HomeMy WebLinkAbout02-16-12 EO&WR Committee PacketOTAY WATER DISTRICT
ENGINEERING, OPERATIONS & WATER RESOURCES COMMITTEE MEETING
and
SPECIAL MEETING OF THE BOARD OF DIRECTORS
2554 SWEETWATER SPRINGS BOULEVARD
SPRING VALLEY, CALIFORNIA
Board Room
THURSDAY
February 16, 2012
11:30 A.M.
This is a District Committee meeting. This meeting is being posted as a special meeting
in order to comply with the Brown Act (Government Code Section §54954.2) in the event that
a quorum of the Board is present. Items will be deliberated, however, no formal board actions
will be taken at this meeting. The committee makes recommendations
to the full board for its consideration and formal action.
AGENDA
1. ROLL CALL
2. PUBLIC PARTICIPATION -OPPORTUNITY FOR MEMBERS OF THE PUBLIC TO
SPEAK TO THE BOARD ON ANY SUBJECT MATTER WITHIN THE BOARD'S JU
RISDICTION BUT NOT AN ITEM ON TODAY'S AGENDA
DISCUSSION ITEMS
3. APPROVE CHANGE ORDER NO.1 TO THE EXISTING CONTRACT WITH NEWest
CONSTRUCTION, INC. FOR THE RALPH W. CHAPMAN WATER RECLAMATION
FACILITY UPGRADE PROJECT, IN AN AMOUNT NOT-TO-EXCEED $17,896 (KAY)
[5 minutes]
4. AWARD A CONSTRUCTION CONTRACT TO SEPULVEDA CONSTRUCTION FOR
THE 30-INCH POTABLE WATER PIPELINE IN HUNTE PARKWAY IN AN AMOUNT
NOT-TO-EXCEED $1,212,257.13 (KAY) [5 minutes]
5. AWARD A CONSTRUCTION CONTRACT TO ADVANCED INDUSTRIAL SERVICES,
INC. (AIS) AND AUTHORIZE AN AGREEMENT WITH AIS FOR THE 850-3 RESER
VOIR EXTERIOR COATING AND UPGRADES PROJECT IN AN AMOUNT NOT-TO
EXCEED $293,300 (CAMERON) [5 minutes]
6. APPROVE THE WATER SUPPLY ASSESSMENT REPORT DATED JANUARY 2012
FOR THE HAWANO PRO,JECT (KENNEDY) [5 minutes]
7. UPDATE ON THE 2ND QUARTER OF FISCAL YEAR 2012 CAPITAL IMPROVEMENT
PROGRAM REPORT (KAY) [5 minutes]
8. ADOPT ORDINANCE NO. 531 AMENDING SECTIONS 25, CONDITIONS FOR WA
TER SERVICE; 28, CONNECTION FEES AND CHARGES FOR POTABLE OR REC
LAIMED WATER SERVICE; 38, SERVICE FOR FIRE PROTECTION SYSTEMS; OF
THE DISTRICTS CODE OF ORDINANCES TO INCLUDE MANDATED FIRE SER
VICE STANDBY CAPACITY FOR SINGLE-FAMILY RESIDENCES (BELL) [5 minutes]
9. SAN DIEGO COUNTY WATER AUTHORITY UPDATE (WATTON) [10 minutes]
10. ADJOURNMENT
BOARD MEMBERS ATTENDING:
Gary Croucher, Chair
Jose Lopez
All items appearing on this agenda, whether or not expressly listed for action, may be delibe
rated and may be subject to action by the Board.
The Agenda, and any attachments containing written information, are available at the Dis
trict'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 that would require accommodation in order to enable you to partici
pate in this meeting, please call the District Secretary at 670-2280 at least 24 hours prior to
the meeting.
Certification of Posting
I certify that on February 14, 2012 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
24 hours in advance of the meeting of the Board of Directors (Government Code Section
§54954.2).
Executed at Spring Valley, California on February 14, 2012.
2
STAFF REPORT
TYPE MEETING: Regular Board
MEETING DATE: March 7, 2012
SUBMITTED BY:
Daniel Kay
Associate Civil Engineer
Ron Ripperger
Engineering Manager
PROJECT: R2096-
001103
DIV. NO. 3
APPROVED BY:
Rod Posada, Chief of Engineering
Manny Magana, Asst. GM, Engineering and Operations
Joe Beachem, Chief Financial Officer
Mark Watton, General Manager
SUBJECT: Change Order No. 1 to the Contract with NEWest Construction
for the Ralph W. Chapman Water Reclamation Facility Upgrades
Project
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board)
approves Change Order No. 1 to the existing contract with NEWest
Construction Inc. (NEWest) for the Ralph W. Chapman Water Reclamation
Facility (RWCWRF) Upgrade Project, in an amount not-to-exceed $17,896
(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 in an amount not-to-exceed $17,896 to the contract
with NEWest for the RWCWRF Upgrade Project.
ANALYSIS:
At the July 15, 2011 Board Meeting the Board awarded a construction
contract to NEWest Construction for the RWCWRF Upgrades Project. The
AGENDA ITEM 3
2
RWCWRF Upgrades Project consists of several main components. The
first is the modification of the treatment process at the facility to
improve the reduction of total nitrogen in the treatment plant
effluent. The second component is the upgrade of the facility’s
blowers and aeration piping. The third component is the enhancement
of the level of automation at the facility. The fourth and final
component of the Project is the replacement of the damaged filter
backwash storage reservoir floating cover at the facility.
Change Order No. 1 (Exhibit B) includes a variety of items including
time and materials for unknown utilities, a credit for value
engineering on the high speed blowers, revisions to the scope of work
based on Requests for Information (RFI) from NEWest, and a credit to
the Dewatering Allowance Bid item as it will not be used for this
contract. Staff and the District’s construction manager, SAIC,
reviewed, negotiated and agreed to the costs included in this Change
Order pending Board approval.
The following is a table summarizing the value of each item. The
“General Location” (Exhibit A) column depicts the general location
for each item as shown in Exhibit A:
Item Description
General
Location
(Exhibit A)
Amount
1 Removal of Unknown Concrete Encased
Utility 3 $24,500
2 Slurry Backfill for Additional Duct
Bank Utility 3 $7,235
3 Additional Bolts to Redwood Planks
that Interface with the Concrete Basin 4 & 5 $12,098
4 Additional Work Due to Geotechnical
Recommendations on Air Scour Pad 7 $8,865
5 Revised Conduit Run from Motor Control
Building to Motor Control Center Not Shown $19,082
6 Value Engineering Credit for High
Speed Blowers 2 <$57,194>
7 Revised Stainless Steel Cables 4 & 5 $8,310
8 Dewatering Allowance Item Credit Not Shown <$5,000>
TOTAL $17,896
Change Order No. 1 is a net increase to NEWests’ contract by $17,896.
There is still $145,000 worth of Allowance Items available in the
contract for remaining work that may be required during the shutdown
period. The shutdown is scheduled to be three months (February 1st –
3
April 30th) and if field conditions warrant, the Allowance Items will
be used at that time.
FISCAL IMPACT:
The total budget for CIP R2096, as approved in the FY 2012 budget, is
$4,950,000. Total expenditures, plus outstanding commitments and
forecast, are $4,934,266.
Based on a review of the financial budget, the Project Manager has
determined that the budget is sufficient to support the project. See
Attachment B for budget detail.
Finance has determined that 100% of the funding is available from the
Replacement Fund for CIP R2096.
STRATEGIC GOAL:
This Project supports the District’s Mission statement, “To provide
customers with the best quality water, wastewater, and recycled water
service in a professional, effective, and efficient manner.”
LEGAL IMPACT:
None.
DK/RR:jf
P:\WORKING\CIP R2096 - RWCWRF Upgrade Project\Staff Reports\NEWest Change Order No. 1 Staff Report\BD-3-07-2012 Change Order No. 1 to
NEWest Construction (DK-RR).docx
Attachments: Attachment A – Committee Action
Attachment B – Budget Detail
Exhibit A – Location Map
Exhibit B – Change Order No. 1
ATTACHMENT A
SUBJECT/PROJECT:
R2096-001103
Change Order No. 1 to the Contract with NEWest Construction
for the Ralph W. Chapman Water Reclamation Facility
Upgrades Project
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee reviewed
this item at a meeting held on February 16, 2012. The Committee
supported Staff's recommendation.
NOTE:
The “Committee Action” is written in anticipation of the Committee
moving the item forward for Board approval. This report will be sent
to the Board as a Committee approved item, or modified to reflect any
discussion or changes as directed from the Committee prior to
presentation to the full Board.
ATTACHMENT B
SUBJECT/PROJECT:
R2096-001103
Change Order No. 1 to the Contract with NEWest Construction
for the Ralph W. Chapman Water Reclamation Facility
Upgrades Project
Date Updated: January 17, 2012
Budget
4,950,000
Planning 001101 000000
Addl subprojects 000000 x02102 x30136
Labor 76,056 76,056 76,056
Professional Legal Fees 4,916 4,916 - 4,916 STUTZ ARTIANO SHINOFF
603 603 - 603 GARCIA CALDERON & RUIZ LLP
Regulatory Agency Fees 50 50 - 50 PETTY CASH CUSTODIAN
Consultant Contracts 325,846 325,846 - 325,846 MWH AMERICAS INC
12,775 12,775 - 12,775 MWH CONSTRUCTORS INC
678 678 - 678 US BANK CORPORATE PAYMENT
Service Contracts 10,860 10,860 - 10,860 E S BABCOCK & SONS INC
250 250 - 250 UNION TRIBUNE PUBLISHING CO
68 68 - 68 SAN DIEGO DAILY TRANSCRIPT
Infrastructure Equipment & Materials 3,030 2,984 46 3,030 WALTERS WHOLESALE ELECTRIC CO
Total Planning 435,133 435,088 46 435,133
Design 001102
Labor 98,170 98,170 98,170
Mileage Reimbursement 16 16 - 16 PETTY CASH CUSTODIAN
Consultant Contracts 245,661 239,278 6,383 245,661 MWH AMERICAS INC
3,500 3,500 - 3,500 MWH CONSTRUCTORS INC
8,470 8,470 - 8,470 MTGL INC
4,209 4,209 - 4,209 WRA & ASSOCIATES INC
580 580 - 580 VALLEY CONSTRUCTION MANAGEMENT
499 499 - 499 SCHIFF ASSOCIATES
Service Contracts 4,395 4,395 - 4,395 MAYER REPROGRAPHICS INC
2,400 2,400 - 2,400 PHOTO GEODETIC CORPORATION
708 708 - 708 SAN DIEGO UNION-TRIBUNE LLC
227 227 - 227 SAN DIEGO DAILY TRANSCRIPT
Total Design 368,835 362,452 6,383 368,835
Construction 001103
Labor 125,000 74,907 50,093 125,000
Rents and Leases 5,557 5,557 - 5,557 EQUIPCO SALES & SERVICE
Professional legal fees 354 354 - 354 STUTZ ARTIANO SHINOFF
Consultant Contracts 359,013 118,227 240,787 359,013 SAIC ENERGY ENVIRONMENT &
4,060 4,060 - 4,060 VALLEY CONSTRUCTION MANAGEMENT
Construction Contracts 3,149,100 341,271 2,807,829 3,149,100 NEWEST CONSTRUCTION
Change Order No. 1 17,896 - 17,896 17,896 CHANGE ORDER NO. 1 NEWEST
349,900 37,919 311,981 349,900 CALIFORNIA BANK & TRUST
Service Contracts 13,039 13,039 - 13,039
MWH AMERICAS, PENHALL,
SOUTHERN CAL TELECOM
4,272 4,272 - 4,272 BARRETT ENGINEERED PUMPS
223 180 43 223 RW LITTLE CO INC
Infrastructure Equipment & Materials 21,480 21,480 - 21,480 D & H WATER SYSTEMS INC
13,006 12,166 840 13,006 FERGUSON WATERWORKS # 1083
10,444 10,444 - 10,444 FLOMAX PRODUCTS INC
8,586 8,586 - 8,586 MOORE INDUSTRIES-INTRNTL INC
7,907 7,907 - 7,907 MOVE EXP FR S2018 TO R2096
6,572 6,572 - 6,572 ROTORK CONTROLS INC
3,890 3,863 27 3,890 GRAINGER INC
3,376 3,376 - 3,376 WALTERS WHOLESALE ELECTRIC CO
3,150 3,150 - 3,150 MCCROMETER INC
1,834 1,834 - 1,834 F & L INDUSTRIAL SOLUTIONS INC
1,733 1,681 52 1,733 MCMASTER-CARR SUPPLY CO
1,401 1,300 101 1,401 RW LITTLE CO INC
853 842 11 853 ONESOURCE DISTRIBUTORS LLC
566 - 566 566 HD SUPPLY WATERWORKS LTD
434 434 - 434 EQUIPCO SALES & SERVICE
239 225 13 239 NEWARK
179 179 - 179 UNITED RENTALS NORTHWEST INC
Inventory 4,985 4,985 - 4,985 INVENTORY
Contracted Services 1,248 1,105 143 1,248 RW LITTLE CO INC
Closeout 10,000 - 10,000 10,000 CLOSEOUT
Total Construction 4,130,298 689,917 3,440,381 4,130,298
Grand Total 4,934,266 1,487,457 3,446,810 4,934,266
Vendor/Comments
Otay Water District
r2096 - RWCWRF - Upgrades and Modifications
Committed Expenditures
Outstanding
Commitment &
Forecast
Projected Final
Cost
EXHIBIT B
STAFF REPORT
TYPE MEETING: Regular Board
MEETING DATE: March 7, 2012
SUBMITTED BY:
Daniel Kay
Associate Civil Engineer
Ron Ripperger
Engineering Manager
PROJECT: P2514-
001103
DIV. NO. 5
APPROVED BY:
Rod Posada, Chief of Engineering
Manny Magana, Asst. GM, Engineering and Operations
Joe Beachem, Chief Financial Officer
Mark Watton, General Manager
SUBJECT: Award of a Construction Contract to Sepulveda Construction for
the 30-Inch Potable Water Pipeline in Hunte Parkway
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board)
awards a construction contract to Sepulveda Construction (Sepulveda)
for the 30-Inch Potable Water Pipeline in Hunte Parkway in an amount
not-to-exceed $1,212,257.13 (see Exhibit A for Project location).
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To obtain Board authorization for the General Manager to enter into a
construction contract with Sepulveda in an amount not-to-exceed
$1,212,257.13 for the 30-Inch Potable Water Pipeline in Hunte
Parkway.
AGENDA ITEM 4
2
ANALYSIS:
The 2010 Water Resources Master Plan identified the need to install a
new pipeline in Hunte Parkway from Proctor Valley Road to the
entrance of the District’s Use Area. This pipeline is needed to
eliminate high head losses experienced during the morning peak demand
periods in the existing 980 Pressure Zone. The pipeline will be
installed parallel to the existing 20-Inch 980 Pipeline in Hunte
Parkway and will also eliminate the low pressures currently
experienced in the 980 Zone.
This Project was previously bid in November 2011 and at the January
4, 2012 Board meeting the Board rejected all bids. The Project was
re-advertised for bid on January 6, 2012. Two pre-bid meetings were
held on January 17, 2012, and January 19, 2012 which were attended by
a total of eight (8) contractors. Two (2) addenda were sent out to
all bidders and plan houses to address contractors' questions asked
during the bidding period. Staff contacted several contractors
during the bid process to encourage them to submit a bid for the
Project.
Six (6) bids were received on February 2, 2012. The table below
provides the bid results:
CONTRACTOR
TOTAL BID
AMOUNT
CORRECTED BID
AMOUNT
1. Sepulveda Construction $1,212,625.34 $1,212,257.13
2. TC Construction $1,240,000.00
3. Basile Construction Inc. $1,275,700.00
4. Garcia Juarez Construction Inc. $1,287,075.00
5. CCL Contracting Inc. $1,368,954.00
6. Kennedy Pipeline Company $1,401,312.00
The Engineer's Estimate is $1,250,000. The low bid submitted by
Sepulveda came in $53,843.87 less than the original low bid in
November.
The evaluation process included reviewing all bids submitted for
conformance to the contract documents. The lowest bidder, Sepulveda,
submitted a responsible bid and holds a Class A Contractor’s license
which expires on July 31, 2012. Staff checked the references
provided with Sepulveda’s bid. The references indicated that
Sepulveda is a new company and has used multiple project managers on
3
recent projects including the District’s 944-1R Recycled Water Pump
Station Upgrades and System Enhancements Project. Sepulveda’s
performance on this project has been adequate and they are on
schedule to complete the project in May. The principals/owners of
Sepulveda have previous experience with heavy civil construction for
water and wastewater projects throughout southern California prior to
working with Sepulveda. The proposed project manager has experience
throughout southern California on similar projects and received good
references. A background search of the company was performed on the
internet and revealed no outstanding issues with this company.
Staff has verified that the bid bond provided by First National
Insurance Company of America is valid. Once Sepulveda signs the
contract, they will furnish the performance bond and labor and
materials bond. Staff will verify both bonds prior to executing the
contract.
FISCAL IMPACT:
The total budget for CIP P2514, as approved in the FY 2012 budget, is
$1,500,000. Total expenditures, plus outstanding commitments and
forecast, are $1,475,814.
Based on a review of the financial budget, the Project Manager
anticipates that the budget is sufficient to support the project.
See Attachment B for budget detail.
Finance has determined that 100% of the funding is available from the
Expansion Fund for CIP P2514.
STRATEGIC GOAL:
This Project supports the District’s Mission statement, “To provide
customers with the best quality water, wastewater, and recycled water
service in a professional, effective, and efficient manner.”
LEGAL IMPACT:
None.
DK/RR:jf
P:\WORKING\CIP P2514\Staff Reports\BD-3-07-2012 Staff Report Hunte Parkway 30-Inch Pipeline.docx
Attachments: Attachment A – Committee Action
Attachment B – Budget Detail
Exhibit A – Location Map
ATTACHMENT A
SUBJECT/PROJECT:
P2514-001103
Award of a Construction Contract to Sepulveda Construction
for the 30-Inch Potable Water Pipeline in Hunte Parkway
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee reviewed
this item at a meeting held on February 16, 2012. The Committee
supported Staff's recommendation.
NOTE:
The “Committee Action” is written in anticipation of the Committee
moving the item forward for Board approval. This report will be sent
to the Board as a Committee approved item, or modified to reflect any
discussion or changes as directed from the Committee prior to
presentation to the full Board.
ATTACHMENT B
SUBJECT/PROJECT:
P2514-001103
Award of a Construction Contract to Sepulveda Construction
for the 30-Inch Potable Water Pipeline in Hunte Parkway
Date Updated: January 17, 2012
Budget
1,500,000
Planning 001101
Addl subprojects 000000 x02102 x30136
Labor 974 974 974
Settlements 1,080 1,080 - 1,080 ROLLING HILLS RANCH COMM ASSN
Consultant Contracts 9,000 4,000 5,000 9,000 JAMES NAUGHTON JR, MAI
Service Contracts 295 295 - 295 SAN DIEGO UNION-TRIBUNE LLC
Total Planning 11,349 6,349 5,000 11,349
Design 001102
Labor 75,375 75,375 75,375
Professional Legal Fees 2,156 2,156 - 2,156 STUTZ ARTIANO SHINOFF
Regulatory Agency Fees 4,000 4,000 - 4,000 CITY OF CHULA VISTA
Consultant Contracts 750 750 - 750 PROGRESSIVE MAPPING
Consultant Contracts 3,935 3,935 - 3,935 V & A CONSULTING ENGINEERS
Consultant Contracts 2,565 2,565 - 2,565 CPM PARTNERS INC
Construction Contracts 2,687 2,687 - 2,687 CPM PARTNERS INC
Service Contracts 11,350 10,600 750 11,350 UNDERGROUND SOLUTIONS INC
Service Contracts 300 300 - 300 CITY OF CHULA VISTA
KEAGY REAL ESTATE
Total Design 103,117 102,367 750 103,117
Construction 001103
Labor 75,000 1,977 73,023 75,000
Service Contracts 3,410 3,410 - 3,410 MAYER REPROGRAPHICS INC
Service Contracts 68 68 - 68 SAN DIEGO DAILY TRANSCRIPT
Construction Contracts 1,212,257 - 1,212,257 1,212,257 SEPULVEDA CONSTRUCTION
Closeout 10,000 - 10,000 10,000 CLOSEOUT
Contingency (5%) 60,613 60,613 60,613 CONTINGENCY
- - - -
Total Construction 1,361,348 5,455 1,355,893 1,361,348
Grand Total 1,475,814 114,171 1,361,643 1,475,814
Vendor/Comments
Otay Water District
P2514 - PL-30-Inch, 980 Zone, Hunte Pkwy - Proct
Committed Expenditures
Outstanding
Commitment &
Forecast
Projected Final
Cost
STAFF REPORT
TYPE MEETING: Regular Board
MEETING DATE: March 7, 2012
SUBMITTED BY:
Kevin Cameron
Assistant Civil Engineer
Ron Ripperger
Engineering Manager
PROJECT: P2491/
P2382-
001103
DIV. NO. 5
APPROVED BY:
Rod Posada, Chief of Engineering
Manny Magana, Asst. GM, Engineering and Operations
Joe Beachem, Chief Financial Officer
Mark Watton, General Manager
SUBJECT: Award of a Construction Contract to Advanced Industrial
Services, Inc. for the 850-3 Reservoir Exterior Coating and
Upgrades Project
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board)
awards a construction contract to Advanced Industrial Services, Inc.
(AIS) and authorizes the General Manager to execute an agreement with
AIS for the 850-3 Reservoir Exterior Coating and Upgrades Project in
an amount-not-to exceed $293,300 (see Exhibit A for Project
location).
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To obtain Board authorization for the General Manager to enter into a
construction contract with AIS for the 850-3 Reservoir Exterior
Coating and Upgrades Project in an amount-not-to exceed $293,300.
AGENDA ITEM 5
2
ANALYSIS:
The District’s corrosion consultant, Schiff Associates (Schiff),
completed a Corrosion Control Program (CCP) in June 2011 that
addressed the installation, maintenance, and monitoring of corrosion
protection systems for the District’s steel reservoirs and buried
metallic piping. The CCP included a reservoir maintenance schedule
that showed the 850-3 Reservoir to be re-coated and updated to
current codes. The maintenance requirements included removing the
existing exterior coating, and applying a new coating to the exterior
of the reservoir.
In addition to replacing the exterior coating of the reservoir,
structural upgrades are necessary to comply with the American Water
Works Association (AWWA) and the Occupational Safety and Health
Administration standards for both Federal (OSHA) and State (Cal-OSHA)
levels. An internal and external inspection of the reservoir was
completed in December 2011 by Harper & Associates Engineering, Inc.
The recommended coating and structural upgrades, developed with input
from engineering and operations staff, are as follows: repair the
corrosion on the interior roof rafters, relocate the existing roof
hatch, replace the existing level indicator, install new fall
prevention devices on the exterior ladder, modify anode access ports,
replace the roof vent, install new lanyard cables, and add
miscellaneous tank penetrations for chlorination and sampling. These
upgrades will ensure compliance with AWWA, OSHA, Cal-OSHA
requirements as well as provide better access for Operations staff to
maintain the facility.
Staff developed the contract documents and the Project was advertised
for bid on January 10, 2012 on the District’s website and several
other publications including the San Diego Daily Transcript.
Three (3) addenda were sent out to all bidders and plan houses to
address questions and clarifications to the contract documents during
the bidding period. Bids were publicly opened on February 2, 2012,
with the following results:
CONTRACTOR
TOTAL
BID
AMOUNT
CORRECTED BID
AMOUNT
1 Advanced Industrial Services, Inc. $293,300 -
2 Blastco, Inc. $293,530 $293,590
3 Western Industrial, Inc. $417,000 -
4 Simpson Sandblasting $459,000 -
5 RPI Coating, Inc. $465,000 -
3
The Engineer’s Estimate is $280,000.
Staff reviewed the bids submitted for conformance with the contract
requirements. While AIS submitted the lowest bid, they did not
provide the bid bond or their QP-1 Certification with their sealed
bid. Both Legal Counsel and AIS were notified that the documents
were missing. Brett Johnston of AIS explained that he had a bid bond
for the project and the Certification, but forgot to provide them
with the sealed bid. Both were provided to staff the next day via
FedEx. Legal Counsel determined that since the bid bond was issued
on January 31, 2012, before the bid opening date of February 2, 2012,
the bid would be considered responsive. The QP-1 Certification was
also considered a minor irregularity. Therefore, AIS is considered
the lowest responsive and responsible bidder.
The Contract Documents required either a Class A or a Class C-33
license. AIS holds a Class C-33, Painting and Decorating
Contractor’s License which expires on January 31, 2014. The
reference checks indicated an excellent performance record on similar
projects. A background search of the company was performed on the
internet and revealed no outstanding issues with this company.
Staff has verified that the bid bond provided by AIS is valid. Staff
will also verify that AIS’s Performance Bond and Labor and Materials
Bond are valid prior to execution of the contract.
FISCAL IMPACT:
Funding for the Project comes from two CIP projects, P2491, the 850-3
Reservoir Exterior Coating and Upgrades and P2382, Safety and
Security Improvements. AIS’ bid amount of $293,300 for construction
will be funded as follows, $30,000 will be funded from P2382, and the
balance of the expenditures, including staff time, will come from
P2491.
The total budget for CIP P2491, as approved in the FY 2012 budget, is
$300,000. Total expenditures, plus outstanding commitments and
forecast including this contract, are $299,691. See Attachment B-1
for budget detail.
The total budget for CIP P2382, as approved in the FY 2012 budget, is
$3,397,000. Total expenditures, plus outstanding commitments and
forecast including this contract, are $1,715,657. See Attachment B-2
for budget detail.
4
Based on a review of the financial budgets, the Project Manager
anticipates that the budgets for CIPs P2491 and P2382 are sufficient
to support the Project.
Finance has determined that for CIP P2491 100% of the funding is
available from the Replacement Fund and for CIP P2382 60% of the
funding is available from the Replacement Fund and 40% is available
from the Expansion Fund.
STRATEGIC GOAL:
This Project supports the District’s Mission statement, “To provide
customers with the best quality water, wastewater, and recycled water
service in a professional, effective, and efficient manner.” This
Project fulfills the District’s Strategic Goal No. 1: CUSTOMER -
Deliver high quality services to meet customer needs, and increase
confidence of the customer in the value the District provides.
LEGAL IMPACT:
None.
KC/RR:jf
P:\WORKING\CIP P2491 850-3 Exterior Reservoir Coating\Staff Reports\BD 03-07-12, Staff Report, 850-3 Coating Bid Award.doc
Attachments: Attachment A – Committee Action
Attachment B-1 – Budget Detail for CIP P2491
Attachment B-2 - Budget Detail for CIP P2382
Exhibit A – Location Map
ATTACHMENT A
SUBJECT/PROJECT:
P2491/P2382-001103
Award of a Construction Contract to Advanced Industrial
Services, Inc. for the 850-3 Reservoir Exterior Coating and
Upgrades Project
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee reviewed
this item at a meeting held on February 16, 2012. The Committee
supported Staff's recommendation.
NOTE:
The “Committee Action” is written in anticipation of the Committee
moving the item forward for Board approval. This report will be sent
to the Board as a Committee approved item, or modified to reflect any
discussion or changes as directed from the Committee prior to
presentation to the full Board.
ATTACHMENT B-1
Date Updated: February 07, 2012
Budget
300,000
Planning 001101
Addl subprojects 000000 x02102 x30136
Labor 621 621 - 621
Total Planning 621 621 - 621
Design 001102
Labor 17,500 16,592 908 17,500
Consultant Contracts 250 250 - 250 SUPERIOR TANK SOLUTIONS
Service Contracts 3,150 - 3,150 3,150 HARPER & ASSOCIATES
298 298 - 298 SAN DIEGO UNION-TRIBUNE LLC
72 72 - 72 SAN DIEGO DAILY TRANSCRIPT
Total Design 21,270 16,842 4,058 20,900
Construction 001103
Labor 14,500 1,276 13,224 14,500
Construction Contracts 263,300 - 263,300 263,300 ADVANCED INDUSTRIAL SERVICES
Total Construction 277,800 1,276 276,524 277,800
Grand Total 299,691 19,109 280,582 299,691
Vendor/Comments
Otay Water District
P2491 - 850-3 Reservoir Exterior Coating
Committed Expenditures
Outstanding
Commitment &
Forecast
Projected Final
Cost
SUBJECT/PROJECT:
P2491/P2382-001103
Award of a Construction Contract to Advanced Industrial
Services, Inc. for the 850-3 Reservoir Exterior Coating and
Upgrades Project
ATTACHMENT B-2
SUBJECT/PROJECT:
P2491/P2382-001103
Award of a Construction Contract to Advanced Industrial
Services, Inc. for the 850-3 Reservoir Exterior Coating and
Upgrades Project
Date Updated: February 07, 2012
Budget
3,397,000
Safety/Security Upgrades 001000
Addl subprojects 000000 x02102 x30136
Labor 162,727 162,727 162,727
Books, Periodicals And Subscriptions 348 348 - 348 UNION TRIBUNE PUBLISHING CO
Books, Periodicals And Subscriptions 96 96 - 96 SAN DIEGO DAILY TRANSCRIPT
Annual Support Maintenance For Software 38,322 3,333 34,989 38,322 HENRY BROS ELECTRONICS INC
Consultant Contracts 500 500 - 500 SIMON WONG ENGINEERING
Consultant Contracts 2,500 2,500 - 2,500 DARRYL THIBAULT
Consultant Contracts 625 625 - 625 PEXIS CORPORATION
Computer Training 17 17 - 17 PETTY CASH CUSTODIAN
Safety Training 1,000 1,000 - 1,000 JB SAFETY & RESCUE SERVICES
Safety Training 562 562 - 562 UNITED RENTALS NORTHWEST INC
Gas Detectors 23,867 23,867 - 23,867 CALOLYMPIC SAFETY
Infrastructure Equipment & Supplies 124 124 - 124 PETTY CASH CUSTODIAN
Infrastructure Equipment & Supplies 7,156 7,156 - 7,156 UNITED RENTALS NORTHWEST INC
Infrastructure Equipment & Supplies 1,012 1,012 - 1,012 CALOLYMPIC SAFETY
Infrastructure Equipment & Materials 27,394 27,394 - 27,394 EMCOM ELECTRONICS SYSTEMS INC
Infrastructure Equipment & Materials 2,091 2,091 - 2,091 WESCO DISTRIBUTION INC
Infrastructure Equipment & Materials 34,989 - 34,989 34,989 HENRY BROS ELECTRONICS INC
Security Services 574 574 - 574 CALOLYMPIC SAFETY
Security Services 970 970 - 970 ALCEM FENCE COMPANY INC
Security Services 598,920 598,920 - 598,920 STANDARD ELECTRONICS
Security Services 354 354 - 354 MARWEST ACCESS CONTROLS
Security Services 6,346 6,346 - 6,346 ADVANCED ELECTRONIC SOLUTIONS2
Security Services 344,676 309,687 34,989 344,676 HENRY BROS ELECTRONICS INC
Security Services 11,835 11,835 - 11,835 ENHANCED COMMUNICATIONS
Security Services 3,875 3,875 - 3,875 PEXIS CORPORATION
Security Services 4,875 4,875 - 4,875 ADVANCED COMMUNICATIONS
Security Services 1,215 1,215 - 1,215 GRAYBAR ELECTRIC CO INC
Security Services 20,490 20,490 - 20,490 PRIME ELECTRICAL SERVICES INC
Security Services 5,973 5,973 - 5,973 SPECIALTY DOORS AND AUTOMATION
#REF!14,109 - 14,109 14,109 BRAULT INC
#REF!4,476 - 4,476 4,476 NEAL ELECTRIC CORP
Service Contracts 3,995 3,995 - 3,995 MSA SYSTEMS INC
Service Contracts 97,354 62,365 34,989 97,354 HENRY BROS ELECTRONICS INC
Service Contracts 2,300 2,300 - 2,300 ADVANCED COMMUNICATIONS
Service Contracts 1,980 1,980 - 1,980 SAN DIEGO CONSTRUCTION WELDING
Service Contracts 459 459 - 459 SPECIALTY DOORS AND AUTOMATION
Safety Equipment Misc Materials 135 135 - 135 MARWEST ACCESS CONTROLS
Safety Equipment Misc Materials 2,365 2,365 - 2,365 STONEHOUSE SIGNS INC
Safety Equipment Misc Materials 824 824 - 824 IDENTICARD SYSTEMS
Safety Equipment Misc Materials 2,516 2,516 - 2,516 CALOLYMPIC SAFETY
Safety Equipment Misc Materials 8,400 8,400 - 8,400 C & I EQUIPMENT CO
Building And Grounds Materials 90 90 - 90 MCMASTER-CARR SUPPLY CO
Building And Grounds Materials 721 721 - 721 C W MCGRATH INC
Building And Grounds Materials 1,698 1,698 - 1,698 T M PEMBERTON
Building And Grounds Materials 120 120 - 120 CONSTRUCTION RESIDUE RECYCLING
Building And Grounds Materials 6,200 6,200 - 6,200 FRANK & SON PAVING INC
Building And Grounds Materials 578 578 - 578 US BANK CORPORATE PAYMENT
Building And Grounds Materials 14,599 14,599 - 14,599 ENTERPRISE SECURITY INC
Building And Grounds Materials 16,913 16,913 - 16,913 ACCESS SECURITY CONTROLS
For Ops Only - Contracted Services 4,484 4,484 - 4,484 ACCESS SECURITY CONTROLS
For Ops Only - Contracted Services 450 450 - 450 WALTCOMM
For Ops Only - Contracted Services 8,775 8,775 - 8,775 ADVANCED COMMUNICATIONS
Security Vulnerability Study 92,008 92,008 - 92,008 EMA, INC.
