Agenda Packet 2006-01-10
. CITY OF
Tony Ferrara
Jim Guthrie
Jim Dickens
Joe Costello
Ed Arnold
Mayor
Mayor Pro Tern
Council Member
Council Member
Council Member
Agenda
City Council
~~~.t
Steven Adams City Manager
Timothy J. Carmel City Attorney
Kelly Wetmore City Clerk
AGENDA SUMMARY
CITY COUNCIUREDEVELOPMENT AGENCY MEETING
TUESDAY, JANUARY 10, 2006
7:00 P.M.
Arroyo Grande City Council Chambers
215 East Branch Street, Arroyo Grande
1.
CALL TO ORDER:
7:00 P.M.
2. ROLL CALL:
3.
FLAG SALUTE:
KIWANIS CLUB OF ARROYO GRANDE
4.
INVOCATION:
PASTOR ROBERT BANKER
OPEN DOOR CHURCH
5. SPECIAL PRESENTATIONS:
5.a. Presentation of Medal of Merit to Police Officer Tammie Eaaers
5.b. Oath of Office Administered to Police Chief Tonv Aeilts bv City Clerk Kellv
Wetmore
6. AGENDA REVIEW:
.
6a. Move that all ordinances presented tonight be read in title only and all further readings
be waived.
AGENDA SUMMARY - JANUARY 10, 2006
PAGE 2
7. COMMUNITY COMMENTS AND SUGGESTIONS:
This public comment period is an invitation to members of the cOmmunity to present
issues, thoughts, or suggestions on matters not scheduled on this agenda.
Comments should be limited to those matters that are within the jurisdiction of the City
Council. The Brown Act restricts the Council from taking formal action on matters not
published on the agenda. In response to your comments, the Mayor or presiding
Council Member may:
. Direct City staff to assist or coordinate with you.
. A Council Member may state a desire to meet with you.
. It may be the desire of the Council to place your issue or matter on a future
Council agenda.
Please adhere to the following procedures when addressing the Council:
. Comments should be limited to 3 minutes or less.
. Your comments should be directed to the Council as a whole and not directed
to individual Council members.
. Slanderous, profane or personal remarks against any Council Member or
member of the audience shall not be permitted.
8. CONSENT AGENDA:
The following routine items listed below are scheduled. for consideration as a group.
The recommendations for each item are noted. Any member of the public who wishes
to comment on any Consent Agenda item may do so at this time. Any Council
Member may request that any item be withdrawn from the Consent Agenda to permit
discussion or change the recommended course of action. The City Council may
approve the remainder of the Consent Agenda on one motion.
8.a. Cash Disbursement Ratification (KRAETSCH)
Recommended Action: Ratify the listing of cash disbursements for the period
December 1, 2005 through December 31, 2005.
8.b. Statement of Investment DeDoslts (KRAETSCH)
Recommended Action: Receive and file the report of current investment deposits
as of November 30, 2005.
8.c. Consideration of ADDroval of Minutes (WETMORE)
Recommended Action: Approve the minutes of the Special City Council meetings of
October 25 and November 8 2005; and the minutes of the Regular City Council
Meeting of November 8, 2005 as submitted.
8.d. Consideration of Annual Adiustment of Sewer Connection Fees (KRAETSCH)
Recommended Action: Adopt Resolution approving the annual adjustment to the
sewer connection fees based on changes in the Engineering News Record (ENR)
Construction Cost Index (CCI).
AGENDA SUMMARY - JANUARY 10, 2006
PAGE 3
8. CONSENT AGENDA (continued):
8.e. Consideration of Adiustment to Decrease the Mileage Reimbursement Rate for
EmDlovees and Volunteers (KRAETSCH)
[COUNCIURDA]
Recommended Action: Establish .445~ per mile as the employee/volunteer mileage
reimbursement rate for the 2006 calendar year.
8.f. Consideration of Resolution Establishing the Architectural Review Committee
(ARC) as the Interim Building Code Board of ADDeals (FIBICH)
Recommended Action: Adopt Resolution establishing the ARC as the Interim
Building Code Board of Appeals.
8.g. Consideration of Designation of Agent (OESlFj:MA Multi-Jur.lsdlctional Local
Hazard Mitigation Plan) (FIBICH)
Recommended Action:. Adopt Resolution designating the City Manager, Financial
Services Director, and Director of Building and Fire as the City's agents for the
purpose of requesting reimbursement for the development of a Multi-Jurisdictional
Local Hazard Mitigation Plan through the Governor's Office of Emergency Services
(OES).
8.h. Consideration of an Award of Contract to Flovd V. Wells. Inc. to Construct
Phase I of the Well No. 10 Proiect. PW 2004-07 (SPAGNOLO)
Recommended Action: 1) Award a contract for the construction of Phase I of the
Well No. 10 Project, PW 2004-07 to Floyd V. Wells, Inc. in the amount of
$175,160.00; and, 2) Authorize the City Manager to approve change orders not to
exceed the contingency of $17,516.00 for use only if needed for unanticipated costs
during the construction phase of the project.
8.1. Consideration of an Award of Contract to Lee Wilson Electric ComDanv Incoo for
Construction of the Camino Mercado/West Branch Traffic Signal Proiect. PW
2005-05 (SPAGNOLO)
Recommended Action: 1) Award a contract for the construction of the Camino
MercadolWest Branch Traffic Signal Project, PW 2005-05 to Lee Wilson Electric
Company Inc. in the amount of $313,369.00; 2) Authorize the City Manager to
approve change orders not to exceed the contingency of $31,337.00 for use only if
needed for unanticipated costs during the construction phase of the project; and 3)
Transfer $212,000.00 from the Traffic Signalization Fee Fund.
8.j. Consideration of AcceDtance of the Theis/Keisler Tennis Court Addition
Prolect. PW 2004-02 (SPAGNOLO)
Recommended Action: 1) Accept the project improvements, as constructed by
Malibu-Pacific Tennis Courts, Inc., in accordance with the plans and specifications for
the Theis/Keisler Tennis Court Addition Project; 2) Direct staff to file a Notice of
Completion; and 3) Authorize release of retention of $22,140.10, thirty-five (35) days
after the Notice of Completion has been recorded, if no liens have been filed.
AGENDA SUMMARY - JANUARY 10, 2006
PAGE 4
8. CONSENT AGENDA (continued):
8.k. Consideration of AcceDtance of Easements and Public ImDrovements for Tract
2328 - Stonecrest - S&S Homes of the Central Coast (SPAGNOLO)
Recommended Action: 1) Accept the public improvements, as constructed, that
were conditioned for Tract 2328; and 2) Adopt Resolution accepting the offers of
dedication and rights of way shown on the final Tract Map.
8.1. Consideration of TemDorarv Use Permit Case No. 05-027 Related to
MalntenancelRemodellna of Wal-Mart: PS Contractlna. Inc.: 1168 W. Branch
Street (STRONG)
Recommended Action: The Planning Commission recommends the City Council
adopt a Resolution approving Temporary Use Permit Case No. 05-027.
9. PUBLIC HEARINGS:
None.
10. CONTINUED BUSINESS:
None.
11. NEW BUSINESS:
11.a. Consideration of SUDDlemental Water Studies of the Nacimiento and
Desalination Prolects and of Direction to PreDare Grant ADDlleatlon
(SPAGNOLO)
Recommended Action: 1) Receive the presentation on.supplement water studies;
and 2) Direct staff to prepare a State grant application for funding to perform a full
desalination feasibility study in cooperation with the other South County agencies.
12. CITY COUNCIL MEMBER ITEMS:
The following item(s) are placed on the agenda by a Council Member who would like
to receive feedback, direct staff to prepare information, anellor request a formal
agenda report be prepared and the item placed on a future agenda. No formal action
can be taken.
a. None.
13. CITY MANAGER ITEMS:
The following item(s) are placed on the agenda by the City Manager in order to
receive feedback anellor request direction from the Council. No formal action can be
taken.
a. None.
AGENDA SUMMARY - JANUARY 10, 2006
PAGE 5
14. COUNCIL COMMUNICATIONS:
Correspondence/Comments as presented by the City Council.
15. STAFF COMMUNICATIONS:
Correspondence/Comments as presented by the City Manager.
16. COMMUNITY COMMENTS AND SUGGESTIONS:
This public comment period is an invitation to members of the community to present
issues, thoughts, or suggestions. Comments should be limited to those matters that
are within the jurisdiction of the City Council. The Brown Act restricts the Council
from taking formal action on matters not published on the agenda.
17. ADJOURNMENT
11111111****1111111111111
All staff reports or other written documentation relating to each item of business referred to on the agenda
are on file in the City Clerk's office and are available for public inspection and reproduction at cost. If
requested, the agenda shall be made available in appropriate alternative formats to persons wnh a
disability, as required by the Americans with Disabilities Act. To make a request for disability-related
modification or accommodation, contact the Administrative Services Department at 805-473-5414 as soon
as possible and at least 48 hours prior to the meeting date.
**************************
Note: This agenda was prepared and posted pursuant to Government Code Section 54954.2. Agenda
reports can be accessed and downloaded from the City's website at www.arrovoqrande.orq
------
5.b.
OF
..~^
'", ' 'I[<ii .
,~UC A L I FOR ~t.-.lf./
'c,_~~ "~h5
:J{onurary 7{eso(ution .
.:Awardl:11fJ '1M Po(ii;e 1Jeyartrrwnt's
:Metfa( of :Merit To Po(ii;e Officer Tammie 'Eeeers
WHEREAS, on August 7, 2005, Police Officer Tammie Eggers responded to a request from the San Luis
Obispo County Sheriff's Offices to assist Sheriff Deputies with a subject who had threatened family members
with a knife in Nipomo; and
WHEREAS, upon arriving at a location in Nipomo, Officer Eggers observed a person matching the description
of the subject who was carrying a concealed object wrapped in a shirt; and
WHEREAS, the subject took a stance with the concealed object, simulating a shotgun, and pointed the object
at Officer Eggers; and
WHEREAS, Officer Eggers continually ordered the subject to drop the object and the subject yelled, "shoot
me"; and
WHEREAS, while Officer Eggers would have been justified in using lethal force against the subject, she
displayed restraint and calm and continued to maintain contact with the subject ensuring that she was in a
position where, if she were to use lethal force, it would not jeopardize responding Sheriff Deputies, California
Highway Patrol Officers, and innocent bystanders; and
WHEREAS, the responding law enforcement personnel were subsequently able to take the subject into
custody with no significant injuries; and
WHEREAS, Officer Eggers actions in this situation displayed a "courageous calm" whereby she was able to
facilitate a relatively peaceful resolution to' a situation which otherwise could have resulted in the use of
deadly force; and
WHEREAS, it is the desire of the City Council to recognize its employees for meritorious conduct.
NOW, THEREFORE, BE IT RESOLVED that the City 'Council of the City of Arroyo Grande; upon
recommendation of the Chief of Police, hereby awards the Medal of Merit to Police Officer Tammie Eggers
this 10" day of January 2006.
Tony Ferrara, Mayor
Rick TerBorch, Chief of Police
Jim Guthrie, Mayor Pro Tern
Steven Adams, City Manager
Jim Dickens, Council Member
Kelly Wetmore, City Clerk
Joe Costello, Council Member
Ed Arnold, Council Member
8.a.
MEMORANDUM
TO:
CITY COUNCIL
ICES )h
FROM:
ANGELA KRAETSCH, DIRECTOR OF FINANCIAL SE
BY: FRANCES R. HEAD, ACCOUNTING SUPERVISO
SUBJECT: CASH DISBURSEMENT RATIFICATION
DATE:
JANUARY 10, 2006
RECOMMENDATION:
It is recommended the City Council ratify the attached listing of cash disbursements for
the period December 1 through December 24, 2005.
FUNDING:
There is $2,099,928.06 fiscal impact. All payments are within the existing budget.
DISCUSSION:
The attached listing represents the cash disbursements required of normal and usual'
operations. It is requested that the City Council approve these payments.
ALTERNATIVES:
The following alternatives are provided for the Council's consideration:
. Approve staff's recommendation;
. Do not approve staff's recommendation;
. Provide direction to staff.
Attachments:
Attachment 1 - Cash Disbursement Listing
Attachment 2 - November 28, 2005, Accounts Payable Check Register
Attachment 3 - December 2, 2005, Accounts Payable Check Register
Attachment 4 - December 9, 2005, Accounts Payable Check Register
Attachment 5 - December 9, 2005, Payroll Checks & Benefit Register
Attachment 6 - December 16, 2005, Accounts Payable Check Register
Attachment 7 - December 22, 2005, Accounts Payable Check Register
Attachment 8 - December 22, 2005, Payroll Checks & Benefit Register
ATTACHMENT 1
CITY OF ARROYO GRANDE
CASH DISBURSEMENTS
,?M tie PettiDd 061)~ 1 7~ 1)~ 24, 2005
January 10, 2006
. Presented 'are the cash disbursements issued by the Department of FinanciaLServices for
the period December 1 to December 24, 2005. Shown are cash disbursements"by week of
occurrence and type of payment
FOUR-WEEK TOTAL
$
2,099,928.06
U:\MSWORD\ CITY COUNCIL FORMS\ CASH DISBURSEMENT FORMS\ CASH DISBURSEMENT SCHED wEXCEL WKS.doc
CITY OF ARROYO GRANDE
INDEX FOR BUDGET DEPARTMENTS
EDEN COMPUTER SYSTEM
GENERAL FUND (010)
Cit1/ Governmellt (Fund 010)
4001- City Council
4002 - Administrative Services
4003 - City Attorney
4101 - City Manager
4102 - Printing/Duplicating
4120 - Financial Services
4121 - Taxes/ Insurance/ Bonds
4130 - Community Development
4131 - Community Building (CDBG)
4140 - Management Information System
4145 - Non Departmental
Public Safety (Fund 010)
4201 - Police
4211 - Fire
4212 - Building & Safety
Public Works (Fund 010)
4301 - Public Works-Admin & Engineering
4303 - Street/Bridge Maintenance
4304 - Street Lighting
4305 - Automotive Shop
Parks & Recreation (Fund 010)
4420 - Parks
4421 - Recreation
4422 - General Recreation
4423 - Pre-School Program
4424 - Recreation-Special Programs
4425 - Children in Motion
4426 - Five Cities Youth Basketball
4430 - Soto Sport Complex
4213 - Government Buildings
4460 - Parkway Maintenance
SPECIAL REVENUE FUNDS
Park Development Fee Fund (Fund 213)
4550 - Park Development Fee
Traffic Signal Fund (Fund 222)
4501 - Traffic Fund
Transportation Fund (Fund 225)
4553 - Public Transit System
Construction Tax Fund (Fund 230)
4556 - Construction Tax
Police Grant Funds
4201 - Law Enforcement Equip. (Fd 272)
4202 - State AB3229 Cops Grant (Fd 271)
4203 - Federal Universal Hiring (Fd 274)
4208 - Federal Local Law Enforcmt (FD 279)
Redevelopment Agency ( Fund 284)
4103 - Redevelopment Administration
ENTERPRISE FUNDS
Sewer Fund (Fund 612)
4610 - Sewer Maintenance
Water Fund (Fund 640)
4710 - Water Administration
4711 - Water Production
4712 - Water Distribution
Lopez Administration (Fund 641)
4750 - Lopez Administration
CAPITAL IMPROVEMENT PROGRAMS (Fund 350)
5501-5599 - Park Projects
5601-5699 - Streets Projects
5701-5799 - Drainage Projects
5801-5899 - Water/Sewer/Street Projects
5901-5999 - Water Projects
U,\MSWORD\ CITY COUNCIL FORMS\ CASH DISBURSEMENT FORMS\ CASH DISBURSEMENT SCHED wEXCEL WKS.doc
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200-5- 2. S
A TT ACHMENT 5
CITY OF ARROYO GRANDE
DEPARTMENTAL LABOR DISTRIBUTION
PAY PERIOD
11/18/05 -12/01/05
12/09/05
FUND 010
FUND 220
FUND 284
FUND 612
FUND 640
386,710.73
14,071.57
Salaries Full time
Salaries Part-Time - PPT
Salaries Part-Time - TPT
Salaries OverTime
Salaries Standby
Holiday Pay
Sick Pay
Annual Leave Buyback
Vacation Buyback
Sick Leave Buyback
Vacation Pay
Comp Pay
Annual Leave Pay
PERS Retirement
Social Security
PARS Retirement
State Disability Ins.
Deferred Compensation
Health Insurance
Dental Insurance
Vision Insurance
Life Insurance
Long Term Disability
Uniform Allowance
Car Allowance
Council Expense
Employee Assistance
Boot Allowance
Motor Pay
Bi-Lingual Pay
5,161.76
18,900.56
424,844.62
164,661.17
24,968.02
6,295.50
19,442.63
378.75
45,298.48
4,793.88
8,236.68
4,680.20
5,059.25
73,900.10
18,417.28
338.40
1,059.95
775.00
35,539.94
4,652.76
1,073.35
723.28
875.00
75.00
3,600.00
424,844.62
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CITY OF ARROYO GRANDE
DEPARTMENTAL LABOR DISTRIBUTION
PAY PERIOD
12102/05 -12/15/05
12/22/05
ATT'-
2&~),:;-~a.c",
-+- ~\c.\L l-\1t,\.V~"
'T ~N ~,~\I.:'
'.
FUND 010
FUND 220
FUND 284
FUND 612
FUND 640
I
I
L
393,601,17
12,861.80
Salaries Full time
Salaries Part-Time - PPT
Salaries Part-Time - TPT
Salaries OverTime
Salaries Standby
Holiday Pay
Sick Pay
Annual Leave Buyback
Vacation Buyback
Sick Leave Buyback
Vacation Pay
Comp Pay
Annual Leave Pay
PERS Retirement
Social Security
PARS Retirement
State Disability Ins.
Deferred Compensation
Health Insurance
Dental Insurance
Vision Insurance
Life Insurance
Long Term Disability
Uniform Allowance
Car Allowance
Council Expense
Employee Assistance
Boot Allowance
Motor Pay
Bi-Lingual Pay
6,781.06
18,094.61
431,338.64
-~-~~'-
195,859.32
22,909.95
8,859.92
19,238.10
367.14
920.03
6,785.50
18,786.60
(3,641.49)
21,254.26
7,146.88
3,674.40
2,743.15
67,001.14
18,018.58
428.23
754.94
775.00
31,475.26
4,171.44
955.23
723.28
1,126.48
500.00
230.30
75.00
200.00
431,338.64
a.b.
MEMORANDUM
FROM:
CITY COUNCIL ,~ Ii
ANGELA KRAETSCH, DIRECTOR OF FINANCIAL SERVICES ftfl
FRANCES R. HEAD, ACCOUNTING SUPERVISO
TO:
BY:
SUBJECT: STATEMENT OF INVESTMENT DEPOSITS
DATE:
JANUARY 10, 2006
Attached please find a report listing the current investment deposits of the City of Arroyo
Grande, as of November 30,2005, as required by Government Code Section 53646 (b).
CITY OF ARROYO GRANDE
MONTHLY INVESTMENT REPORT
A~ 01- ~ 30, 2005
January 10, 2006
This report presents the City's investments as of November 30, 2005. It includes all
investments managed by the City, the investment institution, type of investment,
maturity date, and rate of interest. As of November 30, 2005, the investment portfolio
was in compliance with all State laws and the City's investment policy..
Current Investments:
The City is currently investing all short-term excess cash in the Local Agency
Investment Fund (LAIF) administered by the State Treasurer. This is a very high
quality investment in terms of safety, liquidity, and yield. The City may readily
transfer the LAIF funds to the City's checking account when funds are needed. At this
time, the City does not hold any other investments. The following is a comparison of
investments based on book values as of November 30, 2005, compared with the prior
month and the prior year.
LAIF INVESTMENT
CURRENT
PRIOR MONTH
PRIOR YEAR
Date:
Amount:
Interest Rate:
November, 2005
$ 11,408,354 $
3.64%
October, 2005
11,408,354
3.46%
November, 2004
$ 11,700,000
2.00%
8.c
MINUTES
SPECIAL MEETING OF THE CITY COUNCIL
TUESDAY, OCTOBER 25, 2005
COUNCIL CHAMBERS, 215 EAST BRANCH STREET
ARROYO GRANDE, CALIFORNIA
1. SPECIAL CITY COUNCIL MEETING:
Mayor Ferrara called the meeting to order at 5:45 p.m. Council Member Dickens, Council Member
Guthrie, Council Member Arnold, Mayor Pro Tern Costello, City Manager Adams, and City Attorney
Carmel were present.
2. PUBLIC COMMENT:
None.
3. CITY COUNCIL CLOSED SESSION:
a. PUBLIC EMPLOYMENT pursuant to Government Code Section 54957:
Title:
Chief of Police
b. CONFERENCE WITH REAL PROPERTY NEGOTIATOR pursuant to Government Code
Section 54956.8:
Property:
Agency Negotiator:
Negotiating Party:
Under Negotiation:
APN: 007-761-032; 1189 Flora Road
Steven Adams, City Manager
Alton E. Jones
Price, Terms and Conditions of Potential Purchase
c. CONFERENCE WITH REAL PROPERTY NEGOTIATOR pursuant to Government Code
Section 54956.8:
Property:
Agency Negotiator:
Negotiating Party:
Under Negotiation:
APN: 006-095-002; Parcel Located on Valley Road
Steven Adams, City Manager
John Taylor, Trustee, E. & E. Taylor Living Trust
Price, Terms and Conditions of Potential Purchase
d. CONFERENCE WITH REAL PROPERTY NEGOTIATOR pursuant to Government Code
Section 54956.8
Property:
Agency Negotiator:
Negotiating Party:
Under Negotiation:
APN: 007-192-038; Vacant Lot at 210 Le Point Street
Steven Adams, City Manager
Dorfman Homes Inc., A CA Corp.
Price, Terms and Conditions of Potential Purchase
e. CONFERENCE WITH LEGAL COUNSEL - ANTIPICATED LITIGATION:
Significant exposure to litigation pursuant to Government Code Section 54956.9(b): one poten"
tial case.
L
MINUTES OF CITY COUNCIL SPECIAL MEETING
OCTOBER 25, 2005
PAGE 2
4. ADJOURN TO OPEN SESSION:
The special meeting adjourned at 7:00 p.m. to the Regular City Council meeting. Mayor Ferrara
announced that there was no reportable action from the closed session and announced that the Council
would reconvene to Closed Session following adjournment of the regular meeting.
5. RECONVENE TO CLOSED SESSION:
The Council reconvened at 9:05 p.m. to the special closed session meeting to continue discussions on
Special Meeting Agenda Items 3.a., b., c., d., and e.
7. ADJOURNMENT:
Mayor Ferrara announced that there was no reportable action from the closed session. The meeting
was adjourned at 9:38 p.m.
Tony Ferrara, Mayor
ATTEST:
Kelly Wetmore, City Clerk
MINUTES
SPECIAL MEETING OF THE CITY COUNCIL
TUESDAY, NOVEMBER 8, 2005
COUNCIL CHAMBERS, 215 EAST BRANCH STREET
ARROYO GRANDE,CALlFORNIA
1. SPECIAL CITY COUNCIL MEETING:
Mayor Ferrara called the meeting to order at 6:45 p.m: Council Member Dickens, Council Member
Guthrie, Council Member Arnold, City Manager Adams, and City Attorney Carmel were present. Mayor
Pro Tem Costello was absent.
2. PUBLIC COMMENT:
None.
3. CITY COUNCIL CLOSED SESSION:
a. CONFERENCE WITH REAL PROPERTY NEGOTIATOR pursuant to Government Code
Seciion 54956.8:
Property:
APN: 006-085-0223; Lot 23, Northeast Corner of Valley Road
and Via Berros
Steven Adams, City Manager
Habitat for Humanity, Penny Rappa
Price, Terms and Conditions of Potential Purchase
Agency Negotiator:
Negotiating Party:
Under Negotiation:
4. ADJOURN TO OPEN SESSION:
Mayor Ferrara announced that there was no reportable action from the closed session.
5. ADJOURNMENT:
The meeting was adjourned at 7:00 p.m.
Tony Ferrara, Mayor
ATTEST:
Kelly Wetmore, City Clerk
MINUTES
REGULAR MEETING OF THE CITY COUNCIL
TUESDAY, NOVEMBER 8, 2005
COUNCIL CHAMBERS, 215 EAST BRANCH STREET
ARROYO GRANDE, CALIFORNIA
1. CALL TO ORDER
Mayor Ferrara called the Regular City Council meeting to order at 7:00 p.m.
2. ROLL CALL
City Council:
City Staff Present:
Council Members Dickens, Guthrie, Arnold, and Mayor Ferrara were
present. Mayor Pro Tem Costello was absent.
City Manager Adams, City Attorney Carmel, Director of Administrative
Services/City Clerk Wetmore, Director of Financial Services Kraetsch,
Director of Parks, Recreation & Facilities Hernandez, Director of
Community Development Strong, and Director of Public Works/City
Engineer Spagnolo, and Associate Planner McClish.
3. FLAG SALUTE
Members of Boy Scout Troop 26 led the Flag Salute.
4. INVOCATION
Pastor Jerry Nelson, Seventh Day Adventist Church, Arroyo Grande, delivered the invocation. .
5. SPECIAL PRESENTATION
5.a. Proclamation Congratulating the Economic Opportunity Commission on Its 40th
Anniversary.' . .
Mayor Ferrara presented an Honorary Proclamation congratulating the Economic Opportunity
Commission on its 40th Anniversary. Rae Fleming, representing the Economic Opportunity
Commission, accepted the Proclamation.
6. AGENDA REVIEW
6.a. Resolutions and Ordinances Read in Title Only.
Council Member Arnold moved, Council Member Dickens seconded, and the motion passed
unanimously that all resolutions and ordinances presented at the meeting shall be read in title
only and all further readings be waived.
7. CITIZENS'INPUT. COMMENTS. AND SUGGESTIONS
Mike McConville, Arroyo Grande, referred to the increase in traffic on Route 227 specifically with
regard to an increase in the noise from truck air brakes. He requested that the City look into the
matter.
Susan Flores, Arroyo Grande, acknowledged the many services and programs that the
Economic Opportunity Commission provides for students and families and stated that the
Proclamation presented was well deserved.
Randv Soinneman, teacher at Arroyo Grande High School, thanked the City Council for allowing
his students to attend Council meetings to learn how City government works.
CITY COUNCIL MINUTES
NOVEMBER 8, 2005
PAGE 2
8. CONSENT AGENDA
At staff's request, Council Member Arnold requested that Item 8.d. be pulled.
8.d. Consideration of the Preparation of a Brisco Road-Halcyon Road/Route 101
Supplemental Project Study Report (PSR) to Apply for Design and Construction
Funding and Additional Appropriation to Complete the Supplemental PSR and
Project Approval and Environmental Determination (PA&ED)
Recommended Action: 1) Authorize the City Manager to execute a contract amendment
with Wood Rodgers, Inc. to prepare a Supplemental Project Study Report (PSR) for the
Brisco Road-Halcyon Road/Route 101 project in order to apply for design and
construction funding; 2) Authorize the City Manager to execute a contract amendment
with Wood Rodgers, Inc. for additional items required to complete the Project Approval &
Environmental Document (PA&ED) phase of project development; and 3) Allocate an
additional appropriation of $139,250 from the Transportation Facility Impact Fund.
Director of Public Works Spagnolo presented an update on the status of the Brisco Road-
Halcyon Road/Route 101 Interchange project, including an overview of project components and
alternatives. He reported that SLOCOG was recommending that the auxiliary lane portion of the
project proceed separately, and he highlighted funding issues and strategies associated with
separating out this component. He stated that based on SLOCOG's recommendation, staff was
revising its recommendation to request that the Council authorize the City Manager to execute a
contract amendment to complete the PA&ED, and allocate $88,000 from the Transportation
Facility Impact Fund.
Following Council comments, questions, and discussion regarding the status and funding of the
interchange improvement project, staff was directed to schedule on a future agenda a full update
on the status of the Brisco Road-Halcyon Road/Route 101 Interchange project.
Council Member Guthrie moved to authorize the City Manager to move forward with separating
out the auxiliary lanes portion of the project from the PA&ED; execute a contract amendment
with Wood Rodgers, Inc. to prepare a Supplemental Project Study Report (PSR) for the Brisco
Road-Halcyon Road/Route101 project in order to apply for design and construction funding; and
allocate an additional appropriation of $88,000 from the Transportation Facility Impact Fund.
Council Member Dickens asked if the motion could be amended to include directing staff to
come back at a future date with a full presentation in order to update the Council and the public
about the status of this project. Council Member Guthrie agreed to expand the motion. Council
Member Dickens seconded, and the motion passed on the following roll-call vote:
AYES:
NOES:
ABSENT:
Guthrie, Dickens, Arnold, Ferrara
None
Costello
Council Member Dickens moved, and Council Member Guthrie seconded the motion to approve
Consent Agenda Items 8.a. through 8.c., with the recommended courses of action. The motion
passed on the following roll-call vote: '
AYES:
NOES:
ABSENT:
Dickens, Guthrie, Arnold, Ferrara
None
Costello
CITY COUNCIL MINUTES
NOVEMBER 8, 2005
PAGE 3
8.a. Cash Disbursement Ratification.
Action: Ratified the listing of cash disbursements for the period October 16, 2005
through October 31, 2005.
8.b. Consideration of Approval of Minutes.
Action: Approved the minutes of the Regular City Council meeting of September 27,
2005 as submitted.
8.c. Consideration of Acceptance of the. East Grand Avenue Enhancements at
Courtland Street Project, PW 2005-06.
Action: 1) Accepted the project improvements, as constructed by Curt Bailey Masonry,
Inc. in accordance with the plans and specifications for the East Grand Avenue
Enhancement Project, PW 2005-06; 2) Directed staff to file a Notice of Completion; and
3) Authorized release of the retention thirty-five (35) days after the Notice of Completion
has been recorded, if no liens have been filed.
9. PUBLIC HEARINGS
9.a. Continued Public Hearing - Consideration of a Proposed Ordinance Amending
Chapter 12.16 of Title 12 of the Arroyo Grande Municipal Code Regarding the
Community Tree Program.
Director of Parks, Recreation and Facilities Hernandez presented the staff report and
recommended the Council introduce an Ordinance amending Chapter 12.16 of Title 12 of the
Arroyo Grande Municipal Code Regarding the Community Tree Program.
Mayor Ferrara opened the public hearing and invited comments from those in the audience who
wished to be heard on the matter.
Mike McConville, Arroyo Grande, asked for clarification about whether the ordinance affected residential
districts. Staff responded that the ordinance includes regulation of oak trees and street trees in residential
areas.
Steve Ross, Arroyo Grande, stated he had spoken to members of the community about the ordinance who
favored the protection of trees; however, most people opposed any regulations concerning trees in private
backyards. He also received comments about trees in existing streetscapes that are negatively impacting
sidewalks and inquired whether the ordinance addresses this issue.
Hearing no further public comments, Mayor Ferrara closed the public hearing.
Council Member Arnold stated he had looked at trees around the City and felt that a 12"
diameter was appropriate for regulation purposes. He expressed some concern with trees that
may have multiple trunks. He supported the language proposed relating to a permit exemption
for trees constituting an imminent fire hazard. He stated he did not think the ordinance was too
restrictive and supported it as proposed. .
In response to the language regarding the definition of "imminent fire safety hazard", Council
Member Guthrie noted that a determination would have to be made by the Fire Chief whether a
tree falls into the 100-foot fire zone before a permit exemption is granted. He noted that while
people may be uncomfortable with regulation of trees in backyards, the proposed ordinance
provides a discretionary process for the removal of trees. He supported the proposed ordinance
and noted that the General Plan states that oak trees will be protected.
CITY COUNCIL MINUTES
NOVEMBER 8, 2005
PAGE 4
Council Member Dickens stated it was important to look at what the City is trying to achieve and
noted that the Community Tree Ordinance was outdated and some provisions needed to be
clarified and strengthened. He acknowledged that some of the definitions have been clarified
and expanded. He expressed concern about regulating trees on private property and noted that
unintended consequences may result with the adoption of the ordinance as proposed. He stated
he could not support the definition of "regulated trees" which includes regulation of oak trees in
single-family residential areas; therefore, he could not support the ordinance as proposed.
Mayor Ferrara referred to the size of regulated trees and inquired whether a site inspection was
part of the tree removal process. Staff confirmed that a site inspection would be included and an
appeals process in place. Mayor Ferrara supported the proposed ordinance as written and
suggested that the ordinance be put into effect and then the Council review it in one year to see
how it has been implemented; have there been unanticipated issues; what has been the public's
experience; and has the City had many appeals. He emphasized the creation of an internal
policy for notifying the Tree Guild of Arroyo Grande so they have a voice in the process.
Council Member Arnold suggested directing staff to notify all landscapers and tree trimming
companies of the new ordinance.
Council Member Arnold moved to introduce an Ordinance as follows: "An Ordinance of the City
Council of the City of Arroyo Grande Amending Chapter 12.16 otTltle 12 of the Arroyo
Grande Municipal Code Regarding the Community Tree Program", and direct staff to notify
all landscape and tree trimming companies that have business licenses in the City, as well as
those in the telephone book, of the new ordinance. Further, it was moved to bring the ordinance
back in one year for a status report. Council Member Guthrie seconded, and the motion passed
on the following roll-call vote:
AYES:
NOES:
ABSENT:
Arnold, Guthrie, Ferrara
Dickens
Costello
9.b. Consideration of a Resolution Ordering Formation of the Parkslde Village.
Assessment District, Confirming Assessments, District Diagram and the Levying
Assessments.
City Attorney Carmel presented the staff report and recommended the Council adopt a
Resolution approving the formation of the Parkside Village Assessment District, confirming
assessments, assessment district diagram and the levying of assessments upon benefiting
property.
Mayor Ferrara opened the public hearing and invited comments from those in the audience who
wished to be heard on the matter. No public comments were received and Mayor Ferrara closed
the public hearing.
Council Member Dickens moved to adopt a Resolution as follows: "A Resolution of the City
Council of the City of Arroyo Grande Ordering the Formation of the Parkslde Village
Assessment District, Confirming Assessments, Assessment District Diagram and
Approving the levying of Assessments". Council Member Arnold seconded, and the motion
. passed on the following roll-call vote:
CITY COUNCIL MINUTES
NOVEMBER 8, 2005
PAGE 5
AYES:
NOES:
ABSENT:
Dickens, Arnold, Guthrie, Ferrara
None
Costello
9.c. Consideration of an Interim Urgency Ordinance Extending the Suspension of
Acceptance and Processing of New Applications for Development of any Portion of
Property Immediately Adjacent To Arroyo Grande Creek, Tally Ho Creek, Meadow
Creek Or Creek Tributaries Within The City Of Arroyo Grande.
Associate Planner McClish presented the staff report and recommended the Council adopt an
Interim Urgency Ordinance to extend the suspension of acceptance and processing new
applications for development of any portion of property immediately adjacent to Arroyo Grande
Creek, Tally Ho Creek, Meadow Creek or creek tributaries within the City of Arroyo Grande.
Mayor Ferrara informed the Council that the Zone 1/1A Taskforce and Advisory Committee gave
a status report to the County Board of Supervisors today, which included measures on how the
City of Arroyo Grande and the County will address and manage the upper watershed. He noted
that he gave copies of this staff report to members of the Board.
Council questions and discussion ensued with regard to how long the ordinance would be
extended; the timeline for the proposed work plan; and how future development projects are
affected by the interim urgency ordinance.
Mayor Ferrara invited comments from those in the audience who wished to be heard on the
matter.
Steve Ross, Arroyo Grande, expressed confusion and stated he thought the City was prohibiting
development of any properties that bordered the creeks or their tributaries within the City limits.
Director Strong clarified that the urgency ordinance exempts projects in progress which were
filed and in process prior to the adoption of the urgency ordinance, including, but not limited to
Tract 01-001 (Tract 1998), the Cherry Creek development project, the Fair Oaks development
near Arroyo Grande Hospital, and a project on Whiteley Street. He stated that the ordinance
exempts projects that would not alter the proximity to the creek; so a project that has no
disturbance or development within 25 feet of the riparian vegetarian or top of bank that extends
into creek areas could be considered. He clarified that this ordinance pertains to applications for
new developments.
Hearing no further public comments, Mayor Ferrara closed the public comment period.
Mayor Ferrara referred to the proposed work plan and suggested integrating that City staff will
actively coordinate and continue to work with the County of San Luis Obispo as it relates to the
creek systems, including the critical issue of limiting downstream sedimentation.
Following Council comments in support of the interim urgency ordinance in order to provide
consistency throughout the City's General Plan land use and conservation policies, Council
Member Guthrie moved to adopt an interim urgency ordinance as follows: "An Interim Urgency
Ordinance of the City Council of the City of Arroyo Grande To Extend the Suspension of
Acceptance and Processing of Applications for Development of any Portion of Property
Immediately Adjacent to Arroyo Grande Creek, Tally Ho Creek, Meadow Creek or Creek
CITY COUNCIL MINUTES
NOVEMBER 8, 2005
PAGE 6
Tributaries Within the City of Arroyo Grande". Council Member Arnold seconded, and the
motion passed on the following roll-call vote:
AYES:
NOES:
ABSENT:
Guthrie, Arnold, Dickens, Ferrara
None
Costello
9.d. Consideration of Proposed Ordinance Amending Title 13 (Public Works) of the
Arroyo Grande Municipal Code Relating to Water and Sewer Service Provisions.
Director of Public Works Spagnolo presented the staff report and recommended the Council
introduce an Ordinance amending Title 13 (Public Works) of the City of Arroyo Grande Municipal
Code repealing, amending, and adding provisions relating to water and sewer service to provide
internal consistency with current City policy, procedures, and practices.
Mayor Ferrara invited comments from those in the audience who wished to be heard on the
matter, and upon hearing no public comments, he closed the public comment period.
Council Member Dickens moved to introduce an Ordinance as follows: "An Ordinance of the
City Council of the City of Arroyo Grande Amending Title 13 (Public Works) Relating to
Water and Sewer Service Provisions". Council Member Arnold seconded, and the motion
passed on the following. roll-call vote:
AYES:
NOES:
ABSENT: .
Dickens, Arnold, Guthrie, Ferrara
None
Costello
10. CONTINUED BUSINESS
None.
11. NEW BUSINESS
None.
12. CITY COUNCIL MEMBER ITEMS
None.
13. CITY MANAGER ITEMS
None.
14. COUNCIL COMMUNICATIONS
Mayor Ferrara reported that he and Council Members Guthrie and Arnold attended a Project
2050 meeting held at Grace Bible Church last Saturday.
15. STAFF COMMUNICATIONS
City Manager Adams recognized City Clerk Wetmore for her efforts on putting the City Council
Agenda reports on the City's website for public access.
16. COMMUNITY COMMENTS AND SUGGESTIONS
. None.
CITY COUNCIL MINUTES
NOVEMBER 8, 2005
PAGE 7
17. ADJOURNMENT
There being no further business to come before the City Council, Mayor Ferrara adjourned the
meeting at 8:44 p.m. .
Tony Ferrara, Mayor
ATTEST:
Kelly Wetmore, City Clerk
(Approved at CC Mtg
)
B.d.
MEMORANDUM
FROM:
CITY COUNCIL ~ Ai
ANGELA KRAETSCH, DIRECTOR OF FINANCIAL SERVICES.f(f-,
TO:
SUBJECT:
,
CONSIDERATION OF ANNUAL ADJUSTMENT OF SEWER
CONNECTION FEES BASED ON CHANGES IN THE ENGINEERING
NEWS RECORD CONSTRUCTION COST INDEX
DATE:
JANUARY 10, 2006
RECOMMENDATION:
It is recommended the City Council adopt the attached Resolution approving the annual
adjustment to the sewer connection fees based on changes in the Engineering News
Record (ENR) Construction Cost Index (CCI).
FUNDING:
An increase of approximately $3,500 can be expected in the Sewer Facility Fund.
DISCUSSION:
Ordinance 528 C.S. established that for each connection of a building sewer to a public
sewer, a connection fee will be charged and that the amount of the fee shall be set by
resolution. Resolution No. 3567 set sewer connection fees and requires that the sewer
connection fee be adjusted each January 1 in accordance with the percentage increase
based on changes in the annual average Engineering News Record Construction Cost
Index.
The calculation shown below provides documentation that a 4.65% increase in the ENR
warrants an adjustment in the sewer connection fee.
Overall Index
ENR Annual Average for 2005
ENR Annual Average for 2004
Change
7446
7115
331
Percent Increase
331/7115 = 4.65%
I .
Attached to this report is a Resolution to adjust these fees and Exhibit A that provides a
listing of the proposed updated sewer connection fees. This listing shows the service
CITY COUNCIL
SEWER CONNECTION FEE ADJUSTMENT
JANUARY 10, 2006
PAGE 2
provided by the City, the current fee charged for that service, the CCI, and the
recommended adjusted fee.
ALTERNATIVES:
The following alternatives are provided for City Council consideration:
. Adopt the Resolution adjusting sewer connection fees;
. Do not adopt the Resolution and postpone adjustment until July 2006;
. Modify staff recommendation;
. Provide direction to staff.
RESOLUTION NO._
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ARROYO GRANDE ADJUSTING SEWER
CONNECTION FEES BY THE CHANGE IN THE
ENGINEERING NEWS RECORD CONSTRUCTION COST
INDEX
WHEREAS, the City Council adopted Ordinance 528 C.S. amending provisions of the
Municipal Code regarding sewer connection fees; and
WHEREAS, the City Council may by resolution establish the amount of the sewer
connection fees pursuant to the above referenced Ordinance;
WHEREAS, Resolution 3567 requires an annual adjustment in the sewer connection
fee based on the increase of the annual average Engineering News Record
Construction Cost Index.
NOW, THEREFORE BE IT RESOLVED that the City Council of the City of Arroyo
Grande hereby adopts the fees set forth in Exhibit "A" attached hereto and incorporated
herein by this reference as though set forth in full. This Resolution shall take effect sixty
(60) days after its adoption.
On motion of Council Member , seconded by Council Member
, and on the following roll call vote, to wit:
AYES:
NOES:
ABSENT:
the foregoing Resolution was passed and adopted this
of . ,2006.
day
RESOLUTION NO.
PAGE 2
TONY M. FERRARA, MAYOR
ATTEST:
KELLY WETMORE, CITY CLERK
APPROVED AS TO CONTENT:
STEVEN ADAMS, CITY MANAGER
APPROVED AS TO FORM:
TIMOTHY J. CARMEL, CITY ATTORNEY
EXHIBIT A
SEWER CONNECTION FEES
For each connection of a building sewer to a public sewer, a connection fee shall be collected by the
City before the permit for the connection work is issued. The amount of the fee collected is as follows
Connection fee
2002 2003 2004 2005 2006
ENR Index 6221 6538 6694 7115 7446
Residential - per dwelling unit
Single Family $ 728 $ 765 $ 783 $ 833 $ 871
Multifamily (a) 539 566 580 616 645
Trailer Park/Mobile Home 597 627 642 683 715
Non-Residential - per water meter size (b)
5/8 inch $ 728 $ 765 $ 783 $ 833 $ 871
3/4 inch 1,090 1,146 1,173 1,247 1,305
1 inch 1,820 1,913 1,958 2,082 2,178
1 1/2 inch 3,640 3,825 3,917 4,163 4,357
2 inch 5,824 6,121 6,267 6,661 6,971
3 inch 10,920 11,476 11,750 12,489 13,070
4 inch 18,200 19,127 19,584 20,815 21,784
6 inch 36,400 38,255 39,168 41,631 43,568
8 inch 72,800 76,510 78,335 83,262 87,135
10 inch 109,200 114,764 117,503 124,893 130,703
12 inch 160,160 168,321 172,337 183,176 191,698
(a) Multifamily includes duplex, triplex, apartments, and condominiums
(b) For meter sizes larger than shown, connection fee determined based
on the ratio of the maximum safe operating capacity of the meter to
that of a 5/8 inch meter.
The connection fees shall be increased each January 1 with the annual percentage increase of the
annual average ENR Construction Cost Index as established in the Engineering News Record
publication.
Adjustment Formula:
Adjusted Fee = (Current Fee) x (Current Year ENR index) / (Prior Year ENR index)
8.e.
MEMORANDUM
DATE:
. CITY COUNCIL/REDEVELOPMENT AGENCY BOARD OF DIRE~I~RS
ANGELA KRAETSCH, DIRECTOR OF FINANCIAL SERVICES f1f\
CONSIDERATION OF ADJUSTMENT TO DECREASE THE MILEAGE
REIMBURSEMENT RATE FOR EMPLOYEES AND VOLUNTEERS
JANUARY 10, 2006
TO:
FROM:
SUBJECT:
RECOMMENDATION:
It is recommended the City Council/Agency establish 44.5i per mile as the
employee/volunteer mileage reimbursement rate for the 2006 calendar year.
FUNDING:
A minor fiscal impact will occur by decreasing the reimbursement rate from 48.5i to
44.5i per mile.
DISCUSSION:
The City's Administrative Policy No. A-011, Mileage Reimbursement for Private
Vehicles, states that authorized expenses shall be reimbursed at. the per-mile
reimbursement rate established by the City Council. Staff is proposing that the
Council/Board establish the mileage rate at 44.5i per mile for FY 2006. Mileage is
currently being reimbursed, in most cases, at 48.5i per mile in accordance with City
Council action on September 27,2005.
The City has historically based the rate upon the rate set by the Internal Revenue
Service (IRS). In September of 2005 the IRS temporarily increased the mileage
reimbursement rate from 40.5i to 48.5i to reflect the substantial increase in gasoline
prices due to Hurricane Katrina. In December of 2005, the IRS released the 2006
mileage reimbursement rate of 44.5i that reflects the decrease in gas prices. The new
rate became effective January 1, 2006. The change to 44.5i, from 48.5i, will bring the
City into compliance with the IRS rate.
ALTERNATIVES:
The alternatives available to the City Council/RDA Board are as follows:
1. Establish the mileage reimbursement rate for employees at 44.5i per mile for
the 2006 calendar year.
2. Establish the rate at a cost figure established by the City Council.
3. Retain current reimbursement rate.
4. Provide direction to staff.
8.f.
MEMORANDUM
TO: CITY COUNCIL
FROM:
TERRY FIBICH, DIRECTOR OF BUILDING AND FIRE Q)
SUBJECT: CONSIDERATION OF A . RESOLUTION ESTABLISHING THE
ARCHITECTURAL REVIEW COMMITTEE (ARC) AS THE INTERIM
BUILDING CODE BOARD OF APPEALS
DATE: JANUARY 10, 2006
RECOMMENDATION:
It is recommended that the Council adopt the attached Resolution establishing the
Architectural Review Committee as the Interim Building Code Board of Appeals.
FUNDING:
There is no fiscal impact.
DISCUSSION:
The California Building Code (2001 edition) provides for the creation of a Board of
Appeals in order to hear and decide appeals of orders, decisions or determinations
made by the building official relative to the application and interpretation of the
California Building Code. The Board of Appeals should consist of members who are
qualified by experience and training to pass on matters pertaining to building
construction. The Board of Appeals is appointed by the Council and serves at its
pleasure.
Staff is in the process of preparing the necessary documentation to create a permanent
Board of Appeals. However, in order to address a pending appeal of the Building
official's interpretive decision regarding a pending project, staff recommends that the
Council appoint the Architectural Review Committee as the interim Board of Appeals,
based on their qualifications and experience relative to building construction.
ALTERNATIVES:
The following alternatives are provided for the Council's consideration:
- Approve staff's recommendation and adopt the resolution;
- Do not approve staff's recommendation;
- Modify as appropriate and approve staff's recommendation; or
- Provide direction to staff.
RESOLUTION NO. .
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF ARROYO GRANDE ESTABLISHING THE
ARCHITECTURAL REVIEW COMMITTEE (ARC) AS
THE INTERIM BUILDING CODE BOARD OF
APPEALS
WHEREAS, the City of Arroyo Grande has received a formal request to appeal an
interpretive decision of the California Building Code made by the City's Chief Building
Official; and
WHEREAS, California Building Code Section 105 enables the creation of a Board of
Appeals by appointment of the City Council in order to hear and decide appeals of
orders, decisions or determinations made by the local building official relative to the
application and interpretation of the California Building Code; and
WHEREAS, the City of Arroyo Grande is in the process of preparing necessary
documentation to create a permanent Building Code Board of Appeals; and
WHEREAS, the Arroyo Grande City Council has determined that the City's Architectural
Review Committee ("ARC") may serve as an interim Building Code Board of Appeals
until a permanent Board of Appeals is established, based on the ARC members'
qualifications and experience in the field of building construction.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Arroyo
Grande as follows:
1. City's Architecture Review Committee is hereby designated and duly appointed
as the City's interim Board of Appeals ("Interim Board of Appeals") to hear and
decide appeals of orders, decisions or determinations made by the City's
Building Official relative to the application and interpretation of the California
Building Code, until a permanent Building Code Board of Appeals is established.
2. The Director of Building and Fire, shall ensure that the Interim Board of Appeals
. abides by all applicable rules, guidelines and regulations as set forth in the
California Building Code.
3. The City's Building Official shall be an ex officio member of and act as secretary
to the Interim Board of Appeals, but shall have no vote on any matter before the
Board.
RESOLUTION NO.
PAGE 2
On motion of Council Member , seconded by Council Member
, and on the following roll call vote, to wit:
AYES:
NOES:
ABSENT:
. the foregoing Resolution was passed and adopted this _ day of January, 2006.
RESOLUTION NO.
PAGE 3
TONY FERRARA, MAYOR
ATTEST:
KELLY WETMORE, CITY CLERK
APPROVED AS TO CONTENT:
STEVEN ADAMS, CITY MANAGER
APPROVED AS TO FORM:
TIMOTHY J. CARMEL, CITY ATTORNEY
8_g_
MEMORANDUM
TO: CITY COUNCIL
FROM:
f,"ri~
TERRY FIBICH, DIRECTOR OF BUILDING AND FIRE \cd"
SUBJECT: CONSIDERATION OF DESIGNATION OF APPLICANT'S AGENTS
(OES/FEMA MULTI-JURISDICTIONAL LOCAL HAZARD MITIGATION
PLAN)
DATE: JANUARY 10, 2006
RECOMMENDATION:
It is recommended the City Council adopt the attached Resolution designating the City
Manager, Financial Services Director, and Director of Building and Fire as the City's
agents for the purpose of requesting reimbursement for the development of a Multi-
Jurisdictional Local Hazard Mitigation Plan through the Governor's Office of Emergency
Services (OES).
FUNDING:
The City is a sub-grantee of the Governor's Office of Emergency Services (OES) and
the Federal Emergency Management Agency (FEMA) in an amount not to exceed
$51,281.
DISCUSSION:
The City will be seeking reimbursement for funds expended for the purpose of
developing the Multi-Jurisdictional Local Hazard Mitigation Plan. As part of the grant,
the City is required to adopt a resolution designating specific personnel as
representatives to process reimbursement requests. '
ALTERNATIVES: ",
The following alternatives are provided for the Council's consideration:
- Approve staff's recommendation and adopt the resolution;
- Do not approve staff's recommendation;
- Modify as appropriate and approve staff's recommendation; or
- Provide direction to staff.
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ARROYO GRANDE AUTHORIZING DESIGNATION OF
APPLICANT'S AGENTS (OES/FEMA MULTI.
JURISDICTIONAL LOCAL HAZARD MITIGATION PLAN)
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Arroyo
Grande:
1. That Steve Adams, City Manager, or Angela Kraetsch, Financial Services
Director, or Terry Fibich, Director of Building and Fire, are hereby authorized to
execute for and in behalf of the City of Arroyo Grande, a public entity established
under the laws of the State of California, an application and to file it in the Office
of Emergency Services for the purpose of obtaining certain federal financial
assistance under P.L. 93-288 as amended by the Robert T. Stafford Disaster
Relief and Emergency Assistance Act of 1988, and/or state financial assistance
under the Natural Disaster Assistance Act.
2. That the City of Arroyo Grande. a pubiic entity established under the laws of the
State of California, hereby authorizes its agent(s) to provide to the State Office of
Emergency Services for all matters pertaining to such state disaster.
On motion by Council Member . seconded by Council Member
and on the following roll call vote, to wit:
AYES:
NOES:
ABSENT:
the foregoing Resolution was passed and adopted this _ day of
,2006.
RESOLUTION NO.
PAGE 2
TONY FERRARA, MAYOR
ATTEST:
KELLY WETMORE, CITY CLERK
APPROVED AS TO CONTENT:
STEVEN ADAMS, CITY MANAGER
APPROVED AS TO FORM:
TIMOTHY J. CARMEL, CITY ATTORNEY
a.h.
MEMORANDUM
TO: CITY COUNCIL
FROM: DON. SPAGNOLO, DIRECTOR OF PUBLlCWORKS/CITY ENGINEER k
SUBJECT: CONSIDERATION OF AN AWARD OF CONTRACT TO FLOYD V. WELLS,
INC. TO CONSTRUCT PHASE I OF THE WELL NO.10 PROJECT
PW 2004-07
DATE: JANUARY 10, 2006
RECOMMENDATION:
It is recommended the Council:
A. award a contract for the construction of Phase I of the Well NO.1 0 Project, PW
2004-07 to Floyd V. Wells, Inc. in the amount of $175,160.00;
B. authorize the City Manager to approve change orders notto exceed the contingency
of $17,516.00 for use only if needed for unanticipated costs during the construction
phase of the project (total construction costs = $175,160.00+ $17,516.00 =
$192,676.00). .
_...~---
FUNDING: .
The FY 2005/06 Capital Improvement Program budget includes $489,400 for Phases I and
II of the Well No.1 0 Project. The developer of the Village Glen Tract contributed $218,000
for the construction of the well and recorded an irrevocable offer of dedication for a
municipal well site easement on Deer Trail Circle. The remainder of the funding will be'
from the Water Facilities Fund. The projected estimate for the total costforboth phases of
the project is $765,500.00.
DISCUSSION:
OnJune 14, 2005, the City Council directed staff to solicit bids for the Well NO.1 0, Phase I
Project. The City Council previously rejected public bids at their July 26,2005 and October
25, 2005 meetings as the only bidder substantially exceeded the Engineer's Estimate both
times. The City Council directed staff to perform additional research to determine whether
there were potential design changes that could result in cost savings to the project. Staff
reviewed the design elements, revised the plans and specifications accordingly, and re-
advertised the project to solicit new construction bids.
CONSIDERATION OF AN AWARD OF CONTRACT TO FLOYD V. WELLS, INC. FOR
CONSTRUCTION OF PHASE I OF THE WATER WELL NO. 10 PROJECT, PW 2004-07
JANUARY 10, 2006 .
PAGE 2
On December ,6, 2005, three bids were publicly opened for Phase I of the project. The
lowest responsible. bidder, Floyd V. Wells, Inc., submitted a bid of $175,160.00. The bid
has been verified and found to be in compliance with the contract specifications.
The well site is located on property at the southwest corner of the Deer Trail Circle and
Equestrian Way. The project scope of work is as follows:
Phase I - Test Well Construction
Drilling and development of the well. Garing, Taylor & Associates will perform
testing of the actual production capacity of the well and the water quality to perform
the design of Phase II.
Phase II - Site Work, Pump & Pipeline Installation
Construction of the permanent pump and associated waterline piping, the required
treatment facility, the building enclosure, and the permanent connection into the
City's water system.
The contract time for the Phase I project is specified at 120 calendar days. Construction is
expected to begin in February 2006 and be complete by the end of May 2006.
ALTERNATIVES:
The following alternatives are provided for the Council's consideration:
. Approve staff's recommendations;
. Do not approve staff's recommendations;
. Modify as appropriate and approve staff's recommendations; or
. Provide direction to staff.
Attachment:
1. Bid Opening Log Sheet
S:\PUBLlC WORKS ENGINEER.ING SHARED ITEMS\Capital Projects\2005\Well No 10\Council\Award Contract\Council Memo-
Award.doc
BID OPENING LOG SHEET
CITY OF ARROYO GRANDE
BID OPENING:
December 6, 2005; 2:00 p.m.
Well No. 10, Phase I
Engineer's Estimate: $192,000.00
BIDDER'S NAME. CITY BASE BID ALT. TOTAL BID
Maggiora Bros. Drilling Inc. $297,250.00 $30,000.00 $327,250.00
Watsonville, CA
Floyd V. Wells, Inc. $175,560.00 $0 $175,560.00
Santa Maria, CA
Barbour Well Surveying Corp. $260,790.00 $0 $260,790.00
Camarillo, CA
J'f1..lu, . >J<l:fl1/~
Kelly We mor~ v
Director of AJi'ministrative Services/City Clerk
c: Director of Public Works
City Manager
8.i.
MEMORANDUM
TO:
FROM:
CITY COUNCIL
DON SPAGNOLO, DIRECTOR OF PUBLIC WORKS/CITY ENGINEER t1~
CONSIDERATION OF AN AWARD OF CONTRACT TO LEE WILSON
ELECTRIC COMPANY INC. FOR CONSTRUCTION OF THE CAMINO
MERCADO / WEST BRANCH STREETTRAFFIC SIGNAL PROJECT, PW
2005-05
SUBJECT:
JANUARY 10, 2006
RECOMMENDATION:
It is recommended the Council:
DATE:
A. award a contract for the construction fortheCamino Mercado / West Branch Traffic
Signal Project, PW 2005-05 to Lee Wilson Electric Company Inc. in the amountof
$313,369.00;
B. authorize the City Manager to approve change orders not to exceed the contingency
of $31,337.00 for use only if needed for unanticipated costs during the construction
phase of the project (total construction costs = $313,369.00 + $31,337.00 =
$344,706.00); and
C. transfer $212,000.00 from the Traffic Signalization Fee Fund.
FUNDING:
The Capital Improvement Project (CIP) allocated $175,060 for this project. However, this
amount did not account for the road widening, PG&E service charge, additional design
expenses or recent increase in construction costs. The total project cost based on the
construction bid, design invoices and the PG&E service charge is $387,000. This is
$212,000.00 more than the $175,000.00 currently allocated to the project in the Capital
Improvement Program. Therefore, a transfer of $212,000.00 from the-Traffic Signalization
Fee Fund is requested to 'fund the difference between the total cost projection and the
current amount budgeted for the project.
DISCUSSION:,
On September 27, 2005, the City Council directed staff to solicit bids for the Camino
Mercado / West Branch Traffic Signal Project. On December 13, 2005, one bid was
received from Lee Wilson Electric Company Inc. in the amount of $313,369.00. The bid
has been verified and found to be in compliance'with the contract specifications.
u
CONSIDERATION OF AN AWARD OF CONTRACT TO LEE WILSON ELECTRIC
COMPANY INC. FOR CONSTRUCTION OF THE CAMINO MERCADO {WEST BRANCH
STREET TRAFFIC SIGNAL PROJECT, PW 2005-05
JANUARY 10, 2006
PAGE 2
The project scope of work includes the installation of new conduit, conductors, poles and
signal arms, controller and traffic heads to provide a complete and operable traffic signal in
accordance with Caltrans requirements. A right-turn lane will also .be constructed on
southbound West Branch within the available right-of-way to provide additional vehicle
capacity to US 101 North.
The contract time for this project is specified at 150 calendar days. Following issuance of
the Notice to Proceed, the first sixteen weeks will involve procurement of the signaling
equipment and materials. The lane construction is anticipated to begin in early March
2006 with the traffic signal hardware' installations following in May 2006. Project
completion is anticipated by July 2006.
ALTERNATIVES:
The following alternatives are provided for the Council's consideration:
. Approve staff's recommendations; .
. Do not approve staffs recommendations;
. Modify as appropriate and approve staff's recommendations; or
. Provide direction to staff.
Attachment:
1. Bid Opening Log Sheet
S:IPUBLlC WORKS ENGINEERING SHARED ITEMSICapital Projectsl20051Camino Mercado - W Branch
Traffic SignallCouncillContract AwardlCouncil Memo - Contract Award - Lee Wilson.doc
BID OPENING LOG SHEET
CITY OF ARROYO GRANDE
BID OPENING:
December 13, 2005; 2:00 p.m.
Camino Mercado/West Branch Street Traffic Signal Project
Engineer's Estimate: $210,000.00
BIDDER'S NAME. CITY
TOTAL BID
Lee Wilson Electric Co.
$313.314.00
inistrative Services/City Clerk
c: Director of Public Works
City Manager
8..1.
MEMORANDUM
TO: CITY COUNCIL
FROM: DON SPAGNOLO, DIRECTOR OF PUBLIC WORKS/CITY ENGINEE~
SUBJECT: CONSIDERATION OF ACCEPTANCE OF THE THEIS/KEISLER
TENNIS COURT ADDITION PROJECT, PW 2004-02
DATE: JANUARY 10, 2006
RECOMMENDATION:
It is recommended the City Council:
A. accept the project improvements, as constructed by Malibu-Pacific Tennis Courts,
Inc., in accordance with the plans and specifications for the Theis/Keisler Tennis
Court Addition Project;
B. direct staff to file a Notice of Completion; and,
C. authorize release of the retention of $22,140.10 thirty-five (35) days after the Notice
of Completion has been recorded if no liens have been filed.
FUNDING:
On May 10, 2005, the City Council awarded the Theis/Keisler Tennis Court Addition
Project to Malibu-Pacific Tennis Courts, Inc. in the amount of $204,999.00. The total
. construction budget for the project was $230,553.00, which included $20,500 for
construction cost contingencies. The final adjusted project costs; including design,
construction and testing; is $226,284.87, resulting in a savings of $4,268.13.
DISCUSSION:
Malibu-Pacific Tennis Courts, Inc. has completed all items of work on the Theis/Keisler
Tennis Court Addition Project in accordance with the plans and specifications. The
scope of work for the project involves the construction of an additional tennis court at
the Soto Sports Complex. Additional project items include reconstruction of the existing
slope and grade of the concrete pathways, replacing drinking fountains and benches,
and creating a ramp to the tennis courts from the parking lot for people with disabilities.
S:IPUBLIC WORKS ENGINEERING SHARED ITEMS\Capital Projects\2005\Tennis Court
Addition\CouncillProject Acceptance\Council Memo - Project Acceptance.doc
CITY COUNCIL
CONSIDERATION OF ACCEPTANCE OF THE THEIS/KEISLER TENNIS COURT
ADDITION PROJECT, PW 2004-02
JANUARY 10, 2006
. PAGE 2
Staff is recommending the Council accept the improvements as constructed, authorize
staff to file a Notice of Completion, and release the remaining portion of the 10%
retention ($22,140.10) to Malibu-Pacific Tennis Courts, Inc. thirty-five (35) days after the
Notice of Completion has been recorded if no liens are filed.
ALTERNATIVES:
The following alternatives are provided for the Council's consideration:
. Approve staffs recommendations;
. Do not approve staffs recommendations;
. Modify as appropriate and approve staff's recommendations; or
. Provide direction to staff.
Attachment:
1. Notice of Completion
S:IPUBLIC WORKS ENGINEERING SHARED ITEMSICapital Projects\20051Tennis Court
Addition\Council\Project Acceptance\Council Memo - Project Acceptance.doc
RECORDING REQUESTED BY
AND WHEN RECORDED RETURN TO:
ATTACHMENT 1
CITY CLERK
CITY OF ARROYO GRANDE
P.O. BOX 550
ARROYO GRANDE, CA 93421
NOTICE OF COMPLETION
NOTICE IS HEREBY GIVEN THAT:
1. The undersigned is owner or agent of owner of the interest or estate stated below the property hereinafter describe.
2. The FULL NAME of the OWNER is: The Citv of Arrovo Grande
3. The FULL ADDRESS of the OWNER is: 2/4 East Branch Street. Arrovo Grande California 93420
4. The NATURE OF THE INTEREST or ESTATE of the undersigned is: in fee
5. THE FULL NAME and FULL ADDRESS of ALL PERSONS, if any, who hold such interest or estate with the ulldersi"glled as JOINT
TENANTS or as TENANTS IN COMMON are:
NAMES ADDRESSES
None
6. THE FULL NAMES and FULL ADDRESSES of the PREDECESSOR'S in interest of the undersigned if the property was transferred
subsequent to the connnencement.ofthe work of improvements herein referred to:
NAMES ADDRESSES
None
7. All work of improvement on the property hereinafter described was COMPLETED December /3 2005
8. The NAME OF THE ORIGINAL CONTRACTOR, ifany, for such work of improvement is:
Malibu-Pacific Tennis Courts. Inc..
9. The street address of said property is: Soto Soorls Comolex
10. The property on which said work of improvement was completed is in the City of Arroyo Grande, County of San Luis Obispo, State of
California, and is described as follows:
Theis/Keisler Tennis Court Addition Proiecl. PW 2004-02
Verification of NON-INDIVIDUAL owner: I, the undersigned, declare under penalty of perjury. under the laws ofthe Slate of California that I am
the Public Warks Director of the aforesaid interest or estate in the property described in the above notice; that I have read the said notice, that I
know and understand the contents thereof, and the facts stated therein are true and correct. .
Don Spagnolo, PE; Director of Public Works/City Engineer
January 10, 2006, Arroyo Grande, California
-- END OF DOCUMENT --
8.k.
MEMORANDUM
DATE: JANUARY 10, 2006
RECOMMENDATION:
It is recommended the City Council accept the public improvements for Tract 2328 -
Stonecrest as constructed by S & S Homes of the Central Coast.
FUNDING:
There is no fiscal impact at this time. Maintenance of these facilities will be funded
from Public Works maintenance funds in future years.
. DISCUSSION:
On July 8, 2003 the City Council approved the final map for Tract 2328 located at the
southeast corner of EI Camino Real and Hillcrest Drive. The City Council also accepted
all offers of dedication with approval of the final map, which recorded on August 1,
2003.
The applicant provided the appropriate improvement securities, including the 10%
warranty security, prior to recordation of the final map. . The securities for faithful
performance, labor and materials, and monumentation will be released upon
acceptance of the improvements. The warranty security will be released after one year
provided the improvements are still in satisfactory condition.
The applicant was conditioned to perform the following improvements:
1. install water mains on and off7site,
2. install sewer mains on and off-site,
3. install storm drainage on and off-site,
4. underground on-site and certain perimeter overhead public utilities,
5. construct an internal street,
6. construct a driveway extension to the adjacent property to the south,
7. construct a secondary emergency access,
8. widen EI Camino Real, and
9. install curb, gutter and sidewalk along the EI Camino Real frontage.
CITY COUNCIL
CONSIDERATION OF ACCEPTANCE OF PUBLIC IMPROVEMENTS FOR TRACT
2328 - STONECREST . S&S HOMES OF THE CENTRAL COAST .
JANUARY 10, 2006
PAGE 2
The on-site storm drainage system, internal street, driveway extension to the adjacent
property, and secondary emergency access will be maintained by the homeowner's
association. The City will accept ownership of the water mains, sewer mains, off-site
storm drainage and the frontage improvements to EI Camino Real.
Staff has inspected the improvements and recommends the City Council accept .the
improvements as constructed.
ALTERNATIVES: .
The following alternatives are provided for the Council's consideration:
. Approve staff's recommendation;
. Do not approve staff's recommendation;
. Modify as appropriate and approve staff's recommendation; or
. Provide direction to staff.
Attachment: Exhibit 1 - Vicinity Map of Tract 2328
Council Memo - Acceptance of Improvements - Tract 2328.doc
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ARROYO GRANDE ACCEPTING CERTAIN
IMPROVEMENTS WITHIN TRACT 2328
WHEREAS, the City' Council approved Final Tract Map 2328 located at the southeast
corner of EI Camino Real and Hillcrest Drive on July 8, 2003;
WHEREAS, the City Council accepted the following offers of dedication with approval of
the final map:
1. Right of Way for Hillcrest Drive,
2. Public Water, .
3. Public Sewer,
4. Emergency Access.
WHEREAS, the developer has constructed the improvements required by the
conditions of approval for Tract 2328; and,
WHEREAS, the developer has provided the 10% warranty security as required by the
conditions of approval, to be released at the conclusion of the onecyear warranty period, .
provided the improvements are still in satisfactory condition.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Arroyo
Grande does hereby accept the public improvements constructed for Tract 2328.
On motion of Council Member
and by the following roll call vote, to wit:
, seconded by Council Member
AYES:
NOES:
ABSENT:
the foregoing Resolution was passed and adopted this
day of
2006.
RESOLUTION NO.
PAGE 2
TONY FERRARA, MAYOR
ATTEST:
KELLY WETMORE, CITY CLERK
APPROVED AS TO CONTENT:
STEVEN ADAMS, CITY MANAGER
APPROVED AS TO FORM:
~ ',./
TIMOTHY J. CARMEL, CITY ATTORNEY
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8.1.
MEMORANDUM
TO:
FROM:
BY:
CITY COUNCIL ~Cf7
ROB STRONG, COMMUNITY DEVELOPMENT DIRECTOR~.
JIM BERGMAN, ASSISTANT PLANNER tt>
CONSIDERATION OF TEMPORARY USE PERMIT CASE NO. 05-027;
RELATED TO MAINTENANCE/REMODELING OF WAL-MART; PS
CONTRACTING INC.; 1168 WEST BRANCH ST.
JANUARY 10, 2006
SUBJECT:
DATE:
RECOMMENDATION:
The Planning Commission recommends the City Council adopt a Resolution approving
Temporary Use Permit Case No. 05-027.
FUNDING:
No impact to the General Fund if Wal-Mart continues to operate during the proposed
maintenance and remodeling.
DISCUSSION:
The attached letter (Attachment 1) and associated application received by the City on
November 16, 2005 requested a Temporary Use Permit for maintenance and interior
remodeling of the Wal-Mart. Proposed work includes:
Interior maintenance/remodeling including:
}> Clean, prep and paint interior walls;
;, Clean and repaint sales floor ceiling as needed;
}> Repair and replace floor tile;
}> Refurbish the Vision Center, restrooms and various offices;
}> Replace photo lab;
Exterior maintenance of the building includes:
;, Repair stucco and concrete;
}> Replace wood fencing;
;, Paint exterior to match existing stucco colors;
;, Paint parking lot light standards
CITY COUNCIL
CONSIDERATION OF TEMPORARY USE PERMIT CASE NO. 05-027; RELATED TO
MAINTENANCE/REMODELING OF WAL.MART; PS CONTRACTING INC.; 1168
WEST BRANCH ST.
PAGE 2
In an effort to allow the Wal-Mart store to operate during its normal business hours and to
ensure maximum safety for customers, PS Contracting, Inc. has requested that interior
maintenance such as painting and floor replacement and exterior repairs to the front of the
building and parking lot light occur at night. It should be noted that maintenance and repair
work that can be completed away from and without impacting customer service areas,
such as stucco repair and painting of the rear and sides of the building, are proposed to be
completed during daylight hours.
In order to accomplish the remodel as proposed, PS Contracting, Inc. requests the
placement of the following support items:
~ 8 - Forty foot seatrain containers
~ 2 - Roll-off rubbish bins
The seatrain containers will be used for storage of new shelving materials, flooring,
supplies and merchandise that has been removed from the sales floor while the roll-off
rubbish bins will serve as receptacles for construction debris such as flooring materials (all
such construction debris will be recycled per Municipal Code Section 8.32.200). Outside
operations associated with these activities include the use of a single forklift to transport
materials to and from the store. A safety monitor will be on site during all phases of the
project.
Placement of the seatrain containers and roll-off bins are proposed in the staging area
shown on the attached site plan (Attachment 2). This location is considered the
optimum location for the storage and trash containers for the reasons outlined in the
letter received from PS. Contracting, Inc.
Construction activities are programmed for a 12-week period from January 2 to March
16, 2006 and will occur seven days per week. Grand reopening and termination of
temporary outdoor activities and staging will occur on March 17, 2006.
Although Temporary Use Permits are generally approved by the Community
Development Director, this permit is presented to the Council for review and approval
based upon Municipal Code section 16.08.060.8.5., which provides that "Permits,
licenses or approvals within an approved planned development are Planning
Commission recommendations to the City Council." Please note that the conditions of
approval recommended by the Planning Commission were developed to allow the
remodel request, protect the residents of the adjacent neighborhood from noise and
other nuisances and to reinforce existing City policies as they relate to the Five Cities
Center and retail stores in excess of 90,000 square feet. Conditions of approval restrict
the number of containers, preclude alterations which would not conform to non-taxable
retail sales area restrictions, prevent exterior color, material, lighting or use changes
without further City approvals and immediate review of the permit if complaints from the
CITY COUNCIL
CONSIDERATION OF TEMPORARY USE PERMIT CASE NO. 05-027; RELATED TO.
MAINTENANCE/REMODELING OF WAL-MART; PS CONTRACTING INC.; 1168
WEST BRANCH ST.
PAGE 3
surrounding residential neighborhood are received and state potential actions (such as
revocation of the Temporary Use Permit) if a violation occurs. Finally, condition number
2(1) provides that the existing unauthorized outdoor retail sales area known as the
Garden Center must be removed and not reestablished unless and until a Conditional
Use Permit application for this use is approved after public hearings by the Planning
Commission and City Council. Condition number 6 enabled initial limited construction
activities and outdoor staging to be established and conducted from January 2 to
January 11, prior to Council consideration subject to its termination and removal if not
approved by the Council tonight.
Although Temporary Use Permits are not public hearings, staff has notified neighboring
property owners of this application. At this time, staff has received input from one
property owner stating that he has no concerns with the proposed temporary use.
ALTERNATIVES:
The following alternatives are provided for the Council's consideration:
- Adopt the attached Resolution;
Modify and adopt the attached Resolution;
Do not adopt the attached Resolution;
Provide direction to staff.
Attachments:
1. Letter dated November 16, 2005
2. Site plan
3. Remodeling plans
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ARROYO GRANDE APPROVING TEMPORARY USE
PERMIT CASE NO. 05-027; RELATED TO
MAINTENANCE/REMODELING OF WAL-MART; PS
CONTRACTING INC.; 1168WEST BRANCH ST.
WHEREAS, on November 16, 2005, PS Contracting submitted an application for a
Temporary Use Permit related to maintenance/remodel of Wal-Mart located at 1168 West
Branch Street; and
WHEREAS, on December 20 2005 the Planning Commission reviewed and modified
proposed Conditions of Approval and recommended the City Council approve Temporary
Use Permit Case No. 05-027; and
WHEREAS, the City Council has considered Temporary Use Permit Case No. 05-027, on
January 10, 2006 in accordance with the Municipal Code of the City of Arroyo Grande; and
WHEREAS, the City Council has found that this project is consistent with the General Plan
and the environmental documents associated therewith; and
WHEREAS, the City Council has reviewed this project in compliance with the Califomia
Environmental Quality Act (CEQA), the State CEQA Guidelines, and the Arroyo Grande
Rules and Procedures for Implementation of CEQA and has determined that the proposed
project is Categorically Exempt per Section 15301 of the CEQA Guidelines.
