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Home My WebLink About03-23-11 EO&WR Committee PacketOTAYWATER DISTRICT ENGINEERING,OPERATIONS &WATER RESOURCES COMMITTEE MEETING and SPECIAL MEETING OF THE BOARD OF DIRECTORS 2554 SWEETWATER SPRINGS BOULEVARD SPRING VALLEY,CALIFORNIA Board Room WEDNESDAY March 23,2011 4:00 P.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 JURIS- DICTION BUT NOT AN ITEM ON TODAY'S AGENDA DISCUSSION ITEMS 3.APPROVE AN AGREEMENT FOR PROFESSIONAL AS-NEEDED HYDRAULIC MODELING SERVICES WITH NARASIMHAN CONSULTING SERVICES,INC.IN AN AMOUNT NOT-TO-EXCEED $175,000 DURING FISCAL YEARS 2011,2012 AND 2013 (ENDING JUNE 30,2013)[KENNEDY][5 minutes] 4.APPROVE THE WATER ASSESSMENT REPORT DATED FEBRUARY 2011 FOR THE RABAGO TECHNOLOGY PARK PROJECT AS REQUIRED BY SENATE BILL 610 (KENNEDY)[10 minutes] 5.ADOPT RESOLUTION NO.4171 ANNEXING PROPERTY OWNED BY DAVID L.AND SUZANNE M.DUKE (APN:519-281-07-00)TO THE OTAY WATER DISTRICT'S IMPROVEMENT DISTRICT NO.18 (CHARLES)[5 minutes] 6.APPROVE A CONSTRUCTION CONTRACT TO SEPULVEDA CONSTRUCTION FOR THE 944-1 R PUMP STATION UPGRADE PROJECT IN AN AMOUNT NOT-TO- EXCEED $1,162,423 (KAY)[5 minutes] 7.APPROVE REVISIONS TO THE COOPERATIVE AGREEMENT FOR THE UNITED STATES BUREAU OF RECLAMATION TITLE XVI FUNDING FOR THE OTAY WATER DISTRICT RECYCLED WATER INFRASTRUCTURE PROGRAM (PEASLEY)[5 minutes] 8.APPROVE AMENDMENTS TO TWO (2)UTILITY AGREEMENTS (NOs.31755 AND 31926)WITH THE CALIFORNIA DEPARTMENT OF TRANSPORTATION (SILVERMAN) [5 minutes] 9.APPROVE A PROFESSIONAL SERVICES CONTRACT WITH TETRA TECH,INC.FOR THE DESIGN OF PHASE 2 OF THE RANCHO DEL REY WELL PROJECT IN AN AMOUNT NOT-TO-EXCEED $724,493.50 (SILVERMAN)[5 minutes] 10.APPROVE THE ISSUANCE OF A PURCHASE ORDER TO SLOAN ELECTROMECHANICAL SERVICE &SALES FOR THE PROCUREMENT OF FIVE (5) PUMPS,MOTORS AND DISCHARGE HEADS FOR THE 711-1 PUMP STATION IMPROVEMENT PROJECT IN AN AMOUNT NOT-TO-EXCEED $204,934.45 (CAMERON)[5 minutes] 11.FISCAL YEAR 2011 STRATEGIC PLAN AND PERFORMANCE MEASURES UPDATE REPORT (STEVENS)[10 minutes] 12.SAN DIEGO COUNTY WATER AUTHORITY UPDATE (WATTON)[10 minutes] 13.ADJOURNMENT BOARD MEMBERS ATTENDING: Jose Lopez,Chair Gary Croucher 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 District's website at www.otaywater.gov.Written changes to any items to be considered at the open meeting,or to any attachments,will be posted on the District's website.Copies of the Agenda and all attachments are also available through the District Secretary by contacting her at (619) 670-2280. If you have any disability that would require accommodation in order to enable you to participate in this meeting,please call the District Secretary at 670-2280 at least 24 hours prior to the meet- ing. Certification of Posting I certify that on March 18,2011 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 March 18,2011. 2 STAFF REPORT TYPE MEETING:Regular Board SUBMITTED BY:Bob Kennedy &\L.- Associate Civil Engineer AGENDA ITEM 3 MEETING April 6,2011 DATE: PROJECT/Various DIV.NO.ALL SUBPROJECT: APPROVED BY: (Chief) APPROVED BY: (Ass!.GM): SUBJECT: Ron Ripperger ~ Engineering Manager Rod Posada Q;L~o~ Chief,Engineering Manny Magana~~ Assistant General~anager,Engineering and Operations Award of As-Needed Hydraulic Modeling Engineering Services Contract for Fiscal Years 2011,2012,and 2013 GENERAL MANAGER'S RECOMMENDATION: That the Otay Water District (District)Board of Directors (Board) authorizes the General Manager to enter into an agreement for professional services for As-Needed Hydraulic Modeling Services with Narasimhan Consulting Services,Inc.(NCS)in an amount not-to- exceed $175,000 during Fiscal Years 2011,2012 and 2013 (ending June 3 0,2013). COMMITTEE ACTION: Please see Attachment A. PURPOSE: To obtain Board authorization for the award of a professional services contract for hydraulic modeling services on an as-needed basis with NCS.The contract amount is not-to-exceed $175,000 for Fiscal Years 2011, 2012,and 2013. ANALYSIS: The District will require the professional services of a hydraulic modeling consultant on an as-needed basis in support of the District's Fiscal Years 2011,2012,and 2013 Capital Improvement Program (CIP)projects,developer funded studies,Engineering planning studies,Information Technology studies.These services will also be used to integrate GIS updates into the existing model and support Operations in the field.The As-Needed Hydraulic Modeling Engineering Services contract will provide the District with the ability to obtain consulting services in a timely and efficient manner and on an as-needed basis. The District will require the expertise of a hydraulic modeling consultant to maintain the current hydraulic model developed with the Water Resource Master Plan completed last year.This will include integrating new facilities or GIS updates into the model and performing planning studies for the Engineering,Operations,and Information Technology departments.The consultant will perform fire flow calculations in support of new or existing developments and prepare developer funded studies. It is more efficient and cost effective to issue a contract on an as-needed basis.This concept has also been used in the past for other disciplines like civil engineering,geotechnical,electrical, and environmental services. The District will issue task orders to the consultant for specific projects during the contract period.The consultant will prepare a detailed scope of work,schedule,and cost estimate for each task order assigned under the contract.Upon written task order authorization from the District,the consultant shall then proceed with the project as described in the scope of work. The CIP projects that are estimated to require hydraulic modeling services for Fiscal Years 2011,2012,and 2013,at this time,are listed below: CIP DESCRIPTION ESTIMATED COST P2451 Otay Mesa Conveyance and Disinfection System $20,000 P2083 PS 870-2 Pump Station Replacement $15,000 P2502 803-1 Pump Station Modifications $10,000 P2503 850-2 Pump Station Modifications $10,000 P2511 North District-South District Interconnection $15,000 P2473 PS 711-1 Pump Station Improvements $10,000 R2091 Rec PS 944-1 Pump Station Upgrade $10,000 P2434 Rancho del Rey Groundwater Well Development $10,000 R2058 Rec PL Airway Road-Otay Mesa Road $10,000 R2077 Rec PL Alta Road $10,000 R2087 Rec PL Wueste Road $10,000 TOTAL:$130,000 The hydraulic modeling services scopes for the above projects are estimated from preliminary information and past projects. 2 Therefore,staff believes that a $175,000 cap on the As-Needed Hydraulic Modeling Services contract is adequate,while still providing a buffer. The contract is not-to-exceed $175,000 for all task orders.Fees for professional services will be charged to the CIP projects or to the Fiscal Year Operations budget. This As-Needed Hydraulic Modeling Engineering Services contract does not commit the District to any expenditure until a task order is approved to perform work.The District does not guarantee work to the consultant,nor does the District guarantee to the consultant that it will expend all of the funds authorized by the contract on professional services. The District solicited hydraulic modeling engineering services by placing an advertisement on the District website,San Diego Union Tribune,and the San Diego Daily Transcript.Sixteen (16)firms submitted a letter of interest and a statement of qualifications. The Request for Proposal (RFP)for As-Needed Hydraulic Modeling Services was sent to all sixteen (16)firms resulting in five (5) proposals received on February 11,2011.They are as follows: •Stetson Engineers,Inc. •Aegis Engineering Management •Narasimhan Consulting Services,Inc. •PBS&J",an Atkins Company •IDModel ing The nine (9)firms that chose not to propose are Lee &Ro,Inc., J.C.Heden and Associates,Inc.,DHI Water &Environment,Inc., Proteus Consulting,CVALDO Corporation,Poggemeyer Design Group, Ludwig Engineering,RBF Consulting,and Marrs Services,Inc.Two other firms,Psomas and Northwest Hydraulic Consultants joined with IDModeling as sub-consultants. In accordance with the District's Policy 21,staff evaluated and scored all written proposals.NCS received the highest score for their services based on their experience,understanding of the scope of work,proposed method to accomplish the work,and their composite hourly rate.NCS was the most qualified consultant with the best overall proposal.The District has not worked with NCS on any project,but they are a highly rated company and are readily available to provide the services required.A summary of the complete evaluation is shown in Attachments B. 3 FISCAL IMPACT: The funds for this contract will be expended from various CIP project budgets and the Operating budget.The fees for professional services requested herein are available in the authorized CIP project budgets and in the Fiscal Year 2011 Operating budget.This contract is for professional services based on the District's need and schedule,and expenditures will not be made until a task order is approved by the District for the consultant's professional services on a specific project. The Project Manager anticipates that the Fiscal Years 2012 and 2013 budgets will be sufficient to support the professional services required in addition to the CIP project budgets for the specific CIP projects. Finance has determined that funding is available from the Operating budget and the various CIP project budgets listed above. STRATEGIC GOAL: This project supports the District's Mission statement,"To provide the best quality of water and wastewater service to the customers of the Otay Water District,in a professional,effective,and efficient manner,lI and the District's Strategic Goal,in planning for infrastructure and supply to meet current and future potable water demands. LEGAL IMPACT: None. P:\WORKING\As Needed Services\Hydraulic Modeling\Fiscal Year 11-13\Staff Report\BD 04-06-11,As-Needed Hydraulic Modeling Services (BK-RR).doc BK/RR/RP:jf Attachments:Attachment A Attachment B 4 <::IIR I .~JECT Various ATTACHMENT A Award of As Needed Hydraulic Modeling Engineering Services Contract for Fiscal Years 2011,2012,and 2013 COMMITTEE ACTION: The Engineering,Operations,and Water Resources Committee reviewed this item at a meeting held on March 23,2011.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 SUMMARY OF PROPOSAL RANKINGS As-Needed Hydraulic Modeling WRITTEN Understandingof Soundness and INDIVIDUAl AVERAGE Consultant's REFERENCESQualificationsofVIabilityof Staff Scope.Schedule Proposed Project SUBTOTAl·SUBTOTAL·ProposedRates·Commitment to TOTAL SCORE and Resources Plan WRITTEN WRITTEN DBE MAXIMUM POINTS 30 25 30 85 85 15 YIN 100 Poor/GoodJ Excellent David ChDfIBS 24 21 24 69 RagerHoily 21 17 20 58StetsonMingZh803028 68 3 y 71Engineers.Inc.23 61 DanielKay 25 18 21 64 KevinCameron 25 19 23 67 DavidChar/os 24 23 24 71 Aegis RogerHo/ly 20 17 16 55 Engineering MingZhao 20 20 22 62 65 12 y 77 Management Danio/Kay 23 21 25 69 KevinCameron 24 20 22 66 DavidCharles 25 24 27 76 RogsrHofly 27 20 21 68 NCS Engineers MingZhao 25 25 26 76 75 15 y 90 Good Daniel Kay 24 22 27 73 Kevin Cameron 29 24 26 81 David Charles 26 23 25 74 RogerHofly 29 24 29 82PBS&J.an MingZhao 25 25 28 78 77 11 y 88AtkinsCompanyDanif"Kay 25 23 27 75 Kevin Cameron 26 23 27 76 David Char/9s 26 24 27 77 RogerHolly 27 19 21 87 IDModeling MingZhao 28 20 25 73 75 1 y 76 DanielKay 25 23 26 74 Kevin Cameron 30 23 29 62 ReVIew Paneldoesnot seeor consider rateswhenSCOring othercategories.Rates arescored by thePM.whoIS not on ReviewPanel. RATES SCORING CHART Consultant Proposed Rates Position Seo,e NCS Engineers $442 lowest 15 Aegis Engineering $480 12 PBS&J $~03 11 Stetson Engineers $610 3 IDModeling $645 highest 1 The fees were evaluated bycomparing rates for four positions.These positions include Principal.Project Manager.HydraUlic Modeling.and GIS technician.The sum ofthese four rates are notedon the table above. Quality Assurance Approval Sheet Subject:Award of As-Needed Hydraulic Modeling Engineering Services Contract for Fiscal Years 2011,2012,and 2013 Project No.:Various Document Description:Staff Report for April 6,2011 Board Meeting Author: QA Reviewer: Manager: Signature Bob Kennedy Printed Name Gary Silverman Printed Name Ron Ripperger Printed Name Date Date Date The above signatures attest that the attached document has been reviewed and to the best of their ability the signers verify that it meets the District quality standard by clearly and concisely conveying the intended information;being grammatically correct and free of formatting and typographical errors;accurately presenting calculated values and numerical references;and being internally consistent,legible and uniform in its presentation style. AGENDA ITEM 4 STAFF REPORT MEETING DATE:April 6,2011TYPEMEETING:Regular Board SUBMITIED BY:Bob Kennedy l?'t- Associate Civil Engineer Ron Ripperger ~ Engineering Manager W.O.lG.F.No.:00833-DIV.NO.2 090093 APPROVED BY: (Chief) APPROVED BY: (Asst.GM) SUBJECT: Rod posada~ Chief,Engineering Manny Maga~~E- Assistant General M nager,Engineering and Operations Approval of Water pply Assessment Report (February 2011) for the Rabago Technology Park GENERAL MANAGER'S RECOMMENDATION: That the Otay Water District (Distr'ct)Board of Directors (Board)approve the Water Supply Assessment Report (WSA Report) dated February 2011 for the Rabago Technology Park (Rabago) 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 February 2011 WSA Report for the Rabago Project,as required by Senate Bill 610 (SB 610). ANALYSIS: SB 610 requires a city or county 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 of San Diego (County)submitted a request for a WSA to the District pursuant to SB 610.SB 610 requires that,upon request of the city or county,a water purveyor,such as the District,prepare a water supply assessment to be included in the CEQA documentation. The requirements of SB 610 are addressed by the WSA Report for the Rabago 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 Band the Rabago Project WSA Report is attached as Exhibit C. For the Rabago Project,the County is the responsible land use agency that requested the SB 610 water supply assessment from the District,as the water purveyor for the proposed Rabago Technology Park Project.The request for the WSA Report,in compliance with SB 610 requirements,was made by the County because the Rabago 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 Rabago Project development plan proposes the development of 19 industrial business park lots on 71.1 acres. The District,as the proposed water purveyor for the Rabago Project,does not have to comply with the requirements of Senate Bill 221 (SB 221)because the Project is an industrial subdivision 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 (Metropolitan).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 2 supply conditions and in single and multiple dry years to meet the projected demand of the Rabago Project and other planned development projects within the District. The expected demand for the Rabago Project is 67.5 acre-feet per year.This is consistent with the estimated demands in the District's 2009 Water Resources Master Plan Updated November 2010 (WRMP).The projected recycled water demand for the Rabago Project is 8.7 acre-feet per year,representing about 11 percent of the total water demand. Metropolitan'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.Metropolitan'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,Metropolitan 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 WSA request letter dated December 22,2010 was received by the District January 10,2011. At the request of the District,the County of San Diego modified 3 the SB Compliance Request letter February 8,2010 to focus the request for the Rabago Technology Park to comply with S8 610. 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 S8 610 water supply assessment responsibilities are complete. S8 610 provides that if the SB 610 water supply assessment is not received by the lead agency from the water supplier within the prescribed 90 day period,and any requested time extension, the lead agency may seek legal relief,such as writ of mandamus. The County's request letter dated December 22,2010 was received by the District January 10,2011 so the 90 day deadline for the District to provide the WSA Report to the County is April 9, 2011. 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,Metropolitan,and the District nevertheless fully intend to have sufficient,reliable supplies to serve the Rabago Project. FISCAL IMPACT: ~ The District has been reimbursed $8,000 for all costs associated with the preparation of the Rabago Project WSA Report.The reimbursement was accomplished via an $8,000 deposit the Project proponents placed with the District on February 2,2011. 4 STRATEGIC GOAL: The preparation and approval of the Rabago Project WSA Report supports the District's Mission statement,liTo 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 Rabago Project in form and content satisfactory to the Board of Directors would allow the District to comply with the requirements of Senate Bill 610. P,\WORKING\WO D0833-Rabago Tech park\StafE Report\BD 04-06 11,Staff Report,Rabago Tech Park WSA IBK-RR).doc BK/RR:jf Attachments:Attachment A -Committee Actions Exhibit A - Exhibit B Exhibit C Exhibit D Project Location Map Explanation of the Intent of SB 610 Rabago Technology Park WSA Report Presentation 5 D0833-090093 CliO I 'J::CT: ATTACHMENT A Approval of Water Supply Assessment Report (February 2011) for the Rabago Technology Park COMMITTEE ACTION: The Engineering,Operations,and Water Resources Committee reviewed this item at a meeting held on March 23,2011.The Committee supported Staff's recommendation. NOTE: The IICommittee Actionll 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. D0833-090093 sr I ,-_D:'R~I~V~E,--_....I~ 18 i2zw OTAY WATER DISTRICT RABAGO TECHNOLOGY PARK LOCATION MAP LONE STAR ROAD--~--0 0:S~EET'B'\/«>9 wwoJL~lu >:).i2°1 0:w 10all00:I~Iii I !iwDAVID00: _J 1 '"...,....... o~----I ~~i .H,~ !ci:L...__.L...~~~:--...... EXHIBIT A EXHIBIT B Background Information The Otay Water District (District)prepared the February 2011 Water Supply Assessment Report (WSA Report)for the Rabago Technology Park Project (Rabago Project)development proposal at the request of the County of San Diego (County). The County's WSA request letter dated December 22,2010 was received by the District on January 10,2011 so the 90 day deadline for the District to provide the Board approved WSA Report to the County ends April 9,2011.The Rabago Investment Group LLC,A California Limited Liability Company submitted an entitlement application to the County for the development of the Rabago Project. The Rabago 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 (Metropolitan).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 Metropolitan. The February 2011 WSA Report for the Rabago 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 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 addressed in the February 2011 WSA Report for the Rabago Project. The Rabago Investment Group,LLC proposes the development of 19 industrial business park lots on 71.1 acres. The expected demands for the Rabago Project is 60,290 gallons per day (gpd)or about 67.5 acre feet per year (ac-ft/yr).This is consistent with the estimated demands in the District's Water Resource Master Plan Updated November 2010 (WRMP).The projected recycled water demand for the proposed Rabago Project is approximately 7,740 gpd pr 8.7 ac-ft/yr,representing about 11 %of the total Rabago Project water demand. The District currently depends on the Water Authority and the Metropolitan for all of its potable water supplies and regional water resource planning. The District's 2005 Urban Water Management Plan (UWMP)relies heavily on the UWMP's and Integrated Water Resources Plans (IRPs)of the Water Authority and Metropolitan for documentation of supplies available to meet projected demands. These plans are developed to manage the uncertainties and variability of multiple supply sources and demands over the long-term through preferred water resources strategy adoption and resource development target approvals for implementation. The new uncertainties that are significantly affecting California's water resources include: •The recent 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 deliveries. Actual supply curtailments for Metropolitan are contingent upon fish distribution,behavioral patterns,weather,Delta flow conditions,and how water supply reductions are divided between state and federal projects. •Extended drought conditions. These uncertainties have rightly caused concern among Southern California water supply agencies regarding the validity of the current water supply documentation. Metropolitan's October 9,2007 IRP Implementation Report acknowledges that significant challenges in some resource areas will likely require changes in strategies and implementation approaches in order to reach long-term IRP water supply targets. Significant progress in program implementation is being realized in most resource areas.However,a further examination of the uncertainty of State Water Project supplies,among other uncertainties,will be required to assess the ability of achieving the long-term IRP targets. Metropolitan is currently involved in several proceedings concerning Delta operations to evaluate and address environmental concerns.In addition,at the State level,the Delta Vision and Bay-Delta Conservation Plan processes are defining long-term solutions for the Delta.Metropolitan is actively engaged in these processes and in October 2010,approved the update of their IRP.An approved implementation strategy update may not be forthcoming for a year or more. The State Water Project (SWP)represents approximately 9%of Metropolitan's 2025 Dry Resources Mix with the supply buffer included.A 22%cutback in SWP supply represents an overall 2%(22%of 9%is 2%)cutback in Metropolitan supplies in 2025.Neither the Water Authority nor Metropolitan has stated that there is insufficient water for future planning in Southern California.Each agency is in the process of reassessing and reallocating their water resources. Under preferential rights,Metropolitan can allocate water without regard to historic water purchases or dependence on Metropolitan.Therefore,the Water Authority and its member agencies are taking measures to reduce dependence on Metropolitan 2 through development of additional supplies and a water supply portfolio that would not be jeopardized by a preferential rights allocation. As calculated by Metropolitan,the Water Authority's current preferential right is 17.22%of Metropolitan's supply,while the Water Authority accounted for approximately 25%of Metropolitan's total revenue.So Metropolitan could theoretically take a 7.8%cut out of the Water Authority's supply and theoretically,the Water Authority should have alternative water supply sources to make up for the difference. In the Water Authority's 2005 UWMP,they had already planned to reduce reliance on Metropolitan supplies to 372,922 acre-feet per year by 2030,which is a 28% reduction from the Fiscal Year 2005 Water Authority purchase from Metropolitan. This reduction is planned to be achieved through diversification of their water supply portfolio. The Water Authority's Drought Management Plan (May 2006)provides the Water Authority and its member agencies with a series of potential actions to engage when faced with a shortage of imported water supplies due to prolonged drought conditions.Such actions help avoid or minimize impacts of shortages and ensure an equitable allocation of supplies throughout the San Diego County region. The District Board of Directors should 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 (Le.,the Water Authority and Metropolitan),along with the District,fully intend to maintain sufficient reliable supplies through the 20-year planning horizon under normal,single, and multiple dry year conditions to meet projected demand of the Rabago Project, along with existing and other planned development projects within the District's service area. If the regional water suppliers determine additional water supplies will be required,or in this case,that water supply portfolios need to be reassessed and redistributed with the intent to serve the existing and future water needs throughout Southern California,the agencies must indicate the status or stage of development of actions identified in the plans they provide.Metropolitan's 2010 IRP update will then cause the Water Authority to update its IRP and UWMP,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 Rabago Project WSA Report does not in any way guarantee water supply to the Rabago Project. 3 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 Rabago Project WSA Report,the Project proponents can proceed with the draft environmental documentation required for the CEQA review process.The water supply issues will be addressed in these environmental documents,consistent with the WSA 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 Rabago 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 (Metropolitan and Water Authority). •The 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 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 Pio Pico Power Plant on 4 Alta Road within the County of San Diego may also require a WSA for the temporary use of potable water to serve the power plant. Water supplies necessary to serve the demands of the proposed Rabago 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 Metropolitan. 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 Rabago 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 Rabago Project and the existing and other planned development projects within the District. Accordingly,after approval of a WSA Report for the Rabago 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 Rabago Project as a water supply assessment report consistent with the requirements of the legislation enacted by SB 610.The County,as lead agency under the CEQA for the Rabago 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 Rabago Project. 5 EXHIBIT C OTAY WATER DISTRICT WATER SUPPLY ASSESSMENT REPORT for the Rabago Technology Park Prepared by: Bob Kennedy,P.E. Associate Civil Engineer Otay Water District in consultation with Dexter Wilson Engineering,Inc. and San Diego County Water Authority February 2011 Otay Water District Water Supply Assessment Report Rabago Technology Park Otay Water District Water Supply Assessment Report February 2011 Rabago Technology Park Table of Contents Executive Summary 1 Section 1 -Purpose 5 Section 2 -Findings 6 Section 3 -Project Description 8 Section 4-Otay Water District 9 Section 5-Historical and Projected Water Demands 11 5.1 Demand Management (Water Conservation)16 Section 6 -Existing and Projected Supplies 18 6.1 Metropolitan Water District of Southern California 2005 Regional Urban Water Management Plan 19 6.2 San Diego County Water Authority Regional Water Supplies 21 6.2.1 Availability of Sufficient Supplies and Plans for Acquiring Additional Supplies 22 6.3 Otay Water District 33 6.3.1 Availability ofSufficient Supplies and Plans for Acquiring Additional Supplies 34 Section 7 -Conclusion:Availability ofSufficient Supplies .49 Source Documents 55 Appendices Appendix A:Rabago Technology Park Vicinity Map Appendix B:Rabago Technology Park Development Plan Otay Water District Water Supply Assessment Report Rabago Technology Park Otay Water District Water Supply Assessment Report February 2011 Rabago Technology Park Executive Summary The Otay Water District (WD)prepared this Water Supply Assessment Report (WSA Report) at the request ofthe County ofSan Diego (County)for the Rabago Technology Park (Rabago) Project.Rabago Investment Group LLC,a California Limited Liability Company submitted an entitlement application to the County for the development ofthe Rabago Project. The Rabago Project is located within the jurisdictions ofthe Otay WD,the San Diego County Water Authority (Water Authority),and the Metropolitan Water District of Southern California (Metropolitan).To obtain permanent imported water supply service,land areas are required to be within the jurisdictions ofthe Otay WD,Water Authority,and Metropolitan.. The Rabago Project development plan proposes the development of 19 industrial business park lots on 71.1 acres.The development plan is consistent with the East Otay Mesa Specific Plan. The expected demands for the Rabago Project is 60,290 gallons per day (gpd)or about 67.5 acre feet per year (ac-ft/yr).This is consistent with the estimated demands in the District's Water Resource Master Plan Updated November 2010 (WRMP).The projected recycled water demand for the proposed Rabago Project is approximately 7,740 gpd or 8.7 ac-ft/yr, representing about 11 %ofthe total Rabago Project water demand. The Rabago Project development proponents are required to use recycled water for irrigation and other potential purposes.The primary benefit ofusing recycled water is that it will offset the potable water demand by an estimated 8.7 ac-ft/yr.The WRMP and 2005 Urban Water Management Plan (UWMP)anticipated that the Rabago Project site would use both potable and recycled water. Planned Imported Water Supplies from the Water Authority and Metropolitan The Water Authority and Metropolitan have an established process that ensures supplies are being planned to meet future growth.Any annexations and revisions to established land use 1 Otay Water District Water Supply Assessment Report Rabago Technology Park plans are captured in the San Diego Association ofGovernments (SANDAG)updated forecasts for land use planning,demographics,and economic projections.SANDAG serves as the regional,intergovernmental planning agency that develops and provides forecast information.The Water Authority and Metropolitan update their demand forecasts and supply needs based on the most recent SANDAG forecast approximately every five years to coincide with preparation oftheir Urban Water Management Plans (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 Otay WD,Water Authority,or Metropolitan jurisdictions (i.e.pending or proposed annexations)or that have revised land use plans with either lower or higher development intensities than reflected in the existing growth forecasts.Proposed land areas with pending or proposed annexations,or revised land use plans,typically result in creating higher demand and supply requirements than previously anticipated.The Otay WD,Water Authority,and Metropolitan next demand forecast and supply requirements and associated planning documents would then capture any increase or decrease in demands and required supplies as a result ofannexations or revised land use planning decisions. 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 ofthe 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 ofcompliance 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. The Water Authority has started their update to their 2005 UWMP however a new legislative mandate,SBX 7-7 (2009)requires retail agencies to report their target for a 20 percent reduction in urban per capita use by December 31,2020.To address the new per capita water use reduction measures,the bill grants a 6-month extension to urban retail water suppliers to submit their approved UWMP to the California Department ofWater Resources (DWR)by July 1,2011. The District's WRMP updated November,2010 includes the 67.5 acre-foot per year demand estimate in the District's demand projections that was forwarded to the Water Authority for inclusion in their UWMP update.The Series 12 update was also used by Metropolitan for their demand projections for their 2010 Integrated Resource Plan (IRP)Update. Metropolitan's IRP identifies a mix ofresources (imported and local)that,when implemented,will provide 100 percent reliability for full-service demands through the attainment ofregional targets set for conservation,local supplies,State Water Project supplies,Colorado River supplies,groundwater banking,and water transfers.The 2004 update to the IRP (2004 IRP Update)includes a planning buffer supply intended to mitigate 2 Otay Water District Water Supply Assessment Report Rabago Technology Park against the risks associated with implementation oflocal and imported supply programs and for the risk that future demands could be higher than projected.The planning buffer identifies an additional increment ofwater that could potentially be developed when needed and if other supplies are not fully implemented as planned.As part ofimplementation ofthe planning buffer,Metropolitan 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. 