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HomeMy WebLinkAbout10/05/1999, C1 - AMENDMENT NO. 6 TO CORPS OF ENGINEERS LICENSE FOR SALINAS RESERVOIR { council Oct 5, 1999 1 j aGEnaa Report �CL M16. C I T Y OF SAN LU IS O B I S P 0 FROM: John Moss, Utilities Directolra Prepared By: Gary Henderson, Water Division Manager SUBJECT: AMENDMENT NO. 6 TO CORPS OF ENGINEERS LICENSE FOR SALINAS RESERVOIR CAO RECOMMENDATION Approve Amendment No. 6 and authorize the Mayor to sign the amendment between the City of San Luis Obispo and the U.S. Army Corps of Engineers. DISCUSSION The Salinas Dam was built in 1941 by the Department of War (now the U.S. Army Corps of Engineers) to supply water for Camp San Luis Obispo. The available water supply was never fully utilized by the U.S. Government and therefore the City of San Luis Obispo was granted a license from the Corps in 1944 to connect to the Army pipeline to utilize excess available water- from the Salinas Reservoir. The conditions and terms of the license have been amended five times since the original license was issued. Amendment No. 6 extends the termination date to December 16, 2003, all other terms of the license remain unchanged. CONCURRENCES The City Attorney has reviewed the amendment and concurs with the recommendation. FISCAL IlVIPACT There is no additional fiscal impact. The City pays for all the operation and maintenance costs associated with raw water supplied to the City of San Luis Obispo's Water Treatment Plant from Salinas Reservoir. These costs are included in the existing budget and no additional funding is anticipated. ATTACHMENTS 1. Amendment No. 6 2. Original License and Amendments 1-5 CI-1 Attachment 1 Secretary of the Army License No. DA-04-353-ENG-1943 Salinas Dam and Reservoir.Area San Luis Obispo County,jCalifomia AMENDMENT NO. 6 THIS AMENDMENT NO. 6, entered into by and between the SECRETARY OF THE ARMY, hereinafter referred to as the Government, and the CITY OF SAN LUIS OBISPO, hereinafter referred to as the Licensee, WITNESSETH: WHEREAS, on 17 December 1943, the then Secretary of War granted a license to the . Licensee, to operate and maintain a connection to a pipeline, whi pigliiA pt�gFeaft called the Army Pipeline, one of the facilities of the Army Diver r SiAelmW 4t -- 1 Salinas River, San Luis Obispo County, California; and WHEREAS,on 29 July 1952 by Amendment No. 1, the license was amended to provide, among other things, for the delivery of up to 3,000 acre feet of water to the Licensee, diverted from the Army Pipeline leading from Salinas Reservoir and to provide for payment by Licensee for up to 3,000 acre feet of water in any one calendar year; and WHEREAS, on 6 July 1962 by Amendment No. 2, the license was revised to provide that the Licensee shall furnish and install, at its own expense, a meter between the Army Pipeline and the connecting pipeline, for the purpose of measuring water diverted to the Licensee's distribution system,the amount of water to be controlled and measured solely by a representative of the Government. The amount of water to be diverted by the Licensee in any calendar year shall be subject to Condition No. 2 of the license, the State Water Rights permits granted to the licensee, and the safe annual yield of Salinas Reservoir; and WHEREAS,by Amendment No. 3,the license was extended for a period of five (5) years, ending 16 December 1988; and WHREAS,by Amendment No. 4, Conditions No. 2,3,4, and 4.a of the basic license were revised in accordance with a.letter from the Licensee, dated 3 November 1988, and the license was further extended for five (5)years, ending December 15, 1993; and WHEREAS,by Amendment No 5, the license was extended for a period of five (5) years, ending 16 December 1998. WHEREAS,the Licensee has requested a further extension of the License No. DA-0- 4-353-ENG-1943 and the Government is agreeable thereto. NOW,THEREFORE, in consideration of the premises, the parties hereto do mutually agree that said lease is amended in the following particulars. C1-2 1. That the termination date be extended for an additional period of five (5) years, from 16 December 1998 to 16 December 2003. 