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HomeMy WebLinkAbout1981-09-08; City Council; 6737; Calavera Hills treatment plant1 Clf IF CARLSBAD c- * - AGEND,, .. 31LL A DEPT. HD. CITY ATTY IEPT. (3!l I I CITY MG R. RECOMMENDED ACTION: Adopt Resolution No.(D,$b3 approving agreement with Lake Calavera Hills Associates (LCHA) which provides for: 1) transfer of treatment plant to city; 2) $2.9 million credit to LCHA for future sewer connection fees: 3) lifting sewer moratorium in Calavera Hills. BACKGROUND: On December 26, 1979 City entered into agreement with LCHA for con- struction of a 1.2 mgd waste water treatment plant. The agreement provides that LCHA will build a 500,000 mgd plant to serve its needs (2704 EDU) and oversize that plant by 700,000 mgd (3625 EDU) to provide capacity for others. The agreement further provides that upon completion and acceptance of the plant, the City will take over operation and maintenance. In addition, City agrees to reimburse LCHA for the cost of oversizing the plant. Reimbursements will be paid from connection fees which will be collected from sewer hookups in the Lake Calavera Hills area. The plant was scheduled to be built in two phases: Phase I - treat- ment plant, force main, effluent disposal line; Phase I1 - water reclamation facility. CURRENT SITUATION Phase I was substantially complete in January, 1981 except for the construction of an effluent disposal line (EDL) from Calavera Hills to Encina. Completion of the EDL has been complicated by the following: 1) LCHA has been unable to obtain easements between El Camino 2) An archaelogical site has been located along the EDL align- 3) Construction interest charges on the project are accumulating 4) The LCH treatment plant is not currently needed due to the Real and Palomar Airport Road. ment which requires environmental review. at the rate of $1,200 daily. fact that Encina JAC continues to have unused and projected capacity to support construction growth rates. It was therefore, felt that completion of the LCHA plant could be deferred to a later date if a satisfactory settlement could be reached. On April 8, 1981, LCHA wrote to the City Manager proposing a settlement. Negotiations have been underway since that time to work out terms which would be fair to both sides. AB# 6731 MTG. 9-8-81 Page 2 The proposal now before the City Council contains the following conditions: New agreement to be effective October 1, 1981. Existing agreement (12/29/79) to be cancelled. City to receive title to all land, pipelines and facilities constructed to date. City to agree to finish the LCHA plant. LCHA to retain right to finish the EDL if City does not complete. City to give LCHA $2.9 million credit toward future sewer connection fees in Calavera Hills (PDP-2). The first 1,000 EDU's in Calavera Hills to be charged $1,000 per EDU. Connection fees for units beyond the first 1,000 to be the "going rate" set by City Council. Sewer moratorium to be lifted in Calavera Hills. FISCAL IMPACT: Under the 1979 agreement, City has no obligation to spend any money. All costs are the responsibility of LCHA. Upon completion and acceptance of the plant, City will collect connection fees from 3625 EDU's and reimburse LCHA over a 20 year period. Under the proposed settlement agreement, City assumes obligation to complete the plant at an estimated cost of $2 million. will collect and retain connection fees from 3625 EDU's - current value $3.6 million. These connection revenues will be placed in the Sewer Construction Fund and used to finance sewer and water reclamation projects as needed. $2.9 million credit .granted LCHA represents the actual expenditure to September 30, 1981. Of that total $2,604,423 was verified by a special audit conducted by Conrad & Associates as of June 30, 1981. To the audited amount was added the following: City Lowry Consulting Fee Land Construction interest 6/30/81 to 9/30/81 Accrued interest effluent direct line, force main and lift station installation Maintenance 6/30/81 to 9/30/81 Site grading adjustment Total added 6/30/81 Audit Total credit $ 5,733 121,470 96,894 18,716 3,556 9,159 $ 255,528 $2,604,423 $2,859,951 AB# L737 MTG. 9-8-81 Page 3 ANALY S IS Favorable action by Council will stop the escalation of interest charges which now amounts to $32,000 monthly. The City assumes a risk and liability to complete the plant but also gains control of the project and can integrate the Calavera Hills construction program into the total city sewer program. In 1979 the situation was different from today. We then had a sewer moratorium, 10% interest rates, a high demand for new housing. Today we do not need the Calavera Hills plant for sewer capacity and the reclaimed water program is not economically feasible. In the future as development occurs and the economic situation changes, the City Council can complete the plant and put it into service as needed. EXHIBITS A. New LCH Sewer Agreement - 9/1/81 B. Agreement to Construct - 12/26/79 C. Resolution No. 5871, LCH-PDP-2 - 8/9/79 D. Audit Report - 7/24/81 E. Project Description I .. MEMORANDUM DATE : September 1, 1981 TO: City Council FROM : City Attorney SUBJECT: . NEW LCH SEWER AGREEMENT At the request of the City Manager we have prepared a draft of a , new agreement between the City and Lake Calavera Hills. is attached. It incorporates the nine points of the "investment credit-walk away" alternative set out in the City Manager's letter to Roy Ward of August 6, 1981, which was authorized by the Council Ad Hoc Sewer Committee as modified by the City Manager's memorandum of August 27, 1981. Copies are attached for your ready reference. will get the draft to Mr. Ward and his attorney for comment as soon as possible. A copy The City Manager has indicated he -. - VINCENT F. :BIONDO, JR. City Attorney VFB/mla Attachment cc: City Manager AUGUST 27, i98i TO : CITY ATTORNEY/ ROY WARD MAYOR PACKARD CITY COUNCIL FROM: City Manager LAKE CALAVERA HILLS AGREEMENT At a meeting with Roy Ward, August 27, 1981, to discuss Lake Calavera Hills draft of settlement agreement, a,greed to following items: 1. Section 7 - Tamarack R/W LCH will agree to pursue condemnation for Tamarack in order to provide sewer line right of way. City Manager agreed to place on Council agenda LCH request for reimbursement for Tamarack Avenue right of way and construction. I 2. Section 10 - Completion of EDL Delete any date (September 1, 1984). LCH retain option . to finish EDL at any time. 3. Section 11 - Outfall Capacity Delete section entirely. 4. Audited Cost 6/30/81 Agreed to a total cost of $2,731,626. Audit accepted Plus Lowry consulting Plus land Approved cost 6/30/81 $2,604,423 5,733 121,470 $2,731,626 5. LCH will submit actual costs from 6/30/81 to 9/30/81 which will be added to the approved cost. 6. City Attorney will provide new draft of agreement to Attorney Lou Goebel on August 31, 1981. 7. Signed settlement agreement will be on Council agenda September 8, 1981. If any problems develop, matter will be referred to Council committee to negotiate and continued to Council meeting of September' 22 or 29. *NK ALESHIRE City Manager (2) FA: ldg 1200 ELI4 AVENUE CARLSBAD, CALIFORNIA 92008 August 6# 1981 ROY J, ~iad, General partner' 1209 Elm Avenue, Suite D Carlsbad, CA 92008 LAKE CALAVEM HILLS t At our rnaetinq sf July 39 I 1983 ysti acke3 that the City reply in writing to yo& propoial OE ~u1.y-10, 1981 suggsstirig ve rtovate the agreement between the City of CarXsbed an6 Lakc? Cslavera Hills Agssciates for construction a2 a 1*2 milaion gallcrn capacity sewage treatment and waotemtcr K~c~~RI~;.~~cII-I facility, For Peasoips which we think were Radc deal: to you at our July 31, 1981 meeting, the City Council Committee art8 TFQ' ~,fCice mn.13~3 recommend rejection of that propgszl, Your proposal. would require the City to a5surne Lake Callsvel-a Ilill.st rerrritining obligz- tions under the contract, which ue ctst.i.mate at $2 million; it would return to LCPI the full benefit of the original bargain; plus give %a LCB a combination of f~rcx: connections and reiirh~irse- ment. substantially in excess of your expenditures to date, -. * In our opinion the original July IO, 09Et proposal diiT not: form the basis €or any meaningful discussion, Ilcmevert Lhe cbarificra- tions which you offered at our July 31, 1981 meeting did provide the basis for a continuing dialogue, The two wmst ingmrtant clarifications were: 1. You offered that while Lake Calav.crn nillst 2,704 sewer connections did not involve the pzymcnt- of a conncction fee for capacity, LCH Would agree to pay a sewer connection Pce to cover the ocean outfall , transmission zinc3 pumpirig systems replacement, and Lake Calavera IIiJ.lsu fair share of water reclamation, in a total amount presently astimated at ap,prox- imately $300 per EDU. '. Roy J. Ward August 6, 1981 Page 2 2, That ECB was not asking the City to RgLta,rantee* the availability of sewer but, ratherp was asking the City ta reserve capacity for LCR in the Lake: Cslavora Bills plant when it became aoailablc. While we recognize the elarkfiad prapcrsiil jk en httempt st z more balanced resolution of the situatisn, ft is still. not something that the City Council Cornittea or my cdfica is prsptred to recomertd , It still requires the Cr'..ty tra assunto substantial construction and financing abligations for the CQrrrpbetion of the facility while returning to LCH, in conncctiorr Pees a& reim- bursements, funds in excess of your investrrtmt: to date in the plant, Howeverp we are prepared to of€er two ~ltcrnztivc sc?futions to the problem, One element cornon to L~J~I~I both is an agreemerit tcr relieve ECH from its obligations to construct the water reclama- tion portion of the system (Phase 11)- The City would propose to treat water reclamation as part of a ci. ty-wiii;e integrattrci system, When and if the City detepmines it is necessary to add water reclakatian capacity at the Lake Calavera Hills plant it wot:lcl he financed on a city-wide basis as a part: of tts overall program, . This change would. relieve LCB of appruxirmtely F;$QO,OOQ of its current obligations, ALTERNATIVE--COMPLETE EBL - In addition to agreeing to delete BhE:se I'd, the first alternative involves a minimum of change to the existing zgreemcnt, The proposal is as follows: 1, Delete LCAPs obligation to complete Phase 11, 2, Continue the provisions of the existing agreement except as modified by this proposal, .. . 3, The City will accept the facilities constructed by LCII to date, Construction interest on the funds used to construct those facilities to cease. 4, LCH will promptly and expeditiously complete construction of the EDL line. The City will assist LCH in any necessary condemnation of the right-of-way f.or the EDL line,. .* c', Roy J. Ward August 6, 1981 Page 3 5. A mutually agreeable estimated completion date will be estah- lished for the EDL line. Construction interest on t-ha funds necessary to build the EDL line will. cease its of the &greed estimated completion date. This alternative has the advantage of giving LCED the benofits of its bargain under the terms of the original Sgrearnent r;r& ensures to the City and LCH that capacity in the CaXaveta nills pbnnt: will be available since the City will receive a fully functioning sewer plant. ALTEB~BTIVE--f~ESTMENT CREDIT The the lk a. 3. 4. 5. 6. SCXOR~ alternative, which would inniediately get LCEl QU~: of sewer businesss has the f~lllo~i~~g principal points: LCH's and City Os obligations UAC?~~ the existing agseerrrcnt wou1.d. be terminated except for the applicable warranties, etc. bnership of the plansp land and facilities constructcd or acquired to date would be transferred to the ,City, The City would undertake to.complete the project uruOor the same terms and conditions as any other City capital iriiprove- ment as dictated by the needs oE the City and availwblc financing The City would establish on behalE of LCII a credit in 8.n amount equal to the audited and agreed costs incurred try LCR in constructing the plant to date, This credl.t could be applied by LCH to sewer connection fees for developr~w-~t: within the LCR master plan arez, The City would agree that the conneeti.on fee for each e)€ the first 1,000 EDU's would be $1,000. The fee for EDU's i.rr excess af 1,000 would be the "going rate", The City would agree to reserve treatment capacity for 2,704 EDUss in the Lake Calavera Hills plant For LCH. The parties recognize that such capacity could not be made available or used until the EDL line is constructed. The timing oi: that construction would be at the discretion of the City. ,I . * Roy J, Ward August 6, 1981 Page 4 7. 0. 9. Xm the interim the City will make capacityat the Encina Treatment Plant available to LCE on tho same basis as other properties in the City. LCH is subject to the limitations 61: the existing transmis- sion system. Any Encina EDO's wi9-1, be dedueted from the 2,704 reserved for LCH in the LCH pLc?nt,- The City's reservation of capacity is the LCH plant: docs imi; constitute a quarantee that sewzge treztment will in fact Le available to serve any partisullzr part of the development The avaj.lahility of this capacity to ECH to finish the condemnation case far the Tanzirnck right- oE-way, Costs ~OP the reversible force main attuilutabla to the sewer plant to be included in the LCfi credit, This alternative is a RwaPk aways allernativcf, LCC vould rcxxiua credit equal ta its current investment, me City would ~SSUMC responsibility for the eonstructkon ard financing of the babaizce of the project, relieving LCR of apprsximPtely $2 rnilli.on in obligations. Implicit in this alternative is the recognition that $he City Council will make Erscinca capacity avni3ablc to tlie Lake Calavera Wills basin on the Sa;ite term as prescrstby applfcs; in the Eneina and Palomar basins -- that is on a first comec first served basis. Of courseo the devqloFers in the area uou'ld have the responsibility of constructing transmission niid purrlpj ng systems needed. I personally think this alternative has a great deal to recoxtrmnd necessary to go through the agony of est=fmit.ing the cost of a -5 plant and the other matters which have proved so difi5cult to resolve. We would appreciate your reply to our two alternative proyx,sal.s as soon as possible. . it. If this alternative is approved, 5-t would no loncfer be FRANK ALESHIRE City Manager FA/mla cc: City Council Sewer Committee , City Attorney AGREEMENT - DRAFT: 9/1/81 This Agreement is made and entered into at Carlsbad, California, this day of September, 1981, by and between City of Carlsbad, California, a municipal corporation (hereinafter referred to as "City") , and Lake Calavera Hills Associates, a California partnership (hereinafter referred to as "Developer" ) . RE C I TALS: A. City and Developer have previously entered into a certain agreement, dated December 26, 1979, and entitled "Agreement Between City of Carlsbad, California and Lake Calavera Hills Associates for Construction of a 1.2 Million Gallon Capacity Sewage Treatment and Waste Water Reclamation Facility and Necessary Appurtenances and to Provide for the Financing and Reimbursement for Costs of Oversizing Thereof". Developer has undertaken performance under said 5 B. agreement and has expended substantial sums of money in excess of $2,000,000 in furtherance of the agreement. C. Developer has completed construction of the sewage treatment facility and portions of the effluent disposal line and those facilities are ready for delivery to and acceptance by the City. D. By reason of certain intervening considerations, the parties now agree that it is not in the best interests of either the City or Developer to attempt to complete the agreement in accordance with its terms. E. The parties desire to effect a novation of the original agreement and enter into a new agreementtto establish their rights and obligations. F. The parties intend by this new agreement to transfer all completed facilities to the City, with Developer receiving appropriate credit for expenditures previously made and appropriate reservations of sewage treatment capacity in those facilities. NOW, THEREFORE, in consideration of the recitals and of 7. - the mutual obligations of the parties established by this *agreement, City and Developer agree as follows: SECTION i : DEFINITIONS A. "Acceptance": A formal action by the City accepting any offer of dedication of the sewage treatment facility or any portion thereof. Acceptance shall not constitute a waiver of defects by City. B. *'Agreement** : This agreement, being a new agreement in the place and stead of the original agreement dated December 26, 1979. C. "EDU": - EDU is an abbreviation of Equivalent Dwelling Unit and is an approximation of that amount of sewage which is discharged daily by an average residential dwelling unit. D. "EDL Line": EDL line is synonymous with the term "fail-safe line" used in the original agreement and means any effluent or excess effluent disposal line which would carry . effluent from the project to the ocean outfall. E. "Master Plan AKea or Calavera Hills": Master plan area or Calavera Hills shall include all areas defined in the Lake Calavera Hills Master Plan (MP-l5O(A)) on file with the 'City and incorporated herein by reference. F, "MGD" - : Plant capacity expressed' in millions of gallons per day. G, "Original Agreement" : That certain original _. agreement between the parties hereto, dated December 26, 1979, which agreement is novated and replaced by this agreement. SECTION 2: _NOVATION OF ORIGINAL AGREEMENT That certain agreement between the parties dated December 26, 1979, "the Original Agreement", is hereby superseded and extinquished and this agreement shall establish and control the rights and obligations of the parties - in its place and stead. SECTION 3: RELEASE FROM MORATORIA Upon the execution of this agreement by the parties and . the delivery of the completed facilities to City, the City shall 3. '. promptly undertake the steps necessary to remove the lands of Developer within the Master Plan Area from the Planning moratoria imposed by Chapter 21.49 of the Carlsbad Municipal Code. will immediately make available to Developer and Developer's successors in interest sewage treatment capacity at the Encina Treatment Plant on the same basis as any other prdperty owners City in the City's sewer service area. capacity is subject to the limitations of the existing system for The availability of this the transmission of sewage to the Encina Plant. SECTION 4: DELIVERY OF COMPLETED FACILITIES Upon execution of this agreement by the parties, Developer