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 Metropolitan,along with Otay WD nevertheless fully intend to have sufficient,reliable supplies to serve demands. In Section IIA oftheir 2005 Regional Urban Water Management Plan (RUWMP), Metropolitan states that through effective management ofits water supply,they fully expect to be 100 percent reliable in meeting all non-discounted non-interruptible demands throughout the next twenty-five years.Metropolitan's 2005 RUWMP identifies potential reserve supplies in the supply capability analysis (Tables II-7,II-8,and II-9),which could be available to meet the anticipated demands such as those related to the Rabago Project. The County Water Authority Act,Section 5 subdivision 11,states that the Water Authority "as far as practicable,shall provide each ofits member agencies with adequate supplies of water to meet their expanding and increasing needs." As part ofpreparation ofa written water supply assessment report,an agency's shortage contingency analysis should be considered in determining sufficiency ofsupply.Section 9 of the Water Authority's 2005 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 ofwater supplies.The DMP,completed in May 2006,provides the Water Authority and its member agencies with a series ofpotential actions to take when faced with a shortage ofimported water supplies from Metropolitan due to prolonged drought or other supply shortfall conditions.The actions will help the region avoid or minimize the impacts ofshortages and ensure an equitable allocation ofsupplies. 3 Otay Water District Water Supply Assessment Report Rabago Technology Park Otay WD Water Supply Development Program In evaluating the availability ofsufficient water supply,the Rabago Project development proponents will be required to participate in the water supply development program being implemented by the Otay WD.This is intended to be achieved through financial participation in several local and/or regional water supply development projects envisioned by the Otay WD.These water supply projects are in addition to those identified as sustainable supplies in the current Water Authority and Metropolitan UWMP,IRP,Master Plans,and other planning documents.These new water supply projects are in response to the regional water supply issues.These new additional water supply projects are not currently developed and are in various stages ofthe planning process.Imported water supplies along with the Otay WD water supply development projects supplies are planned to be developed and are intended to increase water supplies to serve the Rabago Project water supply needs and that ofother similar situated development projects.The Otay WD water supply development program includes but is not limited to projects such as the Middle Sweetwater River Basin Groundwater Well project,the North District Recycled Water Supply Concept,the Rosarito Ocean Desalination Facility project,and the Rancho del Rey Groundwater Well project.The Water Authority and Metropolitan's next forecasts and supply planning documents would capture any increase in water supplies resulting from any new water resources developed by the OtayWD. Findings This WSA Report for the Rabago Project has been prepared by the Otay WD 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 ofthe public water system prepare a water supply assessment to be included in the California Environmental Quality Act (CEQA)environmental documentation and approval process ofcertain proposed projects.The County requested that Otay WD prepare a water supply assessment as per the requirements ofSB 610.The requirements of SB 610 are being addressed by this WSA Report. The Rabago Project development concept exceeds the thresholds contained in the legislation enacted by SB 610 and therefore requires preparation of a WSA report.The Rabago Project is considered as an industrial development and is not a residential subdivision project ofmore than 500 units and hence it is not subject to the requirements of Senate Bill 221 for preparation ofa Water Supply Verification Report. The WSA Report identifies and describes the processes by which water demand projections for the proposed Rabago Project will be fully included in the water demand and supply forecasts ofthe Urban Water Management Plans and other water resources planning 4 Otay Water District Water Supply Assessment Report Rabago Technology Park documents ofthe Water Authority and Metropolitan.Water supplies necessary to serve the demands ofthe proposed Rabago 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 Rabago Project WSA Report and will be included in the future water supply planning documents ofthe Water Authority and Metropolitan. This WSA Report includes,among other information,an identification ofexisting water supply entitlements,water rights,water service contracts,water supply projects,or agreements relevant to the identified water supply needs for the proposed Rabago 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 ofthe proposed Rabago Project and the existing and other planned development projects to be served by the Otay WD. Accordingly,after approval of a WSA Report for the Rabago Project by the Otay WD Board ofDirectors (Board),the WSA Report may be used to comply with the requirements ofthe legislation enacted by Senate Bill 610 as follows: Senate Bill 610 Water Supply Assessment:The Otay WD Board approved Rabago ProjectWSA Report may be incorporated into the California Environmental Quality Act (CEQA)compliance process for the Rabago Project as a water supply assessment report consistent with the requirements ofthe legislation enacted by SB 610.The County,as lead agency under CEQA for the Rabago 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 Rabago Project. Section 1 -Purpose Rabago Technology Park,LLC submitted an entitlement application to the County of San Diego (County)for the development ofthe Rabago Technology Park (Rabago)Project.The County requested that the Otay Water District (WD)prepare a Water Supply Assessment (WSA)Report for the Rabago Project.The Rabago Project description is provided in Section 3 ofthis WSA Report. This WSA Report for the Rabago Project has been prepared by the Otay WD in consultation with Dexter Wilson Engineering,Inc.,the San Diego County Water Authority (Water Authority),and the County pursuant to Public Resources Code Section 21151.9 and California Water Code Sections 10631,10656,10910,10911,10912,and 10915 referred to as Senate Bill (SB)610.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 ofthe public water system prepare a water supply assessment to be included in the California 5 Otay Water District Water Supply Assessment Report Rabago Technology Park Environmental Quality Act (CEQA)environmental documentation and approval process of certain proposed projects.The requirements ofSB 610 are being addressed by this WSA Report. The Rabago Project development concept exceeds the thresholds contained in the legislation enacted by SB 610 and therefore requires preparation ofa WSA report.The Rabago Project is considered as an industrial development and is not a residential subdivision project ofmore than 500 units and hence it is not subject to the requirements of Senate Bill 221 for preparation ofa Water Supply Verification Report. This WSA Report evaluates water supplies that are planned to be available during nonnal, single dry year,and multiple dry water years during a 20-year planning horizon to meet existing demands,expected demands ofthe Rabago Project,and reasonably foreseeable planned future water demands to be served by Otay WD.The Otay WD Board ofDirectors approved WSA Report is planned to be used by the County in its evaluation ofthe Rabago Project under the CEQA approval process procedures. Section 2 -Findings The Otay WD prepared this WSA Report at the request ofthe County for the Rabago Project. Rabago Technology Park,LLC submitted an entitlement application to the County for the development ofthe Rabago Project. The Rabago Project is located within the jurisdictions ofthe Otay WD,the Water Authority, and the Metropolitan Water District of Southern California (Metropolitan).To obtain pennanent imported water supply service,land areas are required to be within the jurisdictions ofthe Otay WD,Water Authority,and Metropolitan to utilize imported water supply. The expected demand for the Rabago Project is 60,290 gallons per day (gpd)or about 67.5 acre feet per year (ac-ft/yr).This is unchanged from the demand estimate in the District's WRMP.The projected recycled water demand for the proposed Rabago Project is approximately 7,740 gpd or 8.7 ac-ft/yr,representing about 11 %ofthe total Rabago Project water demand. The Rabago Project development proponents are required to use recycled water for irrigation and appropriate uses.The primary benefit ofusing recycled water is that it will offset the potable water demands by an estimated 8.7 ac-ft/yr.The Otay WD WRMP and 2005 Urban Water Management Plan (UWMP)anticipated that the land area to be utilized for the Rabago Project would use both potable and recycled water. 6 Otay Water District Water Supply Assessment Report Rabago Technology Park In evaluating the availability ofsufficient water supply,the Rabago project proponents are required to participate in the development of alternative water supply project(s).This can be achieved through payment ofthe 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 Metropolitan UWMP,IRP,Master Plans,and other planning documents.These new water supply projects are in response to the regional water supply issues related to the Sacramento-San Joaquin Delta and the current ongoing western states drought conditions.These new additional water supply projects are not currently developed and are in various stages ofthe planning process.A few examples of these alternative water supply projects include the Middle Sweetwater River Basin Groundwater Well project,the North District Recycled Water Supply Concept,the Rosarito Ocean Desalination Facility project,and the Rancho del Rey Groundwater Well project.The Water Authority and Metropolitan next forecast and supply planning documents would capture any increase in water supplies resulting from any new water resources developed by theOtayWD. The Water Authority and Metropolitan have an established process that ensures supplies are being planned to meet future growth.Any annexations and revisions to established land use plans are captured in the San Diego Association ofGovernments (SANDAG)updated forecasts for land use planning,demographics,and economic projections.SANDAG serves as the regional,intergovernmental planning agency that develops and provides forecast information.The Water Authority and Metropolitan update their demand forecasts and supply needs based on the most recent SANDAG forecast approximately every five years to coincide with preparation oftheir urban water management plans.Prior to the next forecast update,local jurisdictions may require water supply assessment and/or verification reports for proposed land developments that are not within the Otay WD,Water Authority,or Metropolitan 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 Otay WD,the Water Authority,and Metropolitan next demand forecast and supply requirements and associated planning documents would then capture any increase or decrease in demands and required supplies as a result of annexations or revised land use planning decisions. This process is utilized by the Water Authority and Metropolitan 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 ofthe Water Authority and Metropolitan. This WSA Report includes,among other information,an identification ofexisting water supply entitlements,water rights,water service contracts,proposed water supply projects,and 7 Otay Water District Water Supply Assessment Report Rabago Technology Park agreements relevant to the identified water supply needs for the proposed Rabago Project. This WSA Report incorporates by reference the current Urban Water Management Plans and other water resources planning documents ofthe Otay WD,the Water Authority,and Metropolitan.The Otay WD 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 ofthe Rabago Project as well as existing and other reasonably foreseeable planned development projects within the Otay WD for a 20-year planning horizon,in normal supply years and in single dry and multiple dry years. Based on a normal water supply year,the five-year increments for a 20-year projection indicate projected potable and recycled water supply is being planned for and is intended to be acquired to meet the estimated water demand ofthe Otay WD (49,812 acre-feet (ac-ft)in 2010 to 82,405 ac-ft in 2030 per the Otay WD 2005 UWMP).Based on dry year forecasts, the estimated water supply is also being planned for and is intended to be acquired to meet the projected water demand,during single dry and multiple dry year scenarios.On average,the dry-year demands are about 7%higher than the normal demands.The Otay WD 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 Rabago Project and the existing and other reasonably foreseeable planned development projects within the Otay WD in both normal and single and multiple dry year forecasts for a 20-year planning horizon. Section 3 -Project Description The Rabago Project is located within the Otay Mesa Specific Plan (OMSP)area in the County of San Diego.Refer to Appendix A for a vicinity map of the proposed Rabago Project.The Rabago Project is located at the northwest corner ofthe intersection ofOtay Mesa Road and Enrico Fermi Drive.The Rabago Project is within the jurisdictions ofthe Otay WD,the Water Authority,and Metropolitan Water District ofSouthern California (Metropolitan). Although the proposed development is subject to the County's land use jurisdiction,the Otay WD is the potable and recycled water purveyor. The proposed development concept for the approximately 71.1 acre Rabago Project is planned as industrial business park lots as shown in Table 1. 8 Otay Water District Water Supply Assessment Report Rabago Technology Park Table 1 Rabago Project Proposed Land Uses The Rabago Project is on approximately 71.1 acres and is planned to include 19 industrial business park lots ranging from 1.7 to 8.0 acres in size.As each ofthese lots develops in the future,it would be subject to the project approval and permitting processes ofthe County and Otay WD.Refer to Appendix B for the proposed development plan ofthe Rabago Project. The County has discretionary authority on land use decisions for the Rabago Project and can establish actions and/or permit approval requirements.The projected potable and recycled water demands associated with the Rabago 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 Rabago Project are included in the projected water demand estimates provided in Section 5 -Historical and Projected Water Demands. Section 4 -Otay Water District The Otay WD is a municipal water district formed in 1956 pursuant to the Municipal Water District Act of 1911 (Water Code §§71000 et seq.).The Otay WD joined the Water Authority as a member agency in 1956 to acquire the right to purchase and distribute imported water throughout its service area.The Water Authority is an agency responsible for the wholesale supply ofwater to its 24 public agency members in San Diego County. The Otay WD currently relies on the Water Authority for 100 percent ofits treated water supply.The Water Authority is the agency responsible for the supply ofimported water into San Diego County through its membership in Metropolitan.The Water Authority currently obtains about halfofits imported supply from Metropolitan,but is in the process of further diversifying its available supplies. The Otay WD provides water service to residential,commercial,industrial,and agricultural customers,and for environmental and fire protection uses.In addition to providing water throughout its service area,Otay WD also provides sewage collection and treatment services to a portion ofits service area known as the Jamacha Basin.The Otay WD also owns and operates the Ralph W.Chapman Water Reclamation Facility (RWCWRF)which has an effective treatment capacity of 1.2 million gallons per day (mgd)or about 1,300 acre feet per year (ac-ft/yr)to produce recycled water.On May 18,2007 an additional source ofrecycled water supply,at least 6 mgd,or about 6,720 ac-ft/yr,became available to Otay WD from the City ofSan Diego's South Bay Water Reclamation Plant (SBWRP). 9 Otay Water District Water Supply Assessment Report Rabago Technology Park The Otay WD jurisdictional area is generally located within the south central portion ofSan Diego County and includes approximately 125 square miles.The Otay WD serves portions of the unincorporated communities of southern EI Cajon,La Mesa,Rancho San Diego,Jamul, Spring Valley,Bonita,and Otay Mesa,the eastern portion ofthe City of Chula Vista and a portion ofthe City of San Diego on Otay Mesa.The Otay WD jurisdiction boundaries are roughly bounded on the north by the Padre Dam Municipal Water District,on the northwest by the Helix Water District,and on the west by the South Bay Irrigation District (Sweetwater Authority)and the City ofSan Diego.The southern boundary ofOtay WD is the international border with Mexico. The planning area addressed in the Otay WD 2009 WRMP and the Otay WD revised 2005 Urban Water Management Plan (2005 UWMP)includes the land within the jutisdictional boundary ofthe Otay WD and those areas outside ofthe present Otay WD boundaries considered to be in the Area ofInfluence ofthe Otay WD.Figure 2-1 contained within the Otay WD 2009 WRMP shows the jurisdictional boundary ofthe Otay WD and the Area of Influence.The planning area is approximately 143 square miles,ofwhich approximately 125 square miles are within the Otay WD current boundaries and approximately 18 square miles are in the Area of Influence.The area east of Otay WD is rural and currently not within any water purveyor jurisdiction and potentially could be served by the Otay WD in the future if the need for imported water becomes necessary,as is the case for the Area ofInfluence. The City ofChula Vista,the City ofSan Diego,and the County ofSan Diego are the three land use planning agencies within the Otay WD jurisdiction.Data on forecasts for land use planning,demographics,economic projections,population,and the future rate ofgrowth within Otay WD were obtained from the San Diego Association of Governments (SANDAG). SANDAG serves as the regional,intergovernmental planning agency that develops and provides forecast information through the year 2050.Population growth within the Otay WD service area is expected to increase from the 2005 figure of approximately 179,000 to an estimated 268,000 by 2025,and is estimated to be 277,000 at ultimate build out.Land use information used to develop water demand projections are based upon Specific or Sectional Planning Areas,the Otay Ranch General Development Plan/Sub-regional Plan,East Otay Mesa Specific Plan Area,San Diego County Community Plans,and City of San Diego,City ofChula Vista,and County of San Diego General Plans. The Otay WD long-term historic growth rate has been approximately 3%per year.Up until the recent economic downturn,growth was occurring at a faster rate due to accelerated residential development in the eastern portion ofthe City of Chula Vista.The growth rate has significantly slowed due to the current economic conditions and it is expected to slow as the inventory of developable land is diminished. Climatic conditions within the Otay WD service area are characteristically Mediterranean near the coast,with mild temperatures year round.Inland areas are both hotter in summer and cooler in winter,with summer temperatures often exceeding 90 degrees and winter temperatures occasionally dipping to below freezing.Most ofthe region's rainfall occurs 10 Otay Water District Water Supply Assessment Report Rabago Technology Park during the months ofDecember through March.Average annual rainfall is approximately 9.4 inches per year. Historic climate data were obtained from the Western Regional Climate Center for Station 042706 (EI Cajon).This station was selected because its annual temperature variation is representative ofmost ofthe Otay WD service area.While there is a station in the City of Chula Vista,the temperature variation at the City of Chula Vista station is more typical of a coastal environment than the conditions in most ofthe Otay WD service area. Urban Water Management Plan In accordance with the California Urban Water Management Planning Act,the Otay WD Board ofDirectors adopted an Urban Water Management Plan in December 2005 and subsequently submitted the plan to the California Department ofWater Resources (DWR). DWR required Otay WD to make revisions to the submitted plan.The Otay WD Board of Directors adopted the revised Otay WD 2005 UWMP in July 2007.As required by law,the Otay WD 2005 UWMP includes projected water supplies required to meet future demands through 2030.In accordance with Water Code Section 10910 (c)(2)and Government Code Section 66473.7 (c)(3),information from the Otay WD 2005 UWMP along with supplemental information from the Otay WD 2009 WRMP updated November,2010 have been utilized to prepare this WSA Report and are incorporated herein by reference. Section 5 -Historical and Projected Water Demands The projected demands for the Otay WD are based on Specific or Sectional Planning Areas, the Otay Ranch General Development Plan/Sub-regional Plan,the East Otay Mesa Specific Plan Area,San Diego County Community Plans,and City of San Diego,City ofChula Vista, and County ofSan Diego General Plans.This land use information is also used by SANDAG as the basis for its most recent forecast data.This land use information is utilized in the preparation ofthe Otay WD 2009 WRMP updated November,2010 and Otay WD 2005 UWMP to develop the forecasted demands and supply requirements. In 1994,the Water Authority selected the Institute for Water Resources-Municipal and Industrial Needs (MAIN)computer model to forecast municipal and industrial water use for the San Diego region.The MAIN model uses demographic and economic data to project sector-level water demands (i.e.residential and non-residential demands).This econometric model has over a quarter ofa century ofpractical application and is used by many cities and water agencies throughout the United States.The Water Authority's version ofthe MAIN model was modified to reflect the San Diego region's unique parameters and is known as CWA-MAIN. 11 Otay Water District Water Supply Assessment Report Rabago Technology Park The foundation ofthe water demand forecast is the underlying demographic and economic projections.This was a primary reason,why,in 1992 the Water Authority and SANDAG entered into a Memorandum ofAgreement (MOA),in which the Water Authority agreed to use the SANDAG current regional growth forecast for water supply planning purposes.In addition,the MOA recognizes that water supply reliability must be a component ofSan Diego County's regional growth management strategy required by Proposition C,as passed by the San Diego County voters in 1988.The MOA ensures a strong linkage between local general plan land use forecasts and water demand projections and resulting supply needs for the San Diego region. Consistent with the previous CWA-MAIN modeling efforts,on February 26,2010,the SANDAG Board ofDirectors accepted the Series 12:2050 Regional Growth Forecast.The 2050 Regional Growth Forecast will be used by SANDAG as the foundation for the next Regional Comprehensive Plan update.SANDAG forecasts also are used by local governments for planning,including the San Diego County Water Authority 2010 Urban Water Management Plan update.The SANDAG Series 12:2050 Regional Growth Forecast included the current land use ofthe County ofSan Diego General Plan that fonns the basis for the entitlement densities and intensities ofdevelopment for this project. The municipal and industrial forecast also included an updated accounting ofprojected conservation savings based on projected regional implementation ofthe California Urban Water Conservation Council (CUWCC)Best Management Practices and SANDAG demographic infonnation for the period 2005 through 2030.These savings estimates were then factored into the baseline municipal and industrial demand forecast. A separate agricultural model,also used in prior modeling efforts,was used to forecast agricultural water demands within the Water Authority service area.This model estimates agricultural demand to be met by the Water Authority's member agencies based on agricultural acreage projections provided by SANDAG,crop distribution data derived from the Department ofWater Resources and the California Avocado Commission,and average crop-type watering requirements based on California Irrigation Management Infonnation System data. The Water Authority and Metropolitan 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 ofthe cities and the county.This provides for consistency between the retail and wholesale agencies water demand projections,thereby ensuring that adequate supplies are and will be planned for the Otay WD existing and future water users. Existing land use plans,any revisions to land use plans,and annexations are captured in the SANDAG updated forecasts.The Water Authority and Metropolitan will update their demand forecasts based on the SANDAG most recent forecast approximately every five years to coincide with preparation oftheir urban water management plans.Prior to the next forecast update,local jurisdictions may require water supply assessment and/or verification reports 12 Otay Water District Water Supply Assessment Report Rabago Technology Park consistent with Senate Bills 610 and 221 for proposed land use developments that either have pending or proposed annexations into the Otay WD,Water Authority,and Metropolitan or that have revised land use plans than originally anticipated.The Water Authority and Metropolitan's next forecasts and supply planning documents would then capture any increase or decrease in demands caused by annexations or revised land use plans. The state ofCalifornia 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 ofthe public water system that sufficient water supplies are to be available for certain residential subdivisions ofproperty prior to approval of a tentative map.SB 221 compliance does not apply to the Rabago Project as it is an industrial subdivision. In evaluating the availability ofsufficient water supply,the Rabago Project development proponents will be required to participate in the development of alternative water supply project(s).This can be achieved through payment ofthe New Water Supply Fee adopted by the Otay Water District Board in May 201 O.These water supply projects are in addition to those identified as sustainable supplies in the current Water Authority and Metropolitan UWMP,IRP,Master Plans,and other planning documents.These new water supply projects are in response to the regional water supply issues related to climatological,environmental, legal,and other challenges that impact water source supply conditions,such as the court rulings regarding the Sacramento-San Joaquin Delta and the current ongoing western states drought conditions.These new additional water supply projects are not currently developed and are in various stages ofthe planning process.The Otay WD water supply development program includes but is not limited to projects such as the Middle Sweetwater River Basin Groundwater Well project,the North District Recycled Water Supply Concept,the Rosarito Ocean Desalination Facility project,and the Rancho del Rey Groundwater Well project.The Water Authority and Metropolitan's next forecasts and supply planning documents would capture any increase in water supplies resulting from any new water resources developed by the OtayWD. In addition,Metropolitan's 2005 Regional Urban Water Management Plan identified potential reserve supplies in the supply capability analysis (Tables II-7,II-8,and II-9),which could be available to meet any unanticipated demands.The Water Authority and Metropolitan'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 Otay WD water demand projection methodology utilizes a component land use approach. This is done by applying representative values ofwater use to the acreage of each land use type and then aggregating these individual land use demand projections into an overall total demand for the Otay WD.This is called the water duty method,and the water duty is the amount ofwater used in gallons per day per acre per year.This approach is used for all the 13 Otay Water District Water Supply Assessment Report Rabago Technology Park 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 golfcourses,schools,jails,prisons,hospitals,etc.where specific water demands are established. To determine water duties for the various types ofland use,the entire water meter database of the Otay WD is utilized and sorted by the appropriate land use types.The metered consumption records are then examined for each ofthe land uses,and water duties are determined for the various types ofresidential,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 (gpdJacre)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 ofthe 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 ofthe total developable planning area ofthe OtayWD. The underlying land use designation for the Rabago Project lots will be the industrial land use designation. The 2009 WRMP calculates potable water demand by taking the gross acreage ofa site and applying a potable water reduction factor (PWRF),which is intended to represent the percentage ofacreage 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%ofthe site is assumed to be served by potable water,5%ofthe 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 2009 WRMP 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 golfcourses,schools,jails,prisons,hospitals,etc.where specific water demands are allocated. Otay WD Projected Demand By applying the established water duties to the proposed land uses,the projected water demand for the entire Otay WD planning area at ultimate development is determined. Projected water demands for the intervening years were determined using growth rate projections consistent with data obtained from SANDAG and the experience of the Otay WD. The historical and projected potable water demands for Otay WD are shown in Table 2. 