HomeMy WebLinkAboutAgenda Packet 1994/04/19
'" declare under penalty of perjury that I arl'l
employed by the City of Chula Vista in the
Office 01 the City Cler~ and that. I posted
th's A~en:Ja/Notice on the Bulletin Board at
Tuesday, April 19. 1994 I P.;'bliC er i es uilding an~t City Ha)1 on.. ' . Council Chambers
6:00 p.m. the ED / ¿ SIGNED '")../~~ Publtc Services Buildmg
DAT , r
Re.ular eetin. of the Citv of Ch1ífa Vista . v Council
CALL TO ORDER
1. ROLL CALL: Councilmembers Fox _. Horton _. Moore _. Rindone _. and
Mayor Nader _.
2. PLEDGE OF ALLEGIANCE TO THE FLAG. SILENT PRAYER
3. APPROVAL OF MINUTES: April 12. 1994
4. SPECIAL ORDERS OF THE DAY:
a. Oath of Office: Deric Prescott - Charter Review Commission.
b. Proclaiming Tuesday, April 19, 1994 as "NATIONAL YOUTH SERVICE DAY." The
proclamation will be presented by Mayor Nader to Deric Prescott.
c. Proclaiming the week of April 18 through April 24, 1994 as "SUPPORT OUR PUBLIC
SCHOOLS WEEK -- THE RIGHT ANSWER YESTERDAY, TODAY AND TOMORROW."
The proclamation will be presented by Mayor Nader to Charles Lord. Master of Chula Vista
Lodge Number 626.
d. Proclaiming the week of April 17 through April 23, 1994 as "NATIONAL VOLUNTEER
WEEK". The proclamation will be presented by Mayor Nader.
e. Proclaiming the month of April as "TEACHING TOXICS MONTH." The proclamation will
be presented by Mayor Nader to Vikki Van Duyne. Community Outreach Specialist of Pacific
Gateway Group.
*****
Effective April I, 1994, there have been new amendments to the Brown Act. The City Council must now
reconvene into open session to report any final actions taken in closed session and to adjourn the meeting.
Because of the cost involved, there will be no videotaping of the reconvened portion of the meeting. However,
final actions reported will be recorded in the minutes which will be available in the City Clerk's Office.
*****
CONSENT CALENDAR
(Items 5 through 6)
The staff recommendations regarding the following items listed under the Consent Calendar will be enacted by
the Council by one motion without discussion unless a Councibnember, a member of the public or City staff
requests that the item be pulled for discussion. If you lVish to speak on one of these items, please fill out a
"Request to Speak Form" available in the lobby and submit it to the City Clerk prior to the meeting. (Complete
the green form to speak in favor of the staff recommendation; complete the pink form to speak in opposition to
the staff recommendation.) Items pulled from the Consent Calendar will be discussed after Board and
Commission Recommendations and Action Items. Items pulled by the public will be the first items of business.
.._,_"n._._" __.._.. ...~__.____"_"'_~____'~'
Agenda -2- April 19, 1994
5. WRITTEN COMMUNICATIONS:
a. Petition from the Lower Sweetwater Valley Open Space Committee requesting that the
Lower Sweetwater Valley area remain natural open space - Mohinder Goomar, M.D.,
Chairman, Lower Sweetwater Valley Open Space Committee,S Las Flores Dr., Chula Vista, CA
91910-1960. It is recommended that Staff return to Council with a report and recommendations,
approximately in mid-June.
b. Letter requesting caging be put around power transformers on the sidewalks adjacent to
homes in the EastLake development and in all new developments utilizing power lines
underground - Veronica E. Sissons, 813 Creekwood Way, Chula Vista, CA 91913. It is
recommended that the request be referred to Staff to be considered along with the analysis of the
repowering proposal by SDG&E.
c. Letter of resignation from the Child Care Commission - Nancy Reeves, 1935 Gotham St.,
Chula Vista, CA 91913. It is recommended that the resignation be accepted and the City Clerk
be directed to post immediately according to the Maddy Act in the Clerk's Office and the Public
Library .
d. Letter of resignation from the Economic Development Commission - Carolyn McGraw, 4744
Butternut Hollow, Bonita, CA 91902. It is recommended that the resignation be accepted and the
City Clerk be directed to post immediately according to the Maddy Act in the Clerk's Office and
the Public Library.
6. RESOLUTION 17463 ACCEPTING BIDS AND AWARDING CONTRACT FOR PURCHASE OF
PICK UP TRUCKS AND CAB & CHASSIS - The bid packages were mailed
to 17 vendors in the San Diego County area, including two vendors in Chula
Vista. Bids were received and opened on 3/30/94. Only two vendors responded
and another one "no bid." Staff recommends approva1 of the resolution.
(Interim Finance Administrator)
* * END OF CONSENT CALENDAR * *
PUBLIC HEARINGS AND RELATED RESOLUTIONS AND ORDINANCES
The following items have been advertised and/or posted as public hearings as required by law. If you wish to
speak to any item, please fill out the "Request to Speak Fom!" available in the lobby and submit it to the City
Clerk prior to the meeting. (Complete the green fom! to speak in favor of the staff recommendation; complete
the pink form to speak in opposition to the staff recommendation.) Comments are limited to five minutes per
individual.
7. PUBLIC HEARING CONSIDERING TESTIMONY ON THE ADJUSTMENT OF
BOUNDARIES BETWEEN CITY OPEN SPACE DISTRICT 20 AND
DISTRICT NUMBERS I AND 10 - Three property owners within the
referenced open space districts have requested that their property, as proposed
to be modified by adjustment plats 92-6 and 93-9, be assessed by only one open
space district. On 4/5194, Council declared the intention to adjust the boundary
between Open Space Maintenance District 20 and Districts 1 and 10 and set the
public hearings for 4/19/94 and 4/26/94 at 6:00 p.m. Staff recommends
Council open the public hearing, receive testimony, and hold another public
hearing on 4/26194. (Director of Public Works)
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Agenda -3- April 19, 1994
ORAL COMMUNICATIONS
This is an opportunity for the general public to address the City Council on any subject matter within the
Council's jurisdiction that is not an item on this agenda. (State law, however, generally prohibits the City
Councilfrom taking action on any issues not included on the posted agenda.) If you wish to address the Council
on such a subject, please complete the yellow "Request to Speak Under Oral Communications Form" available
in the lobby and submit it to the City Clerk prior to the meeting. Those who wish to speak, please give your name
and address for record purposes and follow up action. Your time is limited to three minutes per speaker.
BOARD AND COMMISSION RECOMMENDATIONS
ThIs is the lime the City Council will consider items which have been forwarded to them for consitleration by one
of the City's Boards, Commissions and/or Committees.
None submitted.
ACTION ITEMS
The items listed in this section of the agenda are expected to elicit substantial discussions and deliberations by
the Council, staff, or members of the general public. The items lVill be considered individually by the Council
and stoff recommendations may in certain cases be presented in the alternative. Those who wish to speak, please
fill out a "Request to Speak" form available in the lobby and submit it to the City Clerk prior to the meeting.
Public comments are limited to five minutes.
8. REPORT MEMORANDUM OF UNDERSTANDING (MOU) WITH OTHER
PARTICIPATING AGENCIES OF THE METRO SEWER SYSTEM, SAN
DIEGO AREA W ASTEW A TER MANAGEMENT DISTRICT (SDA WMD)-
The SDAWMD (or District) was created by State legislation to own and operate
the current City of San Diego Metro Sewer System. The law went into effect
on 1/1/93. However, at present the District has no assets. The District is
working on three agreements to provide the transfer of ownership and
responsibility under the current system to the proposed District system. The
legislation allowed these things to happen. but the details need to be worked out
between the Agencies. Staff recommends Council: (1) accept the report and
direct Chula Vista Board Members to express concerns with the MOU to the
District Board; (2) request of the SDA WMD Board of Directors to extend the
time period that an Agency can withdraw from membership without penalty until
three months after a court decision is made on the final configuration and cost
of the sewer system. (Director of Public Works)
9. REPORT UPDATE ON SOLID WASTE DISPOSAL ISSUES - An oral report will be
given by staff.
ITEMS PULLED FROM THE CONSENT CALENDAR
This is the lime the City Council will discuss items which have been removed from the Consent Calendar.
Agenda items pulled at the request of the public will be considered prior to those pulled by Councilmembers.
Public comments are limited to five minutes per individual.
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Agenda -4- April 19, 1994
OTHER BUSINESS
10. CITY MANAGER'S REPORT(S)
a. Scbeduling of meetings.
11. MAYOR'S REPORT(S)
12. COUNCIL COMMENTS
Councilmember Horton
a. Port District's position on proposed park on the Bayfront.
Councilmember Moore
b. Ratification of appointment of Ex-Officio Member to the Economic Development Commission by
Council - John Munch (Financial Background).
CLOSED SESSION
Unless the City Attorney, the City Manager or the City Council states otherwise at this time, the Council will
discuss and deliberate on the following items of business which are pennitted by law to be the subject of a closed
session discussion, and which the Council is advised should be discussed in closed session to best protect the
interests of the City. The Council is required by law to return to open session, issue any reports of final action
taken in closed session, and the votes taken. However, due to the typical length of time taken up by closed
sessions, the videotaping will be terminated at this point in order to save costs so that the Council's return/rom
closed session, reports of final action taken, and adjournment will not be videotaped. Nevertheless, the report
of final action taken will be recorded in the minutes which lVill be available in the City Clerk's Office.
13. CONFERENCE WITH LEGAL COUNSEL REGARDING:
1. Existing litigation pursuant to Goverrunent Code Sectinn 54956.9
· Christopher vs. the City of Chula Vista
· John Hancock Mutual Life Insurance Company vs. the City of Chula Vista
2. Anticipated litigation pursuant to Government Code Section 54956.9
· Chammas vs. the City of Chula Vista
14. REPORT OF ACTIONS TAKEN IN CLOSED SESSION
ADJOURNMENT
The meeting will adjourn to the Regular City Council Meeting on Tuesday, April 26, 1994 at 6:00 p.m. in the City
Council Chambers.
A Regular Meeting of the Redevelopment Agency will be held immediately following the City Council Meeting.
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Special Orders of the Day - Changes
c. SUPPORT OUR PUBLIC SCHOOLS WEEK - will be presented
to Bob Smith, Chair of the Public Schools Committee of Chula
Vista Lodge No. 626.
e. TEACHING TOXICS MONTH - will be presented to Ginger Eddy
of Pacific Gateway Group
_ ....._.___.._M___.__.___._._.____n__._____.___.__.__·_
April 19, 1994
Mayor Nader,
Regarding Item 4.d. - "NATIONAL VOLUNTEER WEEK": Waldo Burrola,
Walter Burrola and Joyce Marshall will be present to accept the
proclamation.
----.----- "' .... m_"""___'__"__'_"~____'~_'_"_"'_________'__"'_________.~
Youth Volunteers at Nonnan PaIk Senior Center 4/94
../" Waldo Burrola
/Walter Burrola
Joanne Florian
Robyn Gerdis
j Joyce Marshall
¡~~ ~:q
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April 14, 1994
TO: The Honorable Mayor and City Council
FROM: John D. Goss, City Manage~
SUBJECT: City Council Meeting of April 19, 1994
This will transmit the agenda and related materials for the regular City Council
meeting of Tuesday, April 19, 1994, Comments regarding the Written
Communications are as follows:
5a. This is a petition from the Lower Sweetwater Valley Open Space Committee
requesting that the Lower Sweetwater Valley area remain natural open
space. Staff is prepar i ng alternate 1 and use scenarios for the Lower
Sweetwater area, which include an open space approach per City Council
direction. An assessment district study is being conducted which will
examine the costs associated with .purchasing and maintaining properties
within the Lower Sweetwater area. The land use scenarios will be taken to
the public in approximately one month. Those on the petitions will be
not if ied when that meet i ng is schedu 1 ed so they can attend to express
their points of views. Once this process is completed, IT IS RECOMMENDED
THAT STAFF RETURN TO COUNCIL WITH A REPORT AND RECOMMENDATIONS,
APPROXIMATELY IN MID-JUNE. Those on the petitions will be notified when
that meeting is scheduled so they can attend to express their points of
view.
