Administrative
Report
H.9., File # 22-4798 Meeting Date: 10/11/2022
To: MAYOR AND CITY COUNCIL
From: TED SEMAAN, PUBLIC WORKS DIRECTOR
TITLE
ADOPT BY 4/5THS VOTE AND TITLE ONLY RESOLUTION NO. CC-2209-069, A RESOLUTION OF
THE CITY COUNCIL OF THE CITY OF REDONDO BEACH, CALIFORNIA, AUTHORIZING A FISCAL YEAR 2022-2023 BUDGET MODIFICATION TO APPROPRIATE $195,000 FROM THE
TIDELANDS FUND UNALLOCATED BALANCE TO THE CITY PUBLIC WORKS DEPARTMENT 2022-2023 FISCAL YEAR SEASIDE LAGOON OPERATING BUDGET ACCOUNT, AND APPROPRIATE AN ADDITIONAL $195,000 FROM THE TIDELANDS FUND UNALLOCATED
BALANCE TO THE PUBLIC WORKS ENGINEERING DIVISION CONTRACTS AND PROFESSIONAL SERVICES ACCOUNT; AND
APPROVE A STORMWATER SERVICES AGREEMENT BETWEEN COUNTY SANITATION DISTRICT NO. 2 OF LOS ANGELES COUNTY AND THE CITY OF REDONDO BEACH TO
COMPLETE A SUPPLEMENTAL ENVIRONMENTAL PROJECT TO EVALUATE A NEW OR
EXPANDED SANITARY SEWER DIVERSION PROJECT IN AN AMOUNT NOT TO EXCEED $100,000 FOR THE TERM OCTOBER 11, 2022 TO OCTOBER 10, 2027
EXECUTIVE SUMMARY
On July 5, 2022, the City received a Settlement Offer from the Regional Water Quality Control Board (Board) for alleged Seaside Lagoon discharge water quality violations of the facility’s National Pollution Discharge Elimination System (NPDES) Permit and a Notice of Violation including alleged NPDES Permit violations from July 2016 through August 2021, with the alternative to pay a fine in the amount of $390,000. In order to settle this matter, the City Council agreed to the Board’s Settlement Agreement and Stipulation for Entry of Administrative Civil Liability Order; Order R4-2022-0027. The Agreement requires the City to pay 50% of the fine amount to the Board and commit to expending the remaining 50% to implement the Redondo Beach Sanitary Sewer Diversion Project Alternative Analysis, Preliminary Design & Permitting as a Supplemental Environmental Project.
In order to allow the City to implement the terms of the Settlement Agreement, staff is requesting adoption of the Resolution authorizing FY 2022-23 budget modifications to appropriate $195,000 from the Tidelands Fund unallocated balance to the City Public Works Department Seaside Lagoon operating budget and $195,000 from the Tidelands Fund unallocated balance to the Public Works Engineering Division’s Contracts and Professional Services budget. In addition, staff is requesting approval of the Stormwater Services Agreement with the County Sanitation District No. 2 of Los Angeles County to complete a portion of the Supplemental Environmental Project to evaluate a new or expanded sewer diversion project.
H.9., File # 22-4798 Meeting Date: 10/11/2022
The City has been working for many years to comply with the Seaside Lagoon discharge permit requirements and has determined that the best approach to achieving compliance is to reconstruct the Lagoon including designing and constructing a “closed-loop” system, thereby eliminating the water discharge to the Harbor and the need for a facility Permit. Therefore, the City has also requested the Permit renewal and Time Schedule Order (TSO) extension to allow time to complete design, permitting and construction of the rehabilitated Seaside Lagoon.
BACKGROUND
Seaside Lagoon operates every summer and, because it discharges water into the harbor, is considered a permitted activity under NPDES regulations. Seaside Lagoon has been operating under a renewable NPDES Permit on a five-year cycle since 1999. The Permit requires that the City demonstrate compliance each year through a combination of chlorine and de-chlorination treatment, Lagoon effluent monitoring, and reporting. Each Permit cycle, the Permit has become more stringent while the facility infrastructure continues to age. The City has struggled, and continues to struggle, to operate in a way that complies with the tightening and increasing regulations.