WHEREAS, the City Council finds, after due study, the following circumstances exist:
FINDINGS FOR APPROVAL
1. The operation of the requested temporary use related to maintenance and remodel
of the Wal-Mart from January 11, 2006 until March 17, 2006 will not jeopardize,
endanger, or otherwise constitute a menace to the public health, safety or general
welfare due to the Conditions of Approval developed for the project.
2. The proposed site being over 20 acres in size, the storage area being over 550 feet
away from the nearest adjacent residential property and the enforcement of
. Conditions of Approval ensures that the property is of adequate size and shape to
accommodate the temporary use without material detriment to the use and
enjoyment of other properties located adjacen~ to and in the vicinity of the site.
3. The proposed site is adequately served by streets including West Branch Street,
which has sufficient width and improvements to accommodate the kind and quantity
of traffic that the temporary use will or could reasonably be expected to generate.
4. Adequate temporary parking to accommodate vehicular traffic to be generated by
the use will be available on-site.
RESOLUTION NO.
PAGE 2
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Arroyo Grande
hereby approves Temporary Use Permit Case No. 05-027, with the above findings and
subject to the conditions as set forth in Exhibit "A", attached hereto and incorporated
herein by this reference.
On motion by Council Member
following roll call vote, to wit:
, seconded by Council Member
AYES:
NOES:
ABSENT:
the fo~egoing Resolution was adopted this 10h day of January 2006.
, and by the
RESOLUTION NO.
PAGE 3
TONYFERRARA,MAYOR
ATTEST:
KELLY WETMORE, CITY CLERK
APPROVED AS TO CONTENT:
STEVEN ADAMS, CITY MANAGER
APPROVED AS TO FORM:
TIMOTHY J. CARMEL, CITY ATTORNEY
RESOLUTION NO.
PAGE 4
EXHIBIT "A"
CONDITIONS OF APPROVAL
TEMPORARY USE PERMIT CASE NO. 05-027
PS CONTRACTING INC.; 1168 WEST BRANCH ST.
General' Conditions
1. This Temporary Use Permit (TUP) allows for a 12-week general remodel of Wal-
Mart with construction occurring up to seven days per week between the hours of
9:00 pm and 6:30am from Monday, January 2,2006 to Thursday March 16,2006.
This remodel/maintenance work shall comply with the description submitted by the
applicant and includes:
~ Clean, prep and paint interior walls;
~ Clean and repaint sales floor ceiling as needed;
, ~ Repair and replace floor tile;
~ Refurbish the Vision Center, restrooms and various offices;
~ Replace photo lab;
~ Repair stucco and concrete (to be completed during daytime hours
except for the building front);
~ Replace wood fencing (to be completed during daytime hours);
~ Paint exterior to match existing stucco colors (to be completed during
daytime hours, except for the building front);
~ Paint parking lot light standards
2. The use shall be in substantial conformance with Exhibit "A" and Exhibit "8"
attached hereto and incorporated herein by this reference and to the statements
below:
a) A maximum number of eight (8) "Seatrain" type storage containers with a maximum
length of 40 feet can be placed in the area designated on Exhibit "A". Each container
must be painted a uniform color, be free of exterior rust and be of such a condition as
to not distract from the general appearance of the shopping center;
b) A maximum of two (2) open top trash containers (1 - 40 yard and 1 -' 10 yard) shall
be placed in the area designated on Exhibit "A";
c) A construction/perimeter fence shall be constructed around the "Seatrain" containers
and trash containers;
d) Maximum number of employees outside during the hours of 9:00 pm to 6:30 am shall
be six (6);
e) A maximum of one forklift may be utilized outside during the hours of 9:00 pm to 6:30
am;
f) This Temporary Use Permit does not nullify Chapter 9.16 (Noise) of the Municipal
Code. All operations shall comply with this chapter and any violations may be
enforced per Section 9.16.080 or by the revocation of this permit. Any complaints
related to noise received from adjacent neighbors shall allow a review of the permit
by the Planning Commission or City Council.
RESOLUTION NO.
PAGE 5
g) Renovation of interior space and subsequent merchandizing must comply with
Section 16.52.220 (Limitations on retail stores in excess of ninety thousand square
feet).
h) No additional exterior lighting shall be allowed without the authorization of the
Community Development Director.
i) Exterior paint color shall match the existing stucco color. A 4-foot by 4-foot test patch
of each color shall be applied for the review of the Community Development Director.
before the building is painted. .
j) The wood fence shall be replaced with a fence of similar style, material and finish.
k) The smoking lounge as depicted in detail 2/A2 of Exhibit "B" shall not be installed
due to its reduction of usable stockroom area.
I) The unauthorized outdoor retail sales "Garden Center" shall be removed prior to
January 10, 2006 and shall not be reestablished unless and until approved by
required Conditional Use Permit, subject to separate application including Planning
Commission and City Council public hearings.
3. The applicant shall agree to defend at his/her sole expense any action brought
against the City, its agents, officers, or employees because of the issuance of said
approval, or in the alternative, to relinquish such approval. The applicant shall
reimburse the City, its agents, officers, or employees, for any court costs and
attorney's fees which the City, its agents, officers or employees may be required by
a court to pay as a result of such action. The City may, at its sole discretion,
participate at its own expense in the defense of any such action but such
participation shall not relieve applicant of his/her obligations under this condition.
4: The project shall comply with the most recent editions of the California State Fire
and Building Code and the Uniform Building and Fire Code as adopted by the City
of Arroyo Grande.
5. The applicant shall comply with Municipal Code Section 8.32.200 related to the
mandatory recycling of construction and demolition debris.
6. A safety monitor shall be on site during all construction activities.
ATTACHMENT 1
INC,
Specializing in Cammercial & Electrical Contracting
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Federal1D # 20-1321183
City of Arroyo Grande
Community Development
Re: Temporary Use Permit '
Ladies and Gentlemen,
PS Contracting Inc, is the General Contractor in charge of the Wal-mart General Remodel Project, starting in January of 2006. As part of our
project, we are requesting a Temporary Use Permit for the placement of8 storage container and 2 open top trash containers in the Wal-mart
parking lot during construction We also request permission to access the containers during night time andlor weekend operations. The
location for the storage containers has been highlighted on the attached site plan.
We believe this is the best-suited location for the following reasons:
I. Least amount of impact on Wal-mart customer parking.
This area is away from the main flow of traffic and parking areas. Deliveries and trash removal can take place with minimal impact on
customers.
2. Closest point of entry for construction and store planning.
Most of the material and trash is transported with a forklift. The shorter distance equates to greater efficiency and less noise.
3. Furthest distance possible from residential housing.
This location places the Wal-mart building between our temporary storage area and the residential homeowners, which will greatly reduce
noise.
The Wal-mart General Remodel is a 12 week open store project. The remodel runs from 01102106lhrough 03116106 with a re grand opening
on 03117106. Construction takes place after hours (9:00pm-6:30am) normally seven days a week. The bulk of the construction will be
completed by 02/10106 (six weeks). Though inost of the work is on the inside of the building, we still have to remove debris and get material
in and out. The stucco and concrete repair, replacement of wood fencing, and the exterior painting (with the exception of the front ofthe
building and the light standards in the parking lot), can be move to normal daytime hours.
As guests in your town, PS Contracting Inc. will make every effort to be mindful of all parties concerned. After hours noise is unavoidable
but only temporary. This is a building that is in a commercially zoned area that has not been remodeled in seven years. We plan on doing
everything possible to complete construction with as little inconvenience to the neighboring homeowners.
Sirn~
Mike Trester
CEO, PS Contracting Inc
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23669 Sierra Oa~ Drive ~ Murrieta _~.9~~~~562 Office: 9~~,:~2.2..80~3 Fa~~_~51:.?98.00~ E-mail: Psc~ntractingine@aol.eo~
California Lie #: B/C10 850054 . New Mexico Lie #: B 91030 . Oregon Lic #: 16064 . Washington Lic.#: PSCONC1963MG
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MEMORANDUM
TO: CITY COUNCIL
FROM: DON SPAGNOLO, DIRECTOR OF PUBLIC WORKS/CITY ENGINEER~
SUBJECT: CONSIDERATION OF SUPPLEMENTAL WATER STUDIES OF THE ;
NACIMIENTO AND DESALINATION PROJECTS AND OF DIRECTION TO
PREPARE GRANT APPLICATION
DATE:
JANUARY 10, 2006
RECOMMENDATION:
It is recommended the City Council:
A. receive the presentation on the .supplement water studies; and
B. direct staff to prepare a State grant application for funding to perform a full
desalination feasibility study in cooperation with the other South County agencies.
FUNDING:
The amended Public Works Administration/Engineering operatirig budget includes $4,000
for the preparation of the Nacimiento study and $3,333 for the preparation of the
Desalination study. These amounts were based on the City's share of the total cost of the
studies, which are being shared equally by the City of Arroyo Grande, City of Grover
Beach, and Oceano CSD. Thus, the total costs of these studies are $12,000 (Nacimiento)
and $10,000 (Desalination).
DISCUSSION:
In September 2005 the Wallace Group was retained by the City of Arroyo Grande, City of
Grover Beach, and the Oceano Community Services District to prepare a supplemental
water analysis. The first study was to analyze the possibility of extending the proposed
San Luis Obispo County Nacimiento Water Project (NWP) pipeline from its current
termination location at the City of San Luis Obispo (SLO) water treatment plant to the
Lopez Water Treatment Plant (WTP) for distribution to South County purveyors. The
second study was to determine the feasibility and cost of constructing a desalination facility
at the South San Luis Obispo County Sanitation District (SSLOCSD) wastewater treatment
plant. The primary objective of the studies is to determine which option is most cost
effective to pursue further.. A copy of both studies is attached.
The first step in the study was for each participating agency to determine their individual
need for additional water in the near future (10 years). The requested water demands
were combined for a total of 2,300 AFY. It should be noted that at the December
Nacimiento Commission meeting, the Nacimiento Commission recently approved cost-
. CITY COUNCIL
CONSIDERATION OF A PRESENTATION OF THE SOUTH COUNTY
SUPPLEMENTAL WATER STUDIES: NACIMIENTO PIPELINE EXTENSION AND
DESALINATION
JANUARY 10, 2006
PAGE 2 of 3
saving measures to the NWP that not only saves construction costs, but also reduces the
available water supply to additional participants in the project to 2,100 AFY. Thus, the
Nacimiento supplemental water supply study is limited to the available 2,100 AFY.
Each study was prepared under the assumption that the three agencies would be sharing
overall costs for the supplemental water project, including planning and environmental
costs, permitting costs, design, construction, and operation of the proposed system. Such
cost sharing of the total project costs would be based on the amount each agency
. requested as a percentage of the total future demand.
Nacimiento Pipeline Extension
San Luis Obispo County is currently in the process of designing a water system that would
convey raw lakewater from Lake Nacimiento to several communities south of the Lake,
terminating at the City of San Luis Obispo water treatment plant. Two pipeline extension
alternatives were evaluated to convey Nacimiento water from San Luis Obispo to the
Lopez WTP: 1) Orcutt Hill Road; and 2) Plains XP Pipeline. Both alternatives are
described in detail in the study. In addition, the study addresses needed upgrades and
improvements that would be required at the Lopez WTP to process the additional water.
Regardless of the pipeline alternative, the minimum timeline for implementation is
anticipated to be 5 years. Thus, if the project were started today, completion of the South
County portion of the pipeline would be anticipated in 2011, at about the same time the
NWP is completed.
Based on a 30-year life cycle analysis, this water supply project has an estimated cost of
$3,000 to $3,700 per AFY of water supplied. The initial capital cost outlay (environmental,
permitting, design, construction) would be on the order of $30 million: Annual operation
and maintenance (O&M) costs are expected be on the order of $6 million, with the majority
of the annual cost attributed to O&M of the main NWP components (pumping water from
Lake Nacimiento to City of SLO).
Desalination
This feasibility study focused on evaluation of a desalination plant, located at the South
San Luis Obispo County Sanitation District (SSLOCSD) wastewater treatment plant site.
The water would be treated, then distributed to each member agency at the closest point in
each respective distribution system. It is envisioned that the supply water would be
seawater, with an intake system being comprised of water supply wells on or near the
beach to draw the seawater. The water would be treated with a two-pass reverse osmosis
system with the brine by-product being disposed of through the existing SSLOCSD/City of
Pismo Beach joint sewer outfall. Permitting and environmental review for this project would
be considerably more complex, involving the California Coastal Commission, Regional
Water Quality Control Board, as well as the California Department of Fish & Game, US
Fish & Wildlife Service and other agencies relative to potential impacts to nearby wetlands
and fresh water bodies.
CITY COUNCIL
CONSIDERATION OF A PRESENTATION OF THE SOUTH COUNTY
SUPPLEMENTAL WATER STUDIES: NACIMIENTO PIPELINE EXTENSION AND
DESALINATION
JANUARY 10, 2006
PAGE 30t 3
The overall timeline for implementation is expected to be five to seven years, and the
estimated cost (30-year life cycle) for water from a desalination facility is on the order of
$2,400/AFY (treated and delivered). The capital cost outlay for this water supply option is
expected to be less than $14 million. Annual O&M costs are anticipated to be
approximately $4.5 million, with the majorityofthat cost being energy costs. The one clear
advantage of this alternative is that the project is "drought-proof', taking water supply from
the PacificOcean. .
Based on the advantages of the desalination project, it is recommended that the Council
direct staff to prepare a grant application for State funds to perform a full desalination
feasibility study in cooperation with the other South County agencies.
Attachments: .
1. Draft Water Supply Study, Nacimiento Pipeline Extension, December 2005.
2. Draft Water Supply Study, Desalination, December 2005.
_:M:\232-City of Arroyo Grande\232-0506 - General Consulting\40 - Nacimiento Water Analysis\Administration\Council Staff Report 1-
1Q-Q6.doc
SUPPLEMENTAL WATER SUPPLY STUDY
NACIMIENTO PIPELINE EXTENSION
,--
- / 'if? // i i \ \\\"~'~~>~'~~-
't!7;~1
Draft
CITY OF ARROYO GRANDE
CITY OF GROVER BEACH
OCEANO COMMUNITY SERVICES DISTRICT
JANUARY 2006
WALLACE GROUP
4115 BROAD ST. SUITE B-5
SAN LUIS OBISPO, CA 93401
NACIMENTO WATER STUDY: TABLE OF CONTENTS
LIST OF FIGURES ................................................................................................. LOF 1
LIST OF TABLES ................................................................................................... LOT 1
EXECUTIVE SUMMARY .......................................................................................... ES-1
CHAPTER 1: INTRODUCTION ...................................................................................1-1
1-1 Project Background .................................................................................... 1-1
1-1.1 Nacimiento Commission Meeting 12-15-05.................................. 1-1
1-2 Scope of Work............................................................................. ...............1-2
1-3 Acknowledgements ....................................................................................1-3
CHAPTER 2: NACIMENTO PIPELINE .......................................................................2-1
2-1 Background.................... .................. .......... ................................................2-1
2-2 Pipeline Design ..........................................................................................2-3
CHAPTER 3: PROPOSED ALTERNATIVES ..............................................................3-1
3-1 Alternative A: Orcutt Road..........................................................................3-1
3-1.1 Hydraulic Evaluation .................................................................... 3-1
3-2 Alternative B: Plains Pipeline......................................................................3-5
3-2.1 Plains Oilfield Pipeline Project...................................................... 3-5
3-2.2 Hydraulic Evaluation ....................................................................3-6
CHAPTER 4: TREATMENT AND DISTRIBUTION ......................................................4-1
4-1 Lopez Water Treatment Plant.....................................................................4-1
4-2 Zone 3 Entitlements. .................................... .......... ................ ......... ...... ......4-1
4-2.1 Surplus Water ..............................................................................4-2
4-3 Lopez Distribution Systern ..........................................................................4-3
CHPATER 5: REGULATORY CONSIDERATIONS..................................................... 5-1
5-1 NWP Contract............................................................................................ 5-1
5-1.1 Rescission ...................................................................................5-1
5-1.2 Ownership, Operation, and Maintenance .....................................5-1
5-1.3 Delivery Entitlement .....................................................................5-1
5-1.4 Nacimiento Project Costs............................................................. 5-2
5-1.5 Use of Reserve Water.................................................................. 5-2
5-2 Supplemental EIR ................... .... ............................................................... 5-2
5-3 Zone 3 Entitlement Contract ....................................................................... 5-3
CHAPTER 6: LIFE CYCLE COST ANALYSIS ............................................................6.1
6-1 Nacimiento Water Project........ ................................................................... 6-1
6-2 Pipeline Extension...................................................................................... 6-1
6-2.1 Alternative A ....................................... ......................................... 6-1
6-2.2 Alternative B ................................................................................ 6-2
6-2.3 Conclusions................................................................................. 6-2
6-3 Treatment & Distribution ...... ..................................... .................................. 6-4
6-4 Life Cycle Cost Analysis ............................................................................. 6-4
Nacimiento Water StudylTable of Contents
Project No. 0232.506.040
TOC-1
January 2006
Draft
~.
CHAPTER 7: SUMMARY ............................................................................................7.1
7-1 Alignment Alternatives................................................................................ 7-1
7-2 Treatment & Distribution ............................................................................. 7-1
7-2.1 Treatment ....................................................................................7-1
7-2.2 Distribution.................................................................. .................7-2
CHAPTER 8: IMPLEMENTATION & TIMELlNE..........................................................8-1
8-1 Timeline...................................................................................................... 8-1
8-1.1 Agency Agreements.....................................................................8-1
8-1.2 Planning and Preliminary Design .................................................8-1
8-1.3 Project Financing ......................................................................... 8-1
8-1.4 CEQAlEnvironmental Review...................................................... 8-2
8-1.5 Detailed Design............................................................................8-2
8-1.6 Permitting........ ............................. ................................................8-2
8-1.7 Bid Phase and Construction......................................................... 8-2
8-2 Overview of Project Timeline ......................................................................8-3
APPENDIX A: NWP CONTRACT
APPENDIX B: ZONE 3 ENTITLEMENT CONTRACT
APPENDIX C: LOPEZ HYDRAULIC GRADE CALCULATIONS
Nacimiento Water Studyffable of Contents
Project No. 0232.506.040
TOG-2
January 2006
Draft
LIST OF FIGURES
Figure 2-1 Nacimiento Water Project Raw Water Alignment ........................................2-2
Figure 3-1 Pipeline Alignment Alternatives ................................................................... 3-2
Figure 3-2 Alternative A: Hydraulic Grade Line ............................................................3-4
Figure 4-1 Proposed Hydraulic Grade Lopez Line........................................................4-5
Figure 5-1 Required EIR for Alignment Alternatives .....................................................5-4
Nacimiento Water StudyfTable of Contents
Project No. 0232.506.040
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Draft
LIST OF TABLES
Table 3-1 Alternative A - HGL Calculations ..................................................................3-3
Table 3-2 Total Pipeline Length....................................................................................3-6
Table 4-1 Lopez WTP and SWP Supply Entitlernents ..................................................4-2
Table 5-1 Supplernental EIR Length ............................................................................5-3
Table 6-1 Alternative A Capital Cost Cornparison ........................................................6-2
Table 6-2 Alternative Cost Cornparison......................................................................6-2
Table 6-3 Alternative A Life Cycle Cas!............... ....................................................6-3
Table 6-4 Alternative B Life Cycle Cost........................................................................6-3
Table 6-5 2005-2006 Zone 3 Annual Wheeling Costs ..................................................6-4
Table 6-6 Proposed Annual Cost for Lopez WTP Upgrade ..........................................6-4
Table 6-7 Life Cycle Cost Summary............................................................................. 6-5
Table 7-1 Alignrnent Comparison................................................................................. 7-1
Table 8-1 Proposed Tirneline .......................................................................................8-3
Nacimiento Water StudyfTable of Contents
Project No. 0232.506.040
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EXECUTIVE SUMMARY
(To be provided as part of Final Report.)
Nacimiento Water Study/Executive Summary
Project No. 0232.506.040
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January 2006
Draft
CHAPTER 1
INTRODUCTION
This chapter outlines the basis for evaluation of the proposed Nacimiento pipeline
extension, and corresponding supplemental water supply from the Nacimiento Water
Project (NWP).
1-1 PROJECT BACKGROUND
In this analysis, it was realized that demands for potable water will exceed current
allocations, and that additional sources of water must be developed. Several long and
short-term alternatives were presented in the August 2004 study including desalination,
purchase of State water, and extending the proposed Nacimiento pipeline to south San
Luis Obispo County. Conclusions from the report suggested that the City of AG
investigate the Nacimiento pipeline extension alternative in more detail. At that time, it
was realized that neighboring communities, such as the City of Grover Beach and the
Oceano Community Services District, might also be interested in obtaining additional
water supply. Therefore, these agencies were invited to participate in the evaluation of
the Nacimiento pipeline extension. These three agencies, the City of AG, City of Grover
Beach, and Oceano Community Services District have coordinated efforts to prepare
this evaluation of using the Nacimiento pipeline for supplemental water supply to each
agency.
Current design of the NWP includes the delivery of raw water from Lake Nacimiento to
communities throughout San Luis Obispo County, including Paso Robles, Templeton,
Atascadero, and terminating at the San Luis Obispo Water Treatment Plant (SLO WTP).
The proposed Nacimiento extension would continue the pipeline from the SLO WTP to
South San Luis Obispo County at the Lopez Water Treatment Plant. The delivered
water would be treated at the Lopez WTP and would be delivered through the existing
Lopez Distribution System.
The agencies have identified the need for approximately 2300 AFY of additional potable
water. Viability of the proposed extension will depend on a number of factors, including
capacity in the NWP pipeline, capacity at the Lopez WTP, and capacity in the Lopez
Distribution system. The following evaluation presents alternative alignments of the
proposed extension to South County, along with discussion on the design and regulatory
considerations that would be required for construction of the new pipeline.
1-1.1 Nacimiento Commission Meetina 12-15-05
On December 15, 2005 the Nacimiento Water Project Commission Meeting was held to
discuss the possibility of decreasing the pipeline diameter of the Nacimiento project, as
well as establishing a minimum quantity of water required for any new agencies to
participate in the NWP. According to the outcome of the meeting, the overall diameter of
the transmission main will be reduced such that the hydraulic capacity of the pipeline will
allow for only 2,100 AFY of additional water downstream of the SLO WTP. Therefore,
only 2,100 AFY will be available to customers south of the SLO WTP. The majority of
this report has been prepared based on the 2,300 AFY value discussed in the kick-off
meeting on September 29, 2005 prior to knowing about the 2,100 AFY limitation.
Nacimiento Water Study/Chapter 1
Project No. 0232.506.040
1-1
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Draft
Also discussed at the December 15, 2005 Commission meeting was the minimum
quantity of water required by new participants to the NWP. It has been established that
any new participant interested in water from the NWP must commit to purchasing at
least 500 AFY to have a seat on the NWP Commission. Because each agency
participating in this report has requested an amount above the newly established
minimum, this requirement should not have an impact on the outcome of this report.
However, this minimum value should be noted in the event an alternate quantity is
considered in the future.
1.2 PROJECT SCOPE
In October 2005, Wallace Group was contracted to prepare the following Nacimiento
Pipeline Water Supply Study. The scope of work is as follows:
. Permitting and Coordination with Various Agencies
Identify and meet with various agencies that would be involved in the Nacimiento
Water project from a permitting and coordination perspective. Wallace Group will
identify potential environmental concerns, and discuss a timeline for completion
of an EIR for the project.
. Evaluate Lopez Lake Water Treatment Plant
Evaluate issues and constraints relative to delivery of Nacimiento Water to the
Lopez Terminal Reservoir, capacity and capability of the water treatment plant
relative to the increased water treatment demand, capacity of the delivery
pipeline from Lopez WTP to the member agencies, costs of treatment of
supplemental water supply relative to cost of current Lopez water supplied to
both Cities.
. Hydraulic Design Parameters
Evaluate the hydraulic considerations and requirements for conveying
Nacimiento water to the Lopez Terminal Reservoir. The hydraulic review will
include review of the proposed hydraulic grade line of the Nacimiento pipeline
(from the Cuesta Grade to the City of San Luis Obispo). We will evaluate the
hydraulics based on one condition, as defined by the current hydraulic grade
proposed by the County, and the corresponding Entitlement Contracts of the
Member Agencies. We will evaluate hydraulic head losses, evaluate pipe
diameters, and pumping requirements for water delivery to Lopez based on the
member agencies water demands.
. Evaluate Alternative Pipeline Alignments
Evaluate two pipeline options as follows:
-From SLO water treatment plant to the Lopez treatment plant, along
Orcutt Road.
-From SLO water treatment plant to the Lopez treatment plant, utilizing
the Plains Oilfield pipeline alignment.
. Life Cycle Cost Analysis
Prepare a 20-year life cycle cost analysis for capital and O&M costs associated
with the Nacimiento project. We will prepare a simple rough cost estimate of unit
cost of treated water per acre-foot based on a percentage basis according to
Nacimiento Water Study/Chapter 1
Project No. 0232.506.040
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January 2006
Draft
corresponding agencies' share of the project demands. This unit cost will be
compared to the current cost of water supplies of the agencies.
. Implementation Plan
Prepare a timeline and implementation plan, including consideration of permitting
requirements, limeline to address environmental issues, design and construction
schedules, and system start-up.
1-3 ACKNOWLEDGMENTS
The following agency representatives provided input and assistance in preparing this
supplemental water supply study:
Don Spagnolo, City of Arroyo Grande
Steve Adams, City of Arroyo Grande
Mike Ford, City of Grover Beach
Mitch Cooney, Oceano CSD
The following Wallace Group key team members were involved in the preparation of this
water supply study:
Steven G. Tanaka, P.E., Director of Water Resources
Shannon Peterson, Associate Engineer
Tom Zehnder, P.E., Director of Mechanical Engineering
Nacimiento Water Study/Chapter 1
Project No. 0232.506.040
1-3
January 2006
Draft
CHAPTER 2
NACIMIENTO PIPELINE
This chapter outlines the proposed Nacimiento pipeline water supply project and the
proposed extension of the pipeline to south San Luis Obispo County.
2-1 BACKGROUND
Forty five years ago, San Luis Obispo County secured entitlement to 17,500 acre-feet
per year from Lake Nacimiento. Today, plans are in place to build a 45 mile pipeline to
deliver that water to San Luis Obispo County. Current participants include Paso Robles,
Templeton, Atascadero, and San Luis Obispo. In December 2003, San Luis Obispo
County completed a final draft environmental impact report (EIR) for the 45 mile pipeline
project. The entitlements that have committed to the project are as follows:
. City of Paso Robles - 4,000 AFY
. City of San Luis Obispo - 3,380 AFY
. Atascadero MWC - 2,000 AFY
. Templeton CSD- 250 AFY
TOTAL 9,630 AFY
Of the 17,500 AFY entitlement, SLO County Flood Control and Water Conservation
District will be reserving 1,300 AFY for local lakeside use, leaving approximately 6,000
AFY of unallocated water from the project. With the project hydraulically restricted to
2,100 AFY downstream of the City of SLO WTP, 4,900 AFY would be available to North
County agencies should the 2,100 AFY be allocated to South County agencies.
Two separate alternatives were prepared for the EIR: a treated water option and a raw
water option. The treated water and raw water options both utilize the same alignment
from Lake Nacimiento to the SLO WTP, with water ultimately delivered to the SLO WTP.
The two options differ in that the treated water option would utilize a treatment plant just
south of Lake Nacimiento on Camp Roberts property whereas the raw water option
would deliver raw water to the participating agencies for treatment or injection in the
Salinas River. A subalternative to the raw water option included a treated water line in
which raw water would be delivered to the California Men's Colony (CMC) Water
Treatment Plant for treatment, and treated water would be delivered to agencies in and
around the San Luis Obispo airport area. Based on the analysis in the EIR, current
design of the NWP includes the raw water option with the possibility of adding the
treated water subalternative, from the CMC WTP to the SLO airport area, in the future.
The current NWP includes an intake and pump station at Lake Nacimiento; a corridor of
approximately 45 miles of water transmission pipeline ranging in diameter from 20-36
inches, traversing Camp Roberts, along Highway 101 through Paso Robles, Templeton,
Atascadero, through the Cuesta tunnel, and terminating at the San Luis Obispo water
treatment plant. This project also includes two storage tanks and three pump stations at
various locations along the alignment. The proposed raw water alternative alignment
can be found in Figure 2-1.
Nacimiento Water Study/Chapter 2
Project No. 0232.506.040
2-1
January 2006
Draft
Naclmi@!!!
~EyEND
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Figure 2-1. Nacimiento Water Project Raw Water Alignment
Nacimiento Water Study/Chapter 2
Project No, 0232,506.040
2-2
Nacimiento Water Project
Raw Water Alignment
Treated Water Subalternative
Alignment to SLO Airport Area
January 2006
Draft
Participating agencies interested in receiving water from the Nacimiento pipeline must
sign a contract with the San Luis Obispo County. The Delivery Entitlement Contract
outlines the delivery amount, schedule, and cost the agency will incur upon participating
in the project. As indicated earlier, all future participants must take a minimum delivery
of 500 AFY to have a seat on the NWP Commission. A copy of the contract is included
in Appendix A.
2-2 PIPELINE DESIGN
While completion of the Nacimiento Water Project is pending, and design is not
expected to be completed until 2007, the following design information was compiled from
the EIR and various sources at the San Luis Obispo County Public Works Department.
As stated earlier, four agencies have signed contracts with San Luis Obispo County to
participate in the Nacimiento pipeline project. According to the contract, each agency
will be receiving water at a constant rate for 11 months (24 hours per day, 7 days per
week) out of the year. One month will be retained by the county for maintenance of the
pipeline. To date, the Baseline Project annual deliveries and rates of flow can be seen
in Figure 2-1. Any agency interested in receiving water from the NWP will be pulling
from the "reserve capacity". According to the Baseline Project, each participating
agency was given a peaking factor during design of the raw water transmission facility.
At this time, any future participants will not be allowed a peaking factor and will be
delivered at a constant rate, year-round, for 11 months out of the year. Alternatively, a
future participant may request additional peaking, the cost of which would be fully funded
by the participating agency.
The Entitlement Contracts signed by the NWP participants state that delivery of raw
water will be at an HGL of at least 460 feet at the turnouts. An engineering report
prepared by Boyle Engineering Corporation, dated 4/11/02, included a hydraulic profile
of the pipeline according to the delivery entitlements at that time. Because the Boyle
report was prepared prior to the Entitlement Contracts, the hydraulic profile did not
represent the 460 foot HGL requirement. More recent evaluations of the hydraulic grade
line suggest the elevation may be lowered to provide between 250 to 460 feet at each
turnout prior to the Cuesta Tunnel. Lowering the HGL could result in a significant cost
savings due to the reduction of pipe thickness, the possible elimination of a pump
station, and lower life cycle (energy) costs. However, the final system hydraulics should
consider the final system requirements for delivery of raw water to current and future
Project Participants. Current design of the NWP, and all assumptions in this report, .
utilize the higher HGL which results in a final HGL around 1295 feet at the City of San
Luis Obispo WTP. Further details and consideration of HGL requirements to serve
South County are discussed in Chapter 3.
Nacimiento Water Study/Chapter 2
Project No. 0232.506.040
2-3
January 2006
Draft
CHAPTER 3
PROPOSED ALTERNATIVES
As described in Chapter 1, the Nacimiento pipeline extension alternative (to serve South
County agencies) would convey raw water from the existing NWP termination location,
the San Luis Obispo Water Treatment Plant, to the Lopez Lake Water Treatment Plant
terminal reservoir for treatment and distribution to the South County Stakeholders. This
chapter presents an evaluation of the possible alignment alternatives for the conveyance
of the water from the San Luis Obispo WTP to the Lopez Treatment Plant. The
proposed alignment alternatives are shown in Figure 3-1 and described below:
. Alternative A: From SLO WTP to Lopez WTP along Orcutt Road, parallel to the
existing State Water pipeline.
. Alternative B: From SLO WTP to Lopez WTP, utilizing the planned Plains Oilfield
pipeline from Price Canyon, along Hwy 227.
In the December 2003 Final EIR for the NWP, a subalternative to the raw water option
was evaluated which would be used to convey treated Nacimiento water frorn the CMC
WTP to agencies in and around the SLO airport area. This alignment, depicted in Figure
2-1, traverses private land around Madonna Mountain, crosses Highway 101 and
continues in publiC right of way down Tank Farm Road to Broad Street/Highway 227.
Because this 9.5 miles of pipeline has already been evaluated and approved in the Final
NWP EIR, both alignment alternatives presented in this report utilize this initial pipeline
alignment to take advantage of environrnental and preliminary design work already
completed.
3-1 ALTERNATIVE A: ORCUTT ROAD
Frorn the SLO airport area, Alignment A would follow Highway 227 and venture east,
over to Orcutt Road, via Biddle Ranch Road. The proposed pipeline would then parallel
the state water pipeline along Orcutt Road to the Lopez Water Treatrnent Plant. The
total length of this pipeline is approximately 18 miles. Because the initial 9.5 rniles of this
alignment have already been evaluated as part of the NWP Final EIR, the remaining 8
miles will need to be covered in a supplemental EIR. The timefrarne and costs
associated with a supplemental EIR will be discussed later in Chapters 6 and 7.
3-1.1 Hydraulic Evaluation
The extension of the proposed Nacimiento pipeline to the Lopez terminal reservoir will
need to consider the hydraulic conditions of the existing NWP design at the City of SLO
WTP. As discussed in Chapter 2, the NWP will include three pump stations to boost
water along the pipeline, to meet hydraulic grade requirements to current project
participants. A complete hydraulic evaluation of the pipelines currently under design, in
conjunction with any future proposed pipelines, will be required to determine the need for
possible additional pump stations and/or increase in pipeline diameter.
The existing hydraulic grade line of the NWP is 1295 feet at the San Luis Obispo Water
Treatment Plant. Recent discussions with County staff indicate that further evaluation of
the NWP HGL might result in lowering the elevation to reduce pipe thickness (pressure
class) upstream, saving approximately $8-9 million. However, because an alternative
Nacimiento Water Study/Chapter 3
Project No. 0232.506.040
3-1
January 2006
Draft
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HGL was not available at the time of this report, an HGL of 1295 feet will be assumed at
the SLO WTP.
The ground elevations at the SLO water treatment plant, according to the SLO United
States Geological Survey (USGS) topographical map, range from 380 to 400 feet. For
hydraulic calculations in this report, an elevation of 400 feet will be assumed for the SLO
WTP. The SLO USGS topographical map also shows the Lopez Lake water surface
elevation at 400 feet with the Lopez WTP terminal reservoir at 325 feet. Initial
calculations of the hydraulic grade line corresponding to these surface elevations show
the need for 1260 feet at the SLO WTP (using 2300 AFY as the total desired water
quantity). The detemnination of the required hydraulic grade of Alternative A was
prepared using a Hazen-Williams Equation. The roughness coefficient used in the
equation was 100, the design value typically associated with steel pipe that has been in
service for some time, thus experiencing some increase in pipe wall friction. The Hazen-
Williams roughness coefficient for steei pipe can range from 80-150, which results in a
range of required hydraulic grade of 1692 feet-792 feet at the SLO WTP. Increasing the
pipeline diameter to 16 inches drops the design HGL to 575 feet at the SLO WTP (see
Figure 3-2).
Table 3.1 Alternative A. HGL Calculation
Range Design
Pipeline Length (ft) 92400 (17.5 miles)
Hazen-Williams Roughness Coefficient
Raw Water Delivery Flow Rate"( ft3/sec)
Diameter (inch)
80 -150
100
3.47 (1556 gpm)
12
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373
383
HGL SLO WTP (ft)
Pressure @ SLO WTP (psi)
HGL Lopez Reservoir (ft)
12 - 16
1692-792
560-170
Pressure @ Lopez Reservoir Atmospheric
"Delivery flow rate based on constant rate 24 hours per day, 11 months out of the year, according to NWP
Entitlement Contract.
In the event the design of the NWP is altered such that the HGL supplied to the SLO
WTP is lower than the value calculated for Alternative A (1260 feet), the design of the
proposed Nacimiento pipeline extension will need to include one of the following
alterations: increasing the pipeline diameter to 16-inches, or adding a pump station at
the SLO WTP or at some point further downstream. As shown in Figure 3-2, increasing
the pipeline diameter to 16-inches would lower the required HGL to 575 feet. However,
preliminary discussions with SLO County indicate that the design team is considering a
reduction in the HGL to below 460 feet at the SLO WTP. Therefore, increasing the
Nacimiento Water Study/Chapter 3
Project No. 0232.506.040
3-3
January 2006
Draft
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pipeline extension diameter to 16-inches may not lower the required HGL enough to
match the proposed supply at SLO, depending on the final design decision.
As discussed in the introduction, the Nacimiento Commission recently voted to reduce
the pipeline diameter of the Nacimiento Water Project. The result of this design
alteration is that only 2,100 AFY will be available as reserve water for any new
participants, such as the South County agencies. Reducing the flow from the desired
2300 AFY to 2100 AFY results in a reduced hydraulic grade requirement from 1260 feet
to 1112 feet. While the actual hvdraulic qrade that will be supplied to the SLO WTP has
still not been determined, if it remains at 1295 feet, the 12-inch Nacimiento extension
should have sufficient head so that a booster station would not be necessarv. As stated
above, if the hydraulic grade supplied by the NWP is less than the required amount (now
1112 feet as opposed to 1260 feet), a booster station would be required. A cost
evaluation of Alternative A is presented in Chapter 6. The cost evaluation assumes that
a booster station will not be necessary for Alternative A.
3-2 ALTERNATIVE B: PLAINS PIPELINE
As depicted in Figure 3-1, the Alternative B alignment would extend the Nacimiento
pipeline from the SLO water treatment plant, along the route proposed in the December
2003 Nacimiento Water Project EIR to the SLO airport area. From the SLO airport area,
this alignment follows Highway 227 to Price Canyon Road. Here, Alternative B would tie
into a planned water transmission main constructed by the Plains Oilfield project. The
Plains pipeline is proposed to follow county right of way along Highway 227 to Corbett
Canyon Road, Tiffany Ranch Road, Orcutt Road and finally to the Lopez forebay.
3-2.1 Plains Oilfield Pipeline Proiect
The process of oil production at Price Canyon Oil Field involves the treatment of a
significant amount of water that is produced with the crude oil. This water, known as
produced water, must be treated and disposed of. The oil field operator, Plains
Exploration and Production Company, is proposing a project which will involve the
treatment of produced water from the oil field for disposal into the Arroyo Grande Creek
at the base of the Lopez dam to augment release of water from the Lopez Reservoir for
environmental habitat maintenance. The water treated from the oil field would be
monitored and must conform to the RWQCB's water quality objectives for discharge to
cold water habitat. It is anticipated that the water will be treated to agricultural standards
and not to potable levels due to the legal liability associated with human consumption of
the water.
Delivery of the treated, produced water would involve the construction of a 12-inch
transmission line from the PXP field to Lopez Lake which would terminate at the base of
the Lopez Dam at approximately 420 feet in elevation. It is anticipated that the quantity
of produced water will be 2 acre-feet (1.0 cfs) per day at a steady year-round rate for at
least 10 years. Because the source of the water is tied to the production of the oil field,
the exact quantity of water produced by the field might fluctuate or may be delivered for
a longer period of time. Likewise, if oil production is reduced then the water supply will
also be reduced. Therefore, the duration of use of this pipeline for conveyance of oil
field production water is uncertain.
It is anticipated that Plains would pay for all costs associated with the project but would
receive payment for the water delivered to the Arroyo Grande Creek on an acre-foot
Nacimiento Water Study/Chapter 3
Project No. 0232.506.040
3-5
January 2006
Draft
basis. The preliminary cost of water according to the County of San Luis Obispo is
estimated to be $500/AF for 730 AFY delivered to Lopez. There may be an additional
cost of $350/AF to cover costs associated with treating and transporting the exchanged
Lopez water. At the completion of the Plains Oil Filed project, when oil is no longer
being extracted from the oil field and produced water is not available, the pipeline
infrastructure would become county property and might be available for other uses, such
as the Nacimiento pipeline extension.
Currently, design of the PXP water transmission main is being re-evaluated to possibly
lower the overall expense of the project. Initial planning included a pipeline alignment
which followed county right-of-way from Price Canyon to the Lopez terminal reservoir,
however recent evaluations are being prepared for a cross country alignment. Going
cross country would entail purchasing easement entitlements for the 12 inch
transmission main, however this cost might be offset if the reduction in pipeline length is
significant. An EIR for the PXP project has not been started to date, however it is
expected that the cost of this environmental work will be covered by PXP, with the
County serving as the lead agency for the project.
3-2.2 Hvdraulic Evaluation
Because the general characteristics of the two pipeline alignments (A and B) are similar,
the HGL required for Alternative B will be similar to that for Alternative A. However,
because the PXP pipeline has not been designed, an accurate hydraulic evaluation of
this alignment is not possible. It is assumed that the PXP pipeline will be 12-inch
diameter, therefore the hydraulic characteristics of Alignment B will only vary based on
the difference in length from Alignment A. The total length used in HGL calculations is
presented in Table 3-2.
Table 3.2 Total Pipeline Length
Alignment A
Alignment B
92400 feet (17.5 miles)
95409 feet (18.07 miles)
Based on the length of Alternative B, the HGL elevation required at the SLO WTP will be
1289 feet. Because the HGL being provided to the SLO WTP from the baseline NWP is
1295, a pump station will most likely be required at some point downstream of the SLO
WTP to convey water to the Lopez WTP utilizing the Alternative B alignment.
Nacimiento Water Study/Chapter 3
Project No. 0232.506.040
3-6
January 2006
Draft
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CHAPTER 4
TREATMENT & DISTRIBUTION
This chapter gives a brief discussion on the capacity of the Lopez water treatment plant
(LWTP) as it relates to the proposed Nacimiento extension project In addition, the
distribution system that conveys treated Lopez water to South County agencies will be
analyzed with the desired capacity (2300 AFY) to determine the feasibility of delivering
additional water.
4-1 LOPEZ WATER TREATMENT PLANT
The Lopez Lake water treatment plant is a conventional treatment plant that was
constructed in 1969. The plant currently serves a population of approximately 45,000
residences and operates at an average flow rate of 3.0 MGD. In April 2004, Black &
Veatch Engineering prepared a Basis of Design Report (BDR) for an upgrade to the
Lopez WTP. The planned upgrade is designed for improvements to the treatment
process to ensure a reliable supply in response to changing regulations while meeting
the San Luis Obispo County Flood Control and Water Conservation District's (District)
baseline needs to participating agencies.
The proposed plant upgrade will include the addition of chemical pretreatment, a new
membrane filtration system, and disinfection to produce water that meets or exceeds
current state and national standards. A dissolved air flotation (DAF) unit will be
constructed for pretreatment while an encased pressurized membrane system will be
used for primary filtration. In addition to the process upgrade, the new layout includes
necessary facilities for a complete operational facility including chemical storage and
pump facilities along with a light maintenance facility.
While the planned upgrade will ensure that product water meets the appropriate
standards, an upgrade in hydraulic capacity is not anticipated. Currently the maximum
capacity of the plant is 6.7 MGD. Major infrastructure for the proposed upgrade is being
designed for 6.7 MGD, however the new membrane filters will be installed with an
operating capacity of 6.0 MGD. Historically, the treatment plant operates at an average
of 3.0 MGD, 1 MGD less than the contractual requirement from Lopez Reservoir (see
Section 4-2 for discussion on entitlements). Therefore, the plant is being installed with
approximately 2 - 3 MGD available capacity according to historical operation and
entitlement contracts with District water customers. In the past, this available capacity
was used to treat and supply surplus water to Zone 3 customers. A discussion of
surplus water is provided in the following section.
4-2 ZONE 3 ENTITLEMENTS
The Lopez WTP and corresponding Zone 3 (Lopez) Distribution system are owned and
operated by the San Luis Obispo County Flood Control and Water Conservation District
(District). The treatment and distribution of water from the Lopez Reservoir is
contractually carried out according to entitlement contracts between the District and
participating agencies. According to the entitlement contracts, water will be delivered on
a continuous (7 days per week, 24 hours per day) basis, annually. Delivery of water
shall not exceed a combined instantaneous rate of flow exceeding 3.30 cubic feet per
second.
Nacimiento Water Study/Chapter 4
Project No. 0232.506.040
4-1
January 2006
Draft
In 1997, the California State Water Project (SWP) was completed so as to convey water
from northern California to individual water agencies throughout the state. The SWP
utilizes the Lopez Distribution System for conveyance of water to agencies located in the
Five-Cities Area. The SWP transmission main follows Orcutt Road from the City of San
Luis Obispo, terminating at the Lopez Water Treatment Plant. The SWP turnout is
located directly adjacent to the WTP, in the Lopez Drive right-of-way, connecting the
SWP transmission main with the Lopez Distribution System.
The combination of SWP and Lopez water entitlements are shown below:
Table 4-1. Lopez WTP and SWP Water Supply Entitlements by Water Contractor
Lopez WTP Water Supply State Water Project
Annual Entitlement Annual Entitlement
Water Contractor AFY MGD AFY MGD
Arroyo Grande 2290 2.04 0 0.00
Oceano CSD 303 0.27 750 0.67
Grover Beach 800 0.71 0 0.00
Pismo Beach 896 0.80 1240 1.11
Avila Valley MWC 12 0.01 20 0.02
San Miguelito MWC 0 0.00 275 0.25
Avila Beach CSD 68 0.06 100 0.09
Port San Luis 100 0.09 0 0.00
Other CSA 12 Customers 61 0.05 7 0.01
Total 4530 4.04 2392 2.14
4-2.1 Surplus Water
As shown in Table 4-1, the entitlement contracts add up to slightly over 4 MGD for water
supplied by the Lopez Reservoir. The entitlement contracts also outline the availability
and distribution requirements for surplus water. Surplus water is defined as the portion
of the Safe Yield for water remaining in the Lopez reservoir after distributions of water
during the previous water year. Therefore, surplus water is calculated by subtracting the
water not used during the previous year, from the Safe Yield of the reservoir.
Prior to the year 2000, surplus water was typically available to District customers
however, since that time, releases from the Lopez Reservoir to the downstream Arroyo
Grande Creek have offset the previous surplus water availability. Unless changes in the
quantity of water released to the Arroyo Grande Creek are made, it is not anticipated
that surplus water will be available in the future. Treatment and distribution of surplus
water is important to the availability of hydraulic capacity at both the treatment plant and
Nacimiento Water Study/Chapter 4
Project No. 0232.506.040
4-2
January 2006
Draft
the existing Lopez distribution system. Because the design of the treatment plant and
distribution system were based on the assumption that surplus water would be available,
both facilities are currently underutilized due to the elimination of available surplus water.
In turn, the lack of surplus water leaves room for treatment and distribution of additional
water supplies, such as water from the Nacimiento project.
4-3 LOPEZ DISTRIBUTION SYSTEM
The Lopez distribution system is used to convey water to the water contractors in the
five cities and Avila area. The distribution system comprises various reaches of pipeline
including a distribution trunk line that consists of approximately 68,200 feet (13 miles) of
transmission pipeline with diameter sizes ranging between 14-inch to 33-inch, and
approximately 16,900 feet (3 miles) of 8-inch distribution main. The distribution system
was constructed as four main units that were linked together to form the current system.
There are three laterals designated as the Oceano Lateral, Ontario Road Lateral, and
the San Luis Bay Drive Lateral. In addition to the conveyance of treated water from
Lopez Lake, the Lopez distribution system conveys water from the State Water Project
(SWP) with a supply turnout from the Central Coast Aqueduct Extension. The Lopez
distribution system provides water service to eight water contractors. The combined
Lopez Lake and SWP water deliveries currently range from 6,000 to 7,000 AFY. Table
4-1 outlines the current water supply entitlements.
In May 1999, a report was prepared by Bookman-Edmonston Engineering, Inc. to
evaluate the Lopez distribution system, as it was noticed that there was a significant
decrease in flow capacity throughout the system. To determine the actual flow capacity
of the system, the District conducted flow tests in May 1983 and again in July 1998.
While the results of the flow tests suggest that a decrease in hydraulic capacity has
occurred, the reason for the capacity reduction could not be determined. The effects of
the lowered flow capacity are that some of the water customers are currently unable to
receive their full entitlements during peak demand periods.
The findings of the Bookman-Edmonston Engineering, Inc. 1999 report state that it is
highly probable that the condition of the interior walls of the pipelines have deteriorated
resulting in a higher pipe friction head loss and lower system pressure. In response to
these findings, the County evaluated the interior walls of the pipelines to determine the
extent of the damage. In the County's investigation, it was found that the interior walls of
the pipeline were not deteriorating, but that a sticky aluminum silicate deposit is
increasing the roughness coefficient on the inside of the pipeline, causing increased
head loss and thus reduction in hydraulic carrying capacity. The County has since
employed a maintenance program which includes pigging of the main distribution lines to
remove some of the deposit from the interior lining of the pipes.
While the design of the Lopez system was expected to meet 12 MGD hydraulic capacity
when first constructed, the District has since established target delivery flow rates to
reflect a more probable hydraulic capacity. According to the Bookman-Edmonston
Engineering report, the target delivery flow rate for the Lopez system is 9.0 MGD (6.0
MGD for Lopez WTP and 3.0 MGD for the SWP). Based on the 1998 flow test results,
the Lopez system was able to achieve just under the target delivery rates. Findings from
the B-E 1999 report indicate that, while the system, in its current condition, is able to
deliver the target delivery rate, these flow conditions create system pressures that are
lower than what is needed to enable gravity flow to all contracted agencies. Therefore,
Nacimiento Water Study/Chapter 4 January 2006
Project No. 0232.506.040 4-3 Draft
customers who do not presently employ booster pumps at their respective turnouts
would need to install one to maintain adequate pressure for their individual distribution
systems.
In order to determine the effects of increasing the flow through the existing Lopez
distribution system by 2 MGD, a brief hydraulic calculation of the existing hydraulic grade
of the system was performed. Figure 4-1 shows the existing hydraulic grade of the
Lopez line based on actual flows and roughness coefficients determined in the 1998 flow
test. Also shown is the proposed hydraulic grade with an additional 2 MGD (2300 AFY),
inserted into the system at the Lopez WTP where approximately 750 AFY (400 gpm) is
discharged through the Oceano, Brisco, and Grover turnouts, respectively. Based on
the hydraulic calculations (see Appendix C for calculations), the difference in hydraulic
grade at the Grover turnout (the point where all supplemental water would be extracted
from the system) is 26 feet (294 ft -268 ft). The resulting pressure difference is
approximately 12 psi.
While the hydraulic grade and pressure differential between the proposed and existing
flow rates do not vary significantly, it should be noted that downstream customers have
already experienced hydraulic capacity limitations due to pipe wall deposits. Thus, for
the purposes of this study, a low-head pumping system is recommended as part of this
project to ensure adequate delivery rates and pressures to all customers.
Nacimiento Water Study/Chapter 4
Project No. 0232.506.040
4-4
January 2006
Draft
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CHAPTER 5
REGULATORY CONSIDERATIONS
To extend the proposed Nacimiento pipeline from the San Luis Obispo WTP to Lopez
would involve the coordination of several regulatory bodies, including the San Luis
Obispo County and the California Department of Health Services. The following chapter
includes a brief discussion on the possible regulatory issues involved with the pipeline
extension.
5-1 NWP CONTRACT
Participants of the NWP must sign the Nacimiento Project Water Delivery Entitlement
Contract (Contract) between the San Luis Obispo County Flood Control and Water
Conservation District (District) for delivery of water from the pipeline (see Appendix A).
Upon signing the contract, the participant agrees to any and all terms stated in the
Contract. Any participant who wishes to enter into contract with the District for the NWP
on any day following the day after the last day of the Design Phase shall be considered
a "new participant" and will be subject to the terms and conditions specified for new
participants in the Contract. The Cities of Arroyo Grande, Grover Beach, and the Ocean
CSD will be considered new participants. A brief summary of the Contract contents is as
follows:
5-1.1 Rescission
As stated in the Contract, participants of the NWP are given the opportunity to "opt-out" if
the total construction cost of the project is in excess of $150,000,000. Article 2 of the
contract states that the District must provide a summary report of the Construction Bids
no less than two days after bids are received. The participant then has thirty (30) days
following submittal of the construction bid summary report to "opt-out" if the report
summary states that construction costs will be greater than $150,000,000. The 30th
calendar day following submittal of the bid summary is known as the "opt-out date". All
Initial Participants and New Participants will be obligated to share the costs of the design
phase of the NWP up to the opt-out date.
5-1.2 Ownership. Operation. and Maintenance
As stated in Article 4 of the Contract, all facilities designed as part of the NWP, including
the pumps, machinery, conduits, apparatus, fixtures, fittings, and equipment of any kind
will be owned by the District and will be held and operated and maintained by the
District.
5-1.3 Deliverv Entitlement
Article 6 of the Contract defines the delivery entitlements to participants of the NWP.
The amount, time, and rate of delivery of water will be determined on or before October
1 of each calendar year. Upon receipt of the participant's request, the District will
consider the requested schedule and match as closely as possible the requests in a
manner that is consistent with the efficient and economical operation of the Nacimiento
Facilities. Delivery of water will be at a constant rate, 24 hours per day, 7 days per
week, for 11 months out of the year, up to their maximum allocation. One month out of
the year will be retained by the District for maintenance of the pipeline facilities.
Nacimiento Water Study/Chapter 5
Project No. 0232.506.040
5-1
January 2006
Draft
5-1.4 Nacimiento Proiect Costs
Upon entering the Contract with the District, the participant agrees to pay their share of
the NWP as outlined in Article 16. The costs associated with the NWP include the
following:
. Nacimiento Project Construction Costs
. Additional Capital Project Costs
. Capital Projects Installment Debt Service
. Master Water Contract Costs incurred following the first date upon which an
allocation of ad volorem property taxes under Article 17(8)(5)
. Capital Reserve Costs
. Operation and Maintenance Costs
. Variable Energy Costs
. Reserved Capacity Costs
. Environmental mitigation costs
. Other annual or incidental costs associated with the Nacimiento Facilities.
5-1.5 Use of Reserve Water
Article 29 of the Contract states that the use of reserve water will be allocated according
to the following priorities:
. Alleviation of a permanent water shortage
. Alleviation of any temporary water shortage
. Satisfaction of the District's obligation to Reserve Water Customers
. Adding supplemental delivery entitlements for the initial participants or new
participants
In the event an initial or new participant is interested in obtaining water allocations from
the reserve capacity, the District may amend the Contract in order to do so. In this case,
the initial participant requesting the reserve water must pay a fee to the District (the
"Purchase of Reserve Water Delivery Entitlement and Reserved Capacity Fee")
amounting to a sum which will reasonably compensate the District for the Participant's
Unit Percentage share of the total NWP construction costs plus the cost of any additional
capital projects which are necessary or convenient for the conveyance and/or delivery of
the delivery entitlement. The District shall apply the Purchase of Reserve Water
Delivery Entitlement and Reserve Capacity Fee as a credit to the obligations of the initial
participants based on their respective unit percentage share.
5.2 SUPPLEMENTAL EIR
An Environmental Impact Report (EIR) has been prepared for the NWP by Marine
Research Specialists (MRS) and was finaled in December 2003. The alignment of the
NWP pipeline reviewed by MRS can be found in Figure 2-1. This alignment begins at
the proposed lake Nacimiento intake and extends south through San Luis Obispo
County to the San Luis Obispo water treatment plant (SLO WTP). An additional
alignment was evaluated from the SLO WTP to an area near the San Luis Obispo
Airport along Highway 227, however current design of the project does not include this
portion of pipeline.
Nacimiento Water Study/Chapter 5
Project No. 0232.506.040
5-2
January 2006
Draft
Because the NWP EIR has been completed and finaled for the NWP alignment, any
extension of the NWP pipeline would involve a supplemental EIR for the proposed
pipeline alignment to south San Luis Obispo County.
As described in Chapter 3, the Alternative B alignment would involve the utilization of the
PXP pipeline, which spans a portion of the distance from SLO to Lopez. Based on the
projected timing of the projects, the PXP pipeline would already be installed, with EIR
documentation completed, by the time the NWP extension would be utilized. Therefore,
the required environmental review for Alternative B would be considerably shorter than
that for Alternative A (Figure 5-1).
Table 5-1. Supplemental EIR Length
Alignment A
Alignment B
8.3 Miles
3.1 Miles
5-3 ZONE 3 ENTITLEMENT CONTRACT
As discussed in Chapter 4, the Stakeholders are currently under contract, as they are
recipients of water from the Lopez Reservoir and Lopez water distribution system. A
copy of the Zone 3 Entitlement Contract is included as Appendix B of this report. Being
that the delivery of water through the existing Lopez (Zone 3) Distribution System is
established according to the contents of the Zone 3 Entitlement Contract, any alteration
of treatment or delivery of water through this system would require a change in the
current entitlement contracts used today. Changing these contracts would require
agreement from all other Zone 3 customers (shown in Table 4-2).
Nacimiento Water Study/Chapter 5
Project No. 0232.506.040
5-3
January 2006
Draft
CHAPTER 6
LIFE CYCLE COST ANALYSIS
This chapter outlines the estimated costs associated with the various aspects of the
Nacimiento Pipeline Extension. Probable costs associated with the pipeline extension
will include: baseline costs for the NWP, capital and O&M cost of the pipeline extension,
Lopez Water Treatment Plant and distribution system upgrades, and permit fees.
6-1 NACIMIENTO WATER PROJECT
The Nacimiento Water Project (NWP) design is in process, with planning and preliminary
design complete. Cost estimates for the preliminary design have been calculated and
initial participants have agreed to specific costs, as stated in individual contracts. The
costs associated with the NWP are discussed in section 5-1.4. Based on the cost
estimates prepared to date, the City of San Luis Obispo will pay a total of $1,702 per
year per acre-foot of water. It should be anticipated that any extension further south of
the City of San Luis will incur $1,702 per acre-foot of water as a baseline cost for the
NWP. This cost can be broken down into $1,391 for the 30-year payback on the capital
construction cost of the NWP and $398 for annual operations and maintenance of the
pipeline and accompanying infrastructure.
In addition to the annual fee, new participants must contribute a one-time, lump-sum
design fee of $1,962 per acre-foot to account for engineering and design of the
Nacimiento Water Project to date. An additional cost of $87 per acre-foot to compensate
for costs incurred previously by the participating agencies for preliminary evaluation, an
engineering feasibility report, and an EIR could potentially be placed on new
participants, however the Nacimiento Water Project Commission must vote on enacting
this additional fee, therefore it is not a guaranteed cost at this time.
6.2 PIPELINE EXTENSION
Extension of the proposed NWP would most likely include construction of a welded steel
pipeline and, depending on the diameter and alignment, an intermediate pump station.
The following is a breakdown of the probable costs associated with each alignment
alternative.
6-2.1 Alternative A
As discussed in Chapter 3 the use of a 12-inch diameter pipeline for the pipeline
extension would require a hydraulic grade of approximately 1260 feet at the SLO WTP,
whereas a 16-inch pipeline would need 575 feet. The actual hydraulic grade being
supplied to the SLO WTP from the NWP has not yet been determined, however
preliminary design show the HGL at 1295 feet. Because it should be expected that the
head loss in the 12-inch pipe will increase over time, a booster pump may be needed to
maintain adequate pressure as the pipeline ages. For comparison purposes, the costs
associated with the construction of both a 12-inch diameter pipe with a booster station,
and a 16-inch diameter pipe without booster station are presented in Table 6-1.
Nacimiento Water Study/Chapter 6
Project No. 0232.506.040
6-1
January 2006
Draft
Table 6-1. Alternative A Capital Cost Comparison
Alignment A Options Capital Cost'
12" Transmission Main' $18,730,000
16" Transmission Main $23,100,000
.,
Capital cost calculated according to urnt cost of pipe, $200/lf for 12-lnch and $250/lf for 16-lnch.
While a 16-inch pipeline would accommodate a lower hydraulic head requirement, the
cost of the larger pipeline exceeds the life cycle cost of installing a 12-inch line with a
booster pump. Therefore, it is recommended that a 12-inch pipeline with a booster
pump be installed for Alternative A of the Nacimiento pipeline extension. The cost
breakdown for Alternative A can be found in Table 6-2.
6-2.2 Alternative B
Because it is assumed that the PXP pipeline will be a 12-inch pipeline, the Alternative B
alignment will be analyzed according to the costs associated with a 12-inch line.
Because the Alternative B alignment includes the utilization of the PXP water pipeline,
this length of pipe can be removed from the construction cost estimate. It can be
assumed that the portion of the PXP pipe being used for the Nacimiento extension will
have an operations and maintenance cost associated with it, however actual
construction costs should be minimal. Construction costs are limited to the cost of tie-in
to the newer pipeline and any additional modifications. Table 6-3 outlines the costs
associated with the Alternative B option.
As with Alternative A, the required hydraulic grade for the 12-inch diameter pipe is very
close to the proposed HGL of 1295 feet, therefore it is recommended that a booster
pump be included in the event the head loss increases over time. Adding a booster
pump to the design of the pipeline extension will also verify that, in the event the final
design of the NWP includes a hydraulic grade of less than 460 feet at the SLO WTP, a
sufficient amount of head will be available to convey water from SLO to Lopez.
6-2.3 Conclusions
According to the cost breakdown for each alternative, Alternative B is the most cost
effective option for the Nacimiento pipeline extension. Utilization of the PXP pipeline will
contribute to a considerable cost savings for the project since construction of
approximately 76,000 feet of the Nacimiento extension alignment will have already been
completed. However, since the schedule and eventual outcome of the PXP project is
still uncertain, utilization of Alternative B is uncertain.
Table 6-2. Alternative Cost Comparison'
Alignment A Options Life Cycle Cost
Alternative A $1998/Acre-Foot
Alternative B $1357/Acre-Foot
Life cycle cost Includes capital and operallonal cost associated With pipeline extension only, does not
include cost associated with NWP, treatment, or distribution.
Nacimiento Water Study/Chapter 6
Project No. 0232.506.040
6-2
January 2006
Draft
QTY
Table 6-3. Alternative A Life Cycle Cost
IUNIT IDESCRIPTION
UNIT PRICE !TOTAL COST
Construction C~tal Costs
I-
1 LS
2,300 AF
2,300 AF
92.406' LF
2,300 AF
2,300 AF
1 LS
Supplemental EIR .__..~__._.,~ $
NWP - Design Fee _ __ _ _ ___ $
NWP - Possible Reimbursement Fee _ ,. $
12" CML&C 0.25" Thick Steel Pipe $
..---.!:.~ez Existing Water SystemQ~!?t Seryice ..$
Lopez Upgrade Debt Service ..-_......_ $
Booster Station .. ,. $
Construction Subtotal
100,000.00 $ 100,000.00
1,962.00 $ 4,512,600.00
87.00 $ 200,100.00
200.00 "$"'" .18,480,000.00
278.11 '$'~._ 639,664.37
404.95"$ 931.388.15
250,000.00 '$'" 250,000.00
I $ 25,113,752.52
F:'.
____,.~,f9~struc.!L~~_l!_~J_~-~----
20% Continnencv i
Total Construction Cost
$
$
$
25,113.,~
5,022,750.50
30,136,503.02
Annual <5"Oerations and Maintenance Costs
2,30~ NWP, O&M ' $
-------..1J!-S Pipeline Extension O&M'-'-"--- ----.. ! $
..mo. n___n 2,306 fAF------. Lanez Distributiori-S~leiTl O&"M 1 $
O&M Subtotal
1,70200 I $
1.Q.'!Q,OOO QQ I i
453.90 I $
1$
.3.91.:!,~
1...0Q.O"OOOcOo.
1 ,043,958.68
5,958,558.68
L______
O&M Subtotal I
Total O&M Cost
1 $ ... 5,958,558.68
I $ 5,958,558.68
20-Year Life O;-cle Cost
_~._. 1 IAF ICapital Cost'
1 ILS IAnnualO&M
_ _.__~. I $ 30,136,503.02 $
I $ 5,958,558.68 $
Project Life Cycle Cost $
2,844,584.52
5,958,558.68
8,803,143.20
TOTAL COST PER ACRE.FOOTI $
3,827.45
Table 6-4. Alternative B Life CYCle Cost
QTY 'UNIT IDESCRIPTION 'UNIT PRICE ITOTAL COST
Construction C~tal Costs
1 LS Sunnlemental EIR $ 75,000.00 $ 75,000.00
2,300 AF NWP - Desion Fee $ 1,962.00 $ 4,512,600.00
2,300 AF NWP - Possible Reimbursement Fee $ 87.00 $ 200,100.00
16,368 LF 12" CML&C 0.25- Thick Steel Pipe $ 200.00 $ 3,273,600.00
2,300 AF LODez Existino Water Svstem Debt Service $ 278.11 $ 639,664.37
2,300 AF Lopez Upgrade Debt Service $ 404.95 $ 931,388.15
1 LS Booster Station LODez Dist. Svstem $ 250,000.00 $ 250,000.00
Construction Subtotal $ 9,882,352.52
r Construction Subtotal I $ 9,882,352.52
20% Continnencv I $ 1,976,470.50
Total Construction Cost $ 11,858,823.02
Annual ~erations and Maintenance Costs
2,300 AF NWP . O&M $ 1,702.00 $ 3,914,600.00
1 LS Pipeline Extension O&M1 $ 855,335.00 $ 855,335.00
2,300 AF Lonez Distribution ~tem O&M $ 453.90 $ 1,043,958.68
O&M Subtotal $ 5,813,893.68
O&M Subtotal I 1$ 5,813.893.68
Total O&M Cost 1$ 5,813,893.68
20-Year Life O;-cle Cost
11AF ICapital Cost2 I $11,858,823.02 $ 1,119,354.31
1 ILS Annual O&M I $ 5,813,893.68 $ 5,813,893.68
Project Life Cycle Cost $ 6,933,247.98
TOTAL COST PER ACRE.FOOTI $ 3,014.46
15% of pipeline extension construction cost
2(AlP.7%,20)
Nacimiento Water Study/Chapter 6
Project No. 0232.506.040
6.3
January 2006
Draft
6-3 TREATMENT & DISTRIBUTION
Because the proposed Nacimiento pipeline extension includes the use of existing
facilities, such as the Lopez Water Treatment Plant and the Lopez (Zone 3) Distribution
System, costs for utilizing these facilities must be included in the overall life cycle cost
analysis for the project. According to information gathered from the District, current
costs for utilization of the Lopez WTP and distribution system are summarized in Table
6-4.
Table 6-5. 2005-2006 Zone 3 Annual Wheeling Costs
Arroyo Grande Grover Beach Oceano
Entitlement (AFY) 1 2290 800 303
Debt Service $701,905 $176,031 $65,708
O&M $1,019,996 362,908 $157,162
Annual Total $1,721,902 $538,939 $222,871
Total water Zone 3 entitlements equal 4,530 AFY
In addition to the values presented in Table 6-4, Zone 3 customers will be required to
share the cost of the proposed treatment plant upgrade. While these costs have not
been finalized, proposed cost (including debt service) are outlined in Table 6-5.
Table 6-6. Proposed Annual Cost for Lopez WTP Upgrade
Arroyo Grande Grover Beach Ocean 0
Treatment Upgrade 1 $927,000 $324,000 $123,000
"
Estimated cost from SLO County 12-20-05, Includes WTP reserve payment for first 10 years of financing.
In order to determine the value associated with treating and distributing an additional
2300 AFY through the Lopez system, the costs presented in Tables 6-4 and 6-5 were
averaged and a total cost per acre-foot of water was determined. According to the
values above, the average annual cost for utilization of the Zone 3 facilities for treatment
and distribution is $1137 per acre-foot of water ($683/AFY for repayment of debt service
and $454/AFY for operation and maintenance).
6-4 LIFE CYCLE COST ANALYSIS
A total life cycle cost analysis has been prepared based on the values summarized in
the previous three sections. The costs included in this report represent a life cycle cost,
per acre-foot, for an estimated period of 20 years at an interest rate of 7%. The costs
were developed based on engineering judgment, confirmed bid prices for similar work in
the Central Coast area, consultation with vendors and contractors, established
budgetary unit prices for the work, and other reliable sources. Hard construction costs
are escalated by a factor of 1.4, to allow budget for "soft costs" that include preliminary
Nacimiento Water Study/Chapter 6
Project No. 0232.506.040
6-4
January 2006
Draft
engineering, engineering, administration, construction management and inspection
costs. All costs are expressed in Year 2005 dollars. In the future, proiect costs should
be escalated usinq an ENR Construction Cost Index of 7647 December 2005 (current
costs) relative to future construction cost indices..
Table 6-7 summarizes the results from Tables 6-3 and 6-4. These values represent
hard and soft costs with a 20% contingency added all capital cost estimates. Life cycle
cost were determined based on 7% interest for a 20-year period:
Table 6-7. Life Cycle Cost Summary
Alternative A Alternative B
Capital Cost $30,136,503 $11,858,823
Operations & $5,958,558 $5,813,893
Maintenance
20-Year Life Cycle $3827/AC-FT $3014/AC-FT
Nacimiento Water Study/Chapter 6
Project No. 0232.506.040
6-5
January 2006
Draft
CHAPTER 7
SUMMARY
This chapter presents a summary of findings and information provided in this report. A
summary of the alignment options and the treatment and distribution viability is provided
for this Nacimiento pipeline extension analysis.
7-1 ALIGNMENT ALTERNATIVES
Both alignment alternatives are similar in length and hydraulic design, therefore these
characteristics are not the determining factor in the final alignment recommendation.
While the cost of Alignment B could be more reasonable than that of Alignment A by
utilizing the PXP pipeline, the timeline for the PXP project is still uncertain and choosing
this alignment for recommendation could result in extra unforeseen costs associated
with alignrnent alterations or last-minute changes, increasing construction costs. A
comparison of both alignment alternatives has been provided in Table 7.1 to outline the
pros and cons of either option.
Table 7.1 Alignment Comparison
Alignment A: Orcutt Rd Alignment B: PXP
. lrnplementation/Timeline . Less expensive option
PROS Known . EIR completed for majority of
alianment
. More expensive . Timeline of pipeline availability
CONS . Requires Supplemental EIR uncertain
for maioritv of alianment . Timeline of proiect uncertain
At this time, both alignment alternatives should be considered as viable for the
Nacimiento pipeline extension. From a cost standpoint, it wauld be preferable to utilize
Alignment B, therefore the PXP project should be evaluated for viability with the
proposed Nacimiento extension as design of either project progresses.
7-2 TREATMENT & DISTRIBUTION
7-2.1 Treatment
The Lopez WTP will have 6.0 MGD operating capacity after the proposed upgrade is
completed, however existing entitlements for water from the Lopez Reservoir currently
add up to slightly more than 4.0 MGD. Theoretically, that leaves approximately 2.0 MGD
operating capacity available for treatment of additional water. If the proposed
Nacimiento extension were constructed, expansion of the treatment plant membranes
would be required to accommodate the additional 2300 AFY. Alterations of the
. treatment plant membranes would require that an additional membrane rack be installed,
increasing the operational capacity of the plant to 6.7 MGD. In addition, existing contract
entitlements to water treated at the Lopez WTP would need to be altered in order to
accommodate an additional 2.0 MGD.
Nacimiento Water Study/Chapter 7
Project No. 0232.506.040
7-1
January 2006
Draft
7-2.2 Distribution
The distribution system would also likely require alterations in order to accommodate the
additional flow. Based on the discussion from Chapter 4, the existing Lopez Distribution
System is experiencing difficulty meeting target delivery flow rates. An aluminum silicate
deposit has formed on the interior lining of the pipes, increasing headloss and reducing
hydraulic capacity. While the capacity reduction has resulted in some customers being
unable to receive their required pressure for distribution, the target delivery flow rates for
the entire system are being maintained. The target delivery through the entire system is
9.0 MGD (6.0 MGD from Lopez and 3.0 MGD for SWP). Contractual delivery, based on
entitlements, add up to 6.2 MGD. Therefore, the difference between the target delivery
and actual delivery at this time is 2.8 MGD.
As discussed above and in Chapter 4, due to the release of water from the Lopez
Reservoir to Arroyo Grande Creek, surplus water is no longer available to water
customers. Since surplus water is not available, it is unlikely that the Lopez distribution
system will convey more than 4 MGD from the Lopez treatment plant without an
alteration to the existing water entitlements. Therefore, because the proposed additional
2.0 MGD from the Nacimiento pipeline extension would, in essence, replace capacity
previously reserved for surplus water and would still equate to less than the target
delivery flow rate of 9.0 MGD for the distribution system, the system should have
sufficient hydraulic capacity to accommodate the desired additional 2300 AFY of flow.
Nacimiento Water Study/Chapter 7
Project No. 0232.506.040
7-2
January 2006
Draft
CHAPTER 8
IMPLEMENTATION & TIMELlNE
This chapter outlines the proposed timeline that would be expected for the Nacimiento
supplemental water project. This implementation and timeline incorporates the various
aspects of environmental review and permitting, preliminary and final design, bid phase
and construction.
8.1 TIMELlNE
The following is a list of key project tasks, listed in the order they would most likely
occur. Some of these tasks will overlap during the implementation phase.
. Feasibility Study (this report)
. Agency Agreements - 3 months
. Planning and Preliminary Design - 4 months
. Project Financing - 6 months
. Environmental Impact Review (EIR) - 18 months
. Detailed Design -10 to 12 months
. Permitting (3 months, concurrent with design)
. Bid Phase - 4 months
. Construction - 12 months
8-1.1 Aqency Aqreements
If the City of Arroyo Grande, City of Grover Beach, and Oceano CSD were to reach
consensus that the Nacimiento supplemental water project were to move forward, it is
anticipated that this decision would occur at some point in time following adoption of
each respective Council/Board of this feasibility study. It is assumed that this study
would be completed and approved in February 2005 by each member agency, and that
these agencies as a whole, would in turn execute an Agreement to proceed with the
supplemental water supply project. The estimated time required for the agencies to
formulate Agreements to authorize this supplemental project is 3 months.
