CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Assembly Bill No. 2064

Introduced by Assembly Members Gloria and Weber

February 07, 2018

An act to add Section 10551.5 to the Water Code, relating to water.


LEGISLATIVE COUNSEL'S DIGEST


AB 2064, as introduced, Gloria. Integrated regional water management plans: grants: advanced payment.
Existing law, the Integrated Regional Water Management Planning Act, authorizes a regional water management group to prepare and adopt an integrated regional water management plan with specified components relating to water supply and water quality. Existing law provides that an integrated regional water management plan is eligible for funding allocated specifically for implementation of integrated regional water management.
Existing law, until January 1, 2025, requires a regional water management group, within 90 days of notice that a grant has been awarded, to provide the Department of Water Resources with a list of projects to be funded by the grant funds if the project proponent is a nonprofit organization or a disadvantaged community or the project benefits a disadvantaged community. Existing law requires the department, within 60 days of receiving this project information, to provide advanced payment of 50% of the grant award for those projects that satisfy specified criteria and require the advanced funds to be handled, as prescribed, including that the funds are required to be spent within 6 months of the date of receipt unless the department waives this requirement.
The bill, until January 1, 2025, would require a project proponent, upon completion of the first one-half of a project receiving an above-described grant award, to provide a first one-half project accountability report to the department that reports the completion of objectives for the first one-half of the project and documents the expenditure and use of advanced grant funds. The bill would require the department to provide advanced payment of the remaining grant award within 60 days of receiving the report if the project meets certain criteria. The bill would authorize the department to withhold up to 10% of the remaining advanced grant award as retention proceeds that the department is required to release fully to the project proponent upon verification by the department of project completion. The bill would require a project proponent to submit a final project accountability report to the department upon completion of the project.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 10551.5 is added to the Water Code, to read:

10551.5.
 (a) Upon completion of the first one-half of a project receiving a grant award pursuant to this chapter, the project proponent shall provide a first one-half project accountability report to the department that reports the completion of objectives for the first one-half of the project and documents the expenditure and use of advanced grant funds.
(b) Within 60 days of receiving the report pursuant to subdivision (a), the department shall provide advanced payment of the remaining 50 percent of the grant award for those projects that meet the criteria established in Section 10551 and received advanced payment for the first one-half of the project, and meet both of the following criteria:
(1) The department determines that the project proponent has completed identified project objectives within the first half of the project.
(2) The department determines that the originally advanced grant award has been expended consistent with the guidelines and requirements provided by the department.
(c) The department may withhold up to 10 percent of the advanced grant award provided pursuant to subdivision (b) as retention proceeds.
(d) Upon completion of the project, the project proponent shall submit to the department a final project accountability report. The department shall undertake verification of project completion and once the project is deemed complete, the department shall release retention proceeds fully to the project proponent.