HomeMy WebLinkAbout03.b. Review draft Position Paper authorizing the General Manager to execute a temporary wastewater diversion agreement with the Dublin San Ramon Services District (DSRSD) - East Bay Municipal Utility District (EBMUD) Recycled Water Authority (DERWA) Page 1 of 16
Item 3.b.
. � CENTRAL SAN CENTRAL SAN BOARD OF DIRECTORS
-- POSITION PAPER
CENTRAL CONTRA COSTA SANITARY DISTRICT DRAFT
MEETING DATE: NOVEMBER 14, 2018
SUBJECT: REVIEW DRAFT POSITION PAPER AUTHORIZING THE GENERAL
MANAGER TO EXECUTE A TEMPORARY WASTEWATER DIVERSION
AGREEMENT WITH THE DUBLIN SAN RAMON SERVICES DISTRICT
(DSRSD)- EAST BAY MUNICIPAL UTILITYDISTRICT (EBMUD) RECYCLED
WATER AUTHORITY(DERWA)
SUBMITTED BY: INITIATING DEPARTMENT:
MELODY LABELLA, RESOURCE RECOVERY ENGINEERING AND TECHNICAL SERVICES-
PROGRAM MANAGER PDS-RESOURCE RECOVERY
REVIEWED BY: JEAN-MARC PETIT, DIRECTOR OF ENGINEERING AND TECHNICAL
SERVICES
ROGER S. BAILEY, GENERAL MANAGER
ISSUE
The Board of Directors' (Board) authorization is required for the General Manager to execute certain
agreements on behalf of Central San.
BACKGROUND
In January2017, Central San received a letterfrom the Dublin San Ramon Services District (DSRSD)—
East Bay Municipal Utility District (EBMUD) Recycled WaterAuthority(DERWA) requesting development
of a memorandum of understanding (MOU)to explore a potential partnership and pilot project to divert a
portion of the raw wastewater from Central San's San Ramon Pumping Station between May and
September every year. The wastewaterwould be diverted through DSRSD's existing collection system to
DSRSD's treatment plant, for the purpose of producing and distributing recycled water to meet DERWA's
peak summer irrigation demand. According to the letter, DERWA made this request due to the need for a
temporary supplemental supply to help meet recycled water demands in the EBMUD and DSRSD service
areas until wastewater flows increase with development and other long-term options are identified.
Throughout 2017 and 2018, Central San staff worked with DSRSD staff to evaluate diversion options, in
addition to having internal discussions with Central San's Engineering and Operations staff on how the
potential diversion could impact Central San's operation and future recycled water projects and how to
potentially mitigate those impacts.
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 6 of 26
Page 2 of 16
On August 16, 2018, staff presented nine "Guiding Principles" for a Temporary Wastewater Diversion to
D E RWA to the Board, which were approved by a majority of the Board. Staff has since worked with
D E RWA staff to develop and refine the attached agreement for execution by both parties, which will allow
for a temporary diversion of wastewater from Central San's San Ramon Pumping Station fora period of
three years, with two possible one-year extensions by mutual written agreement of the parties.
ALT ERNAT IVES/CONSIDERATIONS
The Board could consider not approving this Agreement(Attachment 1. Draft).
FINANCIAL IMPACTS
As this project will be funded by D E RWA, there are no anticipated financial impacts to Central San.
COMMUNITY OUTREACH
Central San will be hosting an Open House Community Meeting on the project on Wednesday, December
123 2018, from 5:00 to 7:00 pm at the Alcosta Senior and Community Center in San Ramon.
COMMITTEE RECOMMENDATION
The Real Estate, Environmental & Planning Committee reviewed this item at its November 14, 2018
meeting, and ...
RECOMMENDED BOARD ACTION
Authorize the General Manager to execute a temporary wastewater diversion agreement with D E RWA.
