WATER QUALITY, SUPPLY AND SAFE DRINKING WATER PROJECTS. COASTAL WETLANDS PURCHASE AND PROTECTION. BONDS. INITIATIVE STATUTE.

Water Quality, Supply and Safe Drinking Water Projects. Coastal Wetlands Purchase and Protection. Bonds. Initiative Statute. •Authorizes $3,440,000,000 general obligation bonds to fund a variety of water projects, including: • Specified CALFED Bay-Delta Program projects including urban and agricultural water use efficiency projects; •Grants and loans to reduce Colorado River water use; • Purchasing, protecting and restoring coastal wetlands near urban areas; •Competitive grants for water management and quality improvement projects; •Development of river parkways; • Improved security for state, local and regional water systems; •Grants for desalination and drinking water disinfection. •Appropriates money from state General Fund to pay off bonds. Summary of Legislative Analyst’s Estimate of Net State and Local Government Fiscal Impact: • State cost of up to $6.9 billion over 30 years to pay off both the principal ($3.44 billion) and interest ($3.46 billion) costs on the bonds. Payments of about $230 million per year. • Reduction in local property tax revenues, ranging from a few million dollars to roughly $10 million annually, about one-half of which would be offset by state payments to schools to make up their revenue loss. •Unknown costs to state and local governments to operate or maintain properties or projects purchased or developed with these bond funds