BILL NUMBER: SBX7 1	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Steinberg

                        OCTOBER 23, 2009

   An act to amend Sections 6103.1 and 6103.4 of the Government Code,
to amend Sections 29702, 29725, 29727, 29733, 29735, 29735.1, 29738,
29741, 29751, 29752, 29754, 29756.5, 29763, 29771, and 29780 of, to
add Sections 29703.5, 29722.5, 29722.7, 29728.5, 29759, 29773,
29773.5, and 29778.5 to, to add Division 22.3 (commencing with
Section 32300) to, to repeal Section 29762 of, and to repeal and add
Sections 29736, 29739, 29753, 29761, 29761.5, and 29764 of, the
Public Resources Code, to amend Sections 375, 1052, 1055, 1055.2,
1120, 1525, 1535, 1538, 1551, 1825, 1845, 2525, 2526, 2550, 2763.5,
5100, 5101, 5103, 5106, and 5107 of, to amend and repeal Section
10631.5 of, to add Sections 1051.1, 1240.5, 1846, and 1847 to, to add
Chapter 2.7 (commencing with Section 348) to Division 1 of, to add
Part 2.55 (commencing with Section 10608) and Part 2.11 (commencing
with Section 10920) to Division 6 of, to add Division 35 (commencing
with Section 85000) to, to repeal Section 5108 of, to repeal Division
26.4 (commencing with Section 79400) of, to repeal and add Section
12924 of, and to repeal and add Part 2.8 (commencing with Section
10800) of Division 6 of, the Water Code, and to amend and supplement
the Budget Act of 2009 (Chapter 1 of the 2009-10 Third Extraordinary
Session) by amending Items 3940-001-0439 and 3940-001-3058 of Section
2.00 of the Budget Act of 2009, relating to public resources, and
making an appropriation therefor.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1, as introduced, Steinberg. Public resources.
   (1) Existing law requires various state agencies to administer
programs relating to water supply, water quality, and flood
management in the Sacramento-San Joaquin Delta. The
Johnston-Baker-Andal-Boatwright Delta Protection Act of 1992 (Delta
Protection Act) creates the Delta Protection Commission and requires
the commission to prepare and adopt a comprehensive long-term
resource management plan for specified lands within the
Sacramento-San Joaquin Delta (Delta).
   This bill would revise and recast the provisions of the Delta
Protection Act to, among other things, reduce the number of
commission members from 23 to 15 members, as specified. The bill
would require the commission to appoint at least one advisory
committee consisting of representatives from specified entities to
provide input regarding the diverse interests within the Delta. The
bill would require the commission to adopt, not later than July 1,
2011, an economic sustainability plan containing specified elements
and would require the commission to review and, as determined to be
necessary, amend the plan every 5 years.
   The bill would require the commission to prepare and submit to the
Legislature, by July 1, 2010, recommendations on the potential
expansion of or change to the primary zone or the Delta.
   The bill would establish the Delta Investment Fund in the State
Treasury. Moneys in the fund, upon appropriation by the Legislature,
would be required to be expended by the commission to implement the
regional economic sustainability plan.
   The bill would establish in the Natural Resources Agency the
Sacramento-San Joaquin Delta Conservancy. The conservancy would be
required to act as a primary state agency to implement ecosystem
restoration in the Delta and to support efforts that advance
environmental protection and the economic well-being of Delta
residents. The bill would specify the composition of the conservancy
and grant certain authority to the conservancy, including the
authority to acquire real property interests from willing sellers or
transferors. The conservancy would be required to use conservation
easements to accomplish ecosystem restoration whenever feasible. The
conservancy would be required to prepare and adopt a strategic plan
to achieve the goals of the conservancy. The strategic plan would be
required to be consistent with certain plans. The bill would
establish the Sacramento-San Joaquin Delta Conservancy Fund in the
State Treasury. Moneys in the fund would be available, upon
appropriation, to finance projects, including ecosystem restoration
and economic sustainability projects.
   (2) Existing law requires the Secretary of the Natural Resources
Agency to convene a committee to develop and submit to the Governor
and the Legislature, on or before December 31, 2008, recommendations
for implementing a specified strategic plan relating to the
sustainable management of the Delta.
   This bill would enact the Sacramento-San Joaquin Delta Reform Act
of 2009. The bill would establish the Delta Stewardship Council as an
independent agency of the state. The council would be required to
consist of 7 members appointed in a specified manner. The bill would
specify the powers of the council. The bill would require the
council, on or before January 1, 2012, to develop, adopt, and
commence implementation of a comprehensive management plan for the
Delta (Delta Plan), meeting specified requirements. The bill would
require a state or local public agency that proposes to undertake
certain proposed actions that will occur within the boundaries of the
Delta or the Suisun Marsh to prepare, and submit to the council, a
specified written certification of consistency with the Delta Plan
prior to taking those actions. By imposing these requirements on a
local public agency, the bill would impose a state-mandated local
program. The bill would establish an appeal process by which a person
may claim that a proposed action is inconsistent with the Delta
Plan, as prescribed.
   The bill would impose requirements on the Department of Water
Resources in connection with the preparation of a specified Bay Delta
Conservation Plan (BDCP). The BDCP would only be permitted to be
incorporated in the Delta Plan if certain requirements are met.
   The bill would establish the Delta Independent Science Board,
whose members would be appointed by the council. The bill would
require the Delta Independent Science Board to develop a scientific
program relating to the management of the Delta.
   The bill would require the State Water Resources Control Board to
establish an effective system of Delta watershed diversion data
collection and public reporting by December 31, 2010. The bill would
require the board to develop new flow criteria for the Delta
ecosystem, as specified. The board would be required to submit those
determinations to the council. The bill would require the board, in
consultation with the council, to appoint a special master for the
Delta, referred to as the Delta Watermaster. The bill would grant
specified authority to the Delta Watermaster.
   (3) The California Bay-Delta Authority Act establishes the
California Bay-Delta Authority in the Resources Agency. The act
requires the authority and the implementing agencies to carry out
programs, projects, and activities necessary to implement the
Bay-Delta Program, defined to mean those projects, programs,
commitments, and other actions that address the goals and objectives
of the CALFED Bay-Delta Programmatic Record of Decision, dated August
28, 2000, or as it may be amended.
   This bill would repeal that act. The bill would impose
requirements on the council in connection with the repeal of that
act.
   (4) Existing law requires the Department of Water Resources to
convene an independent technical panel to provide information to the
department and the Legislature on new demand management measures,
technologies, and approaches. "Demand management measures" means
those water conservation measures, programs, and incentives that
prevent the waste of water and promote the reasonable and efficient
use and reuse of available supplies.
   This bill would require the state to achieve a 20% reduction in
urban per capita water use in California by December 31, 2020. The
state would be required to make incremental progress towards this
goal by reducing per capita water use by at least 10% on or before
December 31, 2015. The bill would require each urban retail water
supplier to develop urban water use targets and an interim urban
water use target, in accordance with specified requirements. The bill
would require agricultural water suppliers to implement efficient
water management practices. The bill would require the department, in
consultation with other state agencies, to develop a single
standardized water use reporting form. The bill, with certain
exceptions, would provide that urban retail water suppliers, on and
after July 1, 2016, and agricultural water suppliers, on and after
July 1, 2013, are not eligible for state water grants or loans unless
they comply with the water conservation requirements established by
the bill. The bill would repeal, on July 1, 2016, an existing
requirement that conditions eligibility for certain water management
grants or loans to an urban water supplier on the implementation of
certain water demand management measures.
   (5) Existing law, until January 1, 1993, and thereafter only as
specified, requires certain agricultural water suppliers to prepare
and adopt water management plans.
   This bill would revise existing law relating to agricultural water
management planning to require agricultural water suppliers to
prepare and adopt agricultural water management plans with specified
components on or before December 31, 2012, and update those plans on
or before December 31, 2015, and on or before December 31 every 5
years thereafter. An agricultural water supplier that becomes an
agricultural water supplier after December 31, 2012, would be
required to prepare and adopt an agricultural water management plan
within one year after becoming an agricultural water supplier. The
agricultural water supplier would be required to notify each city or
county within which the supplier provides water supplies with regard
to the preparation or review of the plan. The bill would require the
agricultural water supplier to submit copies of the plan to the
department and other specified entities. The bill would provide that
an agricultural water supplier is not eligible for state water grants
or loans unless the supplier complies with the water management
planning requirements established by the bill.
   (6) Existing law generally prohibits the state, or a county, city,
district, or other political subdivision, or any public officer or
body acting in its official capacity on behalf of any of those
entities, from being required to pay any fee for the performance of
an official service. Existing law exempts from this provision any fee
or charge for official services required pursuant to specified
provisions of law relating to water use or water quality.
   This bill would expand the exemption to other provisions relating
to water use, including provisions that require the payment of fees
to the State Water Resources Control Board for official services
relating to statements of water diversion and use.
   (7) Existing law authorizes the State Water Resources Control
Board to investigate all streams, stream systems, lakes, or other
bodies of water, take testimony relating to the rights to water or
the use of water, and ascertain whether water filed upon or attempted
to be appropriated is appropriated under the laws of the state.
Existing law requires the board to take appropriate actions to
prevent waste or the unreasonable use of water. Under existing law,
the board makes determinations with regard to the availability of
recycled water.
   This bill would authorize the board, in conducting an
investigation or proceeding for these purposes, to order any person
or entity that diverts water or uses water to submit, under penalty
of perjury, any technical or monitoring report related to the
diversion or use of water by that person or entity. By expanding the
definition of the crime of perjury, the bill would impose a
state-mandated local program. The bill would authorize the board, in
connection with the investigation or proceeding, to inspect the
facilities of any person or entity to determine compliance with
specified water use requirements.
   (8) Existing law authorizes the State Water Resources Control
Board, upon the submission of a petition signed by a claimant to
water of any stream system requesting a determination of rights among
the claimants to that water, to enter an order granting the
petition. After granting the petition, the board is required to
investigate the stream system to gather information necessary to make
a determination of the water rights of that stream system.
   This bill would authorize the board to initiate a determination of
rights under its own motion if after a hearing it finds that the
public interest and necessity will be served by a determination of
rights.
   (9) Existing law declares that the diversion or use of water other
than as authorized by specified provisions of law is a trespass.
Existing law authorizes the administrative imposition of civil
liability by the board for a trespass in an amount not to exceed $500
for each day in which the trespass occurs. Moneys generated by the
imposition of civil liability under these provisions are deposited in
the Water Rights Fund.
   This bill would provide that a person or entity committing a
trespass may be liable in an amount not to exceed the sum of $1,000
or $5,000 for each day in which the trespass occurs, as specified, or
the highest market value of the water, whichever is the greater
amount.
   (10) Existing law, with certain exceptions, requires each person
who diverts water after December 31, 1965, to file with the State
Water Resources Control Board a prescribed statement of diversion and
use. Existing law requires a statement to include specified
information, including, on and after January 1, 2012, monthly records
of water diversions. Under existing law, the monthly record
requirement does not apply to a surface water diversion with a
combined diversion capacity from a natural channel that is less than
50 cubic feet per second or to diverters using siphons in the tidal
zone. Existing law subjects a person who makes a material
misstatement in connection with the filing of the diversion and use
statements to administratively imposed civil penalties in the amount
of $500 for each violation.
   This bill would revise the types of water diversions for which the
reporting requirement does not apply, including, among other
diversions, a diversion that occurs before January 1, 2009, if
certain requirements are met. The bill would delete exceptions to the
monthly record requirement, and revise requirements relating to the
contents of the statement of diversions and use.
   The bill would subject a person to civil liability if that person
fails to file, as required, a diversion and use statement for a
diversion or use that occurs after January 1, 2009, tampers with any
measuring device, or makes a material misstatement in connection with
the filing of a diversion and use statement. The board would be
authorized to impose the civil liability in accordance with a
specified schedule.
   The bill would authorize the board and the Department of Water
Resources to adopt emergency regulations for the electronic filing of
reports of water diversion or use that are required to be filed with
those respective state agencies under specified statutory
provisions.
   The bill would establish a rebuttable presumption, in any
proceeding before the board in which it is alleged that an
appropriative right has ceased or is subject to prescribed action,
that no use required to be included in a statement of diversion and
use occurred unless that use is included in a statement that is
submitted to the board within a specified time period.
   The bill would require a person who files a statement of diversion
and use, and certain petitions involving a change in a water right,
to pay an annual fee, for deposit in the Water Rights Fund. The bill
would include as recoverable costs, for which the board may be
reimbursed from the fund upon appropriation therefor, costs incurred
in connection with carrying out requirements relating to the
statements of diversion and use and the performance of duties under
the public trust doctrine and provisions that require the reasonable
use of water.
   (11) Existing law authorizes the State Water Resources Control
Board to issue a cease and desist order against a person who is
violating, or threatening to violate, certain requirements, including
requirements set forth in a decision or order relating to the
unauthorized use of water. Any person who violates a cease and desist
order may be liable in an amount not to exceed $1,000 for each day
in which the violation occurs. Revenue generated from these penalties
is deposited in the Water Rights Fund.
   This bill would increase, as specified, the civil penalties that
apply to a person who violates a cease and desist order.
   The bill would impose civil liability, in an amount not to exceed
$500 for each day in which a violation occurs, for a failure to
comply with various reporting or monitoring requirements, including
requirements imposed pursuant to the public trust doctrine. The bill
would authorize the board to impose additional civil liability, in an
amount not to exceed $500 for each day in which a violation occurs,
for the violation of a permit, license, certificate, or registration,
or an order or regulation involving the unreasonable use of water.
Funds derived from the imposition of these civil penalties would be
deposited in the Water Rights Fund.
   The bill would require that, in a proceeding before the board in
which it is alleged that an appropriative water right has ceased, or
is subject to prescribed action, there would be a rebuttable
presumption that no use occurred on or after January 1, 2009, unless
that diversion or use was reported to the board within 6 months after
it is required to be filed with the board.
   (12) Existing law authorizes a local agency whose service area
includes a groundwater basin that is not subject to groundwater
management to adopt and implement a groundwater management plan
pursuant to certain provisions of law. Existing law requires a
groundwater management plan to include certain components to qualify
as a plan for the purposes of those provisions, including a provision
that establishes funding requirements for the construction of
certain groundwater projects.
   This bill would establish a groundwater monitoring program
pursuant to which specified entities, in accordance with prescribed
procedures, may propose to be designated by the Department of Water
Resources as groundwater monitoring entities, as defined, for the
purposes of monitoring and reporting with regard to groundwater
elevations in all or part of a basin or subbasin, as defined. The
bill would require the department to work cooperatively with each
monitoring entity to determine the manner in which groundwater
elevation information should be reported to the department. The bill
would authorize the department to make recommendations for improving
an existing monitoring program, and to require additional monitoring
wells under certain circumstances. If the department makes a
specified determination with regard to a basin or subbasin, the
department would be required to notify the counties within which that
basin or subbasin is located. Upon such notification, the counties
would be required to take certain action related to groundwater
monitoring, thereby imposing a state-mandated local program. Under
certain circumstances, specified entities with authority to assume
groundwater monitoring functions with regard to a basin or subbasin
would not be eligible for a water grant or loan awarded or
administered by the state, unless certain actions occur.
   (13) Existing law requires the department to conduct an
investigation of the state's groundwater basins and to report its
findings to the Governor and the Legislature not later than January
1, 1980.
   This bill would repeal that provision. The department would be
required to conduct an investigation of the state's groundwater
basins and to report its findings to the Governor and the Legislature
not later than January 1, 2012, and every 5 years thereafter.
   (14) Existing law, the Safe Drinking Water, Water Quality and
Supply, Flood Control, River and Coastal Protection Bond Act of 2006,
an initiative bond act approved by the voters at the November 7,
2006, statewide general election, authorizes the issuance of bonds in
the amount of $5,388,000,000, of which $1,000,000,000 is made
available to the Department of Water Resources, upon appropriation
therefor, to meet the long term water needs of the state. Eligible
projects are required to implement integrated regional water
management plans and include fisheries restoration and protection
projects. A portion of these funds may be expended directly or
granted by the department to address multiregional needs or issues of
statewide significance.
   This bill would appropriate $28,000,000 of these funds to the
department for the department to expend, as specified, on the
Two-Gates Fish Protection Demonstration Program managed by the United
States Bureau of Reclamation. The bill would make a statement of
legislative intent to finance the activities of the Delta Stewardship
Council and the Sacramento-San Joaquin Delta Conservancy from funds
made available pursuant to the Disaster Preparedness and Flood
Prevention Bond Act of 2006 and the Safe Drinking Water, Water
Quality and Supply, Flood Control, River and Coastal Bond Act of
2006.
   (15) The Budget Act of 2009 made appropriations for the support of
the State Water Resources Control Board for the 2009-10 fiscal year,
with certain payments from the Water Rights Fund.
   This bill would amend and supplement the Budget Act of 2009 by
making an additional appropriation from the fund to support water
rights enforcement. The bill would, commencing with the 2010-11
fiscal year, continuously appropriate $3,750,000 on an annual basis
only from fee revenue in the fund to the board for the purpose of
funding permanent water rights enforcement positions.
   (16) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that with regard to certain mandates no
reimbursement is required by this act for a specified reason.
   With regard to any other mandates, this bill would provide that,
if the Commission on State Mandates determines that the bill contains
costs so mandated by the state, reimbursement for those costs shall
be made pursuant to the statutory provisions noted above.
   (16) The bill would take effect only if ____ of the 2009-10
Seventh Extraordinary Session of the Legislature is enacted and
becomes operative.
   Vote: majority. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 6103.1 of the Government Code is amended to
read:
   6103.1.  Section 6103 does not apply to any fee or charge for
official services required by  Parts   Part 1
(commencing with Section 1000), Part  2 (commencing with Section
1200)  , Part  3 (commencing with Section 2000), 
and   Part  4 (commencing with Section 4000)  ,
  Part 5 (commencing with Section 4999), or Part 5.1
(commencing with Section 5100),  of Division 2  , Division 7
(commencing with Section 13000), or Division 35 (commencing with
Section 85000)  of the Water Code.
  SEC. 2.  Section 6103.4 of the Government Code is amended to read:
   6103.4.  Section 6103 does not apply to any fee or charge for
official services required by Section 100860 of the Health and Safety
Code  , or Part 5 (commencing with Section 4999) of Division
2, or Division 7 (commencing with Section 13000), of the Water Code
 .
  SEC. 3.  Section 29702 of the Public Resources Code is amended to
read:
   29702.  The Legislature further finds and declares that the basic
goals of the state for the  delta   Delta 
are the following: 
   (a) Achieve the two coequal goals of providing a more reliable
water supply for California and protecting, restoring, and enhancing
the Delta ecosystem. The coequal goals shall be achieved in a manner
that protects and enhances the unique cultural, recreational, natural
resource, and agricultural values of the Delta as an evolving place.
 
   (a) 
    (b)  Protect, maintain, and, where possible, enhance and
restore the overall quality of the  delta  
Delta  environment, including, but not limited to, agriculture,
wildlife habitat, and recreational activities. 
   (b) Assure 
    (c)     Ensure  orderly, balanced
conservation and development of  delta   Delta
 land resources. 
   (c) 
    (d)  Improve flood protection by structural and
nonstructural means to ensure an increased level of public health and
safety.
  SEC. 4.  Section 29703.5 is added to the Public Resources Code, to
read:
   29703.5.  The Legislature further finds and declares both of the
following:
   (a) The Delta Protection Commission created pursuant to Section
29735 provides an existing forum for Delta residents to engage in
decisions regarding actions to recognize and enhance the unique
cultural, recreational, and agricultural resources of the Delta. As
such, the commission is the appropriate agency to identify and
provide recommendations to the Delta Stewardship Council on methods
of preserving the Delta as an evolving place as the Delta Stewardship
Council develops and implements the Delta Plan.
   (b) There is a need for the five Delta counties to establish and
implement a resources management plan for the Delta and for the Delta
Stewardship Council to consider that plan and recommendations of the
commission in the adoption of the Delta Plan.
  SEC. 5.  Section 29722.5 is added to the Public Resources Code, to
read:
   29722.5.  "Delta Plan" means the plan adopted by the Delta
Stewardship Council pursuant to Section 85300 of the Water Code.
  SEC. 6.  Section 29722.7 is added to the Public Resources Code, to
read:
   29722.7.  "Economic sustainability plan" means the plan adopted by
the commission pursuant to Section 29759.
  SEC. 7.  Section 29725 of the Public Resources Code is amended to
read:
   29725.  "Local government" means the Counties of Contra Costa,
Sacramento, San Joaquin, Solano, and Yolo, and the Cities of
Sacramento, Stockton, Tracy, Antioch, Pittsburg, Isleton, Lathrop,
Brentwood,  Rio Vista, West Sacramento, and Oakley,
and any other cities that may be incorporated in the future in the
primary zone.
  SEC. 8.  Section 29727 of the Public Resources Code is amended to
read:
   29727.  "Port" means the Port of Sacramento and the Port of
Stockton, including all the land owned or leased by those ports 
, or potential sites identified in the Delta county general plans as
of January 1, 2010, and otherwise authorized by law  .
  SEC. 9.  Section 29728.5 is added to the Public Resources Code, to
read:
   29728.5.  "Resources management plan" means the plan adopted by
the commission pursuant to Section 29760.
  SEC. 10.  Section 29733 of the Public Resources Code is amended to
read:
   29733.  "Unincorporated towns" means the communities of Walnut
Grove, Clarksburg, Courtland, Hood, Locke,  Knightsen,
Collinsville,  and Ryde.
  SEC. 11.  Section 29735 of the Public Resources Code is amended to
read:
   29735.  There is hereby created the Delta Protection Commission
consisting of  23   15  members as follows:

   (a) One member of the board of supervisors, or his or her
designee, of each of the five counties within the  delta
  Delta  whose supervisorial district is within the
primary zone shall be appointed by the board of supervisors of
 the county   each of those respective counties
 .
   (b) (1) Three elected city council members shall be selected and
appointed by city selection committees, from  regional and
area councils of government   the appropriate regions
specified below  , one in each of the following areas:
   (A) One from the north  delta   Delta  ,
 consisting of   from either  the 
Counties   County  of Yolo  and 
 or the County of  Sacramento.
   (B) One from the south  delta   Delta  ,
consisting of the County of San Joaquin.
   (C) One from the west  delta   Delta  ,
 consisting of   from either  the 
Counties   County  of Contra Costa  and
  or the County of  Solano  , on a rotating
basis  .
   (2) A city council member  appointed pursuant to this
subdivision  may select a designee for purposes of paragraph
(1). 
   (3) Notwithstanding Section 29736, the term of office of the
members selected pursuant to this subdivision shall be two years.

   (c)  (1)    One member each from
the board of directors of  five   three 
different reclamation districts that are located within the primary
zone who are residents of the  delta   Delta
 , and who are elected by the trustees of  reclamations
  reclamation  districts  within the
following areas:   pursuant to paragraphs (1), (2), and
(3). Each reclamation district may nominate one director to be a
member. The member from an area described in paragraph (1), (2), or
(3) shall be selected from among the nominees by a majority vote of
the reclamation districts in that area. A member selected pursuant to
this subdivision may select a designee for this purpose. For the
purposes of this section, each reclamation district shall have one
vote.   Reclamation district members shall consist of the
following:  
   (A) Two members 
    (1)     One   member  from
the area of the North Delta Water Agency as described in Section 9.1
of the North Delta Water Agency Act (Chapter 283 of the Statutes of
1973)  , provided at least one member is also a member of the
Delta Citizens Municipal Advisory Council  . 
   (B) 
    (2)  One member from  an area including the
west  delta   Delta  consisting of the area
of Contra Costa County within the  delta  
Delta and within the Central Delta   Water Agency as
described in Section 9.1 of the Central Delta Water Agency Act
(Chapter 1133 of the Statutes of 1973)  . 
   (C) One member from the area of the Central Delta Water Agency as
described in Section 9.1 of the Central Delta Water Agency Act
(Chapter 1133 of the Statutes of 1973).  
   (D) 
    (3)  One member from the area of the South Delta Water
Agency as described in Section 9.1 of the South Delta Water Agency
Act (Chapter 1089 of the Statutes of 1973). 
   (2) Each reclamation district may nominate one director to be a
member. The member from an area shall be selected from among the
nominees by a majority vote of the reclamation districts in that
area. The member may select a designee for this purpose. For purposes
of this section, each reclamation district shall have one vote. The
north delta area shall conduct separate votes to select each of its
two members.  
   (d) The Director of Parks and Recreation, or the director's sole
designee.  
   (e) The Director of Fish and Game, or the director's sole
designee.  
   (f) 
    (d)  The Secretary of Food and Agriculture, or the
secretary's sole designee. 
   (g) 
    (e)  The executive officer of the State Lands
Commission, or the executive officer's sole designee. 
   (h) The Director of Boating and Waterways, or the director's sole
designee.  
   (i) The Director of Water Resources, or the director's sole
designee.  
   (j) The public member of the California Bay-Delta Authority who
represents the delta region or his or her designee. 

