HomeMy WebLinkAbout07.a. Consider authorizing Memorandum of Understanding with Diablo Country Club for Satellite Recycled Water Treatment Plant ProjectCentral Contra Costa Sanitary District
.a.
' BOARD OF DIRECTORS
POSITION PAPER
Board Meeting Date: April 23, 2015
subject: AUTHORIZE THE GENERAL MANAGER TO EXECUTE A MEMORANDUM
OF UNDERSTANDING BETWEEN CENTRAL CONTA COSTA SANITARY
DISTRICT AND DIABLO COUNTRY CLUB FOR THE SATELLITE
RECYCLED WATER TREATMENT PLANT PROJECT
Submitted By. Initiating DeptJDiv.:
Nathan Hodges Engineering & Technical Services /
Provisional Senior Engineer Planning & Development Services
REVIEWED AND RECOMMENDED FOR BOARD ACTION:
D. Gemmell — Planning & Development Division Manager
JM. Petit— Director of Engineering & Technical Services
K. Alm
Counsel for the
Roger S. BaileV
General Manag r
ISSUE: Board authorization is required for the General Manager to execute a
memorandum of understanding.
RECOMMENDATION: Authorize the General Manager to execute the Memorandum of
Understanding for the Satellite Recycled Water Treatment Plant Project, and find that
the project is exempt from the California Environmental Quality Act (CEQA).
FINANCIAL IMPACTS: The financial impacts are minimal. Authorization of the
Memorandum of Understanding (MOU) will commit staff time to work on resolving the
issues contained in the MOU.
ALTERNATIVES /CONSIDERATIONS: The Board of Directors may decline
authorization of the MOU, which would end District involvement in this project.
BACKGROUND: In August 2012, the District, East Bay Municipal Utility District
( EBMUD) and Diablo Country Club (Club) executed a Memorandum of Understanding
(MOU) to explore the feasibility of developing a satellite recycled water facility on the
Club's golf course that would divert wastewater flow from the District's nearby sewer
line, treat it onsite to produce Title 22 recycled water for irrigating the golf course and
return the process solids back to the District's wastewater collection system. The initial
plan was that the Club would be looking to achieve an ultimate mix of 1/3 groundwater,
1/3 EBMUD potable water and 1/3 recycled water to meet the golf course's irrigation
demand.
Since that time, staff has continued to discuss and meet with the Club's consultant,
Brezack & Associates, to review submittals and other information related to the project.
Last year, a significant change occurred in that the percentage of recycled water
requested in the mix of water supply for this project dramatically increased, such that
the Club is now looking to use recycled water to meet up to 90% of the Club's golf
course irrigation demand.
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POSITION PAPER
Board Meeting Date: April 23, 2015
subject: AUTHORIZE THE GENERAL MANAGER TO EXECUTE A MEMORANDUM
OF UNDERSTANDING BETWEEN CENTRAL CONTA COSTA SANITARY
DISTRCT AND DIABLO COUNTRY CLUB FOR THE SATELLITE
RECYCLED WATER TREATMENT PLANT PROJECT
This change resulted in a higher wastewater diversion rate being requested by the Club.
In order to obtain the required wastewater flows, the proposed diversion location is
approximately 1 -mile from the Club, along Diablo Road on an existing 21 -inch sewer
line. Since the amount of diverted wastewater flow impacts the amount of recycled
water that can be produced by this proposed facility, it also impacts the economics of
this project.
The Club is also in the process of executing a separate similar MOU with EMBUD that
will address issues specific to their respective needs such as how future water
conservation requirements will be handled. Both District and EBMUD staff have been
communicating about this project. As the District is the lead agency for CEQA, EBMUD
staff has coordinated their own MOU progress with the District such that they do not get
.too far in front of us.
In late February 2015, the Club's consultant provided a new proposed MOU to staff and
requested that the District move forward with execution. The Club is now at a stage
where they are seeking certain District commitments to confirm that the project remains
viable and that the District supports the project goals, to begin the process of securing
financing. The Club is requesting a new MOU between the Club and the District, as
they see the new MOU as the way to achieve that commitment. This MOU is attached
to the position paper.
On March 26, 2015, staff met with Club representatives and Brezack & Associates to
discuss technical details of the proposed project, as well as some of the language of the
new MOU. Both staff and Club have produced a mutually acceptable MOU. Language
is included that permits either party to withdraw from the MOU. However, it is
anticipated that progress can be made on implementation issues that maintain the
viability of the project for the Club and result in no net increase to the District's
Operation & Maintenance costs.
