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Home My WebLink About12-06-17 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 WEDNESDAY December 6, 2017 12:30 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 THE OTAY MESA CONVEYANCE AND DISINFECTION SYSTEM PROJECTS (KENNEDY) 4. ADJOURNMENT BOARD MEMBERS ATTENDING: Mark Robak, Chair Tim Smith 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 December 1, 2017 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 December 1, 2017. /s/ Susan Cruz, District Secretary STAFF REPORT TYPE MEETING: Desalination Committee MEETING DATE: December 6, 2017 SUBMITTED BY: Bob Kennedy Engineering Manager CIP./G.F. NO: P2451- 001101 DIV. NO. ALL APPROVED BY: Rod Posada, Chief, Engineering 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) Desalination Committee (Committee) 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 Committee as an update at a meeting held on May 23, 2017. The updates or significant milestones that have been reached since the last update to the Committee include: Project Direction Aguas de Rosarito (AdR), a private consortium, signed a 40-year definitive public-private partnership agreement with the State of Baja California (State) on August 25, 2016 to build a 2 desalination plant and conveyance pipeline (Project) and operate it for 37 years. This would be one of the first water projects delivered under the State’s Asociaciones Público Privadas (APP) law. The companies that make up AdR are NuWater of Singapore, Suez Environment of France, and a Mexican company called N.S.C. Agua (NSCA) that is a subsidiary of Cayman-Islands based Consolidated Water (CWCO). The project is stalled at the State of Baja California legislature after several failed attempts to pass a consent decree authorizing the State government to provide financial backup using the pension funds. This is mainly a political issue that AdR hopes to resolve before the end of the legislative session that is scheduled to end mid-December 2017. If the consent decree is not passed during this legislative year, it might have to wait until 2020, after the 2018 presidential elections in Mexico and the 2019 election for Governor for the State of Baja California. The US administration has made several statements about NAFTA, trade, and border wall that has inflamed the situation and provoked a reaction in the Baja California State legislature stalling the consent decree. Rosarito Desalination Project in the News The end of the drought and desalination projects are subjects in the national, state, and local news as well as in Mexico in the State of Baja California. Projects that provide a new supply of water have been mentioned on both sides of the border including the Rosarito Beach Desalination Project. On May 22, 2017, the Water Desalination Report article entitled, “President Approves SWRO Pipeline Permit” about the Presidential Permit granted to the District. The report also noted the permit might signal that the second phase of the project could be accelerated (see Exhibit B). On June 19, 2017, the San Diego Union Tribune published an article entitled, “Could desalinated water from Mexico flow to San Diego?” on the U.S. State Department approval of a cross- border pipeline that could one day carry desalinated water from Mexico to the District (see Exhibit C). The article quotes Cesar Romero Sauceda, head of Tijuana’s Chamber of Construction Industry, “that water has always been a barrier for Tijuana’s growth.” 3 Another article on June 19, 2017 in WaterWorld entitled, “Mexico – U.S. Cross-Border Desal Project Moves Forward” on the U.S. State Department approval of the cross-border pipeline (see Exhibit D). On June 21, 2017, Breitbart published an article entitled, “California May Import Water from Mexico Desalination Plant” about the Project and the State Department’s approval of the permit for the water line on May 16, 2017 (see Exhibit E). On June 23, 2017 an article in NewsDeeply Water Deeply entitled, “Crucial Permit Moves San Diego Closer to Tapping Mexican Desal” about the Project and the District having been granted a Presidential Permit by the U.S. State Department (see Exhibit F). On September 23, 2017, an article in La Jornada Baja California entitled, “Documentos oficiales confirman Proyecto binacional; Kiko Vega lo niega” about official documents confirming that the Rosarito Desal Project is a Binational project. However, B.C. Governor Kiko Vega denies it (see Exhibit G). On September 29, 2017, an article in Fronterra entitled, “Costaran desaladoras de Ensenada y Rosarito mas de 81 mil millones” about the cost for the desal projects in Ensenada and Rosarito, the shortage of water in the region, and the opposition to the PPP (Public-Private Partnership) law (see Exhibit H). On September 29, 2017, an article in ZetaTijuana entitled, “Aprobarán endeudamiento de "Kiko" por 83 mil mdp” about the potential for approval of the use of the pension funds to back up the financing of the project. However, there is opposition from some legislators (see Exhibit I). On November 27, 2017, the San Diego Union Tribune published an article entitled, “Giant Rosarito Beach desalination project faces scrutiny” about the project facing the “scrutiny at a politically sensitive moment. The touchiest public issue is the question of whether some of that water would be sold to the Otay Water District in San Diego County.” The article notes a no vote by the Baja California’s legislature would delay the desalination plant and put on hold eight other public-private- partnership projects (see Exhibit J). 4 Contract with AECOM AECOM continues to finalize their work on the environmental tasks. Staff expects to terminate its contract with AECOM after compiling all of the reports and documents for the federal record with the State Department. All the pending work is expected to be completed by December 2017. Division of Drinking Water (DDW) Permitting (formerly CDPH) On November 15, 2017, the District notified DDW that after three years of source water testing at the power plant intake and outlet structures, AdR will suspend further routine testing and focus on the financial close of Phase 1 of the two phase Project. The results are posted with DDW. Staff and representatives from AdR continue to coordinate on complying with the California Water Resources Control Board Drinking Water Program regulatory requirements related to source water quality testing. Presidential Permit The Department of State issued a Presidential permit to the Otay Water District (the District) on May 16, 2017, authorizing the District to construct, connect, operate, and maintain cross- border water pipeline facilities for the importation of desalinated seawater at the international boundary between the United States and Mexico in San Diego County, California. In making this determination, the Department provided public notice of the proposed permit, offered the opportunity for comment, and consulted with other federal agencies, as required by Executive Order 11423, as amended. This was published in the Federal Register on June 6, 2017 (see Exhibit K). With this approval it is expected Mexico’s federal agencies may need to issue a similar permit to bring symmetry into the approval of a cross border pipeline with the International Boundary and Water Commission, and their counterpart in Mexico, Comisión Internacional de Límites y Agua (IBWC/CILA) as the agencies to administer the transportation of water across the border and to protect the District from local interference in the delivery of desalinated water. IBWC/CILA currently fill this role for the existing pipeline border crossing south of Alta Road that transport Mexico water from Mexico’s allotment from the Colorado River. 5 FISCAL IMPACT: Joe Beachem, Chief Financial Officer No fiscal impact as this is an informational item only. See Attachment B - Budget Detail. Although $6,527,561 has been committed as of November 13, 2017, $4,134,837 has been actually spent. Staff has stopped all activities concerning this Project. All expenditures will be suspended until more progress is made in Mexico on the project. 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\Committee Desal Update 2017- 3\Committee 12-06-17, Staff Report, Desal Update, (BK-RP) Rev2.docx Attachments: Attachment A – Committee Action Attachment B – Budget Detail Exhibit A – Project Location Exhibit B – Water Desalination Report, dated May 22, 2017 Exhibit C – Could desalinated water from Mexico flow to San Diego?, San Diego Union Tribune, dated June 19, 2017 Exhibit D – Mexico-U.S. Cross-Border Desal Project Moves Forward, WaterWorld, dated June 19, 2017 Exhibit E - California May Import Water from Mexico Desalination Plant, www.breitbart.com, dated June 21, 2017 Exhibit F – Crucial Permit Moves San Diego Closer to Tapping Mexican Desal, www.newsdeeply.com, dated June 23, 2017 Exhibit G – Documentos oficiales confirman Proyecto binacional; Kiko Vega lo niega, http://jornadabc.mx/, dated September 23, 2017 6 Exhibit H – Costaran desaladoras de Ensenada y Rosarito mas de 81 mil millones, www.frontera.info, dated September 29, 2017 Exhibit I – Aprobarán endeudamiento de "Kiko" por 83 mil mdp, http://zetaTijuana.com, dated September 29, 2017 Exhibit J – Giant Rosarito Beach desalination project faces scrutiny, San Diego Union Tribune, dated November 27, 2017 Exhibit K – Federal Register Vol. 82, No. 107 dated June 6, 2017, Notices 26207 ATTACHMENT A SUBJECT/PROJECT: P2451-001101 Informational Update for the Rosarito Desalination Plant and the Otay Mesa Conveyance and Disinfection System Projects COMMITTEE ACTION: The Desalination Committee (Committee) reviewed this informational item at a meeting held on December 6, 2017. ATTACHMENT B – Budget Detail SUBJECT/PROJECT: P2451-001101 Informational Update for the Rosarito Desalination Plant and the Otay Mesa Conveyance and Disinfection System Projects Date Updated 11/13/2017 Budget 30,000,000 Phases Planning Consultant Contracts 32,869 22,869 10,000 32,869 BROWNSTEIN HYATT FARBER 98,577 98,577 - 98,577 CAMP DRESSER & MCKEE INC 13,311 13,311 - 13,311 CPM PARTNERS INC 380,200 380,200 - 380,200 HECTOR I MARES-COSSIO 71,531 71,531 - 71,531 