HomeMy WebLinkAbout2022-11-08; City Council; ; Setting Public Hearing Date for New Hydraulic Modeling FeesCA Review CKM
Meeting Date: Nov. 8, 2022
To: Mayor and City Council/President and Board Members
From: Scott Chadwick, City Manager/Executive Manager
Staff Contact: Dave Padilla, Utilities Engineering Manager
dave.padilla@carlsbadca.gov, 442-339-2356
Shoshana Aguilar, Senior Management Analyst
shoshana.aguilar@carlsbadca.gov, 760-814-0241
Subject: Setting Public Hearing Date for New Hydraulic Modeling Fees
Districts: All
Recommended Actions
1.Adopt a resolution of the City Council of the City of Carlsbad setting Dec. 6, 2022, as the
date for a public hearing regarding adopting fees for hydraulic modeling services for the
wastewater collection system.
2.Adopt a resolution of the Board of Directors of the Carlsbad Municipal Water District
setting Dec. 6, 2022, as the date for a public hearing regarding adopting fees for water
and recycled water system hydraulic modeling.
Executive Summary
The potential hydraulic impacts on utility systems resulting from proposed development
projects are evaluated by a hydraulic modeling consultant using a computer model of a utility
pipe network. The current practice for development project reviews is to have the developer’s
hydraulic modeling consultant conduct the analysis, often using simplified and uncalibrated or
outdated computer models that do not adequately characterize a project’s impacts on water
and recycled water and wastewater systems.
The Utilities Department staff now have the capability to conduct hydraulic modeling using the
services of an independent consultant and an updated and calibrated hydraulic model of the
water distribution system. This is necessary to identify and mitigate the potential hydraulic
impacts on utility systems resulting from development projects.
Staff are recommending establishing a new set of service fees to charge developers for
hydraulic modeling and staff review expenses.
If the City Council and the Carlsbad Municipal Water District (CMWD) Board of Directors1 wish
to charge such fees, both entities would first need to schedule public hearings on the matter in
1 The CMWD Board approved the water-related fees contained in the city’s Master Fee Schedule through
Resolution No. 1674 on June 14, 2022.
Nov. 8, 2022 Item #2 Page 1 of 10
JOINT CI TY c,o u NCIL AND
CARLSBAID ,MUNICI PA l WATER DISTRI CT
Staff Report
accordance with California Government Code sections 66016-66019, which set the procedures
for governments to adopt various fees. Resolutions scheduling a public hearing to consider the
recommended options for both the city and the CMWD are included as Exhibits 1 and 2.
Discussion
Background
The potential hydraulic impacts on utility systems resulting from proposed development
projects are evaluated by a hydraulic modeling consultant using a computer model of a utility
pipe network. This model predicts pipe flow velocity and pressure under the added hydraulic
demands of development projects.
As described in the city’s engineering standards, new developments may be required to
conduct hydraulic analyses and produce impact studies to determine system capacity and any
improvements needed to meet a project’s demands. The cost of this analysis should be borne
by the developers creating the need.
The current practice for reviewing development projects is to have the developers’ hydraulic
modeling consultant conduct the analysis, often using simplified and uncalibrated or outdated
computer models that do not adequately characterize a project’s hydraulic impacts.
However, the analyses currently conducted by consultants do not account for recent changes to
the water system resulting from development, or from the city and water district’s capital
improvement projects. These models are no longer deemed reliable to adequately assess the
hydraulic impacts of proposed development projects and to identify pipe segments that may
require the developer to increase the capacity of a pipe to accommodate the new flow.
Updated model of system
The new hydraulic model of the potable water distribution system was built by Innovyze, a
leading software developer in the water industry, using CMWD’s GIS-based pipe network. The
model was calibrated by Kennedy Jenks, the CMWD’s hydraulic modeling consultant, using
system-wide hydraulic demands from metered water consumption data. The cost to build and
calibrate the hydraulic model is an operational cost and is not included in the proposed fees.
This new model will provide confidence in the analysis of the water distribution system’s
capacity in identifying any improvements needed to convey potable water to development
sites, in accordance with the city’s engineering standards and California’s Subdivision Map Act,
which gave local agencies control over subdivisions.