Onsite Training 18 18 - 18 GREYSTONE ENVIRONMENTAL
Reimbursement from EPA (115,000) (115,000) - (115,000)
x30074 208,843 208,843 - 208,843
Construction Contract 30,000 - 30,000 30,000 ADVANCED INDUSTRIAL SERVICES
Total Safety/Security Upgrades 1,712,840 1,524,299 188,541 1,712,840
Fire Protection 003000
Labor 191 191 191
For Ops Only - Contracted Services 2,626 2,626 - 2,626 AZTEC FIRE & SAFETY
Total Fire Protection 2,817 2,816 - 2,816
Grand Total 1,715,657 1,527,116 188,541 1,715,657
Vendor/Comments
Otay Water District
P2382 - Safety and Security Improvements
Committed Expenditures
Outstanding
Commitment &
Forecast
Projected Final
Cost
STAFF REPORT
TYPE MEETING: Regular Board MEETING DATE: March 7, 2012
SUBMITTED BY: Bob Kennedy
Senior Civil Engineer
PROJECT/
SUBPROJECT:
D0859-
090114
DIV.
NO.
2
APPROVED BY:
Rod Posada, Chief of Engineering
Manny Magana, Asst. GM, Engineering and Operations
Joe Beachem, Chief Financial Officer
Mark Watton, General Manager
SUBJECT:
Approval of Water Supply Assessment Report (January 2012) for
the Hawano Project
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors
(Board) approves the Water Supply Assessment Report (WSA Report)
dated January 2012 for the Hawano Project, as required by Senate
Bill 610 (see Exhibit A for Project location).
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To obtain Board approval of the January 2012 WSA Report for the
Hawano Project, as required by Senate Bill 610 (SB 610).
ANALYSIS:
The Paragon Management Company submitted an entitlement
application to the County of San Diego (County) for the
development of the 79.6 acre parcel owned by INMOBILARIA HAWANO,
S.A. DE C.V. (Hawano Project). The owner submitted the twenty-
three (23) Industrial/Commercial lot tentative map to the County
which is conducting an environmental review of the proposed
AGENDA ITEM 6
2
Hawano Project. SB 610 requires the agency conducting the
environmental review to evaluate whether total water supplies
will meet the projected water demand for certain “projects” that
are otherwise subject to the requirement of the California
Environmental Quality Act (CEQA). SB 610 provides its own
definition of “project” in Water Code Section 10912. The County
submitted a request for a WSA to the District pursuant to SB
610. In response to such request, SB 610 requires that, upon
request of the agency conducting the environmental review, a
water purveyor, such as the District, prepare the water supply
assessment to be included in the CEQA documentation.
The requirements of SB 610 are addressed by the WSA Report for
the Hawano Project. Prior to transmittal to the County, the WSA
Report must be approved by the District Board. Additional
information of the intent of SB 610 is provided in Exhibit B and
the Hawano Project WSA Report is attached as Exhibit C.
For the Hawano Project, the County is the responsible agency
that requested the SB 610 water supply assessment from the
District, as the water purveyor for the proposed Hawano Project.
The request for the WSA Report, in compliance with SB 610
requirements, was made by the County because the Hawano Project
meets or exceeds one or both of the following SB 610 criteria:
A proposed industrial, manufacturing or processing plant or
industrial park planned to house more than 1,000 persons,
occupying more than 40 acres of land, or having more than
650,000 square feet of area.
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 District, as the proposed water purveyor for the Hawano
Project, does not have to comply with the requirements of Senate
Bill 221 (SB 221) because the Project is an industrial
development and SB 221 applies to residential subdivisions.
Pursuant to SB 610, the WSA Report incorporates by reference the
current Urban Water Management Plans and other water resources
planning documents of the District, the San Diego County Water
Authority (Water Authority), and the Metropolitan Water District
of Southern California (MWD). The District prepared the WSA
Report in consultation with Dexter Wilson Engineering, Inc. and
the Water Authority which demonstrates and documents that
sufficient water supplies are planned for and are intended to be
made available over a 20-year planning horizon under normal
3
supply conditions and in single and multiple dry years to meet
the projected demand of the Hawano Project and other planned
development projects within the District.
The expected potable water demand for the Hawano Project is
67,500 gallons per day (gpd) or about 75.6 acre-feet per year
(AFY). This is consistent with the demands in the District’s
2008 Water Resources Master Plan updated November 2010. The
projected recycled water demand for the Hawano Project is 8,600
gpd or 9.6 AFY, representing about 11% of the total Hawano
Project water demand.
MWD’s Integrated Resource Plan (IRP) identifies a mix of
resources (imported and local) that, when implemented, will
provide 100 percent reliability for full-service demands through
the attainment of regional targets set for conservation, local
supplies, State Water Project supplies, Colorado River supplies,
groundwater banking, and water transfers. MWD’s 2010 update to
the IRP (2010 IRP Update) includes a water supply planning
buffer to mitigate the risk 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 the establishment of the planning
buffer, MWD periodically evaluates supply development to ensure
that the region is not under- or over-developing supplies. If
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 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 legislation is that the land use
agencies and the water agencies coordinate their efforts in
planning for new development and thus plan for sufficient water
supplies to meet the needs.
As per the requirements of SB 610, if the water supply
assessment finds that the supply is sufficient, then the
governing body of the water supplier (District) must approve the
water supply assessment and deliver it to the lead agency
(County) within 90 days. The County’s letter dated January 6,
2012 requested the WSA for the Hawano Project. The deadline for
4
the District to provide a Board approved WSA to the County is
April 5, 2012. An extension can be requested to provide 30
additional days, if necessary.
Pursuant to SB 610, if the water supply assessment finds overall
supplies are insufficient, the water 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 90 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.
Water supply agencies throughout California continue to face
climatological, environmental, legal, and other challenges that
impact water source supply conditions, such as the court ruling
regarding the Sacramento-San Joaquin Delta issues. Challenges
such as these are always present. The regional water supply
agencies, the Water Authority, MWD, and the District
nevertheless fully intend to have sufficient, reliable supplies
to serve the Hawano Project.
FISCAL IMPACT:
The District has been reimbursed $5,000 for all costs associated
with the preparation of the Hawano Project WSA Report. The
reimbursement was accomplished via a $5,000 deposit the Project
proponents placed with the District on November 15, 2011.
5
STRATEGIC GOAL:
The preparation and approval of the Hawano Project WSA Report
supports the District’s Mission statement, "To provide the best
quality of water and wastewater services to the customers of the
Otay Water District, in a professional, effective, and efficient
manner” and the District’s Strategic Goal, in planning for
infrastructure and supply to meet current and future potable
water demands.
LEGAL IMPACT:
Approval of a WSA Report for the Hawano Project in form and
content satisfactory to the Board of Directors would allow the
District to comply with the requirements of Senate Bill 610.
BK/RP:jf
P:\WORKING\WO D0859 - Hawano\Staff Report\BD 03-07-12, Staff Report, Hawano WSA (BK-RP).doc
Attachments: Attachment A – Committee Actions
Exhibit A – Project Location Map
Exhibit B – Explanation of the Intent of SB 610
Exhibit C – Hawano WSA Report
Exhibit D – Presentation
ATTACHMENT A
SUBJECT/PROJECT:
D0859-090114
Approval of Water Supply Assessment Report (January 2012)
for the Hawano Project
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee
reviewed this item at a Committee Meeting held on February 16,
2012. The Committee supported Staff’s recommendation.
NOTE:
The “Committee Action” is written in anticipation of the
Committee moving the item forward for Board approval. This
report will be sent to the Board as a Committee approved item,
or modified to reflect any discussion or changes as directed
from the committee prior to presentation to the full Board.
EXHIBIT B
Background Information
The Otay Water District (District) prepared the January 2012 Water Supply Assessment
Report (WSA Report) for the Hawano Project development at the request of the County of
San Diego (County). The County’s WSA request letter dated January 6, 2012 was received
by the District on January 6, 2012 so the 90-day deadline for the District to provide the Board
an approved WSA Report to the County ends April 5, 2012. The Paragon Management
Company submitted an entitlement application to the County for the development of the 79.6
acre parcel owned by INMOBILARIA HAWANO, S.A. DE C.V. (Hawano Project).
The Hawano Project is located within the jurisdictions of the District, the San Diego County
Water Authority (Water Authority), and the Metropolitan Water District of Southern California
(MWD). See Exhibit A for Project location. To obtain permanent imported water supply
service, land areas are required to be within the jurisdictions of the District, Water Authority,
and MWD.
The January 2012 WSA Report for the Hawano 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. SB 610
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,
counties, and other regulatory agencies. 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. The requirements of SB 610 are addressed in the January 2012
WSA Report for the Hawano Project.
The Paragon Management Company submitted an entitlement application to the County for
the development of the 79.6 acre parcel owned by INMOBILARIA HAWANO, S.A. DE C.V.
(Hawano Project). The twenty-three (23) Industrial/Commercial lot tentative map is located
within the East Otay Mesa Specific Plan of the County’s General Plan at the southwest
corner of the intersection of Alta Road and Airway Road.
The expected potable water demand for the Hawano Project is 67,500 gallons per day (gpd)
or about 75.6 acre-feet per year (AFY). This is consistent with the demands in the District’s
2008 Water Resources Master Plan updated November 2010. The projected recycled water
demand for the Hawano Project is 8,600 gpd or 9.6 AFY, representing about 11% of the total
Hawano Project water demand.
The District currently depends on the Water Authority and the MWD for all of its potable water
supplies and regional water resource planning.
2
The District’s 2010 Urban Water Management Plan (UWMP) relies heavily on the UWMP’s
and Integrated Water Resources Plans (IRPs) of the Water Authority and MWD for
documentation of supplies available to meet projected demands. These plans are developed
to manage the uncertainties and variability of multiple supply sources and demands over the
long-term through preferred water resources strategy adoption and resource development
target approvals for implementation.
The new uncertainties that are significantly affecting California’s water resources include:
The Federal Court ruling on previous operational limits on Sacramento-San Joaquin
Delta to protect the Delta species. Water agencies are still trying to determine what
effect the ruling will have on State Water Project (SWP) deliveries. Actual supply
curtailments for MWD are contingent upon fish distribution, behavioral patterns,
weather, Delta flow conditions, and how water supply reductions are divided between
state and federal projects.
Periodic extended drought conditions.
These uncertainties have rightly caused concern among Southern California water supply
agencies regarding the validity of the current water supply documentation.
MWD’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 SWP supplies, among other uncertainties, will be required
to assess the ability of achieving the long-term IRP targets.
MWD is currently involved in several proceedings concerning Delta operations to evaluate
and address environmental concerns. In addition, at the State level, the Delta Vision and
Bay-Delta Conservation Plan processes are defining long-term solutions for the Delta. MWD
is actively engaged in these processes and in October 2010, approved the update of their
IRP. An approved implementation strategy update may not be forthcoming for a year or
more.
The SWP represents approximately 9% of MWD’s 2025 Dry Resources Mix with the supply
buffer included. A 22% cutback in SWP supply represents an overall 2% (22% of 9% is 2%)
cutback in MWD supplies in 2025. Neither the Water Authority nor MWD has stated that
there is insufficient water for future planning in Southern California. Each agency is in the
process of reassessing and reallocating their water resources.
Under preferential rights, MWD can allocate water without regard to historic water purchases
or dependence on MWD. Therefore, the Water Authority and its member agencies are taking
measures to reduce dependence on MWD through development of additional supplies and a
water supply portfolio that would not be jeopardized by a preferential rights allocation.
As calculated by MWD, the Water Authority’s current preferential right is 17.47% of MWD’s
supply, while the Water Authority accounted for approximately 21% of MWD’s total revenue.
3
So MWD could theoretically take a 3.5% 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 2010 UWMP, they had already planned to reduce
reliance on MWD supplies. This reduction is planned to be achieved through diversification
of their water supply portfolio.
The Water Authority’s Drought Management Plan (May 2006) provides the Water Authority
and its member agencies with a series of potential actions to engage when faced with a
shortage of imported water supplies due to prolonged drought conditions. Such actions help
avoid or minimize impacts of shortages and ensure an equitable allocation of supplies
throughout the San Diego County region.
The Otay Water District Board of Directors could acknowledge the ever-present challenge of
balancing water supply with demand and the inherent need to possess a flexible and
adaptable water supply implementation strategy that can be relied upon during normal and
dry weather conditions. The responsible regional water supply agencies have and will
continue to adapt their resource plans and strategies to meet climatological, environmental,
and legal challenges so that they may continue to provide water supplies to their service
areas. The regional water suppliers (i.e., the Water Authority and MWD), along with the
District, fully intend to maintain sufficient reliable supplies through the 20-year planning
horizon under normal, single, and multiple dry year conditions to meet projected demand of
the Hawano Project, along with existing and other planned development projects within the
District’s service area.
If the regional water suppliers determine additional water supplies will be required, or in this
case, that water supply portfolios need to be reassessed and redistributed with the intent to
serve the existing and future water needs throughout Southern California, the agencies must
indicate the status or stage of development of actions identified in the plans they provide.
MWD’s 2010 IRP update will then cause the Water Authority to update its IRP, which will then
provide the District with the necessary water supply documentation. Identification of a
potential future action in such plans does not by itself indicate that a decision to approve or to
proceed with the action has been made. The District’s Board approval of the Hawano Project
WSA Report does not in any way guarantee water supply to the Hawano Project.
Alternatively, if the WSA Report is written to state that water supply is or will be unavailable;
the District must include, in the assessment, a plan to acquire additional water supplies. At
this time, the District should not state there is insufficient water supply.
So the best the District can do right now is to state the current water supply situation clearly,
indicating intent to provide supply through reassessment and reallocation by the regional, as
well as, the local water suppliers. In doing so, it is believed that the Board has met the intent
of the SB 610 statute, that the land use agencies and the water agencies are coordinating
their efforts in planning water supplies for new development.
With District Board approval of the Hawano Project WSA Report, the Project proponents can
proceed with the draft environmental documentation required for the CEQA review process.
4
The water supply issues will be addressed in these environmental documents, consistent with
the WSA 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 Hawano Project.
Some recent actions regarding water supply assessments and verification reports by entities
within Southern California are as follows:
The City approved water supply assessment reports for both the La Jolla Crossings
Project and the Quarry Falls Project in September 2007.
Padre Dam Municipal Water District approved a water supply assessment report for
the City of Santee’s Fanita Ranch development project in April 2006. In October 2007,
a follow-up letter was prepared stating the current uncertainties associated with the
regional water supply situation. However, the letter concludes that sufficient water
exists over the long-run in reliance upon the assurances, plans, and projections of the
regional water suppliers (MWD and Water Authority).
The Otay Water District unanimously approved in July 2007 the Eastern Urban Center
Water Supply and Assessment Report. The Board also approved the Judd Company
Otay Crossings Commerce Park WSA Report on December 5, 2007 and the Otay
Ranch L.P. Otay Ranch Preserve and Resort Project Water Supply Assessment and
Verification Report on February 4, 2009.
The Otay Water District approved water supply assessment and verification reports for
the City of Chula Vista Village 8 West Sectional Plan Area and Village 9 Sectional Plan
Area. The District also approved the water supply assessment report for the San
Diego-Tijuana Cross Border Facility, the Rabago Technology Park, and the Pio Pico
Energy Center Project.
Water supplies necessary to serve the demands of the proposed Hawano Project, along with
existing and other projected future users, as well as the actions necessary to develop these
supplies, have been identified in the water supply planning documents of the District, the
Water Authority, and MWD.
The WSA Report includes, among other information, an identification of existing water supply
entitlements, water rights, water service contracts, or agreements relevant to the identified
water supply needs for the proposed Hawano Project. The WSA 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 Hawano Project and the existing and other
planned development projects within the District.
5
Accordingly, after approval of a WSA Report for the Hawano Project by the District's Board of
Directors, the WSA Report may be used to comply with the requirements of the legislation
enacted by Senate Bills 610 as follows:
Senate Bill (SB) 610 Water Supply Assessment: The District's Board of Directors
approved WSA Report may be incorporated into the California Environmental Quality Act
(CEQA) compliance process for the Hawano Project as a water supply assessment report
consistent with the requirements of the legislation enacted by SB 610. The County of San
Diego, as lead agency under the CEQA for the Hawano Project environmental
documentation, may cite the approved WSA Report as evidence that a sufficient water
supply is planned and intended to be available to serve the Hawano Project.
OTAY WATER DISTRICT
WATER SUPPLY ASSESSMENT REPORT
for the
Hawano Project
D0859-090114
Prepared by:
Bob Kennedy, P.E.
Senior Civil Engineer
Otay Water District
In consultation with
Dexter Wilson Engineering, Inc.
And
San Diego County Water Authority
January 2012
Otay Water District
Water Supply Assessment Report
Hawano Project
Otay Water District
Water Supply Assessment Report
January 2012
Hawano Project
Table of Contents
Executive Summary .................................................................................................................................... 1
Section 1 - Purpose ...................................................................................................................................... 5
Section 2 - Findings ..................................................................................................................................... 6
Section 3 - Project Description .................................................................................................................. 9
Section 4 – Otay Water District ................................................................................................................. 9
Section 5 – Historical and Projected Water Demands .......................................................................... 12
5.1 Demand Management (Water Conservation) ............................................. 17
Section 6 - Existing and Projected Supplies ........................................................................................... 20
6.1 Metropolitan Water District of Southern California 2010
Regional Urban Water Management Plan .................................................. 20
6.1.2 MWD Capital Investment Plan ....................................... 22
6.2 San Diego County Water Authority Regional Water Supplies ................. 22
6.2.1 Availability of Sufficient Supplies and Plans for
Acquiring Additional Supplies ........................................................ 23
6.2.1.2 All-American Canal and Coachella Canal
Lining Projects ................................................................ 29
6.2.1.3 Carlsbad Seawater Desalination Project ......................... 33
6.2.2 Water Authority Capital Improvement
Program and Financial Information ................................ 36
6.3 Otay Water District ....................................................................................... 37
6.3.1 Availability of Sufficient Supplies and Plans for
Acquiring Additional Supplies ........................................................ 37
6.3.1.1 Imported and Regional Supplies ..................................... 38
6.3.1.2 Recycled Water Supplies ................................................ 41
Section 7 – Conclusion: Availability of Sufficient Supplies .................................................................. 49
Source Documents ..................................................................................................................................... 54
Appendices
Appendix A: Hawano Project Vicinity Map
Appendix B: Hawano Project Development Plan
Otay Water District
Water Supply Assessment Report
Hawano Project
1
Otay Water District
Water Supply Assessment Report
January 2012
Hawano Project
Executive Summary
The Otay Water District (OWD) prepared this Water Supply Assessment Report (WSA
Report) at the request of the County of San Diego (County) for the Hawano Project. The
Paragon Management Company submitted an entitlement application to the County for the
development of the Hawano Project.
Hawano Project Overview and Water Use
The Hawano Project is located within the jurisdictions of the OWD, the San Diego County
Water Authority (Water Authority), and the Metropolitan Water District of Southern
California (MWD). To obtain permanent imported water supply service, land areas are
required to be within the jurisdictions of the OWD, Water Authority, and MWD.
The Paragon Management Company submitted an entitlement application to the County for
the development of the 79.6 acre parcel owned by INMOBILARIA HAWANO, S.A. DE C.V.
(Hawano Project). The twenty three (23) Industrial/Commercial lot tentative map is located
within the East Otay Mesa Specific Plan, Subarea 1 of the County’s General Plan at the
southwest corner of the intersection of Alta Road and Airway Road.
The expected potable water demand for the Hawano Project is 67,500 gallons per day (gpd) or
about 75.6 acre feet per year (AFY). This is consistent with the demands in the District’s
2008 Water Resources Master Plan updated November 2010 (WRMP Update). The projected
recycled water demand for the Hawano Project is 8,600 gpd or 9.6 AFY, representing about
11% of the total Hawano Project water demand.
The Hawano Project development components are required to use recycled water for
irrigation and other potential purposes. The primary benefit of using recycled water is that it
will offset the potable water demand by an estimated 9.6 AFY. The Otay WD WRMP Update
and 2010 Urban Water Management Plan (UWMP) anticipated that the Hawano Project
would use both potable and recycled water.
Otay Water District
Water Supply Assessment Report
Hawano Project
2
Planned Imported Water Supplies from the Water Authority and MWD
The Water Authority and MWD have an established process that ensures supplies are being
planned to meet future growth. Any annexations and revisions to established land use plans
are captured in the San Diego Association of Governments (SANDAG) updated forecasts for
land use planning, demographics, and economic projections. SANDAG serves as the
regional, intergovernmental planning agency that develops and provides forecast information.
The Water Authority and MWD update their demand forecasts and supply needs based on the
most recent SANDAG forecast approximately every five years to coincide with preparation of
their Urban Water Management Plans (UWMP). Prior to the next forecast update, local
jurisdictions with land use authority may require water supply assessment and/or verification
reports for proposed land developments that are not within the OWD, Water Authority, or
MWD jurisdictions (i.e. pending or proposed annexations) or that have revised land use plans
with either lower or higher development intensities than reflected in the existing growth
forecasts. Proposed land areas with pending or proposed annexations, or revised land use
plans, typically result in creating higher demand and supply requirements than previously
anticipated. The OWD, Water Authority, and MWD next demand forecast and supply
requirements and associated planning documents would then capture any increase or decrease
in demands and required supplies as a result of annexations or revised land use planning
decisions.
The California Urban Water Management Planning Act (Act), which is included in the
California Water Code, requires all urban water suppliers within the state to prepare an
UWMP and update it every five years. The purpose and importance of the UWMP has
evolved since it was first required 25 years ago. State agencies and the public frequently use
the document to determine if agencies are planning adequately to reliably meet future
demands. As such, UWMPs serve as an important element in documenting supply
availability for the purpose of compliance with state laws, Senate Bill 610, linking water
supply sufficiency to large land-use development approval. Agencies must also have a
UWMP prepared, pursuant to the Act, in order to be eligible for state funding and drought
assistance.
MWD’s 2010 IRP long term water plan offers a strategy to protect the region from future
supply shortages, with an emphasis on water-use efficiency through conservation and local
supply development. The 2010 IRP includes a planning buffer supply intended to mitigate
against the risks associated with implementation of local and imported supply programs and
for the risk that future demands could be higher than projected. The planning buffer identifies
an additional increment of water that could potentially be developed when needed or if other
supplies are not fully implemented as planned. As part of implementation of the planning
buffer, MWD periodically evaluates supply development, supply conditions, and projected
demands to ensure that the region is not under or over developing supplies. Managed
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properly, the planning buffer will help ensure that the southern California region, including
San Diego County, will have adequate water supplies to meet long-term future demands.
Water supply agencies throughout California continue to face climate, 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 MWD, along with OWD
nevertheless fully intend to have sufficient, reliable supplies to serve demands.
In Section ES-5 of their 2010 Regional Urban Water Management Plan (2010 RUWMP),
MWD states that MWD has supply capacities that would be sufficient to meet expected
demands from 2015 through 2035. MWD has plans for supply implementation and continued
development of a diversified resource mix including programs in the Colorado River
Aqueduct, State Water Project, Central Valley Transfers, local resource projects, and in-
region storage that enables the region to meet its water supply needs. MWD’s 2010 RUWMP
identifies potential reserve supplies in the supply capability analysis (Tables 2-9, 2-10, and 2-
11), which could be available to meet the unanticipated demands such as those related to the
Hawano Project.
The County Water Authority Act, Section 5 subdivision 11, states that the Water Authority
“as far as practicable, shall provide each of its member agencies with adequate supplies of
water to meet their expanding and increasing needs.”
As part of preparation of a written water supply assessment report, an agency’s shortage
contingency analysis should be considered in determining sufficiency of supply. Section 11
of the Water Authority’s 2010 UWMP contains a detailed shortage contingency analysis that
addresses a regional catastrophic shortage situation and drought management. The analysis
demonstrates that the Water Authority and its member agencies, through the Emergency
Response Plan, Emergency Storage Project, and Drought Management Plan (DMP) are taking
actions to prepare for and appropriately handle an interruption of water supplies. The DMP,
adopted in May 2006, provides the Water Authority and its member agencies with a series of
potential actions to take when faced with a shortage of imported water supplies from MWD
due to prolonged drought or other supply shortfall conditions. The actions will help the
region avoid or minimize the impacts of shortages and ensure an equitable allocation of
supplies.
Otay Water District Water Supply Development Program
In evaluating the availability of sufficient water supply, the Hawano Project will be required
to participate in the water supply development program being implemented by the OWD.
This is intended to be achieved through financial participation in several local and/or regional
water supply development projects envisioned by the OWD. These water supply projects are
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in addition to those identified as sustainable supplies in the current Water Authority and
MWD UWMP, IRP, Master Plans, and other planning documents. These new water supply
projects are in response to the regional water supply issues. These new additional water
supply projects are not currently developed and are in various stages of the planning process.
Imported water supplies along with the OWD water supply development projects supplies are
planned to be developed and are intended to increase water supplies to serve the Hawano
Project water supply needs and that of other similar situated development projects. The OWD
water supply development program includes but is not limited to projects such as the Middle
Sweetwater River Basin Groundwater Well project, the North District Recycled Water Supply
Concept, the Rosarito Ocean Desalination Facility project, and the Rancho del Rey
Groundwater Well project. The Water Authority and MWD’s next forecasts and supply
planning documents would capture any increase in water supplies resulting from any new
water resources developed by the OWD.
Findings
This WSA Report for the Hawano Project has been prepared by the OWD 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, 10657,
10910, 10911, 10912, and 10915 referred to as Senate Bill (SB) 610. SB 610 amended state
law, effective January 1, 2002, 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. The County requested that OWD prepare a
water supply assessment as per the requirements of SB 610. The requirements of SB 610 are
being addressed by this WSA Report
The Hawano Project development concept exceeds the thresholds contained in the legislation
enacted by SB 610 and therefore requires preparation of a WSA report. The Hawano Project
is considered as an industrial development and is not a residential subdivision project of more
than 500 units and hence it is not subject to the requirements of Senate Bill 221 for
preparation of a Water Supply Verification Report.
The WSA Report identifies and describes the processes by which water demand projections
for the proposed Hawano Project will be fully included in the water demand and supply
forecasts of the Urban Water Management Plans and other water resources planning
documents of the Water Authority and MWD. Water supplies necessary to serve the demands
of the proposed Hawano 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
Hawano Project WSA Report and will be included in the future water supply planning
documents of the Water Authority and MWD.
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This WSA 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 Hawano Project.
This WSA 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 of the proposed Hawano
Project and the existing and other planned development projects to be served by the OWD.
Accordingly, after approval of a WSA Report for the Hawano Project by the Otay Water
District Board of Directors (Board), the WSA Report may be used to comply with the
requirements of the legislation enacted by Senate Bill 610 as follows:
Senate Bill 610 Water Supply Assessment: The Otay Water District Board approved
Hawano Project WSA Report may be incorporated into the California Environmental
Quality Act (CEQA) compliance process for the Hawano 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 Hawano Project EIR, may cite
the approved WSA Report as evidence that a sufficient water supply is planned for
and is intended to be made available to serve the Hawano Project.
Section 1 - Purpose
The Paragon Management Company submitted an entitlement application to the County for
the development of the 79.6 acre parcel owned by INMOBILARIA HAWANO, S.A. DE C.V.
(Hawano Project). The twenty three (23) Industrial/Commercial lot tentative map is located
within the East Otay Mesa Specific Plan, Subarea 1 of the County’s General Plan at the
southwest corner of the intersection of Alta Road and Airway Road. The County requested
that the Otay Water District (OWD) prepare a Water Supply Assessment (WSA) Report for
the Hawano Project. The Hawano Project description is provided in Section 3 of this WSA
Report.
This WSA Report for the Hawano Project has been prepared by the OWD 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. SB 610 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.
The requirements of SB 610 are being addressed by this WSA Report.
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The Hawano Project’s development concept exceeds the thresholds contained in the
legislation enacted by SB 610 and therefore requires preparation of a WSA report. The
Hawano Project is considered as an industrial development and is not a residential subdivision
project of more than 500 units and hence it is not subject to the requirements of Senate Bill
221 for preparation of a Water Supply Verification Report.
