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HomeMy WebLinkAbout06 APPROVE THE AMENDED AND RESTATED NATIONAL POLLUTANT DISCHARGE ELIMINATION SYSTEM STORMWATER PERMIDocusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 MEETING DATE TO: FROM: SUBJECT: SUMMARY: Agenda Item 6 AGENDA REPORT Reviewed: City Manager a`LS Finance Director 6 MAY 19, 2026 ALDO E. SCHINDLER, CITY MANAGER MICHAEL GRISSO, DIRECTOR OF PUBLIC WORKS APPROVE THE AMENDED AND RESTATED NATIONAL POLLUTANT DISCHARGE ELIMINATION SYSTEM STORMWATER PERMIT IMPLEMENTATION AGREEMENT Approval of this agreement between the County of Orange, the Orange County Flood Control District, and the participating Orange County cities will update the existing agreement with alignment of evolving regulatory stormwater requirements, while introducing additional flexibility for watershed specific sub -area programs and projects. The agreement will also authorize the City Manager or their designee with a more active role in defining an annual regional stormwater budget, allowing for consistency with the City's annual budget process. RECOMMENDATION: Recommend the City Council: Approve the Amended and Restated National Pollutant Discharge Elimination System Stormwater Permit Implementation Agreement between the County of Orange, Orange County Flood Control District, and participating Orange County cities; and 2. Authorize the City Manager to execute the Agreement and any related documents necessary to implement the terms of the Agreement. FISCAL IMPACT: The City's financial contribution is calculated annually based on its proportional share of land area and population, as outlined in the agreement. In recent years, the City's contribution has been approximately $132,000 annually. Future costs will vary depending on the approved annual program work plans, regulatory requirements imposed by the state, and participation in optional watershed specific sub -programs. The adopted Fiscal Year (FY) 2025-2026 Operating Budget includes funding for the City's continued participation and has been included in the proposed FY 2026-2027 Operating Budget. All future costs Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 City Council Agenda Report Approve Stormwater Permit Implementation Agreement May 19, 2026 Page 2 will be incorporated and recommended as part of the City's annual budget process. .fie]VV4W_rI1:C►it6j9:14&1&7_r1=[r]Los »_1►A The approval of the agreement contributes to the fulfillment of the City's Strategic Plan Goal D: Strong Community and Regional Relationships. Specifically, this project implements Strategy #2, which encourages working collaboratively with agencies outside Tustin on issues of mutual interest and concern to the parties. BACKGROUND AND DISCUSSION: The City is a permittee under the Municipal Separate Storm Sewer System (MS4) permits issued by the California Regional Water Quality Control Boards. The original National Pollutant Discharge Elimination System (NPDES) Stormwater Permit Implementation Agreement was executed in 1990, amended in 1993 and 2002, and established a cooperative framework for implementing the Orange County Stormwater Program to meet MS4 permit requirements. The agreement was structured for regional collaboration, consistency, and cost -sharing strategies for stormwater compliance. State regulatory stormwater requirements have continued to evolve since the agreement was last updated in 2002. Watershed -specific priorities have become increasingly complex, requiring targeted solutions, including sub -area treatment projects to meet ongoing and forthcoming compliance requirements. The proposed agreement restates and updates the original agreement framework to align with current and forthcoming regulatory requirements, administrative practices, and programmatic needs. This includes the replacement of the Technical Advisory Committee, with increased engagement from the Orange County City Managers Association (OCCMA), targeting sub -regional budgeting to address compliance needs associated with capital projects and regulatory orders affecting subsets of jurisdictions. As part of the shared cost budget approval process, the amended and restated Agreement also formalizes the consultation process with OCCMA each year, which updates and improves the existing annual budget collaboration process. Michael Grisso Director of Public Works Attachment: 1. Amended and Restated Stormwater Permit Implementation Agreement Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 ATTACHMENT 1 Amended and Restated stormwater Permit Implementation Agreement Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 AMENDED AND RESTATED NATIONAL POLLUTANT DISCHARGE ELIMINATION SYSTEM STORMWATER PERMIT IMPLEMENTATION AGREEMENT This AMENDED AND RESTATED NATIONAL POLLUTANT DISCHARGE ELIMINATION SYSTEM STORMWATER PERMIT IMPLEMENTATION AGREEMENT ("AGREEMENT"), for purposes of identification numbered [D02-048], and which may be alternatively referred to as the "OC Stormwater Program Implementation Agreement," is entered into this day of , 2026, by the County of Orange, (herein called the COUNTY), the Orange County Flood Control District (herein called DISTRICT) and the cities of Aliso Viejo, Anaheim, Brea, Buena Park, Costa Mesa, Cypress, Dana Point, Fountain Valley, Fullerton, Garden Grove, Huntington