on L. GOV.

Location: 5/22/2017-A. L. GOV.

Calendar: 6/14/2017 1:30 p.m. - State Capitol, Room 447 ASSEMBLY LOCAL GOVERNMENT, AGUIAR-CURRY, Chair

Summary: Articles XIIIC and XIIID of the California Constitution generally require that assessments, fees, and charges be submitted to property owners for approval or rejection after the provision of written notice and the holding of a public hearing. Current law, the Proposition 218 Omnibus Implementation Act, prescribes specific procedures and parameters for local jurisdictions to comply with Articles XIIIC and XIIID of the California Constitution and defines terms for these purposes. This bill would define the term “sewer” for these purposes. The bill would also make findings and declarations relating to the definition of the term “sewer” for these purposes.

Position

Watch

SB 252 (Dodd D) Water wells.







Summary: Current provisions of the California Constitution declare the policy that the water resources of the state be put to beneficial use to the fullest extent of which they are capable, that the waste or unreasonable use or unreasonable method of use of water be prevented, and that the conservation of these waters is to be exercised with a view to the reasonable and beneficial use of the waters in the interest of the people and for the public welfare. Current law establishes various state water policies, including the policy that the use of water for domestic purposes is the highest use of water. This bill would require, in an action alleging liability for interference with a well, reasonableness of each party’s beneficial use of water to be determined through consideration of specified factors. This bill contains other related provisions and other existing laws.

Position

Watch

SB 373 (Cannella R) Public contracts: design-build: Stanislaus Regional Water Authority.




Status: 5/23/2017-In Assembly. Read first time. Held at Desk.

Location: 5/22/2017-A. DESK

Summary: Current law, until January 1, 2025, authorizes the Department of General Services, the Department of Corrections and Rehabilitation, and certain local agencies to use the design-build procurement process for specified public works. Current law defines a

“local agency” and a “project” for purposes of these provisions. This bill would modify those definitions to authorize the Stanislaus Regional Water Authority to use the design-build procurement process for its Regional Surface Water Supply Project.

Position

Watch

SB 418 (Hernandez D) Public works: public subsidies.



Status: 5/22/2017-Referred to Com. on L. & E.

Location: 5/22/2017-A. L. & E.

Calendar: 6/7/2017 1:30 p.m. - State Capitol, Room 447 ASSEMBLY LABOR AND EMPLOYMENT, THURMOND, Chair

Summary: Would provide that a public subsidy is de minimis if it is both less than $275,000, and less than 2% of the total project cost. The bill would specify that those provisions do not apply to a project that was advertised for bid, or a contract that was awarded, before July 1, 2018.

Position

Watch

SB 427 (Leyva D) Public water systems: community water systems: lead user service lines.




Status: 5/16/2017-Read second time. Ordered to third reading. Published May 15 at 9 p.m.



Summary: Current law requires, by July 1, 2018, a public water system to compile an inventory of known lead user service lines in use in its distribution system and identify areas that may have lead user service lines in use in its distribution system. This bill would apply the above-described provisions relating to lead user service lines to a community water system, instead of a public water system, and would require, by July 1, 2020, the community water system to provide a timeline for replacement of known lead user service lines in use in its distribution system to the State Water Resources Control Board.

Position

Watch

SB 448 (Wieckowski D) Local government: organization: districts.







Summary: Current law requires a report of an audit of a special district’s accounts and records made by a certified public accountant or public accountant to be filed with the

Controller and the county auditor of the county in which the special district is located within 12 months of the end of the fiscal year or years under examination. This bill would require that those audit reports also be filed with the local agency formation commission of either the county in which the special district is located or, if the special district is located in 2 or more counties, with each local agency formation commission within each county in which the district is located until January 1, 2027, and thereafter with the county containing the greatest percentage of the assessed value of taxable property in the district.

Position

Watch

SB 506

(Nielsen R) Department of Fish and Wildlife: lake or streambed alteration agreements: Internet Web site.




Status: 5/18/2017-Referred to Com. on W.,P., & W.

Location: 5/18/2017-A. W.,P. & W.

Summary: This bill would require the Department of Fish and Wildlife, on or before December 31, 2018, and periodically thereafter, to upgrade the information on its Internet Web site regarding lake or streambed alteration agreements, to update its Frequently Asked Questions' document and other appropriate sources of information regarding the lake and streambed alteration program, and to provide guidance on its Internet Web site to facilitate members of the public in obtaining individualized guidance regarding the lake and streambed alteration program, as specified.

Position

Watch

SB 541 (Allen D) School facilities: school facility water capture practices.







Summary: Would require the State Department of Education, the State Water Resources Control Board, the regional water quality control boards, and the Division of the State Architect within the Department of General Services, to consult and recommend best design and use practices that include school facility water capture practices that can generally be applied to all new, reconstructed, or altered public schools, including school grounds. The bill would require these recommendations to be reported to the Governor and the Legislature on or before January 1, 2019. The bill would define “school facility water capture practices” for these purposes.

Position

Watch

SB 564 (McGuire D) Joint powers authorities: Water Bill Savings Act.




Status: 5/26/2017-Referred to Com. on L. GOV.

Location: 5/26/2017-A. L. GOV.

Summary: Would enact the Water Bill Savings Act, which would authorize a joint powers authority to provide funding for a customer of a local agency or its publicly owned utility to acquire, install, or repair a water efficiency improvement on the customer’s property served by the local agency or its publicly owned utility. The bill would require the customer to repay the authority through an efficiency charge on the customer’s water bill to be established and collected by the local agency or its publicly owned utility on behalf of the authority pursuant to a servicing agreement.

Position

Watch

SB 623 (Monning D) Safe and Affordable Drinking Water Fund.







Summary: Would establish the Safe and Affordable Drinking Water Fund in the State Treasury and would provide that moneys in the fund are available, upon appropriation, to the State Water Resources Control Board. The bill would require the board to administer the fund and authorize the board to provide for the deposit of federal contributions and voluntary contributions, gifts, grants, or bequests. The bill would require the board to expend moneys in the fund for grants, loans, contracts, or services to assist those without access to safe and affordable drinking water consistent with a fund implementation plan adopted annually by the board, as prescribed.

Position

Watch

SB 667

(Atkins D) Department of Water Resources: riverine and riparian stewardship improvements.






Summary: Current law authorizes the Director of Water Resources to establish a program of flood control and urban creek restoration, known as the Urban Streams Restoration Program, consisting of the development of the capability by the Department of Water Resources to respond to requests from local agencies and organizations for planning and design assistance for efficient and effective urban creek protection, restoration, and enhancement. This bill, upon an appropriation of funds from the Legislature, would require the department to establish a program to implement watershed-based riverine and riparian stewardship improvements by providing technical and financial assistance in support of projects with certain benefits.

Position

Watch

SB 669

(Moorlach R) Sustainable groundwater management: adjudicated groundwater basins.



Status: 5/12/2017-Failed Deadline pursuant to Rule 61(a)(3). (Last location was RLS. on 2/17/2017)(May be acted upon Jan 2018)

Location: 5/12/2017-S. 2 YEAR

Summary: The Sustainable Groundwater Management Act, requires all groundwater basins designated as high- or medium-priority basins by the Department of Water Resources that are designated as basins subject to critical overdraft to be managed under a groundwater sustainability plan or coordinated groundwater sustainability plans by January 31, 2020, and requires all other basins designated as high- or medium-priority basins to be managed under a groundwater sustainability plan or coordinated groundwater sustainability plans by January 31, 2022, except as specified. Under current law, the provisions of the act do not apply to an adjudicated groundwater basin, as specified, or to a local agency that conforms to the requirements of an adjudication of water rights for an adjudicated groundwater basin. This bill would make a nonsubstantive change in these provisions.

Position

Sponsor

SB 701 (Hueso D) Salton Sea Obligations Act of 2018.







Summary: Would enact the Salton Sea Obligations Act of 2018, which, if approved by the voters, would authorize the issuance of bonds in the amount of $500,000,000 pursuant to the State General Obligation Bond Law to finance a program to comply with specified state obligations relating to the Salton Sea. This bill would provide for the submission of these provisions to the voters at the November 6, 2018, statewide general election.

Position

Watch

SB 740 (Wiener D) Onsite treated water.




Status: 5/25/2017-May 25 hearing: Held in committee and under submission.

Location: 5/25/2017-S. APPR. SUSPENSE FILE

Summary: Would, on or before December 1, 2018, require the State Water Resources Control Board, in consultation with other state agencies, to adopt regulations, consistent with federal and state law in effect on January 1, 2018, to provide comprehensive risk-based standards for local jurisdictions permitting programs for onsite recycling of water in multifamily residential, commercial, and mixed-use buildings for nonpotable use. The bill

would require the regulations to address specified issues and practices relating to the management, monitoring, and treatment of recycled water for nonpotable use.

Position

Watch

SB 778

(Hertzberg D) Water systems: consolidations: administrative and managerial services.







Summary: Would require, on or before March 1, 2018, the State Water Resources Control Board to track and publish on its Internet Web site an analysis of all voluntary and ordered consolidations of water systems, including publishing information on the resulting outcomes of the consolidations and whether the consolidations have succeeded or failed in providing an adequate supply of safe drinking water to the communities served by the consolidated water systems.

Position

Watch

SB 780 (Wiener D) Water Conservation in Landscaping Act.




Status: 5/25/2017-May 25 hearing: Held in committee and under submission.

Location: 5/25/2017-S. APPR. SUSPENSE FILE

Summary: Would authorize the Department of Resources Recycling and Recovery to promote the application of compost in urban areas of the state to assist with projects that follow the watershed approach to landscaping and, in coordination with the Department of Water Resources, to develop and implement pilot projects that support the understanding and deployment of compost to meet specified goals. The bill would also require the State Energy Resources Conservation and Development Commission, in coordination with the State Air Resources Board, to develop a greenhouse gas emissions reduction factor for new climate appropriate landscapes, as provided.

Position

Watch

SCA 4 (Hertzberg D) Water conservation.



Status: 2/16/2017-Referred to Com. on RLS.

Location: 2/2/2017-S. RLS.

Summary: The California Constitution requires that the water resources of the state be put to beneficial use to the fullest extent of which they are capable and that the waste or unreasonable use or unreasonable method of use of water be prevented.This measure

would declare the intent of the Legislature to amend the California Constitution to provide a program that would ensure that affordable water is available to all Californians and to ensure that water conservation is given a permanent role in California’s future.

