HomeMy WebLinkAbout1989-12-05; City Council; 10399; Vista Carlsbad wastewater treatment leaseCIT^OF CARLSBAD — AGENDQBILL
AB#_
MTG. 12-5-89
DEPT..ENG.
TITLE:
VISTA/CARLSBAD
WASTEWATER TREATMENT
CAPACITY LEASE AGREEMENT
RECOMMENDED ACTION:
Adopt Resolution No.
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authorizing the City Engineer
to execute a notice to the City of Vista of termination of
Wastewater Treatment Capacity Lease Agreement approved
September 13, 1988.
ITEM EXPLANATION:
On September 13, 1988, the Council approved the subject lease
agreement with the City of Vista to secure up to 1.2 million
gallons a day (MGD) of wastewater treatment capacity. This
lease was required to insure capacity availability to meet
Growth Management Standards.
At the time the lease was executed, Carlsbad's reported flows
at Encina were nearing its 5.72 MGD capacity. The reported
flows for Carlsbad were derived based on a theoretical
calculation assuming 220 gallons per day per equivalent
dwelling unit. (EDU)
During this past year Encina has implemented an automated
metering system and is now reporting actual metered flows for
all agencies. The result of this flow metering has reduced
Carlsbad flows from 5.79 MGD to 4.80 MGD in the month of
October. Vista's flows have correspondingly increased.
In addition to the flow reduction, since the lease was executed
the Encina facility has been re-rated from 22.5 MGD capacity
to 27.16 MGD. Carlsbad's capacity correspondingly increased
from 5.72 MGD to 6.20 MGD.
Given the decrease in flow, the interim increase in capacity
and initiation of the Phase IV expansion of Encina, staff
recommends the lease with Vista be terminated.
FISCAL IMPACT:
Cancellation of the lease will save the city up to $150,000 in
lease payments over the 2 year period required to complete the
Phase IV expansion.
EXHIBITS:
1. Resolution No.
2. Wastewater Treatment Capacity Lease Agreement.
RESOLUTION NO. 89-421
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD,
CALIFORNIA, AUTHORIZING THE CITY ENGINEER TO EXECUTE A
NOTICE TO THE CITY OF VISTA OF TERMINATION OF THE
WASTEWATER TREATMENT CAPACITY LEASE AGREEMENT APPROVED
SEPTEMBER 13. 1988.
4 WHEREAS, the City of Carlsbad no longer requires the
5 additional wastewater treatment capacity provided by the City of
Vista pursuant to the Wastewater Treatment Capacity Lease Agreement
„ approved September 13, 1988; and
WHEREAS, the Wastewater Treatment Capacity Lease Agreement
8I requires the City of Carlsbad to provide the City of Vista thirty
9
(30) days written notice prior to termination of the lease.
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the
1 City of Carlsbad, California, as follows:
12 i. That the above recitations are true and correct.
13 2. That the City Engineer is authorized to execute a thirty
14 (30) day written notice to the City of Vista that the City of
Carlsbad is terminating the Wastewater Treatment Capacity Lease
Agreement approved on September 13, 1989, pursuant to terms of the
agreement.
17 y
PASSED, APPROVED AND ADOPTED at a regular meeting of the
18 Carlsbad City Council held on the 5th day of December 1989
19 by the following vote, to wit:
AYES: Council Members Lewis, Kulchin, Pettine and Larson
NOES: None
22 ABSENT: None
23
24 tLAUDE A. EEWIS, Mayor
ATTEST:
25
26
ALETHA L. RAUTENKRANZ, City Clerk
27 (SEAL)
28
WASTEWATER TREATMENT CAPACITY
LEASE AGREEMENT
This Agreement is made and entered into to be
effective , 1988 by and between the City of Vista
(hereinafter "VISTA") and the City of Carlsbad (hereinafter
"CARLSBAD").
