The Barbed Wire - June 26, 2015

June 26, 2015
Committees for Special Session Appointed
State Reflects Importance of Wildfire Disaster Funding Act
Secretary Vilsack Announces $150 Million to Support Drought-Stricken California
Safe Drinking Water Plan Released
State Water Board Workshop on Temperature Management Plan
Conservation Water Pricing
Water-Energy Grants Announced
U.S. Senate Unveils Transportation Proposal
RCRC Submits Testimony for House Rural Transportation Hearing
US Forest Service Withdraws Groundwater Directive
House Interior-EPA spending Bill Delayed
House Natural Resources Committee Water Subpanel Hearing
Transportation and Housing Appropriations Bill Moves to Senate Floor
CalPERS Risk Mitigation Strategy and Impact to Contributions
New CDFW Funding for Fisheries Drought Restoration Program
New CDBG Policy on Program Guidelines Review
AHSC Program Award Recipients
Legislative Update
Regulatory Update

Committees for Special Session Appointed

This week, Speaker of the Assembly Toni Atkins (D-San Diego) and Senate pro Tempore Kevin De León (D-Los Angeles) announced the members who will serve on the special session committees.  Each special extraordinary session consists of three committees and will address the policy and fiscal components of the bills that will be heard. The Extraordinary Sessions - one on Transportation and Infrastructure (First Extraordinary Session) and one on Health Care Financing (Second Extraordinary Session) - were called by the Governor as part of the Budget negotiation process and will address components of the Budget that do not need to be passed by the July 1 fiscal deadline. 

The Special Session on Transportation provides the Legislature an additional avenue to reach an agreement over new transportation revenues to fix our crumbling state highways and local streets and roads.  Recent estimates project an annual $6 billion State and $8 billion local transportation maintenance backlog due to the ongoing gap in transportation funding.  Senator Jim Beall (D-San Jose), Chair of the Senate Transportation and Housing Committee reintroduced Senate Bill 16 as Senate Bill 1X in the special session, which would provide between $3 - $5 billion in funding to address the state and local transportation maintenance backlog.  The RCRC Board of Directors recently adopted a support position on both of these measures providing RCRC staff the ability to work with state and local transportation stakeholders to advance the measure during the special session. 

The Health Care Financing Session will cover a redraft of the managed care organization (MCO) tax, defraying the ongoing costs of implementation of the Affordable Care Act (ACA), and possibly increasing reimbursement rates for Medi-Cal providers which RCRC strongly supports. 

1st Extraordinary Session on Transportation and Infrastructure

Senate

Rules & Appropriations Committees – same membership as regular session.

Transportation and Infrastructure Development Committee:

Jim Beall (D-San Jose), Chair

Anthony Cannella (R-Ceres), Vice Chair

Benjamin Allen (D-Santa Monica)

Patricia Bates (R-Laguna Niguel)

Tom Berryhill (R-Twain Harte)

Ted Gaines (R-Roseville)

Robert Hertzberg (D-Van Nuys)

Connie Leyva (D-Chino)

Carol Liu (D-La Cañada/Flintridge)

Mike McGuire (D-Healdsburg)

Tony Mendoza (D-Artesia)

Fran Pavley (D-Agoura Hills)

Bob Wieckowski (D-Fremont)

Assembly

Rules Committee – same membership as regular session.

Finance Committee:

Jimmy Gomez (D-Los Angeles), Chair

Frank Bigelow (R-O’Neals), Vice Chair

Richard Bloom (D-Santa Monica)

Reginald Byron Jones-Sawyer, Sr. (D-Los Angeles)

Kevin McCarty (D-Sacramento)

Melissa A. Melendez (R-Lake Elsinore)

Jay Obernolte (R-Big Bear Lake)

Philip Y. Ting (D-San Francisco)

Shirley N. Weber (D-San Diego)

Transportation and Infrastructure Development Committee:

Jim Frazier (D-Oakley), Chair

Katcho Achadjian (R-San Luis Obispo), Vice Chair

Luis A. Alejo (D-Watsonville)

Autumn R. Burke (D-Inglewood)

David Chiu (D-San Francisco)

Bill Dodd (D-Napa)

Susan Talamantes Eggman (D-Stockton)

Mike Gatto (D-Glendale)

David Hadley (R-Manhattan Beach)

Young O. Kim (R-Fullerton)

Eric Linder (R-Corona)

Adrin Nazarian (D-Sherman Oaks)

Patrick O’Donnell (D-Long Beach)

2nd Extraordinary Session on Health Care Financing

Senate

Rules & Appropriations Committees – same membership as regular session.

