5/29/2025
1 RiversideCA.gov1
RiversideCA.gov
FIRST AMENDMENT TO THE WATER PRODUCTION, CONVEYANCE, AND RECIPROCAL SALES AGREEMENT BETWEEN THE CITY OF RIVERSIDE AND THE REGENTS OF THE UNIVERSITY OF CALIFORNIACity CouncilJune 10, 2025Public Utilities - Water Department RiversideCA.gov2
1. University of California (UCR) Regents have water rights established by the 1969 Judgement2. UCR does not have necessary infrastructure to deliver their water 3. RPU wheels UCR’s water rights under an Agreementa. Delivers to UCR domestic system4. Established cost structure for City to recover its costs for:a. Energyb. Operations and Maintenancec. Capital replacementd. AssessmentsBACKGROUND1 2 5/29/2025
2 RiversideCA.gov3
5. Current 2015 Agreement was successor to 1993 Water Sales Agreementa. Board approval on July 10, 2015b. Council approval on November 3, 20156. 2015 Agreement expires on June 1, 2025BACKGROUND RiversideCA.gov4
7. Campus demand in 2024 was 957 acre feet (417,064 ccf)8. UCR’s domestic water rights (~1,290 acre feet):a. 738 acre feet export rights from Bunker Hill Basinb. 552 acre feet extraction credit in Riverside Basin9. UCR has 1,076 acre feet entitlement of irrigation water a. Shares in Gage Canal Companyb. Irrigation water delivered to UCR Ag Ops area10.RPU may purchase UCR’s excess water rights in Bunker Hill BasinBACKGROUND3 4 5/29/2025
3 RiversideCA.gov5
11. RPU serves UCR through two metersa. Primary from University Heights Reservoirb. Secondary along Linden Street12. UCR’s tariff:a. $0.53 per ccfb. WA-6 charged for deliveries taken above water right13. On May 12, 2025, the Board of Public Utilities voted unanimouslywith recusal from Vice Chair Siana to recommend that CityCouncil approve the First Amendment to the Water Production,Conveyance, and Reciprocal Sales Agreement Between the Cityof Riverside and the Regents of the University of CaliforniaBACKGROUND RiversideCA.gov6
1. May 2024, RPU staff began negotiating with UCR to establish terms for a new Agreement2. Litigation between City and UCR stalled negotiations3. UCR proposed one (1) year extensiona. City agreedb. CAO developed First Amendment using existing terms4. First Amendment would expire June 1, 2026a. Negotiations will restart once litigation resolvedDISCUSSION5 6 5/29/2025
4 RiversideCA.gov7
Strategic Priority 3 – Economic OpportunityGoal 3.4 –Collaborate with key partners to implement policies and programs that promote local business growth and ensure equitable opportunities for all.Cross-Cutting ThreadsSTRATEGIC PLAN ALIGNMENTCommunity Trust Equity
Fiscal Responsibility
Innovation
Sustainability & Resiliency
RiversideCA.gov8
That the City Council:1. Approve the First Amendment to the Water Production, Conveyance, and Reciprocal Sales Agreement Between the City of Riverside and the Regents of the University of California; and2. Authorize the City Manager or his designee to execute the First Amendment to the Water Production, Conveyance, and Reciprocal Sales Agreement Between the City of Riverside and the Regents of the University of California including making minor non-substantive changes.RECOMMENDATIONS7 8