8-1.2 Planninq and Preliminarv Desiqn
Onoe the agencies are under Agreement for this project, the planning/preliminary
engineering phase may begin. The agencies will need to send out Requests for
Proposals (RFPs) to qualified engineering firms, and select and hire a consultant to
perform the preliminary design services. Once selected, the design firm will need
approximately 4 months to complete preliminary design, including approvals from the
respective Councils and the Oceano CSD Board. The preliminary design report will not
only define the various physical components of the project, but will also update the
probable project costs from this feasibility study. The preliminary design report will need
to update NWP design elements that are potentially undergoing change, particularly
hydraulic gradeline.
8-1.3 Proiect Financinq
Immediately following the preliminary design phase, the agencies will need to prepare a
financing plan for the approved project, and also must seek financial approval from
respective City Council and the Oceano CSD Board for funding the project. The
Nacimiento WaterStudy/Chapter 8
Project No. 0232.506.040
8-1
January 2006
Draft
agencies should hire a qualified financial planner to assist the agencies with project
financing, including seeking any grant and loan options available to the Project. At this
time, it is not known what potential available funding may be obtained; thus, it is difficult
to develop a specific timeline. If, for example, Prop 50 or State low interest financing is
available, certain funding requirements of the lending agency must be met. For the
purposes of this study, a time frame of 6 months is estimated to secure a financing plan
for the Project. This task can be conducted in conjunction with the environmental review
task.
8-1.4 CEQA/Environmental Review
It is possible that once a preliminary design concept is substantially defined, the
environmental review process can begin prior to final approval of preliminary design.
However, since the project elements could change during the review process, it is
advisable to begin the environmental review process after concurrence from project
. participants that the project description is firm. Thus, the CEQA/environmental review
process is anticipated to begin immediately following the approval of the preliminary
design. This process is anticipated to take a minimum of 18 months to complete.
8-1.5 Detailed Desiqn
The detailed design task for this project is anticipated to require approximately 8 months,
following notice to proceed to a qualified consultant. It is assumed that there are no
right-of-way acquisition issues associated with the project, and that the first order of
business would be the survey and geotechnical tasks for design, followed by utility
collection, and plan and profile design, and design of booster stations (on pipeline
extension to Lopez forebay, and/or on the Lopez transmission main downstream of the
water treatment plant), if needed. With consultant RFPs and the selection process, the
entire design phase is anticipated to take 12 months. It is also recommended that the
detailed design phase not commence until such time that the environmental review
process is completed.
8-1.6 Permittinq
Permitting for the Nacimiento pipeline extension is anticipated to be relatively minor. At
this time, we anticipate a County encroachment permit only. It is envisioned that the
Plains XP pipeline alignment would require some easement and property acquisitions
that could take considerable time; however, it is not certain if this project will move
forward. With the "Option A" Nacimiento pipeline extension alignment, the pipeline
remains in County right-of-way the entire alignment until it reaches the Lopez Forebay.
Permitting for this project is anticipated to occur concurrently with detailed design. and
additional time for permitting beyond the design phase, is probably minimal.
8-1.7 Bid Phase and Construction
Once the design phase is complete, the project may be sent out for contractor bids, and
then construction may begin. The bidding process, from bid advertisement to bid
evaluation and award of contract, generally requires 3 to 4 months.
Construction of the Nacimiento pipeline project, extending the pipeline to the Lopez
forebay, is a total of approximately 18 miles, or 95,000 lineal feet. For a pipeline of such
length, it is likely that construction will be concurrent from multiple headings. However, it
is anticipated that a construction window of 12 months be allocated, to allow for
Nacimiento Water Study/Chapter 8
Project No. 0232.506.040
8-2
January 2006
Draft
contractor mobilization, inclement weather and unforeseen delays, equipment
procurement, project construction wrap-up of punch list items, and start-up and testing.
8-2 OVERVIEW OF PROJECT TIMELINE
Since an exact "start" time is not known for this project, we have prepared an overview
of the project timeline based on number of months following completion of the feasibility
study. The anticipated timeline is summarized in Table 8-1.
Table 8-1. Proposed Timeline
Begin Completion
Task or Milestone (Months Following Completion (Months Following Completion
of Feasibility Study) of Feasibility Study)
Feasibility Study NA 0
Agency Agreements 0 3
Planning/Preliminary 3 7
Desian
Project Financing 7 13
CEQA/Environmental 13 31
Review
Detailed Design 31 43
Permitting 40 43
Bid Phase 44 47
Construction 47 60 (5 years)
Based on Table 8-1, it is anticipated that this Project would require a minimum of 5 years
to complete, following the feasibility analysis. Given that the Nacimiento water project is
not anticipated for completion until Year 2010, if this supplemental water project were to
begin "today", the project could conceivably be completed at about the same time as the
start up of the Nacimiento water project.
If the Plains XP pipeline (Option B) is implemented, the project timeline could be
considerably longer, given the fact that the Plains XP pipeline would not be available for
use for approximately 10 years or until such time that Plains XP no longer needs the
pipeline for oil field water production.
Nacimiento Water Study/Chapter 8
Project No. 0232.506.040
8-3
January 2006
Draft
APPENDIX A:
NWP CONTRACT
NACIMIENTO PROJECT WATER
DELIVERY ENTITLEMENT CONTRACT
INSERT NAME OF PARTICIPANT
45471069.2
ARTICLE 1:
ARTICLE 2:
ARTICLE 3:
ARTICLE 4:
ARTICLE 5:
ARTICLE 6:
ARTICLE 7:
ARTICLE 8:
ARTICLE 9:
ARTICLE 10:
ARTICLE 11:
ARTICLE 12:
ARTICLE 13:
ARTICLE 14:
ARTICLE 15:
ARTICLE 16:
ARTICLE 17:
ARTICLE 18:
ARTICLE 19:
ARTICLE 20:
ARTICLE 21:
ARTICLE 22:
ARTICLE 23:
ARTICLE 24:
ARTICLE 25:
45471069.2
TABLE OF CONTENTS
PAGE
DEFINITIONS ................. ..... ..................... ................ ............................ .......... 1
TERM OF CONTRACT; RESCISSION......................................................... 9
CONSTRUCTION OF THE NACIMIENTO FACILITIES ......................... 11
OWNERSHIP, OPERATION AND MAINTENANCE OF
NACIMIENTO FACILITIES ........................................................................ 12
EXISTING OBLIGATIONS: MASTER WATER CONTRACT AND
PRIOR COMMITMENT WATER................................................................ 13
DELIVERY ENTITLEMENT ....................................................................... 14
WATER YEAR DELIVERY AMOUNTS AND SCHEDULE.................... 15
PLACE OF DELIVERY ................................................................................ 15
MEASUREMENT OF DELIVERY ENTITLEMENT AND
SURPLUS W ATER....................................................................................... 16
NO RESPONSIDILITY ................................................................................. 16
WATER QUALITy....................................................................................... 16
SURPLUS W ATER....................................................................................... 17
CURTAILMENT OF DELIVERy................................................................ 19
NACIMIENTO PROJECT WATER SHORTAGES .................................... 19
LIMITATIONS ON OBLIGATION TO FURNISH WATER...................... 21
OBLIGATIONS FOR NACIMIENTO PROJECT COSTS .......................... 21
CONTRACT PAYMENTS ...........................................................................25
USE OF TOTAL P ARTICIP ANT CONTRACT PAYMENTS.................... 27
OBLIGATION TO "TAKE-OR-PAY" .........................................................28
PARTICIPANT'S PLEDGE AND COVENANTS....................................... 28
WATER ENTERPRISE OPERATION AND MAINTENANCE................. 29
COVENANTS OF THE DISTRICT AND THE P ARTICIP ANT;
SPECIAL TAX COVENANTS..................................................................... 30
NO OUTSIDE SERVICE.............................................................................. 35
FAILURE TO LEVY, SET OR COLLECT TAXES, RATES AND
CHARGES; ESTABLISHMENT OF COVERAGE ACCOUNT................. 35
P ARTICIP ANT'S OBLIGATIONS SEVERAL AND NOT JOINT;
STEP-UP PROVISIONS AND REIMBURSEMENT .................................. 36
ARTICLE 26:
ARTICLE 27:
ARTICLE 28:
ARTICLE 29:
ARTICLE 30:
ARTICLE 31:
ARTICLE 32:
ARTICLE 33:
ARTICLE 34:
ARTICLE 35:
ARTICLE 36:
ARTICLE 37:
ARTICLE 38:
ARTICLE 39:
ARTICLE 40:
ARTICLE 41:
ARTICLE 42:
ARTICLE 43:
EXECUTION:
TABLE OF CONTENTS
PAGE
EVENTS OF DEFAULT; DISTRICT'S REMEDIES .................................. 37
CHANGES IN ORGANIZATION ................................................................ 39
ADDITIONAL CAPITAL PROJECTS......................................................... 39
USE OF RESERVE WATER........................................................................ 40
USE OF RESERVED CAPACITy............................................................... 42
UNIFORM CONTRACTS ............................................................................43
AMENDMENTS TO CONTRACT .............................................................. 43
ESTABLISHMENT OF NACIMIENTO PROJECT COMMISSION.......... 44
OPINIONS AND DETERMINATIONS; GOOD FAITH ............................ 45
WAIVER OF CONTRACT RIGHTS ........................................................... 45
NOTICES.......................................................................................................45
ASSIGNMENT ..............................................................................................46
INSPECTION OF BOOKS AND RECORDS ..............................................46
SEVERABILITY ...........................................................................................46
WATER RIGHTS .......................................................................................... 47
GOVERNING LAW ..............................................................:..............,........ 47
VALIDATION ...............................................................................................47
COUNTERPARTS ........................................................................................48
........................................................................................................................48
EXHIBIT A: UNIT DESCRIPTIONS
EXHIBIT B: ENVIRONMENTAL IMP ACT REPORT ENTITIES
45471069.2
11
NACIMIENTO PROJECT WATER
DELIVERY ENTITLEMENT CONTRACT
This Water Delivery Entitlement Contract (the "Contract"), made this _ day of
, 2004, by and between the San Luis Obispo County Flood Control and Water
Conservation District, a Flood Control and Water Conservation District duly established and
existing under the San Luis Obispo County Flood Control and Water Conservation District Act,
Act 7205 of the Uncodified Acts of the California Water Code (the "District"), and INSERT
NAME OF P ARTICIP ANT, a located within the County of San Luis Obispo
(the "Participant"), as follows:
WITNESSETH:
WHEREAS, the lands and inhabitants within the jurisdiction of the Participant are in
need of water; and
WHEREAS, the District has certain rights to water stored in the Nacimiento Reservoir
located in the northwest corner of the County of San Luis Obispo (the "County") and the District
is willing to provide a portion of said water to the Participant and to other public water
distribution agencies within the District; and
WHEREAS, the Participant desires to contract with the District for the supply of
additional water for the use and benefit of the lands and inhabitants served by the Participant;
and
WHEREAS, the Participant and the District desire to join with other public water
distribution entities within the District to have the District finance, construct and operate a water
system which will convey the District's waters from the Nacimiento Reservoir to the Participant
and to the other public water distribution entities all on the terms and conditions hereinafter set
forth;
NOW, THEREFORE, IT IS HEREBY MUTUALLY AGREED by and between the
Participant and the District as follows:
ARTICLE 1:
DEFINITIONS
(A) Unless the context otherwise requires, the terms defined in this Article shall, for
all purposes of this Water Delivery Entitlement Contract, have the meanings set forth in the
'Recitals hereof or hereunder specified, to be equally applicable to both the singular and plural
forms of any of the terms herein defined, Defined terms used herein without capitalization shall
have the same meanings as the corresponding capitalized defined terms but do not refer to the
specific Participant hereunder.
"Additional Capital Project" shall mean one or more capital projects related to the
Nacimiento Facilities, or other improvements or repairs to the Nacimiento Facilities, undertaken
45471069.2
1
from time to time by the District in addition to the Nacimiento Project, which is an Approved
Additional Project, an Emergency Project or a Required Additional Project.
"Additional Capital Proiect Costs" shall mean costs expended or incurred by the District
for Additional Capital Projects and not attributable to, financed by or included in Capital Projects
Installment Debt Service.
"Additional Debt" shall mean, as to the Participant and its Water Enterprise, and as to the
Water Enterprises, individually, of the respective Other Participants, such debt or similar
obligations to be payable from the revenues of such Water Enterprise, as may be permitted under
the terms of the Legal Documents.
"Aooroved Additional Project" shall mean a capital improvement to the Nacimiento
Facilities that has been agreed to by the Participant and/or certain Other Participants, and that
will be paid by that group within All Participants which has requested or agreed to such capital
improvement.
"All Participants" shall mean those public or private entities then participating in the
Nacimiento Pipeline by the purchase of Project Water under this Contract or a Like-Contract.
"Board of Supervisors" shall mean the Board of Supervisors of San Luis Obispo County
acting as the governing board of the County Flood Control and Water Conservation District.
"Calendar Ouarter" shall mean each three (3)-month period commencing on January 1,
Aprill, July 1, and October 1 of each year.
"Calendar Year" shall mean each twelve (12)-month period commencing January 1 and
ending December 31, both dates inclusive.
"Capital Projects" shall mean and include the following terms, each of which is
separately defined herein: Additional Capital Projects; Approved Additional Projects; Required
Additional Projects; Emergency Projects and the Nacimiento Project.
"Capital Proiects Installment Debt Service" shall mean payments on debt or similar
obligations incurred by the District for the Nacimiento Facilities consisting of, in the aggregate,
(a) principal and interest (or mandatory sinking fund payments, installments or lease or similar
payments due) with respect to all Municipal Obligations at the time outstanding in accordance
with their terms, provided that capitalized interest funded from the proceeds of Municipal
Obligations need not be taken into account, (b) annual costs of administering the Municipal
Obligations, including the annual fees of any trustee or paying agent therefor, and (c) the costs; if
any, of annual credit enhancement for the Municipal Obligations, whether or not based on a
derivative structure as provided in Section 5922(a) ofthe Government Code. In the event, and to
the extent that, any Additional Capital Project is financed by means of the issuance of a series of
additional Municipal Obligations, then the payments and costs associated with the additional
Municipal Obligations shall become a part ofthe Capital Projects Installment Debt Service.
"Capital Reserve Costs" shall mean the District's annual costs of maintaining Capital
Reserves, determined by the District and budgeted annually by the District as provided for in
45471069.2
2
Article 4(C) hereof, to be apportioned among All Participants as provided for in Article 16(C)(l)
hereof.
"Capital Reserves" shall mean those reserves established and maintained by the District
for (i) Scheduled Maintenance or (ii) for anticipated costs of a Required Additional Project
imposed, or likely to be imposed, by a Governmental Authority (an "External Requirement") in
order for the District to continue to operate the Nacimiento Facilities, provided however, that the
District shall not expend any portion of the Capital Reserves for any External Requirement until
and unless such External Requirement becomes a final order of such Governmental Authority,
not subject to further appeal. Such Capital Reserves may be established either, (i) on a year-to-
year basis by the District in its annual budgets, copies of which shall be supplied to the
Participant promptly following adoption, or (ii) on a multi-year basis by the District through the
development and promulgation to the Participant of a long-term capital improvement plan of the
District; provided, however, that no Approved Additional Projects shall be funded from the
Capital Reserves.
"Commission" or ''Nacimiento Proiect Commission" shall mean the commission formed
of a representative of the Participant, each Other Participant and the Board of Supervisors, to
operate as provided under Article 33 hereof.
"Construction Bids" shall mean the bids for construction of the Nacimiento Project, as
further described in Article 2(B).
"Construction Phase" shall mean the period of time following the opening of the final
Construction Bid, during which the District shall apply the proceeds of the Municipal
Obligations to pay the Nacimiento Project Costs.
"Consultants" shall mean contractors, environmental specialists, engineers, financial
advisors, underwriters, attorneys, accountants and similar consultants under contract with the
District to perform services related to the Nacimiento Project or the Nacimiento Facilities.
"Contract Pavrnents" shall mean those payments due from the Participant to the District,
representing the Participant's pro rata share of Nacimiento Project Costs.
"Costs" shall include the following terms, each of which is separately defined herein:
Additional Capital Project Costs; Contract Costs; Nacimiento Project Construction Costs; Master
Water Contract Costs; Nacimiento Project Costs; Reserve Water Costs; and Variable Energy
Costs.
"County Treasury Pool" shall mean the Treasury Pool of the County of San Luis Obispo,
California.
"Coverage Account" shall mean an account established for the Participant either with the
District or with a Depository, as provided in Article 24 hereof.
"Coverage Factor" shall mean one hundred twenty-five percent (125%) of Participant's
pro rata share of Capital Projects Installment Debt Service, determined in accordance with
Article 20(C) hereof, calculated for each Fiscal Year.
45471069.2
3
"CPA" shall mean a certified public accountant or firm of certified public accountants.
"Debt Service Shortfall" shall mean the aggregate amount of Delinquent Debt Service
Payments due from Defaulting Participants on the Due Date in question.
"Delinquent Debt Service Payment" shall mean those payments of Capital Projects
Installment Debt Service due under this Contract or any Like-Contract that are not, in fact, paid
on its Due Date.
"Delinquent Participant" shall mean any of the Participant or any Other Participant which
fails to meet its obligation for payment for Nacimiento Project Water hereunder or under any
Like-Contract, as further described in Article 25(A) hereof.
"Deliverv Entitlement" shall mean the quantity of Nacimiento Project Water which the
Participant is entitled to have delivered by the District to the Participant under this Contract in
any given Water Year, as set forth in Article 6(A) herein. .
"Deliverv Entitlement Share" shall mean the proportion of the Delivery Entitlement as
compared to the Total Delivery Entitlement Obligation in any given Water Year.
"Depositorv" shall mean a financial institution designated for the deposit and
administration of the Participant's Coverage Account, as and when appointed in accordance with
Article 24 hereof.
"Design Phase" shall mean the period of time during which the proceeds of the Notes are
being expended to finance the costs of design, engineering and planning for the construction of
the Nacimiento Project. The Design Phase shall conclude with the opening of the final
construction bid for the Nacimiento Project.
"Due Date" shall mean the date upon which each payment of Capital Projects Installment
Debt Service is required to be made by the Participant or any Other Participant hereunder or
under a Like-Contract.
"Effective Date" shall mean the date upon which all Initial Participants have executed
and delivered this Contract and the Like-Contracts to the District, and the District has executed
each of this Contract and such Like-Contracts.
"Emergencv Proiects" shall mean those Additional Capital Projects undertaken by the
District without notice to or consultation with the Participant, any Other Participant, or the
Commission, whenever the District determines that there is a substantial risk of hann to the
Nacimiento Facilities or to the operation of the Nacimiento Facilities which requires immediate
remedy.
"Fiscal Year" shall mean the twelve (12)-month period from July I ofa Calendar Year to
June 30 of the immediately following Calendar Year, both dates inclusive or such other dates
constituting the designated fiscal year of the Participant as shall be determined by the governing
board ofthe Participant.
45471069.2
4
"Governing Board" shall mean the legislative body which at the time in question governs
the Participant and is responsible for the administration and operation of its Water Enterprise.
"Governmental Authority" shall mean any State of California, federal or local
government authority having jurisdiction or authority over the District or the Nacimiento
Facilities, or any portion thereof, empowered to regulate or control any aspect of its or their
operations.
"Initial Participant" shall mean the Participant and the following Other Participants, each
of which has executed a Like-Contract as of the Effective Date: City of San Luis Obispo, the
Atascadero Mutual Water Company and City of Paso Robles.
"Legal Documents" shall mean any legal documents entered into by or on behalf of the
District with respect to the Municipal Obligations.
"Long-Term Proiect Debt" shall mean those Municipal Obligations, whether Tax-Exempt
or Taxable as to their interest component, whose proceeds are to be expended for the costs of the
Construction Phase of the Nacimiento Project.
"Master Water Contract" shall mean that certain Agreement, entered into by and between
the District and the Monterey Water Agency (the "Monterey Water Agency"), successor to the
Monterey County Flood Control and Water Conservation District, on October 19, 1959.
"Master Water Contract Costs" shall mean those amounts that the District is obligated to
pay under the Master Water Contract and which are attributable to the 15,750 acre-feet per year
of Nacimiento Project Water.
"Municipal Obligations" shall mean all the Taxable Obligations and the Tax-Exempt
Obligations, in the form of bonds, notes, certificates or similar securities, sold by or on behalf of
the District to finance all or a portion of the Nacimiento Facilities or an Additional Capital
Project, and specifically includes the Notes and Long-Term Project Debt.
"Nacimiento Facilities" shall mean all those facilities comprising the water delivery and
treatment facilities bringing water from the Nacimiento Reservoir to the Participants, to be
purchased hereunder, including without limitation, the Nacimiento Project, any Additional
Capital Project, the land underlying the same and any easements or similar rights associated
therewith or appurtenant thereto, as they may exist from time to time.
"Nacimiento Proiect" shaH mean the project described in the Nacimiento Water Project
Environmental Impact Report SCH # 2001061022 certified January 2004.
"Nacimiento Proiect Construction Costs" shall mean the costs of constructing any portion
of the Nacimiento Project, including design, engineering, planning, environmental mitigation,
equipping new facilities and/or construction efforts, accounting services, project administration
and management, installation, grading, razing and building the Nacimiento Project, and includes
the elements defined in Article 16(C)(3).
45471069.2
5
I.
!
"Nacimiento Proiect Costs'; shall mean the sum of (i) the Nacimiento Project
Construction Costs; and (ii) all other costs of operating and maintaining the Nacimiento
Facilities and of all Additional Capital Projects.
''Nacimiento Proiect Water" shall mean, in each Water Year, the Total Delivery
Entitlement Obligation plus the Reserve Water, but not more than Fifteen Thousand Seven-
Hundred (15,750) Acre-Feet of Nacimiento Reservoir Water. Nacimiento Project Water is the
source of the Delivery Entitlement, Surplus Water and Reserve Water.
''Nacimiento Reservoir Water" shall mean the Seventeen Thousand Five Hundred
(17,500) Acre-Feet of water which the District has the right to take from the Nacimiento
Reservoir pursuant to the Master Water Contract in each Water Year.
''Nacimiento Water Fund" shall mean the separate fund established and maintained by the
District within the County Treasury Pool, into which the District shall deposit all Net Revenues
and all payments received by the District under this Contract and each Like-Contract.
''Net Revenues" shall mean the sum of (a) the proceeds of sale by the District of Surplus
Water, (b) revenues received by the District from Wheeling Customers, and (c) revenues
received by the District from the sale of Reserve Water, less the costs of making such sales and
collecting said revenues.
"New Participant" shall mean and include each Other Participant which executes a Like-
Contract after the Effective Date, in accordance with Article 29(C) hereof.
''Non-DelinQuent Participant" shall mean any of the Participant or any Other Participant
which at the time is then complying with its obligations to pay for Nacimiento Project Water
hereunder or under its Like-Contract, as set forth in Article 25(A) hereof.
''Notes'' shall mean those short-term notes to be issued by the District after the Effective
Date, whether Tax-Exempt or Taxable as to their interest component, whose proceeds are to be
expended for the costs of design, engineering and planning for the construction of the
Nacimiento Project.
"Operation and Maintenance Costs" shall mean the reasonable and necessary current
expenses of maintaining, repairing and operating the Nacimiento Facilities, including District
administrative expenses directly attributable to the Nacimiento Facilities, but excluding the
Capital Reserve Costs and the Capital Projects Installment Debt Service, all computed in
accordance with generally accepted accounting principles applicable to enterprise funds of
government agencies.
"Opt-out Date" shall mean the date following the Effective Date upon which the
Participant may elect to opt out of the Construction Phase of the Nacimiento Project and cease to
accrue obligations under this Contract, as further described in Article 2(B).
"Other Deliverv Entitlement" shall mean the quantity of Nacimiento Project Water which
any Other Participant is entitled to have delivered by the District under its Water Delivery
Entitlement Contract in any given Water Year.
45471069.2
6
"Other Deliverv Entitlement Share" shall mean the proportion of the Other Delivery
Entitlement of each Other Participant as compared to the Total Delivery Entitlement Obligation
in any given Water Year.
"Other Participant" shall mean any other water-distributing public agency of the State of
California, city, mutual water company or other entity established under the laws of the State of
California, which, having the legal power to do so, executes a Water Delivery Entitlement
Contract substantially identical to this Contract for the delivery of water from the Nacimiento
Facilities (a "Like-Contract''), except for Participant information, dates, Unit Participations,
Participant's Unit Percentage Share and Delivery Entitlement Share, other than for the purpose
of purchasing Surplus Water.
"Paritv Debt" shall mean, as to the Participant and its Water Enterprise, and as to the
Water Enterprises, individually, of the respective Other Participants, all Additional Debt that, by
its terms, is payable on a parity with the obligations of the Participant under this Contract.
"Participant Revenue Fund" shall mean that special segregated fund established with or
by the District for the deposit of amounts collected from the Participant hereunder as its portion
of Capital Projects Installment Debt Service.
"Participations" include the following types of participation in the purchase of Project
Water, each of which is separately defined herein: All Participants; Delinquent Participant;
Initial Participants; New Participants; Non-Delinquent Participants; Other Participants and
Participant.
"Participant's Capital Share" shall mean the portion of the Total Nacimiento Project
Construction Costs to be borne by the Participant, and as set forth in Article 16(C)(3).
"Prior Commitment Water" shall mean 1,750 acre-feet of Project Water available to the
District each Water Year from the Nacimiento Reservoir under the terms of the Master Water
Contract that has been committed to persons and entities other than the Participant and the Other
Participants.
"Required Additional Proiect" shall mean any capital improvement to the Nacimiento
Facilities that the District has determined to be necessary in order to keep the Nacimiento
Facilities in good repair and operating condition and to maintain the water supply at the quality
required hereunder, or which has been ordered or directed by a Governmental Authority.
"Reserved Capacity" shall mean that part of the capacity of the Nacimiento Facilities
which is not needed by the District for the delivery of the Total Delivery Entitlement Obligation.
"Reserve Pool Water" shall mean the portion of Reserve Water remaining, if any, after
the District applies and delivers the Reserve Water in accordance with the priorities set forth in
Article 29(A) hereof.
"Reserve Water" shall mean that part of the Nacimiento Reservoir Water remaining after
the subtraction ofthe Prior Commitment Water and the Total Delivery Entitlement Obligation.
45471069.2
7
"Reserve Water Customer" shall mean any person or entity that is a party to a contract
with the District pursuant to which that person or entity is obligated to purchase Reserve Water
from the District.
"Scheduled Maintenance" shall mean the maintenance tasks for the Nacimiento Facilities
which are required to be accomplished less frequently than armually, a portion of the costs of
which shall be set aside in each armual budget of the District in anticipation of such requirement.
"Surplus Water" shall mean, beginning with the first Water Year during which
Nacimiento Project Water is delivered to the Participant, and in each Water Year thereafter, the
sum of (i) the Reserve Water for such Water Year, if any, plus (ii) the Turn-Back Pool Water for
such Water Year, if any.
"Taxable Obligations" shall mean those certain obligations of the District under an
indenture of trust or evidenced by an installment purchase agreement or similar instrument
whose proceeds are used in whole or in part to pay the costs of the Nacimiento Project, any
Approved Additional Project or any Required Additional Project, the interest on which is
included in gross income pursuant to federal income tax law.
"Tax-Exempt Obligations" shall mean those certain obligations of the District under an
indenture of trust or evidenced by an installment purchase agreement or similar instrument
whose proceeds are used in whole or in part to pay the costs of the Nacimiento Project, any
Approved Additional Project, or any Required Additional Contract, the interest on which is
excluded from gross income for federal income tax purposes.
"Total Delivery Entitlement Obligation" shall mean, subject to the Master Water
Contract, the total amount of Nacimiento Project Water which the District shall make available
in each Water Year as Delivery Entitlements to the Participant and Other Delivery Entitlements
to the Other Participants under this Contract and under all the other Like-Contracts, and which
total shall not exceed the Nacimiento Reservoir Water, less the Prior Commitment Water and
less the Reserve Water.
"Total Nacimiento Proiect. Construction Costs" shall mean the costs and expenses
incurred by the District in the acquisition and construction ofthe Nacimiento Facilities.
"Total Participant Contract Payments" shall mean all of the payments due from the
Participant and the Other Participants pursuant to Articles 16 and 17 hereof and the
corresponding Articles of the Like-Contracts with the Other Participants.
"Turn-Back Pool Water" shall mean that part of the Delivery Entitlement which the
Participant does not request be delivered for the Water Year in question in accordance with
Article 7 hereof, together with those portions of the Other Delivery Entitlements which are not
requested to be so delivered under the correlative provisions ofthe affected Like-Contracts.
"Unit" shall mean those facilities, which collectively make up the operating segments of
the Nacimiento Facilities, delineated as provided in Exhibit A.
45471069.2
8
I
"Unit Percentage Share" shall mean the Participant's pro rata share of the Capital
Reserve Costs, the Operation and Maintenance Costs and All Other Construction Costs
Component for each Unit and as set forth in Article 16(C)(1) and (3)(c) herein; or, in the context
of a Like-Contract with any Other Participant, the term ''Unit Percentage Share" shall mean and
refer to the correlative pro rata share of such Other Participant or Participants.
"Variable Energv Costs" shall mean the actual Nacimiento Facilities pumping energy
costs incurred by the District in conveying and delivering: (i) the Delivery Entitlement and
Surplus Water to the Participant and (ii) the respective Other Delivery Entitlements and surplus
water to the Other Participants as defined under their respective Like-Contracts and as set forth
in Article 16(C)(2) hereof.
"Water Deliverv Entitlement Contracts" shall mean this Contract and the other
Nacimiento Project Water Delivery Entitlement Contracts entered into by and between the
District and the Other Participants.
"Water Entemrise" shall mean the water system operated and to be operated by the
Participant for sales of water to its customers or to the general public within the Participant's
jurisdiction.
"Water EnteIJJrise Charges" shall mean the rates and charges imposed and collected by
the Participant for the provision of water through its Water Enterprise.
"Water Rights" shall mean (a) water rights, (b) claims to water rights or (c) agreements
concerning water rights, including, but not limited to, overlying, prescriptive, appropriative,
riparian or pueblo rights.
"Water Year" shall mean the twelve (12)-month period from October 1 of a each year to
and including September 30 of next following year.
"Wheeling Customer" shall mean any person or entity to which the District conveys
water, other than Nacimiento Project Water, through any Unit.
ARTICLE 2:
TERM OF CONTRACT; RESCISSION
(A) Term. This Contract shall become effective on the Effective Date and shall
. remain in effect throughout the term provided by Section 3 of the Master Water Contract;
provided, that if and when, through no fault of the District, one or more provisions of the Master
Water Contract shall be terminated or suspended in the manner and for a cause specified in the
Master Water Contract, the District's obligations to the Participant and to the Other Participants
under this Contract and under Like-Contracts shall likewise be terminated or suspended;
provided, however, that this Contract may not be terminated, suspended or rescinded so long as
there remain outstanding any Municipal Obligations issued by the District for the Nacimiento
Facilities.
45471069.2
9
(B) hnplementation of the Design Phase and Construction Bidding. The parties
hereto acknowledge that the total Nacimiento Project Construction Costs are estimated to be
$150,000,000 as of the Effective Date; the parties hereto further acknowledge that the actual total
costs of construction of the Nacimiento Project will be determined through a competitive bid
process applicable to the District at the conclusion of the Design Phase (collectively, the
"Construction Bids"). The District covenants and agrees to provide All Participants with a
summary report of the Construction Bids, not less than two (2) Business Days following the date
upon which the last of such bids is received. In the event that the District finds it necessary or
advisable to divide the Construction Phase into two or more subphases, it shall provide a
summary report to All Participants of those Construction Bids it deems sufficient to begin the
Nacimiento Project (which shall include Construction Bids on no less than thirty percent (30%)
of the total estimated Nacimiento Project Construction Costs) and a sound estimate (which shall
then be current and shall be based, as appropriate, on construction bids received) of total
Nacimiento Project Costs, and shall so state and so estimate in its report to All Participants. The
thirtieth (30th) calendar day following the date upon which such report is received by the
Participant is referred to as the "Opt-out Date." It is understood and agreed by the parties hereto
that the District will incur certain costs and expenses for the Design Phase, which it intends to
pay for, in large part, from the proceeds of sale of the Notes. The Construction Bids can only be
developed as a result of planning to be accomplished during the Design Phase, by the end of
which, the District anticipates that all of the proceeds of the Notes will have been expended. The
Participant expressly understands and agrees that the use of the Notes to finance the costs of the
Design Phase is an expenditure for the shared benefit of its Water Enterprise and the Water
Enterprise of each Other Participant. The District shall not award any construction contracts for
the Nacimiento Project until such time as the District shall have consulted with All Participants
as to whether to proceed with the Nacimiento Project, and in no event shall any award of a
Construction Bid be made, nor shall any Long-Term Project Debt be issued, prior to the Opt-out
Date.
(C) Termination of Participation in Nacimiento Facilities bv Participant after
Effective Date. Subject to the provisions of subparagraph (A) above, the Participant may
withdraw from this Contract (and any Other Participant may withdraw from any Like-Contract)
following the Effective Date and on or prior to the Opt-out Date, but only if the total Nacimiento
Project Construction Costs shall exceed the figure given in paragraph (B) above. In order to
withdraw from participation hereunder, the Participant shall provide written notice to the District
and to each Other Participant that it elects to opt out of the Construction Phase.
(D) Obligations of District. of All Participants and of Participant in the Event of
Opting Out. The Participant agrees with the District and all Other Participants that the Initial
Participants shall share the costs of the Design Phase by the expedient of remaining obligated for
the repayment in full of the principal of and interest on the Notes, whether or not the Participant
should subsequently take advantage of the forgoing provisions to opt out of the remaining term
of this Contract. Should the Participant elect to withdraw from this Contract on the Opt-out
Date, it shall nonetheless repay to the District its pro rata share (in proportion to its Delivery
Entitlement Share) of the principal of and interest on the Notes by a date no later than one (1)
year following the Opt-out Date. The Participant understands and agrees that the District shall
not be obligated to pay any portion of the expenses for the Design Phase or the Municipal
Obligations, which shall instead be the pro rata obligations of the Participant and the Other
45471069.2
10
Participants which will benefit from the Nacimiento Project, and that, in the absence of the
Participant's having withdrawn on an Opt-out Date, the Participant and the Other Participants
then remaining shall pay to the District pro rata (in proportion to their respective Delivery
Entitlement Share or Other Delivery Entitlement Shares) the amount necessary to payor redeem
any outstanding Municipal Obligations. The provisions of this Article shall survive the
rescission of this Contract.
(E) Rescission Following Construction of the Nacimiento Proiect. Subject to the
provisions of subparagraph (A) above, this Contract may be rescinded by the unanimous written
consent of the District, the Participant and all Other Participants.
ARTICLE 3:
CONSTRUCTION OF THE NACIMIENTO FACILITIES
(A) District's Authoritv to Enter Contracts. to Engage Consultants and to Finance the
Nacimiento Facilities. The Participant understands and agrees that the District will finance the
acquisition and construction of the Nacimiento Facilities by means of the issuance and sale of
Municipal Obligations and the Participant agrees that the District shall, and is hereby authorized
to cause the execution and delivery of the Municipal Obligations on terms and conditions
favorable to the District, to the Participant and to the Other Participants, and which terms and
conditions will be established by the market conditions at the time of the sale of the Municipal
Obligations. In particular, the Participant acknowledges and agrees that:
(1) The District shall contract for the public works comprising the Nacimiento
Facilities on such terms as the District, in its sound business judgment may deem in the
best interests of the District, the Participant and the Other Participants, but only following
consultation with the Nacimiento Project Commission; and
(2) The District may engage Consultants as may be necessary and/or
convenient in order to plan, fmance, acquire and construct the Nacimiento Facilities and
to issue and sell the Municipal Obligations, on such terms and conditions as the District
shall determine, provided, however, that the District and the Participant hereby agree that
all such contracts already in place as ofthe effective date of this Contract shall be deemed
valid and the costs thereof to the District shall be deemed appropriate costs and expenses .
of the District in the acquisition and construction of the Nacimiento Facilities; and
(3) The District may authorize and sell at either public or private sale, and
cause to be executed and delivered, the Municipal Obligations at any time, or times,
following the effective date hereof, to provide for the financing or reimbursement to the
District of the costs of the acquisition and construction of the Nacimiento Facilities, to
pay capitalized interest on the Municipal Obligations, to establish a reserve fund for the
Municipal Obligations and to pay the costs of delivery thereof; and
(4) The Participant shall execute and provide such instruments, certificates,
agreements and opinions of counsel as may be necessary in order for the District to
deliver the Municipal Obligations, including, without limitation, information for
inclusion in the disclosure, document for the Municipal Obligations and a continuing
45471069.2
11
disclosure agreement to permit compliance with Rule l5c2-l2 of the Securities and
Exchange Commission, respecting the Participant's [mancial condition and operations,
and certificates and agreements evidencing compliance with the covenants set forth in
Article 22 hereof; and
(5) The Participant will cooperate with the District and its Consultants in
connection with the planning, acquisition and construction of the Nacimiento Facilities
and the authorization and delivery of the Municipal Obligations.
(B) Commencement of Construction. The District will use its best efforts to cause or
accomplish the construction and financing of the Nacimiento Facilities, the obtaining of all
necessary authority and rights, and the performance of all things necessary and convenient
therefor. The District will commence the acquisition and construction of the Nacimiento
Facilities on any date after the Effective Date and when the following conditions have been met:
(1) The District determines such acquisition and commencement of
construction is permitted under the Master Water Contract and state, federal and local
law; and
(2) The District has received from the District's Consulting Engineer a
certification that, based on contracts awarded by the District for the acquisition and
construction of the Nacimiento Facilities, and based upon the Consulting Engineer's
estimates of the costs of the portions of the Nacimiento Facilities for which contracts
have not been awarded, the District has sufficient moneys from (i) the proceeds of the
Municipal Obligations, together with (ii) estimated proceeds to be derived from any other
authorized but unissued Municipal Obligations, and (iii) moneys on deposit with the
District and legally available to complete the Nacimiento Facilities.
ARTICLE 4:
OWNERSHIP, OPERATION AND MAINTENANCE OF NACIMIENTO FACILITIES
(A) District Ownership of the Nacimiento Facilities. The Nacimiento Facilities and
all of its pumps, machinery, conduits, apparatus, fixtures, fittings and equipment of any kind, real
property (including rights-of-way) and capacity are and shall be, owned by the District and shall
be held and operated and maintained by the District as provided for herein.
(B) District's Obiectives and Covenants. The parties hereto acknowledge and agree
that the primary goal of the District under this Contract shall be to deliver Nacimiento Project
Water to the Participant and to the Other Participants, subject to cost considerations, as to which
the District shall be expected to exercise sound business judgment. In this regard, the District
covenants and agrees that it will operate and maintain the Nacimiento Facilities in accordance
with the Master Water Contract, all govemrnentallaws, ordinances, approvals, rules, regulations
and requirements, including, without limitation, such zoning, sanitary, pollution, environmental
and safety ordinances and laws and such rules and regulations thereunder as may be binding
upon the District. The District further covenants and agrees that it will maintain and operate the
Nacimiento Facilities in good repair, working order and condition, and that it will from time to
time inspect and test all Nacimiento Facilities against then-current water supply industry
45471069.2
12
standards, and that the District will pursue all necessary and proper replacement, repairs,
renewals and improvements thereto. In its operation of the Nacimiento Project, the District shall
have as an objective the maximum beneficial use of the Nacimiento Project Water and its
conservation. The District, the Participant and the Other Participants agree that they shall
individually and collectively cooperate and work towards this objective. The District, the
Participant and the Other Participants, individually and collectively, agree further that, to the
extent feasible, all revenues received from the Nacimiento Facilities shall be used for the sole
benefit of the Nacimiento Facilities and that all parties shall pay their respective shares of
Nacimiento Project Costs for Nacimiento Project Water received. '
The District further covenants and agrees that it will take any and all action necessary to
enforce the rights vested in the District by this Contract and the Master Water Contract as the
District deems most appropriate. However, in the event the District fails to enforce any such
rights, the Participant may assert such rights on behalf of the District by such means as the
Participant deems most appropriate. Nothing in this Contract shall impair or otherwise affect, in
any manner, the Participant's right to assert, defend, enforce or otherwise protect any and all
rights vested in the Participant by this Contract.
(C) District's Capital Reserves; Annual Budgets to Be Prepared by the District. In
order to satisfy its covenants set forth in this Article, the District shall determine the amount of
Capital Reserves necessary for the Nacimiento Facilities for the upcoming Water Year and shall
prepare its draft annual budget by no later than March I to reflect such Capital Reserves. The
District shall provide copies of each such budget to the Nacimiento Project Commission, the
Participant and the Other Participants for review and comment prior to the distribution of the
draft annual budget to the Board of Supervisors, and shall, if deemed necessary or advisable,
develop and promulgate to the Nacimiento Project Commission, the Participant and the Other
Participants a multi-year improvement plan for the Nacimiento Facilities reflecting the annual
requirements for the Capital Reserves.
ARTICLE 5:
EXISTING OBLIGATIONS: MASTER WATER CONTRACT AND PRIOR
COMMITMENT WATER
(A) Primacy of Master Water Contract. The obligations of the District under this
Contract and the obligations of the District under each and every Like-Contract with the Other
Participants, shall be subj ect to the provisions of the Master Water Contract and should the
provisions of the Master Water Contract restrict, impair or prohibit the District from the
performance of any or all of the District's obligations under this Contract and/or the Like-
Contracts with the Other Participants, then the District shall, to the extent that the District is so
restricted, impaired or prohibited, be relieved of its said performance obligations to the
Participant under this Contract. _ This Contract does not create in the Participant any right, rights
or interest in or to the Master Water Contract. The Participant has been provided with a copy of
the Master Water Contract for review. On advice of counsel, the Participant has reviewed the
Master Water Contract and determined that the terms of the Master Water Contract do not
conflict with the terms of this Contract or the Participant's obligations hereunder.
45471069.2
13
,
"
(B) Prior-Commitment Water. No part of the Prior-Commitment Water shall be used
by the District to satisfY any of the District's obligations under this Contract with the Participant,
Like-Contracts with Other Participants or the District's agreements with Reserve Water
Customers or third parties.
ARTICLE 6:
DELIVERY ENTITLEMENT
(A) Amount of Deliver v Entitlement. Subject to the provisions of Article 14(0), and
so long as water is made available to the District under the Master Water Contract, the District
shall make available to the Participant, in each Water Year, the Delivery Entitlement of WRITE
IN WORDS THE VOLUME OF WATER ( INSERT NUMBER) acre-feet of Nacimiento
Project Water. Notwithstanding the foregoing:
(1) The Total Delivery Entitlement Obligation available under this Contract
and under the Like-Contracts with the Other Participants may be reduced, following
written notice given to the Participant from the District, for any of the conditions or
reasons set forth in Articles 13, 14 and 15 hereof; and
(2) Under this Contract and all Like-Contracts, the District shall not be
obligated to deliver to the Participant or to any Other Participants, nor shall said
Participants have any rights in or to, any of the District's Prior-Commitment Water.
(B) Limit on Rate of Deliveries of Water to Participant. In no event shall the District
be obligated to deliver the Delivery Entitlement and/or Surplus Water through any delivery
structure of the Nacimiento Facilities at a total combined instantaneous rate of flow exceeding
cubic feet per second. The maximum amount of said water to be delivered by the
District to the Participant from the Nacimiento Facilities in anyone month of any year shall not
exceed _ acre-feet. While the District is not required to deliver more than _ acre-feet of
water to the Participant in anyone month of any year, and while the District is not obligated to
deliver the Delivery Entitlement and/or Surplus Water through any delivery structure of the
Nacimiento Facilities at a total combined instantaneous rate of flow exceeding _ cubic feet
per second, in the event deliveries required to be made by the District to the Other Participants
do permit a higher monthly rate of delivery to the Participant, then the District shall have the
discretion temporarily to exceed the maximum monthly deliveries provided for herein.
In the event that the Participant shall desire to have the Nacimiento Project constructed in
such a manner as to allow the District to deliver the Delivery Entitlement through any delivery
structure of the Nacimiento Project at a total combined instantaneous rate of flow exceeding
_ cubic feet per second, the Participant shall notifY the District in writing prior to the time
that the District shall have completed the final design of the Nacimiento Project. At the time the
District receives said request, the District shall determine the additional costs of the Nacimiento
Project which are attributable to the Participant's desired increased rate of flow. The
Commission shall review the District's determination of the aforesaid additional costs and report
the additional costs to the Participant. The Participant agrees that the Participant shall be solely
responsible for and shall pay to the District the additional costs of construction of the Nacimiento
Project which are attributable to the increased rate of flow.
45471069.2
14
(C) No District Obligation to Deliver at Particular Head or Pressure. The District is
under no obligation to the Participant to deliver the Delivery Entitlement at any particular head
or pressure; however, the Nacimiento Project shall be designed to deliver water to the
Participant's turnout at a hydraulic grade line of feet.
(D) Participant's Right to Acauire Additional Deliverv Entitlement. To the extent that
the District has available Reserved Water, Participant shall have the right to apply to, and acquire
from, the District, additional delivery entitlement as provided for in Article 29 herein.
ARTICLE 7:
WATER YEAR DELIVERY AMOUNTS AND SCHEDULE
The amounts, times and rates of delivery of the Delivery Entitlement to the Participant
during any Water Year shall be in accordance with a water delivery schedule determined by the
District in the following manner:
(A) Preliminary Water Deliverv Schedule. On or before October 1 of each Calendar
Year, the Participant shall submit in writing to the District a preliminary water delivery schedule
which sets forth the amounts, rates and times of the conveyance and delivery of the Delivery
Entitlement as is desired by the Participant for each month of the next succeeding three (3) Water
Years.
(B) Coordination with Other Participant Preliminary Schedules. Upon receipt of the
Participant's preliminary water delivery schedule, the District will consider the Participant's
requested schedule, and the preliminary water delivery schedules submitted to the District by the
Other Participants, and, after consultation with the Participant, the District shall make such
modifications in the Participant's preliminary water delivery schedule as will allow the District
to schedule the amounts, times and rates of the conveyance and delivery of the Delivery
Entitlement, and those of the Other Participants, so that the requests of the respective Participants.
will match as closely as possible their respective requests but in a manner which is consistent
with the efficient and economical operation of the Nacimiento Facilities.
(C) Amendment of Schedules. The Participant's water delivery schedule may be
amended, from time to time, upon the written request of the Participant to the District, subject to
the pre-existing obligations of the District under the water delivery schedules of Other
Participants for the same period of time.
ARTICLE 8:
PLACE OF DELIVERY
(A) Place of Deliverv. All of the Delivery Entitlement and all Surplus Water
furnished to the Participant shall be delivered to the Participant at Unit T4 (the "Place of
Delivery").
(B) Reauest for Change in Place of Deliverv during First Half of Design Phase. If the
Participant shall desire to change its Place of Delivery at any time prior to the time. that the
Design phase is half completed, the Participant may do so, provided, the Participant shall be
45471069.2
15
solely responsible for any and all costs of design, construction or operation attributable to the
change in Place of Delivery. No request during the Design Phase for a change in the place of
delivery will be granted if such change would cause a material delay in either the Design Phase
or the Construction Phase or would require the District to prepare an environmental impact
report.
(C) Request for Change in Place of Delivery at anv Time. If the Participant shall
desire at any time during the term of this Contract to change the Place of Delivery, or to request
an additional place(s) of delivery, the Participant may do so, provided, the new or additional
place of delivery will not interfere with, or restrict, or impair, the conveyance or delivery of the
delivery entitlement of any Other Participant and, provided that the Participant shall furnish to
the District all of the costs and expenses which the District shall incur in the acquisition and
construction of the new or additional place of delivery for the Participant.
ARTICLE 9:
MEASUREMENT OF DELIVERY ENTITLEMENT AND SURPLUS WATER
All of the Delivery Entitlement and all Surplus Water furnished to the Participant
pursuant to this Contract shall be measured by the District by means of the District's measuring
device(s) located at the place(s) of delivery established for the Participant under Article 8 of this
Contract. Upon the request of the Participant, the District shall investigate the accuracy of the
District's measurements, and the District, in writing, shall deliver the findings of the District to
the Participant. Any error discovered in the course of such an investigation shall be cause for an
adjustment in the amounts charged the Participant. The Participant may, at the Participant's
expense, and after reasonable notice to the District, inspect the District's measuring equipment
for the purpose of determining the accuracy of the equipment.
ARTICLE 10:
NO RESPONSIBILITY
After the Delivery Entitlement or any portion thereof, and/or after the Surplus Water or
any portion thereof, shall have passed the place(s) of delivery established for the Participant
under Article 8 of this Contract, neither the District nor its officers, agents or employees shall be
liable for the control, carriage, conveyance, handling, use, disposal, distribution or changes
'occurring in the quality or quantity of such water, or for any claim or damages of any nature
whatsoever, including, but not limited to, property damage or personal injury or death arising out
of or connected with the control, carriage, conveyance, handling, use, disposal, distribution or
changes occurring in the quality or quantity of such water beyond such place(s) of delivery. The
Participant shall defend, indemnify and hold harmless the District and its officers, agents and
employees from and against any such damages o~ claims of damage.
ARTICLE 11:
WATER QUALITY
When the District shall deliver the Delivery Entitlement and/or any Surplus Water to the
Participant from the Nacimiento Project Water, said water shall be at a quality that is
45471069.2
16
substantially the same as the quality of said water at the time it was taken from the Nacimiento
Reservoir by the District. The District shall assume no further or additional responsibility for the
quality of the water delivered to the Participant under this Contract and the District does not
warrant the quality of any such water for any particular use. The Participant shall be responsible
for the treatment of all such water to the minimum water quality standards for water for domestic
use as may be established from time to time by the State of California and/or by the federal
government and the Participant shall defend, indemnify and hold harmless the District from and
against any and all claims, damages, costs, expenses, judgments, attorney fees or other liability
to any person or entity asserting that said water does not meet or has not met said domestic use
water quality standards.
ARTICLE 12:
SURPLUS WATER
(A) District Determination of Amount of Surplus Water; Reserve Pool; Turn-Back.
The District shall notify All Participants of the total amount of Surplus Water, if any, available
for a Water Year on or about the first day of the then-current Water Year, and once so declared
by the District, said amount shall not be changed without first obtaining the consent of All
Participants. Surplus Water purchased by the Participant will be delivered to the Participant in
the same m3lll1er provided for the delivery of the Participant's Delivery Entitlement and to the
extent that all of said Surplus Water purchased is not in fact taken by the Participant by the end
of the Water Year in question, then such undelivered amount of Surplus Water shall revert to the
District and shall not thereafter be available to the Participant.
(B) Sale of Surplus Water bv District; Rates. From the Surplus Water held by the
District, the District shall first sell any and all of the Reserve Pool Water portion of the Surplus
Water. No Turn-Back Pool Water shall be sold by the District so long as any Reserve Pool
Water remains unsold.
(I) Sale of Reserve Pool Water. The District shall offer the Reserve Pool
Water to the Participant and to Other Participants pro rata in proportion to their respective
Delivery Entitlement Share and Other Delivery Entitlement Shares. Any amounts of
Reserve Pool Water not purchased by an Other Participant shall be re-offered to the
Participant, if it purchased its pro rata share of Reserve Pool Water, and the Other
Participants purchasing Reserve Pool Water pro rata according to their respective
Delivery Entitlement Share and Other Delivery Entitlement Shares until all of the
Reserve Pool Water has been sold.
(a) Price for Reserve Pool Water. For Reserve Pool Water, the
Participant shall pay to the District the sum of the following:
(1) The portion of the Operation and Maintenance Costs
attributable to the Reserve Pool Water and incurred by the District in the
immediately preceding Water Year per acre-foot; plus
45471069.2
17
(2) The Variable Energy Costs incurred by the District for the
delivery of the Reserve Pool Water as calculated in Article 16(C)(2)
hereof.
(b) Revenues from Sale of Reserve Pool Water. All revenues derived
by the District from the sale of Reserve Pool Water shall be applied as a credit
against the obligations of the Participant and the Other Participants in proportion
to the Delivery Entitlement Share and the Other Delivery Entitlement Shares of
the Participant and the Other Participants, respectively.
(2) Sale of Turn-Back Pool Water. The District shall offer the Turn-Back
Pool Water to the Participant and to the Other Participants pro rata in proportion to their
Delivery Entitlement Share and Other Delivery Entitlement Shares, respectively.
(a) Price for Turn-Back Pool Water. For the Turn-Back Pool Water,
the Participant shall pay to the District the sum of the following:
(I) The average of the Operation and Maintenance Costs
incurred by the District in the immediately preceding Water Year per acre-
foot for the delivery of the Delivery Entitlement and the Other Delivery
Entitlements to the Participant and to the Other Participants, respectively;
plus
(2) The Variable Energy Costs incurred by the District for the
delivery of the Turn-Back Pool Water as calculated in Article 16(C)(2)
hereof.
(b) Revenues from Sale of Turn-Back Pool Water. All revenues
derived by the District from the sale of Turn-Back Pool Water shall be applied as
a credit against the obligations of those Participants contributing to the Turn-Back
Pool Water and in the proportion to the amount each Participant contributes to the
Turn-Back Pool Water in the Water Year, if at all.
(C) If the Participant shall commit in writing to purchase such Surplus Water from the
District, the Participant shall be obligated to pay for such Surplus Water, whether or not the
Participant accepts delivery of the Surplus Water, so long as such Surplus Water was available
for the period in question. Neither the Participant nor any Other Participant shall resell Surplus
Water on a wholesale basis at any time to persons or entities not a party to this Contract or to
Like-Contracts, without the prior written consent of the District and all Other Participants;
provided, however, that this provision is not intended to limit the sales of Surplus Water to the
end customers of the Participant.
(D) The District may offer to sell and deliver any Surplus Water not purchased by the
Participant or the Other Participants to any other prospective purchaser without right of renewal,
in a manner and at prices which will return to the District the largest Net Revenue practicable for
the benefit of the Nacimiento Facilities, but in no event at prices less than those at which such
Surplus Water is offered to the Participant, unless the Participant is first tendered such Surplus
Water by the District at the lower price in writing, and in each case, attempting to recapture the
I'
I
I
45471069.2
18
Operation and Maintenance Costs, the Variable Energy Costs and the Capital Projects
Installment Debt Service attributable to the volume of Swplus Water actually purchased by such
third parties, at the highest price the market will then bear.
ARTICLE 13:
CURTAILMENT OF DELIVERY
The District may temporarily discontinue or reduce the amount of Nacimiento Project
Water to be furnished to the Participant during such time as the District is maintaining, repairing,
replacing, investigating, or inspecting any of the portions of the Nacimiento Facilities necessary
for the furnishing of water to the Participant. Insofar as it is feasible, the District shall give the
Participant notice in advance of any such temporary discontinuance or reduction, except in the
case of emergency, in which case no notice need be given. In the event of such discontinuance
or reduction, the District will upon resumption of service, deliver, as nearly as may be feasible,
the quantity of Nacimiento Project Water which would have been furnished to the Participant in
the absence of such discontinuance or reduction. Notwithstanding the foregoing, under no
circumstances shall the Participant be relieved of any obligation to make Contract Payments as a
result of such temporary discontinuance or reduction of Nacimiento Project Water.
ARTICLE 14:
NACIMIENTO PROJECT WATER SHORTAGES
(A) Temporarv Shortages. In any Water Year in which there may occur a shortage or
interruption due to drought or other temporary cause in the supply of the Nacimiento Reservoir
Water available for delivery by the District to the Participant, to the Other Participants and/or to
the Reserve Water Customers, with the result that the amount of such supply is less than the total
of: (i) the Delivery Entitlement and (ii) the Other Delivery Entitlements, plus (iii) the amount of
the District's obligations to the Reserve Water Customers for that Water Year, the District shall
calculate the amount of said reduced supply of water available to the District for use as
Nacimiento Project Water and shall apportion the reduced supply of water as follows:
(I) Subject to the provisions of paragraph (0) below, from the reduced
amount of Nacimiento Reservoir Water available to the District under the Master Water
Contract in the Water Year in question, the District will subtract One Thousand Seven
Hundred Fifty (1,750) Acre-Feet of the Prior-Commitment Water and the result shall be
the reduced supply of Nacimiento Reservoir Water available to the District for use as
Nacimiento Project Water under this Contract and under the Like-Contracts with Other
Participants, and for the District's obligations to Reserve Water Customers; and
(2) For the Water Year in question, the District shall first apply the said
reduced supply of Nacimiento Project Water to satisfy the Delivery Entitlement and the
Other Delivery Entitlements, and then, to the satisfaction of the District's obligations to
Reserve Water Customers. In the event that the said reduced supply of Nacimiento
Project Water is insufficient to meet, in full, the Delivery Entitlement and the Other
Delivery Entitlements, then the District (i) shall make no deliveries to Reserved Water
Customers for that Water Year, and (ii) shall reduce the delivery of water to All
45471069.2
19
Participants pro rata according to the Delivery Entitlement Share or Other Delivery
Entitlement Shares of the Participant and each Other Participant, respectively. In the
event that said reduced supply of Nacimiento Project Water is sufficient to meet the
Delivery Entitlement and the Other Delivery Entitlements, but not the full amount then
due to Reserve Water Customers, the District shall reduce the delivery of Reserve Water
among the Reserve Water Customers pro rata, according to the amounts they have
contracted for during the Water Year in question.
(B) Permanent Shortages. In the event that there is a reduction in the supply of
Nacimiento Reservoir Water provided to the District under the Master Water Contract, which
notwithstanding the preventative or remedial measures taken by the Monterey Water Agency,
threatens or causes a permanent shortage in the amount of Nacimiento Reservoir Water available
to the District under the Master Water Contract, with the result that the District concludes such
supply will, for an indefinite period extending beyond the current Water Year, be less than
Seventeen Thousand Five Hundred (17,500) Acre-Feet, the District shall calculate and apportion
the permanently reduced supply of water as follows:
(1) Subject to the provisions of paragraph (D) below, from the reduced supply
of Nacimiento Reservoir Water available to the District under the Master Water Contract,
the District will subtract One Thousand Seven Hundred Fifty (1,750) Acre-Feet of Prior-
Commitment Water and the result shall be the amount of Nacimiento Reservoir Water
available to the District for use as the reduced Nacimiento Project Water under this
Contract, the Like-Contracts with Other Participants and for the District's obligations to
Reserve Water Customers; and
(2) For future Water Years, the District shall first apply the reduced supply of
Nacimiento Project Water to satisfy the District's obligations to the Participant under this
Contract and to the Other Participants under Like-Contracts, and then to the satisfaction
of the District's obligations to Reserve Water Customers. In the event that the reduced
Nacimiento Project Water is insufficient to meet, in full, the District's obligations to the
Participant under this Contract and to the Other Participants under the Like-Contracts, the
District shall permanently reduce the delivery of water to All Participants pro rata, in
proportion to the Participant's Delivery Entitlement Share and the Other Participants'.
Other Delivery Entitlement Shares. In the event that the reduced Nacimiento Project
Water is sufficient to meet the District's obligations to All Participants under this
Contract and the Like-Contracts, but not the full amount then due to Reserve Water
Customers then the District shall reduce the delivery of Reserve Water to Reserve
Customers pro rata, according to the amounts contracted for during the most recent Water
Year completed.
(3) In the event and to the extent that the permanent shortage is ameliorated
and some or all of the reduced Nacimiento Reservoir Water is later restored to the
District, the restored amount of water shall be allocated to the Participant and the Other
Participants in proportion to the Delivery Entitlement Share and the Other Delivery
Entitlement Shares, respectively.
4547\ 069.2
20
(C) No Liability for Shortages. Neither the District nor any of its officers, agents, or
employees shall be liable for any damage, direct or indirect, arising from shortages in the amount
of Nacimiento Project Water to be made available to the Participant under this Contract caused
by the non-availability of water to the District under the Master Water Contract or caused by
drought, operation of the Nacimiento Reservoir, operation of area of origin laws, or any other
cause beyond the control of the District.
(0) Eauitable Sharing of Shortages with Prior-Commitment Water. To the extent that
the District is able to do so under the District's contractual obligations to the persons and entities
entitled to Prior-Commitment Water, the District will, during times of shortage, endeavor to
reduce the amounts of Prior-Commitment Water extracted from the District's 17,500 acre-feet of
water from the Nacimiento Reservoir in proportion to the ratio of 1,750 to 17,500.
ARTICLE 15:
LIMITATIONS ON OBLIGATION TO FURNISH WATER
(A) Limited District Obligations. Notwithstanding any provisions of this Contract to
the contrary, the obligation of the District to furnish Nacimiento Project Water hereunder shall
be limited to the times and to the extent that water from the Nacimiento Reservoir and the
facilities necessary for furnishing the same are available to the District pursuant to the Master
Water Contract.
(B) District Not Liable for Monterev Water Agencv Failure to Perform Master Water
Contract. The District shall not be liable for its failure to perform any part of this Contract to the
extent that such failure is caused by the wrongful failure of the Monterey Water Agency to
perform any obligation imposed on the Monterey Water Agency by the Master Water Contract;
provided, that the District shall diligently and promptly pursue all rights and remedies available
to the District to enforce the rights of the District against the Monterey Water Agency under the
Master Water Contract relative to such failure to perform and provided further, that the costs and
expenses incurred by the District in the enforcement or attempted enforcement of said rights
under the Master Water Contract shall be considered to be a part of the Operation and
Maintenance Costs under this Contract.
ARTICLE 16:
OBLIGATIONS FOR NACIMIENTO PROJECT COSTS
(A) Participant's Obligations to Pav. The Participant shall pay its Contract Payments
to the District, in the manner provided below
(B) District's Determination of Nacimiento Proiect Costs for each Fiscal Year. On or
before April I of each Calendar Year, the District shall estimate the new or additional
Nacimiento Project Costs for the Fiscal Year commencing on the immediately following July 1
and the result shall comprise the Total Participant Contract Payments due, collectively, from the
Participant hereunder and from the Other Participants under their respective Like-Contracts for
the said Fiscal Year. Nacimiento Project Costs shall include:
(1)
Nacimiento Project Construction Costs;
45471069.2
21
(2) Additional Capital Project Costs;
(3) Capital Projects Installment Debt Service;
(4) Master Water Contract Costs incurred following the first date upon which
an allocation of ad valorem property taxes under Article 17(B)(5);
(5) Capital Reserve Costs;
(6) Operation and Maintenance Costs;
(7) Variable Energy Costs;
(8) Reserved Capacity Costs;
(9) Environmental mitigation costs; and
(10) Other annual or incidental costs associated with the Nacimiento Facilities.
(C) District's Allocation of District's Nacimiento Proiect Costs. Nacimiento Project
Costs shall be allocated by the District among the Participant and all Other Participants as
follows:
(1) The District shall allocate Capital Reserve Costs and Operation and
Maintenance Costs to the Participant on the basis of the Unit Percentage Share of Capital
Reserve Costs and Operation and Maintenance Costs attributable to the Units used by the
District to deliver the Delivery Entitlement to the Participant. As of the date of execution
of this Contract, there is apportioned to the Participant the following proportional share of
the said costs (expressed as a percentage) for each of the Units used to deliver water to
the Participant:
Proiect Segment
Systemwide Operating Cost
Unit No. A
Unit No. Al
Unit No. B
Unit No. C
Unit No. CI
Unit No. D
Unit No. E
Unit No. F
Unit No. FI
Unit No. F2
Unit No. G
Unit No. Gl
Unit No. G2
Unit No. H
Unit No. HI
Unit No. T4
45471069.2
Participant's Unit Percentage Share
xx.xxx%
xx. xxx
xx. xxx
xX.xxx
XX.xxx
xX.xxx
xX.xxx
xx. xxx
xx.xxx
XX.xxx
XX.xxx
xX.xxx
xX.xxx
xX.xxx
xx. xxx
xx.xxx
100.000
22
The Participant shall pay such amounts allocated to the Participant under this paragraph
in the manner provided for in Article l7(A)(1) and (2) below.
(2) For each Calendar Quarter, Variable Energy Costs shall be determined by
the District and shall be allocated to the Participant and to the Other Participants as
follows:
(a) Variable Energy Costs for the Calendar Quarter in question shall
be divided by the total acre-feet of Nacimiento Project Water delivered by the
District during such Calendar Quarter to the Participant and to all Other
Participants pursuant to this Contract and Like-Contracts; and,
(b) The result in subsection (a) shall be multiplied by the number of
acre-feet of Nacimiento Project Water delivered by the District to the Participant
during such Calendar Quarter, which result shall be allocated to the Participant.
The District shall notify the Participant in writing of the amount of Variable
Energy Costs allocated to the Participant by a date no later than the forty-fifth
(45th) day following the end of each Calendar Quarter for the variable costs
attributable to the Calendar Quarter most recently concluded. The Participant
shall pay such amounts allocated to the Participant under this paragraph in the
manner provided for in Article 17(A)(3) below.
(3)
follows:
The District shall allocate Nacimiento Project Construction Costs as
The Nacimiento Project Construction Costs shall have three components:
(a) The costs attributable to environmental mitigation requirements
(the "Environmental Mitigation Construction Cost Component"). The
Environmental Mitigation Construction Cost Component shall be allocated pro
rata to the Participant and to the Other Participants on the basis of the Delivery
Entitlement Share and the Other Delivery Entitlement Shares, respectively. As of
the date of execution of this Contract, there is apportioned to the Participant
_ and XXX/lOOO percent (XX.XXX%) of the Environmental Mitigation
Construction Cost Component.
(b) The costs attributable to the District's Reserved Capacitv (the
"ReservedCapacitv Construction Cost Component"). The Reserved Capacity
Construction Cost Component shall be allocated pro rata to the Participant and to
the Other Participants on the basis of the Delivery Entitlement Share and the
Other Delivery Entitlement Shares, respectively. As of the Effective Date, there
is apportioned to the Participant _ and XXX/lOOO percent (XX.XXX%)of
the Reserved Capacity Construction Cost Component.
(c) The costs attributable to all other construction costs (the "All Other
Construction Costs Component"). The All Other Construction Costs Component
shall be allocated on a Unit Percentage Share basis. As of the date of execution of
45471069.2
23
this Contract, there is apportioned to the Participant the following proportional
share of All Other Construction Costs Components (expressed as a percentage)
for each ofthe Units used to deliver water to the Participant:
Proiect Segment
Participant's Unit Percentage Share
Unit No. A
Unit No. Al
Unit No. B
Unit No. C
Unit No. CI
Unit No. D
Unit No. E
Unit No. F
Unit No. FI
Unit No. F2
Unit No. G
Unit No. Gl
Unit No. G2
Unit No. H
Unit No. HI
Unit No. T4
xx.xxx%
xX.xxx
xX.xxx
xX.xxx
xX.xxx
xx.xxx
xx.xxx
xX.xxx
xX.xxx
xX.xxx
xX.xxx
XX.xxx
xX.xxx
xx.xxx
xX.xxx
100.000
The Participant shall pay such amounts allocated to the Participant under this
paragraph in the manner provided for in Article 17(A)(I) and (2) below.
(4) The District shall allocate Capital Projects Installment Debt Service
among All Participants, pro rata, according to the proportion of Nacimiento Project
Construction Costs paid by the Participant and the Other Participants, as they may be
adjusted for cash contributions under Article 17(B); provided, however, that the Capital
Projects Installment Debt Service shall further be allocated into a component representing
debt service on Tax-Exempt Obligations (the "Tax-Exempt Debt Service") and a
component representing the debt service on Taxable Obligations (the ''Taxable Debt
Service"). If the Participant is eligible to borrow on a tax-exempt basis under the Tax
Code, then the Participant and the Other Participants who are also so eligible shall be
allocated their pro rata shares of Tax-Exempt Debt Service; if the Participant is not
eligible to borrow on a tax-exempt basis under the Tax Code, then the Participant and any
Other Participants who are also ineligible to so borrow shall be allocated their pro rata
shares of Taxable Debt Service.
(5) The District shall allocate all other Nacimiento Project Costs not otherwise
provided for above, including Master Water Contract Costs, to the Participant and to all
of the Other Participants pro rata on the basis of the Delivery Entitlement Share for the
Participant and the Other Delivery Entitlement Shares for the Other Participants. As of
the date of execution of this Contract, there is apportioned to the Participant _ and
XXX/1000 percent (XX.XXX%) of the District's said remaining costs, including the
45471069.2
24
Required Additional Project Costs and Master Water Contract Costs. The Participant
shall pay such amounts allocated to the Participant under this paragraph in the manner
provided for in Article 17(A)(4) below.
(6) The foregoing allocations shall be calculated by the District each Fiscal
Year for the Participant and for each Other Participant and the calculations of said
allocations shall be made available to the Participant.
(7) No more frequently than annually, the District shall retain a CPA with the
approval of the Commission. The CPA shall be responsible for reviewing and
confirming the District's allocation of the Participant's portion of Nacimiento Project
Costs and reporting the same to the Participant, the District and each Other Participant.
(8) The obligations of the Participant, if any, for any Approved Additional
Project will be established at the time of and by the agreement for each such Approved
Additional Project.
ARTICLE 17:
CONTRACT PAYMENTS
(A) Time and Amount of Contract Payments. Except as established under Paragraph
(C) below as to Capital Projects Installment Debt Service, the Contract Payments to the District
shall commence no later than the first Fiscal Year during which the Delivery Entitlement is made
available to the Participant hereunder, and in any event, promptly following receipt by the
Participant of an invoice from the District. The Contract Payments shall be determined by the
District as provided in Article 16 of this Contract and shall be paid by the Participant to the
District in accordance with the further provisions of this Article, except and to the extent the
Participant shall, in accordance with paragraph (B) below, be entitled to an offsetting credit.
(1) On or before July 1 of each Fiscal Year, the Participant shall pay a sum
equal to sixty percent (60%) of the Participant's Allocation of Capital Reserve Costs, and
Operation and Maintenance Costs as calculated and allocated under Article 16(C)(I)
above; and
(2) On the immediately following January I within each Fiscal Year, the
Participant shall pay a sum equal to forty percent (40%) of the Participant's Allocation of
Capital Reserve Costs and Operation and Maintenance Costs as calculated and allocated
under Article 16(C)(I) above; and
(3) On or before the thirtieth (30th) day following its receipt of an invoice
from the District under Article 16(C)(2), the Participant shall pay Variable Energy Costs
as calculated and allocated under Article 16(C)(2) above, for the Calendar Quarter most
recently concluded; and
(4) On or before July I of each Fiscal Year, the Participant shall pay a sum
equal to the Participant's Allocation of Capital Projects Installment Debt Service as
calculated and allocated under Article 16(C)(3) above.
45471069.2
25
(5) On or before July 1 of each Fiscal Year, the Participant shall pay a sum
equal to the Participant's allocation of remaining Nacimiento Project Costs, including
Additional Capital Project Costs and Master Water Contract Costs as calculated and
allocated under Article l6(C)(4) above.
(B) Participant Credits against Contract Pavrnents. The following shall constitute
credits against the Contract Payments to the District:
(1) If, prior to the date upon which the District causes the Municipal
Obligations to be sold, the Participant shall contribute to the District, in cash, a sum as
and for the Participant's Capital Share of the District's estimate of the Total Nacimiento
Project Construction Costs, or any portion of the Participant's Capital Share of said
construction costs, then the amount of Capital Projects Installment Debt Service allocated
to the Participant under Article l6(C)(3) above shall be reduced accordingly, but in no
event to less than zero; and
(2) If the Participant shall, following the date of delivery of the Municipal
Obligations, successfully implement a financing plan within its jurisdiction to fund all or
a portion of the Participant's Contract Payments, during the term of the Municipal
Obligations, by means of a levy of ad valorem property taxes, special assessments or
special taxes, then all or a portion of the amount of Capital Projects Installment Debt
Service to be allocated to the Participant under Article l6(C)(3) above, shall be credited
to the Participant from amounts paid under such levy as though such amounts were paid
directly by the Participant hereunder, subject to the prior approval of each rating agency
then rating the Municipal Obligations and any bond insurer then providing insurance
therefor; provided however, that, to the extent legally permissible, the District shall be
made a third-party beneficiary of any pledge of such alternate source of revenues, with
the power to enforce collection thereof, in the event that the Participant should fail to do
so; and .
(3) The Participant shall be entitled to a credit against the Participant's
obligations to the District hereunder in the form of a share of the Net Revenues the
District shall have received during the Fiscal Year in question. In determining the
amount of such credits against the obligations of the Participant hereunder, the District
shall apportion the District's net revenues from the foregoing sources; (i) first, against the
obligations allocated to the Participant and to the Other Participants for the Reserved
Capacity Construction Cost Component and in the same amount as the percentage
allocation set forth for the Participant in Article 16(C)(3)(a) herein, and then (ii) against
the obligations allocated to the Participant and to the Other Participants for the All Other
Construction Costs Component and in the same amount as the percentage allocation set
forth for the Participant in Article 16(C)(3)(c) herein.
(4) On or before December 1 of each year, the District shall deliver to the
Participant a statement as to the actual Operation and Maintenance Costs and Capital
Reserve charges incurred or imposed during the Fiscal Year most recently concluded, and
shall set forth in such statement the District's determination as to whether the Contract
Payments theretofore paid by the Participant were in excess of or less than the
45471069.2
26
Participant's allocated share of the actual costs incurred by the District for said items. If
the Participant shall have paid less than the Participant's actual Unit Percentage Share for
said items for such Fiscal Year, the Participant shall remit the difference to the District
within one hundred eighty (180) days of the date upon which the Participant receives
such a statement from the District. If the Participant shall have paid more than the
Participant's actual Unit Percentage Share for such items for such Fiscal Year, the
District shall credit the difference against the Participant's future Contract Payments to
the District.
(5) If, in any Fiscal Year, the Nacimiento Water Fund of the District receives
its allocated portion of the ad valorem taxes levied on the real property within the County
of San Luis Obispo under the authority of Article XIIIA, Section l(a) of the California
Constitution, then the District shall apply said apportioned amount received by the
District to the reduction of Reserved Capacity Construction Cost Component and the
District shall continue to do so in each Fiscal Year in which the District receives-such
apportioned amounts up to and until the said Reserved Capacity Construction Cost
Component is paid. The District shall credit to the Participant the Unit Percentage Share
of said apportioned tax proceeds received by the Nacimiento Water Fund of the District,
less any amounts (i) which the District is obligated to pay under the terms of the Master
Water Contract and/or (ii) any amounts which are not received or retained by the District
because of the operation of the Community Redevelopment Law (California Health and
Safety Code Sections 33000 et seq.) or any other applicable law.
