AB 2777 California Assembly · 2025-2026 Regular Session

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

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.
Bill status passed both 4 of 5 stages cleared
Introduction
Feb 2026
Committee Review
Aug 2026
Assembly Passage
May 2026
Senate Passage
Aug 2026
Governor
Introduced Feb 24, 2026 Last action Aug 25, 2026
Maddy AI version diff · 4 comparisons

What changed between versions

08/27/26 - Enrolled AB2777 · 1 edit
MINOR
This diff reflects a change in document presentation format rather than a change in policy substance. The bill text of AB 2777 (State Water Pollution Control Revolving Fund program) is identical in both versions; the difference is that the 'from' version is the formal enrolled document with chapter numbering, page headers, and governor signature blocks, while the 'to' version is a web page rendering of the same bill from the California Legislature website, complete with navigation menus and UI elements.
TECHNICAL

The document was reformatted from a formal enrolled legislative document (with chapter number, page numbers, and governor approval block) into a web page layout with navigation menus, search tools, and bill tracking features. No substantive policy language was added, removed, or altered.

Floor votes · Senate Aug 24, 2026 · Assembly May 27, 2026

How they voted

400
Passed
Total votes 40
Aug 24, 2026
D Democratic30
30 Yea
100% Yea
R Republican10
10 Yea
100% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
21
Key actions
10
Committee
9
Amendments
4
Aug 25, 2026
Lower · Passed
Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 75. Noes 1.).
lower
Aug 24, 2026
Introduced
In Assembly. Concurrence in Senate amendments pending.
lower
Aug 24, 2026
Upper · Passed
Read third time. Passed. Ordered to the Assembly. (Ayes 39. Noes 0.).
upper
Aug 17, 2026
Upper · Passed
Read third time and amended. Ordered to second reading.
upper
Aug 3, 2026
Upper · Passed
From committee: Be ordered to second reading pursuant to Senate Rule 28.8.
upper
Jun 17, 2026
Upper · Passed
From committee: Do pass and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (June 17). Re-referred to Com. on APPR.
upper
Jun 3, 2026
Committee
Referred to Com. on E.Q.
upper
May 27, 2026
Assembly · Passed
Assembly Vote: pass (74-1-4)
assembly
May 26, 2026
Lower · Passed
Read third time. Passed. Ordered to the Senate. (Ayes 75. Noes 1.)
lower
May 14, 2026
Lower · Passed
From committee: Do pass. (Ayes 14. Noes 0.) (May 14).
lower
May 6, 2026
Committee
In committee: Set, first hearing. Referred to APPR. suspense file.
lower
Apr 15, 2026
Lower · Passed
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.
lower
Apr 6, 2026
Committee
Re-referred to Com. on E.S & T.M.
lower
Mar 26, 2026
Introduced
From committee chair, with author's amendments: Amend, and re-refer to Com. on E.S & T.M. Read second time and amended.
lower
Mar 16, 2026
Committee
Referred to Com. on E.S & T.M.
lower
Feb 25, 2026
Lower · Passed
From printer. May be heard in committee March 27.
lower
0 primary · 0 co-sponsors

Sponsors

No sponsor information available.