Existing law, the California Building Standards Law, establishes the California Building Standards Commission within the Department of General Services and sets forth its powers and duties, including approval and adoption of building standards and codification of those standards into the California Building Standards Code. Existing law requires the commission to adopt specific building standards, including standards for graywater, and to publish, or cause to be published, editions of the California Building Standards Code in its entirety once every 3 years. Existing law establishes the Building Standards Administration Special Revolving Fund, and makes the moneys in the fund available, upon appropriation, to state entities to carry out various related provisions, as specified.

This bill would require the department to research, develop, and propose building standards to reduce potable water use in new residential buildings and imposes those duties on the commission with respect to new nonresidential buildings, as specified. The bill would require the commission to perform a review of water efficiency and water reuse standards in the California Buildings Standards Code every 3 years, commencing with the next triennial edition, and update as needed.

Existing law establishes, within the California Environmental Protection Agency, the State Water Resources Control Board for the purposes of orderly and efficient administration of the states water resources. Existing law requires the board, in consultation with the commission and the Department of Housing and Community Development, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water in multifamily residential, commercial, and mixed-use buildings, as specified. Existing law requires the department, in consultation with the board, to develop and propose for adoption any necessary corresponding building standards to support those risk-based water quality standards by a specified date.

This bill, instead, would require the department, in consultation with the board, to develop and propose the corresponding building standards within 12 months of the board adopting those regulations.

This bill would also make related findings and declarations.

Existing law, the California Building Standards Law, establishes the California Building Standards Commission within the Department of General Services and sets forth its powers and duties, including approval and adoption of building standards and codification of those standards into the California Building Standards Code. Existing law requires the commission to adopt specific building standards, including standards for graywater, and to publish, or cause to be published, editions of the California Building Standards Code in its entirety once every 3 years. Existing law establishes the Building Standards Administration Special Revolving Fund, and makes the moneys in the fund available, upon appropriation, to state entities to carry out various related provisions, as specified.

This bill would require the department to research, develop, and propose building standards to reduce potable water use in new residential buildings and imposes those duties on the commission with respect to new nonresidential buildings, as specified. The bill would require the commission to perform a review of water efficiency and water reuse standards in the California Buildings Standards Code every 3 years, commencing with the next triennial edition, and update as needed.

Existing law establishes, within the California Environmental Protection Agency, the State Water Resources Control Board for the purposes of orderly and efficient administration of the states water resources. Existing law requires the board, in consultation with the commission and the Department of Housing and Community Development, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water in multifamily residential, commercial, and mixed-use buildings, as specified. Existing law requires the department, in consultation with the board, to develop and propose for adoption any necessary corresponding building standards to support those risk-based water quality standards by a specified date.

This bill, instead, would require the department, in consultation with the board, to develop and propose the corresponding building standards within 12 months of the board adopting those regulations.

This bill would also make related findings and declarations.

Existing law, the California Building Standards Law, establishes the California Building Standards Commission within the Department of General Services and sets forth its powers and duties, including approval and adoption of building standards and codification of those standards into the California Building Standards Code. Existing law requires the commission to adopt specific building standards, including standards for graywater, and to publish, or cause to be published, editions of the California Building Standards Code in its entirety once every 3 years. Existing law establishes the Building Standards Administration Special Revolving Fund, and makes the moneys in the fund available, upon appropriation, to state entities to carry out various related provisions, as specified.

This bill would require the commission to research, develop, and propose building standards to reduce potable water use in new residential and nonresidential buildings, as specified. The bill would require the commission to perform a review of water efficiency and water reuse standards in the California Buildings Standards Code every 3 years, commencing with the next triennial edition, and update as needed.

Existing law establishes, within the California Environmental Protection Agency, the State Water Resources Control Board for the purposes of orderly and efficient administration of the states water resources. Existing law requires the board, in consultation with the commission and the Department of Housing and Community Development, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water in multifamily residential, commercial, and mixed-use buildings, as specified. Existing law requires the department, in consultation with the board, to develop and propose for adoption any necessary corresponding building standards to support those risk-based water quality standards by a specified date.

This bill, instead, would require the department, in consultation with the board, to develop and propose the corresponding building standards within 12 months of the board adopting those regulations.

This bill would also make related findings and declarations.

Existing law, the California Building Standards Law, establishes the California Building Standards Commission within the Department of General Services and sets forth its powers and duties, including approval and adoption of building standards and codification of those standards into the California Building Standards Code. Existing law requires the commission to adopt specific building standards, including standards for graywater, and to publish, or cause to be published, editions of the California Building Standards Code in its entirety once every 3 years. Existing law establishes the Building Standards Administration Special Revolving Fund, and makes the moneys in the fund available, upon appropriation, to state entities to carry out various related provisions, as specified.

This bill would require the commission to research, develop, and propose building standards to reduce potable water use in new residential and nonresidential buildings, as specified. The bill would require the commission to perform a review of water efficiency and water reuse standards in the California Buildings Standards Code every 3 years, commencing with the next triennial edition, and update as needed.

Existing law establishes, within the California Environmental Protection Agency, the State Water Resources Control Board for the purposes of orderly and efficient administration of the states water resources. Existing law requires the board, in consultation with the commission and the Department of Housing and Community Development, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water in multifamily residential, commercial, and mixed-use buildings, as specified. Existing law requires the department, in consultation with the board, to develop and propose for adoption any necessary corresponding building standards to support those risk-based water quality standards by a specified date.

This bill, instead, would require the department, in consultation with the board, to develop and propose the corresponding building standards within 12 months of the board adopting those regulations.

Existing law requires the installation of an onsite treated nonpotable water system to be permitted pursuant to a regulatory program established by a local jurisdiction that, among other requirements, is adopted through a local ordinance that includes the risk-based water quality standards adopted by the board.

This bill would require, no later than December 31, 2024, the commission, in consultation with the board, to develop a guidance document and a model local ordinance to help local jurisdictions adopt regulatory programs for onsite nonpotable water treatment systems, as specified. The bill would authorize the commission to use or build upon any existing model ordinance for onsite nonpotable water treatment systems.The system. The bill would authorize the commission to expend moneys from the Building Standards Administration Special Revolving Fund for the above-described purposes, upon appropriation by the Legislature, as specified.

This bill would also make related findings and declarations.

Existing law, the California Building Standards Law, establishes the California Building Standards Commission within the Department of General Services and sets forth its powers and duties, including approval and adoption of building standards and codification of those standards into the California Building Standards Code. Existing law requires the commission to adopt specific building standards, including standards for graywater, and to publish, or cause to be published, editions of the California Building Standards Code in its entirety once every 3 years. Existing law establishes the Building Standards Administration Special Revolving Fund, and makes the moneys in the fund available, upon appropriation, to state entities to carry out various related provisions, as specified.

This bill would require the commission to research, develop, adopt, approve, codify, and publish voluntary and mandatory propose building standards to reduce potable water use in new residential and nonresidential buildings, as specified. The bill would require the commission to perform a review of voluntary and mandatory water efficiency and water reuse standards in the California Buildings Standards Code every 3 years, commencing with the next triennial edition, and update as needed.

Existing law establishes, within the California Environmental Protection Agency, the State Water Resources Control Board for the purposes of orderly and efficient administration of the states water resources. Existing law requires the commission, board, in consultation with the board, commission and the Department of Housing and Community Development, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water in multifamily residential, commercial, and mixed-use buildings, as specified. Existing law requires the installation department, in consultation with the board, to develop and propose for adoption any necessary corresponding building standards to support those risk-based water quality standards by a specified date.

Existing law requires the installation of an onsite treated nonpotable water system to be permitted pursuant to a regulatory program established by a local jurisdiction that, among other requirements, is adopted through a local ordinance that includes the risk-based water quality standards adopted by the board.

This bill would require, no later than December 31, 2024, the commission, in consultation with the board, to develop a guidance document and a model local ordinance to help local jurisdictions adopt regulatory programs for onsite nonpotable water treatment systems, as specified. The bill would authorize the commission to use or build upon any existing model ordinance for onsite nonpotable water treatment systems.

The bill would authorize the California Building Standards Commission commission to expend moneys from the Building Standards Administration Special Revolving Fund for the above-described purposes, upon appropriation by the Legislature, as specified.

This bill would also make related findings and declarations.

Existing law, the California Building Standards Law, establishes the California Building Standards Commission within the Department of General Services and sets forth its powers and duties, including approval and adoption of building standards and codification of those standards into the California Building Standards Code. Existing law requires the commission to adopt specific building standards, including standards for graywater, and to publish, or cause to be published, editions of the California Building Standards Code in its entirety once every 3 years. Existing law establishes the Building Standards Administration Special Revolving Fund, and makes the moneys in the fund available, upon appropriation, to state entities to carry out various related provisions, as specified.

Existing law establishes, within the California Environmental Protection Agency, the State Water Resources Control Board for the purposes of orderly and efficient administration of the states water resources. Existing law requires the commission, in consultation with the board, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water in multifamily residential, commercial, and mixed-use buildings, as specified. Existing law requires the installation of an onsite treated nonpotable water system to be permitted pursuant to a regulatory program established by a local jurisdiction that, among other requirements, is adopted through a local ordinance that includes the risk-based water quality standards adopted by the board.

This bill would require, no later than December 31, 2024, the commission, in consultation with the board, to develop a guidance document and a model local ordinance to help local jurisdictions adopt regulatory programs for onsite nonpotable water treatment systems, as specified.

The bill would authorize the California Building Standards Commission to expend moneys from the Building Standards Administration Special Revolving Fund for the above-described purposes, upon appropriation by the Legislature, as specified.

The bill would also make related findings and declarations.

Existing law, the California Building Standards Law, establishes the California Building Standards Commission within the Department of General Services and sets forth its powers and duties, including approval and adoption of building standards and codification of those standards into the California Building Standards Code. Existing law requires the commission to adopt specific building standards, including standards for graywater, and to publish, or cause to be published, editions of the California Building Standards Code in its entirety once every 3 years. Existing law establishes the Building Standards Administration Special Revolving Fund, and makes the moneys in the fund available, upon appropriation, to state entities to carry out various related provisions, as specified.

This bill would require the commission to develop and propose mandatory building standards to reduce the designed potable water demand of new buildings by 25% from current mandatory design requirements and to minimize the use of potable water for nonpotable uses. The bill would require the commission to adopt mandatory building standards that require new buildings to be designed to capture graywater and use alternative water sources for nonpotable building and landscaping water uses, as specified.

Existing law establishes, within the California Environmental Protection Agency, the State Water Resources Control Board for the purposes of orderly and efficient administration of the states water resources. Existing law requires the commission, in consultation with the board, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water in multifamily residential, commercial, and mixed-use buildings, as specified. Existing law requires the installation of an onsite treated nonpotable water system to be permitted pursuant to a regulatory program established by a local jurisdiction that, among other requirements, is adopted through a local ordinance that includes the risk-based water quality standards adopted by the board.

This bill would require, no later than December 31, 2024, the commission, in consultation with the board, to develop a guidance document and a model local ordinance to help local jurisdictions adopt regulatory programs for onsite nonpotable water treatment systems, as specified.

The bill would authorize the California Building Standards Commission to expend moneys from the Building Standards Administration Special Revolving Fund for the above-described purposes, upon appropriation by the Legislature, as specified.

The bill would make related findings and declarations.

 UNFINISHED BUSINESS  

Bill No: SB 745

Author: Cortese (D), et al.

Amended: 9/7/23

Vote: 21

SENATE HOUSING COMMITTEE: 8-1, 4/18/23

AYES: Wiener, Blakespear, Caballero, Cortese, McGuire, Skinner, Umberg, Wahab

NOES: Ochoa Bogh

NO VOTE RECORDED: Padilla, Seyarto

SENATE APPROPRIATIONS COMMITTEE: 5-1, 5/18/23

AYES: Portantino, Ashby, Bradford, Wahab, Wiener

NOES: Jones

NO VOTE RECORDED: Seyarto

SENATE FLOOR: 31-9, 5/22/23

AYES: Allen, Archuleta, Ashby, Atkins, Becker, Blakespear, Bradford, Caballero, Cortese, Dodd, Durazo, Eggman, Glazer, Gonzalez, Hurtado, Laird, Limón, McGuire, Menjivar, Min, Newman, Padilla, Portantino, Roth, Rubio, Skinner, Smallwood-Cuevas, Stern, Umberg, Wahab, Wiener

NOES: Alvarado-Gil, Dahle, Grove, Jones, Nguyen, Niello, Ochoa Bogh, Seyarto, Wilk

ASSEMBLY FLOOR: 62-11, 9/11/23 - See last page for vote

SUBJECT: The Drought-Resistant Buildings Act

SOURCE: California State Pipe Trades Council

DIGEST:

This bill requires the California Building Standards Commission (BSC) and the Department of Housing and Community Development (HCD) to develop and propose new mandatory building standards related to water efficiency.

Assembly Amendments

revise the requirements for BSC and HCD in proposing new mandatory building standards related to water reuse and remove the requirement for a model ordinance to be developed.

ANALYSIS:

Existing law:

1. Defines “graywater” as untreated wastewater that has not been contaminated by any toilet discharge, has not been affected by infectious, contaminated, or unhealthy bodily wastes, and does not present a threat from contamination by unhealthful processing, manufacturing, or operating wastes. Graywater includes wastewater from bathtubs, showers, bathroom washbasins, clothes washing machines, and laundry tubs, but does not include wastewater from kitchen sinks or dishwashers.
2. Establishes BSC within the Department of General Services (DGS) and sets forth its powers and duties, including approval and adoption of building standards and codification of those standards into the California Building Standards Code.
3. Requires the BSC to adopt specific building standards, including standards for graywater, and to publish editions of the California Building Standards Code in its entirety once every three years. Requires any building standard adopted or proposed by state agencies to be submitted to, and approved or adopted by, the BSC prior to codification.
4. Establishes the Building Standards Administration Special Revolving Fund, and makes the moneys in the fund available, upon appropriation, to state entities to carry out various related provisions, as specified.
5. Establishes, within the California Environmental Protection Agency (Cal-EPA), the State Water Resources Control Board (SWRCB) for the purposes of orderly and efficient administration of the state’s water resources.
6. Requires BSC, in consultation SWRCB, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water in multifamily residential, commercial, and mixed-use buildings, as specified.
7. Requires the installation of an onsite treated nonpotable water system to be permitted pursuant to a regulatory program established by a local jurisdiction that, among other requirements, is adopted through a local ordinance that includes the risk-based water quality standards adopted by the SWRCB.

This bill:

1. Defines “water reuse system” to include both of the following:
   1. Uses recycled water, graywater, blackwater, rainwater, or other nonpotable water sources for landscaping, building, and other nonpotable water uses.
   2. Captures graywater, rainwater, building foundation water drainage, and other onsite alternative water sources for water reuse onsite or as part of a multibuilding, district, or campuswide treatment system.
2. Requires HCD to research, develop, and propose building standards to reduce potable water use in new residential building with specified considerations, commencing with the next triennial edition of the California Building Standards Code update.
3. Requires BSC to:
   1. Research, develop, and propose building standards to reduce potable water use in new nonresidential building with specified considerations, commencing with the next triennial edition of the California Building Standards Code update.
   2. Perform a review of water efficiency and water reuse standards every three years in the California Building Standards Code and update as needed.
4. Authorizes the expenditure of funds from the Building Standards Administration Special Revolving Fund for the requisite activities.

Background

Climate change, drought, and water shortages. Climate change is undeniable and models indicate it will drive temperatures higher in the future. Climate change will stress water resources and its management like no other time in recorded history. California’s predominantly Mediterranean climate has always posed challenges for water management in the state. This climate is characterized by hot, dry summers and wet, moderately-cool winters. Evidence overwhelmingly reveals that the modern California climate is different today than the climate of a century ago when California’s water law first developed. Since the beginning of the 21st century, average temperatures have risen almost 3°F in California with the hottest six years on record occurring since 2014.^[1] Likewise, California has experienced its two most severe dry periods on record since 2000 and researchers now report that the state has, in fact, been experiencing a “megadrought” since the turn of the century. This “megadrought” appears to be the worst such drought since the year 800, and its severity is due, in large part, to climate change.^[2]

California’s water supply strategy for building drought resiliency. In August 2022, Governor Newsom released this strategy to address a projected 10% decrease in water supply by 2040 due to climate change. To address this shortfall, the strategy sets targets and outlines actions for increased water recycling, desalination, stormwater capture, and water conservation as well as an expansion of surface and underground storage. A 2022 report from the Public Policy Institute of California highlights the requirement for more than individual conservation efforts to protect Californians from the ongoing effects of climate change –continued investments in drought resilient infrastructure, including the diversification of water sources, capturing storm runoff, and water reuse and recycling projects.^[3] Average water use is roughly 50% environmental (such as for habitats and wetland preservation), 40% agricultural, and 10% urban (such as for indoor and outdoor residential or commercial purposes). According to the Natural Resources Defense Council, about half of California’s urban water usage is for outdoor uses (landscaping, pools, washing cars)—and 70% of that is residential.

