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Home My WebLink About07/16/2002, C12 - RESOLUTION OF SUPPORT FOR THE ACTIVITIES OF THE NORTHERN AND COASTAL CALIFORNIA WATER BOND INITIATI councit Ma7--116-02 � '` acEnoa REpoRt I C1 2 CITY O F SAN LUIS O B I S P O FROM: Wendy George,Assistant City Administrative Officer Prepared by: Neil Havlik,Natural Resources Manager SUBJECT: RESOLUTION OF SUPPORT FOR THE ACTIVITIES OF THE NORTHERN AND COASTAL CALIFORNIA WATER BOND INITIATIVE COALITION, TO SECURE FUNDING FROM THE WATER SECURITY, CLEAN DRINKING WATER, COASTAL AND BEACH PROTECTION ACT OF 2002 TO BENEFIT THE CITY OF SAN LUIS OBISPO CAO RECOMMENDATION Approve a resolution authorizing staff to 1. work with agency partners in the so-called Northern and Coastal California Water Bond Initiative Coalition; 2. support legislation to allocate funding from future water bond initiatives for local and coalition-sponsored projects; and 3. seek inclusion of city projects among those compiled by the Coalition for funding. DISCUSSION Recent Statewide Bond Initiatives Over the past two years California voters have approved three ballot initiatives that authorized sale of bonds at the state level to fund water and parks related projects. Total funding provided by these initiatives is summarized as follows: Proposition 12, Safe Neighborhood Parks, Clean Water, $ 2.10 Billion Clean Air and Coastal Protection Bond Act of 2000 [March 2000] Proposition 13, Safe Drinking Water, Clean Water, $ 1.97 Billion Watershed Protection, and Flood Protection Act [March 2000] Proposition 40, California Clean Water, Clean Air, Safe $ 2.60 Billion Neighborhood Parks and Coastal Protection Act of 2002 [March 2002] Total Bond Funding: $ 6.67 Billion Proceeds from bond sales are made available to fund projects throughout the state via allocations placed in the ballot initiative itself, in appropriations made by the legislature after voter approval of the initiative, or through competitive grants administered by State agencies, including the C12-1 Council Agenda Report—support of Northern and Coastal Cahiornia Water Bond Initiative Coalition Page 2 Department of Health, the State Water Resources Control Board, the Department of Water Resources and the State Parks Department. Proposed Water Bond Initiative for November 2002 A new water bond initiative known as the Water Security, Clean Drinking Water, Coastal and Beach Protection Act of 2002 has been proposed for the November 2002 ballot as a voter initiative to be placed on the ballot by a petition drive now in progress. The measure would provide $3.44 billion for water-related projects in California. A summary of the proposed distribution of funds is included as Attachment 1. The initiative allocates significant funding to regional programs such as the CALFED Bay-Delta Program ($825 million), acquisition and restoration of wetlands and watersheds in Los Angeles and Ventura counties (not less than $300 million), acquisition and restoration of wetlands and watersheds in the San Francisco Bay Area(not more than $200 million). However, the initiative also specifies that the legislature may enact such legislation as is necessary to implement the water security fund ($50 million), the safe drinking water program ($435 million) and the Clean Water and Water Quality program ($100 million) and other funds and gives the legislature authority to re-appropriate bond funds under certain conditions. Objectives of the Northern and Coastal California Water Bond Initiative Coalition A number of water agencies in both northern and southern California have been working together over the past several years to promote projects of benefit to the water resource and associated habitats. The City of San Luis Obispo has participated in these efforts and has benefited from them. For example, past work resulted in the Pacific Coast Salmon Initiative, which has provided a grant of$310,000 to the City of San Luis Obispo for the dam removal project on San Luis Obispo Creek. This effort has continually gotten better organized, and it is now referred to as the Northern and Coastal California Water Bond Initiative Coalition. The Coalition has begun to assemble a portfolio of water-related projects in Northern and Coastal California that have regional significance and that merit funding from statewide bond initiative funds and related grant programs. The Coalition is also working to build a network of support in order to increase the probability that the program will receive funding through legislative appropriations as permitted by the bond language. The program will include projects related to water supply, sanitation, fisheries, water reuse, flood control, non-point source pollution prevention and wetlands restoration. Outreach efforts currently include local agencies in 30 coastal and northern California counties. Among the potential projects envisioned for the City of San Luis Obispo are several watershed protection projects (easement and fee acquisition), and construction of an area-wide flood detention basin on the East Fork of San Luis Obispo Creek that would be designed as an open space amenity for the community, as envisioned in the Airport Area Specific