To: Honorable Mayor and Members of City Council
From: Jacques R. LaRochelle, Public Works Director
Prepared By: Phil Brun, Deputy Public Works Director
TITLE:
Title
Water Supply Contract with Congress Valley Water District
LABEL
RECOMMENDED ACTION:
Recommendation
Approve the first Amendment to the Water Supply Contract with the Congress Valley Water District (City Agreement No. 5387), authorize the Public Works Director to execute the Amendment on behalf of the City, and determine that the Amendment is exempt from CEQA.
Body
DISCUSSION:
The City has supplied water to the Congress County Water District (commonly known as the "Congress Valley Water District") since 1951. The current Contract (City Agreement No. 5387) was executed in 1987 and expires on July 1, 2017 (Attachment 1). The base terms of the Contract include water supply, direct billing to District customers at the Inside City water rate, a cap on the quantity of water supplied annually and number of properties served, an established boundary where service is available and the requirement that the City operate, maintain and later replace all infrastructure. In 1987, the District installed new distribution pipelines throughout the service area and the City paid to oversize some of the lines from 8-inch to 12-inch since City water is wheeled through the District pipelines within the Browns Valley pressure zone (see Attachment 2).
The current Contract anticipated that the District would initiate proceedings to dissolve the District during year 30 of the Agreement. Over the last year, the District, City and LAFCO have engaged in discussions related to the District; however no action to initiate dissolution has been taken. At the February 2017 meeting, LAFCO directed its staff to conduct a Municipal Service Review for the Congress Valley Water District (see Agenda Item 8a from February 6, 2017 LAFCO meeting for additional details). In the next few years, the City will be conducting a Genera...
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