HomeMy WebLinkAboutContracts & Agreements_34-2021SAN BERNARDINO BASIN GROUNDWATER COUNCIL FRAMEWORK
AGREEMENT
This SAN BERNARDINO BASIN GROUNDWATER COUNCIL FRAMEWORK
AGREEMENT ("Agreement") is entered into and effective this -23 day of 3--el9Wr , 2018
by and among the City of Colton ("Colton"), the City of Redlands ("Redlands"), the City of Rialto
("Rialto"), the City of San Bernardino Municipal Water Department ("SBMWD"), City of Loma
Linda ("Loma Linda"), East Valley Water District ("East Valley"), San Bernardino Valley
Municipal Water District ("Valley District"), San Bernardino Valley Water Conservation District
("Conservation District"), Fontana Water Company ("FWC"), West Valley Water District
("'WVWD"), Yucaipa Valley Water District ("Yucaipa"), Bear Valley Mutual Water Company
("BVMWC"), and Loma Linda University ("LLU") each of which is referred to as a "Party," for
the purpose of coordinating the development and implementation of groundwater management
activities that individually or cumulatively address groundwater management in the Bunker Hill
Sub -basin of the Upper Santa Ana Valley Basin ("Basin"), and achieving groundwater
sustainability throughout the Basin.
RECITALS
WHEREAS, the Parties to this Agreement all overlie, produce water from, or are
otherwise interested in the management and long-term sustainability of the groundwater basin
identified as the San Bernardino Basin Area; and
WHEREAS, California Department of Water Resources' ("DWR") Bulletin 118 defines
the Upper Santa Ana Valley Bunker Hill Sub -basin (No. 8-002.06), the boundaries of which, as
defined therein and as may be amended in the future, constitute the limits of the Basin covered
hereunder. A map depicting that Basin is attached hereto as Exhibit A. DWR Bulletin 118
presently classifies the Bunker Hill Basin as high priority.
WHEREAS, surface water and groundwater supplies in large portions of the Basin are
governed by a number of judicial decrees and contracts, including but not limited to the Orange
County Water District v. City of Chino et al. (Orange County Superior Court, Case No. 117628,
April 17, 1969) Western Municipal Water District of Riverside County v. East San Bernardino
County Water District et al. (Riverside County Superior Court Case No. 78426, April 17, 1969);
Big Bear Municipal Water District v. North Fork Water Company, San Bernardino Superior Court
Case No. SCV 165493, and City of San Bernardino v. Fontana Water Company, San Bernardino
Superior Court Case No. 17030 (January 28, 1924).
WHEREAS, Water Code § 10720.8(a) identifies the San Bernardino Basin Area as an
adjudicated area. As such, this area is exempt from the Sustainable Groundwater Management
Act (SGMA) passed by the California Legislature in September 2014, other than providing certain
kinds of data to DWR per Water Code § 10720.8(rf).
WHEREAS, notwithstanding that the Basin is not required to comply with SGMA, the
Parties to this Agreement wish to collaborate their efforts to identify their respective access to and
application of imported water supplies, and to harmonize use of such supplies with available
groundwater in the Basin. The goal is to ensure that the water imported into the Basin, and the
SBVMWD LEGAL
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facilities used to apply both imported and native water supplies to productive beneficial use, will
all be maintained and managed in a manner that will be sustainable over the long-term. The Parties
recognize that the key to success in this effort will be coordination of amounts and areas of
recharge in different parts of the Basin, by acting in conjunction with other groundwater
management entities active in portions of the Basin.
WHEREAS, the purpose of ensuring water supply reliability and long-term effectiveness
and viability of recharge facilities has become even more important as a result of recently
experienced low groundwater storage levels and the reduction of imported water supplies, due to
environmental and other restrictions. One purpose of this Agreement is to facilitate the
cooperation of the Parties to ensure a reliable and conjunctively utilized water supply of
replenishment water that can prevent overdraft or other negative impacts from occurring during an
extended drought, and for the foreseeable future.
WHEREAS, the Parties, individually and collectively, have the goal of cost effective
cooperative groundwater management that considers the interests and concerns of all of the
communities and parties that rely upon the Basin for their water supply.
WHEREAS, the Parties hereby enter into this Agreement to establish the San Bernardino
Basin Groundwater Council ("GC") to undertake the preliminary steps necessary to prepare for
and coordinate the management of groundwater supply resources throughout the Basin, and to
coordinate maintenance of conveyance and recharge facilities to expedite such management. The
GC will coordinate with existing groundwater management agencies in the Basin as well as the
individual F.x Oficio participants, as defined below, and will be responsible for ensuring overall
coordination and sustainable management of the Basin.
WHEREAS, the Parties have agreed that the preliminary steps of GC formation will
include preparation of formation documents and procedures, the possible hiring of needed experts,
and the development of a budget for this GC as memorialized in this Agreement.
AGREEMENT
NOW THEREFORE, in consideration of the matters recited and the mutual promises,
covenants, and conditions set forth in this Agreement, the Parties hereby agree as follows:
DEFINITIONS
1.1 Definitions. In addition to the terms that may be defined elsewhere in this
Agreement, the following terms when used in this Agreement shall be defined as follows:
1.1.1 "Agreement" means this Groundwater Council Agreement.
1.1.2 "Plaintiff' means any of the following entities: City of Riverside,
Riverside Highlands Water Company, Meeks and Daley Water Company, Regents of University
of California, or Western Municipal Water District as named in the 1969 Judgment in Case
Number 78426, Western Municipal Water District of Riverside County et al. vs. East San
Bernardino County Water District et al."