Staff propose to task the consultant with modeling the hydraulic demands of new
developments based on each project’s development density and type, the water generation
factors contained in the Water Master Plan and fire flow requirements of adopted city fire
codes and standards. This will ensure an unbiased analysis of the potential hydraulic impacts
using the latest water distribution system model. The analysis will be able to identify any pipe
segments that cannot meet the required hydraulic design criteria, which are flow rate and
pressure, due to deficient pipe diameters or inadequate water system redundancy.
By establishing a new set of service fees, staff will be able to charge developers for the
hydraulic modeling and staff review expenses. The independent hydraulic modeling consultant
would bill the Utilities Department or Carlsbad Municipal Water District directly, and the actual
costs for consultant fees would be passed on to the developer. The proposed fee would include
Nov. 8, 2022 Item #2 Page 2 of 10
staff time for review and processing of the consultant’s work at rates established in the most
recent City Council approved cost-of-service study.
Basis for potable water modeling fee
The cost to conduct hydraulic modeling varies with the size of a project and the complexity of
the water system, and staff recommend recovering the cost based on the consultant’s actual
billings. Maintaining the model with the help of a contracted consultant to reflect changes in
the water distribution system would ensure reliability, quality and confidence in the modeling
results. The end results are that developers can have their projects approved with confidence
that their water demands will be met and that deficient pipe segments would be replaced when
hydraulic impacts are identified, in compliance with CMWD Ordinance No. 47,2 the city’s
engineering standards and the Subdivision Map Act.
A companion processing fee could also be established for staff time to review consultant work.
At present, staff costs for water hydraulic modeling or review are not recovered by
development review fees. The proposed processing fees, described in more detail below, are
based on the city’s most recent cost-of-service study, which was adopted by the City Council in
2021. Staff review of hydraulic modeling results ensures that no project moves forward without
available water system capacity for the proposed development.
Basis for recycled water and wastewater modeling fees
There is currently no need for recycled water hydraulic modeling because the distribution
system is in its final stages of build-out in accordance with the Recycled Water Master Plan and
the associated hydraulic modeling. The recycled water distribution system has fewer customer
connections and smaller demands than the potable system’s domestic and firefighting
demands. The fee structure established by the recommended action will apply when hydraulic
modeling is necessary to evaluate recycled water demands not previously evaluated in the
Recycled Water Master Plan.
Wastewater hydraulic modeling also involves a complex pipe network and evaluation of sewer
generation rates and, with the exception of capital improvement project design, is currently
performed by a developer’s consultant. While the Utilities Department does not currently
charge for wastewater hydraulic modeling by the city’s consultant, staff propose to establish
this fee at the actual cost to evaluate new developments or those that propose a zoning change
or higher development density that differs from the Sewer Master Plan, as updated in 2019,
that would result in increased rates of sewer generation.
A processing fee will also be established for staff time to initiate consultant tasks and review
their work.
Proposed fee structure
This proposed fee structure is similar to the Community Development Department’s fees for
“third party review-consultant cost,” which is billed at actual cost and can be found in the fiscal
year 2022-23 Master Fee Schedule. A processing fee will be charged for each third-party review
for determination of modeling scope, engineering review and processing consultant billings.
2 CMWD Ordinance No. 47 defined and established the prices and conditions of water delivery, and provided the
method of establishing and fixing rates and charges for water delivered and for the extension of CMWD’s facilities.
Nov. 8, 2022 Item #2 Page 3 of 10
These fees will apply when new or increased hydraulic demands not previously accounted for in
City or CMWD master plan studies or system hydraulic models are proposed.
