May 28, 2015
2015 WATER PRODUCTION, CONVEYANCE, AND RECIPROCAL SALES AGREEMENT
BETWEEN
THE CITY OF RIVERSIDE
and
THE REGENTS OF THE UNIVERSITY OF CALIFORNIA
1. PARTIES: This Water Production, Conveyance, and Reciprocal Sales Agreement Agreement") is made and entered into by and between the City of Riverside (" Riverside"), a California municipal corporation, and the Regents of the University of California (" Regents"), a California public corporation, hereinafter referred to jointly as "Parties" and individually as Party".
2. RECITALS:
2. 1 Regents operate an institution of higher learning located within the corporate limits of Riverside, known as the University of California, Riverside ( Campus).
2. 2 Riverside operates a municipal utility providing wholesale water and electric services to entities located within and outside of its service territory, and retail water and electric service to its customers located within its service territory.
2. 3 Riverside, through its Public Utilities Department, supplies potable water for domestic, commercial, and institutional uses to the Campus.
2. 4 Riverside, as owner of the assets of the Gage Canal Company, and beneficiary of certain rights under the terms of the Stipulation for Judgment in Eminent Domain and Final Order of Condemnation in City of Riverside v. Gage Canal Company( Riverside Superior Court No. 70785), causes non- potable water for agricultural uses to be delivered to the Campus via the Gage Canal Company operated facilities.
2. 5 EachParty is subject to the terms of the judgment in Western Municipal Water District v. EastSanBernardino County Water District( RiversideCounty Superior Court No. 78426) ( the " 1969 Judgment") governing, among other things, the Parties' respective rights and 1 obligations related to the beneficial use and maintenance of the Bunker Hill Basin, Rialto/ Colton Basin, Riverside North Basin and Riverside South Basin.
2. 6 Regents, asshareholders in the GageCanal Company, have certain rights to receive non- potable water service from the Gage Canal Company operated facilities. Regents' rights representedby shareownershipuponexecutionof this Agreementtotal 987 acre-feet annually( afa).
2. 7 Riverside, as shareholders in the Gage Canal Company, have certain rights to receive non- potable water service from the Gage Canal Company operated facilities.
2. 8 Regents have certain water rights which can be produced and exported from the Bunker Hill Basin as defined under the 1969 Judgment. Regents' Bunker Hill Basin rights representedbythe 1969Judgmentuponexecutionof this Agreementare 536acre-feet annually(afa)for its Hunt Wells rights, 184afafor its EastRiversideWater Companyrights, and 18 afa for its participation in the Seven Oaks Dam New Conservation Water Supply for a total of 738 afa.
2. 9 Regentsown the Main Street Well, which is capable of producing water from the Riverside South Basin as defined under the 1969 Judgment. Regents' Riverside South Basin historical production value and accumulated under production credits upon execution of this Agreement total 552 acre- feet annually( afa). The Main Street Well produces water that is suitable for irrigation purposes, but is not of sufficient quality to be used for domestic purposes without significant treatment.
2. 10 Regents are diligently investigating construction of a new Agricultural Well to offset the Campus agricultural water requirements currently met through delivery of Regents' Gage Canal Company shares.
2. 11 Regents' operation of a new Agricultural Well could yield total water supplies in excess of the current annual requirements of the Campus.
2. 12 The Parties desire to optimize the production and conveyance of the Regent' s water rights for domestic and agricultural water use on the Campus, and make any supplies in 2 excess of the Campus requirement available for purchase/ sale to Riverside for use within its service territory.
2. 13 Regents has requested that Riverside provide the Production Services and Conveyance Services described herein, and Riverside is willing to provide such services in accordance with the rates, terms and conditions of this Agreement.
2. 14 Riverside has requested the Regents provide any potable water supplies in excess of the annual Campus requirements on an annual purchase basis, and Regents is willing to provide such in accordance with the rates, terms and conditions of this Agreement.
3. AGREEMENT: The Parties agree as follows:
4. DEFINITIONS: Terms used herein with initial capitalization, whether in singular or plural, shall have the following meanings:
4. 1 1969 Judgment: The judgment rendered by the court in Western Municipal Water District v. East San Bernardino County Water District( Riverside County Superior Court No. 78426) and governing, among other things, the Parties' respective rights and obligations related to the beneficial use and maintenance of the Bunker Hill Basin, Rialto/ Colton Basin, Riverside North Basin and Riverside South Basin.
