10-31-08

 10-31-08Merced Sun-StarCalif. cuts water deliveries to cities, farms...SAMANTHA YOUNG, Associated Press Writerhttp://www.mercedsunstar.com/167/story/523467.htmlSACRAMENTO The state said Thursday it would cut water deliveries to their second lowest level ever, prompting warnings of water rationing for cities and less planting by farmers.The Department of Water Resources announced it will deliver just 15 percent of the amount that local water agencies throughout California request every year. That marks the second lowest projection since the first State Water Project deliveries were made in 1962.Farmers in the Central Valley say they'll be forced to fallow fields, while cities from the San Francisco Bay area to San Diego might have to impose mandatory water rationing.Mike Young, a fourth generation farmer in Kern County, called the water projections disastrous."For the amount of acres we've got, we're not going to have enough water to farm," he said.The reservoirs that are most crucial to the state's water delivery system are at their lowest levels since 1977. That follows two years of dry weather and court-ordered restrictions on water pumping out of the Sacramento-San Joaquin Delta. This year, water agencies received just 35 percent of the water they requested.Lake Oroville, California's second largest reservoir, is usually half full this time of year but is at just 30 percent capacity.In Southern California, the Metropolitan Water District - the agency that supplies water to about half the state's population - has depleted more than a third of its water reserves. The agency's general manager, Jeff Kightlinger, said Californians must immediately reduce their water use to stretch what little water is available."We are preparing for the very real possibility of water shortages and rationing throughout the region in 2009," Kightlinger told reporters in conference call.He said his board will consider rationing during its meeting next month.The State Water Project delivers water to more than 25 million residents and 750,000 acres of farmland.In 2006, water agencies received their full allotment, in part because of heavy rains and a thick Sierra snowpack that year. But last year, a federal court limited water pumping out of the delta to protect the threatened delta smelt.Department of Water Resources Director Lester Snow said the bleak outlook underscores the governor's call to retool California's massive water storage and delivery system.Gov. Arnold Schwarzenegger favors building more dams and designing a new way to funnel water through or around the environmentally fragile delta. The proposals have failed to gain traction in the Legislature.Earlier this year, Schwarzenegger called on water agencies to voluntarily cut their water use 20 percent by 2020. He has stopped short of issuing a mandatory conservation order, a strategy that has never been used by the state, Snow said."Our strong preference is that the regions design a program that best fits their own needs," Snow said. "If things get worse, we will take additional action."Hours after the state issued its forecast, a storm system brought rain across a wide area of Northern California. Department of Water Resources meteorologist Elissa Lynn said between 5 and 6 inches could fall in the northern Sierra by the end of the weekend, but added the system will have little effect on the state's longer-term water woes.Even with Thursday's dire projection, a wet and snowy winter could mean cities and farms ultimately get more water, said Ted Thomas, a spokesman for the state water department.That was the situation in 1993, when the state promised contractors just 10 percent of their requests, the lowest initial projection on record. That later was revised to 100 percent after the state received heavy precipitation.Unlike then, state and federal water agencies are under a court order to cut pumping from the delta because a federal judge last year ruled that the giant pumps were harming threatened fish."We are anticipating drastically reduced water supplies, regardless of weather conditions," Laura King Moon, assistant general manager of the State Water Contractors, said in a statement.Farmers also are making decisions now on what to plant next year. Based on the state's initial projection, Young, the Kern County farmer, said he will be forced to fallow a fifth of his 5,000 acres.The little water coming to him will go to his permanent crops - pistachio, almond and cherry trees - while most of his tomatoes and alfalfa will not get planted."We've got to start spending money on next year's crop now," Young said. "Anyone whose pulling water off the State Water Project is going through the same thing."Jim Beck, general manager of the Kern County Water Agency, said farmers fallowed some 20,000 acres this year. He estimated 50,000 acres would be fallowed next year and another 40,000 acres of permanent crops would yield less fruit and nuts.Fewer crops will mean fewer farm hands needed to plant, maintain and harvest them."We're seeing a phenomenon in the Central Valley where growers who have been in the business of agriculture are laying off workers who have been with them for 20 or 30 years because they don't have the water," Beck said. "It's one thing to see brown lawns and shorter showers in urban areas. The real impact in the Central Valley is people are having to find new jobs." Fireplace users will face tougher air pollution rules...MARC BENJAMIN, The Fresno Beehttp://www.mercedsunstar.com/167/story/524874.htmlValley residents seeking to trim their heating bills in a sour economy will be tempted to light a log in the fireplace this winter.But starting Saturday, they'll have fewer chances to strike that match without breaking the law.Tough new air pollution rules could more than quadruple the number of no-burn days to an estimated 48 in some corners of the Valley this winter. And the rules will now apply to foothill residents, who have been exempt in the past from such limits. The rules apply through Feb. 28.Rule violators will face a $50 fine for the first offense.Violators can escape the fine by attending an air pollution class. But additional offenses carry larger fines. A second violation in a three-year period drives the fine up to $150 and further violations would escalate the fine from there.Wood burning is banned on winter days when particle pollution hangs in the Valley's cold, hazy air. Restrictions on fireplace use are needed because the Valley's air quality is among the nation's worst, air pollution officials say...The additional limits on wood burning are expected to cut tiny particle pollutants by 435.7 tons in the Valley by 2010, with nearly half of the reductions occurring in Fresno County.Only people who do not have access to natural gas are exempt, said Anthony Presto, a district spokesman.Guess where those idiots want to put the newest national "biological defense" laboratory?...M1, The SunspotBio Lab in Galveston Raises Concerns...James C. McKinley Jr., New York Times...October 28, 2008http://sunspot.mercedsunstar.com/?q=node/5399GALVESTON, Tex. — Much of the University of Texas medical school on this island suffered flood damage during Hurricane Ike, except for one gleaming new building, a national biological defense laboratory that will soon house some of the most deadly diseases in the world.How a laboratory where scientists plan to study viruses like Ebola and Marburg ended up on a barrier island where hurricanes regularly wreak havoc puzzles some environmentalists and community leaders.“It’s crazy, in my mind,” said Jim Blackburn, an environmental lawyer in Houston. “I just find an amazing willingness among the people on the Texas coast to accept risks that a lot of people in the country would not accept.”Officials at the laboratory and at the National Institutes of Health, which along with the university is helping to pay for the $174 million building, say it can withstand any storm the Atlantic hurls at it.Built atop concrete pylons driven 120 feet into the ground, the seven-floor laboratory was designed to stand up to 140-mile-an-hour winds. Its backup generators and high-security laboratories are 30 feet above sea level.“The entire island can wash away and this is still going to be here,” Dr. James W. LeDuc, the deputy director of the laboratory, said. “With Hurricane Ike, we had no damage. The only evidence the hurricane occurred was water that was blown under one of the doors and a puddle in the lobby.”The project enjoyed the strong support of three influential Texas Republicans: President Bush, a former Texas governor; Senator Kay Bailey Hutchison; and the former House majority leader, Tom DeLay, whose district includes part of Galveston County. Officials at the National Institutes of Health, however, say the decision to put the lab here was based purely on the merits. It is to open Nov. 11.Dr. LeDuc acknowledged that hurricanes would disrupt research. Each time a hurricane approaches the island, scientists will have to stop their experiments and exterminate many of the viruses and bacteria they are studying.And Hurricane Ike did not provide the worst-case test the laboratory will someday face, some critics say. Ike’s 100-m.p.h. winds were on the low side for a hurricane, yet it still flooded most of the island’s buildings. The university’s teaching hospital, on the same campus as the lab, has been shut down for more than a month.“The University of Texas should consider locating its biohazards lab away from Galveston Island and out of harm’s way,” Ken Kramer, director of the Lone Star Chapter of the Sierra Club, said. “As destructive as it was, Hurricane Ike was only a Category 2 storm. A more powerful storm would pose an even greater threat of a biohazards release.”The laboratory is one of two the Bush administration pushed after the Sept. 11, 2001, terrorist attacks. The second is being built at Boston University Medical Center, where it met stiff community resistance.Not so in Texas, where there was hardly a whimper of protest. For starters, the University of Texas Medical Branch is one of the largest employers on the island of 57,000 people.In addition, the leaders of the medical school skillfully sold community leaders and politicians on the high-tech safety measures at the lab and on the economic boon to Galveston, an impoverished town in need of the 300 jobs the laboratory would bring.University leaders met twice a month with community leaders for several years to dispel fears of pathogens escaping. Then they created a permanent advisory committee of residents that included some of their critics.The campaign to win over residents was effective. In 2004, the university built a small laboratory and won federal approval to study extremely lethal pathogens there. The smaller laboratory — named for Dr. Robert E. Shope, a virus expert — helped persuade federal officials it was feasible to erect the national laboratory next to it.Nonetheless, some community members remain skeptical about the safety measures.“It is not a geographically good location, and the safety measures are only as good as the people who work there,” said Jackie Cole, a former City Council member who now serves on a citizen’s advisory board for the laboratory.Other environmentalists who might have fought the project were bogged down in a battle against a liquid natural gas plant that was to be built in Texas City, a refinery town across a narrow channel from the island.