Staff has evaluated this action and concluded it is exempt CEQA under District CEQA
Guidelines Section 15262 since the agreement would be used for design studies for
possible future actions which the District has not approved, adopted, or funded, and the
outcome of these tasks will not have a legally binding effect on later activities. Approval
of this action will establish the Board of Directors' independent finding that the action is
exempt from CEQA. The Board further finds that the District will produce appropriate
CEQA compliance documentation prior to undertaking any "project' arising from these
design studies.
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POSITION PAPER
Board Meeting Date: April 23, 2015
subject: AUTHORIZE THE GENERAL MANAGER TO EXECUTE A MEMORANDUM
OF UNDERSTANDING BETWEEN CENTRAL CONTA COSTA SANITARY
DISTRCT AND DIABLO COUNTRY CLUB FOR THE SATELLITE
RECYCLED WATER TREATMENT PLANT PROJECT
COMMITTEE RECOMMENDATION: The Real Estate, Environmental & Planning
Committee reviewed the MOU at its April 14, 2015, meeting and recommended bringing
the MOU to the full Board for authorization.
RECOMMENDED BOARD ACTION: Staff recommends the following:
1. Find that the Project is exempt from CEQA, and
2. Authorize the General Manager to execute the Memorandum of Understanding
for the Satellite Recycled Water Treatment Plant Project.
Attached Supporting Document:
1. Proposed MOU between the District and Diablo Country Club
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ATTACHMENT 1
1 MEMORANDUM OF UNDERSTANDING BETWEEN THE
2 CENTRAL CONTRA COSTA SANITARY DISTRICT AND THE
3 DIABLO COUNTRY CLUB FOR COLLABORATIVE
4 INVESTIGATIONS AND PRELIMINARY IMPLEMENTATION OF
5 THE DIABLO COUNTRY CLUB SATELLITE RECYCLED WATER
6 TREATMENT PLANT PROJECT
7 This Memorandum of Understanding (MOU) is made and entered into this
8 day of , 2015, by and between Central
9 Contra Costa Sanitary District, ( "CCCSD ") and the Diablo Country Club ( "DCC ")
10 for the purpose of the ongoing investigations, design, implementation, and
11 operation of the Diablo Country Club Satellite Recycled Water Treatment Plant
12 Project ( "SRWTP" or "Project ") and related activities as described herein.
13 Together, CCCSD and DCC are known as the Parties to this MOU.
14 Recitals
15 WHEREAS, the Parties have previously executed and have been
16 collaborating on a variety of topics pursuant to an existing planning MOU dated
17 July 24, 2012, and that said MOU has provided the framework for collaborative
18 growth and development of the proposed Project by the DCC; and
19 WHEREAS, CCCSD is a signatory to the 2012 MOU, and because of its
20 planned role in the proposed Project as the CEQA Lead Agency, as the source of
21 raw sewage to the Project and for other purposes, is anticipated to execute a
22 new separate MOU with the DCC; and
23 WHEREAS, this MOU is being entered into in order to establish
24 coordination between CCCSD, and DCC to carry out the mission, goals, and
25 objectives stated herein related to investigation of the potential for expansion of
26 beneficial uses of recycled water at DCC;
27 WHEREAS, the parties intend that participation in this MOU be entirely
28 voluntary, and that any party may elect to withdraw from the MOU at any time
29 and for any reason and there is no intent to form any independent or additional
30 public or public /private entity or authorities; and
31 WHEREAS, the parties hereto find that promoting the stewardship of
32 water resource management in general, appropriate development and use of
33 recycled water at DCC in particular, for the common benefit of all parties and
34 their constituencies within the region and the public benefit for CCCSD in
35 avoiding some costs for the pumping and treatment of the flow diverted from the
36 wastewater collection system; and
37 WHEREAS, the parties hereto, as well as East Bay Municipal Utility
38 District, have stated their belief that it is sound public policy to develop recycled
39 water resources through financially and environmentally sound; and
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1 WHEREAS, the parties hereto agree that "recycled water" refers to
2 wastewater treated to meet Title 22 standards of the California Code of
3 Regulations for production, storage, and use of disinfected tertiary recycled
4 water; and
5 WHEREAS, it is the intent and purpose of the proposed Project to create
6 a new source of irrigation water for a drought resistant, sustainable and reliable
7 supply to the DCC golf course through the diversion, treatment and recycling of
8 existing municipal wastewater; and
9 WHEREAS, CCCSD is the wastewater collection and treatment agency
10 for the service area where DCC is located; and
11 WHEREAS, DCC has collaborated with CCCSD regarding environmental
12 documentation, sanitary sewer flow monitoring, water quality sampling and
13 engineering analysis of minimum flow requirements necessary to prevent solids