(C) Particioant's Election Regarding Caoitalized Interest. The District and the
Participant understand and agree that the Participant's share of Capital Projects Installment Debt
Service will be lower in the event that the Municipal Obligations attributable to the Participant
are marketed and sold without capitalized interest. Accordingly, each Participant shall be
entitled, by delivering written notice to the District no later than three (3) business days prior to
the pricing of any Municipal Obligations issued, to elect to commence making its portion of
Capital Projects Installment Debt Service during the first Bond Year as defined in that certain
Indenture of Trust by and between SLO County Financing Authority and BNY Western Trust
Company to be entered into in connection with the issuance of the Municipal Obligations,
without regard to the date upon which delivery of Nacimiento Project Water is first made to the
Participant. If no such election is received from the Participant, the District shall be entitled to
include a capitalized interest component in the Municipal Obligations attributable to the
Participant, to apportion said capitalized interest to the Participarit and to include the costs of
same in the Participant's portion of Capital Projects Installment Debt Service.
ARTICLE 18:
USE OF TOTAL PARTICIPANT CONTRACT PAYMENTS
During the term of this Contract and the Like-Contracts with Other Participants, the
District shall proceed with due diligence to collect Total Participant Contract Payments as and
when due, and shall deposit amounts collected into the Participant Revenue Fund promptly upon
receipt, and shall apply all other amounts comprising Total Participant Contract Payments in the
following order of priority:
45471069.2
27
(A) To the payment of Master Water Contract Costs;
(B) To the payment of Operation and Maintenance Costs;
(C) To the payment of V ariable Energy Costs;
(D) To the payment of Additional Capital Project Costs; and
(E) . To the replenishment of Capital Reserves for the Nacimiento Project.
ARTICLE 19:
OBLIGATION TO "TAKE-OR-PAY"
Neither the Participant's failure or refusal to accept delivery of water from the
Nacimiento Facilities to which the Participant is entitled under this Contract nor the District's
failure to deliver said water shall in any way relieve the Participant of its obligations to make
payments to the District as provided for herein. Commencing on the first date that debt service
payments are due under the Municipal Obligations provided for herein, the Participant shall pay
all amounts due hereunder, including, without limitation, those due under Article 17 hereof,
without reduction or offset of any kind, whether or not the Nacimiento Facilities or any part
thereof is then operating' or operable or its service is suspended, interfered with, reduced or
curtailed or terminated in whole or in part, due to any of the reasons set forth in Articles 6(A),
13, 14 and 15, or otherwise, and such Participant's Contract Payments shall not be conditional
upon the perfonnance or nonperformance by any party to this Contract, or to the Like-Contracts,
for any cause whatsoever; provided, however, that any savings from non-operation of the
Nacimiento Facilities shall be apportioned among the Participant and the Other Participants in
accordance with their respective percentages of the Participant's and each Other Participant's
Unit Percentage Share.
The Participant's obligations to make Contract Payments and other payments required to
be made hereunder are incurred by the Participant for the benefit of future holders of Municipal
Obligations, and shall be absolute and unconditional. Such payments shall be absolutely net,
free of any deductions, and are not subject to any reduction, whether by offset, recoupment,
counterclaim or others. The Participant shall make all such payments notwithstanding the
occurrence of any act or circumstances that may constitute failure of consideration, destruction
of or damage to the Nacimiento Facilities, commercial frustration of purpose, any change in the
tax or other laws of the United States of America or of the State of California, or any political
subdivision or either of these.
ARTICLE 20:
PARTICIPANT'S PLEDGE AND COVENANTS
The Participant, unless it shall have paid cash as the Participant's portion of the Total
Nacimiento Project Construction Costs as provided in Article 16 hereof, hereby pledges the gross
water sales revenues of the Participant's Water Enterprise to the Participant's obligations under
this Contract, and covenants and agrees to establish, fix and collect rates and charges from the
45471069.2
28
customers of Participant's Water Enterprise at levels sufficient to produce revenues from the
Participant's Water Enterprise which are at least equal to:
(A) The costs of operating and maintaining the Participant's Water Enterprise; plus
(B) The Contract Payments, calculated in accordance with Article 16 hereof,
including the amounts allocated to the Participant as the Participant's share of Capital Projects
Installment Debt Service under Article 16(C)(3) hereof; plus
(C) The Coverage Factor for the amounts allocated to the Participant as the
Participant's share of Capital Projects Installment Debt Service under Article l6(C)(3) hereof;
and
(D) Under certain circumstances, that the Participant understands and agrees that the
provisions of Article 25(B) hereof may impose upon the Participant a surcharge following the
occurrence of any payment default by the Participant.
ARTICLE 21:
WATER ENTERPRISE OPERATION AND MAINTENANCE
(A) No Sale. Lease or Disposing of Participant's Water Enterorise. The Participant
covenants and agrees not to sell, lease or otherwise dispose of its Water Enterprise or any part
thereof essential to the proper operation thereof or to the earning or collection of the gross
revenues of the Participant's Water Enterprise, nor to enter into any agreement or lease which
would impair the operation of the Participant's Water Enterprise, or any part thereof necessary in
order to secure adequate revenues for the payment of amounts due under this Contract; provided,
however, that any real or personal property which has become nonfunctional or obsolete or
which is not needed for the efficient operation of the Participant's Water Enterprise may be sold
or disposed of if such disposition will not have the effect of reducing revenues of the
Participant's Water Enterprise below the levels required under this Contract.
(B) Participant to Maintain Participant's Water Enterorise. The Participant covenants
and agrees to maintain and preserve the Participant's Water Enterprise in good repair and
working order at all times, to operate the same in an efficient and economical manner and to pay
all operation and maintenance costs of the Participant's Water Enterprise as they become due, all
in accordance with the best business judgment of the Participant.
(C) Participant's Budgets. The Participant covenants and agrees to adopt and deliver
a budget to the District approved by the Participant's governing body setting forth the amounts
budgeted to be paid under this Contract no later than the first day of each Fiscal Year.
(0) Participant's Covenants. The Participant covenants and agrees to comply with,
keep, observe and perform all agreements, conditions, covenants and terms, express or implied,
required to be performed by the Participant contained in all contracts for the use of the
Participant's Water Enterprise and all contracts affecting or involving the Participant's Water
Enterprise to the extent that the Participant is a party thereto.
45471069.2
29
(E) No Superior Liens or Pavrnents. The Participant covenants and agrees not to
create or allow any lien on or payment from the revenues of the Participant's Water Enterprise or
any part thereof prior to, or superior to, the Participant's obligations to amounts payable under
this Contract.
(F) Participant to Insure Water Enterprise. The Participant covenants and agrees to
procure and maintain insurance relating to the Participant's Water Enterprise which the
Participant shall deem advisable or necessary to protect its interests. Such insurance shall afford
protection in such amounts and against such risks as are usually covered in connection with
similar water enterprises in the State of California; provided, that the Participant shall not be
required to procure or maintain any such insurance unless such insurance is commercially
available at reasonable cost; and provided further, that any such insurance may be maintained
under a self-insurance program, so long as such self-insurance program is maintained in
accordance with standards and in such amounts as are then usually maintained for similar water
enterprises in the State of California.
(G) Participant to Pay Obligations; Observe Laws. The Participant covenants and
agrees to pay and discharge all taxes, assessments and other govemmental charges which may
hereafter be lawfully imposed upon the Participant's Water Enterprise or any part thereof when
the same shall become due and to duly observe and conform to all valid regulations and
requirements of any governmental authority relative to the operation of the Participant's Water
Enterprise that are not being contested by the Participant in good faith.
(H) Eminent Domain. The Participant covenants and agrees that if all or any material
part of the Participant's Water Enterprise shall be taken by eminent domain proceedings, or if the
Participant receives any insurance proceeds resulting from a casualty loss to any material portion
of the Participant' s Water Enterprise, the proceeds thereof shall be used by the Participant to
construct or install replacements for the condemned or destroyed components of the Participant's
Water Enterprise or to prepay the Participant's share of Capital Projects Installment Debt Service
under Article 16(C)(3) ofthis Contract.
ARTICLE 22:
COVENANTS OF THE DISTRICT AND THE PARTICIPANT; SPECIAL TAX
COVENANTS
(A) Punctual Payment; Compliance with Documents. The District shall punctually
payor cause to be paid the interest and principal to becoine due with respect to all of the
Municipal Obligations, but solely from amounts paid to the District under this Contract and the
Like-Contracts, and the Participant shall punctually payor cause to be paid the Capital Projects
Installment Debt Service, in strict conformity with the terms of the Municipal Obligations, this
Contract and the Legal Documents and will faithfully observe and perform all of the conditions,
covenants and requirements of this Contract and the Legal Documents including any and all
supplements thereto.
(B) Extension of Payment of Municipal Obligations. Neither the District nor the
Participant shall directly or indirectly extend or assent to the extension of the maturity of any of
the Municipal Obligations or the time of payment of any claims for interest by the purchaser or
45471069.2
30
owner of such Municipal Obligations or by any other arrangement, and in case the maturity of
any of the Municipal Obligations or the time of payment of any such claims for interest shall be
extended, such Municipal Obligations or claims for interest shall not be entitled, in case of any
default under the Legal Documents, to the benefits of this Contract, except subject to the prior
payment in full of the principal of all of the Municipal Obligations then outstanding and of all
claims for interest thereon which shall not have been so extended. Nothing in this Article shall
be deemed to limit the right of the District to issue obligations or cause obligations to be issued
for the purpose of refunding any outstanding Municipal Obligations, and such issuance shall not
be deemed to constitute an extension of maturity of the affected Municipal Obligations.
(C) Against Encumbrances. Neither the District nor the Participant shall create, or
permit the creation of, any pledge, lien, charge or other encumbrance upon the revenues and
other assets pledged under this Contract while any of the Municipal Obligations are outstanding,
except the pledge created by the Legal Documents and this Contract, any Additional Debt and
any pledge, lien, charge or other encumbrance which is subordinate to the obligations under this
Contract. Subject to this limitation, the District expressly reserves the right to enter into one or
more indentures or trust agreements for any of its corporate purposes, and reserves the right to
issue other obligations or cause them to be issued for such purposes.
(0) Covenants to Maintain Tax-Exempt Status of Tax-Exempt Obligations. In the
event that any Tax-Exempt Obligations attributable in whole or in part, to the Participant are
issued and outstanding, the Participant covenants and agrees as follows:
(1) Definitions. When used in this Section, the following terms have the
following meanings:
"Bond Counsel" means Fulbright & Jaworski L.L.P.
"Bond Year" means the period of one year established in the Legal
Documents, during which the Tax-Exempt Obligations are outstanding, for
purposes of the Code; provided, that either the first Bond Year or the final Bond
Year may be a period shorter then twelve calendar months.
"Code" means the Internal Revenue Code of 1986 as in effect on the date
of issuance of the Tax-Exempt Obligations or (except as otherwise referenced.
herein) as it may be amended to apply to obligations issued on the date of
issuance of the Tax-Exempt Obligations, together with applicable proposed,
temporary and final regulations promulgated, and applicable official public
guidance published, under the Code.
"Computation Date" has the meaning set forth in section 1.148-1(b) of the
Tax Regulations.
"Gross Proceeds" means any proceeds as defined in section 1.148-1 (b) of
the Tax Regulations, and any replacement proceeds as defined in
section 1.148-I(c) of the Tax Regulations, of the Tax-Exempt Obligations.
45471069.2
31
"Investment" has the meaning set forth in section 1.148-1 (b) of the Tax
Regulations. .
"NonOUfDose Investment" means any investment property, as defined in
section 148(b) of the Code, in which Gross Proceeds of Tax-Exempt Obligations
are invested and that is not acquired to carry out the governmental purposes of
such Tax-Exempt Obligations.
"Rebate Amount" has the meaning set forth in section 1.148-1 (b) of the
Tax Regulations.
"Yield" of
(I) any Investment has the meaning set forth in section 1.148-5
of the Tax Regulations; and
(2) the Tax-Exempt Obligations has the meaning set forth in
section 1.148-4 of the Tax Regulations.
"Tax Regulations" means temporary and permanent regulations
promulgated under or with respect to section 103 of the Code.
(2) Not to Cause Interest to Become Taxable. Neither the Pistrict nor the
Participant shall use, permit the use of, or omit to use Gross Proceeds or any other
amounts (or any property, the acquisition, construction or improvement of which is to be
financed directly or indirectly with Gross Proceeds) in a manner that if made or omitted,
respectively, would cause the interest on any of the Tax-Exempt Obligations to become
includable in the gross income, as defined in section 61 of the Code, of the owner thereof
for federal income tax purposes. Without limiting the generality of the foregoing, unless
and until the Pistrict and the Participant receive a written opinion of Bond Counsel to the
effect that failure to comply with such covenant will not adversely affect the exclusion
from gross income for federal income tax purposes of the interest on any Tax-Exempt
Obligation, the Pistrict and the Participant shall comply with each of the specific
covenants in this Section.
(3) No Private Use or Private Pavrnents. Except as would not cause any
Tax-Exempt Obligation to become a "private activity bond" within the meaning of
section 141 of the Code and the Tax Regulations and rulings thereunder, the Pistrict and
the Participant shall at all times prior to the last maturity date of the Tax-Exempt
Obligations: .
(a) require that one or more state or local governmental agencies
exclusively own, operate and possess all property the acquisition, construction or
improvement of which is to be financed or refinanced directly or indirectly with
Gross Proceeds of the Tax-Exempt Obligations, and not use or permit the use of
such Gross Proceeds (including all contractual arrangements with terms different
than those applicable to the general public) or any property acquired, constructed
or improved with such Gross Proceeds in any activity carried on by any person or
45471069.2
32
entity (including the United States or any agency, department and instrumentality
thereof) other than a state or local government, unless such use is solely as a
member of the general public; and
(b) not permit the direct or indirect imposition of any charge or other
payment on or by any person or entity who is treated as using Gross Proceeds of
the Tax-Exempt Obligations or any property, the acquisition, construction or
improvement of which is to be fmanced or refinanced directly or indirectly with
such Gross Proceeds, other than taxes of general application within the boundaries
of the Participant or interest earned on investments acquired with such Gross
Proceeds pending application for their intended purposes.
(4) No Private Loan. Except as would not cause any Tax-Exempt Obligation
to become a "private activity bond" within the meaning of section 141 of the Code and
the Tax Regulations and rulings thereunder, neither the District nor the Participant shall
use or permit the use of the Gross Proceeds of the Tax-Exempt Obligations to make or
finance loans to any person or entity other than a state or local government. For purposes
of the foregoing covenant, such Gross Proceeds are considered to be "loaned" to a person
or entity if: (1) property acquired, constructed or improved with such Gross Proceeds is
sold or leased to such person or entity in a transaction that creates a debt for federal
income tax purposes; (2) capacity in or service from such property is committed to such
person or entity under a take-or-pay, output or similar contract or arrangement; or (3)
indirect benefits, or burdens and benefits of ownership, of such Gross Proceeds or any
property acquired, constructed or improved with such Gross Proceeds are otherwise
transferred in a transaction that is the economic equivalent of a loan.
(5) Not to Invest at Higher Yield. Except as would not cause the Tax-Exempt
Obligations to become "arbitrage bonds" within the meaning of section 148 of the Code
and the Tax Regulations and rulings thereunder, neither the District nor the Participant
shall at any time prior to the final maturity of the Tax-Exempt Obligations directly or
indirectly invest or permit the investment of Gross Proceeds in any Investment, if as a
result of such investment the Yield on Investments acquired with Gross Proceeds,
whether then held or previously disposed of, materially exceeds the Yield of the Tax-
Exempt Obligations within the meaning of said section 148. For purposes of this
paragraph, Yield on Investments shall be determined in accordance with the provisions of
section 1.148-5 of the Tax Regulations (which, under certain circumstances, requires
Yield to be determined on less than all such Investments).
(6) Not Federallv Guaranteed. Except to the extent permitted by
section 149(b) of the Code and the Tax Regulations and rulings thereunder, neither the
District nor the Participant shall take or omit to take, or permit, any action that would
cause any Tax-Exempt Obligations to be treated as "federally guaranteed" within the
meaning of section 149(b) of the Code and the Tax Regulations and rulings thereunder.
(7) Information Report. The District shall timely file or cause to be filed any
information required by section 149(e) of the Code with respect to the Tax-Exempt
45471069.2
33
Obligations with the Secretary of the Treasury on Form 8038-G or such other form and in
such place as the Secretary may prescribe.
(8) Rebate. Except to the extent otherwise provided in section l48(f) of the
Code and the Tax Regulations and rulings thereunder:
(a) The District shall account for all Gross Proceeds (including all
receipts, expenditures and investments thereof) on its books of account separately
and apart from all other funds (and receipts, expenditures and investments
thereof) and shaIl retain all records of accounting for at'least six years after the
day on which the last outstanding Tax-Exempt Obligation is retired. However, to
the extent permitted by law, the District may commingle Gross Proceeds of Tax-
Exempt Obligations with other money of the District, provided that the District
separately accounts for each receipt and expenditure of Gross Proceeds and the
obligations acquired therewith.
(b) Not less frequently than each Computation Date, the District shaIl
calculate or caused to be calculated the Rebate Amount in accordance with rules
set forth in section 148(f) of the Code and the Tax Regulations and rulings
thereunder, which calculation the District shaIl maintain with its official transcript
of proceedings relating to the issuance of the Tax-Exempt Obligations until six
years after the final Computation Date.
(c) In order to assure the excludability of the interest on Tax-Exempt
Obligations from the gross income of the owners thereof for federal income tax
purposes, the District shaIl make rebate payments at the times and in the amounts
as are or may be required by section 148(f) of the Code and the Tax Regulations
and rulings thereunder, which payments shaIl be accompanied by Form 8038- T or
such other forms and information as is or maybe required by section 148(f) of the
Code and the Tax Regulations and rulings thereunder; provided, however, that the
District and the Participant agree that liability of the District to make any such
payments shaIl be limited to amounts received by it for such purpose pursuant to
this Contract and the Like-Contracts.
(d) The District shaIl cause the exercise of reasonable diligence to
assure that no errors are made in the calculations and payments required by
paragraphs (2) and (3), and if an error is made, to discover and promptly correct
such error within a reasonable amount of time thereafter (and in all events within
one hundred eighty (180) days after discovery of the error), including payment to
the United States of any additional Rebate Amount owed to it, interest thereon,
and any penalty imposed under section 1.148-3(h) of the Tax Regulations.
(9) Not to Divert Arbitrage Profits. Except to the extent permitted by
section 148 of the Code and the Tax Regulations and rulings thereunder, the District shall
not enter into any transaction that reduces the amount required to be paid to the United
States pursuant to section 148(f) of the Code because such transaction results in a smaIler,
45471069,2
34
profit or a larger loss than would have resulted if the transaction had been at ann's length
and the Yield of the Tax-Exempt Obligations had been irrelevant to each party.
(10) Tax-Exempt Obligations Not Hedge Bonds. The District represents that
the Tax-Exempt Obligations will not be structured so as to comprise "hedge bonds"
within the meaning of section 149(g) of the Code.
(11) Elections. The Participant hereby directs and authorizes any authorized
representative of the District to make elections permitted or required pursuant to the
provisions of the Code or the Tax Regulations, as such authorized representative of the
District (after consultation with Bond Counsel) deems necessary or appropriate in
connection with the Tax-Exempt Obligations.
ARTICLE 23:
NO OUTSIDE SERVICE
Neither the Delivery Entitlement nor the Participant's Surplus Water, nor any portion of
either, shall be sold or delivered or otherwise disposed of by the Participant outside the
boundaries of the District.
ARTICLE 24:
FAILURE TO LEVY, SET OR COLLECT TAXES, RATES AND CHARGES;
ESTABLISHMENT OF COVERAGE ACCOUNT
(A) Participant's Failure to Establish Taxes. Rates and Charges; Establishing
Coverage Account. If the Participant for any reason shall fail or refuse to establish or levy taxes
or rates and charges sufficient to satisfy the requirements of Article 20 hereof, or if the
Participant shall be precluded from establishing rates and charges at the levels required by said
Article 20, then the Participant shall promptly notify the District of such fact in writing, and shall
establish a Coverage Account either with the District or with a Depository designated by the
Participant to the District in writing. The Participant shall deposit to the Coverage Account,
from the first lawfully available funds therefor, an amount equal to one year's Coverage Factor
for the amounts allocated to the Participant as the Participant's Capital Projects Installment Debt
Service share under Article 16(C)(3) hereof. The Coverage Account shall be invested in
accordance with applicable provisions of the Government Code, subject to any limitations
established pursuant to Section 148 of the Internal Revenue Code of 1986, as amended,
applicable to surplus moneys of the Participant and shall be made and remain available to the
Participant and to the District as a source of funds to remedy any failure of the Participant to
make its Contract Payments hereunder. The Coverage Account shall be pledged to the District
for the purposes described herein, and the Participant covenants and agrees to execute such
instruments as may be necessary in order to effect a pledge of amounts on deposit in the
Coverage Account, acknowledging and agreeing as well to follow the advice of special tax
counsel to the District in connection with the pledge and investment of the Coverage Account, as
may be necessary or advisable in order to maintain the tax status of the Tax-Exempt Obligations.
(B) Release of Coverage Account. If at any time following the establishment of the
Coverage Account hereunder, the Participant shall again be able to and does collect rates and
45471069.2
35
charges as required under Article 20 hereof, the Coverage Account may be released to the credit
and name of the Participant for any lawful purpose thereof, upon delivery to the District of
satisfactory evidence that (I) the Participant has successfully levied rates and charges for the
Participant's Water Enterprise at the appropriate levels for at least one full Fiscal or Water Year
since the Coverage Account was first created, and (2) the Participant is then current on all
payments due under this Contract; whereupon, the District shall either release the Coverage
Account to the Participant or shall direct the Depository to do so, free from the lien described
herein; subject, however to any contrary requirements of rating agencies or credit providers
providing security for any of the outstanding Municipal Obligations.
ARTICLE 25:
PARTICIPANT'S OBLIGATIONS SEVERAL AND NOT JOINT; STEP-UP
PROVISIONS AND REIMBURSEMENT
(A) Participant Not Responsible for Failures of Other Participants: Exception. Except
as provided in paragraph (B) of this Article, the Participant shall be solely responsible and liable
for performance under this Contract and shall not be responsible for any failures of any Other
Participant to perform such Other Participant's obligations under any other Like-Contract. The
obligations to the District to make payments under this Contract and under the other Like-
Contracts are expressly recognized by the District as several, and not joint, and no default on the
part of one, or more, of the Other Participants shall, in and of itself, create an event of default
under this Contract. The Coverage Account of the Participant, if any is established hereunder,
shall not be available for any failure of any Other Participant to make payments under any of the
other Like-Contracts between the District and the Other Participants, unless otherwise directed or
approved in writing by the Participant.
(B) Participant's "Step-Up" Obligations. If for any reason the Participant or any
Other Participant shall failto pay its share of Capital Projects Installment Debt Service hereunder
or under its Like-Contract, the amount of the resulting Debt Service Shortfall shall be paid,
collectively, by all Non-Delinquent Participants. If there is more than one Delinquent
Participant, the amount of the Debt Service Shortfall shall be the sum of the unpaid amounts for
each Delinquent Participant. When such a Debt Service Shortfall occurs, the Participant shall be
required to increase its Contract Payments for the particular Water Year by an amount equal to
its pro rata share of the Debt Service Shortfall; provided, however, that each Other Participant
who is not a Delinquent Participant shall be required by the Other Participant's Like-Contract to
also contribute to the Debt Service Shortfall so that the Participant, and all of the Other
Participants who are not Delinquent Participants, shall each contribute to the Debt Service
Shortfall in a proportion determined by dividing each said Non-Delinquent Participant's Capital
Projects Installment Debt Service share (under Article l6(C)(3) of this Contract and the Like-
Contracts) by the aggregate of all the Participant's Installment Debt Service shares of all Non-
Delinquent Participants, including the Participant; and provided further, that the Participant in no
event shall be required under this paragraph to contribute to the Debt Service Shortfall by an
amount in any Water Year exceeding the amount which is twenty-five percent (25%) of the share
of Capital Projects Installment Debt Service allocated to the Participant under Article 16(C)(3)
hereof.
45471069.2
36
(C) Rel'avrnent to Participant by Delinauent Participant(s). Ifpayments are made by
the Participant as a Non-Delinquent Participant during any Water Year under the foregoing
paragraph (B), the District shall, beginning on the first Due Date when a Debt Service Shortfall
is created by a Delinquent Participant, declare a default as to such Delinquent Participant under
the Delinquent Participant's Like-Contract and the District shall be entitled to suspend deliveries
of the Delivery Entitlement established for such Delinquent Participant under its Like-Contract;
notwithstanding the foregoing, by the terms of its Like-Contract, such Delinquent Participant
shall nonetheless continue to be obligated for amounts paid on its behalf by the Non-Delinquent
Participants, until the Defaulting Participant has reimbursed each Non-Defaulting Participant in
full for the amounts they have previously paid in as their pro rata shares of the Debt Service
Shortfall. Reimbursement of amounts advanced by the Participant and the Other Participants as
Non-Delinquent Participants (or, in the case of multiple Delinquent Participants, the
proportionate share thereof) is immediately due and payable to the District by the responsible
Delinquent Participant or Participants, and, if not so paid, and notwithstanding the provisions of
Article 26(C) of the Delinquent Participant's Like-Contract, shall incur interest on the unpaid
portion until paid in full at a rate per annum equal to the average rate for the County Treasury
Pool, plus two percent (2%) per annum, for the month for which the County Treasury Pool rate
was most recently calculated, based on a 360-day year of twelve 30-day months; provided,
however, that payments to be made as reimbursements by a Delinquent Participant are deemed
and understood to be subordinate to the obligations of the Delinquent Participant to pay the
amounts allocated to the Delinquent Participant as the Delinquent Participant's share of the
District's Capital Projects Installment Debt Service under Article l6(C)(3) of the Delinquent
Participant's Like-Contract.
(0) "Step-UP" to Be Exhausted before Recourse to Debt Service Reserve Fund/Surety
Bond. Shortfalls in Total Participant Contract Payments shall be remedied under this Article
prior to the District's making any withdrawal from any debt service reserve fund established, or
under the reserve surety bond posted, for the Municipal Obligations, if any are then outstanding.
Drawings on or under the debt service reserve fund or reserve surety bond shall be delayed until
and unless insufficient moneys are available from Non-Defaulting Participants hereunder.
(E) District's Covenant to Owners of Municipal Obligations: The District covenants
and agrees to enforce the provisions of this Contract with due diligence, including, without
limitation, the provisions of this Article for the benefit of the owners, from time to time, of the
Municipal Obligations.
ARTICLE 26:
EVENTS OF DEFAULT; DISTRICT'S REMEDIES
(A) Events of Default by Participant. The following shall constitute events of default
hereunder:
(1) The Participant shall fail to make timely payments in full of all amounts
due from the Participant under the terms ofthis Contract; or
(2) The Participant shall fail to establish or collect, or cause to be collected,
all rates and charges, and other sums, necessary to enable Participant to make the
45471069.2
37
payments required hereunder, as provided in Article 20 hereof, and, following thirty (30)
days written notice from the District to the Participant, the Participant shall fail to remedy
such failure to the satisfaction of the District; or
(3) The Participant shall fail to perform any other obligation or covenant
hereunder and shall fail to remedy such failure to the satisfaction of the District within
thirty (30) days following the Participant's receipt of written notice from the District, or
for such additional time as is reasonably required, in the sole discretion of the District, to
correct the same; or
(4) The Participant shall file any petition or institute any proceedings under
any act or acts, State or federal, dealing with or relating to the subject of bankruptcy or
insolvency or under any amendments to such act or acts, either as a bankrupt or as an
insolvent or as a debtor or in any similar capacity, wherein or whereby the Participant
seeks or prays to be adjudicated a bankrupt or is to be discharged from any or all of its
debts or obligations, or offers a reorganization of its obligations for the benefit of
creditors, or asks for similar relief.
(B) District's Remedies. Upon the occurrence of an event of default hereunder, the
District shall be entitled to protect and enforce the rights vested in the District by this Contract
by appropriate judicial proceedings as the District may deem most effective or convenient, either
in equity or law. The use by the District of any remedy specified herein for the enforcement of
this Contract is not exclusive and shall not deprive the District of, or limit the application of, any
other remedy provided hereunder or by law or by equity. Without limiting the generality of the
foregoing, the District shall be entitled to pursue any of the following remedies:
(1) The District may suspend the delivery to the Participant of water
hereunder during the period when the Participant is delinquent in its payments or other
obligations to the District hereunder, but only following notice to the Participant and the
imposition of such remedy following a formal hearing conducted by the Board of
Supervisors, unless such failure to pay is as described in subparagraph (5) below;
(2) The District may compel the Participant, or its governing board, by action
in any court of competent jurisdiction to account to the District as the trustee of an
express trust;
(3) The District may pursue an action in any court of competent jurisdiction to
enjoin any acts or things which may be unlawful or in violation of the rights of the '
District hereunder; and
(4) The District may proceed in mandamus or other suit, action or proceeding
at law or in equity to enforce its rights against the Participant (and its governing board,
officers, agents and employees) and to compel the Participant to perform and carry out its
duties and obligations under the law and its covenants and obligations as set forth herein.
(5) If the Participant shall fail to make timely payments in full of all amounts
due from the Participant under the terms of this Contract, and if, as a result, payments are
made by any Non-Delinquent Participant during any Water Year under Article 25(B)
45471069,2
38
hereof, then the District shall, beginning on the first Due Date, declare a default as to the
Participant and the District shall be entitled to suspend deliveries of the Delivery
Entitlement without referring the matter to the Board of Supervisors for a hearing;
notwithstanding the foregoing, by the terms of this Contract, the Participant shall
nonetheless continue to be obligated for amounts paid on its behalf by the Non-
Delinquent Participants, until such time as the Participant has reimbursed each Non-
Defaulting Participant in full. Said amounts advanced by the Non-Delinquent
Participants are immediately due and payable by the Participant, and, ifnot so paid, and
notwithstanding the provisions of paragraph (C) of this Article, shall incur interest on the
unpaid amounts until paid in full at a rate per annum equal to the average rate for the
County Treasury Pool, plus two percent (2%) per annum, for the month for which the
County Treasury Pool rate was most recently calculated, based on a 360-day year of
twelve 30-day months; provided, however, that payments to be made as reimbursements
under this paragraph are deemed and understood to be subordinate to the obligations of
the Participant to pay the amounts allocated to the Participant as the Participant's share of
the District's Capital Projects Installment Debt Service under Article 16(C)(3) of this
Contract.
(C) Rate of Interest. Upon each charge to be paid by the Participant to the District
pursuant to this Contract which remains unpaid after the time the same shall have become due
and payable, interest shall accrue at an annual rate equal to that eamed by the County Treasury
Pool as provided in California Government Code at Section 16480 et seq., calculated monthly on
the amount of such delinquent payment from time to time after the due date when the same
becomes due until paid, and the Participant hereby agrees to pay such interest; provided, that no
interest shall be charged to or paid by the Participant unless such delinquency continues for more
than thirty (30) days. The Participant hereby agrees to pay such interest to the District, whether
or not the District shall pursue any of the remedies specified in this Article. In no event shall
said default interest be compounded.
ARTICLE 27:
CHANGES IN ORGANIZATION
The Participant shall furnish the District with maps showing the boundaries of the
Participant and showing the service area or areas of the Participant's water distribution system.
Throughout the term of this Contract, the Participant shall promptly notify the District of any
changes in said boundaries and in said service area or areas occasioned either by addition or by
removal of territory. So long as there are outstanding any Municipal Obligations, the Participant
shall take no action to remove any lands from the Participant or its service areas without the prior
written consent of the District.
ARTICLE 28:
ADDITIONAL CAPITAL PROJECTS
(A) Required Additional Projects. At any time, and from time to time, without the
consent of the Participant or any Other Participant, the District shall have the authority to
undertake the construction or equipping of any Required Additional Project, provided that,
45471069.2
39
before a Required Additional Project may be commenced by the District pursuant to direction or
order of a competent Governmental Authority, the Participant and the Other Participants shall be
afforded notice by the District of said direction or order and each shall have the opportunity to
oppose the imposition of such requirement before a court of competent jurisdiction. Only if a
final judgment is thereafter rendered in favor of such direction or order of the said Governmental
Authority, or ifno such opposition is filed, shall the directed or ordered project be undertaken by
the District. It is .the intention of the parties hereto that the District shall, as and when necessary,
be deemed to assign its rights to pursue opposition to the creation of any obligations hereunder
by a Governmental Authority to the Participant and/or the Other Participants as third party
beneficiaries hereof and real parties in interest. The District shall allocate the costs of each
Additional Capital Project among All Participants pro rata according to the Delivery Entitlement
Share and the Other Delivery Entitlement Shares, respectively, unless the Commission shall
determine that some other manner of cost allocation is more equitable in which case the
Commission's determination shall be final.
(B) Approved Additional Proiects. An Approved Additional Project may be
undertaken at any time, and from time to time, by the District in accordance with the terms ofthe
specific agreements between the District and the Participant and the Other Participants, provided
that, funding for an Approved Additional Project will not be from Capital Reserves but from a
new and separate capital fund established by the District as a part of the agreement establishing
each Approved Additional Project.
(C) Emergencv Proiects. Emergency Projects, including emergency repairs to the
Nacimiento Project, may, notwithstanding the above, be made by the District without notice to,
or consultation with, the Participant or the Nacimiento Project Commission or with any Other
Participant. The District shall then allocate the costs of each Emergency Project among All
Participants pro rata according to the Delivery Entitlement Share and the Other Delivery
Entitlement Shares, respectively, unless the Commission shall determine that some other manner
of cost allocation is more equitable, in which case the Commission's determination shall be final.
ARTICLE 29:
USE OF RESERVE WATER
The District may use the District's Reserve Water as follows:
(A) Priorities. The District shall use the District's Reserve Water in the following
order of priority:
(I) For the alleviation of any permanent water shortage described III
Article 14(B) hereof;
(2) For the alleviation of any temporary water shortage described III
Article 14(A) hereof;
(3) For the satisfaction of the District's obligations to each of the Reserve
Water Customers;
45471069.2
40
(4) For adding to and supplementing the Delivery Entitlements for the
Participant and/or the Other Delivery Entitlements for the Other Participants who are
Initial Participants as provided for by Article 6(D) herein;
(5) For additional and New Participants (dermed in paragraph (C) below) who
were not Initial Participants;
(6) For such other purposes as the District deems useful and beneficial to the
Nacimiento Project.
(B) District's Sale of Reserve WaterIReserved Capacity by Amending Participant's
Contract and/or the Like-Contracts of Other Participants who were Initial Participants. In the
event that the Participant, or any Other Participant who was an Initial Participant, desires to
purchase additional capacity in the Nacimiento Facilities and additional rights to have a portion
of Reserve Water conveyed and delivered to the Participant and to the extent that the amount of
Reserve Water and Reserved Capacity is sufficient to do so, the District and the Participant may
amend this Contract (or, in the case of an Other Participant, the Like-Contract), provided that the
District shall not enter into any such amendment which provides terms more favorable than those
presently existing in this Contract, and in each Like-Contract, and provided that the Participant
shall, in addition to the payments required under the Like Contract, pay to the Districtl!J!l.~.(tl1e
"Purchase of Reserve Water Deliverv Entitlement and Reserved Caoadty'Fee;;>:am.;;imtingto a
~um which will reasonably compensate the District for the Partic:ipl!llt's UIlIt }>erceptage $hare aT
the Total Nacimiento Project Construction Costs pius tl1!l cQsts.Of. any Additional Capital
ProjeCts which are necessarY or conveniellt for the conveyanceand/Qr delivery of the Delivery
Entitlement. The Distric.t shall apply the Purchase of R~S.erye Wat~!p..eIYerY!<:l.!titlement and
Reserved Capacity Fee as a credit to the obligations of the Participant and the Other Participants
based 011 their respective.Unit Percentage Share. However, the DIstrict shall not so amend this
Contract without having first" provided" sixty (60) days written notice to each Other Participant of
the fact that the Participant has applied to the District for such an amendment to this Contract
and providing each such Other Participant an opportunity to likewise apply for an additional
Delivery Entitlement of Reserve WaterIReserved Capacity~ In the event that Other Participants
shall also apply to the District at the time of Participant's application for additional Delivery
Entitlements of Reserve Water, then to the extent that there is not sufficient Reserve Water or
Reserved Capacity to satisfY all of the applications for additional Delivery Entitlements, the
. Participant and all Other Participants applying for additional Delivery Entitlements shall be
granted additional Delivery Entitlements in proportion to their respective Delivery Entitlements
existing at the time of the applications.
(C) District's Contract(s) for All or a Portion of Reserve Water and Reserved
Capacity by Execution of Like-Contracts with New Participants who were Not Initial
Participants. In the event that an entity desires to become a New Participant, acquiring rights to
capacity in the Nacimiento Facilities and rights to have conveyed and delivered to the New
Participant a portion of Reserve Water, and to the extent that the amount of Reserve Water and
the District's Reserved Capacity is sufficient to do so, then the District, after consulting with the
Nacimiento Project Commission, and after receiving the written approval from that portion of
All Participants holding, in the aggregate, at least fifty-five percent (55%) of the total of all
delivery entitlements to Nacimiento Project Water existing at that time, may enter into a Like-
45471069.2
41
Contract with such New Participant, provided that said New Participant shall, in addition to the
payments required under the Like-Contract, pay to the District a Purchase of Reserve Water
Delivery Entitlement and Reserved Capacity Fee as described above herein. However,
notwithstanding the foregoing sentence, each entity listed on Exhibit B hereto shall have the
right to become a New Participant, and the District may enter into a Like-Contract with such
New Participant, ~IU'\Jl.Y ~ay llcfl!lf the last.day. of the Design Phase without consultation with the
Commission or writtep, approval from any portion of All Participants, provided, that said New
Participant shall, in addition to the paymenttrequrrech.m.der its Like-Contract, pay to lhe Distri'ct
a}>)lIchase of Reserve Water Delivery Entitlement and Reserved Capacity Fee as described'
above herein. The District shall apply the Purchase of Reserve Water Delivery Entitlement and
Reserved Capacity Fee received from any New Participant as a proportionate credit to the
obligations of the Participant and the Other Participants (excluding the New Participant) based
on the Participant's and the Other Participants' Unit Percentage Shares. Notwithstanding the
foregoing, or any other provision of this Contract, the District shall not execute a Like-Contract
with a New Participant if such execution would result in any of the Tax-Exempt Obligations
being treated as an obligation not described in Section 103(a) of the Internal Revenue Code of
1986, as amended, by reason of classification of such Tax-Exempt Obligation as a "private
activity bond" within the meaning of Section 141 of said Code.
. (D) District's Sale of Reserve Water to Reserve Water Customers.
(1) The District may enter into an agreement to deliver all or a part of Reserve
Water to Reserve Water Customers under the following conditions:
(a) There is Reserve Water and Reserved Capacity available in any
year after application of the priorities set forth above herein;
(b)
years; and
The agreement cannot be for a period of time in excess of five
(c) The price charged by the District to any Reserve Water Customer
for the delivery of said Reserve Water may not be less than the greater of: (i)
rates that the District would charge for Surplus Water under Article 12 of this
Contract delivered to that Participant geographically nearest the place where the
Reserve Water Customer talces delivery of Reserve Water; or, (ii) the charges
resulting from the application ofthe provisions of Article 30(A) hereof.
(2) The District's revenues from an agreement for the temporary delivery of
Reserve Water to Reserve Water Customers shall be applied by the District to effect a
credit under Article 17(B)(3) hereof ("Credit for Participant's Portion of Anv of District's
SumluslWheelingfDistrict Customer Revenues").
ARTICLE 30:
USE OF RESERVED CAPACITY
The District shall use its best efforts to temporarily lease the Reserved Capacity of the
Nacimiento Facilities.
45471069.2
42
(A) District's Use ofCaoacitv in the Nacimiento Facilities for the Deliverv of Reserve
Water through the Nacimiento Facilities to a Reserve Water Customer. If at any time during the
term of this Contract, the District conveys Reserve Water through any Unit to a Reserve Water
Customer, the Reserve Water Customer shall be required to pay the District for such conveyance
and delivery service in a manner and at prices which will return to the District the largest net
revenue practicable, but in no event shall such conveyance be effected at charges less than those
applicable to the conveyance of Delivery Entitlement through the same Unit or Units. In
determining the appropriate charges for water conveyed and delivered for a Reserve Water
Customer, the District shall take into account the particular Unit or Units through which
conveyance of such water occurs, shall compare the Operation and Maintenance Costs and
Capital Projects Installment Debt Service apportionable to such Unit or Units with Nacimiento
Project Costs, and shall further compare the amount of water conveyed for Reserve Water
Customers through such Unit or Units with the amount of Nacimiento Project Water conveyed
for the Participant and for the Other Participants through such Unit or Units for the same period
oftime.
(B) Wheeling of Water. If at any time during the term of this Contract, the District
conveys water to any Wheeling Customer, said Wheeling Customer shall be required to pay the
District for such conveyance and delivery service in a manner and at prices which will return to
the District the largest net revenue practicable, but in no event shall such conveyance be effected
at charges less than those applicable to the conveyance of Delivery Entitlement through the same
Unit or Units. In determining the appropriate charges for water conveyed and delivered for a
Wheeling Customer, the District shall take into account the particular Unit or Units through
which conveyance of such water occurs, shall compare the Operation and Maintenance Costs and
Capital Projects Installment Debt Service apportionable to such Unit or Uuits with Nacimiento
Project Costs, and shall further compare the amount of water conveyed for Wheeling Customers
through such Unit or Units with the amount of Nacimiento Project Water conveyed for the
Participant and for the Other Participants through such Unit or Units for the same period of time.
The District hereby covenants and agrees not to enter into any contract with a Wheeling
Customer for the conveyance of water with a term to exceed one (I) year.
ARTICLE 31:
UNIFORM CONTRACTS
Nacimiento Project Water Delivery Entitlement Contracts executed by the District with
the Other Participants (or with any New Participant) shall be substantially uniform with respect
to basic terms and conditions when compared with this Contract, but shall provide for different
dates and quantities of water to be conveyed and delivered, the places of water delivery, each
delivery entitlement share and each unit percentage share and the payment amounts for each
participant.
ARTICLE 32:
AMENDMENTS TO CONTRACT
This Contract shall be subject to amendment at any time by mutual agreement of the
parties hereto, except insofar as any proposed amendments are in any way contrary to applicable
45471069.2
43 .
law, or would have a material adverse effect upon the owners of any of the Municipal
Obligations. As a condition to any amendment to this Contract or to the Like-Contracts with the
Other Participants, the District shall first have received written confirmation from the rating
agency or agencies then providing a rating for the Municipal Obligations, to the effect that the
proposed amendments will not adversely affect the rating of the Municipal Obligations and, in
the event that the Municipal Obligations, or any portion thereof, shall be covered by municipal
bond insurance, the District shall have received prior written consent to such proposed
amendments from the provider of such bond insurance. Amendments to this Contract and to the
Like Contracts of the Other Participants shall occur only after the written and unanimous consent
of the District, the Participant and all Other Participants, except, that the following Additional
Projects may be effected without said unanimous consent and upon the following conditions:
(A) Approved Additional Proiects. Subject to the provisions of Article 28 hereof, and
upon the request of the Participant or of any Other Participant, the District may enter into an
amendment of this Contract, and/or of Like-Contracts, in order to undertake the acquisition and'
construction of an Approved Additional Project; provided, however, the Participant and/or Other
Participants desiring such Project shall first demonstrate that said Approved Additional Project
will be economically feasible with the fmancial support of only the Participant and/or the Other
Participants participating in said Approved Additional Project.
(B) Required Additional ProiectJEmergencv Proiect. The undertaking of a Required
Additional Project or of any Emergency Project by the District shall not require the consent of
the Participant or of any Other Participant nor the amendment of this Contract or of any Like-
Contract(s).
(C) AP1;>roval of Amendments bv Participant. The Participant covenants and agrees to
act in good faith to approve or reject any proposed amendments hereto within a reasonable
period of time. The failure to either approve or reject any such proposed amendment within
sixty (60) days from the date of adoption by the Board of a resolution approving such proposed
amendment shall constitute a lack of good faith.
ARTICLE 33:
ESTABLISHMENT OF NACIMIENTO PROJECT COMMISSION
In connection with its approval of this Contract, the Participant has appointed a
representative of the Participant to sit on the Nacimiento Project Commission. The District
covenants and agrees to call a first organizational meeting of the Commission within thirty (30)
days of the Effective Date, in accordance with law and, particularly, the provisions of the Ralph
M. Brown Act. The Commission shall meet at such intervals and at such places as it shall
determine. The total number of votes that may be cast on any issue or proposition considered by
the Commission shall be the sum of the number of Commissioners. The Commission member
representing the District shall be entitled to vote in proportion to the number of Commissioners.
The Commissioners representing the Participant and the Other Participants shall share the
remaining votes in proportion to the Delivery Entitlement of the Participant and of each of the
Other Participants.
45471069.2
44
The purpose of the Commission shall be to review and approve all substantive matters
pertaining to the construction and operations of the Nacimiento Facilities, including the annual
budget; provided, however, that the Commission shall have no authority to contract, employ
persons, or make expenditures. The BOl;lTd of Supervisors may approve, alter, or return any said
approval of the Commission. Furthermore, in every case that the Board alters or returns to the
Commission any item or proposition approved by the Commission, the Board shall set forth in
writing its findings that caused the Board to alter or return said item or proposition and shall do
so only after holding a public hearing at which time the Commissioners shall have the right to
appear and address the Board of Supervisors.
ARTICLE 34:
OPINIONS AND DETERMINATIONS; GOOD FAITH
Where the terms of this Contract provide for action to be based upon opinion, judgment, .
approval, review or determination of either party hereto, such terms are not intended to be and
shall never be construed as permitting such opinion, judgment, approval, review, or
determination to be arbitrary, capricious, or unreason~ble.
ARTICLE 35:
WAIVER OF CONTRACT RIGHTS
Any waiver at any time by either party to this Contract of the party's rights with respect
to a default or any other matter arising in connection with this Contract shall not be deemed to be
a waiver with respect to any other default or matter.
ARTICLE 36:
NOTICES
All notices that are required either expressly or by implication to be given by any party to
the other under this Contract shall be signed for the District and for the Participant by such
officers as they may, from time to time, authorize to so act. All such notices shall be deemed to
have been given and delivered if delivered personally or if enclosed in a properly addressed
envelope and deposited with the United States Postal Service for delivery by registered or
certified mail. Unless and until formally notified otherwise, all notices shall be addressed to the
parties as follows:
To the Participant:. ENTER ADDRESS OF P ARTICIP ANT
To the District: Department of Public Works
County of San Luis Obispo
County Government Center
San Luis Obispo, CA 93408
Attention: Director of Public Works
45471069.2 45
ARTICLE 37:
ASSIGNMENT
The provisions of this Contract shall apply to and bind the successors and assigns of the
respective parties, but no assignment or transfer of this Contract, or any part hereof or interest
herein, shall be valid until and unless approved by the District. The District shall not approve
any such assignment or transfer to any person or entity that is not one or more of the lnitial
Participants, or a then-existing New Participant, unless and until the proposed assignment or
transfer of this Contract has been offered to and refused in writing by all said Participants. The
offer of any such assignment or transfer of this Contract shall be on the same basis to all
Participants and if more than one of the said Participants desires to accept the offer, this Contract
or portion thereof to be assigned or transferred shall be prorated among them in proportion to
their respective unit percentage share in the facilities involved in the assignment or transfer. . The
foregoing notwithstanding, no assignment or transfer of this Contract or any part hereof or
interest herein shall be valid until such time as the District has received assurances from each
rating agency then rating the Municipal Obligations, to the effect that such assignment or transfer
will not adversely affect the rating on the Municipal Obligations, and, so long as any Municipal
Obligations are then being insured by a municipal bond insurance company, until such time as
the District has received the written consent from such bond insurer as to such assignment or
transfer. The Participant understands and acknowledges that the District may pledge amounts
received and to be received hereunder and under the other Like-Contracts to a financial
institution and/or Joint Exercise of Powers Authority as further support for the District's
obligations under the Municipal Obligations.
ARTICLE 38:
INSPECTION OF BOOKS AND RECORDS
The authorized officers of the Participant shall have full and free access at all reasonable
times to the account books and official records of the District insofar as the same pertain to the
matters and services provided for in this Contract, with the right at any time during regular
business hours of the District to make copies thereof at the Participant's expense, and the
authorized officers of the District shall have similar rights in respect to the account books and
records of the Participant for its Water Enterprise.
ARTICLE 39:
SEVERABILITY
Any provision of this Contract that is prohibited, unenforceable or not authorized in any
jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition,
unenforceability or nonauthorization without invalidating the remaining provisions hereof
affecting the validity, enforceability or legality of such provision in any other jurisdiction.
45471069.2
46
ARTICLE 40:
WATER RIGHTS
The parties hereto acknowledge and agree that this Contract is an agreement for service,
and only contractual rights are created by this Contract. This Contract does not create an
entitlement to nor does it convey to the Participant any property right or interest in the Master
Water Contract. Except as to rights associated with imported water discussed in this Article, no
provision of this Contract shall be considered, interpreted or applied in any fashion to derogate or
otherwise diminish, reduce or detrimentally affect, in any fashion, any parties' existing or
subsequently developed or acquired Water Rights. This Contract shall not be considered,
interpreted nor applied in any fashion to result in any relinquishment or adjustment of any such
Water Rights. In particular, no provision of this Contract shall be considered, interpreted or
applied in any fashion to diminish, reduce or detrimentally affect, in any fashion, any party's
rights pursuant to Water Code Section 1005.1 or Section 1005.2. Notwithstanding anything to
the contrary set forth herein, the parties to this Contract acknowledge that the water delivered to
the Participant pursuant to this Contract constitutes "imported water." The District agrees to
support any effort of the Participant to establish that the water delivered to the Participant
pursuant to this Contract constitutes "imported water." The parties further acknowledge that any
rights to.water which may arise from the importation and/or use by the Participant of the water
delivered pursuant to this Contract (including, but not limited to the use, storage, capture,
recapture and/or reuse of such water) are held exclusively by the Participant and no other party.
ARTICLE 41:
GOVERNING LAW
This contract shall be interpreted, governed and enforced in accordance with the laws of
the State of California applicable to contracts made and performed in such State.
ARTICLE 42:
VALIDATION
Either the District, the Participant or any Other Participant may file and diligently
prosecute to a final decree in a court of competent jurisdiction a proceeding in mandamus or
other appropriate proceeding or action for the judicial examination, approval, and confirmation
of the proceedings had for the organization of the District and for the participation of the
Participant in the Nacimiento Facilities hereunder, or for the validation of the agreement(s)
which is the basis for the Municipal Obligations, or any of them, or the proceedings of the
governing body of the Participant leading up to and including the making of this Contract and the
validity of the provisions thereof and hereof.
ARTICLE 43:
COUNTERPARTS
This Contract may be executed in several counterparts, each of which shall be. regarded
as an original and all of which shall constitute one and the same document.
45471069.2
47
IN WITNESS WHEREOF, the parties hereto have executed this Contract on the date
first above written.
SAN LUIS OBISPO COUNTY FLOOD
CONTROL AND WATER CONSERVATION
DISTRICT
By
Chairperson, Board of Supervisors
APPROVED AS TO FORM:
COUNTY COUNSEL:
By
Deputy County Counsel
ATTEST:
JULIE L. RODEWALD, COUNTY CLERK
By
Deputy County Clerk
INSERT NAME OF PARTICIPANT
By
Authorized Representative
APPROVED AS TO FORM:
CITY ATTORNEY
ATTEST:
CITY CLERK
By
By
Deputy City Clerk
By
Deputy City Clerk
45471069.2
48
EXHffiIT A
UNIT DESCRIPTIONS
Unit A - Lake Nacimiento Intake and Pump Station to Camp Roberts West Property
Line: Shall consist of the raw water intake structure including multiport tower, pumps, piping,
surge control facilities, access road, screens, gates, valves, controls, electrical service,
instrumentation, grounds, fencing, and appurtenances; and pipeline from the intake to the Camp
Roberts west property line, including road crossings, controls, instrumentation, air release
structures, blowoffs, valves, vaults, corrosion control, and appurtenances
Urnt Al - Camp Roberts West ProperlY Line to Camp Roberts Tank and Pump Station
Inlet: Shall consist of the pipeline from the Camp Roberts west property line to the inlet
connection of the Camp Roberts Pump Station including road crossings, the Nacimiento River
crossing, controls, instrumentation, air release structures, blowoffs, valves, vaults, corrosion
control, and appurtenances; and Camp Roberts Tank including piping and valves, connections to
the main pipeline, controls, instrumentation, corrosion control and coatings, access roads,
grounds, fencing, and appurtenances.
Unit B - Camp Roberts Pump Station: Shall consist of the Camp Roberts Pump Station
from the inlet connection to the discharge connection, including pumps, piping, connections to
the main pipeline, surge control facilities, access road, valves, controls, instrumentation, grounds,
fencing, and appurtenances.
Unit C - Camp Roberts Pump Station Discharge to Monterey Rd / Wellsona: Shall
consist of the pipeline from the Camp Roberts Pump Station discharge connection to the
intersection of Old Highway 101 and Monterey Road, including the highway crossing, road
crossings, controls, instrumentation, air release structures, blowoffs, valves, vaults, corrosion
control, and appurtenances.
Unit Cl - Monterey Rd / Wellsona to Paso Robles Turnout: Shall consist of the pipeline
from the intersection of Old Highway 101 and Monterey Road to the mainline connection for the
Paso Robles Turnout, including the Salinas River crossing, railroad crossing, road crossings,
controls, instrumentation, air release structures, blowoffs, valves, vaults, corrosion control, and
appurtenances.
Unit D - Paso Robles Turnout to Templeton CSD Turnout: Shall consist of the pipeline
from the mainline connection for the Paso Robles Turnout to the mainline connection for the
Templeton CSD turnout, including surge control, microtunneling through Santa Ysabel Ranch,
road crossings, controls, instrumentation, air release structures, blowoffs, valves, vaults,
corrosion control, and appurtenances.
Unit E - Templeton CSD" Turnout to Atascadero MWC Turnout: Shall consist of the
pipeline from the mainline connection for the Templeton CSD turnout to the mainline connection
for the Atascadero MWC turnout, including road crossings, controls, instrumentation, air release
structures, blowoffs, valves, vaults, corrosion control, and appurtenances.
45471069.2
A-I
Unit F - Atascadero MWC Turnout to Rocky Canyon Tank Inlet: Shall consist of the
pipeline from the mainline connection for the Atascadero MWC turnout to the inlet flange of the
Rocky Canyon Tank, including road crossings, controls, instrumentation, air release structures,
blowoffs, valves, vaults, corrosion control, and appurtenances.
Unit FI - Rocky Canyon Tank: Shall consist of the Rocky Canyon Tank from the inlet
flange of the tank through to the inlet connection to the Rocky Canyon Pump Station, including
piping and valves, connections to the main pipeline, controls, instrumentation, corrosion control
and coatings, access roads, grounds, fencing, and appurtenances.
Unit F2 - Rockv Canyon Pump Station: Shall consist of the Rocky Canyon Pump
Station from the pump station inlet connection through to the discharge connection, including
pumps, piping, connections to the main pipeline, surge control facilities, access road, valves,
controls, instrumentation, grounds, fencing, and appurtenances.
Unit G - Rocky Canyon Pump Station Discharge to Route 58/Maria Avenue: Shall
consist of the pipeline from the discharge connection of the Rocky Canyon Pump Station to the
intersection of Maria Avenue and Route 58 in Santa Margarita, including a Salinas River
Crossing, road crossings, controls, instrumentation, air release structures, blowoffs, valves,
vaults, corrosion control, and appurtenances.
Unit Gl - Route 58/Maria Avenue to Cuesta Tank Inlet: Shall consist of the pipeline
from the intersection of Maria Avenue and Route 58 in Santa Margarita to the inlet flange of the
Cuesta Tunnel Tank, including railroad and road crossings, controls, instrumentation, air release
structures, blowoffs, valves, vaults, corrosion control, and appurtenances.
Unit G2 - Cuesta Tunnel Tank: Shall consist of the Cuesta Tunnel Tank from the inlet
flange of the tank through the north portal inlet flange of the existing Cuesta Tunnel pipeline,
including piping and valves, connections to the main pipeline, controls, instrumentation,
corrosion control and coatings, access roads, grounds, fencing, and appurtenances.
Unit H - Cuesta Tunnel: Shall consist of the existing Nacimiento Pipeline in Cuesta
Tunnel from the existing north portal inlet flange through the south portal outlet flange,
including controls, instrumentation, air release structures, blowoffs, valves, vaults, corrosion
control, and appurtenances.
Unit HI - Cuesta Tunnel to San Luis Obispo WTP: Shall consist of the pipeline from the
south portal outlet flange of the Nacimiento Pipeline in Cuesta Tunnel to the San Luis Obispo
City Water Treatment Plant on Stenner Creek Road, including railroad crossings, road crossings,
controls, instrumentation, air release structures, blowoffs, valves, vaults, corrosion control, and
appurtenances.
Unit T4 - Templeton Community Services District Turnout: Shall consist of the piping,
instrumentation and appurtenant facilities connecting the Nacimiento facilities to the Templeton
Community Services District water system facilities near the intersection of El Pomar Drive,
Templeton Road and Vineyard Street.
45471069.2
A-2
EXHIBIT B
ENVIRONMENTAL IMP ACT REPORT
ENTITIES
California Army National Guard
County of San Luis Obispo Service Area No. lOA, 22 and 23
Edna Valley Mutual Water Company
Fiero Lane Water Company
Lewis C. Pollard Family Trust
Morrow Rock Mutual Water Company
San Miguel Community Services District
Santa Margarita Ranch Mutual Water Company
45471069.2
B-1
APPENDIX B:
ZONE 3 ENTITLEMENT CONTRACT
CONTRACTIbETWEEN
~AN U:J'~ OIb'~~O COl:JNTY f'bOOD CoNTJtOb
AND
WATEJtCON~EJt"AnoN Df~TJtfCT
AND
TtlE CfTY of' AJtJtOYo GRANDE
f'OJtA WATEJt ~l:JflflI:;Y
Dafed as of
AuguSf _' 2.000
LOPEZ WATER CONTRACT
TABLE OF CONTENTS
Page No.
Article 1. Definitions .... ...... ........ ..... ........ ..... .............. ............ .......... ................ ....... ......... ..... ..... ....3
Article 2. Term of Contract........................................................................ ...................................11
Article 3. Validation.............................................................. ........................................................ .12
Article 4. Distribution and Sale of Project Water .........................................................................13
(A) Legally Required Water Releases ..........................................................................13
(B) Entitlements ...... .............. ........................... ........... ...... ........... ........ ....... ..... .... ..... ...13
SllIplus Water Rates ...... .............. ..................... .................. ..... ........... ........ .............. ....... ...14
(D) SllIplus Water.... ............................... ...................... ...... ........... .... .... ................. .... ...15
Article 5. Water Shortages............................................................................................................15
Article 6. Completion of Seismic Remediation Improvements....................................................16
Article 7. Delivery of Water .........................................................................................................18
Article 8. Measurement... ......... ..... ............... ..... ....... ........ ..................... ..................... ........ ........ ...18
Article 9. Time for Delivery of Project Water ..............................................................................19
Article 10. Responsibility for Delivery and Distribution of Water Beyond Delivery Points .......2Q
Article 11. Operation and Maintenance of Project and Water Enterprise.....................................20
Article 12. Water Quality ........ .......... ............................. ............. .... ............ ..... .......... .... .... ........ ...24
Article 13. Curtailment of Delivery of Project Water for Maintenance Purposes ........................24
Article 14. Rate and Method ofPayment......................................................................................25
(A) Allocation of Total Project Costs and Debt Service ..............................................25
(B) Agency Contract Payments ....................................................................................26
(C) Agency Credits against Contract Payments ..........................................................27
(D) Quarterly Variable Charges ..................................................................................29
(E) Use by District of Total Contract Payments ..........................................................29
Article 15. Take-or-Pay Obligation of Agency.............................................................................30
Article 16. Pledge; Establishment and Collection of Rates and Charges .....................................30
LOPEZ WATER CONTRACT
Article 17. Default ........................................................................................................................31
Article 18. Failure to Levy, Set or Collect Taxes, Rates and Charges..........................................33
Article 19. Area Served by Agency ..............................................................................................34
Article 20. Changes in Organization of Agency ...........................................................................34
Article 21. Agency's Obligations Several and Not Joint; Limited Step-up Provisions and
Reimbursement .................... .... ............... .............. ....... ...... .......... ........ .... ... ...... ...... .... .......34
Article 22. Contracts to Be Uniform.................................................................................36
Article 23. Amendments. .... .... ........... ........ ................................... ..................... ............... .... ...... ..36
Article 24. Opinions and Determinations; Good Faith; Information to Be Provided to Zone 3
Advisory Committee ..... ....... ... ........ ...... ................. ...... ..................... ......... ............ ........ ....3 8
Article 25. Waiver of Rights ................................................................................................. ........39
Article 26. Notices.... .............................................................................................................. ........3 9
Article 27. Assignment .............. ..... ...... ................. ........ ......... ................ .......................... ........ ....3 9
Article 28. Inspection of Books and Records ...............................................................................40
Article 29. Severability ...... ........ ........................................ ..... ...... .......... ..... .......... .... ... ...... ....... ....40
Article 30. Water Right ..................... ............................... ...... ...... ................ ........... ..... .............. ...41
Article 31. Wheeling of Water ......................................................................................................41
Article 32. Execution in Counterparts ..........................................................................................42
Article 33. Governing Law ...........................................................................................................42
LOPEZ WATER CONTRACT
11
EXECUTION .................................................................................................................................43
LOPEZ WATER CONTRACT
iii
CONTRACT BETWEEN SAN LUIS OBISPO COUNTY
FLOOD CONTROL AND WATER CONSERVATION
DISTRICT AND THE CITY OF ARROYO GRANDE
FORA WATER SUPPLY
This Contract (the "Contract"), made this _ day of August, 2000, by and between
the San Luis Obispo County Flood Control and Water Conservation District (the "District"),
established under and pursuant to Chapter 1294 of the 1945 Statutes of the State of California (the
"State") and the City of Arroyo Grande, a public agency organized and existing under the laws of
the State of California, acting pursuant to the laws of such State (the "Agency"), amends and restates
that certain contract for a water supply by and between the District and the Agency, dated March 28,
1966, as amended (the "Prior Supply Contract"), with reference to the following facts:
WIT N E SSE T H:
WHEREAS, the District has heretofore constructed, improved and operated a public
works project (the "Project," as more particularly defined below) that provides a supply of water
available for use within the District; and
WHEREAS, the State now requires the District to make certain repairs and
improvements to the Project for public safety reasons, which improvements (the "Seismic
Remediation Improvements') must be financed with the proceeds of certain future obligations of the
District; and
LOPEZ WATER CONTRACT
1
WHEREAS, the lands and inhabitants within the jurisdiction of the Agency are in
need of water provided by the Project for beneficial uses; and
WHEREAS, the District has provided water from the Project to the City of Grover
Beach, the City of Pismo Beach, the City of Arroyo Grande, the Oceano Community Services
District and County of San Luis Obispo Service Area No. 12 (being, collectively, the Agency and
the Other Agencies, as hereinafter defined) since 1966, pursuant to several water supply contracts,
including the Prior Supply Contract (collectively, the "Prior Supply Contracts"), and the parties now
wish to amend and restate the Prior Supply Contracts, preserving the same basic structure and
obligations; and
WHEREAS, the District desires to sell to public water distribution agencies,
including the Agency and the Other Agencies, the water provided by the Project under terms and
conditions which, as far as practicable and consistent with the ultimate use of the water, shaH be fair
and equitable to all such agencies and to the inhabitants of the District; and
WHEREAS, the Agency desires to contract with the District for a water supply to be
for the use and benefit ofthe lands and inhabitants served by the Agency and for which the Agency
will make payment to the District upon the terms and conditions hereinafter set forth; and
WHEREAS, the District and the Agency wish to provide for the financing of the
Seismic Remediation Improvements and Additional Projects (as defined herein), and for the future
LOPEZ WATER CONTRACT
2
maintenance of the Project in order to preserve the water supply provided by the Project to the
Agency; and
WHEREAS, obtaining the necessary financing for the Seismic Remediation
Improvements and Additional Projects (as defined herein) will aid the District in meeting its
intended comrnunitywide results of: maintaining and encouraging a safe, healthful and pleasant
living environment, and encouraging a strong and viable economy;
NOW, THEREFORE, ITIS HEREBY MUTUALLY AGREED by the parties hereto,
as follows:
Article 1. Definitions. When used in this Contract, the following terms shall have
the meanings hereinafter set forth:
"Additional Projects" shall mean those capital projects to be undertaken by the
District in addition to the Seismic Remediation Improvements which have the effect of (i) preserving
and maintaining the Safe Yield of the Project (a "Type I Additional Project"); (ii) maintaining the
quality of water providl;d by the Project (a "Type II Additional Project"); or (iii) any other capital
project agreed to by the Agency and all ofthe Other Agencies (a "Type III Additional Project").
"Calendar Ouarter" shall mean each three-month period commencing on January 1,
April1, July 1 and October 1 of each year.
"Calendar Year" shall mean the twelve-month period from January 1 of a calendar
year to December 31 of the same calendar year, both dates inclusive.
LOPEZ WATER CONTRACT
3
"Capital Costs" shall mean costs expended by the District at or appurtenant to the
Project, for permanent improvements to the Project or equipment which is capitalizable on the books
of the District.
"Capital Reserves" shall mean those reserves established by the District for the
Scheduled Maintenance of the Project or for anticipated costs of upgrade and improvements likely
to be imposed by Governmental Authority (each, an"External Requirement") in order for the District
to continue to operate the Project for water supply purposes, established either (a) on a year-to-year
basis by the District in its annual budgets, copies of which shall be provided to the Agency promptly
following adoption, or (b) on a multi-year basis by the District through the development and
promulgation to the Agency of a long-term capital improvement plan of the District; provided,
however, that no Type m Additional Projects shall be funded from Capital Reserves; and provided
further, that the District shall not expend any portion of Capital Reserves for any External
Requirement until and unless such External Requirement becomes a final order of such
Governmental Authority, not subject to further appeal.
"Contract Payments" shall mean those payments due from the Agency to the District
hereunder, as more particularly set forth in Article 14 hereof.
"County Board" shall mean the Board of Supervisors of the County of San Luis
Obispo, California.
"Coverage Account" shall mean the account established for the Agency either with
the District or with a Depository, as provided in Article 18 hereof.
"Coverage Factor" shall mean 25% of Agency Debt Service, determined In
accordance with Article 14 hereof, calculated for each Fiscal Year.
LOPEZ WATER CONTRACT
4
"Debt Service" shall mean, in the aggregate, (a) principal and interest (or mandatory
sinking fund payments, installment or lease or similar payments due) with respect to all Tax-Exempt
Obligations at the time outstanding in accordance with their terms, provided that capitalized interest
funded from the proceeds of Tax-Exempt Obligations need not be taken into account, (b) annual
costs of administering the Tax-Exempt Obligations, including the annual fees of any trustee or
paying agent therefor, and (c) the costs, if any, of annual credit enhancement for the Tax-Exempt
Obligations.
"Deoositorv" shall mean a financial institution designated for the deposit and
administration of the Coverage Account of the Agency, as and when appointed in accordance with
Article 18 hereof.
"Entitlements" shall mean the quantity of water to be distributed to the Agency under
this Contract and to the Other Agencies under their Water Supply Contracts with the District, as
established in Article 4(B) hereof and of such other Water Supply Contracts.
"Fiscal Year" shall mean the twelve-month period from July 1 of a Calendar Year to
June 30 of the immediately following Calendar Year, both dates inclusive.
"General Obligation Bonds" shall mean those certain general obligation bonds of the
District; issued pursuant to authorization received from the voters of the District at the election
conducted on March 7, 2000, in an aggregate principal amount of not to exceed $13,200,000,
supported by a levy of ad valorem taxes throughout the District.
"Governmental Authoritv" shall mean any State, federal or local governmental
authority with cognizance over the District or the Project, or any portion thereof, empowered to
regulate or control any aspect of its or their operations.
LOPEZ WATER CONTRACT
5
'.'Operating Segment," as to the Agency, shall mean the segment of the Project
constructed for, and providing service directly to, the Agency, which, as at the date hereof, consists
ofUnit(s) A andB.
"Operation and Maintenance Costs" shall mean the reasonable and necessary current
expenses of maintaining, repairing and operating the Project, including District administrative
expenses directly attributable to Project function, but excluding Capital Reserves and Debt Service,
all computed in accordance with generally accepted accounting principles applicable to enterprise
funds of government agencies.
"Other Agencv" shall mean any other water-distributing public agency of the State,
which, having the legal power to do so, executes a water supply contract with the District
substantially identical to this Contract, except for agency information, dates, Unit participations,
Proportionate Share and Percentage Share, other than for the purpose of purchasing Surplus Water,
including, as of the date hereof, the County of San Luis Obispo on behalf of Service Area No. 12,
The City of Grover Beach, Ocean Community Services District, and The City ofPismo Beach.
"Percentage Share" shall mean the Agency's aggregate attributed share, by
percentage, of charges for Operation and Maintenance Costs and Capital Reserves for any given
Water Year for each respective Unit, as compared to all of the charges for Operation and
Maintenance Costs and Capital Reserves attributable to each such Unit levied against the Agency
and all Other Agencies, and as specified for the Agency below:
Unit A
Unit B
UnitC
Unit D
$0.55%
50.55
0.00
0.00
LOPEZ WATER CONTRACT
6
Unit E 0.00
Unit F 0.00
UnitG 0.00
UnitH 0.00
Unit I 0.00
Unit J 0.00
"Project" shall mean (A) the 1965 Zone 3 Project described in Resolution No. 377-65
and Ordinance No. 813 of the District, adopted August 17, 1965, consisting of the following works
and improvements: (i) Lopez Darn and Reservoir, (ii) Lopez Darn-Arroyo Grande Conduit System,
(iii) Arroyo Grande-Avila Conduit System, (iv) Arroyo Grande-Oceano Conduit System, (v) water
treatment plant, (vi) terminal reservoir, (vii) all land, easements, rights-of-way, pumping plants,
pipes, valves, fittings, machinery and other property necessary for any of the foregoing, and (B) the
Seismic Remediation Improvements.
"Proportionate Share" shall mean the percent bfthe total Entitlements available to
the Agency, as compared to the aggregate of all Entitlements given to the Agency and all Other
Agencies hereunder and under all Water Supply Contracts in any given Water Year, as set forth in
Article 4(B) hereof.
"Rates and Charges" shall mean the rates and charges imposed and collected by the
Agency for the provision of water services by its Water Enterprise, or, ifthe Agency shall instead
have levied special taxes as described in Article 14(C)(b) below, such special taxes.
"Recreational Budget Transfers" shall mean the annual transfer ordered by action of
the County Board from revenues earned from recreational uses of the Project, based on the
LOPEZ WATER CONTRACT
7
percentage of recreational usage, initially established under the terms of County Board Resolution
No. 2000-133, adopted on April 4, 2000.
"Safe Yield" shall mean the safe yield of the Project, calculated and established from
time to time in accordance with the provisions of Article 4 hereof, being 8,730 acre-feet of water as
of the date hereof.
"Scheduled Maintenance" shall mean the maintenance tasks for the Project which
are required to be accomplished less frequently than annually, a portion of the cost of which is set
aside in each annual budget of the District in anticipation of such requirement.
"Seismic Remediation Imorovements" shall mean those certain improvement, more
particularly described on Exhibit A hereto, to the 1965 Zone 3 Project required by State mandate,
and necessary in order for the Project to continue to operate as a supplier of water to the District, the
Agency and the Other Agencies.
"Surplus Water" shall mean the water available from the Project following
distributions of water described in Article 4, paragraphs (A), (B) and (C) hereof.
"Tax-Exemot Obligations" shall mean those certain obligations executed and
delivered by or on behalf of the District, representing and evidencing interests of the owners thereof
in certain installment payments to be made by the District for the acquisition of the Project, whose
proceeds are to be used to fmance or reimburse the costs of the Seismic Remediation improvements,
in an aggregate principal amount of not to exceed the net amount, following the application of
proceeds of sale of the General Obligation Bonds, required to complete the Seismic Remediation
Improvements pursuant to State mandate and the District's competitive bid process for such
"Total Contract Pavments" shall mean all of the payments due from the Agency and
the Other Agencies pursuant to Article 14 hereof and the same Article of the other Water Supply
Contracts.
"Total Proiect Costs" shall mean, for any given Water Year, the aggregate amount
necessary to provide for (i) Operation and Maintenance Costs; (ii) Debt Service; and (iii) Capital
Reserves, as calculated by the District in accordance with Article 14 hereof and noticed to the
Agency and the Other Agencies.
"Unit" shall mean tI;1ose facilities which collectively make up the Project, delineated
as follows:
(1) "Unit A" shall consist of the Lopez Dam and Reservoir, including
acceSs roads, fish trapping.facilities and outlet works, all expenses of executing and
delivering the Tax-Exempt Obligations, all moneys necessary to fund interest with
respect to the Tax-Exempt Obligations prior to receipt of the first payments under
this Contract and the other Water Supply Contracts, and all engineering and legal
fees for the entire Project.
(2) ''Unit B" shall consist ofthe terminal reservoir, a pumping plant and
bypass conduit, the water treatment plant and the Lopez Dam-Arroyo Grande
Conduit System. The "Lopez Dam-Arroyo Grande Conduit System" shall be defined
as that portion of the pipeline conduit and all appurtenances from the Lopez Dam
outlet works to and including a bifurcation structure located at the intersection of the
Highway 101 south frontage road and Brisco Road in Arroyo Grande.
(3) ''Unit C" shall consist of that portion of the Arroyo Grande-Avila
Conduit System consisting of the pipeline conduit and all appurtenances from the
bifurcation structure which is a part of Unit B to the intersection ofthe Highway 101
south frontage road and Eighteenth Street in Grover City.
(4) ''Unit D" shall consist of the Arroyo Grande-Oceano Conduit System.
The "Arroyo Grande-Oceano Conduit System" shall be defined as that portion of
the pipeline conduit and all appurtenances from the south end of the Lopez Dam-
Arroyo Grande Conduit System to a connection to the Oceano water system at the
. intersection of Lancaster Drive and Elm Street in Arroyo Grande.
