CA AB2060

Requires the State Water Resources Control Board to provide advanced grant payments within 60 days of award to qualifying project proponents, up to $500,000 or 50% of the grant (whichever is less) for wastewater projects serving small communities.

Limits advanced payments for drinking water infrastructure projects to $500,000 or 25% of the grant award (whichever is less), with recipients required to be nonprofit organizations or disadvantaged communities.

Requires recipients of advanced payments to place funds in noninterest-bearing accounts, spend within six months unless waived, and submit quarterly accountability reports detailing expenditures and project status.

Authorizes the State Water Resources Control Board to impose civil penalties up to $1,000 per day (capped at 25% of grant amount) for violations, recover costs, and bar recipients from future financial assistance for misuse of advanced payments.

Requires penalty collections from wastewater grant violations to be deposited in the Small Community Grant Fund and penalties from drinking water grant violations to be appropriated for Section 79724 purposes.