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 1495                   HEARING DATE: April 10, 2012
          AUTHOR: Wolk                       URGENCY: No
          VERSION: Introduced                CONSULTANT: Dennis O'Connor
          DUAL REFERRAL: No                  FISCAL: Yes
          SUBJECT: Sacramento-San Joaquin Delta Reform Act of 2009.
          
          BACKGROUND AND EXISTING LAW

          The Sacramento-San Joaquin Delta Reform Act of 2009, among other 
          things:
           Established co-equal goals of providing a more reliable water 
            supply for California and protecting, restoring, and enhancing 
            the Delta ecosystem. 
           Created the Delta Stewardship Council (Council)
           Required the Council to develop and adopt a Delta Plan to 
            achieve the co-equal goals.
           Required all "covered actions" to be consistent with the Delta 
            Plan.

          The Act defined covered actions as a plan, program, or project, 
          as defined in the California Environmental Quality Act (CEQA), 
          that meets all of the following conditions:
           Will occur, in whole or in part, within the boundaries of the 
            Delta or Suisun Marsh.
           Will be carried out, approved, or funded by the state or a 
            local public agency.
           Is covered by one or more provisions of the Delta Plan.
           Will have a significant impact on achievement of one or both 
            of the coequal goals or the implementation of 
            government-sponsored flood control programs to reduce risks to 
            people, property, and state interests in the Delta.

          The Act also defined a number of specific activities as not 
          being covered actions, including:
           A regulatory action of a state agency.
           Routine maintenance and operation of the State Water Project 
            or the federal Central Valley Project.
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           Regional transportation plans.
           Any plan, program, project, or activity within the secondary 
            zone of the Delta that the applicable metropolitan planning 
            organization has determined is consistent with the provisions 
            of SB 375 (Stats 2008, c. 728).
           Routine maintenance and operation of any facility located, in 
            whole or in part, in the Delta, that is owned or operated by a 
            local public agency.

          PROPOSED LAW
          This bill would exclude from the definition of "covered actions" 
          both of the following:

          1.Leases approved by a special district formed under the Harbors 
            and Navigation Code if all of the following apply:
                 The uses proposed by the lease are authorized by the 
               applicable general plan and zoning ordinances of the city 
               where the special district is located.
                 The special district complies with CEQA prior to 
               approving the lease.

          1.Dredging activities and projects conducted by the federal 
            government or a special district formed under the Harbors and 
            Navigation Code to improve interstate and international 
            commerce through the navigable waters of the United States.

          ARGUMENTS IN SUPPORT
          According to the author, "The Sacramento and Stockton ports 
          provide important hubs for goods movement within our region. The 
          2009 Water Package gave broad authority to the Delta Stewardship 
          Council to review 'covered actions' for consistency with the 
          Delta Plan. The covered actions review process adds a new level 
          of review and delay for some port activities within the Delta. 
          Two actions that are currently considered covered actions are 
          lease approvals and routine dredging of ship channels. SB 1495 
          would provide a narrow exemption for these two actions from the 
          definition of 'covered actions' in order to ensure that these 
          time sensitive port activities proceed without unnecessary 
          delays."

          ARGUMENTS IN OPPOSITION
          According to the Association of California Water Agencies 
          (ACWA), "ACWA is concerned that dredging operation by the ports 
          that go beyond routine maintenance and operation (which appears 
          to be exempt under existing law), is the type of activity that 
          should be reviewed for consistency with the Delta Plan.  ACWA is 
          also concerned that the enactment of SB 1495 would encourage 
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          others to seed 'covered action' exemptions for their activities 
          in and around the Delta."

          COMMENTS 
           Two Ports.   The Delta is home to two deep water ports, the Port 
          of Stockton and the Port of West Sacramento.  They both move 
          ships through the Delta via deep water channels; the Sacramento 
          Deep Water Channel roughly parallels the Sacramento River along 
          the west side of the Delta, the Stockton Deep Water Channel 
          largely follows the main stem of the San Joaquin River up to 
          Stockton. 

           What is a "Significant Impact?"   As noted in the background 
          discussion above, the Act establishes a four part test to 
          determine if a plan, program, or project is a "covered action."  
          The first three items are relatively unambiguous.  The fourth 
          test, whether it will have a significant impact on achievement 
          of one or both of the coequal goals or the implementation of 
          government-sponsored flood control programs, is less clear-cut. 

          The Council, in its 5th staff draft of the Delta Plan, "has 
          determined that 'significant impact' means a change in existing 
          conditions that is directly, indirectly, and/or cumulatively 
          caused by a project and that will significantly affect the 
          achievement of one or both of the coequal goals or the 
          implementation of government-sponsored flood control programs to 
          reduce risks to people, property, and State interests in the 
          Delta."

          Accordingly, the Council has established "administrative 
          exemptions" to the "covered actions."  Specifically, "The 
          Council has determined that the following types of projects are 
          not covered actions because they will not have a significant 
          impact under Water Code section 85057.5(a)(4):"
           "'Ministerial' projects under CEQA (because they only require 
            the application of fixed standards or objective measurements 
            set forth in an ordinance or other legal or regulatory 
            provision)"
           "'Emergency' projects under CEQA �citation omitted]"
           "Temporary water transfers of up to 1 year in duration."

          It might be that subsequent drafts of the Delta Plan will 
          address the issues raised by this bill by further refining the 
          list of "administrative exemptions."

           Are We Missing A Step?   The Port of Stockton asserts that 
          because updates to the general plan are covered actions, as long 
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          as the leases are consistent with the general plan, any issues 
          associated with leases of Port lands have already been 
          considered and so the leases should not, in and of themselves, 
          be considered covered actions.  

          Two points:  First, it might be that they are not covered 
          actions because they do not meet the "significant impact" test 
          discussed above.  Second, the Port's argument holds only if the 
          city finds that the leases are consistent with the general plan 
          and the city has complied with the requirements for covered 
          actions.  (See Amendment 1)

           Maintaining Vs. Expanding Channel Capacity.   The definition of 
          covered actions in the statute explicitly excludes routine 
          maintenance and operations of the SWP, CVP, or any facility 
          located in the Delta that is owned or operated by a local public 
          agency.  Routine dredging to maintain channel capacity is 
          arguably consistent with this construct.  However, dredging to 
          expand channel capacity could reasonably have a "significant 
          impact," and so should remain a covered action.  (See Amendment 
          2)

           Technical Corrections.   Senate Engrossing and Enrolling found a 
          typo that needs correcting.  (See Amendment 3)

          SUGGESTED AMENDMENTS 

               AMENDMENT 1:  On page 3 line 29, after "(B)" insert:
               The uses proposed by the lease are approved by the city 
               where the special district is located, and the city 
               complies with Chapter 3 (commencing with section 85225), if 
               applicable, prior to approval of the lease by the special 
               district.
               (C)

               AMENDMENT 2:  On page 3, delete lines 32 through 35 
               inclusive and insert:
               (9) Routine dredging activities that are necessary for 
               maintenance of facilities operated by special districts 
               formed under the harbors and navigation code.
               
               AMENDMENT 3:  On page 3 line 4, after "of" insert "the"

          SUPPORT
          Port of Stockton

          OPPOSITION
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          Association of California Water Agencies














































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