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HomeMy WebLinkAbout04/17/2007, C7 - COMPLETION OF USE ATTAINABILITY ANALYSIS FOR SAN LUIS OBISPO CREEK O C council e Aril 17 2007 accnas Report CITY OF SAN LUIS OBISPO FROM: Department.Head: John Moss, Utilities Director Prepared By: David Hix, Wastewater Division Manager SUBJECT: COMPLETION OF USE ATTAINABILITY ANALYSIS FOR SAN LUIS OBISPO CREEK CAO RECOMMENDATION Approve a second amendment to the Agreement with Larry Walker Associates in the amount of $93,300 for the completion of the Municipal and Domestic Supply (MUN) Use Attainability Assessment for the Lower Portion of San Luis Obispo Creek and authorize the Mayor to execute the Agreement. DISCUSSION Original Agreement In May of 2005, the City hired Larry Walker Associates (LWA) to perform a feasibility analysis of regulatory options for the Water Reclamation Facility (WRF). The City requested this analysis because it had become apparent that the City needed to explore and exhaust all likely regulatory options for the WRF's National Pollutant Discharge Elimination System (NPDES) permit. The WRF's discharge requirements will become significantly more stringent in the next five years because of the State's requirements that the WRF meet the Municipal and Domestic Supply beneficial use requirements for San Luis Obispo Creek. This beneficial use will require significant and costly upgrades to meet the State's requirements that the WRF's discharge meets or exceeds drinking water standards. The preliminary study determined that a Use Attainability Analysis (UAA) to study the reasonable beneficial uses of San Luis Obispo Creek was the most likely and favorable regulatory option the City should pursue. If approved by the State and EPA, this study may remove or change the MUN beneficial use designation of San Luis Obispo Creek. Expanded Work In April of 2006 Council approved Amendment Number One to the Agreement in order to complete the UAA. Work toward completion has progressed well, but additional work is now required. The additional work required is necessary to analyze relevant history as well as state and federal policies to determine if downstream use constituted a MUN use. Further work with the Regional Water Quality Control Board (RWQCB) staff on the interpretation of relevant water quality regulations is also needed. The need for this expanded scope became known late in the process and without any prior notice from the RWQCB and/or downstream users during the scoping portion of the UAA. In amending the Agreement, staff has also requested LWA to assist the RWQCB in the development of the required California Environmental Quality Act (CEQA) documents, an additional item not included in the original work scope, to ensure the timely implementation of the environmental review aspect of the UAA. C � - f c o Completion of UAA for San Luis Obispo Creek Page 2 Additional funding is need to complete the UAA and includes: the additional work with stakeholders, revisions to comments, work with RWQCB staff, attendance at meetings, and completion of the CEQA process. Because excellent progress has been made on the UAA it is crucial that this study be completed to determine the appropriate beneficial uses of San Luis Obispo Creek. The UAA process follows the EPA's guidance for"de-designation" (removing the beneficial use designation) and looks at all the criteria for beneficial uses, definitions of those uses, if the uses exist and the process to change the designation. City staff and LWA continue to work with RWQCB staff to provide further required information and help establish a process to ensure completion of the UAA. The MUN beneficial use designation is currently the driver for proposed Water Reclamation Facility upgrades including nutrient removal and disinfection modifications and will likely continue to place the most stringent discharge requirements in the WRF's NPDES permit. The UAA will provide the City and RWQCB with a comprehensive document that will objectively and thoroughly analyze San Luis Obispo Creek's beneficial uses and provide the City with valuable information to determine appropriate upgrades to the WRF. Other beneficial uses may require process upgrades in the future. Staff believes the UAA's outcome should demonstrate that the MUN designation does not, and can not, exist and should be removed. LWA has prepared several similar studies for other agencies and provides support for all of the documents and studies they develop. LWA is very faniiliar with the City's NPDES permit, the Central Coast RWQCB, and its staff from assisting the City in its last permit negotiation. Few firms posses the expertise,experience and excellent service offered by LWA FISCAL IMPACT This amendment requires $93,300 in additional funds for LWA's services. Funding for the Amended Agreement is currently available in project savings from two recently completed sewer capital improvement plan projects. ATTACHMENT Amendment to Agreement LWA Proposal G: File Path / Attachment AMENDMENT TO AGREEMENT THIS AMENDMENT TO AGREEMENT is made and entered in the City of San Luis Obispo on , by and between the CITY OF SAN LUIS OBISPO, a.municipal corporation, herein after referred to as City,and Larry Walker Associates, hereinafter referred to as Contractor. WITNESSETH: WHEREAS, on May 6 2005, the City entered into an Agreement with Contractor for Feasibility Analysis of Regulatory Options;and WHEREAS, the City desires to amend the scope of services to include Completion of MUN Use Attainability Analysis and Development and Support for a Basin Plan Amendment, and Contractor has submitted a proposal for this purpose that is acceptable to the City. NOW THEREFORE, in consideration of their mutual promises, obligations and covenants hereinafter contained,the parties hereto agree as follows: 1. The scope of services and related compensation is hereby amended as set forth in Exhibit A attached hereto. 2. All other terms and conditions of the Agreement remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed the day and year first written above. ATTEST: CITY OF SAN LUIS OBISPO By: Audrey Hooper,City Clerk David F. Romero, Mayor APPROVED AS TO FORM: CONTRACTOR City 4-ROMAK C� - 3 707 41h Street. Suite 200 530.753.61 www.lwa.com Davis, CA956t6 530.753.7d�.,.ias Exhibit L A R R Y W A L K E R March 16, 2007 Mr. Dave Hix • City of San Luis Obispo 955 Morro Street ASSOCIATES San Luis Obispo, CA 93401 Re: Request for a Revision to December 14, 2005 Scope of Work for the Completion of a MUN Use Attainability Analysis for the lower portion of San Luis Obispo Creek Dear Mr. Hix: Per our discussion of March 13, 2007, Larry Walker Associates ("L%VA") is submitting the following request to revise the December 14, 2005 Scope of Work to complete a MUN Use Attainability Analysis (UAA) for the lower portion of San Luis Obispo Creek. Several issues were not anticipated to require a significant amount of time to address during the development of the original Scope were raised late in the process. These issues, raised by the Regional Board and the San Miguelito Mutual Water Company (SIAMWC), primarily revolve around the use represented by the S1vlhfWC wells. Addressing concerns <vitli the potential existing use represented by SM;\IWC wells has been the primary issue that has resulted in an increase in the number of hours required to complete the project. These issues were idenrified in the preliminary UAA. However, LWA did not receive comment on those specific issues from the Regional Board or SMMWC and, as such, did not include sufficient budget to conduct the additional meetings and associated work generated by the meetings. Additional effort has also gone into working with Regional Board staff to come to consensus on interpretation of available federal regulations. Lastly, to provide assistance to Regional Board staff, who have already dedicated a significant amount of time and energy to the process, LWA, under the direction from the City, has taken on developing California Environmental Quality Act (CEQA) documentation. CEQA documentation task items were not included in the original Scope. The table on the following page outlines the potential hours and associated costs needed to complete the project based on the current process. The total requested increase is $93,289. Please call if you have any questions or if you need additional information. Sincerely, Lartti� 1�. `M�alkcr Chief Executive Officer Larry Walker Associates; Inc.. 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