Loading...
HomeMy WebLinkAbout16 RESPONSE TO OC GRAND JURY REPORT 09-01-09Agenda Item 16 • Reviewed: AGENDA REPORT City Manager Finance Director NIA MEETING DATE: SEPTEMBER 1, 2009 TO: WILLIAM A. HUSTON, CITY MANAGER FROM: DOUGLAS S. STACK, ACTING DIRECTOR OF PUBLIC WORKS/CITY ENGINEER SUBJECT: PROPOSED RESPONSE TO ORANGE COUNTY GRAND JURY REPORT SUMMARY Attached for the City Council's consideration is a proposed response to a recent report by the Orange County Grand Jury titled "Paper Water -Does Orange County Have a Reliable Future?" RECOMMENDATION It is recommended that the City Council approve the proposed letter of response, and authorize the Mayor to execute the letter to the Orange County Grand Jury. FISCAL IMPACT None. BACKGROUND The 2008-2009 Orange County Grand Jury released a report titled "Paper Water -Does Orange County Have a Reliable Future?" The report summarized the Grand Jury's recent investigation of how Orange County's cities, water districts, residents and businesses are (or are not) addressing water supply reliability issues --- and their potential impact on residents' long-term quality of life. Attached for the City Council's review and consideration is a proposed letter of response. The letter has been prepared with assistance from the Community Development Department. Is S. Stack, P.E. Director of Public Works/City Engineer Fred Adjarian Water Services anager September 1, 2009 The Honorable Kim Dunning Presiding Judge of the Superior Court Orange County Superior Court 700 Civic Center Drive West Santa Ana, CA 92701 Subject: Orange County Grand Jury Report: "Paper Water: Does Orange County Have a Reliable Future?" dated June 19, 2009 Dear Judge Dunning: The City of Tustin [City] is in receipt of the Orange County Grand Jury's letter dated June 19, 2009 concerning its findings in the report titled "Paper Water: Does Orange County Have a Reliable Future?" The City thanks the Grand Jury for their study of the reliability of Orange County's water supplies. The City does not disagree that there is a water supply problem affecting the state and Southern California at this time. However, the City disagrees with several of the Grand Jury's findings and recommendations. Our primary disagreement stems from the fact that the solution to this problem is outside of Orange County's immediate control. A federal judicial ruling in 2007 known as the Wanger Decision and resulting biological opinion reduced Southern California's imported water supply reliability an estimated 30- 40% in a single day. This critical decision has exceedingly complex and costly consequences for the future of both Orange County and Southern California's imported water supplies. Please note that the City's responses incorporate by reference the background and educational elements contained within the detailed response prepared by the Municipal Water District of Orange County (MWDOC); City staff participated in the preparation of this response. Following are the City's responses to the Grand Jury's Findings (F-1 through F-4), and Recommendations (R-1 through R-4): Grand Jun/ Findings F.1: There is inadequate coordination between local land use planning agencies and local water supply agencies, resulting in a process that fails to fully engage the issues. Response: The City of Tustin disagrees with the finding and believes that adequate coordination currently occurs between Tustin's local land-use planning agency and local water supply agencies. The City believes that the existing, coordinated process supports a full review of the issues related to a proposed development project's impact upon the water supply or service. Two water agencies currently serve Tustin; City coordination with bofh agencies is essential because of their specific water expertise. Both of Tustin's water supply agencies are knowledgeable of a proposed development project's water resource needs, the regional utility service demand, and both are regularly apprised of any larger, state-wide water supply concerns. Given their significant level of expertise and access to current information, the City's water supply agencies are best equipped to provide input to the City regarding a proposed development project's potential impact (if any) upon the available water supply or service. F.1 (a): Water agencies have tended to avoid interfering with or participating in growth- managementdecisions. Response: The City of Tustin disagrees with the finding and is unaware of any water agency acting in this manner. F.1 (b): Cities and the County have tended to not critically evaluate the limitations of the water agencies' supply projections. Response: The City disagrees with the finding. The local land-use agency does not have the expertise or access to current data to independently generate nor critically evaluate the limitations of the water agency's supply projections. The local land-use agency must continue to rely upon the expertise of the local water supply agency for this analysis. To require the local land-use agency to critically evaluate information provided by the water supply agency would be duplicative, costly and ultimately unnecessary. Further, the City complies with state law that requires local cities to communicate and coordinate with the local water supply agency. Per Government Code Section 10910, the California Environmental Quality Act (CEQA), and California Planning and Zoning Law provides a process and framework for local land-use planning agencies and local water supply agencies to utilize when investigating and concluding whether a sufficient water supply exists for planned development projects. F.2: California's looming water supply crisis receives very little, if any, expressed concern from the public in comparison to the numerous other environmental issues presented during development project reviews. Response: The City partially agrees with the finding. The City and the Orange County water industry have many communication and outreach avenues which are effective in informing the public. For example, the City and the water industry have collectively advertised itself as the "Family of Southern California Water Agencies," and promoted "Bewaterwise.com" to get the word out on the current water supply situation, along with water conservation tips and opportunities. In addition, the City utilizes bill inserts, newsletters and websites to inform customers about important water issues. The City also participates in meetings of a Public Affairs Workgroup sponsored by the Municipal Water District of Orange County (MWDOC) to develop message points for use by retail water agencies. F.2 (a): Orange County's citizens and interest groups do not appear to grasp the seriousness of the water supply situation or the complexity and urgency of the necessary solutions. Response: The City partially disagrees with the finding. It is our experience that Tustin citizens are intelligent, interested individuals who keep apprised of local and regional issues and act upon this information in a responsible and urgent manner, once the seriousness of the water supply situation and urgency of the necessary solutions is made clear. In addition, for the past several years, a Tustin City Council member has actively participated on the Water Advisory Committee of Orange County to enable the City to stay informed about issues affecting Orange County's water supply reliability (e.g., the Wanger Decision). F.2 (b): Several recent, substantial water supply awareness efforts are underway (e.g. the OC Water Summit) that show promise but appear targeted to audiences that are already informed. Response: The City of Tustin partially agrees with the finding. Recent polling conducted by MWDOC to track water industry messages and the understanding of the public indicate that a high percentage of consumers understand there is a drought (76%). Furthermore, 78% indicated they would change their water using habits to conserve to prevent water rationing, and 67% believe that their local water agency does an effective job of keeping them informed about water supply. The City also believes that a high percentage of the public are engaged because of recent actions such as the run on rebates for water conservation devices, which exhausted available funding from the Metropolitan Water District of Southern California (MWD). Following is a summary of several on-going outreach efforts in which the City is an active participant: • In June 2008, the Public Affairs Workgroup developed a comprehensive, strategic communications plan that incorporated public education, strategic partnerships with the business community, and specific marketing techniques. The plan complements and enhances the major conservation media campaign implemented by MWD in 2007 to increase public awareness of the drought and related water supply issues. • For many years, City council members, local business leaders and educators have participated in MWD sponsored tours of major regional and state water facilities to learn about key water issues. • The City also actively participates in both the MWDOC and Orange County Water District (OCWD) school education programs to increase awareness of water issues by students and their families. F.3: LAFCO is the agency charged with facilitating constructive changes in governmental structure to promote efficient delivery of services. To this end, LAFCO is conducting a governance study of MWDOC which is the designated representative for nearly all the Orange County retail water agencies, acting on their behalf with their surface water supplier Metropolitan. F.3 (a): There are a number of points of governance disagreement between MWDOC and several of its member agencies. This is creating an impediment to the on-going effectiveness of these agencies in critical areas of Orange County's water supply management. F. 3 (b): The current disagreement is a distraction from the greater good of the agencies working toward Orange County's water future. F.3 (c): The stakeholders in LAFCO's study failed to meet their March 11, 2009 deadline for LAFCO's public hearing on this matter. Continued delays are unacceptable. Response: The City agrees with all of the findings. The City has actively participated in the stakeholder meetings facilitated by LAFCO for the MWDOC Governance Study. The City will continue to monitor and provide input as appropriate as LAFCO's study process continues forward. F.4: Orange County is uniquely fortunate to have a vast, high quality, well-managed groundwater basin serving its north geographical area. However, in its south reaches, it has an equally large, high-growth area with virtually no available groundwater resources. Response: The City agrees with the finding. F.4 (a): The difference in groundwater availability creates a "haves versus have-Hots" situation that is conducive to inherent conflicts. Response: The City agrees with the finding, since this situation has been the case for many years. To allow south County water agencies access to the Orange County Groundwater Basin (Basin) would require legislative modification to the Orange County Water District Act. F.4 (b): The difference in groundwater availability provides opportunities for responsible participants to develop and construct long-term solutions which will benefit the entire County. Response: The City partially disagrees with the finding. Use of storage in the Basin is allowed only by agreement with OCWD. The OCWD is responsible for managing the Basin. OCWD has entered into storage arrangements that allow MWD to store up to 66, 000 AF of imported water, and to recall as much as 20, 000 AF out of this same storage in any one year. This additional yield out of storage benefits water users in Orange County and southern California. Also, in February 2006, an Emergency Services Program Agreement was also developed by OCWD that allows emergency wafer supplies from the Basin to be exchanged with water agencies in south Orange County. Specifically, this program allows the conveyance of water to south Orange County during emergency situations. Allowing access to the lower cost groundwater outside of the Basin, or allowing access to more storage by south County agencies would increase the cost to the City and other Basin agencies and put the Basin agencies at risk. Grand Jury Recommendations R.1: Each Orange County municipal planning agency, in cooperation with its respective water supply agency, should prepare for adoption by its city council, a dedicated Water Element to its General Plan in conjunction with a future update, not to exceed June 30, 2010. This document should include detailed implementation measures