5b. This is a letter from Veronica E. Sissons requesting that caging be put
around power transformers on the s i dewa 1 ks adjacent to homes in the
EastLake development, and in all new developments utilizing power lines
underground, due to her be 1 i ef that they emit electro magnet i c fie 1 ds
which constitute a health hazard. The City has not taken any position
with regard to electro magnetic fields, but the issue is being studied and
evaluated in the context of the broader repowering project proposed by
SDG&E for the South Bay. IT IS RECOMMENDED THAT THIS REQUEST BE REFERRED
TO STAFF TV BE CONSIDERED ALONG WITH OUR ANALYSIS OF THE REPOWERING
PROPOSAL BY SDG&E.
5c./ IT IS RECOMMENDED THAT THE RESIGNATION OF NANCY REEVES FROM THE CHILD CARE
5d. COMMISSION AND THE RESIGNATION OF CAROLYN MCGRAW FROM THE ECONOMIC
DEVELOPMENT COMMISSION BE ACCEPTED WITH REGRET AND THAT THE CITY CLERK BE
DIRECTED TO POST IMMEDIATELY ACCORDING TO THE MADDY ACT IN THE CLERK'S
OFFICE AND THE PUBLIC LIBRARY.
-- ----_._,._.,~-----,,----_..._--..._. ....----..--.----.-
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April 13, 94.
Dear Mayor Nader,
REF: Agenda-Written communications April ¡9th.
Please let me speak briefly not more than 5 minutes on Agenda item
written communications on April 19th 94 rather than wait until the
end.
Thanks in advance for your consideration.
Yours Sincerely,
!ht--c.~'
Mohlnder (Mo) Goomar, M.D. ,
Chairman, Lower Sweetwater Valley Open Space Committee,
5 Las Flores Drive, Chula Vista, CA 91910-1960
Telephone: 427-4525.
1
-------.
S. WRITTEN COMMtJNICATIONS:
a. Petition from the Lower Sweetwater Valley Open Space Comm¡t~ requesting that the ¡
\ Lower Sweetwater Valley area remain natural open space - Mohinder Goomar,. M.D.,
Chairman, Lower Sweetwater Valley Open Space Committee,S Las Flores Dr., Cbula VIsta, CA
91910-1960. It is recommended -.
Sa.. - /
_.___.__~.___.__....__.w__..___··____·__·__.______·,___~_~_
RECEIVED
'94 I1AR 30 A8 :08
~ITY OF CHUi. A VISTA
To~ ITY CLER:. :, OFi71CE
The Mayor &. Council Membe¡-s, City of Chulã Vista,
276 4th Ave., Chula Vista, CA 91910.
Dear Mayor & Council Members,
REF: Lower Sweetwater Valley ~rea.
We hav", formed a committee reprpseDtj~g neighbors 5urro\Jndj~g the
Lower Sweetwate¡e Valley ~l·ea.
We would liKe to prpc>ent OlJr propo:',,'jls regarding the 3.bove mentioned
area to the Mayor & City council to act upon.
Pledse put us on the agendi; for the ~pril ¡9th. 9 4 ~ City Council
meeting and confirm.
Enclosed please find the propo5~ls and petitions.
Since}::~ely Yours,
¡1M-ð <3\.~
Mohlnder (Mo) Goomar, M.D. ,
ChaiY'man, Lower Sweetwater Valley Open Space Committee,
5 Las Flores Drive, Chula Vista, C~ 91910-1%0.
Te lephone: 427-452:)
WliFATEN COMMUNICAi1C¡,~ã
¿~'ø.7rM ¿In ¥)~I
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To,
The Mayor and Council me mbers, City of Chula Vista.
1. We, the t'e5 iden ts SUt~round ing Lower 3weetwater Va 11 e y area,
propose that the existing vacant land be designated as natural open
space. The petitions supporting this propo:3,~ 1 ,=U:€ provided wit h this
let.ter.
2. We propose that the c j t Y counc i 1 zone th<" unzoned dl C'J d.;;
agricultural. You recall that this area was agr icul tur,,, 1 to start with
be f o,'e it was annexed from the County of San Diego. We urge the
Council t.o correct t.his mistake made by the pì~evious Council. (The
preceding zoning irïformation was provided by Duane Bazzel, C i t Y
employee.)
3. We suggest that the Coune i 1 ask the staff to pet'form st.udies
for t.he following possible assessment dist.ricts:
A. The one assessment district. covering the 14 acres City
owned propprty j f assumed by the neighborhood.
B. The second assessment d i sti' ict is fot' thp entire 38 acres
of existing open space if assumed by the neghbot-ing communit.y.
4. Please listen t.o the va i c:e of the commun i t y. It is loud and
clear. We also urge you to take fair financial responsibility for
t.hese proposals.
". We have formed a committee whose me mhers will directly
interface with the Council to facilitate communications Or
negot.iations.
Submit.ted by,
(1M..6 Q~
Moh i nder' (110) Goomal", MD,
Chairman, Lower Sweetwater Valley Open Space Committ.ee_
5, Las Flores Drive, Chula Vist.a~ CA 91910-1960.
Telephone: 427-4525
~~¥
WE, THE FOLLOWING , WISH THE THE EXISTING VACANT LOWER
SWEETWATER SPECIAL STUDY AREA TO REMAIN AS NATURAL OPEN SPACE.
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NAME (BLOCK LETTERS) ADDRESS SIGNATURE
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NAME (BLOCK LETTERS) ADDRESS SIGNATURE
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Veronica E. Sissons -:.;:.~--~~
813 Creekwood Way
Chula Vista, CA 91913
(619)482-9648 Ð2
J!
March 27, 1994 -t-4
-<-< ::u
no I ",
'-"'"
The Honorable Tim Nader mo (")
:::c
Mayor of the City of Chula vista :><:J:: ¡. ",
..c:,_ -
276 4th Avenue V>í-Þ-' <
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Chula Vista, CA 91910 ..,.,< :- ",
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Dear Mr.Nader, m)IÞ \0
I am a member of the Chula Vista Concerned citizens, and as
such joined with my conunittee to host a discussion on March 23,
1994, between members of the public and three representatives of
SDG&E power company in order to explore the dangers of the power
transformers on the sidewalks adjacent to homes in the Eastlake
development and in all of the new developments utilizing Power
Lines Under Ground (PLUG).
While the representatives admitted that the boxes do give
off Electro-Magnetic-Fields ( EMF) , they averred the onus is on
parents to keep their children away from the innocent-appearing
boxes! I have on many occasions seen children sitting on and
playing around the boxes and know for a fact that some people out
for jogging or walking exercises conunonly sit upon and do leg-
stretching exercises on the boxes. The warning on the outside of
the box states "High voltage within", but does not warn that you
will get a dose of EMR.when you bend down to read the label!
Your employee Cindy was present at the discussion, so no doubt
you are aware already of the problem we are having. We want -
need - insist upon - the caging of those boxes to a distance of
at least 18 inches on all sides.
We have, by open letter in the star News and verbally, by
the representatives demanded that SDG&E protect our children from
the EMF in order to prevent Eastlake becoming another "cluster of
childhood leukemias", as today's Los Angeles Times revealed of
Oceanside, California .
We request that a copy of this letter be given to each
member of your City Council for their review, and in order that
you each have a background of reason for our request for time on
your Council Calendar so that we may address the issue in more
detai I .
I trust you wi 11 favor me with a reply at your earliest
convenience.
Very truly yours, WRln,EN COMMUNiCATiO~~S
~~ t:--eP~
¿/trL LJ/iC) '/
Veronica E. Sissons
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COUNCIL AGENDA STATEMENT
Item t
Meeting Date 04/19/94
ITEM TITLE: Resolution / 7'-1 t J Accepting bids and awarding
contract for purchase of pick up trucks and cab &
chassis. Interim Finance Administrator~~
SUBMITTED BY: Susan Merrill,
REVIEWED BY: city Managertrt~/,p (4/5THS Vote: Yes_No-1L)
Bids were received and opened at 3:00 pm on March 30, 1994, in the
office of the Purchasing Agent for the purchase of the following
vehicles:
Item Qty Description Department
1 2 Two-wheel drive Bldg & Hsng
pick up truck
2 1 Four-wheel drive Engineering
pick up truck
3 1 Cab & Chassis, Public Works/
w/ service body Pumps
4 1 Cab & Chassis Parks & Rec
w/stakebed dump body
RECOMMENDATION: That Council award the bid for all items to
Fuller Ford.
BOARDS , COMMISSION RECOMMENDATION: Not applicable
DISCUSSION:
The bid packages were mailed to 17 vendors, including two vendors
in Chula vista, in the San Diego County area. Only two vendors
responded and another one "no bid".
Item 1 - Two pick-up Trucks, 2-wheel drive
Bidder J!o.i1 7 % Sales Tax Trade-in Amount
~ Included Allowance
Fuller Ford $11,639.00 $12,453.73 $1,351.00 $11,102.73
Chula Vista 11,639.00 12,453.73 1,501.00 10,952.73
Bob Baker Ford $11,700.00 $12,519.00 $1,020.00 $11,499.00
San Diego 11,700.00 12,519.00 1,002.00 11,517.00
&,-/
-....-...-."... _.,--,---~~--,--_.._--~--~~-----_..-
Page 2, Item ~
Meeting Date 04/19/94
The following trucks will be traded in upon purchase; 1984 Dodge
"Ram" Property Tag #13812 & 1986 Ford "Ranger", Property Tag
#14654.
The low bid of Fuller Ford and higher allowance for the trade in
meets specifications and is acceptable.
Item #2 - One Pick-up Truck, four wheel drive
Bidder Unit 7% Sales Tax !'M..2f Trade-in Amount
Price Included t % Sales Allowance
Fuller Ford $14,577.00 $15,597.39 $15,451.62 $2,001.00 $13,596.39
Chula Vista
Bob Baker Ford $14,456.00 $15,467.92 $15,467.92 $1,020.00 $14,447.92
San Diego
The unit bid of Bob Baker Ford is lower than that of Fuller Ford,
but considering the 1% Sales Tax consideration for local vendors
and the trade-in allowance of Fuller Ford, the City will be saving
$997.30 through Fuller Ford. The bid of Fuller Ford meets
specifications and is acceptable.
A 1986 Ford Ranger pick up truck, Property Tag #14656, will be
traded-in upon purchase of the new vehicle.
Item #3 - One Cab & Chassis, with service body
Bidder Unit 7% Sales Tax Trade-in Amount
Price Included Allowance
Fuller Ford $17,999.00 $19,258.93 $2,551.00 $16,707.93
Chula Vista
Bob Baker Ford $18,299.00 $19,579.93 $1,020.00 $18,559.93
San Diego
The bid of Fuller Ford meets specifications and is acceptable. A
1986 Ford Ranger with utility body, property tag # 14801 will be
traded in upon purchase of the new vehicle.
Item #4 - One Cab & Chassis, with stakebed dump body
Bidder Unit 7% Sales Tax Trade-in Amount
Price Included Allowance
Fuller Ford $16,268.00 $17,406.76 $2,301.00 $15,105.76
Chula Vista
Bob Baker Ford $16,459.00 $17,611.13 $1,002.00 $16,609.13
San Diego
¿",;¿
. - -~--------_._-------_._--_.- ..-~,._-.-.---.-..--
Page 3, Item ~
Meeting Date 04/19/94
The low bid of Fuller Ford meets specifications and is acceptable.
A 1986 GMC S15 with utility body, Property Tag # 14445, will be
traded in upon purchase of the new vehicle.
Staff reviewed other alternatives for disposing of the vehicles to
be surplused such as auctioning, and city advertising with direct
selling, and due to staffing considerations, have determined that
using the trade in allowance method to be the most viable at this
time.
As directed by Council, staff will consider alternative methods of
disposing of surplus vehicles as well as the cost effectiveness of
in house bidding on all vehicles and report to Council during FY
1994-95.
