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1 KEKER, VAN NEST & PETERS LLP
JOHN W. KEKER - # 49092
2 jkeker@keker.com
DAN JACKSON - # 216091 ELECTRONICALLY
3 djackson@keker.com
WARREN A. BRAUNIG - # 243884 F I L E D
Superior Court of California,
4 wbraunig@keker.com County of San Francisco
NICHOLAS S. GOLDBERG - # 273614
5 ngoldberg@keker.com 04/29/2022
633 Battery Street Clerk of the Court
BY: RONNIE OTERO
6 San Francisco, CA 94111-1809 Deputy Clerk
Telephone: (415) 391-5400
7 Facsimile: (415) 397-7188
8 MARK J. HATTAM - # 173667
mhattam@sdcwa.org
9 General Counsel
SAN DIEGO COUNTY WATER AUTHORITY
10 4677 Overland Avenue
San Diego, CA 92123-1233
11 Telephone: (858) 522-6791
Facsimile: (858) 522-6566
12
Attorneys for Petitioner, Plaintiff, and Cross-Defendant EXEMPT FROM FILING FEES
13 SAN DIEGO COUNTY WATER AUTHORITY [GOVERNMENT CODE § 6103]
14
15 SUPERIOR COURT OF THE STATE OF CALIFORNIA
16 IN AND FOR THE COUNTY OF SAN FRANCISCO
17
SAN DIEGO COUNTY WATER Lead Case No. CPF-14-514004
18 AUTHORITY,
Consolidated with Case Nos. CPF-16-515282
19 Petitioner, Plaintiff and Cross- & CPF-18-516389
Defendant,
20 EXHIBITS TO THE SAN DIEGO
v. COUNTY WATER AUTHORITY’S
21 PRETRIAL BRIEF
METROPOLITAN WATER DISTRICT OF
22 SOUTHERN CALIFORNIA; ALL VOLUME 3 OF 4
PERSONS INTERESTED IN THE
23 VALIDITY OF THE RATES ADOPTED
BY THE METROPOLITAN WATER Dept.: 306
24 DISTRICT OF SOUTHERN CALIFORNIA Judge: Hon. Anne-Christine Massullo
ON APRIL 8, 2014 TO BE EFFECTIVE
25 JANUARY 1, 2015 AND JANUARY 1, Date Filed: May 30, 2014
2016; and DOES 1-10,
26 Trial Date: May 16–27, 2022
Respondents, Defendants and
27 Cross-Complainant.
28
EXHIBITS 3 OF 4 TO TRIAL BRIEF
Lead Case No. CPF-14-514004; Consolidated with CPF-16-515282 & CPF-18-516389
SDCWA San Diego County Water Authority v. Metropolitan Water District
Lead Case No. CPF-14-514004
Consolidated with Case Nos. CPF-16-515282 & CPF-18-516389
Appendix of Exhibits in Support of the Water Authority’s Pretrial Brief
Tab Exhibit Description
1 NA Administrative Record excerpts
2 PTX20 Letter from SDCWA to J. Foley, Chairman, MWD Board of Directors
3 PTX24 Discussions with SDCWA: A Proposal to Address SD/IID Transfer
4 PTX25 MWD memorandum re Residential Bill Impact of California Plan for
Colorado River Supplies
5 PTX26 Memorandum From MWD General Manager Assistant To Board Of
Directors Re Transmittal of Documents From The MWD/SDCWA
Negotiation Session of Friday And Saturday, December 5 And 6, 1997
6 PTX28 Agreement for Transfer of Conserved Water by and between Imperial
Irrigation District and San Diego County Water Authority.
7 PTX30 Talking Points on the MWD/SDCWA MOU
8 PTX31 Agreement Between the Metropolitan Water District of So. California
And the San Diego County Water Authority for The Exchange of Water
9 PTX56 Email From Kightlinger to Thomas Re Exchange Deal Points
10 PTX57 Email from Jeffrey Kightlinger to Dennis Underwood, Brian Thomas re
Getting to Yes
11 PTX62 Email From Kightlinger To Underwood Re San Diego Accepted Option 2
12 PTX63 Email And Memorandum From General Counsel To Board Members And
Member Agency Managers Re QSA Update (Thomas 114)
13 PTX65 Exchange Agreement between MWD and SDCWA
14 PTX67 Allocation Agreement between MWD and SDCWA, et al.
15 PTX79 Email string between J. Matusak and B. Zimmerman s re Billing
Procedures for SDCWA/IID Transfer Wheeling
16 PTX398 Email from Shane Chapman to Brian Thomas re QSA Analysis - MWD
NPV
17 PTX481 Letter from D. Kennedy to C. Frahm re Suggestions Regarding Wheeling
Rate and attachments
18 PTX750 Determining the Water Supply Benefits of the SDCWA Water Transfer
Proposal
19 PTX751 SDCWA Memo re Direction Regarding CWA’s Exchange Proposal to
MWD
20 PTX752 MWD Publication Wheeling: Gearing for the future of water marketing
21 PTX753 MWD Publication The Colorado River, Reliability Plus
22 PTX754 MWD CEO May 2003 Activity Report
23 PTX755 MWD Board Authorization from August 8, 1995
24 DTX747 MWD Board Meeting Minutes from August 10, 1998
25 DTX841 Email from Rittershaus re: Deal Points Outline with attachment
26 NA Prior Trial Transcript excerpts
27 NA Stapleton Deposition excerpts
28 NA Thomas Deposition excerpts
29 NA Order dated February 16, 2021
SDCWA San Diego County Water Authority v. Metropolitan Water District
Lead Case No. CPF-14-514004
Consolidated with Case Nos. CPF-16-515282 & CPF-18-516389
Appendix of Exhibits in Support of the Water Authority’s Pretrial Brief
Tab Exhibit Description
30 NA Statement of Decision (SOD I) dated April 24, 2014
31 NA Statement of Decision (SOD II) dated August 28, 2015
32 PTX756 Metropolitan Phase I Closing Brief dated January 17, 2014
33 NA SDCWA Phase I Post-Trial Brief dated January 17, 2014
34 NA SDCWA Phase II Post-Trial Brief dated May 22, 2015
35 NA Legislative History Water Code § 1810-1814
36 NA Former Water Code § 1812.5
Tab 22
PTX0754
Report
dl MWD
METf!OPOLITAN WATER D!STRICTOFSOUTHERN CALIFORNIA May 27, 2003
Office of the Chief Executive Officer
• Chief Executive Officer's May 2003 Activity Report
Summary
• Colorado River Matters
• Seawater Desalination
• CALFED/Bay-Delta Matters
• Sacramento Valley Transfers
• State Water Project Joint Powers Authority
• Legislative Activities
• Communications/Outreach
• Finandal Reporting Excellence
Detailed Report
The following details the activities for the Department of the Chief Executive Officer for the
period following the May Board meeting :
COLORADO RIVER MATTERS
Quantification Settlement Agreement
Work continues on conditions precedent to the execution of the proposed revised Quantification
Settlement Agreement (QSA). This includes refinements to a number of agreements, further
discussions on mitigation funding for Imperial Irrigation District (11D) Transfer Project, 11D's
Conservation Program , and the Department of the Interior and Basin states' concerns.
Representatives of the State Administration and the agencies met on May 27, 2003, with
representatives of the other Basin states to further discuss the concerns of other Basin states
and their analysis of the QSA and related agreements. Senator Mike Machado met with the
representatives of the State Administration and the agencies on May 30,. 2003, to discuss his
concerns with the proposed revised QSA and related agreements.
On May 20, 2003, the IID approved a water conservation program based on a Farm Bureau
proposal and a program to implement IID's 3.1 million acre-feet (maf) per year cap on its
Colorado River water use. In doing so , the 11D board waived the farmers sign up requirement
that 130,000 acre-feet per year (afy) of its 300,000 afy transfer project come from on-farm
conservation. The program would be voluntary with no long-term farmer agreements or water
allocation to the farmer. In its approval, the 11D board provided for up to 90 days to develop
program guidelines and rules .
There are more than ten pieces of legislation before the State Legislature that deal with various
aspects of the QSA and related documents. The two major bills, SB 317 and SB 117, deal with
the fully protected species issue and environmental mitigation for the San Diego County Water
Authority (SDCWA) and 11D transfer. Other than SB 317 that provides for relief from fully
protected species provisions, the language of most of the bills have been changed from specific
to intent language so that they can proceed through the requi red committees. In so doing, the
bills can be amended later.
Increased interest continues in proposed Salton Sea restoration and water supply alternatives
wherein up to 500,000 afy of desalted agricultural return water for transfers wou ld be generated.
The Salton Sea Authority made a presentattn of such an alternative to Metropolitan's Board on
May 27, 2003. J ~,Ll --;., ,\,
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PTX0754
Board Report (Chief Executive Officer's May 2003 Activity Report) May 27, 2003
Metropolitan's staff addressed the Arizona Water Banking Authority on May 7, 2003 relative to a
stored water withdrawal agreement for recovering in 2004 Metropolitan's 89,000 acre-feet (AF)
of water stored in Arizona, a long-term storage agreement with Arizona, and the reinstatement
of Metropolitan's Interim Surplus Guidelines Agreement with Arizona.
