Loading...
The URL can be used to link to this page
Your browser does not support the video tag.
Home
My WebLink
About
02-04-09 Board Packet
OTAY WATER DISTRICT BOARD OF DIRECTORS MEETING DISTRICT BOARDROOM 2554 SWEETWATER SPRINGS BOULEVARD SPRING VALLEY,CALIFORNIA WEDNESDAY February 4,2009 3:30 P.M. AGENDA 1.ROLL CALL 2.PLEDGE OF ALLEGIANCE 3.APPROVAL OF AGENDA 4.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 5.APPROVAL OF THE MINUTES OF THE REGULAR MEETING OF OCTOBER 9, 2008 CONSENT CALENDAR 6.ITEMS TO BE ACTED UPON WITHOUT DISCUSSION,UNLESS A REQUEST IS MADE BY A MEMBER OF THE BOARD OR THE PUBLIC TO DISCUSS A PAR- TICULAR ITEM: a)APPROVE PURCHASE ORDERS FOR THE PURCHASE OF VARIOUS FLEET VEHICLES FROM TOYOTA CARLSBAD,IN THE AMOUNT OF $90,907.88,AND FROM EL CAJON FORD,IN THE AMOUNT OF $72,914.84;ADDITIONALLY,THE GENERAL MANAGER WILL ISSUE PURCHASE ORDERS UNDER HIS SIGNATORY AUTHORITY TO KEARNY MESA CHEVROLET IN THE AMOUNT OF $12,052.50 AND TO PEARSON FORD IN THE AMOUNT OF $19,387.59 b)APPROVE THE MEMORANDUM OF UNDERSTANDING ("ENVIRON- MENTAL MOU")SETTING FORTH CERTAIN TERMS AND UNDERSTAND- INGS OF THE PARTIES (OTAY,SYCUAN BAND OF KUMEYAAY NATION, AND CONSULTANTS)RELATING TO THE PREPARATION OF THE CEQA DOCUMENTS REQUIRED IN CONNECTION WITH THE PROPOSED AN- 1 If I[, ! NEXATION;AUTHORIZE THE GENERAL MANAGER TO EXECUTE AND DELIVER THE ENVIRONMENTAL MOU;AUTHORIZE THE GENERAL MANAGER AND THE GENERAL COUNSEL TO NEGOTIATE TERMS OF A MEMORANDUM OF UNDERSTANDING SETTING FORTH CERTAIN TERMS,CONDITIONS,GOALS AND UNDERSTANDINGS OF THE PAR- TIES IN CONNECTION WITH THE ANNEXATION PROCESS AND AC- TIONS/RESPONSIBILITIES OF EACH PARTY INVOLVED (THE ANNEXA- TION MOU") c)REVIEW OF THE WINTER 2009 CUSTOMER PIPELINE NEWSLETTER d)APPROVE CHANGE ORDER NO.1 TO THE CONTRACT WITH ARRIETA CONSTRUCTION FOR THE RALPH W.CHAPMAN WATER RECYCLING FACILITY FORCEMAIN AIRIVAC REPLACEMENTS AND ACCESS ROAD IMPROVEMENTS PROJECT ACTION ITEMS 7.ENGINEERING AND WATER OPERATIONS a)APPROVE THE WATER SUPPLY ASSESSMENT AND VERIFICATION REPORT DATED JANUARY 2009 FOR THE OTAY RANCH L.P.OTAY RANCH PRESERVE AND RESORT COMMUNITY PROJECT (RESORT) DEVELOPMENT PROPOSAL AS REQUIRED BY SENATE BILL 610 AND SENATE BILL 221 (PEASLEY) 8.GENERAL MANAGER a)APPROVE A CHANGE IN THE HIRING AUTHORITY FOR THE VACANT ASSISTANT DISTRICT SECRETARY POSITION (WILLIAMSON) 9.BOARD a)CONSIDERATION TO NOMINATE A DISTRICT REPRESENTATIVE FOR A REGULAR DISTRICT MEMBER AND AN ALTERNATE MEMBER ON THE SAN DIEGO FORMATION COMMISSION b)DISCUSSION OF THE 2009 BOARD MEETING CALENDAR INFORMATIONAL ITEMS 10.THESE ITEMS ARE PROVIDED TO THE BOARD FOR INFORMATIONAL PUR- POSES ONLY.NO ACTION IS REQUIRED ON THE FOLLOWING AGENDA ITEMS. a)INFORMATIONAL REPORT REGARDING THE NORTH DISTRICT RECYCLED WATER REGULATORY COMPLIANCE SYSTEM 2 DEVELOPMENT PROJECT,PHASE I CONCEPT STUDY (COBURN- BOYD) b)INFORMATIONAL REPORT REGARDING THE PROPOSED MIDDLE SWEETWATER RIVER BASIN GROUNDWATER WELL PILOT PROJECT (PEASLEY) REPORTS 11.GENERAL MANAGER'S REPORT a)SAN DIEGO COUNTY WATER AUTHORITY UPDATE 12.DIRECTORS'REPORTS/REQUESTS 13.PRESIDENTS REPORT RECESS TO CLOSED SESSION 14.CLOSED SESSION a)CONFERENCE WITH LEGAL COUNSEL -POTENTIAL LITIGATION [GOVERNMENT CODE §54956.9(b)] 1 CASE b)CONFERENCE WITH REAL PROPERTY NEGOTIATORS [GOVERNMENT CODE §54956.8] PROPERTY:INTENT TO PURCHASE WATER FROM A NEW SOURCE AGENCY NEGOTIATORS:YURI CALDERON,MARK WATTON NEGOTIATING PARTIES:GOUGH THOMPSON,NS AGUA,AND OTHER POTENTIAL SOURCES OF POTABLE WATER AND/OR THEIR DESIG- NATED REPRESENTATIVES,SUCCESSORS OR OTHER AUTHORIZED ENTITIES UNDER NEGOTIATION:PRICE AND TERMS OF ACQUISITION,INCLUD- ING BUT NOT LIMITED TO TIMING AND AMOUNT OF ACQUISITION RETURN TO OPEN SESSION 15.REPORT ON ANY ACTIONS TAKEN IN CLOSED SESSION.THE BOARD MAY ALSO TAKE ACTION ON ANY ITEMS POSTED IN CLOSED SESSION 16.ADJOURNMENT 3 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 January 30,2009,I posted a copy of the foregoing agenda near the regular meeting place of the Board of Directors of Otay Water District,said time being at least 72 hours in advance of the regular meeting of the Board of Directors (Government Code Section §54954.2). Executed at Spring Valley,California on January 30,2009. I J 4 AGENDA ITEM 5 MINUTES OF THE BOARD OF DIRECTORS MEETING OF THE OTAY WATER DISTRICT AND October 9,2008 1.The meeting was called to order by Vice President Lopez at 3:33 p.m. 2.PLEDGE OF ALLEGIANCE 3.ROLL CALL Directors Present: Directors Absent: Staff Present: Bonilla,Breitfelder,Lopez and Robak Croucher (due to illness) General Manager Mark Watton,Ass!.GM Administration and Finance German Alvarez,Ass!.GM Engineering and Water Operations Manny Magana,General Counsel Yuri Calderon,Chief of Information Technology Geoff Stevens, Chief Financial Officer Joe Beachem,Chief of Engineering Rod Posada,Chief of Operations Pedro Porras,Chief of Administration Rom Sarno,District Secretary Susan Cruz and others per attached list. I 4.APPROVAL OF AGENDA A motion was made by Director Bonilla,seconded by Director Breitfelder and carried with the following vote: Ayes: Noes: Abstain: Absent: Directors Bonilla,Breitfelder,Lopez and Robak None None Director Croucher to approve the agenda. 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 No one wished to be heard. 6.APPROVAL OF THE MINUTES OF THE REGULAR MEETING OF JUNE 10, 2008,JULY 2,2008 AND AUGUST 6,2008;AND THE MINUTES OF THE JOINT AGENCY BOARD MEETING OF SEPTEMBER 19,2008 Director Breitfelder indicated with regard to the June 10,2008 minutes,the bottom of page 2,.though it is not inaccurate,it gives a rnisimpression because it is not as complete as it could be.He indicated that Director Robak's comment 1 that he was comfortable with the information he received conceming the OPEB liability at the Finance,Administration and Communications Committee makes it seem like he (Director Breitfelder)had some issue with the information and that staff had done a bad job.He indicated it is quite the opposite and he felt that though the committee was satisfied with the information presented,it did not justify the committee surrendering jurisdiction of a financial matter.He indicated that he wished the minutes to reflect this.It was indicated that District Secretary Susan Cruz will listen to the recording of the meeting and rework the paragraph from the recording. Director Breitfelder indicated with regard to the minutes of August 6,2008, bottom of page 3,that it was quite clear from the discussion at the time that in giving direction to staff,that the board was not acquiescing to any legislation with restrictions on the use of recycled water for groundwater discharge and that the board is taking a position in favor of groundwater discharge.He indicated that he felt that by the end of the conversation this was clear. District Secretary Cruz indicated that she did listen to the tape once again as she had also thought the board took a position on the matter.However,when she listened to the discussion again,the board had decided that they would not take a position on groundwater recharge until a San Diego project was presented. She indicated that she would provide a verbatim transcript for the board on the discussion.General Manager Watton indicated that it would be incorporated into the minutes for the board's consideration at the next meeting. A motion was made by Director Breitfelder,seconded by Director Bonilla and carried with the following vote: i:, i:I Ayes: Noes: Abstain: Absent: Directors Bonilla,Breitfelder,Lopez and Robak None None Director Croucher to approve the minutes of the regular board meeting of July 2,2008. Vice President Lopez presented the minutes of the Joint Agency Board Meeting of September 19,2008 for ratification. A motion was made by Director Lopez,seconded by Director Bonilla and carried with the following vote: Ayes: Noes: Abstain: Absent: Directors Bonilla,Lopez and Robak None Director Breitfelder Director Croucher to approve the minutes of the Joint Agency Board Meeting of September 19, 2008. 2 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: Director Robak indicated that he wished to pull item 6a from the Consent Calendar. A motion was made by Director Robak,seconded by Director Breitfelder and carried with the following vote: I Ayes: Noes: Abstain: Absent: Directors Bonilla,Breitfelder,Lopez and Robak None None Director Croucher to approve the following consent calendar items: b)AUTHORIZE THE GENERAL MANAGER TO SIGN AMENDMENTS TO FOUR SEPARATE UTILITY AGREEMENTS WITH THE CALIFORNIA DEPARTMENT OF TRANSPORTATION (CALTRANS)RELATED TO THE CONSTRUCTION OF THE SR-905 36-INCH PIPELINE UTILITY RELOCATIONS c)AWARD A CONSTRUCTION CONTRACT TO NEWest CONSTRUCTION COMPANY,INC.FOR THE 450-1 RESERVOIR DISINFECTION FACILITY PROJECT IN AN AMOUNT NOT-TO-EXCEED $342,865 d)APPROVE AN AGREEMENT WITH CRICKET COMMUNICATIONS, INC.,A DELAWARE CORPORATION,FOR THE INSTALLATION OF A COMMUNICATIONS FACILITY AT THE 832-1 &2 RESERVOIR SITE e)APPROVE AN AGREEMENT WITH CRICKET COMMUNICATIONS, INC.,A DELAWARE CORPORATION FOR THE INSTALLATION OF A COMMUNICATIONS FACILITY AT THE 1200-1 RESERVOIR SITE f)RATIFY THE TERMS OF THE SETTLEMENT AGREEMENT WITH NORTHROP GRUMMAN Vice President Lopez presented consent calendar item 6a for discussion: a)AUTHORIZE THE GENERAL MANAGER TO EXECUTE THE PROPOSED AMENDED AGREEMENT NO.1 TO THE AGREEMENT FOR THE TEMPORARY EMERGENCY DELIVERY OF A PORTION OF THE MEXICAN TREATY WATERS AND APPROVE THE PROPOSED WHEELING RATE FOR THE DELIVERY OF TREATY WATER TO THE CITY OF TIJUANA 3 Director Robak indicated that he wished to clarify if the outstanding debt has been paid.General Manager Watton confirmed that it has been paid.He inquired with regard to the wheeling rate,the cost is amortized into the cost of the capital improvement cost plus the cost of Operations and Maintenance.General Manager Watton indicated that that was correct.Director Robak further inquired that now that Mexico is current,the cost is strictly the Operations and Maintenance cost and the actual cost of the water.General Manager Watton indicated that that was also correct. Director Bonilla asked if this item was reviewed by committee.General Manager Watton indicated that the Engineering,Operation and Water Resources Committee had reviewed this item and a record of the discussion is attached to staffs'report.The members of the committee are Directors Croucher and Lopez and the committee had recommended presentation on the consent calendar. A motion was made by Director Robak,seconded by Director Breitfelder and carried with the following vote: Ii.l'~\ 1"j II iII ! I i Ayes: Noes: Abstain: Absent: Directors Bonilla,Breitfelder,Lopez and Robak None None Director Croucher to approve staff recommendation with regard to consent item 6a. ACTION ITEMS 8.ENGINEERING AND WATER OPERATIONS a)AWARD OF A CONSTRUCTION CONTRACT TO SCW CONTRACTING COMPANY FOR THE 1485-1 PUMP STATION REPLACEMENT PROJECT IN AN AMOUNT NOT-TO-EXCEED $1,530,500 (RIPPERGER/GRUNOW) General Manager Watton indicated that this item was also was presented to the Engineering,Operations and Water Resources Committee and the committee agreed with staffs'recommendation,however,the committee felt because there was an issue surrounding the bid (which has been resolved)that the item should be agendized as an action item so that the full board understands the issues. Sr.Civil Engineer Ron Grunow indicated that this project is for the replacement of the 1485-1 Pump Station which has been exposed to the elements (heat,cold, moisture and sunlight)and is at the end of its life.He indicated that the new Pump Station will be enclosed and will contain three new 40hp motors and pumps.There will also be a bridge crane for service and maintenance and on site parking for utility vehicles.The property will be surrounded by a fence and block wall for sound.He indicated that the project was presented to the Jamul- Delzura Community Planning Group on June 24,2008 and the planning group 4 was fine with the design and schedule.The design was handled by JC Heden and Associates,Inc. Sr.Civil Engineer Grunow also shared that the project was advertised for bid on July 24,2008 and the pre-bid meeting was held on August 5,2008.He stated eight bids were received and it was determined at a public bid opening on August 26,2008 that the apparent low bidder was SCW Contracting Company with a bid of $1 ,530,500.He indicated that the Engineer's estimate for the project was $1,823,000. He stated,however,there were two apparent errors in the bid process: 1.SCW Contracting Company listed the amount of their bid as $1,580,000. However,the calculated amount was actually $1,530,500 (a difference of $49,000). SCW Contracting Company made staff aware that they would like to plead their bid to the board for the higher dollar value.Staff had made the contractor aware that in the specifications it clearly states how discrepancies are handled.He noted in Exhibit B,the highlighted paragraph which notes,"In the event the total bid amount does not agree with the sum of the total amounts for each item,the unit and lump sum price bid for each item along with its corrected/uncorrected total amount extension,shall govern.The total bid amount will be corrected accordingly,and the contractor shall be bound by said correction." 2.SCW Contracting Company also did not list their Geotechnical Sub- Contractor for the geotechnical services to be performed on-site. However,if the sub-contractors total cost for the work on the project is less than Yz%of the total contract,there is no requirement to list the sub- contractor.As the sub-contractor's cost is less than Yz%of the total contract,this issue has been accepted as there is no requirement to list the sub-contractor. There was a subsequent protest related to this issue,but it will not be carried further due to the reason noted above. Sr.Civil Engineer Grunow indicated that the fiscal year budget is $2,375,000 and the total projected expenditures plus commitments are $2,148,450.Staff recommends that the project be awarded to SCW Contacting Company.He noted that the paperwork has been processed to SCW Contracting Company and they have executed the documents.He indicated that Mr.Kurt Bjoin was in attendance of today's meeting to speak on behalf of SCW Contracting Company. Director Breitfelder inquired with regard to the three companies whose bid amounts were noted with corrected amounts seemed counter intuitive as some were more and some were less.Sr.Civil Engineer Grunow indicated that the total bid amount and the sum total of the line items generally match.However, if 5 the sum total of the line items are in conflict with the total bid amount,it is the sum of the line items that is used. Mr.Kurt Bjoin,Project Manager for SCW Contracting Company, indicated that after they had submitted their bid and their company had been identified as the apparent lowest bidder,they had been contacted by the District indicating that there was a clerical error in their bid.The sum total of the line items presented in their bid was $1,530,500 and that their bid would be adjusted to this figure.They were asked to advise the District if they would be happy to proceed with the new figure.He indicated that his firm is not happy,but they do understand the protocol and it does make sense.He indicated that he wished to explain their process for putting together their company bid.He indicated that there were 37 separate items that were part of the bid and many of them were filled in at the last minute prior to the bids submission.He indicated that he had made a last minute adjustment to one of the line items in the bid and,due to a miscommunication between himself and the assistant putting the bid sheets together,the finalized documents did not include his adjustment as he did not realize that they were working off two separate pages (files).He indicated that their total bid amount of $1 ,580,000 is what he felt the project would cost and that SCW Contracting Company would still be the lowest responsive bidder whether their bid was adjusted to $1,530,500 or not.He indicated that SCW Contracting Company is still moving forward with the project,but he wished to present what happened and ask the board to accept their total bid amount of $1 ,580,000. Director Bonilla indicated that he sympathizes with Mr.Bjoin as certainly no one wishes to see anyone loose money on the project.He indicated that the District's attorney has indicated that the protocol is the law and,unfortunately,the District does not have any other option. Mr.Bjoin indicated that he hoped the District would provide SCW Contracting Company a change order for the $49,000.The District's General Counsel,Yuri Calderon,indicated that a change order would imply that there are some changed conditions.He indicated that there has not been anything brought to their attention that would be outside of the bid specifications and would justify a change order process. General Manager Watton indicated that staff did discuss the situation in detail as they certainly understand SCW Contracting Company's situation.However, there is no other option without rebidding the project. Director Robak inquired with regard to the legal reason why a change order could not be issued.General Counsel Calderon indicated that the Public Bidding Law is very clear and specific.He indicated that the intent of the law is to provide a fair and level playing field for contractors to acquire public work at a competitive price.He indicated in this particular case,the District is not questioning whether SCW Contracting Company has any ill intent,but the law is designed to protect public agencies from bidders who indicate that they made a mistake (they are still the lowest responsive bidder,but realize that they require another $50,000).He indicated that once a bid is submitted,there are limited options and the agency 6 II, Ii II II,'I), 11I',: IIi I! cannot negotiate with the bidder.He indicated that policy precludes the District from issuing a change order for something that is clearly in the documents and doing so would result in a gift of public funds.That is,the public contract document binds the District to pay for a certain service and if the District tried to pay a second time for the service,it is basically giving those funds away.He indicated the change order process requires there be something new that is being requested outside the specifications in the agreement/bid documents or have some changed condition that was not anticipated.This particular circumstance does not fall within any of these exceptions.For the board to do anything other than accept the bid or reject all bids and require that the project be rebid,would not be consistent with the law. A motion was made by Director Breitfelder,seconded by Director Bonilla and carried with the following vote: I r, ! Ayes: Noes: Abstain: Absent: Directors Bonilla,Breitfelder,Lopez and Robak None None Director Croucher to approve staffs'recommendation. 9.BOARD a)DISCUSSION OF 2008 BOARD MEETING CALENDAR General Manager Watton noted the new dates for the November and December 2008 Regular Board Meetings of November 13,2008 and December 15,2008. REPORTS 10.GENERAL MANAGER'S REPORT a)SAN DIEGO COUNTY WATER AUTHORITY UPDATE General Manager Watton provided a presentation on CWA's Drought Management Plan Implementation.He indicated on slide number seven (see attached copy of presentation)it shows a comparison of Municipal and Industrial Water Use and indicated that a comparison of July 2007 and July 2008 usage is down 6%;and August 2007 and August 2008 is down 9%.He noted the agencies that have adopted the Drought/Conservation Ordinances and those agencies who have not (see attached copy presentation).He noted that in year 2009 through 2013 water transfers from the 110 and from the Canal Lining will increase from 100,580 AF in 2009 to 180,200 AF in 2013 providing additional water supplies.He indicated that over the next five years,the county will be in good shape with regard to supply as long as it meets the 20 Gallon Challenge savings and as long as 100%of the MWD resource options come to fruition.If MWD is 60%successful with the resource options,in 2010 the county will require 7 15%conservation to meet required water supply demand.He indicated that he felt that this scenario will probably be the more likely option.He stated that in 2011 when the Colorado River ramps up,the County can meet supply demands with the 20 Gallon Challenge.savings.He indicated that if MWD moves away from the .allocation program and focuses on preferential rights,then conservation would be required in both 2009 (24%)and 2010 (18%).He stated that he is not certain that this would happen,but he wished to share the information as it is a possibility.Director Breitfelder inquired why the MWD supply differs on slide 16 and 17.General Manager Watton indicated that slide 16 compares 100%of MWD resources options based on MWD preferential rights and slide 17 reflects 60%of MWD resource options with preferential rights. General Manager Watton then presented his GM Report and stated that the design for the 36-inch Potable Water Pipeline would be completed in December 2008.It was originally expected to be completed in July 2008.The project is a little behind schedule,however,staff feels that the District will make up time during the construction phase.He indicated that Le &Ro is fully engaged and the project is moving along well. He indicated that Director Croucher,CWA and several local agencies have been working on developing a group to provide representation to retail water agencies. It is felt that ACWA is not representing the retail agencies and there is interest in developing a group to represent retail water agencies in San Diego,Los Angeles and Orange County to provide better representation in Sacramento for Southern California.An exploratory group identified as VOCAL (Voice of the Consumers at the Local Level)will provide a presentation at the next Water Agencies Association meeting scheduled on October 16,2008 to see if other agencies would have interest in developing such a group. He indicated that staff met with CESPT staff (Tijuana's Water Agency)at their offices in Tijuana)on August 27,2008 to discuss the Rosarito Beach Desalination Project.Staff also toured their Los Olivos Recycled Water Plant. The District was also invited to the inauguration of the Los Olivos Recycled Water Plant and Chief of Engineering Posada and Assistant General Manager Alvarez,represented the District at the event on September 25,2008.CESPT staff visited the District on October 8,2008 to continue discussions on the Desalination Project and to shared information on recycled water.CESPT will be commencing a study in January 2009 to review environmental issues and possible locations for the Desalination Plant. He also noted that William Granger testified at the California Urban Water Conservation Council Plenary meeting in September to provide comments on the draft revisions to the BMPs.The District is looking for more flexibility in the BMPs as the State Water Resources Control Board prefers less flexibility.Stated that the State Board is more likely to leave some flexibility when they hear customer input through the water agencies. General Manager Watton indicated that the District's current AA-rating may be upgraded by the rating agencies.The rating agencies are recognizing the 8 lf \, financial strength of local retail water agencies and the rating increase may be provided across the board to all agencies.This rating increase is very significant as it provides cost savings when the District issues debt. He indicated that staff met with Directors Bonilla and Croucher to review the District's investments and criteria for investments.He indicated that the District will not incur losses on its investments as it does not invest in the types of securities that have been experiencing losses. He noted that potable water purchases have decreased 10.26%.The decrease is due to the District's new source for recycled water and customers beginning to respond to the water conservation messages. Director Robak inquired with regard to the General Manager's report concerning the Jamul-Dulzura Elementary School District's plan to install artificial turf at the Oakgrove Middle School.He asked if the District would be contributing money to the project.General Manager Watton indicated that he is not sure what the school's contribution will be,but the District has extended the funding that is available to all the schools within its service area.He indicated that such turf projects cost approximately $1 million and Otay's contribution ranges from $50,000 to $85,000.It is not known if the project is definitive,but staff wanted to assure the school knew that funding was available from the District. 11.DIRECTORS'REPORTS/REQUESTS Director Robak indicated that he had been driving along Steele Canyon Road and noted that the District was flushing one of its lines and water was flowing down the hill.He asked if the District communicates with the community when it is flushing a line as the public might question why water is being wasted because they do not understand what is being done.General Manager Watton indicated that Helix has developed a notice and the District will be developing a similar notice to provide to distribute to the public. Director Breitfelder indicated that the Rural Water Association spoke at the last Council of Water Utilities meeting.They presented on desalinated water and hoped to build a relationship with suburban water agencies.He indicated that the Conservation Action Committee has been focused on meeting with representatives from the Department of Water Resources to discuss their State model ordinance with local stakeholders.The objective was to have an interactive process to further influence the State ordinance so that it has a motivating effect on local stakeholders and they understand the importance of the model ordinance throughout the state.He indicated that Supervisor Ron Roberts presented at the recent CSDA meeting on Proposition A.He indicated that he also attended the CSDA conference and he had an opportunity to speak with representative from U.S.Bank.He indicated that it seems the District has had some very promising discussions with U.S.Bank regarding some banking services.General Manager Watton indicated that the District is very well situated with Union Bank,however,staff is always exploring what is available in the market to assure that the District is getting the best services for the cost.He 9 I I I IIII wished to indicate that the District is not,at this time,switching banks.Director Breitfelder also shared that he had a discussion with other Districts regarding rate increases during the CSDA conference and he had shared with them the District's rate study and how it has helped with the District's strategic decision making.He also shared with them the name of the District's consultant,PBS&J, who assisted the District with its rate study. Director Lopez indicated that he also attended the recent CSDA meeting where Proposition A was discussed.He indicated that State Assemblymember Mary Salas was very interested in what was occurring with the Rosarito Desalination Project.General Manager Watton indicated that he did have an opportunity to share with her information on the project.Director Lopez thanked General Manager Watton for following up on her inquiry. RECESS TO CLOSED SESSION 14.CLOSED SESSION The board recessed into closed session at 4:42 p.m.to discuss the following matters: b)CONFERENCE WITH LEGAL COUNSEL -PENDING LITIGATION [GOVERNMENT CODE §54956.9(a)] (I)MULTIPLE CASES RELATED TO THE FENTON BUSINESS CENTER AND FILED WITH THE SUPERIOR COURT OF THE COUNTY OF SAN DIEGO RECENTLY CONSOLIDATED UNDER CASE NO.37-2007-00077024-CU-BC-CTL;AND TWO NON- CONSOLIDATED CASES,NOS.37-2008-83163-CU-PO-CTL AND 37-2008-00086689-CU-PO-CTL (II)AMERICAN PROTECTION INSURANCE V.OTAY WATER DISTRICT,DISTRICT COURT,SOUTHERN DISTRICT OF CALIFORNIA,#08-CV-0662-JM-POR c)CONFERENCE WITH LEGAL COUNSEL -POTENTIAL LITIGATION [GOV-ERNMENT CODE §54956.9(b)] 1 CASE RETURN TO OPEN SESSION 15.REPORT ON ANY ACTIONS TAKEN IN CLOSED SESSION.THE BOARD MAY ALSO TAKE ACTION ON ANY ITEMS POSTED IN CLOSED SESSION The board reconvened at 6:12 p.m.General Counsel Yuri Calderon noted for the record that Director Robak left closed session at 5:50pm.He indicated that two actions were taken in closed session: 10 ,;1 A motion was made by Director Bonilla,seconded by Director Lopez and carried with the following vote: I r Ayes: Noes: Abstain: Absent: Directors Bonilla,Breitfelder and Lopez None None Directors Croucher and Robak to authorize the Board President to select a board member and authorize that board member to settle at any subsequent mediation that may occur with respect to American Protection Insurance v.Otay Water District matter. A second motion in closed session was made by Director Breitfelder, seconded by Director Lopez and carried with the following vote: Ayes: Noes: Abstain: Absent: Directors Bonilla,Breitfelder and Lopez None None Directors Croucher and Robak to accept in part and reject in part the claim filed by IEC.The board accepted the portion of the claim for $153,651.35 and denied the balance of the claim in the amount of $143,524.61. General Counsel Calderon indicated that no other reportable actions were taken in closed session. 16.ADJOURNMENT With no further business to come before the Board,Vice President Lopez adjourned the meeting at 5:46 p.m. President ATTEST: District Secretary 11 AGENDA ITEM 6a MEETING DATE:February 4,2009 W.O./G.F.NO:DIV.NO.All TYPE MEETING: SUBMITTED BY: APPROVED BY: (Chief) APPROVED BY: (Ass!.GM): SUBJECT: STAFF REPORT Regular Board Scott Kube,JIlt. Interim constriction Maintenance MV/nar Stephen Dobrawa,Purchasing Manager Pedro Porras,Chief,Operations Manny Magafi~~b~ Assistant General~nager,Engineering and Operations PURCHASE OF FY-09 VEHICLES , I I GENERAL MANAGER'S RECOMMENDATION: That the Board authorizes the General Manager to issue purchase orders to: 1.Toyota Carlsbad,5424 Paseo Del Norte,Carlsbad CA 92018 in the amount of $90,907.88 for the purchase of four (4)Tacoma pickup trucks and one(l)Toyota Matrix vehicle. 2.EI Cajon Ford,1595 East Main Street,EI Cajon,CA 92021 in the amount of $72,914.84 for the purchase of two (2)F-250 and one (1)F150 pickup trucks,and one (1)Escape SUV. Additionally,the General Manager,under his signatory authority,will issue purchase orders to: 1.Kearny Mesa Chevrolet in the amount of $12,052.50 for the purchase of one (1)Aveo passenger vehicle. 2.Kearny Pearson Ford in the amount of $19,387.59 for the purchase of one (1)Ranger 4-WD pickup truck. Taxes and all applicable fees are included in the above prices. COMMITTEE ACTION: See Attachment "An PURPOSE: To provide bid results and obtain authorization to purchase vehicles for FY-09. ANALYSIS: In accordance with District policy,bids were solicited for FY-09 vehicles.Bids received are as follows: Bidding Dealer Toyota Vehicles Yaris Lift Tacoma Back 2WD Rav4 Matrix Toyota Carlsbad $14,750.98 $17,864.95 $22,821.45 $19,448.08 Kearny Mesa Toyota $15,724.52 $22,886.86 $23,879.55 $20,441.72 Bidding Dealer Chevrolet Vehicles Colorado Colorado Silverado Silverado Aveo 2WD 4WD 1500 2500 Kearny Mesa Chevrolet $12,052.50 $19,071.75 $22,558.27 $31,247.50 $24,243.75 Bob Stall Chevrolet $14,088.31 $17,382.23 $20,869.02 $21,733.12 $21,289.24 City Chevrolet $12,273.51 $18,012.54 $21,050.85 $22,169.72 $18,513.42 Bidding Dealer Ford Vehicles Ranger Ranger 2WD 4WD EscapeXLS F150 F250 Carmenita Truck Center $17,523.40 $19,894.44 $17,654.00 $19,246.87 $19,374.54 EI Cajon Ford $17,091.73 $19,550.60 $17,525.65 $18,849.13 $18,270.03 Heller Ford $17,700.52 $21,136.67 $19,130.04 $20,679.81 $20,949.78 Kearny Pearson Ford $16,707.85 $19,387.59 $22,167.54 $19,051.41 $19,205.49 Fairway Ford $18,062.26 $20,836.83 $17,809.05 $20,182.14 $20,219.90 Villa Ford $17,241.49 $19,605.52 $17,580.58 $18,904.07 $18,928.37 Raceway Ford $15,523.54 $19,849.71 $17,825.08 $19,148.25 $18,687.08 Perry Ford $17,288.48 $19,652.52 $17,609.58 $18,951.07 $18,974.77 Yellow shading indicates selected bid. The selection of the versus the Ford Ranger following analyses: Toyota Tacoma 4door X-cab 2-WD 4door X-cab 2-WD ($15,523.54)was ($17,864.95) based on the FISCAL IMPACT: 1.The MPG for the Ranger is 15~city and 20-highway,whereas the Tacoma is 20-city and 25-highway a.Based on our Vehicle Replacement Policy of 5-year or 60,000- miles,the fuel cost savings exceeds the initial purchase costs for the Tacoma. 2.Historically the Tacoma has a higher resale value at the end of service.The District may receive a benefit from this. The District is monitoring and implementing the 5-year or 60,000 mile replacement program designed to reduce fleet operating costs. Specifically,it is expected that this program will reduce the District's fuel and maintenance costs.Preliminary review for the vehicles purchased last year,when compared to prior vehicle selections,indicates a reduction of 26 percent of fuel used.Once the program matures,the District will evaluate and report on the program's impact in regards to the reduction of vehicle downtime and repairs. 67Ct' The total line item budget for vehicles identified in the FY-09 Capital Budget is $228,000.00.The purchase price of the vehicles is $195,262.81.If approved,the cost of proposed purchases will be $19,737.19 less than budgeted. The FY-09 Capital Purchase Budget is $293,000.Expenditures to date are $0.00.If authorized,the proposed expenditure of $195,262.81 will leave a budget balance of $97,737.19. STRATEGIC GOAL: Operate the system to meet demand 24/7. Meet all of the health-related water standards. LEGAL IMPACT: None. ATTACHMENT A SUBJECT/PROJECT:PURCHASE OF FY-09 VEHICLES COMMITTEE ACTION: This item was reviewed by the Finance,Administration and Communications Committee at a meeting held on January 23,2009.The following comments were made: •Staff distributed a revised staff report and indicated that the only change was the name of the vendor,Pearson Ford,which was updated to "Kearny Pearson Ford." •It was indicated that staff is requesting approval to issue Purchase Orders to purchase eleven fleet vehicles.The General Manager will issue Purchase Orders for two of the vehicles under his signatory authority. •Following the same strategy for vehicle purchases for the past couple years,staff is recommending that the following vehicles be purchased: 0 4 -Toyota Tacoma 2WD Pickup Trucks ($17,864.95 each) 0 1 -Toyota Matrix Passenger Vehicle ($19,448.08) 0 2 -Ford F-250 Pickup Trucks ($18,270.03 each) 0 1 -Ford F-150 Pickup Truck ($18,849.13) 0 1 -Ford Escape SUV ($17,525.65) Under the General Manager's signatory authority,it is recommended that the following vehicles be purchased: o 1 -Chevrolet Aveo Passenger Vehicle ($12,052.50) o 1 -Ford Ranger 4WD Pickup Truck ($19,387.59) •It was noted that bids have come in approximately 10%lower than anticipated compared to last year. •Staff indicated that the District is seeing a 26%savings in fuel usage for the alternative vehicles selected,when comapared to previous selections vehicle selections.Also,the strategy to replace vehicles prior to their warrantee expiration (5 years or 60,000 miles)is starting to show savings as well.The District's former stategy was to utilize vehicles to "end of life"when they were no longer cost effective to maintain.This required that the District stock vehicle parts for maintenance and repairs.The new strategy is to sell vehicles prior to their warrantee expiration and ,by doing so,the District would no longer need to stock parts and would receive a higher resale value on its vehicles. •The committee inquired how many vehicles were purchased last year.Staff researched this information following the meeting and found that eight vehicles were replaced in Fiscal Year 2008. •It was suggested that staff review the Ford Ranger 4WD versus the Toyota Tacoma 4x4 vehicles for future purchases as staff may find that the higher fuel savings and resale value of a Toyota Tacoma 4x4 may actually make the vehicle more cost effective.Following the meeting,it was confirmed that staff did evaluate the cost of the Ranger .4WD versus the Tacoma 4x4 and based on the difference in purchase price (close to $4,000)and the minimal difference in fuel economy (FEG est.14mpg vs.16mpg @ $3.00 over 60,000 miles),staff felt the Tacoma 4X4 was not as cost effective. Following the discussion,the committee supported staffs' recommendation and presentation to the full board on the consent calendar. AGENDA ITEM 6b DIV.NO. February 4,2009MEETINGDATE:Regular Board Open Session Yuri calderon~1eneral couns~l~W.O.lG.F.NO: Mark Watton,General Manager~ Memorandums of understanding with the Sycuan Band of the Kumeyaay Nation,and its consultants,in connection with the proposed Annexation TYPE MEETING: SUBMITIED BY: APPROVED BY: SUBJECT: ATTORNEY'S RECOMMENDATION: Approve the Memorandum of Understanding ("Environmental MOU")presented to the Board of Directors (Board)setting forth certain terms and understandings of the parties (Otay,Sycuan Band of Kumeyaay Nation,and consultants)relating to the preparation of the CEQA Documents required in connection with the proposed Annexation (defined below);Authorize the General Manager to execute and deliver the Environmental MOUi Authorize the General Manager and the General Counsel to negotiate terms of a Memorandum of Understanding setting forth certain terms,conditions, goals and understandings of the parties in connection with the annexation process and actions (the "Annexation MOU"). PURPOSE: The purpose of the Environmental MOU is to set forth the current understanding and agreement of the parties concerning the role and obligation of each entity directly involved in the preparation and/or approval of the CEQA Documents.The purpose of negotiating terms, conditions and goals for the Annexation MOU is to clarify the role of the parties involved in the Annexation process and to establish guidelines and procedures for the parties to cooperate and work with each other during the process. BACKGROUND: On or about April of 2008,the Sycuan Band of the Kumeyaay Nation (sycuan)submitted a written request and petition for annexation (Petition)to the Otay Water District (Otay).Through the Petition, Sycuan requests Otay to commence annexation proceedings for the Original Sycuan Reservation to have access to water and sewer service,and certain other parcels owned by Sycuan (the Group B Parcels)to have access to sewer services only.Water service is made available by otay near the geographical area of the parcels through Improvement District No.20. Sewer service is made available through Improvement District No.18. The Original Sycuan Reservation encompasses an area covering approximately 634 acres of developed and undeveloped land and has no entitlement to water or sewer service from any other local agency. Sycuan currently uses well water to supply all its water needs and wishes to annex to Otay to provide an alternative source of water to reduce its dependency on well water and to possibly stave off the depletion of several wells in the area.If the concurrent annexation of the Original Sycuan Reservation is accomplished,Sycuan will install,at its cost,all required facilities to connect to the Otay water system through a master meter. The annexation of the Original Sycuan Reservation,which is outside otay's sphere of influence,will have to be processed and approved ·through the Local Agency Formation Commission (LAFCO),the San Diego County Water Authority (CWA),and Metropolitan Water District (MWD),all these processes and approvals are collectively referred to as the "Annexation".Dexter Wilson Engineering,Inc.(Dexter Wilson)is working with Sycuan to prepare all documentation required for the Annexation. The Environmental MOU The Annexation requires compliance with the California Environmental Quality Act (CEQA),and,in connection with the preparation of the required documentation,Sycuan has retained the services of Dudek,as the environmental consultant (Dudek).The parties agree that Dudek will be primarily responsible for researching all environmental issues,drafting the environmental documents and reports (collectively,"CEQA Documents"), and working with Otay to ensure compliance with CEQA laws,regulations and processes. Otay,Sycuan,Dexter Wilson and Dudek will execute and deliver the Environmental MOD to clarify each entity's anticipated contribution and involvement to ensure compliance with CEQA and the preparation of adequate CEQA Documents.A few salient points of the MOD are: •Sycuan and its consultants will be primarily responsible for preparing,in consultation of Otay,as well as CWA,MWD,LAFCO,and other "responsible agencies,"as required by law,such environmental documents that are required for CEQA compliance. •Otay will be the "lead agency"for purposes of meeting CEQA requirements related to the annexation process,including evaluation of all CEQA documents prepared by Sycuan,its consultants. •Sycuan will complete all acts,pursuant to federal,state,and tribal law,to authorize Sycuan's role and participation in the CEQA process related to the proposed annexation. •Sycuan will indemnify and hold harmless,Otay,Otay's Board, officers,employees,attorneys and agents against any legal challenges with regard to the sufficiency of the CEQA documents and environmental law compliance associated with the proposed annexation. II~, I l I II rI f "[ [ II:[ "f~ Tbe Annexation MOU During the past months,Sycuan,Dexter Wilson,Syd Morris (a consultant retained by Sycuan to coordinate the Annexation process and provide other consulting services to Sycuan),and Otay have met with representatives of CWA,MWD and LAFCO to discuss the Annexation and obtain preliminary comments,observations and direction from those agencies. As a result of comments received during these meetings,Dexter Wilson and Syd Morris have recommended that Sycuan proceed only with the proposed annexation of the Original Reservation area to Otay.Other changes on the process of Annexation originally contemplated,an increased level of effort to complete the SAMP and other environmental documents and required revisions to the schedule originally contemplated require the negotiation of a memorandum of understanding to clarify the objectives and goals of the Annexation,the responsibilities of each party involved, and to establish initial terms and conditions for the services currently anticipated to be ultimately required. FISCAL IMPACT: None anticipated.sycuan is responsible for all costs and expenses relating to the Annexation. LEGAL IMPACT:(~ The Environmental MOD,if approved and executed,will be a binding contract obligating Otay,Sycuan,Dexter Wilson and Dudek to take certain actions described therein.The Annexation MOD will not be binding until a completed agreement is presented to and approved by this Board. COMMITTEE ACTION: See attached. Attachments - A.Summary of Committee Action B.Environmental MOU ATTACHMENT A Memorandum of Understanding with the Sycuan Band of the Kumeyaay nation,and its consultants,in connection with SUBJECT/PROJECT:the proposed Annexation COMMITTEE ACTION: This item was reviewed by the Finance,Administration and Communications Committee at a meeting held on January 23,2009.The following comments were made: •Staff has been working with Sycuan and their consultants to develop a procedure to annex their Original Sycuan Reservation to Otay Water District,San Diego County Water Authority (CWA)and Metropolitan Water District (MWD). •The annexation requires compliance with the California Environmental Quality Act (CEQA).Sycuan has retained the services of Dudek to develop the CEQA documents and Dexter Wilson Engineering to prepare all documentation required for the annexation. • • • Dudek has agreed to provide information on all environmental issues,drafting the environmental documents and reports and working with the District to ensure compliance with CEQA. As the lead agency,the District's board will need to approve the documents and will be ultimately responsible for the documents when they are adopted.Staff is proposing this MOU to formalize the responsibilities and obligations of those involved in developing the CEQA documents and Annexation process (OWD, Sycuan,Dudek and Dexter Wilson). It was discussed that the Negative Declaration,as initially published,received negative responses from CWA and MWD.The District withdrew the publication and subsequently received comments from CWA and MWD indicating that a full EIR/Mitigated Negative Declaration should be prepared.After receiving initial comments,the District met with Sycuan and it was agreed that the environmental consultant will work with the District to prepare a full EIR. • • It was indicated that Sycuan is withdrawing its application for annexation for sewer services.Therefore,sewer services will not be included in the CEQA documents.It is the District's understanding that Sycuan will continue to utilize their sewer treatment plant. Padre Dam MWD is supportive of the annexation (they cannot provide sewer services in the area)and when sewer service is requested sometime in the future,the District will enter into an interagency agreement with Padre Dam MWD for otay to provide sewer services to Sycuan parcels within Padre Dam MWD's service area and subject to environmental review and consultation with the County of San Diego (1107 Policy). Following the discussion,the committee supported staffs' recommendation and presentation to the full board on the consent calendar. ATTACHMENT B Project Number:00261-010287 Subject:Water and Sewer Annexation MEMORANDUM OF UNDERSTANDING PREPARATION AND HANDLING OF CEQA DOCUMENTS FOR THE PROPOSED ANNEXATION AND REORGANIZATION BY OTAY WATER DISTRICT TO PROVIDE WATER AND SEWER SERVICE TO THE SYCUAN BAND OF THE KUMEYAAY NATION This AGREEMENT,hereinafter referred as the "MOU",is made and entered into by and among the Otay Water District,a municipal water district organized under the laws of the State of California (OWD),Sycuan Band of the Kumeyaay Nation,a federally recognized Indian tribe ("APPUCANr)with jurisdiction over Sycuan Indian country,Dudek,an environmental consultant with an address at 605 Third Street,Encinitas,California 92024 ("ENVIRONMENTAL CONSULTANT"),and Dexter Wilson Engineering,Inc.,a California corporation with an address at 2234 Faraday Avenue,Carlsbad,California 92008 ("ENGINEER")for the purpose of establishing rights and responsibilities of all undersigned parties hereto in relation to the preparation and handling of any and all documents required to comply with the California Environmental Quality Act C'CEQAJI),which may include,based on the ENVIRONMENTAL CONSULTANT's recommendation and with the consent of OWD,APPLICANT,and ENGINEER,a technical study and an environmental impact report or mitigated negative declaration,all as needed to ensure the compliance of the PROJECT (as defined below)with CEQA. RECITALS WHEREAS,OWD is the Lead Agency,as it pertains to CEQA,in connection with the PROJECT (defined below),which is located within federally recognized Indian country (as that term is defined under 18 U.S.C.