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HomeMy WebLinkAbout05/15/02 Y 0 F WATER BOARD Mark C. Salvaggio, Chair David Couch, Vice Chair Harold Hanson CITY OF BAKERSFIELD WATER BOARD MEETING WEDNESDAY, MAY 15, 2002 - 4:30pm Water Resources Building Conference Room 1000 Buena Vista Road, Bakersfield, CA AGENDA 1). CALL MEETING TO ORDER 2). ROLL CALL 3). APPROVAL OF JANUARY 16, 2002 MEETING MINUTES 4). PUBLIC STATEMENTS 5). KERN RIVER LEVEE DISTRICT OPERATIONS REPORT 6). KERN RIVER OPERATIONS REPORT 7). OLD BUSINESS A. KERN RIVER GOVERNOR'S PROJECT UPDATE - For Board Information B. DOMESTIC WATER MAINLINE EXTENSION REFUND REASSIGNMENT - For Board Approval 8). NEW BUSINESS A. PRESENTATION BY LORON HODGE OF KERN COUNTY FARM BUREAU ON REQUEST FOR CONTRIBUTION TO OPPOSE LISTING OF THE BUENA VISTA LAKE SHREW AS ENDANGERED SPECIES - For Board Action B. UPDATE ON REQUEST TO KERN COUNTY WATER AGENCY FOR TREATED DRINKING WATER TO NORTHWEST BAKERSFIELD - For Board Information C. PARTICIPATION WITH KERN RIVER INTERESTS IN PILOT PROGRAM TO FALLOW KERN RIVER SOUTH FORK LAND FOR RIPARIAN HABITAT AND INCREASED WATER ENTITLEMENT - For Board Approval D. FINAL LEASE PAYMENT FROM GARY GARONE FARMS FOR WASTEWATER PLANT #2 MUNICIPAL FARM - For Board Approval Page 1 of 2 1000 BUENA VISTA ROAD · BAKERSFIELD, CALIFORNIA 93311 · (661) 326-3715 NEW BUSINESS - Continued E. REQUEST FROM KERN COUNTY SUPERINTENDENT OF SCHOOLS FOR NORTHEAST BAKERSFIELD WATER SUPPLY PROJECT MITIGATION - For Board Approval 9). WATER BOARD STATEMENTS 10). CLOSED SESSION CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION, CLOSED SESSION PURSUANT TO GOVERNMENT CODE SECTION 54956.9(a) NORTH KERN WATER STORAGE DISTRICT vs. KERN DELTA WATER DISTRICT, et al, TULARE COUNTY SUPERIOR COURT CASE No. 96-172919. 11). CLOSED SESSION ACTION 12). TOUR OF KERN RIVER WATER FACILITIES CONSTRUCTION PROJECTS - 1 hour 30 minutes 13.) ADJOURNMENT Gene Bog ~ Water Re~ ou er POSTED: May 10~ 2002 S:~2002WBMIN~WBAGMY 15 Page 2 of 2 MINUTES OF THE REGULAR MEETING OF THE WATER BOARD - CITY OF BAKERSFIELD Held Wednesday, January 16, 2002, Water Resources Conference Room, 1000 Buena Vista Road, Bakersfield, California 93311. 1. The meeting was called to order by Board Chair Salvaggio at 4:35 p.m. 2. Present: Mark Salvaggio, Chair David Couch, Vice-Chair Absent: Harold Hanson 3. Boardmember Couch made a motion to approve the minutes of the Special Water Board meeting held November 6, 2001. Motion carried. 4. There were no public statements. 5. Mr. Core gave a brief report on the Kern River Levee District. A current project is the .... conversion of the Pioneer Turnout Canal into pipeline. Part of the condition for approval of this pipeline going through the levee was the addition of the cutoff wall, which would prevent water from seeping along the pipeline through the levee during a flooding situation. This project was completed by Castle and Cooke, Inc. for the River Walk Plaza project near Stockdale Highway and Calloway Road. For Board information, no action required. 6. An update on Kern River operations was given by Hydrographic Supervisor Steve Lafond. The November/December precipitation levels were at one and one-half times normal for the Kern River basin. With recent information considered, the Kern River forecast is 120% of normal for future runoff this spring on the river. Expect about 65%-70% on the Kern River if there are no storms by February 1 st. The State Water Project has allocated 45% of normal supply; however, recent storm activity may allow some short term state water in the riverbed and the 2800 Acres. For Board information, no action required. 7. Old Business. 7A. Assistant City Manager John Stinson gave an update on the status and recommendations of the City's Energy Task Force. The Energy Task Force has been studying the energy situation the past few months and has arrived at four steps for the Boardmembers to consider for 1 recommendation. After a lengthy discussion, Boardmember Couch suggested that a Water Board Report be prepared with a synopsis of the viewpoints of staff as to why the four steps .... should be recommended for approval by Council, with clarification on items one and three. For Board information, no action required. 8. New Business. 