BILL ANALYSIS Ó
AB 453
Page 1
Date of Hearing: April 14, 2015
ASSEMBLY COMMITTEE ON WATER, PARKS, AND WILDLIFE
Marc Levine, Chair
AB 453
(Salas) - As Amended August 8, 2016
SUBJECT: Extraction of groundwater: Semitropic Water Storage
District
SUMMARY: This bill would authorize the Semitropic Water Storage
District (District) to impose fees on groundwater extraction,
and require the reporting of groundwater extraction with the
ability to verify the reported information to fund the cost of
groundwater management projects which have completed
environmental review before January 1, 2020. Specifically, this
bill:
1)Grants the District the following powers and authorities:
a) To impose fees on the extraction of groundwater from the
basin to fund the costs of the Tulare Lake Storage and
Floodwater Protection Project and any other groundwater
storage or recharge project for which the District
completes an environmental review before January 1, 2020.
b) To require the reporting of groundwater extractions via
meters, the cost of which would be borne by the owner of
the well.
c) To determine the quantity of groundwater extracted and
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impose charges on that quantity of water, should the owner
or operator of a groundwater extraction facility fail to
timely comply.
2)Requires fees adopted to be in accordance with the provisions
of Proposition 218 of 1996, and permits fixed fees and fees
charged on a volumetric basis.
3)Requires a project to comply with the California Environmental
Quality Act (CEQA), water rights, the Sustainable Groundwater
Management Act (SGMA), and all applicable laws.
4)Is an urgency statute necessary for the District to pursue
early implementation of storage and groundwater projects that
are needed in order to help recover the Kern County
Groundwater Basin.
EXISTING LAW:
1)Authorizes the creation of water storage districts (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 contract.
2)SGMA requires, in high- and medium-priority groundwater
basins, groundwater sustainability agencies (GSAs) to form by
July 1, 2017, and develop and implement groundwater
sustainability plans (GSPs). 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.
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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 of the plan.
FISCAL EFFECT: This bill has been designated non-fiscal.
COMMENTS: This bill authorizes the District to impose fees on
groundwater extraction to fund the cost of groundwater
management projects.
The original version of this bill addressed whether a local
agency could amend its existing non-SGMA compliant groundwater
management plan prior to developing a GSP that is SGMA
compliant.
1)Author's Statement: The groundwater basin that the District
relies on is subject to critical overdraft; one of 21 basins
with such a designation by the DWR. These basins must adopt a
GSP 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 SGMA. Therefore, absent 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 GSA.
2)Background: The District is one of eight water storage
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districts in California and is the largest in Kern County.
The District began operation in the early 1990's and is one of
the largest groundwater banks in operation with an approved
storage capacity of at least 1.65 million acre feet. The
District delivers water to nearly 300 customers for the
irrigation of approximately 140,000 acres for agricultural
uses. The District also supplies energy to a variety of users
and provides groundwater banking and storage services.
The District is in the northern part of 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. The DWR has designated it as a high-priority basin
and it is one of 21 basins designated as being in critical
overdraft.
According to the concept paper received by the California
Water Commission on March 31, 2016, the Tulare Lake Storage
and Floodwater Protection Project will create additional
surface storage as well as expand groundwater conjunctive use
capacity and has an estimated cost of $500 million dollars.
The Project is expected to, among other things, provide
improved local water supply reliability, operational
flexibility to meet Delta ecosystem needs, regional flood
protection benefits, wildlife habitat and recreation
opportunities, and water quality improvements.
3)Fee Authority: A GSA could have similar authority as this bill
gives to the District. There is no GSA that has filed notice
to cover the entire area within the boundaries of the
District. However, as of August 3, 2016, the West Kern Water
District has filed notice with the Department of Water
Resources to be a GSA for a portion of the basin within the
District.
While there are alternatives to achieve the authority this
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bill gives to the District the bill will provide for a more
direct and immediate path to achieving that authority.
4)Prior and Related Legislation:
a. SB 1168 (Pavley), Chapter 346, Statutes of 2014,
enacted SGMA.
b. AB 1738 (Dickinson), Chapter 347, Statutes of 2014,
enacted SGMA.
c. SB 37 (Vidak), would establish Kings River East
Groundwater Sustainability Agency. Passed out of the
Assembly on August 23, 2016.
d. SB 564 (Cannella), would establish the North Fork
Kings Groundwater Sustainability Agency. Currently on
Assembly 3rd reading.
5)Supporting Arguments: The District seeks additions to WSD law
in order for the District to commence interim collection of
groundwater charges contemplated by SGMA, pending adoption of
a GSP.
REGISTERED SUPPORT / OPPOSITION:
Support
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Semitropic Water Storage District
Opposition
None on file.
Analysis Prepared by:Ryan Ojakian / W., P., & W. / (916)
319-2096