based on objective-based policies that match realistic projections of the County's future water supplies. These objectives, policies and implementation measures should address imported supply constraints, including catastrophic outages and incorporate the realistic availability and timing of "new" water sources such as desalination, contaminated groundwater reclamation, and surface water recycling. Response: This recommendation will not be implemented because the City of Tustin already prepares an Urban Water Management Plan every five years. Also, MWD prepares an Urban Water Management Plan, an Integrated Resources Plan and a Water Supply Outlook. In addition, the City's adopted General Plan currently includes a Conservation/Open Space/Recreation Element that notes the constraints associated with essential natural resources (including water) and sets forth goals and policies that further the protection and maintenance of these natural resources. The City's Conservation/Open Space/Recreation Element encourages many water conservation goals and measures including protection of domestic groundwater supply, conservation, expansion of reclaimed water production and use, coordination of water quality and supply programs with responsible water agencies, and cooperation and participation in water quality and supply plan preparation and programs. Collectively, these documents already provide the information suggested in the Grand Jury's report. The proposed Water Element is not mandated by state law to be included in a City's General Plan. Current state law grants cities the discretion to choose which additional optional elements should be included in a General Plan. The Grand Jury does not have the authority to supersede state law and mandate that cities adopt an additional General Plan element. In addition, if state law were to be adopted mandating cities to adopt a Water Element as part of the General Plan, adoption by June 30, 2010 would be unrealistic. Existing state law prohibits a City from amending its General Plan more than four times a year. Past General Plan amendments would preclude many cities from meeting the proposed deadline. R-2: Each Orange County retail and wholesale water agency should affirm its responsibility to develop new, additional, innovative public outreach programs beyond water conservation and rationing programs, to expose the larger issues surrounding water supply constraints facing Orange County. The objective should be to connect the public with the problem. The outreach effort should entail a water emergency exercise that simulates a complete, sudden break in imported water deliveries. The exercise should be aimed directly at the public and enlist widespread public participation on a recurring basis beginning by June 30, 2010. This recommendation may be satisfied by a multi-agency exercise but the inability to coordinate such an event should not preclude the individual agency's responsibility. Response: The recommendation has already been implemented by the City which addresses both public outreach and emergency planning. From a public outreach standpoint, the City and water industry communications systems already in place provide sufficient opportunities for the public to be informed about key water conservation and supply issues. In terms of emergency planning, the scenario involving a complete sudden break in imported water deliveries was a component of the Golden Guardian exercise sponsored in 2008 by the State. The Water Emergency Response Organization of Orange County (WEROC) was an active participant in this important statewide emergency test exercise. R-3: Each MWDOC member agency should reaffirm to R AFCO that it will assign the resources necessary to expediently resolve regional governance issues. While the subject study is being facilitated by LAFCO, the options are with the agencies to decide what is best for all. Once conclusions are reached, the parties need to agree quickly and, hopefully, unanimously to adopt a course of action. Response: The recommendation has already been implemented by the City. The City has actively participated in the stakeholder meetings facilitated by LAFCO for the MWDOC Governance Study. The City will continue to monitor and provide input as appropriate as LAFCO's study process continues forward. R-4: Each Orange County retail and wholesale water agency should affirm its commitment to a fair-share financial responsibility in completing the emergency water supply network for the entire County. The entire County should be prepared together for any conditions of drought, natural or human caused disaster, or any other catastrophic disruption. WEROC should commence meetings of all parties, to facilitate consensus on an equitable funding/financing agreement. Response: The recommendation has already been implemented by the City. WEROC was established to conduct emergency planning and preparedness at the regional level, and respond to disaster type events that could impact the City as well as other water and wastewater agencies within Orange County. WEROC participates with regional and statewide emergency planning forums as well. The City also has an emergency plan and periodically conducts activities to be in a state of emergency preparedness. In addition, the City maintains emergency interties with neighboring water agencies to allow water to be moved back and forth as needed during emergency situations. The City trusts that the submittal of this response letter demonstrates our intent to work in full cooperation with the Orange County Grand Jury. Please call Fred Adjarian, Water Services Manager, at (714) 573-3381 should you have questions, or require additional information. Sincerely, Doug Davert, Mayor City of Tustin C: Honorable City Counal William A. Huston, City Manager Douglas Holland, City Attorney Douglas S. Stack, Acting Public Works Director/City Engineer Elizabeth Binsack, Director of Community Development 'Paper Water" -Does Orange County Have A Reliable Future? Summary "Paper water" is an illusion. It is a term used in the water industry that represents an entitlement, exist- ingonly on paper, which agencies can expect to receive from state and federal water prgjects based on pro- jections and expectations. The gap between allocated "paper water" and available "real water" can be dramatic. This term may succinctly define Orange County's water future as judicial rulings systemati- cally continue to remove available supplies from the reach of Orange County's consumers. 'i'he Grand Jury has learned from multiple, expert sources that Orange County's watc;r supply is very vuhlerable to extended outages from catastrophic disruptions and other long-teen system failures. "These are issues above and beyond concerns of drought. Critical parts of the water supply infrastructure upon which much of California and Orange County relies is in a deplor- able state of disrepair and neglect. The Grand Jury investigated how Orange County's cities. eater districts, residents and businesses are-or are not planning for and responding to a profound redistri- bution of water supplies away from Orange County, with the potential of affecting its residents' quality of life for generations. The following excerpts from this report highlight some significant issues that led the Grand Jury to reach conclusions from which it has posed a series of ke_y findings and recommendations: On the State Water Project... "Predictions are fora 67% chance of drastic levee failures sometime during the next 2S years. In a seismic failure, sci- entificmodels predict massive areas of the Delta inundated with a reverse, flow of secnvater .from the San Francisco Buy. Fresh water in the Delta will be rendered useless for agri- cultural irrigation. Moreover, the drinking water supply to southern California would be destroyed for two to four years, or longer. " On water from northern Califor- n~a... "..:for the first time in Metro- politan's BIl-year history, the agency is projecting a sig- nificant draivdmvn in its water reserves.... Metropolitan's water reserves are being rap- idly depleted and the ability to refill its reservoirs has fiecome increasingly problematic. " On water from the Colorado River... "The assumption tlz~rt ... we fvill continue to.find new sources of water ... is wrong. Those days are over .... Every source of water coming into southern California from afar ... is increasingly unreliable. " On coordination of laaid-use planning with water resources plan- ning... "... land planning and wa- ter resources planning have distinctly different, highly complex parameters that drive their technical analyses and decision-making processes. The unique complexities of these professions tend to deter either side from interacting effectively. " On public awareness... "...the residents of Orange County do not seem to under- standthe perilous conditions within which tl:ey live. Orange County water consumers have not, to any significant decree, experienced long-duration water supply outages. The public's consideration for water supply typically starts and stops at the faucet handle as they expect, with every turn, dependable delivery gfhigh- yuality, safe, clean water. " On water reliability for south Orange County... "Approximately 9 ~ percent of south Orange County's water is imported from northern Culifi~rziia and the Colorado River and ... sent 35 miles to south Couzzty via two, aging pipelines, traversing active seismic faults. " On emergency water supply planning .. . "The current emergency relief through Orange County water reliability planning is approxi- mately ... 1 // percent of what is needed. /The remainder/ will arrive when a planned array of pump, pipeline, treatment and reservoir projects is hunt ... as well as [having) available brackish and seativater puri- fication systems ... for south Orange County. " 2008-2009 Orange County Grand Jury Page 1 "Paper Water" -Does Orange County Have a Reliable Future? On Orange County's groundcva- ter resources... "Water experts ... univer- sally praise the innovative and effective methods by wl:ich Orange (.'ounty has protected and managed its innate water resources. In particular, its groundwater ac/ttifer is att in- credihly rich natural resource that is the envy of many areas in the country challenged by depleted and damaged water tahles. " On the govcrnarice of Orange County's fragmented, autonomous water resources agencies... "The MWDOC memher agencies need to resolve t{teir differences and dedicate themselves to a unified vision, whet/ier it he continuing with MWDOC' under a modified agreement or creating a new, unified, County-wide water authority. " "phis report offers several ways to strengthen government processes whereby the residents and decision makers of Orange County will be knowledgeable about the County's water supplies. It also pinpoints areas needing attention by water agencies to become as prepared as possible for any potential adverse water supply event. These issues are discussed more fully in this report. It is important to recognize that the Grand Jury found all the agencies it contacted to be performing their duties profession- ally and with due diligence. This is reassuring but it neither solves the underlying problems nor absolves the officials. More needs to be done. Reason for Investigation News reports and alarming warnings from knowledgeable wa- ter officials throughout California have raised serious concerns: (1) Supply deficiencies are becoming critical due to a prolonged drought. (2) Court rulings intended to pro- tect environmental impacts in the Sacramento-San Joaquin .Delta and redistribute water rights from the Colorado River have forced drastic supply cutbacks. (3) Water dcliven' infrastructure is in a precarious and deteriorating condition and subject to severe damage in the event of seismic and other natural forces. "i`he current, unusually severe economic contraction affecting the home-building market has slowed population growth statewide. if conditions were different, a more controversial public policy debate would likely be occurring over the accuracy of adequate water supply projections to serve these develop- ments. This situation is in dramatic contrast to major projects receiving environmental approval even as re- centl~ as within the past five years. "I'he Grand Jury reviewed environmental and planning docu- ments that were approved ir1 2004, for 14,000 homes in southern Orange Count`•. Water supply for this extensive, planned community received virtually no overt concern aside from a brief discussion to ad- dress growth-inducement and emer- gency outages