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Home My WebLink About05/27/81 AGENDA WATER BOARD - CITY OF BAKERSFIELD WEDNESDAY, MAY 27, 1981 4:00 P.M. Call meeting to order Roll Call - Board Members: Barton, Payne, Ratty, Kelmar, Oberholzer 1. Approve minutes of regular meeting of April 29, 1981. 2. Scheduled Public Statements 1-)G-eor. ge Nickel, Jr. - Comments on City 2800 acres. 3. Correspondence a) Letter from George Nickel, Jr. to Water Board Members dated May, 4, 1981. b)Letter from George Nickel, Jr. to Water Board dated May 5, 1981. c) Letter from George Nickel, Jr. to Water Board dated May 8, 1981. 4. Agreement between California State Water Resources Control Board and City of Bakersfield for groundwater quality management planning grant. Authorize Project (Water) Manager to sign. - FOR BOARD CONSIDERATION. 5. Reauthorize Water Manager to enter into and administer short term Sand Sale Agreements, Temporary Pumping Agreements and Annual Pumping Agreements within established Water Board policy. - FOR BOARD ACTION. 6.Engineering service agreements Ricks, Taylor & Meyer, Inc. (consult- ing ~ngineers f~r Kern River Interests) for the following projects: a) Agreement to complete the final design and construction of the "Kern River First Point of Measurement Structure." - FOR BOARD ACTION. b) Agreement to complete preliminary design of Rocky Point River Weir and power generating feasibility study required for Carrier Canal Power Plant Permit (FERC Permit No. 3685-000). - FOR BOARD ACTION. c) Agreement to complete preliminary design of Beardsley Diversion Weir and power generating feasibility study for Beardsley Power Plant Permit (FERC Permit No. 3686-000). - FOR BOARD ACTION. 7. City participation in the Kern County Water Districts Advisory Committee latest "Optimization Study" to enhance and optimize the use of Kern County water supplies. - FOR BOARD ACTION. 8. Request fk~mNorth Kern Water Storage District regarding financial participation of City and Kern Delta Water District to petition Federal Energy Regulatory Commission (FERC) for rehearing of the Miracle-Cottonwood Power Project. - FOR BOARD CONSIDERATION. 9..Master Plan Spreading Agreement for community participating in City's 2800 acre recharge facility. - FOR BOARD CONSIDERATION. 10. Staff Comments 11. ' Board Comments · ~i 2. -~' -Adj?urnment MINUTES WATER BOARD- CITY OF BAKERSFIELD WEDNESDAY, APRIL 29, 1981 4:00 P.M. The meeting was called to order by Mr. Barton in the Department of Water Conference Room. The secretary called the roll as follows: Present: Barton, Payne, Kelmar, Oberholzer Absent: Ratty Staff Present: Bogart, Chafin, Core, Hatch, Hauptman, Hawley, Higginbotham, Hostmyer, Needham, Stetson Others Present: Bob Bulluu, District Engineer - K~rn County Water Agency Tom Clark, Nickel Enterprises Mary Collup, District Manager - RoSedale-Rio Bravo Water Storage District John Means, City Councilman George Nickel, Nickel Enterprises Stuart Pyle, Engineer-Manager - Kern County Water Agency Harold Russell, Engineer-Manager - Buena Vista Water Storage District Gall Schontzler, The Bakersfield Californian At this time the board conducted their election of officers. Mr. Payne made a motion that the board nominate Mr. Barton as Chairman. The motion was passed by the following roll call vote: Ayes~ Barton, Payne, Kelmar, Oberholzer Noes:' None Absent: Ratty Upon a motion by Mr. Oberholzer,'Mr. Payne was nominated as Vice- Chairman. The motion was passed by the following roll call vote: Ayes: Barton, Payne, Kelmar, Oberholzer Noes: None Absent: Ratty Adoption of Water Board procedural rules was conducted at this time. Mr. Oberholzer made a motion that the regular meetings of the Water Board be held on Wednesdays at 4:00 P.M. at the City of Bakersfield Department of Water Conference Room located at 4101 Truxtun Avenue, Bakersfield, California. Mr. Oberholzer, also,'made a motion that the Water Board adopt the Roberts Rule of Order. The motion was passed. SCHEDULED PUBLIC STATEMENTS At this time George W. Nickel presented a letter to the board re- garding the possible appointment of an advisory committee on water matters. Mr. Oberholzermade a motion that the letter be received and referred to staff. The motion was.passed. CORRESPONDENCE Letter and draft agreement from North Kern Water Storage District (J.P.I.D.) regarding participation in City's 2800 acre spreading operations was presented to the board. Mr. Oberholzer made a motion that the letter and draft be received and referred to the staff for review. The motion was passed. Letter from Kern County Water Districts Advisory Committee re- garding revised agreement for the Optimization and Enhancement Study was presented to the board. Mr. Oberholzer made a motion that the letter be received and referred to staff. The motion was passed. At this time consulting attorney for the City Stanley Hatch, gave an update on the City water activities. The first item being the reorganization of Improvement District %4. Mr. Hatch distributed a Conceptual Outline as it Could occur regard- ing the Reorganization Of Kern County Water Agency To Permit Government Of Improvement District By Independent Board of Trustees. Mr. Hatch gave a detailed outline of the possible formation and ongoing/operation of the Kern county Water Agency. After discussion between board and staff Mr. Kelmar made a motion to authorize con- sultants and staff to contact the other Domestic Water Purveyors and coordinate with the Kern County Water Agency regarding the Conceptual Outline. The motion was passed. Mr. Stuart Pyle, Engineer-Manager of Kern County Water Agency presented to the board the Response of the Board of Directors of the Kern County Water Agency to the report and reco~u,endations of the Kern County Water Districts Advisory Committee dated June 18, 1979. Item 5 (b) Update on Kern River riparian research above First Point of Measurement was deferred to the end of the agenda when an executive session will be held. Agricultural Water Enterprise 1981-82 Operating Budget was pre- sented to the board by Mr. Bogart. Mr. Kelmar made a motion that the budget be approved subject to the confirmation of the City Council. The motion was passed. Proposed 1981 Water Price and Sand Sale Schedule and establishment of a Water Enterprise General Financial Reserve Account was pre- sented to the board. Mr. Payne made a motion that it be approved subject to the confirmation of the City Council. The motion was passed. At this time Dale Hawley, Director of Public Works gave an update on the Kern River Land Use Study. Mr. Hawley stated the City has been given a draft report which the staff is now reviewing prior to distribution. The report was due on March 31, 1981. They are running a little beyond that date as far as final ru[~ort is con- cerned but, Mr. Hawley does not believe this will create a problem. Mr. Hawley distributed for information only the Domestic Water Enterprise Income Statement for the third quarter ended March 31, 1981. STAFF COMMENTS Mr. Hatch brought the board up-to-date at this time on the current status of Assembly Bill No. 1063. BOARD COMMENTS Mr. Oberholzer at this time suggested that if anyone would like to make a scheduled public statement they inform the secretary so their names can be included on that section of the agenda. At 5:00 P.M. Mr. Oberholzer made a motion that the meeting be adjourned to Executive Session for the purpose of discussing potential litigation in the matter regarding Kern River Riparian Rights. At 5:23 P.M. the regular meeting was reconvened the motion was made to refer the matter regarding Kern River Riparian Rights to Mr. Hatch, Mr. Stetson and staff recommending they meet with the First Point Group and Mr. Nickel. The motion was passed unanimously ever member voted aye. There being no further business to come before the board, Chair- man Barton adjourned the meeting at 5:25 P.M. q3m%es J. B~ton, Chairman ' City of Bakersfield Water Board Li da Hostmyer, Secretary City of Bakersfield Water Board -3- GeOrge W. Nicke St~. P.c'me 4, Box ~] ~ ' B~tersfie!d CA 9SS~ 198I Telephone Water Board Members City of Bakersfield 1501Truxtun Avenue Bakersfield, California 93301 Attention: Richard Oberholzer, City Attorney Gentlemen: I believe that this letter falls under your Agenda item noted to be Scheduled Public Statements. As a point of beginning, I make the assumption that the contents of my letter presented to you at your April 29th meeting will be an Agenda item for your May 6th meeting.- I also understand that the l~etter and draft agree- ment from the North Kern Water Storage District dated April 22nd will be given consideration at your May 6th meeting. This material from North Kern, which I now have a copy of, is a partial answer to the second paragraph of my April 29th letter to you, which incidentally for your easy reference purposes is also attached to this letter. I would now like to make specific comments and suggestions on the April 22nd letter and draft of agreement that you received from North Kern. 1. In reading the'draft of agreement it appears that North Kern proposes the purchase of City water for both the main portions of the North Kern Water Storage District and its Improvement Districts, which are not identified in the draft of agreement. However, one such Improvement District is known to be the James Pioneer Improvement District which lies adjacent to the City's 2800 acre spreading area. To the extent that the James Pioneer Improve- ment District gets outside water from the City, or other sources, it should have.the effect of reducing the take of underground water by Tenneco Wells of water that is spread by'the Olcese Water District, the Buena Vista Water Storage District, and the Kern County Water Agency on the City's spreading grounds. This certainly is a positive move in the right direction provided that ample safeguards and priorities are set up at the same time. 2. As the Olcese Water District, the Buena Vista Water Storage District, the Rosedale-Rio Bravo ~. Water Board ~(b a g e 2. water Storage District and the Kern County Water Agency have all advocated, it will be in the interest of the Kern County water community if Tenneco directly Or through the James,Pioneer Improv.ement District of North Kern will bring in enough outside water to offset the underground water take of the Tenneco wells, at least to the extent.of calculated consumptive use of the cropping program on %he Tenneco wells. In consideration of all the entities that appear to be willing to work with Tenneco in bringing in outside water, the .time has come for Tenneco to make some positive £ommitments that all entities involved can live with.. -For us to'expect Tenneco to make some positive commitments, I think we must first Come up with the concept of a water supply program that will work for Tenneco. I