Position

Watch

Total Measures: 79

Total Tracking Forms: 79

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AGENDA ITEM SUBMITTAL Meeting Date: June 8, 2017 Budgeted: N/A Budgeted Amount: N/A To: Communications/Leg. Liaison Cte Cost Estimate: N/A Board of Directors Funding Source: N/A Program/Line Item No.: N/A From: Mike Markus General Counsel Approval: N/A Engineers/Feasibility Report: N/A Staff Contact: E. Torres/A. Dunkin CEQA Compliance: N/A POLICY ISSUE: FEDERAL LEGISLATIVE UPDATE SUMMARY Orange County Water District (OCWD; the District) Directors, staff and federal consultants James McConnell, Eric Sapirstein and Holland and Knight will provide a summary of funding opportunities and the status of state revolving funds for upcoming OCWD capital improvement infrastructure funding opportunities. OCWD board members, staff and consultants will also discuss scheduling a subsequent visit to Washington D.C. Attachment(s):

• James McConnell May 2017 Report • Holland & Knight May 2017 Report • Holland & Knight Eyes on Washington (May 30, 2017) • ENS Resources May 2017 Report • Trump Administration 2018 Budget Summary - ENS Resources • H.R. 2510 Fact Sheet-The Water Quality Protection Job Creation Act – ENS

Resources • Coalition Letter on Municipal Bonds 2017

RECOMMENDATION Agendize for June 21 Board meeting: Take action as appropriate. BACKGROUND ANAYSIS Below is a summary of activities related to securing federal funding of OCWD projects.

Goal Action Taken Recommendation Trump initiatives: -Support increased water infrastructure funding for OCWD

-Consultants have been working with White House staff, key committee members and their staff, and the OC delegation to make sure the GWRS Final

-ACTION: No formal action needed at this time. The Trump Administration has not yet released infrastructure legislation.

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Capital Improvement Projects (CIP), including water recycling and desalination. -Secure grants from any emerging federal infrastructure legislation.

Expansion and Desalination funding is added to any upcoming infrastructure legislation

As part of the Trump Administration’s budget, an infrastructure outline was provided but an actual proposal will not be released for another month or two. (please see the attached “Trump Administration 2018 Budget Summary - ENS Resources”).

Secure federal funding for OCWD CIP, including GWRS final expansion, through new Title XVI program, WIFIA and/or WIIN.

-The US Bureau of Reclamation (USBR) has the GWRS Final Expansion on its list of projects to be submitted to Congress, and if approved, would allow the USBR to award funding to the project under the new competitive grants program (Title XVI) that was enacted as part of WIIN. -Consultants worked on WIFIA and H.R. 2520 draft legislation with members of Congress to ensure GWRS-like projects would be eligible. -OCWD staff submitted a letter of intent to apply for WIFIA funding. -Consultants gained letters of support from the OC delegation for the WIFIA application.

ACTION: No formal action needed at this time. -OCWD staff are working with USBR local staff in California and Colorado to determine what portions of the GWRS Final Expansion would qualify for competitive grant funding under the new competitive grants program. -OCWD staff will update the GWRS Final Expansion fact sheet once all the potential eligible project components are known for future advocacy.

Update the Clean Water State Revolving Fund (SRF) formula to reflect equitable allocation to CA. - Seek additional SRF funding. Although, if the program is proposed to be cut, advocate to increase or maintain the existing program

-H.R. 2510 (Napolitano) was supported by OCWD as it renews the Clean Water SRF program with $20 billion over five years and calls out the importance of supporting water recycling. (please see attached the H.R. 2510 fact sheet –ENS Resources) -Consultants have developed a National SRF coalition of key water districts and members of Congress that would benefit from an updated formula and are coordinating outreach and

ACTION: No formal action needed at this time. -OCWD staff to reach out to key water districts to gain support for SRF coalition. -Consultants provided OCWD with recommended water districts to call to join the SRF coalition. Consultants are working with their clients and members of Congress on outreach.

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developing talking points for advocacy. -Consultants met with OC delegation to gain their support for SRF and infrastructure funding.

Support municipal sector retention of tax exempt financing.

-OCWD signed onto a coalition letter. (see attached)

-No formal action needed at this time

RELEVANT STANDARDS

• Forge long-term, positive and proactive relationships with elected officials and policy makers.

• Keep abreast of federal funding opportunities and legislation that may impact OCWD, other water agencies and/or special districts.

DISCUSSION/ANALYSIS Updates from Federal Consultants James McConnell James McConnell will provide an update on the WIIN United States Act, and the Water Infrastructure Finance and Innovation Act (WIFIA) program.

The 2016 water resources development legislation, WIIN Act breathed new life into the USBR’s competitive grant program by establishing a successor to the Title XVI program. Solicitations for funding and the parameters for the new program will be developed during the remainder of 2017.

Funding for the Groundwater Replenishment System Final Expansion is possibly eligible under the WIIN Act if the Bureau accepts the expansion as a new project, and not merely the previously planned completion of the original project. Local USBR staff has indicated that half of the Final Expansion project could be considered for the new round of grant funding. Work is continuing within the USBR on the timetable and parameters of WINN-eligible projects.

Likewise, the Water Infrastructure Finance and Innovation Act (WIFIA) program office at The U.S. Environmental Protection Agency said this month they had received a total of 43 Letters of Interest (LOI) by the closing date of April 11. The letters are currently being reviewed by EPA staff. Eighteen LOI came from California, which was one of 20 different states represented in the submissions. There were ten combined water and wastewater projects (including seven water recycling and aquifer recharge projects).

Congress provided an additional $10 million ($8 million for loans, $2 million for administration) for the WIFIA program for the reminder of FY 2017 as part of the Omnibus appropriations legislation. The Continuing Resolution enacted in December

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2016 provided $20 million for the program, $17 million of which EPA will award to WIFIA projects solicited in round one that closed in May.

The President’s proposed FY 2018 budget recommends an additional $20 million in WIFIA, despite proposed cuts of 31 percent to EPA overall. In addition, the budget proposal calls for maintaining the State Revolving Loan Fund (SRF) program at the current $2.3 billion. Congress is likely to support the WIFIA and SRF funding requests, while opposing many of the other proposed cuts to the agency.

Holland & Knight Holland and Knight will discuss the funding and legislative provisions for OCWD’s federal priority programs that are included in the President's budget request, which is outlined below: Army Corps of Engineers: $5.002 billion; $1 billion less than FY 2017

• Operation and Maintenance: $3.1 billion; $49 million less than FY 2017 • Construction: $1.02 billion; $856 million less than FY 2017--this is the program

that the Prado Dam will receive funding from once it receives its Chief's Report from the Corps Army of Engineers

• Investigations: $86 million, $35 million less than FY 2017 EPA: $5.7 billion, a $2.6 billion or 31.4 percent, decrease from FY 2017 levels

• Clean Water SRF: $1.394 billion--same as FY 2017 • Drinking Water SRF: $863 million--same as FY 2017 • WIFIA: $20 million, a $10 million decrease from FY 2017 level

Bureau of Reclamation: $1.1 billion; $200 million decrease from FY 2017

• Water SMART Program: $59.1 million; an $8 million decrease from FY 2017 levels

o Water SMART grants: $23.365 million; $5.58 million decrease from FY 2017 levels

o WATERSMART Title XVI Water Reclamation & Reuse Program $21.5 million, $10.8 million decrease from FY 2017--this is the program that OCWD is pursuing for the GWRS project.

ENS Resources Eric Sapirsten will discuss the status and efforts to protect tax exempt financing and provide an update on the status of legislation related to Clean Water State Revolving Funds (SRF). The consideration to curtail the use of state and local tax exempt financing has been floated. However, more than 160 House Members oppose such curtailment or restriction on the use of tax-exempts. Given the significant opposition to this tax reform measure, it seems unlikely that changes in tax-exempt financing policy would occur and impact OCWD.

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Several actions occurred over the past month with impacts upon OCWD’s federal priority to ensure a robust federal commitment to water infrastructure programs. First, in the House, a bipartisan bill, H.R. 2510, was introduced to renew the Clean Water SRF program. The bill is notable for its authorization of $20 billion over five years to support water infrastructure needs. It also for the first time calls out the importance of supporting water recycling, providing for grants to support projects that commit to capturing storm flows for recycling purposes. Since the bill enjoys bipartisan sponsorship, the committee staff indicated that it may presage Committee on Transportation & Infrastructure action on a bill later in the year. In the Senate, the Committee on Environment and Public Works continue to establish a record on the appropriate role of the federal government in supporting infrastructure needs. In a hearing in May, the committee received recommendations from mayors and other stakeholders on the role that public private partnerships could play. Given the tone of the hearing, it appears that the committee remains open to such an approach to help bridge the funding gap, but support to maintain the SRF program remains strong. This seems to suggest that any federal infrastructure program that could be developed will retain the SRF program as a key element.

JAMES F. MCCONNELL

ATTORNEY-AT-LAW 1130 CONNECTICUT AVENUE, N.W.

SUITE 300 WASHINGTON, D.C. 20036

917-434-3603 [email protected]

ORANGE COUNTY WATER DISTRICT Washington Report

May 2017 Institutionally speaking, Washington grew more chaotic in May as each successive month of the new Trump Administration seems to generate controversies detracting from its agenda. The distractions are problematic for Congress which in the best of times has difficulty addressing more than one issue or crisis at a time. Nonetheless, Congress managed to finalize the Omnibus appropriations bill for the remaining five months of Fiscal Year 2017 at levels commensurate with the previous fiscal year for both the Corps of Engineers and the State Revolving Loan Fund (SRF) programs of the Environmental Protection Agency (EPA). In addition, the House of Representatives passed its version of Obamacare repeal and replacement—an item high on its must-do list. While the legislation is unlikely to be adopted by the Senate in anything like its House version, passage at least gets the issue out of the House so as to allow that half of Congress to address other issues. Next up on the congressional agenda will be the Fiscal Year 2018 budget. The Administration delivered a skeletal version of the budget last month, while submitting the full budget a few days before the start of the Memorial Day recess. While it promises draconian cuts to many federal programs, Congress is unlikely to adopt wholesale programmatic reductions. In the event, appropriations for FY 2018 will once again not be finalized by the October 1 start of the new federal fiscal year. As with FY 17, the Corps of Engineers and SRF programs will be amply funded by Congress regardless of funding cuts that might be proposed by the Administration. Two remaining big ticket legislative items up for consideration this year are tax reform and infrastructure spending. Whether Congress can actually address something as monumental as true tax reform in the current partisan and dysfunctional milieu is highly questionable. Infrastructure legislation, on the other hand, is much easier to envision. Secretary of Transportation Elaine Chao said in May that infrastructure legislation might be forthcoming from the Administration in the third quarter of calendar year 2017. While

mailto:[email protected]

infrastructure spending is usually conflated by the media to transportation matters, it more broadly includes water projects, as well. In a mid-May speech to the Chamber of Commerce of the U.S., Secretary Chao said that states and localities that have secured some funding and financing of their own for infrastructure work will be given higher priority access to federal funds under the Administration’s forthcoming plan. She said the goal is to use federal funding as an incentive to get projects underway and built more quickly, with greater participation by state, local and private partners. The idea is to have federal funds supplement, rather than replace, local investment as a way to boost total spending. The Trump plan will include $200 billion in direct federal funds used to leverage private capital for $1 trillion in infrastructure investment over ten years. At the same time, Secretary Chao’s husband, Senate Majority Leader Mitch McConnell (R-KY) said he wanted to see an infrastructure proposal that was “credible” and “paid for.” He said he was not interested in a $900 billion stimulus bill such as was enacted by Congress during the Great Recession.

