A daily compilation for DWR personnel of significant news articles and comment
September 20, 2007
1. Top Items
Governor proposes $9 billion bond plan, dams centerpiece - Associated Press
Governor seeks $9 billion in bonds for water projects in state -
Schwarzenegger urges $9 billion in water bonds; Governor seeks funds for dam projects in the Bay Area and the
Governor unveils water plan; His $9 billion proposal runs counter to his blue ribbon panel's first draft -
Governor's plan calls for new dams; LEGISLATORS TACKLE WATER STORAGE NEEDS - San Jose Mercury News
Bigger water plan is unveiled; Governor's $9 billion proposal has more state money for dams -
Governor proposes $9 billion bond plan, dams centerpiece
Associated Press – 9/18/07
The proposal eclipses the governor's previous $5.9 billion bond plan, in large part by adding a third dam project in
Whether the lawmakers will go along with dams -- and how much they are willing to pay for them -- will be a key part of the negotiations in the Legislature's upcoming special session on water projects.
Senate President Pro Tem. Don Perata, D-Oakland, has introduced his own $5.4 billion water bond proposal, but his plan would allow communities to apply for state grants to build their own dams if they want to spend the money that way.
Assemblyman John Laird, D-Santa Cruz, said the Assembly would need weeks to go through the details of the competing bond proposals, all but assuring lawmakers would miss a Sept. 27 constitutional deadline to put a bond proposal on the Feb. 5 presidential primary ballot. However, both sides acknowledged that deadline could be extended.
Schwarzenegger's proposal was introduced by Sen. Dave Cogdill, R-Modesto, and includes $5.1 billion to expand the Los Vaqueros reservoir built by
The Schwarzenegger plan would not allow money to be used to build a peripheral canal around the Sacramento-San Joaquin Delta, although the state could study the project.
The remainder of the governor's proposal would provide $1.9 billion to restore the delta, $1 billion for water recycling, conservation and other supply reliability projects and $500 million to help local agencies undertake environmental restoration projects around the state. #
http://www.nctimes.com/articles/2007/09/19/news/state/12_09_329_18_07.txt
Governor seeks $9 billion in bonds for water projects in state
San Francisco Chronicle – 9/19/07
By Tom Chorneau, staff writer
In a move to address
The governor's aides said the proposal seeks a long-term solution to the state's water needs and addresses the more immediate crisis stemming from a federal court ruling this month. That ruling could cut water deliveries to
Environmentalists applauded the governor's decision not to propose spending money to build a peripheral canal around the delta - an issue that polarized voters three decades ago. But they said the proposal would spend too much money on dams while largely ignoring alternative strategies such as water conservation and recycling.
The proposal is one of several that the Legislature will consider during this month's special session on water. Another is a $5.4 billion bond proposal from Senate President Pro Tem Don Perata, D-Oakland.
If consensus can be reached, lawmakers said they would like to put a water bond measure before voters in February.
Supporters of the governor's plan said
"We have to have a holistic approach to our problems that reflects a number of components to give us the system that we need," said state Sen. Dave Cogdill, R-Fresno, who will carry part of the governor's plan before the Legislature. "No one component by itself will by itself solve our problems."
Environmentalists and Democratic members of the Legislature, however, said they cannot support big parts of what the governor has proposed.
"We can't do everything, only the most cost-effective things," said Jim Metropulos, a
Assemblyman John Laird, D-Santa Cruz, chairman of the Assembly Budget Committee, said the governor's plan also calls for the state to pay up to 50 percent of the costs of three dams, far more than the 3 percent of costs that the state has paid for dams in the past.
Schwarzenegger would spend $5.1 billion to pay up to half the cost of building two dams - the Sites Dam, near Maxwell in
A recent study from the U.S. Bureau of Reclamation estimated that tripling the 100,000-acre-feet of Los Vaqueros would cost about $600 million. The Sites and Temperance Flat projects are expected to exceed $2 billion each.
The governor's plan also would provide $1.4 billion for habitat restoration in the delta as well as $500 million to address environmental problems raised by a federal judge in September, related to how water pumping in the delta threatens fish populations.
Another $1 billion would be available as grant money for local agencies and municipalities and $500 million for groundwater projects. And $500 million would go to help specific watershed projects statewide.
