2008/09/23 City Council Resolution 2008-152RESOLUTION NO. 2008-152
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROHNERT PARK
AUTHORIZING AND APPROVING THE FIFTH AMENDMENT TO THE AGREEMENT FOR
USE OF THE SANTA ROSA SUBREGIONAL SEWERAGE SYSTEM
WHEREAS, on April 3, 1975, Santa Rosa and User Agencies executed an Agreement Between
City of Santa Rosa and City of Rohnert Park, City of Sebastopol, and South Park County Sanitation
District for Use of Santa Rosa Subregional Sewerage System ( "Master Agreement ");
WHEREAS, on September 1, 1987, Santa Rosa and User Agencies executed the First
Amendment to the Master Agreement regarding the allocation of increased capacity in the treatment
plant;
WHEREAS, on October 20, 1987, Santa Rosa and User Agencies executed the Second
Amendment to the Master Agreement to provide for construction and implementation of advanced
wastewater treatment and related improvements to the operation of the Subregional System;
WHEREAS, on December 1, 1994, Santa Rosa and User Agencies executed the Third Agreement
to the Master Agreement regarding the segregation of capacity between the City of Rohnert Park and the
City of Cotati, and designating the City of Cotati as a member of User Agencies;
WHEREAS, on September-25, 2001, Santa Rosa and the City of Rohnert Park executed the
Agreement for Interim Transfer of Capacity, and on June 10, 2003, Santa Rosa and the City of Rohnert
Park executed Amendment No. I to the Agreement for Interim Transfer of Capacity (hereinafter
collectively called "Interim Transfer Agreement "). The Interim Transfer Agreement allocated 1.03
million gallons per day (mgd) capacity from Santa Rosa to the City of Rohnert Park until the Subregional
System was increased such that the City of Rohnert Park's capacity was increased by 1.03 mgd or more.
The proposed Fifth Amendment increases the City of Rohnert Park's capacity by 0.74 mgd, which is less
than 1.03 mgd, and Interim Transfer Agreement therefore remains in effect;
WHEREAS, on July 1, 2002, Santa Rosa and User Agencies executed the Fourth Amendment to
the Master Agreement to allocate 3.34 mgd additional capacity (from 18 to 21.34 mgd) and associated
debt service among Santa Rosa and User Agencies;
WHEREAS, the Subregional System is developing Incremental Recycled Water Program projects
to expand treatment and disposal capacity to 25.86 mgd for Santa Rosa and Rohnert Park; and
WHEREAS, the purpose of the Fifth Amendment is to:
1) revise the cost allocation methodology to account for:
a) Santa Rosa's, South Park County Sanitation District's and the City of
Rohnert Park's expected need for additional capacity at different times, and
b) the effect of wet weather flows on capital cost of projects by allocating the
cost of treatment and disposal projects driven by wet weather flow based on
the wet weather flow contribution of each benefiting agency and by
allocating the cost of projects driven by dry weather flow based on the dry
weather flow contribution of each benefiting agency;
2) allocate the cost and additional capacity of the GEP; and
3) agree to fund additional projects necessary to expand treatment and reuse capacity to
25.86 mgd.
NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Rohnert Park that
the Fifth Amendment to the Agreement for Use of Santa Rosa Subregional Sewerage System is hereby
approved and the Mayor is authorized to execute the amendment.
DULY AND REGULARLY ADOPTED by the City Council of the City of Rohnert Park this
23rd day of September, 2008.
CITY OF ROHNERT PARK
�j 4�
Mayor
BREEZE: AYE SMITH: AYE STAFFORD: ABSENT VIDAK- MARTINEZ: AYE MACKENZIE: AYE
AYES: (4) NOES: (0) ABSENT: (1) ABSTAIN: (0)
FIFTHAmENDMENT TO THE AGREEMENT FOR USE OF SANTA
ROSA SUBREGIONAL SEWERAGE SYSTEM
This agreement, dated 2008, is between the. City of Santa Rosa
( "Santa Rosa "), the City of Rohnert Park, City of Sebastopol, City of Cotati and the
South Park County Sanitation District ( "User Agencies ").
RECITALS
A. On April 3, 1975, Santa Rosa and User Agencies executed an Agreement Between
City of Santa Rosa and City of Rohnert Park, City of Sebastopol, and South Park
County Sanitation District for Use of Santa Rosa Subregional Sewerage System
( "Master Agreement ".).
