Cities and Joint Powers Committee Mission Statement TheCities and Joint Powers Committee of the 2015-2016 Kern County

Comments 26

• CO1
  The City utilizes a work order system called Mainstar and in addition uses the “CitySourced” app which tracks complaints from the public. Additional technology is available that can access the GIS database in the field and could also be used to log complaints and work orders. Adapting this technology to the needs of the Department would allow complaint follow-up, rapid response to important repairs, and better communication and documentation.
• CO2
  If enough trees are lost due to the drought the City could be at risk of losing the “Tree CityUSA” designation.
• CO3
  Streetscape areas under the responsibility of the Department are not well documented in an easily accessed format. Maintenance staff therefore must depend upon their own knowledge of streetscape areas in their daily work. Such knowledge can be difficult to pass on to other employees and interested third parties. 41
• CO4
  Geographic Information System (GIS) mapping is available for tree location mapping. The cost for consultant services is in the range of $2.00 - $5.00 per tree. The information can be compiled with location, species, size and condition. Maps can be printed from the database.
• CO5
  In the event of damage to a tree as a result of an accident, the Department calculates the insurance claim based upon staff time and equipment to remove the damaged tree and prepare the site, and for a contractor to provide and plant a new 24” box tree. This method does not take into account the size, age or species of tree. For example, if a large diameter tree must be removed as a result of an accident, the small diameter replacement tree would take many years to reach the same size and maturity. The benefits of that larger tree are therefore lost in this example of a calculation for aninsurance claim.
• CO6
  The Department would like to offer more recreational activities than currently available. The two City community centers currently offer some after school programs and anyone is welcome to attend. However, these centers may not be easily accessible from all areas of the City.
• CO7
  According to the Department, approximately 17 years ago, the Bakersfield City and Greenfield School Districts opened their facilities for after school programs that wereplanned, organized and supervisedby the Department: • Consisted of homework help, sports, arts and crafts and non-competitive games • Schools funded half and the District funded half to cover staffing, supplies and equipment • Schools started their own programs and the Department contracts were phased out over a twelve year period • According to the Department, the costs became prohibitive when the schools began charging fees for custodians, room rentals and other costs. The Department states, “It is frustrating to see the gates locked after school and in the summer, keeping the kids out once the school bell rings” 42
• CO8
  The Kern High School District (KHSD) currently has a joint use agreement with the Department to use city pools for swim team practices and some swim meets. • KHSD donated money to help build the McMurtreyAquatic Center • The schools have first priority in use of the pools, outside of the City programs
• CO9
  As stated by the Department, “More dialogue with community leaders, school administrators and board members would result in greater opportunities for children during their out of school hours”.
• CO10
  According to the Kern County Superintendent of Schools, all school districts within the County have a reasonable policy to allow community use of school facilities. Educational Code §38131 (a) states: “There is a civic center at each and every public school facility and grounds within the state where the citizens, parent teacher associations, Camp Fire girls, Boy Scout troops, veterans' organizations, farmers' organizations, school-community advisory councils, senior citizens' organizations, clubs, and associations formed for recreational, educational, political, economic, artistic, or moral activities of the public school districts may engage in supervised recreational activities,…” COMMENTS: The Committee would like to thank the Department Director and staff for their cooperation in this inquiry. The Committee concluded that under the current unusual circumstances, the staff is working diligently to protect and preserve the investment in parks and streetscapes that have been made over many years.
• CO11
  The Dr. Martin Luther King, Jr. Community Center is located at the intersection of East California Avenue and South Owens Street. The meeting rooms, kitchen, picnic areas, and gymnasium, are available for rental to the public. Reservations must be made at least 3 weeks in advance and require a minimum $100 cleaning deposit. A two hour minimum rental 39 fee is required. There is also a pool which is operated seasonally by the Department.
• CO12
  Silver Creek Community Center is located at the corner of Harris Road and Reliance Drive in southwest Bakersfield. This 14-acre complex features a pavilion, swimming pool, which is open seasonally, two meeting rooms, performance stage, disc golf course, tennis courts, horseshoe pits, par exercise course and two large picnic areas. Some of these areas are available for rental on a first come, first-served basis. The Silver Creek meeting rooms, kitchen, picnic areas and pavilion (covered court), are available for rental to the public. Reservations must be made at least 3-weeks in advance and require a minimum $200 cleaning deposit.
• CO13
  The McMurtrey Aquatic Center (Center) is located at 1325 Q Street. The Center features an Olympic size competition pool, water slides, one and three meter diving boards and picnic areas for public use and party rentals. The Center also provides a variety of water programs.