4. 2 Agricultural Well: That well which at the date of execution of this Agreement is contemplated by the Regents to be constructed on the Campus to offset the current agricultural water requirements currently met through delivery of Regents' Gage Canal Company shares.
4. 3 Authorized Representative: The representative designated by each Party, in accordance with Section 13, to act on such Party' s behalf with respect to those matters specified herein to be the functions of such Authorized Representative.
4. 4 Bunker Hill Basin: The groundwater basin so defined and described in the 1969 Judgment.
4. 5 Campus: The campus of the University of California that is located in the City of Riverside in portions of sections 20, 29 and 30 of T. 2. S., R. 4. W., S. B. B.& M. 3 4. 6 Capital Component: The component of the Service Rate intended to recover Riverside' s capital cost of providing Production Services and Conveyance Services
4. 7 Conveyance Services: Riverside' s use of its water treatment, transmission and distribution systems to convey water from a Point of Receipt to a Point of Delivery.
4. 8 Delivery Month: A month for which Regents receive water under the terms of this Agreement.
4. 9 Fiscal Year: The twelve ( 12) month period commencing each July 1 during the term of this Agreement and ending the following June 30.
4. 10 O& M Component: The component of the Service Rate intended to recover Riverside's operating and maintenance cost of providing Production Servicesand Conveyance Services.
4. 11 Point of Delivery: The Point of Interconnection where water is delivered to Regentsby Riversidein connection with ConveyanceServicesprovided hereunder.
4. 12 Point of Receipt: The Point of Interconnection where water is delivered to Riversideby Regents, or on Regent's behalf, in connection with ConveyanceServicesprovided hereunder. With respect to Riverside' s simultaneous provision of both Production Services and Conveyance Services, the well head discharge block valve shall be deemed to be the Point of Receipt.
4. 13 Production Services: Riverside' s extraction of groundwater for the benefit of Regents using Riverside' s water well( s) in the Bunker Hill Basin, Rialto/ Colton Basin, Riverside North Basin, and/ or Riverside South Basin.
4. 14 RESERVED
4. 15 Rialto/ Colton Basin: The groundwater basin so defined and described in the 1969 Judgment.
4. 16 Riverside North Basin: The groundwater basin so defined and described in the 1969 Judgment.
4 4. 17 Riverside South Basin: The groundwater basin so defined and described in the 1969 Judgment.
4. 18 Service Rate: The rate, expressed in dollars per acre- foot and rounded to nearest cent, to be paid by Regentsto Riverside in connection with Riverside's provision of Production Services or Conveyance Services, or both.
4. 19 Storage Services: The retention and storage of water using Riverside' s reservoir capability for later delivery of such water to Regents.
4. 20 Uncontrollable Force: Any cause or event which is beyond the control of the Partyaffected, including, but not restrictedto, failure of or threat of failure of facilities,flood, earthquake, storm, fire, lightning, other natural catastrophes, epidemic, war, terrorist act, riot, civil disturbance or disobedience, labor dispute or strike, labor or material shortage, sabotage, restraint by court order or public authority and action or non-action by or failure to obtain the necessaryauthorizations or approvals from any governmental agency or authority which by exercise of due diligence such Party could not reasonably have been expected to avoid and which by exercise of due diligence it shall be unable to overcome. Any Party rendered unable to fulfill any obligation by reason of an uncontrollable force must exercisedue diligenceto remove such inability.
5. EFFECTIVE DATE AND TERM:
5. 1 This Agreement shall be effective June 1, 2015 and the Agreement shall remain in effect until terminated pursuant to the provisions herein.
5. 2 This Agreement shall terminate upon the earliest of any of the following to occur:
5. 2. 1 Ten ( 10) years from the effective date of this Agreement, as specified in Section
5. 1.
5. 2. 2 Upon advance written notice by either Party at least one hundred eighty ( 180) days prior to the specified date of termination; or
5 5. 2. 3 Upon thirty ( 30) days advance written notice by the non-defaulting Party to the defaulting Party following a material breach of this Agreement. Prior to giving any such written notice, the non-defaulting Party shall give the defaulting Party not lessthan 30 daysadvance written notice of the non-defaulting Party' s intent to terminate, which notice shall describe the nature of any material breach in reasonable detail. A thirty day notice of termination may be sent if and only if the defaulting Partyfails to cure its material breach within thirty daysof the defaulting Party's receipt of the notice of intent to terminate.
5. 3 Upon mutual agreement, Regents and Riverside each shall have the right to extend the term of this Agreement for similar periods.
