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HomeMy WebLinkAboutStaff Report 5.E 06/06/2011Kn g At ,. DATE June 6, 2011 TO: Honorable Mayor aril 1V1'embers of the City Council through City Manager FROM: Pamela Tuft, Interim Department of Water Resources and Conservati SUBJECT: Resolution Authorizing the City Manager to Execute the Memorandum of Understanding Establishing Membership in the Bay Area Water Reuse Authority RECOMMENDATION commended thatthe City Council,adopt the attached,Resol`ution Authorizing the City It. rs,, re . Manager to execute the Memorandum of Understanding establishing menbership:in the Bay Area Water Reuse Authority (NBWRA). BACKGROUND Th oBnt a p y 2005 for the purpose of coordinating interagency efforts to address the use was of rec crea d ed water on a regional basis. Membership in" NBWRA is secured through a Memorandum of Understanding (MOU). The MOU has been amended twice, the most r of which is 'the Second Amendment MOU executed, on September 15, 2010 (attached). The stated`purpose tof the NBWRA is to provide recycled water for agricultural, urban, and environmental uses thereby reducing reliance on local_and;imported,. surf ace water and groundwater supplies and reducing'the amount of treated effluent released to San Pablo Bay and its;tributaries. Current members,: cons ist.of Sonoma County Water Agency, Sonoma Valley County Sanitation District, Napa Sanitation District, Napa 'Co,unty :North Marin Water District, Novato Sanitary District, and La Gallinas Valley Sanitary District. Phase I implementation (2065 -2010) included the Feasibility Analysis and cornpletion.of the EIR/ElS ,, for seven' projects: Hamilton Field/Novato South, (Las Gallinas,. and 'North 1Vlarin); Novato North ..(Novato SD and North Marin); Novato Central (Novato and North Marin), So rioma Valley Recycled "and Napa Sonoma Salt Marsh Pipeline'(Sonoma Valley); and, MST and N and is mourn fo ospital Pipeline (Napa). The NB WRA received a congressional appropriation N' a State 'H and is , g wo rk effort including project definitions leading to studies �and.EIR/E , y rward`to Ph IS preparati n As .a member, the,City of Petaluma would - be able to ad d i ts Rec Program ect es, rp m h are: rovem must be found consistent tfiPhase 1 ob ents to the list. Phase 2 p r Agenda Review: City Attorney Finance Director City Niana - • ffset tuba g demands on potable water °supplies; O n and agricultural • Enhance' local and regional ecosystems; • Improve local and regional water supply reliability; • Maintain and protect public health and safety; • Promote sustainable practices; • Give top priority to local needs for. recycled. water; and • Implement recycled water °facilities in an economically viable manner. On October 20, 2008 the City Council adopted Resolution 2008 -193 N.C.S. authorizing the City Manager to execute the Memorandum of Agreement. for the Bay Area Recycled Water Coalition Federal legislative efforts., _ S'in'ce 2008 the Department of Water Resources and Conservation (DWR &C) has been an active member of`the BARWC. Unfortunately, to date, BARWC does not have a current appropriation from Congress and the City has received no funding through that source for.recycled water projects. Following the adoption of the General Plan in 2008 and the certification of the Recycled Water Environmental Impact Report, the DWR &C has pursued site acquisition, design and engineering, and funding; sources for the next phases of the recycled water projects. In order to move forward with the appropriation process, joining forces with other agencies to collectively engage in funding opportunities has distinct, advantages. To optimize current capital funds, the DWR &C continues to seek additional State and Federal funding sources; Membership in the NBWRA further diversifies funding opportunities with regard to City recycled water projects through grants offered by the Federal government. This will aid 'in implementing the General Plan objectives,and City Council goals for the use of our recycled water assets in the most cost - effective manner. DISCUSSION Execution of the MOU by the City of Petaluma to' join NBWRA would allow staff to formally work with the NBWRA team to request appropriationpf grant funds. It would also open the door to seek future project funding as projects are identified by the City and prioritized. A voting member of the Board of Directors will be an appointed Council member, with an alternate, to ensure representation of the local interests and priorities. The Sonoma County Water Agency has been designated by the NBWRA to act as the Administrative Agency for "the purpose -of .carrying out the provisions of. the- MOU. Authority is subject to restrictions set fortfi.in the MOU, pages 12 — 14 (attached). FINANCIAL, IMPACTS The City share of the Phase 2 Project Definition Study costs; as members of the Authority, will range between $8,000 and $14,000,dependent upon the final number of participants. Annual dues are $5,000 (Section ,14 of MOU). Twenty five percent (25 %) of costs for paying for administrative duties, performed by SCWA, are split among the members equally with the remaining (75 %) of costs allocated in proportion to the benefit to each member in the form of federal - funding received'for the project. Phase 1 costs were $9,250 for the fixed share of the 2 costs incurred ~by SCWA, Phase 2 is expected to have a similar fixed cost plus a proportional share based qn the list and cost of projects submitted by the member, agencies. The MOU references an "initiation fee" (Section 16), which has not been identified or charged to date; that cost, if actually assessed, is unknown at this time. Staff time to attend the meetings and participate.in workshops is not expected to exceed $2 annually. Staff time, to work on local project specific efforts w. ill'be dependent upon future Couricil direction on project selection and prioritization. ' The City wilt fund, the,, annual costs, at this time estimated to'be approximately $15,000, through, the capital improvement funds budgeted for the projects proposed for funding through the Authority. ATTACHMENTS 1. Resolution 2. Phase 2 Feasibility Studies Action Steps 3 Memorandum of Understanding (second' amended, superseded original MOU and Amendment' 1) 3 Attachment 1, RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE THE MEMORANDUM OF UNDERS'T'ANDING '�EST,ABLISHING MEMBERSHIP IN THE r NORTH BAY WATER REUSE AUTHORITY WHEREAS, on, May, 19 20.08, the City Council adopted" Resolution No. 2008 -085 N.C.S. Adopting