HomeMy WebLinkAbout11-06-13 Board Packet (Part 2)
MEETING OF THE
BOARD OF DIRECTORS
November 6, 2013
PART 2 OF THE BOARD PACKET
Agenda Items 9a to 12
1
OTAY WATER DISTRICT
BOARD OF DIRECTORS MEETING
DISTRICT BOARDROOM
2554 SWEETWATER SPRINGS BOULEVARD
SPRING VALLEY, CALIFORNIA
WEDNESDAY
November 6, 2013
3:30 P.M.
AGENDA
1. ROLL CALL
2. PLEDGE OF ALLEGIANCE
3. APPROVAL OF AGENDA
4. APPROVE THE MINUTES OF THE REGULAR MEETING OF OCTOBER 2,
2013
5. PUBLIC PARTICIPATION – OPPORTUNITY FOR MEMBERS OF THE PUBLIC
TO SPEAK TO THE BOARD ON ANY SUBJECT MATTER WITHIN THE
BOARD'S JURISDICTION BUT NOT AN ITEM ON TODAY'S AGENDA
6. 2013 LEGISLATIVE UPDATE (CHRIS FRAHM, BROWNSTEIN HYATT FAR-
BER AND SCHREK)
CONSENT CALENDAR
7. ITEMS TO BE ACTED UPON WITHOUT DISCUSSION, UNLESS A REQUEST
IS MADE BY A MEMBER OF THE BOARD OR THE PUBLIC TO DISCUSS A
PARTICULAR ITEM:
a) ADOPT RESOLUTION NOs. 4219 AND 4220, TO INITIATE THE PRO-
CESS FOR THE EXCLUSION OF PARCELS WITHIN IMPROVEMENT
DISTRICTS (IDs) 19 AND 25; AND ADOPT RESOLUTION NOs. 4221
and 4222 TO INITIATE THE PROCESS FOR THE ANNEXATION OF
THE EXCLUDED PARCELS IN IDs 19 AND 25 INTO IDs 22 AND 20 RE-
SPECTIVELY
b) APPROVE THE ISSUANCE OF A PURCHASE ORDER TO INLAND
KENWORTH IN THE AMOUNT OF $175,876.30 FOR THE PURCHASE
2
OF ONE (1) NEW KENWORTH UTILITY CREW TRUCK AND DECLARE
UNIT NO. 111 UTILITY CREW TRUCK SURPLUS
c) DECLARE A 2.41-ACRE PARCEL LOCATED ON SWEETWATER
SPRINGS BOULEVARD (APN: 505-230-51-00) AS SURPLUS AND AU-
THORIZE THE DISPOSAL OF THE DECLARED PROPERTY IN AC-
CORDANCE WITH APPLICABLE STATUTES AND LAWS IN THE BEST
INTEREST OF THE DISTRICT
d) APPROVE AN AGREEMENT WITH THE LAW FIRM OF STUTZ, AR-
TIANO, SHINOFF AND HOLTZ, A PROFESSIONAL CORPORATION,
FOR A TERM OF TWO (2) YEARS THROUGH DECEMBER 31, 2015 TO
PROVIDE GENERAL COUNSEL SERVICES TO THE DISTRICT
e) ADOPT RESOLUTION NO. 4223 FIXING TERMS AND CONDITIONS
FOR THE ANNEXATION OF CERTAIN REAL PROPERTY OWNED BY
ST. GREGORY OF NYSSA GREEK ORTHODOX CHURCH, APNs: 498-
320-04-00 AND 498-320-45-00, TO THE OTAY WATER DISTRICT’S IM-
PROVEMENT DISTRICT NO. 18
f) APPROVE A PROFESSIONAL ENGINEERING SERVICES CONTRACT
WITH HDR ENGINEERING, INC. FOR CORROSION ENGINEERING
SERVICES IN SUPPORT OF THE DISTRICT’S CATHODIC PROTEC-
TION PROGRAM IN AN AMOUNT NOT-TO-EXCEED $684,750
g) APPROVE A CONSTRUCTION CONTRACT WITH LAYFIELD ENVI-
RONMENTAL SYSTEMS CORPORATION FOR THE 927-1 RECYCLED
WATER RESERVOIR FLOATING COVER AND LINER REPLACEMENT
IN AN AMOUNT NOT-TO-EXCEED $873,400
h) APPROVE A SECOND AGREEMENT AND THREE AMENDMENTS TO
EXISTING CONTRACTS BETWEEN THE OTAY WATER DISTRICT AND
HELIX WATER DISTRICT FOR EMERGENCY INTERCONNECTIONS
i) ADOPT RESOLUTION NO. 4218 REVISING BOARD OF DIRECTORS
POLICY NO. 12, EMPLOYMENT TERMINATION OF EMPLOYMENT OF
DISTRICT PERSONNEL POLICY, AND POLICY NO. 24, RECRUIT-
MENT, SELECTION, AND EMPLOYMENT POLICY
ACTION ITEMS
8. FINANCE, ADMINISTRATION AND INFORMATION TECHNOLOGY
a) APPROVE THE DISTRICT’S AUDITED FINANCIAL STATEMENTS, IN-
CLUDING THE INDEPENDENT AUDITORS’ UNQUALIFIED OPINION,
FOR THE FISCAL YEAR ENDED JUNE 30, 2013 (KOEPPEN)
3
9. ENGINEERING AND WATER OPERATIONS
a) APPROVE THE WATER SUPPLY ASSESSMENT AND VERIFICATION
REPORT DATED SEPTEMBER 2013 FOR THE OTAY RANCH VILLAGE
2 SPA AMENDMENT (COBURN-BOYD/KENNEDY)
b) APPROVE THE WATER SUPPLY ASSESSMENT AND VERIFICATION
REPORT DATED SEPTEMBER 2013 FOR THE OTAY RANCH UNI-
VERSITY VILLAGES PROJECT (3 NORTH AND A PORTION OF 4, 8
EAST, AND 10) (COBURN-BOYD/KENNEDY)
10. BOARD
a) DISCUSSION OF 2013 AND 2014 BOARD MEETING CALENDARS
INFORMATIONAL ITEMS
11. THE FOLLOWING ITEMS ARE PROVIDED TO THE BOARD FOR INFORMA-
TIONAL PURPOSES ONLY. NO ACTION IS REQUIRED ON THE FOLLOWING
AGENDA ITEMS:
a) REPORT ON THE FINDINGS OF THE LATEST ACTUARIAL VALUA-
TION PERFORMED AS OF JUNE 30, 2013; AND THE ACTUARIAL
EVALUATION DETERMINING THE NET COST OR SAVINGS OF THE
OTHER POST EMPLOYMENT BENEFIT (OPEB) PLAN ENHANCEMENT
VERSUS THE INCREASED EMPLOYEE CONTRIBUTIONS TO PERS
(KOEPPEN)
b) FIRST QUARTER OF FISCAL YEAR 2014 CAPITAL IMPROVEMENT
PROGRAM REPORT (MARTIN)
REPORTS
12. GENERAL MANAGER’S REPORT
a) SAN DIEGO COUNTY WATER AUTHORITY UPDATE
13. DIRECTORS' REPORTS/REQUESTS
14. PRESIDENT’S REPORT/REQUESTS
15. RECESS TO CLOSED SESSION
3. CLOSED SESSION
a) CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION
[GOVERNMENT CODE §54956.9]
4
1 CASE
16. RETURN TO OPEN SESSION
17. REPORT ON ANY ACTIONS TAKEN IN CLOSED SESSION. THE BOARD
MAY ALSO TAKE ACTION ON ANY ITEMS POSTED IN CLOSED SESSION
18. ADJOURNMENT
All items appearing on this agenda, whether or not expressly listed for action, may be
deliberated and may be subject to action by the Board.
The Agenda, and any attachments containing written information, are available at the
District’s website at www.otaywater.gov. Written changes to any items to be considered
at the open meeting, or to any attachments, will be posted on the District’s website.
Copies of the Agenda and all attachments are also available through the District
Secretary by contacting her at (619) 670-2280.
If you have any disability which would require accommodation in order to enable you to
participate in this meeting, please call the District Secretary at (619) 670-2280 at least
24 hours prior to the meeting.
Certification of Posting
I certify that on November 1, 2013, I posted a copy of the foregoing agenda near
the regular meeting place of the Board of Directors of Otay Water District, said time be-
ing at least 72 hours in advance of the regular meeting of the Board of Directors (Gov-
ernment Code Section §54954.2).
Executed at Spring Valley, California on November 1, 2013.
/s/ Susan Cruz, District Secretary
STAFF REPORT
TYPE MEETING: Regular Board MEETING DATE: November 6, 2013
SUBMITTED BY: Lisa Coburn-Boyd
Environmental Specialist
Bob Kennedy
Engineering Manager
CIP./G.F. NO: D0740-
090161
DIV. NO. 2
APPROVED BY:
Rod Posada, Chief, Engineering
German Alvarez, Assistant General Manager
Mark Watton, General Manager
SUBJECT: Approval of Water Supply Assessment and Verification Report
(September 2013) for the Otay Ranch Village 2 SPA Amendment
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors
(Board) approve the Water Supply Assessment Report (WSA&V
Report) dated September 2013 for the Otay Ranch Village 2 SPA
Amendment, as required by Senate Bills 610 and 221 (see Exhibit
A for Project location).
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To obtain Board approval of the WSA&V Report dated September
2013 for the Otay Ranch Village 2 SPA Amendment, as required by
Senate Bill 610 and Senate Bill 221 (SB 610 and SB 221).
ANALYSIS:
The City of Chula Vista submitted a request for a WSA&V report
to the District pursuant to SB 610 and SB 221. SB 610 and SB
221 require that, upon the request of the City or County, a
water purveyor, such as the District, prepare a water supply
assessment and verification report to be included in the
California Environmental Quality Act (CEQA) environmental
documentation. This request was received by the District on
October 2, 2013.
AGENDA ITEM 9a
2
SB 610 requires a city or county to evaluate whether water
supplies will be sufficient to meet the projected water demand
for certain “projects” that are otherwise subject to the
requirement of the CEQA. SB 610 provides its own definition of
“project” in Water Code Section 10912.
SB 221 requires affirmative written verification from the water
purveyor of the public water system that sufficient water
supplies are planned to be available for certain residential
subdivisions of property. The requirements of SB 610 and SB 221
are addressed by the September 2013 WSA&V Report for this
Project. The WSA&V Report was prepared by the District in
consultation with Dexter Wilson Engineering, the San Diego
County Water Authority (Water Authority), and the City of Chula
Vista (City).
Prior to transmittal to the City, the WSA&V Report must be
approved by the Board of Directors. An additional explanation
of the intent of SB 610 and SB 221 is provided in Exhibit B, the
Otay Ranch Village 2 SPA Amendment WSA&V Report is provided as
Exhibit C.
For the Otay Ranch Village 2 SPA Amendment, the City is the
responsible land use agency that requested the SB 610 and SB 221
water supply assessment and verification report from the
District. The request for the WSA&V Reports, in compliance with
SB 610 and SB 221 requirements, was made by the City because the
Project meets or exceeds one or both of the following SB 610 and
SB 221 criteria:
A proposed residential development of more than 500
dwelling units.
A proposed commercial office building employing more than
1,000 persons or having more than 250,000 square feet of
floor space.
A mixed-use project that includes one or more of the land
uses specified in SB 610.
A project that would demand an amount of water equivalent
to, or greater than, the amount of water required by a 500
dwelling unit project.
The Otay Ranch Village 2 Project is located within the Otay
River parcel of the Otay Ranch General Development Plan/Sub-
3
regional Plan (Otay Ranch GDP), a land use planning document
jointly prepared and adopted by the County of San Diego and the
City of Chula Vista. The Village 2 Project is a part of the
designated 14 villages and five planning areas within the Otay
Ranch GDP. As the Otay Ranch area has developed over time, the
Otay Ranch GDP has been amended to address land use and
circulation element issues. Village 2 is located along the
south side of Olympic Parkway, west of La Media Road in the City
of Chula Vista. The current SPA Amendment for this Village
proposes to add 1,564 residential units, an elementary school,
park, and Community Park Facilities (CPF) sites to the Project.
The expected potable water demand for the Otay Ranch Village 2
SPA Amendment is 1.46 million gallons per day or about 1,634
acre-feet per year (AFY) which is 529 AFY higher than what was
projected in the District’s 2010 Water Resources Master Plan
Update (WRMP Update). The projected recycled water demand for
t he Otay Ranch Village 2 SPA Amendment is 0.5 0 million gallons
per day or 560 AFY , representing about 2 5 % of the total Otay
Ranch Village 2 SPA Amendment water demand.
The 529 AFY increase is accounted for through the Accelerated
Forecasted Growth demand increment of the Water Authority’s 2010
UWMP. As documented in the Water Authority’s 2010 UWMP, the
Water Authority is planning to meet future and existing demands
which include the demand increment associated with the
accelerated forecasted growth. The Water Authority will assist
its member agencies in tracking the environmental documents
provided by the agencies that include water supply assessments
and verifications reports that utilize the accelerated
forecasted growth demand increment to demonstrate supplies for
the development. In addition, the next update of the demand
forecast for the Water Authority’s 2015 UWMP will be based on
SANDAG’s most recently updated forecast, which will include the
Project. Therefore, based on the findings from the District’s
2010 UWMP and the Water Authority’s 2010 UWMP, this Project will
result in no unanticipated demands.
The request for compliance with SB 221 requirements was made by
the City because the Project will exceed the SB 221 criteria of
a proposed residential development subdivision of more than 500
dwelling units.
Pursuant to SB 610 and SB 221, the WSA&V Report incorporate by
reference the current Urban Water Management Plans and other
water resources planning documents of the District, the Water
4
Authority, and the Metropolitan Water District of Southern
California (Metropolitan). The District prepared the WSA&V
Report in consultation with Dexter Wilson Engineering, the Water
Authority, and the City which demonstrates and documents that
sufficient water supplies are planned for and are intended to be
made available over a 20-year planning horizon under normal
supply conditions and in single-dry and multiple-dry years to
meet the projected demand of the Otay Ranch Village 2 SPA
Amendment, and other planned development projects within the
District.
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
The District has been reimbursed $8,000 for all costs associated
with the preparation of the Village 2 SPA Amendment WSA&V
Report. The reimbursement was accomplished via an $8,000
deposit the Project proponents placed with the District on
June 4, 2013.
STRATEGIC GOAL:
The preparation and approval of the WSA&V Report for the Otay
Ranch Village 2 SPA Amendment supports the District’s Mission
statement, "To provide high value water and wastewater services
to the customers of the Otay Water District, in a professional,
effective, and efficient manner” and the District’s Strategic
Goal, in planning for infrastructure and supply to meet current
and future potable water demands.
LEGAL IMPACT:
Approval of a WSA&V Report for the Otay Ranch Village 2 SPA
Amendment in form and content satisfactory to the Board of
Directors would allow the District to comply with the
requirements of Senate Bills 610 and 221.
LCB/BK/RP:jf
P:\WORKING\WO D0871-090123 Otay Ranch Village 2 SPA Amendment\Staff Report\BD
11-06-13, Staff Report, Otay Ranch Village 2 SPA Amendment WSA&V , (LCB-
BK).doc
Attachments: Attachment A – Committee Action
Exhibit A – Project Location Map
Exhibit B – Explanation of the Intent of SB 610 &
SB 221
Exhibit C – Otay Ranch Village 2 SPA Amendment
WSA&V Report
Exhibit D – Presentation
ATTACHMENT A
SUBJECT/PROJECT:
D0740-090161
Approval of Water Supply Assessment and Verification
Report (September 2013) for the Otay Ranch Village 2 SPA
Amendment
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee
(Committee) reviewed this item at a meeting held on October 23,
2013 and the following comments were made:
Staff requested that the Board approve the Water Supply
Assessment Report and Verification (WSA&V Report) dated
September 2013 for the City of Chula Vista Otay Ranch
Village 2 SPA Amendment, as required by Senate Bills 610
and 221.
Staff indicated that the District received a request from
the City of Chula Vista to prepare the WSA and Verification
Report for the Otay Ranch Village 2 SPA Amendment. It was
noted that SB 610 requires that the District respond to the
City’s request, and that board approval for the submittal
of the WSA&V Report to the City of Chula Vista is required.
Staff indicated that the Otay Ranch Village 2 is located
south of Olympic Parkway and west of La Media Road in Chula
Vista. The SPA Amendment adds 1,564 homes, a school, and
park areas. An exhibit was provided to the Committee that
showed the location of the project site.
The expected demand for the SPA Amendment is 1,634 AFY
potable and 560 AFY recycled. Staff noted that this amount
is 529 AFY higher than what was projected in the District’s
2010 Water Resources Master Plan (WRMP). However, it is
accounted for through the Accelerated Forecasted Growth
demand increment of the Water Authority’s 2010 Urban Water
Management Plan (UWMP).
A PowerPoint presentation was provided to the Committee
that included the following:
o Background of Senate Bills 610 and 221, which became
effective on January 1, 2002, and its intent and how it
relates to the WSA&V Report
o Land use plan and description for the Otay Ranch Village
2 SPA Amendment
o Potable demand estimates for the Otay Ranch Village 2 SPA
Amendment
o Otay Water District’s, San Diego County Water
Authority’s, and Metropolitan Water District’s Urban
Water Management Plan
It was noted that the Otay Ranch Village 2 SPA Amendment
WSA&V Report includes (4) four other Otay Water District
Planned Local Water Supply Projects:
o Rancho Del Rey Groundwater Well (500 AFY)
o Rosarito Ocean Desalination Project (20,000-50,000 AFY)
o Otay Mesa Lot 7 Groundwater Well (300 AFY)
o Otay Mesa Recycled Water Supply Link Project (800 AFY)
A slide was presented that showed the Water Authority
Supplies, which included IID Water Transfer, All-American
Canal and Coachella Canal Lining Projects, and the Carlsbad
Desalination project.
Staff noted that the next update of the demand forecast for
the Water Authority’s 2015 UWMP will be based on SANDAG’s
most recently updated forecast, which will include the Otay
Ranch Village 2 SPA Amendment. Based on the findings from
the Otay Water District’s 2010 UWMP and the Water
Authority’s 2010 UWMP, the Otay Ranch Village 2 SPA
Amendment will result in no unanticipated demands.
It was discussed that the graph for Projected and
Historical Potable Water Fiscal Year Demands uses demand
data from the 2010 UWMP and illustrates how demand
projections are significantly different from more recent
reality. Historical rates show how the impacts of
increased water rates and conservation have impacted water
demands; 2011 and 2012 demands are following the same
historical trend. The difference between real and
projected demands is also being seen at the Water
Authority.
Staff indicated that the status of the current water supply
situation is documented in the WSA&V Report with the intent
that the water agencies plan to develop sufficient water
supplies to meet demands. Staff believes that the Board has
met the intent of SB 610 and 221 statutes in that Land use
agencies and water suppliers have demonstrated strong
linkage. The Otay Ranch Village 2 SPA Amendment WSA&V
Report clearly documents the current water supply
situation. Staff believes that based on existing
documentation, the WSA&V Report demonstrates and documents
that sufficient water supplies are planned for and are
intended to be acquired and also identifies the actions
necessary to develop the supplies for a 20-year planning
horizon.
In response to a question by the Committee, staff stated
that they believe there is sufficient water supply for the
Otay Ranch Village 2 SPA Amendment and other planned
development projects. Staff indicated that they correspond
with City of Chula Vista’s staff to clearly document the
current water supply situation and projected demand and
believes that the District’s WSA&V Report corresponds to
the City’s planning documents.
Following the discussion, the Committee supported staffs’
recommendation and presentation to the full board as an action
item.
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EXHIBIT A
SPA D0740-090161
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EXHIBIT B
Background Information
The Otay Water District (District) prepared the September 2013 Water Supply
Assessment and Verification (WSA&V) Report for the Otay Ranch Village 2 Sectional
Planning Assessment (SPA) Amendment at the request of the City of Chula Vista (City).
The City’s WSA&V request letter dated October 2, 2013 was received by the District on
October 2, 2013 so the 90-day deadline for the District to provide the Board an
approved WSA&V Report to the City ends December 30, 2013. The Village 2 SPA
Amendment is located within the 23,000-acre Otay Ranch master planned community
within the City of Chula Vista. The current SPA amendment proposes to add 1,564
residential units, an elementary school, park, and Community Park Facilities (CPF) sites
to the Village 2 Project.
The Otay Ranch Village 2 SPA Amendment is located within the jurisdictions of the
District, the San Diego County Water Authority (Water Authority), and the Metropolitan
Water District of Southern California (MWD). See Exhibit A for Project location. To
obtain permanent imported water supply service, land areas are required to be within
the jurisdictions of the District, Water Authority, and MWD.
The September 2013 WSA&V Report for the Otay Ranch Village 2 SPA Amendment
has been prepared by the District in consultation with Dexter Wilson Engineering, the
Water Authority, and the City pursuant to Public Resources Code Section 21151.9 and
California Water Code Sections 10631, 10656, 10910, 10911, 10912, and 10915
referred to as Senate Bill (SB) 610 and Government Code Sections 65867.5, 66455.3,
and 66473.7 referred to as SB 221. SB 610 and SB 221 amended state law, effective
January 1, 2002, intending to improve the link between information on water supply
availability and certain land use decisions made by cities and counties. SB 610 requires
that the water purveyor of the public water system prepare a water supply assessment
to be included in the California Environmental Quality Act (CEQA) environmental
documentation and approval process of certain proposed projects. SB 221 requires
affirmative written verification from the water purveyor of the public water system that
sufficient water supplies are to be available for certain residential subdivision of
property. The requirements of SB 610 and SB 221 are addressed in the September
2013 WSA&V Report for the Otay Ranch Village 2 SPA Amendment.
The Otay Ranch Village 2 SPA Amendment Project is located within the City of Chula
Vista, and is one of the 14 villages and 5 planning areas within the Otay Ranch General
Development Plan/Sub-regional Plan (Otay Ranch GDP) which was jointly prepared by
the County of San Diego and the City of Chula Vista. Village 2 is within what is defined
as the Otay River parcel and is located along the south side of Olympic Parkway, west
of La Media Road. The SPA Plan for Villages 2, 3, and a portion of 4 was approved on
May 23, 2006 and included a WSA&V Report. The current SPA amendment proposes
to add 1,564 residential units, an elementary school, park, and CPF sites to the Village
2 Project. Due to the magnitude of the proposed new development, a new WSA&V
Report is necessary.
The expected potable water demand for the Otay Ranch Village 2 SPA Amendment is
1.46 million gallons per day (MGD) or about 1,634 acre-feet per year (AFY) which is 529
AFY higher than what was projected in the District’s 2010 Water Resources Master Plan
Update (WRMP Update). The projected recycled water demand for the Otay Ranch
Village 2 SPA Amendment is 0.50 MGD or 560 AFY, representing about 25% of the
total Otay Ranch Village 2 SPA Amendment water demand.
The 529 AFY increase in demand is accounted for through the Accelerated Forecasted
Growth demand increment of the Water Authority’s 2010 UWMP. As documented in the
Water Authority’s 2010 UWMP, the Water Authority is planning to meet future and
existing demands which include the demand increment associated with the accelerated
forecasted growth. The Water Authority will assist its member agencies in tracking the
environmental documents provided by the agencies that include water supply
assessments and verifications reports that utilize the accelerated forecasted growth
demand increment to demonstrate supplies for the development. In addition, the next
update of the demand forecast for the Water Authority’s 2015 UWMP will be based on
SANDAG’s most recently updated forecast, which will include the Project. Therefore,
based on the findings from the Otay WD’s 2010 UWMP and the Water Authority’s 2010
UWMP, this Project will result in no unanticipated demands.
The District currently depends on the Water Authority and the MWD for all of its potable
water supplies and regional water resource planning. The District’s 2010 Urban Water
Management Plan (UWMP) relies heavily on the UWMP’s and Integrated Water
Resources Plans (IRPs) of the Water Authority and MWD for documentation of supplies
available to meet projected demands. These plans are developed to manage the
uncertainties and variability of multiple supply sources and demands over the long-term
through preferred water resources strategy adoption and resource development target
approvals for implementation.
MWD in October 2010 approved the update of their Integrated Water Resources Plan
(IRP). The 2010 IRP Update describes an adaptive management approach to mitigate
against future water supply uncertainty. The new uncertainties that are significantly
affecting California’s water resources include:
The Federal Court ruling on previous operational limits on Sacramento-San
Joaquin Delta to protect the Delta species. Water agencies are still trying to
determine what effect the ruling will have on State Water Project (SWP)
deliveries. Actual supply curtailments for MWD are contingent upon fish
distribution, behavioral patterns, weather, Delta flow conditions, and how water
supply reductions are divided between state and federal projects.
Periodic extended drought conditions.
These uncertainties have rightly caused concern among Southern California water
supply agencies regarding the validity of the current water supply documentation.
MWD is currently involved in several proceedings concerning Delta operations to
evaluate and address environmental concerns. In addition, at the State level, the Delta
Vision and Bay-Delta Conservation Plan processes are defining long-term solutions for
the Delta.
The SWP represents approximately 9% of MWD’s 2025 Dry Resources Mix with the
supply buffer included. A 22% cutback in SWP supply represents an overall 2% (22%
of 9% is 2%) cutback in MWD supplies in 2025. Neither the Water Authority nor MWD
has stated that there is insufficient water for future planning in Southern California.
Each agency is in the process of reassessing and reallocating their water resources.
Under preferential rights, MWD can allocate water without regard to historic water
purchases or dependence on MWD. Therefore, the Water Authority and its member
agencies are taking measures to reduce dependence on MWD through development of
additional supplies and a water supply portfolio that would not be jeopardized by a
preferential rights allocation.
As calculated by MWD (December 11, 2012), the Water Authority’s current preferential
right is 17.22% of MWD’s supply, while the Water Authority accounted for approximately
25% of MWD’s total revenue. So MWD could theoretically cut back the Water
Authority’s supply and theoretically, the Water Authority should have alternative water
supply sources to make up for the difference. In the Water Authority’s 2010 UWMP,
they had already planned to reduce reliance on MWD supplies. This reduction is
planned to be achieved through diversification of their water supply portfolio.
The Water Authority’s Drought Management Plan (May 2006) provides the Water
Authority and its member agencies with a series of potential actions to engage when
faced with a shortage of imported water supplies due to prolonged drought conditions.
Such actions help avoid or minimize impacts of shortages and ensure an equitable
allocation of supplies throughout the San Diego County region.
The Otay Water District Board of Directors could acknowledge the ever-present
challenge of balancing water supply with demand and the inherent need to possess a
flexible and adaptable water supply implementation strategy that can be relied upon
during normal and dry weather conditions. The responsible regional water supply
agencies have and will continue to adapt their resource plans and strategies to meet
climatological, environmental, and legal challenges so that they may continue to provide
water supplies to their service areas. The regional water suppliers (i.e., the Water
Authority and MWD), along with the District, fully intend to maintain sufficient reliable
supplies through the 20-year planning horizon under normal, single-dry, and multiple-
dry year conditions to meet projected demand of the Otay Ranch Village 2 SPA
Amendment, along with existing and other planned development projects within the
District’s service area.
If the regional water suppliers determine additional water supplies will be required, or in
this case, that water supply portfolios need to be reassessed and redistributed with the
intent to serve the existing and future water needs throughout Southern California, the
agencies must indicate the status or stage of development of actions identified in the
plans they provide. MWD’s 2010 IRP update will then cause the Water Authority to
update its IRP, which will then provide the District with the necessary water supply
documentation. Identification of a potential future action in such plans does not by itself
indicate that a decision to approve or to proceed with the action has been made. The
District’s Board approval of the Otay Ranch Village 2 SPA Amendment WSA&V Report
does not in any way guarantee water supply to the parcels that make up the Otay
Ranch Village 2 SPA Amendment.
Alternatively, if the WSA&V Report is written to state that water supply is or will be
unavailable; the District must include, in the assessment, a plan to acquire additional
water supplies. At this time, the District should not state there is insufficient water
supply.
So the best the District can do right now is to state the current water supply situation
clearly, indicating intent to provide supply through reassessment and reallocation by the
regional, as well as, the local water suppliers. In doing so, it is believed that the Board
has met the intent of the SB 610 statute, that the land use agencies and the water
agencies are coordinating their efforts in planning water supplies for new development.
With District Board approval of the Otay Ranch Village 2 SPA Amendment WSA&V
Report, the Otay Ranch Village 2 SPA Amendment proponents can proceed with the
draft environmental documentation required for the CEQA review process. The water
supply issues will be addressed in these environmental documents, consistent with the
WSA&V Report.
The District, as well as others, can comment on the draft EIR with recommendations
that water conservation measures and actions be employed on the OMCP Update.
Some recent actions regarding water supply assessments and verification reports by
Otay Water District are as follows:
The Board approved the Judd Company Otay Crossings Commerce Park water
supply assessment report on December 5, 2007.
The Board approved the Otay Ranch L.P. Otay Ranch Preserve and Resort
Project Water Supply Assessment and Verification Report on February 4, 2009.
The Board approved water supply assessment and verification reports for the
City of Chula Vista Village 8 West Sectional Plan Area and Village 9 Sectional
Plan Area on January 5, 2011.
The Board approved the water supply assessment report for the San Diego-
Tijuana Cross Border Facility on February 2, 2011.
The Board approved the water supply assessment for the County of San Diego
Rabago Technology Park on April 6, 2011.
The Board approved the water supply assessment report for the Pio Pico Energy
Center Project on October 5, 2011.
The Board approved the water supply assessment report for the Hawano Project
on March 7, 2012.
The Board approved the water supply assessment reports for the Sunroad Otay
Plaza and Otay Tech Center Projects on March 6, 2013.
The Board approved the water supply assessment reports for the Otay Ranch
Planning Area 12 Freeway Commercial Project and the City of San Diego Otay
Mesa Community Plan Update on July 3, 2013.
Water supplies necessary to serve the demands of the proposed Otay Ranch Village 2
SPA Amendment, along with existing and other projected future users, as well as the
actions necessary to develop these supplies, have been identified in the water supply
planning documents of the District, the Water Authority, and MWD.
The WSA&V Report includes, among other information, an identification of existing
water supply entitlements, water rights, water service contracts, or agreements relevant
to the identified water supply needs for the proposed Otay Ranch Village 2 SPA
Amendment. The WSA&V Report demonstrates and documents that sufficient water
supplies are planned and are intended to be available over a 20-year planning horizon,
under normal conditions and in single-dry and multiple-dry years, to meet the projected
demand of the proposed Otay Ranch Village 2 SPA Amendment and the existing and
other planned development projects within the District.
Accordingly, after approval of a WSA&V Report for the Otay Ranch Village 2 SPA
Amendment by the District's Board of Directors, the WSA&V Report may be used to
comply with the requirements of the legislation enacted by Senate Bills 610 and 221 as
follows:
Senate Bill (SB) 610 Water Supply Assessment: The District's Board of Directors
approved WSA&V Report may be incorporated into the California Environmental
Quality Act (CEQA) compliance process for the Otay Ranch Village 2 SPA
Amendment as a water supply assessment report consistent with the requirements
of the legislation enacted by SB 610. The City of Chula Vista, as lead agency under
the CEQA for the Otay Ranch Village 2 SPA Amendment environmental
documentation, may cite the approved WSA&V Report as evidence that a sufficient
water supply is planned and intended to be available to serve the Otay Ranch
Village 2 SPA Amendment.
Senate Bill (SB) 221 Water Supply Verification: The District's Board of Directors
approved WSA&V Report may be incorporated into the City’s Otay Ranch Village 2
SPA Amendment as a water supply verification report, consistent with the
requirements of the legislation enacted by SB 221. The City, within their process of
approving the Otay Ranch Village 2 SPA Amendment, may cite the approved
WSA&V Report as verification of intended sufficient water supply to serve the
Project.
OTAY WATER DISTRICT
WATER SUPPLY ASSESSMENT AND
VERIFICATION REPORT
Otay Ranch Village 2 SPA Amendment
D0740-090161
Prepared by:
Lisa Coburn-Boyd
Environmental Compliance Specialist
and
Robert Kennedy, P.E.
Engineering Manager
Otay Water District
in consultation with
Dexter Wilson Engineering, Inc.
and
San Diego County Water Authority
September 2013
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 2 SPA Amendment
Otay Water District
Water Supply Assessment and Verification Report
September 2013
Otay Ranch Village 2 SPA Amendment
Table of Contents
Executive Summary .................................................................................................................................... 1
Section 1 - Purpose ...................................................................................................................................... 5
Section 2 - Findings ..................................................................................................................................... 6
Section 3 - Project Description ................................................................................................................ 10
Section 4 – Otay Water District ............................................................................................................... 11
4.1 Urban Water Management Plan .......................................................... 13
Section 5 – Historical and Projected Water Demands .......................................................................... 14
5.1 Demand Management (Water Conservation) ....................................... 20
Section 6 - Existing and Projected Supplies ........................................................................................... 22
6.1 MWD Water District of Southern California 2010 Regional
Urban Water Management Plan .......................................................... 23
6.2 San Diego County Water Authority Regional Water Supplies ............... 24
6.3 Otay Water District ............................................................................. 42
6.3.1 Availability of Sufficient Supplies and Plans for
Acquiring Additional Supplies ................................................. 42
6.3.1.1 Imported and Regional Supplies ................................ 43
6.3.1.2 Recycled Water Supplies .......................................... 46
Section 7 – Conclusion: Availability of Sufficient Supplies .................................................................. 54
Source Documents ..................................................................................................................... 60
Appendix A: Otay Ranch Village 2 SPA Amendment Regional Location Map
Appendix B: Otay Ranch Village 2 SPA Amendment Proposed Development Plan
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 2 SPA Amendment
1
Otay Water District
Water Supply Assessment and Verification Report
September 2013
Otay Ranch Village 2 SPA Amendment
Executive Summary
The Otay Water District (Otay WD) prepared this Water Supply Assessment and Verification
Report (WSA&V Report) at the request of the City of Chula Vista (City) for the Otay Ranch
Village 2 SPA Amendment project. Village 2 is split into several different ownerships.
Baldwin and Sons is the majority owner in Village 2 and has submitted a comprehensive SPA
Amendment to the City.
Project Overview and Water Use
The Village 2 project is included within a land use planning document known as the Otay
Ranch General Development Plan/Sub-regional Plan (Otay Ranch GDP). The County of San
Diego and City of Chula Vista jointly prepared and adopted the Otay Ranch GDP. The
Village 2 project is located within what is defined as the Otay River Parcel of the Otay Ranch
GDP. The project is a part of the designated 14 villages and five planning areas within the
Otay Ranch GDP area. The Chula Vista City Council and the San Diego County Board of
Supervisors adopted the Otay Ranch GDP on October 28, 1993, which was accompanied by a
Program Environmental Impact Report EIR-90-01 (SCH #89010154). As the Otay Ranch
area has developed over time, the Otay Ranch GDP has been periodically amended to address
land use and circulation element issues specific to individual Villages.
The Village 2 project is located along the south side of Olympic Parkway, west of La Media
Road. The Sectional Planning Area Plan (SPA Plan) for Villages 2, 3, and a portion of 4 was
approved on May 23, 2006. A Water Supply Assessment and Verification report for the
project was included as part of the approval process. The current SPA Amendment proposes
to add 1,564 residential units, an elementary school, park, and Community Park Facilities
(CPF) sites to the Village 2 project. Due to the magnitude of the proposed new development,
a new Water Supply Assessment and Verification report is necessary.
The expected potable water demand for Village 2 with the currently proposed SPA
Amendment is 1.46 million gallons per day (MGD) or about 1,634 acre-feet per year (ac-
ft/yr). This is 529 acre-foot per year higher than the demand estimate in the 2010 Otay WD
Water Resources Master Plan Revision (2010 WRMP Revision) of the 2009 Otay WD Water
Resources Master Plan. The projected recycled water demand for the proposed project is
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 2 SPA Amendment
2
approximately 0.50 MGD or about 560 ac-ft/yr, representing about 25% of total project water
demand.
The 529 AFY increase in demand is accounted for through the Accelerated Forecast Growth
demand increment of the Water Authority’s 2010 Urban Water Management Plan (UWMP).
As documented in the Water Authority’s 2010 UWMP, the Water Authority is planning to
meet future and existing demands which include an increment associated with the accelerated
forecasted growth. The Water Authority will assist its member agencies in tracking the
environmental documents provided by the agencies that include water supply assessments and
verification reports that utilize the accelerated forecasted growth demand increment to
demonstrate supplies for the development. In addition, the next update of the demand
forecast for the Water Authority’s 2015 UWMP will be based on the San Diego Association
of Government’s (SANDAG) most recently updated forecast, which will include the Project.
Therefore, based on the findings from the Otay WD’s 2010 UWMP and the Water Authority’s
2010 UWMP, this project will result in no unanticipated demands.
The Water Authority’s 2010 UWMP provides for a comprehensive planning analysis at a
regional level and includes water use associated with accelerated forecasted development as
part of its municipal and industrial sector demand projections. These housing and commercial
units were identified by SANDAG in the course of its regional housing needs assessment, but
are not yet included in existing general land use plans of local jurisdictions. The demand
associated with accelerated forecasted residential development is intended to account for
SANDAG’s land-use development currently projected to occur between 2035 and 2050, but
has the likely potential to occur on an accelerated schedule. SANDAG estimates that this
accelerated forecasted residential and commercial development could occur within the
planning horizon (2015 to 2035) of the 2010 UWMP. This land-use is not included in the
local jurisdictions’ general plan, so their projected demands are incorporated at a regional
level. When necessary, this additional demand increment, termed Accelerated Forecasted
Growth, can be used by member agencies to meet the demands of development projects not
identified in the general land use plans.
Planned Imported Water Supplies from the Water Authority and MWD
The Water Authority and the Metropolitan Water District (MWD) have an established process
that ensures supplies are being planned to meet future growth. Any annexations and revisions
to established land use plans are captured in the SANDAG updated forecasts for land use
planning, demographics, and economic projections. SANDAG serves as the regional,
intergovernmental planning agency that develops and provides forecast information. The
Water Authority and MWD update their demand forecasts and supply needs based on the
most recent SANDAG forecast approximately every five years to coincide with preparation of
their UWMP’s. Prior to the next forecast update, local jurisdictions may require water supply
assessment and/or verification reports for proposed land developments that are not within
Otay WD, Water Authority, nor MWD jurisdictions (i.e., pending or proposed annexations) or
that have revised land use plans than what is reflected in the existing growth forecasts.
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 2 SPA Amendment
3
Proposed land areas with pending or proposed annexations or revised land use plans typically
result in creating higher demand and supply requirements than anticipated. The Otay WD,
Water Authority, and MWD next demand forecast and supply requirements and associated
planning documents would then capture any increase or decrease in demands and required
supplies as a result of annexations or revised land use planning decisions.
The California Urban Water Management Planning Act (Act), which is included in the
California Water Code, requires all urban water suppliers within the state to prepare an
UWMP and update it every five years. The purpose and importance of the UWMP has
evolved since it was first required 25 years ago. State agencies and the public frequently use
the document to determine if agencies are planning adequately to reliably meet future
demands. As such, UWMPs serve as an important element in documenting supply
availability for the purpose of compliance with state laws, Senate Bills 610 and 221, linking
water supply sufficiency to large land-use development approval. Agencies must also have a
UWMP prepared, pursuant to the Act, in order to be eligible for state funding and drought
assistance.
MWD’s Integrated Resource Plan (IRP) identifies a mix of resources (imported and local)
that, when implemented, will provide 100 percent reliability for full-service demands through
the attainment of regional targets set for conservation, local supplies, State Water Project
supplies, Colorado River supplies, groundwater banking, and water transfers. The 2010
update to the IRP (2010 IRP Update) includes a planning buffer supply intended to mitigate
against the risks associated with implementation of local and imported supply programs. The
planning buffer identifies an additional increment of water that could potentially be developed
if other supplies are not implemented as planned. As part of implementation of the planning
buffer, MWD periodically evaluates supply development to ensure that the region is not under
or over developing supplies. Managed properly, the planning buffer will help ensure that the
southern California region, including San Diego County, will have adequate water supplies to
meet future demands.
Water supply agencies throughout California continue to face climatological, environmental,
legal, and other challenges that impact water source supply conditions, such as the court
rulings regarding the Sacramento-San Joaquin Delta issues and the recent drought impacting
the western states. Challenges such as these essentially always will be present. The regional
water supply agencies, the Water Authority and MWD, along with Otay WD, nevertheless
fully intend to have sufficient, reliable supplies to serve demands.
In Section ES-5 of MWD’s 2010 Regional Urban Water Management Plan (2010 RUWMP),
MWD states that MWD has supply capacities that would be sufficient to meet expected
demands from 2015 through 2035. MWD has plans for supply implementation and continued
development of a diversified resource mix including programs in the Colorado River
Aqueduct, State Water Project, Central Valley Transfers, local resource projects, and in-
region storage that enables the region to meet its water supply needs. MWD’s 2010 RUWMP
identifies potential reserve supplies in the supply capability analysis (Tables 2-9, 2-10, and 2-
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 2 SPA Amendment
4
11), which could be available to meet the unanticipated demands such as those related to the
Village 2 SPA Amendment Project.
The County Water Authority Act, Section 5 subdivision 11, states that the Water Authority
“as far as practicable, shall provide each of its member agencies with adequate supplies of
water to meet their expanding and increasing needs.”
As part of preparation of a written water supply assessment report, an agency’s shortage
contingency analysis should be considered in determining sufficiency of supply. Section 11
of the Water Authority’s 2010 UWMP contains a detailed shortage contingency analysis that
addresses a regional catastrophic shortage situation and drought management. The analysis
demonstrates that the Water Authority and its member agencies, through the Emergency
Response Plan, Emergency Storage Project, and Drought Management Plan (DMP) are taking
actions to prepare for and appropriately handle an interruption of water supplies. The DMP,
adopted in May 2006, provides the Water Authority and its member agencies with a series of
potential actions to take when faced with a shortage of imported water supplies from MWD
due to prolonged drought or other supply shortfall conditions. The actions will help the
region avoid or minimize the impacts of shortages and ensure an equitable allocation of
supplies.
Otay Water District Water Supply Development Program
In evaluating the availability of sufficient water supply, the Village 2 SPA Amendment
project proponents are required to participate in the development of alternative water supply
project(s). This can be achieved through payment of the Water Supply Fee adopted by the
Otay WD Board in May 2010. These water supply projects, detailed in the Otay WD’s 2010
UWMP, are in addition to those identified as sustainable supplies in the current Water
Authority and MWD UWMP, IRP, Master Plans, and other planning documents. These new
water supply projects are in response to the regional water supply issues and are not currently
developed but are in various stages of the planning process. A few examples of these
alternative water supply projects include the Middle Sweetwater River Basin Groundwater
Well project, the North District Recycled Water Supply Concept, the Rosarito Ocean
Desalination Facility project, and the Rancho del Rey Groundwater Well project. The Water
Authority and MWD next forecast and supply planning documents would capture any
increase in water supplies resulting from any new water resources developed by Otay WD.
Findings
The WSA&V Report identifies and describes the processes by which water demand
projections for the proposed Village 2 SPA Amendment project will be fully included in the
water demand and supply forecasts of the UWMPs and other water resources planning
documents of the Water Authority and MWD. Water supplies necessary to serve the demands
of the proposed project, along with existing and other projected future users, as well as the
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 2 SPA Amendment
5
actions necessary and status to develop these supplies, have been identified in the Village 2
SPA Amendment project WSA&V Report and will be included in the future water supply
planning documents of the Water Authority and MWD.
This WSA&V Report includes, among other information, an identification of existing water
supply entitlements, water rights, water service contracts, water supply projects, or
agreements relevant to the identified water supply needs for the proposed Village 2 SPA
Amendment project. The WSA&V Report demonstrates and documents that sufficient water
supplies are planned for and are intended to be available over a 20-year planning horizon,
under normal conditions and in single-dry and multiple-dry years to meet the projected
demand of the proposed Village 2 SPA Amendment project and the existing and other
planned development projects to be served by the Otay WD.
Accordingly, after approval of a WSA&V Report for the Village 2 SPA Amendment project
by the Otay WD Board of Directors (Board), the WSA&V Report may be used to comply
with the requirements of the legislation enacted by Senate Bills 610 and 221 as follows:
1. Senate Bill 610 Water Supply Assessment: The Otay WD Board approved WSA&V
Report may be incorporated into the California Environmental Quality Act (CEQA)
Environmental Impact Report (EIR) compliance process for the Village 2 SPA
Amendment project as a water supply assessment report consistent with the
requirements of the legislation enacted by SB 610. The City, as lead agency under
CEQA for the Village 2 SPA Amendment project EIR, may cite the approved
WSA&V Report as evidence that a sufficient water supply is planned for and is
intended to be made available to serve the Village 2 SPA Amendment project.
2. Senate Bill 221 Water Supply Verification: The Otay WD Board approved WSA&V
Report may be incorporated into the City’s Tentative Map approval process for the
Village 2 SPA Amendment project as a water supply verification report, consistent
with the requirements of the legislation enacted by SB 221. The City, within their
process of approving the Village 2 SPA Amendment project’s Tentative Map, may
cite the approved WSA&V Report as verification of intended sufficient water supply
to serve the Village 2 SPA Amendment project.
Section 1 - Purpose
The Village 2 SPA Amendment project is located in the southern Otay Ranch area. Village 2
is split into several different ownerships. Baldwin and Sons is the majority owner and
submitted an SPA Amendment package to the City of Chula Vista for the development of the
Otay Ranch Village 2 project. The City requested that Otay WD prepare a Water Supply
Assessment and Verification Report for the Village 2 SPA Amendment project. The current
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 2 SPA Amendment
6
Village 2 SPA Amendment project description is provided in Section 3 of this WSA&V
Report.
This WSA&V Report for the Village 2 SPA Amendment project has been prepared by the
Otay WD in consultation with Dexter Wilson Engineering, Inc., the San Diego County Water
Authority, and the City of Chula Vista pursuant to Public Resources Code Section 21151.9
and California Water Code Sections 10631, 10656, 10910, 10911, 10912, and 10915 referred
to as Senate Bill (SB) 610 and Business and Professions Code Section 11010 and Government
Code Sections 65867.5, 66455.3, and 66473.7 referred to as SB 221. SB 610 and SB 221
amended state law, effective January 1, 2002, intending to improve the link between
information on water supply availability and certain land use decisions made by cities and
counties. SB 610 requires that the water purveyor of the public water system prepare a water
supply assessment to be included in the California Environmental Quality Act (CEQA)
environmental documentation and approval process of certain proposed projects. SB 221
requires affirmative written verification from the water purveyor of the public water system
that sufficient water supplies are to be available for certain residential subdivisions of
property prior to approval of a tentative map. The requirements of SB 610 and SB 221 are
being addressed by this WSA&V Report.
The City also requested, since the requirements of SB 610 and SB 221 are substantially
similar, that Otay WD prepare both the water supply assessment and verification
concurrently.
This WSA&V Report evaluates water supplies that are planned to be available during normal,
single-dry years, and multiple-dry water years during a 20-year planning horizon to meet
existing demands, expected demands of the Village 2 SPA Amendment project, and
reasonably foreseeable planned future water demands served by Otay WD. The Otay WD
Board of Directors approved WSA&V Report is planned to be used by the City in its
evaluation of the Village 2 SPA Amendment project under the CEQA and Tentative Map
approval processes.
Section 2 - Findings
The Otay WD prepared this WSA&V Report at the request of the City for the Otay Ranch
Village 2 SPA Amendment project. Baldwin and Sons submitted an entitlement application
to the City for the Village 2 SPA Amendment project.
The Village 2 SPA Amendment Project is located within the jurisdictions of the Otay WD, the
Water Authority, and the MWD. To obtain permanent imported water supply service, land
areas are required to be within the jurisdictions of the Otay WD, Water Authority, and MWD
to utilize imported water supply.
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 2 SPA Amendment
7
The revised expected potable water demand as a result of the Village 2 SPA Amendment
Project is 1.46 million gallons per day (MGD) or about 1,634 acre-feet per year (AFY). The
current development plan is expected to increase the water demand for this project above
what was projected in the District’s 2009 Water Resources Master Plan, revised in November
2010, which estimated 1,105 AFY for the same parcels. The revised projected recycled water
demand as a result of the Village 2 SPA Amendment Project is 500,056 gpd or 560 AFY,
representing about 25% of the total Village 2 SPA Amendment Project water demand.
The 529 AFY increase in demand is accounted for through the Accelerated Forecast Growth
demand increment of the Water Authority’s 2010 UWMP. As documented in this Plan, the
Water Authority is planning to meet future and existing demands which include the demand
increment associated with the accelerated forecasted growth. The Water Authority will assist
its member agencies in tracking the environmental documents provided by the agencies that
include water supply assessments and verification reports that utilize the accelerated
forecasted growth demand increment to demonstrate supplies for the development. In
addition, the next update of the demand forecast for the Water Authority’s 2015 UWMP will
be based on SANDAG’s most recently updated forecast, which will include the Project.
Therefore, based on the findings from the Otay WD’s 2010 UWMP and the Water Authority’s
2010 UWMP, this project will result in no unanticipated demands.
The Village 2 SPA Amendment Project development proponents are required to use recycled
water for irrigation and other appropriate uses. The primary benefit of using recycled water is
that it will offset the potable water demands by an estimated 560 AFY. The 2010 WRMP
Revision and the 2010 UWMP anticipated that the land area to be utilized for the Village 2
SPA Amendment Project would use both potable and recycled water.
The Water Authority’s 2010 UWMP provides for a comprehensive planning analysis at a
regional level and includes water use associated with accelerated forecasted development as
part of its municipal and industrial sector demand projections. These housing and commercial
units were identified by SANDAG in the course of its regional housing needs assessment, but
are not yet included in existing general land use plans of local jurisdictions. The demand
associated with accelerated forecasted residential development is intended to account for
SANDAG’s land-use development currently projected to occur between 2035 and 2050, but
has the likely potential to occur on an accelerated schedule. SANDAG estimates that this
accelerated forecasted residential and commercial development forecasted could occur within
the planning horizon (2015 to 2035) of the 2010 UWMP. This land-use is not included in the
local jurisdictions’ general plan, so their projected demands are incorporated at a regional
level. When necessary, this additional demand increment, termed Accelerated Forecasted
Growth, can be used by member agencies to meet the demands of development projects not
identified in the general land use plans.
The Water Authority and MWD have an established process that ensures supplies are being
planned to meet future growth. Any annexations and revisions to established land use plans
are captured in the SANDAG updated forecasts for land use planning, demographics, and
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 2 SPA Amendment
8
economic projections. SANDAG serves as the regional, intergovernmental planning agency
that develops and provides forecast information. The Water Authority and MWD update their
demand forecasts and supply needs based on the most recent SANDAG forecast
approximately every five years to coincide with preparation of their urban water management
plans. Prior to the next forecast update, local jurisdictions may require water supply
assessment and/or verification reports for proposed land developments that are not within
Otay WD, Water Authority, nor MWD jurisdictions (i.e., pending or proposed annexations) or
that have revised land use plans than reflected in the existing growth forecasts. Proposed land
areas with pending or proposed annexations or revised land use plans typically result in
creating higher demand and supply requirements than anticipated. The Otay WD, the Water
Authority, and MWD next demand forecast and supply requirements and associated planning
documents would then capture any increase or decrease in demands and required supplies as a
result of annexations or revised land use planning decisions.
This process is utilized by the Water Authority and MWD to document the water supplies
necessary to serve the demands of the proposed Village 2 SPA Amendment project, along
with existing and other projected future users, as well as the actions necessary to develop
these supplies. Through this process the necessary demand and supply information is thus
assured to be identified and incorporated within the water supply planning documents of the
Water Authority and MWD.
The Otay WD 2010 UWMP included a water conservation component to comply with Senate
Bill 7 of the Seventh Extraordinary Session (SBX 7-7), which became effective February 3,
2010. This new law was the water conservation component to the Delta legislation package,
and seeks to achieve a 20 percent statewide reduction in urban per capita water use in
California by December 31, 2020. Specifically, SBX 7-7 from this Extraordinary Session
requires each urban retail water supplier to develop urban water use targets to help meet the
20 percent reduction goal by 2020 (20x2020), and an interim water reduction target by 2015.
Otay WD has adopted Method 1 to set its 2015 interim and 2020 water use targets. Method 1
requires setting the 2020 water use target to 80 percent of baseline per capita water use target
as provided in the State’s Draft 20x2020 Water Conservation Plan. The Otay WD 2015 target
is 171 gpcd and the 2020 gpcd target at 80 percent of baseline is 152 gpcd.
The Otay WD’s recent per capita water use has been declining to the point where current
water use already meets the 2020 target for Method 1. This recent decline in per capita water
use is largely due to drought water use restrictions, increased water costs, and economic
conditions. However, Otay WD’s effective water use awareness campaign and enhanced
conservation mentality of its customers will likely result in some long-term carryover of these
reduced consumption rates.
In evaluating the availability of sufficient water supply, the Village 2 SPA Amendment
project proponents are required to participate in the development of alternative water supply
project(s). This can be achieved through payment of the Water Supply Fee adopted by the
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 2 SPA Amendment
9
Otay Water District Board in May 2010. These water supply projects are in addition to those
identified as sustainable supplies in the current Water Authority and MWD UWMP, IRP,
Master Plans, and other planning documents. These new water supply projects are in
response to the regional water supply issues related to the Sacramento-San Joaquin Delta and
the current ongoing western states drought conditions. These new additional water supply
projects are not currently developed and are in various stages of the planning process. A few
examples of these alternative water supply projects include the Middle Sweetwater River
Basin Groundwater Well project, the North District Recycled Water Supply Concept, the
Rosarito Ocean Desalination Facility project, and the Rancho del Rey Groundwater Well
project. The Water Authority and MWD next forecast and supply planning documents would
capture any increase in water supplies resulting from any new water resources developed by
the Otay WD.
Water supplies necessary to serve the demands of the proposed Village 2 SPA Amendment
project, along with existing and other reasonably foreseeable projected future users, as well as
the actions necessary and status to develop these supplies, will be identified and included
within the water supply planning documents of the Water Authority and MWD. This
WSA&V Report demonstrates and verifies that with development of the resources currently
identified and those that may be additional acquired, that there is sufficient water supplies
being planned for and is intended to be developed over the next 20-year planning horizon to
meet the projected demand of the proposed Village 2 SPA Amendment project and the
existing and other reasonably foreseeable planned development projects within the Otay WD.
This WSA&V Report includes, among other information, an identification of existing water
supply entitlements, water rights, water service contracts, proposed water supply projects, or
agreements relevant to the identified water supply needs for the proposed Village 2 SPA
Amendment project. This WSA&V Report incorporates by reference the current Urban
Water Management Plans and other water resources planning documents of the Otay WD, the
Water Authority, and MWD. The Otay WD prepared this WSA&V to verify and document
that sufficient water supplies are being planned for and are intended to be acquired to meet
projected water demands of the Village 2 SPA Amendment project and the existing and other
reasonably foreseeable planned development projects within the Otay WD for a 20-year
planning horizon, in normal supply years, and in single-dry and multiple-dry years.
Based on a normal water supply year, the five-year increments for a 20-year projection
indicate projected potable and recycled water supply is being planned for and is intended to be
acquired to meet the estimated water demand targets of the Otay WD (44,883 acre-feet (ac-ft)
in 2015 to 56,614 ac-ft in 2035 per the Otay WD 2010 UWMP). Based on dry year forecasts,
the estimated water supply is also being planned for and is intended to be acquired to meet the
projected water demand, during single-dry and multiple-dry year scenarios. On average, the
dry year demands are about 6.4 percent higher than the normal year demands. The Otay WD
recycled water supply is assumed to be drought-proof and not subject to reduction during dry
periods.
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 2 SPA Amendment
10
Together, these findings demonstrate and verify that sufficient water supplies are being
planned for and are intended to be acquired, as well as the actions necessary and status to
develop these supplies are and will be further documented, to serve the proposed Village 2
SPA Amendment project and the existing and other reasonably foreseeable planned projects
within the Otay WD in both normal and single-dry and multiple-dry year forecasts for a 20-
year planning horizon.
Section 3 - Project Description
The Otay Ranch Village 2 SPA Amendment project is located within the City of Chula Vista,
California. Refer to Appendix A for a regional location map of the proposed project.
The Village 2 project is included within a land use planning document known as the Otay
Ranch General Development Plan/Sub-regional Plan (Otay Ranch GDP). The County of San
Diego and City of Chula Vista jointly prepared and adopted the Otay Ranch GDP. The
Village 2 SPA Amendment project is located within what is defined as the Otay River Parcel
of the Otay Ranch GDP. The project is a part of the designated 14 villages and five planning
areas within the Otay Ranch GDP area. The Otay Ranch Village 2 SPA Amendment Project
current development plan approval is dependent on the City’s eventual adoption of their
entitlement application.
The Chula Vista City Council and the San Diego County Board of Supervisors adopted the
Otay Ranch GDP on October 28, 1993, which was accompanied by a Program Environmental
Impact Report EIR-90-01 (SCH #89010154).
The approximately 23,000 acre Otay Ranch is a master-planned community that includes a
broad range of residential, commercial, retail, and industrial development interwoven with
civic and community uses, such as libraries, parks, and schools, together with an open space
preserve system consisting of approximately 11,375 acres.
The Baldwin and Sons proposed development concept for the Village 2 SPA Amendment
project is planned as changes to a variety of land uses as shown in Table 1.
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Table 1
Otay Ranch Village 2 SPA Proposed Land Uses
Location Land Use Description Existing
Approved
Proposed
with SPA
Amendment
Village 2 Single Family Residential 414 units 604 units
Village 2 Multi-Family Residential 2,567 units 3,941 units
Village 2 Mixed Use/Commercial 23.9 ac 23.9 ac
Village 2 Industrial 60.7 ac 92.9 ac
Village 2 Park 55.8 ac 63.6 ac
Village 2 CPF 6.5 ac 13.6 ac
Village 2 School 10.3 ac 19.8 ac
Village 2 Open Space/Circulation 200.2 ac 200.2 ac
TOTAL 2,981 units 4,545 units
The comprehensive SPA Amendment for Village 2 proposes to add 1,564 residential units, an
elementary school, park, and CPF sites to the currently approved land plan. The project is
located along the south side of Olympic Parkway, west of La Media Road. Refer to Appendix
B for the proposed development plan of the Village 2 SPA Amendment project.
The City has identified discretionary actions and/or permit approval requirements for the
Village 2 SPA Amendment project. The projected potable and recycled water demands and
resulting water supply requirements associated with the Village 2 SPA Amendment project
have considered the discretionary actions and/or permit approvals and are incorporated into
and used in this WSA&V Report. The water demands for the proposed Village 2 SPA
Amendment project are provided in Section 5 – Historical and Projected Water Demands.
Section 4 – Otay Water District
The Otay WD is a municipal water district formed in 1956 pursuant to the Municipal Water
District Act of 1911 (Water Code §§ 71000 et seq.). The Otay WD joined the Water
Authority as a member agency in 1956 to acquire the right to purchase and distribute imported
water throughout its service area. The Water Authority is an agency responsible for the
wholesale supply of water to its 24 public agency members in San Diego County.
The Otay WD currently relies on the Water Authority for 100 percent of its treated potable
water supply. The Water Authority is the agency responsible for the supply of imported water
into San Diego County through its membership in MWD. The Water Authority currently
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obtains the vast majority of its imported supply from MWD, but is in the process of
diversifying its available supplies.
The Otay WD provides water service to residential, commercial, industrial, and agricultural
customers, and for environmental and fire protection uses. In addition to providing water
throughout its service area, Otay WD also provides sewage collection and treatment services
to a portion of its service area known as the Jamacha Basin. The Otay WD also owns and
operates the Ralph W. Chapman Water Reclamation Facility (RWCWRF) which has an
effective treatment capacity of 1.2 million gallons per day (MGD) or about 1,300 acre-feet per
year (ac-ft/yr) to produce recycled water. On May 18, 2007 an additional source of recycled
water supply, at least 6 MGD or about 6,720 ac-ft/yr, became available to Otay WD from the
City of San Diego’s South Bay Water Reclamation Plant (SBWRP).
The Otay WD jurisdictional area is generally located within the south central portion of San
Diego County and includes approximately 125 square miles. The Otay WD serves portions of
the unincorporated communities of southern El Cajon, La Mesa, Rancho San Diego, Jamul,
Spring Valley, Bonita, and Otay Mesa, the eastern portion of the City of Chula Vista and a
portion of the City of San Diego on Otay Mesa. The Otay WD jurisdiction boundaries are
roughly bounded on the north by the Padre Dam Municipal Water District, on the northwest
by the Helix Water District, and on the west by the South Bay Irrigation District (Sweetwater
Authority) and the City of San Diego. The southern boundary of Otay WD is the international
border with Mexico.
The planning area addressed in the Otay WD 2010 Water Resources Master Plan Update and
the Otay WD 2010 Urban Water Management Plan (2010 UWMP) includes the land within
the jurisdictional boundary of the Otay WD and those areas outside of the present Otay WD
boundaries considered to be in the Area of Influence of the Otay WD. Figure 2-1 contained
within the Otay WD 2010 WRMP shows the jurisdictional boundary of the Otay WD and the
Area of Influence. The planning area is approximately 143 square miles, of which
approximately 125 square miles are within the Otay WD current boundaries and
approximately 18 square miles are in the Area of Influence. The area east of Otay WD is
rural and currently not within any water purveyor jurisdiction and potentially could be served
by the Otay WD in the future if the need for imported water becomes necessary, as is the case
for the Area of Influence.
The City of Chula Vista, the City of San Diego, and the County of San Diego are the three
land use planning agencies within the Otay WD jurisdiction. Data on forecasts for land use
planning, demographics, economic projections, population, and the future rate of growth
within Otay WD were obtained from the San Diego Association of Governments (SANDAG).
SANDAG serves as the regional, intergovernmental planning agency that develops and
provides forecast information through the year 2050. Population growth within the Otay WD
service area is expected to increase from the 2010 figure of approximately 198,616 to an
estimated 284,997 by 2035. Land use information used to develop water demand projections
are based upon Specific or Sectional Planning Areas, the Otay Ranch General Development
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Plan/Sub-regional Plan, East Otay Mesa Specific Plan Area, San Diego County Community
Plans, and City of San Diego Otay Mesa Community Plan, City of Chula Vista, and County
of San Diego General Plans.
The Otay WD long-term historic growth rate has been approximately 4 percent. The growth
rate has significantly slowed due to the current economic conditions and it is expected to slow
as the inventory of developable land is diminished.
Climatic conditions within the Otay WD service area are characteristically Mediterranean
near the coast, with mild temperatures year round. Inland areas are both hotter in summer and
cooler in winter, with summer temperatures often exceeding 90 degrees and winter
temperatures occasionally dipping to below freezing. Most of the region’s rainfall occurs
during the months of December through March. Average annual rainfall is approximately
12.17 inches per year.
Historic climate data were obtained from the Western Regional Climate Center for Station
042706 (El Cajon). This station was selected because its annual temperature variation is
representative of most of the Otay WD service area. While there is a station in the City of
Chula Vista, the temperature variation at the City of Chula Vista station is more typical of a
coastal environment than the conditions in most of the Otay WD service area.