“It kind of went under the radar,” said Bob Stokes, who heads the Galveston Bay Foundation, a group dedicated to cleaning up water pollution.Dr. LeDuc and other scientists at the laboratory say it is almost impossible for diseases to escape. The air pressure in the laboratories is kept lower than in surrounding hallways. Even if the double doors into the laboratories are opened accidentally, air rushes in, carrying pathogens up and away through vents to special filters, which are periodically sterilized with formaldehyde and then incinerated.All the laboratory tables have hoods that suck contaminated air through the vents to the filters, as do the rooms themselves. Liquid waste, feces and urine go to tanks on the first floor, where it is heated to a temperature at which nothing can survive before being put into the sewage system.Other waste — carcasses of laboratory animals and disposable lab equipment — is sterilized in autoclaves, giant steam-pressure cookers, before being incinerated off site, Dr. LeDuc said.When hurricanes threaten the island, researchers will shut down their experiments at least 24 hours before landfall, decontaminate the labs and then move the stocks of deadly pathogens into freezers on upper floors, where they are kept at 70 below zero, Dr. Joan Nichols, an associate director of research, said.Even if the emergency power system were to fail, the freezers can keep the samples of killer diseases dormant for about four days, she said.The precautions are necessary. The laboratory will do research into some of the nastiest diseases on the planet, among them Ebola, anthrax, tularemia, West Nile virus, drug-resistant tuberculosis, bubonic plague, avian influenza and typhus.In the top-level secure laboratories, where deadly filoviruses like Ebola are studied, the scientists work in pressurized spacesuits inside rooms with airtight steel doors. Before leaving the secured area, they take a chemical shower for eight minutes in their suits, then a conventional shower, Dr. LeDuc said.The university’s bid for the laboratory benefited from friends in Washington. Mr. DeLay, who resigned from Congress in 2006, pushed hard to bring the project to his district, as did Mrs. Hutchison, who sits on the Appropriations Committee.On a visit to Galveston with Mr. Delay in 2005, Mr. Bush said: “This hospital is going to be the Texas center for bioshield research, to help us make sure that our country is well prepared as we engage in the war on terror. No better place, by the way, to do substantial research than right here at the University of Texas.”Galveston’s medical school has long had a top-notch faculty in infectious diseases; the school’s proposal beat out bids from the University of California, Davis, the University of Illinois at Chicago and the Wadsworth Center in Albany, among others.Dr. Rona Hirschberg, a senior program officer at the National Institute of Allergies and Infectious Diseases, an agency of the National Institutes of Health, said politics played no role in the decision to build the lab here. The threat of hurricanes was outweighed, she said, by the presence of some of the best virologists in the country, she said.“You could put it out in the middle of nowhere and it would be a safe, secure facility,” Dr. Hirschberg, a molecular biologist, said. “But the research wouldn’t get done.”Comments: http://sunspot.mercedsunstar.com/?q=node/5399 Sounds like a bad idea.The...wxyz said,Sounds like a bad idea. The Livermore Lab is built over an earthquake fault, same thing...Merced would be great...dave95348 said, Merced would be great. Nothing important here if there is an accident and we need the jobs (a bit tongue in cheek)...Merced County supervisor candidates try to create separationIn final week of campaign, Jim Sanders and Hub Walsh hope final push wins tight race...SCOTT JASONhttp://www.mercedsunstar.com/167/story/524846.htmlThe two candidates seeking a seat on the Merced County Board of Supervisors will make their last-ditch effort this weekend to win votes.Jim Sanders and Hub Walsh both sent out mailers touting their leadership ability. Both will hit the pavement to make face-to-face pleas with voters. And both will air radio ads.The race is expected to be close. The two candidates have raised about the same amount of money. Both boast past experience in Merced politics. Both have secured a hearty list of endorsements.Sanders has spent about $35,000 on his campaign, Walsh $31,000.They both put creating jobs and improving public safety at the top of their list of goals.Their differences come more in the approach. Sanders says he's an outsider trying to get in. Walsh says he's an insider who knows what to fix.This is the first time in a while that District 2 has been seriously contested. Kathleen Crookham has been elected to three terms, with one unopposed and another from a challenger who did little campaigning. There may not be a clear victor Tuesday night...The Central California PAC, with Sanders' endorsement, spent more than $7,000 to send out an 8.5-by-14-inch color mailer with words of support by state Sen. Jeff Denham, R-Merced.The PAC, run by Bob Rucker, a longtime friend of Sanders, also supported Gary Frago and Joe Rivero for Atwater City Council in a recent mailer. Walsh, meanwhile, sent out postcards with the slogan "Leadership that listens," reminding people to vote for him Tuesday. He also secured the endorsement of the Merced County Sheriff's Deputy Association, which ran a newspaper ad on his behalf.Sanders has portrayed himself as a government outsider who thinks like a entrepreneur, not like a bureaucrat."I don't have any relationships to protect (with the county)," he said. "I came at it with a fresh start."...Walsh champions his long ties to county government because he knows how it works and where there are problems...Loose Lips: ...editor@mercedsun-star.com. http://www.mercedsunstar.com/167/story/524882.htmlMerced's other newspaper ran a profile about Sanders last week that said he's an advocate of bringing big-box stores and the proposed distribution center to Merced. (Remember his campaign is about jobs, and your Cracker Jack decoder ring will tell you what that means.)The city would have little to gain by turning a frowny face to the smiling retailer, Sanders told the paper.He set the record straight in the latest edition by explaining that the center is something he could support but doesn't want his comments to cloud his judgment on the project because all is not known about it. After all, that nagging little environment impact report -- which will either spell out Merced's ecological ruin or merely note that a few more residents might develop a cough -- hasn't yet come out. Once it's released and hits the best-seller list, the project will go before the Merced City Council for a vote. It's a meeting that could challenge the Riverside Motorsports Park vote for the controversy record. Remember that "project"?Anti-Wal-Mart activists seized on Sanders' endorsement, sending a mass e-mail about the story. "It doesn't matter what Merced residents say, or how badly we'll be impacted by Wal-Mart's high-polluting distribution center -- his door is closed, his mind is made up," it reads.The e-mail goes on to note his opponent, Hub Walsh, has plans to improve air quality. Though supervisors won't vote on the distribution center, he has stayed out of the fray, saying it's too early to support or oppose the project. It's at least tacit support of Walsh for supervisor.But let's pull out our political whiteboard. Sanders sounds as if he's bought into the project, and he's trying to move from the City Council to the Board of Supervisors.So ... you'd think the Stop Wal-Mart team would support his campaign and lobby for Walsh to fill his spot on the council.Merced County TimesSanders enjoys a 100-year link to Merced County...John M. Derby...10-16-08http://www.mercedcountytimes.net/content/2008-10-16/00204Not many candidates have a century-long connection to this county, but Jim Sanders, who is running for District 2 in the Merced County Supervisor race, has...Sanders is proud of his heritage. A native of Merced he has spent most of his adult life in community service. He is presently serving his seventh year on the Merced City Council but started years ago getting involved in the city’s neighborhood watch program.He is CEO and President of the Community Action Network... He started “Tag Busters” a program to eradicate graffiti in the city... Sanders considers himself an “outsider” when it comes to city and county government...Sanders finds nothing wrong with big box stores and is an advocate for bring the WalMart distribution center to Merced. He feels it’s critical to bring good paying jobs to the community. He personally went to the WalMart center in Apple Valley and found the center to be very modern and on the leading edge of the “go green” movement. The program for their trucks is being used as an industrial standard to cut down on emissions.According to Sanders Merced would gain little by refusing to allow the plant to be built here. Walmart would just build in Madera. RUNNING FOR COUNTY OFFICESanders says his desire to run for county supervisor comes from watching the way the county works. There have been some “well publicized blunders” he said, making reference to the sick pay allowances which other supervisors voted for. He is also concerned about the county planning process which is considered “unfriendly” by many industrial developers. He noted that the county still does not have one stop permitting.The Castle Airport development is one of his major concerns. “The potential is there but the development is just not moving forward.”...Modesto BeeFeds switches general contractor at Yucca Mountain...last updated: October 30, 2008 02:42:19 PMhttp://www.modbee.com/state_wire/story/481608.htmlLAS VEGAS — The federal government is switching the main contractor for the Yucca Mountain nuclear waste project.The Energy Department announced Thursday in Washington that a firm headed by USA Repository Services will take over April 1 from Bechtel-SAIC under a $2.5 billion management contract. DOE is giving no reason for the change.USA Repository Services is a wholly owned subsidiary of construction and engineering design firm URS Corp. It's got two principal subcontractors on the Yucca Mountain project: Louisiana-based Shaw Environmental and Infrastructure Inc., and nuclear fuels management specialist AREVA Federal Services.The five-year contract has a five-year option that could go through March 2019.The Energy Department is seeking a Nuclear Regulatory Commission license to entomb 77,000 tons of radioactive waste at Yucca Mountain, 90 miles northwest of Las Vegas.Fresno BeeGrim Water Supply Forecast for 2009 Reinforces Need for New Water Delivery SystemEarly Estimates Indicate Agencies May Get Only 15% of Water Contracted...State Water Contractorshttp://www.fresnobee.com/556/v-printerfriendly/story/977647.htmlThe bleak water supply forecast for 2009 reinforces the pressing need to build a new water delivery system that will protect the environment and provide a reliable water supply for Californians. Water agencies receiving water from the State Water Project (SWP), one of the state's primary water delivery systems, may only get 15 percent of their contract water supplies in 2009, according to early forecasts released today by the California Department of Water Resources. In light of the low predictions, the State Water Contractors also warned today that residents, businesses and farms throughout the state will see significant new restrictions on water use in 2009. "Even if we have a wet fall and winter, the water won't necessarily be available to us because deliveries are also being cut to protect fish in the Delta. We are anticipating drastically reduced water supplies, regardless of weather conditions," said Laura King Moon, assistant general manager of the State Water Contractors. "The fragility of the Delta ecosystem, combined with the drought we are currently experiencing, makes it imperative for California to agree on a comprehensive, long-term Delta fix. We can't make it rain, but we can make the system work better to ensure a reliable water supply for Californians and protect the environment." added Moon. This exceptionally low forecast is due to restrictions placed on water deliveries from the Sacramento-San Joaquin River Delta (Delta) to protect endangered fish species, and severely dry conditions in California throughout 2008 that are expected to continue into 2009. A ten percent projected statewide allocation for the SWP is the lowest in California history. This comes at a time when California is already reeling from ongoing hits to the state's water supply and delivery system. Having been allocated only 35 percent of their contracted water supplies in 2008, state water managers have been facing significantly reduced water deliveries for nearly a year. Dry conditions have been so bad that Governor Schwarzenegger