BILL ANALYSIS Ó
AB 1755
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Date of Hearing: April 19, 2016
ASSEMBLY COMMITTEE ON WATER, PARKS, AND WILDLIFE
Marc Levine, Chair
AB 1755
(Dodd) - As Amended April 5, 2016
SUBJECT: The Open and Transparent Water Data Act
SUMMARY: Requires the Department of Water Resources (DWR) to
establish a public benefit corporation to manage statewide water
information and an online water transfer clearinghouse.
Specifically, this bill:
1) Makes findings and declarations on the need for a 21st
century water management system.
2) Requires DWR to establish a public benefit corporation
to manage a statewide water information system.
3) Requires the water information system to integrate water
data from numerous federal, state, and local agencies in a
manner that allows for all data to be readily incorporated
and compiled into readily usable formats.
4) Requires the public benefit corporation to establish an
online water transfer clearing house.
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5) Requires DWR, the State Water Resources Control Board
(State Water Board), and the Department of Fish and
Wildlife (DFW) to develop a transparent process for sharing
water data.
6) Creates a Water Information System Administration Fund
with moneys available to the Department upon appropriation.
EXISTING LAW:
1) Provides DWR responsibilities and jurisdiction in
matters pertaining to water or dams held by the state.
2) Provides for the establishment of a water rights system
with measuring and reporting requirements administered by
the State Water Board.
3) Requires DFW to hold fish and wildlife in trust for the
people of the state.
4) Establishes a policy to facilitate the voluntary
transfer of water, and permits all water rights holders to
pursue a water transfer.
FISCAL EFFECT: Unknown.
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COMMENTS: Requires DWR to establish a public benefit
corporation to manage statewide water information and an online
water transfer clearinghouse.
1) Author's Statement: AB 1755 Improves open and
transparent access to water data by creating a statewide
water data information system to integrate critical water
data in a user friendly, publicly accessible website that
will simplify and expedite decision-making. Develops
protocols for data sharing, transparency, documentation,
and quality control that will promote greater
compatibility among data sets and encourage the
application of new methods to synthesize information to
support better decision making. Creates an online water
transfer information clearinghouse to improve access to
information, an important step towards an effective water
market. Establishes a new public benefit corporation to
house and manage the water data system and clearinghouse.
2) Background:
More information is better than less
Most activities in today's world are documented closely and
compiled into data sets. Information has value in the 21st
century economy. That value is, of course, tied to the
usefulness of the information. Public policy and economic
decision making have historically benefited from more
information.
From a public policy standpoint, data has been a big driver
in dramatic improvement in energy use in California and
nationally. The Energy Information Administration was
created after the 1970's energy crisis when it became clear
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that the information necessary to make good energy policy
was not available. Today we have precise information about
energy use, and it has allowed for the development of
policies that have improved energy management.
In contrast to the information economy and the improved
decision making that has occurred from the widespread
availability of useable data, there is very little easily
available data on water. On the national level there is
analysis on water use only once every five years; that data
is for one year, and comes out four years after reporting
is complete.
California keeps numerous data sets on water from urban use
to environmental use and everything in between. Those data
sets are not coordinated and as a result do not produce a
complete water information picture. The value of these
numerous data sets is diminished by the fact that they are
piecemeal and while they may address overlapping problems
of supply, use, and efficiency they are only valuable to
the extent they touch on any specific area.
This bill requires the state overcome the challenge of
piecemeal water data in the state. Having all water data
in the state compiled and publicly available in a useable
fashion would drive water policy innovation and likely
produce many of the benefits that robust useable data have
had on energy policy.
Role of Transfers
Water transfers involve a change in the place of water use,
from the water's historic point of diversion and use, to a
new location either within or outside the watershed of
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origin. Water transfers can last up to a year (temporary),
more than a year but not permanent (long-term), or be
permanent. Water transfers are strictly voluntary, and
must not create harm to other legal water users, the
environment, or the local economy from which the water is
being transferred.
Water transfers can be an effective water management tool.
