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HomeMy WebLinkAbout05-23-2018 Steering Committee Agenda Packet.pdf Orange County Sanitation District Wednesday, May 23, 2018 Regular Meeting of the `� """�' N 5:00 P.M. STEERING COMMITTEE Administration Building t Conference Rooms A & B • 10844 Ellis Avenue Fountain Valley, CA 92708 F`rN� ,"E ENv\P (714) 593-7433 AGENDA CALL TO ORDER DECLARATION OF QUORUM: Clerk of the Board PUBLIC COMMENTS: If you wish to address the Committee on any item, please complete a Speaker's Form (located at the table at the back of the room) and submit it to the Clerk of the Board or notify the Clerk of the Board the item number on which you want to speak. Speakers will be recognized by the Chairperson and are requested to limit comments to three minutes. REPORTS: The Committee Chairperson and the General Manager may present verbal reports on miscellaneous matters of general interest to the Directors. These reports are for information only and require no action by the Directors. CONSENT CALENDAR: The Consent Calendar Items are considered to be routine and will be enacted, by the Committee, after one motion, without discussion. Any items withdrawn from the Consent Calendar for separate discussion will be considered in the regular order of business. 1. APPROVAL OF MINUTES (Clerk of the Board) RECOMMENDATION: Approve Minutes of the Regular Meeting of the Steering Committee held April 25, 2018. NON-CONSENT: 2. IRVINE RANCH WATER DISTRICT SOLIDS AGREEMENT EXTENSION (Rob Thompson) RECOMMENDATION: Recommend to the Board of Directors to: Approve Amendment No. 2 to the Agreement for Transfer of Wastewater Solids Residuals between the Irvine Ranch Water District (As Successor to County Sanitation District No. 14) and the Orange County Sanitation District, transferring solids from Irvine Ranch Water District's Michelson Water Recycling Plant to the Orange County Sanitation District Wastewater System and reimbursing the Orange County Sanitation District for its costs, in a form approved by General Counsel. 05/23/2018 Steering Committee Agenda Page 1 of 4 INFORMATION ITEMS: None. CLOSED SESSION: During the course of conducting the business set forth on this agenda as a regular meeting of the Board, the Chairperson may convene the Board in closed session to consider matters of pending real estate negotiations,pending or potential litigation, or personnel matters,pursuant to Government Code Sections 54956.8, 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 with employee representatives; or which are exempt from public disclosure under the California Public Records Act, may be reviewed by the Board during a permitted closed session and are not available for public inspection. At such time as the Board takes final action on any of these subjects, the minutes will reflect all required disclosures of information. CONVENE IN CLOSED SESSION. (1) CONFERENCE WITH REAL PROPERTY NEGOTIATORS (Government Code Section 54956.8) Property: 10950 Virginia Cir. Fountain Valley, CA - APN No.156-165-05; 10870 Spencer Ave. Fountain Valley, CA - APN No.156-163-07; 18480 Pacific St. Fountain Valley, CA - APN No.156-165-04; 18430 Pacific St. Fountain Valley, CA - APN No.156-165-06; 18370 Pacific St. Fountain Valley, CA - APN No.156-165-08; 18429 Pacific St. Fountain Valley, CA - APN No.156-163-09; 18410 Bandilier Cir. Fountain Valley, CA - APN No.156-163-10; 18368 Bandilier Cir. Fountain Valley, CA - APN No.156-163-11; 10700 Spencer St. Fountain Valley, CA - APN No.156-163-16; 10700 Spencer Ave. Fountain Valley, CA - APN No.156-154-07; 18386 Mt. Langley St. Fountain Valley, CA - APN No.156-154-06; 18385 Bandilier Cir. Fountain Valley, CA - APN No.156-163-12; 18401 Bandilier Cir. Fountain Valley, CA - APN No.156-163-13; 18424 Mt. Langley St. Fountain Valley, CA - APN No.156-154-05; 18435 Bandilier Cir. Fountain Valley, CA - APN No.156-163-14; 18475 Bandilier Cir. Fountain Valley, CA - APN No.156-163-15; 10725 Ellis Ave. Fountain Valley, CA - APN No.156-154-04; and 10540 Talbert Ave. Fountain Valley, CA - APN No.156-151-03 Agency negotiators: General Manager, Jim Herberg; Assistant General Manager, Bob Ghirelli; Assistant General Manager, Rob Thompson; Director of Finance and Administrative Services, Lorenzo Tyner; Engineering Managers, Kathy Millea and Jeff Mohr; CIP Project Manager, Tom Grant; Kevin Turner and John Gallivan, Cushman and Wakefield. Negotiating parties: Valley Business Park, APN Nos. 156-165-05, 156-165-06, 156-163-07; DK-USA LLC, APN No.156-165-04; Fountain Valley Industrial Parcel 13, APN No.156-165-08; 05/23/2018 Steering Committee Agenda Page 2 of 4 Sukut Real Properties LLC, APN Nos. 156-163-09, 156-163-10, 156-163-11; The Ins Trust Shabtai, Nevon, APN No. 156-163-16; The Ins Trust, APN No. 156-154-07; Fountain Valley Star LLC, APN No. 156-154-06; TN Sheet Metal Inc., APN No. 156-163-12; 18401 Bandilier LLC, APN No. 156-163-13; Phone Lilly Lin-Lin TR, APN No. 156-154-05; JDK Partners, APN No. 156-163-14; Chandler Real Properties, APN No. 156-163-15; Ellis Avenue LLC, APN No. 156-154-04; and SFII Fountain Valley LLC, APN No. 156-151-03 Under negotiation: Instruction to negotiator will concern price and terms of payment. 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: To the Steering Committee meeting scheduled for Wednesday, June 27, 2018 at 5:00 p.m. 05/23/2018 Steering Committee Agenda Page 3 of 4 Accommodations for the Disabled: Meeting Rooms are 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)593-7433 at least 72 hours prior to the scheduled meeting. Requests must specify the nature of the disability and the type of accommodation requested. Agenda Posting: In accordance with the requirements of California Government Code Section 54954.2,this agenda has been posted outside the main gate of the Sanitation District's Administration Building located at 10844 Ellis Avenue, Fountain Valley,California,and on the Sanitation District's website at www.ocsd.com 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 the Board of Directors, are available for public inspection in the office of the Clerk of the Board. Agenda Description: The agenda provides a brief general description of each item of business to be considered or discussed. The recommended action does not indicate what action will be taken. The Board of Directors may take any action which is deemed appropriate. NOTICE TO DIRECTORS: To place items on the agenda for a Committee or Board Meeting, items must be submitted to the Clerk of the Board 14 days before the meeting. Kelly A. Lore Clerk of the Board (714)593-7433 klore(a)ocsd.com For any questions on the agenda, Committee members may contact staff at: General Manager Jim Herberg (714)593-7300 iherberg(o-)ocsd.com Assistant General Manager Bob Ghirelli (714)593-7400 rghirelli(a)ocsd.com Assistant General Manager Rob Thompson (714)593-7310 rthompson(cDocsd.com Director of Environmental Services Jim Colston (714)593-7450 IcolstonCcDocsd.com Director of Finance and Lorenzo Tyner (714)593-7550 ItynerC@ocscl.com Administrative Services Director of Human Resources Celia Chandler (714)593-7202 cchandlerC@ocsd.com Director