75th OREGON LEGISLATIVE ASSEMBLY--2009 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 2753
House Bill 3369
Sponsored by Representatives ROBLAN, BENTZ; Representatives
BOONE, BRUUN, CLEM, FREEMAN, GILLIAM, HANNA, HUFFMAN, JENSON,
MAURER, OLSON, SCHAUFLER, SPRENGER, THOMPSON, WINGARD, WITT
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
Authorizes issuance of lottery bonds to finance grants for
water supply projects. Establishes program in Water Resources
Department to further economic development by reviewing and
approving applications for water supply projects and awarding
grants to pay costs of approved projects.
Establishes Agriculture and Community Water Supply Grant Fund.
Continuously appropriates moneys in fund to Water Resources
Department for grant program.
Declares emergency, effective July 1, 2009.
A BILL FOR AN ACT
Relating to water supply management; appropriating money; and
declaring an emergency.
Whereas Oregon's population is projected to grow by one million
people before 2030; and
Whereas climate change is expected to alter the timing and form
of precipitation in Oregon; and
Whereas surface water is almost completely allocated across the
state and ground water levels have declined precipitously in
several areas; and
Whereas it is the policy of the Water Resources Department to
address directly the water supply needs of the state and to
protect streamflows and watersheds; and
Whereas giving the Water Resources Department the authority to
make grants to public, private and tribal entities for the
purpose of water supply projects can help ensure that a
sufficient and sustainable water supply is available to meet the
current and future water supply needs of Oregonians; now,
therefore,
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + As used in sections 1 to 4 of this 2009 Act:
(1) 'Construction' means the construction, improvement,
rehabilitation or modification, in whole or in part, of a water
supply project, including planning, design development,
engineering, acquiring necessary permits and contracting for
water supply systems.
(2) 'Water supply project' means an undertaking, in whole or in
part, for water supply development or water resource management
that employs conservation, reuse or storage techniques to create
new water supplies. + }
SECTION 2. { + (1) The Water Resources Department shall
establish a grant program to pay approved costs for construction
of water supply projects.
(2) The department:
(a) Shall award grants under sections 1 to 4 of this 2009 Act
from moneys available in the Agriculture and Community Water
Supply Grant Fund established by section 4 of this 2009 Act.
(b) May award grants under sections 1 to 4 of this 2009 Act to
a local government as defined in ORS 174.116, to an Indian tribe
as defined in ORS 391.802 or to a person.
(c) May not award grants to pay for ongoing operations or
maintenance expenses. + }
SECTION 3. { + (1) In accordance with rules adopted by the
Water Resources Commission:
(a) A local government as defined in ORS 174.116, Indian tribe
as defined in ORS 391.802 or person seeking a grant under
sections 1 to 4 of this 2009 Act for a water supply project must
submit a completed application in the manner and in a form
prescribed by the Water Resources Department, including
information and attachments required by the department.
(b) The department shall:
(A) Review a submitted application for completeness and may
reject an incomplete application or require submission of
additional or revised information; and
(B) Approve or deny a complete application, subject to the
conditions of approval required by subsection (3) of this
section.
(c) The department shall charge and collect an application fee
for deposit in the Agriculture and Community Water Supply Grant
Fund established by section 4 of this 2009 Act.
(2) In addition to requirements prescribed by rules of the
commission, the applicant shall:
(a) Describe the nature and purposes of the proposed water
supply project, including the need for the project.
(b) Identify and describe the components of the project that
are necessary to meet the conditions of approval described in
subsection (3) of this section.
(c) Provide a feasibility study for the construction, operation
and maintenance of the project, including:
(A) An estimate of the total cost of the project;
(B) An analysis of environmental impacts of the project; and
(C) An analysis of the amount of water conservation associated
with the project, if any.
(d) State whether and what other moneys are available or have
been sought for the implementation of the project.
(e) Demonstrate that the amount of grant moneys requested under
sections 1 to 4 of this 2009 Act will be matched on a
dollar-for-dollar basis with moneys from other sources.
(f) Provide letters of support for the project.
