California Increases Fines for Water Violations

In a significant move aimed at protecting California’s water resources amidst ongoing drought conditions, state lawmakers have approved a substantial increase in fines for water rights violations. This legislation was sparked by a high-profile incident in which ranchers in Siskiyou County defied state curtailment orders, drawing water from the drought-stricken Shasta River for eight days. The new bill, which is now awaiting Governor Gavin Newsom’s signature, seeks to strengthen enforcement against water scofflaws and serves as a broader effort to ensure equitable water distribution in a state where water rights are fiercely contested.

A History of Limited Penalties:

Two years ago, during one of California's driest periods on record, state officials levied the maximum fine allowable under existing law—$4,000—against ranchers who defied orders to cease drawing water from the Shasta River. This fine, which amounted to roughly $50 per rancher, sparked outrage among environmental groups and Native American tribes who rely on the river as a critical habitat for salmon. The paltry fine underscored the limitations of California’s water enforcement powers and the need for more stringent penalties to deter future violations.

New Legislation and Enhanced Penalties:

Assembly Bill 460, introduced in 2023 and awaiting Governor Newsom’s signature, proposes a significant escalation in penalties for water rights violations. Under the new law, daily fines for minor violations would double, and violators of curtailment orders could face fines of up to $10,000 per day—a 20-fold increase from previous limits. Additionally, violators would be charged $2,500 for every acre-foot of water taken illegally. If this legislation had been in place during the Siskiyou County incident, the ranchers could have faced fines exceeding $1.2 million, a far cry from the $4,000 penalty that was actually imposed.

Support and Opposition:

The legislation passed with minimal opposition, a notable feat given California’s complex and often contentious water rights system, which dates back to the Gold Rush era. Assemblymember Rebecca Bauer-Kahan, a Democrat from San Ramon and the bill's author emphasized the importance of equitable water management. “The goal is to make sure that we’re all playing by the rules — that we don’t have a tragedy of the commons, where some are taking more and others have none,” she said.

Despite initial concerns, California’s powerful farm organizations did not oppose the final version of the bill after Bauer-Kahan removed provisions that would have allowed state officials to intervene more swiftly in cases of “irreparable injury” to rivers, ecosystems, and other water users. These expanded powers had raised concerns among farmers and irrigation districts that they could inadvertently affect law-abiding water users. With these provisions removed, opposition from growers, irrigation districts, major urban water agencies, and even San Francisco Mayor London Breed dissipated.

The Need for Stronger Enforcement:

California water regulators have long struggled with the state’s limited capacity to enforce its water rights system, which prioritizes access among users of the state’s finite water supply. Enforcement is often hampered by unclear water rights, inadequate resources for monitoring illegal diversions, and complex legal ambiguities. Yvonne West, director of the Water Resources Control Board’s Office of Enforcement, highlighted the challenges of enforcement: “Knowing who’s allowed to take what and how much, and trying to administer that, can be very difficult. It’s time-consuming, very investigative, and labor-intensive.”

The legislation aims to address some of these enforcement gaps, which were made starkly apparent during the Shasta River incident. As ranchers faced mounting bills for water and hay during a severe drought, they chose to defy state orders and pump water from the river, causing river flows to drop dramatically and threatening the survival of salmon in the Shasta and Klamath Rivers.

Balancing Agriculture and Conservation:

The increased penalties have raised concerns among some agricultural stakeholders, particularly in California’s far north, where farmers and ranchers rely on rivers like the Shasta and Scott for irrigation. Siskiyou County Farm Bureau President Ryan Walker expressed frustration with the underlying curtailment orders, which he believes are more problematic than the fines themselves. “Whether it’s $500 or $10,000, it’s the underlying curtailment that’s grossly unfair. The penalty is simply something that goes along with it,” Walker said.

Farmers argue that access to river water during critical periods can be the difference between a profitable and non-profitable year. Despite these concerns, the new penalties are seen as a necessary step to protect California’s dwindling water resources amid increasing drought conditions driven by climate change.

The Path Forward:

Assembly Bill 460 represents one of several legislative efforts aimed at modernizing California’s water rights system in response to recent droughts. Other measures, including a bill clarifying the state’s authority to investigate longstanding water rights claims, have advanced, while a proposal to expand the state’s power to restrict river and stream pumping has stalled. As California grapples with ongoing water challenges, there is a growing consensus among water users and environmental advocates that more needs to be done to strengthen enforcement and protect the state’s most precious resource.

Jennifer Harder, a professor at the University of the Pacific’s McGeorge School of Law, praised the cooperation that facilitated the passage of Bauer-Kahan’s bill but emphasized that further action is needed. “History has shown that the board’s current tools are not sufficient,” Harder said. “But I’m very encouraged by the water users and the environmental interests coming together and hope that they can build on that relationship in the future.”

If signed into law, Assembly Bill 460 will mark a significant step towards ensuring that California’s water resources are managed equitably and sustainably, deterring illegal diversions, and safeguarding the environment for future generations. The legislation underscores the state’s commitment to playing by the rules in an era of increasing water scarcity and serves as a reminder that California’s water wars are far from over.