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Home My WebLink About2009-02 1 MINUTES OF STEERING COMMITTEE MEETING Orange County Sanitation District Wednesday, February 25, 2009, at 5:30 p.m. A meeting of the Steering Committee of the Orange County Sanitation District was held on Wednesday, February 25, 2009, at 5:30 p.m., in the District's Administrative Office. A quorum was declared present, as follows: STEERING COMMITTEE MEMBERS: STAFF PRESENT: DIRECTORS PRESENT: Jim Ruth, General Manager Doug Davert, Chair Bob Ghirelli, Assistant General Manager Larry Crandall, Vice Chair Nick Arhontes, Director of Oper. & Maintenance Bill Dalton, Operations Committee Chair Jim Herberg, Director of Engineering Mark Waldman, Administration Committee Ed Torres, Director of Technical Services Chair Lorenzo Tyner, Director of Finance and Jim Ferryman Administrative Services Phil Luebben Michael Gold, Legislative Affairs Liaison David Shawver John Linder, Engineering Manager Jim Burror, Engineering Supervisor DIRECTORS ABSENT: Lilia Kovac, Associate Clerk of the Board N/A Ryal Wheeler OTHERS PRESENT: FILED IN THE OFFICE OpF Brad Hogin, General Counsel THE CLERK OF THE BDj Drew Kolosky, Liberty Compost CHANGE COUNTY SANITATION DISSSSS ICl Alex Gima, DWP Charlie Dong, DWP MAR 251099 Victor Ybarra, DWP 9N �. PUBLIC COMMENTS Mr, Drew Kolosky from Liberty Compost, addressed the committee members with reference to an offer to purchase the Sanitation District's Kings County property with the option to receive biosolids at a reduced rate as part of the property sale. Staff answered questions raised by Directors, and outlined the long-term sustainable biosolids program the Sanitation District has in place. REPORT OF THE COMMITTEE CHAIR Board Chair Davert and Vice Chair Crandall reported on the delegation trip to Washington, D.C. to address the FY 2010 appropriation bill. Chair Davert announced the Sanitation District will be receiving a $300,000 grant from the EPA for secondary treatment. The Steve Anderson Lift Station is scheduled to be dedicated Friday, April 17, 2009 from 10:30 a.m. to 1:00 p.m. Minutes of the Steering Committee February 25, 2009 Page 2 REPORT OF GENERAL MANAGER Jim Ruth, General Manager, reported the start of the budget preparation cycle and deferred an overview of proposed budget assumptions to Lorenzo Tyner, Director of Finance and Administrative Services. Mr. Ruth provided a brief monthly report. He also announced that the grand opening of the biosolids processing plant in Rialto is scheduled for early May. REPORT OF GENERAL COUNSEL Brad Hogin, General Counsel, reported there would be a hearing on Kern County's Measure 'E', which bans the application of biosolids in the county, scheduled in the Los Angeles Supreme Court on Monday, March 2, 2009, with a decision expected within two months from the date of hearing. ACTION ITEMS (7 -3) 1. MOVED, SECONDED AND DULY CARRIED: Approve minutes of the January 28. 2009 Steering Committee meeting. 2. MOVED, SECONDED AND DULY CARRIED: Recommend to the Board of Directors to adopt the 2009 Legislative Platform and Goals. 3. MOVED, SECONDED AND DULY CARRIED: Direct staff to proceed with recommendations of the Steering Committee in connection with a letter dated December 10, 2008, from the Los Angeles Department of Water and Power, requesting an Out-of-Area Sewer Service Agreement for the Haynes Power Generating Plant. Staff was directed to proceed with LADWP term negotiations for the Out-of-Area Sewer Service working agreements based on recommended business operating procedures, and to bring to the full board for final approval. INFORMATION ITEMS (4) 4. Legislative Affairs Report—Gold Michael Gold reviewed the basic contents of the proposed economic stimulus and recovery package with the water and wastewater related funds; however, details on how to access funds have not been Identified. Mr. Gold also reported the contents of the State budget, and due to the alliance with other special districts, funds were not taken away at this time. Minutes of the Steering Committee February 25, 2009 Page 3 CLOSED SESSION (5) CONVENE IN CLOSED SESSION TO GOVERNMENT CODE SECTION 54956.9(c): The Steering Committee convened in closed session at 6:22 p.m. to discuss one matter. Confidential Minutes of the Closed Session held by the Steering Committee have been prepared in accordance with Government Code Section 54957.2, and are maintained by the Clerk of the Board in the Official Book of Confidential Minutes of Board and Committee Closed Meetings. The Steering Committee reconvened at 6:26 p.m. in regular session. ADJOURNMENT The next Steering Committee meeting is scheduled for Wednesday, March 25, 2009, at 5:30 p.m. The Chair declared the meeting adjourned at 6:27 p.m. Submitted by: �, Lilia Kovac Associate Clerk of the Board dd Gy}k66B66 y' ••5 "j OINOtlG m "Sy 1NE� aYEgE Ti. � w�z _ i�H��OHd � C• m !A"S�Of RH�OH M1 r�R qYq (C C 60 N OAC!C�G dO& n(��YER OH W * AF BB 19 RA, O y0 N��Ay SVN1 Rrv^ 2 ��1 � M l•M1G OAEryEz*� � M1 °R6,RN C £ J eta AG cn GE € CCD ��uNn C a'.nuG x CDcr i cn A t R 6 i Y G Y E Y �O,P)R< vPWI. G-0��M09 Hd po „ couws a° O p I GAMOMOMO ? VI Q E SAPPHIRE N N OflRI (p APOLENA q - AMETHYST � C G GNrA c aH cAANO CL Al 3 m S � ' '� �e::o«E me . .Y Na9q) N Y" C�D• g RFitlse L 4LNOH P g R r). (D A ry j ai�G E°M1 NaTA Y' CD i2NMtlHO "r' a£ BAYPO �y, L00 a Yid^ a° � 4RnR (p .nH� tle�^ aixAa� as 1CC,2 A° {y cgnIA BARRARR �3H`'GO iy R•!A 'YG(a�CPaaA v �y COIOMY ` � qd� ��:.p GRAMVI�LeIf W9Y •,,3' 4 Hllypppl GfXTER S H3N AEA,_ JR YA E , HEG.�gC q .�wrim.�" 'f-eN tl A a. q,Y Gy q A O ¢;a�✓ndg NM1, � \�N�'NYR�. rok Jy� `^iR1E �} IA, � /"r STATE OF CALIFORNIA) ) SS. COUNTY OF ORANGE ) Pursuant to California Government Code Section 54954.2, 1 hereby certify that the Notice and the Agenda for the 2009 Steering Committee meeting to be held on February 25, 2009, was duly posted for public inspection in the main lobby of the District's offices on February 19, 2009. IN WITNESS WHEREOF, I have hereunto set my hand this 19th day of February 2009. Lilia Kovac Associate Clerk of the Board Orange County Sanitation District HADEMAGENDMPOSTIMSTEERING POSTING CERTIFICATION FORM.DOCX ' rr a ORANGE COUNTY SANITATION DISTRICT 9 p ! CLERK OF THE BOARD (7) 10B44 ENB Amnue February 18, 2009 Fwm W1, c B27M T118 M IInB Mdtl 110 B.e 8127 Fnul 92 V.II lit 3e>28a12J YMNt.d 5f1 "h° 171418622411 NOTICE OF MEETING F. 17141 e62!1366 STEERING COMMITTEE Serving a,wnelm ORANGE COUNTY SANITATION DISTRICT BYUnfl r�fllY (yf1,NB6 alr�lllWIILY WEDNESDAY, FEBRUARY 25, 2008 — 5:30 P.M. FVIIBrmn Gemen a,I.B ADMINISTRATIVE OFFICES )iunonywn eum:^ 10844 ELLIS AVENUE ^^I FOUNTAIN VALLEY, CALIFORNIA 92708 �e H.N. W W W.00SD.COM Lfl PBII,IN (trB AIBITINfi fbw}w�Bfler:O ag"W A regular meeting of the Steering Committee of the Orange PIBVBnYe County Sanitation District will be held at the above location, date Sant.ro,. and time. 2/19189NCIr Sremm� Tlmn Vllle P.6 I 'r lnu1. ci:.W Mee. Senunry 0' p" MNvey!'�ly Svn2lry Uieb'Ia Inure lfanr.M1 W.rer OMBY,A LavT.Y nl annye We pro[ett pvWic M1eeNr en0 Me emmnnm.nt eyprovitling eHerrve wes[ewerar cvllBctiwr, ceBrment, entl I'eryClinp. STEERING COMMITTEE AND BOARD MEETING DATES February 25, 2009 March 25, 2009 April 22, 2009 *May20, 2009 June 24, 2009 July 22, 2009 August 26, 2009 September 23, 2009 October 28, 2009 *November 18, 2009 *December 16, 2009 January 27, 2010 February 24, 2010 -Meetings being held the third Wednesday of the month. STEERING COMMITTEE (1) Roll Call: Meeting Date: February 25, 2009 Meeting Time: 5:30 p.m. Committee Members Doug Davert, Board Chair................................................... ........... Larry Crandall, Vice Chair................................................... ........... Mark Waldman,Administration Committee Chair................ ........... Bill Dalton, Operations Committee Chair............................. ........... JimFerryman...................................................................... ..........._ PhilLuebben....................................................................... ........... DavidShawver.................................................................... ..........._ Others BradHogin, General Counsel............................................. ........... _ Staff JimRuth, General Manager.................................................... Bob Ghirelli,Assistant General Manager.................................. . Nick Arhontes, Director of Operations & Maintenance................. . Jim Herberg, Director of Engineering....................................... . Ed Torres, Director of Technical Services..................................— Lorenzo Tyner, Director of Finance&Administrative Services........ Michael Gold, Legislative Affairs Liaison.................................... Penny Kyle, Clerk of the Board........................................... ._ Other Staff Present AGENDA REGULAR MEETING OF THE STEERING COMMITTEE ORANGE COUNTY SANITATION DISTRICT WEDNESDAY, FEBRUARY 25, 2009 AT 5:30 P.M. ADMINISTRATIVE OFFICE 10844 Ellis Avenue Fountain Valley, California www.ocsd.com DECLARATION OF QUORUM PUBLIC COMMENTS REPORT OF COMMITTEE CHAIR REPORT OF GENERAL MANAGER • Budget Assumptions REPORT OF GENERAL COUNSEL ACTION ITEMS (1-3) 1. Approve minutes of the January 28, 2009 Steering Committee meeting. 