Fee Name Fee type Notes Hours at rate Fee/deposit
Third-party hydraulic modeling-
consultant cost per project 1, 4 Actual Cost
Water
System pressure check each 2 1.5 at $217 $326
1-4 units residential and
commercial > 9,400 square feet per project 2, 3 3 at $217 $651
All others per project 2, 3 5.0 at $217 $1,085
Recycled water
System pressure check each 2 1.5 at $201 $302
1-4 units residential and
commercial greater than 9,400
square feet
per project 2, 3 2.5 at 201 $503
All others per project 2, 3 5.0 at 201 $1,005
Wastewater
1-4 units residential and
commercial greater than 9,400
square feet
per project 2, 3 2.0 at 191 $382
All others per project 2, 3 4.0 at 191 $764
[1] Set by city policy
[2] Set by 2021 Cost-of-Service Study
[3] Staff cost is in addition to actual consultant billings
[4] Total fee will reflect actual consultant billings
Other cities and water agencies also charge developers for hydraulic modeling. In some cases,
deposit accounts are used, and costs for third party modeling and engineering staff review may
be withdrawn from the accounts. The table below shows how some other agencies bill:
Agency Fee Fee basis
City of Oceanside Varies, $2,626 to over
$10,662 Based on number of units
Ramona Municipal Water District $2,000 Deposit plus time and
materials
San Dieguito Water District
(Encinitas) $1,000 Deposit plus time and
materials
Vallecitos Water District (San
Marcos and a portion of Carlsbad) $600 to $2,500 Deposit plus time and
materials
Vista Irrigation District $1,140 Flat fee
Nov. 8, 2022 Item #2 Page 4 of 10
Options
Staff provide the following options for consideration by the City Council and the CMWD Board:
1. Schedule a public hearing to consider adopting hydraulic modeling fees
Pros
• Provides a mechanism for cost recovery of consultant hydraulic modeling costs and
staff costs for review and processing
• Will allow for an independent evaluation of hydraulic impacts resulting from
development projects using the latest, calibrated hydraulic model
• Conforms with the process described in the city’s engineering standards for
development project review and processing
• Should decrease staff time for review of hydraulic studies and the number of
submittal iterations for developers
Cons
• Developers will have to familiarize themselves with a new process
• Developers will be billed for the Utilities Department staff’s time
2. Do not schedule a public hearing to consider adopting hydraulic modeling fees
Pros
• Developers will continue to contract directly with a consultant for hydraulic
modeling services
Cons
• Does not provide a mechanism to recover staff costs for review and processing of
hydraulic studies
• Costs for review and processing of hydraulic studies are not borne by the developer
• Continues the iterative review process for staff review of studies that does not
conform with the city’s engineering standards
• Hydraulic studies will continue to use models that do not adequately characterize
potential impacts on utility systems resulting from development projects
Staff recommend Option 1 for the City Council’s and the CMWD Board’s approval.
Fiscal Analysis
There will be no net revenue or expense associated with the consultant cost, as that fee will
reimburse the city and the CMWD at actual cost. Staff time will be recovered at the full cost of
service which includes direct and indirect costs as calculated in the city’s most recent cost-of-
service study.
Based on past reviews, staff estimate up to 50 hydraulic modeling results could be reviewed
each year. Based on historical trends, if the City Council and the CMWD Board adopt the
hydraulic modeling fees, annual revenue is estimated at $48,800, which would be routed to the
operating fund responsible for hydraulic modeling costs. These fees may offset project costs in
water, recycled water or wastewater.
Nov. 8, 2022 Item #2 Page 5 of 10
Next Steps
If the City Council and the CMWD Board wish to consider adopting the hydraulic modeling fees
as recommended by staff and approve the resolutions in Exhibits 1 and 2, a public hearing on
the matter will be held at the joint City Council/CMWD Board meeting at 5:00 p.m. on Dec. 6,
2022.
If the City Council and the CMWD Board adopt the fees, they will go into effect no sooner than
60 days after adoption, in accordance with California Government Code Section 66017.
Environmental Evaluation
This action does not constitute a project within the meaning of the California Environmental
Quality Act under Public Resources Code section 21065 in that it has no potential to cause
either a direct physical change in the environment or a reasonably foreseeable indirect physical
change in the environment.
Public Notification
This item was noticed in accordance with the Ralph M. Brown Act and it was available for public
viewing and review at least 72 hours prior to the scheduled meeting date.