4.1 Urban Water Management Plan
In accordance with the California Urban Water Management Planning Act and recent
legislation, the Otay Water District Board of Directors adopted an UWMP in June 2011 and
subsequently submitted the plan to the California Department of Water Resources (DWR).
As required by law, the Otay Water District 2010 UWMP includes projected water supplies
required to meet future demands through 2035. In accordance with Water Code Section
10910 (c)(2) and Government Code Section 66473.7 (c)(3), information from the Otay Water
District 2010 UWMP along with supplemental information from the Otay Water District
WRMP Update have been utilized to prepare this WSA Report and are incorporated herein by
reference.
The state Legislature passed Senate Bill 7 as part of the Seventh Extraordinary Session (SBX
7-7) on November 10, 2009, which became effective February 3, 2010. This new law was the
water conservation component to the Delta legislation package and seeks to achieve a 20
percent statewide reduction in urban per capita water use in California by December 31, 2020.
Specifically, SBX 7-7 from this Extraordinary Session requires each urban retail water
supplier to develop urban water use targets to help meet the 20 percent reduction goal by 2020
(20x2020), and an interim water reduction target by 2015.
The SBX 7-7 target setting process includes the following: (1) baseline daily per capita water
use; (2) urban water use target; (3) interim water use target; (4) compliance daily per capita
water use, including technical bases and supporting data for those determinations. In order
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for an agency to meet its 2020 water use target, each agency can increase its use of recycled
water to offset potable water use and also step up its water conservation measures. The
required water use targets for 2020 and an interim target for 2015 are determined using one of
four target methods – each method has numerous methodologies. The 2020 urban water use
target may be updated in a supplier’s 2015 UWMP.
In 2015, urban retail water suppliers will be required to report interim compliance followed by
actual compliance in 2020. Interim compliance is halfway between the baseline water use and
2020 target. Baseline, target, and compliance-year water use estimates are required to be
reported in gallons per capita per day (gpcd).
Failure to meet adopted targets will result in the ineligibility of a water supplier to receive
grants or loans administered by the State unless one (1) of two (2) exceptions is met.
Exception one (1) states a water supplier may be eligible if they have submitted a schedule,
financing plan, and budget to DWR for approval to achieve the per capita water use
reductions. Exception two (2) states a water supplier may be eligible if an entire water service
area qualifies as a disadvantaged community.
Otay WD has adopted Method 1 to set its 2015 interim and 2020 water use targets. Method 1
requires setting the 2020 water use target to 80 percent of baseline per capita water use target
as provided in the State’s Draft 20x2020 Water Conservation Plan. The Otay WD 2015 target
is 171 gpcd and the 2020 gpcd target at 80 percent of baseline is 152 gpcd.
The Otay WD’s recent per capita water use has been declining to the point where current
water use already meets the 2020 target for Method 1. This recent decline in per capita water
use is largely due to drought water use restrictions, increased water costs, and poor economic
conditions. However, Otay WD’s effective water use awareness campaign and enhanced
conservation mentality of its customers will likely result in some long-term carryover of these
reduced consumption rates beyond the current drought period.
Section 5 – Historical and Projected Water Demands
The projected demands for Otay WD are based on Specific or Sectional Planning Areas, the
Otay Ranch General Development Plan/Sub-regional Plan, the East Otay Mesa Specific Plan
Area, San Diego County Community Plans, and City of San Diego Otay Mesa Community
Plan, City of Chula Vista and County of San Diego General Plans. This land use information
is also used by SANDAG as the basis for its most recent forecast data. This land use
information is utilized in the preparation of the Otay WD 2010 WRMP (updated November,
2010), and the Otay WD 2010 UWMP to develop the forecasted demands and supply
requirements.
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In 1994, the Water Authority selected the Institute for Water Resources-Municipal and
Industrial Needs (MAIN) computer model to forecast municipal and industrial water use for
the San Diego region. The MAIN model uses demographic and economic data to project
sector-level water demands (i.e., residential and non-residential demands). This econometric
model has over a quarter of a century of practical application and is used by many cities and
water agencies throughout the United States. The Water Authority’s version of the MAIN
model was modified to reflect the San Diego region’s unique parameters and is known as
CWA-MAIN.
The foundation of the water demand forecast is the underlying demographic and economic
projections. This was a primary reason, why, in 1992 the Water Authority and SANDAG
entered into a Memorandum of Agreement (MOA), in which the Water Authority agreed to
use the SANDAG current regional growth forecast for water supply planning purposes. In
addition, the MOA recognizes that water supply reliability must be a component of San Diego
County’s regional growth management strategy required by Proposition C, as passed by the
San Diego County voters in 1988. The MOA ensures a strong linkage between local general
plan land use forecasts and water demand projections and resulting supply needs for the San
Diego region.
Consistent with the previous CWA-MAIN modeling efforts, on February 26, 2010, the
SANDAG Board of Directors accepted the Series 12: 2050 Regional Growth Forecast. The
2050 Regional Growth Forecast will be used by SANDAG as the foundation for the next
Regional Comprehensive Plan update. SANDAG forecasts also are used by local
governments for planning, including the San Diego County Water Authority 2010 Urban
Water Management Plan update.
The municipal and industrial forecast also included an updated accounting of projected
conservation savings based on projected regional implementation of the California Urban
Water Conservation Council (CUWCC) Best Management Practices and SANDAG
demographic information for the period 2010 through 2035. These savings estimates were
then factored into the baseline municipal and industrial demand forecast.
A separate agricultural model, also used in prior modeling efforts, was used to forecast
agricultural water demands within the Water Authority service area. This model estimates
agricultural demand to be met by the Water Authority’s member agencies based on
agricultural acreage projections provided by SANDAG, crop distribution data derived from
the Department of Water Resources and the California Avocado Commission, and average
crop-type watering requirements based on California Irrigation Management Information
System data.
The Water Authority and MWD update their water demand and supply projections within
their jurisdictions utilizing the SANDAG most recent growth forecast to project future water
demands. This provides for the important strong link between demand and supply projections
to the land use plans of the cities and the county. This provides for consistency between the
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retail and wholesale agencies water demand projections, thereby ensuring that adequate
supplies are and will be planned for the Otay WD existing and future water users. Existing
land use plans, any revisions to land use plans, and annexations are captured in the SANDAG
updated forecasts. The Water Authority and MWD will update their demand forecasts based
on the SANDAG most recent forecast approximately every five years to coincide with
preparation of their urban water management plans. Prior to the next forecast update, local
jurisdictions may require water supply assessment and/or verification reports consistent with
Senate Bills 610 and 221 for proposed land use developments that either have pending or
proposed annexations into the Otay WD, Water Authority, and MWD or that have revised
land use plans than originally anticipated. The Water Authority and MWD next forecast and
supply planning documents would then capture any increase or decrease in demands caused
by annexations or revised land use plans.
In evaluating the availability of sufficient water supply, the Village 2 SPA Amendment
project proponents are required to participate in the development of alternative water supply
project(s). This can be achieved through payment of the New Water Supply Fee adopted by
the Otay WD Board in May 2010. These water supply projects are in addition to those
identified as sustainable supplies in the current Water Authority and MWD UWMP, IRP,
Master Plans, and other planning documents. These new water supply projects are in
response to the regional water supply issues related to climatological, environmental, legal,
and other challenges that impact water source supply conditions, such as the court rulings
regarding the Sacramento-San Joaquin Delta and the current ongoing western states drought
conditions. These new additional water supply projects are not currently developed and are in
various stages of the planning process. A few examples of these alternative water supply
projects include the Middle Sweetwater River Basin Groundwater Well project, the North
District Recycled Water Supply Concept, the Rosarito Ocean Desalination Facility project,
and the Rancho del Rey Groundwater Well project. The Water Authority and MWD next
forecast and supply planning documents would capture any increase in water supplies
resulting from any new water resources developed by the Otay WD.
In addition, MWD’s 2010 RUWMP identified potential reserve supplies in the supply
capability analysis (Tables 2-9, 2-10, and 2-11), which could be available to meet any
unanticipated demands. The Water Authority and MWD’s next forecast and supply planning
documents would capture any increase in necessary supply resources resulting from any new
water supply resources.
The Otay WD water demand projection methodology utilizes a component land use approach. This is
done by applying representative values of water use to the acreage of each land use type and then
aggregating these individual land use demand projections into an overall total demand for Otay WD.
This is called the water duty method, and the water duty is the amount of water used in acre-feet per
acre per year. This approach is used for all the land use types except residential development where a demand
per dwelling unit was applied. In addition, commercial and industrial water use categories are
further subdivided by type including separate categories for golf courses, schools, jails,
prisons, hospitals, etc. where specific water demands are established.
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To determine water duties for the various types of land use, the entire water meter database of the
Otay WD is utilized and sorted by the appropriate land use types. The metered consumption records
are then examined for each of the land uses, and water duties are determined for the various types of
residential, commercial, industrial, and institutional land uses. For example the water duty factors
for commercial and industrial land uses are estimated using 1,785 and 893 gallons per day per acre,
respectively. Residential water demand is established based on the same data but computed on a per-
dwelling unit basis. The focus is to ensure that for each of the residential land use categories (very
low, low, medium, and high densities), the demand criteria used is adequately represented
based upon actual data. This method is used because residential land uses constitute a
substantial percentage of the total developable planning area of the Otay WD.
The WRMP Update calculates potable water demand by taking the gross acreage of a site and
applying a potable water reduction factor (PWRF), which is intended to represent the
percentage of acreage to be served by potable water and that not served by recycled water for
irrigation. For industrial land use, as an example, the PWRF is 0.95 (i.e., 95% of the site is
assumed to be served by potable water, 5% of the site is assumed to be irrigated with recycled
water). The potable net acreage is then multiplied by the unit demand factor corresponding to
its respective land use. This approach is used in the WRMP Update for all the land use types
except residential development where a demand per dwelling unit is applied. In addition,
commercial and industrial water use categories are further subdivided by type including
separate categories for golf courses, schools, jails, prisons, hospitals, etc. where specific water
demands are allocated.
By applying the established water duties to the proposed land uses, the projected water
demand for the entire Otay WD planning area at ultimate development is determined.
Projected water demands for the intervening years were determined using growth rate
projections consistent with data obtained from SANDAG and the experience of the Otay WD.
The historical and projected potable water demands for Otay WD are shown in Table 2.
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Table 2
Historical and Projected Potable Water Fiscal Year Demands (acre-feet)
Water Use Sectors 2005 2010 2015 2020 2025 2030 2035
Single Family 21,233 17,165 23,633 28,312 33,600 37,211 40,635
Multi-Family 3,095 3,605 3,444 4,126 4,897 5,423 5,922
Commercial & 1,657 2,243 1,844 2,209 2,622 2,904 3,171
Institutional & 2,262 1,867 2,518 3,017 3,580 3,965 4,330
Landscape 6,458 3,732 10,134 12,141 14,408 15,957 17,425
Other 2,426 584 2,700 3,235 3,839 4,252 4,643
Unaccounted for 547 23 608 729 865 958 1,046
Totals 37,678 29,219 44,881 53,769 63,811 70,670 77,172
Source: Otay Water District 2010 UWMP.
The historical and projected recycled water demands for Otay WD are shown in Table 3.
Table 3
Historical and Projected Recycled Water Fiscal Year Demands (acre-feet)
Water Use Sector 2005 2010 2015 2020 2025 2030 2035
Landscape 4,090 4,000 4,400 5,000 5,800 6,800 8,000
Totals 4,090 4,000 4,400 5,000 5,800 6,800 8,000
Source: Otay Water District 2010 UWMP, Table 10.
Using the land use demand projection criteria as established in the Otay WD 2010 revision of
the 2009 WRMP, the current projected potable water demand for the proposed Village 2 SPA
Amendment project is shown in Table 4, totals approximately 1.46 MGD or about 1,634 ac-
ft/yr. This is 529 ac-ft/yr greater than what was estimated in the November 2010 WRMP
revision. An April 2013 update of the 2010 WRMP revision, that includes this additional
demand, has been prepared for the Otay WD.
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Table 4
Village 2 SPA Amendment Projected Potable
Water Annual Average Demands
Location (Land Use) Quantity
Potable
Water
Factor
Unit Rate
Average
Demand,
gpd
SF Residential 604 units 100% 500 gpd/unit 302,000
MF/MU Residential 3,941 units 85% 255 gpd/unit 1,004,955
MU/C Commercial 23.9 ac 90% 1,607gpd/ac 38,396
Industrial 92.9 ac 95% 848 gpd/ac 74,840
School 19.8 ac 80% 1,428gpd/ac 28,274
CPF 13.6 ac 90% 714 gpd/ac 8,739
Total 1,457,180
The projected recycled water demand resulting from the proposed Village 2 SPA Amendment
project is provided in Table 5, which totals approximately 0.50 MGD or about 560 ac-ft/yr,
representing about 25% of total Village 2 SPA Amendment project demand.
Table 5
Village 2 SPA Amendment Projected Recycled
Water Average Demands
Location (Land Use) Quantity
Recycled
Water
Factor
Net Recycled
Acreage Unit Rate
Average
Demand,
gpd
Open Space 75 ac 100% 75 2,155 gpd/ac 161,625
Parks 63.6 ac 100% 63.6 2,155 gpd/ac 137,058
Office/Commercial 23.9 ac 10% 2.39 2,155 gpd/ac 5,150
Industrial 92.9 ac 5% 4.7 2,155 gpd/ac 10,129
MF/MU Residential 3,941
units 15% 45 gpd/unit 177,345
School 19.8 ac 20% 3.96 2,155 gpd/ac 8,534
Total 499,841
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5.1 Demand Management (Water Conservation)
Demand management, or water conservation is a critical part of the Otay WD 2010 UWMP
and its long term strategy for meeting water supply needs of the Otay WD customers. Water
conservation, is frequently the lowest cost resource available to any water agency. The goals
of the Otay WD water conservation programs are to:
Reduce the demand for more expensive, imported water.
Demonstrate continued commitment to the Best Management Practices (BMP).
Ensure a reliable water supply.
The Otay WD is signatory to the Memorandum of Understanding (MOU) Regarding Urban
Water Conservation in California, which created the California Urban Water Conservation
Council (CUWCC) in 1991 in an effort to reduce California’s long-term water demands.
Water conservation programs are developed and implemented on the premise that water
conservation increases the water supply by reducing the demand on available supply, which is
vital to the optimal utilization of a region’s water supply resources. The Otay WD
participates in many water conservation programs designed and typically operated on a shared
cost participation program basis among the Water Authority, MWD, and their member
agencies. The demands shown in Tables 2 and 3 take into account implementation of water
conservation measures within Otay WD.
As one of the first signatories to the MOU Regarding Urban Water Conservation in
California, Otay WD has made BMP implementation for water conservation the cornerstone
of its conservation programs and a key element in its water resource management strategy.
As a member of the Water Authority, Otay WD also benefits from regional programs
performed on behalf of its member agencies. The BMP programs implemented by Otay WD
and regional BMP programs implemented by the Water Authority that benefit all their
member agencies are addressed in the Otay WD 2010 UWMP. In partnership with the Water
Authority, the County of San Diego, City of San Diego, City of Chula Vista, and developers,
the Otay WD water conservation efforts are expected to grow and expand. The resulting
savings directly relate to additional available water in the San Diego County region for
beneficial use within the Water Authority service area, including the Otay WD.
Additional conservation or water use efficiency measures or programs practiced by the Otay
WD include the following:
Supervisory Control and Data Acquisition System
The Otay WD implemented and has operated for many years a Supervisor Control and
Data Acquisition (SCADA) system to control, monitor, and collect data regarding the
operation of the water system. The major facilities that have SCADA capabilities are the
water flow control supply sources, transmission network, pumping stations, and water
storage reservoirs. The SCADA system allows for many and varied useful functions.
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Some of these functions provide for operating personnel to monitor the water supply
source flow rates, reservoir levels, turn on or off pumping units, etc. The SCADA system
aids in the prevention of water reservoir overflow events and increases energy efficiency.
Water Conservation Ordinance
California Water Code Sections 375 et seq. permit public entities which supply water at
retail to adopt and enforce a water conservation program to reduce the quantity of water
used by the people therein for the purpose of conserving water supplies of such public
entity. The Otay WD Board of Directors established a comprehensive water conservation
program pursuant to California Water Code Sections 375 et seq., based upon the need to
conserve water supplies and to avoid or minimize the effects of any future shortage. A
water shortage could exist based upon the occurrence of one or more of the following
conditions:
1. A general water supply shortage due to increased demand or limited supplies.
2. Distribution or storage facilities of the Water Authority or other agencies become
inadequate.
3. A major failure of the supply, storage, and distribution facilities of MWD, Water
Authority, and/or Otay WD.
The Otay WD water conservation ordinance finds and determines that the conditions
prevailing in the San Diego County area require that the available water resources be put
to maximum beneficial use to the extent to which they are capable, and that the waste or
unreasonable use, or unreasonable method of use, of water be prevented and that the
conservation of such water be encouraged with a view to the maximum reasonable and
beneficial use thereof in the interests of the people of the Otay WD and for the public
welfare.
Otay WD is currently engaged in a number of conservation and water use efficiency activities.
Listed below are the current programs that are either on-going or were recently concluded:
Residential Water Surveys: 1,349 completed since 1994
Large Landscape Surveys: 194 completed since 1990
Cash for Water Smart Plants Landscape Retrofit Program: over 217,600 square feet of
turf grass replaced with water wise plants since 2003
Rotating Nozzles Rebated: 3,170
Residential Weather-Based Irrigation Controller (WBIC) Incentive Program: 231
distributed or rebated since 2004
Residential High Efficiency Clothes Washers: 7,187 rebates since 1994
Residential ULFT/HET Rebate Program: 22,376 rebates provided between 1991-2010
Outreach Efforts to Otay WD Customers - the Otay WD promotes its conservation
programs through staffing outreach events, bill inserts, articles in the Otay WD’s
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quarterly customer Pipeline newsletter, direct mailings to Otay WD customers, the
Otay WD’s webpage and through the Water Authority’s marketing efforts.
School Education Programs- the Otay WD funds school tours of the Water
Conservation Garden, co-funds Splash Labs, provides classroom water themed kits,
maintains a library of school age appropriate water themed books, DVDs, and videos,
and runs both a school poster contest and a water themed photo contest.
Water efficiency in new construction through Cal Green and the Model Water
Efficient Landscape Ordinance
Focus on Commercial/Institutional/Industrial through Promoting MWD’s Save a Buck
(Commercial) Program in conjunction with the Otay WD’s own Commercial Process
Improvement Program
As a signatory to the MOU Regarding Urban Water Conservation in California, the Otay WD
is required to submit biannual reports that detail the implementation of current water
conservation practices. The Otay WD voluntarily agreed to implement the fourteen water
conservation Best Management Practices beginning in 1992. The Otay WD submits its report
to the CUWCC every two years. The Otay WD BMP Reports for 2005 to 2010, as well as the
BMP Coverage Report for 1999-2010, are included in the Otay WD 2010 UWMP.
The Village 2 SPA Amendment project will implement the CUWCC Best Management
Practices for water conservation such as installation of ultra low flow toilets, development of
a water conservation plan, and potential beneficial use of recycled water, all of which are
typical requirements of development projects within the City of Chula Vista.
Section 6 - Existing and Projected Supplies
The Otay WD currently does not have an independent raw or potable water supply source.
The Otay WD is a member public agency of the Water Authority. The Water Authority is a
member public agency of MWD. The statutory relationships between the Water Authority
and its member agencies, and MWD and its member agencies, respectively, establish the
scope of the Otay WD entitlement to water from these two agencies.
The Water Authority through two delivery pipelines, referred to as Pipeline No. 4 and the La
Mesa Sweetwater Extension Pipeline, currently supply the Otay WD with 100 percent of its
potable water. The Water Authority in turn, currently purchases the majority of its water from
MWD. Due to the Otay WD reliance on these two agencies, this WSA&V Report includes
referenced documents that contain information on the existing and projected supplies, supply
programs, and related projects of the Water Authority and MWD. The Otay WD, Water
Authority, and MWD are actively pursuing programs and projects to diversify their water
supply resources.
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The description of local recycled water supplies available to the Otay WD is also discussed
below.
6.1 MWD Water District of Southern California 2010 Regional Urban
Water Management Plan
In November 2010, MWD adopted its 2010 Regional Urban Water Management Plan
(RUWMP). The 2010 RUWMP provides MWD’s member agencies, retail water utilities,
cities, and counties within its service area with, among other things, a detailed evaluation of
the supplies necessary to meet future demands, and an evaluation of reasonable and practical
efficient water uses, recycling, and conservation activities. During the preparation of the
2010 RUWMP, MWD also utilized the current SANDAG regional growth forecast in
calculating regional water demands for the Water Authority service area.
6.1.1 Availability of Sufficient Supplies and Plans for Acquiring
Additional Supplies
MWD is a wholesale supplier of water to its member public agencies and obtains its supplies
from two primary sources: the Colorado River, via the Colorado River Aqueduct (CRA),
which it owns and operates, and Northern California, via the State Water Project (SWP). The
2010 RUWMP documents the availability of these existing supplies and additional supplies
necessary to meet future demands.
6.1.1.1 MWD Supplies
MWD’s Integrated Resources Plan (IRP) identifies a mix of resources (imported and local)
that, when implemented, will provide 100 percent reliability for full-service demands through
the attainment of regional targets set for conservation, local supplies, State Water Project
supplies, Colorado River supplies, groundwater banking, and water transfers. The 2010
update to the IRP (2010 IRP Update) includes a planning buffer supply intended to mitigate
against the risks associated with implementation of local and imported supply programs. The
planning buffer identifies an additional increment of water that could potentially be developed
if other supplies are not implemented as planned. As part of implementation of the planning
buffer, MWD periodically evaluates supply development to ensure that the region is not under
or over-developing supplies. Managed properly, the planning buffer will help ensure that the
southern California region, including San Diego County, will have adequate supplies to meet
future demands.
In November 2010, MWD adopted its 2010 RUWMP in accordance with state law. The
resource targets included in the preceding 2010 IRP Update serve as the foundation for the
planning assumptions used in the 2010 RUWMP. MWD’s 2010 RUWMP contains a water
supply reliability assessment that includes a detailed evaluation of the supplies necessary to
meet demands over a 25-year period in average, single-dry year, and multiple-dry year
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periods. As part of this process, MWD also uses the current SANDAG regional growth
forecast in calculating regional water demands for the Water Authority’s service area.
As stated in MWD’s 2010 RUWMP, that plan may be used as a source document for meeting
the requirements of SB 610 and SB 221 until the next scheduled update is completed in 2015.
The 2005 RUWMP includes a “Justifications for Supply Projections” in Appendix A.3, that
provides detailed documentation of the planning, legal, financial, and regulatory basis for
including each source of supply in the plan. A copy of MWD’s 2010 RUWMP can be found
on the World Wide Web at the following site address:
http://www.mwdh2o.com/mwdh2o/pages/yourwater/RUWMP/RUWMP_2010.pdf
Water supply agencies throughout California continue to face climatological, environmental,
legal, and other challenges that impact water source supply conditions, such as the court
rulings regarding the Sacramento-San Joaquin Delta and the current western states drought
conditions. Challenges such as these essentially always will be present. The regional water
supply agencies, the Water Authority and MWD, along with Otay WD nevertheless fully
intend to have sufficient, reliable supplies to serve demands.
6.1.2 MWD Capital Investment Plan
As part of MWD’s annual budget approval process, a Capital Investment Plan is prepared.
The cost, purpose, justification, status, progress, etc. of MWD’s infrastructure projects to
deliver existing and future supplies are documented in the Capital Investment Plan. The
financing of these projects is addressed as part of the annual budget approval process.
MWD’s Capital Investment Plan includes a series of projects identified from MWD studies of
projected water needs, which, when considered along with operational demands on aging
facilities and new water quality regulations, identify the capital projects needed to maintain
infrastructure reliability and water quality standards, improve efficiency, and provide future
cost savings. All projects within the Capital Investment Plan are evaluated against an
objective set of criteria to ensure they are aligned with the MWD’s goals of supply reliability
and quality.
6.2 San Diego County Water Authority Regional Water Supplies
The Water Authority has adopted plans and is taking specific actions to develop adequate
water supplies to help meet existing and future water demands within the San Diego region.
This section contains details on the supplies being developed by the Water Authority. A
summary of recent actions pertaining to development of these supplies includes:
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In accordance with the Urban Water Management Planning Act, the Water Authority
adopted their 2010 UWMP in June 2011. The updated Water Authority 2010 UWMP
identifies a diverse mix of local and imported water supplies to meet future demands.
A copy of the updated Water Authority 2010 UWMP can be found on the internet at
http://www.sdcwa.org/2010-urban-water-management-plan
Deliveries of conserved agricultural water from the Imperial Irrigation District (IID) to
San Diego County have increased annually since 2003, with 70,000 ac-ft of deliveries in
Fiscal Year (FY) 2010. These quantities will increase annually to 200,000 ac-ft/yr by
2021, and then remain fixed for the duration of the transfer agreement.
As part of the October 2003 Quantification Settlement Agreement (QSA), the Water
Authority was assigned MWD’s rights to 77,700 ac-ft/yr of conserved water from the
All-American Canal (AAC) and Coachella Canal (CC) lining projects. Deliveries of
this conserved water from the CC reached the region in 2007 and deliveries from the
AAC reached the region in 2010. Expected supplies from the canal lining projects are
considered verifiable Water Authority supplies.
Through implementation of the Water Authority and member agency planned supply projects,
along with reliable imported water supplies from MWD, the region anticipates having
adequate supplies to meet existing and future water demands.
To ensure sufficient supplies to meet projected growth in the San Diego region, the Water
Authority uses the SANDAG most recent regional growth forecast in calculating regional
water demands. The SANDAG regional growth forecast is based on the plans and policies of
the land-use jurisdictions with San Diego County. The existing and future demands of the
member agencies are included in the Water Authority’s projections.
6.2.1 Availability of Sufficient Supplies and Plans for Acquiring
Additional Supplies
The Water Authority currently obtains imported supplies from MWD, conserved water from
the AAC and CC lining projects, and an increasing amount of conserved agricultural water
from IID. Of the twenty-seven member agencies that purchase water supplies from MWD,
the Water Authority is MWD’s largest customer.
Section 135 of MWD’s Act defines the preferential right to water for each of its member
agencies. As calculated by MWD, the Water Authority’s preferential right as of December
11, 2012 is 17.22 percent of MWD’s supply, while the Water Authority accounted for
approximately 25 percent of MWD’s total revenue. Under preferential rights, MWD could
allocate water without regard to historic water purchases or dependence on MWD. The Water
Authority and its member agencies are taking measures to reduce dependence on MWD
through development of additional supplies and a water supply portfolio that would not be
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jeopardized by a preferential rights allocation. MWD has stated, consistent with Section 4202
of its Administrative Code that it is prepared to provide the Water Authority’s service area
with adequate supplies of water to meet expanding and increasing needs in the years ahead.
When and as additional water resources are required to meet increasing needs, MWD stated it
will be prepared to deliver such supplies. In Section ES-5 of their 2010 RUWMP, MWD
states that MWD has supply capacities that would be sufficient to meet expected demands
from 2015 through 2035. MWD has plans for supply implementation and continued
development of a diversified resource mix including programs in the Colorado River
Aqueduct, State Water Project, Central Valley Transfers, local resource projects, and in-
region storage that enables the region to meet its water supply needs.
The Water Authority has made large investments in MWD’s facilities and will continue to
include imported supplies from MWD in the future resource mix. As discussed in the Water
Authority’s 2010 UWMP, the Water Authority and its member agencies are planning to
diversify the San Diego regions supply portfolio and reduce purchases from MWD.
As part of the Water Authority’s diversification efforts, the Water Authority is now taking
delivery of conserved agricultural water from IID and water saved from the AAC and CC
lining projects. The CC lining project is complete and the Water Authority has essentially
completed construction of the AAC lining project. Table 6 summarizes the Water Authority’s
supply sources with detailed information included in the sections to follow. Deliveries from
MWD are also included in Table 6, which is further discussed in Section 6.1 above. The
Water Authority’s member agencies provided the verifiable local supply targets for
groundwater, groundwater recovery, recycled water, and surface water, which are discussed in
more detail in Section 5 of the Water Authority’s 2010 UWMP.
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Table 6
Projected Verifiable Water Supplies – Water Authority Service Area
Normal Year (acre-feet)
Water Supply Sources 2015 2020 2025 2030 2035
Water Authority Supplies
MWD Supplies 358,189 230,601 259,694 293,239 323,838
Water Authority/IID Transfer 100,000 190,000 200,000 200,000 200,000
AAC and CC Lining Projects 80,200 80,200 80,200 80,200 80,200
Proposed Regional Seawater
Desalination (1) 0 56,000 56,000 56,000 56,000
Member Agency Supplies
Surface Water 48,206 47,940 47,878 47,542 47,289
Water Recycling 38,660 43,728 46,603 48,278 49,998
Groundwater 11,710 11,100 12,100 12,840 12,840
Groundwater Recovery 10,320 15,520 15,520 15,520 15,520
Total Projected Supplies 647,285 675,089 717,995 753,619 785,685
Source: Water Authority 2010 Urban Water Management Plan – Table 9-1.
Note 1: On November 29, 2012, the Water Authority approved a water purchase agreement with Poseidon for
48,000 AFY with the right to purchase up to 56,000 AFY
Note 2: The Water Authority’s 2010 UWMP includes water associated with accelerated forecasted development
including Village 2 and the 529 AFY additional demand.
Section 5 of the Water Authority’s 2010 UWMP also includes a discussion on the local
supply target for seawater desalination. Seawater desalination supplies represent a significant
future local resource in the Water Authority’s service area.
The Carlsbad Desalination Project (Project) is a fully-permitted seawater desalination plant
and conveyance pipeline designed to provide a highly reliable local supply of up to 56,000
acre-feet (AF) per year for the region. In 2020, the Project would account for approximately
8% of the total projected regional supply and 30% of all locally generated water in San Diego
County. If the project becomes operational in 2016, it will more than double the amount of
local supplies developed in the region since 1991. The desalination plant itself will be fully
financed, built, and operated by Poseidon. The Water Authority will purchase water from the
plant under a water purchase agreement. The new pipeline connecting the desalination plant
with the Water Authority’s Second Aqueduct will be owned and operated by the Water
Authority, but responsibility for design and construction will reside with Poseidon through a
separate Design-Build Agreement. The Water Authority will be responsible for aqueduct
improvements, including the relining and rehabilitation of Pipeline 3 to accept desalinated
water under higher operating pressures, modifications to the San Marcos Vent that allows the
flow of water between Pipelines 3 and 4, and improvements at the Twin Oaks Valley Water
Treatment Plant necessary to integrate desalinated water into the Water Authority’s system
for optimal distribution to member agencies.
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On July 22, 2010, the Board approved a Term Sheet between the Water Authority and
Poseidon Resources that outlined the key terms and conditions that would be detailed and
incorporated in a comprehensive Water Purchase Agreement (WPA). Beginning in October
2011 and under the direction of the Board’s Carlsbad Desalination Project Advisory Group,
staff began developing and negotiating with Poseidon a WPA consistent with the July 22,
2010 Board approved Term Sheet. The July 2010 Term Sheet also identified specific
conditions precedent to Board consideration of the WPA. On November 29, 2012, the Water
Authority Board adopted a resolution approving the Water Purchase Agreement (WPA).
The Water Authority’s existing and planned supplies from the IID transfer and canal lining
projects are considered “drought-proof” supplies and should be available at the yields shown
in Table 6 in normal water year supply and demand assessment. Single-dry year and
multiple-dry year scenarios are discussed in more detail in Section 9 of the Water Authority’s
2010 UWMP.
As part of preparation of a written water supply assessment and/or verification report, an
agency’s shortage contingency analysis should be considered in determining sufficiency of
supply. Section 11 of the Water Authority’s 2010 UWMP contains a detailed shortage
contingency analysis that addresses a regional catastrophic shortage situation and drought
management. The analysis demonstrates that the Water Authority and its member agencies,
through the Emergency Response Plan, Emergency Storage Project, and Drought
Management Plan (DMP) are taking actions to prepare for and appropriately handle an
interruption of water supplies. The DMP, adopted in May 2006, provides the Water Authority
and its member agencies with a series of potential actions to take when faced with a shortage
of imported water supplies from MWD due to prolonged drought or other supply shortfall
conditions. The actions will help the region avoid or minimize the impacts of shortages and
ensure an equitable allocation of supplies throughout the San Diego region.
6.2.1.1 Water Authority-Imperial Irrigation District Water Conservation
and Transfer Agreement
The QSA was signed in October 2003, and resolves long-standing disputes regarding priority
and use of Colorado River water and creates a baseline for implementing water transfers. With
approval of the QSA, the Water Authority and IID were able to implement their Water
Conservation and Transfer Agreement. This agreement not only provides reliability for the San
Diego region, but also assists California in reducing its use of Colorado River water to its legal
allocation.
On April 29, 1998, the Water Authority signed a historic agreement with IID for the long-term
transfer of conserved Colorado River water to San Diego County. The Water Authority-IID
Water Conservation and Transfer Agreement (Transfer Agreement) is the largest agriculture-to-
urban water transfer in United States history. Colorado River water will be conserved by
Imperial Valley farmers who voluntarily participate in the program and then transferred to the
Water Authority for use in San Diego County.
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Implementation Status
On October 10, 2003, the Water Authority and IID executed an amendment to the original 1998
Transfer Agreement. This amendment modified certain aspects of the 1998 Agreement to be
consistent with the terms and conditions of the QSA and related agreements. It also modified
other aspects of the agreement to lessen the environmental impacts of the transfer of conserved
water. The amendment was expressly contingent on the approval and implementation of the
QSA, which was also executed on October 10, 2003.
On November 5, 2003, IID filed a complaint in Imperial County Superior Court seeking
validation of 13 contracts associated with the Transfer Agreement and the QSA. Imperial
County and various private parties filed additional suits in Superior Court, alleging violations of
the California Environmental Quality Act (CEQA), the California Water Code, and other laws
related to the approval of the QSA, the water transfer, and related agreements. The lawsuits were
coordinated for trial. The IID, Coachella Valley Water District, MWD, the Water Authority, and
state are defending these suits and coordinating to seek validation of the contracts. In January
2010, a California Superior Court judge ruled that the QSA and 11 related agreements were
invalid, because one of the agreements created an open-ended financial obligation for the state,
in violation of California’s constitution. The QSA parties appealed this decision and are
continuing to seek validation of the contracts. The appeal is currently pending in the Third
District Court of Appeal. A stay of the trial court judgment has been issued during the appeal.
Implementation of the transfer provisions is proceeding during litigation.
Expected Supply
Deliveries into San Diego County from the transfer began in 2003 with an initial transfer of
10,000 acre-feet per year. The Water Authority received increasing amounts of transfer water
each year, according to a water delivery schedule contained in the transfer agreement. In
2012, the Water Authority will receive 90,000 acre-feet per year. The quantities will increase
annually to 200,000 acre-feet per year by 2021 then remain fixed for the duration of the
transfer agreement. The initial term of the Transfer Agreement is 45 years, with a provision
that either agency may extend the agreement for an additional 30-year term.
During dry years, when water availability is low, the conserved water will be transferred under
the IID Colorado River rights, which are among the most senior in the Lower Colorado River
Basin. Without the protection of these rights, the Water Authority could suffer delivery
cutbacks. In recognition for the value of such reliability, the 1998 contract required the Water
Authority to pay a premium on transfer water under defined regional shortage circumstances.
The shortage premium period duration is the period of consecutive days during which any of the
following exist: 1) a Water Authority shortage; 2) a shortage condition for the Lower Colorado
River as declared by the Secretary; and 3) a Critical Year. Under terms of the October 2003
amendment, the shortage premium will not be included in the cost formula until Agreement Year
16.
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Transportation
The Water Authority entered into a water exchange agreement with MWD on October 10, 2003,
to transport the Water Authority-IID transfer water from the Colorado River to San Diego
County. Under the exchange agreement, MWD will take delivery of the transfer water through
its Colorado River Aqueduct. In exchange, MWD will deliver to the Water Authority a like
quantity and quality of water. The Water Authority will pay MWD’s applicable wheeling rate
for each acre-foot of exchange water delivered. According to the water exchange agreement,
MWD will make delivery of the transfer water for 35 years, unless the Water Authority elects to
extend the agreement another 10 years for a total of 45 years.
Cost/Financing
The costs associated with the transfer are financed through the Water Authority’s rates and
charges. In the agreement between the Water Authority and IID, the price for the transfer water
started at $258 per acre-feet and increased by a set amount for the first seven years. In December
2009, the Water Authority and IID executed a fifth amendment to the water transfer agreement
that sets the price per acre-feet for transfer water for calendar years 2010 through 2015,
beginning at $405 per acre-feet in 2010 and increasing to $624 per acre-feet in 2015. For
calendar years 2016 through 2034, the unit price will be adjusted using an agreed-upon index.
The amendment also required the Water Authority to pay IID $6 million at the end of calendar
year 2009 and another $50 million on or before October 1, 2010, provided that a transfer
stoppage is not in effect as a result of a court order in the QSA coordinated cases. Beginning in
2035, either the Water Authority or IID can, if certain criteria are met, elect a market rate price
through a formula described in the water transfer agreement.
The October 2003 exchange agreement between MWD and the Water Authority set the initial
cost to transport the conserved water at $253 per acre-feet. Thereafter, the price is set to be equal
to the charge or charges set by MWD’s Board of Directors pursuant to applicable laws and
regulation, and generally applicable to the conveyance of water by MWD on behalf of its
member agencies. The transportation charge in 2010 was $314 per acre-feet.
The Water Authority is providing $10 million to help offset potential socioeconomic impacts
associated with temporary land fallowing. IID will credit the Water Authority for these funds
during years 16 through 45. In 2007, the Water Authority prepaid IID an additional $10 million
for future deliveries of water. IID will credit the Water Authority for this up-front payment
during years 16 through 30.
As part of implementation of the QSA and water transfer, the Water Authority also entered into
an environmental cost sharing agreement. Under this agreement the Water Authority is
contributing a total of $64 million to fund environmental mitigation projects and the Salton Sea
Restoration Fund.
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Written Contracts or Other Proof
The supply and costs associated with the transfer are based primarily on the following
documents:
Agreement for Transfer of Conserved Water by and between IID and the Water Authority
(April 29, 1998). This Agreement provides for a market-based transaction in which the Water
Authority would pay IID a unit price for agricultural water conserved by IID and transferred
to the Water Authority.
Revised Fourth Amendment to Agreement between IID and the Water Authority for Transfer of
Conserved Water (October 10, 2003). Consistent with the executed Quantification Settlement
Agreement (QSA) and related agreements, the amendments restructure the agreement and
modify it to minimize the environmental impacts of the transfer of conserved water to the Water
Authority.
Amended and Restated Agreement between MWD and Water Authority for the Exchange of
Water (October 10, 2003). This agreement was executed pursuant to the QSA and provides for
delivery of the transfer water to the Water Authority.
Environmental Cost Sharing, Funding, and Habitat Conservation Plan Development
Agreement among IID, Coachella Valley Water District (CVWD), and Water Authority
(October 10, 2003). This Agreement provides for the specified allocation of QSA-related
environmental review, mitigation, and litigation costs for the term of the QSA, and for
development of a Habitat Conservation Plan.
Quantification Settlement Agreement Joint Powers Authority Creation and Funding
Agreement (October 10, 2003). The purpose of this agreement is to create and fund the QSA
Joint Powers Authority and to establish the limits of the funding obligation of CVWD, IID,
and Water Authority for environmental mitigation and Salton Sea restoration pursuant to SB
654 (Machado).
Fifth Amendment to Agreement between Imperial Irrigation District and San Diego County
Water Authority for Transfer of Conserved Water (December 21, 2009). This agreement
implements a settlement between the Water Authority and IID regarding the base contract price
of transferred water.
Federal, State, and Local Permits/Approvals
Federal Endangered Species Act Permit. The U.S. Fish and Wildlife Service (USFWS) issued a
Biological Opinion on January 12, 2001, that provides incidental take authorization and certain
measures required to offset species impacts on the Colorado River regarding such actions.
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State Water Resources Control Board (SWRCB) Petition. SWRCB adopted Water Rights Order
2002-0016 concerning IID and Water Authority’s amended joint petition for approval of a long-
term transfer of conserved water from IID to the Water Authority and to change the point of
diversion, place of use, and purpose of use under Permit 7643.
Environmental Impact Report (EIR) for Conservation and Transfer Agreement. As lead agency,
IID certified the Final EIR for the Conservation and Transfer Agreement on June 28, 2002.
U. S. Fish and Wildlife Service Draft Biological Opinion and Incidental Take Statement on the
Bureau of Reclamation's Voluntary Fish and Wildlife Conservation Measures and Associated
Conservation Agreements with the California Water Agencies (12/18/02). The U. S. Fish and
Wildlife Service issued the biological opinion/incidental take statement for water transfer
activities involving the Bureau of Reclamation and associated with IID/other California water
agencies' actions on listed species in the Imperial Valley and Salton Sea (per the June 28, 2002
EIR).
Addendum to EIR for Conservation and Transfer Agreement. IID as lead agency and Water
Authority as responsible agency approved addendum to EIR in October 2003.
Environmental Impact Statement (EIS) for Conservation and Transfer Agreement. Bureau of
Reclamation issued a Record of Decision on the EIS in October 2003.
CA Department of Fish and Game California Endangered Species Act Incidental Take Permit
#2081-2003-024-006). The California Department of Fish and Game issued this permit
(10/22/04) for potential take effects on state-listed/fully protected species associated with
IID/other California water agencies' actions on listed species in the Imperial Valley and Salton
Sea (per the June 28, 2002 EIR).
California Endangered Species Act (CESA) Permit. A CESA permit was issued by California
Department of Fish and Game (CDFG) on April 4, 2005, providing incidental take authorization
for potential species impacts on the Colorado River.
6.2.1.2 All-American Canal and Coachella Canal Lining Projects
As part of the QSA and related contracts, the Water Authority was assigned MWD’s rights to
77,700 ac-ft/yr of conserved water from projects that will line the All-American Canal (AAC)
and Coachella Canal (CC). The projects will reduce the loss of water that currently occurs
through seepage, and the conserved water will be delivered to the Water Authority. This
conserved water will provide the San Diego region with an additional 8.5 million acre-feet
over the 110-year life of the agreement.
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Implementation Status
The CC lining project began in November 2004 and was completed in 2006. Deliveries of
conserved water to the Water Authority began in 2007. The project constructed a 37-mile
parallel canal adjacent to the CC. The AAC lining project was begun in 2005 and was
completed in 2010. The lining project constructed a concrete-lined canal parallel to 24 miles
of the existing AAC from Pilot Knob to Drop 3.
In July 2005, a lawsuit (CDEM v United States, Case No. CV-S-05-0870-KJD-PAL) was filed
in the U. S. District Court for the District of Nevada on behalf of U.S. and Mexican groups
challenging the lining of the AAC. The lawsuit, which names the Secretary of the Interior as
a defendant, claims that seepage water from the canal belongs to water users in Mexico.
California water agencies note that the seepage water is actually part of California's Colorado
River allocation and not part of Mexico's allocation. The plaintiffs also allege a failure by the
United States to comply with environmental laws. Federal officials have stated that they
intend to vigorously defend the case.
Expected Supply
The AAC lining project makes 67,700 acre-feet of Colorado River water per year available
for allocation to the Water Authority and San Luis Rey Indian water rights settlement parties.
The CC lining project makes 26,000 acre-feet of Colorado River water each year available for
allocation. The 2003 Allocation Agreement provides for 16,000 acre-feet per year of
conserved canal lining water to be allocated to the San Luis Rey Indian Water Rights
Settlement Parties. The remaining amount, 77,700 acre-feet per year, is to be available to the
Water Authority, with up to an additional 4,850 acre-feet per year available to the Water
Authority depending on environmental requirements from the CC lining project. For planning
purposes, the Water Authority assumes that 2,500 acre-feet of the 4,850 acre-feet will be
available each year for delivery, for a total of 80,200 acre-feet per year of that supply.
According to the Allocation Agreement, IID has call rights to a portion (5,000 acre-feet per
year) of the conserved water upon termination of the QSA for the remainder of the 110 years
of the Allocation Agreement and upon satisfying certain conditions. The term of the QSA is
for up to 75 years.
Transportation
The October 10, 2003, Exchange Agreement between the Water Authority and MWD also
provides for the delivery of the conserved water from the canal lining projects. The Water
Authority will pay MWD’s applicable wheeling rate for each acre-foot of exchange water
delivered. In the Agreement, MWD will deliver the canal lining water for the term of the
Allocation Agreement (110 years).
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Cost/Financing
Under California Water Code Section 12560 et seq., the Water Authority received $200
million in state funds for construction of the canal lining projects. In addition, $20 million
was made available from Proposition 50 and $36 million from Proposition 84. The Water
Authority was responsible for additional expenses above the funds provided by the state.
The rate to be paid to transport the canal lining water will be equal to the charge or charges set
by MWD’s Board of Directors pursuant to applicable law and regulation and generally
applicable to the conveyance of water by MWD on behalf of its member agencies.
In accordance with the Allocation Agreement, the Water Authority will also be responsible
for a portion of the net additional Operation, Maintenance, and Repair (OM&R) costs for the
lined canals. Any costs associated with the lining projects as proposed, are to be financed
through the Water Authority’s rates and charges.
Written Contracts or Other Proof
The expected supply and costs associated with the lining projects are based primarily on the
following documents:
U.S. Public Law 100-675 (1988). Authorized the Department of the Interior to reduce seepage
from the existing earthen AAC and CC. The law provides that conserved water will be made
available to specified California contracting water agencies according to established priorities.
California Department of Water Resources - MWD Funding Agreement (2001). Reimburse
MWD for project work necessary to construct the lining of the CC in an amount not to exceed
$74 million. Modified by First Amendment (2004) to replace MWD with the Authority.
Modified by Second Amendment (2004) to increase funding amount to $83.65 million, with
addition of funds from Proposition 50.
California Department of Water Resources - IID Funding Agreement (2001). Reimburse IID for
project work necessary to construct a lined AAC in an amount not to exceed $126 million.
MWD - CVWD Assignment and Delegation of Design Obligations Agreement (2002). Assigns
design of the CC lining project to CVWD.
MWD - CVWD Financial Arrangements Agreement for Design Obligations (2002). Obligates
MWD to advance funds to CVWD to cover costs for CC lining project design and CVWD to
invoice MWD to permit the Department of Water Resources to be billed for work completed.
Allocation Agreement among the United States of America, The MWD Water District of
Southern California, Coachella Valley Water District, Imperial Irrigation District, San Diego
County Water Authority, the La Jolla, Pala, Pauma, Rincon, and San Pasqual Bands of Mission
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Indians, the San Luis Rey River Indian Water Authority, the City of Escondido, and Vista
Irrigation District (October 10, 2003). This agreement includes assignment of MWD’s rights
and interest in delivery of 77,700 acre-feet of Colorado River water previously intended to be
delivered to MWD to the Water Authority. Allocates water from the AAC and CC lining
projects for at least 110 years to the Water Authority, the San Luis Rey Indian Water Rights
Settlement Parties, and IID, if it exercises its call rights.
Amended and Restated Agreement between MWD and Water Authority for the Exchange of
Water (October 10, 2003). This agreement was executed pursuant to the QSA and provides for
delivery of the conserved canal lining water to the Water Authority.
Agreement between MWD and Water Authority regarding Assignment of Agreements related to
the AAC and CC Lining Projects. This agreement was executed in April 2004 and assigns
MWD's rights to the Water Authority for agreements that had been executed to facilitate funding
and construction of the AAC and CC lining projects.
Assignment and Delegation of Construction Obligations for the Coachella Canal Lining Project
under the Department of Water Resources Funding Agreement No. 4600001474 from the San
Diego County Water Authority to the Coachella Valley Water District, dated September 8, 2004.
Agreement Regarding the Financial Arrangements between the San Diego County Water
Authority and Coachella Valley Water District for the Construction Obligations for the
Coachella Canal Lining Project, dated September 8, 2004.
Agreement No. 04-XX-30-W0429 among the United States Bureau of Reclamation, the
Coachella Valley Water District, and the San Diego County Water Authority for the
Construction of the Coachella Canal Lining Project Pursuant to Title II of Public Law 100-675,
dated October 19, 2004.
California Water Code Section 12560 et seq. This Water Code Section provides for $200
million to be appropriated to the Department of Water Resources to help fund the canal lining
projects in furtherance of implementing California’s Colorado River Water Use Plan.
California Water Code Section 79567. This Water Code Section identifies $20 million as
available for appropriation by the California Legislature from the Water Security, Clean
Drinking Water, Coastal, and Beach Protection Fund of 2002 (Proposition 50) to DWR for
grants for canal lining and related projects necessary to reduce Colorado River water use.
According to the Allocation Agreement, it is the intention of the agencies that those funds will be
available for use by the Water Authority, IID, or CVWD for the AAC and CC lining projects.
California Public Resources Code Section 75050(b)(1). This section identifies up to $36 million
as available for water conservation projects that implement the Allocation Agreement as defined
in the Quantification Settlement Agreement.
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Federal, State, and Local Permits/Approvals
AAC Lining Project Final EIS/EIR (March 1994). A final EIR/EIS analyzing the potential
impacts of lining the AAC was completed by the Bureau of Reclamation (Reclamation) in March
1994. A Record of Decision was signed by Reclamation in July 1994, implementing the
preferred alternative for lining the AAC. A re-examination and analysis of these environmental
compliance documents by Reclamation in November 1999 determined that these documents
continued to meet the requirements of the NEPA and the CEQA and would be valid in the future.
CC Lining Project Final EIS/EIR (April 2001). The final EIR/EIS for the CC lining project was
completed in 2001. Reclamation signed the Record of Decision in April 2002. An amended
Record of Decision has also been signed to take into account revisions to the project description.
Mitigation, Monitoring, and Reporting Program for Coachella Canal Lining Project, SCH
#1990020408; prepared by Coachella Valley Water District, May 16, 2001.
Environmental Commitment Plan for the Coachella Canal Lining Project, approved by the US
Bureau of Reclamation (Boulder City, NV) on March 4, 2003.
Environmental Commitment Plan and Addendum to the All-American Canal Lining Project
EIS/EIR California State Clearinghouse Number SCH 90010472 (June 2004, prepared by
IID).
Addendum to Final EIS/EIR and Amendment to Environmental Commitment Plan for the
All-American Canal Lining Project (approved June 27, 2006, by IID Board of Directors).
6.2.1.3 Carlsbad Seawater Desalination Project
Development of seawater desalination in San Diego County will assist the region in
diversifying its water resources, reduce dependence on imported supplies, and provide a new
drought-proof, locally treated water supply. The Carlsbad Desalination Project is a fully-
permitted seawater desalination plant and conveyance pipeline currently being developed by
Poseidon, a private investor–owned company that develops water and wastewater
infrastructure. The project, located at the Encina Power Station in Carlsbad, has been in
development since 1998 and was incorporated into the Water Authority’s 2003 Water
Facilities Master Plan and the 2010 UWMP. The Carlsbad Desalination Project has obtained
all required permits and environmental clearances and, when completed, will provide a highly
reliable local supply of 48,000 to 56,000 acre-feet per year for the region.
Implementation Status
The Project has obtained all required permits and environmental clearances, including the
following:
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National Pollutant Discharge Elimination System (NPDES) Discharge Permit
(Regional Water Quality Control Board)
Conditional Drinking Water Permit (California Department of Health Services)
State Lands Commission Lease (State Lands Commission)
Coastal Development Permit (California Coastal Commission)
IDE Technologies, a worldwide leader in the design, construction, and operation of
desalination plants, was selected by Poseidon to be the desalination process contractor for the
Project.
On July 22, 2010, the Board approved a Term Sheet between the Water Authority and
Poseidon Resources that outlined the key terms and conditions that would be detailed and
incorporated in a comprehensive Water Purchase Agreement (WPA). Beginning in October
2011 and under the direction of the Board’s Carlsbad Desalination Project Advisory Group,
staff began developing and negotiating with Poseidon a WPA consistent with the July 22,
2010 Board approved Term Sheet. The July 2010 Term Sheet also identified specific
conditions precedent to Board consideration of the WPA.
On November 29, 2012, the Water Authority Board adopted a resolution approving the
Design-Build Agreement between the Water Authority and Poseidon. The Design-Build
Agreement establishes the commercial and technical terms for implementation of the
desalination product pipeline improvements. These improvements consist of an approximate
10-mile long, 54-inch diameter conveyance pipeline connecting the Desalination Plant to the
Water Authority’s Second Aqueduct. The pipeline will generally be constructed within
improved streets in commercial and industrial areas in the cities of Carlsbad, Vista, and San
Marcos. The Water Authority will own the Project Water Pipeline Improvements upon
execution of the Design-Build Agreement, and upon completion and acceptance of
construction, the Water Authority will assume operational control of all pipeline
improvements.
Expected Supply
When completed, the Project will provide a highly reliable local supply of 48,000 to 56,000
acre-feet per year of supply for the region, available in both normal and dry hydrologic
conditions. In 2020, the Project would account for approximately 8% of the total projected
regional supply and 30% of all locally generated water in San Diego County. When the
project becomes operational in 2016, it will more than double the amount of local supplies
developed in the region since 1991.
Transportation
On November 29, 2012, the Water Authority Board adopted a resolution approving the
Design-Build Agreement between the Water Authority and Poseidon. The Design-Build
Agreement establishes the commercial and technical terms for implementation of the
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desalination product pipeline improvements. These improvements consist of an approximate
10-mile long, 54-inch diameter conveyance pipeline connecting the Desalination Plant to the
Water Authority’s Second Aqueduct. The pipeline will generally be constructed within
improved streets in commercial and industrial areas in the cities of Carlsbad, Vista, and San
Marcos. The Water Authority will own the Project Water Pipeline Improvements upon
execution of the Design-Build Agreement, and upon completion and acceptance of
construction, the Water Authority will assume operational control of all pipeline
improvements.
The Water Authority will be responsible for aqueduct improvements, including the relining
and rehabilitation of Pipeline 3 to accept desalinated water under higher operating pressures,
modifications to the San Marcos Vent that allows the flow of water between Pipelines 3 and
4, and improvements at the Twin Oaks Valley Water Treatment Plant necessary to integrate
desalinated water into the Water Authority’s system for optimal distribution to member
agencies.
Cost/Financing
The plant and the offsite pipeline will be financed through tax exempt government bonds
issued for the Water Authority by the California Pollution Control Financing Authority
(CPCFA). On November 29, 2012, the Water Authority Board adopted a resolution
approving agreements to accomplish tax exempt project financing through the CPCFA.
A preliminary September 2012 unit cost estimate was $2,300/AF. The Water Authority’s
water purchase costs would be financed through Water Authority rates and charges. Poseidon
is financing the capital cost of the Project with a combination of private equity and tax-
exempt Private Activity Bonds.
Written Contracts or Other Proof
The expected supply and costs associated with the Carlsbad Desalination Project are based
primarily on the following documents:
Development Agreement between City of Carlsbad and Poseidon (October 2009). A
Development Agreement between Carlsbad and Poseidon was executed on October 5, 2009
Agreement of Term Sheet between the Water Authority and Poseidon Resources (July 2010).
The Water Authority approved the Term Sheet at its July 2010 Board Meeting. The Term
Sheet outlines the terms and conditions of a future Water Purchase Agreement with Poseidon
and allocates the resources to prepare the draft Water Purchase Agreement.
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Federal, State, and Local Permits/Approvals
Carlsbad Desalination Project Final EIR
The City of Carlsbad, acting as lead agency for Carlsbad Seawater Desalination Plant and
appurtenant facilities proposed by Poseidon (the “Project”) prepared an Environmental Impact
Report for the Project in compliance with the California Environmental Quality Act
(“CEQA”), which the City of Carlsbad certified on June 13, 2006.
http://www.sdcwa.org/rwfmp-peir
The City of Carlsbad prepared an Addendum to the Carlsbad EIR (“Addendum”) which was
adopted on September 15, 2009, and reflects minor and immaterial design modifications to
the Project site plan, appurtenant facilities, and water delivery pipeline network.
The environmental documents and permits are found at the following link:
http://www.carlsbad-desal.com/EIR.asp
The Water Authority, as a Responsible Agency under CEQA, adopted a resolution on
November 29, 2012 approving a Second Addendum to the Carlsbad Precise Development
Plan and Desalination Plant Final EIR and First Addendum that evaluates the environmental
impacts of several proposed facility modifications that are necessary to allow for operational
flexibility and efficiency in receiving and delivering desalination product water. These
modifications include: a realignment of a portion of the approved desalination pipeline, the
addition of chemical injection at the approved San Marcos Aqueduct Connection site, the
relining of a portion of Pipeline 3, the addition of a pipeline and expanded flow control
facility at Twin Oaks Valley Water Treatment Plant and a replacement of the San Marcos
Vent on Pipeline 4. Impacts associated with the proposed modifications would not result in a
new significant impact or substantial increase in the severity of impacts previously evaluated
in the Carlsbad FEIR or the First Addendum. There are no substantial changes to the
circumstances under which the project will be undertaken, and no new information of
substantial importance that was not known and could not have been known when the FEIR
was certified and the First Addendum was approved, and that have since been identified.
Therefore, the Second Addendum satisfies the CEQA requirements for the proposed project
modifications.
Regional Water Facilities Master Plan EIR
On November 20, 2003, the Water Authority Board of Directors adopted Resolution No.
2003-34 certifying the Final Program Environmental Impact Report (State Clearinghouse No.
2003021052) for the Water Authority’s Regional Water Facilities Master Plan Project (the
“Master Plan EIR”), which evaluated, among other things, potential growth inducing impacts
associated with new water supplies to the region including, but not limited to, up to 150
million gallons per day (“MGD”) of new supplies from seawater desalination. This
certification included a 50 MGD plant located in the City of Carlsbad.
The environmental documents and permits are found at the following link:
http://www.sdcwa.org/rwfmp-peir
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Sub regional Natural Community Conservation Plan/Habitat Conservation Plan (NCCP/HCP)
On December 8, 2010, the Board adopted Resolution No. 2010-18 certifying a Final
environmental Impact Report/Environmental Impact Statement for the San Diego County
Water Authority Subregional Natural Community Conservation Plan/Habitat Conservation
Plan (State Clearinghouse No. 2003121012) (the “Habitat Conservation Plan EIR/EIS”),
which Plan was implemented on December 28, 201.
The environmental documents and permits are found at the following link:
http://www.sdcwa.org/nccp-hcp
Twin Oaks Valley Water Treatment Plant EIR
On September 8, 2005, the Board adopted Resolution No. 2005-31 certifying a Final
Environmental Impact Report for the Twin Oaks Valley Water Treatment Plant Project (State
Clearinghouse No. 20040071034) (the “Twin Oaks EIR”), which project was constructed as a
100 MGD submerged membrane water treatment facility, including treated water holding
tanks and distribution pipelines and other facilities, consistent with the conditions and
mitigation measures included in the Twin Oaks EIR.
http://www.sdcwa.org/twin-oaks-valley-treatment-plant-final-eir
2010 Urban Water Management Plan
http://www.sdcwa.org/2010-urban-water-management-plan
Drinking Water Permit (October 2006). The California Department of Health Services
approved the Conditional Drinking Water Permit on October 19, 2006.
Coastal Development Permit
The Project is fully permitted, with the California Coastal Commission issuing the following
permits: Coastal Development Permit No. E-06-013, Energy Minimization and Greenhouse
Gas Reduction Plan (December 2008), Marine Life Mitigation Plan (December 2008),
Erosion Control Plan (November 2009), Landscaping Plan (September 2009), Lighting Plan
(August 2009), Construction Plan (September 2009), and Water Pollution Control Plan
(September 2009); the California Department of Public Health issuing Conceptual Approval
Letter dated October 19, 2006; the California Regional Water Quality Control Board issuing
NPDES Permit No. CA0109223 and Notice of Intent to Discharge for Storm Water
Associated with Construction Activities (WDID #9 37C361181); the City of Carlsbad issuing
Redevelopment Permit RP 05-12(A), Specific Plan 144 with Amendment 144(J) SP 144(J),
Habitat Management Plan Permit Amendment HMP 05-08(A), Precise Development Plan
PDP 00-02(B), Mitigation Monitoring and Reporting Program for EIR 03-05(A),
Development Agreement DA 05-01(A), Standard Urban Storm Water Mitigation Program
(September 2009), and Coastal Development Permit 04-41; the State of California State
Lands Commission issuing an Amendment of Lease PRC 8727.1 (August 2008).
The environmental documents and permits are found at the following link:
http://www.sdcwa.org/carlsbad-desalination-project-approved-permits-and-plans
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State Lands Commission Lease Application (Amendment of Lease PRC 8727.1 August
2008). Amends lease of land by Cabrillo Power I LLC (Cabrillo) from the State Lands
Commission for the lands where the project will be constructed. Cabrillo and Poseidon
entered into agreement on July 1, 2003, authorizing Poseidon to use those lands to construct
the project.
6.2.2 Water Authority Capital Improvement Program and Financial
Information
The Water Authority’s Capital Improvement Program (CIP) can trace its beginnings to a
report approved by the Board in 1989 entitled, The Water Distribution Plan, and a Capital
Improvement Program through the Year 2010. The Water Distribution Plan included ten
projects designed to increase the capacity of the aqueduct system, increase the yield from
existing water treatment plants, obtain additional supplies from MWD, and increase the
reliability and flexibility of the aqueduct system. Since that time the Water Authority has
made numerous additions to the list of projects included in its CIP as the region’s
infrastructure needs and water supply outlook have changed.
The current list of projects included in the CIP is based on the results of planning studies,
including the 2005 UWMP and the 2002 Regional Water Facilities Master Plan. These CIP
projects, which are most recently described in the Water Authority’s Adopted Multi-Year
Budget, include projects valued at $3.50 billion. These CIP projects are designed to meet
projected water supply and delivery needs of the member agencies through 2035. The
projects include a mix of new facilities that will add capacity to existing conveyance, storage,
and treatment facilities, as well as repair and replace aging infrastructure:
Asset Management – The primary components of the asset management projects
include relining and replacing existing pipelines and updating and replacing metering
facilities.
New Facilities – These projects will expand the capacity of the aqueduct system,
complete the projects required under the Quantification Settlement Agreement (QSA),
and evaluate new supply opportunities.
Emergency Storage Project – Projects remaining to be completed under the ongoing
ESP include the San Vicente Dam Raise, the Lake Hodges projects, and a new pump
station to extend ESP supplies to the northern reaches of the Water Authority service
area.
Other Projects – This category includes out-of-region groundwater storage, increased
local water treatment plant capacity, and projects that mitigate environmental impacts
of the CIP.
The Water Authority Board of Directors is provided a semi-annual and annual report on the
status of development of the CIP projects. As described in the Water Authority’s biennial
budget, a combination of long and short term debt and cash (pay-as-you-go) will provide
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funding for capital improvements. Additional information is included in the Water
Authority’s biennial budget, which also contains selected financial information and
summarizes the Water Authority’s investment policy.
