I. RECOMMENDATION:
City Council is recommended to approve another two-year extension to the Interim Renewal agreement with the USBR water supply.
II. BACKGROUND:
This is the sixth interim 2-year extension renewal agreement to the original 40-year agreement with USBR that ended in 2008. Over the past 10 years, execution of a subsequent long-term agreement with USBR has been prevented by environmental issues associated with the National Environmental Protection Act (NEPA).
III. DISCUSSION:
By invitation of the USBR, the City of Coalinga is at the beginning of a process to enter into a new long-term contract pursuant to Section 4011 of the Water Infrastructure of Improvement to the Nation (WIIN) Act. Negotiations will begin sometime in 2019. The stated negotiation team for City of Coalinga is Marissa Trejo, City Manager; Ray Carlson, City Attorney’s Office; and Dan Bergmann, Consultant. Pursuant to the WIIN Act, the new contract must be complete in 2021.
IV. ALTERNATIVES:
None. The interim agreement must be signed to allow continued water supply to Coalinga.
V. FISCAL IMPACT:
None. Coalinga will continue to pay calculated, publicly posted, contract rates provided by USBR.
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