(5) "Unit E" shall consist of that portion of the Arroyo Grande-Avila
Conduit System consisting of the pipeline conduit and all appurtenances from the
LOPEZ WATER CONTRACT
9
west end of Unit C to the intersection of the Highway 101 south frontage road with
Vista del Mar in Shen Beach.
(6) "Unit F" shall consist of that portion of the Arroyo Grande-Avila
Conduit System consisting of the pipeline conduit and an appurtenances from the
west end of Unit E to the intersection ofthe Sheel Beach Road with El Portal Drive
in Pismo Beach.
(7) "Unit G" shan consist of that portion of the Arroyo Grande-Avila
Conduit System consisting of the pipeline conduit and an appurtenances from the
west end of Unit F to the intersection of Avila Road (San Luis Obispo County Road
No. 3016) with Ontario Road (San Luis Obispo County Road No. 33090).
(8) "Unit H" shan consist of that portion of the Arroyo Grande-Avila
Conduit System consisting of the pipeline conduit and all appurtenances from the
west end of Unit G to the intersection of First Street and San Juan Street in the
community of Avila Beach.
(9) "Unit I" shall consist of that portion of the Arroyo Grande-Avila
Conduit System consisting of the pipeline conduit and all appurtenances from the
west end of Unit H to the Port San Luis Harbor District Tank site.
(10) "Unit 1" shall consist of that portion of the Arroyo Grande-Avila
Conduit System consisting of the pipeline conduit and all appurtenances from the
west end of Unit G to a storage take site at an approximate elevation of 260 feet
above sea level located at a point approximately 1,300 feet westerly of the center line
of Highway 101 and 1,500 feet southerly of Avila Drive (San Luis Obispo County
Road No. 13015).
"Water Enterprise" shall mean the water system operated and to be operated by the
Agency for sales of water to the general public within its jurisdiction.
"Water Supplv Contracts" shall mean the water supply contracts respecting Project
output, entered into by and betWeen the District and the Other Agencies.
"Water Year" shall mean the twelve-month period from April I ofa Calendar Year to
March 31 of the immediately following Calendar Year, both dates inclusive.
"Zone 3" shall mean the area comprising Zone 3 of the District.
LOPEZ WATER CONTRACT
10
"Zone 3 Advisorv Committee" shall mean that certain advisory committee comprised of
representatives of the District, the Agency and each of the Other Agencies, appointed by the District,
the Agency and the Other Agencies, from time to time and meeting at scheduled intervals to advise
the District on matters relating to the Project, this Contract and the Water Supply Contracts.
Article 2. Term of Contract. This Contract shall become effective when the District has
executed (a) this Contract with the Agency; and (b) Water Supply Contracts with Other Agencies;
which, taken in the aggregate, establish Entitlements for at least 4,530 acre-feet of water from the.
Project, as set forth in Article 4(B) of this Contract and of such other Water Supply Contracts, and
the District shall promptly advise the Agency in writing of the effective date hereof. This Contract
shall remain in effect through the later of (i) the date which is six (6) months following the
repayment of the fmal Certificate of Participation outstanding; or (ii) the date which is thirty (30)
years from the effective date hereof; provided, however, that the term of this Contract shall
automatically be extended for additional periods of five (5) years from the scheduled expiration date
hereof, so long as the Agency has not, by the date which is 180 days prior to the scheduled expiration
date hereof, given written notice to the District to the effect that it wishes to terminate this Contract.
The Agency understands and agrees that each of the Other Agencies has the right to terminate its
Water Supply Contract on similar terms and that, if any Other Agency shall so elect to terminate its
Water Supply Contract, the Entitlement and corresponding obligations of such Other Agency shall
be apportioned among the Agency and the remaining Other Agencies, based upon a recalculation
of Proportionate Share or Percentage Share, based, where appropriate, on their access to and use of
Units, or as otherwise unanimously agreed by the Agency (unless the Agency shall have withdrawn),
all remaining Other Agencies and the District.
LOPEZ WATER CONTRACT
11
The parties hereto understand and agree that the Proj ect must be constructed in
accordance with State mandate and that its costs are determined through a competitive bid process
applicable to public works undertaken by the County and its agencies, now set for a date on or about
September 14,2000 (the "Project Bids"). Notwithstanding the foregoing paragraph, therefore, the
Agency and Other Agencies (collectively, the "Participating Agencies") may rescind their approval
of their respective Water Supply Contract and declare it cancelled and of no further force or effect,
but only if, following the County's opening of the Project Bids, the lowest response bidder for the
remaining work on the Project submits a Project Bid which, taken together with the other Project
Costs, would result in a total Project Cost in excess of$30,000,000 (Thirty Million Dollars). The
District covenants and agrees to provide prompt notice, and in any event within 48 hours of its
determination of the apparent winning Project Bid, to the Participating Agencies of the then-
estimated total Project Costs. The Participating Agencies shall have twenty (20) calendar days from
the date of receipt of such notice to exercise their rights of termination and recission hereunder; such
exercise shall be evidenced by delivery of written notice of such participating Agency's election to
the District and to each other Participating Agency. The District covenants and agrees not to award
any construction contract based on the Project Bids until after the foregoing twenty-day period has
elapsed.
Article 3. Validation. Either the District, the Agency or any Other Agency may file and
diligently prosecute to a fmal decree in a court of competent jurisdiction a proceeding in mandamus
or other appropriate proceeding or action for the judicial examination, approval, and confirmation
of the proceedings had for the organization of the District and for the participation ofthe Agency in
the Project hereunder, or for the validation of the Installment Purchase Agreement which is the basis
for the Tax-Exempt Obligations, or any of them, or the proceedings of the governing body of the
LOPEZ WATER CONTRACT
12
Agency leading up to and including the making of this Contract and the validity of the provisions
thereof and hereof.
Article 4. Distribution and Sale ofProiect Water. The following provisions govern the
distribution of water from the Project to the Agency, to the Other Agencies and for other purposes,
in the priorities set forth below:
(A) Legallv Required Water Releases. The parties hereto acknowledge and agree that
Project water is subject to certain releases and minimum storage requirements imposed by law which
are not affected by the terms hereof.
(B) Entitlements. Subject to the foregoing, the District shall make available to the
Agency in each Water Year, to the extent possible, 2,290 acre-feet of Project water. The District
will, in order to satisfY this entitlement and the entitlements of Other Agencies, set aside from the
Safe Yield the total of 4,530 acre-feet of Project water which will be distributed to the Agency and
the Other Agencies, as established under Article 4(B) hereof and of their respective Water Supply
Contracts. The Agency's Entitlement comprises 50.55 percent of the aggregate Entitlements
awarded under all the Water Supply Contracts, including this Contract. Such percentage comprises
the Agency's Proportionate Share hereunder. Notwithstanding the foregoing, the aggregate
Entitlements available under this Contract and. under the Water Supply Contracts may be reduced,
. following written notice given to the Agency from the District, due to (1) permanent or long-term
restrictions imposed upon the District caused by (i) extreme changes in long-term meteorological
patterns that reduce the Safe Yield assumptions for the Project; or (ii) multi-year drought conditions;
. or (2) temporary or short-term limitations based upon (i) reduced ability of the Project either to treat
or distribute water because offorce majeure; (ii) drought conditions; or (iii) water quality standards
which reduce the safe, treated output ofthe Project at the time.
. .
LOPEZ WATER CONTRACT
13
(C) Surplus Water Rates. Project water remaining after the distribution of Project water
as described in paragraphs (A) and (B) above shall comprise "Surplus Water" hereunder. Surplus
Water shall be sold in accordance with the provisions of this paragraph.
(1) Surplus Water shall first be offered by the District to the Agency and the Other
Agencies in accordance with their Proportionate Shares, with a price for such Surplus
Water to be established based on the Operation and Maintenance Cost of the District
incurred in delivering the Surplus Water actually purchased by the Agency or the Other
Agencies. If the Agency or any Other Agency shall commit in writing to purchase
Surplus Water from the District under this subparagraph, it shall be obligated to pay for
such Surplus Water, whether or not in fact ordered from the District or accepted by the
Agency, so long as such Surplus Water was in fact available for the period in question.
Neither the Agency nor any Other Agency shall resell Surplus Water at any time to third
parties, without the prior written consent of all Other Agencies.
(2) The District may offer to sell and deliver any Surplus Water not purchased by the
Agency or the Other Agencies hereunder to any other prospective purchaser without right
of renewal, in a manner and at prices which will return to the District the largest net
revenue practicable, but in no event at prices less than those at which such Surplus Water
is offered to the Agency, unless the Agency is first allowed another opportunity to
purchase such Surplus Water at the lower price, and in each case, attempting to recapture
the Operation and Maintenance Cost, the variable costs, if any, and Debt Service
attributable to the volume of Surplus Water actually purchased by such third parties, at
the highest price the market will then bear.
LOPEZ WATER CONTRACT
14
(3) All revenues derived by the District from the sale of Surplus Water to the Agency,
any Other Agency or any third party hereunder shall be applied as a credit to the
obligations of the Agency and the Other Agencies, based on the Proportionate Shares of
the Agency and each Other Agency.
(D)Sumlus Water. Beginning with the 2000-01 Water Year, Surplus Water shall be the
. portion of the Safe Yield for Project water remaining after distributions of water during the said
previous Water Year, as described below.
Surplus Water shall be calculated for each Water Year by subtracting from the Safe Yield
of the Project an amount equal to the sum of the quantity of water released downstream during the
immediately prior Water Year, which shall not exceed 4,200 acre feet lmless legally required by
Article 4(A) hereof, and the quantity of Entitlement water delivered to the Agency and the Other
Agencies during the immediately prior W ater Year, excluding downstream releases and Entitlement
deliveries that occurred during the period of time that the District determined that continuous
spillway flow was occurring at Lopez Dam.
The District shall notify the Agency of the total amount of Surplus Water available for
the current Water Year, and once so declared by the District, said amount shall not be changed by
the District without first obtaining the consent of the Agency and all Other Agencies.
Surplus Water purchased by the Agency will be delivered to Agency in the manner
provided for the delivery of its Entitlement and to the extent that all of said surplus water purchased
by Agency is not so delivered by the end of the Water Year in question, then such undelivered
amount shall revert to District and shall not thereafter be available to Agency.
Article 5. Water Shortages. From time to time during the term of this Contract, there
may occur a shortage in the quantity of Project water available for delivery to the Agency by the
LOPEZ WATER CONTRACT
15
District under this Contract, including, without limitation, for the reasons enumerated in Article
4(B). In such event, no liability shall accrue against the District or any of its officers, agents or
employees for any damage, direct or indirect, arising from a shortage on account of any reason
beyond the control of the District. In any Water Year during which such a shortage has caused a
reduction as described in said Article 4(B), so that the total quantity of the Entitlements available
for the District to distribute is less than the total established in said Article 4(B), following giving
of notice by the District as provided in ArtiCle 4(B), the Proportionate Share of the Agency and each
Other Agency under its Water Supply Contract shall be applied to such reduced amount in
determining the volume of Project water to be delivered to the Agency and such Other Agencies in
such Water Year.
ArtiCle 6. Completion of Seismic Remediation Improvements. The Agency understands
and acknowledges that the District intends to commence and complete the Seismic Remediation
Improvements with due diligence; in order to finance the construction of the Seismic Re~ediation
Improvements, the Agency understands and agrees that the District will have to cause the execution
and delivery of the Tax-Exempt Obligations on terms and conditions favorable to the District, the
Agency and the Other Agencies, to be established at the time of sale of the Tax-Exempt Obligations.
In particular, the Agency covenants and agrees that:
(A) The District shall contract for the public works comprising the Seismic Remediation
Improvements on such terms as the District, in its sound business judgment, may deem in the best
interests ofthe District, the Agency and the Other Agencies, but only following consideration by the
Zone 3 Advisory Committee of any such contracts in excess of the minimum standards for contracts
of a similar type then mandated for formal approval by the County Board (the "County Standards");
LOPEZ WATER CONTRACT
16
provided, however, that no such consideration shall be required as a precondition to any such action
in response to an emergency;
(B) The District may engage, but only (except in an emergency, in which case no such
consideration shall be required as a precondition) following consideration by the Zone 3 Advisory
Committee of any such contracts in excess of County Standards, contractors and consultants,
including, without limitation, environmental specialists, engineers, financial consultants,
underwriters, attorneys and accountants (collectively, the "Consultants"), as may be necessary in
order to plan and construct the Seismic Remediation Improvements and to issue and sell the Tax-
Exempt Obligations, on such terms and conditions as the District shall determine; provided,
however. that the District and the Agency hereby covenant and agree that all such contracts already
in place as of the effective date of this Contract shall be deemed noticed to and considered by the
Zone 3 Advisory Committee; and provided further, that no such consideration shall be required as
a precondition to any such action in response to an emergency;
(C) The District may authorize and sell at either public or private sale, or cause to be
executed and delivered, the Tax-Exempt Obligations at any time following the effective date hereof,
to provide for the financing or reimbursement to the District of the costs of the Seismic Remediation
Improvements, to establish a reserve fund for the Tax-Exempt Obligations and to pay the costs of
delivery thereof;
(D) The Agency will execute and provide such instruments, certificates and agreements
as may be necessary in order for the District to deliver the Tax-Exempt Obligations, including,
without limitation, information for inclusion in the disclosure document for the Tax-Exempt
Obligations and a continuing disclosure agreement to permit compliance with Rule 15c2-12 of the
LOPEZ WATER CONTRACT
17
Securities and Exchange Commission, respecting the Agency's fmancial condition and operations;
and
(E) The Agency will cooperate with the District and its Consultants in connection with
the planning and construction of the Seismic Remediation Improvements and the authorization and
delivery of the Tax-Exempt Obligations.
The District covenants and agrees to use its best efforts to complete the Seismic
Remediation Improvements by a date no later than June 30, 2002.
Article 7. Delivery of Water. All water to be furnished to the Agency pursuant to this
Contract shall be delivered to the Agency at the intersection of the Highway 101, South Frontage
Road and Brisco Road in the City of Arroyo Grande.
If the Agency shall desire at any time during the term of this Contract to change the
address at which it receives water from the District hereunder, or to install additional points of
delivery, it may do so if it furnishes all funds necessary to cover any District expenses involved, or
if it undertakes the construction of the necessary conduits and appurtenances at its own expense;
provided that the Agency shall not undertake any such construction until it has first obtained District
approval of the plans and specifications for such work. Upon the receipt of a request for a change
in or addition to the place of delivery of water thereunder, and the deposit of any required funds as
set forth in this paragraph, the District shall, if it has elected to perform its own construction of
.....
conduits and appurtenances, diligently proceed to construct the same.
Article 8. Measurement. All water furnished pursuant to this Contract shall be measured
by the District at each point of delivery established pursuant to Article 7 hereof with equipment
satisfactory to the District and the Agency. Said equipment shall be installed, operated and
maintained by the District. All determinations relative to the measuring of Project water shall be
LOPEZ WATER CONTRACT
18
made by the District and, upon request of the Agency, the accuracy of such measurement shall be
investigated by the District and certified to the Agency in writing. Any error appearing in the course
of such investigation and certification shall be cause for an adjustment by the District. The Agency
may inspect any such measuring equipment for the purpose of determining the accuracy thereof, at
its own expense at reasonable times upon reasonable notice. The District will install, or cause to be
installed, backflow prevention devices in connection with such measuring equipment to prevent
Project water delivered to the Agency or to the Other Agencies from returning to the District's lines.
Article 9. Time for Delivery ofProiect Water. The amounts, times and rates of deli very
of Project water to the Agency during any Water Year shall be in accordance with a water delivery
schedule determined in the following manner:
(A) On or before October I of each Calendar Year, the Agency shall submit in writing
to the District a preliminary water delivery schedule subject to the provisions of this Article and
Article 4, indicating the amounts of water desired by the Agency during each month of the
succeeding three (3) Water Years.
(B) Upon receipt of a preliminary schedule the District shall review it and after
consultation with the Agency shall make such modifications in it as are necessary to insure that the
amounts, times and rates of delivery to the Agency will be consistent with the available supply of
water from the Project, considering the current delivery schedules of all Other Agencies. On or
before January 1 of each Calendar Year, the District shall determine and furnish to the Agency a
water delivery schedule for the next succeeding Water Year, which shall show the amounts of water
to be delivered to the Agency during each month of that Water Year.
(C) A water delivery schedule may be amended by the District upon the Agency's written
request, and subject to (i) the circumstances described in Article 4(B) hereof and (ii) the pre-existing
LOPEZ WATER CONTRACT
19
requirements of the District under the water delivery schedules with the Other Agencies for the same
period oftirne. Proposed amendments to such schedules shall be submitted by the Agency within
a reasonable time prior to the date the desired change is to become effective, and they shall be
subject to review and modification by the District in the same manner as the preliminary water
schedule described in paragraph (B) above.
(D) In no event shall the District be obligated to deliver Project water to the Agency at
a combined instantaneous rate of flow exceeding 3.30 cubic feet per second.
Article 10. Responsibility for Delivery and Distribution of Water Bevond Delivery
Points. After Project water has passed the delivery points established in accordance with Article
7 above, neither the District nor its officers, agents or employees shall be liable for the control,
carriage, handling, use, disposal, distribution or changes occurring in the quality of such water
supplied to the Agency or for claim of damages of any nature whatsoever, including but not limited
to property damage, personal injury or death, arising out of or connected with the control, carriage,
handling, use, disposal, distribution or changes occurring in the quality of such water beyond said
delivery points, and the Agency shall defend, indemnifY and hold harmless the District and its
officers, agents and employees from and against any such damages or claims of damage.
Article 11. Operation and Maintenance ofProiect and Water Enterprise. The parties
hereto acknowledge and agree that the primary goal of the District shall be to maximize deliveries
of Project water, subject to Safe Yield and cost considerations, as to which the District shall be
expected to exercise sound business judgment.
(A) The District covenants and agrees that it will operate and maintain the Project, as
improved by the Seismic Remediation Improvements, in accordance with all govemmentallaws,
ordinances, approvals, rules, regulations and requirements, including, without limitation, such
LOPEZ WATER CONTRACT
20
zoning, sanitary, pollution, environmental and safety ordinances and laws and such rules and
regulations thereunder as may be binding upon the District. The District further covenants and
agrees that it will maintain and operate the Project and all pumps, machinery, conduits, apparatus,
fixtures, fittings and equipment of any kind in or that shall be placed in any building or structure or
made a part of any conduit or easement now or hereafter at any time constituting part of the Project
in good repair, working order and condition, and that it will from time to time inspect and test all
Project facilities against then-current water supply industry standards, and to pursue or recommend
all necessary and proper replacements, repairs, renewals' and improvements thereto.
(B) In order to satisfy its covenants set forth in this Article, the District shall determine,
prior to each Water Year, the amount of Capital Reserves necessary for the Project for the upcoming
Water Year, shall prepare its draft annual budget by no later than March 1 to reflect such Capital
Reserves, shall provide copies of each such budget to the Zone 3 Advisory Committee, the Agency
and the Other Agencies for review and comment, prior to its distribution to and consideration by the
Board of Supervisors of the County, and shall, if deemed necessary or advisable, develop and
promulgate to the Agency and the Other Agencies a multi-year improvement plan for the Project,
reflecting the annual requirements for Capital Reserves.
(C) At any time, or from time to time, without the consent o(the Agency or any Other
Agency, the District shall be entitled to undertake the construction or equipping of any Additional
Project or other improvements to or repairs of the Project not comprising a Type III Additional
Project, but only if (i) it shall determine that such Additional Project, improvements or repairs are
necessary in order to keep the Project functioning at the levels and to maintain the water supply at
the quality required hereunder and under the other Water Supply Contracts; or (ii) competent
Goverrunental Authority shall direct such Additional Projects, improvements or repairs; provided
LOPEZ WATER CONTRACT
21
that. before an Additional Project other than a Type III Additional Project, improvements or repairs
may be ordered pursuant to direction of competent Governmental Authority, the District, the Agency
and the Other Agencies shall be afforded notice thereof and the opportunity to oppose the imposition
of such requirement before a court of competent jurisdiction; only if a fmal judgment is thereafter
rendered; in favor of such Additional Project, improvements or repairs, or if no. such opposition is
filed, shall an Additional Project other than a Type nr Additional Project, improvements or repairs
be constructed or made pursuant to this clause (ii). Emergency repairs to the Project may,
notwithstanding the above, be made by the District without the requirement of notice and
opportunity to oppose described herein. It is the intention of the parties hereto that the District shall,
as and when necessary, be deemed to assign its rights to pursue opposition to the creation of any
obligations hereunder by a Governmental Authority to the Agency and/or the Other Agencies, as
their interests may appear, in recognition of the status of the Agency and the Other Agencies as third
party beneficiaries hereof and real parties in interest. No preexisting right of the Agency or the Other
Agencies to pursue actions administratively, by law or in equity associated with the construction,
maintenance and operation of the Project shall be abrogated by the Agency or such Otlier Agencies
by its or their. execution ofthis Contract or the other Water Supply Contracts.
(D) For its part, the Agency covenants and agrees:
(1) not to sell, lease or otherwise dispose of its Water Enterprise or any part thereof
essential to the proper operation thereof or to the earning or collection of the gross revenues ofthe
Water Enterprise, nor to enter into any agreement or lease which would impair the operation of the
Water Enterprise or any part thereof necessary in order to secure adequate revenues for the payment
of amounts due under this Contract; provided, however, that ariy real or personal property which has
become nonfunctional or obsolete or which is not needed for the efficient operation of the Water
LOPEZ WATER CONTRACT
22
Enterprise may be sold or disposed of if such disposition will not have the effect of reducing
revenues of the Water Enterprise below the levels required under this Contract;
(2) to maintain and preserve the Water Enterprise in good repair and working order at
all times, operate the same in an efficient and economical manner and pay all operation and
maintenance costs of the Water Enterprise as they become due;
(3) not later than the first day of each Fiscal Year, to adopt and make available to the
District a budget approved by its governing board setting forth the amOlmts budgeted to be paid
under this Contract;
(4) to comply with, keep, observe and perform all agreements, conditions, covenants
and terms, express or implied, required to be performed by it contained in all contracts for the use
of the Water Enterprise and all other contracts affecting or involving the Water Enterprise to the
extent that the Agency is a party thereto;
(5) not to create or allow any lien on or payment from the revenues of the Water
Enterprise or any part thereof prior to or superior to its obligation to pay amounts payable under this
Contract;
(6) to procure and maintain such insurance relating to the Water Enterprise which
it shall deem advisable or necessary to protect its interests, which insurance shall afford protection
in such amounts and against such risks as are usually covered in connecti<;>n with similar water
enterprises in the State of California; provided, that the Agency shall not be required to procure or
maintain any such insurance unless such insurance is commercially available at reasonable cost; and
provided further, that any such insurance may be maintained under a self-insurance program, so long
as such self-insurance program is maintained in accordance with standards and in such amounts as
are then usually maintained for similar water enterprises in the State of California;
LOPEZ WATER CONTRACT
23
(7) to pay and discharge all taxes, assessments and others governmental charges
which may hereafter be lawfully imposed upon the Water Enterprise or any part thereof when the
same shall become due; duly observe and conform with all valid regulations and requirements of any
governmental authority relative to the operation of the Water Enterprise, that are not being contested'
in good faith; and
(8) if all or any material part of the Water Enterprise shall be taken by eminent
. domain proceedings, or if the Agency receives any insurance proceeds resulting from a casualty loss
to any material portion of the Water Enterprise, the proceeds thereof shall be used to construct or
install replacements for the condemned or destroyed components of the Water Enterprise or to
prepay the Agency's share of Debt Service under this Contract.
Article 12. Water Oualitv. All water delivered to the Agency under this Contract shall
meet all State of California and San Luis Obispo County minimwri water quality standards for water
for domestic use.
Article 13. Curtailment ofDeliverv ofProiect Water for Maintenance Purposes. The
District may temporarily discontinue or reduce the amount of water to be furnished to the Agency
for purposes of maintaining, repairing, replacing and investigating or inspecting, any of the facilities
necessary for the furnishing of Project water to the Agency hereunder. Insofar as it is feasible, the
District will give the Agency advance notice of any such temporary discontinuance or reduction,
except in the case of emergency, in which case no advance notice need be given. In the event of
such discontinuance or reduction, the District will apply its best efforts to minimize the duration and
severity of service interruption hereunder and shall, as nearly as possible, make availabie to the
Agency Project water sufficient to make up for any shortfall in deliveries of water to the Agency
during the period of curtailment.
LOPEZ WATER CONTRACT
24
Article 14. Rate and Method ofPavment. Commencing with the first Water Year during
which Project water is made available to the Agency hereunder, the Agency shall pay to the District
in advance and on a semiannual basis, its Contract Payments, calculated and paid in accordance with
the further provisions of this Article, for the Project water made available under this Contract for
such Water Year, plus a variable charge, to be determined as set forth in paragraph (D) of this
Article, to be calculated on a quarterly basis and paid in arrears.
(A) Allocation of Total Project Costs and Debt Service. On or before April 1 of each
Calendar Year, the District shall calculate, or cause to be calculated, Total Project Costs for the
Fiscal Year commencing on the immediately following July 1. The District shall deduct from the
calculated Total Project Costs for such Fiscal Year: (1) the general ad valorem property taxes to be
received by the District during the Fiscal Year in question; provided that any ad valorem taxes levied
and paid to provide debt service on the District's General Obligation Bonds outstanding at any time
shall be restricted to use for the payment of debt service on such General Obligation Bonds and shall
not be included in the deducted amount represented by the foregoing clause; and (2) a sum equal to
Recreational Use Revenues received by the District during the Fiscal Year about to be concluded.
The result shall comprise the Total Contract Payments due, collectively; from the Agency hereunder
and from the Other Agencies under their respective Water Supply Contracts.
In determining the Debt Service portion of Total Project Costs during any Fiscal Year to be
supported by the Agency, the District shall make the following calculations:
[(G.O. Debt Service) + (Installment Debt Service)] - (District Revenues) = Allocable
Debt Service ("ADS")
[(Proportionate Share) x ADS] = Annual Agency Obligations ("AAO")
AAO - (G.O. Tax Collections) = Agency Debt Service
LOPEZ WATER CONTRACT
25
For purposes of the above calculations, the term "G.D. Debt Service" above refers to the debt
service on the District's General Obligation Bonds; the term ."lnstallment Debt Service" refers to the
installment payments due with respect to the Tax-Exempt Obligations;. the term "Proportionate
Share" refers to the Agency's Proportionate Share hereunder; the term "District Revenues" refers
to the amounts available to the District under the second sentence ofthis paragraph (A) of Article
14; and the term "G. O. Tax Collections" refers to amounts collected to support the General
Obligation Bonds within the boundaries of the Agency during the Fiscal Year in question, based
upon then-current levies; provided, however, that in the case of County Service Area No. 12, such
boundaries shall be deemed to include that area comprising Avila Beach Community Services
District, as well as the area comprising such County Service Area No. 12. In no event shall Agency
Debt Service, as calculated above, be a figure less than zero. The foregoing calculations shall be
performed by the District each Fiscal Year and shall be made available to the Agency with respect
to each Other Agency, as well.
No more frequently than annually, the District shall retain a certified public
accountant, or firm thereof, with the approval of the Zone 3 Advisory Board, which shall be
responsible for reviewing and confirming the Agency Debt Service figures resulting from the
foregoing calculations, and reporting the same to the Agency, the District and each Other Agency.
(B) Agency Contract Payments. Unless the Agency shall, in accordance with
paragraph (C) below, be entitled to an offsetting credit, the Agency shall be obligated to pay to the
District:
LOPEZ WATER CONTRACT
26
(1) on or before July I and the immediately following January I of each
Fiscal Year, a sum equal to one-half of its Percentage Share of charges for Operation and
Maintenance and Capital Reserves for such Fiscal Year;
(2) on or before July I of each Fiscal Year, a Stun equal to Agency Debt
Service, as calculated under paragraph (A) above; and
(3) on or before the fifteenth day following the end of each Calendar
Quarter during a Fiscal Year, the variable charge calculated in accordance with paragraph (D) below
for the Calendar Quarter ending on the last day of the Calendar Quarter most recently concluded.
(C) Agency Credits against Contract Payments. The following shall constitute
credits against the obligations of the Agency to pay Contract Payments to the District:
(1) (a) If, prior to the date upon which the District causes the Tax-
Exempt Obligations to be sold, the Agency shall contribute, in cash, a sum as and for its
Proportionate Share of the total amount of costs and expenses projected by the District as the basis
for the Seismic Remediation Project, or any portion of its Proportionate Share, so that the aggregate
principal component of the Tax-Exempt Obligations is reduced by such sum, the Agency's
Proportionate Share of Debt Service, and therefore, of Total Project Costs, shall be reduced
accordingly; and
(b) If the Agency shall, following the date of delivery of the Tax-
Exempt Obligations, successfully implement a financing plan within its jurisdiction to fund all or
a portion of Debt Service during the term of the Tax-Exempt Obligations through the levy of ad
valorem property taxes, special assessments or special taxes, then the Agency shall be entitled to a
credit from amounts paid under such levy as though such amounts were paid directly by the Agency
LOPEZ WATER CONTRACT
27
hereunder, subject to the prior approval of each rating agency then rating the Tax-Exempt
Obligations and any bond insurer then providing insurance therefor; provided, however, that the
District shall be made a third-party beneficiary of any pledge of such alternate source of revenues,
with the power to enforce collection thereof, in the event the Agency should fail to do so; and
(c) The Agency shall be entitled to a credit equal to a Percentage
Share of the net revenues the District shall have received from the. sale of Surplus Water and from
I
i
II
I
I
I
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II
I
II
II
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the delivery of any water wheeled for Wheeling Customers, as defined in and pursuant to the
provisions of Section 31, during the Fiscal Year in question; in determining the amount of such
wheeling credits against the obligations of the Agency hereunder, the District shall apportion its net
revenues from the foregoing sources, taking into account the particular Unit or Units through which
delivery of Surplus Water or wheeled water was made, and shall compare the Agency's Percentage
Share for such Unit or Units with the aggregate Percentage Share for all Other Agencies and the
I ~
;
'I
,i
Agency for such Unit or Units.
(2) On or before December I of each year, the District shall deliver to the
Agency a statement as to the actual Operation and Maintenance Costs and Capital Reserve charges
incurred or imposed during the Fiscal Year most recently concluded, and shall set forth in such
I
I
:;
I
,
i
,
,
,
"
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II
,[
statement its determination as to whether the amounts theretofore paid by the Agency as its
Percentage Share of estimated charges for Operation and Maintenan.ce Costs and for Capital
Reserves were in excess of or less than its Percentage Share of such costs and charges for the Fiscal
Year most recently concluded. If the Agency shall have paid less than its Percentage Share of actual
Operation and Maintenance Costs and charges for Capital Reserves for such Fiscal Year, the
i
I
I
I
,
Agency shall remit the difference to the District within (180) days of the date upon which it receives
such a statement; if the Agency shall have paid more than its Percentage Share of such costs and
LOPEZ WATER CONTRACT
28
charges for such Fiscal Year, the District shall rebate the difference to the Agency promptly
following its delivery of the closing statement, and, in any event, within thirty (30) days thereafter.
(D) Quarterly Variable Charges. The sum of quarterly variable charges to the
Agency and the Other Agencies shall be an amount which is estimated to be sufficient to compensate
the District for actual Proj ect pumping energy charges incurred during the respective Calendar
Quarter. The variable charge shall be determined for each Calendar Quarter during which Project
water is made available to the Agency under this Contract by (1) dividing the District's actual cost
of pumping energy during that Calendar Quarter by the total acre-feet of Project water delivered by
the District during such Calendar Quarter to the Agency and all Other Agencies pursuant to this
Contract and the other Water Supply Contracts, and (2) multiplying this acre-foot charge by the
number of acre-feet of Project water delivered by the District to the Agency during such Calendar
Quarter. The District shall notify the Agency in writing of such variable charge by a date no later
than the fifteenth day following the end of each Calendar Quarter, for the variable charges
attributable to the Calendar Quarter most recently concluded.
(E) Use by District of Total Contract Payments. During the term of this
Contract and ofthe other Water Supply Contracts, the District shall proceed with due diligence to
collect Total Contract Payments as and when due, and shall apply amounts collected in the following
order of priority:
(1) to the payment of Operation and Maintenance Costs;
(2) to the payment of Debt Service with respect to the Tax-Exempt
Obligations; and
(3) to the replenishment or funding of Capital Reserves for the Project,
in accordance with the provisions set forth in Article 10 hereof.
LOPEZ WATER CONTRACT
29
Article 15. Take-or-Pav Obligation of Agencv. Commencing on the first date upon
which Project water is provided under this Contract, the Agency shall pay all amounts due
hereunder, including, without limitation, under Article 14 hereof, without reduction or offset of any
kind, whether or not the Project or any part thereof is then operating or operable or its service is
suspended, interfered with, reduced or curtailed or terminated in whole or in part, due to any of the
reasons outlined in Articles 4(B), 5 and 13 or otherwise, and such Agency payments shall not be
conditional upon the performance or nonperformance by any party for any cause whatsoever,
including the Other Agencies; orovided, however, that savings from nonoperation of the Project shall
be apportioned among the Agency and the Other Agencies in accordance with their Percentage
Shares.
The Agency's failure or refusal to accept delivery of Project water to which it is
entitled under this Contract shall in no way relieve the Agency of its obligation to make payments
to the District as provided for herein.
Article 16. Pledge; Establishment and Collection of Rates and Charges. The
Agency, unless it shall have paid cash as its share ofthe Total Project Costs, as provided in Article
14(C)(1) hereof, hereby pledges gross water sale revenues of its Water Enterprise to its obligations
under this Contract, and covenants and agrees to establish, fix and collect Rates and Charges from
the customers of its Water Enterprise at levels sufficient to produce revenues from the Water
Enterprise at least equal to (A) the costs of operating and maintaining the Water Enterprise, plus (B)
the Agency's Contract Payments, calculated in accordance with Article 14(B) hereof, including (C)
the Agency's Proportionate Share of Debt Service, plus (D) the Coverage Factor for the Debt Service
portion of the Agency's Contract Payments; provided, however, that the provisions of Article 21 (C)
hereof may impose upon the Agency a surcharge following the occurrence of any payment default
LOPEZ WATER CONTRACT
30
by the Agency. The Agency acknowledges and agrees that its obligations hereunder shall comprise,
for accounting purposes, an operation and maintenance expense of its Water Enterprise.
Article 17. Default. (A) The following shall constitute events of default hereunder:
(1) The Agency shall fail to make timely payment in full of all amounts
due from the Agency under the terms of this Contract; or
(2) The Agency shall fail to establish or collect, or cause to be collected,
all fees, charges and other sums necessary to enable it to make the payments required hereunder, as
provided in Article 16 hereof, and, following thirty (30) days' written notice from the District to the
Agency, shall fail to remedy such failure to the satisfaction of the District; or
(3) , The Agency shall fail to perform any other obligation or covenant
hereunder and shall fail to remedy such failure to the satisfaction of the District within thirty (30)
days following the Agency's receipt of written notice from the District, or for such additional time
as is reasonably required, in the sole discretion of the District, to correct the same; or
(4) The Agency shall file any petition or institute any proceedings under
any act or acts, State or federal, dealing with or relating to the subject of bankruptcy or insolvency
or under any amendment to such act or acts, either as a bankrupt or as an insolvent or as a debtor or
in any similar capacity, wherein or whereby the Agency seeks or prays to be adjudicated a bankrupt
or is to be discharged from any or all of its debts or obligations, or offers a reorganization of its
obligations for the benefit of creditors, or asks for similar relief.
(B) Upon the occurrence of an event of default hereunder, the District shall be
entitled to proceed to protect and enforce the rights vested in ,the District by this Agreement by
appropriate judicial proceedings as the District may deem most effective, either in equity or law.
LOPEZ WATER CONTRACT
31
Without limiting the generality ofthe foregoing, the District shall be entitled to pursue any of the
following remedies:
(1) The District may suspend the delivery of water hereunder during the
period when the Agency is delinquent in its payment for or other obligations to the District
hereunder, but only following notice to the Agency and the imposition of such remedy following a
formal hearing conducted by the County Board;
(2) The District may compel the Agency, or its governing board, by
action or suit in equity to account to the District as the trustee of an express trust;
(3) The District may pursue by action or suit in equity to enjoin any acts
or things which may be unlawful or in violation ofthe rights of the District hereunder; and
(4) The District may proceed in mandamus or other suit, action or
proceeding at law or in equity to enforce its rights against the Agency (and its board, officers, agents
and employees) and to compel the Agency to perform and carry out its duties and obligations under
the law and its covenants and obligations as set forth herein.
The use by either party to this Contract of any remedy specified herein for the
enforcement ofthis Contract is not exclusive and shall not deprive the party using such remedy of,
or limit the application of, any other remedy provide hereunder or by law or equity.
(C) Upon each charge to be paid by the Agency to the District pursuant to this
contract which remains unpaid after the same shall have become due and payable, interest shall
accrue at an annual rate equal to that earned by the County Treasurer's investment fund as provided
in Government Code Section 16480 et seq. calculated monthly on the amount of such delinquent
payment from and after the due date when the same becomes due until paid, and the Agency hereby
agrees to pay such interest; provided, that no interest shall be charged to or be paid by the Agency
LOPEZ WATER CONTRACT
32
unless such delinquency continues for more than thirty (30) days. The Agency hereby agrees to pay
such interest to the District, whether or not the District shall pursue any of the remedies specified
in this Article. . In no event shall default interest be compounded.
Article 18. Failure to Levv. Set or Collect Taxes. Rates and Charges; Establishment
of Coverage Account. If the Agency for any reason shall fail or refuse to establish or levy taxes or
Rates and Charges sufficient to satisfy the requirements of Article 16 hereof, or if the Agency shall
be precluded from establishing rates and charges at the levels required in said Article 16, then the
Agency shall promptly notify the District of such fact, in writing, and shall establish either (a) with
the District; or (b) with a Depository designated by the Agency to the District in writing; a Coverage
Account, into which the Agency shall deposit, from the fust lawfully available funds therefor, an
amount equal to one year's Coverage Factor for the Debt Service portion of the Agency's Contract
Payments hereunder. The Coverage Account shall be invested in accordance with applicable
provisions of the Government Code, subject to any limitations established pursuant to Section 148
ofthe Internal Revenue Code of 1986, as amended, applicable to surplus moneys ofthe Agency and
shall be and remain available to the Agency and to the District as a source offunds to remedy any
shortfall in the payment of Agency Contract Payments hereunder. The Coverage Account shall be
pledged to the District for the purposes described herein, and the Agency covenants and agrees to
execute such instruments as may be necessary in order to effect a pledge of amounts on deposit in
the Coverage Account, acknowledging and agreeing as well to follow the advice of special tax
counsel to the District in connection with the pledge and investment of the Coverage Account, as
may be necessary or advisable in order to maintain the tax status of the Tax-Exempt Obligations.
If at any time following the establishment of the Coverage Account hereunder, the
Agency shall again be able to and shall collect rates and charges as required under Article 16 hereof,
LOPEZ WATER CONTRACT
33
the Coverage Account may be released to the credit and name of the Agency for any lawful purpose
thereof, upon delivery to the District of evidence satisfactory to the District that (i) the Agency has
successfully levied rates and charges for its Water Enterprise at the appropriate levels for at least one
full Fiscal or Water Year since the Coverage Account was fIrst created, and (ii) the Agency is then
current on all payments due under this Contract; whereupon, the District shall either release the
Coverage Account to the Agency or shall direct the Depository to do so, free from the lien described
herein.
Article 19. Area Served bv Agencv. Water delivered to the Agency pursuant to this
Contract shall not be sold or otherwise disposed of by the Agency for use outside the boundaries of
Zone 3 as they may now or hereafter exist, without the prior written consent of the District.
Article 20. Changes in Organization of Agencv. The Agency will furnish the
District with maps showing the territorial limits of the Agency and the service area or areas of its
water distribution system. Throughout the term of this Contract, the Agency will promptly notify
the District of any changes, either by including or exclusion, in said territorial limits and service area
or areas. The Agency shall take no action to exclude any lands from the Agency or its service area
or areas without the prior written consent ofthe District.
Article 21. Agencv's.Obligations Several and Not Joint: Limited Step-up Provisions
and Reimbursement. (A) Except as provided in paragraph (B) of this Article, the Agency and the
Other Agencies shall be solely responsible and liable for performance under this Contract or under
the other Water Supply Contracts, as applicable. Their obligations to the District to make payments
under this Contract and the other Water Supply Contracts are expressly recogniied by the District
as several, and not joint, and no default on the part of one of the Other Agencies shall, in and of
itself, create an event of default hereunder. The Coverage Account of the Agency, if any is
LOPEZ WATER CONTRACT
34
established hereunder, shall not be available for any shortfall in payments under any ofthe other
Water Supply Contracts, unless otherwise directed or approved in writing by the Agency.
(B) In the event that the Agency or any Other Agency (each, a "Delinquent
Agency") shall fail to pay its Contract Payments hereunder or under the Other Agency's Water
Supply Contract, as appropriate, for any reason, then the Contract Payments for each non-
delinquent agency (each, a "Non-Delinquent Agency") then participating in the Project shall be
increased for the particular Water Year by an amount equal to the sum of Contract Payments not paid
in full by Delinquent Agencies (collectively, the "Shortfall"); provided, however, that Non-
Delinquent Agencies shall contribute to the Shortfall in a proportion determined by dividing the Debt
Service portion of the Contract Payments attributable to each particular Non-Defaulting Agency by
the aggregate Debt Service portions of the Contract Payments attributable to all Non-Defaulting
Agencies; and provided further, that the Agency in no event shall be required under this paragraph
to contribute to the Shortfall by an amount in any Water Year exceeding the amount which is 20%
of the portion of the Agency's Contract Payments representing Debt Service for that W ater Year.
(C) If payments are made by Non-Delinquent Agencies under the foregoing
paragraph (B) during any Water Year, the District shall, beginning on the first date upon which
payments are due from a Delinquent Agency and not paid in accordance with its Water Supply
Contract (each, a "Due Date"), declare a default as to such Delinquent Agency under its Water
Supply Contract and shall be entitled to curtail all deliveries of Project water under such Water
Supply Contract to such Delinquent Agency; notwithstanding the foregoing, such Delinquent
Agency shall nonetheless continue to be obligated under its Water Supply Contract for amounts paid
on its behalfby the Non-Delinquent Agencies, until it has reimbursed each Non-Delinquent Agency
LOPEZ WATER CONTRACT
35
in full. Amounts advanced by the Non-Delinquent Agencies hereunder are immediately due and
payable by the responsible Delinquent Agency, and, if not so paid, and notwithstanding the
provisions of Article 17(C), incur interest on the unpaid portion until paid in full at a rate per annum
equal to the average rate for the County Treasury Pool, plus two percent (2.0%) per annum, for the
month for which the County Treasury Pool rate was most recently calculated, based on a 360-day
year of twelve 30-day months; provided, however, that payments to be made as reimbursements
under this paragraph (C) are deemed and understood to be subordinate to the obligations of the
Delinquent Agencies to pay their Proportionate Shares of Debt Service.
(D) Shortfalls in Total Contract Payments shall be remedied under this Article
prior to the District's making any withdrawal from the debt service reserve fund established, or
under the reserve surety bond posted, for the Tax -Exempt Obligations, if any, drawings on or under
which shall be delayed until and unless insufficient moneys are available from Non-Defaulting
Agencies hereunder.
(E) The District covenants and agrees to enforce the provisions of this Water
Supply Contract with due diligence, including, without limitation, the provisions of this Section for
the benefit of the owners, from time to time, ofthe Tax-Exempt Obligations. Article 2;
provide for different dates, quantities of water to be delivered, water delivery points, Proportionate
Shares and Percentage Shares and payment amounts.
Article 23. Amendments. This Contract shall be subject to amendment at any time
by mutual agreement ofthe parties hereto, except insofar as any proposed amendments are in any
way contrary to applicable law, or would have a material adverse effect upon the owners of any of
the Tax-Exempt Obligations. As a condition to any amendment to this Contract or to the other
Water Supply Contracts, the District shall first have received written confirmation from the rating
LOPEZ WATER CONTRACT
36
agency or agencies then providing a rating for the Tax-Exempt Obligations, to the effect that the
proposed amendments will not adversely affect the rating of the Tax-Exempt Obligations and, in the
event that the Tax-Exempt Obligations, or any portion thereof, shall be covered by municipal bond
insurance, the District shall have received prior written consent to such proposed amendments from
the provider of such bond insurance. Amendments may be effected upon the following conditions:
(A) Amendments to this Contract or the other Water Supply Contracts which have
the effect of replacing the Agency's or any Other Agency's Proportionate Share of Project water or
Percentage Share of Total Contract Payments with water purchases by or revenues contributed from
either (i) the Agency or some Other Agency or (ii) a new customer, shall be subject to the approval
only of those entities whose Proportionate Shares or Percentage Shares willbe affected, and the
District.
(B) Upon the written request of the Agency or any Other Agency, the District
may order the construction or equipping of any Type III Additional Project; provided, however, that
the requesting Agency or Other Agency shall first demonstrate to the satisfaction ofthe District that
either (i) the proposed Type III Additional Project will be economically feasible with the financial
support of only the requesting Agency and/or Other Agencies who voluntarily participate (whose
Percentage Shares will thereafter be appropriately adjusted); or (ii) the Agency and all ofthe Other
Agencies will consent to the funding of the Type III Additional Project and will agree to increase
Total Project Costs sufficiently to provide for the costs thereof. The financing of a Type III
Additional Project may be accomplished through the levy of additional Capital Reserves, the
issuance of additional bonds or other evidences of indebtedness or otherwise. The undertaking of
Type I or Type II Additional Projects shall not require the consent of the Agency or any Other
Agency nor the amendment of this Contract.
LOPEZ WATER CONTRACT
37
(C) Amendments to this Contract and to the other Water Supply Contracts other
than those specified above shall be approved only upon the prior written and unanimous consent of
the District, the Agency and all Other Agencies.
Article 24. Opinions and Determinations; Good Faith; Information to Be Provided
to Zone 3 Advisory Committee. (A) Where the terms of this Contract provide for action to be based
upon opinion, judgment, approval, review or determination of either party hereto, such terms are not
intended to and shall never be construed to permit such opinion, judgment, approval, review of
determination to be arbitrary, capricious or unreasonable. The District and the Agency shall each
act in good faith in performing their respective obligations as set forth in this Contract.
(B) The Zone 3 Advisory Committee, created by appointment of designated
representatives made by the Agency, each Other Agency and the District, is hereby continued for
the purpose of advising the District regarding administrative and operational concerns affecting the
Project. The District covenants and agrees to present to the Zone 3 Advisory Committee, at its
regularly scheduled or specially called meetings, the following items for advice and comment, in
each case, prior to [mal presentation of the same item to the Board of Supervisors of the COlmty:
(i) the annual budgets for the District;
(ii) the approval of each non-emergency Capital Project which has not
theretofore been included in an annual budget of the District; itbeing understood and
agreed that emergency repairs and improvements shall be exempt from any
requirement for preview established hereby;
(iii) the mid-year review of actual fiscal performance of the Project, provided
for the then-current Fiscal Year, and in any event, prior to March 31 of each calendar
LOPEZ WATER CONTRACT
38
year, which may, to the extent practicable, be combined with the reyiew of the
District's annual budget for the next Fiscal Year; and
(iv) amendments to the methodology or formula established in County Board
Resolution No. 2000-133, adopted April 4, 2000, with respect to the making of
Recreational Budget Transfers.
Article 25. Waiver of Rights. Any waiver at any time by either party hereto of its
rights with respect to a breach or default, or any other matter arising in connection with this Contract,
shall not be deemed to be a waiver with respect to any other breach, default or matter hereunder, nor
as to a breach or default occurring or having occurred under any other Water Supply Contract.
Article 26. Notices. All notices that are required either expressly or by implication
to be given by either party to the other under this Contract shall, if given in writing, be executed on
behalf of the District or for the Agency by such authorized officers as they may each, from time to
time, authorize in writing for such purposes. All notices shall be deemed to have been given and
delivered if delivered personally or if deposited, postage prepaid, with the United States Postal
Service for delivery. Unless and until formally notified otherwise, all notices shall be addressed to
the parties at their addresses shown on the signature page of this Contract; provided, however, that
either party may give written notice to the other of a change in such notice address.
Article 27. Assignment: Pledge. The provisions of this Contract shall apply to and
bind the successors and assigns of the respective parties, including any assignee hereof designated
in connection with the execution and delivery ofthe Tax-Exempt Obligations, but no assignment
or transfer of this Contract by the Agency, or any part hereof or interest herein, shall be valid until
and unless approved by the District; provided. however, that no further assignment by the District
shall be valid until and unless approved by the Agency and all of the Other Agencies; and provided
LOPEZ WATER CONTRACT
39
further, that, se leng as any Tax-Exempt Obligatiens are .outstanding, nc such assignment shall be
effective until such time as the District has received assurances frem each rating agency then rating
the Tax-Exempt Obligatiens, te the effect that such transfer shall nct adversely affect the rating .on
the Tax-Exempt Obligaticns, and, se leng as any Tax-Exempt Obligatiens are then being insured
by a municipal bend insurance cempany, until such time as the District has received the written
censent frem such bend insurer as te such assignment. The Agency understands and acknewledges
that the District intends te pledge ameunts received and te be received hereunder and under the ether
Water Supply Centracts te a financial institutien and/cr ncnprcfit corpcratien as further suppert fer
its ebligatiens under the Tax-Exempt Obligatiens.
Article 28. InsPectian .of Beeks and Recerds. The autherized .officers .of the Agency
shall have full and free access at all reasenable times ta the acceunt beeks and .official recerds efthe
District insafar as the same pertain te the matters and services pravided fer in this Centract, with the
right at any time during regular .office heurs .of the District ta make cepies thereef at the Agency's
expense, and the autherized .officers .of the District shall have similar rights in respect ta the accaunt
baeks and recards .of the Agency far its Water Enterprise.
Article 29. Severability. Any pravisian .of this Cantract that is prahibited,
unenfarceable .or nat autherized in any jurisdictian shall, as ta suchjurisdictian, be ineffective ta the
extent .of such prohibitian, unenferceability .or nanautharizatian witheut invalidating the remaining
previsiens hereef .of affecting the validity, enfarceability eflegality .of such previsian in any ather
jurisdictien.
Article 30. Water Rights. Na pravisian .of this Cantract shall be cansidered ta bein
derogatien .of any existing waiver efright(s) .or claim(s) te Water Right(s) by .or any agreements
cencerning Water Rights .of either party hereaf, including but nat limited ta .overlying, prescriptive,
LaPEZ WATER caNTRACT
40
appropriative, riparian, or pueblo rights, nor shall it be construed to result in any relinquishment or
adjustment of any such Water Rights or claims thereof; and, in particular, no provision of this
Contract shall be considered to diminish, reduce or affect, in any way, either party's rights pursuant
to California Water Code Section 1005.1 and/or Section 1005.2
Article 31. Wheeling of Water. As used in this Article, the term "Existing
Contractor" shall refer to this Agency and any Other Agencies presently having a contract with the
District for the delivery of Project water; any person other than an Existing Contractor which shall
arrange for the delivery of water other than Project water from the District under the terms hereof
shall be described as a "Wheeling Customer." The Agency, as an Existing Contractor, shall be
entitled to have additional water wheeled to it by the District through the various Units of the
Project, at the actual cost of such wheeling, determined in accordance with the terms and conditions
of the existing contracts by and between the District and the Agency or Other Agencies for the
delivery of State Project Water to the Agency or Other Agencies through the Project.
If at any time during the term of this Contract, the District delivers water, other than
Project water, through any Unit of the Project to any Wheeling Customer, said Wheeling Customer
shall be required to pay for such delivery service in a manner and at prices which will return to the
District the largest net revenue practicable, but in no event shall such deliveries be effected at
charges less than those applicable to the delivery of Project water to the Agency through the same
Unit or Units.
In determining the appropriate charges for water delivered to a Wheeling Customer
hereunder, the District shall take into account the particular Unit or Units through which delivery
of such water is made, shall compare the Operation and Maintenance Costs and Debt Service costs
apportionable to such Unit or Units with Total Project Costs, and shall further compare the amount
LOPEZ WATER CONTRACT
41
of water delivered to Wheeling Customers through such Unit or Units with the amount of Project
water delivered to Existing Contractors through such Unit or Units for the same period of time.
In calculating credits to the Existing Contractors from the delivery of water to
Wheeling Customers under this Contract and the other Water Supply Contracts, the District shall
apportion such credits according to the Unit or Units through which such water was in fact delivered,
as described in the preceding paragraph.
The provisions of this Article shall be subject to any contracts which the District may
execute with the United States of America for any grants from the Department of Housing and Urban
Development.
Article 32. Execution in Counterparts. This Contract may be executed in several
counterparts, each of which shall be regarded as an original and all of which shall constitute but one
and the same document.
Article 33. Governing Law. This Contract shall be interpreted, governed and
enforced in accordance with the laws of the State of California applicable" to contracts made and
performed in such State.
LOPEZ WATER CONTRACT
42
IN WITNESS WHEREOF, the parties hereto have executed this Contract on the date
first above written.
APPROVED AS TO FORM:
COUNTY COUNSEL
By
Senior Deputy County Counsel
ATTEST:
COUNTY CLERK
By
Deputy
ATTEST:
By
Director of Administrative Services/
Deputy City Clerk
APPROVED AS TO FORM:
CITY ATTORNEY
LOPEZ WATER CONTRACT
SAN LUIS OBISPO COUNTY FLOOD CONTROL
AND WATER CONSERVATION DISTRICT
By
Chair, Board of Supervisors
Address for Notices:
County Government Center
San Luis Obispo, California 93408
Engineering Department
Attn: County Engineer
THE CITY OF ARROYO GRANDE
By
Mayor
Address for notices:
P.O. Box 550
Arroyo Grande, California 93421
Attn: City Manager
43
Timothy J. Carmel, Esq.
LOPEZ WATER CONTRACT
44
\
\
E"){1{l13rI A.
THE l'ROJEct
Alluvium Strengthening
f Lo eZ Datn will be removed temporarilY to allow
A portiO' 0' 1h< dO"""""" ,""'.0 P ,.._" -, "" 0' ,,'u_ '" b'''_''oI
~t,,' f th foundation vnth stone cO'IW-~'s. '" . ld
""" '0' __, 0' ftO "'",,,_ "',,''''' -."'" "', ""."'000 woo
",oold .,-l ""ut 150 "" ~ '" , "'" '" 370"" on ",,,,,,,,. -rh' ",,,,, ,0\"""
be to appro1timatelY elevat10n 340 feet'lm the ced~ er t,.....atedto be 400 000 to 500,000 cubic yards
. 1 b' ",po","y ",,<0 "~_.' . ,
0' ~ """"" '0 '.; bi b w.ll """"",01 ",d ",,'" """,,,"y. porinll """,'000 0
("f). """ ",,\ud~ "', _. '''''' o""''''''''.m -' '0 b' ,-"" ~ ",UOb ~
""o11u"'''''' "'" """",_ 0''''' ''''''. OO'~o~cl 00'''''' bci\din<o po"'" 0' "', "",,-'
30 ,,,.. \u "', ",,,,,,uo. __ \u ",,,,CO" h . "" """" """k wil' .ool '" '" ,","",01
p'p"''' ",d 1h< "tflO'" olu"""" ",on"'" ::: ~yo '" ",m oool '0 b' ,,,.,..,d'" '" ,bOt ""
dO"""""" un" '" tho ",,,,,"0" 0" """ "', ~ ","",1\0'" _'d out'" "" -" dtb<'
outlot "'0,,", "" _"" oP"""",o1 d_:'~" ..;, p:,."" tin' (,"OU' ,,000 ,,,, do-"""')
'luOugb '" """"", pip' thO' d."b~""".' 0 ,,,,,,,.,,, "" ",,,,,,, ,d", o{\""b""'OOol
" " , '00'"'' d""\opoI by ,ho _-:,.00 '::'~, ",O'", ,pp",,,,,,.W" 300 ,,,.. """ ,'0"" ""
trout farm ponds, the outlet contr?l bU1 mg~ d t 'th r one or twO neW charmels 50 to 200 feet
"'~, ",,,, wbll' "" ~" ~" b' ",0" . '" 0 '" ·
downstreatn from the e1tisting d1scharge locatlOn.
. e 0 erated vibrating probe. the vibration acts
Stone columns will be installed uS1ngda cnran t- p colu""'''s "rovide additional strength.
th the ground an t e s one"~' r .' 1
'" d,.,;fy "'" """" on . '"" ,,,,, M '" di""cl~, .m b' ,_01 "" -go ~
N<P""""''"'y 2<JOO 00'-' oWo,"", . ' 1 1\ ".. 00 "",on. "" "" 0' on'''''"OO mll
putt'" with 1h< 00'- 'l',,0I " ....",-' ,: ';0 "ot) "'" b"bOU' 200 ,,,, '" widlh
eJ<.tend from abutment to abutment (appro1t~m.a e bY fthe do,,"'streatn shell. Gravel material
d' t ~ under the e1t1stmg ertn 0 'IV"
(upstrearn1downstreatn 1S ancel 75000 c ) will be imported by trUck throughout the procesS.
for the stone colurons (65,000 to, Y
. . "" ,,,"',_ '"""''', wil' bo ",,,,", "'" tbo ",,-
-rh' do- _,.",,\u<ln<l\ d d ..,,,, " ""ll " ,ddit"''''' ",,,,,,,,,'" ",,,,",,
~. _"ol = tho "",ton" """" "'"uo"", bO'- ""'"" will b, p'''''' O''' tl..
,,",,0,,", ftO'" . ",..-"" "",,0<. ~ _"ol ",d "" "''''"''''' ",d ,hcll ",,,on'" thO' "'"
.._ ..,ll "'''' tho _ ",,",,,,,, bi b widonol by opP"'''-'' "Of"" Tho
_",01 '" <opl..... '" ~ ",ol' th, Don "'" "'01':- ~,.OO ",,,,,,,, "''' ",.,gfu""'" 0'
_ """ bo.,-l"''' t_~ ';'" ':"~ ~ b.- ",ould ,,",ui<' 200,000 to 400,000 "
the alluvium is lesS than predicte. 1S a 11
of material.
. . .""",,,, " '" b'\oW ",,,,,,,on,I, _,,'o!
W"" 1""\ in "" _"0<< ""ll .ood '" "':'~ f' Co""'''''OO'' "tin<,toI to "",
\",,1 0' 51 0 ,,,.., po","'" down to """,,00 " .
appro1timatelY III months.
. "p"z W h 1r.R C01'l1RJ\C1
----------------------------------
A.-l
Dewatering will be necessary during excavation of the alluvium to elevation 340 feet,
installation of the central stone columns, and replacement of the alluvium to maintain the ground
water level approximately 10 feet below the excavated ground surface. Dewatering may also be
required during excavation ground surface. Dewatering may also be required during excavation of
the borrow material for the buttress if groundwater is encountered.
Borrow areas for material needed in strengthening the dam can come from the Arroyo
Grande Creek floodplain downstream of the dam that was excavated during the original construction
of the dam. Approximately 25,000 to 35,000 cy of commercially obtained materials are expected
to be required for "filter and drain" zones of the Dam. The materials will be needed at the beginning
of backfill after the stone columns are completed.
Appurtenant Facility Improvements
The left abutment has been suspected of having seepage, and the spillway structure (on the
right abutment) requires repairs to areas ofthe concrete floor and walls, Construction activities will
occur at the spillway and at the left abutment to correct these problems.
Seepage in the left abutment may have carried some abutment materials out though the
drains in the dam, resulting in voids. Grouting will be used to reduce this seepage by filling ,any
such voids. This work is independent of the remediation activities and could be performed in
parallel with them.
LOPEZ WATER CONTRACT
A-2
APPENDIX C:
LOPEZ HYDRAULIC GRADE CALCULATIONS
~~ cf.~..,--.;~",.
~, ,l~,~" ,,' w
Worksheet for Lopez-Edna
. '!'5i"~~iJ"~~t~
'" ;.....,*'.."'~...<. ,:I.. ''',;. '<.. . I.. .,~~~-~ ",", :- " . ..:..:::
Friction Method
Solve For
Hazen-Williams Formula
Pressure at 2
~~,,%:,
-:" ", ":,,...', J~,'.'
'~';~~~..ii&;'~..
..;<~"'.;;;" c'" .. ,'- ...1t',?, ;'."}',, -,' ," ...... ;...,"',':.:........ ""
Pressure 1
Elevation 1
Elevation 2
length
Roughness Coefficient
Diameter
Discharge
0,00 psi
350.00 fl
160,00 fl
21542,00 fl
80,000
2.75 fl
12.09 It'/s
~'tl~~~t1&..~_~
Pressure 2 72.70 psi
Headloss 22.31 fl
Energy Grade 1 350.06 fl
Energy Grade 2 327.76 fl
Hydraulic Grade 1 350.00 fl
Hydraulic Grade 2 327.69 fl
Flow Area 5.94 It'
Wetted Perimeter 8.64 fl
Velocity 2.04 Ills
Velocity Head 0,06 fl
Friction Slope 0.00104 IlIfl
12128/20059:03:38 AM
Bentley Systems, Inc. Haestad Methods Solution Center
27 Slemons Company Drive Suite 200 W Watertown, CT 06795 USA +14203-755.1666
FlowMaster [08.01.058.00J
Page 1 of 1
Worksheet for Edna-Oceano
~~~r[ii'1'st:'ii'~ti6:i)f;f~''"P-"'h~~~~'i!'~~~>l1WJiii'm''~~~~~
~J_-~'~BJ'_i.:a~-ci~4~i'"; .,', .. 't..'~.' .f....
Friction Method
Solve For
Hazen-Williams Formula
Pressure at 2
~~~~~~.~~
.~.'" '~." ,- _ ",.,.,,-;'.'-.... -.,:, ~.. ,.." .""'~' .. i..."" .. .. ", ....' ....",,; .. '';'~;'''''' .. .t" .. ~.. ,;,'" "
Pressure 1 72.70 psi
Elevation 1 160.00 ft
Elevation 2 130.00 ft
Length 8193.00 ft
Roughness Coefficient 80.000
Diameter 2.50 ft
Discharge 10.51 fl'/s
~-~~~~-~~~JJ~
. ,., ..... .'.':....'.. o. "",', .-' {;iU.~'" ',' ....,.. ': .=-,"".~, " .~^,." ,'" ." ,,:;-.. ."
Pressure 2 81.19 psi
Headloss 10.41 ft
Energy Grade 1 327.76 ft
Energy Grade 2 317.35 ft
Hydraulic Grade 1 327.69 ft
Hydraulic Grade 2 317.28 ft
Flow Area 4.91 ft'
Wetted Perimeter 7.85 ft
Velocity 2.14 ftls
Velocity Head 0.Q7 ft
Friction Slope 0.00127 ftlft
12/28/20059:03:34 AM
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Worksheet for Oceano-Brisco
Di~e!.9~~~."'~~~'~~~~,;)~~~~~iIfi1~W~
.,.,~..,'-!'l?r:* 'tttlv'~!l'4~"':'. ;.(',' }'f" .~~~~~s:&tt~~~~~
Friction Method
Solve For
Hazen-Williams Formula
Pressure at 2
~.,...~~~
I;l.uflrn'i:im:^l~;"~t!i""", '" .r,;." ,'''~;;;0~-p' ,. - ~ ,".'fY,' ; '-.' ;- ;~,../"1l]'., ".,.' ~:" ~ ..
~....-a.:.~' .~, ," .' ""'." ,.'..',.. '., .." '.~.., .... I ,,'-;'''''',' ,N!. .... .. .. .. ~.. "..
Pressure 1 81.19 psi
Elevation 1 130.00 ft
Elevation 2 130.00 ft
Length 27.00 ft
Roughness Coefficient 78.000
Diameter 1.50 ft
Discharge 9.78 fWs
..
;,- -. 'tS";''.' . f!J..M' .. -'. ",', ,Vi. ," >~;,,{fj '1lf,'}'$>' + ':i:'i!; <Pf,-," c,~,'r,~ ! ,.,~".ti.., {i.' ,~ _ i; ,.',,'
.... .. -.".. '.~'i.' ".:. -,' "~",'l'.. ...~: <"," ...' , U."'-, ><_ " ,B:;', ..... IN : -:"G ..
Pressure 2 81.03 psi
Headloss 0.38 ft
Energy Grade 1 317.75 ft
Energy Grade 2 317.37 ft
Hydraulic Grade 1 317.27 ft
Hydraulic Grade 2 316.89 ft
Flow Area 1.77 ft'
Wetted Perimeter 4.71 ft
Velocity 5.53 flIs
Velocity Head 0.48 ft
Friction Slope 0.01403 flIft
12/28/20059:03:27 AM
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Worksheet for Brisco-Grover
-m""';""'rr"w;Jf.1r~;:t;~~' ," ,"" '.' '~'" " 'II' "~,, .',., ,e,. ,
(-u Pfa.ff:),ASGI7I' ,onD".-? "", ~t_;;tQ .' ,4.."'" ,-;;.;7, .;; {f "'j,- _ ". > ;'*~~ "~;",,,'M', ;. , "'-::ff>,,' ":,~4BJ f/", .:,,;, " ;; ~.'~ ,
,..~. ....,.. __, ;;..' . ""''liii:<.-.,.'-''''- """,'-' .'. ,"'.
Friction Method
Solve For
Hazen~Williams Formula
Pressure at 2
-1'.'~~K4?~~I~_'
tLQOllu'"a-" /-, "'!i!?~' ,,~,t;..---~,:; ",,'. ,t"~'<i"" ,.,.'.~~(."',,'.... -'i:<"' '.'".
r,:~._, ,'. ...., " ,::,- -"'. ,', c,", .~,,'i .';t,'" ;'.".'," '~~'" ", ".. . .,," .' ~:.. ':.' "',' ,..-. . "..:'! 'J S.... ..
Pressure 1 81.03 psi
Elevation 1 130.00 ft
Elevation 2 70.00 ft
Length 4434.00 ft
Roughness Coefficient 78.000
Diameter 1.50 ft
Discharge 5.65 Wls
~~T!1Jii~~\__
in~~l~ . - .,' ,~~\;... -,,'.:"'~2.:.' -'r ,"5)i{. ,..r!r.~,,~\t!';. ':,....-..:t. ';;;~'. ,'~~~,..,., 'i
Pressure 2 97.28 psi
Headloss 22.52 ft
Energy Grade 1 317.06 ft
Energy Grade 2 294.54 ft
Hydraulic Grade 1 316.90 ft
Hydraulic Grade 2 294.38 ft
Flow Area 1.77 ft'
Wetted Perimeter 4.71 ft
Velocity 3.20 flIs
Velocity Head 0.16 ft
Friction Slope 0.00508 flIft
12/281200S 9:03:21 AM
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Worksheet for Grover-Bello
.~~~r~i~.!i'f"~;>
. ,~ate .....' . ':," , :.-, ' ,'.. ,,'E'i&f1.m~
Friction Method
Solve For
Hazen-Williams Formula
Pressure at 2
~.1'___~~"
,> U,'~ ,If. .~,'f '~:>'::~'~~~,_, " ". .... !.,,",:~1j, ~;_.l ,,", ".::i._,~;'. ,~;.~~,.' . ~,'m' ,'f ,,' ;~~-<:;'
Pressure 1 97.28 psi
Elevation 1 70.00 It
Elevation 2 80.00 It
Len9th 11391.00 It
Roughness Coefficient 80,000
Diameter 1.50 It
Discharge 4.37 fl'/s
~.'l~"~~~
~l.t~' ,s~~ ~..,' ~' """., ,.' .",~, '::'~'., ,-'" ,'~-;u'., . ,_$:'"! ,~, . ~: , ;#;r"l;4~;, .~~,' '.
Pressure 2 78.07 psi
Headloss 34.31 It
Energy Grade 1 294.48 . It
Energy Grade 2 260.17 It
Hydraulic Grade 1 294.38 It
Hydraulic Grade 2 260.08 It
Flow Area 1,77 It'
Wetted Perimeter 4.71 It
Velocity 2.47 flIs
Velocity Head 0.10 It
Friction Slope 0.00301 flIft
12/28120059:03:16 AM
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Worksheet for Bello-Vista
iB:;!i!~':wff,\';..~~''i''JI.~iI'~_'''~I,_liii~'''~~~1!'1'"~IJ,V'.'I!!.~~~m
~~~m~~~~~iXf~~:Y~'-' .tJ" .il'T:f~~~_~
Friction Method
Solve For
Hazen-Williams Formula
Pressure at 2
~.
a, : l:J " '" ,>'"-" '!l~;~ ""f,' >^ ",';;."_' ~~",-._.. :_'.}' - ,,<:,. ,. i~ ~ !'f.i .~~; ":<If,.,' l' , ,
,..'- . " , -,. .i1ilJ.:"$;. . ',', 'tIi.1i ~,- - ",., ,. ,~.. .'. f" I .:', '
Pressure 1 78.07 psi
Elevation 1 80.00 ft
Elevation 2 100.00 ft
Length 13165.00 ft
Roughness Coefficient 80.000
Diameter 1.50 ft
Discharge 1.92 ftS!s
~~{_~~~"
, '''''' - "" . ".. ., ':l. '. .".' , ... ~. , < " :,,' .
Pressure 2 65.65 psi
Headloss 8.65 ft
Energy Grade 1 260.09 ft.
Energy Grade 2 251.45 ft
Hydraulic Grade 1 260.07 ft
Hydraulic Grade 2 251.43 ft
Flow Area 1.n ft'
Wetted Perimeter 4.71 ft
Velocity 1.09 ftls
Velocity Head 0.02 ft
Friction Slope 0.00066 ftlft
12/28120059:03:12 AM
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Worksheet for Vista-Sunset
~~' ~" ~-!lij!;~"~"~~-i!l~
'., ,'. -. ,.." 't... . "'" " i:':f'~"," ',.; "i~,. ';':'~,l.. ,,,. . -" "", , ..~.,.,.< " ..... " .., '" .. ",. ,"
. ie- ,.,',;, .v' " '.,- . ,'. -~." '. -,":l>. .t.[,.,::~L 1.<"-- " l.- ,- Iii:",',!'.," '" ".. ...
, ,,',,' ~I ~ ,IWii:,' ,,' :llili!i,' '",'ffW~" ,.' " " ". ,.,,"W' '- ' , .' ' " ' ~
Friction Method
Solve For
Hazen-Williams Formula
Pressure at 2
~l "'~~~~ii~~<<'''~~~
Q, ,.~;- lei," !;._': _~~~4" ';".' ";,,::"_,~' ""'.,:,;;.:;.......,-,1<:;:.,.,;....' ;r'~" .'~"':~,'~!";:.~"'_
Pressure 1 65,65 psi
Elevation 1 100,00 It
Elevation 2 130,00 It
Length 9278,00 ft
Roughness Coefficient 80,000
Diameter 1,16 It
Discharge 1,11 ft'/s
~~\i~~l\~~"'~~~~'Ii
Pressure 2 49.30 psi
Headloss 7.72 It
Energy Grade 1 251.44 It
Energy Grade 2 243.72 It
Hydraulic Grade 1 251.43 It
Hydraulic Grade 2 243.70 It
Flow Area 1.06 ft'
Wetted Perimeter 3.64 It
Velocity 1.05 flIs
Velocity Head 0.02 It
Friction Slope 0.00083 fl/ft
12128120059:03:07 AM
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Worksheet for Sunset-CSA 12
~11PJl~~~~~~~~~~
Friction Method
Solve For
Hazen-Williams Formula
Pressure at 2
Pressure 1 49.30 psi
Elevation 1 130.00 ft
Elevation 2 90.00 ft
Length 1552.00 ft
Roughness Coefficient 100.000
Diameter 8.00 ft
Discharge 1.11 W/s
~es'~'I~}B'_~r~rr:"~
~~&,,, ,',"" ," "~~~ -,~,~,~ .1-",..>>';,., "~ "'!~l~ "'~ '" l-, " m,'" ",C __': ,. '. >,
Pressure 2 66.64 psi
Headloss 0.00 ft
Energy Grade 1 243.71 ft
Energy Grade 2 243.71 ft
Hydraulic Grade 1 243.71 ft
Hydraulic Grade 2 243.71 ft
Flow Area 50.27 ft'
Wetted Perimeter 25.13 ft
Velocity 0.02 ftls
Velocity Head 0.00 ft
Friction Slope 0.00000 ftlft
12/28/20059:03:01 AM
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Worksheet for CSA 12-0ntario
l1'l"'7~~i.r!~~Ril}I~E:'''4'Wi'
l!f~flj~~~"1l Ilk" .' """'1~~~'fji, ".,~ ",;,";;-'~l . '..".' ',.". )!~~~g
Friction Method
Solve For
Hazen-Williams Formula
Pressure at 2
~~~~~
~~__ LCI .7,",0,." '_' ','..', ',;; _ _ '_ .ff. ~~."__"_,, _ ..~,'_'._._-, ",." ',..(>i'-';~,;44 -"';.
Pressure 1 66.64 psi
Elevation 1 90.00 ft
Elevation 2 30.00 ft
Length 1414.00 ft
Roughness Coefficient 100.000
Diameter 8.00 ft
Discharge 1.11 fl'/s
~t1~-i~1!:_ItIM.!l.it~ii.~'Ilill[__.
;;;;.~_~." .. ..".. , ',' .,- ", .'_"..""'.-.-.'.... . _",,'" '.... -,-" r ,
Pressure 2 92.65 psi
Headloss 0.00 ft
Energy Grade 1 243.71 ft
Energy Grade 2 243.71 ft
Hydraulic Grade 1 243.71 ft
Hydraulic Grade 2 243.71 ft
Flow Area 50.27 ft'
Wetted Perimeter 25.13 ft
Velocity 0.02 flIs
Velocity Head 0.00 ft
Friction Sl.ope 0.00000 flIft
12/28/20059:02:55 AM
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Worksheet for Ontario-Avila
Friction Method
Solve For
Hazen-Williams Formula
Pressure at 2
I
I
I
I
I
.
.,' '..', ~ a. . :' ""....,' .. .." ',;3' ,<".. '." .." :' ..' .. ..... .... .. -.. ..' .,' ....-.. >'.. ." '1.
... ,.- '" .. ..,' ,'t,~~.. ........ ".' _.." .,' .. .., ,'" '" ./....1f.. .. .....'.. ','" ..
