BOARD AGENDA MEMORANDUM
SUBJECT:
Title
Update on the Countywide Water Reuse Master Plan, Project No. 91101004.
End
RECOMMENDATION:
Recommendation
A. Receive information on the Countywide Water Reuse Master Plan;
B. Provide direction regarding November 14, 2018 recommendations from the Recycled Water Committee; and
C. Provide direction regarding the ongoing development of the Countywide Water Reuse Master Plan.
Body
SUMMARY:
This agenda memorandum provides a summary of the technical studies and analysis completed to date for the Countywide Water Reuse Master Plan (Reuse Master Plan).
The Reuse Master Plan, which is scheduled to be completed by Fall 2019, will establish the strategies for increased water reuse in Santa Clara County (County). The Reuse Master Plan is being developed in collaboration with local recycled water producers, wholesalers, retailers, users, and other interested parties. The Reuse Master Plan recognizes that the District, with its responsibilities for wholesale water supply and groundwater management in the County, will have a leadership role in setting and implementing water reuse strategies. Importantly, cities and water distribution companies have the opportunity to sustain and advance water reuse within their respective service areas.
The Reuse Master Plan will identify: the volume of water available for potential potable reuse (PR) development and non-potable reuse (NPR) expansion; a consensus balance between future PR and NPR programs; options for water reuse system integration; opportunities for building upon existing NPR projects; and potential new PR projects. It will also discuss governance model options including roles and responsibilities.
The District is conducting a process to engage various interest groups, including agencies that operate wastewater treatment plants and produce recycled water (referred to as “Partner Agencies”), policymakers, stakeholders, industry experts, regulators, business interests, ratepayer advocates, environmental groups, and the public. The Partner Agencies and associated facilities are as follows:
• City of Palo Alto and City of Mountain View
o Palo Alto Regional Water Quality Control Plant and recycled water system;
• City of Sunnyvale
o Sunnyvale Water Pollution Control Plant and recycled water system;
• City of San José and City of Santa Clara
o San José-Santa Clara Regional Wastewater Facility and South Bay Water Recycling; and
• South County Regional Wastewater Authority
o South County Wastewater Treatment and Reclamation Facility and recycled water system.
Discussions are conducted mainly through meetings and strategic workshops.
BACKGROUND:
CEO Interpretation of Board Governance Policy sets an objective to meet at least 10% of the County’s total water demands using recycled and purified water. To achieve this recycled and purified water objective, the District is developing a comprehensive Reuse Master Plan, which aims to improve water supply reliability through increased water reuse in collaboration with recycled water producers, wholesalers, water retailers, end-users, and other interested parties. This approach is consistent with updates to the District’s Water Supply Master Plan, which supports investment in diverse, locally controlled supplies. The goal of the Reuse Master Plan is to build upon existing planning studies by integrating this information and further evaluate opportunities for agency collaboration.
Beginning in 2016, staff has been providing updates on Reuse Master Planning efforts to the Board’s Recycled Water Committee and the four Joint Committees with representatives from Partner Agencies. In addition, multiple stakeholder workshops have been held each year. Additional workshops are being scheduled during the planning process to further engage stakeholders and receive their input.
The Reuse Master Plan is being developed in stages, defined by certain deliverables. These deliverables, which will eventually be assembled into a cohesive Reuse Master Plan, are as follows:
Project Definition, Roles and Responsibilities Technical Memorandum (TM)
This deliverable establishes the project purpose, describes roles and responsibilities of the District and Partner Agencies, and provides a basis for subsequent task deliverables.
Regulatory Framework Technical Memorandum
This deliverable provides a brief history and overview of water reuse policy in California, including relevant regulations, regulatory agencies’ responsibilities, recycled water use in the County and recycled water regulatory structure. The deliverable describes a Non-Potable Reuse (NPR) and Potable Reuse (PR) framework, including approaches, a regulatory summary, and regulatory requirements.
Baseline Analysis Technical Memorandum
This deliverable describes the current state of water reuse in the County. Treated effluent from the four wastewater treatment facilities in the County supplies the four existing in-County NPR systems.
The District analyzed current and projected conditions at each of the four NPR producers to estimate the volume of water available for reuse. The Baseline Analysis Deliverable identifies key countywide water reuse assumptions and existing conditions.
Project Portfolio Development
This deliverable will describe potential water reuse projects developed with input from stakeholders to achieve shared objectives of a sustainable water supply. Based on Partner Agency feedback to date, the District has assembled potential projects into portfolios for further discussion and evaluation.
These five portfolios utilize existing treatment plants, reuse facilities and related infrastructure as described below:
• Portfolio #1 features expanded and interconnected enhanced NPR systems with phased Indirect Potable Reuse (IPR) or Direct Potable Reuse (DPR) supply from the San José-Santa Clara Regional Wastewater Facility,
• Portfolio #2 features expanded and interconnected enhanced NPR systems in North County with IPR or DPR supply from a regional Advanced Water Purification Facility (AWPF),
• Portfolio #3 features expanded and interconnected enhanced NPR systems with IPR or DPR supply from the Palo Alto Regional Water Quality Control Plant,
• Portfolio #4 features expanded and enhanced NPR systems in North County with IPR or DPR supply from a regional AWPF in Palo Alto or Sunnyvale, and
• Portfolio #5 features expanded and interconnected enhanced NPR systems and focuses on raw water augmentation to Penitencia Water Treatment Plant.