• CO14
  The Saunders Multi-purpose facility has year round soccer, in-line hockey, basketball and roller derby events. Outdoor fitness facilities are available to the public at City in the Hills, Truxtun Avenue and Aera Park. Mesa Marin Sports Complex operates one of the largest softball leagues in California, as well as various tournaments year round. State Farm Sports Village offers soccer and youth football to over 4,000 children through agreements with AYSO and Golden Empire Youth Football. Q. The City of Bakersfield Parks and Recreation Master Plan was written in 2007. The Master Plan states: “The purpose of doing a Recreation and Parks Master Plan is twofold. First, it provides the City with an opportunity to assess its past and future growth and where it is in terms of providing the needed facilities and programs to serve that growth. Secondly, it provides the City with an updated Master Plan suggesting policies, park standards, current and future needs assessments, analysis of facility conditions and funding/financial recommendations which results in a current strategic planning document allowing the City to address the needs, issues, and demands for recreation programs, facilities, and parks to better serve the Bakersfield community now and in the future.” R. The Master Plan suggests it should be updated every 5 to 7 years. One objective in the approved 2015-2016 Department budget is: “Identify funding source(s) to review and update Recreation and Parks Master Plan to include future community needs.” 40 FINDINGS: F1. Drought and water rationing are stressing City owned trees and shrubs in parks and along streets. Department staff and resources are insufficient to keep parks and streetscape maintained at an acceptable level in the coming months and years. F2. City owned parks and streetscape require considerable maintenance. Department staff carry out routine maintenance and respond to increased citizen concerns about broken and poorly adjusted sprinklers, distressed trees and other observations. Staff provides support for removal of homeless encampments in the Kern River, assists in sidewalk replacement where tree roots lift sidewalks, and carries out tree removal and trimming around City facilities, among other duties. F3. Department staff assigned to streetscape maintenance appears to be knowledgeable and hard working. However, drought and water rationing have led to additional workload that is stretching staff time and equipment to the limit. When equipment is out of service, some work must be deferred while awaiting repairs or replacement. F4. Citywide reduction in water usage means less water is being applied to landscaping. Compared to 2013, the Department has reported that the City has cut water use by about 50%for City facilities, parks and streetscape. F5. City policy, to comply with State mandates, requires irrigation to occur only on designated days and times. Controllers that regulate the timing and duration of irrigation cannot in all cases accommodate these daily restrictions, leading to less efficient watering patterns and increased stress on vegetation. In some areas, watering by the City must be further curtailed to maintain acceptable water pressure in surrounding areas. F6. The words “rain”, “drought” and “desert” are not mentioned in the Master Plan, indicating that a drought was not anticipated in 2007. F7. Maintenance of streetscapes is mentioned in the Master Plan, but almost exclusively from the standpoint of recommended funding through maintenance districts. City Subdivision and Engineering Design Manual Standards for Landscaping applicable to development proposals do not emphasize planting and hardscape that recognize the need to conserve water in a time of drought. F8. Streetscape areas under the responsibility of the Department are not well documented in an easily accessed format. Maintenance staff therefore must depend upon their own knowledge of streetscape areas in their daily work. Such knowledge can be difficult to pass on to other employees and interested third parties. 41 F9. Geographic Information System (GIS) mapping is available for tree location mapping. The cost for consultant services is in the range of $2.00 - $5.00 per tree. The information can be compiled with location, species, size and condition. Maps can be printed from the database. F10. The City utilizes a work order system called Mainstar and in addition uses the “CitySourced” app which tracks complaints from the public. Additional technology is available that can access the GIS database in the field and could also be used to log complaints and work orders. Adapting this technology to the needs of the Department would allow complaint follow-up, rapid response to important repairs, and better communication and documentation. F11. If enough trees are lost due to the drought the City could be at risk of losing the “Tree CityUSA” designation. F12. In the event of damage to a tree as a result of an accident, the Department calculates the insurance claim based upon staff time and equipment to remove the damaged tree and prepare the site, and for a contractor to provide and plant a new 24” box tree. This method does not take into account the size, age or species of tree. For example, if a large diameter tree must be removed as a result of an accident, the small diameter replacement tree would take many years to reach the same size and maturity. The benefits of that larger tree are therefore lost in this example of a calculation for aninsurance claim. F13. The Department would like to offer more recreational activities than currently available. The two City community centers currently offer some after school programs and anyone is welcome to attend. However, these centers may not be easily accessible from all areas of the City. F14. According to the Department, approximately 17 years ago, the Bakersfield City and Greenfield School Districts opened their facilities for after school programs that wereplanned, organized and supervisedby the Department:
• CO15
  Consisted of homework help, sports, arts and crafts and non-competitive games
• CO16
  Schools funded half and the District funded half to cover staffing, supplies and equipment
• CO17
  Schools started their own programs and the Department contracts were phased out over a twelve year period
• CO18
  According to the Department, the costs became prohibitive when the schools began charging fees for custodians, room rentals and other costs. The Department states, “It is frustrating to see the gates locked after school and in the summer, keeping the kids out once the school bell rings” 42 F15. The Kern High School District (KHSD) currently has a joint use agreement with the Department to use city pools for swim team practices and some swim meets.
• CO19
  KHSD donated money to help build the McMurtreyAquatic Center
• CO20
  The schools have first priority in use of the pools, outside of the City programs F16. As stated by the Department, “More dialogue with community leaders, school administrators and board members would result in greater opportunities for children during their out of school hours”. F17. According to the Kern County Superintendent of Schools, all school districts within the County have a reasonable policy to allow community use of school facilities. Educational Code §38131 (a) states: “There is a civic center at each and every public school facility and grounds within the state where the citizens, parent teacher associations, Camp Fire girls, Boy Scout troops, veterans' organizations, farmers' organizations, school-community advisory councils, senior citizens' organizations, clubs, and associations formed for recreational, educational, political, economic, artistic, or moral activities of the public school districts may engage in supervised recreational activities,…” COMMENTS: The Committee would like to thank the Department Director and staff for their cooperation in this inquiry. The Committee concluded that under the current unusual circumstances, the staff is working diligently to protect and preserve the investment in parks and streetscapes that have been made over many years.