within the supplying water district's system.' No com- ments on water supply were found from any environmental agency, in contrast to the project's extensive debate over traffic/transportation and 8ora/fauna impacts. Accurate water supply projec- tions are elusive at best and are the reason we are in our current situation. A "water emergency" is a result of a complex interrelated series of actions and conditions. Conservation -and then rationing - are the first steps in controlling the situation. however, increased demand is inherent in population growth. Legislation was enacted within the past eight years to in- crease the responsible coordination between approval of projects that induce growth in population and identification of water supplies to support increased.demand. Cali- fornia Government Code Sections 6645.3 and 66473.7 requires iden- tification of adequate potable water supplies to serve a planned devel- opment project based on at least 20 years of historical data. California Water Code Sections 10631, 10656, 10910, 10911, 10912, 10915 and 10657 require Water Supply As- sessments (WSA's.) These laws, commonly referred to respectively as SB 221 and SB 610, are viewed by some as enviromnentalist-driven mechanisms for curtailing growth.' Other water experts involved with the crafting of these bills have indicated that the legislation does not go far enough since only projects over 500 dwelling units are required to comply with these laws. Regardless, these measures have helped to place a greater im- portance on responsible plamling, identifying dependable, long-teen water supplies preceding major development approvals. This seems not only reasonable but responsible. T'he Grand Jury desired to assess the following: • whether and to what extent the Count,~'s water supplies are vulnerable to major dis- ruption • to what extent the residents and decision makers are aware of the County~s water supply conditions • how the development project Page 2 2008-2009 Orange County Grand Jury "Paper Water" -Does Orange County Have a Reliable Future? approval process is conducted in Orange County with re- spect to water supplies what measures are being taken by water managers to ensure the integrity o~f the C'owlt_v•s water delivery systems how public awareness, the project review process and the County's water system integ- rity may be strengthened Method of Investigation As part of this investigation, the Grand Jury researched numerous documents obtained from expert sources and interviewed representa- tives of numerous agencies. Agen- cies and their staff consulted during this study included the following: • Major water retailers (water districts and cities) both in Orange County and adjacent counties • Water wholesalers such as the Municipal Water District of Oratlge County (MWDOC) • Groundwater purveyors both inside Orange County and in adjacent counties • local agency planning depart- ments • Renowned academic authori- ties who have studied Califor- nia•s unique water resources issues for decades. 'the Grand July visited a number of local facilities that have demonstrated innovative means of producing "new" water such as Or- ange County Water District's (OC- WD's) Groundwater Replenishment Svstcm and Irvine Ratlch Water Districts Dcep Aquifer Treatment System. It observed the state of southern California's ~',-'ater supply on a three-day inspection of the immense State WateC Project. This system, along with the Colorado River Aqueduct, conveys at least ~U percent of the water consumed by Orange County. The study included review of authoritative textbooks and documentaries that provided an overview of cur- rent conditions as Orange they affect Orange Couuty. the region and the nation. From these Inter- V10WSand In Vetihga_ San Gabriel Basir t 0,000 AF tID11S, a repetltlVe MET`Naterto pattern Of COnCern Barrier 5,000 AF emerged over ocwD eosin many key ISSUeS. Groundwater 360.000 AF used They were seen to threaten the avail- ability of adequate Inatlental Rechar 46,000 AF (e water supply to support California's growth. Background and Facts Organizational Structure Delivering Orange County's Water Supply Orange County relies heavily on imported water for its on-going supply as well as much of its groundwater storage replenishment needs. F~xhibit A depicts the sources of supply and How volumes. Im- ported water from Metropolitan Water District of Southern Cali- fornia (Metropolitan) constitutes over one half of Orange County's supply. Metropolitan pumps its supply through aqueducts from the State Water Project in northern Califor- niaand through pipelines from the Colorado River along California's easterly border with Nevada and Aricona. Persistent drought condi- tions have compromised the State Water Projects as well as the Colorado River's supplies. Res- ervoirs and dammed storage have Water Colorado River Direct Replen 0 AF ~ ants Ana Rrver 213.000 A,F ~ Santiago Ck. ~~ 5 000 AF (est. ) AF Small Local Pasins 4.000 AF Recycled Water 6e 36,000 AF Irngation, etc. st.) 18.000 AF into GW Basin Most of the immediate impact of this has been seen in cutbacks for agricultural uses and groundwater replenishment. Added concerns have arisen most recently over the December lit, 2007 ntling by U.S. District Court Judge Oliver W. Wangcr in what has become known as the "Wangcr Dccision•' (Case No. l:U~-cv-1207 OWW GSA) which adversely affects the State Water Project. The Colorado River water allocations have also suffered significant court decisions adverse to southern California. Exhibit B depicts how water is distributed within Orallgc County. MWDOC is the predominant intermediary that buys imported water from Metropolitan and sells it to Orange County's retail water agencies (cities and special dis- tricts). Note that OCWD is a major provider of grouiidwnter only, generally limited to the cities in the north Orange County area. Exhibit C demonstrates ho~a widespread MWDOC's influence is 2008-2009 Orange County Grand Jury reached reduced levels that are worrisome. Diamond Valley Lake. Metropolitan's newest reservoir built to provide emergency stor- age, is today less than one-half full. Exhibit A County Water Supply Sources in FY 07-OS State Water Metropolitan Pro)ecl ~ 'hater District (MET) 258.000 AF Regular D AF In-Lieu Replen Page 3 "Paper Water" -Does Orange County Have a Reliable Future? Orange County's Precarious Water Systems ocwn ~n+ u~ l~ e ti:i11 •~1INII ~ CJ u I;»%nl 0 y atL•Ihln ~ ,, , ~ Ra.iu . ~~huhet lyd tl alH' al~~g t__ ___ _. _._. Rec~•ded tt'xtw• C~IOwId>~afer 1,1 etr~polltan \y:a el Dislricl ['ulolallo Iticpr Aganlud w»ter t2et»Iln• j Galeral flan _~._ __- St»Ir~\'»tet S'f•ujrit Orange County's water supplies, from all imported sources, are in great peril. Metropolitan has de- veloped an extensive infrastructure backbone to bring water to southern California. It is the predominant supplier of imported water to every area within Orange County. These supplies are completely dependent on rivo primary, man-made convey- ances: (1) t1Te State Water Project Which taps the Sierra Nevada IYlOUntaln range SnOW melt In north- ern California and (2) the Colorado River Aqueduct which intercepts Exhibit B in Orange County. M W DOC repre- sents nearly every water agency in Orange CowTt} on the Metropolitan Board of Directors. However, three cities (Anaheim. Fullerton and SaIT- ta Ana) are direct member agencies to Metropolitan. MWDOC's role as the wholesaler to every corner of the County is v~ important facet of this investigation. Exhibit D (on the follow- ing page) depicts the general boundaries of the Orange County groundwater basin administered by OCW D. This water is accessible. by law, only to cities and special districts overlying the i~0-squarc- mile service area that serves 75 percent of the County~s three million residents. Typically, the agencies with groundwater rights draw approximately two-thirds of their supplies from the groundwater basin and purchase their remain- ing demand from Metropolitan via MWDOC. Three cities (Anaheim. Fullerton and Santa Ana) purchase dicir water fraln Metropolitan directly. a ~.,~~ ~1 ..~, ~..~.~. w ,...,.. ., m ~~ _ .~. ,v. ~. 0 ~~ ~m ...~, ..:,;e, Nn ®Mwa ( CYnwr u:e ss _ ux~~c.x am-R ~,~,~.; i CJ Eva amve ~;w~x, E4av. ^m~~l:,k,,,..... (~ 4~~e~~.~, ~.~~, ~~ 9rr..'u M.M.^.t ~v: ~_~6Je kab~ ~hM~~ :...:.:.. :. .....: i. Fri t; Y!.ti . ,... ., ._ . ,1 _ MWDOC Service Area and Member Agencies Page 4 Exhibit C „~. s . ~.. 2008-2009 Orange County Grand Jury "Paper Water" -Does Orange County Have a Reliable Future? ~,.~„ ...;.~ ., ~~:~ ,~ ._ .. , Y i~,~ ~ ~ I I '.; . ~ , ~' • ~ A. t 1 r ~ .._ Exhibit D runoff from the west slopes ofthe Rocky Mount<1ins, as far nortJt as Wyoming, via the Colorado River. The current water supply situa- tion in Mctropolitatt~s service area and throughout the state of Califor- nia is critically tenuous and signals 2007-2009 as one of Califomia~s most severely-dry three-year periods in over 100 years. In ad- dition to the lack of precipitation in early 2008, the following warrn spring season resulted in early depletion of the mountain snow- pack. "Phis is considered the largest '7cservoir" for Califomia's water supply to see the state through the ensuing seasons. Without a substantial snowpack leading into spring_ California must rely on its man-made reservoirs and stored groundwater to survive the dry seasons. Even though 2009 snow pack achieved 80 percent of normal volume, it cannot overcome the depletion caused by the two, previ- ous, record-low years, especially when hobbled by the court-enacted pumping restrictions. Until now, consumers' conservation efforts, combined with water manag- ers' programs to install low-flow fixhrres, agricultural usage cutbacks and other restrictions, have been effective in substantially reducing consumer demand. Unfortunately, this has finally fallen shorC and local water agencies are predicting a 50% likelihood of embarking on water rationing as summer 2009 approaches. In fact, several agen- cies have already instihrted the first stages of rationing as a result of Metropolitans adopted Water Supph~ Allocation Plan which takes effect,luly 1,2009. The 2008-2009 Crand Jury is extremely concerned that residents, planners and decision makers in Orange Counh• are not doing enough to recognize and publicize the perilous condition of our water supplies. "they are not giving this issue adequate consideration in the process of approving plans for the growth of Orange County. The State Water Project Metropolitan, on average. does not have sufficient water supplies to meet demands. Watersheds arc currently providing 650 thousand acre-feet (about 212 billion gallons) lower than normal runolT due to reduced rainfall and snowpack. 'i'he Wangcr Decision ordered the State Water Project to reduce pumping from the Sacramento-San Joa- quin River Delta due to identified, adverse environmental impacts on a threatened fish species, the Delta smelt. In April, 2008, Judge Wangcr issued a second ruling, further cutting water exports to protect the declining populations of Chinook salmon ' Judge Wangcr•s rulings resulted in Metropolitan curtailing delivery of 500 thousand acre-feet (about l63 billion gallons) of water from nortttem California in 2008. These lost resources would have pro- vided water for over seven million Californians for a year. As a result. for the first time in Metropolitans 80-year history, the agency is projecting a significant drawdow~n in its water reserves. Before the Wangcr Decision, projections were for surplus conditions 70 percent of the time and reserve drawdowns re- quired 30 percent of the time. Now. this projection is reversed with surplus conditions expected 30 per- cent ofthe time and drawdowns 70 percent of the time. Metropolitan's water reserves are being rapidly depleted and the ability to refill its reservoirs has become increasingly problematic. 