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File #: 25-0980    Version: 1 Name:
Type: Action Item Status: Agenda Ready
File created: 10/30/2025 In control: Agricultural Water Advisory Committee
On agenda: 1/5/2026 Final action:
Title: Review and Provide Comment to the Board on Staff's Preliminary Fiscal Year (FY) 2026 - 2027 Groundwater Production Charges.
Attachments: 1. Attachment 1: PowerPoint
COMMITTEE AGENDA MEMORANDUM
Agricultural Water Advisory Committee

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 (FY) 2026 - 2027 Groundwater Production Charges.
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RECOMMENDATION: Recommendation
Review staff's preliminary Fiscal Year 2026 - 2027 Groundwater Production Charges and provide comment to the Board as appropriate.
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SUMMARY:
Summary of Preliminary Groundwater Production Charge Analysis:

Staff has prepared the preliminary Fiscal Year 2026 - 2027 (FY 2026-27) groundwater production charge analysis for Board review. Staff is seeking Committee input on the preliminary analysis to incorporate into the development of the groundwater production charge recommendation.

The groundwater production charge reflects the benefit of District 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 Annual Report on the Protection and Augmentation of Water Supplies that is planned to be filed with 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 would set the FY 2026-27 groundwater production charges by May 12, 2026, that would 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 District...

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