Title:
Title
Agreements: Cost Sharing Fiscal Year 2019/20 Sacramento City-County Office of Metropolitan Water Planning
End
FileID
File ID: 2019-00616
Location
Location: Citywide
Recommendation:
Recommendation
Pass a Motion authorizing the City Manager or the City Manager’s designee to execute: 1) an interagency cost share agreement for the Water Forum Successor Effort portion of the CCOMWP budget, with the County of Sacramento, City of Roseville, City of Folsom, Placer County Water Agency, and the San Juan Water District; and 2) an interagency cost share agreement for the Habitat Management Element portion of the CCOMWP budget with the County of Sacramento.
Contact: Tom Gohring, Executive Director (916) 808-1998, Citywide and Community Support, Sacramento City-County Office of Metropolitan Water Planning
Body
Presenter: None
Attachments:
1-Description/Analysis
2-Agreement Multiple Agencies
3-Agreement County of Sacramento
Description/Analysis
Issue Detail: Under the current Interagency Agreement (C2001-005) governing operations of the Sacramento City-County Office of Metropolitan Water Planning (CCOMWP), funding for the Water Forum Successor Effort (WFSE) and Habitat Management Element (HME) is provided by water suppliers who are signatories to the Water Forum Agreement (WFA).
Policy Considerations: The WFA (C1999-222) approved in FY1999/00, includes a mechanism for a WFSE to ensure actual implementation of the Agreement over the next three decades. The WFSE is being administered under the auspices of the CCOMWP. The WFSE continues the interest-based collaborative process successfully used to develop the WFA.
Economic Impacts: None.
Environmental Considerations:
California Environmental Quality Act (CEQA): Continuing administrative activities and government fiscal activities do not constitute a project and are therefore exempt from CEQA review [CEQA Guidelines § 15378(b)(2) and (b)(4)].
Sustainability: Approval of the FY2019/20 WFSE and HME Cost Share Agreements is consistent with the City of Sacramento’s General Plan Goals.
Environmental Resource Goal .1.1 - Water Quality Protection is supported by the first co-equal objective of the Water Forum Agreement “To provide a reliable water supply for planned development to the year 2030.”
Environmental Resource Goal .1.1.1.- Conservation of Open Space Areas is promoted by the second co-equal objective of the Water Forum Agreement “To preserve the fishery, wildlife, recreational, and aesthetic values of the lower American River.”
Commission/Committee Action: The proposed cost share breakdown was approved by the Water Forum Coordinating Committee on March 28, 2019, and by the Water Forum Plenary on April 11, 2019.
Rationale for Recommendation: Approval of the FY2019/20 Cost Share Agreements will support the continuing activities of the WFSE and HME consistent with the Water Forum Agreement.
Financial Considerations: Shared funding amounts for the WFSE are based primarily on the number of water connections served by each entity. There are two exceptions to this arrangement:
(1) The Sacramento Municipal Utility District (SMUD) initially contributed $10,000; this contribution is adjusted annually for inflation as set by the “Engineering News Record” published Construction Cost Index (CCI) for US - 20 Cities Average and for the San Francisco Bay Area per the WFA (page 87). The annual adjustment is calculated using the average for these two areas, currently 2%. SMUD renews its cost share agreement every five years; the current cost share agreement (C2013-0588) expires on June 30, 2023.
(2) The El Dorado County Water Agency (EDCWA) makes annual contributions based on a flat 1% of the total projected WFSE budget. The EDCWA renews its cost share agreement once every three years. Their current cost share agreement (C2017-0740) expires on June 30, 2020.
The WFA describes the cost-sharing process among the water purveyors for the HME on pages 86-87. Contributions by the City and County of Sacramento were initially set annually at $125,000 and $250,000, respectively. These contributions are adjusted each year for inflation as described above.
Other purveyors with contracts for Central Valley Project water agreed to contribute to the HME in those years when they divert non-CVP water above their baseline. The potential value of these contributions is unknown at the time budgets are prepared and are not included in the projection.
Sufficient funds are available for the City’s total cost share offset of $492,557. These City funds are included in the FY2019/20 Department of Utilities Water Fund (6005) budget. The City’s contribution will provide $275,720 for WFSE services and programs in Fund 7103 and $216,837 for HME services and programs in Fund 7104 as program support transfers.
Local Business Enterprise (LBE): Not applicable.
Background: In the fall of 1991, the City Council and Board of Supervisors authorized the establishment of an independent Sacramento City-County Office of Metropolitan Water Planning (CCOMWP) and approved the Interagency Agreement (C1991-203) among the City of Sacramento, County of Sacramento, and Sacramento County Water Agency for the new entity. The Second Interagency Agreement (C2001-005) was approved by all three agencies on January 9, 2001.
The CCOMWP is responsible for staffing, administering, and coordinating the Water Forum. Until January 1, 1998, the CCOMWP was financially supported by a 50/50 split by the City’s Water Fund and the County’s Water Agency (Zone 13).
Since January 1, 1998, a number of local government entities (including the City of Sacramento) agreed to cost-share the tasks that needed to be completed prior to implementation of the Water Forum Agreement.
The Water Forum Agreement (C1999-222) approved in FY1999/00 includes a mechanism for a Water Forum Successor Effort (WFSE) to ensure actual implementation of the Agreement over the next three decades
The WFSE is being administered under the auspices of the CCOMWP. The WFSE continues the interest-based collaborative process successfully used to develop the Water Forum Agreement.