Public Health and Developmental Services Committee:

Ed Hernandez (D-West Covina), Chair

Mike Morrell (R-Rancho Cucamonga), Vice Chair

Joel Anderson (R-Alpine)

Jim Beall (D-San Jose)

Isadore Hall, III (D-South Bay)

Mark Leno (D-San Francisco)

Mike McGuire (D-Healdsburg)

Holly Mitchell (D-Los Angeles)

John Moorlach (R-Irvine)

Bill Monning (D-Carmel)

Jim Nielsen (R-Gerber)

Richard Pan (D-Sacramento)

Lois Wolk (D-Davis)

 

Assembly

Rules Committee – same membership as regular session.

Finance Committee:

Shirley N. Weber (D-San Diego), Chair

Melissa A. Melendez (R-Lake Elsinore), Vice Chair

Frank Bigelow (R-O’Neals)

Richard Bloom (D-Santa Monica)

Reginald Byron Jones-Sawyer, Sr. (D-Los Angeles)

Jimmy Gomez (D-Los Angeles)

Kevin McCarty (D-Sacramento)

Jay Obernolte (R-Big Bear Lake)

Philip Y. Ting (D-San Francisco)

Public Health and Developmental Services Committee:

Rob Bonta (D-Alameda), Chair

Brian Maienschein (R-San Diego), Vice Chair

Catharine B. Baker (R-Dublin)

Susan A. Bonilla (D-Concord)

Nora Campos (D-San Jose)

Eduardo Garcia (D-Coachella)

Marc Levine (D-San Rafael)

Chad Mayes (R-Yucca Valley)

Miguel Santiago (D-Los Angeles)

Marc Steinorth (R-Rancho Cucamonga)

Mark Stone (D-Scotts Valley)

Tony Thurmond (D-Richmond)

Jim Wood (D-Healdsburg)

State Reflects Importance of Wildfire Disaster Funding Act

This week, RCRC-supported Assembly Joint Resolution 18 by Assembly Member Jim Patterson (R-Fresno) passed out of the Assembly Natural Resources Committee.  Introduced less than a month ago, the resolution calls on the State of California to support the federal bill H.R. 167 (Simpson, R-ID and Schrader, D-OR) - the Wildfire Disaster Funding Act (WDFA).  Long-supported by RCRC and the California Forest Watershed Alliance (CAFWA), of which RCRC is a founding member, the WDFA would change the way wildfire disasters are funded.  The ultimate goal of the WDFA is to help protect fire prevention and forest management money from being used on firefighting costs. 

The WDFA is supported by a broad coalition of local government, environmental, and community groups, and would effectively separate fire suppression costs of the most catastrophic fires from other budgeted forest activities.  This special set aside, would prevent “fire borrowing” or the action of taking funding out of critical fire prevention and forest health programs to pay for the costs of responding to catastrophic and particularly costly wildfires.

Just twenty years ago, the United States Forest Service (USFS) was spending approximately 15 percent of its total budget on firefighting; today they spend 40 percent or moreon firefighting. .  In the past two decades, the agency has been forced to shift more and more away from fire prevention and forest health activities to focus their limited resources on fire suppression.  This system creates a large backlog of needed projects that could prevent future fire disasters.  Moreover, the potential need for the money later in a fire season makes land management agencies extra cautious about large-scale forest health projects due to the possible need to de-fund those projects mid-year due to fire borrowing.

RCRC continues to push for a policy change to put fire disasters on a par with the way other types of disasters such as floods and hurricanes are funded, and allow for critically needed fire prevention projects to be completed to end the vicious cycle of wildfire disaster in California.  RCRC strongly supports the voice of the California Legislature joining this effort and supports AJR 18.  Read RCRC’s support letter can be accessed here.