14 Otay Water District Water Supply Assessment Report Rabago Technology Park Table 2 Historical and Projected Potable Water Fiscal Year Demands (acre-feet) Incorporati g Water Conservation BMP Effortsl Wate."Use Sectors 1995 2000 2005 2010 2015 2020 2025 2030 Sinl!:le Family Residential 10,604 15,331 19,850 25,442 29,130 33,316 37,211 42,089 Multi-Family Residential 1,880 1,986 2,893 3,708 4,245 4,855 5,423 6,134 Commercial &Industrial 1,650 3,043 1,549 1,986 2,274 2,600 2,904 3,285 Institutional &Governmental 1,680 2,089 2,115 2,711 3,104 3,550 3,965 4,485 Landscape 3,983 6,256 8,512 10,910 12,491 14,286 15,956 18,048 Agricultural 487 171 2,268 2,907 3,328 3,806 4,251 4,809 Known Losses **511 655 749 857 957 1,083 System Losses *1,733 1,076 1,494 1,711 1,957 2,186 2,472 Totals 20,284 30,609 38,774 49,813 57,032 65,227 72,853 82,405 Source.Otay WD 2005 UWMP. *Known losses (i.e.unaccounted for water in the Otay WD 2005 UWMP)and system losses unavailable. The historical and projected recycled water demands for Otay WD are shown in Table 3. Table 3 Historical and Projected Recycled Water Fiscal Year Demands (acre-feet) Incorporating Water Conservation BMP Efforts1 Water Use Sector 1995 2000 2005 2010 2015 2020 2025 2030 Landscape 614 1,274 1,155 4,040 4,684 5,430 6,294 7,297 Totals 614 1,274 1,155 4,040 4,684 5,430 6,294 7,297 Source:Otay WD 2005 UWMP. Rabago 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 Rabago Project are shown in Table 4 and Table 5 respectively.The projected potable water demand is 60,290 gpd,or about 67.5 ac- ft/yr.The projected recycled water demand is 7,740 gpd,or about 8.7 ac-ft/yr,representing about 11 %ofthe total Rabago Project demand. 15 Otay Water District Water Supply Assessment Report Rabago Technology Park Table 4 Rabago Facility Project Projected Potable Water Annual Average Demands Gross Potable Net Potable AverageLocation(Land Use)Water Unit RateAcreageFactorAcreage/Units Demand Industrial Lots 71.1 95%67.5 ac 893 gpd/ac 60,290 gpd The Rabago Project development proponents are required to use recycled water for irrigation and for other appropriate uses.The primary benefit ofusing recycled water is that it will offset the potable water demands by an estimated 13 ac-ft/yr.The 2009 WRMP and 2005 UWMP anticipated that the Rabago Project site would use both potable and recycled water. Table 5 Rabago Project Projected Recycled Water Average Demands Gross Recycled Net Recycled AverageLocation(Land Use)Acreage Water Acreage Unit Rate DemandFactor Industrial Lots 71.1 acres 5%3.6 acres 2,151 gpd/acre 7,740 gpd The Otay WD 2009 WRMP 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 WD planning documents. 5.1 Demand Management (Water Conservation) Demand management,or water conservation is a critical part of the Otay WD 2005 UWMP and its long term strategy for meeting water supply needs ofthe Otay WD customers.Water conservation,is frequently the lowest cost resource available to any water agency.The goals ofthe Otay WD water conservation programs are to: •Reduce the demand for more expensive,imported water. •Demonstrate continued commitment to the Best Management Practices (BMP). •Ensure a reliable water supply. The Otay WD is signatory to the Memorandum of Understanding (MOU)Regarding Urban Water Conservation in California,which created the California Urban Water Conservation Council (CUWCC)in 1991 in an effort to reduce California's long-term water demands. 16 Otay Water District Water Supply Assessment Report Rabago Technology Park Water conservation programs are developed and implemented on the premise that water conservation increases the water supply by reducing the demand on available supply,which is vital to the optimal utilization ofa region's water supply resources.The Otay WD participates in many water conservation programs designed and typically operated on a shared cost participation program basis among the Water Authority,Metropolitan,and their member agencies.The demands shown in Tables 2,3,4,and 5 take into account implementation of water conservation measures within Otay WD. As one ofthe first signatories to the MOD Regarding Urban Water Conservation in California,the Otay WD has made BMP implementation for water conservation the cornerstone ofits conservation programs and a key element in its water resource management strategy.As a member ofthe Water Authority,Otay WD also benefits from regional programs performed on behalf ofits member agencies.The BMP programs implemented by Otay WD and regional BMP programs implemented by the Water Authority that benefit all their member agencies are addressed in the Otay WD 2005 UWMP.In partnership with the Water Authority,the County of San Diego,City of San Diego,City ofChula Vista,and developers,the Otay WD water conservation efforts are expected to grow and expand.The resulting savings directly relate to additional available water in the San Diego County region for beneficial use within the Water Authority service area,including the Otay WD. Additional conservation or water use efficiency measures or programs practiced by the Otay WD include the following: Supervisory Control and Data Acquisition System The Otay WD implemented and has operated for many years a 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,tum on or offpumping 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 ofwater used by the people therein for the purpose ofconserving water supplies ofsuch public entity.The Otay WD Board ofDirectors established a comprehensive water conservation program pursuant to California Water Code Sections 375 et seq.,based upon the need to conserve water supplies and to avoid or minimize the effects of any future shortage.A water shortage could exist based upon the occurrence ofone or more ofthe following conditions: 17 Otay Water District Water Supply Assessment Report Rabago Technology Park 1.A general water supply shortage due to increased demand or limited supplies. 2.Distribution or storage facilities ofthe Water Authority or other agencies become inadequate. 3.A major failure ofthe supply,storage,and distribution facilities ofMetropolitan, Water Authority,and/or Otay WD. The Otay WD water conservation ordinance finds and determines that the conditions prevailing in the San Diego County area require that the available water resources be put to maximum beneficial use to the extent to which they are capable,and that the waste or unreasonable use,or unreasonable method ofuse,ofwater be prevented and that the conservation ofsuch water be encouraged with a view to the maximum reasonable and beneficial use thereofin the interests ofthe people ofthe Otay WD and for the public welfare. As a signatory to the MOU Regarding Urban Water Conservation in California,the Otay WD is required to submit biannual reports that detail the implementation ofcurrent water conservation practices.The Otay WD voluntarily agreed to implement the fourteen water conservation Best Management Practices beginning in 1992.The Otay WD submits its report to the CUWCC every two years.The Otay WD BMP Reports for 2001 to 2004,as well as the BMP Coverage Report for 2003-04,are included in the Otay WD 2005 UWMP. The Rabago Project will implement the CUWCC Best Management Practices for water conservation such as installation ofultra low flow toilets,development of a water conversation plan,and potential beneficial use ofrecycled water,all ofwhich are typical requirements ofdevelopment projects within the County ofSan Diego. Section 6 -Existing and Projected Supplies The Otay WD currently does not have an independent raw or potable water supply source. The Otay WD is a member public agency ofthe Water Authority.The Water Authority is a member public agency ofMetropolitan.The statutory relationships between the Water Authority and its member agencies,and Metropolitan and its member agencies,respectively, establish the scope ofthe Otay WD entitlement to water from these two agencies. The Water Authority through two delivery pipelines,referred to as Pipeline No.4 and the La Mesa Sweetwater Extension Pipeline,currently supply the Otay WD with 100 percent ofits potable water.The Water Authority in tum,currently purchases about half ofits water from Metropolitan.Due to the Otay WD 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 ofthe Water Authority and Metropolitan.The Otay WD, Water Authority,and Metropolitan are actively pursuing programs and projects to further diversify their water supply resources. 18 Otay Water District Water Supply AssessmentReport Rabago Technology Park The description oflocal recycled water supplies available to the Otay WD is also discussed below. 6.1 Metropolitan Water District of Southern California 2005 Regional Urban Water Management Plan In November 2005,Metropolitan adopted its 2005 Regional Urban Water Management Plan (RUWMP).The 2005 RUWMP provides Metropolitan's member agencies,retail water utilities,cities,and counties within its service area with,among other things,a detailed evaluation of the supplies necessary to meet future demands,and an evaluation ofreasonable and practical efficient water uses,recycling,and conservation activities.During the preparation ofthe 2005 RUWMP,Metropolitan also utilized the previous SANDAG regional growth forecast in calculating regional water demands for the Water Authority service area. 6.1.1 Availability ofSufficient Supplies and Plans for Acquiring Additional Supplies Metropolitan is a wholesale supplier ofwater to its member public agencies and obtains its supplies from two primary sources:the Colorado River,via the Colorado River Aqueduct (CRA),which it owns and operates,and Northern California,via the State Water Project (SWP).The 2005 RUWMP documents the availability ofthese existing supplies and additional supplies necessary to meet future demands. 6.1.1.1 Metropolitan Supplies Metropolitan's Integrated Resources Plan (IRP)identifies a mix ofresources (imported and local)that,when implemented,will provide 100 percent reliability for full-service demands through the attainment ofregional targets set for conservation,local supplies,State Water Project supplies,Colorado River supplies,groundwater banking,and water transfers.The 20I0 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 ifother supplies are not fully implemented as planned.As part ofimplementation ofthe planning buffer,Metropolitan 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 2005,Metropolitan adopted its 2005 RUWMP in accordance with state law. The resource targets included in the preceding 2004 IRP Update serve as the foundation for the planning assumptions used in the 2005 RUWMP.Metropolitan's 2005 RUWMP contains a water supply reliability assessment that includes a detailed evaluation ofthe supplies necessary to meet demands over a 25-year period in average,single dry year,and multiple dry 19 Otay Water District Water Supply Assessment Report Rabago Technology Park year periods.As part ofthis process,Metropolitan also uses the current SANDAG regional growth forecast in calculating regional water demands for the Water Authority's service area. As stated in Metropolitan's 2005 RUWMP,that plan may be used as a source document for meeting the requirements ofSB 610 and SB 221 until the next scheduled update is completed in 2011.The 2005 RUWMP includes a "Justifications for Supply Projections"in Appendix A.3,that provides detailed documentation ofthe planning,legal,financial,and regulatory basis for including each source ofsupply in the plan.A copy ofMetropolitan's 2005 RUWMP can be found on the internet at the following site address: http://www.mwdh20.com/mwdh20/pages/yourwater/RUWMP/RUWMP 2005.pdf SANDAG has included the proposed land use density from this project in their latest Series 12 Update.Now that Metropolitan has updated their IRP,both Metropolitan and the Water Authority will be updating their UWMPs.The UWMP for both Metropolitan and the Water Authority will include the increase in demand projections included in SANDAG's Series 12 Update and from the projections from Otay WD 2009 WRMP updated November,2010. 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 Metropolitan,along with Otay WD nevertheless fully intend to have sufficient,reliable supplies to serve demands. 6.1.1.2 Pipeline 6 Metropolitan completed its System Overview Study (SOS)in fall 2005 based on the 2004 IRP.The SOS determines if Metropolitan's current system is capable ofdelivering the supplies to meet the demands shown in the older 2004 IRP. Pipeline 6 is included in the SOS as an untreated water pipeline to deliver additional Metropolitan supplies to the San Diego County region.The addition ofPipeline 6 would allow the Water Authority and Metropolitan to convert one ofthe existing untreated water pipelines to a treated water pipeline.With the conversion,the capacity to import both treated and untreated water would increase significantly,thereby enabling Metropolitan to increase both treated and untreated imported water delivery capacity to the San Diego County region. Based on current planning assumptions ofthe Water Authority and Metropolitan,new imported supplies delivered though Pipeline 6 would be required no earlier than 2018,absent development ofnew supplies from seawater desalination or some combination ofnew local supplies,totaling 56,000 ac-ft/yr (see Section 6.2.1 below).With development of56,000 ac- ft/yr,Pipeline 6 would not be needed until 2023.Activities associated with implementation of Pipeline 6 include the following: 20 Gtay Water District Water Supply Assessment Report Rabago Technology Park •Coordination between Metropolitan and the Water Authority regarding planning and design ofPipeline 6 is ongoing. •An alignment for the entire approximately 30-mile pipeline was identified in the original 1993 Environmental Impact Report.Metropolitan is conducting a feasibility study to revisit the 1993 alignment and evaluate alternative alignments north ofthe San Luis Rey River in light ofchanged conditions since 1993.The Water Authority plans to conduct a similar feasibility study ofPipeline 6 alignments south ofthe San Luis Rey River.Based on these updated feasibility studies,an updated environmental analysis for the project is also planned. 6.1.2 Metropolitan Capital Investment Plan Metropolitan prepares a Capital Investment Plan as part of its annual budget approval process. The cost,purpose,justification,status,progress,etc.of Metropolitan's infrastructure projects to deliver existing and future supplies are documented in the Capital Investment Plan.The financing ofthese projects is addressed as part ofthe annual budget approval process. Metropolitan's Capital Investment Plan includes a series ofprojects identified from Metropolitan studies ofprojected water needs,which,when considered along with operational demands on aging facilities and new water quality regulations,identify the capital projects needed to maintain infrastructure reliability and water quality standards,improve efficiency, and provide future cost savings.All projects within the Capital Investment Plan are evaluated against an objective set ofcriteria to ensure they are aligned with the Metropolitan's goals of supply reliability and quality. 6.2 San Diego County Water Authority Regional Water Supplies The Water Authority has adopted plans and is taking specific actions to develop adequate water supplies to help meet existing and future water demands within the San Diego region. This section contains details on the supplies being developed by the Water Authority.A summary ofrecent actions pertaining to development ofthese supplies includes: In accordance with the Urban Water Management Planning Act,the Water Autho .ty adopted their 2005 UWMP in November 2005 and updated the 2005 UWMP in April 2007.The updated Water Authority 2005 UWMP identifies a diverse mix oflocal and imported water supplies to meet future demands.A copy ofthe updated Water Authority 2005 UWMP can be found on the internet at http://www.sdcwa.org •Deliveries ofconserved agricultural water from the Imperial Irrigation District (lID)to San Diego County have increased annually since 2003,with 70,000 ac-ft ofdeliveries in Fiscal Year (FY)2010. 21 Otay Water District Water Supply Assessment Report Rabago Technology Park •As part ofthe October 2003 Quantification Settlement Agreement (QSA),the Water Authority was assigned Metropolitan's rights to 77,700 ac-ft/yr ofconserved water from the All-American Canal (AAC)and Coachella Canal (CC)lining projects.The Water Authority has nearly completed implementation ofthese projects,with the CC project now complete and deliveries being made to the San Diego County region. Through implementation ofthe Water Authority and member agency planned supply projects, along with reliable imported water supplies from Metropolitan,the region anticipates having adequate supplies to meet existing and future water demands. To ensure sufficient supplies to meet projected growth in the San Diego region,the Water Authority uses the SANDAG most recent regional growth forecast in calculating regional water demands.The SANDAG regional growth forecast is based on the plans and policies of the land-use jurisdictions with San Diego County.The existing and future demands ofthe member agencies are included in the Water Authority's projections. 6.2.1 Availability of Sufficient Supplies and Plans for Acquiring Additional Supplies The Water Authority currently obtains imported supplies from Metropolitan,conserved water from the AAC and CC lining projects,and an increasing amount ofconserved agricultural water from IID.Ofthe twenty-seven member agencies that purchase water supplies from Metropolitan,the Water Authority is Metropolitan's largest customer.In FY 2006,the Water Authority purchased 577,944 ac-ft from Metropolitan,an increase of approximately 4,000 ac- ft over the FY 2005 amount. Section 135 of Metropolitan's Act defines the preferential right to water for each ofits member agencies.As calculated by Metropolitan,the Water Authority's current preferential right is 17.22%ofMetropolitan's supply,while the Water Authority accounted for approximately 25%ofMetropolitan's total revenue.Under preferential rights,Metropolitan could allocate water without regard to historic water purchases or dependence on Metropolitan.The Water Authority and its member agencies are taking measures to reduce dependence on Metropolitan through development ofadditional supplies and a water supply portfolio that would not be jeopardized by a preferential rights allocation.Metropolitan has stated,consistent with Section 4202 ofits Administrative Code that it is prepared to provide the Water Authority's service area with adequate supplies ofwater to meet expanding and increasing needs in the years ahead.When and as additional water resources are required to meet increasing needs,Metropolitan stated it will be prepared to deliver such supplies.In Section 11.4 oftheir 2005 RUWMP,Metropolitan states that through effective management of its water supply,they fully expect to be 100 percent reliable in meeting all non-discounted non-interruptible demands throughout the next twenty-five years. The Water Authority has made large investments in Metropolitan's facilities and will continue to include imported supplies from Metropolitan in the future resource mix.As discussed in the Water Authority's 2005 UWMP,the Water Authority and its member agencies are 22 Otay Water District Water Supply Assessment Report Rabago Technology Park planning to diversify the San Diego regions supply portfolio and reduce purchases from Metropolitan. As part ofthe Water Authority's diversification efforts,the Water Authority is now taking delivery ofconserved agricultural water from lID and water saved from the AAC and CC lining projects.The CC lining project is complete and the Water Authority has essentially completed construction ofthe AAC lining project.Table 7 summarizes the Water Authority's supply sources with detailed infonnation included in the sections to follow.Deliveries from Metropolitan are also included in Table 7,which is further discussed in Section 6.1 above. The Water Authority's member agencies provided the verifiable local supply targets for groundwater,groundwater recovery,recycled water,and surface water,which are discussed in more detail in Section 5 ofthe Water Authority's 2005 UWMP. Table 7 Projected Verifiable Water Supplies -Water Authority Service Area Normal Year (acre feet) Water Supply Sources 2010 2015 2020 2025 2030 Water Authority Supplies Metropolitan Supplies 445,858 399,855 331,374 342,870 372,922 Water Authority/IID Transfer 70,000 100,000 190,000 200,000 200,000 AAC and CC Lining Projects 77,700 77,700 77,700 77,700 77,700 Member Agency Supplies Local Surface Water 59,649 59,649 59,649 59,649 59,649 Recycled Water 33,668 40,662 45,548 46,492 47,584 Seawater Desalination 0 34,689 36,064 37,754 40,000 Groundwater 17,175 18,945 19,775 19,775 19,775 Groundwater Recovery 11,400 11,400 11,400 11,400 11,400 Total Projected Supplies 715,450 742,900 771,510 795,640 829,030 Source:The Water Authonty 2005 Urban Water Management Plan. Section 5 ofthe Water Authority's 2005 UWMP also includes a discussion on the local supply target for seawater desalination.Seawater desalination supplies represent a significant future local resource in the Water Authority's service area.Poseidon Resources is pursuing the development ofa local,privately owned desalination project located adjacent to the Encina Power Station.As ofJune 2007,Poseidon has contracted with the Carlsbad Municipal Water District (MWD)(up to 28,000 ac-ft/yr depending on demands),Valley Center MWD (7,500 ac-ft/yr),Rincon Del Diablo MWD (4,000 ac-ft/yr),and Sweetwater Authority (2,400 ac-ft/yr)to supply up to 41,900 ac-ft/yr ofdesalinated seawater.The verifiable seawater desalination figure is based on the contract amounts and projected seawater desalination deliveries to Carlsbad MWD.As shown in Table 7,the verifiable projected local seawater desalination supplies vary each year based on the Carlsbad MWD demands (which are less than their desalinated seawater contract amount of28,000 ac-ft/y).There are several 23 Otay Water District Water Supply Assessment Report Rabago Technology Park contingencies related to Poseidon's agreements with these member agencies and the Water Authority that must be satisfied before implementation of the project and its ultimate yield can be determined.These contingencies include obtaining legal entitlements for construction ofthe project,determination ofa mutually acceptable delivery interconnection points and delivery charge,and engagement of a third party exchange agency partner where physical delivery to the contracting agency is not practical.The Water Authority is negotiating specific elements for a water purchase agreement with Poseidon which include water purchase price,allocation ofrisk and options to eventually purchase the project's pipeline and the entire desalination plant.This agreement will supersede the contracts Poseidon has negotiated with the four Districts.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 7 in normal,single dry,and multiple dry year scenarios.For dry year yields from Metropolitan supplies,refer to Metropolitan's 2005 RUWMP,discussed in Section 6.1 above. As part ofpreparation 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 9 ofthe Water Authority's 2005 UWMP contains a detailed shortage contingency analysis that addresses a regional catastrophic shortage situation and drought management.The analysis demonstrates that the Water Authority and its member agencies, through the Emergency Response Plan,Emergency Storage Project,and Drought Management Plan (DMP)are taking actions to prepare for and appropriately handle an interruption ofwater supplies.The DMP,completed in May 2006,provides the Water Authority and its member agencies with a series ofpotential actions to take when faced with a shortage ofimported water supplies from Metropolitan due to prolonged drought or other supply shortfall conditions.The actions will help the region avoid or minimize the impacts of shortages and ensure an equitable allocation ofsupplies 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 ofColorado River water and creates a baseline for implementing water transfers.With approval ofthe 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 ofColorado River water to its legal allocation. 24 Otay Water District Water Supply Assessment Report Rabago Technology Park On April 29,1998,the Water Authority signed a historic agreement with liD for the long-tenn 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 fanners who voluntarily participate in the program and then transferred to the Water Authority for use in San Diego County. Implementation Status On October 10,2003,the Water Authority and liD executed an amendment to the original 1998 Transfer Agreement.This amendment modified certain aspects ofthe 1998 Agreement to be consistent with the tenns and conditions ofthe QSA and related agreements.It also modified other aspects ofthe agreement to lessen the environmental impacts ofthe transfer ofconserved water.The amendment was expressly contingent on the approval and implementation ofthe QSA,which was also executed on October 10,2003. On November 5,2003,liD filed a complaint in Imperial County Superior Court seeking validation of 13 contracts associated with the Transfer Agreement and the QSA.Imperial County and various private parties filed additional suits in Superior Court,alleging violations of the California Environmental Quality Act (CEQA),the California Water Code,and other laws related to the approval ofthe QSA,the water transfer,and related agreements.The lawsuits have been coordinated for trial.The liD,Coachella Valley Water District,Metropolitan,the Water Authority,and State are defending these suits and coordinating to seek validation ofthe contracts.Implementation of the transfer provisions is proceeding during litigation.For further and the latest infonnation regarding the litigation and current progress,please contact the Water Authority's General Counsel. Expected Supply Deliveries into San Diego County from the transfer began in 2003 with an initial transfer of 10,000 ac-ft.The Water Authority received 20,000 ac-ft in 2004,30,000 in 2005,and 40,000 in 2006.The quantities will increase annually to 200,000 ac-ft by 2021 then remain fixed for the duration ofthe Transfer Agreement.The initial tenn ofthe Transfer Agreement is 45 years,with a provision that either agency may extend the agreement for an additional 30-year tenn. During dry years,when water availability is low,the conserved water will be transferred under the liD Colorado River rights,which are among the most senior in the Lower Colorado River Basin.Without the protection ofthese rights,the Water Authority could suffer delivery cutbacks.In recognition for the value ofsuch reliability,the 1998 contract required the Water Authority to pay a premium on transfer water under defined regional shortage circumstances. The shortage premium period duration is the period of consecutive days during which any ofthe 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 tenus ofthe October 2003 25 Otay Water District Water Supply Assessment Report Rabago Technology Park amendment,the shortage premium will not be included in the cost formula until Agreement Year 16. Transportation The Water Authority entered into a water exchange agreement with Metropolitan on October 10, 2003,to transport the Water Authority-lID transfer water from the Colorado River to San Diego County.Under the exchange agreement,Metropolitan will take delivery ofthe transfer water through its Colorado River Aqueduct.In exchange,Metropolitan will deliver to the Water Authority a like quantity and quality ofwater.The Water Authority will pay Metropolitan's applicable wheeling rate for each acre-foot ofexchange water delivered.According to the water exchange agreement,Metropolitan will make delivery ofthe transfer water for 35 years,unless the Water Authority elects to extend the agreement another 10 years for a total of45 years. Cost/Financing The costs associated with the transfer are proposed to be financed through the Water Authority's rates and charges.In the agreement between the Water Authority and IID,the price for the transfer water started at $258 per acre-foot and increases by a set amount for the first five years.The 2005 price for transfer water is $276 per acre-foot.Procedures are in place to evaluate and determine market-based rates following the first five-year period. In accordance with the October 2003 amended exchange agreement between Metropolitan and the Water Authority,the initial cost to transport the conserved water was $253 per acre- foot.Thereafter,the price would be equal to the charge or charges set by Metropolitan's Board of Directors pursuant to applicable laws and regulation,and generally applicable to the conveyance ofwater by Metropolitan on behalfofits member agencies.The transportation charge in 2005 was $258 per acre-foot. 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.At the end ofthe fifth year of the transfer agreement (2007),the Water Authority will prepay IID an additional $10 million for future deliveries ofwater.IID will credit the Water Authority for this up-front payment during years 16 through 30. As part ofimplementation ofthe QSA and water transfer,the Water Authority also entered into an environmental cost sharing agreement.The agreement specifies that the Water Authority will contribute $64 million for the purpose offunding environmental mitigation costs and contributing to the Salton Sea Restoration Fund. 26 Otay Water District Water Supply Assessment Report Rabago Technology Park Written Contracts or Other Proof The supply and costs associated with the transfer are based primarily on the following documents: Agreement for Transfer ofConserved 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 ofthe transfer ofconserved water to the Water Authority. Amended and Restated Agreement between Metropolitan and Water Authority for the Exchange ofWater (October 10,2003).This agreement was executed pursuant to the QSA and provides for delivery ofthe transfer water to the Water Authority. Environmental Cost Sharing,Funding,and Habitat Conservation Plan Development Agreement among 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 ofthe QSA,and for development of a Habitat Conservation Plan. Quantification Settlement Agreement Joint Powers Authority Creation and Funding Agreement (October 10,2003).The purpose ofthis agreement is to create and fund the QSA Joint Powers Authority and to establish the limits ofthe funding obligation ofCVWD,IID, and Water Authority for environmental mitigation and Salton Sea restoration pursuant to SB 654 (Machado). Federal,State,and LocalPermits/Approvals Federal Endangered Species Act Permit.The U.S.Fish and Wildlife Service (USFWS)issued a Biological Opinion on January 12,2001,that provides incidental take authorization and certain measures required to offset species impacts on the Colorado River regarding such actions. State Water Resources Control Board (SWRCB)Petition.SWRCB adopted Water Rights Order 2002-0016 concerning IID and Water Authority's amended joint petition for approval ofa long- term transfer ofconserved water from lID to the Water Authority and to change the point of diversion,place ofuse,and purpose ofuse under Permit 7643. 27 Dtay Water District Water Supply Assessment Report Rabago Technology Park Environmental Impact Report (EIR)for Conservation and Transfer Agreement.As lead agency, lID 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 ofReclamation'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 ofReclamation and associated with lID/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.lID as lead agency and Water Authority as responsible agency approved addendum to EIR in October 2003. Environmental Impact Statement (EIS)for Conservation and Transfer Agreement.Bureau of Reclamation issued a Record ofDecision on the EIS in October 2003. CA Department ofFish and Game California Endangered Species Act Incidental Take Permit #2081-2003-024-006).The California Department ofFish and Game issued this permit (l0/22/04)for potential take effects on state-listed/fully protected species associated with lID/other California water agencies'actions on listed species in the Imperial Valley and Salton Sea (per the June 28,2002 EIR). California Endangered Species Act (CESA)Permit.A CESA permit was issued by California Department ofFish and Game (CDFG)on April 4,2005,providing incidental take authorization for potential species impacts on the Colorado River. 