2. Recommend to the Board of Directors to adopt the 2009 Legislative Platform and Goals. (Book Page 7) 3. Direct staff to proceed with recommendations of the Steering Committee in connection with a letter dated December 10, 2008, from the Los Angeles Department of Water and Power, requesting an Out-of-Area Sewer Service Agreement for the Haynes Power Generating Plant. (Book Page 19) INFORMATION ITEMS (4) 4. Legislative Affairs Report— Gold (Book Page 39) Book P;igc I February 25,2009 CLOSED SESSION (5) During the course of conducting the business set forth on this agenda as a regular meeting of the Steering Committee,the Chair may convene the Committee in closed session to consider matters of pending real ',. estate negotiations,pending or potential litigation,or personnel matters, pursuant to Government Code Sections 54958.8,54956.9,54957 or 54957.6,as noted. Reports relating to(a)purchase and sale of real property;(b)matters of pending or potential litigation;(c) employment actions or negotiations wth employee representatives;or which are exempt from public disclosure under the Califomia Public Records Act,may be reviewed by the Directors during a permitted closed session and are not available for public inspection. At such time as final actions are taken by the Board on any of these subjects,the minutes will reflect all required disclosures of information. Convene in closed session, if necessary. 5. CONFERENCE WITH LEGAL COUNSEL RE. INITIATION OF LITIGATION (Government Code Section 54956.9(c)) Number of Potential Cases: 1 —Action against the Colton Companies to end encroachments on OCSD easements. Reconvene in regular session. Consideration of action, if any, on matters considered in closed session. OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY ADJOURNMENT The next Steering Committee meeting is scheduled for March 25, 2009 at 5:30 p.m. Book Page 2 February 25, 2009 Agenda Posting: In accordance with the requirements of California Government Code Section 54954.2,this agenda has been posted in the main lobby of the District's Administrative offices not less than 72 hours prior to the meeting date and time above. All public records relating to each agenda item, including any public records distributed less than 72 hours prior to the meeting to all, or a majority of all, of the members of District's Board,are available for public inspection in the office of the Clerk of the Board,located at 10844 Ellis Avenue, Fountain Valley, California. Items Not Posted: In the event any matter not listed on this agenda is proposed to be submitted to the Committee for discussion and/or action, it will be done in compliance with Section 54954.2(b) as an emergency item or because there is a need to take Immediate action,which need came to the attention of the Committee subsequent to the posting of agenda, or as set forth on a supplemental agenda posted in the manner as above, not less than 72 hours prior to the meeting date. Public Comments: Any member of the public may address the Steering Committee on specific agenda Items or matters of general interest. As determined by the Chair, speakers may be deferred until the specific item is taken for discussion and remarks may be limited to three minutes. Matters of interest addressed by a member of the public and not listed on this agenda cannot have action taken by the Committee except as authorized by Section 54954.2(b). Consent Calendar: All matters placed on the consent calendar are considered as not requiring discussion or further explanation, and unless a particular item is requested to be removed from the consent calendar by a Director of staff member, there will be no separate discussion of these items. All items on the consent calendar will be enacted by one action approving all motions, and casting a unanimous ballot for resolutions included on the consent calendar. All items removed from the consent calendar shall be considered in the regular order of business. The Committee Chair will determine if any items are to be deleted from the consent calendar. Items Continued: Items may be continued from this meeting without further notice to a Committee meeting held within five(5)days of this meeting per Government Code Section 54954.2(b)(3). Meeting Adiournment: This meeting may be adjourned to a later time and items of business from this agenda may be considered at the later meeting by Order of Adjournment and Notice in accordance with Government Code Section 54955(posted within 24 hours). Accommodations for the Disabled: The Board of Directors Meeting Room is wheelchair accessible. If you require any special disability related accommodations, please contact the Orange County Sanitation District Clerk of the Board's office at(714)593-7130 at least 72 hours prior to the scheduled meeting. Requests must specify the nature of the disability and the type of accommodation requested. Notice to Committee Members: For any questions on the agenda or to place any items on the agenda, Committee members should contact the Committee Chair or Clerk of the Board ten days in advance of the Committee meeting. Committee Chair: Doug Daved (714)318-9550 General Manager: James D. Ruth (714)593-7110 General Counsel: Brad Hogin (714)415-1006 Clerk of the Board: Penny Kyle (714)593-7130 E-mail: d.com Book Page 3 MINUTES OF STEERING COMMITTEE SPECIAL MEETING Orange County Sanitation District Wednesday, January 28, 2009, at 5:00 p.m. A special meeting of the Steering Committee of the Orange County Sanitation District was held on Wednesday, January 28, 2009, at 5:00 p.m., in the Districts Administrative Office. A quorum was declared present, as follows: STEERING COMMITTEE MEMBERS: DIRECTORS PRESENT: Jim Ruth, General Manager Doug Davert, Chair Bob Ghirelli, Assistant General Manager Larry Crandall, Vice Chair Nick Arhontes, Director of Oper. & Maintenance Bill Dalton, Operations Committee Chair Jim Herberg, Director of Engineering Mark Waldman, Administration Committee Ed Torres, Director of Technical Services Chair Lorenzo Tyner, Director of Finance and Jim Ferryman Administrative Services Phil Luebben Michael Gold, Legislative Affairs Liaison David Shawver Jeff Reed, Human Resources Manager Tod Haynes, Engineering Manager DIRECTORS ABSENT: Penny Kyle, Clerk of the Board OTHERS PRESENT: STAFF PRESENT: Brad Hogin, General Counsel Eric Saperstein Heather Dion Christopher Townsend PUBLIC COMMENTS There were no public comments. REPORT OF THE COMMITTEE CHAIR Chair Davert reported on the CASA conference held January 21m—January 24'that he attended along with some of the members of the Steering Committee. He also advised that he would be attending a GWR tour at the Orange County Water District on Friday, January 31p, that was being set up for Lieutenant Governor Garamendi. REPORT OF GENERAL MANAGER Jim Ruth, General Manager, provided a brief overview on his monthly status report. Book Page 4 Minutes of the Steering Committee January 28, 2009 Page 2 REPORT OF GENERAL COUNSEL Brad Hogin, General Counsel, reported there was a need to add an item to the closed session calendar, and such action came to the attention of Orange County Sanitation District after the posting of the agenda. It was then moved, seconded and duly carried to add the following item to the closed session agenda pursuant to Government Code Section 54954.2(b)(2), re: Conference with Legal Counsel re anticipated litigation (Subdivision (a) of Sections 54954.2(b)(2), 54956.9) Sign cant exposure to litigation pursuant to subdivision (b) of Section 54956.9: One case resulting from a written communication from the BKK Working Group threatening litigation, which communication is available for public inspection pursuant to Government Code Section 54957.5. ACTION ITEMS (1 -2) 1. MOVED, SECONDED AND DULY CARRIED: Approve minutes of the December 17, 2008 Steering Committee meeting. 2. Annual Legislative Planning Session Jim Ruth, General Manager, reported that Jon Freshman has decided to scale back his business activities. Discussion with Eric Saperstein has determined that Eric will be able to step up to cover these additional activities. Michael Gold reviewed the legislative goals for the 2009 calendar year and requested input and direction on priorities. It was noted there were not many changes for 2009 but one addition was being recommended regarding taking positions on a new bill. The committee then heard from Eric Saperstein regarding what could be expected during the coming year on the federal side, and Heather Dion and Christopher Townsend advised what was expected on the stale side. INFORMATION ITEMS There were none. CLOSED SESSION (3 -6) The Steering Committee convened at 6:04 p.m. in Closed Session, pursuant to Government Code Section 54956.9(b) to discuss five matters. Confidential Minutes of the Closed Session held by the Steering Committee have been prepared in accordance with Government Code Section 54957.2, and are maintained by the Clerk of the Board in the Official Book of Confidential Minutes of Board and Committee Closed Meetings. The Steering Committee reconvened at 6:18 p.m. in regular session. Book Page 5 Minutes of the Steering Committee January 28, 2009 Page 3 ADJOURNMENT The next Steering Committee meeting is scheduled for Wednesday, February 25, 2009, at 5:30 p.m. The Chair declared the meeting adjourned at 6:18 p.m. Submitted by: . * °L VtlL_ enny M. Kyle /�1 IJ Clerk of the Board Book Page 6 STEERING COMMITTEE 'r22gDoe TOBE.or Dir. oz/ssiog @JiSlog AGENDA REPORT Ibem Numbe Hen Numbe z Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Michael Gold, Government Affairs SUBJECT: Adoption of 2009 Legislative Platform and Goals GENERAL MANAGER'S RECOMMENDATION Adopt Platform and Goals SUMMARY Last month, the Steering Committee held its annual legislative strategic planning session with staff and the lobbying team. At this session, staff presented ideas and the group discussed those areas on which to focus. As has been done in the past, the years'goals are