This WSA Report evaluates water supplies that are planned to be available during normal,
single dry year, and multiple dry water years during a 20-year planning horizon to meet
existing demands, expected demands of the Hawano Project, and reasonably foreseeable
planned future water demands to be served by OWD. The Otay Water District Board of
Directors approved WSA Report is planned to be used by the County in its evaluation of the
Hawano Project under the CEQA approval process procedures.
Section 2 - Findings
The Paragon Management Company submitted an entitlement application to the County for
the development of the 79.6 acre parcel owned by INMOBILARIA HAWANO, S.A. DE C.V.
(Hawano Project). The OWD prepared this WSA Report at the request of the County for the
Hawano Project.
The Hawano Project is located within the jurisdictions of the OWD, the Water Authority, and
the Metropolitan Water District of Southern California (MWD). To obtain permanent
imported water supply service, land areas are required to be within the jurisdictions of the
OWD, Water Authority, and MWD to utilize imported water supply.
The expected potable water demand for the Hawano Project is 67,500 gallons per day (gpd) or
about 75.6 acre feet per year (AFY). This is unchanged from the demand estimate in the
District’s WRMP Update. The projected recycled water demand for the Hawano Project is
approximately 8,600 gpd or 9.6 AFY, representing about 11% of the total Hawano Project
water demand.
The Hawano Project development proponents are required to use recycled water for irrigation
and other appropriate uses. The primary benefit of using recycled water is that it will offset
the potable water demands by an estimated 9.6 AFY. The WRMP Update and the 2010
Urban Water Management Plan (UWMP) anticipated that the land area to be utilized for the
Hawano Project would use both potable and recycled water.
In evaluating the availability of sufficient water supply, the Hawano project proponents are
required to participate in the development of alternative water supply project(s). This can be
achieved through payment of the New Water Supply Fee adopted by the Otay Water District
Board in May 2010. These water supply projects are in addition to those identified as
sustainable supplies in the current Water Authority and MWD UWMP, IRP, Master Plans,
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and other planning documents. These new water supply projects are in response to the
regional water supply issues related to the Sacramento-San Joaquin Delta and the current
ongoing western states drought conditions. These new additional water supply projects are
not currently developed and are in various stages of the planning process. A few examples of
these alternative water supply projects include the Middle Sweetwater River Basin
Groundwater Well project, the Middle Sweetwater River Basin Groundwater Well project, the
OWD Desalination project, and the Rancho del Rey Groundwater Well project. The Water
Authority and MWD next forecast and supply planning documents would capture any
increase in water supplies resulting from verifiable new water resources developed by the
OWD.
The Water Authority and MWD have an established process that ensures supplies are being
planned to meet future growth. Any annexations and revisions to established land use plans
are captured in the San Diego Association of Governments (SANDAG) updated forecasts for
land use planning, demographics, and economic projections. SANDAG serves as the
regional, intergovernmental planning agency that develops and provides forecast information.
The Water Authority and MWD update their demand forecasts and supply needs based on the
most recent SANDAG forecast approximately every five years to coincide with preparation of
their urban water management plans. Prior to the next forecast update, local jurisdictions may
require water supply assessment and/or verification reports for proposed land developments
that are not within the OWD, Water Authority, or MWD jurisdictions (i.e. pending or
proposed annexations) or that have revised land use plans with lower or higher land use
intensities than reflected in the existing growth forecasts. Proposed land areas with pending
or proposed annexations, or revised land use plans, typically result in creating higher demand
and supply requirements than anticipated. The OWD, the Water Authority, and MWD next
demand forecast and supply requirements and associated planning documents would then
capture any increase or decrease in demands and required supplies as a result of annexations
or revised land use planning decisions.
This process is utilized by the Water Authority and MWD to document the water supplies
necessary to serve the demands of any proposed development project, along with existing and
other projected future users, as well as the actions necessary to develop any required water
supplies. Through this process the necessary demand and supply information is thus assured
to be identified and incorporated within the water supply planning documents of the Water
Authority and MWD.
This WSA Report includes, among other information, an identification of existing water
supply entitlements, water rights, water service contracts, proposed water supply projects, and
agreements relevant to the identified water supply needs for the proposed Hawano Project.
This WSA Report incorporates by reference the current Urban Water Management Plans and
other water resources planning documents of the OWD, the Water Authority, and MWD. The
OWD prepared this WSA Report to assess and document that sufficient water supplies are
planned for and are intended to be acquired to meet projected water demands of the Hawano
Project as well as existing and other reasonably foreseeable planned development projects
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within the OWD for a 20-year planning horizon, in normal supply years and in single dry and
multiple dry years.
The Otay Water District 2010 UWMP included a water conservation component to comply
with Senate Bill 7 of the Seventh Extraordinary Session (SBX 7-7), which became effective
February 3, 2010. This new law was the water conservation component to the Delta
legislation package, and seeks to achieve a 20 percent statewide reduction in urban per capita
water use in California by December 31, 2020. Specifically, SBX 7-7 from this Extraordinary
Session requires each urban retail water supplier to develop urban water use targets to help
meet the 20 percent reduction goal by 2020 (20x2020), and an interim water reduction target
by 2015.
OWD has adopted Method 1 to set its 2015 interim and 2020 water use targets. Method 1
requires setting the 2020 water use target to 80 percent of baseline per capita water use target
as provided in the State’s Draft 20x2020 Water Conservation Plan. The OWD 2015 target is
171 gpcd and the 2020 gpcd target at 80 percent of baseline is 152 gpcd.
The OWD’s recent per capita water use has been declining to the point where current water
use already meets the 2020 target for Method 1. This recent decline in per capita water use is
largely due to drought water use restrictions, increased water costs, and economic conditions.
However, OWD’s effective water use awareness campaign and enhanced conservation
mentality of its customers will likely result in some long-term carryover of these reduced
consumption rates.
Based on a normal water supply year, the five-year increments for a 20-year projection
indicate projected potable and recycled water supply is being planned for and is intended to be
acquired to meet the estimated water demand targets of the OWD (44,883 acre-feet (ac-ft) in
2015 to 56,614 ac-ft in 2035 per the Otay Water District 2010 UWMP). Based on dry year
forecasts, the estimated water supply is also being planned for and is intended to be acquired
to meet the projected water demand, during single dry and multiple dry year scenarios. On
average, the dry-year demands are about 6.4 percent higher than the normal year demands.
The OWD recycled water supply is assumed to be drought-proof and not subject to reduction
during dry periods.
Together, these findings assess, demonstrate, and document 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 and will be further documented, to serve the proposed Hawano
Project and the existing and other reasonably foreseeable planned development projects
within the OWD in both normal and single and multiple dry year forecasts for a 20-year
planning horizon.
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Section 3 - Project Description
The Hawano Project is located at the southwest corner of the intersection of Alta Road and
Airway Road. Refer to Appendix A for a vicinity map of the proposed Hawano Project. The
project is proposed to be located on 79.6 acres within the East Otay Mesa Specific Plan,
Subarea 1 of the County of San Diego (County) General Plan. Although the proposed
development is located within the municipal boundaries of the County and subject to the
County’s land use jurisdiction, the OWD is the potable and recycled water purveyor. The
Hawano Project is within the jurisdictions of the OWD, the Water Authority, and
Metropolitan Water District of Southern California (MWD).
The Hawano Project is planned to include 23 Industrial/Commercial business park lots
ranging from 1.6 to 5.5 acres in size. As each of these lots develop in the future, it would be
subject to the project approval and permitting processes of the County and OWD. Refer to
Appendix B for the proposed development plan of the Hawano Project.
The County has discretionary authority on land use decisions for the Hawano Project and can
establish actions and/or permit approval requirements. The projected potable and recycled
water demands associated with the Hawano Project have considered the anticipated County
discretionary actions and/or permit approvals and are incorporated into and used in this WSA
Report. The water demands for the proposed Hawano Project are included in the projected
water demand estimates provided in Section 5 – Historical and Projected Water Demands.
Section 4 – Otay Water District
The OWD is a municipal water district formed in 1956 pursuant to the Municipal Water
District Act of 1911 (Water Code §§ 71000 et seq.). The OWD joined the Water Authority as
a member agency in 1956 to acquire the right to purchase and distribute imported water
throughout its service area. The Water Authority is an agency responsible for the wholesale
supply of water to its 24 public agency members in San Diego County.
The OWD currently meets all its potable demands with imported treated water from the Water
Authority. The Water Authority is the agency responsible for the supply of imported water
into San Diego County through its membership in MWD. The Water Authority currently
obtains about half of its imported supply from MWD, but is in the process of further
diversifying its available supplies.
The OWD 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, OWD also provides sewage collection and treatment services to a
portion of its service area known as the Jamacha Basin. The OWD also owns and operates
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the Ralph W. Chapman Water Reclamation Facility (RWCWRF) which has an effective
treatment capacity of 1.2 million gallons per day (mgd) or about 1,300 acre feet per year to
produce recycled water. On May 18, 2007, an additional source of recycled water supply of
at least 6 mgd, or about 6,720 acre feet per year, became available to OWD from the City of
San Diego’s South Bay Water Reclamation Plant (SBWRP).
The OWD jurisdictional area is generally located within the south central portion of San
Diego County and includes approximately 125 square miles. The OWD serves portions of the
unincorporated communities of southern El Cajon, La Mesa, Rancho San Diego, Jamul,
Spring Valley, Bonita, and Otay Mesa, the eastern portion of the City of Chula Vista and a
portion of the City of San Diego on Otay Mesa. The OWD jurisdiction boundaries are
roughly bounded on the north by the Padre Dam Municipal Water District, on the northwest
by the Helix Water District, and on the west by the South Bay Irrigation District (Sweetwater
Authority) and the City of San Diego. The southern boundary of OWD is the international
border with Mexico.
The planning area addressed in the Otay Water District WRMP Update and the Otay Water
District 2010 UWMP includes both the land within the jurisdictional boundary of the OWD
and those areas outside of the present OWD boundaries considered to be in the Area of
Influence of the OWD. Figure 1 contained within the Otay Water District 2010 UWMP
shows the jurisdictional boundary of the OWD and the Area of Influence. The planning area
is approximately 143 square miles, of which approximately 125 square miles are within the
OWD current boundaries and approximately 18 square miles are in the Area of Influence.
The area east of OWD is rural and currently not within any water purveyor jurisdiction and
potentially could be served by the OWD in the future if the need for imported water becomes
necessary, as is the case for the Area of Influence.
The City of Chula Vista, the City of San Diego, and the County of San Diego are the three
land use planning agencies within the OWD jurisdiction. Data on forecasts for land use
planning, demographics, economic projections, population, and the future rate of growth
within OWD were obtained from the San Diego Association of Governments (SANDAG).
SANDAG serves as the regional, intergovernmental planning agency that develops and
provides forecast information through the year 2050. Population growth within the OWD
service area is expected to increase from the 2010 figure of approximately 198,616 to an
estimated 284,997 by 2035. Land use information used to develop water demand projections
are based upon Specific or Sectional Planning Areas, the Otay Ranch General Development
Plan/Sub-regional Plan, East Otay Mesa Specific Plan Area, San Diego County Community
Plans, and City of San Diego, City of Chula Vista, and County of San Diego General Plans.
The OWD long-term historic growth rate has been approximately 4 percent. The growth rate
has significantly slowed due to the current economic conditions and it is expected to slow as
the inventory of developable land is diminished.
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Climatic conditions within the OWD service area are characteristically Mediterranean near
the coast, with mild temperatures year round. Inland areas are both hotter in summer and
cooler in winter, with summer temperatures often exceeding 90 degrees and winter
temperatures occasionally dipping to below freezing. Most of the region’s rainfall occurs
during the months of December through March. Average annual rainfall is approximately
12.17 inches per year.
Historic climate data were obtained from the Western Regional Climate Center for Station
042706 (El Cajon). This station was selected because its annual temperature variation is
representative of most of the OWD service area. While there is a station in the City of Chula
Vista, the temperature variation at the City of Chula Vista station is more typical of a coastal
environment than the conditions in most of the OWD service area.
Urban Water Management Plan
In accordance with the California Urban Water Management Planning Act and recent
legislation, the Otay Water District Board of Directors adopted an UWMP in June 2011 and
subsequently submitted the plan to the California Department of Water Resources (DWR).
The Otay Water District 2010 UWMP is currently being reviewed by DWR. As required by
law, the Otay Water District 2010 UWMP includes projected water supplies required to meet
future demands through 2035. In accordance with Water Code Section 10910 (c)(2) and
Government Code Section 66473.7 (c)(3), information from the Otay Water District 2010
UWMP along with supplemental information from the Otay Water District WRMP Update
have been utilized to prepare this WSA Report and are incorporated herein by reference.
The state Legislature passed Senate Bill 7 as part of the Seventh Extraordinary Session (SBX
7-7) on November 10, 2009, which became effective February 3, 2010. This new law was the
water conservation component to the Delta legislation package and seeks to achieve a 20
percent statewide reduction in urban per capita water use in California by December 31, 2020.
Specifically, SBX 7-7 from this Extraordinary Session requires each urban retail water
supplier to develop urban water use targets to help meet the 20 percent reduction goal by 2020
(20x2020), and an interim water reduction target by 2015.
The SBX 7-7 target setting process includes the following: (1) baseline daily per capita water
use; (2) urban water use target; (3) interim water use target; (4) compliance daily per capita
water use, including technical bases and supporting data for those determinations. In order
for an agency to meet its 2020 water use target, each agency can increase its use of recycled
water to offset potable water use and also step up its water conservation measures. The
required water use targets for 2020 and an interim target for 2015 are determined using one of
four target methods – each method has numerous methodologies. The 2020 urban water use
target may be updated in a supplier’s 2015 UWMP.
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In 2015, urban retail water suppliers will be required to report interim compliance followed by
actual compliance in 2020. Interim compliance is halfway between the baseline water use and
2020 target. Baseline, target, and compliance-year water use estimates are required to be
reported in gallons per capita per day (gpcd).
Failure to meet adopted targets will result in the ineligibility of a water supplier to receive
grants or loans administered by the State unless one (1) of two (2) exceptions is met.
Exception one (1) states a water supplier may be eligible if they have submitted a schedule,
financing plan, and budget to DWR for approval to achieve the per capita water use
reductions. Exception two (2) states a water supplier may be eligible if an entire water service
area qualifies as a disadvantaged community.
OWD has adopted Method 1 to set its 2015 interim and 2020 water use targets. Method 1
requires setting the 2020 water use target to 80 percent of baseline per capita water use target
as provided in the State’s Draft 20x2020 Water Conservation Plan. The OWD 2015 target is
171 gpcd and the 2020 gpcd target at 80 percent of baseline is 152 gpcd.
The OWD’s recent per capita water use has been declining to the point where current water
use already meets the 2020 target for Method 1. This recent decline in per capita water use is
largely due to drought water use restrictions, increased water costs, and poor economic
conditions. However, OWD’s effective water use awareness campaign and enhanced
conservation mentality of its customers will likely result in some long-term carryover of these
reduced consumption rates beyond the current drought period.
Section 5 – Historical and Projected Water Demands
The projected demands for OWD 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 of Chula Vista, and County
of San Diego General Plans. This land use information is also used by SANDAG as the basis
for its most recent forecast data. This land use information was utilized for the preparation of
the Otay Water District WRMP Update and Otay Water District 2010 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 of a century of practical application and is used by many cities and
water agencies throughout the United States. The Water Authority’s version of the MAIN
model was modified to reflect the San Diego region’s unique parameters and is known as
CWA-MAIN.
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The foundation of the water demand forecast is the underlying demographic and economic
projections. This was a primary reason why, in 1992, the Water Authority and SANDAG
entered into a Memorandum of Agreement (MOA) in which the Water Authority agreed to
use the SANDAG current regional growth forecast for water supply planning purposes. In
addition, the MOA recognizes that water supply reliability must be a component of San Diego
County’s regional growth management strategy required by Proposition C, as passed by the
San Diego County voters in 1988. The MOA ensures a strong linkage between local general
plan land use forecasts and water demand projections and resulting supply needs for the San
Diego region.
Consistent with the previous CWA-MAIN modeling efforts, on February 26, 2010, the
SANDAG Board of Directors accepted the Series 12: 2050 Regional Growth Forecast. The
2050 Regional Growth Forecast will be used by SANDAG as the foundation for the next
Regional Comprehensive Plan update. SANDAG forecasts were used by local governments
for planning, including the Water Authority 2010 UWMP.
The municipal and industrial forecast also included an updated accounting of projected
conservation savings based on projected regional implementation of the California Urban
Water Conservation Council (CUWCC) Best Management Practices and SANDAG
demographic information for the period 2010 through 2035. These savings estimates were
then factored into the baseline municipal and industrial demand forecast.
A separate agricultural model, also used in prior modeling efforts, was used to forecast
agricultural water demands within the Water Authority service area. This model estimates
agricultural demand to be met by the Water Authority’s member agencies based on
agricultural acreage projections provided by SANDAG, crop distribution data derived from
the Department of Water Resources and the California Avocado Commission, and average
crop-type watering requirements based on California Irrigation Management Information
System data.
The Water Authority and MWD update their water demand and supply projections within
their jurisdictions utilizing the SANDAG most recent growth forecast to project future water
demands. This provides for the important strong link between demand and supply projections
to the land use plans of the cities and the county. This provides for consistency between the
retail and wholesale agencies water demand projections, thereby ensuring that adequate
supplies are and will be planned for the OWD existing and future water users. Existing land
use plans, any revisions to land use plans, and annexations are captured in the SANDAG
updated forecasts. The Water Authority and MWD update their demand forecasts based on
the SANDAG most recent forecast approximately every five years to coincide with
preparation of their urban water management plans. Prior to the next forecast update, local
jurisdictions may require water supply assessment and/or verification reports consistent with
Senate Bills 610 and 221 for proposed land use developments that either have pending or
proposed annexations into the OWD, Water Authority, and MWD or that have revised land
use plans than originally anticipated. The Water Authority and MWD’s next forecasts and
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supply planning documents would then capture any increase or decrease in demands caused
by annexations or revised land use plans.
The state of California Business and Professions Code Section 11010 and Government Code
Sections 65867.5, 66455.3, and 66473.7, are referred to as 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. SB 221 compliance does not apply to the Hawano Project, as it is an
industrial project and not a residential subdivision.
In evaluating the availability of sufficient water supply, the Hawano Project proponents are
required to participate in the development of alternative water supply project(s). This can be
achieved through payment of the New Water Supply Fee adopted by the OWD Board in May
2010. These water supply projects are in addition to those identified as sustainable supplies in
the current Water Authority and MWD UWMP, IRP, Master Plans, and other planning
documents. These new water supply projects are in response to the regional water supply
issues related to the Sacramento-San Joaquin Delta and the current ongoing western states
drought conditions. These new additional water supply projects are not currently developed
and are in various stages of the planning process. A few examples of these alternative water
supply projects include the Middle Sweetwater River Basin Groundwater Well project, the
OWD Desalination project, and the Rancho del Rey Groundwater Well project. The Water
Authority and MWD next forecast and supply planning documents would capture any
increase in water supplies resulting from verifiable new water resources developed by the
OWD.
In addition, MWD’s 2010 Regional Urban Water Management Plan identified potential
reserve supplies in the supply capability analysis (Tables 2-9, 2-10, and 2-11), which could be
available to meet any unanticipated demands. The Water Authority and MWD’s next
forecasts and supply planning documents would capture any increase in necessary supply
resources resulting from any new water supply resources.
Demand Methodology
The OWD water demand projection methodology in the WRMP Update utilizes a component
land use approach. This is done by applying representative values of water use to the acreage
of each land use type and then aggregating these individual land use demand projections into
an overall total demand for the OWD. This is called the water duty method, and the water
duty is the amount of water used in gallons per day per acre per year. This approach is used
for all the land use types except residential development where a demand per dwelling unit
was applied. In addition, commercial and industrial water use categories are further
subdivided by type including separate categories for golf courses, schools, jails, prisons,
hospitals, etc. where specific water demands are established.
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To determine water duties for the various types of land use, the entire water meter database of
the OWD is utilized and sorted by the appropriate land use types. The metered consumption
records are then examined for each of the land uses, and water duties are determined for the various
types of residential, commercial, industrial, and institutional land uses. For example the water
duty factors for commercial and industrial land uses are estimated using 1,785 and 893 gallons per
day per acre (gpd/acre) respectively. Residential water demand is established based on the same data
but computed on a per-dwelling unit basis. The focus is to ensure that for each of the residential land
use categories (very low, low, medium, and high densities), the demand criteria used is
adequately represented based upon actual data. This method is used because residential land
uses constitute a substantial percentage of the total developable planning area of the OWD.
The WRMP Update calculates potable water demand by taking the gross acreage of a site and
applying a potable water reduction factor (PWRF), which is intended to represent the
percentage of acreage to be served by potable water and that not served by recycled water for
irrigation. For industrial land use, as an example, the PWRF is 0.95 (i.e., 95% of the site is
assumed to be served by potable water, 5% of the site is assumed to be irrigated with recycled
water). The potable net acreage is then multiplied by the unit demand factor corresponding to
its respective land use. This approach is used in the WRMP Update for all the land use types
except residential development where a demand per dwelling unit is applied. In addition,
commercial and industrial water use categories are further subdivided by type including
separate categories for golf courses, schools, jails, prisons, hospitals, etc. where specific water
demands are allocated.
Otay Water District Projected Demand
By applying the established water duties to the proposed land uses, the projected water
demand for the entire OWD planning area at ultimate development is determined. Projected
water demands for the intervening years were determined using growth rate projections
consistent with data obtained from SANDAG and the experience of the OWD.
The historical and projected potable water demands for OWD are shown in Table 1.
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Table 1
Historical and Projected Potable Water Fiscal Year Demands (acre-feet)
Water Use Sectors 2005 2010 2015 2020 2025 2030 2035
Single Family 21,233 17,165 23,633 28,312 33,600 37,211 40,635
Multi-Family 3,095 3,605 3,444 4,126 4,897 5,423 5,922
Commercial & 1,657 2,243 1,844 2,209 2,622 2,904 3,171
Institutional & 2,262 1,867 2,518 3,017 3,580 3,965 4,330
Landscape 6,458 3,732 10,134 12,141 14,408 15,957 17,425
Other 2,426 584 2,700 3,235 3,839 4,252 4,643
Unaccounted for 547 23 608 729 865 958 1,046
Totals 37,668 29,270 44,883 53,768 63,811 70,669 77,171
Source: Otay Water District 2010 UWMP.
The historical and projected recycled water demands for OWD are shown in Table 2.
Table 2
Historical and Projected Recycled Water Fiscal Year Demands (acre-feet)
Water Use Sector 2005 2010 2015 2020 2025 2030 2035
Landscape 4,090 4,000 4,400 5,000 5,800 6,800 8,000
Totals 4,090 4,000 4,400 5,000 5,800 6,800 8,000
Source: Otay Water District 2010 UWMP, Table 10.
Hawano Project Projected Water Demand
Using the land use demand projection noted above, the projected potable water demand and
projected recycled water demand for the proposed Hawano Project are shown in Table 3 and
Table 4, respectively. The projected potable water demand is 67,500 gpd, or about 75.6 ac-
ft/yr. The projected recycled water demand is 8,600 gpd, or about 9.6 ac-ft/yr, representing
about 13% of the total Hawano Project demand.
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Table 3
Hawano Project Projected Potable
Water Annual Average Demands
Location (Land Use) Gross
Acreage
Potable
Water
Factor
Net Potable
Acreage/Units Unit Rate Average
Demand
Industrial Lots 79.6 95% 75.6 ac 893 gpd/ac 67,500 gpd
The Hawano Project development proponents are required to use recycled water for irrigation
and for other appropriate uses. The primary benefit of using recycled water is that it will
offset the potable water demands by an estimated 9.6 ac-ft/yr. The WRMP Update and 2010
UWMP anticipated that the Hawano Project site would use both potable and recycled water.
Table 4
Hawano Project Projected Recycled
Water Average Demands
Location (Land Use) Gross
Acreage
Recycled
Water
Factor
Net Recycled
Acreage Unit Rate Average
Demand
Industrial Lots 79.6 acres 5% 4.0 acres 2,155 gpd/acre 8,600 gpd
The WRMP Update projected a potable water demand for the project site based on land uses
in the East Otay Mesa Specific Plan. The current development plan does not propose any
changes to the Specific Plan land uses and, therefore, the proposed development has been
accounted for in the Otay Water District planning documents.
5.1 Demand Management (Water Conservation)
Demand management, or water conservation is a critical part of the Otay Water District 2010
UWMP and its long-term strategy for meeting water supply needs of the OWD customers.
Water conservation is frequently the lowest cost resource available to any water agency. The
goals of the OWD water conservation programs are to:
• Reduce the demand for more expensive, imported water.
• Demonstrate continued commitment to the Best Management Practices (BMP).
• Ensure a reliable water supply.
The OWD is signatory to the Memorandum of Understanding (MOU) Regarding Urban
Water Conservation in California, which created the California Urban Water Conservation
Council (CUWCC) in 1991 in an effort to reduce California’s long-term water demands.
Water conservation programs are developed and implemented on the premise that water
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conservation increases the water supply by reducing the demand on available supply, which is
vital to the optimal utilization of a region’s water supply resources. The OWD participates in
many water conservation programs designed and typically operated on a shared cost
participation program basis among the Water Authority, MWD, and their member agencies.
The demands shown in Tables 1 and 2 take into account implementation of water
conservation measures within OWD.
As one of the first signatories to the MOU Regarding Urban Water Conservation in
California, the OWD has made BMP implementation for water conservation the cornerstone
of its conservation programs and a key element in its water resource management strategy.
As a member of the Water Authority, OWD also benefits from regional programs performed
on behalf of its member agencies. The BMP programs implemented by OWD and regional
BMP programs implemented by the Water Authority that benefit all their member agencies
are addressed in the Otay Water District 2010 UWMP. In partnership with the Water
Authority, the County of San Diego, City of San Diego, City of Chula Vista, and developers,
the OWD 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 OWD.
Additional conservation or water use efficiency measures or programs practiced by the OWD
include the following:
Supervisory Control and Data Acquisition System
The OWD implemented and has operated for many years a Supervisory Control and Data
Acquisition (SCADA) system to control, monitor, and collect data regarding the operation of
the water system. The major facilities that have SCADA capabilities are the water flow
control supply sources, transmission network, pumping stations, and water storage reservoirs.
The SCADA system allows for many and varied useful functions. Some of these functions
provide for operating personnel to monitor the water supply source flow rates, reservoir
levels, turn on or off pumping units, etc. The SCADA system aids in the prevention of water
reservoir overflow events and increases energy efficiency.
Water Conservation Ordinance
California Water Code Sections 375 et seq. permit public entities which supply water at retail
to adopt and enforce a water conservation program to reduce the quantity of water used by the
people therein for the purpose of conserving water supplies of such public entity. The Otay
Water District Board of Directors established a comprehensive water conservation program
pursuant to California Water Code Sections 375 et seq., based upon the need to conserve
water supplies and to avoid or minimize the effects of any future shortage. A water shortage
could exist based upon the occurrence of one or more of the following conditions:
1. A general water supply shortage due to increased demand or limited supplies.
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2. Distribution or storage facilities of the Water Authority or other agencies become inadequate. 3. A major failure of the supply, storage, and distribution facilities of MWD, Water Authority, and/or OWD.
The OWD water conservation ordinance finds and determines that the conditions prevailing in
the San Diego County area require that the available water resources be put to maximum
beneficial use to the extent to which they are capable, and that the waste or unreasonable use,
or unreasonable method of use, of water be prevented and that the conservation of such water
be encouraged with a view to the maximum reasonable and beneficial use thereof in the
interests of the people of the OWD and for the public welfare.
OWD continues to promote water conservation at a variety of events, including those
involving developers in its service area. In addition, OWD developed and manages a number
of its own programs such as the Cash for WaterSmart Plants retrofit program, the Water
Smart Irrigation Upgrade Program, and the Commercial Process Improvement Program.
OWD is currently engaged in a number of conservation and water use efficiency activities.
Listed below are the current programs that are either on-going or were recently concluded:
• Residential Water Surveys: 1,349 completed since 1994
• Large Landscape Surveys: 194 completed since 1990
• Cash for Water Smart Plants Landscape Retrofit Program: over 217,600 square feet of
turf grass replaced with water wise plants since 2003
• Rotating Nozzles Rebated: 3,170
• Residential Weather-Based Irrigation Controller (WBIC) Incentive Program: 231
distributed or rebated since 2004
• Residential High Efficiency Clothes Washers: 7,187 rebates since 1994
• Residential ULFT/HET Rebate Program: 22,376 rebates provided between 1991-2010
• Outreach Efforts to OWD Customers - the OWD promotes its conservation programs
through staffing outreach events, bill inserts, articles in the OWD’s quarterly customer
Pipeline newsletter, direct mailings to OWD customers, the OWD’s webpage and
through the Water Authority’s marketing efforts.
• School Education Programs- the OWD funds school tours of the Water Conservation
Garden, co-funds Splash Labs, provides classroom water themed kits, maintains a
library of school age appropriate water themed books, DVDs, and videos, and runs
both a school poster contest and a water themed photo contest.
• Water efficiency in new construction through Cal Green and the Model Water
Efficient Landscape Ordinance
• Focus on Commercial/Institutional/Industrial through Promoting MWD’s Save a Buck
(Commercial) Program in conjunction with the OWD’s own Commercial Process
Improvement Program
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As a signatory to the MOU Regarding Urban Water Conservation in California, the OWD is
required to submit biannual reports that detail the implementation of current water
conservation practices. The OWD voluntarily agreed to implement the fourteen water
conservation Best Management Practices beginning in 1992. The OWD submits its report to
the CUWCC every two years. The OWD BMP Reports for 2005 to 2010, as well as the BMP
Coverage Report for 1999-2010, are included in the Otay Water District 2010 UWMP.
Section 6 - Existing and Projected Supplies
The OWD currently does not have an independent raw or potable water supply source. The
OWD is a member public agency of the Water Authority. The Water Authority is a member
public agency of MWD. The statutory relationships between the Water Authority and its
member agencies, and MWD and its member agencies, respectively, establish the scope of the
OWD entitlement to water from these two agencies.
The Water Authority through two delivery pipelines, referred to as Pipeline No. 4 and the
Helix Flume Pipeline, currently supply the OWD with 100 percent of its potable water. The
Water Authority in turn, currently purchases the majority of its water from MWD. Due to the
OWD reliance on these two agencies, this WSA Report includes referenced documents that
contain information on the existing and projected supplies, supply programs, and related
projects of the Water Authority and MWD. The OWD, Water Authority, and MWD are
actively pursuing programs and projects to further diversify their water supply resources.
The description of local recycled water supplies available to the OWD is also discussed
below.
6.1 Metropolitan Water District of Southern California 2010 Regional
Urban Water Management Plan
In November 2010, MWD adopted its 2010 Regional Urban Water Management Plan
(RUWMP). The 2010 RUWMP provides MWD’s member agencies, retail water utilities,
cities, and counties within its service area with, among other things, a detailed evaluation of
the supplies necessary to meet future demands, and an evaluation of reasonable and practical
efficient water uses, recycling, and conservation activities. During the preparation of the
2010 RUWMP, MWD also utilized the previous SANDAG regional growth forecast in
calculating regional water demands for the Water Authority service area.
