BILL ANALYSIS                                                                                                                                                                                                    Ó






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          |SENATE RULES COMMITTEE            |                        AB 453|
          |Office of Senate Floor Analyses   |                              |
          |(916) 651-1520    Fax: (916)      |                              |
          |327-4478                          |                              |
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                                   THIRD READING 


          Bill No:  AB 453
          Author:   Salas (D) 
          Amended:  8/8/16 in Senate
          Vote:     27 - Urgency

           PRIOR VOTES NOT RELEVANT

           SENATE NATURAL RES. & WATER COMMITTEE:  7-1, 6/14/16
           AYES:  Pavley, Allen, Hertzberg, Hueso, Monning, Vidak, Wolk
           NOES:  Stone
           NO VOTE RECORDED:  Jackson

           SENATE NATURAL RES. & WATER COMMITTEE:  8-0, 8/16/16 (pursuant  
            to Senate Rule 29.10)
           AYES:  Pavley, Stone, Allen, Hueso, Jackson, Monning, Vidak,  
            Wolk
           NOES:  
           NO VOTE RECORDED:  Hertzberg

           SUBJECT:   Extraction of groundwater:  Semitropic Water Storage  
                     District


          SOURCE:    Semitropic Water Storage District

          DIGEST:   This bill rants the Semitropic Water Storage District  
          (WSD) additional powers and authorities to impose fees and fund  
          projects to help manage groundwater until such time as there is  
          an adopted groundwater sustainability plan.


          Senate Floor Amendments of 8/8/16 remove all references to the  
          Sustainable Groundwater Management Act (SGMA).  It now provides  








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          these new powers and authorities to Semitropic WSD outside of  
          SGMA.


          ANALYSIS: 


          Existing law:


          1)  Authorizes the creation of WSDs to operate facilities for  
            storage and distribution of water. As part of this operation,  
            the WSDs have the power to set tolls and charges for the use  
            of water, issue bonds, buy and sell property, acquire property  
            it deems necessary by condemnation; sue or be sued; and  
            c2)ontract.


          3)Requires, in high- and medium-priority groundwater basins,  
            groundwater sustainability agencies (GSAs) to develop and  
            implement groundwater sustainability plans.  Among other  
            things, GSAs implementing such plans may:


             a)   Impose fees on the extraction of groundwater from the  
               basin to fund the costs of groundwater management.


             b)   Require the reporting of groundwater extractions via  
               meters, the cost of which would be borne by the owner of  
               the well.


             c)   Determine the quantity of groundwater extracted and  
               impose charges on that quantity of water, should the owner  
               or operator of a groundwater extraction facility fail to  
               timely comply with the requirements the district  
               established under this measure. 


          This bill:


          1)Grants the Semitropic WSD the following additional powers and  







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            authorities to:


             a)   Impose fees on the extraction of groundwater from the  
               basin to fund the costs of groundwater management.


             b)   Require the reporting of groundwater extractions via  
               meters, the cost of which would be borne by the owner of  
               the well.


             c)   Determine the quantity of groundwater extracted and  
               impose charges on that quantity of water, should the owner  
               or operator of a groundwater extraction facility fail to  
               timely comply with the requirements the district  
               established under this bill. 


          2)Authorizes fees imposed pursuant to this bill to include fixed  
            fees and fees charged on a volumetric basis, including fees  
            that increase based on the quantity of groundwater produced  
            annually, the year in which the production of groundwater  
            commenced from a groundwater extraction facility, and impacts  
            to the basin. 


          3)Applies only to Semitropic WSD.


          4)Includes a provision declaring that a special law is needed  
            because of the unique circumstances of the Semitropic WSD.


          5)Is an urgency statute, the urgency being: "In order for the  
            Semitropic Water Storage District to pursue early  
            implementation of storage and groundwater projects that are  
            needed in order to help recover the Kern County Groundwater  
            Basin, which is listed by the Department of Water Resources as  
            a critically overdrafted basin, it is necessary that this act  
            take effect immediately."


          Comments







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          Kern County Subbasin.  Semitropic WSD is in the northern part  
          Kern County and overlies a portion of the Kern County Subbasin.   
          The subbasin comprises 1,950,000 acres in the south end of the  
          San Joaquin Valley.  DWR has designated it as a high-priority  
          basin and is one of 21 basins designated as being in critical  
          overdraft.  


          Kern County GSAs. As of 6/2/16, no one has filed notice with DWR  
          to be the GSA for the portion of the basin within Semitropic  
          WSD's service area.




          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:NoLocal:    No


          SUPPORT:   (Verified8/16/16)


          Semitropic Water Storage District (source)
          Valley Ag Water Coalition


          OPPOSITION:   (Verified8/16/16)


          None received


          ARGUMENTS IN SUPPORT:     According to the author, "The  
          groundwater basin that the Semitropic WSD relies on is subject  
          to critical overdraft; one of 21 basins with such a designation  
          by the Department of Water Resources (DWR). These basins must  
          adopt a groundwater sustainability plan by 2020. Funding early  
          actions ahead of 2020 will allow the District to implement  
          projects and programs that will help achieve local  
          sustainability goals. However, under existing law, the District  
          lacks the authority to implement the provisions outlined in the  
          Sustainably Groundwater Management Act (SGMA). Therefore, absent  







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          the Legislature granting authority, a water storage district  
          cannot fund projects and programs directly related to  
          groundwater replenishment until their basin is covered within  
          the boundaries of a groundwater sustainability agency."
           

          Prepared by:Dennis O'Connor / N.R. & W. / (916) 651-4116
          8/16/16 17:38:42


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