MARSTON & MARSTON INC 26,700 26,700 - 26,700 REA & PARKER RESEARCH 4,173 4,173 - 4,173 SALVADOR LOPEZ 225,499 225,499 - 225,499 SILVA-SILVA INTERNATIONAL 11,050 9,300 1,750 11,050 SVPR COMMUNICATIONS Meals and Incidentals 21,944 21,944 - 21,944 STAFF Printing 61 61 - 61 MAIL MANAGEMENT GROUP INC Professional Legal Fees 2,516 2,516 - 2,516 ARTIANO SHINOFF 162,041 162,041 - 162,041 GARCIA CALDERON & RUIZ LLP 43,175 43,175 - 43,175 SOLORZANO CARVAJAL GONZALEZ Y 32,612 32,612 - 32,612 STUTZ ARTIANO SHINOFF Regulatory Agency Fees 3,120 3,120 - 3,120 COUNTY OF SAN DIEGO 2,142 2,142 - 2,142 STATE WATER RESOURCES Service Contracts 500 500 - 500 REBECA SOTURA NICKERSON 875 875 - 875 LEONARD VILLAREAL 32,463 32,463 - 32,463 (W)RIGHT ON COMMUNICATIONS INC 39,500 39,500 - 39,500 BUSTAMANTE & ASSOCIATES LLC 290 290 - 290 SAN DIEGO DAILY TRANSCRIPT 685 685 - 685 SAN DIEGO UNION-TRIBUNE, THE Standard Salaries 1,203,045 1,203,045 - 1,203,045 Total Planning 2,408,879 2,397,129 11,750 2,408,879 Design 001102 Consultant Contracts 3,800,863 1,419,890 2,380,973 3,800,863 AECOM TECHNICAL SERVICES INC 3,952 3,952 - 3,952 AIRX UTILITY SURVEYORS INC 5,000 5,000 - 5,000 ATKINS 8,818 8,818 - 8,818 CPM PARTNERS INC 5,109 5,109 - 5,109 MARSTON+MARSTON INC 35,520 35,520 - 35,520 MICHAEL R WELCH PHD PE Meals, Travel, Incidentals 3,457 3,457 - 3,457 STAFF Professional Legal Fees 7,761 7,761 - 7,761 STUTZ ARTIANO SHINOFF Regulatory Agency Fees 1,127 1,127 - 1,127 STATE WATER RESOURCES Service Contracts 1,084 1,084 - 1,084 SAN DIEGO UNION-TRIBUNE LLC 114 114 - 114 REPROHAUS CORP Standard Salaries 245,877 245,877 - 245,877 Total Design 4,118,682 1,737,709 2,380,973 4,118,682 Construction Standard Salaries - - - - Total Construction - - - - Grand Total 6,527,561 4,134,837 2,392,723 6,527,561 Vendor/Comments Otay Water District P2451 Otay Mesa Desalination Conveyance and Disinfection System Committed Expenditures Outstanding Commitment & Forecast Projected Final Cost 571-1RESERVOIR 870-1RESERVOIR OTAY MESA RD EN R I C O F E R M I D R DONOVA N DONOVANCORRECTIONALFACILITY SIEMPRE VIVA RD G.F. BAILEYDETENTION FACILITY AIRWAY RD AL T A R D PASEO DE LA F U E N T T E STATE PRISON RD ALT A R D MEXICO USA OW D B O U N D A R Y FUTURE FUT U R E ?ò ?Ü ?Ü FUTUREPORT OFENTRY OTAY WATER DISTRICTOTAY MESA DESALINATION CONVEYANCEAND DISINFECTION SYSTEM PROJECT EXHIBIT A CIP P2451 0 2,0001,000 Feet F 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 a r c h 2 0 1 5 . m x d Legend Pipeline Alternative 1 Pipeline Alternative 2 Pipeline Alternative 3 VICINITY MAP PROJECT SITE NTSDIV 5 DIV 1 DIV 2 DIV 4 DIV 3 ?ò Aä%&s ?p ?Ë !\ F Water Desalination ReporT Volume 53, Number 19 The international weekly for desalination and advanced water treatment since 1965 22 May 2017 Tom Pankratz, Editor, P.O. Box 75064, Houston, Texas 77234-5064 USA Telephone: +1-281-857-6571, www.desalination.com/wdr, email: tp@globalwaterintel.com © 2017 Media Analytics. Published in cooperation with Global Water Intelligence. Mexico-USAPresident approves swro pipeline permit Despite all the recent talk of constructing an impenetrable wall to separate the US from Mexico, WDR has learned that a Presidential Permit has been granted to Southern California’s Otay Water District (OWD) to import desalinated seawater from Mexico to the US. The permit authorizes the “construction, connection, oper- ation and the importation of desalinated seawater at the International Boundary between the United States and Mexico in San Diego County, California.” The permit is a requirement of a 1968 Executive Order, which mandates federal agencies to determine whether such a project is in the US national interest. OWD applied for the permit in November 2013 and, along with the State Department, published a draft environmental impact report/environmental impact statement (EIR/EIS) in May 2014. Following a public comment period, a final EIR/ EIS was issued in September 2016. The District plans to purchase up to 20 MGD (75,700 m3/d) of desalted seawater from the proposed 100 MGD (378,500 m3/d) Rosarito Desalination Plant. The plant will be constructed by Aguas de Rosarito (AdR), a special purpose company comprised of Consolidated Water Company’s (CWCO) NSC Agua subsidiary, Degrémont and NuWater, in the Mexican state of Baja California, across the US-Mexican border; despite its interest in purchasing water, OWD is not a part of the desal project. The cross-border pipeline will convey desalted seawater four miles (6.4km), from Mexico across the US border, via a 54-inch (1.2m) diameter pipeline, with metering and pump stations and a disinfection facility. The first, 50 MGD phase of the Rosarito project is expected to be producing water by the end of 2019, while the pipeline has been envisioned as part of the project’s second phase, which should be operational in 2024. The permit will expire in five years if construction has not yet begun, leading to speculation, unconfirmed by OWD or CWCO, that the permit approval might signal that the second phase of the project could be accelerated. WDR understands that financial closure on the $460+ million project is now expected to take place later this summer, or early fall. TechnologyEnergy-Desal Design Winner picked Last week, a team led by Oak Ridge National Laboratories prevailed in a year-long design effort, winning the US-Israel Integrated Energy and Design Challenge. The Challenge— organized by the US Department of Energy (DOE) and Israel’s Ministry of National Infrastructure, Energy and Water Resources (MIEW)—was intended to encourage leading US and Israeli engineers to design a novel, integrated energy-desal system that could be suitable for both countries. Challenge specifications were jointly developed by US and Israeli experts, and a parallel competition was conducted for applicants from each country. The Challenge’s goal was to site and design a system that could profitably produce at least 1,000 m3 (0.26 MGD) of potable water from a feedwater with a TDS of 5,000- 20,000 mg/L at a target price of $0.50/m3 ($1.89/kgal), while providing some portfolio of services to the electricity system. A successful system would have a productivity factor of 75 percent and could be sited in the US or Israel. It could achieve the goals by including revenue streams for providing electricity services through on-site energy generation and storage, the utilization of waste heat or cooling or the recovery re-use of waste brines. The US teams were each led by a principal investigator from one of the National Laboratories, and the Challenge was conducted in two separate phases: a three-page concept phase from which three finalists were selected and each provided with $50,000 in funding to develop a full design; and, a full design analysis from which the winning team was selected by a panel of expert judges and awarded $100,000 of funding to further the deveopment of its design. During a two-day event held in Jerusalem last week, the teams presented their final designs and were then interviewed by the judges. The winning design was selected based on its technical merit, creativity and innovation, team and resource Page 2 diversity, commercialization potential and program policy factors. The teams, and a brief description of the designs selected for participation in the finals, were: Winner: Oak Ridge National Laboratory (ORNL) – An integrated renewable energy-RO design that dynamically controls energy consumption under variable power and salinity conditions, using a feedwater blend consisting of low-salinity wastewater effluent and seawater. The renewable energy components included a hybrid photovoltaic (PV) and an optional modular pumped storage system. Partners: Brookhaven National Laboratory, Columbia University, Hazen & Sawyer Principal Investigator: Sujit Das, ORNL Presenter: Adam Atia, Columbia University Los Alamos National Laboratory (LANL) – An integrated parabolic trough concentrated solar powered (CSP) cogeneration system to produce steam to generate electricity before being used to drive a multiple effect distillation (MED) process to desalt saline groundwater. Partners: Norwich Technologies, Creare LLC Principal Investigator/Presenter: Stephen Obrey, LANL Sandia National Laboratories (SNL) – An integrated concentrating point-focus solar array and direct-coupled energy storage system to produce steam for a non- condensing steam turbine generator and multi-stage flash (MSF) evaporator, with an optional PV system. Partners: Arizona State University, Golden State Energy Principal Investigator: James E. Miller, SNL Presenter: Ellen Stechel, ASU Although Israel’s MIEW conducted a parallel challenge, the two competing Israeli teams started later and were not as far along in the final design process. So, after their presentations and interviews were completed, it was decided that the winner of the competition between ADAN Technologies’ integrated CSP-BWRO-SWRO-MED, and Arava/Rotem’s gasification-MED-RO would be selected in about three months. The US judges were Udi Helman, a consultant with Helman Analytics; Audrey Lee, vice-president of analytics and design for Advanced Microgrid Solutions; James Klausner, professor and chair of Michigan State University’s Mechanical Engineering Department; and, WDR’s Tom Pankratz. The Israeli judges were Jacov Karni, a researcher at Weitzman Institute; Yossi Yaacoby, director of Mekorot’s WATER DESALINATION REPORT – 22 May 2017 WaTech division; and Avi Moshel, an environmental consultant. Participating members of the organizing committee included co-chair Diana Bauer, the DOE’s Director of Energy Systems Integration Analysis; Sam Bockenhauer, a DOE Physical Scientist; Timothy Walters, a DOE International Relations Specialist; and Einat Magal, the Earth and Marine Sciences Research Manager at Israel’s Chief Scientist Office. More information on the Challenge is available at http:// tinyurl.com/mt8yp73. Australia Minimum water order for largest SWRO Despite rainfall and the addition of desalted seawater from the Victorian Desalination Plant (VDP), water storages in the state of Victoria have declined for the past 24 weeks. Melbourne’s storages are now 105 million m3 (27.7 billion g) lower than at the same time two years ago, prompting