Staffs .of the Bureau of Reclamation, 11D, and Metropolitan met on May 16, 2003 to discuss the
advancement of the proposed water management reservoirs and associated facilities near the
All American Canal.
Canal Lining Projects
Twelve proposals were received in response to the request for proposals for construction
management for the Coachella Canal. A selection decision is scheduled for June 16, 2003.
Parsons Water & Infrastructure Inc. has been selected as the project management and
construction management contractor for the All American Canal Lining Project. A request for
proposals for design work is expected to be issued in September 2003.
Various proposed budget actions by the State Legislature would revert the state funding monies
for the All American Canal and Coachella Canal Lining Projects and a storage and conjunctive
use program to the General Fund as part of budget actions to deal with the state's budget
deficit.
Metropolitan's staff has continued discussions with the representatives of Interior and the
San Luis Rey Indian water rights settlement parties (Settlement Parties) relative to the allocation
agreement as to the assignment of conserved water from the All American Canal and Coachella
Canal lining projects and a transportation agreement to transport the 16,000 afy canal
conserved water allocated to the Settlement Parties.
The Department of the Interior has released its Water 2025: Preventing Crisis and Conflict in
the West initiative. The Water 2025 initiative sets forth a framework to identify problems,
solutions, and a plan of action. The framework includes six principles to guide the addressing of
problems, five realities that drive water crises, and four key tools to help proactively manage
scarce water resources .
SEAWATER DESALINATION
Staff continues to work with the member agencies in several areas including finalizing 1.miform
agreement terms and principles, development of a coordinated research plan , and formulating a
consistent message regarding the need and benefits of seawater desalination.
The state legislative analyst has recommended deferral of desalination project funding under
Proposition 50 pending completion of the desalination task force report required by AB 2717.
Since there is presently a demand for near-term funding, legislative budget staff is considering
appropriation of funding in advance of the task force report. In anticipation of the potential for
advanced funding, Metropolitan and the member agencies have developed project criteria for
consideration as part of Senate Bill 21 (Machado).
2
SDCWA2014-2018_00039046
PTX0754
Board Report (Chief Executive Officer's May 2003 Activity Report) May 27,2003
CALFED WATER USE EFFICIENCY (WUE) ACTIVITY DURING MAY 2003
The California Bay-Delta Authority recently began the process of developing a long-term plan
for financing CALFED. As part of this effort, one of its subcommittees has been asked to
identify major WUE-related finance issues, develop categories and measures for classifying
WUE-related costs and benefits, and to identify program beneficiaries. The WUE Program
Manager also requested additional nominations for the Program's Science Review Panel. The
Science Review Panel will independently review and evaluate the scientific merit of WUE
Program products.
CALFED CONGRESSIONAL TOURS
Metropolitan staff toured various CALFED projects with U.S. Representative Ken Calvert, Chair,
House Resources Subcommittee on Water and Power. The aerial tour and briefing was
preparatory to mark-up of authorizing legislation for the CALFED Program. The tour attendees
included Metropolitan's Washington D.C. staff; Steve Hall, Executive Director, Association of
California Water Agencies; and the representative's staff. As a result of the briefing,
Congressman Calvert requested a follow-up briefing on this subject for U.S. Representative
Richard Pombo, Chair of the House Resources Committee.
On May 26-28 staff led an inspection trip of Northern California water facilities for U.S.
Representative Grace Napolitano. She also was briefed about state water issues, including
ecosystem restoration and CALFED. Vice Presidents Tim Quinn and Adan Ortega also
participated in the tour.
SACRAMENTO VALLEY TRANSFERS
Due to improved water supply conditions resulting from the second wettest April in the State
Water Project (SWP) watershed on record, Metropolitan did not exercise its May 1 option to
purchase 20,000 AF from Placer County Water Agency. During May, Lake Oroville flood control
releases, which are anticipated to continue until mid-June, precluded storing approximately
20,000 AF of the transfer supplies. Staff continues to work with the Department of Water
Resources (DWR) and U.S. Bureau of Reclamation (USBR) staff to ensure that the remaining
Sacramento Valley transfer supplies can be stored in Lake Oroville to the extent feasible . Staff
willkeep the Board informed of efforts to manage these transfer supplies.
STATE WATER PROJECT JOINT POWERS AUTHORITY
As approved by the Board in May, Metropolitan participated in the first meeting of the SWP Joint
Powers Authority (JPA) on May 15. At this initial meeting , officers of the JPA's board of
directors were selected as well as an Interim General Manager. Mr. Duane Georgeson has
been appointed Metropolitan's alternate representative on the JPA's board of directors and on
interim basis serves as Metropolitan's representative until Metropolitan's primary representative
is appointed. Additionally, Metropolitan's Treasurer, Mr. Roger Marumoto, will serve as the
Interim Treasurer for the JPA. To date, 13 contractors have joined and additional agencies are
expected to join when their boards give approval. The first key activity is to negotiate and agree
to a general services agreement with DWR.
LEGISLATIVE ACTIVITIES
Staff led a delegation of more than 50 CEOs and Presidents from the United Chambers of
Commerce of the San Fernando Valley on their annual legislative trip to Sacramento, May 6-7.
The group met with 13 state legislators to discuss various issues impacting businesses in the
3
SDCWA2014-2018_00039047
PTX0754
Board Report (Chief Executive Officer's May 2003 Activity Report) May 27, 2003
Valley, including water -- support for CALFED, preserving local funding from Prop. 50 funds,
and funding for desalination research and demo projects.
Staff joined VICA on its annual legislative trip to Washington, D.C. on May 3-7, where delegates
met with legislators to discuss support for the CALFED reauthorization bill.
On May 7-11 staff attended the National Association of Home Builders Legislative Conference
and Board of Directors/Committee Meetings in Washington, DC.
On Saturday, May 3, Metropolitan participate,d in a Community Water Festival in Temecula,
sponsored by USBR. About 1,500 people visited the festival, which was held inside the
Temecula Mall. VIP attendees included Temecula mayor pro-tern Mike Neggar and Assembly
member John Benoit (R-Riverside).
Metropolitan participated in a May 18 event sponsored by Women at Work, which honored
Assemblywoman Carol Liu and her work with the organization.
COMMUNICATIONS/OUTREACH
Staff welcomed 130 high school students from 11 local high schools to discuss, debate and
decide issues of water supply and water quality pertaining to Southern California's water as part
of the 6th annual Water Politics Student Water Forum. Working with ten water, business and
environmental experts, including keynote speaker Ed Begley Jr., the students responded with a
number of reports that acknowledged the need to continue to diversify supply resources and to
increase our efforts to maintain and ensure water quality standards.
Metropolitan's outdoor conservation public outreach campaign reached important milestones in
May. These achievements included:
• More than 300 people, including actress and native plant enthusiast Rene Russo, attended
the May 4 "Garden with a View" dinner at Rancho Santa Ana Botanic Garden, featuring the
43 applicants to the City Makeover Program. Attendees included eight members of
Metropolitan's Board , the mayors of Azusa, Encinitas and Laguna Niguel and
representatives from more than 50 local agencies and cities.
• City Makeover grant recipients were announced by Chairman Phillip Pace and Rene Russo
at a press conference held at Metropolitan headquarters on May 21. Among the 40-plus
attendees were representatives from each of the grant recipients, program judges and local
officials.Coverage of the announcement appeared in the following news outlets: Los
Angeles Times, Riverside Press-Enterprise, Inland Valley Daily Bulletin, Orange County
Register, North County Times, San Diego Union-Tribune, San Clemente Sun Post, KGTV
(San Diego), KUSI (San Diego), and KPBS-FM (San Diego). City Makeover grant recipients
are as follows: the cities of Azusa, Oceanside, Rancho Cucamonga, San Clemente and
San Jacinto will each receive $75,000. Camrosa Water District, Chino Basin Water
Conservation District, and the cities of Corona, La Mesa, Santa Monica and San Juan
Capistrano will each receive $20,000.
• Media services staff met with the Metropolitan Transit Authority to discuss opportunities to
use Southern California heritage landscaping along the 14-mile landscaped bus way
4
SDCWA2014-2018_00039048
PTX0754
Board Report (Chief Executive Officer's May 2003 Activity Report) May 27, 2003
running through the southern San Fernando Valley. MTA staff is very amenable to the use
of native and drought-tolerant plants and efficient irrigation, and is also willing to create a
demonstration garden as part of the project.
• The Los Angeles Times Magazine devoted its May 18 issue to native plant gardening and
highlighted Metropolitan's campaign.
The Press Office managed several regional and some national news media requests for
information and interviews involving ongoing QSA negotiations. The Vice President of External
Affairs and General Counsel handled the interviews.