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1.13 "Annual Basin Groundwater Report'' shall mean the annual report
prepared by the Groundwater Council, to cover topics including but not limited to the following:
annual production, recharge, environmental issues, exchanges, and all other actions and topics
material to groundwater conditions in the Basin. In preparing such report, the Groundwater
Council may consult with, and draw from, data and information provided by the Watermaster and
Conservation District and other reliable sources regarding annual groundwater conditions. The
Annual Basin Groundwater Report is not intended to supplement or supplant the annual reports of
the various Watermasters operating within the Basin that are filed with the Superior Court or any
Watermasters' required reporting under the Sustainable Groundwater Management Act (SGMA).
1.1.4 "Basin" shall mean the Upper Santa Ana Valley Bunker Hill
Groundwater Basin, Sub -basin 8-002.06, as designated in DWR's Bulletin No. 118, and as its
boundaries may be modified from time to time through the procedures described in California
Water Code § 10722.2.
1.1.5 "Groundwater Council" or "GC" or shall mean the Upper Santa
Ana Valley Bunker Hill Basin Groundwater Council, the oversight body coordinating the
management, replenishment, and preservation of groundwater supply and quality of the Basin.
The GC shall be composed of representatives of each Party and should they decide to participate,
a representative of any other groundwater management authority over any portion of the Basin, as
further provided herein. The GC's duties shall include the integration and coordination of the use
of imported water supplies for replenishment of the Basin, facilitation of implementation of GC
policies and initiatives through the legal authorities of its members, management of budgeting and
funding for the maintenance, development, and management of regional groundwater
infrastructure, and dispute resolution that may occur within or between the Parties or Ex Ofrcio
members of the GC.
1.1.6 "BTAC" shall mean the Basin Technical Advisory Committee, as
originally created under the auspices of the Upper Santa Ana River Watershed Integrated Regional
Water Management Plan, as such Committee may be modified from time to allow for the additional
participation of one or more Parties to this Agreement. The BTAC may be tasked to undertake
specified actions in support of the GC.
1.1.7 "Effective Date" shall mean the date that a majority of the Parties
approve of and enter into the Agreement.
1.1.8 "Equitable Allocation" shall mean the manner of determining the
facilities' operations and maintenance ("O&M") costs, and supplemental water cost, for each
Party based on the annual approved budget. This allocation will be performed pursuant to the
formulas and procedures described in Exhibit B of this Agreement. The allocation shall determine
the portion of equitable O&M cost, and the portion of equitable water cost, to be apportioned to
each Party or other participant for the applicable GC budget year. These allocations shall also be
used to determine the voting weight afforded to each voting member of the GC, under this
Agreement and further procedural processes as may be developed by the GC.
1.1.9 "Ex Oficio participant" shall mean those entities that participate in
the GC by virtue of their status as plaintiffs or successors in interest to plaintiffs in Western
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Municipal Water District of Riverside County v. East San Bernardino County Water District et al.
(Riverside County Superior Court Case No. 78426, April 17, 1969), but which shall not be a
considered Parties to this Agreement.
1.1.10 "Cost Share" shall mean that portion of the overall annual
operating costs of the GC, assigned to a Party pursuant to the Equitable Allocation, as determined
in the annual budget of the GC,
2. TERM
2.1 This Agreement shall become operative on the Effective Date. If an eligible
Party has not executed this Agreement by june 30, 2018, such party may join this GC Agreement
only as an additional member of the GC, pursuant to Section 3.5, below.
2.2 This Agreement shall remain in effect for a period of five (5) years
following the Effective Date, unless earlier terminated by the unanimous written consent of all
then -active Parties, provided, however, that this Agreement shall remain in effect during the term
of any contractual obligation or indebtedness of the GC that was previously approved by the GC.
2.3 Any Party shall have the ability to withdraw from this Agreement upon
serving written notice of its intention to withdraw on all other Parties at least twelve (12) months
before that Party's withdrawal becomes effective. Such notice shall be served on the GC at a
regularly scheduled meeting and on each of the Parties to this Agreement separately. The
withdrawing Party may withdraw upon eighty percent (801/o) approval of the voting members of
the GC.
2.4 Any Ex Oficio participant in the GC shall have the ability to withdraw from
participation in the GC upon thirty (30) days written notice to the Parties.
3. COUNCIL CREATION AND PURPOSE
3.1 Creation of the GC. There is hereby created the Upper Santa Ana Valley
Bunker Hill Basin Groundwater Council. The GC shall be, to the extent permitted by law, the
forum within which the Parties shall coordinate the access to and utilization of imported water
supplies for application to the recharge and replenishment of the Basin, and for the maintenance,
and repair of recharge and conveyance facilities for both native and imported supplies to replenish
the Basin, consistent with applicable law and judicial decrees.
3.2 Purpose of the Agreement. The purpose of this Agreement, and the creation
of the GC, is to provide for the funding, integration, and coordination of the management of
imported water and associated groundwater replenishment facilities of the Basin. The purpose is
also the facilitation of implementation of policies and initiatives through the legal authorities of
one or more Parties, for the purpose of cooperatively managing certain aspects of the Basin,
including but not limited to accessing and applying imported water supplies to augment and
complement native water supplies, toward the goal of maintaining the long-term yield of the Basin
and ensuring that overdraft or other negative impacts are prevented in the future and eliminated
over time; and undertaking imported water replenishment activities that are approved by the GC
and included in the annual approved budget.
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3.3 Membership of the GC. The GC shall consist of a representative from each
Party. One party may serve in multiple representative roles, and this will be accounted for in the
Equitable Allocation. GC Members shall be appointed in the manner set forth in Section 3.4 of
this Agreement.
3.4 Appointment of Members to the GC. Each Party or other entity entitled to
membership on the GC shall appoint one representative member of the GC, who shall be the senior
executive management level employee of the Party, or a senior executive management -level
employee of other recognized groundwater management entity. Each eligible member may
determine its own process for appointing its representative member. Members of the GC shall
serve throughout the term of this agreement, provided that such members may be subject to
removal and replacement by the appointing Party in the event the representative is no longer in the
employ of the appointing Party.
