California’s Water Market, By the Numbers, Update 2021

Public Policy Institute of California (PPIC) | December 31st, 2021

This appendix serves as an update to the data on surface water trading and groundwater banking provided in the PPIC publication, California’s Water Market, By the Numb

This appendix serves as an update to the data on surface water trading and groundwater banking provided in the PPIC publication, California’s Water Market, By the Numbers: Update 2012 (Hanak and Stryjewski 2012). In each section, we describe data sources and methods and present summary statistics.

Central Valley Project (CVP) Water Transfer Program Fact Sheet

U.S. Bureau of Reclamation (USBR) | February 1st, 2015

Water transfers and exchanges are an integral part of CVP water operations, particularly in drought years, as long as transfers can occur consistent with stat

Water transfers and exchanges are an integral part of CVP water operations, particularly in drought years, as long as transfers can occur consistent with state and federal laws governing water transfers. In 2014, Reclamation facilitated the transfer of over 257,000 acre-feet of water. Of the 257,000 acre-feet, 213,220 acre-feet was considered “new water” to the system, meaning specific actions (such as reservoir reoperation, crop idling/shifting, groundwater substitution, or Yuba Accord purchases) were taken to make the water available. The remaining quantity was considered an in-basin transfer or a reallocation of contract supply. • §3405(a) of the Central Valley Project Improvement Act of 1992 (CVPIA) authorizes the transfer of all or a portion of a CVP contractors contracted water supply to any other California water user or water agency, State or Federal agency, Indian Tribe, or private non-profit organization for project purposes or any purpose recognized as beneficial under State law. • CVP water transfers are subject to the conditions prescribed in §3405(a), 1993 Interim Guidelines for Implementation of Water Transfers, and the Department of the Interior Final CVPIA Administrative Proposal on Water Transfers (1998). • Water transfer provisions of CVPIA do not apply to permanent contract assignments under which a CVP contractor relinquishes their contractual right to Project water; water banking and recharge actions outside of the contractors boundaries; water for water exchanges; forbearance actions whereby CVP contractors are paid not to exercise their right to water; and transfers of base supply water under settlement contracts which are carried out in accordance with State law. • Since 1992, the Region and the State of California Department of Water Resources, owners and operators of the two largest water projects in California, have collaborated to develop criteria to facilitate water transfers. • The Region facilitates both short and long-term transfers of CVP water. Long-term transfer approvals are accomplished through programmatic environmental documentation, with annual approvals of physical water transfers.

Climate and choice in the Colorado River Basin

Agricultural & Applied Economics Association (AAEA) | October 31st, 2024

Colorado River Basin Environmental Transfers Scorecard

Stanford University | March 16th, 2017

The Colorado River and its tributaries support more than 35 million people and irrigate more than four million acres of farmland. At the same time, the river supports 30

The Colorado River and its tributaries support more than 35 million people and irrigate more than four million acres of farmland. At the same time, the river supports 30 fish species found nowhere else on earth and inspires millions of visitors and residents alike with its sheer beauty. However, growing water scarcity caused by increased water use, hydrologic variability and climate change loom over all the Colorado River provides. Click here for follow-up report.

Counties Wresting Control: Local Responses to California's Statewide Water Market

University of Denver Water Law Review (UDWLR) | January 1st, 2003

Draft EIR Monterey Amendment to the State Water Project Contracts (Including Kern Water Bank Transfer) and Associated Actions as Part of a Settlement Agreement (Monterey Plus)

California Department of Water Resources (DWR) | April 1st, 2015

The California Department of Water Resources (Department), as the lead agency under the California Environmental Quality Act (CEQA), prepared the environmental impact rep

The California Department of Water Resources (Department), as the lead agency under the California Environmental Quality Act (CEQA), prepared the environmental impact report (EIR) for the Monterey Amendment to the State Water Project Contracts (Including Kern Water Bank Transfer) and Associated Actions as Part of a Settlement Agreement (Monterey Plus) (Monterey Plus EIR). The Department certified the Monterey Plus EIR on February 1, 2010. Several parties challenged the adequacy of the Monterey Plus EIR under CEQA. In 2014, the Monterey Plus EIR was found by the Sacramento County Superior Court (Court) to comply with CEQA in all aspects except with respect to the development, use, and operation of the Kern Water Bank (KWB). The Court specified that the Department is to correct the deficiencies and recertify the EIR without reopening the non-defective portions of the EIR. Upon recertification, only those portions of the Revised EIR (REIR) that are new or changed shall be subject to challenge under CEQA by petitioners or other interested parties. For these reasons, the Department has developed this three-volume Monterey Plus Draft Revised EIR. Document A1 presents all the changes to the Monterey Plus EIR made as a result of the Department’s reanalysis of the Kern Fan Element (KFE) property transfer and new analysis of the KWB development and continued use and operation.  Since DWR decertified the Monterey Plus EIR, pursuant to the Court’s order, the Revised EIR also includes, without modification, the 2007 Draft EIR (Document B, including Volumes I and II) and the 2010 Final EIR (Document C, including Volumes I and II). Together, the three documents constitute the Monterey Plus Draft Revised EIR (Figure P-1). The Draft Revised EIR focuses on the development and continued use and operations of the KWB near Bakersfield. Potentially significant impacts before mitigation were related to groundwater levels and quality, Kern River water quality, the Cross Valley Canal, terrestrial biological resources, erosion, hazardous materials, waterborne disease, cultural and paleontological resources, greenhouse gas emissions, and cumulative impacts.  Potentially significant and unavoidable impacts were related to cumulative growth-related impacts. The Draft Revised EIR identifies hazardous sites on or near KWB Lands that have been remediated.