2. That in all other respects,the terms and conditions of said lease as amended remain unchanged. This transaction is not subject to Title 10,United States Code, Section 2662. IN WITNESS WHEREOF,I have hereunto set my hand by authority of the Secretary of the Army this day of , 1999. RICHARD N. GUTHRIE Chief, Real Estate Division THIS AMENDMENT No. 6,together with the provisions and conditions thereof, is hereby accepted this day of , 1999 CITY OF SAN LUIS OBISPO BY: TITLE: APPROVED AS TO FORM: ,JO CW Altomay C1-3 Attachment 2 4jHEREAS, on the 9th day of UCLober, 19h1, the Uivision of Water Re- sources, Department of Public Works, of the State of California, acting pursuant to the provisions of the Water Commission Act of said State., issued to the United States a permit numbered 5881, which permit author- izes the United States for its beneficial use to store, di ert and ..appro :%I & s riate from the unappropriated water, if any, in the Salinas River at a to point south 71 degrees 36 minutes L3 seconds east, 1,197 feet from the tI northwest corner of section 8. Township 30 South, Range lb East, Mount 0 v Diablo Base Line and Meridian, being within the northwest quarter of the M ON 0 northwest quarter of Section 8, Township 30 South, Range lh East, Mount 0 Diablo Base Line and Meridian, in the County of San Luis Obispo, State of California, twelve and four-tenths (12.h) cubic feet of water per second by direct diversion, from January lst to December 31st of each year, and to store forty-five thousand (45,OOO) acre-feet of water per annum from about November 1st to about June 30th, during the rainy season of each year, said amount of water to be for use by the United States at and in the vicinity of Camp San Luis Obispo, California, hereinafter called the Camp, and WHEREAS, on the 9th day of October, 1911, the Division of Water Re- sources, Department of Public Works, of the State of California, acting pursuant to the provisions of the Water Commission Act of said State, issued to the City of San Luis Obispo, a municipal corporation of the State of California, a permit numbered 5882, v.1hich permit authorizes the City for its beneficial use to store, divert, and appropriate from the unapprop- riated water, if any, in the Salinas River an amount of water equal to that given in permit numbered 5881 granted the United States, and C1.4 Flo v v a WHEREAS, pursuant to Permit No. 5881, the United States has con- structed a dam and diversion works, including a pipe line, which pipe line is hereinafter called the. Army Pipe Line, and which dam and diversion works, including the Army Pipe Line, are hereinafter called the Army Diversion System, for the purpose of storing, diverting, and transporting said wa- ter to the Camp, and WHEREAS, the United States, acting by and through the Federal Works Agency, and pursuant to the Lanham Act as amended (Act of October 14, 1910, Public , No. 8119, 76th Congress, as amended) has constructed a pipe line, hereinafter called the Connecting Pipe. Line, connecting the Army Pipe Line with the City's Water Distribution System, and pursuant to provisions of said aforementioned act, the United States through the Federal Works Agency has authorized the City to use said Connecting Pipe Line for the purpose of conveying said water to its Water Distribution System, and WHEREAS, said storage and diversion works are capable of storing and diverting an amount of water in excess of the needs of said Camp, and it is in the interest of the United States that said water in excess of the needs of said Camp be made available for municipal use by the City, and WHEREAS, the City desires that the United States so operate the said Army Diversion System as to store said waters in excess of the needs of said Camp, for diversion and conveyance to the Connecting Pipe Line in such amounts as the City may require and be entitled to store, divert and con- vey from the unappropriated water of the Salinas River, pursuant to afore- mentioned Permit No. 5882. NOW, THEREFORE, the City of San Luis Obispo is hereby granted a license, revocable at will by the* Secretary of War, to operate and maintain a connec- tion to the Army Pipe Line in the location substantially as shown.on the map -2- C1-5 � attached hereto and made a part hereof. THIS LICENSE is granted subject to the following provisions and conditions: 1. Storage and conveyance of water. - The United States will op- erate the Army Diversion System in such manner within its capacity as to store, divert and convey to the point of junction of the Connecting Pipe Line such amount of water as the City may require and be legally entitled to use under its said Permit No. 5882, provided, however, Luat the right of the United States under its permit is a prior right, and the right of the City is to be subordinate thereto, and that the quantity of water to be stored, diverted and conveyed by the United States to the Connect- ing Pipe Line is to be only the excess water which the City may require and be authorized to divert, over and above the quantity necessary for the needs. of the United States, which needs are to be determined solely by the United States. 