Comments

1. Benefits of decentralized wastewater treatment and water conservation. Since 2005, the US EPA has issued a series of MOUs and reports to Congress describing how decentralized wastewater treatment, including onsite treatment systems, can benefit communities and be cost effective, economical, sustainable, and safe.^[4] A 2018 report by researchers at UC Davis outlined the water and energy savings and greenhouse gas emissions reductions—524,000 million gallons, 1830 gigawatt hours, and 521,000 metric tons of carbon dioxide, respectively—as a result of Governor Brown’s 2015 mandated statewide reduction in water consumption by urban water suppliers.^[5]
2. How low can we go? Over the past several decades, there have been significant efforts by the state to increase water use efficiency. In 2007, AB 32 established the California Green Building Standards Code (CalGreen) as part of the state’s efforts to address climate change. Despite significant population growth, urban water usage has declined over the past several decades in part due to the plumbing fixture requirements already in place by CalGreen.^[6] AB 1668 (Friedman, Chapter 15, Statutes of 2018), SB 606 (Hertzberg, Chapter 14, Statutes of 2018), and SB 1157 (Herzberg, Chapter 679, Statutes of 2022) established a new framework for long-term improvements in urban water use efficiency and drought planning in California. That legislation required long-term urban water use efficiency standards be set so that urban water use objectives would exceed the state water conservation targets. By requiring CBSC to develop and propose building standards that would reduce the designed potable water demand and capture graywater for nonpotable building and landscaping uses, this bill further contributes to California’s water consumption reduction goals by setting new standards for buildings that will be in use for the next 30-100 years, on average. However, additional decreases to indoor water usage may actually create unintended health and safety consequences. Lower flow rates, flush volumes, and liquid passing through sewers can lead to pathogen growth, drain blockages, and sewer spills.
3. Establishing building standards. The Legislature typically offers guidelines, or directs agencies to consider specific standards, in order to provide flexibility. After the proposal of building standards by state agencies, the standards undergo a public vetting process. A code advisory committee, composed of experts in a particular scope of code, reviews the proposed standards, followed by public review. The proposing agency considers feedback and may then amend the standards and re-submit them to the BSC for consideration. The codes are updated every three years with an intervening cycle every 18 months. The next triennial code adoption cycle is set to commence in January 2026 and become effective January 2029. This bill requires the BSC and HCD to develop and propose new mandatory building standards related to water efficiency in the next triennial code update.
4. Is this bill premature? SB 966 (Wiener, Chapter 890, Statutes of 2018) established state standards on how to permit on-site water reuse systems and give cities the tools they need to put water recycling programs in place. It required BSC and SWRCB to issue comprehensive regulations, including health and safety standards, to help local jurisdictions implement these programs. It also required that oversight and management of onsite treatment of water for non-potable use developed under this framework would be risk-based and focused on protecting public health. The formal onsite reuse rulemaking process and adoption of regulations pursuant to SB 966 are not set to be completed until December 2023. As this process is not yet complete, it may be premature to instruct BSC to establish new standards when SB 966 has not been fully implemented.

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No

According to the Assembly Appropriations Committee:

1. The BSC indicates it would incur the following costs (Building Standards Administration Revolving Fund):
   1. One-time costs in the range of $570,000 and $890,000 for California Environmental Quality Act review. BSC notes that because this bill would expand the use of plastic pipe and other materials used in the installation of alternate nonpotable water systems that could have a material effect on the environment, BSC would need to conduct an initial study and possibly an environmental impact report as part of its environmental analysis.
   2. Ongoing annual costs of approximately $242,000 for one new position to research, develop, and propose building standards to reduce potable water use in new residential buildings and to perform a review of water efficiency and water reuse standards in the California Building Standards Code every three years.
   3. Potential one-time costs of approximately $56,000 to the extent BSC needs to reconfigure office space to accommodate the new staff position. BSC notes its current office space is at capacity.
   4. One-time costs of an unknown, but potentially significant, amount, at least in the hundreds of thousands of dollars, for BSC to hire a consulting firm specializing in nonpotable water reuse to assist in the coordination of the rulemaking and to help develop the guidance documents and model local ordinance.
2. HCD estimates ongoing annual costs of approximately $179,000 for one new position to manage implementation, coordination, and future code maintenance and updates. HCD estimates additional one-time consulting costs of $250,000 to assist with implementation (General Fund).
3. SWRCB estimates one-time costs of approximately $450,000 to coordinate with the BSC in the development of guidance documents and a model local ordinance to assist local jurisdictions establish programs for onsite nonpotable water treatment systems. In addition, SWRCB estimates costs of approximately $450,000 annually for three years for rulemaking efforts to update its on-site reuse regulations as a result of the bill (General Fund or special fund). SWRCB notes this estimate does not include other rulemaking administrative costs, which it cannot determine at this time.

SUPPORT: (Verified 9/11/23)

California State Pipe Trades Council (source)

Active San Gabriel Valley

Building Decarbonization Coalition

California Climate Reality Coalition

California Environmental Voters

California State Pipe Trades Council

Climate Action California

Elders Climate Action, NorCal and SoCal Chapters

Mono Lake Committee

Natural Resources Defense Council

Our City Forest

Plant-Based Advocates - Los Gatos

Sierra Club California

Silicon Valley Youth Climate Action

One individual

OPPOSITION: (Verified 9/11/23)

Association of California Water Agencies

Irvine Ranch Water District

ARGUMENTS IN SUPPORT: According to the author, “Hotter and drier weather conditions from climate change are projected to reduce California’s water supplies by up to 10% by the year 2040. The California Building Standards Code sets forth standards for constructing buildings with dual plumbing to use graywater for landscape irrigation and to use recycled water or onsite treated graywater for non-potable water uses such as toilets and cooling towers. To address projected water shortages in California due to global climate change, SB 745 directs the California Building Standards Commission to develop mandatory building standards to reduce the designed potable water demand of new buildings by 25%. In addition, SB 745 requires adoption of model ordinance language and guidance to streamline local implementation of the onsite treated graywater local program requirements set forth in Water Code Section 13558. These actions would be funded by the existing Building Standards Administration Special Revolving Fund, which provides the California Building Standards Commission funds for development of green building standards.”

ARGUMENTS IN OPPOSITION: Arguments by opposition that have not been removed have not been updated since the bill was significantly amended. The arguments in opposition took issue with (1) codifying a definition of drought-proofed that was not in alignment with existing concepts of water efficiency, (2) requiring a 25% reduction in potable water demand that may or may not be feasible, and (3) declaring that recent legislation has been insufficient or inhibitory of water efficiency technologies and requiring mandatory changes to the California Building Standards Code to address these issues. Recent amendments seem to address most, if not all, of these issues.

ASSEMBLY FLOOR: 62-11, 9/11/23

AYES: Addis, Aguiar-Curry, Alanis, Alvarez, Arambula, Bauer-Kahan, Bennett, Berman, Boerner, Bonta, Bryan, Calderon, Juan Carrillo, Wendy Carrillo, Cervantes, Connolly, Mike Fong, Friedman, Gabriel, Garcia, Gipson, Grayson, Haney, Hart, Holden, Irwin, Jackson, Jones-Sawyer, Kalra, Lee, Low, Lowenthal, Maienschein, Mathis, McCarty, McKinnor, Muratsuchi, Stephanie Nguyen, Ortega, Papan, Pellerin, Petrie-Norris, Quirk-Silva, Ramos, Rendon, Reyes, Luz Rivas, Rodriguez, Santiago, Schiavo, Soria, Ting, Valencia, Villapudua, Waldron, Ward, Weber, Wicks, Wilson, Wood, Zbur, Robert Rivas

NOES: Megan Dahle, Davies, Dixon, Essayli, Flora, Vince Fong, Gallagher, Jim Patterson, Sanchez, Ta, Wallis

NO VOTE RECORDED: Bains, Chen, Hoover, Lackey, Pacheco, Joe Patterson, Blanca Rubio

Prepared by: Aiyana Cortez / HOUSING / (916) 651-4124

9/11/23 19:49:39

**** END ****

1. Frankson et al. California State Climate Summary 2022. NOAA Technical Reports. https://statesummaries.ncics.org/chapter/ca/ ↑

2. Williams et al. Large contribution from anthropogenic warming to an emerging North American megadrought. 2020. DOI: 10.1126/science.aaz9600 ↑

3. Mount et al. Priorities for California’s Water. PPIC. 2022. https://www.ppic.org/publication/priorities-for-californias-water/ ↑

4. Septic Systems Reports, Regulations, Guidance, and Manuals. US EPA. 2023. https://www.epa.gov/septic/septic-systems-reports-regulations-guidance-and-manuals ↑

5. Spang et al. The estimated impact of California’s urban water conservation mandate on electricity consumption and greenhouse gas emissions ↑

6. Welch. CalGreen Plumbing Fixture Requirements. CalGreen Energy Services. https://calgreenenergyservices.com/2019/11/30/calgreen-plumbing-fixture-requirements/ ↑

SENATE THIRD READING

STR Bill Id:SB 745

Author:(Cortese)

As Amended Ver:September 7, 2023

Majority vote

SUMMARY

Requires, commencing with the next triennial edition of the California Building Standards Code, the Department of Housing and Community Development (HCD) and the Building Standards Commission (Commission) to research, develop, and propose building standards to reduce potable water use in new residential and non-residential buildings.

Major Provisions

1. Defines "water reuse system" to include a system approved for installation under the California Building Standards Code that uses recycled water, graywater, rainwater, or other nonpotable water sources for nonpotable indoor or outdoor building use, and a system approved for installation under the California Building Standards Code that captures graywater, rainwater, building foundation water drainage, or other onsite alternative water sources for nonpotable reuse onsite.
2. Requires HCD, commencing with the next triennial edition of the California Building Standards Code, to research, develop, and propose building standards to reduce potable water use in new residential buildings, including consideration of requiring the installation of water reuse systems and consideration of requiring pre-plumbing of buildings to allow future use of recycled water, onsite treated graywater, or other alternative water sources.
3. Requires HCD, in developing these standards, to consider potential impacts on affordable housing, and authorizes HCD to limit requirements to hotel and motel, multifamily, and market-rate housing, and limit or exempt the application of standards based on building size, development size, availability or planned availability of recycled water, or as otherwise appropriate.
4. Requires the Commission, commencing with the next triennial edition of the California Building Standards Code, to research, develop, and propose building standards to reduce potable water use in new non-residential buildings, including consideration of requiring the installation of water reuse systems and consideration of requiring pre-plumbing of buildings to allow future use of recycled water, onsite treated graywater, or other alternative water sources.
5. Authorizes the Commission, in developing these standards, to limit or exempt the application of standards based on occupancy, building type, building size, development size, availability or planned availability of recycled water, or as otherwise appropriate.
6. Requires the Commission to perform a review of water efficiency and water reuse standards in the California Building Standards Code every three years thereafter and update as needed.
7. Authorizes the Commission to expend funds from the Building Standards Administration Special Revolving Funds, upon appropriation.
8. Requires HCD to develop and propose for adoption any necessary corresponding building standards to support the risk-based water quality standards for onsite treatment and reuse of nonpotable water within twelve months of the State Water Resources Control Board (SWB) adopting regulations for risk-based water quality standards for onsite treatment and reuse of nonpotable water for nonpotable end uses in multifamily residential, commercial, and mixed-use buildings.

COMMENTS

Climate Change and Recycled Water in California: Climate change is exacerbating the state's droughts (and wildfires). Unpredictable weather conditions, which are forecast for the foreseeable future, are forcing Californians to move beyond temporary emergency drought measures and adopt permanent changes to use water more efficiently and prepare for more frequent and persistent periods of limited water supply.

Water recycling, also known as reclamation or reuse, is an umbrella term encompassing the process of treating wastewater and storing, distributing, and using recycled water. Recycled water means water which, as a result of treatment of waste, is suitable for a direct beneficial use or a controlled use that would not otherwise occur. Recycled water is most commonly used for nonpotable (not for drinking) purposes, such as agriculture, landscape, public parks, and golf course irrigation. Other nonpotable applications include cooling water for power plants and oil refineries, industrial processes at facilities such as paper mills and carpet dyers, toilet flushing, dust control, construction activities, concrete mixing, and artificial lakes. Recycled water can also be used to recharge groundwater and surface water supplies.

Recycled water and other alternative water supplies will become a more important factor as drought conditions threaten the reliability of California's traditional water supplies. Recycled water can provide a dependable, locally-controlled water supply and can provide other environmental benefits. By providing an additional source of water, water recycling can help reduce the diversion of water from constrained water sources and could result in energy savings. Other benefits include decreasing wastewater discharges to rivers, estuaries, or bays, thereby reducing or preventing effluent pollution. By using recycled water for indirect potable reuses, such as groundwater recharge and surface water supply augmentation, recycled water replenishes over-subscribed water supply sources.

State Water Recycling Policy: The SWB supports and encourages the use of recycled water to promote the conservation of water resources. The Policy for Water Quality Control for Recycled Water (Recycled Water Policy) was developed to increase the use of recycled water from municipal wastewater sources in a manner that is protective of public health and the environment. The Recycled Water Policy provides goals for recycled water use in California, guidance for use of recycled water that considers protection of water quality, criteria for streamlined permitting of recycled water projects, and requirements for monitoring recycled water for constituents of emerging concern.

Background on Building Standards: The California Building Standards Law establishes the process for adopting state building standards by the Commission. Statewide building standards are intended to provide uniformity in building across the state. The Commission's duties include the following: receiving proposed building standards from state agencies for consideration in each triennial and intervening building code adoption cycle; reviewing and approving building standards submitted by state agencies; adopting building standards for state buildings where no other state agency is authorized by law; and publishing the approved building standards in the California Building Standards Code (CCR, Title 24).

There are approximately 20 state agencies that develop building standards and propose them for adoption to the Commission. After the proposal of building standards by state agencies, the standards undergo a public vetting process. A code advisory committee composed of experts in a particular scope of code reviews the proposed standards, followed by public review. The proposing agency considers feedback and may then amend the standards and re-submit them to the Commission for consideration. HCD is responsible for the standards for residential buildings, hotels and motels. The California Building Code and California Residential Code govern general standards for multifamily and single-family residential construction, while the California Plumbing Code governs plumbing requirements for a variety of buildings. Within the codes, there are certain requirements that are mandatory for all newly constructed dwellings or buildings, and certain provisions that are optional or voluntary – meaning the requirements must be followed only if an entity chooses to construct certain items or systems.

Updates and changes to building standards are adopted on two timelines: through the triennial code adoption cycle which occurs every three years and through the intervening code adoption cycle which provides an update to codes 18 months after the publication of the triennial codes. Regulatory activities for each cycle begin over two years before the effective date of the codes. The standards adopted in the current intervening code cycle will be effective on July 1, 2024 and the next triennial cycle's standards will be effective on January 1, 2026.

As a matter of practice, the Legislature typically offers guidelines or directs agencies to consider certain standards, rather than requires the adoption of specific standards, in order to provide flexibility and allow for subject matter experts to determine appropriateness and weigh the many considerations that must be evaluated when recommending new or modified building standards.

Building Standards for Recycled Water in Buildings: Since the 1990s, California's Building Code has included provisions that authorized the installation and use of graywater systems, but the regulations were seen to be restrictive and complicated. In 2008, the Legislature enacted SB 1258 (Lowenthal, Chapter 172), which required HCD to revise building standards for the construction, installation, and alteration of graywater systems for indoor and outdoor uses.

HCD promulgated the new standard and incorporated it into the 2007 California Plumbing Code. The standard is intended to conserve water by facilitating greater reuse of laundry, shower, lavatory, and similar sources of discharge for irrigation and/or indoor use; reduce the number of non-compliant graywater systems by making legal compliance more easily achievable; provide guidance for avoiding potentially unhealthful conditions; and provide an alternative way to relieve stress on private sewage disposal systems by diverting the graywater.

