Funding Mechanism Inventory and Evaluation

California Department of Water Resources (DWR) | December 13th, 2018

This document supports information contained in Chapter 4 of the California Water Plan Update 2018. The purpose of this document is to provide a description of th

This document supports information contained in Chapter 4 of the California Water Plan Update 2018. The purpose of this document is to provide a description of the current and novel funding mechanisms, as well as assumptions used in the funding analysis (described in Funding Scenario Analysis supporting document). The Funding Mechanism Inventory and Evaluation supporting document evaluates the current and novel funding mechanisms available to implement water resources management actions. Funding mechanisms need to be appropriate for the management actions being funded (i.e., have a nexus and applicability), be available when needed (i.e., have inter-annual reliability), and have political support (i.e., political viability). Many potential funding mechanisms are available for financing water resources management from State, local, federal, or private sources. Any of these could be applied for different capital and ongoing management actions. This document discusses a range of funding mechanisms and their potential use for capital or ongoing management actions. For capital management actions, the mechanisms include (1) existing, authorized funding streams, such as the State general fund or local taxes and assessments, and (2) limited-duration capital finance mechanisms, such as general obligation (GO) bonds or local bonds. Ongoing management actions are best supported by consistent reliable funding from mechanisms such as general fund, taxes, rates, or assessments. The characteristics of each funding mechanism are detailed in this document and are important considerations for the funding analysis in Chapter 4 of the California Water Plan Update 2018. Novel mechanisms are included in the funding analysis for demonstration and are not a substitute for the studies and legislation required for creation of these mechanisms. Local and federal mechanisms also are included to provide an understanding of historical and future cost sharing potentials. For additional information on historical expenditure levels of State, local, and federal funding mechanisms, seeHistorical Expenditures and Current and Future Funding Needs supporting document.

Funding Opportunity for Voluntary Participation in the Lower Colorado Conservation and Efficiency Program

U.S. Bureau of Reclamation (USBR) | October 12th, 2022

Funding Scenario Analysis

California Department of Water Resources (DWR) | December 13th, 2018

This document supports information contained in Chapter 4 of the California Water Plan Update 2018. The purpose of this document is to provide a description of the fundin

This document supports information contained in Chapter 4 of the California Water Plan Update 2018. The purpose of this document is to provide a description of the funding analysis as well as the scenarios evaluated by the funding analysis. This supporting document provides the analysis called out for in the California Water Plan Update 2013 Finance Planning Framework Component 8, which recommended the development of a decision support system (DSS) to provide guidance to the State on tradeoffs in a funding plan. To respond to this recommendation, this supporting documentation describes a funding tool used in the funding analysis and how scenarios were used in the tool to evaluate tradeoffs of different approaches to funding the recommended actions described in Chapter 3 of the California Water Plan Update 2018. The funding analysis used information about historical expenditures and funding need developed in the Historical Expenditures and Current and Future Funding Needs supporting document and information about existing and novel funding mechanisms developed in the Funding Mechanism Inventory and Evaluation supporting document. 

Funding Water in Times of Financial Uncertainty: The Case for a Public Goods Charge in California

Stanford University | January 15th, 2015

Funding for water-related public purpose projects has become increasingly scarce in California. Utilities are facing new challenges that require additional capital while

Funding for water-related public purpose projects has become increasingly scarce in California. Utilities are facing new challenges that require additional capital while the state’s legal system has restricted the ability of local governments to raise funds. This fiscal landscape requires the water sector to find new ways to finance water-related public interest projects, including conservation and efficiency programs, monitoring and evaluation, and infrastructure maintenance and modernization. California must also generate supplementary funds for new water technology research, development, and dissemination if the state is to continue to grow despite dwindling water supplies. In recent decades, California has relied heavily on general obligation (GO) bonds to finance a variety of water-related projects. GO bonds, however, are unreliable funding mechanisms as they require voter approval if they survive the legislative process, and they can be costly in the long run as they are repaid with interest. Additionally, GO bonds violate the beneficiary-pays principle as the entire state repays a debt that benefits taxpayers in certain regions more than others. This research paper looks at a supplemental funding mechanism, a Public Goods Charge (PGC), as an additional way for California to provide for water investment in the future. In a PGC scheme, ratepayers are charged a small, usage-related fee, and the funds are subsequently allocated to public interest projects at the local, utility, state, and broader scales. This method was used to fund electricity public purpose programs in California from 1998-2011, resulting in over $5.8 billion collected by the state’s three main Investor Owned Utilities (IOUs), with additional funds collected by local Publicly Owned Utilities (POUs), for energy innovation over 14 years. Utilities and the state as a whole benefitted economically and environmentally from the increased funding for energy efficiency, renewables, and research and development. The electricity PGC helped to transform California’s energy landscape into one that includes more modern and sustainable infrastructure systems. Significant energy savings were also achieved during the PGC era.