Staff administered and completed the Alvarado Intermediate School Water Fair hosted in
partnership with the Three Valleys Municipal Water District. More than 1,100 middle school and
feeder school students participated in 15 water-related activities, events and entertainment.
State Assembly member Robert Pacheco spoke along with executives from both Three Valleys
MWD and their retail agency, Rowland Water District.
The Press Office issued two press releases during May and managed multiple media requests
resulting from these releases. The releases were related to the District's decision to not
exercise the last round of options for water transfers from the Sacramento Valley and to
announce the winners of the City Makeover program. In addition, the press office proactively
managed the announcement that MWD updated its report on water supplies. The effort led to
articles in a few California newspapers.
The May issue of the "Metrospectives" newsletter, with a main story on Metropolitan's water
supply report, was produced, printed and mailed.
The "California's Water from A-Z" Alphabet Books were delivered and presented. The books,
created by the fourth-grade class at Bautista Creek Elementary, will be used as a memento for
the upcoming groundbreaking dedication of The Center for Water Education.
FINANCIAL REPORTING EXCELLENCE
For the ninth consecutive year, Metropolitan was awarded the Government Finance Officers
Association's Certificate of Achievement for Excellence in Financial Reporting for the
FY2001/02 Annual Financial Report.
Ronald R. Gastelum Date
Chief Executive Officer
5
SDCWA2014-2018_00039049
PTX0754
Tab 23
PTX0755
MWD
METROPOLITAN WATER DISTRICT OF SOUTHERN CALIFORNIA 8-3
August 8. 1995
To: Board of Directors (Weter Planning end Resources Committee-Action)
(Finance end Insurance Committee-Information)
From: General Manager
Subject: Advance conversion of existing projects under the Local Projects Program to the
Local Resource Program
RECOMMENDATION:
It is recommended that the Board of Directors:
1. Authorize the General Manager to emend existing agreements for projects
under the Local Projects Program (LPP) to include terms described in this letter
end detailed in Attachment A. These terms ere consistent with those included
in the proposed Local Resources Program (LRP). which were detailed in the
June 27. 1995 pending letter to your Board.
2. Authorize the General Manager to approve end enter into agreements with
member agencies end subcgencies for LPP projects currently under review on
the same terms.
John R. Wodrcskc
General Manager
Submitted by:
GLC:drs
Attachments (4)
LLP2LRP /BOARD
SDPRA0296170
PTX0755
Board of Directors -2- August 8. 1995
EXECUTIVE SUMMARY:
In July 1995. your Board requested that staff report back to you with a proposal
to allow the immediate conversion of existing projects under the local Projects Program (lPP) to
include terms from the proposed local Resource Program (lRP) cs detailed in Attachment A
end the pending letter to your Board from the General Manager dated June 27. 1995.
The proposed amendments will be available only to the 40 approved projects
under the LPP. of which 37 projects have executed Joint Participation Agreements with
Metropolitan and three ere in the process of final execution of Agreements. as shown in Table 1.
The conversion of projects from the existing lPP to LRP is voluntary and will be accomplished
through amendment of the existing Agreements. Member agencies and subcgencies may
notify Metropolitan of their intent to convert to the LRP by February 2.9, 1996 and must execute
amendments by December 31. 1996. All terms of the amended Agreements will be retroactive
to September 1. 1995.
As the 40 lPP projects have been previously approved for eligibility. it is
recommended that authority be given to the General Manager to amend the existing LPP
agreements to incorporate the terms described below. should the project sponsors and
developers so elect.
There ere seven LPP projects currently under review (as shown in Table 2). for
which Metropolitan hes received completed applications cs of August 1, 1995. The General
Manager hes been granted the authority by your Board to approve end enter into agreements
with member agencies end subcgencies under the existing lPP. It is recommended that the
General Manager be authorized to approve and enter into agreements incorporating the
additional terms set forth below for the LPP projects currently under review. if the project
sponsors end developers of those projects elect this alternative. The project sponsors and
developers of these projects must notify Metropolitan by February 2.9.1996. whether they intend
to qualify their projects under the terms and criteria of the existing LPP or the proposed lRP.
Metropolitan will continue to accept and review applications for new
reclamation projects. However. Metropolitan and the applicants will not initiate agreement
negotiations until after your Board considers end adopts modifications to the water
management programs consistent with the Integrated Resources Planning (IRP) effort
(expected in November 1995). The proposed LRP, if adopted by your Board. will merge the LPP
and the Groundwater Recovery Program (GRP) into one water management program. This
advance amendment of existing lPP projects to incorporate LRP terms will not effect existing
GRP projects or GRP projects under review. The GRP will remain unchanged until such time cs
Metropolitan' s Boord of Directors adopts the LRP or other water management programs.
The proposed amendments are consistent with existing policy for the Local
Projects Program. which is detailed in section 4516 of the MWD Administrative Code. The
differences between the proposed amendments and the existing LPP are:
1. the minimum requirement for 100 AFY of project yield for the LPP will be deleted:
SDPRA0296171
PTX0755
Board of Directors -3- August 8. 1995
2. the contribution for a project will range from $0 to a maximum of $250/AF. and
will be equal to the net actual cost of producing project water above the avoided cost of
purchasing treated noninterruptible water from Metropolitan, plus an allowance for
Metropolitan' s New Demand Charge. if applicable;
3. the contribution payment level will be adjusted annually. based on actual costs,
actual Metropolitan rates. and actual yield; and
4. the terms of the amended Agreements will be 25 years less the number of years
the project has received LPP contributions.
As stated in item 2 above. Metropolitan's contribution will be adjusted annually
based on the amount of actual "Unit Project Cost" exceeding Metropolitan' s noninterruptible
treated water rate including an allowance for Metropolitan's New Demand Charge (NOC). The
allowance for Metropolitan's NOC will apply when the sum of the agency's purchase of
Metropolitan's water and the actual production from the project exceeds the agency's NOC
base. The NOC allowance will be equal to the amortized cost of the NOC that would have
been assessed.
Under the amended Agreements, member agencies will receive monthly
contributions based on projected yields and costs for the fiscal year. Participants must maintain
production records and incurred project costs. This information will be submitted to
Metropolitan annually for reconciliation of actual yields and costs for determining the annual
contributions. Adjustments for over or under payments . based on actual costs and yield, will be
mode as appropriate.
During the past several months, staff have had extensive discussions with member
agencies and local retail water suppliers regarding the existing LPP and the proposed LRP. The
member agencies recognize the need to incorporate the 1995 DMP principle on local resource
projects into future water supply and drought management plans. The 1995 DMP provides for
adjustments for local resources -"The base allocations should be adjusted to distribute regional
benefits in proportion to the regional dollars spent in the development of local resources such
as reclamation." The methodology for adjusting the base allocations will be developed in
Metropolitan's water supply and drought management plan and will be consistent with this
principle. The water supply and drought management plan is scheduled for consideration and
adoption by your Boord in November 1995.
DETAILED REPORT:
In July 1995, your Board requested that staff report back to you with a proposal
to allow the immediate conversion of existing projects under the Local Projects Program (LPP) to
include terms from the Local Resource Program (LRP) as detailed in Attachment A and the
pending letter to your Board from the General Manager dated June 27, 1995.
Existing Local Projects Program
The objective of the Local Projects Program (LPP), which was initiated in late 1981,
is to assist local agencies in the development of cost effective local water supply projects.
Under the LPP. Metro olitan rovides a net ·annual financial contribution based on the amount
SDPRA0296172
PTX0755
Boord of Directors -4- August 8. 199 5
of water delivered by c local project in c particular year. In February 1990. your Boord acted to
establish the LPP contribution at $154/ccre-foot (AF). and recommended that the LPP
contribution be reviewed and adjusted periodically. The $154/AF contribution was calculated
based on Metropolitan's avoided costs to convey. treat, and distribute water. and included
considerations of reliability and service area needs.
Presently. the LPP includes 40 projects which are estimated to ultimately produce
about 179,000 acre-feet per year (AFY) of reclaimed water (see Table 1). Thirty of these projects
are in operation and receiving Metropolitan's LPP contributions. The remaining ten projects
have been approved for participation by the General Manager and are under design or
construction. Table 2 lists the additional seven projects that are currently under review and for
which Metropolitan has received completed applications by August 1. 1995.
Local Resource Program
The proposed LRP is consistent with existing policy for the development of local
resources as described in section 4516 of the MWD Administrative Code detailing the existing
Local Projects Program. The differences between the proposed LRP and the existing LPP are:
1. the minimum requirement for 100 AFY of project yield for the LPP will be deleted;
2. the LRP contribution for a project will range from $0 to a maximum of $250/AF,
and will be equal to the net actual cost of producing project water above the avoided cost of
purchasing treated noninterruptible water from Metropolitan, plus an allowance for
Metropolitan's New Demand Charge (as described later in this letter);
3. the LRP contribution payment level will be adjusted annually based on reported
costs and water production; and
4. the terms of LRP agreements will be 25 years.