has formally declared California to be in a state of drought and collectively, reservoirs throughout the state are at the lowest levels in 14 years. San Luis Reservoir, one of the state's largest reservoirs, is able to hold 2,039,000 acre-feet of water but today only holds a little more than 230,000 acre-feet -- a dismal 11 percent of capacity. In addition to drought, instability within the Delta has significantly impacted the reliability of our water supply. Water exports were slashed in 2008 to protect fish species and by mid-2008, 660,000 acre-feet of water had been cut - enough to serve 5.3 million Californians for one year. "This extremely low forecast for 2009 means that Californians will be using less water and paying more," said Moon. SWC member agencies have been urging and in many cases, requiring, their customers to cut back on water use. Public water agencies have put in place rate increases, mandatory restrictions, public education programs and enforcement programs to ensure that we are efficiently using the water that's available. The problems we face today go beyond weather conditions and regulatory issues. Twenty-five million Californians and more than 3 million acres of agricultural land currently get their water supplies moved through the Delta. However, the water delivered through the Delta is at risk because of the estuary's failing condition, antiquated levees and the threat of natural disaster. Public water agencies, environmental organizations, and state and federal agencies are working together now to develop a long-term solution. The Bay Delta Conservation Plan (BDCP), a comprehensive conservation plan for the Delta, is researching new ways to protect the struggling ecosystem by physically separating its natural tidal movements from the conveyance of water supplies, a strategy that has been identified as the best way to restore and protect the Delta ecosystem and ensure a reliable water supply for California. For more information on the BDCP, please visit http://www.resources.ca.gov/bdcp/. The State Water Contractors is a statewide, non-profit association of 27 public agencies from Northern, Central and Southern California that purchase water under contract from the California State Water Project. Collectively the State Water Contractors deliver water to more than 25 million residents throughout the state and more than 750,000 acres of agricultural lands. For more information on the State Water Contractors, please visit http://www.swc.org.California American Water Ends Water Year Below LimitsPeninsula Consumers Meet State-Imposed Water Conservation Targets for 10th Consecutive Year...California American Waterhttp://www.fresnobee.com/556/v-printerfriendly/story/976722.htmlCalifornia American Water announced this week that its pumping of both the Carmel River and the Seaside Aquifer are well under state and local regulatory limits, thanks to the conservation efforts of its customers and careful company management of the community's limited water resources. "Because the people of the Monterey Peninsula enthusiastically heeded the call for conservation we have very good news for both the Carmel River and our regulators this year," said California American Water's Manager, Craig Anthony. "From installing low-flow shower heads and toilets to washing only full loads of laundry and being judicious in landscape water use -- the people of the Monterey Peninsula have truly embraced the conservation ethic. We want to give credit to our customers. Their efforts have protected the community from fines and made a big difference to the environment." In 1995, the State Water Resources Control Board found that California American Water did not have the right to nearly seventy percent of the Carmel River water used to supply Peninsula homes and businesses. The finding was driven by studies that showed the company's wells near the Carmel River to be pumping river underflow rather than groundwater, as was previously understood. Since 1995, Cal-Am has been diligently working to obtain a new water supply. Because an immediate reduction of seventy percent would have been unrealistic given the community's water demands, the State authorized Cal-Am to reduce its pumping by twenty percent until an alternative resource could be found. The 20% reduction limited Cal-Am to 11,285 acre-feet a year from the Carmel River. As of September 30, 2008 -- the official end of the water year -- California American Water's pumping was at 10,659 -- 626 acre-feet under the state limit. The Seaside Basin, which was recently determined through a court adjudication process to be dangerously overdrafted, is permitted for an annual pumping of 3,849 acre-feet. This water year, 3,329 acre feet were withdrawn -- 520 acre-feet below the limit. Every three years, the court will require an additional 10% cutback. The first reduction occurs this water year (October 2008 - September 2009.) In January of this year, the State Board announced consideration of a Cease and Desist Order to further limit withdrawals from the Carmel River watershed. A final decision on that proposal is expected later this year. A drought-sensitive community, the people of the Monterey Peninsula have first-hand knowledge regarding the finite supply and precious value of our water resources. Moratorium and rationing measures levied during drought periods have helped Peninsula residents to become water wise. In addition, California American Water conducts an extensive public conservation campaign each year, which includes community events, radio and television advertisements, print advertisements and direct mail. Community response to conservation messaging has been positive, resulting in a nearly 30% reduction in water use since the late 1980s. Several proposals have been advanced to augment the Monterey Peninsula's water supply in order to meet regulatory demands. At present, the company is moving forward with the Coastal Water Project, a proposal involving desalination and aquifer storage and recovery that will supplement current water recycling and conservation measures. Having completed preliminary engineering and environmental work on the project, the company has submitted its proposal to the California Public Utilities Commission which is preparing to create a Draft Environmental Impact Report. To learn more about the project and its environmental review, visithttp://www.cwp-eir.com. California American Water, a wholly owned subsidiary of American Water (NYSE: AWK), provides high-quality and reliable water and/or wastewater services to more than 600,000 people. Founded in 1886, American Water is the largest investor-owned U.S. water and wastewater utility company. With headquarters in Voorhees, N.J., the company employs more than 7,000 dedicated professionals who provide drinking water, wastewater and other related services to approximately 15 million people in 32 states and Ontario, Canada. More information can be found by visiting http://www.amwater.com.Metropolitan General Manager's Statement on Initial State Water Project Allocation for 2009Metropolitan General Manager's Statement on Initial State Water Project Allocation for 2009...Metropolitan Water District of Southern California Bob Muirhttp://www.fresnobee.com/547/v-printerfriendly/story/976596.htmlJeff Kightlinger, general manager of the Metropolitan Water District of Southern California, issues the following statement regarding the California Department of Water Resource's initial 15 percent allocation of State Water Project supplies to Metropolitan for the 2009 water year: "We are preparing for the very real possibility of water shortages and rationing throughout the region in 2009. Over the past two years, Metropolitan has depleted more than a third of its water reserves to deal with drought and court-ordered water cutbacks from the Sacramento-San Joaquin Delta. These reserves are rapidly reaching a level that demands careful management. "While this low initial State Water Project allocation was anticipated, it still sends a solemn message up and down California--we all must immediately reduce water use to stretch available supplies. "Metropolitan cannot expect any short-term relief from its supply situation if it begins to rain in the Southland, in Northern California or in the Colorado River watershed. The Delta's serious environmental problems are driving court decisions and regulatory actions that are drastically limiting the ability to move water across the estuary. This is not a short-term problem that will be washed away with a few good storms. "Throughout its 80-year history, Metropolitan has dependably met the region's imported water needs. It has been a remarkable era of water stability, thanks to astute decisions that expanded our storage facilities, enhanced conservation and increased local supplies such as recycling. But now we are facing a continuing historic dry cycle and unprecedented environmental challenges in the Delta. "For many months, Metropolitan has closely monitored weather conditions and water storage levels. If the region faces a shortage in 2009, the district has in place an allocation formula that seeks to equitably distribute supplies, while preserving emergency reserves. Conservation is an absolute necessity. Using less and being more efficient is the new water reality in Southern California." The Metropolitan Water District of Southern California is a cooperative of 26 cities and water agencies serving nearly 19 million people in six counties. The district imports water from the Colorado River and Northern California to supplement local supplies, and helps its members to develop increased water conservation, recycling, storage and other resource-management programs. Falling local home prices could drop more...Sanford Naxhttp://www.fresnobee.com/business/v-printerfriendly/story/978045.htmlBy at least one measure, home prices in the Fresno area are near or at their natural floor -- but could continue falling into the basement or beyond. A study of 100 cities across the country, including Fresno, by the Center for Economic and Policy Research and National Low Income Housing Coalition compares housing prices with rents and, using a formula, determines whether housing prices are too high, whether home values will rise or fall over the next four years, and by how much. The study uses government data to compare monthly ownership and rental costs. The authors say the right price for a house is 15 times the annual rent value. So, assuming a monthly rental rate of $1,000, the price of a house should be $180,000. That's pretty close to the $179,000 median price of a resale in Fresno County last month, as reported by MDA DataQuick, which tracks real-estate transactions. A $1,100 rental rate would translate to a $198,000 price tag. Pressured by a large supply of foreclosures, prices in the region have been free falling. The $179,000 was a 32.4% decline from a year earlier. However, the tumbling prices are luring more people into the marketplace. Sales surged 76% in Fresno County in September from a year ago. "Houses are twice as affordable, and we've had twice as many sales," said Don Scordino, president of the Fresno Association of Realtors. But prices could fall even more, although the severity could be less with government bailout plans and programs to keep homeowners in their houses. "Assuming the bailout is successful, it reduces the likelihood of falling through the floor," said Dean Baker of the Center for Economic and Policy Research. And Valley real-estate agents said the conclusions of the study should be viewed with caution. Still, the prospect of falling values should be taken into consideration when officials in Fresno and other cities decide the best way to use millions of dollars in Neighborhood Stabilization funds from the federal Housing and Urban Development Department, said Danilo Pelletiere of the National Low Income Housing Coalition. Cities facing declining values may not want to buy foreclosures and resell them to low-income families because those houses would immediately lose value, putting more pressure on those buyers. Or, the communities should make sure they're buying houses at bargain prices. "If they can get in for a