6.2.1.2 All-American Canal and Coachella Canal Lining Projects As part of the QSA and related contracts,the Water Authority was assigned Metropolitan's rights to 77,700 ac-ft/yr of conserved water from projects that will line the All-American Canal (AAC)and Coachella Canal (CC).The projects will reduce the loss ofwater that currently occurs through seepage,and the conserved water will be delivered to the Water Authority.This conserved water will provide the San Diego region with an additional 8.5 million acre-feet over the 11 O-year life ofthe agreement. Implementation Status The Coachella Canal lining project is complete and operational and the All-American Canal lining project is operational complete with some remaining construction activities to be concluded. Earthwork for the Coachella Canal lining project began in November 2004 and involves approximately 37 miles ofcanal.National Environmental Policy Act (NEPA)and CEQA 28 Otay Water District Water Supply Assessment Report Rabago Technology Park documentation is complete,including an amended Record ofDecision by the U.S.Bureau of Reclamation (USBR).The amendment was required after revising the project design:instead oflining the canal in place,the project entailed the construction ofa parallel canal.The project was completed in 2006,and deliveries of conserved water started in 2007. The construction related activities are mostly complete on the AAC lining project.The lining project consists ofconstructing a concrete-lined canal parallel to 24 miles ofthe existing AAC from Pilot Knob to Drop 3. In July 2005,a lawsuit (CDEMv United States,Case No.CV-S-05-0870-KJD-PAL)was filed in the U.S.District Court for the District ofNevada on behalfofU.S.and Mexican groups challenging the lining ofthe AAC.The lawsuit,which names the Secretary ofthe Interior as a defendant,claims that seepage water from the canal belongs to water users in Mexico. California water agencies note that the seepage water is actually part 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 will yield 67,700 acre-feet per year ofColorado River water for allocation upon completion ofconstruction.The CC lining project will yield 26,000 acre-feet ofColorado River water each year available for allocation upon completion of construction. The October 10,2003,Allocation Agreement states that 16,000 acre-feet per year of conserved CC lining water will be allocated to the San Luis Rey Indian Water Rights Settlement Parties.The remaining amount,10,000 acre-feet per year from the CC lining conserved water plus the 67,700 acre-feet per year AAC lining conserved water totaling 77,700 acre-feet per year,will be available to the Water Authority.According to the Allocation Agreement,IID has call rights to a portion (5,000 acre-feet per year)ofthe conserved water upon termination ofthe QSA for the remainder ofthe 110 years of the Allocation Agreement and upon satisfying certain conditions.The term ofthe QSA is for up to 75 years. Transportation The October 10,2003,Exchange Agreement between the Water Authority and Metropolitan also provides for the delivery ofthe conserved water from the canal lining projects.The Water Authority will pay Metropolitan's applicable wheeling rate for each acre-foot of exchange water delivered.In the Agreement,Metropolitan will deliver the canal lining water for the term ofthe Allocation Agreement (110 years). 29 Otay Water District Water Supply Assessment Report Rabago Technology Park Cost/Financing Under California Water Code Section 12560 et seq.,the Water Authority will receive $200 million in state funds for construction ofthe projects.In addition,under California Water Code Section 79567,$20 million from Proposition 50 is also available for the lining projects. Additionally,the Water Authority will receive $35 million for groundwater conjunctive use projects as part ofthe agreement.The Water Authority would be responsible for additional expenses above the funds provided by the state. The rate to be paid to transport the canal lining water will be equal to the charge or charges set by Metropolitan's Board ofDirectors pursuant to applicable law and regulation and generally applicable to the conveyance ofwater by Metropolitan on behalfofits member agencies. In accordance with the Allocation Agreement,the Water Authority will also be responsible for a portion of the net additional Operation,Maintenance,and Repair (OM&R)costs for the lined canals.Any costs associated with the lining projects as proposed,are to be financed through the Water Authority's rates and charges. Written Contracts or Other Proof The expected supply and costs associated with the lining projects are based primarily on the following documents: U.S.Public Law 100-675 (1988).Authorized the Department ofthe Interior to reduce seepage from the existing earthen AAC and cc.The law provides that conserved water will be made available to specified California contracting water agencies according to established priorities. California Department ofWater Resources -Metropolitan Funding Agreement (2001). Reimburse Metropolitan for project work necessary to construct the lining ofthe CC in an amount not to exceed $74 million.Modified by First Amendment (2004)to replace Metropolitan with the Authority.Modified by Second Amendment (2004)to increase funding amount to $83.65 million,with addition offunds from Proposition 50. California Department ofWater Resources -IID Funding Agreement (2001).Reimburse IID for project work necessary to construct a lined AAC in an amount not to exceed $126 million. Metropolitan -CVWD Assignment and Delegation ofDesign Obligations Agreement (2002). Assigns design ofthe CC lining project to CVWD. Metropolitan -CVWD Financial Arrangements Agreement for Design Obligations (2002). Obligates Metropolitan to advance funds to CVWD to cover costs for CC lining project design and CVWD to invoice Metropolitan to permit the Department ofWater Resources to be billed for work completed. 30 Otay Water District Water Supply Assessment Report Rabago Technology Park Allocation Agreement among the United States ofAmerica,The Metropolitan Water District of Southern California,Coachella Valley Water District,Imperial Irrigation District,San Diego County Water Authority,the La Jolla,Pala,Pauma,Rincon,and San Pasqual Bands ofMission Indians,the San Luis Rey River Indian Water Authority,the City ofEscondido,and Vista Irrigation District (October 10,2003).This agreement includes assignment ofMetropolitan's rights and interest in delivery of77,700 acre-feet ofColorado River water previously intended to be delivered to Metropolitan to the Water Authority.Allocates water from the AAC and CC lining projects for at least 110 years to the Water Authority,the San Luis Rey Indian Water Rights Settlement Parties,and IID,ifit exercises its call rights. Amended and Restated Agreement between Metropolitan and Water Authority for the Exchange ofWater (October 10,2003).This agreement was executed pursuant to the QSA and provides for delivery ofthe conserved canal lining water to the Water Authority. Agreement between Metropolitan and Water Authority regarding Assignment ofAgreements related to the AAC and CC Lining Projects.This agreement was executed in April 2004 and assigns Metropolitan's rights to the Water Authority for agreements that had been executed to facilitate funding and construction ofthe AAC and CC lining projects: Assignment and Delegation ofConstruction Obligations for the Coachella Canal Lining Project under the Department ofWater Resources Funding Agreement No.4600001474 from the San Diego County Water Authority to the Coachella Valley Water District,dated September 8,2004. Agreement Regarding the Financial Arrangements between the San Diego County Water Authority and Coachella Valley Water District for the Construction Obligations for the Coachella Canal Lining Project,dated September 8,2004. Agreement No.04-XX-30-W0429 Among the United States Bureau ofReclamation,the Coachella Valley Water District,and the San Diego County Water Authority for the Construction ofthe Coachella Canal Lining Project Pursuant to Title II ofPublic Law 100-675, dated October 19,2004. California Water Code Section 12560 et seq.This Water Code Section provides for $200 million to be appropriated to the Department ofWater Resources to help fund the canal lining projects in furtherance ofimplementing California's Colorado River Water Use Plan. California Water Code Section 79567.This Water Code Section identifies $20 million as available for appropriation by the California Legislature from the Water Security,Clean Drinking Water,Coastal,and Beach Protection Fund of2002 (Proposition 50)to DWR for grants for canal lining and related projects necessary to reduce Colorado River water use. According to the Allocation Agreement,it is the intention ofthe agencies that those funds will be available for use by the Water Authority,IID,or CVWD for the AAC and CC lining projects. 31 Otay Water District Water Supply Assessment Report Rabago Technology Park California Public Resources Code Section 75050(b)(l).This section identifies up to $36 million as available for water conservation projects that implement the Allocation Agreement as defined in the Quantification Settlement Agreement. Federal,State,and Local Permits/Approvals AAC Lining Project Final EIS/EIR (March 1994).A final EIR/EIS analyzing the potential impacts oflining the AAC was completed by the Bureau ofRedamation (Reclamation)in March 1994.A Record ofDecision was signed by Reclamation in July 1994,implementing the preferred alternative for lining the AAC.A re-examination and analysis ofthese environmental compliance documents by Reclamation in November 1999 determined that these documents continued to meet the requirements ofthe NEPA and the CEQA and would be valid in the future. CC Lining Project Final EIS/EIR (April 2001).The final EIR/EIS for the CC lining project was completed in 2001.Reclamation signed the Record ofDecision in April 2002.An amended Record ofDecision has also been signed to take into account revisions to the project description. Mitigation,Monitoring,and Reporting Program for Coachella Canal Lining Project,SCH #1990020408;prepared by Coachella Valley Water District.May 16,2001. Environmental Commitment Plan for the Coachella Canal Lining Project,approved by the US Bureau ofReclamation (Boulder City,NV)on March 4,2003. Environmental Commitment Plan and Addendum to the All-American Canal Lining Project EIS/EIR California State Clearinghouse Number SCH 90010472 (June 2004,prepared by lID). Addendum to Final EIS/EIR and Amendment to Environmental Commitment Plan for the All-American Canal Lining Project (approved June 27,2006,by lID Board ofDirectors). 6.2.2 Water Authority Capital Improvement Program and Financial Information The Water Authority's capital improvement program (CIP)budget document includes a description ofeach ofthe projects and programs being implemented to ensure existing and future facilities are adequate to deliver water supplies throughout the region.The project costs,along with information on the activities that need to be completed,are included in the CIP document.The Water Authority's Master Plan identifies future facilities and other improvements to the Water Authority's system that are necessary to maintain reliability throughout the region.A programmatic environmental impact report was certified by the Water Authority Board of Directors for the Master Plan in November 2003.Projects identified in the Master Plan will be included in the CIP based on Water Authority Board of Directors'approval.Infonnation on the Water Authority's most recent CIP can be found on the internet at www.sdcwa.orglinfra/cip.phtml. 32 Dtay Water District Water Supply Assessment Report Rabago Technology Park One of the highest priority projects identified in the Master Plan is the development of additional treatment capacity within the region.During recent summers,the Water Authority experienced peak-demand conditions that have exceeded the region's rated treatment capacity.The Master Plan recommended development ofan additional 50 mgd oftreatment capacity immediately and another 50 mgd capacity by 2010.In response to this recommendation,the Water Authority board ofdirectors in September 2005,approved construction of a 100 mgd water treatment plant.The water treatment plant was completed and placed into operation in 2008. The Master Plan also identified carryover storage as a way to improve water supply reliability for the region.The Water Authority identified the three main benefits ofcarryover storage as: 1)enhance water supply reliability by providing a reliable and readily available source of water during periods ofpotential shortage,such as during dry years;2)increase system efficiency by providing operational flexibility to serve above normal demands,such as those occurring in dry years,from storage rather than by the over-sizing ofthe Water Authority's imported water transmission facilities;and 3)better management ofwater supplies to allow the Water Authority to accept additional imported deliveries during periods of availability, such as during wet years,to ensure water availability during dry years.The Water Authority prepared an EIR/EIS for a carryover storage project,with the preferred alternative being an expansion ofthe San Vicente Reservoir. The Water Authority Board ofDirectors is provided a semi-annual and annual report on the status ofdevelopment ofthe elP projects.As described in the Water Authority's biennial budget,a combination oflong and short term debt and cash (pay-as-you-go)will provide funding for capital improvements.Additional information is included in the Water Authority's biennial budget,which also contains selected financial information and summarizes the Water Authority's investment policy. 6.3 Otay Water District The Otay WD 2009 Water Resource Master Plan updated November,2010 provides projected demands at build out and the 2005 Urban Water Management Plan contains comparisons of projected supply and demands through the year 2030.Projected potable water resources to meet planned demands as documented were planned to be supplied entirely with imported water received from the Water Authority.Recycled water resources to meet projected demands are planned to be supplied from local wastewater treatment plants.The Otay WD currently has no local supply ofraw water,potable water,or groundwater resources. The development and/or acquisition ofpotential groundwater,recycled water market expansion,and seawater desalination supplies by the Otay WD have evolved and are planned to occur in response to the regional water supply issues.These water supply projects are in addition to those identified as sustainable supplies in the current Water Authority and Metropolitan 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 33 Otay Water District Water Supply Assessment Report Rabago Technology Park planning process.These local and regional water supply projects will allow for less reliance upon imported water and are considered a new water supply resource for the Otay WD. The Otay WD expansion ofthe market areas for the use ofrecycled water within the watersheds upstream ofthe Sweetwater Reservoir and the Lower Otay Reservoir,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 ofpotential groundwater,recycled water market expansion,and seawater desalination supplies by the Otay WD. 6.3.1 Availability of Sufficient Supplies and Plans for Acquiring Additional Supplies The availability ofsufficient potable water supplies and plans for acquiring additional potable water supplies to serve existing and future demands of the Otay WD is founded upon the preceding discussions regarding Metropolitan's and the Water Authority's water supply resources and water supplies to be acquired by the Otay WD.Historic imported water deliveries from the Water Authority to Otay WD and recycled water deliveries from the Otay WD Ralph W.Chapman Water Reclamation Facility (RWCWRF)are shown in Table 8. Since the year 2000 through mid May 2007,recycled water demand has exceeded the recycled water supply capability typically in the summer months.The RWCWRF is limited to a maximum production ofabout 1,300 ac-ft/yr.The recycled water supply shortfall had been met by supplementing with potable water into the recycled water storage system as needed by adding potable water supplied by the Water Authority.On May 18,2007 an additional source ofrecycled water supply from the City ofSan Diego's South Bay Water Reclamation Plant (SBWRP)became available.The supply ofrecycled water from the SBWRP is a result of completing construction and commencement ofoperations ofthe transmission,storage,and pump station systems necessary to link the SBWRP recycled water supply source to the existing Otay WD recycled water system. 34 Otay Water District Water Supply Assessment Report Rabago Technology Park Table 8 Otay Water District Historic Imported and Local Water Supplies 1980 12,558 1985 14,529 1990 23,200 1995 20,922 2000 30,936 2005 40,322 2009 37,566 Source:Otay WD operational records. 6.3.1.1 Imported and Regional Supplies o o o 614 948 1,227 4,533 12,558 14,529 23,200 21,536 31,884 41,549 42,099 The availability ofsufficient imported and regional potable water supplies to serve existing and planned uses within Otay WD is demonstrated in the above discussion on Metropolitan 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 2009 the supply to Otay WD was 37,566 ac-ft ofsupply from the Water Authority.An additional 4,533 ac-ft ofrecycled water was received from the City ofSan Diego and from the District's Ralph W.Chapman Water Reclamation Facility.The demand for potable water within the Otay WD is expected to increase to about 72,900 ac-ft by 2025 as per the Otay WD 2005 UWMP.These figures take into account the amount oflocal supply (i.e.groundwater, conservation,recycling,etc.)that is expected to meet demands within Otay WD service area. Potable Water System Facilities The Otay WD continues to pursue diversification ofits water supply resources to increase reliability and flexibility.The Otay WD also continues to plan,design,and construct potable water system facilities to obtain these supplies and to distribute potable water to meet customer demands.The Otay WD has successfully negotiated two water supply diversification agreements that enhance reliability and flexibility,which are briefly described as follows. •The Otay WD entered into an agreement with the City of San Diego,known as the Otay Water Treatment Plant (WTP)Agreement.The Otay WTP Agreement provides for raw water purchase from the Water Authority and treatment by the City ofSan Diego at their 35 Otay Water District Water Supply Assessment Report Rabago Technology Park OtayWTP for delivery to Otay WD.The supply system link to implement the Otay WTP Agreement to access the regions raw water supply system and the local water treatment plant became fully operational in August 2005.This supply link consists ofthe typical storage,transmission,pumping,flow measurement,and appurtenances to receive and transport the treated water to the Otay WD system.The City of San Diego obligation to supply 10 mgd of treated water under the Otay WTP Agreement is contingent upon there being available 10 mgd ofsurplus treatment capacity in the Otay WTP until such time as OtayWD pays the City ofSan Diego to expand the Otay WTP to meet the Otay WD future needs.In the event that the City ofSan Diego's surplus is projected to be less than 10 mgd the City ofSan Diego will consider and not unreasonably refuse the expansion ofthe Otay WTP to meet the Otay WD future needs. The Otay WTP existing rated capacity is 40 mgd with an actual effective capacity of approximately 34 mgd.The City ofSan Diego's typical demand for treated water from the Otay WTP is approximately 20 mgd.It is at the City ofSan Diego's discretion to utilize either imported raw water delivered by the Water Authority Pipeline No.3 or local water stored in Lower Otay Reservoir for treatment to supply the Otay WD demand. •The Otay WD entered into an agreement with the Water Authority,known as the East County Regional Treated Water Improvement Program (ECRTWIP Agreement).The ECRTWIP Agreement provides for transmission ofraw water to the Helix WD R.M. Levy WTP for treatment and delivery to Otay WD.The supply system link to implement the ECRTWIP Agreement is complete allowing access to the regions raw water supply system and the local water treatment plant.This supply link consists ofthe typical transmission,pumping,storage,flow control,and appurtenances to receive and transport the potable water from the R.M.Levy WTP to Otay WD.The Otay WD is required to take a minimum of 10,000 ac-ft/yr oftreated water from the R.M.Levy WTP supplied from the regions raw water system. Cost and Financing The capital improvement costs associated with water supply and delivery are financed through the Otay WD water meter capacity fee and user rate structures.The Otay WD potable water sales revenue are used to pay for the wholesale cost ofthe treated water supply and the operating and maintenance expenses of the potable water system facilities. Written Agreements,Contracts,or Other Proof The supply and cost associated with deliveries oftreated water from the Otay WTP and the R.M. Levy WTP is based on the following documents. Agreement for the Purchase ofTreated Water from the Otay Water Treatment Plant between the City ofSan Diego and the Otay Water District.The Otay WD entered into an agreement dated January 11,1999 with the City ofSan Diego that provides for 10 mgd ofsurplus treated water to the Otay WD from the existing Otay WTP capacity.The agreement allows for the purchase of treated water on an as available basis from the Otay WTP.The Otay WD pays the Water 36 Otay Water District Water Supply Assessment Report Rabago Technology Park Authority at the prevailing raw water rate for raw water and pays the City ofSan Diego at a rate equal to the actual cost oftreatment to potable water standards. Agreement between the San Diego County Water Authority and Otay Water District Regarding Implementation ofthe East County Regional Treated Water Improvement Program.The ECRTWIP Agreement requires the purchase ofat least 10,000 ac-ft per year ofpotable 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 ofthe Otay 14 Flow Control Facility Modification. The Otay WD entered into the Otay 14 Flow Control Facility Modification Agreement dated January 24,2007 with the Water Authority to increase the physical capacity ofthe Otay 14 Flow Control Facility.The Water Authority and Otay WD to 50%share the capital cost to expand its capacity from 8 mgd to 16 mgd. Federal,State,and Local Permits/Approvals The Otay WD constructed 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 after securing all of the permits and completing the CEQA documentation. The transmission main project constructed about 26,000 feet ofa 36-inch diameter steel pipeline from the Otay 14 Flow Control Facility to the 640-1 and 640-2 Reservoirs project. The Otay 14 Flow Control Facility modification increased the capacity ofthe 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 ofSan Diego and the Helix Water District are required to meet all applicable federal, state,and local health and water quality requirements for the potable water produced at the Otay WTP and the R.M.Levy WTP respectively. 6.3.1.2 Recycled Water Supplies Wastewater collection,treatment,and disposal services provided by the Otay WD is limited to a relatively small area within what is known as the Jamacha Basin,located within the Middle Sweetwater River Basin watershed upstream ofthe Sweetwater Reservoir and downstream of Loveland Reservoir.Water recycling is defined as the treatment and disinfection of municipal wastewater to provide a water supply suitable for non-potable reuse.The Otay WD owns and operates the Ralph W.Chapman Water Reclamation Facility,which produces recycled water treated to a tertiary level for landscape irrigation purposes.The recycled water market area ofthe Otay WD is located primarily within the eastern area ofthe City ofChula Vista and on the Otay Mesa.The Otay WD distributes recycled water to a substantial market 37 Otay Water District Water Supply Assessment Report Rabago Technology Park 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 Otay WD projects that annual average demands for recycled water will increase to about 6,294 ac-ft/yr by 2025 and are estimated to approach 10,000 ac-ft/yr at ultimate build out for irrigation purposes.About 1,300 ac-ft/yr of supply is generated by the RWCWRF,with the remainder planned to be supplied to Otay WD by the City of San Diego's SBWRP. North District Recycled Water Concept The Otay WD is a recognized leader in the use ofrecycled water for irrigation and other commercial uses.The Otay WD continues the quest to investigate all viable opportunities to expand the successful recycled water program into areas that are not currently served.One of these areas is in the portion ofthe service area designated as the North District,located within the Middle Sweetwater River Basin watershed upstream ofthe Sweetwater River.The close proximity ofthe recycled water markets in the North District to the Otay WD 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 logica110cation for the expansion ofthe Otay WD recycled water system and market area. The purpose ofthe North District Recycled Water System Development Project,Phase I Concept Study,is to identify the feasibility ofusing recycled water in the North District and to investigate and assess any limitations or constraints to its use.The Phase I study components ofthe North District Recycled Water Concept encompassed the preparation of six technical memorandums including the project definition,a discussion ofthe regulatory process,a discussion ofthe protection of the watershed that would be affected by recycled water use in the North District,identification ofstakeholders,public outreach,and an implementation plan. Several opportunities that could be realized with the implementation of the use ofrecycled water in the North District were identified.These include a reduction ofdemand on the potable water system and maximizing recycled water resources which in tum 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 ofconcern 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 ofthe infrastructure needed to convey and store recycled water in the North District.These costs are estimated to be in the range of $14 to $15 million dollars. 38 Otay Water District Water Supply Assessment Report Rabago Technology Park There are two additional phases proposed for the North District Recycled Water System Development Project.Phase II would include further investigation ofthe issues identified in Phase I as requiring further study.These include stakeholder outreach,regulatory issues,and facility planning.The third phase ofthe effort would include the facility planning,permitting, environmental compliance,design,and construction of the improvements necessary for delivery ofrecycled water to the North District markets. The estimated amount ofimported water saved at full implementation ofthe North District Recycled Water System Development Project is 1,200 ac-ft/yr.This saved imported water could than be used to offset new potable water demands. Recycled Water System Facilities The Otay WD has and continues to construct recycled water storage,pumping,transmission, and distribution facilities to meet projected recycled water market demands.For nearly 20 years,millions ofdollars ofcapital improvements have been constructed.The supply link consisting of a transmission main,storage reservoir,and a pump station to receive and transport the recycled water from the City of San Diego's SBWRP are complete and recycled water deliveries began on May 18,2007. Cost and Financing The capital improvement costs associated with the recycled water supply and distribution systems are financed through the Otay WD water meter capacity fee and user rate structures. The Otay WD recycled water sales revenue,along with Metropolitan and the Water Authority's recycled water sales incentive programs are used to help offset the costs for the wholesale purchase and production ofthe recycled water supply,the operating and maintenance expenses,and the capital costs ofthe recycled water system facilities. Written Agreements,Contracts,or Other Proof The supply and cost associated with deliveries ofrecycled water from the SBWRP is based on the following document. Agreement between the Otay Water District and the City ofSan Diego for Purchase of Reclaimed Water from the South Bay Water Reclamation Plant.The agreement provides for the purchase ofat least 6,721 ac-ft per year ofrecycled water from the SBWRP at an initial price of $350 per acre-foot.The OtayWD Board ofDirectors approved the final agreement on June 4, 2003 and the San Diego City Council approved the final agreement on October 20,2003. 39 Dtay Water District Water Supply Assessment Report Rabago Technology Park Federal,State,and Local Permits/Approvals The Otay WD has in place an agreement with Metropolitan for their recycled water sales incentive program for supplies from the RWCWRF and the SBWRP.Also,the Otay WD has in place an agreement with the Water Authority for their recycled water sales incentive program for supplies from the RWCWRF and the SBWRP.The Water Authority sales incentive agreement was approved by Water Authority on July 26,2007 and by Otay WD on August 1,2007.All permits for the construction ofthe recycled water facilities to receive, store,and pump the SBWRP supply have been acquired through the typical planning, environmental approval,design,and construction processes. The California Regional Water Quality Control Board San Diego Region (RWQCB)"Master Reclamation Permit for Otay Water District Ralph W.Chapman Reclamation Facility"was adopted on May 9,2007 (Order No.R9-2007-0038).This order establishes master reclamation requirements for the production,distribution,and use ofrecycled water in the .Otay WD service area.The order includes the use oftertiary treated water produced and received from the City ofSan Diego's SBWRP.Recycled water received from and produced by the SBWRP is regulated by Regional Board Order No.2000-203 and addenda.The City of San Diego is required to meet all applicable federal,state,and local health and water quality requirements for the recycled water produced at the SBWRP and delivered to Otay WD in conformance with Order No.2000-203. 6.3.1.3 Potential Groundwater Supplies The Otay WD 2009 WRMP,2005 UWMP,and the Otay WD March 2007 Integrated Water Resources Plan (2007 IRP)both contain a description ofthe development ofpotential groundwater supplies.Over the past several years,Otay WD has studied numerous potential groundwater supply options that have shown,through groundwater monitoring well activities, poor quality water and/or insufficient yield from the basins at a cost effective level.The Otay WD has developed capital improvement program projects to continue the quest to develop potential groundwater resources.Local Otay WD groundwater supply development is currently considered as a viable water supply resource to meet projected demands. The development and/or acquisition ofpotential groundwater supply projects by the Otay WD have evolved and have been resurrected in response to the regional water supply issues related to water source supply conditions.Local ground water supply projects will allow for less reliance upon imported water,achieve a level ofindependence of the regional wholesale water agencies,and diversify the Otay WD water supply portfolio consistent the Otay WD 2007IRP. In recognition ofthe need to develop sufficient alternative water supplies,the Otay WD has taken the appropriate next steps towards development ofproduction groundwater well projects. 