On March 27, 2007, the San Bernardino County Board of Supervisors adopted the following resolution (Item 24 on the consent calendar) to seek a loan from the State of California to bring the Pioneertown water system into compliance with state water regulations. - Editor
FY 2006/07 SUBMITTAL OF LOAN APPLICATION PACKAGE AND DESIGNATION OF REPRESENTATIVE FOR SAFE DRINKING WATER STATE REVOLVING FUND (SDWSRF) LOAN PROGRAM, COUNTY SERVICE AREA 70, IMPROVEMENT ZONE W-4 (PIONEERTOWN)
RECOMMENDATION: Acting as the governing body of County Service Area 70, Improvement Zone W-4 (Pioneertown):
1. Adopt Resolution No. 07-______, authorizing submission of a loan application to the State of California, Department of Health Services (DHS) - the Safe Drinking Water State Revolving Fund (SDWSRF), in the amount of $1,460,480, for the purpose of funding the construction of water improvements that will bring the Pioneertown water system into compliance with the DHS requirements.
2. Authorize the Director of the Special Districts Department, or his designee, to apply for and execute all necessary documents, agreements and amendments for the purposes of securing these loan funds.
BACKGROUND INFORMATION: The Special Districts Department, Water and Sanitation Division manages, operates and maintains water facilities in County Service Area 70, Improvement Zone W-4 (CSA 70 W-4) that provide water service to the residents of this area.
The water system encompasses approximately 640 acres, serves 126-metered connections, includes 9 domestic water wells (6 of which are active), maintains 310,000 gallons of storage, and distributes water to its customers through 4.4 miles of distribution piping.
CSA 70 W-4 extracts water from a declining aquifer resulting in system deficiencies in both water quality and quantity. Currently, the water supply experiences contaminant levels near or above the maximum contaminant levels for uranium, arsenic and iron content. As the water level in the aquifer continues to decline, it is anticipated that water quality will also continue to degrade.
Customers in CSA 70 W-4 are notified annually that CSA 70 W-4 cannot consistently provide water that meets the DHS standards and are advised to use bottled water or treat their water for consumption.
The main goal of the SDWSRF loan program is to provide necessary financing for small water systems to make improvements that will bring the systems into compliance with the DHS requirements.
The proposed project to correct the system deficiencies includes an interconnection to the neighboring High Desert Water District (HDWD) for water supply, and HDWD has indicated informally that they consent to sell water to CSA 70 W-4.
Delivery of the water to CSA 70 W-4 requires the construction of approximately 3.5 miles of 8-inch diameter waterline and a booster station to get the HDWD water to CSA 70 W-4’s existing water storage reservoirs. The proposed off-site pipeline will connect to the existing CSA 70 W-4 water distribution system for delivery to customers and the storage reservoirs.
The cost to purchase water supply from the HDWD and the additional operations and maintenance costs for the new facilities will result in a substantial increase in user fees.
Approval of these recommendations will adopt a resolution authorizing the submission of a SDWSRF loan application to the DHS for the purpose of constructing water improvements that will bring the CSA 70 W-4 water system into compliance with DHS requirements, and authorize the Director of the Special Districts Department, or his designee, to apply for and execute all necessary documents, agreements and amendments for the purposes of securing these loan funds.
REVIEW BY OTHERS: This item has been reviewed by County Counsel (L. Thomas Krahelski, Deputy County Counsel, 387-5436 and Dawn M. Messer, Deputy County Counsel, 387-8900) on March 7, 2007; and by the County Administrative Office (Wayne Thies, Administrative Analyst, 387-5409) on March 16, 2007.
FINANCIAL IMPACT: The loan proposal requests $1,460,480 in funding through the SDWSRF loan program. If approved, it is anticipated that funding would be received toward the end of the current fiscal year and the budgetary provisions for the loan would be included within the 2007/08 CSA 70 W-4 budget. A loan covenant will be prepared for future Board approval, in conjunction with the acceptance of the loan, and will address the user rates to cover the debt service on the loan.
SUPERVISORIAL DISTRICT(S): Third