In addition, the California Plumbing Code contains design standards to safely plumb buildings with both potable and recycled water systems. These statewide standards apply for installing both potable and recycled water plumbing systems in commercial, retail, and office buildings, theaters, auditoriums, condominiums, schools, hotels, apartments, barracks, dormitories, jails, prisons, and reformatories. These standards are found in the California Plumbing Code (CCR Title 24, Part 5).

Existing Onsite Water Reuse Policy: In 2018, the Legislature enacted SB 966 (Wiener), Chapter 890, to require the SWB, in consultation with the Commission and HCD, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water by December 1, 2022. SB 966 also requires a local jurisdiction that elects to establish a program for onsite treated nonpotable water systems to, among other things, adopt a local program via ordinance that includes the risk-based water quality standards established by the SWB. Lastly, that bill requires HCD, in consultation with SWB, to develop and propose for adoption any necessary corresponding building standards by December 1, 2023, to support the risk-based water quality standards established by SWB.

The regulations to implement SB 966 have not yet been adopted. However, they are currently in development at the SWB. According to the SWB website, the proposed rulemaking was expected to be underway by late spring 2023. Given the delay, this bill strikes the original December 1, 2023 trigger date for possible new building standards and instead directs HCD to develop and propose for adoption any necessary corresponding building standards within 12 months of the SWB adopting the risk-based water quality standards.

This Bill: The building standards code adoption cycle is a formal regulatory process that involves extensive stakeholder input and public feedback in order to provide flexibility and allow for subject matter experts to determine appropriateness and weigh the many considerations that must be evaluated when recommending new or modified building standards. SB 745 does not require the adoption of specific building standards; however, it differs slightly from SB 966 and this committee's general practice around building standards in that it directs HCD and the Commission to propose building standards generally to reduce potable water use in new buildings by an unspecified amount, and to evaluate (but does not require) certain specific standards, like pre-plumbing and installation of water reuse systems. The specific details of what any eventual standards may include are left to the technical experts in the code adoption process.

According to the Author

"Hotter and drier weather conditions from climate change are projected to reduce California's water supplies by up to 10% by the year 2040. The California Building Standards Code sets forth standards for constructing buildings with dual plumbing to use graywater for landscape irrigation and to use recycled water or onsite treated graywater for non-potable water uses such as toilets and cooling towers.

To address projected water shortages in California due to global climate change, SB 745 directs the California Building Standards Commission to develop mandatory building standards to reduce the designed potable water demand of new buildings. In addition, SB 745 requires adoption of model ordinance language and guidance to streamline local implementation of the onsite treated graywater local program requirements set forth in Water Code Section 13558. These actions would be funded by the existing Building Standards Administration Special Revolving Fund, which provides the California Building Standards Commission funds for development of green building standards."

Arguments in Support

According to the California State Pipe Trades Council, the sponsor, "SB 745 will direct the California Building Standards Commission and the Department of Housing and Community Development to develop building standards to reduce the designed potable water demand of new buildings and to minimize the use of potable water for non-potable uses. SB 745 does not, itself, impose any mandates on the installation of water reuse systems, but rather gives broad discretion to the adopting agencies to determine, through the normal code adoption process, which type of water reuse systems make sense to require in what circumstances and for what type of buildings. SB 745 recognizes that these are precisely the type of policy judgments that are best left to the regulatory process to ensure stakeholder input and the development of details by the relevant expert agencies and their staff."

Arguments in Opposition

According to the Association of California Water Agencies, who write with an oppose unless amended position, "While ACWA strongly supports the intent of SB 745, namely increasing recycled water projects and supply, SB 745 is premature, as the regulations related to the onsite treatment and reuse of nonpotable water for nonpotable end uses are still under development. SB 745 would get ahead of these regulations. In addition, the State Water Board is already in the process of developing and implementing water-use efficiency standards for residential, commercial, and industrial water users. The current proposed water use efficiency standards are projected to cost $13 billion, with the vast majority of that being born by water systems and ratepayers. The regulation will create water use efficiency requirements for urban retail water suppliers, including urban water use efficiency standards, variances, an urban water use objective, and commercial, industrial, and institutional measures. It is unclear how SB 745 will consider the water-use efficiency standards that will be established by the State Water Board."

FISCAL COMMENTS

According to the Assembly Appropriations Committee:

1) The Commission indicates it would incur the following costs (Building Standards Administration Revolving Fund):

a) One-time costs in the range of $570,000 and $890,000 for California Environmental Quality Act review. The Commission notes that because this bill would expand the use of plastic pipe and other materials used in the installation of alternate nonpotable water systems that could have a material effect on the environment, the Commission would need to conduct an initial study and possibly an environmental impact report as part of its environmental analysis.

b) Ongoing annual costs of approximately $242,000 for one new position to research, develop, and propose building standards to reduce potable water use in new residential buildings and to perform a review of water efficiency and water reuse standards in the California Building Standards Code every three years.

c) Potential one-time costs of approximately $56,000 to the extent the Commission needs to reconfigure office space to accommodate the new staff position. The Commission notes its current office space is at capacity.

d) One-time costs of an unknown, but potentially significant amount, at least in the hundreds of thousands of dollars, for the Commission to hire a consulting firm specializing in nonpotable water reuse to assist in the coordination of the rulemaking and to help develop the guidance documents and model local ordinance.

2) HCD estimates ongoing annual costs of approximately $179,000 for one new position to manage implementation, coordination, and future code maintenance and updates. HCD estimates additional one-time consulting costs of $250,000 to assist with implementation (General Fund).

VOTES

SENATE FLOOR: 31-9-0

YES: Allen, Archuleta, Ashby, Atkins, Becker, Blakespear, Bradford, Caballero, Cortese, Dodd, Durazo, Eggman, Glazer, Gonzalez, Hurtado, Laird, Limón, McGuire, Menjivar, Min, Newman, Padilla, Portantino, Roth, Rubio, Skinner, Smallwood-Cuevas, Stern, Umberg, Wahab, Wiener

NO: Alvarado-Gil, Dahle, Grove, Jones, Nguyen, Niello, Ochoa Bogh, Seyarto, Wilk

ASM ENVIRONMENTAL SAFETY AND TOXIC MATERIALS: 6-1-2

YES: Lee, Arambula, Connolly, McKinnor, Pacheco, Zbur

NO: Ta

ABS, ABST OR NV: Hoover, Bauer-Kahan

ASM HOUSING AND COMMUNITY DEVELOPMENT: 6-2-0

YES: Wicks, Wendy Carrillo, Grayson, Kalra, Quirk-Silva, Ward

NO: Joe Patterson, Sanchez

ASM APPROPRIATIONS: 13-3-0

YES: Holden, Bryan, Calderon, Wendy Carrillo, Mike Fong, Hart, Lowenthal, Mathis, Papan, Pellerin, Soria, Weber, Wilson

NO: Megan Dahle, Dixon, Sanchez

UPDATED

VERSION: September 7, 2023

CONSULTANT: Nicole Restmeyer / H. & C.D. / (916) 319-2085 FN: 0002034

SENATE THIRD READING

STR Bill Id:SB 745

Author:(Cortese)

As Amended Ver:July 13, 2023

Majority vote

SUMMARY

Requires, commencing with the next triennial edition of the California Building Standards Code, the Department of Housing and Community Development (HCD) and the Building Standards Commission (Commission) to research, develop, and propose building standards to reduce potable water use in new residential and non-residential buildings.

Major Provisions

1. Defines "water reuse system" to include a system approved for installation under the California Building Standards Code that uses recycled water, graywater, rainwater, or other nonpotable water sources for nonpotable indoor or outdoor building use, and a system approved for installation under the California Building Standards Code that captures graywater, rainwater, building foundation water drainage, or other onsite alternative water sources for nonpotable reuse onsite.
2. Requires HCD, commencing with the next triennial edition of the California Building Standards Code, to research, develop, and propose building standards to reduce potable water use in new residential buildings, including consideration of requiring the installation of water reuse systems and consideration of requiring pre-plumbing of buildings to allow future use of recycled water, onsite treated graywater, or other alternative water sources.
3. Requires HCD, in developing these standards, to consider potential impacts on affordable housing, and authorizes HCD to limit requirements to hotel and motel, multifamily, and market-rate housing, and limit or exempt the application of standards based on building size, development size, availability or planned availability of recycled water, or as otherwise appropriate.
4. Requires the Commission, commencing with the next triennial edition of the California Building Standards Code, to research, develop, and propose building standards to reduce potable water use in new non-residential buildings, including consideration of requiring the installation of water reuse systems and consideration of requiring pre-plumbing of buildings to allow future use of recycled water, onsite treated graywater, or other alternative water sources.
5. Authorizes the Commission, in developing these standards, to limit or exempt the application of standards based on occupancy, building type, building size, development size, availability or planned availability of recycled water, or as otherwise appropriate.
6. Requires the Commission to perform a review of water efficiency and water reuse standards in the California Building Standards Code every three years thereafter and update as needed.
7. Authorizes the Commission to expend funds from the Building Standards Administration Special Revolving Funds, upon appropriation.
8. Requires the Commission, in consultation with the State Water Resources Control Board (SWB), to develop a guidance document and a model local ordinance by December 31, 2024 to help local jurisdictions adopt regulatory programs for onsite nonpotable water treatment systems. Authorizes the Commission, in developing the model ordinance, to use or build upon any existing model ordinance for onsite nonpotable water treatment systems.
9. Requires HCD to develop and propose for adoption any necessary corresponding building standards to support the risk-based water quality standards for onsite treatment and reuse of nonpotable water within twelve months of the SWB adopting regulations for risk-based water quality standards for onsite treatment and reuse of nonpotable water for nonpotable end uses in multifamily residential, commercial, and mixed-use buildings.

COMMENTS

Climate Change and Recycled Water in California: Climate change is exacerbating the state's droughts (and wildfires). Unpredictable weather conditions, which are forecast for the foreseeable future, are forcing Californians to move beyond temporary emergency drought measures and adopt permanent changes to use water more efficiently and prepare for more frequent and persistent periods of limited water supply.

Water recycling, also known as reclamation or reuse, is an umbrella term encompassing the process of treating wastewater and storing, distributing, and using recycled water. Recycled water means water which, as a result of treatment of waste, is suitable for a direct beneficial use or a controlled use that would not otherwise occur. Recycled water is most commonly used for nonpotable (not for drinking) purposes, such as agriculture, landscape, public parks, and golf course irrigation. Other nonpotable applications include cooling water for power plants and oil refineries, industrial processes at facilities such as paper mills and carpet dyers, toilet flushing, dust control, construction activities, concrete mixing, and artificial lakes. Recycled water can also be used to recharge groundwater and surface water supplies.

Recycled water and other alternative water supplies will become a more important factor as drought conditions threaten the reliability of California's traditional water supplies. Recycled water can provide a dependable, locally-controlled water supply and can provide other environmental benefits. By providing an additional source of water, water recycling can help reduce the diversion of water from constrained water sources and could result in energy savings. Other benefits include decreasing wastewater discharges to rivers, estuaries, or bays, thereby reducing or preventing effluent pollution. By using recycled water for indirect potable reuses, such as groundwater recharge and surface water supply augmentation, recycled water replenishes over-subscribed water supply sources.

State Water Recycling Policy: The SWB supports and encourages the use of recycled water to promote the conservation of water resources. The Policy for Water Quality Control for Recycled Water (Recycled Water Policy) was developed to increase the use of recycled water from municipal wastewater sources in a manner that is protective of public health and the environment. The Recycled Water Policy provides goals for recycled water use in California, guidance for use of recycled water that considers protection of water quality, criteria for streamlined permitting of recycled water projects, and requirements for monitoring recycled water for constituents of emerging concern.

Background on Building Standards: The California Building Standards Law establishes the process for adopting state building standards by the Commission. Statewide building standards are intended to provide uniformity in building across the state. The Commission's duties include the following: receiving proposed building standards from state agencies for consideration in each triennial and intervening building code adoption cycle; reviewing and approving building standards submitted by state agencies; adopting building standards for state buildings where no other state agency is authorized by law; and publishing the approved building standards in the California Building Standards Code (CCR, Title 24).

There are approximately 20 state agencies that develop building standards and propose them for adoption to the Commission. After the proposal of building standards by state agencies, the standards undergo a public vetting process. A code advisory committee composed of experts in a particular scope of code reviews the proposed standards, followed by public review. The proposing agency considers feedback and may then amend the standards and re-submit them to the Commission for consideration. HCD is responsible for the standards for residential buildings, hotels and motels. The California Building Code and California Residential Code govern general standards for multifamily and single-family residential construction, while the California Plumbing Code governs plumbing requirements for a variety of buildings. Within the codes, there are certain requirements that are mandatory for all newly constructed dwellings or buildings, and certain provisions that are optional or voluntary – meaning the requirements must be followed only if an entity chooses to construct certain items or systems.

Updates and changes to building standards are adopted on two timelines: through the triennial code adoption cycle which occurs every three years and through the intervening code adoption cycle which provides an update to codes 18 months after the publication of the triennial codes. Regulatory activities for each cycle begin over two years before the effective date of the codes. The standards adopted in the current intervening code cycle will be effective on July 1, 2024 and the next triennial cycle's standards will be effective on January 1, 2026.

As a matter of practice, the Legislature typically offers guidelines or directs agencies to consider certain standards, rather than requires the adoption of specific standards, in order to provide flexibility and allow for subject matter experts to determine appropriateness and weigh the many considerations that must be evaluated when recommending new or modified building standards.

Building Standards for Recycled Water in Buildings: Since the 1990s, California's Building Code has included provisions that authorized the installation and use of graywater systems, but the regulations were seen to be restrictive and complicated. In 2008, the Legislature enacted SB 1258 (Lowenthal), Chapter 172, Statutes of 2008), which required HCD to revise building standards for the construction, installation, and alteration of graywater systems for indoor and outdoor uses.

HCD promulgated the new standard and incorporated it into the 2007 California Plumbing Code. The standard is intended to conserve water by facilitating greater reuse of laundry, shower, lavatory, and similar sources of discharge for irrigation and/or indoor use; reduce the number of non-compliant graywater systems by making legal compliance more easily achievable; provide guidance for avoiding potentially unhealthful conditions; and provide an alternative way to relieve stress on private sewage disposal systems by diverting the graywater.

In addition, the California Plumbing Code contains design standards to safely plumb buildings with both potable and recycled water systems. These statewide standards apply for installing both potable and recycled water plumbing systems in commercial, retail, and office buildings, theaters, auditoriums, condominiums, schools, hotels, apartments, barracks, dormitories, jails, prisons, and reformatories. These standards are found in the California Plumbing Code (CCR Title 24, Part 5).

Existing Onsite Water Reuse Policy: In 2018, the Legislature enacted SB 966 (Wiener), Chapter 890, Statutes of 2018) to require the SWB, in consultation with the Commission and HCD, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water by December 1, 2022. SB 966 also requires a local jurisdiction that elects to establish a program for onsite treated nonpotable water systems to, among other things, adopt a local program via ordinance that includes the risk-based water quality standards established by the SWB. Lastly, that bill requires HCD, in consultation with SWB, to develop and propose for adoption any necessary corresponding building standards by December 1, 2023, to support the risk-based water quality standards established by SWB.

The regulations to implement SB 966 have not yet been adopted. However, they are currently in development at the SWB. According to the SWB website, the proposed rulemaking was expected to be underway by late spring 2023.^[1] Given the delay, this bill strikes the original December 1, 2023 trigger date for possible new building standards and instead directs HCD to develop and propose for adoption any necessary corresponding building standards within 12 months of the SWB adopting the risk-based water quality standards.

This Bill: The building standards code adoption cycle is a formal regulatory process that involves extensive stakeholder input and public feedback in order to provide flexibility and allow for subject matter experts to determine appropriateness and weigh the many considerations that must be evaluated when recommending new or modified building standards. SB 745 does not require the adoption of specific building standards; however, it differs slightly from SB 966 and this committee's general practice around building standards in that it directs HCD and the Commission to propose building standards generally to reduce potable water use in new buildings by an unspecified amount, and to evaluate (but does not require) certain specific standards, like pre-plumbing and installation of water reuse systems. The specific details of what any eventual standards may include are left to the technical experts in the code adoption process.

According to the Author

"Hotter and drier weather conditions from climate change are projected to reduce California's water supplies by up to 10% by the year 2040. The California Building Standards Code sets forth standards for constructing buildings with dual plumbing to use graywater for landscape irrigation and to use recycled water or onsite treated graywater for non-potable water uses such as toilets and cooling towers.