14 deposition and additional sampling and analysis may be required, and
15 WHEREAS, DCC met with CCCSD staff, presented and discussed
16 technical memorandums confirming the availability of source water flows,
17 minimum flow velocities, volume and strength of waste discharges, and proposed
18 facility ownership; and
19 WHEREAS, the implementation of the proposed Project by the DCC may
20 result in additional operational and regulatory risk to CCCSD, both parties will
21 work towards mutually beneficial solutions to eliminate those risks; and
22 WHEREAS, the parties hereto recognize the value of effectively using
23 resources common to all and desire to be proactive on both regulatory and
24 conservation issues affecting water resources; and
25 WHEREAS, the parties hereto declare their intent to establish and
26 maintain business relations that facilitate the implementation of a cost - effective
27 recycled water project, at no net cost to the District's operation and maintenance;
28 and
29 WHEREAS, the parties desire to enter into this MOU to facilitate additional
30 and continued collaboration among themselves, and that this MOU should
31 recognize the results, conclusions and recommendations of DCC through the
32 ongoing development of the proposed Project and for the following specific
33 purposes:
34 1. Of defining the pilot- nature of the proposed Project;
35 2. As a means of support to the proposed Project;
36 3. To define the acceptable volumes, rates and timing of wastewater
37 diversions by the proposed Project from CCCSD's existing 21 -inch
38 sewer pipeline in Diablo Road that would be pumped by DCC to its
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1 proposed SRWTP for the sole use by DCC for irrigation, without
2 resulting in detrimental impacts to downstream CCCSD facilities,
3 and that the volumes diverted and concentrations returned may be
4 adjusted to mitigate such detrimental impacts to CCCSD;
5 4. To develop the operational requirements for the proposed diversion
6 structure and its operations by DCC in consideration of minimum
7 flow rates, flow depths and in consideration of other operational
8 requirements such as flow monitoring, flushing, and other
9 appropriate operations in order to maintain acceptable performance
10 of CCCSD's sewer system;
11 5. To collaborate on development of formal terms for facility
12 ownership and maintenance responsibilities for normal and
13 emergency operations and maintenance procedures for the
14 proposed diversion and discharge facilities;
15 6. For CCCSD to provide letters of support for efforts made by DCC in
16 applying for grants and low- interest loans for the design and
17 construction of the proposed Project;
18 7. Design review of the proposed diversion and discharge structures;
19 8. For CCCSD's development of reasonable and appropriate fees for
20 the routine monitoring of the waste discharges, receipt of wastes
21 from the proposed Project, for any increased maintenance and
22 monitoring activities as a result of the Project and for the
23 enumeration of any other relevant charges that will be required of
24 the proposed Project. For example, the Project impact may be
25 measured by net discharge rather than gross discharge since the
26 project is diverting flows already within the CCCSD's system, and
27 the Project fees may be structured with concentration thresholds to
28 encourage dilution;
29 9. To schedule activities of Project review by CCCSD as the Lead
30 Agency in the environmental review of the Project; and
31 10. To develop a coordinated plan relative to the safe operations of the
32 proposed diversion structure following input from the Regional
33 Water Quality Control Board.
34 NOW THEREFORE BE IT RESOLVED, for and in reliance on the foregoing,
35 the parties hereby agree to negotiate and document in a technical
36 memorandum(s) the following provisions:
37 a. PILOT - NATURE OF THE PROJECT: The proposed Project has
38 been deemed a "pilot" and that the intention and nature of the pilot designation is
39 to facilitate the further investigations, analysis and development of the proposed
40 Project without the potential encumbrance of establishing precedent that might
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1 otherwise directly be assigned to development of other similar projects. The
2 development of a recycled water project by a private entity (DCC) and diverting
3 sewage from a public wastewater collection agency service area (CCCSD's) has
4 unique and individual characteristics that must be analyzed and potentially
5 modified prior to use or expectations of use in other similar situations. Piloting
6 offers the opportunity to modify agreed upon criteria in order to adapt to
7 observed impacts and minimize negative impacts. By "piloting" the development
8 of this proposed Project, both parties are intending to develop a means of
9 clarifying the requirements, benefits and costs of such projects.