included in the Legislative Platform, which is a guide to adopted positions on a number of matters. Both the goals and the platform assist staff throughout the year as bills and policy issues arise. Staff will also report on the progress towards these goals at mid-year and the end of 2009. Over the past few years, the entire document has been refined to include not only the platform statements but also the procedure for taking positions on bills. For 2009, staff is presenting the legislative platform and goals for your consideration. There have been no major changes to the Legislative Platform or the procedures; however the goals have been updated to reflect the discussions at the January meeting. The goals for 2009 are as follows: Funding Priorities • Aggressively pursue infrastructure stimulus funding for one or more priority projects through both the Federal and State governments. • Continue seeking an appropriation from Congress for Secondary Treatment upgrades in advance of the 2012 deadline. • Request a general authorization for funding priorities in the Water Resources Development Act(WRDA) or other related legislation. • Pursue funding for fuel cell power generation. • Seek an appropriation through Congress to fund the relocation of the Santa Ana River Interceptor(SARI) line. F01111 No.D iw-1 Poem aeprvl-SC Rb,x 011OW07 Page 1 Book Page 7 Policy Goals • Aggressively fight any property tax shift from Sacramento by working with the Orange County Water District, CASA and other partners. • Monitor any proposed changes to the Federal Clean Water Act. • Monitor Congress for a revised energy bill for possible impacts to OCSD • Monitor climate change legislation at both the State and Federal levels. PRIOR COMMITTEEIBOARD ACTIONS The Board adopted the original Legislative Platform in December 2005 with an update (adding procedures for taking positions on bills) adopted in August 2006. An updated platform was adopted in November 2006, February 2007 and February 2008. Form No.O*ioz1 f...R w-SC Ra nd 010 07 Page 2 Book Page 8 Orange County Sanitation District 2009 Legislative Platform and Goals Legislative Updates Plea Sar6rk hp,lirkt elm[or dlelaleslLei9mve Tie rdnpMaU� ��" hael Gold. Legis a es �p� I L1 Leq 5'ativr Pil rradn�ltt.el6 >_ i Collaborate - • 77 I� D r „ M N 1NIIN � o C,M llll N�`PO Book Page 9 Orange County Sanitation District 2009 Legislative Platform Legislative Affairs Team OCSD Staff Michael Gold Ph: (714)593.7529 mgold@ocsd.com Government Affairs Manager Cell: (714)253-5541 Robert Ghirelli (714) 593-7400 rhirelli@ocsd.com Assistant General Manager James D. Ruth (714)593-7110 jruth@ocsd.com General Manager Federal Lobbying Team Eric Saplrstein (202)455-3755 asap@ ENS Resources ensresources.com Sacramento Lobbying Team Townsend Public Affairs Christopher Townsend (949)399.9050 ctownsend@ TownsendPA.com Heather Dlon (949) 399-9050 hdion@ TownsendPA.com 2 Originally Adopted December.2005 Revised January, 2009 Book Page 10 Orange County Sanitation District 2009 Legislative platform Introduction The Orange County Sanitation District(OCSD)recognizes the need for an active State and Federal legislative advocacy program to ensure the interests of the ratepayer and Board of Directors are protected. Towards that end,the legislative affairs team monitors activities in Sacramento and Washington, D.C. and takes appropriate action in support or opposition of legislative Initiatives. Each year,the Board of Directors adopts a Legislative Platform, which is a summary of goals, key issues and OCSD's policy position. The following legislative policies have been developed by OCSD staff and legislative advocates in consideration of OCSD service area cities'and policy needs. These Board-approved policies serve as OCSD's official positions of support or opposition on issues of importance to the agency. The Legislative Platform is a dynamic document, adopted annually and changing to the needs of the Board. The legislative affairs team, in conjunction with the Board, may take appropriate action consistent with the Legislative Platform, including, but not limited to, drafting letters, lobbying legislators and staff and crafting bills. Procedure for Taking Positions on Bills 1. Staff will track bills of greatest interest to the District, particularly those that fall within the goals and objectives identified by the Board of Directors. Staff will monitor bills being watched by similar agencies in Orange County(OCWD, MWDOC, etc.)as well as State Agencies such as California Association of Sanitation Agencies(CASA),the California Special Districts Association (CSDA)and the Association of California Water Agencies (ACWA). 2. For those bills that are being tracked where there is clear policy direction stated in the Board-adopted Legislative Platform or adopted goals, staff can send letters and give direction to the lobbyists to advocate that position. 3. Where a particular issue is not urgent, all legislative letters will be hand-signed by the Chair or Vice-Chair. If a matter is urgent, staff may use the signature stamp, so long as a clear policy direction exists. 4. A summary of bills being tracked will be presented to the Steering Committee monthly. 5. When a bill does not fall within the scope of the Legislative Platform or is a politically controversial issue, staff will seek direction from the Steering Committee. 6. If a bill does not fall within the scope of the Legislative Platform, but the California Association of Sanitary Agencies(CASA),the California Special Districts Association (CSDA)or the National Association of Clean Water Agencies (NACWA)has an adopted position, staff may follow this position but must inform the Steering Committee of such action at the next regulady scheduled meeting. 3 Originally Adopted December,2005 Revised January,2009 Book Page I I Orange County sanitation Distnct 2009 Legislative Platform State and Federal Legislative Goals for 2009 Funding Priorities • Aggressively pursue infrastructure stimulus funding for one or more priority projects through both the Federal and State governments. • Continue seeking an appropriation from Congress for Secondary Treatment upgrades in advance of the 2012 deadline. • Request a general authorization for funding priorities in the Water Resources Development Act(WRDA)or other related legislation. • Pursue funding for fuel cell power generation. • Seek an appropriation through Congress to fund the relocation of the Santa Ana River Interceptor(SARI) line. Policy Goals • Aggressively fight any property tax shift from Sacramento by working with the Orange County Water District, CASA and other partners. • Monitor any proposed changes to the Federal Clean Water Act. • Monitor Congress for a revised energy bill for possible impacts to OCSD • Monitor climate change legislation at bath the State and Federal levels. 4 Originally Adopted December,2005 Revised January,2009 Book Page 12 Orange County Sanitation District 2009 Legislative Pladonn Federal and State Legislative Policies t. Air Quality: OCSO is committed to complying with federal, state, and local air quality laws and rules. OCSD is further committed to establishing an odor policy to assure that the district is a good neighbor to the surrounding communities. Therefore,OCSD shall: a. Support air quality legislation that emphasizes the use of advance technologies and applicable market incentives, and incentives for the use of alternative fuels and the development of the Infrastructure for alternative fuel vehicles. b. Support measures that maintain and enhance local decision-making authority, where appropriate, in the development and implementation of air quality attainment strategies. c. Support legislation to ensure greater consistency between the California and Federal Clean Air Acts; Including the need to demonstrate cost-effective public health or environmental benefit if California elects to exceed federal standards. d. Support strategies that clearly demonstrate and provide for the most cost- effective means for meeting air quality goals. e. Support, in concept, legislation that would utilize incentives and pricing strategies as a preferred alternative to traditional command and control regulations for meeting emission reduction objectives for all sources. f. Oppose actions that preclude Implementation of the Air Quality Management Plan (AQMP)to the extent that such actions could subject the basin to sanction or conformity penalties. 2. Biosolids: OCSD strives to beneficially use biosolids through multiple management options performed at reasonable costs that are protective of public health and the environment.Therefore, OCSD shall: a. Support legislation that supports the use of biosolids as on non-food production agricultural lands. b. Support policies that encourage biosolids product use by horticulture and retail consumers. c. Oppose legislation that bans the use of biosolids for land application in any region, county, or state. d. Support science-based legislation that establishes a state-wide regulatory system for biosolids management. 3. Grant Funding: OCSD is committed to offsetting Its research, special projects and wastewater infrastructure project and construction costs by obtaining funding through grants and cooperative agreements.Therefore,OCSD shall: a. Support appropriations legislation, bonds, programs, and projects that provide funding for infrastructure construction and rehabilitation, special studies and research or projects relating to security,environmental education, water quality, wastewater processing, urban runoff,water conservation, and water recycling. 