2. Determination of excess water. - The United States does not undertake to furnish nor assume any obligation whatsoever to make available any water for the use of the City, and the City hereby expressly denies any obligation on the part of the United States so to do;, however, the amount of excess, if any, for diversion by the City will be determined by duly authorized representatives of the United States and the City, such determina- tion to be made not later than April 1st of each year during the life of this license, due consideration being given to the amount of water in storage in the Salinas Reservoir and to the water requirements of the Camp. In case of disagreement the findings of the representative of the United States will be final. -3- C1-6 Slz Kurz 3• Measurement of water diverted. - The City shall furnish and install at its own expense and at no cost to the United States a meter at the point of connection between the Army Pipe Line and the Connecting Pipe Line suitable for the purpose of measuring the amount of water diverted to the City Distribution System, the amount of water diverted to be controlled and measured solely by a representative of the United States. The maximum amount to be diverted to the City will not exceed two thousand four hundred (2,400) acre-feet in any one calendar year. However, in the event that the City shall divert an amount of water less than the two thousand four hundred (2,400) acre-feet in any one calendar year, the amount of the deficiency shall not be carried over as a credit in any ensuing year. 4. Payment. - The City shall pay the United States the City's proportionate share of the cost of the operation and maintenance of the Army Diversion System. The basis of said proportionate share has been com- puted to be at the rate of three cents ($0.03) per hundred (100) cubic feet . or thirteen dollars and six and eight-tenths cents ($13.068) per acre-foot for all water diverted through said meter during the duration of this license. If the amount of water diverted to the City is less than three hundred eighty- two and six hundred fourteen thousandths (382.614) acre-feet for any cal- endar year, the City will pay on or before January 30th of the year follow- ing such additional sum as will make the minimum annual payment for said calendar year amount to five thousand dollars ($5,000.00) regardless of the amount of water made available to the City by the United States during the previous year or the amount of water accepted, taken, or used by the City during said year. 5• Period of license. - This license shall be in effect from January 13 19U, for a period of one calendar year, and shall be automatically renewed -�- C1-7 d 3 for successive one-year periods provided that it has not in the meantime been revoked by the Secretary of War or written notice by the City of intention to terminate is not received by the United States at least thirty (30) days prior to the expiration of the preceding one-year per- iod, provided, however, that this license shall not extend in its entirety over a period longer than forty (40) years. 6. Release from damages. - The City shall hold and save the United States, its officers, agents, servants, and employees harmless from liability of any nature or kind for or on account of any claims for any damages which may be filed or asserted by any person or parties as a result of the storage Of water for, and conveyance and diversion of water to,the City. 7. Officials not to benefit. - No member of or delegate to Congress or resident commissioner shall be admitted to any part or share of this license or any benefit to arise therefrom, but this provision shall not be construed to extend to this license if made with a corporation for its general benefit. 