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HomeMy WebLinkAbout10-09-14 Desal Committee PacketOTAY WATER DISTRICT DESALINATION PROJECT COMMITTEE MEETING and SPECIAL MEETING OF THE BOARD OF DIRECTORS 2554 SWEETWATER SPRINGS BOULEVARD SPRING VALLEY, CALIFORNIA Boardroom THURSDAY October 9, 2014 12:00 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 JU- RISDICTION BUT NOT AN ITEM ON TODAY'S AGENDA DISCUSSION ITEMS 3. INFORMATIONAL UPDATE FOR THE ROSARITO DESALINATION PLANT AND CONVEYANCE AND THE OTAY MESA CONVEYANCE AND DISINFECTION SYSTEM PROJECTS (KENNEDY) 4. ADJOURNMENT BOARD MEMBERS ATTENDING: Jose Lopez, Chair Mitch Thompson 2 All items appearing on this agenda, whether or not expressly listed for action, may be delib- erated and may be subject to action by the Board. The Agenda, and any attachments containing written information, are available at the Dis- trict’s website at www.otaywater.gov. Written changes to any items to be considered at the open meeting, or to any attachments, will be posted on the District’s website. Copies of the Agenda and all attachments are also available through the District Secretary by contacting her at (619) 670-2280. If you have any disability that would require accommodation in order to enable you to partici- pate in this meeting, please call the District Secretary at 670-2280 at least 24 hours prior to the meeting. Certification of Posting I certify that on October 3, 2014 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 October 3, 2014. ______/s/_ Susan Cruz, District Secretary _____ STAFF REPORT TYPE MEETING: Desalination Committee MEETING DATE: October 9, 2014 SUBMITTED BY: Bob Kennedy Engineering Manager CIP./G.F. NO: P2451- 001101 DIV. NO. ALL APPROVED BY: Rod Posada, Chief, Engineering German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: Informational Update for the Rosarito Desalination Plant and the Otay Mesa Conveyance and Disinfection System Projects GENERAL MANAGER’S RECOMMENDATION: No recommendation. This is an informational item only. COMMITTEE ACTION: Please see Attachment A. PURPOSE: To update the Otay Water District (District) Board of Directors (Board) on the progress of the Rosarito Desalination Plant and the Otay Mesa Conveyance and Disinfection System Projects (Project)(see Exhibit A for Project location). ANALYSIS: This item was last presented to the Desalination Committee (Committee) at a meeting held on July 15, 2014. The updates or significant milestones that have been reached since the last update to the Committee include: Rosarito Beach Desal Project in the News The drought has been a constant topic in the national, state, and local news. Projects that provide a new supply of water have been mentioned including the Rosarito Beach Desalination project. The San Diego Union-Tribune and the San Diego Daily 2 Transcript have mentioned this project in the following two articles (see Exhibits B & C):  “One Desal Plant, Two Countries?”, San Diego Union- Tribune, 8/24/2014  “Otay Makes Plans to Use Water from Proposed Desal Plant in Baja”, San Diego Daily Transcript, 8/27/2014 Please also see a cartoon published recently in the Arizona Star News (Exhibit D). Public Outreach Efforts NSC Agua retained Galileo Branding for their public outreach program and the District retained (W)right on Communications for District public outreach efforts. On August 27, 2014, staff met with the public outreach teams from both NSC Agua and the District to coordinate the message being presented to business organizations, government and opinion leaders. Galileo and NSC Agua also presented proposed changes to the nscagua.com website that will be implemented soon including a Frequently Asked Question section (see Exhibit E). (W)right on Communications is likewise preparing the District’s Public Outreach Program that in the near future will be shared with NSC Agua for implementation. For now,(W)right on Communications has prepared a presentation about the project in Spanish. NSC Agua Environmental Report On September 2, 2014, NSC Agua submitted to SEMARNAT the third and last environmental report for the Project in Mexico. This report covers the conveyance project from El Florido to the U.S./Mexico border. Division of Drinking Water (DDW) Permitting (formerly CDPH) On July 1, 2014, the Drinking Water Program transferred from California Department of Health to the State Water Resources Control Board. The DDW transfer to the State Water Resources Control Board aligns the state’s drinking water and water quality programs in an integrated organizational structure to best position the State to both effectively protect water quality and the public health as it relates to water quality, while meeting current needs and future demands on water supplies. 