The plan borrows much from a $5.4 billion bond proposal made last week by Perata. His plan, however, would provide $2 billion for water supply projects that could include the new dams. Another $2.4 billion would go for projects in the delta and $1 billion for watershed projects.
Perata noted Tuesday that Schwarzenegger's proposal would allocate $600 million in bond money that voters approved last year.
The move by the governor seemed to signal that he would veto a bill, SB1002 by Perata, that would allocate the $600 million mostly to improvements in the Sacramento-San Joaquin Delta aimed at solving problems raised by the federal court.
Perata said the governor's move will only complicate the negotiations.
"These funds are awaiting use by water agencies throughout the state," Perata said. "If he vetoes this bill, it is hard to imagine how he can make a case to voters that we need more money when we haven't spent what we have. Every water agency endorses and awaits the implementation of SB1002." #
http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2007/09/19/MNJES8QQ0.DTL
Schwarzenegger urges $9 billion in water bonds; Governor seeks funds for dam projects in the Bay Area and the
By Nancy Vogel, staff writer
With drought and court-imposed cutbacks looming, the governor's proposal kick-starts what is expected to be several weeks of intense negotiations with legislators to place a water bond on the Feb. 5 ballot.
Schwarzenegger's insistence upon dam projects in the Bay Area and in the
They say the state will get more water at lower cost by cleaning up polluted groundwater supplies and recycling and conserving water.
The bond proposal also breaks with historical water development in
The Republican governor's latest, most detailed proposal involves $3.6 billion more in borrowing than what Senate leader Don Perata, an Oakland Democrat, has proposed in a bond measure of his own.
Perata would not preclude local water districts from competing for state money to help build dams in his $5.4-billion proposal, but his plan would not earmark state money for specific dams.
"We're not saying we're not for dams, Perata said, "but what we are saying is: Let the dams compete with other things. This is kind of ironic for me to say instead of the governor: Let the market run its course."
Perata predicted that Schwarzenegger would be forced in negotiations to drop specific dam projects because, he said,
"He's either going to come our way," Perata said, "or there will be no way."
Last week, the governor declared a special legislative session on water to force legislators to keep working on the issue through their fall break.
Some legislative leaders had hoped to strike a deal by Thursday, before at least 19 legislators depart for overseas trips.
Or, they say, they will negotiate for at least the next several weeks -- as long as they can before an undetermined deadline for printing a supplemental ballot pamphlet for the Feb. 5 presidential primary election.
Schwarzenegger's proposal would invest in expanding
The governor would also fund a new reservoir in the hills of Glenn and Colusa counties, where water would be piped from the
Assemblyman John Laird, a Santa Cruz Democrat taking a lead on water negotiations, said that the central debate in coming weeks would be over the question, "Who pays?"
"Do the people across the state pay for their own water and the water of other people?" he said. "Or do the people that receive the water pay a fair share of the cost of getting it to them?"
John Moffatt, who advises the governor on water issues, said Schwarzenegger's proposal would invest tax dollars only where the state at large stood to gain and only to pay up to 50% of the cost of a dam project. Water users would have to pay the rest.
"The state will only pay for that portion of a project that has public benefits," he said. "Our goal is to add assets to the backbone of the system that offer additional flexibility and benefits to everybody."
Jeffrey Kightlinger, general manager of the Metropolitan Water District of Southern California, which provides water to 17 million people from
MWD's top concern, Kightlinger said, is finding a way to safeguard the export of water from the Sacramento-San Joaquin Delta.
The delta is a source of water to two-thirds of
Last month, a federal judge imposed protections for delta smelt that could cost
Those months are the primary season for moving storm runoff and Sierra snowmelt to farm fields and reservoirs hundreds of miles south.
Consensus has been growing for years that
In their bond proposals, neither Schwarzenegger nor Perata specifies such a rerouting, or "conveyance." Instead, they are waiting to hear the recommendations -- due in October -- of a task force appointed by Schwarzenegger last year.
