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HomeMy WebLinkAbout12. Authorize a Memorandum of Understanding with East Bay Municipal Utility District to evaluate recycled water project concepts Page 1 of 11 Item 12. CENTRAL SAN BOARD OF DIRECTORS POSITION PAPER MEETING DATE: OCTOBER 6, 2022 SUBJECT: AUTHORIZE THE GENERAL MANAGER TO EXECUTE A MEMORANDUM OF UNDERSTANDING BETWEEN CENTRAL SAN AND EAST BAY MUNICIPAL UTILITY DISTRICT (EBMUD) TO EVALUATE THE FEASIBILITY OF VARIOUS RECYCLED WATER PROJECT CONCEPTS SUBMITTED BY: INITIATING DEPARTMENT: MELODY LABELLA, RESOURCE RECOVERY ENGINEERING AND TECHNICAL SERVICES- PROGRAM MANAGER RESOURCE RECOVERY Roger S. Bailey Kenton L. Alm General Manager District Counsel ISSUE The Board of Directors (Board) authorization is required for the General Manager to execute a memorandum of understanding (MOU). BACKGROUND East Bay Municipal Utility District (EBMUD) is a major drinking water supply, treatment, and distribution agency that overlaps a substantial portion of Central San's service area. This close proximity provides an excellent opportunity to collaborate on recycled water projects that will expand water supplies in our respective jurisdictions. As part of Central San's 2016 Recycled Water Wholesale Opportunities Study, two of the potential large-scale projects with year-round demands identified were potable reuse (direct and indirect) projects with EBMUD. The proposed MOU (Attachment 1)with EBMUD calls for a feasibility evaluation of an array of recycled water project concepts, including a potential direct potable reuse project with EBMUD, a potential indirect potable reuse project with EBMUD using Contra Costa Water District's Los Vaqueros Reservoir, and October 6, 2022 Regular Board Meeting Agenda Packet- Page 272 of 317 Page 2 of 11 several non-potable reuse projects, including exploring an expanded diversion at Central San's San Ramon Pumping Station to Dublin San Ramon Services District (DS RSD), for the purpose of producing additional recycled water for distribution through the DSRSD-EBMUD Recycled Water Authority (DERWA) into the southern portion of Central San's service area while also evaluating Central San as a potential partner in DERWA. On September 27, 2022, EBMUD's Board voted unanimously to authorize their General Manager to execute this MOU. If any Central San capital projects are proposed as a result of this feasibility evaluation, Central San will conduct an environmental evaluation to determine the need for California Environmental Quality Act (CEQA) documentation. ALTERNATIVES/CONSIDERATIONS The Board may decline authorization of the MOU, which would end Central San's involvement in an evaluation of potential recycled water opportunities with EBMUD. This is not recommended. FINANCIAL IMPACTS The anticipated financial impacts are minimal at this time. Authorizing this MOU will commit staff time to assisting with development of the work plan and providing information to support the resulting evaluation. COMMITTEE RECOMMENDATION The Real Estate, Environmental & Planning Committee reviewed this matter at its July 20, 2022, meeting and recommended Board approval. RECOMMENDED BOARD ACTION Authorize the General Manager to execute a Memorandum of Understanding between Central San and EB MUD to evaluate the feasibility of various recycled water project concepts Strategic Plan Tie-In GOAL TWO: Environmental Stewardship Strategy 3- Be a partner in regional development of local water supply ATTACHMENTS: 1. Proposed Central San-EBMUD Recycled Water MOU 2. Presentation October 6, 2022 Regular Board Meeting Agenda Packet- Page 273 of 317 Page 3 of 11 Attachment 1 MEMORANDUM OF UNDERSTANDING BETWEEN CENTRAL CONTRA COSTA SANITARY DISTRICT AND EAST BAY MUNICIPAL UTILITY DISTRICT FOR A FEASIBILITY EVALUATION OF RECYCLED WATER PROJECT CONCEPTS This Memorandum of Understanding (MOU) is made and entered into this day of 2022 by and between Central Contra Costa Sanitary District(Central San) and East Bay Municipal Utility District (EBMUD) for the purposes described herein. Each agency hereinafter may be referred to individually as "Party" or collectively as "Parties." Recitals WHEREAS, California is impacted by droughts and climate change which have highlighted the importance of building a resilient, sustainable, and diverse water resources strategy; and WHEREAS, the Parties hereto believe that it is sound public policy and good operational practice to develop recycled water resources through financially and environmentally sound projects; and WHEREAS, the Parties desire to enter into a MOU to collaborate for purposes of exploring the feasibility of expanding the beneficial use of recycled water by maximizing and