8• Covenant against contingent fees. - The City warrants that there has not been employed any person to solicit or procure this license upon any agreement for a commission, percentage, brokerage, or contingent fee. Breach of this warranty shall give the United States the right to terminate this license or in its discretion to add to the payments made by the City I the amount of such commission, percentage, brokerage, or contingent fee. 9. Breaches. - The waiver of a breach of an of the Y provisions of � :his licesne shall not be deemed to be a waiver of any other provisions iereof, or of a subsequent breach of such provision. 10. Disputes. - Except as otherwise specifically provided in this E -5- C1-S U V l" 1 license, all disputes concerning questions of facts arising under this license shall be decided by the District Engineer, Los Angeles, California, subject to written appeal by the City within (3) days to the Secretary of War or his duly authorized representative, whose decision shall be final and conclusive upon the parties therto. 11. Assignment. - The City shall not assign or transfer any interest in this licesne without the prior written consent of the United States as expressed by a duly authorized representative thereof. IN WITNESS WHEREOF I haveunto set my hand by direction of the Under Secretary of War this 17thdayof December , 1913. /s/ MARION RUSHTON Colonel, J.A.G.D. Administrative Officer The above license with all provisions and conditions thereof is hereby accepted this 17 day of January , 1944. City of San Luis Obispo, California By /s/ F. C. Kimball ATTESTED BY: /s/ J. E. Brown City Clerk -6- C1-9 License No. D?-OL-353-eng-1943 (Formerly '.•'S-10 s -lti i and formerly W-49-OLO-eng-1348) AMENDMENT NO. 1 W.iEPE AS, on the 17th day of December 1943, the then Secretary of War granted a license to the City of San Luis Obispo to operate and maintain a connection to the Army Pipe Line, one of the facilities of the Army Diver- sion System on the Salinas River, San Luis Obispo County, California; WHEREAS, under the terms and conditions of a certain Interim Permit No. W5-10(s)-184, entered into on 15 July 1948 between the War Assets Ad- ministration and the San Luis Obispo County Flood Control and Water Conser- vation District, the said District has been operating and maintaining said Army Diversion System, identified in said Interim Permit as the Salinas Dam and related facilities, and the administration of said license is and has been by said District; WEREAS, on the effective date hereof said Interim Permit No. WS-10(s)-184 is being terminated and a new lease is being entered into between the Govern- ment and the said San Luis Obispo County Flood Control and Water Conservation District whereby the said District will continue to operate said Salinas Dam_ and related facilities; WHEREAS, it has been determined that the maximum amount of water to be diverted to the City Distribution System from the Army Pipe Line is to be increased, and that a new basis for the payment of the City's proportionate share of the costs of use, operation and maintenance of the said Army Diver- sion System has been computed; WHEREAS, the parties desire to incorporate a provision to permit a change of rates to reflect the fluctuation of the costs of operation, repair and maintenance of said Army Diversion System; NOW, THEREFORE, the said license is amended in the following particu- lars, but in no others; A. Effective 1 May 1952 Conditions No. 3 and No. 4 in said license are deleted and in lieu thereof new Conditions No. 3 and No. 4 are inserted, reading as follows: 3. Measurement of water diverted. - The City shall furnish and install at its own expense and at no cost to the United States a meter at the point of connection between the Army Pipe Line and the Connecting Pipe Line suitable for the purpose of measuring the amount of water diverted to the City Distribution System, the amount of water diverted to be controlled and measured solely by a representative of the United States. Subject to the provisions of Article 2 hereinabove, the maximum amount to be diverted to the City will not excedd' three thousand (3,000) acre-feet in any one calendar year. However, in the event that the City shall divert an amount of water less than the three thousand (3,000) acre-feet in any one calendar year, the C1-10 V6 C 0 P Y amount of the deficiency shall not be carried over as a credit in any en- suing year. or its lesee 0'R !