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HomeMy WebLinkAbout02/16/83 ,~ .. Œ- tÞ~å~ - (!); ø./V .' ,- 'Ì)~ AGE N D A ------ WATER BOARD - CITY OF BAKERSFIELD WEDNESDAY, FEBRUARY 16, 1983 12:00 P.M. Call meeting to order. Roll call - Board Members: Barton, Chairman; Payne, Ratty, Kelmar, Oberholzer 1. Approve minutes of special meeting held on January 20, 1983. 2. Correspondence: a) Letter from George Nickel, Jr. to James J. Barton, Water Board Chairman, dated February 1, 1983. 3. Proposed Buena Vista and James Canal relocation agreement and amendment between City of Bakersfield, North Kern W.S.D., Kern Delta W.D., Tenneco-West, Inc. and Tenneco Realty Development Corp. - FOR BOARD ACTION. 4. Review of Ashe Water Rate Schedule - proposed recommendation to City Council that 10% rate increase adopted July 1982 become effective on April 1, 1983. - FOR BOARD CONSIDERATION. S. Executive Session - Water matters concerning potential '" lit;igation. 6. Public Comments to the Board. 7. Staff Comments. 8. Board Comments. 9. Adjournment. -'-'- i':' - ,~ i " 0 i MINUTES ------_. SPECIAL MEETING WATER BOARD - CITY OF BAKERSFIELD THURSDAY, JANUARY 20, 1983 4:00 P.M. ,~ The meeting was called to order by Chairman Barton in the Department of Water Conference Room. The secretary called the roll as follows: Present: Barton (Chairman), Ratty, Kelmar, Oberholzer Absent: Payne The minutes from the meeting of November 24, 1982, were approved as presented. Mr. George Nickel, Jr. presented before the Board a letter regarding proposed further importation of surplus Friant- Kern Canal w3ter to the City's 2800 acre spreading area by the Agency or other entities. The question was raised by Chairman Barton as to whether the Agency wants to enter into an agreement with the City. Mr. Paul Dow said that he had not been contacted by the Agency as yet. After dis- cussion, Mr. Oberholzer made the motion that the Board re- ceive and place on file the letter from Mr. Nickel. The motion was passed. There were no scheduled public statements or correspondence. Appointment of Delegate and Alternate as City representatives to Improvement District No.4 advisory committee of the Kern County Water Agency. Mr. Dow recommended, for the next year, that Mr. Core be the Delegate and Mr. Bogart be the alternate. Dr. Ratty made the motion for these appointments. The motion was passed. Appointment of Delegate and Alternate as City representatives to Cross-Valley Canal Advisory Committee of the Kern County Water Agency. Motion made by Mr. Oberholzer to appoint Mr. Bogart as Delegate and Mr. Core as Alternate. The motion was passed. Proposed Buena Vista and James Canal relocation agreement between City of Bakersfie~d, North Kern W.S.D. Kern Delta W.D., Tenneco-West, Inc., and Tenneco Realty Development Corporation. Mr. Oberholzer made the motion to approve, subject to certain conditions of approval by Mr. Hatch. The motion was passed. City of Bakersfield/California Regional Water Quality Control Board contract for groundwater quality investigation of City's 2800 Acre recharge area: Sixth Quarterly Report. This was for Board information only. -- Mainline Extension Agreements for various new tracts and parcel maps within the Ashe Water System. Dr. Ratty made the motion to approve these agreements. The motion was passed. Review of Ashe Water Rate Schedule. This item was pulled from the agenda. ~- -- -~. -, -. . . '_n",.......". "'.'-_."- ,'.. '.""." -~, ~.. Î î' . Proposed letter agreement to Rosedale Rio Bravo W.S.D. clarifying the language in Agreement 76-80 pertaining to the use and sale of Miscellaneous Quantity Water. Mr. Oberholzer made the motion to authorize the Chairman to execute this letter agreement clarifying Agreement 76-80. The motion was passed. -- Adjourned to Executive Session. There being no further business to come before the Board. Chairman Barton adjourned the meeting at 5:55 P.M. 1 Board carq~n ~afc~y City of Bakersfield Water Board -2- - - - ---- --- u -.