the government to place a water order for 15 million m3 (3.4 billion g) of water from the VDP for 2017-2018. The water order was made in consultation with area water retailers, and should restore Melbourne’s storage levels while providing an ongoing buffer against drought. The amount also represents the minimum water order set for the next three years for the 450,000 m3/d (119 MGD) SWRO plant, and will guarantee continued water security and better plant management. The government also announced that Melbourne residents would not face additional charges for water purchased from the desal plant, because the purchase will be funded from the sale of surplus Renewable Energy Certificates, which were previously purchased by the plant to offset renewable wind energy, and were not fully utilized because no water orders were made until 2016. The plant was commissioned in December 2012, but was not operated until earlier this year, when an order for 50 million m3 (13.2 billion g) was placed in response to falling storages. California Reuse plant to get new membranes New York-based Scinor Water America has been awarded a contract to supply 2,500 membrane filtration modules for the Phase IV expansion of West Basin’s 14 MGD (53,000 m3/d) Edward C. Little Water Recycling Facility in El Segundo (Los Angeles), California. The expansion was completed in 2006 and treats secondary effluent to advanced water 3WATER DESALINATION REPORT – 22 May 2017 quality standards—employing cartridge filters, chemical addition, MF, RO, decarbonation and UV irradiation—for groundwater injection, to serve as a barrier to seawater intrusion, and for industrial process water. When originally installed, the Memcor (now Evoqua) six- cell submerged MF system was a pioneering system for its time. However, after nine years of operation, there had been a growing number of largely age-related operational and reliability issues with the submerged polypropylene membrane modules. In addition to cracking in some of the nylon module blocks, there has been a loss of membrane permeability, resulting in a 50 percent reduction in plant production that necessitated more frequent cleaning. To evaluate its upgrade options, West Basin engaged Separ- ation Processes (SPI) and Suez, the plant’s contract operator, to conduct a pilot study, which was followed by a full-scale test that began in late January 2017 to evaluate alternative replacement membranes. Based on the study results, West Basin awarded Scinor a membrane replacement contract under which it will furnish its TIPS (thermally-induced phase separation) PVDF membranes. The plant will also implement new automation and controls capabilities that are in-line with today’s standards. Tom Poschman, Scinor Water America’s president and CEO, said that the installation of the membranes is expected to be completed in the second half of 2017. It will be Scinor’s largest US installation, and its third largest in the world. Conference NewsEuroMed 2017, one for the books Ambassadors, academics, students, utility and industry specialists and invited co-hosts from China and Italy met in Tel Aviv on 9-12 May for EuroMed 2017, the European Desalination Society’s (EDS) annual conference, under the theme Desalination for Clean Water and Energy: Cooperation around the World. The first of two keynote presentations was given by Izzeldin Abuelaish, the Professor of Public Health from the University of Toronto, whose talk on Water for hope, health and peace served as a perfect prelude to two panel discussions addressing cross-border issues. The discussions involved scientists from Gaza, Israel, the West Bank and international organizations involved in the region. Ora Kedem, Professor Emerita from the Weizmann Institute of Science and Ben Gurion University of the Negev, gave a second keynote, titled, Where can electrodialysis compete? The talk was a fitting lead-in to one of the conference’s two parallel technical sessions, which emphasized electrochemical processes. The program included a highly popular visit to the Sorek plant, the world’s largest SWRO plant, hosted by IDE Technologies. Avshalom Felber, the company’s CEO, arrived directly from the airport to greet participants. Kevin Price, who is associated with the Middle East Desalination Research Center (MEDRC), moderated a closing session during which panelists addressed theoretical solutions to Gaza’s immediate and long-term water concerns, focusing on the technical, rather than political, needs. Outgoing President Ursula Annunziata, of Genesys International, introduced Maria Kennedy, Professor of Water Treatment Technology at UNESCO-IHE Institute for Water Education, as EDS’ new president, and announced that the next EDS biennial conference and exhibition would be held in Athens, Greece, in May 2018. She also continued the well-established EDS tradition of performing specially-written desalination songs at the Gala Dinner, accompanied by EDS pianist Richard Furstenheim. Drawing inspiration from well-known musicals by Andrew Lloyd Weber and Rogers and Hammerstein, Annunziata emotionally sang the tale of her tenure as EDS president and made the members chuckle with her desal-themed tongue- twisters. Genesys’ Ursula Annunziata serenading desalters, including (from left) Professors Ora Kedem and Rafi Semiat Of course, no EDS event could be appropriately summarized without acknowledging Miriam Balaban, the Society’s secretary general, for her tireless work organizing an inter- esting event with such broad, international participation. In brief Shanghai-based SafBon Water Service will purchase Florida-based Doosan Hydro Technologies (DHT) from Korea’s Doosan Heavy Industries & Construction for $7.36 million. The deal comes just two months after Safbon completed the purchase of a 21.6 percent stake in IDE- affiliated AquaSwiss AG. DHT was established in 2005, when Doosan Heavy acquired the US water treatment division of American Engineering Services (AES) for $4.7 million. Until the acquisition, Doosan’s desal capabilities were limited to MSF projects, although it was also develop- ing a position in the MED market. Based on AES’ SWRO references, Doosan was able to immediately engage in the rapidly growing SWRO market. Built in response to a record drought and commissioned in 1992, Santa Barbara’s SWRO plant was soon turned off and eventually mothballed, when rains filled the area’s nearly empty reservoirs. However, the city wisely continued to maintain its permits and waited patiently for the next drought. In September 2015, following a series of studies, the City awarded IDE Technologies a notice to proceed with the design, construction and reactivation of the 3,125 AFY (10,560 m3/d) SWRO plant at a total cost of about $70 million. Barring any unforeseen circumstances, the Charles E. Meyer Desalination Facility could become California’s fourth operational seawater desal plant later this week, joining the Carlsbad, Catalina and Sand City SWRO plants. Pre-proposals for its Unsolicited Research Program are being sought by the Water Environment & Reuse Foundation (WE&RF). Funding of research project proposals in relevant wastewater, reuse and other sources of water will be considered. A funding total of approximately $300,000 is expected, with typical awards made in the $25,000 to $150,000 range. A minimum 25% cost-share or in-kind support must be contributed, and the maximum project duration is two years. Pre-proposals are due by 13 July and more information is available at http://www.werf.org/ unsolicitedresearch. Evoqua Water Technologies said it would deliver a 50 gpm (43 m3/h) brackish water desal system employing its Nexed electrochemical technology for demonstration at El Paso Water Utilities’ Kay Bailey Hutchison Desalination Plant. The system is expected to be operational next month. The South Central Membrane Association (SCMA) will hold a membrane operator training course titled “MOC-III: Low Pressure Membrane Systems” in Richmond (Houston), Texas, on 6-8 June. For information and registration, visit http://tinyurl.com/mlqpero. The US Bureau of Reclamation has awarded a total of $23.6 million to 19 projects in seven states. The funds are for planning, designing and constructing water recycling and re- use projects, developing feasibility studies, and researching desalination and water recycling projects as a part of the Title XVI Water Reclamation and Reuse program. For a list of projects, visit http://tinyurl.com/mrkuxfd. A 10,000 m3/d (2.6 MGD) containerized SWRO plant furn- ished by RWL Water, has been commissioned at Pelican Island, near Richards Bay, on South Africa’s northeast coast. The Department of Water and Sanitation contracted a partnership of North Coast Water Utility and RWL. The desalted water is reportedly pumped to 20 area reservoirs. Erratum: In the 9 May 2017 issue of WDR, a story on a GE Water ZeeLung MABR project in Italy said that the results were for a full-scale installation. In fact, the results covered the first six months of an ongoing 10-month study. Reminder: The 1 June deadline for submitting applications for AMTA funding opportunities for grants, research fellowships, scholarships and stipends for graduate and undergraduate students is approaching. For details, visit http://tinyurl.com/hjmrzau. Jobs Scinor Water America is seeking an Applications/Service Engineer to provide technical sales and service support for its hollow-fiber membrane filter products in new-build and retrofit applications. The preferred candidate will have an engineering degree and a minimum of three years MF/UF experience. The position will be based in Southern California and requires up to 50% travel. Please send your resume to joe.tardio@scinor.com. Rate for one year: £355 or US$550. Subscribe and renew online at: www.desalination.com/wdr Reproduction or electronic distribution is forbidden. Subscribers may circulate their copy on their immediate premises. To email or create additionalcopies for other office locations, contact Jake Gomme (jg@globalwaterintel.com) to arrange a site license. Page 4WATER DESALINATION REPORT – 22 May 2017 Save the Date: American Water Summit The American Water Summit 2017 will be held on 29-30 November in Austin, Texas, at