Amended IN Senate June 18, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 489Introduced by Assembly Member Mark StoneFebruary 12, 2019 An act to amend Section 12585.7 12687.5 of the Water Code, relating to water. LEGISLATIVE COUNSEL'S DIGESTAB 489, as amended, Mark Stone. Water development projects: Flood control: state financial assistance. assistance: Pajaro River.Existing law provides for state cooperation with the federal government in the construction of specified flood control projects, and prescribes requirements to be met prior to state authorization of flood management projects that receive state financial aid. Existing law authorizes the state to provide subvention funds, as prescribed, to the Counties of Monterey and Santa Cruz, or to local agencies in those counties, for a flood control project on the Pajaro River, as described, at an estimated cost to the state of the sum that may be appropriated by the Legislature upon the recommendation and advice of the Department of Water Resources, as specified, and provided the county or local agency receiving these funds indemnifies the state for liability that may result from the project.This bill would authorize the state, upon appropriation by the Legislature, to make funds available to plan, engineer, design, and construct a flood control project on the Pajaro River, as described. In the absence of federal funding, the bill would authorize the state, through the Flood Control Subventions Program, to provide this funding for the project as the project is described in an unspecified report by the United States Army Corps of Engineers. This bill would limit the funding for planning, engineering, designing, and constructing the project to the amount that would be the equivalent state share if there was federal project funding.Existing law provides for state cooperation with the federal government in the construction of specified flood control projects. For certain flood control projects authorized on or after January 1, 2002, or for which specified findings have been made on or after that date, the act requires the state to pay 50% of specified nonfederal costs. Existing law authorizes the state to pay up to 70% of those nonfederal costs upon the recommendation of the Department of Water Resources or the Central Valley Flood Protection Board if either entity determines that the project will advance one of several objectives. Those objectives include developing or enhancing certain recreational opportunities.This bill would, for purposes of eligibility for increasing the state share of those nonfederal costs to 70%, include in those recreational opportunities outdoor recreational areas, sports complexes, and musical venues.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 12687.5 of the Water Code is amended to read:12687.5. (a) The state may provide subvention funds in accordance with Section 12585.7 to the Counties of Monterey and Santa Cruz, or to local agencies in those counties, for the project for flood control on the Pajaro River in the Counties of Monterey and Santa Cruz, authorized by the Flood Control Act of 1966 (Public Law 89-789), that is substantially in accordance with the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as follows:(1) At an estimated cost to the state of the sum that may be appropriated for state cooperation by the Legislature upon the recommendations and advice of the department.(2) Upon a specific written determination by the department that the project meets the requirements of Section 12582.7.(b) The state assumes no liability for damages that may result from the project by either of the following:(1) Authorizing the provision of subvention funds in accordance with this section.(2) The appropriation by the Legislature of these subvention funds upon the recommendations and advice of the department.(c) A county or local agency may receive the subvention funds only if it enters into an agreement with the department pursuant to which the county or local agency agrees to indemnify and hold and save harmless the state, its officers, agents, and employees for any and all liability for damages that may result from the project.(d) For the purposes of this section, liability for damages includes, but is not limited to, liability for damages relating to the construction or operation of the project or the failure of the project to operate as intended.(e) State funding, available upon appropriation by the Legislature, may be used for planning, engineering, designing, and constructing the project within authorized project boundaries as set forth in the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as authorized by the Flood Control Act of 1966 (Public Law 89-789). In the absence of federal funding, the state, through the Flood Control Subventions Program, may fund the planning, engineering, design, and construction of the authorized project, as specified in the Army Corps of Engineers report entitled ____ , in which case the funding shall not exceed the amount that would be the equivalent state share if there was federal project funding.SECTION 1.Section 12585.7 of the Water Code is amended to read:12585.7.Notwithstanding any other provision of this chapter, Chapter 2 (commencing with Section 12639), or Chapter 3 (commencing with Section 12800), the following requirements apply to projects authorized by the Legislature on or after January 1, 2002, and to small flood management projects authorized by Section 12750 for which the department makes the findings required by Section 12750.1 on or after January 1, 2002:(a)The state shall pay 50 percent of the nonfederal capital costs required by Section 2213 of Title 33 of the United States Code.(b)The state shall pay 50 percent of the nonfederal capital costs of fish, wildlife, and recreation mitigation.(c)The state shall pay 50 percent of the nonfederal planning and engineering costs required by Section 2215(b) of Title 33 of the United States Code and the nonfederal design costs required by Section 2215(c) of Title 33 of the United States Code.