Res 92-044RESOLUTION NO. 92-044
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF POWAY, CALIFORNIA
SUPPORTING SENATE BILL 1225
ENDORSING THE CREATION OF THE
SAN DIEGO AREA WASTEWATER MANAGEMENT DISTRICT
WHEREAS, the Clean Water Program Governance Advisory Group was
established by Resolution Number R-274888 adopted December 12, 1989 to advise
the Council of the City of San Diego concerning the appropriate entity for the
management and organization needed to implement the Greater San Diego Clean
Water Program, with due consideration to be given by the Advisory Group to the
financial impacts of such recommendation; and
WHEREAS, the Advisory Group has recommended the implementation of a
special act district to be called the San Diego Area Wastewater Management
District, which recommendation has been approved by the following
participating agencies in the Metropolitan Sewerage System: San Diego, Chula
Vista, Coronado, Del Mar, Imperial Beach, La Mesa, National City, Poway, the
County of San Diego, Lemon Grove Sanitation District, Padre Dam Municipal
Water District and the Otay Water District as well as the San Diego County
Water Authority; and
WHEREAS, the San Dieqo City Council authorized and empowered its
City Manager on behalf of the City, by Resolution Number R-277309, adopted
February 4, 1991 to forward to the California State Legislature enabling
legislation, Senate Bill 1225, providing for the formation of the San Diego
Area Wastewater District to provide regional management of wastewater and its
by-products; and
WHEREAS, a program of public improvements known as Alternative IVA,
Phase I, to upgrade the Metropolitan Sewerage System to comply with the Clean
Water Act, the State Ocean Plan, and the Coastal Commission requirements
includes the following projects to be completed by the end of 2003:
Clean Water Operations Network (COMNET)
East Mission Bay Pipeline
Fiesta Island Replacement Project
Mission Valley Pipeline
Mission Valley Raw Sludge Pipeline
Mission Valley Water Reclamation Plant
Mission Gorge Water Reclamation Plant
North City Pipeline
North City Treatment Plant
North City Tunnel Connector
Northern Sludge Processing Facility
Otay Valley Pipelines
Otay Valley Water Reclamation Plant
Point Loma Outfall Extension
Pomerado Water Reclamation Plant
Poway Raw Sludge Pipelines
San Diego River Outfall
Santee Raw Sludge Pipeline
Resolution No. 92-044
Page 2
Santee Reclaimed Water Pipeline
Santee Water Reclamation Plant
South Bay Secondary Treatment Plant
South Bay Water Reclamation Plant
Southern Secondary Treatment Plant Sewers
Southern Sludge Processing Facility
Southern Water Reclamation Sewers; and
WHEREAS, the predesign, design and construction costs of the Alternative
IVA, Phase I projects total approximately $2,529,000,000 excluding the
Pomerado, Poway and Santee projects and financing costs.
WHEREAS, the City of San Diego is pursuing federal legislation to enable
an application for a waiver to secondary treatment at the Point Loma Treatment
Plant which may result in the cancellation of some of the Alternative IVA
public improvements; and
WHEREAS, the creation of the San Diego Area Wastewater Management
District will result in a stronger credit rating and lower borrowing costs
than either the City of San Diego continuing to own, operate and borrow for
the System, or the creation of a joint powers authority; and
WHEREAS, the Financial Advisor to the City of San Diego has advised that
over the borrowing life of the program (a) when compared with using the City
of San Diego as an issuer, the special act district may save up to five (5)
basis points of interest (.05%) on identical financing options, possibly
amounting to $25 to $50 million in interest savings on the borrowing program;
(b) when compared with using a joint powers authority as issuer, the special
act district may save up to 7.5 basis points of interest (.075%) on identical
financing options, possibly amounting to $37.5 to $75 million in interest
savings on the borrowing program; and (c) when compared with the financing
option of Certificates of Participation (COP's), the only other financing
option available to the City of San Diego when an electorate does not support
a bond issue, the special act district may save up to twenty basis points
(.2%), possibly amounting to $100 to $200 million in additional costs; and
WHEREAS, the current operating agreements between the City of San Diego
and the Metropolitan Sewerage System participating agencies do not provide the
participating agencies with a meaningful method of voicing their opinions on
System operations prior to System operating decisions being made; and
WHEREAS, the participating agencies strongly desire greater decision-
making control over policies and procedures of the Metropolitan Sewerage
System;
NOW, THEREFORE, BE IT RESOLVED, by the City of Poway that the passage
and implementation of the document known as Senate Bill 1225 is in the best
interest of the customers of the Metropolitan Sewerage System by creating a
regional organization and governance structure for the Metropolitan Sewerage
System to provide the best public service at least cost.
Resolution No. 92-044
Page 3
APPROVED AND ADOPTED by the City Council of the City of Poway, State of
California this lOth day of March , lgg2.
ol dsmi tj.~ y
Marjori~. Wahlsten, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
I, Marjorie K. Wahlsten, City Clerk of the City of Poway, do hereby
certify under penalty of perjury that the foregoing Resolution No. 92-044
was du~ ~dopted by the City Council at a meeting of said City Council held on
the t day of March , 1992 , and that it was
so adopted by the following vote:
AYES:
EMERY, HIGGINSON, MCINTYRE, SNESKO, GOLDSMITH
NOES: NONE
ABSTAIN: NONE
ABSENT: NONE
Marjorie~(. Wahlsten, City Clerk
Citj~QJ~ Poway