- - .' " ~. . George W. Nickel, Jr. 6200 Lake Ming Road Star Route 4, Box 801 Bakersfleld, CA 93306 Telephone 805/872-5050 February 1, 1983 Mr. Curly Barton Chairman - City of Bakersfield Water Board 1501 Truxtun Avenue Bakersfield, California 93301 Dear Curly: Attached you will find what I have ent i tl ed "Memorandum of Meet i ng of Representat ives of the Kern County Water Agency-and the Kern River Interests at the Rodeway on January 31, 198311. I think you will agree with me that this was basically a constructive meeting. I believe that Gene Lundquist will follow up to see to it that the Agency staff and:its attorney representative, Roy Gargano,get together and work toward an agreement with the Kern River Interests along the lines of the Kern River Watermaster letter draft of January 31st addressed to Stu Pyle. From the standpoint of the City, I believe that paragraph #3 on page 3 of that letter is of great importance. As the desi'gnated representative of the Olcese Water District, I represent 14,000 acres of the City that is made up of the Rio Bravo Annexation to the City. I think you will agree with my statement that this annexation to the City is a most exciting one and will absorb much of the City's growth in the coming years. The water supply for this annexation is directly related to the ëffectiveness of the Olcese Water District spreading program in the City's 2800 acre spreading area. For that program to be fully effective, it is of great importance that the Olcese District can extract,for use within the Cit~water that has been spread in the City's 2800 acre spreading area. I go on to note that th i s is also of real importance to other portions of the City that are likewise benefitted by the spreading and potential recovery of City/Kern River water that was acquired from Tenneco. I believe that we now have the opportunity to get the Agency to fully underwrite these water recovery programs by the Agency agreeing to handle with its spread water any successful legal challenge to the total amount of water that may be recovered from':the City's spreading area. This is what I understand paragraph #3 on page 3 of Chuck's January 31st letter is setting forth. Now, you wi 11 recall that at the City Water Board meeting on January 20th, I did suggest working out a program of this type between the City and the Agency. However, I was informed that this was already spelled out in a May 19, 1982 draft of both a spreading and an extraction agreement between the City and the Agency. I was told that copies of these draft agreements would be made available for me to look at, which I have done. In reviewing these agreements, I have observed that they are very complete in many respects; however, they do not directly deal with any obl igation of the Agency to handle, with its water, any successful legal challenge there may be to total recovery of water spread in the City's spreading area. If a provision can be added to the draft of Extraction Agreement to set forth that the Agency spread water will be reduced to cover any successful legal challenge,on the amount of total recoverable water, -------- --, --- - ----- '~-- " , . ,. Mr. Curly Barton Page 2. February 1, 1983 I believe that the City and all lands within it, including the 14,000 acre- Rio Bravo annexation, will have a more secure position. I am sending a copy of this note to you to Stan Hatch as I am sure you will want his opinion.on this suggestion of mine. I would weltome Stanis participation in getting this accomplished. I personally feel a very keen responsibility in protecting the water supply position of the'14,000 acre Rio Bravo annexation to the City. I do hope that you will concur:with me on that thinking. s~. George w.~ GWN:rjp c- Stan Hatch John Chafin Gene Bogart Ref. Fil e: #1430-s-a #1200-b . , -- --.- u ~ ,. January 31, 1983 MEMORANDUM OF MEETING OF REPRESENTATIVES OF THE KERN COUNTY WATER AGENCY AND THE KERN RIVER INTERESTS AT THE RODEWAY ON JANUARY 31, 1983. On behalf of the Agency, this meeting was attended by Gene Lundquist, Stu Pyle, Bob Bellue and Gary Bucher. On behalf of the Kern River Interests the meeting was attended by Kern River Watermaster Chuck Williams and representing North Kern was Milo Hall and Lloyd Phillips; representing Kern Delta was Gil Castle; representing the City were Curly Barton, Gene Bogart, and Paul Dow; representing Henry Miller and the Tulare Lake Interests was Tom Hurlbutt; representing Buena Vista was Harold Russell; representing Hacienda and Olcese was George Nickel. Chuck Williams opened up the meeting to state that it was being held to work out a cooperative effort between Kern River Interests and the Agency