Beach, Irvine, Laguna Beach, Laguna Hills, Laguna Niguel, Laguna Woods, Lake Forest, La Habra, La Palma, Los Alamitos, Mission Viejo, Newport Beach, Orange, Placentia, Rancho Santa Margarita, San Clemente, San Juan Capistrano, Santa Ana, Seal Beach, Stanton, Tustin, Villa Park, Westminster, and Yorba Linda (herein called CITIES). The COUNTY, DISTRICT, and CITIES may be referred to collectively as PERMITTEES or individually as PERMITTEE, COUNTY, DISTRICT, or CITY, respectively, in this AGREEMENT. RECITALS WHEREAS, the United States Congress in 1987, through the Water Quality Act, amended Section 402 of the Clean Water Act (33 U.S.C.A. 1342(p)) to require the United States Environmental Protection Agency ("EPA") to promulgate regulations for permitting stormwater discharges; and WHEREAS, EPA regulations require National Pollutant Discharge Elimination System ("NPDES") permits for discharges from a municipal separate storm sewer system ("MS4")(herein after called MS4 permits), and further require MS4 permits to include requirements to control pollutants from stormwater discharges; and WHEREAS, in 1927, the Orange County Flood Control Act created the DISTRICT 1 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 to provide for the control of flood and stormwater and protect from damage from those flood or stormwater, the harbors, waterways, public highways, and property within the DISTRICT's jurisdiction; and WHEREAS, the powers granted to the DISTRICT include the authority to regulate discharges that threaten to impact its system and carry on technical and other investigations, examinations, or tests of all kinds, making measurements, collecting data, and making analyses, studies, and inspections pertaining to water supply, control of floods, use of water, water quality, nuisance, pollution, waste, and contamination of water, both within and without the DISTRICT; and WHEREAS, the California State Water Resources Control Board ("SWRCB"), as designee of the EPA, has delegated authority to the California Regional Water Quality Control Boards -Santa Ana Region ("RWQCB-SAR") and San Diego Region ("RWQCB-SDR")(collectively, the RWQCBs) for administration of MS4 permits within the boundaries of their regions; and WHEREAS, the COUNTY, DISTRICT, and CITIES are PERMITTEES under MS4 permits issued by the RWQCBs; and WHEREAS, the RWQCBs have designated the COUNTY as the Principal PERMITTEE or Principal Watershed Co-permittee, as defined in the MS4 permits; and WHEREAS, the COUNTY, the DISTRICT and the CITIES previously entered into that certain agreement entitled National Pollutant Discharge Elimination System Stormwater Permit Implementation Agreement D90-094, on December 18, 1990, which was subsequently amended on October 26, 1993 by Amendment No. 1 and then on June 25, 2002 (the December 18, 1990 Agreement as Amended by Amendment No. 1 and the June 25, 2002 amendment will be referred to collectively hereinafter as the ORIGINAL AGREEMENT), to cooperatively develop, and did thereunder develop, an integrated stormwater runoff management program with the objective of fulfilling MS4 permit requirements and improving water quality in Orange County (program 2 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 referred to herein as the "OC Stormwater Program"); and WHEREAS, Section X of the ORIGINAL AGREEMENT provides that the ORIGINAL AGREEMENT may be amended by consent of a majority of the PERMITTEES which represent a majority of the percentage contributions as described in Section IV of the ORIGINAL AGREEMENT; and WHEREAS, continued cooperation between the CITIES, the COUNTY, and the DISTRICT to jointly implement the OC Stormwater Program to fulfill prior, new, and potential future MS4 permit requirements, to the extent feasible, is in the best interests of the CITIES, the COUNTY, and the DISTRICT; and WHEREAS, the PERMITTEES now desire to restate and amend the ORIGINAL AGREEMENT, as reflected and set forth in this AGREEMENT. NOW, THEREFORE, the PERMITTEES do mutually agree as follows: I. FILING STATUS The COUNTY, the DISTRICT, and each CITY have filed applications for MS4 permits as PERMITTEES. The COUNTY, the DISTRICT and each CITY is a PERMITTEE under each MS4 permit to which they are subject. II. INCORPORATION OF FEDERAL GUIDELINES All applicable federal and state water quality regulations and guidelines under the Federal Clean Water Act, as presently written or as changed during the term of this AGREEMENT, are hereby incorporated by reference and made a part of this AGREEMENT and take precedence over any inconsistent terms of this AGREEMENT. III. DELEGATION OF RESPONSIBILITIES The responsibilities of each of the parties shall be as follows: A. The COUNTY shall be the administrator of the OC Stormwater Program and, on a cost -shared basis, perform the following functions: 1. Annual operating budgets. a. Prepare the annual operating budget ("annual operating budget"), which shall include a work plan and associated financial plan and 3 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 budget. The annual operating budget is intended to provide for all programmatic functions and associated costs of the OC Stormwater Program, as outlined in this AGREEMENT and as generally described in Section V.A. Annual operating budgets and work plans may be