BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AJR 38
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          Date of Hearing:   April 27, 2010

                   ASSEMBLY COMMITTEE ON WATER, PARKS AND WILDLIFE
                            Jared William Huffman, Chair
                   AJR 38 (Caballero) - As Amended:  April 22, 2010
           
          SUBJECT  :   Sacramento-San Joaquin Delta: Two-Gates Project

           SUMMARY  :   This resolution would request the United States  
          Department of the Interior (USDOI) to complete its study of the  
          Two-Gates Fish Protection Demonstration Project (Two-Gates  
          Project) in the Delta.  Specifically,  this resolution  :  

          1)Acknowledges California experienced a drought from 2007 to  
            2009 which decreased water supply and that environmental  
            protections for the state and federally listed Delta smelt  
            under the U.S. Fish and Wildlife Service's biological opinion  
            (Smelt BiOp) caused additional reductions.

          2)Focuses on water supply reductions and subsequent fallowing by  
            Westlands Water District in the western parts of Fresno and  
            Kings Counties in the San Joaquin Valley.

          3)States water supply reductions and related job losses  
            contributed to a 40% unemployment rate in parts of the San  
            Joaquin Valley.

          4)States the Two-Gates Project is a viable option to protect  
            Delta smelt and water supply and infers the Two-Gates Project  
            would allow greater export water deliveries than the Smelt  
            BiOp.

          5)Calls on the USDOI to complete its study of the Two-Gates  
            Project.

           EXISTING LAW  :

          1)Prohibits the unauthorized take of species listed as  
            threatened and endangered under the federal Endangered Species  
            Act (ESA) and California Endangered Species Act (CESA).

          2)Requires the State Water Project (SWP) and the federal Central  
            Valley Project (CVP), which operate in a coordinated fashion,  
            to (at certain key times) restrict the degree to which they  
            cause Old River and Middle River in the Delta to run backwards  








                                                                  AJR 38
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            drawing aquatic organisms, including threatened and endangered  
            fish species, into the South Delta and the SWP/CVP pumping  
            plants.

           FISCAL EFFECT  :   Nonfiscal

           COMMENTS  :   The human suffering in the San Joaquin Valley due to  
          the economic downturn, subsequent loss of jobs in the  
          construction industries, drought, and related reductions in farm  
          employment, is tragic and well-documented.  Whether water supply  
          reductions, either due to the drought or a combination of  
          drought and pumping restrictions, have played any major role is  
          less clear.  Murkier still is whether the Two-Gates Project  
          would provide a feasible alternative to protections under the  
          current Smelt BiOp while allowing increased water supply  
          exports.
           
          The Two-Gates Project would erect a sheet pile barrier over 800'  
          wide from levee to levee anchored in the bed of Old River with  
          two gates creating a 75' channel opening in the middle.  The  
          Project would erect a second sheet pile barrier over 400' wide  
          from levee to levee anchored in the bed of Connection Slough  
          near Middle River with two gates creating a 60' opening in the  
          center.  Each barrier would have a boat ramp to be used when the  
          gates are closed, which would occur periodically December  
          through June.

          The scientific hypothesis behind the Two-Gates Project is that  
          Delta smelt respond to changes in salinity and turbidity and  
          that barriers across Old River and Connection Slough will  
          "manipulate water flows, transport patterns and the turbidity  
          field in the [Delta] so as to lessen entrainment of federally  
          (ESA threatened) and state (California CESA endangered)  
          protected juvenile and adult Delta smelt by state and federal  
          pumps in the south Delta" so as "to provide equal or improved  
          protection of Delta smelt" with higher water exports than  
          currently allowed under the Smelt BiOp.

          In December 2009, the USDOI sent letters to San Luis and Delta  
          Mendota Water Agency (SLDMWA) and Metropolitan Water District  
          (MWD), the sponsors of the Two-Gates Project, advising:

               We have conducted a thorough review of all aspects of the  
               Demonstration Project and of the documentation that has  
               been provided.  Based on our review, and in consideration  








                                                                  AJR 38
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               of several factors, we have concluded that the underlying  
               scientific premise of the project needs to be established  
               before the projects can go forward, including the  
               installation of the proposed gates?We also note that the  
               cost of the Demonstration Project has escalated from an  
               early estimate of $29 million to current estimates of  
               between $60 and $80 million.  A decision to expend public  
               funds of this magnitude cannot prudently be made in light  
               of the fundamental questions that have been raised  
               regarding whether the scientific assumptions that underlie  
               the project are sound and, as a result, whether the project  
               will serve its intended purpose.  That is why we have moved  
               quickly to work with the [United States Geological Survey]  
               to obtain needed data to evaluate interactions between  
               Delta smelt and turbid waters.  Reclamation has redirected  
               funds on an emergency basis, thereby enabling this  
               data-gathering work to begin this fall.

               Finally, while we recognize that expediting the permitting  
               process for the Demonstration Project has garnered strong  
               local, state, and Federal support, we have received over  
               1400 comment letters on the draft Environmental Assessment  
               for the project from concerned citizens and organizations  
               questioning the scientific basis, the benefits, and the  
               potential impacts of the proposed action.  In addition, the  
               November 2009 Design, Estimating, and Construction Review  
               noted nine findings and recommendations that needed to be  
               addressed to ensure the technical soundness of the  
               Demonstration Project, and to provide a credible basis for  
               decision-making.

               We are committed to working with SLDMWA, MWD, and the  
               scientific community to resolve the scientific, navigation,  
               and economic issues associated with the Demonstration  
               Project.

          Supporters of this Resolution feel it is needed "to keep the  
          federal government's 'feet to the fire' to implement the  
          projects as soon as possible."  Opponents of the project state  
          it is "an expensive scientific experiment with little chance of  
          success?that has serious impacts on the Delta and its  
          communities."  In addition, Delta Counties and recreational  
          boating interests feel the project as designed does not  
          sufficiently address potential impacts on navigation including  
          the ability of law enforcement officials to conduct search and  








                                                                  AJR 38
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          rescue operations and enforce laws and regulations on the  
          waterways.

          Finally, there are concerns by some members of the scientific  
          community that smelt and salmon are subject to increased  
          predation near artificial in-river structures.

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          Metropolitan Water District

           Opposition 
           
          Contra Costa County
          Recreational Boaters of California (Unless Amended)
          Solano County Board of Supervisors
          Yolo County Board of Supervisors

           Analysis Prepared by  :    Tina Cannon Leahy and Igor Lacan / W.,  
          P. & W. / (916) 319-2096