B. Santa Rosa and South Park Sanitation District ( "District ") have previously executed
agreements dated April 20, 1982 and February 15, 1983, reallocating capacity from
District to Santa Rosa because of annexations and extension of sewer service to
properties with failing septic systems lying outside of Santa Rosa's boundaries.
C. Santa Rosa and District have previously executed 1) agreements dated June 21, 1982
and September 17, 1985,. providing that District shall allocate plant capacity to Santa
Rosa; and 2) agreements dated June 23, 1983, June 24, 1983, November 6, 1985,.
September I' 1987, April 18, 1989, June 6, 1994, and August 1, 1995, each of which
provided that District shall allocate capacity arising out of the plant expansion to
Santa Rosa in consideration for Santa Rosa's agreement to provide.sewer service to
certain areas outside City limits but within City urban area that were designated as a
hazard to public health by the County of Sonoma Department of Health Services.
D. On September 1, 1987, Santa Rosa and User Agencies executed the First Amendment
to the Master Agreement regarding the allocation of increased capacity in the
treatment plant.
E. On October 20, 1987, Santa Rosa and User Agencies executed the Second
Amendment to the Master Agreement to provide for construction and implementation
of advanced wastewater treatment and related improvements to the operation of the
Subregional System.
F. On December 1, 1994, Santa Rosa and User Agencies executed the Third Agreement
to the Master Agreement regarding the segregation of capacity between the City of
Rohnert Park and the City of Cotati, and designating the City of Cotati as a member
of User Agencies.
G. On September 25, 2001, Santa .Rosa and the City of Rohnert Park executed the
Agreement For Interim Transfer of Capacity, and on June 10, 2003, Santa Rosa and
the City of Rohnert Park executed Amendment No. 1 to the Agreement For Interim
Transfer of Capacity (hereinafter collectively called "Interim Transfer Agreement ").
The Interim Transfer Agreement allocated 1.03 million gallons per day (mgd)
capacity from Santa Rosa to the City of Rohnert Park until the Agreement for Use of
Santa Rosa Subregional Sewerage System is amended to increase the City of Rohnert
Park's capacity by 1.03 mgd or more. This Fifth Amendment increases the City of
Rohnert Park's capacity by 0.74 mgd (see Table 2), which is less than 1.03 mgd, and
Interim Transfer Agreement therefore remains in effect.
H. On July 1, 2002, Santa Rosa and User Agencies executed the Fourth Amendment to
the Master Agreement to 1) allocate 3.34 mgd additional capacity (from 18 to 21.34
mgd) and associated debt service among Santa, Rosa and User Agencies; 2)
acknowledge transfer of capacity from South Park County Sanitation District
(District) to Santa Rosa as a result of the Roseland Annexation and in anticipation of
consolidating District into Santa Rosa's assets; and 3) acknowledge the terms and
conditions of the Agreement for the Dissolution of the South Park Sanitation District
and the Transfer of Ownership to the City of Santa Rosa which relate to the Master
Agreement including dissolution of the District no later than June 30, 2011 and Santa
Rosa's assumption of ownership of District's assets and liabilities.
I. As provided for in Section 17D of the Master Agreement, the Subregional System is
developing Incremental Recycled Water Program projects to expand treatment and
disposal capacity to 25.86 mgd for Santa Rosa and the City of Rohnert Park. For
purposes of this Agreement, disposal capacity is the sum of discharge capacity and
reuse capacity.
J. The 4.52-mgd increase from 21.34 to 25:86 mgd is allocated in the 2004 Incremental
Recycled Water Program Master Plan to Santa Rosa (2.64 mgd), the City of Rohnert
Park (1_.72 mgd) and South Park County Sanitation District (0.16 mgd). A small
portion of the City of Rohnert Park's capacity increase (0.07 mgd) was included to
accommodate planned' expansion of Sonoma State University. The City of Rohnert
Park has requested that Sonoma State University's 0.07 -mgd portion of the City of
Rohnert Park's incremental capacity of 1.72 mgd not be included in the City of
Rohnert Park's capacity right expansion addressed in this amendment to the
Agreement. Therefore, this amendment expands the City of Rohnert Park's capacity
right by 1.65 mgd.