• CO21
  The City of Bakersfield should post a copy of this report where it will be available for public review.
• CO22
  Persons wishing to receive an email notification of newly released reports may sign up at: www.co.kern.ca.us/grandjury.
• CO23
  Present and past Kern County Grand Jury Final Reports and Responses can be accessed on the Kern County Grand Jury website: www.co.kern.ca.us/grandjury. 44 RESPONSE REQUIRED WITHIN 90 DAYS PRESIDING JUDGE KERN COUNTY SUPERIOR COURT 1415 TRUXTUN AVENUE, SUITE 200 BAKERSFIELD, CA 93301 CC: FOREPERSON KERN COUNTY GRAND JURY 1415 TRUXTUN AVENUE, SUITE 600 BAKERSFIELD, CA 93301 45 46 47 48 49 50 51 CITY OF DELANO Celebrating a Century, Planning for the Future SUMMARY: Beginning as a railroad town, surrounded by agriculture, having amajor impact on the farm labor movement, Delano, the second largest incorporated city in Kern County, is transitioning to an industrial player in the region. How this is being accomplished is the subject of this 2015-2016 Grand Jury Report. PURPOSE OF INQUIRY: Pursuant to Penal Code §925a, the Cities and Joint Powers Committee (Committee) of the 2015-2016 Kern County Grand Jury (Grand Jury) inquired into the operation and management ofthe City of Delano (City). PROCESS: The Committee interviewed the City Manager, Police Chief, Director of Public Works, the City Clerk, City Council members and other staff. The Committee was given a tour of various improvement projects by the Director of Public Works and toured the new Police Station with the Police Chief. A review of minutes and agendas was also conducted. The City website and internet resources were reviewed for relevant information. BACKGROUND: Delano was founded on July 14, 1869 as a railroad town. The name was officially given by the Southern Pacific Railroad in honor of Columbus Delano, the United States Secretary of the Interior. The first Post office opened in 1874. Delano, incorporated in 1915, began celebrating its 100 year anniversary in January, 2015,with the Centennial Galafollowed by golf tournaments, birthday parties and music festivals in later months. Delano was a major hub of farmworker organization efforts and Chicano movement politics. In September 1965, Filipino leaders led the predominantly Filipino Agricultural Workers Organizing Committeein a "walk off" from table grape farms. The National Farm Workers' Association,a largely Hispanic union led by Cesar Chavez, joined the strike within a week. During the strike, the two groups joined forces and formed the United Farm Workers of America (UFW). A celebration was conducted on September 26, 2015, in recognition of the fifty-year anniversaryof the strike. For many years, as people traveled through the central valley, the blinking red lights off in the distance was a landmark. The Voice of America Broadcast Station (VOA) in Delano was the first external transmitting shortwave broadcast station and the beginning of this nation’s ability to broadcast around the globe. 52 Founded in 1942, VOAbegan transmitting short-wave radio programs in 1943, providing as its charter states, “VOA news will be accurate, objective and comprehensive.” The broadcast was done in English and other languages. A 1976 Federal law required that the VOA serve as a consistently reliable and authoritative news source. During World War II the military enjoyed VOA as a touch of home when they were overseas. The last remaining WWII shortwave transmittingstation,VOADelano,operatedfrom 1943 until officially closed on March 10, 2007. In 2014 it was placed on the U. S. General ServicesAdministration(GSA)excess property disposal list. The population of Delano, according to the State of California Department of Finance, is 52,222 including an inmate population of 8,465 housed in the California Department of Corrections and Rehabilitation facilities. The City has a diverse population mix due to its agricultural background. Major ethnic groups within the City are Hispanic, Filipino, Asian and Caucasian. In November, 2007, Delano voters approved Measure I, a 1% sales tax increase which became effective in April, 2008. The additional revenue generated by the tax is applied to the City’s General Fund and used to fund capital improvements, equipment, and many programs throughout the community. This additional revenue in 2014-2015 was $5,533,823. This measure is due to expire in April, 2018 sothe City Council has takensteps to seek acontinuation for an additional 10 years. On the 2016ballot this will be designated as Measure A. Throughout the last decade the City has attempted to stimulate commercial growth. Investors were recruited for a major retail projectin the southwest portion of the city. Phase I has seen WalMart, Ross Dress for Less and other similar or smaller retail stores opening in the 90%completed Delano Market Place Shopping Center. Phase II,The Grapevine,will consist of 42 acres of mixed use with commercial development and multi-family residential. Construction is beginning with an estimated completion date of spring,2016. Phase III, The West Pavilion, consists of 77 acres of mixed use with commercial/retail development, multi-family and single family residences. This project's Environmental Impact Report is currently in circulation. Complementing this growth are emerging industrialization efforts. The Wonderful Company (formerly Paramount Farms) has a major processing plant and expansion is possible. Sears Logistics Services, employing 220, is a major part of the industrialization. The City is actively recruiting commercial operations to bring their facilities into the community. According to the State of California Employment Development Department, the current unemployment rate for the City is 11.9%. In 2010, the unemployment rate was 37.8%. The City’s economic growth has definitely improved employment. 