2008-2009 Orange County Grand Jury Page 5 "Paper Water" -Does Orange County Have a Reliable Future? Located in Califoniia~s Butte Counh. Lake Oroville is the farthest upper reach of the State Water Project. Exhibits E-l and E-2 provide a startling contrast of the drastic changes that had occurred in fewer than three years. In Febru- ary 2009, Oroville Dam's storage was at 30 percent of its capacity. Because ofnear-average precipi- tation this year, the reservoir has recovered to nearly 60 percent o~f its capacit<. But even with some gains in rainfall and snowpack in 2009, conditions are still below normal and the drought continues to stiftc the buildup of reserves. No State Water Pro-ject water delivered to southern California and Orange County arrives with- out traversing the Sacramento-San Exhibit E-1 Joaquin Delta (Exhibit F, on the following 1~1ge). The Delta is a convergence of five major rivers in the Central Valley which have been tamed by mining and agricul- tural operations dating back to the mid-l9th century. "this was accom- plished by building what is now an 1,100-mile "spider web" of pre- dominantly privately owned, non- engineered, earthen levees. From its accumulated data. Metropolitan has asserted the following with regard to the Delta: • "There have been at least l66 documented levee failures over the last 109 years, caus- ing geotechuical experts to describe the situation in a rather cynical manner: "There are two types of levees in the Delta. There arc those _.,,x., -~-~~. +. ..~.~ ~ _ _ •.r Exhibit E-2 - r ~y~ vT" ~~r LsxYka ~: w.n_ that have failed and there are those that wi// fail. • Predictions are fora 67% chance o{'drastic levee failures sometime during the next 2~ years. Most likely, the failures will be associated with either a 6.7 or greater magnitude seismic event, severe earth subsidence or a 100-year intensity flood. • In a seismic failure, scientific models predict massive areas of the Delta inundated with a reverse flow of sea~sater from the San Francisco Bav. Fresh water in the Delta will be rendered useless for agricul- tural irrigation. Moreover, the drinking water supply to southern California would be destroyed for two to tour years, or longer. • 'the potential for calamity has been recognized by recent Legislature budget discus- sions. It also lias received a high priority with the Gover- norwhen he created the `'Blue Ribbon "Task Force'" that led to the 2007 Delta Vision report However, action for urgent, preemptive levee res- torations has not materialized. Even without a catastrophic incident, experts are forewarning of major, long-range degradation of the Delta ecosystem. Califomia needs to prepare for the inevitable end of the Deltas role as a massive drinking water conveyance as its salinity increases to non-potable, brackish levels.' The Colorado RiverAqueduct The original allocations of Colorado River water to the south- ~vcstern states and Mexico were sealed by the 1922 Colorado River Compact and the Boulder Canyon Page 6 2008-2009 Orange County Grand Jury "Paper Water" -Does Orange County Have a Reliable Future? Exhibit F Map of the Sacramento-San Joagvln Delta and Suisun Marsh ~!:M"F~MFI~I „ . ,.. i V• e.. wauH ~,~~ ,~~,M ~ ..~ ~~,,~ Y .. ~' ~, .e a ... t L,v, `. ~.. .~ .. ~v~ ~^4t ~\- a ... ... ~~ , W w ,.. .... . ... ~ Project Act of 1928. In retrospect. water planners today recognize that those allocations were based on overly optimistic assumptions. T'he historical hydrographic data of that time was unusually wet. Also, the population projections for all the now clearly-identified high-growd~ areas afthe southwestern states, and southern California in particu- lar- were notoriously short sighted.`` "two critical forces have created major problems for the viability of the Colorado River. (I) The Colora- do River Basin at Lake Powell has been suffering from severe drought conditions since October 1999. (2) The 2003 Colorado River Quan- tification Settlement Agreement, involving Metropolitan. San Diego Cocmty WaterAuthority, Coachella Valley Water District, Imperial lmgation District and numerous other federal, state and regional agencies and interest groups have redistributed the available water within southern California. Deliver- ies to Metropolitan are down some 400,000 acre-feet (130 billion gal- lons) as a result. Considering the plight of our Colorado River allocation. Dr. Peter Gleick, President of the Pacific histitute, in 2008, observed the following: "The assLnnption that southern California can grow as much as it wants and that we will continue to find new sources of water ... is wrong. Those days arc over.... Even' source of watc;r corning into southern California from afar ... is increasingly unreli- able.-,., Researchers have posed the con- cern whether the Colorado River, which provides up to three-fourths of Metropolitan's supply, will cease to be a viable water source within the next 20 years. Recently, U.S. Secrctan• of the Interior Ken Salazar of Colorado- when he was a Scnatc member of the Energ} & Natural Resources Commission_ asserted that water in the United States has always been taken for granted. As a result, as might be expected, the only time people ^nderstand the importance of water is when they don~t have it. In sum- mary, experts have sent this warn- ing: "The water crisis is much more significant to the world than is the energy crisis... "i'ry living without water... it doesn't work_"' The following is a synopsis of comments uncovered by the Grand Jury in the context of the future of the Colorado River: • Mark Pisano, past Executive Director of the Southern Cali- forniaAssociation of Govern- ments, in the context of water supplies, predicted the fol- lowing: `We're going to grow differently in this century than we did in the past century.... [L]arge regions are going to 2008-2009 Orange County Grand Jury Page 7 "Paper Water" -Does Orange County Have a Reliable Future? have to be much more sensi- tive to what supports them en- viromnentally so that they're sustainable ... and if they're not sensitive to (this] they~re going to have real difficulty."~ • Secretary Salazar stated that, in communities where there is not a dependable, long- term source of water, there will be "... an explosion of controversy because land-use planners have not done what they should have done."`~ • Scripps Institution of Ocean- ography researchers Tim Bar- nett mid David Pierce, wrote a paper, When will Lake Mean! go dry?, that was accepted for publication in the journal Water Resources Research, by the American Geophysical Union. Then concluded that. because of allocation de- mand, aggravated by climate changes, the reservoirs on the Colorado R.ivcr system will never fill again. They further predicted that there is a 50-percent probability Lake Mead will be dry by 2021. Barnett stated that they "... were stunned at the magnitude of the problem and how fast it ryas coming at us.... Make uo mistake, this water problem is not a scientific abstraction, but rather one that wilt impact each and every one of us that live in the Southwest."5 Environmental Consequences One internationally acclaimed water resources expert has experi- enced and analyzed the et~'ects of severe water shortages worldwide. Ele offered what he considers to be one of the earliest signs and one of the most tragic long-term, dam- aging outcomes that occur when regions are faced with water crises. Specifically, where water supplies are chronically unable to meet demand in spite of all conserva- tion, rationing and similar cutbacks, essential surface flows begin to drain from environmentally sensi- tive habitats. Wetlands areas begin to desiccate and degrade. Ground- waterbasin overdrafting creates irreversible geological subsidence, permanently damaging the basin's ability to recover. If water supply desperation reaches those levels, fundamental changes in that aspect of the ecosystem could occur. Land-Use Planning and aCrisis- Oriented Public How do California's statewide water supply issues directly affect Orange C:ounty'? The Grand Jury found that there are rivo, equally important points. First, long-range water resources planning takes a major degree of innovation and creativity to establish dependable sources of diversified supply. This includes bringing "new" water to serve new homeowners in the growth areas, and the industry and commerce that sustains them. It also requires a degree of good data analysis to accurately project hydrologic and climatologic data decades into the future. Second, the water resource agencies, the land-use planning agencies and the consumers all need to be equally focused on the possibility of major supply outages to w-hick the County is vulner- able. "hhe Grand Jury found that the water agencies and, in fact, the water industry as a whole, are kc;enly aware of the inadequacies and potentially disastrous circum- stances California faces. The sense of urgency could not be higher. But, it seems that gaining the attention of acrisis-oriented public is a dif- ferent story. 'I11e Grand .lury found that planning agencies dealt with these concerns very differently. In fact, water issues seem to be of no more consequence than a noise impact study or a traffic impact analysis. Water resource issues in Orange County demand more than a check box on the environmental review form. Based on what was observed in this investigation, this has not been the case. Johnson and l.,oux described this issue as a "black box" phenom- enon wherein the professions of land planning and water resources planning have distinctly differ- ent, highly complex parameters that drive their technical analyses and decision-making processes. The unique complexities of these professions tend to deter either side from interacting effectively. Adding to the professionals' difficulties, the residents of Orange County do not seem to understa,id the perilous conditions within which they live. Orange Count<~ water consumers have not, to any significant degree, experienced long-duration water supply out- ages. The public's consideration for water supply typically starts and stops at the faucet handle as they expect, with every turn, dependable delivery ofhigh-quality, safe, clean water, The perception that water sup- plies are taken for granted is an understatement. Water agencies' conservation messages are suc- cessfully making consumers more aware of their responsibility to conserve water resources. But, this is merely a fraction of the larger, more compelling issue. Conserva- tion happens after the problem has been identified. Consumers need to be cognizant of the impacts of Page 8 2008-2009 Orange County Grand Jury "Paper Water" -Does Orange County Have a Reliable Future? development and the need for deci- sions before land-use decisions are made. Case Studies "I'he Grand Jury interviewed key staff and studied voluminous public records of land-use applications and environmental reviews pertaining to several, recent, major develop- ment proposals in various areas of the County. In each case, the entire land-use decision-making process as it relates to water resources, one of the County~s most precious and precarious commodities, was found to be ven~ disappointing. When anah~ses were required, land-use and development decision makers deferred to the water agencies to solve the water issues. Typically, the input came via a WSA, after which it quickly disappeared from the public dialogue. Public input to express any shred of concern for- or to even question-the long-term viability of potable water resources was conspicuous by its absence. If not relegated to a separate volume of appendices, the water supply reports were found buried hwtdreds of pages behind other, more "vis- ible,'" issues raised by vocal constit- uents, never to be heard from again in the public process. In these case studies, the Grand Jun' could find tittle. if an_v, ex- pressed concern from any person or responsible agency. This begged the question as to whether the public process is flayed in light of the gravity of our water resources predicament. It also substantiated the inference that, aside from the caveats involved. ``...the duty to serve is often viewed as the first, foremost, and perhaps only mission of awater-purveying agency."