   (k) (1) The Governor shall appoint three members and three
alternates from the general public who are delta residents or delta
landowners, as follows:  
   (A) One member and one alternate shall represent the interests of
production agriculture with a background in promoting the
agricultural viability of delta farming.  
   (B) One member and one alternate shall represent the interests of
conservation of wildlife and habitat resources of the delta region
and ecosystem.  
   (C) One member and one alternate shall represent the interests of
outdoor recreational opportunities, including, but not limited to,
hunting and fishing.  
   (2) An alternate may serve in the absence of a member. 

   (f) The Secretary of the Natural Resources Agency, or his or her
sole designee.  
   (g) The Secretary of Business, Transportation and Housing, or his
or her sole designee. 
  SEC. 12.  Section 29735.1 of the Public Resources Code is amended
to read:
   29735.1.  (a) A member of the commission described in subdivision
(a)  , (b), (c), or (j)  of Section 29735 may,
subject to the confirmation of his or her appointing power, appoint
an alternate to represent him or her at a commission meeting. An
alternate may serve prior to confirmation for a period not to exceed
90 days from the date of appointment, unless and until confirmation
is denied.
   (b) The alternate shall serve at the pleasure of the member who
appoints him or her and shall have all of the powers and duties of a
member of the commission, except that the alternate shall only
participate and vote in a meeting in the absence of the member who
appoints him or her. All provisions of law relating to conflicts of
interest that are applicable to a member shall apply to an alternate.
 Whenever   If  a member has, or is known
to have, a conflict of interest on any matter, the member's alternate
is ineligible to vote on that matter.
  SEC. 13.  Section 29736 of the Public Resources Code is repealed.

   29736.  The term of office of the members of the commission shall
be for four years, and a member may serve for one or more consecutive
terms. 
  SEC. 14.  Section 29736 is added to the Public Resources Code, to
read:
   29736.  The appointed members of the commission shall serve at the
pleasure of their appointing entities.
  SEC. 15.  Section 29738 of the Public Resources Code is amended to
read:
   29738.  The  position   office  of
 a  an appointed  member of the commission
 shall be considered   is  vacated upon the
loss of any qualification required for appointment, and in that
event the appointing authority shall appoint a successor within 30
days of the occurrence of the vacancy.  Upon the occurrence
of the first vacancy among any of the members listed in subdivision
(d), (e), (f), (g), (h), or (i) of Section 29735, the Director of
Conservation or the director's designee shall serve as the successor
member. 
  SEC. 16.  Section 29739 of the Public Resources Code is repealed.

   29739.  The commission shall elect from its own members a
chairperson and vice chairperson whose terms of office shall be two
years, and who may be reelected. If a vacancy occurs in either
office, the commission shall fill the vacancy for the unexpired term.

  SEC. 17.  Section 29739 is added to the Public Resources Code, to
read:
   29739.  (a) The commission, during the first meeting of the
commission after January 1, 2010, shall elect from among the members
identified in subdivision (a) of Section 29735 a chairperson who
shall serve for one year.
   (b) Subsequent chairpersons shall serve for two years and shall be
elected from among the members identified in subdivision (a) of
Section 29735.
   (c) The chairperson shall serve as a voting member of the Delta
Stewardship Council.
  SEC. 18.  Section 29741 of the Public Resources Code is amended to
read:
   29741.  The time and place of the first meeting of the commission
 , on and   after January 1, 2010,  shall be
prescribed by the Governor, but in no event shall it be scheduled for
a date later than January 31,  1993   2010
 . All meetings after the first meeting shall be held in a city
within the  delta   Delta  .
  SEC. 19.  Section 29751 of the Public Resources Code is amended to
read:
   29751.  A majority of the voting members of the commission shall
constitute a quorum for the transaction of the business of the
commission. A majority vote of the voting members  present
 shall be required to take action with respect to any matter
unless otherwise specified in this division. The vote of each member
shall be individually recorded.
  SEC. 20.  Section 29752 of the Public Resources Code is amended to
read:
   29752.  The commission shall adopt its own rules, regulations, and
procedures necessary for its organization and operation  , and
shall conduct its meetings in compliance with the Bagley-Keene Open
Meeting Act (Article 9 (commencing with Section 11120) of Chapter 1
of Part 1 of Division 3 of Title 2 of the Government Code)  .
  SEC. 21.  Section 29753 of the Public Resources Code is repealed.

   29753.  The commission shall appoint agricultural, environmental,
and recreational advisory committees for the purpose of providing the
commission with timely comments, advice, and information. The
commission may appoint committees from its membership or may appoint
additional advisory committees from members of other interested
public agencies and private groups. The commission shall seek advice
and recommendations from advisory committees appointed by local
government which are involved in subject matters affecting the delta.

  SEC. 22.  Section 29753 is added to the Public Resources Code, to
read:
   29753.  (a) The commission shall appoint at least one advisory
committee to provide recommendations regarding the diverse interests
within the Delta. At a minimum, the advisory committees shall include
representatives of state agencies and other stakeholders with
interests in the Delta's ecosystem, water supply, and socioeconomic
sustainability, including, but not limited to, its recreational,
agricultural, flood control, environmental, and water resources, and
state, local, and utility infrastructure. The commission shall
encourage participation of various federal agencies, including the
United States Bureau of Reclamation, the United States Fish and
Wildlife Service, the United States Army Corps of Engineers, and
others as appropriate.
   (b)  The commission may appoint committees from its membership or
may appoint additional advisory committees from members of other
interested public agencies and private groups.
   (c)  The commission shall seek advice and recommendations from
advisory committees appointed by local government that are involved
in subject matters affecting the Delta.
  SEC. 23.  Section 29754 of the Public Resources Code is amended to
read:
   29754.  The commission shall establish and maintain an office
within the  delta   Delta or the City of Rio
Vista , and for this purpose the commission may rent or own
property and equipment. Any rule, regulation, procedure, plan, or
other record of the commission which is of such a nature as to
constitute a public record under state law shall be available for
inspection and copying  during regular office hours 
 pursuant to the California Public Records Act (Chapter 3.5
  (commencing with Section 6250) of Division 7 of Title 1 of
the Government Code)  .
  SEC. 24.  Section 29756.5 of the Public Resources Code is amended
to read:
   29756.5.  The commission may act as the facilitating agency for
the implementation of any joint habitat restoration or enhancement
programs located within the primary zone of the  delta
  Delta, including, but not limited to, a national
heritage area designation in the Delta  .
  SEC. 25.  Section 29759 is added to the Public Resources Code, to
read:
   29759.  (a) Not later than July 1, 2011, the commission shall
prepare and adopt, by a majority vote of the membership of the
commission, an economic sustainability plan. The economic
sustainability plan shall include information and recommendations
that inform the Delta Stewardship Council's policies regarding the
socioeconomic sustainability of the Delta region.
   (b) The economic sustainability plan shall include, but not be
limited to, all of the following:
   (1) Public safety recommendations, such as flood protection
recommendations.
   (2) The economic goals, policies, and objectives in local general
plans and other local economic efforts, including recommendations on
continued socioeconomic sustainability of agriculture and its
infrastructure and legacy communities in the Delta.
   (3) Comments and recommendations to the Department of Water
Resources concerning its periodic update of the flood management plan
for the Delta.

   (4) Identification of ways to encourage recreational investment
along the key river corridors, as appropriate.
  SEC. 26.  Section 29761 of the Public Resources Code is repealed.

   29761.  The Director of the Office of Planning and Research shall
submit comments and recommendations on the resource management plan
for the commission's consideration, prior to the plan's adoption.

  SEC. 27.  Section 29761 is added to the Public Resources Code, to
read:
   29761.  The commission shall adopt, by a majority vote, the
economic sustainability plan and each plan update after at least
three public hearings, with at least one hearing held in a community
in the north Delta, one hearing in the south Delta, and one hearing
in the west Delta.
  SEC. 28.  Section 29761.5 of the Public Resources Code is repealed.

   29761.5.  Not later than January 7, 1995, the commission shall
transmit copies of the resource management plan to the Governor.
Copies of the resource management plan shall be made available, upon
request, to Members of the Legislature. 
  SEC. 29.  Section 29761.5 is added to the Public Resources Code, to
read:
   29761.5.  (a) The commission shall review, and, as determined to
be necessary, amend the economic sustainability plan every five years
on or before December 31 in years ending in six or one.
   (b) The commission shall transmit copies of the economic
sustainability plan and any subsequent amendments to the Governor,
Legislature, each local government as defined in Section 29725, and
Delta Stewardship Council within 60 days of adoption or amendment.
Within 180 days of the commission's adoption or amendment of the
economic sustainability plan, the Delta Stewardship Council shall
review the economic sustainability plan for consistency with the
Delta Plan.
  SEC. 30.  Section 29762 of the Public Resources Code is repealed.

   29762.  The commission shall adopt, by a majority vote of the
membership of the commission, the resource management plan after at
least three public hearings, with at least one hearing held in a city
in the north delta, the south delta, and the west delta. 
  SEC. 31.  Section 29763 of the Public Resources Code is amended to
read:
   29763.  Within 180 days from the date of the adoption of the
 resource   resources  management plan or
any amendments, changes, or updates, to the  resource
  resources  management plan by the commission,
 all   each  local  governments
  government  shall submit to the commission
proposed amendments  that will cause their general plans to
be   to its general plan that are intended to make the
general plan  consistent with the  criteria in Section
29763.5   resources management plan  with respect
to land located within the primary zone.
  SEC. 32.  Section 29764 of the Public Resources Code is repealed.

   29764.  This division does not confer any permitting authority
upon the commission or require any local government to conform their
general plan, or land use entitlement decisions, to the resource
management plan, except with regard to lands within the primary zone.
The resource management plan does not preempt local government
general plans for lands within the secondary zone. 
  SEC. 33.  Section 29764 is added to the Public Resources Code, to
read:
   29764.  Land use authority granted to the commission by this
division is limited to the primary zone, and shall not preempt local
government general plans for lands within the secondary zone.
  SEC. 34.  Section 29771 of the Public Resources Code is amended to
read:
   29771.  After a hearing on an appealed action  pursuant to
Section 29770  , the commission shall either deny the appeal or
remand the matter to the local government or local agency for
reconsideration, after making specific findings. Upon remand, the
local government or local agency shall modify the appealed action and
resubmit the matter for review to the commission. A proposed action
appealed pursuant to this section shall not be effective until the
commission has adopted written findings, based on substantial
evidence in the record, that the action is consistent with the
 resource   resources  management plan, the
approved portions of local government general plans that implement
the  resource   resources  management plan,
and this division.
  SEC. 35.  Section 29773 is added to the Public Resources Code, to
read:
   29773.  (a) The commission may review and provide comments and
recommendations to the Delta Stewardship Council on any significant
project or proposed project within the scope of the Delta Plan,
including, but not limited to, actions by state and federal agencies,
that may affect the unique cultural, recreational, and agricultural
values within the primary and secondary zones. Review and comment
authority granted to the commission shall include, but is not limited
to, all of the following:
   (1) Identification of impacts to the cultural, recreational, and
agricultural values of the Delta.
   (2) Recommendations for actions that may avoid, reduce, or
mitigate impacts to the cultural, recreational, and agricultural
values of the Delta.
   (3) Review of consistency of the project or proposed project with
the resources management plan and the Delta Plan.
   (4) Identification and recommendation of methods to address Delta
community concerns regarding large-scale habitat plan development and
implementation.
   (b) The council shall take into consideration the recommendations
of the commission, including the recommendations included in the
economic sustainability plan. If the council, in its discretion,
determines that a recommendation of the commission is feasible and
consistent with the objectives of the Delta Plan and the purposes of
this division, the council shall adopt the recommendation.
  SEC. 36.  Section 29773.5 is added to the Public Resources Code, to
read:
   29773.5.  On or before July 1, 2010, the commission shall prepare
and submit to the Legislature recommendations regarding the potential
expansion of or change to the primary zone or the Delta. The
commission shall consider recommendations on the status of all of the
following areas:
   (a) Rio Vista.
   (b) Isleton.
   (c) Bethel Island.
   (d) Brannan-Andrus Island.
   (e) Cosumnes/Mokelumne floodway.
   (f) The San Joaquin/South Delta lowlands.
  SEC. 37.  Section 29778.5 is added to the Public Resources Code, to
read:
   29778.5.  The Delta Investment Fund is hereby created in the State
Treasury. Any funds within the Delta Investment Fund shall be
available, upon appropriation by the Legislature, to the commission
for the implementation of the regional economic sustainability plan,
developed pursuant to Section 29759, for the purposes of enhancing
Delta communities. The Delta Investment Fund may receive funds from
federal, state, local, and private sources.
  SEC. 38.  Section 29780 of the Public Resources Code is amended to
read:
   29780.  On January 1 of each year, the commission shall submit to
the Governor and the Legislature a report describing the progress
that has been made in achieving the objectives of this division. The
report shall include, but  need  not be limited to, 
all   both  of the following  information
 : 
   (a) An evaluation of the effectiveness of the resource management
plan in preserving agricultural lands, restoring delta habitat,
improving levee protection and water quality, providing increased
public access and recreational opportunities, and in undertaking
other functions prescribed in this division.  
   (a) An evaluation of the effectiveness of the commission in
undertaking its functions prescribed in this division, including, but
not limited to, its mandates as follows:  
   (1) Determining the consistency of local general plans with the
Delta Plan.  
   (2) Outcomes of appealed local land use decisions pursuant to
Sections 29770 and 29771.  
   (3) Outcomes of reviews initiated by the commission.  
   (4) Facilitating regional economic sustainability.  
   (5) Supporting other regional activities for the enhancement of
Delta communities. 
                                        (b) An update of the 
resource management   economic sustainability 
plan, using baseline conditions set forth in the original 
resource management   economic sustainability 
plan.
  SEC. 39.  Division 22.3 (commencing with Section 32300) is added to
the Public Resources Code, to read:

      DIVISION 22.3.  SACRAMENTO-SAN JOAQUIN DELTA CONSERVANCY


      CHAPTER 1.  GENERAL PROVISIONS


   32300.  This division shall be known, and may be cited, as the
Sacramento-San Joaquin Delta Conservancy Act.
   32301.  The Legislature finds and declares all of the following:
   (a) The Sacramento-San Joaquin Delta is a unique natural resource
of local, state, and national significance.
   (b) At 1,300 square miles, the Delta is the largest estuary on the
west coast of North and South America.
   (c) Its rivers and labyrinths of sloughs and channels are home to
750 species of plants and wildlife as well as 55 species of fish,
provide habitat for 700 native plant and animal species, and are part
of the Pacific Flyway.
   (d) The Delta contains more than 500,000 acres of agricultural
land, with unique soils, and farmers who are creative and utilize
innovative agriculture, such as carbon sequestration crops,
subsidence reversal crops, wildlife-friendly crops, and crops direct
for marketing to the large urban populations nearby.
   (e) The Delta and Suisun Marsh provide numerous opportunities for
recreation, such as boating, kayaking, fishing, hiking, birding, and
hunting. Navigable waterways in the Delta are available for public
access and currently make up the majority of recreational
opportunities. There is a need for land-based recreational access
points including parks, picnic areas, and campgrounds.
   (f) The Delta's history is rich with a distinct natural,
agricultural, and cultural heritage. It is home to the community of
Locke, the only town in the United States built primarily by early
Chinese immigrants. Other legacy communities include Bethel Island,
Clarksburg, Courtland, Freeport, Hood, Isleton, Knightsen, Rio Vista,
Ryde, and Walnut Grove.
   (g) The Delta is home to more than 500,000 people and 200,000
jobs, and contributes over thirty-five billion dollars
($35,000,000,000) to the state's economy.
   (h) In addition, the Delta provides water to more than 25 million
Californians and three million acres of agricultural land. It
supports a four hundred billion dollar ($400,000,000,000) economy and
is traversed by energy, communications, and transportation
facilities vital to the economic health of California.
   (i) A Sacramento-San Joaquin Delta Conservancy can support efforts
that advance both environmental protection and the economic
well-being of Delta residents in a complementary manner, including
all of the following:
   (1) Protect and enhance habitat and habitat restoration.
   (2) Protect and preserve Delta agriculture and working landscapes.

   (3) Provide increased opportunities for tourism and recreation.
   (4) Promote Delta legacy communities and economic vitality in the
Delta in coordination with the Delta Protection Commission.
   (5) Increase the resilience of the Delta to the effects of natural
disasters such as floods and earthquakes, in coordination with the
Delta Protection Commission.
   (6) Protect and improve water quality.
   (7) Assist the Delta regional economy through the operation of the
conservancy's program.
   (8) Identify priority projects and initiatives for which funding
is needed.
   (9) Protect, conserve, and restore the region's physical,
agricultural, cultural, historical, and living resources.
   (10) Assist local entities in the implementation of their habitat
conservation plans (HCPs) and natural community conservation plans
(NCCPs).
   (11) Facilitate take protection and safe harbor agreements under
the federal Endangered Species Act of 1973 (16 U.S.C. Sec. 1531 et
seq.) and the California Endangered Species Act (Chapter 1.5
(commencing with Section 2050) of Division 3 of the Fish and Game
Code) for adjacent landowners and local public agencies.
   (12) Promote environmental education.
      CHAPTER 2.  DEFINITIONS


   32310.  For the purposes of this division, the following terms
have the following meanings:
   (a) "Board" means the governing board of the Sacramento-San
Joaquin Delta Conservancy.
   (b) "Conservancy" means the Sacramento-San Joaquin Delta
Conservancy.
   (c) "Delta" means the Sacramento-San Joaquin Delta as defined in
Section 12220 of the Water Code.
   (d) "Fund" means the Sacramento-San Joaquin Delta Conservancy Fund
created pursuant to Section 32360.
   (e) "Local public agency" means a city, county, special district,
or joint powers authority.
   (f) "Nonprofit organization" means a private, nonprofit
organization that qualifies for exempt status under Section 501(c)(3)
of Title 26 of the United States Code and that has among its
principal charitable purposes preservation of land for scientific,
recreational, scenic, or open-space opportunities, protection of the
natural environment, preservation or enhancement of wildlife,
preservation of cultural and historical resources, or efforts to
provide for the enjoyment of public lands.
   (g) "Suisun Marsh" means the area defined in Section 29101 and
protected by Division 19 (commencing with Section 29000).
      CHAPTER 3.  SACRAMENTO-SAN JOAQUIN DELTA CONSERVANCY


   32320.  There is in the Natural Resources Agency the
Sacramento-San Joaquin Delta Conservancy, which is created as a state
agency to work in collaboration and cooperation with local
governments and interested parties.
   32322.  (a) The conservancy shall act as a primary state agency to
implement ecosystem restoration in the Delta.
   (b) The conservancy shall support efforts that advance
environmental protection and the economic well-being of Delta
residents, including all of the following:
   (1) Protect and enhance habitat and habitat restoration.
   (2) Protect and preserve Delta agriculture and working landscapes.

   (3) Provide increased opportunities for tourism and recreation in
the Delta.
   (4) Promote Delta legacy communities and economic vitality in the
Delta, in coordination with the Delta Protection Commission.
   (5) Increase the resilience of the Delta to the effects of natural
disasters such as floods and earthquakes, in coordination with the
Delta Protection Commission.
   (6) Protect and improve water quality.
   (7) Assist the Delta regional economy through the operation of the
conservancy's program.
   (8) Identify priority projects and initiatives for which funding
is needed.
   (9) Protect, conserve, and restore the region's physical,
agricultural, cultural, historical, and living resources.
   (10) Assist local entities in the implementation of their habitat
conservation plans (HCPs) and natural community conservation plans
(NCCPs).
   (11) Facilitate take protection and safe harbor agreements under
the federal Endangered Species Act of 1973 (16 U.S.C. Sec. 1531 et
seq.), the California Endangered Species Act (Chapter 1.5 (commencing
with Section 2050) of Division 3 of the Fish and Game Code), and the
Natural Community Conservation Planning Act (Chapter 10 (commencing
with Section 2800) of Division 3 of the Fish and Game Code) for
adjacent landowners and local public agencies.
   (12) Promote environmental education through grant funding.
   (c) When implementing subdivision (b), the conservancy shall
undertake efforts to enhance public use and enjoyment of lands owned
by the public.
      CHAPTER 4.  GOVERNING BOARD


   32330.  The board shall consist of 11 voting members and two
nonvoting members, appointed or designated as follows:
   (a) The 11 voting members of the board shall consist of all of the
following:
   (1) The Secretary of the Natural Resources Agency, or his or her
designee.
   (2) The Director of Finance, or his or her designee.
   (3) One member of the board or a designee who is appointed by the
Contra Costa County Board of Supervisors, who is a resident of that
county.
   (4) One member of the board or a designee who is appointed by the
Sacramento County Board of Supervisors, who is a resident of that
county.
   (5) One member of the board or a designee who is appointed by the
San Joaquin County Board of Supervisors, who is a resident of that
county.
   (6) One member of the board or a designee who is appointed by the
Solano County Board of Supervisors, who is a resident of that county.

   (7) One member of the board or a designee who is appointed by the
Yolo County Board of Supervisors, who is a resident of that county.
   (8) Two public members appointed by the Governor, subject to
confirmation by the Senate.
   (9) One public member appointed by the Senate Committee on Rules.
   (10) One public member appointed by the Speaker of the Assembly.
   (b) The two nonvoting members shall consist of a Member of the
Senate, appointed by the Senate Committee on Rules, and a Member of
the Assembly, appointed by the Speaker of the Assembly. The members
appointed under this subdivision shall meet with the conservancy and
participate in its activities to the extent that this participation
is not incompatible with their positions as Members of the
Legislature. The appointed members shall represent a district that
encompasses a portion of the Delta.
   (c) Ten liaison advisers who shall serve in an advisory, nonvoting
capacity shall consist of all of the following:
   (1) One representative of the United States Fish and Wildlife
Service, designated by the United States Secretary of the Interior.
   (2) One representative of the United States National Marine
Fisheries Service, designated by the United States Secretary of the
Interior.
   (3) One representative of the United States Bureau of Reclamation,
designated by the United States Secretary of the Interior.
   (4) One representative of the United States Army Corps of
Engineers, designated by the Commanding Officer, United States Army
Corps of Engineers, South Pacific Division.
   (5) A designee of the San Francisco Bay Conservation and
Development Commission for coordination purposes.
   (6) A designee of the State Coastal Conservancy for coordination
purposes.
   (7) A designee of the Suisun Resource Conservation District for
coordination purposes.
   (8) A designee of the Central Valley Flood Protection Board.
   (9) A designee of the Yolo Basin Foundation.
   (10) A designee of the Delta Protection Commission.
   (d) The public members appointed by the Governor shall serve for a
term of four years, with a two-term limit.
   (e) The locally appointed members and alternates shall serve at
the pleasure of the appointing board of supervisors.
   (f) The public members appointed by the Senate Committee on Rules
or the Speaker of the Assembly shall serve for a term of four years,
with a two-term limit.
   (g) The Members of the Senate and Assembly shall serve at the
pleasure of the appointing body.
   (h) Alternates may be appointed by the county boards of
supervisors.
   32332.  Annually, the voting members of the board shall elect from
among the voting members a chairperson and vice chairperson, and
other officers as necessary. If the office of the chairperson or vice
chairperson becomes vacant, a new chairperson or vice chairperson
shall be elected by the voting members of the board to serve for the
remainder of the term. The chairperson shall be selected from among
the members specified in paragraphs (3) to (7), inclusive, of
subdivision (a) of Section 32330.
   32334.  A majority of the voting members shall constitute a quorum
for the transaction of the business of the conservancy. The board
shall not transact the business of the conservancy if a quorum is not
present at the time a vote is taken. A decision of the board
requires an affirmative vote of six of the voting members, and the
vote is binding with respect to all matters acted on by the
conservancy.
   32336.  The board shall adopt rules and procedures for the conduct
of business by the conservancy.
   32338.  The board may establish advisory boards or committees,
hold community meetings, and engage in public outreach.
   32340.  The board shall establish and maintain a headquarters
office within the Delta. The conservancy may rent or own real and
personal property and equipment pursuant to applicable statutes and
regulations.
   32342.  The board shall determine the qualifications of, and shall
appoint, an executive officer of the conservancy, who shall be
exempt from civil service. The board shall employ other staff as
necessary to execute the powers and functions provided for in this
division.
   32344.  The board may enter into contracts with private entities
and public agencies to procure consulting and other services
necessary to achieve the purposes of this division.
   32346.  The conservancy's expenses for support and administration
may be paid from the conservancy's operating budget and any other
funding sources available to the conservancy.
   32348.  The board shall conduct business in accordance with the
Bagley-Keene Open Meeting Act (Article 9 (commencing with Section
11120) of Chapter 1 of Part 1 of Division 3 of Title 2 of the
Government Code).
   32350.  The board shall hold its regular meetings within the Delta
or the City of Rio Vista.
      CHAPTER 5.  POWERS, DUTIES, AND LIMITATIONS