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6.1.1 Availability of Sufficient Supplies and Plans for Acquiring
Additional Supplies
MWD is a wholesale supplier of water to its member public agencies and obtains its supplies
from two primary sources: the Colorado River, via the Colorado River Aqueduct (CRA),
which it owns and operates, and Northern California, via the State Water Project (SWP). The
2010 RUWMP documents the availability of these existing supplies and additional supplies
necessary to meet future demands.
MWD’s Integrated Resources Plan (IRP) identifies a mix of resources (imported and local)
that, when implemented, will provide 100 percent reliability for full-service demands through
the attainment of regional targets set for conservation, local supplies, State Water Project
supplies, Colorado River supplies, groundwater banking, and water transfers. The 2010
update to the IRP (2010 IRP Update) includes a planning buffer supply intended to mitigate
against the risks associated with implementation of local and imported supply programs and
for the risk that future demands could be higher than projected. The planning buffer identifies
an additional increment of water that could potentially be developed when needed and if other
supplies are not fully implemented as planned. As part of implementation of the planning
buffer, MWD periodically evaluates supply development, supply conditions, and projected
demands to ensure that the region is not under or over developing supplies. Managed
properly, the planning buffer will help ensure that the southern California region, including
San Diego County, will have adequate water supplies to meet future demands.
In November 2010, MWD adopted its 2010 RUWMP in accordance with state law. The
resource targets included in the preceding 2010 IRP Update serve as the foundation for the
planning assumptions used in the 2010 RUWMP. MWD’s 2010 RUWMP contains a water
supply reliability assessment that includes a detailed evaluation of the supplies necessary to
meet demands over a 25-year period in average, single dry year, and multiple dry year
periods. As part of this process, MWD also uses the current SANDAG regional growth
forecast in calculating regional water demands for the Water Authority’s service area.
As stated in MWD’s 2010 RUWMP, the plan may be used as a source document for meeting
the requirements of SB 610 and SB 221 until the next scheduled update is completed in 2015.
The 2010 RUWMP includes a “Justifications for Supply Projections” in Appendix A.3, that
provides detailed documentation of the planning, legal, financial, and regulatory basis for
including each source of supply in the plan. A copy of MWD’s 2010 RUWMP can be found
on the internet at the following site address:
http://www.mwdh2o.com/mwdh2o/pages/yourwater/RUWMP/RUWMP_2010.pdf
The UWMPs for both MWD and the Water Authority will include the increase in demand
projections included in SANDAG’s Series 12 Update and from the projections from Otay
Water District WRMP Update.
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Water supply agencies throughout California continue to face climate, environmental, legal,
and other challenges that impact water source supply conditions, such as the court rulings
regarding the Sacramento-San Joaquin Delta and the current western states drought
conditions. Challenges such as these essentially always will be present. The regional water
supply agencies, the Water Authority and MWD, along with OWD nevertheless fully intend
to have sufficient, reliable supplies to serve demands.
6.1.2 MWD Capital Investment Plan
MWD prepares a Capital Investment Plan as part of its annual budget approval process. The
cost, purpose, justification, status, progress, etc. of MWD’s infrastructure projects to deliver
existing and future supplies are documented in the Capital Investment Plan. The financing of
these projects is addressed as part of the annual budget approval process.
MWD’s Capital Investment Plan includes a series of projects identified from MWD studies of
projected water needs, which, when considered along with operational demands on aging
facilities and new water quality regulations, identify the capital projects needed to maintain
infrastructure reliability and water quality standards, improve efficiency, and provide future
cost savings. All projects within the Capital Investment Plan are evaluated against an
objective set of criteria to ensure they are aligned with the MWD’s goals of supply reliability
and quality.
6.2 San Diego County Water Authority Regional Water Supplies
The Water Authority has adopted plans and is taking specific actions to develop adequate
water supplies to help meet existing and future water demands within the San Diego region.
This section contains details on the supplies being developed by the Water Authority. A
summary of recent actions pertaining to development of these supplies includes:
• In accordance with the Urban Water Management Planning Act, the Water Authority
adopted their 2010 UWMP in June 2011. The updated Water Authority 2010 UWMP
identifies a diverse mix of local and imported water supplies to meet future demands. A
copy of the updated Water Authority 2010 UWMP can be found on the internet at
http://www.sdcwa.org/2010-urban-water-management-plan
• As part of the October 2003 Quantification Settlement Agreement (QSA), the Water
Authority was assigned MWD’s rights to 77,700 acre feet per year of conserved water
from the All-American Canal (AAC) and Coachella Canal (CC) lining projects.
Deliveries of this conserved water from the CC reached the region in 2007 and
deliveries from the AAC reached the region in 2010. Expected supplies from the canal
lining projects are considered verifiable Water Authority supplies.
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• Deliveries of conserved agricultural water from the Imperial Irrigation District (IID) to
San Diego County have increased annually since 2003, with 70,000 acre feet per year t
of deliveries in Fiscal Year (FY) 2010. The quantities will increase annually to 200,000
acre feet per year by 2021, then remain fixed for the duration of the transfer agreement.
Through implementation of the Water Authority and member agency planned supply projects,
along with reliable imported water supplies from MWD, the region anticipates having
adequate supplies to meet existing and future water demands.
To ensure sufficient supplies to meet projected growth in the San Diego region, the Water
Authority uses the SANDAG most recent regional growth forecast in calculating regional
water demands. The SANDAG regional growth forecast is based on the plans and policies of
the land-use jurisdictions with San Diego County. The existing and future demands of the
member agencies are included in the Water Authority’s projections.
6.2.1 Availability of Sufficient Supplies and Plans for Acquiring
Additional Supplies
The Water Authority currently obtains imported supplies from MWD, conserved water from
the AAC and CC lining projects, and an increasing amount of conserved agricultural water
from IID. Of the twenty-seven member agencies that purchase water supplies from MWD,
the Water Authority is MWD’s largest customer.
Section 135 of MWD’s Act defines the preferential right to water for each of its member
agencies. As calculated by MWD, the Water Authority’s preferential right as of June 30,
2010 is 17.47 percent of MWD’s supply, while the Water Authority accounted for
approximately 21 percent of MWD’s water sales. Under preferential rights, MWD could
allocate water without regard to historic water purchases or dependence on MWD. The Water
Authority and its member agencies are taking measures to reduce dependence on MWD
through development of additional supplies and a water supply portfolio that would not be
jeopardized by a preferential rights allocation. MWD has stated, consistent with Section 4202
of its Administrative Code that it is prepared to provide the Water Authority’s service area
with adequate supplies of water to meet expanding and increasing needs in the years ahead.
When and as additional water resources are required to meet increasing needs, MWD stated it
will be prepared to deliver such supplies. In Section ES-5 of their 2010 RUWMP, MWD
states that MWD has supply capacities that would be sufficient to meet expected demands
from 2015 through 2035. MWD has plans for supply implementation and continued
development of a diversified resource mix including programs in the Colorado River
Aqueduct, State Water Project, Central Valley Transfers, local resource projects, and in-
region storage that enables the region to meet its water supply needs.
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The Water Authority has made large investments in MWD’s facilities and will continue to
include imported supplies from MWD in the future resource mix. As discussed in the Water
Authority’s 2010 UWMP, the Water Authority and its member agencies are planning to
diversify the San Diego regions supply portfolio and reduce purchases from MWD.
As part of the Water Authority’s diversification efforts, the Water Authority is now taking
delivery of conserved agricultural water from IID and water saved from the AAC and CC
lining projects. The CC lining project is complete and the Water Authority has essentially
completed construction of the AAC lining project. Table 5 summarizes the Water Authority’s
supply sources with detailed information included in the sections to follow. Deliveries from
MWD are also included in Table 5, which is further discussed in Section 6.1 above. The
Water Authority’s member agencies provided the verifiable local supply targets for
groundwater, groundwater recovery, recycled water, and surface water, which are discussed in
more detail in Section 5 of the Water Authority’s 2010 UWMP.
Table 5
Projected Verifiable Water Supplies – Water Authority Service Area
Normal Year (acre feet)
Water Supply Sources 2015 2020 2025 2030 2035
Water Authority Supplies
MWD Supplies 358,189 230,601 259,694 293,239 323,838
Water Authority/IID Transfer 100,000 190,000 200,000 200,000 200,000
AAC and CC Lining Projects 80,200 80,200 80,200 80,200 80,200
Proposed Regional Seawater
Desalination 0 56,000 56,000 56,000 56,000
Member Agency Supplies
Surface Water 48,206 47,940 47,878 47,542 47,289
Water Recycling 38,660 43,728 46,603 48,278 49,998
Groundwater 11,710 11,100 12,100 12,840 12,840
Groundwater Recovery 10,320 15,520 15,520 15,520 15,520
Total Projected Supplies 647,285 675,089 717,995 753,619 785,685
Source: Water Authority 2010 Urban Water Management Plan – Table 9-1.
Section 5 of the Water Authority’s 2010 UWMP also includes a discussion on the local
supply target for seawater desalination. Seawater desalination supplies represent a significant
future local resource in the Water Authority’s service area. The Water Authority is pursuing
the purchase of a water supply from the Carlsbad Desalination Project, a fully-permitted
private desalination project at the Encina Power Station site located in the City of Carlsbad. In
2010, the Water Authority’s Board of Directors approved a Term Sheet between the Water
Authority and the private investor-owned company, Poseidon Resources (Poseidon), and
directed staff to prepare a draft Water Purchase Agreement based on its provisions. The
Water Authority’s water purchase agreement with Poseidon is expected to include water
purchase price, allocation of risk and options to eventually purchase the project’s pipeline and
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the entire desalination plant. Before negotiations begin on a final agreement, Poseidon must
secure sufficient financial commitments from private investors to meet requirements for fully
funding project construction. In addition, Poseidon must execute all agreements for
construction and operation of the project and finalize the documents needed to finance the
project in the bond market.
The Water Authority’s existing and planned supplies from the IID transfer and canal lining
projects are considered “drought-proof” supplies and should be available at the yields shown
in Table 5 in normal water year supply and demand assessment. Single dry year and multiple
dry year scenarios are discussed in more detail in Section 9 of the Water Authority’s 2010
UWMP.
As part of preparation of a written water supply assessment and/or verification report, an
agency’s shortage contingency analysis should be considered in determining sufficiency of
supply. Section 11 of the Water Authority’s 2010 UWMP contains a detailed shortage
contingency analysis that addresses a regional catastrophic shortage situation and drought
management. The analysis demonstrates that the Water Authority and its member agencies,
through the Emergency Response Plan, Emergency Storage Project, and Drought
Management Plan (DMP) are taking actions to prepare for and appropriately handle an
interruption of water supplies. The DMP, adopted in May 2006, provides the Water Authority
and its member agencies with a series of potential actions to take when faced with a shortage
of imported water supplies from MWD due to prolonged drought or other supply shortfall
conditions. The actions will help the region avoid or minimize the impacts of shortages and
ensure an equitable allocation of supplies throughout the San Diego region.
6.2.1.1 Water Authority-Imperial Irrigation District Water Conservation
and Transfer Agreement
The QSA was signed in October 2003, and resolves long-standing disputes regarding priority
and use of Colorado River water and creates a baseline for implementing water transfers. With
approval of the QSA, the Water Authority and IID were able to implement their Water
Conservation and Transfer Agreement. This agreement not only provides reliability for the San
Diego region, but also assists California in reducing its use of Colorado River water to its legal
allocation.
On April 29, 1998, the Water Authority signed a historic agreement with IID for the long-term
transfer of conserved Colorado River water to San Diego County. The Water Authority-IID
Water Conservation and Transfer Agreement (Transfer Agreement) is the largest agriculture-to-
urban water transfer in United States history. Colorado River water will be conserved by
Imperial Valley farmers who voluntarily participate in the program and then transferred to the
Water Authority for use in San Diego County.
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Implementation Status
On October 10, 2003, the Water Authority and IID executed an amendment to the original 1998
Transfer Agreement. This amendment modified certain aspects of the Transfer Agreement to be
consistent with the terms and conditions of the QSA and related agreements. It also modified
other aspects of the agreement to lessen the environmental impacts of the transfer of conserved
water. The amendment was expressly contingent on the approval and implementation of the
QSA, which was also executed on October 10, 2003. Section 6.2.1, “Colorado River,” contains
details on the QSA.
On November 5, 2003, IID filed a complaint in Imperial County Superior Court seeking
validation of 13 contracts associated with the Transfer Agreement and the QSA. Imperial
County and various private parties filed additional suits in Superior Court, alleging violations of
the California Environmental Quality Act (CEQA), the California Water Code, and other laws
related to the approval of the QSA, the water transfer, and related agreements. The lawsuits were
coordinated for trial. The IID, Coachella Valley Water District, MWD, the Water Authority, and
state are defending these suits and coordinating to seek validation of the contracts. In January
2010, a California Superior Court judge ruled that the QSA and 11 related agreements were
invalid, because one of the agreements created an open-ended financial obligation for the state,
in violation of California’s constitution. The QSA parties appealed this decision and are
continuing to seek validation of the contracts. The appeal is currently pending in the Third
District Court of Appeal. A stay of the trial court judgment has been issued during the appeal.
Implementation of the transfer provisions is proceeding during litigation.
Expected Supply
Deliveries into San Diego County from the transfer began in 2003 with an initial transfer of
10,000 acre feet per year. The Water Authority received increasing amounts of transfer water
each year, according to a water delivery schedule contained in the transfer agreement. In 2010,
the Water Authority received 70,000 acre feet per year. The quantities will increase annually to
200,000 acre feet per year by 2021 then remain fixed for the duration of the transfer agreement.
The initial term of the Transfer Agreement is 45 years, with a provision that either agency may
extend the agreement for an additional 30-year term.
During dry years, when water availability is low, the conserved water will be transferred
under IID’s Colorado River rights, which are among the most senior in the Lower Colorado
River Basin. Without the protection of these rights, the Water Authority could suffer delivery
cutbacks. In recognition for the value of such reliability, the 1998 contract required the Water
Authority to pay a premium on transfer water under defined regional shortage circumstances.
The shortage premium period duration is the period of consecutive days during which any of the
following exist: 1) a Water Authority shortage; 2) a shortage condition for the Lower Colorado
River as declared by the Secretary; and 3) a Critical Year. Under terms of the October 2003
amendment, the shortage premium will not be included in the cost formula until Agreement Year
16.
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Transportation
The Water Authority entered into a water exchange agreement with MWD on October 10, 2003,
to transport the Water Authority–IID transfer water from the Colorado River to San Diego
County. Under the exchange agreement, MWD takes delivery of the transfer water through its
Colorado River Aqueduct. In exchange, MWD delivers to the Water Authority a like quantity
and quality of water. The Water Authority pays MWD’s applicable wheeling rate for each acre-
feet of exchange water delivered. Under the terms of the water exchange agreement, MWD will
make delivery of the transfer water for 35 years, unless the Water Authority and MWD elect to
extend the agreement another 10 years for a total of 45 years.
Cost/Financing
The costs associated with the transfer are financed through the Water Authority’s rates and
charges. In the agreement between the Water Authority and IID, the price for the transfer water
started at $258 per acre-feet and increased by a set amount for the first seven years. In December
2009, the Water Authority and IID executed a fifth amendment to the water transfer agreement
that sets the price per acre-feet for transfer water for calendar years 2010 through 2015,
beginning at $405 per acre-feet in 2010 and increasing to $624 per acre-feet in 2015. For
calendar years 2016 through 2034, the unit price will be adjusted using an agreed-upon index.
The amendment also required the Water Authority to pay IID $6 million at the end of calendar
year 2009 and another $50 million on or before October 1, 2010, provided that a transfer
stoppage is not in effect as a result of a court order in the QSA coordinated cases. Beginning in
2035, either the Water Authority or IID can, if certain criteria are met, elect a market rate price
through a formula described in the water transfer agreement.
The October 2003 exchange agreement between MWD and the Water Authority set the initial
cost to transport the conserved water at $253 per acre-feet. Thereafter, the price is set to be equal
to the charge or charges set by MWD’s Board of Directors pursuant to applicable laws and
regulation, and generally applicable to the conveyance of water by MWD on behalf of its
member agencies. The transportation charge in 2010 was $314 per acre-feet.
The Water Authority is providing $10 million to help offset potential socioeconomic impacts
associated with temporary land fallowing. IID will credit the Water Authority for these funds
during years 16 through 45. In 2007, the Water Authority prepaid IID an additional $10 million
for future deliveries of water. IID will credit the Water Authority for this up-front payment
during years 16 through 30.
As part of implementation of the QSA and water transfer, the Water Authority also entered into
an environmental cost sharing agreement. Under this agreement the Water Authority is
contributing a total of $64 million to fund environmental mitigation projects and the Salton Sea
Restoration Fund.
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Written Contracts or Other Proof
The supply and costs associated with the transfer are based primarily on the following
documents:
Agreement for Transfer of Conserved Water by and between IID and the Water Authority (April
29, 1998). This Agreement provides for a market-based transaction in which the Water
Authority would pay IID a unit price for agricultural water conserved by IID and transferred to
the Water Authority.
Revised Fourth Amendment to Agreement between IID and the Water Authority for Transfer of
Conserved Water (October 10, 2003). Consistent with the executed Quantification Settlement
Agreement (QSA) and related agreements, the amendments restructure the agreement and
modify it to minimize the environmental impacts of the transfer of conserved water to the Water
Authority.
Amended and Restated Agreement between MWD and Water Authority for the Exchange of
Water (October 10, 2003). This agreement was executed pursuant to the QSA and provides for
delivery of the transfer water to the Water Authority.
Environmental Cost Sharing, Funding, and Habitat Conservation Plan Development Agreement
among IID, Coachella Valley Water District (CVWD), and Water Authority (October 10, 2003).
This Agreement provides for the specified allocation of QSA-related environmental review,
mitigation, and litigation costs for the term of the QSA, and for development of a Habitat
Conservation Plan.
Quantification Settlement Agreement Joint Powers Authority Creation and Funding Agreement
(October 10, 2003). The purpose of this agreement is to create and fund the QSA Joint Powers
Authority and to establish the limits of the funding obligation of CVWD, IID, and Water
Authority for environmental mitigation and Salton Sea restoration pursuant to SB 654
(Machado).
Fifth Amendment to Agreement Between Imperial Irrigation District and San Diego County
Water Authority for Transfer of Conserved Water (December 21, 2009). This agreement
implements a settlement between the Water Authority and IID regarding the base contract price
of transferred water.
Federal, State, and Local Permits/Approvals
Federal Endangered Species Act Permit. The U.S. Fish and Wildlife Service (USFWS) issued a
Biological Opinion on January 12, 2001, that provides incidental take authorization and certain
measures required to offset species impacts on the Colorado River regarding such actions.
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State Water Resources Control Board (SWRCB) Petition. SWRCB adopted Water Rights Order
2002-0016 concerning IID and Water Authority’s amended joint petition for approval of a long-
term transfer of conserved water from IID to the Water Authority and to change the point of
diversion, place of use, and purpose of use under Permit 7643.
Environmental Impact Report (EIR) for Conservation and Transfer Agreement. As lead agency,
IID certified the Final EIR for the Conservation and Transfer Agreement on June 28, 2002.
U. S. Fish and Wildlife Service Draft Biological Opinion and Incidental Take Statement on the
Bureau of Reclamation's Voluntary Fish and Wildlife Conservation Measures and Associated
Conservation Agreements with the California Water Agencies (12/18/02). The U. S. Fish and
Wildlife Service issued the biological opinion/incidental take statement for water transfer
activities involving the Bureau of Reclamation and associated with IID/other California water
agencies' actions on listed species in the Imperial Valley and Salton Sea (per the June 28, 2002
EIR).
Addendum to EIR for Conservation and Transfer Agreement. IID as lead agency and Water
Authority as responsible agency approved addendum to EIR in October 2003.
Environmental Impact Statement (EIS) for Conservation and Transfer Agreement. Bureau of
Reclamation issued a Record of Decision on the EIS in October 2003.
CA Department of Fish and Game California Endangered Species Act Incidental Take Permit
#2081-2003-024-006). The California Department of Fish and Game issued this permit
(10/22/04) for potential take effects on state-listed/fully protected species associated with
IID/other California water agencies' actions on listed species in the Imperial Valley and Salton
Sea (per the June 28, 2002 EIR).
California Endangered Species Act (CESA) Permit. A CESA permit was issued by California
Department of Fish and Game (CDFG) on April 4, 2005, providing incidental take authorization
for potential species impacts on the Colorado River.
6.2.1.2 All-American Canal and Coachella Canal Lining Projects
As part of the QSA and related contracts, the Water Authority was assigned MWD’s rights to
77,700 acre-feet per year of conserved water from projects that will line the All-American
Canal (AAC) and Coachella Canal (CC). The projects will reduce the loss of water that
currently occurs through seepage, and the conserved water will be delivered to the Water
Authority. This conserved water will provide the San Diego region with an additional 8.5
million acre-feet over the 110-year life of the agreement.
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Implementation Status
The CC lining project began in November 2004 and was completed in 2006. Deliveries of
conserved water to the Water Authority began in 2007. The project constructed a 37-mile
parallel canal adjacent to the CC. The AAC lining project was begun in 2005 and was
completed in 2010. The lining project constructed a concrete-lined canal parallel to 24 miles
of the existing AAC from Pilot Knob to Drop 3.
In July 2005, a lawsuit (CDEM v United States, Case No. CV-S-05-0870-KJD-PAL) was filed
in the U. S. District Court for the District of Nevada on behalf of U.S. and Mexican groups
challenging the lining of the AAC. The lawsuit, which names the Secretary of the Interior as
a defendant, claims that seepage water from the canal belongs to water users in Mexico.
California water agencies note that the seepage water is actually part of California's Colorado
River allocation and not part of Mexico's allocation. The plaintiffs also allege a failure by the
United States to comply with environmental laws. Federal officials have stated that they
intend to vigorously defend the case.
Expected Supply
The AAC lining project makes 67,700 acre-feet of Colorado River water per year available
for allocation to the Water Authority and San Luis Rey Indian water rights settlement parties.
The CC lining project makes 26,000 acre-feet of Colorado River water each year available for
allocation. The 2003 Allocation Agreement provides for 16,000 acre-feet per year of
conserved canal lining water to be allocated to the San Luis Rey Indian Water Rights
Settlement Parties. The remaining amount, 77,700 acre-feet per year , is to be available to the
Water Authority, with up to an additional 4,850 acre-feet per year available to the Water
Authority depending on environmental requirements from the CC lining project. For planning
purposes, the Water Authority assumes that 2,500 acre-feet of the 4,850 acre-feet will be
available each year for delivery, for a total of 80,200 acre-feet per year of that supply.
According to the Allocation Agreement, IID has call rights to a portion (5,000 acre-feet per
year) of the conserved water upon termination of the QSA for the remainder of the 110 years
of the Allocation Agreement and upon satisfying certain conditions. The term of the QSA is
for up to 75 years.
Transportation
The October 2003 Exchange Agreement between the Water Authority and MWD provides for
the delivery of the conserved water from the canal lining projects. The Water Authority pays
MWD’s applicable wheeling rate for each acre-foot of exchange water delivered. In the
Agreement, MWD will deliver the canal lining water for the term of the Allocation
Agreement (110 years).
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Cost/Financing
Under California Water Code Section 12560 et seq., the Water Authority received $200
million in state funds for construction of the canal lining projects. In addition, $20 million
was made available from Proposition 50 and $36 million from Proposition 84. The Water
Authority was responsible for additional expenses above the funds provided by the state.
The rate to be paid to transport the canal lining water will be equal to the charge or charges set
by MWD’s Board of Directors pursuant to applicable law and regulation and generally
applicable to the conveyance of water by MWD on behalf of its member agencies.
In accordance with the Allocation Agreement, the Water Authority is responsible for a portion
of the net additional Operation, Maintenance, and Repair (OM&R) costs for the lined canals.
Any costs associated with the lining projects as proposed are to be financed through the Water
Authority’s rates and charges.
Written Contracts or Other Proof
The expected supply and costs associated with the lining projects are based primarily on the
following documents:
U.S. Public Law 100-675 (1988). Authorized the Department of the Interior to reduce seepage
from the existing earthen AAC and CC. The law provides that conserved water will be made
available to specified California contracting water agencies according to established priorities.
California Department of Water Resources - MWD Funding Agreement (2001). Reimburse
MWD for project work necessary to construct the lining of the CC in an amount not to exceed
$74 million. Modified by First Amendment (2004) to replace MWD with the Authority.
Modified by Second Amendment (2004) to increase funding amount to $83.65 million, with
addition of funds from Proposition 50.
California Department of Water Resources - IID Funding Agreement (2001). Reimburse IID for
project work necessary to construct a lined AAC in an amount not to exceed $126 million.
MWD - CVWD Assignment and Delegation of Design Obligations Agreement (2002). Assigns
design of the CC lining project to CVWD.
MWD - CVWD Financial Arrangements Agreement for Design Obligations (2002). Obligates
MWD to advance funds to CVWD to cover costs for CC lining project design and CVWD to
invoice MWD to permit the Department of Water Resources to be billed for work completed.
Allocation Agreement among the United States of America, The MWD Water District of
Southern California, Coachella Valley Water District, Imperial Irrigation District, San Diego
County Water Authority, the La Jolla, Pala, Pauma, Rincon, and San Pasqual Bands of Mission
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Indians, the San Luis Rey River Indian Water Authority, the City of Escondido, and Vista
Irrigation District (October 10, 2003). This agreement includes assignment of MWD’s rights
and interest in delivery of 77,700 acre-feet of Colorado River water previously intended to be
delivered to MWD to the Water Authority. Allocates water from the AAC and CC lining
projects for at least 110 years to the Water Authority, the San Luis Rey Indian Water Rights
Settlement Parties, and IID, if it exercises its call rights.
Amended and Restated Agreement between MWD and Water Authority for the Exchange of
Water (October 10, 2003). This agreement was executed pursuant to the QSA and provides for
delivery of the conserved canal lining water to the Water Authority.
Agreement between MWD and Water Authority regarding Assignment of Agreements related to
the AAC and CC Lining Projects. This agreement was executed in April 2004 and assigns
MWD's rights to the Water Authority for agreements that had been executed to facilitate funding
and construction of the AAC and CC lining projects:
Assignment and Delegation of Construction Obligations for the Coachella Canal Lining Project
under the Department of Water Resources Funding Agreement No. 4600001474 from the San
Diego County Water Authority to the Coachella Valley Water District, dated September 8, 2004.
Agreement Regarding the Financial Arrangements between the San Diego County Water
Authority and Coachella Valley Water District for the Construction Obligations for the
Coachella Canal Lining Project, dated September 8, 2004.
Agreement No. 04-XX-30-W0429 Among the United States Bureau of Reclamation, the
Coachella Valley Water District, and the San Diego County Water Authority for the
Construction of the Coachella Canal Lining Project Pursuant to Title II of Public Law 100-675,
dated October 19, 2004.
California Water Code Section 12560 et seq. This Water Code Section provides for $200
million to be appropriated to the Department of Water Resources to help fund the canal lining
projects in furtherance of implementing California’s Colorado River Water Use Plan.
California Water Code Section 79567. This Water Code Section identifies $20 million as
available for appropriation by the California Legislature from the Water Security, Clean
Drinking Water, Coastal, and Beach Protection Fund of 2002 (Proposition 50) to DWR for
grants for canal lining and related projects necessary to reduce Colorado River water use.
According to the Allocation Agreement, it is the intention of the agencies that those funds will be
available for use by the Water Authority, IID, or CVWD for the AAC and CC lining projects.
California Public Resources Code Section 75050(b) (1). This section identifies up to $36 million
as available for water conservation projects that implement the Allocation Agreement as defined
in the Quantification Settlement Agreement.
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Federal, State, and Local Permits/Approvals
AAC Lining Project Final EIS/EIR (March 1994). A final EIR/EIS analyzing the potential
impacts of lining the AAC was completed by the Bureau of Reclamation (Reclamation) in March
1994. A Record of Decision was signed by Reclamation in July 1994, implementing the
preferred alternative for lining the AAC. A re-examination and analysis of these environmental
compliance documents by Reclamation in November 1999 determined that these documents
continued to meet the requirements of the NEPA and the CEQA and would be valid in the future.
CC Lining Project Final EIS/EIR (April 2001). The final EIR/EIS for the CC lining project was
completed in 2001. Reclamation signed the Record of Decision in April 2002. An amended
Record of Decision has also been signed to take into account revisions to the project description.
Mitigation, Monitoring, and Reporting Program for Coachella Canal Lining Project, SCH
#1990020408; prepared by Coachella Valley Water District, May 16, 2001.
Environmental Commitment Plan for the Coachella Canal Lining Project, approved by the US
Bureau of Reclamation (Boulder City, NV) on March 4, 2003.
Environmental Commitment Plan and Addendum to the All-American Canal Lining Project
EIS/EIR California State Clearinghouse Number SCH 90010472 (June 2004, prepared by
IID).
Addendum to Final EIS/EIR and Amendment to Environmental Commitment Plan for the
All-American Canal Lining Project (approved June 27, 2006, by IID Board of Directors).
6.2.1.3 Carlsbad Seawater Desalination Project
Development of seawater desalination in San Diego County will assist the region in
diversifying its water resources, reduce dependence on imported supplies, and provide a new
drought-proof, locally treated water supply. The Carlsbad Desalination Project is a fully-
permitted seawater desalination plant and conveyance pipeline currently being developed by
Poseidon, a private investor–owned company that develops water and wastewater
infrastructure. The project, located at the Encina Power Station in Carlsbad, has been in
development since 1998 and was incorporated into the Water Authority’s 2003 Water
Facilities Master Plan and the 2010 UWMP. The Carlsbad Desalination Project has obtained
all required permits and environmental clearances and, when completed, will provide a highly
reliable local supply of 56,000 acre-feet per year for the region.
Implementation Status
The Project has obtained all required permits and environmental clearances, including the
following:
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• National Pollutant Discharge Elimination System (NPDES) Discharge Permit
(Regional Water Quality Control Board)
• Conditional Drinking Water Permit (California Department of Health Services)
• State Lands Commission Lease (State Lands Commission)
• Coastal Development Permit (California Coastal Commission)
IDE Technologies, a worldwide leader in the design, construction, and operation of
desalination plants, was selected by Poseidon to be the desalination process contractor for the
Project.
In July 2010, the Water Authority Board approved a Term Sheet between the Water Authority
and Poseidon and directed staff to prepare a Water Purchase Agreement based on its
provisions. Prior to the Water Authority engaging (in 2010) as a potential purchaser of all the
water produced by the Project, Poseidon was pursuing a project structure where nine local
water agencies had signed water purchase agreements. Ultimately, that project structure was
found to be financially infeasible and the Water Authority was asked to step into the role of
purchaser of the supply. Key terms for a potential Water Purchase Agreement between the
Water Authority and Poseidon include the following:
• The term of the agreement will be for 30 years once commercial operation begins,
subject to early buyout provisions beginning at 10 years.
