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Regional  Oral  History  Office  University  of  California 

The  Bancroft  Library  Berkeley,  California 


California  Water  Resources  Oral  History  Series 


Barry  Nelson 

THE  PASSAGE  OF  THE  CENTRAL  VALLEY  PROJECT  IMPROVEMENT  ACT,  1991-1992: 
EXECUTIVE  DIRECTOR,  SAVE  SAN  FRANCISCO  BAY  ASSOCIATION 


Interviews  Conducted  by 

Malca  Chall 

in  1993 


Copyright  •  1994  by  The  Regents  of  the  University  of  California 


Barry  M.    Nelson,    1994. 


Since  1954  the  Regional  Oral  History  Office  has  been  interviewing  leading 
participants  in  or  veil-placed  witnesses  to  major  events  in  the  development  of 
Northern  California,  the  West,  and  the  Nation.  Oral  history  is  a  modern  research 
technique  involving  an  interviewee  and  an  informed  interviewer  in  spontaneous 
conversation.  The  taped  record  is  transcribed,  lightly  edited  for  continuity  and 
clarity,  and  reviewed  by  the  interviewee.  The  resulting  manuscript  is  typed  in 
final  font,  indexed,  bound  with  photographs  and  illustrative  materials,  and 
placed  in  The  Bancroft  Library  at  the  University  of  California,  Berkeley,  and 
other  research  collections  for  scholarly  use.  Because  it  is  primary  material, 
oral  history  is  not  intended  to  present  the  final,  verified,  or  complete 
narrative  of  events.  It  is  a  spoken  account,  offered  by  the  interviewee  in 
response  to  questioning,  and  as  such  it  is  reflective,  partisan,  deeply  involved, 
and  irreplaceable. 


All  uses  of  this  manuscript  are  covered  by  a  legal  agreement 
between  The  Regents  of  the  University  of  California  and  Barry  Nelson 
dated  March  8,  1994.  The  manuscript  is  thereby  made  available  for 
research  purposes.  All  literary  rights  in  the  manuscript,  including 
the  right  to  publish,  are  reserved  to  The  Bancroft  Library  of  the 
University  of  California,  Berkeley.  No  part  of  the  manuscript  may 
be  quoted  for  publication  without  the  written  permission  of  the 
Director  of  The  Bancroft  Library  of  the  University  of  California, 
Berkeley. 

Requests  for  permission  to  quote  for  publication  should  be 
addressed  to  the  Regional  Oral  History  Office,  486  Library, 
University  of  California,  Berkeley  94720,  and  should  include 
identification  of  the  specific  passages  to  be  quoted,  anticipated 
use  of  the  passages,  and  identification  of  the  user.  The  legal 
agreement  with  Barry  Nelson  requires  that  he  be  notified  of  the 
request  and  allowed  thirty  days  in  which  to  respond. 

It  is  recommended  that  this  oral  history  be  cited  as  follows: 


Barry  Nelson,  "The  Passage  of  the  Central 
Valley  Project  Improvement  Act,  1991-1992: 
Executive  Director,  San  Francisco  Bay 
Association,"  an  oral  history  conducted  in 
1993  by  Malca  Chall,  Regional  Oral  History 
Office,  The  Bancroft  Library,  University 
of  California,  Berkeley,  1994. 


Copy  no. 


Cataloging  information 


NELSON,  Barry  M.     Executive  Director,  Save  San  Francisco  Bay  Association 

The  Passage  of  the  Central  Valley  Project  Improvement  Act.  1991-1992: 
Executive  Director.  Save  San  Francisco  Bay  Association.   1994,  iv,  97  pp. 

Miller-Bradley  and  Seymour  bills  in  Congress;  lobbying  efforts  of 
environmental  and  agricultural  communities  in  the  formation  of  the  Central 
Valley  Project  Improvement  Act;  Metropolitan  Water  District  and  water 
marketing  transfers;  the  Endangered  Species  Act,  Share  the  Water,  and  fish 
and  game  protection;  discusses  Somach-Graff  negotiations,  Bill  Bradley, 
George  Miller,  J.  Bennett  Johnston,  John  Seymour,  and  Pete  Wilson. 

Interviewed  in  1993  by  Malca  Chall  for  the  California  Water  Resources  Oral 
History  Series.   The  Regional  Oral  History  Office,  The  Bancroft  Library, 
University  of  California,  Berkeley. 


TABLE  OF  CONTENTS --Barry  Nelson 

PREFACE  i 

INTERVIEW  HISTORY  11 

BIOGRAPHICAL  INFORMATION  iv 


I  THE  PROGRESS  OF  THE  BILL  BRADLEY,  GEORGE  MILLER,  AND  JOHN  SEYMOUR 
BILLS  IN  CONGRESS,  AND  THE  LOBBYING  AND  GRASSROOTS  EFFORTS  OF  THE 

ENVIRONMENTAL  AND  AGRICULTURE  COMMUNITIES,  1990-1991  1 

Barry  Nelson:  Background  with  Save  San  Francisco  Bay  Association  1 

Early  Uncoordinated  Efforts  at  Water  Policy  Reform  2 

Water  Policy  Reform:  the  Miller  and  Bradley  Bills,  1989-1990  4 

Senator  Bradley 's  Interest  in  the  Central  Valley  Project  5 
The  Agriculture  and  Environmental  Communities  and  the  Evolution 

of  the  Miller/Bradley  and  Seymour  Bills  6 
Senator  Bradley  Introduces  S.  484:  Concerned  with  Water  Transfers 

(February  1991)  8 

Senator  Bradley.  Holds  Hearings  in  California  (September  1991)  9 
The  Metropolitan  Water  District,  the  Transfer  Issues,  and 

H.R.  429  10 

Writing  and  Revising  the  Seymour  Bill,  S.  2016  (Autumn  1991)  13 
Share  the  Water  is  Organized:  Its  Members  and  Associates 

(May  1991)  14 

The  Involvement  of  the  Business  Community  16 

The  Interests  of  the  Ports  of  Oakland  and  San  Francisco  17 
The  Effect  of  Impending  Legislation  on  the  Three -Way  Water 

Agreement  Process  19 

The  Opposition  of  the  Agriculture  Community  19 

The  Stuart  Somach-Tom  Graff  Negotiations  21 

The  Editorial  Position  of  the  Sacramento  Bee  22 

Share  the  Water  Lobbyist  David  Weiman  Assists  the  Campaign  in 

California  23 

Senator  Seymour  Refuses  to  Meet  with  Share  the  Water  25 

The  Genesis  of  H.R.  429:  The  Omnibus  Water  Bill  26 
Senator  Bradley  Tries  to  Reach  Agreement  with  Competing  Water 

Interests  in  Washington,  D.C.  (November  1991)  29 

Share  the  Water's  Firm  Goals  and  Differing  Approaches  30 

The  Opinions  of  Governor  Pete  Wilson  and  his  Administration  31 

The  Opinions  of  Congressmen  from  the  Central  Valley  33 

II   THE  PASSAGE  OF  THE  CENTRAL  VALLEY  PROJECT  IMPROVEMENT  ACT  AND  THE 
POTENTIAL  IMPACT  ON  THE  ENVIRONMENTAL  AND  AGRICULTURE  COMMUNITIES, 
1992-1993  35 

Senator  Bennett  Johnston  Moves  Into  the  Miller/Bradley 

Negotiations;  Johnston's  and  Bradley' s  Staffs  in  California 
(February  1992)  35 

The  Proposal  to  Transfer  the  Central  Valley  Project  to 

the  State  37 


The  Johnston  Version  of  the  Bradley  Bill:  The  Chairman's  Markup 

(February  20,  1992)  39 

Share  the  Water's  Media  and  Grassroots  Efforts  41 

The  Seymour  Bill  Passes  the  Senate  Energy  Committee  (March  1992)    42 

Analyzing  the  Johnston  Markup  44 

Source  of  the  800,000  Acre -Feet  Figure  46 

The  Need  for  State  Cooperation  to  Provide  Additional  Water 

and  Money  48 
Governor  Wilson  Voids  State  Water  Resources  Control  Board 

Interim  Draft  Decision  1630  (April  1,  1993)  49 
George  Miller  Introduces  H.R.  5099;  Negotiations  with  Central 

Valley  Congressmen  Weaken  the  Bill  (May  1992)  51 
Differing  Perspectives  on  the  Water  Issues  in  the  Sacramento 

and  San  Joaquin  Valleys  53 

H.R.  5099  Passes  the  House  (June  19,  1992)  54 
Stuart  Somach  and  Tom  Graff  Negotiate  an  Alternative  Version 

to  the  Competing  Water  Bills  55 
The  Conference  Committee  Develops  the  Final  Bill:  Title  34, 
Central  Valley  Project  Improvement  Act,  a  Section  of  the 

Omnibus  Water  Bill  H.R.  429  (September  1992)  59 

Congressional  Members  and  Their  Staffs  on  the  Inside  59 

Urban  and  Business  Interests  on  the  Outside  61 
H.R.  429  Passes  the  House  on  a  Voice  Vote  at  1:00  A.M. 

(October  6,  1992)  62 

Senator  Seymour  Attempts  a  Filibuster  64 

Senator  Bradley  Responds  65 

H.R.  429  Passes  the  Senate  (October  8,  1992)  65 

Analyzing  the  Final  Bill  66 

Senator  Malcolm  Wallop's  Participation  67 

The  Bill  is  Fair  to  Farmers  and  the  Environment  67 

President  George  Bush  Signs  the  Omnibus  Water  Bill  (October 

30,  1992)  68 

Pressures  For  and  Against  Signing  69 
The  Sources  for  Additional  Water  for  Southern  California 

Through  Water  Transfers,  Conservation,  and  Other  Strategies  71 

The  Case  Against  a  Peripheral  Canal  75 

The  Argument  for  the  Environmental  Impact  Statement  76 

The  Drainage  Problem  77 

The  Case  for  Ground  Water  Management  78 

The  Sunset  Provision  of  the  Act  80 

The  Need  to  Operate  the  Central  Valley  Project  and  the  State 

Water  Project  as  a  Single  Project  80 
The  Tasks  Ahead  for  Share  the  Water:  To  Ensure  Implementation 

of  the  Central  Valley  Project  Improvement  Act  81 

The  Concern  of  Agriculture  83 

The  Taste  of  Victory  for  the  Environmental  Movement  85 

TAPE  GUIDE  86 

APPENDIX- -Information  on  Share  the  Water  and  the  Central  Valley 

Project  Improvement  Act  87 

INDEX  96 


PREFACE 


The  Water  Resources  Center  of  the  University  of  California,  in  1965, 
established  a  History  of  California  Water  Resources  Development  Oral 
History  Series,  to  be  carried  out  by  the  oral  history  offices  at  the  Los 
Angeles  and  Berkeley  campuses.   The  basic  purpose  of  the  program  was  "to 
document  historical  developments  in  California's  water  resources  by  means 
of  tape  recorded  interviews  with  men  who  have  played  a  prominent  role  in 
this  field."   The  concern  of  those  who  drafted  the  program  was  that  while 
the  published  material  on  California  water  resources  described 
engineering  and  economic  aspects  of  specific  water  projects,  little  dealt 
with  concepts,  evolution  of  plans,  and  relationships  between  and  among 
the  various  interested  federal,  state,  and  local  agencies. 

To  bridge  this  information  gap,  the  Water  Resources  Center,  during 
the  past  quarter  century  under  the  successive  direction  of  Professors 
Arthur  F.  Pillsbury,  J\  Herbert  Snyder,  and  Henry  Vaux,  Jr.,  has  provided 
funding  in  full  or  in  part  for  interviews  with  men  who  have  been 
observers  and  participants  in  significant  aspects  of  water  resources 
development.   Early  advisors  to  the  project  on  the  Berkeley  campus  were 
Professors  J.  W.  Johnson  and  David  K.  Todd.   Gerald  Giefer,  librarian  of 
the  Water  Resources  Center  Archives,  Berkeley,  has  maintained  an 
important  advisory  role  in  the  project. 

Interviewees  in  the  Berkeley  series  have  been  pioneers  in  western 
water  irrigation,  in  the  planning  and  development  of  the  Central  Valley 
and  California  State  Water  Projects,  in  the  administration  of  the 
Department  of  Water  Resources,  and  in  the  pioneering  work  of  the  field  of 
sanitary  engineering.   Some  have  been  active  in  the  formation  of  the  San 
Francisco  Bay  Conservation  and  Development  Commission;  others  have 
developed  seminal  theories  on  soil  erosion  and  soil  science.   But  in  all 
cases,  these  men  have  been  deeply  concerned  with  water  resources  in 
California. 

Their  oral  histories  provide  unique  background  into  the  history  of 
water  resources  development  and  are  valuable  assets  to  students 
interested  in  understanding  the  past  and  in  developing  theories  for 
future  use  of  this  essential,  controversial,  and  threatened  commodity- - 
water. 


Henry  J.  Vaux,  Jr.,  Director 
Water  Resources  Center 


January  1989 

University  of  California,  Riverside 


August  1994 

The  following  Regional  Oral  History  Office  interviews  of  have  been  funded  in 
whole  or  in  part  by  The  Water  Resources  Center,  University  of  California. 

Banks,  Harvey  (b.  1910) 

California  Water  Project.  1955-1961.   1967  82  pp. 

Gianelli,  William  R.  (b.  1919) 

The  California  State  Department  of  Water  Resources.  1967-1973. 
1985,  86  pp. 

Gillespie,  Chester  G.  (1884-1971) 

Origins  and  Early  Years  of  the  Bureau  of  Sanitary  Engineering. 
1971,  39  pp. 

Harding,  Sidney  T.  (1883-1969) 

A  Life  in  Western  Water  Development.   1967,  524  pp. 

Jenny,  Hans  (1899-1992) 

Soil  Scientist.  Teacher,  and  Scholar.   1989,  364  pp. 

Langelier,  Wilfred  F.  (1886-1981) 

Teaching.  Research,  and  Consultation  in  Water  Purification  and  Sewage 
Treatment.  University  of  California  at  Berkeley.  1916-1955. 
1982,  81  pp. 

Leedom,  Sam  R.  (1896-1971) 

California  Water  Development.  1930-1955.   1967,  83  pp. 

Leopold,  Luna  B.  (b.  1915) 

Hydrology.  Geomorphology.  and  Environmental  Policy:  U.S.  Geological  Survey. 
1950-1072.  and  UC  Berkeley.  1972-1987.   1993,  309  pp. 

Lowdermilk,  Walter  Clay  (1888-1974) 

Soil.  Forest,  and  Water  Conservation  and  Reclamation  in  China.  Israel. 
Africa,  and  The  United  States.   1969,  704  pp.  (Two  volumes) 

McGaughey,  Percy  H.  (1904-1975) 

The  Sanitary  Engineering  Research  Laboratory:   Administration.  Research, 
and  Consultation.  1950-1972.   1974,  259  pp. 

Nelson,  Barry  (b.  1959) 

The  Passage  of  the  Central  Valley  Project  Improvement  Act.  1991-1992: 
Executive  Director.  Save  San  Francisco  Bay  Assocation.   1994,  88  pp. 

Peltier,  Jason  (b.  1955) 

The  Passage  of  the  Central  Valley  Project  Improvement  Act.  1991-1992: 
Manager.  Central  Valley  Project  Water  Association.   1994,  84  pp. 


Robie,  Ronald  B.  (b.  1937) 

The  California  State  Department  of  Water  Resources.  1975-1983. 
1989,  97  pp. 

The  San  Francisco  Bay  Conservation  and  Development-  Commission.  1964-1973. 

Interviews  with  Joseph  E.  Bodovitz,  Melvin  Lane,  and  E.  Clement  Shute. 
1986,  98  pp. 

For  other  California  water-related  interviews  see  California  Water  Resources 
list. 


ii 


INTERVIEW  HISTORY- -by  Malca  Chall 


Barry  Nelson  and  other  environmentalists  won  a  major  battle  to 
reform  the  Central  Valley  Project  when  on  October  30,  1992,  President 
George  Bush  signed  the  Omnibus  Water  Bill,  H.R.  429,  which  included  the 
Central  Valley  Project  Improvement  Act  [CVPIA] .   Nelson  is  executive 
director  of  Save  San  Francisco  Bay  Association  and  coordinated  Share  the 
Water,  a  coalition  of  some  thirty  environmental,  fishing,  and  waterfowl 
interests.   He  was,  therefore,  ideally  placed  to  observe  the  key  players 
in  that  congressional  water  rights  drama. 

He  also  participated  in  the  lobbying  and  grassroots  effort  to  pass 
legislation  reflecting  Share  the  Water's  vision  of  a  reformed  Central 
Valley  Project.   Yet  on  looking  back  on  those  two  years  (1990-1992),  he 
says,  "If  you  had  shown  me  the  final  bill  three  years  ago  I  would  have 
said  it  didn't  stand  a  chance  of  getting  through." 

It  was  not  an  easy  ride.   There  were  behind-the-scenes  strategies 
and  deals  cut  that  occasionally  caused  Share  the  Water's  adherents  to 
feel  that  all  was  lost. 

Despite  the  odds  the  improvement  act  did  get  through.   The  power 
struggle  between  the  environmentalists  and  their  allies  coordinated  by 
Barry  Nelson  who  successfully  backed  bills  by  Congressman  George  Miller 
and  Senators  Bill  Bradley  and  Bennett  Johnston,  and  the  Central  Valley 
Project  Water  Association  and  their  allies  who  backed  Senator  John 
Seymour's  bill,  is  the  focus  of  this  four-hour  oral  history. 

Mr.  Nelson's  oral  history  offers  an  opportunity  to  watch  the 
legislation  develop  by  stages  into  what  ultimately  was  the  CVPIA.   It 
started  as  a  simple  effort  to  reform  contract  renewals,  reclamation 
rules,  and  conservation  principles  in  George  Miller's  1989-1990  bills  and 
ended  as  one  involving  epochal  changes,  such  as  the  dedication  of  nearly 
one  million  acre- feet  of  water  to  reestablish  decimated  fish  populations, 
provisions  for  water  transfers,  and  conservation  and  financing  policies 
in  the  Miller-Bradley  bills  of  1992- -ultimately  the  Central  Valley 
Project  Improvement  Act. 

Needless  to  say  there  were  many  key  players  and  observers  on  each 
side  of  this  story:  congressmen  and  their  staffs,  business  and  urban 
water  interests,  environmentalists  and  their  allies,  lobbyists,  members 
of  California  water  and  agriculture  communities,  Governor  Pete  Wilson  and 
members  of  his  administration,  and  newspaper  columnists.   In  time,  in 
diverse  ways,  they  will  supplement  this  oral  history  by  setting  forth 
their  own  interpretations  of  this  landmark  legislation. 


iii 


This  oral  history  was  recorded  in  two  two-hour  sessions  on  August  3 
and  20,  1993,  in  Barry  Nelson's  Save  San  Francisco  Bay  Association  office 
in  Oakland.   He  responded  to  questions  enthusiastically,  still  feeling 
the  elation  of  the  winning  side,  even  though  he  recognized  the 
difficulties  ahead  in  implementing  the  act.   He  reviewed  his  lightly 
edited  transcript,  clarified  some  passages  and  supplied  missing  facts 
wherever  possible. 

Although  research  sources  for  this  first  dip  into  the  history  of  the 
Central  Valley  Project  Improvement  Act  were  limited,  there  was  obvious 
need  to  record  important  details  while  they  were  still  fresh  in  the 
memories  of  significant  observers  and  participants.   The  information 
gained  will  guide  later  researchers  of  water  policy  history.   Copies  of 
the  bills  and  related  materials  collected  for  the  interviews  will  be 
deposited  with  the  oral  history  volumes  in  the  Water  Resources  Center 
Archives  located  on  the  UC  Berkeley  campus. 

The  Regional  Oral  History  Office  and  students  of  California  water 
history  thank  the  University's  Water  Resources  Center  and  its  then- 
director  Rex  Woods  for  recognizing  the  value  of  the  CVPIA  oral  history 
project  and  for  funding  this  interview  with  Barry  Nelson  and  another  with 
Jason  Peltier.   The  Water  Resources  Center,  now  the  Center  for  Water  and 
Wildland  Resources,  has  for  nearly  forty  years  helped  finance  interviews 
related  to  water  policy  produced  by  this  office.   A  list  of  oral 
histories  in  California  water  resources  in  included  in  this  volume. 

The  Regional  Oral  History  Office  was  established  in  1954  to  augment 
through  tape-recorded  memoirs  the  Library's  materials  on  the  history  of 
California  and  the  West.   Copies  of  all  interviews  are  available  for 
research  use  in  The  Bancroft  Library  and  in  the  UCLA  Department  of 
Special  Collections.   The  office  is  under  the  direction  of  Willa  K.  Baum, 
and  is  an  administrative  division  of  The  Bancroft  Library  of  the 
University  of  California,  Berkeley. 


Malca  Chall 
Senior  Editor 


August  1994 

Regional  Oral  History  Office 

The  Bancroft  Library 

University  of  California,  Berkeley 


iv 


Regional  Oral  History  Office  University  of  California 

Room  486  The  Bancroft  Library  Berkeley,  California  94720 

BIOGRAPHICAL  INFORMATION 

(Please  write  clearly.   Use  black  ink.) 

«• 
Your  full  name 


Date  of  birth   (I  //^  /S~*l  _  Birthplace 

Father's  full  name   ("*  £*vry 
" 


/ 
Occupation   (  g^^L^V"  _  Birthplace  ^  F  .    t~ 

Mother's  full  name 


Occupation   '-*guvC.iX~WV-  _  Birthplace  ^\£^cJJ^-^^.   jJ-t4-- 


Your  spouse 


(_  ^(~  (\  \^j£  -j  I 


Occupation  ^>c",  .^^VeS^  _  Birthplace 
Your  children 


Where  did  you  grow  up?   l£  c<j-^it~e.  RXx 
Present  community   Ij^g^"  ^  <?  /<*  -•-/    ^  >4- 


Education   U.  ^-  . 


Occupation(s) 


Areas   of  expertise     <^'t>;  •.  Arc'/  f" 


Other  interests  or  activities 


^ 


Organizations  in  which  you  are  active 


I   THE  PROGRESS  OF  THE  BILL  BRADLEY,  GEORGE  MILLER,  AND  JOHN 
SEYMOUR  BILLS  IN  CONGRESS,  AND  THE  LOBBYING  AND  GRASSROOTS  EFFORTS 
OF  THE  ENVIRONMENTAL  AND  AGRICULTURE  COMMUNITIES,  1990-1991 

[Interview  1:   August  3,  1993 


Barry  Nelson:  Background  vith  Save  San  Francisco  Bay  Association 


Chall:    Could  you  first  tell  me  how  it  is  that  you  happen  to  be  sitting  at 
this  desk  as  the  executive  director  of  Save  the  Bay? 

Nelson:   Well,  I  started  with  Save  the  Bay  back  in  1984,  this  is  my  ninth 
year  here.   When  I  started  we  had  some  board  members  who  were 
involved  in  water  policy,  Will  Siri  and  a  couple  of  others,  but, 
they  were  involved  in  water  policy  largely  as  volunteers  and 
largely  outside  of  the  activities  of  the  association.   We  didn't 
have  a  very  visible  role  on  water  policy  issues  when  I  started.   I 
began  as  an  intern  and  there  was  no  executive  director  position 
with  the  association. 

I  expected,  when  I  started,  that  I  would  be  here  for  a  couple 
of  years  and  move  on  as  many  interns  had.   I  just  happened  to  be 
here  as  the  board  of  directors  was  starting  to  think  that  the 
association  needed  a  move  in  a  new  direction.   It  would  have  been 
about  seven  years  ago  that  the  board  really  started  to  look  at 
where  the  association  was  going  and  restructured  the  association, 
set  up  committees,  got  board  members  more  involved.   Then  two 
years  after  that  they  decided  to  create  an  executive  director 
position  and  I  became  the  first  executive  director  so  that  the 
association  has  become  more  professional  and  has  long-term 
professional  staff  now  instead  of  short  term  interns. 


1This  symbol  (##)  indicates  that  a  tape  or  a  segment  of  a  tape  has 
begun  or  ended.   For  a  guide  to  the  tapes  see  page  86. 


The  budget  has  grown  dramatically  and  the  board  decided  about 
eight  years  ago  that  we  needed  to  expand  our  programs  to  make  sure 
that  we  were  looking  at  all  the  threats  that  were  facing  the  Bay. 
It  was  at  that  point  that  we  started  getting  more  involved  in 
water  policy  and  wetlands  and  water  quality  issues. 

Chall:    And  the  Delta? 
Nelson:   Right. 

Chall:   What  had  been  your  background  up  to  the  point  of  becoming  an 
intern? 

Nelson:   I  was  an  academic.   I  got  a  bachelors  in  rhetoric  and  economics 

and  a  masters  in  rhetoric  from  Berkeley.   I  studied  the  evolution 
of  American  attitudes  toward  nature  from  a,  primarily,  academic 
perspective  looking  at  law  and  history  and  literature,  and  looking 
at  how  we  talk  about  natural  resource  issues ,  and  what  those 
debates  hinge  oVer,  and  what  the  underlying  assumptions  are  that 
really  drive  those  debates:  how  change  happens  and  how  change  has 
happened  in  terms  of  our  attitude  towards  nature  as  a  country.   I 
decided- -after  I  taught  in  China  for  a  while--!  decided  that  after 
I  finished  my  masters  I  didn't  want  to  be  an  academic.   But  that  I 
would  rather  get  out  and  do  some  work  as  an  activist.   I  did  a  lot 
of  searching  and  found  a  position  here  at  Save  the  Bay. 


Early  Uncoordinated  Efforts  at  Water  Policy  Reform 


Chall:   Since  you  took  over  as  director,  you  expanded  the  role,  as  you 
said.   Now,  at  what  point  did  you  begin  to  work  either  on  the 
Delta  itself  or  on  the  Delta  in  terms  of  the  [George]  Miller  bill? 
I  guess  those  were  the  early  bills  weren't  they? 

Nelson:   Right.   Well,  our  first  major  introduction  to  Bay-Delta  issues  was 
through  the  Bay-Delta  hearings.   We  did,  in  the  state  litigation 
that  produced  the  Racanelli  decision,  we  worked  along  with  EDF 
[Environmental  Defense  Fund]  to  prepare  a  brief  that  was  very 
important  in  leading  to  the  Racanelli  decision.2  Clem  Shute 
represented  us  and  worked  with  John  Krautkraemer  pulling  together 
the  public  trust  section.   That  was  our  involvement  in  the 
Racanelli  decision.   Then  in  the  Bay-Delta  hearings  that  followed 
was  the  vehicle  that  we  used  to  get  ourselves  much  more  involved 


2U.S. 
(1986). 


v  State  Water  Resources  Control  Board.  182  Cal .  app.  3d82 


in  water  policy  issues.   And  for  me  personally  to  get  more 
involved  in  water  policy  issues. 

As  the  Miller-Bradley  bill  took  shape  it  was  something  we 
followed  but  followed  largely  at  a  distance.   I  talked  with 
Miller's  office  pretty  regularly  then  and  stayed  in  touch  with  the 
issue  as  the  bill  came  together  and  as  the  bill  was  introduced. 
We  asked  members  to  write  letters;  we  wrote  letters  as  an 
organization.   We  did  what  I  think  most  of  the  members  of  Share 
the  Water  did  and  that  was  to  do  what  we  thought  our  part  was 
which  was  to  write  letters  to  the  right  people  and  to  get  our 
members  to  write  letters  to  the  right  people.   But  they  were  very 
uncoordinated  activities.   All  of  us  were  working  independently, 
staying  in  touch  with  Miller's  office  independently  and  doing  what 
we  felt  we  could  to  help  push  the  bill. 

Chall:    Did  you  have  any  idea  that  you,  this  disparate  group  of  people  all 
over  the  area,  would  have  any  effect  on  any  of  this? 

Nelson:   At  that  time?  At  that  time,  not  really.   I'll  put  it  this  way:  I 
don't  think,  as  a  community,  we  had  any  idea  that  we  could  be  as 
influential  working  together  as  Share  the  Water  ultimately  was. 
Had  we  all  known  that,  we  would  have  done  it  long  ago.   So,  no  I 
don't  think  so.   The  groups  who  were  closest  to  the  action  early 
on  were  groups  like  EOF.   EOF  does  a  lot  of  first  rate  legal  and 
technical  work,  but  they're  not  grassroots  organizers,  they're  not 
coalition  builders,  they  don't  run  campaigns. 

Chall:    Is  that  [Tom]  Graff? 

Nelson:   Tom  Graff  and  David  Yardas  and  a  number  of  other  folks.   Tom  is 

their  chief  policy  guru  and  David  is  terrific  on  technical  issues. 
David  is  really  wonderful  and  has  been  tremendously  important  in 
putting  the  bill  together.   He  really  was  very  important  in 
translating  a  lot  of  different  concepts  into  concrete  proposals 
for  bill  language.   So  there  was,  until  the  bill  [Miller:  H.R. 
1306]  died  at  the  end  of  1990,  it  was  a  very  disparate 
uncoordinated  effort  among  a  lot  of  groups  who  were  involved  at  a 
great  distance  writing  letters  and  so  forth. 

A  few  groups,  like  EOF,  were  more  closely  involved  primarily 
on  the  technical  issues,  what  the  bill  should  look  like,  but  there 
was  no  campaign,  there  was  no  coordinated  effort  to  try  to  make 
the  bill  happen.   That  had  never  been  done.   There  are  very  few 
examples  of- -I  think  this  is  the  first  example- -of  a  real 
statewide  campaign  on  federal  water  policy  issues  that  has  ever 
been  pulled  together  in  California.   There  aren't  that  many  cases 
where  the  California  environmental  community  has  come  together  to 


launch  a  campaign  on  a  federal  bill  that  solely  deals  with 
California  issues. 

I  think  to  a  certain  extent  it  was- -That  type  of  legislation 
is  legislation  that  often  fell  through  the  cracks.   It  was 
regional  legislation  so  it  wasn't  on  the  radar  screens  of  the 
national  organizations,  and  California  is  such  a  big  state  that 
there  is  no  single  dominant  environmental  organization  that  runs 
the  statewide  agenda.   The  folks  like  PCL  [Planning  and 
Conservation  League]  work  in  Sacramento  on  state  legislation,  but 
California  is  such  a  huge  state  that  there  isn't  any  single 
dominant  statewide  environmental  organization  that  would  normally, 
naturally,  look  at  a  piece  of  legislation  like  this  and  say,  "This 
is  our  turf,  we're  going  to  run  the  campaign  to  make  it  happen." 


Water  Policy  Reform:  the  Miller  and  Bradley  Bills.  1989-1990 


Chall:    But  in  the  meantime,  and  prior  to  this,  Miller  had  been  putting  in 
bills  from  time  to  time  and  I  guess  failing. 

Nelson:   Miller  had  been  introducing  bills  and  pushing  legislation  like 
this  for  a  long  time  and  had  had  some  success.   The  Reclamation 
Reform  Act  he  was  actively  involved  in,  but  most  of  the  contract 
renewals  and  reclamation  rules  and  conservation  stuff  that  Miller 
was  pushing  were  designed  to  pressure  ag[riculture]  from  the  other 
end.   They  were  designed  to  reform  contracts,  designed  to  try  to 
get  at  pricing  issues,  designed  to  put  mechanisms  in  place  that 
would,  we  hoped,  down  the  road  produce  water  for  the  environment. 
They  weren't  designed  to  go  directly  after  getting  the  water  and 
the  money  that  was  necessary  to  restore  natural  resources  that  the 
CVP  [Central  Valley  Project]  had  degraded.   And  that  was  the  real 
difference  between  his  older  bills  and  the  CVPIA  [Central  Valley 
Project  Improvement  Act] .   This  bill  went  directly  after  the 
problem. 

Chall:    How  did  that  come  about? 

Nelson:   Well,  it  came  about  in  a  staff  meeting  where  George  [Miller] 
walked  in  and  said,  "I'm  tired  of  fighting  battles  over 
conservation  and  reclamation  reform  and  so  forth;  let's  go  after 
the  water.   Let's  get  some  of  the  water  and  money  we  need  to  fix 
the  Bay  and  Delta."   They  started  talking  with  folks,  and  drafting 
a  bill  that  was  the  origin  of  the  bill.   George  said  he  was  tired 
of  fighting  rear  guard  actions  and  wanted  to  come  up  with 
something  that  was  more  visionary  that  really  went  at  the  heart  of 
the  problem.   That  was  introduced  in  '89  and  from  then  through  the 


end  of  1990,  there  was  an  uncoordinated  effort  from  the 
environmental  community  to  support  that  effort.   It  was  after  the 
bill  died,  largely  due  to  then  Senator  Pete  Wilson- -certainly  on 
the  Senate  side  it  was  Wilson  who  killed  the  bill --that  we  got 
together  and  started  thinking  about  what  we  could  do  in  the  next 
session  to  support  Miller  and  [Bill]  Bradley  more  in  an  effort  to 
get  the  bill  through.   Miller  and  Bradley  clearly  wanted  more 
support,  felt  that  we  could  give  them  more  support  than  we  were 
giving  and  they  were  absolutely  right. 

Chall:   Yes  that's  right,  in  1990  Bradley  had  a  bill  in  too.   Now,  could 
you  give  me  the  number  of  that  bill?   I  have  the  number  of 
Miller's  bill,  it's  H.R.  1306  but  I  don't  have  Bradley's. 

Nelson:   I've  forgotten,  I'd  have  to  check. 

Chall:    By  the  way  do  you  have  a  copy  of  [John]  Seymour's  bill?   I've 
never  seen  it.  [S.  2016] 

Nelson:   Sure,  I  can  find  one  somewhere  in  my  boxes. 

Chall:    In  January  then,  you  decided  something  had  to  be  done. 

Nelson:   Right,  it  was  in  the  spring  of  1991. 

Chall:    Then  you  organized  Share  the  Water.   I  have  that  [in  notes]  as 
May.   In  the  meantime  of  course,  John  Seymour,  appointed  by 
Governor  Wilson,  got  on  the  Senate  Subcommittee  on  Water  and 
Power.   I  have  also  that  Miller  re-introduced  H.R.  1306  in  1991 
with  a  few  additions. 


Senator  Bradley's  Interest  in  the  Central  Valley  Project 


Chall:    Could  you  give  me  some  clue  now,  before  we  go  ahead,  as  to 

Bradley's  interest  in  this  subject  as  far  back  as  1990- -perhaps 
earlier? 

Nelson:   Well,  as  the  chair  of  the  Senate  Subcommittee  on  Water  and  Power, 
issues  like  the  CVP  go  through  his  committee.   It's  no  great 
secret  that  the  CVP  is  the  biggest  water  project  in  the  American 
West  and  very  much  has  had  the  reputation  of  being  the  worst  water 
project  in  the  American  West  in  the  sense  that  it's  one  where  the 
amount  of  waste  of  water  was  well  known,  the  abuses  of  the 
Reclamation  Reform  Act  were  well  known,  it  has  had  terrible 
drainage  problems,  the  pricing  practices  in  the  CVP  are  some  of 


the  most  economically  irrational  in  the  nation.   It  stuck  out  from 
the  pack  as  something  that  Bradley  would  pay  attention  to. 

