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HomeMy WebLinkAboutAgenda Statement 1983/12/13 Item 11 COUNCIL AGENDA STATEMENT Item 11 Meeting Date 12-13-83 ITEM TITLE: Resolution //`/ Approving Fourth Amendment to Sewage Disposal Agreement SUBMITTED BY: City Engineer (4/5ths Vote: Yes No X ) REVIEWED BY: City Manager In April 1982, Chula Vista entered into agreement relative to the sale of Metropolitan Sewage System capacity to the Spring Valley Sanitation District. In order to fully effectuate that sale, 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. RECOMMENDATION: That City Council by resolution approve the Fourth Amendment to Sewage Disposal Agreement of 1960 between the City of San Diego and the City of Chula Vista, and authorize and direct the Mayor to execute said Amendment on behalf of the City. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: By agreement dated April 20, 1982, the City agreed to sell Spring Valley Sanitation District 1.7 million gallons per day (MGD) in capacity rights in the Metro Sewage System (Metro) . That sale was conditioned upon the following: 1 . Annexation of the Rancho San Diego area to Spring Valley Sanitation District (District) . 2. Payment of 1-1/4% per month interest by the District until completion of the annexation. 3. Payment of $617,902.40 by the District to the City upon completion of the annexation. 4. Approval of the sale by Metro. All of the above conditions have been met. Per terms of the Sewage Disposal Agreement of 1960 between the City of San Diego and the City of Chula Vista (Metro Agreement) any sale or transfer of capacity in Metro must be formalized through amendment to the Metro Agreement. The appropriate amendment has been prepared by San Diego and reviewed by Engineering staff. /Z—i/Pri Page 2, Item 11 Meeting Date 12-13-83 The Amendment formalizes the reduction in Metro capacity held by Chula Vista from 21 . 10 MGD to 19.40 MGD. It further proportionately reduces the City's annual Metro capacity expense to $222,002. FISCAL IMPACT: This amendment will reduce annual City expense for Metro capacity by approximately $20,500. WEH:nr/ WPC 0806E 4 _j 1'J 4.1/f‘a