Exhibits
1.City Council resolution
2.CMWD Board resolution
Nov. 8, 2022 Item #2 Page 6 of 10
RESOLUTION NO. 2022-254
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD,
CALIFORNIA, SETTING A PUBLIC HEARING FOR 5 P.M. ON DEC. 6, 2022, TO
CONSIDER ADOPTING FEES FOR WASTEWATER COLLECTION SYSTEM
HYDRAULIC MODELING SERVICES TO THE CITY'S MASTER FEE SCHEDULE
WHEREAS, the City Council received a report from staff on hydraulic modeling services on
Nov. 8, 2022; and
WHEREAS, staff have proposed the City Council add fees for wastewater collection system
hydraulic modeling services to the City of Carlsbad Master Fee Schedule; and
WHEREAS, the City Council has determined it is in the public interest to consider adopting the
proposed fees;and
WHEREAS, before determining whether to adopt the proposed fees, California Government
Code Sections 66016-66019 require the City Council to schedule and hold a public hearing to receive
oral and written comments on the proposed fees.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as
follows:
1.That the above recitations are true and correct.
2.That the public hearing to consider adding fees for wastewater collection system
hydraulic modeling services to the City of Carlsbad Master Fee Schedule will be held at
the City Council meeting on Tuesday, Dec. 6, 2022, at 5 p.m.
3.That the City Clerk is directed to provide notice of the public hearing in the manner
required by California Government Code Sections 66016-66019.
Exhibit 1
Nov. 8, 2022 Item #2 Page 7 of 10
PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of
Carlsbad on the 8th day of November, 2022, by the following vote, to wit:
AYES:
NAYS:
ABSENT:
Hall, Blackburn, Bhat-Patel, Acosta, Norby.
None.
None.
MATT HALL, Mayor
-r--FAVIOLA MEDINA, City Clerk Services Manager
(SEAL)
Nov. 8, 2022 Item #2 Page 8 of 10
---1:::::::::::fjfy
RESOLUTION NO. 1686
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE CARLSBAD
MUNICIPAL WATER DISTRICT OF THE CITY OF CARLSBAD, CALIFORNIA,
SETTING A PUBLIC HEARING FOR 5 P.M. ON DEC. 6, 2022, TO CONSIDER
ADOPTING FEES FOR WATER AND RECYCLED WATER SYSTEM HYDRAULIC
MODELING SERVICES TO THE CITY OF CARLSBAD MASTER FEE SCHEDULE
WHEREAS, the Board of Directors of the Carlsbad Municipal Water District approved the water
related fees contained in the City of Carlsbad Master Fee Schedule through Resolution No. 1674 on
June 14, 2022; and
WHEREAS, the Board of Directors received a report from staff on hydraulic modeling services
on Nov. 8, 2022; and
WHEREAS, staff have proposed the Board of Directors add fees for water and recycled water
system hydraulic modeling services to the City of Carlsbad Master Fee Schedule; and
WHEREAS, the Board of Directors have determined it is in the public interest to consider
adopting the proposed fees; and
WHEREAS, before determining whether to adopt the proposed fees, California Government
Code Sections 66016-66019 require the Board of Directors to schedule and hold a public hearing to
receive oral and written comments on the proposed fees.
NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of the Carlsbad Municipal Water
District of the City of Carlsbad, California, as follows:
1.That the above recitations are true and correct.
2.That the public hearing to consider adding fees for water and recycled water system
hydraulic modeling services to the City of Carlsbad Master Fee Schedule will be held at
the Carlsbad Municipal Water District Board meeting on Tuesday, Dec. 6, 2022, at 5 p.m.
3.That the Secretary is directed to provide notice of the public hearing in the manner
required by California Government Code Sections 66016-66019.
Exhibit 2
Nov. 8, 2022 Item #2 Page 9 of 10
PASSED, APPROVED AND ADOPTED at a Special Meeting of the Board of Directors of the
Carlsbad Municipal Water District of the City of Carlsbad on the 8th day of November, 2022, by the
following vote, to wit:
AYES:
NAYS:
ABSENT:
Hall, Blackburn, Bhat-Patel, Acosta, Norby.
None.
None.
MATT HALL, President
� FAVIOLA MEDINA, City Clerk Services Manager
(SEAL)
Nov. 8, 2022 Item #2 Page 10 of 10