§1151)in San Diego County;and WHEREAS,the APPLICANT has applied to OWD to extend the boundaries of its water service area and its water improvement district to include the Sycuan Indian Reservation ("RESERVATIONII ),and to reorganize to extend the boundaries -- of its sewer service area and its sewer improvement district to include the RESERVATION and certain parcels of Sycuan Indian country north of the RESERVATION currently within the sewer service area of the Padre Dam Municipal Water District,which annexations are collectively referred to herein as the "PROJECT";and WHEREAS,OWD has determined that the PROJECT proposed by APPLICANT requires compliance with the procedural requirements established by the San Diego Local Agency Formation Commission (LAFCO)under California law for annexation and reorganization of the service area of local agencies;and WHEREAS,at the request of APPLICANT,OWD has agreed to take a lead role in submitting the reqUired application for annexation to LAFCO and to cooperate 1 Project Number:00261·010287 SUbject:Water and Sewer Annexation with and assist APPLICANT and ENGINEER to identify and comply with all legal and procedural requirements to complete the LAFCO process,provided that any specific terms and conditions related to that aspect of the PROJECT shall be established in a separate agreement among the APPLICANT,the ENGINEER, OWO and any other interested parties;and WHEREAS,APPLICANT and ENGINEER have also submitted a required application to the San Diego County Water Authority C'CWA")and to the Metropolitan Water District of Southern California ("MWD")to expand their territories to include the Reservation and the terms and conditions of OWD's assistance and involvement with that part of the PROJECT,as well as specific terms and conditions of the annexation imposed on APPLICANT by OWD,CWA and MWD shall be set forth in a separate agreement;and WHEREAS,OWD has determined that the PROJECT necessitates compliance with CEQA,including the preparation of documents therefore,which may include a TECHNICAL STUDY,ENVIRONMENTAL IMPACT REPORT, NEGATIVE DECLARATION,or MITIGATED NEGATIVE DECLARATION (as required and appropriate,the lICEQA DOCUMENTS");and WHEREAS,APPLICANT and the ENVIRONMENTAL CONSULTANT,each, represents that the ENVIRONMENTAL CONSULTANT is a professional environmental consultant,authorized to do business in the State of California, retained by the APPLICANT to prepare the CEOA DOCUMENTS and to provide environmental services and advice in connection with the PROJECT;and WHEREAS,the parties hereto agree that the ENVIRONMENTAL CONSULTANT's rights and responsibilities within this MOU extend to any consultant hired to assist with the preparation,distribution or review of the CEOA DOCUMENTS;and WHEREAS,the APPLICANT,the ENVIRONMENTAL CONSULTANT,and OWD understand and agree that the ENVIRONMENTAL CONSULTANT has the primary responsibility to ensure that the CEQA DOCUMENTS are adequate and that OWD review is for the benefit of the public generally and not for the benefit of the APPLICANT,the ENVIRONMENTAL CONSULTANT,the ENGINEER or any other entity or person retained by APPLICANT in connection with the PROJECT or related to APPLICANT in any way;and WHEREAS,the APPLICANT represents that it has completed all acts reqUired by any applicable federal,state,and/or tribal law,regulations,and custom to duly authorize the APPLICANT's application,efforts,and actions to extend OWD water and sewer service to its lands;and 2 Project Number:00261·010287 SUbject:Water and Sewer Annexation WHEREAS,the APPLICANT represents that it has completed all acts required by any applicable federal,state,and/or tribal law,regulations,and customs to duly authorize its representatives to execute this MOU and to participate in the preparation of the CEQA DOCUMENTS;and WHEREAS,the APPLICANT,the ENVIRONMENTAL CONSULTANT,the ENGINEER and OWD wish to define their relationships and areas of responsibility in the preparation and management of the CEQA DOCUMENTS and the CEQA process. NOW,THEREFORE,in view of the foregoing,and in consideration of the mutual covenants and agreements contained herein,the APPLICANT,the ENVIRONMENTAL CONSULTANT,the ENGINEER and OWD do hereby agree as follows: I.NECESSITY OF CEQA DOCUMENTS OWD has determined that the PROJECT necessitates the preparation of adequate CEQA DOCUMENTS to comply with CEQA requirements. II.SUBMISSION OF DOCUMENTS AND DISCLOSURE OF INFORMATION The APPLICANT and the ENVIRONMENTAL CONSULTANT shall be responsible for preparing or causing to be prepared or compiled and for submitting all environmental documents and CEQA DOCUMENTS required for the PROJECT.Such documents shall be prepared pursuant to the terms and conditions set forth in this MOU and in accordance with all applicable CEQA gUidelines and regulations.The parties hereto agree that the ENVIRONMENTAL CONSULTANT's rights and responsibilities within this MOU extend to any other consultant hired to assist with the preparation of the CEQA DOCUMENTS and that all references to CONSULTANT rights and responsibilities in this MOU shall be equally enforceable against and by such consultants. This MOU requires the disclosure of certain information by the APPLICANT,the ENVIRONMENTAL CONSULTANT,and the ENGINEER to OWD.Disclosure may initially be through verbal communication with OWD Project Manager.OWD has the right,upon reasonable notice to the APPLICANT,the ENVIRONMENTAL CONSULTANT and/or the ENGINEER, as deemed appropriate by OWD,to:1)review draft documents and relevant correspondence;2)require that it be copied on correspondence subject to the disclosure requirements;and/or 3)require a written or emailed (instead of verbal)report of disclosures. 3 Project Number:00261-010287 Subject:Water and Sewer Annexation The APPLICANT,ENVIRONMENTAL CONSULTANT and the ENGINEER,each,individually and collectively,agree to provide to OWD any such documents and correspondence upon written request. III.CERTIFICATIONS By executing this MOU: A.The APPLICANT,the ENVIRONMENTAL CONSULTANT and the ENGINEER,each,certifies that it has an ongoing obligation and commitment to CWD to disclose all information that is relevant to the environmental consequences of the PROJECT and/or the CEOA DOCUMENTS;and B.The APPLICANT and the ENGINEER,each,certifies that no relevant information has been or will be omitted or withheld from CWD,the ENVIRONMENTAL CONSULTANT,or any sub-consultant(s);and C.The ENVIRONMENTAL CONSULTANT certifies that it is authorized to provide all required services and it is prepared to undertake all necessary technical and analytical work required in connection with the CEQA DOCUMENTS,either directly and/or through the use of any sub- consultants(s). IV.APPLICANT'S RIGHTS AND RESPONSIBILITIES A.SUbject to the terms and conditions of this MOU and applicable CEOA GUidelines,OWD agrees to allow the APPLICANT to select and retain the undersigned ENVIRONMENTAL CONSULTANT for preparation of the CEQA DOCUMENTS.For this purpose,the APPLICANT shall enter into a direct agreement with the ENVIRONMENTAL CONSULTANT,and such agreement shall govern the entire scope of their arrangement.Such agreement shall comply with all terms and . conditions set forth in this MOU,and no term therein shall be inconsistent with any provision herein. B.The APPLICANT shall be responsible for one hundred-percent (100%) of all costs associated with the ENVIRONMENTAL CONSULTANT's work,including but not limited to,any sub-consultant(s)costs, preparation and document circulation costs incurred by the APPLICANT or ENVIRONMENTAL CONSULTANT,and all costs associated with participation in scoping meetings or community outreach meetings,as necessary.The APPLICANT shall also be responsible for one hundred-percent (100%)of all costs incurred by 4 Project Number:00261-010287 Subject:Water and Sewer Annexation OWD related to its independent review of the CEQA DOCUMENTS submitted to OWO in connection with the PROJECT. C.The APPLICANT shall ensure that any sub-consultant(s)hired in connection with the preparation of the CEQA DOCUMENTS related to the PROJECT shall comply with all applicable laws,the CEQA Guidelines and all relevant terms and conditions set forth in this MOU. D.The APPLICANT shall not enter into any form of confidentiality agreement with the ENVIRONMENTAL CONSULTANT,the ENGINEER or any other consultant hired to assist with,or in any from participate in,the preparation of the CEQA DOCUMENTS,which prohibits disclosure of information related to the CEQA DOCUMENTS to OWD,except where confidentiality is required to protect otherwise privileged or protected information,such as trade secrets.If APPLICANT seeks to protect such information from disclosure,it will inform OWD within ten (10)days that it asserts its right to protect certain information and the legal basis for that assertion. v.CONSULTANTS'RIGHTS AND RESPONSIBILITIES A.The ENVIRONMENTAL CONSULTANT and the ENGINEER,each, shall have an ongoing obligation and commitment to OWD to disclose all information that is relevant to the environmental consequences of the PROJECT and the preparation of the CEQA DOCUMENTS.The ENVIRONMENTAL CONSULTANT and the ENGINEER,each,shall not omit or withhold any relevant information from OWD at the request of the APPLICANT or for any other reason.The ENVIRONMENTAL CONSULTANT shall require any sub-consultant(s)it retains in connection with the PROJECT to certify these same obligations and commitments to OWD as a condition of their contract or by signing a copy of this MOU and shall provide a copy of such certification to OWO - within ten (10)days of retaining such sUb-consultant(s). B.The ENVIRONMENTAL CONSULTANT shall enter into a direct agreement with the APPLICANT for purposes of preparing the CEQA DOCUMENTS,and such agreement shall govern the entire scope of their arrangement.Such agreement shall comply with all terms and conditions set forth in this MOU,and no term therein shall be inconsistent with any provision herein. C.It is the ENVIRONMENTAL CONSULTANT's responsibility to provide a complete and accurate CEQA DOCUMENTS.The ENVIRONMENTAL CONSULTANT's accountability under this MOU shall be solely to OWD,and not to the APPLICANT or to any other person or entity. 5 Project Number:00261-010287 Subject:Water and Sewer Annexation D.The ENVIRONMENTAL CONSULTANT shall remain responsible for compliance with,and shall ensure that any sUb-consultant(s)hired by the ENVIRONMENTAL CONSULTANT in connection with the preparation of the CEQA DOCUMENTS shall comply with.the applicable CEQA laws,requirements and CEQA Guidelines,all applicable OWD,State and Federal rules,regulations and laws and all relevant terms and conditions set forth in this MOU. E.The ENVIRONMENTAL CONSULTANT shall draft the CEQA DOCUMENTS for the PROJECT in accordance with CEQA statutes and laws,the CEQA Guidelines,relevant OWD technical study.content and report formats,and with any directions and specifications set forth byOWD. F.The ENVIRONMENTAL CONSULTANT shall verify and ensure that all CEQA DOCUMENTS prepared in connection with the PROJECT utilize accurate and verifiable field techniques and the highest professional and ethical standards applicable to work performance in the industry. G.The ENVIRONMENTAL CONSULTANT shall verify and ensure that all CEQA DOCUMENTS prepared under its contract,including any draft EIR (or equivalent document),final EIR (or equivalent document), negative declaration,mitigated negative declaration,TECHNICAL STUDIES,and responses to comments (as applicable),represent its complete and independent professional judgment including all OWD direction and provide an analysis of the specific environmental issues, setting,potential impacts,and mitigation measures associated with the PROJECT.The CEQA DOCUMENTS shall be signed as true, complete and accurate by the ENVIRONMENTAL CONSULTANT. H.The ENVIRONMENTAL CONSULTANT shall disclose any revisions .. made to the draft CEQA DOCUMENTS and specifically identify any revisions made at the request of the APPLICANT.Unless waived by OWD,all revisions to CEQA DOCUMENTS prior to submittal for public review shall be shown in strikeout/underline. I.The ENVIRONMENTAL CONSULTANT shall maintain a record of communications with the APPLICANT and/or the ENGINEER related to any substantive environmental issues that might concern the· PROJECT and the CEQA DOCUMENTS,and such record shall be submitted to OWD for review upon request. J.The ENVIRONMENTAL CONSULTANT understands and agrees that OWO has the right to attend,or participate in,meetings (including 6 Project Number:00261-010287 Subject:Water and Sewer Annexation conference calls)between or among the APPLICANT and/or the ENGINEER and the ENVIRONMENTAL CONSULTANT when such meetings include discussion of any issues impacting or related to the CEQA DOCUMENTS and has the right to request such meetings.The ENVIRONMENTAL CONSULTANT shall provide OWO with reasonable notice of all such meetings or conference calls as soon as such are scheduled or as soon thereafter as practicable.Upon the request of OWO,the ENVIRONMENTAL CONSULTANT shall disclose all substantive environmental issues discussed at meetings OWO does not attend. K.The ENVIRONMENTAL CONSULTANT may not be a subsidiary or division of the APPLICANT or have an ownership interest in the proposed PROJECT or any other property or development in which the APPLICANT has a financial interest.Additionally,the ENVIRONMENTAL CONSULTANT shall not accept performance incentives associated with a certain density,intensity,or configuration of development,environmental finding or form of report.This prohibition does not preclude performance incentives related to PROJECT schedules. L.Neither the ENVIRONMENTAL CONSULTANT nor the ENGINEER shall,jointly or individually,enter into any form of confidentiality agreement with the APPLICANT,with each other,or with any other consultants or sub-consultant(s)that prohibit disclosure of information related to substantive environmental issues to OWD,except where confidentiality is required to protect otherwise privileged or protected information,such as trade secrets,as described above in Section IV(O). M.The ENVIRONMENTAL CONSULTANT shall immediately disclose to OWO's Project Manager any and all PROJECT related communications (oral or written)between the APPLICANT and/or the ENGINEER and the ENVIRONMENTAL CONSULTANT regarding any issues or information that substantively affects the CEQA DOCUMENTS.Upon request of Project Manager,such disclosure shall be followed by a written report addressed to OWO's General Manager discussing the information,its impact on the PROJECT and/or the CEQA DOCUMENTS and the ENVIRONMENTAL CONSULTANT's recommendations for handling the information in compliance with CEQA and best practices of environmental professionals. N.Upon request from OWD,the ENVIRONMENTAL CONSULTANT shall submit all field notes,resource documents and supplemental technical studies used in the preparation of the CEQA DOCUMENTS to OWD. 7 Project Number:00261-010287 Subject:Water and Sewer Annexation O.Upon request from OWO,the ENVIRONMENTAL CONSULTANT shall allow OWO to view its contract with the APPLICANT.OWO maintains the right to require submittal of the contract to OWO.Any cost estimates or hourly rates may be blacked out or omitted. VI.OWO'S RIGHTS AND RESPONSIBILITIES A.In accordance with California Public Resources Code Section 21082.1,it is the responsibility of OWO to provide its independent review and analysis of all documentation for the PROJECT prepared and submitted by the ENVIRONMENTAL CONSULTANT,and sub-consultant(s),and the APPLICANT.This independent review is undertaken for the benefit of the general public and is not intended to relieve the APPLICANT,the ENVIRONMENTAL CONSULTANT or the ENGINEER of any of their respective responsibilities or liabilities. B.OWO shall be responsible for evaluating the extent and detail of topic area discussions in the CEQA DOCUMENTS and providing comments and suggestions to the ENVIRONMENTAL CONSULTANT.As the CEQA lead agency,as defined in California Public Resources Code Section 21067,OWD shall be responsible for formal and informal interagency consultation and coordination with responsible agencies,as defined in California Public Resources Code Section 21069.OWO shall also be responsible for scheduling and providing the public notice for the public meetings and hearings related to the PROJECT,and for distributing the draft and final CEQA DOCUMENTS for public comment. C.OWD shall have all rights provided for in this MOU,including but not limited to the right to reasonable notice and to attend,or participate in, any and all meetings or conference calls regarding the PROJECT's environmental impact,and the right to request such meetings and be informed of the subject matter. D.OWD shall have all rights prOVided for in this MOU,including but not limited to the right to request copies of any and all correspondence, meeting schedules,minutes,and draft documents generated by the ENVIRONMENTAL CONSULTANT,any sub-consultant(s),the ENGINEER and/or the APPLICANT,in connection with the preparation of the CEQA OOCUMENTS. E.OWD shall be responsible for independently reviewing the content of the draft CEQA OOCUMENTS and providing clear and consistent comments on the scope and adequacy of the document in a timely manner.OWD shall strive to provide thorough reviews and comments on initial reviews to avoid raising new issues that should have been known as 8 Project Number:00261-010287 Subject:Water and Sewer Annexation the PROJECT progresses.OWO shall inform the APPLICANT,by forwarding comments to the ENVIRONMENTAL CONSULTANT,if at any time additional information or substantive changes to the CEQA DOCUMENTS are required. F.In connection with each CEQA Document and related or backup documents submitted to OWD pursuant to this MOU,OWD shall have the right to request and receive,at any time following acceptance by OWD of any such document in final form,separate certifications from the APPLICANT,the ENGINEER and/or the ENVIRONMENTAL CONSULTANT,at OWD's discretion,representing and certifying that, to the best of the signatories'knowledge after diligent review,such document(s)are in conformance with all applicable CEQA requirements,all applicable laws and this MOU. G.At the request of the APPLICANT or the ENVIRONMENTAL CONSULTANT and after completion of the PROJECT,OWO will provide an evaluation of the ENVIRONMENTAL CONSULTANT's performance on the PROJECT. VII.EXPIRATION/TERMINATION This MOU shall expire upon any of the following: A.Thirty (30)days after the PROJECT is completed;provided the PROJECT and the CEQA DOCUMENTS have become final by decision of the authorized OWO decision-maker,all appeal timelines have expired,and all legal challenges associated with CEQA compliance for the PROJECT have been finally adjudicated;or B.The PROJECT is withdrawn or denied by LAFCO,MWO or CWA and all appeal timelines have expired;or C.Written thirty (30)day notice from OWO or the APPLICANT to all parties to this MOU terminating the MOU. Notwithstanding expiration or termination of this MOU,all information obtained by the ENVIRONMENTAL CONSULTANT and the ENGINEER prior to expiration or termination shall be disclosed to OWO pursuant to the MOU disclosure requirements and exceptions in paragraph V.L.Neither expiration nor termination of the MOU will relieve the parties of their responsibilities under the MOU for activities that took place prior to the expiration date.In addition,all representations of the ENVIRONMENTAL CONSULTANT and the ENGINEER and the Indemnification provisions of paragraph VIII,below,shall survive any Termination or Expiration and may be invoked by OWO in connection with any 9 Project Number:00261-010287 Subject:Water and Sewer Annexation challenge or claim related to the PROJECT,this MOU and/or the CEQA process or Documents. VIII.INDEMNIFICATION OF OWD By executing this MOU and submitting CEQA DOCUMENTS to OWD,the APPLICANT agrees to fully indemnify and hold OWD,its board of directors,officers, employees,attorneys and agents (collectively,the "INDEMNITEES")harmless against any claim,action,suit,challenge or procedure,and against loss or damage of any kind resulting from or in any form related to the environmental compliance of the PROJECT, the CEQA DOCUMENTS,or compliance with CEQA and any other applicable environmental laws,procedures,or requirements related to the PROJECT.The duty to indemnify shall include the duty to defend each of the INDEMNITEES,as applicable, with counsel mutually acceptable to OWD and APPLICANT,in the event of any challenge to the CEQA DOCUMENTS (including but not limited to any claim of inadequacy or incompleteness of the documents or any claim of negligence),the CEQA process or approvals or any related actions,including but not limited to any delay in the process or annexation or to any public agency's determination that CEQA DOCUMENTS are not adequate,or are incomplete,inaccurate or not compliant with any requirement of CEQA,LAFCO,CWA,MWD or any other entity with jurisdiction over the PROJECT or any other public agency's decision to separately pursue and determine CEQA compliance. The APPLICANT also agrees to fully indemnify,hold harmless and defend the INDEMNITEES against any losses,costs,causes of action,claims or litigation in any way related to the LAFCO process,the CWA and/or the MWD annexations arising in connection with the CEQA DOCUMENTS,or CEQA in general.This indemnification and hold harmless agreement shall be in addition to any other indemnifications provided to OWD in other agreements relating to the PROJECT. IX.ENFORCEMENT A.Incorporation of Recitals.The Parties agree that the Recitals to this MOU are true and correct and are an integral part of this MOU and are incorporated herein. B.Applicable Law.The Parties agree that any conflict or dispute concerning any provision or requirement of this MOU shall be interpreted in accordance with the laws of the State of California,without regard to any conflicts of laws principles. C.OWD acknowledges that APPLICANT,as a federally recognized Indian tribe,retains full sovereign immunity from unconsented suit and legal process.APPLICANT makes the following limited waiver of sovereign immunity,for the sole purpose of resolving any claim by OWD to enforce or interpret this MOU,including any claim that APPLICANT has breached 10 Project Number:00261·010287 Subject:Water and Sewer Annexation any obligation under this MOU,and for no other purpose.This limited waiver shall operate only for the benefit of OWD after a 30-day opportunity to meet and confer on the subject of OWD's claim and to exchange offers to resolve such claims,and shall not benefit any third parties,including, but not limited to,OWD's subcontractors,partners,members,managers, officers,directors,shareholders,agents,and employees or CONSULTANT.APPLICANT makes no waiver of its sovereign immunity, or of any other rights APPLICANT may have,concerning disputes that do not arise from this MOU. D.APPLICANT and OWD hereby agree that any dispute between the parties arising out of,or in any way related to,this MOU,shall be subject to binding arbitration to be conducted before a single arbitrator in San Diego, California.The Party seeking to enforce or interpret this MOU may choose either the Judicial Arbitration and Mediation Services (JAMS)or the American Arbitration Association (AAA)to administer the arbitration in accordance with the Commercial Arbitration Rules of the AAA in effect on the effective date of this MOU.Judgment on any award rendered by the arbitrator may be entered in the federal court for the Southern District of California.Each Party waives the right to trial by jury to the fullest extent allowed by law.Each Party shall pay one-half of the costs and fees for the arbitration proceeding during the pendency of the proceeding.The prevailing Party shall then be entitled to recover from the other the entire costs of such proceeding,including the arbitrator's fees and costs,and any portion of such costs or fees previously paid by the prevailing Party. 11 Project Number:00261·010287 Subject:Water and Sewer Annexation IN WITNESS WHEREOF,OWD,the APPLICANT,and the ENVIRONMENTAL CONSULTANT and the ENGINEER have caused this agreement to be executed as of the dates indicated below.The APPLICANT, the ENVIRONMENTAL CONSULTANT and the ENGINEER further certify that they have obtained the advice of their respective counsel in connection with this MOU and have taken any and all corporate or governmental action necessary to ensure that this MOU is enforceable when executed and delivered by the persons indicated below. APPLICANT: Otay Water District Sycuan Band of the Kumeyaay Nation By:By: Mark Watton Daniel J.Tucker Its:General Manager Its:Tribal Chairman Date:Date: Approved as to Form:Approved as to Form: Of Garcia Calderon Ruiz,LLP Of Forman &Associates General Counsel to OWD Counsel to Sycuan ENVIRONMENTAL CONSULTANT:ENGINEER: Dudek Dexter Wilson Engineering,Inc. By:By: Frank Dudek Dexter Wilson Its:President Its:Principal Date:Date: 12 STAFF REPORT AGENDA ITEM 6c TYPE MEETING:Regular Board SUBMITTED BY:Armando Buelna~ Communications Officer MEETING DATE: W.O.lG.F.NO: 2/04/09 DIV.NO.All APPROVED BY: SUBJECT:Review of the winter 2009 Customer Pipeline newsletter GENERAL MANAGER'S RECOMMENDATION: That the Board of Directors review and provide direction on the design of the winter 2009 Customer Pipeline newsletter. PURPOSE: To give the Board of Directors the opportunity to review and provide direction on the design of the winter 2009 Customer Pipeline newsletter. BACKGROUND: The winter 2009 Customer Pipeline newsletter continues the emphasis of the 2008 newsletters in stressing the increasingly dire water crisis facing Southern California as a result of the drought and court-ordered pumping restrictions.The primary difference with the winter 2009 newsletter will be its size,paper type,and the printing processes utilized. Our new bill print vendor (InfoSend)has advised staff that the weight of the four-color newsletter has caused bills to exceed the one ounce postage threshold for first class mail, resulting in higher postage costs. Staff confirmed this was the case as the 100 lb.11"x 17" glossy paper weighed in at six-tenths of an ounce;two-tenths of an ounce more than the standard offset paper used with the two-color process.Our current bill also weighs six-tenths of an ounce,for a total of 1.2 oz.The offset paper previously used weighed four-tenths of an ounce and when combined with the bill,weighed exactly one ounce. Upon review,staff has determined that simply moving to a lighter weight paper (80 lb.or even 70 lb.gloss or semi- gloss)did not resolve this issue.Some brands of 70 lb. paper continued to weight a tenth of an ounce too much,while others are known to stretch or flair when going through the printing press. Only by utilizing a lighter weight paper (60 lb.)could we bring the total weight of the bill and newsletter consistently within the one ounce limit using an 11"x 17"sheet.However, paper vendors cautioned against using a 60 lb.gloss or semi- gloss paper since it will not accept a four-color printing process and is more likely to stretch and flare. Therefore,the options include: •Reducing the size of the newsletter from 11"x 17"to 9" x 15"with 100 lb.gloss or semi-gloss. •Reducing the size from 11"x 17 to 10"x 16"using 70 lb. gloss or semi-gloss. •Remaining at 11"x 17"but use offset paper with either a four-color or two-color printing process. Staff would recommend against continuing to use the existing 11"x 17"100 lb.gloss paper due to the additional postage of $8,500 per quarter that would be incurred.The postage rate for a two ounce first class letter is .59 cents as opposed to .42 cents for a one once letter. Even with design changes to the borders of the newsletter, each of the first two options eliminates valuable space. Utilizing offset paper retains the four-color process and valuable space;however,it also looks less refined to some. Offset paper is also slightly less expensive than gloss or semi-gloss and will result in some savings (approximately $1,000 per year). Some additional savings would be accrued by returning to a two-color printing process ($2,800 annually).With the struggling economy and increasing water rates,this may be appreciated by customers since it would be viewed as a cost saving measure. In terms of content,the winter newsletter includes a personal message from the general manager urging conservation,and encouraging customers to use the rate calculators on the 2 district's website.The purpose is to help customers understand how higher rates and Drought Rates will affect their pocketbooks. The winter newsletter is scheduled for distribution throughout the month of February. 'I I,',.,.~:I " FISCAL IMPACT:;;2 2i>~'~ ;7 ?..' Printing expenses for the customer Pipeline newsletters are included in the Purchasing Division's printing budget and run approximately $5,500 per quarter,plus tax and delivery charges. LEGAL IMPACT: None. General Manager Attachment A -Committee Action Report Attachment B -Draft 2009 Winter Customer Pipeline Newsletter 3 ATTACHMENT A SUBJECTIPROJECT:Review of the Winter 2009 Customer Pipeline Newsletter COMMITTEE ACTION: This item was reviewed by the Finance,Administration and Communications Committee at a meeting held on January 23,2009.The following comments were made: • • • • • Staff indicated that the Customer Pipeline is too heavy and is causing the District's water bills to exceed the one ounce threshold for first class mail which has resulted in an increased postage cost of $5,500,and potentially up to $8,500 per mailing (newsletters are mailed four times a year). Staff is recommending the following options to reduce the weight of the newsletter: o Reduce the size of the newsletter from 11"x 17"to 9"x 15" with 100 lb.gloss or semi-gloss paper. o Reduce the size from 11"x 17"to 10"x 16"using 70 lb. gloss or semi-gloss. o Continue to utilize the 11"x 17"size,but use 70 lb. smooth offset paper with either a four-color or two-color printing process. Staff indicated the advantages of using 70 lb.offset paper is the newsletter can remain 11"x 17"in size (four-color process), would cost less to produce and would be lighter in weight to keep the bill's total weight at one ounce (.6 oz.bill weight +.4 oz. newsletter weight). The committee recommended that staff reduce the weight of the newsletter to keep it at the one ounce first class postage rate and supports the options staff prefers above. Seventy-pound smooth offset paper was used in the two color versions of the Customer Pipeline newsletter.A sample is attached. Following the discussion,the committee supported staffs' recommendation and presentation to the full board on the consent calendar. OWD staffandwaterofficials from the Netherlands in frontofDistrictHeadquarters. ., osts Dutch Delegation ~~.~111111 -j.::iiiiII.'[··i-~-. .~,~ perils associated with an abundance of water,here in Southern California we often deal with issues of building and maintaining water management systems and ensuring those systems are leader,OWD was proud to welcome the officials from the Netherlands and to do our part to build aring of resource management techniques and information. With much ofthe Netherlands and its have nearly one thousand ears ofexp ce building and maintaining levees and are widely considered to hav he best water m nagement systems in the world. The meeting was arranged by the Environme ystems Research Institute (ESRI), which designs and develops geographic inf mation system (GIS)technology.ESRI chose OWD because of the advanced wor district has done to integrate GIS software and the district's business process .General Manager Mark Watton hosted - the event which included a technology dem ation highlighting the integration of its GIS,Infrastructure Management System,and its financial system software. Otay Water Dis The Otay Water District (OWD)recently hosted Qiegation of 14 members of the Dutch Water Board on a significan.t internationali ion.Their visit at OWD was ohe stop in a week long tour ofwater technology site alifornia. WhereYour Water Dollar Goes In January,the Otay'Water District approved a 5.4 percent waterrate increase.This is mostly a pass-through to our water wholesalers to pay for higher water and energy costs.Italso funds system wide infrastructure upgrades such as the Emer- gency Water Storage Program to improve long-term reliability.The following graphic breaks clown how each dollar of your water bill is aT/ocateC/o The Operating Buerget and Comprehensive FinanCial Report can be found on our website at www.otaywater.gov. 42.9%Drinking Water I 9.4%Administrative Expenses I 7.7%Reserves I 3% Rf?cycledWater I I 4.5%Power I 7.8%Materials andMaintenance I 24.7%Labor and Benefits CheckYour Water Pressure Boardmember Larry Breitfelder,Division 1 Ibreitfelder@otaywater.gov Boardmember Mark Robak,Division 5 mrobak@otaywater.gov Treasurer Jaime Bonilla,Division 2 jbonilla@otaywater.gov The Board of Directors meets on the first Wednesday of the month at 3:30 in the Boardroom.The public is encouraged to attend·at 2554·Sweetwater Springs Blvd., SpringValley,CA President Gary Croucher,Division 3 gcroucher@otaywater.gov Vice-President Jose lopez,Division 4 jlopez@otaywater.gov Have you experienced a leaking faucet or a constantly running toilet?A faulty water pressure regulator may bethe cause.Even in new homes,pressure regulators do wearout and can fail.The quality of your regulator dictates the years of service to expect. Regulators may last as little as one year or twenty years or more.To ensure proper pressure in your home,it is r: your responsibility to have and liii maintain a working pressure ~I regulator.When doing any plumbing work around your house,ask your licensed plumber to check yourwater pressure. The San Diego-Imperial County Chapter of the American Public Works Association recently awarded the 2006 Public Works Honor Project ofthe Year Award to the Otay Water District for its 980-2 Pump Station Project.Located in eastern Chula Vista,the Eastlake Greens Facility can deliver up to 36 million gallons of water per day and serves the equivalent of 17,500 homes and businesses. OWD Receives Award for Pump Station Project Otay Water District Board of Directors Winter Heat By Nan Sterman,Plant Inc. Copywrite€:INanSterman2007 All rightsreserved •plant. This may be the coldest time ofthe year in Southern California,but in terms of flowers,it is one of the hottest.Winter is when aloes send uptheiramazing and hot looking candelabras tipped in tubular coral,salmon,goldenrod,soft yellow,pale pink,and multi-colored flowers. Most of the year,aloes grace our gardens with rosettes of thick,succulent leaves in shades of green,gray-green and sometimes carmine red.These slow growing,low-waterbeauties demand very little beyond well draining soil,full sun, and an occasional drinkof water. You may already know Aloe vera,the spotted green succulent aloe whose leaf sap sooths burns and skin sores.Aloe vera is one of hundreds of aloes for our gardens.Some,like the tree aloe,Aloe ba;nes;;(sometimes sold as Aloe barberae) eventually reach 30 feet tall with a knot of long,green,tongue-like leaves and salmon coled flowers atop a corky brown tru tJl€ember the Flintstones cartoon?T e·in Barney and Wilma's back yard lookJ t like Aloe ba;nseii. Aloe arbor.psceJis an example of a shrub aloe.The~-multi-headed,shrub-sized plants,t~row about five feet tall and wide.E c head produces a flower stalk topped i sic coral red flowers.Grass aloe (Aloe cooperi)forms fans of narrow, green sslike leaves that grow three feet II,topped in soft salmon flowers tipp green. Then,there is the scrambling aloe (Aloe ciliaris)whose stems can cover a fence or form a.dense groundcover of narrow, deep green leaves with year-round blooms of tangerine to scarlet red. Aloes are equally happy in the ground or in containers.For containers,use cactus and succulent potting mix with good drainage.Water occasionally.Once established,ground-grown aloes require almost no ~~1!.;~~ irrigation.Plant with spring and summer blooming succulents, perennials,and shrubs for a 12 month floral display! bewaterwise.c;x>m ---~~~"'.''''''-':~~~~:~.;.--::--.l:;.'~.··..I.·liir"1I .. High School S,niors may ·receive up to $2,000 in scholarship-.. GraQualiQ9 biglfschoolseniors living wit theOWI;>·servici;!area are encouraged to ap for a $1,000 Otay'Water District/California Special District Association (GSDA)scholarship, The district's scholarship recipient becomes, eligible to receive another $1,000 scholarship from the San Diego Chapter of the CSDA 0~ anotheraffiliate organization..lnformatioA and CSDA applications are available by calling (619) 670-2291 or by.visiting our web site at www.otaywaterijqv. Water Internship Program San Di~oregion water and wastewater agencies,in partnership with the San Diego County Water Authority,are seeking career oriented applicahts for a paid internship program.Individuals selected to participate in the 33-week program will work as interns at a San Diego area water or wastewater agency while attendingwater/wastewatertechnology courses at either Cuyamaca College or Palomar College.For more information, contag:Gary Eaton at 7{j(i)-233-3227 or visit www.H20Intems.com. ~e a Class at the Water Conservation Garden February Calendi)rofClass.es ~nd Events ~Tuesday evenings in February -Tuesday Night Water-Wise Series from 6:00-8:00,pm 'ncludes:Designing with California Friendly®Plants;Irrigation;Design for Water-Wise ardens;ManagingYour Irrigation Water;and Mulch,Compost;and Fi:!rtilizer. .February 17,1bain-12pm'~GreatBulbsfor California Friendly@ Gardens with Mary McBride.. •February 24,9:30am-12:30pm -Xeriscape:Beautiful Landscape on a.Low-Water Budget with landscape designerJanTubiQlo. •February 24,1:30-3:00pm ~Home Composting Workshop by the Solana ,Ci:!nter for Environmental Innovation.. A complete listing of classes can also be found at .www.tpegarden.org.Pre-registration is required for all classes.For more information on .classes or to enroll,please call 61 9-660-0614. Plant Sale at the Water Conservation Garden Saturday,March 17,9am~3pm Don't miss San Diego County's premier california Friendly®plant extravaganza at the Water Conservation Garden!The plant sale will include vendors from throughout San lDiegp County selling a vaFiety ofwater-wise plants for your drought-tolerant garden. California natives,salvias,drought-tolerant bulbs,and herbs will b~among those to choose from.The sale will alsoindLide lectures from gardening experts,applications for the California Friendly®Landscape Contest,as well as plant care advice and informational wmksh0ps.For more information please visit www.thegarden.org. i eline FOR MORE INFORMATIONABOUTTHEOTAY WATER D/STRlaCALL 6'9.670.2222 ORGOTO WWW.OTAYWATER.GOV The PipelineNewsletteris published quarterlyby the OtayWaterDistrictandcan also be found onlineatwww.otaywater.gov.lfyou have questions about the newsletter,please contact us at2554Sweetwater Springs Blvd.Spring Valley,CA 97978-2096.Copyright ©2007 Otay Water District.Allrights reserved. January,2009 RE:Important Message about Water Shortages and Water Prices Dear Otay Water DistrictCustomer: This coming year has the potential to be one of the most volatile years for water supply in San Diego County's history.Because of the likelihood ofanear-term watershortage,conserva- tion may become mandatory and prices could increase dramatically for some customers. Despite the recentwinter rains,water supply in California and the West remain disrupted by drought along the Colorado River and pumping restrictions severely limiting imported water from Northern California.The Colorado River will take years to recover from an eight-year droug~tand imported water from the State Water Project is predicted to be just 15%of a normal year's allocation due to court-ordered pumping restrictions related to environmental impacts. During\the pastyear,water agencies have been working to spread the news about this impendingcrisis using television,radio,print ads and bill messages,and aggressively calling on all customers to conserve.This note is amore personal effort to alertyou to this increas- ingly dire situation and notify you the Otay Water District has adopted new rates and a new Drought Rate structure further designed to promote conservation. You will note the higher cost ofimported water reflected in your monthly bill.This is the result of water wholesalers struggling to find new supplies of water to meet customer,de- mand.As our traditional supplies become increasingly scarce,the costof alternative supplies including short-term transfers,are much increased.Under the new rate structure,these costs are being passed-on to all consumers equally.In addition,new D(ought Rates have been established and will be implemented as water wholesalers pass on the higher price they pay for water purchased on thespot market. Since June of20Q8,the Otay Water District has been in aLevell -Drought Watch.ALevel II- DroughtAlert could be announced by our suppliers anytime.Ifthis occurs,your water rates could increase again.Typical customers,those using fewer than 16units of water per month, will see only amodest 2%increase.Large water users,those using 27 units or more,will see larger increases in the range of 30%or more.These rates are basedon oursupplier's efforts to enforce conservation through tiered penalties and market-based pricing. Nowisthe time to prepare.We encourage customers to use the coming months to make changes to yourlandscapes,irrigation schedules,and take advantage ofconservation rebates and incentives to minimize the impact of rate increases.To see how the new rates will impact your household or business,use the Rate Calculator on ourwebsite at www.otaywater.gov and visit www.20gallonchallenge.org for more ways to help you save money. ~rk 1Il'Attbn Mark Watton,General Manager ATTACHMENT B ..--......-...-......_..__lnlpIIoo -....lc.....,.,....-....,-. Otay Water District Continues Levell Drought Watch Alevel 1 Drought Watch has been declared for the Otay Water District's service area.Customers are strongly urged to reduce their water use by 10%. For a conserving customer (those using 10 units ofwater per month or 10 HCF,each unit=748 gallons),Otav is the 3rd lowest cost provider of24 wateragencies in San Diego County. FOr"typical customer using(SHc,,,OtayJs the6thlowe,st cJJ.5..tprovider. ...---...........---...-~-~.-I...,~.•'~..........~~,------------------_....-- District Receives Bond Rating Upgrade Upgrade reflects commitment to economic and management fundamentals The credit rating agency Standard est on bonds issued for future capital both bond rating upgrades will total and Poor's has upgraded the bond improvement projects.approximately $2 million over the life of rating of the O~ay ~ater D~strict from This is the second credit rating up-th~future bond ~al~s.,For customers,~A-to AA.Thl~higher.rating reflects grade the district has received in the th~s mea~s the district swater rates . Increased c~edl~wo':!hlness,an.d last nineteen months.The savings from will c~ntlnue to be among the lowest In means the district will pay less Inter-San Diego County. -Otay Receives Award- IIBEST OF CALIFORNIA 200811 Otay Approves Rate Increase and Drought Rates The Otay Water District has adopted an average 12.4%rate increase effective January 1,2009.The rate increase is the result of increased costs from water wholesalers.Eighty percent of the increase is due to higher water costs.The remaining 20%reflects higher energy and infrastructure costs. For atypical customer using 15 units of water each month,their water rate would increase by an average of $5.04 per month.Conserving water customers,those using 10 units of water per month or less,would receive the smallest increases. The district has also adopted Drought Rates,which will be triggered in the event that a Levell!or higher drought stage is declared.When a higher drought stage is declared,water conservation goals becomes mandatory.Drought rates arev reve- nue neutral for the district and will have the least effect on conserving customers. Visit our Rate Calculator at www.otaywater.gov to see how these new water rates will affect your family and your budget.The Otay Water District offers a number of water conservation programs,tips and water saving information,and encourages customers to take advantage of these ways to save water and save money. WaterConservation Incentives Smart Controller Rebate -$350- Smart irrigation controllers adjust your watering schedule automatically based on local site conditions and can lower your water use by approximately 14,000 gallons per year. Rotating Sprinkler Nozzle Rebate - $4.00 per nozzle-Rotating nozzles can eliminate runoff and use 20%less water than conventional spray heads by ap- plying water more slowly and evenly. High-Efficiency Washing Machine Rebate -$185-High-efficiency clothes washers typically use an average of 40%less water and 55%less energy. Clothes also require 50%less drying time. High-Efficiency Toilet Rebate -$100- High-efficiency toilets use an average of1.28 gallons perflush,or20%less than a toilet manufactured after 1994. Synthetic Turf Rebate -$1.00 per square-foot-Synthetic turfrequires no watering,no fertilizers or pesticides, looks greatand reduces maintenance costs. Call 1-800-376-3314 for more information or to obtain a rebate. The Otay Water District's Information Technology and Strategic Planning Department has been awarded the Center for Digital Government's Best of California,Leadership and Excellence, Award for 2008. The Center for Digital Government is a national research and advisory institute on information technology policies and best practices in state and local government.The Center established the award program to salute IT profession- als in California state and local govern- ment for their contributions to the field. President Gary Croucher,Division 3 gcroucher@otaywater.gov OTAY WATER DISTRICT -Board of Directors The Board of Directors meets on the first Wednesday of the month at3:30 pm in the Board meeting room. The public is encouraged to attend at2554 Sweetwater Spring Bvd.,Spring Valley,CA. Vice-President Treasurer Boardmember Boardmember Jose Lopez,Division 4 Jaime Bonilla,Division 2 Larry Breitfelder,Division 1 Mark Robak,Division 5 jlopez@otaywater.gov jbonilla@otaywater.gov Ibreitfelder@otaywater.gov OtayWater@cox.net HighSchool Senior may Receive up to $2,000 In Scholarships! Graduating high school seniors liv- ing within the Otay Water District's service area are encouraged to apply for a$1,000 scholarship.The district's scholarship recipient also becomes eligible to receive an- other $1,000 scholarship from the California Special Districts Associa- tion -San Diego Chapter or another affiliate organization.Information and applications are available by calling 619-670-2291 or by visiting www.otaywater.gov and clicking on Education then Scholarships.Appli- cations must be mailed or received by March 6,2009. For more class information and prices visit www.thegarden.org Thursday,February 19,6:30-8:30 pm H20 -9111 -Living with the water crisis-Join Vickie Driver for afast and furious introduction to dealing with the current and future water crisis.Learn simple steps for saving water. Saturday,February 28,9:00 am •Noon Toss Your Turf:less Water,less Grass,More Fun!-Tips for abeautiful low-water-use landscape in lieu of lawn! Saturday,March 14th,10:00 -2:00 pm Free Composting Workshop Pre-Register at www.solanacenter.org or (760)436-7986 ext.222 Saturday,March 21,9:00 am -Noon ANew California Garden-Landscape Designer Linda Whitney shares her process for creating her own award-winning,Water Smart landscape from the ground up. Perfect Plant Partners Our low-water plant palette offers lots of new possibilities for plant combinations that create different looks,different color blends,and different seasonal high- lights,all of which take little maintenance. For a burgundy and soft green year-round color scheme in full sun,try these •Caribbean copper plant IEuphorbia cotinifolia),atall (15'x8').tree-like shrub with adove-gray trunk,and branches covered in 2-3"round,bright burgun- dy leaves.Iftemperatures go down to 30°F or so,leaves drop but resprout in the spring.Avoid getting irritating sap on your skin or in your eyes. •Giant dracaena (Cordyline australis)'Red Sensation:'Dark Star'and other bronze-leaved varieties of this tall,strappy-Ieaved plant echo the leaf color of the Caribbean copper plant.Evergreen and hardy to at least 15°F.Plants grow slowly to 20'tall. •Honeybush (Melianthus major)is asoft-stemmed shrub with large,palm-like fronds of icy green leaves with serrated edges.Multiple stems grow upright from the plant's center to form a broad (5~tall x12'wide)plant.Prune off all but three branches to promote atall,narrow (8'tall x 5'wide)profile.From late winter through spring,each stem sports an 18"tall spire of burgundy flowers that match the giant dracaena and the Caribbean copper plant. Flowers are filled with nectar much beloved by hummingbirds. •Dune sage (Salvia africana lutea)forms a5'tall and 6'wide shrub.It has tiny,soft-green leaves and small,snapdragon like flowers that open a soft apricot and turn to copper.Their shade compliments the burgundy tones. •'Glacier Blue'spurge (Euphorbia characias 'Glacier Blue)is alow (1-2' mound)semi-succulent with blue-green leaves edged in ivory.Early winter flowers are also ivory and last a long time.Stems fade in late summer but are quickly replaced by new ones.Avoid getting irritating sap on your skin or in your eyes. Rather grow natives?Try this combo of yellow/gold and blue/green in full sun or light shade. •Variegated century plant (Agave americana 'Variegata'also sold as Agave americana var picta)is atall agave whose succulent green blades are edged in pale yellow.There are other agaves in this color scheme,some in the reverse pattern.Be sure to read the label so you know whether the one that catches your eye grows to 3'tall and wide,or 8'tall and wide.Plant it where there is enough room for its ultimate size. elndian mallow (Abutilon palmeri)is amounding shrub (3-6'tall and wide) with broad,green leaves covered in soft,silvery fuzz.Plant it In full sun or light shade,and where you can touch the leaves as you walk by.Deep gold flowers hang from branch tips from spring to fall.Hummingbirds and but- terflies are frequent visitors. •California fescue (Festuca californica)is aclumping native grass that forms fountainy,two-foot mounds.Plants are evergreen with greenish blue blades.Good in full sun or part shade. Copywnte©Nan Sierman2009 All flgills resel\ed • EstadoO~:VV~ga,.,taer ~isfrict Dec'aranClaporS. .En respuesta a la I equ~a N,ve'I sequra del estado d~r~c,~ma~,on de Gobernado S a I Ornta por el Otay Water Oist;;ctchwarzenegger, Estado de vigilan .