40 Otay Water District Water Supply Assessment Report Rabago Technology Park There are four groundwater well projects that the Otay WD is actively pursuing to develop as new local water supplies.They are known as the Middle Sweetwater River Basin Groundwater Well,the Otay Mesa Lot 7 Groundwater Well,the Rancho del Rey Groundwater Well,and the Otay River Groundwater Well Desalination project. Middle Sweetwater River Basin Groundwater Well The Middle Sweetwater River Basin Groundwater Well is a new additional water supply project had been thoroughly studied and documented in the 1990's.The Middle Sweetwater River Basin is located within the Sweetwater River watershed and is that reach ofthe river from Sweetwater Reservoir to the upstream Loveland Reservoir.The next step in development ofthe Middle Sweetwater River Basin Groundwater Well is the implementation ofa pilot well project. The Otay WD in cooperation with Sweetwater Authority and the Water Authority prepared a water resources audit for the Middle Sweetwater River Groundwater Basin in June 1991.The document was prepared by NBS Lowry and is entitled "Middle Sweetwater River System Study Water Resources Audit".The report was prepared as part ofan overall study to identify and evaluate water management alternatives within the Middle Sweetwater River System (MSRS).The report graphically summaries water resources data for the MSRS. The Otay WD in cooperation with Sweetwater Authority and the Water Authority prepared an alternatives evaluation study ofthe Middle Sweetwater River System Study Water Resources Audit in May 1993.The document was prepared by Michael R.Welch and is entitled "Middle Sweetwater River System Study Alternatives Evaluation".The overall goal ofthe study was to identify physical projects and/or management strategies which could enhance the availability and quality ofsurface and ground waters within the MSRS. The Otay WD prepared potential conjunctive use strategies for the Middle Sweetwater River Basin in September 1994.A report was prepared by Michael R.Welch and is entitled "Middle Sweetwater River Basin Conjunctive Use Alternatives".The report was prepared for the consideration ofthe Otay WD and Sweetwater Authority.The conceptual level planning information within report identifies and evaluates eight conjunctive use alternatives within the Middle Sweetwater River Basin. The ultimate objective of the Otay WD is to develop a groundwater well production system within the Middle Sweetwater River Basin capable ofproducing a sustainable yield ofpotable water as a local supply. The purpose ofthe Middle Sweetwater River Basin Groundwater Well Pilot project is to identify the feasibility ofdeveloping a groundwater resource production system and to determine and assess any limitations or constraints that may arise. 41 Otay Water District Water Supply Assessment Report Rabago Technology Park The Middle Sweetwater River Basin Groundwater Well Pilot Project scope of work will accomplish six primary goals as follows: •Update project setting •Update applicable project alternatives analysis •Prepare groundwater well pilot project implementation plan •Construct and test pilot monitoring and extraction wells •Provide recommendations regarding 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 ofwork The groundwater conjunctive use concept planned to be developed is described as the extraction ofthe quantity ofwater from the groundwater basin that was placed there by customers ofthe Otay WD by means oftheir use ofimported treated water that contributed to the overall volume of groundwater within the basin.This quantity has been estimated to be on the order of 12.5%ofthe total consumption ofthe Otay WD customers within that basin as measured by their water meters.In the 1994/1995 time frame 810 ac-ft/yr was the estimated quantity that was placed into the groundwater basin.Currently,that 12.5%quantity could be on the order of 1,000 ac-ft/yr.The consultant contract scope of work will address this Phase I concept while further development of the groundwater basin as an additional supply resource is appropriately considered. Further development ofthe groundwater basin to enhance the total groundwater production could be accomplished by the Otay WD by means ofadditional extraction ofwater from the basin that is placed there by means ofeither injection and/or spreading basins using imported untreated water as the resource supply (Phase II).The existing La Mesa Sweetwater Extension Pipeline,owned by the Water Authority,once converted to an untreated water deliver system,could be the conveyance system to transport untreated water for this conjunctive use concept. These two distinct water resource supply conjunctive use concepts will be addressed so they may coexist and to allow for their development as separate phases. The scope of work to complete Middle Sweetwater River Basin Groundwater Well Pilot Project consists ofmany 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 ofthe 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 42 Otay Water District Water Supply Assessment Report Rabago Technology Park up to 1,500 ac-ft/yr ofpotable water for the Otay WD.Ifit is deemed that a Middle Sweetwater River Basin Groundwater Well Production Project is viable than the consultant will develop and provide a groundwater well production project implementation plan and related scope ofwork. Otay Mesa Lot 7 Groundwater Well In early 2001 the Otay WD was approached by a landowner representative about possible interest in purchasing an existing well or alternatively,acquiring groundwater supplied from the well located on Otay Mesa.The landowner,National Enterprises,Inc.,reportedly stated that the well could produce 3,200 ac-ft/yr with little or no treatment required prior to introducing the water into the Otay WD potable water system or alternatively,the recycled water system.In March 2001 authorization to proceed with testing of the Otay Mesa Lot 7 Groundwater Well was obtained and the Otay WD proceeded with the investigation ofthis potential groundwater supply opportunity. The May 2001 Geoscience Support Services,Inc.completed for the Otay WD the preparation of a report entitled,"Otay Mesa Lot 7 Well Investigation,"to assess the Otay Mesa Lot 7 Well.The scope ofwork included a geohydrologic evaluation ofthe well,analyses ofthe water quality samples,management and review ofthe well video log,and documentation of well pump testing. The primary findings,as documented in the report,formed the basis ofthe following recommendations: •For the existing well to be use as a potable water supply resource,a sanitary seal must be installed in accordance with the CDPH guidelines. •Drawdown in the well must be limited to avoid the possibility ofcollapsing the casing. •Recover from drawdown from pumping is slow and extraction would need to be terminated for up to 2 days to allow for groundwater level recovery. •The well water would need to be treated and/or blended with potable water prior to introduction into the potable water distribution system. In October 2001,the outcome and recommendations ofthe Geoscience Support Services,Inc. Otay Mesa Lot 7 Well efforts were presented to the Otay WD Board ofDirectors.The existing Otay Mesa Lot 7 Well,based upon the above findings,was determined not to be a reliable municipal supply ofpotable water and that better water quality and quantity perhaps could be discovered deeper or at an alternative location within the San Diego Formation. The Otay WD is continuing to pursue the Otay Mesa groundwater well opportunity with due consideration ofthe recommendations ofthe existing report and plans to develop a groundwater well production facility to extract perhaps at least 600 ac-ft/yr.The steps necessary to put such a well into production are as follows: 43 Dtay Water District Water Supply Assessment Report Rabago Technology Park •Review the results ofavailable water quality data,video survey for casing and screen condition,and pump testing. •Investigate,discover,and confirm a reliable sufficient quality and quantity ofsource water. •Establish feasibility and cost effectiveness ofa production well system. •Negotiate the purchase ofa well site. •Proceed with the planning,environmental compliance,permitting,design,and construction of a groundwater well production system. Rancho del Rey Groundwater Well In 1991,the McMillin Development Company drilled the Rancho del Rey Groundwater Well to augment grading water supplies for their Rancho del Rey development projects.Although the well was considered a "good producer,"little was known regarding its water quality and sustainable yield for the water was used solely for earthwork (i.e.dust control and soil compaction).The well was drilled to 865 feet,with a finished depth of830 feet and produced approximately 400 ac-ft/yr oflow quality water for four years until its use was discontinued in April 1995 as McMillin Development Company no longer needed the well.McMillin Development Company had previously notified the Otay WD ofits intent to sell offthe groundwater well asset. The Otay WD continued discussions with McMillin Development Company and decided to determine ifthe Otay WD could use the water from the well and establish ifpurchase the property along with the existing well were appropriate.The Otay WD retained Quality Assurance Laboratories to conduct water quality testing in February 1995.It was established that the water from the well had a high total dissolved solids levels that exceeded well over 2,000 milligrams per liter.The Otay WD also retained engineering and well drilling firms, Barrett Consulting Group and Multi Water Systems respectively,which performed pump draw down tests in December 1995.The results ofthese efforts established the well's long term yield to be about 629 ac-ft/yr.In February 1996 the Otay WD retained Boyle Engineering Corporation to prepare a feasibility study to compare alternatives for treating and using the groundwater and to provide a benefit/cost analysis.The September 1996 Boyle Engineering Corporation,"Groundwater Treatment Feasibility Study Ranch del Ray Well Site,"report concluded that a Rancho del Rey Groundwater Well project could be feasible.It was established that both capital and operation and maintenance costs would require the well to produce at least 700 ac-ft/yr for a minimum often years to make the project economically viable.In October 1997 the Otay WD became owners ofthe property and well. In May 1997 the Otay WD prepared and submitted to CDPH an Application for an Amended Operating Permit to add as a source water supply the Rancho del Rey Groundwater Well.The CDPH established that it would not issue an amended permit for the operation ofthe Rancho del Rey Groundwater Well and any related treatment facilities until the system design and specifications have reviewed and approved and the facilities must pass field inspection following construction. 44 Otay Water District Water Supply Assessment Report Rabago Technology Park In April 1998 the Otay WD received four proposals from consultants interested in designing the project.These proposals came in at almost double the estimated cost and in March 2000 the Otay WD decided to suspend further work on the developing the Rancho del Rey Groundwater Well until the project becomes economically viable or other circumstance would make it desirable to pursue development ofthe well. In 2009 the Otay WD decided to reestablish the pursuit ofthe Rancho del Rey Groundwater Well project based upon the current water supply and water pricing conditions.Toward this end,in January 2010,the Board authorized Phase I ofthe project,the drilling and development ofthe Ranch del Rey Well.A new 12-inch production well was drilled 900 feet below through the groundwater formation and into fractured bedrock below.Testing completed in September 2010,showed the long-term yield to be 450 gpm,higher than the previous studies had estimated. Separation Processes,Inc.(SPI)conducted a detailed economic analysis to confirm the annualized unit cost ofthe new water source was economically viable.The SPI study was complete in November 2010 and on January,2011,the Board authorized staffto proceed with the design ofa wellhead treatment facility. Otay River Groundwater Desalination Facility Many local entities in San Diego County have studied the San Diego Formation and are interested in its potable water supply potential.These include the Sweetwater Authority,the Water Authority,City of San Diego,Otay WD,and the United Stated Geological Service. The San Diego Formation extends from the California-Mexico border to near Mission Bay in San Diego County,a distance ofapproximately 16 miles and from the coast to approximately six miles inland. What is known about the San Diego Formation is that the geology is complex,and at present, only partly understood.The heterogeneity ofthe aquifer makes it extremely difficult to accurately predict groundwater flow or well performance.Few,ifany,investigations have been performed on the San Diego Formation in the Otay River Valley.Most ofthe knowledge is based in the Sweetwater River Valley and the Tijuana River Valley.Therefore, the Otay River Groundwater Desalination Facility (Otay River)project would produce valuable and useful data to aid in characterizing the San Diego Formation that could ultimately lead to the production ofpotable water. The objective of Otay WD and Sweetwater Authority is to plan,and potentially permit, design,and construct an Otay River project within the Lower Otay River Basin capable of producing a sustainable yield ofpotable water as a local supply.The Lower Otay River Basin is located within the Otay River watershed and is that reach ofthe river below the Lower Otay 45 Otay Water District Water Supply Assessment Report Rabago Technology Park Reservoir.The San Diego Formation is the principal aquifer in the South San Diego Bay area and underlies the Otay River Basin and other river basins. The purpose ofthe Otay River project is to increase the quantity oflocal water supply within the South San Diego Bay region by development ofa brackish groundwater well and desalination production system to extract,to the maximum extent practical,groundwater from the San Diego Formation;thereby,reducing imported and treated water demand from the Water Authority and Metropolitan. The development ofthe Otay River project is being developed in a phased approach.The Sweetwater Authority and Otay WD are proceeding with the Otay River project and are participating in all phases of development and intend share equally all aspects and outcomes such as costs,risks,water supply,benefits,etc. The Otay River project effort is currently being accomplished in two phases.Phase I,which is well underway,is envisioned as the planning and feasibility aspects ofthe project intended to determine the viability ofextracting brackish groundwater from the San Diego Formation with the purpose to eventually construct brackish groundwater desalination treatment and transport facilities.Phase II is envisioned as proceeding with a pilot project,environmental compliance,permitting,design,construction,operation,maintenance,and other requirements ofthe Otay River project production and transport facilities to treat the groundwater and deliver the produced potable water to customers ofboth Sweetwater Authority and Otay WD. Proceeding with Phase II is dependent upon the outcomes ofthe Phase I efforts. In 2006,Sweetwater Authority,in partnership with Otay WD received notification from the California Department ofWater Resources (DWR)that Sweetwater Autholity had been selected to receive a matching grant for the Otay River Basin Brackish Groundwater Desalination Study.The grant amount from DWR is $242,000.The combined Sweetwater Authority and Otay WD contribution is $357,000,for a total of$599,000 to accomplish the DWR grant study.Through the Otay River Basin Brackish Groundwater Desalination Study, Sweetwater Authority and Otay WD will determine the feasibility ofextracting brackish groundwater from the San Diego Formation.A portion ofthe work involves the United States Geological Society (USGS)services to construct multi-depth monitoring wells near the Otay River.The monitoring wells have been constructed. In 2007,Sweetwater Authority,in partnership with Otay WD received notification from the Water Authority that Sweetwater Authority had been selected to receive a matching grant from the Water Authority Local Investigations and Studies Assistance (LISA)grant funding program for the USGS Study ofthe San Diego Formation for Potential In-lieu Conjunctive Use concept.The grant amount is $1,500,000.The combined Sweetwater Authority and Otay WD contribution is $1,500,000,for a total of$3,000,000 to complete the LISA grant study. 46 Otay Water District Water Supply Assessment Report Rabago Technology Park The USGS Study ofthe San Diego Formation for Potential In-lieu Conjunctive Use effort has two primary objectives as follows. •Develop an integrated,comprehensive understanding of the geology and hydrology of the San Diego Formation and the overlying alluvial deposits.With this understanding, the sustainable yield ofthe San Diego Formation can be determined founded upon good science. •Use this understanding to evaluate use ofthe alluvial deposits and the San Diego Formation for an in-lieu conjunctive use project for expanded extraction. The study phase,Phase I,ofthe Otay River project is to collect necessary geologic, groundwater,and water quality data that can be used to determine the safe yield from the aquifer and to develop a solidified plan for completing a Otay River project that could potentially yield at least 4,500 ac-ft/yr ofdesalinated potable water. The achievable goals ofthe Otay River project are as follows: •Obtain valuable well data that can be used to determine the hydro geological condition ofthe San Diego Formation in the Otay River Basin. •Determine the water quality ofthe aquifer in this region. •Conceptually layout the facilities needed to collect,treat,and deliver desalinated water to potable water customers ofSweetwater Authority and Otay WD. •Develop a long-range monitoring program for well development and an implementation plan that clearly identifies the steps needed to complete the ultimate project. The Otay River project will allow the partnering each agency to complete a significant step towards developing a new potable water source from brackish groundwater that is currently not used. 6.3.1.4 Potential Ocean Desalination Supplies The Otay WD is currently investigating the feasibility ofpurchasing desalinated water from a seawater reverse osmosis plant that is planned to be located in Rosarito,Mexico.This project is known as the Rosarito Ocean Desalination Facility (Rosarito)project.The treatment facility is intended to be designed,constructed,and operated in Mexico by a third party.On June 21,2010 a report was prepared for the Otay WD by Camp Dresser &McKee,Inc. entitled Rosarito Desalination Facility Conveyance and Disinfection System Project. The Rosarito Desalination Facility Conveyance and Disinfection System Project report 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 Otay WD to import the Rosarito project product water as a new local water supply resource. 47 Otay Water District Water Supply Assessment Report Rabago Technology Park The three main treatment considerations addressed are: •Treatment required for a reliable,high quality source,which blends effectively with the existing water supply. •Treatment and monitoring required for compliance with the California Department of Public Health (CDPH)regulations. •Treatment required for public perception concerns. While the treatment facility for the Rosarito project will likely not be designed or operated by the Otay WD as the lead agency,it is important that Otay WD maintain involvement with the planning,design,and construction ofthe facility to ensure that the implemented processes provide a product water ofacceptable quality for distribution and use within the Otay WD system as well as potentially in other agencies'systems in the region that may use the product water,e.g.City of San Diego,the Water Authority,etc.A seawater reverse osmosis treatment plant removes constituents ofconcern 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 ofboron and chlorides,similar to the levels seen within the existing Otay WD supply sources.The Rosarito Desalination Facility Conveyance and Disinfection System Project report addresses product water quality that is considered acceptable for public health and distribution. The Otay WD,or any other potential participating agencies,will be required to get approval from the CDPH in order to use the desalinated seawater as a water source.Three alternatives approaches are identified for getting this approval:1)Certification ofthe Rosarito project in Mexico by CDPH;2)Disinfection treatment only in the United States,receiving a waiver of specific filtration requirements through CDPH;and 3)Full filtration and disinfection treatment ofwater entering the United States with waiver ofcertain typical Watershed Sanitary Survey requirements.These alternatives vary in their cost and their likelihood of meeting CDPH approval. The Rosarito Desalination Facility Conveyance and Disinfection System Project report addresses two supply targets for the desalinated water (i.e.local and regional).The local alternative assumes that only Otay WD would participate and receive desalinated water,while the regional alternative assumes that other regional and/or local agencies would also participated in the Rosarito project. On November 3,2010,the District authorized the General Manager to enter into an agreement with AECOM for the engineering design,environmental documentation,and the permitting for the construction ofthe conveyance pipeline,pump station,and disinfection facility to be constructed within the District.The supply target is assumed to be 50 mgd. 48 Otay Water District Water Supply Assessment Report Rabago Technology Park The Otay WD is proceeding with negotiations among the parties to establish water supply resource acquisition terms through development ofa Principles ofUnderstanding document. 6.3.2 Otay WD Capital Improvement Program The Otay WD plans,designs,constructs,and operates water system facilities to acquire sufficient supplies and to meet projected ultimate demands placed upon the potable and recycled water systems.In addition,the OtayWD forecasts needs and plans for water supply requirements to meet projected demands at ultimate build out.The necessary water facilities and water supply projects are implemented and constructed when development activities proceed and require service to achieve timely and adequate cost effective water service. New water facilities that are required to accommodate the forecasted growth within the entire Otay WD service area are defined and described within the Otay WD 2009 WRMP updated November,2010.These facilities are incorporated into the annual Otay WD Six Year Capital Improvement Program (CIP)for implementation when required to support development activities.As major development plans are formulated and proceed through the land use jurisdictional agency approval processes,Otay WD prepares water system requirements specifically for the proposed development project consistent with the Otay WD 2009 WRMP updated November,2010.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 ofservice to the proposed land uses,as well as the financial responsibility ofthe facilities required for service.The Otay WD funds the facilities identified as CIP projects. Established water meter capacity fees and user rates are collected to fund the CIP project facilities.The developer funds all other required water system facilities to provide water service to their project. Section 7 -Conclusion:Availability of Sufficient Supplies The Rabago Project is currently located within the jurisdictions ofthe Otay WD,Water Authority,and Metropolitan.To obtain permanent imported water supply service,land areas are required to be within the jurisdictions ofthe Otay WD,Water Authority,and Metropolitan to utilize imported water supply. The Water Authority and Metropolitan have an established process that ensures supplies are being planned to meet future growth.Any annexations and revisions to established land use plans are captured in the San Diego Association ofGovernments (SANDAG)updated forecasts for land use planning,demographics,and economic projections.SANDAG serves as the regional,intergovernmental planning agency that develops and provides forecast information.The Water Authority and Metropolitan update their demand forecasts and supply needs based on the most recent SANDAG forecast approximately every five years to coincide with preparation of their urban water management plans.Prior to the next forecast 49 Otay Water District Water Supply Assessment Report Rabago Technology Park update,local jurisdictions with land use authority may require water supply assessment and/or verification reports for proposed land developments that are not within the Otay WD,Water Authority,or Metropolitan jurisdictions (i.e.pending or proposed annexations)or that have revised land use plans with either lower or higher development intensities than reflected in the existing growth forecasts.Proposed land areas with pending or proposed annexations,or revised land use plans,typically result in creating higher demand and supply requirements than previously anticipated.The Otay WD,Water Authority,and Metropolitan next demand forecast and supply requirements and associated planning documents would then capture any increase or decrease in demands and required supplies as a result ofannexations or revised land use planning decisions. Metropolitan's Integrated Resources Plan (IRP)identifies a mix ofresources (imported and local)that,when implemented,.will provide 100 percent reliability for full-service demands through the attainment ofregional targets set for conservation,local supplies,State Water Project supplies,Colorado River supplies,groundwater banking,and water transfers.The 2010 update to the IRP includes a planning buffer supply intended to mitigate against the risks associated with implementation oflocal and imported supply programs and for the risk that future demands could be higher than projected.The planning buffer identifies an additional increment ofwater that could potentially be developed when needed and if other supplies are not fully implemented as planned.As part ofimplementation ofthe planning buffer, Metropolitan 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 II.4 oftheir 2005 Regional Urban Water Management Plan (RUWMP), Metropolitan states that through effective management ofits water supply,they fully expect to be 100 percent reliable in meeting all non-discounted non-interruptible demands throughout the next twenty-five years.Metropolitan's 2005 RUWMP identifies potential reserve supplies in the supply capability analysis (Tables II-7,II-8,and II-9),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 ofits 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 ofsupply.Section 9 of the Water Authority's 2005 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,completed in May 2006,provides the Water Authority and its member 50 Otay Water District Water Supply Assessment Report Rabago Technology Park agencies with a series ofpotential actions to take when faced with a shortage ofimported water supplies from Metropolitan due to prolonged drought or other supply shortfall conditions.The actions will help the region avoid or minimize the impacts ofshortages and ensure an equitable allocation ofsupplies. The WSA Report identifies and describes the processes by which water demand projections for the proposed Rabago Project will be fully included in the water demand and supply forecasts ofthe Urban Water Management Plans and other water resources planning documents ofthe Water Authority and Metropolitan.Water supplies necessary to serve the demands ofthe proposed Rabago 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 Rabago Project WSA Report and will be included in the future water supply planning documents ofthe Water Authority and Metropolitan. This WSA Report includes,among other information,an identification ofexisting water supply entitlements,water rights,water service contracts,water supply projects,or agreements relevant to the identified water supply needs for the proposed Rabago 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 ofthe proposed Rabago Project and the existing and other planned development projects to be served by the OtayWD. Table 9 presents the forecasted balance ofwater demands and required supplies for the Otay WD service area under average or normal year conditions.The OWD 2005 UWMP demand projection for FY 2010 of49,812 acre feet is substantially higher than the actual demand for that fiscal year.The total actual demand for FY 2010 was 36,500 acre feet.The demand for FY 2010 is 6,500 acre feet lower than the peak demand ofFY 2006 of43,000 acre feet.The drop in demand is a result of the unit price ofwater,the conservation efforts ofusers as a result ofthe prolonged drought,and the economy. The projected potable demand and supply requirements shown the Tables 9,10,and 11 are from the Otay WD revised 2005 UWMP. Hot,dry weather may generate urban water demands that are about 7 percent greater than normal.This percentage was utilized to generate the dry year demands shown in Tables 10 and 11.The recycled water and groundwater supplies are assumed to experience no reduction in a dry year. 51 Otay Water District Water Supply Assessment Report Rabago Technology Park Table 9 Projected Balance ofWater Demands and Supplies Normal Year Conditions (acre feet) Description FY 2010 FY 2015 F¥2020 FY 2025 FY 2030 Demands Otay WD Demand 49,812 57,033 65,229 72,854 82,405 Total Demand 49,812 57,033 65,229 72,854 82,405 Supplies Water Authority Supply 45,772 52,349 59,799 66,560 75,108 Recycled Water Supply 4,040 4,684 5,430 6,294 7,297 Otay WD Groundwater Supply 0 600 600 600 600 Total Supply 49,812 57,033 65,229 72,854 82,405 Supply Surplus/(Deficit)0 0 0 0 0 Table 10 presents the forecasted balance ofwater demands and supplies for the Otay WD service area under single dry year conditions. Table 10 Projected Balance ofWater Demands and Supplies Single Dry Year Conditions (acre feet) Description FY 2010 FY 2015 FY 2020 FY 2025 FY2p30 Demands Otay WD Demand 53,299 61,025 69,795 77,954 88,173 Total Demand 53,299 61,025 69,795 77,954 88,173 Supplies Water Authority Supply 49,259 56,341 64,365 71,660 80,876 Recycled Water Supply 4,040 4,684 5,430 6,294 7,297 Total Supply 53,299 61,025 69,795 77,954 88,173 Supply Surplus/(Deficit)0 0 0 0 0 ..Dry year demands assumed to generate a 7%Increase m demand over normal condItIons for each year In addition to new demand growth. Table 11 presents the forecasted balance ofwater demands and supplies for the Otay WD service area under multiple dry year conditions for the five year period ending in 2015 as from the Otay WD revised 2005 UWMP adjusted to reflect additional groundwater supply 52 Otay Water District Water Supply Assessment Report Rabago Technology Park development of600 ac-ft/yr by the Otay WD.The multiple dry year conditions for periods ending 2020,2025,and 2030 are provided in the Otay WD revised 2005 UWMP. Table 11 Projected Balance of Water Demands and Supplies Multiple Dry Year Conditions (acre feet) Description FY 2011 FY 2012 FY 2013 FY 2014 FY 2015 Demands Otay WD Demand 54,844 56,389 57,935 59,480 61,025 Total Demand 54,844 56,389 57,935 59,480 61,025 Supplies Water Authority Supply 50,675 52,091 53,509 54,925 56,341 Recycled Water Supply 4,169 4,298 4,426 4,555 4,684 Total Supply 54,844 56,389 57,935 59,480 61,025 Supply Surplus/(Deficit)0 0 0 0 0 ..Dry year demands assumed to generate a 7%IOcrease 10 demand over normal conditions for each year 10 addition to new demand growth. In evaluating the availability of sufficient water supply,the Rabago Project development proponents will be required to participate in the development ofalternative water supply project(s).This can be achieved through payment ofthe 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 CUlTent Water Authority and Metropolitan UWMP,IRP,Master Plans,and other planning documents.These new water supply projects are in response to the regional water supply issues related to climatological,environmental, legal,and other challenges that impact water source supply conditions,such as the court rulings regarding the Sacramento-San Joaquin Delta and the current ongoing western states drought conditions.These new additional water supply projects are not currently developed and are in various stages ofthe planning process.The Otay WD water supply development program includes but is not limited to projects such as the Middle Sweetwater River Basin Groundwater Well project,the North District Recycled Water Supply Concept,the Rosarito Ocean Desalination Facility project,and the Rancho del Rey Groundwater Well project.The Water Authority and Metropolitan's next forecasts and supply planning documents would capture any increase in water supplies resulting from any new water resources developed by the Otay WD. The Otay WD acknowledges the ever-present challenge of balancing water supply with demand and the inherent need to possess a flexible and adaptable water supply implementation strategy that can be relied upon during normal and dry weather conditions. The responsible regional water supply agencies have and will continue to adapt their resource 53 Otay Water District Water Supply Assessment Report Rabago Technology Park plans and strategies to meet climate,environmental,and legal challenges so that they may continue to provide water supplies to their service areas.The regional water suppliers along with Otay WD fully intend to maintain sufficient reliable supplies through the 20-year planning horizon under normal,single,and multiple dry year conditions to meet projected demand ofthe Rabago Project,along with existing and other planned development projects within the Otay WD 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 ofthe Rabago Project as well as existing and other reasonably foreseeable planned development projects within the Otay WD for a 20-year planning horizon,in normal and in single and multiple dry years. 