To address projected water shortages in California due to global climate change, SB 745 directs the California Building Standards Commission to develop mandatory building standards to reduce the designed potable water demand of new buildings. In addition, SB 745 requires adoption of model ordinance language and guidance to streamline local implementation of the onsite treated graywater local program requirements set forth in Water Code Section 13558. These actions would be funded by the existing Building Standards Administration Special Revolving Fund, which provides the California Building Standards Commission funds for development of green building standards."

Arguments in Support

According to the California State Pipe Trades Council, the sponsor, "SB 745 will direct the California Building Standards Commission and the Department of Housing and Community Development to develop building standards to reduce the designed potable water demand of new buildings and to minimize the use of potable water for non-potable uses. SB 745 does not, itself, impose any mandates on the installation of water reuse systems, but rather gives broad discretion to the adopting agencies to determine, through the normal code adoption process, which type of water reuse systems make sense to require in what circumstances and for what type of buildings. SB 745 recognizes that these are precisely the type of policy judgments that are best left to the regulatory process to ensure stakeholder input and the development of details by the relevant expert agencies and their staff."

Arguments in Opposition

According to the Association of California Water Agencies, who write with an oppose unless amended position, "While ACWA strongly supports the intent of SB 745, namely increasing recycled water projects and supply, SB 745 is premature, as the regulations related to the onsite treatment and reuse of nonpotable water for nonpotable end uses are still under development. SB 745 would get ahead of these regulations. In addition, the State Water Board is already in the process of developing and implementing water-use efficiency standards for residential, commercial, and industrial water users. The current proposed water use efficiency standards are projected to cost $13 billion, with the vast majority of that being born by water systems and ratepayers. The regulation will create water use efficiency requirements for urban retail water suppliers, including urban water use efficiency standards, variances, an urban water use objective, and commercial, industrial, and institutional measures. It is unclear how SB 745 will consider the water-use efficiency standards that will be established by the State Water Board."

FISCAL COMMENTS

According to the Assembly Appropriations Committee:

1) The Commission indicates it would incur the following costs (Building Standards Administration Revolving Fund):

a) One-time costs in the range of $570,000 and $890,000 for California Environmental Quality Act review. The Commission notes that because this bill would expand the use of plastic pipe and other materials used in the installation of alternate nonpotable water systems that could have a material effect on the environment, the Commission would need to conduct an initial study and possibly an environmental impact report as part of its environmental analysis.

b) Ongoing annual costs of approximately $242,000 for one new position to research, develop, and propose building standards to reduce potable water use in new residential buildings and to perform a review of water efficiency and water reuse standards in the California Building Standards Code every three years.

c) Potential one-time costs of approximately $56,000 to the extent the Commission needs to reconfigure office space to accommodate the new staff position. The Commission notes its current office space is at capacity.

d) One-time costs of an unknown, but potentially significant amount, at least in the hundreds of thousands of dollars, for the Commission to hire a consulting firm specializing in nonpotable water reuse to assist in the coordination of the rulemaking and to help develop the guidance documents and model local ordinance.

2) HCD estimates ongoing annual costs of approximately $179,000 for one new position to manage implementation, coordination, and future code maintenance and updates. HCD estimates additional one-time consulting costs of $250,000 to assist with implementation (General Fund).

3) The SWB estimates one-time costs of approximately $450,000 to coordinate with the Commission in the development of guidance documents and a model local ordinance to assist local jurisdictions establish programs for onsite nonpotable water treatment systems. In addition, the SWB estimates costs of approximately $450,000 annually for three years for rulemaking efforts to update its on-site reuse regulations as a result of the bill (General Fund or special fund). The SWB notes this estimate does not include other rulemaking administrative costs, which it cannot determine at this time.

VOTES

SENATE FLOOR: 31-9-0

YES: Allen, Archuleta, Ashby, Atkins, Becker, Blakespear, Bradford, Caballero, Cortese, Dodd, Durazo, Eggman, Glazer, Gonzalez, Hurtado, Laird, Limón, McGuire, Menjivar, Min, Newman, Padilla, Portantino, Roth, Rubio, Skinner, Smallwood-Cuevas, Stern, Umberg, Wahab, Wiener

NO: Alvarado-Gil, Dahle, Grove, Jones, Nguyen, Niello, Ochoa Bogh, Seyarto, Wilk

ASM ENVIRONMENTAL SAFETY AND TOXIC MATERIALS: 6-1-2

YES: Lee, Arambula, Connolly, McKinnor, Pacheco, Zbur

NO: Ta

ABS, ABST OR NV: Hoover, Bauer-Kahan

ASM HOUSING AND COMMUNITY DEVELOPMENT: 6-2-0

YES: Wicks, Wendy Carrillo, Grayson, Kalra, Quirk-Silva, Ward

NO: Joe Patterson, Sanchez

ASM APPROPRIATIONS: 13-3-0

YES: Holden, Bryan, Calderon, Wendy Carrillo, Mike Fong, Hart, Lowenthal, Mathis, Papan, Pellerin, Soria, Weber, Wilson

NO: Megan Dahle, Dixon, Sanchez

UPDATED

VERSION: July 13, 2023

CONSULTANT: Nicole Restmeyer / H. & C.D. / (916) 319-2085 FN: 0001484

1. https://www.waterboards.ca.gov/drinking_water/certlic/drinkingwater/onsite_nonpotable_reuse_regulations.html ↑

Date of Hearing: August 23, 2023

ASSEMBLY COMMITTEE ON APPROPRIATIONS

Chris Holden, Chair

SBPCA Bill Id:SB 745

Author:(Cortese) – As Amended Ver:July 13, 2023

Urgency: No State Mandated Local Program: No Reimbursable: No

SUMMARY:

This bill requires the Department of Housing and Community Development (HCD) and the California Building Standards Commission (BSC) to research, develop, and propose building standards to reduce potable water use in new residential and non-residential buildings.

Specifically, this bill, among other things:

1. Requires HCD and BSC, commencing with the next triennial edition of the California Building Standards Code, to research, develop, and propose building standards to reduce potable water use in new residential buildings, including consideration of requiring the installation of water reuse systems and requiring pre-plumbing of buildings to allow future use of recycled water, onsite treated graywater, or other alternative water sources.
2. Requires BSC to perform a review of water efficiency and water reuse standards in the California Building Standards Code every three years thereafter and update as needed.
3. Requires BSC, no later than December 31, 2024, in consultation with the State Water Resources Control Board (State Water Board), to develop a guidance document and a model local ordinance to help local jurisdictions adopt regulatory programs for onsite nonpotable water treatment systems.
4. Authorizes BSC, in developing and proposing the building standards, the guidance document, and the model local ordinance, to expend funds from the Building Standards Administration Special Revolving Fund, upon appropriation by the Legislature.
5. Updates the requirement for HCD, in consultation with the State Water Board, to develop and propose for adoption any necessary corresponding building standards to support the risk-based water quality standards for onsite treatment and reuse of nonpotable water by December 1, 2023, to instead require HCD to propose these standards within 12 months of the State Water Board adopting regulations.

FISCAL EFFECT:

1) The BSC indicates it would incur the following costs (Building Standards Administration Revolving Fund):

a) One-time costs in the range of $570,000 and $890,000 for California Environmental Quality Act review. BSC notes that because this bill would expand the use of plastic pipe and other materials used in the installation of alternate nonpotable water systems that could have a material effect on the environment, BSC would need to conduct an initial study and possibly an environmental impact report as part of its environmental analysis.

b) Ongoing annual costs of approximately $242,000 for one new position to research, develop, and propose building standards to reduce potable water use in new residential buildings and to perform a review of water efficiency and water reuse standards in the California Building Standards Code every three years.

c) Potential one-time costs of approximately $56,000 to the extent BSC needs to reconfigure office space to accommodate the new staff position. BSC notes its current office space is at capacity.

d) One-time costs of an unknown, but potentially significant, amount, at least in the hundreds of thousands of dollars, for BSC to hire a consulting firm specializing in nonpotable water reuse to assist in the coordination of the rulemaking and to help develop the guidance documents and model local ordinance.

2) HCD estimates ongoing annual costs of approximately $179,000 for one new position to manage implementation, coordination, and future code maintenance and updates. HCD estimates additional one-time consulting costs of $250,000 to assist with implementation (General Fund).

3) The State Water Board estimates one-time costs of approximately $450,000 to coordinate with the BSC in the development of guidance documents and a model local ordinance to assist local jurisdictions establish programs for onsite nonpotable water treatment systems. In addition, the State Water Board estimates costs of approximately $450,000 annually for three years for rulemaking efforts to update its on-site reuse regulations as a result of the bill (General Fund or special fund). The State Water Board notes this estimate does not include other rulemaking administrative costs, which it cannot determine at this time.

COMMENTS:

1) Purpose. According to the author:

To address projected water shortages in California due to global climate change, SB 745 directs the California Building Standards Commission to develop building standards to reduce the designed potable water demand of new buildings. In addition, SB 745 requires adoption of model ordinance language and guidance to streamline local implementation of the onsite treated graywater local program requirements set forth in Water Code Section 13558. These actions would be funded by the existing Building Standards Administration Special Revolving Fund, which provides the California Building Standards Commission funds for development of green building standards.

2) Background.

California Building Standards Code. The California Building Standards Law, among other things, authorizes BSC to approve and adopt building standards through a triennial rulemaking process to revise and update the California Building Code. There are approximately twenty state agencies that develop building standards for submittal to the BSC for review, approval, and adoption. HCD is responsible for proposing building standards to BSC for residential buildings including, hotels, motels, lodging houses, apartment houses, dwellings, buildings and structures.

Direct Potable Reuse. On July 11, 2023, the State Water Board announced proposed regulations to allow water systems to add wastewater that has been treated to levels meeting or exceeding all drinking water standards to their potable supplies. The process, known as direct potable reuse, will “enable systems to generate a climate-resilient water source while reducing the amount of wastewater they release to rivers and the ocean.” According to the State Water Board, this development advances the Governor’s water supply strategy, which includes the goal of recycling and reusing at least 800,000 acre-feet of water per year by 2030. The board will consider adoption of the regulations before the end of the year.

Onsite Water Reuse Policy. SB 966 (Wiener), Chapter 890, Statutes of 2018, required the State Water Board, in consultation with BSC and HCD, by December 1, 2022, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water for nonpotable end uses in multifamily residential, commercial, and mixed-use buildings. SB 966 also required a local jurisdiction that elects to establish a program for onsite treated nonpotable water systems to, among other things, adopt a local program via ordinance that includes the standards established by the State Water Board. Lastly, SB 966 required HCD, in consultation with BSC, by December 1, 2023, to develop and propose for adoption any necessary corresponding building standards to support the standards established by the State Water Board.

According to the State Water Board, following a staff workshop held in August 2022, the board initiated the rulemaking process and expects to finalize the regulation in spring 2024. Given this delay, this bill strikes the original December 1, 2023, trigger date for possible new building standards and instead directs HCD to develop and propose for adoption any necessary corresponding building standards within 12 months of the State Water Board adopting the risk-based water quality standards.

Process. The building standards code adoption cycle is a formal regulatory process that involves extensive stakeholder input and public feedback to provide flexibility and allow for subject matter experts to determine appropriateness and weigh the many considerations that must be evaluated when recommending new or modified building standards. As discussed in the Assembly Housing and Community Development Committee analysis of this bill, this bill does not require the adoption of specific building standards; however, it differs slightly from SB 966 and the Legislature’s general practice around building standards in that it directs HCD and BSC to propose building standards generally to reduce potable water use in new buildings by an unspecified amount, and to evaluate (but does not require) certain specific standards, like pre-plumbing and installation of water reuse systems. The specific details of what any eventual standards may include are left to the technical experts in the code adoption process. To this point, the California State Pipe Trades Council, the sponsor of this bill, writes:

Buildings that are in areas that have recycled water available for indoor non-potable water uses would most appropriately be required to pre-plumb new buildings to be able to use that recycled water for non-potable building uses such as toilet flushing and cooling towers. In other areas, buildings of a certain size may be determined appropriate for requiring onsite treated graywater systems. For smaller buildings, simple graywater systems for irrigation may be determined appropriate. SB 745 also directs HCD to consider impacts on affordable housing and allows HCD to limit applicability of specific requirements to hotels and motels or to market rate multifamily housing.

WateReuse California, the California Municipal Utilities Association, the California Special Districts Association, and the California Association of Sanitation Agencies removed their opposition to this bill noting recent amendments “go a long way towards ensuring that the provisions in SB 745 will be voluntary in nature.”

Building Standards Administration Special Revolving Fund (BSASRF). This bill authorizes BSC, in developing and proposing the building standards, the guidance document, and the model local ordinance, to expend funds from the BSASRF, upon appropriation. The BSASRF, commonly referred to as the “green fee”, is funded by a surcharge on both residential and nonresidential building permits. Upon appropriation in the annual budget, the BSASRF funds the activities of BSC, HCD, and the Office of the State Fire Marshal that carry out the mandates of the California Building Standards Law and State Housing Law relating to building standards. The fund brings in approximately $3.5 million in permit fees annually. Depending on the total revenue coming into the BSASRF in any given year and the other expenditures authorized from the fund, it is possible the BSASRF will not be able to fully support BSC’s implementation costs related to this bill, which may necessitate additional resources from the General Fund or a different fund source.

Analysis Prepared by: Nikita Koraddi / APPR. / (916) 319-2081

Date of Hearing: July 12, 2023

ASSEMBLY COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT

Buffy Wicks, Chair

SBPCA Bill Id:SB 745

Author:(Cortese) – As Amended Ver:June 13, 2023

SENATE VOTE: 31-9

SUBJECT: The Drought-Resistant Buildings Act

SUMMARY: Requires, commencing with the next triennial edition of the California Building Standards Code, the Department of Housing and Community Development (HCD) and the Building Standards Commission (Commission) to research, develop, and propose building standards to reduce potable water use in new residential and non-residential buildings. Specifically, this bill:

1. Defines “water reuse system” to include a system approved for installation under the California Building Standards Code that uses recycled water, graywater, rainwater, or other nonpotable water sources for nonpotable indoor or outdoor building use, and a system approved for installation under the California Building Standards Code that captures graywater, rainwater, building foundation water drainage, or other onsite alternative water sources for nonpotable reuse onsite.
2. Requires HCD, commencing with the next triennial edition of the California Building Standards Code, to research, develop, and propose building standards to reduce potable water use in new residential buildings, including consideration of requiring the installation of water reuse systems and consideration of requiring pre-plumbing of buildings to allow future use of recycled water, onsite treated graywater, or other alternative water sources.
3. Requires HCD, in developing these standards, to consider potential impacts on affordable housing, and authorizes HCD to limit requirements to hotel and motel, multifamily, and market-rate housing, and limit or exempt the application of standards based on building size, development size, availability or planned availability of recycled water, or as otherwise appropriate.
4. Requires the Commission, commencing with the next triennial edition of the California Building Standards Code, to research, develop, and propose building standards to reduce potable water use in new non-residential buildings, including consideration of requiring the installation of water reuse systems and consideration of requiring pre-plumbing of buildings to allow future use of recycled water, onsite treated graywater, or other alternative water sources.
5. Authorizes the Commission, in developing these standards, to limit or exempt the application of standards based on occupancy, building type, building size, development size, availability or planned availability of recycled water, or as otherwise appropriate.
6. Requires the Commission to perform a review of water efficiency and water reuse standards in the California Building Standards Code every three years thereafter and update as needed.
7. Authorizes the Commission to expend funds from the Building Standards Administration Special Revolving Funds, upon appropriation.
8. Requires the Commission, in consultation with the State Water Resources Control Board (SWB), to develop a guidance document and a model local ordinance by December 31, 2024 to help local jurisdictions adopt regulatory programs for onsite nonpotable water treatment systems. Authorizes the Commission, in developing the model ordinance, to use or build upon any existing model ordinance for onsite nonpotable water treatment systems.
9. Authorizes the Commission, in developing and proposing building standards pursuant to this bill, to expend funds, upon appropriation, from the Building Standards Administration Special Revolving Fund.
10. Requires HCD to develop and propose for adoption any necessary corresponding building standards to support the risk-based water quality standards for onsite treatment and reuse of nonpotable water within twelve months of the SWB adopting regulations for risk-based water quality standards for onsite treatment and reuse of nonpotable water for nonpotable end uses in multifamily residential, commercial, and mixed-use buildings.