3.5 Additional Members. The GC may permit admission of additional
members upon an eighty percent (80%)vote of the Equitable Allocation weighted votes among all
then -existing Parties, upon such terms and conditions as the GC in its discretion may impose. Such
conditions may include requiring contributions to any GC initiatives for securing imported water
supplies, or maintenance and operations expenses of groundwater replenishment facilities, to
assure equitable distribution of the costs of such initiatives or facilities to those benefitting from
them.
3.6 Ex Oficio Participants. The GC shall include the plaintiff parties or the
successors in interest to the plaintiff parties in Western Municipal Water District of Riverside
County v. East San Bernardino County Water District et al. (Riverside County Superior Court
Case No. 78426, April 17, 1969) as "Ex Oficio" participants, unless any Ex-Oficio participant
withdraws from the GC pursuant to Section 2.4, above. Such Ex-Oficio participants shall not have
the ability to vote on any matters before the GC, but shall be permitted to provide input and other
support for GC efforts. Notwithstanding any other provision of this Agreement, and except as
otherwise provided in other agreements, judgments or settlements, Ex Oficio participants shall not
be liable for any costs or fees associated with the GC or its activities related to importing
groundwater into the Basin and shall not be considered "members" of the GC as that term is used
in this Agreement. Ex Oficio participants may jointly execute a separate agreement with the
Conservation District that will provide for the annual payment of no more than 27.95% of costs
associated with the recharge of native waters.
4. COUNCIL MEETINGS AND ACTIONS
4.1 Initial Meetine. The initial meeting of the GC shall be held at a location
overlying the Basin within forty-five days (45) days of the Effective Date of this Agreement. At
the initial meeting the GC shall select a President to chair its meetings, a Vice President to serve
if the President is unavailable, a Secretary to record GC proceedings and actions, and any other
officers it deems appropriate to the successful and efficient conduct of its business.
4.2 Regular Meeting Schedule and Rules of Proceeding. The GC shall establish
a regular meeting time and place at its initial meeting. The GC may vote to change the regular
meeting time and place, provided that the new location remains at a place overlying the Basin.
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The GC may adopt, promulgate, repeal, or revise further rules of debate, presentation of motions,
voting and proxies, process, or proceedings, as it may deem appropriate.
4.3 Quorum. A quorum of the GC shall consist of majority of the total
Equitable Allocation weighted votes among all voting members. In the absence of a quorum, no
business may be transacted beyond the adjournment of a meeting by the remaining members. For
efficiency, business may be discussed and action recommended for the consent calendar
ratification at the next regular meeting. A member shall be deemed present for the determination
of a quorum if the member is present at the meeting in person, or if they participate in the meeting
telephonically upon such rules and procedures as the GC may promulgate.
4.4 GC Voting Rights. Each voting member of the GC shall have its Equitable
Allocation weighted vote, as such may be revised from time to time either (a) pursuant to pre -
negotiated mechanisms for the adjustment of the Equitable Allocation, due to fluctuations in the
groundwater production or other criteria on which the initial Equitable Allocation is based, or (b)
by an eighty percent (80%) vote of the total Equitable Allocation voting weight held by all voting
members. Exhibit B indicates the voting rights of each party, and shall be modified periodically
as specified in the procedures included in Exhibit B.
4.4.1 Fiscal items, including but not limited to, approval of the annual
budget of the GC and any expenditures, shall require an affirmative vote by a supermajority
constituting eighty percent (80%) of all Equitable Allocation voting weight. To the extent the GC
may form groups which contain less than all members for projects where not all members are
participants, such committees will have an additional committee agreement identifying the
requirements of committee members, and voting requirements attending fiscal obligations of such
committees.
4.4.2 Any change in annual contributions necessary to support the work
of the GC shall require an affirmative vote by a supermajority constituting eighty percent (80%)
of all of all Equitable Allocation voting weight.
4.5 Minutes. The GC shall cause minutes to be kept of all meetings of the GC
and any appointed Standing Committees. The GC shall further cause a copy of draft minutes to
be forwarded to each member of the GC and to each Party and Ex Oficio member, which may be
done electronically, or by way of posting to a commonly available website or digital portal.
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4.6 Annual Budgeting and Expenditure Approval.
4.6.1 The fiscal year of the GC shall be July 1 through June 30. The GC
shall develop, circulate, and approve an annual budget for the funding of bringing imported water
supply to the Basin, and for the maintenance and repair of groundwater recharge or water
conveyance facilities serving replenishment of the Basin. The Budget shall be prepared by a
Budget Committee, which shall consist of three (3) member Parties of the GC appointed by a
qualifying vote of at least 80% of the weighted Equitable Allocation, no later than January 31 of
the fiscal year prior to the one for which the budget is to operate. The Budget Committee shall
coordinate with BTAC and Valley District as the State Water Project Contractor, to determine the
likely allocation of available State Water Project imported water supplies, and other available non-
native sources of imported water, the likely unit cost of such imported water, and the recharge
needs of the Basin, in terms of quantities of water, locations where Basin conditions would most
benefit from imported recharge, condition and availability of facilities to accomplish such
recharge, and cost. From these sources, the Budget Committee shall prepare a budget that
recommends all of the following:
(a) the amount of imported water supplies proposed to be bought or
otherwise acquired by GC members in the coming year;
(b) the recommended application or distribution of such imported water
supplies to various parts of the Basin;
(c) the estimated cost of all ongoing maintenance, repair, and operation
costs for then -existing groundwater recharge and conveyance facilities serving to replenish the
Basin;
(d) any administrative costs of the GC; and
(e) proposed allocation of all expenditures in the Budget among GC
members as their portion of the Cost Share based upon the Equitable Allocation Model.