And  just  about  the  time  that  this  bill  started  Bradley  hired  Tom 
Jensen  to  be  his  staffer,  to  be  the  lead  staffer  for  the 
subcommittee  working  on  this  issue.   Tom  has  had  a  lot  of 
experience  working  on  water  issues  and  it  didn't  take  long  to 
figure  out  that  the  CVP  was  the  rottenest  of  the  rotten  apples. 

Chall:    George  Miller's  staff  person  was-- 

Nelson:   Dan  Beard  primarily,  although  John  Lawrence  was  very  involved, 
Steve  Lanich  was  very  involved.   Dan  was  the  lead  staffer,  but 
George  has  had  such  a  long  running  interest  in  water  issues  that 
he  had  a  whole  lot  of  staff  resources  to  draw  on. 

Chall:  Those  are  staff  people  with  some  knowledge  about  the  water  issues. 
Water  as  well  as  the  environmental  issues.  So  you  found  them  easy 
to  work  with  I  presume? 

Nelson:   Oh  absolutely.   I  think  that  what  I'd  say  is  that  we  were  not  easy 
to  work  with.   There  are  a  lot  of  organizations  that  have  an 
interest  in  California  water  issues.   It's  a  prominent  issue  that 
a  lot  of  different  groups  have  been  following  for  years.   National 
groups,  regional  groups,  local  groups,  groups  with  very  different 
perspectives.   Fishing  organizations,  waterfowl,  and  environmental 
groups.   We  had  never  spoken  with  one  voice  and  there  was  no 
unified  message  from  the  environmental  community  to  Miller  saying, 
"This  is  the  kind  of  bill  we  want  to  see  and  these  are  the  sorts 
of  trade-offs  that  we  find  acceptable,  and  these  are  the  high 
priority  issues."   There  was  no  unified  message.   So  George's 
folks  were  easy  to  work  with.   We  weren't. 


The  Agriculture  and  Environmental  Communities  and  the  Evolution  of 
the  Miller/Bradley  and  Seymour  Bills 


Chall:    The  water  people  at  that  time  were,  you  thought,  speaking  with  one 
voice? 

Nelson:   Invincible?  [laughter] 
Chall:    And  invincible? 

Nelson:   Yes,  I  think,  there  were  signs  in  1990/1991  of  splits  within  the 
ag  community.   But  that  community  had  always  been  very,  very  good 
at  rallying  together  during  a  crisis  and  speaking  with  one  voice. 


They  were  one  of  the  most  powerful  lobbies  in  the  state  and  the  ag 
lobby  in  D.C.  is  tremendously  powerful  and  I  think  most  of  us  felt 
that  it  was  going  to  be  a  very,  very  tough  run  to  try  to  get  a 
bill  through  the  Congress  and  signed  by  the  president.   If  you  had 
shown  me  the  final  bill  three  years  ago,  I  would  have  said  it 
didn't  stand  a  chance  of  getting  through. 

Chall:    But  that  bill  was  revised  by  both  sides  over  these  several  years. 

Nelson:   Right.   It  went  through  a  tremendous  amount  of  evolution.   As 

Miller's  understanding  and  Bradley 's  understanding  of  the  issue 
changed,  the  issues  themselves  changed.   We  tried,  one  of  the 
things  we  tried  to  do,  Share  the  Water  tried  to  do,  was  to  provide 
Miller  and  Bradley  with  as  many  different  workable  strategies  as 
we  could  to  make  sure  that  we  would  come  up  with  one  that  would 
work.   So  that  we  were  as  flexible  as  possible.   So  that  as  the 
political  process  played  out  and  as  the  technical  issues  played 
out,  they  would  .have  a  lot  of  tools  in  the  tool  chest  for  them  to 
work  with. 

That's  why  the  bill  went  through  such  dramatic  changes.   It's 
a  big,  ambitious  piece  of  legislation  that  went  though  dramatic 
changes  from  the  bill  as  introduced  to  the  compromise  as  it  was 
passed  out  of  the  House  committee.   Seymour's  bill  was  sent  out  of 
the  Senate  committee.   The  bill  went  through  a  pretty  dramatic 
evolution  and  the  final  product  was  produced  in  conference 
committee  with  a  lot  of  ideas  that  had  been  floating  around  in 
various  forms.   But  it  came  out  with  a  lot  of  different  ideas  put 
together  in  a  way  that  they  hadn't  been  before. 

Chall:    Can  we  trace  some  of  those  changes?  Are  you  able  to  do  that? 

That's  what  I'd  like  to  see  happen.   I'm  sure  that  students  can 
take  all  the  bills  from  time  to  time  and  see  what  they  were.   What 
I'd  like  to  be  able  to  do  with  you  is  to  find  out  how  those 
changes  could  come  about.   I  mean,  with  whom  did  you  play,  trade, 
discuss,  argue?  Maybe  if  we  go  through  some  of  this  chronology 
it'll  come  to  you.   So  we're  now  in,  let's  say  1991,  and  Miller 
has  re-introduced  H.R.  1306  [March  1991].   I  noticed  that  it  had  a 
few  additions  to  it. 

Nelson:   Right,  they  were  not  dramatic  changes. 


Senator  Bradley  Introduces  S.  484:  Concerned  vlth  Water  Transfers 
(February 


Chall:   Then  Bradley  introduced  his  S.  484.   Now  was  that  a  re- 
introduction  of  the  bill  from  1990,  do  you  know? 

Nelson:  It  was,  and  I'd  have  to  go  back  and  check  to  make  sure  that  it  was 
exactly  the  same  bill;  it  may  not  have  been  exactly  the  same  bill. 
I  can  find  out . 

Chall:  Bradley  now  has  S.  484  at  least  we  know  that.  And  it's  parallel 
to  Miller's.  The  main  thrust  as  I  understand  that  early  Bradley 
bill  had  to  do  with  transfers.  Is  that  primarily  what  that  was? 
Was  that  his  interest  in  getting  water  out  of  CVP? 

Nelson:   That  was;  it's  one  of  the  differences  between  some  of  the  early 

versions  of  the  bill.   As  originally  conceived,  Miller's  bill  was 
very  much  a  fish  and  wildlife  restoration  act.   And  Bradley 's 
bill,  I  think,  earlier  on  saw  the  potential  to  reform  the  whole 
project,  not  just  fish  and  wildlife  issues  but  water  allocation 
primarily  through  the  water  marketing  provision  that  Bradley  was 
pushing. 

Chall:    Who  was  working  with  him  on  that? 

Nelson:   Tom  Jensen  was  the  lead  staffer  on  that  and  there  were  a  lot  of 

folks  who  were  talking  with  Tom  Jensen  early  on.   There  were  folks 
like  EOF  and  NRDC  [National  Resources  Defense  Council]  and  a 
number  of  other  people  who  talked  with  Tom  early  on  before  I  knew 
him.   And  Bradley  held  his  first  hearing  out  in  California.   I 
don't  know  whether  that  date  is  in  the-- 

Chall:    I  have  it  as  September  of  '91,  culled  from  various  sources.   It 
may  not  be  accurate . 

Nelson:   Is  that  his  first  hearing  in  California? 

Chall:   Well,  I  don't  know  for  sure  whether  that  was  the  first  one. 

Nelson:  I'd  have  to  go  back  and  check  that,  because  he  held  a  hearing  in 
San  Francisco- - 

Chall:  I  thought  it  might  be  San  Francisco  but  I've  just  put  California 
down  here  in  my  chronology. 


Senator  Bradley  Holds  Hearings  in  California  (September  1991) 


Nelson:   Yes,  the  first  hearing  was  in  Sacramento.   There  were  hearings  in 
Sacramento,  Los  Angeles,  San  Francisco,  I  think  those  were  the 
three.   Sacramento  was  the  first  one.   At  that  meeting  Bradley  had 
very  much  figured  out  that  water  marketing  was  a  key  to  reforming 
the  project.   To  making  the  economic  case  that  reforming  the 
project  could  protect  urban  areas,  provide  water  supply  needed  by 
urban  areas,  and  most  importantly,  from  a  political  perspective, 
could  protect  the  integrity  of  the  farmer,  could  protect  the 
individual  farmer- -even  provide  economic  opportunities  for  farmers 
who  were  interested  in  conservation,  crop  changes  and  so  forth, 
and  dry  year  fallowing.   As  a  matter  of  fact,  I  happened  to  be 
sitting  behind  a  couple  of  agricultural  lobbyists  at  that  first 
hearing. 

Chall:    And  who  were  they? 

Nelson:   Oh,  you  know  I  didn't  know  who  these  folks  were,  but  it  was  clear 
where  their  sympathies  lay.   I  think  I  know  who  they  were  but  I'm 
not  going  to  name  any  names  because  I  didn't  know  who  they  were 
[at  the  time]  but  what  they  were  talking  about  was  water 
marketing.   I  think  this  was  while  Tom  Graff  was  testifying  and 
talking  about  water  marketing  as  a  concept,  and  talking  about  the 
carrot  and  the  stick  approach.   That  the  stick  approach  is  the  one 
that  we've  traditionally  used  in  water  issues  in  terms  of 
regulating  water  use  through,  now  the  Endangered  Species  Act,  and 
through  the  state  water  board,  and  the  courts  primarily  in  those 
days.   He  was  talking  about  EDF's  interest  in  the  carrot,  which 
was  water  conservation  and  water  marketing  to  encourage  increased 
conservation. 

One  of  these  folks  in  front  of  me  said  to  the  other  one,  "Of 
course  you  can  always  adopt  Bradley' s  technique  of  beating  the 
farmer  with  the  carrot."   These  were  folks  who  worked  for  water 
districts  and  they  weren't  terribly  excited  about  the  idea  of 
their  farmers  having  the  right  to  transfer  water.   They  realized 
that  water  transfers,  that  the  limitations  on  water  transfers  were 
politically  for  them  a  real  liability.   And  they  were  beaten  with 
the  fact,  beaten  over  the  head  with  the  fact  that  districts  could 
veto  transfers,  and  the  fact  that  during  the  drought  cotton 
acreage  expanded  while  cities  were  rationing  water.   If  a  city 
wanted  to  go  out  and  pay  a  cotton  farmer  not  to  grow  a  surplus 
crop  during  the  drought,  it  was  illegal  to  do  that  in  big  chunks 
of  the  state  because  it  was  illegal  to  take  Central  Valley  Project 
water  to  southern  California. 


10 


The  Metropolitan  Water  District,  the  Transfer  Issues,  and 
H.R.  429 


Chall:    You  were  talking  about  Bradley 's  recognition  of  the  need  for 

transfers  because  of  the  need  of  urban  areas  for  water.   Where  was 
he  thinking  about  urban  areas?  With  whom  might  he  have  been  in 
touch? 

Nelson:   Certainly  he  would  have  been  talking  with  Graff.   I  don't  know  how 
early  on  his  contacts  with  folks  like  Tim  Quinn  and  Carl  Boronkay 
at  Metropolitan  Water  District  started.   I  don't  know  how  early 
his  contacts  began  with  them.   I  was  at  a  meeting  of  the  Committee 
for  Water  Policy  Consensus ,- -this  was  years  ago,  it  probably  would 
have  been  '88,  '89,  something  like  that- -and  Carl  Boronkay  was 
there  speaking  and  talking  about  water  transfers  and  talking  in  a 
very  indirect  way  about  water  re-allocation. 

What  he  sai'd  was  something  that  really  caught  my  attention. 
He  said  that  there  comes  a  point  in  a  state's  history  where  it 
might  make  sense  to  step  back  and  re -visit  the  water  allocation 
picture  to  see  if  it  still  makes  sense.   What  really  struck  me 
about  that  was  that  it  seemed  to  me  that  he  was  sort  of  winking  at 
the  environmental  community  saying,  "You  folks  go  after 
agriculture  and  if  you  succeed  in  getting  some  of  their  water, 
that's  fine  with  us.   We'll  be  a  silent  partner  in  that." 

It  was  nothing  spoken  explicitly  but  it  was  the  first  time  I 
started  to  see  cracks  in  the  urban-ag  alliance.   And  it  was 
something,  it  was  a  very  subtle  statement.   Boronkay  is  a  master 
politician.   I  sat  there  and  sort  of  found  myself  thinking  what  he 
is  saying  was,  "If  you  successfully  go  after  agriculture  it's 
going  to  mean  a  re -shifting  of  the  fundamental  water  allocation 
priorities  of  this  state,  and  that's  okay  with  us." 

But  I  don't  know  at  what  point  they  started  talking  with 
Miller  and  Bradley  and  showing  any  signs  of  being  actively 
involved.   MET  [Metropolitan  Water  District]  was  the  giant,  silent 
participant  through  the  majority  of  this  process.   They  were  not 
highly  visible,  they  didn't  throw  their  weight  solidly  behind 
Miller's  bill  until  it  was  on  the  president's  desk.   Perhaps  once 
it  was  on  the  Senate  floor,  but  it  was  at  the  tail  end  of  the 
process  that  MET  pulled  out  all  the  stops  and  said,  "We  need  a 
bill."   They  had  all  along  said,  "We  need  a  bill"  but  they 
endorsed  the  Seymour  bill  early  on  and  then  they  endorsed  the 
Miller  bill  in  principle- -endorsed  the  principles  of  the  Miller- 
Bradley  approach- -but  they  hadn't  withdrawn  their  support  for  the 
Seymour  bill.   What  does  supporting  in  principle  mean?   It  was  a 


very  fuzzy  position, 
the  fence ,  too . 


11 


MET  was  clearly  trying  to  play  both  sides  of 


Chall:    When  you  say  MET,  are  you  talking  about  Boronkay  as  their 

spokesman  or  did  they  have  the  president  of  their  board  or  their 
attorney- - 

Nelson:   It  was  Boronkay  as  their  spokesman  primarily.   MET  has  a  very  big, 
diverse  board.   Very  clearly,  Carl  was  pushing  his  board  hard  to 
try  to  get  them  to  recognize  that  they  should  not  simply  stand 
shoulder  to  shoulder  with  ag  and  block  a  bill  which  is  what  ag  was 
doing.   And  it's  very  clear  to  me  that  Boronkay  dragged  a 
reluctant  board  into  the  twentieth  century  during  this  process 
with  the  help  of  his  chair,  Mike  Gage. 

Chall:    I  had  heard  that  early  on,  maybe  February  when  things  began  to 
move  in  1992,  that  Wilson  was  very  upset  with  a  position  that 
Boronkay  had  taken  and  began  to  work  the  board,  or  at  least  the 
executive  board.' 

Nelson:   At  various  points  in  the  process,  basically  the  point  at  which 

Boronkay  was  starting  to  get  his  board  to  support  Miller-Bradley 
in  principle,  Wilson's  people  worked  some  of  the  MET  board  very 
hard.   And  later  on  when  we  were  trying  to  get  a  presidential 
signature  and  trying  to  get  the  bill  out  of  the  Senate,  Wilson's 
folks  were  very  active  in  southern  California  trying  to  pull  MET 
and  some  of  MET's  member  groups  off  the  bill. 

Chall:    And  he  probably  succeeded  to  some  degree,  but  not  enough? 

Nelson:   Not  really.   I  think  the  final  message  from  the  urban  water 

districts  and  businesses  was  that  the  bill  was  essential  to  the 
wealth  of  the  state's  economy,  that  it  was-- 


Nelson:   --fair  to  the  farmers  and  that  they  couldn't  simply  stop  change. 

I  also  think  that  southern  California  very  much  realized  that  they 
had  to  do  something  to  deal  with  the  environmental  problems.   That 
with  the  Endangered  Species  Act  looming  and  the  state  water  board 
not  making  any  progress,  this  was  the  best  game  in  town  in  terms 
of  trying  to  find  constructive  solutions  to  the  problems  that  are 
very  real  problems  in  the  Bay  and  Delta.   They  realized  that  they 
had  to  deal  with  them,  that  the  California  urban  population 
strongly  supports  environmental  protection,  that  this  was  a 
reasonable  way  of  doing  it  and  if  they  didn't  do  it,  what  they 
would  see  is  disaster. 


12 


Chall:    Had  they  come  to  the  conclusion  perhaps  that  they  weren't  going  to 
get  facilities  in  the  Delta? 

Nelson:   Oh,  I  think  that  they  realized  long  ago  that- -MET  still  wants  a 

peripheral  canal- -but  they  know  that  the  political  reality  is  that 
under  the  most  optimistic  of  scenarios  it's  years,  decades  down 
the  road. 

And  I  think  Carl  Boronkay  started  to  look  at  water  marketing 
seriously  with  the  first  deal  with  Imperial  Irrigation  District. 

I  think  they  were  realizing  that  if  they  want  affordable 
water  for  their  customers  that  water  transfers  are  by  far  the 
cheapest  way  of  getting  it.   It's  cheaper  than  building  new  dams, 
it's  cheaper  than  water  reclamation  and  de-salination.   That  water 
transfers  are  the  most  reliable,  cheapest  form  of  water  available, 
that  if  you  build  new  dams  you  are  at  the  end  of  the  pipe  in  terms 
of  water  rights  and  subject  to  the  greatest  uncertainty  in 
droughts.   Through  water  marketing  you  can  get  water  with  the 
greatest  certainty  because  some  of  the  farmers  in  California  have 
the  oldest  water  rights  in  the  state.   Very,  very  stable,  very 
reliable  water. 

I  think  MET  realized  that  economically  without  any  doubt  that 
was  the  best  source  of  supply  to  the  extent  that  they  wanted  new 
supply.   So  with  the  Imperial  Irrigation  District  I  think  they 
really  saw  the  opportunity  and  they  looked  up  to  the  Central 
Valley  where  there  were  tremendous  opportunities  and  it  was 
completely  off  limits.   The  largest  water  project  in  the  U.S.  was 
off  limits  to  the  largest  urban  area  in  the  U.S.  that  was  just  one 
mountain  range  away.   The  pipes  were  in  place  to  take  the  water 
there.   It  didn't  make  a  lot  of  sense. 

Chall:    I  understand  that  Carl  Boronkay  is  no  longer  the  executive  of  the 
Metropolitan  Water  District,  is  that  true? 

Nelson:   That's  right. 

Chall:   Was  this  a  result  that  it  was  his  time  to  retire,  or  was  this  the 
result  of  what  happened? 

Nelson:   I  honestly  don't  know.   I  suspect  and  I  haven't  talked  with  Carl-- 
I've  seen  him  since  but  I  haven't  talked  with  him  about  this- -I 
suspect  that  he  saw  this  as  a  crowning  accomplishment  for  his 
career  at  MET.   I  have  no  doubts  that  this  took  a  tremendous 
amount  out  of  him.   Supporting  this  bill  was  an  easy  decision  for 
the  environmental  people,  this  was  a  terrific  bill. 


13 


This  was  not  an  easy  decision  for  MET  or  for  Boronkay  I'm 
sure.   Because  MET  has  had  long  ties  with  Central  Valley 
agriculture,  it's  how  the  State  Water  Project  got  built.   It  was 
not  easy  to  get  his  board  to  come  off  their  support  of  ag,  their 
knee-jerk  support  of  the  ag  community  and  work  cooperatively- - 
although  seldom  in  the  same  room  at  the  same  time- -with  the 
environmental  community. 

This  bill  really  represents  an  alliance  between  urban 
interests  and  the  environmental  community,  nevertheless  there  were 
very  few  face-to-face  meetings.   There  were  no  backdoor  deals  cut 
in  terms  of  what  this  bill  would  look  like.   We  were  working  for  a 
bill  that  we  thought  would  look  good  and  we  recognized  that  water 
marketing  was  a  part  of  the  picture.   MET  was  working  for  a  bill 
that  would  allow  water  marketing  and  they  knew  that  environmental 
protection  was  part  of  the  picture.   There  were  no  secret  cabals 
where  MET  and  the  environmental  community  sat  down  and  plotted 
strategy.   We  both  worked  independently  and  largely  didn't  see 
each  other.   MET  was,  as  I  said,  largely  a  silent  player  here.   My 
impression  of  their  role  was  that  they  would  stay  in  touch  with 
Miller  and  Bradley  and  they  would  keep  saying  to  them,  "We  need  a 
bill  and  we  need  a  bill  that  will  have  workable  water  marketing 
provisions."   Where  the  real  deal  making  was  where  MET  sat  down 
with  the  attorney  for  the  Central  Valley  Project,  Central  Valley 
Water  Association  and-- 

Chall:    Stuart  Somach? 

Nelson:   --right,  right,  Stuart  Somach,  they  sat  down  with  Stuart  and  wrote 
the  Seymour  bill.   [S.  2016] 


Writing  and  Revising  the  Seymour  Bill.  S.  2016  (Autumn  1991) 


Chall:    But  it  was  re-written 
revised. 


a  number  of  times  as  I  understand  it-- 


Nelson:   Before  the  final  version  came  out? 
Chall:    Yes. 

Nelson:   That's  right.   The  final  version  [of  the  Seymour  bill]  cane  out  in 
a  hurry  and  my  understanding  is  that  MET  wasn't  delighted  with  the 
final  version.   They  thought  it  was  going  to  go  through  further 
revisions.   But  they  supported  the  final  product.   I  don't  know, 
not  being  terribly  close  to  his  office,  I  don't  know  the  exact 
details  of  how  those  revisions  happened  and  where  they  went. 


14 


We  looked  at  the  Seymour  bill  before  it  was  introduced  and 
critiqued  it  before  it  was  introduced.   It  never  really  changed. 
It  was  never  amended  from  the  time  it  was  introduced  until  the 
Senator  offered  some  amendments  on  the  Senate  floor  during  the 
final  debate  when  it  was  far  too  late.   As  a  matter  of  fact,  one 
of  the  last  things  the  Senate  did  was  to  pass  Seymour's  bill  and 
send  it  over  to  the  House.   Which  was  a  sop  to  the  Senator  in  kind 
of  an  absurd  gesture  because  the  House  had  already  adjourned  for 
the  session.   So  the  Seymour  bill  did  clear  the  Senate  and  was 
sent  over  to  the  void. 

It  was  never  changed  in  response  to  criticisms,  to  strong 
criticisms  from  the  urban  community  and  the  business  community 
that  the  transfer  sections  were  lousy.   And  strong  criticisms  from 
the  environmental  community  that  the  environmental  section  was 
virtually  meaningless.   In  a  lot  of  ways  it  was  worse  than  current 
law.   It  was  just  a  terribly  written  bill.   The  Senator  never  made 
any  attempt  to  turn  that  into  a  real  bill.   It  was  never  a  real 
proposal,  it  was  simply  a  gesture  to  show  that  he  was  willing  to 
deal  with  the  issue.   We  called  it  a  PR  bill,  it  was  a  press 
release  bill. 

Chall:    Is  that  do  you  think  because  they  had  always  been  powerful  enough 
to  stop  bills  in  the  past? 

Nelson:   I  think  from  the  beginning  of  the  process  the  ag  community  hoped 
to  stop  any  bill  from  moving  forward- -and  here  I  need  to  stop  and 
say  that  I'm  going  to  make  an  exception  with  one  piece  of  the 
community  because  the  Sacramento  Valley  folks,  the  California  Rice 
Industry  Association  and  others  at  the  end  of  the  process  came  to 
the  table  and  participated  constructively.   They  were  neutral  on 
the  final  bill  which  was  a  huge,  huge  step  forward  for  the  rice 
industry. 


Share  the  Water  is  Organized:  Its  Members  and  Associates 
(Mav  1991) 


Chall: 


Nelson: 


Yes,  I  wanted  to  get  to  that.   Let  me  go  back  now  to  Share  the 
Water.   I  realize  from  what  you've  written,  how  it  might  have  been 
organized,  but  at  the  time  when  you  became  the  coordinator  it  must 
have  been  pretty  hot  and  heavy,  much  going  on,  so  that  they 
realized  that  they  needed  extra  staff  and  somebody  to  take  charge. 
So  tell  me  about  it  and  how  you  all  worked. 


I  became  the  coordinator  at  the  end  of  1991. 
coordinator  before  that. 


Dave  Behar  was  the 


15 


Chall: 
Nelson: 
Chall: 
Nelson: 

Chall: 
Nelson: 


Chall: 
Nelson: 

Chall: 

Nelson: 

Chall: 

Nelson: 


Dave  Behar  is  the  executive  of  the-- 

Bay  Institute.   But  what  did  we  do? 

Yes.   I  mean,  you  organized,  Behar  organized  it  initially- - 

It  was  a  very  cooperative  effort.   It  was  at  a  meeting  at  EDF's 
office  where  a  bunch  of  the  folks-- 

In  whose  office? 

In  EDF's  office.   In  Spring  of  '91  we  got  together  and  decided 
that  Share  the  Water  was  needed  and  we  talked  to  Miller  and 
Bradley' s  staffers  and  they  made  it  real  clear  that  they  thought 
it  was  needed  as  well.   It  was  very  much  a  group  decision  to  pull 
it  together.   We  sort  of  looked  around  the  table  to  figure  out  who 
had  the  time  to  'work  on  this .   I  was  working  on  some  other  stuff 
and  Dave  Behar  got  drafted  to  work  on  it  for  that  first  eight  or 
nine  months  of  '91  until  the  end  of  the  year. 

What  we  did  was  sit  down  and  decide  that  we  had  to  run  a 
campaign.   And  there  were  always  two  pieces  of  a  campaign,  one  was 
the  technical  side  and  the  other  half  was  the  political  side.   It 
was  always  more  tempting  to  deal  with  the  technical  side  than  the 
nuts  and  bolts  of  running  a  campaign.   We  met  probably  for  a  good 
chunk  of  the  campaign  about  every  two  weeks . 

All  thirty  of  you?   Eventually  there  were  thirty  organizations. 

Over  thirty  organizations.   All  of  them  were  active  and  there  were 
far  more  than  thirty  who  were  actively  involved.   Organizations 
like  California  Waterfowl  Association  was  never  a  member  of-- 

California- - 


Waterfowl  Association. 


You  speak  rapidly, 
to  be  sure . 


I  think  [transcribers]  can  hear  you  but  I  want 


Dan  Chapin  was  the  lead  guy  with  California  Waterfowl  and  they 
were  never  a  member  of  Share  the  Water.   But  we  worked  very 
closely  with  them  and  they  were  actively  involved  with  us.   We 
worked  very  closely  with  the  business  community.   Mike  McGill  was 
the  lead  person  on  the  business  side  and  they  were  also  never 
members  of  Share  the  Water  but  we  worked  very  closely. 


16 


The  Involvement  of  the  Business  Community 


Chall: 


Nelson: 


Chall: 


Nelson: 


Chall: 


Nelson: 


I  wondered  about  that.   Mike  McGill  is  with  the  Business 
Roundtable  or  the  Bay  Area  Economic  Forum? 

He  was  the  director  of  the  Bay  Area  Economic  Forum  and  was  the 
lead  staffer  working  with  the  California  Business  Roundtable  but 
he  didn't  work  for  them. 


How  did  these  people  happen  to  come  around? 
the  Business  Roundtable  for  example? 


Who  are  members  of 


The  Business  Roundtable  is  the  hundred  largest  corporations  in 
California.   They  are  the  powerhouses  of  California  business.   The 
Bay  Area  Economic  Forum  is,  I  think,  the  five  hundred  largest  Bay 
Area  companies.   So  they  very  much  represent  the  business 
community  respectively  of  the  Bay  Area  and  the  state  as  a  whole. 

At  what  point  did  they  come  around?   I  would  think  that  some  of 
these  people  would  have  ties  to  the  agriculture  industry? 

Well,  they  do.   The  key  players  in  the  business  community  were 
Mike  McGill  and  Fred  Cannon.   He's  an  economist  for  Bank  of 
America,  was  never  involved  in  the  campaign,  never  involved  in 
advocating  positions  on  the  bill,  but  his  background  as  an 
economist  for  B  of  A  was  real  important  in  helping  educate  the 
business  community  about  what  was  really  happening  with  the 
economics  of  water.   Fred  has  been  somewhat  active  in  writing 
articles  about  water  issues  and  farm  economics  for  years.   Simply 
working  for  B  of  A  giving  them  good  sound  advice  on  agricultural 
economics . 

That  work  which  was  written  for  bankers  was,  we  found,  very 
illuminating  in  terms  of  looking  at  what  changes  in  water  policy 
would  really  mean  for  the  ag  economy  and  what  Fred  wrote  for  B  of 
A  essentially  demonstrated  what  we'd  felt  all  along  and  that  was 
that  it  would  be  possible  to  re-allocate  water,  to  encourage 
conservation,  to  allow  water  marketing  to  happen,  and  to  preserve 
or  even  strengthen  the  ag  economy.   Fred  was  writing  that  not  as 
an  environmentalist  but  as  somebody  giving  B  of  A  good  sound 
economic  advice.    It  was  important  in  terms  of  educating  the 
community. 

The  other  person  who  was  a  key  here  was  Jim  Harvey  with 
Transamerica.   He  was  the  head  of  the  Business  Roundtable 's  water 
task  force,  water  committee.   And  other  businesses  as  well.   We 
worked  closely  with  the  Port  of  Oakland  and  San  Francisco.   I 
don't  know  whether  this  is  something  you've  come  across-- 


17 


The  Interests  of  the  Ports  of  Oakland  and  San  Francisco 


Chall:    Port  of  Oakland  and  Port  of  San  Francisco? 

Nelson:   --and  the  Port  of  San  Francisco,  yes.   Both  of  those  ports  were 
starting  to  run  into  problems  with  the  winter  run  salmon.   When 
the  winter  run  was  declared  a  threatened  species  they  ran  into 
problems  with  dredging  operations  in  the  Bay  because  of  potential 
impacts  on  the  winter  run. 

We  went  to  the  ports  and  said  that  we  were  concerned  that 
their  dredging  could  potentially  have  an  impact  on  the  winter  run 
and  that  was  a  real  issue  that  they  needed  to  address  but  that 
basically  they  could  take  the  high  road  or  the  low  road.   They 
could  either  attack  the  Endangered  Species  Act  and  drag  their  feet 
and  scream  and  y'ell  which  is  difficult  for  an  agency  in  the  Bay 
Area  to  do  because  of  support  for  environmental  protection.   Or 
they  could  take  the  high  road  and  the  high  road  is  saying,  "Yep, 
the  winter  run  is  in  serious  trouble  and  let's  find  a  solution 
that  will  solve  the  problem  and  won't  threaten  the  ports."   And 
they  realized  that  the  solution  was  the  Miller-Bradley  bill.   We 
went  to  them  and  worked  with  them  for  quite  a  while  to  persuade 
them  to  support  meaningful  water  reform  and  got  them  to  do  that. 

Chall:    So  they  worked  directly  with  Miller  and  Bradley  rather  than 
through  you? 

Nelson:   Right.   Again,  the  ports  were  not  members  of  Share  of  Water  but 
the  ports  took  public  positions  and  then  after  the  ports  became 
involved  the  mayors  of  San  Francisco  and  Oakland  got  involved  and 
supported  the  Miller-Bradley  bill  and  said  that  it  was  not  just 
good  for  the  environment  but  that  it  would  also  protect  ports  in 
the  Bay  Area. 

Through  the  whole  campaign,  we  kept  hearing  the  agricultural 
community  talk  about  third-party  impacts.   The  case  we  were  able 
to  make  was  that  there  were  third-party  impacts  already.   There 
were  third-party  impacts  to  Bay  Area  ports  who  were  getting  hit  by 
restrictions  because  of  the  winter  run  that  had  been  wiped  out  by 
the  CVP  and  that  the  recreation  and  fishing  industries  had  been 
just  devastated  by  the  CVP.   Those  industries  are  not  subsidized. 
The  farmers  were  screaming  about  impacts  to  farmers.   Those  are 
the  folks  who  created  the  problem  and  those  are  the  folks  who 
received  massive  federal  subsidies. 

What  we  managed  to  show  was  that  we  don't  have  a  choice  about 
whether  or  not  there  are  going  to  be  third-party  impacts.   We're 


18 


already  living  with  those  impacts.   That  load,  that  burden,  was 
being  shared  inequitably.   The  fisherman  was  getting  wiped  out, 
the  Port  of  Oakland  was  getting  wiped  out,  and  they  had  no  part  in 
causing  the  problems.   The  biggest  source  of  the  winter  run's 
decline,  without  any  argument,  is  the  CVP.   The  CVP  folks  were 
contributing  nothing  to  the  solution  to  the  problem. 

Chall:    Somebody  had  to  go  out  and  speak  to  all  these  people,  the  port  and 
the  cities  of  Oakland- -who  was  that? 

Nelson:   That  was  Share  the  Water.   Every  other  week  at  Share  the  Water 

meetings  we  would  divide  up  what  we  were  working  on,  both  on  the 
political  and  media  side  and  on  the  technical  side  and  divide  up 
tasks.   It  was  the  only  way  we  were  able  to  do  all  the  things  that 
we  did.   We  had  a  core- -thirty  organizations,  roughly,  that  were 
member  groups  and  many  more  people  than  that  were  actively 
involved  with  us  that  weren't  formal  members,  and  there  was  a  core 
group  of  twenty  'to  thirty  people  who  were  very,  very  active.   This 
bill  was  their  number  one  priority  for  two  years.   We  met  every 
other  week  and  plotted  strategy  and  handed  out  tasks  and  reported 
on  what  had  happened  since  our  last  meeting. 

Chall:    Could  you  sometime  give  the  names  of  some  of  those  people?   You 
don't  have  to  do  it  today. 

Nelson:   Sure.   Okay. 

Chall:    We'll  just  put  it  in  so  we  know  who  they  were.   Now,  the  L.A. 
Water  and  Power,  was  that  on  your  side  before  MET?   Where  were 
they  in  all  of  this? 

Nelson:   I'd  have  to  go  back  and  check  that.   I  think  that's  correct  that 

they  came  on  before  MET  did.   But  I'd  have  to  go  back  and  check  my 
notes  to  verify  that. 

Chall:    And  possibly  at  the  same  kind  of  level,  that  is,  not  with  you  but 
lobbying  on  their  own. 

Nelson:   Exactly,  there  was  no- -folks  in  the  ag  community,  folks  like  Jason 
Peltier  said  that  MET  climbed  into  bed  with  the  environmentalists. 
I've  heard  him  say  that.   From  our  perspective  it  was  kind  of  odd 
because  we  never  saw  MET.   The  only  times  we  sat  down  with  MWD 
[Metropolitan  Water  District]  during  this  whole  process, 
basically,  were  when  we  were  talking  about  the  Seymour  bill  which 
was  in  play,  at  the  invitation  of  the  farmers  and  the  Senator. 
But  basically  it  was  a  strategy  pulled  together  from  the  farming 
community  and  through  the  Three -Way  Process  that  I  sat  on  and  the 
ag  folks  were  at  the  table . 


19 


The  Effect  of  Impending  Legislation  on  the  Three-Way  Water 
Agreement  Process 


Chall:    Was  the  Three -Way  Process  going  on  at  this  time? 