good price that is rooted in the fundamentals, then it makes sense," he said. Baker said the wave of foreclosures is driving down prices and, if current trends continue, could force prices to fall below the natural floor. "There is no guarantee you won't have overshooting," he said. "Just as prices go up in a bubble, it can go down below the floor." Barclay's Capital said in a recent report that home prices in California could fall 30% to 40% over the next 18 months without any government intervention. But, it said, the likelihood of no intervention is small. "Our best case analysis suggests California has about a year and a half remaining before prices stabilize at levels roughly 35% lower than present, but government intervention could soften the fall to 10 months with only a 21% decline." Fresno-based real-estate expert Robin Kane urged caution when assessing the reliability of these kinds of reports. "You have to be very careful," he said, contending that prices in the Valley fell earlier, faster and are closer to the bottom than other areas, and aren't being properly reflected in many studies. "We're so far ahead of coming out of this," he said. "We still have some pain to go through, but it is happening sooner rather than later."Sacramento BeeDrought may cut state water delivery in 2009...MATT WEISERhttp://www.sacbee.com/capitolandcalifornia/story/1358397.htmlOngoing drought conditions mean that just 15 percent of normal supplies are expected to be available from the State Water Project in 2009, state officials said Thursday.The state Department of Water Resources made the initial allocation forecast earlier than usual to warn Californians of the peril that awaits if the coming winter is another dry one. Historically, the predicted allocation increases as winter unfolds and water managers get a better grip on the volume of the state's critical snowpack.But DWR Director Lester Snow said even an average winter this year won't pull California out of an ongoing drought. That's because reservoirs and groundwater are already depleted after two years of drought - and because the state's population is much bigger than the last statewide drought in the early 1990s. "We have the potential in a third (dry) year to have the worst drought in California history," said Snow.Thursday's 15 percent allocation is the second-lowest initial forecast in the history of the State Water Project. Only 1993 was lower at 10 percent, but that later increased to 100 percent after a wet winter. The initial forecast last year was 25 percent, which later increased to 35 percent.Sacramentans are not directly affected by the forecast, because they don't depend on the State Water Project for their deliveries. The forecast primarily affects water users in the Bay Area and Southern California. Yet Sacramento should take heed, because it also depends on the parched Sierra Nevada Mountains for most of its water supply. Snowmelt stored in California reservoirs is at its lowest level in 14 years."In fact, the entire state is wrestling with very serious drought conditions," said Tim Quinn, executive director of the Association of California Water Agencies. "Wherever you live in California, start conserving water because you are going to be affected if drought conditions persist."Rain is predicted throughout Northern California Friday and Saturday. But these early season storms can't be expected to alleviate the drought because they usually do little to build up the Sierra snowpack. Capital PressFarmers don't want to take it anymore...Don Curleehttp://www.capitalpress.info/main.asp?SectionID=84&SubSectionID=777&ArticleID=45707&TM=83278.34The year: 1976. In the blockbuster movie "Network" the television anchor man played by Peter Finch encouraged people all over the country to go to their open windows and yell: "I'm mad as hell, and I'm not going to take this anymore."The year: 2008. Several California farmers, most of them in the Central Valley, are lining up at their open windows and clearing their throats.In the movie the fed-up and frustrated citizens were beset by over-regulation and government meddling in every aspect of their lives. For Central Valley farmers the issue is the same, most of it revolving around water or the lack of it.A recent decision by the judiciary and by federal agencies has rankled many farmers even though those representing them have managed to put a happy face on it of farmer acceptance and resignation. That image has been accepted by the media, but more intense emotions are roiling beneath the surface.A militant group called Families Protecting the Valley is dedicated to raising awareness of Central Valley issues as related to farming and external forces that compete for the water farmers traditionally have used for irrigating their crops.It is led by staunch conservative Fresno businessman Tal Cloud, who deals in agricultural products that are widely used by farmers and in the processing and packaging of farm products. Cloud has been deeply involved in farm water issues as a consultant and problem solver.A major focus of Cloud's group is the San Joaquin Valley settlement that allots water formerly slated for irrigation to salmon-related restoration of the San Joaquin River. Removal of federal funding from the bill authorizing the restoration has left farmers as the only source of the $500 million required, a pill not easily swallowed.Also the group will emphasize the need for major revisions in the Endangered Species Act, the federal measure that demands water and property rights to protect species designated by esoteric and obscure agencies and influences to be threatened and endangered.In Kern County another group of farmers has organized the Coalition for a Sustainable Delta. It has brought suit against the City of Stockton, the County of San Joaquin and one or more power plants operating on the edge of the Sacramento-San Joaquin Delta, charging pollution of waters there.While this group's focus is the condition of the Delta and the water that flows through it to 23 million Californians, a fair share of it for agricultural use, it maintains a perspective on the total water supply situation the state faces.Its members would love to see state and federal legislators more in touch with the water supply issue, and a lot more committed to improving it.Sometimes the source of the farmer frustration is described as food versus fish. But that is only part of the issue. The upset goes deeper. It deals with fundamentals of the system that has resulted in the basic development of America. It is a frustration that goes to the depths of many farmers' souls.So, if some crisp evening, when the TV is turned low, listen carefully. You might hear that chorus echoing across your neighborhood: "I'm mad as hell, and I'm not going to take this anymore." Perhaps you'll want to join in.Stockton RecordState to cut water deliveriesMandatory rationing considered if winter is dry...Staff and wire reportshttp://www.recordnet.com/apps/pbcs.dll/article?AID=/20081031/A_NEWS/810310325/-1/A_NEWS14The state said Thursday it could cut water deliveries next year to their second-lowest level ever, prompting warnings of water rationing for cities and less planting by farmers.Such cuts would primarily affect areas south and west of the Delta. Statewide mandatory rationing will be considered if the drought worsens, Department of Water Resources Director Lester Snow said.Much depends on rain and snow this winter, although other factors are in play, including court-imposed reductions on how much water can be exported from the Delta.With another dry winter, "We have the potential ... to have the worst drought in California history," Snow said.The state announced Thursday it will deliver just 15 percent of the amount that water agencies throughout California request every year. That marks the second-lowest projection since the first State Water Project deliveries were made in 1962.Farmers in the Central Valley said they will be forced to fallow fields, while cities from the Bay Area to San Diego might have to impose mandatory rationing.Mike Young, a fourth-generation farmer in Kern County, called the water projections disastrous."For the amount of acres we've got, we're not going to have enough water to farm," he said.Of course, it is only October, and the state's projections could very well change. An average snowpack could increase allocations to about 50 percent, Snow said. A wet year could bump that number to 75 percent.This year, water agencies received just 35 percent of the water they requested.Lake Oroville, California's second-largest reservoir, is usually half-full this time of year but is at 30 percent capacity.In Southern California, the Metropolitan Water District - the agency that supplies water to about half the state's population - has depleted more than a third of its water reserves. The agency's general manager, Jeff Kightlinger, said Californians immediately must reduce their water use to stretch what little of the resource is available."We are preparing for the very real possibility of water shortages and rationing throughout the region in 2009," Kightlinger said.Stockton-area water officials repeatedly have said over the summer that this area has enough water to get by, but that the coming winter will be critical for next year. San Joaquin County as a whole has had difficulty finding new sources of water, and the groundwater on which the area has heavily relied is dropping.The State Water Project delivers water to more than 25 million residents and 750,000 acres of farmland.In 2006, water agencies received their full allotment, in part, because of heavy rains and a thick Sierra snowpack. But last year, a federal court limited water pumping out of the Delta to protect the threatened Delta smelt.Snow said the bleak outlook underscores the governor's call to retool California's massive water storage and delivery system.Gov. Arnold Schwarzenegger favors building more dams and designing a way to funnel water through or around the environmentally fragile Delta, including a peripheral canal. The proposals have failed to gain traction in the Legislature."The governor has sounded the wake-up call, and the clock is ticking," Snow said.Earlier this year, Schwarzenegger also called on water agencies to voluntarily cut their water use 20 percent by 2020. He has stopped short of issuing a mandatory conservation order, a strategy that has not been used by the state, Snow said.Even with Thursday's dire projection, a wet winter could mean cities and farms ultimately get more water, said Ted Thomas, a spokesman for the state water department.That was the situation in 1993, when the state promised contractors just 10 percent of their requests, the lowest initial projection on record. That later was revised to 100 percent after the state received heavy precipitation.Unlike then, state and federal water agencies are under a court order to cut pumping from the Delta because a federal judge last year ruled that the giant pumps were harming threatened fish."We are anticipating drastically reduced water supplies, regardless of weather conditions," said Laura King Moon, assistant general manager of the State Water Contractors.Farmers also are making decisions now on what to plant next year. Based on the state's initial projection, Young, the Kern County farmer, said he will be forced to fallow a fifth of his 5,000 acres.The little water coming to him will go to his permanent crops - pistachio, almond and cherry trees - while most of his tomatoes and alfalfa will not get planted."We've got to start spending money on next year's crop now," Young said. "Anyone who's pulling water off the State Water Project is going through the same thing."Home sales are booming in S.J....Bruce Spencehttp://www.recordnet.com/apps/pbcs.dll/article?AID=/20081031/A_BIZ/810310318September existing home sales climbed to the highest monthly total so far this year in San Joaquin County while the median sales price continued to fall, this time to under $200,000, according to figures from the latest Grupe Real Estate-TrendGraphix monthly sales report, based on Multiple Listing Service data."We've had more transactions through September this year than I've had in