As stated in item 2 above. Metropolitan' s LRP contribution will be adjusted
annually based on the amount of actual "Unit Project Cost" exceeding Metropolitan' s
noninterruptible treated water rote including on allowance for Metropoliton's New Demond
Charge (NOC). The LRP contribution is compared to Metropoliton's treated wot~r rote because
the maximum value of $250/AF of local supplies is based on the reduction of Metropolitan's
costs to supply treated water to its member agencies. The allowance for the NOC is included
with the treated water rate because the amount represents the avoided cost purchasing
imported water to the project developers.
Under current procedures in the Groundwater Recovery Program, the unit
project cost is reduced by outside funding. However, based on recent discussions with member
agencies and project developers, it is recommended that project costs not be discounted by
altemate funding sources. This will help encourage agencies to develop innovative financing
methods to fund these projects and will reward entrepreneurial efforts at the local level.
Figure 1 illustrates the LRP incentive level as the difference of the actual "Unit
Project Cost" and costs for purchasing Metropolitan's supplies. The allowance for
Metropolitan's NOC will apply when the sum of the agency's purchase of Metropolitan's water
and the actual production from the LRP project exceeds the NOC base (see Figures 2 and 3).
The NOC allowance will be e ual to the amortized cost of the NOC that would have been
SDPRA0296173
PTX0755
Board of Directors -5- August 8. 1995
assessed. The NOC allowance will apply at the member agency level when the LRP Agreement
is between Metropolitan and the member agency. If the LRP Agreement is a three party
agreement among Metropolitan, a member agen
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Jul 11, 2024 |
CGC24615613
Matter on the Law & Motion calendar for Thursday, July 11, 2024, Line 15. PLAINTIFF PEOPLE CENTER, INC. D/B/A RIPPLING's Motion For Preliminary Injunction. Plaintiff People Center, Inc. d/b/a Rippling's motion for a preliminary injunction is denied. (The Court's complete tentative ruling has been emailed to the parties.) For the 1:30 p.m. Law & Motion calendar, all attorneys and parties may appear in Department 302 remotely. Remote hearings will be conducted by videoconference using Zoom. To appear remotely at the hearing, go to the court's website at sfsuperiorcourt.org under "Online Services," navigate to "Tentative Rulings," and click on the appropriate link, or dial the corresponding phone number. Any party who contests a tentative ruling must send an email to contestdept302tr@sftc.org with a copy to all other parties by 4pm stating, without argument, the portion(s) of the tentative ruling that the party contests. The subject line of the email shall include the line number, case name and case number. The text of the email shall include the name and contact information, including email address, of the attorney or party who will appear at the hearing. Counsel for the prevailing party is required to prepare a proposed order which repeats verbatim the substantive portion of the tentative ruling and must email it to contestdept302tr@sftc.org prior to the hearing even if the tentative ruling is not contested. The court no longer provides a court reporter in the Law & Motion Department. Parties may retain their own reporter, who may appear in the courtroom or remotely. A retained reporter must be a California certified court reporter (CSR), for only a CSR's transcript may be used in California courts. If a CSR is being retained, include in your email all of the following: their name, CSR and telephone numbers, and their individual work email address. =(302/RBU)
Ruling
A & A GENERAL BUILDING CONSTRUCTION INC., A VS. ARLENE S. TASIM ET AL
Jul 12, 2024 |
CGC23609755
Matter on the Law & Motion calendar for Friday, July 12, 2024, Line 12. DEFENDANT ARLENE TASIM AND ALI TASIM'S Motion For Sanctions Against A A General Building Construction Inc. Pursuant To Code Of Civil Procedure Section 1281.99. Defendants and Cross-Complainants' unopposed Motion for Sanctions in the amount of $8350.00 is granted (CCP section 1281.99), payment to be made within 30 days of the filing of this order. Friday's Law & Motion Calendar will be called out of Dept. 301. Anyone intending to appear in person should report to Dept. 301. However, anyone intending to appear remotely should use the regular Zoom information for Dept. 302's Law & Motion Calendar for 9:30 a.m. To appear remotely at the hearing, go to the court's website at sfsuperiorcourt.org under "Online Services," navigate to "Tentative Rulings," and click on the appropriate link, or dial the corresponding phone number. Any party who contests a tentative ruling must send an email to contestdept302tr@sftc.org with a copy to all other parties by 4pm stating, without argument, the portion(s) of the tentative ruling that the party contests. The subject line of the email shall include the line number, case name and case number. The text of the email shall include the name and contact information, including email address, of the attorney or party who will appear at the hearing. Counsel for the prevailing party is required to prepare a proposed order which repeats verbatim the substantive portion of the tentative ruling and must email it to contestdept302tr@sftc.org prior to the hearing even if the tentative ruling is not contested. The court no longer provides a court reporter in the Law & Motion Department. Parties may retain their own reporter, who may appear in the courtroom or remotely. A retained reporter must be a California certified court reporter (CSR), for only a CSR's transcript may be used in California courts. If a CSR is being retained, include in your email all of the following: their name, CSR and telephone numbers, and their individual work email address. =(302/RCE)
Ruling
YOLANDA JONES ET AL VS. GENERAL MOTORS, LLC ET AL
Jul 10, 2024 |
CGC23609805
Matter on the Law & Motion calendar for Wednesday, July 10, 2024, Line 10. 2 - DEFENDANT GENERAL MOTORS, LLC's MOTION TO STRIKE 1ST Amended COMPLAINT. Off calendar. The Quezada declaration fails to show that the parties met and conferred "in person, by telephone, or by video conference" in compliance with CCP 435.5. The parties are ordered to comply with the code. The response to the complaint is now due August 7, 2024. For the 9:30 a.m. Law & Motion calendar, all attorneys and parties may appear in Department 302 remotely. Remote hearings will be conducted by videoconference using Zoom. To appear remotely at the hearing, go to the court's website at sfsuperiorcourt.org under "Online Services," navigate to "Tentative Rulings," and click on the appropriate link, or dial the corresponding phone number. Any party who contests a tentative ruling must send an email to contestdept302tr@sftc.org with a copy to all other parties by 4pm stating, without argument, the portion(s) of the tentative ruling that the party contests. The subject line of the email shall include the line number, case name and case number. The text of the email shall include the name and contact information, including email address, of the attorney or party who will appear at the hearing. The court no longer provides a court reporter in the Law & Motion Department. Parties may retain their own reporter, who may appear in the courtroom or remotely. A retained reporter must be a California certified court reporter (CSR), for only a CSR's transcript may be used in California courts. If a CSR is being retained, include in your email all of the following: their name, CSR and telephone numbers, and their individual work email address. =(302/RBU)
Ruling
EDWARD WESTERMAN VS. FTI CONSULTING, INC. ET AL
Jul 09, 2024 |
CGC24615152
Matter on the Law & Motion Calendar for Tuesday, July 9, 2024, Line 12. PLAINTIFF EDWARD WESTERMAN's Motion To Seal. Plaintiff's unopposed motion to seal is granted. For the 9:30 a.m. Law & Motion calendar, all attorneys and parties may appear in Department 302 remotely. Remote hearings will be conducted by videoconference using Zoom. To appear remotely at the hearing, go to the court's website at sfsuperiorcourt.org under "Online Services," navigate to "Tentative Rulings," and click on the appropriate link, or dial the corresponding phone number. Any party who contests a tentative ruling must send an email to contestdept302tr@sftc.org with a copy to all other parties by 4pm stating, without argument, the portion(s) of the tentative ruling that the party contests. The subject line of the email shall include the line number, case name and case number. The text of the email shall include the name and contact information, including email address, of the attorney or party who will appear at the hearing. Counsel for the prevailing party is required to prepare a proposed order which repeats verbatim the substantive portion of the tentative ruling and must email it to contestdept302tr@sftc.org prior to the hearing even if the tentative ruling is not contested. The court no longer provides a court reporter in the Law & Motion Department. Parties may retain their own reporter, who may appear in the courtroom or remotely. A retained reporter must be a California certified court reporter (CSR), for only a CSR's transcript may be used in California courts. If a CSR is being retained, include in your email all of the following: their name, CSR and telephone numbers, and their individual work email address. =(302/RBU)
Ruling
CLEAR HOMES LLC, A NEW MEXICO LIMITED LIABILITY VS. BRENDAN MICHAEL WEE ET AL
Jul 11, 2024 |
CGC23607972
Real Property/Housing Court Law and Motion Calendar for July 11, 2024 line 2. DEFENDANT BRENDAN WEE, ERIKA HILTON MOTION FOR JUDGMENT ON THE PLEADINGS is Off Calendar - Per request of moving party. =(501/HEK) Parties may appear in-person, telephonically or via Zoom (Video - Webinar ID: 160 560 5023; Password: 172849; or Phone Dial in: (669) 254-5252; Webinar ID: 160 560 5023; Password: 172849). Parties who intend to appear at the hearing must give notice to opposing parties and the court promptly, but no later than 4:00 p.m. the court day before the hearing unless the tentative ruling has specified that a hearing is required. Notice of contesting a tentative ruling shall be provided by sending an email to the court to Department501ContestTR@sftc.org with a copy to all other parties stating, without argument, the portion(s) of the tentative ruling that the party contests. A party may not argue at the hearing if the opposing party is not so notified and the opposing party does not appear.