the JW Marriott hotel. For more information, visit http://www.americanwatersummit.com. EXHIBIT C Could desalinated water from Mexico flow to San Diego? - The San Diego Union-Tribune Author Sandra Dibble The U.S. State Department has approved a cross-border pipeline that could one day carry desalinated water from Mexico to the Otay Water District in San Diego County With Baja California pushing forward on its plan for a massive desalination plant in Rosarito Beach, a ground-breaking proposal to pipe some of that water to the United States has overcome a key We have electric lines, the largest crossing in the world, a gas pipeline, a bridge from the airport,” that cross the border, said Mark Watton, general manager for the Otay Water District, which serves some 220,000 residents of southeastern San Diego County. “It’s only natural that we have a water line. Watton said the presidential permit approval on May 16 marks “a giant leap,” toward making his district the first in the country to import water from Mexico. The district’s $30 million pipeline project “would provide a new drought-proof water supply to its customers,” reads a statement from the district But making the plan a reality will require many more steps — the great majority of those in Mexico. For starters, the Rosarito Beach Desalination Plant has yet to be built, though Baja California authorities said last week that they are on track with their plan to complete the first phase in 2019 and the second phase in 2024. At full build-out, the proposed $463 million reverse-osmosis facility would be the largest desalination plant in the Western Hemisphere, twice the size of the Poseidon plant in Carlsbad, producing up to 100 million gallons of water daily. Though Watton said he has been in talks with Baja California officials about the possibility of purchasing some of that water, the state’s chief water planner denied the existence of a plan to send any of the desalinated water across the border. “The water is for Baja California, for our municipalities,” said German Lizola, who heads the State Water Commission, in an interview last week. Like San Diego, Tijuana is heavily reliant on the Colorado River, whose water is piped across the state and currently makes up more than 95 percent of the city’s supply. And like San Diego, Baja California has been striving to diversify its water sources in its Pacific coastal regions — from Tijuana to San Quintin. Gov. Francisco Vega de Lamadrid has seen desalination as the solution. EXHIBIT C Later this year, the state is planning the opening of a desalination plant in the port of Ensenada that would produce 5.8 million gallons daily, Lizola said. It is also preparing to launch construction of a similar-sized plant in San Quintin North of the border, the Otay Water District, whose southern boundary abuts the Mexican border, has also been looking for alternative water sources. The district has spent $4.1 million so far studying on the Mexican option, Watton said. “Just like a lot of water projects, you have to invest some money to see if they’ll pan out,” he said. We’ve had an expression by the state (of Baja California) in the past that all things being equal, they would like to have an export market,” Watton said. But there are no commitments at this point, he added. The idea of building a desalination plant in Rosarito Beach has been around for decades. But it became a concrete plan last August, when the state signed a contract with a consortium under a private-public partnership agreement to build the the plant and operate it for 37 years. The private group is comprised of NSC Agua, a Mexican company that is the subsidiary of a Cayman Islands-based Consolidated Water, together with two partners: the French company Degremont, and NuWater of Singapore. To move forward, some conditions still need to be met. A filing last month by Consolidated Water with the U.S. Securities and Exchange Commission stated that these include obtaining rights of way for an aqueduct, Mexican federal approvals for Baja California to receive and distribute seawater; federal permits to discharge residual water from the desalination plant; and financing for the first execution of the project’s first phase. The company also has asked the state of Baja California for an increase in the water tariff “to compensate for significant changes in foreign exchange,” a company statement said, adding that it hopes to launch construction in the third quarter of this year. The project has the backing of the North American Development Bank, a binational institution that evaluates and supports infrastructure projects on the U.S.-Mexico border. “We remain optimistic that the plant will come to fruition,” read a statement sent Friday. “In addition, we remain confident that the Bank will leverage private sector financing for the construction.” In case Baja California agrees to sell some of its water with the completion of the second phase in 2024, the Otay Water District is proposing its own tandem $30 million project. It is called “Otay Mesa Conveyance and Disinfection System,” and consists of a pump station at the border, a pipeline to carry the water to its reservoir and an ultra- violet water treatment facility. The recent granting of the U.S. presidential permit has buoyed Watton’s hopes that the project can move forward. The permits are issued by the U.S. State Department for EXHIBIT C cross-border projects found to be in the national interest, and require consultations with federal, state and local agencies and the solicitation of public comment. While most of these permits involve land border crossings, they have also been granted for seven cross-border pipelines carrying petroleum products. Watton said his permit is the first that involves a proposal to import water from Mexico. The permit was opposed by U.S. environmental groups — the Surfrider Foundation’s San Diego Chapter as well as Imperial Beach-based Wildcoast, which cited concerns about the future plant drawing from contaminated water off the Baja California coast. In recent months, Baja California has announced a series of projects that aim to clean up the Tijuana coastline. South of the border, opinions are mixed about the plan for the Rosarito desalination plant. Some question the hurry to complete a project of that magnitude — at full capacity it would supply water for more than 1.7 million people — nearly the size of Tijuana’s current population. They argue the state ought to put more effort into water reuse projects. But others contend that the desalinated water can be a new source that can reduce Tijuana’s vulnerability if an earthquake damages the Colorado River aqueduct. A desalination plant, proponents say, can increase the region’s economic potential.</p></div> Water has always been a barrier for Tijuana’s growth,” said Cesar Romeo Sauceda, head of Tijuana’s Chamber of Construction and Industry. Romeo has heard talk about the possibility of sending some of the water to San Diego, and would not necessarily oppose such a plan. “I think it’s part of being neighbors, of having commercial relations, it’s something natural,” he said. Still, up to now, he said, “nobody that I know has officially spoken of selling some of that water to the United States. sandra.dibble@sduniontribune.com @sandradibble MEXICO-U.S. CROSS- BORDER DESAL PROJECT MOVES FORWARD SAN DIEGO, CA, JUNE 19, 2017 -- On May 16, 2017, the U.S. Department of State granted a presidential permit to allow the Otay Water District to build a nearly four-mile potable water pipeline that begins at the U.S.-Mexico border. This permit authorizes the District to "construct, connect, operate, and maintain cross-border water pipeline facilities for the importation of desalinated seawater at the International Boundary between the United States Page 1 of 3Mexico-U.S. cross-border desal project moves forward - WaterWorld 8/17/2017http://www.waterworld.com/articles/2017/06/mexico-u-s-cross-border-desal-project-move... and Mexico in San Diego County, California." Purchasing and transporting water Aguas de Rosarito's $421 million desalination plant in Rosarito, Baja California, Mexico, is a component of the District's water supply diversification efforts. The Rosarito plant could potentially produce water to meet up to two-thirds of the District's projected water use by 2024. In light of the growing need for new potable water supplies in Mexico and San Diego County, the proposed Rosarito plant and the District's $30 million Otay Mesa Conveyance and Disinfection System Project would provide a new drought-proof water supply to its customers. The District currently provides water service to a population of more than 223,000 people, which is expected to increase to more than 308,000 by 2050. The Rosarito facility would produce up to 100-million gallons of water daily in two phases. The first phase, expected to be operational by late 2019 or early 2020, would make 50-million gallons or more of desalinated water available daily to the Tijuana/Rosarito region. The second phase, expected to be completed by 2024, would deliver up to an additional 50- million gallons daily, with 10 to 30 percent of that water available to the District. The Otay Mesa Conveyance and Disinfection System Project will be the first cross-border project of its kind to import water to the U.S. from Mexico. Otay currently maintains the only two existing presidential permits for water crossings along the U.S.