08.j. SLO Sanitation District FOG andSSMP Audit Programs2 lNCORWRITE0 & @ C JULY 10. 1011 +
'4 I F .RH'~
MEMORANDUM
TO: CITYCOUNCIL
FROM: DOUG PERRIN, DIRECTOR OF RECREATION AND MAINTENANCE
SERVICES 0.f
BY: SHANE TAYLOR, MAINTENANCE SERVICES SUPERVISOR
SUBJECT: CONSIDERATION OF A MEMBER AGENCY AGREEMENT WITH THE
SOUTH SAN LUIS OBISPO COUNTY SANITATION DISTRICT TO
MANAGE THE FOG CONTROL AND SSMP AUDIT PROGRAMS
DATE: JULY 10,2012
RECOMMENDATION:
It is recommended that the Council approve a two year Member Agency Agreement for
the South San Luis Obispo County Sanitation District (SSLOCSD) to continue to
manage the FOG (Fats, Oils, Grease) control program and SSMP (Sewer System
Management Plan) audits.
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
In FY 201 1-12 the City's cost per the agreement was $21,000, which included the cost
for the audit. The cost of the proposed agreement is estimated at $18,000 for FY
201 211 3 and $21,000 for FY 201 311 4. The $3,000 fluctuation in price covers the cost for
the required biennial audit, which will be required in FY 2013-14. Funding is included in
the FY 201 2-1 3 Sewer Fund Contractual Services account (61 2-461 0-5303). Funding
will need to be allocated in the FY 2013-14 Budget. The estimated staff hours required
to implement the recommendation is twenty (20) hours per year.
BACKGROUND:
The State Water Resources Control Board (SWRCB) issued GWDR Order No. 2006-
0003-DWQ in 2006. The order was amended by Order No. WQ 2008-0002-EXEC in
2008. Both orders required the creation and implementation of an SSMP by August
2009 for Arroyo Grande and Grover Beach, and by May 2010 for the Oceano CSD.
SSMPs are required to be formally audited a minimum of every two (2) years and
completely updated every five (5) years. The City is in compliance with the orders and
the SSMP was audited in May of this year.
Agenda Item 8.j.
Page 1
CITY COUNCIL
CONSIDERATION OF MEMBER AGENCY AGREEMENT WITH THE SOUTH SAN
LUIS OBISPO COUNTY SANITATION DISTRICT
JULY 10,2012
PAGE 2
SSLOCSD provides wastewater treatment and trunk sewer collection services to the
City of Arroyo Grande, City of Grover Beach, and the Oceano Community Services
District. The service area is 9.45 square miles and supports an approximate population
of 38,000. The SSLOCSD has been administering the City's Fog ControlProgram since
2007. Implementation of the FOG Control Program in the City has resulted in a
noticeable decrease in the levels of FOG in the sewer collection system by maintenance
workers. The results of the programs have been excellent, and compliance with FOG
Control Program requirements has been achieved. Staff recommends that a new two-
year agreement with SSLOCSD be approved, based on price, knowledge, past
performance and experience in managing the FOG Control and SSMP Programs.
ANALYSIS OF ISSUES:
This funding will provide for the administration of the FOG Control Program, specifically
coordinating with the Member Agencies for permitting, inspections and program
compliance. 'The funding will also provide for General Waste Discharge Requirements
(GWDR) support consisting mainly of updates and biennial audits to the City's Sewer
System Management Plan (SSMP). The SSMP is a requirement under State Water
Board GWDR Order No. 2006-0003-DWQ which was amended by Order No. WQ 2008-
0002-EXEC. Tables depicting approximate program funding by Member Agencies are
provided below.
Member
Agency
City of Arroyo
Grande 1 54 1 154 1 48 1 202 1 $18.000 I
FOG
Facilities
Included
FOG
Program
Hours
City of Grover
Beach
Oceano
Community
Services District
Estimated
Facilities and
Hours
SSMP Hours
54
16
124
Estimated FOG
and SSMP
Program Hours
154
49
357
Estimated
Annual
Program Costs
48
48
144
202
97
Estimated FOG
and SSMP
Program Costs
$ 18,000
$9,000
$45,000
Agenda Item 8.j.
