Loading...
HomeMy WebLinkAboutAgenda Statement 1985/04/23 Item 7 COUNCIL AGENDA STATEMENT Item 7 Meeting Date 4/23/85 ITEM TITLE: Resolution / Ze O ( Approving Sixth Amendment to Sewage Disposal Agreement SUBMITTED BY: Director of Public Works/City Engineer �. REVIEWED BY: City Manager (4/5ths Vote: Yes No X ) In November and December of 1984 Chula Vista entered into two agreements relative to the sale of Metropolitan Sewerage System capacity with the Spring Valley Sanitation District and the Lakeside Sanitation District respectively. In order to fully effectuate those sales, it is now necessary to execute an amendment to the Sewage Disposal Agreement of 1960 between the City of San Diego and the City of Chula Vista (Metro Agreement). RECOMMENDATION: That the City Council by resolution approve the Sixth Amendment to the Metro Agreement and authorize and direct the Mayor to execute said Agreement on behalf of the City. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: By agreement with the Spring Valley Sanitation District the City has agreed to sell that agency 1 .0 million gallons per day (MGD) in capacity rights in the Metro system. That sale was conditioned upon the following: 1 . Approval of the sale by Metro. 2. Payment of $50,928 annually to Chula Vista and $12,098 annually to Metro for approximately 19 years. By separate agreement with the Lakeside Sanitation District, the City has agreed to sell that agency 0.1 MGD in Metro capacity rights. That sale was conditioned upon the following: 1 . Approval of the sale by Metro. 2. Payment of $5,270 annually to Chula Vista and $1 ,210 to Metro for approximately 19 years. Per terms of the Metro Agreement, any sale or transfer of capacity in the Metro system must be finalized through amendment to the Metro Agreement. San Diego has indicated its intent to a drove the individual sales agreements L _i, /..' CflL!.iiu L; .� .a Page 2, Item 7 Meeting Date 4/23/85 previously described concurrent with a Sixth Amendment to the Metro Agreement reflecting the total change in capacity represented by both sales (1 .1 MGD). The amendment has been prepared by San Diego and reviewed by Engineering staff and is now submitted for Council consideration. The proposed amendment formalizes the reduction in total Metro capacity held by Chula Vista from 18.2 MGD to 17.1 MGD. It further reduces the City's annual Metro capacity expense from $207,484 to $194,176. This formal change in obligations will be effective as of July 1 , 1985. FISCAL IMPACT: This amendment will reduce annual City expense for Metro capacity by $13,308. The City will receive annual payments totalling $56,198 per year for approximately 19 years. WEH:nr/ WPC 1482E