10 b. DECLARATION OF PROJECT SUPPORT: In acknowledgement of
11 the history and ongoing cooperation between the parties on the Project, CCCSD
12 will establish and adopt a formal Board Resolution to memorialize and project
13 forward the continued spirit of support for the Project. The purpose of the
14 Resolution will be to sustain the relationship between the parties as a means of
15 enhancing CCCSD's support for the proposed Project and to delineate such
16 other means of material support that may include contribution of staff time,
17 expertise, oversight, actual materials and other such support as are appropriate
18 and are consistent with legal and administrative requirements.
19 C. PARTICIPANTS RESPONSIBILITIES: DCC and its Consultant will
20 lead its efforts in the review and investigations of design and construction of the
21 potential Satellite Recycled Water Treatment Plant. CCCSD will provide
22 collaboration and participation with DCC. Each participant to this MOU may
23 provide data applicable to the design and construction of the Project related to
24 this MOU. Data may include mapping, facility infrastructure information,
25 pressure data, flow data, operational data, water quality data and other
26 information pertinent to the intent of this MOU. CCCSD will provide information
27 and coordination on localized wastewater and access to a sewer connection
28 point.
29 d. WASTEWATER DEDICATIONS: Both parties seek to conduct
30 additional work together to define details that describe adequate amounts of
31 wastewater for DCC's diversion that will be sufficient in volume and timing for its
32 irrigation demands and adequate to maintain flow in CCCSD's gravity collection
33 system downstream of the diversion without creating nuisance conditions.
34 CCCSD and DCC shall therefore continue their coordination to determine
35 operations of the diversion structure to meet the requirements of both parties. At
36 this time, DCC envisions the requirement for approximately 0.5 mgd of raw
37 wastewater with variable rates of withdrawal while maintaining appropriate
38 minimum flows in the downstream pipeline. The proposed Project will require a
39 long -term financing commitment by DCC of twenty to thirty years, and therefore
40 the Club will seek funding assistance that may be available through the State
41 Revolving Fund (SRF) or other similar program. Therefore, future agreements
42 with the District shall provide that DCC shall have access to the raw wastewater
43 for a time period not less than as required to meet DCC's financial obligations of
44 the project plus a reasonable additional period of additional time beyond the
45 financing period that is acceptable to both parties. The details and terms of the
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1 period of time will be negotiated at the time of the formal agreement. Options to
2 extend such agreement may also be considered. The District and DCC will
3 agree to manage the wastewater flows in a manner that allows for access at
4 times and retains the District's remaining flow requirements. CCCSD will retain
5 the rights to the wastewater following the term of the formal agreement including
6 any agreed upon extensions.
7 e. OWNERSHIP AND MAINTENANCE RESPONSIBILITY OF
8 PROJECT: DCC will be legally and financially responsible to own, maintain and
9 operate the SRWTP facility from the point of diversion. DCC will be responsible
10 to obtain approval and meet their Title 22 recycled water permit with the State of
11 California regulatory agencies, obtain and pay for all such permits. DCC will be
12 legally and financially responsible for any sanitary sewer overflow (SSO) and
13 spill, as well as fines and reporting requirements of such events to the Regional
14 Water Quality Control Board, from the point of diversion, and all the way through
15 their SRWTP, and associated distribution system. DCC will also take a lead role
16 in coordinating with representatives of Contra Costa County and the Town of
17 Danville to obtain required easements, access and construction permits.
18 CCCSD shall not be obligated to use its powers of eminent domain to obtain
19 easements or rights required for project construction.
20 f. MINIMUM FLOW AND DEPTH REQUIREMENTS: Both parties
21 shall coordinate during the planning and design of the wastewater diversion
22 structure to allow for flows to be maintained according to the District's scouring
23 velocity requirements within the existing 21 -inch diameter wastewater pipeline,
24 and not cause detrimental effects to downstream District facilities. The DCC will
25 coordinate with CCCSD for its review of DCC's flow monitoring analysis and
26 water quality sampling at the proposed diversion locations. This will occur prior
27 to CCCSD's review of design to confirm appropriate flow rates and water quality.