Nelson:   It  was  going  on  at  the  beginning  of  the  process.   Once  the  fights 
over  the  bill  really  heated  up  in  1991,  once  it  became  clear  that 
this  was  a  major  push  to  get  the  legislation  through  then  the 
Three -Way  Process  completely  petered  out.   Partially  due  to  the 
fact  that  the  ag  community  went  to  the  mattresses  and  wasn't  in  a 
negotiating  mood  and  hasn't  come  out  of  that  since  and  the  fact 
that  everybody  was  putting  their  energy  into  the  bill.   The  fact 
that  there  were  a  lot  of  people  working  on  the  bill  meant  there 
was  not  a  lot  of  extra  energy  to  put  into  other  issues.   So  the 
Three-Way  Process  fell  apart  then,  largely- -would  meet 
occasionally- -but  it  wasn't  making  a  lot  of  progress.   And  still 
hasn't  gotten  back  on  it's  feet. 


The  Opposition  of  the  Agriculture  Community 


Nelson:   Right  now  that's  clearly  because  —  as  I  said,  the  strategy  of  the 
powers  in  the  ag  community  with  the  exception  of  rice  at  the  end 
of  the  process  was  to  stop  the  bill.   I  think  from  the  very 
beginning  they  assumed  that  they  could  stop  this  bill  and  never 
came  to  the  table  as  a  community  and  stayed  at  the  table  to  try  to 
negotiate  solutions  that  were  workable  from  their  perspective.   We 
tried  and  we  always  figured  that  at  some  point  ag  would  come  to 
the  table  and  the  bill  would  change  and  that  they  would  recognize 
that  legislation  was  unavoidable.   Eventually  they  would  come  to 
the  table  and  negotiate  and  we  made  numerable  attempts  to  sit  down 
with  ag.   Share  the  Water  sat  down  with  ag  lobbyists  many,  many 
times . 

Chall:    Who  were  these  lobbyists? 

Nelson:   Oh,  Stuart  Somach  was  the  lead  staffer  for  them,  along  with  Jason 
Peltier,  Dave  Schuster  was  in  on  some  of  these  talks  as  well,  and 
there  were  often  representatives  of  the  three  major  factions 
within  the  CVP  Water  Association.   The  factions  being  the 
Sacramento  Valley,  the  west  side  of  the  San  Joaquin  and  the  east 
side  of  the  San  Joaquin.   They  would  each  have  a  representative  in 
there  and  Share  the  Water  would  come  in  with- -we  had  a  negotiating 
team  of  about  five  or  six  people  who  we  worked  with  most  of  the 
time  on  the  nuts  and  bolts  of  the  technical  issues.   There  were 


20 


Chall: 


Nelson: 


Chall: 


about  five  or  six  on  the  other  side,  with  Stuart  as  the  lead 
negotiator  and  attorneys  from  each  of  those  three  factions 
providing  him  with  guidance.   Those  talks  never  went  any  where. 

We  sat  down  with  them  a  number  of  times  and  started 
negotiations  that  then  fell  apart  with  regularity.   I  actually 
did- -I  can  pull  out  for  you- -a  history  of  our  attempts  to 
negotiate  with  the  ag  community.   There  was  a  very  clear  pattern. 
There  were  folks  in  the  community  that  recognized  that  a  bill  was 
inevitable  and  would  try  to  come  to  the  table  but  they  could  never 
develop  enough  of  a  consensus  within  the  community  to  stay  at  the 
table.   Every  time  negotiations  started  the  ag  community  would 
reach  into  the  room  and  yank  the  negotiator  out. 


Was  it  mainly  the  CVP  water  users  that  were  intransigent? 
about  Schuster  and  the  State  Water  Contractors? 


What 


Traditionally,  they  were  different.   The  State  Water  Project  was 
different  because  the  state  has  agricultural  and  urban  users. 
Therefore,  once  MET  realized  that  it  wanted  a  bill,  folks  like 
Dave  Schuster  had  conflicting  messages  from  their  leadership.   And 
with  the  Association  of  California  Water  Agencies  that  was  even 
more  true.   ACWA  [Association  of  California  Water  Agencies]  has 
urban  members  and  ag  members  and  they  pretty  early  on  in  this 
process  basically  became  paralyzed.   They  were  not  going  to  reach 
a  consensus  between  the  ag  and  urban  communities  on  what  that 
final  bill  would  look  like,  if  indeed  there  should  be  a  bill.   As 
a  result,  ACWA  and  the  state  project  users  weren't  major  players 
in  the  process  because  they  were  conflicted  out.   That's  why  the 
CVP  Water  Association  obviously  had  the  folks  most  directly 
affected,  and  as  the  folks  who  didn't  get  conflicting  messages 
from  their  leadership  were  the  lead  organizations  fighting  the 
bill.   When  we  attempted  to  negotiate  they  were  the  lead  folks  on 
the  agricultural  side. 


That's  the  Central  Valley  Project  Water  Association? 
Peltier? 


That  was 


Nelson:   Yes. 

Chall:    So  they  were  intransigent  most  of  the  time? 

Nelson:   Well,  it's  difficult  from  the  outside  to  see  what's  happening  but 
it's  pretty  clear  to  us  that  there  were  some  folks  in  that 
community  who  knew  that  a  bill  was  going  to  happen.   Stuart  Somach 
is  a  professional  and  I  think  Stuart  probably  recognized  that  a 
bill  was  going  to  happen.   And  there  were  clearly  folks  within  the 
community  who  wanted  to  come  to  the  table.   But  they  were  also 
clearly  in  the  minority.   When  they  started  to  negotiate  they  were 


21 


pulled  out  of  the  room.   On  one  occasion  when  Bradley  convened 
negotiations  Stuart  Somach  walked  in  and  said,  "I  can't  negotiate. 
There  is  nothing  I  can  offer." 

On  another  occasion  when  Bradley  was  trying  to  convene 
negotiations  the  governor  talked  with  some  of  the  folks  within  the 
farming  community  and  pulled  the  plug  on  the  talks.   The  governor 
told  the  farmers  that  they  shouldn't  be  in  the  room,  they 
shouldn't  contribute  to  the  process  that  was  leading  to  a  bill. 


The  Stuart  Somach-Tom  Graff  Negotiations 

Nelson:   That  happened  when- -there  was  a  separate  process  where  Stuart 
Somach  and  Tom  Graff  sat  down  as  individuals  and  tried  to 
negotiate  a  package  that  was  a  very  different  direction  from  what 
had  happened  before.   It  wasn't  easy  from  our  perspective,  sort  of 
allowing  Tom  to  remain  in  that  room,  because  the  direction  they 
were  going  in  wasn't  nearly  as  strong  as  the  package  that  we  were 
supporting  with  Miller  and  Bradley  and  we  were  afraid  that  it 
could  potentially  undermine  their  efforts.   On  the  other  hand  we 
were  also  afraid  that  we  could  hit  gridlock  and  be  unable  to  move 
a  bill. 

We  didn't  know  whether  we  were  going  to  be  able  to  move  a 
bill  and  always  felt  that  we  needed  to  be  flexible  enough  to 
consider  different  approaches.   We  as  a  group,  Share  the  Water, 
debated  whether  or  not  we  should  try  to  talk  Tom  out  of  the  room. 
If  the  environmental  community  had  said,  had  sort  of  told  Tom  that 
we  were  going  to  disown  his  activities  and  whatever  came  out  of 
the  process  of  those  talks,    he  couldn't,  Tom  couldn't  have 
stayed  in  the  room.   There  wouldn't  have  been  any  support,  there 
would  have  been  no  point  to  his  staying  in  the  room.   Share  the 
Water  told  him  to  keep  negotiating  and  it  was  the  ag  folks  who 
pulled  Stuart  out.   It  was  actually  when  Tom  and  Stuart  went  back 
to  D.C.  to  present  their  product,  I  think  Stuart  actually  flew 
back  to  D.C.  and  he  was  not  allowed  to  walk  into  the  room.3 

Chall:    Mr.  Kahrl,  I  can't  think  of  his  first  name  at  the  moment. 

Nelson:   Bill. 

Chall:    He  wrote  a  scathing  article- - 


3See  further  discussion  on  the  Somach/Graff  negotiations  on  pp.  55-59. 


22 


Nelson:   [sigh]  Just  one?  [laughs] 

Chall:    I've  only  seen  a  few.   About  that  Somach/Graff  meeting  in  which  he 
claimed  that  Graff  lost-- 

Nelson:   That  Tom  was  giving  away  the  store. 

Chall:    Tom  gave  away  the  store.   He  said  it  in  different  words  but  Tom 
gave  it  away.   He  [Kahrl]  was  really  quite  exercised  about  this. 
He  felt  that  once  again  Miller  was  about  to  give  away  the  store. 
Miller  apparently,  in  Kahrl 's  words,  often  has  done  this.   You  get 
so  far  with  Miller  and  then  he  gives  it  away.   So  I've  always  been 
interested  in  what  really  happened. 


The  Editorial  Position  of  the  Sacramento  Bee 


Nelson:   Bill  Kahrl 's  editorials  through  this  whole  process  have  been 

particularly  irrational.   On  the  one  hand,  we  never  figured  out 
what  Mr.  Kahrl  was  for.   As  the  lead  daily  for  the  Central  Valley, 
one  of  the  major  papers  in  the  state,  The  f Sacramento  1  Bee  never 
took  an  editorial  position  regarding  what  they  supported.   He  was 
against  Miller-Bradley,  he  was  against  the  Somach/Graff  proposal, 
he  was  against  the  Miller-Bradley  proposal.   Each  time  he  attacked 
those  proposals  as  being  not  perfect.   Well,  we  would  all  freely 
agree  that  they're  not  perfect  from  an  environmental  perspective. 
We  didn't  get  to  draft  the  final  bill  in  any  of  those  cases. 

It  was  frustrating  to  have  a  major  daily  sort  of  sitting 
outside  the  process  taking  pot  shots  without  ever  suggesting  what 
direction  they  thought  the  bill  should  go  in.   When  Somach/Graff 
came  out,  which  was  something  that  Share  the  Water  never  endorsed 
because  we  supported  Miller-Bradley,  it  was  a  new  direction.   That 
was  attacked  for  being  too  weak  and  Miller-Bradley  ultimately  was 
attacked  for  being  too  strong,  and  there  was  never  any  sense  from 
The  Bee  regarding  what  as  an  editorial  board  they  actually  were 
for.   So,  basically  we  started  looking  at  The  Bee  as  a  loose 
cannon  that  wasn't  really  for  anything. 

Water  reform  in  D.C.  is  an  extremely  difficult  thing  to 
accomplish  and  the  final  bill  we  got  was  not  perfect  but  it's  an 
incredibly  good  bill  and  The  Bee  attacked  it  for  not  being 
perfect.   By  the  time  we  got  to  the  end  of  the  process  we  all  knew 
that  that's  what  would  happen.   That  there  was  no  hope  to  get  The 
Bee  to  support  anything  because  they  didn't  seem  to  be  a  positive 


23 


agenda  there.   It's  real  easy  to  criticize  D.C.  as  not  being 
perfect.   It's  not. 

Chall:   At  some  point  can  you  tell  me  exactly  what  it  was  about 

Somach/Graff  that  created  such  strong  feeling?  I  understand 
Somach  was  pulled  out  but  you  didn't  pull  Graff  out? 

Nelson:   No.   Even  though  we  didn' t- -Share  the  Water  never  supported  the 
product  that  came  out.   I  do  have  somewhere  in  those  boxes  a 
critique  of  Somach/Graff  that  talks  about  some  problems. 

Chall:    I'd  like  to  see  that. 
Nelson:   Sure.   I  can  pull  that  out. 


Share  the  Water  'Lobbyist  David  Weiman  Assists  the  Campaign  in 
California 


Chall:    Back  to  Share  the  Water.   Early  on  you  appointed  David  Weiman  to 
be  a  staff  member  in  Washington  D.C.? 

Nelson:   Right.   He  was  our  lobbyist  in  D.C. 

Chall:    He  has  had  a  lot  of  experience  back  there  hasn't  he? 

Nelson:   He's  been  around  water  issues  in  D.C.  for  a  long  time.   Yes.   He 
was  in  the  Carter  administration  and,  I  think,  for  about  the  last 
seventeen  years  or  so  he's  been  working  as  a  lobbyist  on  water 
issues  in  D.C. 

Chall:   Was  he  effective? 

Nelson:   Oh,  he  was  terrific.   We  did  have  other  organizational  members  in 
D.C.   We  had- -especially  National  Wildlife  Federation  with  Ed 
Osann  and  Dave  Conrad.   Ed  Osann  and  Dave  Conrad  were  both  really 
active.   There  were  a  number  of  other  folks  as  well,  back  in  D.C. , 
Defenders  of  Wildlife,  and  a  number  of  others.   But  David  [Weiman] 
was  our  lobbyist  who  provided  us  with  a  lot  of  guidanc.e  regarding 
how  to  make  the  bill  happen  and  the  big  political  picture  that  was 
affecting  the  bill.   David  was  tremendously  effective  in  terms  of, 
not  so  much  opening  doors- -because  many  of  the  doors  were  already 
open  to  Share  the  Water. 

** 

Chall:   Okay,  we're  on. 


24 


Nelson:   Well,  I  was  talking  about  David  Weiman.   David  was  in  touch  with 
what  was  going  on  in  D.C.  which  was  difficult  for  us  out  in 
California  always  to  see.   To  be  back  there  on  a  day  to  day  basis 
and  to  know  what  was  going  on.   David  was  just  tremendously 
important  in  terms  of  helping  give  us  guidance  about  how  the 
process  worked,  what  we  needed  to  do  strategically  in  order  to 
make  the  bill  happen.   Not  so  much  on  the  technical  side  because 
that  we  had  a  good  handle  on,  but  on  the  political  side,  the 
campaign  side. 

Chall:    Can  you  give  me  some  examples?  An  example -- 

Nelson:   Yes,  I  will.   I'll  give  you  one  example  that  in  a  way  was  my 

favorite  piece  of  the  campaign.   David  was  always  pushing  us  to 
make  the  twin  cases  that  this  was  not  just  an  environmental  bill, 
this  was  an  environmental  and  an  economic  bill.   He  was  always 
pushing  us  to  make  that  case  publicly.   He  pushed  us  to  go  talk 
with  the  Port  of  Oakland  and  the  Port  of  San  Francisco,  pushed  us 
to  get  the  fishermen  involved.   Share  the  Water  —  all  the  fishing 
organizations  were  members  of  Share  the  Water  and  David  pushed  us 
hard  and  pushed  them  hard  to  be  more  visible,  to  be  more  active. 
The  commercial  and  recreational  fishermen  had  really  never  really 
linked  arms  in  a  highly  visible  public  way  on  fisheries  issues. 

They  had  never  worked  cooperatively  together  in  a  very 
visible  way  and  they  had  in  some  cases  been  in  competition  over 
the  resource.   Were  the  commercial  fisherman  going  to  get  the  fish 
or  were  the  recreational  fishermen  going  to  get  the  fish?  What 
they  realized  in  Share  the  Water  was  that  nobody  was  getting  the 
fish.   They  were  losing  the  fish,  both  of  them  were. 

This  was  when  the  ag  community  was,  when  the  farmers  were 
starting  to  ship  farmworkers  to  Sacramento  to  parade  around  the 
capital  and  say  we've  got  to  kill  Miller-Bradley  in  order  to 
protect  our  jobs  which  made  us  sick  because  there  were  a  lot  of 
folks  within  the  environmental  community  who  work  very  closely 
with  the  farmworker  community  on  environmental  problems, 
pesticides  and  so  forth.   It  just  struck  us  as  obscene  that  these 
growers  who  put  farmworkers  out  of  work  every  time  they  could 
mechanize  the  fields  and  were  poisoning  them  with  pesticides  would 
throw  these  people  on  a  bus  and  ship  them  up  to  Sacramento  and 
parade  them  around.  Which  they  really  did.   The  growers  paid  for 
the  buses  and  gave  them  lunches  and  made  their  signs  and  stamped 
their  letters.   I  happened  to  be  in  Bradley' s  office  once  when 
letters  came  in  from  farmworkers  and  they  were  all  on  company 
stationery  stamped  with  the  company  stamps.   These  folks  were 
really  used  as  pawns  by  the  growers,  which  just  made  us  sick. 


were  railing  about  that  at  a  meeting  and  Weiman  said, 
making  your  case . " 


We 
"You're  not 


25 


The  fishermen  got  fired  up  and  held  a  rally  on  the  steps  of 
the  State  Capitol  and  for  the  first  time,  both  the  recreational 
and  commercial  fishermen  got  there- -there  were  hundreds  of  them 
there,  three  or  four  hundred  fishermen  there- -making  the  case  that 
they  were  getting  wiped  out.   There  were  people  from  city  councils 
and  an  assemblyman  from  the  north  coast  and  recreational  fishermen 
representatives  and  they  went  up  and  screamed  and  yelled  that  they 
were  getting  wiped  out  by  water  policy,  wiped  out  by  the  CVP. 
Miller-Bradley  wasn't  just  for  environmentalists,  it  was  going  to 
save  their  jobs  and  their  communities.   And  that  Senator  Seymour 
was  not  even  willing  to  meet  with  them. 

It  was  my  favorite,  my  sentimental  favorite  piece  of  the 
campaign.   It  was  a  real  turning  point  for  us.   In  terms  of  making 
the  public  case  that,  as  I  said,  that  the  current  practices  were 
already  affecting  peoples'  lives.   We  felt  that  we  could  protect 
the  farming  communities  from  unnecessary  impacts,  that  we  could 
protect  the  farm  communities  by  writing  the  bill  properly.   But 
the  current  practices  were  wiping  out  communities  and  wiping  out 
folks  like  commercial  fishermen  and  north  coast  communities.   The 
farm  community  was  doing  nothing  to  deal  with  those  issues.   They 
weren't  even  willing  to  come  to  the  table.   Senator  Seymour  wasn't 
even  willing  to  sit  down  with  us.   And  it  was  tremendously 
important.   It  was  that  kind  of  political  advice  that  Dave  Weiman 
gave  us.   At  the  end  of  the  process  I  think  it  was  very  important. 


Senator  Seymour  Refuses  to  Meet  with  Share  the  Water 


Nelson:   Senator  Seymour  never  met  with  Share  the  Water,  which  was  the 

coalition  of  groups  representing  fishermen  and  environmentalists 
and  waterfowl  users,  never  met  with  us  until  a  few  days  before  the 
Senate  acted.   It  wasn't  until  late  September,  early  October  that 
the  Senator  finally  sat  down  with  us  for  a  very  perfunctory 
meeting. 

Chall:    What  did  he  want,  by  that  time?   That  was  pretty  late. 

Nelson:   You  know,  it  wasn't  much  of  a  meeting.   He  wanted  us  to  support 
his  bill  and  we  clearly  didn't.   The  day  the  Senate  committee 
acted,  the  Senate  Energy  Committee,  acted  on  his  bill,  I  saw  the 
Senator  in  the  hallway.   We  had  written  him  letters  and  talked  to 
staff  and  said  we  wanted  to  meet  with  him  and  you  know,  we  never 
got  a  meeting.   This  was  for  over  a  year. 

Chall:    Are  you  talking  about  October  already? 


26 


Nelson:   This  was  '92. 

Chall:    '92,  when  it  was  almost  all  over. 

Nelson:   Yes.   But  we  started--!  mean  one  of  the  first  things  Share  the 
Water  did  was  write  a  letter  to  Senator  Seymour  saying,  "Can  we 
sit  down  with  you?"   And  we  never  got  a  meeting.   We  talked  with 
his  staff  and  this  went  on  for  over  a  year.   The  Senator  told  me 
in  the  hallway  of  the  Senate  that  he  didn't  want  to  work  with  us. 
He  was  very  clear.   He  said,  "As  long  as  you  are  trying  to  rape 
California  agriculture  for  1.2  million  acre  feet  or  1 . 5  million 
acre  feet,  he  said- -which  was  the  wrong  number- -he  said,  I  have  no 
interest  in  working  with  you."   He  didn't  want  to  sit  down  with 
us.   We  were  very  critical  of  him  publicly  for  not  being  willing 
to  sit  down.   What  happened  at  the  end  of  the  process  was  that 
Republican  senators  rolled  him.   Because  they  knew  that  he  wasn't 
dealing  with  real  issues,  he  wasn't  meeting  with  his  own 
constituents,  he,  wasn't  meeting  with  urban  water  users,  he  wasn't 
meeting  with  environmentalists. 

We  went  and  talked  to  Republican  senators  to  brief  them  on 
what  was  happening  and  what  we  were  proposing  and  what  was  wrong 
with  the  Seymour  bill.   We  could  get  in  to  talk  to  other  senators 
from  around  the  U.S.,  Democratic  and  Republican;  we  couldn't  get 
in  to  talk  to  Senator  Seymour. 

Chall:  When  you  say  you  went  to  other  Republicans,  are  you  talking  about 
Republicans  in  the  states  that  were  part  of  the  Omnibus  Bill?  Or 
other  states.  I  mean,  how  did  you  choose- - 

Nelson:   Primarily  there  were  Republicans- -the  legislators  that  followed 
this,  other  than  Bradley,  were  basically  the  folks  who  were 
western  senators  and  House  members  who  had  a  stake  in  the  Omnibus 
Bill.   There  aren't  that  many  eastern- -  there  are  a  few  eastern 
legislators,  folks  like  Howard  Metzenbaum,  and  a  number  of  others, 
who  have  an  interest  in  western  water  issues  for  environmental 
reasons  and  like  Bradley  for  economic  reasons  as  well.   But  the 
bottom  line  is  that  for  most  East  Coast  legislators  western  water 
law  isn't  something  that  they  spend  much  time  thinking  about. 


The  Genesis  of  H.R.  429:  The  Omnibus  Water  Bill 


Chall:    The  big  Omnibus  Bill  that  you  just  mentioned,  429  I  think  it  is- 
Nelson:   Right. 


27 


Chall:    I  have  never  been  able  to  figure  out  whether  it  was  a  Senate  bill 
or  House  bill  or  both. 

Nelson:   It  was  both.   H.R.  429.  Ultimately  it  was  a  House  package.   The 
House  passed  it,  the  Senate  came  up  with  a  proposal,  and  then  I 
believe  the  final  language  is  that  the  Senate  recedes  to  the  House 
bill  with  amendments  and  that  was  the  final  package.   The  final 
version  was  a  conference  committee  product.   It  wasn't  really 
House  or  Senate,  it  was  a  joint  negotiated  product. 

Chall:  H.R.  429  had  been  going- - 

Nelson:  --in  the  House  for  years. 

Chall:  And  it  was  an  Omnibus  Bill  for  other- - 

Nelson:  --other  western  states. 

Chall:  Bureau  of  Reclamation  projects,  is  that  it? 

Nelson:  Correct. 

Well,  what  happened  was,  all  of  these  bills,  most  of  these 
bills  were  introduced  separately  and  eventually  were  all  rolled 
into  one  package.   At  the  committee  level  they  were  rolled  into 
one  package.   So  instead  of  trying  to  move  thirty-four  or  thirty- 
six  titles  in  here  they  lumped  them  together  and  dealt  with  them 
as  one  bill.   Which  is  something  that's  often  done,  where  you  have 
so  many  different  bills  dealing  with  the  same  issue.   These  are 
all  western  water  bills.   They're  all  reclamation  projects  and 
they  are  all  packaged  together  as  one  bill. 

By  the  time  the  conference  committee  rolled  around  there  was 
some  controversy  over  the  Grand  Canyon  provisions  in  here,  but  it 
wasn't  a  brutal  fight.  The  question  was  what  was  going  to  happen 
with  the  CVP. 

Chall:    So  eventually  1306  and  484-- 

Nelson:   --were  rolled  into  429. 

Chall:    After  they  had  been  reconciled? 

Nelson:   No,  it  was  during  the  process.   Miller  and  Bradley  both  made  it 
very  clear  that  they  were  going  to  pass  an  omnibus  bill  and  that 
it  was  going  to  have  CVP  reform  in  it.   So  from  the  very  beginning 
of  the  process  they  simply  made  it  very  clear  that  they  were  going 
to  make  sure  that  they  didn't  just  deal  piecemeal  with  other 
projects  around  the  U.S. --some  of  which  were  relatively  easy  to 


28 


come  to  a  consensus  on.   Things  like  the  Central  Utah  Project 
which  had  been  controversial  for  years.   Eventually  CUP  and  the 
environmentalists  sat  down  and  came  up  with  something  that  was  not 
universally  agreed  upon  b'ut  it  was  a  dramatic  improvement  over  the 
original  product.   We  worked  closely  with  the  CUP  which  was 
furious  about  the  Central  Valley  Project  folks  because  CUP  was 
trying  to  get  a  bill.   They  sat  down  with  the  environmentalists, 
they  gave  up  water,  they  gave  up  money,  and  they  looked  at  the 
Central  Valley  Project  and  said,  "These  folks  are  paying  nothing 
for  their  water,  they're  swimming  in  water  and  they  won't  give  up 
a  drop  of  water  and  they  won't  give  up  a  penny."   And  that  was 
true  westwide,  that  folks  around  the  West  looked  at  the  CVP  and 
said  this  is  the  worst  of  American  reclamation.   It's  wasteful, 
greedy,  and  irrational.   And  other  folks  were  coming  to  the  table. 
And,  you  know,  CVP  wasn't. 

Chall:    I  see,  so  early  on  as  they  were  revising  1306,  5099,  and  484  it 
was  said  ultimately  though  that  a  bill  is  going  into  the  Omnibus 
Bill.   Is  that  it? 

Nelson:   Right. 

Chall:    That  I  think  might  have  frightened  the  water  people  considerably 
at  some  point  because  it  might  look  as  if  the  whole  thing  could 
move  against  them. 

Nelson:  Oh  there  were  many,  many  points  where  we  thought  the  bill  was 
going  to  go  down.  Either  go  down  or  pass.  I  mean,  we  didn't 
think-- 

Chall:    The  separate  bills- - 

Nelson:   Yes,  yes. 

Chall:    Before  it  went  into  the  Omnibus? 

Nelson:   Right.   We  never- -Share  the  Water  had  remarkable  mood  swings  where 
we  would  think  one  week  that  the  pieces  were  coming  together  and 
it  was  going  to  sail  through  and  the  next  week  things  would  come 
apart  and  it  would  look  like  the  whole  Omnibus  Bill  and  the  CVP 
provision  would  simply  come  crashing  down.   This  was- -the  final 
product,  it  started  in  '91  when  Miller  and  Bradley  introduced  it-- 
and  it  was  resolved  not  until  the  waning  hours  of  the 
congressional  session  in  '92.   This  was  the  last  bill  resolved  at 
the  end  of  '92. 

There  were  a  couple  of  bills  at  the  end  of  '92  that  were  the 
really  intractable  bills  that  they  couldn't  resolve.   The  energy 
bills,  some  tax  bills,  a  couple  of  other  things  that  the  Senate 


29 


simply  couldn't  resolve.   They  always  hang  on  to  the  end  of  the 
session.   The  stuff  that  they  can  get  a  consensus  on  happens 
earlier  and  the  stuff  that  they're  not  even  close  on  dies.   The 
CVP  and  a  couple  of  other  bills  were  hanging  on  to  the  end  of  the 
session.   They  were  hanging  on  because  one  man,  Senator  Seymour, 
wouldn't  come  to  the  table.   We  didn't  really  expect  it  to  be  a 
full  two-year  process  originally.   We  knew  there  was  so  much 
impatience  for  that  water  Omnibus  Bill.   We  thought  what  would 
happen  was  that  that  pressure  would  drag  the  water  users  to  the 
table,  that  Miller  and  Bradley  would  negotiate  a  bill  with  them, 
and  that  we  would  see  a  bill  by  the  end  of  '91. 


Senator  Bradley  Tries  to  Reach  Agreement  with  Competing  Water 
Interests  in  Washington.  D.C.  (November  1991) 


Chall:    What  can  you  tell  me  or  have  you  discussed  enough  about  the 

Bradley  hearings  in  California  in  September,  or  in  November,  when 
Bradley  called  together  the  three  competing  interests  in 
Washington  to  consider  a  compromise  on  his  own  legislation.   There 
was  no  agreement  and  so  he  said  he'd  go  back  to  the  original  S. 
484,  amending  it. 

Nelson:   I'll  take  the  second  one,  the  second  half  of  that  question  first. 
Bradley  called  the  competing  sides  together;  we  had  been  trying  to 
sit  down  with  the  water  users  and  it  hadn't  worked.   Bradley  felt 
that  he  could  compel  them  to  sit  down  with  him.   He  called  a 
meeting  in  D.C.  with  the  environmental  folks,  the  urban 
representatives,  and  the  ag  representatives,  and  the  governor's 
office.   Both  the  governor's  and  the  agricultural  representatives 
showed  up  and  told  the  Senator  that  they  were  not  authorized  to 
negotiate.   It  was  a  pretty  short  meeting.   Bradley  came  in  and 
said,  "Okay,  where  do  we  go  from  here?  We  haven't  been  able  to 
reach  an  agreement  on  my  bill,  I'm  open  to  new  approaches,  what 
have  you  got?" 

We  had  sent  Tom  Graff  back  there  with  a  long  list:  here's  our 
first  priority,  here's  our  second  priority  and  here  are 
alternatives.   If  this  doesn't  work,  try  this  alternative.   We've 
always  been  willing  to  try  different  approaches  and  to  be  flexible 
in  terms  of  how  we  found  ways  to  deal  with  the  environmental 
problems.   It  could  be  more  money,  it  could  be  more  water,  we 
could  re-allocate  directly,  we  could  tie  it  to  contract  renewals, 
lots  of  different  alternatives. 


30 


Share  the  Water's  Firm  Goals  and  Differing  Approaches 


Chall:    The  alternatives,  though,  were  always  directed  toward  what? 

Nelson:   Our  goal  was  to  deal  with  the  environmental  problems  that  the  CVP 
faced.   There  were  a  number  of  different  pieces  of  that.   There 
were  the  hardware  issues  that  were  relatively  easy  to  get 
agreement  on  except  for  who  funded  them.   The  growers  were 
delighted  to  have  these  things  built  if  they  didn't  have  to  pay 
for  them. 

Chall:    That's  fish  screens  and-- 

Nelson:   The  hardware,  the  temperature  curtain  at  Shasta  Dam,  and  fixing 

the  Coleman  fish  hatchery.   So  there  was  the  hardware  piece,  there 
was  a  policy  piece.   Things  like  making  fish  and  wildlife  a 
project  purpose  because  the  bureau  had  insisted  in  many,  many, 
many  cases  that  they  were  not  authorized  to  protect  fish  and 
wildlife  by  their  authorizing  legislation.   We  felt  that  needed  to 
be  changed.   Third,  we  felt  we  needed  to  have  water  for  fisheries 
in  the  Trinity  River  and  for  wildlife  refuges,  and  finally,  we 
needed  money  to  pay  for  the  fish  screens  and  so  forth. 

There  were  a  whole  host- -I  mean  those  could  be  combined  in 
different  ways  and  if  you  didn't  get  all  four  you  could  get  three 
in  a  different  way.   We  always  were --when  you  look  at  the  bills 
they  reflected  very  different  approaches  to  that.   Miller's  bill, 
for  example,  had  1.5  million  acre-feet.   It  was  a  straight  re- 
allocation  of  water. 


The  final  bill  was  a  mixture  of  water  and  money  so  that  they 
decreased  the  impact  on  the  growers  and  got  power  users  into  the 
loop.   The  power  users  who  contribute  to  the  CVP  problem  and 
benefit  from  the  CVP  greatly.   If  you  just  re-allocate  water  the 
power  users  are  off  the  hook. 

The  money  and  water  was  something  that  we  were  always  willing 
to  be  flexible  on.   And  so  Tom  went  back  with  a  long  list  of 
things  as  our  lead  negotiator.   Tom  went  back  with  a  long  list  of 
directions  from  Share  the  Water  and  Tom  walked  into  the  room. 
There  were  the  ag  representatives  and  Doug  Robotham  from  [Douglas] 
Wheeler's  office.   He  said  he  wasn't  authorized  to  negotiate  and 
Stuart  Somach  did  the  same  thing.   The  meeting  ended  immediately. 
Bradley  made  it  clear  that  he  was  going  to  move  a  bill  and  that  if 
they  couldn't  negotiate  on  the  bill  he  would  move  the  one  that  he 
had  originally  introduced. 

Chall:    There  was  nothing  brought  in  from  the  ag  side?   No  change? 


31 


Nelson:   No,  nothing.   They  literally  sat  down  and  Stuart  Somach  said,  "I 
am  not  authorized  to  negotiate  anything,  nothing."  He  couldn't 
suggest  anything,  he  couldn't  agree  to  anything.   He  was 
authorized  to  do  no  negotiating  at  all.   They  opposed  the  current 
bill  and  they  would  not  suggest  how  to  fix  it  other  than  the 
Seymour  bill.   That  was  it;  that  was  their  offer.   And  they 
weren't  negotiating.   Doug  Robotham  showed  up  and  said  he  actually 
was  not  even  representing  the  governor,  he  was  there  as  an 
individual,  observing.   The  meeting  died. 


The  Opinions  of  Governor  Pete  Wilson  and  his  Administration 


Chall:    I  was  told  at  some  point  that  Doug  Wheeler  was  not  always  in 

conformity  with  the  opinions  of  Wilson.   He  was  willing  to  give  a 
little  more  or  he  had  at  some  point. 

Nelson:   Well,  it's  very  clear  that—it's  no  secret  that  there's  a  split  in 
the  administration- -that  Doug  Wheeler  recognized  early  on  that  a 
bill  was  probably  going  to  happen.   It's  clear  from  the  outside 
even  though  nobody  ever  talks  to --there  are  no  sort  of 
subterranean  connections- -it' s  very  clear  to  anybody  who's  watched 
the  process  that- -I  think  Doug  Wheeler  recognized  that  there  was 
probably  going  to  be  a  bill  and  that  they  should  go  to  the  table 
and  that  interests  like  the  environmental  interests  and  interests 
of  two- thirds  of  the  people  in  California  couldn't  be  simply 
ignored. 

David  Kennedy  has  been  very  intractable.   I  think  it's  also 
clear  that  in  that  process  David  Kennedy  has  been  the  winner 
regarding  the  governor's  water  policy.   The  governor  has  allied 
himself  with  the  most  extreme  elements  of  the  agricultural 
community  for  the  last  several  years  and  has  done  virtually 
nothing  that  has  responded  to  the  interests  of  urban  areas  or  the 
environment . 

Even  folks  like  the  rice  industry  that  were  neutral  on  the 
final  bill- -there  were  plenty  of  people  within  ag--some  portions 
of  ag  like  the  rice  community- -who  recognized  that  they  had  to 
come  to  the  table.   But  the  east  side  and  the  west  side  of  the  San 
Joaquin  Valley  never  came  to  the  table,  and  they  knew  they  had  the 
governor's  ear  and  the  governor  essentially  made  it  impossible  for 
them  to  negotiate.   The  ag  community  couldn't  negotiate  with  the 
governor  making  it  clear  that  he  was  willing  to  do  whatever  the 
most  reactionary  elements  within  that  community  wanted. 