`' Case Study #1: County of Orange -Rancho Mission Viejo (The Ranch Plan) Development The Rancho Mission Viejo development (known as "The Ranch Plan") is in south Orange Countt~. T11e County of Orange processed this development over a several-year period, culminat- ing in its adoption by the Board of Supervisors in 2004. This master planned 22,000 acres of land with 7,700 acres designated for 14,000 dwelling units. Other significant elements were established. with 130 acres for urban activity centers, 258 acres for business parks, 39 acres for neighborhood retail centers, five golf courses and a 1,079-acre regional park. The Ranch Plan Program Envi- ronmental Impact Report (EIR) and General Plan Amendment, prepared in 2003, presented exhaustingly detailed analyses of, among other particulars, watershed runoff water quality, traffic circulation impacts a~1d endangered flora and fauna protection. Mention of emergency water storage and concern for temporary water disruption via the imported water connections were limited to a single paragraph. Aside from that outdated discussion, no mention was found of how reliable water supplies would be ensured. Indeed. there was a WSA prepared by Santa Margarita Water District which also fully complied with SB 22l acid SB 610 but the Grand Jun' found no substantive discussion from its review of the following EIR sections: • Executive Summary: Refer- ences were made to "areas of controversy' voiced during public comments at scoping meetings. No water supply concerns were considered worthy of any mention. • Growth Inducing Impacts: Over a dozen, nearby, devel- opment-related, potentially growth-inducing projects were discussed, each making no mention of water supply concerns. Water Resources: This per- tained primarily to surface water quality and runoff hydrology, with absolutely no discussion of potable water resources.. There was seemingly no con- cern for water supply scenarios that could leave 14,000 homes without water. Indeed, the following EIR excerpt clearly established the priorities: "Due to the nature of the project, potential impacts to bio- logical resources, hydrologic condi- tions and ~runot~J water quality are of primary concern." The EIR process solicited com- ments not only ti•om the public but also via the State Clearinghouse from every agency and environ- mental group in the state. There were records of interminable (albeit important) discussions and debates over such issues as traffic and en- dangered. species but potable water supply was anon-issue. It was not even deemed to be of enough rel- evance to be mentioned in the ?004 staff report when the project was presented to the Board of Supervi- sOCS. The aforementioned 2003 WSA was appended to The Ranch Plan. It was a comprehensively written document that assessed Califoniia's ~a ater future. The W SA provided the required numerical justification for 2~ years of water to this area, based on a series of assumptions that have long since been supersed- ed by changed conditions. The nu- merous, crucial effects over just the past few years have great potential to derail many of the critical deci- sions made in the recently adopted 2008-2009 Orange County Grand Jury Page 9 "Paper Water" -Does Orange County Have a Reliable Future? plan. The Grand Jury's view on the state of affairs is that asix-year- old water planning document, with a 25-year projection upon which permanent development is hinged, leaves much to be desired. It makes no sense to have so little attention paid to a natural resource with such a profound impact. Despite all this, the 2003 WSA was apparently enough for the deci- sion makers and the public. Despite the fact that this development will take place in awater-deficient area of the County that relies virtually entirely on imported supplies from Metropolitan, the Grand Jun_ ~ could find not one comment at all from the general public, let alone any expression of concern during the public review period. The agencies have argued that the absence of comment is not necessarily indica- tive of a lack of concern but rather a recognition that all issues were addressed. The Grand Jury, for all the reasons cited in this report, has found otherwise and that there should be concern. Caearly, the agencies process- ing 1'he Ranch Plan followed the mandatory processes to determine adequate water supplies, using es- tablished procedures and their best efforts to provide professional data to decision makers. Nonetheless, the glaring point of this investiga- tion is that there is a serious discon- nect in the process where critical data are presented seemingly as footnotes and decisions are made in a manner that masks the situa- tion from public awareness. This was certainly not found to have been done intentionally but rather was the inevitable byproduct of the sheer volume and complexity of the documents. "Typically, it is safe to presume that anyone lacking an engineer- ing degree is challenged in com- prehending the complex technical analyses of water supply issues and the concomitant impacts of various adverse scenarios. "The tendency is to accept W5As on face value and not challenge the caveats and quali- fying statements that render these assessments tentative at best. WSAs providing 20 to 25-year projections ou land uses that can be expected to be in place for at least 100 years can encounter dramatic changes. The 2003 WSA for The Ranch Plan was prepared long before several major changes were made that of feet the dependability of water sup- plies to southern California. There should be, at least, a mitigation and monitoring reporting requirement in the Plan. Optimally. the question about an update to the WSA should be raised. now, not later when specific project development permit applications are submitted. At that point, developers, in the heat of fi- nancing time constraints, will be in no mood to deal with the obstacles of additional engineering analyses; rather, they will do whatever it takes to demand that their project approvals be granted. Case Study #2: City of Orange - Santiago Hills li and Fast Orange Areas Planned Community Development In a very similar fashion to south Orange County, the central Orange County city of Orange, is facilitating aggressive expansion within its Sphere of Influence east and south of the Peters Canyon region of the Irvine Ranch. The development agreement for this area provided vested rights to development to the Irvine Com- pany in 2005 for approximately 4,000 dwelling units. Irvine Ranch Water District (the designatf;d water purveyor for this area) provided a series of "Water Supply Verifica- tions" subsequent to this agreement to carry the project for 20 years. While the water supply veri- fications conclude that sufficient supplies are available pursuant to state law, it is interesting to as- sess the methodologies, caveats and disclaimers accompanying the certification sheet. In particular, the water supplier affirnls that it ``... does not allocate particular supplies to any project, but identifies total supplies for its service area." It would be safe to conclude that both the land planners and the water providers were satisfied that their requirements had been met and, in fact_ Irvine Ranch Water District officials have subsequently empha- sized that this is the case and that sufficient supplies are available. Although no documents were found to evidence their discussions, the officials have also emphasized that the agencies have had a dialog re- gardingthe conditions under which the water supplies would be of- fered alld District staff testified on pertinent issues at the City Cowlcil public hearings. As with the The Ranch Plan, the decisions on this major project establish commitments far beyond the plam~ing horizon. It is unclear how a developer's vested rights may prevail over any changes in the WSA over time. Case Study #3: City of Brea - Canyon Crest .Development In north Orange County, the city of Brea, in 2009. approved (subject to appeal) the development of 165 homes on 367 acres of hillside pas- ture and open space surrounded by Chino Hills State Park, near Carbon Can~-on Road. As would be expected, the project environmental review Page 10 2008-2009 Orange County Grand Jury "Paper Water" -Does Orange County Have a Reliable Future? extensively evaluated the woodland habitat and wildlife corridors. An elaborate and extensive monitoring and mitigation program was devel- oped for the oak-walnut woodland habitat. Because the size of this project fell short of the trigger points for SB 221 and SB 610, no WSA was required. In fact, the EIR concludes specifically that "[n]o impact will result from the Project involving the acquisition of new or expansion of existing water supply entitlements or resources." This was the only mention found con- cerning water supply by either the environmental consultant or by any person, agency or group concerned with the impacts of this project. Admittedly, this single proj- ect would have a nominal annual demand of perhaps 100 acre-feet (about 33 million gallons), on the County's water supply, which would add about one percent to Brews annual demand. But. it is indicative of how the cumulative impacts of such projects can incre- mentally affect the overall supply. Steps Toward Understanding A better interface between land- use planners and water planners has evolved over the years with the assistance of the State Legislature. Since the 1983 adoption of the Urhan Water Management Plan- ningAct (California Water Code Section ].(1610 et seq). California has required each water purveyor to prepare and submit, even five years, an Urban Water Management Plan (UWMP). This is a founda- tional document and a source of information for long-range water plaiming. Cities and counties are required to use these documents when preparing their General Plans. The UWMP, while important, is a fairly general planning docu- meat. It was not until 2001 (after most of Orange County already had been developed) that the State seriously acknowledged that water supply and local land-use devel- opment planning are inextricably intertwined. The California Legis- latures SB 221. and SB 610 exem- plify this need for an administrative record in the environmental docu- ments. 'These laws only apply to large projects and, according to one expert in the water environmental field_ do "... little more than raise awareness." A Iso in 2001, the Legislature passed the Integrated Regional Water Management Planning (IRW M P) Act, which allows a re- gional water management group to prepare and adopt an IRWMP that encourages local agencies to work cooperatively in managing their entire array of water resources for beneficial use. Innovative Solutions to Long- Term Sup}~ly Shortages and the State of Orange County's Water Resources Some experts in the academic and industrial communities con- siderthat California's water crises can be avoided by a concerted effort on four fronts: (1) improving water use efficiencies through con- servation, water-saving appliances and technological advances (e.g. "smart" irrigation timers); (2) ad- vancing innovative water recycling and reuse strategies; (3) improving stone water runoff capture, storage and groundwater recharge; and (4) securing water transfer agreements between agencies to effectively balance supply and demand. The Grand Jury found that Orange Count} water agencies are, in many cases, setting the example of best practices through sophisticated ap- plications on each of these fronts. In addition, concerted public/pri- vate efforts are underway to build at least two major seawater desali- nation plants in Orange County. Combined with a third desalina- tion plant near Camp Pendleton, planned jointly with the San Diego County Water Authority, coastal desalination projects will supply up to 140,000 acre-feet (45.6 billion gallons) per year of new water. Orange County water agencies are pursuing long-term water trans- fers outside the County boundar- ies. An agreement with the South Feather Water and Power Agency in northern California was being negotiated to bring up to 10,000 acre-feet (about 3.3 billion gallons) per year to Orange Count<~.' While this project now appears unlikely to be consummated, there are other, similar e{'forts underway that are considered to be more viable. Santa Margarita Water Districts transfer agreement with Cucamon- ga Valley Water District also rep- resents individual agency attempts to secure firnt water contracts. In this case, 4,250 acre-feet (about 1.4 billion gallons) per year would be allocated to Orange County from surplus water in an entirely separate groundwater basin. "Phis basin re- sides within Metropolitan's service area, which helps to facilitate the actual water transfer. [wine Ranch Water District is developing a water banking pro- gram in partnership with the central valley Rosedale-Rio Bravo Water Storage District near Bakersfield in Kern County. This arrangement will provide up to 17,500 acre-feet (5.7 billion gallons) per year from groundwater recharge and recovery facilities, along with expanding the Cross Valley Canal to transfer 2008-2009 Orange County Grand Jury Page 11 "Paper Water" -Does Orange County Have a Reliable Future? stored water to the Irvine Ranch facilities "fhe Grand Jury was particu- larly impressed with the OCWD's Ground Water Replenishment System (GWRS] established in conjunction with its adjacent waste- watertreatment agency, the Orange County Sanitation District. The Grand Jum witnessed the GWRS while in operation, delivering 72,000 acre-feet (about 23.5 billion gallons} per year ofultra-pure water for direct; potable reuse via 1,600 acres of percolation basins in north Orange County. This is about. 