shall deliver to and offer to dedicate to City all plans, land, rights-of-way, completed facilities, and Developer's interests in the San Marcos Outfall Pipeline (hereinafter . *"Completed Facilities") The Completed .Facilities are described on Exhibit "Att, attached hereto and made a part hereof by this reference. Developer will transfer all rights, title and interest in the Completed Facilities to City free and clear of all liens and encumbrances, subject only to any rights expressly re served he re in SECTION 5: WARRANTY Developer shall fully guaranty and warrant all work on the Completed Facilities for a period of one year from the date of this agreement. If within said warranty period any structure or part of any structure furnished, installed, or constructed, or caused to be installed or constructed by Developer, or any of the work related to the Completed Facilities, fails to fulfill any of the requirements of the plans and specifications referred to in the Original Agreement, Developer shall without delay and without any cost to City, repair, replace, or reconstruct any defective or otherwise unsatisfactory part or parts of the work or structure. Developer will be notified in writing of any deficiencies which must be corrected, but failure on the part of City to notify Developer shall not affect any of City's rights under this provision. Developer shall commence repair of any defect or deficiency within ten working days after notification by City. The repairs shall be completed expeditiously and within a reasonable period of time. If Developer fails to commence or -. complete repairs within these time limits, City may undertake and is hereby authorized by Developer to make, at City's option, the repairs and assess the cost to Developer. Repairs pursuant to this warranty shall be at the cost of Developer and no credit shall be given therefor. .. SECTION 6: RELEASE FROM FURTHER OBLIGATIONS UNDER ORIGINAL AGREEMENT * Except as expressly provided herein, Developer shall have no further obligations under the Original Agreement and, in 5. particular, shall have no obligation to complete the EDL Line nor the water reclamation facilities; provided, however, that this release shall not release Developer from liability for fees or charges, if any, for water reclamation facilities which are uniformly applied to all property owners within the City or within the drainage basin. SECTION 7: COMPLETION OF TAMARACK AVENUE RIGHT-OF-WAY ACOUISITION AND IMPROVEMENT -~ ~ Anything contained herein to the contrary notwithstanding, Developer shall remain responsible for completing the acquisition of Tamarack Avenue .right-of-way as shown on Exhibit "B" attached hereto and made a part hereof by this reference, and for the improvement of same. - Developer's claim for reimbursement from other property owners adjoining Tamarack Avenue shall be presented to the City Council to be resolved by them and their decision shall be final. That matter is not a part of this agreement. SECTION 8: CREDIT FOR PAST EXPENDITURES In consideration of the construction and transfer of the Completed Facilities, Developer shall receive a credit with City in an amount equal to the audited and agrged upon costs incurred by Developer to date, including construction interest, in completing the facilities, in an amount of $ . This credit will be available to be drawn upon by Developer to pay sewer connection fees for development within the Master Plan Area. 6. (12) SECTION 9: CONNECTION FEES The City agrees that the sewer connection fee for up to a total of 1,000 EDU's of capacity for any development on property within the Master Plan Area owned by Pacific Scene, Inc. shall be $1,000 per EDU. Developer's credit balance in the amount of $1,000,000, to be drawn upon by Pacific Scene, Inc. or their successors in interest, to pay sewer connection fees. The sewer connection fee for other developments on property in the Master Plan Area shall be the fee generally applicable to development of the same type elsewhere in the City's sewer service area. City will assign a portion of . SECTION 10: SUCCESSORS AND ASSIGNS The covenants and agreements contained in this agreement will be binding upon and insure to the benefit of City and its successors and assigns, and Developer and its successors and assigns; provided, however, Developer shall not convey, assign or otherwise transfer its rights or obligations hereunder without the prior written consent of the City. SECTION 11: ASSIGNMENT OF CREDIT In the event Developer sells portions of the property within the Master Plan Area to other parties who become the 7. deve'lopers thereof, the credits available pursuant to this agreement may be assigned by Developer to satisfy the obligations of such developments for the payment of sewer connection fees. Such assignment shali be in writing to the City indicating the amount of such credit to be made available. No assignment shall be made without prior written approval of City. Ci.ty reserves the right to limit the assignments so as not to be required to account for multiple assignees under circumstances which may create an administrative burden for City. SECTION 12: RESERVATION OF CAPACITY IN LCH SEWAGE TREATMENT PLANT City shall reserve sewage treatment capacity in the Lake Calavera Hills Sewage Treatment Plant for Developer to the extent of 2,704 EDU's. The parties understand that this facility will not be available for use until the EDL line is completed in its entirety. This reservation of capacity in the LCH Plant does not constitute a guaranty that.sewage treatment will in fact be available to serve the Master Plan Area. Any connections made from development in the Master Plan Area to the Encina Treatment Plant will be deducted from the 2,704 EDU's reserved for Developer at the Lake Calavera Hills Plant. 0. Capacity reserved for Developer shall not be used for any development other than development within the Master Plan Area. SECTION 13: DEVELOPMENT SUBJECT TO ORDINANCES Nothing in this agreement shall exempt Developer from any local building or zoning ordinances. Developer shall be subject to any existing or Tuture zoning, building or other laws established or adopted by City to regulate the location, quality, quantity, pace or other aspects of development in City. Developer shall also be subject to all general plan requirements of the City, including any proposals adopted to implement any element of the general plan and to the Lake Calavera Hills Master Plan conditions. SEC'IION 14: COMPLETION OF EDL LINE The timing of the construction.by the City of the EDL line shall be at the discretion of the City. The City contemplates undertaking to complete the line under the same terms and conditions as any other City capital improvement project as dictated by the'needs of the City and available financing . SECTION 15: DEVELOPER'S OPTION TO COMPLETE EDL LINE A. Developer's Option: If the City determines that sewer service is not available to the Master Plan Area and it becomes necessary for 9. (15) Developer to use the capacity reserved in the Lake Calavera Hills Plant to serve such area and if the City is not prepared to construct the EDL line, Developer shall have the option, subject to the terms of this section, to complete or cause to be completed the EDL line. Developer shall notify City in writing of his intention to elect to exercise this option and secure the consent of City before proceeding. The actual cost of completing the EDL line will be added to Developer's credit with the City. B. Cost Estimate: No later than the time of submission'of the plans and specifications, Developer shall submit a detailed itemized cost estimate for the EDL line and an estimated completion date. City shall act upon the cost estimate ana completion date no later . than thirty days after submission of such estimate in a complete and approvable form. Upon approval of such estimate and date by the City, they shall become a part of this agreement. C. Actual Cost To Build The EDL Line: Actual cost to build the EDL line shall mean the sum total dollar cost of actual expenditures for construction including, but not limited to, labor, materials, plan checking, 10. engineering, surveying, design, interest during the construction period of the EDL line on borrowed funds necessary for the actual construction of the EDL line, fees for applicable permits, costs attributable to land, rights-of-way or other interests in real property necessary for the EDL line not to exceed the fair market value at the time of acquisition or acceptance ofrthe EDL line, whichever is less, and other costs necessary for the construction in a good workmanlike manner in accordance with the plans and specifications, but not including any preliminary reports, studies, attorney's fees or other such charges. Actual costs to build the EDL line shall be documented to the satisfaction of the City and shall be approved by the City Council. -a* D. Cost Limitation: The actual cost to build the EDL line shall not exceed the estimates as approved pursuant to Section 15(B) above. Any difference between actual costs and the estimates shall be absorbed by Developer and shall be disregarded for purposes of the credit. Notwithstanding the fact that construction may extend past the estimated completion date, construction interest accruing after that date shall not be included as part of the actual costs and shall be disregarded for purposes of the credit. 11. E. Risk of Development Prior to Approval of Developer: City shall have no obligation to give Developer any credit until the cost estimates required by Section 15(B) are approved by City. Developer shall bear the full risk of any loss occasioned to Developer because it commenced construction prior to approval of the estimates. Developer shall receive no credit and'shall have no recourse against the City for any loss I occasioned to Developer because the estimates were not approved or the agreement was otherwise terminated by Developer prior to completion and acceptance of the project by the City. F. Cost Monitoring: In addition to the rights stated elsewhere in this agreement, City shall have the right to monitor all costs for the project. Developer shall provide City with all receipts, invoices, bills or other information requested by City to aid in the cost monitoring. G. Construction Agreement: If Developer exercises his option and undertakes to complete the EDL line, the following provisions of the Original Agreement shall apply and shall become part of this agreement: SECTION 2: DEVELOPER'S OBLIGATIONS A. Construct. C. Dedication. D. Warranty . E. Acquisition of rights-of-way. 12. F. Permits. G. Inspection. H. Compliance with laws. I. Compliance with the Precise Development Plan. J. Other responsibilities prior to acceptance. SECTION 4: CITY'S OBLIGATIONS AND RIGHTS B. Acceptance. C. Inspect ion.. D. Cooperation. SECTION 8: GENERAL CONSTRUCTION SECTION 16: SUBJECT TO FEES Developer and the Master Plan Area are subject to all City fees of general application including, but not limited to, sewer connection, sewer service, line extension, pumping plant and water reclamation, on the same basis as other similarly situated properties within the City's sewer service area, except that Developer may draw upon his credit with the City to pay sewer connection fees in accordance with this agreement. SECTION 17: MISCELLANEOUS PROVISIONS A. Indemnity of City: Developer shall indemnify, assume the defense of, and hbld free and harmless, City, its officers, agents, employees and any engineer, architect or other consultant utilized by City on the project from any and all obligations, liabilities, liens, claims, demands, losses, damages and expenses, of whatever type (19) 13. .. .. or nature including, but not limited to, attorney's fees and all litigation costs arising out of Developer's design or construction of the proposed facilities or any other act or omission to act by Developer, its agents, servants, employees, invitees, or independent contractors which are required by this agreement. . Notwithstanding the foregoing, the indemnity agreement created by this section shall not indemnify the City, its officers, agents or employees against any liability arising from the negligence or willful misconduct of City,'its officers, directors, agents, employees or independent contractors. B. Developer not agent of City: Neither Developer nor any of Developer's agents or . contractors are or shall be considered to be agents of City in connection with the performance of Developer's obligations under this agreement. C. Records: City will maintain complete records of 'all connection fees received. Such records shall be open to Developer upon reasonable notice to City. D. Payments on notices: All notices, demands and requests which may be or are required to be given or made by either party to the other party shall be in writing. All notices, demands and requests by 14. (20) .I ". . .- I, Developer to City shall be sent by United States registered mail, postage prepaid, addressed to City as follows: City Manager City of Carlsbad 1200 Elm Avenue Carlsbad, California 92008 All notices, demands, requests and payments by City to Developer shall be se’nt by United States registered mail, postage prepaid, I addressed to Developer as follows: Lake Calavera Hills Associates 1207 Elm Avenue, Suite D Carlsbad, California 92008 Attn: Roy J. Ward or to such other addressee and to such other place as Developer may from time to time designate in written notice to City. E. Arbitration of Disputes: Any controversy or claim between the parties to this 1). *agreement including, but not limited to,: any claims, disputes, demands, diffefences, controversies, or misunderstandings arising under, out of, or in relation to this agreement, or any alleged breach of this agreement, shall be submitted to and determined by arbitration in accordance with the California Arbitration provisions contained in Code of Civil Procedure Section 1280 et seq., as amended from time to time, except as to those determinations under this agreement made in the sole discretion of the City or its Council. 15. .. .. Subject to the provisions of Code of Civil Procedure Section 1296, the arbitrator or arbitrators shall determine the rights of the parties in accordance with the law and the award shall be subject to review as to the arbitrator's application of the law by any court having jurisdiction of the matter, whether or not any mistake of the law shall appear upon the face of the award. As to all questions-of fact, however, the determination of the arbitrator or arbitrators shall be binding upon all parties and shall be deemed final and conclusive. Each party shall be entitled to written findings of fact'and conclusions of law as to all issues determined by the award. Subject to the above limitations, the award granted by the arbitrator shall be binding upon all parties to the arbitration and judgment upon the award rendered by the arbitrator or arbitrators may be entered in any court having jurisdiction over the matter. F. Notice of Taxable Possessory Interest: If this agreement results in the creation of a possessory interest, and such possessory interest is vested in a private party in this document, the private party may be subjected to the payment of personal property taxes levied on such interest. G. Antitrust Claims of Developer or Successors: By entering into this agreement or any subcontract pursuant to this agreement, Developer, each contractor, and each subcontractor who performs work or who supplies goods, or .I materials in accordance with the terms of this agreement hereby offers and agrees to assign to City all rights, title, and interest in and to all causes of action it may have under federal or state antitrust law including, but not limited to, antitrust action any of them may have under Section 4 of the Clayton Act (15 U.S.C. Section 15) or under the Cartwright Act (Chapter 2 commencing with Section 16700 of Part 2 of Division 7 of the Business and Professions Code), arising from the purchases of goods, services or materials pursuant to this agreement or any related subcontract. This assignment is made and becomes effective at the time City accepts the proposed facilities and land transfer without further acknowledgment of the parties, Developer agrees to insure that a comparable provision is included in all contracts or subcontracts at all tier levels which are executed pursuant 'to this agreement. . H. Venue: In the event of any legal .or equitable proceeding to enforce the terms or conditions of this agreement, the parties agree that venue shall lie only in the federal or state courts in or nearest to the North County Judicial District, County of San Diego, State of California. I. Modification: This agreement may not be altered in whole or in part except by modification in writing, executed by both parties to this agreement. 17. J. Attorney's Fees: In the event any arbitration proceeding, administrative proceeding or litigation in law or in equity, including any action for declaratory relief, is brought to enforce or interpret the provisions or performance 'of this agreement, the prevailing party or parties shall be entitled to an award of reasonable attorney's fees and costs associated with the proceeding as determined by the court, the presiding officer, or the arbitrator authorized to make a determination of the issues 'in addition to any other relief to which the prevailing party may be entitled. If either party to this agreement becomes a party to litigation, an administrative proceeding or arbitration concerning the enforcement or interpretation of the provisions of this agreement or the performance of .this agreement by reason of any act or omission of the other party, its agents, employees, officers,' directors, or any other representative of the other party, and not by any act or omission of the party that becomes a party to that proceeding, or its authorized representatives, the party that causes the other party to become involved in the proceeding shall be liable to that party for reasonable attorney's fees and costs of the proceeding incurred by that party. The award of reasonable attorney's fees and all costs shall be determined as provided above. 