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State Government / California / Legislation / AB 2777

AB 2777Session 20252026HouseBecame law

State Water Pollution Control Revolving Fund program: loans: outdoor eating areas: water reuse.

Source-provided summary

(1) Existing law establishes the State Water Pollution Control Revolving Fund program, pursuant to which state and federal funds are continuously appropriated from the State Water Pollution Control Revolving Fund to the State Water Resources Control Board for loans and other financial assistance for purposes related to the federal Clean Water Act. Existing law establishes the State Water Pollution Control Revolving Fund Administration Fund (administration fund) to provide funds, upon appropriation by the Legislature, to be expended by the state board for payment of the reasonable costs of administering the State Water Pollution Control Revolving Fund. Existing law authorizes the state board to assess an annual charge for financial assistance services, not to exceed 1% of the financial assistance repayment amount and computed according to the true interest cost method, as provided, and requires those annual charges to be deposited into the administration fund. Existing law authorizes the financial service rate to be applied at any time during the term of the financial assistance and requires the rate to remain unchanged for the duration of the financial assistance. Existing law prohibits the financial assistance rate from increasing the financial assistance repayment amount after being applied. Existing law requires the state board to, at least once each fiscal year, adjust the financial assistance service rate. Existing law requires the state board to set the total amount of revenue collected each year through the annual charges at an amount that is equal as practicable to the appropriation amount set forth in the annual Budget Act. This bill would additionally authorize the state board to assess fees in place of an annual charge for financial assistance and would authorize the fees or annual charge to be assessed at any rate as permitted by federal law. The bill would delete the provision prohibiting the changing of the financial assistance rate during the financial assistance and the increasing of the financial assistance repayment amount. The bill would delete the requirement relating to the appropriation amount set forth in the annual Budget Act. (2) Existing law authorizes moneys in the State Water Pollution Control Revolving Fund to be used for loans that meet specified requirements, including that the loans be made at or below market interest rates and, to the extent permitted by federal law, requiring that the combined interest and loan service rate be set at a rate not to exceed 50% of the interest rate paid by the state on the most recent sale of state general obligation bonds, as provided. Existing law requires the combined interest and loan service rate to be 0% for certain applicants who provide matching funds. This bill would delete the provision requiring that the combined interest and loan service rate be set at a rate not to exceed 50% of the interest rate paid by the state on the most recent sale of state general obligation bonds. The bill would require the loans to be made at below market interest rates. (3) Existing law prohibits a person or public agency, including a state agency, city, county, city and county, district, or any other political subdivision of the state, from using water from any source of quality suitable for potable domestic use for nonpotable uses, including, among other locations, parks, if suitable recycled water is available, as provided. Existing law provides that incidental amounts of spray, mist, or runoff are to be permitted to enter outdoor eating areas of parks and open spaces when irrigated with disinfected tertiary treated recycled water that complies with a specified regulation regarding irrigation. This bill would instead provide that incidental runoff is allowed to enter outdoor eating areas of parks and open spaces when irrigated with disinfected tertiary treated recycled water that complies with a specified regulation regarding irrigation. The bill would define "incidental runoff" as unintended amounts of runoff, such as unintended, minimal overspray from sprinklers that escapes the area of intended use.

Latest development · Sep 27, 2026

Chaptered by Secretary of State - Chapter 639, Statutes of 2026.

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Source record ↗
Session
20252026
Introduced
Feb 24, 2026
Latest passage
Aug 24, 2026
TopicsSponsorsActionsRelated billsDiscussion

Topics and classification

Civixly topics

Budget & TaxesElections & GovernmentEnvironment & Energy

Source subjects

StateWaterPollutionControlRevolvingFundprogramloansoutdooreatingareaswaterreuse

Document type

Bill

Sponsors

Primary sponsors are listed before cosponsors and other sponsoring entities.

Primary sponsor

Committee on Environmental Safety and Toxic Materials

Action timeline

Newest action first. Action language is supplied by the state source.

View full action timeline23 actions⌄
  1. Sep 27, 2026

    Chaptered by Secretary of State - Chapter 639, Statutes of 2026.

    Became LawCalifornia State Legislature
  2. Sep 27, 2026

    Approved by the Governor.

    Executive SignatureCalifornia State Legislature
  3. Aug 31, 2026

    Enrolled and presented to the Governor at 4 p.m.

    Executive ReceiptCalifornia State Legislature
  4. Aug 25, 2026

    Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 75. Noes 1. Page 6457.).

    Amendment PassageCommittee PassageCommittee Passage FavorableAssembly
  5. Aug 24, 2026

    In Assembly. Concurrence in Senate amendments pending.

    Assembly
  6. Aug 24, 2026

    Read third time. Passed. Ordered to the Assembly. (Ayes 39. Noes 0.).

    PassageReading 1Reading 3Senate
  7. Aug 18, 2026

    Read second time. Ordered to third reading.

    Reading 1Reading 2Reading 3Senate
  8. Aug 17, 2026

    Read third time and amended. Ordered to second reading.

    Amendment PassageReading 1Reading 2Reading 3Senate
  9. Aug 4, 2026

    Read second time. Ordered to third reading.

    Reading 1Reading 2Reading 3Senate
  10. Aug 3, 2026

    From committee: Be ordered to second reading pursuant to Senate Rule 28.8.

    Committee PassageReading 1Reading 2Senate
  11. Jun 17, 2026

    From committee: Do pass and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (June 17). Re-referred to Com. on APPR.

    Committee PassageCommittee Passage FavorableReferral CommitteeSenate
  12. Jun 3, 2026

    Referred to Com. on E.Q.

    Referral CommitteeSenate
  13. May 27, 2026

    In Senate. Read first time. To Com. on RLS. for assignment.

    Reading 1Referral CommitteeSenate
  14. May 26, 2026

    Read third time. Passed. Ordered to the Senate. (Ayes 75. Noes 1. Page 5350.)

    PassageReading 1Reading 3Assembly
  15. May 18, 2026

    Read second time. Ordered to third reading.

    Reading 1Reading 2Reading 3Assembly
  16. May 14, 2026

    From committee: Do pass. (Ayes 14. Noes 0.) (May 14).

    Committee PassageCommittee Passage FavorableAssembly
  17. May 6, 2026

    In committee: Set, first hearing. Referred to APPR. suspense file.

    Referral CommitteeAssembly
  18. Apr 15, 2026

    From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 7. Noes 0.) (April 14). Re-referred to Com. on APPR.

    Committee PassageCommittee Passage FavorableReferral CommitteeAssembly
  19. Apr 6, 2026

    Re-referred to Com. on E.S & T.M.

    Referral CommitteeAssembly
  20. Mar 26, 2026

    From committee chair, with author's amendments: Amend, and re-refer to Com. on E.S & T.M. Read second time and amended.

    Amendment IntroductionAmendment PassageCommittee PassageReading 1Reading 2Referral CommitteeAssembly
  21. Mar 16, 2026

    Referred to Com. on E.S & T.M.

    Referral CommitteeAssembly
  22. Feb 25, 2026

    From printer. May be heard in committee March 27.

    Assembly
  23. Feb 24, 2026

    Read first time. To print.

    Reading 1Assembly

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State legislative data provided by Open States and linked legislature sources when available.

Civixly tracks state bill actions, passage dates, and sponsors. Member-level state roll-call histories are not included.

Source data last updated Oct 17, 2026.