4.6.2 No later than March 1 prior to the beginning of the year for which
the budget is to operate, the Budget Committee shall present and circulate to all GC members the
proposed Budget, for review and analysis. The circulated budget shall include the underlying
presumptions and worksheets upon which it is based. The Budget Committee, or its designee,
shall make itself reasonably available to respond promptly to any inquiries or information requests
regarding the proposed budget.
4.6.3 No later than sixty (60) days after presentation of the budget by the
Budget Committee, the GC shall meet to deliberate and pass upon the budget. The GC may accept,
reject, or modify in any way the budget as proposed by the Budget Committee. Adoption of the
budget shall require an eighty percent (801/4) vote of the weighted Equitable Allocation, provided,
however, that if a segregable portion or portions of the budget can be identified which prevent the
overall budget from obtaining an eighty percent (80%) approval vote, the GC shall pass those
portions of the budget upon which an eighty percent (80%) majority can be achieved, and shall
refer those portions upon which approval cannot be obtained back to the Budget Committee for
further recommendation on how such portions might be eliminated, reduced in scope or cost, or
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otherwise modified, and represented to the GC for eighty percent (80%) approval. No portion of
the GC budget imposing any expenditures on any Party shall be approved or adopted on less than
an eighty percent (80%) vote of the Equitable Allocation weighted voting, but the inability to
secure an eighty percent (80%) vote on segregable portions of the budget shall not prevent the GC
from implementing, and proceeding with, those portions of the budget which secured the required
eighty percent (801/o) approval.
4.7 The Valley District shall perform the accounting and revenue collection
functions of the GC in tracking and securing the funding from the GC members pursuant to the
approved annual budget, and consistent with the approved cost allocations among the GC members
therein, for all imported water supplies. The Conservation District shall perform the accounting
and revenue collection functions of the GC in tracking and securing the funding from the GC
members pursuant to the approved annual budget, and consistent with the approved cost
allocations among the GC members therein, for all facilities costs. The Conservation District shall
credit each Party or Ex Oficio participant otherwise subject to the Conservation District's
groundwater charge, in the amounts such Party contributes to the GC budget for facilities costs
that would be encompassed in that groundwater charge, in order to prevent double collection of
such costs with the Conservation District's groundwater charges. Groundwater charges payable
by the Ex Oficio Participants may be suspended as part of the separate funding agreement outlined
in Section 4.8. In the event of any delinquency, either Valley District or the Conservation District
may request the GC to appoint it, or any other GC member or group of members, to represent the
GC in securing collection of unpaid and owing amounts from any delinquent member or members.
The reasonably incurred costs of such collection efforts may be reimbursed to the agent the GC
authorizes to go forward with them, and may be added as an administrative cost to other members,
or as a credit against future amounts owing to the GC from such authorized agent.
4.8 Ex Oficio participants will not be subject to the Conservation District's
groundwater charges as long as a separate funding agreement as outlined in this Section 4.8 is in
effect. Ex Oficio participants may jointly negotiate and execute a separate agreement with the
Conservation District and/or Valley District that will provide for the annual payment of up to
27.95% of costs associated with the recharge of native waters. As of the Effective Date of this
Agreement, Ex Oficio participants understood the estimated annual costs associated with water
recharge, both native and imported, to be $800,000 for Conservation District activities and
$200,000 for activities that may occur in recharge basins outside of the Conservation District's
control. Ex Oficio participants, via the separate funding agreement, may agree to collectively pay
no more than 27.95% of the cost for recharge of native waters. In any such agreement, in the event
that imported water is recharged and the costs for such activity are comingled with the cost for
recharge of native water, the Conservation District and/or Valley District will pro -rate the costs
associated with recharge to separate the costs for native and imported water recharge. Ex Oficio
participants are not intended to be charged for the costs of recharge of imported water or associated
capital, the operations and maintenance for imported supplies, or any other costs not expressly
agreed to in the separate funding agreement.
4.9 No later than six (6) months into the budget year for which any budget is
adopted by the GC, the Budget Committee shall prepare a year -in -process budget review, to assess
the validity and accuracy of the presumptions upon which the budget was based, identify any
budget savings or additional expenditures, assess any additional opportunities for groundwater
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replenishment that may have come available since the passing of the budget, and otherwise assess
and recommend to the GC any potential amendment to the existing year budget, or suggestions for
the following year's budget, as changing conditions may warrant. (Phis section may not be needed
based upon f nalization of the Equitable Allocation formula)
5. COUNCIL POWERS AND DUTIES
5.1 The GC shall exercise the following powers:
5.1.1 To adopt rules, regulations, policies, bylaws and procedures
governing the operation of the GC.
5.1.2 To produce an Annual Basin Groundwater Report, using as may be
appropriate data regarding groundwater conditions available from the Watermaster, the
Conservation District, or other sources.
5.1.3 To monitor groundwater production and extractions in coordination
with BTAC and pertinent local groundwater management agencies.
5.1.4 To make, after consultation with BTAC, annual recommendations
for the amount of additional artificial recharge for the Basin from imported sources as a
complement to native sources, and to plan for the development and application of such additional
sources of recharge.
5.1.5 To establish as -needed Ad Hoc and Standing advisory committees
for the purpose of making recommendations to the GC. Committees shall exist for the term
specified in the action creating the committee, and the GC may dissolve a committee at any time
through an eighty percent (80%) majority vote of Equitable Allocation voting weight.
5,1.6 To contract for the services of engineers, attorneys, planners,
fmancial consultants, and separate and apart therefrom, to appoint agents and representatives to
employ such other staff persons as necessary. The BTAC will provide technical support for the
GC, upon such terms as the GC and BTAC shall agree in writing. Ex Oficio members shall not
be responsible for BTAC costs.
5.2 In addition to the above -referenced powers, the GC may, by an eighty
percent (80%) vote of the Equitable Allocation, decide to activate and exercise any or all of the
following additional powers:
5.2.1 To collect and monitor all data related and beneficial to the
development, adoption and implementation of appropriate groundwater level management for the
Basin.
