STATE WATER RESOURCES CONTROL BOARD MEETING
FEBRUARY 20, 1997
SUBJECT: APPROVAL OF A STATE REVOLVING FUND LOAN FOR CITY OF RIVERSIDE, RIVERSIDE REGIONAL WATER QUALITY CONTROL PLANT, HEADWORKS PROJECT, STATE REVOLVING FUND LOAN PROJECT NO. C-06-4331-130.
DISCUSSION: In accordance with the State Water Resources Control Board's (SWRCB) Policy for Implementing the State Revolving Fund (SRF) for Construction of Wastewater Treatment Facilities (Policy), adopted on February 16, 1995 and amended on January 18, 1996, projects on the adopted priority list need SWRCB approval to receive a SRF loan. Loans can be approved by the SWRCB after the Division of Clean Water Programs (Division) has approved the facilities plan that includes (1) a project report; (2) environmental documents; (3) a draft revenue program; and (4) a water conservation plan.
The City of Riverside has received facilities plan approval from the Division for the headworks project. The City has agreed in writing with the Division's facility plan approval letter. Currently, the Riverside Regional Water Quality Control Plant (RWQCP) consists of two separate headworks and two separate secondary trains followed by a common tertiary treatment facility. The existing total design capacity of the plant is 40 million gallons per day (mgd) annual dry weather flow (ADWF). The RWQCP receives an average flow of about 33 mgd (ADWF) and about 69 mgd peak wet weather flow. About 14 percent of this flow is from the communities of Jurupa, Rubidoux and Edgemont that are outside the City boundaries.
One of the headworks is nearly 50 years old and at the end of its useful life. The other headworks is about 30 years old and has major operational problems related to its equipment. The performance of both headworks has become highly unreliable. The proposed headworks project will replace the existing two headworks (which have a capacity of 40 mgd ADWF) with a single new head-works with an eligible capacity of 44 mgd. The project also includes an inlet sewer alignment that will route the influent sewers to the new headworks; an influent flow metering and sampling; an odor control system; a septage and recreational vehicle wastewater receiving station; and a site security monitoring system.
The project site is located within the City of Riverside as indicated on the attached map. The estimated loan eligible project cost including engineering and administration allowances is $10 million.
The City of Riverside supplies its residents with potable water from its own ground water wells. According to the City's figures, there is adequate water supply over the life of the project (12 years). The City is also a signatory to the Memorandum of Understanding Regarding Urban Water Conservation in California, September 1991, California Urban Water Conservation Council. The City of Riverside has provided the Division with a schedule containing project milestones. These dates are included in the Division's facilities plan approval letter. The Division approved the City's final plans and specifications on December 31,1996. According to the project milestones, the City will initiate project construction on May 5, 1997. In accordance with section IX (J) of the SRF Policy, the resolution includes this date as a deadline for initiation of construction. The Division may approve up to a ninety (90) day extension for a good cause.
The City prepared a Mitigated Negative Declaration/Initial Study which was distributed to the public for review and adopted on May 14, 1996. The City filed a Notice of Determination with the Riverside County Clerk on June 3, 1996. When the SWRCB became a funding agency, the City circulated the environmental document through the State Clearinghouse (SCH# 96071098) for review from July 26, 1996, to August 26, 1996. During the review period, the City received comments from the State Integrated Waste Management Board. The comments concerned the City's preparation of two documents for what could be considered one project. The City considered the comments, but determined that since the relationship of the projects was disclosed in the CEQA documentation, no further CEQA review was required. The SWRCB will file an additional Notice of Determination with the Governor's Office of Planning and Research upon the SWRCB's approval of an SRF loan commitment for the project.
The City requests that the SWRCB approve a zero percent interest loan of $10 million for the project, with a twenty (20) year repayment period. The City Council of the City of Riverside adopted Resolution No.18997 which provides the State match funding equal to 16.667 percent of the eligible project cost of $10.0 million or about $1,666,700, based on the engineer's estimate. The first SRF loan repay- ment will be due one (1) year after completion of construction.
POLICY ISSUE: Should the SWRCB approve zero percent SRF loan funding for the proposed project including a twenty (20) year repayment period, with the first repayment due one (1) year after completion of construction? Should the SWRCB, in accordance with Section IX (J) of the January 18, 1996, SRF Policy, condition this approval requiring expiration of the preliminary loan commitment if the notice to the contractor to proceed with the project construction does not occur by May 5, 1997?
REGIONAL BOARD IMPACT: None
FISCAL IMPACT: Current SRF fund balance (as of January 1997): $276,453,377
Project approvals under consideration by the Board in February 1997:
Loan No. Amount
City of Corona 4461-110 $ 2,200,000
City of Davis 4360-110 $ 6,100,000
Los Angeles CSD 4001-220 $ 1,500,000
City of Pacifica 4121-112 $21,300,000
City of San Francisco 4025-252 $12,000,000
City of San Francisco 4025-260 $ 8,300,000
City of San Francisco 4025-420 $18,000,000
City of San Francisco 4025-451 $11,700,000
City of San Jose 4220-110 $50,000,000
Western Riverside CRWA 4442-110 $10,300,000
City of Riverside 4331-130 $10,000,000
City of Bakersfield 4321-110 $ 6,700,000
Irvine Ranch Water District 4455-110 $ 6,000,000-$164,100,000
New SRF fund balance, if all of the February 1997 proposals are approved by the Board: $112,353,377
STAFF RECOMMENDATION: That the SWRCB adopt a resolution approving a zero percent interest SRF loan of $10 million for the proposed project, with a repayment period of twenty (20) years, with the first repayment due one (1) year after completion of construction. In accordance with the January 18, 1996, SRF Policy, the proposed resolution includes an expiration date for this preliminary loan commitment if the notice to proceed date is not met.
STATE WATER RESOURCES CONTROL BOARD
RESOLUTION NO. 97 -
APPROVAL OF A STATE REVOLVING FUND FOR THE CITY OF RIVERSIDE, RIVERSIDE REGIONAL WATER QUALITY CONTROL PLANT, HEADWORKS PROJECT, STATE REVOLVING FUND LOAN PROJECT NO. C-06-4331-130
THEREFORE BE IT RESOLVED THAT
The State Water Resources Control Board:
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 February 20, 1997.
Administrative Assistant to the Board