Strategic Plan Tie-In
GOAL ONE:Provide Exceptional Customer Service
Strategy 3- Maintain a strong reputation in the community
GOAL SIX:Embrace Technology, Innovation and Environmental Sustainability
Strategy 1 -Augment the region's water supply
ATTACHMENTS:
1. Draft DERWA-Central San Wastewater Diversion Agreement
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 7 of 26
Page 3 of 16
Working Draft
11/7/2018
AGREEMENT FOR THE TEMPORARY DIVERSION OF WASTEWATER BETWEEN
DUBLIN SAN RAMON SERVICES DISTRICT—EAST BAY MUNICIPAL UTILITY
DISTRICT RECYCLED WATER AUTHORITY AND CENTRAL CONTRA COSTA
SANITARY DISTRICT
This Agreement for Temporary Diversion of Wastewater Between the Dublin San Ramon
Services District—East Bay Municipal Utility District Recycled Water Authority (DERWA) and
Central Contra Costa Sanitary District (Central San) ("Agreement") is made and entered into this
day of , 2018. DERWA and Central San are individually referred to as "Party,"
and collectively as "Parties."
W I T N E S SET
C46L
WHEREAS, DERWA, a j oint powers authority of Dublin San Ramon Services District
(DSRSD) and East Bay Municipal Utility District (EBMUD), has a temporary need for
supplemental wastewater influent to serve as a source for tertiary-treated recycled water
throughout the EBMUD and DSRSD service areas;
%0 1%
WHEREAS, DSRSD provides potableand recycled water to the Dougherty Valley portion of the
City of San Ramon and wastewater collection an` to treatment the southernmost portion of the
vm&
:'IMEM.. IMININ&
City of San Ramon, and EBMUD provides potable water to all other areas of the City of San
Aommmmgk"Ramon and recycled water to a portion of the City of San Ramon; and
WHEREAS, Central San provides wastewater collection, treatment, and disposal services to a
major portion of the City of San Ramon, including the Dougherty Valley and has the temporary
ability to redirect some of its wastewater to the DSRSD collection system; and
AW
WHEREAS DERWA has requested to temporarily divert a portion of Central San's wastewater
upstream of the San Ramon Pumping Station to serve as a source for the production of tertiary-
Nisonk" 10M
treated recycled water at DSRSD's treatment plant to help meet immediate recycled water
demands in the EBMUD and DSRSD service areas while long-term supply options are
identified; and
WHEREAS, Central San has completed a"Wholesale Recycled Water Opportunities Study"to
identify potential large-scale recycled water projects at its main treatment plant with year-round
demand that will maximize the beneficial use of its wastewater; and
WHEREAS, Central San, Contra Costa Water District(CCWD) and Santa Clara Valley Water
District (SCVWD), are currently evaluating the feasibility of implementing the Refinery
Recycled Water Exchange Project, in which Central San would provide, all year round, 20
million gallons per day (MGD) of recycled water to CCWD to serve to the Martinez refineries
1
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 8 of 26
Page 4 of 16
Working Draft
11/7/2018
and the freed up water supply would be transferred to SCVWD through a water exchange with
CCWD; and
WHEREAS, if the Refinery Recycled Water Exchange Project moves forward in the future,
Central San will need all the dry weather wastewater flow available in its service area at the time
of implementation in order to reliably serve the project, in addition to other existing recycled
water commitments; and
WHEREAS, Central San is interested in partnering with DERWA and its member agencies,
during the term of this Agreement, to provide a temporary wastewater supply, at no cost or
impact to Central San ratepayers, as a short-term measure to allow DERWA and its member
agencies more time to develop long-term solutions for providing recycled water to the DERWA
service area; and
WHEREAS, DERWA seeks, during the term of this Agreement, to receive and treat wastewater
from Central San's service area, originating from a portion of the City of San Ramon, to serve as
a source of recycled water supply for DERWA during peak summer recycled water demands;
and X,
WHEREAS, at their August 15, 2018, meeting, the Central San Board of Directors adopted nine
Guiding Principles for a temporary wastewater diversion agreement with DERWA, which are
included in Section V of this Agreement. -NIRk -
IW M Ne
NOW, THEREFORE, in consideration of the recitals and mutual obligations herein expressed,
DERWA and Central San agree as follows:
I. PURPOSE
10L
1. The purpose of this Agreement is to set forth the terms, conditions and responsibilities of
thearties for the design, construction and operation of a"Temporary Wastewater
p g p p rY
Diversion Project" (Project).
IML
2. This Agreement is intended, as a short-term arrangement, to provide DERWA an as-
needed temporary wastewater supply from the Central San service area to address their
peak summer demand shortage.
