Loading...
HomeMy WebLinkAbout01/31/19911 MINUTES JOINT MEETING OF THE CITY COUNCIL AND THE CITY OF MORRO BAY THURSDAY, JANUARY 31,1991- 7:00 P.M. VETERANS MEMORIAL HALL - 209 SURF STREET MORRO BAY, CALIFORNIA ROLL CALL City of Morro Bay City Council Present: Councilmembers John Baker, Ben Luna, Susan Mullen, Tom Wuriu, and Mayor Rose Marie Sheetz Absent: None City Stab Present: Forrest Henderson, Assistant City Administrator, Judy Skousen, City Attorney; Bill Boucher, Associate Civil Engineer, Louise Burt, Finance Director, Ardith Davis, City Clerk; Nick Nichols, Public Works Director City of San Luis Obispo City Council Present: Vice-Mayor Bill Roalman, Councilmembers Peg Pinard, Penny Rappa, Jerry Reiss, and Mayor Ron Dunin Absent: None City Staff Present: John Dunn, City Administrative OtLcer, Cindy Clemens, Assistant City Attorney; Bill Hetland, Utilities Director, Gary Henderson, Utilities Engineer PUBLIC COMMENT P.C.1. Bruce Risley. 540 Piney Way, said since both Morro Bay and San Luis Obispo have long term water problems, it seems logical for the cities to work together and move forward jointly on the stream diversion feasibility studies. He asked why negotiations projected more than a year ago to resolve details of the stream diversion project never took place; why the same consultants who issued two reports tending to prove and encourage the feasibility and potential benefit of stream diversion to all parties and at reasonable cost, would issue a report just to the City of San Luis Obispo reversing their former joint study; and why Morro Bay and San Luis Obispo have apparently gone their separate ways in our present critical situation in studying and developing emergency desalination supplies? P.C2. Doris Murray. 236 Surf Street and a member of the TV Franchise and Services Board, stated she wishes to go on record regretting that Sonic Cable TV cannot be at the meeting to televise anything as important as this water meeting. P.C3. Mary Phillips said she is glad that the two Councils are together. She cautioned the Councils against only putting their efforts into decal water, and spoke in favor of exploring the acquisition of fresh water from Vancouver, British Columbia. She questioned why Los Angeles takes its water from Northern California if desal is so great; they have the ocean at their front door. 429 i JJ City Council Minutes Page 2 Thursday, January 31, 1991 - 7.00 p.m. P.CA. Ted Sands, resident of Santa Barbara and has been in the water industry for 40 years, said he is familiar with desalting plants all over the world. He requested the Councils consider bringing water down from Canada by tanker, desalination has not been done successfully on the west coast. He said the costs of importing fresh water are comparable to desal or even less. Information on the process can be made available to staff; as long as there is information as to the volume needed and the length of time it will be needed, costs can be determined. P.C.5. Cecil Carey. 40 years experience in the water business, said desal water is essential for emergencies, but costs three to four times what the San. Bernardo Creek and Coastal Streams project would be State Water Project costs are $3,000 per acre foot and desal is $7,000 per acre foot. P.C.6. Don Smith. San Luis Obispo, quoted from an article in the LA Times that State Water Project officials will cut the amount of water it is supplying to the Metropolitan Water District by 85% if drought conditions continue to be critical. He noted most people in San Luis Obispo have cut back their water use to about 5 units per month. He is concerned about the amount of energy used by a desal project, and prefers Naeimiento as a source of water. Mayor Sheetz closed the hearing to the public. PUBLIC REPORTS D -1 DESALINATION PROJECT - SAN LUIS OBISPO STAFF • PROJECT SUMMARY /OVERVIEW (MONTGOMERY ENGINEERS) • TIMEFRAME FOR DECISIONMAKING Bill Hetland. Utilities Director, stated California is going into its fifth year of drought. He displayed charts depicting water levels in San Luis Obispo wells and reservoirs, and stated if the trend continues, San Luis Obispo will run out of water. Two years ago, the City of San Luis Obispo started mandatory rationing. In November 1990, staff presented the Council with projects for a new water supply. Some of them were rainfall - dependent projects, but they also considered tankering and decal. The City Council directed staff to proceed with the desal project to minimize risks. They realize the costs are very expensive, but believe there is no choice. The City of San Luis Obispo is now talking with other agencies who might be interested in participating in the project and asking them for commitments. They hope to have the project operational by July 1992. Charles Dougherty, J.M. Montgomery Engineers, Inc., prepared the feasibility study for the City of San Luis Obispo for the desal project. Mr. Dougherty gave a detailed description of the project and the fast -track timeline for getting the project operational. The recommended project is for ocean water to come in through the P.G.