based on RWQCB region (i.e., Santa Ana Region versus San Diego Region). The budget year shall coincide with the COUNTY's fiscal year, July 1 - June 30. b. Consult with the Stormwater Program Representatives (as defined in Section III.C.8) when preparing annual operating budgets and major program elements therein. c. A draft of the annual operating budget may be prepared for the PERMITTEES for review by February 15 each year. Annual operating budgets shall be submitted to the PERMITTEES for consideration and approval by May 15 of each year. Individual CITY approval shall be obtained from each CITY's city manager or designee thereof by July 30 of each year. CITY manager designations for annual operating budget approval shall be provided in writing to the County and shall remain in effect until revoked in writing by the CITY's city manager. An annual operating budget shall be deemed approved and adopted for the OC Stormwater Program by affirmative responses from PERMITTEES which represent a majority (500 or greater) of both the area and population percentage contribution as calculated in accordance with Section V.A (method for calculating approval percentage referred to as "Majority Approval"). The COUNTY and the DISTRICT shall represent one voting PERMITTEE with their percentage contribution equal to the total of the COUNTY and the DISTRICT as described in Section V.A. d. An approved and adopted annual operating budget shall not be 2 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 exceeded without prior Majority Approval of the PERMITTEES. 2. Project or watershed -specific sub -budgets. a. In coordination with the PERMITTEES, prepare project -specific and/or watershed -specific budgets and associated work plans (collectively, "sub-budget(s)") for the design of water quality projects and/or responding to RWQCB enforcement orders and/or other orders (e.g., California Water Code 13267 or 13383 orders). b. Sub -budgets shall be prepared and proposed on an as -needed basis, at the discretion of the COUNTY, or as requested by interested PERMITTEES, subject to concurrence of the COUNTY. c. Each PERMITTEE willing to participate in a sub -budget will confirm participation to the COUNTY in writing. A PERMITTEE who confirms participation in a sub -budget shall be referred to herein as "PARTICIPATING PERMITTEE (s)." Sub -budgets will be subject to unanimous approval by all PARTICIPATING PERMITTEES, except that where a Participating Permittee fails to vote to approve a proposed sub -budget, such failure shall be deemed a withdrawal from the sub -budget and the withdrawing PERMITTEE shall no longer be considered a PARTICIPATING PERMITTEE and shall have no obligation to pay for or participate in the sub -budget. d. Project elements that go beyond design (e.g., construction, operation, and maintenance) shall not be provided for in sub - budgets and, instead, are subject to separate agreement between the Participating Permittees. 3. Represent the OC Stormwater Program in reviews of documents, comments, and discussions with EPA, SWRCB, and RWQCBs and/or other resource agencies regarding MS4 permit requirements and related policies, programs, and regulations. The COUNTY shall timely notify the 5 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 PERMITTEES of any decision reached during these discussions that, in the determination of the County, substantially impacts the OC Stormwater Program. 4. Implement approved annual operating budgets and sub -budgets. 5. Working in collaboration with PERMITTEES, prepare and submit regional compliance reports as the Principal PERMITTEE, as required under the MS4 permits, and/or as designated in the approved workplans. 6. Implement the regional monitoring and reporting program elements from approved workplans for the MS4 permits, including, but not limited to, tasks to monitor and measure the effectiveness of Best Management Practices ("BMPs"). This may include monitoring and modeling. 7. Obtain, as may be required by the annual operating budget and/or sub - budgets approved pursuant to this AGREEMENT, professional services, including, but not limited to, scientific, engineering, environmental, economic, and/or legal consultants to provide technical assistance for the work associated with the OC Stormwater Program. This work may include, but is not limited to, the preparation of technical or economic studies, legal analysis, watershed management plans, stormwater runoff management plans, water quality improvement plans, modeling, reasonable assurance demonstrations/reasonable assurance analyses, monitoring plans, technical reports, municipal staff training activities, and the design of structural and non-structural BMPs and strategies to prevent and/or reduce pollutants in stormwater runoff. Contracts for professional services to be funded under this AGREEMENT shall be made in conformance with the COUNTY's procurement policies, and, to the extent there is no conflict, the following: a. The COUNTY shall make efforts to stagger the date of issuance of new contracts for professional services, so that PERMITTEES may 0 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 better absorb increases in consultant fee rates. b. For contracts for professional services that would require approval by the Orange County Board of