Bill Text: CA AB305 | 2023-2024 | Regular Session | Amended
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: California Flood Protection Bond Act of 2024.
Spectrum: Moderate Partisan Bill (Democrat 6-1)
Status: (Engrossed) 2024-05-22 - Re-referred to Com. on N.R. & W. [AB305 Detail]
Download: California-2023-AB305-Amended.html
MAJORITY2/3
Appropriation:
NO
Fiscal Committee:
NOYES
Local Program:
NO
SECTION 1.
Bill Title: California Flood Protection Bond Act of 2024.
Spectrum: Moderate Partisan Bill (Democrat 6-1)
Status: (Engrossed) 2024-05-22 - Re-referred to Com. on N.R. & W. [AB305 Detail]
Download: California-2023-AB305-Amended.html
|
Amended
IN
Assembly
March 23, 2023 |
CALIFORNIA LEGISLATURE—
2023–2024 REGULAR SESSION
Assembly Bill
No. 305
| Introduced by Assembly Member Villapudua (Coauthors: Assembly Members Arambula, Juan Carrillo, Flora, Papan, and Robert Rivas) |
January 26, 2023 |
An act relating to flood protection. to add Division 34 (commencing with Section 84000) to the Water Code, relating to flood protection, by providing the funds necessary therefor through an election for the issuance and sale of bonds of the State of California and for the handling and disposition of those funds.
LEGISLATIVE COUNSEL'S DIGEST
AB 305, as amended, Villapudua.
California Flood Protection Bond Act of 2024.
The California Drought, Water, Parks, Climate, Coastal Protection, and Outdoor Access For All Act of 2018, approved by the voters as Proposition 68 at the June 5, 2018, statewide primary election, authorizes the issuance of bonds in the amount of $4,000,000,000 pursuant to the State General Obligation Bond Law to finance a drought, water, parks, climate, coastal protection, and outdoor access for all program. The California Constitution requires a measure authorizing general obligation bonds to specify the single object or work to be funded by the bonds and further requires the measure to be approved by a 2/3 vote of each house of the Legislature and a majority of the voters.
This bill would enact the California Flood Protection Bond Act of 2024 which, if approved by the voters, would authorize the issuance of bonds in the amount of $3,750,000,000 pursuant to the State General Obligation Bond Law for flood protection projects, as specified. The bill would provide for the submission of these provisions to the voters at the November 5, 2024, statewide general election.
Under existing law, various general obligation bond acts have been approved by the voters to provide funds for water projects, facilities, and programs.
This bill would express the intent of the Legislature to enact subsequent legislation for a flood protection general obligation bond act, in an unspecified amount, that would be known as the California Flood Protection Bond Act of 2024, and would be submitted to the voters at the next general election.
Digest Key
Vote:Bill Text
The people of the State of California do enact as follows:
SECTION 1.
Division 34 (commencing with Section 84000) is added to the Water Code, to read:DIVISION 34. California Flood Protection Bond Act of 2024
CHAPTER 1. General Provisions
84000.
This division shall be known, and may be cited, as the California Flood Protection Bond Act of 2024.84001.
As used in this division:(a) “Committee” means the California Flood Protection Bond Finance Committee created pursuant to Section 84012.
(b) “Fund” means the California Flood Protection Fund of 2024 created pursuant to Section 84002.
(c) “State General Obligation Bond Law” means the State General Obligation Bond Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division 4 of Title 2 of the Government Code), as it may be amended from time to time.
84002.
The proceeds of bonds, excluding those issued in accordance with Section 84019, issued and sold pursuant to this division shall be deposited in the California Flood Protection Fund of 2024, which is hereby created in the State Treasury. All moneys in the fund shall be available, upon appropriation by the Legislature, for the purposes of this division.CHAPTER 2. Flood Protection
84005.
(a) (1) The sum of one billion dollars ($1,000,000,000) shall be available, upon appropriation by the Legislature, to ____ for multibenefit flood protection projects.(2) (A) Of the funds made available for purposes of this subdivision, twenty million dollars ($20,000,000) shall be available for modernization of designated floodways in the central valley. The Central Valley Flood Protection Board shall use the funds described in this subparagraph, in accordance with Section 8609, to modernize the designated floodways of the central valley by updating data and mapping to meet the challenges of intense storm events and save lives and implement greater community resiliency.