(OWOI ha declarada para su area de s CI~por Sequra Nivell nivel se exhorta :~CIO.Oentra de este su Usa del agu s usuanos reduciraporun10%. SEQUIA ESTADO DEEI\r1NE'VEL IVRGENCIA I '.',,. January,2008 RE:Important Message aboutWater Shortages and Water Prices Dear Otay Water District Customer: This coming year has the potential to be oneof the most volatile years for water supply in San Diego County's history.Because of the likelihood of anear-term water shortage,conser- vation may become mandatory and prices could increase dramatically for some customers. Despite the recent winter rains,water supply in California and the West remain disrupted by drought along the Colorado River and pumping restrictions severely limiting imported water from Northern California.The Colorado River will take years to recover from an eight- year drought and imported water from the State Water Project is predicted to be just 15%of anormal year's allocation due to court-ordered pumping restrictions related to environmen- tal impacts. During the past year,water agencies have been working to spread the news about this impending crisis using television,radio,print ads and bill messages,and aggressively calling on all customers to conserve.This note is a more personal effort to alert you to this increas- ingly dire situation and notify you the Otay Water District has adopted new rates and anew Drought Rate structure further designed to promote conservation. You wiII note the higher cost of imported water reflected in your monthly bill.This is the re- sult of water wholesalers struggling to find new supplies ofwater to meet customer demand. As our traditional supplies become increasingly scarce,the cost of alternativesupplies in- cluding short-term transfers,are much increased.Under the new rate structure,these costs are being passed-on to all consumers equally.In addition,new Drought Rates have been established and will be implemented as water wholesalers pass on the higher price they pay for water purchased on the spot market. SinceJune of2008,the Olay Water District has been in aLevel I-Drought Watth.ALevel II DroughtAlert could be announced by our suppliers anytime.Ifthis occurs,your water rates could increase again.Typical customers,those using fewer than 16 units of water per month, will see only amodest 2%increase.Large water users,those using 27 units or more,will see larger increases in the range of30%or more.These rates are based on oursupplier's efforts to enforce conservation through tiered penalties and market-based pricing. Now is the time to prepare.We encourage customers to use the coming months to make changes to your landscapes,irrigation schedules,and take advantage ofconservation rebates and incentives to minimize the impact ofrate increases.To see how the new rates will impact your household or business,use the Rate Calculator on our website atwww. otaywater.gov and visit www.20gallonchallenge.org for more ways to help you save money. mrk Vl'Jtttbn Mark Watton General Manager •IIMOREINFORM~STRICTCALL 619.~~i;J°UrrHE OTAYWATER WWOTAYWATER.GOV ORGOTQ ThePipelineNewsletteris . thenewsletter.please con~::C~~s~12j;a;~e:::e~~~~:r~~a:n~~~!v~i~tric.t andcan also be found ont .prmg Valley,CA 919782 meatWww.otaywater. -096.CoPyright©2008Otay :~.Ifyou~avequestions about a erDlstrtct.Allrights reserved. =----- AGENDA ITEM 6d STAFF REPORT February 4,2009TYPEMEETING:Regular Board SUBMITTED BY:Daniel Kay j)X- Associate Civil Engineer MEETING DATE: PROJECT / SUBPROJECT: R2086- 001103 DIV. NO. 4 APPROVED BY: (Chief) APPROVED BY: (Asst.GM): SUBJECT: Ron Ripperger ~ Engineering Manager Rod posad~~O~. Chief,Engineering Manny Magan~~[~~ Assistant General nager of Engineering and Operations Change Order No.1 0 the Contract with Arrieta Construction for the Ralph W.Chapman Water Recycling Facility (RWCWRF) Forcemain Air/Vac Replacements and Access Road Improvements Project GENERAL MANAGER'S RECOMMENDATION: That the Otay Water District (District)Board approve Change Order No.1 to the existing contract with Arrieta Construction (Arrieta),for construction of the RWCWRF Forcemain Air/Vac Replacements and Access Road Improvements Project in an amount not to exceed $21,500 (see Exhibit A for project location). COMMITTEE ACTION: Please see Attachment A. PURPOSE: To obtain Board authorization for the General Manager to execute Change Order No.1 (see Exhibit B)in an amount not to exceed $21,500 to the contract with Arrieta for construction of the RWCWRF Forcemain Air/Vac Replacements and Access Road Improvements Project. ANALYSIS: At the July 2,2008 Board Meeting,Arrieta was awarded the construction contract for the RWCWRF Forcemain Air/Vac Replacements and Access Road Improvements Project.Due to environmental constraints,the project construction began in November 2008.Overall,construction is 85%complete. Change Order No.1 provides reimbursement to the Contractor in a net amount not to exceed $21,500 for additional items in the referenced project.A summary of each item follows. The first item is for additional linear footage for improvements to the access road.An additional 2,920 linear feet was added to the contract.The amount for this additional work is $97,786.50. The second item is for the installation of anodes to protect the copper pipe connection the air/vacs to the forcemain from corrosion.The anodes were not part of the original contract. The amount for this additional work is $5,000. The third item is for modifications to valve vault number seven. The proposed valve and steel pipe configuration could not be installed per plan and therefore field modifications were done to the existing pipe inside the vault.The amount of this change is $2,387.95. The fourth item is for new couplings on three air vacs where the new air/vacs connect to the forcemain.The existing couplings were corroded and were not usable,therefore new couplings were welded to the existing main.The amount for this additional work is $4,334.66. The fifth item is for cleaning out an existing storm drain culvert under the entrance to the RWCWRF.This work was not included in the original contract.The amount for this additional work is $1,990.89. The sixth item is a deductive change.There are four allowance items included in the contract documents that are not being used.They include,Rock Excavation,Emergency Startup/Shutdown of the Treatment Plant,Environmental Delays,and Unknown Utilities with a total amount of $90,000. The following is a table summarizing the value for each item: Item Issue Amount 1 Access Road $97,786.50 2 Anode Installation $5,000.00 3 Vault 7 Modifications $2,387.95 4 New Couplings $4,334.66 5 Storm Drain $1,990.89 6 Allowance Deduction ($90,000) Total $21,500.00 2 II (I t.' FISCAL IMPACT: The approved total budget for CIP R2086,as approved ln the FY 2009 budget,is $1,300,000.Expenditures to date are $618,509.Total commitments to date,including this Change Order,are approximately $1,293,808.(See Attachment B for budget detai1 . ) The Project Manager anticipates that based on the attached financial analysis that the budget will be sufficient to support this project.Finance had determined that 100%of the funding for this project is available from the Replacement Fund. STRATEGIC GOAL: This project supports the District's Mission statement,"To provide the best quality of water and wastewater services to the customers of Otay water District,in a professional,effective, efficient,and sensitive manner ..."This project fulfills the District's Strategic Goals No.1 -Community and Governance,and No.5 -Potable Water,by maintaining proactive and productive relationships with the project stakeholders and by guaranteeing that the District will provide for current and future water needs. LEGAL IMPACT: None. P:\WORKING\R2086\Staff Reports\BD 02-04-09,Staff Report,Arrieta c.o.#1 for Air Vac Replacement,(DK~RR).doc DK/RR:jf Attachments:Attachment A Attachment B Exhibit A Exhibit B 3 R2086-001103 CIIQ ~JECT ATTACHMENT A Change Order No.1 to the Contract with Arrieta Construction for the Ralph W.Chapman Water Recycling Facility (RWCWRF)Forcemain Air/Vac Replacements and Access Road Improvements Project COMMITTEE ACTION: The Engineering,Operations,and Water Resources Committee reviewed this item at a meeting held on January 26,2009.The following comments were made: • • The Change Order consists of six items: o The access road required an additional 2,920 linear feet which was added to the contract for an amount of $97,786.50. o The installation of anodes to protect the copper pipe connection from the air/vacs to the forcemains from corrosion was added for a cost of $5,000. o Work for the modifications to a valve vault as the proposed valve and steel pipe configuration could not be installed per plan.This modification cost $2,387.95. o Couplings on three air/vacs needed to be replaced as they were corroded and no longer usable.The cost for the replacement was $4,334.66. o An existing storm drain culvert under the entrance to the RWCWRF required cleaning out.This work was not included in the original contract.The cost for the additional work was $1,990.89. o There are four allowance items included in the contract which will not be used (rock excavation, emergency startup/shutdown of the Treatment Plant, environmental delays,and unknown utilities)for a deductive change of $90,000. The total Change Order amount is $21,500. It was indicated that cathodic protection is standard for copper pipe protection. • • The committee discussed that contingency monies were utilized for this project,however,they did not fall under any of the allowance items noted in the deductive change. It was discussed that the District received a permit to remove the habitat from the access road area so there are no environmental impacts.The District will need to assure,however,that the habitat does not grow back or it could be returned to protected status. The committee supported staffs'recommendation and presentation to the full board on the consent calendar. 5 SUBJECT/PROJECT: R2086-001103 ATTACHMENT B Change Order No.1 to the Contract with Arrieta Construction for the Ralph W.Chapman Water Recycling Facility (RWCWRF)Forcemain Air/Vac Replacements and Access Road Improvements Project OlayWater District R2086 -RWCWRF Force main AirVac Replace &Impro Date Updated:January 15,2009 Outstanding Vendor/Budget Committed Expenditures Commitment &Projected FinalCost Comments$1,300,000 Fomcast Planning In House/Labor 95,873 95,873 95,873 Consultant Contracts 82,859 82,859 -82,859 Jones &Stokes Associates Service Contracts 675 675 -675 Jones &Stokes Associates 355 355 -355 Garcia,Calderon &Ruiz LLP Regulatory Agency Fees 100 100 -100 US Fish &Wildlife Service Infrastructure,Materails &Supplies 1,778 1,778 -1,778 Armorcast Products Company - -- Total Planning $181,640 $181,640 $-$181,640 Design In House/Labor 119,246 119,246 119,246 Business Meetings 41 41 -41 Petty Cash Custodian Consultant Contracts 19,960 19,960 -19,960 Jones &Stokes Associates 44,721 44,721 -44,721 Lee &Ro Inc. Service Contracts 66 66 -66 San Diego Daily Transcripts 349 349 -349 Union Tribune Publishing Co. 2,297 2,297 -2,297 Mayer Reprographics Inc. Professional Legal Fees 203 203 -203 Garcia,Calderon &Ruiz LLP Inventory 236 236 -236 OJ-Electric Coupling -- -- Total Design $187,118 $187,118 $-$187,118 Construction In House/Labor 50,000 38,580 11,420 50,000 Professional Legal Fees 2,330 2,330 -2,330 Garcia, Calderon &Ruiz LLP Consultant Contracts 251 251 -251 Lee &Ro Inc. Construction Contracts 760,037 186,396 573,641 760,037 Arrieta Construction Inc Retention 84,449 20,711 63,738 84,449 California Bank &Trust Change Order No.1 21,500 -21,500 21,500 Arrieta Construction Inc Infrastructure,Materails &Supplies 1,483 1,483 -1,483 Ferguson Waterworks Acceptance/Closeout 5,000 -5,000 5,000 -- -- Total Construction $925,050 $249,751 $675,299 $925,050 Grand Total $1,293,808 $618,509 $675,299 $1,293,808 CIP R2086 JAMACHABASINWATER RECLAMATIONSITE (DISTRICTUSEAREA) OT AY WA TER DISTRICT RWCWRF FORCEMAIN AIR/VAC REPLACEMENTS AND ACCESS ROAD IMPROVEMENTS LOCATION MAP '''=2500' SWEElWATER RESERVOIR Tijuana Estuary f•.:. < i~::.~~....:ll~~i....-----....-...:..-...;.----_....._....I._.....Ii_......j~IiiiiiiiiII __...... ~ j ...9~i>~.._----_.._---------~~-~IIIIIIIIII~------------_..EXHIB T A REF.CIP No.:R2086-0011 03 REF.W.O.No.:NIA DATE:20-Jan-09 OTAY WATER DISTRICT EXHIBIT B 2554 SWEETWATER SPRINGS BLVD.,SPRING VALLEY,CA.91978,(619)670-2222 CONTRACT/P.O.CHANGE ORDER No.01 PROJECT/ITEM:Ralph W.Chapman Water Recyling Facility (RWCWRF)Forcemain AirNac Replacements and Access Road Improvements CONTRACTORNENDOR:Arrieta Construction APPROVED BY:Board REF.P.O.No:708993 DESCRIPTION: Six separate items are part of this change order: 1.Additional linear footage for improvements to the access road 2.Installation of anodes for the air/vacs 3.Valve vault modifications. 4.Couplings for air/vacs 5.Storm Drain Cleanout 6.Allowance deduct See attached Change Order Proposals for each item of work from Arrieta Construction. REASON: 1.)An additional 2,920 linear feet of access road improvements was added to the contract.The amount of this change is $97,786.50. 2.)Anodes were installed to protect the copper pipe on the air/vacs from corrosion.The anodes were not part of the original contract.The amount of this change is $5,000.00. 3.)The proposed valve and steel pipe configuration could not be installed per plan and therefore field modifications were done to the existing pipe inside the vault.The amount of this change is $2,387.95. 4.)The existing couplings on three air/vacs were corroded and not usable,therefore new couplings were welded to the existing main.The amount of this change is $4,334.66. 5.)The existing storm drain culvert under the entrance to the RWCWRF was full of dirt and debris and needed to be cleaned out.This work was not part of the original contract.The amount of this change is $1,990.89. 6.)There are four allowance items included in the contract documents that are not being used.They include Rock Excavation,Emergency Startup/Shutdown of the Treatment Plant,Environmental Delays,and Unknown Utilities.The amount of this deduct is ($90,000) CHANGE P.O.TO READ: Revise contract to add $21,500 for a total contract amount of $865,985.90. ORIGINAL CONTRACT/P.O.AMOUNT: ADJUSTED AMOUNT FROM PREVIOUS CHANGE: TOTAL COST OF THIS CHANGE ORDER: NEW CONTRACT/P.O.AMOUNT IS: ORIGINAL CONTRACT COMPLETION DATE: CONTRACT/P.O.TIME AFFECTED BY THIS CHANGE: P:\WORKING\CIP R2086\Conslruclion\Change Orders\Change Order No.1.doc $ $ $ $ 844,485.90 0.00 21,500.00 865,985.90 01/05/09 No REVISED CONTRACT COMPLETION DATE:N/A IT IS UNDERSTOOD WITH THE FOLLOWING APPROVALS,THAT THE CONTRACTORIVENDOR IS AUTHORIZED AND DIRECTED TO MAKE THE HEREIN DESCRIBED CHANGES.IT IS ALSO AGREED THAT THE TOTAL COST FOR THIS CHANGE ORDER CONSTITUTES FULL AND COMPLETE COMPENSATION FOR OBLIGATIONS REQUIRED BY THE CONTRACT/P.O.ALL OTHER PROVISIONS AND REQUIREMENTS OF THE CONTRACT/P.O.REMAIN IN FULL FORCE AND EFFECT. CONTRACTORNENDOR: SIGNATURE:_ STAFF APPROVALS: PROJ.MGR:Sr Eng (Inti-DATE:_ NAME:_DIV.MGR:_DATE:_ TITLE:DATE:_CHIEF:_DATE:_ ADDRESS:ASST.GM :_------------------ DISTRICT APPROVAL: GEN.MANAGER:_ DATE:_ DATE:_ COPIES:0 FILE (Orig.),0 CONTRACTORNENDOR,0 CHIEF-ENGINEERING,0 CHIEF-FINANCE,0 ENGR.MGR.o ACCTS PAYABLE,0 INSPECTION,0 PROJ.MGR.,0 ENGR.SECRETARY,0 PURCHASING,0 PROJECT BINDER P:IWORKINGICIP R20861ConslruclionlChange OrderslChange Order No.1.doc CHANGE ORDER LOG CIP Title·Ralph W.Chapman Water Recycling Facility Forcemain AirNac Replacements and Access Road Improvements Consultant/Contractor:Arrieta Construction Project:R2086 Subproject:001103 APPROVED C.O.AMOUNT BY DATE DESCRIPTION TYPE C.O. Six items:Additional linear footage on the access road, 1 $21,500.00 Board 1/20/2009 anodes,valve vault 7 modification,additional coupllings,storm Owner drain cleanout,and allowance deduct 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 . 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 Total C.Oo's To Date: Original Contract Amount: Current Contract Amount: Month Net C.O.$Limit Authorization $21,500.00 $844,485.90 $865,985.90 2.5% C.O.% 1/09 $21,500.00 $2,000 Insp $10,000 PM/Sr.Engr. $20,000 DivM $25,000 Chief $35,000 AGM $50,000 GM >$50000 Board $21,500.00 P:\WORKING\CIP R2086\Construction\Change Orders\Qhange Order Log 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 2.5% 1/20/2009 AGENDA ITEM 7a STAFF REPORT TYPE MEETING: SUBMITTED BY: APPROVED BY: (Chief) Regular Board ..\).o James Peasley .~. Engineering Ma~ager ~~'"Rod Posada~~<SlZ)~'t" Chief,Engineering MEETING DATE: W.O.lG.F.NO: February 4,2009 D0261 DIV.NO.n/a APPROVED BY: (Asst.GM): SUBJECT: Manny Magana Assistant General Manager of Engineering and Operations Approval of Water Supply Assessment and Verification Report (January 2009)for the Otay Ranch L.P.Otay Ranch Preserve and Resort Community Project GENERAL MANAGER'S RECOMMENDATION: That the Board of Directors (Board)approves the Water Supply Assessment and Verification Report (WSA&V Report)dated January 2009 for the Otay Ranch L.P.Otay Ranch Preserve and Resort Community Project (Resort)development proposal,as required by Senate Bill 610 (SB 610)and Senate Bill 221 (SB 221). COMMITTEE ACTION: Please see Attachment A. PURPOSE: To obtain Board approval of the January 2009 WSA&V Report for the Resort project,as required by SB 610 and SB 221. ANALYSIS: SB 610 mandates that a "city or county"request a water supply assessment from a public water purveyor for certain kinds of "projects"enumerated in Water Code Section 10912.In response to such request,SB 610 requires that the water purveyor of the public water system (i.e.,District)prepare the water supply assessment to be included in the California Environmental Quality Act (CEQA)environmental documentation and approval process for such projects. 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 prior to approval of a tentative map. The requirements of SB 610 and SB 221 are addressed by the January 2009 WSA&V Report for the Resort project.The WSA&V Report was prepared by District staff following receipt of a request received from the County of San Diego (County). Prior to transmittal to the County,the WSA&V Report for the Resort project must be approved by the District Board of Directors.An additional explanation of the intent of SB 610 and SB 221 is provided in Exhibit A and the Resort project January 2009 WSA&V Report is provided as Exhibit B. For the Resort project,the County is the responsible land use agency or lead agency that requested the SB 610 and SB 221 water supply assessment and verification from the District,as the water purveyor for the proposed Resort project.Because the requirements of SB 610 and SB 221 are substantially similar,on November 5,2008 the District received a letter from the County requesting the District to prepare both the water supply assessment and verification report for the Resort project concurrently. The request for compliance with the SB 610 requirements was made by the County because the Resort project meets or exceeds at least one of the following SB 610 criteria: • A proposed residential development of more than 500 dwelling units. • 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 request for compliance with SB 221 requirements was made by the County because the Resort project exceeds the SB 221 criteria of a proposed residential development subdivision of more than 500 dwelling units. 2 The County has publicly announced its intent to initiate the preparation of an Environmental Impact Report (EIR)for the Resort project in conformance with the California Environmental Quality Act (CEQA).The approved WSA&V Report is intended be included as a part of the EIR and used by the County in its evaluation of the Resort project under CEQA. The Resort project is included within a land use planning document known as the Otay Ranch General Development Plan/Sub- regional Plan (Otay Ranch GOP).The County of San Diego and City of Chula Vista jointly prepared and adopted the Otay Ranch GOP.The Resort project,identified as Village 13 within the Otay Ranch GOP,is located within what is defined as the Proctor Valley Parcel of the Otay Ranch GOP.The Resort project is a part of the designated 14 villages and five planning areas within the Otay Ranch GOP area.The Chula Vista City Council and the San Diego County Board of Supervisors adopted the Otay Ranch GOP on October 28,1993,which was accompanied by a Program Environmental Impact Report EIR-90-01 (SCH #89010154). The Resort project is not currently located within the jurisdictions of the District,the San Diego County Water Authority (Water Authority),and the Metropolitan Water District of Southern California (Metropolitan).The Resort project is required to annex into the jurisdictions of the District,Water Authority,and Metropolitan to be eligible to utilize imported water supply (i.e.,to obtain imported water supply service). The Resort project is approximately 1,869 acres and is planned as a combination of land uses consisting of a resort/hotel and associated facilities,a mix of single-family and multi-family residential neighborhoods,an elementary school,a public safety facilities site,commercial,open space,preserve land, circulation elements,parks,and recreational facilities.The total number of resort hotel units is planned to be 200. Approximately 545 acres of the total project site are designated for 1,738 single-family detached homes and 200 multi-family homes.Typically,a development project of this magnitude is constructed in several phases over many years. The development and/or acquisition of potential groundwater supplies,recycled water market expansion,and seawater desalination supplies by the District have evolved and are being planned to occur in response to the regional water supply issues related to climatological,environmental,legal,and other challenges that have impacted water source supply conditions, such as the court rulings regarding the Sacramento-San Joaquin 3 Delta and the current on-going western states drought.These water supply projects are in addition to those identified as sustainable supplies in the current Water Authority and Metropolitan UWMP,IRP,Master Plans,and other planning documents.These local and regional water supply projects will allow for less reliance upon imported water and are considered a new water supply resource. It is anticipated that the District's expansion of the market areas for the use of recycled water within the watersheds upstream of the Sweetwater Reservoir and the Lower Otay Reservoir will increase recycled water use and decrease dependence on imported water for irrigation purposes.With these objectives in mind,the supply projects and forecasts contained within the Resort project WSA&V Report take into account development and/or acquisition of potential groundwater, recycled water market expansion,and seawater desalination supplies by the District. In evaluating the availability of sufficient water supply,the Resort project proponents are required to participate in the acquisition and development of alternative water supply project(s)to 100%offset their projected potable water supply requirements.This can be achieved through participation in one or more local and/or regional water supply development projects envisioned by the District.These new additional water supply projects are not currently fully developed and are in various stages of the planning process.These water supply projects are planned to be developed and are intended to increase sustainable water supplies to serve the Resort project water supply needs and that of other similar situated development projects that were unanticipated by the Water Authority and Metropolitan.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 Seawater Desalination project,and the Rancho del Rey Groundwater Well project.The Water Authority and Metropolitan's next forecast and supply planning documents would capture any increase in water supplies resulting from any new water supply resources developed by the District. As allowed under SB 610 and SB 221,the WSA&V Report for the Resort project incorporates by reference the current Urban Water Management Plans and other water resources planning documents of the District,the Water Authority,and Metropolitan.The District prepared the Resort WSA&V Report,which demonstrates and documents that sufficient water supplies are planned for and 4 are intended to be made available over a 20-year planning horizon under normal supply conditions and in single,and multiple dry years to meet the projected demand of the proposed Resort project and the existing and other planned development projects within the District. Metropolitan'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.Metropolitan's 2004 update to the IRP (2004 IRP Update)includes a planning buffer supply 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,Metropolitan periodically evaluates supply development to ensure that the region is not under or over- developing supplies.Managed properly,the planning buffer along with other alternative supplies will help ensure that the southern California region,including San Diego County,will have adequate supplies to meet future 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." The intent of the SB 610 and SB 221 legislation is that the land use agencies and the water agencies are coordinating their efforts in planning for new development and thus planning for sufficient water supplies to meet the needs. As per the requirements of SB 610 and SB 221,if the water supply assessment and verification finds that the supply is sufficient,then the governing body of the water supplier (District)must approve the water supply assessment and verification report and deliver it to the lead agency (County) within 120 days (i.e.90 days plus the 30 day County granted time extension).In the case of the Resort project,the deadline for the District to provide a Board approved WSA&V Report to the County is March 5,2009. As per the requirements of SB 610,if the water supply assessment finds overall supplies are insufficient -the water 5 supplier shall provide to the lead agency "its plans for acquiring additional water supplies,setting forth measures that are being undertaken to acquire and develop those water supplies,"and the water supplier governing body must approve the assessment and deliver it to the lead agency within the 120 days.If the water supplier does conclude that additional water supplies are required,the water supplier should indicate the status or stage of development of the actions identified in the plans it provides.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. Once either of the two actions listed above are accomplished the District's SB 610 water supply assessment responsibilities are complete. As per the requirements of SB 221,if the water supply verification finds overall supplies are insufficient -"the lead agency may bridge any gap from verification's "insufficient" determination with additional supplies not accounted for by the water supplier,based on substantial evidence and findings on record,"and the water supplier governing body must approve the verification and deliver it to the lead agency within the 120 days.In bridging any sufficiency gap,whether before or after issuance of verification,the lead agency may coordinate with others to identify and secure sources of supply.The lead agency may also place a condition on the tentative map to comply with a water supply sufficiency requirement. Once the actions listed above are accomplished the District's SB 221 water supply verification responsibilities are complete. SB 610 and SB 221 provides that if the water supply assessment and verification report is not received by the lead agency from the water supplier within the prescribed 90 day period,and any requested time extension (the County granted the District a 30 day extension),the lead agency may seek legal relief,such as a writ of mandamus. 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 current ongoing drought conditions impacting the western states. Challenges such as these essentially always will be present. The regional water supply agencies,the Water Authority and Metropolitan,along with the District nevertheless fully intend 6 , ~I 1~j to have sufficient,reliable supplies to serve the Resort project. An October 22,2007 letter from Metropolitan to their member agencies,including the Water Authority,provided notice of a 30 percent reduction in Interim Agricultural Water Program (IAWP) deliveries effective January 1,2008.A 30 percent water use reduction of the sixteen IAWP District water accounts represents about 26.0 acre feet (ac-ft)based on fiscal year (FY)2007 or 0.09 percent of the total District 28,353 ac-ft annual purchase from the Water Authority in FY 2007. With the initiation of the South Bay Water Reclamation Plant (SBWRP)recycled water supply on May 18,2007 the District has reduced the annual take of potable water from the Water Authority,once used to supplement the recycled water supply shortfall,in excess of 3,000 ac-ft per year.The Resort project demand for potable water is estimated to be 1,340 ac-ft per year and the recycled water demand is estimated to be 417 ac-ft per year.The total Resort project demand is about 59 percent of the 3,000 ac-ft of the potable water saved with the SBWRP supply start up. The County could be requested to condition the Resort project to use waterless urinals and ultra low flush toilets.The estimated potable water demand reduction would be on the order of maybe 2 to 5 percent.The City of Chula Vista estimates a savings of 4,000 gallons per year per residential unit for dual flush toilets,which would be about a 2 percent reduction of the total estimated water demand. The irrigation water demands were calculated assuming recycled water use of 2.5 ac-ft per acre per year.The City of Chula Vista's Landscape Design Manual estimates that water savings due to using water efficient landscaping can reduce irrigation demands by 30 to 50 percent. The WSA&V Report demonstrates that the District,the Water Authority,and Metropolitan have all developed plans and are implementing projects,programs,and/or procedures to ensure that there will be adequate supplies to serve the proposed Resort project along with existing and other planned users.In addition,the supplies necessary to serve the Resort project along with existing and other projected future users have been be identified in the WSA&V Report for the Resort project.The actions necessary and status to develop these supplies have also 7 been documented in the various planning documents and in the Resort project WSA&V Report. Staff recommends that the Board of Directors approve the January 2009 Water Supply Assessment and Verification Report for the Resort project,as required by and consistent with SB 610 and SB 221. FISCAL IMPACT: The District has been reimbursed $28,775 for all costs associated with the preparation of the Resort project WSA&V Report.The reimbursement was accomplished via a $31,400 deposit the project proponents placed with the District. STRATEGIC GOAL: The preparation and approval of the Resort project WSA&V Report supports the District Mission Statement,"To provide the best quality of water and wastewater service to the customers of the Otay Water District,in a professional,effective,efficient, and sensitive manner,in all aspects of operation,so that public health,environment and quality of life are enhanced"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 Resort project in form and content satisfactory to the Board of Directors on or prior to March 5,2009 would allow the District to comply with the requirements of Senate Bill 610 and Senate Bill 221. General Manager P:\jpeasley\BD02-04-09,Staff Report,SB 610 and S8 221 Water Supply Assessment and Verification Report,otay Ranch Preserve & Resort Community,(JP-RP).doc JP/RP:jf Attachments:Attachment A Exhibit A Exhibit B 8 D0261 ATTACHMENT A Approval of Water Supply Assessment and Verification Report (January 2009)for the Otay Ranch L.P.Otay Ranch Preserve and Resort Community Project COMMITTEE ACTION: The Engineering,Operations,and Water Resources Committee reviewed this item at a meeting held on January 26,2009.The following comments were made: •The project will include a Resort/Hotel (200 hotel units) and residential development (1,738 single family homes and 200 multi-family homes). • • • • • The Otay Ranch L.P.Resort Project is located to the east of the City of Chula Vista and is included within the County of San Diego and City of Chula Vista Otay Ranch General Development Plan/Sub Regional Plan adopted in October 1993. The water demand originally planned for the Resort Project was 2000 AF.The developer has reduced the projected demand of the project to approximately 1800 AF. The Resort Project will require annexation into the Otay WD,San Diego County Water Authority (CWA),and Metropolitan Water District (MWD)to be eligible to use imported water. It was discussed that CWA and MWD would likely require 100% supply offset for the Resort Project's potable water demand as a condition of the annexation. The District is pursing alternative local water supply projects that will exceed the need of the Resort Project and the water supplies are intended to be available through 100%offset.The Water Supply Assessment and Verification 9 Report indicates that the District intends to develop sufficient reliable supplies to meet the demands of the Resort Project and that the following planned local water supply projects are currently being developed: o Middle Sweetwater River Groundwater Well (~1500 AF) o Otay River Groundwater Desalination (~4,500 AF) o Rosarito Ocean Desalination Project (~11,200 AF) o North District Recycled Water Project (~1,200 AF) o Rancho del Rey Groundwater Well (~600 AF) o Otay Mesa Lot 7 Groundwater Well (~600 AF) •It was discussed due to the current water supply conditions that the District plans to provide sufficient water supplies to the Resort Project,however,it does not guarantee sufficient supplies.Staff has made the developer aware that if a Drought Level III alert is declared,the District will not sell any new meters except under specific conditions.The developer understands that this could occur and had indicated that their plan is to have the entitlements for the development in place once the real estate market recovers. The committee supported staffs'recommendation and presentation to the full board as an action item. 10 EXHIBIT A Background Information The Otay Water District (District)prepared the January 2009 Water Supply Assessment and Verification Report (WSA&V Report),for the Otay Ranch L.P.Otay Ranch Preserve and Resort Community (Resort)project development proposal at the request of the County of San Diego (County).The District received the County's written request on November 5,2008 and also received in January 2009 a 30 day extension of time to complete the WSA&V Report and obtain the District Board of Directors approval thereof. The Otay Ranch L.P.submitted an entitlement application to the County for the development of the Resort project. The Otay Ranch Preserve and Resort Community project also referred to as the Resort Village or Otay Ranch Village 13 is located within the unincorporated area of the County.The Upper and Lower Otay Reservoirs generally bound the Resort project to the west and south.The Resort project is not currently within the jurisdictions of the District,the San Diego County Water Authority (Water Authority),and Metropolitan Water District of Southern California (Metropolitan).The Resort project is required to annex into the jurisdictions of the District,the Water Authority,and Metropolitan to be eligible to utilize imported water supply (Le.to obtain imported water supply service). The Resort project is included within a land use planning document known as the Otay Ranch General Development Plan/Sub-regional Plan (Otay Ranch GOP).The County and City of Chula Vista jointly prepared and adopted the Otay Ranch GOP.The Resort project,identified as Village 13 within the Otay Ranch GOP,is located within what is defined as the Proctor Valley Parcel of the Otay Ranch GOP.The Resort project is a part of the designated 14 villages and five planning areas within the Otay Ranch GOP planning area. The Chula Vista City Council and the San Diego County Board of Supervisors adopted the Otay Ranch GOP on October 28,1993,which was accompanied by a Program Environmental Impact Report EIR-90-01 (SCH #89010154). The WSA&V Report for the Resort project has been prepared by the District in consultation with Dexter Wilson Engineering,Inc.,the Water Authority,and the County 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 1101 0(b)(6)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 addressed in the January 2009 WSA&V Report for the Resort project. The County requested,since the requirements of SB 610 and SB 221 are substantially similar,that the District prepare both the water supply assessment and verification concu rrently. The Otay Ranch L.P.proposed development concept for the approximately 1,869 acre Resort project is generally planned as a combination of land uses consisting of a resort/hotel and associated facilities,a mix of single and multi family residential neighborhoods,an elementary school,a public safety facilities site,commercial,open space,preserve land,circulation elements,parks,and recreational facilities.The total number of resort hotel units is planned to be 200.Approximately 545 acres of the total project site are designated for 1,738 single-family detached homes and 200 multi-family homes.Typically a development project of this magnitude is constructed in several phases over many years.The Resort project proposed land uses are substantially consistent with and are in fact less than those as per the zoning and densities contained in the Otay Ranch GDP. Using the land use demand projection criteria as established in the District's 2002 Water Resources Master Plan (WRMP),the projected potable water demand for the proposed Resort project totals approximately 1.20 million gallons per day (mgd)or about 1,340 acre feet per year (ac-ft/yr).The projected recycled water demand for the proposed Resort project is approximately 0.37 mgd or about 417 ac-ft/yr,representing about 24% of total Resort project demands. The entire watershed of the proposed Resort project is tributary to the Upper and Lower Otay Reservoirs.Historically,the use of recycled water within watersheds tributary to surface water storage reservoirs that provide supply for potable domestic water uses has been prohibited by the Regional Water Quality Control Board (RWQCB)to protect water quality in the reservoirs.However,the Resort project proponents are required to pursue the use of recycled water for landscape irrigation purposes. The Resort project proponents are intending to use recycled water for landscape irrigation.The primary benefit of using recycled water is that it will offset an equivalent amount of potable water supply by an estimated 417 ac-ft/yr.If the use of recycled water within the Resort project does not receive the required regulatory approvals than the projected potable water demand for the Resort project will be about 1,757 ac-ft/yr. The District's 2002 WRMP,2005 Urban Water Management Plan (UWMP),and the Water Authority 2005 Updated Urban Water Management Plan (UWMP)anticipated that the Resort project would use only potable water.This is consistent with the historic constraint of the RWQCB,prohibiting the use of recycled water within watersheds Exhibit A - 2 tributary to surface water storage reservoirs that provide untreated water storage for domestic potable water uses. The District has in the past depended on the Water Authority and the Metropolitan for all of its potable water supplies and regional water resource planning. The District's Urban Water Management Plan (UWMP)relies heavily on the UWMP's and Integrated Resources Plans (IRP's)of the Water Authority and Metropolitan 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. New uncertainties that could significantly affect California's water resources have come to light over the past few years. •Federal Court rulings that sets operational limits on Sacramento-San Joaquin Delta pumping from December to June to protect the Delta smelt.Based on initial estimates,Metropolitan could see as much as a 22%reduction in State Water Project supplies in 2008 and beyond.Actual supply curtailments for Metropolitan are contingent upon fish distribution,behavioral patterns,weather, Delta flow conditions,and how water supply reductions are divided between state and federal projects. •Climate changes due to global warming (i.e.extended drought conditions). These uncertainties have rightly caused concern among Southern California water supply agencies regarding the validity of the current water supply documentation. The development and/or acquisition of potential groundwater,recycled water market expansion,and seawater desalination supplies by the District have evolved and are planned to occur in response to the regional water supply issues related to climatological,environmental,legal,and other challenges that have impacted water source supply conditions,such as the court rulings regarding the Sacramento-San Joaquin Delta and the current ongoing western states drought.These water supply projects are identified in the Resort project WSA&V Report and are in addition to those identified in the current Water Authority and Metropolitan UWMP,IRP,Master Plans, and other planning documents.These local and regional water supply projects will allow for less reliance upon imported water and are considered a new water supply resource. The District expansion of the market areas for the use of recycled water within the watersheds upstream of the Sweetwater Reservoir 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 the Resort project WSA&V Report do consider development and/or acquisition of potential groundwater,recycled water market expansion,and seawater desalination supplies by the District. Exhibit A - 3 ";: I:I'(' In evaluating the availability of sufficient water supply,the Resort project proponents are required to participate in the acquisition and development of alternative water supply project(s)to 100%offset their projected potable water supply requirements.This can be achieved through participation in one or more local and/or regional water supply development projects envisioned by the District.These new additional water supply projects are not currently fully developed.These water supply projects are planned to be developed and are intended to increase water supplies to serve the Resort project potable water supply needs and that of other similar situated development projects that were unanticipated by the Water Authority and Metropolitan.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 Seawater Desalination project,and the Rancho del Rey Groundwater Well project.The Water Authority and Metropolitan next forecast and supply planning documents would capture any increase in water supplies resulting from any new water resources developed by the District. Metropolitan's October 9,2007 IRP Implementation Report acknowledges that significant challenges in some resource areas will likely require changes in strategies and implementation approaches in order to reach long-term IRP water supply targets. Significant progress in program implementation is being realized in most resource areas.However,a further examination of the uncertainty of State Water Project supplies,among other uncertainties,will be required to assess the ability of achieve the long-term IRP targets. Metropolitan 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.Metropolitan is actively engaged in these processes and has initiated the next update of their IRP. The State Water Project (SWP)represents approximately 9%of Metropolitan'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 Metropolitan supplies in 2025. In Fiscal Year 2005,the Water Authority purchased 518,625 acre feet of water from Metropolitan,or approximately 25%of Metropolitan's water sales.Using the 2% cutback of 25%represents a net 0.5%impact on Water Authority supplies in Fiscal Year 2005.Neither the Water Authority nor Metropolitan 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,Metropolitan can allocate water without regard to historic water purchases or dependence on Metropolitan.Therefore the Water Authority and its member agencies are taking measures to reduce dependence on Metropolitan through Exhibit A - 4 development of additional supplies and a water supply portfolio that would not be jeopardized by a preferential rights allocation. For Fiscal Year 2006 the Water Authority's preferential right was 16.46%of Metropolitan's supply.So Metropolitan could theoretically take an 8.5%cut out of 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 2005 UWMP,they had already planned to reduce reliance on Metropolitan supplies to 372,922 acre feet per year by 2030,which is a 28%reduction from the Fiscal Year 2005 Water Authority purchase from Metropolitan.This reduction is planned to be achieved through diversification of their water supply portfolio.This reduction would more than compensate for the Metropolitan predicted 22%reduction in water supply available from the State Water Project,which could be an overall 2% cutback in Metropolitan total supplies in 2025. 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 District's management and Board of Directors 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 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 Metropolitan)along with the District fully intend to maintain sufficient reliable supplies through the 20-year planning horizon under normal,single and multiple dry year conditions to meet projected demand of the Resort 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.Metropolitan's plans to update its IRP which will then cause the Water Authority to update its IRP and UWMP,that 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 Resort project WSA&V Report does not in any way guarantee water supply to the Resort project. Exhibit A - 5 Alternatively,if the WSA&V is written'to state that water supply is or will be insufficient; 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 and SB 221 statutes,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 Resort project WSA&V Report the project proponents can proceed with the draft EIR CEQA review process and water supply issues will be addressed in the EIR,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 Report project. The WSA&V Report identifies and describes the processes by which water demand projections for the proposed Report 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 Metropolitan.Water supplies necessary to serve the demands of the proposed Resort project,along with existing and other projected future users,as well as the actions necessary to develop these supplies,have been identified in the Resort project WSA&V Report and will be included in the future water supply planning documents of the Water Authority and Metropolitan. The 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 Resort 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 and multiple dry years to meet the projected demand of the proposed Resort project and the existing and other planned development projects to be served by the District. Accordingly,following approval of a WSA&V Report for the Resort project by the District 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: 1.Senate Bill 610 Water Supply Assessment:The District Board approved WSA&V Report may be incorporated into the California Environmental Quality Act (CEQA)Environmental Impact Report (EIR)compliance process for the Resort project as a water supply assessment report consistent with the requirements of the legislation enacted by SB 610.The County as lead agency under CEQA for the Resort project EIR may cite the approved WSA&V Report as evidence that a Exhibit A - 6 I sufficient water supply is planned for and is intended to be made available to serve the Resort project. 