optimizing local benefits within the Parties' service areas, thereby promoting the conservation of potable water resources and reducing nutrient loadings to the Bay by reducing wastewater discharges to the Bay; and WHEREAS,the Parties intend that participation in this MOU be entirely voluntary, and that either Parry may elect to withdraw from the MOU at any time and for any reason; and WHEREAS, the Parties hereto may later explore the feasibility of establishing a more formal understanding or agreement, if deemed mutually agreeable and beneficial to the development of recycled water projects between the Parties; and WHEREAS, it is an EBMUD strategic goal to identify, evaluate and implement new opportunities for recycled water, including potential for potable reuse; and WHEREAS, Central San produces and distributes recycled water to a small area near its treatment plant, known as "Zone 1," within the Contra Costa Water District (CCWD) service area, and has been seeking water agency partners to leverage Central San's potential supply of recycled water to augment the region's water supply; and WHEREAS, Central San and EBMUD have collaborated on evaluations of potential non-potable recycled water projects in the past, including the Lamorinda Project and several Satellite Water Recycling Facility Projects, which have resulted in MOUS between both Parties with Diablo Country Club, Moraga Country Club, and most recently, interest in an MOU by the Rossmoor Community; and WHEREAS, EBMUD is a member of the Bay Area Regional Reliability Partnership, which is working to develop regional solutions to enhance water supply reliability, leverage existing {00074992;5; Page 1 of 5 October 6, 2022 Regular Board Meeting Agenda Packet- Page 274 of 317 Page 4 of 11 infrastructure investments, facilitate water transfers during critical shortages, and improve climate change resiliency for the benefit of all Bay Area residents; and WHEREAS, EBMUD, as a member of the Los Vaqueros Reservoir Joint Powers Authority(LVR JPA), is evaluating water supply options to facilitate its participation in the Los Vaqueros Reservoir Phase 2 Expansion Project, a regional water supply reliability project; and WHEREAS, Central San has collaborated with CCWD to evaluate a potential water exchange by providing advanced-treated recycled water from Central San to the Martinez refineries and transferring the refineries' current Delta water supply to a water agency in need; and WHEREAS,EBMUD is a member of the Dublin San Ramon Services District(DSRSD)-EBMUD Recycled Water Authority (DERWA) which supports Central San and EBMUD's efforts to explore expanding reuse opportunities within their overlapping service areas; and WHEREAS, in February 2019, DERWA and Central San executed an Agreement for the Temporary Diversion of Wastewater from Central San to DSRSD for the purpose of providing supplemental supply to meet DERWA's peak summer recycled water demands; and WHEREAS, DERWA and its member agencies are exploring additional supplemental supply options to meet the long-term needs of DERWA's San Ramon Valley Recycled Water Program; and WHEREAS, DERWA agrees to collaborate and support EBMUD and Central San's efforts to evaluate reuse opportunities that promote drought resiliency and maximize the use of a locally available and sustainable resource; and, WHEREAS, the Parties are interested in conducting a feasibility evaluation of multiple recycled water project concepts to provide local benefits and promote values of sustainability and equity within their respective service areas. NOW, THEREFORE, the parties hereby enter into this Memorandum of Understanding, as follows: 1. TERM This MOU shall become effective upon execution by both Parties. This MOU will terminate on June 30, 2024, unless extended through mutual agreement by both Parties. 2. PURPOSE The purpose of this MOU is to define the roles and responsibilities of each Party to conduct a Feasibility Evaluation of multiple recycled water project concepts, summarized below. a) Direct Potable Reuse Project: Central San's available wastewater supply would be recycled through advanced purification and conveyed to EBMUD's Mokelumne Aqueducts to augment EBMUD's potable water supply. {00074992;5; Page 2 of 5 October 6, 2022 Regular Board Meeting Agenda Packet- Page 275 of 317 Page 5 of 11 b) Indirect Potable Reuse Project: Central San's available wastewater supply would be recycled through advanced purification and conveyed to the Los Vaqueros Reservoir to provide water supply to EBMUD. c) Refinery Recycled Water Exchange Project: Central San's available wastewater supply would be recycled through further treatment and provided to CCWD to serve the two oil refineries near