8A. An update on the Kern River Flow Restoration Program was given by Mr. Bogart. Following the passage of the Safe Drinking Water, Clean Water, Watershed Protection, and Flood Protection Act (Proposition 13) in March of 2000, the City teamed with the Kern County Water Agency to secure grant funding for the Kern River Flow Restoration Program. The program was the construction of a series of water wells that would be used to supply water to the Kern River channel during dry years. An agreement is being drafted between the City and Kern County Water Agency, which would allow Kern River water to percolate into the City's underground drinking water supply for water quality enhancement while providing recreation season flows in the Kern River through Bakersfield. It is anticipated this agreement will be brought to the Water Board in draft form at the next meeting. For Board information, no action required. 8B. Mr. Core presented the agreement with California Water Service Company for professional engineering and inspection services of the northeast Bakersfield river intake pumping station to the Board. The project has changed in scope whereby the original project envisioned two pumping stations, a high lift and a low lift station. With the change, there will be one pump station that will have significant capital and operational savings to the City. Staff requests approval of the agreement in the amount of $50,000 to finalize the construction, engineering and inspection portion of the pump station. A motion to approve was made by Boardmember Couch. Motion carried. 8C. Mr. Core presented an update on a request to Kem County Water Agency for treated drinking water to Northwest Bakersfield. A letter was sent to the Agency in May of 2000 requesting water supply in the northwest area by way of construction of a treated water pipeline from their treatment plant located at Golden State and Highway 99. The Kern County Water Agency ID/34 is very receptive to this request, and has indicated further negotiations will be required. The Agency has applied for a grant from Proposition 13 to assist in funding for pipelines and other facilities for this water supply. For Board information, no action required. SD. The services contract with Dodd Investigations, Inc. to provide patrol services at an hourly rate in the "2800 Acres" or other river facilities was presented to the Board for approval. Contract is not to exceed $50,000. A motion to approve was made by Boardmember Couch. Motion carried. 2 9. Board statements. Boardmember Couch received a call from a citizen who's hobby is small electric boats, asking if he could run the boats in Lake Truxtun. Alan Daniel, Deputy City Attorney will check the ordinance regarding this and let Boardmember Couch know so he can inform the citizen. 10. Closed Session. Adjoumed to Closed Session at 5:35 p.m. Conference with legal counsel - existing litigation, closed session pursuant to Government Code Section 54956.9(a) North Kern Water Storage District vs. Kern Delta Water District, et al, Tulare County Superior Court Case No. 96-172919. The meeting reconvened at 6:24 p.m. 11. No action taken, update by legal counsel. 12. The meeting adjourned at 6:24 p.m. Mark Salvaggio, Chair City of Bakersfield Water Board .,.'? / ?/? / Sharon Robison, Secretary City of Bakersfield Water Board S:\WBM1NUTES2002\WBMinutes01'I 6-02 Agenda Item 5.) KERN RIVER LEVEE DISTRICT Waterstop cut-off wall being formed for Old Pioneer Canal Turnout structure in Kern River Levee near Old Stockdale Highway and Buena Vista Road Completed concrete cutoffwall provides seal to prevent high water in river causing breach in levee Compacted backfill around wall finishes levee work - levee is restored to original condition in conformance with standards KERN RIVER BASIN SNOWPACK ACCUMULATION EIGHT SENSOR INDEX 2001 - 2002 1 ! t996-19~7 : t22% A-J _____~__ ,, 100% of April I Average , 2000-2001 53% A-J Average 200t -2002 45°/° A-J (e) 1999-2000 t998-1999 , 65% A-J 54%/¥J , 1976-1977 20% A-J I November December January February March April Snowpack Accumulation Season CITY OF B,~KERSFI~,LD B 120 Page 1 of 3 B120 (05/07/02 1737) Department of Water Resources California Cooperative Snow Surveys May 1, 2002 FORECAST OF UNIMPAIRED RUNOFF (in thousands of acre-feet) April-July Forecast April Percent 80% thru of Probability July Average Range NORTH COAST Trinity River at Lewiston Lake 580 88% Scott River near Fort Jones 170 85% SACRAMENTO RIVER Sacramento River above Shasta Lake 230 77% McCloud River above Shasta Lake 310 78% Pit River above Shasta Lake 870 80% Total inflow to Shasta Lake 1450 78% 1240 - 1750 Sacramento River above Bend Bridge 1850 73% 1570 - 2290 Feather River at Oroville 1300 70% 1080 - 1600 Yuba River at Smartville 800 77% 690 - 940 American River below Folsom Lake 1010 79% 880 - 1180 SAN JOAQUIN RIVER Cosumnes River at Michigan Bar 75 58% 45 - 105 Mokelumne River inflow to Pardee 380 81% 340 - 450 Stanislaus