For additional information on the WDFA, please contact RCRC Legislative Advocate Cyndi Hillery at (916) 447-4806 or chillery@rcrcnet.org.

Secretary Vilsack Announces $150 Million to Support Drought-Stricken California

This week, Agriculture Secretary Tom Vilsack, Interior Deputy Secretary Mike Connor, and Natural Resources Secretary John Laird announced a new partnership focused on conserving and restoring the Sierra-Cascade California Headwaters, as part of President Obama’s Resilient Lands and Waters initiative.  Over the next two years, the U.S. Department of Agriculture’s (USDA), Forest Service (FS), and Natural Resources Conservation Service (NRCS) will invest $130 million.

USDA  also announced that $13.7 million is available to California producers and ranchers through NRCS’s Environmental Quality Incentives Program (EQIP), and approximately $6 million remains available to drought-stricken communities through Rural Development’s Emergency Community Water Assistance (ECWAG), making nearly $20 million available to drought-affected communities. 

USDA’s Statement “California-based Organizations Support Federal and State Investments to Support Water Quality and Quantity in Drought-Stricken California” can be accessed here

Additional information on ECWAG grants can be accessed here.

Additional information on EQIP can be accessed here.

Safe Drinking Water Plan Released

On June 19, the State Water Resources Control Board (State Water Board) sent to the Legislature its blueprint for supplying safe drinking water to all Californians.  The Safe Drinking Water Plan for California (Drinking Water Plan) focuses on the nearly 8,000 public water systems that are under the purview of the Division of Drinking Water.   The report includes a five-action plan to support and provide resources to the water systems that serve the 2 percent of consumers who do not receive safe drinking water. 

Some of the key areas addressed in the report include accessing water in a drought; providing safe drinking water for disadvantaged communities; increasing and sustaining capacity development of systems; identifying shared solutions to supplying safe drinking water, including consolidation of systems; developing cheaper and effective treatment and analytical methods; and, building better emergency preparedness and response protocols for small systems.  The Plan can be accessed at here.

The Drinking Water Plan does not address private wells and facilities that are not public water systems.  However, the Legislature passed an Administration-backed Budget Trailer Bill, Senate Bill 88, the same day that the Drinking Water Plan was released that authorizes the State Water Board to mandate the consolidation or extension of service of public water systems where there is a disadvantaged community that is in an unincorporated area.  Systems subject to mandated consolidation or extension of service include public water systems, state small water systems, or affected residences not serviced by a public water system (i.e. mutual water companies, investor-owned utilities, residences reliant on individual wells).   SB 88 can be accessed here.

State Water Board Workshop on Temperature Management Plan

This week, the State Water Resources Control Board (State Water Board) held a workshop to hear comments on a proposed temperature management plan for the Sacramento River developed by state and federal officials to preserve cool water behind Shasta Dam to protect winter-run Chinook salmon.  Implementation of the temperature management plan could result in historically low levels in two key reservoirs - Oroville and Folsom - and less water than expected this summer for cities and farms south of the Delta.  It is estimated that the proposed change in operations could result in the loss of about 250,000 acre-feet of water for summer deliveries.

At the workshop, the temperature management plan was criticized by growers and representatives from irrigation districts and water districts south of the Delta.  Comments included that the proposed changes in operations threaten crops already planted, and could undo arranged water transfers and other water planning decisions that have been made for the season.

Federal and state fisheries officials said the changes in operations are crucial to preserving this year’s winter-run Chinook salmon. Last year, high temperatures resulted in the death of nearly all of the 2014 juvenile winter-run Chinook salmon.  Officials also stated that Shasta Lake is running warm this year making it difficult to attain the 56 degree target for the fish.

The State Water Board will consider the issue and deliver a letter to the fishery agencies in coming weeks that will state the State Water Board’s position on the temperature plan.

Conservation Water Pricing

The State Water Resources Control Board (State Water Board) will hold a workshop to solicit public comments on the efficacy of conservation water pricing, implementation of conservation price signals consistent with Proposition 218, and action by the State Water Board to promote conservation water pricing. The State Water Board is interested in hearing from state agencies, water suppliers, and other stakeholders on the financial, technical, political, and legal challenges associated with changing rates, surcharges, and other fees.