Central San's wastewater treatment plant. CCWD has represented that it is willing to offer recycled water to these customers in lieu of their current raw water deliveries. If one or both refinery customers desire to proceed, an appropriate amount of CCWD's Central Valley Project contract supply could be used, with all necessary parties' consent to facilitate an exchange arrangement whereby EBMUD and potentially other local agency partners would be provided with the forgone CCWD supply, subject to CCWD's operational requirements. d) Satellite Water Recycling Facility Projects: Central San's available wastewater supply would be recycled though a package treatment facility at the customer site and would serve only that one customer. e) Lamorinda Project: Central San's tertiary treated recycled water would be conveyed to EBMUD customers in Walnut Creek, Lafayette, Orinda, and Moraga. f) San Ramon Valley Recycled Water Program: The concept of Central San as a partner in DERWA would be explored, as well as expanding the DERWA-Central San Diversion Project to provide tertiary treated recycled water to EBMUD's existing and future phases of the San Ramon Valley Recycled Water Program located within EBMUD and Central San's overlapping service area. 3. WORK TO BE PERFORMED The Feasibility Evaluation will be completed with in-kind services and cooperative input from the Parties. Each Party has the discretion to hire consultants for its portion of the Feasibility Evaluation. Within 60 days following the effective date of this MOU, the Parties will develop a work plan to outline the specific tasks to be completed (Work Plan), division of responsibility between each Parry to complete the Work Plan, and a schedule for execution of the Work Plan. 4. RESPONSIBILITIES OF THE PARTIES EBMUD shall be the Project Manager of the overall evaluation effort. General responsibilities of both Parties are as follows: a) Work cooperatively, including committing staff time, to develop the Work Plan and complete the Feasibility Evaluation. b) Work collaboratively on public outreach and public education activities related to the recycled water project concepts identified in this MOU. c) Share relevant engineering, permitting, regulatory and operational information regarding its own facilities, studies, and permits for the benefit of the evaluation. d) Provide access to facilities and operational data that may be needed for conducting the Feasibility Evaluation(such as conveyance/distribution facilities,treatment plants, etc.). If {00074992;5; Page 3 of 5 October 6, 2022 Regular Board Meeting Agenda Packet- Page 276 of 317 Page 6 of 11 needed, commit staff time to conduct necessary analysis of its own facilities, permits, operational data, procedures or requirements, or any other data needed for consideration and share the information with other Party. Access to facilities will be consistent with, and will follow,the facility owner's security and standard safety and notification requirements. e) Upon reasonable advance written notice, make available for inspection to the other Party all records, books and other documents directly relating to the Feasibility Evaluation as well as any other work related to water supply institutional arrangements and agreements that are required for conducting the Feasibility Evaluation, subject to applicable document control policies and procedures including those relating to disclosure of security sensitive information. f) Provide appropriate level of oversight and review of any work products. g) Coordinate with the other Party on all media outreach, media responses, and messaging, prior to any media outreach. h) Coordinate with the other Parry on all Federal, State, or other funding efforts. i) Each Party, and any and all consultants retained by a Party or Parties, shall maintain the confidentiality of, and will not disclose, display, provide, or make available to any other person or entity any documents shared by the other Party which contain confidential water or wastewater facility data and/or which could reveal nonpublic details of infrastructure or operations (collectively, "Confidential Information"), unless prior written permission is granted by the Parry which originally possessed the Confidential Information. Confidential Information shall be returned to the sharing Party at the request of the sharing Party. Confidential Information shall be identified as such at the time shared. Each Parry shall place its consultant(s) under a legally binding confidentiality obligation at least as restrictive as this paragraph before sharing the other Party's Confidential Information with such consultant(s). 