5. 4 Obligations incurred hereunder but not satisfied prior to termination of this Agreement shall survive such termination until fully discharged, including any payments due by one Party to the other Party hereunder.
6. PRODUCTION AND CONVEYANCE SERVICES:
6. 1 Production Services: Riverside shall utilize its water production facilities during each Delivery Month as required to extract groundwater on Regents' behalf from the Bunker Hill Basin, Rialto/ Colton Basin, Riverside North Basin and/ or Riverside South Basin as set forth in the Operating Plan established pursuant to Section 6.3. For each acre-foot, or portion thereof, of water produced by Riverside on Regents' behalf, Regents shall pay Riverside the rate determined in accordance with Section 9 of this Agreement.
6. 2 Conveyance Services: Riverside shall utilize its water treatment, transmission, and/ or distribution facilities during each Delivery Month as required to simultaneously deliver to Regents an equal amount of water to a Point of Delivery, as set forth in the Operating Plan established pursuant to Section 6. 3. For each acre- foot, or portion thereof, of water conveyed by Riverside on Regents' behalf, Regentsshall pay Riversidethe rate determined in accordance with Section 9 of this Agreement.
6. 3 Operating Plan:
6 6. 3. 1 During each Delivery Month, Riversideshall provide ConveyanceServicesto the Point(s) of Delivery as identified below:
6. 3. 1. 1 3800 Canyon Crest Drive, RPU Premise ID 120139. Primary Campus metering point at Canyon Crest Drive and University Avenue.
6. 3. 1. 2 800 Linden Street, RPU Premise ID 154480. Secondary Campus metering point at Linden Street east of Canyon Crest Drive.
6. 3. 2 Riverside shall provide Production and Conveyance Services from groundwater sources in the following order of priority:
6.3.2.1 Bunker Hill Basin as first priority until Regents' annual production rights as defined in Section 2. 8 are exhausted.
6.3.2.2 Riverside South Basin assecond priority until Regents' annual historical production value as defined in Section 2. 9 are exhausted. This historical production value will be produced by the Agricultural Well after it is successfully commissioned.
6. 3. 3 Riverside shall provide Conveyance Services from its point of interconnection with GageCanalCompany operated potable pipeline facilities to the Point(s) of Delivery of Regents' Gage Water as defined in Section 2.6, but only after Regents' successful commissioning of its new Agricultural Well.
6. 3. 4 In the event Regents' Campus water requirements exceed the amount of water that can be delivered from Regents' owned resources and/ or delivered under the Production and Conveyance Services provisions herein, Riverside shall provide water service to the Campus as demanded under its normal water service terms and conditions as defined by its Water Rules and applicable rate schedules.
7. MEASUREMENT OF WATER PRODUCED OR CONVEYED:
7. 1 Any metering devices usedto measure the delivery of water under this Agreement at a Point of Delivery shall be owned by Riverside and shall be installed, operated, calibrated, and maintained in accordance with Riverside' s standard requirements. Any such 7 metering devices shall be maintained directly by Riverside or by agents or subcontractors directly under Riverside' s control.
7. 2 Riverside shall arrange the inspection and testing of the metering devices at least once per five calendar years, unless more frequent testing and inspection is appropriate as a result of repairs to or replacements of a metering device. Riverside shall provide reasonable advance notice to Regents of any such testing or inspection activities in order to permit a representative of Regents to witness such activities, and shall provide Regents with copies of any periodic or special inspection or testing reports relating to the metering devices upon request by Regents. Regents, at its own expense, may request in writing that Riverside initiate additional testing and inspection of the metering devices, and Riversideshall comply with any such request as soon as practical after the request is made.
8. CONTINUITY OF SERVICE:
8. 1 Riverside reserves the right to temporarily interrupt or curtail Production Services and/ or Conveyance Services hereunder; ( i) upon reasonable advance notice to Regents to make repairs, replacements, modifications, or to perform maintenance work, all for the purpose of maintaining continuity of Production Services and/ or Conveyance Services, or( ii) without notice to Regents because of an existing or impending Uncontrollable Force, as reasonably determined by Riverside.
8. 2 Notwithstanding the provisions of Section 8.1, Riverside may interrupt or curtail Production Services and/ or Conveyance Services to the extent that the continued provision of such services could reasonably be determined by Riverside to ( i) adversely affect the quality, reliability or cost of service related to water deliveries by Riverside to its retail customers, or (ii) cause Riversideto violate the terms of any rule, regulation, or binding obligation it may otherwise have with respect to the production, treatment or delivery of water.