(d)The state share of the nonfederal capital costs authorized in subdivisions (a), (b), and (c) may be increased by up to an additional 20 percent, to a maximum of 70 percent, upon the recommendation of the department or the Central Valley Flood Protection Board, if either entity determines that the project will result in a significant contribution to any of the following objectives:(1)Protects, creates, enhances, or provides opportunities for enhancement of endangered species, riparian, aquatic, terrestrial, or other important habitats.(2)Protects or enhances open space.(3)Develops or enhances recreational opportunities that include, but shall not be limited to, picnic areas, foot and bike paths, outdoor recreational areas, sports complexes, and musical venues, and provides public access to all or nearly all of the project works, except those areas where public access would constitute a threat to public safety or habitat or would constitute a trespass on private property.(4)Increases the level of flood protection for disadvantaged communities, as defined in Section 79505.5.(5)Increases the level of flood protection for state transportation facilities or state water supply facilities.(e)(1)The department or Central Valley Flood Protection Board shall include their recommendations with regard to increased cost sharing in the report prepared pursuant to subdivision (b) of Section 12582.7, if so prepared, or in any addendum to that report.(2)The department or Central Valley Flood Protection Board shall determine whether the project will result in a significant contribution to the prescribed objectives based upon substantial evidence in the record. The department shall develop, by regulation pursuant to Section 12601, criteria for making the determinations as to whether projects will make significant contributions to the objectives described in subdivision (d).(f)The state payments under subdivisions (a) and (b) are subject to Section 12585.1. State payments under subdivision (c) are not subject to Section 12585.1. Amended IN Senate June 18, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 489Introduced by Assembly Member Mark StoneFebruary 12, 2019 An act to amend Section 12585.7 12687.5 of the Water Code, relating to water. LEGISLATIVE COUNSEL'S DIGESTAB 489, as amended, Mark Stone. Water development projects: Flood control: state financial assistance. assistance: Pajaro River.Existing law provides for state cooperation with the federal government in the construction of specified flood control projects, and prescribes requirements to be met prior to state authorization of flood management projects that receive state financial aid. Existing law authorizes the state to provide subvention funds, as prescribed, to the Counties of Monterey and Santa Cruz, or to local agencies in those counties, for a flood control project on the Pajaro River, as described, at an estimated cost to the state of the sum that may be appropriated by the Legislature upon the recommendation and advice of the Department of Water Resources, as specified, and provided the county or local agency receiving these funds indemnifies the state for liability that may result from the project.This bill would authorize the state, upon appropriation by the Legislature, to make funds available to plan, engineer, design, and construct a flood control project on the Pajaro River, as described. In the absence of federal funding, the bill would authorize the state, through the Flood Control Subventions Program, to provide this funding for the project as the project is described in an unspecified report by the United States Army Corps of Engineers. This bill would limit the funding for planning, engineering, designing, and constructing the project to the amount that would be the equivalent state share if there was federal project funding.Existing law provides for state cooperation with the federal government in the construction of specified flood control projects. For certain flood control projects authorized on or after January 1, 2002, or for which specified findings have been made on or after that date, the act requires the state to pay 50% of specified nonfederal costs. Existing law authorizes the state to pay up to 70% of those nonfederal costs upon the recommendation of the Department of Water Resources or the Central Valley Flood Protection Board if either entity determines that the project will advance one of several objectives. Those objectives include developing or enhancing certain recreational opportunities.This bill would, for purposes of eligibility for increasing the state share of those nonfederal costs to 70%, include in those recreational opportunities outdoor recreational areas, sports complexes, and musical venues.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Amended IN Senate June 18, 2019 Amended IN Senate June 18, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 489 Introduced by Assembly Member Mark StoneFebruary 12, 2019 Introduced by Assembly Member Mark Stone February 12, 2019 An act to amend Section 12585.7 12687.5 of the Water Code, relating to water. LEGISLATIVE COUNSEL'S DIGEST ## LEGISLATIVE COUNSEL'S DIGEST AB 489, as amended, Mark Stone. Water development projects: Flood control: state financial assistance. assistance: Pajaro River. Existing law provides for state cooperation with the federal government in the construction of specified flood control projects, and prescribes requirements to be met prior to state authorization of flood management projects that receive state financial aid. Existing law authorizes the state to provide subvention funds, as prescribed, to the Counties of Monterey and Santa Cruz, or to local agencies in those counties, for a flood control project on the Pajaro River, as described, at an estimated cost to the state of the sum that may be appropriated by the Legislature upon the recommendation and advice of the Department of Water Resources, as specified, and provided the county or local agency receiving