Pressure 1 92.65 psi
Elevation 1 30.00 fI
Elevation 2 10.00 fI
Length 13950.00 fI
Roughness Coefficient 100.000
Diameter 8.00 fI
Discharge 0.38 Wls
.~
es',"',.. .... "," ..... -, "~"" ".. ..~ e'-' , ~"_'" ..,,"'.1.. "..- ,", .1" ~ ~ ..- " 0" ",;' ." :t.,"'" ~ '"
Pressure 2 101.32 psi
Headloss 0.00 fI
Energy Grade 1 243.70 fI
Energy Grade 2 243.70 fI
Hydraulic Grade 1 243.70 fI
Hydraulic Grade 2 243.70 fI
Flow Area 50.27 fI'
Wetted Perimeter 25.13 It
Velocity 0.01 fils
Velocity Head 0.00 fI
Friction Slope 0.00000 fllfI
12/28/20059:02:49 AM
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Worksheet for Lopez-Edna-new
Friction Method
Solve For
Hazen-Williams Formula
Pressure at 2
~~~'Sf~~~j~~
Pressure 1 0.00 psi
Elevation 1 350.00 It
Elevation 2 160.00 It
Length 21542.00 It
Roughness Coefficient 80.000
Diameter 2.75 It
Discharge 15.32 It'/s
~i!fi.~~""~~~~..
Pressure 2 67.38 psi
Headloss 34.58 It
Energy Grade 1 350.10 It
Energy Grade 2 315.52 It
Hydraulic Grade 1 350.00 It
Hydraulic Grade 2 315.42 It
Flow Area 5.94 It'
Wetted Perimeter 8.64 It
Velocity 2.58 ftls
Velocity Head 0.10 It
Friction Slope 0.00161 ftIft
12/28/20059:46:59 AM
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Worksheet for Edna-Oceano-new
~. ~f"'~lftr~&;:..~it~~~s?!:"~~~~_~~~~~~~!!3i'11I
WIl?~~e~!~d1,~~. -~. ",.'~,;' '. ~~~'k~
Friction Method
Solve For
Hazen.Williams Formula
Pressure at 2
~...",.'t-...." ," "'~'~t~
..:', ".' /', ..,,'-,- -(,. ." ,'" ,"., .r.'':-'' ".~' .: ,__' ,- '.' '....;.'.... .,f~-;:;'::.'''' . ,'.,' -:.., .",' .'.. ,;~
Pressure 1 67.38 psi
Elevation 1 160.00 It
Elevation 2 130.00 It
Length 8193.00 It
Roughness Coefficient 80.000
Diameter 2.50 It
Discharge 13.61 It'ls
~~~."'.i'~i\f!:~
Co., :_" ..1,J.)'.....,..'.,--~..;..,.,'; ~t~.>..._.""w~."'.',. .....~',.< ijU'.~
Pressure 2 73.10 psi
Headloss 16.81 It
Energy Grade 1 315.54 It
Energy Grade 2 298.73 It
Hydraulic Grade 1 315.42 It
Hydraulic Grade 2 298.61 It
Flow Area 4.91 It'
Wetted Perimeter 7.85 It
Velocity 2.77 ftIs
Velocity Head 0.12 It
Friction Slope 0.00205 ftIft
12/28120059:47:55 AM
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Worksheet for Oceano-Brisco-new
~~~~.A._~
Frtetion Method
Solve For
Hazen-Williams Formuia
Pressure at 2
~~A__1i1
Pressure 1. 73.10 psi
Elevation 1 130.00 fl
Elevation 2 130.00 fl
Length 27.00 fl
Roughness Coefficient 78.000
Diameter 1.50 fl
Discharge 11.77 fl'/s
~~~~~"'''1~~~~~
Pressure 2 72.87 psi
Headloss 0.53 fl
Energy Grade 1 299.30 fl
Energy Grade 2 298.77 fl
Hydraulic Grade 1 298.61 fl
Hydraulic Grade 2 298.08 fl
Flow Area 1.77 fl'
Wetted Perimeter 4.71 fl
Velocity 6.66 flIs
Velocity Head 0.69 fl
Friction Slope 0.01977 flIfl
12/28/20059:48:49 AM
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"---'-.-..,
WATER SUPPLY STUDY:
DESALINATION
-/////:/1 i\"\. ,\<\;<<:-,
///'i :;i\\\\.\\ ' ...
,~~~:
DRAFT
OCEANO COMMUNITY SERVICES DISTRICT
CITY OF ARROYO GRANDE
CITY OF GROVER BEACH
JANUARY 2006
WALLACE GROUP
4115 BROAD ST. SUITE B-5
SAN LUIS OBISPO, CA 93401
DESALINATION WATER STUDY: TABLE OF CONTENTS
LIST OF FIGURES ................................................ ........ ......................................... LOF-1
LIST OF TABLES ................... ........... ..................................................................... LOT-1
EXECUTIVE SUMMARY .......................................................................................... ES-1
CHAPTER 1: INTRODUCTION ...................................................................................1-1
1-1 Project Background ....................................................................................1-1
1-1.1 Project Characteristics ................................................................. 1-1
1-2 Water Desalination .....................................................................................1-2
1-3 Scope of Work..... ....... ............................................. ... ................................1-2
1-4 Acknowledgements.................................................................................... 1-4
CHAPTER 2: DESALINATION FACILITY OVERVIEW ...............................................2-1
2-1 Introduction................................................................................................. 2-1
2-2 Site Location............................................................................................... 2-1
2-2.1 Outfall Capacity.........................................................................2-3
2-3 Source Water.............................................................................................. 2-3
2-3.1 Brackish Water Wells ................................................................2-3
2-3.2 Sea Water Intake............ ....... .................................................... 2-4
2-3.3 Source Water Quantity ..............................................................2-4
2-3.4 Conclusions............................................................................... 2-5
2-4 Product Water........... ................................................. ....... ................... ....... 2-5
2-4.1 Distribution .............................................. .................................. 2-5
2-5 Operation & Maintenance ...........................................................................2-6
CHAPTER 3: TREATMENT TECHNOLOGy...............................................................3-1
3-1 Desalination Schematic.............................................................................. 3-1
3-2 Treatment Technology................................................................................ 3-2
3-2.1 Intake Structure.. ....................... ................................................... 3-2
3-2.2 Pretreatment................................................................................ 3-2
3-2.3 Membrane Treatment.................................................... ............... 3-3
3-2.4 Post Treatment ........................ .................................................... 3-3
3-3 South County Desalination Facility .............................................................3-4
3-3.1 Pre and Post-Treatment...............................................................3-4
3-3.2 Membrane Design........................................................................ 3-4
CHAPTER 4: PERMITTING & ENVIRONMENTAL CONSIDERATIONS ....................4-1
4-1 Regional Water Quality Control Board ........................................................4-1
4-2 Coastal Commission................................................................................... 4-2
4-2.1 Costal Act Review........................................................................ 4-4
4-3 Environmental Impact Report........... ..... ....... ............. ... ............................... 4-5
4-3.1 Construction.............................................................................. 4-5
4-3.2 Energy Use ...............................................................................4-6
4-3.3 Air Quality.................................................................................. 4-6
4-3.4 Marine Environment ..................................................................4-7
4-3.5 Increased Development. .... .... ..... ... ............... ...... ... ....................4-7
Desalination Water StudyfTable of Contents
Project No. 0232.506.041
TOC-1
January 2006
Draft
CHAPTER 5: LIFE CYCLE COST ...............................................................................5-1
5-1 Capital Costs.. ..................... ........... ........................ .... ........ .... .................... 5-1
5-1.1 Seawater Intake Structure............................................................ 5-1
5-1.2 Intake Piping to the SSLOCSD Plant from Ocean Intake Wells.... 5-1
5-1.3 Maintenance Building to House Membrane System and
Chemical Storage Facility................ ............. ........ ....... ................5-1
5-1.4 Desalination Membrane Infrastructure Skids and Cartridges........ 5-1
5-1.5 Brine Disposal System.................................................................5-2
5-1.6 Pretreatment Cartridge Filters...................................................... 5-2
5-1.7 EIR and Permit Fees....................................................................5-2
5-1.8 Pumps ............ ......................... ...................... ..............................5-2
5-2 Operations and Maintenance........................................ ..............................5-2
CHAPTER 6: SUMMARY ...........................................................................................6-1
6-1 Desalination Facility Overview.................................................................... 6-1
6-2 Permitting Overview ...................................................................................6-2
6-3 Cost............................................................................................................ 6-2
6-4 Miscellaneous............................................................................................. 6-3
CHAPTER 7: PROPOSITION 50: DESALINATION GRANT FUNDING...................... 7-1
7-1 Eligible Applicants & Projects ..................................................................... 7-1
7-2 Available Funds...... .......... ........................ .................................................. 7-1
7-3 Proposal Preparation ..... ........................... ........... ..... .................................. 7-1
7-4 Anticipated Schedule ........ ........................................ .................................. 7-2
CHAPTER 8: IMPLEMENTATION & TIMELlNE..........................................................8-1
8-1 Timeline...................................................................................................... 8-1
8-1.1 Funding Study.............................................................................. 8-1
8: 1.2 Agency Agreements................................. .................................... 8-1
8-1.3 CEQA/Environmental Review......................................................8-2
8-1.4 Detailed Design.. ................. ............. ........ ..................... ............... 8-2
8-1.5 Permitting..................................................................................... 8-2
8-1.6 Bid Phase & Construction ............................................................8-3
8-2 Overview of Project Timeline ...................................................................... 8-3
Appendix A: Groundwater Management Agreement
Appendix B: Lopez Consumer Report
Appendix C: California Ocean Plan
Appendix D: Waste Discharge Report Form 200
Appendix E: Coastal Commission Permit Application
Appendix F: ROPRO Two-Pass with Interpass Pump Summary
Desalination Water Studyffable of Contents
Project No. 0232.506.041
TOC-2
January 2006
Draft
LIST OF FIGURES
Figure 2-1 SSLOCSD Site Location .............................................................................2-2
Figure 3-1 Desalination Process Schematic.................................................................3-1
Figure 3-2 SSLOCSD WWTP RO Building...................................................................3-6
Desalination Water Studyrrable of Contents
Project No. 0232.506.041
LOF-1
January 2006
Draft
LIST OF TABLES
Table 2-1 Required Source Water Quantity..................................................................2-5
Table 4-1 Existing Desalination Facilities Along the California Coast ...........................4-3
Table 4-2 Proposed Desalination Facilities Along the California Coast.........................4-4
Table 5-1 Desalination Life Cycle Cost Analysis ..........................................................5-1
Table 8-1 Proposed Timeline ... .... ..... ...................................... ..................................... 8-3
Desalination Water StudyfTable of Contents
Project No. 0232.506.041
LOT-1
January 2006
Draft
EXECUTIVE SUMMARY
(To be provided as part of Final Report.)
Desalination Water Study/Executive Summary
Project No. 0232.506.041
ES-1
January 2006
CHAPTER 1
INTRODUCTION
This chapter outlines the basis for the desalination supplemental water supply study for
the City of Arroyo Grande (AG), City of Grover Beach and the Oceano Community
Services District (CSD).
1-1 PROJECT BACKGROUND
Currently, the California Central Coast is fed by a variety of water sources such as
groundwater, surface water, and state-supplied imported water via the California State
Water Pipeline. Recent water supply studies have shown that projected water use within
these communities will exceed available drinking water supplies. In August 2004, a
Water Supply Alternatives analysis for the City of AG was prepared by Wallace Group.
Several long and short-term alternatives were presented in the August 2004 study
including the purchase of state water, extending the proposed Nacimiento pipeline to
south San Luis Obispo County, and desalination. Conclusions from the report suggest
that the City of AG investigate the desalination alternative in more detail to determine
actual feasibility, cost, and proposed timeline. Initial proposals for the desalination study
unearthed the fact that neighboring communities, such as the City of Grover Beach and
the Oceano CSD might also be interested in obtaining additional water supply.
Therefore, each agency was invited to participate in the desalination water study. These
three agencies, the City of AG, City of Grover Beach, and Oceano CSD have
coordinated efforts to prepare the following evaluation of using desalination for water
supply to their respective customers.
1-1.1 Proiect Characteristics
Many Central Coast water master plans include the possibility of a desalination facility as
a source of potable water, however the idea is usually precluded from further evaluation
due to the thought that a desalination facility would be too expensive and/or difficult to
design. The following report will evaluate the probable costs and timeframe associated
with a desalination facility to serve the City of Arroyo Grande, Grover Beach, and
Oceano Community Services District with supplemental drinking water. Based on
preliminary discussions with each agency, the following is a list of assumptions that were
made in order to prepare this desalination evaluation:
. The combined total future water need for the three agencies is estimated to be
2300 AFY.
. The location of the desalination facility will be at the South San Luis Obispo
County Sanitation District Wastewater Treatment Plant (SSLOCSD WWTP).
· Brine from the desalination process would be disposed of in the existing
SSLOCSD ocean outfall (depending on capacity).
. Source water would either come from sea water wells near the SSLOCSD
WWTP, or a "reverse leachfield" system along the seafloor.
Desalination Water Study/Chapter 1
Project No. 0232.506.041
1-1
January 2006
Draft
· In the absence of a source water quality report, source water quality will be
assumed as seawater with roughly 35,000 mg/L total dissolved solids (TOS).
· While there are a few different treatment technologies to choose from for
designing a desalination facility, this report will assume that reverse osmosis is
the most cost effective technology for the Califomia Central Coast Region. This
report assumes that the desalination method will be reverse osmosis.
1-2 WATER DESALINATION
The practice of using high-salinity water and treating it to produce drinking water has
been around for several decades. However only recently has this practice become more
cost-effective due to advancements in the treatment technology along with the
increasing prices and treatment standards of other drinking water supplies. With the
abundance of saline water sources along the California Central Coast, the idea of using
desalination to supplement the agencies potable water supply has become more realistic
in recent years.
Desalination is the reduction of total dissolved solids (TOS) from a mineralized or saline
water source. The source water typically used in the desalination process is seawater,
which has a TOS content of approximately 35,000 to 45,000 milligrams per liter (mg/L),
or brackish groundwater wells, which have a TOS content of anywhere from 1,000 to
10,000 mg/L or more. The U.S. Environmental Protection Agency secondary drinking
water standard for aesthetic quality is 500 mg/L TOS, therefore it is desirable to find a
desalination technology that will remove the appropriate amount of salts and other
dissolved constituents to produce fresh drinking water with TOS content of 500 mg/L or
less. Currently, there are several technologies available that will produce the desired
water quality from a saline water source, however one specific technology has advanced
enough to become more cost effective and reliable than many of the other alternatives.
Membrane technology, specifically reverse osmosis, uses pressure and synthetically
produced membranes to separate the dissolved solids from the feed water source with
high recovery rates and lower energy usage than other alternative methods. For this
reason, reverse osmosis will be the treatment technology investigated in this report.
In addition to the treatment technology used, several variables regarding the
construction of a desalination facility must be evaluated, including environmental and
regulatory issues, capital and operational costs associated with a desalination facility,
and project implementation. Because of this, the following scope of work was prepared
to outline the level of effort put into this desalination water supply study for the City of
AG, City of Grover Beach and Oceano CSO.
1-3 SCOPE OF WORK
In August 2005, Wallace Group was retained to prepare a supplemental water study with
the following scope:
. Identify and meet with various agencies that would be involved in the
desalination project, including:
Coastal Commission
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National Oceanic and Atmospheric Administration
Army Corps of Engineers
California Department of Fish and Game
California Department of Health Services
Regional Water Quality Control Board
County of San Luis Obispo
. Identify potential environmental concerns, and discuss a timeline for completion
of an EIR for the project.
. Review available local groundwater quality data relative to drinking water
standards, dissolved solids and other parameters pertinent to desalination, and
will identify water quality and pre-treatment requirements for desalination
treatment.
. Evaluate a desalination plant layout and siting requirements based on the water
demands. We will define the required size of the plant, recommend a location on
the SSLOCSD WWTP site, review yard piping and show conceptual piping to
and from the desalination plant and utility, recommend a brine line alignment and
recommended tie-in to the outfall line, review and determine capacity impacts to
the outfall relative to SSLOCSD's and the City of Pismo Beach shared outfall
capacity, and review the waste discharge requirements and identify impacts or
qmcerns relative to the Regional Board discharge permit. Wallace Group will
evaluate the required power utilities needed to serve the desalination plant.
. Evaluate the operational requirements of the plant, including labor, training and
licensing of staff, and how the plant will be controlled and how the plant will
interface with existing SCADA systems. Alternatives for operation will include
operations staff provided by the various stakeholders (City of AG, City of Grover,
and/or Oceano CSD) via direct staff hire or contract services, or alternatively that
the three agencies would contract with SSLOCSD to operate the plant. Both
options for operations will be discussed and evaluated.
. Evaluate alternatives for how treated water will be delivered to the various
agencies through existing water distribution system infrastructure, if additional
distribution improvements will be required, and possible tie-in locations to the
distribution system(s).
. Prepare a 20-year life cycle cost analysis for capital and O&M costs associated
with the desalination plant. We will prepare a simple rough cost estimate of unit
cost of treated water per acre-foot, based on a percentage basis according to
corresponding agencies' share of the project demands. This unit cost will be
compared to the current cost of water supplies of the agencies.
. Prepare a time line and implementation plan, including consideration of permitting
requirements, timeline to address environmental issues, design and construction
schedules. and system start-up.
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1-4 ACKNOWLEDGEMENTS
The following agency representatives provided assistance in preparing this
supplemental water supply study:
Don Spagnolo, City of Arroyo Grande
Steve Adams, City of Arroyo Grande
Mike Ford, City of Grover Beach
Mitch Cooney, Oceano CSD
The following Wallace Group key team members were involved in the preparation of this
water supply study:
Steven G. Tanaka, P.E., Director of Water Resources
Shannon Peterson, Associate Engineer
Tom Zehnder, P.E., Director of Mechanical Engineering
Desalination Water Study/Chapter 1
Project No. 0232.506.041
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CHAPTER 2
DESALINATION FACILITY OVERVIEW
This chapter specifies the possible sources of feed water and distribution of product
water based on the proposed site for the desalination facility. Treatment technologies
using reverse osmosis differ depending on the source water quality, thus it is important
to outline the source water location and quality. In addition, product water quality is
important to discuss because distribution of product water typically involves blending
with other water sources to balance out the overall water quality within the community.
Proposed operations and maintenance of the desalination facility will be discussed
towards the end of this chapter.
2-1 INTRODUCTION
As discussed in Chapter 1, desalination is the process that can be used to reduce the
total dissolved solids in a saline water supply to potable water levels. Therefore,
desalination is most often used to treat brackish or sea water to drinking water quality.
Desalination facilities have recently evolved into cost-effective potable water treatment
technologies for many communities around the world. However, many factors must be
considered before determining whether a desalination facility is the most desirable
source water alternative.
Being that desalination facilities typically use brackish or sea water as the feed water
source, facilities located on the coast line are preferable to alternative locations inland.
Likewise, the location for concentrate, or brine, disposal must be determined.
Regulations pertaining to concentrate disposal are stringent and, in some situations,
concentrate disposal costs can be so significant that they alone can determine the
overall feasibility of a desalination project. Other considerations when determining the
viability of a desalination facility are the environmental, regulatory, and economic factors
associated with the specific site. Each of these factors will be discussed later in the
report.
2.2 SITE LOCATION
The most logical location for a desalination facility for the purpose of this study is the
existing South San Luis Obispo County Sanitation District Wastewater Treatment Plant
(SSLOCSD WWTP). The SSLOCSD WWTP is located directly on the coast line,
adjacent to all three communities (AG, Grover Beach, and Oceano). While available
land at the WWTP site is limited, two locations at the site have been identified as
potential sites for a future desalination facility (Figure 2-1). Determining the most
desirable location for the desalination site will depend on the approximate size of the
treatment infrastructure and the availability of land within the SSLOCSD WWTP. This
topic will be discussed in more detail in Chapter 3.
Because the WWTP site is directly adjacent to the ocean, sources for feed water and
possible brine disposal locations are more abundant than other locations farther from the
coast. In addition, the SSLOCSD WWTP currently maintains an ocean outfall for
disposal of treated wastewater effluent from the plant. Depending on the capacity of the
existing outfall, it might be possible to combine reject brine from the desalination facility
Desalination Water Study/Chapter 2
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with effluent from the WWTP, thereby diluting the brine with treated effluent before final
disposal back into the ocean.
2-1.1 Outfall Capacity
Currently, the SSLOCSD WWTP shares an ocean outfall with the City of Pismo Beach
for disposal of treated wastewater. The ocean outfall extends approximately 4,000 feet
offshore into about 60 feet of water depth. The line, constructed in 1979, was designed
per State Water Resources Control Board Clean Water Grant limitations, which call for
finding the nominal maximum flow capacity of the pipe by using the condition of highest
tide and highest wastewater flow occurring concurrently. By agreement, the SSLOCSD
owns 60% (or 10 MGD) of the total 16 million gallons per day flow rate through the
outfall, while Pismo owns the remaining 40% (6 MGD).
Currently, the SSLOCSD wastewater treatment plant has a maximum pumping capacity
of 10 MGD, however future build-out of the plant anticipates future average fiow to be 4
MGD with peak wet-weather flow at 9 MGD and an associated instantaneous peak flow
rate of 14 MGD. Information in the Pismo Beach Wastewater Master Plan indicate that
peak flow from the Pismo WWTP is 3 MGD with storm water inflow and infiltration
increasing the wastewater flow an additional 2 MGD during the storm season.
Therefore, the combined peak wet weather flow through the shared outfall line can be
assumed as 14 MGD. Because the known maximum capacity of the outfall line is 16
MGD, approximately 2 MGD remains available for additional disposal.
Depending on the source water quality and the proposed recovery rate of the reverse
osmosis unit, the quantity of brine needing to be disposed of can vary significantly.
Typical recovery rates for sea water desalination plants range from 30% to 50%.
Therefore, if the quantity of product water desired is 2300 AFY, approximately 4600 AFY
of water will need to be withdrawn from the ocean and 2300 AFY (2 MGD) will be
returned to the ocean during brine disposal.
2-3 SOURCE WATER
It is typically advantageous to utilize brackish water wells over a direct sea water intake
for desalination because the TDS concentration is typically lower, resulting in greater
product water recovery. In addition, brackish water wells typically have less of an impact
on the surrounding environment than a sea water intake. However, locating viable
brackish water wells can sometimes be difficult, especially along the coastline where
seawater intrusion on fresh groundwater basins is a problem. The following is a
discussion on the possible locations and technologies used for source water collection.
2-3.1 Brackish Water Wells
The location of the SSLOCSD WWTP is directly on the coastline, west of Oceano. A
brief review of the hydrogeologic records and reports show that this location is situated
over the Tri-Cities Mesa of the Arroyo Grande Groundwater Basin. According to the
Groundwater Management Agreement, the safe yield of the groundwater basin is 9,500
AFY.
While an extensive review of the hydrogeologic conditions directly off shore from the
SSLOCSD WWTP has not been prepared at this time, it can be expected that pumping
from brackish wells near the coastline may result in an impact on the Arroyo Grande
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Groundwater Basin safe yield, thereby violating the Groundwater Management
Agreement.
In a memorandum dated January 14, 2005, Cleath & Associates prepared a brief review
of their reports and records to evaluate the closest areas where sea water or brackish
water wells could be used to obtain water for a desalination facility. In the
memorandum, Cleath finds a few potential areas for source water wells. One of the
locations is in the Pismo Creek alluvial deposits, where the Careaga Formation has sea-
water intrusion under the Pismo Beach area. The other location is farther north, near the
Unocal tank farm at Avila Beach. Here, a good amount of water has been encountered
in the Obispo Formation resistant tuffs that was found to be essentially sea water in
quality. As stated in the January 14 memo, the permeability of the rock layers and the
minimal inflow of on-shore fresh water enables the sea water to enter the rock layers
unimpeded. The beneficial characteristic of this location, while relatively far from the
proposed desalination facility location, is that pulling from wells in this area would result
in no impact on inland groundwater.
2-3.2 Sea Water Intake
The alternative to using brackish water wells as a source for a desalination facility is
using a sea water intake. There are several issues that must be considered before
choosing a direct sea water intake because its use tends to escalate environmental
concerns and decrease filter recovery rates.
The intake must be situated such that the intake of water will not degrade the
environment or ecological environment in and around the intake area. This alone can be
difficult and expensive to prove. However, there are several intake alternatives that
minimize impacts to the surrounding environment. Some of these intake alternatives are
called beach wells, or infiltration galleries.
A beach well pulls seawater through some type of geologic unit (sand, gravel, rock, etc.).
In addition to providing natural filtration, a beach well is also able to separate most of the
marine organisms from the water intake. Beach wells typically consist of shallow wells
with a non-metallic screen and vertical turbine pump. Beach wells are typically
preferable to open intake structures when combined with RO treatment because the
filtration provided by the geologic unit reduces the required pretreatment prior to the RO
membranes. It is assumed that the South County desalination facility would install
beach wells as opposed to an open intake to minimize environmental impacts and
increase source water quality prior to treatment. Beach wells and infiltration galleries will
be discussed in more detail in Chapter 3.
2-3.3 Source Water Quantitv
As discussed in Chapter 1, all desalination processes produce a concentrate (brine) high
in TDS that must be disposed of. The quantity of source water needed is directly related
to the recovery rate of the proposed treatment technology. The recovery rate of the
, treatment technology is, in turn, directly related to the source water quality (described
above).
A general rule of thumb is that recovery rates range from 60% to 85% for brackish water
supplies, and 30% to 50% for sea water. Using these ranges and the total quantity of
water requested by the Stakeholders (2300 AFY), the following table has been prepared:
Desalination Water Study/Chapter 2
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Table 2-1. Required Source Water Quantity
Sea Water Source Brackish Water Source
Recoverv Rate 30-50% 60-85%
Reauired Quantitv of Source Water 6.7-4.1 MGD 3.4 - 2.4 MGD
Convert to Gallons Der Minute 4652-2847 GPM 2361-1666 GPM
As shown in Table 2-1, a series of intake wells would be required to obtain up to 4600
gpm for a sea water source with 30% recovery. Recovery rates of the reverse osmosis
technology will be discussed in Chapter 3.
2-3.4 Conclusions
Because a detailed analysis of the proposed source water quality has not been prepared
to date, it is unknown whether the source water for a desalination facility will be of
brackish or sea water quality. It is likely that any brackish water wells located in and
around the SSLOCSD site will pull from the inland groundwater basin, thereby affecting
the Groundwater Management Agreement (Section 2-3.1). Because the goal of this
report is to analyze an alternative source of potable water that will not require alterations
of the existing supply, brackish water wells are not considered to be a viable choice for
the desalination facility.
2-4 PRODUCT WATER
Pure water, that is water without dissolved materials, is very reactive and tends to
dissolve materials that it comes in contact with. Therefore it is usually necessary to treat
the desalted water to reduce its corrosivity. Post treatment corrosion control can involve
the addition of lime to raise the pH. Another method of reducing the corrosivity of the
product water is to blend it with other potable water in the system.
It has been assumed, as part of this report, that product water from the desalination
facility should match the quality of the existing drinking supply for the South County
agencies. It is anticipated that product water would be blended with the existing water
supply, therefore post treatment chemical addition should be carefully selected so that
the final combination of blended water matches closely with the existing quality of water.
Currently, water from the Lopez Distribution system delivers water from the Lopez Lake
water treatment plant and the California State Water Project. It is anticipated that
product water from the proposed desalination facility will be blended with water from the
Lopez Distribution system prior to final distribution. Therefore, chemical addition to the
product water should be chosen based on the water quality found in the Lopez
Distribution system. The 2004 consumer report for water quality of the Lopez system
can be found in Appendix C.
2-4.1 Distribution
Because the proposed site of the desalination facility is located at the SSLOCSD
WWTP, a method of product water distribution must be determined. Currently, each of
the agencies has its own distribution system, therefore it would be desirable to utilize the
existing infrastructure to convey water from the proposed treatment plant to the three
agencies. Another method of distribution to the agencies would be to utilize the existing
storage reservoirs, and convey water directly from the desalination facility to each
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agency's storage tanks. This would minimize the pumping requirements at the desal
plant because the water would only need to be discharged at atmospheric pressure
rather than meet the pressure currently seen in the distribution system.
2-5 OPERATION & MAINTENANCE
Having three separate water agencies "share" the proposed desalination facility creates
the need for outlining the operations and maintenance issues that may be encountered
upon construction of the facility. The South San Luis Obispo County Sanitation District
was formed by the same three agencies, the City of Arroyo Grande, City of Grover
Beach, and the Oceano CSD. Therefore. operation of the proposed desalination facility
should similarly reflect the operation of the existing SSLOCSD.
Preliminary conversations with SSLOCSD staff indicate that operation of a desal plant at
the SSLOCSD site, overseen by SSLOCSD personnel, is preferred over other options
that require entry of outside staff to operate and maintain the plant. Each participating
agency receiving water from the desalination facility would contribute their share of the
costs to the SSLOCSD in return.
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CHAPTER 3
TREATMENT TECHNOLOGY
This chapter outlines the process schematic for a RO desalination facility and provides a
discussion on the individual processes which make up a RO desalination plant. Specific
treatment technologies and membrane filter assemblies for the proposed South County
desalination plant will be discussed towards the end of this chapter.
3-1 DESALINATION SCHEMATIC
Desalination technologies can be broken down into two broad categories: thermal
distillation and reverse osmosis (RO). Reverse osmosis is the most common technology
used for desalination of seawater in California, therefore this report assumes the design
and construction of a RO plant as opposed to a thermal distillation plant for the South
County agencies.
RO uses high pressure to separate water and salts by allowing some of the feedwater to
move through a membrane, which blocks the passage of dissolved salts, thereby
producing desalted water while leaving a concentrated salt solution behind. Figure 3-1
presents a simplified diagram of a desalination system. Raw water is pretreated prior to
entering one or more parallel desalting process trains. Desalination product water
typically receives post-treatment, as it has a tendency to have a low pH and is fairly
corrosive, before it is pumped to the distribution system. The salts and other residuals
separated out of the feedwater in the desalting process are discharged to waste in the
concentrate (brine). In some applications, the concentrate (brine) may require treatment
prior to discharge.
D ~ D ~ n
Intake Wells Pretreatment: Chemical Addition:
Cartridge Filters Anti-sealant
~
n ~ RO Membrane ~ LQ
System
Feed Pump:
Chemical Addition: 1()()()..1200 psi
AntJ..scalant
!.
~ To Oceano. Grover Beach & Arroyo
Q Grande Distribution Systems
Product Water
Booster Pump
Figure 3-1. Desalination Process Schematic
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3-2 TREATMENT TECHNOLOGY
The following sections outline the proposed treatment processes and technologies
expected for a desalination facility at the SSLOCSD WWTP. Because the source water
quality has not yet been defined, actual design of the treatment processes can not be
completed, however the following provides a good overview of the required system
components based on some basic assumptions.
3-2.1 Intake Structure
As described in Chapter 2, it is assumed that the South County desalination facility will
consist of a subsurface intake structure of some kind. Subsurface intake structures may
consist of horizontal or vertical beach wells, infiltration galleries, or seabed filtration
systems. In each of these situations, open seawater is separated from the intake by a
geologic unit (such as sand or rock). In addition to providing natural filtration, this design
is capable of separating most marine organisms from the water intake, minimizing
environmental impacts. Beach wells typically consist of a non-metallic casing, well
screen, and vertical turbine pump. It is preferabie to locate beach wells as close to the
coastline as possible. Maximum yield from beach wells range from 0.1 to 1.0 MGD,
therefore several wells would be necessary to yield 2 MGD product water from a South
SLO County desalination facility.
3-2.2 Pretreatment
Pretreatment can be defined as conditioning the raw water so that it does not foul or
damage components of the RO membranes. Pretreatment is also used to reduce
maintenance of the membranes and desalination equipment. The goals for pretreatment
are to lower particulate matter (lower TSS), scaling potential, biological activity, and the
concentration of heavy metals. Membrane technologies require the removal of all
particles larger than 10 micrometers, therefore a cartridge filter with removal rating
between 1 and 10 micrometers is typically used as pretreatment for RO desalination
facilities. Cartridge filters use a filter mesh to remove particles. While some cartridge
filters can be backwashed, most are disposable and the filter mesh is replaced once
head loss through the filter reaches excessive levels.
In addition to a cartridge filter, desalination facilities typically require some sort of anti-
scalant to protect the membrane surface. Since desalination facilities operate by
separating water molecules out of the feedwater and leave dissolved solids in the
concentrate, the dissolved salts (ions) can become concentrated and join with other ions
to form a precipitate, such as calcium carbonate. The precipitate will often form a scale
on the membrane surface which will reduce. the effectiveness of the desalination
process. A common pretreatment technique for preventing the formation of scales on
the membrane surface is the addition of acid to reduce the alkalinity of the raw water.
Biological matter in the feedwater will also have a tendency to foul the membranes by
clogging the surface or attaching to desalination equipment. Because the desalination
process typically concentrates the biological matter and provides an ideal environment
for growth, it is desirable to remove or kill the biological matter in the pretreatment
process. Pretreatment techniques' for the removal/inactivation of biological activity
usually involves the addition of chlorine or ozone. However, addition of chlorine and/or
ozone also have a tendency to harm the RO membranes. Therefore, if chlorine is used
to kill biological matter, a dechlorination step must be added prior to the RO membrane
treatment.
Desalination Water Study/Chapter 3
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3-2.3 Membrane Treatment
The RO process uses a semipermeable membrane to separate dissolved ions and water
molecules. A feedwater pump elevates feedwater pressure based on the water's
dissolved solids concentration, desired recovery, and specific membrane performance.
Typical RO feed pressures range from 800 to 1200 psi for seawater and 100 to 600 psi
for brackish water.
,
RO membranes are assembled in pressure vessels containing 1-7 spiral-wound
membrane elements. The vessels are placed in series or in parallel to produce the
desired amount of product water. Usually, the vessels are arranged in parallel to form a
"stage". The concentrate from the first stage can be fed to additional stages to produce
the desired result for the system. An altemative RO configuration is a 2-pass system,
where the permeate from the first pass is fed to a second RO pass for further TDS
removal. This is typically only done in seawater applications, as one pass is sufficient
for most brackish water applications. An assembly of vessels is called a train.
One of the most important factors when evaluating an RO system for design is the flux.
Flux is defined as the rate at which water molecules move through the membrane. Flux
is generally expressed as gallons per day! per square foot (gfd). Water flux is the
measure of the membrane productivity. The amount of pressure required to force a
given amount of water across a membrane is called specific flux, expressed as gfd/psi.
The specific flux of a membrane is a significant factor in determining the cost to produce
drinking water using a particular membrane. As flux decreases, production rate also
decreases however quality improves. Therefore, the lower the flux, the less drinking
water is produced.
Operations and maintenance of RO membrane systems can be fairly automated, which
helps reduce operating costs. RO systems do require a "settling in" period during start-
up. Each train can be started and stopped periodically, however care must be taken to
prevent damage to the RO system. Chemical cleaning of the membranes is required as
the feedwater channels become fouled. Eventually, the membrane elements require
replacement if cleaning does not yield acceptable membrane performance.
3-2.4 Post-Treatment
Post-treatment is conditioning of the water for its ultimate use, drinking water. The basic
requirements for drinking water are that it contain no objectionable taste or odor, that it
be non-corrosive and that it be properly disinfected.
Sometimes, membrane processes allow the gasses dissolved in the feedwater to pass
through to the product water. These gasses can produce an undesirable taste or odor in
the finished water. The most common process for removing these gasses is forced draft
degasification.
All desalination technologies produce water with very low alkalinity, which leaves an
unstable, generally low-pH water which is corrosive and objectionably soft. Post-
treatment techniques for stabilizing product water are to add caustic soda or lime to
increase pH and alkalinity. Care must be taken when using chemicals for post-treatment
since product water may be blended with water from other sources in the distribution
system. Following pH adjustment, drinking water must be disinfected to assure that no
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biological contamination is present in the product water and to maintain an adequate
level of disinfectant in the distribution system.
3-3 SOUTH COUNTY DESALINATION FACILITY
Several manufacturers of desalination equipment are available, however the basic RO
membrane systems for desalination are very similar. For specific preliminary design of
an RO system for the proposed South County plant, Koch Membrane Systems was
contacted. Koch Membrane Systems have been producing seawater RO systems for
over 20 years and have RO systems on the shores of every continent (including
Antarctica). Koch Membrane Systems have produced a Seawater Desalination Guide
and ROPRO computer software program to help design the various aspects of a
seawater desalination plant. Using the Guide and ROPRO software program, the
following desalination system was compiled.
3-3.1 Pre and Post Treatment
Koch Membrane Systems has found that, as a general rule, efforts to minimize the
amount of pretreatment chemical addition to the feedwater stream are worthwhile.
Experience in the desalination and RO field has proven that more operational problems
occur due to the over-use and interaction of pretreatment chemicals than any other
treatment process. However, in some instances, pretreatment chemicals may be
necessary to enhance the performance of the RO membranes depending on the source
water quality.
Based on the preliminary design of the RO membrane system and the assumed quality
of the source water from beach wells, an antiscalant would be beneficial for pretreatment
at the South County desal plant. Typically, an acid solution such as sulfuric acid, can be - '.
used to effectively prevent scaling on the RO membranes. It should be noted that the
reduction of feedwater pH with the addition of an acid antiscalant will increase the rate of
corrosion, therefore materials of construction should be carefully selected.
According to the ROPRO software program, permeate water from the RO treatment
process will require both pH adjustment as well as chlorine addition prior to distribution
for potable water use. Both chemical additions for posttreatment can be accomplished
with in-line mixers therefore posttreatment infrastructure should be minimal.
3-3.2 Membrane Desiqn
Based on the ROPRO membrane design program, a desalination plant sized to serve
the South County agencies would need to be a two-pass design. That is, once the
feedwater is sent through the RO membrane, a portion of the permeate flow will need to
take a second pass through another membrane filter in order to meet the desired
product water quality. Using an approximate flux rate of 10 GFD, the array recovery of
the preliminary design is 45% (assuming a fouling allowance of 15%) for the first pass.
Because the second pass uses product water from the first pass through the
membranes, the recovery can be elevated to 85% as the flux is increased to 23 GFD. In
summary, the South County desal plant would require 100 membrane banks (using 7
elements per bank) for the first pass and 15 membrane banks for the second pass. A
summary print out of the ROPRO program can be found in Appendix H.
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According to Koch Membrane representatives, the proposed desal plant would require a
building approximately 100' by 50' to house the entire RO membrane treatment system.
Figure 3-2 is a schematic representation of the proposed building at the SSLOCSD
WWTP site. As can be seen from the figure, the WWTP site should be able to
accommodate the RO membrane system with minor modifications to the landscaping
and other site facilities. Design of the plant should include chemical storage for pre and
post treatment chemicals as well as vehicular access around the building.
"
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CHAPTER 4
PERMITTING AND ENVIRONMENTAL CONSIDERATIONS
The evaluation process to determine an appropriate desalination treatment technology
must also include the regulatory factors such as water quality standards, environmental
concerns, and concentrate disposal, that should be anticipated for the construction
project. This chapter focuses on the regulatory and environmental considerations
associated with the desalination facility.
4-1 REGIONAL WATER QUALITY CONTROL BOARD
The Regional Water Quality Control Board (RWQCB) is the state agency which has
authority over the protection, enhancement, and restoration of California's water
resources. The RWQCB is the authority which governs over disposal of water and
wastewater from the SSLOCSD's ocean outfall. The SSLOCSD is given permission to
discharge treated wastewater through their existing ocean outfall based on an NPDES
permit issued by the RWQCB. The SSLOCSD currently operates under NPDES Permit
No. 99-32. According to the permit, the treatment plant has the following design
capacities:
Average Dry Weather Flow: 5.0 MGD
Peak Wet Weather Flow: 9.0 MGD
According to conversations with RWQCB staff, utilization of the SSLOCSD's existing
ocean outfall for disposal of brine from a proposed desalination facility would require a
revision of the existing NPDES permit. Revision of the NPDES permit would involve the
preparation of a Report of Waste Discharge (ROWD), including a section of the report
describing how the addition of brine being discharged through the ocean outfall would
affect the dilution factor currently established by the Board for the SSLOCSD facility.
The dilution factor that is currently stated in SSLOCSD NPDES Permit No. 99-32 is
165:1 (seawater:effluent) based on an average flow of 6.75 MGD.
Due to the difference in chemical composition of freshwater to seawater, ocean outfall
disposal points have a tendency to create turbulent conditions within the seawater. To
minimize this effect, the RWQCB has a limitation on the dilution factor used for disposal
of treated effluent into the ocean. Based on calculations in the State Water Resources
Control Board California Ocean Plan (Appendix D), alterations to the chemical
composition of water being discharged will possibly alter the turbulence currently seen at
the SSLOCSD ocean outfall location. It should be assumed, however, that the addition
of 2.0 MGD of brine into the existing average 6.75 MGD flow of treated wastewater from
the SSLOCSD and Pismo WWTP will aid in dilution of the brine while lowering the
buoyancy of the treated wastewater. Therefore, it is not expected that the addition of
brine from the proposed desalination facility will cause unwanted outcomes for the
existing outfall.
Upon submittal of a ROWD to the RWQCB, the Board will review the report and return
comments and/or questions within 6 months. The application and instructions for
completing a WDR can be obtained from the State Water Resources website
(http://www.waterboards.ca.qov/centralcoastlApplications/index.htm). A sample applica-
tion (Form 200) has been included in Appendix E of this report. As part of the permit
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process prior to issuance of the revised NPDES Permit, the CEQAlEIR process must be
complete.
4.2 COASTAL COMMISSION
The California Coastal Commission plans and regulates the use of land and water in the
coastal zone. Development activities are defined by the Coastal Act and include
construction of buildings, divisions of land, and activities that change the intensity of use
of land or public access to coastal waters, generally require a coastal permit from either
the Coastal Commission or the local government. The Coastal Act includes specific
policies that address issues such as shoreline public access and recreation, terrestrial
and marine habitat protection, visual resources, landform alteration, agricultural lands,
commercial fisheries, industrial uses, water quality, offshore oil and gas development,
transportation, development design, power plants, ports, and public works. The policies
of the Coastal Act constitute the statutory standards applied to planning and regulatory
decisions made by the Commission and by local governments, pursuant to the Coastal
Act.
The coastal zone is specifically mapped by the Legislature and varies in width from
several hundred feet in highly urbanized areas up to five miles in certain rural areas.
Offshore, the coastal zone includes a three-mile-wide band of ocean. Because the
installation of a desalination facility at the SSLOCSD would be within the coastal zone, a
permit from the. Coastal Commission will be required prior to construction. Permit
applications can' be obtained from the California Coastal Commission website
(www.coastal.ca.Qov); a copy of the application is included in Appendix F.
According to the Commission, once an application has been submitted, the Commission
will review the application for completeness and return initial comments/questions within
30 days. In conversations with Coastal Commission staff, it is important that permit
applicants meet the requirements set forth in Chapter 3 of the California Coastal Act. To
ensure compliance with all sections of the Coastal Act, it is recommended that
preliminary design and engineering of the proposed desalination facility be developed in
conjunction with Coastal Commission staff and that close communication between
Coastal Commission staff be maintained throughout the project.
The Coastal Commission has recently developed a publication, Seawater Desalination'
and the California Coastal Act. March 2004. This publication was developed in response
to the growing interest and concern about seawater desalination along the California
coast. Because there are approximately two dozen desalination facilities currently
proposed for California, the Coastal Commission prepared this report to address
proposed state, federal, and local desalination initiatives, along with outlining the Coastal
Commission's perspective role in the design, construction, and implementation of
desalination facilities in California.
The following is a brief summary of the findings from the March 2004 report:
. Each proposed desalination facility will require case-by-case review. That is,
because each facility has unique design, siting, and operating characteristics,
different Coastal Act policies are likely to apply differently to each one. This will
require case-by-case review to determine Coastal Act conformity, adverse
impacts, and the measures necessary to avoid and mitigate for those impacts.
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. Coastal Act policies do not suggest overall support of, or opposition to,
desalination. The Coastal Act allows many types of development to occur within
the coastal zone, as long as they conform to Coastal Act policies. Properly
designed and operated desalination is one of these types of development.
. The most significant potential indirect adverse impacts are likely to be those
associated with growth-inducement. Review of coastal desalination facilities will
likely need to assess whether the water supply provided by the new facilities
comes with assurances that the resulting growth will not exceed the capacity of
coastal resou rces.
. The most significant potential direct adverse environmental impact of seawater
desalination is likely to be on marine organisms. This impact is due primarily to
the effects of the seawater intake and discharge on nearby marine life; however
these effects can be avoided or minimized through proper facility design, siting,
and operation.
Tables 4-1 and 4-2, extracted from the Coastal Commission's March 2004 publication,
are listings of existing and proposed desalination facilities along the California Coast.
Existing coastal desalination facilities are relatively small and can produce up to a
maximum of 3,300 acre-feet per year. Total output of proposed facilities would be about
260,000 acre-feet per year, which represents roughly an 80-fold increase in production.
a e - . XIS 1n9 esa Ina Ion aCllles on g e a I ornJa oas
Maximum
Operator Public/Private Capacity Statu s
(AFY)
Chevron/Gaviota Private 460 Active
City of Morro Bay Public 929 Active
City of Santa Barbara Public N/A Inactive
Duke Energy/Morro Bay Power Private 482 Not Known
Plant
Duke Energy/Moss Landing Power Private 537 Active
Plant
Marina Coast Water District Public 335 Active
Monterey Bay Aquarium Non-Profit 45 Active
PG&E/Diablo Canyon Public 645 Not Known
Santa Catalina Island Private 148 Not Known
US Navy/Nicholas Island Government 27 Not Known
Offshore gas & oil platforms Private 2-33 Active
Total Production Approx 3 MGD 13300 Acre-Feet per Year
T bl 4 1 E . f D r f F Tf AI
'th C I'f . C t*
"Table extracted from Seawater Desalination and the California Coastal Act, California Coastal Commission
March 2004.
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Table 4-2. Proposed Desalination Facilities Along the California Coast
Operator/Location Maximum Capacity
(AFY)
Cambria Community Services District 560
Ocean View Plaza/Monterey 6
Carmel Area Wastewater District Not Known
City of San Buenaventura Not Known
City of Sand City 30
City of Santa Cruz 2,800
East-West Ranch/Cambria Not Known
;
,
Marina Coast Water DistricVFort Ord 3,000
Long Beach 335
Long Beach Water Dept. 11,000
Los Angeles Dept. of Water and Power 11,000
Monterey Bay Shores 22
Monterey Peninsula Water Mgmt. 8,400
DistricVSand Citv
Cal-Am/Moss Landing Power Plant 10,000
Municipal Water District of Orange 30,000
Countv/Dana Point
Poseidon Resources/Huntington Beach 55,000
San Diego County Water Authority/San TBD
Onofre Nuclear Generatina Station
San Diego County Water Authority/South 55,000
County
San Diego county Water Authority & 55,000
Poseidon Resources/Carlsbad
US Navy/San Diego 780
West Basin Municipal Water District 22,000
Total Proposed Production 260,000 AFY
"Table extracted from Seawater Desalination and the California Coastal Act, California Coastal Commission
March 2004
4-2.1 Coastal Act Review
As part of a desalination permit application to the California Coastal Commission, an
applicant should be prepared to describe and evaluate the existing conservation
measures being implemented in a proposed service area, whether there are
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comprehensive conservation plans or water use reduction plans in place, the
effectiveness of such measures to reduce overall water consumption, and additional
feasible measures that could reduce impacts associated with a proposed desalination
facility. Coastal Act review will also generally evaluate a proposed project to determine
whether there are alternative versions of the project that may be less environmentally
harmful. Not only are alternatives and mitigation measures required to be feasible, but
for some Coastal Act policies, all feasible alternatives and mitigation measures must be
implemented. Review of a desalination proposal, therefore, will likely require an
alternatives analysis to identify whether there are other feasible alternatives that better
conform to Coastal Act requirements, and an assessment of mitigation measures
available to avoid or reduce its impacts. Some of these items may be included as part of
the Environmental Impact Report, also required as part of the planning process for a
desalination facility (described below).
4-3 ENVIRONMENTAL IMPACT REVIEW
In addition to a RWQCB ROWD, and Coastal Commission Permit Application, the
construction of a new desalination facility will involve the completion of an environmental
impact review (EIR) during the planning process of the desalination facility. As
discussed in Section 4-2, Chapter 3 of the California Coastal Act outlines many
environmental issues that must be considered in the design of a desalination facility.
The following is a general list of environmental considerations for a proposed
desalination plant:
. Construction
. Energy Use
. Air Quality
. Marine Environment
. Increased Development
. Other Coastal Zone Issues (geologic hazards, navigation, cumulative effects,
etc.)
These impacts and potential mitigation measures are discussed below.
4-3.1 Construction
Construction activities could result in several types of coastal zone impacts, including: air
emissions, disturbance of dune, surf zone, and seafloor ecology, disturbance to
seabirds, marine mammals, other land and marine species and their habitats, among
others. Significant construction impacts could also occur away from the desalination
plant site if long pipelines are needed for seawater intake or for distribution of product
water must be built.
Potential mitigation measures of construction activities associated with desalination
include:
. Minimize the number and length of pipelines and power transmission lines
. Site pipeline routes to minimize impacts to sensitive areas
. Site plants in locations where existing intake or outfall structures may be used or
minimize the size of new seawater intake and outfall structures
. Incorporate mitigation measures commonly required for construction activities
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Because the proposed desalination facility for the South County agencies will be located
at an existing wastewater treatment plant, utilizing a common disposal outfall for brine
disposal, construction impacts associated with the new facility should be considered
minimal.
4-3.2 Enerqv Use
Desalination plants require significant amounts of energy for their operation. Section
30253 (4) of the Coastal Act requires that new development minimize energy
consumption. Therefore, the development of a new desalination facility should
incorporate means to conserve energy or reduce energy use. One method for reducing
energy use is by employing energy recovery. In the case of reverse osmosis (RO),
energy is recovered by converting hydraulic pressure in the brine to electricity or by
transferring this energy to the feed water.
Mitigation measures associated with the reduction of energy use are as follows:
. Preference for desalination technologies and plant designs that reduce energy
consumption
. Use renewable energy resources
. Site the proposed plant near power plants capable of cogeneration
As discussed in Chapter 3, design of a desalination facility at the SSLOCSD should
include consideration of energy recovery. In addition to saving energy for the purpose of
environmental preservation, energy recovery could contribute to a cost savings for
operation of the desalination plant over time.
4-3.3 Air Qualitv
New development along the coast should be consistent with requirements imposed by
an air pollution control district or the State Air Resources Control Board. In general,
desalination plant air emissions consist of discharges from the degassifier in RO facilities
along with the air emissions produced as a result of increased energy use. Therefore,
proposed plants should include consideration of measures to offset air emissions from
energy production.
Potential mitigation measures:
. Compliance with local Air Pollution Control District and State Air Resources
Board standards
. Preference for reduced energy use
. Use of alternative energy sources to minimize air emissions
It is not anticipated that an RO desalination facility at the SSLOCSD site will contribute
an above-average quantity of air emissions, consistent with local air pollution standards.
However, design of the facility should include consideration of energy reduction
mitigation measures, so as to reduce the amount of air emissions resulting from
increased energy use, as described in Section 4-3.2.
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4-3.4 Marine Environment
The topic of environmental considerations on the marine environment corresponding to
the construction of a desalination facility is extensive. Therefore, this topic will be
discussed briefly in this report. For additional resources on this topic, please see
Appendix G.
The following is an outline of some of the potential impacts on the marine environment
due to construction and operation of a desalination facility along the coast:
Disposal of cleaning products (such as chlorine or other biocides) to clean pipes and
other equipment are hazardous to marine resources, therefore they are not allowed to
be discharged directly into the ocean and would have to be neutralized before discharge.
The use of coagulant (such as ferric chloride) for pretreatment often creates a sludge
that must be disposed of. Options for disposal of coagulants include removal of the
larger sludge particles for transport to a landfill or treatment at a wastewater treatment
plant. Anti-sealants are also used to remove scales that form on the plant's interior.
Most anti-sealants are not hazardous to marine resources, however careful
consideration of the quantity being discharged should be noted.
In general, discharges from desalination plants may have the following types of
potentially adverse qualities:
Salt concentrations above those of the receiving waters (seawater salt concentration is
about 35,000 ppm; desalination plants discharge brine with 46,000 to 80,000 ppm). Salt
concentrations may be reduced by mixing desalination plant discharges with other
discharges, such as wastewater.
. Temperatures above those of receiving waters
. Turbidity levels above those of receiving waters
. Oxygen levels below those of receiving waters
. Chemicals from pretreatment
. Chemicals used in flushing the pipelines and cleaning the membranes in RO
plants
. Chemicals used to preserve the RO membranes
. Organics and metals that are contained in the feed water and concentrated in the
desalination process
. Metals that are picked up by the brine in contact with plant components and
pipelines.
In addition to desalination plant discharges, impacts associated with plant intake facilities
should also be considered. Intake of water from the ocean usually results in loss of
marine life. The intake of feed water can also affect marine resources by altering natural
currents in the area of the intake structure. The use of beach wells or infiltration
galleries will help minimize these impacts, however these intake methods have not been
extensively used in California. For this study, use of beach wells may be the most
desirable method from an ecological standpoint.
4-3.5 Increased Development
The construction of desalination plants to meet water supply needs in the state may
result in growth-inducing impacts. Limited water is often the major constraint to
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development in many parts of the coast. Therefore, new desalination projects in coastal
areas could lead directly to new development and a resulting increase in population
migration to coastal areas. New development served by the plant could in turn interfere
with long term regional goals for growth control.
Potential mitigation measures to minimize growth-inducing impacts are as follows:
· Community wide water conservation and reclamation measures to reduce the
need for new water projects
. Siting of plants near existing seawater intake facilities
. Siting of plants near existing energy sources and distribution systems
. Siting of plants near existing fresh water distribution mains to distribute the
product water
. Sizing of the plant capacity to be commensurate with the planned level of
development authorized by the certified LCP for the area
. Coordination of project approval with regional growth management goals
Because the proposed desalination facility for South San Luis Obispo County agencies
meets each of these mitigation recommendations, impacts associated with growth-
inducement have already been considered in part of the planning process. A
desalination facility a the SSLOCSD WWTP is near existing facilities, will utilize existing
distribution mains, and sizing of the plant commensurate with local water master plan
reports prepared for each of the agencies.
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CHAPTER 5
LIFE CYCLE COST ANALYSIS
The following chapter presents the cost estimate generated for a possible desalination
facility at the SSLOCSD WWTP site. The costs were developed based on engineering
judgment, confirmed bid prices for similar work in the Central Coast area, consultation
with vendors and contractors, established budgetary unit prices for the work, and other
reliable sources. Hard construction costs are escalated by a factor of 1.4, to allow
budget for "soft costs" that include preliminary engineering, engineering, administration,
construction management and inspection costs. All costs are expressed in Year 2005
dollars. In the future. project costs should be escalated usinq an ENR Construction Cost
Index of 7647 December 2005 (current costs) relative to future construction cost indices.
5-1 CAPITAL COSTS
Capital costs for a desalination facility at the SSLOCSD WWTP must include the
following:
5-1.1 Seawater I ntake Structure
It is recommended that the intake structure for the SSLOCSD desalination plant consist
of a subsurface seawater intake structure, such as a beach well or infiltration gallery.
Such structures minimize impaling aquatic life, and reduce pre-treatment requirements.
The cost of this structure is estimated to be about $100,000 per well and it is expected
that 4 or more wells will be required to yield 2 MGD product water at 45% recovery.
5-1.2 Intake Pipinq to the SSLOCSD plant from the ocean intake wells
In addition to the intake structure, intake piping will be required to convey source water
to the SSLOCSD location. Due to the location of the SSLOCSD plant and the
neighboring community/lagoon, it is anticipated that intake piping will need to be installed
in county right-of-way through the ocean-side community of Oceano. While a detailed
design of the intake piping alignment is outside the scope of this study, it is estimated
that the length of intake piping will consist of approximately 1 mile (5280 linear feet).
5-1.3 Maintenance Buildinq to house membrane svstem and chemical storaqe facilitv
As discussed in Chapter 3, the RO membrane system will consist of 100 banks of 7
membrane elements. Each membrane element is 8-inches in diameter and 60 inches
long. The membrane elements can be stacked by bank, therefore 100 banks of 5-feet
tall groups of seven vessels would need to fit inside the membrane building. According
to Koch Membrane staff, a building approximately 100 feet by 50 feet should
accommodate the 2300 AFY facility.
5-1.4 Desalination membrane infrastructure skids & membrane cartridqes
Koch Membrane elements are individually manufactured and each model is individually
priced according to the element length and membrane material. According to the
ROPRO software, the South County desal plant would need 100 banks of the 7 -element
TFC 2822SS-300 membranes for the first pass and 15 banks of the 7-element TFC
8822HR-400 membrane. These unit costs are shown in Table 5.1.
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5-1.5 Brine Disposal Svstem
Disposal of concentrate from the RO process will need to be configured with the existing
ocean outfall utilized by the SSLOCSD and Pismo WWTPs. Costs for the brine disposal
system will be associated with matching the existing pumping requirements for the
outfall pipe and the linear footage of pipe to convey brine from the RO building to the
outfall location (approximately 400 feet).
5-1.6 Pretreatment Cartridqe Filters
The cartridge filters required for pretreatment will need to be included in the overall
construction cost for the desal system. The cartridge membrane sizelrating will depend
on the actual source water quality. It is assumed a mesh rating of 1-10 micrometers will
be sufficient for the SSLOCSD desal plant.
5-1.7 EIR and Permit Fees
Preliminary design and planning costs are difficult to estimate for a project of this caliber,
therefore a 40% budget has been added to the overall construction cost to account for
"soft costs"/associated with the desal project. In addition to this assumed design fee, a
cost for the environmental review and permit fees should be included as part of the
capital expense of the desalination life cycle cost.
5-1.8 Pumps
Several pumps will be required in the overall desalination system. Pumps will be
required for the intake wells, feed pumps will be required to push feedwater through the
membranes, and distribution pumps will be required to deliver water from the SSLOCSD
site to each agencies distribution system.
5-2 OPERATIONS AND MAINTENANCE
Operations and maintenance of the desalination facility will include energy cost
associated with the pumping facilities (intake wells, feedwater pumps, and distribution
pumps), as well as chemical and labor costs for plant operation. The costs for these
were extracted from the Koch Membrane Systems cost-estimating program tied to the
ROPRO software program used to size the membrane system. A print out of the
ROPRO sizing for the South County desal plant can be found in Appendix H. Here, the
approximate energy cost and chemical dose required for the two-pass membrane
system can be found.
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Table 5-1. Desalination Life Cycle Cost Analysis
Quanti Unit I Unit Cost ITotal Cost
Canltal
Intake Structure welllpumps 1 LS $500,000.00 $500,000.00
Intake Piping 12-inch 5280 LF $300.00 $1,584,000.00
Building 100'x65' 6500 SF $200.00 $1,300,000.00
TFC2822SS-300 700 EA $750.00 $525,000.00
Desai Membranes TFC8822HR-400 105 EA $625.00 $65,625.00
Membrane Train Infrastructure 1 LS $500,000.00 $500,000.00
Feed Pump 1200psi 2EA $75,000.00 $150,000.00
Product (booster) Pump :1 1 EA $15,000.00 $15,000.00
Distribution Piping :1 Oceano(7000); GB(10000 26000 LF $200.00 $5,200,000.00
Disposal Pump/Piping 1 LS $150,000.00 $150,000.00
Cartrid"'e Filters 'Pretreatment\ 1 LS $250,000.00 $250,000.00
I Subtotal $10,239,625.00
40% soft cost $14,335,475.00
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, 1 LS $200,000.00 $200,000.00
EIR "
Permit Fees 1 LS $100.000.00 $100,000.00
Subtotal $14,635,475.00
20'%1 Contingency $2,927,095.00
lTotal Capital Cost $17,562,570.00
O&M
, TFC2822SS-300 700 EA $750.00 $175,000.00
Membrane Replacement (3 yr warranty) TFC8822HR-400 105 EA $625.00 $21,875.00
Anliscalant 12000 Ibs $1.50 $18,000.00
Chlorine (hypochlorite) 6000 gallons $0.50 $3,000.00
Chemical Addition " pH Adjustment (lime) 270000 Ibs $0.05 $13,500.00
I Feed Pump 2062 kwh $0.15 $2,636,020.00
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i Interpass Pump 130 kwh $0.15 $168,705.00
I Distribution Pump 342 kwh $0.15 $449,880.00
Energy Cost I Intake (well) pumps 1000 kwh $0.15 $1,000,000.00
Cartridge Filler Replacement 1-10 micrometer 1 LS $10,000.00 $10,000.00
Labor I 1.5 $65,000.00 $97,500.00
Routine O&M I 1 $100,000.00 $100,000.00
ITotal O&M Cost $4,495,980.00
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20- ear life Cvcle Cost i
Capital I $17,562,570.00 $1,657,730.98
Annual O&M :1 $4,495,980.00 $4,495,980.00
I Subtotal $6,153,710.98
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, Per Acre-Foot $2,675.53
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Desalination Water Study/Chapter 4
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CHAPTER 6
SUMMARY
This chapter presents a summary of the findings for the feasibility of constructing a
desalination facility at the SSLOCSD WWTP for the South Count water agencies of
Arroyo Grande, Grover Beach, and Oceano.
6.1 DESALINATION FACILITY OVERVIEW
As requested, the South County agencies would require approximately 2300 AFY (2
MGD) of supplemental water to meet build-out requirements. To minimize impacts on
the coast, the desalination facility would be located at the SSLOCSD WWTP. Site
availability at the wastewater treatment plant is limited, however an area approximately
150 feet long by 100 feet wide is available adjacent to the existing standby power facility
(see Figure 3-1).
The SSLOCSD WWTP currently maintains an ocean outfall for disposal of wastewater
treatment plant effluent. The outfall line is designed for a maximum capacity of 16 MGD.
The SSLOCSD WWTP shares capacity of the outfall with Pismo Beach. The combined
peak wet weather flow through the outfall is currently 14 MGD, therefore approximately 2
MGD capacity remains available in the existing outfall line. It is assumed that the
remaining capacity would be sufficient for disposal of brine from a 2 MGD desalination
facility at the SSLOCSD location, however an evaluation of the condition of the pipeline
should be performed to determine actual hydraulic capacity.
As discussed in Chapters 2 and 3, several source water intake alternatives are available
for design of a desalination plant. Being that brackish water wells in and around the
SSLOCSD site would most likely pull from the Arroyo Grande groundwater basin, it is
assumed that the beach well approach will have the least amount of impact on the
surrounding groundwater sources as well as minimize influence on the marine
environment. The approximate yield of beach wells is 0.1 MGD to 1.0 MGD, therefore 3
or 4 wells would be necessary to supply source water to the South County oesalination
plant.
Several desalination methods are available to reduce the TDS concentration of
seawater. For California, the most widely used technology is reverse osmosis (RO).
Reverse osmosis is typically cheaper in energy cost and is easier to operate than other
desalination methods. A preliminary design of an RO membrane system for a 2 MGD
desalination facility at the SSLOCSD WWTP was prepared according to the ROPRO
software from Koch Membrane Systems. According to the system design, the
desalination plant would need to be a two-pass system to meet drinking water quality
standards. The first pass would require 100 banks of the 7-element membrane and the
second pass would require 15 banks of the 7-element membrane. According to Koch
Membrane staff, a building approximately 100 feet by 50 feet should accommodate the
membrane treatment system (see Figure 3-1 for schematic).
Distribution of product water to the individual agencies must be accomplished with a
booster pump at the SSLOCSD site. Because the RO membranes supply product water
at close to atmospheric pressure, additional head will be required to distribute water to
each agency's system. Depending on the design, product water can be delivered to
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either the distribution system, matching existing system pressure, or to one of the
agency's water storage reservoirs. It is assumed that supplying product water to the
storage reservoirs would be beneficial since the booster pump would only need to supply
water at atmospheric pressure as opposed to a high-head pump to meet existing
distribution system pressure.
6-2 PERMITTING OVERVIEW
As discussed in Chapter 4, permitting and environmental review of a proposed
desalination facility could involve several agencies including the Regional Water Quality
Control Board, Coastal Commission, Air Resources Control Board, and the County,
among others. Because each of these agencies will most likely require their own permit
and approval prior to construction, it is assumed that the permitting and environmental
review stage of the process could be fairly extensive. Chapter 8 discusses the timeline
expected for CEQA/Environmental Review and permitting. If planning and design of the
project were started "today", it is assumed construction of the entire project could take
up to seven years.
Some of the preliminary design items that would need to be accomplished as part of the
planning process are the following:
EIR - An environmental review of the proposed desalination facility would need to be
accomplished during the planning stage of the project. The environmental review will
outline environmental impacts and other impacts that could alter the overall design of the
project. An environmental review should be accomplished prior to other permit
applications.
Regional Water Quality Control Board NPDES permit - While the SSLOCSD currently
operates under an existing permit, this permit would need to be changed to include
discharge of brine from the desalination plant. An NPDES permit application (Form 200,
found in Appendix D) would need to be submitted along with a Report of Waste
Discharge.
Coastal Commission permit - A permit application from the California Coastal
Commission would need to be submitted and accepted prior to construction of the
desalination facility. While review of the initial application is proposed to have a 30-day
turnaround, the comment and review process is expected to last up to 6 months
depending on timing of other permits and approvals.
San Luis Obispo County - A building and construction permit from San Luis Obispo
County would be required for construction of the proposed plant. In addition, other
aspects of the desalination facility, such as distribution piping, the intake piping, and
building construction will most likely fall under County authority for planning and design.
6-3 COST
Based on the 20-year life cycle cost analysis of a desalination facility at the SSLOCSD
plant, the cost per acre foot of desalination water would be approximately $2675/AF.
This value includes a 20% contingency and all capital costs were multiplied by a factor of
1.4 to account for soft costs. The cost estimate for the desalination facility can be found
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in Table 5-1. According to the estimate, capital cost for the project, including EIR, is
approximately $17 million.
6-4 MISCELLANEOUS
While a desalination facility would most likely involve a more complicated permitting
process than other supplemental water sources, it is one of the few water supply
sources that is completely drought-proof. A desalination facility has the benefit of being
able to run continuously, twenty four hours per day, seven days per week for constant
supply regardless of water shortages throughout the area.
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CHAPTER 7
PROPOSITION 50: DESALINATION GRANT FUNDING
In November 2002, California voters passed Proposition 50, the Water Security, Clean
Drinking Water, Coastal and Beach Protection Act of 2002. This grant program
implements Chapter 6(a) of Proposition 50 (Water Code Section 79545(a)), which
authorizes the California Department of Water Resources to administer a $50 million
desalination program. The grant program aims to assist local public agencies with the
development of new local water supplies through the construction of brackish water and
ocean water desalination projects and help advance water desalination technology and
its use by means of feasibility studies, research and development, and pilot and
demonstration projects.
7-1 ELIGIBLE APPLICANTS & PROJECTS
To be eligible to receive a grant, at least fifty percent of the total cost of the project shall
be met by matching funds or donated services from non-state sources. Applicants who
wish to collaborate on a project may elect to use a contractor-subcontractor relationship,
joint venture, a joint powers authority, or other appropriate mechanism. Contracts shall
be executed with one entity only. The proposal shall clearly indicate who will sign the
contract, and who will thereby be responsible for payments, reporting, and accounting.
Aqencies and their cooperators subject to the Urban Water Manaqement Planninq Act
must have adopted a complete plan in accordance with the Act and submitted it to DWR
to be eliqible for this proqram.
Eligible projects include brackish water and seawater desalination construction projects,
as well as research and development, feasibility studies, pilot and demonstration
projects for the development of local potable water supplies.
7-2 AVAILABLE FUNDS
The 2006 round of Proposition 50 grants is the second and last cycle of this funding
program. This cycle will grant $21.5 million for the Fiscal Year 05/06. The maximum
funding limits for each project type are:
. Funding Studies ($250,000 per project)
. Research and Development ($500,000 per project)
. Pilot and Demonstration Projects ($1.5 million per project)
. Water Desalination Construction Projects ($3.0 million per project)
The applicant is responsible for providing at least fifty percent of the total project cost as
matching funds or donated services from non-state sources. Only work performed after
the effective date of the contract will be eligible for reimbursement. Funds shall be
expended within three years of the award of the grant. If the project exceeds one year in
duration, a budget with discrete 12-month periods shall be provided.
7-3 PROPOSAL PREPARATION
A complete proposal shall include the following sections in the order presented:
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A. Project Information Form
B. Signature Page
C. Project Summary
D. Statement of Work, Section One
E. Statement of Work, Section Two
F. Statement of Work, Section Three
G. Statement of Work, Section Four
H. Outreach, Information Sharing, and Environmental Justice
I. Qualifications of the Applicants and Cooperators
J. Costs and Benefits
More information on the proposal preparation and submittal can be found at
www.owue.water.ca.qov/recvcle/
7-4 ANTICIPATED SCHEDULE
Final application packages have not been prepared to date. Therefore, the anticipated
schedule could change. An updated version ofthe schedule should be available at the
website listed above in Section 7-3.
. Applications Due February 2006
. Review Process Complete April 2006
. Public workshop to present Draft May 2006
funding recommendation
. Final funding decision made May 2006
. Contract negotiations begin June 2006
. Contracts signed December 2006
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CHAPTER 8
IMPLEMENTATION & TIMELINE
This chapter outlines the proposed timeline that would be expected for the Desalination
supplemental water project. This implementation and timeline incorporates the various
aspects of environmental review and permitting, contracts and financing, preliminary and
final design, bid phase and construction.
8-1 TIMELlNE
The following is a list of key project tasks, listed in the order they would most likely
occur. Some of these tasks will overlap during the implementation phase.
. Feasibility Study (this report)
. Funding Study - 6 months
. Agency Agreements - 3 months
. Environmental Impact Review (EIR) - 24 months
. Detailed Design -10 to 12 months
. Permitting (12 to 24 months, in part, concurrent with design)
. Bid Phase - 4 months
. Construction - 12 months
8-1.1 FundinQ Studv
If the City of Arroyo Grande, City of Grover Beach, and Oceano CSD were to reach
consensus that the Desalination supplemental water project were to move forward, it is
anticipated that this decision would occur at some point following adoption of each
respective Council/Board of this feasibility study. It is assumed that this study would be
completed and approved in February 2005 by each member agency. The agencies
should then expidite preparation and submittal of the Prop 50 application for a funding
study for the supplemental water supply project. The Prop 50 grant monies would be
used to assist with the expense of a funding study to determine the preliminary design
and corresponding financial plan for the project. Based on the Proposition 50 Grant
application schedule, an application should be completed and submitted by February
2006, with final funding decisions occurring in May 2006. If grant monies are awarded,
the agencies should move forward with the funding study to determine preliminary
design and financial plan for the project.
As part of the funding study and preliminary design, the agencies will need to send out
Requests for Proposals (RFPs) to qualified engineering firms, and select and hire a
consultant to perform the funding study. Once selected, the design firm will need
approximately 6 months to complete the funding study including preliminary design,
approvals from the respective Councils and the Oceano CSD Board.
Based on the costs determined as part of the preliminary design study, the agencies will
need to prepare a financing plan for the approved project, and also must seek financial
approval from respective City Councils and the Oceano CSD Board for funding the
project. The funding study will review and identify possible grant and loan options
available for the project. Because the preliminary design phase and financial plan can
occur simultaneously, a total time frame of 6 months is estimated for the funding study
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task. The funding study task would commence following award of Prop 50 grant monies,
which is proposed to occur in May 2006.
8-1.2 Aqencv Aqreements
In conjunction with the funding study, the participating agencies will need to formalize
inter-agency agreements for this project. The estimated time required for the agencies
to formulate Agreements to authorize this supplemental project is 3 months. These
agreements should be executed prior to award of Prop 50 grant monies in May 2006.
8-1.3 CEQAlEnvironmental Review
It is possible that once a preliminary design concept is substantially defined, the
environmental review process can begin prior to final approval of preliminary design.
However, since the project elements could change during the review process, it is
advisable to begin the environmental review process after concurrence from project
participants that the project description is firm. Thus, the CEQAlenvironmental review
process is anticipated to begin immediately following the approval of the preliminary
design. Given the complexity of issues surrounding the Coastal Commission review
process, Regional Board permit issues and an updated NPDES Permit, environmental
issues associated with a beach well seawater intake structure, and other associated
issues, this process is anticipated to take a minimum of 24 months to complete.
8-1.4 Detailed Desiqn
The detailed design task for this project is anticipated to require approximately 8 months,
following notice to proceed to a qualified consultant. Given that the plant site would be
located on the SSLOCSD WWTP property, there are no right-of-way acquisition issues
associated with the project. Thus, the first order of business would be the survey and
geotechnical tasks for design, followed by utility collection/verification, followed by the
process design for the RO plant, supply pipeline and beach well component, brine line
and connection to the outfall, and all other plant design related matters. With consultant
RFPs and the selection process, the entire design phase is anticipated to take 12
months. It is also recommended that the detailed design phase not commence until
such time that the environmental review process is completed.
8-1.5 Permittinq
Permitting for the Desalination facility is anticipated to be relatively extensive, and
complex. The permitting process will include the following, at a minimum:
. Updated NPDES Permit from Regional Water Quality Control Board. This
process will take a minimum of 6 months to complete, following preparation and
receipt of a Report of Waste Discharge to the Regional Board. It is anticipated
that this will require 6 to 9 months to complete.
. Coastal Commission Permit. Although the Commission has indicated a 30-day
turn-around for review and comrnent on a perrnit application for such a project, it
is anticipated that the Coastal Corn mission Permit process will take up to 6
months, following adoption of the Regional Board updated NPDES Perrnit.
. There will likely be a nurnber of other permits required for a desalination project
of this nature, including possibly the California Department of Fish & Game, US
Fish & Wildlife Service, US Army Corps of Engineers, State Department of
Health Services, County of San Luis Obispo, and others. Specific permitting
Desalination Water Study/Chapter 8
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requirements of each and every agency was beyond the scope of this feasibility
study; however, planning for a project of this nature should take into account
some schedule buffer to allow for permitting delays and unanticipated permit
requirements from various agencies.