K. The 2004 Incremental Recycled Water Program Master Plan (and as amended
through 2007) specifies that discharge shall remain at or below the level that would
have occurred at 21.34 mgd (4,500 million gallons per year (MGY) in the wettest
year on record) and the volume of water associated with growth from 21.34 mgd to
25.86 mgd (2,200 MGY) by Santa Rosa and the City of Rohnert Park shall be reused
and not discharged. Subsequent studies indicate that the 4,500 -MGY discharge
would likely need to be relocated from the Laguna de Santa Rosa to the Russian
River at great cost due to environmental regulations.
L. The Second Amendment to Construction and Operating Agreement Santa Rosa
Geysers Recharge Project ( "Second Amendment to Geysers Agreement ") became
effective on August 14, 2007. The Second Amendment to the Geysers Agreement
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implements the Geysers Expansion Project ( "GEP ") and increases recycled water
delivery to the Geysers Power Company by 3,209 MGY.
M. In recognition of the desire to avoid relocating the discharge, the Second Amendment
to Geysers Agreement specifies delivery of water to the steamfield such that
discharge is reduced by 2,259 MGY, and the 950 -MGY balance (3,209 MGY — 2,259
MGY) is allocated to offset the 2,200 MGY growth by Santa Rosa and the City of
Rohnert Park. The balance of the 2,200 -MGY growth for which reuse projects need
to be identified is 1,250 MGY (2,200 MGY — 950 MGY).
N. The GEP increases disposal capacity of the Subregional System from 21.34 to 23.28
mgd (an increase of 1.94 mgd), which is calculated as follows:
23.28 mgd = 21.34 mgd + (25.86 mgd — 21.34 mgd) x 950 MGY /2,200 MGY
Where 2,200 MGY is the annual quantity of water represented by the increase in flow
from 21.34 to 25.86 mgd adwf and 950 MGY is the portion of the 2,200 MGY that
the GEP would provide, as described in paragraph M above.
O. The purpose of this amendment is to 1) revise the cost allocation methodology to
account for a) Santa Rosa's, South Park County Sanitation District's . and the City of
Rohnert Park's expected need for additional capacity at different times and b) the
effect of wet weather flows on capital cost of projects by allocating the cost of
treatment and disposal projects driven by wet weather flow based on the wet weather
flow contribution of each benefiting agency and by allocating the cost of projects
driven by dry weather flow based on the dry weather flow contribution of each
benefiting agency; 2) allocate ' the cost and additional capacity of the GEP; and 3)
agree to fund additional projects necessary to expand treatment and reuses capacity to
25.79 mgd adwf. .
AGREEMENT
1. Santa Rosa and User Agencies agree that the increased capacity from 21.34 to 25.79
mgd and capacity right shall be allocated as it is developed as described in Table 1.
' This `refers only to reuse projects and not discharge projects because discharge projects are capacity
maintenance projects under the IRWP Master Plan and therefore authorized in the MasterAgreement.
Table 1. Capacity Right Allocation
Entity
Share of 21.34 mgd
I Share of 4.45 mgd
Ex ansion
Share of 25.79 mgd
mgd
Percent
mgd
I Percent
mgd
Percent
Santa Rosa
15.61
73.15
2.64
59.33
18.25
70.76
SPCSD
0.70
3.28
0.16-
3.60
0.86
3.33
Rohnert Park
3.43
16.07
1.65
37.07
5.08
19.70
Sebastopol
0.84
3.94
0
0
0.84
3.26
Cotati
0.76
3.56
0
0
0.76
2.95
Total
21.34
100.00
4.45
100.00
25.86
100.00
2. Disposal capacity is increased. by 1.94 mgd resulting from the GEP, and this
additional disposal capacity is allocated in Table 2. according to the values in the
"Share of 4.45 mgd. expansion, percent" column from Table 1.
Table 2. Share of Added Disposal Capacitya
Entity
Share of 21.34 mgd
Share of Disposal
Share of Current
Ca aci i Expansion
Disposal Capacity'
mgd
Percent
mgd
Percent
mgd
Percent
Santa Rosa
15.61
73.15
1.15
59.33
16.76
71.99
SPCSD
0.70
3.28
0.07
3.60
0.77
3.31
Rohnert Park
3.43
16.07
0.72
37.07
4.15
17.83
Sebastopol
0.84
3.94
0
0
0.84
3.61
Cotati
0.76
3.56
0
0.