of Operations&Maintenance Ed Torres 714 593-7080 etorres ocsd.com 05/23/2018 Steering Committee Agenda Page 4 of 4 ITEM NO. 1 MINUTES OF THE STEERING COMMITTEE Orange County Sanitation District Wednesday, April 25, 2018 at 5:00 p.m. A regular meeting of the Steering Committee of the Orange County Sanitation District was called to order by Chair Sebourn on Wednesday, April 25, 2018 at 5:02 p.m. in the Administration Building of the Orange County Sanitation District. A quorum was declared present, as follows: COMMITTEE MEMBERS PRESENT: STAFF PRESENT: Greg Sebourn, Board Chair Jim Herberg, General Manager David Shawver, Board Vice-Chair Bob Ghirelli, Assistant General Manager Chad Wanke, Administration Committee Rob Thompson, Assistant General Chair Manager Ellery Deaton, Member-At-Large Celia Chandler, Director of Human Tim Shaw, Member-At-Large Resources Donald Wagner, Member-At-Large Jim Colston, Director of Environmental Services COMMITTEE MEMBERS ABSENT: Ed Torres, Director of Operations & John Withers, Operations Committee Maintenance Chair Lorenzo Tyner, Director of Finance & Administrative Services Kelly Lore, Clerk of the Board Janine Aguilar Jennifer Cabral Cliff Casanova Al Garcia Tom Grant Tina Knapp Mark Manzo Jeff Mohr Andrew Nau Tiffany Nguyen OTHERS PRESENT: Brad Hogin, General Counsel Gary Weisberg, Assistant General Counsel James Finete, Savage Finete, APLC 04/25/2018 Steering Committee Minutes Page 1 of 4 PUBLIC COMMENTS: No public comments were provided. REPORTS: Chair Sebourn announced that the Orange County Sanitation District and the Orange County Water District had recently won the Grand Prize for "Environmental Communications for the Groundwater Replenishment System Bottled Water Communications Campaign" from the American Academy of Environmental Engineers and Scientists. General Manager Herberg did not provide a report. CONSENT CALENDAR: 1. APPROVAL OF MINUTES (Clerk of the Board) MOVED, SECONDED, AND DULY CARRIED TO: Approve Minutes of the Regular Meeting of the Steering Committee held on March 28, 2018. AYES: Deaton; Sebourn, Shaw; Shawver; Wagner; and Wanke NOES: None ABSTENTIONS: None ABSENT: Withers NON-CONSENT: 2. TEMPORARY EMPLOYMENT SERVICES (Celia Chandler) Director of Human Resources Celia Chandler provided a brief overview of this item and responded to questions from the Committee. MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of Directors to: Authorize the General Manager to increase the current Temporary Employment Services (Specification No.CS-2009-421 BD) funding of $1,187,190 by $80,000 with temporary service firms for a new total amount not to exceed $1,267,190 for the remainder of the fiscal year (through June 30, 2018). AYES: Deaton; Sebourn, Shaw; Shawver; Wagner; and Wanke NOES: None ABSTENTIONS: None ABSENT: Withers 04/25/2018 Steering Committee Minutes Page 2 of 4 3. SELECTION OF 2018 HONOR WALK RECIPIENTS (Jim Herberg) Mr. Herberg introduced Public Affairs Supervisor Jennifer Cabral who provided an introduction to the item and provided information on each of the nominated recipients. MOVED, SECONDED, AND DULY CARRIED TO: A. Approve nominated former employees Barbara Collins and Doug Kanis as Honor Walk brick recipients for the year 2018. B. Approve former Board Member Willis H. Warner as Honor Walk brick recipient for the year 2018. AYES: Deaton; Sebourn, Shaw; Shawver; Wagner; and Wanke NOES: None ABSTENTIONS: None ABSENT: Withers INFORMATION ITEMS: None. CLOSED SESSION: CONVENED IN CLOSED SESSION PURSUANT TO GOVERNMENT CODE SECTIONS 54956.8, 54956.9(d)(1) & 54956.9(2): The Committee convened in closed session at 5:12 p.m. to discuss three items. Supplemental Item No. CS-4 was not heard. Confidential minutes of the Closed Sessions have been prepared in accordance with the above Government Code Sections and are maintained by the Clerk of the Board in the Official Book of Confidential Minutes of Board and Committee Closed Session Meetings. RECONVENED IN REGULAR SESSION: The Committee reconvened in regular session at 6:01 p.m. CONSIDERATION OF ACTION, IF ANY, ON MATTERS CONSIDERED IN CLOSED SESSION: General Counsel Brad Hogin did not provide a report. 04/25/2018 Steering Committee Minutes Page 3 of 4 OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY: None. ADJOURNMENT: Chair Sebourn declared the meeting adjourned at 6:01 p.m. to the next Steering Committee meeting to be held on Wednesday, May 23, 2018 at 5:00 p.m. Submitted by: Kelly A. Lore, MMC Clerk of the Board 04/25/2018 Steering Committee Minutes Page 4 of 4 STEERING COMMITTEE Meeting Date To Bd. of Dir. 05/23/18 05/23/18 AGENDA REPORT Item Number Item Number 2 Orange County Sanitation District FROM: James D. Herberg, General Manager Originator: Rob Thompson, Assistant General Manager SUBJECT: IRVINE RANCH WATER DISTRICT SOLIDS AGREEMENT EXTENSION GENERAL MANAGER'S RECOMMENDATION Approve Amendment No. 2 to the Agreement for Transfer of Wastewater Solids Residuals between the Irvine Ranch Water District (As Successor to County Sanitation District No. 14) and the Orange County Sanitation District, transferring solids from Irvine Ranch Water District's Michelson Water Recycling Plant to the Orange County Sanitation District Wastewater System and reimbursing the Orange County Sanitation District for its costs, in a form approved by General Counsel. BACKGROUND The Irvine Ranch Water District (IRWD) collects wastewater from homes and businesses within its boundaries and transfers some of the collected wastewater to the Orange County Sanitation District (Sanitation District) System for treatment. IRWD also owns and operates the Michelson Water Recycling Plant (MWRP). The MWRP treats the wastewater generated within Revenue Area 14 boundaries that is not transferred to the Sanitation District Wastewater System and produces reclaimed water for use within IRWD's boundaries. The MWRP does not currently have the capability to handle, treat, and dispose of primary and secondary settled solids (Solids). IRWD currently transfers Solids from the MWRP to the Sanitation District Wastewater System for further handling, treatment, and reuse. IRWD has decided to construct the necessary improvements at the MWRP so that the MWRP will be able to handle, treat, and reuse Solids. IRWD anticipates that such facilities will be complete not later than December 31 , 2021. These new MWRP facilities will eliminate the need for IRWD to transfer Solids to the Sanitation District Wastewater System, except when the MWRP Solids processing facilities may be shut down due to an emergency. Pending the completion of the proposed MWRP Solids Handling Facilities, IRWD will need to continue discharging wastewater solids residuals to the Sanitation District Wastewater System on an interim basis. This agreement sets forth the terms and conditions by which IRWD will reimburse the Sanitation District for the costs associated with these activities. Page 1 of 3 RELEVANT STANDARDS • Maintain collaborative and cooperative relationships with regulators, stakeholders, and neighboring communities and agencies • Actual collection, treatment, and disposal costs per million gallons track