Given the complexity of the permitting process, it is anticipated that 12 to 24 months
would be required to complete the permitting process for a desalination plant.
8-1.6 Bid Phase and Construction
Once the design phase is complete, and all permits/approvals have been received, the
project may be sent out for contractor bids, and then construction may begin. The
bidding process, from bid advertisement to bid evaluation and award of contract,
generally requires 3 to 4 months.
Construction of the Desalination project, including pipelines, intake structure and all
other related improvements, is anticipated to require a construction window of 12
months, to allow for contractor mobilization, inclement weather and unforeseen delays,
equipment procurement, project construction wrap-up of punch list items, and start-up
and testing.
8-2 OVERVIEW OF PROJECT TIMELlNE
Since an exact "start" time is not known for this project, we have prepared an overview
of the project timeline based on number of months following completion of the feasibility
study. The anticipated timeline is summarized in Table 8-1.
Table 8-1. Proposed Timeline
Begin End
Task or Milestone (Months Following Completion (Months Following Completion
of Feasibility Study) of Feasibility Study)
Feasibility Study NA 0
Agency Agreements 3 6
Funding Study (inc.
Planning/Project 3 9
Financinq)
CEQAlEnvironmental 9 39
Review
Detailed Design 39 51
Permitting 46 70
Bid Phase 70 74
Construction 74 86 (7+ years)
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Based on Table 8-1, it is anticipated that this Project would require a minimum of 6 years
to complete, and likely on the order of 7 years factoring in the variability in permitting and
environmental issues associated with the project.
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APPENDIX A:
GROUNDWATER MANAGEMENT AGREEMENT
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AGREEMENT REGARDING
MANAGEMENT OF THE
ARROYO GRANDE GROUNDWATER BASIN
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A. Parties
This Agreement is entered into among the Cities of Arroyo Grande, Pismo Beach, Grover
Beach and the Oceano Community Services District (collectively referred to hereinafter as
"Parties" or "Urban Parties").
ROUF
B.
Recitals
ERING
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WHEREAS, in January 1983, a Technical Advisory Committee consisting of
representat\ve~ :::~ Arroyo Grande, Grover City, Pismo Bench, Oceano Commnnity Services
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"District, Port San Luis Harbor District, the Fann Bureau, A vila Beach County Water District and
the County of San Luis Obispo ("Committee") determined in reliance on the 1979 ReporI of the
Department of Water Resources entitled Ground Water in the Arroyo Grande Area that the safe
yield of the Arroyo Grande Gronndwater Basin ("Basin") is 9,500 acre feet per year;
WHEREAS, in or about February 1983, the Parties agreed to enter into a voluntary
groundwater management plan to provide for effective management of groundwater resources in
the Basin through which each party was given sufficient water to meet its needs as then
projected; such needs being met in part by the City of Arroyo Grande foregf)ing 358 acre feet per
year of its historical use and the City ofPismo Beach foregoing 20 acre feet per year of its
historical use;
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. WHEREAS, this manageoenl plan provided a reasonable division of the safe yield of/he
Basjn without court imposed groundwater basin adjudication;
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WHEREAS, on February 9, 1983, the tel1I1S of the management plan were incorporated
into Reliil.lll.t!on No. 83-1 of the South San Luis Obispo County Water Association Approving the
Recommendations of the Committee relating to the Basin (the "Resohition"); '.
WHEREAS, each of the Parties have adopted individual resolutions endorsing the
pr~~isions of the Resolution; . ----.
WHEREAS, the Parties have generally complied with the terms and conditions of the
Resolution; and ..- __ _ .
WHEREAS, general compliance with the Resolution has proven to be a fair iindefficient
means of managing andprotecting groundwatirresources.in the-BasiriaS cOIlfirmed by the -
.revised final draft report prepared by the Qepartment of Water Resources.c:ntitled, Water
Resources of ArrOYO Grlmde- an(rNipor;;~ Mesa. Januarv 2000. ~
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Gentlemen_s Agreemen[.D~C
GROUNDWATER MANAGEMENT AGREEMENT
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NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS;
I. Division of Safe Yield.
a. The Parties agree to a division of the safe yield of the Basin as follows;
Applied Irrigation
5,300 acre feet
Subsurface flow to ocean
200 acre feet
Urban Use:
City of Arroyo Grande
City of Grover Beach
City ofPismo Beach
Oceano Community Services District
1,202 acre feet.
1,198 acre feet
700 acre feet
900 acre feet
b. Any increase or decrease in the safe yield of the Basin attributable to changed
operation of the Lopez Reservoir, or any other cause. shall first be divided between the Urban
Parties and applied irrigation on a pro rata basis using the formula from the. 1983 Gentlemen's
Agreement, fifty-seven percent (57%) to applied irrigation and forty-three percent (43%) to the
Urban Parties. Thereafter, the first 378 acre feet per year of any increase of safe yield allocated
to the Urban Parties shal! be divided between the City of Arroyo Grande and the City ofPismo
Beach on a pro rata basis (95% to Arroyo Grande and 50/. to Pismo Beach).
c. The entitlements of each respective Urban Party may be increased based upon the
conversion of irrigated agricultural lands to urban use. An Urban Party to this Agreement may
increase its entitlement feii' urban use by a factor ofrhree (3) acre feet per acre per year minus the
calculated urban usage per acre per year upon the conversion of irrigated agricultural~and to
urban usage. "Irrigated agricultural land" shall be that land within the corporate limits of the
party that was identified as irrigated agricultural land in the 1979 Department of Water Resources
Report entitled Ground Water in the.Arrovo Grande Area. TIris agricultural conversion factor
may be applied to all acreage converted to urban use from January I, 1983, throughout the life of
this Agreement. Such an agricultural conversion factor is in the best interests of the overall
Basin in that it will not result in any decline in the groundwater service over time. The Parties
agree that no water should be converted to urban use within the Basin without establishing that it
was irrigated agricultural land as defined in the 1979 Department of Water Resources Report,
Groundwater in the Arrovo Grande Area.
d. The Parties agree and understand that the safe yield figures utilized in this
Agreement are a product of the 1979 Department of Water Resources Report regarding the
Arroyo Grande Basin as adjusted by the 1983 ad hoc Technical Advisory Committee and that the
division of the resources is based upon the historical use of each party and a practical
accommodation of each Party's needs as they existed at the time of the adoption of the 1983
Gentlemen_s AgroementDOC
GROUNDWATER MANAGEMENT AGREEMENT
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agreement. It is agreed that the Parties will meet and confer on issues related to safe yield and
division of existing water resources upon the final adoption of the new Arroyo Grande Basin
study performed by the Department of Water Resources, which is currently in draft.
2. Shared Information and Monitorin.,g: The Urban Parties to this Agreement shall freely
share information with each other regarding each of their respective uses Of groundwater in the
Basin, including all pumping data such as amounts of water extracted, well static water Icvels,
and water quality. The Urban Parties to this Agreement shall meet on a quarterly basis to share
this information and to discuss water usage and impacts Upon the Basin. The Parries shall
conduct a review of water usage and the impacts on Basin hydrology in 2010 and 2020,
3. T erTl2:
a. ;:';us Agreement shall bind the Parties indefinitely absent a significant change of
circumstances as to available water, water quality; or hydrogeology of the Arroyo Grande Basin.
A significant Change; of circumstances shall allow any Party to opt out of this Agreement if the
significant chan~e of circumstances put that Party at risk of not being able to meet its POtable
water needs.
b. Significant changed circumstances shall include changes within the Basi,n or
outside of the Basin, inclUding but not restricted to, a change in the Lopez Reservoir safe yield or
an increase in Lopez Reservoir discharges for conservation purposes that threatens the ability of
the Urban Parries to obtain their contractual allotments under their Lopez agreements, or a
significant change in groundwater yields or quality, or a reduction in foreign water imported by
any Urban Party. the Parties recognize that rainfall within the watershed is the most significant
factor affecting the yield of Lopez Reservoir and the Basin.
c. The Parties shall revisit the issue of the allocation of groundwater res,ources
within the Arroyo Grande Basin in 20 I 0 and 2020 in the Context of the review provided for in
section 2 of this Agreement. The Parties shall make new allocations of groundwater resources at
that time if circumstances justifY it and if no harm will result to other groundwater users. Priority
shall be given to reallocation of historical use of groundwater to Arroyo Grande and Pismo
Beach that those agencies chose not to pursue in the entering into of the original Gentlemen' s
Agreement in 1983 should such new allocations be made.
d. A Party may opt out of this Agreement ifsignificant changed circumstances arise
as defined in this section. Such a party shall give all other parties to the agreement not less than
six months written'notice ofits intention to opt out. The written notice shall describe in detail
the significant changed circumstances upon which the Party bases its election to opt out of the
Agreement.
4. , Mediation Alrreement: The Parries agree to mediate any disputes that arise out of the
Parties' performance under this Agreement, or the interpretation of the terms of this Agreement,
prior to instituting any litigation against or between any other Party to this Agreement. Should a
Party institute litigation without first offering in good faith to mediate any such dispute, any Party
may move, for an order compelling mediation and staying the proceedings in the litigation until
G~n!Jemen_s Agreem~nt,DOC
GROUNDWATER MANAGEMENT AGREEMENT
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after mediation has been completed. The prevailing party on a motion to compel mediation shall
be entitled to recover its attorney's fees against any resisting party or any party who flied
litigation without first making a good faith attempt to mediate the dispute. This mediation
requirement shall not apply where the health and safety of any of the Parties, or any of the
Parties' residents, is threatened and they must seek, and have obtained, preliminary relief for the
purposes of preserving health and safety.
5. No Third Partv Beneficiaries: The Parties are entering into this Agreement in order to
reasonably allocate existing groundwater resources between themselves and not to benefit any
third parties. This agreement shalI only be enforceable between the Parties themselves. This
Agreement does not create any right enforceable by any person or entity that is not a party to this
Agreement.
6. Ger.era. "rovisions:
a. The Parties warrant that all necessary approvals and authorizations have been
obtained to bind them to aU terms of this Agreement. and further warrant that the persons signing
have authority to sign on behalf of their respective Parties.
b. Written notice under this Agreement shall be given by' placing such notice in the
first class mail, postage prepaid. or by hand delivery to the current address of the office of any
Party to this Agreement.
c. No amendment to this Agreement will be binding on any of the Parties unless it is
in writing and signed by an authorized representative of all of the Parties.
d. ' This Agreement will be construed in accordance with, and governed by, the laws
of the State of California as applied to contracts that are executed and perfonned entirely in
California.
e. If any provision of this Agreement is held invalid or unenforceable by any final
judgment, it is the intent of the Parties that all other provisions of this Agreement be construed to
remain fully valid, enforceable, and binding on the Parties.
f. . This Agreement may be 'executed simultaneously in one or more counterparts,
each of which will be considered an original, but all of which together will constitute one and the
same instrument.
. g. The Parties represent that prior to the execution of this Agreement, they consulted
independent legal counsel of their own selection regarding the substance of this Agreement.
Gcntlemen_s Agreement.DOC
GROUNDWATER MANAGEMENT AGREEMENT
4
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WHEREFORE, the Parties publicly consent to the terms and conditions of this
Agreement by executing the same as set forth below.
Dated: !h Ai i '7"0
,2002.
City of Arroyo Grande
""
ZJt#
By:
Print Name and Title: M 1e.f1M L A..I-t\1;JY, I\\I\:'(OK
Dated: ,June. If), 2002.
City of Pismo Beach
ByJi~Il~) .
Print Name and Title: MAYoR RUDY' NATOLI
Dated:
May 21
; 2002..
......_.____J
City of Grover Beach
Attest:
e,..... O>-ilJ.'-'I(- f
onna L. McMahon
City Clerk
BY:~
Print Name and Title: 't\I\A.Yce.....
'.
Dated: April 24 t , 2002.
Dceano Community Services District
Attest:
By:
eefp'-S;::.&(-4U-~ j
-;::?:. L 9: Print Name and Title: Board President.
c:;:: - ~'{ ,-... ~ ..--...
Francis M. Cooney, Bo '~retary
Gentlemen_s Agreement. DOC
GROUNDWATER MANAGEMENT AGREEMENT
5
TnT^1 0 DC
.
APPENDIX B:
LOPEZ CONSUMER REPORT
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APPENDIX C:
CALIFORNIA OCEAN PLAN
WATER QUALITY CONTROL PLAN
OCEAN WATERS OF CALIFORNIA
OCEAN Pr'
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Zl!vLi!".v.;.tO\.gl'''1
2001
STATE WATER RESOURCES CONTROL BOARD
CALIFORNIA ENVIRONMENTAL PROTECTION AGENCY
State of California
Gray Davis, Govemor
California Environmental Protection Agency
Winston H. Hickox, Secretary
State Water Resources Control Board
10011 Street
P.O. Box 100
Sacramento, CA 95812-0100
(916) 341-5250
Homepage: http://www.swrcb.ca.gov
Arthur Baggett, Chair
Peter S. Silva, Member
Richard Katz, Member
Celeste Cantu, Executive Director
Tom Howard, Chief Deputy Director
Cover drawing by:
Zev Labinger, 1997
State of California
STATE WATER RESOURCES CONTROL BOARD
2001
CALIFORNIA OCEAN PLAN
WATER QUALITY CONTROL PLAN
OCEAN WATERS OF CALIFORNIA
Effective December 3, 2001
Adopted by the State Water Resources Control Board on November 16, 2000.
Approved by the U. S. Environmental Protection Agency on December 3, 2001.
The energy challenge facing California is real. Every Californian needs to take immediate action to reduce energy
consumption. For a list of simple ways you can reduce demand and cut your energy costs, see our Web-site at
htto://www.swrcb.ca.oov .
STATE WATER RESOURCES CONTROL BOARD
RESOLUTION NO. 2000-108
ADOPTION OF THE PROPOSED AMENDMENTS TO
THE CALIFORNIA OCEAN PLAN
(OCEAN PLAN)
WHEREAS:
I. The Ocean Plan was adopted by the State Water Resources Control Board (SWRCB) in 1972
and amended in 1978, 1983, 1988, 1990, and 1997.
2. The SWRCB is responsible for reviewing Ocean Plan water quality standards and for
modifYing and adopting standards in accordance with Section 303( c )(1) of the federal Clean
Water Act and Section 13170.2 of the California Water Code (CWC).
3. The SWRCB initiated a public review of the Ocean Plan in 1991, including a public hearing,
and adopted a workplan in 1992 for considering issues identified by the comments received.
4. The SWRCB reviewed these issues and amended the Ocean Plan in 1997.
5. The SWRCB staff reviewed the high priority issues remaining from the 1992 Workplan,
selected five issues for further analyses, and based upon this analysis proposed five additional
amendments to the Ocean Plan.
6. "The SWRCB staffhas also identified a sixth issue consisting of minor administrative changes
to the Ocean Plan to update terminology and references.
7. The proposed amendments are the following:
Issue 1: Replacement of the acute toxicity effiuent limitation in Table "A" with an acute
toxicity water quality objective.
Issue 2: Revision of chemical water quality objectives for protection of human health.
Issue 3: Addition of provisions for compliance determination for chemical water quality
objectives.
Issue 4: Revisions of the format and organization of the Ocean Plan.
Issue 5: Development of special protection for water quality and designated uses specifying
procedures for nomination and designation of special category waters.
Issue 6: Administrative changes to the Ocean Plan that include:
a. Defining governmental agencies referenced in the Ocean Plan,
b. Defining dredged materials,
c. Describing the relationship of the Ocean Plan to other State plans and policies,
d. Updating the reference for the radioactivity water quality objective,
e. Changing the test method references for total and fecal bacteria and for acute toxicity,
f. Changing a subtitle in Appendix II, and
g. Changing the Ocean Plan's effective date.
8. The SWRCB prepared and circulated a draft Functional Equivalent Document (FED) in
accordance with the provisions of the California Environmental Quality Act and Title 14,
California Code of Regulations 15251 (g).
9. The SWRCB held three public hearings in Sacramento, Irvine, and Monterey in November
and December of 1998. The SWRCB has carefully considered all testimony and comments
received on this matter and has determined that the adoption of the proposed Ocean Plan
amendments will not have a significant adverse effect on the environment.
10. The SWRCB staff has prepared a draft Final FED, Attachment A to this resolution, which
includes the specific proposed amendments to the Ocean Plan and responses to the comments
received at the hearings.
II. The SWRCB has considered relevant management agency agreements in accordance with
CWC Section 13179.1.
12. Amendments to the Ocean Plan do not become effective until approved by the Office of
Administrative Law and the U.s. Environmental Protection Agency.
THEREFORE BE IT RESOL VED THAT:
The SWRCB:
I. Approves the draft Final FED identified as Attachment A to the resolution, as revised at the
November 16,2000 Board Meeting.
2. Approves the proposed amendments to the Ocean Plan, as revised at the November 16, 2000
Board Meeting.
3. Agrees to reassess and modifY as appropriate the Minimum Level values in Appendix II of the
Ocean Plan during the triennial reviews to consider and reflect the availability and use of more
sensitive analytical methods. Prior to adoption of new Minimum Levels, the SWRCB will
consider environmental and economic effects.
4. Authorizes the SWRCB Executive Director to sign the Certificate of Fee Exemption identified
as Attachment B to the resolution.
5. Authorizes the SWRCB staff to submit the amended Ocean Plan to the Office of
Administrative Law and the U.S. Environmental Protection Agency for final approval.
CERTIFICATION
The undersigned, Administrative Assistant to the Board, does hereby certifY that the foregoing is
a full, true, and correct copy of a resolution duly and regularly adopted at a meeting of the State
Water Resources Control Board held on November 16,2000.
CALIFORNIA OCEAN PLAN
TABLE OF CONTENTS
INTRODUCTION
A. Purpose and Authority ................................................................................................. 1
B. Principles............................................................................... ..................... ................. 1
C. Applicability................................................................................................................... 1
I. BENEFICIAL USES
A. Identification of Beneficial Uses....................................................................................3
II. WATER QUALITY OBJECTIVES
A. General Provisions ...................................................................................................... 4
B. Bacterial Characteristics .............................................................................................. 4
C. Physical Characteristics............................................................................................... 5
D.. Chemical Characteristics .....................................................:....................................... 5
E. Biological Characteristics............................................................................................. 9
F. Radioactivity................................................................................................................. 9
III. PROGRAM OF IMPLEMENTATION
A. General Provisions .....................................................................................................10
B. Table A Effluent Limitations........................................................................................11
C. Implementation Provisions for Table B ..............,........................................................12
D. Implementation Provisions for Bacterial Assessment and Remedial Action
Requirements ............................................................................................................. 19
E. Implementation Provisions For Areas of Special Biological Significance.................... 19
F. Revision of Waste Discharge Requirements .............................................................20
G. Monitoring Program .................................................. .................................................21
H. Discharge Prohibitions................................................. .............................. .................21
I. State Board Exceptions to Plan Requirements...........................................................22
APPENDICES
Appendix I:
Appendix II:
Appendix III:
Appendix IV:
Definition of Terms................................ ............................................................23
Minimum' Levels................................................... ............................................27
Standard Monitoring Procedures....................................................................... 32
Procedures for the Nomination and Designation of Areas
of Special.Biological Significance ...................................................................... 36
Areas of Special Biological Significance............................................................38
Appendix V:
i
Table A
Table B
Table C
Table 0
Appendix II
Table' 11-1
Table 11-2
Table 11-3
Table 11-4
Appendix III
Table 111-1
Appendix V
Table V-1
LIST OF TABLES
Effluent Limitations.... ................................. .......................................................11
Water Quality Objeclives..............................................................................6 to 9
Background Seawater Concentrations..................,........................................... 12
Conservative Estimates of Chronic Toxicity ......................................................20
Minimum" Levels - Volatile Chemicals..............................................................27
Minimum" Levels - Semi Volatile Chemicals............................................ 28 to 29
Minimum" Levels -Inorganics........................................................................... 30
Minimum" Levels - Pesticides and PCBs...........................................................31
Approved Tests - Chronic Toxicity (TUc) ...........................................................34
Areas of Special Biological Significance...................................................38 to 39
ii
CALIFORNIA OCEAN PLAN
WATER QUALITY CONTROL PLAN FOR
OCEAN WATERS OF CALIFORNIA
INTRODUCTION
A. Purpose and Authority
1. In furtherance of legislative policy set forth in Section 13000 of Division 7 of the
California Water Code (CWC) (Stats. 1969, Chap. 482) pursuant to the authority
contained in Section 13170 and 13170.2 (Stats. 1971, Chap. 1288) the State Water
Resources Control Board hereby finds and declares that protection of the quality of
the ocean' waters for use and enjoyment by the people of the State requires control
of the discharge of waste' to ocean' waters in accordance with the provisions
contained herein. The Board finds further that this plan shall be reviewed at least
every three years to guarantee that the current standards are adequate and are not
allowing degradation' to marine species or posing a threat to public health.
B. Principles
1. Harmony Among Water Quality Control Plans and Policies.
a. In the adoption and amendment of water quality control plans, it is the intent of
this Board that each plan will provide for the attainment and maintenance of the
water quality standards of downstream waters.
b. To the extent there is a conflict between a provision of this plan and a provision of
another statewide plan or policy, or a regional water quality control plan (basin
plan), the more stringent provision shall apply except where pursuant to Chap. 111.1
of this Plan, the SWRCB has approved an exception to the Plan requirements.
C. Applicability
1. This plan is applicable, in its entirety, to point source discharges to the ocean'.
Nonpoint sources of waste' discharges to the ocean' are subject to Chapter I
Beneficial Uses, Chapter" - WATER QUALITY OBJECTIVES (wherein compliance
with water quality objectives shall, in all cases, be determined by direct
measurements in the receiving waters) and Chapter III - PROGRAM OF
IMPLEMENTATION Parts A.2, D, E, and H.
2. This plan is not applicable to discharges to enclosed' bays and estuaries' or inland
waters, nor is it applicable to vessel wastes, or the control of dredged' material.
3. Provisions regulating the thermal aspects of waste' discharged to the ocean' are set
forth in the Water Quality Control Plan for the Control of Temperature in the Coastal
and Interstate Waters and Enclosed' Bays and Estuaries' of California.
-2-
4. Within this Plan, references to the State Board or SWRCB shall mean the State
Water Resources Control Board. References to a Regional Board or RWQCB shall
mean a California Regional Water Quality Control Board. References to the
Environmental Protection Agency, US EPA, or EPA shall mean the federal
Environmental Protection Agency.
. See Appendix I for definition of terms.
-3-
I. BENEFICIAL USES
A. The beneficial uses of the ocean' waters of the State that shall be protected include
industrial water supply; water contact and non-contact recreation, including aesthetic
enjoyment; navigation; commercial and sport fishing; mariculture'; preservation and
enhancement of designated Areas' of Special Biological Significance (ASBS); rare and
endangered species; marine habitat; fish migration; fish spawning and shellfish'
harvesting.
, See Appendix I for definition of terms.
-4-
II. WATER QUALITY OBJECTIVES
A. General Provisions
1. This chapter sets forth limits or levels of water quality characteristics for ocean"
waters to ensure the reasonable protection of beneficial uses and the prevention of
nuisance. The discharge of waste" shall not cause violation of these objectives.
2. The Water Quality Objectives and Effluent Limitations are defined by a statistical
distribution when appropriate. This method recognizes the normally occurring
variations in treatment efficiency and sampling and analytical techniques and does
not condone poor operating practices.
3. Compliance with the water quality objectives of this chapter shall be determined from
samples collected at stations representative of the area within the waste field where
initial" dilution is completed.
B. Bacterial Characteristics
1. Water-Contact Standards
a. Within a zone bounded by the shoreline and a distance of 1,000 feet from the
shoreline or the 3D-foot depth contour, whichever is further from the shoreline,
and in areas outside this zone used for water contact sports, as determined by
the Regional Board, but including all kelp" beds, the following bacterial objectives
shall be maintained throughout the water column:
(1) Samples of water from each sampling station shall have a density oftotal
coliform organisms less than 1,000 per 100 ml (10 per ml); provided that not
more than 20 percent of the samples at any sampling station, in any 3D-day
period, may exceed 1,000 per 100 ml (10 per ml), and provided further that
no single sample when verified by a repeat sample taken within 48 hours
shall exceed 10,000 per 100 ml (100 per ml).
(2) The fecal coliform density based on a minimum of not less than five samples
for any 3D-day period, shall not exceed a geometric mean of 200 per 100 ml
nor shall more than 10 percent of the total samples during any 50-day period
exceed 400 per 100 ml.
b. The "Initial" Dilution Zone" of wastewater outfalls shall be excluded from
designation as "kelp" beds" for purposes of bacterial standards, and Regional
Boards should recommend extension of such exclusion zone where warranted to
the SWRCB (for consideration under Chapter III.H.). Adventitious assemblages
of kelp plants on waste discharge structures (e.g., outfall pipes and diffusers) do
not constitute kelp" beds for purposes of bacterial standards.
" See Appendix I for definition of terms.
-5-
2. Shellfish" Harvestino Standards
a. At all areas where shellfish" may be harvested for human consumption, as
determined by the Regional Board, the following bacterial objectives shall be
maintained throughout the water column:
(1) The median total coliform density shall not exceed 70 per 100 ml, and not
more than 10 percent of the samples shall exceed 230 per 100 mi.
C. Phvsical Characteristics
1. Floating particulates and grease and oil shall not be visible.
2. The discharge of waste" shall not cause aesthetically undesirable discoloration of the
ocean" surface.
3. Natural" light shall not be significantly" reduced at any point outside the initial" dilution
zone as the result of the discharge of waste".
4. The rate of deposition of inert solids and the characteristics of inert solids in ocean"
sediments shall not be changed such that benthic communities are degraded".
D. Chemical Characteristics
1. The dissolved oxygen concentration shall not at any time be depressed more than
10 percent from that which occurs naturally, as the result of the discharge of oxygen
demanding waste" materials.
2. The pH shall not be changed at any time more than 0.2 units from that which occurs
naturally.
3. The dissolved sulfide concentration of waters in and near sediments shall not be
significantly" increased above that present under natural conditions.
4. The concentration of substances set forth in Chapter II, Table B, in marine sediments
shall not be increased to levels which would degrade" indigenous biota.
5. The concentration of organic materials in marine sediments shall not be increased to
levels that would degrade" marine life.
6. Nutrient materials shall not cause objectionable aquatic growths or degrade"
indigenous biota.
7. Numerical Water Quality Objectives
a. Table B water quality objectives apply to all discharges within the jurisdiction of
this Plan.
b. Table B Water Quality Objectives
" See Appendix I for definition of terms.
-6-
TABLE B
WATER QUALITY OBJECTIVES
I imitina Concentrations
Units of
. Measurement
6-Month
Median
Daily
Maximum
Instantaneous
, Maximum
OBJECTIVES FOR PROTECTION OF MARINE AQUATIC LIFE
Arsenic ug/l 8. 32. 80.
Cadmium ug/l 1. 4. 10.
Chromium (Hexavalent)
(see below, a) ug/l. 2. 8: 20.
Copper ug/l 3. 12. 30.
Lead ug/l 2. 8. 20.
Mercury ug/l 0.04 0.16 0.4
Nickel ug/l 5. 20. 50.
Selenium ug/l 15. 60. 150.
Silver ug/l 0.7 2.8 7.
Zinc ug/l 20. 80. 200.
Cyanide
(see below, b) ug/l 1. 4. .10. .
Total Chlorine Residual ug/l 2. 8. 60.
(For intennittent chlorine
sources see below, c)
Ammonia ug/l 600. 2400. 6000.
(expressed as nitrogen)
Acute< Toxicity TUa N/A 0.3 N/A
Chronic< Toxicity TUc N/A 1. N/A
Phenolic Compounds
(non-chlorinated) ug/l 30. 120. 300.
Chlorinated Phenolics ug/l 1. 4. 10.
Endosulfan ug/l 0.009 0.018 0.027
Endrin ug/l 0.002 0.004 0.006
HCH< ug/l 0.004 0.008 0.012
Radioactivity Not to exceed limits specified in Title 17, Division 1, Chapter 5, Subchapter 4,
Group 3, Article 3, Section 30253 of the California Code of Regulations.
Reference to Section 30253 is prospective, including future changes to any
incorporated provisions of federal law, as the changes take effect.
< See Appendix I for definition of tenns.
-7-
Table B Continued
Chemical
30-day Average (ug/I)
Decimal Notation Scientific Notation
OBJECTIVES FOR PROTECTION OF HUMAN HEAL T'H - NONCARCINOGENS
acrolein
antimony
bis{2-chloroethoxy) methane
bis{2-chloroisopropyl) ether
chlorobenzene
chromium (III)
di-n-butyl phthalate
dichlorobenzenes'
diethyl phthalate
dimethyl phthalate
4,6-dinitro-2-methylphenol
2,4-dinitrophenol
ethyl benzene
fluoranthene
hexachlorocyclopentadiene
nitrobenzene
thallium
toluene
tributyltin
1,1 , 1-trich loroethane
.220.
1,200.
4.4
1,200.
570.
190,000.
3,500.
5,100.
33,000.
820,000.
220.
4.0
4,100.
15.
58.
4.9
2.
85,000.
0.0014
540,000,
2.2 X 10'
1.2 X 103
4.4 x 10.
1.2 X 103
5.7 X 10'
1.9x105
3.5 X 103
5.1 X 103
3.3 X 10'
8.2 x 10'
2.2 X 10'
4.0 x 10.
4.1 X 103
1.5 x 10'
5.8 X 10'
4.9 x 10.
2. x 10.
8.5 X 10'
1.4 X 10.3
5.4 X 105
OBJECTIVES FOR PROTECTION OF HUMAN HEALTH - CARCINOGENS
acrylonitrile 0.10
aldrin 0.000022
benzene 5.9
benzidine 0.000069
beryllium. 0.033
bis{2-chloroethyl) ether 0.045
bis{2-ethylhexyl) phthalate 3.5
carbon tetrachloride 0.90
chlordane' 0.000023
chlorodibromomethane 8.6
1.0 X 10"
2.2 X 10.5
5.9 x 10.
6.9 x 10"
3.3 X 10"
4.5 X 10"
3.5 x 10.
9.0 X 10"
2.3x 10"
8.6 x 10.
, See Appendix I for definition of terms.
-8~
Table B Continued
30-day Average (ug/I)
Chemical
,Decimal Notation
Scientific Notation
OBJECTIVES FOR PROTECTION OF HUMAN HEALTH - CARCINOGENS
chloroform 130.
DDT' 0.00017
1,4-dichlorobenzene 18.
3,3'-dichlorobenzidine 0.0081
1,2-dichloroethane 28.
1,1-dichloroethylene 0.9
dichlorobromomethane 6.2
dichloromethane 450.
1,3-dichloropropene 8.9
dieldrin 0.00004
2,4-dinitrotoluene 2.6
1,2-diphenylhydrazine 0.16
halomethanes' 130.
heptachlor 0.00005
heptachlor epoxide 0.00002
hexachlorobenzene 0.00021
hexachlorobutadiene 14.
hexachloroethane 2.5
isophorone 730.
N-nitrosodimethylamine 7.3
N-nitrosodi-N-propylamine 0.38
N-nitrosodiphenylamine 2.5
PAHs' 0.0088
PCBs' 0.000019
TCDD equivalents' 0.0000000039
1,1,2,2-tetrachloroethane 2.3
tetrachloroethylene 2.0
toxaphene 0.00021
trichloroethylene 27.
1,1,2-trichloroethane 9.4
2,4,6-trichlorophenol 0.29
vinyl chloride 36.
1.3 X 102
1,7 X 10"
1.8x 10'
8.1 x 10.3
2.8 X 10'
9 X 10"
6.2 x 100
4.5 x 102
8.9 x 100
4.0 X 10"
2.6 x 100
1.6 X 10"
1.3 X 102
5x 10"
2 X 10"
2.1 X 10"
1.4 X 10'
2.5 x 100
7.3 X 102
7.3 x 100
3.8 X 10"
2.5 x 100
8.8 X 10.3
1.9 X 10"
3.9 X 10'9
2.3 x 100
2.0 x 100
2.1 X 10"
2.7 X 10'
9.4 x 100
2.9 x 10"
3.6 X 10'
. See Appendix I for definition of terms.
"9-
Table B Notes:
a) Dischargers may at their option meet this objective as a total chromium objective.
b) If a discharger can demonstrate to the satisfaction of the Regional Board (subject to EPA
approval) that an analytical method is available to reliably distinguish between strongly and
weakly complexed cyanide, effluent limitations for cyanide may be met by the combined
measurement of free cyanide, simple alkali metal cyanides, and weakly complexed
organometallic cyanide complexes. In order for the analytical method to be acceptable, the
recovery of free cyanide from metal complexes must be comparable to that achieved by the
approved method in 40 CFR PART 136, as revised May 14,1999.
c) Water quality objectives for total chlorine residual applying to intermittent discharges not
exceeding two hours, shall be determined through the use of the following equation:
log Y = -0.43 (log x) + 1.8
where: y = the water quality objective (in ug/l) to apply when chlorine is being discharged;
x = the duration of uninterrupted chlorine discharge in minutes.
E. BioloQical Characteristics
1. Marine communities, including vertebrate, invertebrate, and plant species, shall not be
degraded" .
2. The natural taste, odor, and color of fish, shellfish", or other marine resources used
for human consumption shall not be altered.
" ,
3. The concentration of organic materials in fish, shellfish" or other marine resources
used for human consumption shall not bioaccumulate to levels that are harmful to
human health.
F. Radioactivitv
1. Discharge of radioactive waste" shall not degrade" marine life.
" See Appendix I for definition of terms.
-10-
III. PROGRAM OF IMPLEMENTATION
A. General Provisions
1. . Effective Date
a. The Water Quality Control Plan, Ocean Waters of California, California Ocean
Plan was adopted and has been effective since 1972. There have been multiple
amendments of the Ocean Plan since its adoption.
This document includes the most recent amendments of the Ocean Plan as
approved by the SWRCB on November 16, 2000. However, amendments in this
version of the Ocean Plan do not become effective until approved by the us
EPA. Persons using the Ocean Plan prior to US EPA approval of this version
should reference the 1997 Ocean Plan. Once approved by the US EPA, this
document (the 2001 Ocean Plan) will supercede the 1997 Ocean Plan. .
2. General Requirements For Management Of Waste Discharge To The Ocean'
a. Waste' management systems that discharge to the ocean' must be designed and
operated in a manner that will maintain the indigenous marine life and a healthy
and diverse marine community.
b.' Waste discharged' to the ocean' must be essentially free of:
(1) Material that is floatable or will become floatable upon discharge.
(2) Settleable material or substances that may form sediments which will
degrade' benthic communities or other aquatic life.
(3) Substances which will accumulate to toxic levels in marine waters, sediments
or biota.
(4) Substances that significantly' decrease the natural' light to benthic
communities and other marine life.
(5) Materials that result in aesthetically undesirable discoloration of the ocean'
surface.
c. Waste' effluents shall be discharged in a manner which provides sufficient initial'
dilution to minimize the concentrations of substances not removed in the
treatment.
d. Location of waste' discharges must be determined after a detailed assessment of
the oceanographic characteristics and current patterns to assure that:
(1) Pathogenic organisms and viruses are not present in areas where shellfish'
are harvested for human consumption or in areas used for swimming or other
body-contact sports.
(2) Natural water quality conditions are not altered in areas designated as being
of special biological significance or areas that existing marine laboratories
use as a source of seawater.
(3) Maximum protection is provided to the marine environment.
. See Appendix I for definition of terms.
-11-
e. Waste' that contains pathogenic organisms or viruses should l)e discharged a
sufficient distance from shellfishing' and water-contact sports areas to maintain
applicable bacterial standards without disinfection. Where coriditions are such
that an adequate distance cannot be attained, reliable disinfection in conjunction
with a reasonable separation of the discharge point from the area of use must be
. provided. Disinfection procedures that do not increase effluent toxicity and that
constitute the least environmental and human hazard should be used.
3: 'Areas 'of Special Biological Significance
a. ASBS' shall be designated by the SWRCB following the procedures provided in
Appendix IV. A list of ASBS' is available in Appendix V.
4. Combined Sewer Overflow: Not withstanding any other provisions in this plan,
discharges from the City of San Francisco's combined sewer system are subject to
the US EPA's Combined Sewer Overflow Policy.
B. Table A Effluent Limitations
TABLE A
EFFLUENT LIMITATIONS
Limiting Concentrations
Grease and Oil
Suspended Solids
Settleable Solids
Turbidity
PH
Unit of
Measurement
mg/l
Monthly
(30-dav Averaoel
25.
Mill
NTU
Units
1.0
75.
Weekly
(7-dav Averaael
40.
See below +
1.5
100.
Within limit of 6.0 to
9.0 at all times
Maximum
at anv time
75.
3.0
225.
Table A Notes:
+ Suspended Solids: Dischargers shall, as a 3D-day average, remove 75% of suspended solids
from the influent stream before discharging wastewaters to the ocean', except that the
effluent limitation to be met shall not be lower than 60 mg/l. Regional Boards may
recommend that the SWRCB (Chapter IIIJ), with the concurrence of the Environmental
Protection Agency, adjust the lower effluent concentration limit (the 60 mg/l above) to suit the
environmental and effluent characteristics of the discharge.. As a further consideration in
making such recommendation for adjustment, Regional Boards should evaluate effects on
existing and potential water' reclamation projects.
If the lower effluent concentration limit is adjusted, the discharger shall remove 75% of
suspended solids from the influent stream at any time the influent concentration exceeds four
times such adjusted effluent limit.
1. Table A effluent limitations apply only to publicly owned treatment works and industrial
discharges for which Effluent Limitations Guidelines have not been established
pursuant to Sections 301, 302, 304, or 306 of the Federal Clean Water Act.
, See Appendix I for definition of terms.
-12-
2. Table A effluent limitations shall apply to a discharger's total effluent, of whatever
origin (i.e., gross, not net, discharge), except where otherwise specified in this Plan.
3. The 8WRCB is authorized to administer and enforce effluent limitations established
pursuant to the Federal Clean Water Act. Effluent limitations established under
Sections 301,302,306,307,316,403, and 405 ofthe aforementioned Federal Act
and administrative procedures pertaining thereto are included in this plan by
reference. Compliance with Table A effluent limitations, or Environmental Protection
Agency Effluent Limitations Guidelines for industrial discharges, based on Best
Practicable Control Technology, shall be the minimum level of treatment acceptable
under this plan, and shall define reasonable treatment and waste control technology.
C. Implementation Provisions for Table B
1. Effluent concentrations calculated from Table B water quality objectives shall apply to
a discharger's total effluent, of whatever origin (i.e., gross, not net, discharge), except
where otherwise specified in this Plan.
2. Effluent limitations shall be imposed in a manner prescribed by the SWRCB such that
the concentrations set forth below as water quality objectives shall not be exceeded
in the receiving water upon completion of initial* dilution, except that objectives
indicated for radioactivity shall apply directly to the undiluted waste* effluent. ..
3. Calculation of Effluent Limitations
a. Effluent limitations for water quality objectives listed in Table B, with the exception
of acute* toxicity and radioactivity, shall be determined through the use of the
following equation:
Equation 1: Ce = Co + Dm (Co - Cs)
where:
Ce = the effluent concentration limit, ugll
Co = the concentration (water quality objective) to be met at the
completion of initial* dilution, ugll
Cs = background seawater concentration (see Table C below), ugll
Dm = minimum probable initial* dilution expressed as parts seawater per
part wastewater.
TABLE C
BACKGROUND SEAWATER CONCENTRATIONS (Cs)
Waste Constituent Cs (UQ/I) ,
Arsenic
Copper
Mercury
Silver
Zinc
For all other Table B parameters, Cs = O.
3.
2.
0.0005
0.16
8.
. See Appendix I for definition of terms.
-13-
b. Determining a Mixing Zone for the Acute* Toxicity Objective
The mixing zone for the acute* toxicity objective shall be ten percent (10%) of the
distance from the edge of the outfall structure to the edge of the chronic mixing
zone (zone of initial dilution). There is no vertical limitation on this zone. The
effluent limitation for the acute* toxicity objective listed in Table B shall be
determined through the use of the following equation:
Equation 2: Ce = Ca + (0.1) Om (Ca)
where:
Ca = the concentration (water quality objective) to be met at the edge
of the acute mixing zone. '
Om = minimum probable initial* dilution expressed as parts seawater
per part wastewater (This equation applies only when Om >
24).
c. Toxicity Testing Requirements based on the Minimum Initial* Dilution Factor for
Ocean Waste Discharges
(1) Dischargers shall conduct acute' toxicity testing if the minimum initial' dilution
of the effluent is greater than 1-,000:1 at the edge of the mixing zone.
(2) Dischargers shall conduct either acute" or chronic' toxicity testing if the
minimum initial' dilution ranges from 350:1 to 1,000:1 depending on the
specific discharge conditions. The RWQCB shall make this determination.
(3) Dischargers shall conduct chronic' toxicity testing for o'cean waste
discharges with minimum initial" dilution factors ranging from 100: 1 to 350: 1.
The RWQCBs may require that acute toxicity testing be conducted in
addition to chronic as necessary for the protection of beneficial uses of
ocean waters.
(4) Dischargers shall conduct chronic toxicity testing if the minimum initial'
dilution of the effluent falls below 100: 1 at the edge of the mixing zone.
d. For the purpose of this Plan, minimum initial' diliJtion is the lowest average initial'
dilution within any single month of the year. Dilution estimates shall be based on
observed waste flow characteristics, observed receiving water density structure,
and the assumption that no currents, of sufficient strength to influence the initial"
dilution process, flow across the discharge structure:
e. The Executive Director of the SWRCB shall identify standard dilution' models for
use in determining Om, and shall assist the Regional Board in evaluating Om for
specific waste discharges. Dischargers may propose alternative methods of
calculating Om, and the Regional Board may accept such methods upon
verification of its accuracy and applicability.
* See Appendix I for definition of terms.
~14-
f. The six-month median shall apply as a moving median of daily values for any
180-day period in which daily values represent flow weighted average
concentrations within a 24-hour period. For intermittent discharges, the daily
value shall be considered to equal zero for days on which no discharge occurred.
g. The daily maximum shall apply to flow weighted 24 hour composite samples.
h. The instantaneous maximum shall apply to grab sample determinations.
i. If only one sample is collected during the time period associated with the water
quality objective <M., 30-day average or 6-month median), the single
measurement shall be used to determine compliance with the effluent limitation
for the entire time period.
j. Discharge requirements shall also specify effluent limitations in terms of mass
emission rate limits utilizing the general formula:
Equation 3: Ibslday = 0.00834 x Ce x Q
where:
Ce = the effluent concentration limit, ugll
Q = flow rate, million gallons per day (MGD)
k. The six-month median limit on daily mass emissions shall be determined using
the six-month median. effluent concentration as Ce and the observed flow rate Q
in millions of gallons per day. The daily maximum mass emission shall be
determined using the daily maximum effluent concentration limit as Ce and the
observed flow rate Q in millions of gallons per day.
I. Any significant change in waste' flow shall be cause for reevaluating effluent
limitations.
4. Minimum' levels
For each numeric effluent limitation, the Regional Board must select one or more
Minimum' levels (and their associated analytical methods) for inclusion in the permit.
The "reported" Minimum' level is the Minimum' level (and its associated analytical
method) chosen by the discharger for reporting and compliance determination from
the Minimum' levels included in their permit.
a. Selection of Minimum' levels from Appendix II
The Regional Board. must select all Minimum' levels from Appendix II that are
below the effluent limitation. If. the effluent limitation is lower than all the
Minimum' levels in Appendix II, the Regional Board must select the lowest
Minimum' level from Appendix'lI.
. See Appendix I for definition of terms.
-15-
b. Deviations from Minimum" Levels in Appendix II
The Regional Board, in consultation with the State Water Board's Quality
Assurance Program, must establish a Minimum" Level to be included in the
permit in any of the following situations:
1. A pollutant is not listed in Appendix II,
2. The discharger agrees to use a test method that is more sensitive than those
described in 40 CFR 136 (revised May 14, 1999).
3. The discharger agrees to use a Minimum" Level lower than those listed in
Appendix II,
. 4. The discharger demonstrates that their calibration standard matrix is
SUfficiently different from that used to establish the Minimum" Level in
Appendix II and proposes an appropriate Minimum* Level for their matrix.
5. A discharger uses an analytical method having a quantification practice that
is not consistent with the definition of Minimum* Level (e.g., US EPA
methods 1613, 1624, 1625).
5. Use of Minimum* Levels
a. Minimum* Levels in Appendix II represent the lowest quantifiable concentration in
a sample based on the proper application of method-specific analytical
procedures and the absence of matrix interferences. Minimum* Levels also
represent the lowest standard concentration in the calibration curve for a specific
analytical technique after the application of appropriate method-specific factors.
Common analytical practices may require different treatment of the sample
relative to the calibration standard. Some examples are given below:
Substance or Grouoina
. Volatile Organics
Semi-Volatile Organics
Metals
Pesticides
Method-Soecific Treatment
No differential treatment
Samples concentrated by extraction
Samples diluted or concentrated
Samples concentrated by extraction
Most Common Factor
1
1000
y,;, 2 , and 4
100
b. Other factors may be applied to the Minimum* Level depending on the specific
sample preparation steps employed. For example, the treatment typically applied
when there are matrix effects is to dilute the sample or sample aliquot by a factor
of ten. In such cases, this additional factor must be applied during the
computation of the reporting limit. Application of such factors will alter the
reported Minimum* Level.
c. Dischargers are to instruct their laboratories to establish calibration standards so
that the Minimum* Level (or its equivalent if there is differential treatment of
samples relative to calibration standards) is the lowest calibration standard. At no
time is the discharger to use analytical data derived from extrapolation beyond
the lowest point of the calibration curve. In accordance with Section 4b, above,
the discharger's laboratory may employ a calibration standard lower than the
Minimum* Level in Appendix II,
" See Appendix I for definition of terms.
-16-
6. Sample Reporting Protocols
a. Dischargers must report with each sample result the reported Minimum' Level
. (selected in accordance with Section4, above) and the laboratory's current MDL'.
b. Dischargers must also report the results of analytical determinations for the
presence of chemical constituents in a sample using the following reporting
protocols:
(1) Sample results greater than or equal to the reported Minimum' Level must be
reported "as measured" by the laboratory (I.e., the measured chemical
concentration in the sample).
(2) Sample results less than the reported Minimum' Level, but greater than or
equal to the laboratory's MDL', must be reported as "Detected, but Not
Quantified", or DNQ. The laboratory must write the estimated chemical
concentration of the sample next to DNQ as well as the words "Estimated
Concentration" (may be shortened to "Est. Conc.").
(3) Sample results less than the laboratory's MDL' must be reported as "Not
Detected", or ND.
7. Compliance Determination
Sufficient sampling and analysis shall be required to determine compliance with the
effluent limitation. ..
a.Compliance with Single-Constituent Effluent Limitations
Dischargers are out of compliance with the effluent limitation if the concentration
of the pollutant (see Section 7c, below) in the monitoring sample is greater than
the effluent limitation and greater than or equal to the reported Minimum' Level.
b. Compliance with Effluent Limitations expressed as a Sum of Several Constituents
Dischargers are out of compliance with an effluent limitation which applies to the
sum of a group of chemicals (e.g., PCB's) if the sum of the individual pollutant
concentrations is greater than the effluent limitation. Individual pollutants of the
group will be considered to have a concentration of zero if the constituent is
reported as ND or DNQ.
c. Multiple Sample Data Reduction
The concentration of the pollutant in the effluent may be estimated from the result
of a single sample analysis or by a measure of central tendency (arithmetic mean,
geometric mean, median, etc.) of multiple sample analyses when all sample
results are quantifiable (i.e., greater than or equal to the reported Minimum'
Level). When one or more sample results are reported as ND or DNQ, the
central tendency concentration of the pollutant shall be the median (middle) value
of the multiple samples. If, in an even number of samples, one or both of the
middle values is ND or DNQ, the median will be the lower of the two middle
values.
, See Appendix I for definition of terms.
-17-
d. Powerplants and Heat Exchange Dischargers
Due to the large total volume of powerplant and other heat exchange discharges,
special procedures must be applied for determinin"g compliance with Table 8
objectives on a routine basis. Effluent concentration values (Ce) shall be
determined through the use of equation 1 considering the minimal probable
initial' dilution of the combined effluent (in-plant waste streams plus cooling water
flow). These concentration values shall then be converted to mass emission
limitations as indicated in equation 3. The mass emission limits will then serve as
requirements applied to all inplant waste' streams taken together which discharge
into the cooling water flow, except that limits for total chlorine residual, acute' (if
applicable per Section (3)(c)) and chronic' toxicity and instantaneous maximum
concentrations in Table 8 shall apply to, and be measured in, the combined final
effluent, as adjusted for dilution with ocean water. The Table 8 objective for
radioactivity shall apply to the undiluted combined final effluent.
8. Pollutant Minimization Program
a. Pollutant Minimization Program Goal
The goal of the Pollutant Minimization Program is to reduce all potential sources
of a pollutant through pollutant minimization (control) strategies, including
pollution prevention measures, in order to maintain the effluent concentration at
or below the effluent limitation.
Pollution prevention measures may be particularly appropriate for persistent
bioaccumulative priority pollutants where there is evidence that beneficial uses
are being impacted. The completion and implementation of a Pollution
Prevention Plan, required in accordance with CA Water Code Section 13263.3 (d)
will fulfill the Pollution Minimization Program requirements in this section.
b. Determining the need for a Pollutant Minimization Program
1. The discharger must develop and conduct a Pollutant Minimization Program
if all of the following conditions are true:
(a) The calculated effluent limitation is less' than the reported Minimum'
Level .
(b) The concentration of the pollutant is reported as DNQ
(c) There is evidence showing that the pollutant is present in the effluent
above the calculated effluent limitation.
2. Alternatively, the discharger must develop and conduct a Pollutant
Minimization Program if all of the following conditions are true:
(a) The calculated effluent limitation is less than the Method Detection
Limit'.
(b) The concentration of the pollutant is reported as NO.
(c) There is evidence Showing that the pollutant is present in the effluent
above the calculated effluent limitation.
, See Appendix I for definition of terms.
-18-
c. Regional Boards may include special provisions in the discharge requirements to
require the gathering of evidence to determine whether the pollutant is present in
the effluent at levels above the calculated effluent limitation. Examples of
evidence may include: .
1. health advisories for fish consumption,
2. presence of whole effluent toxicity,
3. results of benthic or aquiltic organism tissue sampling,
4. sample results from analytical methods more sensitive than methods
included in the permit (in accordance with Section 4b, above).
5. the concentration ofthe pollutant is reported as DNQ and the effluent
limitation is less th~m the MDL
d. Elements of a Pollutant Minimization Program
The Regional Board may consider cost-effectiveness when establishing the
requirements of a Pollutant Minimization Program. The program shall include
actions and submittals acceptable to the Regional Board including, but not limited
to, the follOWing:
1. An annual review and semi-annual monitoring of potential sources of the
reportable pollutant, which may include fish tissue monitoring and other bio-
uptake sampling;
2. Quarterly monitoring for the 'reportable pollutant in the influent to the
wastewater treatment system;
3. Submittal of a control strategy designed to proceed toward the goal of
maintaining concentrations of the reportable pollutant in the effluent at or
below the calculated effluent limitation;
4. Implementation of appropriate cost-effective control measures for the
p.ollutant, consistent with the control strategy; and,
5. An annual status report that shall be sent to the Regional Board including:
(a) All Pollutant Minimization Program monitoring results for the previous
year;
(b) A list of potential sources of the reportable pollutant;
(c) A summary of.all action taken in accordance with the control strategy;
and,
(d) A description of actions to be taken in the following year.
9. Toxicity Reduction Requirements
a. If a discharge consistently exceeds an effluent limitation based on a toxicity
objective in Table B, a toxicity reduction evaluation (TRE) is required. The TRE
shall include all reasonable steps to' identify the source of toxicity. Once the
source(s) of toxicity is identified, the discharger shall take all reasonable steps
necessary to reduce toxicity to the required level. '
. See Appendix I for definition of terms.
-19-
b. The following shall be incorporated into waste discharge requirements: (1) a
requirement to conduct a TRE if the discharge consistently exceeds its toxicity
effluent limitation, and (2) a provision requiring a discharger to take all reasonable
steps to reduce toxicity once the source of toxicity is identified.
D. Implementation Provisions for Bacterial Assessment and Remedial Action Reouirements
1. The requirements listed below shall be used to determine the occurrence and extent
of any impairment of a beneficial use due to bacterial contamination, generate
information which can be used in the development of an enterococcus standard, and
provide the basis for remedial actions necessary to minimize or eliminate any
impairment of a beneficial use.
a. Measurement of enterococcus density shall be conducted at all stations where
measurement of total and fecal coliforms are required. In addition to the
requirements of Chapter II.B.I, -if a shore station consistently exceeds a coliform
objective or exceeds a geometric mean enterococcus density of 24 organisms per
100 ml for a 3D-day period or 12 organisms per 100 ml for a six-month period, the
Regional Board shall require the appropriate agency to conduct a survey to
determine if that agency's disc.harge is the source of the contamination. The
geometric mean shall be a moving average based on no less than five samples
per month, spaced evenly over the time interval. When a sanitary survey
identifies a controllable source of indicator organisms associated with a discharge
of sewage, the Regional Board shall take action to control the source.
b. Waste discharge requirements shall require the discharger to conduct sanitary
surveys when so directed by the Regional Board. Waste discharge requirements
shall contain provisions requiring the discharger to control any controllable
discharges identified in a sanitary survey.
E. Implementation Provisions For Areas. of Special Biolooical Sionificance IASBS)
1. Waste. shall not be discharged to areas designated as being of special biological
significance. Discharges shall be located a sufficient distance from such designated
areas to assure maintenance of natural water quality conditions in these areas..
2. Regional Boards may approve waste discharge requirements or recommend
certification for limited-term (i.e. weeks or months) activities in ASBS.. Limited-term
activities include, but are not limited to, activities such as maintenance/repair of
existing boat facilities, restoration of sea walls, repair of existing storm water pipes,
and replacement/repair of existing bridges. Limited-term activities may result in
temporary and short-term changes in existing water quality. Water quality degradation
shall be limited to the shortest possible time. The activities must not permanently
degrade water quality or result in water quality lower than that necessary to protect
existing uses, and all practical means of minimizing such degradation shall be
implemented.
. See Appendix I for definition of terms.
-20-
F. Revision of Waste' Discharge Reauirements
1. The Regional Board shall revise the waste' discharge requirements for existing'
discharges as necessary to achieve compliance with this Plan and shall also establish
a time schedule for such compliance.
2. The Regiomil Boards may establish more restrictive water quality objectives and
effluent limitations than those set forth in this Plan as necessary for the protection of
beneficial uses of ocean' waters.
3. Regional Boards may impose alternative less restrictive provisions than those
contained within Table B of the Plan, provided an applicant can demonstrate that:
a. Reasonable control technologies (including source control, material substitution,
treatment and dispersion) will not provide for complete compliance; or
b. Any less stringent provisions would encourage water' reclamation;
4. Provided further that:
a. Any alternative water quality objectives shall be below the conservative estimate
of chronic' toxicity, as given in Table D, and such alternative will provide for
adequate protection of the marine environment;
b. A receiving water quality toxicity objective of 1 TUc is not exceeded; and
c. The State Board grants an exception (Chapter III. I.) to the Table B limits as
established in the Regional Board findings and alternative limits.
TABLE D
CONSERVATIVE ESTIMATES OF CHRONIC TOXICITY
Constituent
Arsenic
Cadmium
Hexavalent-Chromium
Copper
Lead
Mercury
Nickel
Silver
Zinc
Cyanide
Total Chlorine Residual
Ammonia
Phenolic Compounds (non-chlorinated)
Chlorinated Phenolics
Chlorinated Pesticides and PCB's
Estimate of
Chronic Toxicity
(ug/I)
19.
8.
18.
5.
22.
0.4
48.
3.
51.
10.
10.0
4000.0
a) (see below)
a)
b}
. See Appendix I for definition of terms.
-21~
Table [) Notes'
a) There are insufficient data for phenolics to estimate chronic toxicity levels.. Requests
for modification of water quality objectives for these waste" constituents must be
supported by chronic toxicity data for representative sensitive species. In such
cases, applicants seeking modification of water quality objectives should consult the
Regional Water Quality Control Board to determine the species and test conditions
necessary to evaluate chronic effects.
b) Limitations on chlorinated pesticides and PCB's shall not be modified so that the total
of tbese compounds is increased above the objectives in Table B.
G. Monitorino Prooram
1. The Regional Boards shall require dischargers to conduct self-monitoring programs
and submit reports necessary to determine compliance with the waste" discharge
requirements, and may require dischargers to contract with agencies or persons
acceptable to the Regional Board to provide monitoring reports. Monitoring
provisions contained in waste discharge requirements shall be in accordance with the
Monitoring Procedures provided in Appendix III.
2. Where the Regional Board is satisfied that any substance(s) of Table B will not
significantly occur in a discharger's effluent, the Regional Board may elect not to
require monitoring for such substance(s), provided the discharger submits periodic
certification that such substance(s) is not added to the waste" stream, and that no
change has occurred in activities that could cause such substance(s) to be present in
the waste" stream. Such election does not relieve the discharger from the
requirement to meet the objectives of Table B.
3. The Regional Board may require monitoring of bioaccumulation of toxicants in the
discharge zone. Organisms and techniques for such monitoring shall be chosen by
the Regional Board on the basis of demonstrated value in waste" discharge
monitoring.
H. DischarQe Prohibitions
1. Hazardous Substances
a. The discharge of any radiological, chemical, or biological warfare agent or high-
level radioactive waste" into the ocean" is prohibited.
2. Areas Desi!:lnated for Special Water Qualitv Protection
a. Waste" shall not be discharged to designated Areas" of Special Biological
Significance except as provided in Chapter III E. Implementation Provisions For
Areas of Special Biological Significance.
3. Sludoe
a. Pipeline discharge of sludge to the ocean" is prohibited by federal law; the
discharge of municipal and industrial waste" sludge directly to the ocean", or into
" See Appendix I for definition of terms.
-22-
a waste' stream that discharges to the ocean', is prohibited by this Plan. The
discharge of sludge digester supernatant directly to the ocean', or to a waste'
',stream that discharges to the ocean' without further treatment, is prohibited.
b. It is the policy of the SWRCB that the' treatment, use and disposal of sewage
sludge shall be carried out in the manner found to have the least adverse impact
on the total natural and human environment. Therefore, if federal law is amended
to permit such discharge, which could affect California waters, the SWRCB may
consider requests for exceptions to this section under Chapter III, H. of this Plan,
provided further that an Environmental Impact Report on the proposed project
shows clearly that any available alternative disposal method will have a greater
adverse environmental impact than the proposed project.
4. BY-Passino"
a. The by-passing of untreated wastes' containing concentrations of pollutants in
excess of those of Table A or Table B to the ocean' is prohibited.
\.' State Board Exceotions to Plan Reouirements
1. The State Board may, in compliance with the California Environmental Quality Act, '
SUbsequent to a public hearing, and with the concurrence of the Environmental
, Protection Agency, grant exceptions where the Board determines: ,
a. The exception will not compromise protection of ocean' waters for beneficial
uses, and,
b. The public interest will be served.
* See Appendix I for definition of terms.
-23-
APPENDIX I
DEFINITION OF TERMS
ACUTE TOXICITY
a. Acute Toxicity (TUa)
Expressed in Toxic Units Acute (TUa)
100
TUa = 96-hr LC 50%
b. Lethal Concentration 50% (LC 50)
LC 50 (percent waste giving 50% survival of test organisms) shall be determined by static
or continuous flow bioassay techniques using standard marine test species as specified in
Appendix III, Chapter II. If specific identifiable substances in wastewater can be
demonstrated by the discharger as being rapidly rendered harmless upon discharge to the
marine environment, but not as a result of dilution, the LC 50 may be determined after the
test samples are adjusted to remove the influence of those substances.
When it is not possible to measure the 96-hour LC 50 due to' greater than 50 percent
survival of the test species in 100 percent waste, the toxicity concentration shall be
calculated by the expression:
TU = log (100 - S)
a 1.7
where:
S = percentage survival in 100% waste. If S > 99, TUa shall be reported as zero.
AREAS OF SPECIAL BIOLOGICAL SIGNIFICANCE (ASBS) are.those areas designated by
the SWRCB as requiring protection of species or biological communities to the extent
that alteration of natural water quality is undesirabl,e.
CHLORDANE shall mean the sum of chlordane-alpha, chlordane-gamma, chlordene-alpha,
chlordene-gamma, nonachlor-alpha, nonachlor-gamma, and oxychlordane.
CHRONIC TOXICITY: This parameter shall be used to measure the acceptability of waters for
supporting a healthy marine biota until improved methods are developed to evaluate
biological response. .
a. Chronic Toxicity (TUc)
Expressed as Toxic Units Chronic (TUc)
TUc=
100
NOEL
-24-
b. No Observed Effect Level (NOEL)
The NOEL is expressed as the maximum percent effluent or receiving water that
causes no observable effect on a test organism, as determined by the result of a
critical life stage toxicity test listed in Appendix II. .
DDT shall mean the sum of 4,4'DDT, 2,4'DDT, 4,4'DDE, 2,4'DDE, 4,4'DDD, and 2,4'DDD.
DEGRADE: Degradation shall be determined by comparison of the waste field and reference
site(s) for characteristic species diversity, population density, contamination, growth
anomalies, debility, or supplanting of normal species by undesirable plant and animal
species. Degradation occurs if there are significant differences in any of three major biotic
groups, namely, demersal fish, benthic invertebrates, or attached algae. Other groups
may be evaluated where benthic species are not affected, or are not the only ones
affected.
DICHLOROBENZENES shall mean the sum of 1,2- and 1,3-dichlorobenzene.
DOWNSTREAM OCEAN WATERS shall mean waters downstream with respect to ocean
currents. .
DREDGED MATERIAL: Any material excavated or dredged from the navigable waters of the
United States, including material otherwise referred to as "spoil".
ENCLOSED BAYS are indentations along the coast which enclose an area of oceanic water
within distinct headlands or harbor works. Enclosed bays include all bays where the
narrowest distance between headlands or outermost harbor works is less than 75 percent
of the greatest dimension of the enclosed portion of the bay. This definition includes but is
notlimited to: Humboldt Bay, Bodega Harbor, Tomales Bay, Drakes Estero,
San Francisco Bay, Morro Bay, Los Angeles Harbor, Upper and Lower Newport Bay,
Mission Bay, and San Diego Bay.
ENDOSULFAN shall mean the sum of endosulfan-alpha and -beta and endosulfan sulfate.
ESTUARIES AND COASTAL LAGOONS are waters at the mouths of streams that serve as
mixing zones for fresh and ocean waters during a major portion of the year. Mouths of
streams that are temporarily separated from the ocean by sandbars shall be considered
as estuaries. Estuarine waters will generally be considered to extend from a bay or the
open ocean to the upstream limit of tidal action but may be considered to extend seaward
if significant mixing of fresh and salt water occurs in the open 'coastal wCjters. The waters
described by this definition include but are not limited to the Sacramento-San Joaquin
Delta as defined by Section 12220 of the California Water Code, Suisun Bay, Carquinez
Strait downstream to Carquinez Bridge, and appropriate areas of the Smith, Klamath, .
Mad, Eel, Noyo, and Russian Rivers.
HALOMETHANES shall mean the sum of bromoform, bromomethane (methyl bromide) and
chloromethane (methyl chloride).
HCH shall mean the sum of the alpha, beta, gamma (lindane) and delta isomers of
hexachlorocyclohexane.
-25-
INITIAL DILUTION is the process which results in the rapid and irreversible turbulent mixing of
wastewater with ocean water around the point of discharge.
For a submerged buoyant discharge, characteristic of most municipal and industrial
wastes that are released from the submarine outfalls, the momentum of the discharge and
its initial buoyancy act together to produce turbulent mixing. Initial dilution in this case is
completed when the diluting wastewater ceases to rise in the water column and first
begins to spread horizontallY: .
For shallow water submerged discharges, surface discharges, and non buoyant
discharges, characteristic of cooling water wastes and some individual discharges,
turbulent mixing results primarily from the momentum of discharge. Initial dilution, in these
cases, is considered to be completed when the momentum induced velocity of the
discharge ceases to produce significant mixing of the waste, or the diluting plume reaches
a fixed distance from the discharge to be specified by the Regional Board, whichever
results in the lower estimate for initial dilution.
KELP BEDS, for purposes of the bacteriological standards of this plan, are significant
aggregations of marine algae of the genera Macrocvstis and Nereocvstis. Kelp beds
include the total foliage canopy of Macrocvstis and Nereocvstis plants throughout the
water column.
MARICUL TURE is the culture of plants and animals in marine waters independent of any
pollution source. .
MATERIAL: (a) In common usage: (1) the substance or substances of which a thing is made
or composed (2) substantial; (b) For purposes of this Ocean Plan relating to waste
disposal, dredging and the disposal of dredged material and fill, MATERIAL means matter
of any kind or description which is subject to regulation as waste, or any material dredged
from the navigable waters of the United States. See also, DREDGED MATERIAL.
MOL (Method Detection Limit) is the minimum concentration of a substance that can be
measured and reported with 99% confidence that the analyte concentration is greater than
zero, as defined in 40 CFR PART 136 Appendix B.
MINIMUM LEVEL (Ml) is the concentrations at which the entire analytical system must give a
recognizable signal and acceptable calibration point. The ML is the concentration in a
sample that is equivalent to the concentration of the lowest calibration standard analyzed
by a specific analytical procedure, assuming that all the method-specified sample weights,
volumes and processing steps have been followed.
NATURAL LIGHT: Reduction of natural light may be determined by the Regional Board by
measurement of light transmissivity or total irradiance, or both, according to the monitoring
needs of the Regional Board.
OCEAN WATERS are the territorial marine waters of the State as defined by California law to
the extent these waters are outside of enclosed bays, estuaries, and coastal lagoons. If a
discharge outside the territorial waters of the State could affect the quality of the waters of
the State, the discharge may be regulated to assure no violation of the Ocean Plan will
occur in ocean waters.
-26-
PAHs (polynuclear aromatic hydrocarbons) shall mean the sum of acenaphthylene,
anthracene, 1 ,2-benzanthracene, 3,4-benzofluoranthene, benzo[k]f1uoranthene, 1,12-
benzoperylene, benzo[a]pyrene, chrysene, dibenzo[ah]anthracene, fluorene, indeno[1 ;2,3"
c,d]pyrene, phenanthrene and pyrene.
PCBs (polychlorinated biphenyls) shall mean the sum of chlorinated biphenyls whose
analytical characteristics resemble those of Aroclor-1016, Aroclor-1221, Aroclo~-1232,
Aroclor-1242, Aroclor-1248, Aroclor-1254 and Aroclor-1260. '
SHELLFISH are organisms identified by the California Department of Health Services as .
shellfish for public health purposes (i.e., mussels, clams and oysters).
SIGNIFICANT difference is defined as a statistically significant difference in the means of two
distributions of sampling results at the 95 percent confidence level.
TCDD EQUIVALENTS shall mean the sum of the concentrations of chlorinated dibenzodioxins
(2,3,7,8-CDDs) and chlorinated dibenzofurans (2,3,7,8-CDFs) multiplied by their
respective toxicity factors, as shown in the table below. '
Isomer Group
Toxicity
Equivalence
Factor
.1.0
2,3,7,8-tetra CDD
2,3,7,8-penta CDD
2,3,7,8-hexa CDDs
2,3,7,8-hepta CDD
octa CDD
0.5
0.1
0.01
0.001
2,3,7,8 tetra CDF
1,2,3,7,8 penta CDF
2,3,4,7,8 penta CDF
2,3,7,8 hexa CDFs
2,3,7,8 hepta CDFs
octa CDF
0.1
0.05
0.5
0.1
0.01
0.001
WASTE: As used in this Plan, waste includes a discharger's total discharge, of whatever
origin, i.e., gross, not net, discharge.
WATER RECLAMATION: The treatment of wastewater to render it suitable foueuse, the
transportation of treated wastewater to the place of use, and the actU<31 use of treated
wastewater for a direct beneficial use or controlled use that would not otherwise occur.
-27-
APPENDIX II
MINIMUM* LEVELS
The Minimum' Levels identified in this appendix represent the lowest concentration of a pollutant that
can be quantitatively measured in a sample given the current state of performance in analytical
chemistry methods in California. These Minimum' Levels were derived from data provided by state-
certified analytical laboratories in 1997 and 1998 for pollutants regulated by the California Ocean Plan
and shall be used until new values are adopted by the SWRCB. There are four major chemical
groupings: volatile chemicals, semi-volatile chemicals, inorganics, pesticides & PCB's. "No Data" is
indicated by "--".
TABLE 11-1 .
MINIMUM* LEVELS - VOLATILE CHEMICALS
Volatile Chemicals
Acrolein
Acrylonitrile
Benzene
Bromoform
Carbon Tetrachloride
Chlorobenzene
Chlorodibromomethane
Chloroform
. .1,2-Dichlorobenzene (volatile)
1 ,3-Dichlorobenzene (volatile)
1 ,4-Dichlorobenzene (volatile)
Dichlorobromomethane
1,1-Dichloroethane
1,2-Dichloroethane
1,1-Dichloroethylene
Dichloromethane
1 ,3-Dichloropropene (volatile)
Ethyl benzene
Methyl Bromide
Methyl Chloride
1,1,2,2- Tetrachloroethane
Tetrachloroethylene
Toluene
1,1,1- Trichloroethane
1,1,2-Trichloroethane
Trichloroethylene
Vinyl Chloride
CAS
Number
107028
107131
71432
75252
56235
108907
124481
67663
95501
541731
106467
75274
75343
107062
75354
75092
542756
100414
74839
74873
79345
127184
. 108883
71556
79005
79016
75014
Minimum' Level (uglL)
GC
Method a
GCMS
Method b
5
2
2
2
2
2
2
2'
2
2
2
2
1
2
2
2
2
2
2
2
2
2
2
2
2
2
2
2.
2.
0.5
0.5
0.5
0.5
0.5
. 0.5
0.5
0.5
0.5
0.5
0.5
0.5
0.5
0.5
0.5
0.5
1.
0.5
0.5
0.5
0.5
0.5
0.5
0.5
0.5
Table 11-1 Notes
a) GC Method = Gas Chromatography
b) GCMS Method = Gas Chromatography I Mass Spectrometry
, To determine the lowest standard concentration in an instrument calibration curve for these
techniques, use the given ML (see Chapter III, "Use of Minimum' Levels").
-28-
TABLE 11-2
MINIMUM" LEVELS - SEMI VOLA TILE CHEMICALS
Minimum" level (ug/l)
CAS GC GCMS HPlC COLOR
Semi-Volatile Chemicals Number Method a, . Method b, . Method c: Method d
Acenapthylene 208968 10 0.2
Anth racene 120127 10 2
Benzidine 92875 5
Benzo(a)anthracene 56553 10 2
Benzo(a)pyrene 50328 10 2
Benzo(b)f1uoranthene 205992 10 10
Benzo(g,h,i)perylene 191242 5 0.1
Benzo(k)f1oranthene 207089 10 2
Bis 2-(1-Chloroethoxy) methane 111911 5
Bis(2-Chloroethyl)ether 111444 10 1
Bis(2-Chloroisopropyl)ether 39638329 10 2
Bis(2-Ethylhexyl) phthalate 117817 10 5
2-Chlorophenol 95578 2 5
Chrysene 218019 10 5
Di-n-butyl phthalate 84742 10
Dibenzo( a, h)anthracene 53703 10 0.1
1,2-Dichlorobenzene (semivolatile) 95504 2 2
1,3-Dichlorobenzene (semivolatile) 541731 2 1
1,4-Dichlorobenzene (semivolatile) 106467 2 1
3,3-Dichlorobenzidine 91941 5
2,4-Dichlorophehol 120832 1 5
1,3-Dichloropropene 542756 5 -
Diethyl phthalate 84662 10 2
Dimethyl phthalate 131113 10 2 -
2,4-Dimethylphenol 105679 1 ." 2
2,4-Dinitrophenol 51285 5 5
2,4-Dinitrotoluene 121142 10 5
1,2-Diphenylhydrazine 122667 1
Fluoranthene 206440 10 1 0.05
Fluorene 86737 10 0.1 , -
Hexachlorobenzene 118741 5 1
Hexachlorobutadiene 87683 5 1
Hexachlorocyclopentadiene 77474 5 5
Table 11-2 continued on next page...
-29-
Table 11-2 (Continued)
Minimum" Levels - Semi Volatile Chemicals
Minimum" Level (ug/L)
CAS GC GCMS HPLC COLOR
Semi-Volatile Chemicals Number Method ., . Method b,' Method C,' Method d
Hexachloroethane 67721 5 1
Indeno(1,2,3-cd)pyrene 193395 10 0.05
Isophorone 78591. 10 1
2-methyl-4,6-dinitrophenol 534521 10 5
3-methyl-4-chlorophenol 59507 . 5 1
N-nitrosodi-n-propylamine 621647 10 5
N-nitrosodimethylamine 62759 10 5
N-nitrosodiphenylamine 86306 10 1 .
Nitrobenzene 98953 10 1
2-Nitrophenol 88755 10
4-Nitrophenol 100027 5 10
Pentachlorophenol 87865 1 5
Phenanthrene 85018 5 0.05
Phenol 108952 1 1 50
Pyrene 129000 10 0.05
2.4,6-Trichlorophenol 88062 10 10
Table 11-2 Notes:
a) GC Method =
b) GCMS Method =
c) HPLC Method =
d) COLOR Method
Gas Chromatography ,
Gas Chromatography I Mass Spectrometry
High Pressure Liquid Chromatography
= Colorimetric .
"
To determine the lowest standard concentration in an instrument calibration curVe for this technique,
multiply the given ML by 1000 (see Chapter III, "Use of Minimum" Levels").
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Ol E
'<::::1
-E
~.-
._ r::
E"-
~:2
2'0
Ol Ol
"0.,
f!.?
