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D. 1
To: Board of Supervisors
From: Transportation Water & Infrastructure
Date: May  5, 2009
The Seal of Contra Costa County, CA
Contra
Costa
County
Subject: Delta Water Activities, Legislation, and Possible Board Direction

APPROVE OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE

Action of Board On:   05/05/2009
APPROVED AS RECOMMENDED OTHER
Clerks Notes:

VOTE OF SUPERVISORS

AYE:
John Gioia, District I Supervisor
Gayle B. Uilkema, District II Supervisor
Mary N. Piepho, District III Supervisor
Susan A. Bonilla, District IV Supervisor
Federal D. Glover, District V Supervisor
Contact: L. DeLaney, 5-1097
I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED:     May  5, 2009
David Twa,
 
BY: , Deputy

 

RECOMMENDATION(S):

ACCEPT the following status report on Delta legislative activity; and  
  

SUPPORT the concepts of Delta Conservancy, Delta Stewardship, “Delta as a Place,” and “full mitigation of impacts” outlined in the following report; and  

  





RECOMMENDATION(S): (CONT'D)
CONSIDER providing direction to staff to advocate on legislation consistent with the Board’s adopted Delta Water Platform as recommended by the Transportation Water & Infrastructure Committee.  

FISCAL IMPACT:

There is no impact with this board action, but if the County’s concerns are not expressed or addressed, there will be fiscal impacts from currently proposed legislation.

BACKGROUND:

California is experiencing a looming water supply and environmental crisis, which has impacts for our entire nation. California’s Sacramento - San Joaquin Delta is formed by the confluence of the state’s two largest rivers and has long been at the center of competing environmental, agricultural and municipal demands. The Delta is both the hub of the state and federal water supply systems and the heart of the largest estuary on the Pacific Coast.   
  
As the source of water for 25 million Californians, the Delta also fuels the nation’s leading agricultural industry, and serves as important habitat to over 750 animal and plant species. The Delta is also valued as a unique place with an estuary that supports 80 percent of the state’s commercial salmon fisheries and 1,100 miles of levees protecting farms, cities, schools and people. Truly, the Sacramento-San Joaquin Delta is of state and national importance.  
  
Today, the Delta is in crisis. State and federal court decisions, closure of the salmon fisheries in 2008 and a succession of threatened or endangered species listings (winter-run Chinook salmon, Delta smelt, Central Valley spring-run Chinook salmon, and Longfin smelt) are evidence of this steady degradation. Additional drought-related reductions in the amount of water that can be diverted from the Delta are resulting in crop and job losses throughout California’s San Joaquin Valley, a region with already some of the nation’s highest unemployment rates.   
  
To address this crisis, Governor Schwarzenegger appointed a Blue Ribbon Task Force in 2006 to make recommendations on restoring and sustaining the Delta. The task force released its strategic plan in late 2008, which reflects the input of state and federal agencies, as well as hundreds of stakeholders throughout California. This comprehensive report makes recommendations to address the co-equal goals of restoring the Delta ecosystem and creating a more reliable water supply for California.   
  
On January 2, 2009, the Delta Vision Committee, composed of most of the Governor’s Secretaries and the President of the CA Public Utilities Commission, submitted the Delta Vision Committee Implementation Report. The task of the Committee was to review the Delta Vision Strategic Plan developed by the Blue Ribbon Task Force and make recommendations to the Governor.  
  
Federal agencies within the Department of Interior and the Obama Administration need to work with California, our state agencies, local government and stakeholders to implement this vision to restore and protect the Delta. Working together, we can better ensure sustainability for a vital ecosystem and provide reliability for the state and federal water projects in California. A lasting resolution to this serious challenge will require the strong involvement of the Department of Interior and the collaborative work of local government along with the Schwarzenegger and Obama Administrations.   
  
