California Water Bond Politics PowerPoint Presentation

California Water Bond Politics PowerPoint Presentation

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August 13, 2014. Prologue. 2006 Infrastructure Bond Package:. Prop 1B Transportation. Prop 1C Housing. Prop 1D Schools. Prop 1E Flood Control and Management. 2006 Proposition 84 Park Bond Initiative:. ID: 751896

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Slide1

California Water Bond Politics

August 13, 2014

Slide2

Prologue

2006 Infrastructure Bond Package:

Prop 1B Transportation

Prop 1C HousingProp 1D SchoolsProp 1E Flood Control and Management2006 Proposition 84 Park Bond Initiative:Included $1 billion for IRWMIncluded $1.2 billion for other water accountsNo water-only bond proposal on 2006 ballot

California Water Bond Politics | Townsend Public Affairs

Slide3

The push for a “true” water bond

Negotiations began in early 2008 to put forth a water bond package

Governor Schwarzenegger and Republicans were heavily involved in crafting the package

Democrats were willing to support a water bond, but only if several key water-policy related bills were adopted as wellCalifornia Water Bond Politics | Townsend Public Affairs

Slide4

2009 Water Bond Package

Ultimately a water bond in the amount of $11.14 billion (SBx7-2)

was

adopted by the Legislature and signed by Governor Schwarzenegger for the November 2010 ballot.California Water Bond Politics | Townsend Public Affairs

Slide5

2009 Water Bond Package

California Water Bond Politics | Townsend Public Affairs

Slide6

2009 Water Bond Package

Spending Cap:

“Of the

$11.14 billion in bonds authorized in this division, no more than $5.57 billion shall be sold by the Treasurer before July 1, 2015.”Rationale:Adopt one large funding measure upfrontAvoid going to voters twice in the same decade

California Water Bond Politics | Townsend Public Affairs

Slide7

2009 Water Bond Package

In

conjunction with SBx7-2, four water policy bills were also approved and signed into law:

SBx7-1: Delta GovernanceSets the co-equal goals recommended by the Delta Blue Ribbon Committee SBx7-6: Groundwater MonitoringEstablishes the first statewide groundwater monitoring programSBx7-7: Water ConservationSets goal of reducing urban water use by 20% by 2020SBx7-8: Water Diversion ReportingIncreases SWRCB enforcement of water rights useAppropriates $

546 million for

water and environmental

projects

California Water Bond Politics | Townsend Public Affairs

Slide8

2009 Water Bond Ballot Delay

Water Bond was slated for the November 2010 ballot but was delayed to 2012 at the urging of

Governor

Arnold SchwarzeneggerWater Bond was delayed again, this time to 2014 at the urging of Governor Jerry Brown. Statewide drought conditions at the time were smaller than in comparison to today. California Water Bond Politics | Townsend Public Affairs

Slide9

Then and Now

California Water Bond Politics | Townsend Public Affairs

Graphic Credit: Brad

Rippey/U.S. Department of Agriculture

Slide10

2013-14 Water Bond Legislation

Over a dozen water bond bills introduced between 2013 -2014

June 26, 2014 marked “

aquapocalypse” the initial deadline for the Legislature to replace the 2009 water bond with a new water bond measure.California Water Bond Politics | Townsend Public Affairs

Slide11

Legislative Water Bond Efforts

The dozen of bills introduced was narrowed down to three measures by June:

AB 1331 (Rendon)

SB 848 (Wolk) AB 2686 (Perea) Several hearings were held and all three bills went through several rounds of amendmentsAs of June 25th the Governor still had not weighed in on any proposalCalifornia Water Bond Politics | Townsend Public Affairs

Slide12

Legislative Water Bond Efforts

While a final deal had not been reached by the Legislature, there was consensus on several key issues:

Surface Storage with continuous appropriation

Desalination as an eligible project category Water Use Efficiency Water Reuse and Stormwater CaptureWater RecyclingDelta MitigationCalifornia Water Bond Politics | Townsend Public Affairs

Slide13

Legislative Water Bond Efforts

What

wasn’t

agreed upon…Funding amounts for:California Water Bond Politics | Townsend Public AffairsDelta

Mitigation

Surface

Storage

Overall

Bond

Amount

Slide14

The Governor Finally Engages

Governor Brown releases Water

Action Plan Financing Act of

2014 on June 26thTotal Price Tag: $6 billion$2 billion for Surface Storage$1.5 billion for Water Quality/Water Reliability $1.5 billion for Watershed Protection$500 million for Delta Mitigation

$500 million

for Statewide

Flood

Management

California Water Bond Politics | Townsend Public Affairs

Slide15

The Governor Finally Speaks

Five years ago, state legislators and the Governor put a pork-laden water bond on the ballot — with a price tag beyond what’s reasonable or affordable

. ““My $6 billion plan provides for water use efficiency and recycling, effective groundwater management and added storage.” California Water Bond Politics | Townsend Public Affairs

Slide16

I

n

response to the Governor’s desire for a smaller

water bond, Senate Democrats release a scaled-down version of SB 848 (Wolk):Reduces bond amount from $10.5 billion to $7.5 billionFunding categories reduced by 30% except: ▫

Groundwater Treatment and Remediation

(

remains at $1 billion)

Recycled Water

(

remains at $500 million)

The night before summer recess, SB 848 fell apart and the Legislature recessed without reaching a deal.