Governor unveils water plan; His $9 billion proposal runs counter to his blue ribbon panel's first draft
By Matt Weiser, staff writer
Gov. Arnold Schwarzenegger on Tuesday renewed his plan to build new dams and a Delta canal to solve
The governor called a special session of the Legislature, now under way, to deal with
The crisis was prompted by declining fish species and the threat of a disaster in the Sacramento-San Joaquin Delta. An Aug. 31 federal court ruling also may require water diversions from the Delta to be slashed up to 37 percent starting in December. This could mean rationing for 23 million Californians who get water from the Delta.
Schwarzenegger's $9 billion plan, presented Tuesday, includes many features in a proposal he offered earlier this year. It includes $600 million in immediate spending to address environmental problems in the Delta.
But the plan's primary focus is new hardware: $5.1 billion for new dams, and up to $1.9 billion for a canal to move
It specifically names three dam projects: Sites Reservoir in Glenn and Colusa counties, Temperance Flat Reservoir on the
"Our water crisis has gotten worse with the dry conditions and the recent federal court action that is going to have a devastating impact on the state's economy," the Republican governor said in a statement, referring to the decision by a federal judge to reduce Delta water pumping. "We need a comprehensive fix."
Democrats in the Legislature aren't comfortable with any proposal that names specific dam projects. Some also doubt that a deal can be reached in time.
"It's premature to conclude that either a canal or any specific dam is the magic bullet," said Assemblywoman Lois Wolk, D-Davis. "I suspect we're not going to be doing anything for the February ballot because of the enormity and complexity of the task."
A $5.4 billion bond proposal by Senate President Pro Tem Don Perata, D-Oakland, allows spending on unspecified dams and canals, but only if they prove to be better than other projects, such as conservation and groundwater banking.
Both this proposal and the governor's would require a local agency to pay at least half the project costs, which could drive up local taxes or water rates.
Assemblyman John Laird, D-Santa Cruz, leader of a water working group in the Assembly, cautioned that a Delta canal doesn't have enough voter support.
"I think a Delta canal might risk an entire bond proposal," Laird said Tuesday.
But a Delta blue ribbon task force, appointed by Schwarzenegger this year, indicated in a first draft of its findings last week that building big things may not solve the Delta's troubles.
Rather, it calls for fundamental change in how the Delta is governed.
Noting that at least 220 government agencies have jurisdiction in the Delta, the task force proposes a new governance structure with "wide authority" to treat environmental values and water supply equally. This new entity must have the money and legal authority to control land use, water flow and environmental restoration.
"Humanity must learn to work with nature to achieve desired goals in the Delta," the draft states. "The state must seek a new balance that neither prioritizes human engineering over the ecosystem, nor abandons the Delta."
The draft will be discussed at a meeting of the task force Thursday and Friday in
Some observers are pleased the task force is grappling with such fundamental problems.
"That sounds like a much more thoughtful and sustainable approach than simply slapping up more structures," said Matt Kondolf, a professor of landscape architecture at the
The task force also emphasizes creation of a "resilient" Delta, rather than one dependent on a single fix. There isn't enough known about how the Delta functions today, it says, so it is impossible to know what effect future changes will have.
The draft report also takes on some taboos, stating flatly that it won't be possible to export more water from the Delta in the future, and that housing must be kept out of flood-prone areas.
"All the activity on the bond makes even less sense right now given the really good direction that the (task force) seems to be moving in," said Laura Harnish, deputy regional director at Environmental Defense. "The governor should let this process that he wisely chartered take its course, and then follow its recommendations." #
http://www.sacbee.com/111/story/386773.html
By Harrison Sheppard, staff writer
If approved, local water agencies would have to match the state funds with an additional $5 billion, bringing the total cost to at least $14 billion.
But the new bond money is needed to address a growing crisis exacerbated by drought conditions and increasingly restricted supplies, the governor said.
"Our water crisis has gotten worse with the dry conditions and the recent federal court action that is going to have a devastating impact on the state's economy and the 25 million Californians who depend on Delta water," Schwarzenegger said in a written statement.
"We need a comprehensive fix."
A federal court recently ordered a large reduction in pumping water from the Sacramento-San Joaquin River Delta to Southern California, the Bay Area and
Other Southern California sources have also been restricted in recent years, including limits on water from the
Even the state's staunchest fiscal conservatives - including the Howard Jarvis Taxpayers Association and Sen. Tom McClintock, R-Thousand Oaks - agree on the need for more water projects, even after the approval of last year's bonds.