(B) Of the funds made available for purposes of this subdivision, one hundred million dollars ($100,000,000) shall be available for the central valley Flood Protection Board to identify and acquire lands and easements to allow floodwaters to flow into open space to limit damage to homes and infrastructure, save lives, and support groundwater recharge, floodplain restoration, and endangered species habitat.
(b) The sum of one billion dollars ($1,000,000,000) shall be available, upon appropriation by the Legislature, to ____ for urban flood risk reduction. Projects funded pursuant to this subdivision shall address flooding in urbanized areas and provide multiple benefits. Eligible projects shall include, but are not limited to, stormwater capture and reuse, planning and implementation of low-impact development, restoration of urban streams and watersheds, and increasing permeable
surfaces to help reduce flooding.
(c) The sum of seven hundred fifty million dollars ($750,000,000) shall be available, upon appropriation by the Legislature, to ____ for grants to provide technical, planning, design, and construction assistance and rehabilitation of eligible high-hazard-potential dams.
(d) The sum of five hundred million dollars ($500,000,000) shall be available, upon appropriation by the Legislature, to ____ for Sacramento-San Joaquin Delta flood management. Projects funded pursuant to this subdivision shall include levee setbacks, projects connecting rivers with floodplains, enhancement of floodplains and bypasses, groundwater recharge projects, and land acquisitions and easements necessary for these projects.
(e) The sum of five hundred million dollars ($500,000,000) shall be available, upon
appropriation by the Legislature, to ____ for levee rehabilitation and upgrades. The funds described in this subdivision shall be used for new construction, levee rehabilitation, seismic improvements, and improving flood protection for urban areas to the urban level of flood protection.
(f) Costs allowable under this section include costs incidentally but directly related to construction or acquisition, including, but not limited to, planning, engineering, construction management, architectural, and other design work, environmental impact reports and assessments, required mitigation expenses, appraisals, legal expenses, site acquisitions, and necessary easements.
CHAPTER 3. Fiscal Provisions
84010.
(a) Bonds in the total amount of three billion seven hundred fifty million dollars ($3,750,000,000), not including the amount of any refunding bonds issued in accordance with Section 84019, may be issued and sold for the purposes expressed in this division and to reimburse the General Obligation Bond Expense Revolving Fund pursuant to Section 16724.5 of the Government Code. The bonds, when sold, issued, and delivered, shall be and constitute a valid and binding obligation of the State of California, and the full faith and credit of the State of California is hereby pledged for the punctual payment of both principal of, and interest on, the bonds as the principal and interest become due and payable.(b) The Treasurer shall issue and sell
the bonds authorized in subdivision (a) in the amount determined by the committee to be necessary or desirable pursuant to Section 84013. The bonds shall be issued and sold upon the terms and conditions specified in a resolution to be adopted by the committee pursuant to Section 16731 of the Government Code.
84011.
(a) The bonds authorized by this division shall be prepared, executed, issued, sold, paid, and redeemed as provided in the State General Obligation Bond Law, and all of the provisions of that law apply to the bonds and to this division and are hereby incorporated in this division as though set forth in full in this division, except that subdivisions (a) and (b) of Section 16727 of the Government Code shall not apply.(b) For purposes of this division, the references to “committee” in the State General Obligation Bond Law shall mean the California Flood Protection Bond Finance Committee created pursuant to Section 84012, and the references to “board” in the State General Obligation Bond Law shall mean the
____.
84012.
(a) Solely for the purpose of authorizing the issuance and sale pursuant to the State General Obligation Bond Law of the bonds authorized by this division, the California Flood Protection Bond Finance Committee is hereby created.(b) The committee consists of the Controller, the Treasurer, and the Director of Finance. Notwithstanding any other law, any member may designate a representative to act as that member in the member’s place for all purposes, as though the member were personally present.
(c) The Treasurer shall serve as chairperson of the committee. A majority of the committee may act for the committee.
84013.
The committee shall determine by resolution whether or not it is necessary or desirable to issue and sell bonds authorized pursuant to this division in order to carry out the actions specified in this division and, if so, the amount of bonds to be issued and sold. Successive issues of bonds may be authorized and sold to carry out those actions progressively, and it is not necessary that all of the bonds authorized to be issued be sold at any one time.84014.
There shall be collected each year and in the same manner and at the same time as other state revenue is collected, in addition to the ordinary revenues of the state, a sum in an amount required to pay the principal of, and interest on, the bonds becoming due each year. It is the duty of all officers charged by law with any duty in regard to the collection of the revenue to do and perform each and every act that is necessary to collect that additional sum.84015.