-Mexico Border. The District's other cross-border pipeline allows Mexico to transport and import Mexican Colorado River apportionment water through the U.S. facility to Tijuana. The project has undergone environmental review as required by the California Environmental Quality Act and National Environmental Policy Act and has obtained a U.S. Fish and Wildlife biological permit. The District also applied for a permit from the California Water Resources Control Board's Division of Drinking Water to ensure that water imported from Mexico meets the same water quality drinking standards as water from regional lakes, from the Claude "Bud" Lewis Carlsbad Desalination Plant, and from the City of San Diego's Pure Water Program. "Although there are still several hurdles to overcome, receiving the presidential permit for this project is a giant leap for the District and its customers so we have more control over our local water supply," said Mark Watton, the District's general manager. "Desal water from Rosarito would be a closer and highly reliable source water." The District continues to diversify its water resources, to reduce its dependence on traditional water supplies from the Colorado River and the Sacramento-San Joaquin Delta. It also continues to maximize the use of recycled water and succeed in its water conservation efforts. For more details on the Otay Mesa Conveyance and Disinfection System Project and Rosarito Desalination Plant project, click here. Page 2 of 3Mexico-U.S. cross-border desal project moves forward - WaterWorld 8/17/2017http://www.waterworld.com/articles/2017/06/mexico-u-s-cross-border-desal-project-move... Page 3 of 3Mexico-U.S. cross-border desal project moves forward - WaterWorld 8/17/2017http://www.waterworld.com/articles/2017/06/mexico-u-s-cross-border-desal-project-move... EXHIBIT E http://www.breitbart.com/california/ California May Import Water from Mexico Desalination Plant 1 Justin Sullivan/Getty by Michelle Moons20 Jun 2017109 20 Jun, 2017 19 Jun, 2017 EXHIBIT E The U.S. State Department has approved a cross-border pipe that would carry water from a desalination plant in Mexico into San Diego, California’s Otay Water District. “The Otay Mesa Conveyance and Disinfection System Project will be the first cross- border project of its kind to import water to the U.S. from Mexico,” according to the district’s website. The State Department approved the permit for the water line on May 16. The State Department permit covers the length of pipe from the border to the district. The District has applied to the California Water Resources Control Board Division of Drinking Water for a permit that would ensure the Mexican water pumped in “meets the same water quality drinking standards as water from regional lakes, from the Claude ‘Bud’ Lewis Carlsbad Desalination Plant, and from the City of San Diego’s Pure Water Program.” Otay Water District General Manager Mark Watton said, “Although there are still several hurdles to overcome, receiving the presidential permit for this project is a giant leap for the District and its customers so we have more control over our local water supply.” EXHIBIT E Watton has pointed out that there are electric lines, a gas pipeline and an airport bridge that span the U.S. southern border, according to the San Diego Union Tribune. He went on to call the installation of a water line “only natural.” He also stated that that would make Otay the first district in the U.S. to import water from Mexico. Water from the proposed desalination plant in Mexico could provide up to two-thirds of the water in the Otay District’s system by 2024, according to the district. By that time, 10 to 30 percent of the 50 million gallons of water produced at the plant could flow to California’s Otay District. The Rosarito Beach Desalination Plant has yet to be built. The Tribune reported the assurance of Baja California authorities that phase 1 of the plant will be completed in 2019 and phase 2 in 2024. At a cost of $463 million, it is planned to be the largest in the Western Hemisphere, and twice the size of San Diego County’s desalination plant in Carlsbad. Follow Michelle Moons on Twitter @MichelleDiana https://www.newsdeeply.com/water/executive-summaries/2017/06/23 WWW.FRONTERA.INFO Tijuana, B.C. Vfernes2g Septiembre 2017 Costaran desaladoras de Ensenada y Rosarito mas de 81 mil millones El Estado pagaria por mcs 160...1 n1dp por Ia conslruccion, instalacion y opcracion de las dos plantas YERSON MARTINEZ ymartinez@frontera.info Mexicali, B.C. DESAUNIZADORAS Ensenada 149.3mdp planta desalinizadora ~ Los entes que contratan ~ . I: son la Comisi6n Estatal del ~ Agua del Estado de Baja Ca-8 z lifornia y al Comisi6n Esta-:.1 ---... ; . -': -.. ---....... ..__ ... ·- La construcci6n, instalaci6n y operaci6n de las dos plan- tas desaladoras de Ensena- da y Playas de Rosarito cos- tara mas de 81 mil millones de pesos, de acuerdo a cifras del dictamen 95. Pago mensual por 37 alios 76mmdp Pago total tras 37 alios tal de Servicios PU.blicos de • Las obras estan programadas para finiquitar su pago en 30 y 37 alios. El diputado Carlos T9rres Torres explic6 que la desala- dora en Playas de Rosarito costara 149 millones 312 mil pesos mensuales a pagarse durante 37 afi.os a partir de junio del2019. Mediante el contrato Rosarito 11.1mdp Pago mensual por 30 alios 4mmdp Pago total tras 30 ai'los C-Sidue-CEA-APP-2015-002 de Asociaci6n Publico Pri- vada, Aguas de Rosarito S.A.P.I. de C.V. sera la encar- gada de materializar el pro- yecto de construcc.i6n, :finan- ciamiento y operaci6n de la Tijuana que en total paga- ran mas de 66 mil294 millo- nes de pesos mas IVA La segunda planta desa- ladora fue contratada por la Comisi6n Estatal del Agua del Estado de Baja Califor- nia y la Comisi6n Estatal-de Servicios PU.blicos de Ense- nada por 11 millones 136 mil pesos mensuales a plaza de 30afi.os. La empresa Desalado- ra Kenton S.A. de C.V b::ijo contrato de C-Sidue-CEA- APP-2015-001 iniciaria la obra a partir de enero de 2018 por un pago total de 4 mil9 millones de pesos mas IVA En suma el costo sera de mas de 70 mil303 millones de pesos que mas IVAsupera los 81 mil millones de pesos. El diputado explic6 que Ensenada reguiere agua pa- ra no depender del Rio Colo- rado y porque falta liquido para el Valle de Guadalupe. Los 81 mil millones de pe- sos se pagaran a traves de las cuentas de los usuarios de las distintas comisiones es- tatales de servicios publicos, lo cual no afectara los ingre- sos propios del Estado, pun- tualiz6. Los grupos ciudadanos opositores a los contratos via APP, seiialaron que el Esta- do se vuelve deudor solidario y con ello se podria elevar la tarifa de agua si la recauda- ci6n no garantiza el pago de las mensualidades. El dictamen 95 surge por reglas adicionales a la nor- matividad ante la Secretaria de Hacienda, de ambos pro- yectos previamente aproba- dos en el Poder Legislativo en el decreta 57 antes dicta- men 62, votados a favor en di- ciembre del2016. ZETA Aprobaran endeudamiento de "Kiko"por 83 mil mdp -EXHIBIT I Foto:Cristian Torres Destacados Twittear Isai Lara Bermudez Viernes,29 Septiembre,2017 10:12 AM -Z +z ■ ■ Basta con que dos terceras partes,es decir,17 de 25 diputados de Baja California voten a favor para que el Estado comprometa el presupuesto estatal por mas de 83 mil millones de pesos,durante un periodo de 37 anos,para empresas de familiares de funcionarios panistas Diputados confiaron a ZETA que es el propio gobernador,Francisco Arturo Vega de Lamadrid,quien ha tenido que realizar llamadas telefonicas amenazantes a los diputados de su bancada para que aprueben a como de lugar dos propuestas que envio desde julio para poder financiar negocios bajo el esquema de Asociacion Publico Privadas,principalmente relacionadas con el agua. "No habiamos visto este nivel de presiones,chantes o amenazas para poder pasar algo",conto uno de los diputados,haciendo referencia a la operacion que el Gobierno del Estado ha echado andar en los ultimos dias,para que los diputados aprueben dos dictamenes que comprometeran los recursos de las proximas generaciones de Baja California. El gobierno de "Kiko"Vega tiene un problema:firmaron contratos (autorizados por la anterior legislatura)con empresas bajo el esquema de APP,para estas realicen obras y servicios relacionados con e!agua en la entidad.La mas costosa es la desaladora en Rosarito.Pero no tienen el dinero para pagarlos y mas cuando se trata de costear 82 mil millones de pesos. Tan solo al consorcio Aguas de Rosarito,integrado por las empresas NSC Agua,Nuwater y DegremonU encargados de la desaldora en Rosarito- fi!e:///P|/...Reports/Committee Desal Update 2017-3/Exhibit 1 -ZETA Aprobaran endeudamiento de "Kiko"por 83 mi!mdp 09-2017 -.html[l 1/29/2017 10:00:25 AM] ZETA Aprobaran endeudamiento de ''Kiko"por 83 mil mdp - St It IO.\LA Uftf4>B\f Itli HI.H.I NO DH t oV.Bi M> ...T...■* (•U||«UHutlfel 0—<tlUfc!«••*•v (MlwnM d*XL6 *•«J hn>la OSU d»l fllrtr a* TiJuana,el gobiemo pretende pagar 172 millones de pesos 840 mil pesos al afi0'incluyendo el IVA,que representa 2 mil 74 millones de pesos al mum lartM an ■frufr-"'*OihtMhs >nun p^j •"muu F.uIC1'!*■Hvno 11 Umin n»Dvorrwhi Iiimmj HWgMi Ip ■I [!11 . iH»e.B»isc*Pero en este nuevo contrato -aprobado ya por los diputados de laHLftSOiOVUUV*i iw*M fans «.>«**Mn><ttSOM'"0 Iegislatura anterior-tiene un plazo de 37 aflos,es decir,un total de 76 mil «.«,-^»-.,«»,740 millones. En ese consorcio,se ubica Alejandro de la Vega Valladolid,vinculo familiar con el Antonio Valladolid,ex secretario de Fianzas del gobemador. Estos proyectos han sido impulsados desde el Gobiemo del Estado,personalmente por el mandatario,asi como por el secretario de Desarrollo Urbano,Manuel Guevara,y por Antonio Valladolid. Lo grave es que,para poder comprometer los miles de millones de pesos,el Congreso ahora debe aprobar que el Estado financie y garantice el pago a las empresas por las administraciones siguientes. Eso es lo que esta en juego en las proximas horas,en el pleno de la Camara de Diputados,y donde el PAN,PRI,PRD, Movimiento Ciudadano,Partido del Trabajo y Partido de Baja California,tienen la intencion de votar a favor. Otros contratos Ademas del ya mencionado contrato,otro al que "Kiko"Vega le urge asegurar los pagos millonarios durante afios,es el que celebro con Desaladora Kenton S.A.de C.V.,que fue la unica que presento propuesta y que es representada por Patricia Paterson Villalobos y Yolanda Padilla Loza y donde aparece como socio Jesus Octavio Rincon Vargas,hermano de la alcaldesa panista de Rosarito,Mirna Rincon. Esta empresa creada para la APP se encargara del "Sistema Integral Hidrico en San Quintin".Ahi,el gobiemo se compromete a un pago de 11 millones 136 mil pesos al mes,mas IVA;esto es,mas de 133.6 millones al afio,con una duracion de 30 anos,arrojando un total de 4 mil 650 millones de pesos. Uno mas es para la Operadora de Pluviales Mexicali,empresa que realizara obras de tuberias y drenajes en la capital del Estado.Para ello se