32 


He  opposed  Miller-Bradley,  he  did  the  same  thing  when  he 
pulled  the  plug  on  state  water  standards.   In  that  climate  where 
the  governor  is  allying  himself  so  closely  with  the  extreme  fringe 
of  a  community,  that  community  can't  come  to  the  table.   If  a 
governor  were  to  align  himself  with  Earth  First  on  all 
environmental  issues,  it  would  be  very  difficult  for  the 
environmental  community  to  go  to  the  table  and  negotiate.   That 
doesn't  seem  likely  to  happen.   The  governor  talked  in  his  water 
policy  about  providing  leadership- -in  April  of  '92--about 
providing  leadership  and  being  an  honest  broker  and  he's  been  the 
opposite.   He's  not  just  allied  himself  with  ag,  he's  allied 
himself  with  the  most  extreme  folks  in  ag  and  I  don't  even  think, 
on  water  policy,  he's  even  talking  to  the  other  sides. 

We  got  one  meeting  with  the  governor  that  was  a  token 
meeting.   He  knew  that  he  had  to  meet  with  us  because  he  had 
refused  to  and  we  were  vocal  about  the  fact  that  he  had  refused 
to.   He  had  to  meet  with  us.   We  had  a  brief  meeting  and  we  made 
our  pitch  and  the  governor  said,  "I  don't  see  it  that  way;  I'm 
sorry  you  don't  support  my  approach."   We  described  why  we  thought 
his  approach  didn't  deal  with  all  of  the  issues  and  it  ended  with 
that. 

Chall:    They  think  of  you  as  environmental  extremists. 

Nelson:   [laughter]   They  meaning  whom? 

Chall:    Well,  some  of  the  agriculture  people.   They  have  used  the  term. 

Nelson:   Oh,  now  well  there  are  plenty  of  folks  who  have  accused  us  of 
being  environmental  extremists.   Which  I  have  to  say,  I  find 
sometimes  funny  and  sometimes  really  unfortunate.   We  worked  with 
the  Port  of  Oakland,  we  worked  with  the  Bank  of  America,  the  final 
product  was  supported  by  the  California  Business  Roundtable  and 
mayors  of  major  cities,  and  most  of  the  papers  in  the  state.   It 
was  supported  by  virtually  the  entire  state  except  for  the  San 
Joaquin  Valley.   The  rest  of  the  whole  state,  basically,  supported 
the  bill.   Share  the  Water  was  the  coalition  that  led  the  campaign 
to  get  that  bill.   It's  not  an  extreme  bill.   It's  just  not  an 
extreme  bill. 

We  said  early  on  to  the  agricultural  users  that  these 
problems  aren't  just  going  to  go  away.   They're  far  better  dealing 
with  these  issues  up  front  than  letting  the  crisis  get  worse  and 
worse  and  relying  solely  on  issues  like  the  Endangered  Species  Act 
to  drive  the  process.   That  a  proactive  approach  makes  sense.   I 
still  think  that  makes  sense.   I  think  that  the  final  bill  is 
going  to  be  good  for  the  agricultural  community. 


33 


The  Opinions  of  Congressmen  from  the  Central  Valley 


Chall:    What  about  the  congressional  representatives  in  the  valley  like 
[Calvin]  Dooley,  [Vic]  Fazio,  [Richard]  Lehman,  [Gary]  Condit? 
How  did  you  deal  with  them?   Some  of  them  are  Democrats.   Are  they 
also  on  the  ag  side? 

Nelson:   We  were  able  to  talk  with  all  of  those  folks,  with  all  of  their 
staffers.   The  only  legislator  we  couldn't  get  to  was  Senator 
Seymour.   We  sat  down  with  Cal  Dooley  and  Condit 's  staff  quite  a 
bit  and  Lehman's  staff  quite  a  bit.   Vic  Fazio's  staff  quite 
often.   It  was  very  clear  early  on  that  Share  the  Water  and  Cal 
Dooley  were  unlikely  to  support  a  bill  together  down  the  road. 
But  their  offices  were  very  much  open  to  us  to  understand  what  our 
approach  was  and  what  our  concerns  were,  what  the  problems  were 
and  what  solutions  we  had  proposed.   What  we  thought  was  wrong 
with  the  Seymour  bill  and  so  forth. 

Chall:    What  did  they  do  about  it? 

Nelson:   Well,  Vic  Fazio  eventually  sat  down  with  Miller  and  came  up  with  a 
product  that's  reflected  in  the  final  bill.   That  meant  that  Vic 
and  his  growers  were  neutral  on  the  final  bill. 

Chall:    What  did  they  get  as  a  result  of  their  neutrality? 

Nelson:   When  you  look  at  the  final  bill  there  are  a  couple  of  things  in 

there  that  helped  the  Sacramento  Valley  growers,  help  reduce  some 
of  the  impacts  and  provided  them  with  some  things  that  they 
thought  would  make  the  bill  work  for  them.   There's  a  maximum  of  a 
two  million  dollar  subsidy  to  help  the  rice  growers  pursue  this 
concept  of  creating  wetlands  during  the  waterfowl  season  in  order 
to  eliminate  rice  stubble. 

Chall:    That's  the  side  that  Marc  Reisner-- 

Nelson:   --Marc  Reisner's  working  on  now.   That  was  taken  into  account  and 
a  couple  of  other  things.   Not  major  changes,  but  changes  that 
made  the  rice  growers  feel  they  were  being  listened  to,  that  some 
of  their  concerns  were  addressed  in  the  final  bill,  and  they  wound 
up  neutral.   Dooley  in  particular  found  himself  in  a  really 
interesting  position.   Cal  is  a  very  bright  guy  who  understands 
the  issues  that  Miller  and  Bradley  were  trying  to  deal  with  and 
comes  at  them  from  a  very  different  perspective.   Cal  was  the  lead 
negotiator  in  an  effort  to  negotiate  a  bill  in  committee  with 
George  Miller.   And  he  negotiated  a  bill  with  Miller  that  we 
thought,  Share  the  Water  thought,  was  terrible. 


34 


Chall : 
Nelson: 

Nelson: 


Chall: 
Nelson: 


Chall: 


Nelson: 


Yes.   Tell  me  about  that. 

That  was  one  of  the  low  points. 

** 

Moving  legislation  out  of  the  House  is  a  very  difficult  process. 
Congressman  Miller  sat  down  with  Cal  Dooley  and  Rick  Lehman  and 
negotiated  a  package  that  they  supported  in  order  to  get  it  out  of 
committee.  [H.R.  5099]   It  was  not  a  package  that  Share  the  Water 
was  happy  with.   We  thought  that  it  simply  didn't  provide  any  real 
assurances  that  real  reform  was  going  to  happen.   The  language  was 
very  fuzzy,  it  didn't  have  water,  it  didn't  have  any  money  to 
speak  of.   We  thought  it  was  a  very  weak  bill. 

So  it  was  a  real  change  then  from  1306?* 

It  was  a  dramatic  change  from  1306.   We  were  very  disappointed 
with  it  and  let  Miller  know  that  we  thought  he  let  go  too  much.   I 
think  Miller  felt  he  needed  to  move  a  bill.   To  make  sure  that  the 
process  didn't  simply  die  in  committee.   Lehman  and  Dooley  were 
absolutely  vilified  in  their  districts  for  sitting  down  with 
Miller  and  cutting  a  deal. 


For  doing  anything? 
winners? 


Even  though,  apparently,  they  came  out  the 


Right.   Lehman  and  Dooley  both  voted  against  the  package  on  the 
floor.   They  voted  for  it  in  the  committee  and  against  it  on  the 
floor.   Miller  did  the  same  thing  Bradley  did  when  they  didn't 
stick  to  the  table;  he  went  back  to  his  original  package.   I  think 
Lehman  and  Dooley,  especially  Cal  Dooley,  are  still  paying  the 
price  in  their  districts  for  sitting  down  with  the  devil. 

From  my  perspective,  Cal  did  a  terrific  job  of  representing 
his  constituents.   We  were  not  happy  with  the  product  he  was  able 
to  negotiate.   But  his  constituents  killed  it.   His  constituents 
made  it  impossible  for  him  to  support  that  package  and  because  of 
that,  Dooley  and  Lehman  dropped  off  of  the  bill  that  they  had 
helped  negotiate.   We  went  back  to  the  original  version  and  it 
made  the  final  bill  a  lot  stronger. 


4The  bill  was  H.R.  5099  by  that  time  (May  1992). 
further  discussion  of  this  negotiation. 


See  pages  51-54  for 


35 


II   THE  PASSAGE  OF  THE  CENTRAL  VALLEY  PROJECT  IMPROVEMENT  ACT  AND 
THE  POTENTIAL  IMPACT  ON  THE  ENVIRONMENTAL  AND  AGRICULTURE 
COMMUNITIES,  1992-1993 


Senator  Bennett  Johnston  Moves  into  the  Miller/Bradley 
Negotiations:  Johnston's  and  Bradlev's  Staffs  in  California 
(February  1992) 


Chall: 


Nelson: 


Chall: 
Nelson: 

Chall: 
Nelson: 
Chall: 
Nelson: 


In  February  [1992]  we've  got  the  [Bennett]  Johnston  people  coming 
to  California.   Now  that's  different  from  the  Bradley  folks  who 
came  in  late  1991.   Let's  talk  a  minute  then  about  Johnston.   How 
did  he  get  into  this?  When  did  he  start  dealing? 

Bradley 's  subcommittee  is  a  subcommittee  of  the  Energy  and  Natural 
Resources  Committee.   So  we  knew  that  any  bill  that  went  out  of 
the  Senate  was  going  to  have  to  get  through  Chairman  Johnston's 
energy  committee  and  therefore  getting  his  staff  and  making  sure 
they  understood  the  issues  was  a  real  key. 


Just  a  moment, 


Who  were  his  staff? 

There  were  a  number  of  folks  who  worked  with  him. 
I'll  make  sure  I've  got  their  names  right. 

Is  that  Ellsworth? 

Gary  Ellsworth  works  for  the  minority  side. 

Oh  yes,  [Malcolm]  Wallop. 

Yes.   For  the  Wallop  side.   There  were  a  number  of  folks  and  I  am 
sitting  here --Mike  Harvey  is  chief  counsel  and- -what's  the  name  of 
the  chief  of  staff?   I  am  drawing  a  blank.   It'll  come  to  me. 


36 


Chall:    We'll  find  them. 

Nelson:   Yes.   I'll  find  it.   There  were  other  folks  as  well.   It  was  an 
energy  committee  group.   There  were  folks  from  the  valley, 
Democrats,  I  think.   Lehman's  office  and  Dooley's  office  were  both 
there.   I  don't  think  Fazio's  was.   But  Jake  Garn's  office-- 
Senator  Garn's  office  was  represented  there  as  well  because  they 
were  trying  to  move  the  Central  Utah  Project  and  they  wanted  to 
come  out  and  understand  the  problems  with  the  Central  Valley 
Project.   Which  were  their  problems.   So  they  came  out  and  did  a 
tour  of  the  Central  Valley  Project  and  sat  down  with  the  growers 
and  sat  down  with  Share  the  Water. 

Chall:    Was  this  in  Sacramento?   Did  they  come  to  Sacramento? 

Nelson:   They  did  a  tour  through  the  valley  and  they  sat  down  with  the 

growers  somewhere  in  the  valley.   In  Woodland--!  don't  remember 
exactly.   Somewhere  in  the  valley. 

Chall:    Were  you  there? 

Nelson:   No.   I  wasn't  there. 

Chall:    They  took  them  group  by  group? 

Nelson:   Right.   They  did  a  tour --they  sat  down  one  night  with  the  growers 
and  then  I  think  it  was  the  next  afternoon  they  came  down  to  the 
Bay  Area  and  sat  down  with  Share  the  Water.   We  did  a  briefing  for 
them  that  laid  the  case  out.   We  had  the  fisheries,  we  had  Zeke 
Grader  from  the  fishing  organization  get  up  and  talk  about  what 
had  happened  to  the  fishing  industry  and  what  the  bill  would  do 
for  them.   Dan  Chapin  got  up  and  talked  about  the  waterfowl 
issues . 

Tom  Graff  and  Dave  Behar  talked  about  the- -I  was  the  chair- - 
Tom  Graff  and  Dave  Behar  talked  about  some  of  the  environmental 
issues.   Mike  McGill  talked  about  the  urban  perspective.   So  it 
was  not  just  a  Share  the  Water  briefing.   There  were  folks  from 
outside  the  coalition  who  talked  about  the  breadth  of  issues 
addressed  in  the  bill.   What  we  thought  made  sense,  what  we 
thought  worked,  problems  with  the  Seymour  package  and  answered  a 
whole  lot  of  questions. 

Chall:    These  were  the  staffs  of  Johnston  and  Bradley?   By  this  time, 

certainly,  the  Bradley  staff  was  familiar  with  all  this.   And  the 
Johnston  staff  was  probably- - 

Nelson:   --less  so.   But  coming  up  to  speed.   Jake  Garn's  staffer  wasn't 
terribly  knowledgeable  about  CVP  issues  before  he  came  out. 


37 

Chall:    Was  Wallop's  staff  there? 

Nelson:   Yes.   I  think  Gary  Ellsworth  was  on  this  trip. 


The  Proposal  to  Transfer  the  Central  Valley  Project  to  the 
State 


Chall:    All  right.   Was  this  the  time  when  Johnston  suggested  that  the 

Central  Valley  Project  be  turned  over,  transferred  to  the  state? 

Nelson:   A  side  line  in  this  whole  thing. 
Chall:    A  side  line? 

Nelson:   It  originated  from  the  grower's  community  who  saw  this  thing 

coming  down  the  road.   They  thought  if  we  can  take  control  of  this 
project  we  can  get  it  out  of  George  Miller's  hands  and  use  it  as 
an  alternative  to  the  legislation.   It's  clear  that  that's  where 
the  idea  originally  came  from.   Then  Pete  Wilson  picked  that  up. 
But  it  was  pretty  clear  to  us  from  the  start- -and  I  don't  know 
what  Johnston's  interest  was- -but  it  was  clear  to  us  from  the 
start  that  the  Wilson  administration  and  the  CVP  Water  Association 
saw  the  proposal  to  transfer  the  project  as  a  tool  they  could  use 
to  kill  the  Miller-Bradley  bill.   But  they  weren't  serious  about 
transfer. 

Chall:    And  Johnston  wasn't? 

Nelson:   I  don't  know.   I  really  don't  know.   If  I  were  a  Senator  I'd  love 
to  get  rid  of  this  dog.   The  Central  Valley  Project  has  been  a 
nightmare  from  a  legislative  perspective,  it's  been  a  financial 
disaster  for  the  taxpayer.   I'd  love  to  unload  this  dog  if  I  were 
a  Senator.   But  if  I  were  a  Senator,  I  also  wouldn't  give  it  away. 
The  growers  in  the  valley  have  worked  hard  to  keep  water  prices 
down  and  subsidies  up.   If  I  were  a  Senator  from  Louisiana  I  sure 
wouldn't  be  interested  in  rewarding  that  by  giving  the  project 
away  for  free . 

Anyone  who  looked  at  the  issue  with  any  thought  realized  that 
this  was  a  proposal  going  nowhere.   It  had  to  get  through  George 
Miller's  committee  and  it  had  to  get  through  Bennett  Johnston's 
and  Bill  Bradley 's  and  the  only  way  to  do  that  would  be  to  deal 
with  access  of  that  water  to  urban  areas. 

The  Senate  would  never  give  it  to  the  growers  essentially  and 
leave  it  off  limits  to  the  rest  of  California  as  it  was  before  the 


38 


Chall: 


Nelson: 


CVPIA  was  passed.   They  would  never  pass  it,  they  would  never  give 
it  to  the  state  without  environmental  restoration.   Under  federal 
law  and  even  international  treaties,  the  government  has  an 
obligation  to  run  the  CVP  responsibly.   They'd  never  simply  give 
that  to  the  state  without  environmental  reform.   And  they'd  never 
give  it  to  the  state  without  economic  reform.   They  were  going  to 
get  a  fair  price  for  it.   They  weren't  going  to  give  it  away. 

Ironically,  two  of  those  three  issues  the  Miller-Bradley  bill 
makes  great  strides  towards  addressing.   There's  not  a  lot  of 
economic  reform  in  the  package,  a  little,  but  not  a  lot.   If 
you're  serious  about  transferring  the  project  the  Miller-Bradley 
bill  is  a  huge  stride  towards  transferring  the  project.   But  as 
soon  as  the  bill  passed,  nobody  talked  about  transfer  anymore. 
The  proposal  to  transfer  the  project  died  and  I  think  it  died 
because  I  think  the  proposal  was  a  strategic  move.   It  wasn't  a 
legitimate  offer.   It  was  a  press  conference  strategy.   We  don't 
need  to  reform  the  project,  we'll  just  transfer  it  to  the  state 
and  somehow  magically  that  will  solve  our  problems. 

What  I  find  really  ironic  is  that  if  anybody  were  willing  to 
push  for  a  transfer  of  the  project  I  would  guarantee  that  Jason 
Peltier  would  be  in  Congress  lobbying  to  keep  it  in  the  federal 
government.   Because  there  is  no  way  in  the  current  budget  climate 
that  the  federal  government  would  give  the  project  away.   They'd 
sell  it  to  the  state  for  a  fair  price  and  the  state  can't  afford 
to  support  the  kind  of  subsidies  that  the  federal  government  has 
been  supporting  for  years.   That  means  dramatic  price  increases, 
unavoidably,  if  it  went  through  the  state.   That's  the  last  thing 
Jason's  growers  want  to  see.   While  Jason  was  sort  of  touting 
transfer  as  a  way,  an  alternative  to  Miller-Bradley,  CVP  growers 
don't  want  to  see  that  project  transferred. 

In  the  final  bill  there  is  a  higher  cost  of  water  for  the  Central 
Valley  Project  people. 

Marginally,  it's  not  a  dramatic  shift.   There's  the  surcharge  for 
fish  and  wildlife  that's  a  couple  bucks  an  acre  foot.   It's  not  a 
huge  charge,  a  huge  additional  charge,  and  there  are  caps  on  it. 
There  is  an  additional  surcharge  for  the  Friant  unit  because  the 
Friant  unit  of  the  project  doesn't  give  up  any  water  as  a  part  of 
this  bill.   So  the  final  bill  said  that  until  the  Friant  unit 
contributes  water  to  the  restoration  of  the  river,  they'll  pay  a 
surcharge,  an  additional  surcharge  into  the  restoration  fund. 
Then  there  is  a  tiered  pricing  provision  that  says  that  growers 
will  continue  to  pay  the  subsidized  rate  for  80  percent  of  their 
supply,  when  contracts  are  renewed.   So  the  subsidized  rate  for  80 
percent  of  their  supply,  full  cost  for  the  final  10  percent  and  an 
average  for  the  increment  from  80-90  percent. 


39 


Chall:   What  a  chore  to  keep  track  of  that. 

Nelson:   Yes.   That  was  not  a  dramatic  pricing  reform  but  it's  a  small  step 
in  the  right  direction,  towards  an  incentive  to  conserve  water. 

Chall:   We'll  go  over  a  lot  of  that  the  next  time.  You  didn't  get  very 

far  then  with  the  Johnston  and  Bradley  staff  tour  or  do  you  think 
that  you  did? 

Nelson:   Well,  I  think  that  it  was  part  of  the  educational  process.   It 

really  was.   It  was  both  from  the  substantive  perspective  but  also 
from  a  political  perspective.   Obviously  none  of  us  were  at  the 
water  users'  meeting.   But  Share  the  Water's  meeting  was  a 
briefing.   Letting  them  know,  sort  of,  here  are  the  different 
issues,  here  are  the  different  bills,  here  are  proposals  and  let's 
answer  questions . 

Universally  when  we  asked  the  staff  what  had  happened  at  the 
growers  meeting,  universally  we  were  told  that  what  they  heard 
were  tirades.   They  didn't  hear  reasoned  arguments,  they  didn't 
hear  economic  analysis,  they  didn't  hear  criticism  of  the 
environmental  provisions  of  the  bill,  they  didn't  even  hear 
briefings  about  how  the  Seymour  bill  would  deal  with  all  of  the 
issues.   All  they  heard  were  tirades  and  a  lot  of  insults.   From 
angry  growers. 

I  think  for  people  like  Jake  Garn's  staff  whose  people  had 
come  to  the  table  to  negotiate  with  environmentalists  and  deal 
with  legitimate  issues,  I  think  it  must  have  been  a  real  eye 
opener  to  see  that  the  environmental  community  was  working  with 
the  business  community,  and  that  there  were  real  environmental 
issues  that  weren't  hard  to  see,  and  real  economic  issues  that 
weren't  hard  to  see,  and  that  the  growers  weren't  even  interested 
in  talking  about  them.   I  think  the  political  education  was 
probably  more  important  even  than  the  substantive. 


The  Johnston  Version  of  the  Bradley  Bill:  The  Chairman's  Markup 
(February  20.  1992) 


Chall:   My  notes  say  that  the  Johnston  bill  would  replace  S.  484  and  be 
amended  into  429.   Was  that  a  stronger  bill?   Did  you  have  a  new 
bill? 

Nelson:   From  our  perspective  it  was  a  stronger  bill.   The  bills  kept 

evolving.   We  would  look  at  proposals.   As  Share  the  Water  became 
more  sophisticated  in  looking  at  some  of  our  alternatives  we 


40 


Chall: 


started  to  realize  that  there  were  different  approaches  to  what  we 
had  originally  suggested.   Bradley' s  bill  originally  would  have 
reallocated  to  natural  resources,  initially  10  percent,  ramping  up 
to  20  percent  of  water  supply  for  renewing  contracts  which  meant 
that  we  wouldn't  get  water  for  quite  some  time.   There  were  some 
mechanical  problems  with  Bradley 's  bill.   When  Johnston's  bill 
came  out  it  was  a  straight  re-allocation  and  I  think  it  was  a  wake 
up  call,  it  should  have  been  a  wake  up  call  for  the  governor  and 
the  ag  community,  that  it  was  not  going  to  be  easy  to  kill  a 
meaningful  bill. 

How  do  you  explain  the  fact  that  Johnston's  bill  was  so  clear? 
Technically  maybe  better? 


Nelson:   A  whole  lot  of  reasons.   Bradley  and  Johnston  clearly  had  a  good 
relationship  working  on  this  issue  and  their  staffs  worked  very 
closely  together.   There  was  a  lot  of  energy  put  in  by  Miller's 
staff  and  a  lot  of  communication  between  the  House  and  the  Senate 
side.   And  as  time  passed,  I  don't  think  it  was  just  that  one 
Senator  came  out  with  a  better  version  than  the  other  Senator  did, 
I  think  that  as  time  passed  the  bill  evolved.   As  Share  the  Water 
got  involved,  as  the  business  community  got  involved,  with  each 
successive  version,  we  tried  to  fix  the  problems  of  the  last. 
There  were  amendments  that  we  suggested,  amendments  that  MET 
suggested,  amendments  coming  in  from  a  variety  of  different 
perspectives . 

Chall:    Any  amendments  that  came  in  from  Somach,  Schuster,  Peltier  side? 

Nelson:   Not  really.   They  never  really  got  sufficiently  engaged  to  talk 
about  the  fundamental  issues.   We  would  occasionally  in  our 
negotiation  start  to  make  progress  on  some  of  the  peripheral  stuff 
but  when  our  first  negotiations  broke  down  with  the  users  they 
broke  down  over  water  and  money.   They  wouldn't  give  up  a  drop  of 
water  and  they  wouldn't  give  up  a  dime.   That  really  never  changed 
through  the  whole  process.   Those  were  the  most  contentious 
issues.   They  also  wouldn't  agree  to  any  project  purpose  language. 
Making  fish  and  wildlife  a  project  purpose.   They  wouldn't  agree 
to  stronger  transfer  provisions. 

What  you're  left  with  is  the  Seymour  bill.   They  never  moved 
off  of  it.   Even  though  the  business  community  looked  at  the 
Seymour  bill  and  said  this  is  a  dog  from  the  perspective  of  the 
business  community.   The  business  community  looked  at  it  and  said, 
"This  won't  allow  transfers  to  happen  so  it's  a  bad  deal  for 
California  business."   The  environmental  community  condemned  it, 
the  waterfowl  community  condemned  it.   We  were  wrong  a  lot.   We 
figured  that  eventually  Seymour  would  amend  his  bill  to  give  it 
some  credibility  somewhere,  but  he  never  did. 


41 


Chall:    I  think  we're  going  to  leave  it  right  there.   Next  time  we'll 

start  by  trying  to  find  out  how  come  the  Johnston  bill  loses  in 
the  Senate  and  the  Seymour  bill  passes  when  you  just  told  me  that 
it  was  a  dog  from  everybody's  point  of  view.   Okay?  We'll  leave 
it  as  a  cliffhanger. 

Nelson:   Okay.   The  whole  process  was  a  cliffhanger.   It  was  like  one  long 
serial.   The  fact  that  this  process  managed  to  sustain  the  drama 
over  two  years  was  amazing,  exhausting. 

Chall:    We'll  go  back  and  get  some  of  those  specific  details  as  we  go 

along.   But  you  know  what  I'm  trying  to  get  now,  is  not  only  the 
big  story  but  some  of  the  details. 


Share  the  Water's  Media  and  Grassroots  Efforts 
[Interview  2:  August  20,  1993]   ## 


Chall:    Before  we  get  started,  I  noticed  there  was  one  item  that  I 

overlooked  asking  you  about  last  week.   I  asked  you  about  David 
Weiman  who  was  on  your  staff.   Would  you  tell  me  who  Patricia 
Schifferle  is  and  her  role? 

Nelson:   Yes.   Patty  Schifferle.   Patty  and  John  Boesel  were  both 

consultants  for  Share  the  Water  in  California.   Patty  was  the  head 
of  our  California  media  effort  and  grassroots  organizing  effort. 
Patty  spent  a  tremendous  amount  of  time  working  with  us.   Media 
issues  and  working  with  grassroots  groups  up  and  down  the  state. 
Patty  and  John  both  would  spend  quite  a  bit  of  time  working  the 
media  and  organizing  press  conferences,  organizing  events  and  so 
forth  for  us.   Writing  press  releases,  doing  the  follow  up  calls. 

One  of  the  things  I  haven't  done  is  go  through  the  media 
clippings.   There  are  about  eight  inches  of  press  clippings  over 
there  from  this  campaign.   The  bill  got  a  tremendous  amount  of 
press .   We  spent  a  lot  of  time  making  sure  that  it  stayed  in  the 
public  eye  because  we've  always  felt  that  as  long  as  water  issues 
are  quiet,  the  contractors  dominate  the  debate.   But  as  soon  as 
water  issues,  especially  during  the  drought,  became  highly  public, 
the  political  dynamics  changed  dramatically. 

So  half  of  Patty  and  John's  job  was  to  work  with  us  on  media. 
The  other  half  was  to  do  grassroots  organizing  out  there.   Share 
the  Water  was  a  big  coalition.   It  took  a  lot  of  care  and  feeding 
to  keep  that  coalition  informed  and  organized  and  involved.   So 
the  two  of  them  spent  quite  a  bit  of  time  in  the  Central  Valley; 


42 


on  the  North  Coast  working  with  the  fishermen;  down  in  southern 
California  they  talked  to  groups  making  sure  they  were  informed 
and  involved,  helping  them  figure  out  how  they  could  plug  in  by 
working  with  their  local  representatives,  by  doing  local  media 
work,  letter  writing  campaigns,  whatever  it  was  that  we  needed. 
It  was  a  real  key  just  to  make  sure  that  all  of  the  variety  of 
groups  that  were  involved  in  the  bill  stayed  plugged  in.   Share 
the  Water  was  a  large  enough  group  that  it  was  a  tremendous  amount 
of  work  just  keeping  all  of  those  groups  informed  and  up  to  speed. 

There  was  a  core  of  fifteen  or  twenty  groups  that  followed 
the  bill  on  a,  literally,  daily  basis.   But  there  was  a  larger 
group  of  organizations  some  of  whom  were  never  formal  members  of 
Share  the  Water  but  had  a  very  strong  interest  in  the  outcome  of 
the  bill:  fly  fishing  groups  up  and  down  the  state  and  local 
conservation  groups  and  chapters  of  the  Sierra  Club  and  the 
Audubon  Society.   Some  were  never  formally  members  of  Share  the 
Water,  but  all  of  them  realized  the  importance  of  the  bill.   It 
was  a  lot  of  work  working  with  those  groups  to  make  sure  they  knew 
what  was  going  on,  make  sure  they  knew  the  importance  of  the  bill, 
make  sure  that  they  knew  how  to  get  involved  and  Patty  and  John 
spent  a  lot  of  time  helping  them  do  that. 

Chall:    They're  media  experts? 
Nelson:   Media  and  organizing,  yes. 


aour  Bill  Passes  the  Senate  Energy  Committee  (March  19921 


Chall:   Now,  when  we  left  off  last  time  we  were  talking  about  the  Johnston 
bill  and  that  it  lost  in  committee. 

Nelson:  Well,  it  was  never--!  don't  believe  the  Johnston  mark  was  ever 
introduced,  I  don't  think  it  ever  had  a  title,  or  a  number.   It 
never  went  anywhere  because  the  Senators  said- -Senators  Johnston 
and  Bradley  said  that  they  simply  didn't  have  the  votes  to  get  it 
through.   That  the  votes  were  not  there  on  the  energy  committee  to 
get  a  strong  bill  out  of  committee.   It  was  a  remarkable  thing  to 
watch. 

I  should  back  up  a  moment.   Senator  Johnston  realized  that 
Bradley  and  Seymour  had  not  been  able  to  come  to  any  agreements . 
Johnston  stepped  in  and  started  negotiations  with  Senator  Seymour. 
Share  the  Water  was  sitting  outside  the  door  in  D.C.  waiting  to 
hear  if  there  were  results.  We  had  no  idea  what  was  going  on 


behind  that  closed  door  because  everything  was  being  held  very 
tightly  by  staff.   There  were  no  drafts  circulating. 

But  it  was  clear  that  some  progress  was  being  made  and 
suddenly,  the  day  before  or  a  couple  of  days  before  the  energy 
committee  acted,  everything  exploded  and  we  never- -we  don't  know 
exactly  what  it  exploded  over,  what  the  issues  were.   What 
happened  eventually  was  that  Senator  Johnston  became  convinced 
that  Senator  Seymour  was  not  negotiating,  that  he  was  not 
attempting  to  come  to  an  agreement.   Senator  Johnston  had  prepared 
his  draft  in  order  to  help  push  Seymour.   I  think  Senator  Johnston 
believed  that  when  he  released  his  mark,  his  proposed  bill,  it 
would  convince  Senator  Seymour  that  he  was  serious.   Senator 
Johnston  believed  that  there  needed  to  be  a  bill  and  it  needed  to 
be  a  meaningful  one .   And  that  it  would  force  Seymour  to 
negotiate.   That  didn't  happen.   Seymour  and  Johnston  never  came 
even  close  to  an  agreement. 

At  that  point  Senators  Johnston  and  Bradley  both  said  they 
don't  have  the  votes  to  get  the  bill  they  wanted  out  of  committee, 
and  much  to  our  surprise,  when  the  day  came,  Senator  Bradley  said, 
we're  going  to  move  Seymour's  bill  out  of  committee.   And  they 
voted  the  bill  out  of  committee.   So  Johnston's  mark  never  went  to 
a  vote  at  the  energy  committee.   We  were  astonished  and  terrified 
when  Senator  Seymour's  bill  passed  out  of  the  energy  committee. 
We  didn't  know  whether  this  was  stepping  onto  the  slippery  slope 
which  meant  that  Senator  Seymour's  bill  would  then  go  flying 
through  the  floor  and  into  conference  committee  and  we'd  lose 
control  of  it  and  end  up  with  a  lousy  bill.   But  both  Bradley  and 
Senator  Johnston  were  very  clear  in  their  statements  in  the 
committee  room,  that  this  was  a  lousy  bill  and  they  would  rather 
have  no  bill  than  this  bill  and  they  were  going  to  fix  this  bill 
in  conference  committee.   And  they  made  it  clear  at  that  point  at 
the  committee  level  that  they  were  going  to  fix  it  at  conference 
committee.   And  not  try  to  fix  it  on  the  floor. 

Chall:   That  Seymour's  was  a  lousy  bill? 

Nelson:   Right.   That  Seymour's  bill  was  lousy,  that  they  were  passing  it 

out  because  they  didn't  have  the  votes,  and  they  were  going  to  fix 
it  in  conference  committee  not  on  the  floor.   That  strategy  on  the 
Senate  side  was  very  clear  the  minute  the  vote  was  taken  in  the 
committee.   It  was  a  frightening  thing  to  watch  in  the  room 
because  none  of  us  knew  how  this  game  was  going  to  end. 

When  I  saw  Senator  Seymour  afterwards,  it  was  pretty  clear 
that  he  didn't  know  whether  he  won  or  lost.   His  bill  had  made  it 
out  of  committee.   I  walked  up  to  him  after  the  energy  committee 
vote  and  told  him  that  Share  the  Water  would  like  to  work  with  him 


44 


to  try  to  come  up  with  an  agreement  on  a  bill  that  we  could  all 
support.   That  was  when  he  said  that  he  had  no  interest  in  working 
with  us.   That  was  the  end- -that  encounter  was  later  described  in 
the  media  by  one  of  Seymour's  aides  as  a  meeting  between  Share  the 
Water  and  the  Senator.   It  took  place  in  the  hallway  while  the 
Senator  was  waiting  for  an  elevator.   My  saying  we'd  like  to  work 
with  the  Senator  and  the  Senator  saying  we  don't  want  to  work  with 
you,  and  getting  on  an  elevator  and  leaving- -that  was  claimed  to 
be  our  meeting  with  Senator  Seymour. 

So  on  the  Senate  side  the  Johnston  mark  I  think  was  a  signal - 
-Bennett  Johnston  wanted  this  bill  to  move.   He  wanted  the  whole 
package  to  move  and  he  knew  that  CVP  was  the  key  to  making  the 
package  move.   I  think  Senator  Johnston  believed  that  once  Senator 
Seymour  knew  that  he  was  serious  that  Bennett  Johnston  wasn't 
simply  going  to  do  whatever  the  growers  wanted,  that  Senator 
Seymour  would  s,ee  the  light,  be  forced  to  come  to  the  table,  the 
growers  would  be  forced  to  compromise  and  we'd  wind  up  with  a 
negotiated  bill.   That  didn't  happen.   Once  the  negotiations 
didn't  happen,  Bennett  Johnston  said,  "Well,  we'll  move  the 
Seymour  bill  and  we'll  settle  it  in  conference,"  where  Senator 
Seymour  won't  have  any  clout. 