The Democrats Push Back

California Water Bond Politics | Townsend Public Affairs

Slide17

Summer Recess

California Water Bond Politics | Townsend Public Affairs

Slide18

Legislature Reconvenes

Legislature reconvenes on August 4th with the Assembly Speaker publicly stating

we have to get something done this week.”Rumors float that a deal cannot be reached, and thus the 2009 Water Bond might remain in place on the 2014 ballotNo formal hearings or meetings on water bond legislation take place during the entire weekCalifornia Water Bond Politics | Townsend Public Affairs

Slide19

Republicans Push Back

On August 7

th

, the Republican Caucus guts and amends SB 1013 into their new water bond proposal, totaling $8.7 billion:$3 billion for Surface Storage(with continuous appropriation)$700 million for Water Recycling$600 million for Delta Mitigation $1.5 billion for Watershed Protection $900 million for Water Use Efficiency

California Water Bond Politics | Townsend Public Affairs

Slide20

Game of Chicken

Governor Brown

: “

They’re arguing about this $3 billion storage. You’re not gonna get these dams built without more billions, and it’s gonna take many years. We have a problem right now, and the $6 billion covers all the immediate stuff that we can do now.”Senator Jim Nielsen: “Where have we been? Where has the administration been since January? This water crisis has been around all these many months. Now in these last moments of session we’re going to panic, and gear up.”Senator Bob Huff: "You can't build two facilities with less than $3

billion.“

California Water Bond Politics | Townsend Public Affairs

Slide21

Game of Chicken

Deadlines are looming to finalize a

ballot measure with the Secretary of State

Dems need Reep votes in the SenateSome Republicans are privately grousing that the 2009 bond is better than any current deal the Governor has put forthPolling shows 9 percent favorability among voters for a $6 billion bond v. $11 billion bondPolls show support for 2009 bond drops by 17 percent with Governor’s oppositionThe Big Question: would the Governor truly fight the 2009 Water Bond in conjunction with his re-election campaign during a public crisis over drought conditions??California Water Bond Politics | Townsend Public Affairs

Slide22

The Governor Responds

Mid-day August 11th the Governor releases legislative language outlining a $7.195 billion bond

SB 866 and AB 1471 are amended and introduced the next morning August 12

Press conference held with the Governor, MWD, agricultural interests, The Nature Conservancy, among others.Noticeably absent: Republicans California Water Bond Politics | Townsend Public Affairs

Slide23

SB 866/AB 1471

California Water Bond Politics | Townsend Public Affairs

Slide24

SB 866/AB 1471

Funding eligibility dependent on compliance with 2009 Water Conservation Act and Urban and Agricultural Water Management Plans

Bay Delta Conservation Plan neutral

Protection of existing water rights Repurposes $105 million from Proposition 84, $95 million from Proposition 50 and takes on $6.99 billion in new debtCalifornia Water Bond Politics | Townsend Public Affairs

Slide25

What’s Next

Three Options

California Water Bond Politics | Townsend Public Affairs

No deal is reached and the 2009 Water Bond remains on the 2014 ballot

No deal is reached BUT the Legislature and Governor agree to delay the 2009 Water Bond to a future ballot

A deal is reached and a new Water Bond is put on the 2014 ballot as a replacement to the 2009 Water Bond

Slide26

California Water Bonds: A Legacy of Victory

Since 1914, 13 water-related

bonds have

been put on the state ballot by the Legislature or voter initiativeOf those 13 water bonds, ONLY ONE has ever failed to pass (1982: Peripheral Canal, 62% opposed) California Water Bond Politics | Townsend Public Affairs

Slide27

California Water Bonds: A Legacy of Victory

California Water Bond Politics | Townsend Public Affairs

Year

NumberAmount

Results

2000

Prop 13

$1.97

B

64.8%

2002

Prop 40

$2.6 B

56.9%

2004

Prop 50

$3.4 B

55.3%

2006

Prop 84

$5.4

B

53.8%

Slide28

What’s Next

Do Central Valley interests get the $3 billion in surface storage and support the measure?

Does the inclusion of watershed solidify the support of environmental organizations?

Do urban water interests believe there is enough local and regional water reliability in the water bond to garner their support?Can Delta interests transform the debate on the water bond into a referendum on the tunnels? California Water Bond Politics | Townsend Public Affairs

Slide29

Conclusion

Christopher Townsend

President

CTownsend@TownsendPA.comHeather StratmanSenior DirectorHStratman@TownsendPA.comCalifornia Water Bond Politics | Townsend Public Affairs


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