the City of Petaluma General. Plan 2025: ( "General Plan '), including its Technical Appendix C, a Water Demand and Supply Analysis Report (2006); and WHEREAS, th&General Plan and its Water Demand and Supply Analysis Report identify recycled water as an essential source of water supply to meet potable water demand in the City through 2025; and WHEREAS, General'Plan Goal 8 =G-3 requires the City to maximize the use of recycled water as a potable water offset to manage water demands and to, meet regulatory requirements for wastewater discharge; and WHEREAS, General Plan Goal 8: -G -4 requires the City to manage the wastewater collection and treatment system to address 100 percent capture and treatment of the City's wastewater in an economically and ecologically sound manner; and WHEREAS, the North Bay Water Reuse Authority has been formed by various North Bay Area public agencies to coordinate efforts to seek federal funding for recycled water projects pursuant to Public Law 10; and WHEREAS, the City of Petaluma.has ongoing and planned projects and programs to expand its treatment and use of recycled water, including but not limited' to the Water Recycling Facility and River Access Improvements Project and the Water Recycling Expansion Project which could benefit from federal.fund; and, WHEREAS.- improve s acres o federal gran with the North. Bay Water Reuse Authority may the.Cit ' p er membership man cog t funds to partially defray the costs of ongoing and /or imp ' planned recycled'water projects. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PE TALUMA. that the City Manager is authorized and directed to .execute the Second Amended Memorandum of Understanding, North Bay Water'Reuse' Authority (NBWRA), attached to this Resolution as Exhibit A, on behalf of "the City of Petaluma. .F Attachment 2 5 E ea a 0 E a t! LA r6 u Lj r. 0 C v ro dj Ll- to < 4-j to E fi M 0 u to Cl > a it ru w 4-h td Cz 4� CL W M -3) Z (U Q Qj < W - 4.0 . 0 6. 0 -T 4-1 6 4� un u n OJ LL M r Li AMOL ai ; " t 0 eq iA -0 g M E CL fl. r- V1 2 LN 0 r_ 4) G 13- 0 Attachment 2 5 : Supersedes Memorandum of, Understanding First Amended Memorandum of Understanding � a March 15, 2005. . September 24, 20Q8 NBWRA Second Amended MOU Table of Contents September 15, 2010 Recitals .......................... ....... ................................................................ ..............................4 Memorandum of Understanding ................................................................. ..............................6 1 : Definitions ............................................................................................... ..............................6 MOU......................................................................................................... ..............................6 NBWRA................................................................................................... ..............................6 Boardof Directors ....................................................................................................................7 Technical Advisory Committee .................................................................. ..............................7 Member Agency or "Member Agencies ................................................... ..............................7 North Region ...................................................................................... ..............................7 AdministrativeAgency .............................................................................. ..............................7 E R/ EIS .......:.......................:..................................................................... ..............................7 U BR ........................................................................................................ ..............................7 Phase1 ...................................................................................................... ..............................7 Phase2 ...... ............................... ................ ........... .......................... ..............................8 2 . Purpose .................................................................................................... ..............................8 3. Objectives ....................................................... ..................... ... .... ........... .... ...............8 ........ ..... .... .... .. 4 . Establishment of NBWRA ....................................................::................. ..............................8 5 . NBWRA Membership ...........................:............................:.................... ..............................9 6 . Governance ............................................................................................. ..............................9 7 Board of Directors ..:.............................................................................. ..............................9 Membership..............: ..............................9 Voting and Authorization Requirements .................................................... ..............................9 Quorum.................................................................................................... .............................10 OpenMeetings; ...................................................................................................................... 10 8. Technical Advisory Committee ........................................................... ......... .....................10 Purpose.................................................................................................... .............................10 Membership............................................................................................. ...................:.........11 Voting and Authorization- Requirements .................................................. ..............................I I Quorum.................................................................................................. ............................... I 1 9. Terms °of Office ....................................................................................... ..............................1 l 10. Alternates :........:.....:............................................................................. .............................12 l l .. Officers of.the _NBWRA ........................................................................ .............................12 Chair................:....................................................................................... .............................12 Vice -Chair .............................................................................................. ............................... 12 12. Administrative Agency ......................................................................:.. .............................12 13: Staff and Consultants ............................................................................ .............................14 14. Sharing of Costs and Resources ........................................................ ............................... 15 15. Distribution of Funds-Received ............................................................ .............................18 16. Initiation of Membership ...................................................................... .............................19 17. 'Termination of Membership........ .................................................... .............................19 Causes...................................................................................................... .............................19 Resignationby Giving Notice .................................................................. .............................20 2 NBWRASeco6d'Amended MOU 'September 15, 201.0 Nonpay offbues or Allocated Costs ............................... ............... ............................... 10 Effect ofTermination .......................... ............................... .................................. 20 " T8 Procedures ......:.................::...::......:.................................................. ............................2`1 19 , Meetings ........ .. ............: ............................... ......... .................... :.v..:.. ................2'1 20 Reports to Member Agencies ............ ............................ ................... .............................21 21:. Offices. .......................................................................................... ............................... .... 21 22. Term ..... ....:::......::......:.....::..............::....................................... .............................21 23: Dis ositiok of Property and p nd Surplus Funds:....::. ...:........ ...:......................... ::...::.:....:21 24 Minute . .................. ............................... ....... .: .... ............................................... 25 Effective Date ........................................................ ............................... ,..........................22 26 Counterparts.........;.:. .. .................. ...:......::..................................... .............................22 Exhibit ............................ .. .. ...................... .................. .............................25 ExhibitB ...... ............................... ...:.......................... ........:...............:::. .............................26 Exhibit C .......................... .. . . ........... ._ . _ ......... .............................27 ... ......... ...................... ..... ........... .... 3 NBWRA Second'Amended MOU MEMORANDUM OF UNDERSTANDING ESTABLISHING THE NORTH BAY WATER REUSE AUTHORITY September 15, 2010 This Memorandum of Understanding ( "MOU ") establishes the. North Bay Water Reuse Authority ( "NBWRA ") purposes described herein. This_MOU is made and entered:into by and between°the parties that are signatories to this MOU. The. MOU was. first approved March 15, 2005. The first amendment f6 the MOU was approved September 24, 2008. This is the second amendment of the MOU that originally established the NBWRA. This second amendment to the MOU supersedes all prev;ious'versions of the MOU. Recitals WHEREAS, each of the'parties to .this MOU is a local government entity functioning within the North Bay Region; as-depicted in E xhibit A,attached hereto and incorporated by referenced and WHEREAS, the arties,desireao enter into an MOU to explorethe feasibility of p� t p . • coordinating interagency efforts;t'o ex and the beneficial use of recycled water �n,the No rth, Bay Region., promoting: the conservation of'limited surface water and groundwaterresources; ' and WHEREAS, the parties'do not intend to create a separate public agency pursuant to Government Code §0500;et seq. through this MOU and, no provision of this MOU should be so construed; and 4 NB'WRA Second Amended MOU September 15, 2010 WHEREAS, the parties hereto may later explore the feasibility of changing their organizational structure by establishing a Joint Powers Authority in _a separateagreement that would advance the purpose and goals of the NBWRA, if construction projects are to be: undertaken jointly or if such changes are necessary in order'to receive federal,or state funds ,and WHEREAS, the parties hereto recognize the value of using common resources effectively; and WHEREAS, the parties hereto desire to be proactive on regulatory issues affecting the North Bay Region that transcend the traditional political, boundaries of the parties; and WHEREAS, the parties hereto desire to inform communities and the public in the North Bay Region about the importance of water conservation and the. benefits of water reuse; and WHEREAS, the parties hereto wish to coordinate their consideration and review of local, state and federal policies and programs related to the expansion of existing recycled water programs and the development of new recycled water programs in the North Bay Region; and WHEREAS the parties hereto find that promoting the stewardship of water resources in the North Bay Region is in the public interest and for the common benefit of all within the North Bay Region; and WHEREAS the parties recognizethat there are current and, future regulatory requirements which,zpply to water resources in the North Bay Region affecting one or more of said parties, and that these multiple regulatory requirements maybe better addressed.ona regional basis, and in a collaborative manner, and the parties wish to investigate more effective ways to share information and coordinate efforts to comply with said regulatory requirements; and WHEREAS, the parties intend that participation in this MOU be entirely voluntary; and 5 TI NBWRA Second Amended MOU September 15, 20J0. WHEREAS, it is understood that,ahe primary.