Central Valley SGMA and SWRCB Updates
April 2026 proved to be a pivotal month for Central Valley Groundwater Sustainability Agencies (“GSAs”) seeking relief from the State Water Resource Control Board (“SWRCB”). On April 7, 2026, the SWRCB approved a resolution to return the Delta-Mendota Subbasin, which was on the brink of a probationary designation, back to the jurisdiction of the Department of Water Resources (“DWR”). Then, on April 22, 2026, the SWRCB voted to deny the GSAs in the Tule Subbasin requests for exceptions from probationary fees and reporting otherwise due on May 1, 2026.
This article provides a brief overview of Sustainable Groundwater Management Act (“SGMA”) as well as a summary of recent SWRCB actions concerning Central Valley GSAs.
A. SGMA
California passed SGMA in 2014 due to growing concerns about groundwater sustainability, subsidence, water quality, and the environment as a whole. SGMA requires that local agencies form GSAs to oversee groundwater basins as designated by the state. These GSAs were then tasked with developing Groundwater Sustainability Plans (“GSPs”) to reduce groundwater overdraft and attain sustainable groundwater levels by 2040 (or 2042 where applicable). After each GSA, or groups of GSAs, develop a GSP or GSPs for their subbasin, DWR evaluated the GSP(s) to ensure compliance with SGMA. DWR makes the determination as to whether or not a GSP is approved, incomplete (needing corrective action within 180 days), or inadequate (there are significant issues that may lead to probation and intervention by the SWRCB).
Ideally, the DWR will approve all GSPs, or suggest minor corrective actions that GSAs can address and rectify as part of their five-year updates. However, in practice, obtaining GSP approval has proven elusive for some GSAs in high priority basins with critical overdraft.
B. What Probationary Status Means
If DWR determines that the GSP(s) submitted by GSAs in a subbasin are inadequate, and that after some back-and-forth it appears GSA management continues to fall short of SGMA’s requirements, the SWRCB is permitted to take temporary control over subbasins. After a subbasin is placed under the SWRCB’s jurisdiction, the SWRCB will not relinquish control until GSAs are able to regain compliance.
To cover the costs of the SWRCB’s jurisdictional oversight, SGMA allows the SWRCB to impose fees, obtain extraction reports, and monitor basins for sustainability. The fees the SWRCB may impose against pumpers in a probationary basin can be hefty and have historically been adopted by emergency rule making, which limits any public process. For example, by May 1 2026, the SWRCB will require pumpers to pay a $300.00 annual filing fee per well, and $20.00 per acre-foot (“AF”) of groundwater pumped. Those who are considered de minimus users (pump less than 2 AF) or those who pump less than 20 AF are currently exempt from these fees. We note, however, that these fees are in addition to the fees already imposed by GSAs, causing additional financial strain to the agricultural community.
As of April 2026, there are two subbasins with probationary designations: Tule Subbasin and Tulare Lake Subbasin. There were also two subbasins at risk of a probationary designation: Delta-Mendota Subbasin and Pleasant Valley Subbasin.
C. Delta-Mendota Subbasin is Taken off the Probationary Path
Prior to April 7, 2026, the Delta-Mendota Subbasin was placed under the jurisdiction of the SWRCB due to the inadequacy of its 2022 six GSPs and the SWRCB was evaluating whether or not probationary designation was warranted. However, between 2022 and 2024, the Delta-Mendota Subbasin GSAs and SWRCB staff continued to meet on a regular basis to attempt to rectify plan deficiencies and the Delta-Mendota Subbasin GSAs decided to prepare one GSP that replaced and superseded the prior six coordinated GSPs in the Subbasin. This enormous effort was made by the Delta-Mendota Subbasin GSA to avoid a probationary designation and return to the purview of DWR. On April 7, 2026, the Delta-Mendota Subbasin GSAs’ hard work paid off. At the SWRCB meeting, the SWRCB Board of Directors (“Board”) voted to approve a resolution that took the Delta-Mendota Subbasin off the probationary path, and returned it to the jurisdiction of DWR, allowing the Delta-Mendota Subbasin to avoid probation and any further SWRCB oversight or potential fees.
D. Tule Subbasin
Tule Subbasin was not so lucky. On April 22, 2026, the Board declined to grant exclusions from the May 1, 2026 probationary fee and reporting requirements to eight Tule Subbasin GSAs. The GSAs’ exclusion requests were under review for over six months, during which time GSAs provided SWRCB staff with a wide array of information concerning their entitlement to exclusion. However, SWRCB staff determined that no GSA had demonstrated adequate groundwater management as each of the GSAs were deficient in at least one of four key areas: groundwater budget, management actions compliance, land subsidence, or mitigation plans.
Members of the public representing GSAs in the Tule Subbasin requested that, if the Board was unwilling to exclude the entire GSA, then the Board should at least exclude those pumpers within the GSAs who had abided by the GSP requirements, thereby excluding “good actors.” Though the Board considered this alternative, it was determined that doing so would pull time and resources away from SWRCB’s efforts to get the Tule Subbasin out of probation and potentially cause further divisiveness in the Tule Subbasin, so was not worth pursuing. As such, all pumpers in the Tule Subbasin, except those in Kern-Tulare Irrigation District and Delano-Earlimart Irrigation District, are required to abide by the probationary and reporting requirements as of May 1, 2026. As noted above, there is an exemption for de minimis users and those who pump less than 20 AF.
E. Other SWRCB Decisions: Probationary Fee Exclusions
At the SWRCB’s April 7, 2026 meeting, the Board approved a resolution excluding small pumpers in Tule Subbasin and Tulare Lake Subbasin from probationary fees. SWRCB staff found that in the Tule Subbasin, around 49% of pumpers used less than 2% of the groundwater extracted, and in Tulare Lake Subbasin, around 44% of pumpers used less than 1% of groundwater. Given such a high percentage of pumpers used so little subbasin water, SWRCB staff recommended that those pumpers who extracted 20 AF or less be excluded from pumping fees. The Board approved this recommendation, but with an added caveat for Tulare Lake Subbasin small pumpers: they cannot export groundwater out of the Tulare Lake Subbasin.
F. Conclusion
Compliance with SGMA continues to be a struggle for Central Valley communities and GSAs. Though the Delta-Mendota Subbasin was able to avoid a probationary designation, the Tule and Tulare Lake Subbasins are still subject to SWRCB oversight, and there is a deadline of May 1, 2026, to comply with reporting requirements of the SWRCB. Probationary fee invoices will be sent out by the SWRCB after the reporting deadline. To review last year’s updates, click here.
Disclaimer
This Legal Update / Bulletin is for educational purposes only as well as to give you general information and a general understanding of the law, not to provide specific legal advice. This update should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.
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