& E. property; and then through a new pipeline to the existing Whale Rock pipeline for distribution to San Luis Obispo through their water treatment system. San Luis Obispo's capacity is for 3,000 acre feet per year. He said P.G. & E.'s participation is critical to the project. The waste and brine will be funnelled back through the P.G.& E. outfall and possibly the Morro Bay wastewater treatment plant. Mr. Dougherty estimated costs for San Luis Obispo's 3,000 acre feet at $1,600 per acre foot plus $1 ,300 energy costs per acre foot; for a total of $8.7 million per year. Because of the necessity to fast -track this project to have it operational by 1992, San Luis Obispo is asking for agency commitments by February 6, 1991. Any delays beyond that push project operation further into the future. Councilmember Wuriu stated from the drawings, it looks like the reverse osmosis facility is larger than the P.G.& E. plant; is it really that Loge? Mr. Dougherty stated it is 1 -3/4 to 2 acres. There is a relationship between the size of the facility and costs. It is estimated San Luis Obispo will subscribe to 3,000 acre feet; Morro Bay perhaps 1,100 acre feet; and several other agencies at 500 acre feet. A small facility for one user will cost as much as a large facility. City Council Minutes Page 3 Thursday, January 31, 1991 - 7:00 p.m. ' Councilmember Mullen asked questions relative to the reverse osmosis filtration system, to which Mr. Dougherty responded. Mayor Sheetz asked if the water has to be treated coming from the reverse osmosis unit? Mr. Dougherty stated Morro Bay will probably have to undertake minimal chlorination. Mayor Sheetz asked how costs will be apportioned? Mr. Dougherty stated all agencies participating will enter into a JPA agreement and will be charged according to the amount of water they use. Mayor Sheetz asked if this also applies to construction of the plant? Mr. Dougherty said he believes so. Councilmember Luna asked if next winter brings substantial rainfall, enough to recharge our basins, will the City be required to go ahead with the project? Mr. Dougherty stated the project is planned for a 5 -year source of supply; if it rains, it will be the City's decision on how to deal with it. Mr. Hetland said once an agreement has been signed by the various agencies, the financial commitment will be made. If rains develop and the plant is never turned on, the agencies will still be liable for the capital portion of the plant costs. Mayor Dunin stated the JPA may be in more than one section; one for the capital improvement, one for maintenance, and perhaps one for the actual product. Councilmember Mullen asked if Morro Bay will be requesting 1,100 acre feet from this project? Mr. Nichols stated it has not been decided yet and is up to Council how the details of the project will be worked out. Mr. Dunn stated the contract will spell out the wants and needs of all agencies involved. Mayor Sheetz asked if Morro Bay subscribes to the project, when will the first payment be due? Mr. Hetland said the feasibility study cost $49,000; the preliminary design currently underway will be $438,000; and the EIR 1 and permitting process $256,000 for a total of $743,000 committed to date. Based on letters from other agencies and the amount they may subscribe from the project and Morro Bay's estimate of 1,100 acre feet, Morro Bay's portion would be approximately $150,000 of the $743,000. Councilmember Mullen noted a State grant obtained by the City of Riverside for water projects. Mr. Hetland stated they are looking into the possibility of grants. D -2 SAN BERNARDO CREEK DAM - MORRO BAY STAFF • BRIEFING ON PROJECT STATUS AND SCOPE Mr. Nichols reviewed the concept of building a water storage facility at San Bernardo Creek, and the history of the City's applications for water rights. An EIR is underway but has not been finished due to the drought; there are no stream flows to conduct the fisheries analysis. Mr. Nichols also reviewed the Coastal Streams Diversion Project whereby the yield of the reservoir could be increased by adding stream flows from nearby creeks. The San Bernardo Dam Reconnaissance Report estimates costs at $15.5 million to build the dam. Along with the problem of fmishing the studies, there is the reluctance on the part of nearby property owners to have a lake on their land; also, people downstream do not want to live under a dam. This is envisioned as a long -range project. Councilmember