0.76
.3.26
Total'
21.34
100.00
1.94
100.00
23.28
100.00.
a Current disposal system capacity is 21.34 + 1.94 mgd or 23.28 mgd. Table 2 shall be updated by Santa
Rosa as disposal capacity is increased .pursuant to the Agreement. The values in the "Share of Current
Disposal Capacity, percent" column shall be used to determine debt service for projects intended to
maintain current reuse capacity. This addresses.reuse projects only and not discharge projects because
discharge projects are capacity maintenance projects under the IRWP Master Plan and therefore
authorized in the Master Agreement.
3. Santa Rosa and User Agencies agree that debt service for projects intended to
maintain existing reuse capacity shall be allocated according to the "Share of
Current Disposal Capacity, percent" column in Table 2. Santa Rosa shall update
Table 2 as disposal capacity is added and the updated table shall be used to
determine debt service for projects intended to maintain existing reuse capacity.
Santa Rosa shall inform User Agencies of any and all Table 2 updates.
4. Santa Rosa and User Agencies agree that debt service for dry weather flow projects
intended to maintain existing treatment capacity shall be allocated according to the
"Share of Current Treatment Capacity, percent" column in Table 3. Santa Rosa
shall update Table 3 as treatment capacity is added and the updated table shall be
used to determine debt service for dry weather flow treatment plant projects
intended to maintain existing treatment capacity. Santa Rosa shall inform User
Agencies of any and all Table 3 updates.
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Table 3. Share of Treatment Capacitya
Entity
Share of 21.34 mgd
Share of Treatment
Capacity Expansion
Share of Current
. Treatment Capacity'
mgd
Percent
mgd
Percent
mgd
Percent
Santa Rosa
15.61
73.15
0
-
15.61
73.15
SPCSD
0.70
3.28
0
-
0:70
3.28
Rohnert
Park
3.43
16.07
0
-
3.43
16.07
Sebastopol
0.84
3.94
0
-
0.84
3.94
Cotati
0.76
3.56
0
-
0.76
3.56
Total
21.34
100.00 1
0
-
21.34
100.00.
a Current treatment system capacity is 21.34 mgd. Table 3 shall be updated by Santa Rosa as treatment
capacity is increased pursuant to the Agreement. The values in the "Share of Current Treatment
Capacity, percent" column shall be used to determine debt service for projects intended to maintain
current treatment capacity.
5. Santa. Rosa and User Agencies agree that debt service for all discharge- related
projects not involving construction of additional storage and wet weather treatment
projects to maintain current treatment capacity described in Table 3 shall be
allocated as shown in Table 4. Table 4 shall be updated by Santa Rosa prior to bond
sales to fund wet weather treatment projects.. Santa Rosa shall inform User
Agencies of the revised values, and Santa Rosa shall use such revised values to
calculate debt service for each User Agency.
Table 4. Allocation of Discharge and Wet Weather Treatment
Plant Project Costs to Maintain Existing Capacity(Percene)
Entity
Treatment
Discharge'
Plant
Santa Rosa
67.60
76.00
SPCSD
3.51
3.94
Rohnert Park
19.53
14.37
Sebastopol
6.85
3.16
Cotati
2.52
2.53
Total
100.00
100.00
a Santa Rosa shall update this table prior to bond sales to fund wet weather
treatment projects, and Santa Rosa shall use such revised values to calculate debt
service for each User Agency
b based on 95`h percentile hourly flows for wet weather events from December
2004- February 2008.
based on 95`h percentile daily flows for wet weather events from December 2004
- February 2008.
6. Santa Rosa and User Agencies agree that debt service for all projects intended to
expand treatment capacity from current treatment capacity defined in Table 3 to or
approaching 25.86 mgd shall be determined by allocating the debt service into two
portions: portion attributable to expanding dry weather capacity and the portion
attributable to expanding wet weather capacity. Debt service attributable to dry
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weather capacity expansion shall be allocated according to the "Share of 4.52 mgd
expansion, percent" column in Table 1. Debt service attributable to wet weather
capacity expansion shall.be allocated according to the "Treatment Plant" column in
Table 4.