�. Payment. The City shall pay the United States/the City's M proportionate share of the cost for operation and maintenance of the Army water storage, dam and Diversion Facilities plus a fixed charge to cover depreciation, interest and administrative costs on the investment of the United States in said facilities. The basis of the City's proportionate share for the costs hereinabove recited has been computed to be the sum of the following costs: a. For Operation, Repair and Maintenance, per 100 cu. ft. of water diverted, 2.5627 .cents. b. For Fixed or Capital Charges, 2.6735 cents per 100 cu. ft. of water diverted. c. For administrative costs, 3% of the total of the com- bire d costs for (a) Operation, Repair and Maintenance and (b) Fixed, or Capital Charges all as shown hereinabove. B. Effective 1 May 1952 a new Condition is inserted in said license reading as follows: lea. Change of Rates. - The rates for pumping and transmission service shall at all times produce a revenue sufficient to cover all applicable costs for such service as recited in Condition 4. In the event the full charge for said service does not reflect all such actual applicable costs then the rates shall be increased or decreased accordingly and the City will receive and pay for service on the basis of the higher or lower rates. In recognition of the fact that the rate for recovery of costs for Operation, Repair and Maintenance will fluctuate up or down with higher or lower costs, for volumes of water diverted, this element of the total rate shall be re- viewed at six months intervals. A proper adjustment shall be made, in the event that said review determines the rate to be in excess of two_tenths of a cent (.2) per 100 cubic feet either more than or less than the amount provided in Condition 4 hereof. IN WITNESS HEREOF I have hereunto set my hand by direction of the Assistant Secretary of the Army this 29th day of July 1952• /s/ Sherry B. Myers SHERRY B. MYERS, Major, JAGC, Chief, Legal Br., OASA (R&M) The above Amendment, with all the provisions and conditions thereof, is hereby accepted this 15th day of Sept. 1952• -2- C1-11 �7 CITY OF SAN. LUIS OBIS?0 By __/s/_Timothy I. O'Reilly ATTEST: _Brown City Clerk (SEAL) Cl-12�, License No. DA-b"-353-eng-1943 City of San Luis Obispo Camp San Luis Obispo, California, Salinas Dam Project pI` NTI.1.NT NO. 2 WHEREAS, on the 17th day of December 19h3, the then Secretary of War granted a license to the CITY OF SAN LUIS OBISPO to operate and maintain a connection to a pipeline, which pipeline is hereinafter called the Army Pipe Line, one of the facilities of the Army Diversion on the Salinas River, San Luis Obispo County, California . ' I i:'.-!E.REAS, on 29 July 1952, by fdr:endment No. 1 the license was amended to t provide, among other things, for the delivery to and payment for the City of San Luis Obispo of up to 3,000 acre-feet of water in any one calendar year from the Army Pipe Line leading from Salinas Reservoir; VR EREAS, the City of San Luis Obispo has experienced and is expected to continue an increase in population growth and attendant water use, thereby requiring water from Salinas Reservoir and the Army Pipe Line in excess of 3,000 acre-feet in any one calendar year. NOW, THEREFORE, the said license is amended in the following particulars but in no others: Effective 1 November 1961, Condition No. 3 in said license and amendment thereto is deleted and in lieu thereof, new Condition No. 3 is inserted, read- ing as follows: "3. Measurement of water diverted. The City shall furnish and install at its own expense and at no cost to the United States, a meter at the point of connection between the Army Pipe line and the Connecting Pipe Line suitable for the purpose of measuring the amount of water diverted to the City Dis= tribution System, the amount of water diverted to be controlled and measured solely by a representative of the United States. The amount of water to be diverted by the City in any calendar year shall be subject to Condition No. 2 hereinabove, the requirements of the United States for water from Salinas Reservoir, the State Water Rights permits granted to the City of San Luis Obispo, and the safe annual yield of Salinas Reservoir. 