   32360.  (a) Except as specified in Section 32360.5, the
jurisdiction and activities of the conservancy are limited to the
Delta and Suisun Marsh.
   (b) (1) The Sacramento-San Joaquin Delta Conservancy Fund is
hereby created in the State Treasury. Moneys in the fund shall be
available, upon appropriation by the Legislature, only for the
purposes of this division.
   (2) Funds provided for ecosystem restoration and enhancement shall
be available for ecosystem restoration projects consistent with the
conservancy's strategic plan adopted pursuant to Section 32376.
   (3) Funds may be allocated to a separate program for economic
sustainability in the Delta. The conservancy shall develop this
program, in conjunction with the Delta Protection Commission, the
Delta counties, and other interested parties. Funds provided to the
conservancy to implement ecosystem restoration projects pursuant to
the Bay Delta Conservation Plan shall only be used for ecosystem
restoration purposes.
   32360.5.  In furtherance of the conservancy's role in implementing
the Delta Plan, the conservancy may take or fund an action outside
the Delta and Suisun Marsh if the board makes all of the following
findings:
   (a) The project implements the ecosystem goals of the Delta Plan.
   (b) The project is consistent with the requirements of any
applicable state and federal permits.
   (c) The conservancy has given notice to and reviewed any comments
received from affected local jurisdictions and the Delta Protection
Commission.
   (d) The conservancy has given notice to and reviewed any comments
received from any state conservancy where the project is located.
   (e) The project will provide significant benefits to the Delta.
   32362.  The conservancy may engage in partnerships with nonprofit
organizations, local public agencies, and landowners.
   32363.  In implementing this division, the conservancy shall
cooperate and consult with the city or county in which a grant is
proposed to be expended or an interest in real property is proposed
to be acquired, and shall, as necessary or appropriate, coordinate
its efforts with other state agencies, in cooperation with the
Secretary of the Natural Resources Agency. The conservancy shall, as
necessary or appropriate, cooperate and consult with a public water
system, levee, flood control, or drainage agency that owns or
operates facilities, including lands appurtenant thereto, where a
grant is proposed to be expended or an interest in land is proposed
to be acquired.
   32364.  (a) The conservancy may require a grantee to enter into an
agreement with the conservancy on terms and conditions specified by
the conservancy.
   (b) The conservancy may require a cost-share or local funding
requirement for a grant. The conservancy may make that cost-share or
local funding requirement contingent upon the total amount of funding
available, the fiscal resources of the applicant, or urgency of the
project. The conservancy may waive cost-share requirements.
   (c) The conservancy may fund or award grants for plans and
feasibility studies consistent with its strategic plan or the Delta
Plan.
   (d) The conservancy may seek repayment or reimbursement of funds
granted on terms and conditions it deems appropriate. The proceeds of
repayment shall be deposited in the fund.
   (e) The conservancy may require any funds that exceed the costs of
eligible or approved projects or of acquisition to be returned to
the conservancy, to be available for expenditure when appropriated by
the Legislature.
   32364.5.  (a) The conservancy may provide grants and loans to
state agencies, local public agencies, and nonprofit organizations to
further the goals of the conservancy.
   (b) An entity applying for a grant from the conservancy to acquire
an interest in real property shall specify all of the following in
the grant application:
   (1) The intended use of the property.
   (2) The manner in which the land will be managed.
   (3) How the cost of ongoing operations, maintenance, and
management will be provided, including an analysis of the maintaining
entity's financial capacity to support those ongoing costs.
   (4) Grantees shall demonstrate, where applicable, how they will
provide payments in lieu of taxes, assessments, or charges otherwise
due to local government.
   32365.  The conservancy may sue and be sued.
   32366.  (a) The conservancy may acquire from willing sellers or
transferors interests in real property and improve, lease, or
transfer interests in real property, in order to carry out the
purposes of this division.
   (b) The conservancy shall use conservation easements to accomplish
ecosystem restoration whenever feasible.
   32368.  The conservancy may enter into an agreement with a public
agency, nonprofit organization, or private entity for the
construction, management, or maintenance of facilities authorized by
the conservancy.
   32370.  The conservancy shall not exercise the power of eminent
domain.
   32372.  (a) The conservancy may pursue and accept funds from
various sources, including, but not limited to, federal, state, and
local funds or grants, gifts, donations, bequests, devises,
subventions, grants, rents, royalties, or other assistance and funds
from public and private sources.
   (b) The conservancy may accept fees levied by others.
   (c) The conservancy may create and manage endowments.
   (d) All funds received by the conservancy shall be deposited in
the fund for expenditure for the purposes of this division.
   32376.  Within two years of hiring an executive officer, the board
shall prepare and adopt a strategic plan to achieve the goals of the
conservancy. The plan shall describe its interaction with local,
regional, state, and federal land use, recreation, water and flood
management, and habitat conservation and protection efforts within
and adjacent to the Delta. The strategic plan shall establish
priorities and criteria for projects and programs, based upon an
assessment of program requirements, institutional capabilities, and
funding needs throughout the Delta. The strategic plan shall be
consistent with the Delta Plan, the Delta Protection Commission's
resources management plan, the Central Valley Flood Protection Plan,
the Suisun Marsh Preservation Act of 1977 (Division 19 (commencing
with Section 29000)), and the Habitat Management, Preservation and
Restoration Plan for the Suisun Marsh.
   32378.  (a) The conservancy may expend funds and award grants and
loans to facilitate collaborative planning efforts and to develop
projects and programs that are designed to further the purposes of
this division.
   (b) The conservancy may provide and make available technical
information, expertise, and other nonfinancial assistance to public
agencies, nonprofit organizations, and tribal organizations, to
support program and project development and implementation.
   32380.  The conservancy may acquire water or water rights to
support the goals of the conservancy.
   32381.  This division does not grant to the conservancy any of the
following:
   (a) The power of a city or county to regulate land use.
   (b) The power to regulate any activities on land, except as the
owner of an interest in the land, or pursuant to an agreement with,
or a license or grant of management authority from, the owner of an
interest in the land.
   (c) The power over water rights held by others.
  SEC. 40.  Chapter 2.7 (commencing with Section 348) is added to
Division 1 of the Water Code, to read:
      CHAPTER 2.7.  WATER DIVERSION AND USE REPORTS


   348.  (a) The department or the board may adopt emergency
regulations providing for the electronic filing of reports of water
diversion or use required to be filed with the department or board
under this code, including, but not limited to, any report required
to be filed under Part 5.1 (commencing with Section 5100) of Division
2 and any report required to be filed by a water right permittee or
licensee.
   (b) Emergency regulations adopted pursuant to this section, or any
amendments thereto, shall be adopted by the department or the board
in accordance with Chapter 3.5 (commencing with Section 11340) of
Part 1 of Division 3 of Title 2 of the Government Code. The adoption
of these regulations is an emergency and shall be considered by the
Office of Administrative Law as necessary for the immediate
preservation of the public peace, health, safety, and general
welfare. Notwithstanding Chapter 3.5 (commencing with Section 11340)
of Part 1 of Division 3 of Title 2 of the Government Code, any
emergency regulations or amendments to those regulations adopted
under this section shall remain in effect until revised by the
department or the board that adopted the regulations or amendments.
  SEC. 40.5.  Section 375 of the Water Code is amended to read:
   375.  (a)  Notwithstanding any other provision of the law, any
public entity which supplies water at retail or wholesale for the
benefit of persons within the service area or area of jurisdiction of
the public entity may, by ordinance or resolution adopted by a
majority of the members of the governing body after holding a public
hearing upon notice and making appropriate findings of necessity for
the adoption of a water conservation program, adopt and enforce a
water conservation program to reduce the quantity of water used by
those persons for the purpose of conserving the water supplies of the
public entity.
   (b)  With regard to water delivered for other than agricultural
uses, the ordinance or resolution may specifically require the
installation of water-saving devices  which  
that  are designed to reduce water consumption. The ordinance or
resolution may also encourage water conservation through rate
structure design. 
   (c) With regard to water delivered for "process water" users, as
that term is defined in subdivision (l) of Section 10608.12, an
ordinance or resolution adopted on or after January 1, 2010, shall be
consistent with the requirements of paragraph (1) of subdivision (d)
of Section 10608.26.  
   (c) 
    (d)  For the purposes of this section, "public entity"
means a city, whether general law or chartered, county, city and
county, special district, agency, authority, any other municipal
public corporation or district, or any other political subdivision of
the state.
  SEC. 41.  Section 1051.1 is added to the Water Code, to read:
   1051.1.  (a) In conducting any investigation or proceeding
specified in Section 275 or 1051, or Article 7 (commencing with
Section 13550) of Chapter 7 of Division 7, the board may order any
person or entity that diverts or uses water to prepare, under penalty
of perjury, and to submit to the board, any technical or monitoring
program reports related to that person's or entity's diversion or use
of water as the board may specify. The costs incurred by the person
or entity in the preparation of those reports shall bear a reasonable
relationship to the need for the report and the benefit to be
obtained from the report. If the preparation of individual reports
would result in a duplication of effort, or if the reports are
necessary to evaluate the cumulative effect of several diversions or
uses of water, the board may order any person or entity subject to
this subdivision to pay a reasonable share of the cost of preparing
reports.
   (b) Any order issued under this section shall be served by
personal service or registered mail on the party required to submit
technical or monitoring program reports or to pay a share of the
costs of preparing reports. Unless the board issues the order after a
hearing, the order shall inform the party of the right to request a
hearing within 30 days after the party has been served. If the party
does not request a hearing within that 30-day period, the order shall
take effect as issued. If the party requests a hearing within that
30-day period, the board may adopt a decision and order after
conducting a hearing.
   (c) Upon application of any person or entity or upon its own
motion, the board may review and revise any order issued pursuant to
this section, in accordance with the procedures set forth in
subdivision (b).
   (d) In conducting any investigation or proceeding specified in
Section 275 or 1051, or Article 7 (commencing with Section 13550) of
Chapter 7 of Division 7, the board may inspect the facilities of any
person or entity to ascertain whether the purposes of Section 100 and
this division are being met and to ascertain compliance with any
permit, license, certification, registration, decision, order, or
regulation issued under Section 275, this division, or Article 7
(commencing with Section 13550) of Chapter 7 of Division 7. Except in
the event of an emergency affecting the public health or safety, the
inspection shall be made with the consent of the owner or possessor
of the facilities or, if the consent is withheld, with a warrant duly
issued pursuant to the procedure set forth in Title 13 (commencing
with Section 1822.50) of Part 3 of the Code of Civil Procedure.
  SEC. 42.  Section 1052 of the Water Code is amended to read:
   1052.  (a) The diversion or use of water subject to this division
other than as authorized in this division is a trespass. 
       (b) Civil liability may be administratively imposed by the
board pursuant to Section 1055 for a trespass as defined in this
section in an amount not to exceed five hundred dollars ($500) for
each day in which the trespass occurs.  
   (c) 
    (b)  The Attorney General, upon request of the board,
shall institute in the superior court in and for any county 
wherein   in which  the diversion or use is
threatened, is occurring, or has occurred  appropriate
  an  action for the issuance of injunctive relief
as may be warranted by way of temporary restraining order,
preliminary injunction, or permanent injunction. 
   (d) 
    (c)     (1)  Any person or entity
committing a trespass as defined in this section may be liable
 for a sum   in an amount  not to exceed
 five hundred dollars ($500) for each day in which the
trespass occurs. The   the greater of either of the
following amounts:  
   (A) One thousand dollars ($1,000) for each day in which the
trespass occurs for the first enforcement proceeding or five thousand
dollars ($5,000) for each day in which the trespass occurs for any
subsequent enforcement proceeding.  
   (B) The highest market value of the water subject to the trespass.
 
   (2) Civil liability may be imposed by the superior court for no
more than three years preceding the filing of the complaint. 
    (3)     The  Attorney General, upon
request of the board, shall petition the superior court to impose,
assess, and recover any sums pursuant to this subdivision. In
determining the appropriate amount, the court shall take into
consideration all relevant circumstances, including, but not limited
to, the extent of harm caused by the violation, the nature and
persistence of the violation, the length of time over which the
violation occurs, and the corrective action, if any, taken by the
violator. 
   (4) Civil liability may be imposed by the board pursuant to
Section 1055.  
   (e) 
    (d)  All funds recovered pursuant to this section shall
be deposited in the Water Rights Fund established pursuant to Section
1550. 
   (f) 
    (e)  The remedies prescribed in this section are
cumulative and not alternative.
  SEC. 43.  Section 1055 of the Water Code is amended to read:
   1055.  (a) The executive director of the board may issue a
complaint to any person or entity on which administrative civil
liability may be imposed pursuant to Section 1052,  Section
1536, Section 1845,   Article 4 (commencing with Section
1845) of Chapter 12 of Part 2 of Division 2,  or Section 5107.
The complaint shall allege the act or failure to act that constitutes
a trespass or violation, the provision of law authorizing civil
liability to be imposed, and the proposed civil liability.
   (b) The complaint shall be served by personal notice or certified
mail, and shall inform the party served that the party may request a
hearing not later than 20 days from the date the party was served.
The hearing shall be before  the board, or  a member of the
board  as it may specify   in accordance with
Section 183  . 
   (c) After any hearing, the member shall report a proposed decision
and order to the board and shall supply a copy to the party served
with the complaint, the board's executive director, and any other
person requesting a copy. The member of the board acting as hearing
officer may sit as a member of the board in deciding the matter. The
board, after making an independent review of the record and taking
any additional evidence as may be necessary that could not reasonably
have been offered before the hearing officer, may adopt, with or
without revision, the proposed decision and order.  
   (c) The board may adopt an order setting administrative civil
liability, or determining that no liability will be imposed, after
any necessary hearing. 
   (d) Orders setting administrative civil liability shall become
effective and final upon issuance thereof and payment shall be made.
  SEC. 44.  Section 1055.2 of the Water Code is amended to read:
   1055.2.  No person or entity shall be subject to both civil
liability imposed under Section 1055 and civil liability imposed by
the superior court under  subdivision (d) of 
Section 1052,  Section 1536, or Section  1845  ,
or 1846  for the same act or failure to act.
  SEC. 45.  Section 1120 of the Water Code is amended to read:
   1120.  This chapter applies to any decision or order issued under
this part or Section 275, Part 2 (commencing with Section 1200), Part
2 (commencing with Section 10500) of Division 6, Article 7
(commencing with Section 13550) of Chapter 7 of Division 7, 
Section 85230,  or the public trust doctrine.
  SEC. 46.  Section 1240.5 is added to the Water Code, to read:
   1240.5.  In any proceeding before the board in which it is alleged
that a right to appropriate water has ceased or is subject to
forfeiture or revocation for nonuse, there shall be a rebuttable
presumption that no use occurred unless that use is included in a
statement submitted pursuant to any reporting or monitoring
requirement established under any permit, license, certificate,
registration, decision or order, or regulation issued by the board
pursuant to this division, Section 275, Article 7 (commencing with
Section 13550) of Division 7, or the public trust doctrine under this
part, and the statement is submitted within six months after it is
required to be filed with the board. This section does not apply to
any diversion or use that occurred before January 1, 2009.
  SEC. 47.  Section 1525 of the Water Code is amended to read:
   1525.  (a) Each person or entity who holds a permit or license to
appropriate water, and each lessor of water leased under Chapter 1.5
(commencing with Section 1020) of Part 1, shall pay an annual fee
according to a fee schedule established by the board.
   (b) Each person or entity who files any of the following shall pay
a fee according to a fee schedule established by the board:
   (1) An application for a permit to appropriate water.
   (2) A registration of appropriation for a small domestic use or
livestock stockpond  use  .
   (3) A petition for an extension of time within which to begin
construction, to complete construction, or to apply the water to full
beneficial use under a permit.
   (4) A petition to change the point of diversion, place of use, or
purpose of use, under a  registration for small domestic use or
livestock stockpond use, or under a  permit or license.
   (5) A petition to change the conditions of a permit or license,
requested by the permittee or licensee, that is not otherwise subject
to paragraph (3) or (4). 
   (6) A petition under Section 1707 or 1740 to change the point of
diversion, place of use, or purpose of use of a water right that is
not subject to a permit or license to appropriate water. 

   (6) 
    (7)  A petition to change the point of discharge, place
of use, or purpose of use, of treated wastewater, requested pursuant
to Section 1211. 
   (7) 
    (8)  An application for approval of a water lease
agreement. 
   (8) 
    (9)  A request for release from priority pursuant to
Section 10504. 
   (9) 
    (10)  An application for an assignment of a state-filed
application pursuant to Section 10504. 
   (11) A statement of water diversion and use pursuant to Part 5.1
(commencing with Section 5100). 
   (c) The board shall set the fee schedule authorized by this
section so that the total amount of fees collected pursuant to this
section equals that amount necessary to recover costs incurred in
connection with the issuance, administration, review, monitoring, and
enforcement of permits, licenses, certificates, and registrations to
appropriate water, water leases,  statements of diversion and
use,  and orders approving changes in point of discharge, place
of use, or purpose of use of treated wastewater. The board may
include, as recoverable costs, but is not limited to including, the
costs incurred in reviewing applications, registrations, 
statements of diversion and use,  petitions and requests,
prescribing terms of permits, licenses, registrations, and change
orders, enforcing and evaluating compliance with permits, licenses,
certificates, registrations, change orders, and water leases,
inspection, monitoring, planning, modeling, reviewing documents
prepared for the purpose of regulating the diversion and use of
water, applying and enforcing  the public trust doctrine, Section
275,  the prohibition set forth in Section 1052 against the
unauthorized diversion or use of water subject to this division, 
the requirements under Part 5.1 (commencing with Section 5100) for
filing statements of diversion and use,  and the administrative
costs incurred in connection with carrying out these actions.
   (d) (1) The board shall adopt the schedule of fees authorized
under this section as emergency regulations in accordance with
Section 1530.
   (2) For filings subject to subdivision (b), the schedule may
provide for a single filing fee or for an initial filing fee followed
by an annual fee, as appropriate to the type of filing involved, and
may include supplemental fees for filings that have already been
made but have not yet been acted upon by the board at the time the
schedule of fees takes effect.
   (3) The board shall set the amount of total revenue collected each
year through the fees authorized by this section at an amount equal
to the revenue levels set forth in the annual Budget Act for this
activity. The board shall review and revise the fees each fiscal year
as necessary to conform with the revenue levels set forth in the
annual Budget Act. If the board determines that the revenue collected
during the preceding year was greater than, or less than, the
revenue levels set forth in the annual Budget Act, the board may
further adjust the annual fees to compensate for the over or under
collection of revenue.
   (e) Annual fees imposed pursuant to this section for the 2003-04
fiscal year shall be assessed for the entire 2003-04 fiscal year.
  SEC. 48.  Section 1535 of the Water Code is amended to read:
   1535.  (a) Any fee subject to this chapter that is required in
connection with the filing of an application, registration, request
 , statement,  or proof of claim, other than an annual fee
required after the period covered by the initial filing fee, shall be
paid to the board.
   (b) If a fee established under subdivision (b) of Section 1525,
Section 1528, or Section 13160.1 is not paid when due, the board may
cancel the application, registration, petition, request, 
statement,  or claim, or may refer the matter to the State Board
of Equalization for collection of the unpaid fee.
  SEC. 49.  Section 1538 of the Water Code is amended to read:
   1538.   (a)    In any proceeding pursuant to
Section 1052 in which it is determined that there has been a
violation of the prohibition against the unauthorized diversion or
use of water subject to this division, the board or court, as the
case may be, may impose an additional liability in the amount of
150 percent of  any annual fees that would have been required
under this division if the diversion or use had been authorized by a
permit or license to appropriate water.
    (b) In any proceeding pursuant to Section 5107 in which the
board imposes liability for a failure to file a statement of
diversion and use or for a material misstatement in a statement of
diversion and use, the board may impose an additional liability in
the amount of 150 percent of any fees that have not been paid but
would have been required under this division if the statement of
diversion and use had been filed and did not make any material
misstatement. 
    (c) The additional liability imposed under this section may
include interest, at the rate provided under Section 685.010 of the
Code of Civil Procedure, from the dates the annual fees would have
been assessed. 
  SEC. 50.  Section 1551 of the Water Code is amended to read:
   1551.  All of the following shall be deposited in the Water Rights
Fund:
   (a) All fees, expenses, and penalties collected by the board or
the State Board of Equalization under this chapter and Part 3
(commencing with Section 2000).
   (b) All funds collected under Section 1052,  1845 or
  Article 4 (commencing with Section 1845) of Chapter 12
 ,  and   Section  5107.
   (c) All fees collected under Section 13160.1 in connection with
certificates for activities involving hydroelectric power projects
subject to licensing by the Federal Energy Regulatory Commission.
  SEC. 51.  Section 1825 of the Water Code is amended to read:
   1825.  It is the intent of the Legislature that the state should
take vigorous action to enforce the terms and conditions of permits
 ,  licenses, certifications, and registrations to
appropriate water, to enforce state board orders and decisions,
 and  to prevent the unlawful diversion of water
, and to prevent the waste, unreasonable use, unreasonable method
of use, or unreasonable method of diversion   ,  
of water, and to enforce reporting and monitoring requirements 
.
  SEC. 52.  Section 1845 of the Water Code is amended to read:
   1845.  (a) Upon the failure of any person to comply with a cease
and desist order issued by the board pursuant to this chapter, the
Attorney General, upon the request of the board, shall petition the
superior court for the issuance of prohibitory or mandatory
injunctive relief as appropriate, including a temporary restraining
order, preliminary injunction, or permanent injunction.
   (b) (1) Any person or entity who violates a cease and desist order
issued pursuant to this chapter may be liable  for a sum
  in an amount  not to exceed  one thousand
dollars ($1,000) for each day in which the violation occurs.
  the greater of either of the following amounts: 

   (A) One thousand dollars ($1,000) for each day in which the
violation occurs for the first enforcement proceeding or five
thousand ($5,000) for each day in which the violation occurs for any
subsequent enforcement proceeding.  
   (B) The highest market value of the water. 
   (2) Civil liability may be imposed by the superior court. The
Attorney General, upon the request of the board, shall petition the
superior court to impose, assess, and recover those sums.  Civil
liability may be imposed by the superior court for no more than three
years pre   ce   ding  the filing of the
complaint. 
   (3) Civil liability may be imposed administratively by the board
pursuant to Section 1055.
   (c) In determining the appropriate amount, the court, or the
board, as the case may be, shall take into consideration all relevant
circumstances, including, but not limited to, the extent of harm
caused by the violation, the nature and persistence of the violation,
the length of time over which the violation occurs, and the
corrective action, if any, taken by the violator.
   (d) All funds recovered pursuant to this section shall be
deposited in the Water Rights Fund established pursuant to Section
1550.
  SEC. 53.  Section 1846 is added to the Water Code, to read:
   1846.  (a) Any person or entity subject to a monitoring or
reporting requirement specified in subdivision (f) who violates that
reporting or monitoring requirement, makes a material misstatement in
any record or report submitted under that reporting or monitoring
requirement, or tampers with or renders inaccurate any monitoring
device required under that reporting or monitoring requirement shall
be liable for a sum not to exceed five hundred dollars ($500) for
each day in which the violation occurs.
   (b) Civil liability may be imposed by the superior court. The
Attorney General, upon the request of the board, shall petition the
superior court to impose, assess, and recover those sums.
   (c) Civil liability may be imposed administratively by the board
pursuant to Section 1055.
   (d) In determining the appropriate amount, the court, or the
board, as the case may be, shall take into consideration all relevant
circumstances, including, but not limited to, the extent of harm
caused by the violation, the nature and persistence of the violation,
the length of time over which the violation occurs, and the
corrective action, if any, taken by the violator.
   (e) All funds recovered pursuant to this section shall be
deposited in the Water Rights Fund established pursuant to Section
1550.
   (f) (1) This section applies to any reporting or monitoring
requirement established under any permit, license, certificate,
registration, decision or order, or regulation issued by the board
pursuant to this division, Section 275, Article 7 (commencing with
Section 13550) of Division 7, or the public trust doctrine.
   (2) This section also applies to any reporting or monitoring
requirement established by the department under Section 275, if the
department requests enforcement pursuant to this section.
   (3) This section does not provide a basis for imposing liability
on a watermaster who is subject to reporting or monitoring
requirements but does not divert or use the water subject to those
requirements.
  SEC. 54.  Section 1847 is added to the Water Code, to read:
   1847.  (a) Any person or entity who violates any term or condition
of a permit, license, certificate, or registration issued under this
division or any order or regulation adopted by the board under
Section 275 may be liable in an amount not to exceed five hundred
dollars ($500) for each day in which the violation occurs.
   (b) Civil liability may be imposed by the superior court. The
Attorney General, upon the request of the board, shall petition the
superior court to impose, assess, and recover those sums.
   (c) Civil liability may be imposed administratively by the board
pursuant to Section 1055.
   (d) In determining the appropriate amount, the court, or the
board, as the case may be, shall take into consideration all relevant
circumstances, including, but not limited to, the extent of harm
caused by the violation, the nature and persistence of the violation,
the length of time over which the violation occurs, and the
corrective action, if any, taken by the violator.
   (e) No liability shall be recoverable under this section for any
violation for which liability is recovered under Section 1052 or
1846.
   (f) All funds recovered pursuant to this section shall be
deposited in the Water Rights Fund established pursuant to Section
1550.
  SEC. 55.  Section 2525 of the Water Code is amended to read:
   2525.  Upon petition signed by one or more claimants to water of
any stream system, requesting the determination of the rights of the
various claimants to the water of that stream system, the board
shall, if, upon investigation, it finds the facts and conditions are
such that the public interest and necessity will be served by a
determination of the water rights involved, enter an order granting
the petition and make proper arrangements to proceed with the
determination.  The board may initiate a determination of rights
under its own motion if after a hearing it finds that the public
interest and necessity will be served by a determination of the
rights involved. 
  SEC. 56.  Section 2526 of the Water Code is amended to read:
   2526.  As soon as practicable after granting the petition  or
motion  the board shall prepare and issue a notice setting forth
the following:
   (a) The facts of the entry of the order and of the pendency of the
 proceedings;   proceedings. 
   (b) That all claimants to rights to the use of water of the stream
system are required to inform the board within 60 days from the date
of the notice, or such further time as the board may allow, of their
intention to file proof of  claim;   claim.

