California General Election - Tuesday November 6, 2018 - Voter Information Guide November 6, 2018

 
California
                 General
                 Election
                 Tuesday
                 November 6, 2018
                  Polls Are Open From 7:00 a.m. to 8:00 p.m. on Election Day!

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            Text of Proposed Laws                                                       
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                      Certificate of Correctness
                      I, Alex Padilla, Secretary of State of the State of California, do hereby
                      certify that the measures included herein will be submitted to the electors
                      of the State of California at the General Election to be held throughout
                      the State on November 6, 2018, and that this guide has been correctly
                      prepared in accordance with the law. Witness my hand and the Great Seal
                      of the State in Sacramento, California, this 13th day of August, 2018.

                      Alex Padilla, Secretary of State
VOTER BILL OF

    YOU HAVE THE FOLLOWING RIGHTS:
                                  RIGHTS
          The right to vote if you are a registered voter.        The right to get help casting your ballot
      1   You are eligible to vote if you are:               6    from anyone you choose, except from your
          • a U.S. citizen living in California                   employer or union representative.
          • at least 18 years old
          • registered where you currently live                   The right to drop off your completed
          • not currently in state or federal prison         7    vote‑by‑mail ballot at any polling place in
            or on parole for the conviction of a                  California.
            felony
          • not currently found mentally                          The right to get election materials in a
            incompetent to vote by a court                   8    language other than English if enough people
                                                                  in your voting precinct speak that language.
          The right to vote if you are a registered voter
      2   even if your name is not on the list. You               The right to ask questions to elections
          will vote using a provisional ballot. Your         9    officials about election procedures and
          vote will be counted if elections officials             watch the election process. If the person
          determine that you are eligible to vote.                you ask cannot answer your questions, they
                                                                  must send you to the right person for an
          The right to vote if you are still in line when         answer. If you are disruptive, they can stop
      3   the polls close.                                        answering you.

          The right to cast a secret ballot without               The right to report any illegal or fraudulent
      4   anyone bothering you or telling you how to         10   election activity to an elections official or
          vote.                                                   the Secretary of State’s office.
                                                                   On the web at www.sos.ca.gov
          The right to get a new ballot if you have made          ✆ By phone at (800) 345-VOTE (8683)
      5   a mistake, if you have not already cast your             By email at elections@sos.ca.gov
          ballot. You can:
              Ask an elections official at a polling place
              for a new ballot,
              Exchange your vote-by-mail ballot for a
              new one at an elections office or
              at your polling place, or
              Vote using a provisional ballot.

              IF YOU BELIEVE YOU HAVE BEEN DENIED ANY OF THESE RIGHTS, CALL THE SECRETARY OF STATE’S
                           CONFIDENTIAL TOLL-FREE VOTER HOTLINE AT (800) 345-VOTE (8683).

2
TEXT OF PROPOSED LAWS

PROPOSITION 1                                         54026) be deposited in the fund and used to
                                                      fund the housing-related programs described in
This law proposed by Senate Bill 3 of the             this chapter. The proceeds of bonds issued and
2017–2018 Regular Session (Chapter 365,
Statutes of 2017) is submitted to the people in
                                                      sold pursuant to this part for the purposes                   1
                                                      specified in this chapter shall be allocated in
accordance with the provisions of Article XVI of      the following manner:
the California Constitution.
                                                      (a) One billion five hundred million dollars
This proposed law adds sections to the Health         ($1,500,000,000) to be deposited in the
and Safety Code and the Military and Veterans         Housing Rehabilitation Loan Fund established
Code; therefore, new provisions proposed to be        pursuant to Section 50661. The moneys in the
added are printed in italic type to indicate that     fund shall be used for the Multifamily Housing
they are new.                                         Program       authorized     by     Chapter    6.7
                                                      (commencing with Section 50675) of Part 2, to
PROPOSED LAW                                          be expended to assist in the new construction,
SEC. 3. Part 16 (commencing with Section              rehabilitation, and preservation of permanent
54000) is added to Division 31 of the Health          and transitional rental housing for persons with
and Safety Code, to read:                             incomes of up to 60 percent of the area median
                                                      income (AMI). These funds may also be used to
  PART 16. VETERANS AND AFFORDABLE                    provide technical assistance pursuant to
         HOUSING BOND ACT OF 2018                     Section 54007.
         Chapter 1. General Provisions                (b) One      hundred     fifty   million    dollars
54000. Together with Article 5z (commencing           ($150,000,000) to be deposited into the
with Section 998.600) of Chapter 6 of                 Transit-Oriented Development Implementation
Division 4 of the Military and Veterans Code,         Fund, established pursuant to Section 53561,
this part shall be known, and may be cited, as        for expenditure, upon appropriation by the
the Veterans and Affordable Housing Bond Act          Legislature, pursuant to the Transit-Oriented
of 2018.                                              Development         Implementation        Program
54002. As used in this part, the following            authorized by Part 13 (commencing with
terms have the following meanings:                    Section 53560) to provide local assistance to
                                                      cities, counties, cities and counties, transit
(a) “Board” means the Department of Housing           agencies, and developers for the purpose of
and Community Development for programs                developing or facilitating the development of
administered by the department, and the               higher density uses within close proximity to
California Housing Finance Agency for programs        transit stations that will increase public transit
administered by the agency.                           ridership. These funds may also be expended for
(b) “Committee” means the Housing Finance             any authorized purpose of this program and for
Committee created pursuant to Section 53524           state incentive programs, including loans and
and continued in existence pursuant to Sections       grants, within the department. Any funds not
53548 and 54014.                                      encumbered for the purposes of this subdivision
(c) “Fund” means the Affordable Housing Bond          by November 6, 2028, shall revert for general
Act Trust Fund of 2018 created pursuant to            use in the Multifamily Housing Program
Section 54006.                                        authorized by Chapter 6.7 (commencing with
                                                      Section 50675) of Part 2, unless the
54004. This part shall only become operative          Department of Housing and Community
upon adoption by the voters at the November 6,        Development determines that funds should
2018, statewide general election.                     revert sooner due to diminished demand.
    Chapter 2. Affordable Housing Bond Act            (c) Three        hundred        million     dollars
        Trust Fund of 2018 and Program                ($300,000,000) to be deposited in the
54006. The Affordable Housing Bond Act                Regional Planning, Housing, and Infill Incentive
Trust Fund of 2018 is hereby created within the       Account, which is hereby created within the
State Treasury. It is the intent of the Legislature   fund. Moneys in the account shall be available,
that the proceeds of bonds (exclusive of              upon appropriation by the Legislature, pursuant
refunding bonds issued pursuant to Section            to the Infill Incentive Grant Program of 2007
                                                                                        Text of Proposed Laws | 3
TEXT OF PROPOSED LAWS                                                         Proposition 1 Continued

