West Coast Basin Amended Judgment: XI: Watermaster

XI. WATERMASTER  

1. Appointment  

A. The constituent bodies specified below are, jointly, hereby appointed Watermaster to administer this Amended Judgment, for an indefinite term, but subject to removal by the Court. Collectively such bodies, which together shall constitute the "Watermaster," shall have restricted powers, duties and responsibilities as specified herein, it being the Court'sintention that particular constituent bodies of the Watermaster have only limited and specified powers over certain aspects of the administration of this Amended Judgment.  

B. The Outgoing Watermaster has agreed to exercise reasonable diligence in the complete transition of Watermaster duties and responsibilities within a reasonable time following entry of this order, and to make available to the new Watermaster all records  

C. Watermaster, and each of its constituent bodies, as designated below, exist as a special master pursuant to this Amended Judgment and serve at the pleasure of the Court.  Nothing herein shall be construed as creating an independent designation of "Watermaster" as a public agency subject to the provisions of CEQA.  

D. Chair of the Water Rights Panel (defined below) shall represent the Watermaster before the Court subject to the provisions of Sections XI.2(B)(1) of this Amended Judgment.

E. The Administrative Body and the Water Rights Panel, acting jointly as the Watermaster, shall adopt Watermaster Rules that are reasonably necessary to carry out this Amended Judgment and are consistent with this Amended Judgment. Said Rules shall also include provisions for the appropriate application of existing laws to actions by the Watermaster concerning conflicts of interests; limiting gifts and monies to individuals holding a position on or  in any constituent body of Watermaster; hiring outside contractors and consultants; and use of  fees and assessments paid to the Watermaster authorized under this Amended Judgment. Within ninety (90) days after entry of this Amended Judgment, the Watermaster shall issue draft Watermaster Rules. The Watermaster Rules and any subsequent amendments shall be subject to a 30 day review and comment period by the Adjudicated Rights holders. The Watermaster is required to respond to all comments received during the 30 day review and comment period  within a reasonable amount of time. Thereafter, the Watermaster is required to hold a hearing on the final Watermaster Rules or any amendments before submittal to the Court for review. The Watermaster Rules, and any subsequent amendments thereto, shall be presented to the Court for  review and approval upon a noticed motion in the manner set forth in Section XI.4.D herein.  

2. Watermaster Constituents  

A. Administrative Body  

WRD is appointed the Administrative Body of the West Coast Basin Watermaster ("Administrative Body"). In order to assist the Court in the administration and enforcement of the provisions of this Amended Judgment and to keep the Court fully advised, the Administrative Body shall have the following duties, powers and responsibilities in addition to those before or hereafter provided in this Judgment.  

(1) Require Reports, Information and Records  

In consultation with the Water Rights Panel, the Administrative Body shall require the Parties to furnish such reports, information and records as may be reasonably necessary to determine compliance or lack of compliance by any Party with the provisions of this Amended  Judgment. The Administrative Body shall collect and assemble the records and other data required of the Parties hereto, and evaluate such records and other data as part of its duties herein. The Water Rights Panel shall make its records available to the Administrative Body for record keeping. The Administrative Body shall maintain copies of all records prepared or received by each body of the Watermaster consistent with the Watermaster Rules. Subject to compliance with all applicable laws protecting the disclosure of a party's confidential or proprietary information,  the Administrative Body shall allow any Party or its representative to inspect and copy the Watermaster's records and other data during normal business hours and in accordance with the  rules and regulations promulgated by the Watermaster hereafter.  

(2) Notices by Watermaster  

The Administrative Body shall provide notice to all Parties of all material actions or determinations by the Watermaster or any constituent body thereof, which shall be defined or delineated in the Watermaster Rules, and as otherwise provided by this Amended Judgment. The Administrative Body shall set a regular meeting day per month where it can hold a meeting and is required to post the agenda and give notice per the Watermaster Rules. The Watermaster Rules shall identify the days of the month on which the Storage Panel shall hold noticed meetings when  a meeting is necessary. If notice is required to be given per email, then the timing for the notice is business days. If the notice is required to be given per U.S. mail, then the timing for the notice is 10 business days. No action or determination of the Watermaster or the constituent bodies thereof shall be valid unless the notice requirements are satisfied.  