   (c) The date prior to which all claimants to rights to the water
of the stream system shall notify the board in writing of their
intention to file proof of claim and the address to which all
subsequent notices to the claimant relating to the proceedings may be
 sent;   sent. 
   (d) A statement that all claimants will be required to make proof
of their claims at a time to be fixed by the board after the
conclusion of its investigation.
  SEC. 57.  Section 2550 of the Water Code is amended to read:
   2550.  As soon as practicable after granting the petition  or
motion  , the board shall begin an investigation of the stream
system, of the diversion of water, of all beneficial uses being made
of the water, and of the water supply available for those uses, and
shall gather such other data and information as may be essential to
the proper determination of the water rights in the stream system.
  SEC. 58.  Section 2763.5 of the Water Code is amended to read:
   2763.5.  (a) No exception to the order of determination shall be
considered, except in the court's discretion for good cause shown,
unless the matter of the exception was presented to the board in the
form of an objection. Good cause includes, but is not limited to, the
existence of newly discovered relevant evidence which, in the
exercise of reasonable diligence, could not have been presented to
the board during the board's proceedings.
   (b) This section does not apply to persons to whom the board did
not mail either (1) written notice of the board meeting at which the
petition  or motion  pursuant to Section 2525 is to be
considered as an item of business, or (2) written notice of the
pendency of the proceedings pursuant to Section 2526.
  SEC. 59.  Section 5100 of the Water Code is amended to read:
   5100.  As used in this part:
   (a) "Best available technologies" means technologies at the
highest technically practical level, using flow totaling devices, and
if necessary, data loggers and telemetry.
   (b) "Best professional practices" means practices attaining and
maintaining the accuracy of measurement and reporting devices and
methods.
   (c) "Diversion" means taking water by gravity or pumping from a
surface stream or subterranean stream flowing through a known and
definite channel, or other body of surface water, into a canal,
pipeline, or other conduit, and includes impoundment of water in a
reservoir.
   (d) "Person" means all persons whether natural or artificial,
including the United States of America, State of California, and all
political subdivisions, districts, municipalities, and public
agencies. 
   (e) "Tidal zone" means those portions of the Sacramento-San
Joaquin Delta as described in Section 12220 that are ordinarily
subject to tidal action. 
  SEC. 60.  Section 5101 of the Water Code is amended to read:
   5101.  Each person who, after December 31, 1965, diverts water
shall file with the board, prior to July 1 of the succeeding year, a
statement of his  or her  diversion and use  ;
provided, however, that no statement need   , except
that a statement is not required to  be filed if the diversion
is any of the following:
   (a) From a spring  which   that  does
not flow off the property on which it is located  and from which
the person's aggregate diversions do not exceed 25 acre-feet in any
year  .
   (b) Covered by  an application,   a
registration for small domestic or livestock stockpond uses, or 
permit or license to appropriate water on file with the board.
   (c) Included in a notice filed pursuant to Part 5 (commencing with
Section 4999)  of this division  .
   (d) Regulated by a watermaster appointed by the department 
and included in annual reports filed with a court or the board by the
watermaster, which reports identify the persons who have diverted
water and describe the general purposes and the place, the use, and
the quantity of water that has been diverted from each source  .

   (e) Reported by the department in its hydrologic data bulletins.
 
   (f) Included in the consumptive use data for the delta lowlands
published by the department in its hydrologic data bulletins.
 
   (g) 
    (e   )  Included in annual reports filed with a
court or the board by a watermaster appointed by a court or pursuant
to statute to administer a final judgment determining rights to
water, which reports identify the persons who have diverted water and
give the general place of use and the quantity of water 
which   that  has been diverted from each source.

   (h) 
    (f)  For use in compliance with  the provisions
of  Article 2.5 (commencing with Section 1226)  or
Article 2.7 (commencing with Section 1228)  of Chapter 1 of Part
2  of this division  . 
   (g) A diversion that occurs before January 1, 2009, if any of the
following applies:  
   (1) The diversion is from a spring that does not flow off the
property on which it is located, and the person's aggregate
diversions exceed 25 acre-feet in any year.  
   (2) The diversion is covered by an application to appropriate
water on file with the board.  
   (3) The diversion is reported by the department in its hydrologic
data bulletins.  
   (4) The diversion is included in the consumptive use data for the
Delta lowlands published by the department in its hydrologic data
bulletins. 
  SEC. 61.  Section 5103 of the Water Code is amended to read:
   5103.  Each statement shall be prepared on a form provided by the
board. The statement shall include all of the following information:
   (a) The name and address of the person who diverted water and of
the person filing the statement.
   (b) The name of the stream or other source from which water was
diverted, and the name of the next major stream or other body of
water to which the source is tributary.
   (c) The place of diversion.  If a public land survey has
been made, location of   The location of the 
diversion works shall be  described   depicted
on a specific United States Geological Survey topographic map, or
shall be identified using the California Coordinate System, or
latitude and longitude measurements. If
                   assigned, the public land description  to the
nearest 40-acre subdivision . If not, it shall be described
by reference to nearest local landmarks or other recorded surveys
  and the assessor's parcel number shall a  
lso   be   provided  .
   (d) The capacity of the diversion works and of the storage
reservoir, if any, and the months in which water was used during the
preceding calendar year.
   (e) (1) On and after January 1, 2012, monthly records of water
diversions. The measurements of the diversion shall be made using
best available technologies and best professional practices. Nothing
in this paragraph shall be construed to require the implementation of
technologies or practices  that are   by a
person who provides to the board documentation demonstrating that the
implementation of those practices is  not locally cost
effective. 
   (2) Paragraph (1) does not apply to a surface water diversion with
a combined diversion capacity from a natural channel that is less
than 50 cubic feet per second or to diverters using siphons in the
tidal zone.  
   (3) 
    (2)  (A) The terms of, and eligibility for, any grant or
loan awarded or administered by the department, the board, or the
California Bay-Delta Authority  or its successor  on behalf
of a person that is subject to paragraph (1) shall be conditioned on
compliance with that paragraph.
   (B) Notwithstanding subparagraph (A), the board may determine that
a person is eligible for a grant or loan even though the person is
not complying with paragraph (1), if both of the following apply:
   (i) The board determines that the grant or loan will assist the
grantee or loan recipient in complying with paragraph (1).
   (ii) The person has submitted to the board a one-year schedule for
complying with paragraph (1).
   (C) It is the intent of the Legislature that the requirements of
this subdivision shall complement and not affect the scope of
authority granted to the board by provisions of law other than this
article. 
   (f) For persons not subject to paragraph (1) of subdivision (e), a
description of the acreage of each crop irrigated, the average
number of people served with water, the average number of stock
watered, and the nature and extent of any other use during the
preceding calendar year, or other equivalent information that
indicates the quantity of water used as may be prescribed by the
board. Those who maintain water measuring devices and keep monthly
records of water diversions shall state the quantity of water
diverted by months during the preceding calendar year. 

   (g) 
    (f)  The purpose of use. 
   (h) 
    (g)  A general description of the area in which the
water was used.  If the water was used on an area within the
  1/16   section containing the
point of diversion, a statement to that effect will suffice;
otherwise a description or sketch of the general area of use shall be
given.   The location of the place of use shall be
depicted on a specific United States Geological Survey topographic
map and on any other maps with identifiable landmarks. If assigned,
the public land description to the nearest 40-acre subdivision and
the assessor's parcel number shall also be provided.  
   (i) 
    (h)  The year in which the diversion was commenced as
near as is known.
  SEC. 62.  Section 5106 of the Water Code is amended to read:
   5106.  (a) Neither the statements submitted under this part nor
the determination of facts by the board pursuant to Section 5105
shall establish or constitute evidence of a right to divert or use
water.
   (b) (1) The board may rely on the names and addresses included in
statements submitted under this part for the purpose of determining
the names and addresses of persons who are to receive notices with
regard to proceedings before the board.
   (2) Notwithstanding paragraph (1), any person may submit, in
writing, a request to the board to provide notification to a
different address, and the board shall provide the notification to
that address.
   (3) If the board provides notice to persons who file statements
under this part, the notice shall not be determined to be inadequate
on the basis that notice was not received by a person, other than a
party to whom the board's action is directed, who fails to file a
statement required to be filed under this part.
   (4) This subdivision does not affect the requirement in Section
2527 to provide notice to all persons who own land that appears to be
riparian to the stream system.
   (c) In any proceeding before the board to determine whether an
application for a permit to appropriate water should be approved, any
statement submitted under this part or determination by the board
pursuant to Section 5105 is evidence of the facts stated therein.

   (d) (1) In any proceeding before the board in which it is alleged
that an appropriative right has ceased or is subject to forfeiture
for nonuse because water has not been put to beneficial use, there
shall be a rebuttable presumption that no use required to be included
in a statement submitted under this part occurred unless that use is
included in a statement submitted under this part and that the
statement is submitted within six months after it is required to be
filed with the board.  
   (2) Paragraph (1) does not apply to any use that occurred before
January 1, 2009. 
  SEC. 63.  Section 5107 of the Water Code is amended to read:
   5107.  (a) The making of any willful misstatement pursuant to this
part is a misdemeanor punishable by a fine not exceeding one
thousand dollars ($1,000) or by imprisonment in the county jail for
not to exceed six months, or both.
   (b) Any person who  fails to file a statement required to be
filed under this part for a diversion or use that occurs after
January 1, 2009, who tampers with any measuring device, or  
who  makes a material misstatement pursuant to this part may be
liable civilly as provided in  subdivision (c) 
 subdivisions (c) and (d)  . 
   (c) Civil liability may be administratively imposed by the board
pursuant to Section 1055 in an amount not to exceed the following
amounts:  
   (1) For failure to file a statement, one thousand dollars
($1,000), plus five hundred dollars ($500) per day for each
additional day on which the violation continues if the person fails
to file a statement within 30 days after the board has called the
violation to the attention of that person.  
   (2) For a violation resulting from a physical malfunction of a
measuring device not caused by the person or any other unintentional
misstatement, two hundred fifty dollars ($250), plus two hundred
fifty dollars ($250) per day for each additional day on which the
measuring device continues to malfunction or the misstatement is not
corrected if the person fails to correct or repair the measuring
device or correct the misstatement within 60 days after the board has
called the malfunction or violation to the attention of that person.
 
   (3) For knowingly tampering with any measuring device or knowingly
making a material misstatement in a statement filed under this part,
twenty-five thousand dollars ($25,000), plus one thousand dollars
($1,000) for each day on which the violation continues if the person
fails to correct the violation within 30 days after the board has
called the violation to the attention of that person.  
   (4) For any other violation, five hundred dollars ($500), plus two
hundred fifty dollars ($250) for each additional day on which the
violation continues if the person fails to correct the violation
within 30 days after the board has called the violation to the
attention of that person.  
   (d) When an additional penalty may be imposed under subdivision
(c) for failure to correct a violation or correct or repair a
malfunctioning measuring device within a specified period after the
violation has been called to a person's attention by the board, the
board, for good cause, may provide for a longer period for correction
of the problem, and the additional penalty shall not apply if the
violation is corrected within the period specified by the board.
 
   (c) Civil liability may be administratively imposed by the board
pursuant to Section 1055 in an amount not to exceed five hundred
dollars ($500) for each violation. 
    (e)    In determining the appropriate amount,
the board shall consider all relevant circumstances, including, but
not limited to, all of the following factors:
   (1) The extent of harm caused by the violation.
   (2) The nature and persistence of the violation.
   (3) The length of time over which the violation occurs.
   (4) Any corrective action undertaken by the violator. 
   (d) 
    (f)  All funds recovered pursuant to this section shall
be deposited in the Water Rights Fund established pursuant to Section
1550. 
   (g) Remedies under this section are in addition to, and do not
supersede or limit, any other remedies, civil or criminal. 
  SEC. 64.  Section 5108 of the Water Code is repealed. 
   5108.  Statements filed pursuant to this part shall be for
informational purposes only, and neither the failure to file a
statement nor any error in the information filed shall have any legal
consequences whatsoever other than those specified in this part.

  SEC. 65.  Part 2.55 (commencing with Section 10608) is added to
Division 6 of the Water Code, to read:

      PART 2.55.  SUSTAINABLE WATER USE AND DEMAND REDUCTION


      CHAPTER 1.  GENERAL DECLARATIONS AND POLICY


   10608.  The Legislature finds and declares all of the following:
   (a) Water is a public resource that the California Constitution
protects against waste and unreasonable use.
   (b) Growing population, climate change, and the need to protect
and grow California's economy while protecting and restoring our fish
and wildlife habitats make it essential that the state manage its
water resources as efficiently as possible.
   (c) Diverse regional water supply portfolios will increase water
supply reliability and reduce dependence on the Delta.
   (d) Reduced water use through conservation provides significant
energy and environmental benefits, and can help protect water
quality, improve streamflows, and reduce greenhouse gas emissions.
   (e) The success of state and local water conservation programs to
increase efficiency of water use is best determined on the basis of
measurable outcomes related to water use or efficiency.
   (f) Improvements in technology and management practices offer the
potential for increasing water efficiency in California over time,
providing an essential water management tool to meet the need for
water for urban, agricultural, and environmental uses.
   (g) The Governor has called for a 20 percent per capita reduction
in urban water use statewide by 2020.
   (h) The factors used to formulate water use efficiency targets can
vary significantly from location to location based on factors
including weather, patterns of urban and suburban development, and
past efforts to enhance water use efficiency.
   (i) Per capita water use is a valid measure of a water provider's
efforts to reduce urban water use within its service area. However,
per capita water use is less useful for measuring relative water use
efficiency between different water providers. Differences in weather,
historical patterns of urban and suburban development, and density
of housing in a particular location need to be considered when
assessing per capita water use as a measure of efficiency.
   10608.4.  It is the intent of the Legislature, by the enactment of
this part, to do all of the following:
   (a) Require all water suppliers to increase the efficiency of use
of this essential resource.
   (b) Establish a framework to meet the state targets for urban
water conservation identified in this part and called for by the
Governor.
   (c) Measure increased efficiency of urban water use on a per
capita basis.
   (d) Establish a method or methods for urban retail water suppliers
to determine targets for achieving increased water use efficiency by
the year 2020, in accordance with the Governor's goal of a
20-percent reduction.
   (e) Establish consistent water use efficiency planning and
implementation standards for urban water suppliers and agricultural
water suppliers.
   (f) Promote urban water conservation standards that are consistent
with the California Urban Water Conservation Council's adopted best
management practices and the requirements for demand management in
Section 10631.
   (g) Establish standards that recognize and provide credit to water
suppliers that made substantial capital investments in urban water
conservation since the drought of the early 1990s.
   (h) Recognize and account for the investment of urban retail water
suppliers in providing recycled water for beneficial uses.
   (i) Require implementation of specified efficient water management
practices for agricultural water suppliers.
   (j) Support the economic productivity of California's
agricultural, commercial, and industrial sectors.
   (k) Advance regional water resources management.
   10608.8.  (a) (1) Water use efficiency measures adopted and
implemented pursuant to this part or Part 2.8 (commencing with
Section 10800) are water conservation measures subject to the
protections provided under Section 1011.
   (2) An urban retail water supplier's failure to meet the per
capita targets established in Section 10608.20 ____. This paragraph
does not limit the use of data reported to the department or the
board in litigation or an administrative proceeding.
   (3) To the extent feasible, the department and the board shall
provide for the use of water conservation reports required under this
part to meet the requirements of Section 1011 for water conservation
reporting.
   (b) This part does not limit or otherwise affect the application
of Chapter 3.5 (commencing with Section 11340), Chapter 4 (commencing
with Section 11370), Chapter 4.5 (commencing with Section 11400),
and Chapter 5 (commencing with Section 11500) of Part 1 of Division 3
of Title 2 of the Government Code.
   (c) This part does not require a reduction in the total water used
in the agricultural or urban sectors, because other factors,
including, but not limited to, changes in agricultural economics or
population growth may have greater effects on water use. This part
does not limit the economic productivity of California's
agricultural, commercial, or industrial sectors.
   (d) The requirements of this part do not apply to an agricultural
water supplier that is a party to the Quantification Settlement
Agreement, as defined in subdivision (a) of Section 1 of Chapter 617
of the Statutes of 2002, during the period within which the
Quantification Settlement Agreement remains in effect. After the
expiration of the Quantification Settlement Agreement, to the extent
conservation water projects implemented as part of the Quantification
Settlement Agreement remain in effect, the conserved water created
as part of those projects shall be credited against the obligations
of the agricultural water supplier pursuant to this part.
      CHAPTER 2.  DEFINITIONS


   10608.12.  Unless the context otherwise requires, the following
definitions govern the construction of this part:
   (a) "Agricultural water supplier" means a water supplier, either
publicly or privately owned, providing water to 10,000 or more
irrigated acres, excluding recycled water. "Agricultural water
supplier" includes a supplier or contractor for water, regardless of
the basis of right, that distributes or sells water for ultimate
resale to customers.
   (b) "Base daily per capita water use" means any of the following:
   (1) The urban retail water supplier's estimate of its average
gross water use, reported in gallons per capita per day and
calculated over a continuous 10-year period ending no earlier than
December 31, 2004, and no later than December 31, 2010.
   (2) For an urban retail water supplier that meets at least 10
percent of its 2008 measured retail water demand through recycled
water that is delivered within the service area of an urban retail
water supplier or its urban wholesale water supplier, the urban
retail water supplier may extend the calculation described in
paragraph (1) up to an additional five years to a maximum of a
continuous 15-year period ending no earlier than December 31, 2004,
and no later than December 31, 2010.
   (3) For the purposes of Section 10608.22, the urban retail water
supplier's estimate of its average gross water use, reported in
gallons per capita per day and calculated over a continuous five-year
period ending no earlier than December 31, 2007, and no later than
December 31, 2010.
   (c) "Baseline commercial, industrial, and institutional water use"
means an urban retail water supplier's base daily per capita water
use for commercial, industrial, and institutional users.
   (d) "Commercial water user" means a water user that provides or
distributes a product or service.
   (e) "Compliance daily per capita water use" means the gross water
use during the final year of the reporting period, reported in
gallons per capita per day.
   (f) "Disadvantaged community" means a community with an annual
median household income that is less than 80 percent of the statewide
annual median household income.
   (g) "Gross water use" means the total volume of water, whether
treated or untreated, entering the distribution system of an urban
retail water supplier, excluding all of the following:
   (1) Recycled water that is delivered within the service area of an
urban retail water supplier or its urban wholesale water supplier.
   (2) The net volume of water that the urban retail water supplier
places into long-term storage.
   (3) The volume of water the urban retail water supplier conveys
for use by another urban water supplier.
   (4) The volume of water delivered for agricultural use, except as
otherwise provided in subdivision (f) of Section 10608.24.
   (h) "Industrial water user" means a water user that is primarily a
manufacturer or processor of materials as defined by the North
American Industry Classification System code sectors 31 to 33,
inclusive.
   (i) "Institutional water user" means a water user dedicated to
public service. This type of user includes, among other users, higher
education institutions, schools, courts, churches, hospitals, and
government facilities.
   (j) "Interim urban water use target" means the midpoint between
the urban retail water supplier's base daily per capita water use and
the urban retail water supplier's urban water use target for 2020.
   (k) "Locally cost effective" means that the present value of the
local benefits of implementing an agricultural efficiency water
management practice is greater than or equal to the present value of
the local cost of implementing that measure.
   (l) "Process water" means water used for producing a product or
product content, including, but not limited to, continuous
manufacturing processes. Process water uses include, but are not
limited to, water used for testing and maintaining equipment used in
producing a product or product content, and water used in combined
heat and power facilities used in producing a product or product
content. Process water does not mean incidental water uses not
related to the production of a product or product content, including,
but not limited to, water used for restrooms, landscaping, air
conditioning, heating, kitchens, and laundry.
   (m) "Recycled water" means recycled water, as defined in
subdivision (n) of Section 13050, that is used to offset potable
demand, including recycled water supplied for direct use and indirect
potable reuse, that meets the following requirements, where
applicable:
   (1) For groundwater recharge, including recharge through spreading
basins, water supplies that are all of the following:
   (A) Metered.
   (B) Developed through planned investment by the urban water
supplier or a wastewater treatment agency.
   (C) Treated to a minimum tertiary level.
   (D) Delivered within the service area of an urban retail water
supplier or its urban wholesale water supplier that helps an urban
retail water supplier meet its urban water use target.
   (2) For reservoir augmentation, water supplies that meet the
criteria of paragraph (1) and are conveyed through a distribution
system constructed specifically for recycled water.
   (n) "Regional water resources management" means sources of supply
resulting from watershed-based planning for sustainable local water
reliability or any of the following alternative sources of water:
   (1) The capture and reuse of stormwater or rainwater.
   (2) The use of recycled water.
   (3) The desalination of brackish groundwater.
   (4) The conjunctive use of surface water and groundwater in a
manner that is consistent with the safe yield of the groundwater
basin.
   (o) "Reporting period" means the years for which an urban retail
water supplier reports compliance with the urban water use targets.
   (p) "Urban retail water supplier" means a water supplier, either
publicly or privately owned, that directly provides potable municipal
water to more than 3,000 end users or that supplies more than 3,000
acre-feet of potable water annually at retail for municipal purposes.

