ITEM 10: CONSIDERATION OF APPROVAL OF A RESOLUTION AUTHORIZING A STATE REVOLVING FUND (SRF) LOAN TO THE COUNTY OF RIVERSIDE FLOOD CONTROL AND WATER CONSERVATION DISTRICT FOR THE DRAINAGE WATER QUALITY MANAGEMENT PLAN FOR THE LAKE MATHEWS WATERSHED (LOAN NUMBER C-06-6011-110)

DISCUSSION: The County of Riverside Flood Control and Water Conservation District (District) has applied for a $20 million SRF loan for the Drainage Water Quality Management Plan for the Lake Mathews Watershed Project (Project). The Project objective is to address nonpoint source pollution in Lake Mathews and Cajalco Creek, which drains into Lake Mathews.

Funding will be used for construction of the following facilities:

• The Alexander Street Water Quality Wetland
  --A flow-through wetland to treat first-flush storm water and nuisance flows
  .
• Cajalco Creek Wetlands--A series of wetlands to provide diffusion, filtration, and treatment of storm water flows.
  
• Lake Mathews Estates Water Quality Pond--A first-flush diversion facility located downstream of the Cajalco Creek wetlands to reduce drainage pollutant levels from existing nonpoint sources and to mitigate the water quality impact of currently planned adjacent development.
  
• Cajalco Creek Sediment Basin--A mainstream sediment basin to collect bed load sediment emanating from a large tributary watershed further downstream from the above facilities and storm water flows bypassing the water quality pond.
  
• A Cajalco Creek Dam and Detention Basin--A facility to provide extended detention to further reduce nonpoint source pollution.
  

Lake Mathews is the terminal reservoir for theColorado River Aqueduct. Lake Mathews is owned and operated by the Metropolitan Water District (MWD) and provides drinking water for approximately 15 million people. The MWD supports the Project because it will provide structural improvements to reduce nonpoint source pollution from existing development, agricultural, and equestrian activities. During storm events, Cajalco Creek has high levels of coliform bacteria, heavy metals, oil and grease, suspended sediments, and pesticides.

Completion of the Project will allow additional development within the watershed by mitigating future nonpoint source impacts. This development will provide the means for repayment of loans. A Benefit Assessment District will be created for the Dedicated Repayment Source.

The District completed an Environmental Impact Report in December 1992 to comply with the California Environmental Quality Act. The District has also obtained a Clean Water Act (CWA) Section 404 permit from the U.S. Army Corps of Engineers, a CWA Section 401 Certification, a California Department of Fish and Game Section 1600 Streambed Alteration Agreement, and a State Division of Safety of Dams permit.

POLICY ISSUE: Should the State Water Resources Control Board (SWRCB) authorize an SRF loan of $20 million to the District to construct facilities for the Drainage Water Quality Management Plan for the Lake Mathews Watershed?

FISCAL IMPACT: According to SWRCB Resolution No. 97-001 (Approval of a Staff Proposal to Better Manage the SRF Repayment Account), the SWRCB may approve preliminary loan commitments against the current FFY account and against 125 percent of future repayment funds based on scheduled loan dates.

The SRF account balances, anticipated repayment amounts, and project approvals under consideration by the SWRCB in July 1997 are as follows:

	Loan No.	1997 SRF Account	1998 Repayment	1999 Repayment
Balance:		$91,120,080	$56,794,799	$63,633,739
125% Repayment			$70,993,499	$79,542,174
Previous commitment:			-$47,000,000	-$11,300,000
City of Riverside	6042-110	-$7,000,000
Riverside County	6011-110	-$20,000,000
East Bay MUD	4003-490	+$2,500,000	-$2,500,000
Jurupa CSD	4512-110		-$1,900,000
City of Bakersfied	4321-110	-$10,000,000
City of Placerville	4505-110	-$900,000
Balance after Approval:		$55,720,080	$16,993,499	$68,242,174

RWQCB IMPACT: None.

STAFF RECOMMENDATION: That the SWRCB approve an SRF loan of $20 million to the District to construct the facilities for the Drainage Water Quality Management Plan for the Lake Mathews Watershed.

JULY 8, 1997 DRAFT

WHEREAS:

1. The County of Riverside Flood Control and Water Conservation District (District) has requested an SRF loan of $20 million for the Drainage Water Quality Management Plan for the Lake Mathews Watershed (Project).

2. The Metropolitan Water District, the owner and operator of the Lake Mathews facility, supports the Project as a means of controlling nonpoint source pollution from existing development, agricultural, and equestrian activities.

3. The Project will mitigate the impacts of future developments.

4. The District completed an Environmental Impact Report to comply with the California Environmental Quality Act.

THEREFORE BE IT RESOLVED THAT:

The State Water Resources Control Board approves an SRF loan of $20 million to the County of Riverside FloodControl and Water Conservation District for the Drainage Water Quality Management Plan for the Lake Mathews Watershed.

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 17, 1997.

____________________________________
Maureen Marché
Administrative Assistant to the Board