1 EASTERN MUNICIPAL WATER DISTRICT 2016 Legislative Priorities and Strategy, and Policy Principles Jolene Walsh, Senior Director of Public and Governmental Affairs Danielle Coats, Legislative Analyst January 20, 2016

2 Presentation Topics Policy Principle Process and Changes Additions to Federal and State Legislative Priorities Existing Legislative Priorities

3 Policy Principles

4 Process of Developing Policy Principles Began adopting policy principles in policy principles were adopted in 2012 for a total of 10. An additional policy principle was adopted specifically for the development of the 2014 water bond. All policy principles are assessed annually. New policy principles added as needed. Principles are consistent with: o Mission Statement, o Guiding Principles, and o Strategic Plan. Consideration and approval by Administrative Committee and the Full Board.

5 Process and Purpose Principles are dynamic, yet should provide some continuity from year to year as they are intended to provide a foundation from which EMWD assesses legislation. Updated as issues arise or change. o Legislative priorities are more fluid and change as issues emerge from year to year. Legislative Policy Principles Guide: o Legislative Affairs Staff, o Legislative Review Committee, and o EMWD Advocates Guides messaging for outreach and advocacy.

6 Checks and Balances 1 Acquire bills 2 Legislative Review Committee Analysis 3 Board Adopted Policy Principles 4 Lobbyists/Associations 5 General Manager 6 Outreach/Advocacy 7 Follow-up

7 Changes to Policy Principles for 2016 Additions and clean-up to existing policy principles to include references to new reporting and planning initiatives: o California WaterFix/California EcoRestore replaces references to the Bay Delta Conservation Plan o Includes references to the Sustainable Groundwater Management Act; Enhanced language on local control and flexibility; Additional bullet addressing the ability to establish rates; specifically tiered rates, that are both fair to rate payers and extends protections and flexibility to the water provider when establishing the rates; and Suggestion to oppose language that establishes water providers as land-use decision-makers responsible for enforcing planning objectives.

State and Federal Legislative Priorities, Additions

State and Federal Legislative Priorities Modified approach: Merge state and federal priorities Stronger reference to updated policy and reporting initiatives and federal activities: o Sustainable Groundwater Management Act (SGMA) o BDCP – California WaterFix/EcoRestore

10 Funding/Financing/Budget Federal: o Continue project eligibility for WaterSmart funding and not constrain project eligibility to U.S. Bureau of Reclamation facilities. State: o Oppose the application of a public goods charge or other fee mechanism and support the consideration of state General Funds for one-time investments in failing water systems. o Oppose efforts restricting the advancement of statewide infrastructure projects financed through state revenue bonds.

11 Water Policy Federal: o Generic authorization for Title XVI projects to allow the Bureau of Reclamation to advance individual projects without seeking a project specific authorization. State: o Support local control and flexibility when implementing the California Water Action Plan. o Support collaboration and regional efforts to address water supply objectives and needs.

12 Drought Management Oppose drought management objectives and conservation mandates that fail to adequately consider local conditions including climate, water supply conditions, growth, recycled water utilization and investments in new sustainable water supplies.

13 State Water Usage and Emergency Drought Regulations Oppose efforts to interject or position the Administration or state agencies into a role where they require the development of local or regional water budgets. Oppose legislation or administrative actions that would establish water providers in roles as land-use decision- makers as it relates to development, land- use, and enforcement of long range planning objectives. Support efforts that would establish and protect local control and local water management strategies to ensure lasting water supply reliability.

14 Water Supply Management Support legislation that promotes expanded use of recycled water in a manner that encourages access without compromising operational objectives. Oppose legislation that further restricts access to imported water supplies.

15 Prior Adopted Priorities Returning for 2016 Water Quality State Budget Bay Delta/State Water Project Improvements Desalination and Salinity Management Energy Government Efficiency/Transparency and Accountability Endangered and Invasive Species Management Chemical Security

16 Potential Legislation to Sponsor/Co-sponsor Tiered rates have continued to be challenged in court following San Juan Capistrano o Costly to defend o Challenges can be against agencies who have had the same rates/rate structure for many years o Class action lawsuits can be extremely costly for water providers Investigating co-sponsorship with an association; Short-term fixes to include: o Available timetable to challenge rates, if a ratepayer has legitimate complaints about a ratemaking process challenges should be raised and scrutinized in a timely manner; and o Class action lawsuits against water providers.

17 Contact Information EASTERN MUNICIPAL WATER DISTRICT Jolene Walsh, Senior Director of Public and Governmental Affairs (951) , 4347 Danielle Coats, Legislative Analyst (951) , ext