  
Delta Conservancy, Stewardship and “Delta as a Place” Concepts  
  
With respect to specific pieces of proposed legislation, staff of the Delta Counties Coalition have been debating whether to recommend our Boards take positions on bills before a recently-established bi-partisan, bi-cameral legislative water committee makes its determination on the large number of this year’s Delta water bills. The bi-cameral committee is expected to conclude its work by June 1.  
  
The County adopted its Water Platform on August 19, 2008. The Platform did not specifically include a discussion of the concepts of a Delta Conservancy, Delta Stewardship or the “Delta as a Place.” However, these concepts have emerged as central points of discussion in proposed legislation, and they are generally aligned with the broad policy goals and objectives of the County’s Water Platform. Therefore, Contra Costa County should be supportive of them and engage in the discussions about their development and implications.   
  
Currently, there are several bills moving through the Legislature that relate to Delta Water issues. (See attached bill status report.) The bills that are garnering the most attention include SB 12 (Simitian), SB 457 (Wolk), SB 458 (Wolk), AB 39 and AB 1187 (Huffman)--which will be the Assembly vehicles for the Legislature’s bi-cameral working group, as well as SB 229 (Pavley). SB 229 (Pavley) is the "interim" governance bill. Staff has learned that there was a "gentlepersons' agreement" that all the water bills were to move out of the Senate and Assembly committees the week of April 13 as "works in progress".   
  
There is a Senate Local Government hearing on April 30th for SB 12 (Simitian) and SB 457 (Wolk), both of which have substantial issues for local government. Contra Costa County staff and our lobbyist, Cathy Christian, have been actively engaged in the working groups that have been developing components of SB 12 (Simitian). However, staff has not as yet recommended a position on the bill.   
  
Delta Stewardship  
  
SB 457 (Wolk):Creates a Delta Stewardship Council (Council) to approve the Delta Stewardship Plan to guide and shape management of the Delta. Requires the Council to appoint a Delta Science and Engineering Board and create a Delta Science and Engineering Program. Requires the Delta Protection Commission Resource Management Plan, (including all general plans of cities and counties within the Delta), to be consistent with the Delta Stewardship Plan. Creates the Delta Stewardship Fund for regional economic development.  
  
Staff has several concerns with SB 457; however, we would like to work with Senator Wolk to address our concerns, preferably in concert with the Delta Counties Coalition. The Delta Counties Coalition is working toward supporting the bill, understanding that major changes are required to make the bill work for our interests. Solano and Sacramento County have sent a letter supporting the bill in concept. Contra Costa sent in a letter thanking the author for her work on the bill but taking no formal position. (See attached letter.) The bill has since been amended, however, further work must be done.   
  
Contra Costa Water Agency staff specific concerns with the bill include:   
  
1. Structure of Stewardship Council: A 9-member council with only one member from the Delta Protection Commission (DPC) and the others appointed by the Governor is not acceptable for a number of reasons (only one local (DPC), no federal, only political appointments).  
2. The bill focuses on cities/counties and the need for consistency with DPC and the Stewardship Council's plan. The counties and cities are the only ones specified, targeted for more regulation in this bill.  
3. The bill gives DPC undefined authority to review consistency of any water conveyance or storage project proposal with the Stewardship Council’s plan.   
4. There is no discussion in the bill of revamping the DPC to an all-local governance board.   
5. There is no language that speaks to restructuring any of the other authorities, such as the Department of Water Resources.   
6. There does not appear to be real authority over the BDCP process or the water projects.   
7. The bill does not emphasize the tri-equal goals of reliable water supply, ecosystem restoration, and maintaining the “Delta as a Place.”   
8. The Delta appears to be the only target for review of water rights and doctrines of reasonable use, rather than considering the state as a whole.   
9. The bill seeks to revise boundaries of the Delta.  
10. The bill potentially ties up the ability to sue, via dispute resolution scenarios.  
11. The proposed Stewardship Council would appear to have no real authority over water (in particular) and ecosystem, as there is for land use. The bill states the stewardship plan is intended to shape management of the Delta to ensure revitalization and create statewide reliable water supply delivery but does not indicate how.   
  