54 Otay Water District Water Supply Assessment Report Rabago Technology Park Source Documents County ofSan Diego,December 22,2010,Letter Request to Initiate the Preparation of a Water Supply Assessment for the Rabago Technology Park,SB 610 and SB 221 Compliance. Compliance request letter received January 10,2011. County of San Diego,February 8,2010,Letter Request to Initiate the Preparation ofa Water Supply Assessment for the Rabago Technology Park,TM 5568,SB 610 Compliance. Compliance request letter received February 9,2011. City ofChula Vista,"Otay Ranch General Development Plan/Sub-regional Plan,The Otay Ranch Joint Planning Project,"October 1993 amended June 1996. County ofSan Diego,"East Otay Mesa Specific Plan Area,"adopted July 27,1994. Otay Water District,"2009 Water Resources Master Plan Update,"dated November,2010.. MWH Americas,Inc.and Otay Water District,"Otay Water District 2005 Urban Water Management Plan,"December 2005 amended July 2007. Camp Dresser &McKee,Inc.,"Otay Water District Integrated Water Resources Plan,"March 2007 San Diego County Water Authority,"Urban Water Management Plan 2005 Update," November 2005 amended May 2007. Metropolitan Water District ofSouthern California,"Regional Urban Water Management Plan,"November 2005. 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. 55 Otay Water District Water Supply Assessment Report Rabago Technology Park Geoscience Support Services,Inc.,"Otay Mesa Lot 7 Well Investigation,"May 2001. Boyle Engineering Corporation,"Groundwater Treatment Feasibility Study Ranch del Ray Well Site,"September 1996. Agreement for the Purchase ofTreated Water from the Otay Water Treatment Plant between the City of San Diego and the Otay Water District. Agreement between the San Diego County Water Authority and Otay Water District regarding Implementation ofthe East County Regional Treated Water Improvement Program. Agreement between the San Diego County Water Authority and Otay Water District for Design,Construction,Operation,and Maintenance ofthe Otay 14 Flow Control Facility Modification. Agreement between the Otay Water District and the City of San Diego for Purchase of Reclaimed Water from the South Bay Water Reclamation Plant. 56 Otay Water District Water Supply Assessment Report Rabago Technology Park Appendix A Rabago Technology Park Vicinity Map 1 Otay Water District Water Supply Assessment Report Rabago Technology Park • OTAY WATER DISTRICT RABAGO TECHNOLOGY PARK VICINI TY MAP APPENDIX A D0833-090093 2 Otay Water District Water Supply Assessment Report Rabago Technology Park Appendix B Rabago Technology Park Development Plan 3 LONE STAR ROAD------=-.::::;:::---- .'i!ILOT7LOT8LOT9ILOT12I~ STREET'S'I LOT 130,.-/",'m~,"_,'~"an'u ,9~I LU I«>~~I LOT 6 LOT 5 a:LOT 10 LU I~0 LOT 11 LU ...J ~~:::>>-~00«CIJcoDAVID0RIDGE DRIVE«~~~f:l ~LU «LU~~u.~u.~I LOT 3 LU LOT 4 LOT 18 LOT 17 ILULULOT14z...J LU~I ~LU ~0t;\«~I u:::c CIJ ...........~U j Z~;LUzLOT1LOT19lLOT16zLOT2LOT15«>OTAY MESA ROAD ------- -- - .AB.EA....IQIA1 LOT TOTAL.55.70 AC PUBLIC ROADS TOTAL .15.37 AC SUBDIVISION TOTAL.71.07 AC J..O.I.....AREA GROSS AREA =OVERALL LOT AREA LOT NO.GROSS AREA (AC LOT NO.GROSS AREA (AC) 1 2.82 11 1.74 2 2.75 12 2.20 3 2.64 13 8.05 4 2.70 14 3.92 5 2.19 15 4.02 6 3.90 16 1.98 7 3.83 17 1.84 8 2.20 18 2.15 9 2.65 19 2.09 10 2.03 COMMERICAL/INDUSTRIALLANDUSE: ~OTAY WATER DISTRICT•o ~1u.A 0\RABAGO TECHNOLOGY PARK ~~ C/)',$$/J DEVELOPMENT PLANf::'R DIS"(~00833-090093~ APPENDIX 8 Ota\,Water District Board of Directors Meeting April 6,2011 LONE STAR ROAD 1 I~ 0:::C :&0:::W LL1 18 0:::zW LOT 13 LOT 12 P LOT 18 LOT 17 .-w LOT 14w0:::ti\ LOT 19 LOT 16 LOT 15 MESA ROAD ..oJW<:I:o :E ---I-- LOT 7 LOT 8 LOT 9 STREET'S' w LOT 6 LOT 5 ~ 0:::LOT 10c t---t------t 9 lij LOT 11 w0::: ---__-'--~=---J~"""------::~...J......_---"tiDAVID~RIDGE D~R:-::-IV-:--E-----' 0:::<LL ~.- LOT 3 w LOT 4w0::: ti\ LOT 2 LOT 1 OTAY c0:::1<-~I..oJ ::J0to w~Iz~I zz«> Background Senate Bills 6 0 and 221 became effective on January 1, 2002,w·th the primary intent to improve the link between water supply availability and land use decisions. 58 610 Water Supply Assessment (WSA): •Requires water purveyor to prepare a Water Sullll!¥ ssessmentreport for inclusion in land use agency CEQA documentation 58 221 Water upply Verification: Does not apply to the Rabago ~roject for it is an industrial subdivision.----:--~~~~ The Rabago Project Water Supply Assessment Report •Board approval requ·red for submittal of the WSA to the County of San Diego .~.,.2 Rabago Technology •19 Industrial Lots on 71.1 acres ark •Potable Demand:67.5 AFY I Recycled Demand 8.7 AFY " ,'z'z!~ I'II::.:,_ -, -, I ,: I ",, --~~~~l:_'-~~~'=~-=--·E:~~~lI=·_~~o. ; ,OTAY' _.~~..=~.~~~---:'-:-=-;~~f~~:~;i:<-",-=:~ I -f ...~~ 1- '~.::'.'.1 C EI.~~j:" t .\o.;,~,,:,:::t ), J.- DRAFT THEM£TROPOUTANWAT£R DISTRICT OFSOUTHERNCALIFORNIA _...._._.16.....-- ,"CC>eI,CtoGl\lV«llm'l'e''CiIUoIl·_· 0l.......,:t M'.I14"a1I"'S'<O'~...G::wl'Irm.11W ~~1./III'III"I'I~/'II ,,.;.......,~_W::Mafr.:"'~r~..mrJ'1'II I~u..1"'13Qt:1I_0nWnSW'I~!I!JlCII"IS....'IO.3O:~_~..r.:-..p h;me .....(;,'O'/IIVI~IOaal'toCp.1l<Tq<¥9'9'f'W".r.~IQtI.'tT ra...r~1M'~~105O~''1 u..»nlMgo'W9'D't..'C!U~r,.'I;InQllI\CWI1"-ln~glJ"'F4~1'_r;;I~lAt..!;;tt...t.fi;..~II'I_:106Cw .lYf,n.. _~Q/t'!lIr::>llO~4lI~/'tt IJ~pIM:Ir,~"""'_~_1I'I,..n.""'_~I>'IOI.~IOIr:l"'tAI";A",f",f~.y-'Jl......U.I<.l_._Qoa»._~__-..-...-a.-.:_............~:w..."'ll::w.-I....XISO~~G<Cl'4t"J\ra..."te_d_''''IIWIP''''~''''i-no~II9..".~~__I'It."l._.__~~71_~_ ~_)U~(SC5).~..-~~et _lil"._lnor~":UWO;-_~..."-:MtokAI r-C61>.....1Ol)00__a"'~t*J'l:,Jlav.,p..2-.""'1\..C!l:iUOt1 III --~"_..~-""'---"'''''''-''"'--~-=--~'Sb......for •~...._"f:~"""~""""".Iu;;;J~l ,,...-_.....>l1tl _-..... pt.VO"l....,~<l'J::t"OU1l"lt,bOQ .........._••"r."'I~lIIo~~''''lUl>I'''''''~~;:::I':.A"'.i3."""_A(''lI!lS8:r.S_'''''G'~f''''''''r~_G<n'Wnoft.<II'IOOC" ~r~lIoo;,....~:,;r__••.....,.~_;~_....~'"'-.000.1~._,.,..--. """001.._011",,,1011,r",,,,.pl.tn-w.g"">d....'IC_"w~.~..._"":rt.CUKl.Ct'/lIu",llo....\l...:>OO.~~~Ia><.Iuly.$AlIoO/lG....If.....e-J..........lll...f,.......:Irll,l"lI ....I.J..~".I""'...r...,e.....:o:~9o..-<.I..!~'·"">,;"""'I""''''V''"'''''''''''''!r~c"'••.J-dvO'''JII..L,>!"'.",.",~.t""oN",,,,,,,.,.,,""""............cr.:llo':<'fl':<l<SI""""lrl"'...:r_'''''''.....od~....n<~~""I"""''''''"1~....,..r"""'-itr>l'GCle-'for_••I..-'9t1"...'II<):t>f1lmcn1lbl,-"'"""1<lpm~"'p;.I:."'_l/".."".. ~.~ ~I ...kJoI'I~''"......,'".1 ..,tlO>10;.,""''M1..-.,.,,,,~SAAr.iAG~...,-r 'flU~f7(l":,,""',lc>:J1 'lI"......otC~:"':-'IIl'S~"",....<'V,,~ll'''''iIlM;,".mrpnr~I~..rryr.........""","1tl1l'..m.'I ,m..,""fQl~o:.:.,"'" ........~.............. Rabago 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 b,e .-reassessed and redistributed with intent to serve existing and future needs. 5 "'I.., - Rabago Project Wa er Supply Assessment •The WSA Report docum,ents the planned water supply projects and the actions necessary to develop the supplies. •Water supply for the Rab,ago Project and for existing and future developments within the O-istrict for a 20-year planning horizon,under normal and in single and multiple dry years are plan"ned for and are intended to be made available. 6., Otay Water District Planned ocal Water S pply Projects •ancho Del Rey Groundwater Well (500-600 AFY) Rosarito Ocean Desalination Project (24,000- 50,000 AFY) _Otay Mesa Lot 7 Groundwater Well (300-400 AFY) > r,t.. 7 ----....-2005UWMP-Act ual Demands -Projected Demands Projected Balance of Potable Water Supplies and Demands Normal Year Conditions (AFY) Description FY 2010 FY 2015 FY 2020 FY 2025 FY2030 Demands Otay WD Demand 49,812 57,033 65,229 72,854 82,405 Total Demand 49,812 57,033 65,229 72,854 82,405 Supplies Water Authority Supply 45,772 52,349 59,799 66,560 75,108 Recycled Water Supply 4,040 4,684 5,430 6,294 7,297 Total Supply 49,812 57,033 65,229 72,854 82,405 Supply Surplus/(Deficit)0 0 0 0 0 Actu I Demand vs.2005 UWMP Fiscal Year Conclusion •Water demand and supply forecasts are included in the planning documents of Metropolitan,Water Authority,and the Otay Water District. •Action necessary to develop the identified water supplies are documen ed Rabago Project 58 610 WSA demonstrates a d docume ts that suffic·ent water supplies are planned for and are intende to be available over the next 20 years. 9 Conclusion co,ntinued •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 abago Project Water Supply ssessment clearly documents the current water supply ---.-.........~-:----~------..-..., situation. 10 Staff Recommenda ·on That the Board of irectors approve the Senate Bill 610 Water Supply Assessment Report dated February 2011 for the Rabago Technology Park r,oject. .'".. 11 Questions? LONE STAR ROAD 1 I~ "o :E"W ILL I~ "zw LOT 13 LOT 9 LOT 12 C LOT 18 LOT 17 ...w LOT 14w"~\ LOT 19 LOT 16 LOT 15 MESA ROADI ...J W«Io :E LOT 8 LOT 5LOT6 LOT 7 1----+-----1 9~tu"LOT 10 LOT 11 w c " ------l...--=--_~~~--' DAVID ~RIDGE DRIVE "«LL ~ I- LOT 3 w LOT 4w "~\ LOT 2 LOT 1 OTAY c "I«~I...J :J0III w~Iz~I ...z..""z«> Water Supply Ass,essment Rep,o,rt fOf'thle Rabago Technology Park Project 58 610,Compliance ...... ... 12 AGENDA ITEM 5 STAFF REPORT MEETING DATE:April 6,2011 DIV.NO.50210- 20.309 FILE NO: Regular Board David Charles,~ Public Services Manager Rod Posada,Chief,Engineering ~~APPROVED BY: (Chief) TYPE MEETING: SUBMITTED BY: APPROVED BY: (Asst.GM): SUBJECT: Manny Magana,Asst.GM Engineering &operatio~~ Duke Sewer Annexation to the Otay Water District Improvement District No.18 (APN:519-281-07-00) GENERAL MANAGER'S RECOMMENDATION: Adopt Resolution No.4171,the annexation of the property owned by David L.and Suzanne M.Duke to the Otay Water District Improvement District No.18. COMMITTEE ACTION: Please see Attachment A. PURPOSE: The purpose of the proposed annexation is to provide sewer service to a parcel located at 3279 Cottonwood Springs Lane, Jamul,California 91935.(APN 519-281-07-00) ANALYSIS: A written request and Petition signed by David L.and Suzanne M. Duke,has been received for annexation of APN 519-281-07-00 into Improvement District No.18 for sewer service.The total acreage to be annexed is 1.08 acres.The property is within the sphere of Otay Water District and will be part of Improvement District 18 after the Board of Directors approves this request. The property is located at 3279 Cottonwood Springs Lane,in Jamul and County of San Diego. FISCAL IMPACT:~ The property ow ers wlll be charged $10 per year for availability fees. STRATEGIC GOAL: Provide sewer service to meet increasing customer needs. LEGAL IMPACT: No legal impact. Gener 2 ATTACHMENT A [SUBJECT/PROJECT:Duke Sewer Annexation to the Otay Water District Improvement District No.18 (APN:519-281-07-00) COMMITTEE ACTION: The Engineering,Operations,and Water Resources Committee reviewed this item at a meeting held on March 23,2011 and 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. RESOLUTION NO.4171 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT APPROVING THE ANNEXATION TO OTAY WATER DISTRICT IMPROVEMENT DISTRICT NO.18 OF THOSE LANDS DESCRIBED AS "DUKE SEWER ANNEXATION"(FILE NO.0210-20.309/DIV. 5) WHEREAS,a letter has been submitted by David L.and Suzanne M.Duke,the owners and party that has an interest in the land described in Exhibit "A,"attached hereto,for annexation of said land to Otay Water District Improvement District No.18 pursuant to California Water Code Section 72670 et seq.;and WHEREAS,pursuant to Section 72680.1 of said Water Code,the Board of Directors may proceed and act thereon without notice and hearing. NOW,THEREFORE,THE BOARD OF DIRECTORS OF THE OTAY WATER DISTRICT FINDS,RESOLVES,ORDERS AND DETERMINES as follows: 1.A depiction of the area proposed to be annexed,and the boundaries of ID 18 following the annexation,is set forth on a map in Exhibit "B"filed with the Secretary of the District, which map shall govern for all details as to the area proposed to be annexed. 2.The purpose of the proposed annexation is to make sewer service available to the area to be annexed,which availability constitutes a benefit to said area. 3.The Board finds and determines that the area proposed to be annexed to ID 18 will be benefited by such annexation and that the property currently within ID 18 will also be benefited and not injured by such annexation because after the annexation a Page 1 of3 larger tax base will be available to finance the sewer facilities and improvements of ID 18. 4.The Board of Directors hereby declares that the annexa- tion of said property is subject to the owners complying with the following terms and conditions: (a)The petitioners for said annexation shall pay to Otay Water District the following: (1)The processing fee at the time of application; (2)State Board of Equalization filing fees in the amount of $350; (3)The sewer annexation fee at the time of connection to the Otay Water District sewer system; (4)Yearly assessment fees will be collected through the County Tax Assessor's office in the amount of $10 for APN 519-281-07-00; (5)In the event that water service is to be provided,Petitioners shall pay all applicable water meter fees per EDD at the time the meter is purchased;and (6)Payment by the owners of APN 519-281-07-00 of all other applicable local or state agency fees or charges. (b)The property to be annexed shall be subj ect to taxation after annexation thereof for the purposes of the improvement district,including the payment of principal and interest on bonds and other Page 2 on obligations of the improvement district,author- ized and outstanding at the time of annexation, the same as if the annexed property had always been a part of the improvement district. 5.The Board hereby declares the property described in Exhibit "A"shall be considered annexed to 1D 18 upon passage of this resolution. 6.The Board of Directors further finds and determines that there are no exchanges of property tax revenues to be made pursuant to California Revenue and Taxation Code Section 95 et seq.,as a result of such annexation. 7.The annexation of APN 519-281-07-00 to the District's Improvement District 18 is hereby designated as the ~DUKE SEWER ANNEXATION". 8.Pursuant to Section 57202 (a)of the Government Code, the effective date of the DUKE SEWER ANNEXATION shall be the date this Resolution is adopted by the Board of Directors of the Otay Water District. 9.The General Manager of the District and the Secretary of the District,or their respective designees,are hereby ordered to take all actions required to complete this annexation. PASSED,APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of April,2011. President ATTEST: District Secretary Page30f3 Exhibit A Land Description State Board of Equalization Change in Jurisdictional Boundary A tract of land situated in the of Town ofJamul,the County of San Diego,and the State of California,lying in part of the North Half of Fractional Section 32,Township 16 South,Range 1 East,San Bernardino Meridian,being lot 14 of Map No.9664,filed in the office of the County Recorder of San Diego County,May 28,1980 and more particularly described as follows: From the point of commencement which is the Northeast corner of said Fractional Section 32: Course 1.South 88°33'54"West a distance of 1318.84 feet Course 2.North 88°43'35"West a distance of 1894.86 feet to the Northeast corner of said lot 14,being the POINT OF BEGINNING of the tract herein described; From the point of beginning: Course 3.South 3r 23'45"West a distance of 361.53 feet to the Southeast corner of said lot 14; Course 4.Being the beginning of a non tangent curve,concave Southerly,having a radius of 328.00 feet,a radial line to said point bears North 32°23'45"East;thence Westerly along said curve 101.05 feet through a central angle of lr 39'06"to the Southwest corner of said lot 14; Course 5.North 14°44'39"East a distance of 278.98 feet to the Northwest corner ofsaid Lot 14. Course 6.South 88°43'35"East a distance of 215.00 feet to the Northeast corner of said lot 14; Contains 1.076 acres,more or less,according to the County of San Diego Assessor records. EXHIBIT 8 ANNEXATION PLAT D~~INIIX1(Q)~1Rl~INICGlXIl$:lIOO $!i:CG.:l!®'U'.lIrw $.[ffi.1I.~. ,O,C, NORTHEAST COR.FRAC, SEC 32. LEGEND 1 =80 MAP NO. SCALE: DATE:DRAWN BY: BOUNDARY OF PROJECT AREA TO BE ANNEXED INTO THE OTAY WATER DISTRICT 00 INDICAlES COURSE NUMBER ••~o ~."" tCINITY MAP~NoT.S. I mi~~~i~!'~~I--------O-T-A-Y-\-VA-T-E-R-D-IS-T-R-IC-T--------tll------. ~ANNEXAllON PLATt~:::_:_--r__::~=--"'T""::==~S~TA.,.TE..;;..;B;...O,;.;A..RD....;;O-F...;;E:..;Q..;.UA;...U;...Z:;.A:.;,ll;.;;O,;.;N_C;:.;.H;...A;...N..;.GE:..;.;.IN.;..;.JU;:.;.R;...IS;.:D,;.;IC..,ll;.:O..NA..;:L;...;;.BO.;..U_N_D."AR:'I':Y~::rm:"l'l"'i::-------' ~REV.DAlE DESCRIPllON I-....;C~O::::O=I~~S _.~RECORDERS F!P~t---t---f-----I REC.DAlE 0 ~OTAY W.D.DEED NO._ '"IMP.DIST.NO. Quality Assurance Approval Sheet Subject:Duke Sewer Annexation to the Otay Water District Improvement District No.18 (APN:519-281-07-00) Document Description:Staff Report for April 6,2011 Board Meeting Project No.:0210-20.309 Author: QA Reviewer: Manager: ~t~SI nature David Charles Printed Name /t!;:I)~ Gary Silverman Printed Name Signature Rod Posada Printed Name Date The above signatures attest that the attached document has been reviewed and to the best of their ability the signers verify that it meets the District quality standard by clearly and concisely conveying the intended information; being grammatically correct and free of formatting and typographical errors;accurately presenting calculated values and numerical references;and being internally consistent,legible and uniform in its presentation style. AGENDA ITEM 6 STAFF REPORT 1DIV. NO. R2091- 001103 April 6,2011MEETINGDATE: PROJECT/ SUBPROJECT: Regular Board Daniel Kay tp'i- Associate Civil Engineer Ron RiPpergerJ~~~ Engineering ~a~r Rod posad~~ Chief,Engineering Manny Magafi~~ Assistant General ~anager,Engineering and Operations APPROVED BY: (Asst.GM): APPROVED BY: (Chief) TYPE MEETING: SUBMITTED BY: SUBJECT:Award a Construction Contract to Sepulveda Construction,Inc. for the 944-1R Recycled Water Pump Station Upgrades and System Enhancements Project GENERAL MANAGER'S RECOMMENDATION: That the Otay Water District (District)Board of Directors (Board) awards a construction contract to Sepulveda Construction Inc. (Sepulveda)in the amount of $1,162,423 for the 944-1R Recycled Water Pump Station Upgrades and System Enhancements Project (see Exhibit A for Project locations) COMMITTEE ACTION: Please see Attachment A. PURPOSE: To obtain Board authorization for the General Manager to enter into a construction contract with Sepulveda for the 944-1R Recycled Water Pump Station Upgrades and System Enhancements Project in an amount not to exceed $1,162,423. ANALYSIS: The 944-1 Recycled Water Pump Station is a key pumping facility for the District's recycled water distribution system.Based on the 2002 Water Resources Master Plan (WRMP)the Pump Station was originally designed to only provide service to the Central Service Area.The supply to the Central Service Area comes from a 30-inch recycled water transmission main from the City of San Diego's South Bay Water Reclamation Plant (SBWRP).The water is pumped through the 450 pump station and the 680-1 pump station before it reaches the 944-1 Pump Station. The 2002 WRMP also proposes the Otay Mesa Service Area to receive recycled water from the same 30-inch transmission main.However, after a study done by Harris &Associates in 2005,the Otay Mesa Service Area was found to be better supplied by a pipeline constructed in Wueste and Airway Roads.This alignment is better known today as the "Otay Mesa Recycled Water Supply Link.u These changes resulted in significant cost savings for the District's CIP. Due to the new location of the Otay Mesa Service Area supply,the 944-1 Pump Station will serve both the Central and Otay Mesa Service Areas.The additional service area and the updated demands in the November 2010 WRMP require capacity upgrades to the 944-1 Pump Station.In order to achieve the higher capacity,a third pump and motor system must be installed.This added pump system will not only provide the additional capacity to meet the higher demands,but will provide redundancy in the event that a pump requires repairs and must be taken out of service. The new pump and motor will require a variety of electrical and instrumentation upgrades to the Pump Station.HVAC improvements are also planned with this Project to improve the air flow through the facility and thereby lower the temperature while the pumps are operating.A new air gap is also being installed with this Project between the potable feed to the 680-1 Recycled Reservoir. Part of the scope of this Project will also include providing a solution to several areas within the 944 pressure zone that are now experiencing higher than acceptable pressures.In order to resolve the high pressure,three (3)Pressure Reducing Stations (PRS)will be installed in Olympic Parkway,Eastlake Parkway,and Otay Lakes Road.The PRSs will reduce the pressure in three (3)areas of the 944 system and create new lower pressure zones.This solution is much more cost affective than replacing the existing pipelines in the three (3)areas along with valves that are currently receiving the higher pressure. The Project was advertised for bid on January 14,2011 on the District's website and several other publications including the Union Tribune and San Diego Daily Transcript. 2 A non-mandatory Pre-Bid Meeting was held on February 8,2011.A presentation was given by District staff to explain the Project and discuss any questions or concerns from the contractors.There were nineteen (19)contractors and suppliers that attended the meeting and meeting minutes were published. Subsequently,three (3)addenda were sent out to all bidders and planhouses to address questions and clarifications to the contract documents during the bidding period.Bids were publicly opened on March 3,2011 with the following results: TOTAL BID CORRECTEDCONTRACTORAMOUNTBIDAMOUNT I.Sepulveda Construction Inc.$1,162,423 2.NEWest Construction Co.,Inc.$1,272,200 3.Falcon General Engineering Inc.$1,295,810 $1,308,810 4.HPS Mechanical Inc.$1,345,150 5.Spiess Construction Co.,Inc.$1,387,650 6.TC Construction Co.,Inc.$1,398,500 7.Ahrens Corporation $1,412,000 $1,411,700 8.CCL Contracting,Inc.$1,516,000 9.Eastern Valley General Engineering Inc.$1,548,900 10.Cass Construction Inc.$1,557,000 1I.Metro Builders &Engineers Group,Ltd.$1,647,000 The Engineer's Estimate is $1,375,000. 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 December 1,2011.Staff checked the six (6)references Sepulveda provided and found that two (2)references provided positive feedback.The other four (4) references did not provide feedback because the projects were either out of date or their project managers were no longer available for comment.Staff requested Sepulveda to provide additional references to verify their experience.Sepulveda provided two active projects with the Los Angeles County Sanitation District and their feedback was positive,however the progress of the projects were in the early stages of construction.Sepulveda also provided additional information including an extensive resume of their assigned project manager,a letter certifying that their project manager will be assigned to the project and a letter of recommendation from the University of California Los Angeles (Exhibit B).In summary, 3 Sepulveda,as a company,has limited feedback with positive results and their project manager,as an individual,has extensive feedback with positive results.Staff has determined that the references are valid and that Sepulveda is a "good"rated company. District staff also received a bid protest from the second low bidder,NEWest Construction (Exhibit C)claiming that Sepulveda's bid was unresponsive.Their bid protest claimed that Sepulveda did not provide a proper certification letter by the electrical subcontractor to provide a complete integration system,as required by the contract documents,which could result in "bid shopping." District staff and general counsel analyzed the protest along with Sepulveda's bid package and determined that their bid was responsive and the omission of the certification letter was inconsequential . .See the District response to the bid protest in Exhibit D. Staff has verified that the bid bond provided by First National Insurance is valid.Once Sepulveda signs the contract,they will furnish the performance bond.Staff will verify the performance bond before the District exec tes the contract. FISCAL IMPACT: The total budget for CIP R2091,as approved in the FY 2011 budget, is $3,950,000.Total expenditures,plus outstanding commitments and forecast,are $1,749,273.See Attachment B for budget detail. This Project will cover Phase I of the 944-1R Recycled Water Pump Station Improvements.Phase II,which consists of replacing another pump,will be installed at a future date.Based on a review of the financial budgets,the Project Manager has determined that the budget is sufficient to support the Project. Finance has determined that 100%of the funding is available from the Expansion Fund for CIP R2091. STRATEGIC GOAL: This Project supports the District's Mission statement,"To provide the best quality of water and wastewater service to the customers of the Otay Water District in a professional,effective,and efficient manner,"as well as the General Manager's vision,"...prepared for the future..."by guaranteeing the District will always be able to meet future water supply obligations and plan,design,and construct new facilities. 4 LEGAL IMPACT: None. P,\WORKING\CIP R2091 -927-1 PS Recycled PS Upgrade\Staff Reports\BD 04-06-11,Staff Report,944-1R Recycled Water Pump Station Upgrades and System Enhancements,(DK-RR).doc DK/RR/RP:jf A -Committee Action B -Budget Detail Location Map Reference Material Provided by Sepulveda -Bid Protest from Newest Construction -District Response to Bid Protest Attachment Attachment Exhibit A - Exhibit B Exhibit C Exhibit D Attachments: 5 ATTACHMENT A .........................1 R2091-001103 sUBjECTjpR6jECT:"'-A;;-;;;:~'~r-a--C';~st ~~c t i on Cont r act t ;'s~p~i;~da for th'~..944 - 1R !Recycled Water Pump Station Upgrades and System !Enhancements Project..............! "~.H _•••••_•••_•••••_••H••••••_•••••• COMMITTEE ACTION: The Engineering,Operations,and Water Resources Committee reviewed this item at a meeting held on March 23,2011.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 Otay Water District R2091 -RecPS-944-1 Pump Station Upgrade Date Updated:February 25,2011 BUdget 3,950,000 Committed Expenditures Outstanding Commitment& Forecast ProjectedFinal Cost Vendor/Comments f:llannin~L_ Labor Contracts Service Contracts Total Planning 16,011 19,775 5,817 414 42,017 I 16,011 19,775 5,817 414 42,017 16,011 5,817 PBS&J -········--1-----------'--4i-11'-4,1-··-SANISTEGOUNION-TRIBUNELLC 42,017 ---- [)E!S!Q~_ Labor ~----._-.-Other Agency Fees-"~--------_._--_...._--_..--,Consultant Contracts Infrastructure Equipment Total Design --- -- 310,039 310,039 I 1·r- i i-i -I- I !-Il _ 149,759 -,--------.._-~._-- 5,000 CITY OF CHULA VISTA._.---------_.._...,,-------,--._.20,833 JC HEDEN AND ASSOCIATES INC..------------------_... 350 MWH CONSTRUCTORS INC.__.---'---------._.--..-._._--------- 70,263 HDR ENGINEERING INC - ------~--_._---------_.._------_._---56,095 ENGINEERING PARTNERS INC,THE-------.'-_..-_..__..__._,,--------~._-- 5,451 FLOW SCIENCE INC 2,276 PBS&J "--------_.--.-------..._._-------- 13 US BANI<CORPORATE PAYMENT 310,039 -_.-.- - 1-- .------...-----------. Construction-_..•_-------..._--- Labor -Trl!fa~~ucture=Equi~n1e~t&iV1ate ... -- . 1 --.-..------- Service Contracts ----------Equipment Rental --Construction Contract -----..-.--- 10%Conntingency --------~. Closeout Total Construction Grand Total - ---- I.L 37,469 I ___1~601 _~1'~~~J 295 1--1-459 1------4251 --.::::-38-1__--- 920 1 --841----r-~~I-152 I---1;162,423[-:"--r ----1- 1,208,444 1,560,500 37,469.1 -1-;-860 I 1~98ir ... ---170r ----295 r- ....459! ____L__ 425 i 38 '-----------I ----- 920 I. 84 i -2,168-1 --i52 i 46,021 398,077 62,531 I______.1. i ---t-- ...i- iI··-i,162,423T 116,242 i.---..---1---10,000 I 1,351,196 I 1,351,1961 --cc-cc-,-I·------------........------------ ---------100,000 - - ---------_.-1,860 MINARII<CORPORATION----------------_._--.1,981 USA BLUE BOOI< --- 170 Use Tax ---C::29:'5cc-1 PENHALL COMPANY _..'-,,_._----------------- 459 T M PEMBERTON 425-DENNY;S-CONCRETE PUMPING ---------------~--------------- 38 US BANI<CORPORATE PAYMENT 920TECHKNOWSIONINC- -"---------.-._..---_.._..~-----------_._-----'_. 84 SAN DIEGO DAILY TRANSCRIPT--._-------..._----------_.-2,168 MAYER REPROGRAPHICS INC ~._--~---------_.._------------------_._..-.".._---152 US BANI<CORPORATE PAYMENT -------_._--~_._.1,162,423 Sepulveda Construction Inc_ --,_.-----~---- 116,242--10;0-00 1------------------.------. 1,397,217 1,749,273 PROCTOR ~<wZ<... VICINITY MAP PRS NO.3¥-- PRS No.1 It.0\.'(",\,\0 ~PRS No.2 944-1R PUMP STATION to..0: (J) l1. I.....",'" ~•aTAY WATER DISTRICT~••944-1 R RECYCLED WATER PUMP STATION UPGRADE ~~.AND SYSTEM ENHANCEMENTS ~I LOCATION MAP CIP R2091o.:'--....L ....;;;;.;;;.;.;...;.;.;.,;;,,;,,;.~.;.;.;......;;.;._.