River below Goodwin Res. 580 81% 510 - 680 Tuolumne River below La Grange 940 76% 840 1090 Merced River below Merced Falls 420 66% 370 490 San Joaquin River below Millerton Lake 860 68% 760 980 TULARE LAKE Kings River below Pine Flat Res. 860 70% 760 960 Kaweah River below Terminus Res. 195 67% 165 235 Tule River below Lake Success 28 43% 22 42 Kern River inflow to Lake Isabella 210 45% 180 270 NORTH I2~qONTAN Truckee River,Tahoe to Farad accretions 210 77% Lake Tahoe Rise, in feet 0.9 63% West Carson River at Woodfords 45 81% East Carson River near Gardnerville 145 76% West Walker River below Little Walker 115 75% East Walker River near Bridgeport 35 54% http://cdec.water.ca.gov/cgi-progs/iodir/B 120 5/8/2002 Date Acre-Feet %of Jan 1 520000 111% Jan 9 475880 Jan 17 4~5888 88% Jan 23 360008 77% Feb 1 340000 72% Feb 12 310000 66% Feb 19 300000 ~4% Feb 23 280000 60% Marl 270000 57% Marl2 280000 60% Marl9 200000 60% Mar26 280000 68% Apr 1 255000 54% Apr 9 245000 52% Apr 16 230000 49% Apr 23 220000 47% May 1 2~0000 45% ISABELLA RESERVOIR DALLY OPERATIONS REPORT (All readings are for date of report (THURSDAY) as of 0001, except as noted.., cfs in italics) Date of Report: May 9, 2002 ISABELLA RESERVOIR 1 2555.81 Lake Elevation (ft.) 143839 Storage (AcFt) +857 Change (AcFt) 1054 Inflowto Isabella (cfs) 2 568075 Storage Capacity 25% % of Capacity 231101 Normal Storage 62% % of Normal Storage For this Date 3 5358 Average Lake Area (Acres) 12413 Inflow (Month) 7119 Outflow (Month) 4 1001 North Fork Mean 976 North Fork @ 0600 Hours 194298 Accumulative Inflow (01-02 WY) 5 554 Mean Outflow 538 Borel Canal 16 Main Dam Outlet 149344 Accum. Outflow (WY) 6 579 Outflow @ 0600 562 Borel Canal @ 0600 Hours 17 Main Dam Outlet @ 0600 Hours Hours 7 68 Lake Evap. (cfs) 0.44 Inches Evap. for 24 Hours 833 Lake Evap. (Month to Date) 8 0 Spillway Discharge for 24 Hours PRECIPITATION AND TEMPERATURE 9 0.00 Inches of Precipitation at Isabella for 24 Hours 0.00 Inches of Precipitation at Isabella for Month 10 7.88 Seasonal Precip. Isabella 9.39 Normal for 84% Isabella Precip. (season: oct 1 through Sep 30) this Date % of Normal 11 0.00 Inches of Precipitation at Pascoe for 24 Hours 0.00 Inches of Precipitation at Pascoe for Month 12 28.80 Seasonal Precip. Pascoe 33.47 Normal for 86% Pascoe Precip. this Date % of Normal 13 10.5 Upper Tyndall Creek 6.1 Pascoe 1.6 Wet Meadow 14 74 Isabella Maximum Temperature 0.62 Isabella Maximum Precipitation on Record For this Date (inches) 15 51 Isabella Minimum Temperature 91 24 Hour Wind Movement (Miles) NATURAL RIVER FLOW 16 1063 Natural Flow (cfs) 12492 Natural Flow (Month to Date) 71410 2002 April-July Runoff 17 2437 Mean Flow 44% Natural Flow 1765 Median Flow 60% Natural Flow For this Date in % of Mean For this Date in % of Median 18 9460 Max. on Record 412 Min. on Record 200922 Accum. Natural Flow (Water Year) For this Date For this Date 19 575 First Point Flow 7198 First Point (Month to Date) 155051 Accum. First Point (Water Year) - KERN RIVER FACTS&FIGURES: B ^ ~ E R S ~ ~ E L ~ Over the long-term period of Kern River flow records, the maximum mean natural flow is 2, 796 Produced by City of Bakersfield cubic feet per second and falls on the 29th day of May. The maximum median (middle value in Water Resources a distribution) flow of Kern River is 2,409 cubic feet per second and lands on the 7th day of June. (661) 326-3715 7a. Kern River Governors Project - Verbal Update (Staff) GRAPHIC SCALE 1000 0 500 1000 ( IN FEET ) 1 inch = 1000 ft. LEGEND: I KERN COUNTY WATER AGENCY ~ 6) ~G ~ ~ KERN RIVER RESTORATION WELLS W~CCOM"!.~ '/'1/0') ~ o~ ~ I SITE LOCATION MAP ~IRAWN BY: ~,t. VARGA DATE: MAR. 16, 2~01 REV. MMV DATE: JUN. 8. 2001 RI..~ 201313..O~QCATIO N.DWG S ~.~.~: ~ ~$HOINN REV. OATE: ASSIGNMENT OF WATER CONTRACTS FRUITVALE PROPERTIES, LLC, a California Limited Partnership, ("Assignor") hereby assigns, transfers and sets over to JAMS, L.P., a California Limited Partnership, ("Assignee") all of its right, title and interest in and to those certain City of Bakersfield Water Main- Extension Refund Contracts which are for the installation of water facilities described as follows: City of Bakersfield Contracts: 93-11 W.B. dated December 30, 1993 Annual Payment - $747.12 92-12 W.B. dated December 12, 1992 Annual Payment - $277.08 93-12 W.B. dated December 30, 1993 Annual Payment - $797.69 Including in this Assignment is Assignee's right to receive all refunds made by the City of Bakersfield pursuant to the provisions of the Refund Contracts from and after the acceptance of this Assignment. Executed this 16th day of November, 2001 FRUITVALE PROPERTIES, LLC By: Curci-Turner Company, LLC A California Limited Liability Company Its Manager By: ~,~'~s Manager JAMS, L.P. hereby accepts the above described assignment and agrees to faithfully keep and perform each and all of the terms, agreements and conditions to be kept and performed by Assignor. Assignee f_,.rther requests City of Bakersfield to make al! refunds under this Assignment to JAMS, L.P. at Post Office Box 1549, Newport Beach, CA 92659. JAMS, L.P. A California Limited Partnership John L.