on the water prqgram in Kern County not only in 1983, but in following - years. Chuck passed out an Agenda, a copy of which is attached. . Chuck also noted that he had earlier conveyed to the Agency his draft of a letter of January 26th to Stu Pyle, a copy of that letter 1s attached. Finally, Chuck passedoùt his Kern River Watermaster letter of January 31st to Stu Pyle entitled,IIRela.tionships of Kern River Interests with Kern County Water Agencyll. In doing 'so Chuck noted that the letter has not yet been formally . , approved by the Kern'River Interests and may be subject to some changes. A copy of this letter is also attached. --" Gene Bogart noted that as of January '31st, there was apþroximately 290~000 acre feet stored in Isabella with the concurrence and approval of the Army Engineers. This storage exceed~ the theoretical storage limitations of 245,000 acre feet at this time of the year; however, the Army Engineers do not' feel that there is any present problem with 290,000 acre feet of Isabella sto'rage particularly when this has occured primarily to accommodate flood. .'. flows of the Tule and Kaweah Rivers that are being pumped by the Tulare Lake Interests into the Friant-Kern Canal in order to give some relief to flood problems in Tulare Lake. On that subject, Tom Hurlbutt noted that in the bottom of Tulare Lake there is already some 20,000 acre feet of flood water from stream inflow that could not be contained elsewhere. Tom Hulbutt and George Nickel also both observed that the Tulare Lake Interests have temporarily stored substantial water south of the Tulare Lake Basin Water Storage District, in the south of the Wilbur area and on the Hacienda Ranch. Lloyd Phillips reported that the Kern River Intertie to the Aqueduct is still closed in order to accommodate stream flood water originating in the West-. lands District; however, Lloyd reported that these flows have subsided and the Kern River Interie may be re-opened to handle Friant-Kern Canal inflows later today. Harold Russell noted that for the last several days, 200 to 400 cfs of this water has been passing over the concrete Weir and into the Flood Çhanne 1. Some of this water was passing Highway 46 on January 30th. George Nickel and Tom Hurlbuttböth reported that ~iver West and/or others who have put illegal and improper obstructions in the Kern River Floodway north of Highway 46 have been opening up to some degree some of the cross levees that were improperly built in the Floodway. George Nickel reported flying over the area to make this observation and to further observe that the openings being inserted in the improper cross levees are very inadequate to accommodate any ~ . Page 2. .'. amount of water~ There are 11 of these obstructions in the Kern River Floodway between Highway 46 and the Hacienda Ranch. Because the Kern River Floodway is under the jurisdiction of the State Reclamation Board and the Agency has assumed some responsibilities in at least that portion of the Kern River Floodway extending from Highway 46 to the Kern-Kings County line, Stu Pyle reported that the Agency has notified the Reclamation Board staff that there are obstructions through this area that should be dealt with. Gary Bucher stated that he believed Reclamation Board representatives were to have looked at and gone over this area last week; however, Gary noted that no report has been made to the Agency as yet. Stu and Gary indicated that an effort would be made to make further contact with the Reclamation Board in order to have a positive program to reach the 2500 cfs capacity that the Kern River Floodway is supposed to have north of Highway 46. It was indicated that Stu and Gary would report their findings to Chuck Williams and other Kern River Interests. í - It was at this point that Chuck Williams quite properly pointed out that 1983 was indicated to be an abundant water year and that to make the most of it for water importantion and conservation, there should be maximum cooperation between the Kern River Interes-ts and the Agency. Chuck noted that measurement of: the snow pillows on the Kern River Water Shed presently show an indication of a water year of 175% on the Kern River. Reference was made to Chuck's January 31st draft of letter to Stu Pyle and the Agency. The indicated reacticn of the Agency representatives to the contents of the letter were positive. There was some substantial discussion on item #3 on ,.