• The Water Authority will shift the risks associated with the design, permitting,
financing, construction, and operation of the Project to Poseidon.
• The price for water will be based on the actual cost of production.
• There will be the option to buy the entire plant beginning 10 years after the start date
for commercial operation at a price to be specified in the water purchase agreement, as
well as the right to purchase the plant at the end of the 30-year water purchase
agreement term for $1. This ensures eventual public ownership of the plant, securing
long-term price certainty and regional public benefit from ratepayers’ past investments
in the plant through 30 years of water purchase payments.
Expected Supply
When completed, the Project will provide a highly reliable local supply of 56,000 acre-feet
per year of supply for the region, available in both normal and dry hydrologic conditions.
Transportation
A 54-inch pipeline will be constructed to convey product water from the desalination plant
10.5 miles east to the Water Authority’s Second Aqueduct. The water will be then be
conveyed 5 miles north to the Water Authority’s Twin Oaks Valley Water Treatment Plant
facility, where it will be blended with treated imported water and subsequently distributed
into the Water Authority’s existing aqueduct system.
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Cost/Financing
The Term Sheet between the Water Authority and Poseidon provides the basis for a potential
purchase agreement whereby the Water Authority would purchase the entire output from the
Project at a price based on the cost of production. A preliminary September 2010 unit cost
estimate was $1,600/AF. The Water Authority’s water purchase costs would be financed
through Water Authority rates and charges. If the water purchase agreement is approved by
the Water Authority Board, Poseidon plans to finance the capital cost of the Project with a
combination of private equity and tax-exempt Private Activity Bonds.
Written Contracts or Other Proof
The expected supply and costs associated with the Carlsbad Desalination Project are based
primarily on the following documents:
Development Agreement between City of Carlsbad and Poseidon (October 2009). A
Development Agreement between Carlsbad and Poseidon was executed on October 5, 2009
Agreement of Term Sheet between the Water Authority and Poseidon Resources (July 2010).
The Water Authority approved the Term Sheet at its July 2010 Board Meeting. The Term
Sheet outlines the terms and conditions of a future Water Purchase Agreement with Poseidon
and allocates the resources to prepare the draft Water Purchase Agreement.
Federal, State, and Local Permits/Approvals
Carlsbad Desalination Project Final EIR (June 2006). The City of Carlsbad certified the Final
EIR and the final Notice of Determination for the project was signed on June 14, 2006.
NPDES Discharge Permit (August 2006). The Regional Water Quality Control Board issues
the NPDES Discharge Permit for the project on August 16, 2006.
Drinking Water Permit (October 2006). The California Department of Health Services
approved the Conditional Drinking Water Permit on October 19, 2006.
Coastal Development Permit (November 2007). The California Coastal Commission
approved, with conditions, the Coastal Development Permit on November 15, 2007. The
Coastal Development Permit allows construction and operation of the project in the Coastal
Zone.
State Lands Commission Lease Application (August 2008). Amends lease of land by Cabrillo
Power I LLC (Cabrillo) from the State Lands Commission for the lands where the project will
be constructed. Cabrillo and Poseidon entered into agreement on July 1, 2003, authorizing
Poseidon to use those lands to construct the project.
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Addendum to Final EIR (September 2009). An Addendum to the Final EIR was certified by
the City of Carlsbad and Notice of Determination for the Addendum was signed on
September 15, 2009. The Addendum modified water conveyance pipeline alignments.
6.2.2 Water Authority Capital Improvement Program and Financial
Information
The Water Authority’s Capital Improvement Program (CIP) can trace its beginnings to a
report approved by the Board in 1989 entitled, The Water Distribution Plan, a Capital
Improvement Program through the Year 2010. The Water Distribution Plan included ten
projects designed to increase the capacity of the aqueduct system, increase the yield from
existing water treatment plants, obtain additional supplies from MWD, and increase the
reliability and flexibility of the aqueduct system. Since that time the Water Authority has
made numerous additions to the list of projects included in its CIP as the region’s
infrastructure needs and water supply outlook have changed.
The current list of projects included in the CIP is based on the results of planning studies,
including the 2005 UWMP and the 2002 Regional Water Facilities Master Plan. These CIP
projects, which are most recently described in the Water Authority’s Adopted Multi-Year
Budget, include projects valued at $3.50 billion. These CIP projects are designed to meet
projected water supply and delivery needs of the member agencies through 2035. The
projects include a mix of new facilities that will add capacity to existing conveyance, storage,
and treatment facilities, as well as repair and replace aging infrastructure:
• Asset Management – The primary components of the asset management projects
include relining and replacing existing pipelines and updating and replacing metering
facilities.
• New Facilities – These projects will expand the capacity of the aqueduct system,
complete the projects required under the Quantification Settlement Agreement (QSA),
and evaluate new supply opportunities.
• Emergency Storage Project – Projects remaining to be completed under the ongoing
ESP include the San Vicente Dam Raise, the Lake Hodges projects, and a new pump
station to extend ESP supplies to the northern reaches of the Water Authority service
area.
• Other Projects – This category includes out-of-region groundwater storage, increased
local water treatment plant capacity, and projects that mitigate environmental impacts
of the CIP.
The Water Authority Board of Directors is provided a semi-annual and annual report on the
status of development of the CIP projects. As described in the Water Authority’s biennial
budget, a combination of long and short term debt and cash (pay-as-you-go) will provide
funding for capital improvements. Additional information is included in the Water
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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 Water District WRMP Update and the 2010 UWMP contain comparisons of
projected supply and demands through the year 2035. Projected potable water resources to
meet planned demands as documented were planned to be supplied entirely with imported
water received from the Water Authority. Recycled water resources to meet projected
demands are planned to be supplied from local wastewater treatment plants. The OWD
currently has no local supply of raw water, potable water, or groundwater resources.
The development and/or acquisition of potential groundwater, recycled water market
expansion, and seawater desalination supplies by the OWD have evolved and are planned to
occur in response to the regional water supply issues. These water supply projects are in
addition to those identified as sustainable supplies in the current Water Authority and MWD
UWMP, IRP, Master Plans, and other planning documents. These new additional water
supply projects are not currently developed and are in various stages of the planning process.
These local and regional water supply projects will allow for less reliance upon imported
water and are considered a new water supply resource for the OWD.
The OWD expansion of the market areas for the use of recycled water within the watersheds
upstream of the Sweetwater Reservoir and the Lower Otay Reservoir, and Otay Mesa will
increase recycled water use and thus require less dependence on imported water for irrigation
purposes.
The supply forecasts contained within this WSA Report do consider development and/or
acquisition of potential groundwater, recycled water market expansion, and seawater
desalination supplies by the OWD.
6.3.1 Availability of Sufficient Supplies and Plans for Acquiring
Additional Supplies
The availability of sufficient potable water supplies and plans for acquiring additional potable
water supplies to serve existing and future demands of the OWD is founded upon the
preceding discussions regarding MWD’s and the Water Authority’s water supply resources
and water supplies to be acquired by the OWD. Historic imported water deliveries from the
Water Authority to OWD and recycled water deliveries from the OWD Ralph W. Chapman
Water Reclamation Facility (RWCWRF) are shown in Table 6. Since the year 2000 through
mid May 2007, recycled water demand has exceeded the recycled water supply capability
typically in the summer months. The RWCWRF is limited to a maximum production of
about 1,300 acre-feet per year. The recycled water supply shortfall had been met by
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supplementing with potable water into the recycled water storage system as needed by adding
potable water supplied by the Water Authority. On May 18, 2007 an additional source of
recycled water supply from the City of San Diego’s South Bay Water Reclamation Plant
(SBWRP) became available. The supply of recycled water from the SBWRP is a result of
essentially completing construction and commencement of operations of the transmission,
storage, and pump station systems necessary to link the SBWRP recycled water supply source
to the existing OWD recycled water system.
Table 6
Otay Water District
Historic Imported and Local Water Supplies
Calendar
Year
Imported Water
(acre-feet)
Recycled Water
(acre-feet)
Total
(acre-feet)
1980 12,558 0 12,558
1985 14,529 0 14,529
1990 23,200 0 23,200
1995 20,922 614 21,536
2000 29,901 948 30,849
2005 37,678 1,227 38,905
2010 29,270 4,090 33,270
Source: Otay Water District operational records.
6.3.1.1 Imported and Regional Supplies
The availability of sufficient imported and regional potable water supplies to serve existing
and planned uses within OWD is demonstrated in the above discussion on MWD and the
Water Authority’s water supply reliability. The County Water Authority Act, Section 5
subdivision 11, states that the Water Authority “as far as practicable, shall provide each of its
member agencies with adequate supplies of water to meet their expanding and increasing
needs.” The Water Authority provides between 75 to 95 percent of the total supplies used by
its 24 member agencies, depending on local weather and supply conditions. In calendar year
2010 the supply to OWD was 29,270 acre-feet of supply from the Water Authority. An
additional 4,090 ac-ft of recycled water was provided from the City of San Diego and from
OWD’s Ralph W. Chapman Water Reclamation Facility. The total baseline demand for
potable water within the OWD is expected to increase to about 77,171 acre-feet by 2035 as
per the Otay Water District 2010 UWMP.
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Potable Water System Facilities
The OWD continues to pursue diversification of its water supply resources to increase
reliability and flexibility. The OWD 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 OWD has successfully negotiated two water supply diversification
agreements that enhance reliability and flexibility, which are briefly described as follows.
• The OWD entered into an agreement with the City of San Diego, known as the Otay
Water Treatment Plant (WTP) Agreement. The Otay WTP Agreement provides for raw
water purchase from the Water Authority and treatment by the City of San Diego at their
Otay WTP for delivery to OWD. The supply system link to implement the Otay WTP
Agreement to access the regions raw water supply system and the local water treatment
plant became fully operational in August 2005. This supply link consists of the typical
storage, transmission, pumping, flow measurement, and appurtenances to receive and
transport the treated water to the OWD system. The City of San Diego obligation to
supply 10 mgd of treated water under the Otay WTP Agreement is contingent upon there
being available 10 mgd of surplus treatment capacity in the Otay WTP until such time as
OWD pays the City of San Diego to expand the Otay WTP to meet the OWD future
needs. In the event that the City of San Diego’s surplus is projected to be less than 10
mgd the City of San Diego will consider and not unreasonably refuse the expansion of
the Otay WTP to meet the OWD future needs. The Otay WTP existing rated capacity is
40 mgd with an actual effective capacity of approximately 34 mgd. The City of San
Diego’s typical demand for treated water from the Otay WTP is approximately 20 mgd.
It is at the City of San Diego’s discretion to utilize either imported raw water delivered
by the Water Authority Pipeline No. 3 or local water stored in Lower Otay Reservoir for
treatment to supply the OWD demand.
• The OWD entered into an agreement with the Water Authority, known as the East
County Regional Treated Water Improvement Program (ECRTWIP Agreement). The
ECRTWIP Agreement provides for transmission of raw water to the Helix WD R. M.
Levy WTP for treatment and delivery to OWD. The supply system link to implement the
ECRTWIP Agreement is complete allowing access to the regions raw water supply
system and the local water treatment plant. This supply link consists of the typical
transmission, pumping, storage, flow control, and appurtenances to receive and transport
the potable water from the R. M. Levy WTP to OWD. The OWD is required to take a
minimum of 10,000 acre-feet per year of treated water from the R.M. Levy WTP
supplied from the regions raw water system.
Cost and Financing
The capital improvement costs associated with water supply and delivery are financed
through the OWD water meter capacity fee and user rate structures. The OWD potable water
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sales revenue are used to pay for the wholesale cost of the treated water supply and the
operating and maintenance expenses of the potable water system facilities.
Written Agreements, Contracts, or Other Proof
The supply and cost associated with deliveries of treated water from the Otay WTP and the R.M.
Levy WTP is based on the following documents.
Agreement for the Purchase of Treated Water from the Otay Water Treatment Plant between the
City of San Diego and the Otay Water District. The OWD entered into an agreement dated
January 11, 1999 with the City of San Diego that provides for 10 mgd of surplus treated water to
the OWD 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 OWD pays the Water Authority
at the prevailing raw water rate for raw water and pays the City of San Diego at a rate equal to
the actual cost of treatment to potable water standards.
Agreement between the San Diego County Water Authority and Otay Water District Regarding
Implementation of the East County Regional Treated Water Improvement Program. The
ECRTWIP Agreement requires the purchase of at least 10,000 acre-feet per year of potable water
from the Helix WD R.M. Levy WTP at the prevailing Water Authority treated water rate. The
ECRTWIP Agreement is dated April 27, 2006.
Agreement between the San Diego County Water Authority and Otay Water District for Design,
Construction, Operation, and Maintenance of the Otay 14 Flow Control Facility Modification.
The OWD entered into the Otay 14 Flow Control Facility Modification Agreement dated
January 24, 2007 with the Water Authority to increase the physical capacity of the Otay 14 Flow
Control Facility. The Water Authority and OWD shared the capital cost to expand its capacity
from 8 mgd to 16 mgd.
Federal, State, and Local Permits/Approvals
The OWD acquired all the permits for the construction of the pipeline and pump station
associated with the Otay WTP supply source and for the 640-1 and 640-2 water storage
reservoirs project associated with the ECRTWIP Agreement through the typical planning,
environmental approval, design, and construction processes.
The transmission main project constructed about 26,000 feet of a 36-inch diameter steel
pipeline from the Otay 14 Flow Control Facility to the 640-1 and 640-2 Reservoirs project.
The Otay 14 Flow Control Facility modification increased the capacity of the existing systems
from 8 mgd to 16 mgd. CEQA documentation is complete for both projects. Construction of
both of these projects was completed October 2010.
The City of San Diego and the Helix Water District are required to meet all applicable federal,
state, and local health and water quality requirements for the potable water produced at the
Otay WTP and the R.M. Levy WTP respectively.
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6.3.1.2 Recycled Water Supplies
Wastewater collection, treatment, and disposal services provided by the OWD is limited to a
relatively small area within what is known as the Jamacha Basin, located within the Middle
Sweetwater River Basin watershed upstream of the Sweetwater Reservoir and downstream of
Loveland Reservoir. Water recycling is defined as the treatment and disinfection of
municipal wastewater to provide a water supply suitable for non-potable reuse. The OWD
owns and operates the Ralph W. Chapman Water Reclamation Facility, which produces
recycled water treated to a tertiary level for landscape irrigation purposes. The recycled water
market area of the OWD is located primarily within the eastern area of the City of Chula Vista
and on the Otay Mesa. The OWD 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,
Otay Ranch, and other development projects.
The OWD projects that annual average demands for recycled water will increase to 8,000
acre-feet per year by 2035. About 1,300 acre-feet per year of supply is generated by the
RWCWRF, with the remainder planned to be supplied to OWD by the City of San Diego’s
SBWRP.
North District Recycled Water Concept
The OWD is a recognized leader in the use of recycled water for irrigation and other
commercial uses. The OWD continues the quest to investigate all viable opportunities to
expand the successful recycled water program into areas that are not currently served. One of
these areas is in the portion of the service area designated as the North District, located within
the Middle Sweetwater River Basin watershed upstream of the Sweetwater River. The close
proximity of the recycled water markets in the North District to the OWD source of recycled
water, the RWCWRF, means that the distribution system to serve this area could be
constructed relatively cost effectively. This makes the North District a logical location for the
expansion of the OWD recycled water system and market area.
The purpose of the North District Recycled Water System Development Project, Phase I
Concept Study, is to identify the feasibility of using recycled water in the North District and
to investigate and assess any limitations or constraints to its use. The Phase I study
components of the North District Recycled Water Concept encompassed the preparation of
six technical memorandums including the project definition, a discussion of the regulatory
process, a discussion of the protection of the watershed that would be affected by recycled
water use in the North District, identification of stakeholders, public outreach, and an
implementation plan.
Several opportunities that could be realized with the implementation of the use of recycled
water in the North District were identified. These include a reduction of demand on the
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potable water system and maximizing recycled water resources which in turn minimizes
treated wastewater discharges to the local ocean outfall. Other opportunities are a possible
partnership with Sweetwater Authority to monitor any benefits and impacts of increased
recycled water use in the watershed and stakeholder outreach to resolve any water quality
concerns and to retain consumer confidence. Also identified were two major constraints
associated with the North District Recycled Water System Development Project. One
constraint is the water quality objectives for the Middle Sweetwater Basin that will affect the
effluent limitations for the recycled water produced at the RWCWRF. At this time, the
effluent limit that is of concern is total nitrogen. An examination as to how the treatment
process might be modified to enhance nitrogen removal and a design is underway to remedy
the total nitrogen issue. The other major constraint is the cost of the infrastructure needed to
convey and store recycled water in the North District. These costs are estimated to be in the
range of $14 to $15 million dollars.
There are two additional phases proposed for the North District Recycled Water System
Development Project. Phase II would include further investigation of the issues identified in
Phase I as requiring further study. These include stakeholder outreach, regulatory issues, and
facility planning. The third phase of the effort would include the facility planning, permitting,
environmental compliance, design, and construction of the improvements necessary for
delivery of recycled water to the North District markets.
The estimated amount of imported water saved at full implementation of the North District
Recycled Water System Development Project is 1,200 acre-feet per year. This saved
imported water could then be used to offset new potable water demands.
Recycled Water System Facilities
The OWD has and continues to construct recycled water storage, pumping, transmission, and
distribution facilities to meet projected recycled water market demands. For nearly 20 years,
millions of dollars of capital improvements have been constructed. The supply link consisting
of a transmission main, storage reservoir, and a pump station to receive and transport the
recycled water from the City of San Diego’s SBWRP are complete and recycled water
deliveries began on May 18, 2007.
Cost and Financing
The capital improvement costs associated with the recycled water supply and distribution
systems are financed through the OWD water meter capacity fee and user rate structures. The
OWD recycled water sales revenue, along with MWD and the Water Authority’s recycled
water sales incentive programs are used to help offset the costs for the wholesale purchase and
production of the recycled water supply, the operating and maintenance expenses, and the
capital costs of the recycled water system facilities.
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Written Agreements, Contracts, or Other Proof
The supply and cost associated with deliveries of recycled water from the SBWRP is based on
the following document.
Agreement between the Otay Water District and the City of San Diego for Purchase of
Reclaimed Water from the South Bay Water Reclamation Plant. The agreement provides for the
purchase of at least 6,721 acre-feet per year of recycled water from the SBWRP at an initial price
of $350 per acre-foot. The Otay Water District Board of Directors approved the final agreement
on June 4, 2003 and the San Diego City Council approved the final agreement on October 20,
2003.
Federal, State, and Local Permits/Approvals
The OWD has in place an agreement with MWD for their recycled water sales incentive
program for supplies from the RWCWRF and the SBWRP. Also, the OWD 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 OWD on August 1,
2007. All permits for the construction of the recycled water facilities to receive, store, and
pump the SBWRP supply have been acquired through the typical planning, environmental
approval, design, and construction processes.
The California Regional Water Quality Control Board San Diego Region (RWQCB) “Master
Reclamation Permit for Otay Water District Ralph W. Chapman Reclamation Facility” was
adopted on May 9, 2007 (Order No. R9-2007-0038). This order establishes master
reclamation requirements for the production, distribution, and use of recycled water in the
OWD service area. The order includes the use of tertiary treated water produced and received
from the City of San Diego‘s SBWRP. Recycled water received from and produced by the
SBWRP is regulated by Regional Board Order No. 2000-203 and addenda. The City of San
Diego is required to meet all applicable federal, state, and local health and water quality
requirements for the recycled water produced at the SBWRP and delivered to OWD in
conformance with Order No. 2000-203.
6.3.1.3 Potential Groundwater Supplies
The Otay Water District WRMP Update, 2010 UWMP, and the Otay Water District March
2007 Integrated Water Resources Plan (2007 IRP) all contain a description of the
development of potential groundwater supplies. Over the past several years, OWD 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 OWD has developed capital improvement program projects to
continue the quest to develop potential groundwater resources. Local OWD groundwater
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supply development is currently considered as a viable water supply resource to meet
projected demands.
The development and/or acquisition of potential groundwater supply projects by the OWD
have evolved and have been resurrected in response to the regional water supply issues related
to water source supply conditions. Local ground water supply projects will allow for less
reliance upon imported water, achieve a level of independence of the regional wholesale
water agencies, and diversify the OWD water supply portfolio consistent the Otay Water
District 2007 IRP.
In recognition of the need to develop sufficient alternative water supplies, the OWD has taken
the appropriate next steps towards development of production groundwater well projects.
There are three groundwater well projects that the OWD is actively pursuing to develop as
new local water supplies. They are known as the Middle Sweetwater River Basin
Groundwater Well, the Otay Mesa Lot 7 Groundwater Well, and the Rancho del Rey
Groundwater Well projects.
Middle Sweetwater River Basin Groundwater Well
The Middle Sweetwater River Basin Groundwater Well is an additional water supply project
that was thoroughly studied and documented in the 1990s. The Middle Sweetwater River
Basin is located within the Sweetwater River watershed and that reach of the river extends
from Sweetwater Reservoir to the upstream Loveland Reservoir. The next step in
development of the Middle Sweetwater River Basin Groundwater Well is the implementation
of a pilot well project. The ultimate objective of the OWD is to develop a groundwater well
production system within the Middle Sweetwater River Basin capable of producing a
sustainable yield of potable water as a local supply.
The purpose of the Middle Sweetwater River Basin Groundwater Well Pilot project is to
identify the feasibility of developing a groundwater resource production system and then
determine and assess any limitations or constraints that may arise. The Middle Sweetwater
River Basin Groundwater Well Pilot Project will accomplish six primary goals:
• Update project setting
• Update applicable project alternatives analysis
• Prepare groundwater well pilot project implementation plan
• Construct and test pilot monitoring and extraction wells
• Provide recommendations regarding costs and feasibility to develop a groundwater
well production system within the Middle Sweetwater River Basin capable of
producing a sustainable yield of potable water
• Prepare groundwater well production project implementation plan and scope of work
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The groundwater conjunctive use concept is described as the extraction of the quantity of
water from the groundwater basin that was placed there by customers of the Otay Water
District, Helix Water District, and Padre Dam Municipal Water District by means of their use
of imported treated water that contributed to the overall volume of groundwater within the
basin. An estimated quantity was developed to be approximately 12.5 percent of the total
consumption of the OWD customers within that basin, as measured by water meters. In the
1994-1995 period, the quantity of water that was returned to the groundwater basin by OWD
customers was estimated to be 810 acre-feet per year. Currently, that 12.5 percent quantity
could be on the order of 1,000 acre-feet per year. A future scope of work will need to
addresses this concept while considering further development of the groundwater basin as an
additional supply resource. If it is deemed that a Middle Sweetwater River Basin
Groundwater Well Production Project is viable then the consultant will develop and provide a
groundwater well production project implementation plan, cost estimate, and related scope of
work.
Further development of the groundwater basin to enhance the total groundwater production
could be accomplished by the OWD by means of additional extraction of water from the basin
that is placed there by means of either injection and/or spreading basins using imported
untreated water as the resource supply. The existing La Mesa Sweetwater Extension Pipeline,
owned by the Water Authority, once converted to an untreated water delivery system, could
be the conveyance system to transport untreated water for groundwater recharge in support of
this conjunctive use concept. These two distinct water resource supply conjunctive use
concepts will be addressed so they may coexist and to allow for their development as separate
phases.
The scope of work to complete Middle Sweetwater River Basin Groundwater Well Pilot
Project consists of many major tasks and is to address the groundwater supply concepts
outlined above. It is anticipated that the cost for the entire scope of work, will be on the order
of $2,000,000, which includes a contingency and may take up to one and a half years to
complete.
The primary desired outcome of the Middle Sweetwater River Basin Groundwater Well Pilot
Project is for the engineering consultant to determine and make recommendations if it is
financially prudent and physically feasible to develop a Phase I groundwater well production
system within the Middle Sweetwater River Basin capable of producing a sustainable yield of
up to 1,500 ac-ft/yr of potable water for the OWD. If it is deemed that a Middle Sweetwater
River Basin Groundwater Well Production Project is viable then the consultant will develop
and provide a groundwater well production project implementation plan and related scope of
work.
Otay Mesa Lot 7 Groundwater Well
In early 2001 the OWD was approached by a landowner representative about possible interest
in purchasing an existing well or alternatively, acquiring groundwater supplied from the well
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located on Otay Mesa. The landowner, National Enterprises, Inc., reportedly stated that the
well could produce 3,200 scre-feet per year with little or no treatment required prior to
introducing the water into the OWD potable water system or alternatively, the recycled water
system. In March 2001 authorization to proceed with testing of the Otay Mesa Lot 7
Groundwater Well was obtained and the OWD proceeded with the investigation of this
potential groundwater supply opportunity.
The May 2001 Geoscience Support Services, Inc. completed for the OWD the preparation of
a report entitled, “Otay Mesa Lot 7 Well Investigation,” to assess the Otay Mesa Lot 7 Well.
The scope of work included a geohydrologic evaluation of the well, analyses of the water
quality samples, management and review of the well video log, and documentation of well
pump testing. The primary findings, as documented in the report, formed the basis of the
following recommendations:
• For the existing well to be use as a potable water supply resource, a sanitary seal must
be installed in accordance with the CDPH guidelines.
• Drawdown in the well must be limited to avoid the possibility of collapsing the casing.
• Recover from drawdown from pumping is slow and extraction would need to be
terminated for up to 2 days to allow for groundwater level recovery.
• The well water would need to be treated and/or blended with potable water prior to
introduction into the potable water distribution system.
The existing Otay Mesa Lot 7 Well, based upon the above findings, was determined not to be
a reliable municipal supply of potable water and that better water quality and quantity perhaps
could be discovered deeper or at an alternative location within the San Diego Formation.
The OWD may still continue to pursue the Otay Mesa groundwater well opportunity with due
consideration of the recommendations of the existing report. Based on the recommendations
of the investigation report, a groundwater well production facility at Otay Mesa Lot 7 could
realistically extract approximately 300 acre-feet per year.
Rancho del Rey Groundwater Well
In 1991, the McMillin Development Company drilled the Rancho del Rey Groundwater Well
to augment grading water supplies for their Rancho del Rey development projects. Although
the well was considered a “good producer,” little was known regarding its water quality and
sustainable yield because the water was used solely for earthwork (i.e. dust control and soil
compaction). The well was drilled to 865 feet, with a finished depth of 830 feet and produced
approximately 400 acre-feet per year of low quality water for four years until its use was
discontinued in April 1995 when the well was no longer needed. McMillin notified the OWD
of its intent to sell off the groundwater well asset.
In 1997, the OWD purchased an existing 7-inch well and the surrounding property on Rancho
del Rey Parkway from the McMillin Company with the intent to develop it as a source of
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potable water. Treatment was required to remove salts and boron, among other constituents,
using reverse osmosis membranes and ion exchange.
In 2000, having received proposals for the design and construction of a reverse osmosis
treatment facility that far exceeded the allocated budget, the Board of Directors instructed
staff to suspend the project until such time as it became economically viable.
In January 2010, citing the rising cost of imported water and the OWD's interest in securing
its own water source for long-term supply reliability, the Board authorized Phase 1 for drilling
and development of the Rancho del Rey Well.
In September 2010, a new 12-inch production well was drilled to a depth of 900 feet through
the groundwater formation and into fractured bedrock. Testing showed the long-term yield of
the new well to be 450 gpm, higher than previous studies had estimated. Separation
Processes, Inc. (SPI), a highly qualified membrane treatment firm, was hired to conduct a
detailed economic feasibility study to confirm that the annualized unit cost of the new water
source was economically competitive with other sources. The economic study estimated the
unit cost of water to be $1, 500 to $2,000 per acre-feet for an alternative that utilizes a
seawater membrane for treating both salts and boron. When compared with the current
imported treated water rate from the Water Authority, and with the knowledge that this rate
will continually increase as MWD and the Water Authority raise their rates, the Rancho del
Rey Well project appears to be economically viable.
The OWD is continuing to pursue the Rancho del Rey groundwater well opportunity with due
consideration of the recommendations of the existing reports and plans to develop a
groundwater well production facility to extract approximately 500 acre-feet per year. For
water planning purposes, production of groundwater from the Rancho del Rey well is
considered “additional planned” for local supplies. During preparation of this 2010 UWMP,
the OWD has contracted for design services for the wellhead treatment facilities.
6.3.1.4 Otay Water District Desalination Project
The OWD is currently investigating the feasibility of purchasing desalinated water from a
seawater reverse osmosis plant that is planned to be located in Rosarito, Mexico, known as the
Otay Mesa Desalinated Water Conveyance System (Desalination) project. The treatment
facility is intended to be designed, constructed, and operated in Mexico by a third party. The
OWD’s draft Desalination Feasibility Study, prepared in 2008, discusses the likely issues to
be considered in terms of water treatment and monitoring, potential conveyance options
within the United States from the international border to potential delivery points, and
environmental, institutional, and permitting considerations for the OWD to import the
Desalination project product water as a new local water supply resource.
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While the treatment facility for the Desalination project will likely not be designed or
operated by the OWD as the lead agency, it is important that the OWD maintain involvement
with the planning, design, and construction of the facility to ensure that the implemented
processes provide a product water of acceptable quality for distribution and use within the
OWD’s system as well as in other regional agencies’ systems that may use the product water,
i.e. City of San Diego, the Water Authority, etc. A seawater reverse osmosis treatment plant
removes constituents of concern from the seawater, producing a water quality that far exceeds
established United States and California drinking water regulations for most parameters,
however, a two-pass treatment system may be required to meet acceptable concentrations of
boron and chlorides, similar to the levels seen within the existing OWD supply sources. The
Desalination Feasibility Study addresses product water quality that is considered acceptable
for public health and distribution.
The OWD, or any other potential participating agencies, will be required to get approval from
the CDPH in order to use the desalinated seawater as a water source. Several alternative
approaches are identified for getting this approval. These alternatives vary in their cost and
their likelihood of meeting CDPH approval.
The Rosarito Desalination Facility Conveyance and Disinfection System Project report
addresses two supply targets for the desalinated water (i.e. local and regional). The local
alternative assumes that only OWD would participate and receive desalinated water, while the
regional alternative assumes that other regional and/or local agencies would also participated
in the Rosarito project.
On November 3, 2010, the OWD authorized the General Manager to enter into an agreement
with AECOM for the engineering design, environmental documentation, and the permitting
for the construction of the conveyance pipeline, pump station, and disinfection facility to be
constructed within the OWD. The supply target is assumed to be 50 mgd while the ultimate
capacity of the plant will be 100 mgd.
The OWD is proceeding with negotiations among the parties to establish water supply
resource acquisition terms through development of a Principles of Understanding document.
6.3.2 Otay Water District Capital Improvement Program
The OWD 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 OWD 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.
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New water facilities that are required to accommodate the forecasted growth within the entire
OWD service area are defined and described within the Otay Water District WRMP Update.