-31-
TABLE 11-4
MINIMUM" lEVELS - PESTICIDES AND PCBs
Pesticides - PCB's
CAS
Number
Aldrin
Chlordane
4,4'-DDD
4,4'-DDE
4,4'-DDT
Dieldrin
a-Endosulfan
b-Endosulfan
Endosulfan Sulfate
Endrin
Heptachlor
Heptachlor Epoxide
a-Hexachlorocyclohexane
b-Hexachlorocyclohexane
d-Hexachlorocyclohexane
g-Hexachlorocyclohexane (Lindane)
PCB 1016
PCB 1221
PCB 1232
PCB 1242
PCB 1248
PCB 1254
PCB 1260
Toxaphene
309002
57749
72548
72559
50293
60571
959988
33213659
1031078
72208
76448
1024573
319846
319857
319868
58899
8001352
Minimum" level
(ug/L)
GC Method""
0.005
0.1
0.05
0.05
0.01
0.01
0.02
0.01
0.05
0.01
0.01
0.01
0.01
0.005
0.005
0.02
0.5
0.5
0.5
0.5
0.5
0.5
0.5
0.5
Table 11-4 Notes
a) GC Method = 'Gas Chromatography
" To determine the lowest standard concentration in an instrument
calibration curve for this technique, multiply the given ML by 100
(see Chapter III, "Use of Minimum' Levels").
-32-
APPENDIX III
STANDARD MONITORING PROCEDURES
The purpose of this appendix is to provide direction to the Regional Boards on the
implementation of the California Ocean Plan and to ensure the reporting of useful
information. It is not feasible to cover all circumstances and conditions that could be
encountered by all dischargers. Therefore, this appendix should be considered as the basic
component of any discharger monitoring program. Regional Boards can deviate from the
procedures required in the appendix only with the approval of the State Water Resources
Control Board unless the Ocean Plan allows for the selection of alternate protocols by the
Regional Boards. If no direction is given in this appendix for a specific provision of the
Ocean Plan, it is within the discretion of the Regional Board to establish the monitoring
requirements for the provision.
The following text is referenced by applicable Qhapter in the Ocean Plan. All references to
40 CFR PART 136 are to the revised edition of May 14, 1999.
Ocean Plan Chapter II. B. Bacterial Standards:
For all bacterial analyses, sample dilutions should be performed so the range of values
extends from 2 to 16,00'0. The detection methods used for each analysis shall be reported
with the results of the analysis.
Detection methods used for coliforms (total and fecal) shall be those presented in Table 1A
of 40 CFR PART 136, unless alternate methods have been approved in advance by US EPA
pursuant to 40 CFR PART 136.
Detection methods used for enterococcus shall be those presented in EPA publication EPA
600/4-85/076, Test Methods for Escherichia coli and Enterococci in Water Bv Membrane
Filter Procedure or any improvedmethod determined by the Regional Board to be
appropriate.
Ocean Plan Chapter II. H Table B. Compliance with Table B Obiectives:
Procedures, calibration techniques, and instrument/reagent specifications used to determine
compliance with Table B shall conform to the requirements of federal regulations (40 CFR
PART 136). All methods shall be specified in the monitoring requirement section of waste
discharge requirements.
Where methods are not available in 40 CFR PART 136, the Regional Boards shall specify
suitable analytical methods in waste discharge requirements. Acceptance of data should be
predicated on demonstrated laboratory performance.
Laboratories analyzing monitoring data shall be certified by the Department of Health
Services, in accordance with the provisions of Section 13176 CWC, and must include quality
assurance quality control data with their reports. .
The State or Regional Board may, subject to EPA approval, specify test methods which are
more sensitive than those specified in 40 CFR PART 136. Total chlorine residual. is likely to
be a method detection limit effluent limitation in many cases. The limit of detection of total
chlorine residual in standard test methods is less than or equal to 20 ugll.
-33-
Monitoring for the substances in Table B shall be required periodically. For discharges less
than 1 MGD (million gallons per day), the monitoring of all the Table B parameters should
consist of at least one complete scan of the Table B constituents one time in the life of the
waste discharge requirements. For discharges between 1 and 10 MGD, the monitoring
frequency shall be at least one complete scan of the Table B substances annually.
Discharges greater than 10 MGD shall be required to monitor at least semiannually.
Compliance monitoring for the acute toxicity objective (TUa) in Table B shall be determined
using an US EPA approved protocol as provided in 40 CFR PART 136. Acute toxicity
monitoring requirements in permits prepared by the Regional Boards shall use marine test
species instead of freshwater species when measuring compliance.
The Regional Board shall require the use of critical life stage toxicity tests specified in this
Appendix to measure TUc. Other species or protocols will be added to the list after SWRCB
review and approval. A minimum of three test species with approved test protocols shall be
used to measure compliance with the toxicity objective. If possible, the test species shall
include a fish, an invertebrate, and an aquatic plant. After a screening period, monitoring
can be reduced to the most sensitive species. Dilution and control water should be obtained
from an unaffected area of the receiving waters. The sensitivity of the test organisms to a
reference toxicant shall be determined concurrently with each bioassay test and reported
with the test results.
Use of critical life stage bioassay testing shall be included in waste discharge requirements
as a monitoring requirement for all discharges greater than 100 MGD by January 1, 1991 at
the latest. For other major dischargers, critical life stage bioassay testing shall be included
as a monitoring requirement one year before the waste discharge requirement is scheduled
for renewal.
The tests presented in Table 111-1 shall be used to measure TUc. Other tests may be added
to the list when approved by the State Board. .
-34-
TABLE 111-1
APPROVED TESTS - CHRONIC TOXICITY (TUc)
. . ,
Species Effect Tier Reference
giant kelp, Macrocystis percent germination; 1 1,3
pyrifera germ tube length
red abalone, Haliotis Abnormal shell 1 1,3
rufescens development
oyster, Grassostrea gigas; Abnormal shell 1 1,3
mussels, Mytilus spp. development; percent
survival
urchin, Strongylocentrotus Percent normal 1 1,3
purpuratus; sand dollar, development
Dendraster excentricus
urchin, Strongylocentrotus Percent fertilization 1 1,3
purpuratus; sand dollar,
Dendraster excentricus
shrimp, Holmesimysis costata Percent survival; 1 1,3
growth
shrimp, Mysidopsis bahia Percent survival; 2 2,4
growth; fecundity'
topsmelt, Atherinops affinis larval growth rate; 1 1,3
percent survival
Silvers ides, Menidia beryllina larval growth rate; 2 2,4
percent survival
Table 111-1 Notes
The first tier test methods are the preferred toxicity tests for compliance monitoring. A
Regional Board can approve the use of a second tier test method for waste discharges if first
tier organisms are not available.
-35-
Protocol References
1. Chapman, GA, D.L. Denton, and J.M. Lazorchak. 1995. Short-term methods for
estimating the chronic toxicity of effluents and receiving waters to west coast marine and
estuarine organisms. U.S. EPA Report No. EPA/600/R-95/136.
2. Klemm, D.J., G.E. Morrison, T.J. Norberg-King, w.J. Peltier, and MA Heber. 1994.
Short-term methods for estimating the chronic toxicity of effluents and receiving water to
marine and estuarine organisms. U.S. EPA Report No. EPA-600-4-91-003.
3. SWRCB 1996. Procedures Manual for Conducting Toxicity Tests Developed by the
Marine Bioassay Project. 96-1WQ.
4. Weber, C.I., W.B. Horning, 1.1., D.J. Klemm, T.W. Nieheisel, PA Lewis, E.L. Robinson, J.
Menkedick and F. Kessler (eds). 1988. Short-term Methods for Estimating the Chronic
Toxicity of Effluents and Receiving Waters to Marine and Estuarine Organisms.'
EPA/600/4-87/028. National Information SerVice, Springfield, VA.
-36-
APPENDIX IV
PROCEDURES FOR THE NOMINATION AND DESIGNATION OF
. . AREAS. OF SPECIAL BIOLOGICAL SIGNIFICANCE (ASBS).
1. Any person may nominate areas of ocean waters for designation as ASBS by the
SWRCB. Nominations shall be made to the appropriate RWQCB and shall include:
(a) Information such as maps, reports, data, statements, and photographs to show that:
(1) Candidate areas are located in ocean waters as defined in the "Ocean Plan".
(2) Candidate areas are intrinsically valuable or have recognized value to man for
scientific study, commercial use, recreational use, or esthetic reasons.
. .
(3) Candidate areas need protection beyond that offered by waste discharge
restrictions or other administrative and statutory mechanisms.
(b) Data and information to indicate whether the proposed designation may have a
significant effect on the environment
(1) If the data or information indicate that the proposed designation will have a
significant effect on the environment, the nominee must submit sufficient
information and data to identify feasible changes in the designation that will
mitigate or avoid the significant environmental effects.
2. The SWRCB or a RWQCB may also nominate areas for designation as ASBS on their
own motion.
3. A RWQCB may decide to (a) consider individual ASBS nominations upon receipt,
(b) consider several nominations in a consolidated proceeding, or (c) consider nominations
in the triennial review of its water quality control plan (basin plan). A nomination that
meets the requirements of 1. above may be considered at any time but not later than the
next scheduled triennial review of the appropriate basin plan or Ocean Plan.
4. After determining that a nomination meets the requirements of paragraph 1. above, the
Executive Officer of the affected RWQCB shall prepare a Draft Nomination Report
containing the following:
(a) The area or areas nominated for designation as ASBS.
(b) A description of each area including a map delineating the boundaries of each
proposed area.
(c) A recommendation for action on the nomination(s) and the rationale for the
recommendation. If the Draft Nomination Report recommends approval of the
proposed designation, the Draft Nomination Report shall comply with the CEQA
documentation requirements for a water quality control plan amendment in
Section 3777, Title 23, California Code of Regulations.
-37-
5. The Executive Officer shall, at a minimum, seek informal comment on the Draft
Nomination Report from the SWRCB, Department of Fish and Game, other interested
state and federal agencies, conservation groups, affected waste dischargers, and other
interested parties. Upon incorporation of responses from the consulted agencies, the
Draft Nomination Report shall become the Final Nomination Report.
6. (a) If the Final Nomination Report recommends approval of the proposed designation, the
Executive Officer shall ensure that processing of the nomination complies with the
CEQA consultation requirements in Section 3778, Title 23, California Code of
Regulations and proceed to step 7 below.
(b) If the Final Nomination Report recommends against approval of the proposed
designation, the Executive Officer shall notify interested parties of the decision. No
further action need be taken. The nominating party may seek reconsideration of the
decision by the RWQCB itself.
7. The RWQCB shall conduct a public hearing to receive testimony on the. proposed
designation. Notice of the hearing shall be published three times in a newspaper of
general circulation in the vicinity of the proposed area or areas and shall be distributed to
all known interested parties 45 days in advance of the hearing. The notice shall describe
the location, boundaries, and extent of the area or areas under consideration, as well as
proposed restrictions on waste discharges within the area.
8. The RWQCBshall respond to comments as required in Section 3779, Title 23,
California Code of Regulations, and 40 C.F.R. Part 25 (July 1, 1999).
9. The RWQCB shall consider the nomination after completing the required public review
processes required by CEQA.
(a) If the RWQCB supports the recommendation for designation, the board shall forward
to the SWRCB its recommendation for approving designation of the proposed area or
areas and the supporting rationale. The RWQCB submittal shall include a copy of the
staff report, hearing transcript, comments, and responses to comments.
(b) If the RWQCB does not support the recommendation for designation, the
Executive Officer shall notify interested parties of the decision, and no further action
need be taken.
10. After considering the RWQCB recommendation and hearing record, the SWRCB may
approve or deny the recommendation, refer the matter to the RWQCB for appropriate
action, or conduct further hearing itself. If the SWRCB acts to approve a recommended
designation, the SWRCB shall amend Appendix V, Table V-1, of this Plan. The
amendment will go into effect after approval by the Office of Administrative Law and
US EPA. In addition, after the effective date of a designation, the affected RWQCB shall
revise its water quality control plan in the next triennial review to include the designation.
11. The SWRCB Executive Director shall advise other agencies to whom the list of designated
areas is to be provided that the basis for an ASBS designation is limited to protection of
marine life from waste discharges.
-38-
APPENDIX V
AREAS. OF SPECIAL ,BIOLOGICAL SIGNIFICANCE
TABLE V-1
AREAS OF SPECIAL BIOLOGICAL SIGNIFICANCE
(DESIGNATED OR APPROVED BY THE STATEWATER RESOURCES CONTROL BOARD)
Date SWRCB Region
No. ASBS Name Designated Resolution No. No.
1. Pygmy Forest Ecological Staircase March 21,1974, 74-28 1
2. Del Mar landing Ecological Reserve . March 21,1974, 74-28 1
3. Gerstle Cove March 21,1974, 74-28 1
4. Bodega Marine Life Refuge March 21,1974, 74-28 1
5, Kelp Beds at Saunders Reef March 21, 1974, 74-28 1
6. Kelp Beds at Trinidad Head March 21, 1974, 74-28 1
7. Kings Range National Conservation Area March 21,1974, 74-28 1
8, Redwoods National Park March 21,1974, . 74-28 1
9. James V. Fitzgerald Marine Reserve March 21,1974, 74-28 2
10. Farallon Island March 21,1974, 74-28 2
11. Duxbury Reef Reserve and Extension March 21,1974, 74-28 2
12. Point Reyes Headland Reserye and Extension March 21,1974, 74-28 2
13. Double Point March 21,1974, 74-28 2
14. Bird Rock March 21,1974, 74-28 2
15. Ano Nuevo Point and Island March 21,1974, 74-28 3
16. Point Lobos Ecological Reserve March 21,1974, 74-28. 3
17. San Miguel, Santa Rosa, and Santa Cruz . March 21,1974, 74-28 4
Islands
18. Julia Pfeiffer Burns Underwater Park ' March 21, 1974, 74-28 3
19. Pacific Grove Marine Gardens Fish Refuge and March 21,1974, 74-28 3
Hopkins Marine Life Refuge
20. Ocean Area Surrounding the Mouth of Salmon March 21,1974, 74-28 3
Creek
21. San Nicolas Island and Begg Rock March 21,1974, 74-28 4
22. Santa Barbara Island, Santa Barbara County March 21,1974, 74-28 4
and Anacapa Island
23. San Clemente Island March 21,1974, 74-28 4
Table V-1 Continued on next page...
-39-
Table V-1 (Continued)
Areas of Special Biological Significance
(Designated or Approved by the State Water Resources Control Board)
Date SWRCB Region
No. ASBS Name Designated Resolution No. No.
24. Mugu Lagoon to Latigo Point March 21,1974, 74-28 4
25. Santa Catalina Island - Subarea One, Isthmus March 21,1974, 74-28 4
Cove to Catalina Head
26. Santa Catalina Island - Subarea Two, North End March 21,1974, 74-28 4
of Little Harbor to Ben Weston Point
27. Santa Catalina Island - Subarea Three, March 21,1974, 74-28 4
Farnsworth Bank Ecological Reserve
28. Santa Catalina Island - Subarea Four, Binnacle March 21,1974, 74-28 4
Rock to Jewfish Point
29. San Diego-La Jolla Ecological Reserve March 21,1974, 74-28 9
30. Heisler Park Ecological Reserve March 21,1974, 74-28 9
31. San Diego Marine Life Refuge March 21,1974, 74-28 9
32. Newport Beach Marine Life Refuge April 18, 1974 74-32 8
33. Irvine Coast Marine Life Refuge April 18, 1974 74-32 8
34. Carmel Bay June 19, 1975 75-61 3
APPENDIX D:
WASTE DISCHARGE REPORT FORM 200
INTRODUCTION
This application package constitutes a Report of Waste Discharge (ROWD) pursuant to California Water Code
Section 13260. Section 13260 states that persons discharging or proposing to discharge waste that could affect
the quality of the waters of the State, other than into a community sewer system, shall file a ROWD containing
information which may be required by the appropriate Regional Water Quality Control Board (RWQCB).
This package is to be used to start the application process for all waste discharge requirements (WDRs) and
National Pollutant Discharge Elimination System (NPDES) permits' issued by a RWQCB except:
a) Those landfill facilities that must use a joint Solid Waste Facility Permit Application Form, California
Integrated Waste Management Board Form E-I-77; and
b) General WDRs or general NPDES permits that use a Notice of Intent to comply or specify the use of an
alternative application form designed for that permit.
This application package contains:
I. Application/General Information Form for WDRs and NPDES Permits [Form 200 (10/97)].
2. Application/General Information Instructions.
Instructions
Instructions are provided to assist you with completion of the application. If you are unable to find the answers
to your questions or need assistance with the completion of the application package, please contact your RWQCB
representative. The RWQCBs strongly recommend that you make initial telephone or personal contact with
RWQCB regulatory staff to discuss a proposed new discharge before submittingyour application. The RWQCB
representative will be able to answer procedural and annual fee related questions that you may have. (See map
and telephone numbers inside of application coveL)
All dischargers regulated under WDRs and NPDES permits must pay an annual fee, except dairies, which pay a
filing fee only. The RWQCB will notify you of your annual fee based on an evaluation of your proposed
discharge. Please do NOT submit a check for your first annual fee or filing fee until requested to do so by a
RWQCB representative. Dischargers applying for reissuance (renewal) of an existil1g NPDES permit or update of
an existing WDR will be billed through the annual fee billing system and are therefore requested NOT to submit a
check with their application. Checks should be made payable to the State Water Resources Control Board.
Additional Information Reauirements
A RWQCB representative will notify you within 30 days of receipt of the application form and any supplemental
documents whether your application is complete. If your application is incomplete, the RWQCB representative
will send you a detailed list of discharge specific information necessary to complete the application process. The
completion date of your application is normally the date when all required information, including the correct fee,
is received by the RWQCB.
· NPDES PERMITS: If you are applying for a permit to discharge to surface water, you will need an NPDES permit
which is issued under both State and Federal law and may be required to complete one or more of the following Federal
NPDES permit application forms: Short Form A, Standard Form A, Forms I, 2B, 2C, 2D, 2E, and 2F. These forms
may be obtained at a RWQCB office or can be ordered from the National Center for Environmental Publications and
Information at (513) 891-6561.
Page 2
CALIFORNIA ENVIRONMENTAL
PROTECTION AGENCY
e
Stale of California
Regional Water Quality Control Board
APPLICATION/REPORT OF WASTE DISCHARGE
GENERAL INFORMATION FORM FOR
WASTE DISCHARGE REQUIREMENTS OR NPDES PERMIT
INSTRUCTIONS
FOR COMPLETING THE APPLICATION/REPORT OF WASTE DISCHARGE
GENERAL INFORMATION FORM FOR:
WASTE DISCHARGE REQUlREMENTS/NPDES PERMIT
If you have any questions on the completion of any part of the application, please contact yOUf RWQCB representative. A map of
RWQCB locations, addresses, and telephone numbers is located on the reverse side of the application coveT.
.L. FACIUTY INFORMATION
You must provide the factual information listed below for ALL owners, operators, and locations and, where appropriate, for ALL
general partners and lease holders.
A. FACILITY:
Legal name, physical address including the county, person to contact, and phone number at the facility.
(NO P.O. Box numbers! If no address exists, use street and nearest cross street.)
B. FACILITY OWNER:
Legal owner, address, person to contact, and phone number. Also include the owner's Federal Tax Identification
Number.
OWNER TYPE:
Check the appropriate Owner Type. The legal owner will be named in the WDRsINPDES permit.
C. FACILITY OPERATOR (Tbe aa:ency or business, not tbe person):
If applicable, the name, address, person to contact, and telephone number for the facility operator. Check the
'appropriate Operator Type. If identical to B. above, enter "same as owner".
D. OWNER OF THE LAND:
Legal owner of the land(s) where the facility is located, address, person to contact, and phone number. Check the
appropriate Owner Type. If identical to B. above, enter "same as owner".
E. ADDRESS WHERE LEGAL NOTICE MAY BE SERVED:
Address where legal notice may be served, person to contact, and phone number. If identical to B. above, enter
"same as owner".
F. BILLING ADDRESS
Address where annual fee invoices should be sent, person to contact, and phone number. If identical to B. above,
enter "same as owner".
FQtIll200(6/97)
Page 3
CALIFORNIA ENVIRONMENTAL
PROTECTION AGENCY
e
State of California
Regional Water Quality Control Board
APPLICATION/REPORT OF WASTE DISCHARGE
GENERAL INFORMATION FORM FOR
WASTE DISCHARGE REQUIREMENTS OR NPDES PERMIT
lL TYPE OF DISCHARGE
Check the appropriate box to describe whether the waste will be discharged to: A. Land, or B. Surface Water.
Check the appropriate box(es) which best describe the activities at your facility.
Hazardous Waste - If you check the Hazardous Waste box, STOP and contact a representative of the RWQCB for
further instructions.
Landfills - A separate form, APPLICATION FOR SOLID WASTE FACILITY PERMIT/WASTE DISCHARGE
REQUIREMENTS, California Integrated Waste Management Board Form E-1-77, may be required. Contact a
RWQCB representative to help determine the appropriate form for your discharge.
ill. LOCATION OF THE FACII.ITY
1. Enter the Assessor's Parcel Number{s) (APN), which is located on the property tax bill. The number can also be
obtained from the County Assessor~s Office. Indicate the APN for both the facility and the discharge point.
2. Enter the Latitude of the entrance to the proposed/existing facility and of the discharge point. Latitude and longi.
tude information can be obtained from a U.S. Geological Survey quadrangle topographic map. Other maps may
also contain this information.
3. Enter the Longitude of the entrance to the proposed/existing facility and of the discharge point.
n::. REASON FOR FlUNG
NEW DISCHARGE OR FACILITY:
A discharge or facility that is proposed but does not now exist, or that does not yet have WDRs or an NPDES permit.
CHANGE IN DESIGN OR OPERATION:
A material change in design or operation from existing discharge requirements. Final determination of whether the reported
change is material will be made by the RWQCB.
CHANGE IN QUANTlTY/TYPE OF DISCHARGE:
A material change in characteristics of the waste from existing discharge requirements. Final determination of whether the
reported change would have a significant effect will be made by the RWQCB.
CHANGE IN OWNERSHIP/OPERATOR:
Change of legal owner of the facility. Complete Parts I, III, and IV only and contact the RWQCB to determine if additional
information is required.
WASTE DISCHARGE REQUIREMENTS UPDATE OR NPDES PERMIT REISSUANCE:
WDRs must be update~ periodically to reflect changing technology standards and conditions. A new application is required
to reissue an NPDE5 permit which has expired.
OTHER:
If there is a reason other than the ones listed, please describe the reason on the space provided. (If more space is needed,
attach a separate sheet.)
Fotll'lZOO(6/97)
Page 4
CALIFORNIA ENVIRONMENTAL
PROTECTION AGENCY
e
Slate of California
Regional Water Quality Control Board
APPLICATION/REPORT OF WASTE DISCHARGE
GENERAL INFORMATION FORM FOR
WASTE DISCHARGE REQUIREMENTS OR NPDES PERMIT
y. C.ALlFORNIA ENVIRONMENTAL OUALlTV AC.T ICEOAl
It should be emphasized that communication with the appropriate RWQCB staff is vital before starting the CEQA
documentation, and is recommended before completing this application. There afC Basin Plan issues which may complicate
the CEQA effort, and RWQCB staff may be able to help in providing the needed information to complete the CEQA
documentation.
Name the Lead Agency responsible for completion of CEQA requirements for the project, Le., completion and certification
of CEQA documentation.
Check YES or NO. Has a public agency determined that the proposed project is exempt from CEQA?
If the answer is YES, state the basis for the exemption and the name of the agency supplying the exemption on the space
provided. (Remember that, if extra space is needed, use an extra sheet of paper, but be sure to indicate the attached sheet
under Section VII. Other.)
Check YES or NO. Has the "Notice of Determination" been filed under CEQA? If YES, give the date the notice was filed
and enclose a copy of the Notice of Determination and the Initial Study, Environmental Impact Report, or Negative
Declaration. If NO, check the box of the expected type of CEQA document for this project, and include the expected date of
completion using the time lines given under CEQA. The date of completion should be taken as the date that the Notice of
Determination will be submitted. (If not known, write "Unknown")
YI. OTHER REOUlRED INFORMATION
To be approved, your application MUST include a COMPLETE characterization of the discharge. If the characterization is
found to be incomplete, RWQCB staff will contact you and request that additional specific information be submitted.
This application MUST be accompanied by a site map. A USGS 7.5' Quadrangle map or a street map, if more appropriate,
is sufficient for most applications.
Yll. OTHER
If any of the answers on your application fonn need further explanation, attach a separate sheet. Please list any attachments
with the titles and dates on the space provided.
VIII. CERTIFICATION
Certification by the owner of the facility or the operator of the facility, if the operator is different from the owner, is required.
The appropriate person must sign the application form.
Acceptable signatures are:
I. for a corporation,. a principal executive officer of at least the level of senior vice-president;
2. for a partnership or individual (sole proprietorship), a general partner or the proprietor;
3. for a governmental or public agency, either a principal executive officer or ranking elected/appointed official.
DISCHARGE SPECIFIC INFORMATION
In most cases, a request to supply additional discharge specific information will be sent to you by a representative of the
RWQCB. If the RWQCB determines that additional discharge specific information is not needed to process your applica-
tion, you will be so notified.
rorm200(6/97}
Page 5
CALIFORNIA ENVIRONMENTAL
PROTECTION AGENCY
e
StateofCaIifomia
Regional Water Quality Control Board
APPLICATION/REPORT OF WASTE DISCHARGE
GENERAL INFORMATION FORM FOR
WASTE DISCHARGE REQUIREMENTS OR NPDES PERMIT
I
FACILITY INFORMATION
A. Facilitv:
Name;
Address:
City: I County, state, I Zip Code:
Contact Parson: TB1ephone Number:
B. Facilitv Owner:
Name: Owner Type (Check One)
L 0 Indiv.id>al 2. o _t<=
AddrIlllSS: 3. 0 Govarnmontal 4.0_
Aqonoy
City: State: z;"Calo, S. DOt,,,.,,
Contact Parson: TeJ.ephona -, ,- F8d8ra1 '!'ax m:
c. Facility Operator (The agency or business, not the person):
Name: Operator Type (Check ene)
LO Irdividual. 2. 0 _tion
Address: 3.0 Gove:rnmenta1 4. 0-
Agency
City' I state, Zip Code:
s.0 """"',
Contact Person: TeJ.ephona -,
D. Owner ofthe Land:
Name: Owner Type (Check ana) 0
L 0 Indiv.id>al 2. Co%poration
Address: 3.0 Govemmen"tal 4. 0 -
Agency
City: I stata, Zip Code: s.0
""""',
Contact Person: 'l'elephone Nurrber:
E. Address Where Legal Notice May Be Served:
Address:
City: I stata, Zip Code:
Contact Person: Telephone N\mlber:
~ B"" Add
111m!! ress:
1ddress:
City: I stata, Zip Code:
Contact Person: Telephone Nuraber:
Fo~.. 200 (6/97)
Page 6
CALIFORNIA ENVIRONMENTAL
PROTECTION AGENCY
e
State of California
Regional Water Quality Control Board
APPLICATION/REPORT OF WASTE DISCHARGE
GENERAL INFORMATION FORM FOR
WASTE DISCHARGE REQUIREMENTS OR NPDES PERMIT
II. TYPE OF DISCHARGE
Check Type of Discharge(s) Described in tbis Application (A or B):
D A. WASTE DISCHARGE TO LAND
D B. WASTE DISCHARGE TO SURFACE WATER
Check all tbat apply:
D DomesticlMunicipal Wastewater
Treatment and DIsposal
D Cooling Water
D Mining
D Waste Pile
D Wastewater Reclamation
D Other, please describe:
D Animal Waste Solids
D Land Treatment Unit
D Dredge Material Disposal
D Surface Impoundment
D Industrial Process Wastewater
D
D
D
D
D
Animal or Aquacultural Wastewater
BiosolidslResidual
Hazardous Waste (see instructions)
Landfill (see instructions)
Stonn Water
,
III. LOCATION OF THE FACILITY
Describe the physical location of the facility.
1. Assessor's Parcel Number(s)
Facility:
Discharge Point:
2. Latitude
Facility:
Discharge Point:
3. Longitude
Facility:
Discharge Point:
IV. REASON FOR FILING
D New Discharge or Facility
D Changes in Ownership/Operator (see instructions)
D Change in Design or Operation
D Waste Discharge Requirements Update or NPDES Pennit Reissuance
D Change in QuantitylType of Discharge D Other:
V. CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA)
Name of Lead Agency:
Has a public agency determined that the proposed project is exempt from CEQA? 0 Yes 0 No
If Yes, state the basis for tbe exemption and the name of the agency supplying the exemption on the line below.
Basis for Exemption/Agency:
Has a "Notice of Determination" been filed under CEQA? DYes 0 No
If Yes, enclose a copy of the CEQA document, Environmental Impact Report, or Negative Declaration. If no, identify the
expected type_ of CEQA document and expected date of completion.
Expected CEQA Documents:
D EIR D Negative Declaration I
Expected CEQA Completion Date:
I
FOCII\200(6/91}
Page 7
CALIFORNIA ENVIRONMENTAL
e~
Stale of California
Regional Waler Quality Control Board
APPLICATION/REPORT OF WASTE DISCHARGE
GENERAL INFORMATION FORM FOR
WASTE DISCHARGE REQUIREMENTS OR NPDES PERMIT
VI. OTHER REQUIRED INFORMATION
Please provide a COMPLETE characterization of your discharge. A complete characterization includes,
but is not limited to, design and actual flows, a list of constituents and the discharge concentration of each
constituent, a list of other appropriate waste discharge characteristics, a description and schematic drawing
of all treatment processes, a description of any Best Management Practices (BMPs) used, and a description
of disposal methods.
Also include a site map showing the location of the facility and, if you are submitting this application for an
NPDES permit, identify the surface water to which you propose to discharge. Please try to limit your maps
to a scale of 1:24,000 (7.5' USGS Quadrangle) or a street map, if more appropriate.
VII. OTHER
Attach additional sbeets to explain any responses which need c1arificatioD. List attachments with titles aod dates below:
You will be notified by a representative urtbe RWQCB within 30 days of receipt of your application. The notice will state if your
application is complete or ifthere is additional information you must submit to complete your ApplicationJReport of Waste Discharge,
pursuant to Division 7, Section 13260 ortbe California Water Code.
VIII. CERTIFICATION
"I certify under penalty of law that this document, including all attachments and supplemental information, were prepared under my
direction and supervision in accordance with a system designed to assure that qualified personnel properly gathered and evaluated the
information submitted. Based on my inquiry of the person or persons who manage the system, or those persons directly responsible for
gathering the information, the information submitted is, to the best of my knowledge and belief, true, accurate, and complete. I am aware
that there are significant penalties for submitting false information, including tbe possibility of fine and imprisonment."
Print Name:
Title:
Signature:
Date:
FOR OFFICE USE ONLY
Date Form 200 Received:
Letter 10 Discharger:
Fee Amount Received:
Check II:
Fo~m 200(6/97)
California Environmental Protection Agency
Bill of Rights for Environmental
Permit Applicants
California Environmental Protection Agency (CallEPA) recognizes that many complex issues must be addressed when pursuing
reforms of environmental permits and that significant challenges remain. We have initiated reforms and intend to continue the effort
to make environmental permitting more efficient. less costly, and to ensure that those seeking permits receive timely responses from
the boards and departments of the Cal/EPA. To further this goal, CallEPA endorses the following precepts that form the basis of a
permit applicant's "Bill of Rights."
1. Permit applicants have the right to assistance in understanding regulatory and permit requirements. All Cal/EPA programs
maintain an Ombudsman to work directly with applicants. Permit Assistance Centers located throughout California have
permit specialists from all the State, regional, and local agencies to identify permit requirements and assist in permit
processing.
2. Permit applicants have the right to know the projected fees for review of applications, how any costs will be determined and
billed, and procedures for resolving any disputes over fee billings.
3. Permit applicants have the right of access to complete and clearly written guidance documents that explain the regulatory
requirements. Agencies must publish a list of all information required in a permit application and of criteria used to
determine whether the submitted information is adequate.
4. Permit applicants have the right of timely completeness determinations for their applications. In general, agencies notify the
applicant within 30 days of any deficiencies or determine that the application is complete. California Environmental Quality
Act (CEQA) and public hearing requests may require additional information.
5. Permit applicants have the right to know exactly how their applications are deficient and what further information is needed
to make their applications complete. Pursuant to California Government code Section 65944, after an application is
accepted as complete, an agency may not request any new or additional information that was not specified in the original
application.
6. Permit applicants have the right of a timely decision on their permit application. The agencies are required to establish time
limits for permit reviews.
1. Permit applicants have the right to appeal permit review time limits by statute or administratively that have been violated
without good cause. For state environmental agencies, appeals are made directly to the CaUEPA Secretary or to a specific
board. For local environmental agencies, appeals are generally made to the local governing board or, under certain
circumstances, to CaIlEPA. Through this appeal, applicants may obtain a set date for a decision on their permit and, in
some cases, a refund of all application fees (ask boards and departments for details).
8. Permit applicants have the right to work with a single lead agency where multiple environmental approvals are needed. For
multiple permits, all agency actions can be consolidated under a lead agency. For site remediation, all applicable laws can
be administered through a single agency.
9. Permit applicants have the right to know who will be reviewing their application and the time required to complete the full
review process.
APPENDIX E:
COASTAL COMMISSION PERMIT APPLICATION
STATE OF CALIFORNIA-THE RESOURCES AGENCY
ARNOLD SCHWARZENEGGER, GOVERNOR
CALIFORNIA COASTAL COMMISSION
45 FREMONT ST. SUITE 2000
SAN FRANCISCO. CA 94105-2219
VOICE (415) 904-5200
FAX (415) 904-5400
8)
Dear Applicant for Energy or Ocean Resource Related Project:
Enclosed is an application packet for a coastal development permit. When the
application form is completed and returned to this office, along with all of the
necessary attachments (see pages 7 and 8), your application will be processed as
speedily as possible. To assist you, a checklist and an application fee schedule
are attached.
When your application is received, an application number will be assigned to your
project. Please refer to this number in any correspondence which may follow. You
will be notified as soon as your application has been found to be complete and has
been filed. In the event additional information is required to complete your
application, you will be contacted within thirty days.
When your application is submitted to this office, the project site must be posted
with the "Notice of Pending Permit" card which is enclosed. This notice must be
placed in a conspicuous place, easily readable by the public and as close as
possible to the property line or access road of the proposed development. Such
public posting is required by Section 13054(b) of the California Administrative
Code and serves to inform members of the public that a coastal development is
proposed for posted site. The posted notice will also help our staff member to
locate your property. After you post the notice, please complete the Declaration of
Posting form (Appendix D) and return it to this office. You may do this at the same
time that you submit the application itself.
If you have any questions concerning this procedure, please do not hesitate to
contact this office.
Sincerely,
ALISON J. DETTMER
Manager, Energy and Ocean Resources Unit
Revised 9/9/03
STATE OF CALIFORNIA-THE RESOURCES AGENCY
ARNOLD SCHWARZENEGGER, GOVERNOR
CALIFORNIA COASTAL COMMISSION
45 FREMONT ST. SUITE 2000
SAN FRANCISCO, CA 94105-2219
VOICE (415) 904-5200
FAX (415) 904.5400
G
PERMIT APPLICATION INSTRUCTIONS
A completed application includes the ApPLICATION FOR COASTAL DEVELOPMENT PERMIT, the appendices to
the application, and Required Attachments.
. Please answer all questions. If a question is not applicable to your project, indicate 'N.A."
. Refer to pages 8 - 9 of the ApPLICATION for a list of Required Attachments.
. Incomplete applications will not be accepted for filing.
. All exhibits must be legible.
The following checklist is provided for the convenience of applicants in gathering necessary application
materials; it is not a complete statement of filing requirements.
o Proof of applicant's interest in the property. ................................................................
Assessor's parcel map(s) showing the proposed development site and all adjacent
o properties within 100 feet of the property boundary. ....................................................
Stamped envelopes (no postage meter please) addressed to neighboring property
o owners and occupants and other interested parties and a list of the same. ................
o Vicinity map. ............................................................................................. ...................
0' One set of project plan(s), site plan(s), and applicable other plans. .............................
Copy of any environmental documents (DRAFT AND FINAL EIRs, EISs, NEGATIVE
o DECLARATION) if prepared for the project and any comments and responses. .............
Verification of all other permits, permissions or approvals applied for or granted by
o public agencies. ...........................................................................................................
o Copy of geology or soils report (if necessary). ............................................................
o Local approval ofthe project. ......................................................................................
o Has the Notice of Pending Permit been posted in a conspicuous place? ....................
o Filing fee. ...... .......... ............................ .......................................................................
Have you and the agent (if appropriate) signed the application at the appropriate lines on pages 9,
o 10, and 13?
Page Item
7 1
7 2
7,8 4,5
8 6
8 7,11
8 9
8 10
8 11
Appendix B
_ Appendix D
Appendix E
STATE OF CALIFORNIA-THE RESOURCES AGENCY
ARNOLD SCHWARZENEGGER, GOVERNOR
CALIFORNIA COASTAL COMMISSION
4S FREMONT ST. SUITE 2000
SAN FRANCISCO. CA 94105~2219
VOICE (415) 904-5200
FAX (415) 904-5400
.
APPLICATION FOR COASTAL DEVELOPMENT PERMIT
SECTION I. APPLICANT
1. Name, mailing address, and telephone number of all applicants.
(Area code/daytime phone number)
Note: All applicants for the development must complete Appendix A, the declaration of campaign
contributions.
2. Name, mailing address and telephone number of applicant's representatives, if any. Please include all
representatives who will communicate on beha~ of the applicant or the applicant's business partners, for
compensation, with the Commission or the staff. (It is the applicant's responsibility to update this list, as
appropriate, including after the application is accepted for filing. Failure to provide this information prior to
communication with the Commission or staff may result in denial of the permit or criminal penalties.)
(Area code/daytime phone number)
SECTION II. PROPOSED DEVELOPMENT
Please answer all questions. Where questions do not apply to your project (for instance, project height for a land
division), indicate Not Applicable or N.A.
1. Project Location. Include street address, city, and/or county. If there is no street address, include other
description such as nearest cross streets.
numberstreef
~ co~
Assessor's Parcel Number(s) (obtainable from tax bill or County Assessor):
FOR OFFICE USE ONt Y
ApPLICATION NUMBER
RECEIVEO
FILED
FEE
DATE PAlO
2. Describe the proposed development in detail. Include secondary improvements such as grading, septic
tanks, water wells, roads, driveways, outbuildings, fences, etc. (Attach additional sheets as necessary.)
Existing units
Proposed new units Net number of units on
completion of "act
'.'h':','.":,':;" T~.';:-'~'
Number of ~dr06ms per unit '
(both existi.ng and proposed) ,
. :STyj)e~iownership
, }', proposed '
Drental
Dcondominium
Dstock cooperative
Dtime share
Dother
Nlim.bEl~Qjunits
"{" '
\":;-,~i';:'.;
b. If land division or lot line adjustment, indicate:
Existing lots
Number of lots
Proposed new lots
Net number of lots on
comnletion of oroiect
Size of 'tots fo be created (indicate nel or gi'oss acreage)
Existing Proposed
2
Revised 9/9/03
3. Estimated cost of development (not including cost of land) $
4. Project height: Maximum height of structure (ft.)
. above existing (natural) grade .................................
. above finished grade .............................................
. as measured from centerline of frontage road .......
5. Total number of floors in structure, including
subterranean floors, lofts, and mezzanines.....................
6. Gross floor area excluding parking (sq.ft.) ....................
Gross floor area including covered parking and
accessory buildings (sq.ft.) ...........................................
7. Lot area (within property lines) (sq.ft. or acre) ....................
Lot coverage
........ .' .", "
E. xisting (sq.ff.oraera)
.' ',. . ... ,
. .
New proposed (stiff. 0; acre)
Total (sq.ff.'o~lEre)
Building
Paved area
Landscaped area
Unimproved area
". "..",0.,.,.... . .c>",,'..<.. ,.,.' c.
., . .m"qrahdr ota/(shquldfl(juaf/oi ii~a~ shoWpjry IIMb1i'i'6j.!
8. Is any grading proposed? ............................................................................0 Yes
o No
Ji}'ils; co,!,Plete~th~'fo"6~ing"
a) Amount of cut
d d) Maximum height of
cu. y s.
cut slope
ft.
b) Amountoffill
d ) Maximum height of
cU.ys. e
fill slope
ft.
c) Amount of import or
export (circle which)
Location of borrow
cu. yds. n
or disposal site
Grading. drainage. and erosion control plans must be included with this application, if applicable. In certain areas, an engineering
geology report must also be included. See page 7, items # 7 and 11.
Please list any geologic or other technical reports of which you are aware that apply to this property:
3
Revised 9/9/03
9. Parking:
Number ?fparkingspaces(indicatewhether Standard or compact)
Existing Spaces
Proposed new spaces
"
Net number of spaces on completion of project
Is any existing parking being removed?........................................................
If yes, how many spaces? size
Is tandem parking existing andlor proposed? ...............................................
If yes, how many tandem sets? size
10 Are utility extensions for the following needed to serve the project? (Please check yes or no)
DYes
D No
DYes
o No
a) water
o
Yes
o No
b) gas
o
Yes
o No
c) sewer
o
Yes
o No
d) electric
D
Yes
D No
e) telephone
o
Yes
o No
Will electric or telephone extensions be above-ground? ..............................
11. Does project include removal of trees or other vegetation? .........................
If yes, indicate number, type and size of trees
DYes 0 No
DYes 0 No
or type and area of other vegetation
SECTION III. ADDITIONAL INFORMATION
The relationship of the development to the applicable items below must be explained fully. Attach additional
sheets if necessary.
1. Present use of property.
a. Are there existing structures on the property? ....................................... DYes D No
. " ,,' '
If yes, describe' ,
',., '
,
, ',"
4
Revised 9/9/03
b. Will any existing structures be demolished? ..........................................
Will any existing structures be removed? ..............................................
DYes
DYes
o No
o No
If yes to either question, describ~ the type of deVelopment to be del116Ji~h~d or removed, Including the relocaffon sHe, H
appliC~ble. .. ..... ..' . . . . ...... . ....... .. .... .
2. Is the proposed development to be governed by any Development
Agreement? ......................................... ................. ........................................ 0 Yes 0 No
3. Has any application for development on this site including any subdivision
been submitted previously to the California Coastal Zone Conservation 0 0
Commission or the Coastal Commission? ................................................... Yes No
If yes, state previous application number(s)
4. a. Is the development between the first public road and the sea (including
lagoons, bays, and other bodies of water connected to the sea) ............ 0 Yes 0 No
b. If yes, is public access to the shoreline and along the coast currently
available on the site or near the site? .................................................... 0 Yes 0 No
. _' ,,_,;n,;", __ , " ::'___.. ,. ",,'" _,;,,_,'_' ': ,.,,' ,,) " ,,_ ".,.' '::' ~::""_<" ,,__ . '_"_:: ____ ,''''~__<:_:_..,.' '< '
Ifyes,indicati/theloeation and f}atlire ofilie access, including the'distance fniin theprojeCt siie;J;f appliCable.
, .." ,_ '" ','" . ,; ",...._ :",.. . .. ." . - ,," '\. " ,." . ~', ..1.",."._"....", "," ,," """ ,".,,' 'd
,"..'
c. Will the project have an effect on public access to and along the
shoreline, either directly or indirectly (e.g., removing parking used for
access to the beach)? ............................................................................
DYes 0 No
If yes, desciibe the effect.
.
. .'
5
Revised 9/9/03
5. Does the development involve diking, filling, draining, dredging or placing structures in open coastal
waters, wetlands, estuaries, or lakes? (Please check yes or no)
a) diking
o
Yes
b) filling
o
Yes
o No
c) dredging
DYes
d) placement of structures
DYes
o No
o No
o No
Amount of material to be dredged or filled (indicate which)
Location of dredged material disposal site
Has a U.S. Army Corps of Engineers' permit been applied for? ..................
6. Will the development extend onto or adjoin any beach, tidelands,
submerged lands or public trust lands? .......................................................
cu.yds
DYes 0 No
DYes 0 No
0 Yes 0 No
0 Yes 0 No
'. . .
..
8. Will the proposed development convert land currently or previously used for
agriculture to another use? .......................................................................... 0 Yes 0 No
If yes, how many acres will be converted?
9. Is the proposed development in or near:
a. Sensitive habitat areas (Biological survey may be required) .......................:...
b. Areas of state or federally listed rare, threatened, or endangered
species ..................................................................................... ..............
c. 100-year floodplain (Hydrologic mapping may be required) ............................
d. Park or recreation area ..........................................................................
10. Is the proposed development visible from:
a. State Highway 1 or other scenic route ...................................................
6
Revised 9/9103
0 Yes 0 No
0 Yes 0 No
0 Yes 0 No
0 Yes 0 No
DYes 0 No
b. Park, beach, or recreation area .............................................................
c. Harbor area ............................................................................... ............
11. Does the site contain any: (If yes to any of the following, please explain on an attached sheet.)
DYes
DYes
o No
o No
DYes
DYes
DYes
a. Historic resources .................................................................................
b. Archaeological resources ......................................................................
c. Paleontological resources .....................................................................
12. Where a stream or spring is to be diverted, provide the following information:
Estimated streamflow or spring yield (gpm)
If well is to be used, existing yield (gpm)
If water source is on adjacent property, attach Division of Water Rights approval and property owner's
approval.
o No
o No
o No
SECTION IV. REQUIRED ATTACHMENTS
The following items must be submitted with this form as part of the application.
1. Proof of the applicant's legal interest in the property. A copy of any of the following will be
acceptable: current tax bill, recorded deed, lease, easement, or current policy of title insurance.
Preliminary tille reports will not be accepted for this purpose. Documentation reflecting intent to
purchase such as a signed Offer to Purchase along with a receipt of deposit or signed final escrow
document is also acceptable, but in such a case, issuance of the permit may be contingent on
submission of evidence satisfactory to the Executive Director that the sale has been completed.
The identity of all persons or entities which have an ownership interest in the property superior to that
of the applicant must be provided.
2. Assessor's parcel map(s) showing the page number, the applicant's property, and all other
properties within 100 feet (excluding roads) of the property lines of the project site. (Available from
the County Assessor.)
3. Copies of required local approvals for the proposed project, including zoning variances, use
permits, etc., as noted on Local Agency Review Form, Appendix B. Appendix B must be completed
and signed by the local government in whose jurisdiction the project site is located.
4. Stamped envelopes addressed to each property owner and occupant of property situated
within 100 feet of the property lines of the project site (excluding roads), along with a list
containing the names, addresses and assessor's parcel numbers of same. The envelopes must
be plain (I.e., no return address), and regular business size (9 1/2' x 4 1/8"). Include first class
postage on each one. Metered postage is not acceptable. Use Appendix C, attached, for the listing
of names and addresses. (Alternate notice provisions may be employed at the discretion of the
District Director under extraordinary circumstances.)
7
Revised 9/9/03
5. Stamped, addressed envelopes (no metered postage, please) and a list of names and
addresses of all other parties known to the applicant to be interested in the proposed
development (such as persons expressing interest at a local government hearing, etc.).
6. A vicinity or location map (copy of Thomas Bros. or other road map or USGS quad map) with the
project site clearly marked.
7. Copy(s) of plans drawn to scale, including (as applicable):
. site plans
. floor plans
. building elevations
. grading, drainage, and erosion control plans
. landscape plans
. septic system plans
Trees to be removed must be marked on the site plan. In addition, a reduced site plan, 81/2' x 11' in
size, must be submitted. Reduced copies of complete project plans will be required for large projects.
NOTE: See Instruction page for number of sets of plans required.
8. Where septic systems are proposed, evidence of County approval or Regional Water Quality Control
Board approval. Where water wells are proposed, evidence of County review and approval.
9. A copy of any Draft or Final Negative Declaration, Environmental Impact Report (EIR) or
Environmental Impact Statement (EIS) prepared for the project. If available, comments of all
reviewing agencies and responses to comments must be included.
10. Verification of all other permits, permissions or approvals applied for or granted by public
agencies such as:
. Department of Fish and Game
. State Lands Commission
. Army Corps of Engineers
. U.S. Coast Guard
For projects such as seawalls located on or near state tidelands or public trust lands, the Coastal
Commission must have a written determination from the State Lands Commission whether the
project would encroach onto such lands and, if so, whether the State Lands Commission has
approved such encroachment. See memo to 'Applicants for shorefront development" dated
December 13, 1993.
11. For development on a bluff face, bluff top, or in any area of high geologic risk, a comprehensive, site-
specific geology and soils report (including maps) prepared in accordance with the Coastal
Commission's Interpretive Guidelines. Copies of the guidelines are available from the District Office.
SECTION V. NOTICE TO APPLICANTS
Under certain circumstances, additional material may be required prior to issuance of a coastal
development permit. For example, where offers of access or open space dedication are required,
8
Revised 9/9/03
preliminary title reports, land surveys, legal descriptions, subordination agreements, and other outside
agreements will be required prior to issuance of the permit.
In addition, the Commission may adopt or amend regulations affecting the
issuance of coastal development permits. If you would like notice of such
proposals during the pendency of this application, if such proposals are
reasonably related to this application, indicate that desire.....................................
DYes 0 No
SECTION VI. COMMUNICATION WITH COMMISSIONERS
Decisions of the Coastal Commission must be made on the basis of information available to all
commissioners and the public. Therefore, permit applicants and interested parties and their representatives
are advised not to discuss with commissioners any matters relating to a permit outside the public hearing.
Such contacts may jeopardize the fairness of the hearing and result in invalidation of the Commission's
decision by court. Any written material sent to a commissioner should also be sent to the commission office
for inclusion in the public record and distribution to other Commissioners.
SECTION VII. CERTIFICATION
1. I hereby certify that I, or my authorized representative, have completed and posted or will post the
Notice of Pending Permit card in a conspicuous place on the property within three days of
submitting the application to the Commission office.
2. I hereby certify that I have read this completed application and that, to the best of my knowledge, the
information in this application and all attached appendices and exhibits is complete and correct. I
understand that the failure to provide any requested information or any misstatements submitted in
support of the application shall be grounds for either refusing to accept this application, for denying
the permit, for suspending or revoking a permit issued on the basis of such misrepresentations, or for
seeking of such further relief as may seem proper to the Commission.
3. I hereby authorize representatives of the California Coastal Commission to conduct site inspections
on my property. Unless arranged otherwise, these site inspections shall take place between the
hours of 8:00 A.M. and 5:00 P.M.
Signature of Authorized Agent(s) or if no agent, signature of Appticant
NOTE: IF SIGNED ABOVE BY AGENT, APPLICANT MUST SIGN BELOW.
SECTION VIII. AUTHORIZATION OF AGENT
I hereby authorize
and to bind me in all matters concerning this application.
to act as my representative
Signature of Appficant(s)
(Only the applicant(s) may sign here 10 authorize an agent)
9
Revised 9/9/03
APPLICATION FOR COASTAL DEVELOPMENT PERMIT
APPENDIX A
DECLARATION OF CAMPAIGN CONTRIBUTIONS
Government Code Section 84308 prohibits any Commissioner from voting on a project if he or she has
received campaign contributions in excess of $250 within the past year from project proponents or
opponents, their agents, employees or family, or any person with a financial interest in the project.
In the event of such contributions, a Commissioner must disqualify himself or herself from voting on the
project.
Each applicant must declare below whether any such contributions have been made to any of the listed
Commissioners or Alternates (see last page).
CHECK ONE
D
The applicants, their agents, employees, family and/or any person with a financial
. interest in the project have not contributed over $250 to any Commissioner{s) or
Altemate{s) within the past year.
D
The applicants, their agents, employees, family, and/or any person with a financial
interest in the project have contributed over $250 to the Commissioner{ s) or
Altemate{ s) listed below within the past year.
Commissioner or Alternate
Commissioner or Alternate
Commissioner or Alternate
Signature of Appiicant or Authorized Agent
Date
Please type or print your name
10
Revised 9/9/03
APPENDIX B
LOCAL AGENCY REVIEW FORM
SECTION A (To BE COMPLETED BY APPLICANT)
Applicant
Project Description
Location
Assesso~s Parcel Number
, . '.. . " .'. .'. ,.'.... ..... ..' '. . ..' m,. .'; . . '." ',<:
. SECTION B (To BE COMPLETED ;By'lOC..,L PLANNING OR BuilDING INSPECTIOrl'jj;;PARTMENT) ..
Zoning Designation du/ac
General or Community Plan Designation du/ac
Local Discretionary Approvals
D Proposed development meets all zoning requirements and needs no local permits other than building
permils.
D Proposed development needs local discretionary approvals noted below.
Needed Received
D D Design/Architectural review
D D Variance for
D D Rezone from
D D Tentative Subdivision/Parcel Map No,
D D Grading/Land Development Permit No.
D D Planned Residential/Commercial Development Approval
D D Site Plan Review
D D Condominium Conversion Permit
D D Conditional, Special, or Major Use Permit No.
D D Other
CEQA Status
D Categorically Exempt Class Item
D Negative Declaration Granted (Date)
D Environmental Impact Report Required, Final Report Certified (Date)
D Other
Prepared for the City/County of by
Date Title
11
Revised 9/9/03
Application No.
APPENDIX C
LIST OF PROPERTY OWNERS AND OCCUPANTS WITHIN 100 FEET AND THEIR ADDRESSES
(MAKE ADDITIONAL COPIES OF THIS SHEET AS NECESSARY)
12
Revised 9/9/03
APPENDIX D
(Permit Application)
DECLARATION OF POSTING
Prior to or at the time the application is submitted for filing, the applicant must post, at a conspicuous place, easily read by
the public and as close as possible to the site of the proposed development, notice that ail application for the proposed
development has been submitted to the Commission. Such notice shall contain a general description of the nature of the
proposed development. The Commission furnishes the applicant with a standardized form to be used for such posting. If the
applicant fails to post the completed notice form and sign the Declaration of Posting, the Executive Director of the
Commission shall refuse to file the application. 14 Cai. Code Regs. Section 13054(d).
Please sign and date this Declaration of Posting form when the site is posted; it serves as proof of posting. It should be
retumed to our office with the application.
Pursuant to the requirements of California Administrative Code Section 13054(b), I hereby certify
that on,
laate at pasting)
of Pending Permit for application to obtain a coastal development permit for the development of
I or my authorized representative posted the Notice
laescnptlon at aevelopmem}
Located at
{seeress aT aevelopmem or assessors parcet numoer)
The public notice was posted at
{8 conSpiCUOUS place, easilY seen oy me PUDIIC ana as Close as posSIDle to me site at me proposea aeVBlopmem}
(Signature)
(date)
NOTE: Your application cannot be processed until this Declaration of Posting is signed and returned to this office.
FOR OFFICE USE ONL Y
PERMIT NUMBER ..................
RECEIVED ..................... .......
DECLARATION COMPLETE .....
APPENDIX E
PERMIT ApPLICATION FEE SCHEDULE
EFFECTIVE JANUARY 1, 1998, ALL PERMIT APPLICATION FEES ARE DEPOSITED IN THE COASTAL ACCESS ACCOUNT OF THE STATE COASTAL
CONSERVANCY FUND. MONIES IN THE ACCOUNT ARE AVAILABLE TO PUBLIC AGENCIES AND OTHER ORGANIZATIONS FOR THE DEVELOPMENT,
MAINTENANCE, AND OPERATION OF PUBLIC SHORELINE ACCESS FACILITIES (PUBLIC RESOURCES CODE SECTION 30620(c)(2)).
I.
RESIDENTIAL PROJECTS
A. New single-family dwellings
De minimis waiver ..........................................................................................
Administrative permit .....................................................................................
Regular calendar
If 1,500 or less square feet 2 ..................................................................
If 1,501 to 5,000 square feet 2................................................................
If 5,001 or more square feet 2 ................................................................
B. Additions or improvements to single-family dwellings
De minimis waiver ..........................................................................................
If handled as an amendment to a previous coastal development permit,
see Amendments (Section 11I.0.) below.
If not a waiver or an amendment to a previous coastal development permit,
the fee is assessed according to the schedule in A. above (i.e., based on
the calendar and/or size of the addition, plus the grading fee, if applicable).
C. Multiple residential projects (including residential subdivisions,
resubdivisions and condominium conversions) 4
2-4 units................................. ......................................................... ..............
5-16 units ................................ ......................................................................
17-166 units ..................................................................................................
167 units or more ...........................................................................................
o
0$
$
o
0$
0$
$
o
200
2001
2503
5003
1,0003
$
200
o
o $ 6003
o $ 2,0003
o $120/unit3
$ 20,000 3
1 Fee changes if removed from the Administrative Calendar and rescheduled on the Regular Calendar. Additional fee amount must be paid before
item is scheduled for hearing on the Regular Calendar.
2 Including gross internal floor space of main house, attached garage(s), covered patios, plus any detached structures intended for human
habitation (e.g., guest houses, detached bedrooms, in-law units); not including patios or decks open to the sky, detached garages, bams, art
studios, tool sheds, and other outbuildings not primariiy intended for human habitation.
3 Grading fee applies; see Item F.
4 ~f4'nd division and construction of residences are proposed together, the fee is based solely upon the construction of residences.
D. lot line adjustment ...................................................................................... 0 $ 6003
E. Divisions of land where there are single-family
residences already built and only one new lot is created......................... 0 $ 6003
F. Grading fee for residential projects
For residential projects that are not scheduled on the
administrative calendar, if more than 75 cubic yards of
grading is proposed, an additional fee applies ............................................... 0 $ 200
II. OFFICE, COMMERCIAL, CONVENTION, INDUSTRIAL
A. New structures
Up to and including 1,000 sq.ft. (gross)..........................................................
1,001 to 10,000 sq.ft. (gross) .........................................................................
10,001 sq.ft. up to 25,000 sq.ft. (gross)..........................................................
25,001 sq.ft. up to 50,000 sq.ft. (gross)..........................................................
50,001 sq.ft. up to 100,000 sq.ft. (gross)........................................................
100,001 or more sq.ft. (gross) ........................................................................
Major energy production or fuel processing facility ........................................
B. Additions or improvements
Regular calendar: see II.A. above
Otherwise: see III. below
III. FEES FOR PROJECTS NOT COVERED IN I. OR II. ABOVE
A. Administrative permit.................................. ....................................................
B. Emergency permit...................................... ....................................................
C. Amendments
Immaterial amendments ........................................................................
Material amendments ................ [50% of fee applicable to underlying
permit if it were submitted today]
0$
0$
0$
0$
0$
0$
0$
0$
0$
0$
0$
500
2,000
4,000
B,OOO
12,000
20,000
20,000
2001
2005
200
5 When followed by a regular permit application, the $200 emergency ap~i~tion fee is credited toward the follow-up permit fee.
Revised 9/9/03
D. Extensions 7 and Reconsiderations
Single-family residences ........................................................................ D $ 200
All other developments .......................................................................... D $ 400
E. Request for continuance
1st request ............................................................................................. D No charge
Each subsequent request
(where Commission approves the continuance) .................................... D $ 100
F. De minimis and other waivers ........................................................................ D $ 200
G. Public works facilities ........................................ [if public agency is applicant] D No charge
H. Temporary events .....................~f not scheduled on administrative calendar] D $ 500
IV. ANY OTHER DEVELOPMENT NOT OTHERWISE COVERED
Development cost up to and including $100.000....................................................
$100,001 to $500,000 ............................................................................................
$500,001 to $1,250,000 ............ ............. ................................................................
$1,250,001 to $2,500,000 ....................................................... ...............................
$2,500,001 to $5,000,000 ...................... ................................................................
$5,000,001 or more................................................................................................
TOTAL SUBMITTED
ADDITIONAL NOTES
D$
D$
D$
D$
D$
D$
600
2,000
4,000
8,000
12,000
20,000
$
1. Fees are assessed at the time of application, based on the project as proposed initially. If the size of a proposed
dwelling or the amount of proposed grading is amended during the application review process, the fee is not changed.
2. If different types of development are included on one site under one application, the fee is based on the sum of each fee
that would apply if each development were applied for separately, not to exceed $20,000 (except as indicated in
footnote 4).
3. Fees for afler-the-fact permits shall normally be double the regular permit fee unless such added increases are waived
by the Executive Director when it is determined that the permit could be processed by staff without significant additional
review time resulting from the processing of the violation.
16
7 If permit extension is objected to by Commission and application is set for a new hearing, then .a new application fee is required, based on type of
development and/or appiicable calendar.
Revised 9/9/03
4.
5. The fee for development consisting of a change in intensity of use shall be based upon development cost as set forth in
part IV.
6. Permits shall not be issued without full payment of all applicable fees. If overpayment of a fee occurs, a refund will be
issued.
7. If a permit application is withdrawn, a refund will be due only if no significant staff review time has been expended (e.g.,
the staff report has not yet been prepared). Denial of a permit application by the Commission is not grounds for a
refund.
8. The application fee shall be determined from the type and size of the proposed development, except where size is not
readily determined and where the project is a change in intensity of use. In addition, if there is conflict over the
applicable fee, the Executive Director may use the project cost to determine the fee.
9. In addition to the above fees, the Commission may require the applicant to reimburse it for any additional reasonable
expenses incurred in its consideration of the permit application, including the costs of providing public notice.
.10. The Executive Director shall waive the application fee where requested by resolution of the Commission.
SEE SECTION 13055 OF THE COMMISSION'S REGULATIONS (CALIFORNIA CODE OF REGULATIONS, TITLE 14) FOR
FULL TEXT OF THE REQUIREMENTS.
TO BE COMPLETED BY STAFF
SUBMITTED FEE VERIFIED BY: DATE:
Is SUBMITTED AMOUNT CORRECl1
o Yes. Applicant has correctly o Applicant did not fill out form, o No. Why?
characterized the development, thus staff has marked the form
and payment is appropriate. to compute the fee, and applicant
has paid fee.
REFUNO OR AODITIONAL FEE REQUIRED? (STATE REASON)
o Refund amount ( )
o Additional fee amount ( )
, ~, " ,..... 0 t ," ,"'" ," r. .. >.... "'l . II ~ ' " ?
, ,y... '_"" ' " ",;f _^' ;; ", "REMINDER: RECORD FEE:PAYMENT IN PERMIT LOG ' '{'~"1' '~'\ ' .;.>..~ 1 . I" ;:'~ "
FINAL FEE VERIFIED BY: (TO BE COMPLETED AFTER COMMISSION ACTION) DATE:
17
Revised 9/9/03
NOTICE OF
PENDING PERMIT
A PERMIT APPLICATION FOR DEVELOPMENT ON THIS SITE IS
PENDING BEFORE THE CALIFORNIA COASTAL COMMISSION.
PROPOSED DEVELOPMENT:
LOCATION:
APPLICANT:
APPLICATION NUMBER:
DATE NOTICE POSTED:
FOR FURTHER INFORMATION, PLEASE PHONE OR WRITE THE
OFFICE LISTED BELOW BETWEEN 8 A.M. AND 5 P.M., WEEKDAYS.
CALIFORNIA COASTAL COMMISSION
ENERGY AND OCEAN RESOURCES UNIT
. 45 FREMONT STREET, SUITE 2000
SAN FRANCISCO, CA 94105-2219
(415) 904-5240
APPENDIX F:
ROPRO TWO-PASS WITH INTERPASS PUMP SUMMARY
KOCH Membrane Systems, Inc.
Project:
Prepared By:
ROPRO Ver. 7.0-CP
Date: Dec-12-2005
Description:
Type: Two Pass with Interpass Pump
PROJECT SUMMARY
PROCESS FLOW DIAGRAM
4 5
~
19
IG KOCH
MEMBRANE SYSTEMS
RO Recovery [13/4] = 43.1\ OVerall System Rec [17/(4+15)] = 43.1\
Design Temperature = 65.0 Deg F
PASS 1
Array Recovery [7/6]
Element Age
Fouling Allowance (FA)
= 45.0\
= 0.00 Years
= 15.0\
ASS 2
ray Recovery [11/10]
1ement Age
ou1ing Allowance (FA)
= 85.0\
= 0.00 Years
= 5.0%
Tubes E1ems Avg Tubes E1ems Avg
Bank Element Type /Bank /Tube Flux 1ement Type /Bank /Tube Flux
(GFD) (GFD)
1 TFC 2822SS-300 100 7 10.3 FC 8822HR-400 10 7 23.2
2 FC 8822HR-400 5 7 19.2
System/Pass Total 10.3 ystem/Pass Total 21.9
Pressure Flow Rate TDS 180C Hardness Chloride
with FA
Stream (Psig) (USGPM) (mg/L) (CaC03) (mg/L)
1 0.0 3222.0 35830.71 6512.7 19820.0
4 0.0 3222.0 35830.71 6512.7 19820.0
5 0.0 3222.0 35831. 09 6512.7 19820.0
6 1002.2 3334.5 34670.56 6294.7 19179.8
7 0.0 1500.5 219.13 8.1 129.2
9 0.0 750.3 219.13 8.1 129.2
10 256.1 750.3 219.13 8.1 129.2
11 0.0 637.7 2.97 0.1 1.7
13 0.0 1388.0 119.81 4.4 70.6
16 0.0 1388.0 119.81 4.4 70.6
17 0.0 1388.0 127.93 4.4 70.6
18 994.0 1834.0 62858.12 11438.3 34766.7
19 191. 9 112.5 1444.97 53.5 851.7
KOCH Membrane Systems, Inc.
ROPRO Ver. 7.0-CP
Date: Dec-12-2005
Project:
Prepared By:
Description:
Type: Two Pass with Interpass Pump
ARRAY SUMMARY - PASS 1
Permeate Flow 1500.5 USGPM Temp (Design/Avg) 65.0/ 65.0 Deg F
Pass Recovery 45.0 % Fouling Allowance (FA) 15.0 %
Inlet Pres w/o FA 917.4 psig Cone. Pres w/o FA 909.2 psig
Inlet Pres w/FA 1002.2 Psig
Tubes Elems Elems E1em Boost Manifold Perm Back
Bank Element Type /Bank /Tube /Bank Age Pressure Loss Pressure
(#) (#) (#) (Yr) (Psig) (psig) (psig)
1 TFC 2822SS-300 100 7 700 0.00 0.0 0.0 0.0
Total Tube Total Tube Avg Inlet Avg Bank Final
Bank Feed Feed Cone. Cone. Flux Pres NDP DP Element
(GPM) (GPM) (GPM) (GPM) (GFD) (Psig) (psig) (Psig) Beta
1 3334.5 33.3 1835.2 18.4 10.3 917.4 400.6 8.2 1.042
System 10.3
Net Feed Trt Feed RO Inlet Cone. Permeate
Stream Number 4 5 6 18 7
Concentration (mg/L) (mg/L) (mg/L) (mg/L) (mg/L)
Ca++ 418.00 418.00 404.01 734.14 0.52
Mg++ 1328.00 1328.00 1283.55 2332.38 1.65
Na+ 11031.00 11031. 00 10676.51 19346.36 80.03
K+ 397.00 397.00 384.43 695.91 3.74
NH4+ 0.00 0.00 0.00 0.00 0.00
Sr++ 0.00 0.00 0.00 0.00 0.00
Ba++ 0.00 0.00 0.00 0.00 0.00
Fe++ 0.00 0.00 0.00 0.00 0.00
Mn++ 0.00 0.00 0.00 0.00 0.00
C03-- 0.00 0.73 0.70 1.28 0.00
HC03- 146.00 145.29 140.82 254.50 1.95
S04-- 2765.00 2765.00 2672.37 4856.34 3.08
Cl- 19820.00 19820.00 19179.82 34766.73 129.15
N03- 0.00 0.00 0.00 0.00 0.00
F- 0.00 0.00 0.00 0.00 0.00
si02 0.00 0.00 0.00 0.00 0.00
CO2 4.15 4.13 4.12 4.12 4.07
Sum of Ions 35905.00 35905.02 34742.21 62987.62 220.12
TDS (180 C) 35830.71 35831.09 34670.56 62858.12 219.13
pH 7.80 7.80 7.50 8.04 5.93
Hardness (as CaC03 ) 6512.67 6512.67 6294.67 11438.25 8.07
Osm Pressure. (psig) 366.29 366.28 354.46 642.51 2.39
Langlier Index 0.88 0.88 0.55 1.59 -5.88
Stiff-Davis Index -0.21 -0.21 -0.53 0.29
Membrane data file version: May-03-2004
Please review the Design Notes & Warnings page attached.
System Concentrate Saturation> 1.0, See warnings sheet.
KOCH Membrane Systems, Inc.
ROPRO Ver. 7.0-CP
Date: Dec-12-2005
Project:
Prepared By:
Description:
Type: Two Pass with Interpass Pump
ARRAY SUMMARY - PASS 2
Permeate Flow 637.7 USGPM Temp (Design/Avg) 65.0/ 65.0 Deg F
Pass Recovery 85.0 % Fouling Allowance (FA) 5.0 %
Inlet Pres w/o FA 244.0 psig Cone. Pres w/o FA 179.8 Psig
Inlet Pres w/FA 256.1 psig
Tubes Elems Elems Elem Boost Manifold Perm Back
Bank Element Type /Bank /Tube /Bank Age Pressure Loss Pressure
(#) (#) (#) (Yr) (Psig) (Psig) (psig)
1 TFC 8822HR-400 10 7 70 0.00 0.0 0.0 0.0
2 TFC 8822HR-400 5 7 35 0.00 0.0 0.0 0.0
Total Tube Total Tube Avg Inlet Avg Bank Final
Bank Feed Feed Cone. Cone. Flux Pres NDP DP Element
(GPM) (GPM) (GPM) (GPM) (GFD) (Psig) (psig) (psig) Beta
1 750.3 75.0 298.3 29.8 23.2 244.0 220.2 37.9 1.125
2 298.3 59.7 111. 9 22.4 19.2 206.1 181.5 26.3 1.135
System 21.9
RO Inlet Cone. Permeate
Stream Number 10 19 11
Concentration (mg/L) (mg/L) (mg/L)
Ca++ 0.52 3.43 0.00
Mg++ 1.65 10.90 0.01
Na+ 80.03 527.70 1.03
K+ 3.74 24.61 0.06
NH4+ 0.00 0.00 0.00
Sr++ 0.00 0.00 0.00
Ba++ 0.00 0.00 0.00
Fe++ 0.00 0.00 0.00
Mn++ 0.00 0.00 0.00
C03 -- 0.00 0.00 0.00
HC03- 1.95 12.84 0.38
S04-- 3.08 20.37 0.02
Cl- 129.15 851.66 1.65
N03- 0.00 0.00 0.00
F- 0.00 0.00 0.00
Si02 0.00 0.00 0.00
CO2 4.07 4.06 3.82
Sum of Ions 220.12 1451.50 3.16
TDS (180 C) 219.13 1444.97 2.97
pH 5.93 6.75 5.25
Hardness (as CaC03 ) 8.07 53.46 0.06
Osm Pressure (psig) 2.39 15.79 0.03
Langlier Index -5.88 -3.33 -8.75
Stiff-Davis Index
Membrane data file version: May-03-2004
Please review the Design Notes & Warnings page attached.
Warnings were generated - see warning sheet for details.
System Concentrate Saturation> 1.0, See warnings sheet.
L
KOCH Membrane Systems, Inc.
ROPRO Ver. 7.0-CP
Date: Dec-12-2005
Project:
Prepared By:
Description:
Type: Two Pass with Interpass Pump
CHEMICAL ADDITION
No Chemical Treating
CONCENTRATE SATURATION DATA - STREAM
Langlier Index =
Stiff-Davis Index =
18
1.588
0.289
<-- Warning: Scaling Potential
<== Warning: Scaling Potential
DESIGN WARNINGS - PASS 1: None
DESIGN WARNINGS - PASS 2: None
APPROXIMATE PUMPING POWER REQUIREMENTS (kW)
Feed pumping power (w/FA) @65.0% efficiency
Interbank pumping power @65.0% efficiency
Feed pumping power (w/FA) @65.0% efficiency
Interbank pumping power @65.0% efficiency
2236.71
0.00
128.59
0.00
NOTE
This projection is the anticipated performance and is based on nominal
properties of the elements, with manifold losses as included.
The fouling allowance option (if included) increases the required 'clean water'
net driving pressure by the stated percentage. Program default values are
estimates only, and may not be representative of the actual fouling potential of
the water source.
This software is provided by Koch Membrane Systems, Inc as a service. The
projections are based upon input by the User, and assume that sound engineering
principles and practices have been followed.
This printout should not be considered a warranty or guarantee unless
accompanied by a statement to that effect from Koch Membrane Systems, Inc.
KOCH Membrane Systems, Inc.
ROPRO Ver. 7.0-CP
Date: Dec-12-2005
Project:
Prepared By:
Description:
Type: Two Pass with Interpass Pump
PRODUCT STREAM SUMMARY
Stream Temperature
Flow Rate Design Average
Stream Name (USGPM) (Deg F) (Deg F)
13 Permeate 1388 65.0 65.0
14 Stripped Permeat 1388 65.0 65.0
15 Feed Bypass 0 77.0 77.0
16 Blended Product 1388 65.0 65.0
17 Treated Product 1388 65.0 65.0
CHEMICAL ADDITION
136.8 Ib/day of 99% Soda Ash (Na2C03) is required to achieve the target pH in
stream [17].
PRODUCT STREAM COMPOSITIONS
Stream Number 13 14 15 16 17
Concentration (mg/L) (mg/L) (mg/L) (mg/L) (mg/L)
Ca++ 0.28 0.28 0.00 0.28 0.28
Mg++ 0.90 0.90 0.00 0.90 0.90
Na+ 43.74 43.74 0.00 43.74 47.26
K+ 2.05 2.05 0.00 2.05 2.05
NH4+ 0.00 0.00 0.00 0.00 0.00
Sr++ 0.00 0.00 0.00 0.00 0.00
Ba++ 0.00 0.00 0.00 0.00 0.00
Fe++ 0.00 0.00 0.00 0.00 0.00
Mn++ 0.00 0.00 0.00 0.00 0.00
C03 -- 0.00 0.00 0.00 0.00 0.03
HC03- 1. 23 1.23 0.00 1.23 10.54
S04 -- 1.67 1.67 0.00 1.67 1.67
Cl- 70.57 70.57 0.00 70.57 70.57
N03- 0.00 0.00 0.00 0.00 0.00
F- 0.00 0.00 0.00 0.00 0.00
Si02 0.00 0.00 0.00 0.00 0.00
CO2 3.96 3.96 0.00 3.96 0.60
Sum of Ions 120.44 120.44 0.00 120.44 133.29
TDS (180 C) 119.81 119.81 0.00 119.81 127.93
pH 5.75 5.75 7.00 5.75 7.50
Hardness (as CaC03) 4.39 4.39 0.00 4.39 4.39
Osm Pressure (psig) 1.31 1.31 0.00 1.31 1.41
Langlier Index -6.55 -6.55 -7.00 -6.55 -3.86
Stiff-Davis Index
L
.-.='''--1.