TAKE

United States Department ofthe Interior ~

BUREAU OF RECLAMATION . —

— Mid-P3c1f1c Regional OfFice U

2800 Cottage Way

IN W1.Y

WTh TO: Sacramento, Calitornia 95825-1898

MP—440

WTR-4.00 FEB 2 5 j~i93

To: ~.1l.Lnterested Persons, organizations, and Agencies

From: Regional Director

Subject: Bureau of Reclamation’s Interim Guidelines for Implementation of

Water Transfers Under Title XXXIV of Public Law 102—575 (Water

Transfer.)

Enclosed are Reclamation’s Interim Guidelines for the implementation of the

water transferprovisions of Reclamation Projects Authorization and Adjustment

Act of 1992 (Public Law 102—575, 106 Stat. 4600). These Interim Guidelines

have, been prepared pursuant to the provisions of Section 340.5(a) authorizing

the transfer of water developed, diverted, stored, or delivered by the

Secretary of the Interior in accordance with the statutes authorizing the

Central Valley Project.

If you have any questions, please contact the Bureau of Reclamation, MP—440,.

2800 Cottage Way, Sacramento CA 95825—1898.

S ~ .3- . — —

Enclosure

J
Draft

December 17, 1992

Rev. January 14, 1993

Rev. February 19, 1993

INTERIM GUIDELINES FOR IMPLEMENTATION OF THE WATER TRANSFER

PROVISIONS OF THE CENTRAL VALLEY PROJECT IMPROVEMENT ACT

CI’ITLE XXXIV OF PUBLIC LAW 102-575)

I. OBJECTIVE

Reclamation’s objective in developing Interim Guidelines for the

implementation of Section 3405(a) of Public Law 102—575 (PL 102—575) are to

address all water transfers equitably, to provide for a more efficient and

effective use of the water supply developed by the Central Valley Project

(Project), and to provide greater flexibility to water users in transferring

water developed by the Project. These Interim Guidelines will establish the

conditions for transfer of Project water authorized by Section 3405(a).

II. AUTHORITY

.

Section 3405(a) authorizes all individuals or districts who receive

Project water under water service or repayment contracts, water rights.

settlement contracts or exchange contracts to transfer, subject to certain

conditions, all or a portion ~of the water subject to such contracts to any

California water user or agency, State or Federal agency, Indian Tribe or

-private nonprofit organization for Project purposes or any purpose recognized

as beneficial under State law.

The authority provided in Section 3405(a) for transfers of Project water

is supplemental and in addition to Reclamation’s exi~ting autihbrity to allow

annual transfers between Project water users, i’~hich have historically been

allowed and which are encouraged under existing contracts :for efficient and

effective Project water management.

• III. APPLICABILITY

These Interim Guidelines will be effective immediately in order to

implement PL 102—575 and will remain in effect until the final rules and

regulations for PL 102—575 are promulgated. However, as the water transfer

process under PL 102—575 evolves, these guid~lines may be revised as necessary

1-n. ~ ~“‘ ‘~~‘~‘~rn water transfr~~ anoroveci ~“‘~p’ these Interim

Guidelines will be subject to all terms, conditions, and criteria contained in

th~ fi”’1 ra’l~ ~itid~nuL~tions promulgated for water trinsfers oursuant to PL

102—575.

All transfers implemented in accordance with Section 3405(a) will be

deemed to be a beneficial use of water for purposes.of Section 8 of the

Reclamation Act of 1902 (32 Stat. 390;43 U.S.C. Section 372).

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December 17, 1992

Rev~~nua~ry .14, 1993

Rev. February 19, 1993

All transfers implemented in accordance with Section 3405(a) will be

consistent with State law. Long—term transfers will also be subject to all

subsequent State laws enacted during the period of the transfer.

• The applicability of these Interim Guidelines wi,ll not impede or

restrict annual short—term transfers of Project water between Project

contractors as currently provided for under existing contract provisions.

These Interim Guidelines will not apply to transfers of base supply as

defined in a~d recognized under the Sacramento River water rA.ghts settlement

contracts. Transfers of base, supply under those contracts will be

accomplished pursuant to the water transfer provisions of California State

law.

IV. IMPLEMENTATION

• The application of these Interim Guidelines depends on the type of water

transfer involved. There are two separate categories of water transfers.

