(a) A combination of local agencies may form a groundwater sustainability agency by using any of the following methods: (1) A joint powers agreement. (2) A memorandum of agreement or other legal agreement. (b) A water corporation regulated by the Public Utilities Commission or a mutual water company may participate in a groundwater sustainability agency through a memorandum of agreement or other legal agreement. The authority provided by this subdivision does not confer any additional powers to a nongovernmental entity.
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