(3) The department may approve an application for a grant under
sections 1 to 4 of this 2009 Act for a water supply project after
determining that:
(a) The project is feasible and represents a reasonable risk
from practical and economic standpoints;
(b) The plan for the construction, operation and maintenance of
the project is satisfactory; and
(c) If applicable, a new diversion paid for with grant moneys
must provide fish screens or other fish passage.
(4) The commission shall adopt rules for the implementation of
sections 1 to 4 of this 2009 Act, including rules that:
(a) Provide for public comments before the award of grants.
(b) Establish reporting requirements for grants awarded under
sections 1 to 4 of this 2009 Act.
(c) Require the department to commit or reserve moneys in the
Agriculture and Community Water Supply Grant Fund established by
section 4 of this 2009 Act only after:
(A) Finding that there will be sufficient unobligated moneys in
the fund to meet previous commitments;
(B) Allowing for contingencies; and
(C) Providing, in any contract for the commitment of grant
moneys that the commitment of the state to make any future
payments is contingent on the availability of moneys in the fund.
(d) Establish a maximum level of grant funding for a project
or, under specified circumstances, allow the commission to
determine the level of grant funding, if any, on a case-by-case
basis.
(e) Establish standards for making grants from the fund,
including using grants as a financial incentive to encourage
investment in an approved projects. + }
SECTION 4. { + (1) The Agriculture and Community Water Supply
Grant Fund is established separate and distinct from the General
Fund. The moneys in the Agriculture and Community Water Supply
Grant Fund and the interest earnings of the fund are continuously
appropriated to the Water Resources Department for the purposes
described in subsection (2) of this section. The fund consists
of:
(a) Moneys deposited in the fund pursuant to sections 3 and 6
of this 2009 Act for the purpose described in subsection (2) of
this section;
(b) Other moneys appropriated to the fund by the Legislative
Assembly;
(c) Moneys made available to the department by the federal
government, a state agency, a local government, an Indian tribe
or a person for the purposes described in subsection (2) of this
section; and
(d) Gifts of moneys or other property from any source, given
for the purposes described in subsection (2) of this section.
(2) Moneys in the fund are available to make grants to pay
costs of water supply projects and to pay the administrative
costs of the department incurred to implement sections 1 to 4 of
this 2009 Act. + }
SECTION 5. { + The Legislative Assembly finds that:
(1) The financing of water supply projects will create jobs and
further economic development in Oregon, both in the
implementation of the projects themselves and by ensuring an
adequate water supply for projected population growth and
agricultural and business development necessary to support
continued population growth.
(2) The factors described in subsection (1) of this section
will encourage and promote economic development within this
state, and the issuance of lottery bonds to finance water supply
projects is therefore an appropriate use of state lottery funds
to pay the amounts specified in section 6 of this 2009 Act, under
section 4, Article XV of the Oregon Constitution, and under ORS
461.510. + }
SECTION 6. { + (1) For the biennium beginning July 1, 2009, at
the request of the Water Resources Director, the State Treasurer
is authorized to issue lottery bonds pursuant to ORS 286A.560 to
286A.585 in the amount of $50 million to finance the costs of
water supply projects described in sections 1 to 4 of this 2009
Act, plus an additional amount, to be estimated by the State
Treasurer, for payment of bond-related costs incurred by the
Water Resources Department and the State Treasurer.
(2) Net proceeds of lottery bonds issued under subsection (1)
of this section, in the amount of $50 million, must be deposited
in the Agriculture and Community Water Supply Grant Fund
established by section 4 of this 2009 Act.
(3) Bond-related costs incurred by the department and the State
Treasurer for the lottery bonds authorized by this section must
be paid from the gross proceeds of the lottery bonds and from
allocations for the purposes of ORS 286A.576 (1)(c).
(4) Neither the faith and credit nor any of the taxing power of
the state is pledged or otherwise committed by this section or
section 5 of this 2009 Act, and the commitments of the state
under this section or section 5 of this 2009 Act do not
constitute a debt or liability of the state within the meaning of
section 7, Article XI of the Oregon Constitution. + }
SECTION 7. { + This 2009 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2009 Act takes effect July 1,
2009. + }
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