(A) Historic Water Transfers. All Project water users who have

existing water transfer provisions in their current contracts as

provided under prior Reclamation authorities, will be allowed ..~to

continue annual short—term transfers in accordance with the provisions

of those contracts. These transfers are typically intraservice area

transfers for periods of 1 year or less, and are made for water

• management/efficiency purposes. The criteria specified in Section V of

these Interim Guidelines do not apply to this category of water

transfers.

(B) ~A1l Other Water Transfers. All w~ter triin~fers specifically

authorized by Section 3405(a) of PL 102—575. These transfers will

include both -short—term and long—term transfers. Short—term transfers

will be Project transfers for periods of 1 year or less. Long—term

transfers will be those transfers for a period or periods of more than 1

year with the maximum period being limited by the term of the Project

contract under which the transfer is being made.

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December 17, 1992

Rev. January 14, 1993

Rev. February 19, 1993

v. CRITERIA FOR TRANSFERS AUTHORIZED UNDER SECTION 3405(al

A Transferor can be a contracting district or agency, an individual water user

within a contracting district or agency, or an individual contractor under a

water service or repayment contract, water rights settlement or exchange

contract.

(A) All transfers of Project water must be between willing buyers and

willing sellers.

(8) Transfer proposals shall be completed inlaccordance with these

criteria and shall be submitte~ in writing to Reclamation for review.

Appendix No. 1 attached hereto ‘and made a part of these Interim

- Guidelines, contains the criteria checklist that shall be used in

developing written transfer proposals.

(C) Individual Project water users within any contracting district or

agency who propose to transfer Project watqr shall submit the, proposal

to Reclamation with a duplicate copj~r of the complete written proposal to

the contracting district or agency. These individuals must be able to

document to the satisfaction of Reclamation that they are authorized to

• transfer the Project water.

1(D) All transfer proposals by individual Project water users within a

contracting district or agency shall be reviewed by the contracting

district or agency to ensure the transfer will have no unreanonable

impact on the water supply, operations, or financial conditions of the

transferor’s contracting district or agency or its water users. The

contracting district or agency will have 45 days upon receipt of the

transfer proposal to evaluate and advise Reclamation of the impacts on

the water supply, operations, or financial conditions on the contracting

district or agency.

(B) Transfer proposals involving 20 percent or more of Project water

subject to long—term contract within a contracting district or agency

shall be evaluated by the contracting district or agency and shall be

subject to review in a public participation process sim1~lar to the

provisions contained in Public Law 97—293. This 20—percent figure is

cumulative.

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—9--
- - December 17, 1992

Rev. January 14, 1993

Rev. February 19, 1993

(F) All proposals for transfer outside the Project service area shall

be subject to a right of first refusal on the same terms and conditions

by entities within the Project service area. The right of first refusal

must be exercised within 90 days from the date of public notification of

the proposed tiansfer. I

(G) To ensure notification for right of first refusal, a public notice

of int~nt to transfer shall be submitted by the Transferor to all

I Project water users associations and published at least once in all

major newspapers within the ProjJct service area prior to submittal of a

written p~oposal to Reclahiation. The minimum notice requirements, alon~

with z~- o~ Project water, user associations and major newspapers

within the Project service area are included in Appendix No. 2 of these

Interim Guidelines.

(H) All trazisfers will be limited t

9 Project water that would have

been consumptively used or irretrievably lost to beneficial use during

the year or years of the transfer.

(1) Crop consumptive use shall, be the total evapotran~piration

of applied water minus effective precipitation and does not

include transportation losses, return flows, leaching, frost

- protection, or deep percolation to usable ground—water basins.

(2) Project water irretrievably lost to beneficial use shall

mean deep percolation to an unusable ground—water aquifer (e.g., a

saline sink or a ground—water aquifer that is polluted to the

degree that water from that aquifer cannot be directly used.)

(I) No transfer or combination of transfers of Project water shall

exceed, in any year, the average annual quantity of water under contract

actually delivered to the contracting district, or agency during the last

3 years of normal delivery prior to October 30, 1992.

(J) Transfers between Project contractorS within counties, watersheds

or other areas of origin shall -be -deemed to meet the conditions set

forth in subparagraphs (H) and (I) above. -

(K) The quantity of Project water available for transfers shall be

subject to the amount of water available annually under tbe Project

water service or repayment contracts, wat~&r rights settlement or

exchange contracts under which the transfer is being made.