6.3 Otay Water District
The Otay WD 2010 Water Resources Master Plan Update and the 2010 Urban Water
Management Plan contain comparisons of projected supply and demands through the year
2035. Projected potable water resources to meet planned demands as documented were
planned to be supplied entirely with imported water received from the Water Authority.
Recycled water resources to meet projected demands are planned to be supplied from local
wastewater treatment plants. The Otay WD currently has no local supply of raw water,
potable water, or groundwater resources.
The development and/or acquisition of potential groundwater, recycled water market
expansion, and seawater desalination supplies by the Otay WD have evolved and are planned
to occur in response to the regional water supply issues. These water supply projects are in
addition to those identified as sustainable supplies in the current Water Authority and MWD
UWMP, IRP, Master Plans, and other planning documents. These new additional water
supply projects are not currently developed and are in various stages of the planning process.
These local and regional water supply projects will allow for less reliance upon imported
water and are considered a new water supply resource for the Otay WD.
The Otay WD expansion of the market areas for the use of recycled water within the
watersheds upstream of the Sweetwater Reservoir, Otay Mesa, and the Lower Otay Reservoir
will increase recycled water use and thus require less dependence on imported water for
irrigation purposes.
The supply forecasts contained within this WSA&V Report do consider development and/or
acquisition of potential groundwater, recycled water market expansion, and seawater
desalination supplies by the Otay WD.
6.3.1 Availability of Sufficient Supplies and Plans for Acquiring
Additional Supplies
The availability of sufficient potable water supplies and plans for acquiring additional potable
water supplies to serve existing and future demands of the Otay WD is founded upon the
preceding discussions regarding MWD’s and the Water Authority’s water supply resources
and water supplies to be acquired by the Otay WD. Historic imported water deliveries from
the Water Authority to Otay WD and recycled water deliveries from the Otay WD Ralph W.
Chapman Water Reclamation Facility (RWCWRF) are shown in Table 7. Since the year 2000
through mid May 2007, recycled water demand has exceeded the recycled water supply
capability typically in the summer months. The RWCWRF is limited to a maximum
production of about 1,300 ac-ft/yr. The recycled water supply shortfall had been met by
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supplementing with potable water into the recycled water storage system as needed by adding
potable water supplied by the Water Authority. On May 18, 2007 an additional source of
recycled water supply from the City of San Diego’s South Bay Water Reclamation Plant
(SBWRP) became available. The supply of recycled water from the SBWRP is a result of
essentially completing construction and commencement of operations of the transmission,
storage, and pump station systems necessary to link the SBWRP recycled water supply source
to the existing Otay WD recycled water system.
Table 7
Historic Imported and Local Water Supplies
Otay Water District
Calendar
Year
Imported Water
(acre-feet)
Recycled Water
(acre-feet)
Total
(acre-feet)
1980 12,558 0 12,558
1985 14,529 0 14,529
1990 23,200 0 23,200
1995 20,922 614 21,536
2000 29,901 948 30,849
2005 37,678 1,227 38,905
2010 29,219 4,090 33,270
2011 30,777 3,776 34,553
2012 31,268 4,155 35,423
Source: Otay Water District operational records.
6.3.1.1 Imported and Regional Supplies
The availability of sufficient imported and regional potable water supplies to serve existing
and planned uses within Otay WD is demonstrated in the above discussion on MWD and the
Water Authority’s water supply reliability. The County Water Authority Act, Section 5
subdivision 11, states that the Water Authority “as far as practicable, shall provide each of its
member agencies with adequate supplies of water to meet their expanding and increasing
needs.” The Water Authority provides between 75 to 95 percent of the total supplies used by
its 24 member agencies, depending on local weather and supply conditions. In calendar year
2010 the supply to Otay WD was 29,270 ac-ft of supply from the Water Authority. An
additional 4,090 ac-ft of recycled water comes from the City of San Diego and from the
District’s Ralph W. Chapman Water Reclamation Facility. The demand for potable water
within the Otay WD is expected to increase to about 77,177 ac-ft by 2035 as per the Otay WD
2010 UWMP.
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Potable Water System Facilities
The Otay WD continues to pursue diversification of its water supply resources to increase
reliability and flexibility. The Otay WD also continues to plan, design, and construct potable
water system facilities to obtain these supplies and to distribute potable water to meet
customer demands. The Otay WD has successfully negotiated two water supply
diversification agreements that enhance reliability and flexibility, which are briefly described
as follows.
The Otay WD entered into an agreement with the City of San Diego, known as the Otay
Water Treatment Plant (WTP) Agreement. The Otay WTP Agreement provides for raw
water purchase from the Water Authority and treatment by the City of San Diego at their
Otay WTP for delivery to Otay WD. The supply system link to implement the Otay
WTP Agreement to access the regions raw water supply system and the local water
treatment plant became fully operational in August 2005. This supply link consists of the
typical storage, transmission, pumping, flow measurement, and appurtenances to receive
and transport the treated water to the Otay WD system. The City of San Diego
obligation to supply 10 MGD of treated water under the Otay WTP Agreement is
contingent upon there being available 10 MGD of surplus treatment capacity in the Otay
WTP until such time as Otay WD pays the City of San Diego to expand the Otay WTP to
meet the Otay WD future needs. In the event that the City of San Diego’s surplus is
projected to be less than 10 MGD the City of San Diego will consider and not
unreasonably refuse the expansion of the Otay WTP to meet the Otay WD future needs.
The Otay WTP existing rated capacity is 40 MGD with an actual effective capacity of
approximately 34 MGD. The City of San Diego’s typical demand for treated water from
the Otay WTP is approximately 20 MGD. It is at the City of San Diego’s discretion to
utilize either imported raw water delivered by the Water Authority Pipeline No. 3 or local
water stored in Lower Otay Reservoir for treatment to supply the Otay WD demand.
The Otay WD entered into an agreement with the Water Authority, known as the East
County Regional Treated Water Improvement Program (ECRTWIP Agreement). The
ECRTWIP Agreement provides for transmission of raw water to the Helix WD R. M.
Levy WTP for treatment and delivery to Otay WD. The supply system link to implement
the ECRTWIP Agreement is complete allowing access to the regions raw water supply
system and the local water treatment plant. This supply link consists of the typical
transmission, pumping, storage, flow control, and appurtenances to receive and transport
the potable water from the R. M. Levy WTP to Otay WD. The Otay WD is required to
take a minimum of 10,000 ac-ft/yr of treated water from the R.M. Levy WTP supplied
from the regions raw water system.
Cost and Financing
The capital improvement costs associated with water supply and delivery are financed
through the Otay WD water meter capacity fee, New Water Supply Fee, and user rate
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structures. The Otay WD potable water sales revenue are used to pay for the wholesale cost
of the treated water supply and the operating and maintenance expenses of the potable water
system facilities.
Written Agreements, Contracts, or Other Proof
The supply and cost associated with deliveries of treated water from the Otay WTP and the R.M.
Levy WTP is based on the following documents.
Agreement for the Purchase of Treated Water from the Otay Water Treatment Plant between the
City of San Diego and the Otay Water District. The Otay WD entered into an agreement dated
January 11, 1999 with the City of San Diego that provides for 10 MGD of surplus treated water
to the Otay WD from the existing Otay WTP capacity. The agreement allows for the purchase of
treated water on an as available basis from the Otay WTP. The Otay WD pays the Water
Authority at the prevailing raw water rate for raw water and pays the City of San Diego at a rate
equal to the actual cost of treatment to potable water standards.
Agreement between the San Diego County Water Authority and Otay Water District Regarding
Implementation of the East County Regional Treated Water Improvement Program. The
ECRTWIP Agreement requires the purchase of at least 10,000 ac-ft per year of potable water
from the Helix WD R.M. Levy WTP at the prevailing Water Authority treated water rate. The
ECRTWIP Agreement is dated April 27, 2006.
Agreement between the San Diego County Water Authority and Otay Water District for Design,
Construction, Operation, and Maintenance of the Otay 14 Flow Control Facility Modification.
The Otay WD entered into the Otay 14 Flow Control Facility Modification Agreement dated
January 24, 2007 with the Water Authority to increase the physical capacity of the Otay 14 Flow
Control Facility. The Water Authority and Otay WD to 50% share the capital cost to expand its
capacity from 8 MGD to 16 MGD.
Federal, State, and Local Permits/Approvals
The Otay WD acquired all the permits for the construction of the pipeline and pump station
associated with the Otay WTP supply source and for the 640-1 and 640-2 water storage
reservoirs project associated with the ECRTWIP Agreement through the typical planning,
environmental approval, design, and construction processes.
The transmission main project constructed about 26,000 feet of a 36-inch diameter steel
pipeline from the Otay 14 Flow Control Facility to the 640-1 and 640-2 Reservoirs project.
The Otay 14 Flow Control Facility modification increased the capacity of the existing systems
from 8 MGD to 16 MGD. CEQA documentation is complete for both projects. Construction
of both of these projects was completed October 2010.
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The City of San Diego and the Helix Water District are required to meet all applicable federal,
state, and local health and water quality requirements for the potable water produced at the
Otay WTP and the R.M. Levy WTP respectively.
6.3.1.2 Recycled Water Supplies
Wastewater collection, treatment, and disposal services provided by the Otay WD is limited to
a relatively small area within what is known as the Jamacha Basin, located within the Middle
Sweetwater River Basin watershed upstream of the Sweetwater Reservoir and downstream of
Loveland Reservoir. Water recycling is defined as the treatment and disinfection of
municipal wastewater to provide a water supply suitable for non-potable reuse. The Otay WD
owns and operates the Ralph W. Chapman Water Reclamation Facility, which produces
recycled water treated to a tertiary level for landscape irrigation purposes. The recycled water
market area of the Otay WD is located primarily within the eastern area of the City of Chula
Vista and on the Otay Mesa. The Otay WD distributes recycled water to a substantial market
area that includes but is not limited to the U.S. Olympic Training Center, the Eastlake Golf
Course, and other development projects.
The Otay WD projects that annual average demands for recycled water will increase to 8,000
acre-feet per year by 2035. About 1,300 acre-feet per year of supply is generated by the
RWCWRF, with the remainder planned to be supplied to Otay WD by the City of San
Diego’s SBWRP.
North District Recycled Water Concept
The Otay WD is a recognized leader in the use of recycled water for irrigation and other
commercial uses. The Otay WD continues the quest to investigate all viable opportunities to
expand the successful recycled water program into areas that are not currently served. One of
these areas is in the portion of the service area designated as the North District, located within
the Middle Sweetwater River Basin watershed upstream of the Sweetwater River. The close
proximity of the recycled water markets in the North District to the Otay WD’s source of
recycled water, the RWCWRF, means that the distribution system to serve this area could be
constructed relatively cost effectively. This makes the North District a logical location for the
expansion of the Otay WD’s recycled water system and market area.
The purpose of the North District Recycled Water System Development Project, Phase I
Concept Study, is to identify the feasibility of using recycled water in the North District and
to investigate and assess any limitations or constraints to its use. The Phase I study
components of the North District Recycled Water Concept encompassed the preparation of
six technical memorandums including the project definition, a discussion of the regulatory
process, a discussion of the protection of the watershed that would be affected by recycled
water use in the North District, identification of stakeholders, public outreach, and an
implementation plan.
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Several opportunities that could be realized with the implementation of the use of recycled
water in the North District were identified. These include a reduction of demand on the
potable water system and maximizing recycled water resources which in turn minimizes
treated wastewater discharges to the local ocean outfall. Other opportunities are a possible
partnership with Sweetwater Authority to monitor any benefits and impacts of increased
recycled water use in the watershed and stakeholder outreach to resolve any water quality
concerns and to retain consumer confidence. Also identified were two major constraints
associated with the North District Recycled Water System Development Project. One
constraint is the water quality objectives for the Middle Sweetwater Basin that will affect the
effluent limitations for the recycled water produced at the RWCWRF. At this time, the
effluent limit that is of concern is total nitrogen. An examination as to how the treatment
process might be modified to enhance nitrogen removal and an action plan is being
developed. The other major constraint is the cost of the infrastructure needed to convey and
store recycled water in the North District. These costs are estimated to be in the range of $14
to $15 million dollars.
There are two additional phases proposed for the North District Recycled Water System
Development Project. Phase II would include further investigation of the issues identified in
Phase I as requiring further study. These include stakeholder outreach, regulatory issues, and
facility planning. The third phase of the effort would include the facility planning, permitting,
environmental compliance, design, and construction of the improvements necessary for
delivery of recycled water to the North District markets.
The estimated amount of imported water saved at full implementation of the North District
Recycled Water System Development Project is 1,200 ac-ft/yr. This saved imported water
could then be used to offset new potable water demands.
Recycled Water System Facilities
The Otay WD has and continues to construct recycled water storage, pumping, transmission,
and distribution facilities to meet projected recycled water market demands. For nearly 20
years, millions of dollars of capital improvements have been constructed. The supply link
consisting of a transmission main, storage reservoir, and a pump station to receive and
transport the recycled water from the City of San Diego’s SBWRP are complete and recycled
water deliveries began on May 18, 2007.
Cost and Financing
The capital improvement costs associated with the recycled water supply and distribution
systems are financed through the Otay WD water meter capacity fee and user rate structures.
The Otay WD recycled water sales revenue, along with MWD and the Water Authority’s
recycled water sales incentive programs are used to help offset the costs for the wholesale
purchase and production of the recycled water supply, the operating and maintenance
expenses, and the capital costs of the recycled water system facilities.
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Written Agreements, Contracts, or Other Proof
The supply and cost associated with deliveries of recycled water from the SBWRP is based on
the following document.
Agreement between the Otay Water District and the City of San Diego for Purchase of
Reclaimed Water from the South Bay Water Reclamation Plant. The agreement provides for the
purchase of at least 6,721 ac-ft per year of recycled water from the SBWRP at an initial price of
$350 per acre-foot. The Otay WD Board of Directors approved the final agreement on June 4,
2003 and the San Diego City Council approved the final agreement on October 20, 2003.
Federal, State, and Local Permits/Approvals
The Otay WD has in place an agreement with MWD for their recycled water sales incentive
program for supplies from the RWCWRF and the SBWRP. Also, the Otay WD has in place
an agreement with the Water Authority for their recycled water sales incentive program for
supplies from the RWCWRF and the SBWRP. The Water Authority sales incentive
agreement was approved by Water Authority on July 26, 2007 and by Otay WD on August 1,
2007. All permits for the construction of the recycled water facilities to receive, store, and
pump the SBWRP supply have been acquired through the typical planning, environmental
approval, design, and construction processes.
The California Regional Water Quality Control Board San Diego Region (RWQCB) “Master
Reclamation Permit for Otay Water District Ralph W. Chapman Reclamation Facility” was
adopted on May 9, 2007 (Order No. R9-2007-0038). This order establishes master
reclamation requirements for the production, distribution, and use of recycled water in the
Otay WD service area. The order includes the use of tertiary treated water produced and
received from the City of San Diego‘s SBWRP. Recycled water received from and produced
by the SBWRP is regulated by Regional Board Order No. 2000-203 and addenda. The City
of San Diego is required to meet all applicable federal, state, and local health and water
quality requirements for the recycled water produced at the SBWRP and delivered to Otay
WD in conformance with Order No. 2000-203.
6.3.1.3 Potential Groundwater Supplies
The Otay WD 2010 UWMP, the 2009 WRMP Update, and the Otay WD March 2007
Integrated Water Resources Plan (2007 IRP) both contain a description of the development of
potential groundwater supplies. Over the past several years, Otay WD has studied numerous
potential groundwater supply options that have shown, through groundwater monitoring well
activities, poor quality water and/or insufficient yield from the basins at a cost effective level.
The Otay WD has a few capital improvement program projects to continue the quest to
develop potential groundwater resources. Local Otay WD groundwater supply development
is currently considered as a viable water supply resource to meet projected demands.
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The development and/or acquisition of potential groundwater supply projects by the Otay WD
have evolved and have been resurrected in response to the regional water supply issues related
to water source supply conditions. Local ground water supply projects will allow for less
reliance upon imported water, achieve a level of independence of the regional wholesale
water agencies, and diversify the Otay WD’s water supply portfolio consistent the Otay WD
2007 IRP.
In recognition of the need to develop sufficient alternative water supplies, the Otay WD has
taken the appropriate next steps towards development of production groundwater well
projects.
There are three groundwater well projects that the Otay WD is pursuing to develop as new
local water supplies. They are known as the Middle Sweetwater River Basin Groundwater
Well, the Otay Mesa Lot 7 Groundwater Well, and the Rancho del Rey Groundwater Well.
Middle Sweetwater River Basin Groundwater Well
The Middle Sweetwater River Basin Groundwater Well is an additional water supply project
that was thoroughly studied and documented in the 1990s. The Middle Sweetwater River
Basin is located within the Sweetwater River watershed and that reach of the river extends
from Sweetwater Reservoir to the upstream Loveland Reservoir. The next step in
development of the Middle Sweetwater River Basin Groundwater Well is the implementation
of a pilot well project. The ultimate objective of the Otay WD is to develop a groundwater
well production system within the Middle Sweetwater River Basin capable of producing a
sustainable yield of potable water as a local supply.
The purpose of the Middle Sweetwater River Basin Groundwater Well Pilot project is to
identify the feasibility of developing a groundwater resource production system and then
determine and assess any limitations or constraints that may arise. The Middle Sweetwater
River Basin Groundwater Well Pilot Project will accomplish six primary goals:
Update project setting
Update applicable project alternatives analysis
Prepare groundwater well pilot project implementation plan
Construct and test pilot monitoring and extraction wells
Provide recommendations regarding costs and feasibility to develop a groundwater
well production system within the Middle Sweetwater River Basin capable of
producing a sustainable yield of potable water
Prepare groundwater well production project implementation plan and scope of work
The groundwater conjunctive use concept is described as the extraction of the quantity of
water from the groundwater basin that was placed there by customers of the Otay Water
District, Helix Water District, and Padre Dam Municipal Water District by means of their use
of imported treated water that contributed to the overall volume of groundwater within the
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basin. An estimated quantity was developed to be approximately 12.5 percent of the total
consumption of the Otay WD customers within that basin, as measured by water meters. In
the 1994-1995 period, the quantity of water that was returned to the groundwater basin by
Otay WD customers was estimated to be 810 acre-feet per year. Currently, that 12.5 percent
quantity could be on the order of 1,000 acre-feet per year. A future scope of work will need
to addresses this concept while considering further development of the groundwater basin as
an additional supply resource. If it is deemed that a Middle Sweetwater River Basin
Groundwater Well Production Project is viable then the consultant will develop and provide a
groundwater well production project implementation plan, cost estimate, and related scope of
work.
Further development of the groundwater basin to enhance the total groundwater production
could be accomplished by the Otay WD by means of additional extraction of water from the
basin that is placed there by means of either injection and/or spreading basins using imported
untreated water as the resource supply. The existing La Mesa Sweetwater Extension Pipeline,
owned by the Water Authority, once converted to an untreated water delivery system, could
be the conveyance system to transport untreated water for groundwater recharge in support of
this conjunctive use concept. These two distinct water resource supply conjunctive use
concepts will be addressed so they may coexist and to allow for their development as separate
phases.
The scope of work to complete Middle Sweetwater River Basin Groundwater Well Pilot
Project consists of many major tasks and is to address the groundwater supply concepts
outlined above. It is anticipated that the cost for the entire scope of work, will be on the order
of $2,000,000, which includes a contingency and may take up to one and a half years to
complete.
The primary desired outcome of the Middle Sweetwater River Basin Groundwater Well Pilot
Project is for the engineering consultant to determine and make recommendations if it is
financially prudent and physically feasible to develop a Phase I groundwater well production
system within the Middle Sweetwater River Basin capable of producing a sustainable yield of
up to 1,500 ac-ft/yr of potable water for the Otay WD. If it is deemed that a Middle
Sweetwater River Basin Groundwater Well Production Project is viable then the consultant
will develop and provide a groundwater well production project implementation plan and
related scope of work.
Otay Mesa Lot 7 Groundwater Well
In early 2001 the Otay WD was approached by a landowner representative about possible
interest in purchasing an existing well or alternatively, acquiring groundwater supplied from
the well located on Otay Mesa. The landowner, National Enterprises, Inc., reportedly stated
that the well could produce 3,200 acre-feet per year with little or no treatment required prior
to introducing the water into the Otay WD potable water system or alternatively, the recycled
water system. In March 2001 authorization to proceed with testing of the Otay Mesa Lot 7
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Groundwater Well was obtained and the Otay WD proceeded with the investigation of this
potential groundwater supply opportunity.
The May 2001 Geoscience Support Services, Inc. completed for the Otay WD the preparation
of a report entitled, “Otay Mesa Lot 7 Well Investigation,” to assess the Otay Mesa Lot 7
Well. The scope of work included a geohydrologic evaluation of the well, analyses of the
water quality samples, management and review of the well video log, and documentation of
well pump testing. The primary findings, as documented in the report, formed the basis of the
following recommendations:
For the existing well to be use as a potable water supply resource, a sanitary seal must
be installed in accordance with the CDPH guidelines.
Drawdown in the well must be limited to avoid the possibility of collapsing the casing.
Recover from drawdown from pumping is slow and extraction would need to be
terminated for up to 2 days to allow for groundwater level recovery.
The well water would need to be treated and/or blended with potable water prior to
introduction into the potable water distribution system.
The existing Otay Mesa Lot 7 Well, based upon the above findings, was determined not to be
a reliable municipal supply of potable water and that better water quality and quantity perhaps
could be discovered deeper or at an alternative location within the San Diego Formation.
The Otay WD may still continue to pursue the Otay Mesa groundwater well opportunity with
due consideration of the recommendations of the existing report. Based on the
recommendations of the investigation report, a groundwater well production facility at Otay
Mesa Lot 7 could realistically extract approximately 300 acre-feet per year.
Rancho del Rey Groundwater Well
In 1991, the McMillin Development Company drilled the Rancho del Rey Groundwater Well
to augment grading water supplies for their Rancho del Rey development projects. Although
the well was considered a “good producer,” little was known regarding its water quality and
sustainable yield because the water was used solely for earthwork (i.e., dust control and soil
compaction). The well was drilled to 865 feet, with a finished depth of 830 feet and produced
approximately 400 acre-feet per year of low quality water for four years until its use was
discontinued in April 1995 when the well was no longer needed. McMillin notified the Otay
WD of its intent to sell off the groundwater well asset.
In 1997, the Otay WD purchased an existing 7-inch well and the surrounding property on
Rancho del Rey Parkway from the McMillin Company with the intent to develop it as a
source of potable water. Treatment was required to remove salts and boron, among other
constituents, using reverse osmosis membranes and ion exchange.
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In 2000, having received proposals for the design and construction of a reverse osmosis
treatment facility that far exceeded the allocated budget, the Board of Directors instructed
staff to suspend the project until such time as it became economically viable.
In January 2010, citing the rising cost of imported water and the Otay WD's interest in
securing its own water source for long-term supply reliability, the Board authorized Phase 1
for drilling and development of the Rancho del Rey Well.
On March 3, 2010, the Board adopted the Mitigated Negative Declaration for this project and
a Notice of Determination was filed with the County of San Diego on March 5, 2010. In
September 2010, a new 12-inch production well was drilled to a depth of 900 feet through the
groundwater formation and into fractured bedrock. Testing showed the long-term yield of the
new well to be 450 gpm, higher than previous studies had estimated. Separation Processes,
Inc. (SPI), a highly qualified membrane treatment firm, was hired to conduct a detailed
economic feasibility study to confirm that the annualized unit cost of the new water source
was economically competitive with other sources. The economic study estimated the unit
cost of water to be $1, 500 to $2,000 per acre-feet for an alternative that utilizes a seawater
membrane for treating both salts and boron. When compared with the current imported
treated water rate from the Water Authority, and with the knowledge that this rate will
continually increase as MWD and the Water Authority raise their rates, the Rancho del Rey
Well project appears to be economically viable.
The Otay WD is continuing to pursue the Rancho del Rey groundwater well opportunity with
due consideration of the recommendations of the existing reports and plans to develop a
groundwater well production facility to extract approximately 500 acre-feet per year. For
water planning purposes, production of groundwater from the Rancho del Rey well is
considered “additional planned” for local supplies. During preparation of this 2010 UWMP,
the Otay WD has contracted for design services for the wellhead treatment facilities.
6.3.1.4 Otay Water District Desalination Project
The Otay WD is currently investigating the feasibility of purchasing desalinated water from a
seawater reverse osmosis plant that is planned to be located in Rosarito, Mexico, known as the
Otay Mesa Desalinated Water Conveyance System (Desalination) project. The treatment
facility is intended to be designed, constructed, and operated in Mexico by a third party. The
Otay WD’s draft Desalination Feasibility Study, prepared in 2008, discusses the likely issues
to be considered in terms of water treatment and monitoring, potential conveyance options
within the United States from the international border to potential delivery points, and
environmental, institutional, and permitting considerations for the Otay WD to import the
Desalination project product water as a new local water supply resource.
While the treatment facility for the Desalination project will likely not be designed or
operated by the Otay WD as the lead agency, it is important that the Otay WD maintain
involvement with the planning, design, and construction of the facility to ensure that the
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implemented processes provide a product water of acceptable quality for distribution and use
within the Otay WD’s system as well as in other regional agencies’ systems that may use the
product water, i.e., City of San Diego, the Water Authority, etc. A seawater reverse osmosis
treatment plant removes constituents of concern from the seawater, producing a water quality
that far exceeds established United States and California drinking water regulations for most
parameters, however, a two-pass treatment system may be required to meet acceptable
concentrations of boron and chlorides, similar to the levels seen within the existing Otay WD
supply sources. The Desalination Feasibility Study addresses product water quality that is
considered acceptable for public health and distribution.
The Otay WD, or any other potential participating agencies, will be required to get approval
from the CDPH in order to use the desalinated seawater as a water source. Several alternative
approaches are identified for getting this approval. These alternatives vary in their cost and
their likelihood of meeting CDPH approval.
The Rosarito Desalination Facility Conveyance and Disinfection System Project report
addresses two supply targets for the desalinated water (i.e., local and regional). The local
alternative assumes that only Otay WD would participate and receive desalinated water, while
the regional alternative assumes that other regional and/or local agencies would also
participated in the Rosarito project.
On November 3, 2010, the Otay WD authorized the General Manager to enter into an
agreement with AECOM for the engineering design, environmental documentation, and the
permitting for the construction of the conveyance pipeline, pump station, and disinfection
facility to be constructed within the Otay WD. The supply target is assumed to be 50 MGD
while the ultimate capacity of the plant will be 100 MGD.
The Otay WD is proceeding with negotiations among the parties to establish water supply
resource acquisition terms through development of a Principles of Understanding document.
6.3.2 Otay WD Capital Improvement Program
The Otay WD plans, designs, constructs, and operates water system facilities to acquire
sufficient supplies and to meet projected ultimate demands placed upon the potable and recycled
water systems. In addition, the Otay WD forecasts needs and plans for water supply
requirements to meet projected demands at ultimate build out. The necessary water facilities and
water supply projects are implemented and constructed when development activities proceed and
require service to achieve timely and adequate cost effective water service.
New water facilities that are required to accommodate the forecasted growth within the entire
Otay WD service area are defined and described within the Otay WD 2010 WRMP Update.
These facilities are incorporated into the annual Otay WD Six Year Capital Improvement
Program (CIP) for implementation when required to support development activities. As major
development plans are formulated and precede through the land use jurisdictional agency
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approval processes, Otay WD prepares water system requirements specifically for the proposed
development project consistent with the Otay WD 2010 WRMP Update. These requirements
document, define, and describe all the potable water and recycled water system facilities to be
constructed to provide an acceptable and adequate level of service to the proposed land uses, as
well as the financial responsibility of the facilities required for service. The Otay WD funds the
facilities identified as CIP projects. Established water meter capacity fees and user rates are
collected to fund the CIP project facilities. The developer funds all other required water system
facilities to provide water service to their project.
Section 7 – Conclusion: Availability of Sufficient Supplies
The Village 2 SPA Amendment project is currently located within the jurisdictions of the
Otay WD, Water Authority, and MWD. To obtain permanent imported water supply service,
land areas are required to be within the jurisdictions of the Otay WD, Water Authority, and
MWD to utilize imported water supply.
The Water Authority and MWD have an established process that ensures supplies are being
planned to meet future growth. Any annexations and revisions to established land use plans
are captured in the SANDAG updated forecasts for land use planning, demographics, and
economic projections. SANDAG serves as the regional, intergovernmental planning agency
that develops and provides forecast information. The Water Authority and MWD update their
demand forecasts and supply needs based on the most recent SANDAG forecast
approximately every five years to coincide with preparation of their urban water management
plans. Prior to the next forecast update, local jurisdictions with land use authority may require
water supply assessment and/or verification reports for proposed land developments that are
not within the Otay WD, Water Authority, or MWD jurisdictions (i.e., pending or proposed
annexations) or that have revised land use plans with either lower or higher development
intensities than reflected in the existing growth forecasts. Proposed land areas with pending
or proposed annexations, or revised land use plans, typically result in creating higher demand
and supply requirements than previously anticipated. The Otay WD, Water Authority, and
MWD next demand forecast and supply requirements and associated planning documents
would then capture any increase or decrease in demands and required supplies as a result of
annexations or revised land use planning decisions.
MWD’s Integrated Resources Plan (IRP) identifies a mix of resources (imported and local)
that, when implemented, will provide 100 percent reliability for full-service demands through
the attainment of regional targets set for conservation, local supplies, State Water Project
supplies, Colorado River supplies, groundwater banking, and water transfers. The 2010
update to the IRP includes a planning buffer supply intended to mitigate against the risks
associated with implementation of local and imported supply programs and for the risk that
future demands could be higher than projected. The planning buffer identifies an additional
increment of water that could potentially be developed when needed and if other supplies are
not fully implemented as planned. As part of implementation of the planning buffer, MWD
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periodically evaluates supply development, supply conditions, and projected demands to
ensure that the region is not under or over developing supplies. Managed properly, the
planning buffer will help ensure that the southern California region, including San Diego
County, will have adequate water supplies to meet long-term future demands.
In Section ES-5 of their 2010 RUWMP, MWD states that MWD has supply capacities that
would be sufficient to meet expected demands from 2015 through 2035. MWD has plans for
supply implementation and continued development of a diversified resource mix including
programs in the Colorado River Aqueduct, State Water Project, Central Valley Transfers,
local resource projects, and in-region storage that enables the region to meet its water supply
needs. MWD’s 2010 RUWMP identifies potential reserve supplies in the supply capability
analysis (Tables 2-9, 2-10, and 2-11), which could be available to meet the unanticipated
demands.
The County Water Authority Act, Section 5 subdivision 11, states that the Water Authority
“as far as practicable, shall provide each of its member agencies with adequate supplies of
water to meet their expanding and increasing needs.”
As part of preparation of a written water supply assessment report, an agency’s shortage
contingency analysis should be considered in determining sufficiency of supply. Section 11
of the Water Authority’s 2010 Updated UWMP contains a detailed shortage contingency
analysis that addresses a regional catastrophic shortage situation and drought management.
The analysis demonstrates that the Water Authority and its member agencies, through the
Emergency Response Plan, Emergency Storage Project, Carlsbad Desalination Project, and
Drought Management Plan (DMP) are taking actions to prepare for and appropriately handle
an interruption of water supplies. The DMP, adopted in May 2006, provides the Water
Authority and its member agencies with a series of potential actions to take when faced with a
shortage of imported water supplies from MWD due to prolonged drought or other supply
shortfall conditions. The actions will help the region avoid or minimize the impacts of
shortages and ensure an equitable allocation of supplies.
The WSA&V Report identifies and describes the processes by which water demand
projections for the proposed Village 2 SPA Amendment Project will be fully included in the
water demand and supply forecasts of the Urban Water Management Plans and other water
resources planning documents of the Water Authority and MWD. Water supplies necessary
to serve the demands of the proposed Village 2 SPA Amendment Project, along with existing
and other projected future users, as well as the actions necessary and status to develop these
supplies, have been identified in the Village 2 SPA Amendment WSA&V Report and will be
included in the future water supply planning documents of the Water Authority and MWD.
This WSA&V Report includes, among other information, an identification of existing water
supply entitlements, water rights, water service contracts, water supply projects, or
agreements relevant to the identified water supply needs for the proposed Project. This
WSA&V Report assesses, demonstrates, and documents that sufficient water supplies are
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planned for and are intended to be available over a 20-year planning horizon, under normal
conditions and in single-dry and multiple-dry years to meet the projected demand of the
proposed Village 2 SPA Amendment Project and the existing and other planned development
projects to be served by the Otay WD.
Table 8 presents the forecasted balance of water demands and required supplies for the Otay
WD service area under average or normal year conditions. The total actual demand for FY
2012 was 35,423 acre-feet. The demand for FY 2012 is 3,482 acre-feet lower than the
demand in FY 2005 of 38,905 acre-feet. The drop in demand is a result of the unit price of
water, the conservation efforts of users as a result of the prolonged drought, and the economy.
Table 9 presents the forecasted balance of water demands and supplies for the Otay WD
service area under single-dry year conditions. Table 9 presents the forecasted balance of
water demands and supplies for the Otay WD service area under multiple-dry year conditions
for the three year period ending in 2015. The multiple-dry year conditions for periods ending
in 2023, 2028, and 2033 are provided in the Otay Water District 2010 UWMP. The projected
potable demand and supply requirements shown the Tables 8 and 9 are from the Otay WD
2010 UWMP. Hot, dry weather may generate urban water demands that are about 6.4 percent
greater than normal. This percentage was utilized to generate the dry year demands shown in
Table 9. The recycled water supplies are assumed to experience no reduction in a dry year.
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Table 8
Projected Balance of Water Demands and Supplies Normal Year Conditions (acre-feet)
Description FY 2015 FY 2020 FY 2025 FY 2030 FY 2035
Demands
Otay WD Demands 44,883 53,768 63,811 70,669 77,171
Freeway Commercial Demands 127 127 127 127 127
Village 2 Demands 529 529 529 529 529
University Villages Demands 41 41 41 41 41
Additional Conservation Target 0 (7,447) (13,996) (17,895) (20,557)
Total Demand 45,580 47,018 50,512 53,472 57,311
Supplies
Water Authority Supply 40,483 41,321 44,015 45,974 48,614
Water Authority Accelerated Forecast
Growth Increment 697 697 697 697 697
Recycled Water Supply 4,400 5,000 5,800 6,800 8,000
Total Supply 45,580 47,018 50,512 53,472 57,311
Supply Surplus/(Deficit) 0 0 0 0 0
The 697 (127+529+41) AFY increase in demand is accounted for through the Accelerated Forecasted
Growth demand increment of the Water Authority’s 2010 UWMP.
Table 9 presents the forecasted balance of water demands and supplies for the Otay WD
service area under single-dry year and multiple-dry year conditions as from the Otay WD
2010 UWMP.
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Table 9
Projected Balance of Water Demands and Supplies
Single-Dry and Multiple-Dry Year Conditions (acre-feet)
Normal
Year
Single-
Dry Year
Multiple-Dry Years
FY 2011 FY 2012 FY 2013 FY 2014 FY 2015
Demands
Otay WD Demands 37,176 41,566 43,614 46,385 50,291
Total Demand 37,176 41,566 43,614 46,385 50,291
Supplies
Water Authority Supply 33,268 37,535 39,460 42,108 45,891
Recycled Water Supply 3,908 4,031 4,154 4,277 4,400
Total Supply 37,176 41,566 43,614 46,385 50,291
Supply Surplus/(Deficit) 0 0 0 0 0
District Demand totals with SBX7-7 conservation target achievement plus single-dry year increase as shown.
The Water Authority could implement its DMP. In this instances, the Water Authority may have to allocate supply
shortages based on it equitable allocation methodology in its DMP.
Dry year demands assumed to generate a 6.4% increase in demand over normal conditions for
each year in addition to new demand growth.
Table 9 also presents the forecasted balance of water demands and supplies for the Otay WD
service area under multiple-dry year conditions for the three year period ending in 2015.
In evaluating the availability of sufficient water supply, the Village 2 SPA Amendment
Project development proponents will be required to participate in the development of
alternative water supply project(s). This can be achieved through payment of the New Water
Supply Fee adopted by the Otay WD Board in May 2010. These water supply projects are in
addition to those identified as sustainable supplies in the current Water Authority and MWD
UWMP, IRP, Master Plans, and other planning documents. These new water supply projects
are in response to the regional water supply issues related to climatological, environmental,
legal, and other challenges that impact water source supply conditions, such as the court
rulings regarding the Sacramento-San Joaquin Delta and the current ongoing western states
drought conditions. These new additional water supply projects are not currently developed
and are in various stages of the planning process. The Otay WD water supply development
program includes but is not limited to projects such as the Middle Sweetwater River Basin
Groundwater Well project, the North District Recycled Water Supply Concept, the Otay WD
Desalination project, and the Rancho del Rey Groundwater Well project. The Water
Authority and MWD’s next forecasts and supply planning documents would capture any
increase in water supplies resulting from any new water resources developed by the Otay WD.
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The Otay WD acknowledges the ever-present challenge of balancing water supply with
demand and the inherent need to possess a flexible and adaptable water supply
implementation strategy that can be relied upon during normal and dry weather conditions.
The responsible regional water supply agencies have and will continue to adapt their resource
plans and strategies to meet climate, environmental, and legal challenges so that they may
continue to provide water supplies to their service areas. The regional water suppliers along
with Otay WD fully intend to maintain sufficient reliable supplies through the 20-year
planning horizon under normal, single-dry, and multiple-dry year conditions to meet projected
demand of the Village 2 SPA Amendment Project, along with existing and other planned
development projects within the Otay WD service area.
This WSA&V Report assesses, demonstrates, and documents that sufficient water supplies are
planned for and are intended to be acquired, as well as the actions necessary and status to
develop these supplies, to meet projected water demands of the Village 2 SPA Amendment
Project as well as existing and other reasonably foreseeable planned development projects
within the Otay WD for a 20-year planning horizon, in normal and in single-dry and multiple-
dry years.
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Source Documents
City of Chula Vista, Otay Ranch Village 2 SPA Amendment SB 610 and SB 221 Compliance
request letter received October 2, 2013.
City of Chula Vista, “Otay Ranch General Development Plan/Sub-regional Plan, The Otay Ranch
Joint Planning Project,” October 1993 amended June 1996.
County of San Diego, “East Otay Mesa Specific Plan Area,” adopted July 27, 1994.
Otay Water District, “2010 Water Resources Master Plan Update,” Dated November, 2010,
Amended April 2013.
Atkins and Otay Water District, “Otay Water District 2010 Urban Water Management Plan,”
June 2011.
Camp Dresser & McKee, Inc., “Otay Water District Integrated Water Resources Plan,” March
2007
San Diego County Water Authority, “Urban Water Management Plan 2005 Update,”
November 2005 amended May 2007.
MWD Water District of Southern California, “Regional Urban Water Management Plan,”
November 2005.
Dexter Wilson Engineering, Inc., “Village 2 Comprehensive SPA Amendment Water System
Evaluation” Memorandum, May 28, 2013.
Camp Dresser & McKee, Inc., “Rosarito Desalination Facility Conveyance and Disinfection
System Project,” June 21, 2010.
PBS&J, “Draft Otay Water District North District Recycled Water System Development
Project, Phase I Concept Study,” December 2008.
NBS Lowry, “Middle Sweetwater River System Study Water Resources Audit,” June 1991.
Michael R. Welch, “Middle Sweetwater River System Study Alternatives Evaluation,” May
1993.
Michael R. Welch, “Middle Sweetwater River Basin Conjunctive Use Alternatives,”
September 1994.
Geoscience Support Services, Inc., “Otay Mesa Lot 7 Well Investigation,” May 2001.
Otay Water District
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Boyle Engineering Corporation, “Groundwater Treatment Feasibility Study Ranch del Rey
Well Site,” September 1996.
Agreement for the Purchase of Treated Water from the Otay Water Treatment Plant between
the City of San Diego and the Otay Water District.
Agreement between the San Diego County Water Authority and Otay Water District regarding
Implementation of the East County Regional Treated Water Improvement Program.
Agreement between the San Diego County Water Authority and Otay Water District for
Design, Construction, Operation, and Maintenance of the Otay 14 Flow Control Facility
Modification.
Agreement between the Otay Water District and the City of San Diego for Purchase of
Reclaimed Water from the South Bay Water Reclamation Plant.
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Appendix A
Village 2 SPA Amendment Regional Location Map
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OTAY WATER DISTRICTOTAY RANCH UNIVERSITY VILLAGES PROJECTVILLAGE 2 LOCATION MAP
APPENDIX A
SPA D0740-090161
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Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 2 SPA Amendment
2
Appendix B
Otay Ranch Village 2 SPA Amendment Proposed Development Plan
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OTAY WATER DISTRICTOTAY RANCH UNIVERSITY VILLAGES PROJECTVILLAGE 2 LAND USE MAP
APPENDIX B
SPA D0740-090161
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Village 2
Residential (R)
Mixed Use (MU)
Schools (S)
Parks and Recreation (P)
Private Recreation Sites (CPF)
Office/Commercial and Light Industrial (I)
SPA BOUNDARY
Otay Water District Board of Directors Meeting November 6, 2013
Water Supply Assessment & Verification Report for
Otay Ranch University Villages Project
&
Village 2 SPA Amendment
SB 610 & SB 221 Compliance
EXHIBIT D
University Villages
Village 2
BACKGROUND
Senate Bills 610 and 221 became effective on
January 1, 2002, with the primary intent to improve
the link between water supply availability and land
use decisions.
SB 610 Water Supply Assessment (WSA): Requires water purveyor to prepare a Water Supply
Assessment Report for inclusion in agency CEQA
documentation.
SB 221 Water Supply Assessment & Verification
(WSA&V): Requires water purveyor to prepare a Water Supply
Assessment & Verification Report for inclusion in
agency CEQA documentation. Board approval required for submittal of the WSA&V
Report to City of Chula Vista.
2
Otay Ranch University Villages Project
Total Water Demand
Potable – 2,393 AFY / Recycled - 616 AFY , 41 AFY Increase
Village 3 & a
portion of Village 4
Pedestrian & transit oriented village
1,597 homes around a mixed use core (1002 SF
homes / 585 MF units)
20,000 sq. ft. retail
commercial
Elementary School
Park site
Non-residential areas include open space & open space preserve, office space & light industrial
3
Village 8 East
Pedestrian oriented urban
village
3,560 mixed-density residential (963 SF / 2,497 MF units)
20,000 sq. ft. commercial retail
Elementary school
Neighborhood park
Open space – 11 acres
4
Village 10
Pedestrian oriented urban
village
1,740 mixed-density residential (692 SF / 1,048 MF units)
Elementary school
Neighborhood park
Small private recreation sites (Community Park
Facilities (CPF))
16.5 acres of open space preserve
5
Otay Ranch Village 2 SPA
Amendment
Split into many ownerships,
Baldwin & Sons is majority owner
Amendment of Sectional Planning
Area Plan requires updated WSA&V
Addition of 1,564 residential units, elementary school,
park, & CPF sites
Water Supply Assessment & Verification
Report
The regional and local water supply agencies
acknowledge the challenges and fully intend to
develop sufficient, reliable supplies to meet
demands.
Water suppliers recognize additional water supplies
are necessary and portfolios need to be reassessed
and redistributed with intent to serve existing and
future needs.
6
Water Supply Assessment & Verification
Report
The Report documents the planned water supply
projects and the actions necessary to develop the
supplies.
Water supply for the Projects and for existing and
future developments within the District for a 20-
year planning horizon, under normal and in single-
dry and multiple-dry years, are planned for and
are intended to be made available.
7
Otay Water District
8
Planned Local Water Supply Projects Supply (AF)
Rancho del Rey Groundwater Well 500
Rosarito Ocean Desalination Project 20,000-50,000
Otay Mesa Lot 7 Groundwater Well 300
Otay Mesa Recycled Water Supply Link
Project 800
Water Authority Supplies
WATER AUTHORITY
SUPPLIES (AFY) 2015 2020 2025 2030 /
2035
IID Water Transfer 100,000 190,000 200,000 200,000
ACC and CC Lining 80,200 80,200 80,200 80,200
Carlsbad Desalination 0 56,000 56,000 56,000
Sub-Total: 180,200 326,200 336,200 336,200
Source: Table 9-1 Water Authority 2010 UWMP
9
10
Otay Water District
Projected Balance of Supply and Demand
Description FY 2015 FY 2020 FY 2025 FY 2030 FY 2035
Demands
Otay WD Demands 44,883 53,768 63,811 70,669 77,171
Univ. Villages Demands 41 41 41 41 41
Village 2 Demands 529 529 529 529 529
Freeway Commercial Demands 127 127 127 127 127
Additional Conservation Target 0 (7,447) (13,996) (17,895) (20,557)
Total Demand 45,580 47,018 50,512 53,472 57,311
Supplies
Water Authority Supply 40,483 41,321 44,015 45,974 48,614
Water Authority Accel. Forecast
Growth Increment 697 697 697 697 697
Recycled Water Supply 4,400 5,000 5,800 6,800 8,000
Total Supply 45,580 47,018 50,512 53,472 57,311
Supply Surplus/(Deficit) 0 0 0 0 0
The 697 (41+529+127 ) AFY increase in demand is accounted for through the Accelerated
Forecasted Growth demand increment of the Water Authority’s 2010 UWMP.
Source: Table 8 of the Otay Ranch University Villages & Otay Ranch Village 2 SPA Amendment WSA&V Report.
CONCLUSION
Water demand and supply forecasts are
included in the planning documents of MWD,
Water Authority, and the Otay Water District.
Actions necessary to develop the identified
water supplies are documented.
The Otay Ranch University Villages Project &
the Otay Ranch Village 2 SPA Amendment SB
610 & SB 221 WSA&V Reports demonstrate and
document that sufficient water supplies are
planned for and are intended to be available
over the next 20 years.
12
It is believed that the Board has met the intent
of SB 610 & SB 221 statute in that:
1)Land use agencies and water suppliers
have demonstrated strong linkage.
2)The Otay Ranch University Villages
Project and the Otay Ranch Village 2
SPA Amendment Water Supply
Assessment & Verification Reports
clearly document the current water
supply situation.
CONCLUSION
(continued)
13
STAFF RECOMMENDATION
That the Board of Directors approve Senate Bills 610
& 221 Water Supply Assessment & Verification Report
dated September 2013 for the Otay Ranch University
Villages Project and the Otay Ranch Village 2 SPA
Amendment.
14
QUESTIONS?
STAFF REPORT
TYPE MEETING: Regular Board MEETING DATE: November 6, 2013
SUBMITTED BY: Lisa Coburn-Boyd
Environmental Specialist
Bob Kennedy
Engineering Manager
CIP./G.F. NO: D0871-
090123
DIV. NO. 1,2
APPROVED BY:
Rod Posada, Chief, Engineering
German Alvarez, Assistant General Manager
Mark Watton, General Manager
SUBJECT: Approval of Water Supply Assessment and Verification Report
(September 2013) for the Otay Ranch University Villages
Project
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors
(Board) approve the Water Supply Assessment and Verification
Report (WSA&V Report) dated September 2013 for the Otay Ranch
University Villages Project, as required by Senate BillS 610 and
221 (see Exhibit A for Project location).
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To obtain Board approval of the September 2013 WSA&V Report for
the Otay Ranch University Villages Project, as required by
Senate Bill 610 and Senate Bill 221 (SB 610 and SB 221).
ANALYSIS:
The City of Chula Vista submitted a request for a WSA&V report
to the District pursuant to SB 610 and SB 221. SB 610 and SB
221 require that, upon the request of the City or County, a
water purveyor, such as the District, prepare a water supply
assessment and verification report to be included in the
California Environmental Quality Act (CEQA) environmental
AGENDA ITEM 9b
2
documentation. This request was received by the District on
August 20, 2013.
SB 610 requires a city or county to evaluate whether water
supplies will be sufficient to meet the projected water demand
for certain “projects” that are otherwise subject to the
requirement of the CEQA. SB 610 provides its own definition of
“project” in Water Code Section 10912.
SB 221 requires affirmative written verification from the water
purveyor of the public water system that sufficient water
supplies are planned to be available for certain residential
subdivisions of property. The requirements of SB 610 and SB 221
are addressed by the September 2013 WSA&V Report for this
project. The WSA&V Report was prepared by the District in
consultation with Dexter Wilson Engineering, the San Diego
County Water Authority (Water Authority), and the City of Chula
Vista (City).
Prior to transmittal to the City, the WSA&V Report must be
approved by the Board of Directors. An additional explanation
of the intent of SB 610 and SB 221 is provided in Exhibit B, the
Otay Ranch University Villages Project WSA&V Report is provided
as Exhibit C.
For the Otay Ranch University Villages Project, the City is the
responsible land use agency that requested the SB 610 and SB 221
water supply assessment and verification report from the
District. The request for the WSA&V Reports, in compliance with
SB 610 and SB 221 requirements, was made by the City because the
Project meets or exceeds one or both of the following SB 610 and
SB 221 criteria:
A proposed residential development of more than 500
dwelling units.
A proposed commercial office building employing more than
1,000 persons or having more than 250,000 square-feet of
floor space.
A mixed-use project that includes one or more of the land
uses specified in SB 610.
A project that would demand an amount of water equivalent
to, or greater than, the amount of water required by a 500
dwelling unit project.
3
The Otay Ranch University Villages Project is located within the
23,000 acre Otay Ranch master planned community within the City
of Chula Vista. The development concepts for the villages in
this project are as follows:
Village 3 North and a portion of Village 4 is a pedestrian
and transit oriented village containing 1,597 homes
arranged around a mixed-use core with up to 20,000 square
feet of commercial retail, an elementary school, and park
sites.
Village 8 East is planned as a pedestrian oriented urban
village with 3,560 mixed density residential units, up to
20,000 square feet of commercial retail, an elementary
school, a neighborhood park and Community Park Facilities
(CPF) sites.
Village 10 is planned as a pedestrian oriented urban
village with 1,740 mixed density residential units, an
elementary school, park and Community Park Facilities (CPF)
sites.
The expected potable water demand for the Otay Ranch University
Villages Project is 2.14 million gallons per day or about 2,393
acre-feet per year (AFY) which is 41 AFY higher than what was
projected in the District’s 2010 Water Resources Master Plan
Update (WRMP Update). The projected recycled water demand for
the Otay Ranch University Villages Project is 0.55 million
gallons per day or 616 AFY , representing about 20% of the total
Otay Ranch University Villages Project water demand.
The 41 AFY increase is accounted for through the Accelerated
Forecasted Growth demand increment of the Water Authority’s 2010
UWMP. As documented in the Water Authority’s 2010 UWMP, the
Water Authority is planning to meet future and existing demands
which include the demand increment associated with the
accelerated forecasted growth. The Water Authority will assist
its member agencies in tracking the environmental documents
provided by the agencies that include water supply assessments
and verifications reports that utilize the accelerated
forecasted growth demand increment to demonstrate supplies for
the development. In addition, the next update of the demand
forecast for the Water Authority’s 2015 UWMP will be based on
SANDAG’s most recently updated forecast, which will include the
Project. Therefore, based on the findings from the District’s
4
2010 UWMP and the Water Authority’s 2010 UWMP, this Project will
result in no unanticipated demands.
The request for compliance with SB 221 requirements was made by
the City because the project will exceed the SB 221 criteria of
a proposed residential development subdivision of more than 500
dwelling units.
Pursuant to SB 610 and SB 221, the WSA&V Report incorporate by
reference the current Urban Water Management Plans and other
water resources planning documents of the District, the Water
Authority, and the Metropolitan Water District of Southern
California (Metropolitan). The District prepared the WSA&V
Report in consultation with Dexter Wilson Engineering, the Water
Authority, and the City which demonstrates and documents that
sufficient water supplies are planned for and are intended to be
made available over a 20-year planning horizon under normal
supply conditions and in single-dry and multiple-dry years to
meet the projected demand of the Otay Ranch University Villages
Project, and other planned development projects within the
District.
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
The District has been reimbursed $8,000 for all costs associated
with the preparation of the Otay Ranch University Villages
Project WSA&V Report. The reimbursement was accomplished via an
$8,000 deposit the Project proponents placed with the District
on April 12, 2012.
STRATEGIC GOAL:
The preparation and approval of the WSA&V Report for the Otay
Ranch University Villages Project supports the District’s
Mission statement, "To provide high value water and wastewater
services to the customers of the Otay Water District, in a
professional, effective, and efficient manner” and the
District’s Strategic Goal, in planning for infrastructure and
supply to meet current and future potable water demands.
LEGAL IMPACT:
Approval of a WSA&V Report for the Otay Ranch University
Villages Project in form and content satisfactory to the Board
of Directors would allow the District to comply with the
requirements of Senate Bills 610 and 221.
5
LCB/BK/RP:jf
P:\WORKING\WO D0871-090123 Otay Ranch University Villages Project\Staff Report\BD 11-
06-13, Staff Report, Otay Ranch Univ Villages WSA&V , (LCB-BK).doc
Attachments: Attachment A - Committee Action
Exhibit A - Location Map
Exhibit B – Explanation of the Intent of SB 610 &
SB 221
Exhibit C – Otay Ranch University Villages
Project WSA&V Report
Exhibit D – Presentation
ATTACHMENT A
SUBJECT/PROJECT:
D0871-090123
Approval of Water Supply Assessment and Verification
Report (September 2013) for the Otay Ranch University
Villages Project
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee
(Committee) reviewed this item at a meeting held on October 23,
2013 and the following comments were made:
Staff requested that the Board approve the Water Supply
Assessment Report and Verification (WSA&V Report) dated
September 2013 for the City of Chula Vista Otay Ranch
University Villages Project, as required by Senate Bills
610 and 221.
Staff indicated that the District received a request from
the City of Chula Vista to prepare the WSA and Verification
Report for the Otay Ranch University Villages Project. It
was noted that SB 610 requires that the District respond to
the City’s request, and that board approval for the
submittal of the WSA&V Report to the City of Chula Vista is
required.
Staff indicated that the Otay Ranch University Villages
Project consists of three (3) areas within the 23,000 acre
Otay Ranch master planned community in the City of Chula
Vista. The areas include Village 3 North and a portion of
Village 4, Village 8 East, and Village 10. Details of the
areas are provided on page 3 of the staff report. See
Exhibit A for the location of the project site.
The expected overall water demand for the Project is 2,393
AFY potable and 616 AFY recycled. Staff noted that this
amount is 41 AFY higher than what was projected in the
District’s 2010 Water Resources Master Plan (WRMP).
However, it is accounted for through the Accelerated
Forecasted Growth demand increment of the Water Authority’s
2010 Urban Water Management Plan (UWMP).
A PowerPoint presentation was provided to the Committee
that included the following:
o Background of Senate Bills 610 and 221, which became
effective on January 1, 2002, and its intent and how it
relates to the WSA&V Report
o Land use plan and description for the Otay Ranch
University Villages Project
o Potable demand estimates for the Otay Ranch University
Villages Project
o Otay Water District’s, San Diego County Water
Authority’s, and Metropolitan Water District’s Urban
Water Management Plan
It was noted that the Otay Ranch University Villages
Project WSA&V Report includes (4) four other Otay Water
District Planned Local Water Supply Projects:
o Rancho Del Rey Groundwater Well (500 AFY)
o Rosarito Ocean Desalination Project (20,000-50,000 AFY)
o Otay Mesa Lot 7 Groundwater Well (300 AFY)
o Otay Mesa Recycled Water Supply Link Project (800 AFY)
A slide was presented that showed the Water Authority
Supplies, which included IID Water Transfer, All-American
Canal and Coachella Canal Lining Projects, and the Carlsbad
Desalination project.
Staff noted that the next update of the demand forecast for
the Water Authority’s 2015 UWMP will be based on SANDAG’s
most recently updated forecast, which will include the Otay
Ranch University Villages Project. Based on the findings
from the Otay Water District’s 2010 UWMP and the Water
Authority’s 2010 UWMP, the Otay Ranch University Project
will result in no unanticipated demands.
It was discussed that the graph for Projected and
Historical Potable Water Fiscal Year Demands uses demand
data from the 2010 UWMP and illustrates how demand
projections are significantly different from more recent
reality. Historical rates show how the impacts of
increased water rates and conservation have impacted water
demands; 2011 and 2012 demands are following the same
historical trend. The difference between real and
projected demands is also being seen at the Water
Authority.
Staff indicated that the status of the current water supply
situation is documented in the WSA&V Report with the intent
that the water agencies plan to develop sufficient water
supplies to meet demands. Staff believes that the Board has
met the intent of SB 610 and 221 statutes in that Land use
agencies and water suppliers have demonstrated strong
linkage. The Otay Ranch University Villages Project WSA&V
Report clearly documents the current water supply
situation. Staff believes that based on existing
documentation, the WSA&V Report demonstrates and documents
that sufficient water supplies are planned for and are
intended to be acquired and also identifies the actions
necessary to develop the supplies for a 20-year planning
horizon.
In response to a question by the Committee, staff stated
that they believe there is sufficient water supply for the
Otay Ranch University Villages Project and other planned
development projects. Staff indicated that they correspond
with City of Chula Vista’s staff to clearly document the
current water supply situation and projected demand and
believes that the District’s WSA&V Report corresponds to
the City’s planning documents.
Following the discussion, the Committee supported staffs’
recommendation and presentation to the full board as an action
item.
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OTAY WATER DISTRICTOTAY RANCH UNIVERSITY VILLAGES PROJECTLOCATION MAP
EXHIBIT A
D0871-090123
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Miles
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EXHIBIT B
Background Information
The Otay Water District (District) prepared the September 2013 Water Supply
Assessment and Verification (WSA&V) Report for the Otay Ranch University Villages
Project at the request of the City of Chula Vista. The City’s WSA&V request letter dated
August 20, 2013 was received by the District on August 21, 2013 so the 90-day
deadline for the District to provide the Board an approved WSA&V Report to the City
ends November 18, 2013. The University Villages Project is located within the 23,000
acre Otay Ranch master planned community within the City of Chula Vista. The project
proposes 6,897 homes and associated village land uses on approximately 755 acres
and includes roughly 620 acres of Open Space Preserve for a total Project area of
approximately 1,375 acres.
The Otay Ranch University Villages Project is located within the jurisdictions of the
District, the San Diego County Water Authority (Water Authority), and the Metropolitan
Water District of Southern California (MWD). See Exhibit A for Project location. To
obtain permanent imported water supply service, land areas are required to be within
the jurisdictions of the District, Water Authority, and MWD.
The September 2013 WSA&V Report for the Otay Ranch University Villages Project has
been prepared by the District in consultation with Dexter Wilson Engineering, the Water
Authority, and the City pursuant to Public Resources Code Section 21151.9 and
California Water Code Sections 10631, 10656, 10910, 10911, 10912, and 10915
referred to as Senate Bill (SB) 610 and Government Code Sections 65867.5, 66455.3,
and 66473.7 referred to as SB 221. SB 610 and SB 221 amended state law, effective
January 1, 2002, intending to improve the link between information on water supply
availability and certain land use decisions made by cities and counties. SB 610 requires
that the water purveyor of the public water system prepare a water supply assessment
to be included in the California Environmental Quality Act (CEQA) environmental
documentation and approval process of certain proposed projects. SB 221 requires
affirmative written verification from the water purveyor of the public water system that
sufficient water supplies are to be available for certain residential subdivision of
property. The requirements of SB 610 and SB 221 are addressed in the September
2013 WSA&V Report for the Otay Ranch University Villages Project.
The Otay Ranch University Villages Project has the following development concepts for
the villages in this project. Village 3 North and a portion of Village 4 is a pedestrian and
transit oriented village containing 1,597 homes arranged around a mixed-use core with
up to 20,000 square feet of commercial retail, an elementary school, and park sites.
Village 8 East is planned as a pedestrian oriented urban village with 3,560 mixed
density residential units, up to 20,000 square feet of commercial retail, an elementary
school, a neighborhood park, and Community Park Facilities (CPF) sites. Village 10 is
planned as a pedestrian oriented urban village with 1,740 mixed density residential
units, an elementary school, park, and Community Park Facilities (CPF) sites.
The expected potable water demand for the Otay Ranch University Villages Project is
2.14 million gallons per day (MGD) or about 2,393 acre feet per year (AFY) which is 41
AFY higher than what was projected in the District’s 2010 Water Resources Master Plan
Update (WRMP Update). The projected recycled water demand for the Otay Ranch
University Villages Project is 0.55 MGD or 616 AFY, representing about 20% of the total
Otay Ranch University Villages Project water demand.
The 41 AFY increase in demand is accounted for through the Accelerated Forecasted
Growth demand increment of the Water Authority’s 2010 UWMP. As documented in the
Water Authority’s 2010 UWMP, the Water Authority is planning to meet future and
existing demands which include the demand increment associated with the accelerated
forecasted growth. The Water Authority will assist its member agencies in tracking the
environmental documents provided by the agencies that include water supply
assessments and verifications reports that utilize the accelerated forecasted growth
demand increment to demonstrate supplies for the development. In addition, the next
update of the demand forecast for the Water Authority’s 2015 UWMP will be based on
SANDAG’s most recently updated forecast, which will include the Project. Therefore,
based on the findings from the Otay WD’s 2010 UWMP and the Water Authority’s 2010
UWMP, this Project will result in no unanticipated demands.
The District currently depends on the Water Authority and the MWD for all of its potable
water supplies and regional water resource planning. The District’s 2010 Urban Water
Management Plan (UWMP) relies heavily on the UWMP’s and Integrated Water
Resources Plans (IRPs) of the Water Authority and MWD for documentation of supplies
available to meet projected demands. These plans are developed to manage the
uncertainties and variability of multiple supply sources and demands over the long-term
through preferred water resources strategy adoption and resource development target
approvals for implementation.
MWD in October 2010 approved the update of their Integrated Water Resources Plan
(IRP). The 2010 IRP Update describes an adaptive management approach to mitigate
against future water supply uncertainty. The new uncertainties that are significantly
affecting California’s water resources include:
The Federal Court ruling on previous operational limits on Sacramento-San
Joaquin Delta to protect the Delta species. Water agencies are still trying to
determine what effect the ruling will have on State Water Project (SWP)
deliveries. Actual supply curtailments for MWD are contingent upon fish
distribution, behavioral patterns, weather, Delta flow conditions, and how water
supply reductions are divided between state and federal projects.
Periodic extended drought conditions.
These uncertainties have rightly caused concern among Southern California water
supply agencies regarding the validity of the current water supply documentation.
MWD is currently involved in several proceedings concerning Delta operations to
evaluate and address environmental concerns. In addition, at the State level, the Delta
Vision and Bay-Delta Conservation Plan processes are defining long-term solutions for
the Delta.
The SWP represents approximately 9% of MWD’s 2025 Dry Resources Mix with the
supply buffer included. A 22% cutback in SWP supply represents an overall 2% (22%
of 9% is 2%) cutback in MWD supplies in 2025. Neither the Water Authority nor MWD
has stated that there is insufficient water for future planning in Southern California.