18. .. ., ., In the event opposing parties have each prevailed on one or more causes of action actually contested or admitted by pleadings, discovery or prehearing documents on file, the arbitrator or presiding officer may offset such fees and costs between prevailing parties after considering the necessity of the proceeding and the importance of the issue or issues upon which each party has prevailed. K. Right of City to Inspect: Both parties to this agreement understand that City intends to approve, or inspect and approve, all phases of design and construction of the proposed facilities. Developer shall supply City with such information as City deems necessary from time to time in City's sole discretion to properly review all design and construction phases of the contract and to provide City with the opportunity to inspect the..proposed facilities -. from time to time upon request. L. Section Headings and Interpretation: All clauses contained in this agreement' shall be interpreted in a manner which renders them valid under applicable provisions of state or federal, law to the maximum feasible extent. By Resolution No. 5871 the City Council, of City, approved a Precise Development Plan for the development of the sewage treatment facility and all necessary appurtenances. The provisions of the Precise Development Plan as adopted by 19. . .- A Resolution No. 5871 shall prevail over any inconsistent provisions of this agreement. The headings of sections herein are used for convenience only and shall not affect the meaning or the contents thereof. M. Approval by City: Except as otherwise expressly provided herein, approval by City shall mean written approval by the City Manager. N. Risk of Loss: Prior to acceptance of the project, the risk of loss shall be on Developer. IN WITNESS WHEREOF, the parties have executed this agreement in duplicate as of the day and year above-written. -9 ATTEST : CITY OF CARLSBAD, a municipal corporation.of the State of California BY ALETHA L. RAUTENKRANZ , RONALD C. PACKARD, Mayor City Clerk LAKE CALAVERA HILLS ASSOCIATES, a California partnership BY APPROVED AS TO FORM: VINCENT F. BIONDO, JR., City Attorney 20. (26) . c " -* E s I. TABLE OF CONTENTS Section REX XTAIS Page 1 1. DEFINITIONS 4 2. DEVELOPER'S OBLIGATIONS A. Construct A. PcrcolatiGn tests C. Dedications D. Warranty E. Acquisition of rights-of-way F. Permits -. G. Inspectians H. Compliancc with laws I. Conpliance with the precise development plan J. Other responsibilities prior to acceptance 3. DEVELOPER' S RIGHTS A. Reserve capacity B. Reimbursement 4. CITY'S OBLIGATIONS AND RIGHTS ' A. Set and collect fees B Acceptance C. Inspection D. Cooperation 5. RESERVATION OF CAPACITY A. Reservation for Developer B. Developer subject to growth limitations 5 6 7, 7 8 9 9 9 9 10 a. 1@ 11 11 11 12 12 12 . 13 i. Q S.qc t i on 6. C. Discretionary approvals and building permits PHASING A. Permitted B. Phase I Page 13 14 14 C. Phase' I1 15 D: Discretionary approvals and building permits 15 A. Calculation of amount 15 A.l ,Calculation if project built in phases 16 B. Defhition of cost 16 B.I Cost estimate 16 -. B.2 Actual cost to build the project 1 7. B.3 Cost limitation I.? .e B.4 Risk of development prior to approval on Developer 18 2. Cost monitoring 18 D. Collection of reimbursement fee 18 E. Calculation of amount of fee F. Switchovers , C. Delivery of fees collected to Developer €1. Waiver .of reimbursement fee I. Article XfIIA risk J. Claim or c?ispute K. Service and facility fee 18 19 19 20 20 21 21 . ii. ._ , Section Q -'- c 8. 9. GENERAL CONSTRUCTION A. Preparation of plans and, specification-- change orders B. Right to approve contractor C. Right to approve eqiij-pent D. Developer MISCELLANEOUS A. B. C. D. E. F. G. EI . I J. K. 1;. M. N. 0. P. Q. R. Ind.emnity Developer Records . . .. .to rnaint2-h insurance PRovIsIo~~s ' of City not agent of Ci%y Page 22 22 22 23 23 .. 24 24 Payments on notices 24 Successors and assigns 25 Arbitration of disputes 26 Notice of taxable possessory interes-2 I 27 Antitrust claims of Developer or Successors 27 Venue 2% ' - Modification 28 Attorneys' fees Right of City to inspect Integrated agreement Section headings and imterpretatron Approval by City Risk of loss Participation in future works Amendment of Precise Development Plan 28 29 30 30 30 31 31 31 cf ACRXEF'33NT BETWEEN CITY OF CARLSBAD, CALIFORNIA AND LIKE CALAVErW HILLS ASSOCIATES FOR CONSTRUCTION OF A 1.2 MILLION GALLON CAPACITY SEWAGE TRFRTMENT AND WASTEWATER RECWATION FACILITY AND NECESSARY APPURTENAKCES AND TO PROVIDE FOR THE FINANCIKG AND REIMBURSEMENT FOR COSTS OF OVERSIZING THEREOF. -- €R -, 19 79 This agreement is made this 2 hfk day of. D EcEEmfi by and between the City of Carlsbad, California, a municipal corp0rati.m (hezeinafter called "City") and Lake Calavera Hills Associatxs, a Ca!,j.fornia partnership (hereinafter called "Developer") . RE C I TAL S: A. Developer wishes to develop for residential and other purposes certain parcels of property described in the Lake Calavera Hills l.lase;cr Plan (MP-lSO(A)) as approved by the City Councj.1 j-n Ordinance No. 9571, on file with the City and incorpor- I. ated by reference (hereinafter called. "Cal.avera Hills") . < B. of City for provision of sewex service to Calavera Hills by Developer wishes to comply with-and satisfy requirements constructing and dedicating to City a satelli.tc sewage treatment and wastewater reclamation facility. C. The public facilities element of City's General Plan requires, among other things, that sewage treatment capacity be available before development occurs. Presently no sewer facility exists with capacity to service Calavera Hills. If sufficient 'sewer capacity is not available for proposed-development, the required finding of consistency with the City's General Plan cannot be maze and Zevelopment cannot proceed. Construction of c .! c .. this. satellite sewage treatment sild wastewater reclamation facility would satisfy the requirements of the General Plan for provision of sewage capacity concurrent wikh need for the development. In addition Chapters 18.05 and 21.49 of the Carlsbad llunicipal Code prohibit development unless sewzgc treatment capacity is available. D. To ensure the health, s&fcty and welfare of the citizens of Carlsbad it is necessary that the satellite sewage treatment and wastewater' reclamat.ion facility built by Developer he of sufficient capacity to provide sewage treatxent service to development other than Calavera Hills. .E. A portion of the capacity of the sewage treatment and wastewater reclamation facility to be constructed by.Developer will *. . be used by Calavera IIi1l.s. The remainder of the cepacity will be used by development othcr than Glavera Hills- c .. - F. Devcloper desires to be reimbursed for sums expended to oversize the sewage trcatrnent and wastewater reclamation facility to serve development otl-ier than Calavera Hills. The City has I determined that the public interest is served by construction of the satellite sewage treatment and wastewater reclamation facility by Developer. The public interest is further served by reimbursement to the Developer by those who will use the plant other than Calavera Hills of the costs' of oversizing. However, Developer recognizes, that because of factors yet unknown, there is no assurance he will receive the full amount of the reimbursement or even any portion thereof. G. Developer desires to have reserved for Calavera Hills' (32) -2- c .- . ..... I -. .- ' certaAn rights to ut lize capac,ty in the sewage zeatment facility * without payment of a sewer connection fee for plant capacity. Without such reservation of capacity, Developer would not enter into this agreement. However, both City and Developer recognize that City has an obligation to serve the best interest and meet the needs of all residents, present and future, in the City. Developer recognizes that its rights to capacity must be subject to the City's obligation to all City's residents. Therefore, Developer's rights to reserved capacity in the plant will be limited to a proportionate share based or, a ratio of projected developnent in Calavera Hills to projected developmant in the entire area to be served by the plant. Reserved capacity'rights are established by Sections 3 and 5 herein, -. -. H. 'Developer recognizes that utilization of capacity in the sewage treatment and wastewater reclamation facility shall be subject to all existing or future planning, zoning, building or other ordinances which the City Council in its discretion imposes to regulate the location, quality, quantityi pace or other aspects of development on a city wide basis. I. By Resolution No, 5871 the City Council, of City, approved a Precise Development Plan for the development of the sewage treatment facility and all necessary appurtenances. Resolution No. 5871 is on file with the City and is incorporated herein by reference. This agreemerit implements that resolution. Subject to the provisions of Section 9.R., , the Precise Development Plan, as adopted by Resolution No. 5871 -3- (33) . Ct . .. shall prevail over any inconsistent provisions of this agreement. NOW, THEREFORE, in consideration of the recitals, and of the mutual obligations of the parties established by this agreement, City and Developer agree as follows: SECTION I: DEFINITIONS Whenever the following tenns occur in this agreement, the meaning shali be interpreted as follows unless the coitext in which the term is used clearly requires a different interpretation: A. "Acceptance": A formal action by the City accepting any offer of dedication of the sewage treatment facility. Acceptance may.be of the entire project or of Phase I and Phase I1 of the project, respectively, as-provided herein. Acceptance shall not constitute a waiver of defects by City. B. . "Eoard" : The Regional Water Quality Control Boa& .. with jurisdiction over the project. c. "Drainage basin: Drainage basin shall mean all areas described on the map contained in Exhibit A, attached hereto and incorporated by reference herein. D. "EDU" - : EDU is an abbreviation of Equivalent Dwelling Unit and is an approximation of that amount of sewage which is discharged daily by an average residential dwelling. Actual structures or developments built or proposed are assigned an EDU value by the City Engineer. The number of average daily gallons per EDU as used in this agreement shall be updated annually and adjusted to reflect actual metered flow exper- ,ienced during the previous years in the subject area provided, . -4- (34) . .- ' however, that such adjustment may take into account condition of the'system, weather and any other factors which may affect flow. E. "Fail-safe Line": Fail-safe line means any effluent or excess effluent disposal line which would carry effluent from the .. 4 project to the ocean outfall. P. "Masker Plan Area or Calavera Hills" - : _.__--- Master plan area or Calavera Hills shall include all areas defined in the Lake Calavera Hills Master Plan (MP-lSO(A)) on file with the City and incorporated by reference herein and shown for convenience on Exhibit B, attached hereto and incorporated by reference herein. \ G. "MGD" 7 : Plant capacity expressed in millions of gallons per day. H. -- "Proj~ct" : The 1.2 MGD capacri'ty satellite sewage treatment and wastewater reclamation facility and necessary appur- tenances, including a fail-safe line, designed and constructed by .e Developer and approved by City in conformsnce with this agreement. Project includes all facilities necessary to collect, treat and dispose of 1.2 MGD of sewage, and to reclaim water from the treatment of 1.2 MGD of sewage. I. "Work": Any and all obligations, duties and respon- sibilities necessary ta the. successful completion of the project assigned to or undertaken by Developer pursuant to this agreement, including but not limited to all labor, materials, equipment and other incidentals and the furnishing thereof. SECTION 2: DEVELOFER'S OBLIGATIONS , A. Construct: Developer agrees to construct zlt Developer's sole cost and expense the project in full conformance with plans and speci- fications which are to be prepared by Developer and submitted to City's c- -5- (35) PubJ.ic Works Administrator for approval. Work, except fOK grading approved by the Public Works Administrator, may not commence until the plans and specifications are approved. Developer shall be solely responsible for completing all phases of design and construc- tion of the project. tion costs associated with buildixy the project, including but nct DeveI-aper shall bear all design and construc- limited to all professional fees, applicable permit fees, taxes or other assessaents, and all labor and material costs of the project. all design, contract awards and construction contracts shall be acted upon by City within thirty days after receipt of the complete plans and specifications and contract docixments for the project to ensure their conformity with the Preci.se Development Plan, the provisions of this ar;l.;-ea?ent and any applicable state or local *F- %..* 3.aws Developer shall subxit the plas and specifications and contract documents in a ccmplete and approvable form. Except as otherwise provided in Section 6 herein construction of the project shall be completed in one phase. Construction obligations and rights are established more €ul.ly in Section 8 of this agreement. . B. Percolction tests: - Developer shall conduct tests necessary to determine if sufficl.e;it capacity exists iR either the Buena Vista recharge basin or the Agua Hedionda recharge basin to provi.de for reclamation. These tests shall include, but not be limited to, tests necessary to establish'sufficient dynamic and static caDacity in the aquifer(s) for 90 day storage, or such lesser capacity as inay be required by the Board for reclamation of water froin the project. Developer shall also conduct tests necessary to provide the Board with sufficient data to make the -6- .- . . . _.. . ., .. , -~ .- .necessary findinys to revise existing groundwater Objectives in each affected basin to the extent that demineralization of treated effluent would not be required before use of the effluent for Type I irrigation. required in any event, Developer's o5ligation to conduct tests regarding revision of the groundwater objectives shall cease. Such tests shall be initiated immediately upon the execution of Q If the Board determines demineralization will be . this agreement an3 shall he completed prior to comencing con- struction of the project unless the City Manager, in writing, extends such period or decides no further tests arc necessary. Upon t.he completion of such tests, Developer shall sabmit the %-est results and accompanying data to the City's Publj-c Works Ad.minj.s- trator for review and verification. Developer shall. be responsible for any additional testing rcquired by-the Board for approval of the project. - C. Dedication: I Upon full and satisfactory completion of the project, in conformity with the approved plans and specifications, and the itens specified in Paragraphs I and J of this section, Developer shall offer to dedicate the project to City. If this transfer all rights, title and interest in the project free and clear of all liens arid encumbrances whatsoever to City. Prior to any offer of dedication, Developer shall secure all approvals, certifications or permits required by the State Regional Water Quality CoRtrol Board or any federal, state or local law. D. Karranty: Developer shall fully guarantee or warranty all work for a period of one year from the date of final acceptance Q by City. and a final inspection prior to the expiration of the warranty. City shall conduct periodic inspections of the project -7- . (37) . If with5.n said period any structure or part of any structure .. furnished or installed or constructed, or caused to Le hstalled or constructed by Developer, or any of the work done wckr this agreement, fails to fulfill any of the requirements OJ? this agreemmt or the pl-ans and specifications referred to herein, Developer shall without delay and without any cost to City, repair or replace or reconstruct any defective c;r otkrl;rise unsatisfactory part or parts of the work or structurc, Deve?.Gper will be notified in writing of any deficiencies which must be corrected but failure on the part of City tc notify shall. not affect any of City's rights under this provision. Developer shall commence repair of any defect. or deficiency within ten working days after notificati.on by City- Th repairs shall be conpleted expediently and within a rcasonrikle period o€ . *' the. If .the Developer fails to commence or comp!!c-i:r- rcpaj;:'rs within these time limits, City may undertake and is hereby authorized by Developer to make, at City's option, the repairs .i:tselE and assess the costs to the Developer. Repairspursuant to this warranty shall be at the cost of the Developer and no reimbursement shall be given therefor. Should the exigencies of i;he case require reports or replacements to be made before Developer can be notified, City may, at its opti-on, make the necessary repairs or replacements or perform the necessary work and assess the costs of such repairs to Developer. Costs assessed may be retained by City from any reimbursement collected and due to , Developer. E. Acquisition of rights-of-way: Devel'oper shall be .. responsible €or acquisition of any land, rights-of-way, or other interests in property necessary fox required testing or for the c construction of the project. City shall participate in such acqui- sition to the exteiii; specified in the Precise Development Plan. F. Permits: Developer shall not commence work, except for grading approved by <_he Public: Works Administrator agreement untiX Dclvcloper has obtained the necessary permits and under this .. made the necessary depoeits as may be required by a federal, state, or local law. Necessary permits include but are not limited to building permits, discharge permits or any other discretionary or manchtosy govern1n3nt approval . the project inay be built in phases, Developer shall submit appli- If the City Council decides that cations for permit:; to the Board for each phase concurrently. G. ------ Irispect5-GIls : Developer shall provide for all required t-- i.- Iiapecticns .