To further analyze these five portfolios, the District developed evaluation criteria with participation from the Project Partnership Group (consisting of Partner Agencies). Using Project Partnership Group feedback, the District iteratively refined and confirmed prioritization and respective weighting criteria. Based on this analysis, Portfolios #1, #2, and #4 were constantly ranked as the top three to date.
District Recycled Water Committee Recommendations
At their November 14, 2018 meeting, the Recycled Water Committee (Committee) made several recommendations related to staff’s update on the Reuse Master Plan. Upon Board direction, staff will prepare responses and provide information at upcoming Committee meetings to address these questions.
Countywide Water Reuse Master Plan
1. Add a rate payer advocate group to the Stakeholder Task Force
Staff has identified Bill Sherman, a member of a local water rate advocacy group, and recommends that he be invited to future stakeholder workshops.
2. Develop a matrix summarizing status of potential partners
Staff has drafted a matrix that summarizes the current status of water reuse discussions with Partner Agencies. Recommended key points include: status on willingness to partner; land availability; water availability; water quality issues; reverse osmosis concentrate management options; and potential governance.
3. Coordinate the Reuse Master Plan with the Water Supply Master Plan
The Countywide Water Reuse Master Plan is being developed in coordination with the Water Supply Master Plan update, Reverse Osmosis Concentrate Management planning, and other relevant planning efforts in the County. Staff is prepared to better make the connection between the two plans in future presentations/updates.
4. Review criteria and scoring of Reuse Master Plan Portfolios
The draft scoring criteria was initially derived from federal and state guidelines. Stakeholder input was then used to refine the criteria and to develop a sensitivity analysis, which included eleven scenarios with different scoring and weighting. Staff meet with Direction Kremen to review the analysis and answer his questions. No additional action was requested.
5. Add the concept of “work with willing partners” to the guiding principles
Staff is refocusing resources towards agencies willing and ready to work directly with the District on water reuse projects and strategies.
Purified Water Program Public-Private Partnership (P3)
6. Alternatives for achieving comprehensive agreements
Explore alternatives for achieving one or more comprehensive agreements with potential Partner Agencies including: engage a third party (negotiator or facilitator); involve the Silicon Valley Leadership Group; or accelerate release of a P3 Request for Proposals to allow a P3 entity to assist in developing the agreement(s).
Site-specific Recycled Water
7. Guiding principles for onsite water reuse in Santa Clara County
The Committee requested this item be added to their 2019 Work Plan.
8. Feasibility of providing recycled water to the Vallco redevelopment
Staff has been reviewing requests from developers regarding service from the Wolfe Road Recycled Water Pipeline in Sunnyvale and Cupertino. Technical feasibility depends on quantity, location and timing of water demands. Additional considerations include permitting, construction, and cost-sharing. As the Vallco redevelopment progresses, staff will continue to work with the City of Sunnyvale, City of Cupertino, water retailers, and the developer on the feasibility of a potential expansion.
NEXT STEPS:
The Portfolios outlined above will be further refined with hydraulic modeling, cost analysis, and preliminary engineering (10% design). As each of the potential AWPFs identified will require reverse osmosis concentrate management, the portfolios will be further analyzed in the District’s Reverse Osmosis Concentrate Management planning process, which is being developed in parallel with this Reuse Master Plan. The portfolio refinement is scheduled to be completed in Summer 2019.
Additional input from stakeholders and Partner Agencies will help refine these portfolios. More meetings of the Stakeholder Task Force and Project Partner Group are planned for 2019 for this purpose. The final Reuse Master Plan is anticipated to be completed in Fall 2019. After finalizing the portfolios with stakeholder feedback, staff will present a draft Reuse Master Plan for the Board’s consideration.
Addressing feedback from Partner Agencies and the iterative planning process on a countywide level have been more complex than originally planned. Unanticipated follow-up meetings with Partner Agencies and interested stakeholders have been required to address the complex technical issues surrounding this multi-agency planning effort. To provide flexibility, the final Reuse Master Plan will include three Portfolios instead of one recommended Portfolio. District staff has worked collaboratively and diligently with the Consultant to minimize the associated impact on project cost and schedule. However, completing these planning efforts will require schedule and scope modifications in a future agreement amendment. Staff will bring program updates and recommendations to the Board as the Reuse Master Plan progresses.
FINANCIAL IMPACT:
There is no financial impact associated with the recommended actions. However, staff has identified a potential need to amend the existing consultant agreement with the District and Brown & Caldwell, which may result in increasing the agreement’s not-to-exceed amount. Changes to the Reuse Master Plan may also necessitate modifications to the existing consultant agreement with GHD, Inc. for Reverse Osmosis Concentrate Management planning. Any such amendments will be provided to the Board for its consideration and approval. Staff will keep the Board informed as the Reuse Master Plan develops.
CEQA:
The recommended action does not constitute a project under CEQA because it does not have a potential for resulting in direct or reasonably foreseeable indirect physical change in the environment.
ATTACHMENTS:
Attachment 1: PowerPoint
UNCLASSIFIED MANAGER:
Manager
Gerald De La Piedra, 408-630-2257