To view the topics on which the State Water Board is seeking input, download the Notice of Public Workshop form here.

For questions regarding this workshop, contact Max Gomberg at Max.Gomberg@waterboards.ca.gov or (916) 322-3052.

Water-Energy Grants Announced

This week, the Department of Water Resources (DWR) announced the award of the 2014 Water-Energy grants.  DWR is awarding $28 million to 22 entities for 25 projects that will save water and energy and reduce greenhouse gas emissions

The Final Awards can be accessed here

Grantees will receive commitment letters in the near future containing information for the development and execution of the Grant Agreements.

U.S. Senate Unveils Transportation Proposal

This week, the Senate Environment and Public Works Committee unanimously passed S 1647, their bipartisan surface transportation bill known as the Developing a Reliable and Innovative Vision for the Economy (DRIVE) Act, to provide $278 billion for a six-year reauthorization of MAP-21.  The DRIVE Act includes a new priority on funding locally-owned on-system bridges; however, the language in the bill appears to be problematic for the broader category of bridges.  RCRC will support the National Association of Counties’ (NACo) efforts to amend the Senate language related to on-system and off-system bridge funding, which we have advocated for since the elimination of the Highway Bridge Program when MAP-21 was enacted.  Additionally, the DRIVE Act includes a new grant program for projects of strategic and national significance, addresses the backlog associated with the Interstate and National Highway Systems, and provides a formula-based funding program for freight corridors to strengthen goods movement.  While the DRIVE Act does not include any dedicated revenues for High-Risk Rural Roads safety projects, the measure includes a significant but minor change in language that would result in states spending more of their safety funds on rural roads.  The measure still has several hurdles to overcome, mainly the issue of developing a long-term funding mechanism, which continues to be a roadblock that Congress has been unable to overcome.  The current surface transportation program is scheduled to expire at the end of July.  In the absence of an agreement over a long-term surface transportation program, Congress will likely continue to provide short-term extensions.

RCRC Submits Testimony for House Rural Transportation Hearing

The House Transportation and Infrastructure Committee held a hearing on the rural transportation system as part of their efforts to structure a long-term reauthorization of our federal surface transportation program.  RCRC submitted written testimony for the record in line with our policy objectives to secure dedicated funding for local on-system bridges and high-risk rural roads, which was eliminated through enactment of the Moving Ahead for Progress in the 21st Century Act (MAP-21).  Additionally, RCRC called on the House to include provisions in their surface transportation measure to reduce barriers for funding and delivering transportation projects, including efforts to streamline the National Environmental Policy Act (NEPA) process, which is estimated to add approximately $0.36 to $0.50 cents to every construction dollar spent.  RCRC’s testimony can be accessed here

US Forest Service Withdraws Groundwater Directive

U.S. Forest Service Chief Tom Tidwell last week formally withdrew a proposal that would have established guidelines on how the agency’s land management decisions impact groundwater. The groundwater directive would have required the Forest Service to account for how surface uses such as wells and mines would affect groundwater and groundwater-dependent ecosystems.  If potential harm were discovered, the agency would work with forest users to mitigate those impacts.  The proposed groundwater directive was unveiled in May 2014 and had sparked criticism from Republicans and Western governors who argued it could usurp states' authority to allocate water.  In the agency’s notice of withdrawal, which appeared in the June 19th edition of the Federal Register, the Forest Service acknowledged that further discussions with stakeholder were needed, but deemed the concerns that were raised against the directive as unfounded.  

House Interior-EPA spending Bill Delayed

Final passage of the House Interior, Environment and Related Agencies Appropriations bill (H.R. 2822) will be delayed until next month, after House Republican leaders decided to recess early for the July 4th break to allow members to travel to Charleston, South Carolina, to attend funerals from last week's church massacre.  House Majority Leader Kevin McCarthy (R-California) had planned to bring the $30.17 billion up for debate starting Thursday, with passage expected before the House departed for the weeklong July 4th recess.  H.R. 2822 would permanently prohibit the U.S. Environmental Protection Agency (EPA) from developing or implementing any changes to its definition of “navigable waters” under the Clean Water Act.  The bill also includes a ban on implementing the proposal to alter the federal Acknowledgement Rule and Appeals process for recognizing new Indian tribes, an issue that RCRC submitted comments on expressing concerns over previously.