Ruling
ELIANE DOS SANTOS VITAL, AN INDIVIDUAL ET AL VS. AMERICAN HONDA MOTOR CO., INC., A CALIFORNIA ET AL
Jul 12, 2024 |
CGC22601133
Matter on the Discovery Calendar for Friday, Jul-12-2024, Line 2, PLAINTIFFS ELIANE DOS SANTOS VITAL, AN INDIVIDUAL, and WIDES VITAL DA SILVA'S, AN INDIVIDUAL, Motion To Compel Further Responses To Plaintiffs Request For Production Of Documents, Set Two. Pro Tem Judge William Lynn, a member of the California State Bar who meets all the requirements set forth in CRC 2.812 to serve as a temporary judge, has been assigned to hear this motion. Prior to the hearing all parties to the motion will be asked to sign a stipulation agreeing that the motion may be heard by the Pro Tem Judge. If all parties to the motion sign the stipulation, the hearing will proceed before the Judge Pro Tem who will decide the motion with the same authority as a Superior Court Judge. If a party appears by telephone, the stipulation may be signed via fax or consent to sign given by email. If not all parties to the motion sign the stipulation, the Pro Tem Judge will hold a hearing on the motion and, based on the papers submitted by the parties and the hearing, issue a report in the nature of a recommendation to the Dept. 302 Judge, who will then decide the motion. If a party does not appear at the hearing, the party will be deemed to have stipulated that the motion will be decided by the Pro Tem Judge with the same authority as a Superior Court Judge. The Pro Tem Judge has issued the following tentative ruling: Parties to appear if the motion remains unresolved. For the 9:00 a.m. Discovery calendar, all attorneys and parties are required to appear remotely. Hearings will be conducted by videoconference using Zoom. To appear at the hearing, go to the court's website at sfsuperiorcourt.org under "Online Services," navigate to "Tentative Rulings," and click on the appropriate link (DISCOVERY, DEPARTMENT 302 DAILY AT 9:00 A.M.), or dial the corresponding number and use the meeting ID, and password for Discovery Department 302. Any party who contests a tentative ruling must send an email to williamclynn@gmail.com with a copy to all other parties by 4pm stating, without argument, the portion(s) of the tentative ruling that the party contests. The subject line of the email shall include the line number, case name and case number. If the tentative ruling is not contested, the parties are deemed to have stipulated to the Pro Tem hearing the motion and the Pro Tem will sign an order confirming the tentative ruling. The prevailing party is required to prepare a proposed order repeating verbatim the substantive portion of the tentative ruling and must e-mail it to the Judge Pro Tem. The court no longer provides a court reporter in the Discovery Department. Parties may retain their own reporter, who may appear remotely. A retained reporter must be a California certified court reporter (CSR), for only a CSR's transcript may be used in California courts. If a CSR is being retained, include in your email all of the following: their name, CSR and telephone numbers, and their individual work email address. =(302/JPT)
Ruling
Y.P. VS. WELLS FARGO & COMPANY, ET AL
Jul 10, 2024 |
CGC24613065
Matter on the Law & Motion calendar for Wednesday, July 10, 2024, Line 12. DEFENDANT EARL IGNACIO AND WELLS FARGO BANK, N.A.'s Motion To Compel Arbitration. Defendants Wells Fargo Bank, N.A. and Earl Ignacio's motion to compel arbitration and stay is denied. (The Court's complete tentative ruling has been emailed to the parties.) For the 9:30 a.m. Law & Motion calendar, all attorneys and parties may appear in Department 302 remotely. Remote hearings will be conducted by videoconference using Zoom. To appear remotely at the hearing, go to the court's website at sfsuperiorcourt.org under "Online Services," navigate to "Tentative Rulings," and click on the appropriate link, or dial the corresponding phone number. Any party who contests a tentative ruling must send an email to contestdept302tr@sftc.org with a copy to all other parties by 4pm stating, without argument, the portion(s) of the tentative ruling that the party contests. The subject line of the email shall include the line number, case name and case number. The text of the email shall include the name and contact information, including email address, of the attorney or party who will appear at the hearing. Counsel for the prevailing party is required to prepare a proposed order which repeats verbatim the substantive portion of the tentative ruling and must email it to contestdept302tr@sftc.org prior to the hearing even if the tentative ruling is not contested. The court no longer provides a court reporter in the Law & Motion Department. Parties may retain their own reporter, who may appear in the courtroom or remotely. A retained reporter must be a California certified court reporter (CSR), for only a CSR's transcript may be used in California courts. If a CSR is being retained, include in your email all of the following: their name, CSR and telephone numbers, and their individual work email address. =(302/RBU)
Ruling
MARY ELIZABETH LEMASTERS VS. SCHOENBERG FAMILY LAW GROUP P.C. ET AL
Jul 09, 2024 |
CGC22600572
Matter on the Law & Motion Calendar for Tuesday, July 9, 2024, Line 4. PLAINTIFF MARY LEMASTERS' MOTION FOR WITHDRAWAL OF ATTORNEY OF RECORD. Hearing required. For the 9:30 a.m. Law & Motion calendar, all attorneys and parties may appear in Department 302 remotely. Remote hearings will be conducted by videoconference using Zoom. To appear remotely at the hearing, go to the court's website at sfsuperiorcourt.org under "Online Services," navigate to "Tentative Rulings," and click on the appropriate link, or dial the corresponding phone number. Any party who contests a tentative ruling must send an email to contestdept302tr@sftc.org with a copy to all other parties by 4pm stating, without argument, the portion(s) of the tentative ruling that the party contests. The subject line of the email shall include the line number, case name and case number. The text of the email shall include the name and contact information, including email address, of the attorney or party who will appear at the hearing. The court no longer provides a court reporter in the Law & Motion Department. Parties may retain their own reporter, who may appear in the courtroom or remotely. A retained reporter must be a California certified court reporter (CSR), for only a CSR's transcript may be used in California courts. If a CSR is being retained, include in your email all of the following: their name, CSR and telephone numbers, and their individual work email address. =(302/RBU)
Ruling
JOHN P BERNARD VS. BMW OF NORTH AMERICA, LLC ET AL
Jul 10, 2024 |
CGC23608339
Matter on the Law & Motion calendar for Wednesday, July 10, 2024, Line 8. PLAINTIFF JOHN BERNARD's Motion For Award Of Attorneys Fees, Costs, And Expenses. Off calendar for noncompliance with Local Rule 2.7(B) (courtesy copies). The motion may be re-set for a Mon.-Thurs. after July 24, with papers to bear new hearing date. In meantime, counsel shall meet and confer to resolve their differences. For the 9:30 a.m. Law & Motion calendar, all attorneys and parties may appear in Department 302 remotely. Remote hearings will be conducted by videoconference using Zoom. To appear remotely at the hearing, go to the court's website at sfsuperiorcourt.org under "Online Services," navigate to "Tentative Rulings," and click on the appropriate link, or dial the corresponding phone number. Any party who contests a tentative ruling must send an email to contestdept302tr@sftc.org with a copy to all other parties by 4pm stating, without argument, the portion(s) of the tentative ruling that the party contests. The subject line of the email shall include the line number, case name and case number. The text of the email shall include the name and contact information, including email address, of the attorney or party who will appear at the hearing. The court no longer provides a court reporter in the Law & Motion Department. Parties may retain their own reporter, who may appear in the courtroom or remotely. A retained reporter must be a California certified court reporter (CSR), for only a CSR's transcript may be used in California courts. If a CSR is being retained, include in your email all of the following: their name, CSR and telephone numbers, and their individual work email address. =(302/RBU)
Preview