10 to l4% of total basin demand and production is expected to expand to 100,000 acre-feet (32.6 billion gal- lons) per year within the next three years. The 2003-2004 Orange County Grand Jury also recognized the GWRS while it was still in its implementation stages. This unique project is the largest of its kind in the world. It exemplifies how technology is providing innovative solutions to environmental prob- lemsand insight to our future. The capital cost of the GWRS system was approximately $500 million. While immensely expen- sive to build and operate, federal and state grants and subsidies have reduced the unit cost of the product water to approximately $650 per acre-foot. Since imported 1Vletro- politan water is anticipated to pass $700 per acre-foot this summer, the break-even point may be imminent. As water becomes increasingly scarce and prices rise accordingly, recycled wastewater systems, even those meeting stringent human consumption requirements. are anticipated to become more com- petitively cost effective. A Il these innovative programs are admirable but they do not solve the problem. Shortfalls from the State Water Project and the t:olora- do River of the magnitudes cited by Metropolitan and others cannot be made up by these relatively limited efforts. Response to Catastrophic Supply Interruptions Regional shortages: The most serious water supply concerns af= fecting Orange County lie outside its boundaries. Metropolitan has elaborate response plans and infra- structure in place to deal with sup- ply curtailments; the most recent notable example is its Dianlond Valley Lake near Hemet. This is an 800-thousand acre-foot (260 billion gallons) reservoir, of which about one-half is reserved for catastrophic emergencies. Completed in 1999, Diamond Valleti~ took four ~~ears to fill with asix-month emergency water supply and is considered the most important achievement in pro- tecting southern California against a Statr; Water Project system out- age. County-wide shortages: If circumstances dictate that Orange Counn~ is forced into being self- sufficient for an extended period, how will it survive? Orange County water managers have been diligent in preparing to overcome worst- case water delivery interruption scenarios. In times of dire need, be- ing able to instantly re-route water from the north County groundwater basin, to the south County supply lines, through pre-established pipe- line routes, is crucial. Beginning in 1983, the Orange County water agencies developed a Wuter Supply Emergency Pre- paredness Plan, jointly tended by MWDOC and OCWD, and supported by the Orange County Water Association. This eventually resulted in the formation of the Wa- ter Emergency Response Organiza- tion of Orange Count\~ (WEROC), a single point of coordination for every conceivable type of acute, water-related disaster in Orange County. Approximately 95 percent of south Orange County's water is imported from northern California alid the Colorado River acid de- livered to Metropolitan filtration plants in north Orange C:owlty before it is sent 35 miles to south County via two aging pipelines traversing active seismic faults. The Orange County Water System Reliability Study, along with the Soutlr Orange County Water Reli- ability Study established an array of project remedies to address specific threats to water transmission and distribution infrastructure through- out Orange County and. in particu- lar, south Orange County. in times of long-tern crisis. On August 15, 2001, and again on April 23, 2003, MWDOC and OCWD adopted a Memorandum of Understanding to accomplish among other objec- tives, an on-going implementation monitoring effort to help facilitate the various agencies involved in completing these projects. The current emergency relief through Orange County water reliability planning is approxi- mately 3,000 acre-feet (about 1 billion gallons) from an emergency connection to Irvine Ranch Water District's Dyer Road well field in Santa Ana. This provides only about 10 percent of what is needed. The other 27,000 acre-feet (about 9 billion gallons) will arrive when a plamied array of pump, pipeline, treatment and reservoir projects is built. These projects will be able to transfer and store emergency potable water as well as have avail- Page 12 2008-2009 Orange County Grand Jury "Paper Water" -Does Orange County Have a Reliable Future? Recommcndod Plan rho ±~ ~~ ~:~ r-, ,ti T ~ !,;C 'dC _; r:. Lczsetl Stage ;,t!emattl ~sttx>; y, C.;f' .,.'n . n •,. -. ~, ..:a ~.. ~T6 ~f.'RClJFC?f~ - { ', ~ isy~ cir:n ~ Y;r~ t,~M h.;P!.°ATV; Ut~cv ~~!' cJ12. Reaen•cu \'~arta;- i.-s;-.n R~r>G !;r,rrM~i<n st r rc?~r~~ a~~~9 :"! CPA tlRCllECT Vi~~.n;~lfr,,a`„•.Bf'lY!Y.i. f{QVZ ~tq~nsi5i~`~, ~~ ~~~.~ Upper CMgwta LRC Raseraov \.~qn~:f~. q7. r' ~~,~~ ,., s.. vetani~s ::a. vi.e wxlxirh~:: ET $ CPA PRG,tECT$ :rsun ccnsx~c:a.~ . ~ r ~~'.aruc~t. Exhibit G able brackish and seawater purifica- tion systems to create "new'" water for south Orange Coiurty. These projects are depicted in 13xhibit G. These projects vary signifi- cantly in their planning, desig^ and construction complexities as well as in their funding requirements. Completion of the entire system is not expected until at least 2015. Once completed, the projects will serve daily needs while being ready to deliver emergency reserves if the supply network becomes disrupted at any point. f Dana ?ans Oc'a.n~ Dayalinaaan l.aftlP ?eruHatan Pta~r im'.Gi Jant MRYDGCtSDCWA Gcean Desatwattvn Pont >:x~ , SC°SONGS Emerging self-sufficiency management strategies: Several efforts have commenced to maxi- mize the ability of Orange County to be self=sustaining, especially in times of crisis. The most compre- hensiveplanning underway was begun in 2000. headed by the OC Watersheds Division of OC Public Works. [t consolidates efforts in ur- ban runoff watershed management and regional water resources plan- ning strategies. A comprehensive approach is underway, addressing the Countv~s 13 watersheds with several objectives: • Protect communities from drought • Enhance local water supply and system reliability • Ensure continued water security • Optimize watershed and coastal resources • Improve watershed water quality • Safeguard endangered species habitat Nearly 100 projects have been identified that encompass, among other facets, the following: • Water supply reliability-, water conservation and water use efficiency • Storn1 water capture, storage. treatment and management • Creation and enhancement of wetlands and acquisition. protection, and restoration of open space and watershed lalldS • Non-point source pollution reduction, management and monitoring • Groundwater recharge and management • Water banking, water ex- change, water reclamation, desalting, and other treatment technologies Disaster Planning: Li Novem- ber, 2008, the entire County of Orange participated in an exercise dubbed '`Golden Guardian," based on a Richter Scale magnitude 7.8 seismic event. Part of this exercise was to include dealing with the ex- pected ef~'ects of disrupted local and County-wide water transmission and distribution systems. WEROC volunteers participated in this event to test the water agencies' ability to respond effectively during emer- gency events. The lessons learned 2008-2009 Orange County Grand Jury Page 13 "Paper Water" -Does Orange County Have a Reliable Future? from this exercise were valuable in identifying the need for better inte- gration of the individual agencies' responses through WEROC and on to the Orange County Operational Area Emergency Operations Center (EOC). The issues appear to be those requiring improved com- munication rather than inadequate resources. MWDOC and Its Member Agency Conflicts As introduced earlier. MW- DOC, with some exceptions, is the predominant water wholesaler that arranges for Orange Cowrty water retailers' imported delivery of Metropolitan water for their customers. MWDOC is solely an administrative agency in that it operates no infrastructure facili- ties that physically deliver water to any of its member agencies, comprised ofcities, special dis- tricts and quasi-public companies. Because of its unique connection with nearly every water agency in Orange County, by default it has become the coordinator of rnany re- gional programs that are generally suited for a centralised, coordinated response. "I11is applies to consistent water conservation plans; compat- ible Urban Water Management Plans; universal customer education outreach; centralized legislative ad- vocacy; and coordinated emergency preparedness. MWDOC also is allocated four seats on Metropolitan's ~7 member board of directors. These four -nem- bers (not all of them are necessarily MWDOC board members). repre- sent the interests of MWDOC~s 28 member agencies. MWDOC was fornied in 19i 1, when Orange County demographics were quite different. Today, it finds its role challenged, primarily by several major, south Orange County member agencies, over some key differences in representation and governance. In Jwtc, 2006, MWDOC was anticipating a scheduled Municipal Services Review (MSR) by the Or- ange County Local Agency Forma- tion Commission (LAFCo). LAF- Co~s Mission Statement emphasizes that it "... serves the citizens of Orange County by facilitating con- structive changes in governmental structure and boundaries through special studies, programs, and ac- tions that resolve intergovernmental issues, by fostering orderly devel- opmentand governance, and by promoting the efficient delivery of services." The MSR process, which is basically a performance audit, is one of the most effective means to accomplish this goal. MWDOC had commenced stakeholder meetings with its mem- ber agency colleagues to resolve key issues ol'disagreement: • Representation on Metropoli- tan's board of directors • Budget process and fairiess of rate structures • Lack of inclusiveness of south County agencies in setting rates • MW DOC's financial involve- ment in local projects (e.g. desalination) • Duplicative services (e.g. leg- islative and public outreach) • Financial reserve policies LAFCo discovered, when it embarked on its MSR process in February, 2007, that there were still major, unresolved issues. It facilitated several meetings to attempt resolution. In November, 2007, after limited success, LAFCo decided to convene a "governance study" with a definite timetable for reaching consensus on conclusions and specific recommendations. The final approval for that effort was given in January, 2008, commenced in June, 2008, and continues to the present time. All 28 member agencies have participated in the governance study. After nearly a year of effort, the feasible revamping options have been narrowed to three: 1. Continuing with MWDOC~s current structure, subject to sev- eral administrative adjustments to eliminate the current points of disagreement 2. Dissolving MWDOC and forn- ing a ne~~-, Count`-wide water authority 3. Creating a separate south County water authority to, basi- cally, provide similar services now provided by MWDOC but being more responsive and accountable to the unique needs expressed by the south County agencies, particularly for more equitable representation with Metropolitan. The particulars of the gover- nance study discussions are beyond the scope of this investigation so they were not reviewed in detail. From the Grand Jury's perspective of the issues, ho~yever, Option 3 seems short sighted. Bifirrcating the County into t1so, basically compet- ing agencies would be cow~terpro- ductive as Orartgc Count}' moves into a future with increasingly dif- ficultand contentious water issues. LAFCo has been consolidat- ing agencies where jurisdictional effectiveness would be improved. Splitting a major overseer of the Count<~'s water supplies into ri~o jurisdictions would seem to con- tradict LAFCo's previous efforts. LAFCo has a unique role in this discussion as a facilitator. Even though it has hired professional Page 14 2008-2009 Orange County Grand Jury "Paper Water" -Does Orange County Have a Reliable Future? support consultants and should be as a fresh water conveyance agreements are underway lauded for its initiative, one noted due to uncontrollable salin- to create sources of "new" professor in the field has observed ity increases. This adds more water for Orange County. The that LAFCo may be operating be- apprehension about Orange adequacy of contributions yond its technical abilities to effec- County~s water firture. from these new sources is tively facilitate the varied, complex Recent court rulings on uncertain. technical issues. environmental habitat protec- Orange County is a unique The MWDOC member agencies tion and water rights alloca- territory with many inher- need to resolve their differences tions have raised the level of ent advantages to endure the and dedicate themselves to a uni- urgency by imposing possibly impending water crises. If Or- fied vision, whether it be continuing permanent cuts to southern ange County's water agencies with MWDOC under a modified California's fornierly reliable, work together seamlessly and agreement or creating a new, uni- traditional water supplies the County's resident conswn- fled, County-wide water authority. from northern California and ers become more involved As rate increases mount and water the Colorado River. While stakeholders, a positive out- supplies diminish, the need for uni- the California Deparpnent come is much more likely. fication will become increasingly of Water Resources recently Orange County's ground- essential. if a catastrophic event adjusted 2009 State Water water storage resources are occurs, the need for wtification will Project deliveries upward to world class, both in innova- become urgent. 