the prior 10 years," said Jerry Abbott, president and co-owner of Grupe Real Estate, Stockton. "We're having a boom year, but the prices are 60 percent or less what they were at the peak of the market" several years ago.He said the price drops have created lots of opportunities for investors and individuals to buy the home of their dreams that they couldn't have come close to affording three years ago. Many foreclosure properties are listed at less than the $100,000 mark in Stockton, he said.A total of 1,178 existing single-family homes were sold last month countywide, a more than fivefold increase from September 2007, the TrendGraphix report said.September was the strongest month ever in the 60-year history of PMZ Real Estate as far as the number of houses sold, said Ben Balsbaugh, residential sales manager for PMZ Real Estate in Stockton, and October is shaping up to be even better.Art Godi, of Art Godi Realtors in Stockton, said foreclosures priced from $75,000 to $250,000 are "selling like crazy," even though they typically are damaged and need work, while non-foreclosure properties continue to hardly sell at all.The number of houses for sales has continued to drop, falling by nearly one-third from a high in September 2007 of nearly 6,100 houses to fewer than 4,300 last month, the report said.Meanwhile, statewide sales of more than 502,000 nearly doubled year to year, while the median sales prices slid 41 percent, to $316,480 from $535,760 the previous September, the California Association of Realtors reported. San Joaquin County's median sales price slid an almost identical percentage, declining from $325,000 a year ago to $192,000 last month, TrendGraphix reported.San Francisco ChronicleState prepared to slash water deliveries...Matthew Yihttp://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/10/31/MN7713RHJI.DTL&type=printableThe state could cut as much as 85 percent of the water it delivers to local suppliers, the second-lowest allocation estimate in modern California history, officials said Thursday. The water allocation estimate is the first for 2009 by the state Department of Water Resources, which plans to update its figures each month through spring. Water delivery could be increased if the Golden State's two-year drought ends with a wet winter in the coming months. The decision could have an impact on agencies all over California that receive some of their supply from the state. Those agencies serve 25 million Californians and 750,000 acres of farmland. In the Bay Area, five water agencies would be affected.While the estimate paints a grim picture that could force local water agencies to ration or farmers to let their fields sit idle, it's close to a worst-case scenario, said Lester Snow, director of the state water agency."It's really a hope-for-the-best, prepare-for-the-worst (scenario)," he said in a conference call with reporters.The lowest water allocation estimate dates back to 1993 at the end of the state's last severe drought. The Department of Water Resources initially estimated it would deliver just 10 percent of the contracted water to local water districts, but a wet winter followed, and the state ended up providing 100 percent.But the state faces new challenges beyond just a possible lack of rain and snow this time around, Snow said.One is a recent federal court ruling that limits the pumping of water out of the Sacramento-San Joaquin Delta, a move to protect the endangered smelt.The other is population growth, which is putting more pressure on the state's water supplies in the midst of the drought, Snow said.Water supplies for agencies such as the San Francisco Public Utilities Commission and East Bay Municipal Utility District that don't rely on the state for water won't be affected the state allocation.The five Bay Area agencies that receive water from the state are the Napa County Flood Control and Water Conservation District, Solano County Water Agency, Alameda County Water District, Alameda County Flood Control and Water Conservation District Zone 7 and Santa Clara Valley Water District.The agencies said that while the low allocation is discouraging, they already had made contingency plans this summer."We actually thought the state would come in at 10 percent," said Paul Piraino, general manager of Alameda County Water District, which provides water to Fremont, Newark and Union City.Earlier this year, the district decided to augment its groundwater reserves by moving 10,000 acre-feet of water from its underground reserves in Kern County and an additional 12,000 acre-feet from the San Luis Reservoir."It's sort of like putting some money in the bank early ... for the not-so-rainy day," Piraino said.The Alameda County Flood Control District also is benefiting from large groundwater storage, said Boni Brewer, the district's spokeswoman.Her agency has socked away about 90,000 acre-feet of water in its local groundwater basin, which should be enough for its 200,000 customers in Pleasanton, Dublin, Livermore and parts of San Ramon, even if drought conditions continue next year, she said.Local water agency officials say they also have diversified their sources of water since the last major drought of the late 1980s and early 1990s.David Okita, general manager of Solano County Water Agency, said about only 25 percent of his agency's water is drawn from the state. The agency also takes water from the nearby Lake Berryessa and from local runoff.Still, local water officials say they are keeping their fingers crossed that the coming winter will be a wet one and the state will have more water to give.Despite such contingency plans, if the water picture doesn't change, agencies may consider mandatory rationing, which EBMUD imposed on its users in May. EBMUD required its customers to cut water usage or face a drought surcharge. That effort has resulted in about 11 percent conservation, said Andy Katz, the district's general manager. A more drastic impact has been on California's biggest industry, agriculture, farm officials say.The state's crop losses totaled nearly $260 million this year as farmers either let their fields sit idle or abandoned their crops, according to the California Department of Food and Agriculture's latest figures."The upshot is inevitable," said Chris Scheuring, California Farm Bureau Federation's water expert. "Farmers are going to do some fallowing."And consumers at grocery stores are likely to be affected in the form of higher food prices or seeing certain produce on store shelves for a shortened amount of time if farmers decide to reduce their planting."This is not an agriculture issue, it's a food-supply issue," Scheuring said.But all that said, water officials say that while they hope rains and snowfall return to the state this winter, Californians also should do their part to cut back water usage."We're clearly making an extra call for conservation of water across the state," Snow said.S.F. panels OK $4.4 billion Hetch Hetchy upgrade...John Cotehttp://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/10/31/BAS413RJMA.DTL&type=printableA $4.4 billion upgrade program to safeguard the Bay Area's largest drinking water system from drought or a catastrophic earthquake was approved Thursday by both San Francisco's planning and public utilities commissions, despite opposition from some environmental groups. The approval of the program's environmental report marked a key step in advancing a series of projects that San Francisco Public Utilities Commission officials say is necessary to keep the system functioning after a major temblor. The program includes digging a 5-mile tunnel under the bay for water supplies and replacing a seismically unsafe dam at the Calaveras Reservoir.The program involves 85 individual projects, including laying sections of redundant pipeline, to maintain water supplies for the city Public Utilities Commission's 2.5 million customers in San Francisco, Santa Clara, Alameda and San Mateo counties. The water comes primarily from the Hetch Hetchy Reservoir in Yosemite National Park. The aging water system cuts across five active fault lines and could be severely damaged in a serious earthquake, SFPUC officials warn. Earlier this week, water was clearly visible squirting from a chronic leak on a 1920s-era pipeline that runs on sagging wooden trestles above wetlands near the Dumbarton Bridge. Opposition to the program comes primarily from environmental groups that support the seismic upgrades but don't want to see additional water diverted from the Tuolumne River or Alameda Creek. They fear such diversions and other program elements will harm steelhead trout and other wildlife. Also, some municipal water customers, like the cities of San Jose and Santa Clara, are concerned about whether the plan will ensure adequate long-term water supplies. The program calls for diverting up to an additional 2 million gallons of water a day off the Tuolumne River during periods of drought. That's far less than the original proposal of diverting an extra 35 million gallons a day. The difference will be made up from tapping groundwater sources and various conservation measures, including using recycled water for San Francisco municipal golf courses and parks, SFPUC General Manager Ed Harrington said. The city Board of Supervisors also will be asked to set requirements on low-flow toilets, shower heads and faucets, Harrington said. Opponents of the current proposal have 20 days to appeal Thursday's approval of the environmental report to the Board of Supervisors. About 20 individual projects within the program will require their own individual environmental assessments. The projects are scheduled to be completed by 2014.Several environmental advocates said they are undecided on whether to appeal. Bush's Last Ditch Attempt To Destroy The Planet...Scott Cameron...The Thin Green Linehttp://www.sfgate.com/cgi-bin/blogs/sfgate/detail?blogid=49&entry_id=32185Strong words, perhaps, but the Bush Administration is attempting to sneak in a handful of deregulation measures that address vital environmental issues including greenhouse gas emissions, drinking water, mountaintop removal coal mining, containing oil spills and ocean fishing. (Bush is seeking to increase GHGs, MTR, oil spills and overfishing while decreasing drinking water quality.)The hurried attempt is occurring despite the administration's proclaimed policy of not pushing through last-minute changes. The administration is also pushing to reduce women's access to reproductive health care and gut the Endangered Species Act. You've gotta give it to this guy, after eight years he can still shock with his aggressively destructive, hypocritical and slipshod policy agenda. Contra Costa TimesTreatment plant off hook in fish deaths, official says...Matthew Artz, The Argushttp://www.contracostatimes.com/environment/ci_10859928FREMONT — A combination of above-average algae growth and urban runoff from the first storm of the season appears to have caused the deaths of thousands of fish earlier this month in a section of Alameda Creek, said Paul Piraino, general manager of the Alameda County Water District.A leak from an upstream wastewater treatment plant does not appear to have contributed to the incident, which was the largest reported fish kill in the creek in more than two decades.Test results showed low levels of toxicity in the water, which led officials to conclude that the leak from the wastewater facility did not contribute to the fish kill.Approximately 5,000 fish were found belly up Oct. 6 in a 150-acre-foot section of the creek spanning from just east of Mission Boulevard in Fremont to a rubber dam about 1,200 feet to the west.In preparation for rain this weekend, water district workers on Tuesday lowered the dam to drain the area of water, thereby killing some of the algae, Piraino said.Water district officials said they do not expect this weekend's predicted showers to cause a second fish kill because algae levels should be lower, and because the second storm of the season usually carries less runoff of organic materials into the creek.The district announced its findings after consulting with experts specializing in urban runoff, fisheries and stream beds, Piraino said.Several