Supervisors (as determined within the sole discretion of the COUNTY), one Stormwater Program Representative for every two designees of the COUNTY shall be allowed to participate in any panel formed for the purpose of evaluating responses to Requests for Proposals or similar competitive solicitations submitted by potential consultants. Where any contract subject to this provision is to be extended beyond the initial term, the COUNTY shall request feedback from the Stormwater Program Representatives, regarding the consultant's performance, prior to executing the extension. This process shall in no way impinge upon or limit the COUNTY's discretion to enter into, amend, extend, renew, or cancel any contract for professional services for the OC Stormwater Program. c. The COUNTY shall notify the PERMITTEES of any changes in the COUNTY's procurement policies that significantly affect the thresholds for competitive procurement, scoring, or selection processes for contract services. 8. Implement a facility inspection program, as required by the MS4 permits, for MS4 facilities within the unincorporated areas of the County, at no cost to the CITIES. 9. Implement a facility inspection program, as required by the MS4 permits, for MS4 facilities on County -owned property used for COUNTY governmental purposes (i.e., property used for governmental functions) and located within a CITY, at no cost to the CITIES. For purposes of this section, the regional facility known as Dana Point Harbor shall be considered a County - owned property used for governmental purposes. 7 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 a. To avoid confusion in the implementation of each party's facility inspection programs, the COUNTY shall provide a list of those facilities, buildings and properties that it owns and are located within other jurisdictions (i.e. non -unincorporated properties) that the COUNTY has decided to monitor and regulate pursuant to this Section III.A.9. The County further agrees to notify the affected PERMITTEE of changes to the status of a facility. B. The DISTRICT shall, on a cost -shared basis, except as set forth in subparagraph 2 below: 1. Perform or cause to be performed the water quality and hydrographic monitoring for compliance with MS4 permits and/or in accordance with RWQCB-approved monitoring plans and/or in the approved workplans. 2. Implement a facility inspection program, as required by the MS4 permits, for MS4 facilities located on District -owned and controlled property that is used for governmental purposes, at no cost to the CITIES. 3. Undertake or cause to be undertaken all activities required of the CITIES in Section III.0 and applicable to the District. C. The CITIES, at no cost to the Counties and the District, shall: 1. Implement a facility inspection program for its MS4 facilities, as required by the MS4 permit(s) and within the jurisdictional boundaries of that CITY. 2. Submit to the COUNTY storm drain system maps and/or data describing the type and location of its MS4 facilities with periodic revisions that reflect any modifications made as a result of land development/redevelopment. If possible, information shall be submitted as geographical information system ("GIS") data. 3. Support the COUNTY in the preparation of watershed characterizations and catchment prioritization efforts, including, but not limited to, by: E.1 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 a.Identifying applicable zoning and land use designations. b.Identifying areas where sources of specific pollutants are known. 4. Upon COUNTY request, review, comment on, consider approval of, and, if approved, implement regional strategies to prevent and reduce pollutants in stormwater runoff. 5. Implement an illegal discharge detection and elimination program as required by the MS4 permit(s) to which the CITY is subject. Demonstrate adequate legal authority to control discharges to its MS4 facilities as may be required by the relevant MS4 permit(s) to which the CITY is subject. 6. Provide, as requested by the COUNTY, copies of the CITY's jurisdictional reports, data, and any other information (in formats requested by the COUNTY, where such formats are reasonably available) to satisfy requirements in MS4 permits or other orders issued by a Regional Board or the State Board, to which the CITY is subject, provided the CITY has not otherwise challenged such order, and such challenge has not been resolved. 7. Participate in meetings convened by the COUNTY and respond to requests for information from the COUNTY, intended to obtain PERMITTEE input on matters related to this AGREEMENT and the implementation of the OC Stormwater Program. 