EXISTING LAW:

1. Requires the SWB, in consultation with the Commission and HCD, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water for nonpotable end uses in multifamily residential, commercial, and mixed-use buildings by December 1, 2022. (Water Code (WC) Section 13558(a))
2. Establishes requirements for a local jurisdiction that elects to establish a program for onsite treated nonpotable water systems, including adopting a local ordinance that includes the risk-based water quality standards established by the SWB. (WC 13558 (b))
3. Requires the Commission to adopt building standards for the construction, installation, and alteration of graywater systems for indoor and outdoor uses in nonresidential occupancies. Governs the use of recycled water from sources that contain domestic waste, in whole or in part. (California Code of Regulations (CCR) Title 22 , Division 4, Chapter 3)

FISCAL EFFECT: Unknown.

COMMENTS:

Author’s Statement: According to the author, “Hotter and drier weather conditions from climate change are projected to reduce California’s water supplies by up to 10% by the year 2040. The California Building Standards Code sets forth standards for constructing buildings with dual plumbing to use graywater for landscape irrigation and to use recycled water or onsite treated graywater for non-potable water uses such as toilets and cooling towers.

To address projected water shortages in California due to global climate change, SB 745 directs the California Building Standards Commission to develop mandatory building standards to reduce the designed potable water demand of new buildings. In addition, SB 745 requires adoption of model ordinance language and guidance to streamline local implementation of the onsite treated graywater local program requirements set forth in Water Code Section 13558. These actions would be funded by the existing Building Standards Administration Special Revolving Fund, which provides the California Building Standards Commission funds for development of green building standards.”

Climate Change and Recycled Water in California: Climate change is exacerbating the state’s droughts (and wildfires). Unpredictable weather conditions, which are forecast for the foreseeable future, are forcing Californians to move beyond temporary emergency drought measures and adopt permanent changes to use water more efficiently and prepare for more frequent and persistent periods of limited water supply.

Water recycling, also known as reclamation or reuse, is an umbrella term encompassing the process of treating wastewater and storing, distributing, and using recycled water. Recycled water means water which, as a result of treatment of waste, is suitable for a direct beneficial use or a controlled use that would not otherwise occur. Recycled water is most commonly used for nonpotable (not for drinking) purposes, such as agriculture, landscape, public parks, and golf course irrigation. Other nonpotable applications include cooling water for power plants and oil refineries, industrial processes at facilities such as paper mills and carpet dyers, toilet flushing, dust control, construction activities, concrete mixing, and artificial lakes. Recycled water can also be used to recharge groundwater and surface water supplies.

Recycled water and other alternative water supplies will become a more important factor as drought conditions threaten the reliability of California’s traditional water supplies. Recycled water can provide a dependable, locally-controlled water supply and can provide other environmental benefits. By providing an additional source of water, water recycling can help reduce the diversion of water from constrained water sources and could result in energy savings. Other benefits include decreasing wastewater discharges to rivers, estuaries, or bays, thereby reducing or preventing effluent pollution. By using recycled water for indirect potable reuses, such as groundwater recharge and surface water supply augmentation, recycled water replenishes over-subscribed water supply sources.

State Water Recycling Policy: The SWB supports and encourages the use of recycled water to promote the conservation of water resources. The Policy for Water Quality Control for Recycled Water (Recycled Water Policy) was developed to increase the use of recycled water from municipal wastewater sources in a manner that is protective of public health and the environment. The Recycled Water Policy provides goals for recycled water use in California, guidance for use of recycled water that considers protection of water quality, criteria for streamlined permitting of recycled water projects, and requirements for monitoring recycled water for constituents of emerging concern.

Background on Building Standards: The California Building Standards Law establishes the process for adopting state building standards by the Commission. Statewide building standards are intended to provide uniformity in building across the state. The Commission’s duties include the following: receiving proposed building standards from state agencies for consideration in each triennial and intervening building code adoption cycle; reviewing and approving building standards submitted by state agencies; adopting building standards for state buildings where no other state agency is authorized by law; and publishing the approved building standards in the California Building Standards Code (CCR, Title 24).

There are approximately 20 state agencies that develop building standards and propose them for adoption to the Commission. After the proposal of building standards by state agencies, the standards undergo a public vetting process. A code advisory committee composed of experts in a particular scope of code reviews the proposed standards, followed by public review. The proposing agency considers feedback and may then amend the standards and re-submit them to the Commission for consideration. HCD is responsible for the standards for residential buildings, hotels and motels. The California Building Code and California Residential Code govern general standards for multifamily and single-family residential construction, while the California Plumbing Code governs plumbing requirements for a variety of buildings. Within the codes, there are certain requirements that are mandatory for all newly constructed dwellings or buildings, and certain provisions that are optional or voluntary – meaning the requirements must be followed only if an entity chooses to construct certain items or systems.

Updates and changes to building standards are adopted on two timelines: through the triennial code adoption cycle which occurs every three years and through the intervening code adoption cycle which provides an update to codes 18 months after the publication of the triennial codes. Regulatory activities for each cycle begin over two years before the effective date of the codes. The standards adopted in the current intervening code cycle will be effective on July 1, 2024 and the next triennial cycle’s standards will be effective on January 1, 2026.

As a matter of practice, the Legislature typically offers guidelines or directs agencies to consider certain standards, rather than requires the adoption of specific standards, in order to provide flexibility and allow for subject matter experts to determine appropriateness and weigh the many considerations that must be evaluated when recommending new or modified building standards.

Building Standards for Recycled Water in Buildings: Since the 1990s, California’s Building Code has included provisions that authorized the installation and use of graywater systems, but the regulations were seen to be restrictive and complicated. In 2008, the Legislature enacted SB 1258 (Lowenthal, Chapter 172), which required HCD to revise building standards for the construction, installation, and alteration of graywater systems for indoor and outdoor uses.

HCD promulgated the new standard and incorporated it into the 2007 California Plumbing Code. The standard is intended to conserve water by facilitating greater reuse of laundry, shower, lavatory, and similar sources of discharge for irrigation and/or indoor use; reduce the number of non-compliant graywater systems by making legal compliance more easily achievable; provide guidance for avoiding potentially unhealthful conditions; and provide an alternative way to relieve stress on private sewage disposal systems by diverting the graywater.

In addition, the California Plumbing Code contains design standards to safely plumb buildings with both potable and recycled water systems. These statewide standards apply for installing both potable and recycled water plumbing systems in commercial, retail, and office buildings, theaters, auditoriums, condominiums, schools, hotels, apartments, barracks, dormitories, jails, prisons, and reformatories. These standards are found in the California Plumbing Code (CCR Title 24, Part 5).

Existing Onsite Water Reuse Policy: In 2018, the Legislature enacted SB 966 (Wiener, Chapter 890) to require the SWB, in consultation with the Commission and HCD, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water by December 1, 2022. SB 966 also requires a local jurisdiction that elects to establish a program for onsite treated nonpotable water systems to, among other things, adopt a local program via ordinance that includes the risk-based water quality standards established by the SWB. Lastly, that bill requires HCD, in consultation with SWB, to develop and propose for adoption any necessary corresponding building standards by December 1, 2023, to support the risk-based water quality standards established by SWB.

The regulations to implement SB 966 have not yet been adopted. However, they are currently in development at the SWB. According to the SWB website, the proposed rulemaking was expected to be underway by late spring 2023.^[1] Given the delay, this bill strikes the original December 1, 2023 trigger date for possible new building standards and instead directs HCD to develop and propose for adoption any necessary corresponding building standards within 12 months of the SWB adopting the risk-based water quality standards.

This Bill: The building standards code adoption cycle is a formal regulatory process that involves extensive stakeholder input and public feedback in order to provide flexibility and allow for subject matter experts to determine appropriateness and weigh the many considerations that must be evaluated when recommending new or modified building standards. SB 745 does not require the adoption of specific building standards; however, it differs slightly from SB 966 and this committee’s general practice around building standards in that it directs HCD and the Commission to propose building standards generally to reduce potable water use in new buildings by an unspecified amount, and to evaluate (but does not require) certain specific standards, like pre-plumbing and installation of water reuse systems. The specific details of what any eventual standards may include are left to the technical experts in the code adoption process.

Arguments in Support: According to the California State Pipe Trades Council, the sponsor, “SB 745 will direct the California Building Standards Commission and the Department of Housing and Community Development to develop building standards to reduce the designed potable water demand of new buildings and to minimize the use of potable water for non-potable uses. SB 745 does not, itself, impose any mandates on the installation of water reuse systems, but rather gives broad discretion to the adopting agencies to determine, through the normal code adoption process, which type of water reuse systems make sense to require in what circumstances and for what type of buildings. SB 745 recognizes that these are precisely the type of policy judgments that are best left to the regulatory process to ensure stakeholder input and the development of details by the relevant expert agencies and their staff.”

Arguments in Opposition: According to a coalition of opponents, including the Association of California Water Agencies, the California Association of Sanitation Agencies, and WateReuse, “The undersigned associations appreciate the amendments that have been taken on the bill, but must respectfully oppose SB 745 (Cortese) unless amended to remove all provisions that allow the Building Standards Commission or the Department of Housing and Community Development to require installation of onsite reuse systems in new commercial and residential buildings. Simply, the measure is premature, as the regulations for SB 966 (Wiener, 2018) are still under development and the State Water Resources Control Board (Water Board) is also currently implementing the landmark water-use efficiency legislation that set efficiency standards for residential, commercial, and industrial water users.”

Committee Amendments: The committee may wish to consider amending the bill to correct a technical error in the proposed new Health and Safety Code Section 18940.8(c).

Related Legislation:

AB 529 (Gabriel) of the current legislative session requires HCD to research and develop, and authorizes them to propose, revisions and clarifications to the California Building Standards Code related to the requirements for adaptive reuse development projects, among other things. This bill passed out of this committee on an 8-0 vote and is currently pending before the Senate Housing Committee.

SB 597 (Glazer) of the current legislative session requires HCD to conduct research and develop recommendations, and authorizes them to propose, building standards for the installation of rainwater catchment systems in newly constructed residential dwellings. The bill requires HCD to provide a report to the Legislature regarding the outcomes of its research and the recommendations developed by January 1, 2025. This bill passed out of this committee on a 6-0 vote and is currently pending before the Assembly Appropriations Committee.

AB 2811 (Bennett) of 2022 would have required all newly constructed nonresidential buildings be constructed with dual plumbing to allow the use of recycled water for all applicable nonpotable water demands. This bill died pending a hearing in the Assembly Environmental Safety and Toxic Materials Committee.

AB 836 (Gabriel) of 2021 would have required all newly constructed nonresidential buildings be constructed with dual plumbing and provide for the collection, onsite treatment, and reuse of available onsite rainwater, among other things. This bill died pending a hearing in the Assembly Environmental Safety and Toxic Materials Committee.

SB 966 (Wiener), Chapter 890, Statutes of 2018: Required the SWRCB, in consultation with the CBSC and HCD, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water, and requires HCD, in consultation with SWRCB, to determine whether any building standards should be proposed to support those water quality standards for recycled water systems.

Double Referred: This bill is double referred. It was heard in the Assembly Committee on Environmental Safety and Toxic Materials and passed on a 6-1 vote on June 20, 2023.

REGISTERED SUPPORT / OPPOSITION:

Support

California State Pipe Trades Council (Sponsor)

Building Decarbonization Coalition

California Environmental Voters

Elders Climate Action, NorCal and SoCal Chapters

Mono Lake Committee

Natural Resources Defense Council

Solano County Democratic Central Committee

Opposition

Los Angeles County Sanitation Districts

Oppose Unless Amended

Association of California Water Agencies
California Association of Sanitation Agencies
California Municipal Utilities Association
California Special Districts Association
WateReuse Association

Analysis Prepared by: Nicole Restmeyer / H. & C.D. / (916) 319-2085

1. https://www.waterboards.ca.gov/drinking_water/certlic/drinkingwater/onsite_nonpotable_reuse_regulations.html ↑

Date of Hearing: June 20, 2023

ASSEMBLY COMMITTEE ON ENVIRONMENTAL SAFETY AND TOXIC MATERIALS

Alex Lee, Chair

SBPCA Bill Id:SB 745

Author:(Cortese) – As Amended Ver:June 13, 2023

SENATE VOTE: 31-9

SUBJECT: The Drought-Resistant Buildings Act

SUMMARY: Requires, commencing with the next triennial edition of the California Building Standards Code, the Department of Housing and Community Development (HCD) and the Building Standards Commission (Commission) to research, develop, and propose building standards to reduce potable water use in new residential buildings and non-residential respectively, including consideration of requiring the installation of water reuse systems and consideration of requiring preplumbing of buildings to allow future use of recycled water, onsite treated graywater, or other alternative water sources. Specifically, this bill:

1) Provides that a water reuse system includes a system approved for installation under the California Building Standards Code that uses recycled water, graywater, rainwater, or other nonpotable water sources for nonpotable indoor or outdoor building use, and a system approved for installation under the California Building Standards Code that captures graywater, rainwater, building foundation water drainage, or other onsite alternative water sources for nonpotable reuse onsite.

2) Requires HCD, commencing with the next triennial edition of the California Building Standards Code, to research, develop, and propose building standards, to reduce potable water use in new residential buildings, including consideration of requiring the installation of water reuse systems and consideration of requiring preplumbing of buildings to allow future use of recycled water, onsite treated graywater, or other alternative water sources.

3) Requires the Commission, commencing with the next triennial edition of the California Building Standards Code, to research, develop, and propose building standards, to reduce potable water use in new non-residential buildings, including consideration of requiring the installation of water reuse systems and consideration of requiring preplumbing of buildings to allow future use of recycled water, onsite treated graywater, or other alternative water sources.

4) Requires the Commission to perform a review of water efficiency and water reuse standards in the California Building Standards Code every three years thereafter and update as needed.

5) Requires, no later than December 31, 2024, the Commission, in consultation with the State Water Resources Control Board (State Water Board), to develop a guidance document and a model local ordinance to help local jurisdictions adopt regulatory programs for onsite nonpotable water treatment systems. Authorizes the Commission, in developing the model ordinance, to use or build upon any existing model ordinance for onsite nonpotable water treatment systems.

6) Authorizes the Commission, in developing and proposing building standards pursuant to this bill, to expend funds, upon appropriation, from the Building Standards Administration Special Revolving Fund.

7) Requires - within twelve months of the State Water Board adopting regulations for risk-based water quality standards for onsite treatment and reuse of nonpotable water for nonpotable end uses in multifamily residential, commercial, and mixed-use building the HCD, in consultation with the State Water Board, to develop and propose for adoption any necessary corresponding building standards to support the risk-based water quality standards for onsite treatment and reuse of nonpotable water established by the State Water Board via regulation.

EXISTING LAW:

1. Establishes the Water Recycling Act of 1991, creating a statewide goal to recycle a total of 700,000 acre-feet of water per year by the year 2000 and 1,000,000 acre-feet of water per year by the year 2010. Requires each urban water supplier to prepare, and update every five years, an urban water management plan with specified components, including information on recycled water and its potential for use as a water source in the service area of the urban water supplier. (Water Code (WC) § 13577)
2. Makes findings regarding the State Water Board's updated water recycling goals adopted by resolution, which update the above goals to increase the use of recycled water from 714,000 acre-feet per year in 2015 to 1.5 million acre feet per year by 2020 and to 2.5 million acre feet per year by 2030. (State Water Board Resolution 2018-0057, December 11, 2018)
   
3. Requires the State Water Board to establish uniform statewide recycling criteria for each varying type of use of recycled water where the use involves the protection of public health. (WC § 13521)
4. Makes legislative findings that the use of potable domestic water for nonpotable uses, including, but not limited to, cemeteries, golf courses, parks, highway landscaped areas, and industrial and irrigation uses, is a waste or an unreasonable use of the water if recycled water is available which meets certain conditions, as determined by the State Water Board, after notice, provided to any person or entity who may be ordered to use recycled water or to cease using potable water, and a hearing. (WC § 13550)
5. Requires, on or before December 31, 2023, the State Water Board to adopt uniform water recycling criteria for direct potable reuse through raw water augmentation. (WC § 13561.2)
6. Declares that the people of the state have a primary interest in the development of facilities to recycle water containing waste to supplement existing surface and underground water supplies and to assist in meeting the future water requirements of the state. (WC § 13510)
7. Makes legislative findings that a substantial portion of the future water requirements of this state may be economically met by beneficial use of recycled water. Finds that the utilization of recycled water by local communities for domestic, agricultural, industrial, recreational, and fish and wildlife purposes will contribute to the peace, health, safety and welfare of the people of the state. States that the use of recycled water constitutes the development of "new basic water supplies" as defined. (WC § 13511)
8. Declares that it is the intent of the Legislature that the state undertake all possible steps to encourage the development of water recycling facilities so that recycled water may be made available to help meet the growing water requirements of the state. (WC § 13512)
9. Requires, by December 1, 2022, the State Water Board, in consultation with the Commission and HCD, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water for nonpotable end uses in multifamily residential, commercial, and mixed-use buildings. (Water Code § 13558(a))
10. Establishes requirements for a local jurisdiction that elects to establish a program for onsite treated nonpotable water systems, including adopting a local ordinance that includes the risk-based water quality standards established by the State Water Board. (Water Code § 13558 (b))
11. Requires the Commission to adopt building standards for the construction, installation, and alteration of graywater systems for indoor and outdoor uses in nonresidential occupancies. Governs the use of recycled water from sources that contain domestic waste, in whole or in part. (California Code of Regulations (CCR) Title 22 , Division 4, Chapter 3)

FISCAL EFFECT: Unknown.