In general, with respect to the concept of a Delta Stewardship Council, as guided by the Board’s adopted Delta Water Platform, the Contra Costa County Board of Supervisors supports new governance in the Delta, specifically in the areas of ecosystem and water management. The creation of a state-level Council which recognizes the importance of the Delta is long overdue. As one of the five Delta Counties, we are concerned that all bodies charged with planning and preserving the resources of the Delta have significant local representation.   
  
Delta Conservancy  
  
SB 458 (Wolk):Establishes the Sacramento-San Joaquin Delta Conservancy to undertake various activities related to the Delta including supporting efforts that advance both environmental protection and the economic well-being of Delta residents, and cooperating with other Delta governance entities. Creates the Delta Conservancy Fund for purposes of the conservancy.  
  
In general, staff suggests that the Board be supportive of a bill that seeks to develop a Delta Conservancy with a clearly defined and limited mission and a governing body committed to that mission, institutionally separate from regulatory functions, capable of addressing multiple goals for Delta management, that incorporates a non-state entity to handle land management, and has reliable and adequate funding sources in perpetuity. The County provided a letter to the author to support the bill in concept, but again, much work is needed on the bill. (See attached letter.) Senator Wolk is interested in local input on the issues of the Delta Protection Commission and a Delta Conservancy. Local input could be influential since with these issues, members will tend to defer to local interests. Now is the time to provide this input.  
  
The Sierra Nevada Conservancy seems to be a model for conservancy that the Delta counties could support. The following components of a Conservancy have been suggested and should be considered for support by the Contra Costa County Board of Supervisors:  
  
1. Balance between state and local votes: The Conservancy Board should have an equal or near equal division between state and local representatives. This would provide for a balance of regional and state interests and concerns and allow for local input and authority. Local representatives should come from the Boards of Supervisors within the subregions.   
  
2. Supermajority vote requirement for major projects: A supermajority vote should be required for large dollar figure projects ($150,000 or greater). This would help to insure that large expenditures of state funds are approved with a greater level of consensus among the Board Members. Large projects should also include some evaluation of the impact on the local economy and local governments’ revenue. This evaluation information should be included a report of the Conservancy’s activities.  
  
3. Notice of and endorsement by the local government agency with land use authority over the location of Conservancy projects.  
  
4. Development of a Master or Strategic Plan: A Master or Strategic Plan for the Conservancy should be developed through a series of public hearings held throughout the subregions. The Conservancy should develop a local nomination process that would enable local communities to nominate projects for funding by the Conservancy. The Plan should contain criteria for projects, needs, priorities, and problems which might be addressed through the Conservancy.   
  
5. Acquisition grant proposals should include a plan for long-term management of the property and an identified funding source. Grant proposals for easements should include a plan for the monitoring of the easements and adequate funding to monitor.  
  
6. Coordination among state agencies and the Conservancy: The activities of state agencies undertaking efforts within the Sierra Nevada need to be coordinated. The Resources Agency should act in this coordination role to insure resources are well-spent and potential negative impacts to local communities or other state agencies are avoided.   
  
7. Prior approval should be obtained from the entity that is ultimately going to hold title to a property either through fee title or easement acquisition.   
  
8. No Regulatory Authority: Language should be included which clarifies that the Conservancy does not have the authority to act as a regulatory agency.   
  
9. Assessment of Conservancy: A provision requiring the periodic assessment of the Conservancy should be included to provide for an evaluation of the Conservancy’s efficacy and compliance with statutory requirements.  
  
