Lawsuit Endangers Reliable Water and Food Supply

Byron, CA (June 11, 2021)Legal action initiated by a coalition of California environmental interest groups could disrupt reliable water supplies for nearly 100 water purveyors from Shasta Lake to Sacramento, across the Central Valley, Silicon Valley, and beyond.

In a recent court filing, Restore the Delta, Planning and Conservation League and the Center for Biological Diversity, who had already sued the United States Bureau of Reclamation (Reclamation) and the United States Department of Interior, named nearly 100 Central Valley Project (CVP) contractors, including the Byron-Bethany Irrigation District (BBID), as defendants. The complaint seeks to invalidate, without cause, CVP water contracts that are foundational to California’s water supply, especially for its agricultural industry that provides more than half of the nation’s fruits, nuts, and vegetables.

The heart of the plantiffs’ case is the “conversion” of CVP contracts from “long-term” or “interim renewal” contracts, which Reclamation would renew upon expiration, to permanent contracts. BBID acted in good faith utilizing a provision in federal legislation known as the WIIN Act to convert its CVP contracts to repayment contracts, carrying a perpetual term.  The purpose of the conversion simply allows BBID, and other CVP contractors, to immediately repay Reclamation a debt obligation; it does not alter the operation of the CVP or the quantity of water that a contractor is entitled to receive.  BBID’s conversion was a common-sense, financially prudent move benefitting the District’s agricultural growers in San Joaquin County.

So, what’s the sticking point? Environmental interests argue Reclamation was legally obligated to perform an intensive ecological review before it converted BBID’s and other contractors’ CVP contracts. And because Reclamation didn’t do so, the complaint argues, those contracts violate the National Environmental Protection Act (NEPA) and the Endangered Species Act (ESA).

Here’s the reality. The WIIN Act directs Reclamation to execute these contract conversions when a contractor requests it. In other words, federal law mandates these contract conversions. In any event, the prospect of a lengthy, expensive, and ultimately redundant review process (when other than the method of payment, the substantive contract obligations do not change) is a poor use of taxpayer resources.

The complaint further argues that the new contracts essentially guarantee a CVP contractor its full supply.  In fact, prior to execution of the new contracts, Reclamation rarely provided a 100% allocation to its CVP contractors due to a host of hydrological, regulatory, and environmental factors.     For example, BBID endured three consecutive years of a 0% allocation during the last drought.  This reality will not change with execution of the new contracts.   This year, under the new repayment contracts, BBID’s initial 5% allocation for irrigation was first suspended, and now eliminated altogether in the wake of our second straight dry winter.  This year, water for municipal and industrial purposes has been drastically reduced from 55% to 25%.

We all recognize the great challenges ahead. Instead of lawsuits like these, we must focus on finding common ground and funding meaningful, multi-benefit solutions that balance the beneficial uses of California’s water supply and protect our environmental resources in the face of of diminishing supplies and increasing demand.

Reclamation Announces 60-Day Comment Period for Draft Contracts for Central Valley Project South-of-Delta Contractors

The following news release was originally posted here on the U.S. Bureau of Reclamation website:

FRESNO, Calif. – The Bureau of Reclamation announced today ongoing congressionally mandated contract conversions pursuant to the Water Infrastructure Improvements for the Nation Act (WIIN Act).

Today’s release includes draft repayment contracts from the Central Valley Project south-of-delta contractors for a 60-day public comment period. These are 15 of over 80 repayment contract conversions requested by federal Central Valley Project contractors.

The contractors include Banta-Carbona Irrigation District, Byron-Bethany Irrigation District, Contra Costa Water District, Del Puerto Water District, Eagle Field Water District, Mercy Springs Water District, The West Side Irrigation District, West Stanislaus Irrigation District, Westlands Water District – Assignment from Oro Loma Water District, Fresno Slough Water District, James Irrigation District, Patterson Irrigation District, Reclamation District No. 1606, Tranquility Irrigation District, and Tranquility Public Utility District.

Reclamation plans to release additional draft repayment contracts with south-of-delta contractors, as applicable for public review in 2020. Reclamation will continue to release more draft repayment contracts throughout the year. Section 4011 of the WIIN Act directs Reclamation to convert water service contracts to repayment contracts upon a contractor’s request and authorizes prepayment of outstanding CVP construction costs.

Under Section 4011, full repayment is due within three years of the contract conversion. Both the prepayment and accelerated repayment of the contracts will result in the federal government being repaid well in advance of the original repayment deadline. These dollars will be placed in an account to fund much-needed storage projects. Increasing storage capacity will allow Reclamation’s projects to capture additional water in wet years to help meet the water needs for project purposes in dry years.

Written comments on this contract must be received by close of business on August 31, 2020 and sent to Erma Leal, South Central California Area Office, Bureau of Reclamation, 1243 N Street, Fresno CA 93721 or faxed to 559-262-0371 or emailed to eleal@usbr.gov.

Check the following links to learn more about WIIN Act CVP contract conversions: All negotiated contracts are available at: https://www.usbr.gov/mp/wiin-act/negotiated-conversion-contracts.html.

The entire list of contract conversion requests can be viewed here: https://www.usbr.gov/mp/wiin-act/docs/the-wiin-act-9d-conversion-tracker.xlsx. View contract and WIIN Act information at https://www.usbr.gov/mp/wiin-act/. Contact Erma Leal for more information at 559-262-0350 or eleal@usbr.gov or (TTY 800-877-8339).