The Quantification Settlement Agreement and Related Agreements are a set of inter-related contracts that settle certain disputes among the United States, the State of California, IID,Metropolitan Water District, Coachella Valley Water District and the San Diego County Water Authority that became effective in October 2003. The agreements resolve, for a period of 35 to 75 years, issues regarding the reasonable and beneficial use of Colorado River water; the ability to conserve, transfer and acquire conserved Colorado River water; the quantification and priority of Priorities 3 and 6 within California for the use of Colorado River water; and the obligation to implement and fund environmental impact mitigation related to the above.

Conserved water transfer agreements between IID and SDCWA, IID and CVWD and IID and MWD are all part of the QSA and Related Agreements. These contracts identify the conserved water volumes and transfer schedules for IID along with the price and payment terms. As specified in the agreements, IID will transfer to SDCWA up to 200,000 AFY and to CVWD and MWD combined up to 103,000 Acre Feet per Year (AFY) of water conserved from delivery system improvements and on-farm efficiency improvements, all in return for payments totaling billions of dollars. In addition, IID will transfer up to 67,000 AFY of conserved water from the lining of the All-American Canal to SDCWA and certain San Luis Rey Indian Tribes in exchange for the payment of all lining project costs and a grant to IID of certain rights to use the conserved water.

As a result of the QSA and Related Agreements, IID will be able to more efficiently and effectively deliver Colorado River water to the Imperial Valley. Imperial Valley water users will be able to more effectively and efficiently irrigate their farms, thus preserving and enhancing Imperial Valley agricultural output, with all costs and impacts compensated by the payments to IID for the conserved water. IID will face minimum future risk from challenges to the purpose or reasonableness of IID’s water use, and thus enable the Imperial Valley to rely upon the large senior Colorado River water rights IID possesses.

In short, the QSA and Related Agreements provide the methods and the means to allow IID to elevate its Colorado River water use to efficient 21st Century standards and ensure the continued availability of this precious supply.