-. as provided herein. Inspecti-on costs shall he, included in the actual project. cost. €3. CornTliance I_ with lat~s: Developer shall comply with all applicable federal, state or local laws in the execution of this agreement. Developer shall also comply with all orders regulations and requirements of the State Regional Water Quality Control Board or any other federal, state or local agency with jurisdiction over the project. ,. I. Cornpli.ance with the Precise Development Plan: In execution of its obligations under this agreement, Developer shall comply with all conditions of the Precise Development Plan as adopted by the City Council of City in Resolution No. 5871 .Q 3- (39) and with any amendments thereto, with the Lake Calavera Hills c Master Plan (MP-105 (A)) and wit11 the City of Carlsbad Environnental Impact Report and Facilities Plan for a satellite Sewage Treatment and Wastewater iieclamation Facility as certified by the City Council, a copy of which is on. file with the City. (7. Other responsibilities -._-I ._-_-- prior to acceptance: Until such I time as a3.1 work required by this agreement is fully completed and accepted by City, Developer “dill be responsible for the care, maintenance of and any daniAge to such work. Developer shall give good and adequate warijing to the traveling public of each and every dangerous co;idj.tion exi.stent in said work, and will protect the traveling pablic .- from such defective or dangerous coriditions. SECTION 3: - DEVELOPER s EIGHTS --____- A. Reserve capacity: Cons5.s Wit wi.th the provisions of Section 5 herein, City shall rc:sc:rve for the sole and exclusive use of Developer 41.77 percent o E Lhe sewage t-r’eat-.ment capacity in the projec’i: as approved by the State Kcgional Siater Quality Control Board, provided, however, that nothing in this agreement shall exempt Developer from any local building or zoning ordinances. Developer‘s capacity rights may he adjusted by mutual agreement of the parties to conform with the latest growth projections for the basin and City’s most recent gallon requirement per equivalent dwelling unit as calculated based on the average daily dry weather flow. Such agreement shall not be unreasonab1.y withheld. $ : -10- .. . I. c B. Reimbursement.: -- Developer shall have the right to reimbursement for the cost of oversizing the project as provided in Section 7 herein. This right shall continue for twenty years at.which time it will cease whether or not Developer has been 8” t. Q reimbursed for the cost of oversizing. CITY’S OBLIGATIONS AND RIGHTS SECTION 4: - A. Set and collect fees: City agrees to collect a sewer connection fee from any person or development other than Calavera Hills connecting to or using capacity of the project as provided in Section 7 herein. B. Acceptance: Upon offer of dedication; receipt of inspector’s certificate; receipt of any approvals, certificates or permits required by the State Regional Water Quality Control ,.. - - ~ - Board or any federal, state or local law; and warranty or guarantee .* as provided in Section 2.D of this agreement, City shall consider acceptance of project from Developer. City shall act on the offer of dedication within 60 days of tender of all items required by this paragraph. City shall not unreasonably withhold acceptance. ’ Prior to acceptance City may require Developer to repair, correct or reconstruct any defect in the project or any work not in conformity with the approved plans and specifications or as required for final certification by the Regional Water Quality Control Board. Developer shall then make any repair, correction or reconstruction required by City at Developer’s own cost and expense and shall receive no reimbursement for any portion thereof. City’s obligations and rights under this section are contingent upon the construction of the sewer plant in conformance with the -11- (41) I plans and specifici approval and certification of the plant by the State Regional *\&iter Quality Control Board or any other federal, state or local agency with jurisdiction to approve, permit or certify the plant. ms to the satisfaction c the City and upon Q Acceptance may be made in two phases as provided in Section 6 herein. C. Inspection: City may provide a project inspector or qualified operator to act a5 inspector of the project. City shall have the right to conduct perj-odic inspections during construction and prior to its acceptance of the plant. access to the plant and all premj-ses whereon construction is occurring Developer shall allow for the purpose of these inspections. this section are in addition to any other required inspections. The inspections defined in D. Cooperation; . City agrees not to. unreasonably withhold any necessary local- permits required by Developer for the project or any part thereof. assist Ceveloper in obtaining any certification, approval or permit City also agrees to me its best efforts--to required by this agreement; in establishing a reasonably feasible and economic alignment for the fail-safe line utilizing, when ' feasible, existing public rights-of-way; and in obtaining, main- taining, preserving or confirming connection rights to the ocean outfall sufficient to dispose of the full treatment capacity of the project. SECTION 5: RESERVATION OF CAPACITY A. - Reservation for Developer: Upon acceptance of this sewage treatment and wastewater reclamation facility, all rights to sewer capacity shall vest in City. City shall reserve for the sole and exclusive use of Developer 41.77 percent of whatever capacity is approved by the State Regional Water Quality Control -12- .. Q Board. City may allocate such capacity consistently with Sextion 6 *. . <* shall be subject to any existing or future zoning, building or other laws established or adopted by City to regulate the location, quality, quantity, pace or other aspects of development in City. Developer shall also be subject to all General Plan requirements of the. City including any proposals adopted to implement any element of the General'Plan and to the Lake Calavera Hills Master Plan conditions. , *. , of this agreement. Capacity reserved for Developer shall not be used for any development other than Calavera Hills. shall, however, be subject to the provisions of Section 5.B. of Developer this agreement. been certified as operable by the Regional Water Quality Control Board and accepted by the City. Developer may transfer or convey that land described in approved Tentative >lap No. CT 76-12, as approved by the City Council in If a final map is approved, f -13- (43) .- d Resblution No- 5145, to a single transferee, provided that such land ‘hnd transferee shall be subject to Sections G.D and 9.E of this agreement. SECTION 6: PHASING A. Permitted: If it appears to the satisfaction of the City Council that Board action-on the application for the water reclama- tion system will occur after certification of the treatment and disposal system, the project may be accepted in no more than two phases as provided in this section. €3. Phase I: Phase I shall consist of the following items: 1- Construction of the proposed sewage treatment and wastewater reclamation facility as substantially shown on Precise Development Plan Exhibits G (except for that portion describing the water reclamation system), A-1, B, D and F-4 of Resolution No. 5871 of- the City Council of the City of Carlshad as may”be amended, of sufficient capacity to fully treat 1.2 MGD of sewage, including but not limited to the complete treatment plant, force mains, mechanical fail-safe protection, excess effluent disposal pipeline with pumps and other appurtenance necessary to connect to and dispose of 1.2 MGD of sewage through the ocean outfall of the Encina Water Pollution Control Facility, and any other appurtenance necessary for operation of the plant; 2. Construction of the reversible force main as specifj-ed . ,I in Condition No. 4 of the Precise Development Plan; 3. Acquisition of the easement to Tamarack Avenue as described j.n Condition No. 11 of the Precise Development -14- Plan;. (44) .- .) '. 4. Certification by the State Regional Water Quality c Control Board of the plant with discharge rights of at least 1.2 MGD of secondarily treated effluent to the ocean oxtfall. - c. PHASE 11: Phase I1 shall consist of the reclamatioAi sys'ccrn as described in Exhibj-t G of the Precise Development Plsn ;IS a~~plmved by Resolution No. 5871 of the City Council or any sub- sequent amendments thereto, or as required by the Board. If the project is built in phases, construction on Phase 13: shall be completed not later thar. two years after City acceptance 05 Phase I and its certification as operable by the State Regional Water Quality Control Board, unless such time is extended hy the City Council on a showing of good cause. D. Discreticnary approvals and bui!.dinq - pennits --- --- : Sixbj cct. 4' to the Limitations of Section 5.C. of this agreement, if the project is built in phases, discretionary approvnla may be PKZQESSE~ except that no building permits nay be issued until Phase I ;.s , certified by the Board and ac'cepted by the City, valid sewer perniits have been issued and Developer has pmvi-dcd City with a surety bond, instrument o€ credit, or other security in favov of ,. City and acceptable to City guaranteeing the Developer's pcrformancl of obligations and completion of work on Phase 11. Such security bond shall remain in effect until the certification of Phase I1 by the Board and acceptance of Phase XI by City. SECTION 7: REIMBURSEMENT A. Calculation of Amount: City agrees to collect a fee as'providcd in this section so that Developer may be reimbursed i -15- (45) .c - , . for certain costs of oversizing the project; that is, the!actu#' c coit to huild Phase I of the project, minus theestimated cost to build a sewage treatment facility and all necessary appurtenances including a fail-safe line of capacity sufficiect to serve the projected total bcild out of Lake Calavera Hills alone as if no other project were being built, plus 58.23 percent of th6BcF;ual cost to buj-ld Phase TI, regardless of whether the project is built in phases. City and Developer agree that, .for the purposes of this section, i? project of capacity to treat and dispose of sewage is deemed sufficient to serve Lakz Calavera Hills alone. .E; MGD of J A.l Cal.culation if project - built in phases: - If the project is built and accepted in phases, the reimburseirient amount for the period afber completion and acceptance of Phase I, but before completion and acceptance of Phase XI, shall be rqual to the actual cost to build Phase 3, minus the estimated cost to build a ~ sewage treatment facility and all the necessary appurtenances of c- capacity sufficient to serve the projected total build orit of Lake Calavera Hills alone, plus 58.23 percent of the estimated cost to build Phase 11. B. Definition of cost: B.l. Cost Estimate. No later than the time of submission of the plans and specifications, Developer shall submit a detailed itemized cost estimate for the project and a detailed itemized cost estimate for a sewage treatment facility and all necessary appur- .. ' tenances including a fail-safe line, of capacity sufficient to serve the projected total build out of Calavera Hills alone as if no other project were being built. If the project is to be d -16-' ' a '-.constructed in phases, itemized cost estimate .. . ff Developer shall also submit of the construction of each a detailed phase of the project. thirty days after submission of such estixates in a complete and approvable form. Upon approval of such estimates by the City, they .shall be attached to this agreement as Exhibit C and shall become a Developer, at its optinn, may terminate this ageement City shall act upon the cost estimates no later than part hereof. if it does not agree with City's determination under this section. B.2. Actual cost to buLld - the project. Actual cost to build the project, or either phase thereof, shall mean the sum total dollar cost of actual cspcnditures for construction of the project, including but not limited to laborc materials, plan checking, engineering, surveying, design intcces-: diiring the constuuction period of the projcct on borrowed funds 'nkcessary for the actual constxuction of the project, fees for applicable permits, costs attributable to land, right-of-way or other interests in real property necessary for the project not to exceed the fair nerket value at the time oE acquisition or acceptance of the project, whichever is less, and other costs necessary for the construction of the project in a good workmanlike manner in accordance with the plans and specifications, bTdt not incl-uding any preliminary reports, studies, attorney's fees or other such charges. Actual cost to (build the project shall be documented to the satisfaction of the City and shall be approved by the City Council. c= _* B.3. Cost limitation. The actual cost to build the project and the actual cost to build Phase I or Phase I1 shall not exceed ' the estimates as approved pursuant to Section 7.B.1. above. Any ,difference between actual costs and the estimates shall be absorbed by Developer and shall be disregarded for purposes of (47) B: -17- .- ‘ a ’- determining reimbursement. *% . City shall have no obligation to reimburse Developer until the cost estimates required by Section 7-B.l are approved by City. Developer shall bear the full risk of any loss occasioned to Developer because B.4. Risk of development prior to approval on Developer. 4 it commenced construction prior to approval of the estimates. Developer shall receive no reimbursement and shall have no recourse ag,aiizst ‘the City for any loss occasioned to Developer because the estimates rqere not approved or the agreement was otherwise terminated by Developer prior to completion and acceptance of the project by the City. C. Cost - monitoring: In addition to the rights stated elsewhere in this agreement, City shall have the right to monitor all costs for the project. Developer shall provide City with all receir;c;s, c invoices, bills or other information requested by City to aid in the cost monitoring. D. Collection of reimbursement fee: City agrees to collect a fee for each connection to the plant other than Calavera Hills as a condition of permitting connection to the sewer plant, subject to the limitations provided below. Except as provj.ded in Subsection K’of this section, no sewer cGnnection fee shall be charged to units in Calavera Hills. Developer shall receive no * reimbursement except from the collection of’ these fees. E. Calculation of amount of fee: City shall set the fee by dividing the amount to be reimbursed as determined by . Subsection A of this section by the total projected number of units which will use capaci.ty in the plant other than Calavera Q -18- (48) ‘ R*ill*s. City and Developer agree that the projected number of units, other than Calavera Hills, which will use capacity in the project is 3,045 EDU’s. This figure may be adjusted by City as, necessary to accormod.atc chznycs in City’s land use pclicies. Developer may reyuast City to take the action Eecessary to revise the reimbursement fee iE th2 figure is significantly reduced. Upon such request, City mayr 5ir the reasonz5l.e exercise of its discretion, tidjust the fee or not adjust t-he fee. This projectad r;.uunber of units i.s based on calcu?.?i.3.cnr; s’iiam i.n Exhibit D of this agresment. F. Switchovers - : Ka’;.~;iths-tandl.ng Subsection D of this sectim, City may connect ur.its p:~;~;e~ltly serviced by the Encina Sewage Treat- ment Plant to the project :ai-tliout o131-igation to collect a reiduroe- rnent fee. However, upon ellocation to new construction in the City of capecity in Erlcina which Secarnc available from a switchover .< connection, City agrees ko coll~ci; a fee as pzovid-ed in this section as a condition of such allocation. <- G. Delivery o€ __----,.- fees coilected I_ to Developer: City shall periodically deliver to Dzveloper as reimbursement 95 percent of their rciimbursement f<?es collected as they are from time to time collected. City wil.1. retain 5 percent of the amount collected as compensation for the expense of administration I. of this agreement. If the pro‘jcct is built in two phases, City shall deliver to Dcvel-oper only that amount attributable to Phase I. Amounts attributable to Phase I1 shall be d retained by City until the completion and acceptance of Phase I1 at.which time the retained funds shall be paid over to -1?- (49) - .- Deve’loper. If Phase I1 is not completed within the time stated i’n’Section 6 of this agreement, or any extension pursuant thereto, fi the funds retained shall become the property of the City and any right, title or interest Developer may have in those funds shall cease. Such funds shall be applied by City to completion of Phase 11 or if such application is deemed by the City Council to he not feasible, the funds shall be deposited in the Joint Sewer Cons truct.ion Fund. H. Waiver of reimbursement fee: Developer may waive reimbursement for any unit using capacity in the plant. Such wciver shall be made by letter to the City. fee shall be collected on connections for whi-ch a waiver has No reimbursement been made. .. J1 Article XIIIA ri.sk: Developer recognizes that the .- . I City‘s right to collect fees and its right to reimbursement fron those fees may be subject to the provisions of Article XZZIH of the California Constitution. If it is determined by il court of competent jurisdiction that the. fees levied pursuant to this agreement or other fees of similar charac- teristics are subject to Article XIITA of the California Constitution, City and Developer shall in coordination use their best efforts to provide for collection of the fee in conformance with Article XIIIA. If it is determined that fees cannot be collected under this agreement because of the provisions of Article XIIIA, Developer shall receive no . other compensation or reimbursement hereunder. Any attorney fees or other costs expended in the determination of whether c -20- (50) . d f , *- the fees are governed by the provisions of Article XIIIA shall not be reimursed to Developer. *. * J. Claim or dispute: In the event of a claim or a dispute over the City's rights to collect the reimbursement charge hereby established, or to withhold the water or sewer service to any property pending receipt of said reimbursement charge, Developer shall have the option to (I) waive such reimbursement charge or (2) assume all obligations and liability and hold City harmless from any loss, cost or expense, including judgments and attorneys' fees arising from the City's attempt to collect said disputed charges, City agrees to use due diliyerLce to preserve and maintain Developer's xehnbursement benefits and exercise good faj-th with respect to Developer's interest in the event of a dispute. If it is determined by a court of competent jurisdiction that the disputed claim or charge shall not be paid, then Developer shall not receive reimbursement therefor and any ar,ounts paid to Developer on .. , account ofeoll.ection of the disputed fee shall be refunded to city. '. K. Service and facility fee: City reserves the right to'levy a fee on each connection to the plant Pn an amount .sufficient to pay for the cost of any capital improvement including, but not limited to sewers, drains, pumps or other appurtenances necessary to provide sewer service. Such fee shall be in. adclition to any reimbursement fee, but may be levied at the same time. City may also levy a periodic (51) -21- . -_ I . 