CA SB1456

Expands eligibility for grants and principal forgiveness from the Safe Drinking Water State Revolving Fund to all community and not-for-profit noncommunity water systems serving disadvantaged communities, regardless of ownership type.

Limits principal forgiveness for water corporations regulated by the Public Utilities Commission to systems serving disadvantaged communities with fewer than 3,300 service connections, with consideration of the corporation's three-year rate of return.

Deems water systems not regulated by the Public Utilities Commission and serving severely disadvantaged communities with fewer than 200 service connections to have no ability to repay financing for projects serving those communities.

Continues to require the State Water Resources Control Board to determine repayment capacity and authorize loans or other repayable financing for amounts the water system can repay.

Makes a continuous appropriation of funds from the Safe Drinking Water State Revolving Fund to support grants, principal forgiveness, and financing for eligible water systems.