budget • Safe, beneficial reuse of Biosolids PROBLEM IRWD estimates the new Solids Processing Facilities at MWRP will not be completed by the current Agreement date of December 31 , 2018, and has requested an extension to the existing Agreement through December 31 , 2021 . PROPOSED SOLUTION Extend the Agreement for IRWD to remain in compliance with regulatory requirements. TIMING CONCERNS The current Agreement expires December 31, 2018. RAMIFICATIONS OF NOT TAKING ACTION IRWD would not be able to process Solids and operations of MWRP would be adversely affected. PRIOR COMMITTEE/BOARD ACTIONS June 2016 - Approved Amendment No. 1 to the Agreement for Transfer of Wastewater Solids Residuals between the Irvine Ranch Water District (As Successor to County Sanitation District No. 14) and Orange County Sanitation District, transferring solids from Irvine Ranch Water District's Michelson Water Recycling Plant to the Orange County Sanitation District Wastewater System and reimbursing the Orange County Sanitation District for its costs, in a form approved by General Counsel. April 2010 - Approved the Irvine Ranch Water District (IRWD) (As Successor to County Sanitation District No. 14) Solids Agreement transferring IRWD solids to the OCSD Wastewater System and reimbursing OCSD for its costs, in a form approved by General Counsel. ADDITIONAL INFORMATION This Agreement is intended to complement Section 8 of the January 1986 Agreement between CSDOC Nos. 1 , 2, 3, 7, 11 and 13 and CSDOC No. 14 and Section 7 of the February 1986 Agreement between CSDOC No. 14 and Irvine Ranch Water District by establishing the conditions by which the Sanitation District will allow IRWD to transfer Page 2 of 3 wastewater solids residuals to the Sanitation District Wastewater System during the interim period until the new MWRP Solids handling facilities are constructed. CEQA N/A FINANCIAL CONSIDERATIONS Carollo Engineers prepared a report setting forth its findings entitled, "IRWD/Sanitation District Biosolids Cost Study (June 2009)" (Carollo Report). The Sanitation District and IRWD have reviewed the Carollo Report and agree that the methodologies set forth therein for determining the costs of handling, treating, and disposing of Solids are equitable. ATTACHMENT The following attachment(s) in included in hard copy and may also be viewed on-line at the OCSD website (www.ocsd.com) with the complete agenda package: • Amendment No. 2 to Agreement for Transfer of Wastewater Solids Residuals • Amendment No. 1 to Agreement for Transfer of Wastewater Solids Residuals (May 2016) • Agreement for Transfer of Wastewater Solids Residuals (April 2010) KM:sa:gc Page 3 of 3 AMENDMENT NO. 2 TO AGREEMENT FOR TRANSFER OF WASTEWATER SOLIDS RESIDUALS This Amendment No. 2 to Agreement for Transfer of Wastewater Solids Residuals (this "Amendment No. 2") is effective as of , 2018 ("Effective Date") and is between the ORANGE COUNTY SANITATION DISTRICT ("OCSD") and the IRVINE RANCH WATER DISTRICT ("IRWD"). OCSD is a County Sanitation District, organized and existing pursuant to the County Sanitation District Act, California Health & Safety Code Section 4700 et seq. IRWD is a California Water District, organized and existing pursuant to the California Water District Law, California Water Code Section 34000 et seq. OCSD and IRWD are sometimes individually referred to herein as each "Party" and collectively as the "Parties." RECITALS This Amendment No. 2 is entered into with reference to the following facts: WHEREAS, the Parties entered into the Agreement for Transfer of Wastewater Solids Residuals, dated April 28, 2010 (the "Agreement"). Capitalized terms used herein and not otherwise defined shall have the meanings given such terms in the Agreement. WHEREAS, the Parties entered into Amendment No. 1 to the Agreement for Transfer of Wastewater Solids Residuals, dated May 23, 2016 ("Amendment No. 1"). WHEREAS, Section 7.2 of the Agreement provides that during the Initial Term, IRWD may notify OCSD that the date for completion of the project to construct solids handling facilities at MWRP has been delayed beyond December 31, 2016, in which event the Parties shall meet and confer in good faith to enter into an amendment to the Agreement to extend the Initial Term, including consideration of whether the duration of the extension requires any change to the methodology for calculating the interim Solids Handling Charge Capital Component. WHEREAS, IRWD has notified OCSD that the construction of the solids handling facilities at MWRP by IRWD's contractor is ongoing but completion will not occur prior to the expiration of the Initial Term on December 31, 2018 as provided in Amendment No. 1. WHEREAS, the Parties have met and conferred and determined that an additional three- year extension of the Initial Term will accommodate the expected completion of the MWRP solids handling facilities construction contract, and that such duration does not require any change to the current methodology for calculating the interim Solids Handling Charge Capital Component. WHEREAS, the Parties agree that the definition of"Solids" includes primary and secondary settled material only. 4846-4837-4373.1 1 AGREEMENT NOW, THEREFORE, in consideration of the mutual promises set forth herein, the Parties agree as follows: Section 1. Extension of Initial Term. (a) Section 6 of the Agreement is amended to read as follows: "Section 6. Initial Term. IRWD may transfer Solids to the OCSD Wastewater System in accordance with the terms of this Agreement from the effective date set forth above until the earlier of(i) the date that the proposed MWRP solids handling facilities are operational and all non- emergency discharges of wastewater solids residuals by IRWD to the OCSD Wastewater System have ceased, or(ii) December 31, 2021. This period shall be called the `Initial Term."' Section 2. Terms of Agreement. Except as expressly amended by this Amendment No. 2, all terms and conditions of the Agreement and Amendment No. 1 and all attachments and exhibits thereto, shall remain in full force and effect. IN WITNESS WHEREOF, this Amendment No. 2 has been executed in duplicate in the names of the respective Parties by their duly authorized officers, effective as of the day and year first above written. [Signatures on the following page.] 4846-4837-4373.1 2 ORANGE COUNTY SANITATION DISTRICT By Gregory C. Sebourn, PLS Chair, Board of Directors By James D. Herberg General Manager ATTEST: Kelly A. Lore MMC Clerk of the Board APPROVED AS TO FORM: BRADLEY R. HOGIN, GENERAL COUNSEL By IRVINE RANCH WATER DISTRICT By Paul Cook General Manager ATTEST: Leslie Bonkowski District Secretary APPROVED AS TO FORM: Lewis Brisbois Bisgaard & Smith, LLP By General Counsel 4846-4837-4373.1 3 AMENDMENT NO. 1 TO AGREEMENT FOR TRANSFER OF WASTEWATER SOLIDS RESIDUALS This Amendment No. 1 to Agreement for Transfer of Wastewater Solids Residuals (this "Amendment") is made and entered into,to be effective the 23rd day of May, 2016,by and between the ORANGE COUNTY SANITATION DISTRICT ("OCSD") and the IRVINE RANCH WATER DISTRICT, ("IRWD"). OCSD is a County Sanitation District, organized