would like to advance some ideas along this line in my following paragraphL 3. When the Kern County Water Agency was formed, it was a number of years in time before Tenneco sold its Kern River Water Rights to the City. The Tenneco lands now within-the James Pioneer Improvement District of North Kern had the opportunity to contract for State water through the Kern County Water Agency; however, Tenneco rejected that oppo-rtunity on the contention that its high flow Kern River Water Rights would continue to feed the underground in the James Pioneer Improvement District area. It should also be noted that Tenneco had very little agri- cultural development in the area at that'time. In any event, two drastic changes occured since the formation of. the Kern County Water Agency. First, it should be noted that in 1975 Tenneco sold its water rights to the City. The City then contracted the yield of most of the acquired Tenneco Kern. River water to upstream water districts like Cawelo, Kern-Tulare,-Rag Gulch and the main part of North Kern. These contractual sales by the City had the phy.sical end result of substantially less water coming into the area. of the James Pioneer Improvement Distr~ct of North Kern. The second major thing that happened was the extensive develop- ment of the Tenneco lands for agricul%ural purposes in the James Pioneer Improvement District. Since Tenneco no longer had Kern River water regularly available and no further ownership of it, Tenneco is reported to have drilled some 90 irrigation wells adjacent to the City's 2800 acr~ spreading area. Water Board ~.. · 'Pa~e. 3 · It appears that unless Tenneco can bring in outside water, Tenneco will be taking,without a present re-placement program, some 100,000 acre feet of water for consumptive crop use annually. This is the problem that I hope we can all constructively help Tenneco to solve. In the following paragraph, I will discuss sources of water'that may potentially be avaiable for Tenneco. 4. I will now note supplies of water potentially avail-' able for Tenneco, the approximate price for such water and the arrangments th.at would have to be made to make the water available. (a) The referred to Tenneco lands do not presently have the right to purchase California Aqueduct water~ however, it may be feaslible for such lands to receive.surplus California Aqueduct water when it is avail~able in excess of the require- ments of the present Member Units of the Kern County Waoter Agency. Ph'ysically, Aqueduct water can reach Tenneco lands by utilizing the Cross Valley Canal when there is surplus capacity in the Cross Valley Canal. There may be limit~ times when direct deliveries can be made off of the Cross Valley Canal to Tenneco cropping requirements; however, the potential avail- ability of surplus Aqueduct water a'nd surplus capacity in the Cross Valley Canal will more frequently occur in the Winter months when there will be limited water demand for crops on Tenneco lands. This means that to make use of surplus Aqueduct water for 'the Tenneco land,, it will probably be necessary to spread the available surplus water for percolation to the underground for later recovery by Tenneco wells. There appears to be no question but that some of this type of water will be avail- able from the Aqueduct. The price for that type of surplus water should be less than what the present Member Units of the Agency pay for regularly contracted Aqueduct water; however, as long as the present Member Units of the Agency have a priority as against Tenneco on the surplus Aqueduct water, there would seem to be no logical objection to Tenneco having some price advantage as against the regular contracted price of the Agency's present Member Units. (b) The City will, for some time to come, occasionally have some surplus Kern River entitlement over its present contractual commitments and require- ments within the City. This is the kind of water that the City sold to Tenneco in 1980. I believe that there were different prices for surface deliveriem. ' Wat~r-Bdar~ '- Page 4. as against water percolated to the underground in the City's spreading area. I believe the water spread in the City's spreading area was sold for $3.00 an acre foot and that the sale amounted to' 100,000 acre feet. There was apparently no charge made to Tenneco for spreading costs and no extraction charge made to Tenneco. I suggest that this was unreasonably low price for this water. ! would hope that in the future the pricing would at least be related to what would otherwise be paid for California Aqueduct surplus water delivered into the City's spreading area by use of the Cross Valley Canal. ! also suggest that before this type of water is offered to Tenneco, it certainly should be offered to clients within the City. In any event, it appea~s that there should, from time to time, be .City Kern River surplus water that can be made available to Tenneco over the contractural City commit-' ments outside of the City and over the needs within the City. (c) In addition to the two'sources of water noted above,-it is possible that Kern River entitlement other than tha~ held by the City may occasionally be available for purchase by Tenneco. For discussion and evaluation purposes, I believe that this type of water would have to have a price tag at least comparable to what Agency Member Units pay for Aqueduct water, if Tenneco agrees to acquire outside water to reduce its underground water take. This subject should be fully explored. 5. Making the assumption that all affected entities will make an effort to make water available to Tenneco, I believe that we should next touch on the commitments that would be forthcoming from Tenneco and/or James Pioneer Improvement District of North Kern. I will note below commitments that might be appropriate together with comments thereon. a. Tenneco should agree to balance its consumptive water use on crops with water brought in from outside sources. A regular banking program would be set up in the same manner that water banking accounts have been set up by the City for Olcese.and Buena Vista. With the 100,000 acre feet of City water purchased in the underground by Tenneco, there is at least some positive water bank account balance that can be shown at this time. b. Tenneco should.agree to purchase surplus Aqueduct water when it is available. c. Tenneco should make some of its own ground . ~. available for spreading if .there is not sufficient ~,~ a ter, Board Page' 5. spreading capacity in the City's spreading area to handle City water, Olcese water and Buena Vista water under existing agreements. d. Tenneco should purchase Kern River entitlement other than that of the City when it is available at Agency Member Unit regular contract prices including Cross Valley Canal costs when such Kern River water is available. Prior to the City entering into a form of agreement with North Kern similar to the attached draft of April~ 22nd, I would suggest that the program and suggestions.that I have noted above should be given full consideration. ~eorge W. Nickel, 'Jr GWN:rjp c- Water Board Members Richard Oberholzer J. Barton Tom Payne Don Ratty Phil Kelmar John Chafin 5-6-81 cc: S. Hatch T. Stetson ,~2OO Lake Ming Road Star Route 4, Box 801 Rio Bravo Annex Bakersfield, CA 93306 Telephone 805/366-5581 May 5, 1981 / Water Board City of Bakersfield 1501Truxtun Avenue Bakersfield, CA 93301 Gentlemen: Although not available to me at your April 29th meeting, I did subsequently obtain a copy of the material prepared under date of April 22nd by Gene Bogart entitled "1981 - 1982 Agricultural Water Enterprise Budget". Action taken at your April 29th meeting was to approve the budget' and pass it on for final action by the City Council at the meeting scheduled for the evening of May 6th. Because I have som~ questions and comments to make on the Agricultural Enterprises Budget, I hope that they can be addressed at your Water Board meeting on the afternoon of May 6th before the City Council meeting that evening. I will next enumerate below my various questions and comments. 1. Because the Olcese Water District is very much involved in the development Of the City's 2800 acre spreading area, there is .a real desire on the part of those representing Olcese to work closely with the City Water Board on this project. Olcese has already spent in excess of $60,000.00 on water spreading channels, levees'and related operations in the three (3) year period from 1978 through 1980. This effort resulted in a successful spreading of substantial quantities of City, Olcese, Buena Vista.and Kern County Water Agency water. I note that under your Capital Outlay Program item #5 shows an expenditure of $175,000 for "2800 acre basin and river bed properties improvements" I am sure that it will be possible to spend $175,000.00 ~in this activity; however, I would hope that this will be c6ordinated with the efforts and obligations-of Olcese. There also arises the question of what participation other entities such as Tenneco, Kern County Water Agency and possibly Rosedale should have in these expenditures, if the City elects to have those entities utilize the spreading basin. I would like to'suggest that your staff should meet with all con- cerned with this subject for full discussion and recommendations that can be made to 'your Board. 2. Under the schedule entitled "1981 Water Price and Sand Sale Schedule", the prices for various types of City water ~re set forth. Some of these prices are set by contract, others are variable. Much of the water is apparently scheduled for sale outside of. the City. One point that I ~hope can be clarified is whether o'r not landS within the City have a priority for water 14a'ter~ Boa r;d Page 2. purchase as against lands 'outside of the City. As time passes, this can become an increasingly important issue. I further note that the.prices set on' much of this water, would appear to be subs'tantially less than what lands within the City are now paying for Wa.%er from-the California Aqueduct and elsewhere. I suggest that this is a subject tha't needs discuss.ion and review'. 3. In the Operating Budget under "Administrative Expenses" I note-that consultants] for engineering and legal work were reported to be paid $112,000.00 in t~e fiscal year ending June 30, 1981 and are set forth to cost $115,000.00 in the upcoming fiscal year. Since it appears that a number of legal and related engineering problems have been solved in this current fiscal year, I would hope that-an expenditure of $t15,000.00 would not be necessary in the following fiscal year. I~assume that this high figure may be budgeted-out of caution as it does seem a high charge to anticipate when it is over and above other legal and engineering talent'regularly employed by the City. 4. I ~observe in the attachment entitled "Financial Reconciliation'' ~ that'there is an item of $200,000.00 set forth for construction of interim waste water facilities at treatment plant.