1 KEKER, VAN NEST & PETERS LLP JOHN W. KEKER - # 49092 2 jkeker@keker.com DAN JACKSON - # 216091 ELECTRONICALLY 3 djackson@keker.com WARREN A. BRAUNIG - # 243884 F I L E D Superior Court of California, 4 wbraunig@keker.com County of San Francisco NICHOLAS S. GOLDBERG - # 273614 5 ngoldberg@keker.com 04/29/2022 633 Battery Street Clerk of the Court BY: RONNIE OTERO 6 San Francisco, CA 94111-1809 Deputy Clerk Telephone: (415) 391-5400 7 Facsimile: (415) 397-7188 8 MARK J. HATTAM - # 173667 mhattam@sdcwa.org 9 General Counsel SAN DIEGO COUNTY WATER AUTHORITY 10 4677 Overland Avenue San Diego, CA 92123-1233 11 Telephone: (858) 522-6791 Facsimile: (858) 522-6566 12 Attorneys for Petitioner, Plaintiff, and Cross-Defendant EXEMPT FROM FILING FEES 13 SAN DIEGO COUNTY WATER AUTHORITY [GOVERNMENT CODE § 6103] 14 15 SUPERIOR COURT OF THE STATE OF CALIFORNIA 16 IN AND FOR THE COUNTY OF SAN FRANCISCO 17 SAN DIEGO COUNTY WATER Lead Case No. CPF-14-514004 18 AUTHORITY, Consolidated with Case Nos. CPF-16-515282 19 Petitioner, Plaintiff and Cross- & CPF-18-516389 Defendant, 20 EXHIBITS TO THE SAN DIEGO v. COUNTY WATER AUTHORITY’S 21 PRETRIAL BRIEF METROPOLITAN WATER DISTRICT OF 22 SOUTHERN CALIFORNIA; ALL VOLUME 3 OF 4 PERSONS INTERESTED IN THE 23 VALIDITY OF THE RATES ADOPTED BY THE METROPOLITAN WATER Dept.: 306 24 DISTRICT OF SOUTHERN CALIFORNIA Judge: Hon. Anne-Christine Massullo ON APRIL 8, 2014 TO BE EFFECTIVE 25 JANUARY 1, 2015 AND JANUARY 1, Date Filed: May 30, 2014 2016; and DOES 1-10, 26 Trial Date: May 16–27, 2022 Respondents, Defendants and 27 Cross-Complainant. 28 EXHIBITS 3 OF 4 TO TRIAL BRIEF Lead Case No. CPF-14-514004; Consolidated with CPF-16-515282 & CPF-18-516389 SDCWA San Diego County Water Authority v. Metropolitan Water District Lead Case No. CPF-14-514004 Consolidated with Case Nos. CPF-16-515282 & CPF-18-516389 Appendix of Exhibits in Support of the Water Authority’s Pretrial Brief Tab Exhibit Description 1 NA Administrative Record excerpts 2 PTX20 Letter from SDCWA to J. Foley, Chairman, MWD Board of Directors 3 PTX24 Discussions with SDCWA: A Proposal to Address SD/IID Transfer 4 PTX25 MWD memorandum re Residential Bill Impact of California Plan for Colorado River Supplies 5 PTX26 Memorandum From MWD General Manager Assistant To Board Of Directors Re Transmittal of Documents From The MWD/SDCWA Negotiation Session of Friday And Saturday, December 5 And 6, 1997 6 PTX28 Agreement for Transfer of Conserved Water by and between Imperial Irrigation District and San Diego County Water Authority. 7 PTX30 Talking Points on the MWD/SDCWA MOU 8 PTX31 Agreement Between the Metropolitan Water District of So. California And the San Diego County Water Authority for The Exchange of Water 9 PTX56 Email From Kightlinger to Thomas Re Exchange Deal Points 10 PTX57 Email from Jeffrey Kightlinger to Dennis Underwood, Brian Thomas re Getting to Yes 11 PTX62 Email From Kightlinger To Underwood Re San Diego Accepted Option 2 12 PTX63 Email And Memorandum From General Counsel To Board Members And Member Agency Managers Re QSA Update (Thomas 114) 13 PTX65 Exchange Agreement between MWD and SDCWA 14 PTX67 Allocation Agreement between MWD and SDCWA, et al. 15 PTX79 Email string between J. Matusak and B. Zimmerman s re Billing Procedures for SDCWA/IID Transfer Wheeling 16 PTX398 Email from Shane Chapman to Brian Thomas re QSA Analysis - MWD NPV 17 PTX481 Letter from D. Kennedy to C. Frahm re Suggestions Regarding Wheeling Rate and attachments 18 PTX750 Determining the Water Supply Benefits of the SDCWA Water Transfer Proposal 19 PTX751 SDCWA Memo re Direction Regarding CWA’s Exchange Proposal to MWD 20 PTX752 MWD Publication Wheeling: Gearing for the future of water marketing 21 PTX753 MWD Publication The Colorado River, Reliability Plus 22 PTX754 MWD CEO May 2003 Activity Report 23 PTX755 MWD Board Authorization from August 8, 1995 24 DTX747 MWD Board Meeting Minutes from August 10, 1998 25 DTX841 Email from Rittershaus re: Deal Points Outline with attachment 26 NA Prior Trial Transcript excerpts 27 NA Stapleton Deposition excerpts 28 NA Thomas Deposition excerpts 29 NA Order dated February 16, 2021 SDCWA San Diego County Water Authority v. Metropolitan Water District Lead Case No. CPF-14-514004 Consolidated with Case Nos. CPF-16-515282 & CPF-18-516389 Appendix of Exhibits in Support of the Water Authority’s Pretrial Brief Tab Exhibit Description 30 NA Statement of Decision (SOD I) dated April 24, 2014 31 NA Statement of Decision (SOD II) dated August 28, 2015 32 PTX756 Metropolitan Phase I Closing Brief dated January 17, 2014 33 NA SDCWA Phase I Post-Trial Brief dated January 17, 2014 34 NA SDCWA Phase II Post-Trial Brief dated May 22, 2015 35 NA Legislative History Water Code § 1810-1814 36 NA Former Water Code § 1812.5 Tab 22 PTX0754 Report dl MWD METf!OPOLITAN WATER D!STRICTOFSOUTHERN CALIFORNIA May 27, 2003 Office of the Chief Executive Officer • Chief Executive Officer's May 2003 Activity Report Summary • Colorado River Matters • Seawater Desalination • CALFED/Bay-Delta Matters • Sacramento Valley Transfers • State Water Project Joint Powers Authority • Legislative Activities • Communications/Outreach • Finandal Reporting Excellence Detailed Report The following details the activities for the Department of the Chief Executive Officer for the period following the May Board meeting : COLORADO RIVER MATTERS Quantification Settlement Agreement Work continues on conditions precedent to the execution of the proposed revised Quantification Settlement Agreement (QSA). This includes refinements to a number of agreements, further discussions on mitigation funding for Imperial Irrigation District (11D) Transfer Project, 11D's Conservation Program , and the Department of the Interior and Basin states' concerns. Representatives of the State Administration and the agencies met on May 27, 2003, with representatives of the other Basin states to further discuss the concerns of other Basin states and their analysis of the QSA and related agreements. Senator Mike Machado met with the representatives of the State Administration and the agencies on May 30,. 2003, to discuss his concerns with the proposed revised QSA and related agreements. On May 20, 2003, the IID approved a water conservation program based on a Farm Bureau proposal and a program to implement IID's 3.1 million acre-feet (maf) per year cap on its Colorado River water use. In doing so , the 11D board waived the farmers sign up requirement that 130,000 acre-feet per year (afy) of its 300,000 afy transfer project come from on-farm conservation. The program would be voluntary with no long-term farmer agreements or water allocation to the farmer. In its approval, the 11D board provided for up to 90 days to develop program guidelines and rules . There are more than ten pieces of legislation before the State Legislature that deal with various aspects of the QSA and related documents. The two major bills, SB 317 and SB 117, deal with the fully protected species issue and environmental mitigation for the San Diego County Water Authority (SDCWA) and 11D transfer. Other than SB 317 that provides for relief from fully protected species provisions, the language of most of the bills have been changed from specific to intent language so that they can proceed through the requi red committees. In so doing, the bills can be amended later. Increased interest continues in proposed Salton Sea restoration and water supply alternatives wherein up to 500,000 afy of desalted agricultural return water for transfers wou ld be generated. The Salton Sea Authority made a presentattn of such an alternative to Metropolitan's Board on May 27, 2003. J ~,Ll --;., ,\, I:: ·, • .ry r; i'1 t _ d.'- \ K . M ed ley . CSR 9557 ·e: t.f-~ 0-d--~ SDCWA2014-.2018_00039045 'f' ;._-;;- - ~ PTX0754 Board Report (Chief Executive Officer's May 2003 Activity Report) May 27, 2003 Metropolitan's staff addressed the Arizona Water Banking Authority on May 7, 2003 relative to a stored water withdrawal agreement for recovering in 2004 Metropolitan's 89,000 acre-feet (AF) of water stored in Arizona, a long-term storage agreement with Arizona, and the reinstatement of Metropolitan's Interim Surplus Guidelines Agreement with Arizona. Staffs .of the Bureau of Reclamation, 11D, and Metropolitan met on May 16, 2003 to discuss the advancement of the proposed water management reservoirs and associated facilities near the All American Canal. Canal Lining Projects Twelve proposals were received in response to the request for proposals for construction management for the Coachella Canal. A selection decision is scheduled for June 16, 2003. Parsons Water & Infrastructure Inc. has been selected as the project management and construction management contractor for the All American Canal Lining Project. A request for proposals for design work is expected to be issued in September 2003. Various proposed budget actions by the State Legislature would revert the state funding monies for the All American Canal and Coachella Canal Lining Projects and a storage and conjunctive use program to the General Fund as part of budget actions to deal with the state's budget deficit. Metropolitan's staff has continued discussions with the representatives of Interior and the San Luis Rey Indian water rights settlement parties (Settlement Parties) relative to the allocation agreement as to the assignment of conserved water from the All American Canal and Coachella Canal lining projects and a transportation agreement to transport the 16,000 afy canal conserved water allocated to the Settlement Parties. The Department of the Interior has released its Water 2025: Preventing Crisis and Conflict in the West initiative. The Water 2025 initiative sets forth a framework to identify problems, solutions, and a plan of action. The framework includes six principles to guide the addressing of problems, five realities that drive water crises, and four key tools to help proactively manage scarce water resources . SEAWATER DESALINATION Staff continues to work with the member agencies in several areas including finalizing 1.miform agreement terms and principles, development of a coordinated research plan , and formulating a consistent message regarding the need and benefits of seawater desalination. The state legislative analyst has recommended deferral of desalination project funding under Proposition 50 pending completion of the desalination task force report required by AB 2717. Since there is presently a demand for near-term funding, legislative budget staff is considering appropriation of funding in advance of the task force report. In anticipation of the potential for advanced funding, Metropolitan and the member agencies have developed project criteria for consideration as part of Senate Bill 21 (Machado). 