3 NSC Agua started source water testing at the power plant intake and outlet structures on September 18, 2014. This was an important milestone. The water samples were brought to this side of the Border. Even though some minor issues arose with Border Patrol, the samples were finally delivered to the lab. The results will be posted with DDW. A meeting has been set for October 28, 2014 to review comments on the “White Paper” submitted to DDW back in February 2014 and to review testing results of the source water testing. To better coordinate the preparation of the Sanitary Surveys, as required in the DDW permit, the District is organizing a work group with attendance of NSC Agua, District staff, and consultants for both parties on October 9th. Presidential Permit The State Department has indicated that they would not be opposed to having CILA instead of SEMARNAT as the project sponsor in Mexico. The State Department requires that there be coordination with a Mexican Federal Agency for the Presidential Permit Process and to review the associated environmental documents and had initially suggested SEMARNAT as that agency. At the request of the State Department, staff has prepared for Board consideration the removal of design services during construction from AECOM’s contract. This amounts to a deduction of $364,774 and was approved by the Board at the meeting held on October 1, 2014. Since these services will no longer be included in AECOM’s contract, they will be included in the scope of work for the project’s Construction Management contract. The State Department has signed the Memorandum of Understanding (MOU) between the District and the State Department for the preparation of the project’s CEQA/NEPA document based on the understanding that the Board will approve the deletion of the design services during construction from AECOM’s contract. The MOU and State Department letter are attached as Exhibit F. The execution of this MOU means that the CEQA/NEPA process associated with the project and the Presidential Permit can begin. The first step in the process will be the publication of the Notice of Preparation/Notice of Intent and the scheduling of the scoping meeting for the CEQA/NEPA document in early 2015. Binational Affairs With the assistance of the Diputado Jaime Bonilla’s staff, the District is seeking a meeting with the Governor of Baja California on October 10, 2014 in Tijuana. Staff is organizing a meeting with the CILA Commissioner in the near future. 4 The District, in agreement with Hector Mares-Cossio, Binational Affairs Consultant, decided to terminate their contract, effective September 15, 2014. Hector has been a consultant to the project for many years and we greatly appreciate his contributions. His present schedule, future demands on his time, and the current status of the desalination project made the timing right for ending the consulting contract. CONAGUA Work Group: Staff will make a presentation to the Mexican Congress Northern Border Affairs Commission about the progress of the Mexican Federal Standards for desalination intakes, outfalls, and brine discharges. The Northern Border Affairs Commission is chaired by Diputado Bonilla (see Exhibit G). FISCAL IMPACT: Joe Beachem, Chief Financial Officer No fiscal impact as this is an informational item only. (See Attachment B - Budget Detail). STRATEGIC GOAL: This Project supports the District’s Mission statement, “To provide high value water and wastewater services to the customers of the Otay Water District in a professional, effective, and efficient manner” and the General Manager’s Vision, “A