CA SB1255

Requires the State Water Resources Control Board to update its needs analysis of public water systems by July 1, 2026, and every 3 years thereafter to assess funds needed to provide a 20% bill credit for low-income households served by community water systems with fewer than 3,300 service connections.

Mandates that qualified water systems serving over 3,300 residential connections establish a water rate assistance program by July 1, 2027, providing automatic enrollment and a minimum 20% bill credit to eligible ratepayers with household income at or below 200% of the federal poverty guideline.

Requires qualified systems to offer ratepayers the option to make voluntary contributions to fund the assistance program beginning September 1, 2026, with a recommended contribution amount and clear opt-out procedures, without penalties for non-participation.

Allows qualified systems to use voluntary contributions, state and federal funds, or existing programs to provide rate assistance and crisis assistance to eligible ratepayers, with administrative costs capped at 10% of voluntary contributions after July 1, 2027.

Authorizes the Attorney General to enforce provisions and requires qualified systems to annually report on contributions collected, administrative costs, eligible households served, and remaining arrearages beginning in 2028.