California Water Views

On March 14, 2025, the Court of Appeal for California’s Fifth Appellate District issued its decision in Sandton Agriculture Investments III v. 4-S Ranch Partners, 2025 S.O.S. 659. That case provided guidance on ownership of captured water and percolating groundwater.

In 2024, after years of deliberation, California water officials adopted landmark rules that will guide future water use and conservation in the state. The “Making Conservation a California Way of Life” framework went into effect at the beginning of 2025 and requires compliance by 2027. The framework is intended to help preserve water supplies as climate change drives hotter, drier conditions and droughts become more frequent and longer lasting, and is expected to help save 500,000 acre-feet of water annually by 2040. That is enough to supply more than 1.4 million households ...

On January 24, 2025, President Trump issued Executive Order 14181 (EO 14181), entitled “Emergency Measures to Provide Water Resources in California and Improve Disaster Response in Certain Areas.” While alluding to assisting Americans in disaster areas generally, EO 14181 largely focuses on significantly changing water management policies in California.

Key Provisions of EO 14181 and the Impact on Water

The first three sections of the executive order are the ones primarily focused on California water.

• Section 1, entitled “Policy,” notes that “it is the policy of the ...

On January 10, 2025, Governor Newsom announced his 2025-2026 budget proposal of $322.3 billion. Unlike in 2023 and 2024, the proposal is for a balanced budget with a surplus of $363 million, although it does include $7 billion in funds from the state’s rainy day fund. The budget site includes a full combined summary, summaries of individual sections and a full detailed budget.

The budget includes reductions in funding for nearly all government agencies. The Natural Resources Agency has the biggest cut in net dollars and the second biggest cut percentage wise, with a 55.4% and ...

On October 23, 2024, the US Environmental Protection Agency (EPA) announced $276 million in available funding for California water infrastructure projects. When combined with the $269 million it announced on October 8, 2024, that raises the total to $545 million announced this month.

The funding comes through President Biden’s Bipartisan Infrastructure Law, which provides for $50 billion in investments in water infrastructure throughout the country. The October 23 announcement is part of a total of $3.6 billion in available funding, which is designated to particular states ...

The 2024 legislative session ended on August 31, 2024, meaning the legislature passed all bills for this year. All of the bills are currently with Governor Newsom. He has until September 30 to sign or veto any bills. Any bills not signed by September 30 will be vetoed through a ‘pocket veto.’

This session was a busy one for bills affecting the water sector with at least nine bills passed impacting water and sewer systems in California. The bills cover a wide range of topics, including fines for violating State Water Resources Control Board (State Water Board) orders, Proposition 26 and 218 requirements for water-related fees, Sustainable Groundwater Management Act (SGMA) requirements, and the California Water Plan. … 

On September 6, 2024, EPA announced $7.5 billion in available loan funding through the Water Infrastructure Finance and Innovation Act (WIFIA). From that total, $6.5 billion is available through WIFIA loans and $1 billion is available through the State Water Infrastructure Financing Authority (SWIFIA). … 

On April 4, 2024, Governor Newsom and the U.S. Bureau of Reclamation (Bureau) announced that the Bureau awarded California $15 million for the Delta-Mendota Canal floating solar project. The project, which is funded through President Biden’s Inflation Reduction Act, marks a key step forward for ‘floating solar,’ a technology that is billed as a win-win for the energy and water sectors. … 

On April 2, 2024, the California Department of Water Resources (DWR) released the California Water Plan Update 2023 (CWP 2023 Update). DWR’s press release dubs the plan “A Roadmap to Water Management and Infrastructure for a Water Resilient Future.” Resiliency is one of the key focuses for the CWP 2023 Update, as its chapter on objectives is entitled the “Roadmap to Resilience.” The plan is focused on the vision that “All Californians benefit from water resources that are sustainable, resilient to climate change, and managed to achieve shared values and connections to ...

In January 2023, the U.S. Environmental Protection Agency and the U.S. Army Corps of Engineers (Agencies) adopted a final rule altering the definition of "waters of the United States" (WOTUS), a key term that is referred to but not defined in the Clean Water Act (CWA) and is crucial for determining CWA permitting jurisdiction. The Agencies' stated purpose in adopting the rule was to better comply with the CWA by repealing and replacing a definition of WOTUS that had previously been adopted during the Trump administration; however, promulgation of the rule prompted multiple lawsuits ...

On January 31, 2024, the U.S. Environmental Protection Agency (EPA) announced that it is proposing to list nine per- and polyfluoroalkyl substances (PFAS) as hazardous constituents under the Resource Conservation and Recovery Act (RCRA). This action represents another significant step in the regulation of PFAS.

PFAS are a key focus of many environmental regulators and of many people as well largely based on their ubiquity and catchy nickname “forever chemicals.” Both come from the fact that PFAS do not break down naturally over time either in the environment or in the human ...