5.2.2 To collect charges from GC members as authorized in the approved
budget.
5.2.3 To cooperate, act in conjunction, and contract with the United
States, the State of California, or any agency thereof, counties, municipalities, public and private
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corporations of any kind (including without limitation, investor -owned utilities), and individuals,
or any of them, for any and all purposes necessary or convenient for the purposes of this
Agreement.
5.2.4 To accumulate operating and reserve funds and invest the same as
allowed by law for the purposes of the GC.
5.2.5 As may be permitted by law, to apply for and accept grants,
contributions, donations and loans, including under any federal, state or local programs for
assistance in developing or implementing any of its projects or programs in connection with any
project untaken in the GC's name.
5.2.6 To acquire lease, purchase, construct, hold, manage, maintain,
operate and dispose of any buildings, property, water rights, works or improvements within and
without the respective boundaries of the Parties necessary to accomplish the purposes described
herein, or to assist any Party in doing so.
5.2.7 To implement the Cost Share in a manner that qualifies as a pass
through charge under the Constitutional requirements of Proposition 218 and similar revenue -
raising requirements.
5.2.8 To exercise any power necessary or incidental to the foregoing
powers in the manner and according to the procedures provided for under the law applicable to the
Parties to this Agreement.
5.2.9 In addition to the above, and to the extent not directly represented
on the GC, the GC shall coordinate its efforts with the agencies that are charged with implementing
all applicable judicial decrees governing the Basin.
6. FUNDING GC ACTIVITIES
Funding for GC activities shall be provided pursuant to an expense sharing
mechanism described in more detail in Exhibit B hereto. This mechanism is based in part on a
regional sharing of Operation and Maintenance costs for San Bernardino Basin Area recharge
activities, as those Operation and Maintenance costs shall be determined by the GC in its annual
budgeting, in conjunction with BTAC. All Parties shall share in the Operation and Maintenance
cost components. Ex Oficio participants shall not share in any costs which are attributable to
bringing imported water to the Basin nor its recharge, but all other Parties shall participate in such
costs, pursuant to the Equitable Allocation attached as Exhibit B hereto. Ex Officio participants
intend to, through separate agreement(s) with the Conservation District and/or Valley District,
cooperate in the payment of up to a maximum of 27.95% of costs associated with the recharge of
water that results from natural precipitation and run-off in the basin (native water). Each Party
shall be contractually responsible hereunder for the annual payment of fees for their assigned
portion of the budgeted expenses of the GC, based on that Party's allocation, as determined by the
aforementioned allocation formula and the approved GC budget.
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DISPUTE RESOLUTION
The Parties recognize that there may be disputes regarding the obligations of the
Parties or the interpretation of this Agreement. The Parties agree that they may attempt to resolve
disputes as follows:
7.1 Statement Describing Alleged Violation of Agreement. A Party or Parties
alleging a violation of this Agreement (the "Initiating Party(ies)") shall provide a written
statement describing all facts that it believes constitute a violation of this Agreement to the
Party(ies) alleged to have violated the terms of this Agreement (the "Responding Party(ies)").
7.2 Resnonse to Statement of Alleged Violation The Responding Party(ies)
shall have sixty (60) days from the date of the written statement to prepare a written response to
the allegation of a violation of this Agreement and serve that response on the Initiating Party(ies)
or to cure the alleged violation to the reasonable satisfaction of the Initiating Party(ies). The
Initiating Party(ies) and the Responding Party(ies) shall then meet within thirty (30) days of the
date of the response to attempt to resolve the dispute amicably.
7.3 Mediation of Dispute. If the Initiating Party(ies) and the Responding
Party(ies) cannot resolve the dispute within ninety (90) days of the date of the written response,
they shall engage a mediator, experienced in water -related disputes, to attempt to resolve the
dispute. Each Party shall ensure that it is represented at the mediation by a Director or Trustee or
other representative with authority to settle, These representatives of the Initiating Party(ies) and
the Responding Party(ies) may consult with staff and/or technical consultants during the mediation
and such staff and/or technical consultants may be present during the mediation. The costs of the
mediator shall be divided evenly between the Initiating Party(ies) and the Responding Party(ies).
The decision of the mediator shall be non -binding.
7.4 Reservation of Rights. Subject to the above requirements, in the event that
mediation fails, each Party retains and may exercise all legal and equitable rights and remedies it
may have to enforce the terms of this Agreement; provided, that prior to commencing litigation, a
Party shall provide at least five (5) calendar days' written notice of its intent to sue to all Parties.
8. RELATIONSHIP TO WATER RIGHTS AND PRIOR AGREEMENTS
8.1 Water Rights and Existing Agreements. Nothing in this Agreement is
intended to modify the water rights of the Parties or the Ex Oficio participants, whether existing
under a judgment, proceedings of the State Water Resources Control Board, or the common law.
Nothing in this Agreement is intended to modify any existing agreements between and among the
Parties, unless expressly stated herein.
8.2 Agreements Among Water Users. Nothing in this Agreement is intended
to modify the rights of the signatories of this Agreement among themselves.
8.3 Judgments. Nothing in this Agreement is intended to modify the rights of
the Parties under the terms of the judgments in Orange County Water District v. City of Chino et
al. (Orange County Superior Court, Case No. 117628, April 17, 1969) and Western Municipal
Water District ofRiverside County v. East San Bernardino County Water District et al. (Riverside
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County Superior Court Case No. 78426, April 17, 1969); Chino Basin Water District V. City of
Chino, San Bernardino Superior Court Case No. 164327; Big Bear Municipal Water District v.
North Fork Water Company, San Bernardino Superior Court Case No. SCV 165493; or City of
San Bernardino v. Fontana Water Company, San Bernardino Superior Court Case No.17030
(January 28, 1924). It is the intention of the Parties in forming the GC to apply, administer, and
conform to the requirements and provisions of each of these judgments. In the event of any conflict
between the actions of the GC, and the requirements and provisions of such judgments, the latter
shall control.