8. Designate primary and secondary Stormwater Program Representative for matters related to this AGREEMENT and the implementation of the OC Stormwater Program. Designations shall be made by each CITY's city manager, or designee, in writing to the COUNTY. Each designation shall remain in effect until revoked by the CITY's city manager or designee. Stormwater Program Representatives are intended to provide subject matter input and facilitate communication between the COUNTY and each CITY. For purposes of this AGREEMENT, a Stormwater Program 0 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 Representative will not be deemed to have the authority to approve annual operating budgets on behalf of a CITY, as required in Section III.A.1, unless expressly stated in the written designation provided to the COUNTY. D. In the unincorporated areas of the COUNTY, the COUNTY shall, at no cost to the CITIES or the DISTRICT, undertake or cause to be undertaken all activities required above of the CITIES in Section III.0 that are not responsibilities of the DISTRICT as outlined in Section III.B. IV. Orange County City Manager Association Engagement A. In lieu of the activities of the Technical Advisory Committee under the ORIGINAL AGREEMENT, the COUNTY shall endeavor to create a working relationship with the Orange County City Manager Association ("OCCMA") or a sub -group thereof, to address issues such as MS4 permit requirements, MS4 permit compliance methods, and funding needs and strategies to facilitate regional and/or watershed -based, multi -jurisdictional project efforts. B. At its discretion, the COUNTY, in coordination with the PERMITTEES as set forth in this AGREEMENT, may implement recommendations (or parts thereof) that OCCMA may give on OC Stormwater Program matters, including, but not limited to, potential strategies for compliance with current and anticipated future MS4 permit requirements; funding strategies and options for MS4 permit compliance efforts; and OC Stormwater Program budgeting. Recommendations that would result in unbudgeted costs shall be subject to Majority Approval of the PERMITTEES pursuant to III.A.l.d. C. Under no circumstances shall this Section be interpreted as a replacement or substitute for any other responsibility of CITIES or the COUNTY under this Agreement. At the COUNTY's discretion, the Director of OC Public Works may enter into a memorandum of understanding with OCCMA to facilitate 10 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 procedures for OCCMA engagement under this Section. Under no circumstances shall this provision be interpreted to require any written agreement between the COUNTY and OCCMA. V. PROGRAM COSTS A. Annual Operating Costs. Where not otherwise funded, the annual operating budget, including all costs of equipment, goods, COUNTY services (including, but not limited to, applicable COUNTY and COUNTY'S departmental overhead), and all professional services costs incurred by the COUNTY, and any cost of the MS4 permits, as determined by the COUNTY in its role as administrator of the OC Stormwater Program, shall be a shared cost and allocated among the COUNTY, DISTRICT, and CITIES, and paid for as follows: Participants Percentage Contribution DISTRICT 10 CITIES + COUNTY 90 The individual percentage contributions from each CITY and the COUNTY shall be functions of their respective dry land areas and population relative to those of the entire County of Orange. Each area shall be calculated as one-half of the sum of the area and population fractions, multiplied by 90%. National forests, state parks, airports, landfills, oceans, harbors, tidal bays, and active military installations shall be excluded from area calculations (Exhibit A-1). The contribution of the COUNTY shall be calculated from unincorporated areas and their respective populations. Should any external or alternative sources of funding become available, those funds may be directly applied to the appropriate budget(s) before the shared cost percentages are applied to the PERMITTTEES or credited to a subsequent budget. 11 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 Share in percent for jurisdiction #1= { (Xl/Xtot) + (Y1/Ytot) 1/2 x (90) X = area Y = population tot = total population or area 90 = total percentage excluding the DISTRICT's contribution The percentage share shall be calculated by the COUNTY from population and area data. The population data shall be the most recent annual population estimates produced by the California Department of Finance, and area is based on the most recent OC Public Works survey data available to the COUNTY. Percentage share calculations shall be updated by May of each budget year for the budget year following and shall be included in annual operating budget proposals. Annual operating budget proposals shall be prepared based on the following percentage share computation methods, as applicable, and subject to exclusions in Exhibit A-1: 1. Countywide costs will be calculated as described in the process and formula above and subject to Exhibit A-1 for the entire group of PERMITTEES. 2. Regional costs, specific to only one RWQCB permit (Santa Ana Region and San Diego Region), will be calculated based on the process and formula above for PERMITTEES within the respective permit geographic area. For PERMITTEES that have jurisdiction in both permit regions, the regional costs will be based on the land area and prorated population for that permit geographic area. 3. Sub -budgets shall be based on the PARTICIPATING PERMITTEES and their corresponding area and prorated population total within the geographic area subject to the specific sub -budget. 