CA SB489

Authorizes the State of California to advance funds through the Flood Control Subventions Program for planning, engineering, design, and construction of the Pajaro River Flood Risk Management Project in Monterey and Santa Cruz Counties, including acquisition of lands, easements, rights-of-way, utility relocations, and mitigation costs.

Grants the state discretion to reduce cost-share retention withheld under any cost-share agreement to 0% for the Pajaro River project.

Permits the state to advance funding in the absence of federal funding or when federal funding is only partial, with the state's funding limited to the amount that would constitute the nonfederal share if federal funding was provided.

Requires the Director of Water Resources to make two findings before appropriated funds are provided: that the project qualifies for greater than 100% state cost share based on cumulative benefits, and that the project spans multiple counties, contains significant state assets, demonstrates widespread economic hardship, and would aid groundwater aquifer restoration.

Establishes that the state assumes no liability for damages resulting from the project and requires counties or local agencies to indemnify and hold harmless the state for any liability.