and existing pursuant to the County Sanitation District Act, California Health&Safety Code Section 4700 et seq. IRWD is a California Water District, organized and existing pursuant to the California Water District Law, California Water Code Section 34000 et seq. OCSD and IRWD are sometimes individually referred to herein as each "Party" and collectively as the "Parties." Capitalized terms used herein and not otherwise defined shall have the meanings given such terms in the Agreement. RECITALS This Amendment is entered into with reference to the following facts: WHEREAS,the Parties have entered into the Agreement for Transfer of Wastewater Solids Residuals, dated as of April 28, 2010(the"Agreement"); and WHEREAS, Section 7.2 of the Agreement provides that during the Initial Term, IRWD may notify OCSD that the date for completion of the project to construct solids handling facilities at MWRP has been delayed beyond December 31, 2016, in which event the Parties shall meet and confer in good faith to enter into an amendment to the Agreement to extend the Initial Term, including consideration of whether the duration of the extension requires any change to the methodology for calculating the interim Solids Handling Charge Capital Component; and WHEREAS, IRWD has notified OCSD that the construction of the solids handling facilities at MWRP by IRWD's contractor is ongoing but completion will not occur prior to the expiration of the Initial Term on December 31, 2016; and WHEREAS, the Parties have met and conferred and determined that a two-year extension of the Initial Term will accommodate the expected completion of the MWRP solids handling facilities construction contract, and that such duration does not require any change to the current methodology for calculating the interim Solids Handling Charge Capital Component; and WHEREAS, the Parties agree that the definition of"Solids" includes primary and secondary settled material only. 1 AGREEMENT NOW,THEREFORE, in consideration of the mutual promises set forth herein, the Parties agree as follows: Section 1. Extension of Initial Term. (a) Section 6 of the Agreement is amended to read as follows: ,,Section 6. Initial Term. IRWD may transfer Solids to the OCSD Wastewater System in accordance with the terms of this Agreement from the effective date set forth above until the earlier of(i) the date that the proposed MWRP solids handling facilities are operational and all non- emergency discharges of wastewater solids residuals by IRWD to the OCSD Wastewater System have ceased, or(ii) December 31, 2018. This period shall be called the `Initial Term."' (b) Upon the effective date of this Amendment, Section 7.2 of the Agreement shall be deleted in its entirety. Section 2. Terms of Agreement. Except as expressly amended by this Amendment, all terms and conditions of the Agreement and all attachments and exhibits thereto, shall remain in full force and effect. IN WITNESS WHEREOF, this Amendment has been executed in duplicate in the names of the respective Parties by their duly authorized officers,effective as of the day and year first above written. [Signatures on the following page.] 2 ORANGE COUNTY SANIT TION DISTRICT By C)(air Board of Directors By General Manager B erk h Boar APPROVED VAS TO FORM: BRADLEY R. HOGIN, GENERAL COUNSEL B Y ell/'I il) IRVINE RANCH WATER DISTRICT e By Pr i ent, Board of Directors By—Z General Manager By Ll� �C�,` T Secretary APPROVED AS TO FORM: BOWIE, ARNESON, WILES & GIANNONE B A Y 3 AGREEMENT FOR TRANSFER OF WASTEWATER SOLIDS RESIDUALS This Agreement is made and entered into, to be effective the J�' day of 2010,by and between the ORANGE COUNTY SANITATION DI RICT, ("OCSD") and the IRVINE RANCH WATER DISTRICT ("IRWD"). OCSD is a County Sanitation District, organized and existing pursuant to the County Sanitation District Act, California Health& Safety Code Sections 4700 et seq. IRWD is a California Water District organized and existing pursuant to the California Water District Law, California Water Code Section 34000 et seq. OCSD and IRWD are sometimes individually referred to herein as each"Party" and collectively as the "Parties." RECITALS This Amendment is entered into with reference to the following facts: WHEREAS, OCSD operates a system for the treatment and disposal of wastewater, including two sewage treatment plants in the cities of Fountain Valley and Huntington Beach (the "OCSD Wastewater System"). Before OCSD was formed in 1998,this system was jointly owned and operated by OCSD's nine predecessor agencies, County Sanitation District Nos. 1, 2, 3, 5, 6, 7, 11, 13 and 14 (the "Predecessor Agencies"). WHEREAS, IRWD collects wastewater from homes,businesses and other customers within IRWD's boundaries. IRWD transfers some of the collected wastewater to the OCSD Wastewater System for treatment and disposal. The terms and conditions of this transfer are set forth in two existing agreements: (1)the Agreement"For Purchase and Sale of Capacity Rights In Treatment, Disposal and Sewer Facilities,"dated as of January 1, 1986, among former County Sanitation District No. 14 and the other eight Predecessor Agencies ("January 1986 Agreement"); and (2) the agreement"Acquiring Ownership Interests, Assigning Rights and Establishing Obligations,"dated February 13, 1986 between IRWD and former County Sanitation District No. 14 (the "February 1986 Agreement"). OCSD is the successor in interest to the Predecessor Agencies and County Sanitation District No. 14. WHEREAS, IRWD owns and operates the Michelson Water Recycling Plant ("MWRP"). The MWRP treats the wastewater generated within IRWD's boundaries that is not transferred to the OCSD Wastewater System, and produces reclaimed water for use within IRWD's boundaries. The MWRP does not currently have the capability to handle, treat and dispose of wastewater solids residuals ("Solids"). Thus, IRWD currently transfers Solids from the MWRP to the OCSD Wastewater Treatment for further handling, treatment and disposal; and WHEREAS, Section 8 of the January 1986 Agreement and Section 7 of the February 1986 Agreement establish the requirements governing IRWD's transfer of Solids to the OCSD Wastewater System. Under these Sections, IRWD may not transfer Solids to OCSD's wastewater system unless and until the transfer is approved in advance by OCSD. Prior to approving the transfer of Solids, OCSD must consider the impacts of any proposed 1 675510.2 transfer through engineering studies and other studies. If the studies, or subsequent experience, demonstrate that the transfer of Solids from IRWD to the OCSD Wastewater System will create problems or require additional costs, then OCSD may place conditions on any such transfer, establish charges for any such transfer, or prohibit transfer of Solids altogether; and WHEREAS, in May of 1986, OCSD retained the firm of James M. Montgomery Consulting Engineers to study the impacts of IRWD's proposed transfer of Solids to the OCSD Wastewater System, and recommend the terms and conditions of the proposed transfer. The results of this study were documented in a report entitled "Engineering Evaluation of the Proposed