--- EXHIBIT A IEXHIBITBI SEPULVEDA CONSTRUCT,Klli 233 W;CerritosAvenue Anaheim,CA 92805 (714)683-0818 (714)683-1105fax www.Sepu/vedaConst.com March 11,2011 Mr.Daniel Kay,P.E. Associate Civil Engineer Otay Water District 2554 Sweetwater Springs Blvd., Spring Valley,CA 91978-2004 Subject: Dear Daniel, 944-1RRecycled Water Pump Station Upgrade and System Enhancements (CIP R2091)Bid Upon your request,I am submitting a comprehensive experience matrix ofourstaffat Sepulveda Construction Inc to supplement and clarify the reference information we submitted for the subject bid. Mr.Dean Chesnut is the Construction Manager at Sepulveda Construction.At such a role,he is personally responsible for the management and delivery ofthe 944-1R Recycled Water Pump Station Upgrade and System Enhancements Project.He has more than 25 years ofexperience as a contractor and/or superintendent including working for the Kiewit Companies,a major heavy civil construction company in Southern California for fourteen years.He has worked many years at various other construction firms prior to joining Sepulveda Construction.As a contractor and/or superintendent,he has managed many civil,mechanical,and structL1l'al construction projects,large or small,and in similar natures to the 944-1R Recycled Water Pump Station Upgrade and System Enhancements Project.A comprehensive project list and resume for Dean is attached for your review. Mr.Chesnut is supported by Mr.Mike Hofmann,the EstimatorlProject Manager at Sepulveda Construction.Mr.Hofmann has worked with Mr.Chesnut in thepast in similar p ojects.A few ofsimilar project experience for Mr.Hofmann is attached for your review as well. Serving public agencies as such Otay Water Districts is a special focus for Sepulveda Construction.Currently,we are working ontwo projects for the Los Angeles Sanitation District with similarpiping,mechanical,and electrical work.I believe we have the requisite experience and ability to complete the 944-1R Recycled Water Pump Station Upgrade and System Enhancements Project based on the evidence we have provided to you. Mr.Kay March 11,2011 Page2of2 IEXHIBITB I Ifyou would desire,Mr.Chesnut and I are happy to meet you to present our experience and technical ability for the project in person and explain to you how we plan to build the project for the District. Ifyou need any additional information,please don't hesitate to contact me at (714)683-0471 or pliu@SepulvedaConst.com. eter Liu,P.E. President epulveda Construction Encl:Chesnut and Hofmarm projecL reference matrix Chesnut Resume Recommendation letter from UCLA IEXHIBITBI Dean Chesnut, General Contractor 233 W Cerritos Avenue Anaheim,CA 92805 714-683-0818 714-683·1105 fax dchesnut@SepulvedaConst.com PROFESSIONAl EXPERIENCE 2009-Present 2007-2009 2005-2007 1991-2005 sepulveda Construction,Inc. Construction Division.Chief •Manage the operations ofthe division •Supervise office and field staff and personnel •Lead in investigation,evaluation,and bidding of projects •Chief estimating •Project Manager and ManagerofSuperintendents APMFG Vice-presidentofConstruction •Manage the construction ofthe Town ofYucca Valley Solar Carport •The fabrication ofoverhead monorailforthe LRT Eastside Extension. •Roosevelt HS bleachers.Fabrication and Installation. •SylmarHS Bleachers.Fabrication and Installation •LACSD Marina 1 and 2 Force main replacement,newvalve structure and Junction structure. •Estimating Cora Constructor Inc. Prolect Manager •Construction of booster pump station forSan Bernardino WaterAuthority and The City ofRialto. •Estimating Kiewit Companies SUPerintendent.PtQlect Manager •The construction ofwaterpumps station,wwtp,wtp,reservoirs,co-gen,rail roads,pipelines and bridges. leXHIBITBI Construction Manager,Dean Chesnut's Job History and Reference Date,P.......Dos<~'-' __l1>ora.p;;;j" DoIbrValue Owne,WortctrII:for Role Cantoo:t/-... Cel'990 oStruc:tu,..~Pipinr.......hnk.1. _.99.UCIA<-n G.,...,.u....PlantontheUClAeIIfT'1DU1 E~'c.1 $90.000.000 UCLAFacilities KIew~e:..-nies SuperintendMt OnldJoIl"",n3.0-125-3402 Nov1991 BuildCommercial unitandBusinessCenterHt Concrete.5tHiStuetweand Feb 1993 ConlnlC<>mmo"'"VeracrurMe:dco _I ~7000000 Constructorl Muon K_Comolo_'_Enol_,NlA Fob 1993 MrA/MCor.nk/ 00<1993 TW3 14MUllSofrailreturbish .....Roodw"'"510.000.000 Amlnok Klewlte- Suoo__ NIA -.nCollfomie Doc1993 ".placeIridcespanin.12hrwtndowfot bitRoadWorkand~Statl 1la11rood/M.lnlIinI:/( Morml99C Mo.....,.RRItld..eo."or!Moualnk 8......5 500,000.00 outer KIewItCom......P NlA J...1!94 Fob allekMolJntaI"Re.ter'fIOirRate01F~8Wld.RFC.tM intoexisrtrwraMnIClIrandliCW •Structur61.Plpin.,MedV'lIcal. _m_ 1915 QlnIToI buJldl-!I-5 5.000.000.00 Wow_tv KIowlte-nlos P......Mon_NlA Aprill99S CIty'"Albuquo,-Wi..,Tno._'"Plant Structural.Piplnc.Mechnkll. J..l996 <-Nlon C1o~-outllll.......ates"comnlolo Electrical $34000.000.00 I'''''"'....~ue,~ue X...tComMnte,_octMonoo.,NIA May1996 stroeturllr,PIPinc.Mecl'lnical,SinDIeto W•• A..1997 Mlra,",rResar¥Oi,3MiltonGatRuenJIOIrand Boost"P\IfTIOI £I_I $1l.llOO,llOO,oo A"t.......K_~P....ct__ HIA 5op1997 Strueturll,Plptnc,Mechriat. Jon1998 PoitttlornaWut8WaterTrutnwntPlant IuUd l dl-lII'Sie:t.flartlbdt.and.....Irtenanc~1....-...5 23.000,000.00 CIty01San 0.....KIew.~-.......,NIA _1999 c.ana.tofoloboy.3dnp...Rpum)ll,_'"51_1........__ SoP 1999 StormW..,Pump5tat!on4.51:GPM 1_n,2ItWor....ond.__I $6.000.000 POI<oI'-_IOowlt C»mmnIos ......_714.564.2701 Jan2000 Doe CanInIfItM.2lric:tlnlfilters.2D\pItltrranks,2 struetur.r,PlpI""~t. 2000 W~tarTrntmentPIantU_....00rtfIe"endCoen....-529000000 1.....01......-1d IOltwitc:ommnles ".NIA an2l101 Jun rsMGQ;w-;'___MedwlnlCAllond Strudu~I.Plpinc.Mitdw'lical. 2002 'Ibonnol£00_5""-Tonk -..--$12.000.000 UCLAFdttles 1Qow'~,,_...-TomLukas310.206.1844 Jun2OO2 Structunll.Plpin&,Mechnk:aI. Jon2003 BlIlCtcRocklWefYOir 12MG RfttInuirwithIIFkNtcontrofBulkfi1w -Sf.aoo.ooo T......·Woodn>w IOowlteamoo_NlAFoIl_Ion BiJld'i.Mnaoftradc.2Cutandeo...rTunllel..Rail ~Wcm.,StntcturaJWId c)ri :Il105 GoldL1ne From UnIonSt.tio"toMonrov"and9TnoIn_wort<5300000.000 MrA Itl....lt~rriel Quant(Control ~.Na'NlA lui_likeSkinnerW.terT'HtmlnIPllnt Slnlctunol.Piplrc._Icol.'arsons asown.rJ constructionFell_IEmlnsbtwithOJ:oneCcnladlor BuildOanrle'.Sed Baslna.CroneContICtor Electrl~1 5175.000.000 MWO ShlmmlctConstr~Slructunll_nclent ma.,....contKtnot...illl*.)un_Set6Cln.ndpwnpl.Conltrue:t:Bulldlncand StructUl'llI.P1pt""MechnlnL W.SlV.lleyWater ....:l1li7 6-2 BoosterPUmDSutlon Electral Electricol 51.200000 District ceraConItrUctOf1,&tlm.tor PM SuDerintendent _(oIollOUIU...•• Fob_BuIld.CarJ'Of'with SolarPower Rooftosell ThiTownotVueca A11'_SeD_Yu=aV_SolarCORlOrt _bocIctothoGrld3llKWH Struetutlland aeetriCll $400.000 V....Monufact......EstIm,tor PM,Su,flintendent _~7fiO._"·· Fell2llOt Duicn.F.I",............U50latLillo....anbin CIty01 Redondo AlI",,- De<2llOt Redondolleoch5oiaI1llk.PI'"LIohtlno I.....5tru<t\nlanda_S 175.000.00 -"'".-EIt...........PM,s.,..~_Iob~11131&.0&61·· Fell2llOt Demo.ManufKhnand Instal1600seat A1J""'- De<_lAU50b1e_,..............Rc_~H5 bIIut."with2MJArwnps Structuralcanerate ands\MI 5 600.000.00 LAU50 Es1i.........PM.S<o>or_nden,_ChoIleaIan2U.YII.095.. FoIt_Demo.UPIf'de uisti"lb&eac:her toADA AII""-Clark Sullhren81L3M.2UJno~ 110<_I.AU50 _....ec:omontS¥1,..,H5 """'lJ/IaroC.CancnloADA"""endHR Structuraleoncm:e_netdllll 5 45Q.000.00 lAUSO Monulo"""'..EItI..-r.P....SlJpo_..._til... rolo_Itoplaul200hI120l_.n.wJ_SCN<turoI.Pi91rc.-.lAoAnpluCounty ....",,- rolo20l1 MNtna tlnd2.beemain ,.~acemlnt II:rUeturIandnewVI"'"sttuetu,.El_1 S 475.000.00 -Monufoctur...~.PM._ndo",~...."_31~D·· sepulwdaConstruedon NationalParle {ConttKtedundI:rIt'.AuiJtPMRoyKimIn SopZlllD Josh.-T,••RoIId Stnp~rc.Plno8aJIn iJashuaT...RoodStrlpplnl.ndSalo..5ervIce.USOaptoJ p.rmlcompnyhcftjrn Coordinateconstruction Joe~.JoIhuaTrwNatioNl htk Nov3ll1l RoId ROlite 11.tJoshuaT,..NationalPlrk ImDrOVfnMIntJ evil.Roodwork $58.819.00 Interior 1_~..1n<.1 KlMu...nd_760.401.3436 IEXHIBITBI F.b2011 HarondoStrHtPutrP"IPlantinlblll.tlon PllCeeaneretw!enclosureSOG andWalls.Set StrtJC'tUnll.Piptna.Mechnkll.TheS.nitaUon sepulYet:bl Constructionan.......015"__",,,,,ondEnclosure GtneratorandElectJiQllnmllitiOn Ekoc1l'\ClII $15,000.00 District()fLACounty Inc:.Eltimllclf:PM.Su~nbndcnt Irenethai'll310.631.1161t:'Xt6BI8 Construct2000tfofTnptlll!)idandVl:hN1nat. F,b20U P.-meHillst-ndfiMDralnap JunctionStrUd:Uf8.ndHOPEandCMPWId...ro.d heSllnitatlon Seputvec:b Constructionan_IIIIQJGIlIWl"I'IIItrttS-2011 crouu.s Elrthwott.CCI"IC;rla $265,000.00 DistrictofLACounty Inc:.Estimator PM,~~nt KiltGreeb562.901.4288ext6017 ~d'Construction Disilnlbulid .413kwsobir Pinelinmllation lCanlrododuod.,if,AulnPMPetarUUin _2009 atapofthe roofslIbofthane....KeyesE\l~.n PlrentcompanyPacRim CaordiMteconstructionan._r..-EuropeanF~SolIrP'O"ect Fac:lItvBulldl..Slnl""nol,Ekocttlcal S 2,950,000.00 bw.sMotora:EnoI_Inc,1 ICthdtlesandsubcontractors La"...AbrlmJOn118.917.4451 Estimator/Proi Manager,MikeHofmann'sJob History and Reference--AuJ Build boosterPumpStltlonwithpumps,pipe.Structur<ll,Plp'roc.Mechnieal. EotIma"",PM,Su-ntlIIWI1__Putnp Slallon okocttlcal,bulldl...ondhord""po E_I S 2,000,000.00 Cfly01Oro-OnCOnstructors TUI taaIfI'£1l4.2II..U15.. April2005f..IluIId4MIG,3MIG .ndMod.2M/G.......1"SlrIlclufll.Plpl"l.Me"'"""!,P.dfieTankforWitt-West:ValinLytic CreekStor--RlIHrvoir __I.ndH.na..ElootriCllf $2.000,000.00 Vall.....WaterDlstJ1ct CoraCol\Itru=ws istirnlltor.PM,~intendent I,..,.,CointllU13.61..•• Sop-AprIl PumpStation..Pumps,andplplnc.<:hemalIUd.structutll,Pipl,.,Mechnltlll,MonhiVista W.ter 2llOt Woll31 .nd01-.o_'cal,H.rd.....E1m,""1 'S 1,300,000.00 District CoraConstructors EstiPMtor,PM,SJ.B.rIntendent JeffMalone9O!JBI.1ZID•• ••-Rec.ntumibrproj.l:tJforo.'nand Mlko IEXHIBITB' UNIVERSITY OF CALIFORNIA,LOS ANGELES UCLA 8ERXEL£Y,DAVIS.IRVINE ,LOSANGELES .MERCED.IUVEaSIDE •SAND1EOO ,SANFaANClICO •SANTAIlARIlARA .SANTACItUZ FACIUTIES MANAGEMENT,DESIGNol PROJECTMANAOEMEm 731 CHARLES E.YOUNG DRIVE SOI1Tl\,3""FLOOR fOSTOFFlCE80X 9'1526 LOS ANGELES,CALIFORNIA900U·lS26 March 1,2011 Letter of Recommendation 946160Thermal Energy Storage Tank Project UCLA Energy 5ervIces To Whom It May Concem, This letteris my personal recommendation for Dean Chesnut I had theopportunity to work with Dean when I managed the design and construction ofthe UCLA Thermal Energy Storage Tank Project Dean was the designated Construction Manager for this $14 mllDon dollar project which installad a 5 million gallon underground concrete tank and assoclated mechanical infrastructure.The successful completion ofthis project added mo then 30,000ton hours of chilled water capacity to the University district energy system." Jhave always found Dean to bean excellent and efficient Construction Manager who always came to work with a can do attitude.The depth of hisengineering and construction knowledge was a key element In the completion of the project.Dean demonstrated excellent interpersonal skills when dealing with the various architects,engineers and sub contractors associatecl with the project.In design and construction meetings,Dean always presented innovative ideas and s ategies.Throughout years ofthe project Dean implemented a numberofInnovative and successful construction strategies that kept the project budget and schedUle manageable for a major Capital Project. I highly recommend Dean Chesnut foryour consideration.Dean would make a great asset for any project team. Sincerely, 'rI.~'d/""'--- Tom Lukas Principal Project Manager Design.Landscape &Project Management Facilities Management BUilding,Third Floor 731 Young Drive South Los Angeles CA 90095-1526 03/94/2011 10:90 8585379653 NEWEST CCN5TRUTICH leXHIBIT c I PAGE 01181 tic.ll847SSS 7847 Dmlbroolt Road SuiteC San Dlqo,CA.92126 Ph.858·537.0774 Fall8S8·537·96S3 Man:h 4,2011 Mr.Muk Watton,General Manager OtayWater District 2554 Sweetwater Springs Blvd SpliIliValley,CA 91978 Fax #619-670·8920 Re.:Bid for 944-1R Recycled Water Pump Station Upgrade and System Enhancements ClPR2091 Dear Mr.Walton, On MatCh 3,2011 bids were received for the above referenced project.The apparent low bid is listed as Sepulveda Construction.Sepulveda Construction's bid pac:kage contained multiple I&C system integrator certifications.This is in violation ofspecification section 17000,paragraph 1.03.D.,which states,''The complete control system shall be furnished by a single integration fum who shall assume total responsibility forsatisfactory perfonnance ofthe complete system." By listingm.u1tiple companies the apparent low bidder's bid should be deemed non-responsive. The District has no assurance to which integrator the spparc:nt low bidder will use or intended to use,which could result in bid shopping.Bid shopping is not allowed in accordance with Public Contract Code 4100-4114. We request that no award bemade on this project until we have ample time to review the rejection from the District and respond accordingly.We believe that ourbid meets the contract requirements and we are the low responsive bidder for this project.An award ofthe contract to any bidder besides NEWest Construction would violate California Government Code,standards andpractices applicable to competitive bidding on public ~ks projects. Ifyou have any questions please feel free to contact me at 858-537-0774. Sincerely, IEXHIBITD I March 16,2011 ...cDediooted to Coml1luntty ge.\vwe 2554 SWEETWATER SPRINGSBOULEVARD.SPRING VALLEY,CALIFORNIA91978-2004 TEL.PHONE:670-2222.AREA CODE619 www.Dlaywater.gov Project No.:R2091-001103 Mark Jennette NEWest Construction Company,Inc. 7847 Dunbrook Rd.,Ste C San Diego,CA 92126 SUBJECT:Response to Bid Protest for the 944-1 R Recycled Water Pump Station Upgrade and System Enhancements Dear Mr.Jennette: The District received your formal bid protest,dated March 4,2011,for the above subject project. District staff and legal counsel have reviewed and analyzed the protest and have determined that Sepulveda Construction's (Sepulveda)bid package is responsive. The protest appears to be based on a claim that Sepulveda could engage in bid shopping by providing certifications from several potential systems integration subcontractors.A reasonable interpretation of section 1.04(A)of Section 17000 actually seems to require certifications for each prospective systems integrator;thus,not only would the multiple certifications not be in violation of the bid requirements,they would actually be in compliance with it.Further,Sepulveda's bid package appears to be responsive notwithstanding the omission of a certification for the listed subcontractor,Southern Construction Company (Southern),as that discrepancy would seem to be inconsequential.Sepulveda listed only one electrical subcontractor,Southern,and thus would appear to comply with the requirement of a single systems integration firm. The District is moving forward with a recommendation to award the contract to Sepulveda at the April 6th Board Meeting.Should you have any questions or comments, please contact me at (619)670-2247,or by email at daniel.kay@otaywater.gov Sincerely, OTAY WATER DISTRICT ~V Daniel Kay,P.E. Associate Engineer DK:jf cc:Rod Posada Ron Ripperger Richard Romero,Stutz Artiano Shinoff &Holtz P"WORKING'CIPR2091 -927-1 PSRecydedPSUpll'adelDesign\llidPhase'Response10Old ProtestfromNewest.doc Quality Assurance Approval Sheet Subject:Award a Construction Contract to Sepulveda for the 944-1 R Recycled Water Pump Station Upgrades and System Enhancements Project Project No.:R2091-001103 Document Description:Staff Report for the April 6,2011 Board Meeting Author: QA Reviewer: Manager: Signa~V Daniel Kay Printed Name Gary Silverman Printed Name ~~~ Signature Rod Posada Printed Name ~/Irll( Date Date Date The above signatures attest that the attached document has been reviewed and to the best of their ability the signers verify that it meets the District quality standard by clearly and concisely conveying the intended information;being grammatically correct and free of formatting and typographical errors;accurately presenting calculated values and numerical references;and being internally consistent,legible and uniform in its presentation style. AGE DA ITEM 7 STAFF REPORT April 6,2011 n/aDIV. NO. P1210- 017000 Regular Board MEETING DATE: James Peasley ~~~ROJECT/ Engineering Mara:;er USUBPROJECTS: Rod posada~~ Chief,Engineering Manny Magan~~ Assistant General~anager,Engineering and Operations APPROVED BY: (Ass\.GM): APPROVED BY: (Chief) SUBMITTED BY: TYPE MEETING: SUBJECT:Revision to the Cooperative Agreement for the United States Bureau of Reclamation Title XVI Funding for the Otay Water District Recycled Water Infrastructure Program GENERAL MANAGER'S RECOMMENDATION: That the Otay Water District (District)Board of Directors (Board) authorizes the General Manager to execute a revision to the Cooperative Agreement for the United States Bureau of Reclamation Title XVI Funding for the Otay Water District Recycled Water Infrastructure Program. COMMITTEE ACTION: Please see Attachment A. PURPOSE: To obtain Board authorization for the General Manager to execute a revision to the Cooperative Agreement between the United States Bureau of Reclamation (USBR)and the City of San Diego (City)for the USBR Title XVI funding for the Otay Water District Recycled Water Infrastructure Program.The single purpose of the Cooperative Agreement revision is to replace the City of San Diego,Public Utilities Department,with the Otay Water District,as the recipient of federal funds per terms of the Cooperative Agreement. ANALYSIS: The Reclamation Wastewater and Groundwater Study and Facilities Act of 1992,Public Law 102-575/Title XVI/Section 1612 authorizes the Secretary of the Interior to participate in the construction of water reclamation projects in the San Diego area/with Federal financial participation limited up to 25 percent of eligible project costs.It had been determined by the previous USBR/s legal counsel that the City of San Diego is the agency authorized to receive Federal funding under this authority.Therefore/the existing Cooperative Agreement between the City and USBR executed on August 4/2006 and the existing Cooperative Sub-Agreement between the City and the District provided the vehicle for the flow of Federal funding to Otay through the City for the District/s Recycled Water Infrastructure Program.The Board authorized the General Manager to execute the Cooperative Sub- Agreement on March 13/2006. The purpose of the Cooperative Agreement and the Cooperative Sub- Agreement provides Federal funding to plan/design/and construct the District/s Recycled Water Infrastructure Program that will distribute recycled water for beneficial use.The Cooperative Agreement covers the cost of activities necessary for the construction of the District/s Recycled Water Infrastructure Program.The total estimated cost of these projects within the Cooperative Agreement is $80/645/000. Also/under the terms of the Cooperative Agreement the District is entitled to incur costs/in a total amount not to exceed $10/000/000/ for allowable costs incurred on or after January 1/2001/which incurred after execution of the Cooperative Agreement.In accordance with the Cooperative Agreement/the District is eligible to receive reimbursement for a portion of total allowable costs in an amount up to and not to exceed $2/500/000 (i.e./25%of $10/000/000). It is the District/s promise to perform the contractual obligations under the terms of the Cooperative Agreementi otherwise the City would not have entered into the Cooperative Agreement and the Cooperative Sub-Agreement.The City/s role under the current Cooperative Agreement and the Cooperative Sub-Agreement is merely to act as a "pass-through"agency in order for District to obtain Title XVI funding.As such/the City/s sole obligation under the Cooperative Agreement is related to submitting funding requests and accepting funding. The single purpose of the Cooperative Agreement revision is to replace the City of San Diego/Public Utilities Department/with the Otay Water District/as the recipient of federal funds per terms of the 2 Cooperative Agreement.In other words,the District will receive the Federal funds directly from USBR. See Attachment B for a copy of the revision to the Cooperative Agreement.The City has executed the revision to the Cooperative Agreement. FISCAL IMPACT:~ Within the Cooperative Agreement there is an estimate of $80,645,000 for the Otay Water District Recycled Water Infrastructure Program and $10,000,000,for allowable costs incurred on or after January 1,2001, in which costs incurred after execution of the Cooperative Agreement. USBR staff states that Federal money for Title XVI funding will be paid eventually at the total of 25 percent even though less is expected to be appropriated in the near term.This is the intention and has been their policy in the past.As additional funds become available,USBR will continue to obligate funds to agreements until they are fully funded.The intent is that the full 25 percent will be provided over time,as long as funds continue to be appropriated by Congress. The total estimated amount of USBR Title XVI funding available to Otay Water District over time could be as much as 25 percent of $90,645,000 or about $22,600,000. The District has expended nearly $47,511,000 for our Recycled Water Infrastructure Program since January 1,2001 through December 31, 2010.To date USBR has paid and the District has received $9,510,000. As of December 31,2010,the USBR owes the District almost $2,368,000 and the District should get paid over time when Congress appropriates the funds. STRATEGIC GOAL: The USBR Title XVI grant funding 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."The Project fulfills the District's strategic goal,in planning for infrastructure and supply to meet current and future potable water demands. LEGAL IMPACT: None. 3 Attachment:Attachment A Attachment B Committee Action Assistance Agreement 4 P1210-017000 ATTACHMENT A Revision to the Cooperative Agreement for the United States Bureau of Reclamation Title XVI Funding for the Otay Water District led Water Infrastructure COMMITTEE ACTION: The Engineering,Operations,and Water Resources Committee reviewed this item at a meeting held on March 23,2011.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. Quality Assurance Approval Sheet Subject:Revision to the Cooperative Agreement for the United States Bureau of Reclamation Title XVI Funding for the Otay Water District Recycled Water Infrastructure Program Document Description:Staff Report for April 6,2011 Board Meeting Project No.:P1210-017000 Author: James Peasley QA Reviewer: Manager: Printed Name B~~~ Signature Bob Kennedy Printed Name Signature Rod Posada Printed Name ~\n \1--'~_\__ Date ~\L-\_\_ Date The above signatures attest that the attached document has been reviewed and to the best of their ability the signers verify that it meets the District quality standard by clearly and concisely conveying the intended information; being grammatically correct and free of formatting and typographical errors;accurately presenting calculated values and numerical references;and being internally consistent,legible and uniform in its presentation style. ATTACHMENT 8 7.2279 (05-2]~09) Bureau ofReclamation UNITED STATES DEPAR~NTOF THE INTERIOR BUREAUOF RECLAMATION ASSISTANCE AGREEMENT P 1 f2age0 IA.AGIUlllMeNTNUMBER \lB.MODNUMBER I2.TYPE01'AGREEMIlNT 13.CLASS OF REClPIEN'l' R06AC35182 016 [1 GRANT Special DistrictfX'1 COOPERATIVE AGREEMENT 4.ISSUING OFFICE ("AMB,ADDJUI<")S.RECIPIENT(NM1l1"AOOJl.I3S8.i~LErIIONl!) SCAO-20CO Otay WaterDistrict Southern California Area Office 2554 Sweetwater Springs Blvd. Bureau ofReclamation SpringValley CA 91978-2096 27708 Jefferson Avenue,Suite 202 Temecula,CA 92590 J!lN#:I 95-2049267 I COWlly:.1 San Diego DONS#:I 078726031 1 Congn:S3.Oist:I CA-Sl 6.ADMfNISTRATIVB POINI'OF CONTACT('N"AMF.',AODRE89.Tlll.1U'~N1!,&MAlL}7.RBCIPIBNTPROJECT MANAGER(N1\Mll.,.ADDkI!SS.,'l'Iill:!:POONE,B-l'rWL) Dennis D.Wolfe,SCAO-20aO JimPeasJey BureauofReclantation Otay Water District 27708 Jefferson Avenue,Suite 202 2554 Sweetwater Springs Blvd. Temecula,CA 92590 SpringValley CA 91978-2096 Phone:951-695-5310,E-mail:dwolfe@usbr.gov Phone:619-670-2242,E-mail:JPeasley@otaywater.gov ~.GRANTS OPPICERTECHNICAL RBPRESllN'l'ATlVll (N'AMH.AnDRESB,il:!..l.!!l'OON£,e-9A.1Nl1'IALAGREEMENT 9B.MODIFICATION EFFEcrIVll DATE: MAJL)EFFECTIVE DA'l'E: Dennis D.Wolfe,SCAD-2000 Date signed byGrants OfilccrBureauofReclamationAugust4,2006 27708 Jefferson Avenue,Suite202 10.COMPLBTlON DATB Temecula,CA 92590 Phone:951-695-5310,E-mail:dwolfe@usbr.gov June 30,2021 II PROGRAM STATIJTORY AUT!IOIUTY ICFDA 15.504Sccliont6121111eXVIofPub.L 102-575.as amended 12.I'llNDING ReCIPtENT/grUBR.RECLAMATION 13.REQUISITION NUMBER !Nf'ORMATJON Total &timated Amount $60,483,750 $20,161,250 L4A.ACCOUNTlNG ANDAPPROPRlATIONDATA ofA1ZTt.'cmcnt CostAuth'>rltyz AIQ·I712-600O-195-Z0-Q-QThi.Obligation 0 0 CoS!Center:3501000 Previous Obligation $71,135,000 $9,510,000 ObjeetCod.;411C Total Obligation $71,135,000 $9,510,000 14B.TREASURY ACCOUNT FUNDING SYMBOL Cool-Share %75%25%14X0680 IS.PROIEcrTITLE ANDBRIEF SUMMARY OF PURPOSE AND Ol!.lECTIV:ES OF PROJllCT Thecooperative agreementtitled Otny Water District,RecycledWater [ntTnatrucwre Program.San Diego Water Ru.Iamntion ProjectIS modified os follows: 1.Therecipient is changed from theCity ofSan Diego tothe atay WaterDistrict. 2.Theagreementnumber is chWlged from 06FC3S0182 toR06AC3SJ82. 16a.Accoptance ofthis Assi8tance Agreemont in accordance with the terms and 173.Award ofthisAs.ii~tnncc::.Agreementin accordancewilh the termsand conditions conmined herein IS herebymadeon behalfofthe above..named conditions contained·herein is herebymadeon behalfofthe IJnltcej Stales of Recipient America,Burc:au ofRecla.mQUon SEE SIGNATURE PAGE BY'SEE SIGNATURE PAGE BY; DATn: DATU: 16b,NAME,TITLE.AND TELEPHONE NUMBEROF SIGNER 170.NAME 01'GRANTS OFPICER 0 Additionalsignaturesnreattached Cooperative Agreement No.R06AC35182 Modification No.016 OtayWaterDistrict,Recycled Water Infrastructure Program,San Diego Water Reclamation Project SIGNATURE PAGE: The City ofSan Diego,Public Utilities Department,is herebyreplaced as the recipient ofthis cooperative agreement by the Otay Water District.The transfer will be effective upon execution oftbis modification by the two agencies and the Grants Officer,which will mean: iego,Public Utilities Department,is relieved ofa11 responsibilities related to cooperative C35182,previously known as 6FC350182. By:_---:/-_l_'-"'-'_~~-..:.'_\A.--t Date:3/1.-/1) Ro r S.Bailey Director ofPuolic Utilities City ofSan Diego The Otay Water District assumes all responsibilities related to this agreement. By:_~Date:_ Mark Watton General Manager Otay Water District The transfer ofresponsibilities from the City of SanDiego to the Otay Water DistriCt is hereby approved. By:Date: William J.Steele Grants Officer AGENDA ITEM 8 STAFF REPORT 2DIV. &NO. P2440- 001000 P2440- 005000 April 6,2011 PROJECT/ SUBPROJECTS: MEETING DATE: Ron Ripperger ~ Engineering Manager Rod posada~ Chief,Engineering Manny Magafi~ Assistant Generaluranager,Engineering and Operations Amendments to Utility Agreements with Caltrans related to Construction of the SR-905 Utility Relocations Regular Board Gary Silverman~Y Senior Civil Engineer APPROVED BY: (Ass!.8M): SUBJECT: APPROVED BY: (Chief) SUBMITTED BY: TYPE MEETING: GENERAL MANAGER'S RECOMMENDATION: That the Otay Water District (District)Board authorizes the General Manager to sign Amendments to two Utility Agreements (Nos.31755 and 31926)with the California Department of Transportation (Caltrans)(see Exhibit A for project location) COMMITTEE ACTION: Please see Attachment A. PURPOSE: To obtain Board authorization for the General Manager to sign Amendments to two Utility Agreements with Caltrans (Nos.31755 and 31926;see Exhibits B-1 and B-2). ANALYSIS: In 2003,Caltrans notified the District of its intent to construct SR-905 from Heritage Road to SR-125 within Otay Mesa. SubsequentlYt the District entered into several Utility Agreements with Caltrans to establish prior rights and cost sharing for relocation of existing and proposed District utilities that were in conflict with Caltrans'design.This current action addresses Amendments to two of the existing Utility Agreements. The cost estimates that determined the original value of the subject two Utility Agreements were based on known conditions and understandings at the time each Agreement was executed.Due to changes in field conditions,conflicts with other utilities, other agencies planned utilities,and Caltrans'requested design changes,the project costs exceeded the estimated costs. The work associated with both Utility Agreements is complete. The amount of each Amendment was determined based on the actual final costs.The District has already invoiced Caltrans for the amounts of the previous Agreements.Upon execution of these Amendments,the District will invoice Caltrans for the additional costs,as shown in the table below.Caltrans has assured Staff that the amounts to be reimbursed to the District in the Amendments have been set aside in the authorized funding for the SR-905 construction. Agreement Number 31755 31926 Total Previous Agreement $141,140 $35,000 $176,140 New Agreement $292,000 $79,000 $371,000 Reimbursement to District $150,860 $44,000 $194,860 FISCAL IMPACT: Approval of these amendments will allow the District to invoice Cal trans an additional $194,860. STRATEGIC GOAL: This project supports the District's Mission statement,"To provide the best quality of water and wastewater service to the customers of the Otay Water District,in a professional, effective,and efficient manner.n As well as the General Manager I s vision,"...prepared for the future...n by guaranteeing that the District will always be able to meet future water supply obligations and plan,design,and construct new facilities. LEGAL IMPACT: Legal counsel reviewed these Utility Agreements for consistency and content. 2 Gene 1 Manager P:\WORKING\CIP P2440 -SR-905 Utility Relocations\Staff Reports\BD 04-06-11,Staff Report,Amendments to Utility Agreements with Caltrans for SR-90S Utility Relocations (GP$-RR).doc GPS/RR/RP:jf Attachments:Attachment A -Committee Action Exhibit A -Location Map Exhibit B-1 Utility Agreement for No. Exhibit B-2 Utility Agreement for No. 3 31755 31926 0 UTILITY CONSTRUCTION POTABLE RECYCLEDAGREEMENTSTATUS 1 Future Future TBD TBD 2 31758 100%12"N/A 3 31759 100%10"to 12"to 10"N/A 4 31756,31817 100%20"12" 5 31757,31921 100%None None 6 31728,31779 100%Keep existing 16".. 7 31755 100%See Plan .. 8 31926 100%Keep existing 16"N/A ..The Dismcl'sSubareaMastef Plan shows pfoposed fecycled.Recycled will be placed aftef Route 905. ®Crossing Number,Work Area I I Potable -New to----Potable Cap -Existing to - - --..Potable -Existing to remain Potable Abandoned -Existing Recycled -New..,----e Recycled Cap -Existing Sewer -New ~I 1"=2000' -- SIEMPRE VIVA RD HDR 8 4 -- ~ij!~....~I •,,; HDR 1 fi!~-.........._.'.·-IIIIIIIiI__·...~-.-_-.-_·__._-IIIIIIiI-,...... GTAY WATER DISTRICTI•.SAlt ~,ROUTE 905 UTILITY RELOCATIONSSIS CIP P2440f.....• EXHIBIT A EXHIBIT B-1 STATE OF CALlFORN1A·DEPARTMENT OF TRANSPORTAT10N AMENDMENT TO UTILITY AGREEMENT DATE:January 26,20 I I 13-EX-24 (REV 4/2002) Page 1 of2 Dist 11 Co 3D Rte 905 KP (P.M.) RI3.9/RI8.6 EA 091821 1100000070 Federal Aid No: Owner's File:CU 12242 A905 (015 ) FEDERAL PARTICIPATION:On the Project On the Utilities [gJ Yes [gj Yes DNa DNa SECOND AMENDMENT TO UTILITY AGREEMENT NO.31755 WHEREAS,the State of California,acting by and.through its Department ofTransportation,hereinafter called STATE and OTAY WATER DTSTRICT,hereinafter called OWNER,have entered into that certain Utility Agreement No.31755 dated July 14,2006 and First Amendment dated November 21,2008 which Agreements sets forth the terms and conditions pursuant to which OWNER has relocated its water facilities in Airway Road and Harvest Road,to accormnodate STATE's construction on Route 905,ProjectNo.091821;and, WHEREAS,in the petfonnance of said work,increased costs over and above those estimated at the time of the execution of said Agreement were incurred primarily due to the increase ofadditional services required due to additional design, plan check,construction management,inspection,and operations services. WHEREAS,it has been deteIDJined that,since fmal costs have ovenw the amount shown in said Agreement by 107% when the increased cost exceeds by 25%the estimated amount set forth in said Agreement,said Agreement shall be amended to show the increased cost ofthe work to the STATE;and, WHEREAS,the estimated cost to the STATE ofthe work to be performed under said Agreement was $141,140.00,and by reason ofthe increased costs referred to above,the amended estimated cost to the STATE is $292,000.00. NOW,THEREFORE,it is agreed between the parties as follows: I.The estimated cost to the STATE 0[$14],140.00 as set forth in said Agreement is hereby amended to read Phase 9 funds increase to $292.000.00. 