I I

(L) All transfers of Project water shall be consistent with Federal

and State laws, including compliance with- all. environmental requirements

of the National Environmental Policy Act (t4EPA), the Endangered Species

4

...
December 17, 1992

Rev. January 14, 1993

Rev. February 19, 1993

Act (ESA), the Fish and Wildlife Coordination Act (FWCA) (if

applicable), the California Environmental Quality Act (CEQA), and the

California Endangered Species Act (CESA).

(H) Compliance with environmental analysis, including preparation of

all documents and mitigation requirements under NEPA, ESA, FWC& (if

applicable), CEQA or CESA, will be the responsibility of the Transferor.

(N) - All proposals for long—term transfers of Project water that

involv:: grou - ~

6ubstitution must includo a ~ groundwater basin study or evaluation of ground—water supplies to ensure the

transfer will have no significant l1ong—term adverse impact on groundwater conditions in the transferor’s service area or inter—related

surface streams. Transferors may contact the State Department of Water

Resources to review any gr1ound—water data they may have available.

(0) All transfers of Project water must be consistent with Federal

- laws and will have no significant .adverse effects on the Secretary of

the Interior’s (Secretary) ability to deliver water pursuant to Project

contractual obligations or fish and wildlife obligations under Title

XXXIV of PL 102-575 because of limitations in conveyance or pumping

capacity.

(P) Project water can be subsequently transferred by the Transferee

during the period of the transfer. The Transferee will be treated as a

Transferor for all subsequent transfers of Project water during the term

of the original transfer. Such tx~ansfers shall be subject to all terms,

conditions and criteria contained in these Interim Guidelines. The

contractual right to the Project water will be retained by the

contracting district or entity.

(Q) All long—term transfers of Project water shall be reviewed

annually by Reclamation to ensure the transfer quantity is consistent

with Section (K) above, and to ensure there are no changes in the

Project oper~tions or environmental conditions which may have an adverse

impact to Project purposes if the long—term transfer continued. Long—

term transfers involving 20 percent or more’ of Project water subject to

long—term contracts within a contracting distj?ict or agency shall also

be reviewed annually by the contracting district or agency to ensure

1

there are no changes to contr~oting district or agency operations, water

supply or financial conditions.. Approval of long—term transfers may be

conditioned, temporarily suspended and/orterminated by Reclamation

should such conditions occur.

(R) All transfers of Project water outside the water rights permitted

place of use for the Project will require prior approval by the State

Water Resources Control Board.

S
December 17, 1992

Rev. January 14, 1993

Rev. February 19, 1993

I I

(5) Power to convey Project water beyond the contractual point of

delivery through Project facilities must be supplied by the parties

requesting the transportation. No Project—use power will be used to

convey Project water beyond the contractual point of delivery. First

priority at Project facilities shall be given for pumping Project

district’s or agency’s contract allocation of Project water.

(T) The Secretary or his designated representative shall have final

appro-val on all transfers of Project water.

VI. TRANSFEROR’S RESPONSIBILITY -

It shall be the Transferor’s responsibility to:

(A) Comply with all criteria for the transfer of Project water and

ensure all-proposals are complete written proposals. A water transfer

proposal will j~ ~ deemed complete until all. items listed in Appendix

1 of these Interim. Guidelines -have been satisfied. The 90—day rev4.ew

period specified in Section VII(a) of these Interim Guidelines will -

start upon receipt of the complete written transfer proposal~

(B) Ensure a complete written transfer proposal is submitted to

Reclamation for review and appr9val. Individual Transferors within a

contracting district or shall also, provide a copy of the c6mplete

written transfer proposal to its respective district or agency.

(C) Provide Reclamation wfth a written statement from the contracting

district or agency documerjting that the transfer will have no

unreasonable impact on the water supply, operations, •or financial

conditions of the Transferor’s contr~acting district or agency or its

water users.

(D) Pay Reclamation all additional water rates and charges associated

with water transfers. Individual Transferors within a contracting

district or agency shall submit all additional water rates and charges

to the contracting district or agency. The contracting district or

agency will remit to Reclamation this additional revenue. Reclamation

will provide water rates and charges associated with water transfers

upon request.