Meanwhile, bipartisan infrastructure legislation was introduced this month in both the House and Senate in an attempt to jump start proposals from the Executive Branch. Senators Mark Warner (D-VA) and Roy Blunt (R-MO) led a bipartisan coalition of Senators in introducing legislation to establish a new infrastructure financing authority to help states and localities better leverage private funds to build and maintain the nation’s outdated infrastructure. The Building and Renewing Infrastructure for Development and Growth in Employment (BRIDGE) Act (S. 1168) would address the investment shortfall in maintaining and improving our transportation network, water and wastewater systems and energy infrastructure. The authors state that the “legislation would provide additional financing tools for states and localities to create new jobs while also increasing economic competitiveness.”

To help address this funding shortfall for transportation, water and energy infrastructure, the legislation would establish an independent, nonpartisan financing authority to complement existing infrastructure funding. The authority would provide loans and loan guarantees to help states and localities fund the most economically viable infrastructure projects. The authority would receive initial seed funding of up to $10 billion, which could incentivize private sector investment and make possible $300 billion or more in total project investment. The authority would be structured in a way to make it self-sustaining over time without requiring additional federal appropriations.

At the same time, on the House side of the Capitol, Ranking Member of the House Committee on Transportation and Infrastructure Peter DeFazio (D-OR), Vice Chair of the committee John Duncan (R-TN), and Ranking Member of the House Subcommittee on Water Resources and the Environment Grace Napolitano (D-El Monte) introduced bipartisan legislation that would help communities protect clean water and increase

investments to repair crumbling wastewater infrastructure systems through Clean Water State Revolving Funds (SRF). The Water Quality Protection and Job Creation Act of 2017” (H.R. 2510), invests $25 billion over five years in wastewater infrastructure and other efforts to improve water quality.

Title I of the bill—Water Quality Financing includes provisions to:

• Authorize $20 billion in federal grants over five years to capitalize Clean Water SRFs. These funds would provide low-interest loans and additional loan subsidizations (e.g., principal forgiveness and negative interest loans) to communities for wastewater infrastructure.

• Authorize $1.5 billion over five years for grants for state water pollution control agencies to implement State water pollution control programs.

• Provide $600 million over five years for Clean Water pilot programs (including federal technical assistance and/or grants) for watershed-based or system-wide efforts to address wet weather discharges, to promote stormwater best management practices, to undertake integrated water resource management, and to increase the resiliency of treatment works to natural or man-made disasters.

• Include economic incentives to encourage the adoption of energy- and water-efficient technologies and practices to maximize the potential for efficient water use, reuse, and conservation, and energy conservation, and realize the potential corresponding cost-savings for water treatment.

Title II of the legislation—Grants—would:

• Authorize $2.5 billion over five years for grants to address combined and sanitary sewer overflows and recapture and reuse of municipal stormwater under section 221 of the Clean Water Act.

• Authorize $375 million in grants over five years for alternative water source projects under section 220 of the Clean Water Act, including projects that reuse wastewater and stormwater to augment the existing sources of water.

Whether infrastructure legislation will actually move this year in Congress is still speculative. However, infrastructure projects funded through existing grant programs in 2017-2018 are a realistic possibility.

The 2016 water resources development legislation, WIIN (Water Infrastructure Improvement for the Nation) Act breathed new life into the Bureau of Reclamation’s competitive grant program by establishing a successor to the Title XVI program. Solicitations for funding and the parameters for the new program will be developed during the remainder of 2017.

Funding for the GWRS Final Expansion is possibly eligible under the WIIN Act if the Bureau accepts the expansion as a new project, and not merely the previously planned completion of the original project. Local Bureau staff in Temecula have indicated that half of the Final Expansion project could be considered for the new round of grant

https://www.congress.gov/bill/115th-congress/house-bill/2510

funding, assuming the expansion is a “new” project. Work is continuing within the Bureau on the timetable and parameters of WINN-eligible projects.

Likewise, the Water Infrastructure Finance and Innovation Act (WIFIA) program office at EPA said this month they had received a total of 43 Letters of Interest (LOI) by the closing date of April 11. The letters are currently being reviewed by EPA staff. Eighteen LOI came from California, which was one of 20 different states represented in the submissions. There were ten combined water and wastewater projects (including seven water recycling and aquifer recharge projects).

Congress provided an additional $10 million ($8 million for loans, $2 million for administration) for the WIFIA program for the reminder of FY 2017 as part of the Omnibus appropriations legislation. The Continuing Resolution enacted in December 2016 provided $20 million for the program, $17 million of which EPA will award to WIFIA projects solicited in round one that closed last month.

The President’s proposed FY 2018 budget recommends an additional $20 million in WIFIA, despite proposed cuts of 31 percent to EPA overall. In addition, the budget proposal calls for maintaining the State Revolving Loan Fund (SRF) program at the current $2.3 billion. Congress is likely to support the WIFIA and SRF funding requests, while opposing many of the other proposed cuts to the agency.

OCWD will plan a federal lobbying trip during the summer months to push for grant funding by Executive Branch agencies and to encourage Congress to address infrastructure legislation, in general, and water projects as part of it, in particular.

800 17

th Street, N.W., Suite 1100 | Washington, DC 20006 | T 202.955.3000 | F 202.955.5564

Holland & Knight LLP | www.hklaw.com

Orange County Water District

May 2017 Report

Congress Passes FY 2017 Omnibus Appropriations Bill: On May 1, Congress unveiled an

omnibus spending bill to fund the government through the end of the fiscal year on September

30, 2017. The $1.163 trillion package includes funding for the 11 FY 2017 appropriations bills

previously unfinished. Base discretionary funding provided by the package is $1.07 trillion. The

House passed the legislation on Wednesday, May 3, by a vote of 309 to 118. The Senate passed

the legislation on Thursday, May 4, by a bipartisan vote of 79 to 18, and the President signed it

into law on Friday, May 5.

Below is an outline of the funding and legislative provisions for Orange County Water District's

federal priority programs that are included in the omnibus appropriations package.

Army Corps of Engineers: $6.0348 billion, $49 million more than FY 2016 and $1.4 billion (31

percent) more pr than President Obama's budget request.

Investigations: $121 million, equal as FY 2016

Construction: $1.876 billion, $13.75 million more than FY 2016--this is the program that

the Prado Dam will receive funding from once it receives its Chief's report from the

Corps

Operation & Maintenance (O&M): $3.149 billion, $12 million more than FY 2016

Bureau of Reclamation: $1.3 billion

$24,000,000 for WATERSMART Grants: Recommends that grants funded under the

WATERSMART Program have a near-term impact on water conservation and improved

water management. Reclamation is urged to prioritize funding for projects in regions

most stricken by drought.

$34.406 million for WATERSMART Title XVI Water Reclamation & Reuse Program:

Of the funding provided for this program, $10,000,000 shall be for water recycling and

reuse projects as authorized in section 4009(c) of Public Law 114-322-- this is the

program that OCWD is pursuing for the GWRS project.

Environmental Protection Agency (EPA): $8.06 billion ($81.4 million decrease from FY

2016)

$1,393,887,000 for Clean Water State Revolving Fund (SRF), level with FY 2016

$863,233,000 for Drinking Water SRF, level with FY 2016

$10 million for new Water Infrastructure Finance and Innovation (WIFIA) program.

With previous funds from FY 2017 CR, will leverage more than $3 billion in new

infrastructure projects

President Introduces the FY 2018 Budget: On May 23, the Administration released its full

budget request for FY 2018, A New Foundation for American Greatness. The full FY 2018

budget proposal is based on the March 2017 “skinny” budget outline. The budget represents a

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$4.1 trillion spending plan, and projects $3.65 trillion in revenue collections in 2018. While the

congressional appropriations process will likely ignore and avoid many of the cuts contained in

the President’s request, the proposal serves as a reflection of the White House’s priorities and

could lead to negotiated cuts in some programs.

Echoing the skinny budget released earlier in March, the budget proposes a $54 billion increase

in base discretionary defense spending in 2018, offset by cuts in nondefense spending,

particularly in entitlement programs. The budget proposes to raise defense discretionary

spending every year, offsetting the cost with equivalent cuts to nondefense discretionary

spending. This includes investment in border security and immigration enforcement, such as

funding for a wall along the southern border.

Below is an outline of the funding and legislative provisions for Orange County Water District's

federal priority programs that are included in the President's budget request.

Army Corps of Engineers: $5.002 billion, $1 billion less than FY 2017

Operation and Maintenance : $3.1 billion, $49 million less than FY 2017

Construction: $1.02 billion, $856 million less than FY 2017--this is the program that the

Prado Dam will receive funding from once it receives its Chief's report from the Corps

Investigations: $86 million, $35 million less than FY 2017

EPA: $5.7 billion, a $2.6 billion or 31.4 percent, decrease from FY 2017 levels

Clean Water SRF: $1.394 billion--same as FY 2017

Drinking Water SRF: $863 million--same as FY 2017

WIFIA: $20 million, a $10 million decrease from FY 2017 level

Bureau of Reclamation: $1.1 billion, $200 million decrease from FY 2017

WaterSMART Program: $59.1 million, an $8 million decrease from FY 2017 levels

Water SMART grants: $23.365 million, $5.58 million decrease from FY 2017 levels

$21.5 million

WATERSMART Title XVI Water Reclamation & Reuse Program, $10.8 million

decrease from FY 2017--this is the program that OCWD is pursuing for the GWRS

project.

Holland & Knight Update: Scott Mason, senior policy advisor with Holland & Knight, is

speaking at the OCWD's summit in June. Mr. Mason was the liaison for the House of

Representatives for the Trump campaign.

Holland & Knight is working with the OCWD on creating a SRF coalition to advocate for

increased funding for the SRF program and to change the allocation. We have put together a list

of utilities/water agencies across the country that the OCWD has good working relationships

with and matched them with members of Congress who serve on the congressional committees

that have jurisdiction over the Clean Water SRF program. The next step is to hold a conference

call with these agencies and Mike Markus to discuss the coalition's lobbying strategy.