7. Santa Rosa and User Agencies agree that debt service for projects to expand reuse
capacity from current disposal capacity defined in Table 2 to or approaching 25.86
mgd shall be allocated according to the "Share of 4.52 mgd expansion, percent"
column in Table 1. Such projects shall be undertaken subject to the following:
a. If one entity needs additional reuse capacity prior to other entities:
i. . The entity first requesting additional reuse capacity shall identify its preferred
capacity expansion project in consultation with Santa Rosa and be solely
responsible for debt service costs associated with such project. Santa Rosa
shall undertake the agreed upon capacity expansion project to ,provide such
additional capacity as described in Sections 7 and 171 of the Master
Agreement.
ii. At such time that a second or subsequent entity shall request additional reuse
capacity, the entity having secured additional capacity per paragraph 7.a.i
may, .at its option, offer to the second or subsequent entity a portion of its
project's capacity up to but not exceeding the second or subsequent entity's
percentage of capacity right increase shown in the "Share of 4.52 mgd
upgrade, percent" column of Table 1. If the second or subsequent entity
requests additional reuse capacity and additional reuse capacity is offered, the
second or subsequent entity shall purchase such additional capacity. The
second or subsequent entity shall pay actual project.cost in proportion to the
share of the project's capacity that it purchases escalated per Engineering
News Record Construction Cost Index for San Francisco. If additional reuse
capacity is not offered, the second or subsequent entity shall' identify its
preferred reuse capacity expansion project in consultation with Santa Rosa
and be solely responsible for debt service .costs associated with such project.
Santa Rosa shall undertake the agreed upon reuse capacity expansion project
to provide such additional capacity as described in Sections 7 and 17D, except
projects developed pursuant to this paragraph are not subject to the project
cost sharing provisions in the third and last paragraph of Section 7 of the
Master Agreement.
b. If more than one entity needs additional . reuse capacity simultaneously or
additional capacity is needed beyond that offered pursuant to paragraph 7.a.i,
Santa Rosa shall identify and undertake capacity expansion to provide such
additional capacity as described in Sections 7 and 17D of the Master Agreement.
8. GEP capacity shall be allocated 29.6 percent to capacity expansion (950 MGY /3,209
MGY) and the remainder (70.4 percent or 2,259 MGY /3,209 MGY) shall be allocated
6
to maintenance of existing capacity. GEP cost shall be allocated as described in Table
5.
Table 5. Allocation of GEP Cost
Entity
Capacity Expansion (29.6
percent of GEP cost
Capacity Maintenance (70.4
percent of GEP Cost
Total °
(percent
PWWF
Ca acit
Percent of
Expansion'
Percent of
GEP Cost
Percent of
Maintenance
Percent of
GEP Cost
of GEP_
Cost)
Santa Rosa
59.33
17.56
76.00
53.50
71.06
SPCSD
3.60
1.07
3.94
2.78
3.84
Rohnert Park
37.07
10.97
14.37
10.11
21.09
Sebastopol
0
0
3.16
2.23
2.23
Cotati
0
0
2.53
1.78
1.78
Total
100.00
29.60
100.00
70.40
100.00
a from Table 2
b from Table 4
Example calculation: Santa Rosa's total of 64.88 percent is based on (29.6% x 59.33 %) + (70.4% x
76.00 %) = 17.566/0 + 53.50% = 71.06%
9. Table 1 in Section 14 on page 13 of the Master Agreement is amended to read as
follows:
Table 1. Capacity Service
Entity
Section 1, West
College Avenue
Laguna Interceptor
'Capacity Service
Treatment Plant Capacity Service
PWWF
Ca acit
Percent
ADWF
(m d )
BOD
(lb /d
SS
lb /da
Percent
Santa Rosa
41.3
93.9
18.25
44,556
47,635
70.76
SPCSD
0.86
2,100
2,245
3.33
Rohnert Park
5.08
12,402
13,259
19.70
Sebastopol
2.7
6.1
0.84
2,051
2,193
3.26.
Cotati
0.76
1,855
1,984
2.95
Total
44.0
100.0
25:79
62,964
67,315
100.00
10. Except as amended herein and as amended previously as set forth in Recitals, all
terms of the Master Agreement remain in .effect..In the event of any inconsistency
between the provisions of this Fifth Amendment and the Master Agreement or any
previous amendments thereto, the provisions of this Fifth Amendment shall control.
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ATTEST:
CITY OF SANTA ROSA
By:
ATTEST: CITY OF ROHNERT PARK
ATTEST:
ATTEST:
By:
CITY OF SEBASTOPOL
By:
CITY OF COTATI
By:
ATTEST: SOUTH PARK COUNTY SANITATION
DISTRICT
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