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Bufletin 160-98 Public Review Draft 003078 Appendix 2A. Institutional Framework for Allocating and Managing Water Resources in California conditions in the Bay-Delta region and the availability of new evidence on beneficial uses of water, Racanelli Decision Lawsuits by various interests challenged Decision 1485 and the decision was overturned by the trial court in 1984. Unlike its predecessor, D-1379, whose standards had been judicially stayed, D-1485 remained in effect. In 1986, the appellate court in the Racanelli Decision (named after Judge Racanelli who wrote the opinion) broadly interpreted the SWRCB's authority and obligation to establish water quality objectives, and its authority to set water rights permit terms and conditions that provide reasonable protection of beneficial uses of Delta water of San Francisco Bay. The court stated that SWRCB needed to separate its water quality planning and water rights functions. SWRCB needs to maintain a "global perspective" in identifying beneficial uses to be protected (not limited to water rights) and in allocating responsibility for implementing water quality objectives (not just to the SWP and CVP, nor only through the SWRCB's own water rights processes), The court recognized the SWRCB's authority to look to all water rights holders to implement water quality standards and advised the Board to consider the effects of all Delta and upstream water users in setting and implementing water quality standards in the Delta, as well as those of the SWP and the CVP. SWRCB Bay-Delta Proceedings Hearings to adopt a water quality control plan and water rights decision for the Bay-Delta estuary began in July 1987. Their purpose was to develop a San Francisco Bay-Sacramento-San Joaquin Delta water quality control plan and to consider public interest issues related to Delta water rights, including implementation of water quality objectives. During the first phase of the proceedings, testimony was heard on issues pertaining to the reasonable and beneficial uses of the estuary's water. The second phase of the Bay-Delta hearings was to come up with a water quality control plan, SWRCB adopted a final plan in May 1991. The federal EPA rejected this plan in September 1991, setting the stage for preparation of federal water quality standards for the Bay-Delta. With the adoption of the Water Quality Control Plan, the SWRCB began the ErR scoping phase and held several workshops during 1991 to receive testimony regarding planning activities, 2A-16