These facilities are incorporated into the annual OWD 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, OWD prepares water system requirements specifically for the proposed
development project consistent with the Otay Water District WRMP Update. These
requirements document, define, and describe all the potable water and recycled water system
facilities to be constructed to provide an acceptable and adequate level of service to the proposed
land uses, as well as the financial responsibility of the facilities required for service. The OWD
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 Hawano Project is currently located within the jurisdictions of the OWD, Water
Authority, and MWD. To obtain permanent imported water supply service, land areas are
required to be within the jurisdictions of the OWD, Water Authority, and MWD to utilize
imported water supply.
The Water Authority and MWD have an established process that ensures supplies are being
planned to meet future growth. Any annexations and revisions to established land use plans
are captured in the San Diego Association of Governments (SANDAG) updated forecasts for
land use planning, demographics, and economic projections. SANDAG serves as the
regional, intergovernmental planning agency that develops and provides forecast information.
The Water Authority and MWD update their demand forecasts and supply needs based on the
most recent SANDAG forecast approximately every five years to coincide with preparation of
their urban water management plans. Prior to the next forecast update, local jurisdictions with
land use authority may require water supply assessment and/or verification reports for
proposed land developments that are not within the OWD, Water Authority, or MWD
jurisdictions (i.e. pending or proposed annexations) or that have revised land use plans with
either lower or higher development intensities than reflected in the existing growth forecasts.
Proposed land areas with pending or proposed annexations, or revised land use plans,
typically result in creating higher demand and supply requirements than previously
anticipated. The OWD, Water Authority, and MWD next demand forecast and supply
requirements and associated planning documents would then capture any increase or decrease
in demands and required supplies as a result of annexations or revised land use planning
decisions.
MWD’s Integrated Resources Plan (IRP) identifies a mix of resources (imported and local)
that, when implemented, will provide 100 percent reliability for full-service demands through
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the attainment of regional targets set for conservation, local supplies, State Water Project
supplies, Colorado River supplies, groundwater banking, and water transfers. The 2010
update to the IRP includes a planning buffer supply intended to mitigate against the risks
associated with implementation of local and imported supply programs and for the risk that
future demands could be higher than projected. The planning buffer identifies an additional
increment of water that could potentially be developed when needed and if other supplies are
not fully implemented as planned. As part of implementation of the planning buffer, MWD
periodically evaluates supply development, supply conditions, and projected demands to
ensure that the region is not under or over developing supplies. Managed properly, the
planning buffer will help ensure that the southern California region, including San Diego
County, will have adequate water supplies to meet long-term future demands.
In Section ES-5 of their 2010 RUWMP, MWD states that MWD has supply capacities that
would be sufficient to meet expected demands from 2015 through 2035. MWD has plans for
supply implementation and continued development of a diversified resource mix including
programs in the Colorado River Aqueduct, State Water Project, Central Valley Transfers,
local resource projects, and in-region storage that enables the region to meet its water supply
needs. MWD’s 2010 RUWMP identifies potential reserve supplies in the supply capability
analysis (Tables 2-9, 2-10, and 2-11), which could be available to meet the unanticipated
demands.
The County Water Authority Act, Section 5 subdivision 11, states that the Water Authority
“as far as practicable, shall provide each of its member agencies with adequate supplies of
water to meet their expanding and increasing needs.”
As part of preparation of a written water supply assessment report, an agency’s shortage
contingency analysis should be considered in determining sufficiency of supply. Section 11
of the Water Authority’s 2010 Updated UWMP contains a detailed shortage contingency
analysis that addresses a regional catastrophic shortage situation and drought management.
The analysis demonstrates that the Water Authority and its member agencies, through the
Emergency Response Plan, Emergency Storage Project, and Drought Management Plan
(DMP) are taking actions to prepare for and appropriately handle an interruption of water
supplies. The DMP, adopted in May 2006, provides the Water Authority and its member
agencies with a series of potential actions to take when faced with a shortage of imported
water supplies from MWD due to prolonged drought or other supply shortfall conditions. The
actions will help the region avoid or minimize the impacts of shortages and ensure an
equitable allocation of supplies.
The WSA Report identifies and describes the processes by which water demand projections
for the proposed Hawano Project will be fully included in the water demand and supply
forecasts of the Urban Water Management Plans and other water resources planning
documents of the Water Authority and MWD. Water supplies necessary to serve the demands
of the proposed Hawano 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
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Hawano Project WSA Report and will be included in the future water supply planning
documents of the Water Authority and MWD.
This WSA 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 Hawano Project.
This WSA Report assesses, demonstrates, and documents that sufficient water supplies are
planned for and are intended to be available over a 20-year planning horizon, under normal
conditions and in single and multiple dry years to meet the projected demand of the proposed
Hawano Project and the existing and other planned development projects to be served by the
OWD.
Table 7 presents the forecasted balance of water demands and required supplies for the OWD
service area under average or normal year conditions. The total actual demand for FY 2010
was 33,270 acre feet. The demand for FY 2010 is 5,635 acre feet lower than the demand in
FY 2005 of 38,905 acre feet. The drop in demand is a result of the unit price of water, the
conservation efforts of users as a result of the prolonged drought, and the economy.
Table 8 presents the forecasted balance of water demands and supplies for the OWD service
area under single dry year conditions. Table 8 presents the forecasted balance of water
demands and supplies for the OWD service area under multiple dry year conditions for the
three year period ending in 2018. The multiple dry year conditions for periods ending in
2023, 2028, and 2033 are provided in the Otay Water District 2010 UWMP. The projected
potable demand and supply requirements shown the Tables 7 and 8 are from the Otay Water
District 2010 UWMP adjusted to reflect the additional 75.6 acre-feet per year of potable water
demand for the Hawano Project. Hot, dry weather may generate urban water demands that
are about 6.4 percent greater than normal. This percentage was utilized to generate the dry
year demands shown in Table 8. The recycled water supplies are assumed to experience no
reduction in a dry year.
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Table 7
Projected Balance of Water Demands and Supplies Normal Year Conditions (acre feet)
Description FY 2015 FY 2020 FY 2025 FY 2030 FY 2035
Demands
OWD Demands 44,883 53,768 63,811 70,669 77,171
Hawano Project Demand Increase 0 0 0 0 0
Additional Conservation Target 0 (7,447) (13,996) (17,895) (20,557)
Total Demand 44,883 46,321 49,815 52,774 56,614
Supplies
Water Authority Supply 40,483 41,321 44,015 45,974 48,614
Recycled Water Supply 4,400 5,000 5,800 6,800 8,000
Total Supply 44,883 46,321 49,815 52,774 56,614
Supply Surplus/(Deficit) 0 0 0 0 0
Table 8 presents the forecasted balance of water demands and supplies for the OWD service
area under single dry year and multiple dry year conditions as from the Otay Water District
2010 UWMP.
Table 8
Projected Balance of Water Demands and Supplies
Single Dry and Multiple Dry Year Conditions (acre feet)
Normal
Year
Single
Dry Year Multiple Dry Years
FY 2011 FY 2012 FY 2013 FY 2014 FY 2015
Demands
OWD Demands 37,176 41,566 43,614 46,385 50,291
Total Demand 37,176 41,566 43,614 46,385 50,291
Supplies
Water Authority Supply 33,268 37,535 39,460 42,108 45,891
Recycled Water Supply 3,908 4,031 4,154 4,277 4,400
Total Supply 37,176 41,566 43,614 46,385 50,291
Supply Surplus/(Deficit) 0 0 0 0 0
District Demand totals with SBX7-7 conservation target achievement plus single dry year increase as shown.
The Water Authority could implement its DMP. In this instances, the Water Authority may have to allocate supply
shortages based on it equitable allocation methodology in its DMP.
Dry year demands assumed to generate a 6.4% increase in demand over normal conditions
for each year in addition to new demand growth.
Otay Water District
Water Supply Assessment Report
Hawano Project
53
Table 8 also presents the forecasted balance of water demands and supplies for the OWD
service area under multiple dry year conditions for the three year period ending in 2015.
In evaluating the availability of sufficient water supply, the Hawano Project development
proponents will be required to participate in the development of alternative water supply
project(s). This can be achieved through payment of the New Water Supply Fee adopted by
the OWD Board in May 2010. These water supply projects are in addition to those identified
as sustainable supplies in the current Water Authority and MWD UWMP, IRP, Master Plans,
and other planning documents. These new water supply projects are in response to the
regional water supply issues related to climatological, environmental, legal, and other
challenges that impact water source supply conditions, such as the court rulings regarding the
Sacramento-San Joaquin Delta and the current ongoing western states drought conditions.
These new additional water supply projects are not currently developed and are in various
stages of the planning process. The OWD water supply development program includes but is
not limited to projects such as the Middle Sweetwater River Basin Groundwater Well project,
the North District Recycled Water Supply Concept, the OWD Desalination project, and the
Rancho del Rey Groundwater Well project. The Water Authority and MWD’s next forecasts
and supply planning documents would capture any increase in water supplies resulting from
any new water resources developed by the OWD.
The OWD acknowledges the ever-present challenge of balancing water supply with demand
and the inherent need to possess a flexible and adaptable water supply implementation
strategy that can be relied upon during normal and dry weather conditions. The responsible
regional water supply agencies have and will continue to adapt their resource plans and
strategies to meet climate, environmental, and legal challenges so that they may continue to
provide water supplies to their service areas. The regional water suppliers along with OWD
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
Hawano Project, along with existing and other planned development projects within the OWD
service area.
This WSA Report assesses, demonstrates, and documents that sufficient water supplies are
planned for and are intended to be acquired, as well as the actions necessary and status to
develop these supplies, to meet projected water demands of the Hawano Project as well as
existing and other reasonably foreseeable planned development projects within the OWD for
a 20-year planning horizon, in normal and in single and multiple dry years.
Otay Water District
Water Supply Assessment Report
Hawano Project
54
Source Documents
County of San Diego, January 6, 2012, Letter Request to Initiate the Preparation of a Water
Supply Assessment for the Hawano Technology Park. Compliance request letter received
January 6, 2012.
City of Chula Vista, “Otay Ranch General Development Plan/Sub-regional Plan, The Otay Ranch
Joint Planning Project,” October 1993 amended June 1996.
County of San Diego, “East Otay Mesa Specific Plan Area,” adopted July 27, 1994.
Otay Water District, “2008 Water Resources Master Plan Update,” dated November 2010.
Atkins and Otay Water District, “Otay Water District 2010 Urban Water Management Plan,”
June 2011.
Camp Dresser & McKee, Inc., “Otay Water District Integrated Water Resources Plan,” March
2007
San Diego County Water Authority, “Urban Water Management Plan 2010 Update,” May
2011.
MWD Water District of Southern California, “Regional Urban Water Management Plan,”
November 2010.
Camp Dresser & McKee, Inc., “Rosarito Desalination Facility Conveyance and Disinfection
System Project,” June 21, 2010.
PBS&J, “Draft Otay Water District North District Recycled Water System Development
Project, Phase I Concept Study,” December 2008.
NBS Lowry, “Middle Sweetwater River System Study Water Resources Audit,” June 1991.
Michael R. Welch, “Middle Sweetwater River System Study Alternatives Evaluation,” May
1993.
Michael R. Welch, “Middle Sweetwater River Basin Conjunctive Use Alternatives,”
September 1994.
Geoscience Support Services, Inc., “Otay Mesa Lot 7 Well Investigation,” May 2001.
Otay Water District
Water Supply Assessment Report
Hawano Project
55
Boyle Engineering Corporation, “Groundwater Treatment Feasibility Study Ranch del Ray
Well Site,” September 1996.
Agreement for the Purchase of Treated Water from the Otay Water Treatment Plant between
the City of San Diego and the Otay Water District.
Agreement between the San Diego County Water Authority and Otay Water District regarding
Implementation of the East County Regional Treated Water Improvement Program.
Agreement between the San Diego County Water Authority and Otay Water District for
Design, Construction, Operation, and Maintenance of the Otay 14 Flow Control Facility
Modification.
Agreement between the Otay Water District and the City of San Diego for Purchase of
Reclaimed Water from the South Bay Water Reclamation Plant.
Otay Water District
Water Supply Assessment Report
Hawano
56
Appendix A
Hawano Project Vicinity Map
Otay Water District
Water Supply Assessment Report
Hawano
57
Appendix B
Hawano Project Development Plan
Otay Water District
Board of Directors Meeting
March 7, 2012
Water Supply
Assessment Report
for the
Hawano Project
SB 610 Compliance
Background
Senate Bills 610 and 221 became effective on January 1,
2002, with the primary intent to improve the link between
water supply availability and land use decisions.
SB 610 Water Supply Assessment (WSA):Requires water purveyor to prepare a Water Supply
Assessment report for inclusion in agency CEQA
documentation.
SB 221 Water Supply Verification:Does not apply to the Hawano Project for it is an
industrial subdivision.
The Hawano Project Water Supply Assessment Report:Board approval required for submittal of the WSA to
the County of San Diego.
2
79.6 Acre site
23 Commercial/Industrial
Lots
Lots size varies ~ 1.9 – 5.0
Acres
Water Demand
75.6 AFY Potable
9.6 AFY Recycled
Demands are
consistent with
District’s WRMP
Hawano Project
3
Hawano Project Water Supply Assessment
The regional and local water supply agencies
acknowledge the challenges and fully intend to
develop sufficient, reliable supplies to meet
demands.
Water suppliers recognize additional water
supplies are necessary and portfolios need to be
reassessed and redistributed with intent to serve
existing and future needs.
4
Hawano Project Water Supply Assessment
The WSA Report documents the planned water
supply projects and the actions necessary to
develop the supplies.
Water supply for the Hawano Project and for
existing and future developments within the
District for a 20-year planning horizon, under
normal and in single and multiple dry years, are
planned for and are intended to be made available.
5
Otay Water District
Planned Local Water Supply Projects
Rancho Del Rey Groundwater Well (500 AFY)
Rosarito Ocean Desalination Project (20,000-
50,000 AFY)
Otay Mesa Lot 7 Groundwater Well (300 AFY)
Otay Mesa Recycled Water Supply Link Project
(800 AFY)
6
7
Normal
Year
Single
Dry Year Multiple Dry Years
FY 2011 FY 2012 FY 2013 FY 2014 FY 2015
Demands
Otay Water District Demands 37,176 41,566 43,614 46,385 50,291
Total Demand 37,176 41,566 43,614 46,385 50,291
Supplies
Water Authority Supply 33,268 37,535 39,460 42,108 45,891
Recycled Water Supply 3,908 4,031 4,154 4,277 4,400
Total Supply 37,176 41,566 43,614 46,385 50,291
Supply Surplus/(Deficit) 0 0 0 0 0
Table 8 of Hawano WSA Report based on data from Table 30 on page 41 of OWD 2010 UWMP
District Demand totals with SBX7-7 conservation target achievement with single dry
year and multiple dry year increase as shown. The Water Authority could implement its
DMP. In these instances, the Water Authority may have to allocate supply shortages based on
the equitable allocation methodology in its DMP.
Otay Water District
Projected Balance of Supply and Demand
Conclusion
Water demand and supply forecasts are
included in the planning documents of MWD,
Water Authority, and the Otay Water District.
Actions necessary to develop the identified
water supplies are documented.
Hawano Project SB 610 WSA demonstrates and
documents that sufficient water supplies are
planned for and are intended to be available
over the next 20 years.
8
It is believed that the Board has met the
intent of SB 610 statute in that:
1)Land use agencies and water
suppliers have demonstrated strong
linkage.
2)The Hawano Project Water Supply
Assessment clearly documents the
current water supply situation.
Conclusion continued
9
Staff Recommendation
That the Board of Directors approve the
Senate Bill 610 Water Supply Assessment
Report dated July 2011 for the Hawano
Project.
10
Questions?
Water Supply
Assessment Report
for the
Hawano Project
SB 610 Compliance
11
STAFF REPORT
TYPE MEETING: Regular Board
MEETING DATE: March 7, 2012
SUBMITTED BY:
Daniel Kay
Associate Civil Engineer
Ron Ripperger
Engineering Manager
PROJECT: Various DIV. NO. ALL
APPROVED BY:
Rod Posada, Chief of Engineering
Manny Magana, Asst. GM, Engineering and Operations
Joe Beachem, Chief Financial Officer
Mark Watton, General Manager
SUBJECT: Informational Item – Second Quarter Fiscal Year 2012 Capital
Improvement Program Report
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board)
accepts the Second Quarter Fiscal Year 2012 Capital Improvement
Program (CIP) Report for review and receives a summary via PowerPoint
presentation.
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To update the Board about the status of all CIP project expenditures
and to highlight significant issues, progress, and milestones on
major projects.
ANALYSIS:
To keep up with growth and to meet our ratepayers' expectations to
adequately deliver safe, reliable, cost-effective, and quality water,
each year the District staff prepares a Six-Year CIP Plan that
AGENDA ITEM 7
2
identifies the District’s infrastructure needs. The CIP is comprised
of four categories consisting of backbone capital facilities,
replacement/renewal projects, developer's reimbursement projects, and
capital purchases.
The Second Quarter Fiscal Year 2012 update is intended to provide a
detailed analysis of progress in completing these projects within the
allotted time and budget of $22.8 million. Expenditures through the
Second Quarter totaled approximately $7.2 million. Approximately 31%
of the Fiscal Year 2012 expenditure budget was spent.
FISCAL IMPACT:
None.
STRATEGIC GOAL:
The Capital Improvement Program supports the District’s Mission
statement, “To provide customers with the best quality water,
wastewater, and recycled water service in a professional, effective,
and efficient manner” and the District’s Vision, “A District that is
innovative in providing water services at affordable rates, with a
reputation for outstanding customer service.”
LEGAL IMPACT:
None.
DK/RR/RP:jf
P:\CIP\CIP Quarterly Reports\2012\Q1\Staff Report\BD 03-07-12, Staff Report, Second Quarter FY 2012 CIP Report, (DK-RR-RP).docx
Attachments: Attachment A – Committee Action
Attachment B - Fiscal 2012 Second Quarter CIP Expense
Report
Attachment C – Presentation
ATTACHMENT A
SUBJECT/PROJECT:
Various
Informational Item – Second Quarter Fiscal Year 2012
Capital Improvement Program Report
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee reviewed
this item at a meeting held on February 16, 2012. The Committee
supported Staff’s recommendation.
NOTE:
The "Committee Action" is written in anticipation of the Committee
moving the item forward for Board approval. This report will be sent
to the Board as a Committee approved item, or modified to reflect any
discussion or changes as directed from the Committee prior to
presentation to the full Board.
FISCAL YEAR 2012 2nd QUARTER REPORT
(Expenditures through 12/30/2011)
($ In Thousands)
ATTACHMENT B
2012 12/31/11
CIP No. Description
Project
Manager
FY 2012
Budget Expenses Balance
Expense to
Budget % Budget Expenses Balance
Expense to
Budget % Comments
s -
P2009 PL - 36-Inch, SDCWA Otay FCF No. 14 to Regulatory Site Ripperger 300$ 274$ 26$ 91%20,800$ 20,363$ 437$ 98%Project complete. IEC litigation.
P2083 PS - 870-2 Pump Station Replacement (28,000 GPM)Ripperger - - - 0%12,581 581 12,000 5%On hold due to CIP 2451 delay.
P2370 La Presa System Improvements Marchioro 600 95 505 16%960 134 826 14%
Board approved a $250K overall budget increase
on Nov 2. FY 2012 budget should be increased to
$850K. Board should approve another $25K
budget increase on 2/2.
P2434 Rancho Del Rey Groundwater Well Development Marchioro 850 389 461 46%6,250 3,107 3,143 50%
PDR finalized. 90% design submittal nearly
complete pending Otay direction on architectural
design.
P2451 Otay Mesa Desalination Conveyance and Disinfection System Kennedy 2,350 172 2,178 7%30,000 965 29,035 3%
Spending adjusted based on limited notice to
proceed.
P2466 Regional Training Facility Coburn-Boyd 20 17 3 85%272 269 3 99%100% of budget will be spent in FY 2012.
P2467 San Diego Formation Groundwater Feasibility Study Kennedy 400 3 397 1%1,800 763 1,037 42%
Spending estimated to be $40K for FY 2012 for
monitoring water quality.
P2473 PS - 711-1 Pump Station Improvement Cameron 300 287 13 96%500 373 127 75%Project completed.
P2488 Del Rio Road Helix and Otay Interconnection Kay 150 35 115 23%300 335 (35) 112%
Construction complete. 50% reimbursement due
from Helix.
P2486 Asset Management Plan Condition Assessment and Data Acquisition Stevens 400 60 340 15%1,350 710 640 53%
Less money spent than expected due to not hiring
a consultant and doing the work in-house.
P2489 Gillespie Drive Helix & Otay Agency Conn Kay 150 16 134 11%300 318 (18) 106%
Construction complete. 50% reimbursement due
from Helix.
P2497 Solar Power Feasibility Study Kennedy 25 15 10 60%250 60 190 24%
Study complete, but recommends waiting for
better economic conditions.
P2502 803-1 Pump Station Modifications Marchioro 425 312 113 73%575 376 199 65%
VFDs and ALCs delivered. 75% of motors have
been rewound. HVAC work underway.
P2503 850-2 Pump Station Modifications Marchioro 325 274 51 84%475 352 123 74%See P2502.
P2511 North District - South District Interconnection System Marchioro 1,400 525 875 38%37,300 1,223 36,077 3%
Alternatives analysis revision completed. Proctor
Valley Road initial studies underway.
P2514 PL - 30-Inch, 980 Zone, Hunte Parkway - Proctor Valley/Use Area Ripperger 750 111 639 15%1,500 111 1,389 7%Project out for construction bid.
P2516 PL - 12-Inch, 640 Zone, Jamacha Road - Darby/Osage Marchioro - - - 0%450 - 450 0%No anticipated expenditures for this Fiscal Year.
P2517 Chase Avenue Helix and Otay Interconnection Kay 100 6 94 6%400 6 394 2%Project on hold.
R2048 RecPL - Otay Mesa Distribution Pipelines and Conversions Kay 100 66 34 66%2,200 325 1,875 15%Project in Design.
R2058 RecPL - 16-Inch, 860 Zone, Airway Road - Otay Mesa/Alta Kennedy 150 34 116 23%3,500 1,323 2,177 38%Project on hold.
R2077 RecPL - 24-Inch, 860 Zone, Alta Road - Alta Gate/Airway Kay 350 243 107 69%4,500 1,965 2,535 44%Spending for developer reimbursement.
R2087 RecPL - 24-Inch, 927 Zone, Wueste Road - Olympic/Otay WTP Cameron 150 41 109 27%7,000 906 6,094 13%
Easement acquisition budget for the City of Chula
Vista and the City of San Diego.
R2091
RecPS - 927-1 Pump Station Upgrade (10,000 GPM) and System
Enhancements Kay 1,500 538 962 36%3,950 1,008 2,942 26%Project in Construction.
R2094 Potable Irrigation Meters to Recycled Water Conversions Charles 200 53 147 27%3,100 1,447 1,653 47%Project on track.
Total S Total: 10,995 3,566 7,429 32%140,313 37,020 103,293 26%
REPLACEMENT/RENEWAL PROJECTS
P2267 36-Inch Main Pumpouts and Air/Vacuum Ventilation Installations Vasquez - - - 0%435 234 201 54%No anticipated expenditures for this Fiscal Year.
P2366 APCD Engine Replacements and Retrofits Rahders 295 74 221 25%3,488 2,039 1,449 58%100% of budget will be spent in FY 2012.
P2382 Safety and Security Improvements Munoz 480 36 444 8%3,397 1,527 1,870 45%
We are projecting to spend $300,000 for this in
FY 2012 ($180,000 less than planned).
P2416 SR-125 Utility Relocations Kennedy 48 3 45 6%963 925 38 96%Legal Counsel collecting from ORC.
P2440 I-905 Utility Relocations Marchioro 25 7 18 28%1,600 1,578 22 99%
Final invoices submitted May 2011. Acceptance
letter/notice of completion will be sent to Caltrans.
Caltrans waiting on the City of San Diego to
complete a sewer line before they can reconcile
the project and issue a $33K credit to Otay.
P2453 SR-11 Utility Relocations Kay 50 3 47 6%155 9 146 6%Project in Design.
P2458 AMR Manual Meter Replacement Keeran 1,400 1,294 106 92%10,298 6,926 3,372 67%We expect 100% expenditure this FY.
P2477 Res - 624-1 Reservoir Cover Replacement Marchioro 200 4 196 2%450 33 417 7%PDR in progress.
P2484 Large Water Meter Replacement Program Keeran 220 1 219 0%835 240 595 29%We expect 100% expenditure this FY.
P2485 SCADA Communication System and Software Replacement Stalker 350 41 309 12%1,325 722 603 54%
Expect only 29% of this year's budget to be spent
due to delay in purchasing replacement SCADA
system software.
P2491 850-3 Reservoir Exterior Coating Cameron 200 7 193 4%300 9 291 3%Design to begin FY 2013.
P2493 624-2 Reservoir Interior Coating Cameron 30 1 29 3%950 2 948 0%Design to begin FY 2013.
P2494 Multiple Species Conservation Plan Coburn-Boyd 90 12 78 13%930 765 165 82%
The project is delayed until April 2012 due to
USFWS estimate that 50% of budget may be
used.
P2495 San Miguel Habitat Management/Mitigation Area Coburn-Boyd 250 106 144 42%1,975 659 1,316 33%
New contractor at lower cost for last 1/2 of fiscal
year; estimate using 80% of budget.
P2496 Otay Lakes Road Utility Relocations Kay 25 44 (19) 176%250 188 62 75%Phase II Design complete.
P2504 Regulatory Site Access Road and Pipeline Relocation Cameron 100 92 8 92%600 100 500 17%Preliminary design.
P2505 657-1 Reservoir Interior/Exterior Coating Cameron 25 - 25 0%375 375 - 100%Completed.
P2506 657-2 Reservoir Interior/Exterior Coating Cameron 25 198 (173) 792%375 370 5 99%Completed.
P2507 East Palomar Street Utility Relocation Cameron 350 85 265 24%800 132 668 17%Caltrans driven project.
P2508 Pipeline Cathodic Protection Replacement Program Kay 50 2 48 4%150 2 148 1%Project in Design.
FISCAL YEAR-TO-DATE, 12/31/11 LIFE-TO-DATE
Page 1 of 2 2/8/2012
FISCAL YEAR 2012 2nd QUARTER REPORT
(Expenditures through 12/30/2011)
($ In Thousands)
ATTACHMENT B
2012 12/31/11
CIP No. Description
Project
Manager
FY 2012
Budget Expenses Balance
Expense to
Budget % Budget Expenses Balance
Expense to
Budget % Comments
FISCAL YEAR-TO-DATE, 12/31/11 LIFE-TO-DATE
P2513 East Orange Avenue Bridge Crossing Cameron 5 76 (71) 1520%750 76 674 10%In Design.
P2515 870-1 Reservoir Paving Cameron 25 - 25 0%300 - 300 0%Design to begin FY 2013.
P2518 803-3 Reservoir Interior/Exterior Coating Cameron - - - 0%450 - 450 0%Design to begin FY 2013.
P2519 832-2 Reservoir Interior/Exterior Coating Cameron - - - 0%450 - 450 0%Design to begin FY 2013.
P2520 Motorola Mobile Radio Upgrade Anderson 50 2 48 4%100 2 98 2%On track.
P2521 Large Meter Vault Upgrade Program Keeran 200 26 174 13%600 26 574 4%We expect 75% expenditure this FY.
R2096 RWCWRF - Upgrades and Modifications Kay 2,000 601 1,399 30%4,950 1,487 3,463 30%Project in Construction.
R2099 Recycled System Air and Vacuum Value Retrofit Holly 234 148 86 63%700 148 552 21%Expect to spend budgeted amount in FY 2012.
R2100 Recycled Force Main Access Road Repairs Cameron 210 150 60 71%210 - 210 0%To be completed in 1/2012.
S2012 SVSD Outfall and RSD Replacement and OM Reimbursement Kennedy 642 - 642 0%4,392 751 3,641 17%Money to be spent in Q4.
S2019 Avocado Boulevard 8-Inch Sewer Main Improvement Cameron 1,400 43 1,357 3%1,900 351 1,549 18%Construction beginning 3/2012.
S2020 Calavo Drive 8-Inch Sewer Main Replacement Cameron 370 13 357 4%550 69 481 13%Construction beginning 3/2012.
S2022 Hidden Mesa Drive 8-Inch Sewer Main Rehabilitation Cameron 80 11 69 14%150 39 111 26%Construction beginning 3/2012.
S2023 Calavo Drive Sewer Main Utility Relocation Cameron 50 1 49 2%65 15 50 23%County driven project.
S2024 Campo Road Sewer Main Replacement Cameron 10 - 10 0%3,250 2 3,248 0%To be assessed in the Sewer Master Plan.
S2026 Challenge Boulevard 8-Inch Sewer Main Replacement Cameron 25 34 (9) 136%250 34 216 14%Construction beginning 3/2012.
S2027 Rancho San Diego Pump Station Rehabilitation Kennedy 100 - 100 0%2,800 - 2,800 0%County of San Diego driven project.
S2028 Explorer Way 8-Inch Sewer Main Replacement Marchioro 20 4 16 20%125 4 121 3%
Sewer CIP project prioritization and PDR in
progress.
S2029 Chase Avenue 8-Inch Sewer Main Replacement Marchioro 20 5 15 25%125 5 120 4%see S2028
S2030 Avocado Boulevard 8-Inch Sewer Main Replacement Marchioro 50 2 48 4%325 2 323 1%see S2028
S2031 Julianna Street 8-Inch Sewer Main Replacement Marchioro 20 1 19 5%150 1 149 1%see S2028
S2032 Puebla Drive 8-Inch Sewer Main Replacement Marchioro 20 1 19 5%125 1 124 1%see S2028
S2033 Sewer System Various Locations Rehabilitation Marchioro 100 2 98 2%800 2 798 0%see S2028
S2034 Vista Grande and Paseo Grande 8-Inch Sewer Main Replacement Marchioro 25 1 24 4%250 1 249 0%see S2028
Total Replacement/Renewal Projects Total: 9,869 3,131 6,738 32%53,418 19,851 33,567 37%
CAPITAL PURCHASE PROJECTS
P2282 Vehicle Capital Purchases Rahders 395 26 369 7%5,346 2,554 2,792 48%100% of budget will be spent in FY 2012.
P2285 Office Equipment and Furniture Capital Purchases Dobrawa 60 16 44 27%571 486 85 85%No additional expenditures for FY12.
P2286 Field Equipment Capital Purchases Rahders 278 66 212 24%1,668 964 704 58%100% of budget will be spent in FY 2012.
P2443 Information Technology Mobile Services Jenkins 250 6 244 2%1,652 1,102 550 67%Spending on hold due to re-prioritizing of projects.
P2461 Records Management System Upgrade Stevens 100 33 67 33%506 295 211 58%Spending on target for budget.
P2469 Information Technology Network and Hardware Jenkins 460 163 297 35%2,173 1,317 856 61%Spending on target for budget.