Disposal of Solids Residuals from the Irvine Ranch Water District," (July 1986) ("Montgomery Report"). On December 10, 1986, after considering the Montgomery Report, OCSD granted permission to IRWD to transfer Solids in accordance with the recommendations set forth in the Montgomery Study. WHEREAS, IRWD has decided to construct the necessary improvements at the MWRP so that the MWRP will be able to handle,treat, and dispose of Solids. IRWD anticipates that such facilities will be complete as early as 2014,but not later than 2016. These new MWRP facilities will eliminate the need for IRWD to transfer Solids to the OCSD Wastewater System, except when the MWRP Solids processing facilities may be shut down due to an emergency. Pending the completion of the proposed MWRP Solids handling facilities, IRWD will need to continue discharging wastewater solids residuals to the OCSD Wastewater System on an interim basis; and WHEREAS, the Sanitation District has determined that the terms and conditions governing IRWD's transfer of Solids to the OCSD Wastewater System must be reevaluated because (1)the OCSD Wastewater System has changed considerably since 1986, and(2) the findings and recommendations set forth in the Montgomery Report are significantly outdated. To that end, the Parties jointly retained the engineering firm Carollo Engineers to determine the equitable cost-of-service and resulting rate structure that should apply to the handling, treatment, and disposal of Solids transferred from IRWD to the OCSD Wastewater System until the completion of the proposed MWRP Solids handling facilities. Carollo Engineers prepared a report setting forth its findings entitled"IRWD/OCSD Biosolids Cost Study" (June 2009) (the "Carollo Report"). A copy of the Carollo Report is attached hereto as Exhibit"A" and incorporated herein by reference; and WHEREAS, the Parties have reviewed the Carollo Report and agree that the methodologies set forth therein for determining the costs of handling,treating, and disposing of Solids are equitable. This Agreement is intended to implement Section 8 of the January 1986 Agreement and Section 7 of the February 1986 Agreement by establishing the conditions by which OCSD will allow IRWD to transfer wastewater solids residuals to the OCSD Wastewater System during the interim period until the new MWRP Solids handling facilities are constructed. 2 675510.2 AGREEMENT NOW, THEREFORE, in consideration of the mutual promises set forth herein,the Parties agree as follows: Section 1. Approval of Interim Solids Transfer. Pursuant to Section 8 of the January 1986 Agreement and Section 7 of the February 1986 Agreement, OCSD hereby approves IRWD's transfer of Solids to the OCSD Wastewater System, subject to the terms and conditions set forth in this Agreement, during the term of this Agreement set forth below in Sections 6 and 7. Section 2. Solids Handling Charge, Components. IRWD shall pay to OCSD a charge for interim Solids handling ("Solids Handling Charge"). This charge shall be calculated according to Section 3. The charge shall include two components: (i) a"Capital Component" designed to reimburse OCSD for IRWD's share of the cost of constructing new capital improvements needed to treat Solids; and (ii) an"O&M Component" designed to compensate OCSD for IRWD's share of the cost of operating and maintaining the existing facilities for the treatment of Solids. Section I. Calculation of the Solids Handling Charge. 3.1. Calculation of Capital Component. The Capital Component of each interim Solids Handling Charge shall be based on the net book value (Original Cost Less Depreciation) of the OCSD Wastewater System facilities temporarily impacted by the handling of wastewater solids residuals delivered by IRWD, amortized over thirty(30)years at the average rate of return earned on OCSD investments during the fiscal year for which the annual capital component payment is being calculated. The Parties agree that the temporarily impacted facilities shall include existing facilities (as identified by the Carollo Report), any capital repairs and replacements of such facilities made during the term of this Agreement, and project P1-101 when that project is complete and placed into service. The capital component of the interim solids handling payments shall not be refundable nor shall IRWD be deemed to acquire any equity ownership by reason of the capital component payments. The capital component, including the retroactive amount pursuant to Section 5, shall fully satisfy IRWD's obligation to compensate OCSD for the OCSD Wastewater System capacity used by the wastewater solids residuals delivered during and prior to the Term hereof. Without limiting the foregoing, IRWD shall not be responsible for any"buy in" fee or additional capital contributions. The calculation of the Capital Component is illustrated in Exhibit`B," attached hereto and incorporated herein by this reference. 3.2. Calculation of O&M Component. The O&M Component of each interim solids handling charge shall be computed in accordance with the methodology set forth in the Carollo Report. 3.3. Data Measurement and Collection. For purposes of computing the Capital Component and the O&M Component of the Solids Handling Charge,the Solids delivered by 3 675510.2 IRWD to the OCSD Wastewater System during each fiscal year shall be measured using the mass balance model set forth in the Carollo Report, as follows: process data necessary for the model will be gathered from both MWRP and the OCSD Wastewater System. These data will be based on the quarterly average of daily values collected from MWRP and the OCSD Wastewater System. The model data will be updated at the end of each fiscal year with OCSD's audited financial statements, capital improvement project(CIP) cost information supplied by OCSD consistent with its audited financial statements and OCSD's and IRWD's recorded annual flows and loads. These updates will result in automatic recalculation of the Capital Component and O&M Component unit costs for the fiscal year then ended. To calculate the IRWD capital and O&M Component payments,the mass balance model shall be updated annually with the CIP cost information supplied by OCSD and the known flows and loads of wastewater solids residuals discharged by IRWD from MWRP and known annual values from OCSD. The annual OCSD flow and load values will be used in the development of O&M Component unit costs and will be used,together with the CIP cost information supplied by OCSD, in the development of Capital Component unit costs for solids residuals handling. The annual MWRP data shall be used to determine the MWRP solids load to OCSD. The Capital Component and O&M Component of the IRWD payments shall then be calculated by multiplying the quarterly MWRP solids load by the Capital Component unit cost and O&M Component unit cost. IRWD's solids residuals flow streams will be measured through existing meters at MWRP as described in the Carollo Report. The sum of these flows shall be subtracted from the total wastewater flow through the Main Street flume on the gallonage flow summary prior to calculation of the separate amount owed by IRWD for its raw wastewater discharges pursuant to the January 1986 Agreement and the February 1986 Agreement. Section 4. Payment of Solids Handling Charge. 