#3. It also noted that this came about by Council action on March 25, 1981. I will make an effort to review the Minutes on this Council action. It does seem l~ike an unusual expenditure outside of the regular activities of the City Water Department. I hope that you will find my questions and comments noted above to be. constructive. It is my sincere desire to work closely with the Water Board and your staff. S.q.n c~re 1 y.,~ ~ g . , · G~N:rjp George W. Nickel, Jr. t~Star Route 4, Box 801 Rio Bravo Annex CA t 2,1981 Telephone 805/366-558] CF[¥ OF BAKERSFIELD May 8, 1981 James J. Barton, Chairman City of Bakersfield Water Board 1501Truxtun Avenue Bakersfield, CA 93301 Dear Curly: I am writing as a follow up to the meeting that Tom Clark and I had with you on the afternoon of May 6th. Because the City Water Board meeting was called off at the last minute by John Chafin, as manager of the City Water Department, you were nice enough to sit ~own to have a discussion with us on matters that would have been before the City Water Board. You will recall that under date 6f May 4th, I circulated a letter to all Water Board Members in anticipation that it would have been an agenda item at the May 6th meeting. In addition, I furnished to you a copy of my May 5th letter to the Water Board in which I commented upon the 1981 - 1982 Agricultural Water Enterprises budget. You will find a further copy of that May 5th letter attached. I am also sending a copy of this letter to all other Water Board Members and to John Chafin. Getting back to John Chafin's last minute cancellation of the May 6th Water Board Meeting, I am sure that as Chairman of the Water Board it must have been an embarrassment to you and certainly an inconvenience to Water Board Member Tom Payne who apparently did not even receive notice of cancellation of the meeting. Since it appears to me that there were matters of substantial importance to take up at the May 6th meeting, I am surprised that John Chafin would not get your approval as well as approval of other members of the Water Board before arbitarily cancelling a meeting. As you, Tom Clark, and I discussed, there are important matters brought up in my letter of May 4th to the Water Board. I do hope that it will be on the agenda for discussion at the Water Board meeting scheduled for May 13th. Si~.rely, .'ueorg~ GWN:rjp Encs. c- John Chafin Members of Water Board AGREEMENT FOR ENGINEERING SERVICES This agreement, dated , 1981, be- tween the City of Bakersfield, Buena Vista Water Storage Dist- rict, Kern Delta Water District, and North Kern Water Storage District, hereinafter called "Owner", and RICKS, TAYLOR & MEYER, INC., a California corporation, hereinafter called "Engineer". W I T N E S S E T H: WHEREAS, the Owner desires to secure engineering services for the preliminary design, final design and construction of the Kern River First Point of Measurement Structure, substantially as described as Alternate 4 in the Report on the Replacement of Kern River Diversion and Metering Structures, dated August 1980, and subsequently modified in detail, and WHEREAS, Engineer is qualified and properly registered as a civil engineer under the laws of the State of California to perform engineering required hereunder by Owner and is willing to furnish and perform said services for the consid- erations and upon the terms and conditions herein set forth. NOW, THEREFORE, IT IS AGREED AS FOLLOWS: ARTICLE I SCOPE OF PROJECT Section 1.01: Engineer's Employment: Subject to the limitations, restrictions and conditions herein set forth, Engineer is employed by Owner to perform all the engineer- ing work and furnish all the engineering services herein- after listed which are required to complete the planning, design and construction of works for the Kern River First Point of Measurement Structure substantially as outlined in said Report dated August, 1980, hereinafter sometimes called "the Project". Engineer accepts said employment and agrees to provide engineering services as herein required in a skillful and professional manner. Section 1.02: Commencement of Engineering Work: Owner, by execution of this agreement, authorizes and directs the immediate commencement of the work required by Engineer hereunder. 2 ARTICLE II DUTIES AND RESPONSIBILITIES OF ENGINEER Section 2.01: Services to be Performed and Supplies to be Furnished on Hourly and Fixed Rate Bases: Engineer shall perform all the following work and services and fur- nish the following supplies in connection with engineering required for the planning, design and construction of the Project in accordance with the attached hourly and fixed fee rates and charges and at no other cost or expense ex- cept as hereinafter in this agreement specifically provided: (a) Hold conferences and obtain information and data pertaining to all aspects of the Project with representa- tives of the Owner, property owners and Lessees involved, public agencies, regulatory authorities and others as re- quired to perform the required engineering for the planning, designing and.construction of the Project; (b) Prepare preliminary engineering studies and designs for review and approval by Owner as required to complete the final design and prepare construction plans and specifications; (c) Coordinate and assume responsibility for the prep- aration and drafting of documents for complying with provisions of the California Environmental Quality Act of 1970, as amended, The Guidelines for Implementation of Said Act, as from time to time promulgated by the Secretary of the California Re- sources Agency. ' (d) Prepare engineering data for all regulatory per- mit applications that may be required by local, state or fed- eral authorities; (e) Prepare final engineering designs for the Project; (f) Prepare construction plans and specifications and contract documents, satisfactory to Owner's counsel and adequate for the receipt of construction proposals; (g) Prepare estimates of quantities and costs; (h) Assist Owner in securing bids, tabulation and analy- sis of bid results and in letting of contracts; (i) Process plans and specifications for approval as required by participating agencies; (j) Perform services requested by Owner in connection with acquisition of land and rights-of-way required by the Project, including surveying, preparation of legal descrip- tions and plans and all engineering work in connection with condemnation proceedings; (k) Provide engineering assistance to Owner's counsel in the preparation of legal proceedings and appearances be- fore courts or commissions in connection with litigation which might occur between the Owner and others; (1) Furnish construction supervision and inspectors of construction, as required to assure Owner that the work is constructed according to plans and specifications; (m) Furnish Owner, as requested by Owner, reproductions of construction drawings and specifications, including bound plans and specifications for bidding purposes; 4 · ~ (n) Furnish or make arrangements for ordinary surveys during both planning and construction phases, aerial photogram- metry services and surveys, materials testings, and soils 'in- vestigation, including field testings; provided, however, that the laboratory or prOfessional organizations to perform the work required by this sub-paragraph, under supervision of En- gineer, shall be mutually agreed upon and selected by Engineer and Owner. (o) Review laboratory and inspection reports on mater- ials and soils tests and correlate such reports with the in- tention of the plans and specifications; (p) ~Certify to Owner all progress payments to contrac- tors; (q) Until completion of the Project, furnish monthly written progress reports with respect to the construction contract and to progress under this contract; (r) Furnish Owner a final inspection and a written report of the completed Project;~ (s) Prepare record, "as constructed", drawings when the construction work has been completed (this shall mean the tracings of the plans will be modified, where necessary, because of deviations from the original plans. The original tracings, after being modified, shall become Owner's property); (t) Provide, on request of Owner, attendance of a con- suiting engineer at all meetings of Owner's Committee Until completion of the Project; (u) Within one month following execution of this agree- ment, prepare and furnish Owner a time schedule of all work to be performed by Engineer and thereafter for each regular 5 ~eeting of Owner's Committee, furnish Owner a written status report of work performed during the preceeding month and of adherence to-said schedule, which written report may be part of the progress reports required under sub-paragraph (q) above; Owner may directly perform any of the work and service set forth in this Section 2.01 at iks own expense, provided that Owner, and Engineer shall first mutually agree upon the work to be performed by Owner and provided further that all such work shall be accomplished under the supervision of En- gineer. 6 ARTICLE III ENGINEER'S FEES AND COMPENSATION; AMOUNT; WHEN DUE Section 3.01: Hourly and Fixed Rate Fee: For all items of work and services, including the furnishing of supplies and equipment, pertaining to the Project and required to be furnished by Engineer as set forth in Section 2.01 hereof, Owner shall pay Engineer and Engineer shall receive and ac- cept, as payment in full, the following sums of money: Classification Rate Consulting Civil Engineer $55.00 Per Hour Registered Civil Engineer $50.00 Per Hour Associate Engineer $42.00 Per Hour Construction Engineer $38.00 Per Hour Assistant Engineer $33.00 Per Hour Jr. Engineer $31.00 Per Hour Engineering Technician $27.00 Per Hour Design Draftsman $20.00 Per Hour Draftsman $16.00 Per Hour Secretary $15.00 Per Hour Aerial Photogrammetry Services ' and Surveys Invoice Cost Blueprints, Permits and other special items Invoice Cost + 10% Soils Investigations and Field Tests Invoice Cost Automobile Mileage $.40 Per Mile ., The hourly rates above set forth shall remain in effect until February 28, 1982, after which date such rates shall be renegotiated on a basis consistant with any increase in Engin- eer's labor costs over those prevailing at the date of this contract. The rates and charges set forth above include all required clerical (except secretarial) services and normal equipment and materials used in connection with the produc- tion of the required engineering services. Section 3.02: Payment of Engineer's Fees: Engineer shall furnish Owner monthly progress billings for all amounts becoming due and payable to Engineer under the provisions of Section 3.01 hereof and such billings shall be paid by Owner