30 percent of normal alloca- tive technical superiority and tions, they had, at one point, in their management. Water COttCIUSiOnS fallen to 10 to 15 percent of experts in both industry and The following conclusions normal. academic institutions univer- raise important concerns over the Orange Countv•s water sup- sally praise the innovative and precarious condition of Orange ply infrastructure and supply effective methods by which Countv's water resources. More constraints have received Orange Cowtty has protected public/awareness and process im- minimal attention in the over- and managed its innate water provement regarding water issues all discussion of developing resources. In particular, its must be made as the development Urange Count<•. groundwater aquifer is an in- of Orange County continues. The Interaction of land planners credibly rich natural resource numerous water agencies in Orange and water planners in the that is the envy of many areas County need to strengthen their development process must be in the country challenged by unified approach in preparing fora improved. depleted and damaged water difficult fixture. Some of the specific Water pricing to pay for the tables. points are as follows: various, necessary, costly sup- Orange County natural water • State Water Project infrastruc- pIY sources, under even the storage differs dramatically ture is extremely vulnerable best-case scenarios, will rise between its north and south to catastrophic failures from to levels never before seen. reaches. South Orange Coun- natural events in the Sacra- hl this water-scarce region, ty has no groundwater basin, mento-San Joaquin Delta consumers are facing dire making it almost wholly de- and seismic events affecting circumstances regardless of pendent on imported supplies other major water transmis_ population growth and hour- from Metropolitan. lion infrastructure. Having ing construction. The County's resources have atwo-out-of=three chance of Public awareness of water allowed water managers to drastic levee failures within supply issues is far below institute protocols to deal ', 25 years which could disable acceptable levels and must be with emergencies. Examples the state's water supply for at improved. of effective working rela- least two years is alarming. A number of innovative infra- tionships have been demon- s Scientists have projected the structure projects and transfer strated in associations such as inevitable end to the Delta WEROC. It would be a shame 2008-2009 Orange County Grand Jury Page 15 "Paper Water" -Does Orange County Have a Reliable Future? to politically sever the Counh~ very little, if any, expressed F.3(b) The current dis- water resources management concern from the public in agreement is a distraction structure and make a unified comparison to the numerous from the greater good working; relationship all the other environmental issues of the agencies working more difficult. presented during develop- toward Orange County's In closing, the announcement ment project reviews. water future. for t11e Ma v 1~. 2009, O.C. Water _ .Sa~mmit in Anaheim succinctly F.2(a): Orange County's F.3(c) The stakeholders raises the level of urgency: "Most citizens and interest in LAFCo's study failed business leaders and residents of groups do not appear to to meet their March 11, Orange Cowrty have no idea that grasp the seriousness of 2009 deadline for LAFCo's the water crisis is this serious and the water supply situa- public hearing on this mat- escalating." Specific actions are ur- tion or the complexity and ter. Continued delays are gent. 'T'his investigation is intended urgency of the necessary unacceptable. to offer several of them that will ~ solutions. F.4: Orange County is strengthen the Countv s condition. - F.2(b): Several recent, uniquely fortunate to have Findings substantial water sup- avast, high-quality, well- ply awareness efforts are managed groundwater basin In accordance with Califor- underway (e.g. the O.C. serving its north geographi- nia Penal Code Sections 933 Water Summit) that show cal area. However, in its and 933.05, each finding will be promise but appear target- south reaches, it has an responded to by the government ed to audiences that are equally large, high-growth entity to which it is addressed. The already informed. area with virtually no avail- responses are to be submitted to able groundwater resources. the Presiding Judge of the Supe- F.3: LAFCo is the agency rior Court. The 2008-2009 Orange charged with facilitating F.4(a): The difference in Countti~ Grand Jun has arrived at constructive changes in groundwater availability the following findings: governmental structure to creates a "haves versus F.1: There is inadequate promote efficient delivery of have-Hots" situation that coordination between local services. To this end, tAFCo is conducive to inherent land-use planning agencies is conducting a governance conflicts. and local water supply agen- study of MWDOC which is F 4(b): The difference in cies, resulting in a process that fails to fully engage the the designated representa- tive for nearly all the Orange . groundwater availability issues County retail water agen- provides opportunities for . cies, acting on their behalf responsible participants F.1(a): Water agencies with their surface water sup- to develop and construct have tended to avoid inter- plier Metropolitan. long-term solutions which fering with or participating will benefit the entire in growth-management F.3(a) There are a number County. decisions. of points of governance disagreement between Responses to Findings F. 1, F.1(b): Cities and the MWDOC and several of its F.l(a), F.1(b), and F.2, F.2(a) and County have tended to not member agencies. This is F.2(h) are required from the Board critically evaluate the limi- creating an impediment to of Supervisors of~the County r~ tations of the water agen- the on-going effectiveness Orange,' tl:e city councils of all cit- cies' supply projections of these a encies in critical ies responsible for landuse plan- . g ' areas of Orange County's nlnP: Aliso Vejo, Anaheim, Brea, F.2: California s looming water supply management. Buena Park, Costa Mesa, Cypress, water supply crisis receives Page 16 2008-2009 Orange County Grand Jury "Paper Water" -Does Orange County Have a Reliable Future? Dana Paint, Fountain Valley, Fullerton, Garden Grave, Hun- tington Beach, Irvine, La Hahrcr, La Palma, Laguna Beach, .Laguna Hills, Laguna Niguel, Laguna Woods, Lake Forest, Los Alamitos, Mission Viejo, Newport Beach, Orange, Placentia, Rancho Santa Margarita, San Clemente, San .Ivan Capistrana, .4antaAna, .4eal Beach, Stanton, Tustin, Willa Park, Westminster uncl Yorba Linda; t~ city councils attd boards o, f direc- tars of al! retail water suppliers: cities c~fArraheim, Brea, Buena Park, Fountain Valley, Fullerton, Carden Grove, Huntington Beach, L.n Habra, La Palma, Netivport Beach, Orange, San Clemente, San .Ivan C'apistrarta, .Santa Ana, Seal Beach, Tustin and Westmin- ster; East Orange CourttJ~ Water District, El Toro Water District, Irvine Ranch Water District, La- guna Beach County Water District, Mesa Consolidated Winter District, Mou/ton Niguel Water District, Santa Margarita Water District, Serrano Water District, South Coast Water District, Trabuco Canyon Water District crud Yorba Linda Water District; the Board Directors of the Municipal Water District of Orange Counter the Board ofDireetors o the Orange County Water District, and the C1tV councils cf the cities served by Golden .Stute Water Compare, cities of C'~~press, Las Alamitos, Placentia and Stanton. Responses to Finding F.3, F.3(a), F.3(b) and F.3(c) are re- quired from the Board of Directors of the Municipal Water District o„~ Orange County; the cih> councils and boards of directors of all Mrr- rrieipal Water District of Orange Coutrty memher agencies: cities of Brea, Buena Park, Fountain Valley, Garden Crove, Hunting- ton Beach, La Hahra, La Palma, Newport Beach, Orange, S'an Clemente, .S'an Juan Capistrano, Seal Beach, Tustin and Westm/n- ster; East Orange County Water District, El Toro Winter District, Irvine Ranch Water District, La- guna Beaelt County Water District, Mesa Consolidated Water District, Moulton Niguel Water District, Santa Margarita Water District, Serrano Water District, South Coast Water District, Trahuco Canyon Water District and Yorba Linda Water District; tl:e Orange County Local Agency Formation Commission: the City Courzci! of the cities ofAnaheim. Fullertan and Santa Ancr: and the city coun- cils of the cities served by Golden State Water C"ompanv: cities of Cypress, I:osAlamitos, Placentia and Stanton. Responses to Finding F.-1, F.~J(a) and F.;l(h) are required from the Board of Directors of the Municipal Water District of Or- ange Count~.• the Board of,Diree- tors cfthe Orange County Water District: the city councils and hoards of directors of all Orange County retail water suppliers: cities ofAnaheim, Brea, Buena Park, Fountrrirr Valley, Fullerton, Garden Grove, Huntington Beach, I.a Habra, L a Palma, Netivport Beach, Orange, San Clemente, S'a-r Juan Capistrano, .S'antaAna, Seal Beach, Tustin and Westmin- ster; East Orange County Water District, El Toro Water District, Irvine Rancfi Water District, La- guna Beach County Water District, Mesa Consolidated Winter District, Moulton Niguel Water District, Santa Margarita Water District, Serrano Water District, Soutlr Coust Water District, Trahuco Canyon Water District and Yorba Linda Water District; and the c councils of the cities served by Golden State Water Campan~ cities of Cypress, Los Alamitos, Placentia, and Stanton. Recommendations In accordance with Califor- nia Penal Cade Sections 933 and 933.05, each recommendation will be responded to by the government entity to which it is addressed. The responses are to be submitted to the Presiding Judge of the Superior Court. Based on the findings, the 2008-2009 Orange Count~• Grand Jury makes the following recom- mendations: R.1: Each Orange County municipal planning agency, in cooperation with its respective water supply agency, should prepare for adoption by its city council, a dedicated Water Element to its General Plan in conjunc- tion with a future update, not to exceed June 30, 2010. This document should include detailed implemen- tation measures based on objective-based policies that match realistic projections of the County's future water supplies. These objectives, policies and implementation measures should address imported supply constraints, including catastrophic out- ages and incorporate the re- alistic availability and timing of "new" water sources such as desalination, contaminat- ed groundwater reclamation and surface water recycling. (Findings F.1, F.1(a), F.1(b), F.2. F.2(a) and F.2(b)) R.2: Each Orange County retail and wholesale water 2008-2009 Orange County Grand Jury Page 17 "Paper Water" -Does Orange County Have a Reliable Future? agency should affirm its re- sponsibility to develop new, additional, innovative public outreach programs, be- yond water conservation and rationing programs, to expose the larger issues surrounding water supply constraints facing Orange County. The objective should be to connect the public with the problem. The outreach effort should entail a water emergency exercise that simulates a complete, sud- den break in imported water deliveries. The exercise should be aimed directly at the public and enlist wide- spread public participation on a recurring basis begin- ning by June 30, 2010. This recommendation may be satisfied by amulti-agency exercise but the inability to