`purpose "ofthis MOUj,s to provide a, governance struct y and of;0irectors consisting'.o friembers of the; overnin board structure,. led b a Bo. governing s fronythe IVleml&Agencies, for.the successful 'completion oftheprojectsdescribed in Phase 1, of the EI'RIEIS: WHEREAS, the parties previouslyiapplied.for federal ""funds to assist them with implementing their projects; and p. g p p g was WHEREAS, the arties did receive fundin ;,~which is art of °a ro ram °that: authorized for construction in,PL 11 I-1,l that was,signed into law in March 2009. The program can receive appropriations through the US Bureau of'Reclamation's Title: XVI program which can include, funds from the. American ;.Recovery and Reinvestment Act of 200.9 and the U.S. Department of Interior; Bureau'of Reclamation's`Title XVI Program. WHEREAS, Phase l includes receipt of the full $25, 000;000 federal authorization; and WHEREAS, the parties understand that reallocation of costs described herein can be� mader,with the approval of the parties as provided herein. ,p NOW, THEREFORE, the parties hereto do'hereby - enter into this Memorandum of Understanding, as f6flows: p, I� ing Niimorandum bf'Utiderstand I . Definitions: As usedl'iri this MOU, the following words and phrases shall have the- meanings , set forth below - w. .unless the context clearly indicates "otherwise: (a) "MOU" shall„mean this'secon&amen_ded Memorandu_m.of Understanding. (b) "NB WRA" shall mean fhe unincorporated, cooperative group of public agencies organized through this "MOU'and otherwise referred to as the North Bay WaterReuse Authority. 6 NBWRA Second Amended MOU September 15, 2010 (c) "Board of Directors" shall mean the governing body composed of membersOthe governing boards of the Member Agencies established pursuant to this MOU. (d) "Technical Advisory Committee" shall mean the administrative body established at the discretion of the Board of Directors pursuant to this MOU. (e) "Member Agency" or "Member Agencies" shall mean the local and/or regional public agencies regulated under the Clean Water Act, 33 U.S.C. § 1251 et seq., the federal Safe Drinking Water Act, 42 U.S.C. § -300f et seq., and /or the Safe Drinking Water Act, Health & Safety Code § 116275 et seq. that operate within or have jurisdiction over any area within the North Bay Region, and that are signatories to this MOU.. (fJ "North Bay Region" shall „mean the area-depicted on the map attached hereto and incorporated herein as Exhibit A. (g) "Administrative Agency” shall mean that Member Agency authorized pursuant to Section 12 to enter into contracts and perform other administrative functions on behalf of the NB W RA. (h) "EIR/EIS" shall mean the Environmental Impact Report/Environmental Impact`Statement, that was certified and or approved by the Member Agencies during December 20.09: and January 2010 and which serves as the basis.ofthe projects to be partially funded by USBR. (i) "USBR" shall mean the United States Bureau of Reclamation. 0) "Phase I" shall mean the projects described as Phase 1 of Alternative 1 of the EIR/EIS. It is understood that minor modifications to said projects may occur as actual design and 7 NBWRA Second Amended MOU September 15, 2010 construction occurs.and that the : individual agencies are responsible for - possible modifications to the 'requirements of the EIR/EIS. (k) "Phase 2" shall mean the'remaining projects in the EIR/EIS Alternative l that are not included in Phase 1. 2. Purpose. The purpose of NBWRA is to provide recycled water for agricultural, urban, and environmental uses thereby reducing reliance on local and imported surface water and. groundwater supplies and reducing the amount.of treated effluent released to San Pablo Bay and its tributaries. 3. Objectives. NBWRA projects will promote the expanded beneficial use of recycled water in the North Bay region to: (a) Offset urban and agricultural demands on potable water supplies; (b) Enhance local and regional ecosystems; (c) Improve local and regional water supply reliability; (d) Maintain and protect public health and safety; (e) Promote sustainable practices; (f) Give top priority to local needs for recycled water, and (g) Implement recycled water facilities "in an economically viable manner. 4. Establishment of the NBWRA. There is hereby established the North Bay Water Reuse Authority (" NBWRA"). The geographic boundaries of the NBWRA shall be the North Bay Region. (See Exhibit A). The NBWRA is an unincorporated association. By entering into this' MOU, the parties do not intend to form a.Joint Powers Authority pursuant to Government Code' §6500 et seq. 8 NBWRA Second Amended MOU September 15, 2010 5. NBWRA Membership. Any local and/or regional publici agency regulated under the Clean Water Act 33 U.S.C. '§ 1,251 et seq., the federal Safe Drinking Water Act, 42 U.S.C. § 30Uf et seq., and/or the state Safe Drinking Water Act, Health & Safety Code § 116275 et seq., that operates within or has jurisdiction over any area within the North Bay Region may be a Member Agency of the NBWRA. Each Member Agency must be a signatory to this MOU. 6. Governance. NBWRA governance structure shall consist of a Board of Directors.. The composition and responsibilities of the Board of Directors is detailed in Section 7. 7. Board of Directors (a) Membership The Board of Directors of the NBWRA shall consist of one representative from each Member Agency. Such representative shall be a member of the governing board of the Member Agency. The Member Agency shall designate one representative and alternate(s) each of whom shall be members of the governing board of the Member Agency. In the event that the governing body representative and alternate(s) are. unavailable for a particular meeting, the'Member Agency's representative on the Technical Advisory Committee may serve as an alternate. (b) Voting and Authorization.Requirements Each representative on the Board of Directors shall have one vote. Except as set forth in subsections (i) and (ii) below and as otherwise specified herein, the affirmative vote of the majority of all the members of the Board of D "irectors.is required and .is sufficient to approve any item. (i) An affirmative vote of members of the Board of Directors representing two - thirds of all Member Agencies shall be required to adopt or modify the budget. The budget may not be increased by more than ,fifteen percent (15 %) annually, without the unanimous 0 NBWRA Second Amended MOU September 15, 2010 approval of the Board'of Directors. (ii) Votes, of members of the Board of Directors to approve the .budget may not be unreasonably withheld. (iii) Approval by the governing bodies of two-thirds of all Member Agencies shall be required to modify this MOU. (c) Quorum. Representatives or alternates from a: majority:of the Member Agencies shall constitute a quorum for purposes of transacting business, except that less than a quorum may vote to adjourn a meeting or to set a date for the next meeting. If no more than a majority of members or alternates are present, the quorum will be able to conduct NBWRA business only by unanimous vote unless provided otherwise herein. (d) Open Meetings The. Board of Directors will comply with the Brown Act in holding its meetings. 