         established by Section 53545.13 for infill            mobilehome parks, or other housing. These
         incentive grants to assist in the new construction    funds may also be expended for any authorized
         and rehabilitation of infrastructure that supports    purpose of this program. These funds may also
1        high-density affordable and mixed-income              be used to provide technical assistance pursuant
         housing in locations designated as infill,            to Section 54007. Any funds not encumbered
         including, but not limited to, any of the             for the purposes of this subdivision by
         following:                                            November 6, 2028, shall revert for general use
         (1) Park creation, development, or rehabilitation     in the Multifamily Housing Program authorized
         to encourage infill development.                      by Chapter 6.7 (commencing with Section
                                                               50675) of Part 2, unless the Department of
         (2) Water, sewer, or other public infrastructure      Housing      and     Community      Development
         costs associated with infill development.             determines that funds should revert sooner due
         (3) Transportation improvements related to infill     to diminished demand.
         development projects.                                 (f) Three      hundred       million      dollars
         (4) Traffic mitigation.                               ($300,000,000) to be deposited in the
         These funds may also be expended for any              Affordable Housing Innovation Fund established
         authorized purpose of this program. Any funds         pursuant to subparagraph (F) of paragraph (1)
         not encumbered for the purposes of this               of subdivision (a) of Section 53545. Moneys in
         subdivision by November 6, 2028, shall revert         the fund shall be available, upon appropriation
         for general use in the Multifamily Housing            by the Legislature, pursuant to the Local
         Program     authorized     by    Chapter   6.7        Housing Trust Fund Matching Grant Program
         (commencing with Section 50675) of Part 2,            established by Section 50842.2 to fund
                                                               competitive grants or loans to local housing
         unless the Department of Housing and
                                                               trust funds that develop, own, lend, or invest in
         Community Development determines that funds
                                                               affordable housing and used to create pilot
         should revert sooner due to diminished demand.
                                                               programs to demonstrate innovative, cost-saving
         (d) One      hundred    fifty   million    dollars    approaches to creating or preserving affordable
         ($150,000,000) to be transferred to the Self-         housing. Local housing trust funds shall be
         Help Housing Fund established pursuant to             derived on an ongoing basis from private
         Section 50697.1. Notwithstanding Section              contribution or governmental sources that are
         13340 of the Government Code and Section              not otherwise restricted in use for housing
         50697.1, these funds are hereby continuously          programs. These funds may also be expended
         appropriated to the Department of Housing and         for any authorized purpose of this program. Any
         Community Development without regard to               funds not encumbered for the purposes of this
         fiscal years, which funds shall be transferred by     subdivision by November 6, 2028, shall revert
         the department to the California Housing              for general use in the Multifamily Housing
         Finance Agency for purposes of the home               Program      authorized    by     Chapter    6.7
         purchase assistance program established               (commencing with Section 50675) of Part 2,
         pursuant to Chapter 6.8 (commencing with              unless the Department of Housing and
         Section 51341) of Part 3.                             Community Development determines that funds
         (e) Three      hundred        million      dollars    should revert sooner due to diminished demand.
         ($300,000,000) to be deposited in the                 (g) Three       hundred       million     dollars
         Joe Serna, Jr. Farmworker Housing Grant Fund,         ($300,000,000) to be deposited in the Self-
         established pursuant to Section 50517.5, to           Help Housing Fund established pursuant to
         fund grants or loans, or both, for local public       Section 50697.1. The moneys in the fund shall
         entities, nonprofit corporations, limited liability   be available for the CalHome Program
         companies, and limited partnerships, for the          authorized by Chapter 6 (commencing with
         construction or rehabilitation of housing for         Section 50650) of Part 2, to provide direct,
         agricultural employees and their families or for      forgivable loans to assist development projects
         the acquisition of manufactured housing as part       involving multiple home ownership units,
         of a program to address and remedy the impacts        including single-family subdivisions, for self-
         of current and potential displacement of              help mortgage assistance programs, and for
         farmworker families from existing labor camps,        manufactured homes. These funds may also be
    4 | Text of Proposed Laws
TEXT OF PROPOSED LAWS                                                        Proposition 1 Continued

expended for any authorized purpose of this         (1) “Eligible city” means a city that is located
program. At least thirty million dollars            within a county with a population of
($30,000,000) of the amount deposited in the        150,000 residents or fewer.
Self-Help Housing Fund shall be used to provide     (2) “Eligible county” means a county with a                    1
grants or forgivable loans to assist in the         population of 150,000 residents or fewer.
rehabilitation or replacement, or both, of
existing mobilehomes located in a mobilehome        (3) “Technical assistance” includes engineering
or manufactured home community. These funds         assistance and environmental review related to
may also be used to provide technical assistance    an     affordable    housing     project    and
pursuant to Section 54007. Any funds not            reimbursement of administrative costs related to
encumbered for the purposes of this subdivision     developing a grant proposal.
by November 6, 2028, shall revert for general       54008. (a) The Legislature may, from time to
use in the Multifamily Housing Program              time, amend any law related to programs to
authorized by Chapter 6.7 (commencing with          which funds are, or have been, allocated
Section 50675) of Part 2, unless the                pursuant to this chapter for the purposes of
Department of Housing and Community                 improving the efficiency and effectiveness of
Development determines that funds should            those programs or to further the goals of those
revert sooner due to diminished demand.             programs.
54007. (a) (1) Notwithstanding any other            (b) The Legislature may amend this chapter to
provision of this part, the Department of           reallocate the proceeds of bonds issued and
Housing and Community Development may               sold pursuant to this part among the programs
provide technical assistance to eligible counties   to which funds are to be allocated pursuant to
and eligible cities, or developers of affordable    this chapter as necessary to effectively promote
housing within eligible counties and eligible       the development of affordable housing in this
cities, to facilitate the construction of housing   state.
for the target populations for the following        54009. Programs funded with bond proceeds
programs funded pursuant to this part:              shall, when allocating financial support, give
(A) The Multifamily Housing Program (Chapter        preference to projects that are “public works”
6.7 (commencing with Section 50675) of              for purposes of Chapter 1 (commencing with
Part 2).                                            Section 1720) of Part 7 of Division 2 of the
(B) The Joe Serna, Jr. Farmworker Housing           Labor Code and other projects on which all
Grant Program (Chapter 3.2 (commencing with         construction workers will be paid at least the
Section 50515.2) of Part 2).                        general prevailing rate of per diem wages as
                                                    determined by the Director of Industrial
(C) The CalHome Program (Chapter 6                  Relations.
(commencing with Section 50650) of Part 2).
                                                             Chapter 3. Fiscal Provisions
(2) Technical assistance pursuant to this
section shall be provided using the bond            54010. Bonds in the total amount of
proceeds allocated pursuant to Section 54006        three    billion   dollars    ($3,000,000,000),
to the program for which the technical              exclusive of refunding bonds issued pursuant to
assistance is provided.                             Section 54026, or so much thereof as is
                                                    necessary as determined by the committee, are
(3) The Department of Housing and Community         hereby authorized to be issued and sold for
Development shall not provide more than             carrying out the purposes expressed in this part
three    hundred     sixty   thousand     dollars   and to reimburse the General Obligation Bond
($360,000) total in technical assistance            Expense Revolving Fund pursuant to Section
pursuant to this section, and an eligible county    16724.5 of the Government Code. All bonds
or eligible city shall not receive more than        herein authorized which have been duly issued,
thirty thousand dollars ($30,000) in technical      sold, and delivered as provided herein shall
assistance annually.                                constitute valid and binding general obligations
(b) For purposes of this section, the following     of the state, and the full faith and credit of the
definitions shall apply:                            state is hereby pledged for the punctual
                                                                                     Text of Proposed Laws |   5
TEXT OF PROPOSED LAWS                                                        Proposition 1 Continued

