BILL NUMBER: AB 2049	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 19, 2010

INTRODUCED BY   Assembly Member Arambula

                        FEBRUARY 18, 2010

   An act to  add Section 147.2 to   amend
Section 1745.10 of  the Water Code, relating to the State Water
Resources Development System.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 2049, as amended, Arambula. State Water Resources Development
System:  water delivery.   transfers of water.

   Under existing law, the Department of Water Resources administers
water supply contracts pursuant to which water suppliers
(contractors) are supplied water from the State Water Resources
Development System  (State Water Project)  , in accordance
with the California Water Resources Development Bond Act and other
provisions of law. 
   This bill would prohibit the Director of Water Resources, to the
extent permitted by law, from approving a transfer or assignment, for
more than 10 years, of any contractual right to the delivery of a
water supply from the State Water Resources Development System that
is held by a contractor for agricultural use to another contractor
for municipal use.  
   Existing law authorizes the transfer or exchange of certain water
or water rights upon approval by the State Water Resources Control
Board of a petition to transfer the water or water rights. Existing
law authorizes a water supplier to contract with a state drought
water bank or with another water supplier or user inside or outside
the service area of the water supplier to transfer or store specified
water as part of a transfer, if certain requirements are met. Under
existing law, a water user that transfers surface water pursuant to
that authority is prohibited from replacing that surface water with
groundwater, unless the groundwater use is either (1) consistent with
a specified groundwater management plan or (2) approved by the water
supplier from whose service area the water is to be transferred and
that water supplier, if a groundwater management plan has not been
adopted, determines that the transfer will not create, or contribute
to, conditions of long-term overdraft in the affected groundwater
basin.  
   This bill would additionally prohibit a water user that transfers
surface water pursuant to a contractual change in an entitlement to
water from the State Water Project from replacing that surface water
with groundwater, unless the groundwater use is consistent with
either of the 2 requirements described above.  
   The bill would prohibit a water user that contracts for water from
the State Water Project from transferring a portion of that water
from agricultural use to municipal use, unless certain requirements
are met. It would authorize the department to charge a specified fee
to a water user that is subject to that provision.  
    The bill, with a specified exception, would prohibit a water user
from using groundwater on land previously served by surface water,
if the water user transfers surface water from agricultural use to
municipal use for a period of 10 or more years. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 1745.10 of the   Water
Code   is amended to read: 
   1745.10.   (a)    A water user that transfers
surface water pursuant to this article  may   ,
or pursuant to a contractual change in an entitlement to water from
the State Water Resources Development System, shall  not replace
that water with groundwater unless the groundwater use is either of
the following: 
   (a) 
    (1)  Consistent with a groundwater management plan
adopted pursuant to state law for the affected area. 
   (b) 
   (2)  Approved by the water supplier from whose service
area the water is to be transferred and that water supplier, if a
groundwater management plan has not been adopted, determines that the
transfer will not create, or contribute to, conditions of long-term
overdraft in the affected groundwater basin. 
   (b) (1) A water user that contracts with the department for water
from the State Water Resources Development System shall not transfer
any portion of its contractual entitlement to water from agricultural
use to municipal use, unless both of the following requirements are
met:  
   (A) The groundwater basin of the service area from which the water
is to be transferred is regularly, systematically, and logically
monitored in accordance with Part 2.11 (commencing with Section
10920) of Division 6.  
   (B) The department receives a written evaluation of the economic,
social, and environmental effects of the transfer upon the service
area from which the water is to be transferred.  
   (2) The department shall charge a water user that is subject to
this subdivision a reasonable fee to cover the department's costs
associated with the implementation of this subdivision, including
costs incurred by the department if the department is required to
perform groundwater monitoring functions pursuant to Section 10933.5
for purposes of this subdivision.  
   (c) A water user that transfers surface water from agricultural
use to municipal use for a period of 10 or more years shall not use
groundwater on the land previously served by that surface water
supply, unless that groundwater use is systematically and
continuously monitored and reported to the department.  

  SECTION 1.    Section 147.2 is added to the Water
Code, to read:
   147.2.  (a) To the extent permitted by law, the director shall not
approve a transfer or assignment, for more than 10 years, of any
contractual right to the delivery of a water supply from the State
Water Resources Development System that is held by a contractor for
agricultural use to another contractor for municipal use.
   (b) Subdivision (a) does not affect a transfer or assignment of a
contractual right, as otherwise described in that subdivision, if the
transfer or assignment is for a period that does not exceed 10
years.