Alternate Fuel
Per Council direction, staff evaluated the vehicles for use of
alternative fuels and determined the following:
The two-wheel drive and four-wheel drive pick up trucks were
considered for CNG, but are not recommended to be converted to
natural gas. The reason for this is that the City already has CNG
in similar vehicles used for similar purposes and staff wants to
obtain data from those vehicles before proceeding with further
conversion.
The Public Works service vehicle will be converted to CNG and was
one of the vehicles approved by California Energy Commission for
inclusion in their "Medium Vehicle Duty Program". The Energy
Commission will fund the conversion through the grant.
Regarding the Parks vehicle, they presently have a vehicle being
converted under the "Medium Vehicle Duty Program" and, in addition,
staff did not believe that a stakebed with dump body was
appropriate for CNG conversion.
FISCAL IMPACT:
Sufficient funds are provided for in FY 93/94 budget for the
purchase of the vehicles.
Total amount of the vehicles including 7% sales tax and trade-in
allowance is $52,359.78. Total amount budgeted for the purchase is
$79,927.00.
DAT A\A " 3.CAB\4194
Bid 11·93/94
¿ - 3 /6-if
. ~_...._-,.__. ..,-..-...- - - .---~-----_.._---,-_...._"'.__.....
RESOLUTION NO. 17J111J
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA ACCEPTING BIDS AND AWARDING
CONTRACT FOR THE PURCHASE OF PICK UP TRUCKS
AND CAB & CHASSIS
WHEREAS, bids were received and opened at 3:00 p.m. on March
30, 1994 in the Office of the Purchasing Agent for the purchase of
one the below listed vehicles:
Item Qty Description Division
1 2 Two-wheel drive pick up truck Bldg & Hsng
2 1 Four-wheel drive pick up truck Engineering
3 1 Cab & chassis with service body Public
Works/Pumps
4 1 Cab & Chassis w/stakebed dump body Parks & Rec
Item 1 - Two Pick-up Trucks, 2-wheel drive
Bidder Unit 7% Sales Tax Trade~in Amount
Price Included Allowance
Fuller Ford $11,639.00 $12,453.73 $1,351.00 $11,102.73
Chula Vista 11,639.00 12,453.73 1,501.00 10,952.73
Bob Baker Ford $11,700.00 $12,519.00 $1,020.00 $11,499.00
San Diego 11,700.00 12,519.00 1,002.00 11,517.00
WHEREAS, the low bid of Fuller Ford and higher allowance for
the trade in meets specifications and is acceptable.
Item #2 - One Pick-up Truck, four wheel drive
Bidder Unit 7% Sales Tax Net of Trade-in Amount
Price Included 1 % Sales Allowance
Fuller Ford $14,577.00 $15,597.39 $15,451.62 $2,001.00 $13,596.39
Chula Vista
Bob Baker Ford $14,456.00 $15,467.92 $15,467.92 $1,020.00 $14,447.92
San Diego
1
¿"5'
. ._.._--~-_.__.- ------_._~------~._-~--
WHEREAS, the unit bid of Bob Baker Ford is lower than that of
Fuller Ford, but consideridng the 1% Sales Tax consideration for
local vendors and the trade-in allowance of Fuller Ford, the City
will be saving $1,005.77 through Fuller Ford and the bid of Fuller
Ford meets specifications and is acceptable.
Item #3 - One Cab & Chassis, with service body
Bidder Unit 7% Sales Tax Trade-in Amount
Price Included Allowance
Fuller Ford $17,999.00 $19,258.93 $2,551.00 $16,707.93
Chula Vista
Bob Baker Ford $18,299.00 $19,579.93 $1,020.00 $18,559.93
San Diego
WHEREAS, the low bid of Fuller Ford meets specifications and
is acceptable.
Item #4 - One Cab & Chassis, with stakebed dump body
Bidder Unit 7% Sales Tax Trade-in Amount
Price Included Allowance
Fuller Ford $16,268.00 $17,406.76 $2,301.00 $15,105.76
Chula Vista
Bob Baker Ford $16,459.00 $17,611.13 $1,002.00 $16,609.13
San Diego
WHEREAS, the low bid of Fuller Ford meets specifications and
is acceptable.
NOW, THEREFORE BE IT RESOLVED that the city Council of the
city of Chula vista does hereby accept said two bids and does
hereby award the contract for Item 1 through 4 to Fuller Ford.
BE IT FURTHER RESOLVED that the Mayor of the City of Chula
vista is hereby authorized and directed to exec e said contract
for and on behalf of the city of Chula sta.
Presented by
,. ~
!
/
l Bruce M.
Susan B. Merrill, Interim
Director of Finance Attorney
c: \rs\trucks
2
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COUNCIL AGENDA STATEMENT
ItemL
Meeting Date 4/19/94
ITEM TITLE: a) Public hearing to consider testimony on the adjustment of boundaries
between City Open Space District 20 and District Nos. 1 and 10
b) Resolution Ordering the boundary between City Open
Space Maintenance District No. 20 and Districts Nos. 1 and 10 to be
adjusted to follow the lot line adjustments as set forth in Adjustment Plats
92-6 and 93-9, contingent upon approval of the plats
SUBl\flTTED BY: Director of Public Works ~
Director of Parks and Recreation
REVIEWED BY: City Manager Û'1!" (4/5ths Vote: Yes_No X)
tv'
Three property owners within the above referenced open space districts have requested that their
property, as proposed to be modified by adjustment plats 92-6 and 93-9, be assessed by only one open
space district. On April 5, 1994, the City Council adopted Resolution 17448 declaring the intentjon
to adjust the boundary between City Open Space Maintenance District 20 and Districts 1 and 10 and
set the public hearings for April 19 and 26, 1994 at 6:00 p.m. as the date and time for the public
hearing.
RECOMMENDATION: That Council:
1) Open and close the first public hearing on April 19, 1994 regarding the boundary
adjustment between City Open Space Maintenance District No. 20 and District Nos. 1
and 10;
2) Open and close the second public hearing on April 26, 1994; and
3) Approve the resolution after the second public hearing.
BOARDS/COMMISSIONS RECOMMENDATION: Not applicable.
DISCUSSION:
Back!!round
When property boundaries are adjusted between existing lots, portions of each lot are transferred in
ownership. Property owners are in the process of completing such an adjustment which contain parcels
within open space districts. In these circumstances, the properties adjusting boundaries have an open
space district boundary between them. When the land swap takes place, the resultant properties will
7-- /
--~-- ~-~._-_...__._-~-_.._-_._-------
Page 2, Item-2-
Meeting Date 4/19/94
end up in two districts. In order to prevent this from happening, adjustment of the open space boundary
also needs to occur.
The Landscaping and Lighting Act of 1972 authorizes Council to conduct these types of changes in
Section 22605 of the Streets and Highways Code. There are two boundary adjustments to be addressed
by these proceedings and these are outlined below.
Ad¡ustment 1
Rancho del Rey is processing a lot line adjustment with an adjacent property owner in conjunction with
the development of SPA 3, south of East H Street.
Due to a minor lot line adjustment (Adjustment Plat 92-6), one parcel will overlap two districts (OSD-1
and OSD-20). The attached sketch (Attachment A-1) shows the area located north of Telegraph Canyon
Road and east of Paseo Ladera. The owners involved with the adjustment, Rancho del Rey Partnership
and Mr. & Mrs. Drumheller, have requested that they be assessed by only one Open Space Maintenance
District (Drumheller's within OSD-lO and Rancho del Rey within OSD-20). The land exchange
between the two parties will not result in any change in open space or EDU's for either district. This
means that there is no fiscal impact to the property owners or to either district by the annexation and
detachment process.
Adïustment 2
A church (currently within OSD-1) at the south east corner of East H Street and Paseo Ranchero
consolidated jts existing lot and four neighboring lots (currently within OSD-20) into one parcel in order
to provide adequate parking for their project (see Attachment A-2). Staff recommends adjusting OSD-1
and OSD- 20' s boundary such that the resulting church parcel will only be in its current district, OSD-1.
The owner of the church property, The First United Methodist Church has requested, and staff
recommends that they be assessed by only one open space maintenance district, OSD-1. Staff also
recommends adjusting OSD-1 's boundary to exclude the balance of Rancho del Rey's Phase 2, Unit 12
development as it is a part of OSD 20. Additionally, the .27 acres of open space dedicated in
conjunction with Rancho Del Rey along East H Street will be maintained by OSD-20 in FY 95/96
(estimated). The water meters and irrigation have been installed to allow OSD-20 to maintain this area.
The detachment of the four lots from OSD 20 reduces the EDU's in OSD-20 by 3 EDU's out of 6,400
EDU's resulting in minimal impacts to OSD-20, less than $0.05 per EDU. The church's assessment
increased last fiscal year in proportion to the increased acreage therefore these proceedings will have
no effect on the property. The detachment of the remaining 23 parcels (vacant land) in Phase 2, Unit
12 from OSD-1 does not fiscally impact OSD-1. Originally this parcel was part of a proposed school
site and consequently was never assessed in OSD-l. These parcels are presently assessed in OSD-20.
The statutory requirement to notice is limited to those properties subject to annexation and/or
detachment. Consequently, staff recommends approval of thjs detachment without notifyjng all residents
of OSD-1 or OSD-20.
The Landscaping and Lighting Act of 1972 allows the resolutions, report, notices of hearing, and right
of majority protest to be waived with the written consent of all owners within the territory to be annexed
or detached. These waivers have been included in Attachment B. Staff recommends that the City take
specific action to detach and annex the properties to the appropriate djstricts to clarify the special
assessment obligation.
?"J..
..__..._----------,------------_._~-~'-
Page 3, ItemL
Meeting Date 4/19/94
FISCAL IMPACT: There is no fiscal impact resulting from these proceedings since the parcels in
question are currently assessed by only one district.
Attachment A: Boundary Adjustments
A-I Plat of OSD-lO and OSD-20 (Drumheller)
A-2 Plat of OSD-1 and OSD-20 (Church)
B: Requests for detachments/annexations
B-1 OSD-10 (Drumheller) ~·O
B-2 OSD-20 (Rancho del Rey)
B-3 OSD-1 (Church ~ IòC
~O
TA/Fi1e No.: OS-OOl 7'3/7-1- WPC F:\home\eDginoer\agenda\boundadj
.--- ...._...._ ._..._______._._,__.._.___._..~.~.___m~
ACT\C>N 1
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- CRUMHELL' . ,
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Ra~Q t:\e.\ (l..e.j ~ ' _ \
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his....,'^') 0>\1-1..0 ~\(Ð"IlY ~ \ ~ \
V"'~ ()!.þ-",-oj,o ~~ N \ ~ \
\ 1-
DESCRIP110N OF BOUNDARY ADJUSThŒNTS -- -- \
"lYPE OF DISTRICT 48.94 , \
AREA ADJUStMENT AFFECTED REASON FOR ADJUSThIENT
DetadImaIO OSD·IO BoUDdary odj_ pia 92-6 .......,¡jgumI . tot tiDe !bat .. \ \
was also the boundary between OSD-JO ad OSD-20. 1biJ
~ Oetachmcøt is DCCCSMty to place OSD-IO', boundary on the
, propony tiDe.
-.. OSD-20 BoUDdary odj..-... pial 92-6 .......,¡jgumI . lot tiDe !bat
was also the bounduy betwecm 050-10 md OS[)"20. 1bis
8DDCXIÔ.on is DOCCUUY to piacc OSD-20'. boundary OD tbc
property liDc.
~ ~ OSD-20 BoUDdary odj..-... pial 92-6 _aligwod . lot liDo 1IIat -
..... olso!be bouadary betw= OSD-tO aod OSD-20. This
detacbmcmt is IHICCSS8IY 10 place aSD-20'. boundlry on the
property 1iDc.