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In addition, Holland & Knight has had ongoing conversations with the White House in support

of the OCWD's GWRS project in the infrastructure package.

May 30, 2017

In This Issue:

FY 2018 Budget and Appropriations

Infrastructure Fact Sheet Outlined in Budget

CBO Scores GOP Healthcare Bill

Provisions on Sanctuary Jurisdictions in Budget

The Week Ahead

FY 2018 Budget and Appropriations

The Trump Administration released its full budget request for FY 2018 –

A New Foundation for American Greatness – on May 23, 2017. The full

FY 2018 budget proposal is based on the March 2017 "skinny" budget

outline. The budget represents a $4.1 trillion spending plan, and projects

$3.65 trillion in revenue collections in 2018. While the congressional

appropriations process will likely ignore and avoid many of the cuts

contained in the President Donald Trump's request, the proposal serves

as a reflection of the White House's priorities and could lead to negotiated

cuts in some programs.

Echoing the skinny budget, the budget proposes a $54 billion increase in

base discretionary defense spending in 2018, offset by cuts in nondefense

spending, particularly in entitlement programs. The budget proposes to

raise defense discretionary spending every year, offsetting the cost with

equivalent cuts to nondefense discretionary spending. This includes

investment in border security and immigration enforcement, such as

funding for a wall along the southern border. It also includes $250 billion in

savings from partially repealing and replacing the 2010 Affordable Care Act

(ACA), with $616 billion in cuts to Medicaid and the Children's Health

Insurance Program (CHIP). Other savings include $143 billion from changes

to the student loan program, $72 billion from programs for the disabled,

and $38 billion from agricultural subsidies.

Under the administration's spending plan, the deficit would drop to

$440 billion in 2018, rise to $526 billion in 2019, then fall again to

eventually become a $16 billion surplus in 2027. Based on current

spending, the Congressional Budget Office (CBO) projects the deficit

will fall to $487 billion in 2018, then rise to $1.4 trillion in 2027.

Rich Gold Practice Group Leader Public Policy & Regulation Group 202.457.7143 [email protected]

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EYES ON WASHINGTON

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Infrastructure Fact Sheet Outlined in Budget

New details have emerged regarding the administration's proposed infrastructure plan. Office of Management and

Budget (OMB) officials have said the plan, which would invest $1 trillion in infrastructure, will use $200 billion in

federal funds (included in the recently unveiled President's FY 2018 budget request) over a decade, to incentivize

state, local and private-sector financing for projects.

Although the details are scare, the infrastructure investment is referred to as an effort to "fix underlying

incentives, procedures, and policies to spur better, and more efficient, infrastructure decisions and outcomes,

across a range of sectors, including surface transportation, airports, waterways, ports, drinking and wastewater,

broadband and key Federal facilities." The budget also states that the $1 trillion target will be met with a

combination of new federal funding, incentivized non-federal funding and expedited projects. The administration

will continue working with stakeholders to finalize a proposal.

As part of the budget release, the administration also released a fact sheet outlining the principles for the

infrastructure initiative:

1. Make Targeted Federal Investments. Focusing Federal dollars on the most transformative

projects and processes stretches the use and benefit of taxpayer funds. When Federal funds are

provided, they should be awarded to projects that address problems that are a high priority from the

perspective of a region or the Nation, or projects that lead to long-term changes in how infrastructure

is designed, built, and maintained.

2. Encourage Self-Help. Many States, tribes, and localities have stopped waiting for Washington

to come to the rescue and have raised their own dedicated revenues for infrastructure. Localities are

better equipped to understand the right level – and type – of infrastructure investments needed for

their communities, and the Federal Government should support more communities moving toward

a model of independence.

3. Align Infrastructure Investment with Entities Best Suited to Provide Sustained and

Efficient Investment. The Federal Government provides services that non-Federal entities,

including the private sector, could deliver more efficiently. The Administration will look for

opportunities to appropriately divest from certain functions, which will provide better services

for citizens, and potentially generate budgetary savings. The Federal Government can also be more

efficient about disposing underused capital assets, ensuring those assets are put to their highest and

best use.

4. Leverage the Private Sector. The private sector can provide valuable benefits for the delivery

of infrastructure through better procurement methods, market discipline, and a long-term focus on

maintaining assets. While public-private partnerships will not be the solution to all infrastructure

needs, they can help advance the Nation's most important, regionally significant projects.

The fact sheet also includes a few transportation proposals:

Tolling on Interstates: The document says that, "Tolling is generally restricted on interstate highways.

This restriction prevents public and private investment in such facilities. We should reduce this

restriction and allow the States to assess their transportation needs and weigh the relative merits of

tolling assets." It is unclear whether the White House would remove the ban on tolling any roads built

with federal aid or whether they would expand the list of exemptions from the general toll ban.

Expand Transportation Infrastructure Finance and Innovation Act (TIFIA): The

administration proposed increasing the TIFIA credit assistance program to $1 billion per year,

and expanding the TIFIA eligibility criteria.

Expand Private Activity Bonds: The document says, "The Private Activity Bonds (PABs) program

allows the Department of Transportation to allocate authority to issue tax-exempt bonds on behalf of

private entities constructing highway and freight transfer facilities. PABs have been used to finance many

Public Private Partnerships (P3s) projects, along with TIFIA. As of August 15, 2016, nearly $11.2 billion

in PABs have been issued for 23 projects. The Administration recommends removing the $15 billion cap

under current law to ensure that future P3 projects can take advantage of this cost-saving tool, and

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encourage more project sponsors to take advantage of this tool. The Administration also supports the

expansion of PAB eligibility."

CBO Scores GOP Healthcare Bill

The nonpartisan Congressional Budget Office (CBO) released their report on the GOP healthcare bill, the

American Health Care Act (AHCA), on May 24, 2017. The projection estimates that the bill would result in:

14 million fewer people with insurance after one year; 23 million more Americans uninsured in a decade;

$834 billion in Medicaid cuts; a rise in premiums in 2018 and 2019; and $119 billion in savings ($32 billion less

than the earlier version of the AHCA). Senate Majority Leader Mitch McConnell (R-Ky.) referred to the score as

a procedural step. Senate Democrats have held daily news conferences arguing against the House bill, and

Sen. Chris Murphy (D-Conn.) has said Democrats will rebut attempts from Senate Republicans to argue that their

bill will be any different from the House-passed version. Senate Budget Committee Chairman Mike Enzi (R-Wyo.)

has begun the process of drafting the legislation, in collaboration with GOP leadership, and the Senate Finance

and Health, Education, Labor & Pension (HELP) committees.

Provisions on Sanctuary Jurisdictions in Budget

The U.S. Department of Justice (DOJ) provided a guidance memo on May 22, 2017, to all DOJ grant-making

divisions on how to implement President Donald Trump's Executive Order 13768. The memo clarifies that the

executive order will be applied solely to federal grants administered by the U.S. Department of Homeland Security

(DHS) and the DOJ. Following the memo from the Attorney General, the Office of Community Oriented Policing

Services (COPS) released the Notices of Funding Availability (NOFA) for several FY 2017 grant programs. The

FY 2017 COPS applications are reflective of the DOJ memo, requiring applicants to certify their compliance with

8 U.S.C. 1373 (sanctuary jurisdictions).

Additionally, the FY 2018 Budget request, includes proposed language to modify 8 U.S.C. Section 1373 via report

language in the FY 2018 appropriations bills. It is important to clarify that this is a budget proposal, and has not

been introduced by Congress. The administration's proposed additions to Section 1373 attempt to prohibit a local

government from having policies that restrict their employees from sharing certain immigration information with

federal immigration officials, or that restrict compliance with federal immigration detainer requests. The budget

request also proposes that Section 1373 be amended to include authority to condition federal grants awarded by

DOJ or DHS on compliance with DHS information requests, compliance with lawful detainer requests and

compliance with the prohibition against having policies on limiting the collection of information about

immigration status.

The Week Ahead

Congress is in recess from May 29 to June 2.

_____________________________________________________________________________

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Suite 350 Washington, D.C. 20005

Phone 202.466.3755/Telefax 202.466.3787

M E M O R A N DUM

TO: Eleanor Torres Alicia Dunkin

FROM: Eric Sapirstein

DATE: May 30, 2017

SUBJECT: Washington Update

Efforts to advance OCWD’s priorities continued during the past month with the release for the Fiscal Year 2018 budget and federal agencies developing work plans to implement the Fiscal Year 2017 omnibus spending package. In addition to the general effort to move forward on overall budget priorities, the Administration saw a successful Senate confirmation hearing for the nomination of David Bernhardt to become the Deputy Secretary of the Department of the Interior. If confirmed, which is considered highly likely, Bernhardt will have day-to-day management responsibilities for the department’s programs, including water recycling and desalination. At USEPA, the first major appointment since the confirmation of Administrator Pruitt was made. Committee on Environment and Public Works Chief Counsel, Susan Bodine, has been nominated to become the Assistant Administrator of the Office of Enforcement and Environmental Compliance. In this role, Bodine will have jurisdiction over Superfund program enforcement issues, including groundwater contamination matters. Bodine previously served as the Assistant Administrator of Superfund and as a Counsel on the House Committee on Transportation & Infrastructure where she managed issues involving water quality.

Funding of Final Expansion of GWRS

In discussions with USBR officials, we learned that the final expansion of GWRS appears to be on the list of projects to be submitted to Congress that in turn, if approved, would allow USBR to award funding to GWRS under the new competitive

grants program that was enacted as part of WIIN. According to USBR officials, the expectation is to transmit the list of eligibility projects to Congress in June.

Infrastructure Policymaking

Several actions occurred over the past month with impacts upon OCWD’s federal priority to ensure a robust federal commitment to water infrastructure programs. First, in the House, a bipartisan bill, H.R. 2510, was introduced to renew the Clean Water SRF program. The bill is notable for its authorization of $20 billion over five years to support water infrastructure needs. It also for the first time calls out the importance of supporting water recycling, providing for grants to support projects that commit to capturing storm flows for recycling purposes. Since the bill enjoys bipartisan sponsorship, staff indicate that it may presage Committee on Transportation & Infrastructure action on a bill later in the year. In the Senate, the Committee on Environment and Public Works continue to establish a record on the appropriate role of the federal government in supporting infrastructure needs. In a hearing in the past month, the committee received recommendations from Mayors and other stakeholders on the role that public private partnerships could play. Given the tone of the hearing, it appears that the committee remains open to such an approach to help bridge the funding gap, but support to maintain the SRF program remains strong. This seems to suggests that any federal infrastructure program that could be developed will retain the SRF program as a key element.

