Here's a statement released by Republicans after the conclusion of today's water hearing, followed by a response from Senate Leader Darrell Steinberg, D-Sacramento, and Sen. Dean Florez, D-Shafter.

success."

Republicans:

"While the alleged purpose of this committee has been to craft a bipartisan, comprehensive solution to the state's water crisis, this failed process is nothing but a dog and pony show. Since February, Republicans have engaged in the workgroups and a multitude of joint hearings set up by the majority party. What's currently on the table does not reflect any Republican input. Republicans presented sound, thoroughly crafted alternatives to the unbalanced bill package on the table. These common-sense proposals, which would go a long way toward protecting the fragile Delta while also ensuring a reliable water supply for all of California, have been summarily dismissed.

The current process will likely produce new government bureaucracies but no new water. This only continues a culture of failure. Liberal Democrats are preventing common-sense Republican and moderate Democrat proposals from receiving a fair hearing or even a vote. The clock is ticking - we need less talk and more action to truly solve the state's water woes."

Steinberg response:

"Over the past three weeks the Legislature has held six lengthy public hearings with full Republican input. Specifically, in the time since summer recess ended, the Water Conference Committee has met three times, spending hours sorting through proposed legislation and there were three joint hearings of the Senate and Assembly water policy committees."

I have assured Republican members that the policy pieces will not be debated on our floors until they are joined with a comprehensive finance proposal. I urge my Republican colleagues to hold their judgment until that work is completed, which will be no later than Friday."

Florez response:

"Nobody should have any doubt where the Democrats stand. We are looking for the deal that gets us water supply improvements and ecosystem improvements that are real and affordable. We are looking for unity with our Republican colleagues because a comprehensive package will require solidarity to achieve success at the ballot box when voters are asked to approve this historic package.

There are some in the farming community that will come to the deal with philosophy guiding their positions. I hope there will be a stronger voice from agriculture that makes it a business decision. As you know, almost all good business decisions involve risk. We need to focus on managing the risk. The risk is whether they can stretch on the needed ecological policies to achieve strong assurances of conveyance and secure innovative modes of funding for storage based on the successful state water project financing model.

The Republicans want the question of bonds and finance finalized now, but the question of finance most directly relates to how the operations of the Council will be funded and whether it should have the authority to impose fees, and possibly revenue bonds backed by fees, to fund authorized Council activities balanced with project specific general obligation bond responsibilities like Delta restoration and other long term ecological projects.

Like any good business plan, we need to finalize the policy before we can structure the financing. In the end, they must come together in one package.

Tomorrow the collective policies will reflect a proper balance and financing discussions will then proceed allowing us the ability to work with our Republican colleagues to come to a decision that balances fair interests for major stake holders with the ballot risk of sizing and timing the financing for