2 SDCWA2014-2018_00039046 PTX0754 Board Report (Chief Executive Officer's May 2003 Activity Report) May 27,2003 CALFED WATER USE EFFICIENCY (WUE) ACTIVITY DURING MAY 2003 The California Bay-Delta Authority recently began the process of developing a long-term plan for financing CALFED. As part of this effort, one of its subcommittees has been asked to identify major WUE-related finance issues, develop categories and measures for classifying WUE-related costs and benefits, and to identify program beneficiaries. The WUE Program Manager also requested additional nominations for the Program's Science Review Panel. The Science Review Panel will independently review and evaluate the scientific merit of WUE Program products. CALFED CONGRESSIONAL TOURS Metropolitan staff toured various CALFED projects with U.S. Representative Ken Calvert, Chair, House Resources Subcommittee on Water and Power. The aerial tour and briefing was preparatory to mark-up of authorizing legislation for the CALFED Program. The tour attendees included Metropolitan's Washington D.C. staff; Steve Hall, Executive Director, Association of California Water Agencies; and the representative's staff. As a result of the briefing, Congressman Calvert requested a follow-up briefing on this subject for U.S. Representative Richard Pombo, Chair of the House Resources Committee. On May 26-28 staff led an inspection trip of Northern California water facilities for U.S. Representative Grace Napolitano. She also was briefed about state water issues, including ecosystem restoration and CALFED. Vice Presidents Tim Quinn and Adan Ortega also participated in the tour. SACRAMENTO VALLEY TRANSFERS Due to improved water supply conditions resulting from the second wettest April in the State Water Project (SWP) watershed on record, Metropolitan did not exercise its May 1 option to purchase 20,000 AF from Placer County Water Agency. During May, Lake Oroville flood control releases, which are anticipated to continue until mid-June, precluded storing approximately 20,000 AF of the transfer supplies. Staff continues to work with the Department of Water Resources (DWR) and U.S. Bureau of Reclamation (USBR) staff to ensure that the remaining Sacramento Valley transfer supplies can be stored in Lake Oroville to the extent feasible . Staff willkeep the Board informed of efforts to manage these transfer supplies. STATE WATER PROJECT JOINT POWERS AUTHORITY As approved by the Board in May, Metropolitan participated in the first meeting of the SWP Joint Powers Authority (JPA) on May 15. At this initial meeting , officers of the JPA's board of directors were selected as well as an Interim General Manager. Mr. Duane Georgeson has been appointed Metropolitan's alternate representative on the JPA's board of directors and on interim basis serves as Metropolitan's representative until Metropolitan's primary representative is appointed. Additionally, Metropolitan's Treasurer, Mr. Roger Marumoto, will serve as the Interim Treasurer for the JPA. To date, 13 contractors have joined and additional agencies are expected to join when their boards give approval. The first key activity is to negotiate and agree to a general services agreement with DWR. LEGISLATIVE ACTIVITIES Staff led a delegation of more than 50 CEOs and Presidents from the United Chambers of Commerce of the San Fernando Valley on their annual legislative trip to Sacramento, May 6-7. The group met with 13 state legislators to discuss various issues impacting businesses in the 3 SDCWA2014-2018_00039047 PTX0754 Board Report (Chief Executive Officer's May 2003 Activity Report) May 27, 2003 Valley, including water -- support for CALFED, preserving local funding from Prop. 50 funds, and funding for desalination research and demo projects. Staff joined VICA on its annual legislative trip to Washington, D.C. on May 3-7, where delegates met with legislators to discuss support for the CALFED reauthorization bill. On May 7-11 staff attended the National Association of Home Builders Legislative Conference and Board of Directors/Committee Meetings in Washington, DC. On Saturday, May 3, Metropolitan participate,d in a Community Water Festival in Temecula, sponsored by USBR. About 1,500 people visited the festival, which was held inside the Temecula Mall. VIP attendees included Temecula mayor pro-tern Mike Neggar and Assembly member John Benoit (R-Riverside). Metropolitan participated in a May 18 event sponsored by Women at Work, which honored Assemblywoman Carol Liu and her work with the organization. COMMUNICATIONS/OUTREACH Staff welcomed 130 high school students from 11 local high schools to discuss, debate and decide issues of water supply and water quality pertaining to Southern California's water as part of the 6th annual Water Politics Student Water Forum. Working with ten water, business and environmental experts, including keynote speaker Ed Begley Jr., the students responded with a number of reports that acknowledged the need to continue to diversify supply resources and to increase our efforts to maintain and ensure water quality standards. Metropolitan's outdoor conservation public outreach campaign reached important milestones in May. These achievements included: • More than 300 people, including actress and native plant enthusiast Rene Russo, attended the May 4 "Garden with a View" dinner at Rancho Santa Ana Botanic Garden, featuring the 43 applicants to the City Makeover Program. Attendees included eight members of Metropolitan's Board , the mayors of Azusa, Encinitas and Laguna Niguel and representatives from more than 50 local agencies and cities. • City Makeover grant recipients were announced by Chairman Phillip Pace and Rene Russo at a press conference held at Metropolitan headquarters on May 21. Among the 40-plus attendees were representatives from each of the grant recipients, program judges and local officials.Coverage of the announcement appeared in the following news outlets: Los Angeles Times, Riverside Press-Enterprise, Inland Valley Daily Bulletin, Orange County Register, North County Times, San Diego Union-Tribune, San Clemente Sun Post, KGTV (San Diego), KUSI (San Diego), and KPBS-FM (San Diego). City Makeover grant recipients are as follows: the cities of Azusa, Oceanside, Rancho Cucamonga, San Clemente and San Jacinto will each receive $75,000. Camrosa Water District, Chino Basin Water Conservation District, and the cities of Corona, La Mesa, Santa Monica and San Juan Capistrano will each receive $20,000. • Media services staff met with the Metropolitan Transit Authority to discuss opportunities to use Southern California heritage landscaping along the 14-mile landscaped bus way 4 SDCWA2014-2018_00039048 PTX0754 Board Report (Chief Executive Officer's May 2003 Activity Report) May 27, 2003 running through the southern San Fernando Valley. MTA staff is very amenable to the use of native and drought-tolerant plants and efficient irrigation, and is also willing to create a demonstration garden as part of the project. • The Los Angeles Times Magazine devoted its May 18 issue to native plant gardening and highlighted Metropolitan's campaign. The Press Office managed several regional and some national news media requests for information and interviews involving ongoing QSA negotiations. The Vice President of External Affairs and General Counsel handled the interviews. Staff administered and completed the Alvarado Intermediate School Water Fair hosted in partnership with the Three Valleys Municipal Water District. More than 1,100 middle school and feeder school students participated in 15 water-related activities, events and entertainment. State Assembly member Robert Pacheco spoke along with executives from both Three Valleys MWD and their retail agency, Rowland Water District. The Press Office issued two press releases during May and managed multiple media requests resulting from these releases. The releases were related to the District's decision to not exercise the last round of options for water transfers from the Sacramento Valley and to announce the winners of the City Makeover program. In addition, the press office proactively managed the announcement that MWD updated its report on water supplies. The effort led to articles in a few California newspapers. The May issue of the "Metrospectives" newsletter, with a main story on Metropolitan's water supply report, was produced, printed and mailed. The "California's Water from A-Z" Alphabet Books were delivered and presented. The books, created by the fourth-grade class at Bautista Creek Elementary, will be used as a memento for the upcoming groundbreaking dedication of The Center for Water Education. FINANCIAL REPORTING EXCELLENCE For the ninth consecutive year, Metropolitan was awarded the Government Finance Officers Association's Certificate of Achievement for Excellence in Financial Reporting for the FY2001/02 Annual Financial Report. Ronald R. Gastelum Date Chief Executive Officer 5 SDCWA2014-2018_00039049 PTX0754 Tab 23 PTX0755 MWD METROPOLITAN WATER DISTRICT OF SOUTHERN CALIFORNIA 8-3 August 8. 1995 To: Board of Directors (Weter Planning end Resources Committee-Action) (Finance end Insurance Committee-Information) From: General Manager Subject: Advance conversion of existing projects under the Local Projects Program to the Local Resource Program RECOMMENDATION: It is recommended that the Board of Directors: 1. Authorize the General Manager to emend existing agreements for projects under the Local Projects Program (LPP) to include terms described in this letter end detailed in Attachment A. These terms ere consistent with those included in the proposed Local Resources Program (LRP). which were detailed in the June 27. 1995 pending letter to your Board. 2. Authorize the General Manager to approve end enter into agreements with member agencies end subcgencies for LPP projects currently under review on the same terms. John R. Wodrcskc General Manager Submitted by: GLC:drs Attachments (4) LLP2LRP /BOARD SDPRA0296170 PTX0755 Board of Directors -2- August 8. 