- --.-.. . - page 3 which deals with water recovery programs. All present agreed and - recognized that it,willbe far less expensive for the Agency to bring in available surplus Friant-Kern Canal water to the City's spreading area than to consider importation of surplùs Aqueduct water via the Cross Valley Canal to the City's spreading area. The further observation was made that even if the Agency, on behalf of its Member Units, is only permitted to recover 50% of the imported spread water, the end product will be far less expensive than bringing in Aqueduct water even if 100% should be recoverable. On the matter of recovery, Gene Lundquist noted that the Agency has been having some discussion with Rosedale. Gene stated that Rosedale now seems more reasonable regarding a recovery program than it did at an earlier date. At this point, Stu indicated that the Agency-Rosedale negotiations cannot be property disclosed without the approval of Rosedale. There was some surprise indicated by the Kern River Interests as it seems unlikely that a Rosedale- Agency program can be concluded or implemented without participation by the Kern River Interests. Gene Lundquist seemed to be in agreement with this contention but asked for the opportunity to get Rosedale's authorization to make the negotiations known to the Kern River Interests. It was noted by the Kern River Interests that if a program can be agreed to between the Agency and the Kern River Interests as is outlined in Chuck's January 31st draft of letter to Stu Pyle, that the Kern River Interests would have considerably less interest in separate programs that may be negotiated between the Agency and Rosedale. General agreement was reached to have involved entities give full consideration to the contents of Chuck's January 31st 1 etter. It was agreed that the findings and conclusions of all Kern River Interests and the Agency should be discussed at the next meeting to be held ~ ~ ~ ,-~ -- . Page 3. , ;' between the Agency and Kern River representatives on Monday, February 14th at 7:00 a.m. at-the Rodeway. Other items discussed in the January 31st meeting will be enumerated below. 1. Regarding the Berrenda Mesa land spreading .program by the Agency, it was agreed that there has been some confusion between ~heAgency operating personnel and the City. There was definite indication of a greater effort for cooperation in the future by both Bob Bellue and Gene Bogart.. Bob indicated that the program set forth in Chuck Williams letter of January 26th toStu Pyle will be followed. It was indicated that the Agency will soon be making some form of report to show the net amount of water spread on the Berrenda Mesa land supported by measurements taken. 2. In ad~ition to the extraction program under negotiation between the -- Agency .and Rosedale, Stu Pyle noted that Rosedale wants to work with the Agency on spreading more water within Rosedale. It is indicated that the Agency wi 11 make more information available to the Kern River Interests on the projected further spreading programs. 'Harold Russell noted that he thought it was most important that the Kern River Interests be brought up to date on whatever negot i at i o"ns there may be betweep the Agency and Rosedal e. 3. Further regarding the Berrenda Mesa land program, Chuck Williams noted the concern of Kern "River Interests with the Appl icationthat the Berrenda " -- ~ ~ Mesa Water District has to appropriate Kern River water for diversion onto- the Berrenda Mesa land. Chuck went on to note that the.original announced program of the Berrenda Mesa District was to spread surplus Berrenda Mesa Aqueduct water conveyed through the Cross Valley Canal for subsequent recovery. Chuck noted that the Berrenda Mesa program has greatly expanded and does constitute a threat to the interests of Kern River entities. On this point, George Nickel suggested that if there is an overall program worked out between the Agency and the Kern River Interests as is set forth in Chuck1s January 31st letter, that Berrenda Mesa might be inclined to withdraw its Application to Appropriate Kern River water. 