5 Originally Adopted December,2005 Revised January,20D9 Book Page 13 Orange County Sanitation Distdct 2009 Legislative Pladonn b. Support projects that provide for public benefit,over projects that are primarily intended for private benefit or gain. c. Support continued federal funding for protecting and realigning the Santa Ana River Interceptor project and for secondary treatment upgrades. d. Oppose proposals placing further requirements on grant recipients that return low value for high administrative costs. 4. Labor Relations: OCSD is committed to the exercise of and provision of orderly procedures for the administration of employer-employee relations, Including, but not limited to, meeting and conferring in good faith with recognized employee organizations regarding the wages, hours of work,and other terms and conditions of employment. Therefore, OCSD shall: a. Support measures to reform current workers compensation formulas to rely on higher thresholds for compensation or a proportionate exposure formula. b. Support health insurance reform that does not create additional financial burdens on special districts. c. Support measures to ease applicability of the Fair Labor Standards Act(FLSA) on public agencies. d. Oppose any measure imposing compulsory and binding arbitration with respect to public employees. e. Oppose any measure that Imposes upon local government mandated employee benefits that are more property decided at the local bargaining table. f. Oppose efforts reducing local control over public employee disputes and imposing regulations on an outside agency. g. Oppose any measure granting public employees the right to strike. h. Oppose a new mandatory Social Security tax for public employers and public employees. S. Planning:OCSD ensures the long-range planning of capital improvement programs in order to deliver the highest quality facilities.Therefore, OCSD shall: a. Support reform of existing state, regional, and local planning processes only if directly linked to reforms in the current revenue and tax structure of state and local governments. b. Support measures that provide new revenues for growth management and the public facilities necessary to support expected growth. c. Support proposals encouraging regional, sub-regional or countywide cooperation in planning urban development strategies,especially those that provide funding for effective implementation of agreed upon goals. d. Oppose legislation consolidating special districts that fail to address the concerns of cities affected by the proposed consolidation. 6 Originally Adopted December,2005 Revised January,2009 Book Page 14 Orange County Sanitation District 2009 Legislative Platform e. Oppose measures that prevent or restrict the ability of cities or special districts to participate in the Southern California Association of Govemments' (SCAG)sub- regional process. 6. Public Health: Protection of public health is OCSO's core mission.OCSD will work cooperatively with county and state health officers to assure local health protection. Therefore, OCSD shall: a. Support hazard mitigation, emergency response, planning and recovery through direct legislation, policy directives and funding toward floodplain security within the Santa Ana River watershed. b. Support (generally) measures that provide for improved public health through regulation. c. Support the protection of public health through the construction and Implementation of advanced wastewater treatment technology. 7. Public Works: OCSD is committed to the achievement of effective and efficient projects that provide wastewater treatment services that benefit its ratepayers.Therefore, OCSO shall: a. Support measures that provide funding and support to publicly owned treatment works and sewerage collection systems. b. Support legislation that allows public agencies to procure goods and services In manners similar to private industry, thereby reducing overall costs of delivery. c. Support legislation that improves the Utility Underground Service Alert Program in order to improve coordination, identification, minimize damage, minimize environmental risks and minimize cost exposure to publicly owned facilities when contractors are performing sub-surface work. d. Support a comprehensive response to the State's electricity and natural gas shortages that provide a stable energy supply, respects the ability of municipalities to provide power, recognizes that infrastructure(i.e. emergency and standby generators)exists that could be employed temporarily during weak periods with minimal air quality impact and protects ratepayers(Including cities and special districts)against dramatic rate increases and statewide power outages. e. Support legislation that allows OCSD to utilize the Best Value Design/Build option for the construction of public works projects. 8. Revenue and Taxation:Track pending legislation to ensure OCSD remains in compliance with the government code as it pertains to wastewater system user fees and property tax revenues and the Investment of public funds. Therefore, OCSD shall: a. Support measures leading to a greater financial Independence from the state and would result in greater stability and predictability in local government budgeting. b. Oppose measures that impose mandated costs for which there is no guarantee of local reimbursement or offsetting benefits. 7 Originally Adopted December,2005 Revised January,2009 Book Page 15 Orange County Sanitation District 2009 Legislative Platform c. Oppose legislation that shifts tax revenues away from local governments without the adequate provision of a constitutionally guaranteed backfill to offset the lost revenues of those local governments. d. Oppose measures that allow state retention of existing local revenue sources, including the special district share of property tax, sales tax, vehicle license fees and rate payer fees. e. Oppose the use of revenues traditionally used to fund the delivery of municipal services to fund programs for which the state is responsible, particularly the courts, health, and welfare programs. 9. Special Districts: OCSD supports the maintenance of special districts to provide speck services, in response citizen's demands, in a cost effective manner. Therefore, OCSD shall: a. Support outreach to local, regional, and state elected officials to foster a greater understanding regarding the critical relationship between adequate reserves and the successful short-and-long-term operation of water and wastewater agencies. b. Support the work of the Association of California Water Agencies(ACWA), California Association of Sanitation Agencies (CASA), and California Special Districts Association (CSDA)in any future discussions or negotiations pertaining to the legislative and budget issues relative to preserving control of members' reserves. c. Oppose further state regulations that adversely impact special district financing and operations. d. Oppose measures that create or grant powers to sub-regional or regional bodies that would result in an infringement on clearly local concerns. e. Oppose any administrative or legislative efforts to access or transfer any reserve funds held by water and wastewater districts. f. Oppose the imposition of unfunded, mandated programs on local governments. 10.Water Quality and Supply: OCSD is committed to participating collaboratively in the protection of regional water resources for the benefit of the people we serve. Therefore, OCSD shall: a. Support continued federal and state funding for the Santa Ana River Interceptor Relocation project. b. Support(generally) measures to increase water supply and improve water quality in the region. c. Support measures that would increase funding for water reuse technologies, including support for the Groundwater Replenishment System project by the Orange County Water District and OCSD to create new water supplies through recycling. d. Support U.S.Army Corps of Engineers projects for Orange County regarding watershed and water quality protection and sand replenishment. 8 Originally Adopted December,2005 Revised January,2009 Book Page 16 Orange County Sanitation District 2009 Legislative Platform e. Support measures that promote and provide for the use of reclaimed water. f. Support"watershed-based" solutions, including cost-shared studies with the US Army Corps of Engineers of water quality impairments that reflect state-of-the-art science. g. Support policy development,funding, and research for addressing urban runoff and beach closures, including funding for studies that identify the sources of bacterial, viral and other contaminants and human pathogens. h. Support measures to evaluate water quality standards, as needed,to ensure the objectives are appropriately protecting the designated use. I. Support measures to develop a state-wide consistent policy for total maximum daily load (TMDL) listing and delisting. J. Support State General Fund subventions and Bond revenue to special districts for local and regional efforts that educate the public on urban runoff, which provide for long-term capital improvements (like storm drain diversions and filters), and encourage municipalities to implement Urban Runoff Best Management Practices at the local level. k. Support legislation that would retain any Regional Board fines levied against a permit violator within the Region of the fine. I. Support legislation that provides"amnesty"from administrative civil liability(ACL) fines from Regional Boards for agencies participating in comprehensive watershed studies that will, when complete, address the problem that resulted in the ACL fine. m. Support efforts, including legislation, clarifying that Regional Water Quality Control Board rules that require spending funds are unfunded mandates. n. Support measures addressing non-point source pollution in order to protect our ocean water quality and provide funding to mitigate its effects. o. Support measures for alternative energy sources. p. Support efforts to reduce the toxic and non-reusable waste load. q. Support legislation and regulations that promote improved water use efficiency in construction of water efficient buildings and communities. r. Support legislation that promotes improved water use efficiency through state and federal assistance in evaluating and Implementing new programs and technologies and Increasing public awareness of water use efficiency. s. Support legislation that provides for groundwater management on a local level, with respect to coordination of programs, extraction and production rights, long- term protection and groundwater quality protection. I. Support legislation that provides for the development of the watershed approach, including watershed management plans and watershed based permitting. u. Oppose proposed environmental constraints on government agencies that would result in economic damage to the region while providing only minimal protections. v. Oppose efforts to make all NPDES permits the same. Requirements of other permits may be too onerous or not applicable. OCSD's permit should be tailored to the Orange County region and watershed. 