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Groundwater conditions were reported as stable, and staff recommended no GSP amendment. Modeling through 2075 suggests a ~900 acre-foot/year average storage decline; planned projects and management actions are expected to reduce most threshold exceedances. The Board approved the FY 2026–27 budget and a 3% fee increase to $46.04 per acre-foot.

The board approved a $168/acre-foot groundwater extraction fee for FY 2026/2027 (5-0, 2 absent). The Executive Director's written report noted two wells remain unregistered, each at $49,500 in penalties as of May 31. Agency Counsel Keith Lemieux discussed the Indian Wells Valley adjudication trial and possible use of a technical expert/State Board review.

Board approved joining the sub-basin cost-share MOU to pursue a coordinated single GSP (~$67,664 if DEID out; ~$59,000 if in). Staff reviewed draft rules/regs: if a meter fails, usage would revert to ET; staff plans to bring penalty/enforcement updates next month. GSP not expected by next week; stakeholder meeting to be postponed.

Groundwater levels are at or near all-time highs across the basin, with elevations above minimum thresholds. Staff presented a new Water Accounting System showing ~519,000 acre-feet of total banked water—approximately 470,000 acre-feet previously banked plus ~48,700 acre-feet net banked in water year 2025 (North and South American sub-basins combined)—and a planned public dashboard. Staff will meet with DWR and Reclamation to seek reduced 25% stream depletion factor assumptions for transfers.

Water allocation was increased to 1.7 acre-feet per acre following a 45% State Water Project allocation, with May deliveries totaling 6,888 acre-feet. AECA warned that cumulative PG&E rate proposals could total 44% by 2030 and asked districts to recalibrate dues; the board discussed raising Cawelo's contribution from $3,500 to about $6,200 (formula), and a motion was made for $6,000. Continuous deliveries expected to begin June 22.