to Engineer on the date of Owner's regular monthly meeting next occurring or within thirty (30) days following date of presentment. Section 3.03: Deferment of Payment of Engineer's Fees: In the event Owner gives Engineer notice of cancellation of this contract in accordance with the provisions of Section 7.01 hereof, payment of all engineering fees then due and~ payable (computed as provided in Section 3.01 hereof) may be deferred by Owner until there are available in Owner's General Fund monies, otherwise unencumbered, available for the payment of said fees, provided, however, that any of such fees deferred beyond thirty (30) days after presentment shall thereafter bear interest at the rate of 1~% per month. Section 3'.04: Payment for Services on Abandonment or Substantial Reduction of Project: In the event of abandon- ment of the Project by Owner during progress of work hereunder, Engineer shall be paid for all work completed to date of aband- 8 phment and the amount of final fee due and payable by Owner will be calculated at the hourly rates set forth in Section 3.01 hereof. ARTICLE IV ULTI~h~TE CONTROL OF PROJECT Section 4.0l: O~ner Control: Ultimate control of the Project, its criteria and operational capabilities shall at all times remain in O~ner. To this end Engineer shall con- fer regularly and frequently with O~ner's Representative. In the event Engineer and O~ner's RePresentative do not agree with respect to any recommendation of Engineer, the written determination of Owner's Representative with respect there- to shall be final and binding upon the parties hereto. ARTICLE V COMPLETION Section 5.01: Time for Completion of Plans, Specifica- tions and Contract Documents: Final plans, specifications and contract documents for the project shall be filed with Owner within ninety (90).days after approval of the Engineering Services Agreement. Extension of said filing date may be granted by Owner's Representative where there appears to said Representative to be sufficient reason for extension. ARTICLE VI ATTORNEY'S FEES Secti-on 6.01: Award to Successful Party: I-f any action is brought to enforce the terms of this agreement, the party found by the court to be in default shall pay reasonable at- torney's fees to the successful party in an amount to be fixed by the court. 10 ARTICLE VII TERMINATION Section 7.01: Termination of Engineering Agreement: This agreement may be terminated at any time by mutual consent of the parties. This agreement may be terminated, without cause, at any time by Owner, upon its giving ten (10) days written notice of termination to Engineer. This agreement may be terminated, with cause, effective immediate- ly upon receipt of written notice of such termination by Engineer. If, in the opinion of Engineer, any requirement of Owner regarding any engineering provided for under the terms of this agreement is unsound from an engineering stand- point, Engineer may terminate this agreement by giving Owner thirty (30) days written notice of termination of this contract. ARTICLE VIII NOTICES Section 8.01: Ail notices herein provided for shall be in writing and shall be given either personally or by regis- tered mail, registration fees prepaid. Notices delivered to Owner's representatives, if personally given, shall be delivered to Owner's office on Truxtun Avenue in the City of Bakersfield, California, or, if delivered by mail, shall be addressed to Owner at 1501 Truxtun Ave., Bakersfield, Cali- fornia 93301. Notice to Engineer may be personally delivered or mailed, registered mail, registration fees prepaid, to 11 Ehgineer at 930 Truxtun Avenue, Suite 102, Bakersfield, Calif- ornia,- 93301. Mailed notices so given, if posted in Bakersfield, California, shall be conclusively deemed received on the second business day following mailing. IN WITNESS WHEREOF the parties have executed this agree- ment as of the date first hereinabove written. OWNER ENGINEER BY BY City of Bakersfield BY BY Buena Vista Water Storage RICKS, TAYLOR & MEYER, INC. District BY Kern Delta Water District BY North Kern Water Storage District 12 AGREEMENT FOR - ENGINEERING SERVICES This agreement, dated , 1981, be-* tween the. CITY OF BAKERSFIELD, and KERN DELTA WATER DISTRICT, hereinafter called "Owner", and RICKS,. TAYLOR &MEYER, INC., a California corporation, hereinafter called "Engineer". W I T~N E S S E T H: WHEREAS,-the Owner desires to secure engineering serv- ices for the feasibility study required for the Carrier Can- al Powerplant (FERC Project No. 3685-000) under Order Issuing Preliminary Permit, and for the preliminary design of the Rocky Point Diversion Weir and Carrier Canal Headworks Struc- ture, substantially as described in the Replacement of Kern River Diversion and Metering Structures, dated August 1980, and WHEREAS, Engineer is qualified and properly registered as a civil engineer uhder the laws of the State of California to perform engineering required hereunder by Owner and is willing to furnish and perform said services for the consid- erations and upon the terms and conditions herein set forth. NOW, THEREFORE, IT IS AGREED as follows: ARTICLE I SCOPE OF PROJECT Section 1.01: Engineer's Employment: Subject to the limitations, restrictions and conditions herein set forth, Engineer is employed by Owner to perform all the engineer- ing wor~k and furnish all the engineering services herein- ' after listed which are reqUired to complete the preliminary design of the Rocky Point Diversion Weir and Carrier Canal Headworks Structure, substantially as described in the Report on the ReplRcement of Kern River Diversion and Metering Structures, dated August 1980, and to carry out the feasi- bility studies required to address the technical, economic and environmental consideratio.ns of the proposed Carrier Powerplant, as described in the Federal Energy Regulatory Commission's Order Issuing Preliminary Permit for the Car- rier Powerplant, Project No. 3685-000. Engineer accepts said employment and agrees to provide engineering services as herein required in a skillful and professional~manner. Section 1.02: Commencemen6 of Engineering Work: Owner, by execution of this agreement, authorizes and directs the immediate commencement of the work required by Engineer hereunder. ARTICLE II DUTIES AND RESPONSIBILITIES OF ENGINEER Section 2.01: Services to be Performed and Supplies to be Furnished on Hourly and Fixed Rate Bases: Engineer shall perform all the following work and services and fur- nish the following supplies in connection with engineering required for the planning, design and construction of the Project in accordance with the attached hourly and fixed fee rates and charges and at no other cost or expense ex- cept as hereinafter in this agreement specifically provided: (a) Hold conferences and obtain information and data pertaining to all aspects of the Project with representa- tives of the Owner, public agencies, regulatory authorities and others,:as required to perform the required engineering for the planning, and preliminary design of the Project; (b) Prepare preliminay engineering studies and pre- liminary designs for review and approval by Owner as required for the completion of final design. (c) Prepare feasibility studies, including_technical, economic and environmental considerations, as required under FERC Project No. 3685-000, Order Issuing Preliminary Permit for the Carrier Powerplant; (d) Coordinate and assume responsibility for the prep- aration and drafting of documents for complying with provisions of the California Environmental Quality Act of 1970, as amended, The Guidelines for Implementation of Said Act, as from time to time promulgated by the Secretary of the California Resources Agency; 3 (e) Prepare engineering data for all regulatory per- mit applications that may be required by local, state or fed- eral authorities; (f) Contact utility companies to verify compatibility of gererating and transmission equipment with utility fac- ilities and assist in the preparation of agreements for sale of power; (g) Research turbine and generating equipment avail- ability and make-recommendations as to type of equipment to be used; (h) Prepare preliminary estimates of quantities and costs; (i) Provide engineering assistance to Owner's counsel in the preparation of legal proceedings and appearances be- fore courts or commissions in connection with litigation which might occur between the Owner and others; (j) Furnish or make arrangements for ordinary surveys during the planning phase, aerial photogrammetry services, as required, and soils investigation, including field test- ings; provided, however, that the laboratory or professional organizations to perform the work required by thi~ sub-para- graph, under supervision of Engineer, shall be mutually agreed upon and selected by Engineer and Owner; (k) Review laboratory and inspection reports on mater- ials and soils tests and correlate such reports with the preliminary design; (1) Until completion of the Project,_furnish monthly written progress r~ports with respect to the progress of studies required under this contract; 4 (m) Provide, on request of Owner, attendance of a con- sulting engineer at all meetings of Owner's Committee until completion of the Project; (n) Within one month following execution of this agree- ment, prepare and furnish Owner a time schedule Of all work to be performed by Engineer and thereafter for each regular meeting of Owner's Committee, furnish Owner a written status report of work performed during the preceeding~month and of adherence to said schedule, which written report may be part of the progress reports required under sub-paragraph (1) above; Owner may directly perform any of the work and service set forth in this Section 2.01 at its own expense, provided that Owner, and Engineer shall first mutually agree upon the work to be performed by Owner and provided further-that all such work shall be accomplished under the supervision Of Engineer. ARTICLE III ENGINEER'S FEES AND COMPENSATION; AMOUNT; WHEN DUE ~Section 3.01: Hourly and Fixed Rate Fee: For all items of work and services, including the furnishing of supplies and equipment, pertaining to the Project and required to be furnished by Engineer as set forth in Section 2.01 hereof, Owner shall pay Engineer and Engineer shall receive and ac- cept, as payment in full, the following sums of money: Classification Rate consulting Civil Engineer $55.00 Per Hour Registered Civil Engineer $50.00 Per Hour Associate Engineer $42.001Per Hour Construction Engineer $38.00 Per Hour Assistant Engineer $33 00 Per Hour Jr. Engineer $31 00 Per Hour Engineering Technician $27 00 Per Hour Design Draftsman $20 00 Per Hour Draftsman $16 00 Per Hour~ Secretary $15 00 Per Hour Aerial Photogrammetry Services and Surveys Invoice Cost Blueprints, Permits & other special items Invoice