9 Originally Adopted December,2005 Revised January,2009 Book Page 17 Orange County Sanitation District 2009 Legislative Plationn w. Oppose the imposition of statewide/nationwide fees for environmental cleanup that is privately caused or regional in nature (e.g., when the nexus between those responsible for environmental abuse and those required to pay for cleanup or mitigation is absent). x. Support measures supporting urban runoff studies and urban runoff reduction. y. Support Coastal Water quality efforts to ensure that clean beach projects remain a top priority for the state, whether through negotiations on upcoming resources bonds, in setting of legislative priorities, implementation of funding programs, and in any other relevant process. 10 Originally Adopted December,2005 Revised January,2009 Book Page 18 STEERING COMMITTEE Meedng Date To ad.of Dir. 02,2s/og AGENDA REPORT ""° tart"umbe 3 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: James D. Herberg, Director of Engineering SUBJECT: OUT-OF-SERVICE AREA SEWER SERVICE REQUEST BY THE LOS ANGELES DEPARTMENT OF WATER AND POWER FOR THE HAYNES POWER GENERATING PLANT GENERAL MANAGER'S RECOMMENDATION Direct staff to proceed with recommendations of the Steering Committee in connection with a letter dated December 10, 2008, from the Los Angeles Department of Water and Power, requesting an Out-of-Area Sewer Service Agreement for the Haynes Power Generating Plant. SUMMARY • Orange County Sanitation District (OCSD) received a letter dated December 10, 2008, from the Los Angeles Department of Water and Power (LADWP), requesting an Out-of-Area Sewer Service Agreement (Agreement) for the Haynes Power Generation Plant in Los Angeles County. LADWP is also requesting the following: • Relief from the current OCSD Annexation Fees structure contained in Ordinance OCSD-33 for a one-time fee of$4,235 per acre. • That portions of the site be designated Industrial Low Demand Use for the determination of OCSD connection fees. • LADWP owns and operates the Haynes Power Generation Plant in Los Angeles County, which is between the Cities of Long Beach and Seal Beach. The power plant currently has a wastewater treatment plant that discharges tertiary treated effluent into the San Gabriel River. • LADWP staff is investigating more cost-effective and reliable options than operating a domestic wastewater treatment plant onsite. • Under OCSD Resolution 99-05, this area is eligible for regional sewerage services. This is because the area is tributary to Orange County. Fo,m No.B imA Ap nda Report—BoaN ReNsM: 12/OB/ge Page 1 Book Page 19 Specifically, the LADWP discharges could impact the recreational waters adjacent to the City of Seal Beach. In order to proceed with an Agreement, OCSD staff needs direction from the OCSD Board of Directors Steering Committee, relative to the specific LADWP requests related to application of OCSD fees. • OCSD staff has reviewed the information presented relative to the LADWP request. Based on the information presented, staff is seeking Steering Committee direction to prepare an Agreement around the following deal points: • Annexation fees should be established to include only the developed areas that will receive regional sewer service from OCSD. Industrial and open space areas that will not receive sewer service from OCSD should be excluded from sewer service eligibility and not used in the determination of fees. • Connection fees payments should be determined using the Average Demand Industrial Use Category. • There should be a requirement to attain and maintain an Industrial Waste Discharge Permit to ensure consistency with the Agreement and OCSD discharge ordinances. • An instantaneous maximum flow should be required to ensure consistency with an Agreement. • It appears that discharging to the OCSD service area is one of several options available to LADWP. The other options are to work with the County Sanitation District's of Los Angeles County or the City of Long Beach for service. • A short presentation will be given at the meeting and it is anticipated that LADWP staff will be available to answer questions. PRIOR COMMITTEE/BOARD ACTIONS N/A ADDITIONAL INFORMATION OCSD Out-of-Area Sewer Service Agreement Requirements The Los Angeles County portion of the LADWP Haynes Power Generating Station is not currently part of any sewering agency that can provide regional sewage collection and treatment. However, this area is within an area eligible for OCSD's regional sewer service via OCSD Resolution 99-05. OCSD Resolution 99-05 identifies four conditions that this Development meets, including: Surface water from the territory would naturally drain into Orange County. Form No,OS 10 Agaaca Report-Board Revised. 12/06I05 Page 2 Book Page 20 • OCSD member agency affected by a proposed Agreement, or the development related thereto, must be consulted, and its input considered, prior to the proposed Agreement being finalized and presented to the Board. The Agreement will be presented to the City of Seal Beach after it has been prepared, prior to any Board approval. • OCSD staff has discussed the potential Agreement with the City of Seal Beach staff and the City's Councilman currently sifting on the OCSD's Board of Directors. • A local government agency executes the Agreement providing for sewerage services and for payment of one-time fees equivalent to annexation fees, connection fees, and an administrative charge, and annual fees equivalent to sewer serviced fees, property taxes, and an administrative charge, and any other terms and conditions, all as established by the Board at the time of approval, or as amended from time-to-time, for said service. At this time, the City of Long Beach or LADWP may be designated as the local sewering agency. • The local land use, sewer, or water authority agrees to require connections to OCSD or other sewage treatment systems, and discourage on-site disposal systems. Equivalent Annexation Fees Considerations For annexation fees, per Ordinance OCSD-33, property owners are currently required to pay $4,235 per acre to be provided services by OCSD. Said fees are collected in lieu of property taxes not allocated to OCSD while the property was outside of OCSD prior to the mid-1980s, and in lieu of future property tax allocations through a Tax Exchange Agreement. Two options were developed that could be considered equitable methodologies under Proposition 218 for Board consideration: 1. LADWP pay a one-time annexation fee, per OCSD Ordinance OCSD-33, at an estimated $517,000 for the entire 122 acre site. 2. Designate buildings and areas within the property to receive regional sewerage service rights and determine the one-time annexation fees based on that area. This area has been estimated by LADWP at about three acres and would result in about $12,700 in annexation fees. Of course, the Agreement would need to contemplate additions and penalties for adding area without OCSD knowledge. Although the methodologies may be considered equitable, the amount of funding to be collected is vastly different. Staff recommends that OCSD use option two. However, the Board of Directors should give specific direction to OCSD staff for inclusion in an Agreement. Connection Fee Determination OCSD staff has reviewed the information presented relative to the LADWP request for portions of the site be designated Low Demand Industrial Use. F..N. owma< Agenda Re l-Board Page 3 Book Page 21 Based on the information presented, this site would generate approximately 255 gallons per day per 1,000 sq. ft. These types of flows are consistent with the Average Demand Industrial Use Category; not the Low Demand Industrial Use. As outlined in the LADWP letter, certain buildings would need to be designated with the High Demand Industrial Use in order to have some buildings be designated with the Low Demand Industrial Use. At this time, because LADWP has the ability to relocate existing uses within its site without further OCSD plan review, OCSD staff feels that one overall site designation with a maximum flow allowed from the site is more practical. Thus, it is recommended that the overall site designation should be the Average Demand Industrial Use Category for determining the connection fee. Also, that a maximum flow allowed be included in the Agreement. Source Control Consistency Determination OCSD staff is also requesting that the Steering Committee direct staff to include a requirement for an Industrial Waste Discharge Permit be issued and maintained for the site. This is to ensure that the LADWP Haynes Generating Station is billed properly and that OCSD staff can monitor onsite usage consistency with an Agreement. This would include a limit on the maximum flow that can be discharged to the OCSD service area. ATTACHMENTS Letter and Exhibits dated December 10, 2008, from the Department of Water and Power JDH:JB:sa H:WgIobaMgenda Draft Report %Steering Commm"AADW Annexation Fee-Steenng AReocx Fall,No.DM102A AgaOda Rep d-BoaN Rovis ig MAM Page 4 Book Page 22 4 off �la4cen° anndl IPt�f� ,�` 4fine C�nt1Sr ®ff II� Il� AN2ONIO R.VILLARAIGOSA commission H.DAVID NAHAI, stm NICK PA7'SAOURAS,mm" cuyc,.."n.