9. RATES AND CHARGES:
9. 1 For Production Services and Conveyance Services rendered by Riverside to Regents hereunder, Regents shall pay the associated rate(s) per acre-foot of water, or portion thereof, applicable to the service provided, including 1) Energy Component, 2) Operation & 8 Maintenance ( O& M) Component, 3) Capital Recovery Component, 4) General Fund Transfer, and, 5) Production Assessments.
9. 1. 1 Energy Component: The Energy Component of the rates for Production Services and Conveyance Services shall be in accordance with Sections 9. 1.1.1 and 9. 1.1.2.
Attached hereto as Exhibit B and incorporated herein by this reference is the methodology and initial estimated costs to be used by Riverside in determining the EnergyComponent for Production Services and Conveyance Services.
9. 1.1. 1 Production Services: For each acre foot, or portion thereof, of water produced, Regents shall pay the actual average unit cost of Riverside' s Waterman System production facilities, including the John W. North pumping plant as well asfuture water supply transmission main pumping plants needed for the operation of Riverside's water system. Such unit cost shall be determined on the basis of the same objective criteria and methodology applicable to comparable nonpublic users.
9. 1. 1. 2 Conveyance Services: For each acre foot, or portion thereof, of water conveyed to the Riverside' s 1037 foot pressure zone, Regents shall pay the sum of the actual average unit cost of operation for Riverside' s Chicago booster pumping station. For water delivered to higher pressure zones, incremental Energy Component shall be calculated by adding the actual average unit cost for applicable booster stations, as reasonably determined by Riverside. Suchunit cost shall be determined on the basisof the sameobjective criteria and methodology applicable to comparable nonpublic users.
9. 1. 2 O& M Component: The O& M Component of the rates for Production Services and Conveyance Services shall be in accordance with Sections 9. 1. 2. 1 through 9. 1. 2. 3. The O& M component billed to Regents shall be annually adjusted, on June 1 of each year, starting on June 1, 2016, upward by two- percent ( 2. 0%) to reflect the estimated percentage increase, for the twelve month period prior to the adjustment, if any, in the Consumer Price Index for all Urban Consumers for the LosAngeles-Anaheim- Riverside area published by the United States Department of Labor, Bureau of Labor Statistics (" CPI"). Whenever the actual changes to the CPI for the twelve month period prior to the date of the adjustment are published, the 9 billing to Regents will be adjusted commensurate with the actual changes, with credits/ debits, as appropriate, to make the overall billing to Regents consistent with such changes. If the chosen CPIis unavailable, the parties will reasonably agree on a different Consumer Price Index to be utilized for adjustments made pursuant to this paragraph. At Year five of this agreement, Parties agree to review the cost elements and, if warranted by mutual consent of the Parties, reset the O& M Component to reflect then current costs.
Attached hereto as Exhibit C and incorporated herein by this reference is the methodology and initial costs to be used by Riverside in determining the O&M Component for Production Services and Conveyance Services.
9. 1. 2. 1 Riverside South Basin: For each acre foot, or portion thereof, of water produced and conveyed, Regents shall pay the sum of One Hundred Fifteen dollars and Twenty Two cents ($ 115. 22), adjusted annually for inflation as described in Paragraph 9.1.2.
9. 1. 2. 2 Bunker Hill Basin: For each acre foot, or portion thereof, of water produced and conveyed, Regents shall pay the sum of One Hundred Eight dollars and Forty Five cents ($ 108.45), adjusted annually for inflation as described in Paragraph 9.1.2.
9. 1. 2. 3 Gage Water: For each acre foot, or portion thereof, of water produced and conveyed, Regents shall pay the sum of Forty Nine dollars and Five cents ($ 49. 05), adjusted annually for inflation as described in Paragraph 9.1.2.
9. 1. 3 Capital Recovery Component: The Capital Recovery Component of the rates for Production Services and Conveyance Services shall be in accordance with Sections 9. 1.3. 1 through 9.1.3.3. Attached hereto as Exhibit D and incorporated herein by this reference is the methodology and costs to be used by Riverside in determining the Capital Recovery Component for Production Services and Conveyance Services.
9. 1. 3. 1 Riverside South Basin: For each acre foot, or portion thereof, of water produced and conveyed, Regents shall pay the sum of Two dollars and Sixty Two cents
2. 62), fixed for the term of the Agreement.