~--?~urci, General Partner Accepted: City of Bakersfield By: dated: ,2002 KERN COUNTY Dennis J. Atkinson President FARM BUREAU, inc PeterBelluomini · 1st Vice-President 801 South Mount Vernon Avenue Bakersfield, CA 93307-2048 Richard M. Jelrnini Phone: (661) 397-9635 - Fax: (661) 397-3403 2nd Vice-President Web: kerncfb.com - E-maih kcfb@ kerncfb.com Loron J. Hodge Executive Director March 15, 2002 Florn Core CrfY OF ?~,~:,,';;:.,: City of Bakersfield Water Board WATER R:.;;,.¢..:. 1000 Buena Vista Road Bakersfield, CA 93311 Subject: Request for Funding to Sue the U.S. Fish and Wildlife Service to Overturn the Listing of the Buena Vista Lake Shrew as Endangered Dear Mr. Core: Back.qround. On June 1,2000, the Buena Vista Lake Shrew (BVLS) (Sorex ornatus relictus) was proposed for listing as an endangered species by the U.S. Fish and Wildlife Service (FWS). The Kern County Farm Bureau has coordinated an effort to prevent this listing as described below. However, on March 6, 2002, the FWS published its Final Rule listing the BVLS as endangered. Listin.q Impact. This listing could seriously impact flood control on local rivers and streams, groundwater recharge operations, irrigation water conveyance, on-farm crop production, and other activities. Please see the attached March 14, 2002 memorandum entitled "impacts of Listing the Buena Vista Lake Shrew as Endangered" for a more detailed description of how the listing could affect your activities and those of your constituents, customers, and/or neighbors. Previous Funding. In its previous efforts to oppose the listing, the Farm Bureau raised $40,000 in contributions from 12 parties (including 10 public agencies). If you were among these parties, your previous contribution is much appreciated. Nine parties agreed to participate as plaintiffs in the 60-Day Notice of Intent to File Suit filed on January 25, 2002 against the U.S. Fish and Wildlife Service. Virtually all of these funds have been expended (less than $1,500 remains) for obtaining and reviewing the FWS administrative record, hiring PhD. biologists to evaluate the BVLS administrative record and post- comment period BVLS published studies, preparing and submitting comments during the FWS public comment period, and pursuing administrative remedies to prevent the listing: Biological expert fees $ 5,925.00 Legal fees $32,854.32 Total $38,779.32 None of your contributions paid for any Farm Bureau staff or administrative expenses as these were provided as in-kind contributions by the Farm Bureau. Flaws In Listing and Bad Science. While we were unable to prevent the listing, we determined that the scientific basis for the listing is fundamentally flawed, and the FWS violated several provisions of federal law in the listing. These are further described below and in the 60-Day Notice (enclosed). The most serious flaw regards the scientific and legal status of the BVLS as a distinct subspecies. Your attention is directed to the marked sections of page 10102 of the enclosed Federal Register Listing Notice wherein FWS admits th__ge 88 Years Of Service To Agriculture 1914 2002 March 15, 2002 Buena Vista Lake Shrew Page 2 BVLS cannot be reliably distinguished from adiacent ornate shrew subspecies based on either genetic testing or physical characteristics. It is the unanimous judgement of counsel, consulted biologists, and the Farm Bureau committee overseeing this effort that the BVLS is not a valid subspecies, and does not meet the criteria for listing. In addition, in October 2001 biologists at the Endangered Species Recovery Program at Cai State Stanislaus stated "...we do not believe that Buena Vista Lake Shrews are endangered now, nor are there foreseeable threats to remaining populations in the near future." Prospect for Successful LitiRation. The Farm Bureau has retained Robert Thornton of Nossaman, Guthner, Knox & Elliott as counsel for this case. Mr. Thornton has extensive and successful experience in endangered species issues and litigation. In Kern County, he has represented the County of Kern and the Kern Water Bank Authority (a description of Mr. Thornton's