�og;.ewc...,wrwsa BDra RANn=,sa,., LEE KANON ALPERr WALLY KNOX FORESCEE HOGAN-ROWLES BARBARAE.MOSCHOS,x." December 10, 2008 Mr. Jim Ruth General Manager Orange County Sanitation District 10844 Ellis Avenue Fountain Valley, CA 92708 Dear Mr. Ruth: Subject: Request for Reduction of Equivalent Annexation Fee for Haynes Sanitary Waste Disposal Thank you for the meeting on November 19, 2008, which was attended by staff members from Orange County Sanitation District(OCSD), Long Beach Water Department (LBWD), DGA Consultants(DGA), and managers from the Los Angeles Department of Water and Power (LADWP)to discuss issues regarding the OCSD's acceptance of the LADWP Haynes Generating Station's (Haynes) domestic sewer flows of approximately 7 gpm. In particular, the LADWP is requesting a reduction of the equivalent annexation fee for the Haynes site, located at 6801 2"d Street, Long Beach. In the meeting, DGA(the consultant retained by the LADWP), presented justification as to how the straight application of OCSD's per acre annexation fee results in an extremely high amount relative to the minuscule sewer flow generated by the Haynes Plant, and how a modified fee calculation better reflects this particular case. As a follow up to the meeting, enclosed please find additional information for your consideration. The enclosed Exhibit"A" provides additional justification and assurances as to why the Haynes site should be exempt from the standard acreage formula.The exemption would be non-precedent setting and there are more than adequate stop-gap measures for OCSD protection. The enclosed Exhibit"B" is the feasibility study for the Haynes site sewer modification prepared by DGA for your reference. Also enclosed are Exhibits "C"and "D"which contains information previously submitted to you by DGA and the L.A. County Assessor's parcel map, respectively. We believe that the above information will be useful in reassessing the annexation fee for the Haynes site. Water and Power Conservation . . .a way of life Ill Nosh Hope Str t,Los Angeles,Callfomix 90012-2607 Mailing address:Box 51111,Los Angelus 90051.5700 h4phonc(213)3674211 Cable address:DEWAPOLA ' woan,.an.erwe..a Book Page 23 Mr. Jim Ruth Page 2 December 10, 2008 Thank you again, Jim, for your time and assistance in this matter. In response to the email from Wendy Allison, a member of your staff, I would like to invite you and your staff to personally tour the Haynes site. We hope that this will not only allow you to obtain a better view of Haynes' situation but also to gain an in-depth outlook which may not be easily grasped through the enclosed exhibits alone. It is also worthy to note that previously, only the disposal of domestic sanitary waste had been requested from OCSD. I look forward to meeting with you and your staff again to further discuss our request. If you have any questions, please feel free to contact Mr. Vic Ybarra, Manager of Steam Generation at (213) 367-0418 or Mr. Charli Dong, Haynes Plant Manager at (310) 522-7500. Sincerely, Aram Benyamin Senior Assistant General Manager— Power System AG:rhb Enclosures— Exhibits A, B. C & D clenc: Mr. Isaac Pai - LBWD Mr. Robert Ghirelli- OCSD Mr. Jim Herberg - OCSD Mr. Jim Burror - OCSD Mr. Jim Eldridge- DGA Mr. Don Greek- DGA Mr. Aram Benyamin Mr. Victor Ybarra Mr. Charli Dong Book Page 24 EXHIBIT "A" Non-precedence setting with stop-gap measures: 1. LADWP property is outside the service areas of both the OCSD and the LACSD. 2. Only the domestic sewage generated from the site is being delivered to OCSD. The industrial wastewater is treated on-site then discharged into San Gabriel River under an existing NPDES permit. 3. The requested service is only for the present average flows of 10,000 gallons per day (GPD) or 7 GPM associated with the existing power plant. Any significant change in flow will be subjected to the review by LBWD and OCSD. 4. The Sewer Agreement between LADWP and LBWD would be voided if the use of the property is changed in the future. 5. LADWP and LBWD Island Village S5 pump station is currently served by a 2,200 linear feet of a 4-inch forced main, tied into an OCSD 8-inch VCP gravity line. Both are within the City of Seal Beach. No modification of these lines is proposed. 6. Inclusion of 10,000 GPD (7 GPM) sewage generated fr9m Haynes site is within design capability of the existing S-5 pump station and it"s associated discharged facility. 7. Based on impacts to the OCSD facilities, a modified annexation fee calculation is needed to better reflect Haynes's particular case. 8. LADWP is a government agency bound by its commitments, agreements, and policies. - 9. There has been a friendly working relationship between LADWP and Orange County(OC) as there are five injection wells and two monitoring wells on the LADWP site used as a seawater intrusion barrier for OC. This land as well as the electricity to run these wells is provided by LADWP to OC free of charge. Book Page 25 Exhibit "B" DW CONSULTANTS- Civil Engineering Services CLIENT: Los Angeles Department of Water and Power(LADWP) PROJECT: Haynes Generating Station,Long Beach,CA - Sewage Treatment Plant Abandonment&Proposed Sewer Pumping Station SUBJECT: On-she Design Options and Recommendations for Modifications to Existing Sewer System and Pumping Stations-Feasibility Study DATE: November 26,2008 The LADWP has retained our engineering services to evaluate the existing on-site sewer system at the Haynes Generating Station for the abandonment of the existing treatment plant and design of a new sewer pumping station. The existing on-site sewer system and pump stations were also considered for rehabilitation and possible redesign. EXISTING SEWER SYSTEM Sewage from Control Building D flows by gravity into the pump station called "Control Building D" which has a submersible pumping system constructed approximately four years ago. DGA has obtained the plans and design information from Pacific Southwest Industries, who is the manufacturer for this pumping station. The sewage is pumped from the Control Building D station wet well to the ISS station which also receives the gravity flows from the maintenance buildings in the area. These combined flows are then pumped from the ISS station across the channel into the pump station at the Machine Shop called the "Machine Shop"station. While the Control Building D station is of submersible design, it should be noted that ISS and the Machine Shop stations use a combination of submersible technology and wet well/dry well design. In each location, the motors are above ground but the pumps are submerged in the well. The sewage from the Control Building D and ISS stations, along with gravity flows from the Machine Shop is pumped from the Machine Shop wet well to the second floor of the Control Building B where it discharges into the gravity line that services the building. This gravity line is hung with pipe supports from second floor beams and extends through the building between a network of plant piping. The gravity line from the building connects to an 8-inch gravity sewer in B Street, which is the tnmk line that collects sewage from Control Buildings A, B, and C and the Administration Building. The B Street gravity line flows to the sewage treatment plant located in A Street near the entrance of the plant where it is partially treated and then trucked off the property. LADWP4310—Onsite Design Recommendations Memo 11-26-08 Page 1 of 5 Book Page 26 Exhibit "B" CONBOLT Civil Englnoering Services COORDINATION WITH LONG BEACH WATER DEPARTMENT(LWBD) On 11/7/08,DGA Consultants along with Charli Dong of LADWP presented three options to Isaac Pay Director of Enginecring/Chief Engineer of the LBWD for the handling of sewage from the LADWP Haynes Generating Station and coordination with the existing LBWD S5 Westminister Sewer Pumping Station, which is across the street from the Haynes facility. Option A proposes to construct a new pump station at the southeast comer of the LADWP property with a new force main connected to the existing 4"PVC force main in 2"Street that is currently being used by the LBWD S5 station. Option B proposes to pump all sewer flows from the LADWP Haynes facility directly into the LWBD S5 station wet well using a new force main. For this option,it will not be necessary to construct a new pumping station at the south east comer of the property as proposed in the Option A. However, it will be necessary to modify the existing on-site pumping stations and/or convert the existing treatment plant to a pumping facility with a new force mam. Option C proposes to abandon and take out of service the 35 year old LBWD S5 station and construct a new gravity sewer to take existing flows entering the