-.. OSD-20· BoUDdary odj_FIaI92-6 .......,¡jgumI.tottiDe!bat ~
..... olso 1IIc bouadary betw= OSD-\O aod OSD·20. This
lMC'UÔoø. is necessary 10 place OSP-IO's boundary on the
propc:rtylinc. -
DRAWN BY: TITLE:
J.P.P ~ ""
DATE: ; ... .,;Þ A- ìï ^'-I..w\'a "-\ T A - ,
4/08/94
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AC.T\ON 2
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DESCIUP'I10N OF BOUNDARY ADJUS1MENTS
E "i~"ïY\~ O!.P-'2.0 1YPB OF DISTIUCT
flOI.\"I) M.. 'I ADJUSThŒNT AFFBC'IED REASON FOR ADJUSThŒNT
I)et_1nn1'!llt OSD-1 Subdivision Map 12695 is c:mmrtIy wi1hin OSD-1111d OSD-
20. This cIctacbmcDt is ~ to e1n..mMP. the ovalappi:ng
district boundaries.
Jkt_J._1!!ftt OSD-20 Tho c:hun:h site II 915 Poseo Ranchero is c:mta1IIy wi1hin
OSD-1 11III OSD-20. 'JhiJ cIctacbmcDt is _ to
.1imiDIIe die ovedappiDs district boundaries.
DRAWN BY: TITLE:
J.P.P ?-¿, ATTAC.~M~N1 A-l
DATE:
2/28/94
-----"_._......_,-,--. - - -~_.+--- ---" .--..--...
___no_no ______"._____________________._,..______..._.
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February 2, 1994
Ci ty of Chub Vista··
276 Fourth Avenue
. Chula Vista, CA 91910
W~i~R ~~~i~~~D ":~~~E~~N~: r~~ ~HANGES OF ORGANIZÞ.TION OF OPEN
S D T PALE TO ADJUSTMENT PLÄT NO. 92-6
We do hereby waive our Rights of Majority Protest, the Resolutions,
Report and Notices of Hearing that are typically a part of
annexation and detachment proceedings for open space maintenance
districts as outlined in Section 22605 of the California Streets
~~.. -
oh D. eller
.#A~~/~~~G/
Lucille M. Drumhe ler
.
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February 2, 1994
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city of Chula Vista
276 Fourth Avenue
Chula Vista, CA 91910
W~VI~R ~F ~~~~)'R~ ~~~i~~DI~~S i~~ C~Þ.NGES OF ~~~~~~~TI~~
~ Š:~E TOil. APPLICABLE TO
DJU NT PLAT NO. 92-6 .
We do hereby waive our Rights of Majority Protest, the
i Resolutions, Report and Notice of Hearing that are
i typically a part of annexation and detachment proceedings
for open space maintenance districts as outlined in Section
, 2605 of the California streets and Highways Code.
.
RANCHO DEL REY INVESTORS, L. P. ,
I a California limited partnership
By: McMillin project Service, Inc.
a California corporation, as
Attorney in Fact under Durable
power of Attorney
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February J7, 1994
:
City of Cbula Vista
276 Fourth Avenue
Chula Vista, CA 91910
REQUEST FOR DETACHMENT AND WAIVER OF PROCEEDINGS NO. 20, RANCHO
DEL REY, FOR LOTS 1,2,26, AND B MAP 12695 APN 642-011.30
We request that you initiate proceedings to detach the above referred properties from Open
Space District ND. 20 and do hereby waive our rights of majority protest, the resolutions,
Report and Notice of Hearings thaI 6/"e typically pan of detachment proceedings for open space
maintenance districts.
BY: Fjrst United Methodist Church of Chula Vista,
a California Corporation
BY: (!¡~ M. ìI~
TITLE: -1,J,HLf::u~
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Mlllutt:.S
April 5, 1994
Page 9
MS (RindonelFox) to accept the report and direct staff to bring back an analysis of the three finalists on April
26th.
~ RESOLUTION 17446 APPROPRIATING $3,710 FROM THE UNAPPROPRIATED BALANCE
FTHE GENERAL FUND TO SUPPORT SEVERAL PROJECTS PROPOSED BY THE CULTURAL ARTS
O"COMMIS~lON. Th~.Cultural ~ Co~..ion is in~erested in pursuing a,number o~projects that --:ill enhance
,,~ the ColIUIIIsslon's ability ,to provIde a vanety of services for tbe community. FundlDg for the projects IS not
~ ,!) included in the CommiSSiOD'S Fiscal Year 1993/94 budget. Staff recommends approval of the msolution. (Director
4;;> , of Parks and Recreation) 4/5th's vote required. ,
~.", RESOLUTION 17446 OFFERED BY COUNCn.MEMBER MOORE, reading of the text was waived, passed
~ and approved unanimously.
q
17.A. RESOLUTION 17447 APPROVING THE ENGINEER'S REPORT FOR THE FISCAL YEAR
1994/95 SPREAD OF ASSESSMENTS FOR CITY OPEN SPACE MAINTENANCE DISTRICT NUMBER
10, DECLARING THE INTENTION TO LEVY AND COLLECT ASSESSMENTS AND SETTING JUNE
7,1994 AT 4:00 P,M. AND JUNE 14,1994 AT 6:00 P,M. AS THE DATES AND TIMES FOR THE PUBLIC
HEARINGS . On 1/25/94, Council directed the City Engineer to prepare and file reports of assessments for
Maintenance District Number 10. The reports have been prepared and the msolutions approve them and sets the
dates for public bearings to consider the spreading of assessments. Staff recommends approval of the msolutions,
(Director of Public Works)
B. RESOLUTION 17448 DECLARING THE INTENTION TO ADJUST THE BOUNDARY
BETWEEN OPEN SPACE MAINTENANCE DISTRICT 10 AND DISTRICTS 1 AND 10 AND SETTING
APRIL 19 AND APRIL 16, 1994 AT 6:00 P,M, AS THE DATES AND TIME FOR THE PUBLIC HEARING
.. .. .. Councilmember Fox left the diu at 5:52 p.m. and returned at 6:00 p.m. .. .. ..
MS (MoorelRindone) to direct staff, In the next six to eight months, to review how the City derives the fees
in all open space districts and bring forward recommendations to bring down costs, and how open space was
accepted, and pro's and con's of their recommendations,
Councilmember Moore stated the costs continued to grow and it was easy to continue to increase the fees, The City
bad a policy regarding full cosl recovery and that was not currently beinS dODe as it would also raise the costs and
be felt that should also be looked at, The Council should Dot be put in a position of acceptinS open space dislricts
that would come back and haunt them in the future. The policy of bow the Council accepted open space should
also be reviewed.
VOTE ON MOTION: approved 4-4).(1·1 with Fox abstaining,
RESOLUTION 17447 AND 17448 OFFERED BY COUNCn.MEMBER MOORE, reading or the text was
walved, passed and approved 4-4).(1·1 with Fox abstaining.
18. RESOLUTION 17449 APPROVING THE ENGINEER'S REPORTS FOR THE FISCAL YEAR
1994/95 SJ'R$AD OF ASSESSMENTS FOR CITY OPEN SPACE MAINTENANCE DISTRICTS 1-9, 11, 14,
15,17,18,10,13,14.16, EASTLAKE, BAY BOULEVARD AND TOWN CENTRE, DECLARING THE
INTENTION TO LEVY AND COLLECT ASSESSMENTS AND SETTING JUNE 7, 1994 AT 4:00 P.M, AND
JUNE 14, 1994 AT 6:00 P.M. AS THE DATES AND TIMES FOR THE PUBLIC HEARINGS - On 1/25/94,
Council directed the City Engineer to prepare and file reports of assessments for all existins City Open Space
Maintenance Districts. The reports bave been prepared and the msolution approves them and sets the dstes for
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Minutes
April 5, 1994 /'" .,,'~. f.) 't
Page 10 ORP'\ ~,}~ (~~ttJ ;~
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public hearings to consider the spreading of assessments. Staff recommends approval of the resolution. (Director
of Public Works)
RESOLUTION 17449 OFFERED BY MA ¥OR NADER, reading of the text was waived.
Councilmember Horton questioned ways to bring down maintenance costs.
1ess Valenzuela, Director of Parks &. Recreation, responded that staff tried to do that with hid clustering. Staff
could look at different plant materials and wátering schedules in trying to bring the costs down. Water and utilities
bad gone up and it was anticipated those costa would be up 24" in FY 1995.
Counci1member Rindone stated staff recommended at 3" decrease in District 20 but there was ac!\la11y a true
increase of $90. He felt the recommendation should be changed as the recommendation would only exacerbate tho
increase in the future.
10hn Uppitt, Director of Public Works, stated it was due to the high reserves in that district, Ho agreed that tho
fee should be kept tho aamo as the current year rather than a 3" decrease.
MSUC (RindonelFox) the assessment for Open Space District No, 20 to remain the same as FY 1993/94
therefore abating larger increases in the future,
Councilmember Rindone referred to the Landscaping and Lighting Act which stated an increase was not allowed
if a protest from the majority of landowners existed, He felt the majority of those in Assessment District No, 4
would not be supportive. He questioned what tho legal implications would be and what tho City's optioDB were,
Clifford Swanson, Deputy Director of Puhlic Works/City Engineer, responded that if tho protest took place it could
require that the open space district financing not go through and could chango the entire financing structure. The
City would have to start financing the increased costs through somo other fund, i.e. tho General Fund,
Counci1member Rindono questioned how tho City would properly maintain the open space districts and meet tho
community needs, Ho felt that issue needed to be addressed. In all cases except for Districts Nos, I, 23, and 26
the true costs were in excess of what was being paid, His concern was not SO much for tho coming year, but that
the fees would have to go up and they should not jump, but go up incrementally.
Mr. Morris stated staff would do a follow-up report to Council.
Councilmember Moore stated the report should include a number of alternatives, i,e. should the open space be
conve~ to another use and if that was legal, He was not pleased with a two year sPread of _ments as he did
not feel it gave a true picture, it should be a minimum of three years.
Mayor Nader stated he was concerned with the notices that would be mailed for the public hearings, In past years
property owners had received notices and were under the assumption that Council had already accepted the proposed
fees. The purpose of the notice was to solicit public input and he suggested that the notice be submitted to Council
as an information item before they were mailed, Council could then review it to make sure that it was clear that
no decision bad been made by Council regarding the fees and that the public hearing was for the purpose of
soliciting public input.
Mr. Uppitt stated there bad already been one meeting held with everyone in the districts invited. Staff was prepared
to mail out additional notices in several days for a meeting to be held on April 30th. Staff would review the figures
with those in attendance at that time and announce the dates for the public hearings, Notices had to be mailed forty-
five days in advance of the meeting.
Mayor Nader questioned if there would be a prohlem in delaying the public hearings for one week to allow time
for Council to review the notice.
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MIIlUle~
April 5, 1994
clj}r}i Page 11
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O\t~¡~ Mr. Lippitt responded staff would get the wording to Council by next week for review.
VOTE ON RESOLUTION 17449: approved unanimously.
* * * Council met In closed session at 6:18 p.m, and reconvened at 6:50 p.m. * * ·
19. REPORT APPOINTMENT OF TWO CITY COUNCIL MEMBERS TO THE POLICY
SUBCOMMITTEE FOR THE OTAY RANCH PROJECT - The Council and the San Diego County Board of
Supervisors agreed to continue joint input in the future planning of Otay Ranch by conveoiJlg a subcommittee
composed of two members from eacb body. The purpose of the subcommittee is to provide ongoing policy direction
to staff on the implementation of the Otay Rancb Project, Staff recommends Council accept the report, (Otay
Rancb Project)
MSUC (Rindone/Moore) to nominate Councilmember Horton and Fox to the Policy Subcommittee for the
Otay Ranch Project,
ITEMS PULLED FROM THE CONSENT CALENDAR
Item pulled: 9. The minutes will reflect the published agenda order.
OTHER BUSINESS
20. CITY MANAGER'S REPORTIS) - None
21. MAYOR'S REPORTIS)
21a. Enforcement of bousing discrimination violations. Mayor Nader stated the City bad received a study wwcb
showed there was substantial discrimination in bousing to African Americans and families with children. He bad
asked the City Attorney informally to get some information on options available from Federal and State laws for
enforcement by the City. The City should not be expected to incur the expenses for the job the State and Federal
governments were not doing correctly. The City Attorney suggested Council direct staff to aggressively report
suspected discrimination to the Department of Fair Housin¡ and Employment. He bad also referred the item to the
Human Relations Commission to review the issue and brin¡ fortb recommendations.