1. The representative of the United States referred to hereinabove shall be, until further notice, the District Engineer, U. S. Army Engineer Dis- trict, Los Angeles, or his duly authorized representative." IN WITNESS WHEREOF, I have hereunto set my hand this 6th day of July , 1962, by direction of Assistant Secretary of the Army /s/ Don H. Dragoo DON H. DRAGOO Major, GS Mil Const and Real Property, CASA (I&L) C1-13 �/ 9 THIS A�MNITIENT is also executed by :the licensee this:. 29th day of November ; 1961.. CITY OF SAN LUIS GBISHO By /s/ Clay P. Davidson Title Mayor ATTEST: /s/. Jean_ri_t_zo_atri_ck_ City Clerk (SEAL) -2- Cl-14 DEPA-RIMENT OF THE All-iy LOS ARCELES DISTRICT COi'PS OF ENGLi;£ERS License rho. DA-04-353-Ei;G-1943 Department of the r-,--y Salinas D m and Fes^-,.oir Project City of San Luis C:)izoo San Luis Obicpo County, CA 1:0. 3 Pi OVID S rC..: C:i OF TERM AND MVIS IO:;S IN C:::;DITIONS THIS A ';D:?�;T, entered into by anal between the SECRE hereinafter rcforred to as .t;Ie Cover:.-.ant, and the CITY OF SAY LUIS OBIS 0, 5ereirafter referred to as the Licensee; WITI;ESSETH: WH us, an the 17th day of Dacember 1943, the then Secretary of hear ;ranted a. licente to the Licensee to oaerate•and mai 1 Pipeline, tahich nine ntain a connection to line is herein:ter called the tz-ay pip_ Lina, one of :he facilities of the %bicpo Count Army Diversion System onY. California; and the Salinas River, San Luis WHErZAS, on 29 July 1952, by A.�enc � t R, o provide, among other thins J r'"�"" "a• 1 the license was as nded icensee of u zr for the dolivery to Pnd paymant for the P [o 00 core-feet of Water in any one calendar year from the roy pipe Line leading from Salinas Reservoir; and WHEr,EAS, on 6 July 1962, by A=8ndment No. 2 the license Vas revised to -ovide that the Licensee shall furnich and install, at its pan e�:oense, a !ter between the txny pipe Line and the connecting pipeline for the purpose measuring water diverted to the Licensees distribution system the cater to be controlled and measured solely by a representative of the ited States, a amount lender year shall amount Of be sub�ectwtoer to Coadibeoail�orted by the Licensee is any ter Fights permits granted to the Licensee and2the safe. Of'thelannual�yithe eld softe liners Reservoir; and WHEREAS, by letter dated 3 November 1976, the Licensee requested an :en.-ion of the term for a period of five (5) years, from 16 December 1983 16 December 1988, and the Government is agreeable thereto; and WHEREAS, the Licensee by above-cited letter, also requested a revision Conditions 140s. 2, 3, 4 and 4a and the Government is agreeable thereto. ROW,. TrMr.EFOPx, in consideration of the premises, the parties hereto sutually agree that the said license is administratively amended under care and custody procedures applicable to the project, in the follo-. ing :iculars: C1-15 Liccnne No. DA-0S-353-M'C-1943 Emandment No. 3 1. Mat the tcLmivation date be extended for a period of five (5) yaars, from 1G Decez1ber 1983 to 1G DcceW'ser 1953. 2, That Condition No.' 2 be deleted in its entirety any the follojirg be ir-iertcd thereto end r,--de a part thereof: "2. rctcrminetian of Exc,rg water. I, a United States does rot un.,'erte'::e to furnish co.- assume ery obligation whatsoever to rokc available any water fo= tllo use by the Lice:.—ca cad the Licensee hcreb e:?�racsly en-niea any obl --ation on the part of th_ G6v__,:cnt y ' ^" �c to r:o; n%d th nt the L£ccn:•ce r..-!y revuest the San Luis Cbic,^,o flood Control and Later Co =: ction Dictrict, end subject to prc:isions of the c__rc=__at with the Govarr==nt, the District shall deliver the full Safe annual yield or =:e than the full r..:ie --r_aual yield in any one year, corsi3tent with the Project's capabilities." ' 3. That Condition leo. 3 be deleted iu its entirety and the follo:ring ba inserted thereto cad ode a part thereof. 113. Vlnsurerant of water diverted. The City e1'.all furnish and irztall at its c::a e::?cnse and ct :.3 cost to the United States, a r.-:ter at the point of connection betwcen the Army Pipe Line and the Connecting Pine Lin- suitable for the purpose of. --- .. ia^ -,;a a=u- 0, 'r.ity to the City Distribution S tcm theverted diverted and r-2asured colcly by .: rcPreseatativro oftthe Uaiteddstatca. tThe azobe uatoolfled ., %rater to be diverted by the City in any calendar year shall be subject to C;nd£tion leo. 2 hereinabove, the .requirem-ants of the United States for water from Salinas Veservoir cad the State Water RiShts permits granted to the I.tY of San Luis Obispo." 