8.4 No Admissions. Nothing in this Agreement shall be construed as an
admission by any Party regarding any subject matter of this Agreement, including but not limited
to the water rights or priorities of same of the Parties.
8.5 Preservation of Rights. The Parties agree that this Agreement, to the extent
allowed by law, preserves all rights of the Parties as they may exist as of the Effective Date of this
Agreement. Nothing in this Agreement is to be construed as altering the priorities or entitlements
of water right holders among themselves to water from the Santa Ana River or the Basin.
9. MISCELLANEOUS
9.1 Authority. Each signatory of this Agreement represents that s/he is
authorized to execute this Agreement on behalf of the Party for which s/he signs. Each Party
represents that it has legal authority to enter into this Agreement and to perform all obligations
under this Agreement, and that by doing so, such Party is not in breach or violation of any other
agreement or contract.
9.2 Amendment Except as to fluctuations in the Equitable Allocation as
otherwise provided for herein, this Agreement may be amended or modified only by a written
instrument approved by an eighty (80)%) vote of the Equitable Allocation
9.3 Jurisdiction and Venue. This Agreement shall be governed by and
construed in accordance with the laws of the State of California, except for its conflicts of law
rules. Any suit, action, or proceeding brought under the scope of this Agreement shall be brought
and maintained to the extent allowed by law in the County of San Bernardino, California.
9.4 Headings. The paragraph headings used in this Agreement are intended for
convenience only and shall not be used in interpreting this Agreement or in determining any of the
rights or obligations of the Parties to this Agreement.
9.5 Construction and Interpretation. This Agreement has been arrived at
through negotiations, and each Party has had a full and fair opportunity to revise the terms of this
Agreement. As a result, the normal rule of construction that any ambiguities are to be resolved
against the drafting Party shall not apply in the construction or interpretation of this Agreement.
9.6 Entire Agreement. This Agreement constitutes the entire agreement of the
Parties with respect to its subject matter, and supersedes any prior oral or written agreement,
understanding, or representation relating to the subject matter of this Agreement.
159/0150424001
10094328,32 a01/19/18 -12-
9.7 Partial Invalidity. If, after the date of execution of this Agreement, any
provision of this Agreement is held to be illegal, invalid, or unenforceable under present or future
laws or adjudicatory decisions effective during the term of this Agreement, such provision shall
be fully severable. However, in lieu thereof; there shall be added a provision as similar in terms
to such illegal, invalid or unenforceable provision as may be possible and be legal, valid and
enforceable.
9.8 Successors and Assigns. To the extent authorized by law, this Agreement
shall be binding on and inure to the benefit of the successors and assigns of the respective Parties
to this Agreement. No Party may assign its interests in or obligations under this Agreement
without the written consent of the other Parties, which consent shall not be unreasonably withheld
or delayed.
9.9 Waivers. Waiver of any breach or default hereunder shall not constitute a
continuing waiver or a waiver of any subsequent breach either of the same or of another provision
of this Agreement, and forbearance to enforce one or more of the remedies provided in this
Agreement shall not be deemed to be a waiver of that remedy.
9.10 Attorneys' Fees and Costs. The prevailing Party in any litigation or other
action to enforce or interpret this Agreement shall be entitled to reasonable attorneys' fees, expert
witnesses' fees, costs of suit, and other and necessary disbursements, in addition to any other relief
deemed appropriate by a court of competent jurisdiction.
9.11 Necessary Actions. Each Party agrees to execute and deliver additional
documents and instruments and to take any additional actions as may be reasonably required to
carry out the purposes of this Agreement.
9.12 Compliance with Law. In performing their respective obligations under this
Agreement, the Parties shall comply with and conform to all applicable laws, rules, regulations
and ordinances.
9.13 Third Party Beneficiaries. This Agreement shall not create any right or
interest in any non -Party or in any member of the public as a third party beneficiary.
9.14 Notices. All notices, requests, demands or other communications required
or permitted under this Agreement shall be in writing unless provided otherwise in this Agreement
and shall be deemed to have been duly given and received on: (i) the date of service if served
personally or served by facsimile transmission on the Party by delivery to the person(s) at the
address(es) designated below, which designation may be changed from time to time by a Parry in
writing; (ii) on the first day after mailing, if mailed by Federal Express, U.S. Express Mail, or other
similar overnight courier service, postage prepaid, and addressed as provided below, or (iii) on the
third day after mailing if mailed to the Party to whom notice is to be given by first class mail,
registered or certified, postage prepaid, addressed as follows:
