CA AB 2739
vetoedWater: affordability and system stabilization.
California · 2025-2026 Regular Session · lower
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Quick answers
Did CA AB 2739 pass?
No. CA AB 2739 passed the legislature but was vetoed. Latest recorded action (2026-09-30): Vetoed by Governor.
What is CA AB 2739 about?
Existing law establishes in the Natural Resources Agency the Department of Water Resources. Existing law vests in the department powers, duties, purposes, responsibilities, and jurisdiction in matters pertaining to water or dams. Existing law declares the responsibility of the state to assist local governments in providing certain essential services and facilities where water resource construction projects financed, in whole or in part, by the state or by the state jointly with the federal government create an undue burden on a local area's ability to provide these services and facilities. Existing law, the California Safe Drinking Water Act, requires the State Water Resources Control Board to administer provisions relating to the regulation of drinking water to protect public health. Existing law declares it to be the established policy of the state that every human being has the right to safe, clean, affordable, and accessible water adequate for human consumption, cooking, and sanitary purposes. This bill would establish in the State Treasury the Water Affordability and System Stabilization Fund for holding the principal and income of the Water Affordability and System Stabilization Trust, which the bill would create. The bill would designate the Treasurer as trustee of the trust, as specified, and would require the trustee, among other things, to hold, manage, and invest the principal of the trust with the obligation of providing a growing perpetual source of annual funding to the Water Rate Assistance Fund, administered by the state board, and the Community Water Affordability Assistance Fund, administered by the department, beginning 25 years after the Legislature transfers funding from the General Fund to the Water Affordability and System Stabilization Fund. This bill would require, during the first 25 years following the Legislature's transfer, 45% of the income of the trust to be transferred from the Water Affordability and System Stabilization Fund to each of the Water Rate Assistance Fund and the Community Water Affordability Assistance Fund, and would continuously appropriate the remaining 10% of the income of the trust to be invested as part of the principal of the trust. After the first 25 years, the bill would require 50% of the income of the trust to be transferred from the Water Affordability and System Stabilization Fund to each of the Water Rate Assistance Fund and the Community Water Affordability Assistance Fund. The bill would continuously appropriate no more than 1% of the annual income of the trust to pay for administration of the trust. By making continuous appropriations and by transferring moneys into a continuously appropriated fund, the bill would make an appropriation. Existing law requires the Controller to transfer surplus money in any special fund from that fund to the Surplus Money Investment Fund in the State Treasury, a continuously appropriated fund. The bill would authorize the trustee to enter into a trust agreement with a fiscal intermediary to support its duties, as provided, and would authorize the fund to be invested in the Surplus Money Investment Fund, thereby making an appropriation. This bill would require the department, subject to a transfer of moneys by the Legislature, to develop and administer the Community Water Affordability Program to provide funding in the form of grants to community water systems for local water system infrastructure projects, as specified, for the purpose of reducing the amount of local ratepayer funding required for those projects and for avoiding costs that would otherwise be paid for by ratepayers. The bill would require the department to develop and adopt program guidelines and project solicitation documents before disbursing grant funds, and would exempt those guidelines and documents from the rulemaking procedures of the Administrative Procedure Act. The bill would require the program guidelines to, among other things, require an applicant for a grant to provide at least 25% of the total funding required for the project, as provided. The bill would authorize the department to waive or reduce that minimum amount if that requirement would cause extreme financial hardship to the applicant. The bill would also establish the Community Water Affordability Assistance Fund in the State Treasury and would provide for deposit into the fund of contributions from private and public entities, as specified. The bill would make moneys in the fund available to the department for purposes of the program, including up to 5% annually for administration of the fund, upon appropriation by the Legislature, as provided.
Who sponsors CA AB 2739?
Soria is the primary sponsor of CA AB 2739, joined by 1 cosponsor.