Each agency is in the process of reassessing and reallocating their water resources.
Under preferential rights, MWD can allocate water without regard to historic water
purchases or dependence on MWD. Therefore, the Water Authority and its member
agencies are taking measures to reduce dependence on MWD through development of
additional supplies and a water supply portfolio that would not be jeopardized by a
preferential rights allocation.
As calculated by MWD (December 11, 2012), the Water Authority’s current preferential
right is 17.22% of MWD’s supply, while the Water Authority accounted for approximately
25% of MWD’s total revenue. So MWD could theoretically cut back the Water
Authority’s supply and theoretically, the Water Authority should have alternative water
supply sources to make up for the difference. In the Water Authority’s 2010 UWMP,
they had already planned to reduce reliance on MWD supplies. This reduction is
planned to be achieved through diversification of their water supply portfolio.
The Water Authority’s Drought Management Plan (May 2006) provides the Water
Authority and its member agencies with a series of potential actions to engage when
faced with a shortage of imported water supplies due to prolonged drought conditions.
Such actions help avoid or minimize impacts of shortages and ensure an equitable
allocation of supplies throughout the San Diego County region.
The Otay Water District Board of Directors could acknowledge the ever-present
challenge of balancing water supply with demand and the inherent need to possess a
flexible and adaptable water supply implementation strategy that can be relied upon
during normal and dry weather conditions. The responsible regional water supply
agencies have and will continue to adapt their resource plans and strategies to meet
climatological, environmental, and legal challenges so that they may continue to provide
water supplies to their service areas. The regional water suppliers (i.e., the Water
Authority and MWD), along with the District, fully intend to maintain sufficient reliable
supplies through the 20-year planning horizon under normal, single-dry, and multiple-
dry year conditions to meet projected demand of the Otay Ranch University Villages
Project, along with existing and other planned development projects within the District’s
service area.
If the regional water suppliers determine additional water supplies will be required, or in
this case, that water supply portfolios need to be reassessed and redistributed with the
intent to serve the existing and future water needs throughout Southern California, the
agencies must indicate the status or stage of development of actions identified in the
plans they provide. MWD’s 2010 IRP update will then cause the Water Authority to
update its IRP, which will then provide the District with the necessary water supply
documentation. Identification of a potential future action in such plans does not by itself
indicate that a decision to approve or to proceed with the action has been made. The
District’s Board approval of the Otay Ranch University Villages Project WSA&V Report
does not in any way guarantee water supply to the parcels that make up the Otay
Ranch University Villages Project.
Alternatively, if the WSA&V Report is written to state that water supply is or will be
unavailable; the District must include, in the assessment, a plan to acquire additional
water supplies. At this time, the District should not state there is insufficient water
supply.
So the best the District can do right now is to state the current water supply situation
clearly, indicating intent to provide supply through reassessment and reallocation by the
regional, as well as, the local water suppliers. In doing so, it is believed that the Board
has met the intent of the SB 610 statute, that the land use agencies and the water
agencies are coordinating their efforts in planning water supplies for new development.
With District Board approval of the Otay Ranch University Villages Project WSA&V
Report, the Otay Ranch University Villages Project proponents can proceed with the
draft environmental documentation required for the CEQA review process. The water
supply issues will be addressed in these environmental documents, consistent with the
WSA&V Report.
The District, as well as others, can comment on the draft EIR with recommendations
that water conservation measures and actions be employed on the Otay Ranch
University Villages Project.
Some recent actions regarding water supply assessments and verification reports by
Otay Water District are as follows:
The Board approved the Judd Company Otay Crossings Commerce Park water
supply assessment report on December 5, 2007.
The Board approved the Otay Ranch L.P. Otay Ranch Preserve and Resort
Project Water Supply Assessment and Verification Report on February 4, 2009.
The Board approved water supply assessment and verification reports for the
City of Chula Vista Village 8 West Sectional Plan Area and Village 9 Sectional
Plan Are on January 5, 2011.
The Board approved the water supply assessment report for the San Diego-
Tijuana Cross Border Facility on February 2, 2011.
The Board approved the water supply assessment for the County of San Diego
Rabago Technology Park on April 6, 2011.
The Board approved the water supply assessment report for the Pio Pico Energy
Center Project on October 5, 2011.
The Board approved the water supply assessment report for the Hawano Project
on March 7, 2012.
The Board approved the water supply assessment reports for the Sunroad Otay
Plaza and Otay Tech Center Projects on March 6, 2013.
The Board approved the water supply assessment reports for the Otay Ranch
Planning Area 12 Freeway Commercial Project and the City of San Diego Otay
Mesa Community Plan Update on July 3, 2013.
Water supplies necessary to serve the demands of the proposed Otay Ranch University
Villages Project, along with existing and other projected future users, as well as the
actions necessary to develop these supplies, have been identified in the water supply
planning documents of the District, the Water Authority, and MWD.
The WSA&V Report includes, among other information, an identification of existing
water supply entitlements, water rights, water service contracts, or agreements relevant
to the identified water supply needs for the proposed Otay Ranch University Villages
Project. The WSA&V Report demonstrates and documents that sufficient water
supplies are planned and are intended to be available over a 20-year planning horizon,
under normal conditions and in single-dry and multiple-dry years, to meet the projected
demand of the proposed Otay Ranch University Villages Project and the existing and
other planned development projects within the District.
Accordingly, after approval of a WSA&V Report for the Otay Ranch University Villages
Project by the District's Board of Directors, the WSA&V Report may be used to comply
with the requirements of the legislation enacted by Senate Bills 610 and 221 as follows:
Senate Bill (SB) 610 Water Supply Assessment: The District's Board of Directors
approved WSA&V Report may be incorporated into the California Environmental
Quality Act (CEQA) compliance process for the Otay Ranch University Villages
Project as a water supply assessment report consistent with the requirements of the
legislation enacted by SB 610. The City of Chula Vista, as lead agency under the
CEQA for the Otay Ranch University Villages Project environmental documentation,
may cite the approved WSA&V Report as evidence that a sufficient water supply is
planned and intended to be available to serve the Otay Ranch University Villages
Project.
Senate Bill (SB) 221 Water Supply Verification: The District's Board of Directors
approved WSA&V Report may be incorporated into the City’s Otay Ranch University
Villages Project as a water supply verification report, consistent with the
requirements of the legislation enacted by SB 221. The City, within their process of
approving the Otay Ranch University Villages Project, may cite the approved
WSA&V Report as verification of intended sufficient water supply to serve the
Project.
EXHIBIT C
OTAY WATER DISTRICT
WATER SUPPLY ASSESSMENT AND
VERIFICATION REPORT
Otay Ranch University Villages
(Villages 3 North, a Portion of 4, 8 East, and 10)
D0871-090123
Prepared by:
Lisa Coburn-Boyd
Environmental Compliance Specialist
and
Robert Kennedy, P.E.
Engineering Manager
Otay Water District
in consultation with
Dexter Wilson Engineering, Inc.
and
San Diego County Water Authority
September 2013
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch Village 3 North, a Portion of 4, 8 East, and 10
Otay Water District
Water Supply Assessment and Verification Report
September 2013
Otay Ranch University Villages
(Villages 3 North, a Portion of 4, 8 East, and 10)
Table of Contents
Executive Summary .................................................................................................................................... 1
Section 1 - Purpose ...................................................................................................................................... 5
Section 2 - Findings ..................................................................................................................................... 6
Section 3 - Project Description .................................................................................................................. 9
Section 4 – Otay Water District ............................................................................................................... 11
4.1 Urban Water Management Plan .................................................................. 13
Section 5 – Historical and Projected Water Demands .......................................................................... 14
5.1 Demand Management (Water Conservation) ............................................. 21
Section 6 - Existing and Projected Supplies ........................................................................................... 23
6.1 Metropolitan Water District of Southern California 2010
Regional Urban Water Management Plan .................................................. 24
6.2 San Diego County Water Authority Regional Water Supplies ................. 25
6.3 Otay Water District ....................................................................................... 42
6.3.1 Availability of Sufficient Supplies and Plans for
Acquiring Additional Supplies ........................................................ 43
6.3.1.1 Imported and Regional Supplies ..................................... 44
6.3.1.2 Recycled Water Supplies ................................................ 46
Section 7 – Conclusion: Availability of Sufficient Supplies .................................................................. 54
Source Documents ..................................................................................................................................... 60
Appendix A: Otay Ranch University Villages Regional Location Map
Appendix B: Otay Ranch University Villages Proposed Development Plan
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
1
Otay Water District
Water Supply Assessment and Verification Report
September 2013
Otay Ranch University Villages
(Otay Ranch Villages 3 North, a Portion of 4, 8 East, and 10)
Executive Summary
The Otay Water District (Otay WD) prepared this Water Supply Assessment and Verification
Report (WSA&V Report) at the request of the City of Chula Vista (City) for the Otay Ranch
Villages 3 North, a Portion of 4, 8 East, and 10 project, hereafter referred to as the University
Villages project. SSBT LCRE, LLC submitted an entitlement application to the City for the
development of the University Villages project.
Project Overview and Water Use
The University Villages project is included within a land use planning document known as the
Otay Ranch General Development Plan/Sub-regional Plan (Otay Ranch GDP). The County of
San Diego and City of Chula Vista jointly prepared and adopted the Otay Ranch GDP. The
project is located within what is defined as the Otay River Parcel of the Otay Ranch GDP.
The project is a part of the designated 14 villages and five planning areas within the Otay
Ranch GDP area. The Chula Vista City Council and the San Diego County Board of
Supervisors adopted the Otay Ranch GDP on October 28, 1993, which was accompanied by a
Program Environmental Impact Report EIR-90-01 (SCH #89010154). As the Otay Ranch
area has developed over time, the Otay Ranch GDP has been periodically amended to address
land use and circulation element issues specific to individual Villages.
The Otay Ranch University Villages project is located along the northern edge of the Otay
River Valley. The development concept for Village 3 North and a Portion of Village 4 is a
pedestrian and transit oriented village containing 1,597 homes arranged around a mixed use
core with up to 20,000 square feet of retail commercial, an elementary school, and park sites.
Village 8 East is planned as a pedestrian oriented urban village with 3,560 mixed density
residential units, up to 20,000 square feet of commercial retail, an elementary school, and a
neighborhood park. Village 10 is planned as a pedestrian oriented urban village with 1,740
mixed density residential units, an elementary school, park, and Community Park Facilities
(CFP) sites.
The expected potable water demands for the University Villages Project is 2.14 million
gallons per day (MGD) or about 2,393 acre-feet per year (ac-ft/yr). This is 41 ac-ft/yr higher
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
2
than the demand estimate in the 2010 Otay WD Water Resources Master Plan Revision (2010
WRMP Revision) of the 2009 Otay WD Water Resources Master Plan. The projected
recycled water demand for the proposed project is approximately 0.55 MGD or about 616 ac-
ft/yr, representing about 20% of total project water demand.
The 41 AFY increase in demand is accounted for through the Accelerated Forecast Growth
demand increment of the Water Authority’s 2010 Urban Water Management Plan (UWMP).
As documented in the Water Authority’s 2010 UWMP, the Water Authority is planning to
meet future and existing demands which include an increment associated with the accelerated
forecasted growth. The Water Authority will assist its member agencies in tracking the
environmental documents provided by the agencies that include water supply assessments and
verification reports that utilize the accelerated forecasted growth demand increment to
demonstrate supplies for the development. In addition, the next update of the demand
forecast for the Water Authority’s 2015 UWMP will be based on the San Diego Association
of Government’s (SANDAG) most recently updated forecast, which will include the Project.
Therefore, based on the findings from the Otay WD’s 2010 UWMP and the Water Authority’s
2010 UWMP, this project will result in no unanticipated demands.
The Water Authority’s 2010 UWMP provides for a comprehensive planning analysis at a
regional level and includes water use associated with accelerated forecasted development as
part of its municipal and industrial sector demand projections. These housing and commercial
units were identified by SANDAG in the course of its regional housing needs assessment, but
are not yet included in existing general land use plans of local jurisdictions. The demand
associated with accelerated forecasted residential development is intended to account for
SANDAG’s land-use development currently projected to occur between 2035 and 2050, but
has the likely potential to occur on an accelerated schedule. SANDAG estimates that this
accelerated forecasted residential and commercial development could occur within the
planning horizon (2015 to 2035) of the 2010 UWMP. This land-use is not included in the
local jurisdictions’ general plan, so their projected demands are incorporated at a regional
level. When necessary, this additional demand increment, termed Accelerated Forecasted
Growth, can be used by member agencies to meet the demands of development projects not
identified in the general land use plans.
Planned Imported Water Supplies from the Water Authority and MWD
The Water Authority and Metropolitan Water District (MWD) have an established process
that ensures supplies are being planned to meet future growth. Any annexations and revisions
to established land use plans are captured in the San Diego Association of Governments
(SANDAG) updated forecasts for land use planning, demographics, and economic
projections. SANDAG serves as the regional, intergovernmental planning agency that
develops and provides forecast information. The Water Authority and MWD update their
demand forecasts and supply needs based on the most recent SANDAG forecast
approximately every five years to coincide with preparation of their Urban Water
Management Plans (UWMP). Prior to the next forecast update, local jurisdictions may
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
3
require water supply assessment and/or verification reports for proposed land developments
that are not within the Otay WD, Water Authority, nor MWD jurisdictions (i.e., pending or
proposed annexations) or that have revised land use plans than what is reflected in the existing
growth forecasts. Proposed land areas with pending or proposed annexations or revised land
use plans typically result in creating higher demand and supply requirements than anticipated.
The Otay WD, Water Authority, and MWD next demand forecast and supply requirements
and associated planning documents would then capture any increase or decrease in demands
and required supplies as a result of annexations or revised land use planning decisions.
The California Urban Water Management Planning Act (Act), which is included in the
California Water Code, requires all urban water suppliers within the state to prepare an
UWMP and update it every five years. The purpose and importance of the UWMP has
evolved since it was first required 25 years ago. State agencies and the public frequently use
the document to determine if agencies are planning adequately to reliably meet future
demands. As such, UWMPs serve as an important element in documenting supply
availability for the purpose of compliance with state laws, Senate Bills 610 and 221, linking
water supply sufficiency to large land-use development approval. Agencies must also have a
UWMP prepared, pursuant to the Act, in order to be eligible for state funding and drought
assistance.
MWD’s Integrated Resource Plan (IRP) identifies a mix of resources (imported and local)
that, when implemented, will provide 100 percent reliability for full-service demands through
the attainment of regional targets set for conservation, local supplies, State Water Project
supplies, Colorado River supplies, groundwater banking, and water transfers. The 2010
update to the IRP (2010 IRP Update) includes a planning buffer supply intended to mitigate
against the risks associated with implementation of local and imported supply programs. The
planning buffer identifies an additional increment of water that could potentially be developed
if other supplies are not implemented as planned. As part of implementation of the planning
buffer, MWD periodically evaluates supply development to ensure that the region is not under
or over developing supplies. Managed properly, the planning buffer will help ensure that the
southern California region, including San Diego County, will have adequate water supplies to
meet future demands.
Water supply agencies throughout California continue to face climatological, environmental,
legal, and other challenges that impact water source supply conditions, such as the court
rulings regarding the Sacramento-San Joaquin Delta issues and the recent drought impacting
the western states. Challenges such as these essentially always will be present. The regional
water supply agencies, the Water Authority and MWD, along with Otay WD, nevertheless
fully intend to have sufficient, reliable supplies to serve demands.
In Section ES-5 of MWD’s 2010 Regional Urban Water Management Plan (2010 RUWMP),
MWD states that MWD has supply capacities that would be sufficient to meet expected
demands from 2015 through 2035. MWD has plans for supply implementation and continued
development of a diversified resource mix including programs in the Colorado River
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Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
4
Aqueduct, State Water Project, Central Valley Transfers, local resource projects, and in-
region storage that enables the region to meet its water supply needs. MWD’s 2010 RUWMP
identifies potential reserve supplies in the supply capability analysis (Tables 2-9, 2-10, and 2-
11), which could be available to meet the unanticipated demands such as those related to the
University Villages project.
The County Water Authority Act, Section 5 subdivision 11, states that the Water Authority
“as far as practicable, shall provide each of its member agencies with adequate supplies of
water to meet their expanding and increasing needs.”
As part of preparation of a written water supply assessment report, an agency’s shortage
contingency analysis should be considered in determining sufficiency of supply. Section 11
of the Water Authority’s 2010 UWMP contains a detailed shortage contingency analysis that
addresses a regional catastrophic shortage situation and drought management. The analysis
demonstrates that the Water Authority and its member agencies, through the Emergency
Response Plan, Emergency Storage Project, and Drought Management Plan (DMP) are taking
actions to prepare for and appropriately handle an interruption of water supplies. The DMP,
adopted in May 2006, provides the Water Authority and its member agencies with a series of
potential actions to take when faced with a shortage of imported water supplies from MWD
due to prolonged drought or other supply shortfall conditions. The actions will help the
region avoid or minimize the impacts of shortages and ensure an equitable allocation of
supplies.
Otay Water District Water Supply Development Program
In evaluating the availability of sufficient water supply, the University Villages project
proponents are required to participate in the development of alternative water supply
project(s). This can be achieved through payment of the New Water Supply Fee adopted by
the Otay WD Board in May 2010. These water supply projects, detailed in the Otay WD’s
2010 UWMP, are in addition to those identified as sustainable supplies in the current Water
Authority and MWD UWMP, IRP, Master Plans, and other planning documents. These new
water supply projects are in response to the regional water supply issues. These new
additional water supply projects are not currently developed and are in various stages of the
planning process. A few examples of these alternative water supply projects include the
Middle Sweetwater River Basin Groundwater Well project, the North District Recycled Water
Supply Concept, the Rosarito Ocean Desalination Facility project, and the Rancho del Rey
Groundwater Well project. The Water Authority and MWD next forecast and supply
planning documents would capture any increase in water supplies resulting from any new
water resources developed by the Otay WD.
Findings
The WSA&V Report identifies and describes the processes by which water demand
projections for the proposed project will be fully included in the water demand and supply
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
5
forecasts of the Urban Water Management Plans and other water resources planning
documents of the Water Authority and MWD. Water supplies necessary to serve the demands
of the proposed project, along with existing and other projected future users, as well as the
actions necessary and status to develop these supplies, have been identified in the University
Villages project WSA&V Report and will be included in the future water supply planning
documents of the Water Authority and MWD.
This WSA&V Report includes, among other information, an identification of existing water
supply entitlements, water rights, water service contracts, water supply projects, or
agreements relevant to the identified water supply needs for the proposed University Villages
project. The WSA&V Report demonstrates and documents that sufficient water supplies are
planned for and are intended to be available over a 20-year planning horizon, under normal
conditions and in single-dry and multiple-dry years to meet the projected demand of the
proposed project and the existing and other planned development projects to be served by the
Otay WD.
Accordingly, after approval of a WSA&V Report for the University Villages project by the
Otay WD Board of Directors (Board), the WSA&V Report may be used to comply with the
requirements of the legislation enacted by Senate Bills 610 and 221 as follows:
1. Senate Bill 610 Water Supply Assessment: The Otay WD Board approved WSA&V
Report may be incorporated into the California Environmental Quality Act (CEQA)
Environmental Impact Report (EIR) compliance process for the University Villages
project as a water supply assessment report consistent with the requirements of the
legislation enacted by SB 610. The City as lead agency under CEQA for the
University Villages project EIR may cite the approved WSA&V Report as evidence
that a sufficient water supply is planned for and is intended to be made available to
serve the University Villages project.
2. Senate Bill 221 Water Supply Verification: The Otay WD Board approved WSA&V
Report may be incorporated into the City’s Tentative Map approval process for the
Otay Ranch University Villages project as a water supply verification report,
consistent with the requirements of the legislation enacted by SB 221. The City,
within their process of approving the Otay Ranch University Villages project’s
Tentative Map, may cite the approved WSA&V Report as verification of intended
sufficient water supply to serve the Otay Ranch University Villages project.
Section 1 - Purpose
The University Villages project is located in the southern Otay Ranch area. SSBT LCRE,
LLC submitted an entitlement application package to the City of Chula Vista (City) for the
development of the University Villages project. The City requested that Otay WD prepare a
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
6
Water Supply Assessment and Verification Report (WSA&V Report) for the University
Villages project. The current University Villages project description is provided in Section 3
of this WSA&V Report.
This WSA&V Report for the University Villages project has been prepared by the Otay WD
in consultation with Dexter Wilson Engineering, Inc., the San Diego County Water Authority
(Water Authority), and the City pursuant to Public Resources Code Section 21151.9 and
California Water Code Sections 10631, 10656, 10910, 10911, 10912, and 10915 referred to as
Senate Bill (SB) 610 and Business and Professions Code Section 11010 and Government
Code Sections 65867.5, 66455.3, and 66473.7 referred to as SB 221. SB 610 and SB 221
amended state law, effective January 1, 2002, intending to improve the link between
information on water supply availability and certain land use decisions made by cities and
counties. SB 610 requires that the water purveyor of the public water system prepare a water
supply assessment to be included in the California Environmental Quality Act (CEQA)
environmental documentation and approval process of certain proposed projects. SB 221
requires affirmative written verification from the water purveyor of the public water system
that sufficient water supplies are to be available for certain residential subdivisions of
property prior to approval of a tentative map. The requirements of SB 610 and SB 221 are
being addressed by this WSA&V Report.
The City also requested, since the requirements of SB 610 and SB 221 are substantially
similar, that Otay WD prepare both the water supply assessment and verification
concurrently.
This WSA&V Report evaluates water supplies that are planned to be available during normal,
single-dry year, and multiple-dry water years during a 20-year planning horizon to meet
existing demands, expected demands of the University Villages project, and reasonably
foreseeable planned future water demands served by Otay WD. The Otay WD Board of
Directors approved WSA&V Report is planned to be used by the City in its evaluation of the
University Villages project under the CEQA and Tentative Map approval processes.
Section 2 - Findings
The Otay WD prepared this WSA&V Report at the request of the City for the University
Villages project. SSBT LCRE, LLC submitted an entitlement application to the City for the
University Villages project.
The University Villages Project is located within the jurisdictions of the Otay WD, the Water
Authority, and MWD. To obtain permanent imported water supply service, land areas are
required to be within the jurisdictions of the Otay WD, Water Authority, and MWD to utilize
imported water supply.
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
7
The expected potable water demand for the University Villages Project is 2,137,232 gallons
per day (gpd) or about 2,393 acre-feet per year (AFY). The current development plan is
expected to increase the water demand for this project above what was projected in the
District’s 2009 Water Resources Master Plan, revised in November 2010, which estimated
2,352 AFY for the same parcels. The projected recycled water demand for the University
Villages project is 550,334 gpd or 616 AFY, representing about 20% of the total University
Villages project water demand.
The 41 AFY increase in demand is accounted for through the Accelerated Forecast Growth
demand increment of the Water Authority’s 2010 UWMP. As documented in this Plan, the
Water Authority is planning to meet future and existing demands which include the demand
increment associated with the accelerated forecasted growth. The Water Authority will assist
its member agencies in tracking the environmental documents provided by the agencies that
include water supply assessments and verification reports that utilize the accelerated
forecasted growth demand increment to demonstrate supplies for the development. In
addition, the next update of the demand forecast for the Water Authority’s 2015 UWMP will
be based on SANDAG’s most recently updated forecast, which will include the Project.
Therefore, based on the findings from the Otay WD’s 2010 UWMP and the Water Authority’s
2010 UWMP, this project will result in no unanticipated demands.
The University Villages project development proponents are required to use recycled water
for irrigation and other appropriate uses. The primary benefit of using recycled water is that it
will offset the potable water demands by an estimated 616 AFY. The 2010 WRMP Revision
and the 2010 Urban Water Management Plan (UWMP) anticipated that the land area to be
utilized for the University Villages project would use both potable and recycled water.
The Water Authority and MWD have an established process that ensures supplies are being
planned to meet future growth. Any annexations and revisions to established land use plans
are captured in the SANDAG updated forecasts for land use planning, demographics, and
economic projections. SANDAG serves as the regional, intergovernmental planning agency
that develops and provides forecast information. The Water Authority and MWD update their
demand forecasts and supply needs based on the most recent SANDAG forecast
approximately every five years to coincide with preparation of their urban water management
plans. Prior to the next forecast update, local jurisdictions may require water supply
assessment and/or verification reports for proposed land developments that are not within the
Otay WD, Water Authority, nor MWD jurisdictions (i.e., pending or proposed annexations) or
that have revised land use plans than reflected in the existing growth forecasts. Proposed land
areas with pending or proposed annexations or revised land use plans typically result in
creating higher demand and supply requirements than anticipated. The Otay WD, the Water
Authority, and MWD next demand forecast and supply requirements and associated planning
documents would then capture any increase or decrease in demands and required supplies as a
result of annexations or revised land use planning decisions.
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
8
This process is utilized by the Water Authority and MWD to document the water supplies
necessary to serve the demands of the proposed University Villages project, along with
existing and other projected future users, as well as the actions necessary to develop these
supplies. Through this process the necessary demand and supply information is thus assured
to be identified and incorporated within the water supply planning documents of the Water
Authority and MWD.
The Otay Water District 2010 UWMP included a water conservation component to comply
with Senate Bill 7 of the Seventh Extraordinary Session (SBX 7-7), which became effective
February 3, 2010. This new law was the water conservation component to the Delta
legislation package, and seeks to achieve a 20 percent statewide reduction in urban per capita
water use in California by December 31, 2020. Specifically, SBX 7-7 from this Extraordinary
Session requires each urban retail water supplier to develop urban water use targets to help
meet the 20 percent reduction goal by 2020 (20x2020), and an interim water reduction target
by 2015.
Otay WD has adopted Method 1 to set its 2015 interim and 2020 water use targets. Method 1
requires setting the 2020 water use target to 80 percent of baseline per capita water use target
as provided in the State’s Draft 20x2020 Water Conservation Plan. The Otay WD 2015 target
is 171 gpcd and the 2020 gpcd target at 80 percent of baseline is 152 gpcd.
The Otay WD’s recent per capita water use has been declining to the point where current
water use already meets the 2020 target for Method 1. This recent decline in per capita water
use is largely due to drought water use restrictions, increased water costs, and economic
conditions. However, Otay WD’s effective water use awareness campaign and enhanced
conservation mentality of its customers will likely result in some long-term carryover of these
reduced consumption rates.
In evaluating the availability of sufficient water supply, the University Villages project
proponents are required to participate in the development of alternative water supply
project(s). This can be achieved through payment of the New Water Supply Fee adopted by
the Otay Water District Board in May 2010. These water supply projects are in addition to
those identified as sustainable supplies in the current Water Authority and MWD UWMP,
IRP, Master Plans, and other planning documents. These new water supply projects are in
response to the regional water supply issues related to the Sacramento-San Joaquin Delta and
the current ongoing western states drought conditions. These new additional water supply
projects are not currently developed and are in various stages of the planning process. A few
examples of these alternative water supply projects include the Middle Sweetwater River
Basin Groundwater Well project, the North District Recycled Water Supply Concept, the
Rosarito Ocean Desalination Facility project, and the Rancho del Rey Groundwater Well
project. The Water Authority and MWD next forecast and supply planning documents would
capture any increase in water supplies resulting from any new water resources developed by
the Otay WD.
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
9
Water supplies necessary to serve the demands of the proposed University Villages project,
along with existing and other reasonably foreseeable projected future users, as well as the
actions necessary and status to develop these supplies, will be identified and included within
the water supply planning documents of the Water Authority and MWD. This WSA&V
Report demonstrates and verifies that with development of the resources currently identified
and those that may be additional acquired, that there is sufficient water supplies being planned
for and is intended to be developed over the next 20-year planning horizon to meet the
projected demand of the proposed University Villages project and the existing and other
reasonably foreseeable planned development projects within the Otay WD.
This WSA&V Report includes, among other information, an identification of existing water
supply entitlements, water rights, water service contracts, proposed water supply projects, or
agreements relevant to the identified water supply needs for the proposed University Villages
project. This WSA&V Report incorporates by reference the current Urban Water
Management Plans and other water resources planning documents of the Otay WD, the Water
Authority, and MWD. The Otay WD prepared this WSA&V to verify and document that
sufficient water supplies are being planned for and are intended to be acquired to meet
projected water demands of the University Villages project and the existing and other
reasonably foreseeable planned development projects within the Otay WD for a 20-year
planning horizon, in normal supply years, and in single-dry and multiple-dry years.
Based on a normal water supply year, the five-year increments for a 20-year projection
indicate projected potable and recycled water supply is being planned for and is intended to be
acquired to meet the estimated water demand targets of the Otay WD (44,883 acre-feet (ac-ft)
in 2015 to 56,614 ac-ft in 2035 per the Otay Water District 2010 UWMP). Based on dry year
forecasts, the estimated water supply is also being planned for and is intended to be acquired
to meet the projected water demand, during single-dry and multiple-dry year scenarios. On
average, the dry year demands are about 6.4 percent higher than the normal year demands.
The Otay WD recycled water supply is assumed to be drought-proof and not subject to
reduction during dry periods.
Together, these findings demonstrate and verify that sufficient water supplies are being
planned for and are intended to be acquired, as well as the actions necessary and status to
develop these supplies are and will be further documented, to serve the proposed Villages 3
North, a Portion or 4, 8 East, and 10 project and the existing and other reasonably foreseeable
planned projects within the Otay WD in both normal and single-dry and multiple-dry year
forecasts for a 20-year planning horizon.
Section 3 - Project Description
The University Villages project is located within the City of Chula Vista, California. Refer to
Appendix A for a regional location map of the proposed project.
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The University Villages project is included within a land use planning document known as the
Otay Ranch General Development Plan/Sub-regional Plan (Otay Ranch GDP). The County of
San Diego and City of Chula Vista jointly prepared and adopted the Otay Ranch GDP. The
University Villages project is located within what is defined as the Otay River Parcel of the
Otay Ranch GDP. The project is a part of the designated 14 villages and five planning areas
within the Otay Ranch GDP area. The University Villages project current development plan
approval is dependent on the City’s eventual adoption of their entitlement application.
The Chula Vista City Council and the San Diego County Board of Supervisors adopted the
Otay Ranch GDP on October 28, 1993, which was accompanied by a Program Environmental
Impact Report EIR-90-01 (SCH #89010154).
The approximately 23,000 acre Otay Ranch is a master-planned community that includes a
broad range of residential, commercial, retail, and industrial development interwoven with
civic and community uses, such as libraries, parks, and schools, together with an open space
preserve system consisting of approximately 11,375 acres.
The proposed development concept for the University Villages project is planned as a
combination of land uses as shown in Table 1.
Table 1
Otay Ranch University Villages Proposed Land Uses
Location Land Use Description Area Dwelling
Units
Village 3 North/portion of 4 Single Family Residential 114.7 1,002
Village 3 North/portion of 4 Multi-Family Residential 12.3 595
Village 3 North/portion of 4 Commercial - Mixed Use 7.3 ---
Village 3 North/portion of 4 Commercial - Office 6.5 ---
Village 3 North/portion of 4 Industrial 23.1 ---
Village 3 North/portion of 4 Park 25.7 ---
Village 3 North/portion of 4 CPF 2.6 ---
Village 3 North/portion of 4 School 8.3 ---
Village 3 North/portion of 4 Open Space/Circulation 227.7 acres ---
Subtotal 428 acres 1,597
Village 8 East Single Family 119 963
Village 8 East Multi-Family 46.2 2,597
Village 8 East Commercial - Mixed Use 8.6 ---
Village 8 East School 10.8 ---
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Village 8 East Park 58.8 ---
Village 8 East CPF 2.6 ---
Village 8 East Open Space/Circulation 327.6 ---
Subtotal 573.6 3,560
Village 10 Single Family 74.8 691
Village 10 Multi-Family 21.5 1,049
Village 10 School 9.2 ---
Village 10 Park 7.6 ---
Village 10 CPF 2.6 ---
Village 10 Open Space/Circulation 246 ---
Subtotal 361.7 1,740
TOTAL 1,363.3 6,897
The proposed development within Village 3 North and a Portion of Village 4 is a pedestrian
and transit oriented village containing 1,597 homes arranged around a mixed use core with up
to 20,000 square feet of retail commercial, an elementary school, and park sites. Village 8
East is planned as a pedestrian oriented urban village with 3,560 mixed density residential
units, up to 20,000 square feet of commercial retail, an elementary school, and a
neighborhood park. Village 10 is planned as a pedestrian oriented urban village with 1,740
mixed density residential units, an elementary school, and park sites. The project is located
along the northerly edge of the Otay River Valley. Refer to Appendix B for the proposed
development plan of the University Villages project.
The City has identified discretionary actions and/or permit approval requirements for the
University Villages project. The projected potable and recycled water demands and resulting
water supply requirements associated with the University Villages project have considered the
discretionary actions and/or permit approvals and are incorporated into and used in this
WSA&V Report. The water demands for the proposed University Villages project are
provided in Section 5 – Historical and Projected Water Demands.
Section 4 – Otay Water District
The Otay WD is a municipal water district formed in 1956 pursuant to the Municipal Water
District Act of 1911 (Water Code §§ 71000 et seq.). The Otay WD joined the Water
Authority as a member agency in 1956 to acquire the right to purchase and distribute imported
water throughout its service area. The Water Authority is an agency responsible for the
wholesale supply of water to its 24 public agency members in San Diego County.
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The Otay WD currently relies on the Water Authority for 100 percent of its treated potable
water supply. The Water Authority is the agency responsible for the supply of imported water
into San Diego County through its membership in MWD. The Water Authority currently
obtains the vast majority of its imported supply from MWD, but is in the process of
diversifying its available supplies.
The Otay WD provides water service to residential, commercial, industrial, and agricultural
customers, and for environmental and fire protection uses. In addition to providing water
throughout its service area, Otay WD also provides sewage collection and treatment services
to a portion of its service area known as the Jamacha Basin. The Otay WD also owns and
operates the Ralph W. Chapman Water Reclamation Facility (RWCWRF) which has an
effective treatment capacity of 1.2 million gallons per day (MGD) or about 1,300 acre-feet per
year (ac-ft/yr) to produce recycled water. On May 18, 2007 an additional source of recycled
water supply, at least 6 MGD or about 6,720 ac-ft/yr, became available to Otay WD from the
City of San Diego’s South Bay Water Reclamation Plant (SBWRP).
The Otay WD jurisdictional area is generally located within the south central portion of San
Diego County and includes approximately 125 square miles. The Otay WD serves portions of
the unincorporated communities of southern El Cajon, La Mesa, Rancho San Diego, Jamul,
Spring Valley, Bonita, and Otay Mesa, the eastern portion of the City of Chula Vista and a
portion of the City of San Diego on Otay Mesa. The Otay WD jurisdiction boundaries are
roughly bounded on the north by the Padre Dam Municipal Water District, on the northwest
by the Helix Water District, and on the west by the South Bay Irrigation District (Sweetwater
Authority) and the City of San Diego. The southern boundary of Otay WD is the international
border with Mexico.
The planning area addressed in the Otay WD 2010 Water Resources Master Plan Update and
the Otay WD 2010 Urban Water Management Plan (2010 UWMP) includes the land within
the jurisdictional boundary of the Otay WD and those areas outside of the present Otay WD
boundaries considered to be in the Area of Influence of the Otay WD. Figure 2-1 contained
within the Otay WD 2010 WRMP Revision shows the jurisdictional boundary of the Otay
WD and the Area of Influence. The planning area is approximately 143 square miles, of
which approximately 125 square miles are within the Otay WD current boundaries and
approximately 18 square miles are in the Area of Influence. The area east of Otay WD is
rural and currently not within any water purveyor jurisdiction and potentially could be served
by the Otay WD in the future if the need for imported water becomes necessary, as is the case
for the Area of Influence.
The City of Chula Vista, the City of San Diego, and the County of San Diego are the three
land use planning agencies within the Otay WD jurisdiction. Data on forecasts for land use
planning, demographics, economic projections, population, and the future rate of growth
within Otay WD were obtained from SANDAG. SANDAG serves as the regional,
intergovernmental planning agency that develops and provides forecast information through
the year 2050. Population growth within the Otay WD service area is expected to increase
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from the 2010 figure of approximately 198,616 to an estimated 284,997 by 2035. Land use
information used to develop water demand projections are based upon Specific or Sectional
Planning Areas, the Otay Ranch General Development Plan/Sub-regional Plan, East Otay
Mesa Specific Plan Area, San Diego County Community Plans, and City of San Diego Otay
Mesa Community Plan, City of Chula Vista, and County of San Diego General Plans.
The Otay WD long-term historic growth rate has been approximately 4 percent. The growth
rate has significantly slowed due to the current economic conditions and it is expected to slow
as the inventory of developable land is diminished.
Climatic conditions within the Otay WD service area are characteristically Mediterranean
near the coast, with mild temperatures year round. Inland areas are both hotter in summer and
cooler in winter, with summer temperatures often exceeding 90 degrees and winter
temperatures occasionally dipping to below freezing. Most of the region’s rainfall occurs
during the months of December through March. Average annual rainfall is approximately
12.17 inches per year.
Historic climate data were obtained from the Western Regional Climate Center for Station
042706 (El Cajon). This station was selected because its annual temperature variation is
representative of most of the Otay WD service area. While there is a station in the City of
Chula Vista, the temperature variation at the City of Chula Vista station is more typical of a
coastal environment than the conditions in most of the Otay WD service area.
4.1 Urban Water Management Plan
In accordance with the California Urban Water Management Planning Act and recent
legislation, the Otay WD Board of Directors adopted an UWMP in June 2011 and
subsequently submitted the plan to the California Department of Water Resources (DWR).
As required by law, the Otay Water District 2010 UWMP includes projected water supplies
required to meet future demands through 2035. In accordance with Water Code Section
10910 (c)(2) and Government Code Section 66473.7 (c)(3), information from the Otay WD
2010 UWMP along with supplemental information from the 2010 Otay WD WRMP Revision
have been utilized to prepare this WSA Report and are incorporated herein by reference.
The state Legislature passed Senate Bill 7 as part of the Seventh Extraordinary Session (SBX
7-7) on November 10, 2009, which became effective February 3, 2010. This new law was the
water conservation component to the Delta legislation package and seeks to achieve a 20
percent statewide reduction in urban per capita water use in California by December 31, 2020.
Specifically, SBX 7-7 from this Extraordinary Session requires each urban retail water
supplier to develop urban water use targets to help meet the 20 percent reduction goal by 2020
(20x2020), and an interim water reduction target by 2015.
The SBX 7-7 target setting process includes the following: (1) baseline daily per capita water
use; (2) urban water use target; (3) interim water use target; (4) compliance daily per capita
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water use, including technical bases and supporting data for those determinations. In order
for an agency to meet its 2020 water use target, each agency can increase its use of recycled
water to offset potable water use and also step up its water conservation measures. The
required water use targets for 2020 and an interim target for 2015 are determined using one of
four target methods – each method has numerous methodologies. The 2020 urban water use
target may be updated in a supplier’s 2015 UWMP.
In 2015, urban retail water suppliers will be required to report interim compliance followed by
actual compliance in 2020. Interim compliance is halfway between the baseline water use and
2020 target. Baseline, target, and compliance-year water use estimates are required to be
reported in gallons per capita per day (gpcd).
Failure to meet adopted targets will result in the ineligibility of a water supplier to receive
grants or loans administered by the State unless one (1) of two (2) exceptions is met.
Exception one (1) states a water supplier may be eligible if they have submitted a schedule,
financing plan, and budget to DWR for approval to achieve the per capita water use
reductions. Exception two (2) states a water supplier may be eligible if an entire water service
area qualifies as a disadvantaged community.
Otay WD has adopted Method 1 to set its 2015 interim and 2020 water use targets. Method 1
requires setting the 2020 water use target to 80 percent of baseline per capita water use target
as provided in the State’s Draft 20x2020 Water Conservation Plan. The Otay WD 2015 target
is 171 gpcd and the 2020 gpcd target at 80 percent of baseline is 152 gpcd.
The Otay WD’s recent per capita water use has been declining to the point where current
water use already meets the 2020 target for Method 1. This recent decline in per capita water
use is largely due to drought water use restrictions, increased water costs, and poor economic
conditions. However, Otay WD’s effective water use awareness campaign and enhanced
conservation mentality of its customers will likely result in some long-term carryover of these
reduced consumption rates beyond the current drought period.
Section 5 – Historical and Projected Water Demands
The projected demands for Otay WD are based on Specific or Sectional Planning Areas, the
Otay Ranch General Development Plan/Sub-regional Plan, the East Otay Mesa Specific Plan
Area, San Diego County Community Plans, and City of San Diego Otay Mesa Community
Plan, City of Chula Vista and County of San Diego General Plans. This land use information
is also used by SANDAG as the basis for its most recent forecast data. This land use
information is utilized in the preparation of the Otay WD 2010 WRMP Revision, and the
Otay WD 2010 UWMP in order to develop the forecasted demands and supply requirements.
In 1994, the Water Authority selected the Institute for Water Resources-Municipal and
Industrial Needs (MAIN) computer model to forecast municipal and industrial water use for
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the San Diego region. The MAIN model uses demographic and economic data to project
sector-level water demands (i.e., residential and non-residential demands). This econometric
model has over a quarter of a century of practical application and is used by many cities and
water agencies throughout the United States. The Water Authority’s version of the MAIN
model was modified to reflect the San Diego region’s unique parameters and is known as
CWA-MAIN.
The foundation of the water demand forecast is the underlying demographic and economic
projections. This was a primary reason, why, in 1992 the Water Authority and SANDAG
entered into a Memorandum of Agreement (MOA), in which the Water Authority agreed to
use the SANDAG current regional growth forecast for water supply planning purposes. In
addition, the MOA recognizes that water supply reliability must be a component of San Diego
County’s regional growth management strategy required by Proposition C, as passed by the
San Diego County voters in 1988. The MOA ensures a strong linkage between local general
plan land use forecasts and water demand projections and resulting supply needs for the San
Diego region.
Consistent with the previous CWA-MAIN modeling efforts, on February 26, 2010, the
SANDAG Board of Directors accepted the Series 12: 2050 Regional Growth Forecast. The
2050 Regional Growth Forecast will be used by SANDAG as the foundation for the next
Regional Comprehensive Plan update. SANDAG forecasts also are used by local
governments for planning, including the San Diego County Water Authority 2010 Urban
Water Management Plan update.
The municipal and industrial forecast also included an updated accounting of projected
conservation savings based on projected regional implementation of the California Urban
Water Conservation Council (CUWCC) Best Management Practices and SANDAG
demographic information for the period 2010 through 2035. These savings estimates were
then factored into the baseline municipal and industrial demand forecast.
A separate agricultural model, also used in prior modeling efforts, was used to forecast
agricultural water demands within the Water Authority service area. This model estimates
agricultural demand to be met by the Water Authority’s member agencies based on
agricultural acreage projections provided by SANDAG, crop distribution data derived from
the Department of Water Resources and the California Avocado Commission, and average
crop-type watering requirements based on California Irrigation Management Information
System data.
The Water Authority and MWD update their water demand and supply projections within
their jurisdictions utilizing the SANDAG most recent growth forecast to project future water
demands. This provides for the important strong link between demand and supply projections
to the land use plans of the cities and the county. This provides for consistency between the
retail and wholesale agencies water demand projections, thereby ensuring that adequate
supplies are and will be planned for the Otay WD existing and future water users. Existing
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land use plans, any revisions to land use plans, and annexations are captured in the SANDAG
updated forecasts. The Water Authority and MWD will update their demand forecasts based
on the SANDAG most recent forecast approximately every five years to coincide with
preparation of their urban water management plans. Prior to the next forecast update, local
jurisdictions may require water supply assessment and/or verification reports consistent with
Senate Bills 610 and 221 for proposed land use developments that either have pending or
proposed annexations into the Otay WD, Water Authority, and MWD or that have revised
land use plans than originally anticipated. The Water Authority and MWD’s next forecast
and supply planning documents would then capture any increase or decrease in demands
caused by annexations or revised land use plans.
In evaluating the availability of sufficient water supply, the University Villages project
proponents are required to participate in the development of alternative water supply
project(s). This can be achieved through payment of the New Water Supply Fee adopted by
the Otay WD Board in May 2010. These water supply projects are in addition to those
identified as sustainable supplies in the current Water Authority and MWD UWMP, IRP,
Master Plans, and other planning documents. These new water supply projects are in
response to the regional water supply issues related to climatological, environmental, legal,
and other challenges that impact water source supply conditions, such as the court rulings
regarding the Sacramento-San Joaquin Delta and the current ongoing western states drought
conditions. These new additional water supply projects are not currently developed and are in
various stages of the planning process. A few examples of these alternative water supply
projects include the Middle Sweetwater River Basin Groundwater Well project, the North
District Recycled Water Supply Concept, the Rosarito Ocean Desalination Facility project,
and the Rancho del Rey Groundwater Well project. The Water Authority and MWD’s next
forecast and supply planning documents would capture any increase in water supplies
resulting from any new water resources developed by the Otay WD.
In addition, MWD’s 2010 Regional UWMP identified potential reserve supplies in the supply
capability analysis (Tables 2-9, 2-10, and 2-11), which could be available to meet any
unanticipated demands. The Water Authority and MWD’s next forecast and supply planning
documents would capture any increase in necessary supply resources resulting from any new
water supply resources.
The Otay WD water demand projection methodology utilizes a component land use approach. This is
done by applying representative values of water use to the acreage of each land use type and then
aggregating these individual land use demand projections into an overall total demand for the Otay
WD. This is called the water duty method, and the water duty is the amount of water used in acre-
feet per acre per year. This approach is used for all the land use types except residential development where a
demand per dwelling unit was applied. In addition, commercial and industrial water use categories
are further subdivided by type including separate categories for golf courses, schools, jails,
prisons, hospitals, etc. where specific water demands are established.
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To determine water duties for the various types of land use, the entire water meter database of the
Otay WD is utilized and sorted by the appropriate land use types. The metered consumption records
are then examined for each of the land uses, and water duties are determined for the various types of
residential, commercial, industrial, and institutional land uses. For example the water duty factors
for commercial and industrial land uses are estimated using 1,785 and 893 gallons per day per acre,
respectively. Residential water demand is established based on the same data but computed on a per-
dwelling unit basis. The focus is to ensure that for each of the residential land use categories (very
low, low, medium, and high densities), the demand criteria used is adequately represented
based upon actual data. This method is used because residential land uses constitute a
substantial percentage of the total developable planning area of the Otay WD.
The 2010 WRMP Revision calculates potable water demand by taking the gross acreage of a
site and applying a potable water reduction factor (PWRF), which is intended to represent the
percentage of acreage to be served by potable water and that not served by recycled water for
irrigation. For industrial land use, as an example, the PWRF is 0.95 (i.e., 95% of the site is
assumed to be served by potable water, 5% of the site is assumed to be irrigated with recycled
water). The potable net acreage is then multiplied by the unit demand factor corresponding to
its respective land use. This approach is used in the 2010 WRMP Revision for all the land use
types except residential development where a demand per dwelling unit is applied. In
addition, commercial and industrial water use categories are further subdivided by type
including separate categories for golf courses, schools, jails, prisons, hospitals, etc. where
specific water demands are allocated.
By applying the established water duties to the proposed land uses, the projected water
demand for the entire Otay WD planning area at ultimate development is determined.
Projected water demands for the intervening years were determined using growth rate
projections consistent with data obtained from SANDAG and the experience of the Otay WD.
The historical and projected potable water demands for Otay WD are shown in Table 2.
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Table 2
Historical and Projected Potable Water Fiscal Year Demands (acre-feet)
Water Use Sectors 2005 2010 2015 2020 2025 2030 2035
Single Family 21,233 17,165 23,633 28,312 33,600 37,211 40,635
Multi-Family 3,095 3,605 3,444 4,126 4,897 5,423 5,922
Commercial & 1,657 2,243 1,844 2,209 2,622 2,904 3,171
Institutional & 2,262 1,867 2,518 3,017 3,580 3,965 4,330
Landscape 6,458 3,732 10,134 12,141 14,408 15,957 17,425
Other 2,426 584 2,700 3,235 3,839 4,252 4,643
Unaccounted for 547 23 608 729 865 958 1,046
Totals 37,678 29,219 44,881 53,769 63,811 70,670 77,172
Source: Otay Water District 2010 UWMP.
The historical and projected recycled water demands for Otay WD are shown in Table 3.
Table 3
Historical and Projected Recycled Water Fiscal Year Demands (acre-feet)
Water Use Sector 2005 2010 2015 2020 2025 2030 2035
Landscape 4,090 4,000 4,400 5,000 5,800 6,800 8,000
Totals 4,090 4,000 4,400 5,000 5,800 6,800 8,000
Source: Otay Water District 2010 UWMP, Table 10.
Using the land use demand projection criteria as established in the Otay WD 2010 WRMP
Revision, the current projected potable water demand for the proposed University Villages
project is shown in Table 4, which totals approximately 2.14 MGD or about 2,393 ac-ft/yr.
This is 41 ac-ft/yr greater than what was estimated in the November 2010 WRMP revision.
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Table 4
University Villages
(Villages 3 North, a Portion of 4, 8 East, and 10)
Projected Potable Water Annual Average Demands
Location (Land Use) Quantity
Potable
Water
Factor
Net Potable
Acreage/Units Unit Rate Average
Demand, gpd
Village 3 North/Portion of 4
SF Residential(3-8 DU/ac) 290 units 100% 500 gpd/unit 145,000
SF Residential (>8 DU/ac) 712 units 100% 300 gpd/unit 213,600
MF/MU Residential 595 units 85% 255 gpd/unit 151,725
Commercial/Mixed Use 7.3 ac 90% 6.57 1,785 gpd/ac 11,731
Commercial/Office 6.5 ac 90% 5.85 1,785 gpd/ac 10,446
Industrial 23.1 ac 95% 21.95 893 gpd/ac 19,589
School 8.3 ac 80% 6.64 1,785 gpd/ac 11,850
CPF 2.6 ac 90% 2.34 793 gpd/ac 1,856
Parks1 25.7 ac 2,160
SubTotal 567,959
Village 8 East
SF Residential (3-8 DU/ac) 317 units 100% 500 gpd/unit 158,500
SF Residential (>8 DU/ac) 646 units 100% 300 gpd/unit 193,800
MF/MU Residential 2,597 units 85% 255 gpd/unit 662,235
Commercial/Mixed Use 8.6 ac 90% 7.74 1,785 gpd/ac 13,820
School 10.8 ac 80% 8.64 1,785 gpd/ac 15,422
CPF 2.6 ac 90% 2.34 793 gpd/ac 1,856
Parks1 58.8 ac 6,891
Subtotal 1,052,524
Village 10
SF Residential (3-8 DU/ac) 124 units 100% 500 gpd/unit 62,000
SF Residential (>8 DU/ac) 567 units 100% 300 gpd/unit 170,100
MF Residential 1,049 units 85% 255 gpd/unit 267,495
School 9.2 ac 80% 7.36 1,785 gpd/ac 13,138
CPF 2.6 ac 90% 2.34 793 gpd/ac 1,856
Parks1 7.6 ac 2,160
Subtotal 516,749
TOTAL 2,137,232
1 Accounts for nominal potable water use at park sites based on fixture counts.
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The current projected recycled water demand for the proposed University Villages project is
provided in Table 5, which totals approximately 0.55 MGD or about 616 ac-ft/yr, representing
about 20% of the total University Villages project demand.
Table 5
Villages 3 North, a Portion of 4, 8 East, and 10 Projected Recycled
Water Average Demands
Location (Land Use) Quantity
Recycled
Water
Factor
Net Recycled
Acreage Unit Rate
Average
Demand,
gpd
Village 3 North/Portion of 4
Open Space 38 ac 100% 38 2,155 gpd/ac 81,890
Parks 25.7 ac 100% 25.7 2,155 gpd/ac 55,385
Office/Commercial 12.5 ac 10% 1.25 2,155 gpd/ac 2,695
Industrial 28.5 ac 5% 1.4 2,155 gpd/ac 3,020
MF/MU Residential 595 units 15% 45 gpd/unit 26,775
School 8.3 ac 20% 1.7 2,155 gpd/ac 3,660
Subtotal 173,425
Village 8 East
Open Space 11 ac 100% 11 2,155 gpd/ac 23,705
Parks 58.8 ac 100% 58.8 2,155 gpd/ac 126,714
School 10.8 ac 20% 2.2 2,155 gpd/ac 4,740
CPF 4.2 ac 10% 0.4 2,155 gpd/ac 862
MF Residential 2,597
units 15% 45 gpd/unit 116,865
Subtotal 272,886
Village 10
Open Space 16.5 ac 100% 16.5 2,155 gpd/unit 35,558
Parks 7.6 ac 100% 7.6 2,155 gpd/unit 16,378
School 9.2 ac 20% 1.84 2,155 gpd/unit 3,965
CPF 4.3 ac 10% 0.43 2,155 gpd/unit 927
MF Residential 1,049
units 15% 45 gpd/unit 47,205
Subtotal 104,033
TOTAL 550,334
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5.1 Demand Management (Water Conservation)
Demand management, or water conservation is a critical part of the Otay WD 2010 UWMP
and its long-term strategy for meeting water supply needs of the Otay WD customers. Water
conservation, is frequently the lowest cost resource available to any water agency. The goals
of the Otay WD water conservation programs are to:
Reduce the demand for more expensive, imported water.
Demonstrate continued commitment to the Best Management Practices (BMP).
Ensure a reliable water supply.
The Otay WD is signatory to the Memorandum of Understanding (MOU) Regarding Urban
Water Conservation in California, which created the California Urban Water Conservation
Council (CUWCC) in 1991 in an effort to reduce California’s long-term water demands.
Water conservation programs are developed and implemented on the premise that water
conservation increases the water supply by reducing the demand on available supply, which is
vital to the optimal utilization of a region’s water supply resources. The Otay WD
participates in many water conservation programs designed and typically operated on a shared
cost participation program basis among the Water Authority, MWD, and their member
agencies. The demands shown in Tables 2 and 3 take into account implementation of water
conservation measures within Otay WD.
As one of the first signatories to the MOU Regarding Urban Water Conservation in
California, the Otay WD has made BMP implementation for water conservation the
cornerstone of its conservation programs and a key element in its water resource management
strategy. As a member of the Water Authority, Otay WD also benefits from regional
programs performed on behalf of its member agencies. The BMP programs implemented by
Otay WD and regional BMP programs implemented by the Water Authority that benefit all
their member agencies are addressed in the Otay WD 2010 UWMP. In partnership with the
Water Authority, the County of San Diego, City of San Diego, City of Chula Vista, and
developers, the Otay WD water conservation efforts are expected to grow and expand. The
resulting savings directly relate to additional available water in the San Diego County region
for beneficial use within the Water Authority service area, including the Otay WD.
Additional conservation or water use efficiency measures or programs practiced by the Otay
WD include the following:
Supervisory Control and Data Acquisition System
The Otay WD implemented and has operated for many years a Supervisor Control and
Data Acquisition (SCADA) system to control, monitor, and collect data regarding the
operation of the water system. The major facilities that have SCADA capabilities are the
water flow control supply sources, transmission network, pumping stations, and water
storage reservoirs. The SCADA system allows for many and varied useful functions.
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Some of these functions provide for operating personnel to monitor the water supply
source flow rates, reservoir levels, turn on or off pumping units, etc. The SCADA system
aids in the prevention of water reservoir overflow events and increases energy efficiency.
Water Conservation Ordinance
California Water Code Sections 375 et seq. permit public entities which supply water at
retail to adopt and enforce a water conservation program to reduce the quantity of water
used by the people therein for the purpose of conserving water supplies of such public
entity. The Otay WD Board of Directors established a comprehensive water conservation
program pursuant to California Water Code Sections 375 et seq., based upon the need to
conserve water supplies and to avoid or minimize the effects of any future shortage. A
water shortage could exist based upon the occurrence of one or more of the following
conditions:
1. A general water supply shortage due to increased demand or limited supplies.
2. Distribution or storage facilities of the Water Authority or other agencies become
inadequate.
3. A major failure of the supply, storage, and distribution facilities of MWD, Water
Authority, and/or Otay WD.
The Otay WD water conservation ordinance finds and determines that the conditions
prevailing in the San Diego County area require that the available water resources be put
to maximum beneficial use to the extent to which they are capable, and that the waste or
unreasonable use, or unreasonable method of use, of water be prevented and that the
conservation of such water be encouraged with a view to the maximum reasonable and
beneficial use thereof in the interests of the people of the Otay WD and for the public
welfare.
Otay WD is currently engaged in a number of conservation and water use efficiency activities.
Listed below are the current programs that are either on-going or were recently concluded:
Residential Water Surveys: 1,349 completed since 1994
Large Landscape Surveys: 194 completed since 1990
Cash for Water Smart Plants Landscape Retrofit Program: over 217,600 square feet of
turf grass replaced with water wise plants since 2003
Rotating Nozzles Rebated: 3,170
Residential Weather-Based Irrigation Controller (WBIC) Incentive Program: 231
distributed or rebated since 2004
Residential High Efficiency Clothes Washers: 7,187 rebates since 1994
Residential ULFT/HET Rebate Program: 22,376 rebates provided between 1991-2010
Outreach Efforts to Otay WD Customers - the Otay WD promotes its conservation
programs through staffing outreach events, bill inserts, articles in the Otay WD’s
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quarterly customer Pipeline newsletter, direct mailings to Otay WD customers, the
Otay WD’s webpage and through the Water Authority’s marketing efforts.
School Education Programs- the Otay WD funds school tours of the Water
Conservation Garden, co-funds Splash Labs, provides classroom water themed kits,
maintains a library of school age appropriate water themed books, DVDs, and videos,
and runs both a school poster contest and a water themed photo contest.
Water efficiency in new construction through Cal Green and the Model Water
Efficient Landscape Ordinance
Focus on Commercial/Institutional/Industrial through Promoting MWD’s Save a Buck
(Commercial) Program in conjunction with the Otay WD’s own Commercial Process
Improvement Program
As a signatory to the MOU Regarding Urban Water Conservation in California, the Otay WD
is required to submit biannual reports that detail the implementation of current water
conservation practices. The Otay WD voluntarily agreed to implement the fourteen water
conservation Best Management Practices beginning in 1992. The Otay WD submits its report
to the CUWCC every two years. The Otay WD BMP Reports for 2005 to 2010, as well as the
BMP Coverage Report for 1999-2010, are included in the Otay WD 2010 UWMP.
The Villages 3 North, a Portion of 4, 8 East, and 10 project will implement the CUWCC Best
Management Practices for water conservation such as installation of ultra low flow toilets,
development of a water conservation plan, and potential beneficial use of recycled water, all
of which are typical requirements of development projects within the City of Chula Vista.
Section 6 - Existing and Projected Supplies
The Otay WD currently does not have an independent raw or potable water supply source.
The Otay WD is a member public agency of the Water Authority. The Water Authority is a
member public agency of MWD. The statutory relationships between the Water Authority
and its member agencies, and MWD and its member agencies, respectively, establish the
scope of the Otay WD entitlement to water from these two agencies.
The Water Authority through two delivery pipelines, referred to as Pipeline No. 4 and the La
Mesa Sweetwater Extension Pipeline, currently supply the Otay WD with 100 percent of its
potable water. The Water Authority in turn, currently purchases the majority of its water from
MWD. Due to the Otay WD reliance on these two agencies, this WSA&V Report includes
referenced documents that contain information on the existing and projected supplies, supply
programs, and related projects of the Water Authority and MWD. The Otay WD, Water
Authority, and MWD are actively pursuing programs and projects to diversify their water
supply resources.
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The description of local recycled water supplies available to the Otay WD is also discussed
below.
6.1 Metropolitan Water District of Southern California 2010 Regional
Urban Water Management Plan
In November 2010, MWD adopted its 2010 Regional Urban Water Management Plan
(RUWMP). The 2010 RUWMP provides MWD’s member agencies, retail water utilities,
cities, and counties within its service area with, among other things, a detailed evaluation of
the supplies necessary to meet future demands, and an evaluation of reasonable and practical
efficient water uses, recycling, and conservation activities. During the preparation of the
2010 RUWMP, MWD also utilized the current SANDAG regional growth forecast in
calculating regional water demands for the Water Authority service area.
6.1.1 Availability of Sufficient Supplies and Plans for Acquiring
Additional Supplies
MWD is a wholesale supplier of water to its member public agencies and obtains its supplies
from two primary sources: the Colorado River, via the Colorado River Aqueduct (CRA),
which it owns and operates, and Northern California, via the State Water Project (SWP). The
2010 RUWMP documents the availability of these existing supplies and additional supplies
necessary to meet future demands.
6.1.1.1 MWD Supplies
MWD’s Integrated Resources Plan (IRP) identifies a mix of resources (imported and local)
that, when implemented, will provide 100 percent reliability for full-service demands through
the attainment of regional targets set for conservation, local supplies, State Water Project
supplies, Colorado River supplies, groundwater banking, and water transfers. The 2010
update to the IRP (2010 IRP Update) includes a planning buffer supply intended to mitigate
against the risks associated with implementation of local and imported supply programs. The
planning buffer identifies an additional increment of water that could potentially be developed
if other supplies are not implemented as planned. As part of implementation of the planning
buffer, MWD periodically evaluates supply development to ensure that the region is not under
or over-developing supplies. Managed properly, the planning buffer will help ensure that the
southern California region, including San Diego County, will have adequate supplies to meet
future demands.
In November 2010, MWD adopted its 2010 RUWMP in accordance with state law. The
resource targets included in the preceding 2010 IRP Update serve as the foundation for the
planning assumptions used in the 2010 RUWMP. MWD’s 2010 RUWMP contains a water
supply reliability assessment that includes a detailed evaluation of the supplies necessary to
meet demands over a 25-year period in average, single-dry year, and multiple-dry year
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periods. As part of this process, MWD also uses the current SANDAG regional growth
forecast in calculating regional water demands for the Water Authority’s service area.
As stated in MWD’s 2010 RUWMP, that plan may be used as a source document for meeting
the requirements of SB 610 and SB 221 until the next scheduled update is completed in 2015.
The 2005 RUWMP includes a “Justifications for Supply Projections” in Appendix A.3, that
provides detailed documentation of the planning, legal, financial, and regulatory basis for
including each source of supply in the plan. A copy of MWD’s 2010 RUWMP can be found
on the World Wide Web at the following site address:
http://www.mwdh2o.com/mwdh2o/pages/yourwater/RUWMP/RUWMP_2010.pdf
Water supply agencies throughout California continue to face climatological, environmental,
legal, and other challenges that impact water source supply conditions, such as the court
rulings regarding the Sacramento-San Joaquin Delta and the current western states drought
conditions. Challenges such as these essentially always will be present. The regional water
supply agencies, the Water Authority and MWD, along with Otay WD nevertheless fully
intend to have sufficient, reliable supplies to serve demands.
6.1.2 MWD Capital Investment Plan
As part of MWD’s annual budget approval process, a Capital Investment Plan is prepared.