4. In the event of a regulatory directive issued to PERMITTEES requiring amendment of any approved budget, the COUNTY shall provide immediate 12 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 notice to the included PERMITTEES and hold discussions with respect to responding to the directive and funding the immediate response. Such budget amendments shall be subject to the Majority Approval referenced in Section III.A.l.d. 5. If at any time during a budget year costs exceed the sum of the deposits for any approved budget, and prior Majority Approval for such exceedance has been obtained, the COUNTY shall submit invoices to the involved PERMITTEES to recover the deficit. The share for each PERMITTEE shall be prorated according to the formula that was initially used to apportion budget costs. Each CITY shall pay the invoice within 45 calendar days of the billing date. 6. If at any time costs exceed the sum of the deposits for any approved budget, the COUNTY may propose a budget increase and request payment by the PERMITTEES, and PERMITTEES shall pay such amount, provided the budget increase is approved in accordance with sections III.A.1.c-d or III.A.2.c of this Agreement, as may be applicable. Until such approval is obtained and sufficient deposits received, the COUNTY may, at its sole discretion, cease carrying out approved budget components so as to limit or not incur costs in excess of deposits. Nothing in this AGREEMENT shall be construed as requiring PERMITTEES to approve budget increases. 7. The COUNTY shall prepare a budget year-end accounting within 120 calendar days of the end of the budget year and present the same to the involved PERMITTEES for review. If the budget year-end accounting results in the sum of the deposits exceeding costs (net of interest earnings), the excess deposits shall carry forward to reduce the obligation of the PERMITTEES for the following budget year and prorated to the CITIES consistent with the cost -sharing population and area data 13 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 calculation above. 8. The COUNTY shall invoice each CITY for its annual share of each approved budget by November 30 of each budget year. Each CITY shall pay their deposit(s) within 45 calendar days of the billing date or within 45 calendar days of November 30, whichever is later. Each CITY'S deposit(s) shall be based on their prorated share(s) of the approved budget(s), reduced for any carry forward amount identified in the prior budget year-end accounting. 9. The COUNTY shall hold each CITY's annual share of each approved budget in interest -bearing accounts and credit interest earned on each CITY's annual share against each CITY's share of the approved budget costs. The COUNTY shall maintain records regarding interest earned and credited on each CITY's annual share and provide the same to the CITIES within 120 calendar days of the end of the budget year. 10.Upon termination of this AGREEMENT, a final accounting shall be performed by the COUNTY and presented to the PERMITTEES for review. If the sum of the deposits exceeds the costs, the COUNTY shall reimburse to each CITY its prorated share of the excess, within 120 calendar days of the final accounting. VI. LIFE OF THE AGREEMENT The term of this AGREEMENT shall be indefinite, unless amended or terminated in accordance with this AGREEMENT. VII. ADDITIONAL PARTIES Any CITY which becomes incorporated after the effective date of this AGREEMENT, or requests to become a party to this AGREEMENT after previously withdrawing pursuant to Section VIII, shall be eligible to become a party to this AGREEMENT, subject to Majority Approval. In approving adding additional cities to this AGREEMENT, the PERMITTEES may 14 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 require such conditions of the added cities as they determine necessary or advantageous. The date of initiation, for determining costs for newly incorporated cities, shall be the date of incorporation. The costs for adding additional cities to this AGREEMENT and OC Stormwater Program including, but not limited to, permit and processing fees, as well as administrative costs incurred by the COUNTY and costs to reimburse the existing PERMITTEES for unreimbursed costs related to a previous withdrawal (if applicable), shall be calculated by the COUNTY, approved by Majority Approval of the PERMITTEES and, thereafter, invoiced by the COUNTY and paid by the added city(ies) within 45 calendar days of the billing date. Monies to be reimbursed to the existing PERMITTEES shall carry forward to reduce the billings for the following budget year. VIII. WITHDRAWAL FROM THE AGREEMENT A CITY may withdraw from this AGREEMENT by providing at least 60 calendar days written notice to the COUNTY. The COUNTY shall notify the PERMITTEES within 10 business days of receipt of any withdrawal notice. Neither the COUNTY nor any PERMITTEE shall be responsible for advising the withdrawing CITY of the legal, regulatory, or programmatic effects of withdrawing, nor have any continuing responsibility to the withdrawing CITY upon the effective date of the withdrawal. The withdrawing CITY shall be solely responsible for any costs the withdrawing CITY may incur related to its withdrawal, including, but not limited to, penalties assessed by RWQCBs, and or other resource agencies (e.g., EPA, CDFW, etc.) in connection with or related to its withdrawal. In addition, withdrawal shall constitute forfeiture of any deposits on hand from the withdrawing CITY, for the budget year in which the withdrawal is effective. If the effective date of a