Cities Index.
2. Principles of Agreement.pdf

Rialto City Council
March 8, 2022

Document
2. Principles of Agreement.pdf
Meeting
March 8, 2022
Body
Rialto City Council
Original file
93 KB
Text extracted from the city's file for reading and search. Open the original on legistar.granicus.com. That file is the official record.

IEUA, RIALTO, SAN BERNARDINO VALLEY WATER DISTRICT WATER RESESOURCES PARTNERSHIP

PRINCIPLES OF AGREEMENT

Page | 1 2020-04-20 IEUA | Rialto

Water Resource Partnership Objectives
• City of Rialto is interested in monetizing its recycled water asset for the benefit of city by diversifying its water resources and financial security. • IEUA is interested in securing additional reliable local water supplies to bolster its water resources portfolio to serve its community today, into the future, and under uncertain climate conditions.
• City of Rialto currently has 6.23 MGD of recycled water produced at its wastewater treatment plant that is discharged to the Santa Ana River. As the City grows, it anticipates receiving additional flow s up to its maximum treatment plant capacity of 11.7 MGD. City of Rialto currently has a requirement to provide 7 cfs or 3.8 MGD for the benefit of the habitat in the Rialto Channel/ Santa Ana River.
• Valley District is leading the development of the Upper Santa Ana River Multi-Species Habitat Conservation Plan (SAR MSHCP); for the protection of the habitat in the Santa Ana River, the HCP identified that it is desirable to remove flows from the Rialto WWTP during the summer months, when the temperature of the water has an adverse impact on native species; the intent is to provide cold water to the Rialto channel during optimal times of t he year to support the habitat.
• IEUA has a desire to augment its recycled water system in the summer months whe n its recycled water demands are higher than the available supplies and would benefit from such flows from Rialto. IEUA intends to fund the design and construction of an advanced water purification facility and injection facilities to beneficially use the water from Rialto, along with its own supplies to meet water quality objectives of the Chino Basin and its NPDES Permit limitations.
• The City of Rialto and IEUA can mutually agree the interconnection capacity may be upsized to provide additional capacity for future supply from growth within Rialto’s service area.

Should existing capacity be used to convey flows from other agencies, the City of Rialto and IEUA would be proportionally compensated.
• The value of the proposed project is beyond the above articulated components of water supply and habitat; the partnership could deve lop broader benefits such as meeting water quality objectives, and salt/nutrient management objectives , and from future use of interconnection capacity by parties other than the Partners.

IEUA, RIALTO, SAN BERNARDINO VALLEY WATER DISTRICT WATER RESESOURCES PARTNERSHIP

PRINCIPLES OF AGREEMENT

Page | 2 2020-04-20 IEUA | Rialto
Proposed Principles of Agreement
• IEUA will fund the design, construction and operation of a pipeline, pump station and interconnection between City of Rialto WWTP and IEUA recycled water distribution system , at an estimated cost of $45 million (2019 cost estimate) to facilitate the exchange of water from Rialto to IEUA. The current contemplated capacity of the facilities is 11.7 MGD, to match Rialto WWTP’s ultimate treatment plant capacity.
• IEUA will fund a maximum of $1 million (2019 cost estimate) the construction of one groundwater well adjacent to the Santa Ana River or the construction of a gravity pipeline from the bottom of the future Lake Rialto, with a preferred location within the City’s property; the purpose of the project is to provide cold water for the benefit of the native species while the Rialto water is diverted to the IEUA recycled water distribution system. • Rialto and Valley District will fund, design, permit, acquire the necessary property, and construct the well or pipeline as needed for the SAR MSHCP. Rialto and Valley will also fund the permitting, operation and maintenance of the well or pipeline. Rialto and Valley District will work together to identify funding opportunities in the future to design, permit and construct Lake Rialto to provide ecosystem benefits.
• Rialto and Valley District will provide water for environmental/ecosystem benefits in accord with the SAR MSHCP.
• Rialto will secure any needed water diversion permits from the State Water Resources Control Board prior to the start of construction, currently contemplated to be consistent with the Upper Santa Ana River Habitat Conservation Plan.

Proposed Terms of the Agreement
• In exchange for the capital investment and operation of the facilities to secure supplies from Rialto, IEUA will have exclusive rights to divert a constant flow of 7 MGD of Rialto’s recycled water into the IEUA system at a rate of $ 275 per acre -foot for the summer months commencing May 1 t hrough October 31 of each calendar year, following execution of the agreement and construction of the facilities for a period of 50 years. The rate will be annually adjusted at 2 percent or the CPI index, whichever is higher. • In consideration of the partnership, IEUA and its agencies shall have first right of purchase of recycled water during the remainder of the six months and/or any future expanded flows over the 6.23 MGD for a period of 50 years , commensurate with the start of the agreement at a rate of $375-400 per acre-foot, with annual adjustments to the rate (2 percent, CPI index or based on other water index, (such as Metropolitan Water District rates).

IEUA, RIALTO, SAN BERNARDINO VALLEY WATER DISTRICT WATER RESESOURCES PARTNERSHIP

PRINCIPLES OF AGREEMENT

Page | 3 2020-04-20 IEUA | Rialto
• If any of the Facilities Capacity, beyond the current contemplated 6.23 MGD, is used to provide benefits beyond this Partnership, such use of capacity shall be mutually agreed upon by both parties.
• Any future participants which results in added value will be shared equitably as the opportunities arise.

← All documents from this meeting