Analyzing  the  Johnston  Markup 


Chall:    So  the  next  step,  as  I  understand  it,  was  that  Miller  then 

introduced  H.R.  5099,  which  was  similar  to  the  Johnston  bill  or 
mark.   Similar,  quite  similar,  or  totally  similar? 

Nelson:   Not  identical  but  very  similar.   There  were  so  many  different 

versions  that  were  similar  but  not  identical.   The  key  thing  in 
the  Johnston  bill  was  that  the  Johnston  bill  for  the  first  time 
included  the  1,500,000  acre-feet  proposal.   Dedicating  1,500,000 
acre-feet  of  water  to  fish  and  wildlife  purposes. 

Chall:    Right  out  rather  than  800,000?   It  was  a  lot  according  to  William 
Kahrl  in  his  August  1992  article  in  the  California  Republic.1 
"Under  its  provisions,  nearly  40  percent  of  the  water  currently 
going  to  agriculture  in  the  San  Joaquin  Valley  would  be  diverted 
to  fish  and  wildlife.   The  prices  farmers  pay  for  water  would  rise 
to  a  level  much  closer  to  the  actual  taxpayer  cost." 


William  Kahrl,  "The  Drowning  of  Water  Reform,"  California  Republic. 
August  1992,  p.  20. 


Nelson:   His  number  is  wrong,  40  percent  is  not  even  close.   But  irrigated 
agriculture  in  the  valley  uses  more  like  twenty  million  acre  feet, 
so  this  is  not  even  ten  percent  of  what  agriculture  valley-wide 
uses . 

Chall:    Valley-wide,  but  does  that  include  the  State  Water  Project? 

Nelson:   Oh,  that  includes  everything.   The  CVP's  yield  is,  depending  on 

how  you  calculate  it,  somewhere  around  seven  and  a  half.   This  was 
one  and  a  half.   Clearly  we're  not  looking  at- -it  wasn't  40 
percent . 

Chall:    How  about  the  price?   Do  you  recall  anything  about  that?   If  not, 
somebody  else  can  check  that. 

Nelson:   There  was  no  dramatic  increase  in  price  in-- 
Chall:    From  what  the  Bradley  bill  might  have  had. 

Nelson:   Right.   The  difference  was  that  what  the  chairman's  mark  did  was 
go  directly  after  the  water.   Bradley 's  bill  said  they  were  going 
to  go  after  a  percentage  of  water,  of  CVP  water  as  contracts  were 
renewed.   A  percentage  of  water  would  be  dedicated  to  fish  and 
wildlife.   Start  at  ten  and  ramp  up  to  twenty.   That  was  one 
mechanism  that  we  tried  to  look  at,  one  mechanism  of  producing 
water  for  fish  and  wildlife.   The  chairman's  mark  was  a  much  more 
direct  route.   It  was  essentially  proposing  that  fish  and  wildlife 
be  given  a  contract  for  1,500,000  acre -feet. 

Chall:    And  that's  basically  what  stayed  in  the  bill. 

Nelson:   The  concepts  stayed  in  the  bill,  but  the  amount  was  dropped  down 
to  800,000  acre-feet.    Simultaneously  the  amount  of  money  in  the 
restoration  fund  was  increased.   That's  I  think  where- -that's  the 
area  where  Somach/Graff  had  a  real  influence.   We  always  knew  that 
we  needed  to  have  a  mix  of  hardware,  policy,  physical  facilities, 
water,  and  money  in  order  to  make  fish  and  wildlife  restoration 
work.   There  were  a  tremendous  number  of  different  options  in 
terms  of  putting  that  together.   Both  mechanisms  to  get  the  water 
and  mechanisms  to  get  the  money  and  different  ways  of  combining 
the  two --more  money  and  less  water  or  less  money  and  more  water. 

The  chairman's  mark  relied  on  providing  a  big  block  of  water 
and  less  money.   The  Somach/Graff  version,  on  the  other  hand, 
relied  on  providing  a  large  chunk  of  money  and  no  guaranteed  water 
supplies.   That  was  predicated  on  the  belief  that  they'd  actually 
go  out  and  buy  fish  and  wildlife  water  using  the  contractor's  own 
money.   What  we  wound  up  with  was  a  hybrid  of  that:  800,000  acre- 
feet  and  a  50  million  dollar-a-year  restoration  fund.   Some  of 


46 


which  will  be  available  to  purchase  fish  and  wildlife  water 
supplies . 

Chall:    Purchase  it  from  the-- 

Nelson:   From  anyone.   It's  not  simply  purchasing  it  from  CVP  contractors 
and  in  a  lot  of  cases  the  contractors  may  not  be  the  right  people 
to  buy  it  from.   It's  possible  that  it  might  make  sense  to  go  buy 
water  from  the  exchange  contractors.   The  exchange  contractors, 
for  example,  have  very  senior  water  rights  and  have  more  water 
than  they  know  what  to  do  with.   But  it  might  make  sense  to  go  buy 
water  from  the  Modesto  and  Turlock  irrigation  districts.   It  might 
make  sense  to  go  buy  rice  water;  there  are  a  lot  of  different 
options.   It's  not  restricted.   The  money  doesn't  have  to  be  spent 
within  the  CVP. 


Source  of  the  800,000  Acre-Feet  Figure 


Chall:    Where  exactly  did  the  800,000  acre  feet  come  from?   How  did 

anybody  arrive  at  that  number,  since  you're  already  telling  me 
that  it  varied  here  and  there. 

Nelson:   Right.   We  put  together- -Share  the  Water  put  together- -our  best 

estimates  of  how  much  water  we  thought  it  would  take  to  fully 

restore  fish  and  wildlife,  not  fully- -but  to  fully  meet  our 

current  understandings  of  what  fish  and  wildlife  needed  to  remain 
healthy. 

Chall:    Where  does  that  come  from?   Does  that  understanding  come  from 
scientific  studies  someplace? 

Nelson:   It  came  from  a  variety  of  different  sources.   Part  of  it  came  from 
the  Bay-Delta  hearings  record.   Actually  before  this  bill  passed, 
before  this  bill  was  actively  pursued,  the  state  water  board  had 
proposed  1,500,000  acre -feet  of  increased  flow  for  an  average 
year,  increased  flow  for  the  Bay  and  Delta.   That  was  the  November 
'88  draft  set  of  standards.   We  simply  looked  at  that  and  said 
that's  clearly  a  bottom  line  in  terms  of  how  much  water  we  think 
is  necessary  to  protect  the  Bay  and  Delta,  as  a  first  step.   We 
never  thought  those  were  fully  adequate  standards.   But  it  was 
clear  that  that  was  a  first  step  that  had  tremendously  sound 
scientific  support.   It  may  not  have  been  enough,  but  it  was 
clearly  a  bottom  line. 

Then  what  we  did  was  go  around  the  state  and  look  at  needs 
for  in- stream  flows  in  different  rivers  around  the  state.   So  we 


47 


Chall: 


looked  at  the  need  for  in- stream  flow  on  the  American  River,  on 
the  Stanislaus  River,  on  the  Sacramento  River.   We  looked  at  what 
might  be  possible  in  terms  of  restoring  the  San  Joaquin  River  to  a 
healthy  state  and  added  them  up  and  came  up  with  a  very  large 
number.   The  grant  total  was  as  I  recall,  it  was  close  to  6 
million  acre-feet- -it  was  a  big  number.   It  was  a  big  number. 

But  what  we  then  had  to  do  was  to  make  sure  that  those 
numbers  weren't  overlapping.   That  the  water  that  went  into  the 
American  River  to  restore  flows  there  couldn't  be  counted  twice  as 
it  flowed  through  the  Bay  and  Delta  to  provide  Bay  and  Delta 
needs.   We  had  to  take  that  into  account.   That  we're  dealing  with 
different  reaches,  and  different  timing. 

So,  we  finally  essentially  came  to  the  point  where  we 
convinced  Senators'  Bradley  and  Johnston's  offices  that  three 
million  acre-feet  would  be  a  fair  first  step  to  restore  fish  and 
wildlife.   That  when  you  look  at  the  valley,  the  CVP's  surface 
water  supplies  is  roughly  half.   Ballpark.   Senator  Johnston  came 
to  the  conclusion  that  there  was  a  credible  argument  that  three 
million  acre-feet  was  the  right  amount  of  water  as  a  first  step 
and  that  the  CVP's  fair  share  was  1,500,000  acre-feet. 

At  that  point,  Senators  Johnston  and  Bradley  made  it  clear 
that  they  thought  that  was  the  ballpark  level  of  protection  that 
they  wanted  to  provide  and  that  there  were  a  variety  of  ways  to 
provide  it.   You  could  provide  it  through  simply  dedicating  the 
water  or  you  could  do  what  the  final  bill  did  and  provide  a  mix. 
Provide  800,000  acre  feet  of  water  and  provide  a  pot  of  money  that 
could  then  go  out  and  purchase  additional  water. 

So  when  you  were  talking  about  a  need  for  three  million  acre -feet, 
that's  half  of  what  CVP-- 


Nelson:   That  would  be  valley-wide.   That  was  not  the  CVP's  share. 

Essentially  that  was  what  we  were  able  to  convince  Bradley  and 
Senator  Johnston  was- -they  accepted  that  that  was  a  very  credible 
scientifically  sound  number  that  they  could  stand  by  and  say, 
"This  is  the  amount  of  water  it  would  take  to  make  a  good  first 
step  to  restoring  central  valley  rivers,  wetlands,  and  Bay-Delta 
fisheries  and  that  the  CVP's  fair  share  is  half,  1.5  million  acre- 
feet. 


48 


The  Need  for  State  Cooperation  to  Provide  Additional  Water  and 
Money 


Chall:    Right.   So  the  other  1.5  million  acre -feet  is  to  come  from  what, 
the  State  Water  Project? 

Nelson:   What  Bradley  and  Johnston  and  George  Miller  said  was  the  state  has 
to  figure  out  how  to  come  up  with  that.   The  federal  government 
has  no  jurisdiction  over  that  water.   The  implication  there  was 
that  the  state  should  provide  it.   Some  should  come  from  the  state 
project,  and  some  should  come  from  local  water  projects,  of  which 
there  are  quite  a  few  in  the  valley  that  are  often  untapped.   But 
that  they  could  only  provide  the  federal  share . 

Chall:    In  this  bill,  you're  dealing  with  800,000  plus. 
Nelson:   In  the  final  act. 

Chall:    In  the  final  act,  so  the  other  1.5  million  acre- feet  of  water  is 
not  available  to  you. 

Nelson:   No.   What  they  said  was- -essentially  the  rationale  behind  the 

final  bill  was  that  the  federal  government  was  going  to  take  its 
best  shot  at  dividing  that  initial  level  of  protection,  that 
initial  amount  of  money  and  water  to  restore  fish  and  wildlife. 
And  that  the  state  needed  to  come  up  with  its  share  of  water  and 
money.   And  we're  still  waiting. 

Chall:    Would  some  of  that  water  have  been  dedicated  to  the  Delta  by  the 
decision  1630  which  the  governor- - 

Nelson:   Pulled  the  plug  on? 
Chall:    Yes,  was  that-- 

Nelson:   Let  me  take  that  in  two  parts.   What  the  bill  does  is  to  say  that 
the  primary  purpose  of  this  water  is  to  implement  the  goals  of  the 
act,  particularly  the  doubling  requirement.   The  requirement  to 
double  natural  production  of  the  anadramous  fisheries.   The  Fish 
and  Wildlife  Service  is  directed  to  develop  a  plan  to  meet  this 
goal. 

In  the  interim,  they're  working  with  interim  plans.   But  in 
three  years,  the  Fish  and  Wildlife  Service  needs  to  have  a 
doubling  plan.   The  water  is  to  be  used  to  implement  that  plan. 
Consistent  with  that  plan,  what  the  bill  says,  is  that  to  a 
maximum  extent  practicable,  water  should  also  be  used  to  comply 
with  Bay-Delta  hearings  requirements  and  with  Endangered  Species 


49 


Act  requirements.   Which  means  that  the  water  is  available  for 
those  two  purposes,  Bay-Delta  hearings  and  EPA  consistent  with  the 
plan.   That  the  doubling  plan  takes  priority  and  that  if 
additional  water  is  needed  in  order  to  double  the  fisheries  and 
meet  Bay-Delta  requirements  and  Endangered  Species  Act 
requirements,  that  the  CVP  would  have  to  provide  more  water. 

One  of  things  the  growers  have  been  arguing  now  is  that  all 
of  the  water  should  be  used  for  endangered  species  act  or  should 
be  used  for  Bay-Delta  hearings.   That's  very  clearly  not  the 
intention  of  the  act. 


Governor  Wilson  Voids  State  Water  Resources  Control  Board  Interim 
Draft  Decision  1630  (April  1.  1993) 


Nelson:   The  other  question  you  asked  is  why  the  governor  killed  1630? 
Chall:    Yes,  why  do  you  think  he  did? 

Nelson:   [Pause]   The  growers  asked  him  to.   I  think  it's  really  pretty 

much  that  simple.   When  1630  came  out,  it  was  roughly  half  of  what 
the  board  had  come  out  with  in  November  of  '88.   Ironically,  it 
was  around  800,000  acre -feet  impact  in  an  average  year. 

The  southern  California  community  said  that  they  could  live 
with  that.   They  could  live  with  1630.   They  asked  for  some 
modifications  to  allow  them  to  do  water  transfers,  but  the  message 
from  them  was  very  clear.   It  was  that  we  need  some  new  standards 
in  the  Delta.   The  ones  we've  got  now  are  clearly  not  cutting  it, 
we  know  that  we'll  have  to  give  up  some  water  in  order  to  protect 
the  Bay  and  Delta,  we're  willing  to  do  that,  grudgingly.  .They 
wanted  some  modifications  that  would  allow  them  flexibility  for 
water  transfers. 

At  first  it  looked  as  though  that's  where  the  staff  was 
going.   That  the  staff  was  saying,  okay,  we'll  try  to  find  a  way 
to  accommodate  water  transfers  while  providing  Bay-Delta 
protection,  and  for  a  time  that's  where  the  debate  was. 

Once  again,  just  as  we'd  seen  for  the  last  two  years  the 
growers  never  came  to  the  table.   Particularly  in  the  San  Joaquin 
Valley  they  very  rapidly  simply  declared  war,  and  attacked  with 
their  congressional  representatives,  their  state  assembly  and 
senators  and  especially  with  the  governor's  office. 

We  attempted  to  communicate  with  the  governor's  office.   We 


50 


asked  for  a  meeting.   We  said,  "If  the  governor's  going  to  step  in 
we'd  like  a  chance  to  meet  with  him  and  discuss  our  issues." 
Never  even  got  a  response' from  his  office.   I  happened  to  be  back 
East  working  on  implementation  issues  on  April  first  when  the 
governor's  press  conference  happened.   I  didn't  learn  about  it 
until  I  arrived  in  D.C.   Went  to  the  press  conference  the  next 
morning  and  was  absolutely  astonished.   Members  of  the  media  were 
asking  me  before  the  governor  made  his  announcement  whether  the 
governor  would  kill  this  draft.   I  said,  "No- -kill  the  standards- - 
I  didn't  think  the  governor  would  do  anything  that  dumb."   I  was 
astonished.   I  think  he  did  it  simply  because  the  growers  asked 
him  to.   Because  everybody  else,  all  of  the  urban  users  were 
saying- -they  were  sending  very  clear  signals  that  they  could  live 
with  something  like  this  set  of  standards. 

I  expected  the  governor  to  come  out  and  ask  for  some 
modifications,  if  he  said  anything  publicly  at  all.   I  was 
astonished.   It  was  quite  simple.   The  growers  asked  him  to  kill 
it.   He  didn't  do  them  any  favors.   It  has  forced  a  confrontation 
which  has  taken  control  of  water  policy  out  of  the  hands  of  the 
state.   The  federal  government  for  several  years,  unavoidably  is 
going  to  be  setting  Bay-Delta  standards  and  providing  protection 
with  the  Endangered  Species  Act.   The  governor  and  the  growers 
don't  have  a  leg  to  stand  on. 

Had  the  state  adopted  standards,  the  state  would  be  able  to 
go  credibly  to  the  Clinton  administration  and  say,  "We're 
responsibly  dealing  with  our  problems,  please,  work  with  us 
cooperatively  and  get  off  our  back."   When  the  governor  pulled  the 
plug  on  those  standards,  he  destroyed  any  credibility  the  state 
had.   What  he  said  was  that  the  Endangered  Species  Act  was  going 
to  run  everything  in  the  Delta  and  that  the  Fish  and  Wildlife 
Service  was  going  to  require  two  million  acre-feet  of  additional 
outflow. 

That  was  based  on  something  that  was  said  casually  by  a 
staffer  of  the  Fish  and  Wildlife  Service  in  a  completely 
unofficial  public  forum.   It  was  never  a  Fish  and  Wildlife  Service 
proposal.   It  wasn't  even  presented  as  a  proposal.   It  was  the 
upper  end  of  a  range.   It  was  a  very  vague  reference.   The 
governor  latched  onto  that  and  said  that  the  Endangered  Species 
Act  was  going  to  require  two  million  acre-feet.   Of  course  it's 
not  requiring  anything  near  that.   It's  actually,  ironically, 
requiring  something  quite  close  to  1630. 

Had  the  governor  let  the  state  board  do  it's  job,  the  state 
would  have  a  chance  at  working  with  the  feds,  with  EPA  and  with 
the  Fish  and  Wildlife  Service  cooperatively.   Right  now,  the  state 
needs  to  do  something  to  reestablish  some  credibility  and  show 


51 


' 


some  good  faith.   There  doesn't  seem  to  be  much  on  the  horizon. 

Chall:    Can  the  Central  Valley  Project  Improvement  Act  be  implemented 

without  some  Delta  standards?  What  does  it  do  about  the  Delta?   I 
noticed  there  is  "Delta"  in  the  language. 

Nelson:   Right.   It's  impossible  to  restore  fish  and  wildlife  in  the  Delta, 
Central  Valley  rivers,  and  wetlands  without  state  cooperation.   It 
simply  can't  be  done.   We  can  begin  implementing  the  bill  without 
state  cooperation.   But  it's  unavoidable  that  the  state  has  to  be 
involved  somehow.   We've  got  to  have  Bay- Delta  standards.   Now 
it's  clear  that  the  EPA  will  set  them  and  not  the  state.   But 
there  are  limits  to  the  EPA's  abilities  to  enforce  those 
standards.   The  state  needs  to  enforce  them.   The  fact  that  the 
fish  and  wildlife  is  also  looking  at  Endangered  Species  Act  issues 
means  that  the  feds  can  enforce  Endangered  Species  Act 
requirements  to  the  extent  that  the  Bay-Delta  standards  that  EPA 
sets  are  similar  to  Endangered  Species  Act  requirements.   Those 
the  federal  government  can  enforce.   That's  not  an  ideal 
circumstance  and  issues  that  are  not  endangered  species  issues 
will  not  be  easy  for  the  EPA  to  enforce  directly.   And  the  bureau 
can  control  deliveries  from  the  CVP  to  comply  with  standards. 
That's  just  one  issue. 

We  also  need  state  funding  in  order  to  move  all  of  the 
hardware  projects  forward.   We've  got  to  have  state  cooperation 
eventually.   Frankly,  the  federal  government  wants  that.   Bruce 
Babbitt  does  not  want  to  have  to  run  California  water  policy 
forever.   He  doesn't  want  to  run  it  at  all.   It's  a  hot  potato 
politically  and  he  knows  it.   It's  in  the  federal  government's 
interest  to  get  the  state  involved  responsibly.   I  think  they 
would  be  very  interested  in  seeing  that  happen.   But  it's  been 
impossible  for  the  last  several  years  to  open  lines  of 
communication  with  the  Wilson  administration  and  work 
cooperatively  and  come  to  any  agreements  with  them. 


George  Miller  Introduces  H.R.  5099:  Neeotiations  with  Central 
Valley  Congressmen  Weaken  the  Bill  (May  1992) 


Chall:    All  right,  now  let's  go  back  to  the  federal  level.   Miller  in  May 
introduced  his  H.R.  5099  which  was  similar  to  the  Johnston  bill 
you  said.   And  then  he  made  a  deal,  apparently,  with 
Representatives  Dooley,  Fazio  and  Lehman  which  weakened  the  bill. 
So  weakened,  some  have  said,  that  there  wasn't  much  difference 
between  it  and  2016.   So,  what  were  the  deals?  And  why  did  they 
occur? 


52 


Nelson: 


Nelson: 


Chall: 


Nelson: 


Chall: 
Nelson: 


I'd  need  to  pull  those  notes  out  to  get  the  details.   Essentially 
what  happened  was  we  started  losing  the  certainty.   What  we 
started  to  get  were-- 

** 

We  didn't  get  the  fish  and  wildlife  purpose.   Most  of  the  things 
in  Bradley 's  bill  that  gave  us  a  lot  of  certainty,  specific  levels 
of  money,  specific  levels  of  water,  project  purpose  and  so  forth, 
we  lost  them  and  they  became  vague. 


As  a  result  of  these  three? 
Lehman- - 


As  a  result  of  Miller's  working  with 


Right,  the  compromise  with  Lehman  and  Dooley.   It  was  a  better 
bill  than  Seymour's  bill,  but  it  was  not  a  bill  that  Share  the 
Water  supported.   That  bill  almost  immediately  exploded.   Stepping 
back  from  this  issue,  we  were  very  disappointed  with  that  bill. 
But  it  was  very  clear  that  Rick  Lehman  and  Vic  Fazio  and  Cal 
Dooley  had  done  a  tremendous  job  of  representing  their  interests. 
The  Senator  Seymour  strategy  always  was  not  to  come  to  the  table, 
to  say  no  to  everything  and  to  grandstand.   Fazio,  Lehman,  Dooley 
came  to  the  table  and  negotiated  with  Miller  and  cut  a  deal  that 
was  a  great  deal  for  their  constituents. 

Now  why  did  Miller  accept  this? 

I  think  it  was- -I  think  George  was  also  concerned  that  he  needed 
to  make  sure  that  he  had  a  bill  and  he  was  —  well,  we  had  always 
assumed  that  George  would  be  able  to  get  any  bill  he  wanted  out  of 
the  House.   We  knew  we  could  get  a  bill  out  of  the  House  but  we 
didn't  know  we  could  get  everything  we  wanted. 

I  think  George  wanted  to  make  sure  that  he  got  something  on 
the  floor  so  that  he  could  move  fast.   Especially  with- -not  so 
much  with  Dooley  and  Lehman- -but  particularly  with  Vic  Fazio  given 
his  status  in  the  party,  stature  in  the  House.   George  needed  to 
make  sure  that  he  dealt  with  some  of  their  issues.   So  he  cut  a 
deal  in  order  to  get  a  bill  out  of  the  House  and  onto  the  floor, 
out  of  committee  and  onto  the  floor. 

There  were  conflicting  versions  whether  George  thought  it  was 
actually  a  good  deal,  or  whether  George  was  doing  it  just  to  get 
it  out  of  committee.   I  think  it  was  clear  that  George  never 
thought  it  was  a  fully  adequate  bill  but  he  wanted  to  make  sure 
that  the  process  kept  moving. 

As  I  said,  we  certainly  never  supported  it,  but  this  one  of 
the  shortest  blips  on  the  radar  screen  of  the  history  of  the  bill 


53 


because  the  deal  was  announced  and  the  response  from  the  San 
Joaquin  Valley  was  overwhelming.   Dooley  and  Lehman  were 
essentially  called  back  to  California  by  their  constituents  and 
berated  by  their  constituents  for- -and  not  just  for  the  merits  of 
the  bill,  they  were  berated  for  sitting  down  with  George  Miller. 
They  were  berated  for  participating  in  the  political  process. 

Share  the  Water  people  were  at  some  of  these  public  meetings 
to  hear  the  beratings.   It  was  astonishing.   The  valley  really 
needed  somebody  to  stand  up  and  say,  you  can't  simply  sit  this 
out.   You  can't  ignore  the  needs  of  California's  environment  and 
urban  areas.    We  can  have  a  bill  that  will  cost  something  to  the 
ag  community  but  there  are  also  things  we  can  gain  through  this 
bill.   If  we  sit  down  and  deal,  we  can  make  sure  it's  a  fair  deal. 

The  reality  check  was,  if  we  don't  sit  down  at  the  table 
we'll  wind  up  with  a  bill  that's  far,  far  worse.   Nobody  ever  did 
that.   Cal  Dooley  tried  and  was  hammered  for  it.   Vic  Fazio 
succeeded  eventually  in  getting  some  of  his  people  to  sit  down  and 
deal.   Cal  Dooley  wasn't  able  to  do  that.   I  don't  think  it  was 
his  fault.   It  was  particularly  difficult  because  Senator  Seymour 
was  over  there  in  the  Senate  saying  that  he  would  make  sure  there 
was  no  bill.   As  long  as  the  Senator  made  it  clear  that  he 
wouldn't  negotiate,  that  there  would  be  no  bill,  that  the 
environment  wouldn't  get  a  drop  of  water  and  so  forth,  it  was 
impossible  for  anybody  to  negotiate.   The  Senator  from  California 
was  telling  them  they  didn't  need  to. 


, 
: 


Differing  Perspectives  on  the  Water  Issues  in  the  Sacramento 
and  San  Joaquin  Valleys 


Chall:    Fazio  has  a  different  constituency  then,  or  a  different 
constituency  than  the  others? 

Nelson:   Why  was  he  able  to?   First,  I  think  he's  a  more  senior  member.   I 
think  when  Vic  Fazio  said  to  his  people  that  this  is  a  real  issue, 
it's  not  going  to  go  away,  you've  got  to  deal  with  it,  I  think  Vic 
had  more  seniority  and  his  folks  listened  to  him.   Cal  was  a 
freshman  and  I  think  they  didn't- -when  Cal  said,  "I  can't  stop 
this  bill,"  they  said  "Try  harder." 

The  other  half  is  just  the  hydrology  of  the  situation.   The 
people  in  the  Sacramento  Valley  knew  that  environmental  issues 
weren't  simply  going  to  go  away.   The  rice  growers  had  had  real 
problems  with  the  Glenn  Colusa  Irrigation  District  [GCID] .   They'd 


54 


Chall: 
Nelson: 


been  nearly  shut  down  at  times  because  of  their  impact  in 
fisheries.   The  winter  run  salmon  had  become  listed  as  a 
threatened  species.   These  folks  knew  that  the  environmental 
issues  weren't  simply  going  to  go  away.  And  that  if  they  didn't 
do  something,  things  were  going  to  get  worse.   I  think  beyond  that 
it  finally  dawned  on  them  that  if  the  valley  stayed  together  that 
the  Sacramento  Valley  would  wind  up  paying  for  the  sins  of  the  San 
Joaquin.   As  the  winter  run  salmon  declined,  certainly  the 
Sacramento  Valley  growers  and  GCID  and  Red  Bluff  diversion  dam  and 
so  forth  were  a  big  part  of  that  decline.   But  what  happened  in 
the  Delta  was  a  big  part  of  it  as  well. 

If  nothing  happened  to  deal  with  the  San  Joaquin  Valley's 
impact  on  the  salmon  and  on  fisheries  and  so  forth,  then  the 
Sacramento  Valley  would  wind  up  paying  for  everybody's  sins.   They 
finally  recognized  that  it  was  in  their  interests  for  a  solution 
that  would  deal  with  the  whole  problem  and  make  sure  everybody  had 
to  pay  their  fair  share.   And  that's,  I  think,  where  the  split 
came.   And  there  was  a  vicious  split  between  Sacramento  and  the 
San  Joaquin  valleys  over  this  issue  because  the  rice  growers 
finally  realized,  they  needed  a  bill.   They  needed  a  bill  because 
they  knew  the  issues  weren't  going  to  go  away  and  because  if  a 
bill  didn't  happen,  the  Sacramento  Valley  would  pay  a 
disproportionally  high  burden  and  the  San  Joaquin  Valley  would  get 
off  scot  free. 

So  that's  why  Fazio  had  access,  apparently- -input  in  the  final-- 

In  the  final  bill.   Yes.   And  both  Vic  and  his  constituents 
ultimately  were  neutral  on  the  final  bill.   Which  we  thought  was  a 
tremendous  breakthrough.   We  were  able  to  work  with  the  rice 
growers  who  had  traditionally  been  one  of  the  big  evil  communities 
in  the  Central  Valley  ag  community  and  they  came  to  the  table.   We 
don't  see  eye  to  eye  certainly  on  all  issues,  but  they  came  to  the 
table,  responsibly,  participated  in  the  process.    The  final  bill 
reflects  their  interest  far  more  because  of  that. 


H.R.  5099  Passes  the  House  (June  19.  1992) 


Chall:    This  bill  5099,  then,  passed  the  House? 
Nelson:   Yes. 

Chall:    It  passed  the  House  [vote]  on  June  19th.   According  to  what  you 
have  written,  Congressman  [Sam]  Gejdenson  of  the  Merchant  Marine 
and  Fisheries  Committee  strengthened  the  bill  regarding  fisheries 


55 


and  water  pricing.   That's  in  your  material.2 
how  that  came  about? 


Can  you  tell  me 


t 


Nelson:   Yes.   There  were  substantial  fisheries  issues  in  this  bill  and 

Congressman  Gejdenson  wanted  to  make  sure  that  some  of  the  issues 
that  they  were  concerned  about  were  addressed.   Congressman 
Gejdenson' s  interest  was  one  of  the  reasons  that  tiered  pricing,  a 
modest  tiered  pricing  program,  was  included  in  the  final  bill. 
Because  it  doesn't  take  a  genius  to  figure  out  that  if  you  start 
charging  something  closer  to  market  rates,  there's  an  incentive  to 
conserve  and  the  more  conservation,  the  more  water's  left  for  fish 
and  wildlife. 

So  fisheries  interests  have  long  argued  for  market  pricing, 
or  something  closer  to  market  pricing  in  order  to  provide  through 
those  market  forces,  water  to  restore  fish  and  wildlife. 

Chall:    That  went  into  that  bill  and  stayed  in. 
Nelson:   You  mean  in  the  conference.   Right. 

Chall:    That's  interesting.   In  5099  was  the  purpose  for  fish  and  wildlife 
protection  left  in  or  taken  out?   Do  you  recall? 

Nelson:   In  5099,  in  the  final  version? 

Chall:    Was  it  in  the  5099  as  it  passed  in  June? 

Nelson:   Yes,  fish  and  wildlife  purposes  is  in  the  final. 


! 


Chall: 


Nelson: 


Stuart  Somach  and  Tom  Graff  Negotiate  an  Alternative  Version  to 
the  Competing  Water  Bills 


Now,  this  is  considered  a  generally  weak  bill.   Tell  me  why  Tom 
Graff  and  Stuart  Somach  decided  to  get  into  the  act.   Here  we  have 
a  bill  [5099]  that  is  considered  no  good  by  anybody.   It's  pretty 
weak  and  doesn't  really  matter  apparently.   What  did  Graff  and 
Somach  want  to  accomplish? 


Well,  they  never  really  cut  a  deal, 
overlooked  in  this  process. 


That's  what's  often 


Chall:    What  did  they  do? 


2The  Bay  Watcher.  August  1992,  p.  1. 


56 


Nelson:   Our  conversations  with  the  growers--!  gave  you  a  copy  of  our 

history  of  negotiations- -every  time  we  sat  down  with  the  growers, 
they  walked  out  of  the  room,  the  talks  fell  apart.   Something 
happened  to  bring  negotiations  to  an  end.   At  the  same  time,  we 
were  wondering  what  was  going  to  happen  in  the  Senate  and  on  the 
House  side,  but  particularly  on  the  Senate  side,  whether  we  would 
be  able  to  move  a  bill  at  all. 

Tom  Graff  and  Stuart  Somach  did  something  that  took  a  lot  of 
guts.   They  set  their  organizational  hats  aside  and  went  off  into 
a  room  and  started  negotiating  directly.   And  they  made  it  very 
clear  from  the  outset  that  they  were  negotiating  as  individuals 
and  that  they  were  not  —  that  their  organizations,  their  clients, 
the  members  of  Share  the  Water  were  not  obligated  to  support  what 
they  came  up  with.   They  were  coming  up  with  something  that  the 
two  of  them  were  looking  at  in  order  to  see  if  they  could  come  up 
with  a  fresh  approach. 

We  always  felt  that  we  knew  what  the  end  result  we  wanted 
was.   We  wanted  fish  and  wildlife  restoration.   We  also  knew  that 
there  were  a  whole  host  of  different  ways  to  get  there.   I  think 
that  Stuart  and  Tom  felt  that  they  might  be  able  to  break  the 
logjam  to  blaze  a  new  trail.   So  they  sat  down  and  tried  to  work 
on  a  completely  different  approach. 

What  they  came  up  with  in  terms  of  their  proposal  was  a  draft 
proposal  that  left  some  of  the  tougher  questions  unanswered.   They 
didn't  deal  with  all  the  hardware  issues,  they  weren't  even  able 
to  deal  with  what  should  have  been  one  of  the  easier  issues  for 
the  growers  to  deal  with:  they  didn't  deal  with  providing  supplies 
for  wildlife  refuges.   The  Seymour  provisions  for  wildlife  refuges 
were  worse  than  the  status  quo.   It  was  a  disaster.   They  weren't 
even  able  to  deal  with  that  issue.   Of  course  the  biggest  issue 
they  weren't  able  to  deal  with  was  money.   What  was  behind 
Somach/Graff  was  a  hope  that  by  raising  a  really  big  pot  of  money 
they  could  simply  buy  fish  and  wildlife  water  without  having  to 
formally  reallocate  water  from  the  CVP.   That  if  you  could  put 
together  a  large  enough  pot  of  money,  you  could  go  out  onto  an 
open  market  and  buy  fish  and  wildlife  water. 

Chall:    Who  would  get  the  money?  Where  did  the  money  come  from? 
Nelson:   Well,  that's  what  they  never- -as  I  said,  they  never  cut  a  deal. 
Chall:    Who  was  going  to  buy-- 

Nelson:   Oh,  the  money  would  have  gone  through  the  Bureau  of  Reclamation, 
the  Fish  and  Wildlife  Service.   It  would  have  gone  through  the 
Secretary  of  the  Interior.   But  they  never  cut  the  deal.   They 


* 


57 


never  agreed  what  the  right  amount  of  money  was .   And  they  never 
agreed  regarding  who  should  pay  into  the  fund.   This  is  where  Tom 
was  roundly  criticized  by  some  of  the  enviros  for  sort  of  giving 
on  some  issues  like  contract  renewal  and  fish  and  wildlife  project 
purposes  without  getting  a  firm  commitment  in  terms  of  the  amount 
of  money  and  the  sources  of  money  for  fish  and  wildlife. 

However,  they  never  closed  the  deal.   Tom  and  Stuart  never 
came  to  an  agreement  on  what  were  the  critical  issues.   They  stuck 
on  the  same  issues  that  we  always  got  stuck  on:   money  and  water. 
And  the  growers  wouldn't  give  up  either. 