(3) Annual Groundwater Monitoring  

The Administrative Body shall undertake at least one annual groundwater modeling event to evaluate the current condition of the Basin and determine that cumulatively, all Existing Facilities and New Storage Facilities do not pose actual or an imminent threat of Material Physical Harm. Said groundwater modeling shall incorporate the results of modeling conducted by the Administrative Body in accordance with Section V.12 of this Amended Judgment for the Storage Panel's review. The Administrative Body shall provide the Parties notice of and access  to the results of the annual groundwater modeling, which notice may be by delivery of the Watermaster's annual report.  

(4) Annual Report  

On or before October 15 of every year, the Administrative Body shall prepare and deliver an annual report for the consideration of the Water Rights Panel. On or before December 15 of every year, the Watermaster shall report to the Court on the Basin and, for that purpose, may adopt the report of the Administrative Body, or separately may make its own report. Each annual report to the Court shall include, but not be limited to, the following:  

• All water extractions in the Basin, including that by producers who have no Adjudicated 16  

Right; 

• Storage accounts maintained by each Party, including Carryover Conversion; 

• Proposed and ongoing Water Augmentation Projects;  

• Proposed and ongoing Storage Projects;  

• Proposed and constructed New Storage Facilities;  

• The results of groundwater modeling conducted by the Administrative Body consistent with

Section V.12 of this Amended Judgment during the preceding year, which modeling shall including modeling necessary to assess the cumulative effect on water levels in the Basin;  

• Exchange Pool operation;  

• Use of Developed Water, including Imported Water;  

• Violations of the Amended Judgment and corrective action taken by the bodies of the Watermaster having jurisdiction as provided in this Amended Judgment;  

• Change of ownership of Adjudicated Rights;  

• Watermaster administration costs;  

• Water spread or injected into the Basin, including water injected for seawater intrusion barriers;  

• Development of Material Physical Harm, or imminent threat of the development of Material Physical Harm; and  

• Recommendations, if any.  

(5) Carryover Conversion Payment  

All payments of the Replenishment Assessment received by WRD  

from a Party converting Carryover to Stored Water shall be maintained and accounted for by WRD separate from any other funds held by WRD, either in its capacity as the Administrative Body or in its statutory capacity under the WRD Act. WRD shall use said Replenishment Assessments solely for the purpose of securing Replenishment Water for causing replenishment of the West Basin. WRD shall provide an accounting of the monies received, how spent, and, if not spent within an Administrative Year, the total amount maintained by WRD and the reason for  not utilizing the funds for that Administrative Year.  

(6) Annual Budget and Appeal Procedure in Relation Thereto  

(a) At all times, the Administrative Body shall maintain a separation in accounting between the expense for performing the administrative functions specified in this Amended Judgment (the "Administrative Budget") and WRD's Replenishment Assessment and operating budget. By April 1 of each Administrative Year, the Administrative Body shall prepare a tentative Administrative Budget for the subsequent year. The Administrative Body shall mail a copy of said tentative Administrative Budget to each of the Parties at least sixty (60) days before the beginning of each Administrative Year. For the first Administrative Year of operation under this Amended Judgment, if the Administrative Body is unable to meet the above time requirement, the Administrative Body shall mail said copies as soon as possible. The Administrative Budget mailed to the Parties shall provide sufficient detail in the Administrative Budget to demonstrate a separation in accounting between the Administrative Budget and WRD's Replenishment Assessment and operating budget.  