         payment of both principal of and interest on          addition to the ordinary revenues of the state,
         those bonds when due.                                 sufficient to pay the principal of, and interest
         54012. The bonds authorized by this part              on, the bonds each year. It is the duty of all
1        shall be prepared, executed, issued, sold, paid,      officers charged by law with any duty in regard
         and redeemed as provided in the State General         to the collections of state revenues to do or
         Obligation Bond Law (Chapter 4 (commencing            perform each and every act which is necessary
         with Section 16720) of Part 3 of Division 4 of        to collect that additional sum.
         Title 2 of the Government Code), except               54020. Notwithstanding Section 13340 of
         subdivisions (a) and (b) of Section 16727 of the      the Government Code, there is hereby
         Government Code, and all of the provisions of         appropriated from the General Fund in the State
         that law as amended from time to time apply to        Treasury, for the purposes of this part, an
         the bonds and to this part, except as provided in     amount that will equal the total of both of the
         Section 54028, and are hereby incorporated in         following:
         this part as though set forth in full in this part.   (a) The sum annually necessary to pay the
         54014. (a) Solely for the purpose of                  principal of, and interest on, bonds issued and
         authorizing the issuance and sale, pursuant to        sold pursuant to this part, as the principal and
         the State General Obligation Bond Law, of the         interest become due and payable.
         bonds authorized by this part, the committee is       (b) The sum which is necessary to carry out
         continued in existence. For the purposes of this      Section 54024, appropriated without regard to
         part, the Housing Finance Committee is “the           fiscal years.
         committee” as that term is used in the State
         General Obligation Bond Law.                          54022. The board may request the Pooled
                                                               Money Investment Board to make a loan from
         (b) The Department of Housing and Community
                                                               the Pooled Money Investment Account, in
         Development may adopt guidelines establishing
                                                               accordance with Section 16312 of the
         requirements for administration of its financing
                                                               Government Code, for purposes of this part. The
         programs. The guidelines shall not constitute
                                                               amount of the request shall not exceed the
         rules, regulations, orders, or standards of
                                                               amount of the unsold bonds that the committee
         general application and are not subject to
                                                               has, by resolution, authorized to be sold,
         Chapter 3.5 (commencing with Section
                                                               excluding any refunding bonds authorized
         11340) of Part 1 of Division 3 of Title 2 of the
                                                               pursuant to Section 54026, for purposes of this
         Government Code.
                                                               part, less any amount loaned pursuant to this
         (c) For the purposes of the State General             section and not yet repaid and any amount
         Obligation Bond Law, the Department of                withdrawn from the General Fund pursuant to
         Housing and Community Development is                  Section 54024 and not yet returned to the
         designated     the    “board”      for    programs    General Fund. The board shall execute any
         administered by the department, and the               documents as required by the Pooled Money
         California Housing Finance Agency is the              Investment Board to obtain and repay the loan.
         “board” for programs administered by the              Any amount loaned shall be deposited in the
         agency.                                               fund to be allocated in accordance with this
         54016. Upon request of the board stating that         part.
         funds are needed for purposes of this part, the       54024. For purposes of carrying out this part,
         committee shall determine whether or not it is        the Director of Finance may, by executive order,
         necessary or desirable to issue bonds, and, if so,    authorize the withdrawal from the General Fund
         the amount of bonds to be issued and sold.            of any amount or amounts not to exceed the
         Successive issues of bonds may be authorized          amount of the unsold bonds that the committee
         and sold to carry out those actions progressively,    has, by resolution, authorized to be sold,
         and are not required to be sold at any one time.      excluding any refunding bonds authorized
         Bonds may bear interest subject to federal            pursuant to Section 54026, for purposes of this
         income tax.                                           part, less any amount loaned pursuant to
         54018. There shall be collected annually, in          Section 54022 and not yet repaid and any
         the same manner and at the same time as other         amount withdrawn from the General Fund
         state revenue is collected, a sum of money in         pursuant to this section and not yet returned to
    6 | Text of Proposed Laws
TEXT OF PROPOSED LAWS                                                         Proposition 1 Continued

