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Is San Joaquin River Groundwater Allstate’s Orchard Insurance?

August 5, 2021 By Steve Ringhoff 6 Comments

Steve Ringhoff
Steve Ringhoff

YOU tell Allstate they can’t draw from the San Joaquin River to water the almonds they planted in the last couple of years west of Modesto — a modest little project — modest if you have a basket of billions. Though some think $28,000,000 is more than modest.

If you use Highway 132 to go west from Modesto, you probably have noticed a big change to farmland just west of the bridge over the San Joaquin River, where two parcels straddle River Road and where Caltrans recently installed signals.

You used to see little raptors perched on white standpipes surveying the fields for furry little snacks. Great and Snowy Egrets prowled the ground looking for food of their own. First, the standpipes disappeared, then the land was leveled and underground piping was laid. Soon, it became clear that drip irrigation would replace the siphon-and-flood system. Then a pattern of sticks appeared, each protected by a little “milk carton” labeled “Duarte.”

Yep, Allstate was among those rushing to plant almonds.

Through a Delaware LLC, NBINV6 AP, registered in California in late 2018, Allstate bought about 1,200 acres on both sides of River Road and on the north side of Highway 132, the newly signalized intersection.

There are two parcels in that 1,200 acres and the value, and purchase price, were right at $26,000,000. The cost of putting in the drip system and of the trees themselves probably bumped the total investment to near the $28,000,000 mark.

The trees alone probably cost over $1,000,000, given the usual spacing of 120 or more trees per acre. The place looks almost manicured. A line of what appears to be olive trees serve as a buffer to the highway.

One attractive aspect to that land was the right to draw water from the San Joaquin River, according to farmers familiar with the system, which had been used to grow a variety of crops on those two parcels.

San Joaquin River
San Joaquin River

Well, Tuesday, August 3, state water regulators began imposing a moratorium on drawing from the rivers and streams which flow into the delta. The Tuolumne River runs from Don Pedro Dam out across the valley connecting with the San Joaquin just a few miles before crossing under Highway 132. The San Joaquin is one of two main rivers feeding the delta.

So, unless there is water from other sources, Allstate’s trees, near their first season of production, are in danger. That is true for many farmers and growers along all of the rivers and streams flowing, ultimately, into the Delta, from just north of Fresno on the south all the way almost to the Oregon border on the north.

We don’t know whether Allstate has wells on its property or not, but it could be that Allstate is counting on groundwater to pull it through the drought moratorium. Several years ago, owners of the Mapes Ranch, on the opposite side of the river from Allstate’s land, drilled wells and planted almonds. The wells, like all wells near rivers, draw groundwater produced by the river itself. Reliable groundwater production near rivers is another reason riparian property is so highly valued.

Allstate’s toe-dip into almond growing is just another among the most obvious examples of what the current drought hath wrought. And it is more evidence that the value of local water continues to be transferred farther and farther from home as investors and speculators buy into the almond boom.

 

Filed Under: Environment Tagged With: groundwater in Stanislaus County, Modesto groundwater

Reader Interactions

Comments

  1. Mike Tozzi says

    August 5, 2021 at 8:29 am

    And please stop referring to them as almond “Farmers”. Farmers my ____. They continue to plant more trees and suck more groundwater. “Farm to Table” is also intentionally misleading. Those so called Farmers sell to China. Hedge fund managers care less about water management.
    Same as always…follow the money.

    Reply
  2. Public Thoughts says

    August 6, 2021 at 7:20 am

    It is a Almond plantation !
    Truly a waste of water for a EXPORT crop!

    Reply
  3. THEROOTMATTERS says

    August 6, 2021 at 10:28 am

    Quite appropriate, Steve Ringhoff’s, satirical use of the word, “modest”, as he opened up another, necessary, post, purposed to bring to light, an anything but modest-sized issue to be addressed, that may be going very, very wrong, under the cloak of darkness, in or around Modesto.

    Could not ignore the dark humored slap in the face of Modesto’s name, meant intentionally, or not.

    What does Modesto’s name mean? Is Modesto truly living up to its name?

    Does Modesto value modesty? Is Modesto a modest city?

    Is Modesto keeping its due diligence, watching over what is festering in or around its shadows, and, moving swiftly to eradicate all defenders of graft?

    Lets be thoroughly open with one another: WHAT happens, unethically, immorally, illegally, in or around Modesto, does not stay in Modesto, certainly, if it wants to operate without public scrutiny.

    Speaking of names, WHO exactly, gave the green light to any Plantation System, KNOWING the obvious: ALMONDS SUCK, up, TOO MUCH WATER.

    WATER: WE HAVE NONE TO SPARE. Period. WHO did not get that FACT?

    As for Allstate, we will soon know, if they utilize wells, that SUCK ground-water.

    I would like to KNOW if drip systems are truly capable of sufficiently sustaining an almond plantation, with absolutely no extra water source.

    BUT I prefer to KNOW when not caught up in the vortex of DROUGHT.

    As much as I used to enjoy, raw, really organic, almonds, they are among the many things, I have previously committed myself to living without.

    We all need to make multiple life changes, if we are going to survive. It is no longer a question of what we want. We have entered: the need stage.

    Let us, together, decide to nick name, Modesto: MODEST TOWN or MO TOWN or MOdesto or MODESTY. And, let us commit to LIVING, as such.

    Let us use any or all of those nick names, whatever WE CHOOSE, we will all KNOW, what each other means. THE POINT IS WE GET TO CHOOSE.

    Let us CHOOSE OUR OWN FUTURE, for this city, SO IN NEED OF ARISING

    Reply
  4. Jerry says

    August 11, 2021 at 7:04 pm

    These giant “Almond Factorys” are not only shipping their almonds to China, Europe etc.they are actually shipping our precious water to China, Europe etc.

    Why did our county supervisors approve these giant water wasting Almond Factorys?

    Any gueses?

    Reply
  5. Trudy Wischemann says

    August 21, 2021 at 3:46 pm

    This important piece reveals the difficulties we face. The County boards of supervisors do not have any control over the planting of anything, as the previous commenter suggests; no one does. If Allstate drilled wells and begins using them, it will only help establish their “right” to groundwater, which (if I understand correctly) many growers, if not all, are rushing to do before the groundwater regulations go into effect. We’re in trouble, and we citizens have a lot of catching up to do if we’re going to effect any changes in our water future – which is to say “our future,” period.

    Reply
  6. Trudy Wischemann says

    August 21, 2021 at 3:48 pm

    Not to mention the birds’ futures, and muskrats and (argh!) salmon… and….

    Reply

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