COMMENTS:

Need for the bill: According to the author: "Hotter and drier weather conditions from climate change are projected to reduce California’s water supplies by up to 10% by the year 2040. The California Building Standards Code sets forth standards for constructing buildings with dual plumbing to use graywater for landscape irrigation and to use recycled water or onsite treated graywater for non-potable water uses such as toilets and cooling towers. To address projected water shortages in California due to global climate change, SB 745 directs the California Building Standards Commission to develop mandatory building standards to reduce the designed potable water demand of new buildings by 25%. In addition, SB 745 requires adoption of model ordinance language and guidance to streamline local implementation of the onsite treated graywater local program requirements set forth in Water Code Section 13558. These actions would be funded by the existing Building Standards Administration Special Revolving Fund, which provides the California Building Standards Commission funds for development of green building standards."

California drought: The five-year drought that spanned 2012 through 2016 included the driest four-year statewide precipitation on record and the smallest Sierra-Cascades snowpack on record. Due to the severity of water deficits over those years, many of California’s reservoirs and groundwater basins were depleted, and the need for water conservation and efficiency became ever more critical.

Due to a high precipitation year in 2017, Governor Jerry Brown issued Executive Order B-40-17 rescinding drought-induced mandated water use cuts, but acknowledged, "increasing long-term water conservation among Californians, improving water use efficiency within the state's communities and agricultural production, and strengthening local and regional drought planning are critical to California's resilience to drought and climate change."

Climate change: Climate change is exacerbating the state's droughts (and wildfires). Unpredictable weather conditions which are forecast for the foreseeable future, are forcing Californians to move beyond temporary emergency drought measures and adopt permanent changes to use water more efficiently and prepare for more frequent and persistent periods of limited water supply.

Recycled water and other alternative water supplies will become a more important factor as the state's population grows and as drought conditions threaten the reliability of California's traditional water supplies.

Recycled water in California: Water recycling, also known as reclamation or reuse, is an umbrella term encompassing the process of treating wastewater and storing, distributing, and using recycled water. Recycled water means water which, as a result of treatment of waste, is suitable for a direct beneficial use or a controlled use that would not otherwise occur and is therefore considered a valuable resource.

Recycled water is most commonly used for nonpotable (not for drinking) purposes, such as agriculture, landscape, public parks, and golf course irrigation. Other nonpotable applications include cooling water for power plants and oil refineries, industrial processes at facilities such as paper mills and carpet dyers, toilet flushing, dust control, construction activities, concrete mixing, and artificial lakes. Recycled water can also be used to recharge groundwater and surface water supplies.

Benefits of water recycling: Recycled water can provide a dependable, locally-controlled water supply and can provide other environmental benefits. By providing an additional source of water, water recycling can help reduce the diversion of water from constrained water sources and could result in energy savings. Other benefits include decreasing wastewater discharges to rivers, estuaries, or bays, thereby reducing or preventing effluent pollution. By using recycled water for indirect potable reuses, such as groundwater recharge and surface water supply augmentation, recycled water replenishes over-subscribed water supply sources.

State water recycling policy: The State Water Board supports and encourages the use of recycled water to promote the conservation of water resources. The Policy for Water Quality Control for Recycled Water (Recycled Water Policy) was developed to increase the use of recycled water from municipal wastewater sources in a manner that is protective of public health and the environment. The Recycled Water Policy provides goals for recycled water use in California, guidance for use of recycled water that considers protection of water quality, criteria for streamlined permitting of recycled water projects, and requirements for monitoring recycled water for constituents of emerging concern.

State water recycling goals: The Water Recycling Act of 1991 set California water recycling goals at 700,000 acre-feet/year by 2000 and 1 million acre-feet by 2010. Ten years later, Assembly Bill 331 (Goldberg, Chapter 590, Statutes of 2001) was enacted to require the Department of Water Resources to convene the Recycled Water Task Force (Task Force) to investigate the opportunities and constraints for increasing the industrial and commercial use of recycled water. The Task Force projected that by 2030, if financial resources become available to water recycling projects, the total recycled water use would increase from the current amount of about 525,000 acre-feet to more than 2 million acre-feet a year.

The 2018 Recycled Water Policy updated these goals to increase the use of recycled water in California to 1.5 million acre feet per year by 2020 and to 2.5 million acre-feet per year by 2030.

Existing state standards for water recycling: The State Water Board regulates use of recycled water pursuant to the Uniform Statewide Recycling Criteria (Criteria) (CCR, Title 22, Division 4, Chapter 3), which contain requirements for recycled water quality and wastewater treatment requirements for the various types of allowed uses, including irrigation, impoundments (such as reservoirs and ponds), and industrial facility cooling. The Criteria are generally for municipal-scale projects that treat wastewater in treatment plants and use that water offsite, not for onsite indoor use.

For nonpotable reuse applications, there are four types of recycled water based on levels of treatment: 1) non-disinfected secondary, 2) disinfected secondary-23, 3) disinfected secondary 2.2, and 4) disinfected tertiary. The level of treatment used is based on how the recycled water is intended to be used. In uses where there is a greater chance of human exposure to the water, more treatment is required.

Non-disinfected secondary recycled water is water with the lowest level of treatment, suitable for applications that have a very minimal public exposure level, such as irrigation for fodder crops. The Criteria have additional eligible uses for recycled water that is disinfected tertiary recycled water, including, but not limited to, flushing toilets and urinals, decorative fountains, commercial laundries, artificial snow making for commercial outdoor use, and commercial car washes.

Disinfected tertiary recycled water goes through higher levels of treatment, sufficient for applications with more public exposure, such as irrigation of parks, decorative fountains, or artificial snowmaking for commercial outdoor use.

Existing onsite water reuse policy: In 2018, the Legislature enacted SB 966 (Weiner, Chapter 890, Statutes of 2018) to require the State Water Board, in consultation with the Commission, and HCD, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water by December 1, 2022. SB 966 also requires a local jurisdiction that elects to establish a program for onsite treated nonpotable water systems to, among other things, adopt, through ordinance, a local program that includes the risk-based water quality standards established by the State Water Board. Lastly, it requires HCD, in consultation with State Water Board, to develop and propose for adoption any necessary corresponding building standards by December 1, 2023, to support the risk-based water quality standards established by State Water Board.

Why was there a requirement for a local program to consult with water service provider within SB 966?: During the debate of SB 966, some local water agencies were concerned about the potential adverse impacts of onsite water recycled systems that were built without consulting the local water agency. For example, the Desert Water Agency and the El Dorado Irrigation District were concerned that by allowing a city or county to adopt a program to permit onsite treated nonpotable water systems, it could lead to a reduction of wastewater flows into the community sewer system, which could increase the salt load of the remaining wastewater flows, and impact and ultimately reduce the production of those districts' recycled water production. Therefore, SB 966 was amended to include consultation with a water service provider or a sewer service provider by a local jurisdiction before the local jurisdiction could adopt a local program.

Some wastewater agencies have reported that they have seen a 30 percent reduction in flow over the last 15 years as a result of conservation efforts. Because reducing flow even further with additional recycled water projects could strain the flow on these wastewater systems, communication and planning is needed for future recycled water projects.

The regulations to implement SB 966 have not yet been adopted. However, they are currently in development at the State Water Board. According to the State Water Board's website, the proposed rulemaking to implement SB 966 was expected to be submitted to the Office of Administrative Law by late Spring 2023.

Difference between this bill and SB 966: SB 966 authorizes HCD, in consultation with the State Water Board, to develop and propose for adoption any necessary corresponding building standards to support the risk-based water quality standards for onsite nonpotable treatment systems. The language in SB 966 was negotiated so that any building standards were not mandatory. SB 745 does not mandate building standards, however it differs slightly from SB 966, in that it authorizes HCD and the Commission to consider requiring building standards for water reuse systems. As SB 745 moves through the process, there is a chance that stakeholders will continue to engage in discussions on the wording around how any building standards may be proposed.

Plumbing recycled water: Since the 1990s, California’s Building Code has included provisions that authorized the installation and use of graywater systems, but the regulations were seen to be restrictive and complicated.

In 2008, the California Legislature enacted SB 1258 (Lowenthal, Chapter 172, Statutes of 2008), which required HCD to revise building standards for the construction, installation, and alteration of graywater systems for indoor and outdoor uses.

HCD promulgated the new standard and incorporated it into the 2007 California Plumbing Code. The new standard is intended to conserve water by facilitating greater reuse of laundry, shower, lavatory, and similar sources of discharge for irrigation and/or indoor use; reduce the number of non-compliant graywater systems by making legal compliance more easily achievable; provide guidance for avoiding potentially unhealthful conditions; and, provide an alternative way to relieve stress on private sewage disposal systems by diverting the graywater.

In addition, the California Plumbing Code contains design standards to safely plumb buildings with both potable and recycled water systems. These statewide standards apply for installing both potable and recycled water plumbing systems in commercial, retail, and office buildings, theaters, auditoriums, condominiums, schools, hotels, apartments, barracks, dormitories, jails, prisons, and reformatories. These standards are found in the 2013 California Plumbing Code (CCR, Title 24, Part 5).

This bill: SB 745 requires HCD and the Commission to research, develop, and propose building standards, to reduce potable water use in new residential buildings and non-residential buildings respectively, including consideration of requiring the installation of water reuse systems and consideration of requiring preplumbing of buildings to allow future use of recycling water, onsite treated graywater, or other alternative water sources. Improving the ability to recycle water in California is important and a shared goal among all stakeholders. However, how the state is plumbed and how it delivers drinking water, recycled water, and how it moves wastewater is complicated. Involving all of the parties that move water and that recycle water is a key element to ensuring success.

Arguments in support: The California State Pipes Trade Council, writing in support states, "The Pipe Trades Council is a sponsor of this legislation. SB 745 addresses projected water shortages in California due to global climate change by requiring the adoption of building standards to reduce the designed potable water demand of new buildings. It also directs the California Building Standards Commission to develop model ordinance language and guidance to streamline local implementation of Water Code Section 13558, which allows builders to install onsite treated non-potable water systems for indoor building water uses where a local approval program has been adopted.

SB 745 will direct the California Building Standards Commission and the Department of Housing and Community Development to develop building standards to reduce the designed potable water demand of new buildings and to minimize the use of potable water for non-potable uses. SB 745 does not, itself, impose any mandates on the installation of water reuse systems, but rather gives broad discretion to the adopting agencies to determine, through the normal code adoption process, which type of water reuse systems make sense to require in what circumstances and for what type of buildings. SB 745 recognizes that these are precisely the type of policy judgments that are best left to the regulatory process to ensure stakeholder input and the development of details by the relevant expert agencies and their staff."

Arguments in opposition: A coalition including WaterReuse, the California Association of Sanitation Agencies, and the California Municipal Utilities Association, writing in opposition states, "The undersigned associations must respectfully oppose SB 745 (Cortese) unless amended to remove any references to mandates. Simply, the measure is premature, as the regulations for SB 966 (Wiener, 2018) are still under development and the State Water Resources Control Board (Water Board) is also currently implementing the landmark water-use efficiency legislation that set efficiency standards for residential, commercial, and industrial water users.

The Department of Water Resources and the Water Board are in the final process of implementing AB 1668 (Friedman, 2018), SB 606 (Hertzberg 2018), and SB 1157 (Hertzberg, 2022) which established a framework for long-term improvements in urban water use efficiency and drought planning. Together, these laws require urban retail water agencies to adhere to an Urban Water Use Objective that is comprised of indoor residential water use, outdoor water use, efficient outdoor irrigation of landscape in connection with commercial, industrial, institutional use, and estimated water loss.

The Urban Water Use Objective achieves the efficiency and water-use objectives and performance measures that SB 745 intends without requiring four sets of pipes to be constructed in each new residential, commercial and industrial building."

Double-referral: Should this bill pass out of the Assembly Environmental Safety and Toxic Materials Committee it will referred to the Assembly Housing and Community Development Committee.

Related legislation:

1. AB 2811 (Bennet, 2022). Would have required the Commission to establish mandatory building standards requiring newly constructed nonresidential buildings be constructed with dual plumbing to allow the use of recycled water for all applicable nonpotable water demands. This bill was not heard in the Assembly Environmental Safety and Toxic Materials Committee.
2. AB 836 (Gabriel, 2021). Would have required the Building Standards Commission (Commission) to establish mandatory building standards requiring newly constructed nonresidential buildings be constructed with dual plumbing to allow the use of recycled water for all applicable nonpotable water demands. This bill was not heard in the Assembly Environmental Safety and Toxic Materials Committee.

1. SB 966 (Weiner, Chapter 890, Statutes of 2018). Requires, by December 1, 2022, the State Water Board to develop standards for onsite nonpotable water treatment and reuse and authorizes local jurisdictions to adopt programs to permit onsite nonpotable water treatment and reuse using those standards.
2. SB 740 (Weiner, 2017). Would have required the State Water Board, on or before December 1, 2018, and in consultation with other state agencies, to adopt regulations to provide comprehensive risk-based standards for local permitting programs for onsite water recycling. SB 740 was held in the Senate Appropriations Committee.
3. AB 574 (Quirk, Chapter 528, Statutes of 2017). Requires the State Water Board to, on or before December 31, 2023, adopt uniform water recycling criteria for potable reuse through raw water augmentation.
4. AB 2076 (C. Garcia, 2016). Would have required the State Water Board to adopt uniform water recycling criteria for the use of recycled water in the manufacture of beer and wine. AB 2076 was amended with unrelated content before being heard in its first policy committee.
5. AB 2282 (Gatto, Chapter 606, Statutes of 2014). Required the Commission to adopt mandatory building standards for the installation of recycled water infrastructure in newly constructed residential, commercial, and public buildings during its triennial update for the 2019 building code for both outdoor and indoor uses. The resultant regulations were invalidated and vacated in May 2019.

REGISTERED SUPPORT / OPPOSITION:

Support

Building Decarbonization Coalition
California Environmental Voters (formerly CLCV)
California State Pipe Trades Council

Opposition

Association of California Water Agencies (ACWA)
California Association of Sanitation Agencies
California Municipal Utilities Association
California Special Districts Association
Irvine Ranch Water District

Los Angeles County Sanitation Districts
WateReuse Association

Analysis Prepared by: Josh Tooker / E.S. & T.M. /

 THIRD READING  

Bill No: SB 745

Author: Cortese (D), et al.

Amended: 4/20/23

Vote: 21

SENATE HOUSING COMMITTEE: 8-1, 4/18/23

AYES: Wiener, Blakespear, Caballero, Cortese, McGuire, Skinner, Umberg, Wahab

NOES: Ochoa Bogh

NO VOTE RECORDED: Padilla, Seyarto

SENATE APPROPRIATIONS COMMITTEE: 5-1, 5/18/23

AYES: Portantino, Ashby, Bradford, Wahab, Wiener

NOES: Jones

NO VOTE RECORDED: Seyarto

SUBJECT: The Drought-Resistant Buildings Act

SOURCE: Author

DIGEST:

This bill requires the California Building Standards Commission (CBSC) to develop and propose new mandatory building standards related to water efficiency and to create a model local ordinance and guidance documents for the adoption of regulations related to onsite nonpotable water treatment systems.