2.Senate Bill 221 Water Supply Verification:The District Board approved WSA&V Report may be incorporated into the County's Tentative Map approval process for the Resort project as a water supply verification report,consistent with the requirements of the legislation enacted by SB 221.The County,within their process of approving the Resort project's Tentative Map,may cite the approved WSA&V Report as verification of intended sufficient water supply to serve the Resort project. Exhibit A - 7 I";',",, ) II I: I: ITEM 7a Approve the Water Supply Assessment and Verification Report Dated January 2009 for the Otay Ranch L.P.Otay Ranch Preserve and Resort Community Project (Resort) Development Proposal as Required by Senate Bill 610 and Senate Bill 221 Please reference Attachment 1 "PowerPoint"posted to Otay Water District website. I"LI~','I EXHIBIT B OTAY WATER DISTRICT WATER SUPPLY ASSESSMENT AND VERIFICATION REPORT Otay Ranch Preserve and Resort Community Prepared by: James F.Peasley,P.E. Engineering Manager Otay Water District in consultation with Dexter Wilson Engineering,Inc. and San Diego County Water Authority January 2009 Otay Water District Water Supply Assessment and Verification Report OtayRanch Preserve andResort Community Otay Water District Water Supply Assessment and Verification Report January 2009 Otay Ranch Preserve and Resort Community 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 12 Section 5:Historical and Projected Water Demands 13 5.1 Demand Management (Water Conservation)18 Section 6:Existing and Projected Supplies ,20 6.1 Metropolitan Water District ofSouthern California 2005 Regional Urban Water Management Plan 21 6.1.1 Availability ofSufficient Supplies and Plans for Acquiring Additional Supplies 21 6.1.2 Metropolitan Capital Investment Plan 23 6.2 San Diego County Water Authority Regional Water Supplies 23 6.2.1 Availability ofSufficient Supplies and Plans for Acquiring Additional Supplies ;24 6.2.2 Water Authority Capital Improvement Program and Financial Information 34 6.3 Otay Water District 35 6.3.1 Availability ofSufficient Supplies and Plans for Acquiring Additional Supplies '"36 6.3.2 Otay WD Capital Improvement Program 51 Section 7:Conclusion -Availability of Sufficient Supplies 51 Source Documents 56 Appendices . Appendix A:Otay Ranch Preserve and Resort Community Regional Location and Vicinity Map Appendix B:Otay Ranch Preserve and Resort Community Proposed Development Plan Dtay Water District Water Supply Assessment and Verification Report Dtay Ranch Preserve andResort Community Otay Water District Water Supply Assessment and Verification Report January 2009 Otay Ranch Preserve and Resort Community Executive Summary The Otay Water District (WD)prepared this Water Supply Assessment and Verification Report (WSA&V Report)at the request ofthe County of San Diego (County)for the Otay Ranch Preserve and Resort Community (Resort)project.The Resort project is also known as Otay Ranch Village 13.Otay Ranch L.P.submitted an entitlement application to the County for the development ofthe Resort project. The Resort project is not currently located within the jurisdictions ofthe Otay WD,the San Diego County Water Authority (Water Authority),and the Metropolitan Water District of Southern California (Metropolitan).The Resort project is required to annex into the jurisdictions of the Otay WD,Water Authority,and Metropolitan to be eligible to utilize imported water supply (i.e.to obtain imported water supply service). The Resort 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 ofChula Vistajointly prepared and adopted the Otay Ranch GDP.The Resort project,identified as Village 13 within the Otay Ranch GDP,is located within what is defined as the Proctor Valley Parcel ofthe Otay Ranch GDP.The Resort project is a part ofthe designated 14 villages and five planning areas within the Otay Ranch GDP area.The Chula Vista City Council and the San Diego County Board ofSupervisors adopted the Otay Ranch GDP on October 28,1993,which was accompanied by a Program Environmental Impact Report EIR-90-01 (SCH #89010154). The Otay Ranch L.P.proposed development concept for the approximately 1,869 acre Resort project is generally planned as a combination ofland uses consisting of a resortlhotel and associated facilities,a mix ofsingle and multi family residential neighborhoods,an elementary school,a public safety facilities site,commercial,open space,preserve land, circulation elements,parks,and recreational facilities.The total number ofresort hotel units is planned to be 200.Approximately 545 acres ofthe total project site are designated for 1,738 single-family detached homes and 200 multi-family homes.Typically a development project ofthis magnitude is constructed in several phases over many years. 1 Dtay Water District Water Supply Assessment and Verification Report Dtay RanchPreserve andResort Community Using the land use demand projection criteria as established in the Otay WD 2002 Water Resources Master Plan (2002 WRMP),the projected potable water demand for the proposed Resort project totals approximately 1.20 million gallons per day (mgd)or about 1,340 acre feet per year (ac-ft/yr).The projected recycled water demand for the proposed Resort project is approximately 0.37 mgd or about 417 ac-ft/yr,representing about 24%oftotal Resort project water demand. The entire watershed ofthe proposed Resort project is tributary to the Upper and Lower Otay Reservoirs.Historically,the use ofrecycled water within watersheds tributary to surface water storage reservoirs that provide supply for potable domestic water uses has been prohibited by the Regional Water Quality Control Board (RWQCB)to protect water quality in the reservoirs.However,the Resort project proponents are required to pursue the use of recycled water for landscape irrigation purposes. Prior to being able to implement the use ofrecycled water within the Resort project,a number ofregulatory approvals will be required and a few are as summarized below. •RWQCB approval regarding any necessary or required Basin Plan revisions and/or addressing any potential surface and groundwater quality impact issues. •Confirmation from the City of San Diego that the proposed use ofrecycled water is consistent with their January 2004 Source Water Protection Guidelines as prepared by Brown and Caldwell. •Approval from the State of California Department ofPublic Health addressing any potential health related impact issues. The Resort project proponents intend to use recycled water for landscape irrigation.The primary benefit of using recycled water is that it will offset an equivalent amount ofpotable water supply by an estimated 417 ac-ft/yr.Ifthe use ofrecycled water within the Resort project does not receive the required regulatory approvals than the projected potable water demand for the Resort project will be about 1,757 ac-ft/yr.The Otay WD 2002 WRMP,Otay WD revised 2005 Urban Water Management Plan (2005 UWMP),and the Water Authority 2005 Updated Urban Water Management Plan (2005 UWMP)anticipated that the Resort project would use only potable water.This is consistent with the historic constraint ofthe RWQCB,prohibiting the use ofrecycled water within watersheds tributary to surface water storage reservoirs that provide untreated water storage for domestic potable water uses. The Water Authority and Metropolitan 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 ofGovernments (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 Metropolitan update their demand forecasts and supply needs based on the most recent SANDAG forecast approximately every five years to coincide with preparation oftheir urban water management plans.Prior to the next forecast 2 Otay Water District Water Supply Assessment and Verification Report OtayRanch Preserve andResort Community 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 Metropolitanjurisdictions (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,Water Authority,and Metropolitan 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 ofannexations or revised land use planning decisions such as the proposed annexation ofthe Resort project into Otay WD,Water Authority,and Metropolitan jurisdictions.When the Resort project is annexed into the jurisdictions ofthe Otay WD,the Water Authority,and Metropolitan water demand and supply planning information for the Resort project will be a permanent part of and incorporated within their water resources planning processes and documents. Metropolitan's Integrated Resources Plan (IRP)identifies a mix ofresources (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 2004 update to the IRP (2004 IRP Update)includes a planning buffer supply intended to mitigate against the risks associated with implementation oflocal and imported supply programs.The planning buffer identifies an additional increment ofwater that could potentially be developed ifother supplies are not implemented as planned.As part of implementation ofthe planning buffer,Metropolitan 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 current ongoing drought impacting the western states.Challenges such as these essentially always will be present. The regional water supply agencies,the Water Authority and Metropolitan,along with Otay WD nevertheless fully intend to have sufficient,reliable supplies to serve demands. In Section 11.4 oftheir 2005 Regional Urban Water Management Plan (2005 RUWMP), Metropolitan states that through effective management ofits water supply,they fully expect to be 100 percent reliable in meeting all non-discounted non-interruptible demands throughout the next twenty-five years.Metropolitan's 2005 RUWMP identifies potential reserve supplies in the supply capability analysis (Tables 11-7, 11-8,and 11-9),which could be available to meet the unanticipated demands such as those of the Resort project. In evaluating the availability of sufficient water supply,the Resort project proponents are required to acquire/participate in the development ofalternative water supply project(s).This can be achieved through participation in one or more local andlor regional water supply 3 Otay Water District Water Supply Assessmentand Verification Report Otay Ranch Preserve andResort Community development projects envisioned by the Otay WD.These water supply projects are in addition to those identified as sustainable supplies in the current Water Authority and Metropolitan 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 ofthe planning process.These water supply projects are planned to be developed and are intended to increase water supplies to serve the Resort project water supply needs and that ofother similar situated development projects.A few examples ofthese 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 Metropolitan next forecast and supply planning documents would capture any increase in water supplies resulting from any new water resources developed by the Otay WD. The County Water Authority Act,Section 5 subdivision 11,states that the Water Authority "as far as practicable,shall provide each ofits member agencies with adequate supplies of water to meet their expanding and increasing needs." As part ofpreparation ofa written water supply assessment and verification report,an agency's shortage contingency analysis should be considered in determining sufficiency of supply.Section 9 ofthe Water Authority's 2005 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 ofwater supplies.The DMP,completed in May 2006,provides the Water Authority and its member agencies with a series ofpotential actions to take when faced with a shortage ofimported water supplies from Metropolitan 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 ofsupplies. The WSA&V Report identifies and describes the processes by which water demand projections for the proposed Report project will be fully included in the water demand and supply forecasts ofthe Urban Water Management Plans and other water resources planning documents of the Water Authority and Metropolitan.Water supplies necessary to serve the demands ofthe proposed Resort 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 Resort project WSA&V Report and will be included in the future water supply planning documents ofthe Water Authority and Metropolitan.The current potable water demand projections and supply requirements for the proposed Resort project are less than those included in the Otay WD 2005 UWMP,Otay WD 2002 WRMP,and other water resources planning documents ofthe Otay WD. 4 Otay Water District Water Supply Assessment and Verification Report OtayRanch Preserve andResort Community To fully quantitY probable demands to be served by the Water Authority,lands with impending or proposed applications for annexation to the Otay WD,Water Authority,and Metropolitan service areas were identified in the Water Authority 2005 UWMP.The Water Authority included the Resort project potable water demands within their 2005 UWMP to provide for more comprehensive supply planning and assist in complying with the requirements of Senate Bills 610 and 221.Estimated water demands for the Resort project that were provided to the Water Authority and added to the Water Authority forecast are greater than the current demand estimate for the Resort project. This WSA&V Report includes,among other information,an identification ofexisting water supply entitlements,water rights,water service contracts,water supply projects,or agreements relevant to the identified water supply needs for the proposed Resort 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 and multiple dry years to meet the projected demand ofthe proposed Resort project and the existing and other planned development projects to be served by the Otay WD. Accordingly,after approval ofa WSA&V Report for the Resort project by the Otay WD Board ofDirectors (Board),the WSA&V Report may be used to comply with the requirements ofthe 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 Resort project as a water supply assessment report consistent with the requirements ofthe legislation enacted by SB 610.The County as lead agency under CEQA for the Resort 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 Resort project. 2.Senate Bill 221 Water Supply Verification:The Otay WD Board approved WSA&V Report may be incorporated into the County's Tentative Map approval process for the Resort project as a water supply verification report,consistent with the requirements ofthe legislation enacted by SB 221.The County,within their process ofapproving the Resort project's Tentative Map,may cite the approved WSA&V Report as verification ofintended sufficient water supply to serve the Resort project. Section 1 -Purpose Otay Ranch L.P.submitted an entitlement application to the County ofSan Diego (County) for the development ofthe Otay Ranch Preserve and Resort Community (Resort)project.The County requested that Otay Water District (WD)prepare a Water Supply Assessment and 5 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community Verification Report (WSA&V Report)for the Resort project.The Resort project description is provided in Section 3 ofthis WSA&V Report. This WSA&V Report for the Resort 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 County 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 JanuaI)'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 ofthe 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 ofthe 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 County also requested,since the requirements ofSB 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 ofthe Resort project,and reasonably foreseeable planned future water demands served by Otay WD.The Otay WD Board ofDirectors approved WSA&V Report is planned to be used by the County in its evaluation ofthe Resort project under the CEQA and Tentative Map approval processes. Section 2 -Findings The Otay WD prepared this WSA&V Report at the request ofthe County for the Otay Ranch Preserve and Resort Community project.The Resort project is also known as Otay Ranch Village 13.Otay Ranch L.P.submitted an entitlement application to the County for the development ofthe Resort project. The Resort project is not currently located within thejurisdictions ofthe Otay WD,the Water Authority,and the Metropolitan Water District of Southern California (Metropolitan).The Resort project is required to annex into the jurisdictions ofthe Otay WD,the Water Authority, and Metropolitan to be eligible to utilize imported water supply (i.e.to obtain imported water supply service). 6 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community The Water Authority and Metropolitan 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 ofGovernments (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 Metropolitan update their demand forecasts and supply needs based on the most recent SANDAG forecast approximately every five years to coincide with preparation oftheir 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 Metropolitan 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 Metropolitan 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 ofannexations or revised land use planning decisions such as the proposed annexation ofthe Resort project into Otay WD,Water Authority,and Metropolitanjurisdictions.When the Resort project is annexed into the jurisdictions ofthe Otay WD,the Water Authority,and Metropolitan water demand and supply planning information for the Resort project will be a permanent part of and incorporated within their water resources planning processes and documents. This process is utilized by the Water Authority and Metropolitan to document the water supplies necessary to serve the demands ofthe proposed Resort 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 ofthe Water Authority and Metropolitan. To fully quantity probable demands to be served by the Water Authority,lands with impending or proposed applications for annexation into the Otay WD,Water Authority,and Metropolitan service areas are identified in the Water Authority 2005 UWMP.Working with its member agencies,the Water Authority identified potential near-term annexations as being parcels that may be annexed to the Otay WD,Water Authority,and Metropolitan within the next five years.Estimated water demands for those parcels,which included the Resort project,were provided to the Water Authority by the member agency or project proponent and were then added to the Water Authority forecast.The Water Authority included the sum of the projected potable and recycled water demands for the Resort project as a potable water demand within their 2005 UWMP to provide for more comprehensive supply planning and assist member agencies such as Otay WD in complying with Senate Bills 610 and 221. Tables 2-2 and 2-9 within the Water Authority 2005 UWMP provides projected demand information for the anticipated pending annexations,which includes the Resort project.The potable water demand projections and supply requirements for the proposed Resort project are 7 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community also currently within the Otay WD 2005 UWMP and other water resources planning documents ofthe Otay WD.The current Resort project demand and supply requirements are less than those contained with the Otay WD 2002 WRMP,the Otay WD 2005 UWMP,and the Water Authority 2005 UWMP. In evaluating the availability of sufficient water supply,the Resort project proponents are required to acquire/participate in the development ofalternative water supply project(s).This can be achieved through participation in one or more local and/or regional water supply development projects envisioned by the Otay WD.These water supply projects are in addition to those identified as sustainable supplies in the current Water Authority and Metropolitan 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 ofthe planning process.These water supply proj ects are planned to be developed and are intended to increase water supplies to serve the Resort project water supply needs and that ofother similar situated development projects.A few examples ofthese 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 Metropolitan 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 ofthe proposed Resort 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 ofthe Water Authority and Metropolitan.This WSA&V Report demonstrates and verifies that with development ofthe 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 ofthe proposed Resort 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 ofexisting water supply entitlements,water rights,water service contracts,proposed water supply projects,or agreements relevant to the identified water supply needs for the proposed Resort project.This WSA&V Report incorporates by reference the current Urban Water Management Plans and other water resources planning documents ofthe Otay WD,the WaterAuthority,and Metropolitan.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 ofthe Resort 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. 8 III Otay Water District Water SupplyAssessment and Verification Report Otay Ranch Preserve andResort Community Based on a normal water supply year,the five-year increments for a 20-year projection indicate projected water supply is being planned for and is intended to be acquired to meet the estimated water demand ofthe Otay WD (38,774 acre-feet (ac-ft)in 2005 to 72,853 ac-ft in 2025 per the Otay WD 2005 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 7%higher than the normal demands.Using this model,the projected single dry year necessary supply requirement for 2010 is 53,299 ac-ft and for multiple dry years beginning in 200746,212 ac-ft,48,574 ac-ft,and 50,936 ac-ft,respectively,is necessary to meet demand.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 Resort project and the existing and other reasonably foreseeable planned projects within the Otay WD in both normal and single and multiple dry year forecasts for a 20-year planning horizon. Section 3 -Project Description The Otay Ranch Preserve and Resort Community project also referred to as the Resort Village or Otay Ranch Village 13 is located within the unincorporated area ofthe County of San Diego,California.Refer to Appendix A for a regional location and vicinity map ofthe proposed Resort project.The Upper and Lower Otay Reservoirs generally bound the Resort project to the west and south.The Resort project is not currently within thejurisdictions of the Otay WD,the Water Authority,and Metropolitan. The Resort 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 ofChula Vistajointly prepared and adopted the Otay Ranch GDP.The Resort project,identified as Village 13 within the Otay Ranch GDP,is located within what is defined as the Proctor Valley Parcel ofthe Otay Ranch GDP.The Resort project is a part ofthe designated 14 villages and five planning areas within the Otay Ranch GDP area. The Chula Vista City Council and the San Diego County Board ofSupervisors 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 ofresidential,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 ofapproximately 11,375 acres. 9 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community The Otay Ranch L.P.proposed development concept for the approximately 1,869 acre Resort project is planned as a combination ofland uses as shown in Table 1. Table 1 Otay Ranch Preserve and Resort Community Proposed Land Uses· Otay Ranch Preserve and Resort Single-Family Residential 534.5 acres Otay Ranch Preserve and Resort Multi-Family Residential 10.3 acres Otay Ranch Preserve and Resort Elementary School 10.1 acres Otay Ranch Preserve and Resort Public Safety 3.4 acres Otay Ranch Preserve and Resort ResortJHotel 17.4 acres Otay Ranch Preserve and Resort Commercial 8.5 acres Otay Ranch Preserve and Resort Parks 26.0 acres Otay Ranch Preserve and Resort Irrigated Open Space 138.7 acres Otay Ranch Preserve and Resort Circulation 41.6 acres Otay Ranch Preserve and Resort Natural Open Space Preserve 1,078.1 acres 1,738 units 200 units 200 units Totals 1,868.6 acres 2,138 units Source:Dexter Wilson Engineering,Inc.,"Overviewof Water Service for Otay Ranch Village 13," December 2008 (i.e.Otay RanchPreserve and Resort Community Project). The resort/hotel is on approximately 17.4 acres and is planned to include restaurants,guest rooms,a conference center,specialty shops,and recreational facilities.The total number of resort guest rooms is planned to be 200.Approximately 544.8 acres ofthe total project site are designated for residential use consisting of 1,938 units that includes 534.5 acres for 1,738 single-family detached units and 10.3 acres for 200 multi-family homes.Also,the Resort project includes a 10.1 acre elementary school site,26.0 acres for neighborhood parks,3.4 acre public safety site,8.5 acres ofcommercial sites,41.6 acres for circulation elements, 138.7 acres ofirrigated open space,and 1,078.1 acres ofnatural open space preserve. Typically a development project ofthis magnitude is constructed in several phases over many years.Refer to Appendix B for the proposed development plan ofthe Resort project. The County of San Diego has identified discretionary actions and/or permit approval requirements for the Resort project.The projected potable and recycled water demands and resulting water supply requirements associated with the Resort 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 Resort project are provided in Section 5 -Historical and Projected Water Demands. 10 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community Section 4 -Otay Water District The Otay WD is a municipal water district formed in 1956 pursuant to the Municipal Water District Act of1911 (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 ofwater to its 24 public agency members in San Diego County. The Otay WD currently relies on the Water Authority for 100 percent ofits treated water supply.The Water Authority is the agency responsible for the supply ofimported water into San Diego County through its membership in Metropolitan.The Water Authority currently obtains the vast majority ofits imported supply from Metropolitan,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 ofits service area known as the Jamacha Basin.The Otay WD also owns and operates the Ralph W.Chapman Water Recycling 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 ofrecycled water supply,at least 6 mgd or about 6,720 ac-ft/yr,became available to Otay WD from the City ofSan Diego's South Bay Water Reclamation Plant (SBWRP). The Otay WD jurisdictional area is generally located within the south central portion ofSan Diego County and includes approximately 125 square miles.The Otay WD serves portions of the unincorporated communities ofsouthern EI Cajon,La Mesa,Rancho San Diego,Jamul, Spring Valley,Bonita,and Otay Mesa,the eastern portion ofthe City ofChulaVista and a portion ofthe City ofSan 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 ofSan Diego.The southern boundary ofOtay WD is the international border with Mexico. The planning area addressed in the Otay WD 2002 Water Resources Master Plan (2002 WRMP)and the Otay WD revised 2005 Urban Water Management Plan (2005 UWMP) includes the land within thejurisdictional boundary ofthe Otay WD and those areas outside ofthe present Otay WD boundaries considered to be in the Area ofInfluence of the Otay WD. Figure 3-1 contained within the Otay WD 2002 WRMP shows the jurisdictional boundary of the Otay WD and the Area ofInfluence which includes the Resort project area.The planning area is approximately 143 square miles,ofwhich 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 11 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community jurisdiction and potentially could be served by the Otay WD in the future ifthe need for imported water becomes necessary,as is the case for the Area ofInfluence. The City ofChula 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 ofGovernments (SANDAG). SANDAG serves as the regional,intergovernmental planning agency that develops and provides forecast information through the year 2030.Population growth within the Otay WD service area is expected to increase from the 2005 figure ofapproximately 179,000 to an estimated 268,000 by 2025,and is estimated to be 277,000 at ultimate build out.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 ofSan Diego,City ofChula Vista,and County ofSan Diego General Plans. The Otay WD long-term historic growth rate has been approximately 3%per year.In recent past years,growth has occurred at a faster rate due to accelerated residential development in the eastern portion ofthe City of Chula Vista.The SANDAG forecast predicts this accelerated growth to continue for another five to ten years.The growth rate has significantly slowed and it is expected to slow as the inventory ofdevelopable 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 ofthe region's rainfall occurs during the months ofDecember through March.Average annual rainfall is approximately 9.4 inches per year. Historic climate data were obtained from the Western Regional Climate Center for Station 042706 (EI Cajon).This station was selected because its annual temperature variation is representative ofmost ofthe Otay WD service area.While there is a station in the City of Chula Vista,the temperature variation at the City ofChula Vista station is more typical ofa coastal environment than the conditions in most ofthe Otay WD service area. 4.1 Urban Water Management Plan In accordance with the California Urban Water Management Planning Act,the Otay WD Board ofDirectors adopted an Urban Water Management Plan in December 2005 and it was subsequently submitted to the California Department ofWater Resources (DWR).DWR required Otay WD to make revisions to the submitted plan.The Otay WD Board ofDirectors adopted the revised Otay WD 2005 UWMP in July 2007.As required by law,the Otay WD 2005 UWMP includes projected water supplies required to meet future demands through 2030.In accordance with Water Code Section 10910 (c)(2)and Government Code Section 12 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community 66473.7 (c)(3),information from the Otay WD 2005 UWMP along with supplemental information from the Otay WD 2002 WRMP have been utilized to prepare this WSA&V Report and are incorporated herein by reference. 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,City ofChula Vista,and County ofSan 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 ofthe Otay WD 2002 WRMP and Otay WD 2005 UWMP 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 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 ofa century ofpractical application and is used by many cities and water agencies throughout the United States.The Water Authority's version ofthe MAIN model was modified to reflect the San Diego region's unique parameters and is known as CWA-MAIN. The foundation ofthe 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 ofAgreement (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 ofSan 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,the 2005 water demand forecast update utilized the latest official SANDAG demographic projections.The SANDAG 2030 Forecast,released in December 2003,extended the projection horizon an additional ten years to 2030.Member agency-level demographic and economic projections were compiled from this SANDAG forecast and incorporated into the CWA-MAIN model. The municipal and industrial forecast also included an updated accounting of projected conservation savings based on projected regional implementation ofthe California Urban Water Conservation Council (CUWCC)Best Management Practices and SANDAG 13 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community demographic information for the period 2005 through 2030.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 ofWater Resources and the California Avocado Commission,and average crop-type watering requirements based on California Irrigation Management Information System data. The Water Authority and Metropolitan update their water demand and supply proj ections 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 ofthe 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 land use plans,any revisions to land use plans,and annexations are captured in the SANDAG updated forecasts.The Water Authority and Metropolitan will update their demand forecasts based on the SANDAG most recent forecast approximately every five years to coincide with preparation oftheir 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 Metropolitan or that have revised land use plans than originally anticipated.The Water Authority and Metropolitan 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 ofsufficient water supply,the Resort project proponents are required to acquire/participate in the development ofalternative water supply project(s).This can be achieved through participation in one or more local and/or regional water supply development projects envisioned by the Otay WD.These water supply projects are in addition to those identified as sustainable supplies in the current Water Authority and Metropolitan 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 ofthe planning process.These water supply projects are planned to be developed and are intended to increase water supplies to serve the Resort project water supply needs and that ofother similar situated development projects.A few examples ofthese 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 14 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community project.The Water Authority and Metropolitan 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,Metropolitan's 2005 Regional Urban Water Management Plan identified potential reserve supplies in the supply capability analysis (Tables 11-7,11-8,and 11-9),which could be available to meet any unanticipated demands.The Water Authority and Metropolitan next forecast and supply planning documents would capture any increase in necessary supply resources resulting from any new water supply resources. To fully quantitY probable demands served by the Water Authority,lands with impending or proposed applications for annexation to the Otay WD,Water Authority,and Metropolitan service areas are identified in the Water Authority 2005 Updated Urban Water Management Plan (2005 UWMP).Working with its member agencies,the Water Authority identified potential near-term annexations as being parcels that may be annexed to the Otay WD,Water Authority,and Metropolitan within the next five years.Estimated water demands for those parcels,which included the Resort project,were provided to the Water Authority by the member agency or project proponent and then added to the Water Authority forecast.The Water Authority included the potential near-term annexation land areas projected potable water demands,such as the Resort project,within their 2005 UWMP to provide for more comprehensive supply planning and assist member agencies such as Otay WD in complying with Senate Bills 610 and 221.Tables 2-2 and 2-9 within the Water Authority 2005 UWMP provides projected demand information for the anticipated pending annexations,which included the Resort project.The current Resort project demand and supply requirements are less than those contained with the Water Authority 2005 UWMP. The Otay WD water demand projection methodology utilizes a component land use approach.This is done by applying representative values ofwater use to the acreage ofeach 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 ofwater used in acre- feet per acre per year.This approach is used for all the land use lypes except residential developmentwhere 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. To determine water duties for the various types ofland use,the entire water meter database ofthe Otay WD is utilized and sorted by the appropriate land use types.The metered consumption records are then examined for each ofthe 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 mrit basis.The focus is to ensure that for each ofthe residential land use categories (very low,low,medium,and high densities),the demand criteria used is adequately represented 15 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResortCommunity based upon actual data.This method is used because residential land uses constitute a substantial percentage ofthe total developable planning area ofthe Otay WO. 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 SANOAG and the experience ofthe Otay WO. The historical and projected potable water demands for Otay WO are shown in Table 2. Table 2 Historical and Projected Potable Water Fiscal Year Demands (acre-feet) Incorporating Water Conservation BMP Efforts! 10,604 15,331 19,850 25,442 29,130 33,316 37,211 42,089 Multi-Famil Residential 1,880 1,986 2,893 3,708 4,245 4,855 5,423 6,134 Commercial &Industrial 1,650 3,043 1,549 1,986 2,274 2,600 2,904 3,285 Institutional &Governmental 1,680 2,089 2,115 2,711 3,104 3,550 3,965 4,485 Landsca e 3,983 6,256 8,512 10,910 12,491 14,286 15,956 18,048 A icultural 487 171 2,268 2,907 3,328 3,806 4,251 4,809 Known Losses **511 655 749 857 957 1,083 S stem Losses *1,733 1,076 1,494 1,711 1,957 2,186 2,472 Totals 20,284 30,609 38,774 49,813 57,032 65,227 72,853 82,405 1 Source:The Otay WD 2005 UWMP. *Known losses (i.e.unaccounted for water in the Otay WD 2005 UWMP)and system losses unavailable. The historical and projected recycled water demands for Otay WO are shown in Table 3. Table 3 Historical and Projected Recycled Water Fiscal Year Demands (acre-feet) Incorporating Water Conservation BMP Efforts! Landscape 614 Totals 614 1,274 1,155 4,040 4,684 5,430 6,294 7,297 1,274 1,155 4,040 4,684 5,430 6,294 7,297 Source:The Otay WD 2005 UWMP. 16 Otay Water District Water Supply Assessment and Verification Report OtayRanch Preserve andResort Community Using the land use demand projection criteria as established in the Otay WD 2002 WRMP, the current projected potable water demand for the proposed Resort project is shown in Table 4,which totals approximately 1.20 mgd or about 1,340 ac-ft/yr. Table 4 Otay Ranch Preserve and Resort Community Projected Potable Water Annual Average Demandsl Otay RanchPreserve and Resort Single-Family Residential Otay Ranch Preserve and Resort Multi-Family Residential Otay RanchPreserve and Resort Elementary School Otay Ranch Preserve and Resort Public Safety Otay Ranch Preserve and Resort ResortlHotel Otay Ranch Preserve and Resort Resort Complex Otay Ranch Preserve and Resort Parks Otay Ranch Preserve and Resort Commercial Otay Ranch Preserve and Resort Inigated Open Space Otay Ranch Preserve and Resort Circulation Otay Ranch Preserve and Resort Natural Open Space Preserve 1,738 units 200 units 200 units 1,023,700 60,000 18,030 6,070 60,000 13,350 o 15,170 o o o Totals 2,138 units 1,196,320 Source:Dexter WilsonEngineering,Inc.,"Overview of Water Service for Otay Ranch Village 13," December 2008 (i.e.Otay Ranch Preserve and Resort Community Project). Historically,the use ofrecycled water within watersheds tributary to surface water storage reservoirs that are used to store untreated water for eventual treatment to potable standards for domestic water uses has been prohibited by the Regional Water Quality Control Board (RWQCB)in an effort to protect untreated water quality in the reservoirs.The entire watershed ofthe proposed Resort project is tributary to the Upper and Lower Otay Reservoirs. However,the Resort project proponents are required to pursue the use ofrecycled water. Prior to being able to implement the use ofrecycled water within the Resort proj ect,a number ofregulatory approvals will be required and a few are as summarized below. •RWQCB approval regarding any necessary or required Basin Plan revisions and/or addressing any potential surface and groundwater quality impact issues. •Confirmation from the City ofSan Diego that the proposed use ofrecycled water is consistent with their January 2004 Source Water Protection Guidelines as prepared by Brown and Caldwell. 17 Otay Water District Water Supply Assessmentand Verification Report Otay Ranch Preserve andResort Community •Approval from the State ofCalifomia Department ofPublic Health addressing any potential health related impact issues. The current projected recycled water demand for the proposed Resort project is provided in Table 5,which totals approximately 0.37 mgd or about 417 ac-ft/yr,representing about 24% oftotal Resort project demand.The sum ofthe current potable and recycled water demand projections are lower than,yet consistent with the Resort project total projected potable water demand included in the Otay WD 2005 UWMP,the Otay WD 2002 WRMP,and the Water Authority 2005 UWMP. Table 5 Otay Ranch Preserve and Resort Community Projected Recycled Water Annual Average Demands! Otay Ranch Preserve and Resort Multi-Family Residential Otay RanchPreserve and Resort ResortJHotel Otay RanchPreserve and Resort Commercial 10.3 acres 17.4 acres 8.5 acres 3,230 7,540 1,940 Otay Ranch Preserve and Resort Parks 26.0 acres 56,030 Otay Ranch Preserve and Resort Elementary School 10.1 acres 4,310 Otay Ranch Preserve and Resort Irrigated Open Space 138.7 acres 298,900 Totals 211.0 acres 371,950 1Source:Dexter Wilson Engineering,Inc.,"Overview ofWater Service for Otay Ranch Village 13," December 2008 (i.e.Otay Ranch Preserve and Resort Community Project). The Resort project proponents are intending to use recycled water for landscape irrigation. The primary benefit ofusing recycled water is that it will offset an equivalent amount of potable water supply by an estimated 417 ac-ft/yr.lfthe use ofrecycled water within the Resort project does not receive the required regulatory approvals than the projected potable water demand for the Resort project will be about 1,757 ac-ft/yr.The Otay WD 2002 WRMP, Otay WD 2005 UWMP,and the Water Authority 2005 UWMP anticipated that the Resort project would use only potable water.This is consistent with the historic constraint ofthe RWQCB,prohibiting the use ofrecycled water within watersheds tributary to surface water storage reservoirs that provide untreated water storage for domestic potable water uses. 5.1 Demand Management (Water Conservation) Demand management,or water conservation is a critical part ofthe Otay WD 2005 UWMP and its long term strategy for meeting water supply needs ofthe Otay WD customers.Water conservation,is frequently the lowest cost resource available to any water agency.The goals ofthe Otay WD water conservation programs are to: 18 Otay Water District Water Supply Assessment and Verification Report OtayRanch Preserve andResort Community •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 ofUnderstanding (MOU)Regarding Urban Water Conservation in California,which created the California Urban Water Conservation Council (CDWCC)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 ofa 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,Metropolitan,and their member agencies.The demands shown in Tables 2,3,4,and 5 take into account implementation of water conservation measures within Otay WD. As one ofthe first signatories to the MOU Regarding Urban Water Conservation in California,the Otay WD has made BMP implementation for water conservation the cornerstone ofits conservation programs and a key element in its water resource management strategy.As a member ofthe Water Authority,Otay WD also benefits from regional programs performed on behalfofits 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 2005 UWMP.In partnership with the Water Authority,the County of San Diego,City ofSan 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 ofthe 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. Some ofthese functions provide for operating personnel to monitor the water supply source flow rates,reservoir levels,tum on or off pumping units,etc.The SCADA system aids in the prevention ofwater reservoir overflow events and increases energy efficiency. •Water Conservation Ordinance 19 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community 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 ofwater used by the people therein for the purpose ofconserving water supplies ofsuch public entity.The Otay WD Board ofDirectors 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 ofany future shortage.A water shortage could exist based upon the occurrence of one or more ofthe following conditions: 1.A general water supply shortage due to increased demand or limited supplies. 2.Distribution or storage facilities ofthe Water Authority or other agencies become inadequate. 3.A major failure ofthe supply,storage,and distribution facilities ofMetropolitan, 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,ofwater be prevented and that the conservation ofsuch water be encouraged with a view to the maximum reasonable and beneficial use thereofin the interests ofthe people ofthe Otay WD and for the public welfare. 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 ofcurrent 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 2001 to 2004,as well as the BMP Coverage Report for 2003-04,are included in the Otay WD 2005 UWMP. The Resort project will implement the CUWCC Best Management Practices for water conservation such as installation ofultra low flow toilets,development ofa water conversation plan,and potential beneficial use ofrecycled water,all ofwhich are typical requirements of development projects within the County of San Diego. 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 ofthe Water Authority.The Water Authority is a member public agency ofMetropolitan.The statutory relationships between the Water Authority and its member agencies,and Metropolitan and its member agencies,respectively, establish the scope ofthe Otay WD entitlement to water from these two agencies. 20 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community 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 ofits potable water.The Water Authority in turn,currently purchases the majority ofits water from Metropolitan.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 ofthe Water Authority and Metropolitan.The Otay WD,Water Authority,and Metropolitan are actively pursuing programs and projects to diversify their water supply resources. The description oflocal recycled water supplies available to the Otay WD is also discussed below. 6.1 Metropolitan Water District of Southern Califomia 2005 Regional Urban Water Management Plan In November 2005,Metropolitan adopted its 2005 Regional Urban Water Management Plan (RUWMP).The 2005 RUWMP provides Metropolitan's member agencies,retail water utilities,cities,and counties within its service area with,among other things,a detailed evaluation ofthe supplies necessary to meet future demands,and an evaluation ofreasonable and practical efficient water uses,recycling,and conservation activities.During the preparation ofthe 2005 RUWMP,Metropolitan also utilized the current SANDAG regional growth forecast in calculating regional water demands for the Water Authority service area. 6.1.1 Availability ofSufficient Supplies and Plans for Acquiring Additional Supplies Metropolitan is a wholesale supplier ofwater to its member public agencies and obtains its supplies from two primary sources:the Colorado River,viathe Colorado River Aqueduct (CRA),which it owns and operates,and Northern California,via the State Water Project (SWP).The 2005 RUWMP documents the availability of these existing supplies and additional supplies necessary to meet future demands. 6.1.1.1 Metropolitan Supplies Metropolitan's Integrated Resources Plan (IRP)identifies a mix ofresources (imported and local)that,when implemented,will provide 100 percent reliability for full-service demands through the attainment ofregional targets set for conservation,local supplies,State Water Project supplies,Colorado River supplies,groundwater banking,and watertransfers.The 2004 update to the IRP (2004 IRP Update)includes a planning buffer supply intended to mitigate against the risks associated with implementation oflocal and imported supply programs.The planning buffer identifies an additional increment ofwater that could potentially be developed ifother supplies are not implemented as planned.As part of implementation ofthe planning buffer,Metropolitan periodically evaluates supply development to ensure that the region is not under or over-developing supplies.Managed 21 Otay Water District Water SupplyAssessment and Verification Report Otay Ranch Preserve andResort Community 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 2005,Metropolitan adopted its 2005 RUWMP in accordance with state law. The resource targets included in the 2004 IRP Update serve as the foundation for the planning assumptions used in the 2005 RUWMP.Metropolitan's 2005 RUWMP contains a water supply reliability assessment that includes a detailed evaluation ofthe supplies necessary to meet demands over a 25-year period in average,single dry year,and multiple dry year periods.As part ofthis process,Metropolitan also uses the current SANDAG regional growth forecast in calculating regional water demands for the Water Authority's service area. As stated in Metropolitan's 2005 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 2010.The 2005 RUWMP includes a "Justifications for Supply Projections"in Appendix A.3,that provides detailed documentation ofthe planning,legal,financial,and regulatory basis for including each source ofsupply in the plan.A copy ofMetropolitan's 2005 RUWMP can be found on the World Wide Web at the following site address: www.mwdh20.com/mwdh20/pages/yourwater/RUWMP/RUWMP_2005.