Description
Existing law establishes in the Natural Resources Agency the Department of Water Resources. Existing law vests in the department powers, duties, purposes, responsibilities, and jurisdiction in matters pertaining to water or dams. Existing law declares the responsibility of the state to assist local governments in providing certain essential services and facilities where water resource construction projects financed, in whole or in part, by the state or by the state jointly with the federal government create an undue burden on a local area's ability to provide these services and facilities. Existing law, the California Safe Drinking Water Act, requires the State Water Resources Control Board to administer provisions relating to the regulation of drinking water to protect public health. Existing law declares it to be the established policy of the state that every human being has the right to safe, clean, affordable, and accessible water adequate for human consumption, cooking, and sanitary purposes. This bill would establish in the State Treasury the Water Affordability and System Stabilization Fund for holding the principal and income of the Water Affordability and System Stabilization Trust, which the bill would create. The bill would designate the Treasurer as trustee of the trust, as specified, and would require the trustee, among other things, to hold, manage, and invest the principal of the trust with the obligation of providing a growing perpetual source of annual funding to the Water Rate Assistance Fund, administered by the state board, and the Community Water Affordability Assistance Fund, administered by the department, beginning 25 years after the Legislature transfers funding from the General Fund to the Water Affordability and System Stabilization Fund. This bill would require, during the first 25 years following the Legislature's transfer, 45% of the income of the trust to be transferred from the Water Affordability and System Stabilization Fund to each of the Water Rate Assistance Fund and the Community Water Affordability Assistance Fund, and would continuously appropriate the remaining 10% of the income of the trust to be invested as part of the principal of the trust. After the first 25 years, the bill would require 50% of the income of the trust to be transferred from the Water Affordability and System Stabilization Fund to each of the Water Rate Assistance Fund and the Community Water Affordability Assistance Fund. The bill would continuously appropriate no more than 1% of the annual income of the trust to pay for administration of the trust. By making continuous appropriations and by transferring moneys into a continuously appropriated fund, the bill would make an appropriation. Existing law requires the Controller to transfer surplus money in any special fund from that fund to the Surplus Money Investment Fund in the State Treasury, a continuously appropriated fund. The bill would authorize the trustee to enter into a trust agreement with a fiscal intermediary to support its duties, as provided, and would authorize the fund to be invested in the Surplus Money Investment Fund, thereby making an appropriation. This bill would require the department, subject to a transfer of moneys by the Legislature, to develop and administer the Community Water Affordability Program to provide funding in the form of grants to community water systems for local water system infrastructure projects, as specified, for the purpose of reducing the amount of local ratepayer funding required for those projects and for avoiding costs that would otherwise be paid for by ratepayers. The bill would require the department to develop and adopt program guidelines and project solicitation documents before disbursing grant funds, and would exempt those guidelines and documents from the rulemaking procedures of the Administrative Procedure Act. The bill would require the program guidelines to, among other things, require an applicant for a grant to provide at least 25% of the total funding required for the project, as provided. The bill would authorize the department to waive or reduce that minimum amount if that requirement would cause extreme financial hardship to the applicant. The bill would also establish the Community Water Affordability Assistance Fund in the State Treasury and would provide for deposit into the fund of contributions from private and public entities, as specified. The bill would make moneys in the fund available to the department for purposes of the program, including up to 5% annually for administration of the fund, upon appropriation by the Legislature, as provided.
- Introduced
- 2026-03-19
- Latest action
- 2026-09-30 — Vetoed by Governor.
- Bill type
- bill,appropriation
- Last updated
- —
Subjects
Sponsors
- Soriaauthor
- Daviescoauthor
Committees
Not provided by source.
Action timeline
Newest first
2026-09-30
Vetoed by Governor.
executive-veto
2026-09-10
Enrolled and presented to the Governor at 3 p.m.
executive-receipt
2026-08-30
Ordered to special consent calendar.
2026-08-30
Read third time. Passed. Ordered to the Assembly. (Ayes 40. Noes 0.).
passage,reading-1,reading-3
2026-08-30
In Assembly. Concurrence in Senate amendments pending.
2026-08-30
Senate amendments concurred in. To Engrossing and Enrolling.
amendment-passage,committee-passage,committee-passage-favorable
2026-08-30
Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 78. Noes 0.).
amendment-passage,committee-passage,committee-passage-favorable
2026-08-30
Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 78. Noes 0. Page 6939.).
amendment-passage,committee-passage,committee-passage-favorable
2026-08-24
Read second time. Ordered to third reading.
reading-1,reading-2,reading-3
2026-08-21
Read third time and amended. Ordered to second reading.
amendment-passage,reading-1,reading-2,reading-3
2026-08-13
From committee: Do pass. (Ayes 7. Noes 0.) (August 13).
committee-passage,committee-passage-favorable
2026-08-13
Read second time. Ordered to third reading.
reading-1,reading-2,reading-3
2026-08-03
In committee: Referred to APPR. suspense file.
referral-committee
2026-07-02
From committee: Amend, and do pass as amended and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 7. Noes 0.) (July 1).
amendment-introduction,amendment-passage,committee-passage,referral-committee
2026-07-02
Read second time and amended. Re-referred to Com. on APPR.
amendment-passage,reading-1,reading-2,referral-committee
2026-06-24
From committee: Do pass and re-refer to Com. on E.Q. with recommendation: To Consent Calendar. (Ayes 7. Noes 0.) (June 23). Re-referred to Com. on E.Q.
committee-passage,committee-passage-favorable,referral-committee
2026-06-11
From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on N.R. & W.
amendment-introduction,amendment-passage,committee-passage,reading-1,reading-2,referral-committee
2026-06-03
Referred to Coms. on N.R. & W. and E.Q.
referral-committee
2026-05-27
In Senate. Read first time. To Com. on RLS. for assignment.
reading-1,referral-committee
2026-05-26
Read third time. Passed. Ordered to the Senate. (Ayes 78. Noes 0.)
passage,reading-1,reading-3
2026-05-26
Read third time. Passed. Ordered to the Senate. (Ayes 78. Noes 0. Page 5344.)
passage,reading-1,reading-3
2026-05-18
Read second time. Ordered to third reading.
reading-1,reading-2,reading-3
2026-05-14
From committee: Do pass. (Ayes 15. Noes 0.) (May 14).
committee-passage,committee-passage-favorable
2026-04-29
In committee: Set, first hearing. Referred to APPR. suspense file.
