BILL ANALYSIS                                                                                                                                                                                                    



                                                                 AJR 38
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          Date of Hearing:   May 11, 2010

                   ASSEMBLY COMMITTEE ON WATER, PARKS AND WILDLIFE
                            Jared William Huffman, Chair
            AJR 38 (Caballero) - As Proposed to be Amended:  May 11, 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 Sacramento-San Joaquin Delta Estuary (Delta).   
          Specifically,  this resolution  :  

          1)Acknowledges that between 2007 and 2009 California experienced  
            a severe drought that adversely affected water supplies in  
            many parts of the state.

          2)States that in 2009 State Water Project (SWP) and federal  
            Central Valley Project (CVP) water supply reductions were due  
            to drought, and to a lesser extent, made to protect state and  
            federally listed smelt, salmon, and steelhead.

          3)Acknowledges that in 2009, while senior CVP water users south  
            of the Delta received 60-100% of contract amounts,  
            agricultural water users on the Westside of the San Joaquin  
            Valley received 10% of contract amounts.

          4)States that in 2009 recession, drought, water supply  
            reductions and other hardships combined to affect farm  
            workers, ag-related jobs, and small businesses in the San  
            Joaquin Valley.

          5)States that the Two-Gates Project is an experimental project  
            that proposes to install barriers and gates in the Delta to  
            reduce the loss of Delta smelt at the SWP/CVP pumps and infers  
            the Two-Gates Project would allow greater SWP/CVP export water  
            deliveries.

          6)Underscores the importance of the Delta and the need to  
            identify and implement programs to advance California's  
            co-equal goals of protecting and restoring the Delta ecosystem  
            while ensuring a reliable water supply for California.

          7)Calls on the USDOI to prioritize completion of the Two-Gates  








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            Project study.

           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 SWP and 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 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 currently  
          needed to protect smelt, salmon and other imperiled species  
          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  








                                                                 AJR 38
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          protection of Delta smelt" with higher water exports than  
          currently allowed under the Delta smelt biological opinion.

          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  
               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.








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          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  
          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 and that the  
          project may adversely affect critical habitat.

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          Association of California Water Agencies
          Metropolitan Water District

           Opposition 
           
          Contra Costa County
          Recreational Boaters of California (Unless Amended)
          Sacramento County
          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