the General Fund. Any amounts withdrawn shall        other advantage under federal law on behalf of
be deposited in the fund to be allocated in          the funds of this state.
accordance with this part. Any moneys made           54034. All moneys derived from premiums
available under this section shall be returned to    and accrued interest on bonds sold pursuant to                 1
the General Fund, plus the interest that the         this part shall be transferred to the General
amounts would have earned in the Pooled              Fund as a credit to expenditures for bond
Money Investment Account, from moneys                interest; provided, however, that amounts
received from the sale of bonds which would          derived from premiums may be reserved and
otherwise be deposited in that fund.                 used to pay the costs of bond issuance prior to
54026. The bonds may be refunded in                  transfer to the General Fund.
accordance with Article 6 (commencing with           SEC. 4. Article 5z (commencing with Section
Section 16780) of Chapter 4 of Part 3 of             998.600) is added to Chapter 6 of Division 4 of
Division 4 of Title 2 of the Government Code.        the Military and Veterans Code, to read:
Approval by the electors of this act shall              Article 5z. The Veterans and Affordable
constitute approval of any refunding bonds                      Housing Bond Act of 2018
issued to refund bonds issued pursuant to this
                                                     998.600. Together with Part 16 (commencing
part, including any prior issued refunding
                                                     with Section 54000) of Division 31 of the
bonds. Any bond refunded with the proceeds of
                                                     Health and Safety Code, this article shall be
a refunding bond as authorized by this section
                                                     known and may be cited as the Veterans and
may be legally defeased to the extent permitted
                                                     Affordable Housing Bond Act of 2018.
by law in the manner and to the extent set forth
in the resolution, as amended from time to time,     998.601. (a) The State General Obligation
authorizing that refunded bond.                      Bond Law (Chapter 4 (commencing with Section
                                                     16720) of Part 3 of Division 4 of Title 2 of the
54028. Notwithstanding any provisions in the         Government Code), as amended from time to
State General Obligation Bond Law, the maturity      time, except as otherwise provided herein, is
date of any bonds authorized by this part shall      adopted for the purpose of the issuance, sale,
not be later than 35 years from the date of each     and repayment of, and otherwise providing with
such bond. The maturity of each series shall be      respect to, the bonds authorized to be issued by
calculated from the date of issuance of each         this article, and the provisions of that law are
bond.                                                included in this article as though set out in full
54030. The Legislature hereby finds and              in this article. All references in this article to
declares that, inasmuch as the proceeds from         “herein” refer both to this article and that law.
the sale of bonds authorized by this part are not    (b) For purposes of the State General Obligation
“proceeds of taxes” as that term is used in          Bond Law, the Department of Veterans Affairs is
Article XIII B of the California Constitution, the   designated the board.
disbursement of these proceeds is not subject        998.602. As used herein, the following terms
to the limitations imposed by that article.          have the following meanings:
54032. Notwithstanding any provision of the          (a) “Board” means the Department of Veterans
State General Obligation Bond Law with regard        Affairs.
to the proceeds from the sale of bonds
authorized by this part that are subject to          (b) “Bond” means a veterans’ bond, a state
investment under Article 4 (commencing with          general obligation bond, issued pursuant to this
Section 16470) of Chapter 3 of Part 2 of             article adopting the provisions of the State
                                                     General Obligation Bond Law.
Division 4 of Title 2 of the Government Code,
the Treasurer may maintain a separate account        (c) “Bond act” means this article authorizing
for investment earnings, may order the payment       the issuance of state general obligation bonds
of those earnings to comply with any rebate          and adopting the State General Obligation Bond
requirement applicable under federal law, and        Law by reference.
may otherwise direct the use and investment of       (d) “Committee” means the Veterans Finance
those proceeds so as to maintain the tax-exempt      Committee    of  1943,    established   by
status of tax-exempt bonds and to obtain any         Section 991.
                                                                                      Text of Proposed Laws |   7
TEXT OF PROPOSED LAWS                                                           Proposition 1 Continued

         (e) “Fund” means the Veterans’ Farm and                 This subdivision does not grant any lien on the
         Home Building Fund of 1943, established by              fund, the Payment Fund, or the moneys therein
         Section 988.                                            to the holders of any bonds issued under this
1        (f) “Payment Fund” means the Veterans’ Bonds            article. For the purposes of this subdivision,
         Payment Fund established by Section 988.6.              “debt service” means the principal (whether
                                                                 due at maturity, by redemption, or acceleration),
         998.603. For the purpose of creating a fund
                                                                 premium, if any, or interest payable on any date
         to provide farm and home aid for veterans in
                                                                 with respect to any series of bonds. This
         accordance with the Veterans’ Farm and Home
                                                                 subdivision shall not apply, however, in the case
         Purchase Act of 1974 (Article 3.1 (commencing
                                                                 of any debt service that is payable from the
         with Section 987.50)), and of all acts
         amendatory thereof and supplemental thereto,            proceeds of any refunding bonds.
         the committee may create a debt or debts,               998.605. There is hereby appropriated from
         liability or liabilities, of the State of California,   the General Fund, for purposes of this article, a
         in the aggregate amount of not more than                sum of money that will equal both of the
         one billion dollars ($1,000,000,000), exclusive         following:
         of refunding bonds, in the manner provided              (a) That sum annually necessary to pay the
         herein.                                                 principal of, and the interest on, the bonds
         998.604. (a) All bonds authorized by this               issued and sold as provided herein, as that
         article, when duly sold and delivered as provided       principal and interest become due and payable.
         herein, constitute valid and legally binding            (b) That sum necessary to carry out Section
         general obligations of the State of California,         998.606, appropriated without regard to fiscal
         and the full faith and credit of the State of           years.
         California is hereby pledged for the punctual
         payment of both principal and interest thereof.         998.606. For the purposes of this article, the
                                                                 Director of Finance may, by executive order,
         (b) There shall be collected annually, in the
                                                                 authorize the withdrawal from the General Fund
         same manner and at the same time as other
                                                                 of a sum of money not to exceed the amount of
         state revenue is collected, a sum of money, in
                                                                 the unsold bonds which have been authorized
         addition to the ordinary revenues of the state,
                                                                 by the committee to be sold pursuant to this
         sufficient to pay the principal of, and interest
                                                                 article. Any sums withdrawn shall be deposited
         on, these bonds as provided herein, and all
         officers required by law to perform any duty in         in the fund. All moneys made available under
         regard to the collection of state revenues shall        this section to the board shall be returned by
         collect this additional sum.                            the board to the General Fund, plus the interest
                                                                 that the amounts would have earned in the
         (c) On the dates on which funds are to be               Pooled Money Investment Account, from the
         remitted pursuant to Section 16676 of the               sale of bonds for the purpose of carrying out this
         Government Code for the payment of debt                 article.
         service on the bonds in each fiscal year, there
         shall be transferred to the Payment Fund to pay         998.607. The board may request the Pooled
         the debt service all of the money in the fund,          Money Investment Board to make a loan from
         not in excess of the amount of debt service then        the Pooled Money Investment Account, in
         due and payable. If the money transferred on            accordance with Section 16312 of the
         the remittance dates is less than debt service          Government Code, for the purposes of carrying
         then due and payable, the balance remaining             out this article. The amount of the request shall
         unpaid shall be transferred to the General Fund         not exceed the amount of unsold bonds which
         out of the fund as soon as it shall become              the committee has, by resolution, authorized to
         available, together with interest thereon from          be sold for the purpose of carrying out this
         the remittance date until paid, at the same rate        article. The board shall execute whatever
         of interest as borne by the bonds, compounded           documents are required by the Pooled Money
         semiannually. Notwithstanding any other                 Investment Board to obtain and repay the loan.
         provision of law to the contrary, this subdivision      Any amounts loaned shall be deposited in the
         shall apply to all veterans’ farm and home              fund to be allocated by the board in accordance
         purchase bond acts pursuant to this chapter.            with this article.
    8 | Text of Proposed Laws
TEXT OF PROPOSED LAWS                                                         Proposition 1 Continued