On September 2, 2017, the Board adopted Waste Discharge Requirements set forth in RWQCB NPDES No. CA0064297, Permit Order No. R4-2017-0178 and TSO No. R4-2017-0179 for the continued operation of Seaside Lagoon. The TSO was issued to allow time (five years from issue) for the City to bring the facility into full compliance, by understanding the sources of pollutants and developing solutions to prevent their discharge, which may include a more robust water treatment program or a change in operation to eliminate the discharge into the Harbor. On October 15, 2019, the City Council approved an agreement with engineering consultant PACE to investigate the Lagoon for potential water quality treatment improvements and to explore alternative operational methods for the existing facility. PACE’s study determined that installing a treatment system utilizing the existing infrastructure would require construction of a costly, automated, and complex facility that would be difficult to site and expensive to construct and operate.
On May 4, 2022, the City submitted to the Board a Report of Waste Discharge for renewal of the Waste Discharge Requirements set forth in RWQCB NPDES No. CA0064297, Permit Order No. R4- 2017-0178 and TSO No. R4-2017-0179 for the continued operation of Seaside Lagoon. The Board has not officially commented on these to date, but the City may continue to operate while the Board reviews the applications.
On July 5, 2022, the City received a Settlement Offer from the Board for alleged Seaside Lagoon discharge water quality violations of the NPDES Permit and a Notice of Violation including alleged NPDES Permit violations from July 2016 through August 2021. The alleged violations result in a corresponding fine amount of $390,000. In order to settle this matter, the City Council approved the Board’s Settlement Agreement and Stipulation for Entry of Administrative Civil Liability Order; Order R4-2022-0027. The Settlement offer allows the City to pay only half of the fine to the Board and spend the other half on a specific project that will benefit the environment and has some nexus to the discharge watershed. The Settlement Agreement requires the City to pay the Board $195,000 and commits to expending an additional $195,000 to implement a project that will further reduce polluted discharge to the Santa Monica Bay. The project, named the Redondo Beach Sanitary Sewer Diversion Project Alternative Analysis, Preliminary Design & Permitting as a Supplemental Environmental Project (SEP) was proposed by the City.
H.9., File # 22-4798 Meeting Date: 10/11/2022
The SEP goal is to reduce dry weather flows and stormflows to the ocean by diverting them to the sanitary sewer system. The City has several such diversions installed already, and these would incorporate additional sewer-sheds into that practice. The SEP requires the County Sanitation District to determine if and where such diversions can be made without negatively impacting their collection system. The Agreement with the County Sanitation District of Los Angeles (LACSD) will include flow tracing and sewer capacity studies. Under the Agreement, the County will perform separate studies on two sewer-sheds to identify locations with the most available capacity for a new or enhanced diversion within the Beach Cities Watersheds. This project is intended to facilitate the diversion of stormwater and non-stormwater flows to the LACSD Joint Water Pollution Control Plant for treatment and for the future production of recycled water. The project seeks to improve the quality of local receiving waters by diverting untreated dry weather and stormwater while at the same time building resilience of the region to climate change by developing new sources of recycled water for recharging and replenishing groundwater supplies.
The City continues to struggle to achieve compliance at Seaside Lagoon with ever more stringent requirements and the aging infrastructure at the facility. In response to the compliance issues and concerns, the City Council approved an agreement with engineering consultant PACE to investigate the Lagoon for potential short and long-term water quality treatment improvements and to explore alternative operational methods. PACE completed the preliminary study and determined that a closed loop recirculating system is feasible. The City is currently working toward designing a new Seaside Lagoon facility that will include a “closed-loop” recreational water system.
COORDINATION
The Public Works Department and the City Attorney’s Office prepared the documents presented in this report.
FISCAL IMPACT
The Budget Resolution appropriating Tidelands Funds is being submitted to cover the $390,000 cost associated with the Settlement Agreement. No funding is currently designated to pay the Seaside Lagoon’s most recent NPDES penalties or complete the special environmental project.
APPROVED BY:
Mike Witzansky, City Manager
ATTACHMENTS
· Budget Resolution
· Stormwater Services Agreement with the County Sanitation District No. 2 of Los Angeles County