On January 10, 2024, Governor Newsom announced his 2024-2025 State budget proposal for $291 billion with a $37.9 billion proposed deficit. For water projects, the proposal is remarkably similar to his proposal from last year. The main differences as compared to last year’s proposal are bigger cuts (to many of the same areas cut last year) and less funding for new projects.

Governor Newsom seeks to address the $37.9 billion budget shortfall (which is substantially lower than the Legislative Analyst Office’s $68 billion projection from last month) through a variety of ...

After releasing the final environmental report (EIR) for the Delta Conveyance Project on December 8, the Department of Water Resources (DWR) certified it on December 21, 2023. The certification of the final EIR is a significant step forward for the Delta Conveyance Project, a key project for the Newsom administration. It also provides the basis for legal challenges, which are all-but inevitable.

The Delta Conveyance Project is the latest in a long line of proposed conveyance projects designed to bring water from northern California to southern California. Different iterations of ...

The year started with a bang, with a lot of new Members of the Legislature, and more seasoned Members, invigorated and motivated to tackle some major water policy and funding issues for California. While some significant water policy changes were passed by the Legislature this year (with much controversy), there is still much left to debate and discuss in the second year of the two-year session, which will begin on January 3, 2024. … 

Deadlines are upcoming related to the multi-district per- and polyfluoroalkyl substances (PFAS) litigation. The relevant settlements are with DuPont, Chemours, and Corteva (collectively, DuPont) and 3M, parties who allegedly manufactured various PFAS chemicals. The currently-pending settlements cover $1.185 billion for DuPont and $10.5-$12.5 billion for 3M.

The litigation is focused on alleged contamination of drinking water caused by DuPont’s and 3M’s alleged manufacture of PFAS chemicals. PFAS are a family of manmade chemicals that are used due to beneficial ...

Despite efforts to stem increasing cyber threats to water systems around the nation, on October 13, 2023, the United States Environmental Protection Agency (EPA) withdrew cybersecurity mandates put in place by the Biden administration after the 8th U.S. Circuit Court of Appeals July decision to place the mandates on hold while court actions continued.

In an attempt to harden clean water and wastewater treatment facilities from cyberattacks, the administration issued an interpretive memorandum in March 2023, that mandated adding cybersecurity assessments as a regular part of ...

On September 28, 2023, the U.S. Environmental Protection Agency (EPA) finalized its rule requiring reporting of per- and polyfluoroalkyl substances (PFAS). According to EPA’s press release, the rule is intended to “provide EPA, its partners, and the public with the largest-ever dataset of [PFAS] manufactured and used in the United States.”

EPA’s new rule is part of its PFAS Strategic Roadmap, the Biden Administration’s plan to address PFAS, a family of man-made chemicals that are becoming well-known and well-studied based on their ubiquity and resistance to breaking down naturally.... 

On January 6, 2023, the U.S. Environmental Protection Agency (EPA) announced its Final Rule, listed at 88 FR 986, updating the maximum civil monetary penalties that may be assessed for violations of environmental statutes. This annual update is required by the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015. This is the seventh annual adjustment under that act.

The update is designed to reflect inflation in order to maintain the deterrent effect of statutes providing civil monetary penalties, and is based on a formula that factors in the consumer price ...

On January 10, 2023, Governor Gavin Newsom announced his $297 billion budget proposal for 2023-2024, which includes a $22.5 billion budget deficit. Despite environmental/climate change programs facing $6 billion in cuts, Governor Newsom’s proposed budget includes relatively few negative impacts to water projects. In fact, the drought response and water resilience section, which includes the vast majority of water-related funding, only faces a cut of two percent, from $8.7 billion to $8.6 billion. That two percent reduction is the lowest of any environmental category. ...  

On December 19, 2022, the U.S. Army Corps of Engineers (Army Corps), Sacramento District released its Draft Environmental Impact Statement (EIS) for the Delta Conveyance Project. The Army Corps is the federal agency tasked with evaluating the Delta Conveyance Project for compliance with the National Environmental Policy Act. Cooperating federal agencies include the U.S. Fish and Wildlife Service, National Marine Fisheries Service, U.S. Environmental Protection Agency, and U.S. Bureau of Reclamation. … 

On December 6, 2022, the U.S. House of Representatives passed the National Defense Authorization Act (NDAA) by a bipartisan vote of 350-80. The NDAA includes the Water Resources Development Act (WRDA) of 2022, which includes nearly $38 billion in funding for the Army Corps of Engineers (Corps). (The text of the WRDA begins on page 3160 of the NDAA.) The WRDA is biennial legislation that provides the Corps with funding to address navigation, flood control, and ecosystem restoration. This year’s bill authorizes projects in all 50 states. On the same day, a bipartisan group of Senators and Representatives announced that they reached an agreement on the WRDA. On December 15, 2022, the Senate passed the NDAA. … 

On September 7, 2022, California became the first government in the world to require microplastics testing for drinking water, an emerging contaminant that is found throughout the environment. The State Water Resources Control Board (State Water Board) approved a policy handbook that details how it will implement a four-year plan, including testing logistics as well as how it will select the public agencies that will be required to test.