   (q) "Urban water use target" means the urban retail water supplier'
s targeted future daily per capita water use.
   (r) "Urban wholesale water supplier," means a water supplier,
either publicly or privately owned, that provides more than 3,000
acre-feet of water annually at wholesale for potable municipal
purposes.
      CHAPTER 3.  URBAN RETAIL WATER SUPPLIERS


   10608.16.  (a) The state shall achieve a 20-percent reduction in
urban per capita water use in California on or before December 31,
2020.
   (b) The state shall make incremental progress towards the state
target specified in subdivision (a) by reducing urban per capita
water use by at least 10 percent on or before December 31, 2015.
   10608.20.  (a) (1) Each urban retail water supplier shall develop
urban water use targets and an interim urban water use target by July
1, 2011. Urban retail water suppliers may elect to determine and
report progress toward achieving these targets on an individual or
regional basis, as provided in subdivision (a) of Section 10608.28,
and may determine the targets on a fiscal year or calendar year
basis.
   (2) It is the intent of the Legislature that the urban water use
targets described in subdivision (a) cumulatively result in a
20-percent reduction from the baseline daily per capita water use by
December 31, 2020.
   (b) An urban retail water supplier shall adopt one of the
following methods for determining its urban water use target pursuant
to subdivision (a):
   (1) Eighty percent of the urban retail water supplier's baseline
per capita daily water use.
   (2) The per capita daily water use that is estimated using the sum
of the following performance standards:
   (A) For indoor residential water use, 55 gallons per capita daily
water use as a provisional standard. Upon completion of the
department's 2016 report to the Legislature pursuant to Section
10608.42, this standard may be adjusted by the Legislature by
statute.
   (B) For landscape irrigated through dedicated or residential
meters or connections, water efficiency equivalent to the standards
of the Model Water Efficient Landscape Ordinance set forth in Chapter
2.7 (commencing with Section 490) of Division 2 of Title 23 of the
California Code of Regulations, as in effect the later of the year of
the landscape's installation or 1992. An urban retail water supplier
using the approach specified in this subparagraph shall use
satellite imagery, site visits, or other best available technology to
develop an accurate estimate of landscaped areas.
   (C) For commercial, industrial, and institutional uses, a
10-percent reduction in water use from the baseline commercial,
industrial, and institutional water use by 2020.
   (3) Ninety-five percent of the applicable state hydrologic region
target, as set forth in the state's draft 20x2020 Water Conservation
Plan (dated April 30, 2009). If the service area of an urban water
supplier includes more than one hydrologic region, the supplier shall
apportion its service area to each region based on population or
area.
   (4) A method that shall be identified and developed by the
department, through a public process, and reported to the Legislature
no later than December 31, 2010. The method developed by the
department shall identify per capita targets that cumulatively result
in a statewide 20 percent reduction in urban daily per capita water
use by December 31, 2020. If the department does not adopt a method
pursuant to this paragraph, the urban retail water supplier shall
adopt a method described in paragraph (1), (2), or (3). In developing
urban daily per capita water use targets, the department shall do
all of the following:
   (A) Consider climatic differences within the state.
   (B) Consider population density differences within the state.
   (C) Provide flexibility to communities and regions in meeting the
targets.
   (D) Consider different levels of per capita water use according to
plant water needs in different regions.
   (E) Consider different levels of commercial, industrial, and
institutional water use in different regions of the state.
   (F) Avoid placing an undue hardship on communities that have
implemented conservation measures or taken actions to keep per capita
water use low.
   (c) The department shall update the method described in paragraph
(4) of subdivision (b) and report to the Legislature by December 31,
2014. An urban retail water supplier that adopted the method
described in paragraph (4) of subdivision (b) may adopt a new urban
daily per capita water use target pursuant to this updated method.
                                  (d) An urban retail water supplier
shall include in its urban water management plan required pursuant to
Part 2.6 (commencing with Section 10610) due in 2010 the baseline
daily per capita water use, urban water use target, interim urban
water use target, and compliance daily per capita water use, along
with the bases for determining those estimates, including references
to supporting data.
   (e) When calculating per capita values for the purposes of this
chapter, an urban retail water supplier shall determine population
using federal, state, and local population reports and projections.
   (f) An urban retail water supplier may update its 2020 urban water
use target in its 2015 urban water management plan required pursuant
to Part 2.6 (commencing with Section 10610).
   (g) (1) The department, through a public process and in
consultation with the California Urban Water Conservation Council,
shall develop technical methodologies and criteria for the consistent
implementation of this part, including, but not limited to, both of
the following:
   (A) Methodologies for calculating base daily per capita water use,
baseline commercial, industrial, and institutional water use,
compliance daily per capita water use, gross water use, service area
population, indoor residential water use, and landscaped area water
use.
    (B) Criteria for adjustments pursuant to subdivisions (d) and (e)
of Section 10608.24.
   (2) The department shall post the methodologies and criteria
developed pursuant to this subdivision on its Internet Web site, and
make written copies available, by October 1, 2010. An urban retail
water supplier shall use the methods developed by the department in
compliance with this part.
   (h) (1) The department shall adopt regulations for implementation
of the provisions relating to process water in accordance with
subdivision (l) of Section 10608.12, subdivision (e) of Section
10608.24, and subdivision (d) of Section 10608.26.
   (2) The initial adoption of a regulation authorized by this
subdivision is deemed to address an emergency, for purposes of
Sections 11346.1 and 11349.6 of the Government Code, and the
department is hereby exempted for that purpose from the requirements
of subdivision (b) of Section 11346.1 of the Government Code. After
the initial adoption of an emergency regulation pursuant to this
subdivision, the department shall not request approval from the
Office of Administrative Law to readopt the regulation as an
emergency regulation pursuant to Section 11346.1 of the Government
Code.
   (i) An urban retail water supplier shall be granted an extension
to July 1, 2011, for adoption of an urban water management plan
pursuant to Part 2.6 (commencing with Section 10610) due in 2010 to
allow use of technical methodologies developed by the department
pursuant to paragraph (4) of subdivision (b) and subdivision (g). An
urban retail water supplier that adopts an urban water management
plan due in 2010 that does not use the methodologies developed by the
department pursuant to subdivision (g) shall amend the plan by July
1, 2011, to comply with this part.
   10608.22.  Notwithstanding the method adopted by an urban retail
water supplier pursuant to Section 10608.20, an urban retail water
supplier's per capita daily water use reduction shall be no less than
5 percent of base daily per capita water use as defined in paragraph
(3) of subdivision (b) of Section 10608.12. This section does not
apply to an urban retail water supplier with a base daily per capita
water use at or below 100 gallons per capita per day.
   10608.24.  (a) Each urban retail water supplier shall meet its
interim urban water use target by December 31, 2015.
   (b) Each urban retail water supplier shall meet its urban water
use target by December 31, 2020.
   (c) An urban retail water supplier's compliance daily per capita
water use shall be the measure of progress toward achievement of its
urban water use target.
   (d) (1) When determining compliance daily per capita water use, an
urban retail water supplier may consider the following factors:
   (A) Differences in evapotranspiration and rainfall in the baseline
period compared to the compliance reporting period.
   (B) Substantial changes to commercial or industrial water use
resulting from increased business output and economic development
that have occurred during the reporting period.
   (C) Substantial changes to institutional water use resulting from
fire suppression services or other extraordinary events, or from new
or expanded operations, that have occurred during the reporting
period.
   (2) If the urban retail water supplier elects to adjust its
estimate of compliance daily per capita water use due to one or more
of the factors described in paragraph (1), it shall provide the basis
for, and data supporting, the adjustment in the report required by
Section 10608.40.
   (e) When developing the urban water use target pursuant to Section
10608.20, an urban retail water supplier that has a substantial
percentage of industrial water use in its service area, may exclude
process water from the calculation of gross water use to avoid a
disproportionate burden on another customer sector.
   (f) (1) An urban retail water supplier that includes agricultural
water use in an urban water management plan pursuant to Part 2.6
(commencing with Section 10610) may include the agricultural water
use in determining gross water use. An urban retail water supplier
that includes agricultural water use in determining gross water use
and develops its urban water use target pursuant to paragraph (2) of
subdivision (b) of Section 10608.20 shall use a water efficient
standard for agricultural irrigation of 100 percent of reference
evapotranspiration multiplied by the crop coefficient for irrigated
acres.
   (2) An urban retail water supplier, that is also an agricultural
water supplier, is not subject to the requirements of Chapter 4
(commencing with Section 10608.48), if the agricultural water use is
incorporated into its urban water use target pursuant to paragraph
(1).
   10608.26.  (a) In complying with this part, an urban retail water
supplier shall conduct at least one public hearing to accomplish all
of the following:
   (1) Allow community input regarding the urban retail water
supplier's implementation plan for complying with this part.
   (2) Consider the economic impacts of the urban retail water
supplier's implementation plan for complying with this part.
   (3) Adopt a method, pursuant to subdivision (b) of Section
10608.20, for determining its urban water use target.
   (b) In complying with this part, an urban retail water supplier
may meet its urban water use target through efficiency improvements
in any combination among its customer sectors. An urban retail water
supplier shall avoid placing a disproportionate burden on any
customer sector.
   (c) For an urban retail water supplier that supplies water to a
United States Department of Defense military installation, the urban
retail water supplier's implementation plan for complying with this
part shall consider the United States Department of Defense military
installation's requirements under federal Executive Order 13423.
   (d) (1) An urban retail water supplier shall not require customers
existing on January 1, 2010, to undertake changes in product
formulation, operations, or equipment that would reduce process water
use, but may provide technical assistance and financial incentives
to those customers to implement efficiency measures for process
water.
   (2) This part shall not be construed or enforced so as to
interfere with the requirements of Chapter 4 (commencing with Section
113980) to Chapter 13 (commencing with Section 114380), inclusive,
of Part 7 of Division 104 of the Health and Safety Code, or any
requirement or standard for the protection of public health, public
safety, or worker safety established by federal, state, or local
government or recommended by recognized standard setting
organizations or trade associations.
   10608.28.  (a) An urban retail water supplier may meet its urban
water use target within its retail service area, or through mutual
agreement, by any of the following:
   (1) Through an urban wholesale water supplier.
   (2) Through a regional agency authorized to plan and implement
water conservation, including, but not limited to, an agency
established under the Bay Area Water Supply and Conservation Agency
Act (Division 31 (commencing with Section 81300)).
   (3) Through a regional water management group as defined in
Section 10537.
   (4) By an integrated regional water management funding area.
   (5) By hydrologic region.
   (6) Through other appropriate geographic scales for which
computation methods have been developed by the department.
   (b) A regional water management group, with the written consent of
its member agencies, may undertake any or all planning, reporting,
and implementation functions under this chapter for the member
agencies that consent to those activities. Any data or reports shall
provide information both for the regional water management group and
separately for each consenting urban retail water supplier and urban
wholesale water supplier.
   10608.32.  All costs incurred pursuant to this part by a water
utility regulated by the Public Utilities Commission may be
recoverable in rates subject to review and approval by the Public
Utilities Commission, and may be recorded in a memorandum account and
reviewed for reasonableness by the Public Utilities Commission.
   10608.36.  Urban wholesale water suppliers shall include in the
urban water management plans required pursuant to Part 2.6
(commencing with Section 10610) an assessment of their present and
proposed future measures, programs, and policies to help achieve the
water use reductions required by this part.
   10608.40.  Urban water retail suppliers shall report to the
department on their progress in meeting their urban water use targets
as part of their urban water management plans submitted pursuant to
Section 10631. The data shall be reported using a standardized form
developed pursuant to Section 10608.52.
   10608.42.  The department shall review the 2015 urban water
management plans and report to the Legislature by December 31, 2016,
on progress towards achieving a 20-percent reduction in urban water
use by December 31, 2020. The report shall include recommendations on
changes to water efficiency standards or urban water use targets in
order to achieve the 20-percent reduction and to reflect updated
efficiency information and technology changes.
   10608.43.  The department, in conjunction with the California
Urban Water Conservation Council, by April 1, 2010, shall convene a
representative task force consisting of academic experts, urban
retail water suppliers, environmental organizations, commercial water
users, industrial water users, and institutional water users to
develop alternative best management practices for commercial,
industrial, and institutional users and an assessment of the
potential statewide water use efficiency improvement in the
commercial, industrial, and institutional sectors that would result
from implementation of these best management practices. The
taskforce, in conjunction with the department, shall submit a report
to the Legislature by April 1, 2012, that shall include a review of
multiple sectors within commercial, industrial, and institutional
users and that shall recommend water use efficiency standards for
commercial, industrial, and institutional users among various sectors
of water use. The report shall include, but not be limited to, the
following:
   (a) Appropriate metrics for evaluating commercial, industrial, and
institutional water use.
   (b) Evaluation of water demands for manufacturing processes,
goods, and cooling.
   (c) Evaluation of public infrastructure necessary for delivery of
recycled water to the commercial, industrial, and institutional
sectors.
   (d) Evaluation of institutional and economic barriers to increased
recycled water use within the commercial, industrial, and
institutional sectors.
   (e) Identification of technical feasibility and cost of the best
management practices to achieve more efficient water use statewide in
the commercial, industrial, and institutional sectors that is
consistent with the public interest and reflects past investments in
water use efficiency.
   10608.44.  Each state agency shall reduce water use on facilities
it operates to support urban retail water suppliers in meeting the
target identified in Section 10608.16.
      CHAPTER 4.  AGRICULTURAL WATER SUPPLIERS


   10608.48.  (a) On or before July 31, 2012, an agricultural water
supplier shall implement efficient water management practices
pursuant to subdivisions (b) and (c).
   (b) Agricultural water suppliers shall implement all of the
following critical efficient management practices:
   (1) Measure the volume of water delivered to customers with
sufficient accuracy to comply with subdivision (a) of Section 531.10.

   (2) Adopt a pricing structure for water customers based at least
in part on quantity delivered.
   (c) Agricultural water suppliers shall implement additional
efficient management practices, including, but not limited to,
practices to accomplish all of the following, if the measures are
locally cost effective and technically feasible:
   (1) Facilitate alternative land use for lands with exceptionally
high water duties or whose irrigation contributes to significant
problems, including drainage.
   (2) Facilitate use of available recycled water that otherwise
would not be used beneficially, meets all health and safety criteria,
and does not harm crops or soils.
   (3) Facilitate the financing of capital improvements for on-farm
irrigation systems.
   (4) Implement an incentive pricing structure that promotes one or
more of the following goals:
   (A) More efficient water use at the farm level.
   (B) Conjunctive use of groundwater.
   (C) Appropriate increase of groundwater recharge.
   (D) Reduction in problem drainage.
   (E) Improved management of environmental resources.
   (F) Effective management of all water sources throughout the year
by adjusting seasonal pricing structures based on current conditions.

   (5) Expand line or pipe distribution systems, and construct
regulatory reservoirs to increase distribution system flexibility and
capacity, decrease maintenance, and reduce seepage.
   (6) Increase flexibility in water ordering by, and delivery to,
water customers within operational limits.
   (7) Construct and operate supplier spill and tailwater recovery
systems.
   (8) Increase planned conjunctive use of surface water and
groundwater within the supplier service area.
   (9) Automate canal control structures.
   (10) Facilitate or promote customer pump testing and evaluation.
   (11) Designate a water conservation coordinator who will develop
and implement the water management plan and prepare progress reports.

   (12) Provide for the availability of water management services to
water users. These services may include, but are not limited to, all
of the following:
   (A) On-farm irrigation and drainage system evaluations.
   (B) Normal year and real-time irrigation scheduling and crop
evapotranspiration information.
   (C) Surface water, groundwater, and drainage water quantity and
quality data.
   (D) Agricultural water management educational programs and
materials for farmers, staff, and the public.
   (13) Evaluate the policies of agencies that provide the supplier
with water to identify the potential for institutional changes to
allow more flexible water deliveries and storage.
   (14) Evaluate and improve the efficiencies of the supplier's
pumps.
   (d) Agricultural water suppliers shall include in the agricultural
water management plans required pursuant to Part 2.8 (commencing
with Section 10800) a report on which efficient water management
practices have been implemented and are planned to be implemented, an
estimate of the water use efficiency improvements that have occurred
since the last report, and an estimate of the water use efficiency
improvements estimated to occur five and 10 years in the future. If
an agricultural water supplier determines that an efficient water
management practice is not locally cost effective or technically
feasible, the supplier shall submit information documenting that
determination.
   (e) The data shall be reported using a standardized form developed
pursuant to Section 10608.52.
   (f) An agricultural water supplier may meet the requirements of
subdivisions (d) and (e) by submitting to the department a water
conservation plan submitted to the United States Bureau of
Reclamation that meets the requirements described in Section 10828.
   (g) On or before December 31, 2013, December 31, 2016, and
December 31, 2021, the department, in consultation with the board,
shall submit to the Legislature a report on the agricultural
efficient water management practices that have been implemented and
are planned to be implemented and an assessment of the manner in
which the implementation of those efficient water management
practices has affected and will affect agricultural operations,
including estimated water use efficiency improvements, if any.
   (h) The department may update the efficient water management
practices required pursuant to subdivision (c), in consultation with
the Agricultural Water Management Council, the United States Bureau
of Reclamation, and the board. All efficient water management
practices for agricultural water use pursuant to this chapter shall
be adopted or revised by the department only after the department
conducts public hearings to allow participation of the diverse
geographical areas and interests of the state.
   (i) (1) The department shall adopt regulations that provide for a
range of options that agricultural water suppliers may use or
implement to comply with the measurement requirement in paragraph (1)
of subdivision (b).
   (2) The initial adoption of a regulation authorized by this
subdivision is deemed to address an emergency, for purposes of
Sections 11346.1 and 11349.6 of the Government Code, and the
department is hereby exempted for that purpose from the requirements
of subdivision (b) of Section 11346.1 of the Government Code. After
the initial adoption of an emergency regulation pursuant to this
subdivision, the department shall not request approval from the
Office of Administrative Law to readopt the regulation as an
emergency regulation pursuant to Section 11346.1 of the Government
Code.
      CHAPTER 5.  SUSTAINABLE WATER MANAGEMENT


   10608.50.  (a) The department, in consultation with the board,
shall promote implementation of regional water resources management
practices through increased incentives and removal of barriers
consistent with state and federal law. Potential changes may include,
but are not limited to, all of the following:
   (1) Revisions to the requirements for urban and agricultural water
management plans.
   (2) Revisions to the requirements for integrated regional water
management plans.
   (3) Revisions to the eligibility for state water management grants
and loans.
   (4) Revisions to state or local permitting requirements that
increase water supply opportunities, but do not weaken water quality
protection under state and federal law.
   (5) Increased funding for research, feasibility studies, and
project construction.
   (6) Expanding technical and educational support for local land use
and water management agencies.
   (b) No later than January 1, 2011, and updated as part of the
California Water Plan, the department, in consultation with the
board, and with public input, shall propose new statewide targets, or
review and update existing statewide targets, for regional water
resources management practices, including, but not limited to,
recycled water, brackish groundwater desalination, and infiltration
and direct use of urban stormwater runoff.
      CHAPTER 6.  STANDARDIZED DATA COLLECTION


   10608.52.  (a) The department, in consultation with the board, the
California Bay-Delta Authority or its successor agency, the State
Department of Public Health, and the Public Utilities Commission,
shall develop a single standardized water use reporting form to meet
the water use information needs of each agency, including the needs
of urban water suppliers that elect to determine and report progress
toward achieving targets on a regional basis as provided in
subdivision (a) of Section 10608.28.
   (b) At a minimum, the form shall be developed to accommodate
information sufficient to assess an urban water supplier's compliance
with conservation targets pursuant to Section 10608.24 and an
agricultural water supplier's compliance with implementation of
efficient water management practices pursuant to subdivision (a) of
Section 10608.48. The form shall accommodate reporting by urban water
suppliers on an individual or regional basis as provided in
subdivision (a) of Section 10608.28.
      CHAPTER 7.  FUNDING PROVISIONS


   10608.56.  (a) On and after July 1, 2016, an urban retail water
supplier is not eligible for a water grant or loan awarded or
administered by the state unless the supplier complies with this
part.
   (b) On and after July 1, 2013, an agricultural water supplier is
not eligible for a water grant or loan awarded or administered by the
state unless the supplier complies with this part.
   (c) Notwithstanding subdivision (a), the department shall
determine that an urban retail water supplier is eligible for a water
grant or loan even though the supplier has not met the per capita
reductions required pursuant to Section 10608.24, if the urban retail
water supplier has submitted to the department for approval a
schedule, financing plan, and budget, to be included in the grant or
loan agreement, for achieving the per capita reductions. The supplier
may request grant or loan funds to achieve the per capita reductions
to the extent the request is consistent with the eligibility
requirements applicable to the water funds.
   (d) Notwithstanding subdivision (b), the department shall
determine that an agricultural water supplier is eligible for a water
grant or loan even though the supplier is not implementing all of
the efficient water management practices described in Section
10608.48, if the agricultural water supplier has submitted to the
department for approval a schedule, financing plan, and budget, to be
included in the grant or loan agreement, for implementation of the
efficient water management practices. The supplier may request grant
or loan funds to implement the efficient water management practices
to the extent the request is consistent with the eligibility
requirements applicable to the water funds.
   (e) Notwithstanding subdivision (a), the department shall
determine that an urban retail water supplier is eligible for a water
grant or loan even though the supplier has not met the per capita
reductions required pursuant to Section 10608.24, if the urban retail
water supplier has submitted to the department for approval
documentation demonstrating that its entire service area qualifies as
a disadvantaged community.
   (f) The department shall not deny eligibility to an urban retail
water supplier or agricultural water supplier in compliance with the
requirements of this part and Part 2.8 (commencing with Section
10800), that is participating in a multiagency water project, or an
integrated regional water management plan, developed pursuant to
Section 75026 of the Public Resources Code, solely on the basis that
one or more of the agencies participating in the project or plan is
not implementing all of the requirements of this part or Part 2.8
(commencing with Section 10800).
   10608.60.  (a) It is the intent of the Legislature that funds made
available by Section 75026 of the Public Resources Code should be
expended, consistent with Division 43 (commencing with Section 75001)
of the Public Resources Code and upon appropriation by the
Legislature, for grants to implement this part. In the allocation of
funding, it is the intent of the Legislature that the department give
consideration to disadvantaged communities to assist in implementing
the requirements of this part.
   (b) It is the intent of the Legislature that funds made available
by Section 75041 of the Public Resources Code, should be expended,
consistent with Division 43 (commencing with Section 75001) of the
Public Resources Code and upon appropriation by the Legislature, for
direct expenditures to implement this part.
      CHAPTER 8.  QUANTIFYING AGRICULTURAL WATER USE EFFICIENCY


   10608.64.  The department, in consultation with the Agricultural
Water Management Council, academic experts, and other stakeholders,
shall develop a methodology for quantifying the efficiency of
agricultural water use. Alternatives to be assessed shall include,
but not be limited to, determination of efficiency levels based on
crop type or irrigation system distribution uniformity. On or before
December 31, 2011, the department shall report to the Legislature on
a proposed methodology and a plan for implementation. The plan shall
include the estimated implementation costs and the types of data
needed to support the methodology. Nothing in this section authorizes
the department to implement a methodology established pursuant to
this section.
  SEC. 66.  Section 10631.5 of the Water Code is amended to read:
   10631.5.  (a) (1) Beginning January 1, 2009, the terms of, and
eligibility for, a water management grant or loan made to an urban
water supplier and awarded or administered by the department, state
board, or California Bay-Delta Authority or its successor agency
shall be conditioned on the implementation of the water demand
management measures described in Section 10631, as determined by the
department pursuant to subdivision (b).
   (2) For the purposes of this section, water management grants and
loans include funding for programs and projects for surface water or
groundwater storage, recycling, desalination, water conservation,
water supply reliability, and water supply augmentation. This section
does not apply to water management projects funded by the 
federal  American Recovery and Reinvestment Act of 2009 (Public
Law 111-5).
   (3) Notwithstanding paragraph (1), the department shall determine
that an urban water supplier is eligible for a water management grant
or loan even though the supplier is not implementing all of the
water demand management measures described in Section 10631, if the
urban water supplier has submitted to the department for approval a
schedule, financing plan, and budget, to be included in the
                                   grant or loan agreement, for
implementation of the water demand management measures. The supplier
may request grant or loan funds to implement the water demand
management measures to the extent the request is consistent with the
eligibility requirements applicable to the water management funds.
   (4) (A) Notwithstanding paragraph (1), the department shall
determine that an urban water supplier is eligible for a water
management grant or loan even though the supplier is not implementing
all of the water demand management measures described in Section
10631, if an urban water supplier submits to the department for
approval documentation demonstrating that a water demand management
measure is not locally cost effective. If the department determines
that the documentation submitted by the urban water supplier fails to
demonstrate that a water demand management measure is not locally
cost effective, the department shall notify the urban water supplier
and the agency administering the grant or loan program within 120
days that the documentation does not satisfy the requirements for an
exemption, and include in that notification a detailed statement to
support the determination.
   (B) For purposes of this paragraph, "not locally cost effective"
means that the present value of the local benefits of implementing a
water demand management measure is less than the present value of the
local costs of implementing that measure.
   (b) (1) The department, in consultation with the state board and
the California Bay-Delta Authority or its successor agency, and after
soliciting public comment regarding eligibility requirements, shall
develop eligibility requirements to implement the requirement of
paragraph (1) of subdivision (a). In establishing these eligibility
requirements, the department shall do both of the following:
   (A) Consider the conservation measures described in the Memorandum
of Understanding Regarding Urban Water Conservation in California,
and alternative conservation approaches that provide equal or greater
water savings.
   (B) Recognize the different legal, technical, fiscal, and
practical roles and responsibilities of wholesale water suppliers and
retail water suppliers.
   (2) (A) For the purposes of this section, the department shall
determine whether an urban water supplier is implementing all of the
water demand management measures described in Section 10631 based on
either, or a combination, of the following:
   (i) Compliance on an individual basis.
   (ii) Compliance on a regional basis. Regional compliance shall
require participation in a regional conservation program consisting
of two or more urban water suppliers that achieves the level of
conservation or water efficiency savings equivalent to the amount of
conservation or savings achieved if each of the participating urban
water suppliers implemented the water demand management measures. The
urban water supplier administering the regional program shall
provide participating urban water suppliers and the department with
data to demonstrate that the regional program is consistent with this
clause. The department shall review the data to determine whether
the urban water suppliers in the regional program are meeting the
eligibility requirements.
   (B) The department may require additional information for any
determination pursuant to this section.
   (3) The department shall not deny eligibility to an urban water
supplier in compliance with the requirements of this section that is
participating in a multiagency water project, or an integrated
regional water management plan, developed pursuant to Section 75026
of the Public Resources Code, solely on the basis that one or more of
the agencies participating in the project or plan is not
implementing all of the water demand management measures described in
Section 10631.
   (c) In establishing guidelines pursuant to the specific funding
authorization for any water management grant or loan program subject
to this section, the agency administering the grant or loan program
shall include in the guidelines the eligibility requirements
developed by the department pursuant to subdivision (b).
   (d) Upon receipt of a water management grant or loan application
by an agency administering a grant and loan program subject to this
section, the agency shall request an eligibility determination from
the department with respect to the requirements of this section. The
department shall respond to the request within 60 days of the
request.
   (e) The urban water supplier may submit to the department copies
of its annual reports and other relevant documents to assist the
department in determining whether the urban water supplier is
implementing or scheduling the implementation of water demand
management activities. In addition, for urban water suppliers that
are signatories to the Memorandum of Understanding Regarding Urban
Water Conservation in California and submit biennial reports to the
California Urban Water Conservation Council in accordance with the
memorandum, the department may use these reports to assist in
tracking the implementation of water demand management measures. 