experience is attached). His opinion is that the prospect of successfully overturning the BVLS listing by litigation is high based on the numerous legal and biological mistakes in the Final Listing Rule. The Farm Bureau is convinced Mr. Thornton is correct. Funding. It is expected that litigation will cost $150,000 with a court decision in mid-2003. The Farm Bureau is requesting funding from at least 23 parties in amounts ranging from $5,000 to $20,000. Based on our assessment of the listing risks to you and your constituency, you are requested to provide funding in the amount of $20,000. If all parties contribute the requested amount, this funding target will be achieved. It is hoped that a critical mass of funding will be available to file the suit about April 2, 2002. Should contributed funds exceed the actual costs incurred, prorata refunds will be made to all contributors. The Farm Bureau can assure that your contribution is anonymous if you so request. Should you decide to fund this important case, please make your check payable to the Kern County Farm Bureau - BVLS Fund. Participation as Plaintiff. You are invited to participate in the litigation as a plaintiff. If you so decide, please provide a letter to Robert Thornton, with a copy to the Farm Bureau, similar to the attached March 15, 2002 letter from Wheeler Ridge-Madcopa Water Storage District. If necessary, it is requested that you consider this request at the next meeting of your Board. We would be pleased to provide additional information or make an in-person presentation. If questions arise, please call Executive Director Loron Hodge at 661-397-9635 or Endangered Species Committee Chair Robert Kunde at 661-858-2281 x21. Sincerely, Dennis Atkinson Robert J. Kunde President Chair, Endangered Species Committee attachments LEGEND . ,--., ~. - ~ ~UP.D~E.~'D~'m~'~."~ ~ I~ ~UND~Y , , C~JUNCTI~ U~ PlaNE ~ 2002 CI~ OF B~FI~ UM~ [ C~NJuNCTIvE USE & NORTHWEST FEEDER PIPELINE PROJECT , , PRO~SED NW FEED~PI~E I (PROPOSED PIPELINE~~) ~-~ ...... PROPOSED ~C FE~P[~NE ~ URB~ B~RSFI~ ~ ~ PROPOSED ~awso ~ Sl~ ~ ----' " I~='~- 7  CI~ OF B~R~[~ ~ MEMORANDUM OF UNDERSTANDING This agreement is made this ~ day of ., 2002 by and among BUENA VISTA WATER STORAGE DISTRICT, NORTH KERN WATER STORAGE DISTRICT, and KERN COUNTY WATER AGENCY (collectively "Kern River Interests" herein), and BRUCE A. and SYLVIA HAFENFELD, husband and wife, and DAVID LAWRENCE PRINCE, sole surviving Trustee of Trusts A and B established under Declaration of Trust dated September 30, 1976, amended November 29, 1976 (collectively "South Fork Landowners" herein), each and all of whom agree as follows: 1. Buena Vista Water Storage District executes this agreement for and on behalf of itself and all other individuals, entities and organizations claiming any interest or right in and to waters of the Kern River as successors-in-interest to "Parties of the First Part" in the Miller-Haggin Agreement of 1888 (as amended) who evidence an intent to participate by paying a pro-rata share of costs of the pilot program herein described. North Kern Water Storage District executes this agreement for and on behalf of itself and all other individuals, entities and organizations claiming any interest or fight in and to waters of the Kern River as successors-in-interest to "Parties of the Second Part" in the Miller- Haggin Agreement of 1888 (as amended) who evidence an intent to participate by paying a pro-rata share of the costs of the pilot program herein described. Kern County Water Agency executes this agreement for and on behalf of itself and all other individuals, entities and organizations claiming any interest or fight in and to waters of the Kern River as successors-in-interest to the so-called "Downstream Group" or "Lower River Right" who evidence an intent to participate by paying a pro-rata share of costs of the pilot program herein described. 2. Kern River Interests and South Fork Landowners agree to conduct a pilot program during the balance of calendar year 2002 which program shall have the following goals and purposes: a. From and after April 15, 2002 the South Fork Landowners will fallow approximately 240 acres of land owned by them, more particularly shown on Exhibit A attached hereto, ("fallowed lands" herein), to enable the Kern River Interests to determine whether such fallowing will generate additional water for use by Kern River Interests and/or will benefit the riparian habitat of the Kern River/South Fork area; and b. During the term of this agreement, the South Fork Landowners will support and assist the Kern River Interests in a cooperative effort to identify, negotiate and provide an "out-of-reservoir" solution to the currently restricted operation of Isabella Reservoir; and c. During the term of this agreement all parties will identify and pursue additional long-term programs that are considered mutually beneficial. 