MS (Nader/Fox) 1) direct staff that anytime there was a violation due to suspected discrimination regarding
housing that it be referred to the Department of Fair Employment and Housing; and 2) refer to the City
Attorney for infonnation on what options the City had to undertake local enforament with cost recovery
from the wrong doers,
Councilmember Moore stated be bad a problem with the word 'suspicion' as it was too broad. Therefore, be could
not support the motion, He could support the motion if it were to be kept in-bouse.
Counci1member Horton stated there were existing mechanisms in place. Before that typo of information was passed
on it sbould be made certain that it was valid. Sbe did not feel it was a City responsihility. Any citizen bad the
right to turn iIÌ that information to a regulatory agency.
AMENDMENT TO MOTION: (NaderlFox) to refer the item to stalT to report back on what the problems
were, procedures, and remedies with the referral to the City Attorney for Infonnation on what options the
City had to undertake local enforament with cost recovery from the wrong doers.
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COUNCIL AGENDA STATEMENT
Item r
Meeting Date 4/19/94
ITEM TITLE: Report on Memorandum of Understanding (MOU) between the Cjty of
San Diego and other participating Agencies of the Metro Sewer System,
San Diego Area Wastewater Management District (SDA WMD)
SUBMITTED BY: Director of Public Works ~
REVIEWED BY: City Managerr (4/Sths Vote: YesLNo.-J
The San Diego Area Wastewater Management District (SDA WMD or District) was created by
state legislation to own and operate the current City of San Diego Metro Sewer System. The
law went into effect on January I, 1993. However, at present the District has no assets. The
District is working on three agreements to provide the transfer of ownership and responsibility
under the current system to the proposed District system. The legislation allowed these things
to happen, but the details need to be worked out between the Agencies.
RECOMMENDATION: That Council I) accept the staff report and direct Chula Vista Board
Members to express our concerns with the MOU to the District Board. 2) request of the
SDA WMD Board of Directors to extend the time period that an Agency can withdraw from
membership without penalty until 3 months after a court decision is made on the final
confjguration and cost of the sewer system.
BOARDS/COMMISSIONS RECOMMENDATION: Not applicable
DISCUSSION:
BACKGROUND
Since 1963 Chula Vista has had a contract with the City of San Diego for sewage treatment.
That contract is valid until 2003 with the ability for Chula Vista to unilaterally extend the
contract for another 10 years. In 1987 the San Diego City Council, against staff recommenda-
tion and without getting input from Participating Agencies, decided to terminate an application
to waive the requirement of secondary treatment from the Point Lorna Wastewater Treatment
Plant. Since 1987, the City of San Diego has been wrestling with the issue of sewage treatment
and San Diego and the Participating Agencies (including Chula Vista) have been dealing with
the issue of governance and ownership of the new system.
In 1988 the EPA, State of Californja, and the Sierra Club filed a lawsuit against the City of San
Diego for not treating sewage to secondary standards at Point Lorna. AJJ a result, a consent
decree was agreed to between the parties of the lawsuit (but not including the Participating
Agencies). Later the San Diego City Council moved to develop a much less aggressive
treatment program called the Consumers Alternative. This alternative would keep Point Lorna
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Page 2, Item r
Meeting Date: 4/19/94
at Advanced Primary Treatment and build North City Water Reclamation Plant as part of Phase
I. This option would handle 264 MGD of sewage and produce 30 mgd of reclaimed water. It
would also cost about $1 Billion less than the system included in the Consent Decree. Last
month, Judge Brewster held a hearing to determine if the Consent Decree should be approved
or rejected as requested by the City of San Diego, Sierra Club, and other friends of the Court
jncluding Chula Vista. The Federal Government opposed the rejection of the Consent Decree.
The hearing ended on March 11, 1994 and on March 31, 1994, Judge Brewster rejected the
Consent Decree in its entirety.
In 1992 Senate Bill 1225 (Killea) created the San Diego Wastewater Management District
(SDA WMD) for the purpose of owning and operating a regional wastewater treatment system
for Metro Sewer Area. This bill allowed the change in ownership of the Treatment system now
owned by the City of San Diego, to transfer to the District. It also had many provisions
concerning decision making, governing Board composition, annexation and deannexation, ability
to contract, etc. In December 1993, the Board agreed to give the member agencies until June
30, 1994 to withdraw without penalty in order to give more time to work out areas of
disagreement and concern between the member agencies.
The Technical Advisory Committee (TAC), and Agency Attorneys have been workjng on three
agreements that would guide the business of the District during the transition stage and beyond.
The three Agreements are called:
1. Master Interagency Agreement (MIA) - The MIA is an agreement developed by the T AC
to address most of the issues identified by the City of San Diego and the Member
Agencies.
2. Memorandum of Understanding (MOU) - The MOU was later proposed by the City of
San Diego to be signed by all Member Agencies by June 30, 1994, and contained the
issues of concern to City of San Diego.
3. Transitional Operating Agreement (TOA) - The TOA will be an agreement between the
City of San Diego and the District to cover issues concerning the transition of ownership
and operation of the system during the transition period.
After staff had spend several months in developing the MIA, the City of San Diego insisted on
droppjng that effort and prepared another document (MOU) that dealt with only the issues that
were of primary concern to the City of San Diego and stated that the issues of Concern to the
Agencies be address in the MIA later. The areas that the MOU covers are:
1. EOUAL SHARING OF COSTS
Equal sharing in cost by all members proportional to flow for M & 0, CIP, expansion
and water reclamation treatment and transmission costs. (not distribution costs)
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Page 3, Item ?l'"
Meeting Date: 4/19/94
2. PAYBACK FRONT FUNDED COSTS
Agencies to pay back equal share of all costs since 1987 that San Diego spent that aren't
allowed to be charged under current contracts, and at 7 % annual interest. This is jn
addition to past costs that can be financed through bonds. Cost to Chula Vista for past
expenditures is $3.03 million due July 1, 1994, and approximately $614,000 per year
debt service for 30 years.
3. WITHDRAWAL PROVISIONS
Once debt is issued by City of San Diego, each Agency would be responsible for that
debt based on flow, for the entire period of bond issue, whether or not the agency stayed
in the Djstrict or even stayed in the system.
4. CAPACITY RIGHTS
All members would have the choice of keeping capacity rights to the amount currently
owned in the 1960 agreement. They could turn back capacity jnto a pool and get
reimbursed in the future as new connections made to the system. Each agency that kept
it's Advanced Primary Capacity could collect the advanced primary portion of the
connection fee and keep it, until that agency's flow equaled its capacity right.
5. APPORTIONED COSTS - EXISTING USERS VS. FUTURE USERS
All costs contributed to flows beyond the current flow would be considered expansion,
and apportioned to new connections. City of San Diego and Later Participating Agencies
are required to build Pt. Lorna (METRO I) to its ultimate capacity based on design in
1960 Agreement. Any costs to upgrade Pt. Lorna would be apportioned on the ratio of
current flow to 234 mgd.
6. COSTS - SEWER USERS VS. WATER USERS
Sewer users will pay for all costs of water reclamation including some transmissjon costs,
but will not pay for distribution costs to the water customers.
7. 1960 AGREEMENTS WITH CITY OF SAN DIEGO
The MOU indicates that the 1960 Agreements with each Agency and the City of San
Diego will termjnate with the sjgning of the MOU. The TAC on April 8, 1994 made
a recommendation that the 1960 Agreements would be in place for any agency that
withdrew from the District prior to the transfer (scheduled for July 1995 or later).
8. DIRECT CHARGE TO RATE PAYERS
The MOU states that the District will directly charge each customer within a member
Agency for Djstrict charges. The local Agency will have to make arrangements for
collecting costs for local collection charges.
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Page 4, ItemX
Meeting Date: 4/19/94
ANALYSIS
This analysis will be divided into three sections:
A. Overview of issue - Why should we sign the MOU now?
B. Items not addressed or not addressed adequately in MOU
C. Detailed review of proposed MOU
A. OVERVIEW OF ISSUE - Why should we si!1:n the MOU now?
Chula Vista is about to embark into an enterprise that could cost our ratepayers in excess of $0.5
billjon over the next thirty years, plus new connection charges over the next 15 to 20 years
exceeding $260 million. Those costs are based on the Consumers Alternative which may never
be built. Most sewer people in the region believe that if the Consumers Alternative is not built
a more expensive system will be built. Is it advisable to sign an agreement now that commjts
us into the future. when we don't even know what will be built? If we knew what was going
to be built, we would have a comparison to other options we might wish to explore.
The Council has directed Staff to work with other South Bay Agencies to develop an option to
full membership in the District. This might include us keeping our contract status, with the City
of San Diego, and building capacity for growth beyond our capacity rights. Although we may
very well arrive at the decision to be a full member of the District, we don't know that now,
and really will not know costs of all our options until a new consent decree is approved.
There are other issues, discussed below, that are either not addressed in the MOU, or not
addressed adequately. If we sign the MOU now, giving San Diego what they want upfront, 1!.@
we 10sin!1: ne!1:otiating power bv signing the MOU now? It appears to staff that we would lose
negotiating power.
BASED ON THE ABOVE DISCUSSION, IT DOESN'T APPEAR TO STAFF THAT WE
SHOULD SIGN THE MOU AT TillS TIME.
B. ITEMS NOT IN OR ADEOUATELY RESOLVED IN THE MOU.
1. Weighted Votes - This is not adequately resolved. It is staff's recommendation
that the weighted vote provision be modified to provide San Diego with a veto
right but not necessarily a right (with just one other agency) to do anything they
want. Currently the weighted vote provision provides that any agency can call
for a weighted vote on any issue. If two members from different agencies or
one member from a different large agency (City of San Diego, County of San
Diego, Chula Vista, or El Cajon) seconds the motion, a weighted vote will be
called. City of San Diego ( who now has about 65 % to 70 % of the sewage flow
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Page 5, Item1
Meeting Date: 4/19/94
into the system) will have 50% of the vote, if one more agency votes in favor of
the motion along with City of San Diego, the vote will pass.
Staff is concerned that with that provision we have less control over our destiny
than we'd have with our current Agreements. Staff proposes to change the
provision for a weighted vote such that any member can call for a wejghted vote,
the second could come from a board member representing the same agency. In
order to pass a weighted vote, it would have to receive a positive vote from the
majority of the Board members, and also from the board members representing
a majority of the flow. In this scenario City of San Diego would, in effect, have
a veto right. That means San Diego would have to gain six more votes than they
now have in order to pass a motion.
2. South Bay Reclamation - There is no discussion concerning South Bay water
reclamation. There has been talk and· proposals presented, but nothing agreed
upon. That issue is important to Chula Vista and should be decided before we
sign an MOU.
3. County Water Authority Commitment - So far all costs related to water
reclamation are now proposed to be paid for by sewer users with the exception
of distribution lines to the customers. The County Water Authorjty has not
committed to paying anything for reclaimed water. The CW A and MET have
programs where they pay around $250 per acre foot (AF) subsidy for reclaimed
water. Their representative on the TAC has indicated that any savings in keeping
Point Lorna at Advanced Primary should first go to the water users. Staff
believes there may be justification for sewer users to contribute some savings to
the water user. However, the CW A should pay at least the avoided costs for
reclaimed water that they would have to pay to produce new water for the region.
C. DETAILED REVIEW OF PROPOSED MOU
This review will concentrate on areas of the MOU where staff is in disagreement or has
concerns with the particular provision.
Pg 2 bottom EXTINGUISH OLD AGREEMENTS - This section would extingujsh the
1960 Sewer Agreements with each agency with the sjgnjng of this
agreement. This should not occur until at least the Transfer of Facilities
to the District (scheduled for July 1995 or later).
Pg 3 add Whereas, it is acknowledged that the obligations of each Participating
Agency and Later Participating Agency under the MOU are conditioned
upon approval of the Master Inter-Agency Agreement (MIA) and upon the
Transfer. Now, Therefore, ...
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Page 6, Item1
Meeting Date: 4/19/94
Sec I,A,1.(a) Front Funded costs - We shouldn't pay these costs until the transfer.