ANALYSIS:

Existing law:

1. Defines “graywater” as untreated wastewater that has not been contaminated by any toilet discharge, has not been affected by infectious, contaminated, or unhealthy bodily wastes, and does not present a threat from contamination by unhealthful processing, manufacturing, or operating wastes. Graywater includes wastewater from bathtubs, showers, bathroom washbasins, clothes washing machines, and laundry tubs, but does not include wastewater from kitchen sinks or dishwashers.
2. Establishes California Building Standards Commission (CBSC) within the Department of General Services (DGS) and sets forth its powers and duties, including approval and adoption of building standards and codification of those standards into the California Building Standards Code.
3. Requires the CBSC to adopt specific building standards, including standards for graywater, and to publish editions of the California Building Standards Code in its entirety once every three years. Requires any building standard adopted or proposed by state agencies to be submitted to, and approved or adopted by, the CBSC prior to codification.
4. Establishes the Building Standards Administration Special Revolving Fund, and makes the moneys in the fund available, upon appropriation, to state entities to carry out various related provisions, as specified.
5. Establishes, within the California Environmental Protection Agency (Cal-EPA), the State Water Resources Control Board (SWRCB) for the purposes of orderly and efficient administration of the state’s water resources.
6. Requires CBSC, in consultation SWRCB, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water in multifamily residential, commercial, and mixed-use buildings, as specified.
7. Requires the installation of an onsite treated nonpotable water system to be permitted pursuant to a regulatory program established by a local jurisdiction that, among other requirements, is adopted through a local ordinance that includes the risk-based water quality standards adopted by the SWRCB.

This bill:

1. Defines “water reuse system” as a system to:
   
   1. Use recycled water, graywater, blackwater, rainwater, or other nonpotable water sources for landscaping, building, and other nonpotable water uses.
   2. Capture graywater, rainwater, building foundation water drainage, and other onsite alternative water sources for water reuse onsite or as part of a multibuilding, district, or campuswide treatment system.
2. Requires CBSC to:
   
   1. Research, develop, adopt, approve, codify, and publish voluntary and mandatory building standards to reduce potable water use in new nonresidential building, considering requiring installation of water reuse systems and consideration of requiring preplumbing of buildings to allow future use of recycled water, onsite treated graywater, or other alternative water sources.
   2. Limiting or exempting the application of standards based on occupancy, building type, building size, development size, availability or planned availability of recycled water, or as otherwise determined appropriate.
   3. Perform a review of voluntary and mandatory water efficiency and water reuse standards in the California Buildings Standards Code every three years thereafter and update as needed.
   4. Consult with SWRCB to develop a guidance document and a model local ordinance to help local jurisdictions adopt regulatory programs for onsite nonpotable water treatment systems.
3. Authorizes the expenditure of funds from the Building Standards Administration Special Revolving Fund for the requisite activities.

Background

Climate change, drought, and water shortages. Climate change is undeniable and models indicate it will drive temperatures higher in the future. Climate change will stress water resources and its management like no other time in recorded history. California’s predominantly Mediterranean climate has always posed challenges for water management in the state. This climate is characterized by hot, dry summers and wet, moderately-cool winters. Evidence overwhelmingly reveals that the modern California climate is different today than the climate of a century ago when California’s water law first developed. Since the beginning of the 21st century, average temperatures have risen almost 3°F in California with the hottest six years on record occurring since 2014.^[1] Likewise, California has experienced its two most severe dry periods on record since 2000 and researchers now report that the state has, in fact, been experiencing a “megadrought” since the turn of the century. This “megadrought” appears to be the worst such drought since the year 800, and its severity is due, in large part, to climate change.^[2]

California’s water supply strategy for building drought resiliency. In August 2022, Governor Newsom released this strategy to address a projected 10% decrease in water supply by 2040 due to climate change. To address this shortfall, the strategy sets targets and outlines actions for increased water recycling, desalination, stormwater capture, and water conservation as well as an expansion of surface and underground storage. A 2022 report from the Public Policy Institute of California highlights the requirement for more than individual conservation efforts to protect Californians from the ongoing effects of climate change –continued investments in drought resilient infrastructure, including the diversification of water sources, capturing storm runoff, and water reuse and recycling projects.^[3] Average water use is roughly 50% environmental (such as for habitats and wetland preservation), 40% agricultural, and 10% urban (such as for indoor and outdoor residential or commercial purposes). According to the Natural Resources Defense Council, about half of California’s urban water usage is for outdoor uses (landscaping, pools, washing cars)—and 70% of that is residential.

Comments

1. Benefits of decentralized wastewater treatment and water conservation. Since 2005, the US EPA has issued a series of MOUs and reports to Congress describing how decentralized wastewater treatment, including onsite treatment systems, can benefit communities and be cost effective, economical, sustainable, and safe.^[4] A 2018 report by researchers at UC Davis outlined the water and energy savings and greenhouse gas emissions reductions—524,000 million gallons, 1830 gigawatt hours, and 521,000 metric tons of carbon dioxide, respectively—as a result of Governor Brown’s 2015 mandated statewide reduction in water consumption by urban water suppliers.^[5]
2. How low can we go? Over the past several decades, there have been significant efforts by the state to increase water use efficiency. In 2007, AB 32 established the California Green Building Standards Code (CalGreen) as part of the state’s efforts to address climate change. Despite significant population growth, urban water usage has declined over the past several decades in part due to the plumbing fixture requirements already in place by CalGreen.^[6] AB 1668 (Friedman, 2018), SB 606 (Hertzberg, 2018), and SB 1157 (Herzberg, 2022) established a new framework for long-term improvements in urban water use efficiency and drought planning in California. That legislation required long-term urban water use efficiency standards be set so that urban water use objectives would exceed the state water conservation targets. By requiring CBSC to develop and propose building standards that would reduce the designed potable water demand and capture graywater for nonpotable building and landscaping uses, this bill would further contribute to California’s water consumption reduction goals by setting new standards for buildings that will be in use for the next 30-100 years, on average. However, additional decreases to indoor water usage may actually create unintended health and safety consequences. Lower flow rates, flush volumes, and liquid passing through sewers can lead to pathogen growth, drain blockages, and sewer spills.
3. Establishing building standards. The legislature typically offers guidelines, or directs agencies to consider specific standards, in order to provide flexibility. After the proposal of building standards by state agencies, the standards undergo a public vetting process. A code advisory committee, composed of experts in a particular scope of code, reviews the proposed standards, followed by public review. The proposing agency considers feedback and may then amend the standards and re-submit them to the CBSC for consideration. The codes are updated every three years with an intervening cycle every 18 months. The next code adoption cycle is currently underway and set to become effective in 2026.
4. Is this bill premature? SB 966 (Wiener, 2018) established state standards on how to permit on-site water reuse systems and give cities the tools they need to put water recycling programs in place. It required CBSC and SWRCB to issue comprehensive regulations, including health and safety standards, to help local jurisdictions implement these programs. It also required that oversight and management of onsite treatment of water for non-potable use developed under this framework would be risk-based and focused on protecting public health. The formal onsite reuse rulemaking process and adoption of regulations pursuant to SB 966 are not set to be completed until December 2023. As this process is not yet complete, it may be premature to instruct CBSC to establish new standards when SB 966 has not been fully implemented.

Related/Prior Legislation

AB 2811 (Bennett, 2022) would have required all newly constructed nonresidential buildings be constructed with dual plumbing to allow the use of nonpotable water sources. It would have also required SWRCB to establish a program for large onsite treated nonpotable water systems for local jurisdictions that did not have their own program. This bill died in the Assembly Environmental Safety and Toxic Materials committee.

SB 966 (Wiener, Chapter 809, Statues of 2018) required CBSC and HCD to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water.

AB 2282 (Gatto, Chapter 606, Statues of 2014) required HCD to conduct research to assist in the development of, and to submit for adoption, mandatory building standards for the installation of recycled water systems for newly constructed single-family and multifamily residential buildings.

SB 849 (Gatto, Chapter 577, Statutes of 2011) required a city, county, or other local agency to seek consultation with the local public health department prior to commencing the issuance of permits for indoor graywater systems, as specified.

SB 518 (Lowenthal, Chapter 622, Statutes of 2010) required the CBSC to adopt building standards for the construction, installation, and alteration of graywater systems for indoor and outdoor uses in nonresidential occupancies, in accordance with prescribed requirements.

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No

According to the Senate Appropriations Committee:

• Staff estimates HCD costs of approximately $179,000 annually for 1.0 PY of staff to research, develop, and propose for adoption new voluntary and mandatory building standards to reduce potable water use in new residential buildings, as specified. Staff estimates that these costs would likely be incurred for two fiscal years, beginning in 2024-25. (General Fund)
  
• The BSC indicates that it would incur the following fiscal impacts (Building Standards Administration Revolving Fund):
  • Annual costs of approximately $242,000 annually for 1.0 PY of new staff (Associated Architect position) for workload to research, develop, and propose new voluntary and mandatory building standards to reduce potable water use in new nonresidential buildings, as specified, as well as adoption of the standards for both new residential and nonresidential buildings. BSC staff would also review these standards every three years and update as needed.
  • One-time costs in the range of $570,000 to $890,000 for analysis of environmental impacts of the expanded use of plastic pipe and other materials used in the installation of specified water reuse systems under the California Environmental Protection Act (CEQA). The lower amount would apply if the CEQA study results in the preparation of a mitigated negative declaration, and the higher amount would apply if the CEQA study requires the completion of an environmental impact report.
  • Potential one-time costs of approximately $56,000 in 2023-24 to the extent it would need to reconfigure office space.
  • Unknown, significant one-time contracting costs, at least in the hundreds of thousands of dollars, for a consultant firm specializing in nonpotable water reuse to assist in the coordination of rulemaking and to help develop the guidance documents and model local ordinance.
• The SWRCB estimates one-time costs of approximately $450,000 to coordinate with the BSC in the development of guidance documents and a model local ordinance to assist local jurisdictions establish programs for onsite nonpotable water treatment systems. In addition, SWRCB estimates it would incur costs of approximately $450,000 annually for three years for rulemaking efforts to update its On-Site Reuse regulations as a result of the bill. (General Fund)

SUPPORT: (Verified 5/18/23)

Active San Gabriel Valley
California Climate Reality Coalition
California Environmental Voters
California State Pipe Trades Council
Climate Action California
Elders Climate Action, NorCal and SoCal Chapters
Mono Lake Committee
Our City Forest
Plant-Based Advocates - Los Gatos
Sierra Club California
Silicon Valley Youth Climate Action
1 Individual

OPPOSITION: (Verified 5/18/23)

Association of California Water Agencies
California Association of Sanitation Agencies
California Municipal Utilities Association
California Special Districts Association
Irvine Ranch Water District
Watereuse Association

ARGUMENTS IN SUPPORT: According to the author, “Hotter and drier weather conditions from climate change are projected to reduce California’s water supplies by up to 10% by the year 2040. The California Building Standards Code sets forth standards for constructing buildings with dual plumbing to use graywater for landscape irrigation and to use recycled water or onsite treated graywater for non-potable water uses such as toilets and cooling towers. To address projected water shortages in California due to global climate change, SB 745 directs the California Building Standards Commission to develop mandatory building standards to reduce the designed potable water demand of new buildings by 25%. In addition, SB 745 requires adoption of model ordinance language and guidance to streamline local implementation of the onsite treated graywater local program requirements set forth in Water Code Section 13558. These actions would be funded by the existing Building Standards Administration Special Revolving Fund, which provides the California Building Standards Commission funds for development of green building standards.”

ARGUMENTS IN OPPOSITION: The opposition argues the measure is premature, as the regulations for SB 966 (Wiener, 2018) are still under development and the SWRCB is also currently implementing the landmark water-use efficiency legislation that set efficiency standards for residential, commercial, and industrial water users. Ultimately, the Urban Water Use Objective that is soon to be adopted by the Water Board is the strategy the state has decided on to implement water-use efficiency standards and performance measures in the residential, commercial, industrial, and institutional sectors. For these reasons, the opposition requests the bill be amended to recognize and take into account the state priority in developing the Urban Water Use Objective for urban water users before mandating four sets of pipes in all new buildings.

Prepared by: Aiyana Cortez / HOUSING / (916) 651-4124

5/20/23 13:05:42

**** END ****

1. Frankson et al. California State Climate Summary 2022. NOAA Technical Reports. https://statesummaries.ncics.org/chapter/ca/ ↑

2. Williams et al. Large contribution from anthropogenic warming to an emerging North American megadrought. 2020. DOI: 10.1126/science.aaz9600 ↑

3. Mount et al. Priorities for California’s Water. PPIC. 2022. https://www.ppic.org/publication/priorities-for-californias-water/ ↑

4. Septic Systems Reports, Regulations, Guidance, and Manuals. US EPA. 2023. https://www.epa.gov/septic/septic-systems-reports-regulations-guidance-and-manuals ↑

5. Spang et al. The estimated impact of California’s urban water conservation mandate on electricity consumption and greenhouse gas emissions ↑

6. Welch. CalGreen Plumbing Fixture Requirements. CalGreen Energy Services. https://calgreenenergyservices.com/2019/11/30/calgreen-plumbing-fixture-requirements/ ↑

SENATE COMMITTEE ON

Senator Anthony Portantino, Chair

2023 - 2024 Regular Session

SB 745 (Cortese) - The Drought-Resistant Buildings Act

Bill Summary:

SB 745 would require the Department of Housing and Community Development (HCD) and the Building Standards Commission (BSC) to research, develop, adopt, and publish voluntary and mandatory building standards to reduce potable water use in new residential and nonresidential buildings, as specified. The bill would also require BSC, in consultation with the State Water Resources Control Board (SWRCB), to develop a guidance document and model local ordinance that local jurisdictions could use for the adoption of regulatory programs for onsite nonpotable water treatment systems.

Fiscal Impact:

• Staff estimates HCD costs of approximately $179,000 annually for 1.0 PY of staff to research, develop, and propose for adoption new voluntary and mandatory building standards to reduce potable water use in new residential buildings, as specified. Staff estimates that these costs would likely be incurred for two fiscal years, beginning in 2024-25. (General Fund)
  
• The BSC indicates that it would incur the following fiscal impacts (Building Standards Administration Revolving Fund):
  • Annual costs of approximately $242,000 annually for 1.0 PY of new staff (Associated Architect position) for workload to research, develop, and propose new voluntary and mandatory building standards to reduce potable water use in new nonresidential buildings, as specified, as well as adoption of the standards for both new residential and nonresidential buildings. BSC staff would also review these standards every three years and update as needed.
  • One-time costs in the range of $570,000 to $890,000 for analysis of environmental impacts of the expanded use of plastic pipe and other materials used in the installation of specified water reuse systems under the California Environmental Protection Act (CEQA). The lower amount would apply if the CEQA study results in the preparation of a mitigated negative declaration, and the higher amount would apply if the CEQA study requires the completion of an environmental impact report.
  • Potential one-time costs of approximately $56,000 in 2023-24 to the extent it would need to reconfigure office space.
  • Unknown, significant one-time contracting costs, at least in the hundreds of thousands of dollars, for a consultant firm specializing in nonpotable water reuse to assist in the coordination of rulemaking and to help develop the guidance documents and model local ordinance.
    
    
• The SWRCB estimates one-time costs of approximately $450,000 to coordinate with the BSC in the development of guidance documents and a model local ordinance to assist local jurisdictions establish programs for onsite nonpotable water treatment systems. In addition, SWRCB estimates it would incur costs of approximately $450,000 annually for three years for rulemaking efforts to update its On-Site Reuse regulations as a result of the bill. (General Fund)

Background:

Existing law, the California Building Standards Law, authorizes the BSC to approve and adopt building standards through a triennial rulemaking process to revise and update the California Building Standards Code. There are approximately twenty state agencies that develop building standards for submittal to the BSC for review, approval, and adoption. HCD is responsible for proposing building standards to the BSC for residential buildings including, hotels, motels, lodging houses, apartment houses, dwellings, buildings and structures. In the absence of a designated state agency, the BSC is required to adopt specific building standards, as prescribed. Building standards take effect 180 days after they are published, unless a different date is specified. The most recent update to the Building Standards Code, the 2022 Triennial Edition, is effect from January 1, 2023 until December 31, 2025.

Existing law also requires the BSC to publish, or cause to be published, the California Green Building Standards Code (CALGreen Code) once every three years. The 2022 CALGreen Code went into effect on January 1, 2023. Between 2010 and 2022, continuous updates and additions have been made to CALGreen, including water conservation and recycling, electric vehicle infrastructure and charging, and changes intended to eliminate conflicts with the California Energy Code.