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 Metropolitan,along with Otay WD nevertheless fully intend to have sufficient,reliable supplies to serve demands. 6.1.1.2 Pipeline 6 Metropolitan completed its System Overview Study (SOS)in fall 2005.The SOS determines ifMetropolitan's current system is capable ofdelivering the supplies to meet the demands shown in its 2004 IRP Update. Pipeline 6 is included in the SOS as an untreated water pipeline to deliver additional Metropolitan supplies to the San Diego County region.The addition ofPipeline 6 would allow the Water Authority and Metropolitan to convert one of the existing untreated water pipelines to a treated water pipeline.With the conversion,the capacity to import both treated and untreated water would increase significantly,thereby enabling Metropolitan to increase both treated and untreated imported water delivery capacity to the San Diego County region. Based on current planning assumptions ofthe Water Authority and Metropolitan,new imported supplies delivered though Pipeline 6 would be required no earlier than 2018,absent development ofnew supplies from seawater desalination or some combination ofnew local supplies,totaling 56,000 ac-ft/yr (see Section 6.2.1 below).With development of56,000 ac- ft/yr,Pipeline 6 would not be needed until 2023.Based on a nine-year lead time requested by 22 Otay Water District Water Supply Assessment and Verification Report OtayRanch Preserve andResort Community Metropolitan,a decision to proceed with Pipeline 6 would need to be communicated to Metropolitan by 2009.Activities associated with implementation ofPipeline 6 include the following: •Coordination between Metropolitan and the Water Authority regarding planning and design ofPipeline 6 is ongoing. •An alignment for the entire approximately 30-mile pipeline was identified in the original 1993 Environmental Impact Report.Metropolitan is conducting a feasibility study to revisit the 1993 alignment and evaluate alternative alignments north ofthe San Luis Rey River in light ofchanged conditions since 1993.The Water Authority plans to conduct a similar feasibility study ofPipeline 6 alignments south ofthe San Luis Rey River.Based on these updated feasibility studies,an updated environmental analysis for the project is also planned. 6.1.2 Metropolitan Capital Investment Plan As part ofMetropolitan's annual budget approval process,a Capital Investment Plan is prepared.The cost,purpose,justification,status,progress,etc.ofMetropolitan's infrastructure projects to deliver existing and future supplies are documented in the Capital Investment Plan.The financing ofthese projects is addressed as part ofthe annual budget approval process. Metropolitan's Capital Investment Plan includes a series ofprojects identified from Metropolitan studies ofprojected 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 ofcriteria to ensure they are aligned with the Metropolitan'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 ofrecent actions pertaining to development ofthese supplies includes: •In accordance with the Urban Water Management Planning Act,the Water Authority adopted their 2005 UWMP in November 2005 and updated the 2005 UWMP in April 2007 that identifies a diverse mix oflocal and imported water supplies to meet future demands.A copy ofthe updated Water Authority 2005 UWMP can be found on the World Wide Web at www.sdcwa.org. 23 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community •Deliveries of conserved agricultural water from the Imperial Irrigation District (lID)to San Diego County have increased annually since 2003,with 35,000 ac-ft of deliveries in Fiscal Year (FY)2006. •As part ofthe October 2003 Quantification Settlement Agreement (QSA),the Water Authority was assigned Metropolitan's rights to 77,700 ac-ft/yr of conserved water from the All-American Canal (AAC)and Coachella Canal (CC)lining projects.The Water Authority has begun implementation ofthese projects,with the CC project now complete and deliveries being made to the San Diego County region. Through implementation ofthe Water Authority and member agency planned supply projects, along with reliable imported water supplies from Metropolitan,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 ofthe 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 Metropolitan,conserved water from the CC lining project,and an increasing amount ofconserved agricultural water from lID.Ofthe twenty-seven member agencies that purchase water supplies from Metropolitan, the Water Authority is Metropolitan's largest customer.In FY 2006,the Water Authority purchased 577,944 ac-ft from Metropolitan,an increase of approximately 4,000 ac-ft over the FY 2005 amount. Section 135 ofMetropolitan's Act defines the preferential right to water for each of its member agencies.As calculated by Metropolitan,the Water Authority's FY 2006 preferential right is 16.46%of Metropolitan's supply,while the Water Authority accounted for approximately 25%ofMetropolitan's water sales.Under preferential rights,Metropolitan could allocate water without regard to historic water purchases or dependence on Metropolitan.The Water Authority and its member agencies are taking measures to reduce dependence on Metropolitan through development ofadditional supplies and a water supply portfolio that would not be jeopardized by a preferential rights allocation.Metropolitan has stated,consistent with Section 4202 ofits Administrative Code that it is prepared to provide the Water Authority's service area with adequate supplies ofwater to meet expanding and increasing needs in the years ahead.When and as additional water resources are required to meet increasing needs,Metropolitan stated it will be prepared to deliver such supplies.In Section 11.4 oftheir 2005 RUWMP,Metropolitan states that through effective management of 24 Otay Water District Water Supply Assessment and Verification Report Otay RanchPreserve andResort Community its water supply,they fully expect to be 100 percent reliable in meeting all non-discounted non-interruptible demands throughout the next twenty-five years. The Water Authority has made large investments in Metropolitan's facilities and will continue to include imported supplies from Metropolitan in the future resource mix.As discussed in the Water Authority's 2005 UWMP,the Water Authority and its member agencies are planning to diversifY the San Diego regions supply portfolio and reduce purchases from Metropolitan. As part ofthe Water Authority's diversification efforts,the Water Authority is now taking delivery ofconserved agricultural water from lID and water saved from the CC lining project. The Water Authority is currently implementing the AAC lining projects.Table 6 summarizes the planned yields from these supply projects,with detailed information included in the sections to follow.Deliveries from Metropolitan 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 ofthe Water Authority's 2005 UWMP. Table 6 Projected Vetifiable Water Supplies -Water AuthOlity Service Area Normal Year (acre feet) ";.....".,"";,,,,,,"D,'" ",';.0.,,,,,;.0.....,;,,.,i ',," "";1,(; Water Authority Supplies Metropolitan Supplies 445,858 399,855 331,374 342,870 372,922 Water AuthorityIIID Transfer 70,000 100,000 190,000 200,000 200,000 AAC and CC Lining Proiects 77,700 77,700 77,700 77,700 77,700 Member Al!ency Supplies Local Surface Water 59,649 59,649 59,649 59,649 59,649 Recycled Water 33,668 40,662 45,548 46,492 47,584 Seawater Desalination 0 34,689 36,064 37,754 40,000 Groundwater 17,175 18,945 19,775 19,775 19,775 Groundwater Recovery 11,400 11,400 11,400 11,400 11,400 Total Projected Supplies 715,450 742,900 771,510 795,640 829,030 Source:The Water Authonty 2005 Urban Water Management Plan. Section 5 ofthe Water Authority's 2005 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.Poseidon Resources is pursuing the development ofa local,privately owned desalination project located adjacent to the Encina Power Station.As ofJune 2007,Poseidon has contracted with the Carlsbad Municipal Water District (MWD)(up to 28,000 ac-ft/yr depending on demands),Valley Center MWD (7,500 ac-ft/yr),Rincon Del Diablo MWD (4,000 ac-ft/yr),and Sweetwater Authority (2,400 25 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community ac-ft/yr)to supply up to 41,900 ac-ft/yr ofdesalinated seawater.The verifiable seawater desalination figure is based on the contract amounts and projected seawater desalination deliveries to Carlsbad MWD.As shown in Table 6,the verifiable projected local seawater desalination supplies vary each year based on the Carlsbad MWD demands (which are less than their desalinated seawater contract amount of28,000 ac-ft/yr).There are several contingencies related to Poseidon's agreements with these member agencies that must be satisfied before implementation of the project and its ultimate yield can be detennined.These contingencies include obtaining legal entitlements for construction ofthe project, determination ofa mutually acceptable delivery interconnection points and delivery charge, and engagement of a third party exchange agency partner where physical delivery to the contracting agency is not practical. No large-scale seawater desalination facility has ever been fully pennitted and constructed in California.Perhaps the most significant issue facing this desalination project as well as others proposed along the California coastline is the ability to pennit the facility,including obtaining a Coastal Development Pennit from the California Coastal Commission.This project must also secure arrangements for the delivery ofproduct water from the facility to the local water agencies.These arrangements are currently in the planning stage. The Water Authority's existing and planned supplies from the lID transfer and canal lining projects are considered "drought-proof'supplies and should be available at the yields shown in Table 6 in normal,single dry,and multi dry year scenarios.For dry year yields from Metropolitan supplies,refer to Metropolitan's 2005 RUWMP,discussed in Section 6.1 above. As part ofpreparation ofa written water supply assessment and/or verification report,an agency's shortage contingency analysis should be considered in determining sufficiency of supply.Section 9 ofthe Water Authority's 2005 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,completed in May 2006,provides the Water Authority and its member agencies with a series ofpotential actions to take when faced with a shortage ofimported water supplies from Metropolitan 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 ofsupplies. 6.2.1.1 Water Authority-Imperial Irr-igation District Water Conservation and Transfer Agreement The QSA was signed in October 2003,and resolves long-standing disputes regarding priority and use ofColorado River water and creates a baseline for implementing water transfers.With approval ofthe QSA,the Water Authority and lID were able to implementtheirWater Conservation and Transfer Agreement.This agreement not only provides reliability for the San 26 Otay Water District Water SupplyAssessment and Verification Report Otay Ranch Preserve andResort Community Diego region,but also assists California in reducing its use ofColorado River water to its legal allocation. On April 29,1998,the Water Authority signed a historic agreement with lID for the long-term transfer ofconserved Colorado River water to San Diego County.The Water Authority-lID 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 lID 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 ofthe QSA and related agreements.Italso modified other aspects ofthe agreement to lessen the environmental impacts ofthe transfer of conserved water.The amendment was expressly contingent on the approval and implementation ofthe QSA,which was also executed on October 10,2003. On November 5,2003,lID 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 ofthe QSA,the water transfer,and related agreements.The lawsuits have been coordinated for trial.The lID,Coachella Valley Water District,Metropolitan,the Water Authority,and State are defending these suits and coordinating to seek validation ofthe contracts.Implementation ofthe transfer provisions is proceeding during litigation.For further information regarding the litigation and current progress,please contact the Water Authority's General Counsel. Expected Supply Deliveries into San Diego County from the transfer began in 2003 with an initial transfer of 10,000 ac-ft.The Water Authority received 20,000 ac-ft in 2004,30,000 in 2005,and 40,000 in 2006.The quantities will increase annually to 200,000 ac-ft by 2021 then remain fixed for the duration ofthe Transfer Agreement.The initial term ofthe 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 lID Colorado River rights,which are among the most senior in the Lower Colorado River Basin.Without the protection ofthese rights,the Water Authority could suffer delivery cutbacks.In recognition for the value ofsuch reliability,the 1998 contract required the Water Authority to pay a premium on transfer water under defmed regional shortage circumstances. The shortage premium period duration is the period ofconsecutive days during which any ofthe 27 Otay Water District Water SupplyAssessment and Verification Report Otay Ranch Preserve andResort Community 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 ofthe October 2003 amendment,the shortage premium will not be included in the cost formula until AgreementYear 16. Transportation The Water Authority entered into a water exchange agreement with Metropolitan on October 10, 2003,to transport the Water Authority-lID transfer water from the Colorado River to San Diego County.Under the exchange agreement,Metropolitan will take delivery ofthe transfer water through its Colorado River Aqueduct.In exchange,Metropolitan will deliver to the Water Authority a like quantity and quality ofwater.The Water Authority will pay Metropolitan's applicable wheeling rate for each acre-foot ofexchange water delivered.According to the water exchange agreement,Metropolitan will make delivery ofthe transfer water for 35 years,unless the Water Authority elects to extend the agreement another 10 years for a total of45 years. Cost/Financing The costs associated with the transfer are proposed to be financed through the Water Authority's rates and charges.In the agreement between the Water Authority and lID,the price for the transfer water started at $258 per acre-foot and increases by a set amount for the first five years.The 2005 price for transfer water is $276 per acre-foot.Procedures are in place to evaluate and determine market-based rates following the first five-year period. In accordance with the October 2003 amended exchange agreement between Metropolitan and the Water Authority,the initial cost to transport the conserved water was $253 per acre- foot.Thereafter,the price would be equal to the charge or charges set by Metropolitan's Board ofDirectors pursuant to applicable laws and regulation,and generally applicable to the conveyance of water by Metropolitan on behalf of its member agencies.The transportation charge in 2005 is $258 per acre-foot. The Water Authority is providing $10 million to help offset potential socioeconomic impacts associated with temporary land fallowing.lID will credit the Water Authority for these funds during years 16 through 45.At the end ofthe fifth year ofthe transfer agreement (2007),the Water Authority will prepay lID an additional $10 million for future deliveries ofwater.lID will credit the Water Authority for this up-front payment during years 16 through 30. As part ofimplementation ofthe QSA and water transfer,the Water Authority also entered into an environmental cost sharing agreement.The agreement specifies that the Water Authority will contribute $64 million for the purpose of funding environmental mitigation costs and contributing to the Salton Sea Restoration Fund. 28 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community 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 lID and the Water Authority (April 29,1998).This Agreement provides for a market-based transaction in which the Water Authority would pay lID a unit price for agricultural water conserved by lID and transferred to the Water Authority. Revised Fourth Amendment to Agreement between lID 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 ofthe transfer ofconserved water to the Water Authority. Amended and Restated Agreement between Metropolitan and Water Authority for the Exchange ofWater (October 10,2003).This agreement was executed pursuant to the QSA and provides for delivery ofthe transfer water to the Water Authority. Environmental Cost Sharing,Funding,and Habitat Conservation Plan Development Agreement among lID,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 ofthe QSA,and for development of a Habitat Conservation Plan. Quantification Settlement Agreement Joint Powers Authority Creation and Funding Agreement (October 10,2003).The purpose ofthis agreement is to create and fund the QSA Joint Powers Authority and to establish the limits ofthe funding obligation ofCVWD,lID, and Water Authority for environmental mitigation and Salton Sea restoration pursuant to SB 654 (Machado). Federal,State,andLocalPermits/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 lID and WaterAuthority's amended joint petition for approval ofa long- term transfer ofconserved water from lID to the Water Authority and to change the point of diversion,place ofuse,and purpose ofuse under Permit 7643. 29 Otay Water District Water Supply Assessment and Verification Report OtayRanch Preserve andResort Community Environmental Impact Report (EIR)for Conservation and Transfer Agreement.As lead agency, lID certified the Final EIRfor the Conservation and Transfer Agreement on June 28,2002. u.S.Fish and Wildlife Service Draft Biological Opinion and Incidental Take Statement onthe Bureau ofReclamation's VoluntaIy Fish and Wildlife Conservation Measures and Associated Conservation Agreements with the California Water Agencies 02/18/02).The U.S.Fish and Wildlife Service issued the biological opinion/incidental take statement for water transfer activities involving the Bureau ofReclamation and associated with lID/other California water agencies'actions on listed species in the Imperial Valley and Salton Sea (perthe June 28,2002 EIR). Addendum to EIR for Conservation and Transfer Agreement.lID 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 ofDecision on the EIS in October 2003. CA Department ofFish and Game California Endangered Species Act Incidental Take Permit #2081-2003-024-006).The California Department ofFish and Game issued this permit (10/22/04)for potential take effects on state-listed/fully protected species associated with lID/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 ofFish and Game (CDFG)on April 4,2005,providing incidental take authorization for potential species impacts on the Colorado River. 6.2.1.2 AII-Amelican Canal and Coachella Canal Lining Projects As part ofthe QSA and related contracts,the Water Authority was assigned Metropolitan's rights to 77,700 ac-ft/yr ofconserved water from projects that will line the All-American Canal (AAC)and Coachella Canal (CC).The projects will reduce the loss ofwater 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 11 O-year life ofthe agreement. Implementation Status Earthwork for the Coachella Canal lining project began inNovember 2004 and involves approximately 37 rniles ofcanal.National Environmental Policy Act (NEPA)and CEQA documentation is complete,including an amended Record ofDecision by the U.S.Bureau of Reclamation (USBR).The amendment was required after revising the project design:instead oflining the canal in place,the project entailed the construction ofa parallel canal.The project was completed in 2006,and deliveries ofconserved water started in 2007. 30 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community Preliminary design-related activities have begun on the AAC lining project,including ground and aerial surveying,mapping cultural resources,and geotechnical investigations.The lining project consists of constructing a concrete-lined canal parallel to 24 miles ofthe existing AAC from Pilot Knob to Drop 3.NEPA and CEQA documentation is complete,environmental mitigation measures have been identified,and Endangered Species Act consultations are pending.Construction ofthe project has begun and construction is expected to be complete in 2010. In July 2005,a lawsuit (CDEMv United States,Case No.CV-S-05-0870-KJD-PAL)was filed in the U.S.District Court for the District ofNevada on behalfof U.S.and Mexican groups challenging the lining ofthe AAC.The lawsuit,which names the Secretary ofthe 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 ofCalifornia's Colorado River allocation and not part ofMexico'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 will yield 67,700 acre-feet per year ofColorado River water for allocation upon completion of construction.The CC lining project will yield 26,000 acre-feet ofColorado River water each year available for allocation upon completion ofconstruction. The October 10,2003,Allocation Agreement states that 16,000 acre-feet per year of conserved CC lining water will be allocated to the San Luis Rey Indian Water Rights Settlement Parties.The remaining amount,10,000 acre-feet peryear from the CC lining conserved water plus the 67,700 acre-feet per year AAC lining conserved water totaling 77,700 acre-feet per year,will be available to the Water Authority.According to the Allocation Agreement,110 has call rights to a portion (5,000 acre-feet per year)ofthe conserved water upon termination ofthe QSA for the remainder ofthe 110 years ofthe Allocation Agreement and upon satisfying certain conditions.The term ofthe QSA is for up to 75 years. Transportation The October 10,2003,Exchange Agreement between the Water Authority and Metropolitan also provides for the delivery ofthe conserved water from the canal lining projects.The Water Authority will pay Metropolitan's applicable wheeling rate for each acre-foot of exchange water delivered.In the Agreement,Metropolitan will deliver the canal lining water for the term ofthe Allocation Agreement (110 years). 31 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community Cost/Financing Under California Water Code Section 12560 et seq.,the Water Authority will receive $200 million in state funds for construction ofthe projects.In addition,under California Water Code Section 79567,$20 million from Proposition 50 is also available for the lining projects. Additionally,the Water Authority will receive $35 million for groundwater conjunctive use projects as part ofthe agreement.The Water Authority would be 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 Metropolitan's Board ofDirectors pursuant to applicable law and regulation and generally applicable to the conveyance of water by Metropolitan on behalfofits member agencies. In accordance with the Allocation Agreement,the Water Authority will also be responsible for a portion ofthe 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 ofthe 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. CalifomiaDepartment ofWaterResources -Metropolitan Funding Agreement (200n Reimburse Metropolitan for project work necessary to construct the lining ofthe CC in an amount not to exceed $74 million.Modified by First Amendment (2004)to replace Metropolitan with the Authority.Modified by Second Amendment (2004)to increase funding amount to $83.65 million,with addition offunds from Proposition 50. Califomia Department ofWater Resources -lID Funding Agreement (200n Reimburse lID for project work necessary to construct a lined AAC in an amount not to exceed $126 million. Metropolitan -CVWD Assignment and Delegation ofDesign Obligations Agreement (2002). Assigns design ofthe CC lining project to CVWD. Metropolitan -CVWD Financial Arrangements Agreement for Design Obligations (2002). Obligates Metropolitan to advance funds to CVWD to cover costs for CC lining project design and CVWD to invoice Metropolitan to permit the Department ofWater Resources to be billed for work completed. 32 Dtay Water District Water Supply Assessment and Verification Report Dtay Ranch Preserve andResort Community Allocation Agreement among the United States ofAmerica,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 ofMission Indians,the San Luis Rey River Indian Water Authority,the City ofEscondido,and Vista Irrigation District <October 10,2003).This agreement includes assignment ofMetropolitan's rights and interest in delivery of77,700 acre-feet ofColorado River water previously intended to be delivered to Metropolitan 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 lID,ifit exercises its call rights. Amended and Restated Agreement between Metropolitan and Water Authority for the Exchange ofWater <October 10,2003).This agreement was executed pursuant to the QSA and provides for delivery ofthe conserved canal lining water to the Water Authority. Agreement between Metropolitan and Water Authority regarding Assignment ofAgreements related to the AAC and CC Lining Projects.This agreement was executed in April 2004 and assigns Metropolitan's rights to the Water Authority for agreements that had been executed to facilitate funding and construction ofthe AAC and CC lining projects: Assignment and Delegation ofConstruction Obligations for the Coachella Canal Lining Project under the Department ofWater 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 ofReclamation,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 ofPublic Law 100-675, dated October 19,2004. California Water Code Section 12560 et seq.This Water Code Section provides for $200 rnillion to be appropriated to the Department ofWater Resources to help fund the canal lining projects in furtherance ofimplementing California's Colorado River Water Use Plan. California Water Code Section 79567.This Water Code Section identifies $20 rnillion as available for appropriation by the California Legislature from the Water Security,Clean Drinking Water,Coastal,and Beach Protection Fund of2002 (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 ofthe agencies that those funds will be available for use by the Water Authority,lID,or CVWD for the AAC and CC lining projects. 33 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community California Public Resources Code Section 75050(b)(l).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,andLocal Permits/Approvals AAC Lining Project Final EIS/EIR (March 1994).A final EIR/EIS analyzing the potential impacts oflining the AAC was completed by the Bureau ofReclamation (Reclamation)in March 1994.A Record ofDecision was signed by Reclamation in July 1994,implementing the preferred alternative for lining the AAC.A re-examination and analysis ofthese environmental compliance documents by Reclamation in November 1999 determined that these documents continued to meet the requirements ofthe NEPA and the CEQA and would be valid in the future. CC Lining Project Final EIS/EIR (ApriI200n.The final EIRIEIS for the CC lining project was completed in 2001.Reclamation signed the Record ofDecision in April 2002.An amended Record ofDecision 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 ofReclamation (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 lID). Addendum to Final EIS/EIR and Amendment to Environmental Commitment Plan for the All-American Canal Lining Project (approved June 27,2006,by lID Board ofDirectors). 6.2.2 Water AuthOlity Capital Improvement Program and Financial Information The Water Authority's capital improvement program (CIP)budget document includes a description of each ofthe projects and programs being implemented to ensure existing and future facilities are adequate to deliver water supplies throughout the region.The project costs,along with information on the activities that need to be completed,are included in the CIP document.The Water Authority's Master Plan identifies future facilities and other improvements to the Water Authority's system that are necessary to maintain reliability throughout the region.A programmatic environmental impact report was certified by the Water Authority Board ofDirectors for the Master Plan in November 2003.Projects identified in the Master Plan will be included in the CIP based on Water Authority Board of Directors'approval.Information on the Water Authority's most recent CIP can be found on the World Wide Web at www.sdcwa.org/infra/cip.phtml. 34 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community One ofthe highest priority projects identified in the Master Plan is the development of additional treatment capacity within the region.During recent summers,the Water Authority experienced peak-demand conditions that have exceeded the region's rated treatment capacity.The Master Plan recommended development of an additional 50 mgd oftreatment capacity immediately and another 50 mgd capacity by 2010.In response to this recommendation,the Water Authority board ofdirectors in September 2005,approved construction ofa 100 mgd water treatment plant.The water treatment plant was completed and placed into operation in 2008.For the near-term,the Water Authority and its member agencies implemented short-term conservation programs and operational procedures to ensure adequate supplies during peak summer periods. The Master Plan also identified carryover storage as a way to improve water supply reliability for the region.The Water Authority identified the three main benefits ofcarryover storage as: 1)enhance water supply reliability by providing a reliable and readily available source of water during periods ofpotential shortage,such as during dry years;2)increase system efficiency by providing operational flexibility to serve above normal demands,such as those occurring in dry years,from storage rather than by the over-sizing ofthe Water Authority's imported water transmission facilities;and 3)better management of water supplies to allow the Water Authority to accept additional imported deliveries during periods ofavailability, such as during wet years,to ensure water availability during dry years.The Water Authority prepared an EIRIEIS for a carryover storage project,with the preferred alternative being an expansion ofthe San Vicente Reservoir. The Water Authority Board ofDirectors is provided a semi-annual and annual report on the status ofdevelopment ofthe elP projects.As described in the Water Authority's biennial budget,a combination oflong 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 2002 Water Resources Master Plan and revised 2005 Urban Water Management Plan contain comparisons ofprojected supply and demands through the year 2030.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 wastewatertreatment plants.The Otay WD currently has no local supply of raw water, potable water,or groundwater resources. The development and/or acquisition ofpotential 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 35 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community Metropolitan UWMP,IRP,Master Plans,and other planning documents.These new additional water supply projects are not currently developed and are in various stages ofthe 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 ofthe market areas for the use ofrecycled water within the watersheds upstream ofthe Sweetwater Reservoir 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 ofpotential groundwater,recycled water market expansion,and seawater desalination supplies by the Otay WD. 6.3.1 Availability ofSufficient Supplies and Plans for Acquiring Additional Supplies The availability ofsufficient potable water supplies and plans for acquiring additional potable water supplies to serve existing and future demands ofthe Otay WD is founded upon the preceding discussions regarding Metropolitan'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 Recycling 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 ofabout 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 ofrecycled 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 ofoperations ofthe transmission, storage,and pump station systems necessary to link the SBWRP recycled water supply source to the existing Otay WD recycled water system. 36 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community Table 7 Historic Imported and Local Water Supplies Otay Water District 1980 12,558 1985 1~529 1990 23,200 1995 20,922 2000 30,936 2005 40,322 Source:Otay WD operational records. 6.3.1.1 Imported and Regional Supplies o o o 614 948 1,227 12,558 14,529 23,200 21,536 31,884 41,549 The availability ofsufficient imported and regional potable water supplies to serve existing and planned uses within atay WD is demonstrated in the above discussion on Metropolitan and the Water Authority's water supply reliability.The COlUlty 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 ofwater to meet their expanding and increasing needs."The Water Authority provides between 75 to 95 percent ofthe total supplies used by its 24 member agencies,depending on local weather and supply conditions.In calendar year 2006 the atay WD received delivery ofabout 41,700 ac-ft ofsupply from the Water Authority,which includes the potable water supplement for the recycled water system supply needs.The demand for potable water within the atay WD is expected to increase to about 72,900 ac-ft by 2025 as per the atay WD 2005 UWMP.These figures take into account the amount oflocal supply (i.e.groundwater,conservation,recycling,etc.)that is expected to meet demands within atay WD service area. Potable Water System Facilities The atay WD continues to pursue diversification ofits water supply resources to increase reliability and flexibility.The atay 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 atay 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 ofSan Diego,known as the atay Water Treatment Plant (WTP)Agreement.The atay WTP Agreement provides for raw water purchase from the Water Authority and treatment by the City ofSan Diego at their atay WTP for delivery to atay WD.The supply system link to implement the atay WTP Agreement to access the regions raw water supply system and the local water 37 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community treatment plant became fully operational in August 2005.This supply link consists ofthe 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 oftreated water under the Otay WTP Agreement is contingent upon there being available 10 mgd ofsurplus treatment capacity in the Otay WTP until such time as Otay WD pays the City ofSan Diego to expand the Otay WTP to meet the Otay WDfuture needs.In the event that the City ofSan Diego's surplus is projected to be less than 10 mgd the City ofSan Diego will consider and not unreasonably refuse the expansion ofthe 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 ofSan Diego's typical demand for treated water from the Otay WTP is approximately 20 mgd.Itis at the City ofSan 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 ofraw 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 currently under development to access the regions raw water supply system and the local water treatment plant.This supply link consists ofthe 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 necessary supply link facilities are in various stages ofdevelopment from design to facilities that are currently under construction.The required supply link facilities are scheduled to be fully operational by March 2010..The Otay WD is required to take a minimum of 10,000 ac-ftiyr oftreated water from the RM.Levy WTP supplied from the regions raw water system Cost andFinancing The capital improvement costs associated with water supply and delivery are financed through the Otay WD water meter capacity fee and user rate structures.The Otay WD potable water sales revenue are used to pay for the wholesale cost ofthe treated water supply and the operating and maintenance expenses ofthe potable water system facilities. Written Agreements,Contracts,or Other Proof The supply and cost associated with deliveries oftreated water from the Otay WTP and the RM. Levy WTP is based on the following documents. Agreement for the Purchase ofTreated Water from the Otay Water Treatment Plant between the City of San Diego and the Omy Water District.The Otay WD entered into an agreement dated January 11,1999 with the City ofSan Diego that provides for 10 mgd ofsurplus treated water to 38 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community 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 ofSan Diego at a rate equal to the actual cost oftreatment to potable water standards. Agreement between the San Diego County Water Authority and Otay Water District Regarding Implementation ofthe East County Regional Treated Water Improvement Program.The ECRTWlP Agreement requires the purchase ofat least 10,000 ac-ft per year ofpotable water from the Helix WD RM.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 ofthe Omy 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 ofthe Otay 14 Flow Control Facility.TheWater Authority and Otay WD to 50%share the capital cost to expand its capacity from 8 mgd to 16 mgd. Federal,State,andLocal Permits/Approvals The Otay WD has acquired all the permits for the construction ofthe 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 ECRTWlP Agreement through the typical planning,environmental approval,design,and construction processes. Preliminary design-related activities have begun on the transmission main and Otay 14 Flow Control Facility associated with the ECRTWIP Agreement,including ground and aerial surveying,mapping cultural resources,and other environmental documentation investigations. The transmission main project consists of constructing about 26,000 feet ofa 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 consists ofincreasing the capacity ofthe existing systems from 8 mgd to 16 mgd.CEQA documentation has been prepared and is complete for both projects.Construction ofboth ofthese projects is expected to be complete prior to January 2010. The City ofSan Diego and the HelixWater 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 RM.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 ofthe Sweetwater Reservoir and downstream of 39 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community 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 Recycling Facility,which produces recycled water treated to a tertiary level for landscape irrigation purposes.The recycled water market area ofthe Otay WD is located primarily within the eastern area ofthe City ofChulaVista 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 about 6,294 ac-ft/yr by 2025 and are estimated to approach 10,000 ac-ft/yr at ultimate build out. About 1,300 ac-ft/yr ofsupply is generated by the RWCWRF,with the remainder planned to be supplied to Otay WD by the City ofSan Diego's SBWRP. North District Recycled Water Concept The Otay WD is a recognized leader in the use ofrecycled 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 ofthe service area designated as the North District,located within the Middle Sweetwater River Basin watershed upstream ofthe Sweetwater River.The close proximity ofthe 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 ofthe Otay WD's recycled water system and market area. The purpose ofthe North District Recycled Water System Development Project,Phase I Concept Study,is to identify the feasibility ofusing recycled water in the North District and to investigate and assess any limitations or constraints to its use.The Phase I study components ofthe North District Recycled Water Concept encompassed the preparation of six technical memorandums including the project definition,a discussion ofthe regulatory process,a discussion ofthe protection ofthe watershed that would be affected by recycled water use in the North District,identification ofstakeholders,public outreach,and an implementation plan. Several opportunities that could be realized with the implementation ofthe use ofrecycled 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 40 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community effluent limitations for the recycled water produced at the RWCWRF.At this time,the effluent limit that is ofconcern 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 ofthe 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 ofthe issues identified in Phase I as requiring further study.These include stakeholder outreach,regulatory issues,and facility planning.The third phase ofthe effort would include the facility planning,permitting, environmental compliance,design,and construction ofthe improvements necessary for delivery ofrecycled water to the North District markets. The estimated amount ofimported water saved at full implementation ofthe North District Recycled Water System Development Project is 1,200 ac-ft/yr.This saved imported water could than 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 ofa transmission main,storage reservoir,and a pump station to receive and transport the recycled water from the City ofSan 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 Metropolitan and the Water Authority's recycled water sales incentive programs are used to help offset the costs for the wholesale purchase and production ofthe recycled water supply,the operating and maintenance expenses,and the capital costs ofthe recycled water system facilities. Written Agreements,Contracts,or Other Proof The supply and cost associated with deliveries ofrecycled water from the SBWRP is based on the following document. Agreement between the Otay Water District and the City ofSan Diego for Purchase of Reclaimed Water from the South Bay Water Reclamation Plant.The agreement provides for the purchase ofat least 6,721 ac-ft per year ofrecycled water from the SBWRP at an initial price of 41 Otay Water District Water Supply Assessmentand Verification Report Otay Ranch Preserve andResort Community $350 per acre-foot.The Otay WD Board ofDirectors approved the fmal agreement on June 4, 2003 and the San Diego City Council approved the final agreement on October 20,2003. Federal,State,andLocalPermits/Approvals The Otay WD has in place an agreement with Metropolitan 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 ofthe 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 ofrecycled water in the Otay WD service area.The order includes the use oftertiary treated water produced and received from the City ofSan 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 ofSan 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 Groundwate.·Supplies The Otay WD 2005 UWMP and the Otay WD March 2007 Integrated Water Resources Plan (2007 IRP)both contain a description ofthe development ofpotential 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 ofpotential 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 ofindependence ofthe regional wholesale water agencies,and diversify the Otay WD's water supply portfolio consistent the Otay WD 2007 IRP. 42 Otay Water District Water SupplyAssessment andVerification Report Otay Ranch Preserve andResortCommunity Also,proposed land use development projects to be served by the Otay WD,such as the Resort project,that are not currently within the jurisdictions ofWater Authority and the Metropolitan,will likely be required,as a condition of annexation,to be supplied by alternative water resources to 100%offset their projected potable water supply requirements. In recognition ofthe need to develop sufficient alternative water supplies,the Otay WD is planning to take the next step towards development of production groundwater well projects. There are four 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,the Rancho del Rey Groundwater Well,and the Otay River Groundwater Well Desalination projecl. Middle Sweetwater River Basin Groundwater Well The Middle Sweetwater River Basin Groundwater Well is a new additional water supply project had been thorougWy studied and documented in the 1990's.The Middle Sweetwater River Basin is located within the Sweetwater River watershed and is that reach ofthe river from Sweetwater Reservoir to the upstream Loveland Reservoir.The next step in development ofthe Middle Sweetwater River Basin Groundwater Well is the implementation ofa pilot well projecl. The Otay WD in cooperation with Sweetwater Authority and the Water Authority prepared a water resources audit for the Middle Sweetwater River Groundwater Basin in June 1991.The document was prepared by NBS Lowry and is entitled "Middle Sweetwater River System Study Water Resources Audit".The report was prepared as part ofan overall study to identify and evaluate water management alternatives within the Middle Sweetwater River System (MSRS).The report graphically summaries water resources data for the MSRS. The Otay WD in cooperation with Sweetwater Authority and the Water Authority prepared an alternatives evaluation study ofthe Middle Sweetwater River System Study Water Resources Audit in May 1993.The document was prepared by Michael R.Welch and is entitled "Middle Sweetwater River System Study Alternatives Evaluation".The overall goal ofthe study was to identify physical projects and/or management strategies which could enhance the availability and quality ofsurface and ground waters within the MSRS. The Otay WD prepared potential conjunctive use strategies for the Middle Sweetwater River Basin in September 1994.A report was prepared by Michael R.Welch and is entitled "Middle Sweetwater River Basin Conjunctive Use Alternatives".The report was prepared for the consideration ofthe Otay WD and Sweetwater Authority.The conceptual level planning information within report identifies and evaluates eight conjunctive use alternatives within the Middle Sweetwater River Basin. 43 Otay Water District Water SupplyAssessmentand Verification Report Otay Ranch Preserve andResort Community The ultimate objective ofthe Otay WD is to develop a groundwater well production system within the Middle Sweetwater River Basin capable ofproducing a sustainable yield ofpotable water as a local supply. The purpose ofthe Middle Sweetwater River Basin Groundwater Well Pilot project is to identifY the feasibility ofdeveloping a groundwater resource production system and to determine and assess any limitations or constraints that may arise. The Middle Sweetwater River Basin Groundwater Well Pilot Project scope ofwork will accomplish six primary goals as follows: •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 ofpotable water •Prepare groundwater well production project implementation plan and scope of work The groundwater conjunctive use concept planned to be developed is described as the extraction ofthe quantity ofwater from the groundwater basin that was placed there by customers ofthe Otay WD by means oftheir use ofimported treated water that contributed to the overall volume ofgroundwater within the basin.This quantity has been estimated to be on the order of 12.5%ofthe total consumption ofthe Otay WD customers within that basin as measured by their water meters.In the 1994/1995 time frame 810 ac-ft/yr was the estimated quantity that was placed into the groundwater basin.Currently,that 12.5%quantity could be on the order of 1,000 ac-ft/yr.The scope ofwork is planned to address this Phase I concept while further development ofthe groundwater basin as an additional supply resource is appropriately considered. Further development ofthe groundwater basin to enhance the total groundwater production could be accomplished by the Otay WD by means of additional extraction ofwater from the basin that is placed there by means ofeither injection and/or spreading basins using imported untreated water as the resource supply (Phase II).The existing La Mesa Sweetwater Extension Pipeline,owned by the Water Authority,once converted to an untreated water deliver system,could be the conveyance system to transport untreated water for 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 ofwork to complete Middle Sweetwater River Basin Groundwater Well Pilot Project consists ofmany major tasks and is to address the groundwater supply concepts 44 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community outlined above.The detailed scope ofwork and draft request for proposal has been prepared. Itis anticipated that the consultant fee for the entire scope ofwork,could cost an estimated $2,000,000,which includes a contingency and may take up to two years to complete. The primary desired outcome ofthe Middle Sweetwater River Basin Groundwater Well Pilot Project is for an engineering consultant to detennine and make recommendations ifit is financially prudent and physically feasible to develop a Phase I groundwater well production system within the Middle Sweetwater River Basin capable ofproducing a sustainable yield of up to 1,500 ac-ft/yr ofpotable water for the Otay WD.Ifit is deemed that a Middle Sweetwater River Basin Groundwater Well Production Project is viable than the consultant will develop and provide a groundwater well production project implementation plan and related scope of work. Otay MesaLot 7 GrOlmdwater 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 ac-ft/yr with little orno 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 ofthe Otay Mesa Lot 7 Groundwater Well was obtained and the Otay WDproceeded with the investigation ofthis potential groundwater supply opportunity. The May 2001 Geoscience Support Services,Inc.completed for the Otay WD the preparation ofa report entitled,"Otay Mesa Lot 7 Well Investigation,"to assess the Otay Mesa Lot 7 Well.The scope ofwork included ageohydrologic evaluation ofthe well,analyses ofthe water quality samples,management and review ofthe well video log,and documentation of well pump testing. The primary findings,as documented in the report,fonned the basis ofthe 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 ofcollapsing 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. In October 2001,the outcome and recommendations ofthe Geoscience Support Services,Inc. Otay Mesa Lot 7 Well efforts were presented to the Otay WD Board ofDirectors.The existing Otay Mesa Lot 7 Well,based upon the above findings,was determined not to be a 45 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community 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 is continuing to pursue the Otay Mesa groundwater well opportunity with due consideration ofthe recommendations ofthe existing report and plans to develop a groundwater well production facility to extract perhaps at least 600 ac-ft/yr.The steps necessary to put such a well into production are as follows: •Review the results ofavailable water quality data,video survey for casing and screen condition,and pump testing. •Investigate,discover,and confirm a reliable sufficient quality and quantity ofsource water. •Establish feasibility and cost effectiveness ofa production well system. •Negotiate the purchase ofa well site. •Proceed with the planning,environmental compliance,permitting,design,and construction ofa groundwater well production system. 