Plan. The Utilities and Public Works C12-2 Council Agenda Report support of Northern and Coastal Caluornia Water Bond Initiative Coalition Page 3 Departments have been apprised of the proposed bond measure and may have projects that would qualify as well. FISCAL EMPACT There will not be any fiscal impact other than staff time in pursuing the grant opportunities presented by the Coalition effort. The general fiscal effect is anticipated to be positive by bringing State bond funding to the City of San Luis Obispo or the surrounding area for projects of community-wide benefit, assuming passage of the bond measure. CONCURRENCE The Utilities and Public Works Departments concur that such possible grant funding is advantageous to the City, and they will also be considering possible project submittals meeting the criteria of the bond measure. ALTERNATIVE The Council could decide to not participate in the Coalition effort. However, this is not recommended as such partnerships have repeatedly proven to be excellent mechanisms for gaining funding support for projects in the community or in our region. ATTACHMENTS: 1. List of Programs under the Water Security, Clean Drinking Water, Coastal and Beach Protection Act of 2002 2. Resolution G:\Staff\FIAVL[K\Councilagenda\water bond suput .doc .r - ATTACHMENT 1 WATER SECURITY, CLEAN DRINHING WATER, COASTAL AND BEACH PROTECTION ACT OF 2002 1. WATER QUALITY $955 million (a) Water Security $50 million • Monitoring and early warning systems • Protective Structures • Emergency interconnections • Communication Systems (b) Safe Drinking Water $435 million • Small system upgrades • Treatment and contaminant removal • Drinking water source protection • State match for revolving fund (c) Clean Water and Water Quality $370 million • Pollution prevention, reclamation,blending and exchange • River parkways that provide water quality benefits • Lake Tahoe water quality projects • Clean Beaches • Sierra Nevada water quality projects (d) Contaminant and Salt Removal Technologies $100 million • Desalination projects • Treatment projects for MTBE,arsenic, chromium, etc. 2. CALFED BAY-DELTA PROGRAM: $825 million • Storage planning and studies • Water conveyance • Delta levee restoration • Interim water supply reliability • Ecosystem restoration • Watershed protection • Conservation and efficiency projects C12-4 (� ATTACHMENT 1 3.REGIONAL PROJECTS: $710 million (a) Integrated Regional Water Management $640 million • Water supply reliability, storm water capture • Pollution reduction, wetland restoration • Groundwater recharge, salt removal and reclamation • Water banking and exchange • Integrated flood management' • Fish and wildlife enhancement (b) Colorado River $70 million • Canal lining and related projects • Ecosystem restoration requirements 4. COASTAL PROTECTION $950 million (a) Watersbed Protection $200 million (b) Wetland Restoration and Protection $750 million • SF Bay wetland restoration • Southern California wetland and watershed protection Total: $3.44 billion C12-5 - ATTACHMENT 2 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO SUPPORTING EFFORTS OF AN AGENCY COALITION THAT WILL ASSIST IN OBTAINING FUNDING FROM FUTURE WATER BOND INITIATIVES FOR PROJECTS THAT WILL BENEFIT THE CITY OF SAN LUIS OBISPO, COUNTY OF SAN LUIS OBISPO,AND OTHER COUNTIES IN NORTHERN AND COASTAL CALIFORNIA WHEREAS,the California electorate has approved three statewide bond initiatives over the past two years that have provided$6.67 billion for water and parks related programs in California, and an additional bond initiative is now under preparation for the November 2002 election that would provide an additional $3.44 billion if approved by the voters; and. WHEREAS, development of a regional coalition to organize and promote local salmon restoration projects for funding has proven to be effective in obtaining federal appropriations for California and enabling completion of the upper San Luis Obispo Creek dam removal project and other projects important for recovery of salmonid species in San Luis Obispo County; and WHEREAS,proper stewardship of watersheds, use of water and aquatic resources for the public benefit has consistently been the policy of the City Council of the City of San Luis Obispo. NOW,THEREFORE BE IT RESOLVED that the City Council hereby: 1. Supports legislation to allocate funding from future Water Bond Initiatives for local projects in the City and County of San Luis Obispo; 2. Supports legislation to allocate funding from future Water Bond Initiatives for local projects other Northern and Coastal California Counties; 3. Authorizes the City Administrative Officer or his designee to work with other public agencies making up the Northern and Coastal California Water Bond Initiative Coalition to advocate and secure grant funds for drinking water, wastewater, fisheries, wetlands, water reuse, non-point source and flood control projects that will benefit the City of San Luis Obispo, County of San Luis Obispo, and other counties in Northern and Coastal California. ADOPTED this 16th day of July 2002 by the following vote: AYES: NOES: ABSENT: Mayor Allen Settle ATTEST: APPROVED AS TO FORM: Lee Price, City Clerk Je,* a rge en, rty ttome -6