BILL ANALYSIS Ó
SB 564
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Date of Hearing: June 28, 2016
ASSEMBLY COMMITTEE ON WATER, PARKS, AND WILDLIFE
Marc Levine, Chair
SB
564 (Cannella) - As Amended June 16, 2016
SENATE VOTE: 30-2
SUBJECT: West Kings Groundwater Sustainability Agency Act
SUMMARY: Creates the West Kings Groundwater Sustainability
Agency, specifies the boundaries, Board composition, powers and
duties, and adds the Agency to the list of exclusive local
agencies created to manage groundwater. Specifically, this
bill:
1)Creates a groundwater management agency in the Counties of
Fresno and Kings to be known as the West Kings Groundwater
Sustainability Agency (Agency).
a) Defines the boundaries of the Agency.
b) Provides that the Agency is governed by a Board
consisting of seven members, as specified.
2)Adds the Agency to the list of agencies created by statute to
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manage groundwater that are deemed the exclusive local
agencies within their respective statutory boundaries with
powers to comply with the Sustainable Groundwater Management
Act (SGMA).
3)Requires the Agency to be a groundwater sustainability agency
(GSA), pursuant to existing law, for that portion of the Kings
Subbasin that lies within the boundaries of the Agency.
4)Requires the Agency to develop and implement a groundwater
sustainability plan (GSP), pursuant to existing law, to
achieve sustainable groundwater management within the
territory of the Agency.
5)Provides that the Agency only has the powers granted by this
Act and SGMA, for purposes
of groundwater management within the boundaries of the Agency,
together with any other powers as are reasonably implied,
necessary, and proper to carry out the objectives and purposes
of the Agency to implement SGMA. Requires the agency to abide
by the rules and regulation promulgated by the Department of
Water Resources (DWR) and the State Water Resources Control
Board (SWRCB) to implement SGMA
6)Allows the board to adopt ordinances for the purpose of
regulating, conserving, managing, and controlling the use and
extraction of groundwater within the territory of the Agency.
7)Permits the Agency to exclude from any of the requirements of
the act, or the operation of any ordinance, any operator who
annually extracts less than a minimum amount of groundwater as
specified by an ordinance adopted by the board.
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8)Requires the Agency to enter into a coordination agreement
with other local agencies for purposes of coordinating the
Agency's plan with other agencies or GSP's within the Kings
Subbasin, as required by SGMA.
9)Allows, pursuant to SGMA, the Agency to impose fees,
including, but not limited to, permit fees and fees on
groundwater extraction or other regulated activity, to fund
the costs of a groundwater sustainability program, that
include, but are not limited to, the preparation, adoption,
and amendments of a groundwater sustainability plan,
investigations, inspections, compliance assistance,
enforcement, and program administration, including a prudent
reserve.
EXISTING LAW:
1)Requires the DWR to evaluate groundwater basins and designate
them as high, medium, low or very low, according to various
factors including, but not limited to, level of dependence
upon the basin by municipal and agricultural users.
2)Requires that local agencies in high- and medium-priority
basins subject to SGMA form one or more GSAs by June 30, 2017.
3)Allows any local agency or combination of local agencies
overlying a groundwater basin to elect to be a groundwater
sustainability agency for that basin, except as specified.
4)Requires that GSAs in basins with chronic overdraft develop
and adopt a GSP for their basin by January 31, 2020.
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5)Defines the Kings basin in the San Joaquin Valley to be in
chronic overdraft.
6)Requires that GSAs in all other high- and medium-priority
basins subject to SGMA develop and adopt a GSP by January 31,
2022.
7)Requires the DWR to draft and adopt emergency regulations for
the evaluation of GSPs, the implementation of GSPs, and
coordination agreements by June 1, 2016.
8)Provides GSAs with optional tools for reaching sustainability
including, but not limited to, the ability to conduct
investigations, collect fees, limit pumping, require
measurement and reporting of groundwater extractions, monitor
compliance, charge civil penalties for violations, and
implement plans and programs to recharge a basin.
FISCAL EFFECT: Unknown.
COMMENTS: Creates the West Kings Groundwater Sustainability
Agency, specifies the boundaries, Board composition, powers and
duties, and adds the Agency to the list of exclusive local
agencies created to manage groundwater.
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1)Author's Statement: It was the expressed intent of the
Legislature in writing SGMA to manage groundwater basins
through the actions of local governmental agencies to the
greatest extent feasible.