998.608. Upon request of the board,                  998.612. Any bonds issued and sold pursuant
supported by a statement of its plans and            to this article may be refunded in accordance
projects approved by the Governor, the               with Article 6 (commencing with Section
committee shall determine whether to issue any       16780) of Chapter 4 of Part 3 of Division 4 of                 1
bonds authorized under this article in order to      Title 2 of the Government Code. The approval of
carry out the board’s plans and projects, and, if    the voters for the issuance of bonds under this
so, the amount of bonds to be issued and sold.       article includes approval for the issuance of
Successive issues of bonds may be authorized         bonds issued to refund bonds originally issued
and sold to carry out these plans and projects       or any previously issued refunding bonds.                      2
progressively, and it is not necessary that all of   998.613. Notwithstanding any provision of
the bonds be issued or sold at any one time.         the bond act, if the Treasurer sells bonds under
998.609. (a) As long as any bonds authorized         this article for which bond counsel has issued
under this article are outstanding, the Secretary    an opinion to the effect that the interest on the
of Veterans Affairs shall, at the close of each      bonds is excludable from gross income for
fiscal year, require a survey of the financial       purposes of federal income tax, subject to any
condition of the Division of Farm and Home           conditions which may be designated, the
Purchases, together with a projection of the         Treasurer may establish separate accounts for
division’s operations, to be made by an              the investment of bond proceeds and for the
independent public accountant of recognized          earnings on those proceeds, and may use those
standing. The results of each survey and             proceeds or earnings to pay any rebate, penalty,
projection shall be reported in writing by the       or other payment required by federal law or take
public accountant to the Secretary of Veterans       any other action with respect to the investment
Affairs, the California Veterans Board, the          and use of bond proceeds required or permitted
appropriate policy committees dealing with           under federal law necessary to maintain the tax-
veterans affairs in the Senate and the Assembly,     exempt status of the bonds or to obtain any
and the committee.                                   other advantage under federal law on behalf of
(b) The Division of Farm and Home Purchases          the funds of this state.
shall reimburse the public accountant for these      998.614. The Legislature hereby finds and
services out of any money that the division may      declares that, inasmuch as the proceeds from
have available on deposit with the Treasurer.        the sale of bonds authorized by this article are
998.610. (a) The committee may authorize             not “proceeds of taxes” as that term is used in
the Treasurer to sell all or any part of the bonds   Article XIII B of the California Constitution, the
authorized by this article at the time or times      disbursement of these proceeds is not subject
established by the Treasurer.                        to the limitations imposed by Article XIII B.
(b) Whenever the committee deems it necessary
for an effective sale of the bonds, the committee    PROPOSITION 2
may authorize the Treasurer to sell any issue of     This law proposed by Assembly Bill 1827 of the
bonds at less than their par value,                  2017–2018 Regular Session (Chapter 41,
notwithstanding Section 16754 of the                 Statutes of 2018) is submitted to the people in
Government Code. However, the discount on the        accordance with Section 10 of Article II of the
bonds shall not exceed 3 percent of the par
                                                     California Constitution.
value thereof.
                                                     This proposed law amends and adds sections to
998.611. Out of the first money realized from
                                                     the Welfare and Institutions Code; therefore,
the sale of bonds as provided herein, there shall
                                                     provisions proposed to be deleted are printed in
be redeposited in the General Obligation Bond
                                                     strikeout type and new provisions to be added
Expense Revolving Fund, established by Section
                                                     are printed in italic type to indicate that they
16724.5 of the Government Code, the amount
                                                     are new.
of all expenditures made for the purposes
specified in that section, and this money may
be used for the same purpose and repaid in the       PROPOSED LAW
same manner whenever additional bond sales           SECTION 1. The voters hereby find and
are made.                                            declare that housing is a key factor for
                                                                                      Text of Proposed Laws |   9
TEXT OF PROPOSED LAWS                                                        Proposition 2 Continued

         stabilization and recovery from mental illness       following six-month period to the department
         and results in improved outcomes for individuals     pursuant to any service contract entered into
         living with a mental illness. The Mental Health      pursuant to paragraph (2).
         Services Act, an initiative measure enacted by       (b) The department may do all of the following:
         the voters as Proposition 63 at the November 2,
         2004, statewide general election, must               (1) Enter into one or more single-year or
         therefore be amended to provide for the              multiyear contracts with the authority to provide
         expenditure of funds from the Mental Health          services described in Sections 5849.7, 5849.8,
2        Services Fund to the No Place Like Home              and 5849.9, related to permanent supportive
         Program established pursuant to Part 3.9             housing for the target population. population
         (commencing with Section 5849.1) of Division         and to receive payments from amounts on
         5 of the Welfare and Institutions Code, which        deposit in the Supportive Housing Program
         finances the acquisition, design, construction,      Subaccount pursuant to paragraph (1) of
         rehabilitation, or preservation of permanent         subdivision (f) of Section 5890. Payments
         supportive housing for individuals living with a     received by the department under any service
         severe mental illness who are homeless or at         contract authorized by this paragraph shall be
         risk of chronic homelessness.                        used, before any other allocation or distribution,
                                                              to repay loans from the authority pursuant to
         SEC. 2. Section 1, this section, and Sections
                                                              Section 15463 of the Government Code.
         3 to 7, inclusive, shall be known, and may be
         cited, as the No Place Like Home Act of 2018.        (2) Enter into one or more loan agreements with
         SEC. 3. Section 5849.35 of the Welfare and           the authority as security for the repayment of
         Institutions Code is amended to read:                the revenue bonds issued by the authority
                                                              pursuant to Section 15463 of the Government
         5849.35. (a) The authority may do all of the         Code. The department shall deposit the
         following:                                           proceeds of these loans, excluding any
         (1) Consult with the commission and the State        refinancing loans to redeem, refund, or retire
         Department of Health Care Services concerning        bonds, into the fund. The department’s
         the implementation of the No Place Like Home         obligations to make payments under these loan
         Program, including the review of annual reports      agreements shall be limited obligations payable
         provided to the authority by the department          solely from amounts received pursuant to its
         pursuant to Section 5849.11.                         service contracts with the authority.
         (2) Enter into one or more single-year or            (3) The department may pledge and assign its
         multiyear contracts with the department for the      right to receive all or a portion of the payments
         department to provide, and the authority to pay      under the service contracts entered into
         the department for providing, services described     pursuant to paragraph (1) directly to the
         in Sections 5849.7, 5849.8, and 5849.9,              authority or its bond trustee for the payment of
         related to permanent supportive housing for the      principal, premiums, if any, and interest under
         target population. population and to provide for     any loan agreement authorized by paragraph (2).
         payments to the department from amounts on
                                                              (c) The Legislature hereby finds and declares
         deposit in the Supportive Housing Program
                                                              both of the following:
         Subaccount created within the Mental Health
         Services Fund pursuant to paragraph (1) of           (1) The consideration to be paid by the
         subdivision (f) of Section 5890. Before entering     authority to the department for the services
         into any contract pursuant to this paragraph, the    provided pursuant to the contracts authorized
         executive director of the authority shall transmit   by paragraph (2) of subdivision (a) and
         to the commission a copy of the contract in          paragraph (1) of subdivision (b) is fair and
         substantially final form. The contract shall be      reasonable and in the public interest.
         deemed approved by the commission unless it          (2) The service contracts and payments made
         acts within 10 days to disapprove the contract.      by the authority to the department pursuant to a
         (3) On or before June 15 and December 15 of          service contract authorized by paragraph (2) of
         each year, the authority shall certify to the        subdivision (a) and paragraph (1) of subdivision
         Controller the amounts the authority is required     (b) and the loan agreements and loan
         to pay as provided in Section 5890 for the           repayments made by the department to the
    10 | Text of Proposed Laws
TEXT OF PROPOSED LAWS                                                        Proposition 2 Continued