3. In consideration of the foregoing, the Kern River Interests will pay the South Fork Landowners the sum of $45,000.00 concurrently with the execution of this agreement, $18,750.00 to be paid to David Lawrence Prince and $26,250.00 to be paid to Bruce A. and Sylvia Hafenfeld. 4. South Fork Landowners covenant that, during the term of this agreement, they will not irrigate the fallowed lands either with water diverted from the South Fork of the Kern River or with groundwater. Water use on the fallowed lands shall be limited to stock watering. Kern River Interests shall have the right from time to time and at any time, without prior notice to the South Fork Landowners, to enter upon the fallowed lands to verify that they are not being irrigated as aforesaid. 5. Neither party shall be considered a parmer of the other party by virtue of this agreement. Neither party shall be responsible for the actions of the other party as a result of this agreement. 6. This agreement will terminate on October 31, 2002 unless earlier terminated by mutual agreement of the parties or by operation of law. IN WITNESS WHEREOF the parties have executed this agreement the day and year first above written. North Kern Water Storage District Bruce A. Hafenfeld By: Sylvia Hafenfeld Buena Vista Water Storage District P. O. Box 58 Weldon, CA 93283-0058 By: Kern County Water Agency David Lawrence Prince, Trustee 7908 Calle Torcido By: Bakersfield, CA 93309 2 TANNER, WREN AND KELLY · CERTIFIED PUBLIC ACCOUNTANTS MEMBERS MEMBERS AMERICAN INSTITUTE OF 5531 BUSINESS PARK SOUTH, SUITE 250 CALIFORNIA SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS BAKERSFIELD, CALIFORNIA 93309 CERTIFIED PUBLIC ACCOUNTANTS March 18, 2002 Gene Bogart City of Bakersfield Water Resources Department 1000 Buena Vista Road Bakersfield, CA 93311 Re: Gary Garone Municipal Farm Lease-Agreement No. 95-310 Mr. Bogart: Pursuant to our meeting in December 2001, I am writing to provide information concerning the farm rent computation for the above-referenced agreement. The Garone family has been tenants of this lease for over 20 years. Over that period of time, they have proven themselves faithful and timely in meeting their obligations to the City of Bakersfield. As you know, Mr. Garone has suffered a very serious stroke. As a result, he has been forced to cease farming operations. We are writing to explore an adjustment to the computation of the rent for the year 2001 due to certain circumstances that we believe warrant serious consideration. The issues are as follows: 1. A reduction to the minimum rent assessed under the lease for long-term improvements to the property made by the tenant in 2001. 2. A reduction to the minimum rent assessed under the lease for acreage removed from the lease by the City of Bakersfield. Attached are schedules indicating the proposed lease computation with consideration for the above issues. Given these computations, we respectfully request that the 2001 rent computation be adjusted to $144,687. Mr. Garone is presently in negotiations with his bank and other claimants concerning his remaining obligations in connection with the closing of his farming MAILING ADDRESS: POST OFFICE BOX 10688, BAKERSFIELD, CALIFORNIA 93389-0688 TELEPHONE 661-325-5115 · FAX 661-325-3427 Gene Bogart City of Bakersfield March 18, 2002 Page 2 operations. As a measure of good faith, we have enclosed a check in the amount $144,687 in full satisfaction of the 2001 rent payable under the lease. Your favorable consideration of these issues is sincerely appreciated. Very truly yours, cc: Gary and Veronica Garone TANNER, WREN AND KELLY CERTIFIED PUBLIC ACCOUNTANTS MEMORANDUM May 15, 2002 TO: Genet,~~ Resources Mana,ger FROM: MauriceCRandall, Business manager SUBJECT: FINAL LEASE PAYMENT FROM GARY GARONE FOR PLANT 2 MUNICIPAL FARM In December 2001, staff met with the Garones and Jim Wren, their CPA, to discuss the operations of Municipal Farm and the annual rent payment due the City for 2001. As you know, Gary Garone recently suffered a major stroke and due to his current health condition is no longer able to manage the farm. In August of last year, Mr. Garone exercised his option to assign the lease to Mr. Collins (dba Progressive Farms). In order to give the new tenants an opportunity to get up to speed and ensure a smooth