4. It was pointed out by the Kern River Interests in general, and George Nickel in particular that, in an overall program with the Agency, the problems encountered with the Agency in 1982 on water spreading capacity in the City's 2800 acre area would be dismissed and forgotten. Gene Lundquist noted that he thought this was very constructive. He noted that Bob McCarthy would be particularly pleased with such an understanding. 5. Gene Lundquist noted that the Agency has no plans whatever to interfere with water storage programs in Isabella. Gene noted that he felt the Kern River Interests were doing a good job working with the Army on Isabella storage. It was also agreed that maximizing Isabella storage does indeed make it more feasible to bring Friant~Kern Canal water into Kern County. 6. Regarding communications with the news media, general agreement was,reached that the Agency and the Kern River Interests, through Chuck Williams, should work together on news releases involving water matters. I~ -. . . Page 4. .; All present agreed that it was highly desirable to let the public and our State Legislators know that every effort is being made in Kern County to import and conserve water. 6. Gene Lundquist noted that he thought the Agency staff would be requested to work with Attorney Roy Gargano on an agreement along the lines of Chuckls January 31st letter and be prepared for review and discussion at the meeting now scheduled for February 14th. GWN:rjp ~ ~ 4k,r - )l ... ; '--... . -~ -"--- Prepared 2-9-83 ., CITY OF BAKERSFIELD DOMESTIC WATER ENTERPRISE PROPOSED CAPITAL OUTLAY PROGRAM FISCAL YEAR 1982-83 Wi th 10% Adopted W/O 10% Effective FY 1982-1983 FY 1982-1983 4-1-83/6-30-83 SOURCES OF FUNDS Capital Improvement Reserves (Depr.) $ 219,000 $ 220,000 $ 220,000 Net Operating Income 248,500 76,500 126,500 Loan Repayment from Fairhaven Div. -0- -0- -0- $ 467,500 $ 296,500 $ 346,500 PROPOSED APPLICATION OF FUNDS Additional Water Mains Stockdale Highway, El Rio Dr. to Tract 4503 7,500 7,500 7,500 Two Mi Ilion Gallon Storage System at Mohawk & Truxtun Avenue 180,000 180 ~,'OOO 180,000 (Special Facility Payments) Water Meters & Appurtenances 46,000 46,000 46,000 Pumping Station Improvements 1. Bui lding at Station 12 in Tract 4188 20,000 20,000 20,000 2. Replace switchboard at Station 1 on Ashe Road & Clubview Drive 16,000 16,000 16,000 3. Telemetering system at Station 1 on Ashe Road & Clubview Drive 13,000 13,000 13,000 Additional Well and Pumping Plant 1. Station 14 around Ming & Old River ($220,000 @ 63% = $135,000) 17,000 17,000 17,000 2. Station 15 west of Gosford Road near Pacheco Road Well plus main $265,000 @ 63% = $168,000 21,000 21,000 21 ,000 TOTAL $ 320,500 $ 320,500 $ 320,500 Balance $ 147,000 ($ 24,000) $ 26,000 -- Prepared 2-9-83 " CITY OF BAKERSFIELD DOMESTIC WATER ENTERPRISE ASHE DIVISION ESTIMATED REVENUES AND EXPENSES BUDGET FISCAL YEAR 1982-83 Projected Exp. Adopted Projected Exp. w/10%,increase" Budget FY 1982-1983 4-1-83/6-30-83 REVENUES. Domestic Water Sales $1,954,000 $1,783,000 $1,830,000 Construction Water Sales 16,000 58,000 60,000 Interest Income 75,000 60,000 60,000 TOTAL REVENUES $2 ,045 ,000 $1 ,90 1 ,000 $1,950,000 OPERATING EXPENSES: Field Expense: 0 & M Charges from Calif. Water 437,000 447,000 447,000 Power for Pumping 365,000 390,000 390,000 Other Maintenance 120,000 120,000 120,000 TOTAL FIELD EXPENSES $ 922,000 $ 957,000 $ 957,000 Admi nisfratlive Expenses: Salaries and Fringe Benefits 72 ,000 75,000 75,000 Charges from Other City Departments 24,000 24,000 24,000 Management Fee from Cali. Water 35,000 46,000 46,000 Consultant Charge (Engineer, Attorney, etc.) 55,000 30,000 30,000 Insurance Expenses 17,000 17,000 17,000 Property and Pumping Taxes 175,500 175,000 175,000 Misc. General Expenses 16,500 16,500 16,900 TOTAL ADMINISTRATIVE EXPENSES $ 394,000 $ 383,500 $ 383,500 NET OPERATING INCOME: Before Depreciation 729,000 560,000 609,500 Depreciation (219,000) (220,000) (220,000) TOTAL $ 510,000 $ 340,000 $ 389,500 NON-OPERATING EXPENSE: Mainline Extension Refunds . (83,000) ,(85,000) (85,000) Net Operating Income before Capital Outlay Program 427,000 255,000 304,500 BOND PAYMENT (178,500) (178,500) (178,500) TRANSFER TO CAPITAL IMPROVEMENT BUDGET 248,500 76,500 126,500 \ -,. -~ ~ ~ , ;~ 1i . . ';} ,~ ~¡ ;.. . CANAL RELOCATION AGREEMENT THIS AGREEMENT, made and entered into this day of , 1983, by and between TENNECO REALTY DEVELOPMENT CORPORATION, a Delaware