8. Technical Advisory Committee , (a) Purpose The Board of Directors may create a Technical Advisory Committee as needed for the month -to -month management of budget; schedule, and scopes of work for the NBWRA. Typical duties of a Technical Advisory Committee include recommending contracting fora program manager; working through technical details of work" scopes °and products; authorizing the administrative agency to enter into, modify; or�accept work under any contract that is consistent with the budget,approved by the Board of Directors, and reviewing and recommending courses of action to the Board of Directors for their consideration. The Board of Directors may create or dissolve the Technical Advisory Committee at any time for any purpose, and may adopt a set of rules governing the 10 NBWRA Second Amended MOU September 15, 2010 p Technical Advisory Committee as it determines necessary to achieve the purpose and objectives stated herein. (b) Membership If created by the Board of Directors, the Technical Advisory Committee shall consist of one representative, not from the governing body, from each Member Agency. Such representative shall be the general manager or a suitable staff member of the Member Agency. In the event that the general manager or staff member is unavailable for a meeting,.he she may designate an alternate. (c) Voting and Authorization Requirements Each representative on-the Technical Advisory Committee shall have one vote. if a quorum is present, the quorum will be able to conduct NBWkA business only by a unanimous vote unless provided otherwise herein. (d) uorum: Representatives or alternates from a:majority of the Member Agencies, shall constitute a,quorum for purposes of transacting business; except that less than.a.quorum may vote to adjourn a meeting or to set a date for the next meeting. If no more than a majority of members or alternates are present the quorum will be able to conduct NB WRA business only'by unanimous vote unless provided otherwise herein. 9: Tereus of Office. Each representative on the Board of Directors shall serve for as long!as he. or, she `is a'member of the governing board of'his or her Member Agency and is designated "I bythe Member Agency to act as its representative. If at any time a vacancy occurs on the Board of Directors, a replacement shall be appointed by the Member Agency to, fill the unexpired term of the previous representative within ninety (90)Aays of the date that such position becomes vacant. I NB ,10 WRA Second- Amended'MOU September 10 AI or rts Technical Adv1 ', ternat`es'. ��Alternate re resentatives to the Board: of Director "s: , P B sort' , II Committee.shall be empowered to cast;votes iri the absence ofthe re dla )representdtive i' „ the event of a conflict of interest preventing the regular representative from voting to vote . because .of such a:conflict of interest:. 14. Officers of the:NgWRA. The Board of Oire'ctors'ofthe NBWRA shall elect a Chair Vice - the Char and' such other offs cers annually on the first meeting of the calendar year. T,he•Board of ,r • Directors may choose to adopt a policy that requires the,rotation ofthe'Chair, by Member w enc •on- an,,annu 'I basis s ice- Chair are as y The,duties of °,the Chair and V' fol lows: Ag , ��� (a) Chair The Chair shall direct the preparation of agendas call meetings of the Board of "I , rectors to order -and conduct;other activities asAeemed appropriate by the Board of Directors. Any member ofthe Board of Directors may place an item agenda. jI (b) Vice - Chair The, Vice -Chair shall'serve asahe.Chairin the,absenceo.f the 'regularly-elected k � .'lnthe even't,`botk�the Chair and Vi absent .;from a meeting which would ' Cha�_r, . I!' j, otherwise constitute;a•quorum and a temporary Chair Was not designated 6 the, Chair at g y i, I ! the last r egular meeting; any,Boaid�member may call�the� meeting to;or..er, and a ar or.yice =s j " P ry y be elected by majority vote to serve until the Ch Chair ► temp chair'ma presentw, : • I , ' '12: Administrative° Agency: The Member deal n noma County Water ,I ig ate the; S'o ministra„ Agency,.to act as the Ad tive Agency for purposeWcarryingrout the, provisions of ° th` l 1 . is -MO�U. The autho ty,delegated�'.herein to the be subjectto ° po g p pp ble tothe Administrative Agency restrictions u J n the manner' f exercisin ' ower'a° lica 12 K NBWRA Second Amended MOU September, 15, 2010 including but not.limited to the purchasing ordinances and purchasing procedures of the ) Administrative Agency. Within these limits, the.Board of Directors may direct the Administrative Agency's actions with respect to this MOU. The Administrative Agency, for the benefit of the NBWRA Members, shall: (a) Award, execute in its own name, and administerrsuch contracts on behalf ofthe NBWRA, as may be authorized as set forth in,Sections 7 and 8.. (b) Through its controller and treasurer, act as the financial, officer or equivalent and be the depositor and have custody of all money of the -NBWRA from whatever source. The Administrative Agency shall.draw warrants-to pay demands for expenditures authorized by the Board of Directors or by its authorized .representative - pursuant to any delegation of authority authorized by the Board of The Administrative Agency will strictly account for all NBWRA funds, and will hold the funds in trust in a segregated account. (c) Provide budget analyses, warrant lists and other fnancial documents as _required by the Board of Directors. The Administrative Agency?'s financial activities with-'regards to the NBWRA shall be subjectto an outside audit at any. time at the request of the Board of Directors. As a matter of course the Administrative Agency will provide a separate annual Audit ofNBWRA funds to the Board of Directors. (d) Determine charges to be made against the NBWRA for the Administrative Agency's services. Payment.of these charges shall be subject to the approval of the Board of Directors. (e) Prepare the reports identified in Section 20 if the Board of has not designated another party or person to complete that task. 13 NBWRA Second Amended MOU September 15, 2010 (f) Enter into contracts with values up to $15,000 without the approval of the .Board of Directors or the Technical Advisory Committee, if consistent with the budget approved by the Board of Directors. The Administrative Agency may resign its position as Administrative Agency upon 120 days written notice to all Member Agencies, and shall, before the effective date of its resignation, transfer all funds held on behalf of the NBWRA to any designated successor Administrative Agency.'The Board of Directors may designate a successor Administrative Agency by majority vote. Should no other party be designated to act as Administrative Agency by the effective date of the resignation, the MOU shall terminate and the Administrative Agency shall distribute all property held on behalf of the 'NBWRA pursuant to Section 23. 