P2470 Application Systems Development and Integration Stevens 430 183 247 43%2,448 1,379 1,069 56%Spending on target for budget.
Total Capital Purchase Projects Total: 1,973 493 1,480 25%14,364 8,097 6,267 56%
DEVELOPER REIMBURSEMENT PROJECTS
P2104 PL - 12-Inch, 711 Zone, La Media Road - Birch/Rock Mountain Charles - - - 0%833 - 833 0%No anticipated expenditures for this Fiscal Year.
P2107 PL - 12-Inch, 711 Zone, Rock Mountain Road - La Media/SR 125 Charles - - - 0%722 - 722 0%No anticipated expenditures for this Fiscal Year.
P2325
PL - 10" to 12" Oversize, 1296 Zone, PB Road - Rolling Hills Hydro PS/PB
Bndy Charles 1 - 1 0%50 - 50 0%No anticipated expenditures for this Fiscal Year.
P2402 PL - 12-Inch, 624 Zone, La Media Road - Village 7/Otay Valley Charles - - - 0%444 - 444 0%No anticipated expenditures for this Fiscal Year.
P2403 PL - 12-Inch, 624 Zone, Heritage Road - Olympic/Otay Valley Charles - - - 0%925 - 925 0%No anticipated expenditures for this Fiscal Year.
R2028 RecPL - 8-Inch, 680 Zone, Heritage Road - Santa Victoria/Otay Valley Charles - - - 0%600 - 600 0%No anticipated expenditures for this Fiscal Year.
R2042 RecPL - 8-Inch, 927 Zone, Rock Mountain Road - SR-125/EastLake Charles - - - 0%140 - 140 0%No anticipated expenditures for this Fiscal Year.
R2047 RecPL - 12-Inch, 680 Zone, La Media Road - Birch/Rock Mountain Charles - - - 0%450 - 450 0%No anticipated expenditures for this Fiscal Year.
R2082 RecPL - 24-Inch, 680 Zone, Olympic Parkway - Village 2/Heritage Charles 1 - 1 0%1,747 - 1,747 0%No anticipated expenditures for this Fiscal Year.
R2083 RecPL - 20-Inch, 680 Zone, Heritage Road - Village 2/Olympic Charles 1 - 1 0%400 - 400 0%No anticipated expenditures for this Fiscal Year.
R2084 RecPL - 20-Inch, 680 Zone, Village 2 - Heritage/La Media Charles 1 - 1 0%971 1 970 0%No anticipated expenditures for this Fiscal Year.
R2085 RecPL - 20-Inch, 680 Zone, La Media - State/Olympic Charles 1 - 1 0%600 - 600 0%No anticipated expenditures for this Fiscal Year.
Total Developer Reimbursement Projects Total: 5 - 5 0%7,882 1 7,881 0%
GRAND TOTAL 22,842$ 7,190$ 15,652$ 31% 215,977$ 64,969$ 151,008$ 30%
Page 2 of 2 2/8/2012
Otay Water District
Capital Improvement Program
Fiscal Year 2012
2nd Quarter Update
(through December 31, 2011)
La Presa System Improvements
Background
The approved CIP Budget for Fiscal Year 2012 consists
of 75 projects that total $22.8 million. These projects
are broken down into four categories.
1.Capital Facilities $11.0 million
2.Replacement/Renewal $ 9.8 million
3.Capital Purchases $ 2.0 million
4.Developer Reimbursement $ 0.0 million
Overall expenditures through the second quarter
Fiscal Year 2012 totaled $7.2 million which is 31% of
our fiscal year budget.
Fiscal Year 2012
2nd Quarter Update
($1,000)
CIP
CAT Description FY 2012
Budget
FY 2012
Expenditures
%
FY 2012
Budget
Spent
Total Life-to-
Date Budget
Total
Life-to-Date
Expenditures
%
Life-to-
Date
Budget
Spent
1 Capital
Facilities $10,995 $3,566 32%$140,313 $37,020 26%
2 Replacement/
Renewal $9,869 $3,131 32%$53,418 $19,851 37%
3 Capital
Purchases $1,973 $493 25%$14,364 $8,097 56%
4 Developer
Reimbursement $5 $0 0%$7,882 $1 0%
Total:
$22,842 $7,190 31%$215,977 $64,969 30%
Fiscal Year 2012
2nd Quarter
CIP Budget Forecast vs. Expenditures
$22,632,000
$7,190,000
$-
$5,000,000
$10,000,000
$15,000,000
$20,000,000
$25,000,000
Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
FISCAL YEAR PERIOD IN MONTHS
Budget Forecast
Total Expenditures
District Map of Major CIP Projects
CIP Projects in Construction
Phase I of 944-1R Recycled Water
Pump Station Improvements
Installation of New Pump
New Instrumentation
New Suction Header Piping
Three (3) New Pressure Reducing
Stations
$3.95M Budget
Above: Existing Pressure Reducing
Valve to be Modified
Left: New Pump 3 and Discharge to
be Installed. Pumps 1 and 2 in
Background
CIP Projects in Construction
RWCRWF Upgrades
New Aeration System,
Blower System, and
Electrical Instrumentation
$4.95M Budget
Above: Installing New Conduit for
Instrumentation Around Aeration
Basins
Left: New Air Scour Pad for Filter
Backwash System
CIP Projects in Construction
La Presa System Improvements
Demolition of 850-1 and 657-1 Pump
Stations and Forebay Reservoir
Multiple Interconnections Throughout
Spring Valley
Demolition of Dorchester Reservoir
and Pressure Reducing Station
$1.21M Budget
Above: Above Ground Piping and Building
Removed from La Presa Site
Left: Potholing for 16-Inch Disconnect
at La Presa Site
Construction Contract Status
CIP
NO.
PROJECT
TITLE CONTRACTOR BASE BID
AMOUNT
CONTRACT
AMOUNT W/
ALLOWANCES
NET CHANGE
ORDERS*CURRENT
CONTRACT
AMOUNT
TOTAL
EARNED
TO DATE
% CHANGE
ORDERS W/
ALLOWANCE
CREDIT**
%
COMPLETE
EST.
COMP.
DATEPROJECT
TOTAL %
P2505/
P2506
657-1 & 657-2
Reservoir
Coating &
Upgrades
Blastco Inc. $582,500 $632,500 $5,627 1.0% $607,912 $607,912 -3.9% 100.0%
Comp
Oct
2011
P2488/
P2489
Del Rio Road &
Gillispie Drive
Emergency
Interconnections
LH Woods $339,000 $379,000 $9,699 2.9% $368,105 $368,105 -2.9% 100.0%
Comp
Aug
2011
R2091
944-1R
RecycledPump
Station Upgrade
& System
Enhancments
Sepulveda $1,099,423 $1,162,423 $0 0.0% $1,099,423 $172,071 0.0% 15.7%
May
2012
R2096 RWCWRF
Upgrades Newest $3,349,000 $3,499,000 $0 0.0% $3,349,000 $150,748 0.0% 4.5%
May
2012
P2502/
P2503
HVAC
Improvements at
803-1 & 850-2
Pump Stations
3-D Enterprises $53,500 $58,500 $0 0.0% $58,500 $30,150 0.0% 51.5%
Feb
2012
P2370
Jamacha Rd.
Meter
Relocations
Pacific Meters $27,350 $30,350 $0 0.0% $30,350 $30,350 0.0% 100.0%
Comp
Dec
2011
P2370 La Presa System
Improvements TC Construction $938,995 $978,995 $0 0.0% $938,995 $56,100 0.0% 6.0%
Aug
2012
TOTALS: $6,389,768 $6,740,768 $15,326 0.2%$6,452,284 $1,415,436 -4.3%
*NET CHANGE ORDERS DO NOT INCLUDE ALLOWANCE ITEM CREDITS. IT'S A TRUE CHANGE ORDER PERCENTAGE FOR THE PORJECT
**THIS CHANGE ORDER RATE INCLUDES THE CREDIT FOR UNUSED ALLOWANCES
Consultant Contract Status
Consultant Contract Status
Consultant Contract Status
QUESTIONS?
AGENDA ITEM 8
STAFF REPORT
TYPE MEETING: Regular Board MEETING DATE: March 7, 2012
PROJECT: DIV. NO. All
SUBMITIED BY: Rita Bell, Finance Manager
APPROVED BY: r;g]
r;g]
Joseph
German
R. Beachem, Chief Financial Officer
Alvarez, Assistant General Manager, Finance and
Administration
r;g] Mark Watton, General Manager
SUBJECT: Adopt Ordinance No. 531 Amending Section 25, Conditions' for
Water Service; Section 28, Connection Fees and Charges for
Potable or Reclaimed Water Service; and Section 38, Service
for Fire Protection Systems of the District's Code of
Ordinances to include Mandated Fire Service Standby Capacity
for Single-Family Residences
GENERAL MANAGER'S RECOMMENDATION:
That the Board adopt Ordinance No. 531 amending Sections 25, 28, and
38 of the District's Code of Ordinances to include mandated fire
service standby capacity for single-family residences.
COMMITTEE ACTION:
See Attachment A.
PURPOSE:
To present to the Board revisions to Sections 25, 28, and 38 of the
Code of Ordinances to include upsizing residential meters for
mandated fire service standby capacity.
ANALYSIS:
Background
Over the past few years, more meters are being required to be upsized
in order to provide for new fire service requirements. The standby
capacity necessary to provide for this fire service is already built
into the District's facilities and does not have an impact on the
capacity fee. Recent changes in fire code are now affecting more
homes within the District. This staff report proposes to bring the
District's code up-to-date and formally accommodate the new fire code
requirements without requiring additional capacity or system fees.
In March of 2008, the San Diego County Water Authority (CWA) amended
Ordinance No. 97-1 which imposes capacity charges on ultimate users
of water. This change was to accommodate requirements of fire
protection agencies that mandated the upsizing of residential meters
for fire protection capacity purposes. It allows for the capacity
charge to be established without the additional size necessary for
standby capacity.
In May 2009, a memorandum was sent from the District's Engineering
Department to the General Manager discussing the practice going
forward based on the adoption of the change by CWA. It was
determined that the meter charge would be for the larger meter, but
that the capacity fees would be based solely on the necessary
capacity without fire protection purposes.
This staff report goes further to formally change the capacity fee
policy by amending sections 28 and 38 of the Code of Ordinances.
Additionally, to address the Chula Vista Fire Department change in
policy on January 1, 2012, a change is being made to section 25 so
that the monthly MWD & CWA and system charges will be based on
capacity without fire protection purposes.
Section 25: Conditions for Water Service
Existing provisions in Section 25.03 Band C of the Code of
Ordinances establishes the amount of the monthly fixed MWD & CWA
charges and system charges based on meter size.
The proposed change to the code addresses the new mandate imposed by
fire protection agencies to require the upsizing of a residential
meter for additional fire standby capacity. This change would
establish the monthly charge based on the water use requirements for
the property, not the upsized meter for the sole purpose of fire
protection.
2
Section 28: Connection Fees and Charges for Potable or Recla~ed
Water Service
Existing provisions in Section 25.01 B of the Code of Ordinances
establishes the basis for determination of connection fees and
charges.
The proposed change to the Code addresses the new mandate imposed by
fire protection agencies to require the upsizing of a residential
meter for additional fire standby capacity. This change would
establish the connection fee based on the water use requirements for
the property, not the upsized meter for the sole purpose of fire
protection.
Section 38: Service for Fire Protection Systems
Currently, there is no provision in this code section that addresses
the mandating of residential meter upsizing by fire protection
agencies. The addition of Section 38.03, Fire Service Standby
Capacity, would address the standby capacity for a fire sprinkler
system based on water use requirements for the property, without
consideration of additional size necessary to provide the standby
capacity.
FISCAL IMPACT:
The capacity fees were set based on the required meter size without
the additional standby capacity. Therefore, this has already been
incorporated into the District's financial planning, and will not
affect the District's financial standing. Likewise, the District's
rate modeling process projected system fees without additional fees
for the upsized meters.
STRATEGIC GOAL:
None.
LEGAL IMPACT:
None.
Attachments:
A) Committee Action Form
B) Ordinance No. 531
Exhibit 1 Strike-through Section 25
Exhibit 2 Strike-through Section 28
Exhibit 3 Strike-through Section 38
C) Proposed Section 25
D) Proposed Section 28
3
E) Proposed Section 38
4
ATTACHMENT A
SUBJECT/PROJECT: Adopt Ordinance No. 531 Amending Section 25, Conditions for
Water Service; Section 28, Connection Fees and Charges for
Potable or Reclaimed Water Service; and Section 38, Service
for Fire Protection Systems of the District's Code of
Ordinances to include Mandated Fire Service Standby
Capacity for Single-Family Residences
COMMITTEE ACTION:
The Finance, Administration, and Communications Committee recommends
that the Board adopt Ordinance No. 531 amending Sections 25, 28, and
38 of the District's Code of Ordinances to include mandated fire
service standby capacity for single-family residences.
NOTE:
The "Committee Action" is written in anticipation of the Committee
moving the item forward for board approval. This report will be sent
to the Board as a committee approved item, or modified to reflect any
discussion or changes as directed from the committee prior to
presentation to the full board.
Attachment B
ORDINANCE NO. 531
AN ORDINANCE OF THE BOARD OF DIRECTORS OF THE OTAY
WATER DISTRICT AMENDING SECTION 25, CONDITIONS FOR
WATER SERVICE; SECTION 28, CONNECTION FEES AND
CHARGES FOR POTABLE OR RECLAIMED WATER SERVICE; AND
SECTION 38, SERVICE FOR FIRE PROTECTION SYSTEMS OF
THE DISTRICT'S CODE OF ORDINANCES
BE IT ORDAINED by the Board of Directors of Otay Water
District that the District's Code of Ordinances, Section 25,
Conditions for Water Service; Section 28, Connections Fees and
Charges for Potable or Reclaimed Water Service; and Section 38,
Service for Fire Protection Systems be replaced as per
Attachments C, 0, and E respectively.
NOW, THEREFORE, BE IT RESOLVED that the new proposed
Sections 25, 28 and 38 of the Code of Ordinances shall become
effective March 7, 2012.
PASSED, APPROVED AND ADOPTED by the Board of Directors of
the Otay Water District at a regular meeting duly held this 7th
day of March, 2012, by the following roll call vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
1
President
ATTEST:
District Secretary
2
Exhibit 1
SECTION 25 CONDITIONS FOR WATER SERVICE
25.01 SERVICE AREA
Water service shall be furnished by the District only to
property within (annexed to) a water improvement district within
the District's service area. Water service to property located
outside an improvement district may be furnished only upon prior
approval of the Board of Directors. Temporary water service to
property located outside an improvement district may be
furnished, in accordance with Section 25.03 E.10., upon the
approval of the General Manager.
25.02 DEFINITION OF "H.C.F." AND "UNIT OF WATER"
As used in the Code the terms "H.C.F." and "unit of water" are
interchangeable and each shall mean 100 cubic feet or 748
gallons of water.
25.03 DEFINITIONS OF WATER SERVICE CATAGORIES, WATER RATES, CHARGES
AND FEES
Water service furnished by the District shall be under the
categories of services and at the rates, charges and fees as set
forth in Appendix A, Section 25.
Five-year Rate Increase Schedule -All District water rates,
charges and fees are subject to a five-year schedule of rate
increases beginning September 1, 2009 and periodically
thereafter through June 30, 2014. The increases under this
schedule shall be the amount sufficient to cover cost increases
related to operations and maintenance, but not to exceed 10% per
year.
Five-year Periodic Pass-through Rate Increases or Decreases from
District Wholesalers -All District water rates, charges and
fees are subject to periodic rate changes from the District's
public agency wholesalers for a five-year period beginning
September 1, 2009 through June 30, 2014.
A. Set-up Fees for Accounts. A set-up fee shall be charged
for each account transferred to another customer. See
Appendix A, 25.03 A. for charges. A deposit will be
required of all customers who do not own the property to be
served. See Appendix A, 25.04 A. for deposit amounts.
B. Monthly Fixed MWD & CWA Charges. Each potable water
service customer shall pay a monthly MWD and CWA fixed
charge, as set forth in Appendix A, 25.03 C. Proceeds of
the charge will be used to pay for operating and
maintenance costs, including the following: MWD Readiness
to-Serve Charge and Capacity Reservation Charge; CWA
Infrastructure Access Charge, Customer Service Charge, and
25-1
Emergency Storage Charge. The MWD & CWA charge is based on
the size of the water meter(s) in service with the
exception of upsizing the meter for fire protection, as
described in Section 38.03 of the Code. The MWD & CWA
charge shall start upon installation of the meter.
C. Monthly Fixed System Charges. Each water service customer
shall pay a monthly fixed system charge, as set forth in
Appendix A, 25.03 C. Proceeds of the charge will be used
to pay for water system replacement, maintenance, and
operation expenses. The system charge is based on the size
of the water meter(s) in service. The system charge shall
start upon installation of the meter
D. Water Conservation Drought Pricing. To promote
conservation, base tiered water rates for all water
services are subject to percentage increases during drought
stages, as shown in the table below:
Drought Stage Pricing
Stage 2 Stage 3 Stage 4
Tier 1* 0% 0% 0%
Tier 2 Up to 5% Up to 10% Up to 15%
Tier 3 Up to 30% Up to 60% Up to 90%
*Domestic residential water service has four tiered base
rates as outlined in Appendix A, 25.03 E.1. (b). Tier 1 of
the above table applies to the first two tiered base rates.
Tier 2 of the above table applies to the third tiered base
rate. Tier 3 of the above table applies to the fourth
tiered base rate.
E. Categories of Water Service. The definitions and rates and
charges for water service furnished by the District shall
be as follows:
1. DOMESTIC RESIDENTIAL WATER
(a) Defined as: Water service for single residential
and individually metered attached households as
well as other domestic uses (other than that
provided for in Paragraph 2 below).
(b) Base Rate: The tiered base rates of water
furnished under this category shall be set forth
in Appendix A, 25.03 E.1. (b).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
25-2
2. MULTIPLE RESIDENTIAL WATER
(a) Defined as: Master metered water service for
multiple residential households, for example,
duplexes, townhomes, apartments and mobile homes.
(b) Base Rate: The tiered base rates of water
furnished for each dwelling unit under each block
of service in this category shall be as set forth
in Appendix A, 25.03 E.2. (b).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
3. BUSINESS AND PUBLICLY-OWNED WATER
(a) Defined as: Potable water service for
commercial, industrial and publicly-owned
establishments.
(b) Base Rate: The tiered base rate for water
furnished under this category shall be determined
by meter size and usage block as set forth in
Appendix A, 25.03 E.3. (b).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
4. IRRIGATION AND COMMERCIAL AGRICULTURAL USING POTABLE
WATER
(a) Irrigation is potable water service provided
solely for irrigation of landscape or
landscaping, as defined in Section 0.02.
(b) Commercial agricultural engaged in the growing or
raising of live stock, in conformity with
recognized practices of husbandry, for the
purpose of commerce, trade or industry, or for
the use by public educational or correctional
institutions or agricultural horticultural or
floricultural products and produced,
(i) for human consumption or for the market,
or
(ii) for the feeding of fowl or livestock
produced for human consumption or for the
market, or
(iii) for feeding fowl or livestock for the
purpose of obtaining their products for
human consumption or for the market, such
25-3
products to be grown or raised on a
parcel of land having an area of not less
than one acre utilized exclusively
therefore.
(c) Base Rate: The tiered base rate for water
furnished under this category shall be determined
by meter size and usage block as set forth in
Appendix A, 25.03 E.4.(c).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
5. RECYCLED WATER
(a) Defined as: Non-potable and recycled water service
provided for irrigation of landscaping, as defined
in Section 0.02 A. of the Code, and certain non
irrigation purposes, other than domestic use, in
compliance with federal, state and local laws and
regulations regarding use of recycled water.
(b) The provisions of this Code, relating to use of
recycled water, set forth in Section 26 of the Code,
including but not limited to cross-connections and
backflow protective devices, shall be strictly
enforced in connection with the use of recycled
water.
(c) Base Rate: The tiered base rate for water
furnished under this category shall be determined
by meter size and usage block as set forth in
Appendix A, 25.03 E.5. (c).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(d) Monthly system charge: The monthly system charge
for recycled water service is set forth in
Appendix A, 25.03 C.
6. TEMPORARY AND CONSTRUCTION WATER SERVICE
(a) Defined as: Water service provided by the
District on a temporary basis, pursuant to
Section 31 of this Code.
(b) If capacity fees have not been paid by the
customer, the rates for water furnished under
this category is set forth in Appendix A, 25.03
E.6. (b) .
(c) If the customer has paid capacity and annexation
fees, the base rate for water furnished under
25-4
this category shall be the base rate charged
customers in the same category of service on a
permanent meter basis.
(d) The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(e) The applicable monthly system and MWD & CWA
charge shall be the same rates charged to
customers in the same category of service on a
permanent meter basis per Appendix A, 25.03 C.
7. WATER SERVICE UNDER SPECIAL AGREEMENTS
(a) Defined as: Water service provided under express
agreements approved by the Board of Directors for
service to golf courses and other entities, which
service may be curtailed or interrupted by the
District under conditions provided in such
agreements.
(b) For water service under this category the base
rate shall be determined on a case-by-case basis.
Unless otherwise specified in the particular
agreement, the tiered base rates for this
category of service are subject to the increased
drought pricing outlined in Section 25.03 D.
8. TANK TRUCKS
(a) Defined as: Water service provided for the
filling of tanks on motor vehicles transporting
water used for other than earth grading purposes,
which service shall be made only through a
portable meter issued by the District to a
customer specifically for use in accordance with
the provisions herein for such service.
(b) The rate for metered water furnished under this
category is reflected in Appendix A, 25.03 E.8.
(b), plus a monthly system charge at the rate set
forth in Appendix A, 25.03 C.
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(c) Requirements for Use of Water Meter
(1) To receive such service, the customer must
make a deposit for the use a water meter
furnished by the District. The fee is set
forth in Appendix A, 31.03 A.l.
25-5
(2) Upon termination of the service, the Dis
trict will refund the amount of deposit
remaining after making the following
deductions:
(i) Cost of repairing or replacing the
meter, fire hydrant and/or any fittings
damaged or lost while in use; and
(ii) Unpaid charges for water or other
applicable charges.
(3) Prior to the end of each six month period
following issuance of a meter under this
section, or at the request of the District,
whichever is earlier, the customer shall
return the meter to the District for
inspection, repair, or calibration as deemed
necessary by the District.
(4) Payment for water service under this cate
gory shall be made as follows:
(i) The bill shall be based on the amount
of water actually used, which shall be
determined by the District's reading of
the meter or by a report made by the
customer to the District in the manner
prescribed by the District.
(ii) Where the actual amount of water used
cannot be determined as provided in
(i), the District will issue a bill
based on a District estimate of the
amount of water used, as determined by
the District. Such estimates shall be
reconciled with actual amounts used
when the customer returns the meter to
the District as provided in paragraph 3
above.
(iii)Payments shall be made as specified on
the bill.
9. WATER SERVICE OUTSIDE DISTRICT
(a) Defined as: Water service for real property
outside the service area of the District.
(b) This service will be provided only upon prior
approval of the General Manager when there is a
surplus of water over and above the existing
needs for service in the District. This service
is temporary and may be terminated upon written
notice from the District. Customers for this
25-6
service are sometimes referred to as "outside
users."
(c) Customers applying for this category of service
shall pay an application fee as set forth in
Appendix A, 25.03 E.9. (c).
(d) The rate for metered water furnished under this
category shall be charged the rate as described
in Appendix A, 25.03 E.9. (d), plus a monthly
system charge at the rate set forth in Appendix
A, 25.03 C.
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(e) Customers requesting only fire service or a fire
hydrant under this category shall be charged a
capacity fee based on one (1) EDU for a permanent
meter in the improvement district from which the
fire service derives its flow, plus a monthly
system charge at the rate set forth in Appendix
A, 25.03 E.11.(c).
10. WATER SERVICE OUTSIDE AN IMPROVEMENT DISTRICT
(a) Defined as: Water service for property located
within the boundaries of the District, but not
within a water improvement district. Customers
for this service are sometimes referred to as
"outside users."
(b) Customers applying for this service shall pay an
application fee as set forth in Appendix A, 25.03
E.10. (b). The District will review the
application to determine whether the land to be
served should be annexed to an improvement
district. If it is determined that annexation is
not practical, the Board of Directors may
authorize service as an outside user. This
service will be reviewed periodically until it is
determined that the property must be annexed to
an improvement district or that service must be
terminated.
(c) The rate for metered water furnished under this
category is as set forth in Appendix A, 25.03
E.10. (c), plus a monthly system charge as set
forth in Appendix A, 25.03.C.
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
25-7
(d) Upon approval of the Board of Directors, a cus
tomer, who has paid all construction costs for
facilities necessary to serve the customer's
property in lieu of annexation to a water
improvement district, shall be exempt from the
provision for this category of service.
11. SERVICE FOR FIRE PROTECTION
(a) Defined as: Water service provided by the Dis
trict solely to feed fire hydrants or fire
sprinkler systems from lines or laterals con
nected to District water mains.
(b) The District will not make a charge for the
quantity of water used for fire protection
purposes.
(c) The monthly system charge for this category
of service is set forth in Appendix A, 25.03
E.11. (c) for each connection to a District water
main made for fire protection service.
12. WATER SERVICE TO PROPERTY NOT SUBJECT TO DISTRICT
TAXES
(a) Pursuant to Section 71613 of the California Water
Code, the District may furnish water to property,
not subject to District taxes, at special rates,
terms and conditions as are determined by the
Board of Directors for such service. Such rates,
terms and conditions shall be uniformly applied
to like classes and conditions of service in the
same improvement district or geographical area.
(b) Customers in this category, such as publicly
owned establishments, shall pay an additional fee
as outlined in Appendix A, 25.03 E.12. (b).
13. INTERIM WATER SERVICE IN IMPROVEMENT DISTRICT 7
(a) Definition of Interim Service. This is water
Service furnished to a customer in Improvement
District 7 (10 7) for temporary use.
(b) Rates for Interim Service. Customers applying
for interim service in 10 7 shall not be required
to pay the 10 7 water capacity fee and San Diego
County Water Authority fee, as required under
Section 2801 of this Code. The water rate is set
forth in Appendix A, 25.03 E. 13. (b) .
(c) Conversion to Permanent Service. At such time as
use expires, the customer shall be required to
25-8
pay all fees in effect at the time the permanent
use is implemented.
F. Energy Charges for Pumping Water
In addition to water rates and other charges provided for
in this Section 25.03, customers shall be charged an energy
pumping charge based on the quantity of water used and the
elevation to which the water has been lifted to provide
service. The energy pumping charge shall be made at the
rate set forth in Appendix A, 25.03 F.
G. Additional Water Charge for Service in the North District
1. In addition to other applicable water rates and
charges provided for in this Section 25.03, each
customer receiving water service in the North District
shall pay a charge as set forth in Appendix A, 25.03
G.1. The North District area is defined in Section
0.02 of this Code.
2. All proceeds from charges collected pursuant to this
Section 25.03 G. shall be set aside by the District in
a separate account and shall be used solely for
payment of costs and borrowings for construction,
installation and maintenance of water storage
reservoirs, pump stations and water lines to provide
service in the North District.
H. Additional Water Charges and Monthly System Charges for
Service in the 10 9 Water Service Zone
1. In addition to other applicable water rates and
charges provided for in this Section 25.03, effective
May 1, 1986, each customer receiving water service in
the 10 9 Water Service Zone shall pay a charge set
forth in Appendix A, 25.03 H.1. The 10 9 Water
Service Zone area is defined in Section 0.02 of this
Code.
2. In addition to the monthly system charges provided
for, effective May 1, 1986, each customer receiving
water service in the 10 9 Water Service Zone shall pay
a monthly meter system charge as outlined in Appendix
A, 25.03 H.2. for each meter in service.
3. All proceeds from charges collected pursuant to this
Section 25.03 H. shall be set aside by the District in
a separate account and shall be used solely for pay
ment of costs and borrowing for construction,
installation and maintenance of water storage reser
voirs, pump stations and water lines to provide ser
vice in the 10 9 Water Service Zone.
25-9
I. Additional Water Charges for Services in the ID 3, ID 10
and La Presa Water Service Zones.
1. In addition to other applicable water rates and
charges provided for in this Section 25.03, effective
May 17, 1993, each customer receiving water service in
ID 3, ID 10 and La Presa Water Service Zones is
assessed an additional charge per H.C.F. of water
furnished by the District. Said surcharge is assessed
as set forth in Appendix A, 25.03 1.1. (a), (b), and
(c) .
2. All proceeds from charges collected pursuant to this
Section 25.03 I. shall be set aside by the District in
a separate account and shall be used solely for
payment of costs and borrowings for construction,
installation and maintenance of water storage,
reservoirs, pump stations and water lines to provide
service in the 1D 3, ID 10 and La Presa Water Service
Zones, respectively.
25.04 DEPOSITS BY LESSEES OR NON-OWNERS OF PROPERTY
When an application for water service is made by a customer
who does not own the land to be served, the customer shall
be required to make a cash deposit to assure payment of the
account. In lieu of a deposit, the customer may have
payment of water service bills guaranteed in writing by the
owner of the property. The amount of deposit, determined
by the size of meter is outlined in Appendix A, 25.04 A.
A. AMOUNT OF DEPOSIT
The customer's deposit shall be applied to reduce or
satisfy any delinquent payment or other amount due the
District at the time of termination of water service to
the customer. Any portion of the deposit remaining, after
satisfaction of the amount due, shall be refunded to the
customer that made the deposit.
The deposits listed above may be waived for a new resi
dential applicant where the applicant demonstrates credit
worthiness based upon prior utility payments or a non
delinquent water account for one year or other similar
evidence of credit.
25-10
•
B. REFUND OF DEPOSIT
Where funds have been on deposit for twelve months in a
domestic service account and there has been no more than
one delinquent payment on that account during that period,
the District will apply a credit to the water account in
the amount of the deposit.
C. LETTER OF CREDIT
A letter of credit, in a form approved by the General
Manager or Department Head of Finance, may be submitted to
the District to satisfy the deposit requirements.
25.05 SERVICE TO SUBSEQUENT CUSTOMERS
After a water meter has been installed for a customer and all
fees and charges have been paid, water service may be furnished
to a subsequent customer through the water meter installed
without payment of further charges, except for the set-up fee
for transferred accounts, payment of delinquent charges for the
applicant's service or other deposits that may be required by
this Code.
25-11
Exhibit 2
SECTION 28 CONNECTION FEES AND CHARGES FOR POTABLE OR RECLAIMED
WATER SERVICE
28.01 COLLECTION OF FEES AND CHARGES
A. Fees and Charges to be paid by the Customer.
The following fees and charges shall be paid by the
customer to connect to a District water system for potable
water or reclaimed water service; these are in addition to
the fees and charges in Section 9 and 25. Fees and charges
shall include, but not be limited to, District fees, San
Diego County Water Authority fees, applicable zone charge
and charges for work performed by District personnel on
behalf of the customer. These charges may include the
installation by District personnel of a water service
lateral, and inspections required due to the requirement of
a back flow device. These charges may also include a meter
fee, installation fee (where laterals exist), lateral fee,
meter box fee, and excavation permit fee.