(b) The first year that the Administrative Budget is prepared by the Administrative Body pursuant to this Amended Judgment, the amount of that budget shall not exceed an amount equal to fifty percent (50%) of the 2013-2014 charge for Watermaster service for the West Coast Basin collected from Parties by the Outgoing Watermaster (the "Base Budget Amount"). All increases in future budgets for the Administrative Body above the amount set forth above shall be subject to approval by the Water Rights Panel following a public meeting to be held prior to the beginning of the Administrative Year, provided that the approved budget shall not be less than the amount of the first-year budget for the Administrative Body, except upon further order of the Court. Any administrative function by WRD already paid for by the Replenishment Assessment shall not be added as an expense in the Administrative Budget. Any expense or cost attributable to performing the duties of the Administrative Body imposed by this Amended Judgment shall not be added to WRD's operating budget, or otherwise added to the calculation of the Replenishment Assessment. WRD, operating under the WRD Act, acknowledges that it has been preparing and maintaining financial statements and budgets in accordance with generally accepted accounting principles for state and local governments (GAAP) and conducting audits in accordance with generally accepted government auditing standards (GAGAS). In order to fulfill those budget and accounting provisions of the Amended  Judgment relating to WRD acting in its statutory capacity, WRD agrees, acting under the WRD  Act, to (i) continue its practice of preparing and maintaining financial statements and budgets in  accordance with GAAP and conducting audits in accordance with GAGAS and (ii) certify, each  year after an audit is completed within three (3) months after end of the Administrative Year, that  no expense in WRD's operating budget or its Replenishment Assessment was charged or assessed  contrary to the express provisions of Sections XI.2A5, 6 and 7 of the Amended Judgment. While WRD may approve the proposed Administrative Budget at the same meeting in which WRD adopts its annual Replenishment Assessment or annual budget, the Administrative Body's budget shall be separate and distinct from the Replenishment Assessment imposed pursuant to Water Code § 60317 and WRD's operating budget. If approval by the Water Rights Panel is required pursuant to the foregoing, the Water Rights Panel shall act upon the proposed budget within 15 calendar days after the public meeting. If the Water Rights Panel does not approve the budget prior to such deadline, the matter may be appealed to the Court within sixty (60) days.  (c) If any Party has any objection to the Administrative Budget, it shall present the same in writing to the Watermaster within fifteen (15) days after the date of mailing of said tentative budget by the Administrative Body. The Parties shall make the payments otherwise required of them to the Administrative Body even though an appeal of such budget may be pending. Upon any revision by the Court, the Administrative Body shall either remit to the Parties their pro rata portions of any reduction in the budget, or shall credit their accounts with respect to their budget assessments for the next ensuing Administrative Year, as the  Court shall direct.  

(d) The Administrative Body shall prepare and maintain financial statements and budgets in accordance with generally accepted accounting principles (GAAP) for state and local governments in order to meet this requirement. Audits will be conducted in accordance with generally accepted government auditing standards (GAGAS). The Administrative Body shall, each year after an audit is completed, certify within three (3) months after end of the Administrative Year that no expense was part of the budget or paid for by the budget contrary to the Amended Judgment.  

(7) Administrative Budget as Parties' Costs  

(a) The amount of the Administrative Budget to be assessed to  

each Party shall be determined as follows: If that portion of the final Administrative Budget to be assessed to the Parties holding an Adjudicated Right is equal to or less than twenty dollars ($20.00) per said Party then the cost shall be equally apportioned among said Parties. If that portion of the final Administrative Budget to be assessed to said Parties is greater than twenty  dollars ($20.00) per said Party then each Party holding an Adjudicated Right shall be assessed a  minimum of twenty dollars ($20.00), the amount of revenue expected to be received through the  foregoing minimum assessments shall be deducted from that portion of the final Administrative  Budget to be assessed to the Parties holding an Adjudicated Rights and the balance shall be assessed to the Parties having Adjudicated Rights, such balance being divided among them  proportionately in accordance with their respective Adjudicated Rights. As a condition of approving a Regional Storage Project or a Water Augmentation Project, the Storage Panel shall  require any Party participating in such a Project who does not hold an Adjudicated Right to pay a  portion of the Administrative Body's budget consistent with the amount of water that can be  stored by the Regional Storage Project relative to the total amount of Adjudicated Rights.   