withdrawal is within 60 calendar days of the beginning of any budget year, the withdrawing CITY shall be responsible for paying its annual 15 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 share for the upcoming budget year as if it were still a PERMITTEE participating in this AGREEMENT but shall be eligible to receive a credit for any prospective carry forward amount of such annual share as may be contemplated by this AGREEMENT. The cost allocations to the remaining PERMITTEES participating in this AGREEMENT shall be recalculated and collected and/or credited as necessary in the budget year following the effective date of the withdrawal. IX. NON-COMPLIANCE WITH PERMIT OR ORDER REQUIREMENTS Each PERMITTEE shall remain solely responsible for its own acts and omissions with respect to compliance with requirements of an MS4 permit or other order of the RWQCBs or SWRCB to which it may be subject, and nothing herein shall be deemed to waive, release, or transfer any such responsibility to any other PERMITTEE. Nothing in this AGREEMENT shall be construed as an assumption by any PERMITTEE of any liability or obligation of another PERMITTEE, whether past, present, or future. X. LEGAL ACTION/ COSTS/ ATTORNEY FEES In the event of legal action to enforce any provision of this AGREEMENT, each party shall bear its own attorneys' fees and costs, and no party shall seek to recover the same from any other party through litigation or other legal proceedings. XI. AMENDMENTS TO THE AGREEMENT This AGREEMENT may be amended with Majority Approval. The COUNTY and the DISTRICT shall represent one voting PERMITTEE with their percentage contribution equal to the total of the COUNTY and the DISTRICT as described in Section V. No amendment to this AGREEMENT shall be effective unless it is in writing and signed by the duly authorized representatives of the COUNTY and the required Majority Approval of PERMITTEES. XII. NOTICES 16 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 All notices required under Section VIII shall be deemed duly given if delivered by hand (with written confirmation of receipt); via electronic mail (with confirmation of transmission); or three (3) days after deposit in the U.S. Mail, postage prepaid. XIII. GOVERNING LAW This AGREEMENT shall be governed and construed in accordance with laws of the State of California. If any provision or provisions of this AGREEMENT is held to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not any way be affected or impaired hereby. XIV. CONSENT TO BREACH NOT WAIVER No term or provision hereof shall be deemed waived and no breach excused, unless such waiver or consent shall be in writing and signed by the duly authorized representative of the PERMITTEE to have waived or consented. Any consent by any PERMITTEE to, or waiver of, a breach by the other, whether express or implied, shall not constitute a consent to, waiver of, or excuse for any other different or subsequent breach. XV. APPLICABILITY OF PRIOR AGREEMENTS This AGREEMENT restates and amends the provisions in prior agreements and constitutes the entire AGREEMENT between the PERMITTEES with respect to the subject matter. All prior agreements, representations, statements, negotiations, and undertakings are superseded hereby. XVI. EXECUTION OF THE AGREEMENT This AGREEMENT may be executed in counterparts, and the signed counterparts shall constitute a single instrument. The parties agree that this AGREEMENT may be executed and delivered by electronic means, including via email or electronic signature platforms (e.g., DocuSign, Adobe Sign), and that such electronic signatures shall be deemed to have the same legal 17 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 effect as original signatures. Each party agrees that electronically signed documents shall be valid, enforceable, and admissible in any legal proceeding to the same extent as a manually signed original. XVII. NO WAIVER OF PRIVILEGE AND/OR WORK PRODUCTION PROTECTION Notwithstanding anything in this Agreement to the contrary, nothing in this AGREEMENT shall require a party to release or provide information (including any reports, communications, data, etc.) that has been deemed by that party to be subject to the attorney -client privilege, attorney work product doctrine, or any other relevant privilege and protection, including, but not limited to, any reports or information generated by a party's consultant that was prepared in consultation with, or at the direction of, such party's attorney or counsel of record. Nothing in this AGREEMENT shall prohibit the parties hereto from entering into future agreements, including joint defense agreements, common interest agreements, or other similar agreements to share such privileged or protected information subject to the terms and conditions of such an agreement. Ila Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 IN WITNESS WHEREOF, the parties hereto have executed this AGREEMENT on the dates opposite their respective signatures: Date: Date: APPROVED AS TO FORM COUNTY COUNSEL ORANGE COUNTY, CALIFORNIA By Date: ORANGE COUNTY FLOOD CONTROL DISTRICT A body corporate and politic By Chairman of the Board of Supervisors COUNTY OF ORANGE A body corporate and politic By Chairman of the Board of Supervisors SIGNED AND CERTIFIED THAT A COPY OF THIS