RECITALS
A. VISTA has wastewater treatment capacity in the
Encina Water Pollution Control Facility ("ENCINA"). A
portion of this wastewater treatment capacity not encumbered
by prior Lease commitment is temporarily available for use
by CARLSBAD for an interim period of time.
B. CARLSBAD acknowledges that the future needs of
VISTA require that the wastewater treatment capacity
transferred therein be returned to VISTA upon the
termination of this lease.
C. CARLSBAD desires to obtain treatment capacity to
cover the time period until Phase IV expansion of ENCINA
PLANT is completed or other capacity is obtained.
D. CARLSBAD acknowledges VISTA'S rights and
responsibilities under existing Leases currently in effect
with the Leucadia County Water District, the City of
Oceanside and the Buena Sanitation District.
E. The Leucadia County Water District currently has a
lease of capacity from VISTA for 1.2 million gallons per day
average annual dry weather flow (m.g.d.a.a.d.w.f.). This
lease will expire at or before the start of Phase IV
construction.
F. The City of Oceanside currently has a lease of
capacity from VISTA for a maximum of 2.15 m.g.d.a.a.d.w.f.
to serve the area of Oceanside south of Highway 78. The
estimated flow from this area currently is 0.8
m.g.d.a.a.d.w.f. At the present time, Oceanside is sending
no flow to VISTA under this lease.
G. The Buena Sanitation District currently has a
lease of capacity from VISTA for 0.3 m.g.d.a.a.d.w.f.
Buena is utilizing the entire 0.3 m.g.d.a.a.d.w.f. under
this lease.
NOW THEREFORE, in consideration of the mutual covenants
and conditions herein contained, the parties hereto agree as
follows:
1. Transfer of Treatment Capacity. VISTA
hereby leases to CARLSBAD and CARLSBAD hereby leases from
VISTA a portion of VISTA'S wastewater treatment capacity in
ENCINA in conformance with all the terms and conditions of
this lease. The amount of capacity leased shall vary based
on CARLSBAD'S flow in excess of ENCINA capacity as reported
on ENCINA flow and EDU reports. At no time shall the leased
amount exceed 1,200,000 gallons per day average daily dry
weather flow (g . p.d.a.d.d.w.f.).
2. Term of Lease. This lease shall begin upon
approval by both agencies.
3. Termination of Lease. This lease shall
terminate when either of the following occurs.
a. VISTA shall provide written notice to CARLSBAD
that VISTA in its sole reasonable discretion
needs the capacity leased to CARLSBAD.
CARLSBAD then has 180 days to replace the
capacity through the following means:
(1) Activation of Lake Calavera Hills Water
Reclamation Plant.
(2) Transfer of such flows for treatment by
the City of Oceanside.
(3) Provision of Lease Agreement with other
Encina Joint Powers member agencies.
b. The ENCINA Phase IV project is completed.
c. CARLSBAD shall provide 30 day written notice
to VISTA that CARLSBAD at its sole reasonable
discretion does not need the capacity.
4. Encina Re-Rate. VISTA and CARLSBAD agree to
pursue the re-rating of ENCINA to obtain additional
treatment capacity.
5. Buena Sanitation District Flows. This Agreement
will- not limit in any way VISTA'S ability to make leases
with the Buena Sanitation District to meet Buena's shortfall
of capacity. Any capacity leased to Buena Sanitation
District will be assumed, for the purpose of this lease, to
be flow derived from VISTA.
•
6. Oceanside Flows. Any flow from the City of
Oceanside provided for in the Vista/Oceanside Flow Transfer
Agreement dated October 24, 1984, shall also be viewed, for
the purpose of this lease, as flow from VISTA.
7. Activation of the Lake Calavera Hills Water
Reclamation Plant. Prior to July, 1989, CARLSBAD shall
perform a 60-day operational test of the Lake Calavera Hills
Water Reclamation Plant. This test will include 30 days of
operation with wastewater. All costs associated with the
testing, repair and operation of the Lake Calavera Hills
Water Reclamation Plant shall be borne by CARLSBAD.