(b) Payment of the assessment provided for herein, subject to adjustment by the Court as provided, shall be made by each such Party prior to beginning of the Administrative Year to which the assessment relates, or within forty (40) days after the mailing of the tentative Administrative Budget, whichever is later. If such payment by any Party is not made on or before said date, the Administrative Body shall add a penalty of five percent (5%) thereof to such Party's statement. Payment required of any Party hereunder may be enforced by execution issued out of the Court, or as may be provided by order hereinafter made by the Court, or by other  proceedings by the Watermaster or by any Party hereto on the Watermaster's behalf.  

(c) All such payments and penalties received by the Administrative Body shall be expended by it for the administration of this Amended Judgment.  Any money remaining at the end of any Administrative Year shall be available for such use in the following Administrative Year. The Administrative Body shall maintain no reserves.  

(8) Concerns About Material Physical Harm  

Any Party shall raise concerns regarding actual or an imminent threat of Material Physical Harm to the Administrative Body or the Storage Panel prior to filing a motion with the Court unless the Party reasonably believes that irreparable harm to the Basin or itself is imminent if the Court does not order provisional relief. If reasonable concerns are raised to the Administrative Body, it shall promptly consider any such concerns including undertaking any investigation, modeling or other technical analysis necessary to address the concern. The Administrative Body shall provide written notice of its determination, and copy of its report, to all Parties by either electronic mail or U.S. postal mail. If a Party disagrees with the Administrative Body's conclusion, the Party may request a hearing before the Storage Panel. Any hearing before the Storage Panel shall proceed as outlined in Section V.13.B. Any decision of the Storage Panel  shall be reviewable by the Court in accordance with Section XI.4.  

(9) Other Administrative Body Duties  

The Administrative Body shall perform such other duties as directed by the Court and the  Watermaster Rules.  

B. The Water Rights Panel  

The Water Rights Panel shall consist of five (5) members from among representatives of the Parties holding Adjudicated Rights under this Amended Judgment. Three (3) of the members shall be the elected officers of president, vice-president and treasurer of the West Basin Water Association and the remaining two (2) members shall be selected by the Board of Directors of the West Basin Water Association. At least one (1) member of the Water Rights Panel shall be a non-Water Purveyor Adjudicated Rights holder possessing at least 1% of the Adjudicated Rights in the Basin. Members of the Water Rights Panel shall serve without compensation. The Water Rights Panel shall take action by majority of its members. The Water Rights Panel shall have the following duties and responsibilities:  

(1) Judicial Action Concerning Adjudicated Rights and Stored Water  

As among the other bodies of the Watermaster, the Water Rights Panel shall (i) have  exclusive authority to move the Court to take such action as may be necessary to enforce the  terms of the Amended Judgment, including but not limited to matters involving the extraction  and maintenance of Adjudicated Rights, provided, however, that in matters involving Stored  Water, the Water Rights Panel and the WRD Board of Directors must concur in the decision to  take judicial action, in which case the Chair of the Water Rights Panel shall represent the Storage  Panel in such action. If the WRD Board of Directors does not concur in taking judicial action, any Party may file a motion with the Court concerning the matter in their status as Parties to the Judgment if permitted by Section XIII of this Amended Judgment. No Party to the Amended Judgment waives any rights to seek relief or review of the decisions of the Watermaster or any body thereof. The Water Rights Panel's retention of legal counsel shall comply with the Watermaster Rules.

(2) Requirement of Measuring Devices  

The Water Rights Panel shall require all parties owning or operating any facilities for the extraction of groundwater from West Basin to install and maintain at all times in good working order at such party's own expense, appropriate measuring devices at such times and as often as may be reasonable under the circumstances and to calibrate or test such devices.  

(3) Inspections by Watermaster  

Subject to compliance with all applicable laws protecting the disclosure of a party's confidential or proprietary information, the Water Rights Panel may make inspections of  groundwater production facilities, including aquifer storage and recovery facilities, and  measuring devices at such times and as often as may be reasonable under the circumstances and  to calibrate or test such devices.  