1. ' - servipe charge on each connection to the plant to pay for ccsts of continued service, maintenance and opmation. Developer 03: his successors or assigns shall pay upon . paragraph, but sha.11 not pay a reimbursement fee, unless the number of units connected to the plant result:; in utilization of capacity in excess of 41.77 percent of the .Ic:t;13 plant. capacity. SECTION 8: GENERAL CGNSTXJCTTON Developer shall prepare at Developer's cest ,?:id expense a11 plans and specifications necessary for construstic;.ri 02 the project. Said plans and speciSications shall be apprG-zA. by City' s Public Works Administrator prior to the eonawx8~ment of any work on the project escept for grading a:',prc~~;fc:(T. by the Public Works AdministratOK. City shall act within t!.i.Lrt.y days after I submission of completed plans and spdcificnkions I All work shall be done in conformance with the approveci plans' and specifications, unless prior written author? za-kiion from the City's Public Works Administrator is secured by Developer. B. Rigkit to approve ~- contractor: City shall have the right to approve aL1 contractors or subcontractors performing any work on the project. City'shall act within ten working days after submission. Written approval of the Public Works Administrator shall be deemed approval of: the City. C. Right to approve equipment: City shall have the right to approve all equipment, material, or goods' used in construction of the project. City shall act within ten (52) -22- .. work%ing days after submission of the final plans and specifi- cations. Written approval of the Public Works Administrator shall be deemed approval of the City. D. Developer to maintain. insurance: Developer or its ._-_ -- - contractors shall maintain in force during the full period of construction pursuant to this agreement a full comprehensive public liability and property damage insurance policy insuring against any and a11 claims for injuries or death of persons or damage to property occurriilg in, upon, or about the property subject to this agrecment. The proposed insurance contract shall be submi.tted to' City for its applroval prior to initiation of insurance covera.ge,) The insurance contract shall have limi.ts of not less than $1.,00~,000.00 single Limit coverage and City shall be listed as a= additional naned insured. Prior to commencement 0.f actual coxt.ruction, Developer shall submit a certificate of the insurance to City which shall provide for at least forty-five clays notice of cancelLation or modification .* c of coverage or limits. Developer or its contractors shall also maintain any bonds or insurance required by law, including Worker's Compensation, and City shall be listed as an additional named insured. MI S CE LLANEOUS P ROVL S IONS -- SECTION 9: . A. Indemnity of City: Developer shall indermify, assume the defense of, and hold free and harmless, City, its officers, agents, employees and any engineer, architect-or other consultant utilized by City on the project from any and all obligations, -23- (53) .. 'liabilities, liens, claims, demands, losses, damages and c expenses, of whatever type OK nature, including, but not limited to, att-orneys' fees and all litigation costs arising out of neveloper's design or construction of the proposed facilities or any other act or omission to act by Developer, its agents, servants employees, invitees, or independent contra.ctors which are required by this agreement. Notwithstanding the foregoing, the indemnity agreement created by this section shall not indemnify the City, its officers, agents or employees against any I.iability arising from the negligence or willful misconduct of City, its officers, di.rectors , agents, empl-opes or independent contrixtors. B, Developer ---- not agent of Cj-ty: Neither Developer nor any of Developer's agents or contractors are or shall be A considered to be agents of City in connection with the per- formance of Developer's obligations under this agreement. C. Records: -- City will maintain complete records of all connection fees received. Such records shall be open to Developer upon reasonable notice to City. D. payments on notices: All notices, demands and requests, which may be or are required to be given or made by either party to the other party, shall be in writing. All notices, demands am? requests by Developer to City shall be sent by United States registered mail, postage prepaid, 1 addressed to City as follows: c. '* -24- (54) '>. , 11 1- City Manager City of Carlsbad 1200 Elm Avenue Carlsbad, California 92008 c'" . All notices, demands, requests and payments by City to Developer shall be sent. by United States registered mail, postage prepaid, addressed to Developer as follows: Lake Calavera Hills Associates 3088 Pi0 Pic0 Avenue, Suite D Carlsbad, California 92008 Attn : Roy J. Ward or to such other addressee anc? to such other place as Developer may fron time to time designate in written notice to City. E. Successors and- assi.gns: -I The covenants and agreements contained in this agreement will be binsing upon and inure to the becefit of City and its successors arid assigns, and Developer and its silccessors aid assigns; provided, however, Developer shall not convey, assign or otherwise transfer its rights or obligations hereunder without the prior written consent of Lhe City. Developer shall- not assi$n the right to receive reinburse- ment pursuant to the provisions of thi-s agreement without prior written approval of City. City reserves the right to limit the assignments so as not to be required to make payments to rnultjple assignees under circumstances which may create an administrative burden for City. Developer may .. grant a security interest in or pledge the rights of Developer to receive reimbursenent hereunder to institutional lenders for the purpose of securing obligations of Developer to such lenders. *- If prior to any land located 6. the completion of the project Developer conveys within Calavera Hills to any person, such conveyance shall expressly include a provision that the grantee shall assume a proportionate share of Developer's obligations under this agreement.. grant. Said provision shall be approved by City prior to the This hgreement shall be recorded in the County Recorders OS-,?'ice and a notation of the fact of this agreement andsits restrictions shall be noted on any final map for any property in Calavera Hills. F. Arbitration of disputes: Any controversy or claim between the parties to this agreement, hcluding but not limited to ally claiinzi, disputes, demands I differences, contro- *. 6- versies, or misunderskandings arising under, out of, or in k. relation to this agreement, or any alleged breach of this agree- ment, shall be submitted to and determined by arbitration in accordance with the California Arbitration provisj-ons contained in Code of Civil Procedure Section 1280 et seq., as amended from time to time, except as to those 'determinations under this agreement ' made in the sole discretion of the City OK its Council. Subject to the provisions of Code of Civil Procedure Section 1296, the arbitrator or arbitrators shall determine 'the rights of the parties in accordance with the law and the award shall be subject to review as to the arbitrator's application of the law by any court having jurisdiction of the matter, whether or not any mistake of the law shall appear < upon the face of the award. As to all questions of fact, -26- (56) . -. . -. however, the determination of the arbitrator or arbitrators shall be binding upon all parties and shall be deemed final and conclusive. Each party shall be entitled to written findings cf fact and conclusi.ons of law as to all issues c determined by the award. Subject ta the above limitations, the award granted by the arbitrator shal-l be binding upon all parties to the arbitration and ju6ymeilt v.pon the award rendered by the arbitrator or arbitrators may be entered in any court having jurisdiction over the matter. G. Notice of taxable possessorenterest: _--_I_ - .- If this agreement results in the creation of a possessory interest, and such posses.sory interest is vested in a private party in this document, the private party nay bc subjected to the c payment of personal property taxes levi ed on such interest. H. Antitrust claims of Developer , or Succ~ssors: I33 .' entering into this agreement or any subcontract p-ilrsuant. to this agreement, Developer, each contxactor, and each subcontractor who performs work or who supplies goods I services or materials in accordance with the ternis of this agreement, hereby offers and agrees to assign to City all rights, title, and interest in and to a11 causes of action it may have under federal or.state antisrust laws including but not limited to antitrust action any of them may have under Section 4 of the Clayton Act (15 U.S.C. Section 151, or under the Cartwright Act (Chapter 2, commencing with Section 16700 of Part 2 of Division 7 of the Business and -27- (57) f ' 'Professions Code), arising from the purchases of goods, services or materials pursuant to thi-s agreement or any related subcontract. This a.ssignr.tent is made and becomes effective at the time City accept-s the proposed facilities and land transfer without further acknowledgment of the parties. Developer agrees to insiire that a cornparable provision is included in all contracts or subcontracts at all tier levels which are executed purscant to this agreement. . I. Venue: In .the event of any I.egal or equitable .-- proceeding to enzorce the terms or conditions of this agrce- rnent, the parties agree that venue shall lie only in the federal or state courts in or nearest to the North County Judicial Cist.rirt, County of San Diego, State of California. ._ J, Nodi.ficati-c\n: -__ This agrserrient may not be altered .L in whole or in part except by modification in writing, executed by both parties to this agreement. K. Attorneys' fees: In the event any arbitration proceeding, aclministrative proceeding or litigation in law or in equity, including any action for declaratory relief, is brought .to znforce or interpret the provisions or performance of this agreement, the prevailing party or parties shall be entitled to an award of reasonable attorneys' fees and costs associated with the proceeding as determined by the court, the presidir.g officer, or the arbitrator authorized to make a determination of the issues in addition to any other relief to which the prevailing party may be entitled, -28- ,- . If either litigation , an concerning the party to this agreement, becomes a party to administrative proceeding .or arbitration enforcement or interpretation of the provisions of this agreement or the performance of this agreement by reason of any act or omission of the ather party,its agents, employees, officers, directors, or any other representative of the other party, and not by any act or omission of the party that becomes a party to that proceeding or its authorized representatives, the party that causes the other party to become involved in the proceedings shall be liable to that party for reasonable attorneys' fees and costs of, the proceeding incurred by that party. The award of reason- able attorneys' fees and all costs skial.1 be determined as .- c provided above. In the event opposing parties have each prevailed on :, one or more c.auses of action actually contested or admitted by pleadings, discovery or prehearing documents on file, the arbitrator or presiding officer may offset such fees and costs between prevailing parties after considering the necessity of the proceeding and the importance of the issue or issues upon which each party has prevailed. L. Right of City to inspect: Both parties to this agreement understand that City intends to approve, OK inspect and approve, all phases of design and construction of the proposed facilities. Developer shall supply City with such information as City deems necessary from time to time -23- (59) . '. ., .d a in City's sole discretion to properly review all design and construction phases of the contract and to provide City with the opportunity to inspect the proposed facilities from time to time upon request. M. -- Integrated ag,reement: The reimbursement provisions for payments to Developer by the City (which is conditioned on City's receipt of connection fees as a source of funds for payment) is severable. Except for that severable provision, this agreement i.s an integrated agreement and in the event any provision of this agreement is held to be invalid, void or unenforceable for any reason so as to defeat the objectives that either party seeks to attain pursuant to this agreement, the entire agreement shall be .- null and void. N. Section headings and interpretation: All clauses ($ .. contained in this agreement shall be interpreted in a manner which renders them valid under applicable provisions of state or federal law to the maximum feasible extent. By Resolution No. 5871 the City Council, of City, approved a Precise Development Plan for the development of the sewage treatment facility and all necessary appurtenances. The provisions of the Precise Development Plan as adopted by Resolution No. 5871, and any amcnd- ments to said Plan, shall prevail over any inconsistent provisions of this agreement. The headings of sections herein are used for convenience only and shall not affect the meaning or the contents thereof. 0. Approval by City: Except as otherwise exsressly provided herein, approval by City shall mean written approval by the City Manager. (60) -30- c -- ' P. Risk of loss: risk of loss shail be on phases, the risk of loss acceptance, but the risk Prior to acceptance of the project, the Developer. for Phase I shall. pass to City after of loss for Phase I1 shall remalii on If the project is built in Developer until acceptance of Phase XI. Q. Participation in future works: If: at any the before expiration of the warranty period detailed in Section 2.U above, City is required by the Regional Water Quality Control Boardr or any other state or federal agency, to install additional treatment works, disposal systems or reclamation facilities in order to ensure continued certificatien and ability to treat dispose and reclaim up to 1.2 MGD of sewage, Developer agrees, on behalf of himself and his successors or .assigns, to pay 41.77 percent of the cost of such works or systems. systems are required after such warranty period expires, D2veloper agrees, on behalf of himself and his successors or assigiis, to not If such TQOT~R or oppose an assessment district formed to finance such works, and that City may collect a fee to finance such required WG~?(;S or systems levied on all units to be constructed thereafter which will be served by the plant, including units in Calavera HLlls. The provisions of this section shall be in additiiln to any warranty or guarantee required by this agreement. R. Amendment - of Precise Development Plan: I The parties recognize the City is considering the amendment of the Precise Development Plan as approved by the City Council in Resolution , No. 5871, because of certain proposed changes on the design of the project as reflected in this agreement. A copy of a revised Precise -31- e c .. Development Plan, including Exhibit G thereof, is attached as Exhibit E of this agreement and is incorporated by reference. If approved, Developer agrees to be bound by Exhj-bit E, or any other amendments to the :Precise Development Plan as approved in Resolution No. 5871', in the performance of any obligations or a.ssertion of any rights. under t.his agreement. IN WITNESS WHEREOF , the parties have executed this agreement in duplicate as of the day and year above written. ATTEST : v City Clerk APPROVED AS TO FORbl: CITY OF CARLSBAD, a municipal corporation of the State of California LAKE CALAVERA HILLS ASSOCIATES, A California partnership Assistant City Attorney -32- . I A . .. I .' AND EX13 IB IT 'I C 'I WILL CONSIST OF COST ESTII'ATES PREPARED AND CERTAIN APPROVED ACCORDING TO SECTION 7 OF THIS AGREENENT. I4HEN THOSE ESTIIvIhTES APPROVED p THEY SHALL . a. . BE ARE PROPERLY PREPARED AT TACH ED HERE AS EXHIBIT "C" . c *\ * '. 1.1 EMORAN DUM PATE : October 19, 1979 TO : City Manager - ' 1 FROM: Planning Director dc$- SUKJECT: . CALAVEIL\ HILLS SATELLITE TREATMENT PLANT - EDU PROJECTIONS Per your request, herein are the EDU projection figures that were developed by this department for use in the Ca3.avel-a Hills Drain- age Basin. and accepted by the consultant for Calavera Hills. The gallonags used for an EDU was established by the Public Works Admiirlistrator- The land use projections have been coordinated with . .. ASSUMPTIONS: 1, Existing development will generate sewage ,at an EDU rate' of 246 ypd. . New development will generate sewage at an EDU. rate of 200 gpd. Actual build-out shall not exceed the .. projectj-ons used (see attciichcd exhibits) . .. .. 2.. 3.' ' .. Projected Gallons/ Total Gal/ Total Gal./ Per EDU Developnent -2 Bash EDUs .. Calavera &ills = 2704 X 200 = 540,800 629 X 246 = 154,734 (ll. 95%) .. - 3btg 478 x 200 .= 95,600 ( 7.38%) 2518 X 200 = 503,600 (38.90%1 1,294,734 i- - .. Swikhover - Approved TM's - Remainder GP = Total Gailons/Basin . . * POTENTIAL SWITCHOVER APPROVED PROJECTS Royal Homes ......... 68 edu's . Chestnut Hills....,..108'edu1s El Camino Mesa..,,.-. 68 edu's . Quail Ridge,. ..... . ,234 edu's . Woodbine. .~.,.,...0.0148 edu's Palisades.........,..l36 edu's Tota1..,,...478 edu's Meadows_.... 90. edu's Palisades.. ......... .119 edu's - ......... Chestnut Hills, ..... ,136' edu's . e. - Total.,..,.,629 edu's .. .. .. GENERAL PLAN LAND USES IN .REMAIIU'DER .... LAND USE MAX. EDU's PROJECTED EDU' s C.^. p-.. ACRZS .* 330 Tootsie K Robertson, Kelly, 1113i Sunny Creek Road RL(0-1a5) Kelly Mt. .. ' .' pLM(0-4' 495 4452 0 (Septic) 238'6 ** 30 .. ' '3 Elementary Schools '30 30 1 Junior High School 20 20 20 1 High School 40 40 40 Open Space 42 TOTAL 2518 - 420 42 . * 1360 gross acres - 247 acres undevelopable = 1113 net acres ** Acres x -67 (percentage of buildable land less area for streets) x 3.2 (average build-out density) = Projected EDU's .. . (66) . .. _- .I .. $, ' .. , . A .. . .. E-I. . .. -7- '* * . -1 .. .. .. . .. .. I I .. .. I I .. ... ... .. .. .... ... .. *. 