The cost, purpose, justification, status, progress, etc. of MWD’s infrastructure projects to
deliver existing and future supplies are documented in the Capital Investment Plan. The
financing of these projects is addressed as part of the annual budget approval process.
MWD’s Capital Investment Plan includes a series of projects identified from MWD studies of
projected water needs, which, when considered along with operational demands on aging
facilities and new water quality regulations, identify the capital projects needed to maintain
infrastructure reliability and water quality standards, improve efficiency, and provide future
cost savings. All projects within the Capital Investment Plan are evaluated against an
objective set of criteria to ensure they are aligned with the MWD’s goals of supply reliability
and quality.
6.2 San Diego County Water Authority Regional Water Supplies
The Water Authority has adopted plans and is taking specific actions to develop adequate
water supplies to help meet existing and future water demands within the San Diego region.
This section contains details on the supplies being developed by the Water Authority. A
summary of recent actions pertaining to development of these supplies includes:
In accordance with the Urban Water Management Planning Act, the Water Authority
adopted their 2010 UWMP in June 2011. The updated Water Authority 2010 UWMP
identifies a diverse mix of local and imported water supplies to meet future demands.
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A copy of the updated Water Authority 2010 UWMP can be found on the internet at
http://www.sdcwa.org/2010-urban-water-management-plan
Deliveries of conserved agricultural water from the Imperial Irrigation District (IID) to
San Diego County have increased annually since 2003, with 70,000 ac-ft of deliveries in
Fiscal Year (FY) 2010. These quantities will increase annually to 200,000 ac-ft/yr by
2021, and then remain fixed for the duration of the transfer agreement.
As part of the October 2003 Quantification Settlement Agreement (QSA), the Water
Authority was assigned MWD’s rights to 77,700 ac-ft/yr of conserved water from the
All-American Canal (AAC) and Coachella Canal (CC) lining projects. Deliveries of
this conserved water from the CC reached the region in 2007 and deliveries from the
AAC reached the region in 2010. Expected supplies from the canal lining projects are
considered verifiable Water Authority supplies.
Through implementation of the Water Authority and member agency planned supply projects,
along with reliable imported water supplies from MWD, the region anticipates having
adequate supplies to meet existing and future water demands.
To ensure sufficient supplies to meet projected growth in the San Diego region, the Water
Authority uses the SANDAG most recent regional growth forecast in calculating regional
water demands. The SANDAG regional growth forecast is based on the plans and policies of
the land-use jurisdictions with San Diego County. The existing and future demands of the
member agencies are included in the Water Authority’s projections.
6.2.1 Availability of Sufficient Supplies and Plans for Acquiring
Additional Supplies
The Water Authority currently obtains imported supplies from MWD, conserved water from
the AAC and CC lining projects, and an increasing amount of conserved agricultural water
from IID. Of the twenty-seven member agencies that purchase water supplies from MWD,
the Water Authority is MWD’s largest customer.
Section 135 of MWD’s Act defines the preferential right to water for each of its member
agencies. As calculated by MWD, the Water Authority’s preferential right as of December
11, 2012 is 17.22 percent of MWD’s supply, while the Water Authority accounted for
approximately 25 percent of MWD’s total revenue. Under preferential rights, MWD could
allocate water without regard to historic water purchases or dependence on MWD. The Water
Authority and its member agencies are taking measures to reduce dependence on MWD
through development of additional supplies and a water supply portfolio that would not be
jeopardized by a preferential rights allocation. MWD has stated, consistent with Section 4202
of its Administrative Code that it is prepared to provide the Water Authority’s service area
with adequate supplies of water to meet expanding and increasing needs in the years ahead.
When and as additional water resources are required to meet increasing needs, MWD stated it
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will be prepared to deliver such supplies. In Section ES-5 of their 2010 RUWMP, MWD
states that MWD has supply capacities that would be sufficient to meet expected demands
from 2015 through 2035. MWD has plans for supply implementation and continued
development of a diversified resource mix including programs in the Colorado River
Aqueduct, State Water Project, Central Valley Transfers, local resource projects, and in-
region storage that enables the region to meet its water supply needs.
The Water Authority has made large investments in MWD’s facilities and will continue to
include imported supplies from MWD in the future resource mix. As discussed in the Water
Authority’s 2010 UWMP, the Water Authority and its member agencies are planning to
diversify the San Diego regions supply portfolio and reduce purchases from MWD.
As part of the Water Authority’s diversification efforts, the Water Authority is now taking
delivery of conserved agricultural water from IID and water saved from the AAC and CC
lining projects. The CC lining project is complete and the Water Authority has essentially
completed construction of the AAC lining project. Table 6 summarizes the Water Authority’s
supply sources with detailed information included in the sections to follow. Deliveries from
MWD are also included in Table 6, which is further discussed in Section 6.1 above. The
Water Authority’s member agencies provided the verifiable local supply targets for
groundwater, groundwater recovery, recycled water, and surface water, which are discussed in
more detail in Section 5 of the Water Authority’s 2010 UWMP.
Table 6
Projected Verifiable Water Supplies – Water Authority Service Area
Normal Year (acre-feet)
Water Supply Sources 2015 2020 2025 2030 2035
Water Authority Supplies
MWD Supplies 358,189 230,601 259,694 293,239 323,838
Water Authority/IID Transfer 100,000 190,000 200,000 200,000 200,000
AAC and CC Lining Projects 80,200 80,200 80,200 80,200 80,200
Proposed Regional Seawater
Desalination (1) 0 56,000 56,000 56,000 56,000
Member Agency Supplies
Surface Water 48,206 47,940 47,878 47,542 47,289
Water Recycling 38,660 43,728 46,603 48,278 49,998
Groundwater 11,710 11,100 12,100 12,840 12,840
Groundwater Recovery 10,320 15,520 15,520 15,520 15,520
Total Projected Supplies 647,285 675,089 717,995 753,619 785,685
Source: Water Authority 2010 Urban Water Management Plan – Table 9-1.
Note 1: On November 29, 2012, the Water Authority approved a water purchase agreement with Poseidon for
48,000 AFY with the right to purchase up to 56,000 AFY
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Section 5 of the Water Authority’s 2010 UWMP also includes a discussion on the local
supply target for seawater desalination. Seawater desalination supplies represent a significant
future local resource in the Water Authority’s service area.
The Carlsbad Desalination Project (Project) is a fully-permitted seawater desalination plant
and conveyance pipeline designed to provide a highly reliable local supply of up to 56,000
acre-feet (AF) per year for the region. In 2020, the Project would account for approximately
8% of the total projected regional supply and 30% of all locally generated water in San Diego
County. If the project becomes operational in 2016, it will more than double the amount of
local supplies developed in the region since 1991. The desalination plant itself will be fully
financed, built, and operated by Poseidon. The Water Authority will purchase water from the
plant under a water purchase agreement. The new pipeline connecting the desalination plant
with the Water Authority’s Second Aqueduct will be owned and operated by the Water
Authority, but responsibility for design and construction will reside with Poseidon through a
separate Design-Build Agreement. The Water Authority will be responsible for aqueduct
improvements, including the relining and rehabilitation of Pipeline 3 to accept desalinated
water under higher operating pressures, modifications to the San Marcos Vent that allows the
flow of water between Pipelines 3 and 4, and improvements at the Twin Oaks Valley Water
Treatment Plant necessary to integrate desalinated water into the Water Authority’s system
for optimal distribution to member agencies.
On July 22, 2010, the Board approved a Term Sheet between the Water Authority and
Poseidon Resources that outlined the key terms and conditions that would be detailed and
incorporated in a comprehensive Water Purchase Agreement (WPA). Beginning in October
2011 and under the direction of the Board’s Carlsbad Desalination Project Advisory Group,
staff began developing and negotiating with Poseidon a WPA consistent with the July 22,
2010 Board approved Term Sheet. The July 2010 Term Sheet also identified specific
conditions precedent to Board consideration of the WPA. On November 29, 2012, the Water
Authority Board adopted a resolution approving the Water Purchase Agreement (WPA).
The Water Authority’s existing and planned supplies from the IID transfer and canal lining
projects are considered “drought-proof” supplies and should be available at the yields shown
in Table 6 in normal water year supply and demand assessment. Single-dry year and
multiple-dry year scenarios are discussed in more detail in Section 9 of the Water Authority’s
2010 UWMP.
As part of preparation of a written water supply assessment and/or verification report, an
agency’s shortage contingency analysis should be considered in determining sufficiency of
supply. Section 11 of the Water Authority’s 2010 UWMP contains a detailed shortage
contingency analysis that addresses a regional catastrophic shortage situation and drought
management. The analysis demonstrates that the Water Authority and its member agencies,
through the Emergency Response Plan, Emergency Storage Project, and Drought
Management Plan (DMP) are taking actions to prepare for and appropriately handle an
interruption of water supplies. The DMP, adopted in May 2006, provides the Water Authority
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and its member agencies with a series of potential actions to take when faced with a shortage
of imported water supplies from MWD due to prolonged drought or other supply shortfall
conditions. The actions will help the region avoid or minimize the impacts of shortages and
ensure an equitable allocation of supplies throughout the San Diego region.
6.2.1.1 Water Authority-Imperial Irrigation District Water Conservation
and Transfer Agreement
The QSA was signed in October 2003, and resolves long-standing disputes regarding priority
and use of Colorado River water and creates a baseline for implementing water transfers. With
approval of the QSA, the Water Authority and IID were able to implement their Water
Conservation and Transfer Agreement. This agreement not only provides reliability for the San
Diego region, but also assists California in reducing its use of Colorado River water to its legal
allocation.
On April 29, 1998, the Water Authority signed a historic agreement with IID for the long-term
transfer of conserved Colorado River water to San Diego County. The Water Authority-IID
Water Conservation and Transfer Agreement (Transfer Agreement) is the largest agriculture-to-
urban water transfer in United States history. Colorado River water will be conserved by
Imperial Valley farmers who voluntarily participate in the program and then transferred to the
Water Authority for use in San Diego County.
Implementation Status
On October 10, 2003, the Water Authority and IID executed an amendment to the original 1998
Transfer Agreement. This amendment modified certain aspects of the 1998 Agreement to be
consistent with the terms and conditions of the QSA and related agreements. It also modified
other aspects of the agreement to lessen the environmental impacts of the transfer of conserved
water. The amendment was expressly contingent on the approval and implementation of the
QSA, which was also executed on October 10, 2003.
On November 5, 2003, IID filed a complaint in Imperial County Superior Court seeking
validation of 13 contracts associated with the Transfer Agreement and the QSA. Imperial
County and various private parties filed additional suits in Superior Court, alleging violations of
the California Environmental Quality Act (CEQA), the California Water Code, and other laws
related to the approval of the QSA, the water transfer, and related agreements. The lawsuits were
coordinated for trial. The IID, Coachella Valley Water District, MWD, the Water Authority, and
state are defending these suits and coordinating to seek validation of the contracts. In January
2010, a California Superior Court judge ruled that the QSA and 11 related agreements were
invalid, because one of the agreements created an open-ended financial obligation for the state,
in violation of California’s constitution. The QSA parties appealed this decision and are
continuing to seek validation of the contracts. The appeal is currently pending in the Third
District Court of Appeal. A stay of the trial court judgment has been issued during the appeal.
Implementation of the transfer provisions is proceeding during litigation.
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Expected Supply
Deliveries into San Diego County from the transfer began in 2003 with an initial transfer of
10,000 acre-feet per year. The Water Authority received increasing amounts of transfer water
each year, according to a water delivery schedule contained in the transfer agreement. In
2012, the Water Authority will receive 90,000 acre-feet per year. The quantities will increase
annually to 200,000 acre-feet per year by 2021 then remain fixed for the duration of the
transfer agreement. The initial term of the Transfer Agreement is 45 years, with a provision
that either agency may extend the agreement for an additional 30-year term.
During dry years, when water availability is low, the conserved water will be transferred under
the IID Colorado River rights, which are among the most senior in the Lower Colorado River
Basin. Without the protection of these rights, the Water Authority could suffer delivery
cutbacks. In recognition for the value of such reliability, the 1998 contract required the Water
Authority to pay a premium on transfer water under defined regional shortage circumstances.
The shortage premium period duration is the period of consecutive days during which any of the
following exist: 1) a Water Authority shortage; 2) a shortage condition for the Lower Colorado
River as declared by the Secretary; and 3) a Critical Year. Under terms of the October 2003
amendment, the shortage premium will not be included in the cost formula until Agreement Year
16.
Transportation
The Water Authority entered into a water exchange agreement with MWD on October 10, 2003,
to transport the Water Authority-IID transfer water from the Colorado River to San Diego
County. Under the exchange agreement, MWD will take delivery of the transfer water through
its Colorado River Aqueduct. In exchange, MWD will deliver to the Water Authority a like
quantity and quality of water. The Water Authority will pay MWD’s applicable wheeling rate
for each acre-foot of exchange water delivered. According to the water exchange agreement,
MWD will make delivery of the transfer water for 35 years, unless the Water Authority elects to
extend the agreement another 10 years for a total of 45 years.
Cost/Financing
The costs associated with the transfer are financed through the Water Authority’s rates and
charges. In the agreement between the Water Authority and IID, the price for the transfer water
started at $258 per acre-feet and increased by a set amount for the first seven years. In December
2009, the Water Authority and IID executed a fifth amendment to the water transfer agreement
that sets the price per acre-feet for transfer water for calendar years 2010 through 2015,
beginning at $405 per acre-feet in 2010 and increasing to $624 per acre-feet in 2015. For
calendar years 2016 through 2034, the unit price will be adjusted using an agreed-upon index.
The amendment also required the Water Authority to pay IID $6 million at the end of calendar
year 2009 and another $50 million on or before October 1, 2010, provided that a transfer
stoppage is not in effect as a result of a court order in the QSA coordinated cases. Beginning in
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2035, either the Water Authority or IID can, if certain criteria are met, elect a market rate price
through a formula described in the water transfer agreement.
The October 2003 exchange agreement between MWD and the Water Authority set the initial
cost to transport the conserved water at $253 per acre-feet. Thereafter, the price is set to be equal
to the charge or charges set by MWD’s Board of Directors pursuant to applicable laws and
regulation, and generally applicable to the conveyance of water by MWD on behalf of its
member agencies. The transportation charge in 2010 was $314 per acre-feet.
The Water Authority is providing $10 million to help offset potential socioeconomic impacts
associated with temporary land fallowing. IID will credit the Water Authority for these funds
during years 16 through 45. In 2007, the Water Authority prepaid IID an additional $10 million
for future deliveries of water. IID will credit the Water Authority for this up-front payment
during years 16 through 30.
As part of implementation of the QSA and water transfer, the Water Authority also entered into
an environmental cost sharing agreement. Under this agreement the Water Authority is
contributing a total of $64 million to fund environmental mitigation projects and the Salton Sea
Restoration Fund.
Written Contracts or Other Proof
The supply and costs associated with the transfer are based primarily on the following
documents:
Agreement for Transfer of Conserved Water by and between IID and the Water Authority
(April 29, 1998). This Agreement provides for a market-based transaction in which the Water
Authority would pay IID a unit price for agricultural water conserved by IID and transferred
to the Water Authority.
Revised Fourth Amendment to Agreement between IID and the Water Authority for Transfer of
Conserved Water (October 10, 2003). Consistent with the executed Quantification Settlement
Agreement (QSA) and related agreements, the amendments restructure the agreement and
modify it to minimize the environmental impacts of the transfer of conserved water to the Water
Authority.
Amended and Restated Agreement between MWD and Water Authority for the Exchange of
Water (October 10, 2003). This agreement was executed pursuant to the QSA and provides for
delivery of the transfer water to the Water Authority.
Environmental Cost Sharing, Funding, and Habitat Conservation Plan Development
Agreement among IID, Coachella Valley Water District (CVWD), and Water Authority
(October 10, 2003). This Agreement provides for the specified allocation of QSA-related
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environmental review, mitigation, and litigation costs for the term of the QSA, and for
development of a Habitat Conservation Plan.
Quantification Settlement Agreement Joint Powers Authority Creation and Funding
Agreement (October 10, 2003). The purpose of this agreement is to create and fund the QSA
Joint Powers Authority and to establish the limits of the funding obligation of CVWD, IID,
and Water Authority for environmental mitigation and Salton Sea restoration pursuant to SB
654 (Machado).
Fifth Amendment to Agreement between Imperial Irrigation District and San Diego County
Water Authority for Transfer of Conserved Water (December 21, 2009). This agreement
implements a settlement between the Water Authority and IID regarding the base contract price
of transferred water.
Federal, State, and Local Permits/Approvals
Federal Endangered Species Act Permit. The U.S. Fish and Wildlife Service (USFWS) issued a
Biological Opinion on January 12, 2001, that provides incidental take authorization and certain
measures required to offset species impacts on the Colorado River regarding such actions.
State Water Resources Control Board (SWRCB) Petition. SWRCB adopted Water Rights Order
2002-0016 concerning IID and Water Authority’s amended joint petition for approval of a long-
term transfer of conserved water from IID to the Water Authority and to change the point of
diversion, place of use, and purpose of use under Permit 7643.
Environmental Impact Report (EIR) for Conservation and Transfer Agreement. As lead agency,
IID certified the Final EIR for the Conservation and Transfer Agreement on June 28, 2002.
U. S. Fish and Wildlife Service Draft Biological Opinion and Incidental Take Statement on the
Bureau of Reclamation's Voluntary Fish and Wildlife Conservation Measures and Associated
Conservation Agreements with the California Water Agencies (12/18/02). The U. S. Fish and
Wildlife Service issued the biological opinion/incidental take statement for water transfer
activities involving the Bureau of Reclamation and associated with IID/other California water
agencies' actions on listed species in the Imperial Valley and Salton Sea (per the June 28, 2002
EIR).
Addendum to EIR for Conservation and Transfer Agreement. IID as lead agency and Water
Authority as responsible agency approved addendum to EIR in October 2003.
Environmental Impact Statement (EIS) for Conservation and Transfer Agreement. Bureau of
Reclamation issued a Record of Decision on the EIS in October 2003.
CA Department of Fish and Game California Endangered Species Act Incidental Take Permit
#2081-2003-024-006). The California Department of Fish and Game issued this permit
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(10/22/04) for potential take effects on state-listed/fully protected species associated with
IID/other California water agencies' actions on listed species in the Imperial Valley and Salton
Sea (per the June 28, 2002 EIR).
California Endangered Species Act (CESA) Permit. A CESA permit was issued by California
Department of Fish and Game (CDFG) on April 4, 2005, providing incidental take authorization
for potential species impacts on the Colorado River.
6.2.1.2 All-American Canal and Coachella Canal Lining Projects
As part of the QSA and related contracts, the Water Authority was assigned MWD’s rights to
77,700 ac-ft/yr of conserved water from projects that will line the All-American Canal (AAC)
and Coachella Canal (CC). The projects will reduce the loss of water that currently occurs
through seepage, and the conserved water will be delivered to the Water Authority. This
conserved water will provide the San Diego region with an additional 8.5 million acre-feet
over the 110-year life of the agreement.
Implementation Status
The CC lining project began in November 2004 and was completed in 2006. Deliveries of
conserved water to the Water Authority began in 2007. The project constructed a 37-mile
parallel canal adjacent to the CC. The AAC lining project was begun in 2005 and was
completed in 2010. The lining project constructed a concrete-lined canal parallel to 24 miles
of the existing AAC from Pilot Knob to Drop 3.
In July 2005, a lawsuit (CDEM v United States, Case No. CV-S-05-0870-KJD-PAL) was filed
in the U. S. District Court for the District of Nevada on behalf of U.S. and Mexican groups
challenging the lining of the AAC. The lawsuit, which names the Secretary of the Interior as
a defendant, claims that seepage water from the canal belongs to water users in Mexico.
California water agencies note that the seepage water is actually part of California's Colorado
River allocation and not part of Mexico's allocation. The plaintiffs also allege a failure by the
United States to comply with environmental laws. Federal officials have stated that they
intend to vigorously defend the case.
Expected Supply
The AAC lining project makes 67,700 acre-feet of Colorado River water per year available
for allocation to the Water Authority and San Luis Rey Indian water rights settlement parties.
The CC lining project makes 26,000 acre-feet of Colorado River water each year available for
allocation. The 2003 Allocation Agreement provides for 16,000 acre-feet per year of
conserved canal lining water to be allocated to the San Luis Rey Indian Water Rights
Settlement Parties. The remaining amount, 77,700 acre-feet per year, is to be available to the
Water Authority, with up to an additional 4,850 acre-feet per year available to the Water
Authority depending on environmental requirements from the CC lining project. For planning
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purposes, the Water Authority assumes that 2,500 acre-feet of the 4,850 acre-feet will be
available each year for delivery, for a total of 80,200 acre-feet per year of that supply.
According to the Allocation Agreement, IID has call rights to a portion (5,000 acre-feet per
year) of the conserved water upon termination of the QSA for the remainder of the 110 years
of the Allocation Agreement and upon satisfying certain conditions. The term of the QSA is
for up to 75 years.
Transportation
The October 10, 2003, Exchange Agreement between the Water Authority and MWD also
provides for the delivery of the conserved water from the canal lining projects. The Water
Authority will pay MWD’s applicable wheeling rate for each acre-foot of exchange water
delivered. In the Agreement, MWD will deliver the canal lining water for the term of the
Allocation Agreement (110 years).
Cost/Financing
Under California Water Code Section 12560 et seq., the Water Authority received $200
million in state funds for construction of the canal lining projects. In addition, $20 million
was made available from Proposition 50 and $36 million from Proposition 84. The Water
Authority was responsible for additional expenses above the funds provided by the state.
The rate to be paid to transport the canal lining water will be equal to the charge or charges set
by MWD’s Board of Directors pursuant to applicable law and regulation and generally
applicable to the conveyance of water by MWD on behalf of its member agencies.
In accordance with the Allocation Agreement, the Water Authority will also be responsible
for a portion of the net additional Operation, Maintenance, and Repair (OM&R) costs for the
lined canals. Any costs associated with the lining projects as proposed, are to be financed
through the Water Authority’s rates and charges.
Written Contracts or Other Proof
The expected supply and costs associated with the lining projects are based primarily on the
following documents:
U.S. Public Law 100-675 (1988). Authorized the Department of the Interior to reduce seepage
from the existing earthen AAC and CC. The law provides that conserved water will be made
available to specified California contracting water agencies according to established priorities.
California Department of Water Resources - MWD Funding Agreement (2001). Reimburse
MWD for project work necessary to construct the lining of the CC in an amount not to exceed
$74 million. Modified by First Amendment (2004) to replace MWD with the Authority.
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Modified by Second Amendment (2004) to increase funding amount to $83.65 million, with
addition of funds from Proposition 50.
California Department of Water Resources - IID Funding Agreement (2001). Reimburse IID for
project work necessary to construct a lined AAC in an amount not to exceed $126 million.
MWD - CVWD Assignment and Delegation of Design Obligations Agreement (2002). Assigns
design of the CC lining project to CVWD.
MWD - CVWD Financial Arrangements Agreement for Design Obligations (2002). Obligates
MWD to advance funds to CVWD to cover costs for CC lining project design and CVWD to
invoice MWD to permit the Department of Water Resources to be billed for work completed.
Allocation Agreement among the United States of America, The Metropolitan Water District of
Southern California, Coachella Valley Water District, Imperial Irrigation District, San Diego
County Water Authority, the La Jolla, Pala, Pauma, Rincon, and San Pasqual Bands of Mission
Indians, the San Luis Rey River Indian Water Authority, the City of Escondido, and Vista
Irrigation District (October 10, 2003). This agreement includes assignment of MWD’s rights
and interest in delivery of 77,700 acre-feet of Colorado River water previously intended to be
delivered to MWD to the Water Authority. Allocates water from the AAC and CC lining
projects for at least 110 years to the Water Authority, the San Luis Rey Indian Water Rights
Settlement Parties, and IID, if it exercises its call rights.
Amended and Restated Agreement between MWD and Water Authority for the Exchange of
Water (October 10, 2003). This agreement was executed pursuant to the QSA and provides for
delivery of the conserved canal lining water to the Water Authority.
Agreement between MWD and Water Authority regarding Assignment of Agreements related to
the AAC and CC Lining Projects. This agreement was executed in April 2004 and assigns
MWD's rights to the Water Authority for agreements that had been executed to facilitate funding
and construction of the AAC and CC lining projects.
Assignment and Delegation of Construction Obligations for the Coachella Canal Lining Project
under the Department of Water Resources Funding Agreement No. 4600001474 from the San
Diego County Water Authority to the Coachella Valley Water District, dated September 8, 2004.
Agreement Regarding the Financial Arrangements between the San Diego County Water
Authority and Coachella Valley Water District for the Construction Obligations for the
Coachella Canal Lining Project, dated September 8, 2004.
Agreement No. 04-XX-30-W0429 among the United States Bureau of Reclamation, the
Coachella Valley Water District, and the San Diego County Water Authority for the
Construction of the Coachella Canal Lining Project Pursuant to Title II of Public Law 100-675,
dated October 19, 2004.
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California Water Code Section 12560 et seq. This Water Code Section provides for $200
million to be appropriated to the Department of Water Resources to help fund the canal lining
projects in furtherance of implementing California’s Colorado River Water Use Plan.
California Water Code Section 79567. This Water Code Section identifies $20 million as
available for appropriation by the California Legislature from the Water Security, Clean
Drinking Water, Coastal, and Beach Protection Fund of 2002 (Proposition 50) to DWR for
grants for canal lining and related projects necessary to reduce Colorado River water use.
According to the Allocation Agreement, it is the intention of the agencies that those funds will be
available for use by the Water Authority, IID, or CVWD for the AAC and CC lining projects.
California Public Resources Code Section 75050(b)(1). This section identifies up to $36 million
as available for water conservation projects that implement the Allocation Agreement as defined
in the Quantification Settlement Agreement.
Federal, State, and Local Permits/Approvals
AAC Lining Project Final EIS/EIR (March 1994). A final EIR/EIS analyzing the potential
impacts of lining the AAC was completed by the Bureau of Reclamation (Reclamation) in March
1994. A Record of Decision was signed by Reclamation in July 1994, implementing the
preferred alternative for lining the AAC. A re-examination and analysis of these environmental
compliance documents by Reclamation in November 1999 determined that these documents
continued to meet the requirements of the NEPA and the CEQA and would be valid in the future.
CC Lining Project Final EIS/EIR (April 2001). The final EIR/EIS for the CC lining project was
completed in 2001. Reclamation signed the Record of Decision in April 2002. An amended
Record of Decision has also been signed to take into account revisions to the project description.
Mitigation, Monitoring, and Reporting Program for Coachella Canal Lining Project, SCH
#1990020408; prepared by Coachella Valley Water District, May 16, 2001.
Environmental Commitment Plan for the Coachella Canal Lining Project, approved by the US
Bureau of Reclamation (Boulder City, NV) on March 4, 2003.
Environmental Commitment Plan and Addendum to the All-American Canal Lining Project
EIS/EIR California State Clearinghouse Number SCH 90010472 (June 2004, prepared by
IID).
Addendum to Final EIS/EIR and Amendment to Environmental Commitment Plan for the
All-American Canal Lining Project (approved June 27, 2006, by IID Board of Directors).
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6.2.1.3 Carlsbad Seawater Desalination Project
Development of seawater desalination in San Diego County will assist the region in
diversifying its water resources, reduce dependence on imported supplies, and provide a new
drought-proof, locally treated water supply. The Carlsbad Desalination Project is a fully-
permitted seawater desalination plant and conveyance pipeline currently being developed by
Poseidon, a private investor–owned company that develops water and wastewater
infrastructure. The project, located at the Encina Power Station in Carlsbad, has been in
development since 1998 and was incorporated into the Water Authority’s 2003 Water
Facilities Master Plan and the 2010 UWMP. The Carlsbad Desalination Project has obtained
all required permits and environmental clearances and, when completed, will provide a highly
reliable local supply of 48,000 to 56,000 acre-feet per year for the region.
Implementation Status
The Project has obtained all required permits and environmental clearances, including the
following:
National Pollutant Discharge Elimination System (NPDES) Discharge Permit
(Regional Water Quality Control Board)
Conditional Drinking Water Permit (California Department of Health Services)
State Lands Commission Lease (State Lands Commission)
Coastal Development Permit (California Coastal Commission)
IDE Technologies, a worldwide leader in the design, construction, and operation of
desalination plants, was selected by Poseidon to be the desalination process contractor for the
Project.
On July 22, 2010, the Board approved a Term Sheet between the Water Authority and
Poseidon Resources that outlined the key terms and conditions that would be detailed and
incorporated in a comprehensive Water Purchase Agreement (WPA). Beginning in October
2011 and under the direction of the Board’s Carlsbad Desalination Project Advisory Group,
staff began developing and negotiating with Poseidon a WPA consistent with the July 22,
2010 Board approved Term Sheet. The July 2010 Term Sheet also identified specific
conditions precedent to Board consideration of the WPA.
On November 29, 2012, the Water Authority Board adopted a resolution approving the
Design-Build Agreement between the Water Authority and Poseidon. The Design-Build
Agreement establishes the commercial and technical terms for implementation of the
desalination product pipeline improvements. These improvements consist of an approximate
10-mile long, 54-inch diameter conveyance pipeline connecting the Desalination Plant to the
Water Authority’s Second Aqueduct. The pipeline will generally be constructed within
improved streets in commercial and industrial areas in the cities of Carlsbad, Vista, and San
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Marcos. The Water Authority will own the Project Water Pipeline Improvements upon
execution of the Design-Build Agreement, and upon completion and acceptance of
construction, the Water Authority will assume operational control of all pipeline
improvements.
Expected Supply
When completed, the Project will provide a highly reliable local supply of 48,000 to 56,000
acre-feet per year of supply for the region, available in both normal and dry hydrologic
conditions. In 2020, the Project would account for approximately 8% of the total projected
regional supply and 30% of all locally generated water in San Diego County. When the
project becomes operational in 2016, it will more than double the amount of local supplies
developed in the region since 1991.
Transportation
On November 29, 2012, the Water Authority Board adopted a resolution approving the
Design-Build Agreement between the Water Authority and Poseidon. The Design-Build
Agreement establishes the commercial and technical terms for implementation of the
desalination product pipeline improvements. These improvements consist of an approximate
10-mile long, 54-inch diameter conveyance pipeline connecting the Desalination Plant to the
Water Authority’s Second Aqueduct. The pipeline will generally be constructed within
improved streets in commercial and industrial areas in the cities of Carlsbad, Vista, and San
Marcos. The Water Authority will own the Project Water Pipeline Improvements upon
execution of the Design-Build Agreement, and upon completion and acceptance of
construction, the Water Authority will assume operational control of all pipeline
improvements.
The Water Authority will be responsible for aqueduct improvements, including the relining
and rehabilitation of Pipeline 3 to accept desalinated water under higher operating pressures,
modifications to the San Marcos Vent that allows the flow of water between Pipelines 3 and
4, and improvements at the Twin Oaks Valley Water Treatment Plant necessary to integrate
desalinated water into the Water Authority’s system for optimal distribution to member
agencies.
Cost/Financing
The plant and the offsite pipeline will be financed through tax exempt government bonds
issued for the Water Authority by the California Pollution Control Financing Authority
(CPCFA). On November 29, 2012, the Water Authority Board adopted a resolution
approving agreements to accomplish tax exempt project financing through the CPCFA.
A preliminary September 2012 unit cost estimate was $2,300/AF. The Water Authority’s
water purchase costs would be financed through Water Authority rates and charges. Poseidon
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is financing the capital cost of the Project with a combination of private equity and tax-
exempt Private Activity Bonds.
Written Contracts or Other Proof
The expected supply and costs associated with the Carlsbad Desalination Project are based
primarily on the following documents:
Development Agreement between City of Carlsbad and Poseidon (October 2009). A
Development Agreement between Carlsbad and Poseidon was executed on October 5, 2009
Agreement of Term Sheet between the Water Authority and Poseidon Resources (July 2010).
The Water Authority approved the Term Sheet at its July 2010 Board Meeting. The Term
Sheet outlines the terms and conditions of a future Water Purchase Agreement with Poseidon
and allocates the resources to prepare the draft Water Purchase Agreement.
Federal, State, and Local Permits/Approvals
Carlsbad Desalination Project Final EIR
The City of Carlsbad, acting as lead agency for Carlsbad Seawater Desalination Plant and
appurtenant facilities proposed by Poseidon (the “Project”) prepared an Environmental Impact
Report for the Project in compliance with the California Environmental Quality Act
(“CEQA”), which the City of Carlsbad certified on June 13, 2006.
http://www.sdcwa.org/rwfmp-peir
The City of Carlsbad prepared an Addendum to the Carlsbad EIR (“Addendum”) which was
adopted on September 15, 2009, and reflects minor and immaterial design modifications to
the Project site plan, appurtenant facilities, and water delivery pipeline network.
The environmental documents and permits are found at the following link:
http://www.carlsbad-desal.com/EIR.asp
The Water Authority, as a Responsible Agency under CEQA, adopted a resolution on
November 29, 2012 approving a Second Addendum to the Carlsbad Precise Development
Plan and Desalination Plant Final EIR and First Addendum that evaluates the environmental
impacts of several proposed facility modifications that are necessary to allow for operational
flexibility and efficiency in receiving and delivering desalination product water. These
modifications include: a realignment of a portion of the approved desalination pipeline, the
addition of chemical injection at the approved San Marcos Aqueduct Connection site, the
relining of a portion of Pipeline 3, the addition of a pipeline and expanded flow control
facility at Twin Oaks Valley Water Treatment Plant and a replacement of the San Marcos
Vent on Pipeline 4. Impacts associated with the proposed modifications would not result in a
new significant impact or substantial increase in the severity of impacts previously evaluated
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in the Carlsbad FEIR or the First Addendum. There are no substantial changes to the
circumstances under which the project will be undertaken, and no new information of
substantial importance that was not known and could not have been known when the FEIR
was certified and the First Addendum was approved, and that have since been identified.
Therefore, the Second Addendum satisfies the CEQA requirements for the proposed project
modifications.
Regional Water Facilities Master Plan EIR
On November 20, 2003, the Water Authority Board of Directors adopted Resolution No.
2003-34 certifying the Final Program Environmental Impact Report (State Clearinghouse No.
2003021052) for the Water Authority’s Regional Water Facilities Master Plan Project (the
“Master Plan EIR”), which evaluated, among other things, potential growth inducing impacts
associated with new water supplies to the region including, but not limited to, up to 150
million gallons per day (“MGD”) of new supplies from seawater desalination. This
certification included a 50 MGD plant located in the City of Carlsbad.
The environmental documents and permits are found at the following link:
http://www.sdcwa.org/rwfmp-peir
Sub regional Natural Community Conservation Plan/Habitat Conservation Plan (NCCP/HCP)
On December 8, 2010, the Board adopted Resolution No. 2010-18 certifying a Final
environmental Impact Report/Environmental Impact Statement for the San Diego County
Water Authority Subregional Natural Community Conservation Plan/Habitat Conservation
Plan (State Clearinghouse No. 2003121012) (the “Habitat Conservation Plan EIR/EIS”),
which Plan was implemented on December 28, 201.
The environmental documents and permits are found at the following link:
http://www.sdcwa.org/nccp-hcp
Twin Oaks Valley Water Treatment Plant EIR
On September 8, 2005, the Board adopted Resolution No. 2005-31 certifying a Final
Environmental Impact Report for the Twin Oaks Valley Water Treatment Plant Project (State
Clearinghouse No. 20040071034) (the “Twin Oaks EIR”), which project was constructed as a
100 MGD submerged membrane water treatment facility, including treated water holding
tanks and distribution pipelines and other facilities, consistent with the conditions and
mitigation measures included in the Twin Oaks EIR.
http://www.sdcwa.org/twin-oaks-valley-treatment-plant-final-eir
2010 Urban Water Management Plan
http://www.sdcwa.org/2010-urban-water-management-plan
Drinking Water Permit (October 2006). The California Department of Health Services
approved the Conditional Drinking Water Permit on October 19, 2006.
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Coastal Development Permit
The Project is fully permitted, with the California Coastal Commission issuing the following
permits: Coastal Development Permit No. E-06-013, Energy Minimization and Greenhouse
Gas Reduction Plan (December 2008), Marine Life Mitigation Plan (December 2008),
Erosion Control Plan (November 2009), Landscaping Plan (September 2009), Lighting Plan
(August 2009), Construction Plan (September 2009), and Water Pollution Control Plan
(September 2009); the California Department of Public Health issuing Conceptual Approval
Letter dated October 19, 2006; the California Regional Water Quality Control Board issuing
NPDES Permit No. CA0109223 and Notice of Intent to Discharge for Storm Water
Associated with Construction Activities (WDID #9 37C361181); the City of Carlsbad issuing
Redevelopment Permit RP 05-12(A), Specific Plan 144 with Amendment 144(J) SP 144(J),
Habitat Management Plan Permit Amendment HMP 05-08(A), Precise Development Plan
PDP 00-02(B), Mitigation Monitoring and Reporting Program for EIR 03-05(A),
Development Agreement DA 05-01(A), Standard Urban Storm Water Mitigation Program
(September 2009), and Coastal Development Permit 04-41; the State of California State
Lands Commission issuing an Amendment of Lease PRC 8727.1 (August 2008).
The environmental documents and permits are found at the following link:
http://www.sdcwa.org/carlsbad-desalination-project-approved-permits-and-plans
State Lands Commission Lease Application (Amendment of Lease PRC 8727.1 August
2008). Amends lease of land by Cabrillo Power I LLC (Cabrillo) from the State Lands
Commission for the lands where the project will be constructed. Cabrillo and Poseidon
entered into agreement on July 1, 2003, authorizing Poseidon to use those lands to construct
the project.
6.2.2 Water Authority Capital Improvement Program and Financial
Information
The Water Authority’s Capital Improvement Program (CIP) can trace its beginnings to a
report approved by the Board in 1989 entitled, The Water Distribution Plan, and a Capital
Improvement Program through the Year 2010. The Water Distribution Plan included ten
projects designed to increase the capacity of the aqueduct system, increase the yield from
existing water treatment plants, obtain additional supplies from MWD, and increase the
reliability and flexibility of the aqueduct system. Since that time the Water Authority has
made numerous additions to the list of projects included in its CIP as the region’s
infrastructure needs and water supply outlook have changed.
The current list of projects included in the CIP is based on the results of planning studies,
including the 2005 UWMP and the 2002 Regional Water Facilities Master Plan. These CIP
projects, which are most recently described in the Water Authority’s Adopted Multi-Year
Budget, include projects valued at $3.50 billion. These CIP projects are designed to meet
projected water supply and delivery needs of the member agencies through 2035. The
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projects include a mix of new facilities that will add capacity to existing conveyance, storage,
and treatment facilities, as well as repair and replace aging infrastructure:
Asset Management – The primary components of the asset management projects
include relining and replacing existing pipelines and updating and replacing metering
facilities.
New Facilities – These projects will expand the capacity of the aqueduct system,
complete the projects required under the Quantification Settlement Agreement (QSA),
and evaluate new supply opportunities.
Emergency Storage Project – Projects remaining to be completed under the ongoing
ESP include the San Vicente Dam Raise, the Lake Hodges projects, and a new pump
station to extend ESP supplies to the northern reaches of the Water Authority service
area.
Other Projects – This category includes out-of-region groundwater storage, increased
local water treatment plant capacity, and projects that mitigate environmental impacts
of the CIP.
The Water Authority Board of Directors is provided a semi-annual and annual report on the
status of development of the CIP projects. As described in the Water Authority’s biennial
budget, a combination of long and short-term debt and cash (pay-as-you-go) will provide
funding for capital improvements. Additional information is included in the Water
Authority’s biennial budget, which also contains selected financial information and
summarizes the Water Authority’s investment policy.
6.3 Otay Water District
The Otay WD 2010 WRMP Revision and the 2010 UWMP contain comparisons of projected
supply and demands through the year 2035. Projected potable water resources to meet
planned demands as documented were planned to be supplied entirely with imported water
received from the Water Authority. Recycled water resources to meet projected demands are
planned to be supplied from local wastewater treatment plants. The Otay WD currently has
no local supply of raw water, potable water, or groundwater resources.
The development and/or acquisition of potential groundwater, recycled water market
expansion, and seawater desalination supplies by the Otay WD have evolved and are planned
to occur in response to the regional water supply issues. These water supply projects are in
addition to those identified as sustainable supplies in the current Water Authority and MWD
UWMP, IRP, Master Plans, and other planning documents. These new additional water
supply projects are not currently developed and are in various stages of the planning process.
These local and regional water supply projects will allow for less reliance upon imported
water and are considered a new water supply resource for the Otay WD.
The Otay WD expansion of the market areas for the use of recycled water within the
watersheds upstream of the Sweetwater Reservoir, Otay Mesa, and the Lower Otay Reservoir
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will increase recycled water use and thus require less dependence on imported water for
irrigation purposes.
The supply forecasts contained within this WSA&V Report do consider development and/or
acquisition of potential groundwater, recycled water market expansion, and seawater
desalination supplies by the Otay WD.
6.3.1 Availability of Sufficient Supplies and Plans for Acquiring
Additional Supplies
The availability of sufficient potable water supplies and plans for acquiring additional potable
water supplies to serve existing and future demands of the Otay WD is founded upon the
preceding discussions regarding MWD’s and the Water Authority’s water supply resources
and water supplies to be acquired by the Otay WD. Historic imported water deliveries from
the Water Authority to Otay WD and recycled water deliveries from the Otay WD Ralph W.
Chapman Water Reclamation Facility (RWCWRF) are shown in Table 7. Since the year 2000
through mid May 2007, recycled water demand has exceeded the recycled water supply
capability typically in the summer months. The RWCWRF is limited to a maximum
production of about 1,300 ac-ft/yr. The recycled water supply shortfall had been met by
supplementing with potable water into the recycled water storage system as needed by adding
potable water supplied by the Water Authority. On May 18, 2007 an additional source of
recycled water supply from the City of San Diego’s South Bay Water Reclamation Plant
(SBWRP) became available. The supply of recycled water from the SBWRP is a result of
essentially completing construction and commencement of operations of the transmission,
storage, and pump station systems necessary to link the SBWRP recycled water supply source
to the existing Otay WD recycled water system.
Table 7
Historic Imported and Local Water Supplies
Otay Water District
Calendar
Year
Imported Water
(acre-feet)
Recycled Water
(acre-feet)
Total
(acre-feet)
1980 12,558 0 12,558
1985 14,529 0 14,529
1990 23,200 0 23,200
1995 20,922 614 21,536
2000 29,901 948 30,849
2005 37,678 1,227 38,905
2010 29,219 4,090 33,309
2011 30,777 3,776 34,553
2012 31,268 4,155 35,423
Source: Otay Water District operational records.
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6.3.1.1 Imported and Regional Supplies
The availability of sufficient imported and regional potable water supplies to serve existing
and planned uses within Otay WD is demonstrated in the above discussion on MWD and the
Water Authority’s water supply reliability. The County Water Authority Act, Section 5
subdivision 11, states that the Water Authority “as far as practicable, shall provide each of its
member agencies with adequate supplies of water to meet their expanding and increasing
needs.” The Water Authority provides between 75 to 95 percent of the total supplies used by
its 24 member agencies, depending on local weather and supply conditions. In calendar year
2010 the supply to Otay WD was 29,270 ac-ft of supply from the Water Authority. An
additional 4,090 ac-ft of recycled water from the City of San Diego and from the District’s
Ralph W. Chapman Water Reclamation Facility. The demand for potable water within the
Otay WD is expected to increase to about 77,177 ac-ft by 2035 as per the Otay WD 2010
UWMP.
Potable Water System Facilities
The Otay WD continues to pursue diversification of its water supply resources to increase
reliability and flexibility. The Otay WD also continues to plan, design, and construct potable
water system facilities to obtain these supplies and to distribute potable water to meet
customer demands. The Otay WD has successfully negotiated two water supply
diversification agreements that enhance reliability and flexibility, which are briefly described
as follows.
The Otay WD entered into an agreement with the City of San Diego, known as the Otay
Water Treatment Plant (WTP) Agreement. The Otay WTP Agreement provides for raw
water purchase from the Water Authority and treatment by the City of San Diego at their
Otay WTP for delivery to Otay WD. The supply system link to implement the Otay
WTP Agreement to access the regions raw water supply system and the local water
treatment plant became fully operational in August 2005. This supply link consists of the
typical storage, transmission, pumping, flow measurement, and appurtenances to receive
and transport the treated water to the Otay WD system. The City of San Diego
obligation to supply 10 MGD of treated water under the Otay WTP Agreement is
contingent upon there being available 10 MGD of surplus treatment capacity in the Otay
WTP until such time as Otay WD pays the City of San Diego to expand the Otay WTP to
meet the Otay WD future needs. In the event that the City of San Diego’s surplus is
projected to be less than 10 MGD the City of San Diego will consider and not
unreasonably refuse the expansion of the Otay WTP to meet the Otay WD future needs.
The Otay WTP existing rated capacity is 40 MGD with an actual effective capacity of
approximately 34 MGD. The City of San Diego’s typical demand for treated water from
the Otay WTP is approximately 20 MGD. It is at the City of San Diego’s discretion to
utilize either imported raw water delivered by the Water Authority Pipeline No. 3 or local
water stored in Lower Otay Reservoir for treatment to supply the Otay WD demand.
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The Otay WD entered into an agreement with the Water Authority, known as the East
County Regional Treated Water Improvement Program (ECRTWIP Agreement). The
ECRTWIP Agreement provides for transmission of raw water to the Helix WD R. M.
Levy WTP for treatment and delivery to Otay WD. The supply system link to implement
the ECRTWIP Agreement is complete allowing access to the regions raw water supply
system and the local water treatment plant. This supply link consists of the typical
transmission, pumping, storage, flow control, and appurtenances to receive and transport
the potable water from the R. M. Levy WTP to Otay WD. The Otay WD is required to
take a minimum of 10,000 ac-ft/yr of treated water from the R.M. Levy WTP supplied
from the regions raw water system.
Cost and Financing
The capital improvement costs associated with water supply and delivery are financed
through the Otay WD water meter capacity fee, New Water Supply Fee, and user rate
structures. The Otay WD potable water sales revenue are used to pay for the wholesale cost
of the treated water supply and the operating and maintenance expenses of the potable water
system facilities.
Written Agreements, Contracts, or Other Proof
The supply and cost associated with deliveries of treated water from the Otay WTP and the R.M.
Levy WTP is based on the following documents.
Agreement for the Purchase of Treated Water from the Otay Water Treatment Plant between the
City of San Diego and the Otay Water District. The Otay WD entered into an agreement dated
January 11, 1999 with the City of San Diego that provides for 10 MGD of surplus treated water
to the Otay WD from the existing Otay WTP capacity. The agreement allows for the purchase of
treated water on an as available basis from the Otay WTP. The Otay WD pays the Water
Authority at the prevailing raw water rate for raw water and pays the City of San Diego at a rate
equal to the actual cost of treatment to potable water standards.
Agreement between the San Diego County Water Authority and Otay Water District Regarding
Implementation of the East County Regional Treated Water Improvement Program. The
ECRTWIP Agreement requires the purchase of at least 10,000 ac-ft per year of potable water
from the Helix WD R.M. Levy WTP at the prevailing Water Authority treated water rate. The
ECRTWIP Agreement is dated April 27, 2006.
Agreement between the San Diego County Water Authority and Otay Water District for Design,
Construction, Operation, and Maintenance of the Otay 14 Flow Control Facility Modification.
The Otay WD entered into the Otay 14 Flow Control Facility Modification Agreement dated
January 24, 2007 with the Water Authority to increase the physical capacity of the Otay 14 Flow
Control Facility. The Water Authority and Otay WD to 50% share the capital cost to expand its
capacity from 8 MGD to 16 MGD.
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Federal, State, and Local Permits/Approvals
The Otay WD acquired all the permits for the construction of the pipeline and pump station
associated with the Otay WTP supply source and for the 640-1 and 640-2 water storage
reservoirs project associated with the ECRTWIP Agreement through the typical planning,
environmental approval, design, and construction processes.
The transmission main project constructed about 26,000 feet of a 36-inch diameter steel
pipeline from the Otay 14 Flow Control Facility to the 640-1 and 640-2 Reservoirs project.
The Otay 14 Flow Control Facility modification increased the capacity of the existing systems
from 8 MGD to 16 MGD. CEQA documentation is complete for both projects. Construction
of both of these projects was completed October 2010.
The City of San Diego and the Helix Water District are required to meet all applicable federal,
state, and local health and water quality requirements for the potable water produced at the
Otay WTP and the R.M. Levy WTP respectively.
6.3.1.2 Recycled Water Supplies
Wastewater collection, treatment, and disposal services provided by the Otay WD is limited to
a relatively small area within what is known as the Jamacha Basin, located within the Middle
Sweetwater River Basin watershed upstream of the Sweetwater Reservoir and downstream of
Loveland Reservoir. Water recycling is defined as the treatment and disinfection of
municipal wastewater to provide a water supply suitable for non-potable reuse. The Otay WD
owns and operates the Ralph W. Chapman Water Reclamation Facility, which produces
recycled water treated to a tertiary level for landscape irrigation purposes. The recycled water
market area of the Otay WD is located primarily within the eastern area of the City of Chula
Vista and on the Otay Mesa. The Otay WD distributes recycled water to a substantial market
area that includes but is not limited to the U.S. Olympic Training Center, the Eastlake Golf
Course, and other development projects.
The Otay WD projects that annual average demands for recycled water will increase to 8,000
acre-feet per year by 2035. About 1,300 acre-feet per year of supply is generated by the
RWCWRF, with the remainder planned to be supplied to Otay WD by the City of San
Diego’s SBWRP.
North District Recycled Water Concept
The Otay WD is a recognized leader in the use of recycled water for irrigation and other
commercial uses. The Otay WD continues the quest to investigate all viable opportunities to
expand the successful recycled water program into areas that are not currently served. One of
these areas is in the portion of the service area designated as the North District, located within
the Middle Sweetwater River Basin watershed upstream of the Sweetwater River. The close
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proximity of the recycled water markets in the North District to the Otay WD’s source of
recycled water, the RWCWRF, means that the distribution system to serve this area could be
constructed relatively cost effectively. This makes the North District a logical location for the
expansion of the Otay WD’s recycled water system and market area.
The purpose of the North District Recycled Water System Development Project, Phase I
Concept Study, is to identify the feasibility of using recycled water in the North District and
to investigate and assess any limitations or constraints to its use. The Phase I study
components of the North District Recycled Water Concept encompassed the preparation of
six technical memorandums including the project definition, a discussion of the regulatory
process, a discussion of the protection of the watershed that would be affected by recycled
water use in the North District, identification of stakeholders, public outreach, and an
implementation plan.
Several opportunities that could be realized with the implementation of the use of recycled
water in the North District were identified. These include a reduction of demand on the
potable water system and maximizing recycled water resources which in turn minimizes
treated wastewater discharges to the local ocean outfall. Other opportunities are a possible
partnership with Sweetwater Authority to monitor any benefits and impacts of increased
recycled water use in the watershed and stakeholder outreach to resolve any water quality
concerns and to retain consumer confidence. Also identified were two major constraints
associated with the North District Recycled Water System Development Project. One
constraint is the water quality objectives for the Middle Sweetwater Basin that will affect the
effluent limitations for the recycled water produced at the RWCWRF. At this time, the
effluent limit that is of concern is total nitrogen. An examination as to how the treatment
process might be modified to enhance nitrogen removal and an action plan is being
developed. The other major constraint is the cost of the infrastructure needed to convey and
store recycled water in the North District. These costs are estimated to be in the range of $14
to $15 million dollars.
There are two additional phases proposed for the North District Recycled Water System
Development Project. Phase II would include further investigation of the issues identified in
Phase I as requiring further study. These include stakeholder outreach, regulatory issues, and
facility planning. The third phase of the effort would include the facility planning, permitting,
environmental compliance, design, and construction of the improvements necessary for
delivery of recycled water to the North District markets.
The estimated amount of imported water saved at full implementation of the North District
Recycled Water System Development Project is 1,200 ac-ft/yr. This saved imported water
could then be used to offset new potable water demands.
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Recycled Water System Facilities
The Otay WD has and continues to construct recycled water storage, pumping, transmission,
and distribution facilities to meet projected recycled water market demands. For nearly 20
years, millions of dollars of capital improvements have been constructed. The supply link
consisting of a transmission main, storage reservoir, and a pump station to receive and
transport the recycled water from the City of San Diego’s SBWRP are complete and recycled
water deliveries began on May 18, 2007.
Cost and Financing
The capital improvement costs associated with the recycled water supply and distribution
systems are financed through the Otay WD water meter capacity fee and user rate structures.
The Otay WD recycled water sales revenue, along with MWD and the Water Authority’s
recycled water sales incentive programs are used to help offset the costs for the wholesale
purchase and production of the recycled water supply, the operating and maintenance
expenses, and the capital costs of the recycled water system facilities.
Written Agreements, Contracts, or Other Proof
The supply and cost associated with deliveries of recycled water from the SBWRP is based on
the following document.
Agreement between the Otay Water District and the City of San Diego for Purchase of
Reclaimed Water from the South Bay Water Reclamation Plant. The agreement provides for the
purchase of at least 6,721 ac-ft per year of recycled water from the SBWRP at an initial price of
$350 per acre-foot. The Otay WD Board of Directors approved the final agreement on June 4,
2003 and the San Diego City Council approved the final agreement on October 20, 2003.
Federal, State, and Local Permits/Approvals
The Otay WD has in place an agreement with MWD for their recycled water sales incentive
program for supplies from the RWCWRF and the SBWRP. Also, the Otay WD has in place
an agreement with the Water Authority for their recycled water sales incentive program for
supplies from the RWCWRF and the SBWRP. The Water Authority sales incentive
agreement was approved by Water Authority on July 26, 2007 and by Otay WD on August 1,
2007. All permits for the construction of the recycled water facilities to receive, store, and
pump the SBWRP supply have been acquired through the typical planning, environmental
approval, design, and construction processes.
The California Regional Water Quality Control Board San Diego Region (RWQCB) “Master
Reclamation Permit for Otay Water District Ralph W. Chapman Reclamation Facility” was
adopted on May 9, 2007 (Order No. R9-2007-0038). This order establishes master
reclamation requirements for the production, distribution, and use of recycled water in the
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Otay WD service area. The order includes the use of tertiary treated water produced and
received from the City of San Diego‘s SBWRP. Recycled water received from and produced
by the SBWRP is regulated by Regional Board Order No. 2000-203 and addenda. The City
of San Diego is required to meet all applicable federal, state, and local health and water
quality requirements for the recycled water produced at the SBWRP and delivered to Otay
WD in conformance with Order No. 2000-203.
6.3.1.3 Potential Groundwater Supplies
The Otay WD 2010 UWMP, the 2010 WRMP Revision, and the Otay WD March 2007
Integrated Water Resources Plan (2007 IRP) all contain a description of the development of
potential groundwater supplies. Over the past several years, Otay WD has studied numerous
potential groundwater supply options that have shown, through groundwater monitoring well
activities, poor quality water and/or insufficient yield from the basins at a cost effective level.
The Otay WD has a few capital improvement program projects to continue the quest to
develop potential groundwater resources. Local Otay WD groundwater supply development
is currently considered as a viable water supply resource to meet projected demands.
The development and/or acquisition of potential groundwater supply projects by the Otay WD
have evolved and have been resurrected in response to the regional water supply issues related
to water source supply conditions. Local ground water supply projects will allow for less
reliance upon imported water, achieve a level of independence of the regional wholesale
water agencies, and diversify the Otay WD’s water supply portfolio consistent the Otay WD
2007 IRP.
In recognition of the need to develop sufficient alternative water supplies, the Otay WD has
taken the appropriate next steps towards development of production groundwater well
projects.
There are three groundwater well projects that the Otay WD is actively pursuing to develop as
new local water supplies. They are known as the Middle Sweetwater River Basin
Groundwater Well, the Otay Mesa Lot 7 Groundwater Well, and the Rancho del Rey
Groundwater Well.
Middle Sweetwater River Basin Groundwater Well
The Middle Sweetwater River Basin Groundwater Well is an additional water supply project
that was thoroughly studied and documented in the 1990s. The Middle Sweetwater River
Basin is located within the Sweetwater River watershed and that reach of the river extends
from Sweetwater Reservoir to the upstream Loveland Reservoir. The next step in
development of the Middle Sweetwater River Basin Groundwater Well is the implementation
of a pilot well project. The ultimate objective of the Otay WD is to develop a groundwater
well production system within the Middle Sweetwater River Basin capable of producing a
sustainable yield of potable water as a local supply.
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The purpose of the Middle Sweetwater River Basin Groundwater Well Pilot project is to
identify the feasibility of developing a groundwater resource production system and then
determine and assess any limitations or constraints that may arise. The Middle Sweetwater
River Basin Groundwater Well Pilot Project will accomplish six primary goals:
Update project setting
Update applicable project alternatives analysis
Prepare groundwater well pilot project implementation plan
Construct and test pilot monitoring and extraction wells
Provide recommendations regarding costs and feasibility to develop a groundwater
well production system within the Middle Sweetwater River Basin capable of
producing a sustainable yield of potable water
Prepare groundwater well production project implementation plan and scope of work
The groundwater conjunctive use concept is described as the extraction of the quantity of
water from the groundwater basin that was placed there by customers of the Otay Water
District, Helix Water District, and Padre Dam Municipal Water District by means of their use
of imported treated water that contributed to the overall volume of groundwater within the
basin. An estimated quantity was developed to be approximately 12.5 percent of the total
consumption of the Otay WD customers within that basin, as measured by water meters. In
the 1994-1995 period, the quantity of water that was returned to the groundwater basin by
Otay WD customers was estimated to be 810 acre-feet per year. Currently, that 12.5 percent
quantity could be on the order of 1,000 acre-feet per year. A future scope of work will need
to addresses this concept while considering further development of the groundwater basin as
an additional supply resource. If it is deemed that a Middle Sweetwater River Basin
Groundwater Well Production Project is viable then the consultant will develop and provide a
groundwater well production project implementation plan, cost estimate, and related scope of
work.
Further development of the groundwater basin to enhance the total groundwater production
could be accomplished by the Otay WD by means of additional extraction of water from the
basin that is placed there by means of either injection and/or spreading basins using imported
untreated water as the resource supply. The existing La Mesa Sweetwater Extension Pipeline,
owned by the Water Authority, once converted to an untreated water delivery system, could
be the conveyance system to transport untreated water for groundwater recharge in support of
this conjunctive use concept. These two distinct water resource supply conjunctive use
concepts will be addressed so they may coexist and to allow for their development as separate
phases.
The scope of work to complete Middle Sweetwater River Basin Groundwater Well Pilot
Project consists of many major tasks and is to address the groundwater supply concepts
outlined above. It is anticipated that the cost for the entire scope of work, will be on the order
of $2,000,000, which includes a contingency and may take up to one and a half years to
complete.
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The primary desired outcome of the Middle Sweetwater River Basin Groundwater Well Pilot
Project is for the engineering consultant to determine and make recommendations if it is
financially prudent and physically feasible to develop a Phase I groundwater well production
system within the Middle Sweetwater River Basin capable of producing a sustainable yield of
up to 1,500 ac-ft/yr of potable water for the Otay WD. If it is deemed that a Middle
Sweetwater River Basin Groundwater Well Production Project is viable then the consultant
will develop and provide a groundwater well production project implementation plan and
related scope of work.
Otay Mesa Lot 7 Groundwater Well
In early 2001 the Otay WD was approached by a landowner representative about possible
interest in purchasing an existing well or alternatively, acquiring groundwater supplied from
the well located on Otay Mesa. The landowner, National Enterprises, Inc., reportedly stated
that the well could produce 3,200 acre-feet per year with little or no treatment required prior
to introducing the water into the Otay WD potable water system or alternatively, the recycled
water system. In March 2001 authorization to proceed with testing of the Otay Mesa Lot 7
Groundwater Well was obtained and the Otay WD proceeded with the investigation of this
potential groundwater supply opportunity.
The May 2001 Geoscience Support Services, Inc. completed for the Otay WD the preparation
of a report entitled, “Otay Mesa Lot 7 Well Investigation,” to assess the Otay Mesa Lot 7
Well. The scope of work included a geohydrologic evaluation of the well, analyses of the
water quality samples, management and review of the well video log, and documentation of
well pump testing. The primary findings, as documented in the report, formed the basis of the
following recommendations:
For the existing well to be use as a potable water supply resource, a sanitary seal must
be installed in accordance with the CDPH guidelines.
Drawdown in the well must be limited to avoid the possibility of collapsing the casing.
Recover from drawdown from pumping is slow and extraction would need to be
terminated for up to 2 days to allow for groundwater level recovery.
The well water would need to be treated and/or blended with potable water prior to
introduction into the potable water distribution system.
The existing Otay Mesa Lot 7 Well, based upon the above findings, was determined not to be
a reliable municipal supply of potable water and that better water quality and quantity perhaps
could be discovered deeper or at an alternative location within the San Diego Formation.
The Otay WD may still continue to pursue the Otay Mesa groundwater well opportunity with
due consideration of the recommendations of the existing report. Based on the
recommendations of the investigation report, a groundwater well production facility at Otay
Mesa Lot 7 could realistically extract approximately 300 acre-feet per year.
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Rancho del Rey Groundwater Well
In 1991, the McMillin Development Company drilled the Rancho del Rey Groundwater Well
to augment grading water supplies for their Rancho del Rey development projects. Although
the well was considered a “good producer,” little was known regarding its water quality and
sustainable yield because the water was used solely for earthwork (i.e., dust control and soil
compaction). The well was drilled to 865 feet, with a finished depth of 830 feet and produced
approximately 400 acre-feet per year of low quality water for four years until its use was
discontinued in April 1995 when the well was no longer needed. McMillin notified the Otay
WD of its intent to sell off the groundwater well asset.
In 1997, the Otay WD purchased an existing 7-inch well and the surrounding property on
Rancho del Rey Parkway from the McMillin Company with the intent to develop it as a
source of potable water. Treatment was required to remove salts and boron, among other
constituents, using reverse osmosis membranes and ion exchange.
In 2000, having received proposals for the design and construction of a reverse osmosis
treatment facility that far exceeded the allocated budget, the Board of Directors instructed
staff to suspend the project until such time as it became economically viable.
In January 2010, citing the rising cost of imported water and the Otay WD's interest in
securing its own water source for long-term supply reliability, the Board authorized Phase 1
for drilling and development of the Rancho del Rey Well.
On March 3, 2010, the Board adopted the Mitigated Negative Declaration for this project and
a Notice of Determination was filed with the County of San Diego on March 5, 2010. In
September 2010, a new 12-inch production well was drilled to a depth of 900 feet through the
groundwater formation and into fractured bedrock. Testing showed the long-term yield of the
new well to be 450 gpm, higher than previous studies had estimated. Separation Processes,
Inc. (SPI), a highly qualified membrane treatment firm, was hired to conduct a detailed
economic feasibility study to confirm that the annualized unit cost of the new water source
was economically competitive with other sources. The economic study estimated the unit
cost of water to be $1, 500 to $2,000 per acre-feet for an alternative that utilizes a seawater
membrane for treating both salts and boron. When compared with the current imported
treated water rate from the Water Authority, and with the knowledge that this rate will
continually increase as MWD and the Water Authority raise their rates, the Rancho del Rey
Well project appears to be economically viable.