District that is at the forefront in innovations to provide water services at affordable rates, with a reputation for outstanding customer service.” LEGAL IMPACT: None. BK/RP:jf P:\WORKING\CIP P2451 Desalination Feasibility Study\Staff Reports\BD 11-5-14\BD 11-05-14, Staff Report, Desal Update, (BK-RP).doc Attachments: Attachment A – Committee Action Attachment B – Budget Detail Exhibit A – Location Map Exhibit B - “One Desal Plant, Two Countries?,” San Diego Union-Tribune, 8/24/2014 Exhibit C – “Otay Makes Plans to Use Water from Proposed Desal Plant in Baja,” San Diego Daily Transcript, 8/27/2014 Exhibit D - David Fitzsimmons, The Arizona Daily Star 2014 Cartoon 5 Exhibit E – NSC Agua Frequently Asked Questions Exhibit F - State Department Letter and Memorandum of Understanding Exhibit G – Presentación a la Comisión Asuntos Frontera Norte – LXII Legislatura Cámara de Diputados Republica Mexicana ATTACHMENT A SUBJECT/PROJECT: P2451-001101 Informational Update for the Rosarito Desalination Plant and the Otay Mesa Conveyance and Disinfection System Projects COMMITTEE ACTION: This item was presented to the Desalination Committee (Committee) at a meeting held on October 9, 2014. The Committee supported presentation to the full Board. NOTE: The “Committee Action” is written in anticipation of the Committee moving the item forward for Board approval. This report will be sent to the Board as a Committee approved item, or modified to reflect any discussion or changes as directed from the Committee prior to presentation to the full Board. ATTACHMENT B SUBJECT/PROJECT: P2451-001101 Informational Update for the Rosarito Desalination Plant and the Otay Mesa Conveyance and Disinfection System Projects Level Title1 Committed Expenditures Outstanding Commitment Projected Final Cost Vendor $98,577.34 $98,577.34 $98,577.34 CAMP DRESSER & MCKEE INC $13,311.19 $13,311.19 $13,311.19 CPM PARTNERS INC $71,529.59 $71,529.59 $71,529.59 MARSTON+MARSTON INC $437,200.00 $371,200.00 $66,000.00 $437,200.00 HECTOR I MARES-COSSIO $26,700.00 $26,700.00 $26,700.00 REA & PARKER RESEARCH $4,172.90 $4,172.90 $4,172.90 SALVADOR LOPEZ-CORDOVA $267,066.00 $160,355.05 $106,710.95 $267,066.00 SILVA SILVA INTERNATIONAL Travel $20,046.35 $20,046.35 $20,046.35 STAFF Printing $60.59 $60.59 $60.59 MAIL MANAGEMENT GROUP INC $162,041.07 $162,041.07 $162,041.07 GARCIA CALDERON & RUIZ LLP $43,174.50 $43,174.50 $43,174.50 SOLORZANO CARVAJAL GONZALEZ Y $16,609.76 $16,609.76 $16,609.76 STUTZ ARTIANO SHINOFF $500.00 $500.00 $500.00 REBECA SOTURA NICKERSON $105.50 $105.50 $105.50 SAN DIEGO DAILY TRANSCRIPT $17,500.00 $17,500.00 $17,500.00 BUSTAMANTE & ASSOCIATES LLC $32,340.00 $32,340.00 $32,340.00 BROWNSTEIN HYATT FARBER Standard Salaries $909,497.19 $909,497.19 $909,497.19 Total $2,120,431.98 $1,947,721.03 $172,710.95 $2,120,431.98 $5,108.75 $5,108.75 $5,108.75 MARSTON+MARSTON INC $120,520.00 $22,320.00 $98,200.00 $120,520.00 MICHAEL R WELCH PHD PE $8,818.00 $8,818.00 $8,818.00 CPM PARTNERS INC $5,000.00 $5,000.00 $5,000.00 ATKINS $3,681,932.00 $862,634.03 $2,819,297.97 $3,681,932.00 AECOM TECHNICAL SERVICES INC Legal Fees $7,761.19 $7,761.19 $7,761.19 STUTZ ARTIANO SHINOFF Travel $3,174.39 $3,174.39 $3,174.39 STAFF $342.80 $342.80 $342.80 SAN DIEGO UNION-TRIBUNE LLC $114.08 $114.08 $114.08 REPROHAUS CORP Standard Salaries $113,002.94 $113,002.94 $113,002.94 Total $3,945,774.15 $1,028,276.18 $2,917,497.97 $3,945,774.15 Standard Salaries $329.48 $329.48 $329.48 Total $329.48 $329.48 $329.48 Budget $30,000,000.00 Total $6,066,535.61 $2,976,326.69 $3,090,208.92 $6,066,535.61 March 23, 2005 through August 30, 2014 Construction Consultant Contracts Service Contracts Consultant Contracts Legal Fees Service Contracts Planning Design 571-136.7 MG 870-110.9 MG OTAY MESA RD EN R I C O F E R M I D R AL T A R D DONOVAN STATEPRISON RD DONOVAN STATEPRISON G. F. BAILEYDETENTION FACILITY !V!V ÍÒ PROPOSEDPUMP STATION A PROPOSEDTREATMENTFACILITY PR O P O S E D P I P E L I N E A 1.25 MILES SA N Y O R D SR - 1 1 FUTURE SR-11 FUT U R E PR O P O S E D P I P E L I N E B !V!V PROPOSEDPUMP STATION B USAUSA MEXICOMEXICO OWD Boundary OWD Boundary P:\ W O R K I N G \ C I P P 2 4 5 1 D e s a l i n a t i o n F e a