Microplastics represent an emerging contaminant of concern for which there are still a number of unanswered questions. As the policy handbook ...

On June 15, 2022, the U.S Environmental Protection Agency (EPA) announced new health advisories for four per- and polyfluoroalkyl substances (PFAS). The health advisories significantly lowered the level considered safe to consume for two PFAS and set limits for two new PFAS. At the same time, EPA announced it was making $1 billion available in grant funding to help communities address PFAS contamination.

PFAS have been dubbed “forever chemicals” because they tend to linger in the environment and humans rather than naturally breaking down. There are dozens of different types ...

On May 24, 2022, the California State Water Resources Control Board announced emergency drought restrictions resulting from Governor Newsom’s Executive Order N-7-22. The regulations are the latest in a series of attempts by the state to deal with the ongoing severe drought. The regulations cover two areas: a ban on irrigating non-functional turf and a requirement that urban water suppliers implement the Level 2 demand reduction actions in their water shortage contingency plan. …

On May 12, 2022, at the conclusion of a 10-hour hearing, the California Coastal Commission voted to deny Poseidon Water’s application to site and operate a desalination plant in Huntington Beach, in what could be a fatal blow for a project that has been debated for more than 20 years.

The Coastal Commission’s vote was unanimous, 11-0, in agreeing with the staff report’s recommendation to reject Poseidon Water’s application. The staff report recommended denial “due to this project’s fundamental inconsistencies with Coastal Act and LCP policies related to coastal ...

At a board meeting on April 26, 2022, the Metropolitan Water District of Southern California (“the Met”) announced it would be requiring reductions in water usage from retail water suppliers that are dependent on water from the State Water Project. The reduction, which the Met took as a result of the severity of the state’s current drought, will apply to six million Californians covering Los Angeles, Ventura and San Bernardino counties. The impacted retail water suppliers are Los Angeles Department of Water and Power, Three Valleys Municipal Water District, Upper San Gabriel ...

The past few weeks have been active ones for California in assessing the severity of its current drought and how it plans to manage its water during the third year of that drought. On top of other, more localized action, California released its report on 2021 groundwater conditions, evaluated current snowpack conditions and Governor Newsom issued an executive order directing action affecting 2022 water usage.

2021 Groundwater Conditions Report

On April 4, 2022, the California Department of Water Resources (“DWR”) issued its Groundwater Conditions Report for Water Year 2021 ...

Join us on March 29, 2022, when we will participate in the 2022 Annual AGWT-AGWA California Groundwater Issues Conference in Lakewood, CA, hosted by American Ground Water Trust and Association of Ground Water Agencies.

We will be providing a presentation entitled “The New Endangered Species ‘Protection’ Requirements for Steelhead Trout Will Impact Water Managers’ Options and Groundwater Sustainability Plans.” During this session, we will discuss how the new California endangered species listing will affect operations from Santa Maria, in the central ...

On February 24, 2022, the Environmental Protection Agency (EPA) and the Army Corps of Engineers (Corps) announced the list of organizers selected for regional roundtables concerning the agencies’ rulemaking proceeding regarding the definition of the “waters of the United States” (WOTUS) under the Clean Water Act.  More information is available on the EPA's website. ...

On November 18, 2021, the Environmental Protection Agency (EPA) and Army Corps of Engineers (Corps) announced the availability of a pre-publication version of a proposed rule (Proposed Rule) to amend the definition of Waters of the United States (WOTUS). This much anticipated rulemaking is the latest attempt by the agencies to provide regulatory clarity on what water features are subject to the protections of the Clean Water Act.

The agencies did not announce a date for official Federal Register publication, but once published, the Proposed Rule will have a 60-day comment period ...

The first 100 days of a new administration can define what lies ahead for the next four years. Join our panel of Nossaman Environment & Land Use attorneys from across the U.S. on April 15, 2021 from 11:00 a.m. – 12:30 p.m. PT as we review and evaluate the Biden administration’s first 100 days of policy moves involving environmental and natural resources management.

We will discuss efforts to fill leadership roles at CEQ, EPA, Interior, DOT and other federal agencies. Updates and analysis will be provided regarding key areas of policy, legislation and regulation, including:

• Climate ...

President-elect Joe Biden’s victory over Donald Trump could mean big changes for federal treatment of issues affecting water service providers, as well as how such issues are addressed in California, where Governor Newsom will presumably now have an ally in the White House. At both the state and federal levels, legislators are still working to address the impact of COVID-19 on public health and the economy, while pursuing existing policy goals that may have been put on hold due to the challenges created by the pandemic.

To navigate these new changes, please join us on December 3, 2020 ...