quieren destinar 2 millones 845 mil pesos mensuales,durante 15 afios,dando un monto total de 512 millones 246 mil pesos,con IVA incluido. Es justamente el Dictamen 95 que se votara este viemes 29 de septiembre el que pretende autorizar al gobiemo del Estado para que todos los ingresos de la Cespt,Cespe y Cespm,por servicio de agua,conformen fideicomisos para el pago a las empresas. Los propios diputados saben que para cumplir con ese compromiso,se tendra que aumentar las tarifas del agua potable, adquirir mas deuda publica y comprometer otros impuestos que generan importantes ingresos. file:///P|/...Reports/Committee Desa!Update 2017-3/Exhibit 1 -ZETA Aprobaran endeudamiento de "Kiko"por 83 mil mdp 09-2017 -.html[l 1/29/2017 10:00:25 AM] ZETA Aprobaran endeudamiento de "Kiko"por 83 mil mdp - El dictamen 95 Las presiones son para que aprueben las garantias del pago.El gobernador envio esa propuesta desde julio,pero rue hasta el pasado 9 de septiembre que se dictaminaron en la Comision de Hacienda,encabezada por la panista,Irais Vazquez. En la Comision,ademas de la diputada Vazquez,a favor votaron dos panistas mas:Eva Maria Vasquez y Sergio Tolento. Ademas,las propuestas del gobernador contaron con las "abstenciones"del diputado Jorge Eugenio Nunez,del Partido de Baja California,y de Rocio Lopez Gorosave,del PRD. No hubiera sido posible que salieran los dictamenes en la Comision si los diputados de "oposicion",Catalino Zavala,de Morena;Job Montoya,de Movimiento Ciudadano;y de Benjamin Gomez,del PRI,no hubieran faltado "oportunamente"en esa sesion de Comision. El dictamen 95 pretende dejar en Ley que las Comisiones de Servicios Publicos esten obligadas a pagar las mensualidades millonarias que arriba fueron mencionadas.Es decir,se tendra que aumentar las tarifas del agua para poder incrementar los presupuestos. Pero si eso no Ilegara a concretarse,esto es,que si el dictamen es aprobado por el Congreso,se estara autorizando al Gobierno del Estado "un credito en cuenta corriente irrevocable", es decir,contratar deuda publica para garantizar hasta tres meses de contraprestacion. Esto no es todo,el dictamen 95 contempla una tercera garantia.Si los ingresos de las comisiones de servicios fallan y los creditos no son suficientes,se contempla un fideicomiso para nuevamente garantizar ei pago por medio de los ingresos por consumo de agua. Finalmente,el gobernador quiere que el Congreso autorice otro fideicomiso para poder incautar los ingresos derivados del impuesto sobre las remuneraciones al Trabajo Personal y asegurar los millones contratados con las empresas,durante todos los anos que vienen. file:///P|/...Reports/Committee Desal Update 2017-3/Exhibit I -ZETA Aprobaran endeudamiento de "Kiko"por 83 mil mdp 09-2017 -.html[l 1/29/2017 10:00:25 AM| ZETA Aprobaran endeudamiento de "Kiko"por 83 mil mdp - Dktamen 94 Este viernes igualmente se votara por aprobar un contrato relacionado con la Seguridad Publica para construir un C5 (Centro de Control,Comando,Comunicacion,Computo y Calidad en el Estado). El Gobierno del Estado busca pactar un contrato plurianuaf por 750 millones de pesos,mas 1VA,a pagar en 10 afios,lo que representa 800 millones 400 mil pesos en total. Estos dos dictamenes se intentaron votar en la Camara de Diputados el pasado 21 de septiembre,pero grupos opositores de Mexicali tomaron a la fuerza los pasillos del Congreso y tuvo que posponerse. De igual forma,creo division dentro de la fraction panista. El diputado Miguel Osuna Millan declaro publicamente la falta de sustento y la "poca seriedad"en la pretension del gobernador y la de sus companeros diputados. Los cdlculos Los operadores del gobierno y del Partido Action Nacional calculan que los dictamenes se aprobaran con cierta dificultad, pero se sienten confiados con el apoyo del Partido Revolucionario Institucional (PRI),por medio de la "buena disposition"de Alejandro Arregui y coordinador de la bancada, quien ha ofrecido la operation dentro de su grupo parlamentario;asimismo saben de la colaboracion de Benjamin Gomez,presidente de la Mesa Directiva. Igualmente,el PAN-gobierno presume internamente que tienen en la bolsa a Rocio Gorosave,diputada del PRD;a Job fi1e:///P|/...Reports/Committee Desal Update 2017-3/Exhibit I -ZETA Aprobaran endeudamiento de "lKiko"por 83 mil mdp 09-2017 -.html[l 1/29/2017 10:00:25 AM] ZETA Aprobaran endeudamiento de '"Kiko"por 83 mil mdp - Montoya,de Movimiento Ciudadano,por instrucciones dei dirigente en el Estado,Alcibiades Garcia Lizardi;y al Partido de Baja California,por medio de Jorge Eugenio Nunez. Las APPs en el pantano Para !a diputada federal y ex dirigente del PRI,Nancy Sanchez,Ios dictamenes no deben de aprobarse:"Somos de Ios estados mas endeudados en todo el pais,sobre todo,por la prisa de atender el tema de las APPs que e!tema de seguridad". Agrega:"Ios asesores del gobierno estatal parece que engafian al gobernador con numeros y cifras que danzan en lo ridiculo, que lo unico que hacen es hacerlo quedar mal.Como legisladora,exijo y pido que sean claros,que digan que destino tendran y tienen Ios recursos". Sanchez dice que la molestia social que existe "es porque es un gobierno incompetente,poco claro,que esta mas preocupado por sus negocios,por sus APPs,que pudieron haber sido muy buenas,pero nacieron en un pantano y no han sabido como salir adelante y decirle a la gente;no han clarificado que nos van a endeudar por 37 anos",senalo. ''Ha platicado con algunos diputados de mi partido,cruzamos informacion al respecto.Creo que la postura debe ser la misma, la nuestra,de la transparencia en el gasto,no enganar al ciudadano,no comprometer a generaciones futuras,la claridad del manejo de las finanzas publicas". La diputada no tiene duda,el dictamen 94 y 95,"Por supuesto que se tienen que votar en contra.Si no ha sido transparente su manejo,tiene que ser en contra.Las APPS siguen empantanadas y mis diputados tienen que ser congruentes con eso". —lE\no hacerlo generaha sospechas? "Por supuesto que generarfa sospechas,espero que no sea asi,pero tambien conozco a Ios del gobierno dei Estado.Son tramposos y son mayoria (PAN),mis diputados han sido muy congruentes,se han fajado en Ios temas importantes,algunos mas y otros menos,pero ahi se va a notar". Panista en contra file:///P|/...Reports/Committee Desai Update 2017-3/Exhibit I -ZETA Aprobaran endeudamiento de "Kiko"por 83 mil mdp 09-2017 -.html[!1/29/2017 10:00:25 AMI ZETA Aprobaran endeudamiento de '"Kiko"por 83 mil mdp - Dentro del grupo parlamentario de Accion Nacional,el diputado Miguel Osuna Millan fijo desde un principio su postura en contra de los dictamenes 94 y 95.Con esto,el ex secretario de Salud se convirtio en el unico legislador panista que se opuso a la voluntad del gobernador. Lo hizo por una serie de razones tecnicas que muestran no solo la falta de viabilidad de los proyectos,sino los dafios que causaria una deuda de esta magnitud. "Llamese como se llame,emprestitos,pago de contraprestaciones o deuda;estas obligaciones de pago por mas de 82 mil millones de pesos cuadriplican o quintuplican la deuda publica del Estado de Baja California;por ello mi postura en contra de mayor endeudamiento del estado",declaro respecto al dictamen 95. Explico que la entidad cuenta con la disponibilidad de 89 millones de metros cubicos de agua que alcanzarian para abastecer el servicio hasta 2018,por lo que considero "inaceptable aprobar ahora una inversion de esta naturaleza,no hay prisa",hizo ver Osuna Millan. De igual forma,senalo que las desaladoras requieren la opinion y aprobacion de expertos en el tema del agua,quienes recomiendan la construccion de manera escalonada en modulos de 200 litros por segundo. En cuanto al dictamen 94,considero insuficiente la documentacion tecnica para justiflcar la construccion del C5,por lo que califico de "inviable"a este contrato."La solucion no esta en el uso de la tecnologia,sino en la voluntad politica de los gobiernos Federal,Estatal y Municipal",expreso. Ademas,reconocio la falta de responsabilidad en el abordaje del tema,ya que no se incluyo un dictamen tecnico por parte de un perito especializado e independiente que avale el proyecto y pidio al gobierno del Estado que este se incluyera. file:///Pl/...Reports/Committee Desat Update 2017-3/Exhihit I -ZETA Aprobaran endeudamiento de "Kiko"por 83 mil mdp 09-2017 -.html[11/29/2017 10:00:25 AMI EXHIBIT J Giant Rosarito Beach desalination project faces scrutiny The Presidente Juarez thermoelectric plant in Rosarito Beach is near the site of a planned desalination plant that would be the largest in the Western Hemisphere. (San Diego County Water Authority) Sandra Dibble Contact Reporter November 27, 2017, 7:00 AM With Tijuana and other rapidly growing coastal cities heavily dependent on the Colorado River, Baja California urgently needs to find new water sources. Baja California Gov. Francisco Vega de Lamadrid’s administration has offered a solution: Build the largest desalination plant in the Western Hemisphere, enough to ensure a supply for decades to come. But plans for the reverse-osmosis facility in Rosarito Beach, a project that at full capacity would desalinate 100 million gallons daily, have come under unprecedented scrutiny at a politically sensitive moment. The touchiest public issue is the question of whether some of that water would be sold to the Otay Water District in San Diego County. EXHIBIT J More than a year after the signing of a public-private-partnership contract between Baja California and an international consortium to design and build the plant and operate it for 37 years, there are growing calls for at least a pause — if not a halt — to the process. Some question whether such a large plant is necessary, and warn of sharp increases in water rates once it is built. Others accuse the state of secretly planning to sell some of the water to the United States. Still others say the state’s greatest need is not the desalination plant — but for a broad and open public discussion about the critical issues of water use and ensuring a supply for future generations. “We’re talking about the future, we’re talking about water, we’re talking about the fact that the coastline of Baja California cannot just depend on the Colorado River,” said Carlos