3. This Agreement is not intended to provide for Central San to make available a
permanent wastewater supply to DERWA, nor does this Agreement require any
negotiations between Central San and DERWA for a long-term supply agreement.
2
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 9 of 26
Page 5 of 16
Working Draft
11/7/2018
II. GOOD FAITH, COOPERATION, AND SCHEDULE
1. Conditioned upon DERWA's funding of the expenses associated with design and
construction of the Project, DERWA and Central San commit to diligently and in good
faith cooperate towards the beneficial use of the Project.
2. Central San is committed to allowing diversion of available raw wastewater flow for the
Project, with the understanding that the Central San's first priority is the safe and
effective operation of Central San's wastewater collection system and San Ramon Pump
Station, which includes avoiding overflows, odor generation, and damage to Central
San's infrastructure. As such, the Project will be designed, constructed, and operated to
minimize disruption to Central San's operation.AAK
3. The Parties agree to cooperate and work diligently to complete the Project and have it
operational by the summer irrigation season of 2019.
4. DERWA will be responsible for all coss to prepare environmental documentation, obtain
required permits, design, construct, operate, and maintain the Project, including those
Central San costs identified as attributable to the operations and maintenance of the
diversion structure and the modifications to the San Ramon Pumping Station.
Inownhh. 1W
5. Central San and DERWA shall work cooperatively to review and determine the Central
San costs proposed to be paid by DERWA.
low
6. The Parties may form a technical committee or committees in order to ensure operational
impacts to Central San are minimized and to determine and agree upon any costs incurred
or claimed by Central San as a result of the Project.
%ma, anw- VIBM
7. At DERWA's request, DSRSD, pursuant to its agreements with DERWA, may act as its
agent to prepare environmental documentation, obtain required permits, design,
construct, operate, and maintain the Project.
III.TER
While effective as of thNdate first written above, the initial term of this Agreement shall be
for a period of three (3) years beginning from the date that water is first diverted for
beneficial use by DERWA, excepting any diversions made primarily for start-up and testing
purposes. This Agreement may be renewed for successive one (1) year terms by mutual
written agreement of the Parties hereto, executed not less than three (3) months prior to the
expiration of the Initial Term or any Renewal Term, as applicable.
Under no circumstances shall this Agreement, including pursuant to any amendment or
extension terms provided for herein shall not exceed a total period of five (5) years. Any
period longer than that timeframe would constitute a more permanent diversion, which is
outside the purview of this agreement. A new agreement would have to be negotiated and
executed at such time, if so desired by both parties.
3
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 10 of 26
Page 6 of 16
Working Draft
11/7/2018
IV.WASTEWATER DIVERSION PROJECT
A.Description
The Project will divert raw wastewater from the Central San collection system upstream
of Central San Manhole 11 as shown on Exhibit A. which is attached hereto and
incorporated herein by this reference. The facilities to be constructed and utilized include
but are not limited to a concrete vault, approximately 60 feet of new gravity sewer and
associated valves and flow meter.
B.Design and Construction A&
1. During the preliminary evaluation and preliminary design for this diversion project,
several improvements were determined to be required to implement the diversion and
operate the San Ramon Pumping Station in a reduced-flow mode. These
improvements included the replacement of a small variable speed pump to operate a
lower flow regime in the pumping station, and for the diversion box, motor-operated
gated, high level alarm, and flowmeter as well as connection to the Pumping Station's
control and SCADA system. However, due to the short term nature of this
Agreement, these facility modifications, such as the pump replacement and
automation, would be more appropriate for a long-term operational agreement and are
not being undertaken. In the event operational difficulties arise due to the initial
configuration, the Parties will meet and confer to address remedies.
2. The Parties agree to work cooperatively and dill ently to complete the Project design
and construction.
NiL A
3. DERWA shall lead the design of the Project and confirm the required Proj ect
facilities and facility modifications with review and input from Central San.
i4The Project shall be designed and constructed, under DERWA's lead, to minimize
impacts to Central San's wastewater collection and treatment systems, and San
Ramon Pumping Station. '10
5. Central San shall provide available information, including sewer flows, controls
scheme for the San Ramon Pump Station, record drawings of the San Ramon Pump
Station and collection system, and other available information as requested.