S5 station to a new pump station constructed in the south east comer of the LADWP property. In this option, LADWP is proposing to dedicate the new station including the land to the LBWD. The new pump station will be designed and constructed consistent with LBWD standards including the latest most efficient concepts in pumps, motors, piping, valves, SCADA systems and physical layout. On 11/14/08, DGA Consultants along with LADWP staff met with Isaac Pai and Robert Verceles of the LBWD to discuss the project, in particular the connection of the on-s@e sewer flows to the LBWD S5 station. LBWD agreed that the Option A, B, C report prepared and submitted by DGA in this meeting constitutes the "Draft Study" referred to in the LBWD/LADWP Agreement. LBWD stated in this meeting that Option B is desired and agreed to have DGA(for LADWP) proceed with preliminary design and evaluation based on this scenario. LBWD requested DGA to prepare a preliminary design report(PDR)for the rehabilitation of the LBWD S5 station including recommendations for upgrading pumps, motors, piping, valves, pump level switches, electrical service, scada system, odor control, and sound proof walls/doors. The LBWD agreed that the PDR will constitute the"Final Study"referred to in the LBWD/LADWP Agreement. After LBWD (and the LADWP) approves the PDR, DGA will prepare construction plans, contract documents, and specifications for the rehabilitation of the LBWD S5 station based on the latest standards of the LBWD. DGA will coordinate the processing of all permits required for the construction of proposed improvements for this project. LADWP4310—Onsite Design Recommeadmims Memo 11-26-08 Page 2 of 5 Book Page 27 Exhibit "B" • (xxISULTANTS• Civil Engineering Services COORDINATION WITH ORANGE COUNTY SANrrATTON DISTRICT(OCSD) On 11/19/08, a group consisting of managers and staff from LADWP, the LBWD and DGA Consultants met with the OCSD General Manager, James Ruth and members of his staff to discuss OCSD's annexation fee for LADWP to connect to the existing LBWD S5 station, which pumps into the OCSD gravity sewer system The standard OCSD annexation fee is$4235/acre,which equates to a$517,305 cost if applied to the total site area(122.2 acres)of the Haynes facility. This fee is excessive considering the Haynes facility only generates approximately 10,000 gallons per day or 7 gallons per minute of on-site sewer flows. LADWP and DGA argued that there are legitimate reasons why the Haynes facility is unique and should be charged annexation fees based on a modified set of criteria DGA discussed in this meeting that the occupied buildings at this facility totaling about 40,000 square feet compare to a fight industrial building on a 3 acre site. Therefore,the annexation fee should be about $12,700 based on this area, which is more reasonable for the small sewer flows generated at this facility. A follow-up letter from Victor Ybarm of LADWP was prepared and sent to Mr. Ruth subsequent to the meeting further outlining the reasoning for the requested modification and reduction to the standard annexation fees. PROPOSED ON-SITE SEWER SYSTEM MODIFICATIONS DGA Consultants is proposing the following two (2)options for modifications to the on-site sewer system and pump stations. Both options propose a new sewer force main that will take all on-site flows to the LBWD SS station wet well as discussed in our preceding discussion for Option B. The on-site modifications also included the provision for LADWP's request to review and possibly add storage capacity somewhere within the system Our preliminary investigation radiated that the only location with existing storage capacity is the sewage treatment plant and it can only handle about 3,000 gallons in its current configuration. The 3,000 gallons of existing storage will provide approximately seven (7) hours of emergency response time, which is based on estimated average day sewer flows of 7 gallons per minute or 10,000 gallons per day. If the treatment plant were changed from a wet well/dry well facility to a submersible pumping station, the storage capacity would increase to 5,000 gallons and provide approximately twelve(12)hours of emergency response time. LADWP4310—Onsite Design Recommendations Memo 11-26-08 Page 3 of 5 Book Page 28 Exhibit "B" CONSULT Civil Engineering Services On 11/14/08, LADWP stated that the 3,000 gallons of existing storage should be sufficient considering that the plant rarely (if at all) experiences power outages, there on-site pump stations have duty and back-up pumps, and there existing force mains have been recently constructed and are in good condition. In addition to the existing storage, pumper trucks can respond to an emergency in two (2) hours typically to temporarily vacuum the sewage until the problem is mitigated. Also,there is an existing retarding basin with 500,000 gallon holding capacity that was sized for storm water from a 10 year storm with%-inches of min over 4 hours. This retarding basin was used in the past for temporary storage of industrial waste and effluent from the treatment plant. It is no longer used for treatment plant operations due to NPDES regulations, but may be used according to DWP staff for emergency storage in the event the new pump station is out of service. OPTION NO. I FOR ON-SITE SEWER SYSTEM MODIFICATIONS Option No. 1 is the recommended option for on-site sewer system modifications that proposes to convert the existing treatment plant to a new pump station with a long force main constructed to the LBWD S5 station wet well. In this option, the existing on-site pumping stations at the Control Building D, ISS, and Machine Shop would not be modified and continue to pump on-site sewer flows to the treatment plant or proposed pump station. However, it is recommended to abandon the existing sewer force main for the Machine Shop station because it poses maintenance problems where it extends through and under existing buildings with congested plant piping. The new Machine Shop force main is proposed in a buried trench in 2 Street(on-site)from the station to the 8-inch gravity line in B Street. It is recommended to construct the new Machine Shop force main in the same trench as the new force main for the proposed sewer pump station if the Alternate 1B alignment is used as shown on the attached Option No. I Exhibit. The proposed force main for the new pump station at the treatment plant requires crossing the intake channel to get it to the southeast comer of the property and to the LBWD S5 station. Based on LADWP direction and comments, the construction of a new force main crossing over the intake cbannel is not recommended since it would require a long permit review and approval process. Therefore, the LADWP recommended that we utilize the existing storm drain force main crossing over the channel. The storm water pumping station currently utilizing this crossing would have to be redesigned and modified to take the storm water to another discharge location. Refer to the attached Exhibit for Option No. 1 that depicts the proposed sewer system and pump station modifications for this option. LADWP4310—Onshe Design Recommendations Memo 11-26-08 Page 4 of 5 Book Page 29 Exhibit "E" LbN3UlT Civil Engineering aerveo, OPTION NO.2 FOR ON-SITE SEWER SYSTEM MODIFICATIONS Option No. 2 is the ahernate option for on-site sewer system modifications that also proposes the conversion of the existing treatment plant to a new pump station. However,the new force main in this option would discharge to the Machine Shop station. The following on-site modifications are required at the Machine Shop and ISS pump stations in order to utilize the existing sewer force main crossing over the intake channel for the conveyance of existing on- site sewer flows to the LB WD S5 station. The Machine Shop station modifications will be necessary in order to direct existing flows across the channel to the ISS station The existing pumps and motors will be replaced, if needed, plus the piping layout and valves will have to be reconstructed into a new Configuration. The existing force main from the ISS station to the Machine Shop will be utilized, except the flow will be reversed. LADWP recommended using the existing sewer force main to avoid the long permit review and approval process which would be required for Construction of a new crossing. The Machine Shop wet well capacity will be evaluated to determine if adequate for modified operation and storage requirements. The existing force main that currently runs from Machine Shop to the second floor of the Control Building B will be eliminated. However, the current gravity flow system servicing the Control Building B will remain unchanged. The ISS station will be modified to receive the flows from the Machine Shop station by reversing the flow direction in the existing force main between the ISS and Machine Shop stations as discussed above. A new force main is proposed from the ISS station to the southeast comer of the LADWP property and across the street to the LBWD S5 station. The ISS station will be evaluated including pumps, motors, piping, valves, wet well size and Configuration to determine if replacement is necessary for modified operation and storage requirements. It is recommended to provide new bypass finings and cam-lock Connections at the Machine Shop and ISS stations for temporary pumping powered by natural gas, propane, or diesel during a station pump failure or power outage. Refer to the attached Exhibit for Option No. 2 that depicts the proposed sewer system and pump station modifications for this option t.ADWP4310 Onsite Design Recommendations Memo I1-26-08 Page 5 of 5 Book Page 30 1 � ( F R Y � ii'sxa. "•'I t�V I. ii - a yJF�i r • �••yy @��gy;„�� -. � ` ,may � 'x MAW Exhibit -"B" l L , EXISTWd ` CONTROL aU-) NG - �- r PUMP STATION Lu UU no � 7 _ I %165 POMP5 A � •D v UPGRADED 'fOROE MAIN ROPOSED ORCE MAI A A to FORCE MAIN I ING TREATMENT PLANT T O SEWERPUMPSTATIO ADMI S An Sg S •�4 --[ 7778 � "ra I rt.