(c) Some of the front funded costs are for abandoned projects that San Diego
did pre-designs and some design work on. This represents about 20% to
30% of front funded costs for which San diego could not bond. I don't
believe we should pay for that portion until those facilities are built.
Interest at 7 % is a large part of the front funded costs. We shouldn't pay
interest since we haven't legally been apportioned the costs yet.
Pg 6 Billing Method After Transfer - This states that all costs for M & 0 and
Sec I,A,3,c construction will be charged directly to ratepayers by the Djstrict. We
may want to have the District charge us a wholesale rate and we would
charge Chula Vista customers. This doesn't have to be decided now, and
should be left open for a later decision.
Pg 7. The terms "the City of San Diego" should be changed to "any Agency."
(e) line 3
Pg 8 This states that "upgrade" means any improvement to the system up to
Sec I,A,5,(c) capacity of 234 mgd, as required by law, court order, consent decree,
permit, etc. A consent decree could go way beyond what the law
requires. The Agencies should not be required to pay those costs beyond
what the law requires unless agreed to individually. For example,
Alternative IV was within the consent decree, but way beyond the cost to
comply with the law only.
Pg 12 Obligations to San Diego if Withdrawal from District - This states if we
Sec I,C,l withdraw, we have to pay our share of bonded indebtedness based on
current flow until the debt is paid off. This is not fair, if someone else
is using our capacity at our expense. If we stay on as a contract member,
then we would expect to continue to pay our share of bonded indebtedness
for those facilities that could be charged under the 1960 Agreement, ie
upgrade, and betterment, but not expansion and water reclamation.
Pg 15 This section states that the transfer is not binding until certain things are
Sec I,D,3 done or agreed to. This is the reason that the entire MOD should not be
binding until the other agreements are resolved.
Pg 17 Weighted Vote - This is not adequately resolved in the MOD and we
Sec III,A should not sign it until it is. This was discussed earlier in this report.
Pg 18 This section acknowledges that there will be additions to the system that
See III,B,2 mayor may not add significant costs to be shared by everyone, Le. South
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Page 7, Item r
Meeting Date: 4/19/94
Bay reclamation, additional pipelines and pump stations now owned and
operated by member agencies. Staff would be more comfortable knowing
which facilities are included.
Pg. 19 International Border Sewage Flows - This is a very important item to
See III, D Imperial Beach. Many of the other agencies object to including this
subsection, particularly items 3 and 4 in the MOU because it might give
notice to the federal Government that the regjon is accepting this
responsibility. At this point, staff has no position. Arguments can be
made for both sides. There is a possibility the Board could make a
motion that the pollution of the Ocean by Mexican Sewage is objectionable
and the Board will take whatever action it can to rectify the situation.
RISK ANALYSIS
There are two risk scenarios that should be considered: 1) What is the risk of signing or not
signing the MOU at this time? and 2) What is the risk of not joining staying a Member of the
SDA WMD?
RISKS OF SIGNING THE MOU NOW.
1. We would lose negotiating power in structuring the MOU in the form that we want as
discussed above.
2. We're financially committed to a system that hasn't been formulated yet. Blank cheek!
3. No guarantee that the weighted vote formula would change.
4. No guarantee that South Bay reclamation would be built earlier.
5. May lose opportunity to have County Water Authority commit a larger share to water
reclamation.
6. May lose negotiation power in resolving the MIA and TOA.
RISKS IN NOT SIGNING THE MOU NOW
1. City of San Diego may withdraw from the District now.
2. We may have to extend the time that an agency could withdraw without penalty.
3. Items that have tentatively been agreed upon could be withdrawn from the table.
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Page 8, Item r
Meeting Date: 4/19/94
RISKS OF NOT JOINING THE SYSTEM NOW
1. Ifthe SDAWMD Board extends the date from June 30,1994, for the date an agency can
withdraw without penalty, then there is very little risk of not joining the System NOW.
2. If that date is not extended, then there may be a greater risk of staying in the system,
than there would be to withdraw. We would still have our Contract with San Diego.
CONCLUSION
· Staff believes that the MOU is not in a form to approve at this time.
· There are items of critical importance to Chula Vista that are missing.
· We don't know what the new System is going to look like or cost.
· The MIA has many issues that should be resolved.
· We shouldn't sign this agreement and lose our negotiating position for later agreements.
STAFF RECOMMENDS THAT THE AGREEMENT NOT BE APPROVED OR SIGNED BY
CHULA VISTA AND THAT OUR SDAWMD BOARD MEMBERS SUPPORT THE
DISTRICT EXTENDING THE PERIOD THAT AN AGENCY CAN WITHDRAW
MEMBERSHIP IN THE SDA WMD TO AT LEAST 6 MONTHS, OR UNTIL 3 MONTHS
AFTER THE COURT CASE IS RESOLVED.
FISCAL IMPACT: The fiscal impact of signing the MOU could be enormous as discussed
in the report. The full impact is not known at this time and that is a major reason that staff is
recommending we not sign the MOU at this time.
JPL:jpl
m:\home\engineer\agenda\moua113.414
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Latest as 4/8/94 cleaned.
DRAFT
MEMORANDUM OF UNDERSTANDING AMONG THE SAN
DIEGO AREA WASTEWATER MANAGEMENT DISTRICT,
THE CITY OF SAN DIEGO, THE PARTICIPATING
AGENCIES AND LATER PARTICIPATING AGENCIES
SETTING FORTH AND RESOLVING FUNDAMENTAL
POLICY ISSUES INVOLVED IN THE TRANSFER OF THE
METROPOLITAN SEWERAGE SYSTEM TO THE SAN DIEGO
AREA WASTEWATER MANAGEMENT DISTRICT.
WHEREAS, the parties to this Memorandum of Understanding
("MOU") are the City of Chula Vista, the City of Coronado, the
City of EI Cajon, the City of Imperial Beach, the City of La
Mesa, the Lemon Grove Sanitation District, the City of National
City, the Spring Valley Sanitation District, collectively
referred to herein as the "Participating Agencies;" the City of
Del Mar, the Lakeside/Alpine Sanitation Districts, the Otay Water
District, the Padre Dam Municipal Water District, the City of
Poway, the County of San Diego on behalf of the Wintergardens
Sewer Maintenance District, collectively referred to herein as
the "Later Participating Agencies;" The City of San Diego; and
the San Diego Area Wastewater Management District, referred to
herein as the "SDAWMD"; and
WHEREAS, the statute creating the SDAWMD became effective
January 1, 1993, (Chapter 803 of the 1992 statutes, California
Water Code Appendix, Section 133-101, et seq.) (the "Act") and
the SDAWMD has been duly formed, organized and is doing business;
-Page 1 of 21- ?r-q
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and
WHEREAS, Section 401 of the Act authorizes the SDAWMD to
acquire rights and assets, or assume obligations incurred, for
the development and operation of sewage treatment and related
facilities; and
WHEREAS, The City of San Diego has legal title to operate a
regional sewage collection, treatment and disposal system serving
the Greater San Diego Metropolitan Area (the "Metro System") and
has contracted with the Participating Agencies and Later
Participating Agencies, to provide for sewage collection,
treatment and disposal of their sewage pursuant to contract
("Sewage Disposal Agreements); and
WHEREAS, with the exception of the City of El Cajon, the
boundaries of the SDAWMD include all or portions of the corporate
, areas of The City of San Diego and the Participating Agencies and
Later Participating Agencies; and
WHEREAS, the City of El Cajon intends to join the SDAWMD,
and legislation to effect a conforming change to the Act to allow
the City of El Cajon to become a member is being considered by
the California State Legislature; and
. WHEREAS, The City of San Diego, the SDAWMD, and the
Participating Agencies and Later Participating Agencies agree by
signing this MOU to certain terms and conditions for the
acquisition of the Metro System and bonded indebtedness and
transfer thereof from The City of San Diego to the SDAWMD ("the
Transfer") , and for the extinguishment of The City of San Diego's
.
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obligations pursuant to the Sewage Disposal Agreements; and
WHEREAS, The City of San Diego, the SDAWMD, and the
Participating Agencies and Later participating Agencies agree by
signing this MOU to memorialize the resolution of the major
issues associated with this proposed Transfer and further agree
to the assumption of certain obligations and duties until the
Transfer occurs; NOW, THEREFORE,
BE IT RESOLVED, that the Parties agree as follows:
I. CITY OF SAN DIEGO ISSUES
A. COST SHARING
l. Front-Funded Costs
(a) Each Participating Agency and Later Participating
Agency shall pay The City of San Diego its proportionate share of
the costs front-funded, including interest, by The City of San
Diego, between July 1, 1986 and June 30, 1994, for Metro System
Water Reclamation Facilities and Metro System capital improvement
projects for expansion of the Metro System capacity above 234
millions of gallons per day ("MGD"). For the purpose of this
MOU, "Metro System Water Reclamation Facilities" means all
Capital Improvement Projects associated with the transmission and
production of reclaimed water, and does mean Capital Improvement
Projects associated with local distribution of reclaimed water.
(b) The proportionate share of these front-funded
costs for each Participating Agency and Later Participating
Agency shall be determined by the respective sewage flows of each
Participating Agency and Later Participating Agency into the
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Metro System, as set forth in Exhibit A attached hereto and by
this reference made a part hereof.
(c) All front-funded costs shall be repaid to The City
of San Diego by July 1, 1994, except estimated May 1994 debt
service payments for front-funded costs as referenced in
Exhibit A shall be paid by each Participating Agency and Later
Participating Agency by May 1, 1994. A Participating Agency or
Later Participating Agency, however, may request a payment plan
with The City of San Diego for the payment of its proportionate
share of front-funded costs.
(i) If a Participating Agency or Later
Participating Agency desires a payment plan, then the
Participating Agency or Later Participating Agency shall notify
The City of San Diego in writing of its acceptance of a payment
plan.
(ii) A Participating Agency's or Later
Participating Agency's payment plan shall consist of up to eight
(8) equal installments and shall include an interest rate of
seven percent (7%-) per annum.
(iii) A Participating Agency's or Later
Participating Agency's payment plan shall include its
proportionate share of front-funded costs and its proportionate
share of the estimated May 1994 debt service associated with
"noncontract costs" as referenced in Exhibit A. The
Participating Agency or Later Participating Agency shall continue
to be responsible for making its estimated May 1994 debt service
-Page 4 of 21-
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.
·
payment on May 1, 1994, for costs associated with "contract
costs" as referenced in Exhibit A.
(iv) All payments made by a Participating Agency
or Later Participating Agency pursuant to a payment plan shall be
completed no later than July 1, 1996.
2. ComDletion of Deferred Construction Pursuant to Sewaae
DisDosal Aareements
(a) All costs associated with completing the deferred
construction projects of the Metro System shall be paid by the
City of San Diego, the Lakeside/Alpine Sanitation Districts, the
Padre Dam Municipal Water District, the City of Poway, and the
Wintergardens Sewer Maintenance District in fulfillment of their
obligations pursuant to the terms of their respective Sewage
Disposal Agreements, and as more fully set forth in Exhibit B
attached hereto and by this reference made a part hereof.
(b) These deferred construction projects are in
completion of the original design criteria of the Metro System to
provide certain transmission, primary treatment, and disposal
facilities as more fully set forth in the referenced Sewage
Disposal Agreements and result in an ultimate sewage treatment
capacity of 234 MGD for the Metro System.
3. Qneration and Maintenance of Reaional Transmission.
Treatment. DisDosal and Water Reclamation Facilities
(a) Until the Transfer occurs, each Participating
Agency and Later Participating Agency shall continue to pay The
City of San Diego its proportionate share of all costs associated
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with operation and maintenance of Metro System transmission,
treatment, and disposal facilities in fulfillment of its
obligations pursuant to the terms of its respective Sewage
Disposal Agreement.
(b) Beginning July 1, 1994, and until the Transfer
occurs, each Participating Agency and Later Participating Agency
shall pay to The City of San Diego its proportionate share of all
costs associated with the operation and maintenance of Metro
System Water Reclamation Facilities. The proportionate share of
these costs for each Participating Agency and Later Participating
Agency shall be determined on the basis of the respective sewage
flows of each Participating Agency and Later Participating Agency
into the Metro System.