9. 1. 3. 2 Bunker Hill Basin: For each acre foot, or portion thereof, of water 10 produced and conveyed, Regents shall pay the sum of Three dollars and Four cents ($ 3. 04), fixed for the term of the Agreement.
9. 1. 3. 3 Gage Water: For each acre foot, or portion thereof, of water produced and conveyed, Regents shall pay the sum of Two dollars and Twenty Eight cents ($ 2. 28), fixed for the term of the Agreement.
9. 1. 3. 4 Evans Reservoir to Primary Campus Meter: For each acre foot, or portion thereof, of water produced and conveyed, Regents shall pay the sum of Thirty Two dollars and Sixty Five cents ($ 32. 65), fixed for the term of the Agreement.
9. 1. 3. 5 Secondary Meter: For each acre foot, or portion thereof, of water produced and conveyed to the Campus Secondary Metering point, Regents shall pay the sum of the rate in Paragraph 9. 1.3.4 ( Evans Reservoir to Primary Campus Meter) plus Seventeen dollars and Sixty cents ($ 17. 60), fixed for the term of the Agreement.
9. 1. 4 General Fund Transfer: All cost components charged by Riverside for Production and Conveyance Services shall be adjusted upward to reflect the 11. 5% General Fund Transfer on gross revenues, as set forth in Riverside City Charter section 1204. 1 as approved by Riverside voters through the June 2013 Municipal Ballot Measure A.
9. 1. 5 Production Assessments: Regents shall be responsible for payment of any groundwater production assessments, taxes, or other charges levied by any governmental agency, for each acre foot, or portion thereof, produced in accordance with this agreement.
Any such charges shall be added to monthly invoices provided by Riverside as soon as practical after receipt and without markup.
9. 2 Basis of Billing: All costs shall be accrued based on the reading of Riverside' s meter( s) at the Point of Delivery.
9. 3 Customer and Meter Charge: Regents shall pay all other applicable charges for receipt of municipal water service in accordance with Riverside' s Water Rules and applicable rate schedule( s). Notwithstanding the preceding sentence, charges for Production and Conveyance Services set forth in this Agreement shall not be subject to Riverside' s Water 11 Rules and rate schedule( s).
9. 4 Invoicing and Reconciliation of Costs: For each monthly billing cycle, Riverside shall invoice Regents at their service address of record a commodity charge that represents the approximate average rate for Production Services and Conveyance Services as detailed in Section 9. 1 et. seq. In each June and December of the Agreement term, the actual costs per Section 9.1 et. seq. shall be reconciled against the prior invoiced costs and the difference shall be invoiced or credited. The unit charge to be billed in Year 1 of this agreement is
0. 5300/ ccf, and shall be adjusted annually.
10. RECIPROCALSALES: In the event Regentsreduce Campus water requirements, develop new water resources that result in potable supplies in excess of Campus requirements, or any combination thereof, Riverside shall produce such supplies for use within its domestic water system. Riverside shall pay Regents for each acre foot, or portion thereof, of such water produced or conserved in accordance with Paragraphs 10. 1 et. seq.
10. 1 Bunker Hill Basin: For each acre foot, or portion thereof, of water actually produced by Riverside from the Bunker Hill Basin, Riverside shall pay Regents the sum of Two Hundred Twenty Five Dollars ($ 225.00), adjusted annually for inflation as described in Paragraph 9. 1. 2.
10. 2 Agricultural Well: The sale and purchase of any excess total water supply from the proposed Agricultural Well shall be subject to terms and conditions of a separate agreement to be executed by the parties subject to the concurrence of the Gage Canal Company.
11. INDEMNIFICATION AND HOLD HARMLESS: Riverside shall indemnify, protect, defend and hold Regents, its employees, students, officers, and agents harmless from any liens, claims, costs, damages, liability or loss, including reasonable attorney' s fees, arising from this Agreement, but only in proportion to and to the extent such liens, claims, damages, liability or loss are caused by or result from the willful or negligent acts, errors or omissions of Riverside, its employees, officers, or agents.
12 Regents shall indemnify, protect, defend and hold harmless Riverside, its employees, officers, and agentsfrom anyliens, claims, costs, damages, liability or lossarisingfrom this Agreement, including reasonable attorneys' fees, but only in proportion to and to the extent suchliens, claims, costs, damages, liability or lossare causedbyor resultfrom the willful or negligent acts, errors or omissions of Regents, its employees, students, officers, or agents.