1- : .I I -. '<. -* . .. .. .. - -. .. . '. .. .. * ' '4 .a I 6.: .. -45- . . b I *. E '. m d 4 F r & D - 0- \9 tr) I -. .. .. ... c t f' .. _. ... . : .. .. i '1 ... '. . Q' ., . ?. .. .. 0 W a N w .. .. .* .. .' f' m ri f3 .. . -4G- * (70) . . J *. nt. ' I Pf .. .. .. . .. _. .- . .. .. .- .- . .. .. . .a. 1 . .I . .. .. . -. .I .. .. - .* . .. . .. n. I .. , .. . i 81 d H -47- . (71) .. *. .. '. QJ .. .* . .. :.. -e C r L c . c .. *. .. -t-. s tp- - I I I I I t .- . .. I. t* .. - .. ' .. . .. .. . . .. .. . . .. 'I c . -- __ .. , ,._. - -- Exhibit. E to Lake Calavera rnc Agreement 'rsrzanc i.ng and Re iinbur se- - .* .- LAKE CALAVEPA HILLS PRECISE - DEVELOPMENT PLAN REVISED CONDITIONS 1. Development of the site shall occur substantially as shown on Exhibit 'IC", dated December 11, 1979, attached hereto, and as shown on Exhibits A-1, 3, D and I?-]-, dated April 11, 1979, for the wastewater treatment plant; and Exhibits A-2 and E, dated April 31, 1979, for the percolation ponds; except for modifications and necessary back-up systems not affecting the plant's operational efficiency that are approved by the Public Works Admhistrator. 2: In addition to the approval of the development indicated in the exhibits note6 above, all other requirements and appurtenances as listed in this approval. shall be indicated on the final Precise Development Plan. TPXATIENT PLANT -- - ' 3. The proposed treatment plant shall be constructed in one. phase as a 1.2 MGD capacity plant with a "fail-safe" excess effluent disposal line to the ocean outfall at the Encina Water Pollution Control Facility, and all other appurtenances necessary to operate the treatment plant at its r'ully rated capacity of 1.2 MGD. 4. A reversible force main connecting the treatment facilities to the Encina line at El Carnino Real shall be constructed 'as part of this project. . RECLAMATION 5. All wells, pumps, check dams and other appurtenances necessary to reclaim water from the recharge basin, which basin is described in Exhibit E, shall. be constructed as part of this project. Plans for the water reclamation system shall be submitted to and approved by the City Engineer and by the Plznning Corxission prior to commencement of any grad- ing, construction, or the placing of any equipment for the pro j ec t . 6. All effluent from the treatment plant shall be reclaimed and utilized for replacement of existing or planned potable future developments shall be limited to the amount of reclaimed water that can be guaranteed for use by the appli- cant of such development or otherwise guaranteed to the satisfaction of the City Council. .water (Type I). The amount of sewer capacity allocated to t (73) 4 f Revised Conditions Page 2 7. All proposed users of the treatment plant shall prepare and provide a plan acceptable to the City establishing and guaranteeing a method to utilize any reclaimed water prior to any approval of their project. The reclaimed water nay not be applied to native vegetation or areas where there are no existing or planned potable water uses. As a guide for determining the acreage of land necessary to utilize the reclaimed water, the ratio of gallons of water to acres of land should be as follows: 3,000 gallons to one’acre of agricultural land, or 800 gallons to one acre of landscaped land per day. This ratio may be adjusted by the Planning Director to accomodate. particu1a.r locations, soil types and plants. 8. Any plan requirsd by Condition No. 7 shali be submitted to the Planqing Director for approval. Approval of the plan by the Planning Director shall constitute acceptance of the plan by the City. In approving the plan, the Planning Director shall give primary consideration to systems where the land using the reclaimed water is either near the recharge basin or served by gravity flow from the. water ., reclamation system, in order to conserve energy required for pumpinl;. Approval by the City shall not constitute a claim to or a guarantee for availabi1it.y of reclaimed water. This condition and Conditions 6 arid 7 shall be modified as necessary to accommodate such City plan for the use of reclaimed water as the Council may adopt, 9. .The applicant shall be responsible for construction of a fail-safe effluent disposal system sufficient. to serve and consistent with the 1.2 MGD design capacity of the treatment plant. The applicant shall also be responsible for construction of additional treatment as may be required to meet State and County Health Department requirements as well as those of the Regional Water Quality Control Board, and of mains, wells, pumps, check dams, and all other appurtenances necessary to reclaim wdter from the treatment of 1.2 MGD of sewage. The ap?licant shall be responsible for construction and impler,entation of the complete sewage treatment and water reclamation facilities. Plans for the reclamation facilities shall be approved by the Pl.anning Commission by a conditional use permit prior to any grading, construction.or placing ‘ of any equipment for the project. Construction of the project , " .. Revised Conditions Page 3 shall be conipletzd within a recsonable time as specified in the Has ter Rcimbursemerit Agrceji7ent. Q .% $he applicant'shall be responsible for the acquisition of land, easemeiits, or other rights necessary for the construc- tion requircd by this conditicn. In the event the applicant cannot acqui.re same after the exercise of due diligence, the City shall. have tlic option of acqui.ring the same through its power of eminent cionain, after due satisfaction of all 1.egz.l. requircments , including avironmental review and public hea.rinl;s, if required. In such event, the applicant shall be responsibl-e for the di.rect expense of environmental and planning review , retentiox of special. counsel to prosecute the ccndemnat?.on action or actions, and payment of any i-equj.rP,d compErisatf.on t.c property cwners . Acquisition must be reasonably certain, to the satisfaction of the City, prior -to their acceptance of any portion of the plant. 10. . Any addition51 appurtenances. necessary for reclamation, stor:age, or use of the plant effluent, but not included for approval in this applicaticn, shall. be subject to Planning Corirriission review ani] approvzl. At, the time of review the Planning Com!-rdssricJn shall deternine if such appurtenances ' wi1.1 have a significat adverse effect on surrounding property. If it is determined that the zppsrtenances may have a signifi- cant adverse effect, a conditional use permit shall be required. Such conditional use permit shaL1. contain conditions suff icicnt to mitigate any such. potextial significant adverse effect. 11. The app1ican.t: shh.all be financial-ly responsible for and shall make all reasonable efforts to acquire and provide a thirty foot wide access way froni Tamarack Avenue to the treatment facility, with necessary easement rights to accommod.ate the reversible force niain required by Conditi.on 4 hereof. In the event applicant cannot acquire same after the exercise ol" due dil.igcnce, the City sha.l--l have the option to acquire the same through its power c:E eminent domain, after due satisfaction of all legal requirements, including environ- mental review and public hearings, if required. In such event, the applicant shall be responsible for the direct ' expense of environmental and planning review, retenticn of special. counsel to prosecute the condemnation action or actiofis, and payment of any required compensation to property owners. Acquisition nust be reasonably certain, to the satisfaction of the City, prior to any grading, construction or placing of any equipment for the project. Revised Conditions a. ADMINISTRATION 12. 13. 14. 15. Page 4 Upon completion of construction and such inspection and testing as required by City, the site, ar,d all structures and appurtenances for the treatment facilities, fail-safe effluent disposal system, recharge basin as shown on approved exhibits, the thirty foot wide access way from Tamarack Avenue to the treatment facility, and all other appnrtenanccs approved by and pursuant to this approval shall be offered for dedication to the City of Carlsbad, free and cAex of liens' and encumbrances. The applicant shall be responsible for the payment of all costs of construction of the facilities as approved, Applicant may be reimbursed for certain costs expended in construction of the treatment facility with nore capacity than necessary to serve Lake Calavera Hills alone. and applicant shall enter into a Master Reimburseme;ik Agreement to provide for such reimbursement and ko implement the requirements of this Preci-se Development Plan. This agreement must be completed and accepted by the City Council before ai?y application for discretionary approval may be submitted or accepted on any project in tlie drainage basir,, except projects already approved or in the process of acyuir- ing discretionary approval. one year from the date of approval of this Precise Devel.op- mcnt Plan, all rights and approvals provided to applicant by this plan shall terminate and this plan shall no longer have any force or effect. City If no agreement is reached within Upon acceptance of the treatment facility, ownership ShFil.1 vest in the City. Provided, however, that applicant, in consideration of its initiation and financing of this facility, shall have reserved for it such capacity as may be provided in the Master Reimbursement Agreement. provided herein, or as otherwise authorized by law, applicant shall be subject to all existing or future ord.inanccs regarding sewer allacation, permit issuance, or acceptance or approval of applications for discretionary approvals. Except as If the City agrees to accept the facil'ity, access easements or other property rights necessary for operation and main- tenance of the percolation ponds, excess effluent disposal line, and necessary appurtenances which have not previously been vested in City pursuant to Conditions 9, 10 and 11 herein shall be granted to the City by applicant free and clear of liens and encumbrances. - 9 .c .a ’ .Revised Conditions Page 5 .- .. - . 16. 17. 18 19 . 20. 21- The applicant shal1,provide such easements over its own property as determined by the City Council to be necessary to accommodate sewer service and reclamation for the other properties in the drainage basin. This condition shall also be made a condition of applicant’s Master Plan. The applicant shall include in its master CC&R’s for the entire project and in the subdivision public reports for each phase a detailed description of the facility, its proximity to dwelling units, ar,d the potential for &verse impact- The CC&R’s shall provide that the property cwners and their successors in interest covenant not to object to or take my action, directly or indirectly, in opposition to the locatian of the facility nor its continued opexati.on, except to the extent that such objections and/or action in furtherance thereof relate to the negligence ox’ willful misccnxduct of the persons or entities then opera-ti.ng the facility - A condition that prohibits the use of self-regenerating water softeners shall be placed on all deve1cpm:it permitted to use this waste water treatinent facility, The Lake Calavera Hills development shall contain such prohibi.tion in the CC&R’s. The applicant shall submit and process a parcel. map &eating separate iiots for the treatmen’c plant and recharge basins, The Lake Calavera Hills Master Plan (MP-lSO(A)) shall be amended as required by the approval of the zone change and Precise Development Plan; e ..- I. The applicant shall. secure easement rights for the City prohibiting the location of any habitable bui1.ding within one hundred yards from the outside edge of the service road or structure and equipment, whichever is nearer to habitable buildings as indicated on Exhibit A-1. Tentative Map 76-12 and PUD-4 sha.11 be amended if necessary showing such ease- ment prior to final map and final PUD. 22 To insure that the project will be designed with adequate safety margins, a design study for the facility shall be submitted by Lake Calavera Hills Associates to the Public Works Administrator or his designee and shall include the following special studies: foundation, seismic safety, expansive soil, soil stability, and special engineering requirements. +. 'Revised Conditions , -, Faye 6 23. 24. 25, 26. 27. 28. 29. 30 . 31. Grading plans for all facilities shall be approved by the Public Works Administrator or his designee, prior to issuance of building permits, Such plans shall include provisions to limit grading, cut and fill and excavation to the minimum areas necessary to prepare construction pads and excavate for treatment, transport and disposal facilities. Drainage facilities adjacent to the treatment plant and percolation ponds shall be designed to accommodate a one hundred year flood and protect the treatment plant and percolation ponds. concurrently with grading activity. .. These facilities shall be constructed SurEaces shall be graded to direct runoff toward designed drainage facilities and away from any cut and fill s2ope.c;. . Land shall not be cleared of vegetation except immediately before grading, and grading should take place only during the dry season (April 16 to Octoper 31). AI1 graded.slopes shall be stahlized for erosion control. immediately following grading by the developer. Landscape. ar,d irrigation plans shall be submitted for the approval of the Planning Director. The landscaping shall be designed to screen the treatment facilities 2 uecliarge basins from surrounding properties. Plans shaJ.1 include fast grorvi.ng, tall trees as well as a combination of shrubs and ground cover. Plants shall be drdught tolerant, fire retardant where necessary and easily maintained. shall. be fully installed prior to the City accepting the facilities. The approved landscaping and irrigation Natural vegetation and existing Eucalyptus trees shall be retained wherever possible. AT1 pumps, generators and other noise producing mechani.sm.s shall be placed underground and/or shielded in such a mariner to reduce noise attributed to the facility to a maximum of fifty-five dba at property line of a'll facilities. The applicant shall submit an archaeological investigation for the approval of the Planning Director that indicates the location of any archaeological resources that could be affected by the construction of the treatment facility, recharge basins, effluent line and any accessory pumps, access roads, wells, etc. The final Precise Development Plans shall include means to mitigate any potential impacts noted in this investigation. a' &vised Conditions Page 7 32. The access way from the plant to Tamarack shall be improved with a minimum of twenty foot wide asphalt concrete dr.:Lve- way and shall be approved by the City Engineer and Pire .Chief. 33. Fire hydrants shall be installed at location% and wit-F flow rates as approved by the Fire Chicf or his dcsiynee. -. 34. An asphalt concrete driveway shall be provided to the percolation ponds. The location, climension and CG~I~IZU.C~~G~~ of the driveway shall be to the satisfaction of thcz CiQ7 Engineer and the Planning Director. 35, The equestrian trail throiqh the treatment p1.an-t s.i_t:e as shown on Exhibit A-1, dated April 11, 1979, shall be constructed by the applicant and maintained by the L.c,ke Calavera Hills homewoners Association, The portion of the equestrian trail located between the. treatment p:I.at~t . ' and the recharge basins shall be 'placed withh the c:fflGenk line casemznt, and shall be constructed by the applScamt ' and maintained by the Lake Calavera Hills Honeownexs Association. The CC&R7 s for LakG'Calavera Hills shall contain this condition. 36. Final, plans for treatment facilities and recharge Szsh~s c. shall indicate appropriate lighting to prov5.ck adequ;;-te night time operations. Srnch light3.ng shall be dcs:i~;j~jCsd in a manner so that nearby residences or public st-rcctr; are not adverse1.y affected. The lighting plan shall be subject to the approval of the Planning Directox. 37. The treatment facility, recharge basins and any other mechanical appurtenances shall be totally enclosed by a fence a minimum of eight feet in height and designed for security purposes, subject to the requiremiits of the Stat-, Water Quality Control Board.. 38. The applicant shall provide a method approved by thc Public Works Administrator for the disposal O€ sludge created by the treatment plant. 39. All equipment proposed to be placed on any roof shall be screeced from public view and subject to the approval of the Planning Director. After approval, the applicant shall submit a reproducible copy of the Precise Development Plan which incorporates all requirements of the approval to the City Manager for signature. Prior: to signing the final Precise Dcvclopmenk 40. < 1 - ~ .. - . 'Revised Conditions Page. 8 . .. c Plan, the City Manager shall determine that'all applicable requirements have been incorporated into the plan and that ,all conditions of approval have been satisfactorily met or otherwise guaranteed. ment Plan shall be the official site layout plan for t11e property and shall be attached to any application for a buildhg permj-t on the subject property. This Precise Development Plan shall be effective only when an ordinance approving Zone Change 203 becomes effective. The final signed Precise Develop- 41. 4' L 9 . EXHIBIT "G" December 11 , 1979 LAKE CALAVERA HILLS WASTENATER TREATMENT, DISPOSAL, RECLAMATION AND ASSOCIATED FACILITIES The facility to be furnished to the City by Lake Calavera Hills Associates shall be a complete functional system capable of op- erating at the rate of 1,200,000 gallons per day, average daily flow, in conformance with approved plans and specifications as well as in conformance with the regulations of all applicable regulatory agencies. The facility shall include, but not be limited to, the following, unless certain specific items are not required by the applicable regulatory agencies: 1. Land and Easements - a. Land for the treatment plant site and access road froin Tamarack Avenue; b. Non-specific easements for the pipelines from the treat- c. Non-specific easements for the pipelines required as ment plant to the percolation fields; part of the reclamation system; d. Land for the Buena Vista percolation field and acc'ess road; e. A non-specific easement for'an effluent disposal fail- safe line from the treatment plant to the Encina Water Pollution Contrcil Facility; and. f. Land and easements as may be required for the percola- tion system (see #4 below) approved by the Reg-ional Water Quality Control Board and by the City of Carlsbad, The reclamation system shall include, but may not be limited to, additional effluent treatment works, chlor- ination faci 1 i ties, demineral izalion, brine 1 ines, wells , pumps, grout curtains, force mains, underground storage and above-ground balancing reservoirs. 