factors appear to have caused oxygen levels to plunge in the affected area, effectively suffocating the fish. The build-up of algae on the bottom and sides of the creek drew oxygen at night when there was no sunlight for photosynthesis, Piraino said. Meanwhile, the first storm of the season brought cloudy, poorly oxygenated water into the creek that carried with it runoff of organic materials such as animal waste, which also sucks oxygen from the water. With less sunlight for photosynthesis, and more oxygen-consuming materials in the water, levels of dissolved oxygen dropped from about 11 parts per million the prior week to less than 1 part per million on the day of the fish kill."It sounds like what happened on Oct. 6 is we had a perfect storm," Piraino said.Fish returned to the affected section of the creek within a week as levels of dissolved oxygen quickly increased.The water district plans to conduct additional tests following this weekend's rain, Piraino said.Changing the rules on power plat emissions...MediaNews editorialhttp://www.contracostatimes.com/opinion/ci_10857283?nclick_check=1AS HIS FINAL term in the White House thankfully winds down, President Bush and his administration are trying to force new policy on the Environmental Protection Agency that will change regulations at power plants and worsen the environment.If the rules are implemented, power plants would be allowed to increase emissions without adding pollution controls. In addition, a separate rule, which could be implemented by late November, will allow more power plants to be built near national parks and wilderness areas.Obviously, this is an attempt to deliver more energy in this country without any consideration of the long-term ramifications to our environment and health. What's worse is the timing — rules finalized more than 60 days before the administration leaves office are harder for the next administration to undo.Former EPA attorney John Walke said to McClatchy Newspapers that two EPA officials told him that the agency has to meet a Saturday deadline for new, lesser pollution controls.The Clean Air Act requires older plants with new equipment to install pollution technology, if their emissions increase. The rule change would allow plants to measure emissions on an hourly basis rather than a total yearly output. The twist is that plants can actually run for more hours, increase the output of emissions while staying within the threshold without having to add pollution controls. Of course, the Edison Electric Institute loves it. The association that represents 70 percent of the U.S. electric-power industry told the EPA that plants can produce more energy with less fuel and that would actually lower emissions. But an EPA official told McClatchy that analysis supporting the rule change is weak. Even more curious is that the Bush administration has no intention of making the analysis public for a comment period before implementing the new rule. This comes as no real surprise in light of Bush's and the EPA's previous policies of lightening up on industries creating emissions, a la the automobile industry. We urge President Bush to examine all the facts before acting, but to be honest, that is unlikely.The next president needs to act wisely and consider all options when it comes to energy policy, not only to keep us moving forward, but to also consider the long-term effects to our environment. That will take real leadership, something we really haven't seen over the past eight years.Los Angeles Times West Hollywood suffers setback on 'Tara' projectThe state Supreme Court rules that the city should have done an environmental impact report on plan to turn a local landmark into a senior citizens home...Bob Poolhttp://www.latimes.com/news/local/la-me-tara31-2008oct31,0,196697,print.storyA plan to turn a West Hollywood landmark into a $6-million senior citizens home suffered a setback Thursday when the state Supreme Court ruled that officials failed to follow proper procedures in evaluating the project's effect on the environment.City leaders have sought for some five years to use the leafy Laurel Avenue estate that locals call "Tara" for affordable housing. Critics contend that the place should be used as a public park and community center.The home is shaded by a forest of 66 trees and dozens of tropical shrubs and resembles the plantation in the movie "Gone With the Wind." It was donated to the city by longtime resident Elsie Weisman, who is said to have died there at age 101 while watching the Clark Gable film.The court ruled that the city should have done an environmental impact report on the 28-unit housing proposal before joining two development partners and obtaining a grant from the federal Department of Housing and Urban Development for it."This should teach them to listen to the public," said project foe Allegra Allison, a former tenant of Weisman who lived at the house for more than 25 years. "Hopefully now they will make it a park and cultural center."Attorney Doug Carstens, who represented opponents, called Thursday's ruling something that will shape government throughout the state."It is a landmark decision that's a lot bigger than West Hollywood," he said.Christi Hogin, West Hollywood's assistant city attorney, termed the ruling "frustrating" for the city. She said officials hope to keep the development partnership intact and funded long enough to do a new environmental impact report and start the process over."The city still owns the property" and still takes the issue of affordable housing for seniors seriously, Hogin said.Because Thursday's ruling involved a state environmental law, it cannot be appealed to the U.S. Supreme Court, she said.California water shortages could lead to rationing, officials sayWater agencies could get as little as 15% of their allocations next year unless rain and snowfall return to normal levels in the coming months...Bettina Boxallhttp://www.latimes.com/news/local/la-me-water31-2008oct31,0,2896364,print.storyState water deliveries could be slashed next year if California continues its dry streak, a move that could lead to widespread rationing.California Department of Water Resources officials Thursday said water agencies could get as little as 15% of their State Water Project allocations, although that figure could go up if Sierra Nevada rain and snowfall return to normal in the coming months."We're clearly making a major call for extra conservation, but also permanent conservation," said water resources director Lester Snow, who renewed the Schwarzenegger administration's call for the construction of new reservoirs.Officials at Southern California's major water supplier, the Metropolitan Water District of Southern California, say its board soon will discuss whether to initiate cutbacks."We are preparing for the real possibility of water shortages and rationing," said Jeff Kightlinger, the MWD's general manager.Last spring was the driest since 1921 in the northern Sierra, depleting reservoirs in the State Water Project, which provides about a third of urban Southern California's water.A court ruling to protect delta smelt has reduced pumping from the Sacramento-San Joaquin Delta, the crossroads for sending water south to the San Joaquin Valley and the Southland.Snow said state reservoirs are starting the rainy season at their lowest levels since 1977, when California was hit by a severe drought.But state records show that if all the reservoirs that supply California, including major ones on the Colorado River, are taken into account, the picture is not so bleak. The overall water storage is roughly 70% of the average for this time of year.This year's flows into Lake Powell, which catches water from the upper Colorado River Basin, were above average, easing a long-term drought on the river.Storms are expected statewide in the next few days and state meteorologist Elissa Lynn also said there is a potential for more precipitation this rainy season than last.Water agencies rarely get their full allotment of deliveries from the State Water Project, which promises more water on paper than it usually has the ability to deliver.Initial state project allocations, such as the 15% figure announced Thursday, also can change dramatically over the course of a year. The lowest was in 1993, when the state anticipated that it would deliver only 10% of its customers' water requests. But conditions improved and contractors wound up getting 100%.Two dry years in a row in the state, delta pumping cutbacks and an eight-year drought on the Colorado River led to scattered urban rationing this year and irrigation cutbacks in the San Joaquin Valley.The MWD, which supplies water to agencies that serve 19 million people, mounted a voluntary conservation program that Kightlinger said has reduced water use by 8% to 10%.But the MWD's Diamond Lake reservoir is nearly half empty and the agency's water reserves are down by a third.Sewage spill still keeping some O.C. beaches closedFour miles of coastline were contaminated when a pipe broke in Laguna Beach, spilling 580,000 gallons of raw sewage into the ocean. The beaches could remain closed even after today, officials say...Susannah Rosenblatthttp://www.latimes.com/news/local/la-me-sewage31-2008oct31,0,3320641,print.storyFour miles of fouled Orange County coastline will remain closed to swimmers through at least this afternoon after 580,000 gallons of raw sewage gushed from a Laguna Beach pump station early Wednesday, health officials said.Beaches from Crescent Bay to Camel Point, two miles north and south of the spill, were contaminated with waste. The first results from 15 to 20 water samples taken Wednesday showed evidence of fecal contamination along the shore near Bluebird Canyon Drive, said Larry Honeybourne, program manager with the environmental division of the Orange County Health Care Agency."We need a couple days' worth of clean samples before we can open the locations," Honeybourne said.If bacteria levels remain unsafe, ocean water could remain off-limits through Saturday or later, he said.The spill is the worst in the county in at least nine years. A failed clamp on a sewer main's air release valve caused 60,000 gallons of sewage to foul Laguna Beach's shoreline in April.Laguna Beach hired the engineering company Dudek to evaluate what caused a 12-inch pipe to break sometime before 2 a.m. Wednesday, City Manager Ken Frank said. The engineers are expected to submit a report early next week.One of the station's four pumps is working properly, one is partially working and the motors in the two other pumps burned out after Wednesday's sewage flood, Frank said. Those motors will be replaced by Sunday night.A special bypass pump was installed Wednesday night as a backup measure; that pump temporarily blocked Glenneyre Street.Laguna Beach has spent more than $10 million to upgrade its sewer system in recent years and planned to renovate the pump station in February. The city's hilly terrain can make maintenance of sewage infrastructure challenging, Honeybourne said.Frank said Wednesday's spill was frustrating. "It's still very disruptive to go to the beach and have signs say, 'The beach is closed, sewage spill,' " he said. "We want to make sure we take all the steps that we can possibly take to make the system as safe as possible.Los Angeles TimesBush administration seeks last-minute regulationsMany of the new rules would weaken consumer and environmental protections and could be difficult for McCain or Obama to undo...R. Jeffrey Smith, http://www.latimes.com/news/science/environment/la-na-regulate31-2008oct31,0,1864027,print.storyReporting from Washington — The White House is working to enact an array of federal regulations, many of which would weaken rules aimed at protecting consumers and the environment, before President Bush leaves office in January.The new rules would be among the most controversial deregulatory steps of the Bush era and could be difficult for his successor to undo. Some would ease or lift existing constraints on private industry, including power plants, mines and farms.Those and other regulations would help clear obstacles to some commercial ocean-fishing activities, ease controls on pollutants that contribute to global