12. TRANSFER OF INTEREST: RESERVED
13. NOTICES/ PAYMENTS/ AUTHORIZED REPRESENTATIVES
a. Any written notice under this Agreement shall be deemed properly given and effective on the date delivered if delivered in personor on the dayafter deposited in the U.S. mail if sent by registered or certified mail, postage prepaid, to the person at the address specified below unless otherwise provided for in this Third Agreement:
If sent to the Riverside, address to: If sent to the Regents, address to:
Riverside Public Utilities Regents of California
Girish Balachandran Riverside Campus
General Manager Ken Mueller
3900 Main Street Director, Physical Plant
Riverside, CA 92522 3401 Watkins Dr.
Riverside, CA 92521
b. TheAuthorizedRepresentativesareauthorizedto acton behalfof the Party they represent in the implementation of this Agreement. The Authorized Representatives shall haveno authority or power to modify, add, waive, or eliminate any terms or conditions of this Agreement. TheAuthorized Representativesshall be initially the same asthose provided in Section 13; however either Party may at any time change the designation of its Authorized Representative by written notice to the other Party pursuant to Section 13. 13 14. COMPLETE AGREEMENT; SEVERABILITY; WAIVER: This Agreement and attached Exhibitsshall constitute the entire understandingbetween Regentsand Riversiderelating to the sale, distribution and transmission of water by Riverside to Regents at all service locations on the Campus and supersedes any and all previous written and oral agreements and communications between the parties pertaining to such matters, including but not limited to other water sales agreements. In the event that any of the provisions or portions thereof in this Agreement are held to be unenforceable or invalid by any regulatory agency or court of competent jurisdiction, the validity and enforcement of the remaining provisions and portions are not affected thereby. A waiver by a party, at any time, of its rights with respect to a default under this Agreement, or with respect to any other matter in connection with this Agreement, shall not be deemed a waiver with respect to any other or subsequent default or matter.
15. EFFECTIVE WATER RULES AND RATES: This Agreement sets forth the terms and price under which water services are to be supplied to the Regentsby Riverside. If conflicts arise between this Agreement and Riverside' s Water Rules, the terms of this Agreement shall take precedence. Only those Water Rules not in conflict with the terms of this Agreement shall apply to any service by Riverside to Regents.
16. ASSIGNMENT: This Agreement shall not be assigned by either party without written consent of the other party, excepting the assignment of the entire interest of the assigningparty hereunderto a parent, affiliate or subsidiaryentity, or to an entity succeeding to all or substantially all of the business, properties and assetsof the assigning party. Upon such assignment this Agreement shall extend to and be binding upon the successor and assignees of the respective parties hereof, but no assignment or change of interest shall have the effect of releasing the assigning party from any of its obligations hereunder unless such release of such assigning party is assented to in writing by the other party to whom the obligations are owing under this Agreement.
17. JURISDICTION; VENUE: This Agreement shall be interpreted under and construed in accordancewith the lawsof the Stateof California. Exclusivevenuefor any action or 14 proceedingsarising out of this Agreement is in the courts located in the County of Riverside, California. Inthe eventeitherpartyheretoshallbringsuitto enforceanyterm of this Agreementorto recoveranydamagesfor andonaccountof the breachof anyterm or condition of this Agreement, it is mutually agreedthat each party shall bear their own attorney' s fees.
18. EXHIBITS: All exhibits attached to this Agreement and referenced herein are incorporated into and made part of this Agreement.
19. TIME: Time is of the essenceto each and every term and provision of this Third Agreement.
IN WITNESS WHEREOF, the parties have entered into this Third Agreement on the date and year first written above.