This legislation, in creating a special act agency to serve as
the GSA for an area encompassing 265 square miles, is fully
consistent with legislative intent. The goal of this
legislation is to provide 'a seat at the table' for all of the
entities that have a stake in sustainable groundwater
management in this area. This approach offers equal and
equitable access to the decision making process.
2)Background: SGMA requires the development of a local process
to sustainably manage groundwater. Specifically, in all SGMA
regulated basins GSAs must be formed by June 30, 2017, GSPs
for critically overdrafted basins must be written by 2020, and
sustainability must be reached by 2040 (the timeline is two
years later for all other basins).
Prior to SGMA, there were several ways that groundwater was
managed at the local level.
A local agency that provided water service was authorized to
develop and implement a groundwater management plan, known as
AB 3030 plans. The Legislature also created a number of
"special act special districts" that addressed groundwater
management - these local agencies were created via statute to
establish unique governance structures and grant powers that
were customized to the problems and solutions of a particular
groundwater basin.
Local Control under SGMA: GSAs must self-identify by June 30,
2017, to the DWR, and can include a city, a county, a special
district, or a combination of these agencies organized via a
legal agreement, like a Joint Powers Authority (JPA) or
Memorandum of Agreement (MOA). One agency can form a GSA for
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the entire basin, or multiple agencies can form individual
GSAs and coordinate for basin sustainability. There are
multiple options for local agencies to manage groundwater
under SGMA, including alternatives to forming a GSA and
developing a GSP. SGMA does not specify exactly how GSAs
should govern local groundwater resources to achieve
sustainability goals.
All groundwater basins designated as medium- or high-priority,
and identified as subject to critical conditions of overdraft,
must be managed under one or more GSPs by January 31, 2020.
The Kings Subbasin that is the subject of this bill has been
designated to be in a state of critical overdraft.
Prevents formation of other GSA's: To date, no entity has
stepped forward to be the GSA for the area defined in this
bill. Designating West Kings Groundwater Sustainability
Agency as the exclusive local agency will exclude any other
eligible entity from coming forward to be the GSA in this
portion of the Kings Subasin.
Powers and Duties: This bill specifies that Kings River East
shall exercise powers granted by this act and SGMA that are
reasonably implied, necessary, and proper to implement SGMA.
The bill further specifies that the board may adopt ordinances
for the purpose of regulating, conserving, managing, and
controlling the use and extraction of groundwater and give the
agency the ability to exclude groundwater extraction
operators.
Chaptering Out, Double Referral, and Potential Amendments: A
portion of this bill amends the same code section as SB 37
(Vidak) Kings River East Groundwater Sustainability Agency.
SB 37 will be heard in this committee at the same June 28,
2016 hearing as this bill and if this bill it should pass will
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be re-referred to Assembly Local Government Committee.
Committee staff suggests that these bills be amended to
address their chaptering out conflicts.
Committee staff is aware that there are discussions on
potential amendments to provide for greater representation for
environmental justice organizations, and other revisions to
provide for specific expertise of some board representatives,
and provide for greater flexibility as to how the board must
be constructed as conditions change.
3)Prior and Related Legislation:
a. SB 37 (Vidak), would establish Kings River East
Groundwater Sustainability Agency. To be heard in this
committee on June 28, 2016.
b. SB 1168 (Pavley), Chapter 346, Statutes of 2014,
enacted SGMA.
c. AB 1738 (Dickinson), Chapter 347, Statutes of 2014,
enacted SGMA.
4)Supporting Arguments: This bill is the best way to implement
SGMA for our area. For over a year there has been a
collaborative process with public agencies, landowners, the
counties and the local communities engaged in how the water
agencies, the landowners, the counties and the disadvantaged
communities can work together to develop a GSA. It is the
intent of all the interested parties to work cooperatively to
solve groundwater issues within our subbasin and to develop
the governance structure that will facilitate implementing a
GSP.
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REGISTERED SUPPORT / OPPOSITION:
Support
Burrel Ditch Company
Clark's Fork Reclamation District #2069
Liberty Mill Race Co.
Liberty Water District
Riverdale Public Utility District
Stinson Canal & Irrigation Co.
Upper San Jose Water Company
Opposition
None on File
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Analysis Prepared by:Ryan Ojakian / W., P., & W. / (916)
319-2096