The Otay WD is continuing to pursue the Rancho del Rey groundwater well opportunity with
due consideration of the recommendations of the existing reports and plans to develop a
groundwater well production facility to extract approximately 500 acre-feet per year. For
water planning purposes, production of groundwater from the Rancho del Rey well is
considered “additional planned” for local supplies. During preparation of this 2010 UWMP,
the Otay WD has contracted for design services for the wellhead treatment facilities.
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6.3.1.4 Otay Water District Desalination Project
The Otay WD is currently investigating the feasibility of purchasing desalinated water from a
seawater reverse osmosis plant that is planned to be located in Rosarito, Mexico, known as the
Otay Mesa Desalinated Water Conveyance System (Desalination) project. The treatment
facility is intended to be designed, constructed, and operated in Mexico by a third party. The
Otay WD’s draft Desalination Feasibility Study, prepared in 2008, discusses the likely issues
to be considered in terms of water treatment and monitoring, potential conveyance options
within the United States from the international border to potential delivery points, and
environmental, institutional, and permitting considerations for the Otay WD to import the
Desalination project product water as a new local water supply resource.
While the treatment facility for the Desalination project will likely not be designed or
operated by the Otay WD as the lead agency, it is important that the Otay WD maintain
involvement with the planning, design, and construction of the facility to ensure that the
implemented processes provide a product water of acceptable quality for distribution and use
within the Otay WD’s system as well as in other regional agencies’ systems that may use the
product water, i.e., City of San Diego, the Water Authority, etc. A seawater reverse osmosis
treatment plant removes constituents of concern from the seawater, producing a water quality
that far exceeds established United States and California drinking water regulations for most
parameters, however, a two-pass treatment system may be required to meet acceptable
concentrations of boron and chlorides, similar to the levels seen within the existing Otay WD
supply sources. The Desalination Feasibility Study addresses product water quality that is
considered acceptable for public health and distribution.
The Otay WD, or any other potential participating agencies, will be required to get approval
from the CDPH in order to use the desalinated seawater as a water source. Several alternative
approaches are identified for getting this approval. These alternatives vary in their cost and
their likelihood of meeting CDPH approval.
The Rosarito Desalination Facility Conveyance and Disinfection System Project report
addresses two supply targets for the desalinated water (i.e., local and regional). The local
alternative assumes that only Otay WD would participate and receive desalinated water, while
the regional alternative assumes that other regional and/or local agencies would also
participated in the Rosarito project.
On November 3, 2010, the Otay WD authorized the General Manager to enter into an
agreement with AECOM for the engineering design, environmental documentation, and the
permitting for the construction of the conveyance pipeline, pump station, and disinfection
facility to be constructed within the Otay WD. The supply target is assumed to be 50 MGD
while the ultimate capacity of the plant will be 100 MGD.
The Otay WD is proceeding with negotiations among the parties to establish water supply
resource acquisition terms through development of a Principles of Understanding document.
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6.3.2 Otay WD Capital Improvement Program
The Otay WD plans, designs, constructs, and operates water system facilities to acquire
sufficient supplies and to meet projected ultimate demands placed upon the potable and recycled
water systems. In addition, the Otay WD forecasts needs and plans for water supply
requirements to meet projected demands at ultimate build out. The necessary water facilities and
water supply projects are implemented and constructed when development activities proceed and
require service to achieve timely and adequate cost effective water service.
New water facilities that are required to accommodate the forecasted growth within the entire
Otay WD service area are defined and described within the Otay WD 2010 WRMP Revision.
These facilities are incorporated into the annual Otay WD Six Year Capital Improvement
Program (CIP) for implementation when required to support development activities. As major
development plans are formulated and precede through the land use jurisdictional agency
approval processes, Otay WD prepares water system requirements specifically for the proposed
development project consistent with the Otay WD 2010 WRMP Revision. These requirements
document, define, and describe all the potable water and recycled water system facilities to be
constructed to provide an acceptable and adequate level of service to the proposed land uses, as
well as the financial responsibility of the facilities required for service. The Otay WD funds the
facilities identified as CIP projects. Established water meter capacity fees and user rates are
collected to fund the CIP project facilities. The developer funds all other required water system
facilities to provide water service to their project.
Section 7 – Conclusion: Availability of Sufficient Supplies
The University Villages project is currently located within the jurisdictions of the Otay WD,
Water Authority, and MWD. To obtain permanent imported water supply service, land areas
are required to be within the jurisdictions of the Otay WD, Water Authority, and MWD to
utilize imported water supply.
The Water Authority and MWD have an established process that ensures supplies are being
planned to meet future growth. Any annexations and revisions to established land use plans
are captured in the San Diego Association of Governments (SANDAG) updated forecasts for
land use planning, demographics, and economic projections. SANDAG serves as the
regional, intergovernmental planning agency that develops and provides forecast information.
The Water Authority and MWD update their demand forecasts and supply needs based on the
most recent SANDAG forecast approximately every five years to coincide with preparation of
their urban water management plans. Prior to the next forecast update, local jurisdictions with
land use authority may require water supply assessment and/or verification reports for
proposed land developments that are not within the Otay WD, Water Authority, or MWD
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jurisdictions (i.e., pending or proposed annexations) or that have revised land use plans with
either lower or higher development intensities than reflected in the existing growth forecasts.
Proposed land areas with pending or proposed annexations, or revised land use plans,
typically result in creating higher demand and supply requirements than previously
anticipated. The Otay WD, Water Authority, and MWD next demand forecast and supply
requirements and associated planning documents would then capture any increase or decrease
in demands and required supplies as a result of annexations or revised land use planning
decisions.
MWD’s Integrated Resources Plan (IRP) identifies a mix of resources (imported and local)
that, when implemented, will provide 100 percent reliability for full-service demands through
the attainment of regional targets set for conservation, local supplies, State Water Project
supplies, Colorado River supplies, groundwater banking, and water transfers. The 2010
update to the IRP includes a planning buffer supply intended to mitigate against the risks
associated with implementation of local and imported supply programs and for the risk that
future demands could be higher than projected. The planning buffer identifies an additional
increment of water that could potentially be developed when needed and if other supplies are
not fully implemented as planned. As part of implementation of the planning buffer, MWD
periodically evaluates supply development, supply conditions, and projected demands to
ensure that the region is not under or over developing supplies. Managed properly, the
planning buffer will help ensure that the southern California region, including San Diego
County, will have adequate water supplies to meet long-term future demands.
In Section ES-5 of their 2010 RUWMP, MWD states that they have supply capacities that
would be sufficient to meet expected demands from 2015 through 2035. MWD has plans for
supply implementation and continued development of a diversified resource mix including
programs in the Colorado River Aqueduct, State Water Project, Central Valley Transfers,
local resource projects, and in-region storage that enables the region to meet its water supply
needs. MWD’s 2010 RUWMP identifies potential reserve supplies in the supply capability
analysis (Tables 2-9, 2-10, and 2-11), which could be available to meet the unanticipated
demands.
The County Water Authority Act, Section 5 subdivision 11, states that the Water Authority
“as far as practicable, shall provide each of its member agencies with adequate supplies of
water to meet their expanding and increasing needs.”
As part of preparation of a written water supply assessment report, an agency’s shortage
contingency analysis should be considered in determining sufficiency of supply. Section 11
of the Water Authority’s 2010 Updated UWMP contains a detailed shortage contingency
analysis that addresses a regional catastrophic shortage situation and drought management.
The analysis demonstrates that the Water Authority and its member agencies, through the
Emergency Response Plan, Emergency Storage Project, Carlsbad Desalination Project, and
Drought Management Plan (DMP) are taking actions to prepare for and appropriately handle
an interruption of water supplies. The DMP, adopted in May 2006, provides the Water
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Authority and its member agencies with a series of potential actions to take when faced with a
shortage of imported water supplies from MWD due to prolonged drought or other supply
shortfall conditions. The actions will help the region avoid or minimize the impacts of
shortages and ensure an equitable allocation of supplies.
The WSA&V Report identifies and describes the processes by which water demand
projections for the proposed University Villages project will be fully included in the water
demand and supply forecasts of the Urban Water Management Plans and other water
resources planning documents of the Water Authority and MWD. Water supplies necessary
to serve the demands of the proposed University Villages project, along with existing and
other projected future users, as well as the actions necessary and status to develop these
supplies, have been identified in the University Villages WSA&V Report and will be included
in the future water supply planning documents of the Water Authority and MWD.
This WSA&V Report includes, among other information, an identification of existing water
supply entitlements, water rights, water service contracts, water supply projects, or
agreements relevant to the identified water supply needs for the proposed Project. This
WSA&V Report assesses, demonstrates, and documents that sufficient water supplies are
planned for and are intended to be available over a 20-year planning horizon, under normal
conditions and in single-dry and multiple-dry years to meet the projected demand of the
proposed University Villages project and the existing and other planned development projects
to be served by the Otay WD.
Table 8 presents the forecasted balance of water demands and required supplies for the Otay
WD service area under average or normal year conditions. The total actual demand for FY
2012 was 35,423 acre-feet. The demand for FY 2012 is 3,482 acre-feet lower than the
demand in FY 2005 of 38,905 acre-feet. The drop in demand is a result of the unit price of
water, the conservation efforts of users as a result of the prolonged drought, and the economy.
Table 9 presents the forecasted balance of water demands and supplies for the Otay WD
service area under single-dry year conditions. Table 9 presents the forecasted balance of
water demands and supplies for the Otay WD service area under multiple-dry year conditions
for the three year period ending in 2015. The multiple-dry year conditions for periods ending
in 2023, 2028, and 2033 are provided in the Otay WD 2010 UWMP. The projected potable
demand and supply requirements shown the Tables 8 and 9 are from the Otay WD 2010
UWMP. Hot, dry weather may generate urban water demands that are about 6.4 percent
greater than normal. This percentage was utilized to generate the dry year demands shown in
Table 9. The recycled water supplies are assumed to experience no reduction in a dry year.
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
57
Table 8
Projected Balance of Water Demands and Supplies Normal Year Conditions (acre-feet)
Description FY 2015 FY 2020 FY 2025 FY 2030 FY 2035
Demands
Otay WD Demands 44,883 53,768 63,811 70,669 77,171
Freeway Commercial Demands 127 127 127 127 127
Village 2 Demands 529 529 529 529 529
University Villages Demands 41 41 41 41 41
Additional Conservation Target 0 (7,447) (13,996) (17,895) (20,557)
Total Demand 45,580 47,018 50,512 53,472 57,311
Supplies
Water Authority Supply 40,483 41,321 44,015 45,974 48,614
Water Authority Accelerated Forecast
Growth Increment 697 697 697 697 697
Recycled Water Supply 4,400 5,000 5,800 6,800 8,000
Total Supply 45,580 47,018 50,512 53,472 57,311
Supply Surplus/(Deficit) 0 0 0 0 0
The 697 (127+529+41) AFY increase in demand is accounted for through the Accelerated Forecasted
Growth demand increment of the Water Authority’s 2010 UWMP.
Table 9 presents the forecasted balance of water demands and supplies for the Otay WD
service area under single-dry year and multiple-dry year conditions as from the Otay WD
2010 UWMP.
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
58
Table 9
Projected Balance of Water Demands and Supplies
Single-Dry and Multiple-Dry Year Conditions (acre-feet)
Normal
Year
Single-
Dry Year
Multiple-Dry Years
FY 2011 FY 2012 FY 2013 FY 2014 FY 2015
Demands
OWD Demands 37,176 41,566 43,614 46,385 50,291
Total Demand 37,176 41,566 43,614 46,385 50,291
Supplies
Water Authority Supply 33,268 37,535 39,460 42,108 45,891
Recycled Water Supply 3,908 4,031 4,154 4,277 4,400
Total Supply 37,176 41,566 43,614 46,385 50,291
Supply Surplus/(Deficit) 0 0 0 0 0
District Demand totals with SBX7-7 conservation target achievement plus single-dry year increase as shown.
The Water Authority could implement its DMP. In this instances, the Water Authority may have to allocate supply
shortages based on it equitable allocation methodology in its DMP.
Dry year demands assumed to generate a 6.4% increase in demand over normal conditions for
each year in addition to new demand growth.
Table 9 also presents the forecasted balance of water demands and supplies for the Otay WD
service area under multiple-dry year conditions for the three year period ending in 2015.
In evaluating the availability of sufficient water supply, the University Villages project
development proponents will be required to participate in the development of alternative
water supply project(s). This can be achieved through payment of the New Water Supply Fee
adopted by the Otay WD Board in May 2010. These water supply projects are in addition to
those identified as sustainable supplies in the current Water Authority and MWD UWMP,
IRP, Master Plans, and other planning documents. These new water supply projects are in
response to the regional water supply issues related to climatological, environmental, legal,
and other challenges that impact water source supply conditions, such as the court rulings
regarding the Sacramento-San Joaquin Delta and the current ongoing western states drought
conditions. These new additional water supply projects are not currently developed and are in
various stages of the planning process. The Otay WD water supply development program
includes, but is not limited to, projects such as the Middle Sweetwater River Basin
Groundwater Well project, the North District Recycled Water Supply Concept, the Otay WD
Desalination project, and the Rancho del Rey Groundwater Well project. The Water
Authority and MWD’s next forecasts and supply planning documents would capture any
increase in water supplies resulting from any new water resources developed by the Otay WD.
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
59
The Otay WD acknowledges the ever-present challenge of balancing water supply with
demand and the inherent need to possess a flexible and adaptable water supply
implementation strategy that can be relied upon during normal and dry weather conditions.
The responsible regional water supply agencies have and will continue to adapt their resource
plans and strategies to meet climate, environmental, and legal challenges so that they may
continue to provide water supplies to their service areas. The regional water suppliers along
with Otay WD fully intend to maintain sufficient reliable supplies through the 20-year
planning horizon under normal, single-dry, and multiple-dry year conditions to meet projected
demand of the University Villages project, along with existing and other planned development
projects within the Otay WD service area.
This WSA&V Report assesses, demonstrates, and documents that sufficient water supplies are
planned for and are intended to be acquired, as well as the actions necessary and status to
develop these supplies, to meet projected water demands of the University Villages project as
well as existing and other reasonably foreseeable planned development projects within the
Otay WD for a 20-year planning horizon, in normal and in single-dry and multiple-dry years.
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
60
Source Documents
City of Chula Vista, Otay Ranch Villages 3 North, a Portion of 4, 8 East, and 10 SB 610 and
SB 221 Compliance request letter received August 20, 2013.
City of Chula Vista, “Otay Ranch General Development Plan/Sub-regional Plan, The Otay Ranch
Joint Planning Project,” October 1993 amended June 1996.
County of San Diego, “East Otay Mesa Specific Plan Area,” adopted July 27, 1994.
Otay Water District, “2010 Water Resources Master Plan Update,” Dated November, 2010.
Atkins and Otay Water District, “Otay Water District 2010 Urban Water Management Plan,”
June 2011.
Camp Dresser & McKee, Inc., “Otay Water District Integrated Water Resources Plan,” March
2007
San Diego County Water Authority, “Urban Water Management Plan 2005 Update,”
November 2005 amended May 2007.
Metropolitan Water District of Southern California, “Regional Urban Water Management
Plan,” November 2005.
Dexter Wilson Engineering, Inc., “Overview of Water Service for Otay Ranch Villages 3
North, a Portion of 4, 8 East, and 10,” August, 2013.
Camp Dresser & McKee, Inc., “Rosarito Desalination Facility Conveyance and Disinfection
System Project,” June 21, 2010.
PBS&J, “Draft Otay Water District North District Recycled Water System Development
Project, Phase I Concept Study,” December 2008.
NBS Lowry, “Middle Sweetwater River System Study Water Resources Audit,” June 1991.
Michael R. Welch, “Middle Sweetwater River System Study Alternatives Evaluation,” May
1993.
Michael R. Welch, “Middle Sweetwater River Basin Conjunctive Use Alternatives,”
September 1994.
Geoscience Support Services, Inc., “Otay Mesa Lot 7 Well Investigation,” May 2001.
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages 3 North, a Portion of 4, 8 East, and 10)
61
Boyle Engineering Corporation, “Groundwater Treatment Feasibility Study Ranch del Ray
Well Site,” September 1996.
Agreement for the Purchase of Treated Water from the Otay Water Treatment Plant between
the City of San Diego and the Otay Water District.
Agreement between the San Diego County Water Authority and Otay Water District regarding
Implementation of the East County Regional Treated Water Improvement Program.
Agreement between the San Diego County Water Authority and Otay Water District for
Design, Construction, Operation, and Maintenance of the Otay 14 Flow Control Facility
Modification.
Agreement between the Otay Water District and the City of San Diego for Purchase of
Reclaimed Water from the South Bay Water Reclamation Plant.
Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages3 North, a Portion of 4, 8 East, and 10)
1
Appendix A
Otay Ranch University Villages Regional Location Map
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Otay Water District
Water Supply Assessment and Verification Report
Otay Ranch University Villages (Villages3 North, a Portion of 4, 8 East, and 10)
2
Appendices B1, B2, B3
Otay Ranch University Villages Proposed Development Plan
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SPA BOUNDARY
Otay Water District Board of Directors Meeting November 6, 2013
Water Supply Assessment & Verification Report for
Otay Ranch University Villages Project
&
Village 2 SPA Amendment
SB 610 & SB 221 Compliance
EXHIBIT D
University Villages
Village 2
BACKGROUND
Senate Bills 610 and 221 became effective on
January 1, 2002, with the primary intent to improve
the link between water supply availability and land
use decisions.
SB 610 Water Supply Assessment (WSA): Requires water purveyor to prepare a Water Supply
Assessment Report for inclusion in agency CEQA
documentation.
SB 221 Water Supply Assessment & Verification
(WSA&V): Requires water purveyor to prepare a Water Supply
Assessment & Verification Report for inclusion in
agency CEQA documentation. Board approval required for submittal of the WSA&V
Report to City of Chula Vista.
2
Otay Ranch University Villages Project
Total Water Demand
Potable – 2,393 AFY / Recycled - 616 AFY , 41 AFY Increase
Village 3 & a
portion of Village 4
Pedestrian & transit oriented village
1,597 homes around a mixed use core (1002 SF
homes / 585 MF units)
20,000 sq. ft. retail
commercial
Elementary School
Park site
Non-residential areas include open space & open space preserve, office space & light industrial
3
Village 8 East
Pedestrian oriented urban
village
3,560 mixed-density residential (963 SF / 2,497 MF units)
20,000 sq. ft. commercial retail
Elementary school
Neighborhood park
Open space – 11 acres
4
Village 10
Pedestrian oriented urban
village
1,740 mixed-density residential (692 SF / 1,048 MF units)
Elementary school
Neighborhood park
Small private recreation sites (Community Park
Facilities (CPF))
16.5 acres of open space preserve
5
Otay Ranch Village 2 SPA
Amendment
Split into many ownerships,
Baldwin & Sons is majority owner
Amendment of Sectional Planning
Area Plan requires updated WSA&V
Addition of 1,564 residential units, elementary school,
park, & CPF sites
Water Supply Assessment & Verification
Report
The regional and local water supply agencies
acknowledge the challenges and fully intend to
develop sufficient, reliable supplies to meet
demands.
Water suppliers recognize additional water supplies
are necessary and portfolios need to be reassessed
and redistributed with intent to serve existing and
future needs.
6
Water Supply Assessment & Verification
Report
The Report documents the planned water supply
projects and the actions necessary to develop the
supplies.
Water supply for the Projects and for existing and
future developments within the District for a 20-
year planning horizon, under normal and in single-
dry and multiple-dry years, are planned for and
are intended to be made available.
7
Otay Water District
8
Planned Local Water Supply Projects Supply (AF)
Rancho del Rey Groundwater Well 500
Rosarito Ocean Desalination Project 20,000-50,000
Otay Mesa Lot 7 Groundwater Well 300
Otay Mesa Recycled Water Supply Link
Project 800
Water Authority Supplies
WATER AUTHORITY
SUPPLIES (AFY) 2015 2020 2025 2030 /
2035
IID Water Transfer 100,000 190,000 200,000 200,000
ACC and CC Lining 80,200 80,200 80,200 80,200
Carlsbad Desalination 0 56,000 56,000 56,000
Sub-Total: 180,200 326,200 336,200 336,200
Source: Table 9-1 Water Authority 2010 UWMP
9
10
Otay Water District
Projected Balance of Supply and Demand
Description FY 2015 FY 2020 FY 2025 FY 2030 FY 2035
Demands
Otay WD Demands 44,883 53,768 63,811 70,669 77,171
Univ. Villages Demands 41 41 41 41 41
Village 2 Demands 529 529 529 529 529
Freeway Commercial Demands 127 127 127 127 127
Additional Conservation Target 0 (7,447) (13,996) (17,895) (20,557)
Total Demand 45,580 47,018 50,512 53,472 57,311
Supplies
Water Authority Supply 40,483 41,321 44,015 45,974 48,614
Water Authority Accel. Forecast
Growth Increment 697 697 697 697 697
Recycled Water Supply 4,400 5,000 5,800 6,800 8,000
Total Supply 45,580 47,018 50,512 53,472 57,311
Supply Surplus/(Deficit) 0 0 0 0 0
The 697 (41+529+127 ) AFY increase in demand is accounted for through the Accelerated
Forecasted Growth demand increment of the Water Authority’s 2010 UWMP.
Source: Table 8 of the Otay Ranch University Villages & Otay Ranch Village 2 SPA Amendment WSA&V Report.
CONCLUSION
Water demand and supply forecasts are
included in the planning documents of MWD,
Water Authority, and the Otay Water District.
Actions necessary to develop the identified
water supplies are documented.
The Otay Ranch University Villages Project &
the Otay Ranch Village 2 SPA Amendment SB
610 & SB 221 WSA&V Reports demonstrate and
document that sufficient water supplies are
planned for and are intended to be available
over the next 20 years.
12
It is believed that the Board has met the intent
of SB 610 & SB 221 statute in that:
1)Land use agencies and water suppliers
have demonstrated strong linkage.
2)The Otay Ranch University Villages
Project and the Otay Ranch Village 2
SPA Amendment Water Supply
Assessment & Verification Reports
clearly document the current water
supply situation.
CONCLUSION
(continued)
13
STAFF RECOMMENDATION
That the Board of Directors approve Senate Bills 610
& 221 Water Supply Assessment & Verification Report
dated September 2013 for the Otay Ranch University
Villages Project and the Otay Ranch Village 2 SPA
Amendment.
14
QUESTIONS?
STAFF REPORT
TYPE MEETING: Regular Board Meeting MEETING DATE: November 6, 2013
SUBMITTED BY: Mark Watton,
General Manager
W.O./G.F. NO: DIV. NO.
APPROVED BY:
Susan Cruz, District Secretary
Mark Watton, General Manager
SUBJECT: Board of Directors 2013 and 2014 Calendar of Meetings
GENERAL MANAGER’S RECOMMENDATION:
At the request of the Board, the attached Board of Director’s meeting
calendars for 2013 and 2014 is being presented for discussion.
PURPOSE:
This staff report is being presented to provide the Board the
opportunity to review the 2013 and 2014 Board of Director’s meeting
calendars and amend the schedule as needed.
COMMITTEE ACTION:
N/A
ANALYSIS:
The Board requested that this item be presented at each meeting so
they may have an opportunity to review the Board meeting calendar
schedule and amend it as needed.
STRATEGIC GOAL:
N/A
FISCAL IMPACT:
None.
LEGAL IMPACT:
None.
Attachments: Calendar of Meetings for 2013 and 2014
G:\UserData\DistSec\WINWORD\STAFRPTS\Board Meeting Calendar 11-6-13.doc
AGENDA ITEM 10a
Board of Directors, Workshops
and Committee Meetings
2013
Regular Board Meetings:
Special Board or Committee Meetings (3rd
Wednesday of Each Month or as Noted)
January 8, 2013
February 6, 2013
March 6, 2013
April 3, 2013
May 1, 2013
June 5, 2013
July 3, 2013
August 7, 2013
September 4, 2013
October 2, 2013
November 6, 2013
December 4, 2013
January 16, 2013
February 20, 2013
March 20, 2013
April 17, 2013
May 15, 2013
June 19, 2013
July 17, 2013
August 21, 2013
September 18, 2013
October 16, 2013
November 20, 2013
SPECIAL BOARD MEETINGS:
BOARD WORKSHOPS:
Board of Directors, Workshops
and Committee Meetings
2014
Regular Board Meetings:
Special Board or Committee Meetings (3rd
Wednesday of Each Month or as Noted)
January 1, 2014
February 5, 2014
March 5, 2014
April 2, 2014
May 7, 2014
June 4, 2014
July 2, 2014
August 6, 2014
September 3, 2014
October 1, 2014
November 5, 2014
December 3, 2014
January 15, 2014
February 19, 2014
March 19, 2014
April 16, 2014
May 21, 2014
June 18, 2014
July 16, 2014
August 20, 2014
September 17, 2014
October 15, 2014
November 19, 2014
December 17, 2014
SPECIAL BOARD MEETINGS:
BOARD WORKSHOPS:
STAFF REPORT
TYPE MEETING: Regular Board MEETING DATE: November 6, 2013
SUBMITTED BY:
Kevin Koeppen, Finance Manager
PROJECT: DIV. NO. All
APPROVED BY:
Joseph R. Beachem, Chief Financial Officer
German Alvarez, Assistant General Manager
Mark Watton, General Manager
SUBJECT: Retiree Healthcare Benefits - Review of the Actuarial Report
and Net Cost of the Enhancement of the Retiree Healthcare
Benefits
GENERAL MANAGER’S RECOMMENDATION:
This staff report is an informational item that provides findings to
the Board of Directors regarding:
1. The latest actuarial valuation performed as of June 30, 2013.
2. The actuarial evaluation determining the net cost or savings of
the Other Post Employment Benefit (OPEB) plan enhancement versus
the increased employee contributions to PERS.
COMMITTEE ACTION:
See Attachment A.
PURPOSE:
Every two years the District is required to hire an Actuary to
perform a study that determines the cost of the District’s OPEB Plan.
The District has received the 2013 Actuarial Report prepared by
Bartel Associates, LLC. This staff report is an informational item
that reviews the key findings of the Actuarial report. This study is
what determines the District’s Annual Required Contribution (ARC)
which is reported in the District’s financial statements. In
AGENDA ITEM 11a
2
addition to the typical information found in an actuarial study,
Bartel Associates was asked to evaluate the status of the cost and
benefit of the increased employee contributions to PERS and the
enhancement of the OPEB benefits.
ANALYSIS:
Since the 2011 OPEB change, staff has reported to the Board on two
occasions regarding the net savings status. In each report the
savings exceeded the costs. Due to changes in the actuarial
assumptions the net costs are now anticipated to exceed the projected
benefit by $43,000 in FY 2014. The cost of the benefit enhancement
is projected to be $937,000 while the savings from the increased
employee PERS contributions is projected to be $894,000. The net
cost to the District, projected by the Actuary, will increase
slightly over the foreseeable future.
Using the new assumptions the unrepresented employees continue to
have a positive net savings to the District of $7,000 a year. This
savings is expected to grow slightly over time. The net savings of
the plan change and contributions for the represented employees has
moved to a slight negative of -$50,000. This cost is expected to
grow slightly over time.
The Actuary has made a number of assumption changes that have
increased the AAL (Actuarial Accrued Liability) and the ARC (Annual
Required Contribution). The most significant changes are in medical
costs and the mortality tables. These along with other changes have
increased the ARC by $173,000 in FY 2014 from $1,266,000 to
$1,439,000 and have increased the AAL by $2.2 million. These changes
also have a negative effect on the current funding level of the
Trust. However, another assumption change has an even greater
positive effect on the future ARC and Trust funding levels.
Since the creation of the Trust the District has not only paid the
ARC but has also paid the retiree medical premiums. Because of these
payments the retiree medical premiums are not paid from the Trust
resulting in an accelerated funding level. The prior actuarial study
did not assume the continued payment of those premiums by the
District. However, the District has continued to budget for these
costs and in this actuarial study the assumption has been changed to
reflect the budgeted and projected funding levels.
With all the assumption changes, the actuarial study shows the OPEB
trust funding level increasing rapidly from the current 52% to 83%
over the six-year budget plan, FY 2014 to FY 2019. The prior
actuarial study anticipated the funding level to be only 73% by
3
FY 2019. This budgeted rate of funding has the added benefit of
significantly reducing the District’s ARC payments over time.
Staff did not account for a decreasing ARC in the budgeting process.
As a result of this and the general conservative budgeting of OPEB
costs, the District’s rate modeling for OPEB funding is greater than
the actuarially projected costs in all but the current fiscal year.
In the current year, with the assumption changes the budgeted funding
is approximately $69,000 lower than the projected cost. In the next
fiscal year, FY 2015, the projected budget is expected to exceed the
projected cost by $80,000. Staff will adjust down the future funding
projections in the next budget process to match the newest actuarial
projected costs. After all assumption and projection changes are
factored into the actuarial calculations, the funding level of the
OPEB Trust is expected to reach 100% by fiscal 2023.
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
For FY14 the updated OPEB costs including the ARC and the retiree
medical premiums exceeds the budgeted OPEB funding by $69,000. As
the additional funding of the Trust is not required, the budgeted
amount does not require an adjustment. Only the budgeted amount will
be paid into the OPEB Trust.
STRATEGIC GOAL:
The District ensures its continued financial health through long-term
financial planning.
LEGAL IMPACT:
N/A
Attachments:
A – Committee Action
B – Actuarial Valuation Report
ATTACHMENT A
SUBJECT/PROJECT:
Retiree Health Care Benefits - Review of the Actuarial
Report and Net Cost of the Enhancement of the Retiree
Healthcare Benefits
COMMITTEE ACTION:
The Finance, Administration and Communications Committee reviewed this
item at a meeting held on October 22, 2013 and the following comments
were made:
Staff indicated that this was an informational item to review the
Actuarial Report and Net Cost of the Other Post Employment Benefit
(OPEB) enhancement performed by Bartell Associates.
Every two years the District is required to have an actuarial
study performed to determine the cost of the OPEB Plan. The
latest valuation was performed as of June 30, 2013 and covers
Fiscal Year’s 2014 and 2015.
In addition, the District requested that the actuaries perform an
evaluation of the cost associated with the enhanced OPEB plan and
the benefit of the increased employee contributions to PERS.
It was indicated that the most significant changes that impacted
the actuarial results were increased medical costs and longer
mortality tables. While these two changes negatively impacted the
results, an assumption change for the continuation of the
District’s accelerated funding, provides a significant positive
effect on the future ARC and Trust funding levels.
These assumption changes result in an increase of $173,000 in
the FY 2014 ARC and a $2.2 million increase in the Accrued
Actuarial Liability.
In addition, as a result of a change in these assumptions,
the costs of the OPEB enhancement are anticipated to exceed
the benefits of the additional employee PERS contribution by
$43,000 in FY14. This net cost is expected to grow slightly
over time.
The District’s plan to continue the accelerated funding, by
paying the retiree medical premiums, results in a long-term
benefit by significantly reducing the District’s ARC payments
over time.
As a result, the current study projects the funding
level to reach 83% over six years, which is a 10%
increase versus the previous report (completed in 2011)
and the plan is now expected to be 100% funded by 2023.
When compared to budget, the FY 2014 OPEB costs per the actuarial
study, exceeds the budgeted costs by $69,000. However, the
discretionary nature of the accelerated funding allows the
District to limit its costs to the budgeted amounts and not incur
the additional cost. For FY 2015 the costs, per the actuarial
study, are $80,000 less than budget and the budget will be
adjusted accordingly in the 2015 budget process.
The committee observed that the District’s OPEB Trust is
approximately 52% funded and inquired how this compares with other
agencies. Staff indicated that the District has not surveyed the
agencies recently, but the District is probably in the top half in
terms of funding. The District will fully fund its OPEB Trust
more rapidly than other agencies. The District’s Actuary had
indicated that most of the agencies will be fully funded in
approximately 30 years versus the District, which will be fully
funded in 2023 (approximately 10 years).
The committee inquired if staff would be able to provide, at the
November 6, 2013 board meeting, information on the funding status
of other agencies’ OPEB Trust Funds. Staff will provide the
information at the board meeting.
In response to an inquiry from the committee, staff indicated that
the changes are noted on slide 22 of the actuarial report.
Compared to the last study in 2011, the actuary increased the rate
at which medical costs are increasing and improved the mortality
rate (employee/retirees are living longer).
In response to another inquiry from the committee, it was
indicated that the OPEB plan definitions did not change from 2011,
the only changes are the assumptions made by the actuary, i.e.,
increasing healthcare costs and the life expectancy of
employees/retirees. Also there was a correction with regard to
surviving spouse coverage for retirees who retired prior to the
changes that occurred in 2011. The actuary had not included it in
their assumptions in the last study and has included it this
study.
Following the discussion, the committee supported staffs’
recommendation and presentation to the full board as an informational
item.
OTAY WATER DISTRICT
RETIREE HEALTHCARE PLAN
June 30, 2013 GASB 45 Actuarial Valuation
Preliminary Results
Bartel Associates, LLC
John E. Bartel, President
Joseph R. D’Onofrio, Assistant Vice President
Adam Zimmerer, Actuarial Analyst
Cathy Wandro, Assistant Vice President
Revised October 11, 2013
O:\Clients\Otay Water District\Projects\OPEB\2013\Reports\BA OtayWD 13-10-11 OPEB 13-06-30 preliminary valuation results.docx
AGENDA
Topic Page
Benefit Summary 1
Data Summary 6
Assets 9
Assumptions & Methods Highlights 13
Results 21
Bartel Associates OPEB Database 45
Other Issues 48
Next Steps 49
Exhibits 50
October 11, 2013 1
BENEFIT SUMMARY
Eligibility Full-time employees who retire directly from District under
CalPERS (age 50 and 5 years of CalPERS service or disability)
Hired < 1/1/81 - Age 55 and 5 years of District service1
Hired ≥ 1/1/81 & < 7/1/93 and General Manager - Age 55 and
age plus District service ≥ 701
Hired ≥ 7/1/93 & < 1/1/13 - Age 55 and 20 years of District
service (15 years for Unrepresented)
Hired ≥ 1/1/13 - Age 55 & 20 years of District service
Directors
Elected < 1/1/95 - Age 60 and 12 years of District service2
Elected ≥ 1/1/95 - Not eligible
District service for eligibility is continuous service from last
hire date
Medicare eligible retirees and spouses must enroll in Medicare
Medical Plans EPO, PPO, and HMO available before Medicare eligibility
Only PPO available after Medicare eligibility
1 All full-time employees hired before 7/1/93 and continuously working for the District have 20 or more years of District service
on 6/30/13. Two active employees were hired before 1/1/81 and 10 active employees were hired between 1/1/81 and 7/1/93.
2 There are 2 retired Directors.
October 11, 2013 2
BENEFIT SUMMARY
Medical & Dental 100% of retiree premium for life
Retired < 12/29/03 - 100% spouse premium for life and 100%
eligible dependent premium to age 19
Retired ≥ 12/29/03 - 88% of spouse premium for life and 88%
eligible dependent premium to age 19
Retiree can pay eligible dependent premium after age 19 as
required by law
Eligible Directors - 100% of family premium for life
Survivors
Unrepresented
Retired < 7/15/11
Represented
Retired < 8/10/11
Directors
Elected < 1/1/95
Retired < 12/29/03 and Directors elected < 1/1/95 - 100%
spouse premium and 100% eligible dependent premium to
age 19
Retired ≥ 12/29/03 - 88% of spouse premium and eligible
dependent premium to age 19
Spouse coverage after retiree death but not past spouse age 65
Eligible dependent can pay full premium after age 19 as
required by law
Survivor benefit available to actives eligible to retire
October 11, 2013 3
BENEFIT SUMMARY
Survivors
Unrepresented
Retired ≥ 7/15/11
Represented
Retired ≥ 8/10/11
88% of spouse premium for life and eligible dependent
premium to age 19
Eligible dependent can pay full premium after age 19 as
required by law
Survivor benefit available to actives eligible to retire
October 11, 2013 4
BENEFIT SUMMARY
Disability &
Hardship
Disability - Age 50 and10 years of District service
Hardship
Hired < 1/1/13 - Hardship as determined by the District and
20 years of District service (15 years for Unrepresented)
Hired ≥ 1/1/13 - Hardship as determined by the District and
20 years of District service
Early retirement adjustment to benefit:
Age Percent
50 70%
51 76%
52 82%
53 88%
54 94%
≥55 100%
Life Insurance Retired < 12/29/03 - $3,000 for retiree to age 70
Retired < 12/29/03 & hired < 1/1/81 - $1,000 for spouse to
retiree age 70
Directors not eligible
October 11, 2013 5
BENEFIT SUMMARY
District Pay-As-
You-Go Cost
(‘000s)
Fiscal
Year
Cash
Subsidy
PayGo
Implied
Subsidy
PayGo
CERBT
PayGo
Total
PayGo
CAFR
PayGo
2012/13 $809 $86 $0 $895 n/a
2011/12 750 91 0 841 $841
2010/11 654 99 0 753 753
District
Contributions3
(‘000s)
Fiscal
Year
Cash
Subsidy
PayGo
Implied
Subsidy
PayGo
CERBT
Funding
Total
Contrib ARC
2012/13 $809 $86 $1,287 $2,182 $1,287
2011/12 750 91 1,304 2,145 1,304
2010/11 654 99 289 1,042 289
3 District’s current funding policy is to prefund full ARC with CERBT and additionally pay benefit payments as due from
District assets.
October 11, 2013 6
DATA SUMMARY
Participants
Valuation Date 6/30/07 6/30/09 6/30/11 6/30/13
Actives
Count 164 160 150 137
Average Age 44.3 44.8 46.5 46.5
Average District Service 7.5 8.4 10.2 9.5
Average Pay $68,873 $76,634 $80,784 $87,366
Total Payroll (000’s) 10,951 11,878 12,118 11,969
Waived Medical Coverage 10 10 9 8
Total Participating 154 150 141 129
Retirees
Count 67 69 69 80
Average Age 67.5 67.7 68.7 68.5
Ave Retirement Age 59.5 59.0 58.5 58.3
October 11, 2013 7
DATA SUMMARY
Active Participants
Active Participants 6/30/11 6/30/13
Unrepresented
Executive 8 7
Confidential 10 8
Confidential Management 3 3
Manager 9 9
Supervisor 12 9
Total Unrepresented 42 36
Represented
Administrative 54 50
Field 54 51
Total Represented 108 101
Total Actives 150 137
October 11, 2013 8
DATA SUMMARY
Active Participants
Valuation Date June 30, 2011 June 30, 2013
Employee Group Unrep Rep Total Unrep Rep Total
Actives
Count 42 108 150 36 101 137
Average Age 49.0 45.5 46.5 48.0 45.9 46.5
Average Service 12.6 8.7 9.8 11.6 8.7 9.5
Average Pay $114,543 $67,655 $80,784 $123,826 $74,371 $87,366
Total Payroll (000’s) 4,811 7,307 12,118 4,458 7,511 11,969
Waived Med Coverage 2 7 9 1 7 8
Total Participating 40 101 141 35 94 129
October 11, 2013 9
ASSETS
Market Value of Plan Assets
(Amounts in 000’s)
Market Value of Assets 2008/09 2009/10 2010/11 2011/12 2012/13
Market Value at Beginning of Year $5,611 $5,228 $6,372 $8,258 $9,595
CERBT Contributions 873 345 289 1,304 1,287
District PayGo Contributions4 608 598 654 750 809
Investment Earnings (1,252) 805 1,606 43 1,135
District Benefit Payments (608) (598) (654) (750) (809)
Administrative Expenses (4) (6) (9) (10) (16)
Market Value at End of Year 5,228 6,372 8,258 9,595 12,001
Market Value Est Net Return5 (21.2%) 15.1% 24.5% 0.38% 11.2%
CERBT Net Annual Return (23.0%) 15.9% 25.0% 0.15% 11.8%
4 Cash benefit payments made directly from District assets. Excludes implied subsidy payments. 5 Includes the impact of cash flow timing.
October 11, 2013 10
ASSETS
Actuarial Value of Plan Assets
(Amounts in 000’s)
Actuarial Value of Assets 2008/09 2009/10 2010/11 2011/12 2012/13
Actuarial Value at Beginning of Year $5,861 $6,273 $6,962 $7,893 $9,762
Cash Contributions 1,481 943 943 2,054 2,096
Expected Net Earnings 478 491 550 608 739
Benefit Payments (608) (598) (654) (750) (809)
Expected AVA at End of Year 7,212 7,109 7,801 9,804 11,788
Market Value at End of Year 5,228 6,372 8,258 9,595 12,001
MVA - Expected AVA (1,984) (737) 456 (209) 212
1/5 of (MVA - Expected AVA) (397) (147) 91 (42) 42
Preliminary AVA 6,815 6,962 7,893 9,762 11,831
Minimum AVA (80% of MVA) 4,182 5,098 6,606 7,676 9,601
Maximum AVA (120% of MVA) 6,273 7,647 9,909 11,514 14,401
Actuarial Value at End of Year 6,273 6,962 7,893 9,762 11,831
Actuarial Value Est Net Return (7.5%) 5.4% 9.0% 7.0% 7.9%
AVA/MVA 120% 109% 96% 102% 99%
October 11, 2013 11
ASSETS
2
4
6
8
10
12
14
16
6/30/08 6/30/09 6/30/10 6/30/11 6/30/12 6/30/13
Mi
l
l
i
o
n
s
o
f
D
o
l
l
a
r
s
Valuation Date
Actuarial Value of Assets
(Millions of Dollars)
MVA AVA 80% MVA 120% MVA
October 11, 2013 12
ASSETS
This page intentionally blank
October 11, 2013 13
ASSUMPTIONS AND METHODS HIGHLIGHTS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Valuation Date June 30, 2011
2011/12 & 2012/13 ARCs
June 30, 2013
2013/14 & 2014/15 ARCs
Discount Rate 7.25% - Full ARC funding with
CERBT #1
Includes 0.36% margin for
adverse deviation
7.61% is expected long-term
return
Same
October 11, 2013 14
ASSUMPTIONS AND METHODS HIGHLIGHTS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Funding Policy Fund full ARC with CERBT
Fund #1
ARC plus benefit payments for
2011/12
Prefund full ARC with CERBT
Fund #1 plus budgeted benefit
payments from District assets
Portion of employees’
CalPERS member contribution
offsets District OPEB cost:
Hired < 1/1/13:
- Represented - .75% of
pay
- Unrepresented - None
Hired ≥ 1/1/13:
- Represented - 8.75% of
pay less CalPERS
member contribution
- Unrepresented - 8% of
pay less CalPERS
member contribution
Not reflected in valuation
October 11, 2013 15
ASSUMPTIONS AND METHODS HIGHLIGHTS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Medical Trend
Calendar
Year
Increase from Prior Year
Non-Medicare Medicare
All Plans
2011 Premiums2012 9.5% 10.0%2013 9.0% 9.4%2014 8.5% 8.9%2015 8.0% 8.3%2016 7.5% 7.8%2017 7.0% 7.2%2018 6.5% 6.7%2019 6.0% 6.1%2020 5.5% 5.6%2021+ 5.0% 5.0%
Calendar year premiums used
for following fiscal year
Calendar
Year
Increase from Prior Year
Non-Medicare Medicare
All Plans
2011 n/a 2012 n/a 2013 Premiums2014 Premiums 2015 8.0% 8.3% 2016 7.5% 7.8% 2017 7.0% 7.2% 2018 6.5% 6.7% 2019 6.0% 6.1% 2020 5.5% 5.6%2021+ 5.0% 5.0%
Calendar year premiums
prorated for fiscal year
October 11, 2013 16
ASSUMPTIONS AND METHODS HIGHLIGHTS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Mortality,
Termination,
Disability
CalPERS 1997-2007
Experience Study
CalPERS 1997-2007
Experience Study
Mortality improvement
projection Scale AA. Sample
annual longevity increases:
Age Male Female
50 1.8% 1.7%
60 1.6% 0.5%
70 1.5% 0.5%
80 1.0% 0.7%
October 11, 2013 17
ASSUMPTIONS AND METHODS HIGHLIGHTS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
District Service
for Retirement
Hired < 1/1/81 - 5 years of
District service
Hired ≥ 1/1/81 & < 7/1/93 and
General Manager - Age plus
District service ≥ 70
Hired ≥ 7/1/93:
Unrepresented employees -
15 years of District service
Represented employees - 18
years of District
Hired < 1/1/81 - 5 years of
District service
Hired ≥ 1/1/81 & < 7/1/93 and
General Manager - Age plus
District service ≥ 70
Hired ≥ 7/1/93:
Unrepresented employees:
- Hired < 1/1/13 - 15 years
of District service
- Hired ≥ 1/1/13 - 20 years
of District service
Represented employees:
- 20 years of District service
5 years of District service if
employee does not have 15 or
20 years of service at age 65
October 11, 2013 18
ASSUMPTIONS AND METHODS HIGHLIGHTS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Service
Retirement
CalPERS 1997-2007
Experience Study
CalPERS Benefit 2.7%@55
CalPERS Hire Age 35
Expected Retire Age 58.1
CalPERS 1997-2007
Experience Study6
CalPERS Misc ERA
CalPERS Hire Age 35
Hire < 1/1/13 2.7%@55 58.1
Hire ≥ 1/1/13
Classic Member 2.7%@55 58.1
New Member 2.0%@62 60.9
Hardship
Retirements
5% of employees eligible to
retire at ages 50 through 54
Same
Participation at
Retirement
Currently covered and waived
Medical - 100%
Dental - 80%
Currently covered and waived
Medical - 100%
Dental - 100%
6 Expected Retirement Ages (ERA) for new member formulas based on CalPERS retirement assumptions for its AB 340
(PEPRA) actuarial cost analysis.
October 11, 2013 19
ASSUMPTIONS AND METHODS HIGHLIGHTS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Medical Plan at
Retirement
Currently covered:
Current plan election until
Medicare eligible
PPO after Medicare eligible
Waived actives - PPO
Waived retirees - n/a
Same
Preretirement
Survivor
Benefit
Not included Included
Cost Method Entry Age Normal -Normal
Cost is a level percentage of
payroll
Same
October 11, 2013 20
ASSUMPTIONS AND METHODS HIGHLIGHTS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Actuarial Value
of Assets
Investment gains and losses
spread over a 5-year rolling
period
Not less than 80% nor more
than 120% of market value
Same
Amortization
Method
Level percentage of payroll
26-year fixed (closed) period
for 2011/12 ARC
Level percentage of payroll
24-year fixed (closed) period
for 2012/13 ARC
October 11, 2013 21
RESULTS
Actuarial Obligations
6/30/11 Valuation 6/30/13 Valuation
Actuarial Obligations
(Amounts in 000’s)
Actual
6/30/11
Projected
6/30/13
Actual
6/30/13
Projected
6/30/14
Discount Rate 7.25% 7.25% 7.25% 7.25%
Present Value of Benefits
Actives $15,083 n/a $16,603 n/a
Retirees 9,100 n/a 13,059 n/a
Total 24,183 26,154 29,662 30,730
Actuarial Accrued Liability
Actives 9,189 n/a 9,832 n/a
Retirees 9,100 n/a 13,059 n/a
Total 18,289 20,725 22,891 24,168
Actuarial Value of Assets 7,893 11,764 11,831 14,093
Unfunded Actuarial Accrued Liability 10,396 8,961 11,060 10,075
AVA Funded Percent 43% 57% 52% 58%
Normal Cost 642 684 699 722
Pay-As-You-Go Cost 756 868 1,045 1,076
October 11, 2013 22
RESULTS
Estimated Actuarial Gains & Losses
(Amounts in 000’s)
Actuarial Gains & Losses NC% AAL
6/30/11 Actuarial Accrued Liability 5.2% $18,289
6/30/13 Expected Actuarial Accrued Liability 5.2% 20,725
Experience Losses (Gains)
Actual versus expected premiums (0.2%) (750)
Demographic & other 0.0% 142
Assumption Changes
Projected mortality improvement 0.3% 912
Surviving spouse coverage for new retirees 0.0% 302
Fiscal year medical trend 0.3% 1,274
Retirement rates 0.2% 142
Dental Participation 0.0% 86
Preretirement survivor benefit 0.0% 58
Total Changes 0.6% 2,166
6/30/13 Actuarial Accrued Liability 5.8% 22,891
October 11, 2013 23
RESULTS
Annual Required Contribution (ARC)
(Amounts in 000’s)
Annual Required
Contribution
6/30/11 Valuation 6/30/13 Valuation
2011/12 2012/13 2013/14 2014/15
Discount Rate 7.25% 7.25% 7.25% 7.25%
ARC - $
Normal Cost $ 642 $ 662 $ 699 $ 722
UAAL Amortization 662 625 739 691
Total ARC 1,304 1,287 1,439 1,413
Projected Payroll 12,429 12,833 11,969 12,358
ARC - %
Normal Cost 5.2% 5.2% 5.8% 5.8%
UAAL Amortization 5.3% 4.9% 6.2% 5.6%
Total ARC % 10.5% 10.0% 12.0% 11.4%
UAAL Amortization Years 26 25 24 23
October 11, 2013 24
RESULTS
Benefit Payment Projection
(Amounts in 000’s)
Cash Subsidy
Fiscal
Year
Current
Actives
Current
Retirees
Total
Cash
Implied
Subsidy
Total
Payment
2013/14 $ 5 $ 923 $ 929 $ 116 $ 1,045
2014/15 19 939 958 118 1,076
2015/16 37 969 1,006 123 1,129
2016/17 60 998 1,058 130 1,188
2017/18 89 1,015 1,104 125 1,229
2018/19 136 1,028 1,165 125 1,290
2019/20 195 1,029 1,225 124 1,349
2020/21 259 1,032 1,291 122 1,413
2021/22 338 1,018 1,356 120 1,476
2022/23 433 1,009 1,442 137 1,579
October 11, 2013 25
RESULTS
Actuarial Obligations
June 30, 2013 - 7.25% Discount Rate
(Amounts in 000’s)
Actuarial Obligations
Cash
Subsidy
Implied
Subsidy Total
Present Value of Benefits
Actives $15,069 $1,534 $16,603
Retirees 12,404 655 13,059
Total 27,473 2,189 29,662
Actuarial Accrued Liability
Actives 8,912 919 9,832
Retirees 12,404 655 13,059
Total 21,316 1,574 22,891
Actuarial Value of Assets7 11,017 813 11,831
Unfunded Actuarial Accrued Liability 10,299 761 11,060
Normal Cost 637 62 699
Pay-As-You-Go Cost 929 116 1,045
7 Allocated in proportion to the Actuarial Accrued Liability for this illustration.
October 11, 2013 26
RESULTS
Annual Required Contribution (ARC)
2013/14 Fiscal Year - 7.25% Discount Rate
(Amounts in 000’s)
Annual Required
Contribution
Cash
Subsidy
Implied
Subsidy Total
ARC - $
Normal Cost $ 637 $ 62 $ 699
UAAL Amortization 688 51 739
Total ARC 1,326 113 1,439
Projected Payroll 11,969 11,969 11,969
ARC - %
Normal Cost 5.3% 0.5% 5.8%
UAAL Amortization 5.8% 0.4% 6.2%
Total ARC 11.1% 0.9% 12.0%
October 11, 2013 27
RESULTS
Actuarial Obligations
June 30, 2013 - 7.25% Discount Rate
(Amounts in 000’s)
Actuarial Obligations Unrepresented Represented Total
PVB
Actives $5,576 $11,028 $16,603
Retirees n/a n/a 13,059
Total n/a n/a 29,662
AAL
Actives 3,764 6,068 9,832
Retirees n/a n/a 13,059
Total n/a n/a 22,891
AVA n/a n/a 11,831
UAAL n/a n/a 11,060
Normal Cost 220 479 699
PayGo Cost n/a n/a 1,045
October 11, 2013 28
RESULTS
Annual Required Contribution (ARC)
2013/14 Fiscal Year - 7.25% Discount Rate
(Amounts in 000’s)
Annual Required Contribution Unrepresented Represented Total
ARC - $
Normal Cost $ 220 $ 479 $ 699
UAAL Amortization n/a n/a 739
ARC n/a n/a 1,439
Projected Payroll 4,458 7,511 11,969
ARC - %
Normal Cost 4.9% 6.4% 5.8%
UAAL Amortization n/a n/a 6.2%
ARC n/a n/a 12.0%
October 11, 2013 29
RESULTS
Estimated Net Obligation (NOO)
Estimated Net OPEB Obligation (Asset)
(Amounts in 000’s)
CAFR
2011/12
Estimate
2012/13
Estimate
2013/14
Estimate
2014/15
Discount Rate 7.25% 7.25% 7.25% 7.25%
NOO (Asset) at Beginning of Year $(7,416) $(8,322) $ (9,277) $(10,307)
Annual OPEB Cost
Annual Required Contribution 1,304 1,287 1,439 1,413
Interest on NOO (538) (603) (673) (747)
NOO Adjustment 473 543 620 707
Annual OPEB Cost 1,239 1,227 1,386 1,374
Contributions8
Benefit Payments Outside of Trust (750) (809) (861) (958)
Implied Subsidy Benefit Payments (91) (86) (116) (118)
Trust Funding (1,304) (1,287) (1,439) (1,413)
Total Contributions (2,145) (2,182) (2,415) (2,489)
NOO (Asset) at End of Year (8,322) (9,277) (10,307) (11,422)
NOO Amortization Years 26 25 24 23
NOO Amortization Factor 15.69 15.33 14.96 14.57
8 Estimated contributions for years after 2011/12, including PEMHCA administration expenses. Estimated items other than the
ARC must be revised when actual contributions are known.
October 11, 2013 30
RESULTS
Full ARC Funding Projection - 7.25% Discount Rate
(Amounts in 000’s)
Fiscal
Year
End
Begin
Year
NOO ARC AOC
District Contribution9
BOY
UAAL
BOY
AVA
Fund%
Dist
Pmts
Trust
Funding
Cash
Pmts
IS
Pmts
Total
Contr
2014 $(9,277) $1,439 $1,386 $861 $1,439 $2,299 $116 $2,415 $11,060 52%
2015 (10,307) 1,413 1,374 958 1,413 2,371 118 2,489 10,075 58%
2016 (11,422) 1,379 1,357 1,006 1,379 2,385 123 2,508 8,968 65%
2017 (12,573) 1,336 1,339 1,058 1,336 2,394 130 2,524 7,789 71%
2018 (13,758) 1,286 1,322 1,104 1,286 2,390 125 2,515 6,534 77%
2019 (14,951) 1,227 1,306 1,165 1,227 2,392 125 2,517 5,224 83%
2020 (16,162) 1,158 1,290 1,225 1,158 2,383 124 2,507 3,844 88%
2021 (17,378) 1,076 1,277 1,291 1,076 2,367 122 2,489 2,401 93%
2022 (18,591) 982 1,266 1,356 982 2,338 120 2,458 897 97%
2023 (19,782) 872 1,259 1,442 872 2,314 137 2,451 (656) 102%
9 Assumes District contributes full ARC to trust and additionally pays cash and implied subsidy benefit payments from District
assets, except for 2013/14 when ARC plus expected cash benefit payments exceed District budgeted cash amount. For
2013/14, assumes District pays a portion of cash benefit payments from trust in order to not exceed budgeted cash amount.
October 11, 2013 31
RESULTS
2011 Benefit Changes - Effect on 2013/14 Normal Cost - 7.25% Discount Rate
(Amounts in 000’s)
Employee Group Unrepresented Represented Grand
Total Membership Date < 2013 ≥ 2013 Total < 2013 ≥ 2013 Total
CalPERS Member Contrib
Current Member Contrib %10 8.00% 8.00% 8.75% 8.75%
Prior Member Contrib % 1.00%1.00% 1.00% 1.00%
Add’l Member Contrib % 7.00% 7.00% 7.75% 7.75%
Projected Payroll 2013/14 $4,458 $0 $4,458 $7,238 $273 $7,511 $11,969
Add’l Member Contrib $ 312 0 312 561 21 582 894
Add’l Member Contrib % 7.00% 7.75% 7.47%
OPEB Normal Cost
Current Plan NC $ 220 479 699
Prior Plan NC $ 30 53 83
Additional NC $ 190 426 616
Projected Payroll 2013/14 4,458 7,511 11,969
Additional NC % 4.27% 5.67% 5.15%
CalPERS - OPEB $ 122 156 278
CalPERS - OPEB % 2.73% 2.08% 2.32%
10 CalPERS Normal cost for new members for 2013 is 6.75% of pay.
October 11, 2013 32
RESULTS
2011 Plan Change Results - Employee Group Allocation Methodology
Estimated allocation of 2013/14 ARC to unrepresented and represented employee
groups:
Employee group information for retirees not available
6/30/13 retiree actuarial accrued liability allocated in proportion to 6/30/13 number
of unrepresented and represented active employees
6/30/13 actuarial value of assets allocated in proportion to 6/30/13 allocated total
actuarial accrued liability
Allocated unfunded actuarial accrued liability used to allocate amortization
component of 2013/14 ARC
Estimated plan change assets:
2011/12 and 2012/13 ARCs allocated to employee groups in proportion to 2013/14
allocated ARC
2011/12 and 2012/13 allocated ARCs accumulated with estimated actual market
value return
Estimated plan change assets determined on a market value basis
October 11, 2013 33
RESULTS
Actuarial Obligations for 2011 Plan Change
June 30, 2013 - 7.25% Discount Rate
(Amounts in 000’s)
Actuarial Obligations
Prior
Plan
New Plan
Change
Current
Plan
Actuarial Accrued Liability
Actives $ 2,925 $ 6,907 $ 9,832
Retirees 13,059 0 13,059
Total 15,984 6,907 22,891
Actuarial Value of Assets 9,722 2,109 11,831
Unfunded Actuarial Accrued Liability 6,262 4,798 11,060
ARC 2013/14
Normal Cost 83 616 699
UAAL Amortization 419 321 739
Total ARC 502 937 1,439
October 11, 2013 34
RESULTS
Projection of CalPERS Savings vs OPEB ARC Increase
24-Year Amortization of UAAL - 7.25% Discount Rate
(Amounts in 000’s)
Fiscal
Year
End
CalPERS
Contribution
Savings11
OPEB
ARC
Increase
Annual
Savings
Cumulative
Savings
Present
Value
Cumulative
Savings
2014 $ 894 $ 937 $ (43) $ (43) $ (41)
2019 1,049 1,099 (50) (277) (225)
2024 1,231 1,290 (59) (552) (377)
2029 1,445 1,513 (69) (875) (502)
2034 1,695 1,776 (81) (1,254) (606)
2039 1,989 1,370 619 (295) (448)
2044 2,334 1,608 726 3,114 16
2049 2,739 1,887 852 7,115 400
2054 3,214 2,214 1,000 11,809 717
2059 3,771 2,598 1,173 17,316 979
2064 4,425 3,048 1,377 23,779 1,196
11 Additional 7.00% of pay CalPERS member contribution for unrepresented employees and additional 7.75% of pay CalPERS
member contribution for represented employees. Aggregate payroll assumed to increase 3.25% per year.
October 11, 2013 35
RESULTS
0
1,000
2,000
3,000
4,000
5,000
6,000
2014201820232028203320382043 2048 2053 2058 2063 2068
Th
o
u
s
a
n
d
s
o
f
D
o
l
l
a
r
s
Fiscal Year Ending
Chart A -All Employees
CalPERS Savings vs OPEB ARC Increase
24-Year UAAL Amortization
PERS Member Contribution Savings
OPEB Normal Cost Increase
OPEB ARC Increase
October 11, 2013 36
RESULTS
0
1,000
2,000
3,000
4,000
5,000
6,000
2014 2018 2023 2028 2033 2038 2043 2048 2053 2058 2063 2068
Th
o
u
s
a
n
d
s
o
f
D
o
l
l
a
r
s
Fiscal Year Ending
Chart B -All Employees
CalPERS Savings vs OPEB ARC Increase
30-Year UAAL Amortization
PERS Member Contribution Savings
OPEB Normal Cost Increase
OPEB ARC Increase
October 11, 2013 37
RESULTS
Actuarial Obligations - Unrepresented
June 30, 2013 - 7.25% Discount Rate
(Amounts in 000’s)
Actuarial Obligations
Prior
Plan
New Plan
Change
Current
Plan
Actuarial Accrued Liability
Actives $ 1,385 $ 2,379 $ 3,764
Retirees 3,432 0 3,432
Total 4,817 2,379 7,196
Actuarial Value of Assets 3,056 663 3,719
Unfunded Actuarial Accrued Liability 1,761 1,716 3,477
ARC 2013/14
Normal Cost 30 190 220
UAAL Amortization 118 115 232
Total ARC 148 305 452
October 11, 2013 38
RESULTS
Projection of CalPERS Savings vs OPEB ARC Increase - Unrepresented
24-Year Amortization of UAAL - 7.25% Discount Rate
(Amounts in 000’s)
Fiscal
Year
End
CalPERS
Contribution
Savings12
OPEB
ARC
Increase
Annual
Savings
Cumulative
Savings
Present
Value
Cumulative
Savings
2014 $ 312 $ 305 $ 7 $ 7 $ 7
2019 366 358 9 48 39
2024 430 420 10 96 65
2029 504 492 12 152 87
2034 592 578 14 217 105
2039 694 423 272 796 207
2044 815 496 319 2,292 411
2049 956 582 374 4,048 579
2054 1,122 683 439 6,107 718
2059 1,316 801 515 8,524 833
2064 1,544 940 604 11,360 929
12 Additional 7.00% of pay CalPERS member contribution for unrepresented employees. Aggregate payroll assumed to
increase 3.25% per year.
October 11, 2013 39
RESULTS
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2014 2018 2023 2028 2033 2038 2043 2048 2053 2058 2063 2068
Th
o
u
s
a
n
d
s
o
f
D
o
l
l
a
r
s
Fiscal Year Ending
Chart A - Unrepresented Employees
CalPERS Savings vs OPEB ARC Increase
24-Year UAAL Amortization
PERS Member Contribution Savings
OPEB Normal Cost Increase
OPEB ARC Increase
October 11, 2013 40
RESULTS
This page intentionally blank
October 11, 2013 41
RESULTS
Actuarial Obligations - Represented
June 30, 2013 - 7.25% Discount Rate
(Amounts in 000’s)
Actuarial Obligations
Prior
Plan
New Plan
Change
Current
Plan
Actuarial Accrued Liability
Actives $ 1,540 $ 4,528 $ 6,068
Retirees 9,627 0 9,627
Total 11,167 4,528 15,695
Actuarial Value of Assets 6,666 1,446 8,112
Unfunded Actuarial Accrued Liability 4,501 3,082 7,583
ARC 2013/14
Normal Cost 53 426 479
UAAL Amortization 301 206 507
Total ARC 354 632 986
October 11, 2013 42
RESULTS
Projection of CalPERS Savings vs OPEB ARC Increase - Represented
24-Year Amortization of UAAL - 7.25% Discount Rate
(Amounts in 000’s)
Fiscal
Year
End
CalPERS
Contribution
Savings13
OPEB
ARC
Increase
Annual
Savings
Cumulative
Savings
Present
Value
Cumulative
Savings
2014 $ 582 $ 632 $ (50) $ (50) $ (48)
2019 683 742 (59) (325) (264)
2024 801 870 (69) (648) (442)
2029 940 1,021 (81) (1,027) (589)
2034 1,104 1,198 (95) (1,472) (711)
2039 1,295 948 347 (1,091) (655)
2044 1,520 1,112 407 822 (395)
2049 1,783 1,305 478 3,067 (179)
2054 2,092 1,531 561 5,701 (1)
2059 2,455 1,797 658 8,792 146
2064 2,881 2,108 773 12,419 268
13 Additional 7.75% of pay CalPERS member contribution for represented employees. Aggregate payroll assumed to increase
3.25% per year.