House Natural Resources Committee Water Subpanel Hearing

With more than a third of the West  gripped by severe drought, Rep. John Fleming's (R-LA) House Natural Resources Subcommittee on Water, Power and Oceans will examine a few bills aimed at getting a clearer understanding of the condition of the federal government's infrastructure.  Lack of information about repair needs at dams, canals, and pump stations owned by the Bureau of Reclamation has frustrated lawmakers in recent years. The majority of Reclamation's infrastructure is more than 60 years old, and the upgrade needs are significant.  Two bills that the Subcommittee will consider are H.R. 1107, a measure sponsored by Rep. Paul Gosar (R-AZ), and H.R. 2749, which was introduced by Rep. David Valadao (R-CA).  The Gosar legislation (H.R. 1107) would require Reclamation to complete an infrastructure needs assessment report every two years.  The report would include an itemized list of major repair and rehabilitation needs at each of its facilities, a cost estimate, and a categorical safety rating to indicate the importance of addressing each issue.  The Valadao bill (H.R. 2749) would allow the Bureau of Reclamation to evaluate and fund additional project benefits, like expanding storage capacity, as part of safety modifications under the Safety of Dams program. 

Transportation and Housing Appropriations Bill Moves to Senate Floor

On Thursday, the Senate approved legislation to fund the Departments of Transportation and Housing and Urban Development for FY 2016.  The bill provides $17.78 billion in FY 2016 discretionary appropriations for the Department of Transportation, $17 million below the FY 2015 enacted level, and $3.9 billion below the President’s budget request.  Notably, the bill funds TIGER Grants at $500 million, significantly higher than the $100 million in the House-passed appropriations bill.  The bill also funds Amtrak capital grants at $1.1 billion, compared with $850 million in the House bill.  The Community Development Block Grant program is funded at $2.9 billion, slightly less than the House level of $3 billion.   

CalPERS Risk Mitigation Strategy and Impact to Contributions

The California Public Employees’ Retirement System (CalPERS) is offering a repeat of the recent “Risk Mitigation Strategies” webinar.  CalPERS is seeking feedback from contract employers about strategies under consideration that are designed to reduce risk and volatility in the pension fund.  These potential strategies are intended to ensure the long-term sustainability of the system and could have impacts to employer and member contributions in the future.   

Over the past few months, this important issue has been an ongoing discussion at CalPERS.  Many public agencies throughout California continue to face budget challenges and CalPERS is interested in feedback about how best to achieve the Fund’s objective of to pay future retirement benefits.  These are complex issues to weigh, including for example short-term versus long-term costs, and volatility vs. predictability.

Maturity levels (aging participants) are at their high levels.  Risk mitigation will benefit employers and members in the long term.  Risk mitigation may be achieved without short term increases in cost but cannot be done without gradually increasing member and employer contributions over time.  However, no risk mitigation could end up being far more costly.

Stakeholders’ comments will be shared with the CalPERS Board.  The CalPERS staff is scheduled to propose policy in the fall. 

CalPERS Webinars

Thursday, July 9                                                                             
9:00 a.m. – 10:30 a.m.                                     

OR

Thursday, July 30

1:30 p.m. – 3:00 p.m.

Register for a webinar now

New CDFW Funding for Fisheries Drought Restoration Program

The California Department of Fish and Wildlife (CDFW) has announced that the 2015 Fisheries Drought Restoration Program will provide a total of $1.5 million for jurisdictions to assist with habitat restoration, water conservation, education, and drought planning.  These drought restoration funds will be granted specifically to projects located in anadromous waters within coastal watersheds and the Central Valley.  Eligible applicants include public agencies, recognized tribes, and qualified nonprofit organizations.

Completed applications should be sent to the CDFW Fisheries Restoration Grant Program, 830 S Street, Sacramento, CA 95811. Applications must be received by July 31, 2015 (postmarks will not be accepted).  As found on the CDFW Solicitation Notice, the deadline has been extended from July 24, 2015 to July 31, 2015.  This link provides the Proposal Solicitation Notice and appendices, as well as some additional information.