4.1. Annual Payment of Capital Component. IRWD shall pay the Capital Component portion of the Solids Handling Charge to OCSD annually, not later than December 31, 2010 and not later than December 31 of each year thereafter. Each annual payment shall constitute payment of the capital cost for the wastewater solids residuals discharged by IRWD to the OCSD Wastewater System during the fiscal year ended on June 30 preceding the December 31 payment date. The payment amount for the first three quarters shall be based on actual flows. To the extent that actual data for the fourth quarter is not available by the statement preparation date specified pursuant to Paragraph 4.3, the payment amount for the fourth quarter may be an estimate based on a calculation using the actual data for the fourth quarter of the preceding fiscal year and shall be subject to reconciliation in the following year's annual payment, by adding any deficiency or crediting any excess, as the case may be, to such payment. 4.2. Quarterly Payment of O&M Component; Annual Reconciliation. IRWD shall pay the O&M component of the Solids Handling Charge to OCSD quarterly. The quarterly payment for each fiscal quarter will be paid not later than the close of such fiscal quarter, September 30, December 31, March 31 and June 30, and will be calculated as an estimated payment based on the actual flow for the corresponding quarter of the preceding fiscal year. By December 31 of each year, OCSD shall calculate the actual O&M component for each quarter of the fiscal year that ended on June 30 of such year. To the extent that the quarterly estimated payments by IRWD for such fiscal year exceeded the actual O&M component, 4 675510.2 OCSD shall return any excess to IRWD within thirty(30)days. To the extent that the quarterly estimated payments by IRWD for such fiscal year are less than the actual O&M component, IRWD shall pay the amount of the deficiency to OCSD within thirty(30) days 4.3. Statements. OCSD shall, on or before October 31, January 31, April 30 and July 31,provide a written statement to IRWD setting forth the quarterly O&M component charge next coming due determined as provided in Paragraph 4.2 for each fiscal quarter. OCSD shall, on or before September 30 following the close of the fiscal year,provide a written statement to IRWD setting forth the calculation of(i)the capital component for that fiscal year, including any reconciliation of the prior year's fourth-quarter capital component amount, as specified in Paragraph 4.1, and(ii)the reconciliation of the quarterly O&M component amounts to actual amounts for that fiscal year, as specified in Paragraph 4.2. The Parties acknowledge that on or prior to the execution of this Agreement, OCSD has presented a statement to IRWD for the fiscal year ended June 30, 2009. 4.4. Audit. IRWD may, at its own expense, engage an independent accounting firm on an annual basis to audit OCSD's records relating to the Solids Handling Charge. In the event IRWD elects to do so, OCSD will provide such accountants with access to its records and information as is needed to perform such review. Any such annual review must be completed within three years following the end of the fiscal year under review. The Parties shall meet and confer to consider the results of any such audit. Section 5. Retroactive Payments. Concurrent with the execution of this Agreement, IRWD shall pay OCSD a Capital Component charge for Solids delivered to the OCSD Wastewater System during the fiscal year ended June 30, 2009. This charge shall be computed in the same manner as herein provided for annual Capital Component charges. The Capital Component charge due on December 31, 2010 shall be for the entire fiscal year ended June 30, 2010, including the portion thereof prior to the effective date of this Agreement. The Parties acknowledge that IRWD has paid quarterly O&M Component payments for such fiscal year ended June 30, 2009 and for the concluded quarters of the current fiscal year in progress. Section 6. Initial Term. IRWD may transfer Solids to the OCSD Wastewater System in accordance with the terms of this Agreement from the effective date set forth above until the earlier of(i)the date that the proposed MWRP solids handling facilities are operational and all non-emergency discharges of wastewater solids residuals by IRWD to the OCSD Wastewater System have ceased, or (ii)December 31, 2016. This period shall be called the"Initial Term." Section 7. Discharges After Initial Term. After the Initial Term, IRWD may continue to discharge Solids to the OCSD Wastewater System in accordance with Sections 7.1, 7.2, or 7.3 below. 5 675510.2 7.1. Termination of MWRP Solids Project. If, during the Initial Term, IRWD notifies OCSD that the project to construct Solids handling facilities at the MWRP has been terminated for infeasibility or other reason, IRWD will have the option to purchase Solids handling capacity from OCSD in accordance with the methodology described in the Carollo Report. In such event,the Parties shall meet and confer in good faith to negotiate a new agreement governing the transfer of Solids from IRWD to the OCSD Wastewater System. Any such new agreement shall address, among other issues, the purchase price for IRWD's Solids handling capacity and IRWD's ongoing capital and O&M charges. 7.2. Delay of MWRP Solids Project. If, during the Initial Term, IRWD notifies OCSD that completion of the project to construct Solids handling facilities at the MWRP has been delayed beyond December 31, 2016,the Parties shall meet and confer in good faith to prepare and enter into an amendment to this Agreement setting forth an extension of the Initial Term and an adjusted methodology for the interim Solids Handling Charge Capital Component that reflects a reasonable and appropriate capital payment for the use of expansion facilities taking into consideration the duration of the delay. 7.3. Emergency Upset and Outage Transfers. If the Initial Term expires pursuant to Section 6, and the Agreement has not been extended pursuant to Section 7.2 or replaced pursuant to Section 7.1, IRWD may discharge wastewater solids residuals to the OCSD Wastewater System if, and only if, the MWRP suffers an emergency resulting in an upset or outage of the MWRP Solids handling facilities. Such transfer shall not exceed a period of seven(7) consecutive days, nor a cumulative total of fourteen(14) days in any fiscal year. IRWD shall notify OCSD immediately of any emergency resulting in an upset or outage of the MWRP Solids handling facilities. IRWD shall also work cooperatively with OCSD during any emergency to ensure that OCSD is no adversely impacted. IRWD shall pay to OCSD for any such emergency transfer(s) annually. Such payment(s) shall be computed and paid in the same manner as raw wastewater flows under the January 1986 Agreement and the February 1986 Agreement. In the event that IRWD suffers repeated emergencies resulting in upset or outage of the MWRP Solids handling facilities exceeding a period of seven (7) consecutive days, or a cumulative total of fourteen(14) days in any fiscal year, OCSD reserves the right to refuse the emergency transfer of solids from IRWD and/or impose additional conditions or charges on any such transfer. On request, IRWD shall provide OCSD with any MWRP operational data that OCSD needs to assess the potential impact of emergency transfers on OCSD's Wastewater System. IRWD's contractual right to transfer Solids to the OCSD Wastewater System under this Section 7.3 shall terminate when the January 1986 Agreement and the February 1986 Agreement have been terminated. Section 8. Assignment. This Agreement may not be assigned, in whole or in part, by either party without the prior written consent of the other Party. Section 9. Applicable Law. This Agreement shall be governed by the laws of the State of California. 