14M
6. When required, the design and construction of modifications required to the San
Ramon Pumping Station(i.e.; replacing a small capacity pump and replacing the
control system programming for the wet well controls) will be led by Central San and
reimbursed by DERWA.
7. DERWA will be responsible for all permits required to construct the Project.
4
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 11 of 26
Page 7 of 16
Working Draft
11/7/2018
C. California Environmental Quality Act
1. DERWA will be the lead agency responsible for Project compliance with CEQA in
cooperation with Central San as a responsible agency.
2. The Parties agree to work cooperatively to ensure Project compliance with the
California Environmental Quality Act (CEQA).
V. WASTEWATER DIVERSION PROJECT OPERATIONS
A.Diversion Operations A&
1. The Project will be operated to minimize operational impacts to Central San's
collection and wastewater treatment systems. DERWA will cooperate with Central
San in order to minimize potential impacts,
2. During the term of this Agreement, at such times when DERWA requires additional
supplies, DERWA will request that DSRSD divert wastewater flows from the Central
San collection system to the DSRSD collection system for conveyance to the DSRSD
Regional Wastewater Treatment Plant for secondary and tertiary treatment on behalf
.. .... ...:
of DERWA.
3. In order for Central San to maintain a stable operation, the wastewater diversion shall
not be intermittent. DERWA will provide advance notice, as defined below, of the
need to begin diverting from Central San's collection system to meet its peak summer
irrigation demand. When DERWA no longer requires use of Central San wastewater
flows to meet its peak summer irrigation demand, DERWA will provide advance
notice, as defined below, of the need to stop the diversion from Central San's
collection system.
If there are negative operational impacts caused by DERWA's diversion of
wastewater that cannot be mitigated, Central San retains the right to stop the diversion
of wastewater to DERWA immediately and shall, within five (5) business days
provide DERWA with written notice describing the nature of operational impacts
upon which cessation of diversion is based. Consistent with Section II of this
Agreement, should Central San exercise this right to stop diversions, the Parties shall
meet and confer, or its joint technical committee shall meet in order to determine
what actions or changes in DERWA diversion operations are required, if any, to
mitigate the negative operational impacts.
5. The diversion operation will be led and controlled by DERWA's designees. A Central
San representative must be present during the opening and closing of the diversion
valve/structures, unless emergency conditions or operational needs require DERWA
to stop the diversion. At such time, DERWA would notify Central San within four(4)
hours that the diversion has been suspended. Resuming diversions will be coordinated
with all Parties, once the emergency condition or operational needs have been
resolved.
5
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 12 of 26
Page 8 of 16
Working Draft
11/7/2018
B.Notification and Reporting
1. DERWA shall provide Central San forty-eight (48) -hour advance notice of the start
and end of the diversion"season" during the term of this Agreement. Notice shall be
provided to the individual or individuals identified by Central San and in the manner
agreed upon by the Parties.
2. Central San shall notify DERWA in advance of any changes in its operations that
may affect the operation of the DERWA diversion or the amount of wastewater flow
available for diversion.
3. Central San shall notify DERWA within 4 hours of the diversion being suspended
due to emergency conditions.
C. Wastewater Treatment -Aalk
AdwfN -
1. DERWA will be responsible for all treatment and use or disposal of the wastewater
flow it diverts from Central San's Manhole 11.
2. Central San will have no responsibility fort e conveyance, treatment or use of the
wastewater diverted from its Manhole 11 into the DSRSD collection system.
D. Urgent or Emergency Matters
1. In the case of an urgent or emergency situation involving the Project, the Parties
agree to communicate and work cooperatively in responding to prevent or mitigate
the loss or impairment of life, health, roperty or essential public services.
Nhh,
A, -.
2. Either Party may respond to and resolve any urgent or emergency situation that
10
occurs with the Project. When emergency response assistance is required by either
Party related to the Project, mutual assistance or aid may be requested in accordance
with any applicable mutual aid or operations agreements.
3. The Parties shall create and maintain an emergency contact list, which shall include
names, roles, and emergency contact information for emergency response personnel.
If an urgent or emergency condition exists, the responding Party shall attempt to
reach their counterpart, by telephone as soon as reasonably possible.