s i b i l i t y S t u d y \ G r a p h i c s \ E x h i b i t s - F i g u r e s | E x h i b i t A . m x d F0 2,0001,000 Feet OTAY WATER DISTRICTOtay Mesa Conveyance and Disinfection Facility ProjectEXHIBIT A §¨¦ §¨¦ §¨¦ §¨¦ ÃÅ ÃÅ ÃÅ ÃÅ ÃÅ ÃÅ ÃÅ ÃÅ ^_ PROJECTSITE VICINITY MAP NTS DIV. 5 DIV. 2 DIV. 1 DIV. 3 DIV. 4 5 8 8 805 11 9454 94 125 905 125 905 125 3.2 mi.3.7 mi.24 mi. Existing OWD PipelinesProposed Pipeline AProposed Pipeline BMexico Pipeline August 27, 2014 San Diego Daily Transcript Otay Makes Plans to Use Water from Proposed Desal Plant in Baja By Carlos Rico The Otay Water District is in the process of getting final permitting and an environmental impact review approved to construct a new pipeline system to receive water from a future desalination plant in Mexico. The $27 million project the Otay Water District is embarking on involves building and installing new water pipelines that will run from its network in San Diego and underneath the U.S.-Mexico border to connect with pipelines coming from a proposed desalination plant in Rosarito, Baja California. The Otay Water District plans to purchase desalinated water from the plant once it is completed. “The water situation is almost identical in the Tijuana region as it is in San Diego County,” said Mark Watton, general manager of the Otay Water District. “This could be half of our water supply in the future.” So far, the Otay Water District has received approvals including the presidential permit, and is now working on the environmental study. The desalination plant is being built by Consolidated Water Co., a Caribbean firm that supplies water to various parts of the world. In May, Consolidated Water finalized the purchase of 20.02 acres (or 81,000 square meters) for a privately owned, 100-million-gallon-per-day seawater reverse osmosis desalination plant. The proposed plant will purify seawater for drinking and feed it to a pipeline to deliver water to both Mexico and the United States. Ruben Sanchez, project manager for Consolidated Water, said right now they are waiting on the approval of environmental documents and permits so that they can get loans from banks and private investors. “We are also working on basic engineering for the plant and its aqueducts,” Sanchez added. The company is hoping to break ground on the $700 million project by mid- 2015. The plan is to construct the project in three phases and complete it in 30 months. Sanchez said the timeline will all depend on what the Mexican government says after they receive the final permitting necessary to start construction. “We think the government might want the project completed in one phase, but we will see,” Sanchez explained. The Planta Desalinizadora de Rosarito will operate 365 days a year with approximately 80 to 90 full-time workers, Sanchez said. Roughly 500 construction workers are slated to build the project. Sanchez said the desalination plant is in-line to be a fully private investment, unless the Mexican government deems otherwise in the future and would like to invest, as well. Rosarito, Baja California was chosen as the best location for the desalination plant based on the Pacific Ocean and to a power plant. “There is a very large infrastructure savings when you can use the inland and outlet structures already in place,” Sanchez said. Consolidated Water Co. has an agreement in principal to sell roughly 1 kilometers of water per second to the Otay Water District, according to Sanchez, and that they are also in discussions to sell water to Ensenada, Baja California. The Treaty of February 3, 1944, allows for water distribution and transportation between United States and Mexico. It was originally signed to allow water utilization for the Colorado and Tijuana Rivers and the Rio Grande. The Otay Water District provides water to customers within 125.5 square miles of southeastern San Diego County. Potable water delivered by the district is purchased from the San Diego County Water Authority or the Helix Water District. Imported water is a mix from the Colorado River and Northern California. Sanchez said the company would like to sell desalinated water to other private and public entities, but no contracts