corporation, hereinafter referr~d to as "Tenneco Realty", TENNECO WEST, INC., a Delaware corporation, here- inafter referred to as "Tenneco West", the CITY OF BAKERSFIELD, a California municipal corporation, hereinafter referred to as the "City", the NORTH KERN WATER STORAGE DISTRICT, a California water storage district, organized and existing under and by virtue of the California Water Storage District Law, acting for and on behalf of the James-Pioneer Improvement District, hereinrtfter referred to as "North Kern", and KERN DELTA WATER DISTRICT, a California water district, hereinafter referred to as "Kern De 1 t a" , WITNESSETH THAT: WHEREAS, Tenneco Real ty is the owner of certain lands in Sect ions 5, '6, 7 and 8, Township 30 South, Range 27 East, M.D.M., Kern County, California, delineated in red on the map attached hereto and made a part hereof as Exhibit A; and WHEREAS, Tenneco West is the owner of the remainder of said Sections 6 & 7 and also certain lands in Sections 1 and 12, Township 30 South, Range 26 East, M.D.M., Kern County, California, lying southerly of the River Canal right of way; and WHEREAS, the City and Kern Delta are the owners and operators of the canals and easements therefor, shown in their approximate location by delineation in green on said Exhibit A; and WHEREAS, North Kern is the owner and operator of the canal and easement therefor, shown in its approximate location by delineation in blue on said Exhibit A; and WHEREAS, Tenneco Realty desires to relocate said canals from their existing locations to the ali~nments shown in brown on said Exhibit A to provide for more efficient urban development of the adjacent properties; and NOW, THEREFORE, the parties do hereby mutually agree as follows: 1. Tenneco West, the City, North Kern and Kern Delta each agree as to its respective interest aforesaid, that Tenneco Realty shall have the right, subject to the terms and conditions hereinafter set forth, to relocate the said canals to an alignment in the approximate location of each as delineated in brown on said Exhibit A. 2. Tenneco Realty agrees: 2.1 that all cas ts and expenses required to be paid for engineering and construction of the new alignment of said canals, as well as the costs to eradicate the present alignment thereof, shall be paid by Tenneco Real ty. 2.2 to provide each of the parties with a complete set or sets, as may be required, of construction plans and specifications. 3. The parties agree, each as to their respective interests in the lands affected by this Agreement: t':' .:. . ." ~ - ~ . ~. ,t I '~.'> ¡ . \1!1- ~,.;. ", I " 3.1 that within thirty (30) days following receipt of said plans and specifications to acknowledge, 1n writing to Tenneco Realty, approval thereof or statin~ what specific objections or corrections must be made thereto. Approval thereof shall not be unreasonably withheld. 3.2 Except as provided in the Plans titled "Buena Vista Canal Relocation" dated April 1, 1981, Tenneco Realty shall not be required to provide facilities 1n the new alignments 1n excess of those currently existing in their respective locations. If any modifications are requested or required by any party which are deemed to be in excess of the facilities currently used, then in such event, the party requesting such modification or addition, shall pay to Tenneco Realty all costs therefor, including costs associated with engineering and preparation of plans and specifi- cations therefore; or, the party requestin~ modification may have the work performed by itself or another contractor other than Tenneco Realty, but in such event the work shall be coordinated wi th Tenneco Real ty and Tenneco Realty shall cooporate with said party 1n the coordination and accom- plishment of the modification. 3.3 Upon approval of said plans and specifications, Tenneco Realty shall be entitled to commence construction and such relocation, provided that such work shall be done at a time or times that will not interfere with the flow or distribution of water. 