13. Staff and Consultants. Subject to the approval and procedural provisions of Sections 7 and 12, the Administrative Agency may employ or contract for any staff or consultants as may be reasonably necessary to carry out the purposes of this MOU-Such persons may include legal counsel, administrative executives and lother types of specialists. If an'employee from any Member Agency performs staff or consulting work for the NBWRA, the governing body of that Member Agency may determine the charges to be made against the NBWRA for the services of that employee. Payment of these charges by the Administrative Agency on behalf of the NBWRA shall be subject to the approval of the Board of Directors, which approval shall not be unreasonably withheld. 14 NBWRA "Second . Amended MOU September 15, 2010 k Sharing of'Cosis and Resources. a The Board of'Directors. may assess ' O y 'annual dues for membership in the NBWRA, not to exceed $5;000. (b) The Board of Directors,shall as'sess,each Member Agency for cosm.associated with paying the Administrative Agency, staffor consultants =and the funding:of approved projects, under' agreements approved ° by the. Technical Advisory Committee pursuant to Section 8, or the Administrative Agency as provided in Section 12; or as authorized by the budget adopted by the Board ofDirectors as set forth in Section' 7. Further, legal liabilities may arise out of actions of the Member Agencies (including the Administrative Agency) taken pursuant to this MOU. The 'activities: of the NBWRA are part of a regional' program that provides benefit to all agencies. Therefore, as described more'particularly below, all Member Agenciesshall pay a portion of ongoing cost's equally and'the remaining costs shall - be based on approved project,costs for Phase 1 ofAlternative 1, as described in the Certified EIR/EIS:or as amended pursuant to Sections 14(e)�and F6. The costs and 'liabilities' will be "allocated among each -of the Member Agencies as -, follows: (i)' one quarter (25 %) of costs and liabilities shall be allot, ted. equally 'among each of the „ Member" Agencies; and (ii) three quarters (75 %) of costs and.liabilities shall `be allocated among Member Agencies in proportion-to the. benefit to each Member Agency of participating in the NBWRA, in the;form of federal funding that is described in applications for federal 'funding that have been. ubmitted,to the USBR as of.Apri1.15, 201,0 or as modified pursuant to Sections 14. (e) and 1,6 herein- The Sonoma County Water Agency shall pay its pro- If , . 15 NBWRA- Second Amended. MOU Selitembef 1S', 2010 rat as hd re o f.the, uarter of costs allocated under subsection (i) above, but shall' "not "pay y l (�') ave•any ,individual projects to an costs allocated under�subsection ii , as ►t does not h' be funded. (c) The parties hereto,agree "that the criteria set forth in subsection (b)(ii) produce the allocations listed in Exhibit S, attached hereto, and incorporated by reference. The parties agrdethat Exhibit B :may be modified pursuant t_o Sections` 14 (e) and 16. (d) Member. Agenciesahall be afforded the opportunity to receive rembursement for previously allocated costs and liabilities that werenot based received during the period fromathe date' this Second Amended MOU becomes effective back to Fiscal Year 2005' -2006 (the "Reimbursement Period"): Reimbursements hall be equal to (i)• the actual costs paid by a- MemberAgency during the'Rein►burseiment Period minus (ii) the amount of costs that would have been allocated tolhat Member Agency during the Reimbursement ,Period if the percentages defined in Exhibit B had been in effect. The final determination of costs and reimbursements subject to this subsection (d) shall be 4ppro,vedi a of the Board of Directors. Notwithstanding the foregoing, a Member; Agency's­abilityto`payand the timing of benefits received may be taken,,into, „ �consideratiom determining the respective allocation fcosts pursuant to this ' h ion o subsection: d . It `is understood that said reimbursement t sfiall occur as' soon as practicable " following issuance, of the Record ofDecisionby USBR and4receipt of federal funds pursuant to agreements with USBR. (e) Two or more Member Agencies can agree to reallocate project costs for Phase l among themselves, as long the combined total for those agencies before and after reallocation 16 5 ' NBWRA Second Amended'MOU September 15, 2010 are the same-as the combined total for those agencies in the project schedule, subject to the approval of the Board of Directors. Such approval shall not be unreasonably withheld. (f) In the case of non !-contractual liabilities arising out of the activities of the parties under this MOU, the Member Agencies specifically repudiate the division of liability outlined in Government Code sections 895.2 et seq. and instead agree to share liability based on the relative fault of the parties. Notwithstanding the foregoing paragraph, each Member Agency agrees that it is solely responsible for, and agrees to indemnify and defend the other Member Agencies from and against; any claims, liabilities, or losses relating to ouarising out of the design, construction, inspection, operation, or maintenance of its separate project. Each Member Agency agrees that nothing in this MOU shall create, impose, or give rise to any liability obligation, or duty of the Member Agency to the other Member Agencies or to any third party with respect to the manner;in which the Member Agency designs, constructs, inspects, operates, or maintains its separate project. (g) A Separate agreement between the Administrative Agency and the