53 FINDINGS: F1. While reviewing California Fair Political Practices Commission (FPPC) compliance, the Committee noticed that a City Council member had failed to report a 2010 trip to China in support of the City and future development on California Form 700, “Statement of Economic Interests”. As further inquiry was made, it became apparent that the cost was covered by the developer. Gifts, including travel, exceeding $50 must be reported by the recipient on Form 700. Although the Grand Jury was not able to determine the cost of the travel, it definitely exceeded the gift limits established by the FPPC. These limits increase over time, but the 2015limit is $460 from any one source. F2. The Ralph M. Brown Act (Brown Act) requirements have been met by the Council members and other City staff. Minutes and agendas are posted at City of Delano Administration Building and onthe City website. F3. The California National Guard Armory(Armory) at 725 South Lexington Street is located adjacent to the City Corporation Yardand has been deeded to the City. The available office space is being utilized by City Engineering/Public Works Division staff. Furtherexpansion as a repair facility has been proposed. F4. At present, the Armory is available for the use of individuals or groups subject to the issuance of a permit and payment of all fees. Reservations are taken for any date that has not beenreserved. F5. Upon visit to the Armory, the Committee learned that the Armory had not been tested forthepresence of hazardous asbestos. F6. The Community Center in the City was destroyed by fire. A new Community Center project has begun. Once completed, the Armory will then be available for other uses. F7. Industrial development continues to build around and close to the Delano Municipal Airport. F8. The VOA buildings and radio equipment may be eligible for the National Register of Historic Places. The City of Delano is very much interested in having the VOA property designated a historical site. It is the City's hope that such distinction would serve as a reminder to all who visit the site of the role that the VOA served around the world and that the City is very proud of the fact that it was located in Delano. F9. From 1943 to 2007, VOA utilized an 800 acre site located west of Delano as a shortwave broadcast facility. The City has submitted an Application of Interest to the GSA for acquisition of the VOA property.The City could consider asking its Congressional Representatives to expedite the VOA acquisition process. 54 COMMENTS: The 2015-2016 Kern County Grand Jury would like to thank the City of Delano staff for their cooperation in providing information for this report. The Cities and Joint Powers Committee was impressed with the proactive attitude displayed by Citystaff.
• CO24
  The City of Delano should post a copy of this report where it will be available for public review.
• CO25
  In addition to required responses, the Grand Jury will send this report to the offices of the California Secretary of State and the State Controller, the California Senate Local Government Committee, the County office of the Local Agency Formation Commission, CALAFCO, the California Grand Jury Association and other grand juries that might be interested in this subject. Observations by these agencies are not required, but are welcome. 71 RECOMMENDATIONS: R1. To improve transparency, accessibility, accountability and limitations, the County, through the Board of Supervisors, and each city council, should request local State representatives to promote reform to the “Joint Exercise of Powers Act” (Government Code §6500 et. seq). (Findings 1, 2, 3, and 4) These requested reforms should include the following: A. Local LAFCos should be authorized to evaluate formation of proposed Joint Powers Authorities in a manner similar to the evaluation of proposed Special Districts. B. JPAs should be required to have an up-to-date website with contact information, agendas, location of public records, audits and other pertinent information. C. Joint powers authorities should have an office at a known location. D. Agendas, minutes and other records should be consolidated in one location that is readily accessible by the public. E. Member agencies and JPA should post the names and contact information of appointed board members. F. There should be a penalty if required audits are not sent to member agencies for review. G. LAFCo should inform State record-keeping agencies and appropriate counties that a new JPA has been established. H. The Marks-Roos Act, and California Government Code §6587 should be reviewed to determine if the Act provides appropriate public benefit and oversight and if tighter restrictions should be placed on the issuing of bonds. I. If bonds are to be sold by a JPA, each member agency should be required to notify its constituents before considering approval of an authorizing ordinance or resolution. J. After such action is taken, there should be a mechanism for the public to petition the member agency to reconsider the issuance of bonds. R2. Through review of relevant agreements and State Government Codes, the County and each incorporated city should identify all joint powers authorities to which each is a party. (Finding 1) R3. All public agencies should monitor the joint powers authorities in their jurisdiction including: A. JPAs should have up-to-date website with contact information, agendas, names for appointed board members and other pertinent information. B. Records should be easily accessed at a central location. C. Review compliance with public agency law requirements. D. Audits should be reviewed and presented to member boards in public meetings. E. Member agencies should review at agreed intervals and, if appropriate, change, renew or dissolve the agreement that established the authority. F. At the time of the adoption of its annual budget, all public agencies should list relevant information, including purpose on its agenda. (Findings 1, 2 and 3) 72 R4. Grand juries do not have the authority to make recommendations to the State legislature. With that understanding, the 2015-2016 Kern County Grand Jury suggests that the State legislature consider amendments to State law. In addition to reviewing the Findings and Recommendations listed above, the Grand Jury suggests consideration of the following: A. State Law should direct LAFCos to evaluate the formation of proposed Joint Powers Authorities in a manner similar to the evaluation of proposed Special Districts. B. JPAs should be required to have an up-to-date website with contact information, agendas, location of public records, audits and other pertinent information. C. State Law should direct State agencies to organize their records so that information on joint powers authorities can be easily accessed by the public online. D. There should be a penalty if required paperwork is not