authority pursuant to a loan agreement              (2) Any appropriation or transfer to the fund
authorized by paragraph (2) of subdivision (b)      from the General Fund or other funds.
shall not constitute a debt or liability, or a      (2)
pledge of the faith and credit, of the state or
any political subdivision. subdivision, except as   (3) Any other federal or state grant, or from any
approved by the voters at the November 6,           private donation or grant, for the purposes of
2018, statewide general election.                   this part.
                                                    (3)
(d) The state hereby covenants with the holders
from time to time of any bonds issued by the        (4) Any interest payment, loan repayments, or
                                                                                                                   2
authority pursuant to Section 15463 of the          other return of funds.
Government Code that it will not alter, amend,      SEC. 5. Section 5849.15 is added to the
or restrict the provisions of this section,         Welfare and Institutions Code, to read:
paragraph (1) of subdivision (f) of Section
                                                    5849.15. The voters ratify all of the following
5890, or subdivision (b) of Section 5891 in any
                                                    provisions as being consistent with and in
manner adverse to the interests of those
                                                    furtherance of Proposition 63, enacted by the
bondholders so long as any of those bonds
                                                    voters at the November 2, 2004, statewide
remain outstanding. The authority may include
                                                    general election, and approve all of the following
this covenant in the resolution, indenture, or
                                                    provisions for purposes of Section 1 of Article
other documents governing the bonds.
                                                    XVI of the California Constitution:
(e) Agreements under this section are not
                                                    (a) Chapter 43 of the Statutes of 2016, which
subject to, and need not comply with, the
                                                    amended Sections 5830, 5845, 5847, 5848,
requirements of any other law applicable to the
                                                    5897, and 5899 and added this part.
execution of those agreements, including, but
not limited to, the California Environmental        (b) Chapter 322 of the Statutes of 2016, which
Quality Act (Division 13 (commencing with           added Section 15463 to the Government Code,
Section 21000) of the Public Resources Code).       and amended Sections 5849.1, 5849.2,
                                                    5849.3, 5849.4, 5849.5, 5849.7, 5849.8,
(f) Chapter 2 (commencing with Section              5849.9, 5849.11, 5849.14, 5890, and 5891
10290) of Part 2 of Division 2 of the Public        of, added Section 5849.35 to, and repealed
Contract Code shall not apply to any contract       and added Section 5849.13 of, this code.
entered into between the authority and the
department under this section.                      (c) Those provisions of Chapter 561 of the
                                                    Statutes of 2017 that amended any of the
SEC. 4. Section 5849.4 of the Welfare and           provisions referenced in subdivisions (a) and
Institutions Code is amended to read:               (b).
5849.4. (a) The No Place Like Home Fund is          (d) The amendments to Section 5849.35,
hereby created within the State Treasury and,       5849.4, and 5890 made by the act adding this
notwithstanding Section 13340 of the                section.
Government Code, continuously appropriated to
the department, the authority, and the Treasurer    (e) The issuance by the California Health
for the purposes of this part. Accounts and         Facilities Financing Authority of bonds in an
subaccounts may be created within the fund as       amount not to exceed two billion dollars
needed. Up to 5 percent of the amount               ($2,000,000,000) for         the    purposes   of
deposited in the fund may be used for               financing    permanent       supportive   housing
administrative expenses in implementing this        pursuant to the No Place Like Home Program
part.                                               and related purposes as set forth in subdivision
                                                    (b) of Section 15463 of the Government Code,
(b) There shall be paid into the fund the           the issuance of bonds for the purpose of
following:                                          redeeming, refunding, or retiring bonds as set
(1) Any moneys from the        receipt of loan      forth in subdivision (c) of Section 15463 of the
proceeds by the department     derived from the     Government Code, and the process by which
issuance of bonds by the        authority under     those bonds are issued, secured, and repaid, as
subdivision (b) of Section      15463 of the        set forth in the provisions referenced in
Government Code.                                    subdivisions (a) to (d), inclusive.
                                                                                    Text of Proposed Laws |   11
TEXT OF PROPOSED LAWS                                                         Proposition 2 Continued