2. Treatment Plant I i ! : a. Headworks: b.. T~io-600,000 gallon oxidation ditches (activated sludge- extended aeration, 24-hour detention time) with at least two each brush-type aerators, drive motors, weirs, control valves; accepting effluent from either of the oxidation ditches; c. Two adequately sized clarifiers with systems capable of d. Aerobic sludge digestor; z- ';- - "I / . 4.F- k. w. ... ' . 3. 4. e. 'f. s* h. i. k. 1. Sludge thickener; Chlorination contact chariibcr.; Sludge compactor;. Building hausing auxi2;ar-y sl-xc, facility controls, machine ghcp, laboratory, CI EEice; pumps, force main, g'i-airity line, bdoster pumps as necessary for transportat i oc of 1.2 million gallons per day of treated ef€Iuciit to either the reclarnztion system or to the Eiicina V!atcr Pollution Control Fa- cility ocean outfall; Pump stati.cn and force mail: *to trarls1loi-t raw sewage from sewer main in El CalilIj73 Real, at its intersec- tion with 'Tamarack Avenuc ijr Kelly Drive, "io the treatment plant. This sytcx shall be designed to accommodate reverse flow Li-on! t3e treatment plant to the sewer main in El Camino Real; . Drainage facilities as may he required to protect the plant from a f.OO-yer;r E30cd; and I. Any necessary appurtenance:: rcquil-ed to operate a 1 % 2 mil-lion gallons per day pla~t. . -- -. Effluent Disposal -- --- a. Pump station, force main, pavity line and booster pump as required to tramport treated effluent to the Enci-na IVater Pollution Con Crol Facility ocean outfall per #2i above. Reclanat ion Svstem a. Water purification facilities satisfactory to the State and County Health Agencies, to the Regional Water Quali- ty Control Board and to the City of Carlsbad for the purpose of meeting rec1ain;ccl water standards and basin objectives. Such purification facilities could consist of: (I) Coagulation and sediriicntation, reverse osmosis and (2) Such other combination of facilities approved by extended chlorination; or the regulatory agencies; . b. Percolation fields, check dams, drainage control systems, and other appurtenances as may be required to operate a spreading bed in thc Bucnn Vista drainage shed capable of aquifer storage of a min.i.inuiii of 90 days' production at 1.2 niil.lion giiltons pci- day. I -' 1200 ELM AVENUE CARLSBAD. CALIFORNIA 92008 TELEPHONE. (714) 729-1181 - August 9, 1979 Lake Calavera Hills Associates 1207 "0" Elm Ave. Carlsbad, CA 92008 Enclosed for your records, please find a copy of the following Resolution No. 5871 which was/were adopted by the Carlsbad City Council at a regular meeting held on the 7th day of Auqust y 1979 . Sincerely, ALETHA' L. RAUTENKRANZ ,J City Clerk ALR:vh -- Enclosures (1 ) f 2 5 4 5 c 7 8 9 10 17. 19 20 21 22 23 24 25 26 27 20 RESOLUTION NO. 5877 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA APPROVING A PRECISE DEVELOPMSNT PLAN (PDP-2) FOR k 1.2 MGD FASTE!.r7P,TZP, TKEATP?KU'T FACILITY AND RELATED APPURTENANCES ON PROPERTY GENERALLY LOCATZD NORTHEPST OF EL CF!IINO REAL, SOUTH- OF H1GHW.Y 78. AFPLICANT: WHEREAS, on June"13, 1979 the Carlsbad City Planning Commission adopted Resolution No. 1525 recommending that Precise Development Plan (PDP-2) be approved; and WHEREAS, the City Council of the City of Carlsbad held public hearings on June 19, 1979, July 3, 1979 and July 17, 1979 to. consider the recommendations of the Planning Commission and to receive all recommendations and hear all persons interested in.or opposed to Frecise Eevelopment Plan (PDP-2); and WHEREAS, an Environmental Impact Report has been prepared and discussed at duly noticed public hearings before the Planning Commission and the City Council, and the final repcct has been certified as complete in satisfaction of the Protect ion Quality requirements of the City of Carlsbad Envifonmental Ordinance of 1972 and the California Environmental Act; NOW, TilEflEFOFCE BE IT RESOLVED by the City Cou cil of the City of Carlsbad as follows: A. That the above recitations are true and correct. B. That the findings of the Planning Conmission in ,Resolution No. 1525 constitute the findings of the City Council in this matter, with the exception of matters relating to growth management xhich the Council intends to address (84) .. .* . . , ..I 1 2 3 4 5 6 7 8 9 10 11 12 0 f 0 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 20 ... i separately on a city wide basis, C. That the Precise Development Plan (PDP-2) fora 1.2 MGD wastewater treatment facility and related appurtenances to serve the Lake Calavera Hills basin is hereby approved subject to the conditions contained in the document entitled, "Lake Calavera Hills Precise Development Plan, Revised - Conditions",dated July 27, 1979, marked Exhibit LCH, attached kerzto and ria& a part hereof, PASSED, APPROVED AND ADOPTED at a regular meeting of the Carlsbad City Council held on the 7th day of ALlqust I 1979 by the following vote, to wit: AYES : Councilmen Packard, Skotnicki, Anear, Lewis and NOES : None Councilwoman Cas1 er \ ATTEST: ..- (SEAL) -2- JJ/~JJLU-L.~ lAC.11 IU RESOLUTI@N NO. 5871 July 27, 1979 .. .- .. . . LAKE CAL.qVEF.A HILLS PRECISE DEVELOPPENT PLAN REVISED CONDITIONS 1. Development of the site shall occur substantially as shown on Exhibit "G", dated June 22, 1979, attached hereto, and as shown on Exhibits A-1, B, D and F-1,-dated April 11, 1979, dated April 11, 1979, for the percolation ponds; except for modifications and necessary back-up systems not affecting the plant's operational efficiency that are approved by the Public Narks Administrator. 'for the wastewater treatment plant; and Exhibit A-2, and E, 2, In addition to the approval of the development indicated appurtenances as listed in this approval shall be indicated on the final Precise Development Plan. 'in the exhibits note,d above, all other requirements and TREATMENT PLLnJT 3. 4. The proposed treatment plant shall.be constructed in one phase as a 1.2 mgd capacity plant with percolation ponds, . effluent lines to serve ponds, and all other.appurtenances necessary to operate the treatment plant at its fully rated capacity of 1.2 mgd . Not withstanding the forgoing phased construction as specified in Condition #9 herein may be permitted A reversible force main connecting the treatment facilities to the Encina line at El Camino Real shall be constructed as part of this project. RECLAWTION 5. All wells, pumps, check dams and other appurtenances necessary to reclaim water from the recharqe basin , which basin is described in Exhibit E, shall be constructed as part of this project. Plans for the water reclamation system shall be submitted to and approved by the Planning Conmission prior to commencement of any grading, construction, or the placing of any equipment for the project. 6. All .effluent from the treatment plant shall be reclaimed and utilized for replacement of existing or.planned potable water (Type I). The amount of sewer capacity allocated to future developments shall be limited to the amount of reclaimed water that can be guaranteed for use by the applicant of such development or otherwise guaranteed to satisfaction of the City Council. Page 2 - -. Revrsed Conditions 7. All proposed users of the treatment plant shall prepare and provide a plan acceptable to the City establishing and guaranteeing a method to utilize any reclaimed water prior to any approval of their project. The reclairned water may not be applied to native vegetation or areas where there are no existing or planned potable water uses. As a guide for determining the acreage of land necessary to utilize the reclaimed water, the ratio of gallons of'water to acres of land should be as follows: * - 3,000 gallons to one acre of agricultural land, or 800 gallons to one acre of landscaped land per day. This ratio may be adjusted by the Planning Director to accommodate particular locations, soil types and plants. 8. Any plan required by Condition No. 7 shall be submitted to the Planning Director for approval. Approval of the plan by the Planning Director shall con-stitute acceptance of the plan by the City. In approving the plan, the Planning Director shall give primary consideration to systems where the land using the reclaimed water is either near the recharge basin or served by gravity flow fron the water reclamation system, in order to conserve energy required for pumping. Approval by the City shall not constitute a claim to or a guarantee for availability of reclaimed water. YII~~LUL~~G C- .. .. f - -.. I snail ut: 1 9. The applicant shall be responsible for construction of a fail-safe effluent disposal system sufficient to serve and consistent with the 1.2 mgd design capacity of the treatment plant, anless the. City Council 'finds and determines that a water reclamation system consisting of mains, wells, pumps, check dams, and all other appurtenances necessary to reclaim water from the recharge basins consistent with such design capacity of the treatment is feasible. If the water reclamation system is feasible, its .construction is preferrable. Applicant shall use due diligence to obtain all necessary state approvals for percolation capacity, first within the Master Plan boundary of Lake Calavera Hills and then, if necessary, within alternative recharge basins located in the Agua Hedionda drainage basin sufficient to handle the design capacity of the plant. At the earliest possible time, prior to City's acceptance of any portion of the treatment facility, the City Council shall make a determination as to whether (a) it is reasonably feasible to obtain 1.2 mgd percolation capacity within the ).'aster Plan boundary or adjacent alternative recharge basins or, (b) a disposable effluent fail-safe system should be built. (87) - . .Revised Conditions Page 3 Upon either determination, the applicant shall be responsible for construction and implementation of the alternative selected. Plans -for the alternative selected shall be approved by the Planning Commission by a conditional use permit prior to any grading, construction or placing of any equipment for the alternative selected. Construction of the alternative selected shall be completed within a reasonable time as specified in the Master Reimbursement Agreement. The applicant shall be responsible for the acquisition of lend, essements, or other'rights necessary for the construction required by this condition. In the event the applicant cannot acquire same after the exercise of due diligence, the City shallhave the option of acquiring the same through its power of eminent domain, after due satisfaction of all legal requirements, including environmental review and public hearings, if required. In such event, the applicant shall be responsible for the direct expense of environmental and planni'ng review, retention of special counsel to prosecute the condemnation action or actions, and payment of any required compensation to property owners. Acquisition must be reasonab3v certain, to the satisfaction of the City, prior to the:r acceptance of any portion of the plant. 10. Any appurtenances necessary for reclamation, storage, or use of the plant effluent, but not included for approval in this application, shall be subject to Planning Commission review and approval. At the time of review the Planning Commission shall determine if such appurtenances will have a significant adverse effect on surrounding property. If it is determined that the appurtenances ma17 have a significant adverse effect a conditional use permit shall be required. Such conditional use permit shall contain conditions sufficient to mitigate any such potential significant adverse effect- 11. The applicant shall be financially responsible for and shall make all rezsonable efforts to acquire and provide a thirty foot wide access way from Tamarack Avenue to the treat- ment facility, with necessary ea'sement rights to accommodate the reversible force main required by Condition 4 hereof. In the event applicant cannot acquire same after the exercise of due diligence, the City shall have the option to acquire the same through its power of eminent domain, after due satisfaction of all legal requirements, including environ- mental review and public hearings, if required. In such event, the applicant shall be responsible for the direct expense of environmental and planning review, retention of --.. . .. Revised Condi ti onc Page 4 special counsel to prosecute the condemnation action or actions, and payment of any required compensation to property owners. Acquisition must be reasonably certain, to the satisfaction of the City, prior to any grading, construction or placing of any equipment for the project. AD14 IN I STRATI ON 12. Upon completion of construction and such inspection and testing as required by City, the site, and all structures and appurtenances for the treatment facilities, recharge basins as shown on approved exhibits, the thirty foot wide access way from Tamarack Avenue to the treatment facility, and all other appurtenances approved by and pursuant to this approval, including either the fail-safe effluent Gisposal system or the water reclamation system, shall be offered for dedication to the City of Carlsbad, free and clear of -liens and encumbrances, 13, The applicant shall be responsible for the.payment of all costs of construction of the facilit'ies as approved. Applicant may be reimbursed for certain costs expended in construction of the treatment facility with more capacity than necessary to serve Lake Calavera Hills alone- City and applicant shall enter into a Master Reimbursement Agreement to provide for such reimbursement and to implement the requirements of this Precise Development Plan. This agreement must be complehed and accepted by the City Council before any application for discretionary approval may be submitted or accepted on any project in the drainage basin, except projects already approved or in the process of acquiring . discretionary approval. If no agreement is reached within 14 . 15 . one year from the date of approval of this Precise Develop- ment Plan, all rights and approvals provided to applicant by this plan shall terminate and this plan shall no longer have any force or effect. Upon acceptance of the treatment facility, ownership shall vest in the City. Provided, however,-that applicant in consideration of its initiation and financing of this facility shall have reserved for it such capacity as may be provided in the Master Reimbursement Agreement. or as otherwise authorized by law, applicant shall be subject to all existing or future ordinances regarding sewer allocation, permit issuance, or acceptance or approval of applications for discretionary approvals. . If the City agrees to accept the facility, access easements or other property rights necessary for operation and main- tenance of the percolation ponds, effluent line, and necessary appurtenances which have not previously been vested.in City pursuant to Conditions 9, 10 and 11 herein shall be granted to the City by applicant free and clear 'Except as provided herein, - of liens and encumbrances. (89) ._ .- .e Revised Conditions 16. 17. 18. 19. 20. 21. Page 5 The applicant shall provide such easements over its own property as determined by the City Council to be necessary to accommodate sewer service and reclamation for the other properties in the drainage basin. This condition shall also be made a condition of applicant's Master Plan. The applicant shall include in its master CC&R's for the entire project and in 'the subdivision public reports for each phase a detailed description of the facility, its proximity to dwelling units, and the potential for adverse inpact, The CC&R's shall provirie that the property owners and their successors in interest covenant not to object - to or take any action, directly or indirectly, in opposition to the location of the facility nor its continued operation, except to the extent,that such objections and/or action in furtherance thereof relate to the negligence or willful misconduct of the persons or entities then operating the facility. A condition that prohibits the use of self-regenerating water softeners shall be placed on all development permitted to use this waste water treatment facility. The Lake Calavera Hills development shall contain such prohibition in the CC&R's. The applicant shall submit and process a parcel map creating separate lots for the treatment plant .and recharge basins. The Lake Calavera Hills Master Plan (MP-l50(A)) shall be amended as required by the approval of the zone change and Precise Development Plan. The applicant shall secure easement rights for the City prohibiting the location of any habitable building within one hundred yards from the outside edge of the service road or structure and equipment, whichever is nearer to habitable I buildings as indicated on Exhibit A-1. Tentative Map 76-12 and PUD-4 shall be amended if-necessary showing such ease- ment prior to final map and final .PUD. 22. To insure that the project will be designed with adequate safety margins, a design study for the facility shall be submitted by Lake Calavera Hills Associates to the Public Works Administrator or his designee and shall include the following special studies: foundation, seismic safety, expansive soil, soil stability, and special engineering requirements. -- .. . ., ,Revised Conditions Page 6 23. 24. 25. 26. 27. 28. 29. 30. 