Cost + 10% Soils Investigations and Field Tests Invoice Cost Automobile Mileage $.40 Per Mile 6 The hourly rates above set forth shall remain in effect until February 28, 1982, after which date such rates shall be renegotiated on a basis consistant~ with any increase in Engin- eer's labor costs over those prevailing at the date of this contract. The rates and charges set forth above include all required clerical (except secretarial) services and normal equipment and materials used in connection with the produc- tion of the required engineering services. Section 3.02: Payment of Engineer's Fees: Engineer shall furnish Owner monthly progress billings for all amounts becoming due and payable to Engineer under the provisions of Section 3.01 hereof and such billings shall-be paid by Owner to Engineer on the date of Owner's regular ~monthly meeting next occurring or within thirty (30) days following date of presentment. Section 3.03: Deferment of Payment of Engineer's Fees: In the event Owner gives Engineer notice of cancellation of this contract in accordance with the provisions of Section 7.01 hereof, payment of all engineering fees then due and payable (computed as provided in Section 3.01 hereof) may be deferred by Owner until there are available in Owner's General Fund monies, otherwise unencumbered, available for the payment of said fees, provided, however, that any of such fees deferred beyond thirty (30) days after presentment shall thereafter bear interest at the rate of 1½% per month. Section 3.04: Payment for Services on Abandonment or Substantial Reduction of Project: In the ~event of abandon- ment of the Project by Owner during progress of work hereunder, .Engineer shall be Paid for all work completed to date of aband- onment and the amount of final fee due and payable by Owner will be calculated at the hourly rates set forth in Section 3.01 hereof. ~' '- 8 ARTICLE IV ULTIMATE CONTROL OF PROJECT Section 4.0i: Owner Control: Ultimate control of the Project, its criteria and operational capabilities shall' at all times remain in Owner. To this end Engineer shall con- fer regularly and frequently-with Owner's Representative_. In the event Engineer and Owner's Representative do not agree with respect to any 'recommendation~of Engineer, the written determination of Owner's Representative with respect there- to shall be final and binding upon the parties hereto. ARTICLE V ATTORNEY'S FEES Section 5.0.1: Award to Successful Party: If any action is brought to enforce the terms of this agreement, the party found by the court to be in default shall pay reasonable at- torney's :fees to-the successful party in an amount to be fixed by the court. ARTICLE VI TERMINATION Section 6.01: Termination of Engineering Agreement:- This agreement may be terminated at any time by-mutual consent of the parties. This agreement may be terminated,~ without cause, at any time by Owner, upon its giving ten (10) days wzitten notice of termination to Engineer. This 9 agreement may be terminated, with cause, effective immediate- ly upon receipt of written notice of such termination by Engineer. If, in the opinion of Engineer, any requirement of Owner regarding any engineering provided for under the terms-of this agreement is unsound ~from an engineering stand- point, Engineer may terminate this agreement by giving Owner thirty. (30) days Written notice of termination of this contract. ARTICLE VII NOTICES Sect:ion 7.01: Ail notices herein provided for shall be in writing and shall be given either personally or by regis- tered mail, registration fees prepaid. Notices delivered to Owner's representatives, if personally given, shall be delivered to Owner's office on Truxtun Avenue in the City of Bakersfield, California, or if delivered by mail, shall be addressed to Owner at 1501 Truxtun Ave., Bakersfield, Calif- ornia 933191. Notice,to Engineer may be personally delivered or mailed, registered mail, registration fees prepaid, to Engineer at 930 Truxtun Avenue, Suite 102, Bakersfield, Calif- ornia, 93.301. Mailed-notices so given, if posted in Bakers- field~ California, Shall be conclusively deemed received on the secon,d business day following mailing. 10 IN WITNESS WHEREOF the parties have executed this agree-_. ment as of the date first hereinabove written. OWNER ENGINEER BY BY City of Bakersfield BY BY Kern Delta Water District Ricks.,-Taylor & Meyer,- Inc. 11 g,. AGENOA ffEIR#6C. AGREEMENT FOR ENGINEERING SERVICES This agreement, dated , 1981~ be- tween the City of Bakersfield, and North Kern Water Storage District, hereinafter called "Owner", and RICKS, TAYLOR & MEYER, 'INC., a California corporation, hereinafter called "Engineer". WI TNE S SETH: WHEREAS, the Owner desires to secure engineering services for the feasibility sthdy required for the Beardsley Power- plants (FERC Project No. 3686-000) under Order Issuing Prelim' inary Permit, dated March 24, 1981, and for the preliminary · design of the Beardsley Diversion Weir and Beardsley Head- works Structure, substantially as described in the Replace- ment of Kern River Diversion and Metering Structures, dated August 1980, and WHEREAS, Engineer is qualified and properly registered as a civil engineer under the laws of the State of California to perform engineering required hereunder by Owner and is willing to furnish and perform said services for the consid- erations and upon the terms and conditions herein set forth. NOW, THEREFORE, IT IS AGREED as follows: ARTICLE I SCOPE OF PROJECT Section 1.01: Engineer's Employment: Subject to the limitations, restrictions and conditions herein set forth, Engineer is employed by Owner to perform all the engineer- ing work and furnish all the engineering services herein- after listed which are required to complete the preliminary design of the Beardsley Diversion Weir and Beardsley~Head- works Structure, substantially as described in the Report on the Replacement of Kern River Diversion and Metering Structures~ dated August 1980, and to carry out the feasi- bility studies required to address the technical, economic and environmental considerations of the proposed Beardsley Powerplants, as described in the Federal Energy Regulatory Commission's Order Issuing Preliminary Permit for the Beardsley Powerplants, Project No. 3686-000. Engineer accepts said employment and agrees to provide engineering services ~s herein required in a skillful and professional manner. Section 1.02: Commencement of Engineering Work: Owner, by execution of this agreement, authorizes and directs the i~m,ediate commencement of the work required by Engineer hereunder. ARTICLE II DUTIES AND RESPONSIBILITIES OF ENGINEER' Section 2.'01: Services to be Performed and Supplies to be Furnished on Hourly and Fixed Rate Bases: Engineer shall perform all the.following work and services and fur- nish the following supplies in connection with engineering required for the planning, design and construction of the Project in accordance with the attached hourly and fixed fee rates and charges and at no other cost or expense ex- cept as hereinafter in th~s agreement specifically provided: (a) 'Hold conferences and obtain information and data pertaining to all aspects of the Project with representa- tives of the Owner, public agencies, regulatory authorities and others as required to perform the required engineering for the plRnning, and preliminary design of the Project; (b) Prepare preliminary engineering studies and pre- liminary designs for review and approval by Owner as required for the completion of final design. (c) Prepare feasibility studies, including technical, economic and environmental considerations, as required under FERC Project No. 3686-000, Order Issuing Preliminary Permit for the Beardsley Powerplants, dated March 24, 1981. (d) Coordinate and assume responsibility for the prep- aration and drafting of documents for complying with provisions of the California Environmental Quality Act of 1970, as amended, The Guidelines for Implementation of Said Act, as froTM time to time promulgated by the Secretary of the California Resources Agency. 3 (e) Prepare engineering data for all regulatory per- mit applications that may be required by local, state or fed- eral authorities; (f) Contact utility companies to verify compatibility of gererating and transmission equipment with utility fac- ilities and assist in the preparation of agreements for sale of power; (g) Research turbine and generating equipment avail- ability and make recommendations as to type of equipment to be used; (h) Prepare preliminary estimates of quantities and costs; (i) Provide engineering assistancelto Owner's counsel in the preparation of legal proceedings and appearances be- fore courts or commissions in connection with litigation which might occur between the Owner and others; (j) Furnish or make arrangements for ordinary surveys during the planning phase, aerial photogrammetry services, as required, and soils investigation, including field test- ings; provided, however, that the laboratory or professional organizations to perform the work required by thi~ sub-para- graph, under supervision of Engineer, shall be mutually agreed upon and selected by Engineer and Owner; (k) Review laboratory and inspection reports on mater- ials and soils tests and correlate such reports with the preliminary design; (1) Until completion of the Project, furnish monthly written progress reports with respect to the progress of studies required under this contract; 4 (m) Provide, on request of Owner, attendance of a con- sulting engineer at all meetings of Owner's Committee until completion of the Project; (n) Within one month following execution of this agree- ment, prepare and furnish oWner a time schedule of all work to be performed by Engineer and thereafter for each regular meeting of OWner's Committee, furnish Owner a written status report of work performed during the preceeding month and of adherence to-said schedule, which written report maY be part of the progress reports required under sub-paragraph (1) above; Owner may directly perform any of~the work and service set forth in this Section 2.01 at its own expense, provided that Owner, and Engineer shall first mutually agree upon the work to be performed by Owner and provided further that all such work shall be accomplished under the supervision of Engineer. 