COMMITTEE AGENDA MEMORANDUM
Santa Clara Valley Water Commission
Government Code ? 84308 Applies: Yes ? No ?
(If "YES" Complete Attachment A - Gov. Code ? 84308)
SUBJECT: title
Review and Provide Comment to the Board on Staff's Preliminary Fiscal Year 2026 - 2027 Groundwater Production Charges.
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RECOMMENDATION: Recommendation
Discuss staff's preliminary Fiscal Year 2026 - 2027 Groundwater Production Charge analysis; provide comment to the Board as desired.
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SUMMARY:
Summary of Groundwater Production Charge Analysis
Staff has prepared the preliminary FY 2026-27 groundwater production charge analysis, which includes several scenarios presented to the Board on January 13, 2026. Staff sought Board input on the preliminary analysis to incorporate into the development of the groundwater production charge recommendation.
The groundwater production charge reflects the benefit of Valley Water activities to protect and augment groundwater supplies and is applied to water extracted from the groundwater basin in Zones W-2, W-5, W-7, and W-8. Zone W-2 encompasses the Santa Clara groundwater subbasin north of Metcalf Road or the North County. Zone W-5 overlays the Llagas subbasin from northern Morgan Hill south to the Pajaro River. Zone W-7 overlays the Coyote Valley south of Metcalf Road to northern Morgan Hill, and W-8 encompasses the area below Uvas and Chesbro Reservoirs.
The groundwater production charge recommendation will be detailed in the 55th Annual Report on the Protection and Augmentation of Water Supplies that staff plans to provide to the Clerk of the Board on February 27, 2026. The Public Hearing on groundwater production charges is scheduled to open on April 14, 2026. It is anticipated that the Board will set the FY 2026-27 groundwater production charges by May 12, 2026, and become effective on July 1, 2026.
The FY 2026-27 groundwater production charge and surface water charge setting process will be conducted consistent with the Dis...
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