3.4 Upon completion of relocation of said canals to the alignments proposed by this Agreement, each "arty shall execute the necessary documentation to eliminate the easements for the present alignments. Concurrently therewith (1) Tenneco Realty and Tenneco West, collectively, shall convey to the City, an easement for that portion of the relocated Buena Vista Canal from its interconnection with the River Canal, southerly and easterly from Engineer's Station No. 0+58.21 to Engineers Station No. 1+00.00, as shown on Exhibit A¡ and (2) Tenneco Realty and Tenneco West, collectively, shall convey to Kern Delta, an easement for that portion of the relocated Buena Vista Canal, easterly and southerly from said En- gineer's Station No. 1+00.00 to the southerly terminus thereof at or near the corner common to Sections 7, 8, 17 and 18, Township 30 South, Range 27 East, M.D.M.; and (3) Tenneco West shall convey to North Kern, an easeme nt for the re located port ion of the Jame s Canal as de lineated on Exhibit A southerly from its headgate connection with the River Canal. In addition, North Kern and Kern Delta hereby agree that, except for the easement area of the Buena Vista Canal conveyed to the City, the City shall not have nor thereafter acquire any interest in or responsibility for the operat ion and maintenance of said canals, 'southerly from their respect ive turnout connections with the River Canal. North Kern and Kern Delta shall have no claim of ownership or ri~h ts in the River Canal and struc- tures therein other than as set forth in existing agreement~. and understanding. 3.5 That the relocation and modification of the facilities herein contemplated, shall never be construed as modifying any of the parties rights to water suppl ies from whatever source. Provided, however, that should the carrying capacity of said canal( s) be increased pursuant to ArticLe 3.2 hereof, such action shall not modify any existin~ ri~hts to diversion of water from the Kern River. -2- ~:::' ':~ ."" à ,~þ~ ~¡~ - . t/.' .' ~ ';' ., IN WITNESS WHEREOF, the parties have caused this Agreement to be executed in five (5) original counterparts, as of the day and year first above written. CITY OF BAKERSFIELD TENNECO REALTY DEVELOPMENT CORPORATION By By 2]/.~ #~ - - -- ~ - vice Pres ident and by ---- and by h1'0-<'~ 7/'. .I..~'-O (~----- ~stant Secretary "City" "Tenneco Realty" NORTH KERNt~TE~ST71:DISTRICT TENNECO WEST, IN~, , ' BY /!(;/¿. '-:,..: ," ,.1;(; (. By '~7 1.. i {~~-r~ . I V1ce Pres1dent and by t'..L'Æ1//?(."/ ¥-É'C'/ and by j],.:.f ;¡;;? ~~,:r:.,,~ .' Assistant Secretary "North Kern" "Tenneco West" ::ilDEtTt w~ ~~~ ~~~- and by . 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',-,'I",.~ ' r gozlIJi ~, ' , i ..JC-~ " ',' ,.' " " , . ¡ " "'IIJ C .. >- I'",..~ .1", . .Ii \, ,.n.. :, '~'r}:: >; . ' ¡' Ii ' . - - '¡i'" . . ' " ~ ~--~--- => '" - , , ¡. ADDENDUM TO CANAL RELOCATION AGREEMENT DATED , 1983 This Agreement is made and entered into this day of , 1983, by and between TENNECO REALTY DE- VELOPMENT CORPORATION, a Delaware Corporation hereinafter referred to as "Tenneco Realty", TENNECO WEST, INC., a Delaware Corporation hereinafter referred to as "Tenneco West", the CITY OF BAKERSFIELD, a California Municipal Corporation hereinafter referred to as the "City", the NORTH KERN WATER STORAGE DISTRICT, a California Water Storage District, organized, existing under and by virtue of the California Water Storage District law, acting for and on the be- half of the James-Pioneer Improvement District, hereinafter re- ferred to as "North Kern", and KERN DELTA WATER DISTRICT, a Cali- fornia Water District, hereinafter referred to as "Kern Delta". This Agreement is an addendum to the CANAL RELOCATION AGREEMENT dated the day of , 1983, entered into between these same Parties, which is hereinafter re- ferred to as the "Canal Relocation Agreement". THE PARTIES MUTUALLY AGREE AS FOLLOWS: 1. Notwithstanding the provisions of Paragraph 3.4 of the Canal Relocation Agreement, Kern Delta agrees to transfer, concurrently with the other documentation provided for in said Paragraph 3.4, to the City the right to use the relocated Buena vista Canal, easterly and southerly from Engineer's Station No. 1+00.00 to the southerly terminus thereof, at or near the corner -~ .. - -' ~ ' ; -~. common to Section 7, 8, 17 and 18, Township 30 south, range 27 east, M.D.M., for the transportation of City's water. Said right shall permit the City to use the conveyance capacity in the Bue~a Vista Canal from time-to-time as such capacity is available, sub- I ject only to Kern Delta's prior right of use and the City's pay- I . rnent of a reasonable rental value with reasonable terms and con- ditions. 