RIVERSIDE OF RIVERSIDE REGENTS OF THE REGENTS OF
Nam- Na
Title: City Manager Title: [ 1(2 - s' / MiAL_ S. 1iCE_c Attest: 4k' 11__ail
City Cler
Date: November 5, 2015
APPROVED AS TO FORM:
Deputy City Attorney
15 Exhibit A
Reserved
Exhibit B
Energy Component
Case 1 — Water produced from the Bunker Hill Basin
Component Typical Unit Cost
acre- foot) ccf)
Average Production Cost of Hunt Wells or 45. 00
appropriate surrogate
Average delivery cost to 3800 Canyon Crest Drive 15. 00 Chicago Booster Energy)
Total Energy Cost to 3800 Canyon Crest Drive 60. 00 0. 14 Average delivery cost to 800 Linden Street 65. 00
Linden Booster and Lemona Booster Energy)
Total Energy Cost to 800 Linden Street 110. 00 0. 25
Case 2 — Water produced from the Riverside South Basin
Component Typical Unit Cost
acre- foot) ccf)
Average Production Cost of North Orange Wells 40. 00
Average delivery cost to 3800 Canyon Crest Drive 15. 00 Chicago Booster Energy)
Total Energy Cost to 3800 Canyon Crest Drive 55. 00 0. 13 Average delivery cost to 800 Linden Street 65. 00
Linden Booster and Lemona Booster Energy)
Total Energy Cost to 800 Linden Street 105. 00 0. 24
Case 3 — Water produced from the Gage Canal
Component Typical Unit Cost
acre- foot) ccf)
Average Production Cost of Gage Canal' 0. 00
Pumping Against the Head' 16. 00
Average delivery cost to 3800 Canyon Crest Drive 15. 00 Chicago Booster Energy)
Total Energy Cost to 3800 Canyon Crest Drive 31. 00 0. 07 Average delivery cost to 800 Linden Street 65. 00
Linden Booster and Lemona Booster Energy)
Total Energy Cost to 800 Linden Street 81. 00 0. 19
1UCRegentspayfor Gage's energycostsvia its assessmentsfor its GageCanalStock 2Assessedby Gageto City for pumping into the pipeline for potable service Exhibit B- 1
Exhibit C
Operations and Maintenance ( O& M) Component
Case 1 — Water produced from the Bunker Hill Basin
Component Typical Unit Cost
acre- foot) ccf)
Average System Production Cost' 62. 17
Average System Distribution Operation Costl
32. 38
Apportioned System Distribution Maintenance Cost' 13. 90 Total O& M Cost $ 108. 45 0. 25
1 Excludes power costs
2 Equal to 0. 65% of Capital Replacement
Case 2 — Water produced from the Riverside South Basin
Component Typical Unit Cost
acre- foot) ccf)
Average System Production Cost' 62. 14
Average System Distribution Operation Costl
32. 38
Apportioned System Distribution Maintenance Cost' 20. 70 Total O& M Cost $ 115. 22 0. 26
1 Excludes power costs
2 Equal to 0. 65% of Capital Replacement
Case 3 — Water produced from the Gage Canal
Component Typical Unit Cost
acre- foot) ccf)
Average System Production Cost' 4. 19
Average System Distribution Operation Cost' 32. 38
Apportioned System Distribution Maintenance Cost' 12. 48 Total O& M Cost 49. 05 0. 11
1 Excludes power costs
2 Equal to 0. 65% of Capital Replacement
Exhibit C- 1
Exhibit C
Operations and Maintenance ( O& M) Component- Cost Calculation Case 1 Case 2 Case 3
Average System Production Cost1
Bunker Hill Basin Riverside South Basin Gage Canal
Total System Production Costs by Source 3, 533, 976 $ 2, 906, 033 2, 870, 927 Less: Settlement Reimbursements 207, 093) 560, 913) 782, 229) Less: Power Costs 1, 183, 201) ($ 708, 309) 827, 433) Less: Capacity/ Standby Charges 0 1, 979) 0
Less: Taxes and Assessments 525, 911) 63, 919) 1, 118, 645) Net System Production Costs by Source 1, 617, 771 $ 1, 570, 913 142, 620 AF Produced by Source 26, 021. 89 25, 278. 60 34, 094. 62 Net System Production Costs by Source/ AF
Produced= Average Production Costs Per Unit 62. 17 62. 14 4. 19 Case 1 Case 2 Case 3
Average System Distribution Operation Cost' Bunker Hill Basin Riverside South Basin Gage Canal Total System Distribution Costs 5, 088, 701 5, 088, 701 5, 088, 701 Less: Power Costs 2, 064, 505) ($ 2, 064, 505) ($ 2, 064, 505) Less: Capacity/ Standby Charges 1, 257) 1, 257) 1, 257) Less: Taxes and Assessments 25, 812) 25, 812) 25, 812) Net System Distribution Costs 2, 997, 127 2, 997, 127 2, 997, 127 AF Produced 92, 559. 83 92, 559. 83 92, 559. 83
Net System Production Cost/ AF Produced = 32. 38 32. 38 32. 38 Average Distribution Costs Per Unit
Exhibit C- 2