submitted to State agencies and audits are not sent to member agencies for review. E. Marks-Roos, and California Government Code §6587 should be reviewed to determine if the law provides sufficient public benefit and oversight or if tighter restrictions should be placed on the issuing of bonds. (Findings 1, 2, 3 and 4) R5. Grand juries do not have the authority to make recommendations to State agencies. With that understanding, the 2015-2016 Kern County Grand Jury suggests that State agencies improve their operations as follows: A. The Secretary of State and State Controller should organize their records by jurisdiction, so that joint powers authorities can be easily identified and located by staff and interested parties. These records should be searchable online. B. Records should give information on type of authority, services, and other factors. (Finding 1) RESPONSES: The following agencies will be given a copy of this report for their response to Recommendations 1, 2, and 3: County of Kern Board of Supervisors City of Arvin City of Bakersfield City of California City City of Delano City of Maricopa City of McFarland City of Ridgecrest City of Shafter City of Taft City of Tehachapi City of Wasco The following agency will be given a copy of this report for its response to Recommendation 3: Kern County Superintendent of Schools 73  The respondents should post a copy of this report where it will be available for public review.  Persons wishing to receive an email notification of newly released reports may sign up  Present and past Kern County Grand Jury Final Reports and Responses can be accessed on the Kern County Grand Jury website: www.co.kern.ca.us/grandjury. RESPONSE BY ELECTED OFFICIALS REQUIRED WITHIN 60 DAYS, OTHERS WITHIN 90 DAYS TO: PRESIDING JUDGE KERN COUNTY SUPERIOR COURT 1415 TRUXTUN AVENUE, SUITE 200 BAKERSFIELD, CA 93301 CC: FOREPERSON KERN COUNTY GRAND JURY 1415 TRUXTUN AVENUE, SUITE 600 BAKERSFIELD, CA 93301 REFERENCES:  2014-2015 Orange County Grand Jury, Joint Powers Authorities: Issues of Viability, Control, Transparency, and Solvency  Cypher, T. & Grinnell, C., 2007, Governments Working Together: A Citizen’s Guide to Joint Powers Agreements, California State Legislature, Senate Local Government Committee Report  Marks-Roos Bond Act Borrowings: Several Cities Misused the Program and Some Financed Risky Projects Which May Result in Investor Losses, September 1998, California State Auditor Bureau of State Audits  LAFCOs and Joint Power Authorities: Defining a Relationship That Makes Sense, A presentation at the October 2014 CALAFCO Conference, Ken Lee, Moderator.  A REVIEW OF THE MARKS-ROOS Local Bond Pooling Act of 1985, September 1998, California Debt and Investment Advisory Commission  Growth Within Bounds: Planning California Governance for the 21stCentury, September 2000, Commission on Local Governance for the 21stCentury 74 77 78 79 80 81 82 83 84 85 75 76
• CO26
  KERN COUNTY GROUNDWATER Cooperation or Conflict? EXECUTIVE SUMMARY: Water can be thought of as a “common good”, defined as something that can be beneficial for all or most members of a given community. This is a time of drought; water resources, both surface and underground, are being consumed beyond their long-term capacity. Local groundwater basins are critically overdrafted. Optimism seems to abound among state regulators that interested parties will readily agree to a plan that can then be implemented to curb overuse. As stated in the 2015 Sustainable Groundwater Management Act (SGMA), “Sustainable Groundwater management in California depends upon creating more opportunities for robust conjunctive management of surface water and groundwater resources.” Echoing this, in draft regulations the California Department of Water Resources (DWR) states, “This landmark law empowers local agencies to implement groundwater sustainability plans tailored to the needs of their communities.” The County has taken the lead to form a Groundwater Sustainability Agency (GSA) for both the Tulare Lake Groundwater Basin and the Indian Wells Valley Groundwater Basin. Information and documentation are being assembled; discussions are ongoing. It is early in the process and many complexities lie ahead. Though each groundwater basin must reach sustainability 20 years after plan approval in 2020, the hard work leading to consensus is happening now and in the near future. The 2015-2016 Kern County Grand Jury (Grand Jury) recommends that the County and each GSA reach out to all potentially interested parties to ensure participation and easy access to information on groundwater sustainability through websites and offices at known locations. PROCESS: The purpose of this inquiry was to understand the mandates of the Sustainable Groundwater Management Act and the local processes that have been initiated. The Grand Jury researched legislation and regulations, interviewed water district members, County and Bakersfield Water Department staff, attended a Groundwater Authority meeting and reviewed on line information concerning droughts and related subjects. A particular focus was the agreements and amendments for the two proposed groundwater authorities. In February 2016 the Grand Jury issued a report entitled HIDDEN GOVERNMENTS – Joint Powers Authorities in California. That report noted that such authorities have benefits but can also pose risks that are hidden from public view. The report recommended that authorities be transparent, accessible, accountable and limited. The Grand Jury applied the findings of that report to the agreements and processes that are underway to arrive at recommendations. In addition, this report contains background information for third parties who want to be involved in these issues. BACKGROUND: Drought in California In January 2016, the California Department of Water Resources and the U.S. Bureau of Reclamation finalized a report entitled, “Central Valley Project and State Water Project 2016 Drought Contingency Plan For Water Project Operations February - November 2016.” The report gives a perspective on drought in California: California has just ended its fourth consecutive year of below-average rainfall and snowpack, and Water Year 2015 was the eighth of nine years with below-average runoff. This extended drought has produced chronic and significant shortages to municipal and industrial, environmental, agricultural, and