   (f) This section shall remain in effect only until July 1, 2016,
and as of that date is repealed, unless a later enacted statute, that
is enacted before July 1, 2016, deletes or extends that date. 
  SEC. 67.  Part 2.8 (commencing with Section 10800) of Division 6 of
the Water Code is repealed.
  SEC. 68.  Part 2.8 (commencing with Section 10800) is added to
Division 6 of the Water Code, to read:

      PART 2.8.  AGRICULTURAL WATER MANAGEMENT PLANNING


      CHAPTER 1.  GENERAL DECLARATIONS AND POLICY


   10800.  This part shall be known and may be cited as the
Agricultural Water Management Planning Act.
   10801.  The Legislature finds and declares all of the following:
   (a) The waters of the state are a limited and renewable resource.
   (b) The California Constitution requires that water in the state
be used in a reasonable and beneficial manner.
   (c) Urban water districts are required to adopt water management
plans.
   (d) The conservation of agricultural water supplies is of great
statewide concern.
   (e) There is a great amount of reuse of delivered water, both
inside and outside the water service areas.
   (f) Significant noncrop beneficial uses are associated with
agricultural water use, including streamflows and wildlife habitat.
   (g) Significant opportunities exist in some areas, through
improved irrigation water management, to conserve water or to reduce
the quantity of highly saline or toxic drainage water.
   (h) Changes in water management practices should be carefully
planned and implemented to minimize adverse effects on other
beneficial uses currently being served.
   (i) Agricultural water suppliers that receive water from the
federal Central Valley Project are required by federal law to prepare
and implement water conservation plans.
   (j) Agricultural water users applying for a permit to appropriate
water from the board are required to prepare and implement water
conservation plans.
   10802.  The Legislature finds and declares that all of the
following are the policies of the state:
   (a) The conservation of water shall be pursued actively to protect
both the people of the state and the state's water resources.
   (b) The conservation of agricultural water supplies shall be an
important criterion in public decisions with regard to water.
   (c) Agricultural water suppliers shall be required to prepare
water management plans to achieve conservation of water.
      CHAPTER 2.  DEFINITIONS


   10810.  Unless the context otherwise requires, the definitions set
forth in this chapter govern the construction of this part.
   10811.  "Agricultural water management plan" or "plan" means an
agricultural water management plan prepared pursuant to this part.
   10812.  "Agricultural water supplier" has the same meaning as
defined in Section 10608.12.
   10813.  "Customer" means a purchaser of water from a water
supplier who uses water for agricultural purposes.
   10814.  "Person" means any individual, firm, association,
organization, partnership, business, trust, corporation, company,
public agency, or any agency of that entity.
   10815.  "Public agency" means any city, county, city and county,
special district, or other public entity.
   10816.  "Urban water supplier" has the same meaning as set forth
in Section 10617.
   10817.  "Water conservation" means the efficient management of
water resources for beneficial uses, preventing waste, or
accomplishing additional benefits with the same amount of water.
      CHAPTER 3.  AGRICULTURAL WATER MANAGEMENT PLANS



      Article 1.  General Provisions


   10820.  (a) An agricultural water supplier shall prepare and adopt
an agricultural water management plan in the manner set forth in
this chapter on or before December 31, 2012, and shall update that
plan on December 31, 2015, and on or before December 31 every five
years thereafter.
   (b) Every supplier that becomes an agricultural water supplier
after December 31, 2012, shall prepare and adopt an agricultural
water management plan within one year after the date it has become an
agricultural water supplier.
   (c) A water supplier that indirectly provides water to customers
for agricultural purposes shall not prepare a plan pursuant to this
part without the consent of each agricultural water supplier that
directly provides that water to its customers.
   10821.  (a) An agricultural water supplier required to prepare a
plan pursuant to this part shall notify each city or county within
which the supplier provides water supplies that the agricultural
water supplier will be preparing the plan or reviewing the plan and
considering amendments or changes to the plan. The agricultural water
supplier may consult with, and obtain comments from, each city or
county that receives notice pursuant to this subdivision.
   (b) The amendments to, or changes in, the plan shall be adopted
and submitted in the manner set forth in Article 3 (commencing with
Section 10840).

      Article 2.  Contents of Plans


   10825.  (a) It is the intent of the Legislature in enacting this
part to allow levels of water management planning commensurate with
the numbers of customers served and the volume of water supplied.
   (b) This part does not require the implementation of water
conservation programs or practices that are not locally cost
effective.
   10826.  An agricultural water management plan shall be adopted in
accordance with this chapter. The plan shall do all of the following:

   (a) Describe the agricultural water supplier and the service area,
including all of the following:
   (1) Size of the service area.
   (2) Location of the service area and its water management
facilities.
   (3) Terrain and soils.
   (4) Climate.
   (5) Operating rules and regulations.
   (6) Water delivery measurements or calculations.
   (7) Water rate schedules and billing.
   (8) Water shortage allocation policies.
   (b) Describe the quantity and quality of water resources of the
agricultural water supplier, including all of the following:
   (1) Surface water supply.
   (2) Groundwater supply.
   (3) Other water supplies.
   (4) Source water quality monitoring practices.
   (5) Water uses within the agricultural water supplier's service
area, including all of the following:
   (A) Agricultural.
   (B) Environmental.
   (C) Recreational.
   (D) Municipal and industrial.
   (E) Groundwater recharge.
   (F) Transfers and exchanges.
   (G) Other water uses.
   (6) Drainage from the water supplier's service area.
   (7) Water accounting, including all of the following:
   (A) Quantifying the water supplier's water supplies.
   (B) Tabulating water uses.
   (C) Overall water budget.
   (8) Water supply reliability.
   (c) Include an analysis, based on available information, of the
effect of climate change on future water supplies.
   (d) Describe previous water management activities.
   (e) Include in the plan the water use efficiency information
required pursuant to Section 10608.48.
   10827.  Agricultural water suppliers that are members of the
Agricultural Water Management Council, and that submit water
management plans to that council in accordance with the "Memorandum
of Understanding Regarding Efficient Water Management Practices By
Agricultural Water Suppliers In California," dated January 1, 1999,
may submit the water management plans identifying water demand
management measures currently being implemented, or scheduled for
implementation, to satisfy the requirements of Section 10826.
   10828.  (a) Agricultural water suppliers that are required to
submit water conservation plans to the United States Bureau of
Reclamation pursuant to either the Central Valley Project Improvement
Act (Public Law 102-575) or the Reclamation Reform Act of 1982, or
both, may submit those water conservation plans to satisfy the
requirements of Section 10826, if both of the following apply:
   (1) The agricultural water supplier has adopted and submitted the
water conservation plan to the United States Bureau of Reclamation
within the previous four years.
   (2) The United States Bureau of Reclamation has accepted the water
conservation plan as adequate.
   (b) This part does not require agricultural water suppliers that
are required to submit water conservation plans to the United States
Bureau of Reclamation pursuant to either the Central Valley Project
Improvement Act (Public Law 102-575) or the Reclamation Reform Act of
1982, or both, to prepare and adopt water conservation plans
according to a schedule that is different from that required by the
United States Bureau of Reclamation.
   10829.  An agricultural water supplier may satisfy the
requirements of this part by adopting an urban water management plan
pursuant to Part 2.6 (commencing with Section 10610) or by
participation in area wide, regional, watershed, or basinwide water
management planning if those plans meet or exceed the requirements of
this part.

      Article 3.  Adoption and Implementation of Plans


   10840.  Every agricultural water supplier shall prepare its plan
pursuant to Article 2 (commencing with Section 10825).
   10841.  Prior to adopting a plan, the agricultural water supplier
shall make the proposed plan available for public inspection, and
shall hold a public hearing on the plan. Prior to the hearing, notice
of the time and place of hearing shall be published within the
jurisdiction of the publicly owned agricultural water supplier
pursuant to Section 6066 of the Government Code. A privately owned
agricultural water supplier shall provide an equivalent notice within
its service area and shall provide a reasonably equivalent
opportunity that would otherwise be afforded through a public hearing
process for interested parties to provide input on the plan. After
the hearing, the plan shall be adopted as prepared or as modified
during or after the hearing.
   10842.  An agricultural water supplier shall implement the plan
adopted pursuant to this chapter in accordance with the schedule set
forth in its plan, as determined by the governing body of the
agricultural water supplier.
   10843.  (a) An agricultural water supplier shall submit to the
entities identified in subdivision (b) a copy of its plan no later
than 30 days after the adoption of the plan. Copies of amendments or
changes to the plans shall be submitted to the entities identified in
subdivision (b) within 30 days after the adoption of the amendments
or changes.
   (b) An agricultural water supplier shall submit a copy of its plan
and amendments or changes to the plan to each of the following
entities:
   (1) The department.
   (2) Any city, county, or city and county within which the
agricultural water supplier provides water supplies.
   (3) Any groundwater management entity within which jurisdiction
the agricultural water supplier extracts or provides water supplies.
   (4) Any urban water supplier within which jurisdiction the
agricultural water supplier provides water supplies.
   (5) Any city or county library within which jurisdiction the
agricultural water supplier provides water supplies.
   (6) The California State Library.
   (7) Any local agency formation commission serving a county within
which the agricultural water supplier provides water supplies.
   10844.  (a) Not later than 30 days after the date of adopting its
plan, the agricultural water supplier shall make the plan available
for public review on the agricultural water supplier's Internet Web
site.
   (b) An agricultural water supplier that does not have an Internet
Web site shall submit to the department, not later than 30 days after
the date of adopting its plan, a copy of the adopted plan in an
electronic format. The department shall make the plan available for
public review on the department's Internet Web site.
   10845.  (a) The department shall prepare and submit to the
Legislature, on or before December 31, 2013, and thereafter in the
years ending in six and years ending in one, a report summarizing the
status of the plans adopted pursuant to this part.
   (b) The report prepared by the department shall identify the
outstanding elements of any plan adopted pursuant to this part. The
report shall include an evaluation of the effectiveness of this part
in promoting efficient agricultural water management practices and
recommendations relating to proposed changes to this part, as
appropriate.
   (c) The department shall provide a copy of the report to each
agricultural water supplier that has submitted its plan to the
department. The department shall also prepare reports and provide
data for any legislative hearing designed to consider the
effectiveness of plans submitted pursuant to this part.
   (d) This section does not authorize the department, in preparing
the report, to approve, disapprove, or critique individual plans
submitted pursuant to this part.
      CHAPTER 4.  MISCELLANEOUS PROVISIONS


   10850.  (a) Any action or proceeding to attack, review, set aside,
void, or annul the acts or decisions of an agricultural water
supplier on the grounds of noncompliance with this part shall be
commenced as follows:
   (1) An action or proceeding alleging failure to adopt a plan shall
be commenced within 18 months after that adoption is required by
this part.
   (2) Any action or proceeding alleging that a plan, or action taken
pursuant to the plan, does not comply with this part shall be
commenced within 120 days after submitting the plan or amendments to
the plan to entities in accordance with Section 10844 or the taking
of that action.
   (b) In an action or proceeding to attack, review, set aside, void,
or annul a plan, or an action taken pursuant to the plan by an
agricultural water supplier, on the grounds of noncompliance with
this part, the inquiry shall extend only to whether there was a
prejudicial abuse of discretion. Abuse of discretion is established
if the agricultural water supplier has not proceeded in a manner
required by law, or if the action by the agricultural water supplier
is not supported by substantial evidence.
   10851.  The California Environmental Quality Act (Division 13
(commencing with Section 21000) of the Public Resources Code) does
not apply to the preparation and adoption of plans pursuant to this
part. This part does not exempt projects for implementation of the
plan or for expanded or additional water supplies from the California
Environmental Quality Act.
   10852.  An agricultural water supplier is not eligible for a water
grant or loan awarded or administered by the state unless the
supplier complies with this part.
   10853.  No agricultural water supplier that provides water to less
than 25,000 irrigated acres, excluding recycled water, shall be
required to implement the requirements of this part or Part 2.55
(commencing with Section 10608) unless sufficient funding has
specifically been provided to that water supplier for these purposes.

  SEC. 69.  Part 2.11 (commencing with Section 10920) is added to
Division 6 of the Water Code, to read:

      PART 2.11.  GROUNDWATER MONITORING


      CHAPTER 1.  GENERAL PROVISIONS


   10920.  (a) It is the intent of the Legislature that on or before
January 1, 2012, groundwater elevations in all groundwater basins and
subbasins be regularly and systematically monitored locally and that
the resulting groundwater information be made readily and widely
available.
   (b) It is further the intent of the Legislature that the
department continue to maintain its current network of monitoring
wells, including groundwater elevation and groundwater quality
monitoring wells, and that the department continue to coordinate
monitoring with local entities.
   10921.  This part does not require the monitoring of groundwater
elevations in an area that is not within a basin or subbasin.
   10922.  This part does not expand or otherwise affect the powers
or duties of the department relating to groundwater beyond those
expressly granted by this part.
      CHAPTER 2.  DEFINITIONS


   10925.  Unless the context otherwise requires, the definitions set
forth in this section govern the construction of this part.
   (a) "Basin" or "subbasin" means a groundwater basin or subbasin
identified and defined in the department's Bulletin No. 118.
   (b) "Bulletin No. 118" means the department's report entitled
"California's Groundwater: Bulletin 118" updated in 2003, or as it
may be subsequently updated or revised in accordance with Section
12924.
   (c) "Monitoring entity" means a party conducting or coordinating
the monitoring of groundwater elevations pursuant to this part.
   (d) "Monitoring functions" and "groundwater monitoring functions"
means the monitoring of groundwater elevations, the reporting of
those elevations to the department, and other related actions
required by this part.
   (e) "Monitoring groundwater elevations" means monitoring
groundwater elevations, coordinating the monitoring of groundwater
elevations, or both.
   (f) "Voluntary cooperative groundwater monitoring association"
means an association formed for the purposes of monitoring
groundwater elevations pursuant to Section 10935.
      CHAPTER 3.  GROUNDWATER MONITORING PROGRAM


   10927.  Any of the following entities may assume responsibility
for monitoring and reporting groundwater elevations in all or a part
of a basin or subbasin in accordance with this part:
   (a) A watermaster or water management engineer appointed by a
court or pursuant to statute to administer a final judgment
determining rights to groundwater.
   (b) (1) A groundwater management agency with statutory authority
to manage groundwater pursuant to its principal act that is
monitoring groundwater elevations in all or a part of a groundwater
basin or subbasin on or before January 1, 2010.
   (2) A water replenishment district established pursuant to
Division 18 (commencing with Section 60000). This part does not
expand or otherwise affect the authority of a water replenishment
district relating to monitoring groundwater elevations.
   (c) A local agency that is managing all or part of a groundwater
basin or subbasin pursuant to Part 2.75 (commencing with Section
10750) and that was monitoring groundwater elevations in all or a
part of a groundwater basin or subbasin on or before January 1, 2010,
or a local agency or county that is managing all or part of a
groundwater basin or subbasin pursuant to any other legally
enforceable groundwater management plan with provisions that are
substantively similar to those described in that part and that was
monitoring groundwater elevations in all or a part of a groundwater
basin or subbasin on or before January 1, 2010.
   (d) A local agency that is managing all or part of a groundwater
basin or subbasin pursuant to an integrated regional water management
plan prepared pursuant to Part 2.2 (commencing with Section 10530)
that includes a groundwater management component that complies with
the requirements of Section 10753.7.
   (e) A county that is not managing all or a part of a groundwater
basin or subbasin pursuant to a legally enforceable groundwater
management plan with provisions that are substantively similar to
those described in Part 2.75 (commencing with Section 10750).
   (f) A voluntary cooperative groundwater monitoring association
formed pursuant to Section 10935.
   10928.  (a) Any entity described in subdivision (a) or (b) of
Section 10927 that seeks to assume groundwater monitoring functions
in accordance with this part shall notify the department, in writing,
on or before January 1, 2011. The notification shall include all of
the following information:
   (1) The entity's name, address, telephone number, and any other
relevant contact information.
   (2) The specific authority described in Section 10927 pursuant to
which the entity qualifies to assume the groundwater monitoring
functions.
   (3) A map showing the area for which the entity is requesting to
perform the groundwater monitoring functions.
   (4) A statement that the entity will comply with all of the
requirements of this part.
   (b) Any entity described in subdivision (c), (d), (e), or (f) of
Section 10927 that seeks to assume groundwater monitoring functions
in accordance with this part shall notify the department, in writing,
by January 1, 2011. The information provided in the notification
shall include all of the following:
   (1) The entity's name, address, telephone number, and any other
relevant contact information.
   (2) The specific authority described in Section 10927 pursuant to
which the entity qualifies to assume the groundwater monitoring
functions.
   (3) For entities that seek to qualify pursuant to subdivision (c)
or (d) of Section 10927, the notification shall also include a copy
of the current groundwater management plan or the groundwater
component of the integrated regional water management plan, as
appropriate.
   (4) For entities that seek to qualify pursuant to subdivision (f)
of Section 10927, the notification shall include a statement of
intention to meet the requirements of Section 10935.
   (5) A map showing the area for which the entity is proposing to
perform the groundwater monitoring functions.
   (6) A statement that the entity will comply with all of the
requirements of this part.
   (7) A statement describing the ability and qualifications of the
entity to conduct the groundwater monitoring functions required by
this part.
   (c) The department may request additional information that it
deems necessary for the purposes of determining the area that is
proposed to be
monitored or the qualifications of the entity to perform the
groundwater monitoring functions.
   10929.  (a) (1) The department shall review all notifications
received pursuant to Section 10928.
   (2) Upon the receipt of a notification pursuant to subdivision (a)
of Section 10928, the department shall verify that the notifying
entity has the appropriate authority under subdivision (a) or (b) of
Section 10927.
   (3) Upon the receipt of a notification pursuant to subdivision (b)
of Section 10928, the department shall do both of the following:
   (A) Verify that each notification is complete.
   (B) Assess the qualifications of the notifying party.
   (b) If the department has questions about the completeness or
accuracy of a notification, or the qualifications of a party, the
department shall contact the party to resolve any deficiencies. If
the department is unable to resolve the deficiencies, the department
shall notify the party in writing that the notification will not be
considered further until the deficiencies are corrected.
   (c) If the department determines that more than one party seeks to
become the monitoring entity for the same portion of a basin or
subbasin, the department shall consult with the interested parties to
determine which party will perform the monitoring functions. In
determining which party will perform the monitoring functions under
this part, the department shall follow the order in which entities
are identified in Section 10927.
   (d) The department shall advise each party on the status of its
notification within three months of receiving the notification.
   10930.  Upon completion of each review pursuant to Section 10929,
the department shall do both of the following if it determines that a
party will perform monitoring functions under this part:
   (a) Notify the party in writing that it is a monitoring entity and
the specific portion of the basin or subbasin for which it shall
assume groundwater monitoring functions.
   (b) Post on the department's Internet Web site information that
identifies the monitoring entity and the portion of the basin or
subbasin for which the monitoring entity will be responsible.
   10931.  (a) The department shall work cooperatively with each
monitoring entity to determine the manner in which groundwater
elevation information should be reported to the department pursuant
to this part. In determining what information should be reported to
the department, the department shall defer to existing monitoring
programs if those programs result in information that demonstrates
seasonal and long-term trends in groundwater elevations. The
department shall collaborate with the State Department of Public
Health to ensure that the information reported to the department will
not result in the inappropriate disclosure of the physical address
or geographical location of drinking water sources, storage
facilities, pumping operational data, or treatment facilities.
   (b) (1) For the purposes of this part, the department may
recommend improvements to an existing monitoring program, including
recommendations for additional monitoring wells.
   (2) The department may not require additional monitoring wells
unless funds are provided for that purpose.
   10932.  Monitoring entities shall commence monitoring and
reporting groundwater elevations pursuant to this part on or before
January 1, 2012.
   10933.  (a) On or before January 1, 2012, the department shall
commence to identify the extent of monitoring of groundwater
elevations that is being undertaken within each basin and subbasin.
   (b) The department shall prioritize groundwater basins and
subbasins for the purpose of implementing this section. In
prioritizing the basins and subbasins, the department shall, to the
extent data are available, consider all of the following:
   (1) The population overlying the basin or subbasin.
   (2) The rate of current and projected growth of the population
overlying the basin or subbasin.
   (3) The number of public supply wells that draw from the basin or
subbasin.
   (4) The total number of wells that draw from the basin or
subbasin.
   (5) The irrigated acreage overlying the basin or subbasin.
   (6) The degree to which persons overlying the basin or subbasin
rely on groundwater as their primary source of water.
   (7) Any documented impacts on the groundwater within the basin or
subbasin, including overdraft, subsidence, saline intrusion, and
other water quality degradation.
   (8) Any other information determined to be relevant by the
department.
   (c) If the department determines that all or part of a basin or
subbasin is not being monitored pursuant to this part, the department
shall do all of the following:
   (1) Attempt to contact all well owners within the area not being
monitored.
   (2) Determine if there is an interest in establishing any of the
following:
   (A) A groundwater management plan pursuant to Part 2.75
(commencing with Section 10750).
   (B) An integrated regional water management plan pursuant to Part
2.2 (commencing with Section 10530) that includes a groundwater
management component that complies with the requirements of Section
10753.7.
   (C) A voluntary groundwater monitoring association pursuant to
Section 10935.
   (d) If the department determines that there is sufficient interest
in establishing a plan or association described in paragraph (2) of
subdivision (c), or if the county agrees to perform the groundwater
monitoring functions in accordance with this part, the department
shall work cooperatively with the interested parties to comply with
the requirements of this part within two years.
   (e) (1) If the department determines, with regard to a basin or
subbasin, that there is insufficient interest in establishing a plan
or association described in paragraph (2) of subdivision (c), the
department shall notify the county or counties within which the basin
or subbasin is located, in whole or in part, of that determination.
   (2) Any county notified by the department pursuant to paragraph
(1) that there is insufficient interest in establishing a plan or
association described in paragraph (2) of subdivision (c) shall,
within two years of notification by the department, do one of the
following:
   (A) Form or facilitate the formation of a plan or association
described in paragraph (2) of subdivision (c) to perform the
groundwater monitoring functions in accordance with this part.
   (B) Perform the groundwater monitoring functions in accordance
with this part.
   10933.5.  If a county is notified pursuant to subdivision (e) of
Section 10933 and fails to undertake one of the two actions described
in paragraph (2) of subdivision (e) of Section 10933, the county and
the entities described in subdivisions (a) to (d), inclusive, of
Section 10927 shall not be eligible for a water grant or loan awarded
or administered by the state until either of the following occurs:
   (a) The county complies with paragraph (2) of subdivision (e) of
Section 10933.
   (b) One of the entities described in Section 10927, with regard to
that basin or subbasin, agrees to perform groundwater monitoring
functions in accordance with this part.
   10934.  Nothing in this part provides any new or additional
authority to any entity described in Section 10927 to do either of
the following:
   (a) To enter private property without the consent of the property
owner.
   (b) To require a private property owner to submit groundwater
monitoring information to the entity.
   10935.  (a) A voluntary cooperative groundwater monitoring
association may be formed for the purposes of monitoring groundwater
elevations in accordance with this part. The association may be
established by contract, a joint powers agreement, a memorandum of
agreement, or other form of agreement deemed acceptable by the
department.
   (b) Upon notification to the department by one or more entities
that seek to form a voluntary cooperative groundwater monitoring
association, the department shall work cooperatively with the
interested parties to facilitate the formation of the association.
   (c) The contract or agreement shall include all of the following:
   (1) The names of the participants.
   (2) The boundaries of the area covered by the agreement.
   (3) The name or names of the parties responsible for meeting the
requirements of this part.
   (4) The method of recovering the costs associated with meeting the
requirements of this part.
   (5) Other provisions that may be required by the department.
   10936.  Costs incurred by the department pursuant to this chapter
may be funded from unallocated bond revenues pursuant to paragraph
(12) of subdivision (a) of Section 75027 of the Public Resources
Code, to the extent those funds are available for those purposes.
  SEC. 70.  Section 12924 of the Water Code is repealed. 
   12924.  (a) The department shall, in conjunction with other public
agencies, conduct an investigation of the state's groundwater
basins. The department shall identify the state's groundwater basins
on the basis of geological and hydrological conditions and
consideration of political boundary lines whenever practical. The
department shall also investigate existing general patterns of
groundwater pumping and groundwater recharge within such basins to
the extent necessary to identify basins which are subject to critical
conditions of overdraft.
   (b) The department shall report its findings to the Governor and
the Legislature not later than January 1, 1980. 
  SEC. 71.  Section 12924 is added to the Water Code, to read:
   12924.  (a) The department, in conjunction with other public
agencies, shall conduct an investigation of the state's groundwater
basins. The department shall identify the state's groundwater basins
on the basis of geological and hydrological conditions and
consideration of political boundary lines whenever practical. The
department shall also investigate existing general patterns of
groundwater pumping and groundwater recharge within those basins to
the extent necessary to identify basins that are subject to critical
conditions of overdraft.
   (b) The department shall report its findings to the Governor and
the Legislature not later than January 1, 2012, and thereafter in
years ending in 5 or 0.
  SEC. 72.  Division 26.4 (commencing with Section 79400) of the
Water Code is repealed.
  SEC. 73.  Division 35 (commencing with Section 85000) is added to
the Water Code, to read:

      DIVISION 35.  Sacramento-San Joaquin Delta Reform Act of 2009



      PART 1.  General Provisions


      CHAPTER 1.  SHORT TITLE AND LEGISLATIVE FINDINGS


   85000.  This division shall be known, and may be cited, as the
Sacramento-San Joaquin Delta Reform Act of 2009.
   85001.  The Legislature finds and declares all of the following:
   (a) The Sacramento-San Joaquin Delta watershed and California's
water infrastructure are in crisis and existing Delta policies are
not sustainable. Resolving the crisis requires fundamental
reorganization of the state's management of Delta watershed
resources.
   (b) In response to the Delta crisis, the Legislature and the
Governor required development of a new long-term strategic vision for
managing the Delta. The Governor appointed a Blue Ribbon Task Force
to recommend a new "Delta Vision Strategic Plan" to his cabinet
committee, which, in turn, made recommendations for a Delta Vision to
the Governor and the Legislature on January 3, 2009.
   (c) By enacting this division, it is the intent of the Legislature
to provide for the sustainable management of the Sacramento-San
Joaquin Delta ecosystem, to provide for a more reliable water supply
for the state, to protect and enhance the quality of water supply
from the Delta, and to establish a governance structure that will
direct efforts across state agencies to develop a legally enforceable
Delta Plan.
   85002.  The Legislature finds and declares that the Sacramento-San
Joaquin Delta, referred to as "the Delta" in this division, is a
critically important natural resource for California and the nation.
It serves Californians concurrently as both the hub of the California
water system and the most valuable estuary and wetland ecosystem on
the west coast of North and South America.
   85003.  The Legislature finds and declares all of the following:
   (a) Originally, the Delta was a shallow wetland with water
covering the area for many months of the year. Natural levees,
created by deposits of sediment, allowed some islands to emerge
during the dry summer months. Salinity would fluctuate, depending on
the season and the amount of precipitation in any one year, and the
species that comprised the Delta ecosystem had evolved and adapted to
this unique, dynamic system.
   (b) Delta property ownership developed pursuant to the federal
Swamp Land Act of 1850, and state legislation enacted in 1861, and as
a result of the construction of levees to keep previously seasonal
wetlands dry throughout the year. That property ownership, and the
exercise of associated rights, continue to depend on the landowners'
maintenance of those nonproject levees and do not include any right
to state funding of levee maintenance or repair.
   (c) In 1933, the Legislature approved the California Central
Valley Project Act, which relied upon the transfer of Sacramento
River water south through the Delta and maintenance of a more
constant salinity regime by using upstream reservoir releases of
freshwater to create a hydraulic salinity barrier. As a result of the
operations of state and federal water projects, the natural salinity
variations in the Delta have been altered. Restoring a healthy
estuarine ecosystem in the Delta may require developing a more
natural salinity regime in parts of the Delta.
   85004.  The Legislature finds and declares all of the following:
   (a) The economies of major regions of the state depend on the
ability to use water within the Delta watershed or to import water
from the Delta watershed. More than two-thirds of the residents of
the state and more than two million acres of highly productive farm
land receive water exported from the Delta watershed.
   (b) Providing a more reliable water supply for the state involves
implementation of water use efficiency and conservation projects,
wastewater reclamation projects, desalination, and new and improved
infrastructure, including water storage and Delta conveyance
facilities.
      CHAPTER 2.  DELTA POLICY


   85020.  The policy of the State of California is to achieve the
following objectives that the Legislature declares are inherent in
the coequal goals for management of the Delta:
   (a) Manage the Delta's water and environmental resources and the
water resources of the state over the long term.
   (b) Protect and enhance the unique cultural, recreational, and
agricultural values of the California Delta as an evolving place.
   (c) Restore the Delta ecosystem, including its fisheries and
wildlife, as the heart of a healthy estuary and wetland ecosystem.
   (d) Promote statewide water conservation, water use efficiency,
and sustainable water use.
   (e) Improve water quality to protect human health and the
environment consistent with achieving water quality objectives in the
Delta.
   (f) Improve the water conveyance system and expand statewide water
storage.
   (g) Reduce risks to people, property, and state interests in the
Delta by effective emergency preparedness, appropriate land uses, and
investments in flood protection.
   (h) Establish a new governance structure with the authority,
responsibility, accountability, scientific support, and adequate and
secure funding to achieve these objectives.
   85021.  The policy of the State of California is to reduce
reliance on the Delta in meeting California's future water supply
needs through a statewide strategy of investing in improved regional
supplies, conservation, and water use efficiency. Each region that
depends on water from the Delta watershed shall improve its regional
self-reliance for water through investment in water use efficiency,
water recycling, advanced water technologies, local and regional
water supply projects, and improved regional coordination of local
and regional water supply efforts.
   85022.  (a) It is the intent of the Legislature that state and
local land use actions be consistent with the Delta Plan. This
section's findings, policies, and goals apply to Delta land use
planning and development.
   (b) The actions of the council shall be guided by the findings,
policies, and goals expressed in this section when reviewing
decisions of the commission pursuant to Division 19.5 (commencing
with Section 29700) of the Public Resources Code.
   (c) The Legislature finds and declares all of the following:
   (1) The Delta is a distinct and valuable natural resource of vital
and enduring interest to all the people and exists as a delicately
balanced estuary and wetland ecosystem of hemispheric importance.
   (2) The permanent protection of the Delta's natural and scenic
resources is the paramount concern to present and future residents of
the state and nation.
   (3) To promote the public safety, health, and welfare, and to
protect public and private property, wildlife, fisheries, and the
natural environment, it is necessary to protect and enhance the
ecosystem of the Delta and prevent its further deterioration and
destruction.
   (4) Existing developed uses, and future developments that are
carefully planned and developed consistent with the policies of this
division, are essential to the economic and social well-being of the
people of this state and especially to persons living and working in
the Delta.
   (d) The fundamental goals for managing land use in the Delta are
to do all of the following:
   (1) Protect, maintain, enhance, and, where feasible, restore the
overall quality of the Delta environment and its natural and
artificial resources.
   (2) Ensure the utilization and conservation of Delta resources,
taking into account the social and economic needs of the people of
the state.
   (3) Maximize public access to Delta resources and maximize public
recreational opportunities in the Delta consistent with sound
resources conservation principles and constitutionally protected
rights of private property owners.
   (4) Encourage state and local initiatives and cooperation in
preparing procedures to implement coordinated planning and
development for mutually beneficial uses, including educational uses,
in the Delta.
   (5) Develop new or improved aquatic and terrestrial habitat and
protect existing habitats to advance the goal of restoring and
enhancing the Delta ecosystem.
   (6) Improve water quality to protect human health and the
environment consistent with achieving water quality objectives in the
Delta.
   85023.  The longstanding constitutional principle of reasonable
use and the public trust doctrine shall be the foundation of state
water management policy and are particularly important and applicable
to the Delta.
      CHAPTER 3.  MISCELLANEOUS PROVISIONS


   85031.  (a) This division does not diminish, impair, or otherwise
affect in any manner whatsoever any area of origin, watershed of
origin, county of origin, or any other water rights protections,
including, but not limited to, rights to water appropriated prior to
December 19, 1914, provided under the law. This division does not
limit or otherwise affect the application of Article 1.7 (commencing
with Section 1215) of Chapter 1 of Part 2 of Division 2, Sections
10505, 10505.5, 11128, 11460, 11461, 11462, and 11463, and Sections
12200 to 12220, inclusive.
   (b) Nothing in this division supersedes, limits, or otherwise
modifies the applicability of Chapter 10 (commencing with Section
1700) of Part 2 of Division 2, including petitions related to any new
conveyance constructed or operated in accordance with Chapter 2
(commencing with Section 85320) of Part 4.
   (c) Unless otherwise expressly provided, nothing in this division
supersedes, reduces, or otherwise affects existing legal protections,
both procedural and substantive, relating to the board's regulation
of diversion and use of water, including, but not limited to, the
protection provided to municipal interests by Sections 106 and 106.5,
and changes in water rights. Nothing in this division expands or
otherwise alters the board's existing authority to regulate the
diversion and use of water or the courts' existing concurrent
jurisdiction over California water rights.
   85032.  This division does not affect any of the following:
   (a) The Natural Community Conservation Planning Act (Chapter 10
(commencing with Section 2800) of Division 3 of the Fish and Game
Code).
   (b) The California Endangered Species Act (Chapter 1.5 (commencing
with Section 2050) of Division 3 of the Fish and Game Code).
   (c) The Fish and Game Code.
   (d) The Porter-Cologne Water Quality Control Act (Division 7
(commencing with Section 13000).
   (e) Chapter 8 (commencing with Section 12930) of Part 6 of
Division 6.
   (f) The California Environmental Quality Act (Division 13
(commencing with Section 21000) of the Public Resources Code).
   (g) Section 1702.
   (h) The application of the public trust doctrine.
   (i) Any water right.
   (j) The liability of the state for flood protection in the Delta
or its watershed.
   85034.  (a) (1) The council shall administer all contracts,
grants, easements, and agreements made or entered into by the
California Bay-Delta Authority under Division 26.4 (commencing with
Section 79400), as that division read on December 31, 2009.
   (2) The exercise of the authority described in paragraph (1) is
not subject to review or approval by the Department of General
Services.
   (3) A contract, lease, license, or any other agreement to which
the California Bay-Delta Authority is a party is not void or voidable
as a result of the implementation of this subdivision, but shall
continue in full force and effect until the end of its term.
   (b) The council shall be the successor to and shall assume from
the California Bay-Delta Authority all of the administrative rights,
abilities, obligations, and duties of that authority.
   (c) The council shall have possession and control of all records,
papers, equipment, supplies, contracts, leases, agreements, and other
property, real or personal, connected with the administration of
Division 26.4 (commencing with Section 79400), as that division read
on December 31, 2009, or held for the benefit or use of the
California Bay-Delta Authority.
   (d) The council shall assume from the California Bay-Delta
Authority all responsibility to manage, in accordance with Chapter 5
(commencing with Section 85280) of Part 3, the science program
element that was required to be undertaken by Division 26.4
(commencing with Section 79400).
   (e) Consistent with the responsibilities and duties assumed by the
council pursuant to this section, all staff, resources, and funding
within the Natural Resources Agency and the Department of Forestry
and Fire Protection for the support of the CALFED Bay-Delta Program
are hereby transferred to, and may be expended for the purposes of,
the council. The executive officer of the council shall confer with
the Director of Fish and Game, the director of the department, and
the executive director of the board regarding possible reallocation
of the staff and resources. The status, position, and rights of any
officer or employee shall not be affected by this transfer and all
officers and employees shall be retained pursuant to the State Civil
Service Act (Part 2 (commencing with Section 18500) of Division 5 of
Title 2 of the Government Code).
      CHAPTER 4.  DEFINITIONS


   85050.  Unless the context otherwise requires, the definitions set
forth in this chapter govern the construction of this division.
   85051.  "Acquisition" means the acquisition of a fee interest or
any other interest, including easements, leases, and development
rights.
   85052.  "Adaptive management" means a framework and flexible
decisionmaking process for ongoing knowledge acquisition, monitoring,
and evaluation leading to continuous improvement in management
planning and implementation of a project to achieve specified
objectives.
   85053.  "Bay Delta Conservation Plan" or "BDCP" means a
multispecies conservation plan.
   85054.  "Coequal goals" means the two goals of providing a more
reliable water supply for California and protecting, restoring, and
enhancing the Delta ecosystem. The coequal goals shall be achieved in
a manner that protects and enhances the unique cultural,
recreational, natural resource, and agricultural values of the Delta
as an evolving place.
   85055.  "Commission" means the Delta Protection Commission
established in Division 19.5 (commencing with Section 29700) of the
Public Resources Code.
   85056.  "Conservancy" means the Sacramento-San Joaquin Delta
Conservancy established in Section 32320 of the Public Resources
Code.
   85057.  "Council" means the Delta Stewardship Council established
in Section 85200.
   85057.5.  (a) "Covered action" means a plan, program, project, or
activity that meets all of the following conditions:
   (1) Will occur, in whole or in part, within the boundaries of the
Delta or Suisun Marsh.
   (2) Will be carried out, approved, or funded by the state or a
local public agency.
   (3) Is covered by one or more provisions of the Delta Plan.
   (4) Will have a significant impact on achievement of one or both
of the coequal goals or the implementation of government-sponsored
flood control programs to reduce risks to people, property, and state
interests in the Delta.
   (b) "Covered action" does not include any of the following:
   (1) A regulatory action of a state agency.
   (2) Routine maintenance and operation of the State Water Project
or the federal Central Valley Project.
   (3) Regional transportation plans prepared pursuant to Section
65080 of the Government Code.
   (4) Any plan, program, project, or activity within the secondary
zone of the Delta that the applicable metropolitan planning
organization under Section 65080 of the Government Code has
determined is consistent with either a sustainable communities
strategy or an alternative planning strategy that the State Air
Resources Board has determined would, if implemented, achieve the
greenhouse gas emission reduction targets established by that board
pursuant to subparagraph (A) of paragraph (2) of subdivision (b) of
Section 65080 of the Government Code. For purposes of this section,
"consistent with" means consistent with the use designation, density,
                                                 building intensity,
transportation plan, and applicable policies specified for the area
in the sustainable communities strategy or the alternative planning
strategy, as applicable, and any infrastructure necessary to support
the plan, program, project, or activity.
   (5) Routine maintenance and operation of any facility located, in
whole or in part, in the Delta, that is owned or operated by a local
public agency.
   (6) Any plan, program, project, or activity that occurs, in whole
or in part, in the Delta, if both of the following conditions are
met:
   (A) The plan, program, project, or activity is undertaken by a
local public agency that is located, in whole or in part, in the
Delta.
   (B) Either a notice of determination is filed, pursuant to Section
21152 of the Public Resources Code, for the plan, program, project,
or activity by, or the plan, program, project, or activity is fully
permitted by, September 30, 2009.
   85058.  "Delta" means the Sacramento-San Joaquin Delta as defined
in Section 12220 and the Suisun Marsh, as defined in Section 29101 of
the Public Resources Code.
   85059.  "Delta Plan" means the comprehensive, long-term management
plan for the Delta as adopted by the council in accordance with this
division.
   85060.  "Delta watershed" means the Sacramento River Hydrologic
Region and the San Joaquin River Hydrologic Region as described in
the department's Bulletin No. 160-05.
   85064.  "Public water agency" means a public entity, as defined in
Section 514, that provides water service, as defined in Section 515.

   85066.  "Restoration" means the application of ecological
principles to restore a degraded or fragmented ecosystem and return
it to a condition in which its biological and structural components
achieve a close approximation of its natural potential, taking into
consideration the physical changes that have occurred in the past and
the future impact of climate change and sea level rise.
   85067.  "Strategic Plan" means both the "Delta Vision Strategic
Plan" issued by the Delta Vision Blue Ribbon Task Force on October
17, 2008, and the "Delta Vision Implementation Report" adopted by the
Delta Vision Committee and dated December 31, 2008.

      PART 2.  Early Actions


   85080.  The council shall appoint a Delta Independent Science
Board in accordance with Section 85280.
   85082.  The council shall develop and implement a strategy to
appropriately engage participation of the federal agencies with
responsibilities in the Delta. This strategy shall include engaging
these federal agencies to develop the Delta Plan consistent with the
federal Coastal Zone Management Act of 1972 (16 U.S.C. Sec. 1451 et
seq.), the federal Clean Water Act (33 U.S.C. Sec. 1251 et seq.), and
Section 8 of the federal Reclamation Act of 1902.
   85084.  The council shall develop an interim plan that includes
recommendations for early actions, projects, and programs.
   85084.5.  The Department of Fish and Game, in consultation with
the United States Fish and Wildlife Service and the National Marine
Fisheries Service and based on the best available science, shall
develop and recommend to the board Delta flow criteria and
quantifiable biological objectives for aquatic and terrestrial
species of concern dependent on the Delta. The recommendations shall
be developed no later than 12 months after the date of enactment of
this division.
   85085.  The department shall do all of the following:
   (a) Coordinate with the Department of Fish and Game, the board,
the California regional water quality control boards, and the State
Lands Commission efforts to cooperate with the United States Bureau
of Reclamation to construct and implement the Two-Gates Fish
Protection Demonstration Project by December 1, 2010.
   (b) Evaluate the effectiveness of the Three Mile Slough Barrier
project.
   (c) Expeditiously move ahead with other near term actions as
identified in the Strategic Plan.
   (d) Assist in implementing early action ecosystem restoration
projects, including, but not limited to, Dutch Slough tidal marsh
restoration and Meins Island tidal marsh restoration.
   85086.  (a) The board shall establish an effective system of Delta
watershed diversion data collection and public reporting by December
31, 2010.
   (b) It is the intent of the Legislature to establish an
accelerated process to determine instream flow needs of the Delta for
the purposes of facilitating the planning decisions that are
required to achieve the objectives of the Delta Plan.
   (c) (1) For the purpose of informing planning decisions for the
Delta Plan and the Bay Delta Conservation Plan, the board shall,
pursuant to its public trust obligations, develop new flow criteria
for the Delta ecosystem necessary to protect public trust resources.
In carrying out this section, the board shall review existing water
quality objectives and use the best available scientific information.
The flow criteria for the Delta ecosystem shall include the volume,
quality, and timing of water necessary for the Delta ecosystem under
different conditions. The flow criteria shall be developed in a
public process by the board within nine months of the enactment of
this division. The public process shall be in the form of an
informational proceeding conducted pursuant to Article 3 (commencing
with Section 649) of Chapter 1.5 of Division 3 of Title 23 of the
California Code of Regulations, and shall provide an opportunity for
all interested persons to participate. The board shall provide an
opportunity for all interested persons to participate in the
informational proceeding. The flow criteria shall not be considered
predecisional with regard to any subsequent board consideration of a
permit, including any permit in connection with a final BDCP.
   (2) Any order approving a change in the point of diversion of the
State Water Project or the federal Central Valley Project from the
southern Delta to a point on the Sacramento River shall include
appropriate Delta flow criteria and shall be informed by the analysis
conducted pursuant to this section. The flow criteria shall be
subject to modification over time based on a science-based adaptive
management program that integrates scientific and monitoring results,
including the contribution of habitat and other conservation
measures, into ongoing Delta water management.
   (3) Nothing in this section amends or otherwise affects the
application of the board's authority under Part 2 (commencing with
Section 1200) of Division 2 to include terms and conditions in
permits that in its judgment will best develop, conserve, and utilize
in the public interest the water sought to be appropriated.
   (d) The board shall enter into an agreement with the State Water
Project contractors and the federal Central Valley Project
contractors, who rely on water exported from the Sacramento River
watershed, or a joint powers authority comprised of those
contractors, for reimbursement of the costs of the analysis conducted
pursuant to this section.
   (e) The board shall submit its flow criteria determinations
pursuant to this section to the council for its information within 30
days of completing the determinations.
   85087.  The board, by December 31, 2010, shall submit to the
Legislature a prioritized schedule and estimate of costs to complete
instream flow studies for the Delta and for high priority rivers and
streams in the Delta watershed, not otherwise covered by Section
85086, by 2012, and for all major rivers and streams outside the
Sacramento River watershed by 2018. In developing this schedule, the
board shall consult with the Department of Fish and Game as to the
timing of its submission of recommendations for instream flow needs.
   85088.  Until the board issues an order approving a change in the
point of diversion of the State Water Project and the federal Central
Valley Project from the southern Delta to a point on the Sacramento
River as specified in subdivision (c) of Section 85086, the
department shall not commence construction of any diversion,
conveyance, or other facility necessary to divert and convey water
pursuant to the change in point of diversion.
   85089.  Construction of a new Delta conveyance facility shall not
be initiated until the persons or entities that contract to receive
water from the State Water Project and the federal Central Valley
Project or a joint powers authority representing those entities have
made arrangements or entered into contracts to pay for both of the
following:
   (a) The costs of the environmental review, planning, design,
construction, mitigation, and operation and maintenance of any new
Delta water conveyance facility. The costs of mitigation include the
costs of mitigation pursuant to Division 13 (commencing with Section
21000) of the Public Resources Code in connection with the
construction, operation, and maintenance of any new Delta water
conveyance facility.
   (b) Full mitigation of property tax or assessments levied by local
governments or special districts for land used in the construction,
location, mitigation, or operation of new Delta conveyance
facilities.

      PART 3.  DELTA GOVERNANCE


      CHAPTER 1.  DELTA STEWARDSHIP COUNCIL


   85200.  (a) The Delta Stewardship Council is hereby established as
an independent agency of the state.
   (b) (1) The council shall consist of seven members, of which four
members shall be appointed by the Governor and confirmed by the
Senate, one member shall be appointed by the Senate Committee on
Rules, one member shall be appointed by the Speaker of the Assembly,
and one member shall be the Chairperson of the Delta Protection
Commission. Initial appointments to the council shall be made by July
1, 2010.
   (2) No member of the council shall serve two consecutive terms,
but a member may be reappointed after a period of two years following
the end of his or her term, except that those members of the council
that serve an initial term of one or two years may be immediately
appointed to a subsequent full four-year term.
   (c) (1) (A) The initial terms of two of the four members appointed
by the Governor shall be four years:
   (B) The initial terms of two of the four members appointed by the
Governor shall be six years.
   (C) The initial terms of the members appointed by the Senate
Committee on Rules and the Speaker of the Assembly shall be four
years.
   (D) Upon the expiration of each term described in subparagraphs
(A), (B), or (C), the term of each succeeding member shall be four
years.
   (2) The Chairperson of the Delta Protection Commission shall serve
as an ex officio member.
   (d) Any vacancy shall be filled by the appointing authority within
60 days. If the term of a council member expires, and no successor
is appointed within the allotted timeframe, the existing member may
serve up to 180 days beyond the expiration of his or her term.
   (e) The council members shall select a chairperson from among
their members, who shall serve for not more than four years in that
capacity.
   (f) The council shall meet once a month in a public forum. At
least two meetings each year shall take place at a location within
the Delta.
   85201.  The chairperson shall serve full time. Other members shall
serve one-third time. The council may select a vice chairperson and
other officers determined to be necessary.
   (a) Each member of the council shall receive the salary provided
for in Section 11564 of the Government Code.
   (b) The members of the council shall be reimbursed for expenses
necessarily incurred in the performance of official duties.
   (c) The council shall appoint an executive officer who shall serve
full time at the pleasure of the council.
   (d) The executive officer shall hire employees necessary to carry
out council functions.
   (e) The number of employees and qualifications of those employees
shall be determined by the council, subject to the availability of
funds.
   (f) The salary of each employee of the council shall be determined
by the State Personnel Board, and shall reflect the duties and
responsibilities of the position.
   (g) All persons employed by the council are state employees,
subject to the duties, responsibilities, limitations, and benefits of
the state.
   85202.  Council members shall possess diverse expertise and
reflect a statewide perspective.
   85203.  The headquarters of the council shall be located in
Sacramento.
   85204.  The council shall establish and oversee a committee of
agencies responsible for implementing the Delta Plan. Each agency
shall coordinate its actions pursuant to the Delta Plan with the
council and the other relevant agencies.
      CHAPTER 2.  MISSION, DUTIES, AND RESPONSIBILITIES OF THE
COUNCIL


   85210.  The council has all of the following powers:
   (a) To sue or be sued.
   (b) To enter into contracts.
   (c) To employ the services of public, nonprofit, and private
entities.
   (d) To delegate administrative functions to council staff.
   (e) To employ its own legal staff or contract with other state or
federal agencies for legal services, or both. The council may employ
special legal counsel with the approval of the Attorney General.
   (f) To receive funds, including funds from private and local
governmental sources, contributions from public and private sources,
as well as state and federal appropriations.
   (g) To disburse funds through grants, public assistance, loans,
and contracts.
   (h) To request reports from state, federal, and local governmental
agencies on issues related to the implementation of the Delta Plan.
   (i) To adopt regulations or guidelines as needed to carry out the
powers and duties identified in this division.
   (j) To comment on state agency environmental impact reports for
projects outside the Delta that the council determines will have a
significant impact on the Delta.
   (k) To hold hearings in all parts of the state necessary to carry
out the powers vested in it, and for those purposes has the powers
conferred upon the heads of state departments pursuant to Article 2
(commencing with Section 11180) of Chapter 2 of Part 1 of Division 3
of Title 2 of the Government Code. Any hearing by the council may be
conducted by any member of the council, or other designee, upon
authorization of the council, and he or she shall have the powers
granted to the council by this section, provided that any final
action of the council shall be taken by a majority of the members of
the council at a meeting duly called and held.
   85211.  The Delta Plan shall include performance measurements that
will enable the council to track progress in meeting the objectives
of the Delta Plan. The performance measurements shall include, but
need not be limited to, quantitative or otherwise measurable
assessments of the status and trends in all of the following:
   (a) The health of the Delta's estuary and wetland ecosystem for
supporting viable populations of aquatic and terrestrial species,
habitats, and processes, including viable populations of Delta
fisheries and other aquatic organisms.
   (b) The reliability of California water supply imported from the
Sacramento River or the San Joaquin River watershed.
      CHAPTER 3.  CONSISTENCY OF STATE AND LOCAL PUBLIC AGENCY
ACTIONS