4:That Conditions Nos. 4 and 4a ba delated in their aatirety and the folio--wing inserted thereto and made a part thereof: 14. .P.a�Tert, D-ginning 1 duly 1976, the Licensee shall pay arch fiscal year to :.;an Luis Obispo County Flood: .Control and Water Conser- vation Dist ict, twelve (12) equal installments Which Would total each fiscal year's total cp?roved bud;et for the oncration and caintenance ezpaase, other operating 0-pence, non-ppernting e."ense, capital outlay and comoitted or u==—mitted reserve;, relating to-delivery-of Project rater:" 2 C1-16 License I:o. DP.-04-353-F.2:C-1943 A—_ --n.dant No. 3 S. That In all other respects tho teres and con3itiors of said Liccaaa rer ain unchan;;ed. IN WITNESS 111LOREOF, I have hnrcunto set ty_ hand this 17th y November 1977. ca of i /s/ Dou-las E. Class DOUGLAS E. CLASS ' Chief, Real Estate Civision U.S. Array L•nrineer District, Los An7,cles THIS AMM;D%1ZH T, together with the provicions and conditions thereof, is hereby accepted this 3rd `ay of ?november 1977. 17IT2;rsS; CITY OF SAN LUIS OBISPO /s/ J.H. Fitzpatrick, City Clerk By: /s/ Kenneth E. Schwartz P.O. Box 321, San Luis Obispo, . Titlos Mayor (Address) CA 93406 3 C1-17 s � DEPARTMENT OF THE ARMY IAS ANGELES DISTRICT CORPS OF ENGINEERS Secretary of the Army License No. DA-04-353-ENG-1943 Salinas Dam and Reservoir Project City of San Luis Obispo San Luis Obispo County, California AMENDMENT NO. 4 PROVIDES FOR EXTENSION OF TERM AND REVISIONS IN CONDITIONS THIS AMENDMENT NO. 4, entered into by and between the SECRETARY OF THE ARMY, hereinafter referred to as the Government, and the CITY OF SAN LUIS OBISPO, hereinafter referred to as the Licensee, WITNESSETH: WHEREAS, on 17 December 1943, the then Secretary of War granted a license to the licensee to operate and maintain a connection to a pipeline, which pipeline is hereinafter called the Army Pipeline, one of the facilities of the Army Diversion System on the Salinas River, San Luis Obispo County, California; and WHEREAS, on 29 July 1952 by Amendment No. 1, the license was amended to provide, among other things, for the delivery to and payment for the license of up to 3000 acre feet of water in any one calendar year from the Army Pipeline leading from Salinas Reservoir; and WHEREAS, on 6 July 1962 by Amendment No. 2, the license was revised to provide that the licensee shall furnish and install, at its own expense, a meter between the Army Pipeline and the connecting pipeline, for the purpose of measuring water diverted to the licensee's distribution system, the amount of water to be controlled and measured solely by a representative of the United States. The amount of water to be diverted by the licensee in any calendar year shall be subject to Condition No. 2 of the license, the State Water Rights permits granted to the licensee, and the safe annual yield of Salinas Reservoir; and WHEREAS, by letter dated 3 November 1976, the licensee requested an extension of the term for a period of five (5) years, from 16 December 1983 to 16 December 1988, and the Government was agreeable thereto; and C1-18 License No. DA-04-353-ENG-1943 Salinas Dam and Reservoir Project City of San Luis Obispo WHEREAS, the licensee, by above-cited letter, also requested a revision of Condition Nos. 2, 3, 4, and 4a, and the Government is agreeable thereto. NOW, THEREFORE, in consideration of the premises, the parties hereto do mutually agree that said license is administratively amended under the care and custody procedures applicable to the project, in the following particulars: 1. That the termination date be extended for a period of five (5) years, from 16 December 1988 to 16 December 1993 . .2 . That in all other respects the terms and conditions of said license remain unchanged. IN WITNESS WHEREOF, I have hereunto set my hand by authority of the Secretary of the Army this 10th day of November 1992. VIRGIL D. TAYLOR Chief, Real Estate Division U.S. Army Engineer District, L.A. THIS AMENDMENT NO. 4, together with the provisions and conditions thereof, is hereby accepted this 10th day of November 1992. CITY OF SAN LUIS OBISPO ® s WITNESS: BY: TITLE: Mayor Ron Dunin N 'dtj dleFX Diane Gladwell .0. Box 8100, San Luis Obispo, CA 93403-8100 ADDRESS C1-19 Secretary of the Army Salinas Dam and Reservoir Project City of San Luis Obispo San Luis Obispo County, California Lease No. DA-04-353-ENG-1943 AMENDMENT NO. 5 THIS AMENDMENT NO. 5, entered into by and between the SECRETARY OF THE