5 ARTICLE III ENGINEER'S FEES AND COMPENSATION; AMOUNT; WHEN DUE Section 3.01: Hourly and Fixed Rate Fee: For all items of work and services, including the furnishing of supplies and equipment, pertaining to t~e Project and required to be furnished by Engineer as set forth in Section 2.01 hereof, Owner shall pay Engineer and Engineer shall receive and~ac- cept, as payment in full, the following sums of money: Classification Rate Consulting Civil Engineer $55.00 Per Hour Registered Civil Engineer $50.00 Per Hour Associate Engineer $42.00 Per Hour' Construction Engineer $38.00 Per Hour Assistant Engineer $33.00 Per Hour Jr. Engineer $31.00 Per Hour Engineering Technician $27.00 Per Hour Design Draftsman $20.00 Per Hour Draftsman ~ $16.00 Per Ho~r Secretary $15.00 Per Hour Aerial Photogrammetry Services and Surveys Invoice Cost Blueprints, Permits & other special items Invoice Cost + 10% Soils Investigations and Field Tests Invoice Cost Automobile Mileage $.40 Per Mile The~ hourly rates above set forth shall remain in effect until February 28, 1982, after which date such rates shall be renegotiated on a basis consistant with any increase in Engin- eer's labor costs over those prevailing at the date of this contract. The rates and charges set forth above include all required clerical (except secretarial) services and normal equipment and materials used in connection with the produc- tion of the required engineering services. Section 3.02: Payment of 'Engineer's Fees: Engineer shall furnish Owner monthly progress billings for all amounts becoming due and payable to Engineer under the provisions of Section 3.01 hereof and such billings shall be paid by OWner to Engineer on the date of Owner's regular monthly meeting next occurring or within thirty (30) days following date of presentment. Section 3.03: Deferment of Payment of Engineer's Fees: In the event Owner gives Engineer notice of cancellation of this contract in accordance with the provisions of Section 7.01 hereof, payment of all engineering fees then due and payable (computed as provided in Section 3.01 hereof) may be deferred by Owner until there are available in Owner's General Fund monies, otherwise unencumbered, available for the payment of said fees, provided, however, that any of such fees deferred beyond thirty (30) days after presentment shall thereafter bear interest at the rate of 1~% per'month. Section 3.04: Payment for Services on Abandonment or Substantial Reduction of Project: In the event of abandon- m~nt of the Project by Owner during progress of work hereunder, Engineer shall be paid for all work completed to date of aband- onment and the amount of final fee due and payable by Owner will be calculated at the hourly rates set forth in Section 3.01 hereof. / ARTICLE IV ULTIMATE CONTROL OF PROJECT Section 4.01: Owner Control: Ultimate control of the Project, its criteria and operational capabilities shall at all times remain in Owner. To this end Engineer shall con- fer regularly and frequently with Owner's Representative. In the event Engineer and Owner's Representative do not agree with respect to any recommendation of Engineer, the written determination of Owner's Representative with respect there- to shall be final and binding upon the parties hereto. ARTICLE V ATTORNEY'S FEES Section 5.01: Award to Successful Party: If any action is brought to enforce the terms of this agreement, the party found by the court to be in default shall pay reasonable at- torney's fees to the successful party in an amount to be fixed by the court. ARTICLE VI TERMINATION Section 6.01: Termination of Engineering ~greement: This agreement may be terminated at any time by mutual consent of the parties. This agreement may be terminated', ~without cause, at any time by Owner, upon its giving ten (10) days written notice of termination to Engineer. This 9 agreement may be terminated, with cause, effective immediate- ly upon receipt of written notice of such termination by Engineer. If, in the opinion of Engineer, any requirement of Owner regarding any engineering provided for under the terms of this agreement is unsound from an engineering stand- point, Engineer may terminate this agreement by giving Owner thirty (30) days written-notice of termination of this contract. ARTICLE VII NOTICES Section 7.01: Ail notices herein provided for shall be in writing and shall be given either personally or by regis- tered mail, registration fees prepaid. Notices delivered to Owner's representatives, if personally given, shall be delivered to Owner's office on Truxtun Avenue in the City of Bakersfield, California, or if delivered by mail, shall be addressed to Owner at 1501 Truxtun Ave., Bakersfield~ Calif- ornia 93301. Notice.to Engineer may be personally delivered or mailed, registered mail, registration fees prepaid, to Engineer at 930 Truxtun Avenue, Suite 102, Bakersfield, Calif- ornia, 93301. Mailed notices so given, if posted in Bakers- field, California, shall be conclusively deemed received on the second business day following mailing. 10 IN WITNESS WHEREOF the parties have executed _this agree- ment as of the date first hereinabove written. OWNER ENGINEER BY. BY City of Bakersfield, BY BY North Kern Water Storage -Ricks, Taylor & Meyer,-Inc. District 11 . Kern County Water Districts APR 2 8 1981 TO: ALL PARTICIPANTS OF THE OPTIMIZATION PROGRAM o~P~ OF WA~ FROM: JERRY L. CAPPELLO . - DATE: .~PRIL 24, 1981 '~ SUBJECT: REVISED AGREEMENT Reference is made to my letter of April 3, 1951, which advised you 'that the Agency Board had requested Roy Gargano to prepare a revised draft of agreement for the Optimization and Enhancement Study. This has been completed and on April 23, the Kern County Water Agency approved it in principle and authorized its execution subject to reasonable modification to be approved by the attorney. Enclosed is a copy of this revised draft for your review. You will note that the substative portions are substantially the same as set forth in the previous agreement. It would be appreciated if you would let Arnold Rummelsburg or me know by ~Iay 11 of any changes you feel to be absolutely essential. We will then attempt to have a final copy for signature at the ~ay 18 meeting of the Water Districts Advisory Committee. JLC:wkc DRAFT This Agreement made and entered into this day of , 198l, by ~nd between the KERN COUNTY WATER AGENCY, the CITY OF BAKERSFIELD, the ARVIN-EDISON WATER STORAGE DISTRICT, the BELRIDGE WATER STORAGE DISTRICT, the BERRENDA ~.IESA WATER DISTRICT, the BUENA VISTA WATER STORAGE DISTRICT, the CAWELO WATER DISTRICT, the DELANO-EARLI~ART IRRIGATION DISTRICT, the HENRY MILLER WATER DISTRICT, the KERN DELTA WATER DISTRICT, the KERN-TULARE WATER DISTRICT, the LOST HILLS WATER DISTRICT, the NORTH KERN WATER STORAGE DISTRICT, the OLCESE WATER DISTRICT, the RAG GULCH WATER DISTRICT, the ROSEDALE- RIO BRAVO WATER STORAGE DISTRICT, the SEMITROPIC '~ATER STORAGE DISTRICT, the SHAFTER-WAS¢O IRRIGATION DISTRICT, the SOUTHERN SAN JOAQUIN MUNICIPAL UTILITY DISTRICT, the TEHACHAPI-CUM~IINGS COUNTY WATER DISTRICT, the TEJON-CASTAC WATER DISTRICT, the WEST KERN ~ATER DISTRICT, and the WHEELER RIDGE-MARICOPA WATER STORAGE DISTRICT , hereafter referred to collectively as the "Public Entity" and the ASSOCIATED ENGINEERI~G CONSULTANTS, a joint venture, comprised of BOOK~AN- EDMONSTUN ENGI~EERI~G, ~NC. BOYLE ENGINEERING CORPORATION, LEEDS, HILL AND JEWETT, INC., RICKS ~ TAYLOR AND ~qEYERS, INC., and STETSON E~GINEERS, INC., hereafter referred to collectively as "Consultant." W I T m E S S E T H: WHEREAS, the Public Entity is composed of political subdivisions and Dod~ politic~ which all q~alify as "Public Agencies" within the ambit of the Joint Exercise of Powar Act as set forth in Chapter 5 of Division 7, commencing with Section 6500 of the Go'~ernment Code; and WHEREAS, each of said political subdivisions and bod~ politic~ is located within or in proximity of the San Joaquin Portion of Kern County and, among other things, is ~mpowered to acquire, develop, preserve and utilize water supplies for the benefit of the taxpayers and property owners within its respec- tive jurisdiction; and WHEREAS, said "Public Agencies" have deemed it essential and in the public interest to join together pursuant to the Joint Exercise of Powers Act for the purpose of engaging Consultant to make a comprehensive investiqation and to prepare a detailed report with the objective of developing a program to determine the feasibility of enhancing and optimizing the use of water supplies available to the San Joaquin Portion of Kern County. NOW, THEREFORE, IT IS ~qUTUALLY AGREED by the parties as follows: ARTICLE 1 - CONSULTANT - SERVICES - TIME SCHEDULES - CO~IPENSATION 1. Services Tile Public Entity does hereby engage Consultant to make the investiga- tion and to prepare the report referred to in the Recitals. Said investigation and report shall embody all of the specific items of work delineated in Para- graphs 1 to 15, both inclusive, of that certain document attached hereto, marked Exhibit "A", and made a part hereof as though fully set forth at length. 2. Time Schedules Consultant shall have a period of ten (lO) months commencing frofn the date of t)~e execution of this Aqreement in which to complete the investigation referred to in Par,agraph 1 of this Article. At the end of said ten (10) month period Consultant shall submit to the Steering Committee referred to in Article I I the ~ ~ ~ .... ~y-five copies of the report mentioned in Paragraph 16 of Exhibit "A". The Steering Cor,lmittee shall then have forty-five (45) days in which to prepare arJfurnish Consul~-ant with ics written comments and suggestions regard- ing said dr~ft report. Within forty-five (45) days after receiving the written comments and suggestions from the Steering Committee, Consultant shall prepare and present to the Committee the final report and al) other material referred to in Par'agraph 17 of Exhibit "A". 3. Compensation Consultant shall be paid a total of TWO HUNORED TWENTY-FIVE THOUSAND DOLLARS (S225,000) for all services performed by it pursuant to Para~)raph 1 of this Article. Said sum shall be payble in ten (10) monthly insta~nents of TWE,~4TY-'~ TMOUSA~'iD DOLLARS ($2~,300) per month upon the presentation of the proper claim to the Steering Committee accompanied by a progress report as required( by this Agreement. The balance of said sum of TWO HUNDRED AND TWENTY- FIVE FHO'JSA~.iD DOLLARS ($225,000) or the sum of TWENTY FIVE THOUSAND DOLLARS (S25,000) shall be payable to Consultant upon th6 completion, presentation and approval of the final report referred to in Paragraph 2 hereof. 2 ARTICLE II - STEERING COiqMITTEE - EXECUTIVE COMMITTEE I. Steering Committee - Establishment - Function A Steering Committee is hereby est~bli, shed to act as the Public Entity's authorized representative in connection with all matters, pertaining to this Agreement. Specifically, it shall be the function of the Committee to make all policy decisions relating to the services to be performed by Consultant pursuant to Paragraph 1 of Article II, to review progress reports and to approve or disapprove Consultant's monthly claims for co~npensation. In addition, the Committee, subject to Consultant's written consent, shall be empowered to modify or alter the scope of the investigation to be made by Contractor under this Agreement. 