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CC 2018-04-24_09i Resolution_Basin Boundary Modification Request MEMORANDUM TO: CITY COUNCIL FROM: TERESA MCCLISH, COMMUNITY DEVELOPMENT DIRECTOR SHANE TAYLOR, UTILITIES MANAGER SUBJECT: CONSIDERATION OF A RESOLUTION SUPPORTING THE SAN LUIS OBISPO COUNTY’S PROPOSED BASIN BOUNDARY MODIFICATION REQUEST FOR THE ARROYO GRANDE CREEK VALLEY FRINGE AREA OF THE SANTA MARIA VALLEY GROUNDWATER BASIN DATE: APRIL 24, 2018 SUMMARY OF ACTION: Adopting the resolution will support a realignment of the State’s basin boundary based upon current scientific and jurisdictional data and information. IMPACT ON FINANCIAL AND PERSONNEL RESOURCES: There is no financial impact at this time. It is anticipated that if the Basin Boundary Modification Request (BBMR) is approved, the City’s obligation to prepare a Groundwater Sustainability Plan, and the associated costs, would be deferred. RECOMMENDATION: It is recommended that the City Council adopt a Resolution supporting the San Luis Obispo County’s Basin Boundary Modification Request to realign the State’s basin boundary pursuant to the Basin Boundary Regulations and in compliance with the Sustainable Groundwater Management Act of 2014 (SGMA). BACKGROUND: The Sustainable Groundwater Management Act became law on January 1, 2015. The law requires that identified medium and high priority groundwater basins within the State of California be managed by one or more Groundwater Sustainability Agencies (GSA’s) on or before June 30, 2017. Each GSA will need to develop a Groundwater Sustainability Plan (GSP) by January 31, 2022. On March 28, 2017, the City formed a GSA and is currently working in coordination with the County’s formulated GSA to manage specified fringe areas of the non-adjudicated potion Santa Maria Groundwater Basin. In October 2015, the State adopted the Basin Boundary Regulations defining a process for local agencies to request modifications to existing groundwater basin boundaries, as defined in the State’s Bulletin 118. Any BBMRs must be submitted to the Department of Water Resources for review and ultimate approval or denial by June 30, 2018. Item 9.i. - Page 1 CITY COUNCIL CONSIDERATION A RESOLUTION SUPPORTING A BASIN BOUNDARY MODIFICATION REQUEST APRIL 24, 2018 PAGE 2 ANALYSIS OF ISSUES: A technical report was directed by the San Luis Obispo County Board of Supervisors and can be found out http://www.slocountywater.org/sgma. The report provides the data and analysis necessary to request modifications to the basin boundary map. For the BBMR, each identified fringe area has separate recommendations. The fringe areas proposed to be excluded from the Santa Maria Valley Groundwater Basin (SMVGB) are designated as “non-basins”. For the Arroyo Grande Creek fringe area, the request is for it to be designated a separate sub basin of the SMVGB, with a refined alluvial boundary and to realign the basin boundary consistent with the mapped alluvium. This is based on several factors including the significant use of groundwater for irrigation; the stable groundwater levels due to regular recharge of alluvium from Lake Lopez releases, the underflow to the SMVGB estimated at 2,000 acre feet/year or 7% of the total recharge of the Basin, and lastly, the Wilmar Fault that places Basin sediments against bedrock. The request would remove some areas from SGMA consideration, and for the remaining Arroyo Grande Creek fringe area, it may in the future be re-designated as a low priority sub-basin rather than a part of a high priority basin as it currently stands. If successful, the revised SMVGB would allow the City, the County and the State to focus resources on where they are most needed. Any agency affected by a proposed boundary modification may elect to support or oppose the prepared boundary modification by way of a resolution adopted by the decision-making body or a letter signed by an official of the affected agency. ALTERNATIVES: The following alternatives are provided for the Council’s consideration: 1. Adopt the attached Resolution supporting the County’s BBMR pursuant to the Basin Boundary Regulations and in compliance with the Sustainable Groundwater Management Act of 2014 (SGMA). 