4. No Party to this Agreement, or a third party under contract with a Party, shall be
constrained in an urgent or emergency situation from expending funds or performing
work on the Project in order to prevent or mitigate the loss or impairment of life,
health, property or essential public services to its customers at its individual expense
and in accordance with its policies and procedures. In such an event, the Party
performing, or that has authorized, the work shall notify the other Party as soon as
reasonably practical.
6
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 13 of 26
Page 9 of 16
Working Draft
11/7/2018
VI.GENERAL PROVISIONS
A. Guiding Principles
Central San's authorization to enter into this Agreement is conditioned upon the
Agreement and the operations being consistent with the Guiding Principles adopted by
Central San's Board on August 16, 2018, and set forth in Exhibit B and incorporated
hereinby this reference as if fully set forth.
Each term of this Agreement shall be construed in a manner which provides consistency
with the terms listed in Exhibit B.
B. Termination
Either Party may terminate this Agreement by delivering to the other Party a written
INNEWnotice of intention to terminate no later than 6-months prior to the pro osed date of
termination.
Notwithstanding the foregoing sentence, if during t e term of the Agreement, a legal
challenge is filed naming Central San as a defendant, such as Proposition 218 lawsuit as
noted in Exhibit B. as a result of Central San's participation in this project, or Central San
reasonably determines that the operation of the project is no longer consistent with the
Guiding Principles set forth in Exhibit B, then Central San may terminate the Agreement
or temporarily suspend DERWA diversion operations with no less than sixty (60) days
written notice to DERWA. If diversion operations are suspended pursuant to this
provision, DERWA and Central San shall meet in good faith to determine what
modifications, .'f any, are necessary in order for operations to resume.
In the event that the Agreement is terminated by Central San before five (5) years of its
effective date, Central San and DERWA shall meet in good faith to determine the amount
of reimbursement to DERWA for DERWA funded costs related to material
improvements benefittin Central San facilities, including but not limited to valves and
data collection equipmen`
C.Amendment
No alteration, amendment, variation, or waiver of the terms of this Agreement shall be
valid unless made in writing and signed by the duly authorized representative of the
Parties.
7
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 14 of 26
Page 10 of 16
Working Draft
11/7/2018
D.Assignment and Successors
No Party will assign any right or interest in this Agreement, or any part thereof, without
the express written consent of the other Party. This Agreement shall bind the successors
of the Parties in the same manner as if they were expressly named.
E.Dispute Resolution
In the event of a dispute between the Parties over the meaning of this Agreement, the
Parties will meet in good faith to attempt to resolve the matter. Should informal efforts
fail to resolve a dispute, the Parties may agree to mediation or arbitration, or pursue other
available legal remedies in the State of California and in Contra Costa County.
F. Compliance With Laws ON%6.
Each Party will comply with all laws, ordinances, regulations and orders applicable to
work it will perform under this Agreement.
G.Indemnification
To the extent permitted by State law, each Party will indemnify, defend and hold all other
Parties and their directors, officers, agents, and employees safe and harmless from any
and all claims, suits,judgments, damages, penalties, costs, expenses, liabilities and losses
(including without limitation, sums paid in settlement of claims, actual attorneys' fees,
paralegal fees, consultant fees, engineering fees, expert fees and any other professional
fees)that arise from or are related in any way to each Party's, directors, officers, agents,
and employees actions or omissions, in the performance of this Agreement.
H.Notic
All notices required to be given, or which may be given b either Part to the other, will
q g Y g Y Y
be deemed to have been fully given and fully received: (A) immediately upon personal
delivery; (B)three days after the notice is deposited in the United States mail, registered
and postage prepaid and addressed to the Party for whom intended; or (C) on the same
day as electronic transmission is sent as long as the transmitting Party receives
confirmation of the transmission's delivery.
IML "
DERWA: Michael Tognolini, Authority Manager
DSRSD/EBMUD Recycled Water Authority
7051 Dublin Boulevard
Dublin, CA 94568
(510) 287-0125
michael.tognolinigebmud.com
Central San: Roger S. Bailey, General Manager
Central Contra Costa Sanitary District
5019 Imhoff Place
Martinez, CA 94553
8
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 15 of 26
Page 11 of 16
Working Draft
11/7/2018
(925) 229-7300
rbailey@centralsan.org
Notification of a change in the name or information for the contact person will be in
writing.