5. ADDITIONAL PROVISIONS This MOU shall be amended only by a writing signed by both Parties and may be terminated by either Party at any time, with or without cause, upon provision of written notice to other Parry. In event of termination, neither Party shall have any liability or further obligation to the other Party. This MOU is not intended to benefit any party except the signatories hereto and shall not be deemed to give any right or remedy to any such party whether referred to herein or not. This MOU does not create or constitute a joint powers agency or authority nor a partnership or joint venture between the Parties, nor does it render either Party the agent of the other Party. Neither Party shall become liable by any representation,act or omission of the other Party contrary to the provisions hereof. The Parties repudiate the liability allocations described in Government Code sections 895.2 and 895.6 and agree pursuant to Government Code section 895.4 that each Parry (hereinafter, "Indemnitor") shall indemnify and hold harmless the other Party and its agents, officers, employees, and contractors from and against any and all claims, damages, losses, judgments, liabilities, expenses, and other costs, including litigation costs and attorney fees, arising out of or 100074992;51 Page 4 of 5 October 6, 2022 Regular Board Meeting Agenda Packet- Page 277 of 317 Page 7 of 11 resulting from any negligent or wrongful act or omission of the Indemnitor, and/or of the Indemnitor's agents, officers, employees, and/or contractors, in the performance of this Agreement. Each Party shall be entitled to receive indemnity or contribution from the other Party in proportion to such other Parry's responsibility for any such claim, damage, loss, judgment, liability, expense or other cost, as determined under principles of comparative negligence. This MOU may be executed using digital or electronic signatures and/or may be executed in counterparts, each of which shall constitute an original and all of which together shall constitute one and the same agreement. 6. NOTICES Any notice, demand, or request made in connection with this MOU must be in writing and will be deemed properly served if delivered in person or sent by United States mail, postage prepaid, to the addresses specified below: Central San: Roger S. Bailey General Manager Central Contra Costa Sanitary District 5019 Imhoff Place Martinez, CA 94553 EBMUD: Clifford C. Chan General Manager East Bay Municipal Utility District 375 Eleventh Street, M.S. 804 Oakland, CA 94607 Representative of the East Bay Municipal Utility District: Signature Title Date Representative of the Central Contra Costa Sanitary District: Signature Title Date {00074992;5; Page 5 of 5 October 6, 2022 Regular Board Meeting Agenda Packet- Page 278 of 317 Page 8 of 11 ATTACHMENT 2 October 6,2022 Central San - East Bay Municipal Utility District Recycled Water Memorandum of Understanding - i' Melody LaBella, P.E. Resource Recovery Program Manager : 1 1 Proposed Memorandum of Understanding (MOU) Purpose: to evaluate the feasibility of various recycled water project concepts. Term: through June 30, 2024; can be extended. Work to be Performed: within 60 days following the effective date of this MOU, the Parties will develop a Work Plan to outline the specific tasks to be completed and the division of responsibility and a schedule for completing the work. 2 October 6, 2022 Regular Board Meeting Agenda Packet- Page 279 of 317 1 Page 9 of 11 1 Recycled Water Projects to be Evaluated (Advanced Treatment) Direct potable reuse (raw water augmentation) via the East Bay Municipal Utility District (EBMUD) system Indirect potable reuse (reservoir augmentation) via the Contra Costa Water District (CCWD) Los Vaqueros Reservoir Refinery Recycled Water Exchange Project in partnership with CCWD, EBMUD and potentially other water agency partners 3 Recycled Water Projects to be Evaluated (Landscape Irrigations Satellite water recycling facilities Lamorinda Project San Ramon Valley Recycled Water Program via expanded wastewater diversion to Dublin San Ramon Services District— EBMUD Recycled Water Authority (DERWA) Central San as a DERWA partner 4 October 6, 2022 Regular Board Meeting Agenda Packet- Page 280 of 317 2 Page 10 of 11 Committee Review The Real Estate, Environmental and Planning Committee reviewed this matter at its July 20, 2022, meeting and recommended Board approval. 5 Recommended Board Action Authorize the General Manager to execute a Memorandum of $ Understanding between Central San and EBMUD to evaluate the feasibility of various recycled water project concepts 6 October 6, 2022 Regular Board Meeting Agenda Packet- Page 281 of 317 3 Page 11 of 11 Q • 7 October 6, 2022 Regular Board Meeting Agenda Packet- Page 282 of 317 4