Tom  and  Stuart  went  back  to  D.C.  essentially  to  say,  "This  is 
far  as  we've  gotten,  this  is  as  far  as  we  can  get,  it's  a 
different  framework  and  we  haven't  resolved  some  of  the  tough 
issues ,  but  maybe  we  can  make  more  progress  with  this  model  than 
with  our  existing  ones."   Stuart  actually  flew  back  to  D.C.  and  he 
was  instructed  by  his  clients  before  he  went  into  the  room  to 
brief  Miller  and  Bradley  that  he  was  not  allowed  to  go  into  the 
room.   So  Stuart  had  to  sit  outside  the  room  while  Tom  explained 
what  they  had  been  working  on. 

It  was  a  deal  that  was  stillborn  because  Tom  and  Stuart  never 
reached  an  agreement.   What  they  did  do  was  start  going  down  a 
very  different  path.   One  that  didn't  rely  on  dedicating  blocks  of 
water.   That  didn't  rely  on  a  clear  statement  of  fish  and  wildlife 
purpose.   But,  they  never  closed  the  deal. 

Chall:   But  didn't  that  sort  of  negate  everything  that  you  had  been 

working  for?   The  thrust  that  you  explained  to  me  a  week  or  so  ago 
and  you  are  still  talking  about.   Didn't  that  negate  it  all? 

Nelson:   Well,  Share  the  Water  didn't  support  Somach/Graff .   We  didn't 
support  it.   We  started  working  on  critiques  of  it.   As  I  was 
looking  through  my  notes  I  realized  that  I  don't  think  we  ever 
finished  the  critique  of  it  because  it  died  before  we  had  a  chance 
to.    We  were  concerned  about  the  road  Somach/Graff  was  going 
down.   Because  we  were  concerned  about  making  sure  that  we  could 
get- -it's  a  very  uncertain  thing  to  provide  and  provide  the  right 
sized  pot  of  money  to  buy  fish  and  wildlife  water. 

Chall:    That  would  have  to  be  water  transfers  basically. 

Nelson:   Right.   Water  transfers  which  are  unpredictable  things.   No  one 
has  ever,  anywhere,  done  large  scale- -really- -water  transfers  on 
this  scale  for  fish  and  wildlife  protection.   It  had  never  been 
done.   So  we  sort  of  felt  we  were  going  into  uncharted  territory 
and  we  were  very  nervous  about  it.   At  the  same  time,  in  defense 
of  Tom,  I  think  Somach/Graff  was  a  part  of  breaking  the  logjam. 


58 


When  you  look  at  the  final  version,  what  Bradley  and  Miller  and 
Bennett  Johnston  took  from  Somach/Graff  was  the  flexibility  of 
realizing  that  you  could  rely  on  a  mix  of  money  and  water  in  order 
to  find  fish  and  wildlife  protection. 

The  final  bill  does  include  a  substantial  restoration  fund 
that  allows  for  water  marketing  to  be  used  as  a  tool  to  protect 
fish  and  wildlife.   I  do  think  it  was  an  important  part  of 
breaking  the  logjam  of  providing  an  additional  approach  that  was 
clearly  a  part  of  the  final  bill.   And  frankly  we  were  very 
critical  of  Tom  at  the  time  for  cutting  what  a  lot  of  us  thought 
was  a  lousy  deal  and  Tom  said  in  his  defense  that  he  had  never 
closed  the  deal,  they  never  came  to  an  agreement.   But  it's  clear, 
I  think,  that  Somach/Graff  helped  make  it  a  stronger  bill  in  the 
end. 

Chall:    Apparently  Metropolitan  Water  District  opposed  it  too. 
Nelson:   Right.   Nobody  ever  supported  it.   Not  even  Stuart  or  Tom. 

Chall:    William  Kahrl  wrote,  "Under  the  proposal  the  Defense  Fund 

accepted,  agribusiness  would  get  to  keep  its  water  forever.   After 
an  initial  environmental  impact  review,  they'd  never  have  to  face 
another.   And  their  supplies  could  never  be  reduced  no  matter  how 
desperately  the  water  was  needed  elsewhere.   Under  this  proposal, 
however,  agribusiness  could  be  relieved  of  having  to  pay  a  penny 
for  fish  and  wildlife  restoration.   Whole  regions  of  the  state 
could  be  stripped  of  their  entire  water  supply,  without  receiving 
compensation  or  protection.   And  the  thirsty  cities  of  California 
wouldn't  be  able  to  get  a  drop  unless  they  first  agreed  to  pay 
hundreds  of  millions  of  dollars  for  access  to  a  water  system 
they've  already  paid  billions  to  develop."3 

Nelson:   That's  simply  not  true.   Not  in  that  sense.   As  I  said  they  never 
came  to  a  final  agreement,  but  one  of  the  funding  mechanisms  they 
talked  about  was  having  urban  areas  pay  an  access  fee.   A  big 
access  fee.   If  you  wanted  access  to  CVP  water  you  would  have  to 
pay  a  large  access  fee  into  the  restoration  fund  in  order  to  help 
pay  for  fish  and  wildlife. 

The  rationale--!  think  there  is  good  rationale  there --is  that 
if  you're  going  to  add  another  straw  into  the  CVP  system,  you're 
stressing  a  system  that's  already  highly  stressed.   So  when  you 
come  into  that  system,  you  should  pay  a  portion  of  the  cost  of 
fixing  the  problems.   It's  something  that's  often  talked  about 


3William  Kahrl,  "The  Drowning  of  Water  Reform, 
August  1992,  p.  20. 


California  Republic. 


59 


with  development  projects.   When  development  projects  come  on  line 
they  need  to  make  sure  that  the  communities'  problems  don't  get 
worse.   That  they  get  better.   They  pay  for  fire  services,  or 
police  services,  or  schools  or  whatever.   They  sometimes  go  beyond 
simply  the  needs  of  that  individual  project.   They  serve  the 
community  at  large.   It's  the  same  rationale  with  the  access  fee. 

Chall:    Is  that  in  your  bill? 

Nelson:   No,  it's  not  in  the  bill.   What's  in  the  final  bill  is  a  surcharge 
on  transfers.   Instead  of  saying  you've  got  to  pay  a  big  chunk  up 
front  in  order  to  have  access  to  the  CVP,  what  there  is  in  the 
final  bill  is  a  twenty- five  dollar  surcharge  on  transfers  on  water 
that's  transferred  from  current  CVP  users  to  non-users -- 

Chall:    Twenty- five  dollars  an  acre- foot? 

Nelson:   Right.   And  that  goes  into  the  restoration  fund.   So  that  the 

concept  of  making  sure  that  communities  that  come  into  the  CVP  as 
a  result  of  this  bill  help  pay  for  some  of  the  cost  of  restoring 
fish  and  wildlife.   That  concept  is  still  in  the  bill. 


The  Conference  Committee  Develops  the  Final  Bill:  Title  34. 
Central  Valley  Project  Improvement  Act,  a  Section  of  the  Omnibus 
Water  Bill  H.R.  429  (September  1992)* 


Congressional  Members  and  Their  Staffs  on  the  Inside 


Chall:    All  right,  now  we  get  into  the  last  month  or  so  of  the  drafting. 
In  September,  it  went  to  a  conference  committee.   Right?  Now  the 
principle  people  in  the  conference  committee  would  have  been 
Miller,  Bradley,  and  Johnston? 

Nelson:  Well,  a  few  more  than  that. 

Chall:  Those  were  the  three  Congressmen- - 

Nelson:  Those  were  the  central  players- - 

Chall:  Okay,  then  who  else? 


^Public  Law  102-575,  The  Reclamation  Projects  Authorization  and 
Adjustment  Act  of  1992. 


60 


Nelson: 

Chall: 
Nelson: 

Chall: 
Nelson: 


The  two  people  I  would  add  to  that  were  Vic  Fazio  and  Malcolm 
Wallop. 


Chall: 


Nelson: 


Chall: 
Nelson: 


Those  are  both-- 

Malcolm  Wallop  is  the  Republican  Senator, 
minority  Senator  on  the  Energy  Committee. 
course,  on  the  House  side. 


He's  the  senior 
And  Vic  Fazio,  of 


Fazio  is  a  Democrat,  isn't  he?   But  Wallop  is  a  Republican? 

Right.   As  I  mentioned  before,  essentially  what  happened  was, 
Malcolm  Wallop  took  over  negotiations  for  the  minority.   For  the 
Republicans  on  this  bill  because  Senator  Seymour  wouldn't  come  to 
the  table.   Bradley,  Johnston,  and  Miller  knew  that  a  filibuster 
was  a  real  possibility  on  this  bill  and  that  they  couldn't  simply 
stonewall  the  Republicans  and  have  a  conference  that  would 
survive.   They  needed  to  make  sure  that  the  Republicans  felt  that 
the  CVP  and  John  Seymour  had  gotten  a  fair  deal. 

Who  would  have  been  at  Wallop's  ear  on  the  outside,  talking  to 
him?  Who  was  representing  the  CVP  before  Wallop? 

Who  was  speaking  to  Wallop  on  behalf  of  the  CVP?  You  know,  I 
assume  that  the  CVP  was  talking  to  Wallop's  staff.   That  they  were 
probably  talking  to  Stuart  Somach.   They  may  have  been  talking  to 
Jason  Peltier.   But  sitting  back  there  and  watching  the  process, 
they  were  noticeably  absent.   There  was  not  a  highly  visible 
grower  presence  back  there  while  the  conference  committee 
happened. 

It  was  not  a  conference  committee  in  the  sense  of  getting  all 
of  the  Senators  into  the  room  at  the  same  time;  it  was  drafts 
passed  from  staff  member  to  staff  member  to  staff  member.   It 
would  go  from  the  Senate  majority  to  minority  side  to  see  what 
they  thought,  then  go  to  the  House  side  to  see  what  they  thought. 
And,  as  I  said,  you  have  to  talk  about  the  five  major  players  in 
terms  of  their  staffs  who  were  actively  involved  in  crafting  that 
final  bill. 

Was  Fazio  a  conduit  for  the  CVP  even  though  he  was  a  Democrat? 

He  was  very  much  an  active  part  of  producing  the  final  product.   I 
don't  know  how  closely  he  was  communicating  with  the  San  Joaquin 
Valley.   It's  very  clear  that  he  was  communicating  very  closely 
with  the  rice  industry  because  Share  the  Water  was  communicating 
closely  with  the  rice  industry.   We  knew  that  they  were  engaged. 
They  were  looking  at  different  alternatives  and  making 
suggestions.   My  impression  is  that  a  lot  of  people,  by  the  time 


61 


it  got  to  this  point  in  the  San  Joaquin  Valley,  a  lot  of  people 
were  figuring  on  John  Seymour's  filibuster  and  the  president's 
veto.   They  were  not  actively  engaged,  they  were  not  nearly  as 
actively  engaged  in  trying  to  shape  what  the  final  bill  looked 
like. 


Urban  and  Business  Interests  on  the  Outside 


Chall:    On  the  outside,  were  there  also  people  like  let's  say  Boronkay  and 
the  business  people? 

Nelson:   Oh,  absolutely. 
Chall:    Did  they  have  input? 

Nelson:   MET,  Carl  Boronkay,  and  some  other  folks,  but  especially  Carl. 
Bob  Will  their  lobbyist  back  East.   MET  was  very  much  an  active 
part  of  the  process.   Miller  and  Bradley  always  knew  from  the 
beginning  of  this  process,  they  knew  that  they  were  going  to 
produce  a  bill  that  was  not  just  environmental  in  focus.   As  a 
matter  of  fact,  George  has  often  said  that  he  originally  thought 
of  this  bill  as  the  Central  Valley  Fish  and  Wildlife  Restoration 
Bill  and  as  he  thought  about  it,  he  realized,  that's  not  what  it 
was.   This  was  a  bill  that  was  good  for  the  California  economy  and 
environment  and  that's  why  it  was  finally  named  the  Central  Valley 
Project  Improvement  Act. 

They  always  believed  that  there  needed  to  be  fish  and 
wildlife  restoration  and  reform  that  would  open  up  the  CVP.   That 
was  a  lot  of  different  things.   That  was  allowing  transfers  to 
happen  more  freely.   It  included  the  tiered  pricing  requirements. 
It  shortened  contract  renewal  terms,  requiring  conservation.   A 
whole  host  of  things  that  were  real  reform  of  the  project.   So  it 
absolutely  was  key  to  make  sure  that  MET,  the  urban  areas  and  the 
business  community  supported  the  final  bill. 

Chall:    In  terms  of  the  business  community,  who  was  representing  them  do 
you  think?   Somebody  said  that  maybe  it  was  the  Bank  of  America 
president.   Was  he  that  close  to  the  center? 

Nelson:   Mike  McGill  was  the  point  person,  I  think,  who  was  following  the 
bill  for  the  business  community  and  making  sure  that  it  was  in 
their  best  interests.   We  were  never  exactly  sure  how  deep  Bank  of 
America's  involvement  was.   To  this  day,  I  don't  really  know  how 
deep  Bank  of  America's  involvement  was.   Not  so  much  in  the 
conference  but  in  the  president's  signature.   But  it  is  clear  that 


62 


Transamerica,  that  Jim  Harvey  of  Transamerica  was  the  point  senior 
person  in  the  business  community  supporting  the  bill. 

We  have  heard  rumors  about  all  sorts  of  players  and  people 
who  weighed  in- -we 're  getting  a  little  ahead  regarding  the 
president's  signature—we  heard  all  sorts  of  rumors  that  we've 
never  substantiated  and  never  will  regarding  where  support  for 
this  bill  came  from.   It  came  from  all  over  the  place.   We  were 
amazed.   We'll  never  know  whether  some  of  these  rumors  were  true 
but  the  final  support  for  the  bill- -we '11  get  to  this  in  a  little 
bit- -was  amazing. 


429  Passes  the  House  on  a  Voice  Vote  at  1:00  A.M.  (October  6. 


Chall:    That  bill,  that's  the  one  that  passed  the  House  on  a  voice  vote  at 
1:00  A.M.? 

Nelson:   Right.   Well,  what  they- -there  were  a  whole  host  of  votes  at  the 
House  level.   There  were  I  think  two  roll  call  votes  and  then  one 
final  vote.   There  were  votes  to  send  it  back  to  committee,  there 
were  votes  to  amend,  there- -House  rules,  the  Senate  is  a  free-for- 
all,  the  House  has  very  elaborate  byzantine  rules- -so  there  were  a 
whole  host  of  votes  on  the  House  side. 

We  sat  up  in  the  gallery  and  watched  as  the  ticker  ran  to  see 
if  we  had  the  votes.   The  first  vote  was  very  close.   After  that 
first  vote,  the  next  vote  got  a  little  better  for  us  and  the  final 
one  was  the  House --by  the  time  they  got  to  the  actual  vote  on 
approving  the  conference  report,  it  was  pretty  clear  that  we  won 
and  it  was  approved  on  a  voice  vote.   Which  kind  of  astonished  me. 

Chall:    It  was  pretty  late,  but  they  didn't  want  to  take  a-- 

Nelson:   Oh,  that  wasn't  late. 

Chall:    Nobody  wanted  to  be  on  record? 

Nelson:   We  were  all  hoping  that  we'd  have  a  roll  call  so  that  we  could  see 
who  would  vote  for  the  final  product,  but  by  the  time  it  got  to 
that  point,  I  knew  that  that  bill  was  going  through.   Therefore, 
the  roll  call  really  wasn't  that  important.   Because  the  way  the 
House  works,  House  members  will  often  be  told  that  it's  okay  if 
they  vote  against  this  bill  because  it's  clear  they've  got  the 
votes  to  go  through.   They'll  give  people  permission  to  vote 
against  it. 


63 


Often,  the  most  important  thing  is  not  seeing  how  they  vote, 
but  when  they  vote.   If  they  vote  early  on  or  late. 


Chall:    What  kind  of  lobbying  was  needed  at  that  point,  on  the  floor? 
Nelson:   On  the  House  floor? 
Chall:    Yes. 

Nelson:   On  the  House  floor,  Manuel  Lujan  was  walking  around  the  House 

floor  collaring  Republicans,  trying  to  make  sure  they  were  voting 
against  it.   Bill  Bradley  was  down  on  the  House  floor,  George 
Miller  as  well,  talking  with  everybody  they  could  get  their  hands 
on.   There  was  an  awful  lot  of  action  on  the  floor  and  a  feeding 
frenzy  around  the  door  as  lobbyists  asked  members  to  come  out  so 
that  they  could  speak  with  them  about  the  final  bill. 

It  was  a  real  lobbying  feeding  frenzy.   By  the  time  it  got  to 
that  point,  the  CVP  lobbyists  were  the  only  ones  who  were  trying 
to  kill  the  thing.   Everybody  who  was  in  the  final  bill,  the 
Central  Utah  Project,  a  whole  host  of  other  projects  were  there 
with  their  lobbyists  and  a  couple  of  lobbyists  hired  by  growers 
trying  to  kill  it. 

When  House  members  come  in  during  a  voting  process,  they  sort 
of  run  a  gauntlet  of  lobbyists  who  yell  at  them,  thumbs  up  or 
thumbs  down,  as  they  go  in  the  door  if  they  don't  stop  to  talk 
with  people.   So  the  lobbying  on  the  outside  was  fast  and  furious, 
and  on  the  inside  Bradley,  Manuel  Lujan,  and  George  Miller  were 
circulating,  talking  to  people.   While  we  sat  up  in  the  galleries 
relatively  helpless. 

Chall:    Who  are  the  we  who  sat  in  the  gallery? 

Nelson:   Oh,  at  this  point  it  was  myself,  David  Weiman  our  D.C.  lobbyist, 

David  Conrad  who  worked  for  National  Wildlife  Federation,  Ed  Osann 
who  was  also  at  National  Wildlife  Federation  may  have  been  there 
as  well.   By  this  point  in  the  process,  I  think  I  was  the  last 
Californian  left  in  D.C.   David  Yardas  and  Dave  Behar  had  been 
there  earlier  on.   I  was  the  only  one  left  at  that  point. 

Chall:    So,  it  passed  as  H.R.  429  at  that  time? 
Nelson:   Yes. 


64 


Senator  Seymour  Attempts  a  Filibuster 


Chall: 


Nelson: 


Then  it  went  to  the  Senate. 
so,  didn't  he,  or  try  to? 


Seymour  did  filibuster  for  a  day  or 


Chall: 


Nelson: 


Right.   It  was  a  bizarre  process,  he  did  start  filibustering  it 
and  basically  the  Senate  minority  decided  that  they  weren't  going 
to  allow  the  filibuster  to  continue.   They  came  to  an  agreement 
that  would  allow  them  to  negotiate.   They  did  something  that 
people  told  me  was  unheard  of.   Some  of  the  folks  in  D.C.  said 
they  had  never  seen  this  happen  before.   What  Seymour  did  in  order 
to  launch  his  filibuster  was  to  ask  the  Senate  clerk  to  read  the 
bill.   Which  is  something  apparently  you  can  do.   Well,  it's  a 
hell  of  a  thick  bill.   The  Senate  clerk  started  reading. 

You  mean  the  entire-- 

The  whole  omnibus  bill,  beginning  to  end.   I  was  at  this  point 
sitting  in  somebody's  office  watching  it  on  cable  and  the  clerk 
was  sitting  in  an  empty  Senate  reading  the  bill.   Page  after  page. 
It  was  astonishingly  silly.   Primarily  as  the  minority  members 
were  talking  with  Seymour,  I  think,  trying  to  figure  out  what  they 
were  going  to  do.   They  finally  came  to  an  agreement  that  allowed 
them  to  continue  whereby  the  bill  would  deemed  to  have  been  read 
at  a  rate  of  I  think  it  was  sixty  pages  an  hour.   So  Seymour 
hadn't  given  up  his  rights  to  have  the  bill  read,  but  they  let  the 
poor  clerk  go  home,  and  they  agreed  that  as  the  clock  ticked, 
somebody  would  sit  there  and  turn  pages  of  the  bill.   A  remarkable 
parliamentary  maneuver. 

That  then  gave  them  room  to  negotiate.   We  weren't  only 
dealing  with  the  water  bill.   We  were  still  dealing  with  energy 
and  some  tax  issues  at  that  point,  Senate-wise.   It  was  clear  that 
there  were  a  number  of  potential  filibusters. 

What  they  did  finally  was  to  package  them  all  and  come  up 
with  an  agreement  that  allowed  those  bills  to  move  through  and 
gave  time  to  different  Senators  to  express  their  opinions.   It 
broke  [Alphonse]  D'Amato's  filibuster  as  well  as  Senator  Seymour's 
filibuster.   They  came  up  with  an  agreement. 

And  basically  I  think  what  happens  there  is  that  once  it's 
clear  that  there  are  enough  votes  to  end  debate- -once  they  have 
enough  votes  for  cloture--the  Senator  knows  that  he  doesn't  have 
enough  votes  to  make  a  filibuster  stick.   At  that  point,  they 
start  saving  face.   The  way  they  save  face  is  by  allowing  several 
hours  of  debate  at  the  end  of  which  the  Senate  votes.   So  the 
Senate  gave  Senator  Seymour  six  hours,  I  think,  to  debate.   At  the 


65 


end  of  which  Senator  Bradley  was  allowed  a  couple  of  hours  and 
then  the  Senate  voted. 

So  Senator  Seymour  sat  in  a  nearly  empty  Senate  chamber  with 
himself  and  his  staff  and  Bradley  and  his  staff  and  I  was  one  of 
half  a  dozen  people  in  the  gallery.   There  was  nobody  there. 
Senator  Seymour  went  on  for  hours  and  hours  railing  against  the 
bill,  waiting  for  his  six  hours  to  expire.   Then,  when  his  time 
was  up,  Senator  Bradley  responded- -it  struck  me  as  really 
interesting  at  this  point. 


Senator  Bradley  Responds 


Nelson:   Bradley  knew  he'  had  won  at  this  point.   But  he  spent  almost  all  of 
his  time,  carefully  responding  to  every  argument  that  he  had  seen 
both  Seymour  raise  and  the  growers  raise  in  the  media.   He  went 
back  into  his  file,  had  his  staff  go  back  into  his  file  and  pull 
out  letters  from  the  business  community  when  they  were  told  about 
the  lack  of  business  support  for  the  fish  and  wildlife  language. 
Senator  Bradley  went  back  and  pulled  out  his  rationale  and  he  put 
all  of  that  information  in  the  record.   It  was  really  interesting 
to  watch  him.   I  was  sitting  above  Bradley  in  the  gallery. 

As  Senator  Seymour  made  a  point,  I  would  look  down  and 
Bradley  would  lean  down  to  Tom  Jensen  or  Dana  Cooper  and  they'd 
say  something--!  couldn't  hear  it- -and  Jensen  or  Dana  would  go 
through  their  files  and  they'd  pull  out  the  memo  that  responded  to 
that  issue.   Bradley  simply  stacked  them  up  on  the  table  and  when 
Seymour  was  done,  Bradley  went  through  and  rebutted  all  the  points 
that  Seymour  had  made  and  other  points  that  had  been  made  in  the 
media  during  this  point  in  the  process.   Very  clearly  trying  to 
lay  out  his  record.   I  thought  it  was  really  interesting  to  do 
that  once  it  was  clear  that  he  had  won.   And,  nobody  was  watching. 


H.R.  429  Passes  the  Senate  (October  8.  1992) 


Chall:    But  it's  in  the  record.   When  that  was  finished,  the  Senate 

members  moved  in  and  voted.   As  I  see  it,  it  was  passed  eighty - 
three  to  eight. 

Nelson:   Right. 


66 


Chall:    Do  you  know  who  the  eight  were? 

Nelson:   Oh,  I  did.   I've  forgotten.   One  of  them  was  Seymour.   And  I've 
forgotten  who  the  other  seven  were.   I'd  have  to  look  that  up. 
But  it  was  interesting  that  those  eight  votes  were  late.   Those 
were  sympathy  votes  from  the  Republican  side  of  the  aisle  for 
Senator  Seymour.   I  was  astonished.   I  don't  think  anybody 
expected  the  vote  to  be  that  lopsided. 

Once  the  filibuster  was  broken,  some  of  the  Republican 
Senators,  especially  eastern  Republican  Senators  who  didn't  have 
any  substantive  stake  in  the  bill,  were  free  to  protect  Senator 
Seymour.   I'm  sure  that  Senator  Seymour  was  desperately  going 
around,  trying  to  get  Republicans  to  vote  with  him  to  make  him 
seem  not  so  ineffective.   Eighty- three  to  eight,  when  he  couldn't 
even  carry  a  majority  of  the  Republicans  in  the  Senate  was  a  hell 
of  a  rebuke.   I-  was  astonished  at  the  final  vote. 


Analyzing  the  Final  Bill 


Chall:    This  final  act,  do  you  think  that  it  was  an  improvement  over  what 
you  had,  initially  hoped  that  it  would  be?  Were  you  in  the 
environmental  community  satisfied  with  the  bill? 

Nelson:   If  you  compare  it  with  the  original  bills,  there  is  absolutely  no 
doubt  that  the  final  bill  is  stronger  than  the  bill  started  out 
originally.   There  were  pieces  of  other  bills  that  we  would  have 
preferred.   Obviously,  we  would  have  preferred  the  chairman's  mark 
of  1.5  million  acre  feet  to  the  800,000,  but  that  mark  didn't  have 
the  same  restoration  fund  approach  in  it. 

It  is  by  far,  I  think,  the  best-written  bill.   This  bill  got 
an  awful  lot  of  attention.   I  think  the  final  bill  had  a  lot  of 
hard  work  put  into  it  by  a  lot  of  people.   By  the  time  they  got  to 
the  conference  committee,  everybody  who  was  around  that  table  was 
trying  to  make  it  work.   So  the  minority  staff  who  earlier  had 
been  given  instructions  to  try  to  stop  the  process  or  at  least  sit 
out,  were  given  direction  to  come  to  the  table  and  make  sure  that 
the  final  bill  worked. 

There  are  some  real  bright  experienced  staffers  on  that  side 
of  the  aisle,  who  came  in  and  critiqued  the  bill  and  said,  "This 
will  work,  and  that  won't  work."   I  think  the  final  bill 
benefitted  by  that. 


67 


Senator  Malcolm  Wallop's  Participation 

Chall:    Those  were  people,  you  say,  from  Wallop's  staff  primarily? 

Nelson:   Right. 

Chall:    I  guess  the  names  are  available. 

Nelson:   Oh,  folks  like  Gary  Ellsworth  and  Jim  Burney.   When  we  met  with 
them  earlier,  I  don't  remember  when  we  first  sat  down  with  Gary 
and  Jim  Burney,  they  said,  "We've  got  the  votes,  we  can  sustain  a 
filibuster,  we're  going  to  kill  this  bill.   We're  going  to  kill 
the  CVP  title.  And  the  Omnibus  Bill  will  move  without  it."    We 
thought  they  were  bluffing  at  that  point,  but  they  were  not 
working  with  Miller  and  Bradley  to  craft  a  final  CVP  title.   They 
said,  "It's  going  to  be  the  Seymour  bill  or  it's  going  to  be 
nothing. " 

As  we  got  into  conference  committee- -as  they  cut  the  deal-- 
essentially  Malcolm  Wallop  said,  "Substantively ,  this  is  the  right 
outcome,  now  go  back  and  craft  the  bill  to  make  sure  that  it's 
going  to  work  properly."  And  this  is  a  tremendously  complicated 
piece  of  legislation.   I  think  it's  by  far  the  most  tightly 
written  of  all  the  versions  we-- 


The  Bill  is  Fair  to  Farmers  and  the  Environment 


Chall: 


Nelson: 


Chall: 

Nelson: 
Chall: 


In  other  words,  you're  saying  that  Wallop  helped  craft  a  bill  that 
he  felt  would  work  because  he  thought  it  was  going  to  pass. 

Yes.   Not  only  did  he  think  it  was  going  to,  he  knew  it  was  going 
to  pass,  he  wanted  it  to  pass.   Although  we  don't  know  this,  I 
assume  that  at  some  point,  he  said  to  Senator  Seymour,  "You're  not 
negotiating  here,  you're  not  trying  to  produce  a  final  bill.   I'm 
going  to  step  in  and  cut  a  deal  that  I  think  is  fair  for  you  and 
your  farmers . " 

According  to  something  I  read,  I  think  it  was  a  New  York  Times 
article,  they  felt  that  it  was  fair  to  the  farmers. 


Oh,  absolutely. 

It's  certainly  fairer  than  it  was  in  the  original. 
Bush  found  it  more  fair. 


Even  President 


68 


Nelson:   Frankly,  as  this  bill  was  being  written,  there  were  all  sorts  of 
apocalyptic  pronunciations  coming  out  of  the  valley.   I  have  some 
friends  who  are  farmers  in  the  valley  who  have  told  me,  that  when 
the  bill  passed,  that  they  sincerely  believed  that  this  bill  was 
going  to  mean  that  they  would  never  get  another  drop  of  CVP  water. 
They  believed  this.   They  were  being  lied  to  by  their  leadership 
which  had  made  a  decision  to  go  with  the  train  wreck  strategy: 
try  to  bring  down  the  whole  water  omnibus  bill  instead  of  trying 
to  make  sure  that  the  CVP  title  was  fair  to  their  interests. 

So  there's  been  a  tremendous  amount  of  hysteria  and  a  lot  of 
that  is  still  out  there.   A  lot  of  that  is  still  out  there. 
People  who  think  that  the  CVPIA  is  going  to  kill  agriculture  in 
the  Central  Valley.   It's  just  not  true.   I  think  there  is  a 
tremendous  amount  of  fat  in  Central  Valley  agriculture.   What  this 
bill  was  carefully  designed  to  try  to  do  was  to  restore  fish  and 
wildlife  and  to  meet  California's  needs  into  the  future  without 
sacrificing  the  health  of  the  agricultural  economy. 

I  think  as  time  passes,  it  will  be  clear  that  that  approach 
is  the  right  approach  and  that  it's  going  to  work.   What  I  think 
is  ironic,  is  that  I  think  a  lot  of  the  same  growers  who  were  told 
by  their  leadership  that  this  bill  was  the  apocalypse  for 
California  agriculture,  are  going  to  be  first  in  line  to  explore 
the  water  marketing  alternatives  as  they  look  at,  for  example,  the 
possibility  of  going  from  cotton  to  tomatoes  and  saving  half  their 
water  and  marketing  what  they  save.   Those  are  the  same  growers, 
as  they  start  to  do  that,  those  are  the  same  growers  who  thought 
that  this  bill  was  going  to  be  an  apocalypse  for  them. 

Chall:    Let's  analyze  some  of  this. 


President  George  Bush  Signs  the  Omnibus  Water  Bill  (October  30. 
1992") 


Nelson:   Do  you  want  to  go  through  the  presidential  signature  process? 

Chall:    Oh,  indeed.   Yes  of  course.   Tell  me  about  that.   The  president 
did  sign. 

Nelson:   He  signed  on  the  thirtieth  of  October.   It  was  Halloween  eve. 


69 


Pressures  For  and  Against  Signing 


Chall:   Yes,  that's  right.   He  had  a  month  to  consider. 

Nelson:   Right.   The  Senate  has  to  package  bills  and  forward  them  to  the 
president  for  him  to  sign  and  the  clock  doesn't  start  ticking 
until  it  arrives  at  his  desk.   So  he  actually  has  until  the 
thirty- first.   It  was  midnight  the  thirtieth,  I  think,  that  he  had 
to  sign  the  bill  or  it  would  die.   We  actually,  frankly  our 
feeling  was  once  it  was  out  of  the  Senate  and  once  it  was  on  the 
president's  desk,  that  there  was  not  a  whole  lot  Share  the  Water 
could  do  to  try  to  influence  that  final  outcome.   We  did  some 
media  work  in  California.   And  we  brought  everybody  together  who 
had  supported  the  bill.   We  did  a  conference  at  the  Press  Club 
where  George  Miller  came.   Everybody  who  supported  the  bill  in 
California  came  to  speak. 

Chall:    The  National  Press  Club? 

Nelson:   The  San  Francisco  Press  Club.   We  did  a  press  conference  here  that 
George  Miller  led  off  and  there  was  a  tremendous  array.   We  had 
Jim  Lockhart  from  the  Port  of  Oakland  and  Transamerica.   Mike 
McGill  was  there.   Native  American  community  was  there.   There 
were  water  districts  there,  environmental  groups,  fishermen,  duck 
hunters,  labor  unions.   It  was  absolutely  incredible. 

At  the  end,  George  leaned  over  and  said- -and  sort  of  was 
glassy  eyed- -and  said,  "We  must  have  written  a  good  bill."   Once 
we  did  that  and  once  the  press  was  watching  the  president,  we  felt 
there  was  not  a  whole  lot  we  could  do.   I  went  on  vacation  for  a 
week. 

That's  the  point  at  which  the  business  community  really 
weighed  in.   We  don't  to  this  day,  I  don't  really  know  exactly, 
who  all  was  on  the  phone  to  White  House  staffers,  urging  them  to 
sign  the  bill.   But  we  heard  rumors  of  every  Republican  heavy 
weight  in  the  state  outside  the  Central  Valley,  getting  in  touch 
with  the  White  House  saying  you  need  to  sign  this  bill. 

It  was  clear  that  the  San  Joaquin  Valley  was  against  it.   The 
rest  of  the  Sacramento  Valley  I  don't  think  was  actively  working 
against  it.   But  I  suspect  that  most  of  the  Republicans  in  the 
state,  outside  of  the  San  Joaquin  Valley,  were  quietly  calling 
their  contacts  in  the  White  House,  telling  them  to  sign  it. 

It's  quite  clear  that  some  of  the  governor's  supporters  were 
quietly  doing  that.   Because  some  of  them  told  me  off  the  record 
that  they  were  going  to.   And  some  of  them  were  people --Pete 


70 


Wilson  was  contacting  Bush  trying  to  get  him  to  veto  it  and  asking 
for  a  meeting.   And  he  did  get  a  meeting  with  Bush  on  the 
thirtieth  a  few  hours  before  the  president  signed  the  bill. 

Some  of  the  governor's  supporters  who  requested  to  remain 
anonymous  were  at  that  point  sort  of  working  with  Share  the  Water 
trying  to  make  sure  that  they  understood  what  was  in  this  final 
bill.   We  were  providing  them  with  briefing  information.   They  got 
in  touch  with  us  and  said,  "We  want  your  version  of  what  this  bill 
will  do  to  the  farming  community."  And  we  talked  to  them  and  the 
business  community  talked  with  them  and  some  of  Pete  Wilson's 
supporters  were  quietly  getting  in  touch  with  the  White  House 
saying  to  the  president,  "You  need  to  sign  the  bill." 

Chall:    So  they  felt  that  it  wasn't  going  to  reduce  agriculture  to  a-- 

Nelson:   Well,  the  busin'ess  community  came  to  the  conclusion  that  it  was  a 
fair  bill  for  agriculture.   That  it  was  a  reasonable  bill  from  an 
environmental  perspective;  we  weren't  walking  away  with  the  store. 
And  that  it  was  an  absolutely  essential  bill  for  the  business 
community.   It  was  the  sort  of  reform  that  was  unavoidable. 