2. Provide other direction to Staff. ADVANTAGES: Supporting the County’s BBMR would encourage the use of a scientific basis to reconcile boundary definitions and would enable jurisdictions to legitimately focus resources on priority basins. DISADVANTAGES: No disadvantages are identified. Public comments have been reported at public workshops held by the County to date and at the public comment period for the City’s Council meeting of April 10, 2018 stating concerns that the BBMR would impact regulation of the PXP oil operations in the upper Pismo Creek Watershed. However, it should be noted that the proposed modified boundaries are based upon reviewed Item 9.i. - Page 2 CITY COUNCIL CONSIDERATION A RESOLUTION SUPPORTING A BASIN BOUNDARY MODIFICATION REQUEST APRIL 24, 2018 PAGE 3 technical study, and, importantly, SGMA regulations do not preempt regulatory authority for oil field operations. ENVIRONMENTAL REVIEW: No environmental review is required for this item at this time. PUBLIC NOTIFICATION AND COMMENTS: The Agenda was posted at City Hall and on the City’s website in accordance with Government Code Section 54954.2. ATTACHMENT: 1. Proposed Santa Maria Preliminary Basin Boundary Modification Map Item 9.i. - Page 3 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE IN SUPPORT OF THE SANTA MARIA RIVER VALLEY GROUNDWATER BASIN BOUNDARY MODIFICATION REQUEST FOR THE SANTA MARIA BASIN FRINGE AREAS – BY THE COUNTY OF SAN LUIS OBISPO GROUNDWATER SUSTAINABILITY AGENCY TO THE CALIFORNIA DEPARTMENT OF WATER RESOURCES WHEREAS, in 2014 the California Legislature and the Governor passed into law the Sustainable Groundwater Management Act (SGMA) for local management of groundwater resources in California through the formation of Groundwater Sustainability Agencies (GSAs) and through preparation and implementation of Groundwater Sustainability Plans (GSPs); and WHEREAS, SGMA requires local agencies to manage groundwater in high and medium priority basins “in a manner that can be maintained during the planning and implementation horizon without causing undesirable results” (Water Code § 10721 (v)); and WHEREAS, in 2014, the California Department of Water Resources (DWR) published its Final California Statewide Groundwater Elevation Monitoring Basin Prioritization results, designating five groundwater basins located in whole or in part within the County of San Luis Obispo as a high or medium priority basin or subbasin: Paso Robles, Atascadero, Santa Maria, Los Osos, San Luis Obispo Valley, and Cuyama Valley; and WHEREAS, the Santa Maria River Valley Groundwater Basin (DWR Bulletin 118 Basin No. 3-12, “Santa Maria Basin”) is designated as a high priority basin; and WHEREAS, SGMA does not apply to the adjudicated areas of the Santa Maria Basin (that portion of the Santa Maria Basin at issue in Santa Maria Valley Water Conservation District v. City of Santa Maria, et al.) (“adjudicated area”), provided that certain requirements are met (Water Code Section 10720.8(18). WHEREAS, on January 13, 2015, the Board of Supervisors, on behalf of both the County of San Luis Obispo and the San Luis Obispo County Flood Control and Water Conservation District, adopted a SGMA strategy and directed staff to implement the policy–focusing resources on implementation in high and medium priority basins first; and WHEREAS, on March 28, 2017 the City, as a “local agency” defined by SGMA, formed a GSA to manage groundwater resources in the basin and within the City’s jurisdictional boundaries in accordance with SGMA and other applicable laws and authorities; and Item 9.i. - Page 4 RESOLUTION NO. PAGE 2 WHEREAS, the City GSA has worked cooperatively with the San Luis Obispo County GSAs to manage the non- adjudicated “fringe area” of the Santa Maria Groundwater Basin so that groundwater resources in the basin will be properly managed and sustainable in accordance with the provisions of SGMA; and WHEREAS, among SGMA’s first statutory deadlines is the deadline for DWR to update Bulletin 118 Report and modify basin boundaries as needed to reflect DWR-approved scientific and jurisdictional information; and WHEREAS, on October 21, 2015, in accordance with Water Code §§ 10722.2 and 12924, DWR adopted emergency regulations regarding the information that must be submitted by a local agency in order to request that DWR modify the current bulletin 118 boundaries (23 CCR §§ 340 et seq.) (DWR Boundary Regulations); and WHEREAS, pursuant to Section 343.9(a) of the DWR Boundary