         SEC. 6. Section 5890 of the Welfare and              (commencing with Section 5850) of this
         Institutions Code is amended to read:                division, shall be determined in accordance with
         5890. (a) The Mental Health Services Fund is         the Uniform Method of Determining Ability to
         hereby created in the State Treasury. The fund       Pay applicable to other publicly funded mental
         shall be administered by the state.                  health services, unless this Uniform Method is
         Notwithstanding Section 13340 of the                 replaced by another method of determining
         Government Code, all moneys in the fund are,         copayments, in which case the new method
                                                              applicable to other mental health services shall
2        except as provided in subdivision (d) of Section
         5892, continuously appropriated, without             be applicable to services pursuant to Part 3
         regard to fiscal years, for the purpose of funding   (commencing with Section 5800) and Part 4
         the following programs and other related             (commencing with Section 5850) of this
         activities as designated by other provisions of      division.
         this division:                                       (f) (1) The Supportive Housing Program
                                                              Subaccount is hereby created in the Mental
         (1) Part 3 (commencing with Section 5800),
                                                              Health Services Fund. Notwithstanding Section
         the Adult and Older Adult Mental Health System
                                                              13340 of the Government Code, all moneys in
         of Care Act.
                                                              the subaccount are reserved and continuously
         (2) Part 3.2 (commencing with Section 5830),         appropriated, without regard to fiscal years, to
         Innovative Programs.                                 the California Health Facilities Financing
         (3) Part 3.6 (commencing with Section 5840),         Authority to provide funds to meet its financial
         Prevention and Early Intervention Programs.          obligations pursuant to any service contracts
                                                              entered into pursuant to Section 5849.35.
         (4) Part 3.9 (commencing with Section
                                                              Notwithstanding any other law, including any
         5849.1), No Place Like Home Program.
                                                              other provision of this section, no later than the
         (5) Part 4 (commencing with Section 5850),           last day of each month, the Controller shall,
         the Children’s Mental Health Services Act.           before any transfer or expenditure from the fund
         (b) The establishment of this fund and any           for any other purpose for the following month,
         other provisions of the act establishing it or the   transfer from the Mental Health Services Fund
         programs funded shall not be construed to            to the Supportive Housing Program Subaccount
         modify the obligation of health care service         an amount that has been certified by the
         plans and disability insurance policies to           California Health Facilities Financing Authority
         provide coverage for mental health services,         pursuant to paragraph (3) of subdivision (a) of
         including those services required under Section      Section 5849.35, but not to exceed an
         1374.72 of the Health and Safety Code and            aggregate amount of one hundred forty million
         Section 10144.5 of the Insurance Code, related       dollars ($140,000,000) per year. If in any
         to mental health parity. This act shall not be       month the amounts in the Mental Health
         construed to modify the oversight duties of the      Services Fund are insufficient to fully transfer to
         Department of Managed Health Care or the             the subaccount or the amounts in the
         duties of the Department of Insurance with           subaccount are insufficient to fully pay the
         respect to enforcing these obligations of plans      amount certified by the California Health
         and insurance policies.                              Facilities Financing Authority, the shortfall shall
                                                              be carried over to the next month. month, to be
         (c) This act shall not be construed to modify or     transferred by the Controller with any transfer
         reduce the existing authority or responsibility of   required by the preceding sentence. Moneys in
         the State Department of Health Care Services.        the Supportive Housing Program Subaccount
         (d) The State Department of Health Care              shall not be loaned to the General Fund
         Services shall seek approval of all applicable       pursuant to Section 16310 or 16381 of the
         federal Medicaid approvals to maximize the           Government Code.
         availability of federal funds and eligibility of     (2) Prior to the issuance of any bonds pursuant
         participating children, adults, and seniors for      to Section 15463 of the Government Code, the
         medically necessary care.                            Legislature may appropriate for transfer funds in
         (e) Share of costs for services pursuant to Part     the Mental Health Services Fund to the
         3 (commencing with Section 5800) and Part 4          Supportive Housing Program Subaccount in an
    12 | Text of Proposed Laws
TEXT OF PROPOSED LAWS                                                          Proposition 2 Continued

amount up to one hundred forty million dollars        new provisions proposed to be added are printed
($140,000,000) per year. Any amount                   in italic type to indicate that they are new.
appropriated for transfer pursuant to this
paragraph and deposited in the No Place Like          PROPOSED LAW
Home Fund shall reduce the authorized but
                                                      The people of the State of California do enact as
unissued amount of bonds that the California
                                                      follows:
Health Facilities Financing Authority may issue
pursuant to Section 15463 of the Government           SECTION 1. Division 38 (commencing with
Code      by     a    corresponding       amount.     Section 86000) is added to the Water Code, to                   2
Notwithstanding Section 13340 of the                  read:
Government Code, all moneys in the subaccount            DIVISION 38. STATE WATER SUPPLY
transferred pursuant to this paragraph are             INFRASTRUCTURE, WATER CONVEYANCE,
reserved and continuously appropriated, without
regard to fiscal years, for transfer to the No
                                                      ECOSYSTEM AND WATERSHED PROTECTION
                                                      AND RESTORATION, AND DRINKING WATER
                                                                                                                      3
Place Like Home Fund, to be used for purposes                 PROTECTION ACT OF 2018
of Part 3.9 (commencing with Section 5849.1).
The Controller shall, before any transfer or                      Chapter 1. Short Title
expenditure from the fund for any other purpose       86000. This division shall be known and may
for the following month but after any transfer        be cited as the Water Supply and Water Quality
from the fund for purposes of paragraph (1),          Act of 2018.
transfer moneys appropriated from the Mental               Chapter 2. Findings   and   Declarations
Health Services Fund to the subaccount
pursuant to this paragraph in equal amounts           86001. The people find and declare the
over the following 12-month period, beginning         following:
no later than 90 days after the effective date of     (a) In our frequently very dry state, our high-
the appropriation by the Legislature. If in any       tech, agricultural and urbanized economy relies
month the amounts in the Mental Health                on an uninterrupted and high-quality water
Services Fund are insufficient to fully transfer to   supply. By making water use more efficient,
the subaccount or the amounts in the                  reducing the demand for water, providing new
subaccount are insufficient to fully pay the          and diverse water supplies, improving the
amount appropriated for transfer pursuant to          quality of our source watersheds, and protecting
this paragraph, the shortfall shall be carried        key environmental uses of water, this measure
over to the next month.                               will assure that the economic and environmental
(3) The sum of any transfers described in             engines of California are not derailed by a
paragraphs (1) and (2) shall not exceed an            shortage of water.
aggregate of one hundred forty million dollars        (b) California’s recent historic drought raises
($140,000,000) per year.                              serious questions about the long-term reliability
(4) Paragraph (2) shall become inoperative            of our current water supplies. The drought
once any bonds authorized pursuant to Section         underscores the need to use our existing water
15463 of the Government Code are issued.              supplies more efficiently, increase investments
                                                      in our water infrastructure, and more effectively
SEC. 7. The provisions of this act may be
                                                      integrate our water system from the headwaters
amended by a two-thirds vote of the Legislature
                                                      to the end user.
so long as such amendments are consistent with
and further the intent of this act.                   (c) California’s    water    situation   requires
                                                      implementation of the California Water Action
PROPOSITION 3                                         Plan to provide for the water needs of people,
                                                      agriculture, and the environment. This division
This initiative measure is submitted to the           will help provide a more reliable water supply by
people in accordance with the provisions of           reducing waste, increasing the amount of water
Section 8 of Article II of the California             available to meet our needs, and improving
Constitution.                                         water quality. This division also provides
This initiative measure adds sections to the Fish     additional protection for our communities from
and Game Code and the Water Code; therefore,          floods.
                                                                                       Text of Proposed Laws |   13
TEXT OF PROPOSED LAWS                                                         Proposition 3 Continued