8. Flow Determination. Flow quantities for
purposes of this agreement shall be based on measurements
reported in the monthly Encina Flow Report. CARLSBAD within
180 calendar days of execution of this lease shall install
an ADS (brand) or equivalent acceptable meter at the outfall
of the VISTA/CARLSBAD trunk into ENCINA. VISTA within 180
calendar days of execution shall install an ADS (brand) or
equivalent acceptable meter at the VISTA metering station on
the VISTA/CARLSBAD trunk. Measured flow shall be
periodically verified through comparison with equivalent
dwelling unit (EDU) information utilizing a flow rate of 210
gallons per EDU in both cities.
9. Payment. From the effective date of this lease
CARLSBAD shall pay:
(a) A capacity availability charge for the first
year'.s lease of $30,000.00. Said charge is to increase each
year 'thereafter by an additional $30,000.00 per year to a
maximum annual charge of $150,000.00 per year. The first
payment is due upon execution of the lease and all
subsequent payments are due on the annual anniversary of
this agreement.
(b) When CARLSBAD'S flow at ENCINA exceeds its
capacity, CARLSBAD shall also pay ENCINA operation and
Maintenance costs associated with such excess flow as
determined by the "use" component of the ENCINA Budget and
any adjustments thereto approved by Encina.
10. Ocean Outfall Capacity. VISTA shall have the
option of "leasing outfall capacity f or $ 19, 000.00 per year,
1988 dollars to be adjusted for inflation pursuant to the
ENR index, for each one million gallons per day peak flow.
The lease of outfall capacity shall be accomplished by a
written agreement between VISTA and CARLSBAD. The terms
shall include the terms of this Agreement as appropriate.
This option shall expire when the lease of treatment
capacity expires as provided for in Section 3 of this
agreement.
11. Hold Harmless. CARLSBAD shall indemnify and
hold VISTA harmless from any claims, losses, liabilities, or
other damages due to capacity infringements, whether by act,
error, or omission, on leased or owned capacity of other
agencies due to CARLSBAD'S use of capacity under this
Agreement. CARLSBAD shall likewise indemnify and hold VISTA
harmless from any claims, losses, liabilities or other
damages for CARLSBAD'S inability to meet the conditions of
section 3(a) of this Agreement. All indemnifications and
holding harmless in this paragraph shall include such costs
as administrative fines and attorney fees, as well as any
other costs.
12. Nonassignment. Neither this agreement nor the
rights, obligations and duties of either party may be
assigned, hypothecated, encumbered or transferred without
the prior written approval of the other party.
13. Binding Nature.
convenants and conditions
benefit of, and bind the
parties hereto.
This Agreement and its terms,
shall apply to, inure to the
successors and assigns of the
14. Entire Agreement. This Agreement represents
the entire agreement between the parties, superseding and
replacing any prior negotiations, discussions or agreements
of the parties relation to the subject matter hereof.
15. Amendment. This Agreement may be amended
at any time by an agreement in writing signed by both
parties.
16. Attorney's Fees. In the event of litigation to
interpret or enforce the terms of this Agreement, the
prevailing party shall be entitled to recover its reasonable
attorneys' fees in addition to costs.
Any notice or other instrument
shall be deemed delivered if
in the United States mail and
17. Written Notice.
required by this agreement
deposited, certified mail,
addressed as follows:
"VISTA"
City of Vista
600 Eucalyptus Avenue
Vista, CA 92083
Attn: City Manager
"CARLSBAD"
City of Carlsbad
1200 Elm Avenue
Carlsbad, CA 92008
Attn: City Manager
Notice of a change of address shall be delivered in the
same manner as any other notice provided by this paragraph,
but shall not be deemed effective until received by the
other party to this agreement.
IN WITNESS WHEREOF, the parties have hereto executed
this Agreement the day and year first hereinabove written.
CITY OF CARLSBAD CITY OF VISTA
By: By:
Title: Title:
Attest: Attest:
City Clerk City Clerk