2.All othertenns and conditions ofsaid Agreement remain unchanged. ***************** AMENDMENT TO UTILITY AGREEMENT EA 091821 SECOND AMENDMENT TO UTILITY AGREEMENT NO.31755 13-EX-24 (REV 4/2002) Page 2 of2 THE ESTIMATED TOTAL COST TO STATE FOR ITS SHARE OF THE ABOVE DESCRIBED WORK IS $292.000.00. FUND TYPE EA AMOUNT Design Funds $ Construction Funds $ RWFunds 091829 $150,860.00 1100000070 CERTIFICATION OF FUNDS [hereby certify upon my own personal knowledge that bUdgeted funds me available for the period and pUTlJose ofthe expenditure shown here. il.h~J/n/fJ____7r ;1 1-10-Accp{mwnk Officer Date ITEM CHAP STAT FY AMOUNT iMi()~o'BqO f(//JI(;)-'lid-.:??C~0 101ft {50,13VJ.t1} Already encumbered Total $141,140.00 $292,000.00 IN WITNESS WHEREOF,the parties hereto have executed this SECOND AMENDMENT to Utility Agreement No.31755 this day of ,2011. STATE:DEPARTMENT OF TRANSPORTATION OWNER:OTAY WATER DISTRICT By By NamelTitle Date By Carol Yu Utility Coordinator Dace By DO NOT WRITE BELOW -FOR ACCOUNTING PURPOSES ONLY EA I((/1J?/?/){if0 SUB JOB c;c".( SPEClAL DESIGNATION FFY ij UTILITY COMPLETES: OBJ DOLLAR FA CODE AMOUNT ("054 I';t _i ff'O r:![J 054 EA FUNDING VERIFIED:REVIEW/REQUEST FUNDING: Sign> Print>( \ '....J \Joyce Wiaas RfW-Planning and Management Date Sign> Print>Carol Vu Utility Coordinator Distribution:4 originals to R/W Accounting 4 originals returned to RJW Planning and Management EXHIBIT B-2 ~TATE OF CALIFORNIA.DEPARTMENT OF TRANSPORTATION AMENDMENT TO UTILITY AGREEMENT DATE:January25,2011 13-EX-24 (REV 412002) Page I of2 Dist 11 Co SD Rte 905 KP (P.M.) R13.9fR18.6 EA 091821 1100000070 Federal Aid No: Owner's File: A905 (015 )E FEDERAL PARTICIPATION:On the Project On the Utilities IZJ Yes l:ZJ Yes DNa DNa FIRST AMENDMENT TO UTILITY AGREEMENT NO,31926 WHEREAS,the State ofCalifornia,acting by and through its Department ofTransportation,hereinafter called STATE and OTAY WATER DISTRICT,hereinafter called OWNER.,have entered into that cel1ain Utility Agreement No.31926 dated November 21,2008 which Agreement sets forth the terms and conditions pursuant to which OWNER has relocated its water facilities in Airway Road,to ".ccommodate STATE's construction on Route 905,Project No.0918?-1;and, WHEREAS,in the performance of said work,increased costs over and a10ve those estimated at the time of the execution ofsaid Agreement were incurred primarily due to the increase ofadditional services required by the design consultant, plan check,consrruction management,field inspection,and operations services. WHEREAS,it has been detetmined that,since fmal costs have overrun the amount shown in said Agreement by 126% when the increased cost exceeds by 25%the estimated amount set forth in said Agreement,said Agreement shall be amended to show the increased cost of the work to the STATE;and, WHEREAS,the estimated cost to the STATE of the work to be performed under said Ag:-~ement was $35,000.00,and by reason ofthe increased costs referred to above,the amended estimated cost to the STATE is $79,000.00. NOW,THEREFORE,it is agreed between the parties as follows: I.The estimated cost to the STATE of$35,000 00 as set forth in said Agreement is hereby amended to read Phase 9 funds increase to $79.000.00. 2.All other tenus and conditions ofsaid Agreement remain unchanged. ***************** AMENDMENT TO UTILITY AGREEMENT EA 091821 FIRST AMENDMENT TO UTILITY AGREEMENT NO.31926 13-EX-24 (REV 4/2002) Page 2 of2 THE ESTIMATED TOTAL COST TO STATE FOR ITS SHARE OF THE ABOVE DESCRIBED WORK IS $79,000.00. FUND TYPE EA AMOUNT Design Funds $ Construction Funds $ RWFunds 091829 $44,000.00 1100000070 CERTIFICATION OF FUNDS I hereby certify upon my own personal knowledge that budgeted funds are available for the period and purpose ofthe expenditure shown here. /fJ~---..;;;I!-,/r; HQ Acco~tiniOffic'ef Date ITEM CHAP STAT FY AMOUNT E&"00 ~Cf3Cm)e.G!49 •ilZ-2610 lU)U 44.m,te. dRJ'a-o Already encumbered Total $35.000.00 $79,000.00 IN WITNESS WHEREOF,the parties hereto have executed this FIRST AMENDMENT to Utility Agreement No.31926 this day of ,2011. STATE:DEPARTMENT OF TRANSPORTATION B GSJt/M~~V~~I (~,-J-Pi~.!i£1!Divisi'on Chief,RightofWay / -I Date E?elegated,AMYLAM011'r VARGAS,Chief Uftlitl·Relocation B'Tar\ch OWNER:OTAYWATERDISTRICT By Name/Title Date By Carol Vu Utility Coordinator Date By DO NOT WRITE BELOW -FOR ACCOUNTING PURPOSES ONLY SUB JOB 00 q6f EA FUNDING VERIFIED:REVIEWIREQUEST FUNDING: Utility Coordinator Sign>Gr~" Print>JO~Wiggs R1W Planning and Management Date Sign> Print>Carol Vu Distribution:4 originals to RlW Accounting 4 originals returned to RlW Planning and Management Quality Assurance Approval Sheet Subject:Amendments to Utility Agreements with Caltrans related to Construction of the SR-905 Utility Relocations Project No.:P2440-001000 P2440-005000 Document Description:Staff Report for April 6,2011 Board Meeting Author:~~~Ift!-/1( Date Gary Silverman Printed Name Ltu~~t>14 s QA Reviewer:"Date Bob Kennedy Printed Name Manager:~~"O~~\lr)1I Signature Date Rod Posada Printed Name The above signatures attest that the attached document has been reviewed and to the best of their ability the signers verify that it meets the District quality standard by clearly and concisely conveying the intended information;being grammatically correct and free offormatting and typographical errors;accurately presenting calculated values and numerical references;and being internally consistent,legible and uniform in its presentation style. AGENDA ITEM 9 STAFF REPORT 2DIV. NO. April 6,2011 P2434-001102PROJECTI SUBPROJECT: MEETING DATE:Regular Board ~ Gary Silverma~ Senior Civil Engineer Ron Ripperger [I \~~) Engineering Manager Rod posad~~It,- Chief,Engineering Manny Magana~~ Assistant General ~nager,Engineering and Operations Award of a Professional Engineering Services Contract for Phase 2 of the Rancho del Rey Well Project to Tetra Tech, Inc. SUBJECT: APPROVED BY: (Ass!.GM): APPROVED BY: (Chief) SUBMITIED BY: TYPE MEETING: GENERAL MANAGER'S RECOMMENDATION: That the Otay Water District (District)Board of Directors (Board) awards a professional services contract to Tetra Tech,Inc.(Tetra Tech)and authorizes the General Manager to execute an agreement with Tetra Tech,Inc.for design of Phase 2 of the Rancho del Rey Well Project in an amount not to exceed $724,493.50 (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 professional engineering services contract with Tetra Tech for design of Phase 2 of the Rancho del Rey Well Project in an amount not to exceed $724,493.50. ANALYSIS: Phase 2 of the Rancho del Rey Well Project (Project)consists of equipping a well previously drilled and developed in Phase 1,and constructing a wellhead treatment facility to remove salinity and other constituents from the water.The product water from this facility will be pumped into the distribution system,thereby, augmenting the District's potable water supply by approximately 500 acre-feet per year (AFY). The District requires a consulting firm to provide a range of professional services for the Project,including design engineering, permitting assistance,construction support services,and operations. The operations portion of the Project consists of the consultant providing a part-time certified operator to train District staff and serve as the Chief Operator,as defined by California Department of Public Health Title 22 Regulations.It is initially scoped for this resource to be utilized for 18 months;however,this may be modified when the District's needs can be better quantified. The District initiated the consultant selection process on January 6, 2011,by placing advertisements in the San Diego Union Tribune and the San Diego Daily Transcript,and posting the Project on the District's website for Professional Engineering Services.The advertisements attracted Letters of Interest and Statements of Qualifications from 20 consulting firms.A Pre-Proposal Meeting was held on January 25,2011.Twenty-seven (27)people representing 20 consulting firms attended the meeting. On February 10,2011,proposals were received from the following seven (7)consulting firms: 1.Black &Veatch 2.COM 3.Kennedy/Jenks Consultants 4.MWH Americas,Inc. 5.Proteus Consulting 6.Separation Processes,Inc. 7.Tetra Tech,Inc. After the proposals were evaluated and ranked by a five-member review panel consisting of District Engineering and Operations staff,it was determined that five proposals ranked sufficiently close to warrant being invited to make an oral presentation and respond to questions from the panel.After conducting the interviews on March 1,2011, the panel completed the consultant ranking process and concluded that Tetra Tech had the best approach to the Project and provided the best 2 overall value to the District.A summary of the complete evaluation is shown in Exhibit B. Fee negotiations with Tetra Tech concluded on March 4,2011,and resulted in a net reduction of $3,423 to their original proposed fee of $727,916.50,despite the addition of a new scope item.Their revised proposed fee,with reduction,is $724,493.50. FISCAL IMPACT: The total budget for elP P2434,as approved in the FY 2011 budget,is $4,250,000.Total expenditures,plus outstanding commitments and forecast,is $3,340,010.See Attachment B for budget detail. Based on a review of the financial budgets,the Project Manager has determined that the budget is sufficient to support the award of this contract,which is the design phase of the Project.However,based on the $3.5 million Phase 2 capital expenditure estimate in the feasibility study completed in December 2010,the existing elP budget will be insufficient to support construction.An anticipated supplemental funding of approximately $2.0 million will be requested as part of the FY 2012 elP budget to address the remaining work that will be required to complete this Project. With the shifting of certain elP's into later years,Finance has determined that 40%of the funding is available from the Expansion Fund and 60%of the funding is available from the Betterment Fund. STRATEGIC GOAL: This Project supports the District's Mission statement,"To provide the best quality of water and wastewater services to the customers of Otay Water District,in a professional,effective,and efficient manner.u This Project fulfills the District's Strategic Goals No.1 -Community and Governance,and No.5 -Potable Water,by maintaining proactive and productive relationships with the Project stakeholders and by guaranteeing that the District will provide for current and future water needs. LEGAL IMPACT: None. 3 GeneJi£ag~- P;\WORKING\CIP P2434 -RDR Well\Staff Reports\040611 BOdrd\BD-04-06-11,Award Engineering Contract to Tetra Tech.doc GS/RR:jf Attachments:Attachment A -Committee Action Attachment B -Budget Detail Exhibit A Location Map Exhibit B -Evaluation Summary 4 P2434-001102 SUSJECTjPR6JECT:!Award Phase Inc., .......,......L"'. COMMITTEE ACTION: ATTACHMENT A ........·····"·..1ofaProfessionalEngineeringServicesContractfor 2 of the Rancho del Rey Well Project to Tetra Tech, The Engineering,Operations,and Water Resources Committee reviewed this item at a meeting held on March 23,2011.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. P2434-001102 Contract for Tetra Tech, 0::111:1 IECT:Award Phase Inc. of a 2 of ATTACHMENT B Professional Engineering Services the Rancho del Rey Well Project to Dtay Water District P2434 -Rancho Del Ray Well Development Date Updated:March 01,2011 OutstandIng ProjectedFinalBUdgetCommittedExpendituresCommitment&Vendor/Comments 4,250,000 Forecast Cost Planning Labor 335,038 335,038 335,038 Land 326,092 326,092 -326,092 Permits 125 125 -125 CITY OF CHULAVISTA-DEPT.OF Materials 1,348 1,348 -1,348 VARiOUS Rental 159 159 159 PENHALL COMPANY Construction Costs 26,154 26,154 -26,154 CHILDTIME CHILDCARE,INC. Professional Legal Fees 5,619 5,619 -5,619 GARCIA CALDERON &RUIZ LLP ConsultantContracts 19,481 19,481 -19,481 JONES &STOKES ASSOCIATES INC 10,325 10,325 10,325 MWH CONSTRUCTORS INC 1,100 1,100 -1,100 SOUTHWESTERN COLLEGE 3,065 3,065 -3,065 SOUTHERN CALIFORNIA SOIL 15,000 14,993 7 15,000 SEPARATION PROCESSES INC 1,738,430 1,292,225 446,206 1,738,430 AECOM TECHNICALSERVICES INC Service contracts 5,100 5,100 -5,100 S R BRADLEY &ASSOCIATES INC 71 71 -71 SAN DIEGO DAILY TRANSCRIPT 624 624 -624 UNION TRIBUNE PUBLISHING CO 399 399 -399 REPROHAUS CORP --URBINA'S MASTER SWEEPING INC 6 6 -6 COUNTY OF SAN DIEGO 134 134 -134 COURIER EXPRESS,INC. 205 205 -205 USA SIGN CO. 3,226 3,226 -3,226 QUALITY ASSURANCE LABORATORY 7,108 7,108 -7,108 MULTI WATER SYSTEMS 1,955 1,955 1,955 BARRETT CONSULTING GROUP 5,665 5,665 -5,665 EARTH TECH 3,344 3,344 -3,344 CITY OF CHULA VISTA 16,714 16,714 -16,714 BOYLE ENGINEERING CORPORATION 112 112 112 MONTGOMERY WATSON LABORATORIES 2,500 2,500 2,500 ANDREWA.SMITH COMPANY 2,000 2,000 -2,000 ENARTEC ENGINEERING PLANNING 35,200 35,200 -35,200 ALCEM FENCE COMPANY INC. Total Planning 2,566,298 2,120,086 446,212 2,566,298 Design Labor 5,991 5,991 5,991 ConsultantContracts 6,930 6,930 -6,930 VALLEY CONSTRUCTION MANAGEMENT 2,829 2,829 -2,829 PBS&J 3,500 3,500 -3,500 MWH CONSTRUCTORS INC Total Design 19,250 19,250 -19,250 Construction Labor 14,666 14,666 14,666 Regulatory Agency Fees 50 50 50 PETTY CASH CUSTODIAN Service Contracts 115 115 -115 SAN DIEGO DAILY TRANSCRIPT 440 440 440 URBINA'S MASTERSWEEPING INC Total Construction 15,271 15,271 -15,271 Design -RDR Well Treatment Labor 14,224 14,224 14,224 Service Contracts 343 343 343 SAN DIEGO UNION-TRIBUNE LLC 130 130 -130 SAN DIEGO DAILY TRANSCRIPT Consultant Contracts 724,494 -724,494 724,494 TETRA TECH INC Total Design 739,191 14,697 -14,697 Grand Total 3,340,010 2,169,304 1,170,706 3,340,010 I NOT 10 SCALE D CHILDTIME CHILOCARE. INC LOT '08 CHULA VISTA TRACT NO.89-5 MAP NO.'2720 (96.1") (Na7"37'44"E) ii J :::.l!, J~B-Iii..c~~~I-----....------------------------.......•OT AY WATER DISTRICTt ·.,.RANCHO DEL WAY PARKWAY,CHULA VISTA,CA ~RANCHO DEL REY GROUND WATER DEVELOPMENT!CIP P2434a:........&.~--.......------------~ EXHIBIT A EXHIBIT B SUMMARY OF PROPOSAL RANKINGS P2434 Rancho Del ReyWell,Phase 2 WRITTEN ORAL Qualificationsof Team Responsiveness, Project Undorsl~mding Technica-:and Management Approach INDIVIDUAL SUBTOTAL- WRITTEN AVERAGE SUBTOTAL· WRITTEN ProposedFee~ Consultant's Commitmentto DBE AVERAGE TOTAL AdditionalC.realivilu StrengthofProject WRITTEN andInsight Manager Presentation, CommunicOitlon Skills Qualityof Responseto Quesuons INDIVIDUAL AVERAGETOTAL TOTAL-ORAL ORAL TOTAL SCORE REFERENces MAXIMUMPOINTS 30 25 30 85 85 15 YiN 100 15 15 10 10 50 50 150 Poor/Goodl Excellent SobKonfJ&dy 27 21 26 74 RonRipporgor 20 19 19 58 Black&Veatch t---::-'a:-~d::P:::,:",'-o~:-:s--+--~=~'--+----=~c-~--t---~=~--+----=:':-:----i GaryStalkor 18 18 23 59 BobKonnady 29 23 28 80 RonR"PPGrgor 23 20 24 67 64 14 y 78 12 12 NOT INTERVIEWED '2 11 39 37 78 COM RodPosada 29 24 30 83 76 12 y 88 '2 '2 42 38 126 O;;JvidChar/m;'2 '0 37 GaryStalker-25 22 25 72 BobKennody 27 22 26 75 RonRipperger 23 19 21 63 Kennedy/Jenks I--'R.:.:O::.d':_PO=S=Od::O_-I-__=25'---_+-----'2:::.2--+-----'"25'----+--'7:::.2----i DavidChar/os 23 20 22 65 68 12 y 80 12 13 11 '2 12 '2 13 12 '3 '2 37 42 37 4' 36 40 120 MWH Proteus SPI Tetra Tech Gary Stalker BobKennedy Ron Ripperger RodPosada David CharlfJs GaryStalkor BobKennody Ron Ripperger RodPosada DavidCIJarifJS GaryStalker BobKonnedy Ron Ripperger RodPosada DavidCharlas GaryStalker BobKonnody RonRipperger RodPosada Dav!d Char/ell GaryStalkfJr ~n 27 n ~20 23 66 ~21 ~71 23 19 21 63 W W 18 ~ w ~25 71 21 19 20 60 22 20 ~~ 25 ~~ro 19 m ~61 ~20 25 ro 21 22 20 ~ ~24 ~83 ~22 ~77 25 22 19 ~ 67 66 69 74 15 14 13 y y y N 68 81 83 87 '3 11 12 13 12 '2 '2 11 13 11 '0 14 13 13 13 '2 12 NOT INTERVIEWED '2 11 11 10 11 13 11 '3 11 13 '2 13 13 13 43 38 36 40 37 39 39 35 40 36 39 46 40 44 41 41 38 38 42 68 119 121 129 Good ~vlewPaneldoesnotseeorccnslderfeewhenscoring othercOitegooes.Fee15 scored bythe PM.whoISnoton ReVIewPanel. FEE SCORINGCHART Consulblnt Proteus Black &Veatch SPI T7 KJ CDM MWH PrtJposedF•• $473.641 $509.200 $543,741 $572,557 $619,619 $628,622 $1,170,691 Position lowest highest Score '5 '4 '4 '3 '2 12 Quality Assurance Approval Sheet Subject:Award of a Professional Engineering Services Contract for Phase 2 of the Rancho del Rey Well Project to Tetra Tech,Inc. Project No.:P2434-001102 Document Description:Staff Report for April 6,2011 Board Meeting Author: QA Reviewer: Manager: Gary Silverman £;:A~ Signature Bob Kennedy Printed Name Signature Rod Posada Printed Name Date 31lS 1_\II__ Date The above signatures attest that the attached document has been reviewed and to the best of their ability the signers verify that it meets the District quality standard by clearly and concisely conveying the intended information;being grammatically correct and free of formatting and typographical errors;accurately presenting calculated values and numerical references;and being internally consistent,legible and uniform in its presentation style. AGENDA ITEM 10 STAFF REPORT TYPE MEETING: SUBMITTED BY: Regular Board Kevin Cameron ~ Assistant Civir~gineer I MEETING DATE:April 6,2011 PROJECTI P2473-001103 SUBPROJECT: DIV.NO.1 APPROVED BY: (Chief) APPROVED BY: (Ass!.GM): SUBJECT: Ron Ripperger ~ Engineering Manager Rod Posada ~ Chief,Engineering Manny Magafi~.A~..~ Assistant General~Manager,Engineering and Operations Procurement of Pumps and Motors for the 711-1 Pump Station GENERAL MANAGER'S RECOMMENDATION: That the Otay Water District (District)Board of Directors (Board) authorizes the General Manager to execute a purchase order with Sloan Electromechanical Service &Sales (Sloan)for the procurement of five (5)pumps,motors,and discharge heads for the 711-1 Pump Station Improvements Project in an amount not to exceed $204,934.45 (see Exhibit A for Project location). COMMITTEE ACTION: Please see Attachment A. PURPOSE: ~o obtain Board authorization for the General Manager to execute a purchase order with Sloan for the procurement of five (5)pumps, motors,and discharge heads for the 711-1 Pump Station Improvements Project in an amount not to exceed $204,934.45. ANALYSIS: The 711-1 Pump Station (PS),located in Chula Vista,takes suction primarily from the 624-3 Reservoir and discharges to the 711-1,711- 2,and 711-3 Reservoirs,which serves the 711 pressure zone. From the Project's beginning in 1989,the 711-1 Pump Station was designed to run at 16,000 gpm @ 161'Total Dynamic Head (TDH)(i.e., four pumps operating,each at 4,000 gpm @ 161'TDH)in order to meet the existing and projected demands.Over time,the Pump Station has experienced vibration,noise,and cavitation problems due to running constantly at the higher capacity.In the 1990's and early 2000's, the 711-1 Pump Station served as the key component for the Central Area and needed to remain in service.Therefore,as individual pumps failed due to cavitation,they were quickly rebuilt,or in some cases,replaced with varying brands and sizes in an attempt to solve the problems.In 2007,the 980-2 Pump Station (22,800 gpm) was put into service.This relieved the 711-1 Pump Station,and has allowed staff to redesign the pumps and motors based on a lower overall pump station projected capacity. Staff reviewed the 711-1 Pump Station's existing conditions. Currently,there are three different types of pumps installed In the Pump Station: •two (2)Fairbanks-Morse 14"3-stage/200 hp each, 4,200 gpm @ 110'TDH •two (2)Peerless 16"2-stage/200 hp each,4,000 gpm @ 161'TDH •one (1)Peerless 18"2-stage/250 hp,4,500 gpm @ 163'TDH At the present time,one of the 16"Peerless pumps is inoperable and in need of replacement.During the request for proposal period on this Project,another Peerless pump has experienced problems and will be out of commission for a short period of time.This will be remedied with a new mechanical seal,but will only temporarily fix the problems. Operations staff currently operates a minimum of two (2)pumps at the 711-1 Pump Station,which is the ideal operational mode for the future.Field tests on the Pump Station revealed the lower discharge head (110'TDH vs.161'TDH)on Pump No.1 (14"3-stage) and Pump No.4 (14"3-stage)are the "best"operating pumps at the Pump Station. Staff has determined that the combination of slower than expected growth,coupled with an increased conservation effort,has reduced the demand in the 711 zone,which is not expected to exceed 10,000 gpm until 2020.With this data,along with field tests that were performed on the Pump Station in May of 2010,Staff concluded that the best way to resolve the 711-1 Pump Station cavitation problems was to replace the existing pumps with smaller pumps and motors,and run the Pump Station at 10,000 gpm @ 120'TDH.This would lower the inlet suction velocities to approximately 3.0 feet per second (fps) 2 during the two pump operation scenario.The station currently runs in excess of 4.9 fps,but the Hydraulic Institute's standard recommends less than 4.0 fps. In summary,based on the compiled field data and the Hydraulic Institute Standards it has been determined that the best way to resolve the 711-1 Pump Station cavitation problems is to replace the existing pumps with smaller pumps and motors,and run the Pump Station at 10,000 gpm @ 120'TDH.This will meet the standard requirements,and still have the ability to meet the demands of the system.The pumps have a useful life of seven to ten years.As the pumps approach the end of their useful life,the Pump Station could be re-evaluated to examine whether the demands have surpassed the Pump Stations capabilities.By reducing the capacity of the 1989 design from 16,000 gpm to 10,000 gpm,the Pump Station will run in a two pump operational mode of 5,900 gpm @ 100'TDH (3.0 ft/s on suction side),and therefore,eliminate the cavitation problems. Bids were solicited on February 23,2011 from four (4)vendors to provide five (5)complete pumps with motors and deliver them to the site based on the design package prepared by Staff.It is the intent that District staff will install the equipment with their own labor.A pre-bid meeting was held on March 1,2011 at the 711-1 Pump Station site for the vendors to ask any questions,and become familiar with the existing site conditions. The procedure for material purchases outlined In the District's Purchasing Manual states that a minimum three (3)bids must be obtained.Should three quotations not be obtainable,documentation in the form of a "notation of memorandum"must be provided and attached to the purchase requisition.On March 8,2011,Staff received two (2)bids.The results are below. CONTRACTOR TOTAL CORRECTED AMOUNT AMOUNT 1 Sloan Electromechanical $204,934.45 - Service &Sales 2 Fairbanks Morse $264,165.00 - Days after the pre-proposal meeting,Electronic Motor Specialists (EMS)sent an e-mail stating they would not be bidding on the Project.Propulsion Controls Engineering (PCE)also did not submit a bid. It is recommended that the bid be awarded to Sloan by virtue of their lower price and their demonstrated ability to provide the equipment that meets District requirements. 3 FISCAL IMPACT:~ Funding for the overall Project comes from CIP P2473,the 711-1 Pump Station Improvements Project. The total budget for eIP P2473,as approved in the FY 2011 budget, is $500,000.Total expenditures,plus outstanding commitments and forecast,is $325,451.See Attachment B for budget detail. Based on a review of the financial budgets,the Project Manager has determined that the budget is sufficient to support the Project. Finance has determined that 100%of the funding is available from the Replacement Fund for CIP P2473. STRATEGIC GOAL: This Project supports the Operations Department Mission statement, "To provide prompt,professional response to all matters related to the distribution of water to our clients." LEGAL IMPACT: None. Attachments:Attachment A -Committee Action Attachment B -Budget Detail Exhibit A -Location Map 4 ATTACHMENT A sjj~J2~~~~~~~~~Ci:'rprocurement of Pumps and Motors for the 711-1 Pump Station I COMMITTEE ACTION: The Engineering,Operations,and Water Resources Committee reviewed this item at a meeting held on March 23,2011.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 "-SDBjECTjpRojECT:--r·p~~cu~·~~~nt of Pumps and M;;t;;r~-fo·~--t·h~-71i=i Pump·St~t·i;;i-l·' P2473-001103 , L_m ..,i,.m___m.....m .0_._._.m·om : OIay Water District P2473 -PS·711·1 Pump Station Improvement Date Updated:February 25,2011 Outstanding ProjectBdFinalBudgetCommittsdExpenditumsCommitment&Cost Vendor/Comments 500,000 Forecast Planning Labor 7,632 7,632 7,632 Consultant Contracts 390 390 ·390 JC HEDEN AND ASSOCIATES INC Total Planning 8,022 8,022 ·8,022 Design Labor 13,020 13,020 13,020 Consultant Contracts 29,750 29,750 ·29,750 MWH CONSTRUCTORS INC Total Design 42,770 42,770 ·42,770 Construction Labor 16,492 16,492 45,000 61,492 Infrastructure Equipment &MatE 204,935 -204,935 204,935 Sloan Electromechanical Service &Sales 1,799 1,799 -1,799 US BANK CORPORATE PAYMENT 265 265 ·265 PENHALL COMPANY 5,672 5,672 ·5,672 MESA LABORATORIES INC 496 496 ·496 Use Tax Total Construction 229,659 24,724 249,935 274,659 Grand Total 280,451 75,516 249,935 325,451 • EXHIBIT A OTAY WAlER DISTRICt 711-1 PUMP STAll0N SITE Quality Assurance Approval Sheet Subject:Procurement of Pumps and Motors for the 711-1 Pump Station Project No.:P2473-001103 Document Description:Staff Report for the April 6,2011 Board Meeting Author: Kevin Cameron Printed Name QA Reviewer: Gary Silverman Printed Name Manager: Date Ron Ripperger Printed Name The above signatures attest that the attached document has been reviewed and to the best of their ability the signers verify that it meets the District quality standard by clearly and concisely conveying the intended information;being grammatically correct and free of formatting and typographical errors;accurately presenting calculated values and numerical references;and being internally consistent,legible and uniform in its presentation style. AGENDA ITEM 11 5TAFF REPORT TYPE MEETING:Regular Board SUBMITTED BY:Geoffrey Stevens,Chief MEETING DATE: W.O.lG.F.NO: March 28,2011 DIV.NO. APPROVED BY: (Chief) APPROVED BY: (Asst.GM): Information Technology and Strategic p]~an'ngG~rmaJ.fA]Jar.l 'Assistant General F~; Manager,Administration and SUBJECT:FY 2011 Strategic Plan and Performance Measures Report GENERAL MANAGER'S RECOMMENDATION: No recommendation.This is an informational item only. COMMITTEE ACTION: See Attachment A. PURPOSE: To provide a fiscal mid-year report on the District's Strategic Performance Plan. ANALYSIS: The District has completed the first half of the Strategic Plan for FY 2011.Overall,results for performance measures continue to be positive with the District exceeding its target (at least 75%on target).Results for objectives were just under target (at least 90%complete or on track),but are expected to recover by next quarter.Detailed information on each objective and measure is also available electronically on the Board Extranet. Looking at these results in more detail: Strategic Plan Objectives -84% Strategic plan objectives are designed to ensure we are making the appropriate high-level changes necessary to move the agency in the planned direction to meet new challenges and opportunities.Objective results were just under target with 27 of 32 (84%)complete,ahead or on schedule.2 items are on hold and are thus excluded from the calculation.Five items are behind schedule.Of these five items,three have been corrected as of March 1st . FY 11 Objectives Objectives:All Scorecard Areas 30 25 Detail ---23--------------1 20 15 10 5 o.Ja.--r---,L..JL--r-...L.-...l-..,----E:-II Compl On Schd Behind Hold 34 Total o 0 / No Rpts Not Strt 27/32 Objectives on or ahead of schedule (84%). Target is 90%. Performance Measures -84%(6 Points Below Goal) Performance measures are designed to track the day-to-day performance of the District.Sometimes referred to as a "dash board",these items attempt to measure the effectiveness and efficiency of daily operations.The overall goal is that at least 75%of these measures be rated "on target".District results in this area are positive with 37 of 44 (84%)items achieving the desired level or better. FY 11 Performance Measures Measures:All Scorecard Areas I Summary I"---o_e_ta_il ~ 50 40 37 " 30 20 7 -10 L ...0 y •0 0 0 0 IV'"""// Compl On Schd Behind Hold No Rpts Not Slrt 44 Total 37/44 Measures on or ahead of schedule (84%). Target is 75%. Balanced Scorecard -External View The Balanced Scorecard methodology is designed to ensure that a company is performing consistently on a wide range of measures necessary to ensure both short-term and long-term improvements. Many of the areas do not meet the target due to a lower ratio of open items.For example 4 out of 5 Learning &Growth objectives are completed or on schedule,but 4/5 is still only 80%,just missing the 90%target.For a more detailed explanation,quarter reports for these measures are available on the Board Extranet. Balanced Scorecard Perspective FY 2011 •Qtr 2 •All Departments t Customer --1 1 •Objectives •Measures - -Finllndlll -j Objectives II Measures r Lellrning lind GrowthI.Objectives lID Measures 1 ---Business Processes ..Objectives ~'easures I Green =meets or exceeds/Red =does not meet Departmental Perspective -Internal View of Performance The departmental perspective breaks down performance objectives and measures by the responsible internal departments.The results here are similar to the balanced scorecard scenario where a lower ratio in open items resulted in a lower on target percentage. FY 2011 •Qtr 2.All Scorecard Areas . , '."'::.'"_.':~, ;c!,.'' . . .~':'.~! l-Administrative Services 2-Engineering 3-Finance 4-lnformation Technology s-Operations •Objectives •Measures • Objectives II Measures ~•Objectives •Measures •Objec~.n!S •Measures •Objectives Measures ~ Green =meets or exceeds!Red =does not meet Significant Achievements Some significant mid-year achievements include 46 objectives complete to-date and 37 of 44 measures with results on target. FISCAL IMPACT:~ Informational item only,no fiscal impact. STRATEGIC GOAL: Strategic Plan and Performance Measure reporting is a critical element in providing performance reporting to the Board and staff. LEGAL IMPACT: None Gener ATTACHMENT A SUBJECTIPROJECT:FY 2011 Strategic Plan and Performance Measures Report COMMITTEE ACTION: The Administration and Finance Committee and the Engineering and Operations Committee met in March and reviewed this item.Based upon this discussion the Committees recommend that the Board receive that attached information. 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. OWD Business Planning Process YiS:sion L Str k I 5trategie~ Cnrrective Res~~~=abilit} Action Tools PI Training ExecuUon Perforrn.MKe uns ! I: Objectives:AI Scorecard Areas at on Tar etSummaryDetail'----------------------~--____l 30 25 23 20 15 / 10 o Compl On Schd Behind Hold No Rpts Not strt 34 Total Y2010 Object·YeS 27 of 32 objectives complete,ahead or on target (84G/o ) Target is 900/0 Measures:All Scorecard Areas 1, j "I': Summary Detail 50 40 30 20 10 o / 37" rf -./ ,( ,/10u 0 0 0 1/;;,.,/ I Compl On Schd Behind Hold No Rpts Not strt 44 Total Y 0 0 erformance Measures 37 of 44 perfor ance measures complete,ahead or o'n target (840/0) Target is 75% Balanced Scorecard FY 2011 •Qtr 2 •All Departmen 5 Custo er t t t ,;."-~=."-".- t Objectives Measures Financial I Objectives J'tleasur:J ~earningand Growth I /_Objectives •J'tleasures j ~siness ProcessesI_Objectives J'tleasures la ced co ecard "-.._---_.~---_._.._._--_.__.- Green =meets or exceedsl Red =does not meet epartment View FV 2011 •Qtr 2 •All Scorecard Areas Departments l-Administrative Services •Objectives Measures A 2-Engineering Objectives Measures 3-Finance •Objectives Measures - 4-Information Technology Objectives Measures ~-~---~-~._.._;::;.------------,-----~._-.- epartmen Vi w Green =meets or exceeds!Red =does not meet -Additional Fields for Strat Plan Application -FY 2012-2014 Strategic Plan -FY 2009-2011 Strat Plan Completion Report