transfer of the daily operations, Garone Farms continued to manage the farm, in a limited capacity, through the end of the year. During the meeting Mr. Garone and his accountant indicated that due to the cotton market in 2001 he had to repay CALCOT over $100,000 tbr advanced payments tbr his cotton crops received in the year 2000. In addition, he felt that the amount of acreage removed from the lease by the City and the leasehold improvements made in 2001 should be included in the rent computations. He also indicated that unlike previous years, 2001 had been a bad year and for the first time since operating the farm which began in May of 1982 the annual rent payrnent due the City was less than the $200,000 minimum required in the contract. Mr. Garone agreed to put his request in writing and send it to the City for consideration. Approximately two months ago the City received a letter from Mr. Jim Wren, CPA, on behalf of Gary Garone along with documentation detailing the information discussed in our December 2001 meeting. The information requested a reduction in annual rent based on long-term improvements made to the farm in 2001 and the removal of 393 acres from the lease by the City. The above information was reviewed by staff which included Joe Turner, Derrill Whitten from Wastewater and Florn Core, you and myself from Water Resources. May 15, 2002 Subject: Final Lease Payment from Gary Garone for Plant #2 Municipal Farm At your request, I have done additional research on this matter which includes a review of the Lease Agreement, the history regarding the operation of the farm and annual lease payments made to the City by Mr. Garone over the years. As you know, the Garone family were tenants of the Plant 2 Farm for over 25 years, Gary Garone became tenant and operator on May 12, 1982. During that time, Mr. Garone has always operated the farm in a satisfactory manner. Based on my research, he has always paid his lease payments to the City timely and the amount has continued to be in excess of the $200,000 minimum. Looking back at Garone Farms payment history over the past 10 years, the annual rental payments were as follows: Minimum Annual Actual Payment Difference Year Payment To City Plus or (Minus) 1991 $200,000 $356,931 $156,931 1992 200,000 348,941 148,941 1993 200,000 311,285 111,285 1994 200,000 339,641 139,641 1995 200,000 346,540 146,540 1996 200,000 370,453 170,453 1997 200,000 364,333 164,333 1998 200,000 303,203 103,203 1999 200,000 327,589 127,589 2000 200,000 337,353 137,353 '2001 161,156 After reviewing the information submitted by Mr. Garone, staff would not recommend that any adjustment be allowed for removal of acreage by the City due to the amount of fallow land on the farm at this time. However, due to the number of permanent improvements made by Mr. Garone to the City farm since his operation, staff would recommend favorable consideration to a one-time offset in the final lease payment for 2001. It should be noted that even with this reduced lease payment for the 2001 farm year, Mr. Garone exceeded the minimum annual lease payment to the City by + $124,000 annually. Should this adjustment be allowed, the total rent to Mr. Garone for 2001 would be $161,156 ($201,189 per invoice fi'om Finance less $40,033 improvements). *Recommended payment MR:sr S:'2002MEMOS GGaroneFinalLeasc Pymt B A K E R S F I E L D December 6, 2001 Mr. Gary Garone Gary Garone Farms 4404 Park Circle Drive Bakersfield, CA 93309 RE: Agreement No. 95-310 (Rental for 2001 Crops) Dear Mr. Garone: The 2001 rental amount due has been calculated in the schedule below. The calculations are based upon acres planted, late March prices and information contained in the crop projection and budget submitted. Estimated Per Yield Acres Average Gross Operating Per Acre Planted Price Income Budqet Income per Budget $1,457,076 Alfalfa 7 Tons 1,429.5 100.00 $1,000,650 Wheat 2.19 Tons 730.7 113.33 181,354 Crop Year 2000 Over-Advance CALCOT (115,815) (115,815) ESTIMATED GROSS INCOME $1,066,189 $1,341,261 15 PER CENT OF ESTIMATED GROSS INCOME $ 159,928 $ 201,189 TOTAL RENT: $ 159,928 $ 201,189 The annual rent due on or before December 31, 2001 is $ 201,189. Very truly yours, William C. Descary Treasurer cc: City Manager Finance Director Water Resources Manager Public Works Director Real Property Agent City of Bakersfield · Treasury Division ° RO. Box 2057 Bakersfield · California · 93303 (661) 326-3761  ERN COUNTY SUPERINTENDENT OF SC~IOOLS ...................... ~A~-~ R~TD~-R, Superintendent March 6, 2002 Mr. Gene Bogart, Water Resources Director CITY OF BAKERSFIELD 10000 Buena