I. Signatures
The individuals executing this Agreement represent and warrant that they have the legal
capacity and authority to do so on behalf of their respective legal entities. This
Agreement may be executed in counterpart which when taken together shall be
considered one and the same agreement. Facsimile including email, and electronic
signatures shall be binding.
J. Severability
If any term or provision of this Agreement is deemed invalid or unenforceable by a court
of competent jurisdiction or by operation of any applicable law, it will not affect the
validity of any other provision, which will remain in full force and effect
K. Governing Law and Venue
This Agreement is governed by and will be interpreted in accordance with the laws of the
State of California. Venue shall be in the Superior Cou�f the County of Alameda.
•
L. No Third Party Beneficiaries
10MM,
No third-party beneficiaries are intended or created by this Agreement.
M. Comp el to Agreemen
This Agreement represents the entire agreement between the Parties relating to the
subject matter hereof.
OL
VII. ANNUAL REPORTIN
On an annual basis, DERWA shall prepare and provide an annual report to Central San,
which provides an update on the project's compliance with the Guiding Principles, in
addition to an update on DERWA's efforts to develop alternative supplies to offset its
reliance on Central San's wastewater supply. The first report shall be due one year from
execution of this agreement.
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the day and
year first above written.
9
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 16 of 26
Page 12 of 16
Working Draft
11/7/2018
DUBLIN SAN RAMON SERVICES DISTRICT—EAST BAY MUNICIPAL UTILITY
DISTRICT RECYCLED WATER AUTHORITY
By: Date:
Michael T. Tognolini
Title: Approved as to form:
Authority Manager pp
CENTRAL CONTRA COSTA SANITARY DISTRICT
By: te:
Roger S. Bailey
Title: A roved as to form:
General Manager pp
Kent Alm, District Counsel
10
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 17 of 26
Working Draft
11/7/2018
EXHIBIT A
WASTEWATER DIVERSION PROJECT LOCATION MAP*
irl 0 %
11 .".5% ;
IT
b. a_- .� '�' �` �. •. .rx �a �
�y .P
-° 44
} r -e• r°°•
in
a
"
+- r
" t
�y
er'
41
-. - .. ..
5 ..
e' e- r
•1J �'r- `� - a
AA
;yly
e ,
r •r
• T• a An .. .1 � _
1 F " 'tieitill _
,
L y
F a •... a ._ ! 1 11 Y
, Y
a
;I rI
•
' � �r� 0rti �r i dY 3
New _ �'�"•.1
9
Diversion 1 s w' :1022
_m Structure {_ '
" h A f,•1
c A
California
High �. 4
- 3- 1.
School ��� � '�• � � z _ �r° '• ���`
—
16
' 1
n
4i
b •
Vs 6% 2
.' a
,
9
-
,
•
V •
*Please note that this is a placeholder map. A more detailed map will be included with the Agreement that goes to the Board for approval.
11
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 18 of 26
Page 14 of 16
Working Draft
11/7/2018
EXHIBIT B
CENTRAL SAN'S GUIDING PRINCIPLES
These are the principles that were adopted by the Board and agreed to set forth the general terms under
which the District would enter into this agreement:
A. Guiding Principle 1:No Adverse Financial Impact to Central San
1. The temporary wastewater diversion shall not result in any additional operational cost to Central
San. Therefore, any additional operational cost shall be fully reimbursed by DERWA.
A40ML,
2. Revenues, including sewer service charges, Ad Valorem taxes, and capacity fees, will not be shared
to the extent they are used to recover 100% of Central San's systemwide fixed cost.
AAW 1�
3. Variable costs will be assessed and revenues collected by Central San to cover these costs may be
shared.
,4
4. Any fines resulting from sanitary sewer overflows rom Central San's collection system that are
found to be caused by the temporary wastewater diversion shall be reimbursed by DERWA.