Notwithstanding Section 13340 of the Government Code, there is hereby continuously appropriated from the General Fund, for the purposes of this division and without regard to fiscal years, an amount that equals the total of the following:(a) The sum annually necessary to pay the principal of, and interest on, bonds issued and sold pursuant to this division, as the principal and interest become due and payable.
(b) The sum necessary to carry out Section 84017.
84016.
The board may request the Pooled Money Investment Board to make a loan from the Pooled Money Investment Account, in accordance with Section 16312 of the Government Code, for the purpose of carrying out this division less any amount withdrawn pursuant to Section 84017 and not yet returned to the General Fund. The amount of the request shall not exceed the amount of the unsold bonds that the committee has, by resolution, authorized to be sold for the purpose of carrying out this division, excluding any refunding bonds authorized pursuant to Section 84019, less any amount loaned pursuant to this section and not yet repaid and any amount withdrawn from the General Fund pursuant to Section 84017 and not yet returned to the General Fund. The board shall execute any documents required by the Pooled Money Investment Board to obtain and repay the loan. Any amounts loaned shall be deposited in the fund to be allocated by the board in accordance with this division.84017.
For the purposes of carrying out this division, the Director of Finance may authorize the withdrawal from the General Fund of an amount not to exceed the amount of the unsold bonds that have been authorized by the committee to be sold for the purpose of carrying out this division, excluding any refunding bonds authorized pursuant to Section 84019, less any amount loaned pursuant to Section 84016 and not yet repaid, and any amount withdrawn from the General Fund pursuant to this section and not yet returned to the General Fund. Any amounts withdrawn shall be deposited in the fund. Any moneys made available under this section shall be returned to the General Fund from proceeds received from the sale of bonds for the purpose of carrying out this division.84018.
All moneys deposited in the fund that are derived from premium and accrued interest on bonds sold pursuant to this division shall be reserved in the fund and shall be available for transfer to the General Fund as a credit to expenditures for bond interest, except those amounts derived from premium may be reserved and used to pay the cost of bond issuance before any transfer to the General Fund.84019.
The bonds issued and sold pursuant to this division may be refunded in accordance with Article 6 (commencing with Section 16780) of Chapter 4 of Part 3 of Division 4 of Title 2 of the Government Code, which is a part of the State General Obligation Bond Law. Approval by the voters of the state for the issuance of the bonds described in this division includes the approval of the issuance of any bonds issued to refund any bonds originally issued under this division or any previously issued refunding bonds. Any bond refunded with the proceeds of refunding bonds as authorized by this section may be legally defeased to the extent permitted by law in the manner and to the extent set forth in the resolution, as amended from time to time, authorizing that refunded bond.84020.
Notwithstanding any other provision of this division, or of the State General Obligation Bond Law, if the Treasurer sells bonds pursuant to this division that include a bond counsel opinion to the effect that the interest on the bonds is excluded from gross income for federal tax purposes under designated conditions or is otherwise entitled to any federal tax advantage, the Treasurer may maintain separate accounts for the investment of bond proceeds and for the investment of earnings on those proceeds. The Treasurer may use or direct the use of those proceeds or earnings to pay any rebate, penalty, or other payment required under federal law or take any other action with respect to the investment and use of those bond proceeds or earnings required or desirable under federal law to maintain the tax exempt status of those bonds and to obtain any other advantage under federal law on behalf of the funds of this state.84021.
The proceeds from the sale of bonds authorized by this division are not “proceeds of taxes” as that term is used in Article XIII B of the California Constitution, and the disbursement of these proceeds is not subject to the limitations imposed by that article.SEC. 2.
(a) Section 1 of this act shall take effect upon approval by the voters of the California Flood Protection Bond Act of 2024, as set forth in Section 1 of this act.(b) Notwithstanding Section 9040 of the Elections Code or any other law, Section 1 of this act shall be submitted to the voters at the November 5, 2024, statewide general election in accordance with provisions of the Government Code and the Elections Code governing the submission of a statewide measure to the voters.
It is the intent of the Legislature to enact subsequent legislation for a flood protection general obligation bond act, in the amount of ____ dollars ($____), to be known as the California Flood Protection Bond Act of 2024 and to be submitted to the voters at the next general election.
