Business, Labor, Water Leaders Praise Gov. Davis forSigning Water Bond.

SACRAMENTO, Calif.--(BUSINESS WIRE)--Oct. 7, 1999--

Business, labor and water leaders from throughout California praised Gov. Davis today for signing AB 1584, the Safe Drinking Water, Clean Water, Watershed Protection and Flood Protection Act.

"The actions of Governor Davis today

shows a commitment by our state leadership to the 21st Century. The Costa-Machado water bond will provide a much-needed boost for California's lagging water infrastructure and allow California to begin preparing for the challenge of accommodating the water needs of an expected 15 million more people over the next 20 years," noted Rex Hime, president and CEO, California Business Properties Association.

"With the stroke of a pen, Governor Davis has brought us one step closer to an historic investment in California's future," said ACWA Executive Director Steve Hall. "AB 1584 is the largest general obligation water bond in the state's history. More importantly, it's a measure that balances our environmental needs with our economic future. The bill's authors, Senator Jim Costa and Assembly Member Mike Machado deserve high praise for making this day a reality."

"The Governor's leadership on the bond and other water issues will be critical if California is to reverse the decline in our available water supplies for cities and farms," noted Donald Gordon, president, Agricultural Council of California. "This measure builds on the progress that has been possible with Prop. 204 passed in 1996. It is a another step toward replenishing the needed water supplies for current and future use on our farms, the most productive in the world."

"AB 1584 will make possible important improvements in drinking water quality and provide a greater measure of water supply reliability for California," said Tim Quinn, deputy general manager, Metropolitan Water District of Southern California. "By funding projects to increase water supplies and improve water quality in the south, the entire state benefits by lessening demands on the Sacramento-San Joaquin Delta. Gov. Davis' leadership will be essential in achieving these goals."

"Every area of California will benefit from this water bond," noted Allen Short, general manager, Modesto Irrigation District. "It's the first significant commitment to watershed management. Water quality and water supply improvements will be the result."

The $1.97 billion bond will provide more than 1,000,000 acre-feet of additional water in dry years for Californians. The water bond, which will appear on the March 2000 Ballot as Proposition 13, the Costa-Machado Water Act of 2000, is the result of months of intense negotiations between legislators, environmentalists, business groups and the water community. The bill contains provisions that will benefit flood control, water quality and supply reliability in every region of California.

"On behalf of all of our members and the millions of customers we serve, ACWA would like to thank Governor Davis for his support of the water bond, his commitment to include $20 million in the state budget next year for water storage studies and all of his recent efforts in California water. Our cities, farms and environment all stand to gain from his actions today," Hall noted.