State plans $7 million in Carmel River projects, funded by five-year-old Cal Am settlement.

Back in 2009, the National Marine Fisheries Service and California American Water Co. inked a settlement agreement to mitigate the company's illegal over-pumping of the Carmel River.

Part of that deal: an $11.2 million payout to improve the prospects for native steelhead trout, the fish particularly screwed by Cal Am's over-pumping. Cal Am has paid California Department of Fish & Wildlife $7.9 million through 2013.

The settlement agreement was modified this year, shifting the fund management from CDFW to the State Coastal Conservancy "due to legal constraints that made it difficult for CDFW to fund priority projects." That's according to a fact sheet from Trish Chapman, the conservancy's Central Coast program manager, who presented an update to the Monterey Peninsula Water Management District last month.

CDFW transferred $6.7 million of the Cal Am settlement money over to the conservancy, and Cal Am made another $1.1 million payment in July. The conservancy released a list of projects planned through 2016 at a total of about $7 million (plus $600,000 for the conservancy's staff time and consultants).

• Removal of the Old Carmel River Dam ($700,000): Slated to begin in 2015 or 2016 as part of the San Clemente Dam removal.
• Removal of the Sleepy Hollow Ford ($50,000): In progress, to be completed by early next year.
• Improvements to the Sleepy Hollow Steelhead Rearing Facility Intake structure ($1.85 million): Planning grant to MPWMD approved; construction in 2016 or 2017.
• Carmel River Lagoon protective barrier project ($1 million): Still in the design phase. Monterey County is the project lead. 
• Recycled water project to augment water in the lagoon ($1 million): CDFW funded the planning "but stopped the project," the fact sheet states.
• River restoration upstream of the San Clemente Dam removal ($1 million): The conservancy proposes to construct step pools, but it needs more funding.

The Coastal Conservancy is inviting local stakeholders to propose projects for the remaining settlement funds. More than $240,000 is available now, with another $2 million anticipated as Cal Am makes its last two payouts in 2015 and 2016.