2. Notwithstanding the provisions of Paragraph 3.4 of The Canal Relocation Agreement, North Kern agrees to transfer, coilcurrently with the other documentation provided for in said Paragraph 3.4, to the City the right to use the James Canal southerly from its headgate connection with the River Canal for the transpor- tation of the City's water. Said right shall permit the City to use the conveyance capacity in the James Canal from time-to-time as suc\ capacity is available, subject only to North Kern's prior right of use and the City's payment of a reasonable I-ental value with reasonable terms and conditions. 3. Nothing contained in this Addendum shall require the City to assume any responsibility for the operation and maintenance of either the Buena Vista or the James Canals southerly from their respective turnout connections with the River Canal. 4. The City shall have full operational control of the measuring stations on both the James and Buena Vista Canals. IN WITNESS WHEREOF, the Parties have caused this Agree- ment to be executed in five (5) original counterparts, as of the date and year first above-written. - 2 - n____- ..- . - ,Þ- .-- r -; .. . " CITY OF BAKERSFIELD By and by "City" NORTH KERN WATER STORAGE DISTRICT By and by "North Kern" KERN DELTA WATER DISTRICT By and by "Kern Delta" TENNECO REALTY DEVELOPMENT CORPORATION By Vice President and by Assistant Secretary "Tenneco Realty" TENNECO WEST, INC. By Vice President and by Assistant Secretary "Tenneco West" -3- I 1C::~d C::"" '"";1-"";> , ~" CITY OF BAKERSFIELD DOMESTIC WATER ENTERPRISE PROPOSED CAPITAL OUTLAY PROGRAM FISCAL YEAR 1982-83 With 10% Adopted W/O 10% Effective FY 1982-1983 FY 1982-1983 4-1-83/6-30-83 SOURCES OF FUNDS Capital Improvement Reserves (Depr.) $ 219,000 $ 220,000 $ 220,000 Net Operating Income 248,500 76,500 126,500 Loan Repayment from Fairhaven Div. -0- -0- -0- $ 467,500 $ 296,500 $ 346,500 PROPOSED APPLICATION OF FUNDS Additional Water Mains Stockdale Highway, El Rio Dr. to Tract 4503 7,500 7,500 7,500 I Two Mi llion Gallon Storage System at Mohawk & Truxtun Avenue 180,000 180,000 180,000 (Special Facility Payments) Water Meters & Appurtenances 46,000 46,000 46 ,000 Pumping Station Improvements 1. Building at Station 12 in Tract 4188 20,000 20,000 20,000 2. Replace switchboard at Station 1 on Ashe Road & Clubview Drive 16,000 16,000 16,000 3. Telemetering system at Station 1 on Ashe Road & Clubview Drive 13,000 13,000 1 3 ,000 Additional Well and Pumping Plant 1. Station 14 around Ming & Old River ($220,000 @ 63% = $135,000) 17 ,000 17,000 17,000 2. Station 15 west of Gosford Road near Pacheco Road Well plus main $265,000 @ 63% = $168,000 21,000 21 ,000 21,000 TOTAL $ 320,500 $ 320,500 $ 320,500 Balance $ ]47,000 ($ 24,000) $ 26,000 Prepared 2-9-83 " .. ~ <" CITY OF BAKERSFIELD DOMESTI C WATER ENTERPR IS E ASHE DIVISION ESTIMATED REVENUES AND EXPENSES BUDGET FISCAL YEAR 1982-83 Proj ected Exp. Adopted Proj ec ted Exp. w/10% increase Budget FY 1982-1983 4-1-83/6-30-83 REVENUES Domestic Water Sales $1,954,000 $1,783,000 $1,830,000 Construction Water Sa1es 16,000 58,000 60,000 Interest Income 75,000 60,000 60,000 TOTAL REVENUES $2,045,000 $ 1 ,90 1 ,000 $1,950,000 OPERATING EXPENSES: Field Expense: 0 & M Cha rges .from Ca 1 if. Water 437,000 447,000 447,000 Power for Pumpi ng 365,000 390,000 390,000 Other Maintenance 120,000 120,000 120,000 TOTAL FIELD EXPENSES $ 922,000 $ 957,000 $ 957,000 Administratiive Expenses: Salaries and Fringe Benefits 72 ,000 75,000 75,000 Charges from Other City Departments 24,000 24,000 24,000 Management Fee from Cali. Water 35,000 46,000 46,000 Consu1tant Charge (Engineer, Attorney, etc.) 55,000 30,000 30,000 Insurance Expenses 17,000 17,000 17,000 Property and Pumping Taxes 175,500 ' 175,000 175,000 Misc. Genera1 Expenses 16,500 16,500 16 , 5'00 TOTAL ADMINISTRATIVE EXPENSES $ 394,000 $ 383,500 $ 383,500 NET OPERATING INCOME: Before Depreciation 729,000 560,000 609,500 Depreciation (219,000) (220,000) (220,000) TOTAL $ 510,000 $ 340,000 $ 389,500 NON-OPERATING EXPENSE: Mainline Extension Refunds (83,000) (85,000) (85,000) Net Operating Income before Capital Outlay Program 427,000 255,000 304,500 BOND PAYMENT ( 1 78 , 500) (1]8,500) (178,500) TRANSFER TO CAPITAL IMPROVEMENT BUDGET 248,500 76,500 126,500