de la Parra, a water expert at the Colegio de la Frontera Norte, a Tijuana-based think tank. “This desalination plant is out of thin air.” Kurt Honold, president of the influential Tijuana business coalition Consejo Coordinador Empresarial, said, “We need to be a better administrator of the water that we already have … we are not using the water efficiently, we have a big bucket and the bucket has holes.” The issue has come to a head as the Baja California legislature prepares for a vote on federally mandated adjustments to the state’s public-private-partnership law. A no vote would at the very least delay the desalination plant, the most ambitious infrastructure project of Vega’s administration. It would also put on hold eight other public-private-partnership projects. “There is no better proposal,” said Manuel Guevara, Baja California’s secretary of infrastructure and the administration’s point-person on the Rosarito desalination project. “In fact, there is no other proposal at all. There has been no proposal from any group, any chamber, any legislator that’s different from ours, except for the size.” Like San Diego County, the state of Baja California is largely reliant on the Colorado River for its major cities, Tijuana and Mexicali, and the Mexicali Valley, its largest agricultural region. EXHIBIT J Baja California Gov. Francisco Vega de Lamadrid in 2016 in San Quintin celebrating a public-private-partnership agreement to build a desalination plant by the Pacific Ocean at La Chorera. (Gobierno de Baja California) Population growth and drought on the river have prompted growing concern, and calls for greater efficiency in managing the existing water supply as well as finding alternative sources. Next month, the state of Baja California plans to launch its first utility-scale ocean desalination plant in the port of Ensenada, a reverse osmosis facility able to produce 5.7 million gallons daily. Another similar-sized plant is being planned in the agricultural community of San Quintin, the first project approved under the state’s public-private-partnership law that was passed in 2014. But the largest by far is the Rosarito Beach facility whose cost is estimated at more than $470 million. At full capacity, it would be twice the size of the Poseidon plant in Carlsbad, enough to supply the needs of 2 million people. Baja California officials today are insisting that their sole aim at this point is ensuring a long- term water supply for residents of the state’s fast-growing Pacific coastal urban areas. “We’re can’t lose sight of the main vision, which is ensuring the water supply not just for three or six years, or even ten,” said Guevara, the Baja California secretary who leading the desalination efforts. “This is a vision for 20 or 40 years.” The project is under review by the North American Development Bank (NADB), a binational institution that evaluates and finances border infrastructure projects. “We believe in the necessity of the project from a water availability perspective,” said Jesse Hereford, a bank spokesman. He said in an email that NADB “is part of the banking syndicate that is looking at financing the project.” EXHIBIT J The idea of a cross-border desalination project predates Gov. Vega’s administration by some two decades. A groundbreaking agreement in 2012 between the United States and Mexico — known as Minute 319 — listed a binational desalination plant in Rosarito Beach as a potential new source of water for the region. But it wasn’t until August 2016, with the public-private-partnership contract that a concrete plan moved forward. The winning bidder, Aguas de Rosarito, joined together NSC Agua, a Mexican company that is the subsidiary of a Cayman Islands-based company, Consolidated Water, with two partners: the French company Degremont and NuWater of Singapore. The agreement committed the consortium to build the plant in two phases and operate it for 37 years before turning it over to the state. As envisioned in the agreement, the first phase was to produce 50 million gallons a day, and launch in late 2019 or early 2020; a second phase in 2024 would double the capacity to 100 million. “We don’t need such a large desalination plant,” said Ruben Garcia Fons, an engineer with expertise in water issues. He belongs to a group, COMICE, made up of planners, academics, builders and suppliers, which has recently gathered close to 1,000 signatures against the project. The selection process has been an “obscure procedure,” he said. “And those who will pay are those citizens who use the water.” The contract states Baja California would be in charge of distributing the water, and much of the current controversy over the plant now revolves on whether the state intends to ship some of that water across the border. Luis Moreno, a state legislator with the opposition Social Encounter Party, has been one of the most vocal critics, offering as proof transcripts of investor calls by Consolidated Water from 2009 to 2013. The state government, “is working behind the back of its citizens,” and “is seeking to benefit Consolidated Water and its partners,” Moreno said in a news release earlier this month. North of the border, the Otay Water District, which serves some 220,000 water users in southeast San Diego County, began discussing the proposal with Consolidated Water years before Gov. Vega took office in 2013. The district has been looking to diversify its water supply, and has spent more than $4 million researching the possibility of importing water from a future desalination plant in Mexico. Last May, the U.S. State Department approved a presidential permit to carry some of that water across the border at Otay Mesa. Mark Watton, the district’s general manager, said he has discussed the plan with Baja California’s secretary of economic development, Carlo Bonfante, but received no guarantees. “It was speculative from the get-go,” Watton said. “It makes sense that Mexico would export water as a finished manufactured product like they do other stuff, but the politics are wrapped around the axle right now.” EXHIBIT J Guevara, the secretary of infrastructure, said Bonfante is not the one to negotiate such deals, and can make no commitments. Guevera said it would be up to water agencies and himself. “I have had no discussions with Otay Water,” he said. To move forward with the Rosarito desalination plant and other public-private partnerships, Gov. Vega’s administration needs to persuade 17 legislators to approve the changes. Guevara remains optimistic that the state government will prevail and the project will move forward. But if the vote is no, “I’d recommend suspending it, until we are at a better economic and political moment,” he said. With time, “we’ll demonstrate that we’re facing a water crisis.” Federal Register/Vol.82,No.107/Tuesday,June 6,2017/NoEXHIBIT^otices &6207 be determined,is in the national interest.I have ordered that Public Notice of these Determinations be published in the Federal Register. FOR FURTHER INFORMATION CONTACT:For further information,including a list of the imported objects,contact the Office of Public Diplomacy and Public Affairs in the Office of the Legal Adviser,U.S. Department of State (telephone:202- 632-6471;email:section2459@ state.gov).The mailing address is U.S. Department of State,L/PD,SA-5,Suite 5H03,Washington,DC 20522-0505. Alyson Grander, Deputy Assistant SecretaryforPolicy,Bureau ofEducational and Cultural Affairs, Department ofState. [FR Doc.2017-11692 Filed 6-5-17;8:45 am] BILLING CODE 4710-05-P DEPARTMENT OF STATE [Public Notice:10020] Issuance of Presidential Permit to the Otay Water District To Construct, Connect,Operate,and Maintain Cross- Border Water Pipeline Facilities for the Importation of Desalinated Seawater at the International Boundary Between the United States and Mexico in San Diego County,California SUMMARY:The Department of State issued a Presidential permit to the Otay Water District (the District)on May 16, 2017,authorizing the District to construct,connect,operate,and maintain cross-border water pipeline facilities for the importation of desalinated seawater at the international boundary between the United States and Mexico in San Diego County,California. In making this determination,the Department provided public notice of the proposed permit,offered the opportunity for comment,and consulted with other federal agencies,as required by Executive Order 11423,as amended. FOR FURTHER INFORMATION CONTACT: Contact the Office of Mexican Affairs' Border Affairs Unit via email at WHABorderAffairs@state.gov,by phone at 202-647-9894,or by mail at Office of Mexican Affairs—Room 3924, Department of State,2201 C St.NW., Washington,DC 20520.Information about Presidential permits is available on the Internet at http://www.state.gov/ p/wha/rt/permit/. SUPPLEMENTARY INFORMATION:The following is the text of the issued permit: Presidential Permit Authorizing the Otay Water District To Construct,Connect,Operate,and Maintain Cross-Border Water Pipeline Facilities for the importation of Desalinated Seawater at the International Boundary Between the United States and Mexico in San Diego Country,California By virtue of the authority vested in me as the Acting Assistant Secretary of State for the Bureau of Oceans and International Environmental and Scientific Affairs including those authorities under Executive Order 11423,33 FR 11741 (1968);as amended by Executive Order 12847 of May 17, 1993,58 FR 29511 (1993),and Executive Order 13337 of April 30, 2004,69 FR 25299 (2004);and Department of State Delegation of Authority 118-2 of January 26,2006 and Delegation 415 of January 18,2017; having considered the environmental effects of the proposed action consistent with the National Environmental Policy Act of 1969,as amended (83 Stat.852, 42 U.S.C.4321 et seq.),and other statutes relating to environmental concerns;having considered the proposed action consistent with the National Historic Preservation Act of 1966,as amended (80 Stat.917,16 U.S.C.470f et seq.);and having requested and received the views of various federal departments,state and local officials,and Indian tribes,and other interested persons;I hereby grant permission,subject to the conditions herein set forth,to the Otay Water District (hereinafter referred to as "permittee")to construct,connect, operate,and maintain cross-border water pipeline facilities for the importation of desalinated seawater at the international boundary between the United States and Mexico in San Diego County,California. The term "facilities"as used in this permit means the relevant portion of the pipeline and any land,structures, installations,or equipment appurtenant thereto as described in the permittee's November 2013 application fora Presidential permit (the "Application").The term "U.S.facilities"as used in this permit means those parts of the facilities in the United States,as described in the Application. This permit is subject to the following conditions:Article 1.