Bill Text: CA SB550 | 2023-2024 | Regular Session | Introduced

California Senate Bill 550

NOTE: There are more recent revisions of this legislation. Read Latest Draft

Bill Title: Water markets.

Spectrum: Partisan Bill (Republican 6-0)

Status: (Failed) 2024-02-01 - Returned to Secretary of Senate pursuant to Joint Rule 56. [SB550 Detail]

Download: California-2023-SB550-Introduced.html

CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Senate Bill

No. 550

Introduced by Senator Grove

February 15, 2023

An act to add Section 482.5 to the Water Code, relating to water.

LEGISLATIVE COUNSEL'S DIGEST

SB 550, as introduced, Grove. Water markets.

Existing law finds and declares that voluntary water transfers between water users can result in a more efficient use of water, benefiting both the buyer and the seller. Existing law requires the Department of Water Resources to implement the various state laws that pertain to water transfers and to prepare a water transfer guide that includes, among other things, a review of existing and appropriate state and federal laws that pertain to water transfers, water markets, or water rights.

This bill would require, on or before January 1, 2025, the Legislative Analyst, in collaboration with the Department of Water Resources, the State Water Resources Control Board, and other state agencies, as described, to prepare and submit to the Legislature a report analyzing the water market, including background information regarding the sale of water and water rights, trends in the water market, barriers to entering the water market or effectively trading in the market, and proposals for improving the regulatory framework to make the water market more market friendly and to encourage growth.

Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO

The people of the State of California do enact as follows:

SECTION 1.

Section 482.5 is added to the Water Code, to read:

482.5.

(a) On or before January 1, 2025, the Legislative Analyst shall prepare and submit to the Legislature, pursuant to Section 9795 of the Government Code, a report analyzing the water market. The report shall include, but not be limited to, all of the following:

(1) Background information regarding the sale of water and water rights.

(2) Trends in the water market.

(3) Barriers to entering the water market or effectively trading in the market.

(4) Proposals for improving the regulatory framework to make the water market more market friendly and to encourage growth.

(b) The Legislative Analyst shall collaborate with the Department of Water Resources, the State Water Resources Control Board, and other state agencies that have jurisdiction over any aspect of the water market for purposes of preparing the report described in subdivision (a).