BILL ANALYSIS �
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| SENATE COMMITTEE ON NATURAL RESOURCES AND WATER |
| Senator Fran Pavley, Chair |
| 2011-2012 Regular Session |
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BILL NO: SB 1247 HEARING DATE: April 10, 2012
AUTHOR: Gaines URGENCY: No
VERSION: March 26, 2012 CONSULTANT: Dennis O'Connor
DUAL REFERRAL: No FISCAL: Yes
SUBJECT: Watermaster Service Areas, Cost of Administration.
BACKGROUND AND EXISTING LAW
The State established the Watermaster Program in 1924. The
main purpose of the program is to ensure that an unbiased and
qualified person allocates water according to established water
rights. Watermaster service areas are created by the Department
of Water Resources (DWR) either at the request of water users or
by order of the Superior Court.
The first watermaster service area (WSA) was formed in September
1929. Each WSA corresponds to a distinct set of rivers and
streams. DWR currently provides watermaster services in 12 WSAs
in Northern California.
Prior to 2004, the costs of the watermaster program were to be
shared 50-50 between the water rights holders and the state's
general fund. However, DWR also used funds from other programs
to help offset costs of the watermaster related activities, such
that by 2004 many of the water right holders were only paying 25
percent or less of the actual costs of the program.
As a part of the 2004-05 budget, the statutes were changed to
make the watermaster program funded 100 percent by water rights
holders.
Notwithstanding the statutory change, DWR continued to
supplement the program with funds from other programs. So,
while the costs billed to water rights holders did increase, a
significant part of the program's costs were not passed on to
the water rights holders. Senate Budget Subcommittee #2
discovered this situation last year, and made the appropriate
budget changes to ensure the program is indeed 100 percent
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funded by the water rights holders.
PROPOSED LAW
This bill would change the funding of the watermaster program
back to a 50-50 cost share between the water rights holders and
the state's general fund.
ARGUMENTS IN SUPPORT
According to the sponsors, failing to fund the watermaster
program would result in dramatic fee increases to water right
holders; including some up to 800 percent. They assert that both
the DWR and the State have seen the value in partially funding
the watermaster program as it provides not only a benefit to the
water right holders, but it also helps to prevent the waste or
unreasonable use of water. SB 1247 would help reduce the amount
paid by the water right holders and would instead allow DWR to
pay up to 50 percent of watermaster costs.
ARGUMENTS IN OPPOSITION: None received
COMMENTS
How Much Money Are We Talking About? DWR's spreadsheet for the
2011-12 watermaster service program compares 2011-12 costs with
2005-06 costs.
Total costs for the 2011-12 year to be billed to water rights
holders are $1,378,000, up 367 percent from 2006-05's $375,000.
On a per acre-foot basis, the charges to individual water right
holders in 2011-12 will range from $0.56/af to $4.14/af,
depending on WSA, or a weighted average of $3.14/af. This
compares to the 2005-06 rates of $0.23/af to $1.61/af, depending
on WSA, or a weighted average of $0.86/af.
The 800 percent increase referred to above in the "Arguments In
Support" is for the Shasta WSA. Charges there will increase
from $0.28/af to $2.29/af.
SUGGESTED AMENDMENTS: None
SUPPORT
California Cattleman's Association (Sponsor)
OPPOSITION
None Received
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