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HomeMy WebLinkAboutAgenda Statement 1984/09/04 Item 8 • COUNCIL AGENDA STATEMENT Item 8 Meeting Date 9/4/84 ITEM TITLE: Resolution //7-5~-Approving fifth amendment to sewage disposal agreement SUBMITTED BY: Director of Public Works/ City Engineer (4/5ths Vote: Yes No x ) REVIEWED BY: City Manager . In June 1983, Chula Vista entered into agreement relative to the sale of Metropolitan Sewerage System capacity to the Otay Water District. In order to effectuate that sale it is 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 fifth amendment to the 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 Agreement on behalf of the City. BOARDS/COMMISSIONS RECOMMENDATION: Not applicable. DISCUSSION: By agreement dated June 7, 1983, the City agreed to sell the Otay Water District 1 .2 million gallons per day (MGD) in capacity rights in the Metro Sewage System (Metro) . That sale was conditional upon the following: 1 . Approval of the sale by Metro. 2. Payment of $54,200 annually to Chula Vista and $14,518 annually to San Diego for a period of 20 years. San Diego has indicated its approval of the sale, and the initial annual payments have been received by Chula Vista and San Diego. 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. Such an amendment has been prepared by San Diego and reviewed by Engineering staff and is now submitted for Council consideration. This document formalizes the reduction in Metro capacity held by Chula Vista from 19.40 MGD to 18.20 MGD. It further reduces the City's annual Metro capacity expense from $222,002 to $207,484. FISCAL IMPACT: This amendment will reduce annual Cit expense f4 u; • capacity by $14,518. WPC 1192E --