referral-committee
2026-04-15
From committee: Do pass and re-refer to Com. on APPR. (Ayes 12. Noes 0.) (April 14). Re-referred to Com. on APPR.
committee-passage,committee-passage-favorable,referral-committee
2026-04-07
Re-referred to Com. on W., P., & W.
referral-committee
2026-04-06
From committee chair, with author's amendments: Amend, and re-refer to Com. on W., P., & W. Read second time and amended.
amendment-introduction,amendment-passage,committee-passage,reading-1,reading-2,referral-committee
2026-03-23
Re-referred to Com. on W., P., & W.
referral-committee
2026-03-19
Referred to Com. on W., P., & W.
referral-committee
2026-03-19
From committee chair, with author's amendments: Amend, and re-refer to Com. on W., P., & W. Read second time and amended.
amendment-introduction,amendment-passage,committee-passage,reading-1,reading-2,referral-committee
2026-02-21
From printer. May be heard in committee March 23.
2026-02-20
Read first time. To print.
reading-1
Versions
- 02/20/26 - Introduced — 2026-02-20Compare
- 03/19/26 - Amended Assembly — 2026-03-19Compare
- 04/06/26 - Amended Assembly — 2026-04-06Compare
- 06/11/26 - Amended Senate — 2026-06-11Compare
- 07/02/26 - Amended Senate — 2026-07-02Compare
- 08/21/26 - Amended Senate — 2026-08-21Compare
- 09/03/26 - Enrolled — 2026-09-03Compare
- AB2739Compare
- (document, no version)Compare
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Votes
Do pass and be re-referred to the Committee on [Appropriations]
2026-04-14 · pass · 12-0
Member-level votes (13)
- Boerner: yes
- Hart: yes
- Alanis: yes
- Ávila Farías: yes
- Rogers: yes
- Muratsuchi: yes
- Jeff Gonzalez: yes
- Caloza: yes
- Bains: yes
- Alvarez: yes
- Bennett: yes
- Papan: yes
- Gallagher: other
Do pass.
2026-05-14 · pass · 15-0
Member-level votes (15)
- Dixon: yes
- Krell: yes
- Sharp-Collins: yes
- Tangipa: yes
- Wicks: yes
- Pacheco: yes
- Caloza: yes
- Ta: yes
- Fong: yes
- Calderon: yes
- Hoover: yes
- Pellerin: yes
- Solache: yes
- Aguiar-Curry: yes
- Mark González: yes
AB 2739 Soria Assembly Third Reading
2026-05-27 · pass · 78-0
Member-level votes (80)
- Ellis: yes
- Wicks: yes
- Wilson: yes
- Stefani: yes
- Nguyen: yes
- Lee: yes
- Ramos: yes
- Zbur: yes
- Garcia: yes
- Alvarez: yes
- Lackey: yes
- Schultz: yes
- Sharp-Collins: yes
- Gallagher: yes
- McKinnor: yes
- Sanchez: yes
- Petrie-Norris: yes
- Dixon: yes
- Carrillo: yes
- Castillo: yes
- Fong: yes
- Kalra: yes
- Jackson: yes
- Papan: yes
- Michelle Rodriguez: yes
- Hadwick: yes
- Valencia: yes
- Gabriel: yes
- Haney: yes
- Chen: yes
- Mark González: yes
- Blanca Rubio: yes
- Berman: yes
- Bauer-Kahan: yes
- Ransom: yes
- Quirk-Silva: yes
- Calderon: yes
- Rogers: yes
- Macedo: yes
- Jeff Gonzalez: yes
- Patterson: yes
- Harabedian: yes
- Flora: yes
- Ortega: yes
- Arambula: yes
- Caloza: yes
- Bennett: yes
- Tangipa: yes
- Davies: yes
- Gipson: yes
- Lowenthal: yes
- Elhawary: yes
- Ward: yes
- Patel: yes
- Hart: yes
- Wallis: yes
- Ahrens: yes
- Alanis: yes
- Ta: yes
- Connolly: yes
- Soria: yes
- DeMaio: yes
- Johnson: yes
- Solache: yes
- Pacheco: yes
- Ávila Farías: yes
- Krell: yes
- Aguiar-Curry: yes
- Bonta: yes
- Bains: yes
- Hoover: yes
- Boerner: yes
- Irwin: yes
- Schiavo: yes
- Addis: yes
- Bryan: yes
- Rivas: yes
- Pellerin: yes
- Muratsuchi: other
- Celeste Rodriguez: other
Do pass, but first be re-referred to the Committee on [Environmental Quality] with the recommendation: To Consent Calendar
2026-06-23 · pass · 7-0
Member-level votes (7)
- Becker: yes
- Laird: yes
- Grove: yes
- Stern: yes
- Allen: yes
- Seyarto: yes
- Cabaldon: yes
Do pass as amended, but first amend, and re-refer to the Committee on [Appropriations] with the recommendation: To Consent Calendar
2026-07-01 · pass · 7-0
Member-level votes (7)
- Dahle: yes
- Hurtado: yes
- Gonzalez: yes
- Menjivar: yes
- Blakespear: yes
- Valladares: yes
- Allen: yes
Related bills
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