wildlife refuge water supplies and led to historically low groundwater levels. This recent dry hydrology has set many new statewide records, including the driest four-year period of statewide precipitation (2012-2015)…The cumulative effect of these sustained dry conditions is demonstrated in reduced natural runoff for streamflow, limited surface water storage in reservoirs, increased groundwater pumping, and significant effects to fish and wildlife populations (both listed and non-listed species, including salmon, smelt, and waterfowl). The effects of the drought are evident in Kern County. State Groundwater Regulations In September 2014, the Governor signed bills that establish the framework for groundwater regulation in California for the first time in the State’s history. These bills form SGMA, the “Sustainable Groundwater Management Act”. The legislation provides a comprehensive groundwater sustainability management program in California. SGMA directed the State Department of Water Resources to develop regulations to guide implementation. The draft DWR regulations state: On January 1, 2015, California began implementing the Sustainable Groundwater Management Act (SGMA). This landmark law empowers local agencies to implement groundwater sustainability plans tailored to the needs of their communities. California depends on groundwater for a major portion of its annual water supply, particularly during times of drought. Current drought conditions illustrate the need for reliable and resilient water supplies. The long-term planning required by SGMA will ensure that groundwater is a buffer against drought and climate change and contributes to reliable water supplies regardless of weather patterns in the State. It is not that simple. There are portions of two basins in Kern County, the Tulare Lake Groundwater Basin and the Indian Wells Valley Groundwater Basin. For each of these basins:  DWR classified these basins as “critically overdrafted”  Cities, water districts, mutual water companies, commercial enterprises and individuals that pump water want to protect their access to water  The underlying geology of each basin is complex and open to interpretation  A possibly complicated agreement and a coordination agreement must be approved  By January 1, 2020 each basin must have adopted a Groundwater Sustainability Plan (GSP)  Large parts of each basin may not be included in any GSP so the County itself will have responsibilities that it may not be eager to assume  The State could intervene and impose a plan if local processes collapse  Limits on water availability could lead to lower property values See the Appendix for sections from SGMA that are of interest in this report. Groundwater Basin Maps The map on the left shows the Tulare Lake Groundwater Basin. The Basin includes a portion of Kern County as well as other counties to the north that are not participating in the Kern Groundwater Authority. The map on the right shows the Indian Wells Valley Groundwater Basin that includes portions of Kern, Inyo and San Bernardino Counties. All three counties are participating in the Indian Wells Valley Groundwater Authority. Local Roles Under SGMA, local agencies having water supply, water management, or land use responsibilities within a groundwater basin have a role in the GSP process. For some agencies, that role is recommended but not required. A water district, for example, can decide not to participate in the planning process, but eventually would be subject to a plan or regulations. The Appendix has lists of participants. An agency with authority over land use, namely the County, has responsibilities regarding coordination of the local processes. A city can form a Groundwater Sustainability Agency (GSA) or participate in a larger GSA. The County may have to adopt regulations to cover those portions of each groundwater basin that are not included in the boundary of an adopted GSP. Draft DWR regulations state, “The groundwater sustainability agency shall consider the interests of all beneficial uses and users of groundwater, as well as those responsible for implementing groundwater sustainability plans.” In addition to entities that have groundwater rights, the interests of all water users need to be taken into account. These users therefore have a right to participate in the planning process. Milestones By January 1, 2020, each basin must have one or more adopted Groundwater Sustainability Plans. Subsequently, the DWR would review and approve the Plan. Twenty years after Plan approval, or about 2040, the groundwater basin must reach sustainability. The County took the lead in organizing meetings with interested agencies. For the Tulare Lake Groundwater Sub-Basin in Kern County, meetings have been underway since 2014. The Indian Wells Valley process began in late 2015. Given the tasks ahead and the importance of water for purveyors and users alike, there may be conflicts that will not be easy to resolve. Although not specified by SGMA, if the County adopts regulations for areas not governed by a city or otherwise part of a GSA, those regulations would probably need to be in place by the time a GSP is adopted. Groundwater Sustainability Authority - Options One or more GSAs must include the entire geography of each groundwater basin in the County. If there is more than one GSA in a basin, there must be a coordination agreement among all GSAs. This would need to include the County since there are land areas not covered by any other local entity. A GSA can take several forms. For example:  A body similar to a planning commission could be appointed to consider important items and make a recommendation to the Board of Supervisors that would be the decision maker  The GSA(s) in the basin would be governed by a separate joint powers authority (JPA). The JPA could have a number of directors elected or appointed by the various entities. Since some actions would affect local districts significantly, it would be possible to require more than simple majority to make decisions  There could be multiple GSAs with a coordination agreement to govern concerns between and among GSAs; arbitration could be used to settle issues  The County could decide to assume all authority if no other agency stepped forward, but the County could not impose itself in an area where a GSA-eligible agency has