ARMY, hereinafter referred to as the Government, and the CITY OF SAN LUIS OBISPO, hereinafter referred to as the Licensee, WITNESSETH: WHEREAS, on 17 December 1943, the then Secretary of War granted a license to the Licensee to operate and maintain a connection to a pipeline, which pipeline is hereafter called the Army Pipeline, one of the facilities of the Army Diversion System on the Salinas River, San Luis Obispo County, California; and WHEREAS, on 29 July 1952 by Amendment No. l, the license was amended to provide, among other things, for the delivery of up to 3, 000 acre feet of water to licensee, and to provide for payment by licensee for up to 3, 000 acre feet of water in any one calendar year diverted from the Army Pipeline leading from Salinas Reser- voir; and WHEREAS, on 6 July 1962 by Amendment No. 2, the license was revised to provide that the licensee shall furnish and install, at its own expense, a meter between the Army Pipeline and the connecting pipeline, for the purpose of measuring water diverted to the licensee's distribution system, the amount of water to be controlled and measured solely by a representative of the Govern- ment. The amount of water to be diverted by the licensee in any calendar year shall be subject to Condition No. 2 of the license, the State Water Rights permits granted to the licensee, and the safe annual yield of Salinas Reservoir; and WHEREAS, by Amendment No. 3 the license was extended for a period of five (5) years, ending 16 December 1988, and WHEREAS, by Amendment No. 4, Conditions No. 2,3,4 and 4a of the basic license were revised in accordance with letter from licensee dated 3 November 1988, and the license was further extended for five years, ending December 15, 1993 . WHEREAS, licensee has requested a further extension of License No. DA-04-353-ENG-1943 and the Government is agreeable thereto. C1-20 NOW THEREFORE, in consideration of the premises, the parties hereto do mutually agree that said license is administratively amended under the care and custody procedures applicable to the project, in the following particulars: 1. That the termination date be extended for a period of five (5) years, from 16 December 1993 to 16 December 1998. 2. That in all other respects the terms and conditions of said license remain unchanged. IN WITNESS WHEREOF, I have hereunto set my hand by authority of the Secretary of the Air Force this 19th day of July , 1994 . VIRGIL D. TAYLOR Chief, Real Estate Division U.S. Army Engineer District, L.A. THIS AMENDMENT No. 5 together with the provisions and conditions thereof, is hereby accepted this 19th day of July , 1994. CITY OF SAN LUIS OBISPO By �C V f�vc�Z Title ti.cy f'f� Cl-21 DAR 5 `� y TEM #a CI San Luis Obispo Chamber of Commerce 1039 Chorro Street • San Luis Obispo, California 93401-3278 (805) 781-2777 • FAX (805) 543-1255 9 TDD (805) 541-8416 David E. Garth, President/CEO October 5, 1999 rGa?ACAO CUNCIL ❑CDD DIR AO ❑FIN DIR ❑FIRE CHI=FTTORNEY ❑PW DIR LERKIORIG ❑POLICE CHF MT TEAM ❑REC DIR 2 r 0 � G<TIL DIR ❑PERS DIR Mayor Allen Settle City of San Luis Obispo 990 Palm Street San Luis Obispo, CA 93401 Dear Mayor Settle: As you are well aware, securing new water sources is of the highest priority for the San Luis Obispo Chamber of Commerce. Since 1989 the Chamber has held the belief that the most important issue facing the local business community is that of water. One of the biggest hurdles to continued economic development in our community is the lack of new water sources for business expansion. As you prepare for the upcoming hearings before the State Water Board regarding the Salinas Dam we wanted to convey to you the Chamber's continued support of the City's existing policies on water. The expansion of the Salinas Dam is a critical component in our water supply strategy and we strongly support all of the efforts you and your staff have extended in trying to keep this project on track. In particular, we would like to commend the efforts of Utilities Director John Moss and Water Division Manager Gary Henderson. The Chamber appreciates this Council's continued efforts to proactively solve this issue and we urge you to continue to press forward with the expansion of Kalinnc Reservoir. RECEIVED Sincerely, 0 C T - 5 1999 SLO CITY CLERK Deborah S. Nicklas �J =RECEIVEDChairman of the Board e-mail: slochamber®slochamber.org • websites: www.slochamber.org www.visitsio.com