Economic values for conjunctive use and water banking in southern California

American Geophysical Union (AGU) | March 2nd, 2004

Efficient Water Use in California: Water Rights, Water Districts, and Water Transfers

Rand Corporation (Rand) | November 13th, 1978

French Creek Flow Accounting Study

Scott River Water Trust | May 15th, 2020

The Scott River Water Trust (SRWT) has been working with adjudicated water-users in Scott Valley since 2007 to develop opportunities for stream flow enhancement through t

The Scott River Water Trust (SRWT) has been working with adjudicated water-users in Scott Valley since 2007 to develop opportunities for stream flow enhancement through temporary leases or long-term/permanent dedications of surface water rights. Under the seasonal Water Leasing Program, the SRWT contracts with voluntary agricultural producers to temporarily forbear all or part of their decreed water right(s) during the irrigation season in exchange for fair financial compensation. The purpose of the seasonal Water Leasing Program is to improve conditions for anadromous fish in priority stream reaches during critical life stages and time periods. The Siskiyou Resource Conservation District (SRCD) has been integrally involved with implementation of the seasonal Water Leasing Program since its inception and particularly with the monitoring component. Monitoring of seasonal transactions is generally limited to ensuring compliance with the lease terms and confirming stream response. However, in 2016 the SRWT proposed expanding the scope of effectiveness monitoring associated with the Water Leasing Program based on suggestions from Andrew Purkey and Rankin Holmes of the National Fish and Wildlife Foundation and their experience monitoring transactions in the Columbia River Basin (Holmes, et al., 2013). Under funding from the California Flow Restoration Accounting Fund managed by the National Fish and Wildlife Foundation, the SRWT contracted with the SRCD to explore several additional effectiveness monitoring techniques on French Creek including instream water level/discharge monitoring, wetted- perimeter analysis and alluvial connectivity surveillance. The purpose of this additional monitoring was to evaluate the applicability and effectiveness of these techniques to stream flow enhancement in Scott Valley and determine whether it would make sense for the SRWT adopt these practices into its programs. The specific components and objectives of the work completed on French Creek included: • Evaluate the instream effect of forbearance agreements performed by SRWT • Establish and maintain monitoring stations throughout French Creek to determine the downstream extent that returned water from various leases had on stream flow and temperature • Perform wetted perimeter analysis on French Creek to develop a relationship between instream flows and aquatic habitat conditions • Conduct periodic fisheries surveys through French Creek to evaluate the relative abundance of salmonids influenced by the transactions • Conduct periodic foot surveys through lower French Creek to establish the temporal and spatial connectivity to the Scott River This report summarizes the monitoring and analysis conducted by the SRCD during the 2018 and 2019 water leasing seasons under the French Creek Flow Accounting Study and provides conclusions related to the applicability of these methods to the SRWT.

Goal-based water trading expands and diversifies supplies for enhanced resilience

Nature Portfolio (Springer Nature) | February 11th, 2019

In response to rising water scarcity concerns around the world, water utilities are expanding and diversifying their water supply portfolios, including attempting to valu

In response to rising water scarcity concerns around the world, water utilities are expanding and diversifying their water supply portfolios, including attempting to value and reuse every drop throughout the water cycle. This transition is creating new hybrid infrastructure systems that combine centralized and decentralized sources at various scales. To help strategize and manage these emerging hybrid systems, we introduce a flexible goal-based water-trading framework using a combination of regulatory and market incentives. We apply this framework in a simulation of the San Francisco Bay Area, and test the effects of policy parameters, local preferences and collaboration between utilities. Results show that the option of engaging in an open trading scheme can lead to a more strategic and holistic path to higher regional resiliency through increased diversity in water portfolios, at lower costs than if utilities were tasked with pursuing goals independently. Highest benefits are observed when utilities cooperate in the exchange of information, which highlights the importance of transparency and trust operating in conjunction with regulatory and market forces.