\i�ttT - " - -E 2ND STREET f ¢ I ID a � LASTA ION NESMOD FACILITY PROPOSED ON-SITE SEWER PUMP STATION MODIFICATION OPTION 2 DATEROveme X= Book Page 32 Exhibit "C" ORANGE COUNTY SANITATION DISTRICT ANNEXATION FEE DISCUSSION Los Angeles Department of Water and Power(LADWP) has been working for some time with the City of Long Beach Water Department in an effort to develop a concept whereby the domestic sewage effluent from the Haynes Generation Plant on 2nd Street would be combined with the existing flows from the S5 station to ultimately enter the facilities of the Orange County Sanitation District. Currently, the peak flow discharge from the LBWD S5 station averages about 160 gal/min and the Haynes facility generates 7 gal/min or 10,000 gal/day. One major obstacle to the completion of this objective has been the OCSD equivalent annexation fee of$4235/acre. Since the Haynes plant sits on 122.15 acres, an annexation fee of$517,305.25 appears to be excessive when compared to the very low volume of discharge. Since the Haynes Generation property is unique in that it is very large in acreage but very small in creating sewage effluent, we offer the following discussion in an attempt at trying to find the middle ground that might result in annexation fees more correctly attuned to ultimate use. DGA Consultants has reviewed the usage and square footages of all the buildings on the property that have at least one fixture and determined that there is 39,173 sq. ft. of space within these buildings. We believe these buildings more accurately compare to light industrial in that they are generally served by toilets and sinks. The facility never has and never will introduce industrial wastewater into the sewer system. All industrial wastewater generated on the site is handled in its own separate set of processes. 1 Bpok Page 33 Exhibit "C" If we all can agree with the premise of comparisons, our next step would be to point out that an industrial project with 39,173 sq. ft. of buildings would occupy a site of about 130.577 sq. ft. or approximately 3 acres K we can assume 30% coverage which is a conservative average. An equivalent annexation fee for this property would then be 3x$4235/acre = $12.705 for a project that generates an average discharge of 7 gal/min. DGA Consultants also established that 27,165 sq. ft. of the 39,173 sq. ft., can be classified as "low usage" and the remaining 12,008 would fit the "average usage" category. From the OCSD charts used to calculate Capital Facility Charges, Low usage is charged at$225/1000 sq. ft. and Average is $1403/1000 sq. ft. Using these figures, the Capital Facilities Charge calculated for the Haynes Plant would be: 27,165 x $225/1000 = $6,112.13 12,008 x $1,403/1000=$16.847.22 Total $22,959,35 In summary, LADWP is very willing to pay its share of fees based on any impacts its flows might have on the system, but we do believe that based on discharge of 10,000 gal/day, the straight application of acreage fees needs to be revisited. We also understand the hesitancy of OCSD to approve a lower annexation fee based on current usage and then be faced later with a plant shutdown and redevelopment of the property to its highest and best use. However, the likelihood of that occurrence is almost non-existent and further, the Agreement for Sewer Connection (WD-2642) between the Board of Water Commissioners of the City of Long Beach and the Board of 2 Book Page 34 Exhibit "C" Water and Power Commissioners of the City of Los Angeles is for the current use and would no longer be in effect should there be any changes. A new agreement would be required and the appropriate OCSD fees levied at that time. 3 Book Page 35 Exhibit "D" 7237 18 - " sCALKI'= ,DD 2004 s � Ou T ' • v,r � i V D c - I O� - W17 531I ' p NW r Y[IpYIE-E IV..S J I L rPA'AYIaaY roAW SEam i �xrlr Tm NO E,AL£ O Nwla m] OS$ ' ��.aJ -•1.. a I' us.wtva I CODE 11 mn ss17 ssu I9 - MAPS'NOSL I M 2 OF MFIWN W FLWCNO i9P FPS' T sfF LDS AL.AMIT03 DM M-13a-14I . Ea a ruE MUM'OF�L03�ANaEI.ES, CALIF. Exhibit "D" 7237 19. 20f.�4 . Sq e • �ali d' ,O swlowsosevsee._y � aaNsop>roeoa.es W I i s... to i @ Y 1 � I � I u � ' j m i � 'Z,23"► - ot8 -'2.Z0 W •1 ! 2ND: 3 $ a e F ! 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Q rayC• nY ' , 4Sf/' :.'• f may, G ` V K .R `I#r .S i a,•: �. .. a �, � �a ..Ar,._ � I�d�• opP J� d � I �, y� Nom Yip � :o� r ..�' ry��- M1 - ::. t'L •. .. :. .. O[TMI . '+r'rtOSGIYti S` r .i:•_ •��.r . . . � i'MAP:�:.�:�. . ':.'' .�iM•�--"�� r' � .. ' i :"3 'i :ienPs rmaradtlz,oi'Mp! 'oP•RAHn W^:s wp' _ IF ma-Y.4;' riM.1oow4ey al , . Mai'.. . ili•' '�y .. .'a '.n c�en¢i•i��M Nk }.'♦i••��'$c Y':N+'`. .'l..' . .4 . .svr�'• ..; . ee'�.9.mt7on.m�R.i+d n '�� awe . .or J/!?d64? _ Y•A.:;M:e;.�'�`.}}•cd$: reF.Y••. "..5Os8:,' :4:{Gmaya'nirr,/5r"xm:rr. ,•:f'" 'I :. ivu5on� •,y;., •::.r:M. 13= , ., nh,Opa ,»Fg . S"E.:•:%�.: •,A'' . •' :.FPkCd: L1W.._ `.:"4 ',P K434;ds',se; ,.uaFsmrs 9nrt <'- CpDMY.OF LOS A96F.B M GLIf:,`. STEERING COMMITTEE Meeting Date I To ed.of Dlr. oz ss/09 AGENDA REPORT rrem Number Item Number _ 4 Orange County Sanitation District FROM: James D. Ruth, General Manager Originator: Michael Gold, Government Affairs SUBJECT: Legislative, Policy and Political Update GENERAL MANAGER'S RECOMMENDATION Information Only SUMMARY This report is the monthly update from Washington, D.C. and Sacramento highlighting lobbyists' activities, OCSD legislative priorities and other information of interest to the Steering Committee. PRIOR COMMITTEE/BOARD ACTIONS None ADDITIONAL INFORMATION Federal Legislative Report Eric Sapirstein, ENS Resources Stimulus summary On February 17, President Obama signed the economic stimulus legislation into law after weeks of negotiations and compromise. The total package contains about$789 billion in spending and tax cuts and was approved with very little Republican support. Of particular interest, the legislation agreed upon by both Houses contains about$4 billion for wastewater programs, administered through the State Revolving Loan Fund program (SRF). Other important details are as follows: • Allocation of resources is based on the SRF allocation formula as detailed in the Clean Water and Safe Drinking Water Acts. This means, California will receive approximately $350 million for wastewater projects. • Of the total amount provided, EPA may use up to 1.5 percent for administrative costs and the States may use up to 4 percent. • Funding must be either under contract or projects must be under construction within 12 months of enactment or EPA can reallocate funding to other states. • Funding is directed to projects on the state priority lists that are ready to go to construction within 12 months of enactment. • Form No.omiw-i AgenN RepOn-SC Rrvleeol 01MSN7 Page 1 Book Page 39 • Not less than 50 percent of assistance will be in the form of a modified grant(principal forgiveness or negative interest loans). • Unlike the original bill, there is no affordability mandate, but there is language regarding assisting disadvantaged communities Washington, D.C.trip summary On February 9—10, Chairman Davert, Vice-chairman Crandall, Bob Ghirelli and Michael Gold visited Washington, D.C. to attend a series of meetings with OCSD's congressional delegation. The purpose of the meetings was to update the delegation on the status of the District's progress in meeting secondary treatment compliance mandates as well as discuss the federal funding priorities. Over the course of the trip, the Directors and Staff met with representatives from the offices of Senators Boxer and Feinstein as well as Representatives Calvert, Miller, Rohrabacher, Royce, Sanchez. We also met with representatives from EPA and the National Association of Clean Water Agencies (NACWA). State Legislative Report Chris Townsend and Heather Dion, Townsend Public Affairs Still no final deal It has been widely reported that legislative leaders reached a deal to close California's $42 billion deficit with a mix of spending cuts and tax increases. To meet the two-thirds threshold to pass the budget, three Republicans would have to vote for the plan in both the Assembly and Senate (if all Democrats vote for the plan too). As of this report, the budget lacks enough Republican support to pass. For OCSD, the current positive news is that the budget does not contain any property tax shifts from local government. The current plan closes the budget hole with: • $15.8 billion in spending reductions $14.3 billion in increase revenues to the State • $10.9 billion in borrowing • A number of policy changes to stimulate job creation and business growth Staff will provide an update at the meeting. TPA monthly activities • TPA has been OCSD's one-page summary of"shovel-ready" infrastructure projects to seek support from the Orange County delegation for these projects. • In January, TPA and Michael Gold met with staff from newly elected Assembly Members Hagman and Miller • TPA continues to monitor legislation that might impact OCSD and provide up-to- minute budget updates to staff. JR:mg Fom No.M 1021 Agenda Report-sc R—W OIN&0] Page 2 Book Page 40 ORANGE COUNTY SANITATION DISTRICT (714) 962-2411 www.ocsd.com Mailing Address: P.O. Box 8127 Fountain Valley, California 92728-8127 Street Address: 10844 Ellis Avenue Fountain Valley, California 92708-7018