Los Molinos Mutual Water Co. v. Ekdahl

CourtDistrict Court, E.D. California
DecidedMay 21, 2024
Docket2:21-cv-01961
StatusUnknown

This text of Los Molinos Mutual Water Co. v. Ekdahl (Los Molinos Mutual Water Co. v. Ekdahl) is published on Counsel Stack Legal Research, covering District Court, E.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Los Molinos Mutual Water Co. v. Ekdahl, (E.D. Cal. 2024).

Opinion

1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 FOR THE EASTERN DISTRICT OF CALIFORNIA 10 11 LOS MOLINOS MUTUAL WATER No. 2:21-cv-01961-DAD-DMC COMPANY, et al., 12 Plaintiffs, 13 ORDER GRANTING PLAINTIFFS’ v. REQUEST FOR JUDICIAL NOTICE AND 14 GRANTING IN PART AND DENYING IN ERIK EKDAHL, et al., PART DEFENDANTS’ MOTION TO 15 DISMISS CERTAIN OF PLAINTIFFS’ Defendants. CLAIMS 16 (Doc. Nos. 63, 67) 17

18 19 This matter is before the court on the motion to dismiss filed by defendants Erik Ekdahl, 20 Eileen Sobeck, E. Joaquin Esquivel, Dorene D’Adamo, Sean Maguire, Laurel Firestone, and 21 Nichole Morgan (collectively, “the Board defendants”), and by defendant Charlton Bonham, on 22 November 1, 2023. (Doc. No. 63.) The pending motion was taken under submission on 23 November 13, 2023. (Doc. No. 65.) For the reasons explained below, the pending motion to 24 dismiss will be granted in part and denied in part. To the extent the pending motion to dismiss is 25 granted, plaintiffs will not be granted further leave to amend. 26 BACKGROUND 27 On October 18, 2023, plaintiffs Los Molinos Mutual Water Company (“Los Molinos”), 28 Peyton Pacific, LLC (“Peyton”), and Stanford Vina Ranch Irrigation Company (“Stanford Vina”) 1 filed their operative second amended complaint (“SAC”) challenging emergency regulations and 2 water curtailment orders promulgated by the California State Water Resources Control Board 3 (“Board”) in response to extreme drought conditions occurring in 2021 and 2022. (Doc. No. 62.) 4 Plaintiffs did not name the Board as a defendant but rather brought this lawsuit against the Board 5 defendants in their official capacities as members of the Board and staff employed by the Board.1 6 (Id. at 1.) In addition, plaintiff Stanford Vina is asserting claims against defendant Bonham, the 7 executive director of the California Department of Fish and Wildlife (“the Department”), for 8 allegedly abandoning fish ladders and screens intended to protect threatened Central Valley 9 Spring Run Chinook Salmon (“salmon”) and California Central Valley Steelhead (“steelhead”). 10 (Id. at ¶¶ 188–204.) Plaintiff Stanford Vina is also asserting a claim against the Board defendants 11 for violating the Endangered Species Act. (Id. at ¶¶ 205–08.) Plaintiffs allege as follows in their 12 SAC. 13 Plaintiffs and their shareholders own land in the vicinity of Mill Creek and Deer Creek in 14 Tehama County, California, and hold and administer water rights appurtenant to their land 15 holdings. (Id. at ¶¶ 6–8.) Specifically, plaintiffs possess “adjudicated water rights” that permit 16 them to divert water from Mill Creek (Los Molinos and Peyton) and Deer Creek (Stanford Vina) 17 that is used for approximately 11,000 acres of irrigated land, including “for permanent plantings, 18 including orchards, and for irrigated pasture, stock watering, and similar beneficial uses.” (Id.) 19 Plaintiffs Los Molinos and Stanford Vina have also invested in water-related infrastructure to 20 divert and distribute water for their shareholders’ use. (Id. at ¶¶ 6, 8.) 21 On April 21, 2021, Governor Gavin Newsom issued a proclamation declaring a drought 22 state of emergency in California and directed state agencies to take certain actions in response to 23 the drought. (Id. at ¶ 46.) On May 10, 2021, Governor Newsom issued another proclamation 24 related to the drought emergency which directed the Board and the Department to work with 25