these funds indemnifies the state for liability that may result from the project.This bill would authorize the state, upon appropriation by the Legislature, to make funds available to plan, engineer, design, and construct a flood control project on the Pajaro River, as described. In the absence of federal funding, the bill would authorize the state, through the Flood Control Subventions Program, to provide this funding for the project as the project is described in an unspecified report by the United States Army Corps of Engineers. This bill would limit the funding for planning, engineering, designing, and constructing the project to the amount that would be the equivalent state share if there was federal project funding.Existing law provides for state cooperation with the federal government in the construction of specified flood control projects. For certain flood control projects authorized on or after January 1, 2002, or for which specified findings have been made on or after that date, the act requires the state to pay 50% of specified nonfederal costs. Existing law authorizes the state to pay up to 70% of those nonfederal costs upon the recommendation of the Department of Water Resources or the Central Valley Flood Protection Board if either entity determines that the project will advance one of several objectives. Those objectives include developing or enhancing certain recreational opportunities.This bill would, for purposes of eligibility for increasing the state share of those nonfederal costs to 70%, include in those recreational opportunities outdoor recreational areas, sports complexes, and musical venues. Existing law provides for state cooperation with the federal government in the construction of specified flood control projects, and prescribes requirements to be met prior to state authorization of flood management projects that receive state financial aid. Existing law authorizes the state to provide subvention funds, as prescribed, to the Counties of Monterey and Santa Cruz, or to local agencies in those counties, for a flood control project on the Pajaro River, as described, at an estimated cost to the state of the sum that may be appropriated by the Legislature upon the recommendation and advice of the Department of Water Resources, as specified, and provided the county or local agency receiving these funds indemnifies the state for liability that may result from the project. This bill would authorize the state, upon appropriation by the Legislature, to make funds available to plan, engineer, design, and construct a flood control project on the Pajaro River, as described. In the absence of federal funding, the bill would authorize the state, through the Flood Control Subventions Program, to provide this funding for the project as the project is described in an unspecified report by the United States Army Corps of Engineers. This bill would limit the funding for planning, engineering, designing, and constructing the project to the amount that would be the equivalent state share if there was federal project funding. Existing law provides for state cooperation with the federal government in the construction of specified flood control projects. For certain flood control projects authorized on or after January 1, 2002, or for which specified findings have been made on or after that date, the act requires the state to pay 50% of specified nonfederal costs. Existing law authorizes the state to pay up to 70% of those nonfederal costs upon the recommendation of the Department of Water Resources or the Central Valley Flood Protection Board if either entity determines that the project will advance one of several objectives. Those objectives include developing or enhancing certain recreational opportunities. This bill would, for purposes of eligibility for increasing the state share of those nonfederal costs to 70%, include in those recreational opportunities outdoor recreational areas, sports complexes, and musical venues. ## Digest Key ## Bill Text The people of the State of California do enact as follows:SECTION 1. Section 12687.5 of the Water Code is amended to read:12687.5. (a) The state may provide subvention funds in accordance with Section 12585.7 to the Counties of Monterey and Santa Cruz, or to local agencies in those counties, for the project for flood control on the Pajaro River in the Counties of Monterey and Santa Cruz, authorized by the Flood Control Act of 1966 (Public Law 89-789), that is substantially in accordance with the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as follows:(1) At an estimated cost to the state of the sum that may be appropriated for state cooperation by the Legislature upon the recommendations and advice of the department.(2) Upon a specific written determination by the department that the project meets the requirements of Section 12582.7.(b) The state assumes no liability for damages that may result from the project by either of the following:(1) Authorizing the provision of subvention funds in accordance with this section.(2) The appropriation by the Legislature of these subvention funds upon the recommendations and advice of the department.(c) A county or local agency may receive the subvention funds only if it enters into an agreement with the department pursuant to which the county or local agency agrees to indemnify and hold and save harmless the state, its officers, agents, and employees for any and all liability for damages that may result from the project.(d) For the purposes of this section, liability for damages includes, but is not limited to, liability for damages relating to the construction or operation of the project or the failure of the project to operate as intended.