have been finalized. “Once we have all of our permits and contracts finalized, then we can talk to other agencies in full,” Sanchez said. Once construction is complete, there will still be land available on the property if Consolidated Water Co. feels the need to expand, Sanchez said. The plan to build a desalination plant in Rosarito and new water pipelines in the area surfaced in 2005, after a study commissioned by government agencies on both sides of the border revealed the region’s future water needs. “We saw that both sides were going through similar water shortages due to rise in residential and commercial development and lack of rain,” Watton said. These factors started talks with Consolidated Water Co., Watton added. Tijuana is heavily dependent on the Colorado River, so Consolidated Water Co. saw an opportunity to build a desalination plant and sell water to the region. The Otay Water Authority is planning to apply for grants and use its reserves that come out of rate payer funds to pay its new water pipeline system, according to Watton. Watton believes Consolidated Water Co. will get a return on their investment because he said a desalination plant will not be lacking in interest. “San Diego and Baja California have good economies and they are linked so that will create interest from investors from around the world,” Watton said. EXHIBIT D Source: David Fitzsimmons, The Arizona Daily Star, 2014 PRESENTACIÓN A LA COMISIÓN ASUNTOS FRONTERA NORTE –LXII LEGISLATURA CÁMARA DE DIPUTADOS REPUBLICA MEXICANA ANTEPROYECTO DE NOM‐XXX‐CONAGUA/SEMARNAT‐2014 QUE ESTABLECE LOS REQUISITOS PARA  LAS OBRAS DE TOMA Y  DESCARGA, QUE DEBEN CUMPLIR LAS PLANTAS DESALINIZADORAS MEXICO, D.F. OCTUBRE, 2014 EXHIBIT G 2 •Grupo de Trabajo (G.T.) para desarrollar la NOM‐Anteproyecto‐CONAGUA‐2014. •Convocado por CONAGUA en octubre 2013. •Reuniones mensuales desde noviembre 2013. •Se espera conclusiones noviembre 2014 cuando la NOM‐Anteproyecto‐XXX‐ CONAGUA 2014 se firma por los integrantes del G.T. •El grupo GT es conformado por 36 personas representando a: ‐Conagua, IMTA, CMIC, ANEAS, UABC, Hydranautics, Avista Technologies, W Cap Water, SEMARNAT, CAFN, Concamin, AHLC, NSC Agua, Otay Water District, y otros  organismos del agua y entidades privadas. •El promedio de asistencia al G.T.:  30 representativos. •El primer borrador de la NOM‐Anteproyecto‐CONAGUA‐2014 fue escrito por  representantes de la Subdirección de Normas de la CONAGUA. 3 OBJETIVOS •Puntos Principales: 1. Objetivo 2. Campo de Aplicación 3. Referencias 4. Definiciones 5. Especificaciones Generales 6. Procedimiento para la evaluación de la conformidad 7. Vigilancia 8. Bibliografía 9. Concordancia con normas internacionales •Evolución de la Norma en los puntos principales: 1. Objetivo: Reescrito en su totalidad para dar más énfasis en la mitigación de impactos  ambientales. 2. Campo de Aplicación: Reescrito en su totalidad con énfasis en plantas desalinizadoras públicas y  privadas que descarguen al ambiente costero, marino y continental. 4 NORMA 3. Referencias: NOM‐127‐SSA1‐1994 NOM‐Anteproyecto 250‐2014 4. Definiciones: Algunas reescritas.  Especialmente la definición de aguas de rechazo con énfasis  en aguas que tengan  mayor concentración de sólidos disueltos totales (SDT) con  respecto a la agua de alimentación. 5.  Especificaciones Generales:   Esta parte fue completamente reescrita con énfasis: a. Tipos de permisos b. Plantas existentes c. Tomas de agua (en línea con normas internacionales) d. Descargas de la salmuera (zona de mezclado:  100 mts.) e. Protección a zonas ecológicas f. Calidad de las aguas de rechazo es reescrita para que coincida con NOM‐001 g. La periodicidad de muestreo cambió a semestral h. Se incorporó el Apéndice 1 –con especificaciones para el MIA.  El primer  borrador escrito por SEMARNAT fue completamente modificado. 5 NORMA 6 •Discusiones del G.T. para octubre: a. Definir cual es el tamaño de plantas que  están excluidas de completar la MIA b. Revisar la Norma Anteproyecto en su  totalidad  c. Discutir numerales 6, 7, 8, y 9 •En la junta de noviembre, el propósito es  aprobar la Norma Anteproyecto y firmarla por  los integrantes del G.T. 7 NORMA PREGUNTAS? 8