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 for 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 of830 feet and produced approximately 400 ac-ft/yr oflow quality water for four years until its use was discontinued in April 1995 as McMillin Development Company no longer needed the well.McMillin Development Company had previously notified the Otay WD ofits intent to sell offthe groundwater well asset. The Otay WD continued discussions with McMillin Development Company and decided to determine ifthe Otay WD could use the water from the well and establish if purchase the property along with the existing well were appropriate.The Otay WD retained Quality Assurance Laboratories to conduct water quality testing in February 1995.It was established that the water from the well had a high total dissolved solids levels that exceeded well over 2,000 milligrams per liter.The Otay WD also retained engineering and well drilling firms, Barrett Consulting Group and Multi Water Systems respectively,which performed pump draw down tests in December 1995.The results ofthese efforts established the well's long term yield to be about 629 ac-ft/yr.In February 1996 the Otay WD retained Boyle Engineering Corporation to prepare a feasibility study to compare alternatives for treating and using the groundwater and to provide a benefit/cost analysis.The September 1996 Boyle Engineering Corporation,"Groundwater Treatment Feasibility Study Ranch del Ray Well Site,"report concluded that a Rancho del Rey Groundwater Well project could be feasible.It was established that both capital and operation and maintenance costs would require the well 46 Otay Water District Water SupplyAssessment and Verification Report Otay Ranch Preserve andResort Community to produce at least 700 ac-ft/yr for a minimum oftenyears to make the project economically viable.In October 1997 the Otay WD became owners ofthe property and well. In May 1997 the Otay WD prepared and submitted to CDPH an Application for an Amended Operating Permit to add as a source water supply the Rancho del Rey Groundwater Well.The CDPH established that it would not issue an amended permit for the operation ofthe Rancho del Rey Groundwater Well and any related treatment facilities until the system design and specifications have reviewed and approved and the facilities must pass field inspection following construction. In April 1998 the Otay WD received four proposals from consultants interested in designing the project.These proposals came in at almost double the estimated cost and in March 2000 the Otay WD decided to suspend further work on the developing the Rancho del Rey Groundwater Well until the project becomes economically viable or other circumstance would make it desirable to pursue development ofthe well. In 2008 the Otay WD decided to reestablish the pursuit ofthe Rancho del Rey Groundwater Well project based upon the current water supply and water pricing conditions.The steps necessary to put such a well into production are as follows: •Review the results of available data,tests,reports,etc. •Reevaluate the cost effectiveness ofa production well system. •Proceed with the planning,environmental compliance,permitting,design,and construction ofa groundwater well production system. Otay River Groundwater Desalination Facility Many local entities in San Diego County have studied the San Diego Formation and are interested in its potable water supply potential.These include the Sweetwater Authority,the Water Authority,City of San Diego,Otay WD,and the United Stated Geological Service. The San Diego Formation extends from the California-Mexico border to near Mission Bay in San Diego County,a distance ofapproximately 16 miles and from the coast to approximately six miles inland. What is known about the San Diego Formation is that the geology is complex,and at present, only partly understood.The heterogeneity ofthe aquifer makes it extremely difficult to accurately predict groundwater flow or well performance.Few,ifany,investigations have been performed on the San Diego Formation in the Otay River Valley.Most ofthe knowledge is based in the Sweetwater River Valley and the Tijuana River Valley.Therefore, the Otay River Groundwater Desalination Facility (Otay River)project would produce valuable and useful data to aid in characterizing the San Diego Formation that could ultimately lead to the production ofpotable water. 47 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community The objective ofOtay WD and Sweetwater Authority is to plan,and potentially permit, design,and construct an Otay River project within the Lower Otay River Basin capable of producing a sustainable yield ofpotable water as a local supply.The Lower Otay River Basin is located within the Otay River watershed and is that reach ofthe river below the Lower Otay Reservoir.The San Diego Formation is the principal aquifer in the South San Diego Bay area and underlies the Otay River Basin and other river basins. The purpose ofthe Otay River project is to increase the quantity oflocal water supply within the South San Diego Bay region by development of a brackish groundwater well and desalination production system to extract,to the maximum extent practical,groundwater from the San Diego Formation;thereby,reducing imported and treated water demand from the Water Authority and Metropolitan. The development ofthe Otay River project is being developed in a phased approach.The Sweetwater Authority and Otay WD are proceeding with the Otay River project and are participating in all phases ofdevelopment and intend share equally all aspects and outcomes such as costs,risks,water supply,benefits,etc. The Otay River project effort is currently being accomplished in two phases.Phase I,which is well underway,is envisioned as the planning and feasibility aspects ofthe project intended to determine the viability ofextracting brackish groundwater from the San Diego Formation with the purpose to eventually construct brackish groundwater desalination treatment and transport facilities.Phase II is envisioned as proceeding with a pilot project,environmental compliance,permitting,design,construction,operation,maintenance,and other requirements ofthe Otay River project production and transport facilities to treat the groundwater and deliver the produced potable water to customers of both Sweetwater Authority and Otay WD. Proceeding with Phase II is dependent upon the outcomes ofthe Phase I efforts. In 2006,Sweetwater Authority,in partnership with Otay WD received notification from the California Department ofWater Resources (DWR)that Sweetwater Authority had been selected to receive a matching grant for the Otay River Basin Brackish Groundwater Desalination Study.The grant amount from DWR is $242,000.The combined Sweetwater Authority and Otay WD contribution is $357,000,for a total of$599,000 to accomplish the DWR grant study.Through the Otay River Basin Brackish Groundwater Desalination Study, Sweetwater Authority and Otay WD will determine the feasibility of extracting brackish groundwater from the San Diego Formation.A portion ofthe work involves the United States Geological Society (USGS)services to construct multi-depth monitoring wells near the Otay River.The monitoring wells have been constructed. In 2007,Sweetwater Authority,in partnership with Otay WD received notification from the Water Authority that Sweetwater Authority had been selected to receive a matching grant from the Water Authority Local Investigations and Studies Assistance (LISA)grant funding program for the USGS Study ofthe San Diego Formation for Potential In-lieu Conjunctive Use concept.The grant amount is $1,500,000.The combined Sweetwater Authority and 48 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community Otay WD contribution is $1,500,000,for a total of$3,000,000 to complete the LISA grant study. The USGS Study ofthe San Diego Formation for Potential In-lieu Conjunctive Use effort has two primary objectives as follows. •Develop an integrated,comprehensive understanding of the geology and hydrology of the San Diego Formation and the overlying alluvial deposits.With this understanding, the sustainable yield ofthe San Diego Formation can be determined founded upon good science. •Use this understanding to evaluate use ofthe alluvial deposits and the San Diego Formation for an in-lieu conjunctive use project for expanded extraction. The study phase,Phase I,ofthe Otay River project is to collect necessary geologic, groundwater,and water quality data that can be used to determine the safe yield from the aquifer and to develop a solidified plan for completing a Otay River project that could potentially yield at least 4,500 ac-ft/yr ofdesalinated potable water. The achievable goals ofthe Otay River project are as follows: •Obtain valuable well data that can be used to determine the hydro geological condition ofthe San Diego Formation in the Otay River Basin. •Determine the water quality ofthe aquifer in this region. •Conceptually layout the facilities needed to collect,treat,and deliver desalinated water to potable water customers ofSweetwater Authority and Otay WD. •Develop a long-range monitoring program for well development and an implementation plan that clearly identifies the steps needed to complete the ultimate project. The Otay River project will allow the partnering each agency to complete a significant step towards developing a new potable water source from brackish groundwater that is currently not used. 6.3.1.4 Potential Ocean Desalination Supplies The Otay WD is currently investigating the feasibility ofpurchasing desalinated water from a seawater reverse osmosis plant that is planned to be located in Rosarito,Mexico.This project is known as the Rosarito Ocean Desalination Facility (Rosarito)project.The treatment facility is intended to be designed,constructed,and operated in Mexico by a third party.In June 2008 a report has been prepared for the Otay WD by Camp Dresser &McKee,Inc. entitled Draft Otay Water District Binational Ocean Rosarito Desalination Feasibility Study. The draft Binational Ocean Rosarito Desalination Feasibility Study discusses the likely issues to be considered in terms ofwater treatment and monitoring,potential conveyance options 49 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community within the United States from the international border to potential delivery points,and environmental,institutional,and permitting considerations for Otay WD to import the Rosarito project product water as a new local water supply resource. The three main treatment considerations addressed are: •Treatment required for a reliable,high quality source,which blends effectively with the existing water supply. •Treatment and monitoring required for compliance with the California Department of Public Health (CDPH)regulations. •Treatment required for public perception concerns. While the treatment facility for the Rosarito project will likely not be designed or operated by the Otay WD as the lead agency,it is important that Otay WD maintain involvement with the planning,design,and construction ofthe facility to ensure that the implemented processes provide a product water ofacceptable quality for distribution and use within the Otay WD system as well as in other agencies'systems in the region that may use the product water,e.g. City ofSan 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 Binational Ocean Rosarito 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.Three alternatives approaches are identified for getting this approval:1)Certification ofthe Rosarito project in Mexico by CDPH;2)Disinfection treatment only in the United States,receiving a waiver of specific filtration requirements through CDPH;and 3)Full filtration and disinfection treatment of water entering the United States with waiver ofcertain typical Watershed Sanitary Survey requirements.These alternatives vary in their cost and their likelihood of meeting CDPH approval. The Binational Ocean Rosarito Desalination Feasibility Study 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. For the local alternative,the supply target is assumed to be 10 mgd or 11,200 ac-ft/yr.This is based on the Otay WD 2007 IRP,which identified a 5 to 10 mgd of ocean desalination as part ofOtay WD's preferred supply strategy. 50 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResortCommunity The regional alternative assumes a total supply target of25 mgd or 28,000 ac-ft/yr based upon the projected maximum available desalinated water supply from the Rosarito project.Ofthe 25 mgd,Otay WD would receive 10 mgd.The remainder would go to other partnering regional and/or local agencies within the United States.Potential partners include the City of San Diego,the Water Authority,Helix Water District,Padre Dam Municipal Water District, and/or Sweetwater Authority.Itis expected that supply requirements for these agencies will exceed 15 mgd and there will be a need to develop local water supply options. The Otay WD is proceeding with negotiations among the parties to establish water supply resource acquisition terms through development ofa Principles ofUnderstanding 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 2002 WRMP.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 proceed 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 2002 WRMP.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 ofthe 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 Resort project is not currently located within thejurisdictions ofthe Otay WD,the Water Authority,and Metropolitan.The Resort project is required to annex into the jurisdictions of the Otay WD,Water Authority,and Metropolitan to be eligible to utilize imported water supply (i.e.to obtain imported water supply service). 51 Ofay Wafer District Water Supply Assessment and Verification Report Ofay Ranch Preserve andResort Community The Water Authority and Metropolitan 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.SANDAGserves as the regional,intergovernmental planning agency that develops and provides forecast information.The Water Authority and Metropolitan update their demand forecasts and supply needs approximately every five years to coincide with preparation oftheir urban water management plans based on the most recent SANDAG forecast.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 Metropolitan 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 Water Authority and Metropolitan 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 ofannexations or revised land use planning decisions such as the proposed annexation ofthe Resort project into Otay WD,Water Authority,and Metropolitan jurisdictions.When the Resort project is annexed into the jurisdictions ofthe Otay WD,the Water Authority,and Metropolitan water demand and supply planning information for the Resort project will be a permanent part ofand incorporated within their water resources planning processes and documents. Metropolitan's Integrated Resources Plan identifies a mix ofresources (imported and local) that,when implemented,will provide 100 percent reliability for full-service demands through the attainment ofregional targets set for conservation,local supplies,State Water Project supplies,Colorado River supplies,groundwater banking,and water transfers.The 2004 1RP Update includes a planning buffer supply intended to mitigate against the risks associated with implementation oflocal and imported supply programs.The planning buffer identifies an additional increment ofwater that could potentially be developed ifother supplies are not implemented as planned.As part ofimplementation ofthe planning buffer,Metropolitan 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 Section 114 oftheir 2005 Regional Urban Water Management Plan,Metropolitan states that through effective management ofits water supply,they fully expect to be 100 percent reliable in meeting all non-discounted non-interruptible demands throughout the next twenty- five years.Metropolitan's 2005 RUWMP identifies potential reserve supplies in the supply capability analysis (Tables II-7,II-8,and II-9),which could be available to meet the unanticipated demands such as those ofthe Resort project. 52 Dtay Water District Water Supply Assessment and Verification Report Dtay RanchPreserve andResort Community The County Water Authority Act,Section 5 subdivision 11,states that the Water Authority "as far as practicable,shall provide each ofits member agencies with adequate supplies of water to meet their expanding and increasing needs." As part ofpreparation ofa written water supply assessment and/or verification report,an agency's shortage contingency analysis should be considered in determining sufficiency of supply.Section 9 ofthe Water Authority's 2005 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 are taking actions to prepare for and appropriately handle an interruption of water supplies.The DMP,completed 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 Metropolitan due to prolonged drought or other supply shortfall conditions.The actions will help the region avoid or minimize the impacts ofshortages and ensure an equitable allocation ofsupplies. This WSA&V Report identifies and describes the processes by which water demand projections for the proposed Report project will be fully included in the water demand and supply forecasts ofthe Urban Water Management Plans and other water resources planning documents ofthe Water Authority and Metropolitan.Water supplies necessary to serve the demands ofthe proposed Resort 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 Resort project WSA&V Report and will be included in the future water supply planning documents ofthe Water Authority and Metropolitan. This WSA&V Report includes,among other information,an identification ofexisting water supply entitlements,water rights,water service contracts,water supply projects,or agreements relevant to the identified water supply needs for the proposed Resort 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 and multiple dry years to meet the projected demand ofthe proposed Resort project and the existing and other planned development projects to be served by the Otay WD. Table 8 presents the forecasted balance ofwater demands and required supplies for the Otay WD service area under average or normal year conditions. 53 Dtay Water District Water Supply Assessment and Verification Report Dtay Ranch Preserve andResort Community Table 8 Projected Balance ofWater Supplies and Demands Normal Year"Conditions (acre feet) Water Authority Supply 45,772 52,349 59,799 66,560 75,108 Recycled Water Supply 4,040 4,684 5,430 6,294 7,297 Groundwater Supply 0 0 0 0 0 Total Required Supply 49,812 57,033 65,229 72,854 82,405 Total Projected Demand 49,812 57,033 65,229 72,854 82,405 Supply Deficit 0 0 0 0 0 Table 9 presents the forecasted balance ofwater demands and supplies for the Otay WD service area under single dry year conditions. Table 9 Projected Balance ofWater Supplies and Demands Single Dry Year Conditions (acre feet) ~iX'·."·',·Si-.>;._·.·..·..,··<,if>··>·. i .,.;.,.xs;·."LiX.';;"_.;i2..;!.?:";';:';;",.•..T,i'i.';..c. •·..·!"x·x 'x 'Jj'l'1,·:z.UIU.X l'~.",".lO 11"~,.-·",.·7···.•...-.;.'..S',;·.··;S....'/70---. Water Authority Supply 49,259 56,341 64,365 71,660 80,876 Recycled Water Supply 4,040 4,684 5,430 6,294 7,297 Groundwater Supply 0 0 0 0 0 Total Required Supply 53,299 61,025 69,795 77,954 88,173 Total Projected Demand 53,299 61,025 69,795 77,954 88,173 Supply Deficit 0 0 0 0 0..Dry year demands assumed to generate a 7%illcrease ill demand over normal condItions for each year ill addition to new demand growth. Table 10 presents the forecasted balance ofwater demands and supplies for the Otay WD service area under multiple dry year conditions for the five year period ending in 2015. Multiple dry year conditions for periods ending 2020,2025,and 2030 are provided in the Otay WD 2005 UWMP. 54 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community Table 10 Projected Balance ofWater Supplies and Demands Multiple Dry Year Conditions (acre feet) Water Authority Supply 50,675 52,091 53,509 54,925 56,341 Recycled Water Supply 4,169 4,298 4,426 4,555 4,684 Groundwater Supply 0 0 0 0 0 Total Required Supply 54,844 56,389 57,935 59,480 61,025 Total Projected Demand 54,844 56,389 57,935 59,480 61,025 Supply Deficit ° ° ° ° ° Dry year demands assumed to generate a 7%increase indemand over normal conditions for each year in addition to new demand growth. The projected potable demand and supply requirements shown the Tables 8,9,and 10 are from the Otay WD 2005 UWMP and include those of the Resort project.Hot,dry weather may generate urban water demands that are about 7 percent greater than normal.This percentage was utilized to generate the dry year demands shown in Tables 9 and 10.The recycled water supplies are assumed to experience no reduction in a dry year. This WSA&V Report demonstrates and verifies 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 are documented to meet projected water demands ofthe Resort project and the existing and other reasonably foreseeable planned development projects within the Otay WD for a 20-year planning horizon,in normal and in single and multiple dry years. 55 Otay Water District Water Supply Assessment and Verification Report Otay RanchPreserve andResort Community Source Documents County ofSan Diego,November 4,2008,Otay Ranch Preserve and Resort Community SB 610 and SB 221 Compliance request letter received November 5,2008. County ofSan Diego,January 20,2009,Otay Ranch Preserve and Resort Community SB 610 and SB 221 Compliance time extension letter. City ofChula Vista,"Otay Ranch General DevelopmentPlan/Sub-regional Plan,The Otay Ranch Joint Planning Project,"October 1993 amended June 1996. COlmty ofSan Diego,"EastOtay Mesa Specific Plan Area,"adopted July 27,1994. Otay Water District,"2002 Water Resources Master Plan,"August 2002. MWH Americas,Inc.and Otay Water District,"Otay Water District 2005 Urban Water Management Plan,"December 2005 amended July 2007. 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 ofSouthem California,"Regional Urban Water Management Plan,"November 2005. Dexter Wilson Engineering,Inc.,"Overview ofWater Service for Otay Ranch Village 13," December 2008. Dexter Wilson Engineering,Inc.,"Otay Ranch Village 13 Water Conservation Plan,"May 2006. Camp Dresser &McKee,Inc.,"Draft Otay Water District Binational Ocean Rosarito Desalination Feasibility Study,"June 2008. PBS&J,"Draft Otay Water DistrictNorth 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. 56 Otay Water District Water Supply Assessment and Verification Report Otay Ranch Preserve andResort Community Michael R.Welch,"Middle Sweetwater River Basin Conjunctive Use Alternatives," September 1994. Geoscience Support Services,Inc.,"Otay Mesa Lot 7 Well Investigation,"May 2001. Boyle Engineering Corporation,"Groundwater Treatment Feasibility Study Ranch del Ray Well Site,"September 1996. Agreement for the Purchase ofTreated Water from the Otay Water Treatment Plant between the City ofSan Diego and the Otay Water District. Agreement between the San Diego County Water Authority and Otay Water District regarding Implementation ofthe 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 ofthe Otay 14 Flow Control Facility Modification. Agreement between the Otay Water District and the City ofSan Diego for Purchase of Reclaimed Water from the South Bay Water Reclamation Plant. 57 Otay Water District Water Supply Assessment and Verification Report Eastern Urban CenterSectionalPlanning Area Appendix A Otay Ranch Preserve and Resort Community Regional Location and Vicinity Map 1 Otay Water District Water Supply Assessment and Verification Report Eastern Urban Center Sectional Planning Area [?R:J Tile.,,"Of...11)'Ita..n.oh.~Pf~81 RPortSpe01flllPI...Area ~r~n',RTr~'Errf Of F':.I"'N~J:i...'3 .c,tm l.ldU If:1au,.1 RegiQnall<icatlen and VIcinity Map 2 Otay Water District Water SupplyAssessment and Verification Report Eastern Urban Center Sectional PlanningArea AppendixB Otay Ranch Preserve and Resort Community Proposed Development Plan 3 FIGURE 1-2 OTAY RANCH VIl1.AGE 1JPROPOSEDDEVELOPMENT .:"~',.....I I--- --~\ I -----_..-------"1 I I I .}l 7~'B ..... "',:..j .p-! --~----.....----- .'ll) f \., / / !'........1· /.'.'. .~"" ........~":,,,1 .\:..... ~~"..'.~'.;"".'"l..,.~':':..(,>-' \r~u I~-":':I\~ AGENDA ITEM 8a February 4,2009 W.O./G.F.NO: MEETING DATE:TYPE MEETING: SUBMITTED BY: APPROVED BY: (Chief) APPROVED BY: (Ass!.GM): STAFF REPORT Regular Board Kelli Williamso~YJ Human Resources Manager Rom Sarno,Chief of Administrative serviC~ German AlvflPeb Assistant General Manager,Finance Adminis~ DIV.NO. and All SUBJECT:Approve Change in Hiring Authority for Assistant District Secretary Position GENERAL MANAGER'S RECOMMENDATION: That the Board of Directors approve a change in hiring authority for vacant Assistant District Secretary position. COMMITTEE ACTION: See Attachment A. PURPOSE: To request that the Board approve a change in hiring authority for the Assistant District Secretary position. ANALYSIS: The District currently has two administrative positions in the General Manager's office that are appointed by the Board of Directors:District Secretary and Assistant District Secretary. The Assistant District Secretary position is currently vacant. The District's standard practice is to review all vacant positions prior to posting and filling them.After a review of the Assistant District Secretary position,staff is recommending holding the position of the Assistant District Secretary and filling the vacancy with a Confidential Executive Secretary. This position will not be a Board-appointed position as was the Assistant District Secretary and will continue to report and be supervised by the District Secretary.Staff believes this will ensure a clear reporting relationship for the incumbent in the position. The District conducted a survey of other water agencies and found only one of 17 employers had more than one Board-appointed Secretary. The District will conduct the same competitive recruitment process as conducted for other positions at the District. FISCAL IMPACT: None. STRATEGIC GOAL: District's FY 09-11 Strategic Plan related to retaining a dedicated workforce. LEGAL IMPACT: General Manager Attachment A -Committee Action ATTACHMENT A Approve Change in Hiring Authority for Assistant District SUBJECT/PROJECT:Secretary Position COMMITTEE ACTION: This item was reviewed by the Finance,Administration and Communications Committee at a meeting held on January 23,2009.The following comments were made: • • • • • The District currently has a vacancy in the Assistant District Secretary position. It is the District's practice to review all vacant positions prior to posting and filling the position.Staff recommended that the position be re-titled to Confidential Executive Secretary and be an appointment made by the General Manager.The position would continue to report and be supervised by the District Secretary. Staff surveyed other agencies and found that only one of 17 agencies had more than one Board-appointed Secretary.Staff believes that the appointment by the General Manager would ensure a clear reporting relationship for the incumbent in the position. Generally,the review of recruitment is not presented to the board.However,as the previous incumbent was a board appointment,staff wished to review the recruitment for this position with the board. The committee indicated that they supported the position being appointed by the General Manager,but would like the board to have an opportunity to approve and review the resumes of the top candidates.The committee felt that because of the confidential nature of the position the Board should at least be presented with a list of finalist being considered.The committee was very clear that the intent would not be to participate in the selection of an individual over another,merely to see who is being considered.Several options were discussed to have Board involvement including having the candidates'resumes be presented to the board in closed session under personnel matters. Following the discussion,the committee supported staffs' recommendation and presentation to the full board as an action item. AGENDA ITEM 9a TYPE MEETING:Regular Board SUBMITTED BY:Mark watton, General Manager STAFF REPORT MEETING DATE: W.O.lG.F.NO: February 4,2009 DIV.NO. SUBJECT:Consideration to Nominate Representative to San Diego Local Agency Formation Commission (LAFCO) \ GENERAL MANAGER'S RECOMMENDATION: That the Board of Directors consider nominating a District Representative for a Regular District Member and an Alternate Member on the San Diego Local Agency Formation Commission (LAFCO). PURPOSE: To bring to the Board of Directors attention that LAFCO is requesting nominations to fill a Regular District Member seat and an Alternate Member seat on their commission (please see Attachment B). COMMITTEE ACTION: Please see Attachment A. ANALYSIS: LAFCO commissioners serve four-year terms and the term of the Regular District Member,currently held by Andy Menshek,will expire in May 2009.Mr.Menshek has indicated that he will not seek a new term on LAFCO.Mr.John Ingalls,currently an Alternate Member,is interested in seeking the Regular District Member seat whose term will expire in May 2013.Mr.Ingalls intends to resign from his Alternate Member seat to allow LAFCO to hold one election for both the Regular District Member and Alternate Member seats. The Board may nominate a board member representative for the Regular Member and Alternate Member seats.LAFCO rules indicate that nominees must be a District officer,but cannot be a member of the legislative body of a city or county.The deadline for submitting nominations is February 27,2009.Nominations must be submitted via the attached nomination form. FISCAL IMPACT: None. LEGAL IMPACT: None. Attachments: Attachment A -Committee Action Attachment B -LAFCO Correspondence and Nomination Form ATTACHMENT A Consideration to Nominate Representatives to San SUBJECT/PROJECT:Local Agency Formation Commission (LAFCO) ,.•..:. •1 [ ....!.'!, 'I 1'1:1! III,Ii COMMITTEE ACTION: The Engineering,Operations and Water Resources Committee reviewed this item at a meeting held on January 26,2009.The committee recommended nominating President Gary Croucher to the Alternate Member Seat on the San Diego Local Agency Formation Commission and presenting the item to the board as an action item. '.•',1 1 . ,I: : i 1 ATTACHMENT B San Diego Local Agency Formation Commission Chairman 1600 Pacific Highway.Room 452 •San Diego,CA 92101 (619)531-5400.FAX (619)557-4190 Website:www.sdlafco.org Bill Horn County Board of Supervisors Vice Chairman Bud Pocklington South Bay Irrigation District Members Dianne Jacob County Board of Supervisors Donna Frye Councilmember City of San Diego Carl Hilliard Councilmember City of Del Mar Belly Rexford Councilmember City of Poway Andrew J.Menshek Padre Dam Municipal Water District Andrew L.Vanderlaan Public Member Alternate Members Greg Cox County Board of Supervisors Brian Maienschein Councilmember City ofSan Diego Mark Lewis Mayor City of EI Cajon John S.Ingalls Santa Fe Irrigation District Harry Mathis Public Member Executive Officer Michael D.Oil Counsel William D.Smith January 16,2009 TO:Independent Special Districts in San Diego County FROM:Executive Officer Administrative Assistant SUBJECT:Call for Nominations to the Local Agency Formation Commission Nominations are being solicited for one regular district member and one alternate member on the Local Agency Formation Commission (LAFCO). The deadline for receipt of all nominations is February 27,2009. LAFCO commissioners serve four-year terms.The term of the incumbent LAFCO regular district member,Andy Menshek,will expire in May 2009. Mr.Menshek has announced that he will not seek a new term on LAFCO.John Ingalls,the incumbent alternate district member on LAFCO has announced that he will seek the regular position being vacated by Mr.Menshek.The new term of the regular district member position will expire in May 2013.Mr.Ingalls has indicated that he intends on resigning from the alternate position he now occupies upon the conclusion of the LAFCO election,so that one election can be held concurrently for both the regular and alternate positions.While not required to resign from his alternate position,the voluntary action taken by Mr.Ingall's will simplify the election process by avoiding the necessity to conduct a second election immediately following the regular district member election. Candidates and voters should be aware that according to State Law, regular and alternate district members of LAFCO must be officers of independent special districts (members of the board of directors)who reside within San Diego County.The regular and alternate district LAFCO members may not be members of the .Iegislative body of a city or county. After the LAFCO regular and special district nominations are received by February 27, 2009,a candidates forum will be held on March 26,2009,in conjunction with a California Special Districts Association (CSDA)Dinner. All districts are encouraged to submit nominations.Please use the attached nomination/resume form (Attachment 2),and be sure that the form specifies whether the nomination is for the LAFCO regular or alternate district member position.Only the one-page nomination/resume form will be distributed with the official voting ballot.The nomination form should be signed by,or with authority of, the district presiding officer.Facsimile (FAX)copies of nominations are permitted,if necessary,to meet the submission deadline,but an original form must be furnished as soon as possible thereafter.Again,the deadline for receipt of nominations is February 27,2009.Please send nominations to: Executive Officer Local Agency Formation Commission 1600 Pacific Highway,Room 452 San Diego,CA 92101 All nominations received by the deadline will be reviewed by a nominating committee. The nominating committee's report and copies of all nomination forms submitted will be included with the ballots and voting instructions.These materials will be mailed on April 3,2009. As required by the Rules,please acknowledge receipt of this letter calling for nominations by completion and return of the form attached (Attachment 3). Please call Tita Jacque ~MICHAEL D.OTr Executive Officer Mandapat at (619)531-5400 if you have any questions a?l& TITA JACQUE MANDAPAT Administrative Assistant MDO:tjm Attachments (3) No.1:List of Incumbents No.2:Nominations/Resume Form No.3:Acknowledgement of Receipt Form 2 2009 LAFCO CALL FOR NOMINATIONS LIST OF INCUMBENTS Regular LAFCO Special District Member (VACANT) Incumbent Alternate LAFCO Special District Member John Ingalls Santa Fe Irrigation District Term Expires May2013 Term Expires May 2011 * *The term ofthe alternate member expires in May 2011,but the incumbent has indicated that he will seek the regular LAFCO Special District member position and resign from the alternate position upon the conclusion of the LAFCO election. Attachment 1 2009 SPECIAL DISTRICTS NOMINATION/RESUME Date Received by LAFCO _ NOMINATED BY: District NAME OF NOMINEE: Address: Phone: E-mail: NOMINATED FOR: DISTRICT EXPERIENCE: LAFCO EXPERIENCE: LAFCO REGULAR MEMBER ( ) LAFCO ALTERNATE MEMBER ( ) ADDITIONAL INFORMATION: (Authorized Signature) Attachment 2 2009 SPECIAL DISTRICTS MAILED-BALLOT ELECTION ACKNOWLEDGMENT OF RECEIPT FORM (Name of District) has received notification of LAFCO's intention to conduct the 2009 Special Districts election by mailed ballot. (Authorized Signature) (Print Name) Date:,_ Return this form to: Executive Officer Local Agency Formation Commission 1600 Pacific Hwy,Room 452 San Diego CA 92101 Attachment 3 STAFF REPORT AGENDA ITEM 9b TYPE MEETING:Regular Board Meeting SUBMITTED BY:Mark Watton, General Manager MEETING DATE: W.O.lG.F.NO: February 4,2009 DIV.NO. SUBJECT:Board of Directors 2009 Calendar of Meetings GENERAL MANAGER'S RECOMMENDATION: At the request of the Board,the attached Board of Director's meeting calendar for 2009 is being presented for discussion. PURPOSE: This staff report is being presented to provide the Board the opportunity to review the 2009 Board of Director's meeting calendars and amend the schedules 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 2009 G:IUscrDataIDistSecIWINWORDISTAFRPTSIBoard Meeting Calendar12-15-08.doc Regular Board Meetings: January 7,2009 February 4,2009 March 4,2009 April 1,2009 May 6,2009 June 3,2009 July 1,2009 August 5,2009 September 2,2009 October 7,2009 November 4,2009 December 2,2009 Board of Directors,Workshops and Committee Meetings 2009 Special Board or Committee Meetings (3fd Wednesday ofEach Month or as Noted) January 21,2009 February 18,2009 March 18,2009 April 22,2009 May 20,2009 June 17,2009 July 22,2009 August 19,2009 September 23,2009 October 21,2009 November 18,2009 December 16,2009 Board Workshops: Budget Workshop,TBD Board Retreat Workshop,TBD G:\UserData\DistSec\WINWORD\STAFRPTS\Board Meeting Calendar Attach A fOf 2009 2-4-09.doc Page 1 of 1 i I [ ~~t~:::, [' STAFF REPORT AGENDA ITEM 10a MEETING DATE:February 4,2009TYPEMEETING:Regular Board SUBMITTED BY:Lisa Coburn-Boyd ~C-f5 Environmental Compliance Specialist PROJECT:R2089-DIV.NO.N/A 001101 APPROVED BY: (Chief) APPROVED BY: (Asst.GM) SUBJECT: Ron Ripperger ~ Engineering Manager Rod posad~~~ Chief,Engineering Manny Maga~~~.,.~ Assistant Genera anager,Engineering and Operations Informational Ite Regarding the North District Recycled Water Regulatory Compliance System Development Project,Phase I Concept Study GENERAL MANAGER'S RECOMMENDATION: No recommendation.This is an informational item only. COMMITTEE ACTION: Please see Attachment A. PURPOSE: To provide the Otay Water District (District)Board with information regarding the North District Recycled Water Regulatory Compliance System Development Project,Phase I Concept Study (Study). ANALYSIS: The District is a recognized leader ln the use of recycled water for irrigation and other commercial uses.This fact,combined with our primary mission to deliver a safe and reliable water supply to a water-scarce region in south San Diego County,has stimulated the District's investigation of opportunities to expand our successful recycled water program into areas that are not currently served.One of these areas is in the portion of our service area designated as the North District,located ln the Middle Sweetwater watershed basin (see Attachment B).The close proximity of the recycled water markets in the North District to the District's source of recycled water,the Ralph W.Chapman Water Reclamation Facility (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 District's recycled water system. The purpose of the 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.A Request for Proposal was generated for the preparation of the Study and PBS&J was chosen as the consultant in November,2007 to work with the District on the preparation of the North District Study.The components of the Study included 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 and public outreach,and an implementation plan. The Study identified several opportunities that would be realized with the implementation of the use of recycled water in the North District.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.The Study also identified two major constraints associated with the 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 for total nitrogen since the RWCWRF plant is not meeting the current effluent limit at this time.A study has begun to examine 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. The results of the Phase I Concept Study have been discussed with Sweetwater Authority staff and they are currently reviewing the Study.Sweetwater Authority staff plans to prepare an 2 informational report to share the intent of the North District Recycled Water Regulatory Compliance System Development Project, Phase I Concept Study with their Board,currently planned for February 11,2009.The Regional Water Quality Control Board (RWQCB)and the California Department of Public Health (DPH)have also been provided with the Study for review and comment. There are two additional phases proposed for the North District Recycled Water Regulatory Compliance 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 Study would include the design of the plans and specifications for the improvements nessary for bringing recycled water to the North District and the associated environmental documents required,the implementation of any required monitoring and mitigation measures,and the preparation of a revised Engineering Report and application for::s::n::::T:o the~master Reclamation Permit . .// None. STRATEGIC GOAL: None. LEGAL IMPACT: None. P:\WORKING\R2089\BD 02-04-09,Staff Report,Informational Item,North District Recycled Water Regulatory Compliance System Development Project,Phase I Concept Study.doc I Attachments:Attachment A Attachment B 3 R2089-001101 I ..... 'I'7:CT: ATTACHMENT A Informational Item Regarding the North District Recycled Water Regulatory Compliance System Development Project, Phase I Concept Study COMMITTEE ACTION: The Engineering,Operations,and Water Resources Committee reviewed this item at a meeting held on January 26,2009.The following comments were made: • • • • • It was indicated that the purpose of the study is to investigate the feasibility of expanding the District's recycled water program into the North District. As the District has a recycled water source,Ralph W. Chapman Water Reclamation Facility (RWCWRF),in close proximity to the North District,it would be cost effective to expand recycled facilities within the area. The District retained the services of PBS&J in November 2007 to prepare the feasibility study.The components of the study includes the preparation of six technical memorandums including the project definition/description, discussion of the regulatory process and issues,discussion of the protection of the watershed that would be affected by recycled water use in the North District,identification of stakeholders and public outreach,and an implementation plan. Staff has discussed the feasibility study with Sweetwater Authority and the possibility of utilizing recycled water in the Middle Sweetwater Basin.Sweetwater Authority will be presenting the Concept Study to their Board on February 11,2009. Sweetwater Authority has two concerns regarding the use of recycled water in the Middle Sweetwater Basin: o The total nitrogen from the effluent from the RWCWRF plant is not meeting the current effluent limit at this time. o The TDS levels are too high. A study is underway to determine the cost of updating the system at the RWCWRF plant. •District staff also shared the concept study with the Regional Water Quality Control Board and the California Department of Public Health to receive their review and feedback. •It was discussed that there are two additional phases proposed for the North District Recycled Water Regulatory Compliance System Development Project.Phase II would include further investigation of the issues identified in Phase I as requiring further study such as stakeholder outreach,regulatory issues and facility planning.Phase III of the study would include the design of the plans and specifications for the improvements necessary for bringing recycled water to the North District and the environmental documents that will be required. •It was indicated that Sweetwater Authority may want a referendum to receive the community's feedback on the project.It was discussed that a vote has never been done in the past and if the public is educated about the project,a vote may not be needed. •At this time,the project looks feasible,but the study will verify the cost effectiveness of the project.It was discussed that the project is not yet included in the CIP budget as the study is not yet complete.If/When it is included in the CIP budget,funding would be provided through the Improvement/Betterment fund.The estimated cost of the project is approximately $15 million.The project would offset approximately 1000 AF of potable water. •It was discussed that the District would research if there would be any issues for the District to return to pumping recycled water back to the use area in future once recycled water from the RWCWRF is redirected to the North District (research if the facilities would be considered abandoned) It was discussed that the District would continue to hold the existing right-of-ways,continue to use the pumps in the use area,and would utilize the pipe once a year. •It was noted that there would be no affect to the recycled water agreement with the City of San Diego as it is a "take or pay"agreement. Following the discussion,the committee supported presentation to the full board as an informational item. ATTACHMENT B Study Area ITEM lOa Informational Report Regarding the North District Recycled Water Regulatory Compliance System Development Project,Phase I Concept Study Please reference Attachment 2 "Study"posted to Otay Water District website. ITEM lOa Informational Report Regarding the North District Recycled Water Regulatory Compliance System Development Proj ect,Phase I Concept Study Please reference Attachment 3 "PowerPoint"posted to Otay Water District website. .1~,i I ! I I AGENDA ITEM 10b STAFF REPORT February 4,2009TYPEMEETING: SUBMITTED BY: APPROVED BY: (Chief) Regular Boardi ~.jJamesPeasley Engineering M nager Rod posadM o~, Chief,Engineering MEETING DATE: W.O.lG.F.NO:P2129 DIV.NO.n/a APPROVED BY: (Asst.GM) SUBJECT: Manny Magan~~~..~~ Assistant General nager of Informational Item~egarding Basin Groundwater Well Pilot Engineering and Operations the Middle Sweetwater River Project GENERAL MANAGER'S RECOMMENDATION: No recommendation.This is an informational item only. COMMITTEE ACTION: Please see Attachment A. PURPOSE: To provide the Otay Water District (District)Board of Directors with information regarding the proposed Middle Sweetwater River Basin Groundwater Well Pilot Project. ANALYSIS: The development and/or acquisition of potential groundwater supply projects by the District have evolved and has been resurrected in response to the regional water supply issues related to climatological,environmental,legal,and other challenges that have impacted regional water source supply conditions,such as the court rulings regarding the Sacramento- San Joaquin Delta,the current on-going western states drought, and the spiraling water pricing pressures.