jurisdiction and wishes to function as a GSA  If the process collapses entirely, the State might be forced to take control Existing Agreements Kern Groundwater Authority An initial agreement for Tulare Lake Groundwater Basin was approved by the Board of Supervisors on April 8, 2014. It was amended and restated on April 5, 2016. Through that agreement, the Kern Groundwater Authority was created. Members include many water districts and agencies, the City of Shafter and the County. Among the provisions of the agreement are the following:  …the Kern Groundwater Authority (the “Authority”) was created to carry out the purposes of Part 2.75 of Division 6 (commencing at Section 10750 of the California Water Code) and develop, adopt and implement a groundwater management plan that would be available to those lands within the boundaries of the Authority’s members and within the Tulare Lake Groundwater Basin  The intent of the Members under this Agreement is to provide each Member with the sole right and responsibility to implement SGMA within its respective boundaries and/or Management Areas, as defined herein, in a manner determined by the Member, whether through the Authority or as a GSA….The Members expressly intend that the Authority will not have the authority to limit or interfere with the respective Members’ surface water supplies, groundwater supplies, facilities, operations, water management, and Water Supply Matters, as defined herein. Nothing in this Agreement is intended to modify or limit Members’ police powers  Meetings of the Board of Directors and any Committee (to the extent applicable) shall be conducted in accordance with the Ralph M. Brown Act, California Government Code Sections 54950, et.seq. Meetings of the Authority have been underway for many months. Using contributions from participating agencies, the Authority hired a consultant. The consultant has provided information on subjects, including SGMA and DWR requirements, timelines, surface and groundwater supplies, water storage and coordination among agencies. Access to this information is available through their website. On April 26, 2016 the Authority held a public meeting to inform the public of the process and challenges. Indian Wells Valley Groundwater Authority In 2015, representatives of local agencies in the Indian Wells Valley met to discuss the type of legal structures that could be employed. These discussions are ongoing. On January 26, 2016, the County Board of Supervisors approved a resolution with an attached draft agreement. The resolution supported the formation of a Groundwater Sustainability Agency structure to carry out the directives of SGMA. Among the provisions of the draft agreement dated March 15, 2016, are the following:  The purpose of this Agreement, and the creation of the Authority, is to provide for the joint exercise of powers common to the General Members for the purpose of cooperatively carrying out the requirements of SGMA, including serving as the GSA for the Basin and developing, adopting and implementing a GSP which achieves groundwater sustainability  All meetings of the Board of Directors, including special meetings and committee meetings, shall be noticed, held, and conducted in accordance with the provisions of the Ralph M. Brown Act (Government Code sections 54950, et. seq.)  Principal Office. At the initial meeting of Board, the Board shall establish, by a simple majority vote, a principal office for the Authority which shall be located at a place overlying the Basin. The Board may change the principal office from time to time as the Board sees fit so long as that principal office remains at a location overlying the Basin  Dissolution. The Authority may be dissolved at any time upon the unanimous vote of the Board and approval of the General Members’ governing boards. However, the Authority shall not be dissolved until all debts and liabilities of the Authority have been eliminated. Upon Dissolution of the Authority, each General Member shall receive its proportionate share of any remaining assets after all Authority liabilities and obligations have been paid in full FINDINGS: In February, 2016 the Grand Jury issued a report entitled HIDDEN GOVERNMENTS – Joint Powers Authorities in California. The Grand Jury applied the findings of that report to the agreements cited above and made findings and recommendations to improve access and participation by interested parties. There are some differences between the agreements that are reflected in the following: F1. The Kern Groundwater Authority agreement does not specify that the authority have a local office. The Kern Groundwater Authority has a website (www.kerngwa.com), but neither agreement specifies that the authority have a website through which board member contact information, agendas, financial records and other records must be available. F2. The agreements do not require board members and management staff to complete and file Fair Political Practices Commission California Form 700, “Statement of Economic Interests” (Form 700) F3. The agreements do not require audits that are sent to member agencies and the County for review. F4. Each authority is established under California Code §6500 and therefore the agency could issue bonds under Marks-Roos Local Bond Pooling Act (Marks-Roos). Such bonds could be utilized to carry out projects that benefit a private entity without sufficient public consideration. The agreements do not exclude issuing bonds and would probably be permissible. F5. The Kern Groundwater Authority agreement does not specify periodic agreement review and how the authority might be dissolved if it serves no further purposes. F6. A number of agencies have been involved in the SGMA process. The Kern Groundwater Authority held one public meeting. However, many agencies, individuals and areas with small farms or small housing developments that depend on pumped water have not been advised of the process. RECOMMENDATIONS: The Grand Jury recommends the County and each GSA follow the recommendations noted below and as soon as possible amend the formation agreement to incorporate language as noted. R1. The GSA should have an up-to-date website with contact information, agendas, and other pertinent information. Names and contact information for all board members should be easily found on the GSA website. (Finding