For Utilities Commission Meeting [October 20, 2020]
TO: Honorable Chairperson and Commission
APPROVAL: Thomas J. Crowley, P.E., Utilities Manager
Title
Recommend City Council/Rialto Utility Authority Approval of the Rialto Basin Groundwater Council Framework Agreement.
(ACTION)
Body
BACKGROUND:
Pursuant to the Settlement Agreement in the lawsuit against Fontana Union Water Company (FUWC) et al by Valley District, City of Rialto, City of Colton, and West Valley, the latter four entities and Fontana Union Water Company are required to form a Groundwater Council to promote sustainable groundwater management for the Rialto Basin.
ANALYSIS/DISCUSSION:
Over the last year, management and counsel for the four entities that will form the Groundwater Council, developed the attached proposed Framework Agreement for the Rialto Basin Groundwater Council (RBGC). It should be noted that Valley District commented on the proposed Agreement but will NOT be a party to it. A summary of the key provisions follows:
SECTION 3 - COUNCIL CREATION AND PURPOSE
• The purpose of the Agreement and the reason behind the creation of the RBGC, is to provide for the funding, integration, and coordination of the management of native and imported water and associated groundwater replenishment facilities within the Rialto Basin. (Sec. 3.2)
• The RBGC shall consist of one representative and one alternate from each Party. (Sec. 3.3)
• For Colton, Rialto and WVWD, the representative member of the RGBC shall be a publicly-elected official of the Party and for FUWC the representative shall be a member of its Board of Directors. The same criteria applies to the alternate member. (Sec. 3.4)
SECTION 4 - COUNCIL MEETINGS AND ACTIONS
• At the initial meeting, the RBGC shall select officers, specifically someone to serve as President and chair its meetings, a Vice President to serve if the President is unavailable, and a Secretary to record RBGC proceedings and actions. (Sec. 4.1)
• The Parties agree that the RBGC and its Board of Directors is and shall be subject to the Ralph M. Brown Act (California Government Code section 54953 et seq.,) (“Brown Act”) and that meetings and other applicable operations of the RBGC will be undertaken in compliance with the Brown Act. (Sec. 4.2)
• A quorum of the RBGC shall consist of three members. (Sec. 4.3)
• Each member of the RBGC shall have an equal voting right and three votes are required to pass any proposals for organizational, procedural, and administrative purposes only. (Sec. 4.4)
• For fiscal items, it will require the unanimous vote of the members and the subsequent approval by their respective governing boards or councils. (Sec. 4.4.1)
• Minutes shall be kept of all meetings of the RBGC and any appointed Ad Hoc or Standing Committees. (Sec. 4.5)
SECTION 5 - ANNUAL BUDGETING AND EXPENDITURE APPROVAL
• The fiscal year of the RBGC shall be July 1 through June 30. The RBGC shall develop, circulate, and approve an annual budget for the funding of native supply capture and bringing water supply to the Rialto Basin, and for the maintenance and repair of groundwater recharge or water conveyance facilities serving replenishment of the Rialto Basin. (Sec. 5.1)
• The RBGC shall appoint an entity that is responsible for the accounting and revenue collection functions of the RBGC. (Sec. 5.2)
• The RBGC shall prepare a budget review at midyear of each fiscal year. (Sec. 5.3)
SECTION 6 - COUNCIL POWERS AND DUTIES
• RBGC shall prepare an Annual Rialto Basin Groundwater Report, using as may be appropriate data regarding groundwater conditions available. The Annual Report shall include data showing each Party’s production from and recharge or replenishment to the Rialto Basin. (Sec. 6.1.2)
• RBGC may establish as-needed Ad Hoc and Standing Committees for the purpose of making recommendations to the RBGC Board. (Sec. 6.1.5)
• RBGC may contract for the services of engineers, attorneys, planners, financial consultants, and separate and apart therefrom, to appoint agents and representatives to employ such other staff persons as necessary. (Sec. 6.1.6)
SECTION 7 - FUNDING RBGC ACTIVITIES
• Funding for RBGC activities shall be provided equally by the Parties for each applicable RBGC budget year. (Sec. 7.1)
SECTION 9 - RELATIONSHIP TO WATER RIGHTS AND PRIOR AGREEMENTS
• Nothing in this Agreement is intended to modify the rights of the Parties under the terms of the 1961 Decree; however, FUWC’s production capacities of 5,014 acre-feet/year from No Man’s Land shall be acknowledged and incorporated into the Rialto Basin production capacity limits in the 1961 decree. (Sec. 9.1 and 9.3)
All the changes that were requested by the City Council and Water Subcommittee have been incorporated in the final document and representatives for the four parties have begun their processes to obtain approval of the Agreement from their various governing bodies.
FINANCIAL IMPACT:
At this time, the financial impact to execute the Agreement and participate in the Groundwater Council is limited to staff time. If any future activity associated with the Groundwater Council is expected to result in a financial impact, it would be brought back to the Commission and the City Council for approval.
RECOMMENDATION:
Staff is requesting to present the Formation Agreement to the Utility Commission for a recommendation and the City Council/Rialto Utility Authority for approval.