Delta As a Place  
  
Current legislative proposals have carried forward the concept of the co-equal goals of ecosystem restoration and reliable water supply, with which we agree, but have failed to recognize the third fundamental component of the Delta – the people who live here. The Delta community is comprised of many towns, businesses, farms, schools, and homes, has its own history and culture, and an economy based on the health of those farms and communities. The Delta Counties Coalition does not believe that the co-equal goals of ecosystem health and water supply can be successfully achieved without including the Delta itself – also a resource of statewide significance - as an equal component.   
  
Solutions for the Delta will only be successful if the Delta is understood and recognized for the values it contains, and that recognition must come early - not as a result of the law of unintended consequences. The Delta Counties Coalition offers to engage in substantive discussion with the Legislature and asks that this offer be met with the commitment to include sustaining the Delta community as an equal goal with ecosystem health and reliable water supply.   
  
Proposed solutions for Delta problems are on a large scale and will result in a significant degree of change to the Delta. These proposals must include a sustainable Delta as a necessary outcome. The proposed solutions must also factor in the great number of other characteristics that define the Delta - its economy, agricultural industry and culture, communities, recreation, critical infrastructure, and the people that live and work in the Delta.  
  
Contra Costa County staff has recommended developing a promotional piece on “Delta as a Place”. It would be something we can hand out to promote and articulate our vision for Delta as a Place. And developing such a promotional piece could help bring us all together on our vision  
  
Full Mitigation of Impacts Concept  
  
Full mitigation of the broad range of impacts is required. The County should be provided the full mitigation of negative impacts to the county and special districts from changes in Delta management, including, but not limited to: lost business and income, taxes, assessments, and other revenues; increased costs of regulatory compliance; public and emergency services; transportation; flood control; water supplies; land conversion; loss of agriculture; and socio-economic impacts.  
  
  
Delta Counties Coalition Activity  
  
Regarding next steps by the Delta Counties Coalition (DCC), the Technical Advisory Committee (TAC) has discussed the feasibility/effectiveness of crafting a list of short-term and long-term Delta actions that the DCC can collectively support. The TAC has discussed a variety of approaches on how a shared set of actions could be presented. Each County has prepared initial Delta “Platforms,” and it has been generally agreed that these documents should provide the starting point to create such a list. There are several audiences to be reached with this list and, in particular, the Legislature could use it as a tool to focus decision-making and support on “short-term” Delta actions that do not require immediate investment on a larger proposed approach (i.e. Peripheral Canal). The TAC has agreed that “short-term” actions are items that should be in place now and that can help the Department of Water Resources and US Bureau of Reclamation meet their water delivery responsibilities / standards.  
  
In addition, the Delta Counties Coalition Supervisors have recognized the need to form a common legislative message from the Delta Counties Coalition. There are some pressing items that require joint opinions, or at least a determination of clear areas of agreement/disagreement. These include the following:  
  
A Delta Conservancy: Structure (significant local representation), responsibilities, funding   
  
A Delta (Stewardship) Council: structure (some local representation), responsibilities, funding  
  
The Delta Protection Commission: Under the assumption that some kind of Delta Council is formed, the Delta Counties Coalition may want to offer a model of what the DPC should be (would most likely include an all-local structure)  
  
What should be in a Delta Planand how should our land use authorities, local water rights, and water quality requirements interact with it? How can we make that plan include protection of our communities and address other concerns?   
  
How to make BDCP consistent with adjacent HCP/NCCP’sin our counties   
  
The Delta Counties Coalition has several areas of agreement already identified. Below are policies that each Board of Supervisors has adopted. Our lobbyists and legislative coordinators will adhere to this common platform when speaking for the Delta Counties Coalition. However, we need to keep our individual concerns up front, as well. In order to keep our individual concerns clear, lobbyists should not be speaking for more than the county they represent unless they are speaking from the list below.   
  
