STATE WATER RESOURCES CONTROL BOARD
RESOLUTION NO. 99 - 071 APPROVAL TO AMEND A WATER RECLAMATION LOAN TO AN SRF LOAN FOR RECYCLED WATER DISTRIBUTION SYSTEM CITY OF ESCONDIDO WATER RECLAMATION PROJECT STATE REVOLVING FUND LOAN PROJECT NO. C-06-4156-110 WHEREAS:

1. The State Water Resources Control Board, on August 18, 1988, adopted the "Policy for Implementing the State Revolving Fund (SRF) for Construction of Wastewater Treatment Facilities," and amended it on September 20, 1990, and January 21, 1993;

2. The State Water Resources Control Board, on June 18, 1998, adopted the State Fiscal Year 1998/99 SRF Loan Program Priority List which includes the City of Escondido Water Reclamation Project in Priority Class C;

3. The Division of Clean Water Programs (Division) has approved the previously submitted project report, environmental documents, and the City of Escondido's draft revenue program for the Water Reclamation Project;

4. The City of Escondido is a signatory to the "Memorandum of Understanding Regarding Urban Water Conservation in California";

5. This project received environmental clearance from the Environmental Services Unit on June 3, 1993. The project changes result in a reduced project and therefore represent a reduction in potential impacts previously addressed by existing environmental documents. With the understanding that no additional impacts or mitigation will result from these changes, staff has determined that the information and analysis in the previously prepared environmental documents is still valid and complete and no additional environmental analysis is necessary;

6. The SWRCB gave the City of Escondido a $36.5 million SRF loan commitment in federal fiscal years 1993, 1994, and 1995;

7. The SWRCB revised the loan commitment on February 19, 1998, to $28 million (based on lower eligible project costs), split funded the project with a $16 million SRF loan for tertiary treatment and a $12 million WRLP loan for the distribution system, and imposed sunset dates for Plans and Specifications Approvals; and

8. The estimated eligible project cost has been further reduced to $25 million.

THEREFORE BE IT RESOLVED THAT:

The State Water Resources Control Board:

1. Approves reverting the funding source for the distribution system from a WRLP to a Local Match SRF loan and increasing the present SRF loan commitment from $16 million to $25 million, with a repayment period of 20 years, and with the first repayment due one year after completion of construction; and

2. Will withdraw this preliminary SRF loan commitment if biddable Plans and Specifications for the entire distribution system have not been received by October 15, 1999. The Division of Clean Water Programs may approve up to a 90 day extension for good cause.

CERTIFICATION The undersigned, Administrative Assistant to the Board, does hereby certify that the foregoing is a full, true, and correct copy of a resolution duly and regularly adopted at a meeting of the State Water Resources Control Board held on July 15, 1999.

/s/
Maureen Marché
Administrative Assistant to the Board