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 District's water supply portfolio consistent the District's March 2007 Integrated Water Resources Plan. Also,proposed land use development projects to be served by the District,that are not currently within the jurisdictions of the San Diego County Water Authority (Water Authority)and the Metropolitan Water District of Southern California,will likely be required,as a condition of annexation,to be supplied by alternative water resources to 100%offset their projected potable water supply requirements. As a result,and in recognition of the need to develop sufficient alternative water supplies,the District is planning to take the next step towards development of a production groundwater well within the Middle Sweetwater River Basin.The next step is the implementation of a pilot well project.The Middle Sweetwater River Basin is located within the Sweetwater River watershed and is that reach of the river from Sweetwater Reservoir to the upstream Loveland Reservoir.See Attachment B for a map of the Middle Sweetwater River Basin.It is known that the higher quality groundwater is located in the vicinity of what was once called the Singing Hills Golf Course (i.e.,in the upper portion of the Middle Sweetwater River Basin). This new additional water supply project had been thoroughly studied and documented in the 1990's in cooperation with Sweetwater Authority.The three studies are as follows: •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 The ultimate objective of the District 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 to determine and assess any limitations or constraints that may arise. 2 The Middle Sweetwater River Basin Groundwater Well Pilot Project scope of work will accomplish six primary goals as follows: •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 if treatment facilities are required,projected 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 planned to be developed is described as the extraction of the quantity of water from the groundwater basin that was placed there by customers of the District by means of their use of imported treated water that contributed to the overall volume of groundwater within the basin.This quantity has been estimated to be on the order of 12.5%of the total consumption of the District customers within that basin,as measured by their water meters.In the 1994/1995 timeframe 810 acre-feet per year was the estimated quantity that was placed into the groundwater basin.Currently,that 12.5% quantity could be on the order of 1,000 acre-feet per year.The scope of work is planned to address this Phase I Concept while further development of the groundwater basin as an additional supply resource is appropriately considered. Further development of the groundwater basin to enhance the total groundwater production,could be accomplished by the District by means of additional extraction (i.e.,a quantity of water from the groundwater basin that is placed there by means of either injection and/or spreading basins using imported untreated water as the resource supply (Phase II)).The existing La Mesa Sweetwater Extension Pipeline,owned and operated by the Water Authority,once converted to an untreated water deliver system,could be the conveyance system to transport untreated water for this Phase II conjunctive use concept. These two distinct water resource supply conjunctive use concepts are to be addressed so they may coexist and to allow for their development in separate phases. 3 The scope of work to complete the Middle Sweetwater River Basin Groundwater Well pilot Project consists of many major tasks and is to address the groundwater supply concepts outlined above. The detailed scope of work and draft request for proposal has been prepared.Staff plans to return to the Board with a recommendation to award a consultant contract for the project following completion of the consultant selection process.It is anticipated that the consultant fee for the entire scope of work could cost an estimated $2,000,000,which includes a contingency,and may take up to two years to complete.The current capital improvement program (CIP)project budget is $2,530,000 for the Groundwater Exploration Program CIP project, which is planned to be used for the Middle Sweetwater River Basin Groundwater Well pilot Project this fiscal year.As a part of the fiscal year 2010 budget cycle development and approval process,a CIP project,the Middle Sweetwater River Basin Groundwater Well project,will be developed for Board consideration. The primary desired outcome of the Middle Sweetwater River Basin Groundwater Well pilot Project is for an 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 acre- feet per year of potable water for the District.If it is deemed that a Middle Sweetwater River Basin Groundwater Well Production Project is viable than the consultant will develop and provide a groundwater well production project implementation plan and related scope of work. The project concept and scope of work has been discussed with Sweetwater Authority staff and they have provided comments which have been incorporated into the scope of work.Sweetwater Authority staff plans to prepare an information report to share the intent of the Middle Sweetwater River Basin Groundwater Well project with their Board currently planned for February 11, 2009. FISCAL IMPACT: None. STRATEGIC GOAL: /;Q!!f Development of the Middle Sweetwater River Basin Groundwater Well project supports the District's Mission statement,"To 4 provide the best quality of water and wastewater service to the customers of the Otay Water District,in a professional, effective,efficient,and sensitive manner,in all aspects of operation,so that public health,environment and quality of life are enhanced"and the District's Strategic Goal,in planning for infrastructure and supply to meet current and future potable water demands. LEGAL IMPACT: None. ~1\r~!l~RJ_ General Manager ~ P:\jpeasley\BD 02-04-091 Staff Report,Middle Sweetwater River Groundwater Development Project,(JP-RP1.doc JP/RP:jf Attachments:Attachment A Attachment B 5 ; L.... P2129 ATTACHMENT A .................,,........................,"..; !Informational Item Regarding the Middle Sweetwater River "~B~Sin Groundwater Well Pilot prOiect_"J COMMITTEE ACTION: The Engineering,Operations,and Water Resources Committee reviewed this item at a meeting held on January 26,2009.The following comments were made: •This groundwater project was initially started in the mid- 1990's and is being resurrected in response to the regional water supply issues. •The pilot project would determine the feasibility of developing a production groundwater well within the Middle Sweetwater River Basin. •The project would allow for less reliance on imported water and could provide between 1,000-1,500 AF of potable water. •Sweetwater Authority staff is scheduled to present an informational report to their board on February 11,2009 on the District's concept of developing a groundwater well within the Middle Sweetater River Basin.A draft RFP is ready for publishing and will be held until staff hears Sweetwater Authority's board comments regarding the concept. •It was indicated that the approximate cost of the pilot project is between $1.5 million and $2 million.The cost is dependent on what is discovered during the study.The cost of the study will include,but may not be limited to: o Drilling cost o Laboratory Analysis of the Water o Analysis of where to drill to access the water o CEQA compliance o Community Outreach •It was discussed that the groundwater pilot study effort will incorporate groundwater well impacts in the basin including that of the Steele Canyon Golf Course.The committee requested an update on the Steele Canyon Golf Course and how its use of groundwater is affecting the District.Staff will be researching this and confirm if the Steele Canyon Golf Course has utilized any groundwater for irrigating their golf course and any revenue impacts as part of the study. •It was indicated that this was only an informational report to update the board on the status of the project and staff will bring to the board a recommendation to award a contract to a consultant for the pilot study. The committee supported staffs'recommendation and presentation to the full board as informational item. 0" i:. MIDDLE SWEETWATER RIVER STUDY AREA .•__•.,_~__"GIlR.,.,I J'~R ff~t :s:-,0. 0. CDen ~~C'DC'D -I~»~("')-:I:C'D "'"31::;c<'m C'D z "'"-I tJ:J OJ~UI ;:, :s:~ " AGENDA ITEM 11 STAFF REPORT February 4,2009TYPE MEETING: SUBMITTED BY: SUBJECT: Regular Board Meeting Mark Watton, General Manager General Manager's Report MEETING DATE: W.O./G.F. NO: N/A DIV. NO. N/A GENERAL MANAGER: FLAGSHIP PROJECTS: Update on the design of the 36-Inch Potable Water Pipeline from FCF #14 to Regulatory Site (CIP P2009)for the month of December 2008: •Lee &Ro submitted the 100%design plans to the District for review. •Staff worked on a letter agreement with the San Diego County Water Authority to allow the District to make a temporary reconnection from Flow Control Facility #14 (FCF) to the La Mesa Sweetwater Extension (LMSE)to maintain service until the 36-inch pipeline is connected.This letter agreement was signed by the General Manager in December. •The District is working with Caltrans to obtain final approval on permit.Some delay has been experienced due to Caltrans'concerns regarding the project.Submittals and communication by District staff and Lee &Ro have given Caltrans a better understanding of the project.After Caltrans'concerns are met,the project will be advertised for bids. ADMINISTRATIVE SERVICES,INFORMATION TECHNOLOGY AND FINANCE: Administrative Services: Human Resources: •The District held Luncheon on January Club. its 21, annual 2009,at Employee Recognition the Cottonwood Golf •The District kicked off the 2009 year with the second year of our Wellness Program.The year began with an 8- week challenge for employees who want to lose either weight or body fat.Employees can work individually or with a partner.Approximately 50 employees are participating.The program consists of four different lunch sessions covering topics such as diet,exercise, supplements and cleaning,relaxation,stress management and sleep. •Human Resources held our kick-off meeting on January 22, 2009,to implement an on-line application process.The District contracted to work with NeoGov,which is used by several public sector employers including the City of Poway and San Diego County Water Authority. •New Hires There was one new hire in the month of January:Water Conservation Specialist. Purchasing: •Work continues in review and retrofit of landscaping and irrigation systems at District facilities.The goal is to make sure the District is setting an example in conserving water at District facilities. •There were 99 purchase orders processed in January 2009 for a total amount of $221,261.44. Water Conservation: •The District hosted and presented at the Water Conservation a workshop for Homeowners Associations from 9:00 a.m.to 12:00 p.m.on January 16th •The workshop was well received and over 30 people attended.We are working with CWA staff to plan future workshops and distribute HOA specific conservation materials. 2 •School Education Program -To date,16 tours have been conducted and four more are scheduled.Letters were sent out in mid-January to promote the tours again and other District school education programs,including the District's CSDA Scholarship. •District staff attended the AWWA Water Conservation workshop held in Portland in late January and actively participated in the committee meetings within the Water Conservation Division. •Water use is down approximately 6 percent for the first six months of FY 09 compared to the same period in FY 08. The District is currently using this number as an indication as to how well it is doing on the 10 percent voluntary 20 Gallon Challenge target.By early February, the District expects to receive its baseline data from the Water Authority and will thereafter begin comparing monthly water use to its Water Authority determined baseline.The baseline will be a percentage of the District's total demand from the Water Authority,using FY 05,06,and 07 water use,water conservation,recycled water demand,and new meter sales data.The District expects to be much closer to the savings target once it is able to compare itself to the baseline,since it will get credit for investments in water conservation and recycling as well as meter sales. In£or.mation Techno~ogy and strategic P~anning: •IT completed the rate change process implementing nearly 250,000 changes in the billing system to accommodate the significantly revised customer billing rates.This process also included rate and bill simplification efforts -like reducing the number of pressure zones we use.As part of this process,IT has developed a prototype for a new INET design called SharePoint -which will allow us to improve our automated business processes.For example -billing processes have been streamlined and automated in the new interface.The next area of emphasis for new process improvements will likely be the meter reading and meter change-out processes including the improvement of the meter tag and lock-out process. •IT is testing a new field laptop to replace the District's tablet computers,which are at the end of useful life. 3 •IT assisted in the Automation study. in efficiency that plant. completion of the Treatment Plant The study identified many improvements could be realized at the treatment •IT is in the final phase of releasing the IMS (Infrastructure Management System)for Survey and Inspection in the Engineering Department. •Wireless Infrastructure -IT has finalized agreements to begin implementing wireless connectivity to the treatment plant.We are also exploring economical options for Cox Communications to provide bandwidth to remote District facilities. Finance: •2010 Budget As staff gears up for the 2010 budget build,news on most fronts is negative.The drought concerns are worsening,the negative economic outlook extends further,and the rate challenges are more serious.On the other hand,a positive force that continues to bolster the District is the fiscal discipline and planning that has been employed here for many years.The District's Board and Management continue on a fiscally strategic course that will help us manage through this serious economic downturn.As the budget process proceeds,staff will keep the Board apprised of the unique challenges facing the District in the coming year. •Red Flag Rules The Federal Trade Commission has set down new requirements to protect against identity theft. Staff is looking into what procedural changes,if any, need to be implemented to comply with these new requirements. •Auditor Selection Staff has issued RFP's for audit services and proposals are beginning to come in.Staff will be reviewing these and preparing a recommendation to the Finance,Administration and Communications Committee in February and to the Board in March. 4 :"'1 hi'.i: ;;'1 ;::~' The financial reporting for December 31,2008 is as follows: •For the six months total revenues of $32,008,276.The $1,178,661. ended December 31,2008,there are $33,186,937 and total expenses of revenues exceeded expenses by The financial reporting for investments for December 31, 2008 is as follows: Engineering: ENGINEERING AND WATER OPERATIONS: •850-4 Reservoir -RSH completed the installation of underground water and storm drain piping.RSH started the construction of the ring wall.The reservoir is for increased capacity in the 850 Pressure Zone,as required by the 2002 Water Resource Master Plan.This project is expected to be completed in May 2009.Project is on schedule and on budget.(P2191) The market value shown in the Portfolio Summary and in the Investment Portfolio Details as of December 31, 2008 total $81,108,947.03 with an average yield to maturity of 2.970%.The total earnings year-to-date are $1,366,388.70. • •20-Inch Recycled Pipeline Conversion -ARB,Inc.(ARB) continues with the conversion of a 20-inch potable pipeline to a recycled pipeline in Chula Vista within the District's use area.Project is 93%complete.This project is expected to be completed in February 2009. This proj ect is on schedule and on budget.(R2 0 81) •Calavo Sewer Lift Station -NEWest Construction continues with the replacement of the Calavo Sewer Lift Station. The project is 95%complete.A total of sixty (60) calendar days have been added to this project due to SDG&E's delay to relocate an existing conflicting electrical line.This project is expected to be complete by January 31,2009.This project is currently within budget.(S2015) •RWCWRF Forcemain/Air Vac and Road Improvement Project - Arrieta Construction has completed the access road improvements and is currently replacing the air/vacs and section valves of the RWCWRF forcemain.The project is 5 expected to be complete by February 15,2009.The project is on schedule and on budget.(R2086) •For the month of December 2008,the District sold 13 meters (74.5 EDUs)generating $353,307 in revenue. Accumulated revenue through December 31,2008 was $1,194,507 for 249.0 EDUs and 72 meters.Projection for this period was 168 meters (259.7 EDUs)with a budgeted revenue of $1,420,300.Projected revenue from July 1, 2008 through June 30,2009 is $2,840,600. •Approximately 87 linear feet of both CIP and developer project pipeline was installed in December 2008.The Construction Division performed quality control for these pipelines. •The following table summarizes Engineering's Project purchases and change orders issued during the period of December 1,2008 thru December 31,2008 that were within Staff signatory authority: Contractor/ Date Action Amount Consultant Project 12/2/08 Check $9,400 San Diego County Deposit for FCF 14 Request Water Authority Work (P2009) Engineering P.O.J C Heden and Construction 12/4/08 709625 $5,000 Associated,Inc.Services for Pump Station 1485-1 Replacement (P2172) 12/9/08 Check $7,500 Keagy Real Estate Appraisal Reports Request (P2009) 12/11/08 P.o.$7,870 Moreno Arial Photo Arial Photo Survey 709686 (R2087 and R2077). 12/19/08 c.o.#1 $9,990 PBS&J WRMP as Needed Support (P1210) Engineering consulting services 12/19/08 P.o.$5,000 Michael R.Welch for the proposed 709711 Groundwater Well Pilot Project (P2129) 6 Water qperations: •On December 2,2008 the District resumed deliveries to Mexico with a volume for the month of 651.4 acre-feet (7.3 MGD for 29 days).The connection was closed on December 31 after the requested flow was met.In addition,all agencies have reviewed Mexico's delivery request schedule for 2009 and Mexico is in the process of depositing the required deposit amounts with the United States. •On December 23,2008,staff had a very successful re- inspection from San Miguel Fire Department.All the minor items noted during the previous visit have been formally closed-out. •Potable water purchased (excluding flows to Mexico)for the month of December 2008 was 1,866.1 acre-feet.To date for FY 09,there has been 20,158.7 acre-feet of water purchased.This is a 5.5 percent decrease from the same period last year. •In the month of December 2008,there were 5 new Automated Meter Reading (AMR)meters installed and 1,624 meters were retrofitted to AMR meters.Five AMR meters were pulled and the accounts closed. •As of January 5,2009,there was a total of 21,708 3-G Master Meter radio-read units installed. •Total number of potable water accounts is 47,926;this is a decrease of four non-AMR accounts from last month, December 2008. •Recycled water consumption for the month of December 2008 is as follows: Total flow was 201 acre-feet or 65,526,296 gallons and the average daily flow was 2,113,751 gallons per day. Total number of recycled water accounts is 626;there is no change in this number from last month,November 2008. Total recycled water consumption to date for FY 09 is 2975.8 acre-feet. 7 •Wastewater flows for the month of December 2008 were as follows: • • • • • Total basin flow,gallons per day:2,129,000. Spring Valley Sanitation District Flow to Metro, gallons per day:707,000. Total Otay flow,gallons per day:1,422,000. Flow Processed at the Ralph W.Chapman Water Recycling Facility,gallons per day:829,000. Flow to Metro from Otay Water District,gallons per day:593,000. Gener There were no new wastewater connections for the month of December 2008.The total stands at 6,070 EDU's. G:\UserData\DistSec\WINWORD\STAFRPTS\GM Report 2-4-09.doc 8 '(I!1 AGENDA ITEM 11 [;:, F!Ii II~I Ii Exhibit A Ii IiOTAYWATERDISTRICT.' COMPARATIVE BUDGET SUMMARY Iii FOR SIX MONTHS ENDED DECEMBER 31,2008 Ii !i;:.'1:I: Annual YTD YTD YTD !1 Budget Actual Budget Variance Var%"1::"REVENUE:~: r Water Sales $32,836,500 $16,672,811 $17,601,400 $(928,589)(5.3%)!.ilEnergyCharges2,047,100 1,099,925 1,105,400 (5,475)(0.5%)~!System Charges 10,619,400 5,014,694 5,011,500 3,194 0.1%~: Penalties 906,900 339,896 453,500 (113,604)(25.1%)i' r'MWD &CWA Fixed Charges 2,819,500 1,312,287 1,308,400 3,887 0.3%~"Total Water Sales 49,229,400 24,439,615 25,480,200 (1,040,585)(4.1%) I' Reclamation Sales 6,344,500 3,566,438 3,530,800 35,638 1.0%ISewerCharges2,145,300 1,094,694 1,093,900 794 0.1%IMeterFees103,800 40,263 51,900 (11,637)(22.4%) Capacity Fee Revenues 1,301,900 732,403 651,000 81,403 12.5%IBettermentFeesforMaintenance895,900 350,100 448,000 (97,900)(21.9%)IAnnexationFees483,600 69,493 241,800 (172,307)(71.3%) Non-Operating Revenues 1,633,100 1,058,973 778,800 280,173 36.0%ITaxRevenues4,137,300 1,566,489 1,554,900 11,589 0.7%I Interest 667,800 208,368 210,000 (1,632)(0.8%), General Fund Draw Down 120,100 60,100 60,100 0.0% Total Revenue $67,062,700 $33,186,937 $34,101,400 $(914,463)(2.7%) EXPENSES: Potable Water Purchases $25,183,600 $12,341,830 $13,475,800 $1,133,970 8.4% Recycled Water Purchases 1,490,800 721,658 925,179 203,521 22.0% CWA-Infrastructure Access Charge 1,227,500 574,668 574,800 132 0.0% CWA-Customer Service Charge 1,049,800 509,104 509,400 296 0.1% CWA-Emergency Storage Charge 1,774,700 868,248 868,200 (48)(0.0%) MWD-Capacity Res Charge 602,800 297,864 297,600 (264)(0.1%) MWD-Readiness to Serve Charge 665,100 332,544 332,400 (144)(0.0%) Subtotal Water Purchases 31,994,300 15,645,916 16,983,379 1,337,463 7.9% Power Charges 2,780,500 1,549,160 1,557,600 8,440 0.5% Payroll &Related Costs 17,185,400 8,131,248 8,432,330 301,082 3.6% Material &Maintenance 3,872,800 1,730,052 1,865,400 135,348 7.3% Administrative Expenses 5,467,600 2,143,666 2,375,400 231,734 9.8% Legal Fees 467,500 160,834 233,750 72,916 31.2% Expansion Reserve 5,016,700 2,508,400 2,508,400 0.0% Replacement Reserve 277,900 139,000 139,000 0.0% Total Expenses $67,062,700 $32,008,276 $34,095,259 $2,086,983 6.1% Excess Revenue (Expense)$$1,178,661 $6,141 $1,172,520 F:/MORPT/FS2009-1208 1/26/2009 1:58 PM OTAY WATER DISTRICT INVESTMENT PORTFOLIO REVIEW DECEMBER 31,2008 INVESTMENT OVERVIEW &MARKET STATUS: On December 16th,at the Federal Reserve Board's regular scheduled meeting,the federal funds rate was lowered from 1.00%to "a target range of between Zero and 0.25%"in response to the nation's ongoing financial crisis,as well as banking industry pressure to ease credit and stimulate the economy.They went on to say:"The Committee anticipates that weak economic conditions are likely to warrant exceptionally low levels of the federal funds rate for some time."This marked the ninth reduction in a row since September 18,2007,when the rate was 5.25%.Despite the large drop in available interest rates,the District's overall effective rate ofreturn on at December 31st was 3.08%.At the same time the LAIF return on deposits has also dropped over the last several months,reaching an average effective yield of 2.35%for the month of November.Based on our success at maintaining a competitive rate ofreturn on our portfolio during this extended period of interest rate declines,no changes in investment strategy are being considered at this time. In accordance with the District's Investment Policy,all District funds continue to be managed based on the objectives,in priority order,of safety,liquidity,and return on investment. PORTFOLIO COMPLIANCE:December 31,2008 Investment 8.01:Treasury Securities 8.02:Local Agency Investment Fund (Operations) 8.02:Local Agency Investment Fund (Bonds) 8.03:Federal Agency Issues 8.04:Certificates of Deposit 8.05:Short-Term Commercial Notes 8.06:Medium-Term Commercial Debt 8.07:Money Market Mutual Funds 8.08:San Diego County Pool 12.0:Maximum Single Financial Institution State Limit 100% $40 Million 100% 100% 30% 25% 30% 20% 100% 100% Otay Limit 100% $40 Million 100% 100% 15% 15% 15% 15% 100% 50% Otay Actual o $18.95 Million 1.81 % 57.07% 1.34% o 2.48% o 12.88% 0.91% .~..~.~~.._---------------_~_n •••__.~••,.,,'••• Performance Measure F-12 Return on Investment Target:Meet or Exceed 1000/0 of LAIF 6.00 5.00 tn...c 4.00G) E...3.00tnG) >c 2.00-c 0 1.00c...::s 0.00...G) 0::-1.00 -2.00 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr 1st Qtr Oct Nov Dec 2nd Qtr FY08 FY08 FY08 FY08 FY09 FY09 FY09 FY09 FY09 Otay 5.20 4.95 4.30 3.59 3.40 3.28 3.34 3.08 3.23 .LAIF 5.24 4.96 4.18 3.11 2.78 2.71 2.57 2.35 2.54 o Difference 0.04 0.01 -0.12 -0.48 -0.62 -0.57 -0.77 -0.73 -0.69 Month Otay •LAIF D Difference -Linear (Difference)I 59.56% Otay Water District Investment Portfolio:12/31/08 2.25% o Banks (Passbook/Checking/CD)•Pools (LAIF &County)0 Agencies &Corporate Notes OTAY Portfolio Management Portfolio Summary December 31,2008 Investments Corporate Notes Federal Agency Issues-Callable Certificates ofDeposit -Bank Local Agency Investment Fund (LAIF) San Diego County Pool Investments Par Market Book %of Days to YTM YTM Value Value Value Portfolio Term Maturity 360 Equiv.365 Equiv. 2,000,000.00 2,032,620.00 2,021,260.82 2.53 1,111 699 4.340 4.401 46,000,000.00 46,300,610.00 45,998,672.86 57.58 837 601 3.323 3.369 1,079,108.00 1,079,108.00 1,079,108.00 1.35 391 346 3.152 3.196 20,408,901.82 20,470,402.23 20,408,901.82 25.55 1 1 2.321 2.353 10,380,824.62 10,489,859.28 10,380,824.62 12.99 1 1 2.392 2.425 79,868,834.44 80,372,599.51 79,888,768.12 100.00%515 369 2.970 3.011 Cash Passbook/Checking (not included in yield calculations) Total Cash and Investments Total Earnings Current Year Average Daily Balance Effective Rate ofReturn 736,347.52 80,605,181.96 December 31 Month Ending 208,784.94 79,916,842.58 3.08% 736,347.52 81,108,947.03 Fiscal Year To Date 1,366,388.70 81,882,805.99 3.31% 736,347.52 80,625,115.64 515 369 0.269 2.970 0.273 3.011 /-:;L7-0i' I hereby certify that the investments contained in this report are made in accordance with the District Investment Policy Number 27 adopted by the Board ofDirectors on January 19,2000.The market value information provided by Interactive Data Corporation.The investments provide sufficient liquidity to meet the cash flow requirements ofthe District for the next six months ofexpenditures. ~Joseph B~f Fill.~ Run Date:01/27/2009-09:21 Portfolio OTAY AP PM (PRF_PM1)SymRept6.41.200 Report Ver.5.00 OlAY Portfolio Management Page 2 Portfolio Details -Investments December 31,2008 Average Purchase Stated YTM Days to Maturity CUSIP Investment #Issuer Balance Date ParValue MarketValue Book Value Rate Moody's 360 Maturity Date Corporate Notes 36962G2S2 2044 General Electric Capital 11/16/2007 2,000,000.00 2,032,620.00 2,021,260.82 5.000 Aaa 4.340 699 12/01/2010 Subtotal and Average 2,021,693.19 2,000,000.00 2,032,620.00 2,021,260.82 4.340 699 Federal Agency Issues-Callable 31398AMX7 2064 FANNIE MAE 0212212008 2,000,000.00 2,005,620.00 2,000,000.00 3.000 2.959 414 02119/2010 31331YB74 2073 Federal Farm Credit Bank 04/07/2008 2,000,000.00 2,012,500.00 2,000,000.00 3.180 3.136 826 04/07/2011 3133XPDR2 2062 Federal Home Loan Bank 01/30/2008 2,000,000.00 2,003,760.00 2,000,000.00 3.060 3.018 393 01/29/2010 3133XPDSO 2063 Federal Home Loan Bank 01/30/2008 2,000,000.00 2,004,380.00 2,000,000.00 3.250 3.205 575 07/30/2010 3133XPWL4 2065 Federal Home Loan Bank 02126/2008 2,000,000.00 2,007,500.00 2,000,000.00 3.000 2.959 421 02/26/2010 3133XPX90 2067 Federal Home Loan Bank 03/05/200.8 2,000,000.00 2,008,760.00 2,000,000.00 3.020 2.979 428 03/05/2010 3133XQF23 2071 Federal Home Loan Bank 03/25/2008 2,000,000.00 2,011,260.00 2,000,000.00 3.250 3.205 813 03/25/2011 3133XQJ78 2072 Federal Home Loan Bank 04/14/2008 2,000,000.00 2,013,760.00 2,000,000.00 3.150 3.107 833 04/14/2011 3133XQMC3 2074 Federal Home Loan Bank 04/14/2008 2,000,000.00 2,012,500.00 2,000,000.00 2.900 2.860 651 10/14/2010 3133XQUX8 2075 Federal Home Loan Bank 04/29/2008 2,000,000.00 2,015,620.00 2,000,000.00 3.100 3.058 666 10/29/2010 3133XRNM8 2083 Federal Home Loan Bank 06/30/2008 2,000,000.00 2,015,000.00 2,000,000.00 3.650 3.598 453 03/30/2010 3133XS6Q6 2086 Federal Home Loan Bank 10101/2008 2,000,000.00 2,014,380.00 2,000,000.00 3.500 3.452 638 10101/2010 3133XSDGO 2087 Federal Home Loan Bank 1010212008 2,000,000.00 2,004,375.00 2,000,000.00 3.650 3.600 274 1010212009 3133XSCCO 2088 Federal Home Loan Bank 10/14/2008 2,000,000.00 2,017,500.00 2,000,000.00 4.000 3.945 1,016 10/14/2011 3133XSFC7 2089 Federal Home Loan Bank 1010212008 2,000,000.00 2,016,875.00 2,000,000.00 3.400 3.353 91 04/02/2009 3128X7TT1 2079 Federal Home Loan Mortgage 06/0212008 2,000,000.00 2,023,040.00 2,000,000.00 3.625 3.575 882 06/0212011 31398AKSO 2060 Federal National Mortage Assoc 01/07/2008 2,000,000.00 2,001,260.00 2,000,000.00 4.500 4.438 736 01/07/2011 31398ANH1 2069 Federal National MortageAssoc 03/10/2008 2,000,000.00 2,006,880.00 2,000,000.00 3.250 3.205 785 02125/2011 3136F9LP6 2076 Federal National MortageAssoc 04/28/2008 2,000,000.00 2,013,760.00 1,999,403.75 3.000 2.989 482 04/28/2010 3136F9NB5 2077 Federal National Mortage Assoc 05/12/2008 2,000,000.00 2,015,620.00 2,000,000.00 3.100 3.058 496 05/1212010 31398ARD6 2078 Federal National Mortage Assoc 05/19/2008 2,000,000.00 2,021,880.00 1,999,269.11 3.600 3.570 868 05/19/2011 3136F9SA2 2080 Federal National Mortage Assoc 06/10/2008 2,000,000.00 2,021,880.00 2,000,000.00 3.265 3.220 525 06/10/2010 3136F9WV1 2085 Federal National Mortage Assoc 07/02/2008 2,000,000.00 2,032,500.00 2,000,000.00 4.000 3.945 547 07/0212010 Subtotal and Average 52,947,030.46 46,000,000.00 46,300,610.00 45,998,672.86 3.323 601 Certificates of Deposit-Bank 205003183 2066 California Bank &Trust 01/22/2008 79,108.00 79,108.00 79,108.00 3.180 3.180 386 01/2212010 1005581024 2090 Neighborhood National Bank 12111/2008 1,000,000.00 1,000,000.00 1,000,000.00 3.150 3.150 343 12110/2009 Subtotal and Average 1,143,624.13 1,079,108.00 1,079,108.00 1,079,108.00 3.152 346 Run Date:01/27/2009 -09:21 Portfolio OTAY AP PM (PRF]M2)SymRept6.41.200 ReportVer.5.00 OTAY Portfolio Management Portfolio Details -Investments December 31,2008 Page 3 Average Purchase Stated YTM Days to Maturity CUSIP Investment #Issuer Balance Date ParValue MarketValue Book Value Rate Moody's 360 Maturity Date Local Agency Investment Fund (LAIF) LAIF 9001 STATE OF CALIFORNIA 07/01/2004 18,948,024.56 19,005,122.75 18,948,024.56 2.353 2.321 LAIF COPS07 9009 STATE OF CALIFORNIA 03/07/2007 1,460,877.26 1,465,279.48 1,460,877.26 2.353 2.321 Subtotal and Average 11,357,288.92 20,408,901.82 20,470,402.23 20,408,901.82 2.321 San Diego County Pool SD COUNTY POOL 9007 San Diego County 07/01/2004 10,380,824.62 10,489,859.28 10,380,824.62 2.425 2.392 Subtotal and Average 10,380,824.62 10,380,824.62 10,489,859.28 10,380,824.62 2.392 Total and Average 79,916,842.58 79,868,834.44 80,372,599.51 79,888,768.12 2.970 369 Run Date:01/2712009 -09:21 Portfolio OTAY AP PM (PRF_PM2)SymRept6.41.200 OTAY Portfolio Management Portfolio Details -Cash December 31,2008 Average Purchase CUSIP Investment#Issuer Balance Date ParValue Union Bank UNION MONEY 9002 STATE OF CALIFORNIA 07/01/2004 10,099.38 PETTYCASH 9003 STATE OF CALIFORNIA 07/01/2004 2,800.00 UNION OPERATING 9004 STATE OF CALIFORNIA 07/01/2004 700,559.41 PAYROLL 9005 STATE OF CALIFORNIA 07/01/2004 22,888.73 UNION IOC 9008 STATE OF CALIFORNIA 05/01/2006 0.00 Average Balance 0.00 Total Cash and Investmentss 79,916,842.58 80,605,181.96 Run Date:01/27/2009 -09:21 MarketValue 10,099.38 2,800.00 700,559.41 22,888.73 0.00 81,108,947.03 Page 4 Stated YTM Days to BookValue Rate Moody's 360 Maturity 10,099.38 0.150 0.148 2,800.00 0.000 700,559.41 0.285 0.281 22,888.73 0.000 0.00 4.500 4.438 80,625,115.64 2.970 369 Portfolio OTAY AP PM(PRF_PM2)SymRept 6.41.200 OTAY Activity Report Sorted By Issuer July 1,2008 -December 31,2008 CUSIP Investment#Issuer Percent of Portfolio ParValue Beginning Balance Current Transaction Rate Date Purchases or Deposits .l'ilr "lIlue. Redemptions or Withdrawals Ending Balance Issuer:STATE OF CALIFORNIA Subtotal and Balance Subtotal and Balance IssuerSubtotal 26.233% Local Agency Investment Fund (LAIF) LAIF 9001 STATE OF CALIFORNIA LAIF COPS07 9009 STATE OF CALIFORNIA 736,347.52 21,145,249.34 20,408,901.82 0.150 36,720,720.12 36,720,637.67 0.285 2,201,802.40 3,043,651.02 600.00 2,088.53 1,579,602.22 38,923,122.52 39,766,377.22 2.353 37,359,542.77 29,200,000.00 2.353 21,222.48 0.00 12,228,136.57 37,380,765.25 29,200,000.00 13,807,738.79 76,303,887.77 68,966,377.22 STATE OF CALIFORNIA STATE OF CALIFORNIA STATE OF CALIFORNIA Union Bank UNION MONEY 9002 UNION OPERATING 9004 PAYROLL 9005 Issuer:California Bank &Trust Certificates ofDeposit -Bank Subtotal and Balance 79,108.00 79,108.00 IssuerSubtotal 0.098%79,108.00 0.00 0.00 79,108.00 Issuer:FANNIE MAE Federal Agency Issues-Callable Subtotaland Balance 2,000,000.00 2,000,000.00 Issuer Subtotal 2.481%2,000,000.00 0.00 0.00 2,000,000.00 Issuer:Federal Farm Credit Bank Federal Agency Issues-Callable Subtotal and Balance 2,000,000.00 2,000,000.00 Run Date:0112712009 .09:22 Portfolio OTAY AP DA (PRF_DA)SymRept6.41.200 ReportVer.5.00 OTAY Activity Report Page 2 July 1,2008 -December 31,2008 ...ParValue ParValue_._-_.................__..""".._.......... Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP Investment#Issuer ofPortfolio Balance Rate Date Deposits Withdrawals Balance IssuerSubtotal 2.481%2,000,000.00 0.00 0.00 2,000,000.00 Issuer:Federal Home Loan Bank Federal Agency Issues-Callable 3133XLTL7 2037 Federal Home Loan Bank 5.550 07/30/2008 0.00 3,000,000.00 3133XMX71 2042 Federal Home Loan Bank 4.500 08/14/2008 0.00 2,000,000.00 3133XN6X2 2045 Federal Home Loan Bank 4.500 08/20/2008 0.00 2,000,000.00 3133XNP52 2057 Federal Home Loan Bank 4.375 09/17/2008 0.00 2,000,000.00 3133XNS42 2058 Federal Home Loan Bank 4.250 12/18/2008 0.00 2,000,000.00 3133XNPR4 2059 Federal Home Loan Bank 4.350 12124/2008 0.00 1,800,000.00 3133XPZN7 2068 Federal Home Loan Bank 3.350 09/03/2008 0.00 1,905,000.00 3133XQC91 2070 Federal Home Loan Bank 3.125 12/17/2008 0.00 2,000,000.00 3133XRK74 2084 Federal Home Loan Bank 3.500 12130/2008 0.00 2,000,000.00 3133XS6Q6 2086 Federal Home Loan Bank 3.500 10/01/2008 2,000,000.00 0.00 3133XSDGO 2087 Federal Home Loan Bank 3.650 10/0212008 2,000,000.00 0.00 3133XSCCO 2088 Federal Home Loan Bank 4.000 10/14/2008 2,000,000.00 0.00 3133XSFC7 2089 Federal Home Loan Bank 3.400 10/02/2008 2,000,000.00 0.00 Subtotal and Balance 36,705,000.00 8,000,000.00 18,705,000.00 26,000,000.00 IssuerSubtotal 32.256%36,705,000.00 8,000,000.00 18,705,000.00 26,000,000.00 Issuer:Federal Home Loan Mortgage Federal Agency Issues-Callable 3128X7YG3 2082 Federal Home Loan Mortgage 4.750 12126/2008 0.00 2,000,000.00 Subtotal and Balance 4,000,000.00 0.00 2,000,000.00 2,000,000.00 IssuerSubtotal 2.481%4,000,000.00 0.00 2,000,000.00 2,000,000.00 Issuer:Federal National Mortage Assoc Federal Agency Issues-Callable 3136F9TS2 2081 Federal National MortageAssoc 3.500 09/25/2008 0.00 2,000,000.00 3136F9WV1 2085 Federal National MortageAssoc 4.000 07/02/2008 2,000,000.00 0.00 Subtotal and Balance 14,000,000.00 2,000,000.00 2,000,000.00 14,000,000.00 IssuerSubtotal 17.369%14,000,000.00 2,000,000.00 2,000,000.00 14,000,000.00 Run Date:0112712009 -09:22 Portfolio OTAY AP DA(PRF_DA)SymRept6.41.200 ReportVeL 5.00 OTAY Activity Report Page 3 July 1,2008 -December 31,2008 ParValue ....F'i1ryalue... Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP Investment#Issuer ofPortfolio Balance Rate Date Deposits Withdrawals Balance Issuer:General Electric Capital Corporate Notes Subtotal and Balance 2,000,000.00 2,000,000.00 IssuerSubtotal 2.481%2,000,000.00 0.00 0.00 2,000,000.00 Issuer:Neighborhood National Bank Certificates of Deposit -Bank 1002812475 2061 Neighborhood National Bank 4.850 12/13/2008 0.00 1,000,000.00 1005581024 2090 Neighborhood National Bank 3.150 12/11/2008 1,000,000.00 0.00 Subtotal and Balance 1,000,000.00 1,000,000.00 1,000,000.00 1,000,000.00 IssuerSubtotal 1.241%1,000,000.00 1,000,000.00 1,000,000.00 1,000,000.00 Issuer:San Diego County San Diego County Pool SO COUNTY POOL 9007 San Diego County 2.425 203,725.13 2,000,000.00 Subtotal and Balance 12,177,099.49 203,725.13 2,000,000.00 10,380,824.62 IssuerSubtotal 12.879%12,177,099.49 203,725.13 2,000,000.00 10,380,824.62 Total 100.000%87,768,946.28 87,507,612.90 94,671,377.22 80,605,181.96 Run Date:01127/2009 -09:22 Portfolio OTAY AP DA (PRF_DA)SymRept6.41.200 ReportVer.5.00 OTAY GAS8 31 Compliance Detail Sorted by Fund -Fund July 1,2008 -December 31,2008 Adjustment in Value Investment Maturity Beginning Purchase Addition Redemption Amortization Change in Ending CUSIP Investment#Fund Class Date Invested Value ofPrincipal to Principal ofPrincipal Adjustment MarketValue InvestedValue Fund:Treasury Fund LAIF 9001 99 Fair Value 10,787,944.73 0.00 209,542.77 209,542.77 0.00 57,635.25 19,005,122.75 UNION MONEY 9002 99 Amortized 10,016.93 0.00 206.37 206.37 0.00 0.00 10,099.38 PETTYCASH 9003 99 Amortized 2,800.00 0.00 0.00 0.00 0.00 0.00 2,800.00 UNION OPERATING 9004 99 Amortized 1,542,408.03 0.00 10,946.16 852,794.78 0.00 0.00 700,559.41 PAYROLL 9005 99 Amortized 24,377.26 0.00 0.00 1,488.53 0.00 0.00 22,888.73 SD COUNTY POOL 9007 99 FairValue 12,219,100.73 0.00 203,725.13 2,000,000.00 0.00 67,033.42 10,489,859.28 UNION IOC 9008 99 Amortized 0.00 0.00 0.00 0.00 0.00 0.00 0.00 LAIFCOPS07 9009 99 Fair Value 1,439,583.11 0.00 21,222.48 0.00 0.00 4,473.89 1,465,279.48 3133XLTL7 2037 99 Fair Value 07/30/2010 3,006,562.50 0.00 0.00 3,000,000.00 0.00 -6,562.50 0.00 3133XMX71 2042 99 FairValue 08/14/2009 2,004,375.00 0.00 0.00 2,000,000.00 0.00 -4,375.00 0.00 36962G2S2 2044 99 FairValue 12101/2010 2,051,704.10 0.00 0.00 0.00 0.00 -19,084.10 2,032,620.00 3133XN6X2 2045 99 FairValue 08/20/2010 2,004,375.00 0.00 0.00 2,000,000.00 0.00 -4,375.00 0.00 3133XNP52 2057 99 FairValue 09/17/2010 2,006,250.00 0.00 0.00 2,000,000.00 0.00 -6,250.00 0.00 3133XNS42 2058 99 FairValue 06/18/2010 2,011,250.00 0.00 0.00 2,000,000.00 0.00 -11,250.00 0.00 3133XNPR4 2059 99 FairValue 12124/2010 1,810,687.50 0.00 0.00 1,800,000.00 0.00 -10,687.50 0.00 31398AKSO 2060 99 FairValue 01/07/2011 2,012,500.00 0.00 0.00 0.00 0.00 -11,240.00 2,001,260.00 1002812475 2061 99 Amortized'12/13/2008 1,000,000.00 0.00 0.00 1,000,000.00 0.00 0.00 0.00 3133XPDR2 2062 99 FairValue 01/29/2010 2,000,000.00 0.00 0.00 0.00 0.00 3,760.00 2,003,760.00 3133XPDSO 2063 99 Fair Value 07/30/2010 1,997,500.00 0.00 0.00 0.00 0.00 6,880.00 2,004,380.00 31398AMX7 2064 99 FairValue 02/19/2010 1,998,125.00 0.00 0.00 0.00 0.00 7,495.00 2,005,620.00 3133XPWL4 2065 99 Fair Value 02126/2010 1,996,875.00 0.00 0.00 0.00 0.00 10,625.00 2,007,500.00 205003183 2066 99 Amortized 01/2212010 79,108.00 0.00 0.00 0.00 0.00 0.00 79,108.00 3133XPX90 2067 99 Fair Value 03/05/2010 1,997,500.00 0.00 0.00 0.00 0.00 11,260.00 2,008,760.00 3133XPZN7 2068 99 Fair Value 09/03/2010 1,905,000.00 0.00 0.00 1,905,000.00 0.00 0.00 0.00 31398ANH1 2069 99 Fair Value 02/25/2011 1,988,125.00 0.00 0.00 0.00 0.00 18,755.00 2,006,880.00 3133XQC91 2070 99 Fair Value 12117/2010 1,985,625.00 0.00 0.00 2,000,000.00 0.00 14,375.00 0.00 3133XQF23 2071 99 Fair Value 03/25/2011 1,983,125.00 0.00 0.00 0.00 0.00 28,135.00 2,011,260.00 3133XQJ78 2072 99 Fair Value 04/14/2011 1,965,625.00 0.00 0.00 0.00 0.00 48,135.00 2,013,760.00 31331YB74 2073 99 Fair Value 04/07/2011 1,979,375.00 0.00 0.00 0.00 0.00 33,125.00 2,012,500.00 3133XQMC3 2074 99 FairValue 10/14/2010 1,980,000.00 0.00 0.00 0.00 0.00 32,500.00 2,012,500.00 Portfolio OTAY AP Run Date:01/27/2009 -09:22 .~~~---------_. GD (PRF_GD)SymRepI6,41.200 Report Ver.5.00 OTAY GASS 31 Compliance Detail Page 2 Sorted by Fund -Fund Adjustmentin Value Investment Maturity Beginning Purchase Addition Redemption Amortization Change in Ending CUSIP Investment#Fund Class Date Invested Value of Principal to Principal ofPrincipal Adjustment MarketValue Invested Value Fund:Treasury Fund 3133XQUX8 2075 99 FairValue 10/29/2010 1,987,500.00 0.00 0.00 0.00 0.00 28,120.00 2,015,620.00 3136F9LP6 2076 99 FairValue 04/28/2010 1,994,375.00 0.00 0.00 0.00 0.00 19,385.00 2,013,760.00 3136F9NB5 2077 99 FairValue 05/12/2010 1,991,875.00 0.00 0.00 0.00 0.00 23,745.00 2,015,620.00 31398ARD6 2078 99 FairValue 05/19/2011 1,997,500.00 0.00 0.00 0.00 0.00 24,380.00 2,021,880.00 3128X7TT1 2079 99 FairValue 06/0212011 1,997,510.07 0.00 0.00 0.00 0.00 25,529.93 2,023,040.00 3136F9SA2 2080 99 FairValue 06/10/2010 2,000,625.00 0.00 0.00 0.00 0.00 21,255.00 2,021,880.00 3136F9TS2 2081 99 Fair Value 06/25/2010 2,003,125.00 0.00 0.00 2,000,000.00 0.00 -3,125.00 0.00 3128X7YG3 2082 99 Fair Value 06/26/2013 2,006,940.00 0.00 0.00 2,000,000.00 0.00 -6,940.00 0.00 3133XRNM8 2083 99 Fair Value 03/30/2010 2,011,250.00 0.00 0.00 0.00 0.00 3,750.00 2,015,000.00 3133XRK74 2084 99 Fair Value 12130/2009 2,008,125.00 0.00 0.00 2,000,000.00 0.00 -8,125.00 0.00 3136F9WV1 2085 99 Fair Value 07/0212010 0.00 2,000,000.00 0.00 0.00 0.00 32,500.00 2,032,500.00 3133XS6Q6 2086 99 FairValue 10101/2010 0.00 2,000,000.00 0.00 0.00 0.00 14,380.00 2,014,380.00 3133XSDGO 2087 99 Fair Value 10/0212009 0.00 2,000,000.00 0.00 0.00 0.00 4,375.00 2,004,375.00 3133XSCCO 2088 99 Fair Value 10/14/2011 0.00 2,000,000.00 0.00 0.00 0.00 17,500.00 2,017,500.00 3133XSFC7 2089 99 Fair Value 04/02/2009 0.00 2,000,000.00 0.00 0.00 0.00 16,875.00 2,016,875.00 1005581024 2090 99 Amortized 12110/2009 0.00 1,000,000.00 0.00 0.00 0.00 0.00 1,000,000.00 Subtotal 87,788,742.96 11,000,000.00 445,642.91 26,769,032.45 0.00 483,968.39 81,108,947.03 Total 87,788,742.96 11,000,000.00 445,642.91 26,769,032.45 0.00 483,968.39 81,108,947.03 Portfolio OTAY AP Run Dale:01127/2009 -09:22 GD (PRF_GD)SymRepl 6.41.200 ReportVer.5.00 OTAY Duration Report Sorted by Investment Type -Investment Type Through 12/31/2008 Investment Book Par Market Current YTM Current Maturity/Effective Security 10 Investment#Fund Issuer Class Value Value Value Rate 365 Yield Call Date Duration 36962G2S2 2044 99 General Electric Capital Fair 2,021,260.82 2,000,000.00 2,032,620.00 5.000 4.401 4.108 12101/2010 1.808 3133XPWL4 2065 99 Federal HomeLoan Bank Fair 2,000,000.00 2,000,000.00 2,007,500.00 3.000 3.000 2.242c 02/26/2009 0.153 3133XPDSO 2063 99 Federal Home Loan Bank Fair 2,000,000.00 2,000,000.00 2,004,380.00 3.250 3.250 2.806c 01/30/2009 0.079 3133XS6Q6 2086 99 Federal Home Loan Bank Fair 2,000,000.00 2,000,000.00 2,014,380.00 3.500 3.500 2.047c 04/01/2009 0.246 3128X7TT1 2079 99 Federal Home Loan Mortgage Fair 2,000,000.00 2,000,000.00 2,023,040.00 3.625 3.625 1.306c 06/0212009 0.416 3133XSFC7 2089 99 Federal Home Loan Bank Fair 2,000,000.00 2,000,000.00 2,016,875.00 3.400 3.400 1.698 04/0212009 0.249 3133XPX90 2067 99 Federal Home Loan Bank Fair 2,000,000.00 2,000,000.00 2,008,760.00 3.020 3.020 2.135c 03/05/2009 0.172 31398AMX7 2064 99 FANNIE MAE Fair 2,000,000.00 2,000,000.00 2,005,620.00 3.000 3.000 2.431 c 02/19/2009 0.134 3133XQF23 2071 99 Federal Home Loan Bank Fair 2,000,000.00 2,000,000.00 2,011,260.00 3.250 3.250 2.112c 03/25/2009 0.227 31331YB74 2073 99 Federal Farm Credit Bank Fair 2,000,000.00 2,000,000.00 2,012,500.00 3.180 3.180 1.918c 04/07/2009 0.263 3133XQJ78 2072 99 Federal Home Loan Bank Fair 2,000,000.00 2,000,000.00 2,013,760.00 3.150 3.150 1.762c 04/14/2009 0.282 3133XSDGO 2087 99 Federal Home Loan Bank Fair 2,000,000.00 2,000,000.00 2,004,375.00 3.650 3.650 3.205c 01/0212009 0.000 3133XRNM8 2083 99 Federal Home Loan Bank Fair 2,000,000.00 2,000,000.00 2,015,000.00 3.650 3.648 2.134c 03/30/2009 0.000 31398ARD6 2078 99 Federal National MortageAssoc Fair 1,999,269.11 2,000,000.00 2,021,880.00 3.600 3.619 1.397c 05/19/2009 0.378 3133XQMC3 2074 99 Federal Home Loan Bank Fair 2,000,000.00 2,000,000.00 2,012,500.00 2.900 2.900 1.640c 04/14/2009 0.282 3136F9LP6 2076 99 Federal National MortageAssoc Fair 1,999,403.75 2,000,000.00 2,013,760.00 3.000 3.031 1.613c 04/28/2009 0.320 3136F9WV1 2085 99 Federal National Mortage Assoc Fair 2,000,000.00 2,000,000.00 2,032,500.00 4.000 4.000 0.756c 07/0212009 0.491 3136F9NB5 2077 99 Federal National Mortage Assoc Fair 2,000,000.00 2,000,000.00 2,015,620.00 3.100 3.100 1.526c 05/12/2009 0.358 3136F9SA2 2080 99 Federal National Mortage Assoc Fair 2,000,000.00 2,000,000.00 2,021,880.00 3.265 3.265 1.065c 06/10/2009 0.438 3133XPDR2 2062 99 Federal Home Loan Bank Fair 2,000,000.00 2,000,000.00 2,003,760.00 3.060 3.060 2.679c 01/29/2009 0.076 3133XSCCO 2088 99 Federal Home Loan Bank Fair 2,000,000.00 2,000,000.00 2,017,500.00 4.000 4.000 2.230c 04/14/2009 0.282 31398ANH1 2069 99 Federal National Mortage Assoc Fair 2,000,000.00 2,000,000.00 2,006,880.00 3.250 3.250 2.553c 02/25/2009 0.150 3133XQUX8 2075 99 Federal Home Loan Bank Fair 2,000,000.00 2,000,000.00 2,015,620.00 3.100 3.100 1.526c 04/29/2009 0.323 31398AKSO 2060 99 Federal National Mortage Assoc Fair 2,000,000.00 2,000,000.00 2,001,260.00 4.500 4.500 4.371c 01/07/2009 0.016 Run Date:0112712009 -09:23 Page 1 Portfolio OTAY AP DU (PRF_DUj SymRept6.41.200 ReportVer.5.00 OTAY Duration Report Sorted by Investment Type -InvestmentType Through 12/31/2008 Investment Book Par Market Current YTM Current Maturityl Effective Security ID Investment#Fund Issuer Class Value Value Value Rate 365 Yield Call Date Duration 1005581024 2090 99 Neighborhood National Bank Amort 1,000,000.00 1,000,000.00 1,000,000.00 3.150 3.194 3.150 12/10/2009 0.924 205003183 2066 99 California Bank &Trust Amort 79,108.00 79,108.00 79,108.00 3.180 3.224 3.180 01/2212010 1.037t LAIF 9001 99 STATE OF CALIFORNIA Fair 18,948,024.56 18,948,024.56 19,005,122.75 2.353 2.353 2.353 0.000 LAIF COPS07 9009 99 STATE OF CALIFORNIA Fair 1,460,877.26 1,460,877.26 1,465,279.48 2.353 2.353 2.353 0.000 SDCOUNTY 9007 99 San DiegoCounty Fair 10,380,824.62 10,380,824.62 10,489,859.28 2.425 2.425 2.425 0.000 ReportTotal 79,888,768.12 79,868,834.44 80,372,599.51 2.242 0.192t t =Duration can not be calculated on these investments due to incomplete Marketprice data. Run Date:01/27/2009 -09:23 Page 2 Portfolio OTAY AP DU (PRF_DU)SymRept 6.41.200 ReportVer.5.00 AGENDA ITEM 11 STAFF REPORT February 4,2009 DIV.NO.W.O./G.F.NO: MEETING DATE: SUBMITIED BY: Regular Board ~ Sean Prendergast,Finance~ Supervisor,Payroll &AP APPROVED BY:Joseph Beachem,Chief Financial Officer (Chief) TYPE MEETING: APPROVED BY:German Alvarei,Assistant General Manager (Ass!.GM): SUBJECT:Accounts Payable Demand List PURPOSE: Attached is the list of demands for the Board's information. FISCAL IMPACT: SUMMARY NET DEMANDS CHECKS (2015769-2016169)$2,560,774.10 WIRE TO: CITY OF CHULA VISTA -BI-MQNTHLY SEWER CHARGES CITY TREASURER -RECLAIMED WATER PURCHASE CREATIVE BENEFITS -HEALTH INSURANCE &FLEX CLAIMS DELTA HEALTH SYSTEMS -DENTAL &COBRA CLAIMS LANDESBANK -CERTIFICATES OF PARTICIPATION SAN DIEGO COUNTY WATER AUTHORITY -WATER DELIVERIES SPECIAL DIST RISK MGMT AUTH -INS PREMIUM FEB 09 UNION BANK -PAYROLL TAXES $2,711,684.40 $36,352.12 $56,000.00 $15,809.79 $21,624.90 $1,998,297.30 $186,813.01 $305,685.98 TOTAL CASH DISBURSEMENTS $7,893,041.60 RECOMMENDED ACTION: That the Board receive the attached list of demands. Jb/Attachment OTAYWATER DISTRICT CHECK REGISTER FOR CHECKS 2015769 THROUGH 2016169 RUN DATES 11712009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2015860 01/14/09 06839 A GLASCO 1103087 12/22/08 GLASS DESK TOP 96.98 96.98 2015769 01/07/09 01910 ABCANA INDUSTRIES 835233 12/16108 BULK HYPOCHLORITE SOLUTION 1,657.06 835231 12/16/08 BULK HYPOCHLORITE SOLUTION 1,246.42 835369 12118/08 BULK HYPOCHLORITE SOLUTION 861.90 834992 12/08/08 BULK HYPOCHLORITE SOLUTION 393.22 4,158.60 2015861 01114/09 01910 ABCANA INDUSTRIES 835466 12122108 BULK HYPOCHLORITE SOLUTION 1,392.97 835469 12/22108 BULK HYPOCHLORITE SOLUTION 1,343.64 835465 12/22108 BULK HYPOCHLORITE SOLUTION 623.94 3,360.55 2016006 01/21/09 01910 ABCANA INDUSTRIES 835600 12/26/08 BULK HYPOCHLORITE SOLUTION 1,242.07 835748 01/01/09 BULK HYPOCHLORITE SOLUTION 1,181.12 835628 12129/08 BULK HYPOCHLORITE SOLUTION 845.94 835627 12/29/08 BULK HYPOCHLORITE SOLUTION 792.26 4,061.39 2016096 01/28/09 01910 ABCANA INDUSTRIES 835803 01/05/09 BULKSODIUM HYPOCHLORITE 1,056.33 835802 01/05/09 BULKSODIUM HYPOCHLORITE 837.24 835964 01/08/09 BULKSODIUM HYPOCHLORITE 504.95 835890 01/07/09 BULKSODIUM HYPOCHLORITE 489.00 2,887.52 2015770 01/07/09 08488 ABLEFORCE INC 1530 12/30/08 CONSULTING SERVICES -IS DEPT 3,230.00 3,230.00 2015862 01/14/09 08488 ABLEFORCE INC 1532 01/06/09 CONSULTING SERVICES -IS DEPT 3,740.00 3,740.00 2016007 01/21/09 08488 ABLEFORCE INC 1539 01/13/09 CONSULTING SERVICES -IS DEPT 3,995.00 3,995.00 2015921 01/21/09 09735 ADRIANALIMON Ref002392354 01/20/09 UB Refund Cst#0000083900 60.00 60.00 2015771 01/07/09 07732 AIRGAS SPECIALTY PRODUCTS INC 131109080 12/17/08 BULK AQUA AMMONIA 19%2,157.96 131109079 12/17108 BULK