31. Grading plans for all facilities shall be approved by the Public Works Administrator or his designee, prior to issuance of building permits. Such plans shall include provisions to limit grading, cut'and fill and excavation to the minimum areas necessary to prepare construction pads and excavate for treatment, trimsport and disposal facilities. Drainage facilities adjzcent to the treatment plant and percolation ponds shall be designed to accommodate a one hundred year flood and protect the treatment plant and percolation ponds. These facilities shall be constructed concurrently with gradillg activity. Surfaces shall be graded to direct runoff toward designed drainage facilities and away from any cut and fill slopes. Land shall not be cleared of vegetation except immediately before grading, and grading should take place only during the dry season (April 16 to October 31). All graded slopes shall be stablized for erosion control immediately following grading by the developer. Landscape and irrigation plans shall be submitted for the approval of the Planning Director. The landscaping shall be designed to screen the treatment facilities recharge basins from surrounding properties. Plans shall include fast growing, tall trees as well as a combination of shrubs and ground cover. Plants shall be drought tolerant, fire retardant where necessary and easily maintained. shall be fully installed prior to the City accepting the facilities. The approved landscaping and irrigation Natural vegetation and existing Eccalyptus trees shall be retained wherever possible. All pumps, generators and other noise producing mechanisms shall be placed underground and/or shielded in such a manner to reduce noise attributed to the facility to a maximum of fifty-five dba at property line of all facilities. The applicant shall submit an archaeological investigation for the approval of the Planning Director that indicates the location of any archaeological resources that could be affected by the construction of the treatment facility, recharge basins, effluent line and any accessory pumps, access roads, wells, etc. The final Precise Development Plans shall include means to mitigate any potential impacts noted in this investigation. -1 ~.. .I *. 1 Revised Conditions Page 7 32. 33. 34, 35. 36 - 37, 38. 39. 40. The access way from the plant to Tamarack shall be improved with a minimum of twenty foot wide asphalt concrete drive- way and shall be approved by the City Engineer and Fire Chief. Fire hydrants shall be installed at locations and with flow rates as approved by the Fire Chief or his designee. An asphalt concrete driveway shall be provided to the percolation ponds. The location, dimension end construction of the driveway shall be to the satisfaction of the City Engineer and the Planning Director. The equestrian trail through the treatment plant site as shown on Exhibit A-1, dated April 11, 1979, shall be constructed by the applicant and maintained by the Lake Calavera Hills Homewoners Association, The portion of the equestrian trail located between the treatment plant and the recharge basins shall be placed within the effluent line easement, and shall be constructed by the applicant and maintained by the Lake Calavera Hills Homeowners Associaticn. The CC&R's for Leke Calavera Hills shall contain this condition. Final plans for treatment facilities and recharge basins shall indicate appropriate lighting to provide adequate night time operations. Such lighting shall be designed in a manner so that nearby residences or public streets are not adversely affected. The lighting plan shall be I subject to the approval of the Planning Director. The treatment facility, recharge basins and'any other mechanical appurtenances shall be totally enclosed by a fence a minimum of eight feet in height and designed for security purposes, subject to the requirements of the State Water Ouality Control Board. The applicant shall provide a method approved by the Public Works Administrator for the disposal of. sludge created by the treatment plant. All.equipment proposed to be placed on any roof shall be screened from public view and subject to the approval of the Planning Director. After approval, the applicant shall submit a reproducible copy of the Precise Development Plan which incorporates all requirements of the approval to the City Manager for signature. Prior to signing the final Precise Development a:._ ., .. -, .. "Revised Conditions _- Page 8 41. 'Plan, the City Manager shall determine that all applicable requirements have been incorporated into the plan and that all conditions of approval have been satisfactorily met or otherwise cparanteed. The final signed Precise Develop- ment Plan shall be the official site layout plan for the property and shall be attached to any application for a .building permit on the subject property. This Precise Development Plan shall be effective only when an ordinance approving Zone Change 203 becomes effective. A u Lake Calavera Hills Associates Waste Water Treatment Plant Project Statement of Costs Claimed and Audit Results For the Period December 26, 1979 to June 30, 1981 (With Accountants' Report Thereon) CERTl Fl ED PUBLIC ACCOUNTANTS FOURTEEN CORPORATE PLAZA DRIVE NEWPORT BEACH, CALIFORNIA 92660 QSSOCIATES 714/759-0511 CONRAD - The Honorable City Council of the City of Carlsbad, California We have examined the Statement of Costs Claimed by Lake Calavera Hills Associates applicable to the Waste Water Treatment Plant, construction period interest, cost of connection to the Daon line, cost of the reversible force main from the plant to El Camino Real and cost of the effluent disposal line from the plant to El Camino Real street in Carlsbad, California for the period from December 26, 1979 to June 30, 1981 and teste? the financial transactions, accounts, reports and related supporting documentation. Our examination was made in accordance with generally accepted auditing standards, and, accordingly, included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances. As a result of our examination certain costs were found to be overstated and are identified as suspended costs in the statement of costs claimed and audit results. In addition, certain costs have been listed as questioned costs. The determination as to whether such costs will be allowable will be made by negotiation between the City Council of the City of Carlsbad and the General Partner of Lake Calavera Hills Associates. In our opinion, subject to the effects, if any, of the ultimate resolution of the questioned costs, the accompanying statement of costs claimed and audit results for the period December 26, 1979 to June 30, 1981 presents fairly the costs of the Waste Water Treatment Plant, construction period interest, cost of connection to the Daon line, cost of the reversible force main from the plant to El Camino Real street and cost of the effluent disposal line from the plant to El Camino Real street in Carlsbad, California in accordance with generally accepted accounting principles and the specific terms of the agreement between City of Carlsbad, California and Lake Calavera Hills Associates dated December 26, 1979 for contruction of a 1.2 million gallon capacity sewage treatment plant, as defined. July 24, 1981 Lake Calavera Hills Associates Waste Water Treatment Plant Proiect Statement of Costs Claimed and Audit Results For the Period December 26, 1979 to June 30, 1981 Aud i t Re s ul t s Cost Classification Plant Equipment Site Grading Mechanical Costs Electrical Costs ,Fence, Landscape Backfill Costs Oxidation Ditches Concrete, Forms and Concrete Labor & Materials Design Costs Control Building Filter Press Building Chlorine Building Pump Station Gravity Sewer Clarifiers Di ges tor Clorine Tank Permits Overhead Supervision by Lake costs Claimed $ 403,024 422,403 174,430 126,798 104,595 83,748 182,051 205,464 53,625 40,731 8,402 12,277 4,053 13,736 8,465 5,058 17,079 112,052 Calavera Hills Assoc. 18,228 $2,006,219 Construction period interest 292,861 Connection to Daon line 96,500 Reversible force main line 157,436 Effluent disposal line 144,907 Land 259,700 . costs Accept e d $ 403,024 404,080 174,430 >126,798 104,556 83,748 179,299 179,469 63,625 40,731 8,402 12,277 4,053 13,736 8,465 5,058 17,079 112,052 18,228 $1,959,110 292,861 96,500 155,674 100,278 - .- Total of costs claimed and audit results $2.957.623 $2,604,423 costs Suspended $- 9,164 - - 39 - $16,988 - - 1,762 44,629 4,000 $67.379 costs Questioned - $ 9,159 - - $ 30,121 - 255,700 $285.821 See accompanying notes to statement of costs claimed and audit results (96) Lake Calavera Hills Associates Waste Water Treatment Plant Project Notes to Costs Claimed and Audit Results December 26, 1979 to June 30, 1981 (1) Financial Statement Presentation and Summary of Significant Accountinu Policies Description of Project On December 26, 1979 the City of Carlsbad entered into an agreement with Lake Calavera Hills Associates for construction of a 1.2 million gallon capacity sewage treatment and waste water reclamation facility and necessary appurtenances within the City of Carlsbad. The project as defined in the contract is not fully complete. The accompanying statement of costs claimed includes no estimates of costs to complete the project at June 30, 1981. The accompanying statement of costs claimed includes those costs claimed for construction of the waste water treatment plant, the reversable force main from the plant to El Camino Real Street and the effluent disposal line from the plant to El Camino Real Street in Carlsbad, California. Also included in the statement of costs claimed is an amount for interest during the construction period and cost of connection to the Daon line. Basis of Presentation The accompanying statement of costs claimed has been presented on the accrual basis of accounting. Costs Suspended Costs suspended represent overstatements of costs due to costs identified with other projects, clerical inaccuracies or duplication of costs. Amounts reflected in the statement of costs claimed as suspended costs are considered to be nonchargeable to the project. Costs Questioned Costs questioned represent costs claimed which the auditor was unable to determine the validity and/or acceptability thereof. The ultimate determination as to the allowability of costs questioned will be made by negotiation between the City Council of the City of Carlsbad and the General Partner of Lake Calavera Hills Associates. .. - I. (2) Construction Period Interest Construction period interest has been included in the accompanying statement of costs claimed based upon cash disbursements from April 1, 1980 to June 30, 1981 at a rate of 20% per annum. - I. r Site Grading Lake Calavera Hills Associates Waste Water Treatment Plant Project Detailed Schedule of Questioned Costs For the Period December 26, 1979 to June 30, 1981 Amount The site grading costs included an amount paid to Accurate Gunite for an invoice dated June 9, 1980 with the description "Equestrian Trail and terrace drain - 1;420 I.F. @ $6.45" This cost is questioned as to the necessity of an eques- trian trail at the Waste Water Treatment Plant. Amount questioned Design Costs Included in design costs is an amount of $10,000 which was paid to the City of Carlsbad as a reserve for con- sulting fees for proper application for reclamation outfall and sewage treatment. This cost is questioned as it is not known whether all or a portion of this reserve will be refunded to Lake Calavera Hills Associates. Amount questioned Amounts paid to Irvine Soils Engineering totaling $10,692 are questioned for two reasons. One reason is that the invoices are dated from May 15, 1977 up to January 21, 1978 which is from 31 months to 23 months prior to the date of the agreement of December 26, 1979. The second reason is that there were three separate pro- posals in the files which were dated in this same time period and which were submitted by Irvine Soils Engi- neering. One proposal dated April 25, 1977 was to perform percolation testing at four locations in the Lake Calavera Hills Development area. Another proposal was to perform a hydrogeologic investigation for Lake Calavera Hills Development to determine the suitability of the downstream area to accept the proposed sewage effluent and to determine the possibility that effluent might surface downstream. The third proposal dated May 26, 1977 was for preliminary soils and geologic investigation of the 100+ acres located near proposed Elm Avenue and Tamarack Avenue, Lake Calavera Hills Development. $ 9,159 10,000 r .. __ Progress payments were made to Irvine Soil Engineering from time to time for this work without a specific ex- applied to, so we could not determine in some instances which proposal the payment related to. - planation as to which invoice the payment was to be Amount questioned Land Land costs of $255,700 are questioned as we were unable to determine the validity of the acreage used and the valuation per acre as used in the computation of the total land cost. The land valuation computations sub- mitted by Lake Calavera Hills Associates and questioned by us are as follows: 10,962 Waste Water Treatment Plant Access Road from Tamarack Ave. to Plant Land for reversible force main and 4.545 acres @ $20,000 per acre $ 90,900 .220 acres @ $20,000 per acre 4,400 effluent disposal lines 2.000 acres @ $20,000 per acre 40 , 000 Land for transmission lines for reclamation 1.610 acres @ $20,000 per acre 32,200 4.41 acres @ $20,000 per acre 88,200 255,700 Land for storage for reclamation Total questioned costs $285 , 821 .. - .- r Lake Calavera Hills Associates Waste Water Treatment Plant Project Detailed Schedulz of Suspended Costs For the Period December 26, 1979 to June 30, 1981 ,- Amount Site Gradina The site grading costs included an amount for grading for which a credit had been received from BRG & Associates for dirt moved unnecessarily Amount suspended $ 9,164 Fence, Landscape Backfill Costs Included as fence costs was an amount of $39 more than actual billings and payments to Crown Fence Amount suspended 39 Concrete, Form and Concrete Labor and Materials Included as concrete costs was an amount of $2,452 more than actual billings and payments to Symonds Corporation Amount suspended 2,452 Included in concrete was an amount paid in error to Pacific Concrete Pumping of $300 Amount suspended 300 Desicrn Costs The design costs included an amount paid to Irvine Soils Engineering of $2,500 which was duplicated by including the amount twice Amount suspended 2,500 Design costs included an amount for aerial photos for which a reimbursement had been received from Koll Company 2,752 Amount suspended 1,525 t- .. , L I. Design costs included an amount paid to BRG & Associates which was duplicated Amount suspended 899 Design costs included an amount paid to Irvine Soils Engineering which was duplicated Amount suspended 109 Reversible Force Main Line Included an amount which should not have been charged to this project Amount suspended Effluent Disposal Line Included amounts which should not have been charged to this project Amount suspended Land A clerical error in the computation of the value of the land was found Amount suspended Total suspended costs 5,033 1,762 44,629 4,000 $67,379 Ji 0 LAKE CALAVERA HILLS SEWAGE TREATMENT PLANT Project Description The design of the LCH facility is based on the extended aeration variation of the activated sludge process utilizing comminution, mechanical aeration, secondary clarification, effluent chlorination, aerobic digestion and a sludge belt press for sludge dewatering. A plot plan of the treatment plant is attached. Raw sewage flows through the influent flow metering channel as it enters the plant and continues on to the headworks. There the sewage' passes through either the comminutor or a stationary bar screen. The comminutor is a grinding and shredding unit designed to reduce in size the bulky material contained in sewage. This component is necessary to facilitate the dispersion of solids in the aeration basins and helps prevent the clogging of pumps and valves. ' flow periods. Complementing this unit is the standby bar screen located in the adjacent channel at the headworks. The bar screen is utilized to screen out rags and other solid material during periods of extended power outage, comminutor failure, and comminutor failure, and cornminutor maintenance. Sewage flow is continuous through this unit during all The incoming sewage flows by gravity from the comminutor station to the first stage of biological treatment, the oxidation ditch.. *The ditch is an oval-shaped basin containing a mass of suspended solid material called activated sludge. Activated sludge contains active aerobic organisms. As the sewage is mixed with the activated sludge .the organisms feed on the dissolved and particulate organic matter contained in the sewage. Dissolved.oxygen is required to support the life of the aerobic organisms and is maintained in the ditch through mechanical aeration by two rotary brush aerators. Oxygen is dissolved into the liquid through agitation of the liquid by the rotating aerators. The amount of oxygen applied is dependent on the depth that the rotary aerators are immersed in the liquid and is controlled by the use of an adjustable weir at the outlet end of the aeration ditch. Contact with the activated sludge organisms significantly re- duces the organic content of the incoming sewage afte> a few hours. The overflow from the aeration ditch (now called mixed liquor) is transferred by gravity from the ditch to the secondary clarifier. The clarifiers are circular in design and are utilized to separate the activated sludge from the treated liquid. Separation is accom- plished through gravity settling. As mixed liquor enters the clarifier influent center well the activated sludge settles to the bottom of the tank. The tank is equipped with'a rotary sludge collector. As the collector rotates the settled solids are moved toward the center of the tank and collected in a sludge hopper. Clarified liquid (secondary effluent) passes over the weir launders to the next stage of treatment. Floatable material is removed from the clarifier surface by a skimming arm attached to the rotary sludge (103) .', . -2- collector. The skimmings are collected in a circular pattern and deposited in the scum box. Settled activated sludge in the clarifier is removed through the use of an adjustable telescoping valve that discharges into the return activated sludge wet well. Skimmings collected in the scum box also discharge into the RAS wet well. ditch for contact with the incoming raw sewage. Excess activated sludge (waste activated sludge) is removed from the system through the waste activated sludge meter. A calculated volume of waste sludge is transferred to the aerobic digester along with secondary skimmings for stabilization. The stabilized sludge is then pumped to the belt press for dewatering prior to disposal to sanitary landfill. Treated and clarified secondary effluent flows by grav- ity through a metering flume to the chlorine contact tank for effluent disinfection prior to discharge to the effluent disposal Three centrifugal pumps return the' RAS back to the aeration . line. 1 LAKE CALAVERA WILLS .. -. ................. I. r. ' .......... ... .... .. .... ............ /.-..., .................. .... CALAVERA HILLS SEWAGE TREATMENT PLAN1 ........... ,. ........ , .. ' "- A-