October 11, 2013 43
RESULTS
0
500
1,000
1,500
2,000
2,500
3,000
3,500
2014 2018 2023 2028 2033 2038 2043 2048 2053 2058 2063 2068
Th
o
u
s
a
n
d
s
o
f
D
o
l
l
a
r
s
Fiscal Year Ending
Chart A - Represented Employees
CalPERS Savings vs OPEB ARC Increase
24-Year UAAL Amortization
PERS Member Contribution Savings
OPEB Normal Cost Increase
OPEB ARC Increase
October 11, 2013 44
RESULTS
Projection of Estimated CalPERS Savings vs OPEB ARC Increase
Increase in 2013/14 OPEB ARC due to 2011 plan changes exceeds expected additional
2013/14 CalPERS member contributions by $43,000:
$7,000 cost savings for unrepresented employees
$50,000 cost increase for represented employees
Additional CalPERS member contributions projected to exceed additional OPEB ARC
for all employees after 24-year UAAL amortization period (Chart A - All Employees)
Present value of difference between OPEB ARC increase and additional CalPERS
member contributions as of June 30, 2013 is greater than zero after a 30-year period
(i.e., including 30 years in the present value calculation)
UAAL amortization period would be 30 years for additional CalPERS member
contribution to equal OPEB ARC during UAAL amortization period (Chart B - All
Employees)
Represented member contribution would need to increase 0.65% of pay for the
additional CalPERS member contributions to equal the additional OPEB cost during
the 24-year amortization period
If new plan allocated assets were $2,750,000 rather than $2,109,000, expected
additional CalPERS member contributions would equal the additional OPEB plan cost
during the 24-year amortization period
October 11, 2013 45
BARTEL ASSOCIATES OPEB DATABASE
50% of 90% of
results results
are are
within within
this this
range range
50th Percentile
5th Percentile
Bartel Associates GASB 45 OPEB Database
Sample Percentile Graph
95th Percentile
75th Percentile
25th Percentile
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
55%
Pe
r
c
e
n
t
o
f
P
a
y
October 11, 2013 46
BARTEL ASSOCIATES OPEB DATABASE
NC ARC
95th Percentile 10.7% 30.7%
75th Percentile 6.6% 18.7%
50th Percentile 3.1% 8.0%
25th Percentile 1.2% 3.2%
5th Percentile 0.6% 1.4%
Percent of Pay 5.8% 12.0%
Percentile 70% 60%
Miscellaneous
Discount Rate = 7.25%, Average Amortization Period = 24.0 Years
0%
5%
10%
15%
20%
25%
30%
35%
Pe
r
c
e
n
t
o
f
P
a
y
Bartel Associates GASB 45 OPEB Database
Normal Cost & Annual Required Contribution
October 11, 2013 47
BARTEL ASSOCIATES OPEB DATABASE
Miscellaneous
95th Percentile 274%
75th Percentile 168%
50th Percentile 78%
25th Percentile 27%
5th Percentile 9%
Percent of Pay 191%
Percentile 83%
Discount Rate = 7.25%
0%
50%
100%
150%
200%
250%
300%
Pe
r
c
e
n
t
o
f
P
a
y
Bartel Associates GASB 45 OPEB Database
Actuarial Accrued Liability
October 11, 2013 48
OTHER ISSUES
GASB Accounting Rules
Pension Accounting:
GASB 68, Accounting for Employers, approved June 25, 2012
Replaces GASB 27
Effective 2014/15
Major Issues:
Unfunded liability on balance sheet
Expense calculation disconnected from contribution calculation
Discount rate is municipal bond rate when assets not sufficient to pay benefits
Immediate recognition of AAL for plan changes
Deferred recognition of changes in AAL for gains and losses and assumption changes
over active and inactive members’ average future working lifetime
Deferral of investment gains and losses over 5 years
Disclosure of asset allocation and expected real rates of return for each asset class
Entry age normal cost method
OPEB Accounting:
Exposure draft expected April 2014
Final statement expected June 2015
October 11, 2013 49
NEXT STEPS
Next Steps
Final valuation results
CERBT actuarial forms
Next Valuation
6/30/15 if no significant changes
Review discount rate
October 11, 2013 50
EXHIBITS
Topic Page
Premiums E-1
Participant Statistics E-4
Actuarial Assumptions E-14
Actuarial Methods E-28
GASB 45 Summary E-30
October 11, 2013 E-1
PREMIUMS
2011 Healthcare Monthly Premiums
Non-Medicare Eligible Medicare Eligible
Healthcare Plan Single 2-Party Family Single 2-Party Family
EPO $559.08 $1,118.18 $1,453.64 n/a n/a n/a
EPO (OOS) 640.62 1,281.24 1,665.61 n/a n/a n/a
Gold PPO 480.16 960.32 1,248.43 $384.48 $768.96 $1,203.08
Gold PPO (OOS) 550.18 1,100.37 1,430.47 384.48 768.96 1,203.08
HMO 15 540.46 1,082.05 1,406.32 n/a n/a n/a
Dental (self-insured) 41.11 98.65 151.10 41.11 98.65 151.10
2011 Life Insurance Monthly Premiums
Participant Premium
Employee 19¢ per $1,000
Spouse 60¢ per $1,000
October 11, 2013 E-2
PREMIUMS
2012 Healthcare Monthly Premiums
Non-Medicare Eligible Medicare Eligible
Healthcare Plan Single 2-Party Family Single 2-Party Family
EPO $608.28 $1,216.58 $1,581.55 n/a n/a n/a
EPO (OOS) 697.00 1,393.98 1,812.16 n/a n/a n/a
Gold PPO 520.14 1,040.31 1,352.41 $416.51 $833.00 $1,303.28
Gold PPO (OOS) 596.02 1,192.03 1,549.63 416.51 833.00 1,303.28
HMO 15 588.69 1,178.59 1,531.79 n/a n/a n/a
Dental (self-insured) 41.11 98.65 151.10 41.11 98.65 151.10
2012 Life Insurance Monthly Premiums
Participant Premium
Employee 19¢ per $1,000
Spouse 60¢ per $1,000
October 11, 2013 E-3
PREMIUMS
2013 Healthcare Monthly Premiums
Non-Medicare Eligible Medicare Eligible
Healthcare Plan Single 2-Party Family Single 2-Party Family
EPO $675.69 $1,351.38 $1,757.40 n/a n/a n/a
EPO (OOS) 774.67 1,548.33 2,012.93 n/a n/a n/a
Gold PPO 577.72 1,155.44 1,502.88 $462.58 $925.16 $1,448.34
Gold PPO (OOS) 662.56 1,324.11 1,722.05 462.58 925.16 1,448.34
HMO 15 623.17 1,248.36 1,622.06 n/a n/a n/a
Dental (self-insured) 41.11 98.65 151.10 41.11 98.65 151.10
2013 Life Insurance Monthly Premiums
Participant Premium
Employee 19¢ per $1,000
Spouse 60¢ per $1,000
October 11, 2013 E-4
PREMIUMS
2014 Healthcare Monthly Premiums
Non-Medicare Eligible Medicare Eligible
Healthcare Plan Single 2-Party Family Single 2-Party Family
EPO $702.78 $1,404.54 $1,826.82 n/a n/a n/a
EPO (OOS) 805.80 1,609.56 2,093.04 n/a n/a n/a
Gold PPO 600.78 1,201.56 1,562.64 $483.48 $965.94 $1,512.66
Gold PPO (OOS) 688.50 1,375.98 1,789.08 483.48 965.94 1,512.66
HMO 15 721.14 1,444.32 1,876.80 n/a n/a n/a
Dental (self-insured) 41.11 98.65 151.10 41.11 98.65 151.10
2014 Life Insurance Monthly Premiums
Participant Premium
Employee 19¢ per $1,000
Spouse 60¢ per $1,000
October 11, 2013 E-5
PREMIUMS
Monthly Premium Increases
2011 to 2014
Actual Increases
Non-Medicare Eligible Medicare Eligible
Healthcare Plan Single 2-Party Family Single 2-Party Family
EPO 25.7% 25.6% 25.7% n/a n/a n/a
EPO (OOS) 25.8% 25.6% 25.7% n/a n/a n/a
Gold PPO 25.1% 25.1% 25.2% 25.7% 25.6% 25.7%
Gold PPO (OOS) 25.1% 25.0% 25.1% 25.7% 25.6% 25.7%
HMO 15 33.4% 33.5% 33.5% n/a n/a n/a
Dental (self-insured) 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
Expected Increases
Non-Medicare Eligible Medicare Eligible
Healthcare Plan Single 2-Party Family Single 2-Party Family
Medical/Rx 29.5% 29.5% 29.5% 31.1% 31.1% 31.1%
Dental 12.5% 12.5% 12.5% 12.5% 12.5% 12.5%
October 11, 2013 E-6
PARTICIPANT STATISTICS
Medical Plan Participation
Non-Waived Participants
June 30, 2013
Retirees
Medical Plan Actives < 65 ≥ 65
EPO 50% 44% n/a
PPO 12% 53% 100%
HMO 38% 3% n/a
Total 100% 100% 100%
June 30, 2011
Retirees
Medical Plan Actives < 65 ≥ 65
EPO 63% 41% n/a
PPO 15% 56% 100%
HMO 22% 3% n/a
Total 100% 100% 100%
October 11, 2013 E-7
PARTICIPANT STATISTICS
Active Medical Coverage
Medical Plan Single 2-Party Family Waived Total
EPO 7 14 43 64
PPO 6 4 6 16
HMO 14 9 26 49
Waived14 8 8
Total 27 27 75 8 137
Election % 21% 21% 58%
Waived % 6%
14 2 are spouses of covered employees.
October 11, 2013 E-8
PARTICIPANT STATISTICS
Retiree Medical Coverage
Under Age 65
Medical Plan Single 2-Party Family Waived Total
EPO 4 10 1 15
PPO 4 13 1 18
HMO 1 1
Waived 0 0
Total 9 23 2 0 34
Election % 26% 68% 6%
Waived % 0%
October 11, 2013 E-9
PARTICIPANT STATISTICS
Retiree Medical Coverage
Over Age 65
Medical Plan Single 2-Party Family Waived Total
EPO n/a n/a n/a n/a
PPO 13 32 0 45
HMO n/a n/a n/a n/a
Waived 1 1
Total 13 32 0 1 46
Election % 29% 71% 0%
Waived % 2%
October 11, 2013 E-10
PARTICIPANT STATISTICS
Dental Coverage
Participant Group Single 2-Party Family Waived Total
Actives 30 34 73 137
Retirees < 65 6 18 10 34
Retirees > 65 12 28 6 46
October 11, 2013 E-11
PARTICIPANT STATISTICS
Actives by Age and Service
District Service
Age < 1 1-4 5-9 10-14 15-19 20-24 ≥ 25 Total
< 25
25-29 1 2 3
30-34 2 3 3 8
35-39 5 5 6 3 1 20
40-44 5 3 11 12 2 1 34
45-49 3 9 5 2 1 2 22
50-54 1 2 7 10 1 1 5 27
55-59 2 1 8 2 1 2 16
60-64 3 3 6
≥ 65 1 1
Total 15 18 50 35 7 5 7 137
October 11, 2013 E-12
PARTICIPANT STATISTICS
0
10
20
30
40
<25 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-65 ≥65
Nu
m
b
e
r
Age
Active Age Distribution
6/30/11 Valuation
6/30/13 Valuation
October 11, 2013 E-13
PARTICIPANT STATISTICS
0
10
20
30
40
50
60
0-4 5-9 10-14 15-19 20-24 >25
Nu
m
b
e
r
Service
Active Service Distribution
6/30/11 Valuation
6/30/13 Valuation
October 11, 2013 E-14
PARTICIPANT STATISTICS
Retiree Healthcare Coverage by Age Group
Age Single 2-Party Family Waived Total
Under 50
50-54 1 1
55-59 3 9 2 14
60-64 5 14 19
65-69 6 16 22
70-74 1 5 6
75-79 5 5
80-84 3 4 7
Over 85 3 2 1 6
Total 22 55 2 1 80
Average Age 69.6 68.1 56.5 89.6 68.5
< 65 Election % 26% 68% 6%
≥ 65 Election % 29% 71% 0%
Total Election % 28% 70% 2%
Waived % 1%
October 11, 2013 E-15
PARTICIPANT STATISTICS
0
5
10
15
20
25
<50 50-54 55-59 60-64 65-69 70-74 75-79 80-84 ≥85
Nu
m
b
e
r
Age
Retiree Age Distribution
6/30/11 Valuation
6/30/13 Valuation
October 11, 2013 E-16
ACTUARIAL ASSUMPTIONS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Valuation Date June 30, 2011
2011/12 & 2012/13 ARCs
ARC calculated as of
beginning of the year with
interest to end of year
June 30, 2013
2013/14 & 2014/15 ARCs
ARC calculated as of
beginning of the year with
interest to end of year
October 11, 2013 E-17
ACTUARIAL ASSUMPTIONS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Funding Policy Fund full ARC with CERBT
Fund #1
ARC plus benefit payments for
2011/12
Prefund full ARC with CERBT
Fund #1 plus budgeted benefit
payments from District assets
Portion of employees’
CalPERS member contribution
offsets District OPEB cost:
Hired < 1/1/13:
- Represented - .75% of
pay
- Unrepresented - None
Hired ≥ 1/1/13:
- Represented - 8.75% of
pay less CalPERS
member contribution
- Unrepresented - 8% of
pay less CalPERS
member contribution
Not reflected in valuation
October 11, 2013 E-18
ACTUARIAL ASSUMPTIONS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Discount Rate 7.25% - Full ARC funding with
CERBT #1
Includes 0.36% margin for
adverse deviation
7.61% is expected long-term
return
7.25% is at 55% confidence
level15
Same
General
Inflation
3% annually
Basis for aggregate payroll and
discount rate assumptions
Same
15 “55% Confidence Level” means that over the long-term 55% of the time net returns are expected to be greater than 7.25%
and 45% of the time net returns are expected to be less than 7.25%.
October 11, 2013 E-19
ACTUARIAL ASSUMPTIONS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Aggregate
Payroll
Increases
3.25% annually
Inflation plus 0.25%
For Normal Cost calculation
and UAAL amortization
Same
Merit Payroll
Increases
CalPERS 1997-2007
Experience Study
Added to aggregate payroll
increase assumption for
Normal Cost calculation
Same
CalPERS
Service
CalPERS service provided by
District
Same
October 11, 2013 E-20
ACTUARIAL ASSUMPTIONS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Medical Trend
Calendar
Year
Increase from Prior Year
Non-Medicare Medicare
All Plans
2011 Premiums 2012 9.5% 10.0%2013 9.0% 9.4%
2014 8.5% 8.9%2015 8.0% 8.3%2016 7.5% 7.8%
2017 7.0% 7.2%2018 6.5% 6.7%2019 6.0% 6.1%
2020 5.5% 5.6%2021+ 5.0% 5.0%
Calendar year premiums used
for following fiscal year
Calendar
Year
Increase from Prior Year
Non-Medicare Medicare
All Plans
2011 n/a2012 n/a2013 Premiums
2014 Premiums 2015 8.0% 8.3% 2016 7.5% 7.8%
2017 7.0% 7.2% 2018 6.5% 6.7% 2019 6.0% 6.1%
2020 5.5% 5.6% 2021+ 5.0% 5.0%
Calendar year premiums
prorated for fiscal year
Dental Trend 4.0% annually Same
October 11, 2013 E-21
ACTUARIAL ASSUMPTIONS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Claims Cost
Aging Factors
Relative relationship between
actual claims costs by age:
Age M F
<30 0.50 1.05
30-34 0.65 1.15
35-39 0.80 1.20
40-44 0.85 1.35
45-49 1.05 1.60
50-54 1.35 1.60
55-59 1.75 1.65
60-64 2.20 1.80
Same
Dental Claims
Cost
Premium x loss ratio
Employee - 90%
Spouse - 71%
Child - 71%
Premium x loss ratio
Employee - 91%
Spouse - 71%
Child - 71%
October 11, 2013 E-22
ACTUARIAL ASSUMPTIONS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Mortality,
Termination,
Disability
CalPERS 1997-2007
Experience Study
CalPERS 1997-2007
Experience Study
Mortality improvement
projection Scale AA. Sample
annual longevity increases:
Age Male Female
50 1.8% 1.7%
60 1.6% 0.5%
70 1.5% 0.5%
80 1.0% 0.7%
October 11, 2013 E-23
ACTUARIAL ASSUMPTIONS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
District Service
for Retirement
Hired < 1/1/81 - 5 years of
District service
Hired ≥ 1/1/81 & < 7/1/93 and
General Manager - Age plus
District service ≥ 70
Hired ≥ 7/1/93:
Unrepresented employees -
15 years of District service
Represented employees - 18
years of District
Hired < 1/1/81 - 5 years of
District service
Hired ≥ 1/1/81 & < 7/1/93 and
General Manager - Age plus
District service ≥ 70
Hired ≥ 7/1/93:
Unrepresented employees:
- Hired < 1/1/13 - 15 years
of District service
- Hired ≥ 1/1/13 - 20 years
of District service
Represented employees:
- 20 years of District service
- 5 years of District service
if employee does not have
15 or 20 years of service at
age 65
October 11, 2013 E-24
ACTUARIAL ASSUMPTIONS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Service
Retirement
CalPERS 1997-2007
Experience Study
CalPERS Benefit 2.7%@55
CalPERS Hire Age 35
Expected Retire Age 58.1
CalPERS 1997-2007
Experience Study16
CalPERS Misc ERA
CalPERS Hire Age 35
Hire < 1/1/13 2.7%@55 58.1
Hire ≥ 1/1/13
Classic Member 2.7%@55 58.1
New Member 2.0%@62 60.9
Hardship
Retirements
5% of employees eligible to
retire at ages 50 through 54
Same
Participation at
Retirement
Currently covered and waived
Medical - 100%
Dental - 80%
Currently covered and waived
Medical - 100%
Dental - 100%
16 Expected Retirement Ages (ERA) for new member formulas based on CalPERS retirement assumptions for its AB 340
(PEPRA) actuarial cost analysis.
October 11, 2013 E-25
ACTUARIAL ASSUMPTIONS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Medical Plan at
Retirement
Currently covered:
Current plan election until
Medicare eligible
PPO after Medicare eligible
Waived actives - PPO
Waived retirees - n/a
Same
Preretirement
Survivor
Benefit
Not included Included
Medicare
Eligibility
100% eligible for Medicare at
age 65
All Medicare eligibles will
elect Part B coverage
Same
October 11, 2013 E-26
ACTUARIAL ASSUMPTIONS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Marital Status
at Retirement
Actives
Married if currently elect 2-
party or family coverage
Waived - 80% married
Retirees - based on spouse
information if provided
Same
Spouse Age Actives - males 3 years older
than females
Retirees - males 3 years older
than females if spouse birth
date not provided
Same
October 11, 2013 E-27
ACTUARIAL ASSUMPTIONS
Assumption June 30, 2011 Valuation June 30, 2013 Valuation
Spouse &
Dependent
Coverage at
Retirement
Spouse coverage:
100% elect CalPERS joint
and survivor annuity
Coverage assumption same
as retiree assumption
Family coverage:
Current actives -10% until
age 65 if assumed married
Current retirees - current
coverage until age 65
Same
October 11, 2013 E-28
ACTUARIAL METHODS
Method June 30, 2013 Valuation
Cost Method Entry Age Normal
Normal Cost is a level percentage of payroll
Actuarial Value of
Assets
Investment gains/losses spread over 5-year rolling period
Not less than 80% nor more than 120% of market value
Amortization Method Level percent of payroll
Amortization Period 30-year fixed (closed) period for initial UAAL as of
6/30/07 for 2007/08 ARC
24-year fixed (closed) period for UAAL as of 6/30/13 for
2013/14 ARC
Amortization period decreases by one year each fiscal
year
When amortization period reaches 15 years, new gains and
losses will be amortized over a rolling (open) 15-year
period and plan and assumption changes will be amortized
over fixed (closed) 20-year period
October 11, 2013 E-29
ACTUARIAL METHODS
Method June 30, 2013 Valuation
Life Insurance Valuation includes the discounted value and cost for
retiree life insurance premiums
Implied Subsidy Employer cost for allowing non-Medicare eligible retirees
to participate at active rates
Valuation includes an implied subsidy for medical but not
dental or life insurance
Future New Entrants Valuation Results – Closed group, no new hires
Projections – Simplified open group projection:
Actives - Total pay increased in accordance with
aggregate payroll assumption
Normal Cost - New hires assume to have same NC as a
percentage of pay as current actives
Retirees - no additional retirees from new hires over 10-
year projection period
October 11, 2013 E-30
GASB 45 SUMMARY
GASB 45
Accrual
Accounting
Project future employer-provided benefit cash flows for current active
employees and current retirees
Discount projected cash flow to valuation date using discount rate (assumed
return on assets used to pay benefits) and other actuarial assumptions to
determine present value of projected future benefits (PVB)
Allocate PVB to past, current, and future periods using the actuarial cost
method
Actuarial cost method used for this valuation is the Entry Age Normal Cost
method which determines Normal Cost as a level percentage of payroll (same
method used by CalPERS)
Normal Cost is amount allocated to current fiscal year
Actuarial Accrued Liability (AAL) is amount allocated to prior service with
employer
Unfunded AAL (UAAL) is AAL less plan assets pre-funded in a segregated
and restricted trust
PayGo Cost Cash subsidy is the pay-as-you-go employer benefit payments for retirees
Implied subsidy is the difference between the actual cost of retiree benefits
and retiree premiums subsidized by active employee premiums
October 11, 2013 E-31
GASB 45 SUMMARY
Present Value of Benefits
Present Value of Benefits
(With Plan Assets)
Unfunded
Actuarial Accrued
Future
Normal
Costs
Normal Cost
Assets
Present Value of Benefits
(Without Plan Assets)
Unfunded Actuarial
Accrued Liability
Future
Normal
Costs
Normal Cost
October 11, 2013 E-32
GASB 45 SUMMARY
Annual
Required
Contribution
(ARC)
“Required contribution” for the current period including:
Normal Cost
Amortization of:
- Initial UAAL
- AAL for plan, assumption, and method changes
- Experience gains/losses (difference between expected and actual)
- Contribution gains/losses (difference between ARC and contributions)
ARC in excess of pay-as-you-go costs not required to be funded
Net OPEB
Obligation
(NOO)
Net OPEB Obligation is the accumulated amounts expensed but not funded
Net OPEB Asset if amounts funded exceed those expensed
Annual OPEB
Cost (AOC)
Expense for the current period including:
ARC
Interest on NOO
Adjustment of NOO
NOO adjustment prevents double counting of expense since ARCs include an
amortization of prior contribution gains/losses previously expensed
STAFF REPORT
TYPE MEETING: Regular Board
MEETING DATE: November 6, 2013
SUBMITTED BY:
Dan Martin
Engineering Manager
PROJECT: Various DIV. NO. ALL
APPROVED BY:
Rod Posada, Chief of Engineering
German Alvarez, Assistant General Manager
Mark Watton, General Manager
SUBJECT: Informational Item – First Quarter Fiscal Year 2014 Capital
Improvement Program Report
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board)
accept the First Quarter Fiscal Year 2014 Capital Improvement Program
(CIP) Report for review and receives a summary via PowerPoint
presentation (see Attachment C).
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To update the Board about the status of all CIP project expenditures
and to highlight significant issues, progress, and milestones on
major projects.
ANALYSIS:
To keep up with growth and to meet our ratepayers' expectations to
adequately deliver safe, reliable, cost-effective, and quality water,
each year the District staff prepares a Six-Year CIP Plan that
identifies the District’s infrastructure needs. The CIP is comprised
of four categories consisting of backbone capital facilities,
replacement/renewal projects, capital purchases, and developer's
reimbursement projects.
AGENDA ITEM 11b
The First Quarter Fiscal Year 2014 update is intended to provide a
detailed analysis of progress in completing these projects within the
allotted time and budget of $13.9 million. Expenditures through the
First Quarter totaled approximately $1.5 million. Approximately 11%
of the Fiscal Year 2014 expenditure budget was spent (see Attachment
B).
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
No fiscal impact as this is an informational item only.
STRATEGIC GOAL:
The Capital Improvement Program supports the District’s Mission
statement, “To provide high value water and wastewater services to
the customers of the Otay Water District, in a professional,
effective, and efficient manner” and the General Manager’s Vision, “A
District that is at the forefront in innovations to provide water
services at affordable rates, with a reputation for outstanding
customer service.”
LEGAL IMPACT:
None.
DM/RP:jf
P:\Forms\D-Construction\CIP Quarterly Reports\CIP Qtr Reports\FY 2014\Q1\Staff Report\BD 11-06-13, Staff
Report, First Quarter FY 2014 CIP Report, (DM-RP).docx
Attachment s: Attachment A – Committee Action
Attachment B - Fiscal Year 2014 First Quarter CIP
Expenditure Report
Attachment C – Presentation
ATTACHMENT A
SUBJECT/PROJECT:
Various
Informational Item – First Quarter Fiscal Year 2014 Capital
Improvement Program Report
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee (Committee)
reviewed this item at a Committee Meeting held on October 23, 2013,
and the following comments were made:
Staff provided a PowerPoint presentation to the Committee and
indicated that the expenditures through the first quarter of
FY 2014 totaled approximately $1.5 million, which is about 11%
of the District’s fiscal year budget.
Staff indicated that the District’s FY 2014 CIP budget consists
of 63 projects that total $13.9 million and is divided into
four categories:
o Capital Facilities= $4.4 million
o Replacement/Renewal= $7.7 million
o Capital Purchases= $1.6 million
o Developer Reimbursement= $0.2 million
The PowerPoint presentation included the following:
o Total Life-to-Date Expenditures
o CIP Budget Forecast vs. Expenditures
o Major CIP Projects
o CIP Projects in Construction
o Construction Contract Status of projects, contract amount
with allowances, net change orders, and percent of project
completion
o Consultant Contract Status of contract amounts, approve
payments to date, change orders, dates when contracts were
signed and the end date of contracts
Staff provided an update of the following:
o Orange Avenue/I-805 12” Potable Water Installation
o 803-3 & 832-2 Reservoir Interior/Exterior Coating &
Upgrades. Staff stated that the District is in the process
of filling the tanks and putting them back in service.
In response to an inquiry from the Committee, Staff stated that
the District maintains as-needed contracts that are typically
two (2) year contracts with consultants who only work on an as-
needed basis.
Following the discussion, the Committee supported staffs’
recommendation and presentation to the full board as an informational
item.
2014 09/30/13
CIP No.Description
Project
Manager
FY 2014
Budget Expenses Balance
Expense to
Budget % Budget Expenses Balance
Expense to
Budget %Comments
CAPITAL FACILITY PROJECTS -
p2083 PS - 870-2 Pump Station Replacement (28,000 GPM) Marchioro 540$ 34$ 506$ 6% 12,581$ 646$ 11,935$ 5%
On target. $625k professional services contract
awarded October 2, 2013 to Carollo. Carollo
NTP anticipated October 15, 2013.
P2190 PL - 10-Inch, 1485 Zone, Jamul Highlands Martin - - - 0% 228 3 225 1% No budget in FY 2014.
P2267 36-Inch Main Pumpouts and Air/Vacuum Ventilation Installations Vasquez 5 - 5 0% 435 234 201 54% Project has been deferred to FY 2015.
p2403 PL - 12-Inch, 624 Zone, Heritage Road - Olympic/Otay Valley Martin - - - 0% 925 - 925 0% No budget in FY 2014.
P2434 Rancho Del Rey Groundwater Well Development Marchioro 100 3 97 3% 8,700 3,600 5,100 41%
Project progress has been slowed by design
consultant budget/scope negotiations. Project
will be placed on hold after the design has been
completed.
P2451 Otay Mesa Desalination Conveyance and Disinfection System Kennedy 1,500 224 1,276 15% 30,000 1,852 28,148 6%
Spending adjusted based on limited notice to
proceed.
P2466 Regional Training Facility Coburn-Boyd 14 3 11 21% 300 284 16 95% On track to spend budget this fiscal year.
P2486 Asset Management Plan Condition Assessment and Data Acquisition Zhao 75 12 63 16% 1,090 806 284 74%
The project is on track for this fiscal year. The
spending is for Black & Vetch to host the Asset
Management workshop for District management
team.
P2511 Otay Interconnect Pipeline Marchioro 600 136 464 23% 37,300 1,811 35,489 5% On target.
P2514 PL - 30-Inch, 980 Zone, Hunte Parkway - Proctor Valley/Use Area Martin 130 41 89 32% 1,815 1,709 106 94%
Water line in service. Current work consists of
claims resolution.
P2528 30-Inch Potable Water Pipeline Manifold at 624 Reservoirs Marchioro - - - 0% 7,000 18 6,982 0% Project on hold.
P2537 Operations Yard Property Acquisition Improvements Cameron 50 1 49 2% 300 22 278 7% Spending for this project will occur later this year.
P2539 South Bay Bus Rapid Transit (BRT) Utility Relocations Cameron 80 5 75 6% 320 5 315 2% Spending for this project will occur later this year.
P2541 624 Pressure Zone PRSs Schmidt 300 25 275 8% 600 25 575 4%
On track for design; to be completed by the end
of December 2013. Construction will start in
March 2014.
P2542 850-3 Reservoir Interior Coating Cameron 10 - 10 0% 440 - 440 0%
Project expenditures are expected in the 4th
quarter of FY 2014.
P2543 850-1 Reservoir Interior/Exterior Coating Cameron - - - 0% 475 - 475 0% No budget in FY 2014.
FISCAL YEAR-TO-DATE, 09/30/13 LIFE-TO-DATE, 09/30/13
FISCAL YEAR 2014 FIRST QUARTER REPORT
EXPENDITURES THROUGH SEPTEMBER 30, 2013
($000)
2014 09/30/13
CIP No.Description
Project
Manager
FY 2014
Budget Expenses Balance
Expense to
Budget % Budget Expenses Balance
Expense to
Budget %Comments
CAPITAL FACILITY PROJECTS -
P2544 850-2 Reservoir Interior/Exterior Reservoir Coating Cameron - - - 0% 1,075 - 1,075 0% No budget in FY 2014.
R2028 RecPL - 8-Inch, 680 Zone, Heritage Road - Santa Victoria/Otay Valley Martin - - - 0% 600 - 600 0% No budget in FY 2014.
R2042 RecPL - 8-Inch, 927 Zone, Rock Mountain Road - SR-125/EastLake Martin - - - 0% 140 - 140 0% No budget in FY 2014.
R2047 RecPL - 12-Inch, 680 Zone, La Media Road - Birch/Rock Mountain Martin - - - 0% 450 - 450 0% No budget in FY 2014.
R2048 RecPL - Otay Mesa Distribution Pipelines and Conversions Martin 100 - 100 0% 2,200 471 1,729 21% Developer driven project.
R2058 RecPL - 16-Inch, 860 Zone, Airway Road - Otay Mesa/Alta Martin 100 - 100 0% 3,500 1,339 2,161 38% Developer driven project.
R2077 RecPL - 24-Inch, 860 Zone, Alta Road - Alta Gate/Airway Kennedy 135 3 132 2% 4,500 2,746 1,754 61%
Anticipate spending full budget by the end of FY
2014.
R2087 RecPL - 24-Inch, 927 Zone, Wueste Road - Olympic/Otay WTP Cameron 5 - 5 0% 7,000 1,030 5,970 15% Project is on hold.
R2091
RecPS - 927-1 Pump Station Upgrade (10,000 GPM) and System
Enhancements Martin 250 88 162 35% 2,130 1,983 147 93%
Project nearing completion. Current work
includes claims resolution.
R2107 RWCWRF Screening Compactor and Chlorine Injectors Enclosure Stalker 60 - 60 0% 130 72 58 55%
Installation contractor being selected and work
will be performed during low recycled water
demand period.
R2108 Res - 927-1 Reservoir Cover Replacement Marchioro 100 61 39 61% 1,400 61 1,339 4%
Project has been accelerated. Construction will
be completed this fiscal year rather than next
fiscal year. Anticipated FY 2014 expenditures
are $1.1M rather than $0.1M.
R2110 RecPS - 927-1 Optimization and Pressure Zone modifications Marchioro 150 - 150 0% 150 - 150 0%
Pending Operations completion of distribution
system improvements, including replacement of
five (5) service saddles.
S2039 Hidden Mountain Lift Station Enclosure Stalker 8 - 8 0%37 30 7 81%
No expenditures anticipated in Q1 and Q2 FY
2014. Installation contractor being selected and
work will be done in the next few months.
S2043 RWCWRF Sludge Handling System Schmidt 50 11 39 22% 1,500 11 1,489 1%
Will use this budget for completion of Feasibility
Study by the end of the year.
Total Capital Facility Projects Total:4,362 647 3,715 15%127,321 18,758 108,563 15%
FISCAL YEAR-TO-DATE, 09/30/13 LIFE-TO-DATE, 09/30/13
2014 09/30/13
CIP No.Description
Project
Manager
FY 2014
Budget Expenses Balance
Expense to
Budget % Budget Expenses Balance
Expense to
Budget %Comments
CAPITAL FACILITY PROJECTS -
REPLACEMENT/RENEWAL PROJECTS
p2366 APCD Engine Replacements and Retrofits Rahders 5 15 (10) 300%3,488 2,497 991 72%
Moved $45,000 from future years to Fiscal Year
2014 for the purchase of required emissions
retrofit equipment.
P2382 Safety and Security Improvements Ramirez 500 17 483 3% 3,397 1,920 1,477 57%
$150,000 in system upgrades have been
identified for completion before the end of the
3rd quarter. It is expected that the majority of the
balance will be expensed this year and the
remaining in FY 2015.
P2440 I-905 Utility Relocations Marchioro 10 1 9 10% 1,600 1,581 19 99%
Staff anticipates that Caltrans will issue a
$159,576 credit to Otay. Staff anticipates that
Caltrans will issue an additional $33,493 credit
to Otay; however, the $33,493 credit is on hold
pending Caltrans' receipt of final accounting
numbers from the City of San Diego's sewer
contractor.
p2453 SR-11 Utility Relocations Marchioro 125 5 120 4% 2,250 163 2,087 7%
On target. Construction phase award scheduled
for January 2014.
P2477 Res - 624-1 Reservoir Cover Replacement Martin 50 22 28 44% 1,000 918 82 92% Project is complete.
P2485 SCADA Communication System and Software Replacement Stalker 540 24 516 4% 1,846 793 1,053 43%
SCADA selection process is underway with a
NTP anticipated for January 2014. Bid package
is being prepared for South Wireless Radio
Project.
P2493 624-2 Reservoir Interior/Exterior Coating Cameron 1,550 21 1,529 1% 1,950 37 1,913 2% Construction to begin in 3rd quarter of FY 2014.
P2494 Multiple Species Conservation Plan Coburn-Boyd 60 1 59 2% 887 800 87 90%
Will use this budget the last half of Fiscal Year
2014.
P2495 San Miguel Habitat Management/Mitigation Area Coburn-Boyd 140 10 130 7% 2,040 904 1,136 44%
Budget will be used. Expenses are less the first
half of the budget year. Anticipated using full
budget by the end of FY 2014.
P2496 Otay Lakes Road Utility Relocations Martin 70 4 66 6% 325 279 46 86% Work under construction.
P2504 Regulatory Site Access Road and Pipeline Relocation Cameron 325 5 320 2% 900 320 580 36%
Project is on hold until funds are available from
San Miguel Fire.
P2507 East Palomar Street Utility Relocation Cameron 230 63 167 27% 900 345 555 38%
Caltrans driven project. Construction to be
completed in 2015.
P2508 Pipeline Cathodic Protection Replacement Program Marchioro 60 1 59 2% 300 4 296 1%
Board to award contract to Cathodic Protection
Services Program consultant on November 6,
2013.
FISCAL YEAR-TO-DATE, 09/30/13 LIFE-TO-DATE, 09/30/13
2014 09/30/13
CIP No.Description
Project
Manager
FY 2014
Budget Expenses Balance
Expense to
Budget % Budget Expenses Balance
Expense to
Budget %Comments
CAPITAL FACILITY PROJECTS -
P2513 East Orange Avenue Bridge Crossing Cameron 300 117 183 39% 1,350 1,282 68 95%
Project was accelerated at the request of
Caltrans. Construction complete. Contractor is
processing punchlist items. Project acceptance
will be in the 2nd quarter of FY 2014.
P2515 870-1 Reservoir Paving Cameron 490 14 476 3% 550 71 479 13%
Project is in design. Additional environmental
surveys will delay construction expenditures.
P2518 803-3 Reservoir Interior/Exterior Coating Cameron 125 47 78 38% 750 557 193 74%
Contractor is performing disinfection procedures.
Construction is expected to be completed in 2nd
quarter of FY 2014.
p2519 832-2 Reservoir Interior/Exterior Coating Cameron 335 260 75 78% 775 529 246 68%
Contractor is performing disinfection procedures.
Construction is expected to be completed in 2nd
quarter of FY 2014.
P2520 Motorola Mobile Radio Upgrade Martinez 30 - 30 0% 100 64 36 64% No planned Expeditures in Q1 FY 2014.
P2521 Large Meter Vault Upgrade Program Holly 105 9 96 9% 600 205 395 34%
Retrofit of vaults will continue as sites are
identified.
P2529 711-2 Reservoir Interior & Exterior Coating Cameron - - - 0% 600 - 600 0% No budget for FY 2014.
P2530 711-1 Reservoir Interior & Exterior Coating Cameron - - - 0% 725 - 725 0% No budget for FY 2014.
P2531 944-1 Reservoir Interior & Exterior Coating Cameron 5 - 5 0% 175 - 175 0%
Expenditures expected in the 4th quarter of FY
2014.
P2532 944-2 Reservoir Interior & Exterior Coating Cameron 5 - 5 0% 725 - 725 0%
Expenditures expected in the 4th quarter of FY
2014.
P2533 1200-1 Reservoir Interior & Exterior Coating Cameron - - - 0% 325 - 325 0% No budget for FY 2014.
P2534 978-1 Reservoir Interior & Exterior Coating Cameron - - - 0% 225 - 225 0% No budget for FY 2014.
P2535 458-2 Reservoir Interior Coating Cameron 345 4 341 1% 425 12 413 3% Project will be delayed until FY 2015.
P2538
Administration and Operations Building Fire Sprinkler Replacement
Program Cameron 100 1 99 1% 400 1 399 0% Design to begin in 2nd quarter of FY 2014.
R2109
Sweetwater River Wooden Trestle Improvement for the Recycled Water
Forcemain Coburn-Boyd 100 - 100 0% 350 - 350 0%
Spending for this project will occur later this
Fiscal Year.
R2111 RWCWRF - RAS Pump Replacement Schmidt 100 1 99 1% 100 1 99 1%
On track, waiting on pump repair quote to finalize
budget impact.
S2012
San Diego County Sanitation District Outfall and RSD Outfall
Replacement Kennedy 450 - 450 0% 3,550 817 2,733 23%
The County will invoice the District at the end of
the fiscal year.
S2024 Campo Road Sewer Main Replacement Schmidt 275 18 257 7% 5,500 63 5,437 1%
On track for release of design contract by March
2014.
S2027 Rancho San Diego Pump Station Rehabilitation Schmidt 500 3 497 1% 2,900 42 2,858 1%
The County is expected to invoice the District
after the Board approves the agreement with the
County at the January Board meeting.
S2033 Sewer System Rehabilitation Schmidt 800 78 722 10% 6,000 310 5,690 5%
On track for design to be completed by end of
December 2013, with construction started by
March 2014.
Total Replacement/Renewal Projects Total:7,730 741 6,989 10%47,008 14,515 32,493 31%
FISCAL YEAR-TO-DATE, 09/30/13 LIFE-TO-DATE, 09/30/13
2014 09/30/13
CIP No.Description
Project
Manager
FY 2014
Budget Expenses Balance
Expense to
Budget % Budget Expenses Balance
Expense to
Budget %Comments
CAPITAL FACILITY PROJECTS -
CAPITAL PURCHASE PROJECTS
P2282 Vehicle Capital Purchases Rahders 266 - 266 0% 5,021 2,876 2,145 57% No planned expeditures in Q1 FY 2014.
P2285 Office Equipment and Furniture Capital Purchases Dobrawa 55 - 55 0% 589 504 85 86%
Purchases will be made throughout the year and
expenses will be at budget by year end.
p2286 Field Equipment Capital Purchases Rahders 149 - 149 0% 1,758 1,163 595 66%
Purchases will be made throughout the year and
expenses will be at budget by year end.
P2469 Information Technology Network and Hardware Segura 350 28 322 8% 2,509 1,413 1,096 56%
Project is under bid; will meet spending target for
FY 2014.
P2470 Financial System Enhancements Stevens 130 6 124 5% 2,322 1,625 697 70%
Project is under development; will meet target in
FY 2014.
P2540 Work Order Management System Replacement Stevens 300 - 300 0% 700 - 700 0%
System is being bid; expect to award contract in
January 2014.
S2042 Sewer Vehicle Capital Purchases Rahders 367 - 367 0% 367 - 367 0%
This is expected to be expensed 100% by
January 2014.
Total Capital Purchase Projects Total:1,617 34 1,583 2%13,266 7,581 5,685 57%
DEVELOPER REIMBURSEMENT PROJECTS
P2104 PL - 12-Inch, 711 Zone, La Media Road - Birch/Rock Mountain Martin - - - 0% 833 - 833 0% No budget in FY 2014.
P2107 PL - 12-Inch, 711 Zone, Rock Mountain Road - La Media/SR 125 Martin - - - 0% 722 - 722 0% No budget in FY 2014.
R2082 RecPL - 24-Inch, 680 Zone, Olympic Parkway - Village 2/Heritage Martin 1 - 1 0% 1,747 - 1,747 0%
Developer driven project. No major activity
anticipated for FY 2014.
R2083 RecPL - 20-Inch, 680 Zone, Heritage Road - Village 2/Olympic Martin 1 - 1 0% 400 - 400 0%
Developer driven project. No major activity
anticipated for FY 2014.
R2084 RecPL - 20-Inch, 680 Zone, Village 2 - Heritage/La Media Martin 1 - 1 0% 971 1 970 0%
Developer driven project. No major activity
anticipated for FY 2014.
R2085 RecPL - 20-Inch, 680 Zone, La Media - State/Olympic Martin 1 - 1 0% 600 - 600 0%
Developer driven project. No major activity
anticipated for FY 2014.
R2094 Potable Irrigation Meters to Recycled Water Conversions Martin 150 40 110 27% 1,700 1,605 95 94% Project under construction.
Total Developer Reimbursement Projects Total:154 40 114 26%6,973 1,606 5,367 23%
GRAND TOTAL 13,863$ 1,462$ 12,401$ 11% 194,568$ 42,460$ 152,108$ 22%
FISCAL YEAR-TO-DATE, 09/30/13 LIFE-TO-DATE, 09/30/13
Otay Water District
Capital Improvement Program
Fiscal Year 2014
First Quarter
(through September 30, 2013)
Attachment C
7/9/2013
Orange Avenue 12” Waterline Installation
Background
The approved CIP Budget for Fiscal Year 2014 consists of
63 projects that total $13.9 million. These projects are
broken down into four categories.
1.Capital Facilities $ 4.4 million
2.Replacement/Renewal $ 7.7 million
3.Capital Purchases $ 1.6 million
4.Developer Reimbursement $ 0.2 million
Overall expenditures through the First Quarter Fiscal
Year 2014 totaled $1.5 million, which is 11% of the Fiscal
Year budget.
2
Fiscal Year 2014
First Quarter Update
($1,000)
CIP
CAT Description FY 2014
Budget
FY 2014
Expenditures
%
FY 2014
Budget
Spent
Total Life-to-
Date Budget
Total
Life-to-Date
Expenditures
%
Life-to-
Date
Budget
Spent
1 Capital
Facilities $4,362 $647 15% $127,321 $18,758 15%
2 Replacement/
Renewal $7,730 $741 10% $47,008 $14,515 31%
3 Capital
Purchases $1,617 $34 2% $13,266 $7,581 57%
4 Developer
Reimbursement $154 $40 26% $6,973 $1,606 23%
Total:
$13,863 $1,462 11% $194,568 $42,460 22%
3
Fiscal Year 2014
First Quarter
CIP Budget Forecast vs. Expenditures
4
District Map of Major CIP Projects
5
CIP Projects in Construction
Orange Avenue/I-805 12”
Potable Water Installation
(P2513)
Installation of New 12”
Water Line To Replace The
Palomar Avenue Line
During Palomar Bridge
Replacement By Caltrans
$1.35M Budget
Start: January 2013
Substantial Completion:
August 2013
12” Steel Pipe in I-805/Orange Avenue Bridge
6
7/2/2013
CIP Projects in Construction
803-3 & 832-2 Reservoir
Interior/Exterior Coating &
Upgrades(P2518/P2519)
Remove and Replace
Deteriorating Reservoir
Coatings
Structural Modifications
Including Level Indicator
Replacement and Anode
Replacement
$1.53M Budget
Start: March 2013
Estimated Completion:
November 2013
7
7/3/2013
7/12/2013
Above: 803-3 Interior Coating
Below: 832-2 Exterior Blast Containment
8
Construction Contract Status
CIP NO. PROJECT TITLE CONTRACTOR
BASE BID
AMOUNT
CONTRACT
AMOUNT W/
ALLOWANCE
S
NET CHANGE ORDERS
LTD*CURRENT
CONTRACT
AMOUNT
TOTAL
EARNED
TO DATE
% CHANGE
ORDERS W/
ALLOWANC
E CREDIT**
%
COMPLETE
EST.
COMP.
DATEPROJECT
TOTAL %
R2091
944-1R Recycled
Pump Station
Upgrade &
System
Enhancements
Sepulveda $1,099,423 $1,162,423 $90,505 8.2%$1,252,928 $1,232,928 7.8% 98.4%
October
2013
P2514
30-Inch Potable
Pipeline in Hunte
Parkway
Sepulveda $1,172,257 $1,212,257 $126,233 10.8%$1,312,508 $1,312,508 8.3% 100.0%
Complete
June 2013
P2513
Orange Avenue/
I-805 12" Potable
Water Installation
Basile $767,000 $872,000 $19,290 2.5% $891,290 $891,290 2.2% 100.0%
Complete
August
2013
P2518/
P2519
803-3 & 832-2
Reservoirs
Coating
Advanced
Industrial
Services
$876,900 $946,900 $0 0.0% $876,900 $823,250 -7.4% 93.9%
November
2013
TOTALS: $3,915,580 $4,193,580 $236,028 6.0%$4,333,626 $4,259,976 3.3%
*NET CHANGE ORDERS DO NOT INCLUDE ALLOWANCE ITEM CREDITS. IT'S A TRUE CHANGE ORDER PERCENTAGE FOR THE PROJECT.
**THIS CHANGE ORDER RATE INCLUDES THE CREDIT FOR UNUSED ALLOWANCES
Consultant Contract Status
9
Consultant
CIP
No.Project Title
Original
Contract
Amount
Total
Change
Orders
Revised
Contract
Amount
Approved
Payment To
Date
%
Change
Orders
%
Project
Complete
Date of
Signed
Contract
End Date
of
Contract
PLANNING
ARCADIS U.S., INC.Varies WASTEWATER MANAGEMENT PLAN FY12-13 $ 349,979.36 $ - $ 349,979.36 $ 349,971.86 0.0% 100.0% 8/3/2011
COMPLETE
12/31/2013
BROWN AND CALDWELL P1210 IWRP 2013 UPDATE $ 5,000.00 $ - $ 5,000.00 $ - 0.0% 0.0% 9/17/2013 12/31/2013
NARASIMHAN CONSULTING Varies HYDRAULIC MODELING SERVICES $ 175,000.00 $ - $ 175,000.00 $ 85,633.50 0.0% 48.9% 5/2/2011 6/30/2014
DESIGN
AECOM P2451
OTAY MESA CONVEYANCE AND DISINFECTION
SYSTEM (DESIGN ENGINEER) $ 3,910,297.00 $ - $ 3,910,297.00 $ 421,284.83 0.0% 10.8% 1/3/2011 6/30/2016
AEGIS ENGINEERING MGMT INC VARIES AS-NEEDED DESIGN SERVICES FY13-14 $ 300,000.00 $ - $ 300,000.00 $ 118,419.40 0.0% 39.5% 11/1/2012 6/30/2014
ARCADIS U.S., INC.
P2434,
P2511
VALUE ENGINEERING AND CONSTRUCTIBILITY
REVIEW $ 153,628.00 $ - $ 153,628.00 $ 65,308.73 0.0% 42.5% 1/18/2012 6/30/2014
ATKINS Varies
AS-NEEDED ENGINEERING DESIGN SERVICES
FY12-13 $ 175,000.00 $ - $ 175,000.00 $ 143,646.06 0.0% 82.1% 10/25/2011 6/30/2015
BSE ENGINEERING INC Varies AS-NEEDED ELECTRICAL SERVICES $ 100,000.00 $ - $ 100,000.00 $ - 0.0% 0.0% 6/1/2012 6/30/2014
BUSTAMANTE & ASSOCIATES P2451
OTAY MESA CONVEYANCE AND DISINFECTION
SYSTEM (BINATIONAL WATER AND RELATED
ISSUES) $ 39,500.00 $ - $ 39,500.00 $ 7,000.00 0.0% 17.7% 1/1/2013 10/31/2013
DARNELL & ASSOCIATES Varies AS-NEEDED TRAFFIC ENGINEERING SERVICES $ 125,000.00 $ - $ 125,000.00 $ - 0.0% 0.0% 6/12/2012 6/30/2014
HECTOR MARES-COSSIO P2451
OTAY MESA CONVEYANCE AND DISINFECTION
SYSTEM (BINATIONAL WATER AND RELATED
ISSUES) $ 120,000.00 $ - $ 120,000.00 $ 21,600.00 0.0% 18.0% 4/1/2013 3/31/2015
LEE & RO INC P2511 OTAY INTERCONNECT PIPELINE $ 2,769,119.00 $ - $ 2,769,119.00 $1,024,361.46 0.0% 37.0% 11/4/2010 12/31/2015
MICHAEL D.KEAGY REAL ESTATE VARIES AS-NEEDED APPRAISAL SERVICES FY13-14 $ 45,000.00 $ - $ 45,000.00 $ - 0.0% 0.0% 9/5/2012 6/30/2014
SILVA SILVA CONSULTING P2451
OTAY MESA CONVEYANCE AND DISINFECTION
SYSTEM (BINATIONAL WATER AND RELATED
ISSUES) $ 104,000.00 $ - $ 104,000.00 $ 72,000.00 0.0% 69.2% 5/1/2012 6/30/2014
SOUTHERN CALIFORNIA SOIL VARIES GEOTECHNICAL SERVICES FY13-15 $ 175,000.00 $ - $ 175,000.00 $ 2,234.00 0.0% 1.3% 12/10/2012 6/30/2015
TETRA TECH, INC P2434 RANCHO DEL REY WELL - PHASE 2 $ 724,493.50 $ 23,749.00 $ 748,242.50 $ 404,445.17 3.3% 54.1% 4/21/2011 12/31/2014
V & A CONSULTING Varies
VALUE ENGINEERING AND CONSTRUCTIBILITY
REVIEW $ 392,729.00 $ - $ 392,729.00 $ 298,601.09 0.0% 76.0% 6/23/2011
COMPLETE
9/30/2013
Consultant Contract Status
10
Consultant
CIP
No.Project Title
Original
Contract
Amount
Total
Change
Orders
Revised
Contract
Amount
Approved
Payment To
Date
%
Change
Orders
%
Project
Complete
Date of
Signed
Contract
End Date
of
Contract
CONSTRUCTION SERVICES
AIRX UTILITY SURVEYORS Varies AS-NEEDED SURVEYING SERVICES FY 14-15 $ 175,000.00 $ - $ 175,000.00 $ - 0.0% 0.0% 9/18/2013 6/30/2015
ALTA LAND SURVEYING, INC. Varies AS-NEEDED SURVEYING SERVICES $ 175,000.00 $ - $ 175,000.00 $ 170,358.75 0.0% 97.3% 8/15/2011 6/30/2014
ALYSON CONSULTING Varies CONSTRUCTION MGMT/INSPECTION FY 13-15 $ 350,000.00 $ - $ 350,000.00 $ 109,540.00 0.0% 31.3% 10/24/2012 6/30/2015
CLARKSON LAB & SUPPLLY Varies AS-NEEDED BACTERIOLOGICAL TESTING FY 14 $ 15,000.00 $ 15,000.00 $ 7,278.00 0.0% 48.5% 7/1/2013 6/30/2014
HARPER & ASSOCIATES P2493
COATING INSPECTION SERVICES ON THE 624-2
& 458-2 RESERVOIR $ 75,160.00 $ 75,160.00 $ - 0.0% 0.0% 8/27/2013 7/3/2014
ENVIRONMENTAL
ICF INTERNATIONAL (aka JONES &
STOKES ASSOCIATES)Varies
AS-NEEDED ENVIRONMENTAL CONSULTING
SERVICES $ 375,000.00 $ - $ 375,000.00 $ 275,151.57 0.0% 73.4% 9/9/2010 6/30/2014
MERKEL & ASSOCIATES Varies
SAN MIGUEL HABITAT MANAGEMENT AREA
AND CIP-ASSOCIATED MITIGATION PROJECTS $ 359,079.00 $ - $ 359,079.00 $ 212,409.43 0.0% 59.2% 12/14/2011 12/31/2014
RECON P2494 PREPARATION OF THE SUBAREA PLAN $ 270,853.00 $ - $ 270,853.00 $ 190,221.86 0.0% 70.2% 3/28/2008 6/30/2015
WATER RESOURCES
MICHAEL R. WELCH P2481 ENGINEERING PLANNING SVCS. $ 40,000.00 $ - $ 40,000.00 $ 30,375.00 0.0% 75.9% 3/25/2009 6/30/2015
PUBLIC SERVICES
AEGIS ENGINEERING MANAGEMENT Varies
RECYCLED WATER PLAN CHECKING, RETROFIT,
AND INSPECTION SERVICES FOR DEVELOPER
PROJECTS $ 300,000.00 $ - $ 300,000.00 $ 293,016.68 0.0% 97.7% 1/20/2010 12/30/2013
AEGIS ENGINEERING MANAGEMENT Varies
RECYCLED WATER PLAN CHECKING, RETROFIT,
AND INSPECTION SERVICES FOR DEVELOPER
PROJECTS $ 300,000.00 $ - $ 300,000.00 $ 306,707.34 0.0% 102.2% 11/24/2010 12/30/2013
AEGIS ENGINEERING MANAGEMENT Varies AS-NEEDED DEVELOPER PROJECTS FY 14-15 $ 350,000.00 $ - $ 350,000.00 $ 6,164.50 0.0% 1.8% 8/20/2013 6/30/2015
TOTALS: $12,448,837.86 $ 23,749.00 $12,122,586.86 $4,615,729.23 0.2%
QUESTIONS?QUESTIONS?
11
STAFF REPORT
TYPE
MEETING:
Regular Board
MEETING
DATE:
November 6, 2013
SUBMITTED
BY:
Mark Watton
General Manager
W.O./G.F.
NO:
N/A DIV.
NO.
N/A
APPROVED BY:
Mark Watton, General Manager
SUBJECT: General Manager’s Report
GENERAL MANAGER:
Cuyamaca College Drive East Water Main Break - As reported to
your Board on October 8, the District experienced a water-line
break in the transmission main serving the 803 Reservoirs on
October 7. The break occurred at the connection to a blow-off
valve and situated approximately 15-feet below ground in an
open-space area close to Cuyamaca College Drive East in Rancho
San Diego. The transmission main is a 30-inch steel pipeline
built in 1995. At the time, staff estimated the size of the
break to be approximately 100 gallons per minute, with water
running into an adjacent drainage bed. The line was isolated
and the District fed the affected reservoirs through two
adjacent systems. The pipeline break occurred in Division 5 and
no customers were without service.
The area where the break occurred is heavily vegetated;
therefore, based on the terrain, the depth and reach needed to
perform the repair, Utility Maintenance staff recommended
utilizing an outside contractor to perform the work. Cass
Construction began the work on October 8 and completed it on
October 9 with an estimated cost of $60,000. Environmental
Specialist, Lisa Coburn-Boyd, assessed the site and coordinated
the environmental aspects of the repair.
Staff was in contact with representatives of Cuyamaca Community
College and advised the management of the adjacent Villa
Montevina HOA about the break and needed repair work.
Community Outreach - The District had a booth, information
table, or supported the following events from late September to
October:
AGENDA ITEM 12
2
o Chula Vista Harborfest – 9/21
o Spring Valley Fiesta – 9/21
o Bonitafest – 9/28
o Beautify Chula Vista – 10/12 (Two sites: Discovery Park and
Otay Recreation Center)
o The Blue Book Building and Construction Network – 10/16
o 4th Annual Spring Valley Tailgate and BBQ Festival – 10/20
o 50th Annual Jamulfest – 10/20
o Water Smart Plant Fair at The Home Depot, Eastlake Parkway
location – 10/26
o U.S. Probation Department’s Re-Entry Transition Fair – 10/29
o Water Conservation Garden’s Fall Plantstravaganza – 11/2
ADMINISTRATIVE SERVICES:
Purchasing, Facilities, and Water Conservation:
Contractor Outreach - Purchasing and Engineering staff
participated in a contractor outreach event held at the
Doubletree Hotel in Mission Valley on October 16th. The event
was hosted by Contractor's Blue Book and was well attended.
During the event, staff was able to present the District's 5-
year CIP plan and provide information to prospective suppliers
and service providers.
Purchase Orders – There were 70 purchase orders processed in
October 2013 for a total of $888,351.04.
CWA’s eGuide to a Water Smart Lifestyle – Utilizing the
internet, the 140-page digital flipbook provides interactive
features that allow users to watch videos and scroll through a
myriad of water conservation topics reflective of San Diego
County's climate zones. The online eBook includes plant
finders, interactive maps, animated graphics, home and garden
calculators, landscape design tools, and details about rebates
and incentives. Each topic is fully linked to online resources,
allowing users to quickly access additional information. The
eGuide to a Water Smart Lifestyle is available at
watersmartsd.org.
Grass Removal Rebate – The CWA-provided $1.50/sq. ft. rebate
can now be combined with the MWD-provided $1.00/sq. ft. rebate.
Residential and commercial sites within the District can
receive $2.50/sq. ft. to remove grass when following each
respective agency’s application and qualifying protocols. The
rebate for both agencies is limited to material and supplies
and does not cover any labor costs.
3
Human Resources: Holiday Event – Mark your calendars to attend the District’s
Holiday Party. The event will be held at Marina Village on
Saturday, December 7th, from 6:30 pm – 11:30 pm.
Open Enrollment – October is Open Enrollment month. In addition
to the District’s general open enrollment period, there are
several other activities occurring during the month:
o Annual Flu Shots were held at the District on October 9th
o An open enrollment informational meeting was held on October
16th
o Representatives from the District’s deferred compensation
providers were onsite to assist employees in managing their
deferred compensation accounts and to answer questions.
o CalPERS was onsite for a brief informational meeting to
ensure that the District’s employees fully understand their
CalPERS Pension Plan and to answer any questions.
o The District participated in Retirement Planning Week by
providing information and resources for the employees to
ensure they are planning well for their retirement.
Recruitments – Human Resources is in the process of recruiting
for a Water Systems Operator I/II/III and preparing to recruit
for a Construction Inspector I/II.
New Hires – There were no new regular hires in the month of
October. However, the District participates in the San Diego
County Water Authority’s Intern program and one intern began
working in the Operations department.
INFORMATION TECHNOLOGY AND STRATEGIC PLANNING:
DigSmart Application - Staff is implementing a replacement
integrated GIS solution for providing mark-out services when
customers need information regarding where utility lines are
located prior to digging. The product called Dig-Smart
Analyzer uses our ARCGIS 10.1 software and toolbar to provide
ticket screeners with a dependable and user-friendly
environment for performing and conducting ticket analysis. As
this is a critical service for safety and protecting against
infrastructure damage, the GIS integration and automated
business process is very useful. It is replacing a similar but
now obsolete product. The DigSmart application is also
integrated into the new field computer interface called iWater,
which is also being implemented this year.
4
Open Enrollment for Human Resources (HR) - Staff has completed
changes and additions to the Open Enrollment process for
HR. This is the third year since staff automated what used to
be a very time intensive effort for HR. Only relatively minor
changes were required and HR staff was quite pleased with the
automated process.
Payment Automation - Staff has automated the direct payment of
Child Support Payments through an electronic interface to the
state to pay any required employee payments. This used to
require writing separate checks and a complicated tracking
effort. Now a “front end process” directly deposits these funds
with the state.
Vendor Interviews - During the next month, staff will be
conducting on-site interviews for vendors to support both the
required replacement of the SCADA and the Work Management
system. Both projects will commence early next year with the
results of the RFP processes presented to the Board in
January. The on-site vendor interviews are a very critical
step in selecting the correct solutions. Operations, Finance,
IT and Engineering are participating in the team based
selection process.
IT Server/Data Center Hardware RFP - IT staff is in the process
of finalizing a request for bid for IT server and data center
hardware. This budgeted IT Infrastructure replacement of CISCO
switches will provide more reliable and powerful data
processing capabilities and help ensure that the new systems
mentioned above (SCADA, Work Management and GIS) all have a
solid network platform for many years to come.
Network Security - The process of being aware and attentive to
security and risks from outside our network is always
important. This last month, staff has been taking advantage of
the new cloud-based architecture in place and using the cloud
as a screening device to purge viruses and malware from items
sent to the District before they enter our internal
network. For both email and web traffic, District bound
messages go through external filters and screening software
where problems are caught and removed prior to being received
by the District. While there is always risk of an intrusion,
these methods and approaches offer the most cost-effective
solutions available. A reminder that security is everyone’s
responsibility is regularly sent to staff, and any time staff
receives a questionable item, it is requested that they refer
it to IT, and in particular, not to open suspicious items.
5
Firetide Radio Services - IT is currently engaged with Day
Wireless, a professional services vendor, for Firetide Radio
services. The purpose of this project is to enhance the
overall performance and reliability of the North Segment
Firetide Radio Network, which is the backhaul carrier of our
SCADA system. Accomplishments up to this point are uniformed
encryption for all radio nodes for enhanced security, greater
redundancy through configuration of “self-healing” parameters,
updating of firmware to the same revision for all radio nodes
and fine-tuning of frequency parameters to enhance stability.