B. Basis for Determination of Connection Fees and Charges.
The fees and charges shall be determined as follows:
For permanent water meters, including potable or
recycled irrigation service, the total water
connection fee shall be determined on the basis of the
demand to be placed on the District water system. The
extent of demand will be determined on the basis of
the size of the water meter, as set forth in Section
27 of the Code. For fire service, as outlined in
Section 38.03 of the Code, the size and fee would be
set based on water use requirements without additional
fire capacity. The water connection fee will be
determined by multiplying the demand factor for the
meter size, as set forth below, by the total of the
District-wide capacity fee and applicable zone charge.
Meter Size Demand Factor
3/4" 1
1 2-1/2
1-1/2" 5
2" 8
3" 16
4" 25
6" 50
8" 80
10" 115
28-1
1. The District-wide capacity fee and the applicable zone
charge shall constitute the "base rate." For fees or
charges after July 1, 2010, the base rate shall be
adjusted quarterly for fluctuations in construction
costs, as measured by the Engineering News Record
Construction Cost Index for the Los Angeles Region.
The ENR Construction Cost Index of 9777.19(as of July
1, 2009) shall be deemed the "base index." The
adjustment shall be in an amount equal to the percent
age change in the ENR Construction Cost Index from the
base index for the period from June 10, 2009 to the
date of payment. (See Appendix A, 28. 01 8.1. for
fees. )
2. The District-wide new water supply fee shall
constitute the "base rate." For fees or charges after
July 1, 2010, the base rate shall be adjusted
quarterly for fluctuations in construction costs, as
measured by the Engineering News Record Construction
Cost Index for the Los Angeles Region. The ENR
Construction Cost Index of 9777.19 (as of July 1,
2009) shall be deemed the "base index." The
adjustment shall be in an amount equal to the
percentage change in the ENR Construction Cost Index
from the base index for the period from June 10, 2009
to the date of payment. (See Appendix A, 28.01 8.2.
for fees.)
28.02 INSTALLATION CHARGES FOR WATER METER AND WATER SERVICE LATERALS
The determination of the water meter or service lateral
size shall be based upon the information provided by the
customer as detailed in Section 27 of the Code. The
installation charges are set forth in Appendix A, 28.02.
Where a water meter larger than 2-inch or a new water
lateral is required, a customized, written estimate of the
District's costs will be prepared.
The customer shall deposit the estimated costs with the
District prior to commencement of the work. If actual costs
incurred by the District are less than the amount deposited, the
District shall refund the excess to the customer. If the actual
costs incurred exceed the amount deposited, the customer shall
reimburse the District for the additional costs.
28-2
28.03 METER FEE REFUND
A. If a water meter/service has been paid for but not
installed, a customer may receive a refund of the
District's capacity fee and charges. If San Diego County
Water Authority capacity fees have been paid to San Diego
County Water Authority, the customer shall request a refund
from San Diego County Water Authority.
B. If the customer wants to change the meter/service size,
they will be credited with the number of equivalent
dwelling units they have previously purchased and will be
refunded any balance per Section 28.03 A, above. If
additional equivalent dwelling units are required, the
customer will be charged based on 28.01 and 28.02.
28-3
•
SECTION 38 SERVICE FOR FIRE PROTECTION SYSTEMS
38.01 SERVICE FOR COMMERCIAL OR INDUSTRIAL PURPOSES
The District will provide water service for fire pro
tection systems for commercial or industrial developments
within the District. Such service shall be available only
in accordance with the rules and regulations provided in
this Code.
38.02 RULES AND REGULATIONS FOR FIRE HYDRANT AND/OR
FIRE SPRINKLER SERVICE FOR COMMERCIAL OR
INDUSTRIAL PURPOSES ON PRIVATE PROPERTY
A. All fire hydrant and/or fire sprinkler service
mains installed for commercial or industrial pur
poses on privately-owned land shall be owned and
maintained by the land owner; except for fire
hydrants installed for developments where the
District has accepted an easement for such
service mains.
8. Where service is provided for fire hydrant or
fire sprinkler service on privately-owned land
under Paragraph A above, the service shall be
provided by the District at the property line of
the land to be served. The property owner or
developer shall be responsible to construct and
maintain the remainder of the facilities to pro
vide fire protection to the property. Each such
facilities installation shall include a reduced
pressure principle assembly backflow device
installed in accordance with District specifica
tions on the fire main on the customer side of
the property line.
C. Water furnished for fire hydrant or fire sprin
kler service shall be used only for fire protec
tion purposes. Water service for domestic, busi
ness, commercial or irrigation purposes shall be
furnished only after a meter or meters have been
installed on laterals connected to the District
main in the street pursuant to requirements of
this Code.
D. Upon application for installation of one or more
fire service connections to an existing District
water main, the customer shall pay such charges
as shall be determined on the basis of actual
costs incurred by the District in performing the
38-1
Exhibit 3
..
work. At the time of application for the instal
lation, the District will estimate the total
costs to be incurred in performing the work. The
customer shall deposit the estimated amount with
the District prior to commencement of the work.
The work shall be performed by the District under
a District Water/Sewer Order. If actual costs
incurred by the District are less than the amount
deposited, the District shall refund the balance
of the deposit to the customer. If the costs
incurred exceed the amount deposited, the cus
tomer shall reimburse the District for the addi
tional costs. Where the fire service connection
is to be made to a water main to be constructed
in a street by the owner or developer, the costs
for such connection shall be covered under the
standard developer's agreement with the District
for installation of the water facilities for the
development project.
E. Water for fire protect~on services shall be pro
vided in accordance with District fees and
charges set forth in Section 25.03.D of this
Code.
f. The District shall have no responsibility for the
proper function of the fire service system nor
for the availability of water from its mains for
fire protection in the event of emergency. While
the District undertakes at all times to have ade
quate supplies available in its system for ordi
nary uses, it is not a guarantor of continual
service in quantities adequate for all purposes
however, and each customer shall specifically
agree that as a condition of the fire service
connection contracted for that the District shall
incur no liability nor be subject to any damages
resulting from a failure or malfunctioning of the
fire sprinkler lateral or fire sprinkler system
or from a lack of water in adequate quantity or
pressure to make it fully effective.
38.03 SERVICES FOR RESIDENTIAL FIRE PROTECTIOtl
Wnen a residential water meter is reouired to
provide standby capacity for a fire sprinkler system,
the capacity charge may be determined according to the
size of the meter necessary La meet ~he water use
requirements for the property. This is determined
according to the rules of the member agency provid ng
38-2
-{ Formatted: Indent: Left: 0", Hanging: OS
the me er, without consideration of additional siz~
necessary to provide the standby capacity. Standby
capaci y to provide water for a fire sprinkler system
is required when (1) the fire sprinkler system is
required by law, including any requiremen imposed as
a condition of development, permit, or occupancy, and
(2) the fire chief, fire marshal, or building official
of the city, county, or special district responsible
for £ire protection service to the proper y has a
requirement for additional meter size due to £i e
protection. The determination, under this sectio ,
shall be made at the time the meter is firs obtained,
or at the time a meter is replaced with one of greater
size due to the later installation of a fire
protection system.
38-3
Attachment C
SECTION 25 CONDITIONS FOR WATER SERVICE
25.01 SERVICE AREA
Water service shall be furnished by the District only to
property within (annexed to) a water improvement district within
the District's service area. Water service to property located
outside an improvement district may be furnished only upon prior
approval of the Board of Directors. Temporary water service to
property located outside an improvement district may be
furnished, in accordance with Section 25.03 E.10., upon the
approval of the General Manager.
25.02 DEFINITION OF "H. C. F." AND "UNIT OF WATER"
As used in the Code the terms "H.C.F." and "unit of water" are
interchangeable and each shall mean 100 cubic feet or 748
gallons of water.
25.03 DEFINITIONS OF WATER SERVICE CATAGORIES, WATER RATES, CHARGES
AND FEES
Water service furnished by the District shall be under the
categories of services and at the rates, charges and fees as set
forth in Appendix A, Section 25.
Five-year Rate Increase Schedule -All District water rates,
charges and fees are subject to a five-year schedule of rate
increases beginning September 1, 2009 and periodically
thereafter through June 30, 2014. The increases under this
schedule shall be the amount sufficient to cover cost increases
related to operations and maintenance, but not to exceed 10% per
year.
Five-year Periodic Pass-through Rate Increases or Decreases from
District Wholesalers -All District water rates, charges and
fees are subject to periodic rate changes from the District's
public agency wholesalers for a five-year period beginning
September 1, 2009 through June 30, 2014.
A. Set-up Fees for Accounts. A set-up fee shall be charged
for each account transferred to another customer. See
Appendix A, 25.03 A. for charges. A deposit will be
required of all customers who do not own the property to be
served. See Appendix A, 25.04 A. for deposit amounts.
B. Monthly Fixed MWD & CWA Charges. Each potable water
service customer shall pay a monthly MWD and CWA fixed
charge, as set forth in Appendix A, 25.03 C. Proceeds of
the charge will be used to pay for operating and
maintenance costs, including the following: MWD Readiness
to-Serve Charge and Capacity Reservation Charge; CWA
Infrastructure Access Charge, Customer Service Charge, and
25-1
Emergency Storage Charge. The MWD & CWA charge is based on
the size of the water meter(s) in service with the
exception of upsizing the meter for fire protection, as
described in Section 38.03 of the Code. The MWD & CWA
charge shall start upon installation of the meter.
C. Monthly Fixed System Charges. Each water service customer
shall pay a monthly fixed system charge, as set forth in
Appendix A, 25.03 C. Proceeds of the charge will be used
to pay for water system replacement, maintenance, and
operation expenses. The system charge is based on the size
of the water meter(s) in service. The system charge shall
start upon installation of the meter
D. Water Conservation Drought Pricing. To promote
conservation, base tiered water rates for all water
services are subject to percentage increases during drought
stages, as shown in the table below:
Drought Stage Pricing
Stage 2 Stage 3 Stage 4
Tier 1* 0% 0% 0%
Tier 2 Up to 5% Up to 10% Up to 15%
Tier 3 Up to 30% Up to 60% Up to 90%
*Domestic residential water service has four tiered base
rates as outlined in Appendix A, 25.03 E.1. (b). Tier 1 of
the above table applies to the first two tiered base rates.
Tier 2 of the above table applies to the third tiered base
rate. Tier 3 of the above table applies to the fourth
tiered base rate.
E. Categories of Water Service. The definitions and rates and
charges for water service furnished by the District shall
be as follows:
1. DOMESTIC RESIDENTIAL WATER
(a) Defined as: Water service for single residential
and individually metered attached households as
well as other domestic uses (other than that
provided for in Paragraph 2 below).
(b) Base Rate: The tiered base rates of water
furnished under this category shall be set forth
in Appendix A, 25.03 E.1. (b).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
25-2
2. MULTIPLE RESIDENTIAL WATER
(a) Defined as: Master metered water service for
multiple residential households, for example,
duplexes, townhomes, apartments and mobile homes.
(b) Base Rate: The tiered base rates of water
furnished for each dwelling unit under each block
of service in this category shall be as set forth
in Appendix A, 25.03 E.2. (b).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
3. BUSINESS AND PUBLICLY-OWNED WATER
(a) Defined as: Potable water service for
commercial, industrial and publicly-owned
establishments.
(b) Base Rate: The tiered base rate for water
furnished under this category shall be determined
by meter size and usage block as set forth in
Appendix A, 25.03 E.3. (b).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
4. IRRIGATION AND COMMERCIAL AGRICULTURAL USING POTABLE
WATER
(a) Irrigation is potable water service provided
solely for irrigation of landscape or
landscaping, as defined in Section 0.02.
(b) Commercial agricultural engaged in the growing or
raising of live stock, in conformity with
recognized practices of husbandry, for the
purpose of commerce, trade or industry, or for
the use by public educational or correctional
institutions or agricultural horticultural or
floricultural products and produced,
(i) for human consumption or for the market,
or
(ii) for the feeding of fowl or livestock
produced for human consumption or for the
market, or
(iii) for feeding fowl or livestock for the
purpose of obtaining their products for
human consumption or for the market, such
25-3
products to be grown or raised on a
parcel of land having an area of not less
than one acre utilized exclusively
therefore.
(c) Base Rate: The tiered base rate for water
furnished under this category shall be determined
by meter size and usage block as set forth in
Appendix A, 25.03 E.4. (c).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
5. RECYCLED WATER
(a) Defined as: Non-potable and recycled water service
provided for irrigation of landscaping, as defined
in Section 0.02 A. of the Code, and certain non
irrigation purposes, other than domestic use, in
compliance with federal, state and local laws and
regulations regarding use of recycled water.
(b) The provisions of this Code, relating to use of
recycled water, set forth in Section 26 of the Code,
including but not limited to cross-connections and
backflow protective devices, shall be strictly
enforced in connection with the use of recycled
water.
(c) Base Rate: The tiered base rate for water
furnished under this category shall be determined
by meter size and usage block as set forth in
Appendix A, 25.03 E.5. (c).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(d) Monthly system charge: The monthly system charge
for recycled water service is set forth in
Appendix A, 25.03 C.
6. TEMPORARY AND CONSTRUCTION WATER SERVICE
(a) Defined as: Water service provided by the
District on a temporary basis, pursuant to
Section 31 of this Code.
(b) If capacity fees have not been paid by the
customer, the rates for water furnished under
this category is set forth in Appendix A, 25.03
E.6. (b) .
(c) If the customer has paid capacity and annexation
fees, the base rate for water furnished under
25-4
this category shall be the base rate charged
customers in the same category of service on a
permanent meter basis.
(d) The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(e) The applicable monthly system and MWD & CWA
charge shall be the same rates charged to
customers in the same category of service on a
permanent meter basis per Appendix A, 25.03 C.
7. WATER SERVICE UNDER SPECIAL AGREEMENTS
(a) Defined as: Water service provided under express
agreements approved by the Board of Directors for
service to golf courses and other entities, which
service may be curtailed or interrupted by the
District under conditions provided in such
agreements.
(b) For water service under this category the base
rate shall be determined on a case-by-case basis.
Unless otherwise specified in the particular
agreement, the tiered base rates for this
category of service are subject to the increased
drought pricing outlined in Section 25.03 D.
8. TANK TRUCKS
(a) Defined as: Water service provided for the
filling of tanks on motor vehicles transporting
water used for other than earth grading purposes,
which service shall be made only through a
portable meter issued by the District to a
customer specifically for use in accordance with
the provisions herein for such service.
(b) The rate for metered water furnished under this
category is reflected in Appendix A, 25.03 E.8.
(b), plus a monthly system charge at the rate set
forth in Appendix A, 25.03 C.
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(c) Requirements for Use of Water Meter
(1) To receive such service, the customer must
make a deposit for the use a water meter
furnished by the District. The fee is set
forth in Appendix A, 31.03 A.l.
25-5
(2) Upon termination of the service, the Dis
trict will refund the amount of deposit
remaining after making the following
deductions:
(i) Cost of repairing or replacing the
meter, fire hydrant and/or any fittings
damaged or lost while in use; and
(ii) Unpaid charges for water or other
applicable charges.
(3) Prior to the end of each six month period
following issuance of a meter under this
section, or at the request of the District,
whichever is earlier, the customer shall
return the meter to the District for
inspection, repair, or calibration as deemed
necessary by the District.
(4) Payment for water service under this cate
gory shall be made as follows:
(i) The bill shall be based on the amount
of water actually used, which shall be
determined by the District's reading of
the meter or by a report made by the
customer to the District in the manner
prescribed by the District.
(ii) Where the actual amount of water used
cannot be determined as provided in
(i), the District will issue a bill
based on a District estimate of the
amount of water used, as determined by
the District. Such estimates shall be
reconciled with actual amounts used
when the customer returns the meter to
the District as provided in paragraph 3
above.
(iii)Payments shall be made as specified on
the bill.
9. WATER SERVICE OUTSIDE DISTRICT
(a) Defined as: Water service for real property
outside the service area of the District.
(b) This service will be provided only upon prior
approval of the General Manager when there is a
surplus of water over and above the existing
needs for service in the District. This service
is temporary and may be terminated upon written
notice from the District. Customers for this
25-6
service are sometimes referred to as "outside
users."
(c) Customers applying for this category of service
shall pay an application fee as set forth in
Appendix A, 25.03 E.9. (c).
(d) The rate for metered water furnished under this
category shall be charged the rate as described
in Appendix A, 25.03 E.9. (d), plus a monthly
system charge at the rate set forth in Appendix
A, 25.03 C.
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(e) Customers requesting only fire service or a fire
hydrant under this category shall be charged a
capacity fee based on one (1) EDU for a permanent
meter in the improvement district from which the
fire service derives its flow, plus a monthly
system charge at the rate set forth in Appendix
A, 25.03 E.11.(c).
10. WATER SERVICE OUTSIDE AN IMPROVEMENT DISTRICT
(a) Defined as: Water service for property located
within the boundaries of the District, but not
within a water improvement district. Customers
for this service are sometimes referred to as
"outside users."
(b) Customers applying for this service shall pay an
application fee as set forth in Appendix A, 25.03
E.10. (b). The District will review the
application to determine whether the land to be
served should be annexed to an improvement
district. If it is determined that annexation is
not practical, the Board of Directors may
authorize service as an outside user. This
service will be reviewed periodically until it is
determined that the property must be annexed to
an improvement district or that service must be
terminated.
(c) The rate for metered water furnished under this
category is as set forth in Appendix A, 25.03
E.10. (c), plus a monthly system charge as set
forth in Appendix A, 25.03.C.
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
25-7
(d) Upon approval of the Board of Directors, a cus
tomer, who has paid all construction costs for
facilities necessary to serve the customer's
property in lieu of annexation to a water
improvement district, shall be exempt from the
provision for this category of service.
11. SERVICE FOR FIRE PROTECTION
(a) Defined as: Water service provided by the Dis
trict solely to feed fire hydrants or fire
sprinkler systems from lines or laterals con
nected to District water mains.
(b) The District will not make a charge for the
quantity of water used for fire protection
purposes.
(c) The monthly system charge for this category
of service is set forth in Appendix A, 25.03
E.ll. (c) for each connection to a District water
main made for fire protection service.
12. WATER SERVICE TO PROPERTY NOT SUBJECT TO DISTRICT
TAXES
(a) Pursuant to Section 71613 of the California Water
Code, the District may furnish water to property,
not subject to District taxes, at special rates,
terms and conditions as are determined by the
Board of Directors for such service. Such rates,
terms and conditions shall be uniformly applied
to like classes and conditions of service in the
same improvement district or geographical area.
(b) Customers in this category, such as publicly
owned establishments, shall pay an additional fee
as outlined in Appendix A, 25.03 E.12. (b).
13. INTERIM WATER SERVICE IN IMPROVEMENT DISTRICT 7
(a) Definition of Interim Service. This is water
Service furnished to a customer in Improvement
District 7 (10 7) for temporary use.
(b) Rates for Interim Service. Customers applying
for interim service in ID 7 shall not be required
to pay the ID 7 water capacity fee and San Diego
County Water Authority fee, as required under
Section 2801 of this Code. The water rate is set
forth in Appendix A, 25.03 E.13. (b).
(c) Conversion to Permanent Service. At such time as
use expires, the customer shall be required to
25-8
pay all fees in effect at the time the permanent
use is implemented.
F. Energy Charges for Pumping Water
In addition to water rates and other charges provided for
in this Section 25.03, customers shall be charged an energy
pumping charge based on the quantity of water used and the
elevation to which the water has been lifted to provide
service. The energy pumping charge shall be made at the
rate set forth in Appendix A, 25.03 F.
G. Additional Water Charge for Service in the North District
1. In addition to other applicable water rates and
charges provided for in this Section 25.03, each
customer receiving water service in the North District
shall pay a charge as set forth in Appendix A, 25.03
G.l. The North District area is defined in Section
0.02 of this Code.
2. All proceeds from charges collected pursuant to this
Section 25.03 G. shall be set aside by the District in
a separate account and shall be used solely for
payment of costs and borrowings for construction,
installation and maintenance of water storage
reservoirs, pump stations and water lines to provide
service in the North District.
H. Additional Water Charges and Monthly System Charges for
Service in the 10 9 Water Service Zone
1. In addition to other applicable water rates and
charges provided for in this Section 25.03, effective
May 1, 1986, each customer receiving water service in
the 10 9 Water Service Zone shall pay a charge set
forth in Appendix A, 25.03 H.l. The 10 9 Water
Service Zone area is defined in Section 0.02 of this
Code.
2. In addition to the monthly system charges provided
for, effective May 1, 1986, each customer receiving
water service in the 10 9 Water Service Zone shall pay
a monthly meter system charge as outlined in Appendix
A, 25.03 H.2. for each meter in service.
3. All proceeds from charges collected pursuant to this
Section 25.03 H. shall be set aside by the District in
a separate account and shall be used solely for pay
ment of costs and borrowing for construction,
installation and maintenance of water storage reser
voirs, pump stations and water lines to provide ser
vice in the 10 9 Water Service Zone.
25-9
I. Additional Water Charges for Services in the 10 3, 10 10
and La Presa Water Service Zones.
1. In addition to other applicable water rates and
charges provided for in this Section 25.03, effective
May 17, 1993, each customer receiving water service in
10 3, 10 10 and La Presa Water Service Zones is
assessed an additional charge per H.C.F. of water
furnished by the District. Said surcharge is assessed
as set forth in Appendix A, 25.03 1.1. (a), (b), and
(c) .
2. All proceeds from charges collected pursuant to this
Section 25.03 I. shall be set aside by the District in
a separate account and shall be used solely for
payment of costs and borrowings for construction,
installation and maintenance of water storage,
reservoirs, pump stations and water lines to provide
service in the 10 3, 10 10 and La Presa Water Service
Zones, respectively.
25.04 DEPOSITS BY LESSEES OR NON-OWNERS OF PROPERTY
When an application for water service is made by a customer
who does not own the land to be served, the customer shall
be required to make a cash deposit to assure payment of the
account. In lieu of a deposit, the customer may have
payment of water service bills guaranteed in writing by the
owner of the property. The amount of deposit, determined
by the size of meter is outlined in Appendix A, 25.04 A.
A. AMOUNT OF DEPOSIT
The customer's deposit shall be applied to reduce or
satisfy any delinquent payment or other amount due the
District at the time of termination of water service to
the customer. Any portion of the deposit remaining, after
satisfaction of the amount due, shall be refunded to the
customer that made the deposit.
The deposits listed above may be waived for a new resi
dential applicant where the applicant demonstrates credit
worthiness based upon prior utility payments or a non
delinquent water account for one year or other similar
evidence of credit.
25-10
B. REFUND OF DEPOSIT
Where funds have been on deposit for twelve months in a
domestic service account and there has been no more than
one delinquent payment on that account during that period,
the District will apply a credit to the water account in
the amount of the deposit.
C. LETTER OF CREDIT
A letter of credit, in a form approved by the General
Manager or Department Head of Finance, may be submitted to
the District to satisfy the deposit requirements.
25.05 SERVICE TO SUBSEQUENT CUSTOMERS
After a water meter has been installed for a customer and all
fees and charges have been paid, water service may be furnished
to a subsequent customer through the water meter installed
without payment of further charges, except for the set-up fee
for transferred accounts, payment of delinquent charges for the
applicant's service or other deposits that may be required by
this Code.
25-11
Attachment D
SECTION 28 CONNECTION FEES AND CHARGES FOR POTABLE OR RECLAIMED
WATER SERVICE
28.01 COLLECTION OF FEES AND CHARGES
A. Fees and Charges to be paid by the Customer.
The following fees and charges shall be paid by the
customer to connect to a District water system for potable
water or reclaimed water service; these are in addition to
the fees and charges in Section 9 and 25. Fees and charges
shall include, but not be limited to, District fees, San
Diego County Water Authority fees, applicable zone charge
and charges for work performed by District personnel on
behalf of the customer. These charges may include the
installation by District personnel of a water service
lateral, and inspections required due to the requirement of
a back flow device. These charges may also include a meter
fee, installation fee (where laterals exist), lateral fee,
meter box fee, and excavation permit fee.
B. Basis for Determination of Connection Fees and Charges.
The fees and charges shall be determined as follows:
For permanent water meters, including potable or
recycled irrigation service, the total water
connection fee shall be determined on the basis of the
demand to be placed on the District water system. The
extent of demand will be determined on the basis of
the size of the water meter, as set forth in Section
27 of the Code. For fire service, as outlined in
Section 38.03 of the Code, the size and fee would be
set based on water use requirements without additional
fire capacity. The water connection fee will be
determined by multiplying the demand factor for the
meter size, as set forth below, by the total of the
District-wide capacity fee and applicable zone charge.
Meter Size Demand Factor
3/4" 1
1 2-1/2
1-1/2" 5
2" 8
3" 16
4" 25
6" 50
8" 80
10" 115
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1. The District-wide capacity fee and the applicable zone
charge shall constitute the "base rate." For fees or
charges after July I, 2010, the base rate shall be
adjusted quarterly for fluctuations in construction
costs, as measured by the Engineering News Record
Construction Cost Index for the Los Angeles Region.
The ENR Construction Cost Index of 9777.19(as of July
I, 2009) shall be deemed the "base index." The
adjustment shall be in an amount equal to the percent
age change in the ENR Construction Cost Index from the
base index for the period from June 10, 2009 to the
date of payment. (See Appendix A, 28.01 B.1. for
fees. )
2. The District-wide new water supply fee shall
constitute the "base rate." For fees or charges after
July I, 2010, the base rate shall be adjusted
quarterly for fluctuations in construction costs, as
measured by the Engineering News Record Construction
Cost Index for the Los Angeles Region. The ENR
Construction Cost Index of 9777.19 (as of July I,
2009) shall be deemed the "base index." The
adjustment shall be in an amount equal to the
percentage change in the ENR Construction Cost Index
from the base index for the period from June 10, 2009
to the date of payment. (See Appendix A, 28.01 B.2.
for fees.)
28.02 INSTALLATION CHARGES FOR WATER METER AND WATER SERVICE LATERALS
The determination of the water meter or service lateral
size shall be based upon the information provided by the
customer as detailed in Section 27 of the Code. The
installation charges are set forth in Appendix A, 28.02.
Where a water meter larger than 2-inch or a new water
lateral is required, a customized, written estimate of the
District's costs will be prepared.
The customer shall deposit the estimated costs with the
District prior to commencement of the work. If actual costs
incurred by the District are less than the amount deposited, the
District shall refund the excess to the customer. If the actual
costs incurred exceed the amount deposited, the customer shall
reimburse the District for the additional costs.
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28.03 METER FEE REFUND
A. If a water meter/service has been paid for but not
installed, a customer may receive a refund of the
District's capacity fee and charges. If San Diego County
Water Authority capacity fees have been paid to San Diego
County Water Authority, the customer shall request a refund
from San Diego County Water Authority.
B. If the customer wants to change the meter/service size,
they will be credited with the number of equivalent
dwelling units they have previously purchased and will be
refunded any balance per Section 28.03 A, above. If
additional equivalent dwelling units are required, the
customer will be charged based on 28.01 and 28.02.
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Attachment E
SECTION 38 SERVICE FOR FIRE PROTECTION SYSTEMS
38.01 SERVICE FOR COMMERCIAL OR INDUSTRIAL PURPOSES
The District will provide water service for fire pro
tection systems for commercial or industrial developments
within the District. Such service shall be available only
in accordance with the rules and regulations provided in
this Code.
38.02 RULES AND REGULATIONS FOR FIRE HYDRANT AND/OR
FIRE SPRINKLER SERVICE FOR COMMERCIAL OR
INDUSTRIAL PURPOSES ON PRIVATE PROPERTY
A. All fire hydrant and/or fire sprinkler service
mains installed for commercial or industrial pur
poses on privately-owned land shall be owned and
maintained by the land owner; except for fire
hydrants installed for developments where the
District has accepted an easement for such
service mains.
B. Where service is provided for fire hydrant or
fire sprinkler service on privately-owned land
under Paragraph A above, the service shall be
provided by the District at the property line of
the land to be served. The property owner or
developer shall be responsible to construct and
maintain the remainder of the facilities to pro
vide fire protection to the property. Each such
facilities installation shall include a reduced
pressure principle assembly backflow device
installed in accordance with District specifica
tions on the fire main on the customer side of
the property line.
C. Water furnished for fire hydrant or fire sprin
kler service shall be used only for fire protec
tion purposes. Water service for domestic, busi
ness, commercial or irrigation purposes shall be
furnished only after a meter or meters have been
installed on laterals connected to the District
main in the street pursuant to requirements of
this Code.
D. Upon application for installation of one or more
fire service connections to an existing District
water main, the customer shall pay such charges
as shall be determined on the basis of actual
costs incurred by the District in performing the
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work. At the time of application for the instal
lation, the District will estimate the total
costs to be incurred in performing the work. The
customer shall deposit the estimated amount with
the District prior to commencement of the work.
The work shall be performed by the District under
a District Water/Sewer Order. If actual costs
incurred by the District are less than the amount
deposited, the District shall refund the balance
of the deposit to the customer. If the costs
incurred exceed the amount deposited, the cus
tomer shall reimburse the District for the addi
tional costs. Where the fire service connection
is to be made to a water main to be constructed
in a street by the owner or developer, the costs
for such connection shall be covered under the
standard developer's agreement with the District
for installation of the water facilities for the
development project.
E. Water for fire protection services shall be pro
vided in accordance with District fees and
charges set forth in Section 25.03.0 of this
Code.
F. The District shall have no responsibility for the
proper function of the fire service system nor
for the availability of water from its mains for
fire protection in the event of emergency. While
the District undertakes at all times to have ade
quate supplies available in its system for ordi
nary uses, it is not a guarantor of continual
service in quantities adequate for all purposes
however, and each customer shall specifically
agree that as a condition of the fire service
connection contracted for that the District shall
incur no liability nor be subject to any damages
resulting from a failure or malfunctioning of the
fire sprinkler lateral or fire sprinkler system
or from a lack of water in adequate quantity or
pressure to make it fully effective.
38.03 SERVICES FOR RESIDENTIAL FIRE PROTECTION
When a residential water meter is required to
provide standby capacity for a fire sprinkler system,
the capacity charge may be determined according to the
size of the meter necessary to meet the water use
requirements for the property. This is determined
according to the rules of the member agency providing
38-2
the meter, without consideration of additional size
necessary to provide the standby capacity. Standby
capacity to provide water for a fire sprinkler system
is required when (1) the fire sprinkler system is
required by law, including any requirement imposed as
a condition of development, permit, or occupancy, and
(2) the fire chief, fire marshal, or building official
of the city, county, or special district responsible
for fire protection service to the property has a
requirement for additional meter size due to fire
protection. The determination, under this section,
shall be made at the time the meter is first obtained,
or at the time a meter is replaced with one of greater
size due to the later installation of a fire
protection system.
38-3