159/015042-0001
10094328.32 01/19/18 -13-
To CITY OF COLTON:
To CITY OF REDLANDS:
To CITY OF RIALTO:
To CITY OF SAN BERNARDINO
MUNICIPAL WATER DEPARTMENT:
To CITY OF LOMA LINDA:
To EAST VALLEY WATER DISTRICT:
To SAN BERNARDINO VALLEY
MUNICIPAL WATER DISTRICT:
CITY OF COLTON
Attn: David Kolk, Utilities Director
650 N. La Cadena Drive
Colton, CA 92324
CITY OF REDLANDS
Attn: John Harris, Public Works Director
35 Cajon Street
Redlands, CA 92373
CITY OF RIALTO
Attn: Thomas J. Crowley, Utilities Manager
150 S. Palm Avenue
Rialto, CA 92376
CITY OF SAN BERNARDINO MUNICIPAL
WATER DEPARTMENT
Attn: Miguel Guerrero, Director, Water Utility
397 Chandler Place
San Bernardino, CA 92408
CITY OF LOMA LINDA
Attn: Bill Walker, Director of Utilities
25541 Barton Road
Loma Linda, CA 92354
EAST VALLEY WATER DISTRICT
Attn: John J. Mora, General Manager
31 I 1 Greenspot Road
Highland, CA 92346
SAN BERNARDINO VALLEY MUNICIPAL
WATER DISTRICT
Attn: Doug Headrick, General Manager
380 E. Vanderbilt Way
San Bernardino, CA 92408
To SAN BERNARDINO VALLEY WATER SAN BERNARDINO VALLEY WATER
CONSERVATION DISTRICT:
To FONTANA WATER COMPANY
CONSERVATION DISTRICT
Attn: Daniel Cozad, General Manager
1630 West Redlands Blvd., Suite A
Redlands, California 92373
FONTANA WATER COMPANY
Attn: Chris Fealy, Water Resources Manager
Post Office Box 309
Fontana, CA 92335
159/015042-0001
10094328.32 a01/19/l8 -14-
To WEST VALLEY WATER DISTRICT: WEST VALLEY WATER DISTRICT
Attn: Greg Gage, Assistant General Manager
855 W Baseline Road
Rialto, CA 92376
To YUCAIPA VALLEY WATER YUCAIPA VALLEY WATER DISTRICT
DISTRICT: Attn: Joe Zoba, General Manager
12770 2nd Street
Yucaipa, CA 92399
To BEAR VALLEY MUTUAL WATER BEAR VALLEY MUTUAL WATER
COMPANY: COMPANY
Attn: Bob Martin
101 E, Olive Avenue
Redlands, CA 92373
To LOMA LINDA UNIVERSITY:
LOMA LINDA UNIVERSITY
Central Utilities Plant
Attn: Bill Walker, Director of Utilities
11100 Anderson Street
Loma Linda, CA 92330
9.15 Countemarts. This Agreement may be executed in one or more
counterparts, each of which shall be deemed to be an original, but all of which together shall
constitute but one and the same instrument.
CITY OF COLTON,
a California general law city and
municipal corporation
��
DATED:._..._.__._ ,2018 By:_
William R. Smith, City Manager
[Signatures continued on next page]
159/015042.0001
1009432832 001 /19118 .16.
CITY OF REDLANDS,
a California general law city and
municipal corporation
DATED: By:
Charles M: Duggan, Jr., Ci W Man er
[Signatures continued on next page]
1591015042-0001
10094328.32 a01/19118 -16-
CITY OF RIALTO
a California general law city and
municipal corporation
DATEl): ?—L2 2018 By:
1. Interim Cite Administrator
d Development Services Director
[S"ignafures continued on ne-vi page]
159 1115[I.{?_IIOi11
In[a<W S ;2an1 1�1 IS —17-
CITY OF SAN BERNARDINO
iv[ U N ICI PAL WATER DEPARTMENT
DATED: 12018 By:
U'd lt. lltel- 13C1
Attest: fV
[Signatures continued on next page]
i59/015042.00a1
10094328 32 P0211511 a -1 8^
CITY OF LOMA LINDA
a California charter city and
municipal corporation
ATED: 2018 By: 47� :—��
T. 7arb Thaipejr, City Manager
[Signatures continued on next page]
I59YO15042.0001
I OQW28-32 AIr I9t 18 2
Dated: (,1� Agency East Valley Water Pistrict
Name: John Mura 1
Title: _ General Manager/CEO I
Page 6 of 6
Execution Copy
MOU for Groundwater 5ustainability Councils
November 2015
150/227
SAN BERNARDINO VALLEY
MUNICIPAL WATER DISTRICT
DATED: , 2018 By: ('1z
Doilglas Headrick, General Manager
[Signatures continued on next page]
1591015042-0001
10094328.32 a01119/18 -2 1 -
APPROVED AS TO FORM:
General 06unsel
Dated: n ` /��
Page 6 of 6
Execution Copy
SAN BERNARDINO VALLEY WATER
CONSERVATION DISTRICT
1630 W. Redlands Blvd, Suite A
Redlands, CA 92373
MOU for Groundwater Sustainability Councils
November 2015
DATED:4�-11 5 , 20I 9
FONTANA UNION WATER COMPANY
By: 44,41 '
dl
�llxohn Bosler, President
[Signatures continued on next page]
23
Date a 2020
WEST VALLEY WATER DISTRICT
B
nning Hawkins
resident, Board of Directors
By: C" I
-
Clarence C. Mansell, Jr.
General Manager
By: -PCQm4
Peggy Asche
Acting Board Secretary
Robert Tafoya
General Counsel
[Signatures continued on next page]
YUCAIPA VALLEY WATER DISTRICT
DATED: F; `` j,/ � .12018
Zoba, General
[Signatures continued on next page]
I 591015042-M 1
1009432932 901 ' 19+18
BEAR VALLEY MUTUAL WATER
COMPANY, a California mutual water
company
By:
David Knight, B President
DATED: February 20 , 2018
[Signatures continued on next page]
159/015042-0001
10094328.32 a02/07118 -27-
LOMA LINDA UNTVERSTI'Y
Bp:_ -/Z-� 0 Richard H. Hart�DrPH,
President
[End of Signatures Pages]
1OQA32932 ADMW18 -28-
EXHIBIT A
Map of Upper Santa Ana Bunker Hill Basin
(Taken from DWR Bulletins No. 118)
Map
8-002.06 UPPER SANTA ANA VALLEY -BUNKER HILL
4'ik rry �+OD
I N
159/015042-0001
10094328.32 a01119/19
Exhibit B
EQUITABLE ALLOCATION METHOD
D
The Parties to this agreement have agreed to equitably share costs and establish the
voting weight for each Party using the following method, which shall be performed annually
after the annual submittal of the Western -San Bernardino Watermaster Report to the Court. The
details for this method are included in a Microsoft Excel Spreadsheet titled BTAC Equitable
Allocation Method SBBA 1.18.18.xlsx, as amended by the GC from time to time, which is
incorporated here by reference. Copies of that file have been made available to all parties.