Member Agencies will be developed, based on the requirements of.the American Recovery and Reinvestment Act and Title XVI. (h), Some Member Agencies may choose to pursue Phase 2 or other non - Phase' l projects. Should this occur, - the budget will be split into Phase l and Phase 2 /other non - Phase: l tasks and "their appropriate costs. Costs for Phase I tasks shall be allocated and assessed as described in Sections 14 (b) and (c), herein. Costs for Phase 2 /other non -Phase I tasks 17 i = t 4 , argl % , I ti ll ti NBWRA Second Amended MOU Septe M 'bef 1'5,.20,10, A d,assessed by a method agreed upon by those MeniberAg encies shall bleialldicat&d an choosin to' parficipAte� in:Phase 2/other non-P-hase L tasks. ti g (i) If M Agency that chooses to opt out of Phaw:2/other nob-Phase 1 tasks later decides to pArticipate, it will be subject to a buy in fee approved bythe Board of Directors': Said. tee* m cost§ plus interest' from the inception of Phase 216thei non-Phase 1 tasks until-s.uch time that they decide"to participate. Cost;&shall, be based on the, approved annual, budget Interest shall be, based on the annual, change in the Consumer Price Index - AIL Urban, Consumers for San Franeisco-Oaklan*d-San Jose as determlined',by the Bureau,of Staiistics,,.United.StateFs Department of 'Labor. A DilitAbution of Funds,,Received. (a) Distribution of funds received from USBR shtall,biIl;onttlfe Phase 1 project schedule ai described, in app)icatibris,for federal funding submitted to USBR as of April 15 _ 2O;l 0 or ri as s mo4ified,pursuarit to Sections 14 (e) and' 1 herein. Those percentages are based on the - 00 , f n 0 r $-25,0 W&AI fundi' au thorization fbr� p ects totaling $100, and are Y "I It detailed in Exhibit. C, lat and incorporated by re&renc.e. The partie&,agree that Exhibit C may be modified', pursuant to Sections 14;(e) and 17. Once a Member Agency! 4&.received federal, funds for a project,, that Member Agency is r Aint'a, participant in the, NBWRA and a signator - tot is ut.thetermof ema y, h 0 this MOU described in Section 22. Should State flinding become available to the it NBWKA, its distribution shall also be as described in this Section. It. is acknowledged that the Member Agencies may receive state funding, from ,programs on an individual basis, 18' tl NBWRA Second Amended MOU September 15, 2010 , and ,(:i) this S'eciion shall not apply to such individual State fundng;and (ii) the allocations t set forth in ,this - Section shall not be affected b0he receipt of any State funding. - (b),,- Should NBWRA be designated to receive federal funds for Phase, 2 /other non -Phase l tasks, this MOU will be modified accordingly. . 16.4nitiati6n of Membership. If an agency as defined in Section 5 requests to join the NBWRA as'a new Member Agency, the Board of Directors shall establish a membership initiation:fee to such agency as a condition of joining the NBWRA. Cost allocations as described in Exhibits Wand C may be revised upon the'addition,of additional Member Agencies, subject t6the approval of majority of the :existing Member Agencies atthat time. By virtue of be a signatory agency to this MOU pursuant to this.'Section 16, a new .. ,Me mber Agency is- subject to all provisions of this MOU, including Section 17 below. 17..,Termination of Membership. Member Agencies that have received federal,monies may not terminate in the�,,NBWRA.before the'expiration of three (3) years from,the effective date of this MOU. (a) Causes Notwithstanding the above, a Member Agency's membership in the NBWRA p and participation in this MOU shall terminate on the occurrence of any ofthe following; (1i) The nonpayment of dues or assessments, subject to the: limitations set ° forth in subsection (c) below; or (ii) The occurrence of anrevent which renders an entity no longer eligible for membership under Section 5 >of this MOU, as determined by the Board of Directors. 19 NB'WRA Second Amended MOU September 15, 2010 `(iii)If a Member Agency decides to implement no Phase 1 projects and has received no federal funds; that agency may voluntarily terminate - its membership in the NBWRA as' "set in subsection (b), below. (b) Resignation by Giving Notice The: membership of any Member Agency of the NBWRA shall terminate after the delivery of such Member Agency's written notice of resignation to the Chair of the Board of Directors. Such notice shall be .given at least thirty (30) days before the.effective date of such resignation. Refunds ofany dues or assessments upon ,. such resignation shall be based' on a signed, negotiated agreement between the resigning Member Agency andrthe Member Agencies that remain signatory to this MOU. (c.) Nonpaiment of Dues or Allocated The membership of any Member Agency of the NB WRA may be terminated if the Member Agency fail's to pay its dues or allocated costs within one hundred and twenty (120) days aftec such dues or costs are due. Termination shall be effective upon the majority vote of all members of the Board of Directors. Member Agencies shall be given °thirty (30) daysprior written notice of a threatened ^termination and the reasons The , notice maybe delivered in person or by first -class certified mail, fax ore- mail ,to the'_MemberAgency's representative on the Board of Directors. Effect of.Termiriation All:ri rights, of a Member Agency under this MOO shallcease g ' onahe, (d) terminatioh such Member Agency's membership. Termination shall not relieve the Member Agency from any obligation for charges, costs or liabilities incurred or arising from acts or omissions before date of termination. The terminating Member Agency's responsibility for su&6arges, costs orliabilities shall be determined in a manner consistent With the allocations set forth' in Section 14. Likewise, termination shall not preclude the 20 NBW2A-Second Amended MOU September 15, 2010 Member Agency ;from any'benefts that; fully accrue before the date of termination. However, a resigned or terminated4genicy " bas no right to receive a portion ofsuiplus funds'anhe, � termination o " f the NBW' RA. 18. Procedures. The Board of Directors mayadopt bylaws, rules of conduct for meetings and operating procedures for the NBW,RA. To facilitate such efforts, the NBWRA may adopt the administrative procedures and ,policies.ofa Membee 19. Meetings. The Board of Directors and the "Technical•Advisory Committee shall provide for meetings, as necessary. 