Approved projects will start no later than June 1, 2016, and end no later than March 1, 2018.  Proposal timeframes must occur within this period.  For information or questions about the solicitation or application process, please contact Patty Forbes, Grant Program Coordinator, at (916) 327-8842, or Kevin Shaffer, Anadromous Program Manager, at (916) 327-8841.  The announcement for this opportunity can be found on the CDFW website, here

New CDBG Policy on Program Guidelines Review

The State Department of Housing and Community Development (HCD) Community Development Block Grant (CDBG) Program has revised its policy for reviewing Program Guidelines for all Programs, including Housing Rehabilitation (owner-occupied or tenant-occupied), Homeownership Assistance, Microenterprise Financial Assistance, Microenterprise Technical Assistance, and Business Assistance.  The Department will no longer require jurisdictions to submit their Program Guidelines to the Department for formal review and approval. Instead, as part of clearing General Conditions, the Department will only require the submittal of a Resolution from the local governing body adopting the Program Guidelines.

The attached Management Memo 15-06 outlines the new policy.  The Memo will also be posted on the department website, which can be accessed here

Legislative Update

AB 171 (Irwin): Veteran Services.  Assembly Bill 171 would appropriate $5.6 million per year for County Veterans Service Officers (CVSOs).  Status: AB 171 gained passage in the Senate Veterans Affairs Committee.   RCRC Position: Support

AB 435 (Chang): California Environmental Protection Agency and Natural Resources Agency: Web casts of public meetings and workshops.  Assembly Bill 435 would, among other things, require the California Environmental Protection Agency (CalEPA) and Natural Resources Agency (Resources) to webcast all public meetings.  Status: AB 435 gained passage in the Senate Natural Resources and Water Committee.  RCRC Position: Support

AB 851 (Mayes): Local Government: Organization: Disincorporation.  Assembly Bill 851 would establish procedures for a disincorporation, which includes the city providing a written statement which certifies information regarding its indebtedness and revenues available, and provides procedures for the successor agency including land use guidelines, financial responsibilities, and other governmental procedures to ensure an orderly transition of services and responsibilities.  AB 851 would also authorize a local agency conducting proceedings for the disincorporation of a city to propose the adoption of a special tax on behalf of an affected city as specified.  Status: Gained passage in the Senate Governance and Finance Committee.  RCRC Position: Support

AB 1390 (Alejo): Groundwater: Adjudication.  Assembly Bill 1390 would streamline procedures used in a legal action to obtain a basin-wide adjudication of groundwater rights.  Among the issues of concern to counties is that the bill makes counties automatic parties to the adjudication regardless of whether the county has an interest in the adjudication action or not, and the requirement that notice of the adjudication action and form answer be distributed via property tax bills.  Status: Gained passage in the Senate Natural Resources and Water Committee.  RCRC Position: Oppose Unless Amended

AB 1436 (Burke): In-Home Supportive Services (IHSS): Authorized Representative. Assembly Bill 1436 would all IHSS applicants and recipients to designate an authorized representative to accompany, assist or represent an applicant in the application process, or a recipient in the direction of services, and eligibility redetermination process. Status: AB 1436 gained passage in the Senate Human Services Committee.  RCRC Position: Support

AJR 18 (Patterson): Federal Wildfire Disaster Funding Act Assembly Joint Resolution 18 urges the 114th Congress to support H.R. 167, the federal Wildfire Disaster Funding Act (WDFA), to address wildfire funding.  Status: AJR 18 gained passage in the Assembly Natural Resources Committee.   RCRC Position: Support

Regulatory Update

Greenhouse Gas Reduction Funding Guidelines for Administering Agencies:  Establishes fund distribution guidance for state agencies that receive appropriations from the Greenhouse Gas Reduction Fund.  Agency: California Air Resources Board.  Status: Draft published for a 14-day comment period, comments due on June 29, 2015.  Public workshops scheduled for Monday, June 22, 2015, Board consideration on July 23, 2015.  Draft guidelines and related documents can be downloaded here. RCRC Comments: RCRC is seeking member county input. RCRC Advocate: Staci Heaton sheaton@rcrcnet.org