Post service results have shown performance improvements and a
significant reduction of communication alarms. IT and Day
Wireless will continue to monitor and fine tune. Next steps
will be to replace a number of older 6000 radios with 7000-900
units and enable 900MHz frequency range to provide path
diversity and reduce single points of failure. It is
anticipated that this work will be completed by the end of the
month.
FINANCE:
Supplemental Water Rates - In 1993, the Board adopted
supplemental water rates for ID 3, ID 10 and La Presa (ID 1) to
fund the necessary water facilities for those existing
customers. The proceeds of these fees have been set aside in a
separate account and have been used solely for construction,
installation, and maintenance of water facilities serving these
IDs. For ID 3 and La Presa (ID 1) these fees will expire at
the end of calendar year 2013. For ID 10, the supplemental
water fee is set to expire at the end of calendar year 2018.
The expiration of these fees does not affect operating fund
revenues as these were set aside for specific purposes noted
above.
State Controller’s Report – Staff has completed the submission
of the District’s State Controller’s Report to the Division of
Accounting and Reporting at the State Controller’s Office. The
Controller’s Report is a summary of financial transactions
required by the State, to be submitted to the State
Controller’s office within 110 days after the close of the
fiscal year.
Financial Reporting:
o For the two months ended September 30, 2013, there are total
revenues of $25,474,644 and total expenses of
$23,940,094. The revenues exceeded expenses by $1,534,550.
o The market value shown in the Portfolio Summary and in the
Investment Portfolio Details as of September 30, 2013 total
$78,061,880.87 with an average yield to maturity of 0.38%.
The total earnings year-to-date are $76,073.47.
6
ENGINEERING AND WATER OPERATIONS:
Engineering:
30-Inch, 980 Zone, Hunte Parkway – Proctor Valley/Use Area:
This project consists of the installation of approximately 2,240
linear-feet of 30-inch steel pipe and appurtenances on Hunte
Parkway at Proctor Valley Road, at the entrance to the Salt
Creek Golf Course, in the City of Chula Vista. The contract has
been accepted and the Notice of Completion was recorded with the
County of San Diego on July 8, 2013. The contractor, Sepulveda
Construction, has submitted change requests and claims for items
including extended overhead and traffic control delays on the
project. Staff has evaluated these requests and has provided
entitlement decisions indicating “no merit” on these requests
based on the information submitted by Sepulveda Construction.
Sepulveda has requested mediation of the submitted claims. The
Project is within budget and construction is completed. (P2514)
Otay Interconnect Pipeline: This project consists of
installing approximately 5.2 miles of 30-inch diameter pipe
from H Street in Chula Vista to Paradise Valley Road in Spring
Valley. District staff is working with Sweetwater Authority
staff to develop technical concepts to share corridors with
future Sweetwater Authority pipelines. District staff is also
working with Caltrans regarding pump station parcels identified
in the DEIR. Staff is scheduled to present at the next
regularly scheduled Ames Ranch HOA board meeting on November
18, 2013 regarding the possibility of constructing the pipeline
in the horse trail between San Miguel Road and Central Avenue.
(P2511)
927-1 Reservoir Liner and Cover Replacement: This project
consists of replacing the liner and floating cover on the 927-1
recycled water reservoir which is also known as Pond 4 located
in the Salt Creek Golf Course. The existing liner and cover
have reached the end of their useful life and in need of
replacement. The bid opening was held September 19, 2013 and
Layfield Environmental Systems Corporation was the apparent low
bidder. Award of the contract is scheduled at the November 6,
2013 Board Meeting. The Project is within budget and
anticipated to be completed in April 2014. (R2108)
944‐1R Recycled Water Pump Station Upgrades and System
Enhancement: This project consists of the installation of a
new pump, reconfiguration of the suction header piping,
upgrades to the instrumentation, SCADA system, and equipment at
the 944-1R pump station. The project also includes the
installation of three (3) Pressure Reducing Stations (PRS) on
7
Olympic Parkway, Eastlake Parkway, and Otay Lakes Road.
Sepulveda submitted an additional change request for extended
overhead on the project. Staff has evaluated this request and
has provided an entitlement decision indicating “no merit”
based on the information submitted by Sepulveda Construction
and reminded the Contractor of the contractual requirements
regarding claims and disputed work. The Project is within
budget and acceptance of the construction contract is
anticipated in November 2013. (R2091)
803-3 & 832-2 Reservoirs Interior/Exterior Coatings and
Upgrades: This project consists of removing and replacing the
interior and exterior coatings of the 803-3 Reservoir 2.0 MG
and the 832-2 Reservoir 2.0 MG, along with providing structural
upgrades to ensure the tanks comply with both State and Federal
OSHA standards as well as American Water Works Association and
County Health Department standards. The Contractor, Advanced
Industrial Services (AIS), has completed all work on the
project and awaiting passing tests. The Project is within
budget. (P2518 & P2519)
Dehesa Road: The District received correspondence from the
County of San Diego regarding a trench failure of the asphalt
concrete pavement constructed as part of the work performed
under a County Department of Public Works (DPW) Permit issued
to the Dehesa School District. The permit was issued to extend
the existing water main on Dehesa Road to serve the School
District. Work, including the trench restoration, was
performed and completed under a District Developer agreement
and the permit was closed by the DPW in 2005. District staff
has initiated discussions with DPW staff to review the trench
condition as well as the overall condition of Dehesa Road.
Spaghetti Line Requests: As provided for in the District’s
Board of Directors Policy No. 10, a spaghetti line (private
water lateral) can be considered by the District when it has
been determined that the extension of a District main is not
practical or feasible. In an effort to memorialize the
District’s approval of a spaghetti line and delineate the
responsibilities of the requesting property owner and the
District, staff has developed a Private Lateral agreement.
Upon the District’s approval of a spaghetti line request, the
Private Lateral agreement will be executed and recorded with
the property. The recording of this agreement with the
property will serve as a disclosure of the spaghetti line to
future owners as ownership of the property changes.
624-2 Reservoir Interior/Exterior Coatings & Upgrades: This
project consists of removing and replacing the interior and
exterior coatings of the 624-2 8.0 MG Reservoir, along with
8
providing structural upgrades to ensure the tanks comply with
both State and Federal OSHA standards as well as American Water
Works Association and County Health Department standards. This
project is re-bidding after the original bids were rejected at
the October Board Meeting. The Project went out to re-bid on
October 7, 2013. A Pre-Bid Meeting was held October 15, 2013,
and the Bid Opening was held on October 29, 2013. (P2493)
Regulatory Site Access Road: This project will improve the
existing access road from the Sheriff substation to the
reservoir site. The San Miguel Fire Department (San Miguel)
does not have funding in place for the construction of the
road, or for the maintenance of the Skyline Church entrance.
San Miguel is negotiating with the County in trying to get
temporary access to their Training Facility at the Regulatory
Site, but they are required to construct a deceleration lane in
SR-94 per their Major Use Permit. San Miguel is partnering up
with Heartland Fire and other County Fire Departments to
increase revenues for the completion of the Training Facility
and use it for the whole county. This would increase the
traffic counts, as described in the Major Use Permit, for both
the Training Facility and the access road. Skyline Church has
stated they will only allow five (5) trips per day through
their intersection. Until these factors are resolved, the
Project will be put on hold. (P2504)
Administration Building Fire Sprinkler Replacement: This
project consists of removing and replacing the existing fire
sprinkler system in the Administration Building. A recent
inspection of the fire sprinkler system identified corrosion
throughout the systems as the cause for leaks the District
experienced last year, and is recommending the replacement of
the existing fire sprinkler systems piping. The Project was
advertised on October 7, 2013, a Pre-Proposal Meeting was held
on October 17, 2013, and proposals were received by October 29,
2013. (P2538)
San Miguel Habitat Management Area: Work has begun on the
Coastal Cactus Wren Habitat Enhancement/Restoration Project at
the HMA. This project is being funded by a SANDAG TransNet
grant that the District received for the three-year project
with a notice to proceed on September 1, 2013. This project
will enhance the habitat value of the HMA and will encourage
the nesting of the Coastal Cactus Wren, a California Dept. of
Fish & Wildlife special status species, within the HMA. It
also provides a habitat corridor to link existing cactus wren
populations occurring at the Sweetwater Reservoir and in the
area west of Otay Lakes. (P2495)
9
Sweetwater River Wooden Trestle Improvement for the Recycled
Water Forcemain: Initial work on this project began in October
with the clearing of vegetation around the bridge. This
clearing could not be done until the end of the bird breeding
season on October 1, 2013. The poject to enhance this bridge,
to make it less susceptible to fire damage, was discussed with
USFWS Refuge staff since the bridge is within the Refuge.
USFWS staff are interested in working with the District on the
project. The next steps will be to develop alternatives for
the bridge and to determine which of these alternatives is most
feasible, cost-effective, and meets the need for fire-proofing.
(R2109)
Feasibility Study for Addition of Biosolids Treatment Systems
at the Ralph W. Chapman Water Recycling Facility: This project
consists of developing a feasibility analysis and funding
sources for addition of biosolids processing facilities at the
Ralph W. Chapman Water Recycling Facility. The Feasibility
Study was prepared by engineering staff and has been circulated
through Engineering, Finance, and Operations for review and
comment. (S2043)
Rancho San Diego Pump Station Improvements: This project will
make improvements to an existing sewage lift station owned and
operated by the San Diego County Sanitation District (SDCSD).
An Agreement for project cost-sharing has been submitted by the
SDCSD to the Otay Water District for review. SDCSD’s estimated
cost of the project has increased $600,000 since it was first
proposed by the SDCSD. The agreement is under review by
District Counsel and the Engineering Department. A Staff
Report for approval of the agreement is anticipated for the
next Committee and January 2014 Board meetings. (S2027)
County Water Authority Request for Electrical Service: The CWA
has requested the District to consider providing electrical
power for a new acoustic assessment system to be installed in
an existing CWA vault that is currently receiving electrical
power from an existing District metering facility on Ruxton
Road. CWA has offered to pay the entire electricity bill for
the District facility. The new acoustic system is anticipated
to be on-line for two (2) years. District staff are assessing
the regulatory and facilities requirements needed and will
draft a letter agreement with CWA.
The San Diego Recycled Water Study: San Diego is the last
remaining California City that does not treat wastewater to
secondary standards before discharging into the Pacific Ocean,
and its five-year waiver allowing the Point Loma Treatment
Plant to discharge up to 240 MGD of advance primary treated
municipal wastewater into the ocean is set to expire on July
10
31, 2015. The City of San Diego’s 2012 Recycled Water Study
found that direct or indirect potable water reuse could avoid
the estimated $3.5 billion capital and financing cost to
upgrade the treatment plant to meet secondary discharge
standards while providing a new water supply. The Study
outlined a concept that would divert 100 MGD of wastewater flow
for advance treatment and potable reuse. San Diego has a
history of having stakeholder groups fill the leadership void.
The environmental community and the Metro Wastewater Joint
Powers Authority, a coalition of municipalities and districts
representing about 35 percent of Point Loma’s wastewater flow,
have joined forces to advocate for the development of a 100 MGD
regional reuse program.
For the month of September 2013, the District sold 26 meters
(27.5 EDUs) generating $251,678 in revenue. Projection for
this period was 17.5 meters (29.5 EDUs) with a budgeted revenue
of $266,447. Total revenue for Fiscal Year 2014 through
September 2013 is $589,891 against the annual budget of
$3,197,767.
The following table summarizes Engineering's project purchases
issued during the period of September 17, 2013 through October
9, 2013 that were within staff signatory authority:
Date
Action
Amount
Contractor/
Consultant Project
9/17/13 P.O. $5,000 Brown and
Caldwell
Integrated Water Resources
Plan (P1210)
Water Operations:
Total number of potable water meters is 49,110.
The September potable water purchases were 3,341.5 acre-feet
which is 5.8% below the budget of 3,549.0 acre-feet. The
cumulative purchases through September is 10,143.9 acre-feet
which is 0.9% below the cumulative budget of 10,240.8 acre-
feet.
11
The September recycled water purchases and production was 631.3
acre-feet which is 10.4% above the budget of 571.8 acre-feet.
The cumulative production and purchases through September is
1,844.9 acre-feet which is 8.9% above the cumulative budget of
1,693.3 acre-feet.
12
Recycled water consumption for the month of September is as
follows:
Total consumption was 627.4 acre-feet or 204,364,072 gallons
and the average daily consumption was 6,812,136 gallons per
day.
Total recycled water consumption as of September for FY 2014 is
1735.9 acre-feet.
Total number of recycled water meters is 713.
Wastewater flows for the month of September were as follows:
Total basin flow, gallons per day: 1,682,359.
Spring Valley Sanitation District Flow to Metro, gallons per
day: 557,335.
Total Otay flow, gallons per day: 1,125,025.
Flow Processed at the Ralph W. Chapman Water Recycling
Facility, gallons per day: 1,065,143.
Flow to Metro from Otay Water District, gallons per day:
59,882.
By the end of September there were 6,084 wastewater EDUs.
Check Total
41,662.31
6,295.32
4,121.29
693.00
1,206.71
597.82
19,890.00
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
2038338 10/02/13 12174 AECOM TECHNICAL SERVICES INC 10 09/11/13 DISINFECTION SYSTEM (ENDING 8/30/13)46,010.77 46,010.77
2038339 10/02/13 11462 AEGIS ENGINEERING MGMT INC 1205 09/06/13 DESIGN SVCS (7/27/13-8/30/13)19,375.40
1133 09/06/13 DEVELOPER PLAN CHECKS (7/27/13-8/30/13)13,059.18
1301 09/05/13 DEVELOPER PROJECTS (7/29/13-8/30/13)6,164.50
1045 09/06/13 PLAN CHECKING (7/27/13-8/30/13)3,063.23
2038433 10/16/13 11462 AEGIS ENGINEERING MGMT INC 1204 07/31/13 AS NEEDED DESIGN (7/1/13-7/26/13)29,132.00 29,132.00
2038340 10/02/13 07732 AIRGAS SPECIALTY PRODUCTS INC 131304600 09/12/13 AQUA AMMONIA 3,911.98
131304599 09/12/13 AQUA AMMONIA 1,780.70
131304601 09/12/13 AQUA AMMONIA 602.64
2038434 10/16/13 13753 AIRGAS USA LLC 9913022355 09/30/13 BREATHING AIR 41.75 41.75
2038296 09/25/13 14327 AL DACASIN UB44825 09/16/13 CUSTOMER REFUND 70.00 70.00
2038435 10/16/13 14811 ALARMS UNLIMITED INC 154538 09/24/13 SOFTWARE SUPPORT 3,314.29
155267 09/27/13 DOOR SERVICE 329.00
154492 09/17/13 GATE READER 269.00
155253 09/27/13 CAMERA SERVICE 209.00
2038341 10/02/13 14811 ALARMS UNLIMITED INC 154380 09/06/13 READER REPAIRS 359.00
154458 09/13/13 SECURITY REPAIRS 334.00
2038297 09/25/13 14811 ALARMS UNLIMITED INC 153564 08/30/13 CAMERA REPAIRS 607.71
154321 08/30/13 CAMERA REPAIRS 599.00
2038498 10/23/13 15185 ALBERT JOHNSON Ref002430850 10/21/13 UB Refund Cst #0000051140 23.80 23.80
2038436 10/16/13 02362 ALLIED WASTE SERVICES # 509 0509005349253 09/25/13 TRASH SERVICES (OCT 2013)530.33
0509005350901 09/25/13 TRASH SERVICES (OCT 2013)67.49
2038437 10/16/13 12911 ALTA LAND SURVEYING INC 30 09/26/13 SURVEY SERVICES (ENDING 9/30/13)3,432.50 3,432.50
2038438 10/16/13 14462 ALYSON CONSULTING CM201316 09/18/13 CONSTRUCTION MGMT (7/1/13-8/31/13)8,100.00
CM201313 09/18/13 CONSTRUCTION MGMT (7/1/13-8/31/13)4,650.00
CM201314 09/18/13 CONSTRUCTION MGMT (7/1/13-8/31/13)3,000.00
CM201317 09/19/13 CONSTRUCTION MGMT (8/26/13-9/5/13)2,640.00
CM201315 09/18/13 CONSTRUCTION MGMT (7/1/13-8/31/13)1,500.00
2038395 10/09/13 06166 AMERICAN MESSAGING L1109570NJ 10/01/13 PAGER SERVICES (SEPT 2013)217.15 217.15
2038499 10/23/13 15193 ANGELICA MADRIGAL Ref002430858 10/21/13 UB Refund Cst #0000186084 39.74 39.74
Page 1 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
5,775.43
5,776.42
4,851.25
2038499 10/23/13 15193 ANGELICA MADRIGAL Ref002430858 10/21/13 UB Refund Cst #0000186084 39.74 39.74
2038342 10/02/13 00002 ANSWER INC 8899 09/22/13 ANSWERING SERVICES (MONTHLY)1,100.00 1,100.00
2038439 10/16/13 08967 ANTHEM BLUE CROSS EAP 41168 09/27/13 EMPLOYEE ASSISTANCE PROGRAM (OCT 2013)316.66 316.66
2038440 10/16/13 05758 AT&T 0821645728092513 09/25/13 ACCESS TRANSPORT SVCS (9/25/13-10/24/13)2,267.47 2,267.47
2038441 10/16/13 05758 AT&T 61969851400913 09/24/13 LONG DISTANCE (MONTHLY)37.36 37.36
2038298 09/25/13 05758 AT&T 33784130450913 09/07/13 ACCESS TRANSPORT SVCS (9/7/13-10/6/13)31.76 31.76
2038343 10/02/13 05758 AT&T 61942256050913 09/20/13 ACCESS TRANSPORT SVCS (9/20/13-10/19/13)69.45 69.45
2038344 10/02/13 05758 AT&T 61967053090913 09/15/13 LONG DISTANCE (MONTHLY)37.36 37.36
2038500 10/23/13 05758 AT&T 33784130451013 10/07/13 ACCESS TRANSPORT SVCS (10/7/13-11/6/13)31.65 31.65
2038345 10/02/13 07785 AT&T 000004661024 09/02/13 CALNET 2 PHONE SVCS (8/2/13-9/1/13)5,759.30
000004663241 09/02/13 CALNET 2 PHONE SVCS (8/2/13-9/1/13)16.13
2038442 10/16/13 07785 AT&T 000004746829 10/02/13 CALNET 2 PHONE SVCS (9/2/13-10/1/13)5,760.59
000004749046 10/02/13 CALNET 2 PHONE SVCS (9/2/13-10/1/13)15.83
2038501 10/23/13 15199 AVANTI REAL ESTATE Ref002430864 10/21/13 UB Refund Cst #0000198337 75.00 75.00
2038346 10/02/13 06285 BARTEL ASSOCIATES LLC 13518 09/12/13 ACTUARIAL SERVICES (AUG 2013)7,700.00 7,700.00
2038347 10/02/13 03509 BELL, RITA 093013 09/30/13 COMPUTER LOAN 1,261.14 1,261.14
2038299 09/25/13 15144 BENJAMIN LO Ref002430437 09/23/13 UB Refund Cst #0000159489 49.67 49.67
2038502 10/23/13 15201 BEN'S SMOG Ref002430866 10/21/13 UB Refund Cst #0000204222 75.00 75.00
2038348 10/02/13 01046 BLACK & VEATCH CORPORATION 1165987 08/27/13 ASSET MANAGEMENT SERVICES (THRU 8/2/13)4,167.50
1163830 07/18/13 ASSET MANAGEMENT SERVICES (THRU 6/28/13)683.75
2038503 10/23/13 15200 BLUE CENTURION HOMES Ref002430865 10/21/13 UB Refund Cst #0000203408 85.42 85.42
2038443 10/16/13 10970 BRENNTAG PACIFIC INC BPI350070 09/26/13 SODIUM HYPOCHLORITE 3,034.53
BPI347509 09/20/13 SODIUM HYPOCHLORITE 2,405.60
BPI348017 09/23/13 SODIUM HYPOCHLORITE 2,109.14
BPI350427 09/30/13 SODIUM HYPOCHLORITE 1,544.52
BPI349336 09/26/13 SODIUM HYPOCHLORITE 1,173.92
BPI350428 09/30/13 SODIUM HYPOCHLORITE 1,110.70
BPI348018 09/23/13 SODIUM HYPOCHLORITE 1,050.75
Page 2 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
16,490.48
16,573.31
153.39
BPI346079 09/17/13 SODIUM HYPOCHLORITE 985.35
BPI346764 09/19/13 SODIUM HYPOCHLORITE 916.68
BPI350069 09/30/13 SODIUM HYPOCHLORITE 808.78
BPI346763 09/19/13 SODIUM HYPOCHLORITE 707.41
BPI347776 09/23/13 SODIUM HYPOCHLORITE 643.10
2038349 10/02/13 10970 BRENNTAG PACIFIC INC BPI345143 09/12/13 SODIUM HYPOCHLORITE 2,251.91
BPI341769 09/03/13 SODIUM HYPOCHLORITE 2,115.67
BPI342902 09/05/13 SODIUM HYPOCHLORITE 1,846.45
BPI345563 09/16/13 SODIUM HYPOCHLORITE 1,682.95
BPI343396 09/09/13 SODIUM HYPOCHLORITE 1,533.61
BPI345562 09/16/13 SODIUM HYPOCHLORITE 1,433.34
BPI341770 09/03/13 SODIUM HYPOCHLORITE 1,144.50
BPI343395 09/09/13 SODIUM HYPOCHLORITE 1,128.14
BPI342901 09/05/13 SODIUM HYPOCHLORITE 1,081.27
BPI341771 09/03/13 SODIUM HYPOCHLORITE 861.09
BPI343145 09/09/13 SODIUM HYPOCHLORITE 766.27
BPI344783 09/12/13 SODIUM HYPOCHLORITE 728.11
2038396 10/09/13 15172 BYROM-DAVEY INC Ref002430639 10/07/13 UB Refund Cst #0000203951 858.99 858.99
2038300 09/25/13 03341 CA DEPT OF CONSUMER AFFAIRS 444690913 09/17/13 LICENSE RENEWAL 120.00 120.00
2038350 10/02/13 14365 CALIFORNIA ENVIRONMENTAL 6481 09/16/13 APCD RETROFIT 15,213.60 15,213.60
2038444 10/16/13 02758 CARMEL BUSINESS SYSTEMS INC 7712 09/17/13 DESTRUCTION SERVICES (9/13/13)38.50 38.50
2038445 10/16/13 03232 CDW GOVERNMENT INC FW20001 09/18/13 HAYES MODEM 83.19
FW19722 09/18/13 HAYES MODEM 70.20
2038301 09/25/13 09801 CENTERBEAM INC 18783 08/30/13 NETWORK MAINTENANCE 350.00 350.00
2038446 10/16/13 09801 CENTERBEAM INC 19035 09/29/13 NETWORK MAINTENANCE 175.00 175.00
2038302 09/25/13 15142 CHARLES MARA Ref002430435 09/23/13 UB Refund Cst #0000124593 29.88 29.88
2038504 10/23/13 12130 CHAVEZ, KIM O0000000038 10/17/13 CERTIFICATION REIMBURSEMENT 85.00 85.00
2038505 10/23/13 15196 CHERYL LOPEZ Ref002430861 10/21/13 UB Refund Cst #0000194440 30.93 30.93
2038447 10/16/13 02026 CHULA VISTA ELEM SCHOOL DIST AR042301 09/25/13 GARDEN TOURS 540.00 540.00
2038448 10/16/13 04119 CLARKSON LAB & SUPPLY INC 69596 09/30/13 BACTERIOLOGICAL TESTING SVCS 681.00
Page 3 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
3,276.00
2,942.72
1,968.00
3,000.00
69597 09/30/13 BACTERIOLOGICAL TESTING SVCS 660.00
69598 09/30/13 BACTERIOLOGICAL TESTING SVCS 600.00
69599 09/30/13 BACTERIOLOGICAL TESTING SVCS 600.00
69600 09/30/13 BACTERIOLOGICAL TESTING SVCS 373.00
69602 09/30/13 BACTERIOLOGICAL TESTING SVCS 221.00
69601 09/30/13 BACTERIOLOGICAL TESTING SVCS 141.00
2038397 10/09/13 15161 CLEMENT MANZANO Ref002430627 10/07/13 UB Refund Cst #0000050969 142.20 142.20
2038351 10/02/13 08160 COMPLETE OFFICE 15319440 09/09/13 CARTRIDGES (PUBLIC SERVICES)2,216.64
15335820 09/12/13 TONER 726.08
2038449 10/16/13 12334 CORODATA MEDIA STORAGE INC DS1259807 09/30/13 TAPE STORAGE (SEPT 2013)416.32 416.32
2038506 10/23/13 00099 COUNTY OF SAN DIEGO DPWAROTAYMWD081309/24/13 EXCAVATION PERMITS (AUG 2013)2,615.42 2,615.42
2038450 10/16/13 00184 COUNTY OF SAN DIEGO DEH2005HUPFP20536408/17/13 UPFP PERMIT RENEWAL (10/31/13-10/31/14)852.00
DEH2005HUPFP20536308/17/13 UPFP PERMIT RENEWAL (10/31/13-10/31/14)670.00
DEH2005HUPFP20536508/17/13 UPFP PERMIT RENEWAL (10/31/13-10/31/14)446.00
2038451 10/16/13 02122 COUNTY OF SAN DIEGO 2013062705774 06/27/13 PERMIT FEES # 05774 (SEPT 2013-2014)358.00 358.00
2038303 09/25/13 07494 COUNTY OF SAN DIEGO 1358 09/06/13 SEWER SERVICE (7/1/13-6/30/14)4,146.39 4,146.39
2038304 09/25/13 07494 COUNTY OF SAN DIEGO 1361 09/06/13 SEWER SERVICE (7/1/13-6/30/14)157.06 157.06
2038398 10/09/13 02756 COX COMMUNICATIONS SAN DIEGO 27170913 09/29/13 INTERNET SERVICES (9/29/13-10/28/13)1,500.00
28810913 09/29/13 INTERNET SERVICES (9/29/13-10/28/13)1,500.00
2038352 10/02/13 14905 DART CONTAINER MTR12151 09/19/13 CUSTOMER REFUND 22,339.47 22,339.47
2038399 10/09/13 15162 DAVID BALLESTEROS Ref002430628 10/07/13 UB Refund Cst #0000059973 15.98 15.98
2038507 10/23/13 15186 DAVID HUCKABEE Ref002430851 10/21/13 UB Refund Cst #0000067189 113.88 113.88
2038508 10/23/13 14362 DAY WIRELESS SYSTEMS {20}37051 09/30/13 FIRETIDE NORTH SEGMENT OPTIMIZATION 4,479.94 4,479.94
2038400 10/09/13 15170 DENNIS DILLON Ref002430637 10/07/13 UB Refund Cst #0000199348 87.21 87.21
2038353 10/02/13 00319 DEPARTMENT OF PUBLIC HEALTH 341880913 09/26/13 CERTIFICATE RENEWAL 80.00 80.00
2038305 09/25/13 14675 DEPENDABLE MARINE INC 20339 08/23/13 REPAIR PART 2,801.52 2,801.52
2038509 10/23/13 03417 DIRECTV 21502743485 10/05/13 SATELLITE TV (10/4/13-11/3/13)18.00 18.00
2038354 10/02/13 03417 DIRECTV 21386153798 09/19/13 SATELLITE TV (9/18/13-10/17/13)6.00 6.00
Page 4 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
1,215.00
1,935.00
19.74
16,415.02
2038355 10/02/13 15084 DLT SOLUTIONS LLC SI232686 09/12/13 LICENSE AGREEMENT 16,529.86 16,529.86
2038452 10/16/13 15180 EAST COUNTY ECONOMIC 100113 10/01/13 REGISTRATION FEE 25.00 25.00
2038356 10/02/13 02447 EDCO DISPOSAL CORPORATION 1554580913 09/30/13 RECYCLING SERVICES (SEPT 2013)95.00 95.00
2038401 10/09/13 15174 EDWIN FULLER UB46268 10/01/13 CUSTOMER REFUND 1,014.52 1,014.52
2038306 09/25/13 15145 ELIZABETH HERNANDEZ Ref002430438 09/23/13 UB Refund Cst #0000175491 75.00 75.00
2038510 10/23/13 13825 ENRIQUEZ, LUIS O0000000041 10/21/13 SAFETY BOOT REIMBURSEMENT 150.00 150.00
2038453 10/16/13 03227 ENVIROMATRIX ANALYTICAL INC 3090949 09/23/13 RECYCLED WATER ANALYSIS (9/7/13-9/13/13)705.00
3091094 09/30/13 RECYCLED WATER ANALYSIS (9/14/13-9/18/13)510.00
2038357 10/02/13 03227 ENVIROMATRIX ANALYTICAL INC 3090750 09/16/13 RECYCLED WATER ANALYSIS (8/30/13-9/6/13)710.00
3090412 09/03/13 RECYCLED WATER ANALYSIS (8/16/13-8/22/13)625.00
3090537 09/09/13 RECYCLED WATER ANALYSIS (8/23/13-8/29/13)600.00
2038402 10/09/13 02939 ESCARCEGA, LUIS 100813 10/08/13 CERTIFICATE RENEWAL 80.00 80.00
2038358 10/02/13 14320 EUROFINS EATON ANALYTICAL INC L0135034 09/04/13 OUTSIDE LAB SERVICES (8/14/13)2,200.00 2,200.00
2038454 10/16/13 00645 FEDEX 240781013 09/20/13 MAIL SERVICES (9/11/13)7.84 7.84
2038359 10/02/13 00645 FEDEX 240016936 09/13/13 MAIL SERVICES 13.30
241524205 09/27/13 MAIL SERVICES (9/24/13)6.44
2038511 10/23/13 00645 FEDEX 242977250 10/11/13 MAIL SERVICES 13.30 13.30
2038360 10/02/13 03546 FERGUSON WATERWORKS # 1083 0442516 09/09/13 4" AIR VACS 4,746.60
0449046 09/13/13 INVENTORY 4,743.31
0446613 09/12/13 INVENTORY 2,319.84
04467961 09/06/13 INVENTORY 1,454.37
0449044 09/13/13 16" GASKETS & BOLTS 980.83
0449040 09/13/13 WAREHOUSE SUPPLIES 857.83
0448148 09/13/13 INVENTORY 762.98
0448137 09/13/13 WAREHOUSE SUPPLIES 549.26
2038455 10/16/13 03546 FERGUSON WATERWORKS # 1083 0449421 09/25/13 INVENTORY 3,111.16
0450085 09/27/13 INVENTORY 2,862.00
0450718 09/25/13 INVENTORY 1,471.80
04490461 09/25/13 INVENTORY 882.40
Page 5 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
8,787.44
197.10
3,109.18
421.79
0450736 09/25/13 INVENTORY 460.08
2038456 10/16/13 12187 FIRST AMERICAN DATA TREE LLC 9003400913 09/30/13 ONLINE DOCUMENTS (9/1/13-9/30/13)99.00 99.00
2038457 10/16/13 04066 FIRST CHOICE SERVICES - SD 007078 09/23/13 COFFEE SUPPLIES 355.33 355.33
2038361 10/02/13 04066 FIRST CHOICE SERVICES - SD 006484 09/09/13 COFFEE SUPPLIES 447.94 447.94
2038458 10/16/13 11962 FLEETWASH INC x177659 09/20/13 FLEET VEHICLE WASHING 392.01 392.01
2038362 10/02/13 11962 FLEETWASH INC x172527 09/06/13 FLEET VEHICLE WASHING 105.12
x174555 09/13/13 FLEET VEHICLE WASHING 91.98
2038512 10/23/13 11962 FLEETWASH INC x180718 09/27/13 FLEET VEHICLE WASHING 39.42 39.42
2038307 09/25/13 01612 FRANCHISE TAX BOARD Ben2430537 09/26/13 BI-WEEKLY PAYROLL DEDUCTION 90.00 90.00
2038403 10/09/13 01612 FRANCHISE TAX BOARD Ben2430703 10/10/13 BI-WEEKLY PAYROLL DEDUCTION 90.00 90.00
2038513 10/23/13 01612 FRANCHISE TAX BOARD Ben2430898 10/24/13 BI-WEEKLY PAYROLL DEDUCTION 90.00 90.00
2038308 09/25/13 02344 FRANCHISE TAX BOARD Ben2430539 09/26/13 BI-WEEKLY PAYROLL DEDUCTION 81.00 81.00
2038404 10/09/13 02344 FRANCHISE TAX BOARD Ben2430705 10/10/13 BI-WEEKLY PAYROLL DEDUCTION 81.00 81.00
2038514 10/23/13 02344 FRANCHISE TAX BOARD Ben2430900 10/24/13 BI-WEEKLY PAYROLL DEDUCTION 81.00 81.00
2038309 09/25/13 15138 FRANK FABELA Ref002430429 09/23/13 UB Refund Cst #0000031738 200.00 200.00
2038515 10/23/13 15202 FRANK MEJIA Ref002430867 10/21/13 UB Refund Cst #0000204754 38.85 38.85
2038405 10/09/13 13563 FRIENDS OF THE WATER 173 09/03/13 GARDEN TOURS (AUG 2013)1,240.00 1,240.00
2038310 09/25/13 15143 GEORGE FLOYD Ref002430436 09/23/13 UB Refund Cst #0000157299 76.39 76.39
2038516 10/23/13 15182 GERALD POLLACK Ref002430847 10/21/13 UB Refund Cst #0000007096 80.50 80.50
2038517 10/23/13 15194 GISELLE FIMBRES Ref002430859 10/21/13 UB Refund Cst #0000186776 31.03 31.03
2038459 10/16/13 00101 GRAINGER INC 9245948121 09/17/13 TOOLS 2,506.74
9252952644 09/25/13 WAREHOUSE SUPPLIES 602.44
2038363 10/02/13 00101 GRAINGER INC 9254375463 CREDIT MEMO -181.18
9236148145 09/05/13 TRUCK TOOLS 361.39
9232978776 09/03/13 WAREHOUSE SUPPLIES 241.58
2038364 10/02/13 12907 GREENRIDGE LANDSCAPE INC 11220 09/11/13 IRRIGATION REPAIRS (9/5/13)780.00 780.00
2038460 10/16/13 12907 GREENRIDGE LANDSCAPE INC 11296 09/27/13 LANDSCAPING SERVICES (SEPT 2013)8,909.50 8,909.50
Page 6 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
83.14
16,054.04
3,877.23
1,684.65
2038460 10/16/13 12907 GREENRIDGE LANDSCAPE INC 11296 09/27/13 LANDSCAPING SERVICES (SEPT 2013)8,909.50 8,909.50
2038311 09/25/13 15156 GREGORY NELSON 092013 09/20/13 CLAIM SETTLEMENT 250.00 250.00
2038461 10/16/13 00174 HACH COMPANY 8460094 08/30/13 COLORIMETERS 1,758.79 1,758.79
2038312 09/25/13 02795 HARTFORD INSURANCE CO, THE Ben2430525 09/26/13 MONTHLY CONTRIBUTION TO LTD 5,161.59 5,161.59
2038518 10/23/13 02795 HARTFORD INSURANCE CO, THE Ben2430886 10/24/13 MONTHLY CONTRIBUTION TO LTD 5,161.59 5,161.59
2038313 09/25/13 04472 HECTOR I MARES-COSSIO 102 09/18/13 BI-NATIONAL CONSULTANT SERVICES (AUG 2013)3,600.00 3,600.00
2038519 10/23/13 00062 HELIX WATER DISTRICT 174639861013 10/09/13 WATER PURCHASE (8/7/13-10/7/13)43.04
178540011013 10/09/13 WATER PURCHASE (8/7/13-10/7/13)40.10
2038406 10/09/13 02096 HELIX WATER DISTRICT E000044 09/30/13 WEB HOSTING 225.00 225.00
2038365 10/02/13 03066 HENRY PRATT COMPANY 2696449 09/03/13 16" BUTTERFLY VALVE 7,615.11 7,615.11
2038520 10/23/13 15204 HENSEL PHELPS CONSTRUCTION CO Ref002430869 10/21/13 UB Refund Cst #0000204996 1,655.01 1,655.01
2038314 09/25/13 15152 HOME REALTY USA Ref002430445 09/23/13 UB Refund Cst #0000197998 40.30 40.30
2038366 10/02/13 12335 HP ENTERPRISE SERVICES LLC U3109103 09/09/13 IVR PAYMENT SERVICES (AUG 2013)2,069.10 2,069.10
2038462 10/16/13 08969 INFOSEND INC 72960 CREDIT MEMO -1,714.33
72765 09/30/13 BILL PRINTING SERVICES (SEPT 2013)11,120.42
71882 08/30/13 BILL PRINTING SERVICES (AUG 2013)3,398.25
72764 09/30/13 BILL PRINTING SERVICES (SEPT 2013)3,249.70
2038521 10/23/13 08969 INFOSEND INC 73092 CREDIT MEMO -3,405.39
71099 08/02/13 BILL PRINTING SERVICES (JULY 2013)5,333.80
72023 09/04/13 BILL PRINTING SERVICES (AUG 2013)1,948.82
2038463 10/16/13 02372 INTERIOR PLANT SERVICE INC 5626 09/20/13 PLANT SERVICES (OCT 2013)205.00 205.00
2038464 10/16/13 13899 INTERMEDIA.NET INC 2013086522 10/01/13 EMAIL SERVICES (9/2/13-10/2/13)3,177.18 3,177.18
2038315 09/25/13 15147 INTERNATIONAL REAL ESTATE SER Ref002430440 09/23/13 UB Refund Cst #0000185773 80.77 80.77
2038407 10/09/13 14737 IWATER INC 6420 10/01/13 INFRAMAP SOFTWARE 6,000.00 6,000.00
2038522 10/23/13 15190 JAMIE BOONE Ref002430855 10/21/13 UB Refund Cst #0000183027 16.94 16.94
2038367 10/02/13 10563 JCI JONES CHEMICALS INC 594594 CREDIT MEMO -3,000.00
594588 09/05/13 CHLORINE 4,684.65
2038316 09/25/13 15149 JO LOHR Ref002430442 09/23/13 UB Refund Cst #0000187929 45.12 45.12
Page 7 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
2,334.41
9,852.60
150.00
1,066.50
1,827.00
2038316 09/25/13 15149 JO LOHR Ref002430442 09/23/13 UB Refund Cst #0000187929 45.12 45.12
2038317 09/25/13 15139 JOHN LONG Ref002430430 09/23/13 UB Refund Cst #0000066827 32.03 32.03
2038465 10/16/13 03172 JONES & STOKES ASSOCIATES INC 0096266 09/07/13 ENVIRONMENTAL CONSULTING (7/27/13-8/23/13)1,232.00
0096578 09/26/13 ENVIRONMENTAL CONSULTING (7/26/13-8/23/13)1,102.41
2038523 10/23/13 15197 KASRA MOVAHEDI Ref002430862 10/21/13 UB Refund Cst #0000194913 39.28 39.28
2038368 10/02/13 05840 KIRK PAVING INC 5437 09/06/13 AS NEEDED PAVING SERVICES FY14 7,164.80
5440 09/11/13 AS NEEDED PAVING SERVICES FY14 2,687.80
2038524 10/23/13 15203 KIRK PAVING INC Ref002430868 10/21/13 UB Refund Cst #0000204945 1,913.32 1,913.32
2038466 10/16/13 04996 KNOX ATTORNEY SERVICE INC 4014851 09/30/13 DELIVERY SERVICES (8/30/13-9/20/13)258.00 258.00
2038369 10/02/13 14036 KRATOS / HBE SM43690 09/10/13 ALARM MONITORING #1 (SEPT 2013)55.00
SM43691 09/10/13 ALARM MONITORING #2 (SEPT 2013)55.00
SM43689 09/10/13 ALARM MONITORING #3 (SEPT 2013)40.00
2038525 10/23/13 06497 LAKESIDE LAND COMPANY 273842 09/27/13 LANDFILL 32.48 32.48
2038318 09/25/13 15146 LAURA CRAMER Ref002430439 09/23/13 UB Refund Cst #0000185543 51.85 51.85
2038408 10/09/13 15160 LAURA SCANLAN Ref002430626 10/07/13 UB Refund Cst #0000012250 30.35 30.35
2038467 10/16/13 12843 LAWTON GROUP, THE 50644 09/20/13 INTERNSHIP AGREEMENT (9/9/13-9/15/13)270.00
50683 09/27/13 INTERNSHIP AGREEMENT (9/16/13-9/22/13)270.00
50747 10/11/13 INTERNSHIP AGREEMENT (9/30/13-10/6/13)270.00
50713 10/04/13 INTERNSHIP AGREEMENT (9/23/13-9/29/13)256.50
2038468 10/16/13 03607 LEE & RO INC LR15902 09/19/13 INTERCONNECTION (7/1/13-8/31/13)54,803.00 54,803.00
2038319 09/25/13 15141 LILIA GILBERT Ref002430434 09/23/13 UB Refund Cst #0000124051 24.81 24.81
2038469 10/16/13 12910 LOCATORS & SUPPLIES INC 0217110IN 09/18/13 MARKING STICK - SURVEYING 74.22 74.22
2038409 10/09/13 15163 LORENA MANZO Ref002430630 10/07/13 UB Refund Cst #0000147194 14.16 14.16
2038370 10/02/13 01054 LYNN'S LOCKSMITH SERVICE 284045 09/03/13 SDG&E GATE SWITCH 756.00
284063 09/10/13 RE-KEY PUMP STATIONS 615.00
284048 09/03/13 RE-KEY LOCKS 456.00
2038410 10/09/13 15173 MAAN & NAJWAN ATTO Ref002430640 10/07/13 UB Refund Cst #0000204418 1,394.68 1,394.68
2038411 10/09/13 15168 MANUEL MACAYANA Ref002430635 10/07/13 UB Refund Cst #0000197402 29.45 29.45
2038371 10/02/13 14946 MARILYN SHEPARD 1001 05/28/13 TRAINING 4,500.00 4,500.00Page 8 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
419.00
1,231.28
1,041.92
320.21
1,324.40
2038371 10/02/13 14946 MARILYN SHEPARD 1001 05/28/13 TRAINING 4,500.00 4,500.00
2038372 10/02/13 02882 MAYER REPROGRAPHICS INC 0081940IN 09/12/13 REPROGRAPHICS SERVICES 43.20 43.20
2038373 10/02/13 01183 MCMASTER-CARR SUPPLY CO 59430385 09/06/13 FLAGS 301.05
59367427 09/05/13 FLAGS 117.95
2038412 10/09/13 15164 MERIAM JABRO Ref002430631 10/07/13 UB Refund Cst #0000181669 36.12 36.12
2038320 09/25/13 11367 MIGUEL MARTINEZ UB255141319 09/18/13 CUSTOMER REFUND 402.29 402.29
2038374 10/02/13 02835 MIL-RAM TECHNOLOGY INC 986773 09/05/13 CL2 SENSOR RECHARGE 620.00 620.00
2038526 10/23/13 15195 MINDY GRIMMING Ref002430860 10/21/13 UB Refund Cst #0000187463 118.83 118.83
2038413 10/09/13 15171 MIRNA RIVERA Ref002430638 10/07/13 UB Refund Cst #0000203182 49.09 49.09
2038470 10/16/13 00237 MISSION JANITORIAL & ABRASIVE 38002700 09/19/13 JANITORIAL SUPPLIES 1,081.90
38002701 09/20/13 JANITORIAL SUPPLIES 149.38
2038375 10/02/13 15136 MISSION UNIFORM SERVICE 340248937 09/16/13 UNIFORM SERVICES 380.30
340247901 09/09/13 UNIFORM SERVICES 311.55
340248936 09/16/13 UNIFORM SERVICES 107.21
340247900 09/09/13 UNIFORM SERVICES 95.73
340248940 09/16/13 UNIFORM SERVICES 83.19
340247903 09/09/13 UNIFORM SERVICES 63.94
2038321 09/25/13 15136 MISSION UNIFORM SERVICE 340244712 08/19/13 UNIFORM SERVICES 64.01
340243669 08/12/13 UNIFORM SERVICES 64.01
340246794 09/02/13 UNIFORM SERVICES 63.94
340245742 08/26/13 UNIFORM SERVICES 63.94
340242629 08/05/13 UNIFORM SERVICES 58.31
340245530 08/26/13 UNIFORM SERVICES 6.00
2038471 10/16/13 15136 MISSION UNIFORM SERVICE 340251058 09/30/13 UNIFORM SERVICES 390.08
340249993 09/23/13 UNIFORM SERVICES 378.60
340249992 09/23/13 UNIFORM SERVICES 130.17
340251057 09/30/13 UNIFORM SERVICES 130.17
340248880 09/23/13 UNIFORM SERVICES 95.52
340251061 09/30/13 UNIFORM SERVICES 94.67
340249995 09/23/13 UNIFORM SERVICES 83.19
340249766 09/23/13 UNIFORM SERVICES 22.00
2038414 10/09/13 02371 MOODY'S INVESTORS SERVICE US13019233 09/12/13 ANNUAL FEE 96 COPS (SEPT 2013 - AUG 2014)5,500.00 5,500.00Page 9 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
2038414 10/09/13 02371 MOODY'S INVESTORS SERVICE US13019233 09/12/13 ANNUAL FEE 96 COPS (SEPT 2013 - AUG 2014)5,500.00 5,500.00
2038527 10/23/13 15188 NANCY HUDSON Ref002430853 10/21/13 UB Refund Cst #0000155795 29.23 29.23
2038322 09/25/13 03523 NATIONAL DEFERRED COMPENSATION Ben2430533 09/26/13 BI-WEEKLY DEFERRED COMP PLAN 7,253.73 7,253.73
2038528 10/23/13 03523 NATIONAL DEFERRED COMPENSATION Ben2430894 10/24/13 BI-WEEKLY DEFERRED COMP PLAN 7,403.73 7,403.73
2038415 10/09/13 03523 NATIONAL DEFERRED COMPENSATION Ben2430699 10/10/13 BI-WEEKLY DEFERRED COMP PLAN 7,253.73 7,253.73
2038472 10/16/13 15157 NETSOFT SOLUTIONS 92313LB2 10/08/13 CLOUD EMAIL 5,756.92 5,756.92
2038473 10/16/13 00745 NEWARK 24248080 09/20/13 PROGRAMMABLE RECYCLE TIMER 98.41 98.41
2038376 10/02/13 00510 OFFICE DEPOT INC 675608507001 09/12/13 OFFICE SUPPLIES 46.34 46.34
2038474 10/16/13 00510 OFFICE DEPOT INC 677088587001 09/18/13 AWARD FRAMES 112.45 112.45
2038475 10/16/13 03149 ON SITE LASER LLC 47938 09/24/13 PRINTER SERVICES 79.00 79.00
2038377 10/02/13 03149 ON SITE LASER LLC 47886 09/04/13 PRINTER SERVICES 459.00 459.00
2038529 10/23/13 15198 PATRIOT GENERAL ENGINEERING Ref002430863 10/21/13 UB Refund Cst #0000198248 1,327.74 1,327.74
2038323 09/25/13 07334 PAUL PISTEY UB83676 09/20/13 CUSTOMER REFUND 325.94 325.94
2038476 10/16/13 05497 PAYPAL INC 26877814 09/30/13 PHONE PAYMENT SVCS 54.10 54.10
2038378 10/02/13 08398 PEERLESS MATERIALS COMPANY 33400 09/10/13 RAGS 259.20 259.20
2038416 10/09/13 15167 PEGGY ROBINSON Ref002430634 10/07/13 UB Refund Cst #0000195749 60.00 60.00
2038530 10/23/13 00137 PETTY CASH CUSTODIAN 102213 10/22/13 PETTY CASH REIMBURSEMENT 651.42 651.42
2038379 10/02/13 00137 PETTY CASH CUSTODIAN 100113 10/01/13 PETTY CASH REIMBURSEMENT 999.70 999.70
2038477 10/16/13 13122 PINNACLE BUSINESS SOLUTIONS 34929 07/17/13 SHARP LC-50LE650U 897.40 897.40
2038478 10/16/13 10929 PORTABLE POWER SYSTEMS INC 162611 09/18/13 UPS BATTERIES 103.62 103.62
2038417 10/09/13 03351 POSADA, ROD 100713 10/07/13 TRAVEL EXPENSES (9/30/13-10/3/13)162.00 162.00
2038531 10/23/13 10819 PREDICTIVE MAINTENANCE 1909 09/30/13 VIBRATION SERVICE FOR FY2014 7,240.00 7,240.00
2038380 10/02/13 15082 PROJECT WET FOUNDATION INC 8437 09/11/13 CONSERVE WATER ACTIVITY BOOKLETS 1,189.00 1,189.00
2038381 10/02/13 00078 PUBLIC EMPLOYEES RET SYSTEM Ben2430529 09/26/13 BI-WEEKLY PERS CONTRIBUTION 162,700.38 162,700.38
2038479 10/16/13 00078 PUBLIC EMPLOYEES RET SYSTEM Ben2430695 10/10/13 BI-WEEKLY PERS CONTRIBUTION 160,499.56 160,499.56
2038480 10/16/13 01342 R J SAFETY SUPPLY CO INC 31795200 09/25/13 SAFETY SUPPLIES 788.07 788.07
Page 10 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
375.00
49,473.25
100,509.29
94,927.42
2038480 10/16/13 01342 R J SAFETY SUPPLY CO INC 31795200 09/25/13 SAFETY SUPPLIES 788.07 788.07
2038532 10/23/13 15205 RAFAEL FLORES UB623091340 10/22/13 CUSTOMER REFUND 2,379.60 2,379.60
2038382 10/02/13 00021 RCP BLOCK & BRICK INC 4359101 09/16/13 CONCRETE 1,193.22 1,193.22
2038533 10/23/13 15183 RENEE HILL Ref002430848 10/21/13 UB Refund Cst #0000014358 33.81 33.81
2038534 10/23/13 15187 REX PARK Ref002430852 10/21/13 UB Refund Cst #0000072126 40.02 40.02
2038418 10/09/13 15169 RHET GOODWIN Ref002430636 10/07/13 UB Refund Cst #0000198580 50.61 50.61
2038481 10/16/13 00521 RICK POST WELDING &9546 09/18/13 WELDING SERVICES 1,050.00 1,050.00
2038324 09/25/13 04542 ROBAK, MARK 70140913 09/24/13 MILEAGE REIMBURSEMENT (7/3/13-9/15/13)44.64 44.64
2038535 10/23/13 15184 ROBERT MAYNES Ref002430849 10/21/13 UB Refund Cst #0000050004 60.01 60.01
2038325 09/25/13 15154 ROBERT R PEARSON Ref002430447 09/23/13 UB Refund Cst #0000203327 1,815.07 1,815.07
2038326 09/25/13 15153 RUSSELL STROM Ref002430446 09/23/13 UB Refund Cst #0000199071 16.47 16.47
2038419 10/09/13 07155 RUTH STRACKBINE Ref002430629 10/07/13 UB Refund Cst #0000093794 19.38 19.38
2038536 10/23/13 12470 SAN DIEGO BUSINESS JOURNAL SD5291801013 10/21/13 SUBSCRIPTION RENEWAL 149.00 149.00
2038420 10/09/13 02586 SAN DIEGO COUNTY ASSESSOR 2012172 03/05/13 ASSESSOR DATA (MONTHLY)125.00
2013052 08/07/13 ASSESSOR DATA (MONTHLY)125.00
2012201 01/08/13 ASSESSOR DATA (MONTHLY)125.00
2038383 10/02/13 02586 SAN DIEGO COUNTY ASSESSOR 2013075 09/06/13 ASSESSOR DATA (MONTHLY)125.00 125.00
2038384 10/02/13 00121 SAN DIEGO GAS & ELECTRIC 092513 09/25/13 UTILITY EXPENSES (MONTHLY)34,049.85
092313 09/23/13 UTILITY EXPENSES (MONTHLY)15,267.93
092413 09/24/13 UTILITY EXPENSES (MONTHLY)155.47
2038482 10/16/13 00121 SAN DIEGO GAS & ELECTRIC 100313 10/03/13 UTILITY EXPENSES (MONTHLY)81,598.62
100413 10/04/13 UTILITY EXPENSES (MONTHLY)18,910.67
2038537 10/23/13 00121 SAN DIEGO GAS & ELECTRIC 100413a 10/04/13 UTILITY EXPENSES (MONTHLY)1,773.59 1,773.59
2038421 10/09/13 00121 SAN DIEGO GAS & ELECTRIC 092713 09/27/13 UTILITY EXPENSES (MONTHLY)54,995.44
092513a 09/25/13 UTILITY EXPENSES (MONTHLY)39,931.98
2038422 10/09/13 07676 SAN MIGUEL FIRE PROTECTION 091613 09/16/13 TEMPORARY LABOR (AUG 2013)6,824.54
083013 08/30/13 TEMPORARY LABOR (JULY 2013)6,798.97
070813 07/08/13 TEMPORARY LABOR (JUNE 2013)6,712.13
Page 11 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
26,957.99
95,126.34
2,035.84
319.92
061313 06/13/13 TEMPORARY LABOR (MAY 2013)6,622.35
2038483 10/16/13 09339 SANGALANG, ALEX 100913 10/09/13 COMPUTER LOAN 430.05 430.05
2038484 10/16/13 03514 SANTOS, MARCIANO O0000000037 10/14/13 SAFETY BOOT REIMBURSEMENT 136.06 136.06
2038327 09/25/13 15151 SARA CASTRO Ref002430444 09/23/13 UB Refund Cst #0000197941 41.20 41.20
2038385 10/02/13 14708 SC FUELS 4967116 08/23/13 UNLEADED FUEL 14,959.88 14,959.88
2038423 10/09/13 14708 SC FUELS 496711A 09/01/13 DIESEL FUEL 9,161.56 9,161.56
2038328 09/25/13 12421 SCS ENGINEERS 0217069 08/31/13 RISK MGMT CONSULTING SVCS (AUG 2013)2,920.00 2,920.00
2038386 10/02/13 12904 SEPULVEDA CONSTRUCTION INC 14 09/09/13 PUMP STATION UPGRADES (ENDING 8/31/13)73,498.34
16A 09/05/13 30 INCH POTABLE PIPELINE (ENDING 8/30/31)21,628.00
2038485 10/16/13 14785 SEW-EURODRIVE INC 008317 09/17/13 SCREEN GEARDRIVE 3,418.22 3,418.22
2038329 09/25/13 08430 SEYED ISSAZADEH Ref002430433 09/23/13 UB Refund Cst #0000086178 38.87 38.87
2038538 10/23/13 15192 SHERI HENDERSON Ref002430857 10/21/13 UB Refund Cst #0000186052 50.58 50.58
2038387 10/02/13 15048 SIEMENS WATER TECHNOLOGIES LLC 901397369 09/16/13 MICRO 2000 PARTS 516.19 516.19
2038486 10/16/13 13327 SILVA-SILVA INTERNATIONAL 1310 10/10/13 PROJECT CONSULTANT (SEPT 2013)4,000.00 4,000.00
2038424 10/09/13 15165 SONJA BROWN Ref002430632 10/07/13 UB Refund Cst #0000182355 165.57 165.57
2038487 10/16/13 11618 SOUTH COAST COPY SYSTEMS AR136663 09/25/13 COPIER MAINTENANCE (OCT 2013)1,682.59
AR134018 08/16/13 COPIER MAINTENANCE (8/15/13)353.25
2038488 10/16/13 03103 SOUTHCOAST HEATING &C51860 09/18/13 IT AC MAINTENANCE (SEPT 2013)205.00 205.00
2038539 10/23/13 03103 SOUTHCOAST HEATING &C51859 09/18/13 AC MAINTENANCE (SEPT 2013)1,068.00 1,068.00
2038489 10/16/13 15176 SOUTHCOAST HEATING &C51865 09/18/13 AC MAINTENANCE (SEPT 2013)480.00 480.00
2038490 10/16/13 06853 SOUTHERN CALIFORNIA SOIL 365238 09/30/13 GEOTECHNICAL SERVICES (ENDING 9/30/13)2,234.00 2,234.00
2038491 10/16/13 14373 SOUTHERN PACIFIC TITLE CO 3058 10/07/13 TITLE REPORTS 1,300.00 1,300.00
2038492 10/16/13 03760 SPANKY'S PORTABLE SERVICES INC 964129 09/20/13 PORTABLE TOILET RENTAL (9/20/13-10/17/13)79.98
964131 09/20/13 PORTABLE TOILET RENTAL (9/20/13-10/17/13)79.98
964207 09/23/13 PORTABLE TOILET RENTAL (9/21/13-10/18/13)79.98
964130 09/20/13 PORTABLE TOILET RENTAL (9/20/13-10/17/13)79.98
2038425 10/09/13 03760 SPANKY'S PORTABLE SERVICES INC 963337 09/12/13 PORTABLE TOILET RENTAL (9/12/13-10/9/13)98.17
Page 12 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
178.15
1,447.50
1,363.36
258.12
898.50
10,767.34
962317 09/04/13 PORTABLE TOILET RENTAL (9/4/13-10/1/13)79.98
2038388 10/02/13 09711 SPATIAL WAVE INC 11064796A 09/12/13 CONSULTANT SERVICES (9/3/13-9/5/13)960.00 960.00
2038493 10/16/13 03516 SPECIAL DISTRICT RISK PD13140055460001 10/09/13 PROPERTY LIABILITY DEDUCTIBLE 500.00 500.00
2038389 10/02/13 01717 SPRING VALLEY CHAMBER OF 34945 09/25/13 SPONSORSHIP 300.00 300.00
2038390 10/02/13 02354 STANDARD ELECTRONICS 19029 09/09/13 MONTHLY MONITORING 1,352.50
19077 09/13/13 FIRE ALARM 95.00
2038494 10/16/13 01460 STATE WATER RESOURCES 101613 10/16/13 REGULATORY REVIEW FEES 114.00 114.00
2038540 10/23/13 15191 STERLING INVESTMENT GROUP Ref002430856 10/21/13 UB Refund Cst #0000185839 30.02 30.02
2038541 10/23/13 12809 STUTZ ARTIANO SHINOFF 93112 10/02/13 LEGAL SERVICES (AUG 2013)23,068.34 23,068.34
2038426 10/09/13 02498 THOMPSON, CHAD 100313 10/03/13 SAFETY BOOTS 149.99 149.99
2038427 10/09/13 14177 THOMPSON, MITCHELL 18070913 09/30/13 MILEAGE REIMBURSEMENT (SEPT 2013)38.99 38.99
2038330 09/25/13 15140 TIM BARZAL Ref002430432 09/23/13 UB Refund Cst #0000081598 6.89 6.89
2038331 09/25/13 15062 TOMMIE CRAWFORD Ref002430431 09/23/13 UB Refund Cst #0000073012 6.70 6.70
2038391 10/02/13 00870 TRANSCAT INC 791091 09/12/13 TEST EQUIPMENT CALIBRATIONS 1,180.36
789637 09/09/13 CALIBRATION 183.00
2038495 10/16/13 14181 UNITED RENTALS (NORTH AMERICA)114445382001 09/26/13 CONCRETE 139.32
114260978001 09/19/13 CONCRETE 118.80
2038392 10/02/13 07662 UNITEDHEALTHCARE SPECIALTY 132730000294 10/01/13 AD&D & SUPP LIFE INS (OCT 2013)5,660.77 5,660.77
2038542 10/23/13 07662 UNITEDHEALTHCARE SPECIALTY 132960000041 10/23/13 AD&D & SUPP LIFE INS (NOV 2013)5,660.77 5,660.77
2038543 10/23/13 07674 US BANK SC0913 09/23/13 CAL CARD EXPENSES (MONTHLY)3,673.44 3,673.44
2038428 10/09/13 07674 US BANK E000042 09/23/13 CAL CARD EXPENSES (MONTHLY)475.00
E000043 10/08/13 CAL CARD EXPENSES (MONTHLY)423.50
2038332 09/25/13 07674 US BANK O0000000036 08/22/13 CAL CARD EXPENSES (MONTHLY)24,376.67 24,376.67
2038496 10/16/13 07674 US BANK A000048 09/22/13 CAL CARD EXPENSES (MONTHLY)10,408.81
MW0913 09/23/13 CAL CARD EXPENSES (MONTHLY)358.53
2038497 10/16/13 13048 V & A CONSULTING ENGINEERS 14283 09/20/13 CORROSION SERVICES (8/31/13-9/20/13)9,010.50 9,010.50
2038333 09/25/13 15148 VAN DAELE DEVELOPMENT CORP Ref002430441 09/23/13 UB Refund Cst #0000186266 1,972.97 1,972.97
Page 13 of 14
Check Total
CHECK REGISTER
Otay Water District
Date Range: 9/19/2013 - 10/23/2013
Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount
2038334 09/25/13 01095 VANTAGEPOINT TRANSFER AGENTS Ben2430527 09/26/13 BI-WEEKLY DEFERRED COMP PLAN 11,275.70 11,275.70
2038544 10/23/13 01095 VANTAGEPOINT TRANSFER AGENTS Ben2430888 10/24/13 BI-WEEKLY DEFERRED COMP PLAN 11,178.92 11,178.92
2038429 10/09/13 01095 VANTAGEPOINT TRANSFER AGENTS Ben2430693 10/10/13 BI-WEEKLY DEFERRED COMP PLAN 11,154.62 11,154.62
2038335 09/25/13 06414 VANTAGEPOINT TRANSFER AGENTS Ben2430535 09/26/13 BI-WEEKLY 401A PLAN 1,012.80 1,012.80
2038430 10/09/13 06414 VANTAGEPOINT TRANSFER AGENTS Ben2430701 10/10/13 BI-WEEKLY 401A PLAN 737.82 737.82
2038545 10/23/13 06414 VANTAGEPOINT TRANSFER AGENTS Ben2430896 10/24/13 BI-WEEKLY 401A PLAN 737.82 737.82
2038393 10/02/13 03329 VERIZON WIRELESS 9711948878 09/21/13 VERIZON SERVICES (8/22/13-9/21/13)5,768.77 5,768.77
2038394 10/02/13 15158 VILLA, RAUL 092613 09/26/13 SAFETY BOOTS REIMBURSEMENT 150.00 150.00
2038336 09/25/13 15155 VINCENZO PELUSO Ref002430448 09/23/13 UB Refund Cst #0000203689 79.03 79.03
2038431 10/09/13 15166 WAJMA NOORI Ref002430633 10/07/13 UB Refund Cst #0000184400 54.15 54.15
2038546 10/23/13 15189 WANDALEEN KEHLER Ref002430854 10/21/13 UB Refund Cst #0000177791 30.59 30.59
2038432 10/09/13 03781 WATTON, MARK 100313 10/03/13 TRAVEL EXPENSES (SEPT 2013)503.93 503.93
2038337 09/25/13 15150 WHITE STAR CAPITAL LLC Ref002430443 09/23/13 UB Refund Cst #0000197258 70.88 70.88
Amount Pd Total:1,414,936.56
Check Grand Total:1,414,936.56
Page 14 of 14