MEMORANDUM

TO: Water Users

FROM: Phil Nixon

SUBJECT: 2008 Water Allocation

DATE: March 18, 2008

This morning DWR staff reviewed its allocation analysis for 2008 and indicated there will be no change to the current SWP allocation of 35%. DWR’s 90% exceedence studies (9 years out of 10 wetter than estimate) indicate a 36% allocation using the most restrictive actions from the court decision regarding delta smelt and a 40% allocation with less restrictive actions. DWR’s 75% exceeedence studies show an allocation range of 47% to 51%. DWR’s 50% exceedence studies (assumes average precipitation from March 1 through the balance of the year) show an allocation range of 58% to 62%. The first half of March has been dry. DWR estimates the delta smelt export restrictions have cost the SWP 465,000 acre-feet through mid-March. DWR will continue to update us weekly regarding operations. In mid-April, DWR will update its 2008 allocation analysis.

Earlier this month, we initiated groundwater recovery operations. We will send a memorandum describing the estimated cost and yield of that program as soon as we get updated information from the Agency.

We will notify you as soon as we receive any new information. If you have questions in this regard, please give me a call at (661) 633-9022.

Update08