The Administration began to unveil its much awaited policy, but an actual proposal will not be released for another month or two. As part of the budget, an infrastructure outline was provided. A copy of the summary is attached. Under the broad outline of the approach, it appears that the Administration is seeking to rely heavily on public private partnerships in lieu of creating new programs. Additionally, it appears that any new federal infusion of assistance will limited to $200 billion that must be matched with $800 billion in leveraged private investment. Under the Administration approach, it appears that water infrastructure assistance, outside of the public private partnership will rely upon WIFIA. In addition to the funding focus, the proposal outline cites the priority to accelerate project approvals through regulatory approvals streamline.

Support for Water Infrastructure in Fiscal Year 2018 Budget Request

The Administration budget request for FY 2018 was transmitted to Congress and the support for water infrastructure needs is effectively status quo. For the SRF program, a total of $2.3 billion is requested with $1.3 billion allocated to the clean water SRF and $861 million to the drinking water SRF. Within USBR, the Administration is seeking almost similar levels of assistance provided in FY 17, but specific funding of drought relief programs has been subsumed under WaterSMART. Additionally, funding of the Bay Delta Program continues with $36 million in support of water storage needs among other initiatives.

Tax Reform and Municipal Finance

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The ongoing priority for tax reform continues to be a focus within Congress and the Administration. According to Members of Congress, the success of tax reform will define how an infrastructure policy might be approved in Congress. The absence of tax reform will complicate efforts to legislate infrastructure assistance because the Administration has maintained that tax reform will deliver revenues from repatriation of offshore profits and the ability to rely on private activity bonds, for example. However, the lack of consensus on how to proceed has stymied progress. At this writing, it appears that hopes to rely on a border adjusted tax as a key element of tax reform are diminishing. Additionally, the feasibility of relying on repatriation as as source of funding for infrastructure has been viewed with congressional skepticism because of past efforts that did not result in expected revenue generation. In place of these approaches consideration to curtail the use of state and local tax exempt financing has been floated. However more than 160 House Members oppose such curtailment or restriction on the use of tax-exempts. Given the significant opposition to this tax reform measure, it seems unlikely that changes in tax-exempt financing policy would occur and impact OCWD.

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FACT SHEET 2018 BUDGET: INFRASTRUCTURE INITIATIVE

Importance of Infrastructure The President has consistently emphasized that the Nation’s infrastructure needs to be rebuilt and modernized to create jobs, maintain America’s economic competitiveness, and connect communities and people to more opportunities. The United States no longer has the best infrastructure in the world. For example, according to the World Economic Forum, the United States’ overall infrastructure places 12th, with countries like Japan, Germany, the Netherlands, and France ranking above us. This underperformance is evident in many areas, from our congested highways, which costs the country $160 billion annually in lost productivity, to our deteriorating water systems, which experience 240,000 water main breaks annually. The Current System is Not Working The Federal Government inefficiently invests in non-Federal infrastructure. In part, our lack of sustained progress has been due to confusion about the Federal Government’s role in infrastructure. During the construction of the Interstate System, the Federal Government played a key role – collecting and distributing Federal tax revenue to fund a project with a Federal purpose. As we neared the completion of the Interstate System, those tax receipts were redirected to projects with substantially weaker nexus to Federal interests. The flexibility to use Federal dollars to pay for essentially local infrastructure projects has created an unhealthy dynamic in which State and local governments delay projects in the hope of receiving Federal funds. Overreliance on Federal grants and other Federal funding can create a strong disincentive for non-Federal revenue generation. At the same time, we continue to apply Federal rules, regulations, and mandates on virtually all infrastructure investments. This is despite the Federal Government contributing a very small percentage of total infrastructure spending. Approximately one-fifth of infrastructure spending is Federal, while the other four-fifths are roughly equally divided between State and local governments on one hand and the private sector on the other. We will reevaluate the role for the Federal Government in infrastructure investment. For example, in the Interstate System, the Federal Government now acts as a complicated, costly middleman between the collection of revenue and the expenditure of those funds by States and localities. Put simply, the Administration will be exploring whether this arrangement still makes sense, or whether transferring additional responsibilities to the States is appropriate. The Administration’s Goal: Seek and Secure Long-Term Changes Given these challenges, the Administration’s goal is to seek long-term reforms on how infrastructure projects are regulated, funded, delivered, and maintained. Providing more Federal funding, on its own, is not the solution to our infrastructure challenges. Rather, we will work to

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fix underlying incentives, procedures, and policies to spur better infrastructure decisions and outcomes, across a range of sectors.

Key Principles As the Administration develops policy and regulatory changes, and seeks statutory proposals working with Congress, we will focus on proposals that fall under the following key principles:

1. Make Targeted Federal Investments. Focusing Federal dollars on the most transformative projects and processes stretches the use and benefit of taxpayer funds. When Federal funds are provided, they should be awarded to projects that address problems that are a high priority from the perspective of a region or the Nation, or projects that lead to long-term changes in how infrastructure is designed, built, and maintained.

2. Encourage Self-Help. Many States, tribes, and localities have stopped waiting for Washington to come to the rescue and have raised their own dedicated revenues for infrastructure. Localities are better equipped to understand the right level – and type – of infrastructure investments needed for their communities, and the Federal Government should support more communities moving toward a model of independence.

3. Align Infrastructure Investment with Entities Best Suited to Provide Sustained and Efficient Investment. The Federal Government provides services that non-Federal entities, including the private sector, could deliver more efficiently. The Administration will look for opportunities to appropriately divest from certain functions, which will provide better services for citizens, and potentially generate budgetary savings. The Federal Government can also be more efficient about disposing underused capital assets, ensuring those assets are put to their highest and best use.

4. Leverage the Private Sector. The private sector can provide valuable benefits for the delivery of infrastructure, through better procurement methods, market discipline, and a long-term focus on maintaining assets. While public-private partnerships will not be the solution to all infrastructure needs, they can help advance the Nation’s most important, regionally significant projects.

2018 Budget The President’s target of $1 trillion in infrastructure investment will be funded through a combination of new Federal funding, incentivized non-Federal funding, and newly prioritized and expedited projects. While this Administration proposes additional funding for infrastructure, we will structure that funding to incentivize additional non-Federal funding, reduce the cost associated with accepting Federal dollars, and ensure Federal funds are leveraged such that the end result is at least $1 trillion in total infrastructure spending.

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While we will continue to work with the Congress, States, tribes, localities, and other infrastructure stakeholders to finalize the suite of Federal programs that will support this effort, the 2018 Budget includes $200 billion in outlays related to the infrastructure initiative. In addition to the $200 billion, these proposals are also in the 2018 Budget:

• Air Traffic Control Corporatization. The Budget proposes to create a non-governmental entity to manage the nation’s air traffic control system. Many countries have corporatized their air traffic control function, separating it from the governmental aviation safety regulation function. This will be a multi-year effort resulting in a more efficient airspace while maintaining our premier aviation safety record. The proposal would reduce aviation passenger taxes and the new entity would be responsible for setting and collecting fees directly from users based on their use of the Nation’s airspace.

• Increase Infrastructure Flexibility at VA. The Department of Veterans Affairs (VA) has a nationwide physical footprint that includes aging facilities, which are not always located where veterans most need care. The Administration will pursue numerous reforms to help VA acquire and maintain the facilities necessary to provide veterans high quality medical care where they live. The Budget includes proposals to expand VA’s authority to lease out its vacant assets for commercial or mixed-use purposes and to speed its ability to pursue facility renovations and improvements. Future reforms will encourage public-private partnerships and reduce barriers to acquisition, contracting, and disposals.

• Divestiture of the Power Marketing Administration’s (PMA’s) Transmission Assets. The Budget proposes to sell the PMA’s transmission assets. Investor-owned utilities provide for the vast majority of the Nation’s electricity needs. The PMA’s transmission infrastructure assets (lines, towers, substations, and rights of way) could be leased out so the private sector could fulfill transmission functions. Leasing these assets will more efficiently allocate economic resources and help relieve long-term pressures on the Federal deficit related to future Federal capital investment.

• Reform the laws governing the Inland Waterways Trust Fund. The Budget proposes to reform the laws governing the Inland Waterways Trust Fund, including by establishing a fee to increase the amount paid by commercial navigation users of inland waterways. In 1986, the Congress mandated that commercial traffic on the inland waterways be responsible for 50 percent of the capital costs of the locks, dams, and other features that make barge transportation possible on the inland waterways. The additional revenue proposed in the Budget will finance future capital investments in these waterways to support economic growth.

Illustrative Examples of Funding Proposals The following proposals will be pursued by the Administration as part of the Infrastructure Initiative.

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• Expand the Transportation Infrastructure Finance and Innovation Act (TIFIA) Program. TIFIA helps finance surface transportation projects through direct loans, loan guarantees, and lines of credit. One dollar of TIFIA subsidy leverages roughly $40 in project value. If the amount of TIFIA subsidy was increased to $1 billion annually for 10 years, that could leverage up to $140 billion in credit assistance, and approximately $424 billion in total investment. In addition, the Administration supports the expansion of TIFIA eligibility.

• Lift the Cap on Private Activity Bonds and Expand Eligibility to Other Non-Federal

Public Infrastructure. The Private Activity Bonds (PABs) program allows the Department of Transportation to allocate authority to issue tax-exempt bonds on behalf of private entities constructing highway and freight transfer facilities. PABs have been used to finance many Public Private Partnerships (P3s) projects, along with TIFIA. As of August 15, 2016, nearly $11.2 billion in PABs have been issued for 23 projects. The Administration recommends removing the $15 billion cap under current law to ensure that future P3 projects can take advantage of this cost-saving tool, and encourage more project sponsors to take advantage of this tool. The Administration also supports the expansion of PAB eligibility.

• Incentivize Innovative Approaches to Congestion Mitigation. The Urban Partnership

Agreement Program – and its successor, the Congestion Reduction Demonstration Program – provided competitive grants to urbanized areas that were willing to institute a suite of solutions to congestion, including congestion pricing, enhanced transit services, increased telecommuting and flex scheduling, and deployment of advanced technology. Similar programs could provide valuable incentives for localities to think outside of the box in solving long-standing congestion challenges.

• Liberalize Tolling Policy and Allow Private Investment in Rest Areas. Tolling is generally restricted on interstate highways. This restriction prevents public and private investment in such facilities. We should reduce this restriction and allow the States to assess their transportation needs and weigh the relative merits of tolling assets. The Administration also supports allowing the private sector to construct, operate, and maintain interstate rest areas, which are often overburden and inadequately maintained.

• Fund the Water Infrastructure Finance and Innovation Act program (WIFIA) Program. The Environmental Protection Agency’s new WIFIA loan program is designed to leverage private investments in large drinking water and wastewater infrastructure projects, particularly those large, high-cost projects that have private ownership or co-investment. Because WIFIA loans can only support up to 49 percent of a project’s eligible cost, the Federal investment must be leveraged with non-Federal sources.