   85225.  A state or local public agency that proposes to undertake
a covered action, prior to initiating the implementation of that
covered action, shall prepare a written certification of consistency
with detailed findings as to whether the covered action is consistent
with the Delta Plan and shall submit that certification to the
council.
   85225.5.  To assist state and local public agencies in preparing
the required certification, the council shall develop procedures for
early consultation with the council on the proposed covered action.
   85225.10.  (a) Any person who claims that a proposed covered
action is inconsistent with the Delta Plan and, as a result of that
inconsistency, the action will have a significant adverse impact on
the achievement of one or both of the coequal goals or implementation
of government-sponsored flood control programs to reduce risks to
people and property in the Delta, may file an appeal with regard to a
certification of consistency submitted to the council.
   (b) The appeal shall clearly and specifically set forth the basis
for the claim, including specific factual allegations, that the
covered action is inconsistent with the Delta Plan. The council may
request from the appellant additional information necessary to
clarify, amplify, correct, or otherwise supplement the information
submitted with the appeal, within a reasonable period.
   (c) The council, or by delegation the executive officer, may
dismiss the appeal for failure of the appellant to provide
information requested by the council within the period provided, if
the information requested is in the possession or under the control
of the appellant.
   85225.15.  The appeal shall be filed no later than 30 days after
the submission of the certification of consistency. If no person
appeals the certification of consistency, the state or local public
agency may proceed to implement the covered action.
   85225.20.  The appeal shall be heard by the council within 60 days
of the date of the filing of the appeal, unless the council, or by
delegation the executive officer, determines that the issue raised on
appeal is not within the council's jurisdiction or does not raise an
appealable issue. The council shall make its decision on the appeal
within 60 days of hearing the appeal.
   85225.25.  After a hearing on an appealed action, the council
shall make specific written findings either denying the appeal or
remanding the matter to the state or local public agency for
reconsideration of the covered action based on the finding that the
certification of consistency is not supported by substantial evidence
in the record before the state or local public agency that filed the
certification. Upon remand, the state or local agency may determine
whether to proceed with the covered action. If the agency decides to
proceed with the action or with the action as modified to respond to
the findings of the council, the agency shall, prior to proceeding
with the action, file a revised certification of consistency that
addresses each of the findings made by the council and file that
revised certification with the council.
   85225.30.  The council shall adopt administrative procedures
governing appeals, which shall be exempt from Chapter 3.5 (commencing
with Section 11340) of Part 1 of Division 3 of Title 2 of the
Government Code.
      CHAPTER 4.  DELTA WATERMASTER


   85230.  (a) The board, in consultation with the council, shall
appoint, for a term of four years, a special master for the Delta,
whose title shall be "the Delta Watermaster."
   (b) The board shall adopt internal procedures delegating authority
to the Delta Watermaster. The Delta Watermaster shall exercise the
board's authority to provide timely monitoring and enforcement of
board orders and permit terms and conditions. The Delta Watermaster's
delegated authority shall include authority to require monitoring
and reporting, authority for approvals delegated to an officer or
employee of the board by the terms of a water right permit or
license, authority to approve temporary urgency changes pursuant to
Chapter 6.6 (commencing with section 1435) of Part 2 of Division 2,
and authority to issue a notice of proposed cease and desist order or
administrative civil liability complaint. The Delta Watermaster's
authority shall be limited to diversions in the Delta and the
application and enforcement of the board's requirements that apply to
conditions in the Delta.
   (c) The internal procedures adopted by the board shall provide for
due process in adjudicative proceedings, and may establish
procedures for the issuance of a stay of any order or decision of the
Delta Watermaster for which a petition for reconsideration is filed
or reconsideration is ordered under Section 1122. The board may
provide any additional duties or needs of the Delta Watermaster that
the board deems necessary for effective day-to-day enforcement of its
decisions.
   (d) The Delta Watermaster shall submit regular reports to the
board and the council including, but not limited to, reports on water
rights administration, water quality issues, and conveyance
operations.
      CHAPTER 5.  DELTA INDEPENDENT SCIENCE BOARD AND DELTA SCIENCE
PROGRAM


   85280.  (a) The Delta Independent Science Board is hereby
established in state government.
   (1) The Delta Independent Science Board shall consist of no more
than 10 members appointed by the council. The term of office for
members of the Delta Independent Science Board shall be five years. A
member may serve no more than two terms.
   (2) Members of the Delta Independent Science Board shall be
nationally or internationally prominent scientists with appropriate
expertise to evaluate the broad range of scientific programs that
support adaptive management of the Delta. The members shall not be
directly affiliated with a program or agency subject to the review
activities of the Delta Independent Science Board.
   (3) The Delta Independent Science Board shall provide oversight of
the scientific research, monitoring, and assessment programs that
support adaptive management of the Delta through periodic reviews of
each of those programs that shall be scheduled to ensure that all
Delta scientific research, monitoring, and assessment programs are
reviewed at least once every four years.
   (4) The Delta Independent Science Board shall submit to the
council a report on the results of each review, including
recommendations for any changes in the programs reviewed by the
board.
   (b) After consultation with the Delta Independent Science Board,
the council shall appoint a lead scientist for the Delta Science
Program.
   (1) The lead scientist shall meet all of the following
qualifications:
   (A) Hold an advanced degree in a field related to water or
ecosystem management.
   (B) Have a strong record of scientific research and publication in
peer-reviewed scientific journals in a field related to water or
ecosystem management.
   (C) Have experience advising high-level managers in science-based
decisionmaking in the areas of water management and ecosystem
restoration.
   (D) Have the capability to guide the application of an adaptive
management process to resource management policy decisions in the
Delta.
   (2) The term of office for the lead scientist shall be no more
than three years. The lead scientist may serve no more than two
terms.
   (3) The lead scientist shall oversee the implementation of the
Delta Science Program. In carrying out that responsibility, the lead
scientist shall regularly consult with the agencies participating in
the program.
   (4) The mission of the Delta Science Program shall be to provide
the best possible unbiased scientific information to inform water and
environmental decisionmaking in the Delta. That mission shall be
carried out through funding research, synthesizing and communicating
scientific information to policymakers and decisionmakers, promoting
independent scientific peer review, and coordinating with Delta
agencies to promote science-based adaptive management. The Delta
Science Program shall assist with development and periodic updates of
the Delta Plan's adaptive management program.
   (c) The Delta Science Program shall function as a replacement for,
and successor to, the CALFED Science Program and the Delta
Independent Science Board shall replace the CALFED Independent
Science Board.

      PART 4.  COMPREHENSIVE DELTA PLANNING


      CHAPTER 1.  THE DELTA PLAN


   85300.  (a) On or before January 1, 2012, the council shall
develop, adopt, and commence implementation of the Delta Plan
pursuant to this part that furthers the coequal goals. The Delta Plan
shall include subgoals and strategies to assist in guiding state and
local agency actions related to the Delta. In developing the Delta
Plan, the council shall consider each of the strategies and actions
set forth in the Strategic Plan and may include any of those
strategies or actions in the Delta Plan. The Delta Plan may also
identify specific actions that state or local agencies may take to
implement the subgoals and strategies.
   (b) In developing the Delta Plan, the council shall consult with
federal, state, and local agencies with responsibilities in the
Delta. All state agencies with responsibilities in the Delta shall
cooperate with the council in developing the Delta Plan, upon request
of the council.
   (c) The council shall review the Delta Plan at least once every
five years and may revise it as the council deems appropriate. The
council may request any state agency with responsibilities in the
Delta to make recommendations with respect to revision of the Delta
Plan.
   (d) (1) The council shall develop the Delta Plan consistent with
all of the following:
   (A) The federal Coastal Zone Management Act of 1972 (16 U.S.C.
Sec. 1451 et seq.), or an equivalent compliance mechanism.
   (B) Section 8 of the federal Reclamation Act of 1902.
   (C) The federal Clean Water Act (33 U.S.C. Sec. 1251 et seq.).
   (2) If the council adopts a Delta Plan pursuant to the federal
Coastal Zone Management Act of 1972 (16 U.S.C. Sec. 1451 et seq.),
the council shall submit the Delta Plan for approval to the United
States Secretary of Commerce pursuant to that act, or to any other
federal official assigned responsibility for the Delta pursuant to a
federal statute enacted after January 1, 2010.
   (e) The council shall report to the Legislature no later than
March 31, 2012, as to its adoption of the Delta Plan.
   85301.  (a) The commission shall develop, for consideration and
incorporation into the Delta Plan by the council, a proposal to
protect, enhance, and sustain the unique cultural, historical,
recreational, agricultural, and economic values of the Delta as an
evolving place, in a manner consistent with the coequal goals. For
the purpose of carrying out this subdivision, the commission may
include in the proposal the relevant strategies described in the
Strategic Plan.
   (b) (1) The commission shall include in the proposal a plan to
establish state and federal designation of the Delta as a place of
special significance, which may include application for a federal
designation of the Delta as a National Heritage Area.
   (2) The commission shall include in the proposal a regional
economic plan to support increased investment in agriculture,
recreation, tourism, and other resilient land uses in the Delta. The
regional economic plan shall include detailed recommendations for the
administration of the Delta Investment
            Fund created by Section 29778.5 of the Public Resources
Code.
   (c) For the purposes of assisting the commission in its
preparation of the proposal, both of the following actions shall be
undertaken:
   (1) The Department of Parks and Recreation shall prepare a
proposal, for submission to the commission, to expand within the
Delta the network of state recreation areas, combining existing and
newly designated areas. The proposal may incorporate appropriate
aspects of any existing plans, including the Central Valley Vision
Implementation Plan adopted by the Department of Parks and
Recreation.
   (2) The Department of Food and Agriculture shall prepare a
proposal, for submission to the commission, to establish market
incentives and infrastructure to protect and enhance the economic and
public values of Delta agriculture.
   (d) The commission shall submit the proposal developed pursuant to
subdivision (a) to the council. The council shall consider the
proposal and may include any portion of the proposal in the Delta
Plan if the council, in its discretion, determines that the portion
of the proposal is feasible and consistent with the objectives of the
Delta Plan and the purposes of this division.
   85302.  (a) The implementation of the Delta Plan shall further the
restoration of the Delta ecosystem and a reliable water supply.
   (b) The geographic scope of the ecosystem restoration projects and
programs identified in the Delta Plan shall be the Delta, except
that the Delta Plan may include recommended ecosystem projects
outside the Delta that will contribute to achievement of the coequal
goals.
   (c) The Delta Plan shall include measures that promote all of the
following characteristics of a healthy Delta ecosystem:
   (1) Viable populations of native resident and migratory species.
   (2) Functional corridors for migratory species.
   (3) Diverse and biologically appropriate habitats and ecosystem
processes.
   (4) Reduced threats and stresses on the Delta ecosystem.
   (5) Conditions conducive to meeting or exceeding the goals in
existing species recovery plans and state and federal goals with
respect to doubling salmon populations.
   (d) The Delta Plan shall include measures to promote a more
reliable water supply that address all of the following:
   (1) Meeting the needs for reasonable and beneficial uses of water.

   (2) Sustaining the economic vitality of the state.
   (3) Improving water quality to protect human health and the
environment.
   (e) The following subgoals and strategies for restoring a healthy
ecosystem shall be included in the Delta Plan:
   (1) Restore large areas of interconnected habitats within the
Delta and its watershed by 2100.
   (2) Establish migratory corridors for fish, birds, and other
animals along selected Delta river channels.
   (3) Promote self-sustaining, diverse populations of native and
valued species by reducing the risk of take and harm from invasive
species.
   (4) Restore Delta flows and channels to support a healthy estuary
and other ecosystems.
   (5) Improve water quality to meet drinking water, agriculture, and
ecosystem long-term goals.
   (6) Restore habitat necessary to avoid a net loss of migratory
bird habitat and, where feasible, increase migratory bird habitat to
promote viable populations of migratory birds.
   (f) The council shall consider, for incorporation into the Delta
Plan, actions designed to implement the subgoals and strategies
described in subdivision (e).
   (g) In carrying out this section, the council shall make use of
the best available science.
   (h) The Delta Plan shall include recommendations regarding state
agency management of lands in the Delta.
   85303.  The Delta Plan shall promote statewide water conservation,
water use efficiency, and sustainable use of water.
   85304.  The Delta Plan shall promote options for new and improved
infrastructure relating to the water conveyance in the Delta, storage
systems, and for the operation of both to achieve the coequal goals.

   85305.  (a) The Delta Plan shall attempt to reduce risks to
people, property, and state interests in the Delta by promoting
effective emergency preparedness, appropriate land uses, and
strategic levee investments.
   (b) The council may incorporate into the Delta Plan the emergency
preparedness and response strategies for the Delta developed by the
California Emergency Management Agency pursuant to Section 12994.5.
   85306.  The council, in consultation with the Central Valley Flood
Protection Board, shall recommend in the Delta Plan priorities for
state investments in levee operation, maintenance, and improvements
in the Delta, including both levees that are a part of the State Plan
of Flood Control and nonproject levees.
   85307.  (a) The Delta Plan may identify actions to be taken
outside of the Delta, if those actions are determined to
significantly reduce flood risks in the Delta.
   (b) The Delta Plan may include local plans of flood protection.
   (c) The council, in consultation with the Department of
Transportation, may address in the Delta Plan the effects of climate
change and sea level rise on the three state highways that cross the
Delta.
   (d) The council, in consultation with the State Energy Resources
Conservation and Development Commission and the Public Utilities
Commission, may incorporate into the Delta Plan additional actions to
address the needs of Delta energy development, energy storage, and
energy distribution.
   85308.  The Delta Plan shall meet all of the following
requirements:
   (a) Be based on the best available scientific information and the
independent science advice provided by the Delta Independent Science
Board.
   (b) Include quantified or otherwise measurable targets associated
with achieving the objectives of the Delta Plan.
   (c) Where appropriate, utilize monitoring, data collection, and
analysis of actions sufficient to determine progress toward meeting
the quantified targets.
   (d) Describe the methods by which the council shall measure
progress toward achieving the coequal goals.
   (e) Where appropriate, recommend integration of scientific and
monitoring results into ongoing Delta water management.
   (f) Include a science-based, transparent, and formal adaptive
management strategy for ongoing ecosystem restoration and water
management decisions.
   85309.  The department, in consultation with the United States
Army Corps of Engineers and the Central Valley Flood Protection
Board, shall prepare a proposal to coordinate flood and water supply
operations of the State Water Project and the federal Central Valley
Project, and submit the proposal to the council for consideration for
incorporation into the Delta Plan. In drafting the proposal, the
department shall consider all related actions set forth in the
Strategic Plan.
      CHAPTER 2.  BAY DELTA CONSERVATION PLAN


   85320.  (a) The Bay Delta Conservation Plan (BDCP) shall be
considered for inclusion in the Delta Plan in accordance with this
chapter.
   (b) The BDCP shall not be incorporated into the Delta Plan and the
public benefits associated with the BDCP shall not be eligible for
state funding, unless the BDCP does all of the following:
   (1) Complies with Chapter 10 (commencing with Section 2800) of
Division 3 of the Fish and Game Code.
   (2) Complies with Division 13 (commencing with Section 21000) of
the Public Resources Code, including a comprehensive review and
analysis of all of the following:
   (A) A reasonable range of flow criteria, rates of diversion, and
other operational criteria required to satisfy the criteria for
approval of a natural community conservation plan as provided in
subdivision (a) of Section 2820 of the Fish and Game Code, and other
operational requirements and flows necessary for recovering the Delta
ecosystem and restoring fisheries under a reasonable range of
hydrologic conditions, which will identify the remaining water
available for export and other beneficial uses.
   (B) A reasonable range of Delta conveyance alternatives, including
through-Delta, dual conveyance, and isolated conveyance alternatives
and including further capacity and design options of a lined canal,
an unlined canal, and pipelines.
   (C) The potential effects of climate change, possible sea level
rise up to 55 inches, and possible changes in total precipitation and
runoff patterns on the conveyance alternatives and habitat
restoration activities considered in the environmental impact report.

   (D) The potential effects on migratory fish and aquatic resources.

   (E) The potential effects on Sacramento River and San Joaquin
River flood management.
   (F) The resilience and recovery of Delta conveyance alternatives
in the event of catastrophic loss caused by earthquake or flood or
other natural disaster.
   (G) The potential effects of each Delta conveyance alternative on
Delta water quality.
   (c) The department shall consult with the council and the Delta
Independent Science Board during the development of the BDCP. The
council shall be a responsible agency in the development of the
environmental impact report. The Delta Independent Science Board
shall review the draft environmental impact report and submit its
comments to the council and the Department of Fish and Game.
   (d) If the Department of Fish and Game approves the BDCP as a
natural community conservation plan pursuant to Chapter 10
(commencing with Section 2800) of Division 3 of the Fish and Game
Code, the council shall have at least one public hearing concerning
the incorporation of the BDCP into the Delta Plan.
   (e) If the Department of Fish and Game approves the BDCP as a
natural community conservation plan pursuant to Chapter 10
(commencing with Section 2800) of Division 3 of the Fish and Game
Code and determines that the BDCP meets the requirements of this
section, and the BDCP has been approved as a habitat conservation
plan pursuant to the federal Endangered Species Act (16 U.S.C.
Section 1531 et seq.), the council shall incorporate the BDCP into
the Delta Plan. The Department of Fish and Game's determination that
the BDCP has met the requirements of this section may be appealed to
the council.
   (f) The department, in coordination with the Department of Fish
and Game, or any successor agencies charged with BDCP implementation,
shall report to the council on the implementation of the BDCP at
least once a year, including the status of monitoring programs and
adaptive management.
   (g) The council may make recommendations to BDCP implementing
agencies regarding the implementation of the BDCP. BDCP implementing
agencies shall consult with the council on these recommendations.
These recommendations shall not change the terms and conditions of
the permits issued by state and federal regulatory agencies.
   85321.  The BDCP shall include a transparent, real-time
operational decisionmaking process in which fishery agencies ensure
that applicable biological performance measures are achieved in a
timely manner with respect to water system operations.
   85322.  This chapter does not amend, or create any additional
legal obligation or cause of action under, Chapter 10 (commencing
with Section 2800) of Division 3 of the Fish and Game Code or
Division 13 (commencing with Section 21000) of the Public Resources
Code.
      CHAPTER 3.  OTHER PLANS FOR THE DELTA


   85350.  The council may incorporate other completed plans related
to the Delta into the Delta Plan to the extent that the other plans
promote the coequal goals.
  SEC. 74.  (a) Pursuant to Section 75026 of the Public Resources
Code, the sum of twenty-eight million dollars ($28,000,000) is hereby
appropriated to the Department of Water Resources for expenditure by
that department pursuant to paragraph (12) of subdivision (a) of
Section 75027 of the Public Resources Code for the Two-Gates Fish
Protection Demonstration Program managed by the United States Bureau
of Reclamation. The Department of Water Resources shall expend such
funds only consistent with the requirements of Sections 75026 and
75027 of the Public Resources Code.
   (b) It is the intent of the Legislature to finance the activities
of the Delta Stewardship Council and the Sacramento-San Joaquin Delta
Conservancy from funds made available pursuant to the Disaster
Preparedness and Flood Prevention Bond Act of 2006 (Chapter 1.699
(commencing with Section 5096.800) of Division 5 of the Public
Resources Code) and the Safe Drinking Water, Water Quality and
Supply, Flood Control, River and Coastal Protection Bond Act of 2006
(Division 43 (commencing with Section 75001) of the Public Resources
Code).
  SEC. 75.  Item 3940-001-0439 of Section 2.00 of the Budget Act of
2009 is amended to read:
3940-001-0439--For support of State Water
Resources Control Board................... 238,113,000
    Schedule:
    (1)    10-Water Quality.... 439,650,000
    (2)    20-Water Rights.....   11,658,000  

                                  15,408,000 
    (3)    30.01-
           Administration......   20,886,000 
                                  21,059,000 
    (4)    30.02-Distributed
           Administration......  -20,886,000 
                                 -21,059,000 
    (5)    Reimbursements......  -8,932,000
    (6)    Amount payable from
           the General Fund
           (Item 3940-001-
           0001)............... -40,575,000
    (7)    Amount payable from
           the Unified Program
           Account (Item 3940-
           001-0028)...........    -621,000
    (8)    Amount payable from
           the Waste Discharge
           Permit Fund (Item
           3940-001-0193)...... -78,768,000
    (9)    Amount payable from
           the Marine Invasive
           Species Control
           Fund (Item 3940-001-
           0212)...............    -103,000
    (10)   Amount payable from
           the Public
           Resources Account,
           Cigarette and
           Tobacco Products
           Surtax Fund (Item
           3940-001-0235)......  -2,039,000
    (11)   Amount payable from
           the Integrated
           Waste Management
           Account, Integrated
           Waste Management
           Fund (Item 3940-001-
           0387)...............  -6,757,000
    (12)   Amount payable from
           the Water Recycling
           Subaccount (Item
           3940-001-0419)......  -1,150,000
    (13)   Amount payable from
           the Drainage
           Management
           Subaccount (Item
           3940-001-0422)......    -515,000
    (14)   Amount payable from
           the Seawater
           Intrusion Control
           Subaccount (Item
           3940-001-0424)......    -222,000
    (15)   Amount payable from
           the Underground
           Storage Tank Tester
           Account (Item 3940-
           001-0436)...........     -64,000
    (16)   Amount payable from
           the 1984 State
           Clean Water Bond
           Fund (Item 3940-001-
           0740)...............    -322,000
    (17)   Amount payable from
           the Federal Trust
           Fund (Item 3940-001-
           0890)............... -51,353,000
    (18)   Amount payable from
           the Water Rights
           Fund (Item 3940-001-
           3058)...............   -7,447,000  

                                 -11,197,000 
    (19)   Amount payable from
           the Watershed
           Protection
           Subaccount (Item
           3940-001-6013)......    -250,000
    (20)   Amount payable from
           the Santa Ana River
           Watershed
           Subaccount (Item
           3940-001-6016)......    -250,000
    (21)   Amount payable from
           the Lake Elsinore
           and San Jacinto
           Watershed
           Subaccount (Item
           3940-001-6017)......    -150,000
    (22)   Amount payable from
           the Nonpoint Source
           Pollution Control
           Subaccount (Item
           3940-001-6019)......    -200,000
    (23)   Amount payable from
           the State Revolving
           Fund Loan
           Subaccount (Item
           3940-001-6020)......     -81,000
    (24)   Amount payable from
           the Wastewater
           Construction Grant
           Subaccount (Item
           3940-001-6021)......     -23,000
    (25)   Amount payable from
           the Coastal
           Nonpoint Source
           Control Subaccount
           (Item 3940-001-
           6022)...............    -150,000
    (26)   Amount payable
           from the Water
           Security, Clean
           Drinking Water,
           Coastal and Beach
           Protection Fund of
           2002 (Item 3940-001-
           6031)...............  -3,000,000
    (27)   Amount payable from
           the Safe Drinking
           Water, Water
           Quality and Supply,
           Flood Control,
           River and Coastal
           Protection Fund of
           2006 (Item 3940-001-
           6051)...............  -4,073,000
    (28)   Amount payable from
           the Petroleum
           Underground Storage
           Tank Financing
           Account (Item 3940-
           001-8026)...........    -618,000
    (29)   Amount payable from
           the State Water
           Pollution Control
           Revolving Fund
           Administration Fund
           (Item 3940-001-
           9739)...............  -5,532,000
    Provisions:
    1.     Notwithstanding any other
           provision of law,     upon
           approval and order of the
           Director of Finance, the State
           Water Resources Control Board
           may borrow sufficient funds for
           cash purposes from special
           funds that otherwise provide
           support for the board. Any such
           loans are to be repaid with
           interest at the rate earned in
           the Pooled Money Investment
           Account.
     2.     Of the amount contained in 
            Schedule (2), $3,750,000 shall 
            be used to fund 25.0 permanent 
            positions in support of water 
            rights enforcement. 


  SEC. 76.  Item 3940-001-3058 of Section 2.00 of the Budget Act of
2009 is amended to read:
3940-001-3058--For support of State Water
Resources Control Board, for payment to Item
3940-001-0439, payable from the Water Rights  
  11,197,00
 Fund......................................... 
7,447,00 
  0
       Provisions: 
       1.      The increase in appropriation 
               in this item shall be paid only 
               from the fee revenue in the 
               Water Rights Fund. 


  SEC. 77.  Commencing with the 2010-11 fiscal year, and
notwithstanding Section 13340 of the Government Code, three million
seven hundred fifty thousand dollars ($3,750,000) is hereby
continuously appropriated, without regard to fiscal years, on an
annual basis, only from the fee revenue in the Water Rights Fund to
the State Water Resources Control Board for the purposes of funding
25.0 permanent water right enforcement positions, as provided in
Schedule (2) of Item 3940-001-0439 of Section 2.00 of the Budget Act
of 2009, as amended by this act.
  SEC. 78.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution for
certain costs that may be incurred by a local agency or school
district because, in that regard, this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.
   However, if the Commission on State Mandates determines that this
act contains other costs mandated by the state, reimbursement to
local agencies and school districts for those costs shall be made
pursuant to Part 7 (commencing with Section 17500) of Division 4 of
Title 2 of the Government Code.
  SEC. 79.  This act shall take effect only if ____ of the 2009-10
Seventh Extraordinary Session of the Legislature is enacted and
becomes operative.