Apportioned System Distribution Case 1 Case 2 Case 3
Maintenance Cost2
Bunker Hill Basin Riverside South Basin Gage Canal
Total Capital Replacement Costs by Source A $ 46, 481, 988 51, 491, 078 $ 53, 480, 026 Annual Use- AF B 26, 022 18, 180 34, 094
Total Capital Replacement Costs by
Source/ Annual Use by AF= Capital
Replacement Costs Per Unit A/ B 1, 786. 25 2, 832. 29 1, 568. 61 Capital Replacement Costs Per Unit x
0. 65%= Apportioned System Distribution A/ B X
Maintenance Cost 0. 65% 11. 61 18. 41 10. 19
Total Capital Replacement Costs- Evans
Reservoir to Primary Campus Meter c $ 33, 026, 563 33, 026, 563 $ 33, 026, 563 Annual Use- AF D 93, 877 93, 877 93, 877
Total Capital Replacement Costs- Evans
Reservoir to Primary Campus Meter/ Annual
Use by AF= Capital Replacement Costs-
Evans Reservoir to Primary Campus Meter
Per Unit
c/ o
351. 81 351. 81 351. 81
Capital Replacement Costs- Evans Reservoir
to Primary Campus Meter x 0.65
Apportioned System Distribution Costs- c/ o x
Evans Reservoir to Primary Campus Meter 0. 65% 2. 29 2. 29 2. 29 Total Apportioned System Distribution Costs 13. 90 20. 70 12. 48 Exhibit C- 3
Exhibit D
Capital Recovery Component
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Exhibit D- 1
COUNCILMEMBERS
G M S D M P B
et, CITY COUNCIL
R E A A E A
fx R L UU V C R R
D E B I A R N
MINUTES N N I SR Y A
E D R T R
4miausessasin TUESDAY, NOVEMBER 3, 2015, 1 P. M. R R 0 H D CITY
V E IBS I DE ART PICK COUNCIL CHAMBER
z s R
CITY HALL
3900 MAIN STREET
City01Arts &,, Innovation
WARDS 1 2 3 4 5 6 7
by applying the Cultural Resources Overlay (" CR") Zone to City Landmark No. 129, the James E. and Jessie C. Shaw House located at 8410 Cleveland Avenue; whereupon, the title having been read and further reading waived, Ordinance No. 7306 of the City of Riverside, California, Amending the Zoning Map of the City of Riverside Pursuant to Chapter
19.090 of the Riverside Municipal Code by Applying the Cultural Resources Overlay (" CR") Zone to City Landmark No. 129, the James E. and Jessie C.
Shaw House, was presented and adopted.
CASE P15- 0530 - FRANK AND KATHERINE WELLS- PATSY O' TOOLE HOUSE - CITY LANDMARK - 1945 ARROYO - ORDINANCE ADOPTED The City Council adopted an ordinance to amend the Zoning Map of the City of Riverside pursuant to Chapter 19. 090 of the Riverside Municipal Code by applying the Cultural Resources Overlay (" CR") Zone to City Landmark No. 128, the Frank and Katherine Wells- Patsy O'Toole House located at 1945 Arroyo Drive; whereupon, the title having been read and further reading waived, Ordinance No. 7307 of the City of Riverside, California, Amending the Zoning Map of the City of Riverside Pursuant to Chapter
19.090 of the Riverside Municipal Code by Applying the Cultural Resources Overlay (" CR") Zone to City Landmark No. 128, the Frank and Katherine Wells- Patsy O'Toole House, was presented and adopted.
ARLINGTON BUSINESS IMPROVEMENT DISTRICT 2015- 16 LEVY -
ORDINANCE ADOPTED
The City Council adopted an ordinance to amend Section 3.48.050 of the Riverside Municipal Code to replace Exhibit A thereto amending the boundaries of the Arlington Business Improvement Area; whereupon, the title having been read and further reading waived, Ordinance No. 7308 of the City of Riverside, California, Amending Section 3.48.050 of the Riverside Municipal Code to Replace Exhibit A Thereto, was presented and adopted. Disqualified X
WATER SERVICE AGREEMENT - REGENTS OF THE UNIVERSITY OF
CALIFORNIA, RIVERSIDE - 900 UNIVERSITY
The City Council ( 1) approved the 10- year Water Production, Conveyance and Reciprocal Sales Agreement with the Regents of the University of California for water service at the UC Riverside campus located at 900 University Avenue; ( 2) authorized the City Manager, or his designee, to execute the Agreement including making minor non-substantive changes to the Agreement; ( 3) authorized the City Manager, or his designee, to execute any documents necessary to administer the Agreement; and ( 4) authorized the City Manager, or his designee, to terminate the Agreement for circumstances provided in the Agreement.
101- 120