(K) Reimburse the Department of the Interior for all costs associated

with reviewing and processing transfer proposals. The Transferor is

also responsible for all costs associated with developing and completing

6
December 17, 1992

Rev. January 14, 1993

Rev. February 19, 1993

a complete written transfer proposal. If the Transferor is an

individual within a contracting district or agency, the individual is

responsible for all costs associated with developing a-complete written

transfer proposal.

VII. RECLAMATION RESPONSIBILITY

It shall be Reclamation’s responsibility to:

(A) i~pprove or disapprove water transfer proposals within 90 days from

receipt of a complete written proposal. If the transfer proposal is

disapproved, Reclamation shall inform the Transferor and Transferee in

writing why the transfer does not comply with lhe terms, conditions and

criteria of these Interim Guidelines and what alternatives, if any,

co’ald )‘~ ~c, that jthe transfa~ ‘~ould r~~’; ~z:~ly with the

terms, conditions and criteria of these Interim Guidelines.

(B) Ensure that no transfer will be approved if Reclamation, in

consultation with the U.S. Fish and Wildlife Service (Service),

determines that such transfer would result in significant reduction in

quantity or decrease in the quality of water supplies currently used for

fish and wildlife purposes, unlees’ Reclamation, in consultation with the

service, determines pursuant to findings setting forth the basis for

such determination that sucW adverse effects would be more than offset

by the benefits of the proposed transfer. In the event of such

determination, Reclamation, in consultation with the Service, shall

develop and implement alternative 1neasures and mitigation activities as

integral and concurrent elements of any such transfer to provide fish

and wildlife benefits substantially equivalent to those lost as a

consequence of such transfer.

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—V
Appendix No. 1

Drafted 12/17/92

Revised 01/08/93

Revised 02/19/93

CRITERIA CHECKLIST

FOR A COMPLETE

WRITTEN TRANSFER PROPOSAL

1. Name and Location of Transferor: (If within a district or contracting

entity, identify):

2 Name and Location of Transferee (If within a district or contracting

entity, identify):

3. Provide a detailed location map of the area(s) proposed to receive the

transferred water.

4. If Transferor is individual within a contracting district or agency,

provide documentation supporting claim of right to the quantity of

Project water being transferred under the contracting district or

agency’s Project contract.

5. Complete written description of transfer proposal, including the

proposed time period and/or term of transfer.

6. Identify Central Valley Project facility/facilities required to

facilitate transfer for conveyance, pumping and/or storage.

7. Stat-a quant-i~ty --of water involved with transf~3- and identify purpose of

use for the transferred water.

8. Provide detailed consumptive use analysis to document how the quantity

of water ayailable for the proposed water transfers was calculated.

9. Is quantity t~ be transferred more than 20 percent of the Transferor’s

contracting district or agency’s Project water supply? Explain and

provide applicable supporting documentation.

10. Will this transfer along with other transfers to date cumulatively total

more than 20 percent of the Transferor’s-contracting district or

agency’s Project water supply? Explain and provide applicable

supporting documentation.

11. Provide data identifying percentage of total contract supply transferred

to date from the Transferor’s contracting district or agency under whose

contract the Project water is being transferred.

,-
2

12. Identify method by which water is being made available for transfer:

(A) Fallowing:

(1) All transfer proposals involving fallowing shall be

submitted no later than March 1 of each irrigation season or

30 days after the effective date of these Interim

Guidelines.

(2) Acres fallowed-as part of normal rotation or crop set aside

program will not be considered as making water available for

transfer.

(3) Identify and document crop and total number of acres being

fallowed, explaining any differences from historical

- cropping pattern/historical mix.

(4) Identify and document consumptive use of crop being

f allowed.

(5) Historical cropping data for lands being fallowed (minimum

of last 5 years or from 1987 to present).

(B) Requirements for substituting ground—water use for surface supply:

(1) Comprehensive ground—water basin study or evaluation of

ground-water supplies demonstrating that the transfer will

have no significant long—term adverse impacts on groundwater conditions, inter—related surface streams, or other

• ground—water supplies in Project service area; OR

Comprehensive evaluation of the potential impact on groundwater supplies accompanied by an adopted ground—water

management plan.

(2) Location map of ground—water well(s) to be utilized.

(3) Drillers log for ground—water well(s) to be utilized.

(4) Provide location of other ground—water wells in Project

service area.

(5) Identif; and document area(s) normally irrigated by wells.

(C) Conservation:

(1) Identify method of conservation.