T&"V� law
B. Guidinz Principle 2:No Adverse Financial Impact to the Cities of Concord and Clayton
_400mumm. I& 'N� %&
Central San provides wastewater treatment by contract for the cities of Concord and Clayton. Payment
for this service is based on the flow ratio into Central San's wastewater treatment plant. The City of
Concord is billed (on behalf of both cities) for its flow-proportional share of the O&M and capital costs
associated with Central San's wastewater treatment plant and Recycled Water Program. As a result, any
diversion of wastewater from Central San's collection system, upstream of the treatment plant, would
cause an increase in Concord and Clayton's proportional share, if not adjusted. Therefore, it is critical to
have accurate and timely information on how much wastewater DERWA diverts from Central San, so
that the City of Concord's bill can be adjusted accordingly. DERWA shall be responsible for the cost to
install and regularly calibrate an appropriate flow meter to accurately measure the amount of Central
San's wastewater flow diverted
I&A
IL
C. Guidinz Principle 3: Consistency with Central S'an's Municipal Bond Covenants
'IML "I
Central San has recently issued and is in the process of issuing additional municipal bonds to move
forward with the implementation of large capital projects that exceed Central San's available annual
capital budget. As such, the underlying assumptions for this bond issuance must remain consistent, as
follows:
1. Central San will not de-annex any portion of its service area for the sake of implementing this
temporary diversion.
2. Central San will not share any revenues associated with the area served by the San Ramon Pump
Station, to the extent those revenues are used to cover Central San's systemwide fixed costs.
12
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 19 of 26
Page 15 of 16
Working Draft
11/7/2018
D. Guidinz Principle 4: Consistency with Proposition 218
There are concerns that the collection of revenues to cover the transportation and treatment of
wastewater, from the affected customers within the diversion area, may be at risk for a Proposition 218
challenge, to the extent that those customers do not benefit from Central San's downstream conveyance
and treatment facilities and their associated cost during the diversion. As a result, any Proposition 218
challenge that arises as a result of this temporary diversion will be grounds for termination of this
agreement.
E. Guiding Principle S: Community Acceptance
Community acceptance is essential for the successful implementation of this temporary diversion
project. This includes acceptance by the following entities:
• Central San customers
• Cities of Concord and Clayton
• The adjoining San Ramon Pumping Station neighborhood
• City of San Ramon
• San Ramon Valley Unified School District
• East Bay Regional Park District
F. Guidinz Principle 6: Temporary Nature of the Project
Central San has entered into a Memorandum of Understanding (MOU) with Contra Costa Water District
and Santa Clara Valley Water District regarding a recycled water exchange project. To the extent this is
proven viable, Central San may need this wastewater supply to meet this and other existing recycled
water commitments, so Central San retains the right to the requested wastewater flow and may call on it
whenever needed. As such, this wastewater diversion is temporary in nature.
G. Guidinz Principle 7:Mitigation of Technical and Operational Impacts
low
1. There shall be no damage to Central San's infrastructure during the diversion. If damage is
discovered, Central San will cease the diversion until the issue is corrected.
I& is
2. Central San must maintain a minimum amount of wastewater flow in its collection system to prevent
solids from settling in the collection system. If low flows from the temporary diversion cause solids
settling or odor issues, Central San will enlist its collection system crews to flush the collection
system and DERWA shall be responsible for reimbursing Central San for the cost.
3. DERWA shall be responsible for the cost to mitigate any increased odor or any overflows from
Central San's San Ramon Pumping Station and downstream collection system that result from the
diversion.
H.Guidinz Principle 8:Benefit to Central San Customers
The wastewater temporarily diverted from Central San's service area shall be available to Central San's
service area as recycled water.
13
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 20 of 26
Page 16 of 16
Working Draft
11/7/2018
L Guidinz Principle 9:Facilitate a Sustainable Solution for the Region's Water Supply Shortage
1. Central San understands the water supply concerns/need within the Bay Area. Central San will work
with agencies/stakeholders within the region to facilitate the most optimal solution to collect and
treat wastewater within its service area and to distribute such treated effluent for the benefit of its
customer base and the greater region.
2. There are several Central San recycled water projects, which, collectively, may achieve this
overarching goal:
• Central San's Zone 1 Recycled Water Project (existing) within CCWD's service area
• Concord Community Reuse Project(Central San to produce and wholesale tertiary-treated
recycled water to CCWD for this development's needs)
• Diablo Country Club Satellite Water Recycling Facility in EBMUD's service area
• Refinery Recycled Water Exchange Project
a
3. The Exchange Project represents the potential for the most optimal regional solution.
14
November 14, 2018 REEP Committee Meeting Agenda Packet- Page 21 of 26