warming, relax drinking-water standards and lift a key restriction on mountaintop coal mining.Once such rules take effect, they typically can be undone only through a laborious new regulatory proceeding, including lengthy periods of public comment, drafting and mandated reanalysis."They want these rules to continue to have an impact long after they leave office," said Matthew Madia, a regulatory expert at OMB Watch, a nonprofit group critical of what it calls the Bush administration's penchant for deregulating in areas where industry wants more freedom. White House spokesman Tony Fratto responded that "this administration has taken extraordinary measures to avoid rushing regulations at the end of the term. And yes, we'd prefer our regulations stand for a very long time -- they're well-reasoned and are being considered with the best interests of the nation in mind."As many as 90 new regulations are in the works, and at least nine are considered "economically significant" because they would impose costs or promote societal benefits that exceed $100 million annually. They include new rules governing employees who take family- and medical-related leaves, new standards for preventing or containing oil spills, and a simplified process for settling real estate transactions.Although it remains unclear how much the administration will be able to accomplish in the coming weeks, the last-minute rush appears to involve fewer regulations than Bush's predecessor, Bill Clinton, approved at the end of his tenure. In some cases, the regulations reflect new interpretations of language in federal laws. In other cases, such as several new counter-terrorism initiatives, they reflect new executive branch decisions in areas where Congress -- now out of session and focused on the elections -- left the president considerable discretion.The last-minute activity has made this a busy period for lobbyists who fear that industry views will hold less sway after the November elections. According to the Office of Management and Budget's regulatory calendar, representatives of the commercial scallop fishing industry came in two weeks ago to urge that proposed catch limits be eased, nearly bumping into National Mining Assn. officials who want to ease rules meant to keep coal slurry waste out of Appalachian streams. A few days earlier, lawyers for kidney dialysis and biotechnology companies registered their complaints at the OMB about new Medicare reimbursement rules. Bush's aides are acutely aware of the political risks of completing their regulatory work too late. On the afternoon of Bush's inauguration, Jan. 20, 2001, his chief of staff issued a government-wide memo that blocked the completion or implementation of regulations drafted in the waning days of the Clinton administration that had not yet taken legal effect."Through the end of the Clinton administration, we were working like crazy to get as many regulations out as possible," said Donald Arbuckle, who retired in 2006 after 25 years as a career official at the OMB. "Then on Sunday, the day after the inauguration, OMB Director Mitch Daniels called me in and said, 'Let's pull back as many of these as we can.' "Clinton's appointees paid a heavy price for procrastination. Bush's team was able to withdraw 254 regulations that covered matters from drug and airline safety to immigration and indoor air pollutants. After further review, many of the proposals were modified to reflect Republican policy ideals or were scrapped altogether.Seeking to avoid falling victim to the same partisan tactics, White House Chief of Staff Joshua Bolten in May imposed a Nov. 1 government-wide deadline to finish major new Bush administration regulations, "except in extraordinary circumstances."That gives officials just weeks to meet an effective Nov. 20 deadline for the publication of economically significant rules, which take effect only after a 60-day congressional comment period. Less important rules take effect after a 30-day period, creating a second deadline of Dec. 20.As the deadlines near, the administration has begun to issue regulations of great interest to industry, including, in recent days, a rule that allows the nation's natural gas pipelines to operate at higher pressures and new Homeland Security rules that shift passenger security screening responsibilities from airlines to the federal government. The OMB also approved a new limit on airborne emissions of lead this month, acting under a court-imposed deadline.Many of the rules would ease environmental regulations, according to sources familiar with the administration's internal deliberations.A rule put forward by the National Marine Fisheries Service and now under final review by the OMB would lift a requirement that environmental impact statements be prepared for certain fisheries-management decisions and would give review authority to regional councils dominated by commercial and recreational fishing interests.An Alaska commercial fishing industry source, granted anonymity so he could speak candidly about private conversations, said senior administration officials promised to "get the rule done by the end of this month" and that the outcome would be a big improvement over existing regulations.Two other rules nearing completion would ease limits on pollution from power plants, a major energy industry goal for the last eight years that is strenuously opposed by Democratic lawmakers and environmental groups.A third rule would allow increased emissions from oil refineries, chemical factories and other plants with complex manufacturing operations.San Diego Union-TribuneState water officials fear bad year in '09...Michael Gardner http://www.signonsandiego.com/news/state/20081031-9999-1n31water.htmlSACRAMENTO – California water officials warned yesterday that the state's water supplies continue to shrink, using the bleak forecast to call for more aggressive conservation and advocate for new storageThe Department of Water Resources told its city and farm customers that a persistent dry spell and depleted reservoirs could sharply limit deliveries next year, perhaps to just 15 percent of need.However, the amount the state eventually delivers in 2009 could rise depending on how much snow falls. For example, last year the final allocation was 35 percent of the amount requested – a 10 percent increase above the preliminary estimate. “Unless Mother Nature is extremely kind, we are going to experience serious water supply challenges,” said Maureen Stapleton, general manager of the San Diego County Water Authority. The authority counts on the State Water Project for roughly a third of its supply. Rationing, however, is months away, if at all, Stapleton said. The water authority will wait until its main provider, the Metropolitan Water District of Southern California, finalizes its delivery plans before determining whether rationing is warranted – unless the early winter is “ultra dry,” she said. Meanwhile, the authority will push voluntary conservation even harder. For example, residents are being asked to adjust automatic sprinklers when clocks are turned back early Sunday to save on outdoor watering. Metropolitan plans to take up a mandatory conservation strategy in November, but is not likely to immediately implement cuts to city customers, hoping for abundant rain and snow this winter. Nevertheless, the outlook is grim. “We are preparing for the very real possibility of water shortages and rationing throughout the region in 2009,” said Jeff Kightlinger, general manager of Metropolitan. The giant Los Angeles-based wholesaler draws 30 percent to 70 percent of its annual supplies from the State Water Project. Metropolitan's major reservoir, Diamond Valley, is at 60 percent of capacity. The San Diego water authority's pools range between a dismal 7 percent at Henshaw (Vista Irrigation District) to 61 percent at Hodges (city of San Diego) to 86 percent at Olivenhain (Olivenhain water district). The state has released an initial allocation projection lower than 15 percent only once, in 1993. However, that 10 percent forecast jumped to a full 100 percent of supply requests thanks to a bountiful winter. But the overall water picture is even more bleak today than it was in 1993. Reservoirs are half-full. Court-ordered protections to save the rare delta smelt in the Sacramento delta will divert as much as 660,000 acre-feet of water, enough for 1.3 million households a year. And climatic changes threaten to further reduce snowpack. Last year started out promising, but finished with the driest March-through-May ever recorded. The previous year also produced skimpy amounts of snow. “We have the potential in a third year to have the worst drought in California history,” warned Lester Snow, director of the Department of Water Resources. Snow said it is clear that the state needs more storage and a canal to carry water through the Sacramento delta, which could minimize threats to fish. “The clock is ticking,” he said. Farmers, already reeling from being forced to idle land this year, say another round of cuts would be devastating. In Kern County alone, 50,000 acres may be left unplanted because there is no water for irrigation. The State Water Project serves more than 25 million Californians and irrigates 750,000 acres of farmland. Coastal water monitoring could get state funding fix...Mike Lee http://www.signonsandiego.com/news/metro/20081031-9999-1m31test.html Beaches in San Diego and the rest of California are likely to once again get regular pollution checkups, thanks to a plan for reviving a coastal water monitoring program slashed last month. On Tuesday, the State Water Resources Control Board will consider a temporary fix by spending up to $1.97 million from a 2000 ballot measure designed partly to improve beach water quality. The money would fund the statewide program for two years. If the financing is approved, health officials in San Diego County expect to receive $302,000 for the 2008-09 fiscal year – enough to restore their water-testing program to where it was before the budget cut.“With any luck, we will be back in business,” said Mark McPherson, chief of water quality for the county's Department of Environmental Health. As part of the effort to balance California's budget, Gov. Arnold Schwarzenegger in September cut $984,000 for coastal water monitoring. That forced San Diego County to stop conducting regular testing at 55 beach sites or assessing data collected by wastewater agencies at 41 more spots. Counties typically do the work and are repaid by the state. Pollution tests along the coast routinely highlight areas with dangerous bacteria levels from urban runoff, sewage spills or other sources. That's why groups such as the Surfrider Foundation pressed state officials to restart what is called the most comprehensive beach pollution monitoring program in the country. “It's really critical for beachgoers to be aware if they may get ill from being in the water,” said Bill Hickman, coordinator for Surfrider's San Diego chapter. This week, officials from San Diego County, National City, Imperial Beach, San Diego, Chula Vista, Coronado and others lobbied the state water board to approve the proposed funding plan. The water board's staff already supports the financial patch. “Absent that funding, we would lose a very, very valuable tool in monitoring and also pushing for improved water quality at the beaches,” said William L. Rukeyser, a spokesman for the state water board. Once a temporary fix is in place, officials will redouble their efforts to ensure that they don't face a similar problem in two years. “We are really pushing through all of our channels to find a permanent funding source,” McPherson said. Washington PostA Last Push To DeregulateWhite House to Ease Many Rules...R. Jeffrey Smithhttp://www.washingtonpost.com/wp-dyn/content/article/2008/10/30/AR2008103004749_pf.htmlThe White House is working to enact a wide array of federal regulations, many of which would weaken government rules aimed at protecting consumers and the environment, before President Bush leaves office in January.The new rules would be among the most controversial deregulatory steps of the Bush era and could be difficult for his successor to undo. Some