I  think  coupled  with  that  was  a  real  anger  in  the  business 
community  that  during  the  drought  —  when  urban  California  was 
suffering  legitimate  shortages,  that  the  Central  Valley  during  the 
majority  of  the  drought,  during  certainly  the  first  four  years, 
was  swimming  in  water- -paid  for  at  subsidized  rates,  used  on 
subsidized  crops.   More  and  more  business  leaders  looked  at  that 
and  said,  in  effect,  "Wait  a  minute,  we're  suffering  shortages. 
I'm  trying  to  figure  out  if  we  have  stable  water  supplies  in  the 
future,  and  in  the  Central  Valley  they  have  nearly  free  water  and 
they're  growing  surplus  and  subsidized  crops  and  they  won't  even 
negotiate?"   It's  a  lot  of  quiet  anger  in  the  business  community. 
I  think,  again,  that's  one  of  the  reasons  that  they  split.   It  was 
because  the  San  Joaquin  Valley  community  wasn't  at  the  table.   And 
they  really  drove  the  business  community  into  our  camp. 

Agriculture  did  the  same  thing  with  MET.   MET  did  not  endorse 
Miller-Bradley  early  on.   They  endorsed  the  concepts  in  Miller- 
Bradley.   It  was  very  vague,  but  the  clear  message  that  came  from 
MET,  was,  we  have  to  have  a  bill.   We  have  to  have  a  bill  that 
allows  transfers. 

Chall:    Yes.   That's  their  main  interest. 

Nelson:   And  they  knew  early  on  that  the  Seymour  bill  was  not,  was  never 

intended  as  a  bill  that  would  ever  survive  the  political  process. 
It  was  a  press  conference  strategy. 


71 


The  Sources  for  Additional  Water  for  Southern  California  Throuyh 
Water  Transfers.  Conservation,  and  Other  Strateeles 


Chall:    I  think  it  was  you  who  said  to  me,  regarding  the  MET,  that  the 
pipes  are  in  place  to  take  the  water  there.   Is  that  what  you 
said? 

Nelson:   Yes. 

Chall:    In  what  way  are  the  pipes  there?  What  I  wonder  about  is  how  much 
work  is  going  to  be  needed  to  build  new  pipelines  to  get  the  water 
from  Central  Valley  Project  to  the  MET,  for  example. 

Nelson:   There's  an  awful  lot  of  plumbing  already  in  place.   Traditionally, 
what  people  generally  say  about  the  state  and  federal  projects  is 
that  the  federal  project  is  water  rich  and  the  state  project  is 
conveyance  rich.   That  is  that  the  State  Water  Project  has  the 
ability  to  move  more  water  than  the  state  project  will  ever  get. 
People  still  talk  about  the  state  project  being  completed  to 
roughly  double  the  present  size.   Well,  I  don't  know  where  they're 
going  to  get  that  water  because  that  water  doesn't  exist.   What 
that  means,  is  that  the  State  Water  Project  has  the  ability  to 
move  more  water  and  as  CVP  water  is  transferred,  the  state  canal 
and  the  pumps  going  over  to  southern  California  have  the  ability 
to  take  more  water. 

Chall:    In  other  words,  some  of  the  transfer  will  be  done  at  the  Delta  and 
other  places  along  the  canals? 

Nelson:   Our  hope  has  always  been  that  the  majority  of  the  water 

transferred  is  going  to  be  south  of  Delta  water.   Frankly,  I  think 
there's  a  way  to  use  the  restoration  fund  with  water  marketing  and 
transfers  to  make  sure  that  that  really  works  to  the  advantage  of 
the  environment . 


Chall:    South  of  the  Delta? 

Nelson:   The  Westland's  Water  District  has  terrible  drainage  problems.   A 
good  chunk  of  that  never  should  have  been  brought  into 
agriculture.   It's  lousy  land.   And  the  clock  is  ticking  as  their 
salts  build  up  in  the  soils  and  their  selenium  and  other 
contamination  problems  get  worse.   Everybody  knows  that  that  land 
is  coming  out  of  production.   Some  of  it  already  has  come  out  of 
production.   If  you  fly  over  the  Westlands  District,  you'll  see 
these  dried  up  salted  looking- -they  look  like  alkali  lake  beds, 
which  is  what  they  are.   They  are  man-made  alkali  lake  beds.   Some 
of  that  land  is  going  to  come  out  of  production.   According  to  the 


72 


valley  drainage  report,  within  the  next  fifty  years  up  to  half  a 
million  acres  may  come  out  of  production.   Or  will  come  out  of 
production. 

Chall:    The  next  fifty  years?   That's  a  long  time. 

Nelson:   It's  not  clear  about  whether  they'll  all  go  out  at  the  end  of  the 
process  or  the  beginning.   But  that  process  is  clearly  already 
begun.   That  land  is  coming  out  of  production  there.   As  that 
comes  out  of  production,  we've  always  felt  that  this  restoration 
bill  could  allow  us  to  go  in  and  pick  up  some  of  that  water  for 
fish  and  wildlife  purposes  and  increase  Delta  outflow  and  reduce 
Delta  pumping.   MET  will  at  the  same  time  be  trying  to  purchase 
water  for  their  supplies. 

We've  always  felt  that--  the  environmental  community  feels 
very  strongly  that  growth  management  is  something  that  California 
desperately  needs.   But  when  you  look  at  southern  California,  it's 
very  clear  that  constraining  water  supply  doesn't  work.   Where 
constraining  water  supply  has  worked  is  as  a  tool  to  manage 
growth.   It's  been  in  areas  like  Mar  in  county  and  Santa  Barbara 
where  there  have  been  two  things.   A  local  desire  to  control 
growth- -  there ' s  been  a  political  consensus  that  growth  control  is 
something  they  want  to  see.   And  there  have  been  physical 
constraints  to  getting  the  water  there.   And  once  they  have  the 
political  consensus  that  they  want  to  manage  growth,  they 
essentially  make  sure  that  they  don't  provide  themselves  with  a 
massive  water  supply  that  will  fuel  growth. 

In  southern  California,  that  simply  hasn't  been  true.   For 
the  last  decade,  there  has  been  no  new  source  of  supply  for 
southern  California.   The  supply  has  been  slowly  shrinking.   As 
their  Colorado  supply  becomes  more  uncertain  and  as  Mono  Lake 
supplies  have  dropped,  there's  been  greater  uncertainty  with 
supplies  coming  out  of  the  Central  Valley.   If  you  can  stop  growth 
by  reducing  water  supplies  or  making  them  uncertain,  then  growth 
should  have  stopped  in  southern  California  during  the  eighties. 
It  failed  miserably. 

MET's  perspective  and  they're  right  is  that  twenty  million 
Calif ornians  will  not  go  thirsty.   I  think  that's  a  political 
fact.   When  you've  got  that  many  Californians ,  they're  going  to 
get  a  water  supply. 

Chall:    How  are  they  going  to  get  it  through  your  bill? 

Nelson:  Some  of  it  we  want  to  make  sure  they  get  outside  the  bill.  We 
hope  that  southern  California,  at  some  point,  figures  out  that 
growth  control  is  in  the  interest  of  the  survival  of  southern 


73 


Chall: 

Nelson: 

Chall: 

Nelson: 

Chall: 


California.   There's  going  to  be  a  terrifying- -there  are  going  to 
be  terrifying  consequences  in  southern  California.   Not  just 
environmental,  but  quality  of  life  and  for  the  future  of  the 
southern  Californian  economy.  And  the  lives  of  twenty  million 
Calif ornians.   There  will  be  terrible  consequences  if  we  don't  see 
some  serious  effort  at  growth  control  in  southern  California. 
Coupled  with  a  lot  of  other  things. 

That  isn't  going  to  be  done  by  water. 
No,  it's  not  going  to  be  done  by  water. 
Okay,  so  where- - 
Where  does  the  water  come  from? 

Where  does  Boronkay  think  he  was  going  to  get  that  water,  which  he 
claims- - 


Nelson:   They're  going  to  get  it  from  a  couple  of  sources.   They're  going 
to  get  it  through  much  more  aggressive  conservation.   Which  is 
something  that  has  really  started.   One  of  the  things  that 
happened  during  the  course  of  Miller-Bradley,  which  has  not  gotten 
a  lot  of  attention,  is  the  negotiation  of  best -management 
practices  with  urban  water  districts.   What  urban  water  districts 
have  always  felt  is  that  they  can't  save  as  much  water  as  the 
environmentalists  think  they  can,  but  that  agriculture  can  save 
massive  amounts  of  water. 


We  started  a  negotiating  process  where  the  environmental 
community  was  trying  to  get  commitments  to  pursue  aggressive 
conservation  programs.   I  think  from  the  perspective  of  the  urban 
community,  they  recognized  that  the  political  reality  is  that  they 
had  to  conserve  water.   The  economic  reality  came  when  they  really 
started  looking  at  water  conservation  as  an  affordable  source  of 
new  supply.   Retrofitting  toilets  and  doing  grey  water  recycling 
and  so  forth  is  a  cheap  source  of  new  supply.   They  realized  that 
economically,  it  made  sense. 

We  started  negotiations  and  the  end  result  is  a  relatively 
aggressive  list  of  conservation  programs  that  urban  areas  are 
going  to  be  implementing  state-wide.   A  long  list  of  best- 
management  practices.   A  relatively  conservative  estimate  of  the 
amount  of  water  that  those  things  would  save,  we  think  that  those 
conservation  programs  if  implemented  aggressively,  can  save  a  lot 
more  water.   We're  going  to  see  in  the  next  decade,  a  much  greater 
emphasis  on  conservation. 


There  used  to  be  in  southern  California  sort  of  token 


74 


gestures  toward  water  conservation.   I  think  in  the  next  decade, 
we're  going  to  see  serious  water  conservation  programs  where  real 
money  is  spent  encouraging  water  conservation.   That's  one  source 
of  supply. 

Another  source  of  supply  is  waste  water  reclamation. 
Southern  California  is  looking  at  the  possibility  of  saving,  just 
in  southern  California,  a  million  acre-feet  of  reclaimed  water. 
Sewage  is  now  dumped  in  the  ocean.   They're  looking  at  cleaning 
that  water  up  and  using  it  as  a  new  source  of  supply.   In  most 
cases  using  it  for  landscape  and  using  it  in  industrial  processes 
and  so  forth.   But  in  some  cases,  they  are  also  talking  about  --oh, 
they  also  use  it  in  ground  water-  -but  in  some  cases  they're 
starting  to  talk  about  potable  water  reclamation.   Which  is 
something  that  there  is  still  a  real  public  taboo  regarding.   But 
as  we  increasingly  contaminate  our  surface  water  supplies,  we  need 
to  step  back  and  look  at  that  taboo  against  potable  reclamation. 

As  our  treatment  techniques  improve,  and  given  the  polluted 
sources  of  some  of  our  ground  water  and  surface  water,  we  can't 
simply  assume  that  what  comes  out  of  rivers  is  safe  and  that  what 
comes  out  of  treatment  plants  is  not. 

Chall:    This  bill  deals  primarily  with  transfers. 

Nelson:   Right,  and  it's  clear  that  transfers  are  going  to  be  part  of  the 

picture.   Southern  California's  supplies  in  the  future  will-  -needs 
will  be  met,  we  hope,  by  a  lot  of  growth  management.   They'll  be 
met  by  conservation,  ground  water  cleanup,  waste  water  recycling, 
probably  a  small  amount  of  desalination-  -but  that  won't  be  a  big 
part  of  the  southern  California  water  supply-  -and  transfer  from 
the  Central  Valley. 


Nelson:   The  agricultural  community  has  said  that  this  bill  has  sort  of 
made,  created  open  season  on  farming  in  the  Central  Valley  and 
that  all  of  the  water  in  the  Central  Valley  is  going  to  get 
gobbled  up  by  growth  in  southern  California. 

There's  something  like  twenty  million  acre  -feet  used  in  the 
Central  Valley,  and  that's  enough  to  support  somewhere  around  one 
hundred  million  Californians  .   Now,  I'm  praying  there  will  never 
be  one  hundred  million  Californians,  but  simply  given  the  amount 
of  water  used  in  California,  the  tremendous  amount  of  water  used 
by  Central  Valley  growers,  we  don't  think  that  southern  California 
growth-  -in  our  lifetimes-  -is  going  to  put  a  substantial  dent  in 
the  amount  of  water  that's  available  currently  for  agriculture. 


75 


Chall:    The  whole  notion  of  transfers  wiping  out  the  Central  Valley  is  not 
plausible? 

Nelson:   Turning  the  Central  Valley  into  the  Owens  Valley?   I  think  it's 

just  not  a  reality.   First,  it's  not  a  reality  because  politically 
it  would  simply  not  be  possible  to  pull  that  sort  of  a  land 
swindle  that  was  pulled  in  the  Owens  Valley.   Politically,  that's 
just  not  an  option,  when  you've  got  the  Central  Valley  which  is  a 
political  power  in  California.   Beyond  that,  there's  no  way  we 
could  ever- -that  Metropolitan  Water  could  ever  take  that  much 
water  out  of  the  valley. 


The  Case  Against  a  Peripheral  Canal 


Chall:    The  act  provides  for  a  certain  amount  of  the  building- -the 
opportunity  if  other  things  don't  work- -for  building  new 
facilities,  is  that  correct?   That's  in  the  bill? 

Nelson:   What's  in  the  bill  is  a  study  provision  requiring  the  Bureau  of 
Reclamation  to  look  at  ways  of  increasing  water  supply, 
essentially  to  recapture- -for  all  project  purposes  including  fish 
and  wildlife- -additional  project  yield.   Essentially,  nothing's 
off  the  table  there;  the  bureau  can  study  building  new  gigantic 
dams.   But  the  bureau  will  also  be  looking  at  conjunctive  use 
programs,  at  conservation  programs,  at  land  retirement  programs, 
and  a  whole  host  of  ways  to  increase  the  amount  of  water  that's 
available  for  the  various  uses  that  rely  on  the  project. 

We're  convinced,  and  Dan  Beard  the  new  commissioner  of 
reclamation  is  convinced,  that  the  time  is  past  for  the  gigantic 
dam  in  California.   Auburn  Dam,  one  of  the  last  big  traditional 
multi-purpose  water  storage  facilities- -Auburn  Dam  is  as  dead  for 
economic  reasons  as  it  is  for  environmental  reasons. 

Chall:    What  about  a  peripheral  canal?  What  about  the  facilities  that 
growers  do  talk  about? 

Nelson:   The  bill  is  very  clear  that  it  doesn't  authorize  the  construction 
of  any  new  facilities. 

Chall:    It  doesn't  authorize  it  but  it  provides  for-- 

Nelson:   It  provides  for  a  study  that  goes  back  to  Congress  regarding  how 
to  increase  yield.   I  have  no  doubts  that  the  growers  will  be 
pushing  to  make  sure  that  the  bureau  is  looking  at  the  peripheral 
canal  as  a  way  of  increasing  water  supply.   It's  an  increasingly 


76 


difficult  case  to  make  as  the  scientific  case  is  now  indisputable 
that  San  Francisco  Bay  needs  more  water  than  it's  been  getting. 
We  are  starting  now  to  turn  the  corner  with  the  Endangered  Species 
Act  and  stronger  standards  from  the  EPA  that  will  require  more 
outflow  for  San  Francisco  Bay. 

The  case  for  the  peripheral  canal  just  gets  weaker  and 
weaker.   The  argument  there  is  always  that  they  can  get  more  water 
out  of  the  system  by  building  a  peripheral  canal.   Well,  if 
there's  no  more  water  to  be  had,  then  the  constituency  to  build 
the  canal  begins  to  dry  out.   People  will  always  say- -people  will 
still  tell  you  that  we  have  to  have  the  peripheral  canal  for  water 
quality  reasons  or  for  earthquake  reasons  or  because  we  need  to  do 
water  transfers- -the  latest  trojan  horse. 

The  bottom  line  is  that  the  people  who  want  to  build  the 
peripheral  canal  want  to  build  it  because  they  want  to  take  more 
water  out  of  the  system.   If  it's  clear  that  it  can't  be  done, 
there's  no  reason  to  build  the  canal.   And  if  you've  got  a  few 
billion  bucks  lying  around,  which  is  what  the  canal  would  cost, 
you  could  take  that  same  money  and  solve  the  problems,  the  water 
quality  problems,  the  seismic  stability  of  the  levies,  you  could 
solve  those  problems  with  several  billion  bucks  quite  handily. 


The  Argument  for  the  Environmental  Impact  Statement 


Chall:    One  of  the  aspects  that  I  find  difficult  to  understand  is  the 

purpose  of  the  EIS,  the  Environmental  Impact  Statement.   It  has  to 
be  done  rather  soon? 

Nelson:   Five  years.   Yes. 

Chall:    That's  always  required  before  the  happening,  before  you  begin  to 
make  changes.   How  can  such  an  immense  and  complicated  project 
like  this  be  understood  within  the  next  five  years --the  impact  of 
it?   That  is  really  what  is  to  be  studied. 

Nelson:   Some  folks  have  said  that  it's  sort  of  an  ex  post  facto  EIS.   That 
we're  studying  the  impacts  of  what  Congress  has  required  but 
that'll  already  be  in  place.   That's  not  really  how  I  look  at  it. 
I  think  that  the  message  this  bill  sent  is  that  we  can  and  should 
develop  economically  sane,  environmentally  responsible  and 
sustainable  water  policies.   That's  the  direction  that  the  CVPIA 
goes  in.   It  says  that  we  can  protect  and  restore  the  environment 
and  meet  our  legitimate  water  needs  at  the  same  time. 


77 


The  provisions  in  this  bill  are  a  big  step  in  that  direction 
but  it's  not  the  end  of  the  process.   I  think  that  EIS  does  two 
things  given  that  premise.   The  first  thing  is  that  there's  never 
been  a  document  that  looks  at  the  overall  impacts  of  the  EIS  of 
the  Central  Valley  Project.   I  think  the  bureau  has  been  very 
motivated  never  to  do  that. 

I  think  you  can  make  a  strong  case  that  the  CVP  is  the 
biggest  single  environmental  disaster  ever  to  strike  California. 
Maybe  you  can  argue  that  the  interstate  highway  system  is  on  a  par 
with  it,  but  if  you're  trying  to  look  for  a  single  project,  a 
single  action  that  has  had  the  greatest  negative  environmental 
consequences  on  the  state,  I  don't  think  you  can  beat  the  Central 
Valley  Project.   It  destroyed  the  San  Joaquin  River  entirely, 
dewatered  it.   It  wiped  out  one  hundred  thousand  acres  of  Central 
Valley  wetlands^.   It's  been  pretty  close  to  the  last  nail  in  the 
coffin  for  San  Francisco  Bay  and  for  valley  fisheries.   The 
Sacramento  fisheries  are  on  the  same  decline  that  we  saw  in  the 
San  Joaquin.   It's  just  been  a  slower  slide  but  it's  clear  that 
they're  on  their  way  down.   The  Suisun  Marsh  is  crashing,  the  Bay 
water  quality  is  going  down.   The  CVP  has  been  a  disaster  and  I 
think  the  Bureau  of  Reclamation  has  been  very  motivated  not  to 
ever  study  the  full  scope  of  that  disaster. 


The  Drainage  Problem 


Chall:    So  the  EIS  is  to  study  the  Central  Valley  Project  as  it  is? 

Nelson:   Well,  it's  to  take  into  account  the  impacts  that  the  CVP's  had 

since  it  was  constructed.   To  look  at  the  operations  requirements 
that  are  required  by  the  bill.   And,  we  hope,  to  look  at 
additional  possibilities  that  go  beyond  what's  in  the  bill.   Look 
at  the  next  step  towards  sustainable  water  policies.   We  still 
think  that- -well,  there's  still  a  huge  drainage  problem  in  the 
Central  Valley- -this  bill  will  help  in  small  ways  but  it  won't 
solve  the  problem. 

Chall:    How  will  it  help? 

Nelson:   It'll  help  by- -couple  of  things.   First,  it  will  provide  an 
incentive  for  conservation  for  the  first  time,  with  tiered 
pricing.   It's  a  modest  tiered  pricing  provision  but  there'll  be 
some  incentive  to  conserve  there.    With  the  water  transfer 
provisions  there'll  be  a  much  greater  incentive  for  farmers  to 
reduce  overall  irrigation  and  sell  excess  water  supplies.   And  the 
fact  that  there  is  an  actual  reduction  in  the  overall  amount  of 


78 


water  available  to  agriculture  users  in  some  but  not  all  years, 
will  provide  some  increased  incentive  to  conserve.   There'll  be 
some  modest  help  on  the  drainage  side.   Mostly  in  terms  of  trying 
to  motivate  water  users  to  deal  with  drainage  issues.   But  it 
doesn't  solve  the  problem. 

Chall:    There's  no  drainage -- 

Nelson:   There's  no  drainage  component  per  se.   The  San  Joaquin  River  is 

something  that  this  bill  didn't  completely  solve.   It  required  the 
preparation  of  a  restoration  plan,  but  that  plan  isn't  required  to 
be  implemented.   When  you  look  at  a  number  of  other  issues  that 
the  bureau  is  required  to  study,  by  this  bill,  that  aren't- -well 
the  answer  is  not  clearly  laid  out. 

I  think  it.'s  pretty  clear  that  we're  now,  with  the  passage  of 
this  bill,  we've  started  down  a  new  course.   That  course  is 
developing  truly  sustainable  water  policies  and  developing  those 
policies  with  a  project  as  big  as  the  CVP--the  biggest  project  in 
the  country- -is  a  big  challenge.   One  act  is  not  going  to  solve 
all  of  the  problems.   I  think  over  the  next  five  years,  especially 
with  Dan  Beard  as  commissioner  of  reclamation,  we're  going  to  see 
a  lot  of  new  thinking  about  how  we  can  responsibly  manage  our 
water  policies.   A  lot  of  those  issues  are  going  to  surface  and  be 
fleshed  out- -should  be- -surfaced  and  fleshed  out  in  the  EIS.   When 
that  process  is  done,  we  hope  we'll  take  the  next  step  towards 
improving  the  management  of  the  CVP. 


The  Case  for  Ground  Water  Management 


Chall:    Explain  if  you  can,  how  ground  water  management  is --is  this  a  part 
of-- 

Nelson:   [Groan]  It  ain't  in  there.  [Laughter] 

Chall:    No,  I  wondered,  it  was  somewhere,  floated  around  in  other  drafts, 
but  I  guess  it's  not  in  this  bill.   I  couldn't  see  how  it  could  be 
dealt  with. 

Nelson:   It's  not  in  here,  it's  not  in  here.   As  a  matter  of  fact,  Governor 
Wilson  recently  has  criticized  the  federal  government  for  the  fact 
that  they're  not  taking  into  account  ground  water  management 
needs.   Which  is  astonishing.   Because,  I  don't  think  he's 
suggesting  that  the  federal  government  should  take  over  the 
management  of  the  ground  water. 


79 


Chall: 


Nelson: 


Chall: 


California  desperately  needs  to  manage  it's  ground  water.   We 
have  this  fiction  that  our  ground  water  is  not  connected  with  our 
surface  water  and  therefore  shouldn't  be  seriously  regulated. 
That's  a  fiction.   That's  sort  of  saying  you  can  poison  the  air  in 
my  kitchen  but  you  can't  poison  the  air  in  my  bedroom.   On  the 
assumption  that  the  poison  isn't  going  to  get  from  one  place  to 
the  next.   Groundwater  gets  there  from  surface  water.   In  some 
cases,  surface  water  gets  there  from  ground  water.   The  two  are 
unavoidably  connected  and  it's  an  issue  that  this  bill  simply 
can't  get  at.   The  state  of  California  has  to  come  to  grips 
somehow.   The  state  of  California  has  to  come  to  grips  with  it's 
ground  water  problem. 

Are  there  some  aspects  of  the  bill  that  required  some  kind  of 
monitoring  devices  or  was  that  an  earlier  bill  that  I  read? 
Monitoring  devices  that  sounded  as  if  they  were  for  ground  water. 
Then,  what  about  the  argument  that  farmers  will  go  to  their  ground 
water  rather  than  use  their  surface  water.   That  they'll  remove 
the  ground  water -- 

Oh,  that  they'll  sort  of  give  up  on  CVP  supplies  and  replace  it 
with  ground  water? 

They  could  even  transfer  surface  supplies  and  use  their  ground 
water. 


Nelson:   To  start  with,  that's  not  allowed  by  the  bill.   You're  not  allowed 
to  transfer  surface.   If  you're  a  grower  using  CVP  water,  you're 
not  allowed,  very  clearly,  to  transfer  your  surface  water  and  pump 
ground  water.   You  can't  do  that.   You  have  to  conserve,  or  fallow 
land,  or  do  something,  use  less  water.   But  you  can't  simply 
replace  supplies.   It's  clear  here  that  that's  sort  of  bait  and 
switch  and  not  legal. 

Chall:    Because  there's  a  certain  percentage  that  you  can't  move  without 
approval . 

Nelson:   Once  you  get  to  20  percent  transfer  in  a  given  district,  then  you 
have  to  have  district  approval.   But  the  secretary  has  to  approve 
transfers  and  there  are  criteria  in  the  bill  and  it's  clear  that 
that's  sort  of  a  shell  game- -selling  surface  water  and  mining  your 
ground  water  is  not  allowed.   It's  also  something  that  eventually, 
California  will  come  to  grips  with  as  a  state.   California  is 
still  struggling  with  water  transfer  legislation.   If  that  ever 
happens,  and  the  federal  government  clearly  intends  that  to  happen 
because  the  bill  sunsets  most  of  the  federal  restrictions  on 
ground  water  on  water  transfers. 


80 


The  Sunset  Provision  of  the  Act 


Chall:    Sunset?   Explain  that  to  me. 

Nelson:   Some  of  the  provisions  that  regulate  water  transfers  in  the  bill 
expire  in  1999,  I  think.   The  message  there  is  that  California 
doesn't  have  comprehensive  water  transfer  legislation,  so  in  the 
interim,  the  federal  government  has  stepped  in  and  set  up  some 
water  transfer  requirements  that  the  bureau  will  regulate  and  the 
state  water  board  will  regulate.   It's  clear  that  all  CVP  water 
transfers  have  to  comply  with  state  law. 

The  bill  is  set  up  in  such  a  way  that  by  phasing  some  of  the 
provisions  out  it's  encouraging  the  state  of  California  to  step  to 
the  table  and  regulate  transfers.   One  of  the  things  that  you 
obviously  have  to  do  in  regulating  transfers  is  to  make  sure  that 
you  don't  worsen  your  ground  water  problems. 

Chall:    The  regulations  of  transfers,  transfers  throughout  the  CVP  are 
permitted  now.   Are  you  saying  those  will  be  sunsetted? 

Nelson:   No.   Some  of  the  criteria  used  to  regulate  those  transfers  will 

sunset.   The  message  to  the  state  of  California  is:  these  are  the 
rules  that  we're  going  to  be  using  to  regulate  transfers  for  the 
next  several  years.   We're  going  to  comply  with  state  law,  but 
we're  going  to  have  some  of  our  provisions  sunset  because  we  want 
the  state  of  California  to  take  over.   The  state  of  California  is 
the  right  entity  to  regulate  transfers,  to  be  the  primary 
regulator  of  transfers.   I  think  the  secretary  will  always  have  a 
role . 


The  Need  to  Operate  the  Central  Valley  Project  and  the  State  Water 
Project  as  a  Single  Project 


Chall:    So  there  might  be  more  for  the  Coordinated  Operation  Agreement. 
Beyond  where  it  is  right  now? 

Nelson:   I  don't  recall  whether  we've  talked  about  transfer  of  the  CVP,  but 
increasingly  those  two  projects  are  going  to  be  operated  as  one. 
I  think  that's  just  what  we're  going  to  be  seeing  down  the  road. 
A  bureau  and  a  state  project- -a  CVP  and  a  state  project  that  are 
going  to  be  increasingly  operated  as  a  single  project. 

Chall:    That  has  been  the  goal  for  quite  some  time.   I  thought  with  the 
COA  that  that  was  in  place  but  probably  not  quite. 


81 


Nelson:   No,  you  know,  it's  moving  in  that  direction.   I  think  before 
Miller-Bradley  the  direction  was  there  but  the  political  will 
wasn't  in  some  cases. 

Chall:    Over  the  years  it's  been  the  state  trying  to  get  the  federal 
government's  cooperation.   Now  we  see  it  turned  around. 

Nelson:   It's  very  true.   For  years,  for  years,  the  environmental 

community's  sort  of  short  hand  was  that  the  state  project  was 
badly  run  but  it  was  no  where  near  the  disaster  that  the  CVP  was 
and  it's  real  clear  that  that's  turned  around. 

With  the  passage  of  this  bill  and  Dan  Beard  becoming 
commissioner  of  reclamation,  there  are  more  responsible  rules 
governing  the  CVP  than  governing  the  state  project.   We've  got  far 
more  responsible  management  from  the  bureau  than  the  state 
project.   It's  something  that  I  would  have  never  expected  to  see. 


It  never  occurred  to  me  that  we  would  see  Dan  Beard,  who  on 
the  House  side  crafted  the  final  bill  for  George  Miller,  as  the 
commissioner  of  reclamation.   I  never  gave  that  a  moment's 
thought . 

Chall:    Is  he  commissioner  at  the  behest  of  the  president?   If  there's  a 
new  president  in  four  years,  he  could  be  out. 

Nelson:   Yes,  he  could  be  out,  but  the  new  policies  would  stay. 


The  Tasks  Ahead  for  Share  the  Water:  To  Ensure  Implementation  of 
the  Central  Valley  Project  Improvement  Act 


Chall:    So  that's  something  to  consider  I  guess  from  all  sides, 
the  Water  still  in  existence? 


Is  Share 


Nelson:   Oh  yes.   We  met  Wednesday.   Two  days  ago.   Yes,  Share  the  Water  is 
making  the  transition  from  a  legislative  campaign  to  an 
implementation  campaign.   We've  been  forming  working  groups  to 
follow  what's  going  on.   I've  got  a  couple  of  pages  of  activities 
that  Share  the  Water  is  following. 

As  this  bill  is  implemented,  there  are  a  tremendous  number  of 
activities  that  are  required  from  providing  new  refuge  water 
supplies  and  building  facilities  necessary  to  get  some  of  it  there 
and  planning  how  to  get  future  supplies.   Doing  a  fisheries  impact 
study  and  figuring  out  how  to  manage  the  800,000  acre-feet,  and 


82 


getting  a  restoration  fund  to  work,  and  federal  appropriations  and 
state  matching  funds.   There's  a  staggering  array  of  tasks  that 
have  to  ge  t  done . 

We're  convinced  that  the  only  way  to  make  sure  that  that's 
done  properly  is  to  have  an  active  campaign  following  those  issues 
and  coordinating  and  continuing  to  do  public  education  and 
continuing  to  do  organizing  and  so  forth.   Miller  and  Bradley  and 
Dan  Beard  have  made  that  very  clear  as  well. 

The  Bureau  of  Reclamation  has  ninety-one  years  of  history.   A 
lot  of  it  has  been  going  down  a  road  which  assumes  that  the 
environment  is  the  enemy.   Turning  that  around  in  the  CVP  and 
looking  at  environmental  restoration  as  a  goal  is  not  something 
that's  going  to  simply  happen  overnight.   It's  a  major  change. 
The  bureau  is  a  big  bureaucracy  with  a  long  history.   A  lot  of 
dinosaurs  in  the  bureau  still  think  that  the  only  good  fish  is  a 
dead  fish.   That's  going  to  take  a  lot  of  time  to  change. 

Chall:    Will  some  of  that  require  congressional  action  in  terms  of  funds? 

Nelson:   Oh,  without  a  doubt.   I've  had  one  trip  back  to  D.C.  already  and  a 
whole  host  of  Share  the  Water  members  have  already  gone  back  to 
work  on  federal  appropriations  for  the  year.   We'll  be  working 
through  the  appropriations  process  for  years  to  make  sure  that  the 
restoration  fund  and  other  areas  have  the  money  they  need  in  order 
to  implement  the  requirements  of  the  bill. 

Chall:    How  does  that  look  from  your  perspective  right  now,  in  terms  of 
the  budget?   Is  it  in  the  budget  now? 

Nelson:   Yes,  it's  in  the  budget.   The  restoration  fund  is  indexed  for 
inflation  so  this  year  it  should  be  something  over  fifty-one 
million.   The  president's  budget  called  for  thirty-four  million. 
It  seems  to  be  creeping  up  with  various  agency  proposals  to  around 
forty-five,  forty-six  million,  and  we're  pushing  to  make  sure  it 
gets  up  to  fifty-one  million.   It's  going  to  be  a  constant  process 
to  make  sure  that  the  bill  is  implemented  properly. 

Chall:    Are  you  going  to  continue  to  coordinate  it? 
Nelson:   At  the  moment  I'm  going  to  continue  to  do  it. 
Chall:    Nobody's  burned  out  yet? 

Nelson:   [laughter)   There  was  definitely  a  lull.   After  the  bill  passed,  a 
whole  lot  of  people  took  some  time  off.   A  whole  lot  of  people  had 
to  turn  their  attentions  to  all  of  the  issues  that  didn't  get 
dealt  with  during  this  fight.   There  are  a  lot  of  other  water 


83 


issues  in  California  other  than  the  CVP.   A  lot  of  those  issues 
were  dropped  for  two  years  as  we  fought  this  fight. 

There  was  a  lull.   Initially,  when  the  bill  passed,  the 
euphoria  carried  us  through  December.   At  the  beginning  of  the 
year,  people  started  working  on  some  of  the  other  issues  and  going 
through  their  back  files  and  a  lot  of  people  didn't  get  to  take 
time  off  until  this  summer.   I'd  say  starting  in  mid- summer,  Share 
the  Water  has  really  gotten  itself  cranked  up  again.   Continuing 
to  work  on  implementation  and  working  on  appropriations  and 
legislation  that  Vic  Fazio  has  proposed  and  meeting  with  the 
bureau  and  the  Fish  and  Wildlife  Service.   We've  got  years  of  work 
ahead  of  us . 


The  Concern  of  Agriculture 


Chall: 


Nelson: 


What  do  you  think  the  Peltier  people  will  be  doing? 
done? 


Or  have  they 


Chall: 


Nelson: 


You  can  ask  Jason.   One  thing  they've  clearly  done  is  to  try  to 
launch  a  campaign  to  try  to  persuade  the  California  public  that 
the  California  farmer  is  getting  clobbered.   Because  of  the 
Endangered  Species  Act  and  because  of  the  Central  Valley  Project 
Improvement  Act,  the  EPA  standards  in  the  Bay  and  Delta.   It's 
ironic  that  of  those  three,  the  Endangered  Species  Act,  Bay-Delta 
standards,  and  the  CVPIA,  that  the  Miller-Bradley  bill  has  sort  of 
dropped  off  the  list  of  the  enemies  of  agriculture. 