         (d) This division will implement cost-effective       (l) Flooding can devastate communities and
         methods of water development and conservation         infrastructure. We can make better use of
         to meet California’s present and future water         floodwaters by capturing waters and putting
         needs in a changing climate, including capture        them to use in our communities, on our farms,
         of urban drainage and stormwater runoff,              and by recharging groundwater basins. By
         groundwater and brackish water desalting,             providing funds to intelligently manage our
         groundwater storage, water recycling, water           watersheds and floodplains, this division will
         conservation, and watershed management,               also help avoid flood damage, improve fish and
         restoration, enhancement and protection.              wildlife habitat, remove pollutants from our
         (e) Many of the water supply and water quality        water supply, enhance groundwater, remediate
         investments provided by this division will be         aquifers and improve the environment. Better
         matched by agencies and grant recipients, more        floodplain management may allow improved
3        than doubling the effectiveness of the funding        operation of upstream reservoirs for water supply
         provided.                                             purposes.
         (f) Agencies implementing this division will give     (m) Severe fire conditions can lead to significant
         high priority to cost-effective projects and to the   erosion, reduced water quality and impacts on
         most durable and most environmentally                 water infrastructure. This division provides
         beneficial projects. Funding will go to projects      funding to manage forests and watersheds to
         that contribute to implementation of the              reduce fire danger, mitigate the effects of
         California Water Action Plan, the goal of which       wildfires on water supply and quality, and
         is to increase the resiliency of the California       enhance water supplies.
         water system and the ability of California            (n) This division funds the following programs,
         communities to cope with drought conditions.
                                                               which respond to human and environmental
         (g) Every Californian has a right to safe, clean,     water needs in California:
         affordable, and accessible drinking water. By
                                                               (1) Improvement of water supply and water
         complying with Section 106.3, agencies
                                                               quality   utilizing  cost-effective methods,
         providing funds for safe drinking water pursuant
                                                               including water conservation, desalting of
         to this division will help achieve the intent of
                                                               groundwater and other inland saline water,
         that section.
                                                               stormwater management, wastewater recycling,
         (h) This division provides a fair and reasonable      and similar water management measures.
         distribution of funds directly and indirectly
         benefiting every region of the state.                 (2) Better management of forest and rangeland
                                                               watersheds, such as through the Sierra Nevada
         (i) This division provides short and long-term        Watershed Improvement Program, to improve
         cost-effective actions to address the water           the pattern, quantity, and quality of water runoff
         shortages caused by the recent drought, and will      and groundwater recharge. Improving soil health
         help prepare local communities for future             improves the ability of the ground to better
         droughts. Droughts reduce water supplies for          contain groundwater and moderate the rate of
         people, agriculture and the environment. This
                                                               water runoff.
         division will help meet the water needs of
         people, agriculture, and the environment and          (3) Better groundwater management, including
         make California more resilient in the face of a       faster implementation of the Sustainable
         changing climate.                                     Groundwater Management Act (Part 2.74
                                                               (commencing with Section 10720) of
         (j) By improving the health and water
                                                               Division 6), and better recognition of the
         productivity of watersheds, communities will
                                                               connection between surface and groundwater.
         become more self-reliant with respect to water
         supply, and local environmental quality will be       (4) Provision of water for fish and wildlife,
         increased.                                            including restoration of the Pacific Flyway and
         (k) By removing invasive plants such as yellow        management of habitat in a dynamic way to
         starthistle, giant reed (Arundo donax), and           respond to changing environmental conditions.
         tamarisk, water supply will be increased and          (5) Increased capacity to convey water resulting
         habitat for fish and wildlife will be improved.       in greater groundwater recharge and improved
    14 | Text of Proposed Laws
TEXT OF PROPOSED LAWS                                                          Proposition 3 Continued

conveyance and utilization of floodwaters for use    capital costs, the cost of water from these plants
in drought years.                                    will also be reduced. Implementation of
(o) The State Water Resources Control Board,         groundwater desalting plants will defer the need
the Department of Fish and Wildlife, and many        for more expensive alternative sources of water
other agencies have recognized that providing        supply, thus further reducing local capital and
funding for fish habitat enhancement is vital to     operating costs.
restoring native California fish populations and     (4) Water Conservation. State funds will reduce
that relying solely on flow to restore those         the cost of these projects, reducing costs to
populations will not be sufficient. Providing        local government. More importantly, reduced
funding for fish habitat enhancement is a vital      water demand resulting from these projects will
complement to reasonable flows to protect fish.      reduce operating costs and will temporarily or
(p) California has lost 95 percent of its            permanently defer the construction and
historical wetlands. These wetlands provide          operating costs of more expensive capital outlay                3
food, water, and cover for migratory and other       projects needed to provide new water.
birds, fish, mammals, reptiles, amphibians, and      (5) Repairing Flood Control Reservoirs. State
a vast number of plant species. Many species         funds will reduce the costs of these projects for
may become endangered or threatened without          local government.
wetlands and many more survive only due to           (6) San Francisco Bay Restoration Authority
wetlands available today. This division combines     Funds. State investment in wetlands projects
work to sustain and protect current wetlands         providing flood protection around San Francisco
with the potential to increase wetlands in           Bay will reduce flood risk associated with
California to support a thriving flora and fauna.    climate change. This will reduce the cost of
(q) The implementation of this division will         other flood control measures, and more
result in cost savings to local governments          importantly will reduce flood damage which
immediately of substantially more than               often results in tremendous costs to local
one billion dollars, and reduce local government     government for facility repair.
operating costs by hundreds of millions of           (7) Stormwater Funding. Regulations imposed
dollars per year. This division will provide         by the State Water Resources Control Board and
funding that displaces local government              various regional water quality control boards will
funding, resulting in the implementation of          result in the construction of various capital
projects in the following areas. These projects      outlay projects costing billions of dollars.
would have eventually been implemented by            Providing funds through this measure will
local government.                                    reduce the cost of these projects to local
(1) Safe Drinking Water. State direct and            government.
matching funds will reduce the cost to local         (8) Fisheries Restoration. This division provides
government of implementing drinking water and        hundreds of millions of dollars for fisheries
wastewater treatment systems, and to some            restoration. Local and regional water agencies
extent, the operation of those systems.              are voluntarily undertaking many of these
(2) Wastewater Recycling. State funds will           projects. By providing state funds, this division
reduce the cost of these plants, reducing the        will reduce local costs. In addition, the resulting
capital cost of the projects for local               increase in fish populations will make it possible
governments. By reducing local government            to improve local water supplies, avoiding local
capital costs, the cost of water from these plants   government costs to provide replacement water
will also be reduced. Implementation of              supplies costing hundreds of millions or even
wastewater recycling plants will defer the need      billions of dollars.
for more expensive alternative sources of water      (9) Bay Area Regional Reliability. San Francisco
supply, thus further reducing local capital and      Bay area water districts are undertaking
operating costs.                                     extensive improvements in their water
(3) Groundwater Desalting. State funds will          distribution systems to interconnect their water
reduce the cost of these plants, reducing the        supplies for greater drought water supply
capital cost of the projects for local               reliability and other benefits. By providing funds
governments. By reducing local government            for this program, this division will reduce their
                                                                                      Text of Proposed Laws |   15
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