(4) Reports  

The Water Rights Panel shall be responsible for reporting to the Court concerning Adjudicated Rights in the Basin, including any and all of the following:  

• Groundwater extractions;  

• Exchange Pool operation;  

• Violations of this Amended Judgment and corrective action taken or sought;  

• Change of ownership of an Adjudicated Right;  

• Assessments made by the Water Rights Panel and any costs incurred;  

• Development of Material Physical Harm, or imminent threat of the development of Material Physical Harm; and  

• Recommendations, if any.  

(5) Assessment  

The Water Rights Panel shall assess holders of Adjudicated Rights within the West Coast Basin an annual Amount not to exceed one dollar ($1.00) per acre-foot of Adjudicated Rights, by majority vote of the members of the Water Rights Panel. The Water Rights Panel may assess a higher amount, subject to being overruled by Majority Protest. If an assessment is assessed in excess of one dollar ($1.00) per acre-foot, the assessment shall only be applied for that  

Administrative Year. The assessment is intended to cover any costs associated with any Amended Judgment enforcement action, the reporting to the Court pursuant to Section XI.2.B(1), and the review of Storage Projects as a component of the Storage Panel, as provided herein. It is anticipated that' this body will rely on the Administrative Body's staff for most functions, but the Water Rights Panel may engage its own staff if required in its reasonable judgment and in accordance with the Watermaster Rules. The Water Rights Panel shall prepare and maintain financial statements and budgets in accordance with generally accepted accounting principles (GAAP) for state and local governments in order to meet this requirement. Every other year, the Water Rights Panel shall cause a Review of its Financial Statements by a certified public accountant. The Water Rights Panel shall, each year after a review is completed, certify within three (3) months after end of the Administrative Year that no expense was part of the budget or  paid for by the budget contrary to the Amended Judgment. As a condition of approving a Regional Storage Project or a Water Augmentation Project, the Storage Panel will require any Party participating in such a Project who does not hold an Adjudicated Right to pay a reasonable portion of the Water Rights Panel's budget consistent with the amount of water that can be stored by the Regional Storage Project relative to the total amount of Adjudicated Rights. 

(6) Notices  

The Water Rights Panel shall, to the extent practical, hold regular meetings on a quarterly basis or more often as needed. Notices of meetings of the Water Rights Panel shall be provided as required under Section XI.2.A(2).  

C. The Storage Panel  

The Storage Panel of the Watermaster shall be a bicameral body consisting of (i) the West Coast Basin Water Rights Panel and (ii) the Board of Directors of WRD. Action by the Storage Panel shall require separate action by each of its constituent bodies provided, however, that action can be taken by each constituent body at a joint hearing. The Storage Panel shall have the duties and responsibilities specified with regard to the provisions for the storage and extraction of Stored Water as set forth in Section V and elsewhere within this Amended Judgment.  

D. Capacity As Court-Appointed Watermaster  

In performing any duty not required by any other law or regulation, specifically set forth within this Amended Judgment and in conformance with all requirements for said duty therein for the Administrative Body, the Water Rights Panel or the Storage Panel then those bodies shall be deemed to act solely as the Court's appointed Watermaster and not in any other capacity.  

A. Use of Facilities and Data Collected by Other Governmental Agencies  

Where practicable, the three bodies constituting the Watermaster should not duplicate the collection of data relative to conditions of the West Coast Basin which is then being collected by one or more governmental agencies, but where necessary each constituent body of the Watermaster may collect supplemental data. Where it appears more economical to do so, the Watermaster and its constituent bodies are directed to use such facilities of other governmental agencies as are available to it at either no cost or cost agreements with respect to the data collection, receipt of reports, billings to Parties, mailings-to Parties, and similar matters. 

B. Limitations on WRD's Leasing Authority  

WRD shall not engage in a lease of Adjudicated Rights, Stored Water or any other water  within the Basin to or from any Party or third party, provided, however, that the foregoing prohibition shall (i) not apply during any emergency declared pursuant to Section VII of this Judgment, (ii) not be interpreted to restrict WRD's ability or authority to lease in water from any source or entity for purposes of replenishment of the Basin or for water quality activities, and (iii) not apply to any reclaimed, recycled or remediated water that may be developed by WRD pursuant to its replenishment authority under WRD's enabling act (California Water Code Section 60000 et seq.).  