I  think  it's  because  the  folks  in  ag  have  had  to  come  to 
grips  with  the  fact- -despite  the  fact  that  they  said  that  this 
bill  was  the  end  of  the  world  for  agriculture,  that  it's  not. 
They're  sort  of  moving  quietly  on  without  ever  conceding  that  this 
bill  doesn't  damage  them  tremendously. 

But  the  CVPIA  is  predicated  on  the  Endangered  Species  Act:  "X" 
number  of-- 

The  act  makes  it  very  clear  that  once  the  doubling  plan  is 
prepared  that  if  additional  water  is  needed  for  the  Endangered 
Species  Act  above  the  800,000,  that  the  project  has  to  provide 
that  water. 

And  right  now,  the  Endangered  Species  Act  is  where  most  of 
the  growers  have  been  focusing  their  attention.   But  when  you  look 
valley-wide  at  the  impacts  of  that  act,  there  are  very  few  impacts 
on  water  supply.   There  have  been  no  impacts  on  the  east  side  of 


84 


the  San  Joaquin  Valley,  very  few  impacts  on  the  Sacramento  Valley. 
The  only  impacts  that  are  meaningful  are  on  the  west  side  of  the 
valley,  the  Westlands  area. 

As  I  said,  that's  a  chunk  of  land  in  California  that's  going 
to  come  out  of  production.   There's  been  a  lot  of  talk  about 
declining  crop  lands  and  declining  employment  in  these  cities  and 
so  forth.   Most  of  that  has  nothing  to  do  with  Endangered  Species 
Act  issues. 

Land  values  have  plummeted  in  the  last  decade  because  they've 
got  a  horrible  drainage  problem  out  there.   That  land  is  not  worth 
much  because  everybody  knows  the  clock  is  ticking.   That's  why 
values  have  dropped  out  there,  it's  not  the  Endangered  Species 
Act. 


Chall:    They  have  close'd  the  drain.   They  closed  the  outlet  so  sooner  or 
later  something  has  to  be  done. 

Nelson:   The  problem  there  is  not  just  that  they've  closed  the  drain.   The 
problem  is  that  the  soils  are  salting  up.   They  can't  grow  on  a 
lot  of  that  land.   As  time  passes,  more  and  more  of  that  will 
become  untenable  as  agricultural  land. 

Chall:    That's  not  land  that's  now  called  fallowed- -the  fallowing  process? 

Nelson:   Fallowing,  I  said,  tends  to  assume  a  voluntary  action.   Nature  is 
fallowing  a  lot  of  this  land.   Or  rather,  as  we  farm  land  nature 
is  clearly  telling  us  we  shouldn't  be  farming.   Nature  is  taking 
it  out  of  production. 

I  think  one  of  the  things  the  growers  are  doing  is  trying  to 
focus  the  plight  of  Westlands  on  the  Endangered  Species  Act.   It's 
simply  not  accurate.   One  of  the  things  Westlands  did  was 
overextend  themselves  dramatically  by  pushing  to  expand  their 
acreage,  expand  the  amount  of  water  they  get. 

As  other  areas  like  Santa  Clara  County  take  more  water  than 
they  were  taking  previously,  that's  cut  into  Westland's  supply. 
The  drainage  problem  is  kind  of  a  disaster  for  them.   That's  a 
problem  they've  created.   They  are  attempting  to  blame  all  of 
their  woes  on  the  Endangered  Species  Act.   That's  simply  not  true. 

Chall:   Well,  perhaps  we  have  run  through  our  tape  and  time.   There  are 
all  kinds  of  other  possibilities  in  terms  of  questions,  but  I 
think  we've  pretty  well  covered  as  much  of  it  as  we  can.   The  rest 
of  the  story  will  come  about  as  we  watch  what  happens. 


85 

The  Taste  of  Victory  for  the  Environmental  Movement 

Oi 

Nelson:   The  last  couple  of  years  have  been  a  tremendously  exciting  time  to 
work  on  water  issues.   For  the  last  decade,  nationally,  there 
haven't  been  that  many  big  victories  on  environmental  issues. 
We've  spent  a  lot  of  time,  during  the  eighties,  and  early 
nineties,  just  trying  to  hold  ground  and  fight  a  rear  guard  action 
against  policies  and  programs  and  proposals  that  would  just  make 
things  a  lot  worse.   It's  been  very  exciting  being  in  the  middle 
of  a  big  victory  during  that  time. 

Chall:    I  presume  it  has.   Well,  thanks  for  your  time. 

Nelson:   Thank  you.  v 


Transcriber:  Samantha  Schell 
Final  Typist:  Aric  Chen 


86 

TAPE  GUIDE- -Barry  Nelson 

Interview:  August  5,  1993 

Tape  1,  Side  A  1 

Tape  1,  Side  B  11 

Tape  2,  Side  A  23 

Tape  2,  Side  B  34 

Interview:  August  20,  1993 

Tape  3,  Side  A  41 

Tape  3,  Side  B  52 

Tape  4,  Side  A  53 

Tape  4,  Side  B  74 


87  APPENDIX 


August  20,  1993 

To:       Malka  Chall 

Fr:        Barry  Nelson 

Re:       Key  Players  in  the  Campaign  for  the  CVP  Improvement  Act  (P.L.  102- 

575) 

The  following  people  were  key  players  in  the  campaign  in  support  of  the  Act, 
in  organizing,  advocacy  and  actual  drafting.   Dozens  of  other  groups  and 
individuals  were  involved  in  the  campaign,  however,  the  people  below  were 
the  most  involved. 

Legislative 

Dan  Beard,  House  Interior  Committee 

Tom  Jensen,  Senate  Energy  Committee,  Subcommittee  on  Water  and  Power 

Jim  Burney  and  Gary  Ellsworth,  Senate  Energy  Committee  minority  staff 

Roger  Gwynn,  office  of  Congressman  Vic  Fazio 

Note:  The  Senate  minority  staff  only  began  to  work  in  support  of  a  bill  once  it 
reached  conference  committee.   Congressman  Fazio,  of  course,  began 
negotiating  with  Miller  far  earlier. 

Share  the  Water 

Barry  Nelson,  coordinator  and  Save  San  Francisco  Bay  Association 

David  Behar,  1991  coordinator  and  Bay  Institute 

Tom  Graff  and  David  Yardas,  Environmental  Defense  Fund 

Laura  King  and  Hal  Candee,  Natural  Resources  Defense  Council 

David  Weiman,  Patty  Schifferle  and  John  Boesel,  Share  the  Water 

Ed  Osann,  National  Wildlife  Federation 

Zeke  Grader,  Pacific  Coast  Federation  of  Fishermen's  Associations 

John  Beuttler,  United  Anglers  of  California 

Tryg  Sletteland,  Sacramento  River  Council 

Don  Marciochi,  Grasslands  Water  District 

Patty  McCleary,  Sierra  Club 

Joan  Reiss,  Wilderness  Society 

Other  Fish  and  Wildlife 

Dan  Chapin,  California  Waterfowl  Association 

Joe  Membrino,  Hoopa  Valley  Tribe 

Business: 

Mike  McGill,  Bay  Area  Economic  Forum 


Share  the  Water 

A  Coalition  for  Federal  Water  Reform      88 

1736  Franklin  Street,  Suite  300 
.     Oakland,  CA  94612 
(510)  452-9261;  FAX  (510)  452-9266 


ANALYSIS  OF  PENDING  CVP  REFORM  LEGISLATION 


Bradley 
(S.  4841 


Seymour 
(S.  2016) 


Locks  up  2C4  of  California's 

developed  water  supplies  for  an  . 

unspecified  period  of  time?  NO 

Increases  federal  and  state  taxpayer 

payments  to  the  CY??  NO 

LiT.it s  contractors'  responsibility  for 

for  fish  ar.d  wildlife  rni  tigaticn.tc 

$1  per  acre  foot?  NO 

Creates  flexibility  in  water  planning 

by  reducing  the  maximum  ccntract 

length  from  40  tc  1C  years?  YES 


YES 


YES 


YES 


NO 


uarantees  more  wat« 


YES 


NO 


Provides  assured  water  for  ^er.tr?" 
'.alley  fisheries: 

Guarantees  adequate  water  deliveries 
for  wildlife  refuges? 


YES 


NO 


NO 


Requires  water  conservation 
in  agricultural  industry? 

Establishes  fish  and  wildlife 
restoration  as  a  CVP 
"project  purpose"? 

Prohibits  new  contracts  until  fish  and 
wildlife  mitigation  responsibilities 
have  been  fulfilled? 


YES 


YES 


YES 


NO 


NO 


NO 


2 ,/4  / 92 


Share  the  Water 

.4  Coalition  for  Federal  Water  Reform      89 

1736  Franklin  Street,  Suite  300 

Oakland,  CA  94612 
(510)  452-9261;  FAX  (510)  452-9266 


October  6,  1992 

HISTORY  OF  NEGOTIATIONS  ON  CVP  LEGISLATION 

Over  the  past  week,  there  has  been  a  great  deal  of  discussion  regarding  negotiations 
to  produce  a  compromise  legislative  package  on  the  reform  of  the  Central  Valley 
Project.    In  the  past  week,  Senator  John  Seymour,  Governor  Pete  Wilson  and  the 
CVP  growers  have  all  objected  to  the  process  used  to  reach  the  final  CVP  reform 
package  in  H.R.  429.   It  is,-  therefore,  worth  reviewing  attempts  to  negotiate  a 
legislative  compromise. 

Share  the  Water,  a  coalition  of  California's  leading  environmental,  fishing, 
waterfowl  and  family  farming  groups,  has  supported  negotiations  in  the  belief  that 
water  reform  is  in  the  interests  of  all  parties  in  California  -  cities,  fish  and  wildlife 
and  even  farmers. 

*. 

When  Share  the  Water  was  formed,  it  offered  to  begin  negotiations  with  the  CVP 
Water  Association,  which  represents  CVP  contractors.   Several  meetings  were  held 
at  which  some  progress  was  made.   Suddenly,  however,  the  contractors  announced 
that  they  were  unwilling  to  negotiate  on  the  key  elements  of  a  bill:   water  for  the 
environment,  establishing  fish  and  wildlife  as  a  CVP  project  purpose  and  funding 
by  CVP  contractors.  They  were  willing  to  agree  to  build  fish  screens  and 
temperature  curtains,  at  public  expense  --  the  approach  in  the  bill  the  CVP 
contractors  wrote  for  Senator  Seymour  (S.  2016).   Given  the  impasse,  all  parties 
agreed  that  the  controversial  issues  would  have  to  be  settled  in  Washington  D.  C. 

In  November  of  1991,  Senator  Bill  Bradley  summoned  competing  interests  to 
Washington  to  discuss  compromise  legislation.    The  contractors'  representative 
attended  but  announced  that  he  did  not  have  any  authority  to  negotiate.   As  a  result, 
the  talks  lasted  only  a  few  minutes. 

In  the  Senate,  Senator  Bennett  Johnston  worked  to  negotiate  a  compromise  bill  to  be 
considered  by  the  Energy  Committee.  Talks  broke  down  again  in  March  because 
Senator  Seymour  refused  to  agree  to  any  changes  in  the  bill  written  by  the 
contractors.   As  a  result,  the  Energy  Committee  passed  out  Senator  Seymour's  bill 
with  clear  statements  by  Senators  Johnston  and  Bradley  that  the  bill  was 
unacceptable  and  would  be  amended  in  Conference  Committee. 

In  the  House,  Congressmen  Cal  Dooley,  Vic  Fazio  and  Rick  Lehman  negotiated  a 
compromise  bill  with  Congressman  George  Miller  and  then  voted  against  the  bill 
on  the  floor  on  June  19. 


90 


In  an  attempt  to  develop  a  different  approach,  one  which  might  be  acceptable  to  all 
interests,  Tom  Graff  of  the  Environmental  Defense  Fund  and  Stuart  Somach,  on 
behalf  of  the  contractors,  began  talks,  negotiating  as  individuals  with  no 
commitment  of  support  from  their  groups.   The  Somach-Graff  talks  led  to  a  draft 
framework  for  an  entirely  new  approach.   Somach  and  Graff  were  invited  to 
Washington  D.  C.  to  present  their  results.   Hours  before  the  briefing  was  to  begin, 
Somach  was  forbidden  by  the  CVP  Water  Association  from  entering  the  room. 
Governor  Wilson  had  personally  told  growers  that  they  should  not  participate  in 
talks. 

After  a  burst  of  outrage  in  the  media,  the  growers  asked  to  begin  talks  again.   Before 
talks  began,  Somach  and  Graff  were  each  briefed  by  their  constituent  groups 
regarding  concerns  in  the  'draft  Somach-Graff  approach.   Both  sides  agreed  that  talks 
would  conclude  on  June  20,  when  the  Senate  would  reconvene.    This  time, 
intensive  talks  involved  many  people  addressing  a  variety  of  issues.   On  Friday, 
June  17,  after  receiving  a  blistering  attack  from  water  interests,  Stuart  Somach 
resigned.   Although  he  was  reinstated  on  July  20,  it  was  clear  that  his  clients  were 
again  unable  or  unwilling  to  negotiate.   Thus,  talks  ended,  apparently  permanently. 

In  August  of  1991,  Share  the  Water  began  requesting  a  meeting  with  Senator 
Seymour  to  discuss  compromise  legislation.    Despite  repeated  requests  to  the 
Senator  and  four  staff  members,  no  meetings  with  Share  the  Water  were  granted 
until  August  of  1992,  when  he  met  with  Tom  Graff  for  a  few  minutes.   Several 
Share  the  Water  members  met  with  the  Senator  on  October  1.   The  Senator  has 
never  engaged  in  substantive  discussions  with  the  opponents  of  his  bill  and  has 
indicated  that  he  does  not  wish  to  work  with  the  environmental,  fishing  or 
waterfowl  groups.    Despite  repeated  statements  that  he  is  willing  to  compromise,  the 
Senator  has  never  offered  amendments  to  his  bill  or  to  those  offered  by 
Congressman  Miller  or  Senators  Johnston  or  Bradley. 

Governor  Pete  Wilson  has  also  indicated  a  desire  to  compromise.   However,  when 
he  was  in  the  U.  S.  Senate,  he  killed  the  CVP  reform  legislation.  He  was  partially 
responsible  for  ending  the  Somach-Graff  talks.   In  four  hearings,  representatives  of 
the  Governor  appeared  yet  did  not  present  substantive  comments  or  offer 
amendments.   Indeed  the  Governor  has  never  offered  a  substantive  analysis  of  any 
of  the  legislative  proposals  nor  has  he  offered  amendments  which  would  be 
acceptable  to  him.   His  representative  at  the  November,  1991  meeting  with  Senator 
Bradley  indicated  that  he  did  not  have  the  authority  to  negotiate. 

Governor  Wilson  has  based  his  water  policy  on  a  proposal  to  transfer  the  CVP  to 
state  ownership.  This  position  has  been  used  as  an  excuse  to  oppose  CVP  legislation 
despite  the  fact  that  the  final  version  of  CVP  reform  would  assist  in  the  transfer  of 
the  Project.   By  deferring  to  state  law,  by  addressing  the  environmental  impacts  of 
the  Project,  by  opening  up  the  CVP  to  all  of  the  people  of  California  and  by 


91 

beginning  to  institute  water  pricing  reforms,  Title  34  of  H.R.  429  significantly 
reduces  the  obstacles  to  transfer  of  the  CVP. 

In  short,  neither  Senator  Seymour  nor  Governor  Wilson  have  been  willing  to  enter 
into  negotiations  on  CVP  reform.    On  the  other  hand,  the  proponents  of  reform 
have  demonstrated  that  they  are  eager  to  consider  and  accept  reasonable 
amendments  offered  by  those  with  objections  to  provisions  in  their  legislative 
proposals.   The  evolution  of  the  CVP  bill  has  clearly  indicated  that  these  legislators 
are  flexible  and  willing  to  accommodate  the  interests  of  all  sides. 

Unfortunately  Senator  Seymour,  Governor  Wilson  and  the  CVP  growers  are 
attempting  to  prevent  the  passage  of  any  CVP  reform  legislation.   Fortunately,  the 
rest  of  California  and  the  leaders  of  the  Conference  Committee  realize  that  reform  is 
essential  to  California's  economy  and  environment. 


92 

Share  the  Water 

A  Coalition  for  Federal  Water  Reform 

1736  Franklin  Street,  Suite  300 

Oakland,  CA  94612 
(510)  452-9261;  FAX  (510)  452-9266 


Summary  Discussion  Points  on  S.2016 

January  14,  1992 


On  November  20,  1991,  the  "Central  Valley  Project  Fish  and 
Wildlife  Act  of  1991"  (S.2016)  was  introduced  by  Senator  John 
Seymour  (R-California) .  While  S.2016  may  be  a  welcome  sign  that 
Senator  Seymour  has  begun  to  recognize  the  impacts  of  the  Central 
Valley  Project  (CVP)  on  California's  fish  and  wildlife  resources, 
it  provides  neither  the  authority,  the  water,  nor  the  funds  needed 
to  reasonably  redress  those  impacts.  Indeed,  S.2016 — developed  in 
large  measure  by  CVP  contractors — does  little  more  than  to  preserve 
"business  as  usual"  f or*.  CVP  agriculture  while  deferring  for  years 
what  is  needed  today  in  the  way  of  substantive  and  meaningful  fish 
and  wildlife  mitigation  actions.  S.2016  does  not,  as  such,  meet 
California's  short-term  water  needs,  and  it  will  do  very  little  to 
help  resolve  its  long-term  water-management  problems . 

Specifically,  S.2016: 

o  Fails  to  clarify,  once  and  for  all,  that  fish  and  wildlife 
protection  is  an  important  and  integral  aspect  of  CVP 
operations  and  purposes; 

o  Fails  to  provide  adequate  and  dependable  supplies  of  good- 
quality  water  for  the  protection  and  restoration  of  instream 
and  wetland  resources  in  all  areas  affected  by  the  CVP; 

o  Overlooks  the  critical  issue  of  restoring  fish  and  wildlife 
populations  by  limiting  mitigation  for  CVP  impacts  to 
structural,  and  often  inappropriate,  habitat  restoration 
measures ; 

o  Increases  the  need  for  State  and  Federal  taxpayer  subsidies 
to  the  CVP  to  pay  for  significant  portions  of  fish  and 
wildlife  restoration  measures  because  it  fails  to  provide  the 
funding  and  the  certainty  necessary  to  accomplish  these 
objectives; 

o  Relies  on  a  variety  of  structural  fixes  and  conditional 
agreements  that  will  be  of  limited  utility  absent  adequate 
water,  authority,  and  funding; 


93 


o  Uses  inappropriate  water- transfer  mechanisms  as  smoke 
screens  for  long-term  contract  renewals  while  ignoring 
altogether  the  disposition  of  "unallocated"  CVP  yield;  and 

o  Ignores  the  critical  importance  of  fundamental  water- 
policy  reforms  for  meeting  the  CVP's  environmental  mitigation 
responsibilities  and,  ultimately,  the  water  needs  of  all 
Calif ornians . 

The  following  discussion  expands  upon  each  of  these  points. 

Project  Purposes  The  CVP  is  virtually  the  only  Bureau  of 
Reclamation  project  in  'the  United  States  that  is  not  operated  in 
a  manner  to  protect  fish  and  wildlife.  Despite  the  fact  that 
authorizing  legislation  for  the  CVP  already  provides  for  fish  and 
wildlife  protection  as  a  project  purpose,  federal  contractors  and 
the  Bureau  refuse  to  acknowledge  this  mandate.  Silence  on  this 
issue  reflects  policy  priorities  from  the  1950 's,  not  the  1990 's. 
Existing  State  policies  call  for  the  management  of  California's 
water  for  all  beneficial  purposes,  including  the  substantial  public 
interest  in  fish  and  wildlife  protection.  This  interest  must  be 
reflected  in  any  major  federal  legislation  affecting  fish  and 
wildlife  in  the  Central  Valley. 

Assured  Water  Supplies  For  the  past  40  years,  water 
management  practices  of  the  CVP  have  favored  consumptive  uses  at 
the  expense  of  instream  and  wetland  needs.  Today,  as  a 
consequence,  Central  Valley  wetlands  have  all  but  disappeared, 
while  Delta  smelt,  striped  bass,  and  winter-run  salmon  (among 
others)  are  on  the  brink  of  extinction.  The  reasons  are  clear: 
fish  and  wildlife  populations  need  adequate  and  dependable  supplies 
of  good-quality  water  to  survive,  and  those  supplies  have  simply 
not  been  forthcoming. 

S.2016  does  little  to  change  this  situation.  Water  supplies 
for  Central  Valley  refuges,  for  example,  will  not  be  provided  with 
any  certainty  for  nearly  a  decade.  Even  then,  deliveries  over 
"existing"  levels  will  not  take  place  absent  burdensome  state  and 
local  cost-share  commitments.  Refuge  supplies  will  also  be 
subordinate  to  the  uses,  wants,  and  priorities  of  existing  CVP 
agricultural  contractors . 

Instream  resources  fare  even  more  poorly.  Entirely  ignored 
are  the  needs  of  the  Trinity  and  upper  San  Joaquin  Rivers.  In 
other  areas,  water  for  instream  purposes  must  await  the  findings 
of  a  "Task  Force"  whose  recommendations  will  not  be  finalized  until 
2010 — nearly  two  decades  hence.  Even  those  recommendations  will 
require  subsequent  authorization  by  Congress  to  take  effect,  and 
all  actions  will  be  contingent  upon  state  and  local  cost-share 
commitments  and  the  satisfaction  of  numerous  "social,  economic,  and 


94 


biologic"  criteria.   Nowhere  are  CVP  responsibilities  for  Bay- 
Delta  outflows  even  addressed. 

Fish  and  Wildlife  Populations  Restoring  fish  and  wildlife 
populations  requires  more  than  actions  to  restore  habitat 
conditions  in  specific  locations  in  the  Central  Valley.  S.  2016 
ignores  this  crucial  fact,  implicitly  assuming  that  site-specific 
"techno-fixes"  (see  below)  will  result  in  restored  fish  and 
wildlife  populations .  By  failing  to  provide  measures  and  resources 
specific  to  the  restoration  of  fish  and  wildlife  populations,  as 
well  as  their  habitats,  the  bill  leaves  out  a  fundamental 
mitigation  responsibility. 

Adecmate  Funding  Meaningful  improvements  in  fish  and  wildlife 
conditions  will  require  adequate  implementation  funding  together 
with  assured  supplies  of  water.  (For  example,  voluntary  water 
purchases  and  conveyance-system  improvements  will  be  needed  to 
support  "level  4"  water  deliveries  to  Central  Valley  refuges.) 
Unfortunately,  S.2016  provides  little  in  the  way  of  assured  or 
adequate  funding.  Total  collections  from  existing  agricultural 
contractors  will  be  limited  to  $1.00  per  acre-foot  annually — 
perhaps  $7  million  each  year — with  all  expenditures  subject  to 
further  appropriation  by  Congress.  (At  least  ten  times  that  amount 
could  be  needed,  and  substantially  more  under  the  formulations  of 
this  bill.)  To  the  extent  that  funding  under  this  bill  is 
insufficient  to  cover  the  costs  of  fish  and  wildlife  improvements, 
S.  2016  will  lead  to  increased  public  subsidies  for  the  CVP,  this 
time  for  the  mitigation  of  project  impacts.  The  absence  of 
contract  or  pricing  reforms  (see  below)  also  ensures  that  CVP  water 
will  continue  to  be  sold  at  highly-subsidized  rates — and 
substantially  mis-allocated  as  a  consequence. 

Techno-Fixes  and  Agreements  S.2016  relies  on  a  laundry  list 
of  structures — temperature  curtains,  fish  screens,  fish  ladders, 
replacement  gravels,  fish  hatcheries,  and  so  on — as  substitutes  for 
assured  supplies  of  water.  Absent  water,  however,  these  costly  and 
capital-intensive  "initial  actions"  will  be  of  extremely  limited 
utility.  (Even  with  water,  some,  like  hatcheries,  may  be  ill- 
advised,  and  all  will-  take  years  to  bear  fruit.)  Related  programs 
and  agreements,  such  as  those  intended  to  mitigate  for  "direct 
fishery  losses,"  will  be  limited  by  a  variety  of  implementation 
contingencies,  cost-sharing  requirements,  and  overall  tests  of 
practicability . 

Contracts  and  Water  Management  Existing  CVP  water-supply 
contracts  were  initiated  in  the  1950 's,  and  remain  wholly 
unresponsive  to  California's  changing  economic,  demographic,  and 
environmental  circumstances  and  values .  These  contracts  will 
expire  during  the  next  10  years,  and  it  is  imperative  that  they 
include,  if  and  when  renewed,  both  pricing  and  water-management 
reforms  that  reflect  modern-day  circumstances. 


95 


S.2016  does  little  in  this  regard.  As  noted  above,  the  bill 
fails  to  address  water-price  subsidies  and  needed  pricing  reforms. 
Moreover,  the  bill  actually  weakens  existing  conservation 
requirements  under  federal  reclamation  law;  it  does  nothing  to 
ensure  that  longstanding  problems  of  agricultural  drainage  will  be 
addressed;  and  it  contains  nothing  in  the  way  of  viable  enforcement 
mechanisms.  Even  the  much-heralded  water-transfer  provision  fails 
to  create  the  conditions  necessary  for  an  effective  system  of 
voluntary  water  transfers:  District-level  veto  powers  remain  intact 
and  may  actually  be  strengthened;  only  one-fifth  of  existing 
delivery  totals  can  ever  be  transferred  from  areas  of  current  use; 
and  no  assurance  exists  that  water  reserved  through  a  transfer  tax 
for  groundwater-recharge  purposes  will  be  managed  so  as  to  deal 
with  existing  overdraft  problems. 

S.2016  also  links  contract  renewals  to  water  transfers  in  a 
disingenuous  fashion:  a  100-year  transfer  involving  10  acre-feet 
of  water  would,  for  instance,  automatically  "lock  up"  the  water  not 
transferred  (potentially  thousands  of  acre-feet)  for  the  same  100- 
year  period.  The  bill  is  otherwise  silent,  however,  on  the  issue 
of  contract-renewals,  and  does  nothing  to  ensure  that  new  contracts 
for  allegedly  "unallocated"  CVP  yield  will  be  avoided  in  the 
future.  These  are  gaping  holes,  indeed. 

o  o  o 

From  these  and  other  shortcomings,  it  is  clear  that  S.2016 
falls  dramatically  short  of  its  professed  goals  and  purposes. 
Recognizing,  however,  that  S.2016  is  at  least  a  step  in  the  right 
direction,  the  member  organizations  of  SHARE  THE  WATER  are 
committed  to  working  with  Senator  Seymour  and  other  interests  so 
as  to  best  incorporate  the  viable  elements  of  this  bill  into  S.484, 
the  Central  Valley  Project  Improvement  Act  (Bradley,  as 
introduced).  Only  S.  484  provides  assurances  that  the  management 
of  federal  water  in  California  will  begin  to  respond  to 
contemporary  challenges,  including,  in  particular,  the  immediate 
needs  of  fish  and  wildlife  resources.  It  remains,  as  such,  the 
only  meaningful  platform  for  negotiation  and  possible  amendment. 


96 


INDEX- -Barry  Nelson 

agriculture/water,  lobby  for,   7, 

19 
Association  of  California  Water 

Agencies  (ACWA) ,   20 

Babbitt,  Bruce,   51 

Bank  of  America,   16,  61 

Bay  Area  Economic  Forum,   16 

Bay  Institute,   15 

Beard,  Daniel  (Dan),   6,  75,  78, 

81 

Behar,  David,   14-15,  36,  63 
Boesel,  John,   41-42 
Boronkay,  Carl,   10-12,  61,  73 
Bradley,  Bill/Bradley  bill,   5-6, 

7,  8,  9,  20-21,  27,  29,  30,  40, 

42-43,  47,  59,  60,  63,  65 
Bureau  of  Reclamation.   See  United 

States. 

Burney,  James  (Jim),  67 
Bush,  George,  67,  68-70 
business  interests  and  the  Central 

Valley  Project  Improvement  Act, 

15-18,  40,  69,  70 

California  Business  Roundtable, 

16 
California  Rice  Industry 

Association,   14,  33,  53-54,  60 
California  State  Water  Project 

(SWP),   13,  48,  71,  81 
California  State  Water  Resources 

Control  Board,   11,  49-51 
California  Waterfowl  Association, 

15,  40 

Cannon,  Fred,   16 
Central  Utah  Project,   28,  36,  63 
Central  Valley  Project,   4,  5,  9, 

17-18,  27,  28,  30,  77,  81 

proposed  transfer  to  the  state, 

37-38 
Central  Valley  Project  Water 

Association,   13,  19-20,  37, 

40,  63,  83 

Chap in,  Dan,   15,  36 
Condit,  Gary,   33 
Conrad,  David,   23,  63 
conservation,   73-74 
Cooper,  Dana,   65 


Coordinated  Operation  Agreement, 
80-81 

Defenders  of  Wildlife,   23 
Delta  (San  Francisco 

Bay/Sacramento -San  Joaquin 

Delta  Estuary),   2-3,  46,  71, 

72,  83 

Draft  Decision  1630,   48-51 
Dooley,  Calvin,   33-34,  36,  51-53 
drainage,   78,  84 

Ellsworth,  Gary,   35,  37,  67 
Endangered  Species  Act  (ESA) ,   9, 

11,  17,  32,  48,  50,  76,  83,  84 
Environmental  Defense  Fund  (EOF) , 

2,  3,  8,  9,  15 
Environmental  Impact  Statement 

(EIS),   76-78 
Environmental  Protection  Agency 

(EPA),   49,  76 

farmers  and  the  Central  Valley 

Project  Improvement  Act,   9, 

24-25,  68 
Fazio,  Vic,   33,  36,  51-53,  54, 

59,  60,  83, 
fishing  organizations  and  the 

Central  Valley  Project 

Improvement  Act  (CVPIA) ,   24-25 
Friant  unit,   39 

Gage,  Michael  (Mike),   11 
Garn,  E.J.  (Jake),   36,  39 
Glenn-Colusa  Irrigation  District, 

53-54 

Grader,  Zeke,   36 

Graff,  Thomas  (Tom),   3,  9,  21-23, 
29,  30,  36.   See  also 
Somach/Graff  negotiations, 
ground  water  management,   78-79 

Harvey,  James  (Jim),   16,  61 
Harvey,  Michael  (Mike),   35 

Jensen,  Tom,   6,  8,  65 
Johnston,  J.  Bennett,   35,  37,  39- 
41,  42-45,  47,  59,  60 


97 


Kahrl,  William,   21-22,  44-45,  58 
Kennedy,  David,   31 
Krautkraemer ,  John,   2 

Lanich,  Steve,   6 

Lawrence,  John,   6 

Lehman,  Richard,   33-34,  36,  51-53 

lobbyists/lobbying,   7,  19,  23,  63 

Lockhart,  James  (Jim),   69 

Los  Angeles  Water  and  Power,   18 

Lu j  an ,  Manue 1 ,   63 

McGill,  Michael  (Mike),   15-16, 
36,  61,  69 

Metropolitan  Water  District 

(MET/MWD) ,   10,  11,  13,  18,  20, 
40,  58,  61,  70,  71,  72,  75 

Miller,  George/Miller-Bradley 

bills,   4,  5,  7,  27,  33-34,  44, 
51-53,  59,  60,  61,  63,  69 

National  Resources  Defense  Council 

(NRDC),  8 
National  Wildlife  Federation,   23 

Omnibus  Water  Bill  (H.R.  429), 

26-29 
Osann,  Ed,   23,  63 

Peltier,  Jason,   18,  19,  38,  60 
peripheral  canal,   75-76 
Port  of  Oakland,   16-18,  69 
Port  of  San  Francisco,   16-18 

Racanelli  (Judge  John  T.) 

Decision,   2 
Reisner,  Marc,   33 
rice  farmers.   See  California  Rice 

Industry  Association. 
Robotham,  Douglas,   30-31 

Sacramento  Bee .   22 
Save  San  Francisco  Bay 

Association,   1 
Schifferle,  Patricia,   41-42 
Schuster,  David,   19,  20 
Seymour,  John/Seymour  bill,   5,  6, 

7,  13-14,  18,  25-26,  29,  40, 

42-44,  52-53,  64-65 
Share  the  Water,   3,  5,  6,  7,  14- 

19,  21-26,  28,  30,  32,  33-34, 


36,  39-40,  41-42,  46,  52-53, 

57,  60,  69,  70,  81-83 
Somach/Graff  negotiations,   21-23, 

45,  55-59 
Somach,  Stuart,   13,  19,  20-23, 

30,  31,  60 

State  Water  Contractors,   20 
State  Water  Project  (SWP).   See 

California. 

Three -Way  Water  Agreement  Process, 

18-19 
Transamerica  Corp.,   16,  61 

United  States 

Bureau  of  Reclamation,   75,  77, 

78,  82 

Fish  and  Wildlife  Service,   48, 
52 

Wallop,  Malcolm,   35,  59,  60,  67 
waste  water  reclamation,   74 
water  marketing/transfers,   8,  9, 

10-13,  57-59,  68,  70,  71,  72, 

75,  77,  79,  80 
Water  Resources  Control  Board. 

See  California  State. 
Weiman,  David,   23-25,  63 
Westlands  Water  District,   71,  84 
Wheeler,  Douglas,   30,  31 
Will,  Robert  (Bob),   61 
Wilson,  Pete 

as  governor,   5,  11,  21,  29, 
31-32,  37,  48-51,  69-70,  78 

as  senator,   5 

Yardas,  David,   3,  63 


Malca  Chall 


Graduated  from  Reed  College  in  1942  with  a  B.A.  degree, 
and  from  the  State  University  of  Iowa  in  1943  with  an 
M.A.  degree  in  Political  Science. 

Wage  Rate  Analyst  with  the  Twelfth  Regional  War  Labor 
Board,  1943-1945,  specializing  in  agriculture  and 
services.   Research  and  writing  in  the  New  York  public 
relations  firm  of  Edward  L.  Bernays ,  1946-1947,  and 
research  and  statistics  for  the  Oakland  Area  Community 
Chest  and  Council  of  Social  Agencies,  1948-1951. 

Active,  in  community  affairs  as  director  and  past 
president  of  the  League  of  Women  Voters  of  the  Hayward 
area  specializing  in  state  and  local  government;  on 
county-wide  committees  in  the  field  of  mental  health;  on 
election  campaign  committees  for  school  tax  and  bond 
measures,  and  candidates  for  school  board  and  state 
legislature . 

Employed  in  1967  by  the  Regional  Oral  History  Office 
interviewing  in  fields  of  agriculture  and  water 
resources.   Also  director,  Suffragists  Project, 
California  Women  Political  Leaders  Project,  Land-Use 
Planning  Project,  and  the  Kaiser  Permanente  Medical  Care 
Program  Project. 


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