Agenda Item Wording:
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Water Management Plan - Receive the 2025 Visalia Water Management Annual Report and consider approval of the 2026 Water Management Plan submitted by the Visalia Water Management Committee.
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Agenda Date: 06/15/2026
Prepared by: Nick Bartsch, Public Works Director, (559) 713-4052
Department Recommendation: It is the recommendation of staff that City Council receive the 2025 Annual Report and approve the 2026 Visalia Water Management Plan.
Summary:
The City of Visalia has partnered with Kaweah Delta Water Conservation District (KDWCD) for the purpose of water resources management, supplemental surface water purchases, and the planning and implementation of necessary or opportunistic projects that benefit the City. Annually, a report on the prior year’s activities is provided, along with a presentation of the Water Management Plan for the upcoming year.
Background Discussion:
In 2001, the City of Visalia (City) partnered with the Kaweah Delta Water Conservation District (KDWCD). The contract (Contract) is valid for a term of 40 years, at which time both parties have the option to re-negotiate terms.
According to the terms of this agreement, there is a Management Committee comprised of a representative of the City of Visalia (Steve Nelsen, Council Member), and a representative of KDWCD (Don Mills, KDWCD Board Member). KDWCD has committed to manage the implementation of the Plan, on behalf of the City, and the City provides an annual payment, that is increased annually for inflation, for implementation of the annual Plan. In 2025, the City provided $182,369.81 for this purpose. The funds are designated for beneficial purchases and/or projects, when such purchases are considered economically feasible. As a result of unpredictable and alternating wet and dry years, opportunities to purchase additional water supplies are not constant and highly volatile. Years in which reasonable supplemental resources are unavailable, un-utilized funds are rolled over into the following year.
As per the contract, KDWCD provides an annual report and a management plan for the incoming year for the City Council to approve. Below is a description of the 2026 Visalia Water Management Plan (Plan). A copy of the Plan has been included as an attachment. A majority of the Plan is comprised of various objectives and both short- and long-range goals outlined by the Management Committee. These include basic actions such as location and purchase of supplemental surface water supplies, further assessment of potential water recharge facilities, and the investigation and pursuit of available water rights for the purposes of groundwater recharge. In years past, the Plan specifically identified the intent to contribute 70% of funds collected toward water project design, construction and land rights, 20% toward water purchases, and finally the remaining 10% toward the purchase of water rights. Given the changing climate of the industry, in 2025 a shift and consolidation of these allocations was made to reflect 60% of funds collected to be applied to water project design, construction and land rights, and the remaining 40% toward the generic purchase of water supply. The Plan includes a contingency for the KDWCD to be authorized to purchase water for the benefit of the City upon mutual agreement by the District General Manager and the Visalia City Manager. This authorization is to prevent a delay of purchase when action is required sooner than the Management Committee has the ability to convene. This allows for the use of up to 75 percent of available funds allocated to surface water purchases from the agreement’s program funds on deposit with the District to purchase water, at a rate of no more than $300 per acre foot.
To better account for funds held by the VWMC and to achieve a more favorable interest rate, KDWCD opened a separate account through Westamerica Bank. Additionally, to true up the accounting of accrued interest, $127,621.52 was added to the VWMC budget for the period between February 2024 and May 2026.
Fiscal Impact including annual maintenance and operating costs:
In Fiscal Year 2025/26, the City paid $15,163.37 a month, totaling $182,369.81. With an adjustment for inflation at a rate of 2.6%, the City will be paying $15,572.78 a month in the upcoming Fiscal Year 2026/27. These costs are paid from multiple revenue sources including Ground Water Extraction fees collected through Cal Water, and City fees collected from Ground Water Mitigation impact fees and Water Recharge fees.
Prior Council Action: City Council approved the 2025 Visalia Water Management Plan in February of 2025. City Council approved the original Plan in December of 2001.
Alternatives: The City Council may choose not to approve the Plan in which case the Management Committee would be required to re-convene and submit a modified plan.
Recommended Motion (and Alternative Motions if expected):
recommendation
I motion to receive the 2026 Visalia Water Management Annual Report and approve the 2026 Visalia Water Management Plan as submitted by the Kaweah Delta Water Conservation District.
Environmental Assessment Status: N/A
CEQA Review: N/A
Deadline for Action: 06/15/2026
Attachments: Click or tap here to enter text.
• Visalia Water Management Committee - 2025 Annual Report - Cover Letter
• Visalia Water Management Committee - 2025 Annual Report
• Visalia Water Management Committee - 2026 Visalia Water Management Plan
Strategic Goal: Indicates which City Strategic Goal(s) this item supports. Check all that apply.
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