AGREEMENT HAS BEEN DELIVERED TO THE CHAIRMAN OF THE BOARD By ROBIN STIELER Clerk of the Board of Supervisors of Orange County, California Julia Woo, Senior Deputy 19 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF ALISO VIEJO Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 20 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF ANAHEIM Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 21 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF BREA Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 22 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF BUENA PARK Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 23 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF COSTA MESA Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 24 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF CYPRESS Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 25 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF DANA POINT Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 26 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF FOUNTAIN VALLEY Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 27 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF FULLERTON Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney S Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF GARDEN GROVE Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 29 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF HUNTINGTON BEACH Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 30 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF IRVINE Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 31 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF LA HABRA Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 32 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF LA PALMA Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 33 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF LAGUNA BEACH Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 34 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF LAGUNA HILLS Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 35 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF LAGUNA NIGUEL Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 36 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF LAGUNA WOODS Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 37 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF LAKE FOREST Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney _S Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF LOS ALAMITOS Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 39 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF MISSION VIEJO Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 40 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF NEWPORT BEACH Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 41 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF ORANGE Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 42 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF PLACENTIA Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 43 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF RANCHO SANTA MARGARITA Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney m Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF SAN CLEMENTE Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 45 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF SAN JUAN CAPISTRANO Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 46 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF SANTA ANA Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 47 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF SEAL BEACH Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney W• Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF STANTON Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney m Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 Docusign Envelope Ip: OA893AEE-A781-8ABF-814D-9B7616683813 CITY OF TUSTTN Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 50 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF VILLA PARK Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 51 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF WESTMINSTER Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 52 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 CITY OF YORBA LINDA Date: ATTEST: City Clerk By: Mayor APPROVED AS TO FORM: City Attorney 53 Docusign Envelope ID: B2942A1C-7706-82A5-815E-075EA3096335 EXHIBIT A - 1 DRY LAND AREA DEDUCTED FROM JURISDICTIONS Landfills Olinda Santiago Prima Deschecha Bee Canyon Coyote Canyon Ctatc Pnrj,c Bolsa Chica State Beach* Chino Hills State Park Corona Del Mar State Beach Crystal Cove State Park** Doheny State Beach Huntington State Beach San Clemente State Beach Airports Fullerton John Wayne Military facilities Joint Forces Training Base - Los Alamitos Former MCAS Tustin*** Seal Beach Naval Weapons Station**** National Forests Cleveland National Forest Jurisdiction County County County County County Huntington Beach County Newport Beach County Dana Point Huntington Beach San Clemente Fullerton County Los Alamitos Tustin Seal Beach County *Includes Bolsa Chica Ecological Preserve **Includes Laguna Laurel Ecological Preserve ***Active military areas ****Includes Seal Beach National Wildlife Refuge 54