AQUA AMMONIA 19%1,349.95 131109081 12/17/08 BULK AQUA AMMONIA 19%591.43 4,099.34 2016008 01/21/09 00132 AIRGASWEST 103113344 12/31/08 BREATHING AIR-TREATMENT PLANT 25.73 25.73 2015772 01/07/09 02618 ALHAMBRA RUBBER &26310 12111108 METER GASKETS 281.71 281.71 2015922 01/21/09 09742 ALICIA BOURGEOIS Ref002392361 01/20/09 UB Refund Cst #0000094346 33.16 33.16 2015863 01/14/09 02362 ALLIED WASTE SERVICES #509 0509003388908 12125/08 TRASH REMOVALSERVICES 713.14 0509003390293 12125/08 ASBESTOS DISPOSAL CONTAINER RENTAL 196.22 0509003391110 12/25/08 TRASH REMOVAL SVCS TREATMENT PLANT 123.44 1,032.80 2015923 01/21/09 09745 AMERICAN HOME MTG SERVICING Ref002392364 01/20/09 UB Refund Cst #0000121180 97.37 97.37 Page 1 of22 OTAYWATER DISTRICT CHECK REGISTER FOR CHECKS 2015769 THROUGH 2016169 RUN DATES 11712009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2016097 01/28/09 09805 AMERICAN INDUSTRIAL HYGIENE 13712209 01/27109 MEMBERSHIP RENEWAL 190.00 190.00 2015773 01/07/09 06166 AMERICAN MESSAGING L1109570JA 01/01/09 PAGER SERVICES 374.54 374.54 2015774 01/07/09 06973 ANDER,DIANE 000907 01/07/09 REIMBURSE DEFERRED COMP DED TAKEN 500.00 500.00 2015924 01/21/09 09756 ANGELICA GAMBOA Ref002392376 01/20109 UB Refund Cst #0000127189 65.77 65.77 2015775 01/07/09 00002 ANSWER INC 1099 12/19/08 TELEPHONE ANSWERING SERVICES 1,000.00 1,000.00 2016098 01/28/09 00002 ANSWER INC 1239 01/22109 TELEPHONE ANSWERING SERVICES 1.000.00 1,000.00 2015776 01/07/09 08967 ANTHEM BLUE CROSS EAP 40732 12/17108 EMPLOYEE ASSISTANCE PROGRAM SERVICES 379.50 379.50 2015925 01/21/09 09721 ANTHONY WIGGINS Ref002392339 01/20109 UB Refund Cst #0000041890 60.68 60.68 2016099 01/28/09 05753 ARRIETA CONSTRUCTION INC 3 01/08/09 R2086 RWCWRF FORCEMAIN AIRIVAC REPL 266,927.72 266,927.72 2015926 01/21/09 09772 ASCENT REAL ESTATE Ref002392392 01/20109 UB Refund Cst#0000139968 61.56 61.56 2016100 01/28/09 03143 ASIAN BUSINESS ASSOCIATION 000943 01/22/09 MEMBERSHIP RENEWAL 300.00 300.00 2015864 01/14/09 05514 ASSOCIATED TOWING INC 378617 12/23/08 TOWING SERVICES 100.00 100.00 2015865 01/14/09 00108 ASSOCIATION OF CALIFORNIA 105562 12118/08 CONFERENCE REGISTRATION 628.00 628.00 2015866 01114/09 00501 AT&T 000702 12/12/08 PHONE SERVICE 79.57 79.57 2015867 01/14/09 05758 AT&T 082164572812250E12/25/08 OPTE MAN INTERNET BANDWIDTH 2.805.12 2.805.12 2015868 01/14/09 05758 AT&T 000864 12/07/08 PHONE SERVICE (HI HEAD P/S-SCADA)32.37 32.37 2016009 01/21/09 07785 AT&T 000000397573 01/02/09 PHONE SERVICES 5,718.57 5,718.57 2015869 01/14/09 08330 AT&T INTERNETSERVICES 000908 12/22/08 INTERNET BANDWIDTH 1,200.00 1,200.00 2015927 01/21/09 09753 AVIV BADER Ref002392372 01/20109 UB Refund Cst#0000126446 12.49 12.49 2015777 01/07/09 03285 AZTEC FIRE &SAFETY 43183 12/16/08 PIPE FABRICATION 113.04 113.04 2015870 01/14/09 03285 AZTEC FIRE &SAFETY 43238 12/19/08 FIRESPRINKLER INSTALLATION 1,485.00 43239 12115/08 ANNUAL FIRE SPRINKLER INSPECTION 437.50 1,922.50 2016010 01/21/09 08024 BACKGROUND PROFILES INC 5980000101091 01/01/09 BACKGROUND CHECKS 86.00 86.00 Page 2 of 22 OTAY WATERDISTRICT CHECK REGISTER FOR CHECKS 2015769 THROUGH 2016169 RUN DATES 11712009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2015928 01/21/09 09770 BANCROFT REALTV Ref002392390 01/20/09 UB Refund Cst #0000139652 30.46 30.46 2016011 01/21/09 06285 BARTEL ASSOCIATES LLC 08750 12106108 PROFESSIONAL ACTUARY SERVICES 4,510.00 4,510.00 2016012 01/21/09 01794 BEACHEM,JOSEPH R 15150109 01/15/09 TRAVEL EXPENSE REIMBURSEMENT 657.38 657.38 2016013 01/21/09 09509 BEN &CAROL FLICK 13 01/20/09 EMPLOYEE PROGRAM 150.00 150.00 2016101 01/28/09 04975 BLS ENTERPRISES INC 53087 01/06/09 REPAIR PARTS 280.17 280.17 2016014 01/21/09 03470 BONITA BUSINESS &PROFESSIONAL 000933 11/20/08 MEMBERSHIP RENEWAL 350.00 350.00 2015871 01/14/09 03458 BREITFELDER,LARRY 70131108 11/30/08 MILEAGE REIMBURSEMENT 72.54 70131208 12/31108 MILEAGE REIMBURSEMENT 49.14 121.68 2015929 01/21/09 09647 BRITANNIADEVELOPMENT CO Ref002392373 01/20/09 UB Refund Cst#0000126960 11.01 11.01 2015778 01/07/09 01232 BRODING'S BATIERYWAREHOUSE 604 11/20/08 BATIERIES TO REPAIR EMERGENCY LIGHTS 98.53 98.53 2016102 01/28/09 01232 BRODING'SBATIERYWAREHOUSE 821 01/06/09 AUTOMOTIVE BATIERIES 258.49 258.49 2015779 01/07/09 03721 BULLETLOGISTICS INC 12150803350 12/15/08 COURIER SERVICES FOR TREATMENT PLANT 455.40 455.40 2015780 01/07/09 00223 C W MCGRATH INC 31610 12104108 CRUSHED ROCK 497.58 31665 12/09/08 CRUSHED ROCK 486.23 31703 12/11/08 CRUSHED ROCK 184.07 31562 12101/08 CRUSHED ROCK 151.87 31721 12/12108 CRUSHED ROCK 129.43 31682 12/10/08 CRUSHED ROCK 117.58 1,566.76 2016103 01/28/09 00223 C W MCGRATH INC 31863 01/06/09 CRUSHED ROCK 335.50 31828 12131/08 CRUSHED ROCK 208.47 543.97 2015781 01/07/09 02401 CAJON VALLEY UNION SCHOOL DIST 9063 12/15/08 BUS FUNDING TO WATER GARDEN 160.00 160.00 2015782 01/07/09 06281 CALIF STATE DISBURSEMENTUNIT Ben2392045 01/08/09 PAYROLLDEDUCTION 286.73 286.73 2016015 01/21/09 06281 CALIF STATE DISBURSEMENT UNIT Ben2392443 01/22/09 PAYROLL DEDUCTION 286.73 286.73 2016016 01/21/09 08690 CALIFORNIA BANK&TRUST 4R 12/31/08 RETENTION FOR NEWEST CONSTRUCTION 5,939.00 5,939.00 2016104 01/28/09 08966 CALIFORNIA BANK &TRUST 3R 01/08/09 RETENTION FOR ARRIETA CONSTRUCTION 29,658.63 29,658.63 2016105 01/28/09 02920 CALIFORNIA COMMERCIAL 81560 01/09109 ASPHALT 1,227.33 1,227.33 Page 3 of 22 OTAYWATERDISTRICT CHECK REGISTER FORCHECKS 2015769 THROUGH 2016169 RUN DATES 117/2009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2015930 01/21/09 09775 CALIFORNIAREALTY &FUNDING Ref002392395 01/20/09 UB Refund Cst#0000140128 6.42 6.42 2015783 01/07/09 00192 CALIFORNIA WATER ENVIRONMENT 0101540609 01105109 CERTIFICATION RENEWAL FEE 76.00 76.00 2015784 01/07/09 01004 CALOLYMPIC SAFETY 049235 12/16/08 CL2 CALIBRATION GAS 332.50 049527 12112108 SIGN FOR CONFINED SPACE ENTRY 52.31 384.81 2015872 01/14/09 01004 CALOLYMPIC SAFETY 049097 12108/08 MICRO MAX PRO BAITERY PACK 100.70 100.70 2015785 01/07/09 05413 CALPERS 4384 12/17/08 VALUATION FEE 200.00 200.00 2016017 01/21109 08009 CANON BUSINESS SOLUTIONS INC 4001688236 01/01109 COPIER MAINTENANCE 758.50 4001684630 01/01/09 COPIER MAINTENANCE 534.77 4001675698 01/01/09 COPIER MAINTENANCE 433.67 4001681038 01/01/09 COPIER MAINTENANCE 47.66 1,774.60 2016106 01/28/09 09802 CANTERBURY HILLS HOA 000942 01/20/09 CASH IN YOUR PLANTS PROGRAM 6,500.00 6,500.00 2016018 01/21/09 03376 CAREER TRACK 10812155 12/31/08 SEMINAR REGISTRATION 149.00 149.00 2015873 01/14/09 02758 CARMEL BUSINESS SYSTEMS INC 6913 01/08/09 TEMPORARYSERVICES -RECORDS 1,182.00 1,182.00 2016019 01/21/09 02758 CARMEL BUSINESS SYSTEMS INC 6912 01/01/09 RECORDS STORAGE &SUPPORT 362.25 362.25 2015931 01/21/09 09785 CARMEN CECENA Ref002392405 01/20/09 UB Refund Cst#0000141587 89.21 89.21 2016020 01/21/09 04204 CASADEL MAR 24613 12131/08 SHIRTS 885.25 885.25 2015932 01/21/09 09734 CASCO GROUP INC Ref002392353 01/20/09 UB Refund Cst#0000083689 53.29 53.29 2015786 01/07/09 02026 CHULA VISTA ELEMENTARY SCHOOL 900347 12/16/08 BUS FUNDING TO WATER GARDEN 540.00 540.00 2016021 01/21/09 02026 CHULA VISTA ELEMENTARY SCHOOL 900417 01/15/09 REIMB TRIP TO WATER CONS GARDEN 810.00 810.00 2015933 01/21/09 09759 CLASSIC CA REALTY Ref002392379 01/20/09 UB Refund Cst #0000127889 57.13 57.13 2015787 01/07/09 08160 COMPLETE OFFICE 10965830 12/17/08 2009 CALENDARS 29.39 29.39 2016107 01/28/09 08160 COMPLETE OFFICE 11001380 01/07/09 OFFICE SUPPLIES 76.03 10986860 01/02/09 PAPER 27.99 104.02 2015874 01/14/09 09510 CONFERENCECALL.COM B116017679 12/31/08 CONFERENCE CALLING SERVICES 40.61 40.61 2016108 01/28/09 04398 CONSTRUCTION MANAGEMENT 000948 01/26/09 REGISTRATION FEE 55.00 55.00 Page 4 of22 OTAYWATER DISTRICT CHECK REGISTER FOR CHECKS2015769THROUGH2016169 RUN DATES 1/7/2009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2016022 01/21/09 09716 COTTONWOOD GOLF CLUB 000931 01/20/09 RECOGNITION EVENT 5,844.53 5,844.53 2015934 01/21/09 09757 COUNTRYWIDE HOME LOANS Ref002392377 01/20/09 UB Refund Cst #0000127343 95.17 95.17 2015788 01/07/09 00184 COUNTY OF SAN DIEGO DEH090181D11 12/23/08 RECLAIMED WATER SHUTDOWN TEST 833.00 DEH090180D11 12/23/08 RECLAIMED WATER SHUTDOWN TEST 714.00 DEH090182D11 12/23/08 RECLAIMED WATER SHUTDOWN TEST 714.00 DEH090184D11 12/23/08 RECLAIMED WATER SHUTDOWN TEST 714.00 2,975.00 2015875 01114/09 00134 COUNTYOF SAN DIEGO 2008163 01/07/09 COUNTY ASSESSOR DATA 125.00 125.00 2016023 01/21/09 00099 COUNTYOF SAN DIEGO -DPW 99448 12/05/08 EXCAVATION PERMITS 3,444.69 3,444.69 2015876 01/14/09 02122 COUNTY OFSD AIR POLLUTION P097115078 12/17/08 PERMIT,EMISSION &SOURCE TEST FEES 2,304.00 2,304.00 2016024 01/21/09 07601 CREATIVE BENEFITS INC 69856 01/01/09 FLEXIBLE SPENDING ACCT ADMINISTRATION 596.40 596.40 2015935 01/21/09 09738 CRISTINA TAGGART Ref002392357 01/20/09 UB Refund Cst#0000088432 20.65 20.65 2015936 01/21/09 09723 CUC PHI LE Ref002392341 01/20/09 UB Refund Cst#0000067965 38.63 38.63 2015789 01/07/09 08892 CUDAL,TED 000902 01/05/09 MEMBERSHIP RENEWAL REIMBURSEMENT 130.00 130.00 2015790 01/07/09 05125 CUDLlP,JAMES 000896 12/30/09 TUITION REIMBURSEMENT 300.50 300.50 2016025 01/21/09 05125 CUDLlP,JAMES 16780109 01/15/09 TRAVEL EXPENSE REIMBURSEMENT 214.96 214.96 2015877 01/14/09 06415 CUMMINS CAL PACIFIC LLC 00467212 12/19/08 APCD RETROFIT 13,003.38 13,003.38 2015937 01/21/09 09792 DANIELJ PENDELTON Ref002392412 01/20/09 UB Refund Cst#0000142070 758.16 758.16 2015938 01/21/09 09799 DAVE ZARELLA Ref002392419 01/20/09 UB Refund Cst #0000142617 34.67 34.67 2015939 01/21/09 09720 DAVID BAKER Ref002392338 01/20/09 UB Refund Cst #0000033341 94.22 94.22 2015791 01/07/09 09707 DEBRAENTREKIN 000892 12/31/08 CASH IN YOUR PLANTS PROGRAM 2,200.00 2,200.00 2015792 01/07/09 01797 DELL ENTERPRISES 184655 12/08/08 COMMEMORATIVE ITEMS 274.76 274.76 2015878 01/14/09 01797 DELL ENTERPRISES 184718 12/22/08 PLAQUE 117.99 117.99 2016109 01/28/09 01797 DELL ENTERPRISES 184767 01/06/09 PLAQUE 91.05 91.05 2016026 01/21/09 07680 DELTA HEALTH SYSTEMS P090120 01/20/09 EMPLOYEE HEALTH ADMINISTRATION SVCS 1,360.00 1,360.00 Page 5 of 22 OTAYWATER DISTRICT CHECK REGISTER FOR CHECKS2015769THROUGH2016169 RUN DATES 1/7/2009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice 2016027 01/21/09 03744 DEPARTMENT OF JUSTICE 717878 2015793 01/07/09 00319 DEPARTMENT OF PUBLIC HEALTH 000891 1510309 2016028 01/21/09 02780 DICTIONARY HILL CITIZENS ASSN 000932 2015794 01/07/09 03417 DIRECTV 918418799 2016029 01/21/09 03417 DIRECTV 928358233 2016110 01/28/09 03417 DIRECTV 937515441 2015940 01/21/09 09778 DOWNEY SAVINGS AND LOAN Ref002392398 2015941 01/21/09 09730 ECO PLANET RECYCLING Ref002392348 2015795 01/07/09 02447 EDCO DISPOSAL CORPORATION 000894 2016030 01/21/09 00230 EDPPRODUCTS INC 805852 2015942 01/21/09 09728 EMIE ULANDAY Ref002392346 2015796 01/07/09 03725 ENVIRONMENTALSYSTEMS RESEARC~91895606 2015879 01/14/09 03725 ENVIRONMENTALSYSTEMS RESEARC~91898652 2015943 01/21/09 09744 EVELYN GRACIAN Ref002392363 2015880 01/14/09 02639 EWTRUCK &EQUIPMENT 34888 34889 34890 34891 34892 34893 34894 34895 34896 34897 34899 34898 34900 34901 34902 34903 Inv Date Description Amount Paid Check Total 01/08/09 FINGERPRINT ANALYSIS SERVICES 153.00 153.00 01/05/09 CERTIFICATION FEE 80.00 01/05/09 CERTIFICATION FEE 60.00 140.00 01/16/09 ANNUAL MEMBERSHIP RENEWAL 40.00 40.00 12/19/08 SATELLITE TV SERVICE 4.99 4.99 01/05/09 SATELLITE TV SERVICE 9.98 9.98 01/19/09 SATELLITE TV SERVICE 507.87 507.87 01/20109 UB Refund Cst #0000140876 32.82 32.82 01/20109 UB Refund Cst #0000076163 61.57 61.57 12/31/08 RECYCLING SERVICES 90.00 90.00 12/31/08 CARTRIDGE STORAGEIRETRIEVAL 212.40 212.40 01/20109 UB Refund Cst#0000074122 65.16 65.16 12/16/08 PROFESSIONAL DATABASE SUPPORT 777.00 777.00 12/21/08 SYSTEM ARCHITECTURE CONSULTANT 2,849.00 2,849.00 01/20109 UB Refund Cst#0000119349 14.26 14.26 12/15/08 OPACITY TESTING 45.00 12115108 OPACITY TESTING 45.00 12115/08 OPACITY TESTING 45.00 12/15/08 OPACITY TESTING 45.00 12/15/08 OPACITYTESTING 45.00 12/15/08 OPACITYTESTING 45.00 12115108 OPACITYTESTING 45.00 12/15/08 OPACITYTESTING 45.00 12/15/08 OPACITYTESTING 45.00 12/15/08 OPACITYTESTING 45.00 12115108 OPACITYTESTING 45.00 12/15/08 OPACITY TESTING 45.00 12/15/08 OPACITY TESTING 45.00 12/15/08 OPACITY TESTING 45.00 12/15/08 OPACITY TESTING 45.00 12115108 OPACITY TESTING 45.00 Page 6 of22 ~-.,."...,,...,.,..,,.,,'".~,".~'.,,...,--"..".~~,,,,,,-=~=~-=.,~~.-.,,~-~_. OTAYWATERDISTRICT CHECK REGISTER FORCHECKS 2015769 THROUGH 2016169 RUN DATES 11712009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 34904 12115/08 OPACITYTESTING 45.00 34905 12/15/08 OPACITY TESTING 45.00 34906 12/15/08 OPACITYTESTING 45.00 34907 12/15108 OPACITY TESTING 45.00 34908 12/15/08 OPACI.TY TESTING 45.00 34948 12115/08 OPACITYTESTING 45.00 34949 12/15/08 OPACITYTESTING 45.00 34950 12/15/08 OPACITYTESTING 45.00 34951 12/15/08 OPACITYTESTING 45.00 34971 12/16/08 OPACITY TESTING 45.00 1,170.00 2016111 01/28/09 02639 EW TRUCK&EQUIPMENT 34952 CREDIT MEMO (40.00) 34947 12115/08 OPACITY TESTING 85.00 45.00 2016112 01/28/09 00645 FEDEX 905430087 01/16/09 OVERNIGHT PICK-UP&DELIVERY MAIL SVCS 6.16 6.16 2015797 01/07/09 03546 FERGUSON WATERWORKS 0297951 12/12/08 INVENTORY 4,544.78 0298086 12112108 INVENTORY 3,865.53 02980861 12/18/08 INVENTORY 969.75 0297953 12/12/08 WAREHOUSE ITEMS 173.26 9,553.32 2016031 01/21/09 03546 FERGUSON WATERWORKS 02896722 12/29/08 RECLAIM 8"GATE CAP 533.36 533.36 2015798 01/07/09 04066 FIRST CHOICE SERVICES -SO 306069 12/18/08 COFFEE SUPPLIES 420.37 420.37 2016113 01/28/09 04066 FIRST CHOICE SERVICES -SO 306735 01/07/09 COFFEE SUPPLIES 133.87 133.87 2015799 01/07/09 01612 FRANCHISE TAX BOARD Ben2392035 01/08/09 PAYROLL DEDUCTION 364.98 364.98 2015800 01/07/09 02344 FRANCHISE TAX BOARD Ben2392047 01/08/09 PAYROLL DEDUCTION 313.82 313.82 2016032 01/21109 02344 FRANCHISE TAX BOARD Ben2392445 01/22/09 PAYROLL DEDUCTION 313.82 313.82 2015801 01/07/09 04548 FRASER'S BOILER SERVICE INC 24054 12/12/08 PUMP STATION ENGINE REPAIR PART 455.00 455.00 2015802 01107/09 07224 FRAZEE INDUSTRIES INC 396192 12116108 PURPLE 1YELLOW OIL PAINT 768.37 768.37 2016114 01/28/09 09144 G B ENTERPRISES INC 90200303 12/08/08 DATACENTER EQUIPMENT 12,403.98 12,403.98 2016033 01/21/09 06291 GARCIA CALDERON &RUIZ LLP 2158 01/06/09 LEGAL SERVICES NOV2008 29,481.75 29,481.75 2015881 01/14/09 03609 GBA MASTER SERIES INC 608052 11/30108 SOFTWARE CONSULTING SERVICES 5,500.00 5,500.00 2016115 01/28109 09803 GEOMORPH INFORMATION 274 01/21/09 TRAINING REGISTRATION FEE 485.00 485.00 Page 7 of 22 OTAYWATERDISTRICT CHECK REGISTER FORCHECKS 2015769 THROUGH 2016169 RUN DATES 11712009 TO 1128/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2015803 01/07/09 03537 GHA TECHNOLOGIES INC 524734 12/18/08 DISTRICT PHONES 521.51 521.51 2015944 01/21/09 09754 GRACE ONTIVEROS Ref002392374 01/20109 UB Refund Cst #0000126977 48.70 48.70 2015804 01/07/09 00101 GRAINGER INC 9803156844 12/17/08 REPLACEMENT PARTS 371.40 9801517013 12/16/08 BATTERIES 242.45 9779958421 12/14/08 VALVE PARTS 102.99 716.84 2015882 01/14109 00101 GRAINGER INC 9803192906 12117/08 REPLACEMENT PART 3.72 3.72 2016116 01/28/09 00101 GRAINGER INC 9813902518 01/08/09 FITINGS,NUTS AND BOLTS 543.48 9813639094 01/08/09 GASKETS 44.38 9813639102 01/08/09 GASKET 14.80 602.66 2016034 01/21/09 02187 GREENSCAPE 2086 01/01/09 LANDSCAPING SERVICES 6,090.00 6,090.00 2015945 01/21/09 09795 GREG SEALE Ref002392415 01/20109 UBRefund Cst#0000142356 6.57 6.57 2016035 01/21/09 09715 GUTIERREZ,JUAN 3107530483 01/20109 SAFETY BOOTS REIMBURSEMENT 135.74 135.74 2015805 01/07/09 00174 HACH COMPANY 2020642 CREDIT MEMO (82.10) 6027337 12/11/08 LABORATORY SUPPLIES 1,098.26 6023141 12109/08 LABORATORY SUPPLIES 606.19 6029206 12112/08 LABORATORY SUPPLIES 182.60 1,804.95 2015883 01/14/09 00174 HACH COMPANY 6042452 12/20108 AUTO BURETTE MODULE REPAIR 460.34 460.34 2016117 01/28/09 00174 HACH COMPANY 6053402 01/06/09 CHLORINE&AMMONIA ANALYZER 506.07 506.07 2016118 01/28/09 02629 HANSON AGGREGATES INC 583580 01/09/09 CRUSHED AGGREGATES &ROCK 416.54 416.54 2015806 01/07/09 00150 HAWTHORNE MACHINERY CO PS010238045 12/18/08 THERMOSTAT 163.17 PS010238047 12/18/08 THERMOSTATS 67.10 PS010238046 12/18/08 THERMOSTATS 67.10 297.37 2016119 01/28/09 09714 HD SUPPLY FACILITIES 47112251 01/08/09 MIXINGVALVE 114.39 114.39 2016036 01/21/09 06640 HD SUPPLYWATERWORKS LTO 8147454 10/31/09 INVENTORY 9,746.53 9,746.53 2016037 01/21/09 04799 HELIX WATER DISTRICT 002770 01/20/09 CONSTRUCTION METER 1,684.00 1,684.00 2016120 01/28/09 08610 HENRY BROS ELECTRONICS INC 13100108 12/31108 UPGRADE TO EXISTING VIDEO SYSTEM 17,500.05 17,500.05 2015946 01/21109 09768 HERLINDARYAN INC Ref002392388 01/20/09 UB Refund Cst #0000139142 34.37 34.37 Page 8 of22 OTAYWATER DISTRICT CHECK REGISTER FOR CHECKS 2015769 THROUGH 2016169 RUN DATES 1/7/2009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2016121 01/28109 06843 HI-TECH AIR CONDITIONING 5041 12/31/08 DATACENTER EQUIPMENT 2,712.03 2,712.03 2016122 01/28/09 06540 HORIZON CRANE SERVICE LLC 4908 12/30/08 CRANE RENTAL 540.00 540.00 2016038 01/21/09 03743 HYDROTEX 559772 12/30/08 ENGINE OIL 1,875.26 1,875.26 2016123 01/28/09 08491 IDENTIFICATION SERVICES 000914 01/02/09 FINGERPRINTING SERVICES 20.00 20.00 2015884 01/14/09 02203 IKON OFFICE SOLUTIONS 1015621880 12/24/08 EMC SUPPORT FOR AX FY 2008 14,263.76 1015610488 12/23/08 EMC SUPPORT FOR AX FY 2009 14,263.76 28,527.52 2016039 01/21/09 02203 IKON OFFICE SOLUTIONS 1015679784 12/30108 XTENDER FOR RECORDS MANAGEMENT 49,328.14 49,328.14 2016040 01/21/09 08969 INFOSEND INC 35061 12/31/08 BILL PRINTING SERVICES 7,509.11 7,509.11 2016124 01/28/09 08969 INFOSEND INC 35170 01/06/09 POSTAGE 17,372.45 17,372.45 2015807 01/07/09 03280 INFRASTRUCTURE ENGINEERING 4042 11/28/08 CONSTCONSULTANTS/640-1 RESERVOIR 2,915.00 2,915.00 2016041 01/21/09 03380 INSIGHT PUBLIC SECTOR 1100065252 12/26/08 CONFERENCE ROOM LCD SCREEN 3,852.61 3,852.61 2016042 01/21/09 03797 INSTITUTE FORSUPPLY 000934 01/16/09 MEMBERSHIP RENEWALS 340.00 340.00 2016043 01/21/09 01982 INTEGRATED OFFICE SYSTEMS 3651 12/31108 TONER FOR FAX MACHINE 63.55 3650 12/31/08 TONER FOR FAX MACHINE 41.82 105.37 2016044 01/21/09 02028 INTERACTIVE DATAPRICING AND 05687128 12/31/08 DIAL-UP SERVICE FOR INVESTMENTS 85.00 85.00 2016045 01/21/09 02372 INTERIORPLANT SERVICE INC 29782 12/31/08 PLANT SERVICE 169.00 169.00 2015808 01/07/09 03250 INTERNATIONAL PUBLIC 000897 01/05/09 REGISTRATION FEES 60.00 60.00 2016046 01/21/09 03077 JANI KING OF CA INC -SDO SD001090317 01/01/09 OFF-SITEJANITORIALSERVICES 1,042.00 1,042.00 2016125 01/28/09 05527 JOHN'S CRANE RENTAL LLC 28151 01/08/09 CRANE RENTAL 684.80 684.80 2015885 01/14/09 03172 JONES &STOKES ASSOCIATES 0058775 12/18/08 HABITAT MGMT ENVIRONMENTAL SERVICES 12,936.32 0058774 12/18108 ON-CALL ENVIRONMENTALSVCS 7,757.50 0058773 12/18/08 ON-CALL ENVIRONMENTALSVCS 674.78 21,368.60 2015947 01/21/09 09739 JONI LINDSAY Ref002392358 01/20/09 UB Refund Cst#0000089208 14.61 14.61 2015948 01/21/09 09727 JORGE TORRES Ref002392345 01/20/09 UB Refund Cst#0000073053 29.02 29.02 2015949 01/21/09 09767 JOSE HERNANDEZ Ref002392387 01/20/09 UB Refund Cst #0000133839 76.36 76.36 Page 9 of22 ...~"""'''''~''''''''''''''''''''.'''''''''''-'.e .......~_"O~~=...,,,..,,'"~_.".,.--,.=~~."",_.----_..;"""';":,';;?,;.l,'1..."'W£&i-<.'~~ OTAYWATER DISTRICT CHECK REGISTER FORCHECKS2015769 THROUGH 2016169 RUN DATES 11712009 TO 1/28/2009 Check#Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2015950 01/21/09 09789 JOSEPH TONTZ Ref002392409 01/20109 UB Refund Cst #0000141758 52.69 52.69 2015951 01/21/09 09751 JULIO IBARRIA Ref002392370 01/20109 UB Refund Cst #0000126201 38.65 38.65 2015952 01/21109 09737 KANE DEVELOPMENT Ref002392356 01/20109 UB Refund Cst #0000088334 574.85 574.85 2015886 01/14/09 07493 KEITH OLIVER &ASSOCIATES 1140 12/24/08 APCD RETRO FIT PARTS 3,526.90 3,526.90 2015953 01/21/09 09733 KELLY CREIGHTON Ref002392351 01/20109 UB Refund Cst #0000081499 33.64 33.64 2015954 01/21/09 09746 KEVIN BRANDT Ref002392365 01/20109 UB Refund Cst#0000122533 54.92 54.92 2015955 01/21/09 09741 KIMBERLY SOUSA Ref002392360 01/20109 UB Refund Cst#0000091891 19.94 19.94 2016126 01/28/09 02846 KIRK'S RADIATOR 18590 01/07109 RADIATOR REPAIR 75.00 75.00 2015809 01/07/09 04996 KNOXATIORNEY SERVICE INC 443387 12/16/08 DELIVERYOF BOARD &COMMITTEE PACKETS 28.60 443386 12/16/08 DELIVERYOF BOARD &COMMITTEE PACKETS 28.60 443388 12/16/08 DELIVERYOF BOARD &COMMITTEE PACKETS 28.60 443436 12/16/08 DELIVERY OF BOARD &COMMITIEE PACKETS 28.60 443439 12/16108 DELIVERY OF BOARD &COMMITIEE PACKETS 28.60 443443 12/16/08 DELIVERY OF BOARD &COMMITTEE PACKETS 28.60 443441 12/16/08 DELIVERY OF BOARD &COMMITTEE PACKETS 28.60 443444 12/16/08 DELIVERY OF BOARD &COMMITTEE PACKETS 28.60 442134 12/10108 DELIVERY OF BOARD &COMMITTEE PACKETS 28.60 442135 12/10108 DELIVERY OF BOARD &COMMITIEE PACKETS 28.60 442132 12/10108 DELIVERY OFBOARD &COMMITTEE PACKETS 28.60 442133 12/10108 DELIVERY OFBOARD &COMMITTEE PACKETS 28.60 343.20 2016127 01/28/09 04996 KNOX ATTORNEY SERVICE INC 446715 01/02/09 DELIVERY OF BOARD &COMMITIEE PACKETS 28.60 446714 01/02/09 DELIVERY OF BOARD &COMMITIEE PACKETS 28.60 446713 01/02/09 DELIVERY OF BOARD &COMMITIEE PACKETS 28.60 446712 01/02/09 DELIVERY OF BOARD &COMMITTEE PACKETS 28.60 114.40 2015887 01/14/09 05632 LARSON,BRAD 000922 01/09/09 SAFETYBOOTS REIMBURSEMENT 97.40 97.40 2016128 01/28/09 03607 LEE &RO INC 83704 01/06/09 P2009 -DESIGN OF 36-INCH PIPELINE 76,923.95 76,923.95 2016047 01/21/09 00627 LEWIS &LEWIS ENTERPRISES 983626000 12/23/08 SURVEY SUPPLIES 96.20 96.20 2015956 01/21109 09731 LIDIANUNEZ Ref002392349 01/20109 UB Refund Cst #0000078942 19.20 19.20 2015957 01/21/09 09786 LINDA RING Ref002392406 01/20109 UB Refund Cst #0000141649 46.82 46.82 Page 10 of22 OTAYWATER DISTRICT CHECKREGISTER FOR CHECKS 2015769THROUGH 2016169 RUN DATES 1nJ2009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2016048 01/21/09 05220 LOGICALIS INTEGRATION SOLUTION IN031226 12/26/08 IT SWITCH UPGRADE PARTS 2,358.98 S921833 12/31/08 NETWORK INFRASTRUCTURE CONSULTING 660.00 3,018.98 2015958 01/21/09 09740 LOLAMARIE DODD Ref002392359 01/20109 UB Refund Cst #0000091862 48.46 48.46 2016129 01/28/09 03019 LOPEZ,JOSE A 70101108 01/16/09 MILEAGE REIMBURSEMENT 22.23 22.23 2016130 01/28/09 03015 LORMAN EDUCATION SERVICES 375560 01/23109 SEMINAR REGISTRATION 339.00 339.00 2016131 01/28/09 03015 LORMAN EDUCATION SERVICES 000951 01/27/09 SEMINAR REGISTRATION 339.00 339.00 2015959 01/21/09 06237 LUIS ALVARADO Ref002392352 01/20109 UB Refund Cst#0000082188 16.15 16.15 2015810 01/07/09 03385 MAGANA,MANNY J 000905 12104/08 CONFERENCE EXP REIMBURSEMENT 78.00 78.00 2016049 01/21/09 00628 MANHATTAN NAT'L LIFE INS CO 000937 01/21/09 VOLUNTARY LIFE INSURANCE 320.14 320.14 2015960 01/21/09 09796 MARCCARPENTER &ASSOC Ref002392416 01/20109 UB Refund Cst#0000142477 26.77 26.77 2015961 01/21/09 09776 MARC CARPENTER AND ASSOCIATES Ref002392396 01/20109 UB Refund Cst #0000140188 53.58 53.58 2015962 01/21/09 09736 MARIA BARRON Ref002392355 01/20109 UB Refund Cst #0000087215 73.72 73.72 2015963 01/21/09 09755 MARIACOWARD Ref002392375 01/20109 UB Refund Cst #0000127188 57.60 57.60 2015964 01/21/09 09747 MARKHAYES Ref002392366 01/20/09 UB Refund Cst #0000123098 41.92 41.92 2015811 01/07/09 02265 MARPLE,DOUGLAS W 000906 01/07109 REIMBURSE DEFERRED COMP DED TAKEN 110.00 110.00 2016050 01/21/09 02902 MARSTON+MARSTONINC 20091 01101/09 PUBLIC RELATIONS SERVICES 4,985.00 4,985.00 2015812 01107/09 05329 MASTER METER INC 01490751N 12/16/08 INVENTORY 36,852.96 36,852.96 2016132 01/28/09 01183 MCMASTER-CARR SUPPLY CO 19022718 01/08/09 TAPS AND DRILLS 529.20 18880861 01/07/09 MAINTENANCE SUPPLIES 216.52 745.72 2016133 01/28/09 06648 MEASUREMENT CONTROL 144005 12131/08 LARGE METERTESTING 1,180.40 1,180.40 2016134 01/28/09 03169 MENDEZ-SCHOMER,ALICIA 15530109 01/22/09 REIMBURSE CONF EXPENSES 320.58 320.58 2015965 01/21/09 09724 MIKKYN SMITH Ref002392342 01/20109 UB Refund Cst #0000069726 46.86 46.86 2015813 01/07/09 01577 MINARIK CORPORATION 10632379DD 12109/08 FLOWMETER RADIO PARTS 2,755.52 10633385DD 12/12/08 VERSAMAX PLC BATTERY AND COMM CABLE 251.02 3,006.54 Page 11 of22 OTAYWATER DISTRICT CHECK REGISTER FOR CHECKS 2015769 THROUGH 2016169 RUN DATES 11712009 TO 112812009 Check#Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2016051 01121109 01577 MINARIKCORPORATION 1063553300 12122108 REMOTE PC ACCESS CODES FOR HMI 390.27 390.27 2015888 01/14/09 03393 MOBILE MINI LLC -CA 904179086 12121/08 RENTAL 40'METERSTORAGECONTAINERS 173.28 173.28 2016052 01/21/09 03393 MOBILE MINI LLC -CA 904181390 12129/08 RENTAL 40'METERSTORAGE CONTAINERS 179.27 179.27 2015814 01107/09 04676 NAPAAUTO PARTS 135954 CREDIT MEMO (91.09) 132714 CREDIT MEMO (37.77) 134224 12/15/08 REPAIR PARTS 186.43 128856 10/20108 OIL 91.09 134176 12115/08 REPAIR PARTS 60.98 134441 12118/08 REPAIR PARTS 58.34 134222 12/15108 REPAIR PARTS 35.31 134195 12/15/08 REPAIR PARTS 29.44 134442 12/18/08 REPAIR PARTS 19.01 134325 12/16/08 REPAIR PARTS 8.17 134358 12/17/08 REPAIR PARTS 4.34 364.25 2015889 01/14/09 04676 NAPA AUTO PARTS 134470 12/18/08 REPAIR PART 52.80 133343 12/05/08 REPAIR PART 40.04 134589 12/19/08 REPAIR PARTS 36.07 134886 12/23/08 REPAIR PARTS 30.35 134570 12/19/08 REPAIR PART 12.02 134607 12/19/08 REPAIR PART 8.66 134778 12/22/08 REPAIR PARTS 5.15 185.09 2016053 01/21/09 04676 NAPA AUTO PARTS 135393 12/30108 REPAIR PART 25.26 25.26 2016135 01/28/09 04676 NAPA AUTO PARTS 135602 01/02/09 REPAIR PARTS 354.35 135898 01/06/09 REPAIRPARTS 251.82 135810 01/05/09 REPAIR PARTS 126.06 135899 01/06/09 REPAIR PARTS 125.91 136120 01107109 REPAIR PART 51.71 135776 01/05/09 REPAIR PARTS 36.07 136098 01/07/09 REPAIR PARTS 19.36 136099 01/07/09 REPAIR PART 13.13 136001 01/06/09 REPAIR PART 12.56 136016 01/06/09 REPAIR PART 9.69 136127 01/07/09 REPAIR PART 6.45 1,007.11 2015815 01/07/09 03523 NATIONAL DEFERRED COMPENSATION Ben2392027 01/08/09 DEFERRED COMP PLAN 12,377.76 12,377.76 2016054 01/21/09 03523 NATIONAL DEFERRED COMPENSATION Ben2392427 01/22/09 DEFERRED COMP PLAN 12,092.90 12,092.90 2016055 01/21/09 01136 NATIONAL SOCIETYOF 234106 12/31108 MEMBERSHIP RENEWAL 260.00 260.00 Page 12 of22 ,..,.......,.".~.~....,~.~--~'~-"'~"=,'~,...........".-- OTAYWATER DISTRICT CHECKREGISTER FOR CHECKS2015769 THROUGH 2016169 RUN DATES 11712009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2015890 01/14/09 09712 NATIONAL WATERRESEARCH 15476345 01/07/09 WORKSHOP REGISTRATION FEE 225.00 225.00 2015816 01/07109 03733 NEC UNIFIED SOLUTIONS INC TMOOOOO01398 12/12/08 LABOR FOR PHONES SVCS 236.00 236.00 2015891 01/14/09 03733 NEC UNIFIED SOLUTIONS INC TMOOOOO01724 12/19/08 LABOR FOR PHONES SVCS 236.00 TMOOOOO01815 12/24/08 LABOR FOR PHONES SVCS 177.00 413.00 2016056 01/21/09 03135 NETWORKS 2000 11866 12/03108 HP CARE PACK HARDWARE SUPPORT 764.11 764.11 2016057 01/21/09 08531 NEWEST CONSTRUCTION 4 12/31/08 S2015 -CALAVO SEWER LIFT STATION 53,451.00 53,451.00 2015892 01/14/09 02848 NEWMAN,E PATRICK 000918 01108/09 TUITION REIMBURSEMENT 115.66 115.66 2016058 01/21/09 03571 NEXTLEVELINTERNETINC 17589 01/14/09 INTERNETWEB HOSTING 416.00 416.00 2015893 01/14/09 09713 NIEVES,RICARDO 000921 01/09/09 SAFETY BOOTS REIMBURSEMENT 116.35 116.35 2015966 01/21/09 09777 OAKTREE REALTV Ref002392397 01/20/09 UB Refund Cst #0000140620 52.67 52.67 2015817 01/07/09 00510 OFFICE DEPOT INC 457006078001 12/17108 OFFICE SUPPLIES 68.43 457006146001 12/17/08 OFFICE SUPPLIES 53.98 122.41 2015894 01/14/09 00510 OFFICE DEPOT INC 457781060001 12/24/08 OFFICE SUPPLIES 153.30 457585972001 12/24108 INKJET CARTRIDGE 56.01 457235745001 12/24/08 CANNED AIR 48.36 257.67 2016136 01/28/09 00510 OFFICE DEPOTINC 458400433001 01/07/09 OFFICE SUPPLIES 55.43 55.43 2015818 01/07109 03149 ON SITELASER 42170 12/05108 PRINTERS SERVICED 311.44 42097 11/20/08 PRINTERS SERVICED 261.87 42124 12/05/08 PRINTERS SERVICED 122.80 696.11 2015895 01/14/09 03149 ON SITELASER 42204 12/24/08 PRINTERS SERVICED 69.00 69.00 2015896 01/14/09 02334 OTAY LANDFILL 007506 12/15/08 WASTE DISPOSALSERVICES 2,773.28 2,773.28 2015819 01/07109 03101 OTAYWATER DISTRICT Ben2392029 01/08/09 PAYROLL DEDUCTION -ASSN DUES 819.00 819.00 2016059 01/21/09 03101 OTAYWATER DISTRICT Ben2392429 01/22/09 PAYROLL DEDUCTION -ASSN DUES 819.00 819.00 2015820 01/07/09 08655 PACIFIC ALLIANCE APPRAISALS 0812005 12/12/08 APPRAISAL SERVICES 250.00 250.00 2015821 01/07109 04463 PACIFIC GREEN LANDSCAPE INC 00495791N 12/17/08 LANDSCAPING SERVICES 4,600.00 4,600.00 Page 13of22 OTAYWATER DISTRICT CHECK REGISTER FORCHECKS2015769 THROUGH 2016169 RUN DATES 11712009 TO 1/28/2009 Check#Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2016137 01/28/09 04463 PACIFIC GREEN LANDSCAPE INC 00496441N 01/07/09 LANDSCAPE REMOVAL 2,335.00 2,335.00 2016060 01/21/09 06646 PACIFIC HYDROTECH CORPORATION 4679 11/30108 CONSTRUCTION SERVICES 685,849.80 685,849.80 2015822 01107109 08891 PACIFIC METER SERVICES INC 112 12/17/08 WATER METER REPLACEMENT FY 2009 24,053.67 24,053.67 2016138 01/28/09 08891 PACIFIC METER SERVICES INC 114 01/06/09 WATER METER REPLACEMENT FY 2009 9,055.03 9,055.03 2016061 01/21/09 03017 PACIFIC SAFETYCOUNCIL 65609 12118/08 CONFINED SPACE TRAINING 375.00 65619 12106/08 CPR/FIRST AID &AED TRAINING 50.00 425.00 2016062 01/21/09 05497 PAYPALINC 3222916 12/31/08 ON-LINE PAYMENT SERVICES 438.90 438.90 2016063 01/21/09 03308 PBS&J 1030092 12/29/08 PROFESSIONAL CONSULTING SERVICES 28,850.74 28,850.74 2015967 01/21/09 09718 PEDRO PIDO Ref002392336 01/20109 UB Refund Cst#0000023085 44.96 44.96 2016139 01/28109 08398 PEERLESS MATERIALS COMPANY 2399 01/05109 WIPING RAGS 247.83 247.83 2015823 01/07109 00227 PELL MELL SUPPLY 45611600 12115/08 STAINLESS STEEL NUTS AND BOLTS 1,214.34 1,214.34 2015968 01/21/09 09783 PEMBERLEY REALTY Ref002392403 01/20109 UB Refund Cst #0000141242 49.03 49.03 2016140 01/28/09 00593 PEPPER OIL COMPANY INC 609344 01/05/09 DIESEL FUEL 5,093.96 5,093.96 2015824 01/07/09 09708 PETER MELCHER 000893 12/31/08 CASH IN YOUR PLANTS PROGRAM 900.00 900.00 2015897 01/14/09 00137 PETTYCASH CUSTODIAN 000925 01/13/09 PETTY CASH REIMBURSEMENT 423.75 423.75 2016141 01/28/09 00137 PETTYCASH CUSTODIAN 000950 01/27/09 PETTY CASH REIMBURSEMENT 1,156.79 1,156.79 2015898 01/14/09 03395 PHOENIX PUMPS INC INV17978 12/11/08 REPAIR PART 581.36 581.36 2016142 01/28/09 07290 PILLSBURYWINTHROP SHAW 7497618 01/16/09 LEGAL SERVICES 7,745.64 7,745.64 2015825 01/07109 00053 PITNEY BOWES INC 574252 12114/08 E-Z SEAL FOR MAILING MACHINE 52.19 52.19 2015969 01/21/09 09769 PLATINUM CIRCLE REAL ESTATE Ref002392389 01/20109 UB Refund Cst #0000139625 52.15 52.15 2015899 01/14/09 07602 PLUMBERS DEPOT PD10318 12/16/08 CABLE FOR CAMERA 838.63 838.63 2015826 01/07109 01715 PORRAS,PEDRO J 000898 01/06/09 COMPUTER LOAN PROGRAM 870.61 870.61 2015970 01/21/09 09760 PREMIER NATIONAL REALTY GROUP Ref002392380 01/20109 UB Refund Cst #0000128023 23.21 23.21 Page 14of22 OTAY WATER DISTRICT CHECK REGISTER FORCHECKS2015769 THROUGH 2016169 RUN DATES 11712009 TO 1/28/2009 Check#Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2016064 01/21/09 02976 PRE-PAID LEGAL SERVICES INC 000936 01/21/09 LEGAL SERVICES 15.95 15.95 2015971 01/21/09 09758 PROCTOR VALLEY WESTPARTNERS Ref002392378 01/20109 UB Refund Cst #0000127746 607.18 607.18 2016143 01/28/09 07860 PROTECTIVE LIFE INSURANCECO 0552945602 01/12/09 HEALTH INSURANCE PREMIUM 1,218.88 1,218.88 2015827 01/07/09 09347 PROWEST APPRAISAL 12/18/08 APPRAISAL OFPROPERTY&NEGOTIATIONS 9,395.00 9,395.00 2015828 01/07/09 06641 PRUDENTIAL OVERALL SUPPLY 8923183 12/18/08 UNIFORMS 298.84 8923182 12/18/08 MATS,TOWELS &SUPPLIES 116.78 8923184 12/18/08 MATS,TOWELS &SUPPLIES 95.84 8919138 12/17/08 MATS,TOWELS &SUPPLIES 89.00 8923185 12118/08 UNIFORMS 53.45 8919137 12/17/08 UNIFORMS 53.24 707.15 2015900 01/14/09 06641 PRUDENTIAL OVERALL SUPPLY 8943133 12/25/08 UNIFORMS 294.84 8943135 12/25108 MATS,TOWELS &SUPPLIES 116.78 8943134 12125/08 MATS,TOWELS &SUPPLIES 95.84 8939073 12/24/08 MATS,TOWELS &SUPPLIES 89.00 UNIFORMS 12/25/08 UNIFORMS 53.45 8939072 12/24/08 UNIFORMS 53.24 703.15 2016065 01/21/09 06641 PRUDENTIAL OVERALLSUPPLY 8963070 01/01/09 UNIFORMS 370.27 8963069 01/01/09 MATS,TOWELS &SUPPLIES 116.78 8963071 01/01/09 MATS,TOWELS &SUPPLIES 95.84 8959022 12/31/08 MATS,TOWELS &SUPPLIES 89.00 8963072 01/01/09 UNIFORMS 53.45 8959021 12/31/08 UNIFORMS 53.24 778.58 2016144 01/28/09 06641 PRUDENTIAL OVERALL SUPPLY 8982975 01/08/09 UNIFORMS 310.84 8982974 01/08/09 MATS,TOWELS &SUPPLIES 116.78 8982976 01/08/09 MATS,TOWELS &SUPPLIES 95.84 8978940 01/07/09 MATS,TOWELS &SUPPLIES 89.00 8982977 01/08/09 UNIFORMS 53.45 8978939 01/07/09 UNIFORMS 53.24 719.15 2015901 01/14/09 00078 PUBLIC EMPLOYEES RETIREMENT Ben2392023 01/08/09 PERS CONTRIBUTION 128,785.10 128,785.10 2016145 01/28/09 00078 PUBLIC EMPLOYEES RETIREMENT Ben2392423 01/22/09 PERS CONTRIBUTION 125,641.88 125,641.88 2015902 01/14/09 01342 R J SAFETY SUPPLY CO INC 25772900 12/19/08 ORANGE JACKET 59.98 25773000 12/19/08 RUBBER SAFETY BOOTS 50.91 110.89 2016146 01/28/09 01342 R J SAFETY SUPPLY CO INC 25821700 01/07/09 SAFETYAPPAREL &SUPPLIES 324.55 25821800 01/07/09 SAFETYJACKET 53.88 378.43 Page 15 of22 OTAYWATER DISTRICT CHECK REGISTER FOR CHECKS 2015769 THROUGH 2016169 RUN DATES 11712009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2016147 01/28109 08331 RABO BANKNA 280207R 01105/09 RETENTION FOR SPIESS CONSTRUCTION 13,034.45 13,034.45 2015829 01/07/09 08029 RANCHO SAN DIEGO-JAMUL 000862 12/15/08 REGISTRATION FEE 15.00 15.00 2015830 01/07/09 00766 RANROY PRINTING COMPANY 096035 12/12/08 BUSINESS CARDS 103.44 103.44 2016148 01/28/09 02491 RAYMUNDO,ALLAN 14730109 01/22/09 REIMBURSE CONF EXPENSES 128.00 128.00 2015903 01/14/09 02041 RBF CONSULTING 8110510 12/24/08 SANITARY SEWER CCTV INSPECTION 13,429.24 13,429.24 2016066 01/21/09 01722 ROO EQUIPMENT CO 033438 12/30/08 WATER PUMP AND GASKET 294.97 294.97 2015904 01/14/09 08972 RICK ENGINEERING COMPANY 0010860 12/19/08 ARCGIS SERVER SETUP &SUPPORT 1,245.00 1,245.00 2015972 01/21/09 09725 RIMROCK COMMUNITIES Ref002392343 01/20109 UB Refund Cst #0000070146 77.88 77.88 2015973 01/21/09 09719 RIMROCK CONSTRUCTION INC Ref002392337 01/20/09 UB Refund Cst#0000032984 604.61 604.61 2016149 01/28109 04542 ROBAK,MARK 70141208 12/31/08 REIMBURSE MILEAGE EXPENSE 181.35 181.35 2015905 01/14/09 01471 ROBBINS AUTO GLASS 40146 12/09/08 REPLACE WINDSHIELD 252.76 252.76 2015974 01/21/09 09729 ROBERT FOWLER Ref002392347 01/20/09 UB Refund Cst #0000074807 8.77 8.77 2015831 01/07/09 09706 ROBERT LUTKE RF623084242 12/31/08 REFUND PROP TAXCHARGE 560.70 560.70 2015975 01/21/09 09717 ROBERT SEVERSON Ref002392335 01/20/09 UB Refund Cst #0000006383 13.41 13.41 2015976 01/21/09 09726 ROBERT UECKER Ref002392344 01/20/09 UB Refund Cst#0000071189 31.51 31.51 2015906 01/14/09 09310 ROBERT WEICHELT RF209075932 01/09/09 REISSUE IN AGENT'S NAME 9.92 9.92 2015977 01/21/09 09779 ROCHELLE ASBELL Ref002392399 01/20/09 UB Refund Cst#0000140908 49.08 49.08 2015832 01/07/09 03279 ROTH STAFFING COMPANIES LP 12264730 12/26/08 TEMPORARY SERVICES -HR DEPT 1,315.20 12266438 01/02/09 TEMPORARY SERVICES-HR DEPT 526.08 1,841.28 2016067 01/21/09 03279 ROTH STAFFING COMPANIES LP 12267981 01/09/09 TEMPORARY SERVICES -HR DEPT 789.12 789.12 2016150 01/28/09 03279 ROTH STAFFING COMPANIES LP 12269822 01/16109 TEMPORARY SERVICES -ADM DEPT 1,315.20 12271687 01/23/09 TEMPORARY SERVICES -ADM DEPT 1,315.20 2,630.40 2016151 01/28/09 02620 ROTORK CONTROLS INC RSI32179 12/15/08 SERVICE &REPAIR 1,137.50 RSI32197 12/22/08 BLOWER &FILTER REPAIR 1,137.50 2,275.00 Page 16of22 ;.c~·."':."?';"t\",-c;-l.,,,}.;.~,o!,;<.?...o:)~,;=,.-·, OTAYWATERDISTRICT CHECK REGISTER FOR CHECKS 2015769 THROUGH 2016169 RUN DATES11712009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2015978 01/21/09 09743 ROYANDERSEN Ref002392362 01/20/09 UB Refund Cst#0000119320 130.00 130.00 2016152 01/28/09 02683 SAFECHECKS INC 0509986 01/07/09 LASER CHECKS 808.13 808.13 2016153 01/28/09 03687 SAFETY-KLEEN SYSTEMS INC 0038095620 01/07/09 SOLVENT TANK SERVCICE 161.86 161.86 2016068 01/21/09 00003 SAN DIEGO COUNTY WATER 6824 12/19/08 SMART LANDSCAPE PROGRAM 937.50 937.50 2016154 01/28/09 04661 SAN DIEGO COUNTY WATER 000949 01/27/09 MEMBERSHIP DUES 30.00 30.00 2016069 01/21/09 00247 SAN DIEGO DAILY TRANSCRIPT 123802 12/22/08 LEGAL NOTICE 58.55 58.55 2015833 01/07/09 00121 SAN DIEGO GAS &ELECTRIC 000890 12/26108 UTILITYEXPENSES 65,957.52 000887 12/24/08 UTILITYEXPENSES 30,171.22 000895 12129/08 UTILITY EXPENSES 133.48 96,262.22 2015834 01/07/09 00871 SAN DIEGO GAS &ELECTRIC 246704 12/31/08 RELOCATE OVERHEAD ELEC FACILITIES 7,965.00 7,965.00 2015907 01/14/09 00121 SAN DIEGO GAS &ELECTRIC 000912 12/31/08 UTILITY EXPENSES 51,318.61 000915 12/31/08 UTILITY EXPENSES 727.14 000909 12/31108 UTILITY EXPENSES 158.44 52,204.19 2016070 01/21/09 00121 SAN DIEGO GAS &ELECTRIC 000924 01/12109 UTILITY EXPENSES 1,624.67 000926 01/06109 UTILITY EXPENSES 12.48 1,637.15 2016155 01/28/09 00121 SAN DIEGO GAS &ELECTRIC 000941 01/20/09 UTILITYEXPENSES 37,132.72 000938 01/20109 UTILITYEXPENSE 15,467.30 000944 01/20/09 UTILITYEXPENSES 35.12 52,635.14 2015979 01/21/09 09752 SAN DIEGO REALTY Ref002392371 01/20/09 UB Refund Cst #0000126443 51.69 51.69 2015980 01/21/09 09782 SAN DIEGO REALTY Ref002392402 01/20/09 UB Refund Cst #0000141229 12.73 12.73 2015981 01/21/09 09790 SAN DIEGO REALTY Ref002392410 01/20/09 UB Refund Cst #0000141799 65.31 65.31 2015982 01/21/09 09793 SAN DIEGO REALTY Ref002392413 01/20/09 UB Refund Cst #0000142089 11.71 11.71 2015983 01/21/09 09791 SAN DIEGO REALTY INC Ref002392411 01/20109 UB Refund Cst #0000141916 16.54 16.54 2015984 01/21/09 09761 SAN DIEGO REO REALTORS Ref002392381 01/20109 UB Refund Cst #0000128037 32.08 32.08 2015985 01/21/09 09773 SAN DIEGO REO REALTORS Ref002392393 01/20109 UB Refund Cst#0000140038 122.33 122.33 2016156 01/28/09 09226 SAN DIEGO TRUCK EQUIPMENT INC 4745 01/07109 VEHICLE BODY SWAP 1,550.00 1,550.00 Page 17 of22 ,""'~''''-~~~-..,--...~"",,._.~.,",'.~,-._.-,~.~ OTAYWATERDISTRICT CHECK REGISTER FOR CHECKS 2015769 THROUGH 2016169 RUN DATES 1/7/2009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2015986 01/21/09 09765 SANDY MILLER Ref002392385 01/20109 UB Refund Cst#0000128329 17.84 17.84 2015987 01/21/09 09787 SANDY MILLER Ref002392407 01/20109 UB Refund Cst#0000141658 55.10 55.10 2015988 01/21/09 09794 SANDY MILLER Ref002392414 01/20109 UB Refund Cst#0000142108 23.21 23.21 2015989 01/21/09 09798 SANDY MILLER Ref002392418 01/20109 UB Refund Cst#0000142525 45.91 45.91 2016071 01/21/09 03514 SANTOS,MARCIANO 000928 01/16/09 CERTIFICATION RENEWAL REIMBURSED 130.00 130.00 2016072 01/21/09 05321 SCHIFFASSOCIATES 03125 12/31/08 CIP P1043-CATHODIC PROTECTION PROGRAM 3,047.50 3,047.50 2015908 01/14/09 07442 SCHULTZ,ALEXANDER 000910 01/07/09 TUITION REIMBURSEMENT 3,000.00 3,000.00 2015990 01/21/09 09762 SCOTT VINSON Ref002392382 01/20109 UB Refund Cst #0000128116 271.21 271.21 2015991 01/21109 09763 SCOTT VINSON Ref002392383 01/20109 UB Refund Cst#0000128257 21.82 21.82 2016157 01/28/09 07783 SCRIPPS CENTER FOR EXECUTIVE 17632 12/11/08 HEALTH EXAM 1,348.00 1,348.00 2015835 01/07/09 05512 SD COUNTY VECTOR CONTROL PROG 000794 11/19/08 MOSQUITO &VECTOR DISEASE CONTROL 541.80 541.80 2015836 01/07/09 07405 SHARP BUSINESS SYSTEMS 9MA47A 12/18/08 FUSERASSEMBLY FOR FAX MACHINE 237.05 237.05 2015992 01/21/09 09732 SHEA QUINCY Ref002392350 01/20109 UB Refund Cst #0000080204 38.63 38.63 2015837 01/07/09 05421 SHERWIN-WILLIAMS CO 34799 12/18/08 PAINT 902.19 902.19 2015838 01/07/09 09513 SHOWERSTART LLC 4045 12/12/08 SHOWERHEADS 1,578.60 1,578.60 2015839 01/07/09 05983 SIEMENS WATER RJE5890 12/11108 CAUSTIC LEVELSENSORS 532.20 532.20 2016158 01/28/09 05627 SIGNADIGITAL SOLUTIONS INC ARS23001 01/06/09 COPIER MAINTENANCE 200.00 ARS22948 01/05/09 COPIER MAINTENANCE 200.00 ARS23122 01108/09 COPIER MAINTENANCE 200.00 ARS22891 01/02/09 COPIER MAINTENANCE 144.00 ARS22890 01/02/09 COPIER MAINTENANCE 34.20 778.20 2015909 01/14/09 03071 SOCO GROUP INC,THE 171294 12/23/08 OIL 841.26 841.26 2016159 01/28/09 03071 SOCO GROUP INC,THE 168739 01/07/09 PUMP MOTOR OIL 360.75 360.75 2016073 01/21/09 03592 SOFTCHOICE CORPORATION 1928490 12131/08 SYMANTEC ANTI-VIRUS SOFTWARE 4,958.00 4,958.00 Page 18 of22 OTAY WATER DISTRICT CHECK REGISTER FORCHECKS2015769 THROUGH 2016169 RUN DATES 11712009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2015840 01/07/09 06853 SOUTHERN CALIFORNIA SOIL 349154R 11/15/08 ON CALL GEOTECHNICAL SERVICES 2,095.34 2,095.34 2015910 01114/09 03760 SPANKY'S PORTABLE SERVICES INC 793835 12/22/08 PORTABLE TOILET RENTAL 79.96 793746 12/19/08 PORTABLE TOILET RENTAL 79.96 793745 12/19108 PORTABLE TOILET RENTAL 79.96 793744 12/19/08 PORTABLE TOILET RENTAL 79.96 793743 12/19/08 PORTABLE TOILET RENTAL 79.96 399.80 2016074 01/21/09 03760 SPANKY'S PORTABLE SERVICES INC 794939 12/31108 PORTABLETOILET RENTAL 79.96 79.96 2016160 01/28/09 03760 SPANKY'S PORTABLE SERVICES INC 796182 01/08/09 PORTABLE TOILET RENTAL 98.15 98.15 2015841 01107109 03516 SPECIAL DISTRICT RISK 27750 12/30108 PROPERTY &LIABILITY PROGRAM 49.50 49.50 2016161 01/28/09 00590 SPECIALTYSEALS &ACCESSORIES 26538 01/07109 SEAL &ADAPTER PLATE 1,533.82 1,533.82 2016162 01/28/09 03184 SPIESS CONSTRUCTION CO INC 280207 01/05/09 P2191 -850-4 RESERVOIR (CONSTRUCTION)117,310.05 117,310.05 2016075 01/21/09 05494 SPRINT 901500243028 01/12/09 GIS (AIR-TRAK)CELLULAR SERVICE 3,539.15 3,539.15 2016076 01/21/09 02354 STANDARD ELECTRONICS 11967 12/30108 SECURITY SERVICES 4,600.00 11971 12/30108 SECURITY SERVICE &REPAIRS 170.00 4,770.00 2015842 01/07/09 00480 STATE BOARD OF EQUALIZATION 000899 12/31108 CALIF SALES USE TAX 1,026.85 1,026.85 2016163 01/28109 00097 STATE BOARD OF EQUALIZATION 000947 01/25/09 STORAGE TANK MAINT FEE 298.81 298.81 2015843 01/07/09 01560 STATE CHEMICAL MFG CO,THE 94023460 12/15/08 SHOP SUPPLIES 167.21 167.21 2015844 01107/09 06299 STATE DISBURSEMENT UNIT Ben2392033 01/08/09 PAYROLL DEDUCTION 237.69 237.69 2015845 01/07/09 06303 STATE DISBURSEMENT UNIT Ben2392039 01/08/09 PAYROLL DEDUCTION 836.30 836.30 2015846 01/07/09 08533 STATE DISBURSEMENT UNIT Ben2392037 01/08/09 PAYROLL DEDUCTION 841.01 841.01 2016077 01/21/09 06299 STATE DISBURSEMENT UNIT Ben2392433 01/22/09 PAYROLL DEDUCTION 237.69 237.69 2016078 01/21/09 06303 STATE DISBURSEMENT UNIT Ben2392437 01/22/09 PAYROLL DEDUCTION 836.30 836.30 2016079 01/21/09 08533 STATE DISBURSEMENT UNIT Ben2392435 01/22/09 PAYROLL DEDUCTION 841.01 841.01 2015847 01/07/09 09572 STATE OF CALIFORNIAEDD Ben2392041 01/08/09 PAYROLL DEDUCTION 97.59 97.59 2016080 01/21/09 09572 STATE OF CALIFORNIA EDD Ben2392439 01/22/09 PAYROLL DEDUCTION 350.71 350.71 Page 19 of 22 OTAYWATER DISTRICT CHECK REGISTER FOR CHECKS 2015769 THROUGH 2016169 RUN DATES 1/7/2009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2015848 01/07109 02261 STATE STREET BANK &TRUSTCO Ben2392025 01/08/09 DEFERRED COMP PLAN 6,112.75 6,112.75 2016081 01/21/09 02261 STATE STREET BANK &TRUSTCO Ben2392425 01/22109 DEFERRED COMP PLAN 5,992.75 5,992.75 2015993 01/21/09 09750 STEPHEN CLARK Ref002392369 01/20109 UB Refund Cst#0000125937 131.63 131.63 2015994 01/21/09 09771 STEVE LEMACK Ref002392391 01/20109 UB Refund Cst#0000139814 57.81 57.81 2015995 01/21/09 09788 STEVE LEMACK Ref002392408 01/20/09 UB Refund Cst#0000141683 31.95 31.95 2016164 01/28/09 09578 SUPPORT PRODUCT SERVICES 741 01/05/09 PUMP STATION ENGINE REPAIR 11,670.40 11,670.40 2015996 01/21/09 09749 SUZY GERSHMAN Ref002392368 01/20109 UB Refund Cst #0000124125 55.85 55.85 2016082 01/21/09 08399 SWINERTON MANAGEMENT 0806900207 01/06109 TEMPORARY SERVICES -OPS DEPT 12,172.00 12,172.00 2015849 01/07109 02799 TARULLI TIRE INC -SAN DIEGO 20036489 12112/08 TIRE REPAIR 121.46 121.46 2015911 01114/09 02799 TARULLI TIRE INC -SAN DIEGO 20036604 12/24/08 TIRE SERVICE 70.55 20036476 12/11/08 TIRE SERVICE 34.47 20036479 12/11/08 TIRE SERVICE 28.00 20036561 12/22/08 TIRE SERVICE 20.47 153.49 2016084 01/21/09 02799 TARULLI TIRE INC -SAN DIEGO 20036648 12/31/08 TIRES &SERVICE 2,963.71 2,963.71 2015997 01/21/09 09774 TAVAGLIONE CONSTRUCTION Ref002392394 01/20/09 UB Refund Cst #0000140101 486.56 486.56 2015912 01/14/09 09351 TECHNOLOGY NOW 1612 12/20108 BLACKBERRY SERVER MIGRATION 4,250.00 4,250.00 2015850 01/07/09 08778 THOMSON REUTERS 11651023 12/19/08 PPC GUIDE TO GAAP/GAAS CD ROM 458.47 458.47 2016083 01/21/09 04977 T-MOBILE 4150860450109 01/05/09 CELL PHONE &BLACKBERRY SERVICES 1,476.97 1,476.97 2015998 01/21/09 09797 TOM HESSEL Ref002392417 01/20/09 UB Refund Cst#0000142524 8.91 8.91 2015851 01/07/09 07936 TRACER ENVIRONMENTALSCIENCES 219404 11/30/08 AQUEOUS AMMONIA SAFETY REVIEW 1,878.41 1,878.41 2015913 01/14/09 07936 TRACER ENVIRONMENTAL SCIENCES 219405 12/24/08 AQUEOUS AMMONIA SAFETY REVIEW 2,477.12 2,477.12 2015999 01/21/09 09766 TRIAD PROPERTIES Ref002392386 01/20109 UB Refund Cst #0000133816 64.39 64.39 2016000 01/21/09 09784 TRIAD PROPERTIES Ref002392404 01/20/09 UB Refund Cst#0000141446 53.58 53.58 2016085 01/21109 03261 TYLER TECHNOLOGIES INC INV0142012 12/16/08 EDEN SYSTEMS CONSULTING 1,065.38 1,065.38 Page 20 of 22 OTAYWATER DISTRICT CHECKREGISTER FOR CHECKS 2015769 THROUGH 2016169 RUN DATES 11712009 TO 112812009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid CheckTotal 2016165 01128109 00427 UNDERGROUND SERVICE ALERT OF 1220080445 01101/09 UNDERGROUND TRENCH SERVICE ALERTS 177.00 177.00 2015852 01/07/09 08262 UNITED RENTALS NORTHWEST INC 78499077001 12/08/08 CONCRETE 177.79 177.79 2016086 01/21/09 08262 UNITED RENTALS NORTHWEST INC 78814083001 12/29/08 CONCRETE 139.00 139.00 2015853 01/07/09 05417 UNITED STATES DEPARTMENT Ben2392043 01/08/09 PAYROLL DEDUCTION 100.00 100.00 2016087 01/21/09 05417 UNITED STATES DEPARTMENT Ben2392441 01/22/09 PAYROLL DEDUCTION 100.00 100.00 2015914 01/14/09 00350 UNITED STATES POSTAL SERVICE 000923 01/13/09 REIMBURSE POSTAGE MACHINE 1,650.00 1,650.00 2016088 01/21/09 07662 UNITEDHEALTHCARE SPECIALTY 000935 01/21/09 BASIC L1FEfAD&D &SUPP LIFE INS 5,247.85 5,247.85 2016089 01/21/09 03212 UNUM LIFE INSURANCE Ben2392421 01/22109 LONG TERM DISABILITY 9,931.78 9,931.78 2015854 01/07/09 07674 US BANK CORPORATE PAYMENT 000904 12122108 DISTRICT EXPENSES 941.69 000903 12/22108 DISTRICT EXPENSES 443.30 1,384.99 2015915 01/14/09 07674 US BANK CORPORATE PAYMENT 000924 11/24/08 DISTRICT EXPENSES 6,412.06 000913 12/22108 DISTRICT EXPENSES 2,968.69 000916 12/22108 DISTRICT EXPENSES 1,367.80 000917 11/24/08 DISTRICTEXPENSES 372.79 000911 12/22/08 DISTRICT EXPENSES 336.61 11,457.95 2016001 01/21/09 09764 US FINANCIAL Ref002392384 01/20/09 UB Refund Cst#0000128297 36.81 36.81 2015916 01/14/09 06829 US SECURITYASSOCIATES INC 399910 12/25/08 AFTER HOURS SECURITY SVCS 263.65 263.65 2016166 01/28/09 02674 USA BLUE BOOK 731825 12130108 RECORDING CHARTS 134.03 134.03 2016090 01/21/09 09709 UVERITECH 39163 01/13/09 COUNTERFEIT UV SCANNER 106.09 106.09 2015855 01/07/09 09218 VACO LA JOLLA LLC BILL000000003422 12/26/08 TEMPORARYSERVICES -HR DEPT 4,657.84 4,657.84 2016091 01/21/09 08028 VALLEY CONSTRUCTION MANAGEMEN-SD080203 12/31/08 AS-NEEDED CONSTRUCTION MGMTSVCS 3,925.00 3,925.00 2015856 01/07/09 01095 VANTAGEPOINT TRANSFER AGENTS Ben2392031 01/08/09 DEFERRED COMP PLAN 6,980.66 6,980.66 2016092 01/21/09 01095 VANTAGEPOINT TRANSFER AGENTS Ben2392431 01/22/09 DEFERRED COMP PLAN 7,044.66 7,044.66 2015917 01/14/09 03329 VERIZON WIRELESS 0719986977 12/21108 WIRELESS DATA SERVICES 9,419.20 9,419.20 2016002 01/21/09 09780 WACHOVIA BANK Ref002392400 01/20/09 UB Refund Cst #0000140983 5.69 5.69 Page 21 of22 OTAYWATER DISTRICT CHECKREGISTER FOR CHECKS 2015769 THROUGH 2016169 RUN DATES 11712009 TO 1/28/2009 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2016003 01/21/09 09748 WALTER HARRISON Ref002392367 01/20/09 UB Refund Cst#0000123502 56.08 56.08 2015918 01/14/09 07595 WALTERS WHOLESALE ELECTRIC CO 282150801 12/24/08 POWER SUPPLIES 1,536.52 1,536.52 2016093 01/21/09 07595 WALTERS WHOLESALE ELECTRIC CO 282105501 12/17/08 INFRARED CAMERA 16,970.63 16,970.63 2016004 01/21/09 09722 WATSON H FRASURE Ref002392340 01/20/09 UB Refund Cst #0000045302 15.87 15.87 2016167 01/28/09 00014 WAXIE SANITARYSUPPLY 71043994 01/05/09 JANITORIAL SUPPLIES 1,077.15 1,077.15 2015857 01/07/09 00190 WEST PAYMENT CENTER 8173988330 12/20108 LEGAL LIBRARY UPDATES 2,114.63 2,114.63 2016168 01/28/09 03131 WESTERN HOSE&GASKET 201148 01/06/09 REPAIR PARTS 289.28 289.28 2015858 01/07/09 00125 WESTERN PUMP INC 00718731N 11/30108 APCD TESTING 538.00 538.00 2015919 01/14/09 00125 WESTERN PUMP INC 00725521N 12/22108 APCD TESTING 723.01 723.01 2016169 01/28/09 03692 WESTIN ENGINEERING INC 32285 01/05/09 CIP P1210 -ASSET MANAGEMENT PLAN 14,746.42 32075 12108/08 CIP P1210 -ASSET MANAGEMENT PLAN 9,696.58 24,443.00 2016094 01/21/09 03437 WIENHOFF DRUG TESTING INC 22013 12/31/08 HEALTH EXAMS 165.00 165.00 2015859 01/07/09 02725 WILLIAMS SCOTSMAN INC 87065199 12/12/08 28'TRAILER RENTAL@ TREATMENT PLANT 304.51 87205665 12/18/08 MOBILE OFFICE RENTAL@TREATMENTPLANT 299.35 603.86 2016095 01/21/09 09149 WILLIS RISK AND INSURANCE 0229418 01/01109 BENEFITS CONSULTING 8,750.00 8,750.00 2015920 01/14/09 06288 ZONDIROS CORPORATION 11 09/08/08 1905 UTILITY RELOCATIONS 57,210.42 00001911 09/08/08 RETAINAGE RELEASE 3,661.87 60,872.29 2016005 01/21/09 09781 ZULEMA MALDONADO Ref002392401 01/20/09 UB Refund Cst #0000141169 21.42 21.42 GRAND TOTAL 2,560,774.10 2,560,774.10 Page 22 of22