(2) Transfer proposals involving water made available by

conservation measures will be reviewed on a case by case

basis.
3

13. Have requirements of the HEPA, ESA, and FWCA (if applicable) been

completed? Explain and provide documentation.

14. Have requirements of the CEQA and CESA been co~npleted? Explain and

provide documentation.

15. If transfer is 20 percent or more of the Transferor’s contacting

district or agency’s Project water supply, has public participation

necessary to complete the transfer been done? Explain and provide

supporting documentation.

16. If electric power, other than Project—use power,.is necessary to

transfer Project water, then the Transferor must provide documentation

that such electric power has been obtained. The Transferor must also

provide documentation that the Western Area Power Administration finds

that the source of power is available for pumping at the Project

facilities.

17. The Transferor must submit a deposit of $3,000 to cover the

administrative costs of reviewing each water transfer proposal. If the

transfer proposal is denied, any deposit remaining will be refunded to

the Transferor. If the transfer is approved, the transferor will be

refunded any deposit remaining or billed for any additional

administrative costs incurred in processing the transfer proposal.

18. Attach statement by the Project contractor holding the contract for the

water being transferred that the transfer will have no unreasonable

impact on water supply, operations, or financial conditions of Project

contractor or its water users.

19. If the transfer will involve use of Project water outside Project

service area, provide proof of public notification for right of first

refusal.
Appendix ~4o. 2

February 19, 1993

Page 1 of 3

PUBLIC NOTICE REQUIREMENTS

1. Name and Address of Transreror (if within a contracting district or agency,

identify).

2.. Name and Address of Transferee (if within a district or contracting agency,

identify).

3. Brief description of transfer proposal (identify terms of transfer, period of

transfer, quantity of water involved, cost per acre-root, and where transferred

water ivill be used).

4. Identify a contact point for qucstions on the proposed transfer.

5. Include statement: “Ifyou are intcrestcd in excrcising right or first refusal;

please notify the contact point and write the Bureau of Reclamation, MP-440,

2800 Cottage Way, Sacramento CA 95825.”

...
Appendix No. 2

February 19,1993

CENTRAL VALLEY PROJECT

WATER ASSOCIATIONS AND AUTHORITIES

Central Valley Project Water Association

1715 Capital Avenue

Sacramento, California 95814

Friant Water Users Authority

854 North Harvard Avenue

Lindsay, California 93247

Hid-Va Water Authority

4886 East Jensen Avenue

Fresno, California 93725

Sacramento River Water Contractors Association

921 11th Street, Suite 703

Sacramento, California 95814

Tehania-Colusa Canal Water Users Association

P0 Box 1054

Willows, California 95988

Tehama-Colusa Can4l Authority

P0 Box 1025

Willows, California 95988

Delta-Hendota and San Luis Water Users Authority

P0 Box 2157

Los Banos, California 93635

Central California Irrigatio.n District

(Operating Entity of Delta Mendota Pool)

P0 Box 1231

Los Banos, California 93635

Madera Irrigation District

(Operating Entity of Madera Canal)

12152 Road 28-1/4

Hadera, California 93637

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Appendix No. 2

February 19,1993

MAJOR NEWSPAPERS WITHIN

CENTRAL VALLEY PROJECT SERVICE AREA

Antioch Daily Ledger

P.O. Box 70

Antioch CA 94509

Auburn Journ4

1030 High Street

Auburn CA 95603

Bakersfield California

P.O. Box 440

Bakersfield CA 93302-0440

Chico Enterprise-Record

P.O. Box 9

Chico CA 95926

Contra Costa Times

P.O. Box 471

Martinez CA 94553

Fresno Bee

1626 E Street

Fresno CA 93786

Red Bluff Daily News

P.O. Box 2200

Red Bluff CA 96080

Sacramento Bee

P.O. Box 15779

Sacramento CA 95852

San Francisco Chronicle

905 Mission Street

San Francisco CA 94103

San Jose Mercury News

750 Ridder Park Drive

San Jose CA 95190

Stockton Record

P.O. Box 900

Stockton CA 95201

Trinity Journal

P.O. Box 340

Weaverville CA 96093

Los ~Banos Enterprise

1253 W. I Street

Los Banos CA 93635-3930

Merced Sun-Star

P.O. Box 739

Merced CA 95340

Modesto Bee

P.O. Box 3928

Modesto CA 95352

Record Searchlight

P.O. Box 492397

Redding CA 96049-2397

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