would ease or lift constraints on private industry, including power plants, mines and farms.Those and other regulations would help clear obstacles to some commercial ocean-fishing activities, ease controls on emissions of pollutants that contribute to global warming, relax drinking-water standards and lift a key restriction on mountaintop coal mining.Once such rules take effect, they typically can be undone only through a laborious new regulatory proceeding, including lengthy periods of public comment, drafting and mandated reanalysis."They want these rules to continue to have an impact long after they leave office," said Matthew Madia, a regulatory expert at OMB Watch, a nonprofit group critical of what it calls the Bush administration's penchant for deregulating in areas where industry wants more freedom. He called the coming deluge "a last-minute assault on the public . . . happening on multiple fronts."White House spokesman Tony Fratto said: "This administration has taken extraordinary measures to avoid rushing regulations at the end of the term. And yes, we'd prefer our regulations stand for a very long time -- they're well reasoned and are being considered with the best interests of the nation in mind."As many as 90 new regulations are in the works, and at least nine of them are considered "economically significant" because they impose costs or promote societal benefits that exceed $100 million annually. They include new rules governing employees who take family- and medical-related leaves, new standards for preventing or containing oil spills, and a simplified process for settling real estate transactions.While it remains unclear how much the administration will be able to accomplish in the coming weeks, the last-minute rush appears to involve fewer regulations than Bush's predecessor, Bill Clinton, approved at the end of his tenure.In some cases, Bush's regulations reflect new interpretations of language in federal laws. In other cases, such as several new counterterrorism initiatives, they reflect new executive branch decisions in areas where Congress -- now out of session and focused on the elections -- left the president considerable discretion.The burst of activity has made this a busy period for lobbyists who fear that industry views will hold less sway after the elections. The doors at the New Executive Office Building have been whirling with corporate officials and advisers pleading for relief or, in many cases, for hastened decision making.According to the Office of Management and Budget's regulatory calendar, the commercial scallop-fishing industry came in two weeks ago to urge that proposed catch limits be eased, nearly bumping into National Mining Association officials making the case for easing rules meant to keep coal slurry waste out of Appalachian streams. A few days earlier, lawyers for kidney dialysis and biotechnology companies registered their complaints at the OMB about new Medicare reimbursement rules. Lobbyists for customs brokers complained about proposed counterterrorism rules that require the advance reporting of shipping data.Bush's aides are acutely aware of the political risks of completing their regulatory work too late. On the afternoon of Bush's inauguration, Jan. 20, 2001, his chief of staff issued a government-wide memo that blocked the completion or implementation of regulations drafted in the waning days of the Clinton administration that had not yet taken legal effect."Through the end of the Clinton administration, we were working like crazy to get as many regulations out as possible," said Donald R. Arbuckle, who retired in 2006 after 25 years as an OMB official. "Then on Sunday, the day after the inauguration, OMB Director Mitch Daniels called me in and said, 'Let's pull back as many of these as we can.' "Clinton's appointees wound up paying a heavy price for procrastination. Bush's team was able to withdraw 254 regulations that covered such matters as drug and airline safety, immigration and indoor air pollutants. After further review, many of the proposals were modified to reflect Republican policy ideals or scrapped altogether.Seeking to avoid falling victim to such partisan tactics, White House Chief of Staff Joshua B. Bolten in May imposed a Nov. 1 government-wide deadline to finish major new regulations, "except in extraordinary circumstances."That gives officials just a few more weeks to meet an effective Nov. 20 deadline for the publication of economically significant rules, which take legal effect only after a 60-day congressional comment period. Less important rules take effect after a 30-day period, creating a second deadline of Dec. 20.OMB spokeswoman Jane Lee said that Bolten's memo was meant to emphasize the importance of "due diligence" in ensuring that late-term regulations are sound. "We will continue to embrace the thorough and high standards of the regulatory review process," she said.As the deadlines near, the administration has begun to issue regulations of great interest to industry, including, in recent days, a rule that allows natural gas pipelines to operate at higher pressures and new Homeland Security rules that shift passenger security screening responsibilities from airlines to the federal government. The OMB also approved a new limit on airborne emissions of lead this month, acting under a court-imposed deadline.Many of the rules that could be issued over the next few weeks would ease environmental regulations, according to sources familiar with administration deliberations.A rule put forward by the National Marine Fisheries Service and now under final review by the OMB would lift a requirement that environmental impact statements be prepared for certain fisheries-management decisions and would give review authority to regional councils dominated by commercial and recreational fishing interests.An Alaska commercial fishing source, granted anonymity so he could speak candidly about private conversations, said that senior administration officials promised to "get the rule done by the end of this month" and that the outcome would be a big improvement.Lee Crockett of the Pew Charitable Trusts' Environment Group said the administration has received 194,000 public comments on the rule and protests from 80 members of Congress as well as 160 conservation groups. "This thing is fatally flawed" as well as "wildly unpopular," Crockett said.Two other rules nearing completion would ease limits on pollution from power plants, a major energy industry goal for the past eight years that is strenuously opposed by Democratic lawmakers and environmental groups.One rule, being pursued over some opposition within the Environmental Protection Agency, would allow current emissions at a power plant to match the highest levels produced by that plant, overturning a rule that more strictly limits such emission increases. According to the EPA's estimate, it would allow millions of tons of additional carbon dioxide into the atmosphere annually, worsening global warming.A related regulation would ease limits on emissions from coal-fired power plants near national parks.A third rule would allow increased emissions from oil refineries, chemical factories and other industrial plants with complex manufacturing operations.These rules "will force Americans to choke on dirtier air for years to come, unless Congress or the new administration reverses these eleventh-hour abuses," said lawyer John Walke of the Natural Resources Defense Council.But Scott H. Segal, a Washington lawyer and chief spokesman for the Electric Reliability Coordinating Council, said that "bringing common sense to the Clean Air Act is the best way to enhance energy efficiency and pollution control." He said he is optimistic that the new rule will help keep citizens' lawsuits from obstructing new technologies.CNN Money7.5 million homeowners 'underwater'Nearly a fifth of U.S. borrowers owe more on their mortgages than their homes are currently worth - and that number is growing...Les Christiehttp://money.cnn.com/2008/10/30/real_estate/underwater_borrowers/index.htm?postversion=2008103108NEW YORK (CNNMoney.com) -- At least 7.5 million Americans owe more on their mortgages than their homes are currently worth, according to a real estate research firm's report released Friday. In other words: If they sold their homes today, they'd have to bring a check to the closing. Ouch. Another 2.1 million people stand right on the brink, according to the report by First American CoreLogic. Their homes are worth less than 5% more than the mortgages they're paying on them. The technical term for this phenomenon is negative equity; more colloquially, these borrowers are often referred to as being "underwater." "Being underwater leaves homeowners vulnerable to foreclosure," said Mark Fleming, CoreLogic's chief economist.That's because these borrowers are left with no home equity to tap - via refinancing or a home equity loan - if they run into financial trouble. Negative equity has contributed much to the soaring increase in foreclosures over the past year.The report on the growing problem of negative equity is a conservative estimate. Some organizations, including Moody's Economy.com, estimate that as many as 12 million borrowers may be underwater."Being underwater doesn't necessarily mean that you can't pay your bills," said Fleming, "but it's a necessary condition of default."Borrowers who are underwater but have enough income to pay bills can keep up with their mortgages - even if they don't like paying more to live in a home than it's currently worth. On the other hand, anyone who runs into trouble paying their bills but has positive equity in their home can avoid foreclosure by either borrowing against their home or simply selling it. Hardest hitNevada, where home values plunged by more than 30% during the past 12 months, according to the latest home price report from S&P Case-Shiller, tops the list of states with the highest numbers of underwater borrowers. A full 48% of homeowners there have negative equity. Home values in Nevada and some other states rose particularly high during the real estate bubble - and are now plummeting. So even those who put 20% down when they bought their home don't stand a chance.In many bubble markets, home prices got so high that the only way that many buyers could get a loan was by using what Fleming called "affordability products." These included adjustable rate mortgages with rates that were set artificially low for a few years, until resetting much higher, as well as mortgages that required little or no down payments.These loans left buyers with little equity to begin with, and when prices dipped, they quickly found themselves underwater. Other bubble states with high levels of negative equity include Arizona (29.2%), Florida (29.2%) and California (27.4%).The second group of states that have a lot of underwater borrowers are in the rust belt region, including Michigan, where 39% of homeowners have negative equity, and Ohio, where that rate stands at 22%. These regions are in trouble because of severe economic reversals and large-scale job losses, rather than inflated home values. And now prices have fallen far enough to put many borrowers in negative territory. Some of them may have already tapped their equity to tide them over in hard times, and have little cushion left.The third group of states where many borrowers owe more on their homes than they are worth are in trouble mainly because, according to Fleming, they've experienced a large influx of immigration. Newcomers in states like Texas (16.5%), Georgia (23.2%), Arkansas (16.3%), and Tennessee (15%) bought homes recently and simply didn't have much time to build up equity before prices started to fall he says.The markets with the fewest underwater borrowers include New York, where only 4.4% of homeowners have negative equity, as well as Hawaii ( 5.6%), Pennsylvania (5.7%) and Montana (6.9%).  Top 10 states with underwater loansState# of mortgages% underwaterNevada609,57747.8%Michigan1,145,57238.6%Arizona1,287,07629.2%Florida4,248,47029.2%California6,461,98127.4%Georgia1,456,32723.2%Ohio1,905,00022%Colorado1,045,77318.3%New Hampshire144,47917.2%Texas2,721,63816.5%Source:First American CoreLogic