F1) R2. The GSA should have an office at a known location which is easily accessible to the public and at which board member contact information, agendas, minutes, financial records and other records would be available for review and copying. This may be as simple as having a file cabinet for records located at a specified board member’s office, but eventually there could be a separate office with staff. (Finding F1) R3. GSA Board members and management staff, if any, should be required to complete and file Form 700 and these forms should be available for review at the GSA office. (Finding F2) R4. GSA audits should be sent to member agencies and the County. County Auditor-Controller staff should review audits for compliance and report their findings to the GSA. (Finding F3) R5. Authority to issue bonds under Marks-Roos and Government Code §6587 should only be granted through a later amendment to the agreement. (Finding F4) R6. The agreement should have a mechanism for modifying its terms. (Finding F5) R7. The agreement should specify that if the GSA serves no further purpose it should be dissolved in a timely manner. (Finding F5) R8. The County and GSA should hold additional public meetings and other events to make sure that all interested parties and stakeholders are informed of the importance of the GSA process. All media should be used to notify the public of upcoming events. (Finding F6) NOTES: The County of Kern, the Kern Groundwater Authority, and the Indian Wells Valley Groundwater Authority should post a copy of this report where it will be available for public review. Persons wishing to receive an email notification of newly released reports may sign up at www.co.kern.ca.us/grandjury. Present and past Kern County Grand Jury Final Reports and Responses can be accessed on the Kern County Grand Jury website: www.co.kern.ca.us/grandjury. RESPONSE REQUIRED WITHIN 90 DAYS PRESIDING JUDGE KERN COUNTY SUPERIOR COURT 1415 TRUXTUN AVENUE, SUITE 212 BAKERSFIELD, CA 93301 CC: RICHARD FRANK, FOREPERSON KERN COUNTY GRAND JURY 1415 TRUXTUN AVENUE, SUITE 600 BAKERSFIELD, CA 93301 APPENDIX: SGMA - The “Sustainable Groundwater Management Act”, formed by Senate Bill 1168, Assembly Bill 1739, and Senate Bill 1319 (which amended AB 1739) of the 2013-2014 legislative session, defines a number of terms, including the following:  Local agency - a local public agency that has water supply, water management, or land use responsibilities within a groundwater basin.  Sustainability goal - The existence and implementation of one or more groundwater sustainability plans that achieve sustainable groundwater management by identifying and causing the implementation of measures targeted to ensure that the applicable basin is operated within its sustainable yield.  Undesirable result - One or more of the following effects caused by groundwater conditions occurring throughout the basin: o Chronic lowering of groundwater levels indicating a significant and unreasonable depletion of supply if continued over the planning and implementation horizon. Overdraft during a period of drought is not sufficient to establish a chronic lowering of groundwater levels if extractions and recharge are managed as necessary to ensure that reductions in groundwater levels or storage during a period of drought are offset by increases in groundwater levels or storage during other periods. o Significant and unreasonable reduction of groundwater storage. o Significant and unreasonable seawater intrusion. o Significant and unreasonable degraded water quality, including the migration of contaminant plumes that impair water supplies. o Significant and unreasonable land subsidence that substantially interferes with surface land uses. o Depletions of interconnected surface water that have significant and unreasonable adverse impacts on beneficial uses of the surface water.  Condition of long-term overdraft - The condition of a groundwater basin where the average annual amount of water extracted for a long-term period, generally 10 years or more, exceeds the long-term average annual supply of water to the basin, plus any temporary surplus. Overdraft during a period of drought is not sufficient to establish a condition of long-term overdraft if extractions and recharge are managed as necessary to ensure that reductions in groundwater levels or storage during a period of drought are offset by increases in groundwater levels or storage during  Coordination agreement - A legal agreement adopted between two or more groundwater sustainability agencies that provides the basis for coordinating multiple agencies or groundwater sustainability plans within a basin pursuant to this part.  Groundwater sustainability agency - One or more local agencies that implement the provisions of this part. For purposes of imposing fees pursuant to Chapter 8 (commencing with Section 10730) or taking action to enforce a groundwater sustainability plan, "groundwater sustainability agency" also means each local agency comprising the groundwater sustainability agency if the plan authorizes separate agency action. The Kern Groundwater Authority is comprised of the following members: Arvin-Edison Water Storage District Cawelo Water District City of Shafter Kern County Water Agency Improvement District 4 Kern County Water Agency County of Kern Kern Delta Water District Kern-Tulare Water District Kern Water Bank Authority North Kern Water Storage District Olcese Water District Rosedale-Rio Bravo Water Storage District Semitropic Water Storage District Shafter-Wasco Irrigation District Southern San Joaquin Municipal Utility District Tejon-Castaic Water District West Kern Water District Westside District Water Authority Wheeler Ridge-Maricopa Water Storage District The following is a list of agencies that are eligible to join the GSA in the Indian Wells Valley. This list does not include entities such as mutual water companies or water companies regulated by the California Public Utilities Commission that may join the GSA if board members consent. City of Ridgecrest Indian Wells Valley Water District Inyo-Kern Community Services District County of Kern County of Inyo County of San Bernardino United States Navy (stated intent to be non-voting member) Bureau of Land Management (stated intent to be non-voting member) Native American Tribes (have not indicated intent to participate)