I. Calculation of the Equitable Operations and Maintenance (O&M) Cost.
The equitable distribution of the O&M Costs amongst the Parties shall be calculated from the
approved budget, as follows:
Equitable O&M Cost Plaintjtj's = 0.2795 x O&M Costs
Equitable O&M Cost Non Plaintiffs = Proportion of Total Pumping x 0.7205 x O&M Costs
where,
O&M Costs = annual budgeted or actual costs to operate and maintain the facilities needed
to recharge supplemental water into the SBBA that have been reviewed and approved by
the Council
Proportion of Total Pumping (%) _ _ Partv's total SBBA pumping
Non -Plaintiff Total SBBA Pumping
where,
Parry's total SBBA pumping (acre-feet) = the Party's total amount pumped from the SBBA
for the previous complete calendar year, as published by the Western -San Bernardino
Watermaster, and adjusted for any water pumped by one Party and received by another
Party, to coordinate with non-parties still paying the groundwater charge, Parties may be
requested to report production to the SBV WCD, as needed.
Non -Plaintiff Total SBBA Pumping (acre-feet) = total Non -Plaintiff pumping of the parties
for the previous complete calendar year, as recorded by the Western -San Bernardino
Watermaster.
II. Calculation of the Equitable Water Cost.
The equitable distribution of the water cost for sustainability will only be paid by the Non -
Plaintiff parties and shall be calculated, as follows:
Equitable Water Cost = Party Gap + Sustainability
where,
159/0150424001
10094328.32 MOM
Party G VA _ (Gapr999-63+GaPLast5Years) * SWP Cost
2
where,
(6ap1959-63+6aPW,, 5 Yoars) C 0, else Party Gap ($) _ $0
2
Gap 195m3 (acre-feet) = G WSY1959-63 + S W I959-63 - Demand Previous Year
Gap Last 5 Years (acre-feet) = GW SYLast 5 Years + S WLasI 5 Yeam - Demand Previo, Year + Net
New Recycled r e °„s Year
where,
GWSY1959-63 = local groundwater supplies available to a Party as a portion of their
base period safe yield.
The base Deriod safe vield for the SBBA has been proportioned amongst the Parties
as described below:
where,
GWSY3959-63 = Safe Yleldl959-63 — S W 1959-63
SW3959.63 = average surface water usage by a party from 1953-1963
Demand Paloas Year = total water demand calculated for the Party for the previous year
using published data, as approved by the Council.
GWSYLast 5 Years = local groundwater supplies available to a Party as a portion of their
current Safe Yield.
The safe yield of the last 5 years for the SBBA will be proportioned amongst the
Parties as described below.
where,
GWSYL.15 Years = Safe YieldLut.s Years — S WLaet 5 Year:
S WLast 5 Yeors = average surface water usage by a party within the last 5 years.
Net New Recycled Predoas year = The amount of recycled water from the previous year
minus Recycled 1959-63
why
Recycled1959-69 is the amount of recycled water used in the base period
Sustainability ($) = Water Use x (Total Equitable Water Cost — Total Gap ($))
where,
Water Use (%) = Party Water Use (acre-feet)
Total Water Use (acre-feet)
1591015042-0001
10094328.32 a01119/18
where,
Party Water Use (acre-feet) = the Party's total average water use over the past,
complete, 5 year period (surface water, groundwater, recycled water, imported water,
etc.)
Total Water Use (acre-feet) = Summation of each individual Party Water Use
Total Equitable Water Cost= Sustainable Amount x SWP Cost
where,
Sustainable Amount (acre-feet) = The amount of SWP water, in acre-feet, needed to
achieve long-term sustainability, which shall be obtained from the latest edition of the
San Bernardino Valley Regional Urban Water Management Plan, Average Scenario
for the latest planning year plus the published reliability factor, currently 10%
SWP cost Wacre-foot) = The cost for recharged SWP water as published in the San
Bernardino Valley Municipal Water District Resolution 888, as amended
Total Gap ($) = Summation of each individual Party Gap ($) for all Parties
Proportioning Safe Yield.
The Western -San Bernardino Judgment does not apportion the safe yield by water agency. The Parties
agree that, for purposes of this agreement, the Safe Yield will be apportioned, as follows:
Safe Yieldr9e9-63: The safe yield during the Base Period was proportioned as follows:
1591015042-0001
10094328.32 a01/19/18
Other Non -Plaintiff Extractions 55,412
Non -Plaintiff Total: 167,238
Safe Yieldr,„ 5 yea.: The safe yield for the previous 5, complete, calendar years shall be
proportioned based upon the total water use for each Party, as follows:
Safe Yields,,,, 5 Yms = Water Use X Safe YieldNo P1,m1fff,
Where,
Water Use is a percentage (%) and is defined above
Safe YieldN. rmmetta = defined by the Westem-San Bernardino Watermaster from time to time,
currently 172,745 acre-feet
Credit or Water. A party can provide a new regional supply for basin benefit and receive monetary credit
towards their Equitable water cost.
Credit for Water ($) = water provided for basin benefit x S WP Cost
where
Water provided for basin benefit = local surface water available to an agency that is controlled by that
agency and intentionally delivered for groundwater recharge into the SBBA or new recycled water an
agency is using to offset potable water use or is recharging into the SBBA above the amount of recycled
water that agency was utilizing during the base period
SWP Cost= defined above
III. Formula for Voting Weight. The voting weight for each Party will be calculated, as
follows:
Voting Weight = Total Party Cost
Total Costs
Where,
Total Party Cost = Equitable O&M Cost 14. rlamnst, + Equitable Water Cost
Total Costs = 0.7205 x O&M Costs + Total Sustainable Water Cost
The total sum of all of the individual Voting Weight values shall be equal to 1.0.
1591015042-0001
10094328.32 OVUM