? Protect local governance and county prerogatives, including land use, revenues, public health and safety, economic development and agriculture stability;  
  
? No redirected adverse environmental, economic or social impacts to counties;  
  
? Provide full mitigation of negative impacts to the counties from changes in Delta management, including lost business and income, taxes, assessments, and other revenues, increased costs of compliance with ESA/CESA, public and emergency services, transportation, flood control, water supplies, land conversion, loss of agriculture, and socio-economic impacts;  
  
? Governance for the Delta must include voting membership for local elected officials;  
  
? Protect agricultural stability;  
  
? Provide farmers with safe harbor agreements, fish screens, and buffers related to habitat areas or conveyance facilities;  
  
? Protect water quality in the Delta and ensure water supplies for agriculture;  
  
? Protect Delta infrastructure;  
  
? Protect area of origin and existing water rights;  
  
? Secure public and private financial support for flood management, improved emergency response, preservation of agriculture, protection of water resources, and enhancement and restoration of habitat;  
  
? Provide permanent funding independent of the state budget to pay in-lieu property taxes and fees on land used for habitat restoration or water conveyance.  
  
  
Federal Stimulus Funds for Water  
  
Of the $1 billion that the Department of Interior’s Bureau of Reclamation is investing in water projects across the country, $260 million will go to projects in California that will expand water supplies, repair aging water infrastructure, and mitigate the effects of a devastating drought the state is currently experiencing. An additional $135 million is available for grants for water reuse and recycling projects; California is emerging as a leader in the development of these projects and is expected to also significantly benefit from this funding.  
  
Secretary of the Interior Salazar, who toured the Sacramento Delta with Governor Schwarzenegger on April 15, announced that more than 30 Bureau of Reclamation water infrastructure projects will be funded in California under the American Recovery and Reinvestment Act of 2009 (ARRA), including:  
  
• $40 million for immediate emergency drought relief in the West, focused on California. These investments will allow for the installation of groundwater wells to boost water supplies to agricultural and urban contractors, the facilitation of the delivery of Federal water to Reclamation contractors through water transfers and exchanges, and the installation of rock barriers in the Sacramento Delta to meet water quality standards during low flows;  
• $109.8 million to build a screened pumping plant at the Red Bluff Diversion Dam to protect fish populations while delivering water to agricultural users irrigating approximately 150,000 acres;  
• $22.3 million to address dam safety concerns at the Folsom Dam near Sacramento, which is currently among the highest risk dams in the country for public safety;  
• $8.5 million to repair water-related infrastructure at Folsom Dam;  
• $20 million for the Contra Costa Canal to protect water supplies for 500,000 Californians and to build fish screens to restore winter-run Chinook salmon and the endangered Delta smelt;  
• $4.5 million to restore the Trinity River and honor the Federal government’s responsibility to the Native American Tribes;  
• $26 million for Battle Creek Salmon/Steelhead Restoration project, which will help restore fisheries that support thousands of jobs in northern California.  
• $4 million to the Bay Delta Conservation Plan for conveyance systems to move Central Valley Project and State Water Project water, habitat restoration and adaptive management;  
• $4 million to broaden scientific knowledge of Klamath River sedimentation for future management decision-making;  
• $20.7 million in smaller water infrastructure and related projects across California.  
  
With an array of projects identified by stakeholders as critical, the Bureau of Reclamation worked through a rigorous merit-based process to identify investments that met the criteria put forth in the ARRA: namely, that the project addresses the Department’s highest priority mission needs; generates the largest number of jobs in the shortest period of time; and creates lasting value for the American public.   
  
The $1 billion announced by Secretary Salazar will go to programs including:  
  
• Meeting Future Water Supply Needs (including Title XVI water recycling projects and rural water projects) – $450 million   
• Improving Infrastructure Reliability and Safety – $165 million   
• Environmental and Ecosystem Restoration – $235 million   
• Water Conservation Initiative (Challenge Grants) – $40 million  
• Green Buildings – $14 million  
• Delivering water from the Colorado River to users in central Utah under the Central Utah Project Completion Act - $50 million  
• Emergency drought relief in the West, primarily in California - $40 million  

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