• Encourage the Use of Army Corps of Engineers (Corps) Contributed/Advanced Funding Authorities. Most construction work by the Corps is funded on a cost-shared basis between the Corps and a non-Federal sponsor. However, many projects authorized for construction, though a priority for non-Federal sponsors, do not present a high return

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for the Nation and therefore do not receive Federal funding. Some non-Federal sponsors have therefore chosen to fund construction activities on their own. The Administration will leverage the Corps’ authorities to enter into such agreements to take advantage of this innovative approach to delivering projects.

New Federal Tools: The Federal Budget is recorded on a cash basis, which provides a transparent mechanism to record and control spending. Given the size of the Federal Government, cash budgets make sense because they are less complicated to produce and less subject to changes in economic assumptions. However, cash budgeting may not give appropriate weight to the long-term benefits of investing in infrastructure and cause the Government to make project choices that have lower short-term but higher-long term costs. We should discuss different tools to support better decision-making while maintaining transparency and fiscal restraint, such as:

• Federal Capital Revolving Fund. The Administration is developing a proposal to establish a mandatory revolving fund for the financing of Federally-owned civilian capital assets. The Fund would be repaid with annual appropriations, and would help address the underinvestment in capital assets driven in part due to the large upfront costs of such procurements. Creation of such a fund parallel to the appropriations process to fund investment in Federally-owned civilian capital assets would avoid capital investments having to compete with operating expenses in the annual appropriations process. Instead, agencies would pay for capital assets as they are utilized. The repayments would be made from future appropriations, which would provide an incentive to select projects with the highest return on investment, including future cost avoidance.

• Partnership Grants for Federal Assets. In a number of sectors, the Federal Government has utilized loans to non-Federal partners to improve infrastructure. However, credit assistance cannot be utilized to improve Federal assets. In essence, the Government neither can loan itself funding, nor can it make loans to private entities to improve assets that will remain Federal. In some circumstances, however, a private partner might want to build or improve a Federal facility and donate it to the Government in exchange for the right to retain revenue from the associated activities. The Administration is developing a proposal to offer those partners grants in lieu of loans to buy down the cost of a Federal asset improvements, which would benefit both the Government, through new facilities for Government use, and the non-Federal partner, through continued access to revenue sources.

Environmental Review and Permitting Process Enhancements. The environmental review and permitting process in the United States is fragmented, inefficient, and unpredictable. Existing statutes have important and laudable objectives, but the lack of cohesiveness in their execution make the delivery of infrastructure projects more costly, unpredictable, and time-consuming, all while adding little environmental protection. The Administration will seek several proposals that will enhance the environmental review and permitting process, such as:

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• Improving Environmental Performance. The inefficiencies of the current process

result in too much time and too many resources dedicated to time-intensive analyses that do not necessarily improve the environment. The Administration will propose pilot programs to experiment with different ways projects will perform to better protect and enhance the environment.

• Accountability. The review and permitting of projects should be included in each agency’s mission, and their performance should be tracked and measured. For agencies that significantly underperform, the public should know how much that costs both the taxpayers and the project. The Administration will seek proposals for tools to start holding agencies accountable for their performance.

• One Federal Decision. Project proponents have to navigate the Federal environmental review and permitting process on their own. Under the current system, project sponsors work with one agency, only to be told to stand in line with several other agencies for numerous other approvals. We can do better. The Federal Government is capable of navigating its own bureaucracy and designating a single entity with responsibility for shepherding each project through the review and permitting process.

• Unnecessary Approvals. The funding of infrastructure is predominately State, local and private, yet the Federal Government exerts an inordinate amount of control over all infrastructure with unnecessary bureaucratic processes. The Administration supports putting infrastructure permitting into the hands of responsible State and local officials where appropriate.

• Judicial Reform. The current standards of judicial review force Federal agencies to spend unnecessary time and resources attempting to make a permit or other environmental document litigation-proof. The Administration believes our resources would be better spent on enhancing the environment rather than feeding needless litigation. As such, the Administration will submit proposals that curtail needless litigation.

H.R. 2510 The Water Quality Protection and Job Creation Act of 2017

Introduced by T&I Committee Ranking Member Peter DeFazio, T&I Committee Vice Chair John J. Duncan, and

Water Resources Subcommittee Ranking Member Grace Napolitano May 18, 2017

EXECUTIVE SUMMARY H.R. 2510, the “Water Quality Protection and Job Creation Act of 2017”, provides approximately $25 billion in direct infrastructure investment over the next five years to address America’s crumbling wastewater infrastructure and local water quality challenges. This bipartisan bill renews the Federal commitment to addressing local water quality challenges by providing an infusion of Federal assistance for the construction, repair, and replacement of the Nation’s network of wastewater and stormwater conveyance and treatment facilities. The Water Quality Protection and Job Creation Act of 2017 significantly increases the amount of Federal assistance made available to States and communities through the successful Clean Water State Revolving Fund program—the primary source of Federal assistance for wastewater infrastructure construction. WATER INFRASTRUCTURE NEEDS America’s water infrastructure is in dire need of renewed Federal investment. According to the American Society of Civil Engineers (ASCE) 2017 Infrastructure Report Card, America’s wastewater treatment infrastructure receives a grade of D+, which is only the slightest improvement from its previous grade of D in the 2013 ASCE Report Card. Currently, municipalities face a backlog of more than $40 billion in clean water infrastructure projects and, according to the Environmental Protection Agency, these communities need close to $300 billion of investment over the next 20 years1 to bring their systems to a state of good repair. Given the current lack of Federal investment to address these needs, communities are forced to cover more than 95 percent of the cost of clean water projects. As recent events in Flint, Michigan, Toledo, Ohio, and Charleston, West Virginia, have shown, the need for greater Federal investment in our Nation’s water infrastructure is clear, and the benefits are numerous. Investing in clean water creates thousands of new, domestic jobs in the construction industry and reduces the overall costs of constructing and maintaining that infrastructure. According to the National Utility Contractors Association, every $1 billion invested in our Nation’s water infrastructure creates or sustains 27,000 jobs in communities across America, while improving public health and the environment at the same time. It is clear that the status quo fails to meet the needs of the Nation, and that a renewed Federal commitment to financing clean water infrastructure projects is necessary.

1 https://www.epa.gov/cwns/clean-watersheds-needs-survey-cwns-2012-report-and-data

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THE CLEAN WATER STATE REVOLVING FUND

Congress authorized the Clean Water State Revolving Fund (“Clean Water SRF”) in the Water Quality Act of 1987 (Pub. L. 100-4). Although the authorization of appropriations for the Clean Water SRF expired in 1993, Congress continues to fund this critical investment in our Nation’s wastewater infrastructure—providing more than $40 billion in Federal capitalization assistance to States since 1987. In turn, this infusion of Federal capital to State revolving funds has leveraged approximately $120 billion in direct assistance to communities through individual SRFs over this period. In addition, in 2000, Congress authorized two supplemental Federal Clean Water grant programs to address combined and sanitary sewer overflows (section 221 of the Clean Water Act), and alternative sources of water, including reclaimed wastewater, in drought prone areas (section 220 of the Clean Water Act). These separate Clean Water grant programs provide other financial tools to communities facing local water quality and water availability challenges. THE WATER QUALITY PROTECTION AND JOB CREATION ACT OF 2017 H.R. 2510 renews the Federal commitment to addressing our Nation’s substantial needs for wastewater infrastructure by investing $20 billion over five years in wastewater infrastructure through the Clean Water State Revolving Fund and other efforts to improve water quality. In addition, H.R. 2510 reauthorizes the sewer overflow and alternative water source grant authorities to aid communities seeking to augment local water supplies through water reuse, and to address local sewer overflows and stormwater concerns. H.R. 2510 will create thousands of new, domestic jobs in the construction and wastewater sectors through increased investment in wastewater infrastructure. It will reduce the cost of constructing and maintaining that infrastructure, promote energy efficiency and water efficiency, and reduce the potential long-term operation and maintenance costs of publicly owned treatment works. In the 110th and 111th Congresses, the House of Representatives passed legislation similar to the Water Quality Protection and Job Creation Act by significant bipartisan majorities. In the 110th Congress, the Committee reported H.R. 720 to the House by a recorded vote of 55-13. On March 9, 2007, the House passed H.R. 720 by a recorded vote of 303-108. Similarly, in the 111th Congress, the Committee reported H.R. 1262 to the House by voice vote. On March 12, 2009, the House passed H.R. 1262 by a recorded vote of 317-101. Neither bill was considered by the Senate.

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Title I – Water Quality Financing

Authorizes $20 billion in Federal grants over five years to capitalize Clean Water SRFs. These funds provide low-interest loans and additional loan subsidizations (e.g., principal forgiveness and negative interest loans) to communities for wastewater infrastructure.

Authorizes $1.5 billion over five years for grants for State water pollution control agencies to implement State water pollution control programs.

Provides $600 million over five years for Clean Water pilot programs (including Federal technical assistance and/or grants) for watershed-based or system-wide efforts to address wet weather discharges, to promote stormwater best management practices, to undertake integrated water resource management, and to increase the resiliency of treatment works to natural or man-made disasters.

Authorizes technical assistance to rural, small, and tribal communities to assist them in gaining access to financing wastewater infrastructure.

Includes economic incentives to encourage the adoption of energy- and water-efficient technologies and practices to maximize the potential for efficient water use, reuse, and conservation, and energy conservation, and realize the potential corresponding cost-savings for water treatment.

Title II – Grants

Authorizes $2.5 billion over five years for grants to address combined and sanitary sewer overflows and recapture and reuse of municipal stormwater under section 221 of the Clean Water Act.

Authorizes $375 million in grants over five years for alternative water source projects under section 220 of the Clean Water Act, including projects that reuse wastewater and stormwater to augment the existing sources of water.

May 1, 2017

The Honorable Paul Ryan Speaker of the House 1233 Longworth House Office Building Washington, DC 20515 The Honorable Nancy Pelosi Democratic Leader 233 Cannon House Office Building Washington, DC 20515 The Honorable Kevin Brady House Ways and Means Committee, Chairman 1011 Longworth House Office Building Washington, D.C. 20515 The Honorable Richard Neal House Ways and Means Committee, Ranking Member 341 Cannon House Office Building Washington, D.C. 20515 Re: Tax Exempt Municipal Bonds

Dear Speaker Paul Ryan, Leader Nancy Pelosi, Chairman Kevin Brady and Member Richard Neal,

Representing thirty-eight (38) California urban water retailers and wholesalers, municipalities, sanitation districts, and related associations, we are writing to urge Congress to maintain the current tax-exempt status for municipal bonds, and express our concerns regarding proposals to place a cap on the tax-exempt interest earned on these bonds or eliminate the tax exemption altogether.

