1. Three Rivers Levee Improvement Authority June 8, 2007 Presentation to the State Reclamation Board Proposed Feather River Setback Levee

2. 2 Project Goals Achieving at least a 200 year level of public safety flood protection for south Yuba County with regional, system, and environmental benefits; Achieving at least a 200 year level of public safety flood protection for south Yuba County with regional, system, and environmental benefits; Completing the remaining major public safety flood protection elements in 2007 and 2008; and Completing the remaining major public safety flood protection elements in 2007 and 2008; and Achieving a fair and equitable State-local cost share with the local cost share generated through continued development. Achieving a fair and equitable State-local cost share with the local cost share generated through continued development.

3. 3 Overview History of the Setback Levee History of the Setback Levee Benefits of the Setback Levee Benefits of the Setback Levee Design, permitting, and construction schedule Design, permitting, and construction schedule Interplay with existing Implementation Agreement and Funding Agreement Interplay with existing Implementation Agreement and Funding Agreement Presentation of Setback Alignment Presentation of Setback Alignment

4. 4 Overview History of the Setback Levee History of the Setback Levee Benefits of the Setback Levee Benefits of the Setback Levee Design, permitting, and construction schedule Design, permitting, and construction schedule Interplay with existing Implementation Agreement and Funding Agreement Interplay with existing Implementation Agreement and Funding Agreement Presentation of Setback Alignment Presentation of Setback Alignment

5. 5 History of the Setback Levee In 2003 the Yuba County Water Agency completed a Proposition 13 funded feasibility study/programmatic EIR identifying as feasible the Feather River Setback Levee. In 2003 the Yuba County Water Agency completed a Proposition 13 funded feasibility study/programmatic EIR identifying as feasible the Feather River Setback Levee. In April 2005 the prior Reclamation Board approved the approach for Phases 1-3. In April 2005 the prior Reclamation Board approved the approach for Phases 1-3. Phases 1-3 are now substantially complete. Phases 1-3 are now substantially complete. The public-private partnership has been essential to public safety success in Yuba County, has resulted in $135 million in flood protection improvements, and has been superior to the unacceptable public safety risk that would be caused by the delay of waiting for the federal Yuba Basin Project. The public-private partnership has been essential to public safety success in Yuba County, has resulted in $135 million in flood protection improvements, and has been superior to the unacceptable public safety risk that would be caused by the delay of waiting for the federal Yuba Basin Project.

6. 6 History of the Setback Levee (continued) In May 2006 the Reclamation Board approved an approach for Phase 4 Feather River (strengthen-in- place) and Yuba River. In May 2006 the Reclamation Board approved an approach for Phase 4 Feather River (strengthen-in- place) and Yuba River. In August 2006 the first Landowner Capital Call was made to fund construction of Phase 4 Yuba River repairs. In August 2006 the first Landowner Capital Call was made to fund construction of Phase 4 Yuba River repairs. Phase 4 Yuba River repairs are now substantially complete. Phase 4 Yuba River repairs are now substantially complete. In November 2006, following Propositions 84 and 1E, Three Rivers rescheduled the second Capital Call as allowed under the Second Implementation Agreement. In November 2006, following Propositions 84 and 1E, Three Rivers rescheduled the second Capital Call as allowed under the Second Implementation Agreement.

7. 7 History of the Setback Levee (continued) Three Rivers sought and received conceptual support of Setback Levee from DWR. Three Rivers sought and received conceptual support of Setback Levee from DWR. Three Rivers received written support for Setback Levee from Sutter County, Levee District 1, Friends of the River, SYRCL, Sierra Club, Yuba County Water Agency, SAFCA, and others. Three Rivers received written support for Setback Levee from Sutter County, Levee District 1, Friends of the River, SYRCL, Sierra Club, Yuba County Water Agency, SAFCA, and others. In February 2007, after extensive due diligence, Three Rivers certified the EIR and selected the Setback Levee. In February 2007, after extensive due diligence, Three Rivers certified the EIR and selected the Setback Levee. In May of 2007 the Army Corps of Engineers certified Three Rivers’ completed construction. In May of 2007 the Army Corps of Engineers certified Three Rivers’ completed construction. In May, Three Rivers also set a second capital call of $9.1 million and that money has been deposited into escrow. In May, Three Rivers also set a second capital call of $9.1 million and that money has been deposited into escrow.

8. 8 Achieves 200 Year Protection Approx. 13 miles Segments 1 & 3 strengthen-in-place Segment 2 setback with new levee construction Phase 4 - Feather River including Setback Levee

9. 9 Overview History of the Setback Levee History of the Setback Levee Benefits of the Setback Levee Benefits of the Setback Levee Design, permitting, and construction schedule Design, permitting, and construction schedule Interplay with existing Implementation Agreement and Funding Agreement Interplay with existing Implementation Agreement and Funding Agreement Presentation of Setback Alignment Presentation of Setback Alignment

10. 10 Benefits of the Setback Levee 1.Provides superior flood protection for south Yuba County. 2.Provides regional flood protection benefits for Sutter County, Yuba City, Marysville, and Linda. 3.Proposed Setback is consistent with FloodSAFE California and is the most significant structural change to the system likely to be constructed in the next few years. 4.Creates up to 1550 acres of habitat for restoration and mitigation.