1995 EXECUTIVE SUMMARY: In July 1995. your Board requested that staff report back to you with a proposal to allow the immediate conversion of existing projects under the local Projects Program (lPP) to include terms from the proposed local Resource Program (lRP) cs detailed in Attachment A end the pending letter to your Board from the General Manager dated June 27. 1995. The proposed amendments will be available only to the 40 approved projects under the LPP. of which 37 projects have executed Joint Participation Agreements with Metropolitan and three ere in the process of final execution of Agreements. as shown in Table 1. The conversion of projects from the existing lPP to LRP is voluntary and will be accomplished through amendment of the existing Agreements. Member agencies and subcgencies may notify Metropolitan of their intent to convert to the LRP by February 2.9, 1996 and must execute amendments by December 31. 1996. All terms of the amended Agreements will be retroactive to September 1. 1995. As the 40 lPP projects have been previously approved for eligibility. it is recommended that authority be given to the General Manager to amend the existing LPP agreements to incorporate the terms described below. should the project sponsors and developers so elect. There ere seven LPP projects currently under review (as shown in Table 2). for which Metropolitan hes received completed applications cs of August 1, 1995. The General Manager hes been granted the authority by your Board to approve end enter into agreements with member agencies end subcgencies under the existing lPP. It is recommended that the General Manager be authorized to approve and enter into agreements incorporating the additional terms set forth below for the LPP projects currently under review. if the project sponsors end developers of those projects elect this alternative. The project sponsors and developers of these projects must notify Metropolitan by February 2.9.1996. whether they intend to qualify their projects under the terms and criteria of the existing LPP or the proposed lRP. Metropolitan will continue to accept and review applications for new reclamation projects. However. Metropolitan and the applicants will not initiate agreement negotiations until after your Board considers end adopts modifications to the water management programs consistent with the Integrated Resources Planning (IRP) effort (expected in November 1995). The proposed LRP, if adopted by your Board. will merge the LPP and the Groundwater Recovery Program (GRP) into one water management program. This advance amendment of existing lPP projects to incorporate LRP terms will not effect existing GRP projects or GRP projects under review. The GRP will remain unchanged until such time cs Metropolitan' s Boord of Directors adopts the LRP or other water management programs. The proposed amendments are consistent with existing policy for the Local Projects Program. which is detailed in section 4516 of the MWD Administrative Code. The differences between the proposed amendments and the existing LPP are: 1. the minimum requirement for 100 AFY of project yield for the LPP will be deleted: SDPRA0296171 PTX0755 Board of Directors -3- August 8. 1995 2. the contribution for a project will range from $0 to a maximum of $250/AF. and will be equal to the net actual cost of producing project water above the avoided cost of purchasing treated noninterruptible water from Metropolitan, plus an allowance for Metropolitan' s New Demand Charge. if applicable; 3. the contribution payment level will be adjusted annually. based on actual costs, actual Metropolitan rates. and actual yield; and 4. the terms of the amended Agreements will be 25 years less the number of years the project has received LPP contributions. As stated in item 2 above. Metropolitan's contribution will be adjusted annually based on the amount of actual "Unit Project Cost" exceeding Metropolitan' s noninterruptible treated water rate including an allowance for Metropolitan's New Demand Charge (NOC). The allowance for Metropolitan's NOC will apply when the sum of the agency's purchase of Metropolitan's water and the actual production from the project exceeds the agency's NOC base. The NOC allowance will be equal to the amortized cost of the NOC that would have been assessed. Under the amended Agreements, member agencies will receive monthly contributions based on projected yields and costs for the fiscal year. Participants must maintain production records and incurred project costs. This information will be submitted to Metropolitan annually for reconciliation of actual yields and costs for determining the annual contributions. Adjustments for over or under payments . based on actual costs and yield, will be mode as appropriate. During the past several months, staff have had extensive discussions with member agencies and local retail water suppliers regarding the existing LPP and the proposed LRP. The member agencies recognize the need to incorporate the 1995 DMP principle on local resource projects into future water supply and drought management plans. The 1995 DMP provides for adjustments for local resources -"The base allocations should be adjusted to distribute regional benefits in proportion to the regional dollars spent in the development of local resources such as reclamation." The methodology for adjusting the base allocations will be developed in Metropolitan's water supply and drought management plan and will be consistent with this principle. The water supply and drought management plan is scheduled for consideration and adoption by your Boord in November 1995. DETAILED REPORT: In July 1995, your Board requested that staff report back to you with a proposal to allow the immediate conversion of existing projects under the Local Projects Program (LPP) to include terms from the Local Resource Program (LRP) as detailed in Attachment A and the pending letter to your Board from the General Manager dated June 27, 1995. Existing Local Projects Program The objective of the Local Projects Program (LPP), which was initiated in late 1981, is to assist local agencies in the development of cost effective local water supply projects. Under the LPP. Metro olitan rovides a net ·annual financial contribution based on the amount SDPRA0296172 PTX0755 Boord of Directors -4- August 8. 199 5 of water delivered by c local project in c particular year. In February 1990. your Boord acted to establish the LPP contribution at $154/ccre-foot (AF). and recommended that the LPP contribution be reviewed and adjusted periodically. The $154/AF contribution was calculated based on Metropolitan's avoided costs to convey. treat, and distribute water. and included considerations of reliability and service area needs. Presently. the LPP includes 40 projects which are estimated to ultimately produce about 179,000 acre-feet per year (AFY) of reclaimed water (see Table 1). Thirty of these projects are in operation and receiving Metropolitan's LPP contributions. The remaining ten projects have been approved for participation by the General Manager and are under design or construction. Table 2 lists the additional seven projects that are currently under review and for which Metropolitan has received completed applications by August 1. 1995. Local Resource Program The proposed LRP is consistent with existing policy for the development of local resources as described in section 4516 of the MWD Administrative Code detailing the existing Local Projects Program. The differences between the proposed LRP and the existing LPP are: 1. the minimum requirement for 100 AFY of project yield for the LPP will be deleted; 2. the LRP contribution for a project will range from $0 to a maximum of $250/AF, and will be equal to the net actual cost of producing project water above the avoided cost of purchasing treated noninterruptible water from Metropolitan, plus an allowance for Metropolitan's New Demand Charge (as described later in this letter); 3. the LRP contribution payment level will be adjusted annually based on reported costs and water production; and 4. the terms of LRP agreements will be 25 years. As stated in item 2 above. Metropolitan' s LRP contribution will be adjusted annually based on the amount of actual "Unit Project Cost" exceeding Metropolitan' s noninterruptible treated water rote including on allowance for Metropoliton's New Demond Charge (NOC). The LRP contribution is compared to Metropoliton's treated wot~r rote because the maximum value of $250/AF of local supplies is based on the reduction of Metropolitan's costs to supply treated water to its member agencies. The allowance for the NOC is included with the treated water rate because the amount represents the avoided cost purchasing imported water to the project developers. Under current procedures in the Groundwater Recovery Program, the unit project cost is reduced by outside funding. However, based on recent discussions with member agencies and project developers, it is recommended that project costs not be discounted by altemate funding sources. This will help encourage agencies to develop innovative financing methods to fund these projects and will reward entrepreneurial efforts at the local level. Figure 1 illustrates the LRP incentive level as the difference of the actual "Unit Project Cost" and costs for purchasing Metropolitan's supplies. The allowance for Metropolitan's NOC will apply when the sum of the agency's purchase of Metropolitan's water and the actual production from the LRP project exceeds the NOC base (see Figures 2 and 3). The NOC allowance will be e ual to the amortized cost of the NOC that would have been SDPRA0296173 PTX0755 Board of Directors -5- August 8. 1995 assessed. The NOC allowance will apply at the member agency level when the LRP Agreement is between Metropolitan and the member agency. If the LRP Agreement is a three party agreement among Metropolitan, a member agen