(e) State funding, available upon appropriation by the Legislature, may be used for planning, engineering, designing, and constructing the project within authorized project boundaries as set forth in the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as authorized by the Flood Control Act of 1966 (Public Law 89-789). In the absence of federal funding, the state, through the Flood Control Subventions Program, may fund the planning, engineering, design, and construction of the authorized project, as specified in the Army Corps of Engineers report entitled ____ , in which case the funding shall not exceed the amount that would be the equivalent state share if there was federal project funding.SECTION 1.Section 12585.7 of the Water Code is amended to read:12585.7.Notwithstanding any other provision of this chapter, Chapter 2 (commencing with Section 12639), or Chapter 3 (commencing with Section 12800), the following requirements apply to projects authorized by the Legislature on or after January 1, 2002, and to small flood management projects authorized by Section 12750 for which the department makes the findings required by Section 12750.1 on or after January 1, 2002:(a)The state shall pay 50 percent of the nonfederal capital costs required by Section 2213 of Title 33 of the United States Code.(b)The state shall pay 50 percent of the nonfederal capital costs of fish, wildlife, and recreation mitigation.(c)The state shall pay 50 percent of the nonfederal planning and engineering costs required by Section 2215(b) of Title 33 of the United States Code and the nonfederal design costs required by Section 2215(c) of Title 33 of the United States Code.(d)The state share of the nonfederal capital costs authorized in subdivisions (a), (b), and (c) may be increased by up to an additional 20 percent, to a maximum of 70 percent, upon the recommendation of the department or the Central Valley Flood Protection Board, if either entity determines that the project will result in a significant contribution to any of the following objectives:(1)Protects, creates, enhances, or provides opportunities for enhancement of endangered species, riparian, aquatic, terrestrial, or other important habitats.(2)Protects or enhances open space.(3)Develops or enhances recreational opportunities that include, but shall not be limited to, picnic areas, foot and bike paths, outdoor recreational areas, sports complexes, and musical venues, and provides public access to all or nearly all of the project works, except those areas where public access would constitute a threat to public safety or habitat or would constitute a trespass on private property.(4)Increases the level of flood protection for disadvantaged communities, as defined in Section 79505.5.(5)Increases the level of flood protection for state transportation facilities or state water supply facilities.(e)(1)The department or Central Valley Flood Protection Board shall include their recommendations with regard to increased cost sharing in the report prepared pursuant to subdivision (b) of Section 12582.7, if so prepared, or in any addendum to that report.(2)The department or Central Valley Flood Protection Board shall determine whether the project will result in a significant contribution to the prescribed objectives based upon substantial evidence in the record. The department shall develop, by regulation pursuant to Section 12601, criteria for making the determinations as to whether projects will make significant contributions to the objectives described in subdivision (d).(f)The state payments under subdivisions (a) and (b) are subject to Section 12585.1. State payments under subdivision (c) are not subject to Section 12585.1. The people of the State of California do enact as follows: ## The people of the State of California do enact as follows: SECTION 1. Section 12687.5 of the Water Code is amended to read:12687.5. (a) The state may provide subvention funds in accordance with Section 12585.7 to the Counties of Monterey and Santa Cruz, or to local agencies in those counties, for the project for flood control on the Pajaro River in the Counties of Monterey and Santa Cruz, authorized by the Flood Control Act of 1966 (Public Law 89-789), that is substantially in accordance with the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as follows:(1) At an estimated cost to the state of the sum that may be appropriated for state cooperation by the Legislature upon the recommendations and advice of the department.(2) Upon a specific written determination by the department that the project meets the requirements of Section 12582.7.(b) The state assumes no liability for damages that may result from the project by either of the following:(1) Authorizing the provision of subvention funds in accordance with this section.(2) The appropriation by the Legislature of these subvention funds upon the recommendations and advice of the department.(c) A county or local agency may receive the subvention funds only if it enters into an agreement with the department pursuant to which the county or local agency agrees to indemnify and hold and save harmless the state, its officers, agents, and employees for any and all liability for damages that may result from the project.(d) For the purposes of this section, liability for damages includes, but is not limited to, liability for damages relating to the construction or operation of the project or the failure of the project to operate as intended.(e) State funding, available upon appropriation by the Legislature, may be used for planning, engineering, designing, and constructing the project within authorized project boundaries as set forth in the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as authorized by the Flood Control Act of 1966 (Public Law 89-789). In the absence of federal funding, the state, through the Flood Control Subventions Program, may fund the planning, engineering, design, and construction of the authorized project, as specified in the Army Corps of Engineers report entitled ____ , in which case the funding shall not exceed the amount that would be the equivalent state share if there was federal project funding. SECTION 1. Section 12687.5 of the Water Code is amended to read: ### SECTION 1. 