(c) After the Transfer, all costs associated with the
operation and maintenance of Metro System transmission,
treatment, and disposal, including operation and maintenance
costs for Metro System Water Reclamation Facilities, shall be
included within a uniform District-wide user fee that shall be
levied upon all ratepayers of the SDAWMD. The user fee shall be
based upon flow, suspended solids, and/or other wastewater
quality characteristics.
(d) Notwithstanding the provisions of Section
I.A.3. (c) of this MOU, after the Transfer customized service
charges shall be determined for any rate payer who resides in the
corporate area of a Participating Agency or Later Participating
Agency which treats a portion of its own wastewater flow.
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(e) Notwithstanding the provisions of Section
I.A.3. (c) of this MOU, after the Transfer any resident of the
corporate area of the City of San Diego whose wastewater flow is
not discharged into or treated by the Metro System shall not be
charged a District-wide user fee.
4. RaDair. ReDlacement. and Reconstruction
(a) Until the Transfer occurs, each Participating
Agency and Later Participating Agency shall continue to pay The
City of San Diego its proportionate share of all costs associated
with repair, replacement, and reconstruction of Metro System
facilities in fulfillment of its obligations pursuant to the
terms of its respective Sewage Disposal Agreement.
(b) After the Transfer, all costs associated with
repair, replacement and reconstruction of Metro System facilities
shall be included within the uniform District-wide user fee
referenced in Section I.A.3. (c) that shall be levied upon all
ratepayers of the District.
5. Ucqrade of Metro Svstem Facilities and Construction of
Metro Svstem Water Reclamation Facilities
(a) Beginning July 1, 1994, and until the Transfer
occurs, each Participating Agency and Later Participating Agency
shall pay to The City of San Diego its proportionate share of all
costs associated with the upgrade of Metro System Facilities,
including the construction of Metro System Water Reclamation
Facilities.
(b) The proportionate share of all costs associated
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with the upgrade of Metro System Facilities and Metro System
Water Reclamation Facilities for each Participating Agency and
Later Participating Agency shall be determined on the basis of
the respective sewage flows of each Participating Agency and
Later Participating Agency into the Metro System. The parties to
this MOU agree that the cost allocations for upgrade of the Metro
System Facilities and construction of Metro System Water
Reclamation Facilities contained in this MOU supersede their
obligations for payments for "New Construction" as set forth in
their respective Sewage Disposal Agreements.
(c) For the purpose of this MOU, "upgrade" means those
improvements to the original design of the Metro System with a
capacity of 234 MGD, which are required by prudent management
practice, court orders, regulatory agencies or consent decrees;
are necessary in order to comply with the National Pollutant
Discharge Elimination System ("NPDES") permits issued to The City
of San Diego; and/or are required in order for The City of San
Diego to comply with applicable laws, rules, and regulations.
6. Uuarade of Future Metro System Facilities
(a) After the Transfer, all costs associated with
upgrading Metro System facilities, including advanced primary
treatment and water reclamation, shall be allocated to future
users on the ratio that the increase in total sewage flows as of
July 1, 1994, bears to the prevailing total Metro System
capacity, not to exceed the capacity provided for by the deferred
construction projects described in Section I.A.2. (a) . The
-Page B of 21-
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formula to be used to calculate the allocation of these costs is
set forth in Exhibit C attached hereto and by this reference made
a part hereof.
(b) After the Transfer, these costs shall be included in a
connection fee to be levied on individual connections to the
Metro System.
(i) To the extent connection charges are
insufficient to provide for the upgrade of future facilities,
user fees as referenced in Section I.A.3.(c) shall be used to
provide initial funding.
(ii) The subsequent collection of connection
charges shall be used to fully repay, including interest, the
previously advanced user fees.
7. Excansion of Metro System
(a) Beginning July I, 1994, and until the Transfer
occurs, each Participation Agency and Later Participating Agency
shall pay to The City of San Diego its proportionate share of all
....
costs associated with the expansion of the Metro System beyond a
capacity of 234 MGD. The proportionate share of these costs for
each Participating Agency and Later Participating Agency shall be
determined on the basis of the respective sewage flows of each
Participating Agency and Later Participating Agency into the
Metro System.
(b) After the Transfer, all costs associated with the
expansion of Metro System facilities beyond a capacity of 234 MGD
shall be included in a connection fee to be levied on individual
-Page 9 of 21-
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connections to the Metro System.
(i) To the extent connection charges are
insufficient to provide for the expansion of the Metro System,
user fees as referenced in Section I.A.3. (c) shall be used to
provide initial funding.
(ii) The subsequent collection of connection
charges shall be used to fully repay, including interest, the
previously advanced user fees.
B. CAPACITY RIGHTS
1. After the Transfer, The City of San Diego and the
Participating Agencies and Later Participating Agencies shall
have guaranteed capacity rights up to a total of 234 MGD in the
Metro System as currently provided for in their respective Sewage
Disposal Agreements, and as more fully set forth in Exhibit D
attached hereto and by this reference made a part hereof.
2. After the Transfer, The City of San Diego or any
Participating Agency or Later Participating Agency may choose to
relinquish itself of certain capacity rights in the Metro System.
If the City or a Participating Agency or Later Participating
Agency chooses to relinquish a specific amount of capacity in the
Metro System, then that capacity shall be placed into an excess
capacity pool managed by the SDAWMD. Until the Transfer occurs,
the rights of The City of San Diego and each Participating Agency
and Later Participating Agency to otherwise dispose of capacity
under the Sewage Disposal Agreements shall remain in full force
-Page 10 of 21-
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and effect.
3. Repayment to The City of San Diego or a Participating ,
Agency or Later Participating Agency for capacity placed into the
SDAWMD excess capacity pool shall be made by the SDAWMD from
funds remaining after all operating and maintenance expenses,
debt service payments, financial reserves, including reserves for
rate stabilization, and outstanding obligations have been met for
the current year and are declared to be surplus by the SDAWMD
Board after an appropriate analysis of the financial solvency of
the SDAWMD is performed. Such repayments shall be secured on a
subordinate basis to all outstanding debt of the SDAWMD.
4. After the Transfer, each Participating Agency and Later
Participating Agency shall be required to continue to make annual
capacity payments to The City of San Diego as set forth in its
respective Sewage Disposal Agreement.
5. The City of San Diego shall not be required to purchase
or otherwise make provision for the excess capacity of any
Participating Agency or Later Participating Agency.
6. The SDAWMD shall guarantee to The City of San Diego and
each Participating Agency and Later Participating Agency that
there will be sufficient capacity in the System to meet the needs
of The City of San Diego and each Participating Agency and Later
Participating Agency.
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C. OBLIGATIONS TO THE CITY OF SAN DIEGO UPON WITHDRAWAL FROM THE
SDAWMD
l. In the event a Participating Agency or Later
Participating Agency withdraws from the SDAWMD after July 1,
1994, and prior to the Transfer, the Participating Agency or
Later Participating Agency shall pay to The City of San Diego its
proportionate share of all costs, including bonded indebtedness,
incurred by The City of San Diego for the maintenance, operation,
repair, replacement, reconstruction, upgrade, and expansion of
the Metro System prior to the Participating Agency's or Later
Participating Agency's withdrawal. For the purpose of this MOU,
"costs incurred" means payments which have been made or
contractual obligations which have been entered into for which
future payments must be made. The Participating Agency's or
Later Participating Agency's proportionate share of these costs
shall be determined on the basis of its respective sewage flow
into the Metro System.
2. In the event a Participating Agency or Later
Participating Agency withdraws from the SDAWMD after July 1,
1994, and prior to the Transfer, after its withdrawal the
Participating Agency or Later Participating Agency shall be
obligated to the City of San Diego for the following:
(a) its proportionate share, as determined by its
respective sewage flow into the Metro System, of any bonded
indebtedness incurred by the City of San Diego prior to the
Participating Agency's or Later Participating Agency's
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withdrawal;
(b) all costs it is obligated to pay pursuant to its
respective Sewage Disposal Agreement.
3. The provisions of Section I.C. do not modify· or affect
the provisions of Section 703 of the Act, and do not govern the
obligations that may be owed by the City of San Diego, a
Participating Agency, a Later Participating Agency, or their
ratepayers, to the SDAWMD as a condition of receiving services
from the SDAWMD.
D. TRANSFER
1. The parties to this MOU agree to cooperate to
facilitate the Transfer.
2. Transfer of the Metro System assets and liabilities to
the SDAWMD, assignment of existing rights and delegation of
duties of all parties under the Sewage Disposal Agreements,except
as otherwise provided in this MOU, and assumption by the District
of the City's obligations with respect to wastewater collection,
treatment, and disposal (with the express written consent of the
Participating Agencies and Later Participating Agencies duly
authorized by an action of the appropriate governing body),
including the Transfer of the National Pollution Discharge
Elimination System ("NPDES") permits and Clean Water Act
compliance mandates (if any), shall not occur until the following
conditions have been satisfied:
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(a) The City of San Diego and the SDAWMD shall be
found to be in compliance with the "Master Installment Purchase
Agreement by and between The City of San Diego and the Public
Facilities Financing Authority of the City of San Diego" ( "Master
Installment Purchase Agreement") dated as of September 1, 1993,
and/or any amendments or supplements thereto, by the "Trustee"
which is acting pursuant to "Issuing Instruments" as defined in
the Master Installment Purchase Agreement. The option to defease
the Public Facilities Financing Authority of City of San Diego
Sewer Revenue Bonds, Series 1993, pursuant to Section 6.20(f) of
the Master Installment Agreement, or any other bonds issued for
,
the Metro System by the Public Facilities Financing Authority of
The City of San Diego prior to the Transfer, shall not be
exercised unless such defeasance would be economically favorable
to The City of San Diego. the Participating Agencies, the Later
Participating Agencies, and the SDAWMD.
(b) The SDAWMD Board of Directors agree to assume
·
responsibility for the litigation entitled United States of
America. et al. v. City of San Dieao (Case No. 88-1101-B (lEG»,
and for carrying out any consent decree or court order resulting
therefrom which affects the Metro System.
(c) The SDAWMD Board of Directors approve the transfer
· of and assume responsibility for all permits affecting the Metro
System, including but not limited to NPDES permits, and the
appropriate regulatory agencies approve such transfer.
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3. The City of San Diego, the SDAWMD, and the
Participating Agencies and Later Participating Agencies agree
that the Transfer dates set forth below in Section I.E. of this
MOU are not binding on the parties and that no Transfer of The
City of San Diego's Metro System assets and Metropolitan
Wastewater Department to the SDAWMD will occur until the
conditions set forth above in Section I.D.2. have been achieved.
4. The assets and liabilities to be transferred to the
SDAWMD shall be defined further in a separate agreement between
The City of San Diego and the SDAWMD.
E. GOVERNANCE
l. The SDAWMD, as authorized by the Act, intends to become
the agency responsible for regional operation of a wastewater
transmission, treatment and disposal in the Greater San Diego
Metropolitan area as soon as possible.
2. The parties to this MOU agree to use their best efforts
to achieve the following target dates to realize the goals set
forth above:
(a) December 31. 1994 - completion of and final
approval by The City of San Diego and the SDAWMD of an agreement
defining the assets and liabilities to be included in the
Transfer, or otherwise providing for the details of the Transfer.
(b) Julv 1. 1994 to June 30. 1995 - or until the
acquisition and Transfer occurs, The City of San Diego shall
consult with, receive, and consider recommendations from the
-Page 15 of 21-
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._~- ~.,._-
SDAWMD Board of Directors on those matters of budget, bond issue,
financing, planning, engineering, design, construction, and
operations of the Metro System that require the approval of the
San Diego City Council. Such consultations and recommendations
shall occur in the normal course of business for The City of San
Diego and shall not impair the City of San Diego's ability to
timely respond to regulatory and court imposed mandates and
deadlines, or to meet any contractual obligations. San Diego City
Council Agenda Reports regarding the Metro System shall state the
SDAWMD Board of Directors' recommendation, if any, on action
items before the San Diego City Council. The parties to this MOU
agree that The City of San Diego is not obligated to delay the
preparation of any report to the San Diego City Council if a
SDAWMD Board of Directors' recommendation has not been received
at the time a report is finalized. Issues relating to City
personnel relationships (hiring, dismissals, transfers, working
conditions, benefits, etc. ) shall remain the sole responsibility
of The City of San Diego.
c) Julv 1. 1995 - Transfer of the City's Metro System
assets and Metropolitan Wastewater Department to the SDAWMD.