(1)The U.S.facilities herein described,and all aspects of their operation,shall be subject to all the conditions,provisions,and requirements of this permit and any amendment thereof.This permit may be terminated at the will of the Secretary of State or the Secretary's delegate or may be amended by the Secretary of State or the Secretary's delegate at will or upon proper application therefore. The permittee shall make no substantial change in the location of the U.S. facilities or in the operation authorized by this permit until such changes have been approved by the Secretary of State or the Secretary's delegate. (2)The construction,connection, operation,and maintenance ofthe facilities shall be in all material respects as described in the Application. Article 2.The standards for,and the manner of,the construction,connection, operation,and maintenance of the U.S. facilities shall be subject to inspection and approval by the representatives of appropriate federal,state,and local agencies.The permittee shall allow duly authorized officers and employees of such agencies free and unrestricted access to said facilities in the performance of their official duties.Article 3.The permittee shall comply with all applicable federal,state,and local laws and regulations regarding the connection,construction, operation,and maintenance of the U.S.facilities and with all applicable industrial codes.The permittee shall obtain all requisite permits from the relevant Mexican authorities as well as from the relevant state and local government entities and relevant federal agencies. Article 4.All construction, connection,operation,and maintenance of the U.S.facilities under this permit shall be subject to the limitations,terms, and conditions issued by any competent agency of the U.S.Government, including but not limited to the Department of Homeland Security (DHS)and the U.S.Section of the International Boundary and Water Commission (USIBWC).The permittee shall continue the operations hereby authorized and conduct maintenance in accordance with such limitations,terms, and conditions.Such limitations,terms, and conditions could address,for example,environmental protection and mitigation measures,safety requirements,export or import and customs regulations,measurement capabilities and procedures, requirements pertaining to the pipeline's capacity,and other pipeline regulations.This permit shall continue in force and effect only so long as the permittee shall continue the operations hereby authorized by any competent U.S.government agency in exact accordance with such limitations,terms, and conditions. Article 5.Upon the termination, revocation,or surrender of this permit, and unless otherwise agreed by the 26208 Federal Register/Vol.82,No.107/Tuesday,June 6,2017/Notices Secretary of State or the?Secretary's delegate,the U.S.facilities in the immediate vicinity of the international boundary shall be removed by and at the expense of the permittee within such time as the Secretary of State or the Secretary's delegate may specify,and upon failure of the permittee to remove, or to take such other action with respect to,this portion ofthe U.S.facilities as ordered,the Secretary of State or the Secretary's delegate may direct that possession of such facilities be taken and that they be removed or other action taken,at the expense of the permittee; and the permittee shall have no claim for damages by reason of such possession,removal,or action. Article 6.When,in the opinion of the President of the United States,the national security ofthe United States demands it,due notice being given by the Secretary of State or the Secretary's delegate,the United States shall have the right to enter upon and take possession of any of the U.S.facilities or parts thereof;to retain possession, management,or control thereof for such length of time as may appear to the President to be necessary;and thereafter to restore possession and control to the permittee.In the event that the United States shall exercise such right,it shall pay to the permittee just and fair compensation for the use of such U.S. facilities upon the basis of a reasonable profit in normal conditions and the cost of restoring said facilities to as good condition as existed at the time of entering and taking over the same,less the reasonable value of any improvements that may have been made by the United States.Article 7.Any transfer of ownership or control of the U.S.facilities or any part thereof shall be immediately notified in writing to the U.S. Department of State for approval, including identification of the transferee.In the event of such transfer of ownership or control,this permit shall remain in force and the U.S. facilities shall be subject tn all the conditions,permissions,and requirements of this permit and any amendments thereof. Article 8.(1)The permittee is responsible for acquiring such right-of- way grants or easements,permits,and other authorizations as may become necessary and appropriate. (2)The permittee shall save harmless and indemnify the United States from any claimed or adjudged liability arising out of construction,connection, operation,or maintenance of the facilities. (3)The permittee shall maintain the U.S.facilities and every part thereof in a condition of good repair for their safe operation. (4)The permittee shall obtain a license from the USIBWC before commencing construction, (5)The permittee shall obtain an easement from DHS for any portion of the pipeline that crosses over or under property in which the U.S.Customs and Border Protection owns an interest. (6)The permittee shall obtain a permit from the California Environmental Protection Agency,State Water Resources Control Board, Division of Drinking Water, Article 9.The permittee shall take all appropriate measures to prevent or mitigate adverse environmental impacts or disruption of significant archeological resources in connection with the operation and maintenance of the U.S.facilities,including those mitigation measures set forth in the Final Environmental Impact Report/ Environmental Impact Statement dated August 2016 and any additional measures that may be required as result of any reevaluation of the foregoing or in the associated terms of the Biological Opinion to be issued by the U.S.Fish and Wildlife Service. Article 10.The permittee shall not begin construction until it has been informed that the Government of the United States and the Government of Mexico have exchanged diplomatic notes confirming that both governments authorized the commencement of construction. Article 11,The permittee shall provide written notice to the Department of State at such time as the construction authorized by this permit is begun and again at such time as construction is completed,interrupted, or discontinued. Article 12.The permittee shall file with the appropriate agencies of the U.S.government such statements or reports under oath with respect to the U.S.facilities,and/or the permittee's actions in connection therewith,as are now or may hereafter be required under any laws or regulations of the U.S. government or its agencies. Article 13.This permit shall expire five years from the date of issuance in the event that the permittee has not commenced construction of the facilities by that deadline. In witness whereof,I,Judith G. Garber,Acting Assistant Secretary of State for the Bureau of Oceans and International Environmental and Scientific Affairs,have hereunto set my hand this 16th day of May,2017 in the City of Washington,District of Columbia. Judith G.Garber, Acting Assistant Secretaryfor Oceans and International Environmental And Scientific Affairs. [FR Doc.2017-11675 Filed 6-5-17;8:45 am! BILLING CODE 471CK-29-P DEPARTMENT OF TRANSPORTATION Federal Aviation Administration Notice of Intent To Rule on Request To Release Airport Property at the Colorado Springs Airport,Colorado Springs,Colorado. AGENCY:Federal Aviation Administration (FAA),DOT. ACTION:Notice of Request to Release Airport Property. SUMMARY:The FAA proposes to rule and invite public comment on the release of land at the Colorado Springs Airport under the provisions of Section 125 of the Wendell H.Ford Aviation Investment Reform Act for the 21st Century [AIR 21). DATES:Comments must be received on or before July 6,2017. ADDRESSES:Comments on this application may be mailed or delivered to the FAA at the following address:Mr. John P.Bauer,Manager,Federal Aviation Administration,Northwest Mountain Region,Airports Division, Denver Airports District Office,26805 E. 68th Avenue,Suite 224,Denver, Colorado 80249-6361. In addition,one copy of any comments submitted to the FAA must be mailed or delivered to Mr.Troy Stover,Colorado Springs Airport, Colorado Springs,Colorado,at the following address:Mr.Troy Stover, Colorado Springs Airport,7770 Milton E.Proby Parkway,Suite 50,Colorado Springs,Colorado 80916. FOR FURTHER INFORMATION CONTACT:Mr. Marc Miller,Colorado Engineer/ Compliance Specialist,Federal Aviation Administration,Northwest Mountain Region,Denver Airports District Office, 26805 E.68th Avenue,Suite 224, Denver,Colorado 80249-6361. The request to release property may be reviewed,by appointment,in person at this same location. SUPPLEMENTARY INFORMATION:The FAA invites public comment on the request to release property at the Colorado Springs Airport under the provisions of the AIR 21 (49 U.S.C.47107(h)(2)). On May 16,2017,the FAA determined that the request to release