20. Reports to Agencies: ,Each year the NBWRA st all submit written report to the governing body yofeach of the Member Agencies. This.report shall describe the financial activities of the NB'WRA during the preceding year. 21.Offiees.:For`the purposes of forming the.NB WRA and for initial operation, the principal office of ` the NBW.RA shall'be at the Administrative Agency. Thd "Board 'of Directors may change said principal office from -one `` location to another After providing thirty (30) days - notice of , I such a change. The Chair shall notify each 'M6nber Agency in writing of the'change. 22.'T.,erm., This MOU shall tefminate -three years from the effective date of this MOU, unless �,. extendedI by�someof:alLofthe parties. This MOU shall also be terminated if the strativei,A enc has resi ned pursuant to Section 12 and no other Member A enc . Admini' g y " g P g y;�has bee ddesig "nated'to a'ct'as the Administrative Agency priorto -the effective date of the resignation. 23. 'Disposition of Property and Surplus Funds. At the termination of this MOU, any and all property; funds .-assets. and interests therein held by the,Administrative Agency on behalf of 21 "NB.,WRA Second Amended MOU September 1`5, 2010 e�NB WRA "shall become the ro erf of and be distributed to the #hen Member A e � th P P y g ncies. - I'ti, Money !'collected from Member Agencies and `held in reserve by the Ad'mi' ' ' n�strative Agency ' for payment of the'costs of programs shall be allocated' among Member Agencies in proportion to each Member:Agency's contributions to' such reserves. All other property, funds, assets, and interests shall be distributed by the Administrative Agency to Member Agencies in proportion to each Member Agency's contributions the NBWRA'for dues and allocated costs. However, liabilities'ofthe NBWRA in excess.ofthose assets held by the Administrative; Agency on behalf of the NB WRA at °the time of termination shall ;be assessed against the Member Agencies and said Member Agencies shall be responsible for such liabilities.. The allocation of responsibility for the payment of such. liabilities shall be ' d ' etermined in `a manner consistent with thee, provisions of Section °'14. 24`.Minutes..A sec ' retary or'clerk shall be appointed by the Board:of:Directors. The secretary or clerk :shall cause to be kept minutes.''of'all. meetings of the Board of Directors and the Technical Advisory Committee, and:�shall cause a copy of the minutes to be forwarded to each ' I Member Agency. ive This 25: Effect' � � d.the NBWRA shall be establis hed MOU shall become effective an' when. I t � ve 5.) encie a least ( , ag s have authorized its execution. 26'. Counterparts This,MOU may be executed in countecpart.and each'ofthese "executed counterparts sha r: Il:, iave`the same force>and effect as an original instrumentand as if all of the parties to the aggIregate counterparts had signed the same instrument. 22 " "NB.,WRA Second Amended MOU September 1`5, 2010 e�NB WRA "shall become the ro erf of and be distributed to the #hen Member A e � th P P y g ncies. - I'ti, Money !'collected from Member Agencies and `held in reserve by the Ad'mi' ' ' n�strative Agency ' for payment of the'costs of programs shall be allocated' among Member Agencies in proportion to each Member:Agency's contributions to' such reserves. All other property, funds, assets, and interests shall be distributed by the Administrative Agency to Member Agencies in proportion to each Member Agency's contributions the NBWRA'for dues and allocated costs. However, liabilities'ofthe NBWRA in excess.ofthose assets held by the Administrative; Agency on behalf of the NB WRA at °the time of termination shall ;be assessed against the Member Agencies and said Member Agencies shall be responsible for such liabilities.. The allocation of responsibility for the payment of such. liabilities shall be ' d ' etermined in `a manner consistent with thee, provisions of Section °'14. 24`.Minutes..A sec ' retary or'clerk shall be appointed by the Board:of:Directors. The secretary or clerk :shall cause to be kept minutes.''of'all. meetings of the Board of Directors and the Technical Advisory Committee, and:�shall cause a copy of the minutes to be forwarded to each ' I Member Agency. ive This 25: Effect' � � d.the NBWRA shall be establis hed MOU shall become effective an' when. I t � ve 5.) encie a least ( , ag s have authorized its execution. 26'. Counterparts This,MOU may be executed in countecpart.and each'ofthese "executed counterparts sha r: Il:, iave`the same force>and effect as an original instrumentand as if all of the parties to the aggIregate counterparts had signed the same instrument. 22 NBWRA Second Amended.MOU 'September 15, 2010 WIT WHEREOF, the parties hereto have executed thisAgrepmebt as'set IN W1T`N `Sonoma County'WAter Agenc Napa S District gency a I I By By: Print Name: Priht'Name: Title: Title: Date: Date:. Sonomw'Valley County"Sanitatfon By: Print Name: Date: 23 Novato Sanitary Distr'ic By: - Print Name.- Title: Date: V.�f lip I .II I i I 4 I i. lIW NBWRA Second Amended °iMOU Exhibit A September 15, 2010 25 f ,I Study Area NoT eayv4nw Reuse amnKy• nau 1 � I; NB WRA Second Amended MOU September 15, 2010 Exhibit B Percentages for Ongoing NBVPA Costs Agency 25% Split Federal Percentage; of Total of Equally Authorization, Remaining 75% Percentages Phase, i Las Gallinas'Valley 3.5.7 %0 $1,222,473 3.67 % 7.24% Sanitary, District Novato Sanitary 3.57 % $1,679,893 5:04 %0 8.61% District North 1Vlarin Water 3.57 4,689;504 14.07% 17.64% District Sonoma "Valley 3.57% $7 23.90% 27.47% County,$anitation District Sonoma County, 3.57% - 0.00 % 3.57% Water'A ' enc ' Na, pi Sanitation 3/57% $9,440,996 28:32% 31.89% District Napa County 3:57% - 3.57% TOTALS' ' 25.00% $25,000,000 75.00% 100.00 % Note: percentages may be revised pursuant to the provisions of this. M0U based on adding additional signatory members; revisions to the projects in Phase 1, or continuation beyond Phase 1, subject to the approval of the parties. 26 d Amend NB'WRA Sewn edMOU September 1$, 2010 Exhibit C Percentages for Distribution of 'Federal Funds Received Agency Federal Authorization, Phase ll Percentage Las Gallinas Valley Sanitary , District $1 1 222,473 4.89% Novato: Sanita.." D'istricf , _ $.1,b89;893 632% North Marin.Water $4,689,504, 18.76% Sonoma Valley County' Sanitation District $7 31.87% S'onornw -Coup _ 1Water-A en - 'Na pia Sanitation District $9,440;996 37.76% Na a Coin - - TOTALS $25,000 100.00% Note:; ercentages may ,be revised,p he provisions of this 'MOU based on:adding add itinal'signatory members, revisions to thetproj Phase l or continuation beyond Phase 1; subject to;the approvaLof the parties.