Luna asked if San Luis Obispo had considered Morro Bay expanding the Whale Rock reservoir for its uses before going to the desal project? Mr. Hetland pointed out the City of San Luis Obispo is only one agency of the Whale Rock Commission; there is also the Men's Colony and Cal Poly. He said they investigated trying to expand the reservoir with regard to the spillway, but there is a minimum amount of storage that can be gained. He does not believe expanding the reservoir is a viable project for San Luis Obispo. Mayor Sheetz commented on the discussions regarding building another reservoir when there is nothing to fill it with. 431 432 City Council Minutes Page 4 Thursday, January 31, 1991 - 7:00 pm. D -3 COASTAL STREAMS DIVERSION PROJECT - MORRO BAY AND SAN LUIS OBISPO STAFFS • PROJECT OVERVIEW /CURRENT STATUS • STATUS WITHIN RESPECTIVE CITY WATER DEVELOPMENT EFFORTS Mr. Hetland stated the Coastal Streams project involves putting temporary dams on small streams and pumping water during peak flows back to Whale Rock Dam for storage. Based on the feasibility report, it initially appeared to be viable and cost effective. Due to some change in stab at the Fish and Game Department, their direction was withdrawn on how to operate the coastal streams project until a fisheries study could be done. It is a rainfall- dependent project and will not help in a drought; therefore, San Luis Obispo concentrated its efforts on other projects. Until the study is finished and yields are known, it is premature to discuss putting the project together. He noted the report submitted based on San Luis Obispo's needs revealed a constraint in the project on the amount of water the City of San Luis Obispo could obtain because of the limitation in the Whale Rock pipeline and the ability to convey excess water. Councilmember Wuriu asked if Morro Bay decided to pursue the Coastal Streams Project, would San Luis Obispo let Morro Bay do it on its own? Mr. Hetland said there has been no formal action on the project because the feasibility study is incomplete. Right now the Coastal Streams looks very expensive to the City of San Luis Obispo. Mr. Nichols noted if Morro Bay pursues Coastal Streams on its own, it will need a storage facility. Counciimember Baker asked what the acre-foot costs are on the Phase II Stream Diversion Project? Mr. Nichols stated based on the reconnaissance study diverting four streams into the San Bernardo Reservoir the approximate cost is $500 per acre foot Mayor Sheetz stated Council cannot make a commitment to the City of San Luis Obispo's desal project at this time, but she will schedule the subject for public hearing before Council at their regular meeting on February 11th. Mayor Sheetz opened the meeting for comments from the public. Gary Kunkel, member of a San Luis Obispo group called Water Action to Eliminate Rationing (WATER) and an elected director on the Resource Conservation District, urged the City Councils to turn to the private sector to help solve this problem in order to solve it quickly. He said the Diablo Canyon desal plant only took 6 months from beginning to end to develop. Katherine Walline- Morro Bay resident, stated she visited the desal plant when Diablo Canyon was being built and commented on the corrosive nature of the pipes through the desalination process, and stated it will require miring with fresh water to make it potable. Clint Milne, County Engineer, stated the reverse osmosis system proposed by the City of San Luis Obispo is different than the desal project in effect at Diablo Canyon. Mary Phillips stated the brine from the desal project will destroy the estuary as well as the fishing industry; Cayucos and Morro Bay sewage is already flowing out to the ocean. She asked why P.G. & E. doesn't let us purchase desal water from them until we can get other sources. She also asked questions concerning the membranes in the filtration system. Mr. Doueherty stated the membranes used today do not disintegrate in the system and come out the water pipes. He also explained the level of Total Dissolved Solids (TDS) in this water will not cause corrosion in the pipes. He said desal is a proven technology and has been used for years in the Middle East: it has not been used in California before because of the expense. The waste or brine from the system will not be deposited in the estuary but will leave Morro Bay through the P.G. & E. Diablo Canyon Power Plant. He further explained the technology of the minerals involved in the desal process. 433 City Council Minutes Page 5 Thursday, January 31, 1991 •7:00 p.m. Councilmember Luna asked how P.G.