An act to add Chapter
7.8 (commencing with Section 25685) to Division 15 of the Public Resources
3.8 (commencing with Section 390) to Division 1 of the Water
Code, relating to water.

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


SECTION 1.
Chapter 3.8 (commencing with Section 390) is added to Division 1 of the Water Code, to read:
CHAPTER  3.8. Cost-Effective Water Conservation Measures
390.
It is the intent of the Legislature to promote water-resilient communities by having the state identify the relative cost-effectiveness of water efficiency measures and recommend those that have the potential to cost-effectively achieve the greatest reduction in water use, taking into consideration local conditions, and to produce net environmental benefits that outweigh any adverse environmental impacts.
391.
As used in this chapter:
(a) “Adverse environmental impacts” include, but are not limited to, impacts on climate change, net effects on carbon sequestration, increased erosion, and impacts to stormwater runoff.
(b) “Evapotranspiration” means a loss of water from the soil, including losses resulting from evaporation and losses resulting from transpiration from the plants growing on the soil.
(c) “Highly efficient consumer appliances and landscape systems” include, but are not limited to, irrigation systems, toilets, showers, pool covers, and clothes washers.
(d) “Public entity” has the same meaning as defined in Section 375.
(e) “Turfgrass” means any living grass that is used in fields or yards at a residential or commercial property, private park, athletic field, or public school.
392.
By December 1, 2017, the department, in consultation with persons that include, but are not limited to, subject matter experts at the University of California, the California State University, the board, the State Energy Resources Conservation and Development Commission, and local water districts, shall develop and solicit comments on a proposed report that contains all of the following:
(a) An analysis of the relative costs and benefits of incentives for various water efficiency measures, including the consideration of the impact of evapotranspiration rates in different hydrological regions of the state. The water efficiency measures considered shall include, but not be limited to, the following:
(1) Turfgrass removal and replacement with either drought-resistant turfgrass or artificial turf.
(2) Turfgrass removal and replacement with native or drought-tolerant plants.
(3) Non-native or high water using plant removal and replacement with native or drought-tolerant plants, drought-resistant turfgrass, or artificial turf.
(4) The use of conservation-based irrigation technology such as smart controllers.
(5) Investments in graywater infrastructure to supply water to outdoor landscapes.
(6) Rebates for highly efficient consumer appliances and landscape systems.
(b) An analysis of adverse environmental impacts that would result from the water efficiency measures considered pursuant to subdivision (a).
(c) The projected benefits of recommended voluntary water efficiency measures.
393.
By July 1, 2018, the department shall issue a final report that contains both of the following:
(a) All material developed pursuant to Section 392, updated as appropriate to further the intent of this chapter.
(b) Recommendations to public entities to help them achieve water-resilient communities and prioritize cost-effective water efficiency measures with low adverse environmental impacts based on local conditions, such as education, granting incentives or rebates, or other voluntary measures.
SECTION 1.
Chapter 7.8 (commencing with Section 25685) is added to Division 15 of the
Public Resources Code
, to read:
7.8.
Cost-Effective Water Efficiency Measures
25685.
It is the intent of the Legislature that the state identify and recommend the most cost-effective water efficiency measures that achieve the greatest reduction in water use and produce net environmental benefits that outweigh any unintended adverse environmental impacts.
25686.
As used in this chapter:
(a)“Evapotranspiration” means a loss of water from the soil, including losses resulting from evaporation and losses resulting from transpiration from the plants growing on the soil.
(b)“Highly efficient consumer appliances and landscape systems” include, but are not limited to, irrigation systems, toilets, showers, pool covers, and clothes washers.
(c)“Public entity” has the same meaning as defined in Section 375 of the Water Code.
(d)“Turfgrass” means any living grass that is used in fields or yards at a residential or commercial property, private park, athletic field, or public school.
(e)“Unintended adverse environmental impacts” include, but are not limited to, impacts on climate change, net effect on carbon sequestration, increased erosion, and impacts to stormwater runoff.
25687.
By December 1, 2017, the commission, in consultation with persons that include, but are not limited to, subject matter experts at the University of California, the California State University, and local water districts, and in cooperation with the State Water Resources Control Board and the Department of Water Resources, shall develop and solicit comments on a proposed report that contains all of the following:
(a)An analysis of the relative costs and benefits of incentives for various water efficiency measures, including the consideration of the impact of evapotranspiration rates in different hydrological regions of the state. The water efficiency measures considered shall include, but not be limited to, the following:
(1)Turfgrass removal and replacement with either drought-resistant turfgrass or artificial turf.
(2)Turfgrass removal and replacement with native or drought-tolerant plants.
(3)The use of conservation-based irrigation technology such as smart controllers.
(4)Investments in graywater infrastructure to supply water to outdoor landscapes.
(5)Rebates for highly efficient consumer appliances and landscape systems.
(b)An analysis of any unintended adverse environmental impacts that would result from the water efficiency measures considered pursuant to subdivision (a).
(c)The projected benefits of recommended voluntary water efficiency measures.
25688.
By July 1, 2018, the commission shall issue a final report that contains all of the following:
(a)An identification of the most cost-effective incentives for water efficiency measures in terms of water use reduction per dollar spent.
(b)Recommendations to public entities to help them prioritize the most cost-effective solutions for granting incentives or rebates for water efficiency measures.
(c)An analysis of any unintended adverse environmental impacts that would result from the water efficiency measures considered pursuant to subdivision (a).
(d)The projected benefits of recommended voluntary water efficiency measures.

Summary: The California Constitution requires that the water resources of the state be put to beneficial use to the fullest extent of which they are capable and that the waste or unreasonable use or unreasonable method of use of water be prevented.
Existing law requires the State Energy Resources Conservation and Development Commission (Energy Commission), on a biennial basis, to conduct assessments and forecasts of all aspects of energy industry supply, production, transportation, delivery, and distribution. Existing law requires the Energy Commission, beginning November 1, 2003, and biennially thereafter, to adopt an integrated energy policy report containing an overview of major energy trends and issues facing the state.
This bill would require the
Energy Commission
Department of Water Resources
to develop and solicit comments on a proposed report, in consultation with
certain
subject matter
experts and in cooperation with
experts at the University of California, the California State University,
the State Water Resources Control
Board and the Department of Water Resources,
Board, the State Energy Resources Conservation and Development Commission, and local water districts,
by December 1, 2017, and, by July 1, 2018, to issue a final report that contains, among other things,
the projected benefits of recommended voluntary water efficiency measures and an analysis of any unintended adverse environmental impacts that would result from various water efficiency measures.
recommendations to public entities to help them achieve water-resilient communities and prioritize cost-effective water efficiency measures with low adverse environmental impacts based on local conditions.