For more than a century, the tax-exempt status of municipal bonds has made them the primary method through which state governments and local municipalities finance public capital improvements and infrastructure construction. These projects support core state and local functions, and serve as engines of job creation and economic growth. It is imperative that their tax-exempt status be maintained.

Over the last decade, municipal bonds have funded almost $2 trillion worth of infrastructure construction. This financing option has been used to construct schools, hospitals, airports, affordable housing, water and sewer facilities, public power utilities, roads and public transit. In 2016 alone, more than 11,000 tax-exempt bonds financed over $440 billion in infrastructure spending. Through the use of municipal bonds, state and local governments have significantly reduced the cost of financing and infrastructure construction.

Re: Tax Exempt Municipal Bonds Page 2 of 6

Placing a cap on the municipal bond tax deduction would radically reduce demand for these bonds, increase borrowing costs to public entities, and shift costs to local residents through tax or rate increases. Moreover, eliminating or capping the current deduction would slow the growth of job-creating infrastructure projects.

As the discussion on various budget proposals continues and work on comprehensive tax reform begins, it is our hope that you will reject proposals to alter the tax-exempt status of municipal bonds. While we understand the difficult decisions before Congress related to government spending and the national debt, Americans must not eliminate a vital tool of our country’s infrastructure investment, job growth and economic development. Thank you for your time and attention to this important national matter.

Sincerely,

Martin L. Adams Chief Operating Officer Los Angeles Department of Water & Power

Paul D. Jones, II, P.E. Eastern Municipal Water District

Richard Nagel, P.E. General Manager West Basin MWD

Paul A. Cook General Manager Irvine Ranch Water District

David Pedersen General Manager Las Virgenes MWD

John Rossi General Manager Western MWD

http://www.wmwd.com/


Susan B. Mulligan General Manager Calleguas MWD

Richard W. Hansen, P.E. General Manager Three Valleys MWD

Jeffrey Kightlinger General Manager Metropolitan Water District of Southern California

Greg Thomas General Manager Rincon del Diablo MWD

Kimberly Thorner General Manager Olivenhain MWD

Grace Robinson Hyde Chief Engineer & General Manager Sanitation Districts of Los Angeles County

James D. Herberg General Manager Orange County Sanitation District

Daniel R. Ferons General Manager Santa Margarita Water District

P. Joseph Grindstaff General Manager Inland Empire Utilities Agency

Michael R. Markus, P.E. General Manager Orange County Water District


Michael Bakaldin Interim General Manager Delta Diablo

Jennifer West Managing Director WateReuse California

Roberta L. Larson Executive Director California Association of Sanitation Agencies

Andrew Brunhart General Manager South Coast Water District

Nina Jazmadarian General Manager Foothill MWD

Paul Kelley Executive Director CalDesal

Maureen Stapleton General Manager San Diego County Water Authority

Prabhakar Somavarapu District Engineer Sacramento Area Sewer District

Lisa M. Borba Board President Contra Costa Water District

Allen Carlisle CEO/General Manager Padre Dam MWD


John D. Vega General Manager Elsinore Valley MWD

Hector Ruiz General Manager Trabuco Canyon Water District

Kevin P. Hunt General Manager Central Basin MWD

Joone Lopez General Manager Moulton Niguel Water District

Paul E. Shoenberger, P.E. General Manager Mesa Water®

Casey Hashimoto, P.E. General Manager Turlock Irrigation District

Shane O. Chapman General Manager Upper San Gabriel Valley MWD

Robert Hunter General Manager Municipal Water District of Orange County

Jorge Somoano General Manager Burbank Water & Power


Danielle Blacet Director for Water California Municipal Utilities Association

Celeste Cantú General Manager Santa Ana Watershed Project Authority

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AGENDA ITEM SUBMITTAL Meeting Date: June 8, 2017 Budgeted: N/A Budgeted Amount: N/A To: Communications/Leg. Liaison Cte Cost Estimate: N/A Board of Directors Funding Source: N/A Program/Line Item No.: N/A From: Mike Markus General Counsel Approval: N/A Engineers/Feasibility Report: N/A Staff Contact: E. Torres/ G. Ayala CEQA Compliance: N/A POLICY ISSUE: PUBLIC AFFAIRS OUTREACH REPORT (MAY 2017) SUMMARY Outreach for Orange County Water District (OCWD) and its programs and projects, including the Groundwater Replenishment System (GWRS), continues with a major focus to build and maintain support for the GWRS, as well as field media interest and media coverage. Following is list of outreach and media activity. Attachment(s):

• May 2017 media clip report

RECOMMENDATION Informational RELEVANT STANDARDS • Maintain a transparent role within the community by educating stakeholders about

OCWD’s roles, priorities and strategic initiatives. • Build confidence and support with the community. • Build and maintain support for OCWD and its projects and educate stakeholders about

them.

DISCUSSION/ANALYSIS Tours: Approximately 335 guests toured the GWRS and other OCWD facilities in May; the following is a list of groups, companies, schools and organizations that participated in the tours. (The tour schedule is provided via email on a weekly basis)

• Cal Poly Pomona • Orange County Sanitation District • Golden West College • NextGen Climate • Santiago Community College • Edison High School

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• Citrus College • Pegasus School • West Coast University Nursing Program • American University of Health Sciences School of Nursing • ACWA/JPIA • Chinese delegation • University of California, Irvine • City of San Diego • Cal Tech • National Water Research Institute • Korean delegation • Public tour

Upcoming tours:

• Universidad Autonoma de Baja California Sur, June 2 • Godinez High School, June 6 & 8 • Public tour, June 9 & July 7 • League of Women Voters of Central Orange County, June 9 • Korean delegation, June 13 • Vanguard University, June 21 • North Orange County Chamber of Commerce, June 22 • Cal State Fullerton, June 28 • American Chemistry Council/Water Quality & Health Council, July 21 • International Water Association, July 27

Speakers Bureau: As part of OCWD’s standard to forge and maintain long-term, positive and proactive relationships with members of the community and be transparent about its operations and programs, OCWD board members and staff participate, regularly, at community events and speak before civic groups. Below is a listing of the May speakers’ bureau engagements.

• California Spain Water Summit, May 3 • Kiwanis Club of Greater Anaheim, May 4 • International Association of Plumbing and Mechanical Officials (IAPMO), May 9 • Serrano Water District, May 9 • City of Orange, May 9 • Covenant Presbyterian Church, May 11 • Centennial Park Neighborhood Association Meeting, May 11 • EWRI World Environmental & Water Resources Congress, May 21 • Newport Beach Sunrise Rotary Club, May 23 • Rotary Club of Anaheim, May 31

Upcoming Speakers Bureau: (The Speakers Bureau schedule is provided via email on a weekly basis)

• ESP Magnet High School, June 2 • KPCC Seeing Green, June 6

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• OC Coastkeeper WHALES Program, June 9 • 5th Annual OC Food, Wine and Music Festival, June 24 • 2017 Groundwater Foundation National Conference, October 24-26 Media Clips There were 125 global news hits for OCWD, the GWRS and other District programs and projects. This number reflects multiple hits of the same story. The news clip report for May is attached. Social Media Staff is reviewing the social media plan and implementing changes to increase activity. Six H2ODrop photo stop signs have been placed along the GWRS tour route encouraging guests to take and share photos via social media using #H2ODrop. Staff will also partner with other agencies to leverage exposure by using their social media platforms as well. Additionally, outreach activities for GWRS bottled water will help to enhance social media activity. Staff will report back to the committee on social media statistics once these changes have been fully implemented.

The following are statistics for OCWD’s Twitter and Facebook for May:

OCWD’s Twitter page @OCWDWaterNews o Gained about 31 new followers o Posted 61 tweets o Had 211 visits to its profile page o Received about 23,700 tweet impressions (Impression is the number of

times a user saw the tweet on Twitter)

OCWD’s Facebook @OCWaterDistrict o 61 posts o Total reach 94 (The number of people who were served any activity from

OCWD’s page including posts, posts to page by other people, page like ads, mentions and checkins.)

o 3 new page likes Press Releases and Electronic Publications: • OCWD issued four press releases in May:

o Orange County Water Education Festival Recognized for Bringing Community Together to Inspire the Next Generation

o Orange County Water District Joins Adopt a Channel Program o OCWD Honored for Environmental Stewardship by Join Muir Association o H2O Learning Center Exhibit at OCWD Honored with International Design

Communications Award o Orange County Water Reliability Project Receives Engineering Honors

• Staff wrote and distributed the May issue of Hydrospectives, OCWD’s monthly e-newsletter. http://www.ocwd.com/news-events/newsletter/

https://www.ocwd.com/media/5480/communitas-award-final.pdf

https://www.ocwd.com/media/5480/communitas-award-final.pdf

https://www.ocwd.com/media/5477/adopt-a-channel_final.pdf

https://www.ocwd.com/media/5477/adopt-a-channel_final.pdf

https://www.ocwd.com/media/5393/john-muir-awards_final.pdf

https://www.ocwd.com/media/5393/john-muir-awards_final.pdf

https://www.ocwd.com/media/5394/astrid-award_final.pdf



http://www.ocwd.com/news-events/newsletter/

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• Five editions of OCWD’s weekly Water Lines were distributed electronically to keep stakeholders informed of important water news and issues. They are posted on OCWD’s website: http://www.ocwd.com/news-events/ocwd-in-the-news/

Awards OCWD and its projects or programs were honored with the following awards in May: • Mike Markus received the Environmental & Water Resources Institute (EWRI)

Pioneers in Groundwater Award which recognizes and honors an individual with pioneering contributions in the teaching, research and/or practice of groundwater science and engineering. Only one award is given per year.

• The 2016 Children’s Water Education Festival received a 2017 Communitas Award in the Corporate Social Responsibility category. Communitas Awards recognize exceptional businesses, organizations and individuals that are unselfishly giving of themselves and their resources, and those that are changing how they do business to benefit their communities.

Construction Notices All notices and presentations pertaining to the construction projects below are posted on OCWD’s website: https://www.ocwd.com/news-events/construction-updates/.

• OCWD distributed two notices to impacted neighbors regarding the East Newport Mesa Monitoring Well Project taking place in Costa Mesa and Irvine.

• A community presentation took place in Santa Ana about the Mid Basin Injection Project.

• A notice was distributed to impacted businesses/residents near the construction areas of the South Basin Remedial Investigation and Feasibility Study.