Page 2
CITYCOUNCIL
CONSIDERATION OF MEMBER AGENCY AGREEMENT WITH THE SOUTH SAN
LUIS OBISPO COLINTY SANITATION DISTRICT
JULY 10,2012
PAGE 3
Member
Agency 1 FOG
Facilities
Included
'The decision to have the SSLOCSD create, implement, and manage the FOG Control
Program and SSMP is driven by the fact that there were expensive, duplicative efforts
by each of the member agencies. The work to be accomplished was best served if
consolidated into one entity. Additionally, the FOG Control Program and SSMP work is
sporadic and does not lend itself to a full or part time position.
City of Arroyo
Grande
City of Grover
Beach
Oceano
Community
Services District
Estimated
Facilities and
Hours
The cost of the program is reimbursed proportionately by the Member Agencies of the
District based upon the number of businesses in the FOG Program and the amount of
support needed to meet the 2006 and 2008 State Water Board General Waste
Discharge Requirements (GWDR). The agreement is for two (2) years and the FY
201 2-1 3 current breakdown and cost estimate is as follows: 40% City of Arroyo Grande
($18,000), 4O0lO City of Grover Beach ($18,000) and 20% Oceano Community Services
District ($9,000) for a total of $45,000. The current breakdown and cost estimate for FY
2013-14 is approximately 40% City of Arroyo Grande ($21,000), 40% City of Grover
Beach ($21,000) and 20% Oceano Community Services District ($1 1,500) for a total of
$53,500. This cost distribution will be reviewed on an annual basis and may increase or
decrease as warranted.
FOG
Program
Hours
ALTERNATIVES:
The following alternatives are provided for the Council's consideration: - Approve the attached Member Agency Agreement;
- Modify as appropriate and approve the Member Agency agreement; - Do not approve the agreement and direct staff prepare a request for qualification
for distribution to contractors; or - Provide direction to staff.
* SSMP Hours are greater than FY 2013-14 due to SSMP biennial audit requirement
due that year for all Member Agencies.
54
54
16
124
'SSMP Hours
154
154
49
357
Estimated FOG
and SSMP
Program Hours
Estimated
Annual
Program Costs
78
78
78
234
232
232
127
Estimated FOG
and SSMP
Program Costs
$ 21,000
$ 21,000
$11,500
$53,500
Agenda Item 8.j.
Page 3
CITYCOUNCIL
CONSIDERATION OF MEMBER AGENCY AGREEMENT WITH THE SOUTH SAN
LUIS OBISPO COUNTY SANITATION DISTRICT
JULY 10,2012
PAGE 4
ADVANTAGES:
Approval of the Member Agency Agreement will allow for continued implementation of
the City's SSMP and FOG Program.
DISADVANTAGES:
No disadvantages have been identified by staff.
ENVIRONMENTAL REVIEW:
No environmental review is required for this item.
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted in front of City Hall on Thursday, July 5, 2012. The Agenda
and report were posted on the City's website on Friday, July 6, 2012. No public
comments were received ."
Attachments:
1. Member Agency Agreement
Agenda Item 8.j.
Page 4
ATTACHMENT 1
MEMBER AGENCY AGREEMENT IN REGARDS TO
COMPLIANCE WITH
STATEWIDE GENERAL WASTE DISCHARGE REQUIREMENTS
FOR SANITARY SEWER SYSTEMS
STATE WATER RESOURCES CONTROL BOARD
ORDERS No. 2006-0003-DWQ and 2008-0002-EXEC
This Agreement reached this 15' day of Julv , 2012 between the SOUTH SAN
LUlS OBISPO COUNTY SANITATION DISTRICT and the ClTY OF ARROYO GRANDE, the
ClTY OF GROVER BEACH and the OCEAN0 COMMUNITY SERVICES DISTRICT.
WHEREAS, the SOUTH SAN LUlS OBISPO COUNTY SANITATION DISTRICT
(DISTRICT) service area encompasses the cities of Arroyo Grande and Grover Beach and the
Oceano Community Services District (MEMBER AGENCIES); and,
WHEREAS, the DISTRICT provides wastewater treatment services for the residents of
these MEMBER AGENCIES; and,
WHEREAS, the STATE WATER RESOURCES CONTROL BOARD (SWRCB) has
adopted Waste Discharge Requirements, State Water Resources Control Board Orders No.