28 g. NORMAL AND EMERGENCY OPERATIONS: DCC will take a
29 lead role in coordination with CCCSD to outline normal and emergency
30 operations of diversion structure and discharge facilities required for the Project.
31 Coordination will address construction details such as appropriate location and
32 size of wastewater diversion structure and discharge flows. Coordination shall
33 take place during Project siting and considerations shall include: Location of
34 conflicting utilities, evaluation of accessibility, permitting requirements,
35 minimization of construction and operational impacts, constructability, and
36 available area. Both parties shall coordinate emergency response plans.
37 h. FUNDING ASSISTANCE TO THE PROJECT: The DCC will take a
38 lead role in seeking to obtain funding assistance from the State Water Resources
39 Control Board, the Federal Environmental Protection Agency and the United
40 States Army Corps of Engineers for the application to these and other programs
41 that could provide financial assistance to the Project. CCCSD will coordinate
42 with DCC on these funding issues and provide letters of support if required for
43 specific funding opportunities.
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1 L DESIGN INSPECTION AND CONSTRUCTION: DCC will take the
2 lead role in the analysis and development of appropriate design, construction,
3 installation and rehabilitation specifications of the wastewater diversion facilities.
4 CCCSD will have the right to review designs and inspect construction relating to
5 the wastewater diversion and return facilities in its role as the owner and operator
6 of the public wastewater collection system. Both parties shall coordinate to
7 develop construction plans that include equipment standards and sizing,
8 installation and construction schedule, and staff training to ensure correct
9 operations and maintenance. Construction considerations at the diversion
10 location will be evaluated to minimize impacts to Diablo Road and adjacent
11 properties. It is also understood that DCC's engineer(s) will be the engineer of
12 records for the project.
13 j. CONSIDER CONTRACT OPERATIONS OF DIVERSION
14 STRUCTURES: The parties shall consider future contract agreements in which
15 CCCSD may provide contract maintenance services for the proposed diversion
16 facilities. Any such operation or arrangement would likely exclude the pumping
17 and screening facilities. Nothing in this MOU obligates CCCSD to assume the
18 role of contractor operator.
19 k. FEE AND FUTURE INDUSTRIAL PERMIT: It is understood from
20 ongoing coordination that CCCSD will be imposing some fees on DCC for the
21 potential use of the wastewater and for returning discharge flow to the sewer
22 system. CCCSD and DCC will continue to discuss the appropriate fee rate
23 structure for this special pilot project. CCCSD shall also determine the industrial
24 permit category to allow the discharge of wastes from the proposed Project to
25 their collection system. A future permit will regulate the quantity and quality of
26 discharges from the SWRTP to CCCSD's facilities. Screenings and rags
27 removed from the sewer for use by the scalping plant downstream of the
28 diversion structure will not be allowed to be returned to the sewer. Use of
29 chemicals for the operation of the SWRTP shall be equalized and neutralized
30 before being returned to the sanitary sewer system in accordance with District
31 pretreatment program requirements.
32 I. OPERATIONS OF DIVERSIONS AND DISCHARGE
33 STRUCTURES: Both parties shall evaluate the routine and emergency
34 operations of diversion structures and discharge facilities. DCC will provide
35 modeling studies for review by CCCSD to determine optimal locations and
36 volumes in the sewer collection system for the diversion of raw wastewater to the
37 SRWTP.
38 M. ENGINEERING AND ENVIRONMENTAL REVIEW OF THE
39 PROJECT: CCCSD shall act as the Lead Agency in compliance with the
40 California Environmental Quality Act (CEQA) analysis of the Project. CCCSD will
41 not be the engineer of record for the design and construction of the proposed
42 project.
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1 n. MUTUAL AID AGREEMENT FOR EMERGENCY RESPONSE:
2 The parties shall consider the future development of a Mutual Aid Agreement for
3 Emergency Response to institute procedures and training that will enable
4 coordinated and effective actions to be taken to address emergency operations
5 of the diversion, discharge, and storage facilities for the Project.
6 WITNESS, the Central Contra Costa Sanitary District, and the Diablo Country
7 Club entered into this Memorandum of Understanding as of the date first written
8 above.
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Representative of the Diablo Country Club:
Signature
Title
Date
Representative of the Central Contra Costa Sanitary District:
Signature
Approved as to form:
Title
Kenton L. Alm, Esq.
Counsel for the District
Page 7 of 7
Date