But, they say, they will keep close tabs on whether the state spends the money well.
"The need is absolutely dire, and our finances are strained," McClintock said. "So it's doubly important not to screw this one up."
McClintock argued that rather than fund repairs using bonds that are repaid by all state taxpayers, the state should issue revenue bonds that are repaid through fees on water users who benefit from the projects.
He also said the state needs to specify in advance all of the projects it intends to fund with the bond.
The Governor's Office said the new bond should complete the water portion of his Strategic Growth Plan, a $222 billion proposal to fund improvements in transportation, schools, water and other infrastructure.
The governor's new water bond calls for $5.6 billion in water storage projects; $2 billion in delta restoration; $1 billion for conservation and regional water projects; and $500 million for water-restoration projects.
Senate President Pro Tem Don Perata, D-Oakland, has also proposed a $5.4 billion water bond.
The major difference between the proposals is reflected in one of the biggest obstacles to approving a water bond - opposition by Democrats and environmentalists to the construction of massive new dams in
The governor's proposal has $5 billion worth of state funding for three new water-storage facilities in Northern California and the
Republicans vow no proposal will go on the ballot without those dams.
"Without reservoirs, there's no way it'll pass out of the Legislature," said Assembly Minority Leader Mike Villines, R-Fresno. "It's a requirement. There's no way we'll come to the table without it."
To be placed on the Feb. 5 ballot, the Legislature needs to approve the bond with a two-thirds majority by Sept. 27, although the secretary of state could extend that deadline.
Since 2000,
Of those, the state has yet to issue about $12 billion in authorized debt, according to state Treasurer Bill Lockyer's office.
Overall, the state right now has about $41 billion in general obligation debt still outstanding, according to the Treasurer's Office.
It also has authorization for an additional $63.7 billion in bonds that have not yet been sold. Those unissued bonds include all of the $42 billion in infrastructure measures on the 2006 ballot, including the two water bonds.
In fiscal year 2006-07, the state made about $4 billion in annual bond debt payments. #
http://www.dailynews.com/news/ci_6932309
Governor's plan calls for new dams; LEGISLATORS TACKLE WATER STORAGE NEEDS
By Steven Harmon, MediaNews Sacramento Bureau
The governor's proposal - a kickoff to the Legislature's special session on water storage - comes on the heels of a federal judge's ruling to protect endangered fish by curtailing water supplies to the rest of the state from the delta, which supplies two-thirds of the state's water.
Schwarzenegger, observers said, is hoping to use the sense of urgency - aided by a looming drought - to pressure lawmakers to quickly approve his proposal to get it on the Feb. 5 ballot. Lawmakers would have to get a two-thirds vote in both legislative chambers by Sept. 27 to put it on that ballot, although legislators may try to push the deadline to mid-October.
"Our water crisis has gotten worse with the dry conditions and the recent federal court action that is going to have a devastating impact on the state's economy and the 25 million Californians who depend on delta water," Schwarzenegger said in a statement.
"We need a comprehensive fix."
Senate President Pro Tem Don Perata, D-Oakland, who has his own plan that calls for smaller-scale dam projects, said he's willing to work with the governor. But he called on the governor to approve a bill on his desk that would allocate $600 million for delta improvements.
"I only wish he had provided more direction earlier in the year when the Senate struggled to get a bond bill to his desk, in anticipation of the federal court's ruling," Perata said in a statement. "Instead, now we have a gun muzzle at our temple; unless we take swift action for immediate relief, the court will effectively cut water as much as 60 percent to millions of
The centerpiece to the governor's plan are the two proposed dams - at Sites Reservoir in Colusa County and Temperance Flat, a dam on the northern San Joaquin River, east of Fresno - at a cost of $5.1 billion. An unspecified amount would go toward the expansion of a third reservoir, Los Vaqueros in
It also adds $1.9 billion for delta restoration. Of that, $1.4 billion would be for habitat restoration and $500 million to address other environmental concerns.
Voters just approved $9.5 billion for two flood control and water quality bonds last November, after approving one for $3.4 billion in 2002 and another for $1.9 billion in 2000.