6 675510.2 Section 10. Complete Agreement. This Agreement contains the full and complete agreement between the two Parties pertaining to the subject matter hereof. All modifications must be in writing and approved by OCSD's and IRWD's Board of Directors. No oral agreements or representations or statements by any officer or employee of either Party shall affect or modify any of the terms and conditions of this Agreement. Section 11. Prior Agreements. This Agreement is intended to implement Section 8 of the January 1986 Agreement and Section 7 of the February 1986 Agreement. Except as expressly amended by this Agreement, all terms and conditions of prior Agreements between the Parties, and all attachments and exhibits thereto, shall remain in full force and effect. IN WITNESS WHEREOF, this Agreement has been executed in duplicate in the names of the respective Parties by their duly authorized officers, effective as of the day and year first above written. [Signatures on the following page.] ORANGE COUNTY SANITATION DISTRICT By Chair, Boar irectors By eral Manager By Cler of e oard APPROVED AS TO FORM: BRADLEY R. HOGIN, GENERAL COUNSEL By 7 675510.2 IRVINZRANCH ATER D STRICT By Preside �do irectors ;)vBy Gener 1 Manager Secretary APPROVED AS TO FORM: BOWIE, ARNESON, WILES & GIANNONE B / Y L 8 675510.2 Exhibit B Capital Cost Component Calculation IRVINE RANCH WATER DISTRICT ORANGE COUNTY SANITATION DISTRICT 1)Determine depreciated value of OCSD Treatment system and allocate it to flow,BOD and TSS. System Value $ 993,506,385 Year of Costs Functional Cost Allocation 2008 Flow BOD TSS Other I Check Notes: OCSD SYSTEM VALUE Preliminary Treatment $ 164,712,944 75% 5% 0% 20%, 100% No TSS Impact on Preliminary Treatment. Primary Treatment $ 113,826,923 0% 30% 70% 0% 100% Secondary Treatment $ 155,778,117 0% 0% 0% 100% 100% No BOD Impact on Secondary Treatment Effluent Disinfection $ 6,179,389 100% 0% 0% 0% 100% Effluent Disposal $ 287,909,798 100% 0% 0% 0% 100% Solids Conveyance $ 15,910,749 0% 20% 80% 0%, 100% Primary Solids Thickening $ 579,972 0% 30% 70% 0% 100% Secondary Solids Thickening $ 579,972 0% 0% 0% 100% 100% No Impact to Solids Thickening(No WAS) Digestion $ 48,188,989 0% 25% 75% 0% 100% Dewatering $ 8,411,702 0% 20% 80% 0% 100% Solids Disposal $ 427,331 0% 45% 55% 0% 100% Odor Control $ 12,276,502 44% 32% 24% 0% 100% General Plant $ 37,706,152 44%, 32%, 24%, 0% 100% Shared Collection System $ 83,253,221 100% 0% 0% 0% 100% Utilities $ 25,136,218 44% 32% 24% 0% 100% As General Plant Power Generation $ 13,684,838 44%, 32%, 24% 0% 100% As General Plant Structures 1$ 18,943,569 1 1 44% 32% 24%, 0% 100% Process related Structure Values.As General Plant $ 993,506,385 $548,285,919 $ 94,140,881 $161,778,908 $ 189,300,677 Total Treatment Allocation: $ 804,205,707 $548,285,919 $ 94,140,881 $161,778,908 Percentage Allocation. 68�/. 12% i IRWD Base Lease and YR1 CTD+08-09 CIP Lease Payments(3)(2).xis C:\Documents and Settings\brandt\Local Settings\Temporary Internet Files\Content.Outlook\NFQVSW&\UMD Base Lease and YR1 CTD+08-09 CIP Lease Payments(3)(2).xls t of 2)Calculate unit cap dal values for OCSD treatment system for flow,BOD and TSS. Flow BOD TSS RATE CALCULATION $548 285 gig $ 94,140,881 $161,778,908 Total T.S.S. Total Flow Total B.O.D. Qbs/Yr) Cost Allocation (mslyr) (1 162,310,499 190,828,845 77,015,000 2008-09 OCSD Data lbs $11,000 gals $ i$0.58bs 0 D $,$0 85S $7.12 Unit Costs 3)Calculate excess BOD and TSS loading for IRWD solids flow.times unit capital values. Total T.S.S. excess loading otal Flow Total st'fl) (ib�) 4)MultiplY pbsM) (t,000 gauyr) 645,049 11,775,843 20,583,460 2008-09 IRWD Data 645,049 i1775843 20,583,460 $4,592,239 $6,830,046 $17,450,033 IRWD Treatment Component Shares $28,872,318 IRWD Total Ca ital Share dal cost payment at OCSD current rate of return ammotized over 30 yea fs 5)Calculate annual IRWD cap' 2.9% OCSD Investment Rate of Return 80 Years Amortization Period $1,454,067.25 IRWD Annual Capital Component Payment 2of2 2 xls payments(3)(2).xls \CD Base Lease and M T\��Base 9 `�Se and YR1 CTD+08-09 CIP Lease IRWD Base tease and YR1 CTD+08-09 CIP Lease Payments(3) C:\Documents and Settings\brandOLocal Settings\Temporary Internet Files WOODRUFF, $PRADUN&SMART CLOSED SESSION 555 ANTON BOULEVARD, SUITE 1200 COSTA MESA, CA 92626-7670 (714)558-7000 MEMORANDUM TO: Hon. Chair and Members of the Orange County Sanitation District Steering Committee FROM: Bradley R. Hogin, Esq. General Counsel DATE: May 14, 2018 RE: Closed Session Items The Steering Committee will hold a closed session on May 23, 2018 for the purpose of conferring with its negotiators regarding the purchase of real property. The negotiating parties and properties are as follows: Valley Business Park, APN Nos. 156-165-05, 156-165-06, 156-163- 07; DK-USA LLC, APN No.156-165-04; Fountain Valley Industrial Parcel 13, APN No.156-165- 08; Sukut Real Properties LLC, APN Nos. 156-163-09, 156-163-10, 156-163-11; The Ins Trust Shabtai,Nevon,APN No. 156-163-16; The Ins Trust,APN No. 156-154-07; Fountain Valley Star LLC, APN No. 156-154-06; TN Sheet Metal Inc., APN No. 156-163-12; 18401 Bandilier LLC, APN No. 156-163-13; Phone Lilly Lin-Lin TR, APN No. 156-154-05; JDK Partners, APN No. 156-163-14; Chandler Real Properties, APN No. 156-163-15; Ellis Avenue LLC, APN No. 156- 154-04; and SFII Fountain Valley LLC, APN No. 156-151-03. The District's negotiators are Jim Herberg, Bob Ghirelli, Lorenzo Tyner, Rob Thompson, Kathy Millea and Jeff Mohr, Tom Grant, Kevin Turner and John Gallivan, Cushman and Wakefield. Said closed session will be held pursuant to authority of California Government Code Section 54956.8. Respectfully submitted, By Bradle R. Hogin, eeneral Counsel 1316983.1 ORANGE COUNTY SANITATION DISTRICT COMMON ACRONYMS Association of California Local Agency Formation Santa Ana River Flood ACWA Water Agencies LAFCO Commission SARFPA Protection Agency APWA American Public Works LOS Level Of Service SARI Santa Ana River Association Interceptor AQMD Air Quality Management MGD Million Gallons Per Day SARWQCB Santa Ana Regional Water District Quality Control Board ASCE American Society of Civil MOU Memorandum of SAWPA Santa Ana Watershed Engineers Understanding Project Authority