C. Wasted and Nonchargeable Production Authorized by Watermaster  

(1) In the event there is a rapid increase in the salinity of water produced from a well within the Basin and the Party producing the water has reason to believe that such increased salinity is the result of or potentially relates to sea water intrusion into the Basin, a Party may petition the Administrative Body, acting on behalf of the Watermaster, for its consent to make various changes in the operation of said well and waste the production therefrom  during such change conditions, in an effort to identify the reason for the rapid increase in salinity of the water produced from such well and to attempt to discover a method of operation for said well which will decrease the salinity of the water produced therefrom to such an extent that the well may be used in the future as part of the potable water supply of said Party. 

(2) Upon receipt of such petition, the Administrative Body shall consult with the Los Angeles County Flood Control District and may consult with others, as needed, to determine whether such increased salinity in the water produced from said well potentially relates to sea water intrusion into the Basin. After such consultation, should the Administrative Body determine that the higher saline water produced from said well potentially relates to sea water intrusion, the Administrative Body may issue a written approval that authorizes the production and waste of water from said well in a manner which seeks to analyze and find a method of well operation for correction of the increased salinity of the water produced therefrom (a "Salinity Pumping Approval"). Such authorized water production and the waste thereof shall not be charged to the production right of such producing Party and shall be exempt from WRD's Replenishment Assessment.  

(3) Regardless of the number of applications therefor, the Administrative Body may authorize a maximum aggregate of 100 acre feet per fiscal year of pumping and water wasting activities authorized under Salinity Pumping Approvals.

(4) If, during such authorized water production and waste thereof, such produced water becomes potable or is used by such producer, the Administrative Body shall immediately issue an order terminating the Salinity Pumping Approval.  

(5) The results of all such Salinity Pumping Approvals shall be made available to any party herein upon request therefor to the Watermaster.  

D. Material Physical Harm  

The Storage Panel shall consider any reasonable concern that a Storage Project, Water 27  

Augmentation Project or New Storage Facility either individually or cumulatively is causing or is reasonably likely to cause an imminent threat of Material Physical Harm made pursuant to a report or request for hearing received pursuant to Section XI.2.A(8) of this Amended Judgment. The Storage Panel shall act on that matter in accordance with Section V,13(B) of this Amended Judgment. Any Party objecting to the Storage Panel's decision may file a motion with the Court pursuant to Section XI.4.D of this Amended Judgment.  

4. Appeal from Watermaster Decisions Other Than With Respect to Budget 

A. The provisions of this Section shall not apply to budgetary matters, as to which the appellate procedure is provided in Section XI.2.A(6).  

B. Any Party who objects to any rule, determination, order or finding made by the Watermaster, or any constituent body of the Watermaster, may, but is not required to, object in writing delivered to the Administrative Body within thirty (30) days after the date the constituent body of Watermaster mails written notice of the making of such rule, determination, order or finding.  

C. Within thirty (30) days after such delivery, the Watermaster, or the affected constituent body thereof, shall consider said objection and shall amend or affirm the ruling, determination, order or finding and shall give notice thereof to all Parties.  

D. Within sixty (60) days from the date of said notice of a final ruling, determination, order or finding of a constituent body of the Watermaster, any objecting Party may  file with the Court its objection to such final rule, determination, order or finding, and may bring  the same on for hearing before the Court at such time as the Court may direct, after first having  served said objection upon all other Parties. The Court may affirm, modify, amend or overrule any such rule, determination, order or finding. Any factual determinations made by the Watermaster or any constituent body thereof, shall be reviewed by the Court based on substantial  evidence in light of the whole record, and any questions of law shall be reviewed de novo.  

E. Any objection under this paragraph shall not stay the rule, determination, order or finding of a constituent body of the Watermaster. However, the Court, by ex parte order, may provide for a stay thereof on application of any interested Party on or after the date that any  such Party delivers to the pertinent constituent body of the Watermaster any written objection.