12687.5. (a) The state may provide subvention funds in accordance with Section 12585.7 to the Counties of Monterey and Santa Cruz, or to local agencies in those counties, for the project for flood control on the Pajaro River in the Counties of Monterey and Santa Cruz, authorized by the Flood Control Act of 1966 (Public Law 89-789), that is substantially in accordance with the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as follows:(1) At an estimated cost to the state of the sum that may be appropriated for state cooperation by the Legislature upon the recommendations and advice of the department.(2) Upon a specific written determination by the department that the project meets the requirements of Section 12582.7.(b) The state assumes no liability for damages that may result from the project by either of the following:(1) Authorizing the provision of subvention funds in accordance with this section.(2) The appropriation by the Legislature of these subvention funds upon the recommendations and advice of the department.(c) A county or local agency may receive the subvention funds only if it enters into an agreement with the department pursuant to which the county or local agency agrees to indemnify and hold and save harmless the state, its officers, agents, and employees for any and all liability for damages that may result from the project.(d) For the purposes of this section, liability for damages includes, but is not limited to, liability for damages relating to the construction or operation of the project or the failure of the project to operate as intended.(e) State funding, available upon appropriation by the Legislature, may be used for planning, engineering, designing, and constructing the project within authorized project boundaries as set forth in the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as authorized by the Flood Control Act of 1966 (Public Law 89-789). In the absence of federal funding, the state, through the Flood Control Subventions Program, may fund the planning, engineering, design, and construction of the authorized project, as specified in the Army Corps of Engineers report entitled ____ , in which case the funding shall not exceed the amount that would be the equivalent state share if there was federal project funding. 12687.5. (a) The state may provide subvention funds in accordance with Section 12585.7 to the Counties of Monterey and Santa Cruz, or to local agencies in those counties, for the project for flood control on the Pajaro River in the Counties of Monterey and Santa Cruz, authorized by the Flood Control Act of 1966 (Public Law 89-789), that is substantially in accordance with the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as follows:(1) At an estimated cost to the state of the sum that may be appropriated for state cooperation by the Legislature upon the recommendations and advice of the department.(2) Upon a specific written determination by the department that the project meets the requirements of Section 12582.7.(b) The state assumes no liability for damages that may result from the project by either of the following:(1) Authorizing the provision of subvention funds in accordance with this section.(2) The appropriation by the Legislature of these subvention funds upon the recommendations and advice of the department.(c) A county or local agency may receive the subvention funds only if it enters into an agreement with the department pursuant to which the county or local agency agrees to indemnify and hold and save harmless the state, its officers, agents, and employees for any and all liability for damages that may result from the project.(d) For the purposes of this section, liability for damages includes, but is not limited to, liability for damages relating to the construction or operation of the project or the failure of the project to operate as intended.(e) State funding, available upon appropriation by the Legislature, may be used for planning, engineering, designing, and constructing the project within authorized project boundaries as set forth in the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as authorized by the Flood Control Act of 1966 (Public Law 89-789). In the absence of federal funding, the state, through the Flood Control Subventions Program, may fund the planning, engineering, design, and construction of the authorized project, as specified in the Army Corps of Engineers report entitled ____ , in which case the funding shall not exceed the amount that would be the equivalent state share if there was federal project funding. 12687.5. (a) The state may provide subvention funds in accordance with Section 12585.7 to the Counties of Monterey and Santa Cruz, or to local agencies in those counties, for the project for flood control on the Pajaro River in the Counties of Monterey and Santa Cruz, authorized by the Flood Control Act of 1966 (Public Law 89-789), that is substantially in accordance with the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as follows:(1) At an estimated cost to the state of the sum that may be appropriated for state cooperation by the Legislature upon the recommendations and advice of the department.(2) Upon a specific written determination by the department that the project meets the requirements of Section 12582.7.(b) The state assumes no liability for damages that may result from the project by either of the following:(1) Authorizing the provision of subvention funds in accordance with this section.(2) The appropriation by the Legislature of these subvention funds upon the recommendations and advice of the department.(c) A county or local agency may receive the subvention funds only if it enters into an agreement with the department pursuant to which the county or local agency agrees to indemnify and hold and save harmless the state, its officers, agents, and employees for any and all liability for damages that may result from the project.(d) For the purposes of this section, liability for damages includes, but is not limited to, liability for damages relating to the construction or operation of the project or the failure of the project to operate as intended.