2. Composition - Meetings The Steering Committee shall consist of one representative' selected by each ~ublic, Agency which has executed this ,~-~o~,~,~._~.,,~,.~. The members of the Committee shall meet as soon as it is practical ~ do so and they shall elect a Chairman and ~ Vice-Chairman. The Chairman shall then appoint a Secretary who need not be a member. Thereafter, the Committee shall meet at least once a month in order to perform its function. 3. ~uorum - Vote Each member of the Steering Committee :hall have one (1) vote and a ~najority of such members shall constitute a quorum for the purpose of conducting the Committee's business. Provided, however, that the Committee shall not modify or alter the investigation to be made by C~nsultant pursuant to Paragraph 1 of Article 1 of this Agreement except upon the vote of two-thirds of all of its members. 4. Executive Committee To expedite the business of the Steering Committee, the Committee shall elect five (5) of its members to serve as an Executive Committee. The Executive Committee shall deal with any matter or problem arising between meetings of the Steering Committee and shall ~' . m~:~ with the Consulant's Project Director, as ~nd when it is necessary or advisable to do so. The Executive Committee may also make such recommendations as it deems appropriate in connec- tion with the Steering Committee's functions. 3 ~,RTICLE I~ - CONTRIBUTIONS - DEPOSITORY OF FUNDS - DISBURSE~ENTS 1. Contributions Each Public Agency which executes this Agreem_:nt shall, and it does hereDy a.qree, to contribute toward the compensation payable to Consultant ~:or services performed by it pursuant to Paragraph 3 of Article II, the amount specified after such Public Agency's nane in the "Contribution Schedule" attach- ed hereto ~arked Exhibit "B" and made a part hereof as though fully set forth at length. Said contributions shall be. payable as follows: not less than twenty (20) percent thereof shall be payable immediately upon the execution of this Agreelnent or within a reasonable time thereafter~ the balance thereof may be paid in ten (10) equal monthly installments. _~. Depository The Kern County Water Agency .is hereby designated as the depository of all funds payable pursuant to Paragraph 1 of this Article. Said Kern County Water A,gency shall deposit said funds in a special trust fund established for that ~,~r~ose and 'all disbursements to the Consultant shall be made from said special fund upon the receipt of claims approved by the Steering Committee. 3. Accountability - Return of Funds T~e Aqency shall be accountable for all funds deposited in the trust fu.qd referred to in Paragraph 2. If, after the Consultant has been paid in full, ti~ere are any funds remaining in the special trust fund (including inter- est earned) such remaining funds shall be distributed ~mong the contributing Public Agencies in proportion to their initial contributions. ARTZCLE IV - ~IISCELLANEOUS PROVISIONS I. ~.~ork Standard All work to be performed by Consultant under this Contract shall be done in accordance w~th the highest professional standards, and Consultant represents to the Public Entity that it and its employees are fully experienced and properly qualified to perform the work and services called for herein, and that it is properly licensed, equipped, organized and financed to perform such work and opera~ions. 2. Independent Contractor Consultant shall finance its own operations hereunder, shall operate as an independent contractor and not as the aqent or employee of the Public Entity, and nmthing in this Contract shall be construed to be inconsistent with this relationship or status. 3..Project Director Consultant shall designate a Project Director who at all times shall represent Consultant before the Steering Committee or the Executive Committee on all matters relating Go this Contractor. Burr A. ~abcock is hereby designated as Project Director and he shall so serve unless he is reproved or replaced at the discretion oF Consulant or at the request of the Steering Committee. 4. ?ro~ress Reports Consultant shall submit to the Steering Con~mittee month, ly progress reports regarding the work to be performed by Consultant pursuant to this Agreement. Said progress reports shall accompany the Consultant's monthly claims f~r insta~:~ent payments. 5. ',']dification of Contractor's Services If the services to be performed by the Contractor are modified or alter-ed ~v the S~eering Committee as provided in Article ii hereof, then the Consuitan~'s compensation may also be modified by mutual ~greement between Consultant and the Steering Committee. Provided, however, that no such modifi- cation in Consultant's compensation will increase the contribution of any Public Agenc'y w~fch has executed this Agreement without the pri,~r consent of that Public Agency. 6. Termination The Public Entity may terminate this Contract at any time upon thirty (30) d~y~ 'written notice to Consultant. However, it is the intent of the parties t~at in the event .of any such termination, the Consultant is ~o be fairly co~mensated for all work performed to the date of termination. Accord- ingly, i~ is agreed that Consultant shall be compensated as provided in Para- qrap~ 7 of this Article. 5 · 7. For all services performed by Consultant up to the termination of the Contract, Consultant s~all be compensated as follows: (a) tier, es hourly salaries paid by Consultant for each hour an employee per'formed such services. In this connection the hourly salary for ea'ch employee shall be the employee's annual salary before payroll deductions divided by 2,080 hours. (b) Consultant's non-direct salary costs incurred in connection with the performance of such services. Such non-direct salary cost shall include living and traveling expenses of employees, account- ing expenses, computer rental and pro§ramming costs, printing and similar costs and any other cost that is not applicable to general ~verhead. 8. Insurance - Indemnification (a) Workman's Compensation - Consultant shall maintain for the entire duration of this Contract such insurance as will protect it from claims under Workman's Compensation and employeers liability acts, such insurance to be maintained, as to type and amount, in strict compliance with State and Federal statutes. (b) Public liability, property clamage and personal injury - Consultant shall indemnify and hold the Public Entity harmless from any and all damages resulting from injuries to third persons and property damage caused by :.ny act or omission of Consultant or any of its agents or employees. Consultant shall maintain for the entire duration of this Contract such public liability insur- ance as shall protect the Public Entity, and Consultant from any. claims which may arise from Consultant's performance of the services required by this Contract. Such liability insurance shall include, but shall not be limited to protection aqainst claims arising from bodily or personal injury, or damage to property resulting from or attributable to the performance of the services required by this Contract by Consultant, its employees or any directly or indirectly employed by Consultant in connection therewith. The mnount of coveraqe shall not be less than dollars single limit coverage applying to bodily and personal injury and property damage or a combin- ation or both. 6 ('~) Cer'tificates - Consultant shall deliver to the Kern County Water ~ency on behalf of the Public Entities certificates of insurance to which shal! be attached certified capies of the policies required by Subparagraphs (a) and (b) of this Paragraph. 9. Assignment It is recognized that this Contract is for personal services and shall not be assigned by the Consultant in whole or in part. 10. Reduction of Contributions In the event the commitment for contributions as desiqnated on the "Contribution Schedule" exceeds the total sum of TWO HUNDRED T~ENTY FIVE T~O'J- SAND DOLLARS ($225,000), then and in that event the contribution of each Public Agency which has executed this Agreement shall be reduced proportionately. 11. Notices All notices that are required to be given by one party to the other under this Contract shall have been deemed to have been given if delivered personally or enclosed in a properly addressed envelope and deposited in a United States Post Office for delivery by registered or certified mail, address- ed to the parties at the following addresses, unless such addresses are chan~ed by notice of the other-party: The Public Entity c/o Kern County Water Agency P 0 Box 58 Bakersfield, CA 93302 Consultant -:,. .,.- ,-,/;, ~ T,. , IN WITNESS NHE2£OF, the parties have hereunto subscribed their n~es the day and year first above written. * NORTH KERN WATER STORAGE DISTRICT · 1415 - 18th STREET, ROOM 705 BOX 1195 BAKERSFIELD, CALIFORNIA 93302 (805) 325-3116 May 7, 1981 ~, 8. AGEN ITF-.I &'. Mr. Gil Castle Kern Delta Water District Del Kern Station Bakersfield, CA 93307 Mr. John Chafin City of Bakersfield Department of Water 4101 Truxtun Avenue Bakersfield, CA 93301 RE- Miracle-Cottonwood River Project Gentlemen: Enclosed is a copy of a letter from Chris Williams dated May 1, 1981, on the above subject to which is attached the FERC staff draft discussed the other day. As you know, Chris has been directed to petition FERC for rehearing of this matter. Also, I am requesting the North Kern Board to authorize up to an additional $5,000 to cover the costs of this as well as activities of the preliminary permit level on the Isabella and Junction Projects. Very truly yours, C. H. Williams Engineer-Manager CHW/dw Attachments cc: Mel Jans · McCART¥1 NOON & 490 L'E~ P~ Exs~ S~TE 3306 STOR~E OlSTRIQT ROBERT L. McCAR~ WASHINGTON, D. C. 20024 TELEPHONE C~RLES M. ~OONE 5~-2~55 Dg~is P. .bi~c~g~ N. McC~u~ May 1, 1981 Mr. C. H. Williams Engineer-Manager North Kern Water Storage District 1415 18th Street Room 705 Bakersfield, CA 93302 RE: North Kern Water Storage District, Miracle-Cottonwood Project, FERC Project No. 4111 Dear Chuck: Enclosed is a copy of the FERC's draft "Order on Appeal Affirming Staff Action" rejecting the District's preliminary permit application for the Miracle-Cottonwood Project. This is a copy of the order taken from the draft order book which the Commission utilizes during its meetings. I do not expect any changes in the final order except to correct typographical ecrocs such as the showing of the project number in the caption. Although expected, the order is a real disappointment. It holds that staff's action in rejecting the District's application was required under Section 4.30(b) 1~ which the order states requires rejection of an application for preliminary permit "for project works that ... Ia]re licensed at the time of the application." You will recall the Staff's letter rejected the application on its