BOD Biochemical Oxygen Demand NACWA National Association of Clean SCADA Supervisory Control And Water Agencies Data Acquisition California Air Resources Non-Governmental Southern California CARB Board NGOs Organizations SCAP Alliance of Publicly Owned Treatment Works CASA California Association of NPDES National Pollutant Discharge SCAQMD South Coast Air Quality Sanitation Agencies Elimination System Management District CCTV Closed Circuit Television NWRI National Water Research SOCWA South Orange County Institute Wastewater Authority CEQA California Environmental O&M Operations&Maintenance SRF Clean Water State Quality Act Revolving Fund CIP Capital Improvement OCCOG Orange County Council of SSMP Sewer System Program Governments Management Plan CRWQCB California Regional Water OCHCA Orange County Health Care SSO Sanitary Sewer Overflow Quality Control Board Agency CWA Clean Water Act OCSD Orange County Sanitation SWRCB State Water Resources District Control Board CWEA California Water Environment OCWD Orange County Water District TDS Total Dissolved Solids Association EIR Environmental Impact Report OOBS Ocean Outfall Booster Station TMDL Total Maximum Daily Load EMT Executive Management Team OSHA Occupational Safety and TSS Total Suspended Solids Health Administration US Environmental Protection Professional Waste Discharge EPA Agency PCSA Consultant/Construction WDR Requirements Services Agreement FOG Fats, Oils, and Grease PDSA Professional Design Services WEF Water Environment Agreement Federation gpd gallons per day POTW Publicly Owned Treatment WERF Water Environment& Works Reuse Foundation GWRS Groundwater Replenishment ppm parts per million WIFIA Water Infrastructure System Finance and Innovation Act Professional Services Water Infrastructure ICS Incident Command System PSA Agreement WIIN Improvements for the Nation Act IERP Integrated Emergency RFP Request For Proposal WRDA Water Resources Response Plan Development Act JPA Joint Powers Authority RWQCB Regional Water Quality Control Board ORANGE COUNTY SANITATION DISTRICT GLOSSARY OF TERMS ACTIVATED SLUDGE PROCESS—A secondary biological wastewater treatment process where bacteria reproduce at a high rate with the introduction of excess air or oxygen and consume dissolved nutrients in the wastewater. BENTHOS —The community of organisms, such as sea stars, worms, and shrimp, which live on, in, or near the seabed, also known as the benthic zone. BIOCHEMICAL OXYGEN DEMAND (BOD) — The amount of oxygen used when organic matter undergoes decomposition by microorganisms.Testing for BOD is done to assess the amount of organic matter in water. BIOGAS—A gas that is produced by the action of anaerobic bacteria on organic waste matter in a digester tank that can be used as a fuel. BIOSOLIDS—Biosolids are nutrient rich organic and highly treated solid materials produced by the wastewater treatment process. This high-quality product can be recycled as a soil amendment on farmland or further processed as an earth-like product for commercial and home gardens to improve and maintain fertile soil and stimulate plant growth. CAPITAL IMPROVEMENT PROGRAM (CIP) — Projects for repair, rehabilitation, and replacement of assets. Also includes treatment improvements, additional capacity, and projects for the support facilities. COLIFORM BACTERIA—A group of bacteria found in the intestines of humans and other animals, but also occasionally found elsewhere, used as indicators of sewage pollution. E. coli are the most common bacteria in wastewater. COLLECTIONS SYSTEM — In wastewater, it is the system of typically underground pipes that receive and convey sanitary wastewater or storm water. CERTIFICATE OF PARTICIPATION (COP)—A type of financing where an investor purchases a share of the lease revenues of a program rather than the bond being secured by those revenues. CONTAMINANTS OF POTENTIAL CONCERN (CPC) — Pharmaceuticals, hormones, and other organic wastewater contaminants. DILUTION TO THRESHOLD (D/T) —The dilution at which the majority of people detect the odor becomes the D/T for that air sample. GREENHOUSE GASES (GHG) — In the order of relative abundance water vapor, carbon dioxide, methane, nitrous oxide, and ozone gases that are considered the cause of global warming ("greenhouse effect"). GROUNDWATER REPLENISHMENT SYSTEM(GWRS)—Ajoint water reclamation project that proactively responds to Southern California's current and future water needs. This joint project between the Orange County Water District and the Orange County Sanitation District provides 70 million gallons per day of drinking quality water to replenish the local groundwater supply. LEVEL OF SERVICE (LOS)—Goals to support environmental and public expectations for performance. N-NITROSODIMETHYLAMINE (NDMA) — A N-nitrosamine suspected cancer-causing agent. It has been found in the Groundwater Replenishment System process and is eliminated using hydrogen peroxide with extra ultra-violet treatment. NATIONAL BIOSOLIDS PARTNERSHIP (NBP)—An alliance of the National Association of Clean Water Agencies and Water Environment Federation, with advisory support from the US Environmental Protection Agency. NBP is committed to developing and advancing environmentally sound and sustainable biosolids management practices that go beyond regulatory compliance and promote public participation to enhance the credibility of local agency biosolids programs and improved communications that lead to public acceptance. PLUME—A visible or measurable concentration of discharge from a stationary source or fixed facility. PUBLICLY OWNED TREATMENT WORKS (POTW)—A municipal wastewater treatment plant. SANTA ANA RIVER INTERCEPTOR (SARI) LINE—A regional brine line designed to convey 30 million gallons per day of non- reclaimable wastewater from the upper Santa Ana River basin to the ocean for disposal, after treatment. SANITARY SEWER — Separate sewer systems specifically for the carrying of domestic and industrial wastewater. Combined sewers carry both wastewater and urban runoff. SOUTH COAST AIR QUALITY MANAGEMENT DISTRICT (SCAQMD) — Regional regulatory agency that develops plans and regulations designed to achieve public health standards by reducing emissions from business and industry. SECONDARY TREATMENT — Biological wastewater treatment, particularly the activated sludge process, where bacteria and other microorganisms consume dissolved nutrients in wastewater. SLUDGE—Untreated solid material created by the treatment of wastewater. TOTAL SUSPENDED SOLIDS(TSS)—The amount of solids floating and in suspension in wastewater. TRICKLING FILTER—A biological secondary treatment process in which bacteria and other microorganisms, growing as slime on the surface of rocks or plastic media, consume nutrients in wastewater as it trickles over them. URBAN RUNOFF—Water from city streets and domestic properties that carry pollutants into the storm drains, rivers, lakes, and oceans. WASTEWATER—Any water that enters the sanitary sewer. WATERSHED—A land area from which water drains to a particular water body. The Orange County Sanitation District's service area is in the Santa Ana River Watershed.