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HomeMy WebLinkAboutAgenda Bill 3B 06/07/2010~p'LU~ a~ '~ ZgS$ DATE: June 7, 2010 TO: Honorable Mayor and. Members of the City Council through City Manager FROM: Pamela Tuft, Interim Director Water Resources & Conservation SUBJECT: Resolution Authorizing the City Manager to Execute Agreements for Use of Recycled Water R E C O l V 11 V I E~ N D A' I' I 'O l y It is recommended that the :City .Council .adopt the attached Resolution Authorizing the City Manager to Execute. Agreements for Use of Recycled W. ater. " >BACKGI2®i:TND: The City has limited storage capacity at the Ellis Creek Water Recycling, Facility. Regional Water Quality Control Board (WQCB) regulations preclude discharge to the Petaluma River from May to October, identified as-the non=discharge"season. The City of Petaluma began using recycled wastewater on "agricultural land. in 1.976 to meet this discharge. need. A wastewater irrigation. study provided evidence that .effluent from the oxidation ponds could successfully irrigate a range of crops under local soil and climatic conditions. The study laid the groundwork for an agricultural irrigation partnership with several agricultural users. In 1984, the: City began. pumping recycled water under pressure to the- hydrants. At the program onset, the City provided the necessary irrigation equipment,. Over the years, upgrades to the irrigation equipment have been made by the ranchers with fees paid by the City to the ranchers for utilizing the recycled water. In 1998; the City executed 4-year contracts with seven land owners at an average rate of $220 per acre-foot, with a maximum total entitlement of 2;1.55 acre-feet per year. Since. 2002 the City has perodically°executed 2-year and 4-year contracts setting a maximum total entitlement of 1,690"acre-feet for'agricultural irrigation. The-most recent, contracts, which expired this year, paid $237.26 acre-ft by the end of the contract ter_ m. A historical comparison of water distributed and payments made>to the ranchers is included in Figure 1. .Current Prograirif The City currently delivers secondary recycled water to nine customers. The majority. of the recycled water is used for irrigation of agricultural lands (80%), and the remainder (20%) is used to irrigate Adobe Creek Golf Course, Rooster Run Golf Course and one Agenda Review: Dept. Directo " City Attorney Finance Director~~~~ City Manager 1 small vineyard.. InA200'9, Petaluma produced 7&3 million gallons (2,404 .acre-feet) of secondary and tertiary recycled' water,: representing 4.8% of the "City's annual average flow. ~ This. is one of the highest recycled water rates in fhe Bay Area. DISCUSSION: Each participating landowner has. successfully converted their lands from dry native rangeland, to irrigated pasture. This was .accomplished through cultivation .and re-seeding the lands. One rancher has planted fruit trees and landscaping around his property and many landowners•have installed fencing and cross-fencingto segregate fields to manage livestock. Last year approximately 750 acres of agricultural land was irrigated with a total of 522 million gallons (1,602 acre-feet) of recycled water. The program in the expired contracts allows-for 800 acres of agricultural land irrigated with an average of 560 million,gallons (1.,719 acre-feet) of recycled water annually.. The irrigated lands are shown on Attachment 2. The recycled water is distributed. from the oxidation ponds to the lands through three pump atations operating in series, transmission pipes and hydrants with containment of potential runoff provided by nine check dams. New Agricultural Program: The General Plan 2025 includes. policies and programs to transition the recycled water program frgm the agricultural setting to the urban setting. This contract begins to reflect- those changes by accounting. for the-irrigation of Rooster Run Golf Course with secondary water~instead of potable water and the extensive use of tertiary recycled water at the Ellis Creek Water Recycling- Facility instead of tapping into the potable water supply .for this. newly created demand. T.he agricultural contract. provides for a secondary program that allows for a maximum of 386 million. gallons (1,185 acre-.feet) of recycled water annually to the agricultural users. Rancfies that are furthest away from the plant received a 25% reduction in water allotments to reduce pump operating costs. A clause is also included in the contracts stating that the City does not expect to continue the. recycled water agreements beyond 2013, unless there are delays in implementation of the City's urban water recycling program. The City is also .required to notify each contractor by January 1, 2013., if the City intends to agree to any extension beyond 2013. Each contractorhas been advised.directly of these provisions. This requires the ranching partners to plan to return to dry ranching when the City completes the recycled water distribution system, to use tertiary water on turf within the City limits. ~INANCIAI, IIVIPACTS: The annual payments recommended. in these agreements for :using :recycled water total $220,000. Annually the City reserves .$.95;000 for maintenance of the irrigation system to prevent leaks. The total. budget in the; wastewater fund -for. the recycled water-program is $315,000 annually (account code 6600.66500.:54130) and $945,000 over the three year term of the contract. The current account; balance is $273,047 (two months remaining, in budget year). The City was able to negotiate a;payment of $`185 nacre-ft (down. from $237.26) with no CPI adjustment saving the City approximately $70,000 annually. The historical payments 'and the anticipated payments for the,.new contrac't' are reflected in Figure 1. 2 Figure' 1. Historical:recycled water payments and:amount of water distributed annually New contract anticipated payments and distribution 600000 5000 500000 4000 v .~ 400000 - - - - - - - 3000 v 300000 '^ E 2000 '~ ~ 200000 - -, n; a 100000 - 1000 3 0 0 tp 00 O N c7 tD 00 00 61 C~ 61 6l 00 O N V lfl W O N 6l O O O O O ~ ti ~ ~ at ~ G~ ~ C71 O O O O O O O ri c-I r-f ri r-I r-I c-i N N N N N N N -Payments -~-Distribution ATTACHMENTS 1. Resolution with Exhibit A 2. Recycled Water Irrigation Areas 3 "Attachment 1" 1. ~2esolution Authorizing the. City 1VIanager to Execute Agreeme®ts :for. 2 Use ~of recycled VVa~ter 3 4 WI~EI~AS, the Regional Water .Quality Control Board prohibits the City from 5 discharging treated effluent into the Petaluma River from May 1 to October 20; and 6 7 W~IEI2EAS, the application of recycled. water and maintenance of the system is included 8 in the Department of Water Resources. and Conservation Fiscal Year 2009 - 2010 9 Operations and Maintenance Budget and in the Fiscal Year 2010 -1011 draft Operations 10 and Maintenance Budget; and 11 12 W>EIEREAS, the program involves the..application of approximately 386 million gallons 13 (1,185 acre-feet) of secondaryrecycled water from the City's oxidation ponds at 4400 14 Lakeville Highway to six ranches northeast of the ponds; and 15 16 WI~EIZEAS, it is estimated. that the. annual amount of water not discharged to the 17 Petaluma River but instead recycled is 48% of all wastewater generated from the City; 18 and 19 20 WIIEItEAS, agriculturaLreuse ofrecycled water made possible. by the recycled water 21 use agreements will support compliance with the requirements of the Regional Water 22 Quality Control Board. 23 24 N®W TIIEItEF®RE BE IT RESOLVED by the City Council o f the City of Petaluma 25 that the City Manager is authorized and directed to execute Agreements for Use of 26 Recycled Water with agricultural users; in a form substantially similar to the form 27 agreement in Exhibit A attached hereto, subject to the review arid. approval of the City 28 Attorney. 29 4 ~~ ro '~+ ~ ~~ rv ~ r + ~ ~ ~ ~ I ~ VV LDS X + ' • ' i~'. 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