Vista Road Bakersfield, CA 93313 RE: CALM/City of Bakersfield Memorandum of Understanding Northeast Water Project Dear Gene: John and I enjoyed the meeting with you and Florn Core in December regarding the Northeast Water Project. Additionally, we have reviewed your December 17, 2001 letter and found it acceptable with the following proposed additions per our meeting. The additional points of inclusion to the memorandum are: PROPOSED ADDITIONS TO LETTER: (8) Perform rough grading including installation of AC gravel base for CALM upper parking area to remedy area disturbed during pipeline, pump station and reservoir construction. (9) Evaluate fencing alternatives for bike path in the area around the remaining southern boundary of the property up to the CALM Parking area. (10) Establish an Educational View Area from the CALM property at a vista that overlooks the pump station and reservoir that describes the process notable facts, etc. The exhibit could include a few hands on demonstrations for the public including actual pipe that kids can play in, intake screens and other items. (11) Work with KCSOS and the CALM Board of Directors to establish a restroom / respite area adjacent to the bike path and CALM entrance. If you have any questions or further clarifications, please contact me at 661-636-4701. Thank you for your interest and cooperation on integrating this important community project into CALM's operation and future vision. Sincerely, Larry Reider, Superintendent  t of Schools Facilities and Property Management cc: 3ohn Lindsay . . . advocates for children Jenny Hannah 1300 17th Street - CITY CENTRE, Bakersfield, CA 93301-4533 RR/enj (661) 636-4000 ~ FAX (661) 636-4130 ,~ TDD {661) 636-4800 ~ http://www, kern.org WATER RESOURCES DEP~TMENT GENE B~ART, ~ CO~, Wat~ R~om~ h~tor PA~CK E. ~AN, Sup~m~d~t 326-3006 STEVE ~OND, Fo~ting ~d R~o~ 326-3007 MA~CE ~NDAL~ B~in~s M~g~ 326-3704 ~ ~ER DISPATCHER 326-3716 December 17, 2001 Mr. John Lindsay Assistant Superintendent of Schools 1300 17t~ Street Bakersfield, California 93301 Re: C.A.L.M. - Water Project Construction Easement Dear Mr. Lindsay: In follow-up to our discussions regarding the temporary use of C.A.L.M. properties during construction of the Water Pumping Plant and Northeast Water Supply Reservoir, the attached map and legal description outline the limits of the property needed during construction. It is currently estimated that the earthwork portion of the reservoir project will be completed in spring of 2002. The pump station is scheduled to be completed in October of 2002, with final grading and finish work completed in November, 2002. In exchange for temporary use of the C.A.L.M. construction easement, the City Water Resources Dept. has agreed to the following: 1) TOP SOIL - Stockpile top soil located in the pump station construction area and save for restoration of site at end of proj eot. 2) RE-SEED - Provide re-seeding of restored top soil areas upon completion of reservoir and pump station. 3) WATER LINE - City will provide a 4" raw water line from the new pump station to supply water for C.A.L.M.s future "water element" to be located on the lower floodplain property. 4) NORTH ACCESS ROAD - City will m-grade and finish access road at base of the existing C.A.L.M. bluff for all future access ( not use centefline of new pipeline). 5) SOUTH ACCESS ROAD - City will restore natural contours over pipeline easement since access will only be required for emergency repair and/or maintenance. 6) FINISHED WATER - Upon completion of the new Cai-Water Treatment Plant, City will make necessary arrangements to provide a potable water service connection at the north side of Alfred Harrell Hwy., near the entrance to C.A.L.M. Once connected to this new service, C.A.L.M. will be responsible to purchase this water directly from California Water Service Company on a monthly basis. 1000 BUENA VISTA ROAD · BAKERSFIELD, CALIFORNIA 93311 ° (661) 326-3715 7) RAW WATER - City will continue to provide raw water to original C.A.L.M. site from the new intake structure and pump station for irrigation and "water element" uses. If the above correctly outlines our mutual understanding of the project, please indicate by signing and returning a copy of this letter for our files. Again, thanks for your continued co-operation and support of the Northeast Water Supply Project. Sincerely, Gene Bogart Water Resources Manager Read and Agreed ce: Bob Addison, Director, Kern County Parks Mel Byrd, District Manager, California Water Service Co. Morris Taylor, Kennedy - Jenks Engineering Steve Hawkins, Bookman - Edmonston Engineering