Future Atmospheric Rivers and Impacts on Precipitation: Overview of the ARTMIP Tier 2 High-Resolution Global Warming Experiment

American Geophysical Union (AGU) | March 14th, 2023

Atmospheric rivers (ARs) are long and narrow weather features often referred to as “rivers in the sky.” They often transport water from lower latitudes to higher lati

Atmospheric rivers (ARs) are long and narrow weather features often referred to as “rivers in the sky.” They often transport water from lower latitudes to higher latitudes typically across climate zones and produce precipitation necessary for local climates. Understanding ARs in a warming climate is challenging because of the variety of ways an AR can be defined on gridded data sets. Unlike weather features such as tropical cyclones where identification methodologies are similar, algorithms that determine the characteristics of ARs vary depending on the science question posed. Because there is no real consensus on AR identification methodology, we aim to quantify the algorithmic uncertainty in AR metrics and precipitation. We compare 16 different ways of defining an AR on gridded data sets and present the range of possibilities in which an AR could change under global warming. Generally, ARs are projected to increase but the amount of that increase is a function of the algorithm. Across all algorithms and focus regions, AR precipitation is projected to become more extreme.

Future Changes in Global Atmospheric Rivers Projected by CMIP6 Models

American Geophysical Union (AGU) | January 31st, 2024

Future increase in extreme El Niño supported by past glacial changes

Nature Portfolio (Springer Nature) | September 25th, 2024

Future land-use related water demand in California

Environmental Research Letters (IOP) | May 18th, 2019

Water shortages in California are a growing concern amidst ongoing drought, earlier spring snowmelt, projected future climate warming, and currently mandated water use r

Water shortages in California are a growing concern amidst ongoing drought, earlier spring snowmelt, projected future climate warming, and currently mandated water use restrictions. Increases in population and land use in coming decades will place additional pressure on already limited available water supplies. We used a state-and-transition simulation model to project future changes in developed (municipal and industrial) and agricultural land use to estimate associated water use demand from 2012 to 2062. Under current efficiency rates, total water use was projected to increase 1.8 billion cubic meters (+4.1%) driven primarily by urbanization and shifts to more water intensive crops. Only if currently mandated 25% reductions in municipal water use are continuously implemented would water demand in 2062 balance to water use levels in 2012. This is the first modeling effort of its kind to examine regional land-use related water demand incorporating historical trends of both developed and agricultural land uses.

Gaps and opportunities in nitrogen pollution policies around the world

Nature Portfolio (Springer Nature) | July 6th, 2020

Nitrogen pollution is an important environmental issue gaining traction in policy circles. However, there is little understanding of current nitrogen policies around the

Nitrogen pollution is an important environmental issue gaining traction in policy circles. However, there is little understanding of current nitrogen policies around the world: whether they account for nitrogen’s unique ability to exacerbate multiple environmental impacts or balance nitrogen’s dual role as an essential agricultural input and major pollutant. Here we assemble and analyse the first database of nitrogen policies generated by national and regional legislatures and government agencies, a collection of 2,726 policies across 186 countries derived from the ECOLEX database. The database covers all major environmental sinks (such as air, water and climate), economic sectors (including agriculture, wastewater and industry) and policy instruments (from market mechanisms to regulatory standards). We find that sink-centred policies are focused predominantly on water, mirroring the distribution of nitrogen’s global environmental and human health costs. However, policy integration across sinks is severely lacking, which heightens the risk of substituting one form of nitrogen pollution for another. Moreover, two-thirds of agricultural policies (ranging from broad sectoral programmes to nitrogen-specific measures) incentivize nitrogen use or manage its commerce, demonstrating the primacy of food production over environmental concerns.

Gauging climate preparedness to inform adaptation needs: local level adaptation in drinking water quality in CA, USA

Climatic Change (Springer) | December 23rd, 2013

Understanding resource managers’ perceptions of climate change, analytic capacity, and current adaptation activities can provide insight into what can help support ada

Understanding resource managers’ perceptions of climate change, analytic capacity, and current adaptation activities can provide insight into what can help support adaptation processes at the local level. In California, where a major drought currently demonstrates some of the hardships that could be regularly encountered under a changing climate, we present results from a survey of drinking water utilities about the perceived threat, analytic capacity, and adaptation actions related to maintaining water quality in the face of climate change. Among surveyed utilities (n = 259), awareness is high in regard to climate change occurring and its potential impacts on water quality globally, but perceived risk is lower with regard to climate impacts on local drinking water quality. Just over half of surveyed utilities report at least some adaptation activity to date. The top three variables that most strongly correlated with reported adaptation action were (1) perceived risk on global and local water quality, (2) surface water reliance, and (3) provision of other services beyond drinking water. Other tested variables significantly correlated with reported adaptation action were (4) degree of impact from the current drought and (5) communication with climate change experts. Findings highlight that smaller groundwater-reliant utilities may need the most assistance to initiate climate adaptation processes. Trusted information sources most frequently used across respondents were state government agencies, followed by colleagues in the same utilities. The finding that frequently used sources of information are similar across utilities presents a promising opportunity for training and disseminating climate information to assist those systems needing the most support.