California Senate Bill SB1263 Introduced / Bill

 BILL NUMBER: SB 1263INTRODUCED BILL TEXT INTRODUCED BY Senators Wieckowski and Pavley FEBRUARY 18, 2016 An act to amend Section 116540 of, and to add Section 116527 to, the Health and Safety Code, relating to drinking water. LEGISLATIVE COUNSEL'S DIGEST SB 1263, as introduced, Wieckowski. Public water system: permits. (1) Existing law, the California Safe Drinking Water Act, imposes on the State Water Resources Control Board various responsibilities and duties relating to providing a dependable, safe supply of drinking water. The act prohibits a person from operating a public water system unless he or she first submits an application, including a technical report, to the state board and receives a permit, as specified. The act requires the state board, upon determination that the application is complete, to make a specified investigation, and allows the state board to impose permit conditions, requirements for system improvements, and time schedules as the state board deems necessary to ensure an affordable, reliable, and adequate supply of water at all times that is pure, wholesome, and potable. The act prohibits a public water system that was not in existence on January 1, 1998, from being granted a permit unless the system demonstrates that the water supplier possesses adequate financial, managerial, and technical capability to ensure the delivery of pure, wholesome, and potable drinking water, and requires that this prohibition apply to any change of ownership of a public water system. This bill would, commencing January 1, 2017, prohibit an application for a permit for a new public water system from being deemed complete unless the applicant has submitted a preliminary technical report to the state board, as specified, and would allow the state board to impose technical, financial, or managerial requirements on the permit. The bill would prohibit a public water system not in existence on January 1, 1998, from being granted a permit unless the public water system demonstrates that the water supplier also possesses adequate water rights to ensure the delivery of pure, wholesome, and potable drinking water, and would specify that the prohibition applies to any change in ownership of the public water system, including the consolidation of a public water system. The bill would allow the state board to deny the permit if the state board determines that the service area of the public water system can be served by one or more currently permitted public water systems. (2) Existing law allows the state board to delegate primary responsibility for the administration and enforcement of the act within a county to a local health officer if certain criteria are met. Existing law requires that the local primacy agency be empowered with all of the authority granted to the state board over the specified public water systems. This bill would prohibit a local primacy agency from issuing a permit without the concurrence of the state board. Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 116527 is added to the Health and Safety Code, to read: 116527. (a) Commencing January 1, 2017, an application for a permit for a new public water system under this chapter shall not be deemed complete unless the applicant has complied with the requirements of this section. (b) The applicant shall submit a preliminary technical report to the state board six months before submission of an application for a building permit for any improvement in the service area of a proposed new public water system or six months before initiating construction of any facility or component of a new public water system, whichever is earliest. This report shall include all of the following: (1) The name of each public water system for which any service area boundary is within three miles of any boundary of the applicant' s proposed public water system's service area. (2) A discussion of the feasibility of each of the adjacent public water systems annexing, connecting, or otherwise supplying domestic water to the service area of the applicant's proposed public water system. (3) All proposed sources of domestic water supply for the proposed new public water system. (4) The estimated cost to construct, operate, and maintain the proposed new public water system, including long-term operation and maintenance costs and a proposed rate structure. (5) A comparison of the cost associated with the construction, operation and maintenance, and long-term sustainability of the proposed new public water system to costs associated with the annexation, consolidation, or connection to an existing public water system. (6) A discussion of all actions taken by the applicant to secure a supply of domestic water from an existing public water system for the service area of the proposed new public water system. (7) A discussion of all actions taken by the applicant to pursue a contract for managerial or operational oversight from an existing public water system. (c) Upon review of a preliminary technical report submitted pursuant to this section, the state board may do all of the following actions: (1) Direct the applicant to undertake additional discussion and negotiation with any existing public water system the state board determines has the technical, managerial, and financial capacity to provide an adequate and reliable supply of domestic water to the service area of the proposed new public water system. (2) Direct the applicant to report on the results of discussion and negotiations conducted pursuant to paragraph (1) to the state board. (3) Establish a time schedule for the applicant's performance of directives issued pursuant to this subdivision. (d) An applicant shall comply with the state board's directives before submitting an application for a permit under this chapter. (e) The state board's review of a preliminary technical report pursuant to this section shall not be deemed approval of a project or approval of any permit application submitted under this chapter. SEC. 2. Section 116540 of the Health and Safety Code is amended to read: 116540.  (a)    Following completion of the investigation and satisfaction of the requirements of  subdivisions (a) and (b)  paragraphs (1) and (2)  , the  department   state board  shall issue or deny the permit. The  department   state board  may impose permit conditions, requirements for system improvements,  technical, financial, or managerial requirements,  and time schedules as it deems necessary to ensure a reliable and adequate supply of water at all times that is pure, wholesome, potable, and does not endanger the health of consumers.  (a) No   (1)     A  public water system that was not in existence on January 1, 1998, shall  not  be granted a permit unless the  public water  system demonstrates to the  department  state board  that the water supplier possesses adequate  water rights, as well as  financial, managerial, and technical capability to ensure the delivery of pure, wholesome, and potable drinking water. This section shall also apply to any change of ownership of a public water  system that occurs after January 1, 1998.   system, including the consolidation of a public water system.   (b) No   (2)     A  permit under this chapter shall  not  be issued to an association organized under Title 3 (commencing with Section 18000) of the Corporations Code. This section shall not apply to unincorporated associations  that   that,  as of December 31, 1990, are holders of a permit issued under this chapter.  (b) Notwithstanding Section 116330, a local primacy agency shall not issue a permit under this chapter without the concurrence of the state board.   (c) If the state board determines that the service area of the public water system addressed by an application under this article can be served by one or more currently permitted public water systems, the state board may deny the permit.