CIPA Advocacy Holds the Line on Water Board Fees

CIPA members received some good news on regulatory costs this week, as the State Water Resources Control Board unanimously approved its fiscal year 2026-27 permit fee schedules while largely maintaining the existing Waste Discharge Permit Fund fee structure.

At its September 15 meeting, the State Water Board considered revisions to the Core Water Quality Regulatory Fee Schedules under Agenda Item 5. The result included two important outcomes for California's independent oil and natural gas producers.

First, Water Board staff had proposed a 3.3 percent increase in the Waste Discharge Report permit fee. CIPA's advocate opposed the increase and requested that the existing fee instead remain unchanged because the program has sufficient operating reserves. The Board accepted that position and approved no increase in the fee.

Second, the Oil & Gas surcharge associated with wastewater discharge permits will also remain stable. This marks the fifth consecutive year without an increase in that surcharge.

The outcome is particularly noteworthy in a regulatory environment where California businesses routinely face increasing fees and compliance costs. Earlier Water Board budget materials showed the Waste Discharge Permit Fund's FY 2026-27 budget allocation declining approximately one percent from the prior year's fee-setting budget, from roughly $196.9 million to $195 million.

CIPA continues to actively participate in the Water Board's fee-setting and regulatory processes to ensure that independent producers are represented when state agencies consider costs that directly affect their operations.

Members interested in reviewing the broader fee-setting process and supporting materials can visit the State Water Board's Water Quality Fees Stakeholder Information page.