coordinate such an event should not preclude the individual agency's responsi- bility. (Finding F.2, F.2(a) and F.2(b)) R.3: Each MWDOC mem- ber agency should reaffirm to t~4FCo that it will assign the resources necessary to expediently resolve regional governance issues. While the subject study is being facilitated by t_AFCo, the options are with the agen- cies to decide what is best for all. Once conclusions are reached, the parties need to agree quickly and, hope- fully, unanimously to adopt a course of action. (Finding F.3, F.3(a), F.3(b) and F.3(c)) R.4: Each Orange County retail and wholesale water agency should affirm its commitment to a fair-share financial responsibility in completing the emergency water supply network for the entire County. The entire County should be prepared together for any conditions of drought, natural or hu- man-caused disaster, or any other catastrophic disruption WEROC should commence meetings of all parties, to facilitate consensus on an equitable funding/financing agreement. (Finding F.4, F.4(a) and F.4(b)) Responses to Recommendation R.1 are required from the Board of Supervisors of the C'ount~r[ Or_ar~>e; the city councils of all cit- ies reslronsihle for land-use plan- ninr~: Aliso Vejo, Anuheim, Brea, Buena Park, Costa Mesa, Cypress, Dana Point, Fountain galley, Fullerton, Garden Grove, Hun- tington Beach, Irvine, La Hahra, La Palma, Laguna Bench, Laguna Hills, Laguna Niguel, Laguna Woods, Lake Forest, LosAlamitos, Mission lrejo, Newport Beach, Orange, Placentia, Rancho Santa Margarita, San Clemente, San Juan Capistrano, b'anta Ana, b'eal Beach, Stanton, Tustin, ~Ua Park, Westminster and &-rba Lindcr, the city councils and hoards of direc- tors o,J~all retail water suppliers: cities ofAnaheim, Brea, Buena Park, Fountain galley, Fullerton, Garden Grove, Iuntington Beaclt, I,a Hahra, la Palma, Newport Beaclt, Orange, San Clemente, San .loan C'apistrann, Santa Ana, Seal Beach, Tustin and Westmin- ster; East Orange County Water District, El Toro Water District, Irvine Ranclt Water District, La- guna Beach County Water District, Mesa Consolidated Water District, Moulton Niguel Water District, Santa Margarita Water District, Serrano Water District, South Coast Water District, Trahuco Can yon Water District and Yorba Linda Water District; the B -ard o ' Directors of the Munic~al Water District of Oratrt>e Counh~: Board ofDirectors^f the Orange Count Water District and the cit,~coun- cils of the cities served by Go/den .S'tate Water Company: cities of Cypress, Los Alamitos, Placentia and Stanton. Responses to Recommenda- tion R.2 are required from the city councils and boards ofdirec- tors of all retail water suppliers: cities gfAnaheim, Brea, Buena Park, Fountain galley, Fullerton, Garden Grove, Huntington Beach, I.a Hahra, I_a Palma, Newport Beach, Orange, San Clemente, .San Juan Capistrano, S'antaAna, Seal Beach, Tustin and Westmin- ster; East Orange County Water District, El Torn Water District, Irvine Ranch Water District, La- guna Beach County Water District, Mesa Consolidated Water District, Moulton Nigue! Water District, Santa Margarita Water District, Serrano Water District, Soudt Coast Water District, Trahuco Canyon Water District and Yorba Linda Water District; the Board o • Directors oftheMunicipal Water District o Oran County. the Board of Directors o, f the Orange County Water District: and the city councils ofthe cities served Golden .State Water Compare cities of Cypress, Los Alamitos, Placentia and Stanton. Responses to Recommendation R.3 are required from the B card o Directors of the Municipal Water District of Orange County; the c councils and hoards of directors Page 18 2008-2009 Orange County Grand Jury "Paper Water" -Does Orange County Have a Reliable Future? o_f all Municipal Water District f Orange County member agen- cies: cities of Brea, .Buena Park, Fountain Valley, Garden Grove, Huntington Beaclz, La Hahra, L u Palma, Ncnvport Beach, Or- ange, Sun Clemente, San Juan Capistrano, .4eul13each, '1'urtin and Westminster; East Orange County Water District, El Toro Water District, Irvine Ranclr Winter District, Laguna Beach Count) Water District, Mesa Consolidated Water District, Moulton Niguel Water District, Sattta Margarita Water District, Serrano Water Dis- trict, South Coast Water District, Trahuco Canyon Water District and Yorba Linda Water District; the Orange Cnunri~ Local Agency Formation Commission: the cltV councils• of~the cities served by Golden S'tute Water Compuny_ cities of Cypress, Los Alamitos, Placentia, and Stanton. Responses to Recommendation R.=t are required from the Board of Directors of the .Municipal Wa- ter District of Orange County; the Board o,~~Directors o •the Orange Countz,Water District: the city councils and hoards of directors of all Orange Counri~ retail werter suppliers: cities ofAnalteint, Brea, .Buena Park, Fountain VnUey, Ful- lerton, Garden Grove, Hunting- ton Beach, Lu Hahra, La .Palma, Ne-vport t3euch, Orange, .San C.7emente, .Bart Juan Capistrano, Santa Ana, Seal Beach, Tustin and Westminster; East Orange County Water District, EI Toro Water District, Irvine Ranch Water .District, Laguna Beaclz County Water District, Mesa Consolidated Water District, Mouhon Niguel Water District, Santa Margarita Water District, Serrano Water Dis- trict, South Coast Water District, Trahuc•o Canyon Water District and Yorha Linda Water District: and the city councils ofthe cit- ies served by Golden State Water Company: cities of Cypress, Los Alamitos, Placentia and Stanton. Required Responses The California Penal Code specifies the required pcrmis- siblc responses to the findings and recommendations contained in the report. The specific sections are as follows: X933.05 1. For purposes of Subdivision (b) of Section 933, as to each grand jury finding, the respond- ing person or entity shall indi- cate one of the following: (1) The respondent agrees with the finding. (2) The respondent disagrees wholly or partially with the finding, in which case the response shall specify the portion of the finding that is disputed and shall include an explanation of the reasons therefore. 2. For purposes of subdivision (b) of Section 933, as to each grand jury recommendation, the responding person or entity shall report one of the follow- ing actions: (1) The recommendation has been implemented, with a summary regarding the implemented action. (2) The recommendation has not yet been implemented, but will be implemented in the future, with a timeframe for implementation. (3) The recommendation requires further analysis, with an explanation and the scope and parameters of an analysis or study, and a timeframe for the matter to be prepared for discussion by the officer or head of the agency or de- partment being investigated or reviewed., including the governing body of the public agency when applicable. This timeframe shall not exceed six months from the date of publication of the grand jury report. (4) The recommendation will not be implemented because it is not warranted or is not reasonable, with an explanation therefore. 2008-2009 Orange County Grand Jury Page 19 "Paper Water" -Does Orange County Have a Reliable Future? Table 1: Findings and Recommendations Matrix City/Organization/ A enc F 1 F 2 F 3 F 4 R 1 R 2 R 3 R 4 Ci /O anization/A enc F 1 F 2 F 3 F 4 R 1 R 2 R 3 R 4 Land Use City & County P~nners ~:` ., '~~t"sec ~ ,' ~"'~~ ; , ~; ~`~ '';° , Aliso Vie'o • • • Anaheim • • • • • • • • Anaheim • • • Brea • • • • • • • • Brea • • • Buena Park • • • • • • • • Buena Park • • • Fountain Valle • • ~ • • • • • Costa Mesa • • • Fullerton • • • • • • • • C ess • • • Garden Grrn+e • • • • • • • • Dana Point • • • Huntin ton Beach • • • • • • • • Fountain Valle • • • La Habra • • • • • • • • Fullerton • • • La Palma • • • • • • • • Garden Grope • • • Ne rt Beach • • • • • • • • Huntin ton Beach • • • Oran e • • • • • • • • Irvine • • • San Clemente • • • • • • • • La Habra • • • San Juan Ca 'strano • • • • • • • • La Palma • • • Santa Ana • • • • • • • • La una Beach • • • Seal Beach • • • • • • • • La una Hills • • • Tustin • • • • • • • • La una Ni uel • • • Westminster • • • • • • • • I.a una Woods • • • Fact Oran a Coun Water District • • • • • • • • Lake Forest • • • 19 Toro Water District • • • • • • • • Los Alamitos • • • trvine Ranch Water District • • • • • • • • Mission Vie'o • • • La una Beach Coun Water District • • • • • • • • Ne rt Beach • • • Mesa Consolidated Water District • • • • • • • • Oran e • • • Moulton Ni uel Water District • • • • • • • • Placentia • • • Santa Mar arita Water District • • • • • • • • Rancho Santa Mar arita • • • Serrano Water District • • • • • • • • San Clemente • • • South Coast Water District • • • • • • • • San Juan Ca 'strano • • • Trabuco Can on Water District • • • • • • • • Santa Ana • • • Yorba Linda Water District • • • • • • • • Seal Beach • • • Wholesale V~afier ~ ' ;=~ ~ "~~,;"c Stanton • • • Munici 1 Water District of Oran a Coun • • • • • • • • Tustin • • • Orange County Water District • • • • • • Villa Park • • • Golden State Water Ce ~ ~ ~ C ~ °~ ' ~" Westminster • • • Ci ofC ess • • • • • • • • Yorba Linda • • • Ci of Los Alamitos • • • • • • • • County of Orange • • • Ci of Placentia • • • • • • • • ('i of Stanton • • • • • • • • * Includessu6setsofftndiogs I(a~,(b),(c),ctc•I OtiierPul-lic~ enci es ~. OC Local Agency Formation Commission • • Page 20 2008-2009 Orange County Grand Jury "Paper Water" -Does Orange County Have a Reliable Future? Glossary of Terms • Acre-foot: The amowlt of water that would fill aone-acre area to a depth of one foot (equivalent to 325,851 gallons) • E1R: Environmental Impact Report • LAFCo: Orange County Local Agency Formation Commission • Metropolitan: 1Vletropolitan Water .District of Southern California • MSR: Municipal Services Review • MWUOC: Municipal Water District of Orange County • New Water: (1) A new source of potable water with or without a new pipeline delivering water from outside the area; (2) Purified brackish or recycled water within the area that has been treated to drinking water standards that would otherwise be discharged to waste • Non-Point Source Pollution: Contaminated surface drainage water (runot~ of which the sources of the pollution are so numerous that individual responsibility cannot be determined • OCWD: Orange County Water District • Paper Water: A teen used to describe allocated water which an individual or agency is entitled to receive, presuming that the water exists. Paper water dit)'ers from "wet water"' in that paper water is based on projections and expected deliveries. • SB 22.1: California Government Code Sections 66455.3 a<ld 66473.7. Requires identification of adequate potable water supplies to serve most development projects over 500 dwelling units, using a historical water record of at least 20 years. • SB 610: California Water Code Sections 10631. 10656. 10910, 1091 L 10912, 10915 a<id 10657. Re- quires a WSA for most development projects over 500 dwelling units • UWMP: Urban Water Management Plan • Vested rights: A property owner's right to proceed with his development in substantial compliance with the ordinances, policies and standards in effect at the time of agency approval. A vested project is generally immune from any new conditions that might otherwise have resulted between the date of ap- proval and issuance of building permits had the project not received. vesting status. • WE.ROC: Water Emergency Response Orgatiizatiai of Orange County • WSA: Water Supply Assessment 2008-2009 Orange County Grand Jury Page 21 "Paper Water" -Does Orange County Have a Reliable Future? References 1. The Ranch Plan NCCP/MSAA/HCP Joint Programmatic E/R/EIS Growth Induc- inn and Cumulative Impacts, Section 6. page 12 2. Beyond Chinatown, Steven P. Erie, Stanford University Press. 2006, page 230 3. Comparing Futures for the ,Sacramento -.San Joaquin Delta, Jay Lund, et al, 2008, pages 3 and 53 4. The American Southwest: Are We Running Dry?. video documentary, The Chroni- cles Group, 2008 S..Scripps Nc~vs, Scripps Institution of Occanograph}~, February 12, 2008 6. mater and I and Use; J!'lanning l~sel-~ for C'alifornia'n Future, Karen E. Johnson and Jeff Loux, Solano Press Books. 2004, pages 16 and 66 7. 2/105 Unc~u7 Water Management Plan, Municipal Water District of Orange County. adopted :December 21.200, pages 1(-5 and 178 Exhibits A, B, C, E-l. E-2 and G arc used ~ti~ith permission of the Municipal Water Dis- trict of Orange Count<r. Exhibit D is used «~ith permission of the Orange Count- Water District. Exhibit F is used c~ ith permission of the Delta Vision Foundation. Page 22 2008-2009 Orange County Grand Jury