Democrats are unlikely to fully embrace a plan to build the two dams. They said that agricultural and regional interests will have to come up with more money than they've previously committed. A competing $5.4 billion Senate Democratic proposal would provide a $2 billion fund to be tapped by regional water districts with matching dollars.
The governor's plan, aides said, would require regional water districts to match the state's contribution with about $5 billion.
"We'll have to have a real vetting process," said Assemblyman John Laird, D-Santa Cruz, a member of a task force on the special session. "This means we won't have an agreement in just a few days. This will take us, base minimum, a few weeks to grasp it and see if there are parts of it we like. It all depends on how much the governor is willing to negotiate with us. Is it a starting point, or will he want to stick with it?"
Dam proponents say local water districts shouldn't be overburdened with the cost since the dams would have statewide impact.
"The system of reservoirs, canals and groundwater resources will be under different demands and stresses 20 years from now," said Ryan Broderick, executive director of the Northern California Water Association. "The discussion has to be centered on 'does this help provide flexibility not just for regional operations but state and federal operations and member agencies?' "
Environmentalists, however, insisted that building dams is one of the least efficient ways to increase water supply.
"Look at the state's water plan," said Jim Metropulos, legislative representative for Sierra Club
Republicans are unlikely to support a proposal that does not add the two dams.
"Without reservoirs, there's no way it'll pass out of the Legislature," said Assembly Minority Leader Mike Villines, R-Fresno. "It's a requirement. There's no way we'll come to the table without it." #
http://www.mercurynews.com/politics/ci_6935108?nclick_check=1
Bigger water plan is unveiled; Governor's $9 billion proposal has more state money for dams
By E.J. Schultz, staff writer
More than half of the $9 billion plan would be dedicated to three dams, including one near
Lawmakers have only a few weeks to reach a deal in time to get a bond on the Feb. 5 ballot -- a goal of both parties.
The governor has called a special legislative session to address the issue, but prospects of a compromise are uncertain considering the key differences between the two leading plans.
Senate President Pro Tem Don Perata, D-Oakland, is pushing a $5 billion plan that would free local water agencies to spend money how they see fit -- for dams, ground-water storage or water recycling.
Schwarzenegger's proposal is more state-driven, authorizing the state to pay up to half the cost of the dams.
"Our water crisis has gotten worse with the dry conditions and the recent federal court action that is going to have a devastating impact on the state's economy," the governor said in a statement, referring to the recent decision by a federal judge in
Democrats are unlikely to go along with spending so much on dams, which would take at least a decade to build.
Assembly Member John Laird, D-Santa Cruz, said the state has historically paid no more than 3% of the cost of dams, well under the share that the governor is advocating.
"We'll look at everything in [the governor's plan] but it's really going to have to be judged on its merits -- and I think one of the biggest issues is financing," said Laird, who will lead Assembly Democrats during water talks.
The governor's new plan is similar to a $5.95 billion plan that Democrats killed earlier this year.
Administration officials hope the recent federal court decision will prod lawmakers into action.
The ruling by U.S. District Judge Oliver Wanger orders less delta pumping to protect the delta smelt, an endangered, 3-inch-long fish.
State officials say the decision could lead in average years to a 35% cut in deliveries to
The governor's proposal includes $5.1 billion for dams, more than double the amount included in his earlier proposal.
Administration officials said the increase was due to rising construction costs and the fact that the new plan includes one more dam -- expansion of Los Vaqueros Reservoir in
Also included, as before, is money for two new dams: one east of
Like the earlier proposal, local water agencies would have to pay for half or more of the cost.
The state's share would be determined based on the "public benefit."
Those benefits could include increased flood protection or a stabilization of river flows to aid spawning salmon.
The governor's plan includes $500 million for ground-water storage and $1.9 billion for environmental improvements in the delta, such as habitat restoration. Another $1 billion is reserved for grants for conservation and regional water projects.
By statute, lawmakers have until Sept. 27 to get a bond on the Feb. 5 ballot, though there might be some wiggle room.
Assembly Republican Leader Mike Villines of
Villines said the governor's proposal marks a starting point in negotiations, noting that the dam allocation is likely to drop.
"There's a lot of work to be done, but something had to be put in print ... so we could start to negotiate," he said. #
http://www.fresnobee.com/263/story/142480.html
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