Existing law, as enacted by SB 966 (Wiener), Chap. 890/2018, requires the SWRCB, in consultation with HCD and the BSC, to adopt regulations by December 1, 2022 for risk-based water quality standards for the onsite treatment and reuse of nonpotable water for nonpotable end uses in multifamily residential, commercial, and mixed-use buildings. Existing law requires a city or county that elects to establish a program for onsite treated nonpotable water systems to, among other things, adopt, through ordinance, a local program that includes the risk-based water quality standards established by the SWRCB. Existing law requires HCD, in consultation with SWRCB and by December 1, 2023, to develop and propose for adoption any necessary corresponding building standards to support the risk-based water quality standards established by SWRCB.

Proposed Law:

SB 745 would require HCD and the BSC to research, develop, adopt, approve, codify, and publish voluntary and mandatory building standards to reduce potable water use in new residential and nonresidential buildings, respectively, including consideration of requiring the installation of water reuse systems and consideration of requiring pre-plumbing of buildings to allow future use of recycled water, onsite treated graywater, or other alternative water sources. The bill would also do the following:

• Specify that a “water reuse system” includes both of the following:
  • A system designed to use recycled water, graywater, blackwater, rainwater, or other nonpotable water sources for landscaping, building, and other nonpotable water uses, as specified.
  • A system designed to capture graywater, rainwater, building foundation water drainage, and other onsite alternative water sources for water reuse onsite or as part of a multibuilding, district, or campuswide treatment system.
• Require HCD, in developing the standards for residential buildings, to consider potential impacts on affordable housing, and authorize HCD to limit requirements to hotel and motel, multifamily, and market-rate housing, and limit or exempt the application of standards based on building size, development size, availability or planned availability of recycled water, or as otherwise determined appropriate.
• Authorize BSC, in developing the standards for nonresidential buildings, to limit or exempt the application of standards based on occupancy, building type, building size, development size, availability or planned availability of recycled water, or as otherwise determined appropriate.
• Require BSC to review and update the voluntary and mandatory water efficiency and water reuse standards in the Building Standards Code every three years thereafter.
• Authorize BSC to expend funds from the Building Standards Administration Revolving Fund, upon appropriation by the Legislature in developing and proposing mandatory building standards pursuant to the bill.
• Require BSC, in consultation with SWRCB and by December 31, 2024, to develop a guidance document and model local ordinance to help local jurisdictions adopt regulatory programs for onsite nonpotable water treatment systems, as specified.

Related Legislation:

SB 966 (Wiener), Chap. 890/2018, required the SWRCB, in consultation with HCD and the BSC, to adopt regulations by December 1, 2022 for risk-based water quality standards for the onsite treatment and reuse of nonpotable water for nonpotable end uses in multifamily residential, commercial, and mixed-use buildings. The bill also required HCD, in consultation with SWRCB and by December 1, 2023, to develop and propose for adoption any necessary corresponding building standards to support the risk-based water quality standards established by SWRCB.

-- END --

SENATE COMMITTEE ON HOUSING

Senator Scott Wiener, Chair

2023 - 2024 Regular

Bill No: SB 745 Hearing Date: 4/18/2023

SUBJECT: The Drought-Resistant Buildings Act

DIGEST: This bill requires the California Building Standards Commission (CBSC) to develop and propose new mandatory building standards related to water efficiency and to create a model local ordinance and guidance documents for the adoption of regulations related to onsite nonpotable water treatment systems.

ANALYSIS:

Existing law:

1. Defines “graywater” as untreated wastewater that has not been contaminated by any toilet discharge, has not been affected by infectious, contaminated, or unhealthy bodily wastes, and does not present a threat from contamination by unhealthful processing, manufacturing, or operating wastes. Graywater includes wastewater from bathtubs, showers, bathroom washbasins, clothes washing machines, and laundry tubs, but does not include wastewater from kitchen sinks or dishwashers.
2. Establishes California Building Standards Commission (CBSC) within the Department of General Services (DGS) and sets forth its powers and duties, including approval and adoption of building standards and codification of those standards into the California Building Standards Code.
3. Requires the CBSC to adopt specific building standards, including standards for graywater, and to publish editions of the California Building Standards Code in its entirety once every three years.
4. Requires any building standard adopted or proposed by state agencies to be submitted to, and approved or adopted by, the CBSC prior to codification.
5. Establishes the Building Standards Administration Special Revolving Fund, and makes the moneys in the fund available, upon appropriation, to state entities to carry out various related provisions, as specified.
6. Establishes, within the California Environmental Protection Agency (Cal-EPA), the State Water Resources Control Board (SWRCB) for the purposes of orderly and efficient administration of the state’s water resources.
7. Requires CBSC, in consultation SWRCB, to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water in multifamily residential, commercial, and mixed-use buildings, as specified.
8. Requires CBSC to adopt building standards for the construction, installation, and alteration of graywater systems for indoor and outdoor uses in nonresidential occupancies.
9. Requires the installation of an onsite treated nonpotable water system to be permitted pursuant to a regulatory program established by a local jurisdiction that, among other requirements, is adopted through a local ordinance that includes the risk-based water quality standards adopted by the SWRCB.
10. Establishes minimum requirements for the installation of graywater systems in occupancies regulated by the Department of Housing and Community Development (HCD).

This bill:

1. Defines “drought proofed” as designed to capture graywater and use alternative water sources for nonpotable building and landscaping water uses, including toilet and urinal flushing, floor trap priming, cooling towers, and air-conditioning devices.
2. Establishes the Drought-Resistant Buildings Act, which requires CBSC to:
   1. Develop and propose building standards to reduce the designed potable water demand of all new buildings by 25% from current mandatory design requirements and to minimize the use of potable water for nonpotable uses.
   2. Research, develop, adopt, approve, codify, and publish mandatory building standards to require new buildings to be drought proofed commencing with the next triennial edition of the California Building Standards Code.
   3. Consider potential impacts on affordable housing when creating standards and allow for new standards to apply only to nonresidential, hotel and motel, and market-rate housing, or as otherwise determined appropriate.
   4. Promote adoption of regulatory programs for onsite nonpotable water treatment systems by local jurisdictions in consultation with SWRCB by developing a guidance document and model local ordinance.
3. Authorizes the expenditure of funds from the Building Standards Administration Special Revolving Fund for the requisite activities.

COMMENTS:

1. Author’s statement. “Hotter and drier weather conditions from climate change are projected to reduce California’s water supplies by up to 10% by the year 2040. The California Building Standards Code sets forth standards for constructing buildings with dual plumbing to use graywater for landscape irrigation and to use recycled water or onsite treated graywater for non-potable water uses such as toilets and cooling towers. To address projected water shortages in California due to global climate change, SB 745 directs the California Building Standards Commission to develop mandatory building standards to reduce the designed potable water demand of new buildings by 25%. In addition, SB 745 requires adoption of model ordinance language and guidance to streamline local implementation of the onsite treated graywater local program requirements set forth in Water Code Section 13558. These actions would be funded by the existing Building Standards Administration Special Revolving Fund, which provides the California Building Standards Commission funds for development of green building standards.”
2. Climate change, drought, and water shortages. Climate change is undeniable and models indicate it will drive temperatures higher in the future. Climate change will stress water resources and its management like no other time in recorded history. California’s predominantly Mediterranean climate has always posed challenges for water management in the state. This climate is characterized by hot, dry summers and wet, moderately-cool winters. Annual precipitation varies greatly across the state with the majority of precipitation falling north of Sacramento. Year-to-year variability in precipitation is another hallmark of California’s climate with swings between prolonged wet and dry periods.

Evidence overwhelmingly reveals that the modern California climate is different today than the climate of a century ago when California’s water law first developed. Since the beginning of the 21st century, average temperatures have risen almost 3°F in California with the hottest six years on record occurring since 2014.^[1] Likewise, California has experienced its two most severe dry periods on record since 2000 (2012–16 and 2020–present) and researchers now report that the state has, in fact, been experiencing a “megadrought” since the turn of the century. This “megadrought” appears to be the worst such drought since the year 800, and its severity is due, in large part, to climate change.^[2]

1. California’s water supply strategy for building drought resiliency. In August 2022, Governor Newsom released this strategy to address a projected 10% decrease in water supply by 2040 due to climate change. To address this shortfall, the strategy sets targets and outlines actions for increased water recycling, desalination, stormwater capture, and water conservation as well as an expansion of surface and underground storage. A 2022 report from the Public Policy Institute of California highlights the requirement for more than individual conservation efforts to protect Californians from the ongoing effects of climate change –continued investments in drought resilient infrastructure, including the diversification of water sources, capturing storm runoff, and water reuse and recycling projects.^[3] Indoor urban water usage is only a small fraction of California’s total water consumption. In fact, average water use is roughly 50% environmental (such as for habitats and wetland preservation), 40% agricultural, and 10% urban (such as for indoor and outdoor residential or commercial purposes). According to the Natural Resources Defense Council, about half of California’s urban water usage is for outdoor uses such as landscaping, pools, and washing cars—and 70% of that is residential.
2. Benefits of decentralized wastewater treatment and water conservation. Since 2005, the US EPA has issued a series of MOUs and reports to Congress describing how decentralized wastewater treatment, including onsite treatment systems, can benefit communities and be cost effective, economical, sustainable, and safe.^[4] A 2018 report by researchers at UC Davis outlined the water and energy savings and greenhouse gas emissions reductions—524,000 million gallons, 1830 gigawatt hours, and 521,000 metric tons of carbon dioxide, respectively—as a result of Governor Brown’s 2015 mandated statewide reduction in water consumption by urban water suppliers.^[5]
3. How low can we go? Over the past several decades, there have been significant efforts by the state to increase water use efficiency. In 2007, AB 32 established the California Green Building Standards Code (CalGreen) as part of the state’s efforts to address climate change. Despite significant population growth, urban water usage has declined over the past several decades in part due to the plumbing fixture requirements already in place by CalGreen.^[6]

AB 1668 (Friedman, 2018), SB 606 (Hertzberg, 2018), and SB 1157 (Herzberg, 2022) established a new framework for long-term improvements in urban water use efficiency and drought planning in California. That legislation required long-term urban water use efficiency standards be set so that urban water use objectives would exceed the state water conservation targets.

By requiring CBSC to develop and propose mandatory building standards that would reduce the designed potable water demand by 25% and capture graywater for nonpotable building and landscaping uses, this bill would further contribute to California’s water consumption reduction goals by setting new standards for buildings that will be in use for the next 30-100 years, on average. However, additional decreases to indoor water usage may actually create unintended health and safety consequences. Lower flow rates, flush volumes, and liquid passing through sewers as a result of this decreased demand can lead to pathogen growth, drain blockages, and sewer spills.

1. Establishing building standards. The legislature typically offers guidelines, or directs agencies to consider specific standards, in order to provide flexibility. After the proposal of building standards by state agencies, the standards undergo a public vetting process. A code advisory committee, composed of experts in a particular scope of code, reviews the proposed standards, followed by public review. The proposing agency considers feedback and may then amend the standards and re-submit them to the CBSC for consideration. The codes are updated every three years with an intervening cycle every 18 months. The next code adoption cycle is currently underway and set to become effective in 2026.
2. Is this bill premature? SB 966 (Wiener, 2018) established state standards on how to permit on-site water reuse systems and give cities the tools they need to put water recycling programs in place. It required CBSC and SWRCB to issue comprehensive regulations, including health and safety standards, to help local jurisdictions implement these programs. It also required that oversight and management of onsite treatment of water for non-potable use developed under this framework would be risk-based and focused on protecting public health. The formal onsite reuse rulemaking process and adoption of regulations pursuant to SB 966 are not set to be completed until December 2023. As this process is not yet complete, it may be premature to instruct CBSC to establish new standards when SB 966 has not been fully implemented.
3. Opposition. According to a coalition of WateReuse and local water, sanitation, utility, and special district associations, SB 745 is premature and potentially counterproductive to state water efficiency goals. They make four main arguments against SB 745 as follows:
   1. Urban water use objectives as established by 2018 legislation already achieves the efficiency and water-use objectives and performance measures that SB 745 intends without requiring four sets of pipes to be constructed in each new residential, commercial and industrial building.
   2. SB 745 claims that existing law is overly prohibitive and insufficient, but the 2018 legislation is not set to be fully implemented until December of 2023. It is therefore too early to claim that there is a major issue until the new standards are adopted.
   3. Establishing a new term (“drought proofed”) and standard for all buildings outside of the existing state framework is counterproductive to the standards the state has been developing for the past five years.
   4. WateReuse partnered with the US Water Alliance to develop a guidebook and model ordinance for onsite non-potable water programs that exists already.
4. Author’s Amendments. Due to time constraints, the committee has agreed to amend the bill on behalf of the author. These amendments are intended to address the opposition concerns and do the following:
   1. Remove the definition of “drought proofed.”
   2. Remove the requirement to propose mandatory building standards that reduce potable water demand in new buildings by 25%.
   3. Remove the requirement to adopt mandatory building standards that require new buildings to be drought proofed.
   4. Define “water reuse systems” to include, but not be limited to, systems designed to capture and use non-potable water sources
   5. Require HCD for new residential buildings and CBSC for new nonresidential buildings to:
      1. Research, develop, adopt, approve, codify, and publish voluntary and mandatory building standards to reduce potable water use
      2. Review and update voluntary and mandatory water efficiency and water reuse standards in the California Building Standards Code every three years
      3. Consider feasibility, cost, and other impacts as specified

Related Legislation:

AB 2811 (Bennett, 2022) — would have required all newly constructed nonresidential buildings be constructed with dual plumbing to allow the use of nonpotable water sources. It would have also required SWRCB to establish a program for large onsite treated nonpotable water systems for local jurisdictions that did not have their own program. This bill died in the Assembly Environmental Safety and Toxic Materials committee.

SB 966 (Wiener, Chapter 809, Statues of 2018) — required CBSC and HCD to adopt regulations for risk-based water quality standards for the onsite treatment and reuse of nonpotable water.

AB 2282 (Gatto, Chapter 606, Statues of 2014) — required HCD to conduct research to assist in the development of, and to submit for adoption, mandatory building standards for the installation of recycled water systems for newly constructed single-family and multifamily residential buildings.

SB 849 (Gatto, Chapter 577, Statutes of 2011) — required a city, county, or other local agency to seek consultation with the local public health department prior to commencing the issuance of permits for indoor graywater systems, as specified.

SB 518 (Lowenthal, Chapter 622, Statutes of 2010) — required the CBSC to adopt building standards for the construction, installation, and alteration of graywater systems for indoor and outdoor uses in nonresidential occupancies, in accordance with prescribed requirements.

FISCAL EFFECT: Appropriation: Fiscal Com.: Local:

POSITIONS: (Communicated to the committee before noon on Wednesday,

April 12, 2023.)

SUPPORT:

Active San Gabriel Valley

California Climate Reality Coalition

California Environmental Voters (formerly Clcv)

Climate Action California

Elders Climate Action, NorCal and SoCal Chapters

Mono Lake Committee

Our City Forest

Plant-Based Advocates - Los Gatos

Sierra Club California

Silicon Valley Youth Climate Action

1 Individual

OPPOSITION:

Association of California Water Agencies (ACWA)

California Association of Sanitation Agencies

California Municipal Utilities Association

California Special Districts Association

Irvine Ranch Water District

Watereuse Association

-- END --

1. Frankson et al. California State Climate Summary 2022. NOAA Technical Reports. https://statesummaries.ncics.org/chapter/ca/ ↑

2. Williams et al. Large contribution from anthropogenic warming to an emerging North American megadrought. 2020. DOI: 10.1126/science.aaz9600 ↑

3. Mount et al. Priorities for California’s Water. PPIC. 2022. https://www.ppic.org/publication/priorities-for-californias-water/ ↑

4. Septic Systems Reports, Regulations, Guidance, and Manuals. US EPA. 2023. https://www.epa.gov/septic/septic-systems-reports-regulations-guidance-and-manuals ↑

5. Spang et al. The estimated impact of California’s urban water conservation mandate on electricity consumption and greenhouse gas emissions ↑

6. Welch. CalGreen Plumbing Fixture Requirements. CalGreen Energy Services. https://calgreenenergyservices.com/2019/11/30/calgreen-plumbing-fixture-requirements/ ↑