• A notice was posted pertaining to an OCWD Well Project in Huntington Beach.

http://www.ocwd.com/news-events/ocwd-in-the-news/

https://www.ocwd.com/news-events/construction-updates/

MAY 2017

MEDIA HITS

Agent Name OCWD | Global NewsNumber of hits 125

Outlet/Publication Country Date Headline

Water Online United States 05/03/17 04:35

Real-Time Monitoring: An Opportunity To Engage In Potable Reuse And Detect

Failures Quickly

Center for American Progress United States 05/03/17 06:01Debunking the False Claims of Environmental Review Opponents

Los Angeles Times United States 05/03/17 11:55Fountain Valley prefers local control of water use

Orange County Water District United States 05/03/17 15:48OCWD Honored for Environmental Stewardship by Join Muir Association

Orange County Water District United States 05/03/17 15:48

H20 Learning Center Exhibit at OCWD Honored with International Design

Communications Award

Department of Toxic Substances Control United States 05/04/17 09:08

DTSC announces $2 million settlement to help remediate groundwater plume in

Southern California (pdf)

Publicnow Canada 05/04/17 10:05

DTSC announces $2 million settlement to help remediate groundwater plume in

Southern California

Association of California Water Agencies United States 05/04/17 16:29Statewide Poll Shows Californians Strongly Support Seawater Desalination

Benzinga United States 05/05/17 05:00Litigation Boutique Larson O'Brien LLP Announces Washington, DC Office

StreetInsider.com United States 05/05/17 05:00Litigation Boutique Larson O’Brien LLP Announces Washington, DC Office

Business Wire United States 05/05/17 05:07

Litigation Boutique Larson O’Brien LLP Announces Washington, DC Office | Business

Wire

Enhanced Online News United States 05/05/17 05:11Litigation Boutique Larson O’Brien LLP Announces Washington, DC Office

Digital Journal Canada 05/05/17 05:13Litigation Boutique Larson O’Brien LLP Announces Washington, DC Office

Military Technologies News Poland 05/05/17 05:15Litigation Boutique Larson O’Brien LLP Announces Washington, DC Office

ABC6 News United States 05/05/17 05:25Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WNKY.com United States 05/05/17 05:25Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

YourOhioValley.com United States 05/05/17 05:25Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

9&10 News United States 05/05/17 05:25Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

NewsOn6.com United States 05/05/17 05:25Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

NBC-2.com United States 05/05/17 05:25Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

Erie News Now United States 05/05/17 05:25Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KFMB-TV CBS-8 United States 05/05/17 05:25Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

NBC29 WVIR United States 05/05/17 05:25Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KULR-8 United States 05/05/17 05:25Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WVAlways.com United States 05/05/17 05:25Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

News Center 1 United States 05/05/17 05:25Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KSLA News 12 United States 05/05/17 05:26Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WOWK-TV United States 05/05/17 05:27Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

ABC FOX Montana United States 05/05/17 05:27Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WSFA 12 News United States 05/05/17 05:28Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WeAreWVProud.com United States 05/05/17 05:28Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

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MAY 2017

MEDIA HITS


Live5News.com United States 05/05/17 05:28Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WPSD Local 6 United States 05/05/17 05:28Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WBOC.com United States 05/05/17 05:28Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

Cleveland 19 News United States 05/05/17 05:28Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

NBC Right Now - KNDO/KNDU United States 05/05/17 05:29Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WECT TV6 United States 05/05/17 05:29Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WAFF 48 News United States 05/05/17 05:29Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KEYC News 12 United States 05/05/17 05:29Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

NBC12 - WWBT United States 05/05/17 05:29Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WFLX Fox 29-TV United States 05/05/17 05:30Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

ABC-7.com United States 05/05/17 05:30Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WMBF News United States 05/05/17 05:31Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

FOX29 Lake Charles United States 05/05/17 05:31Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KMIR News United States 05/05/17 05:31Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

Oklahoma's Own United States 05/05/17 05:32Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KAUZ-TV: NewsChannel 6 Now United States 05/05/17 05:32Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

Telemundo Amarillo United States 05/05/17 05:33Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

The CW Providence - WLWC United States 05/05/17 05:33Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WTVM.com United States 05/05/17 05:33Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WFMJ TV-21 United States 05/05/17 05:33

Litigation Boutique Larson OBrien LLP Announces Washington, DC O - WFMJ.com

News weather sports for Youngstown-Warren Ohio

WV Illustrated United States 05/05/17 05:34Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WSIL-TV United States 05/05/17 05:35Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KRGV.com United States 05/05/17 05:35Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WLOX-TV United States 05/05/17 05:35Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WBTV 3 News United States 05/05/17 05:35Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WFXG FOX 54 United States 05/05/17 05:36Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

FOX19-WXIX TV United States 05/05/17 05:36Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KUSI News United States 05/05/17 05:37Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KAIT ABC-8 United States 05/05/17 05:37Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

TMCnet.com United States 05/05/17 05:37Litigation Boutique Larson O'Brien LLP Announces Washington, DC Office

Morningstar United States 05/05/17 05:37Litigation Boutique Larson O’Brien LLP Announces Washington, DC Office

Kuam News United States 05/05/17 05:39Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WTOC.com United States 05/05/17 05:39Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KFVS 12 United States 05/05/17 05:40Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KTVN Channel 2 United States 05/05/17 05:40Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KPLC 7 News United States 05/05/17 05:41Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KHQ Right Now United States 05/05/17 05:42Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WBRC FOX6 News United States 05/05/17 05:43Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

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MAY 2017

MEDIA HITS


KMOV.com United States 05/05/17 05:44Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

Tucson News Now United States 05/05/17 05:44Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WandTV.com United States 05/05/17 05:44Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KCBD NewsChannel 11 United States 05/05/17 05:44Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

NewsWest 9 United States 05/05/17 05:45Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KFBB.com United States 05/05/17 05:45Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KTBS 3 News United States 05/05/17 05:45Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

Hawaii News Now United States 05/05/17 05:46Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WVUE New Orleans United States 05/05/17 05:47Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

NewsChannel 10 United States 05/05/17 05:47Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WDAM - Channel 7 United States 05/05/17 05:48Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WCAX.com United States 05/05/17 05:48Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WRCB-TV 3 United States 05/05/17 05:49Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KTEN.com United States 05/05/17 05:49Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

Fox 21 Delmarva United States 05/05/17 05:49Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

Telemundo Midland/Odessa United States 05/05/17 05:50Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

Hometownstations.com United States 05/05/17 05:50Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KLKN-TV ABC-8 United States 05/05/17 05:50Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KFVE The Home Team United States 05/05/17 05:50Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

Spoke United States 05/05/17 05:50Litigation Boutique Larson O’Brien LLP Announces Washington, DC Office | Spoke

WMC Action News 5 United States 05/05/17 05:51Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

14 News United States 05/05/17 05:51Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KSWO-TV 7 United States 05/05/17 05:51Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WDRB 41 Louisville United States 05/05/17 05:52

Litigation Boutique Larson OBrien LLP Announces Washington, DC O - WDRB 41

Louisville News

Mississippi News Now United States 05/05/17 05:54Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

TulsaCW.com United States 05/05/17 05:55Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WAVE 3 News United States 05/05/17 05:55Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WIS News 10 United States 05/05/17 05:56Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WTOL.com United States 05/05/17 05:58Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

WALB.com United States 05/05/17 06:01Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KXXV-TV ABC United States 05/05/17 06:10Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KTRE ABC-9 United States 05/05/17 06:41Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

KLTV 7 News United States 05/05/17 07:15Litigation Boutique Larson OBrien LLP Announces Washington, DC Office

San Bernardino County Sun (AP) United States 05/05/17 15:08Don’t drain water from the Mojave Desert: Letters

Redlands Daily Facts United States 05/05/17 15:08Don’t drain water from the Mojave Desert: Letters

DailyBulletin.com (AP) United States 05/05/17 15:08Where will funds to pay for toll lanes come from? Letters

Los Angeles Daily News (AP) United States 05/05/17 19:10WRD’s recycled wastewater plant half-way finished, rising from a 5-acre field in Pico

Pasadena Star-News (AP) United States 05/05/17 19:10WRD’s recycled wastewater plant half-way finished, rising from a 5-acre field in Pico

Page 3 of 4

MAY 2017

MEDIA HITS


Whittier Daily News United States 05/05/17 19:10WRD’s recycled wastewater plant half-way finished, rising from a 5-acre field in Pico

SGVTribune.com United States 05/05/17 19:10WRD’s recycled wastewater plant half-way finished, rising from a 5-acre field in Pico

Daily Breeze United States 05/05/17 19:10WRD’s recycled wastewater plant half-way finished, rising from a 5-acre field in Pico

Press-Telegram (AP) United States 05/05/17 19:32WRD’s recycled wastewater plant half-way finished, rising from a 5-acre field in Pico

Orange County Water District United States 05/09/17 15:51Register for 10th Annual OC Water Summit Taking Place on 6/16

Association of California Water Agencies United States 05/09/17 17:32

Seth M. Siegel, Author of NY Times Best Selling 'Let There Be Water,' Joins OC Water

Summit Program

Before It's News United States 05/09/17 23:09Abolish Private Property in Water? California Needs Markets! (Stroshane

News Enterprise United States 05/11/17 14:24Orange County Water District pioneers water recycling

Australian Water Association Australia 05/11/17 16:32Call-out for water sustainability innovations to nominate for international prize

Orange County Register United States 05/12/17 00:25Poseidon tries a new face, but facts unchanged

Orange County Register United States 05/13/17 00:22The value of water independence

EnvironmentGuru United States 05/13/17 06:57The value of water independence

The Sacramento Bee United States 05/14/17 05:00Don’t believe scare tactics about single-payer health care

Valley News United States 05/15/17 00:45Watershed program implementation agreement approved

Los Angeles Times United States 05/15/17 09:35Critic of letter writer is the one who is uninformed about healthcare act

The Water Blog - World Bank Blogs United States 05/15/17 11:53

Orange County tries new pathways for water resilience; model for other water-stressed

regions

Los Angeles Times United States 05/15/17 16:25Now that she’s a lobbyist, I regret voting for Barbara Boxer

EnvironmentGuru United States 05/15/17 18:29

Orange County tries new pathways for water resilience model for other water-stressed

regions

The Heartland Institute United States 05/15/17 22:10A Highly Readable Discussion of Water Issues

CleanLink United States 05/15/17 22:26Disney Reduced Ecological Footprint By Saving Water, Recycling

Assemblymember Eduardo Garcia

Representing the 56th California

Assembly District United States 05/17/17 11:27

New Assembly Water Conservation Working Group will set tone for California water

policy

Los Angeles Times United States 05/19/17 07:30

As political pressure for approval intensifies, the case for a big desalination plant

remains cloudy

Orange County Water District United States 05/22/17 16:50OCWD Joins Adopt A Channel Program

Orange County Water District United States 05/23/17 09:05Don't miss the OC Water Summit's great lineup, including:

StreetInsider.com United States 05/25/17 12:53Form N-CSRS EATON VANCE MICHIGAN For: Mar 31

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agenda communications and legislative liaison …jun 08, 2017 · recommendation: adopt resolution...

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