misinterpretation of Section 4.30(b)(_2). The order makes no attempt at all to implement the provisions of Section 10(a) of the Act requiring the Commission to license the most "corn- ' prehensive" plan of development and to read that section and Section 6 of the Act in such a way as to carry out the Act's primary purpose. Instead, it elevates Section 6 of the Act above all other considerations and says that the Miracle-Cottonwood Project "would entail a substantial alteration of two existing licenses and would thus be precluded by Section 6 absent the consent of the licensees." It then goes on to say that the Commission is taking no action that prevents the District from "discussing its proposed project with the licensees of existing Project Nos. 178 and 1930." The footnote on page 4 continues: "Should the District's proposal prove superior to the existing water resource utilization, joint development by the District and the licensees may benefit the interest of ali concerned." In other words, once an existing licensee builts a project it can prevent additional future development which Page Two May l, 1981 might result in a more comprehensive plan. Furthermore the Order assumes now that we cannot get the licensees "consent." I 'do not agree with the Order and I believe that North Kern should file a petition for rehearing. This must be filed within 30 days after the issuance of the enclosed Order. In addition to the arguments against the Commission's action here we know of projects which have been licensed even though they inundated an existing licensed project and we are of course aware of the Commission's most recent action in issuing a preliminary permit to Yuba County Water Agency for the Marysville Lake Project which will also retire an existing PG&E project. Unless I am directed otherwise I will begin preparation of a petition for rehearing, a draft of which I will submit to you before filing with FERC. I look forward to meeting with you and Lucian next week. Sincerely, McCARTY, NOONE & WILLIAMS Christopher D. Williams CDW:ml cc: Paulden, Meyers UNITED STATES OF AMERICA FEDERAL ENERGY REGULATORY COMMISSION Before Co:~nissioners: Nort]~ Kern Water Storage District ) Project No. 4110-00 ORDER ON APPEAL AFFIRMING STAFF ACTION By letter dated March 6, 1981, the Deputy Director of the Office of Electric Power Regulation (Director) informed' North Kern Water Storage District (District) that its application for preliminary permit for the Miracle-Cottonwood Project, FERC No. 4111, was rejected. On April 6, 198]., the District filed an appeal of the staff action rejecting its application for preliminary permit pursuant 'to Section 1.7(d) of the Commission's rules (18 C.F.R. §l.7(d)). The proposed Miracle-Cottonwood Power Project would utilize waters presently being utilized by.two existing licensed projects (Southern California Edison Company, Project. No. 1930 and Pacific Gas and ~lect~ic Company, Project No. 178) and would require [j ::.~.. - ~, The District permanent retirement of both of those pro" =~-. states that its proposed project wou].d result in an additional, net generation of 288 gwh. In rejecting the District's application, the Director cited Section 4.30(b) of our regulations. The Director's letter paraphrased 4.30(b)(1), noting that the Commission rejects applications for preliminary permit for project works that are licensed at the time the application is filed; which is correct. 5qle Director's letter also paraphrased 4.30(b)(2) as requiring rejection of a permit application "which would develop, conserve, and utilize in whole or in part, the same water resources that are developed, conserved, and utilized by a licensed project." Th. is reference to water resources utilized by a licensed D?~o~.ect is misleading. Rejection of a preliminary permit application is required when the application proposes a project that would utilize the same water resources that would be developed, conserved or utilized by, not a licensed project, but rather a project for which there is an unexpired preliminary permit or an acceptable application for license. As written 4.30(b) recognizes that the Conunission Project No. 4110-00 -2- licenses "project works" not "projects" as such. 1/ Once a license is issued, it is the licen~ed project work~ not the water resources involved that are subject to the privileges and responsibilities under the license and Part I of the Federal Power Act (Act) and thus are not properly the subject of an application for preliminary permit under 4.30(b)(1). hq]eh no license has been issued and instead a preliminary permit is outstanding. or an acceptable application for license is pending, specific project works have not been identified or licensed, and thus the water resources to be utilized, conserved or developed at the proposed project site are the focus of 4.30(b)(2) in precluding the filing of applications for preliminary permit. In its appeal, the District states that staff's paraphrasing of 4.30(b) was in error and that the actual wording of 4.30(b) is consistent with the requirements of the Act. As discusser'] above, we agree that the paraphrasing of §4.30(b)(2) was incorrect. The District states, however, that staff misconstrued Section 4.30(b) in rejecting its application. We disagree. Staff's action in rejecting the Distrlct's application was required under Section 4.30(b)(1), %,hich requires the rejection of an application ~ for preliminary permit "for project works that.. Ia]re ]licensed at the time of the application...". As the District states, its proposed project would require the retire- ment of all licensed project works at Project Nos~ ].930 and 178. Insofar as the District's application would require complete retirement of licensed project works, it is an appl~ication "for ,_,¢.ctlon 4 30(b) (1) and project works that are licensed" within ~ ~ ' . must be rejected. Section 6 of the Act prohibits substantial alteration of a license without the consent of the licensee. The licenses for Project Nos. 178 and 1930 contain no provisions that reserve to the Commission the right to retire licensed~ project works to facilitate development of another hydroelectric project. by the District or any other party. The license for Project No. 178 includes Article 9 which requires the licensee to install additional capaci, ty or make other changes in the project as directed by 'the Commission to the extent that is economically sound and in the public interest to do so. Although this article does reserve to the Commission the right to order the licensee to add capacity at a licensed project and if necessary to alter project works 'to do so, it does not extend to ordering a licensee to retire licensed project works to enable a third party to develop generating capacity. !~ See discussion in Southern California Edison Co., Project Nos. 67 & 2868; Cities of Anaheim% and Riverside, California, Project No. 2904; "Order Granting Intervention, Dismissing Apf~eal and Application for Rehearing..." (issued April ~1981), mimeo at pp0 4-5. Project No. 4110-O0 -3-- ~e District asserts that Section 10(a) of the Act gives ~he Commission the right to require the retirement of licensed project works, upon just compensation, in order to license a project that would be better adapted to the comprehensive develop- ment of the waterway. In support of this proposition the District cites a nuraber of instances where the Com~:~ission has authorized limite~ encroachment by a downstream project on an upstream project subject to compensation. The District would have us equate limited encroachment with completely retiring licensed pr?ject works. The encroachment on an upstrealn project by the reservoir of a downstream project would not usually require a substantial alteration of license: it merely raises the tailwater and reduces the operating head at the upstream p~-oject. Complete inundation of licensed project works or, as proposed here by the District, diversion of a stream requiring complete retirement of licen..~;d project works, clearly would involve substantial, alteration of a license, and the consent of the licensees would be required to pul'suant Section 6 of the Act in order the-develop the proposed p].~oject. Compal sior~' decision in the The District relies on the ' 's s Town of b'iadison Electric Work .D_ep~_a.rtment proceeding 2/ for ~;'~"%, the proposition that there is nothing 't~ prevent the ~-ommission i.:.,...,/~from e[%tertaining its application. In that. case, the Commission i.s:~ued a preliminary permit to the Town of Madison for a Droposcd project at a site immediately downstream from licensed Project No. 2364. The reservoir of the proposed project would be partially within the boundaries of Project No. 2364 and would encroach upon the upstream project by causing a rise i~% the tai!water of that licensed project with a consequent reduction in operating head. In finding no statutory or license provision precluding the Commission from entertaining an application by a thiYd party for preliminary permit to study construction at the bfadison development site, the Commission specifically noted that dexeloplng the site would not entail any alteration of license, ,or the licensed project works for Project No. 2364,. and thus if the Madison development were to be licensed, Hadison Paper's agreement would not be necessary." 3/ The District's application for the proposed Miracle-Cottonwood Project, unlike the type of encroachment proposed by the Town of Madison, would entail a substantial h-/ Town of bladison Electric Works Department, Project No. 2830; -- b~adi$on Paper Industries, Project No. 2915, "Order Issuing .Preliminary Permit and Rejecting Comp~.:ting Application for ,...~ Permit" (issued June 25, 1980). }_. i.{i~-';7 7, 3/ Town of Madison, ..s~upr_a at p. 4, n.6. Project No. 4110-00 -4- alteration of two existing licenses and would thus be precluded by Section 6 absent the consent of the licenses. 4/ Accordingly, staff's action in rejecting the Director's application for Project No. 4111 is affirmed. The Commission orders: (A) The appeal filed by the North Kern Water Storage District on April 6, 1981 contesting staff action in rejecting its application for preliminary permit for 'the proposed Miracle- Cottonwood Project No. 4111 is hereby denied. (B) This order is final unless an application for rehearing is filed within 30 days of the date of its issuance, as provided in Section 313(a) of the Federal Power Act. By the Co~nission ..... %~ 4--7 It should be noted that no action taken here prevents the District from discussing its proposed project with the licensees of existing Project Nos. 178 and 1930. Should the District's proposal prove superior to the existing water resource utilization, joint development by the District and the licensees may benefit the interests of all concerned.