1 The Board defendants are: Erik Ekdahl, the deputy director of the division of water rights at 26 the Board; Eileen Sobeck, the executive director of the Board; E. Joaquin Esquivel, the chair of 27 the Board; Dorene D’Adamo, the vice chair of the Board; and Sean Maguire, Laurel Firestone, and Nichole Morgan, members of the Board. (Doc. No. 16 at ¶ 9.) 28 1 water users and other parties on voluntary measures to implement actions needed to protect 2 salmon, steelhead, and other native fishes. (Id. at ¶ 47.) 3 Meanwhile, on or about May 5, 2021, representatives from the Department, the Board, 4 and the National Marine Fisheries Service (“NMFS”) invited plaintiffs Stanford Vina and Los 5 Molinos to discuss the 2021 water conditions and fish passage in Deer Creek and Mill Creek. (Id. 6 at ¶ 33.) Plaintiffs allege that during this meeting, plaintiffs Stanford Vina and Los Molinos were 7 given “an ultimatum”: They submit a proposal to ensure fish passage in 2021, or the Board 8 would adopt and impose emergency regulations that would curtail plaintiffs’ water rights. (Id.) 9 In response, plaintiffs Stanford Vina and Los Molinos submitted proposals for implementing 10 “multi-benefit channel restoration projects” as well as “fishery protection proposals,” which 11 included a request for compensation for water transferred for instream use. (Id. at ¶ 34.) The 12 Board, the Department, and NMFS allegedly rejected these proposals explaining that they did not 13 have authority to authorize the measures that plaintiffs had proposed. (Id. at ¶ 35.) Despite 14 rejecting these proposals from plaintiffs Los Molinos and Stanford Vina, “water users on Mill 15 [Creek] and Deer [Creek] did coordinate with [the Department] and NMFS to voluntarily 16 implement pulse flows in the spring of 2021 for benefit to the fishery, while minimizing impacts 17 to agricultural beneficial uses.” (Id. at ¶ 37.) The 2021 spring salmon run that followed these 18 voluntary measures was allegedly “very large” and “excellent.” (Id. at ¶¶ 38, 41.) 19 However, plaintiffs allege that on September 1, 2021, all defendants issued a notice of 20 proposed emergency rulemaking proposing the adoption of emergency regulations to implement 21 minimum instream flows to protect anadromous fish and provide other public uses. (Id. at ¶ 49.) 22 Plaintiffs allege that the effect of the proposed emergency regulations would require them, and 23 their shareholders, “to forbear from exercising their vested rights to use water from Deer and Mill 24 Creeks during irrigation season, thereby eliminating those rights.” (Id.) On September 22, 2021, 25 defendants Esquivel, D’Adamo, Maguire, Firestone, and Morgan considered the proposed 26 emergency regulations at a regularly scheduled meeting of the Board. (Id. at ¶ 55.) Plaintiffs 27 allege that at that meeting of the Board, no evidentiary hearing was held regarding the emergency 28 regulations despite plaintiffs requesting such a hearing and pointing out that if the emergency 1 regulations were adopted and implemented an “inverse condemnation and taking would occur.” 2 (Id. at ¶ 56.) Plaintiffs also allege that their requests to cross-examine employees of the 3 Department, the Board, and NMFS who presented on the purported merits of the emergency 4 regulations at the meeting were denied. (Id. at ¶ 57.) At the conclusion of the Board’s 5 September 22, 2021 meeting, defendants Esquivel, D’Admo, Maguire, Firestone, and Morgan 6 approved Resolution No. 2021-0038, which adopted the proposed emergency regulations, with 7 some minor modifications. (Id. at ¶ 59.) On October 4, 2021, the California Office of 8 Administrative Law approved the proposed emergency regulations, specifically, California Code 9 of Regulations title 23, §§ 876.5, 876.7, 878.4, and amended §§ 878.7, 879 (“the 2021 Emergency 10 Regulations”), which then went into effect. (Id.) On August 5, 2022, the Board defendants 11 issued a notice of re-adoption of the 2021 Emergency Regulations. (Id. at ¶ 105.) Plaintiffs 12 submitted timely written comments regarding the re-adoption of the 2021 Emergency 13 Regulations. (Id. at ¶ 106.) On August 16, 2022, defendants Esquivel, D’Adamo, Maguire, 14 Firestone, and Morgan approved Resolution No. 2022-0030, which re-adopted the proposed 15 emergency regulations as modified at the regularly scheduled meeting. (Id.

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Bluebook (online)
Los Molinos Mutual Water Co. v. Ekdahl, Counsel Stack Legal Research, https://law.counselstack.com/opinion/los-molinos-mutual-water-co-v-ekdahl-caed-2024.