:IL D:ISTR:ICT :ISSUES
A. SEWER REVENUE FUND
l. Beginning July 1, 1994, The City of San Diego shall
, separately identify for budgeting purposes the portion of sewer
revenues collected by The City of San Diego which are allocated
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to the Metropolitan Wastewater Department.
B. RELEASE OP :mJ'ORMATION TO PACILITATE THE TRANSPER
1. Beginning July 1, 1994, The City of San Diego shall
disclose to the SDAWMD staff and General Counsel all public
records relating to contracts, personnel, permits, revenues and
expenses, funds and finances, and litigation affecting the Metro
System. All other documents or information relating to the above
referenced items which are not public records may be released to
the SDAWMD staff or its General Counsel if approved for release
by the San Diego City Manager, the San Diego City Attorney, and
for matters concerning litigation, the San Diego City Council.
III. PARTICIPATING AGENCIES' AND LATER
PARTICIPATING AGENCIES' ISSUES
A. WEIQIU!lõD VOTE
1. The City of San Diego and the Participating Agencies and
Later Participating Agencies agree that any change to the
weighted voting method as set forth in Sections 314, 315 and 316
of the Act shall be resolved by the SDAWMD Board of Directors
with the express approval of The City of San Diego, the
Participating Agencies and the Later Participating Agencies, and
their respective governing bodies.
2. Any change to the weighted voting method shall be
accomplished by a conforming change to the Act and approved by
the California State Legislature.
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B. CONFIGURATION OF 1'"u~uKE METRO SYSTEM AND CONSTRUCTION
SCHEDULES
l. The City of San Diego, the Participating Agencies, the
Later Participating Agencies, and the SDAWMD acknowledge and
understand that the configuration of the Metro System's regional
treatment plants and the schedule for constructing those plants
shall be established by the outcome of the litigation entitled
United States of America. et al. v. Citv of San Dieao (Case No.
88-nO~-B (lEG» .
2. The City of San Diego, the Participating Agencies, the
Later Participating Agencies, and the SDAWMD agree that the
configuration of the Metro System's regional collection and
pumping system may be altered at a later date, upon the
recommendation of the SDAWMD Technical Advisory Committee,
pursuant to separate agreements between The City of San Diego and
the SDAWMD.
C. AUDIT OF METRO SYSTEM FINANCING
l. Subject to the approval of the SDAWMD Board of
Directors, an audit of Metro System financing may be conducted
prior to the Transfer.
2. If an audit is conducted, each Participating Agency and
Later Participating Agency shall pay its proportionate share of
all costs associated with the audit.
3. The City of San Diego agrees to provide all information
necessary to conduct the audit, but shall not be responsible for
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paying any of the costs associated with the audit.
D. XNTBRNATIOHAL BORDER SEWAGE FLOWS
l. The environmental and health problems created by sewage
flows originating in Mexico and crossing the international border
into San Diego County, California, shall be recognized by The
City of San Diego, the Participating Agencies, the Later
Participating Agencies, and the SDAWMD as a regional problem.
2. The SDAWMD shall use all available resources to work
with the Federal Government to assure that the Federal Government
assumes responsibility and meets its obligations for the
transmission and treatment of the Mexican sewage flows crossing
the international border into San Diego County.
3. Beginning July 1, 1994, and until the Transfer occurs,
in the event the Federal Government fails to pay for any portion
of the costs associated with the transmission and treatment of
any Mexican sewage flows crossing the international border into
San Diego County, The City of San Diego, the Participating
Agencies and the Later Participating Agencies shall pay their
proportionate share of the costs associated with the transmission
and treatment of the Mexican sewage. The proportionate share of
these costs for The City of San Diego and each Participating
Agency and Later Participating Agency shall be determined on the
basis of the respective sewage flows of the City of San Diego and
each Participating Agency and Later Participating Agency.
4. After the Transfer, in the event the Federal Government
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..
fails to pay for any portion of the costs associated with the
transmission and treatment of any Mexican sewage crossing the
international border into San Diego County, the SDAWMD shall pay
for those costs.
Dated:
Signatures:
The City of Chula Vista
The City of Coronado
The City of Del Mar
The City of El Cajon
The City of Imperial Beach
The Lakeside/Alpine
Sanitation District
The City of La Mesa
The Lemon Grove Sanitation
District
The City of National City
The Otay Water District
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The Padre Dam Municipal
Water District
The City of poway
The City of San Diego
The San Diego Area Wastewater
Management District
The Spring Valley Sanitation
District
The County of San Diego on
behalf of the Wintergardens
Sewer Maintenance District
KJS:smm:jrl:400-
03/22/94
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'. ,
EXHIBIT A
(Swmnary)
METROPOLITAN WASTEWATER DEPARTMENT
FY 1987 - 1994 ESTIMATED CAPITAL IMPROVEMENT PROGRAM, OPERATIONS & MAINTENANCE,
GRANTS AND INTEREST CHARGES ALLOCABLE TO THE PARTICIPATING AGENCIES
(IN THOUSANDS OF DOLLARS)
ESTIMATED ESTIMATED
FRONT FUNDED MAY 94 DEBT
COST DESCRIPTION COST DUE SERVICE
METRO R&R AND O&M 1,125
CWP SOPLFIRP CIP (778). 472
CWP SOPIFIRP GRANTS RECEIV (465)
CWP REPLACEMENT CIP 627
ABANDONMENT COST 0
NO FINANCING PROJECTS 2,220
GRANTS RECEIVABLE (1,977)
INTEREST 2,822
BUILDOUT 34
CONTRACT SUBTOTAL * $2,981 $1,099
CWP OVERSIZING/WATER REC 1,784
ABANDONMENT COST 1,191
NO FINANCING PROJECTS 5,481
GRANTS RECEIVABLE (1,626)
INTEREST 2,198
UNALLOCATED CWP ADMIN 2,617
INTEREST $218
NONCONTRACT SUBTOTAL $10,081 $1,784
TOTAL $13.062 $2 883
. * Contract refers 10 Ihe Sewage Disposal Agreement between Ihe Cily of San Diego and the Participallng Agencies.
ALLOCATION TO THE PARTICIPATING AGENCIES:
ESTIMATED ESTIMATED
FRONT FUNDED MAY 94 DEBT
AGENCIES COST DUE SERVICE
CHULA VISTNMONTGOMERY $2,329 $541
CORONADO $557 $120
DEL MAR $113 $39
rf~~~~~6S~}""""'" ...... ..... ..................../................/.....}\,../¡:~~~¡i····..··················· ........................(...:!~!
LAKESIDE-ALPINE $636 $140
LEMON GROVE $441 $96
NATIONAL CITY $204
$2,120 $471
$203 lli
AGENCIES' TOTAL $13,062 $2,883
The allocation of the fronl funded costs Is based on the respective flows of each Pertlcipating Agency for
the period from fiscal year 1987 through 1994. The estimated May 1994 debt service allocation Is based
on the fiscal year 1994 flows. This Is approximately 67% of the estimated annual debt service Participating
Agencies' allocation of $4.3 million. The annual debt selViea payments continue for a thirty year term.
.
Fila: exhasum Date: 10Mar94 Prepared by C Crandall
. . '-T-~' _ .- f? - J c)
-.....------ ------- -- ..~---------~------~----- ------
. .
(pHIBIT B)
City of San Diego Metropolitan Wastewater Department ummary
METROPOLITAN SEWERAGE SYSTEM
PROJECT COSTS TO BUILDOUT TO 234 MGD CAPACITY
(Actual Costs through FY 1993, Estimated Costs for FY 1994 - FY 1997)
% Estimated Allocable Buildout
PROJECT BLD FY 1963 - FY 1997 TOTAL
Fourth Pump, Pump Sta. 2 100 $233,677
Second Force Main 100 2,522,O~
Sedimentation Basins 5 & 6 100 638,976
Fifth Digester 100 301,520
Facilities Planning Study 100 178,000
Ocean Outfall 85 312,270
Diffuser Port Mocfdication
Metro Pump Station No.1, 94 2,028,628
Additional Pump
Metro Pump Station No.2, 95 3,678,817
Additional Pumps 5 & 6
Sedimentation Basins 34 5,814,312
9& 10 ALLOCATION OF COSTS TO
LATER PARTICIPATING AGENCIES AND SAN DIEGO
Grit Removal 50 2,819,686 Based on percemage Of Eligible Contra:led Capacity
Sedimentation Basins 55 1,711,443 ' Estimated Allocable Buildout
11 & 12 Qnc\. S. Effluent Chn\.) AGENCY CAP FY 1963 - FY 1997 TOTAL
·Sedimentation Basins 69 6,006,032 Lakeside/Alpine 2.68 1.395%
11 & 12 (excl. S. Effluem Chnl.) to 3.47 $431,815
-
Pump Station No.2, 71 9,739,680 Padre Dam 6.18 2.642%
Pumps 7 &8 $817,741
N. Metro Interceptor 0 0 poway 3.00 1.282%
Invoiced 87 1,134,350 · $396,800
Digester No.6 100 2,248,837 Wintergardens 0.00 0.067%
to 0.21 $20,826
Project Subtotal 39,368,318
Adjustments made: !PAs Subtotal 11.86 5.386%
Lass overhead (65,267) 10 12.86 $1,667,183
Less Non-Participation,
Per Sewage Disposal Agrmts. (6,000,000) San Diego 222.06 94.614%
Adjustments Required: to 221.06 $29.284,419
Less S. Effluent Chlrmel
Less N. Metro lnterce or
NET ALLOCABLE OTAL 233.92
% BLD All costs represent only 1he percentage Of 1he total project determined to be Bulldout to 234 mgd.
. Sedimentation Basins 11 & 12 (exe\. S. Effluent Chll"lneQ is scheduled for completion i'I FY 1997; If is 1he only allocable Bulldout
project not yet completed.
CAP Eligible contracted capacity In mgd for purposes Of LPA particpation in Buildout; may not equal total contracted capacity.
NOTE: All figures are subject to change based on actual costs and contracted capacity, and audit and anglneering
analysis Of projects prior to capitalization. As values for Buildout change, allocations will be amended.
File: MOUEXHTB.wK3 March 14, 1994 Prepared by C. R. Samples
ß-3/
..- - .
.-.~._- "-~---"_.~-"--_._-,-_._.._-_._---_.._---
. .
.
. .
.
EXIDBIT C
CUrrent flow - portion of upgrade costs allocable to existing users
219 MGO
Future flow /219 MGD - current flow) - portion of upgrade costs
219 MGO allocable to future users
.
NOTE: This formula will adjust to 234 MGO when ultimate
capacity is reached.
. .
. . <6-32-
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.
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EXHIBIT D
City of San Diego Metropolitan Wastewater Department
METROPOLITAN SEWERAGE SYSTEM
GUARANTEED CAPACITY RIGHTS
Guaranteed
Aaency CaDacitv (mad)
San Diego 152.42
ParticlDatina Aaency
Chula Vista/Montgomery 19.20
Coronado 3.00
EI Cajon 10.00
Imperial Beach 3.50
La Mesa 6.30
Lemon Grove Sanitation District ·2.80
National City 7.10
Spring Valley 10.70
Later ParticiDatina Aaency
Del Mar 0.80 .
.
Lakeside and Alpine Sanitation Districts 4.47
Otay Water District 1.20
Padre Dam Municipal Water District 6.22
poway 5.00
Wlntergardens Sewer Maintenance District 1.21
TOTAL 233.92
File: MOUEXHTD.WK3 Marcb 10. 1994 Prepared by C. R. Samples
.
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