Rosedale-Rio Bravo Water Storage Dist. v. Buena Vista Water Storage Dist. CA6, H051858

Rosedale-Rio Bravo Water Storage District (Rosedale) sought a legal declaration that it could move water previously used on its ranch lands through the Kern River, Isabella Dam and reservoir, and claim delivery for groundwater recharge.
Rosedale owns pre-1914 appropriative rights on the South Fork of the Kern River, acquired with purchased ranch lands between 2013 and 2018.
The named defendants (the "Kern River Interests") collectively control the operation and capacity of the Isabella Dam and reservoir via their agent, the Kern River Water Master.
Rosedale's Onyx Project aims to transfer water from the former ranch lands downstream for recharge, but defendants objected, asserting procedural deficiencies.
The trial court sustained demurrers (without leave to amend), ruling that Rosedale failed to exhaust the required administrative remedy under California's "wheeling statutes" (Water Code § 1810 et seq.).

Issue	Plaintiff's Argument	Defendant's Argument	Held
Whether the wheeling statutes apply to Rosedale’s requested water transfer	Wheeling statutes don’t apply: Isabella Dam is federally owned and isn’t a conveyance facility	Wheeling statutes apply: Defendants control dam operations, and facility is used for conveyance	Wheeling statutes apply to Rosedale’s project
Whether Kern River Interests are “owners” for purposes of the wheeling statutes	Kern River Interests aren’t “owners”; ownership means fee title, and only applies to U.S. in this case	"Owner" includes entities exercising control or management, per Water Code definition	Kern River Interests are owners under the wheeling statutes
Whether Isabella Dam/reservoir qualifies as a "water conveyance facility"	Dams/reservoirs only store, not convey, water	Facility is integral to conveyance system per statutory scheme and precedent	Dam/reservoir are conveyance facilities under the statutes
Whether Rosedale should be allowed to amend the complaint	Leave to amend should be granted to clarify claims	No viable amendment, claims subject to administrative remedy	Denial of leave to amend was not an abuse of discretion

Central Delta Water Agency v. State Water Resources Control Bd., 124 Cal.App.4th 245 (Cal. Ct. App. 2004) (defines "wheeling," supporting the application of wheeling statutes to water transfers)
Metropolitan Water Dist. v. Imperial Irrigation Dist., 80 Cal.App.4th 1403 (Cal. Ct. App. 2000) (discusses voluntary water transfers and state water policy)
San Diego County Water Authority v. Metropolitan Water Dist., 12 Cal.App.5th 1124 (Cal. Ct. App. 2017) (explains fair compensation and administrative process under wheeling statutes)
San Luis Coastal Unified School Dist. v. City of Morro Bay, 81 Cal.App.4th 1044 (Cal. Ct. App. 2000) (storage can be incidental to conveyance for statutory purposes)