& E. was able to expedite their construction of the Diablo Canyon desal project Mr. Peterson stated P.G. & E. already had a site which would not have to be developed; theirs is a smaller project than that proposed by the City of San Luis Obispo; the conveyance systems were easy to work out; they did not have to wait for an agreement from the public sector, they did not have to go through the permitting process, etc. Mr. Hetland pointed out the private sector is going to be doing the work on this project Ted Sands again spoke on the merits of tinkering water from Canada. John Lemons. 419 Shasta, commended the Councils for their efforts to do something of an emergency nature. He suggested if Morro Bay requests 1,100 acre feet from this project for an emergency, there may be some legal problems with that much emergency water. He said with respect to giving San Luis Obispo an answer by February 6, it is poor business practice to commit to something without seeing the agreement He said in 1978 an advisory election was held in San Luis Obispo County about the State Water Project, and it passed. If the County had gone ahead then and developed the State Water Project, none of us would be here this evening. Charles Palmer. 435 Estero, discussed water rate structuring. Nelson Sullivan said Morro Bay's high alkalinity in the water is saving us from big problems because of our asbestos pipes. He said the desal project should be compared with Nacimiento as it seems time frame and costs are competitive. Jane Bailey asked how high the desal plant will be built? Mr. Dou hg erty said it will be a single story, no higher than 10 feet 1 D4 WRITTEN REPORTS: RECEIVE AND FILE INDIVIDUAL REPORTS FROM CITIES A. NACIMIENTO RESERVOIR ACTIVITIES B. STATE WATER PROJECT STATUS C. WATER RECLAMATION EFFORTS Mr. Nichols stated Council was in receipt of a joint report from the Cities of San Luis Obispo and Morro Bay regarding the status of these items; no further presentation is planned. Councilmember Wuriu stated despite the fact Morro Bay and San Luis Obispo do not always have the same interests, he believes it is amazing both staff and elected officials have been able to work as successfully as they have in trying to solve their mutual water problems. He hopes it continues. Councilmember Luna commented funding of projects has been scheduled on the next Council agenda. He stated he would like to see information from Ted Sands after the meeting. Councilmember Baker commented on the portable trailer reverse osmosis units to be used in the San Luis Obispo project Mr. Nichols stated the trailer reverse osmosis units Morro Bay is presently using at Keiser Park for brackish water are different than the ones to be used in Morro Bay's emergency project scheduled for this summer. It is possible the units for Morro Bay's 1991 project may be interchangeable with the upcoming San Luis Obispo project Mayor Sheetz expressed sincere appreciation for San Luis Obispo City Council coming to Morro Bay; there is definitely a common ground and she believes the Morro Bay City Council is leaning toward a joint project F. ADJOURNMENT Mayor Sheetz adjourned the meeting at 930 p.m. Minutes recorded by Ardith Davis, City Clerk, Morro Bay. 434 City Council Minutes Thursday, January 31, 1991 - 7:00 pm. APPROVED BY COUNCIL: 3/5/91 PV :cmh ROLL CALL Councilmembers Voges, City CI MINUTES REGULAR MEETING OF THE CITY COUNCIL TUESDAY, FEBRUARY 5, 1991 - 7:00 P.M. COUNCIL CHAMBERS - CITY HALL - 990 PALM STREET SAN LUIS OBISPO, CALIFORNIA Page 6 Present: Vice Mayor Bill Roalman, Councilmembers Peg Pinard, Penny Rappa, Jerry Reiss and Mayor Ron Dunin Absent: None City Staff Present: John Dunn, City Administrative Officer, Ken Hampian, Assistant City Administrative Officer, Jeff Jorgensen, City Attorney, Pam Voges, City Clerk, Arnold Jonas, Community Development Director, Bill Statler, Finance Director, Bob Neumann, Acting Fire Chief, Jim Gardiner, Police Chief; Dave Romero, Public Works Director, Deb Hossli, Administrative Analyst PUBLIC COMMENT P.C.1. Don Smith, Vista Del Lago, spoke in support of the Nacimiento Water Project and urged against the State water project CONSENT AGENDA Moved by RapRaa /Roalman, the Consent Calendar was unanimously approved as recommended by the City Administrative Officer (5 -0). C -1 CONTRACT PAY ESTIMATES Contract pay estimates and change orders approved and ordered paid as recommended (5 -0). C -2 TRAFFIC WORK ORDERS Council considered traffic work orders for the period September 30, 1990 through December 31, 1990. Resolution No. 6927 (5 -0) adopted approving traffic work orders as recommended. C -3 CURB. GUTTER & SIDEWALK ASSESSMENT (File No. 533) Council considered an assessment against McCarthy Tank and Steel for curb, gutter and sidewalk improvements at 313 South Street Resolution No. 6928 (5 -0) adopted modifying Resolution No. 6906 to change assessment for property at 313 South Street as recommended. 1