Regulations, on March 6, 2018, the County Board directed staff to submit an initial notification of intent to explore a boundary modification for the Santa Maria River Valley Groundwater Basin and to coordinate with basin users to develop a boundary modification request in accordance with the DWR Boundary Regulations; and WHEREAS, County staff contracted with GSI Water Solutions, Inc. to develop a technical memorandum with the necessary scientific justification, as required by the regulations, to support a potential scientific boundary modification request; and WHEREAS, pursuant to Sections 344.4 and 344.8(a) of the DWR Boundary Regulations, County staff communicated with affected agencies and affected systems within the basin to provide notice of the potential boundary modification request, and to provide an opportunity for such entities to support or oppose a proposed boundary modification; and WHEREAS, pursuant to Section 344.8(b) of the DWR Boundary Regulations, an affected local agency that elects to support or oppose a proposed boundary modification shall provide the requesting agency with either a resolution formally adopted by the decision-making body of the affected agency or a letter from an official with requisite authority; and WHEREAS, the City and the County acknowledge that DWR has the responsibility to review the proposed boundary modification request and has discretion to determine whether an external boundary modification or formation of a separate subbasin is appropriate. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Arroyo Grande as follows: 1. All of the above recitals are true and correct and incorporated herein by reference. Item 9.i. - Page 5 RESOLUTION NO. PAGE 3 2. The Mayor is authorized to sign a resolution for the City of Arroyo Grande to support the request for a basin boundary modification to the Santa Maria River Valley Groundwater Basin (DWR Bulletin 118 Basin No. 3-12) by the Santa Maria Basin Fringe Areas – County of San Luis Obispo Groundwater Sustainability Agency (GSA) and including the City of Arroyo Grande GSA as depicted on the map attached hereto as Exhibit A). On motion of Council Member_________________, seconded by Council Member ___________________, and on the following roll call vote, to wit: AYES: NOES: ABSENT: the foregoing Resolution was passed and adopted this ___ day of April, 2018. Item 9.i. - Page 6 RESOLUTION NO. PAGE 4 _____________________________________ JIM HILL, MAYOR ATTEST: _____________________________________ KELLY WETMORE, CITY CLERK APPROVED AS TO CONTENT: _____________________________________ JAMES A. BERGMAN, CITY MANAGER APPROVED AS TO FORM: _____________________________________ HEATHER K. WHITHAM, CITY ATTORNEY Item 9.i. - Page 7 San Luis Obispo County Santa Barbara County ArroyoGrande PismoBeach GroverBeach Nipomo CSD OceanoCSD SantaMaria Guadalupe £¤101 |ÿ166 |ÿ1 |ÿ135 |ÿ227 |ÿ135 |ÿ166 DWR - Bulletin 118 Santa Maria River Valley Groundwater Basin Boundary Department of Water Resources (DWR) - Other Bulletin 118 Groundwater Basins County of San Luis Obispo Service Area Santa Maria Groundwater Basin Adjudicated Management Areas GSAs City of Arroyo Grande GSA Coverage Area County of Santa Barbara Fringe Areas GSA Coverage Areas Santa Maria Basin Fringe Areas - County of San Luis Obispo GSA Coverage Areas ³ Date Printed: 5/8/2017 Exhibit "A" - Santa Maria Basin Fringe Areas Groundwater Sustainability Agencies Boundaries Kern County Monterey County Santa Barbara County Kings County 0 2.5 51.25 Miles Pismo Creek ValleyFringe Area 1 Arroyo Grande Creek ValleyFringe Area 2 Nipomo ValleyFringe Area 3 Southern BluffsFringe Area 4 Cuyama River ValleyFringe Area 5 Item 9.i. - Page 8 £¤101Date: April 12, 2018 Data Sources: Aerial photo taken 7/14/2016(DigitalGlobe)LEGENDProposed Boundary!!!!Existing Basin Boundary (DWRBulletin 118, 2016)City of ArroyoSanta Maria River ValleyAdjudicated Area00.51MilesDocument Path: P:\Portland\667-County of San Luis Obispo\003-Santa Maria Basin Fringe Areas\Project_GIS\MXDs\Report\Figure21_BBMR Req2.mxdoNCMACity of ArroyoGrandeSAN LUIS OBISPOCOUNTYSANTA BARBARACOUNTY£¤101FIGURE 21SMRVGB ModificationRequest NumberV2DQGSanta Maria River Valley Groundwater Basin Fringe Areas'5$)73URSRVHG%DVLQ%RXQGDU\0RGLILFDWLRQ5HTXHVW$77$&+0(17Item 9.i. - Page 9 THIS PAGE INTENTIONALLY LEFT BLANK Item 9.i. - Page 10