(e) State funding, available upon appropriation by the Legislature, may be used for planning, engineering, designing, and constructing the project within authorized project boundaries as set forth in the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as authorized by the Flood Control Act of 1966 (Public Law 89-789). In the absence of federal funding, the state, through the Flood Control Subventions Program, may fund the planning, engineering, design, and construction of the authorized project, as specified in the Army Corps of Engineers report entitled ____ , in which case the funding shall not exceed the amount that would be the equivalent state share if there was federal project funding. 12687.5. (a) The state may provide subvention funds in accordance with Section 12585.7 to the Counties of Monterey and Santa Cruz, or to local agencies in those counties, for the project for flood control on the Pajaro River in the Counties of Monterey and Santa Cruz, authorized by the Flood Control Act of 1966 (Public Law 89-789), that is substantially in accordance with the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as follows: (1) At an estimated cost to the state of the sum that may be appropriated for state cooperation by the Legislature upon the recommendations and advice of the department. (2) Upon a specific written determination by the department that the project meets the requirements of Section 12582.7. (b) The state assumes no liability for damages that may result from the project by either of the following: (1) Authorizing the provision of subvention funds in accordance with this section. (2) The appropriation by the Legislature of these subvention funds upon the recommendations and advice of the department. (c) A county or local agency may receive the subvention funds only if it enters into an agreement with the department pursuant to which the county or local agency agrees to indemnify and hold and save harmless the state, its officers, agents, and employees for any and all liability for damages that may result from the project. (d) For the purposes of this section, liability for damages includes, but is not limited to, liability for damages relating to the construction or operation of the project or the failure of the project to operate as intended. (e) State funding, available upon appropriation by the Legislature, may be used for planning, engineering, designing, and constructing the project within authorized project boundaries as set forth in the recommendations of the Chief of Engineers of the United States Army Corps of Engineers in House Document 491, 89th Congress, as authorized by the Flood Control Act of 1966 (Public Law 89-789). In the absence of federal funding, the state, through the Flood Control Subventions Program, may fund the planning, engineering, design, and construction of the authorized project, as specified in the Army Corps of Engineers report entitled ____ , in which case the funding shall not exceed the amount that would be the equivalent state share if there was federal project funding. Notwithstanding any other provision of this chapter, Chapter 2 (commencing with Section 12639), or Chapter 3 (commencing with Section 12800), the following requirements apply to projects authorized by the Legislature on or after January 1, 2002, and to small flood management projects authorized by Section 12750 for which the department makes the findings required by Section 12750.1 on or after January 1, 2002: (a)The state shall pay 50 percent of the nonfederal capital costs required by Section 2213 of Title 33 of the United States Code. (b)The state shall pay 50 percent of the nonfederal capital costs of fish, wildlife, and recreation mitigation. (c)The state shall pay 50 percent of the nonfederal planning and engineering costs required by Section 2215(b) of Title 33 of the United States Code and the nonfederal design costs required by Section 2215(c) of Title 33 of the United States Code. (d)The state share of the nonfederal capital costs authorized in subdivisions (a), (b), and (c) may be increased by up to an additional 20 percent, to a maximum of 70 percent, upon the recommendation of the department or the Central Valley Flood Protection Board, if either entity determines that the project will result in a significant contribution to any of the following objectives: (1)Protects, creates, enhances, or provides opportunities for enhancement of endangered species, riparian, aquatic, terrestrial, or other important habitats. (2)Protects or enhances open space. (3)Develops or enhances recreational opportunities that include, but shall not be limited to, picnic areas, foot and bike paths, outdoor recreational areas, sports complexes, and musical venues, and provides public access to all or nearly all of the project works, except those areas where public access would constitute a threat to public safety or habitat or would constitute a trespass on private property. (4)Increases the level of flood protection for disadvantaged communities, as defined in Section 79505.5. (5)Increases the level of flood protection for state transportation facilities or state water supply facilities. (e)(1)The department or Central Valley Flood Protection Board shall include their recommendations with regard to increased cost sharing in the report prepared pursuant to subdivision (b) of Section 12582.7, if so prepared, or in any addendum to that report. (2)The department or Central Valley Flood Protection Board shall determine whether the project will result in a significant contribution to the prescribed objectives based upon substantial evidence in the record. The department shall develop, by regulation pursuant to Section 12601, criteria for making the determinations as to whether projects will make significant contributions to the objectives described in subdivision (d). (f)The state payments under subdivisions (a) and (b) are subject to Section 12585.1. State payments under subdivision (c) are not subject to Section 12585.1.