11. 11 1. Superior Flood Protection Built to current engineering standards Built to current engineering standards Built with suitable soils (current levee soil is too sandy) Built with suitable soils (current levee soil is too sandy) Removes river choke point and widens floodway Removes river choke point and widens floodway Built away from old river channels Built away from old river channels Eliminates significant erosion sites Eliminates significant erosion sites Achieves greater than 200-year protection in certain reaches Achieves greater than 200-year protection in certain reaches

12. 12 2. Regional Flood Protection Benefits Channel widening creates lower water surface elevations: Channel widening creates lower water surface elevations: Water surface reduction benefits to Marysville and Yuba City (RM 27.0) of 1.3 feet for 100 year and 1.5 feet for 200 year. Water surface reduction benefits to Marysville and Yuba City (RM 27.0) of 1.3 feet for 100 year and 1.5 feet for 200 year. Maximum water surface reduction (RM23.5) of 2.7 for 100 year and 3.0 for 200 year. Maximum water surface reduction (RM23.5) of 2.7 for 100 year and 3.0 for 200 year. Because of the regulated nature of the Feather River and the addition of 1550 acres to the floodway, there are no downstream hydraulic impacts. Because of the regulated nature of the Feather River and the addition of 1550 acres to the floodway, there are no downstream hydraulic impacts. Regional support letters have been received. Regional support letters have been received.

13. 13 Water Surface Elevations Compared to Recent Flood Events WSE = Water Surface ElevationPLM = Project Levee Mile Sources 1/ Sacramento River Flood Control System Evaluation, Initial Appraisal Report, Marysville/Yuba City Area, January 1990, Plates 4 & 7 2/ MBK H&H Report for Alternatives Analysis Report, December 2006, Figures 3 & 15 3/ MBK H&H Report for Alternatives Analysis Report, December 2006, Table 7 Table Developed 2/21/07

14. 14 3. Setback is consistent with FloodSAFE California Proposed project meets or exceeds all of the California FloodSAFE criteria. Proposed project meets or exceeds all of the California FloodSAFE criteria. California FloodSAFE acknowledges that system changes must be made to reduce endless erosion and O&M battle and costs. California FloodSAFE acknowledges that system changes must be made to reduce endless erosion and O&M battle and costs. Proposed project is regularly mentioned by DWR as the type of project that DWR wants to fund. Proposed project is regularly mentioned by DWR as the type of project that DWR wants to fund.

15. 15 4. Creates up to 1550 acres of habitat for restoration and mitigation The 1550 acres could be used for: The 1550 acres could be used for: Mitigation banking Mitigation banking Habitat restoration and enhancement Habitat restoration and enhancement State owned land leased back for agricultural use State owned land leased back for agricultural use Adds a significant increment to the existing riparian corridor along the Feather River. Adds a significant increment to the existing riparian corridor along the Feather River. Three Rivers will assure that adequate agreements are in place for Three Rivers and/or DWR to perform necessary maintenance in the restoration area. Three Rivers will assure that adequate agreements are in place for Three Rivers and/or DWR to perform necessary maintenance in the restoration area.

16. 16 Overview History of the Setback Levee History of the Setback Levee Benefits of the Setback Levee Benefits of the Setback Levee Design, permitting, and construction schedule Design, permitting, and construction schedule Interplay with existing Implementation Agreement and Funding Agreement Interplay with existing Implementation Agreement and Funding Agreement Presentation of Setback Alignment Presentation of Setback Alignment

17. 17 Design, Permitting, and Construction Schedule Segments 1 and 3 are out for bid. Segments 1 and 3 are out for bid. Segment 2 design is underway. Segment 2 design is underway. Phase 4 Feather River strengthen-in-place and setback levee construction to start in 2007. Phase 4 Feather River strengthen-in-place and setback levee construction to start in 2007. Voluntary and eminent domain land acquisition to be handled in stages in advance of construction. Voluntary and eminent domain land acquisition to be handled in stages in advance of construction.

18. 18 Design, Permitting, and Construction Schedule

19. 19 Overview History of the Setback Levee History of the Setback Levee Benefits of the Setback Levee Benefits of the Setback Levee Design, permitting, and construction schedule Design, permitting, and construction schedule Interplay with existing Implementation Agreement and Funding Agreement Interplay with existing Implementation Agreement and Funding Agreement Presentation of Setback Alignment Presentation of Setback Alignment

20. 20 Interplay with Existing Implementation Agreement and Funding Agreement As with Bear River Setback Levee, multiple funding sources are required to fund a more extensive project with regional, system, and environmental benefits. As with Bear River Setback Levee, multiple funding sources are required to fund a more extensive project with regional, system, and environmental benefits. Because Three Rivers selected the Setback Levee, Three Rivers and the Landowners are meeting to discuss an amendment to the Funding Agreement to address the changed scope of the project. Because Three Rivers selected the Setback Levee, Three Rivers and the Landowners are meeting to discuss an amendment to the Funding Agreement to address the changed scope of the project. In addition to the Landowners, to achieve the Feather River Setback Levee, the State will need to provide timely funding to meet project milestones. In addition to the Landowners, to achieve the Feather River Setback Levee, the State will need to provide timely funding to meet project milestones.

21. 21 Overview History of the Setback Levee History of the Setback Levee Benefits of the Setback Levee Benefits of the Setback Levee Design, permitting, and construction schedule Design, permitting, and construction schedule Interplay with existing Implementation Agreement and Funding Agreement Interplay with existing Implementation Agreement and Funding Agreement Presentation of Setback Alignment Presentation of Setback Alignment