Transfers are particularly useful for meeting critical
needs during drought periods. Transfers can only occur
with "new water" the surface water system will realize as a
result of changes in reservoir operation, groundwater
substitution, crop idling or shifting, and occasionally
water conservation action taken.
History of Transfers
Water transfers in California date back to the Gold Rush.
An 1859 California Supreme Court decision found that water
rights can be transferred like any other property. In 1976
the Governor's Commission on Water Rights recognized the
importance of water transfers to the future of California's
water supply. Many of the recommendations of the
commission were adopted in the 1980's. There was
additional legislation in the early 1990's but little has
changed in the last 20 years.
Transfers grew considerably during the 1987-92 drought and
continued to expand through the 1990's. Growth in
transfers slowed dramatically in 2000 and has remained
relatively flat or even regressed since 2010.
Big Year for Transfer Reform?
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The current historic drought has highlighted major barriers
to water transfers. This has brought attention to the
complicated rules associated with trading water from
different sources. California's trading rules are
fragmented, opaque, inconsistent, and cumbersome. Often
times several departments and agencies across and between
federal, state, and local government have a role in a
transfer moving forward. As a result a number of
stakeholders including agricultural, water purveyors,
environmental, and local communities have begun to come
together to discuss ways in which trading rules can work
better.
In March, the Association of California Water Agencies
released principles recommending ways to improve the water
transfer process. The release of the principles has ramped
up the stakeholder process. There appears to be general
agreement among many on the need for improvement in the
governance and management of data associated with water
transfers. There is, however, quite a number of issues
still to be resolved. It seems likely that the next couple
of months will produce more refined proposals.
Legislation on this issue should consider all aspects of
improving water transfers. The path to do that is
dependent on the discussions and outcomes of the
stakeholder processes that are currently underway. The
final version of this bill will no doubt be shaped by those
stakeholder efforts.
This bill and AB 2304 (Levine) of 2016, address the issue
of water transfers in different ways. It has been the
policy of this committee to resolve in committee different
approaches to the same policy issue. There is an
expectation that significant progress will occur through
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the stakeholder process in the near term. The overlap this
bill has with AB 2304, specifically the reporting on water
transactions in Chapter 2, Article 3, should be removed.
3) Prior and Related Legislation:
a) AB 2304 (Levine) 2016, establishes the
California Water Market Exchange to create a
centralized water market platform. AB 2304 passed
this committee 10-4.
b) SB 88 (Budget) Chapter 27, Statutes of 2015,
added measurement and reporting requirements for a
substantial number of water right holders.
c) The following pieces of legislation created
the Sustainable Groundwater Management Act:
i. AB 1739 (Dickinson), Chapter 347,
Statutes of 2014
ii. SB 1168 (Pavely), Chapter 346,
Statutes of 2014
iii. SB 1319(Pavely), Chapter 348,
Statutes of 2014
4) Supporting Arguments: The current drought has revealed
significant challenges to effective water management in
California. A lack of assessable data that would support
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timely and science-based decision making is a key
constraint to creating a sustainable water management
system that is able to meet the challenges of prolonged
drought as well as heavy rainfall and flooding. Water
agencies across the state submit large quantities of data
to an array of local, state, and federal agencies. The
problem is not a lack of data, but the fact that managers
and water users have been unable to harness the data due to
the lack of an integrated system that would make the
information easily accessible and usable. Establishing a
statewide water information system would help managers and
users make more informed decisions and ensure that limited
water resources are managed with the best and most complete
information.
5) Opposing Arguments: None on file
REGISTERED SUPPORT / OPPOSITION:
Support
Bay Area Council (Sponsor)
American Rivers
Association of California Water Agencies (if amended)
AquAlliance (if amended)
CalTrout
Ceres
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Community Water Center (if amended)
Los Angeles Area Chamber of Commerce
North Bay Leadership Council
Northern California Water Association
San Francisco Chamber of Commerce
Sonoma County Water Agency
The Bay Institute (TBI)
Tuolumne River Trust
The Nature Conservancy
Union of Concerned Scientists
Upper San Gabriel Valley Municipal Water District
Opposition
None on File
Analysis Prepared by:Ryan Ojakian / W., P., & W. / (916)
319-2096
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