2006-0003-DWQ and 2008-0002-EXEC (SWRCB Orders), for the MEMBER AGENCIES; and,
WHEREAS, amongst those Waste Discharge Requirements is the development and
implementation of a Sewer System Management Plan (SSMP) by each MEMBER AGENCY;
and,
WHEREAS, a Fats, Oils, and Grease (FOG) Control Program and SSMP Program
Audits are mandatory elements of the SSMP; and,
WHEREAS, SSMP Program Audits consist of, at a minimum, biennial audits on the
effectiveness of and compliance with the SSMP, and the preparation of an audit report to be
kept on file; and,
WHEREAS, the DISTRICT has experience in the development and implementation of
FOG Control Programs, program audits, and report preparation; and,
WHEREAS, it is recognized there would be cost savings due to the DISTRICT'S
experience in the development and implementation of FOG control programs, and it is further
recognized there would be a cost savings achieved were the DISTRICT to perform the SSMP
Program Audits and prepare the reports for the MEMBER AGENCIES.
NOW, THEREFORE, it is agreed by and between the parties hereto in regards to
compliance with SWRCB Orders, attached as Exhibit A as follows:
1. The DISTRICT will continue to develop and implement a FOG Control Program for
each MEMBER AGENCY.
2. The DISTRICT will inspect food service establishments as required in each Agency's
SSMP.
3. The MEMBER AGENCIES will collect Notice of Violation fees in the amount adopted
by resolution by the District. FOG Notice of Violation fees will be used to offset the
costs of the FOG Control Program to the MEMBER AGENCIES.
Agenda Item 8.j.
Page 5
4. The DISTRICT will report FOG inspection findings to each MEMBER AGENCY at the
beginning of each month if the Agreement is renewed.
5. The DISTRICT will perform SSMP Program Audits and prepare a report for the files
of each MEMBER AGENCY as directed by the State Board Orders. The report will
include the status of the FOG control program inspections and overall effectiveness
of and compliance with the SSMP by each MEMBER AGENCY.
6. Each MEMBER AGENCY agrees that it is responsible for all other compliance
requirements imposed by the SWRCB Orders, copies of which are attached hereto
as Exhibit A and incorporated by reference.
7. Each MEMBER AGENCY is responsible for the District's actual cost in administering
the FOG Control Program, inspections, SSMP support, SSMP Program Audits and
report preparation described in this Agreement. It is anticipated that in FY 2012-13
and FY 2013-14 the District will be reimbursed by each MEMBER AGENCY for it's
pro rata cost based upon the number of facilities in the program as described in this
Agreement in the amount not to exceed the costs outlined below. In subsequent
years, if the Agreement is extended, the cost will continue to be prorated based on
the number of facilities inspected that year.
Member
Agency
FOG
Facilities
Included
City of Arroyo
Grande
Member
Agency
FOG Control
Program
Hours
City of Grover
Beach
Oceano
Community
Services District
Estimated
Facilities and
Hours
54
City of Arroyo
Grande 1 54 1 154 178 1
SSMP
54
16
124
FOG
Facilities
Included
154
I I I I I
Oceano
Estimated FOG
and SSMP
Program Hours
154
49
357
FOG Control
Program
Hours
City of Grover
Beach
Estimated
Annual
Program Costs
48
48
48
1 44
*SSMP
54
Community
Services District
Estimated
202
154 1 78 1 232 1 $21,000 1
Facilities and
Hours
$ 18,000
202
97
Estimated FOG
and SSMP
Program Costs
Estimated FOG
and SSMP
Program ours
16
$ 18,000
$9,000
$45,000
Estimated
Annual
Program Costs
124
49
357
78
234
127
Estimated FOG
$11,500
and SSMP
Program Costs
$53,500
Agenda Item 8.j.
Page 6
SSMP Hours are greater than FY 2013-14 due to SSMP biennial audit requirement due this
year for all MEMBER AGENCIES
The terms of this agreement shall be for two fiscal years, subject to biennial renewal based on
mutual written agreement of the Parties. Program fees are based upon costs incurred by the
DISTRICT. The pro rata share of program costs shall be amended every two years.
IN WITNESS WHEREOF, DISTRICT and MEMBER AGENCIES have executed this
Agreement the date first written above.
SOUTH SAN LUIS OBISPO SANITARY DISTRICT
John L. Wallace, District Administrator
Approved as to Form:
Michael Seitz, District Legal Counsel
Agenda Item 8.j.
Page 7
CITY OF ARROYO GRANDE
Tony Ferrara, Mayor Arroyo Grande
Attest:
By:
Kelly Wetmore, City Clerk
Approved as to Form:
By:
Timothy J. Carmel, City Attorney
Agenda Item 8.j.
Page 8