HomeMy WebLinkAboutMINUTES - 07221997 - C81 TO: BOARD OF SUPERVISORS 5-----
Contra
FROM: BOS WATER COMMITTEE • "j i
Costa
SUPERVISOR GAYLE B. UILKEMA, CHAIR ^-.�
County
SUPERVISOR JOE CANCIAMILLA
DATE: JULY 22, 1997 �o,
s'q'�eUn
SUBJECT: REPORT FROM WATER COMMITTEE ON BALDWIN SHIP
CHANNEL/MARINE PIPELINE LINK PROJECT
SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND & JUSTIFICATION
RECOMMENDATION:
AUTHORIZE Chair to sign a letter to former Assistant Secretary Lancaster thanking him
for granting an exception for the Baldwin Ship Channel/Marine Pipeline Link Project, to
allow continuing Federal interest (and funding) for the Project.
FISCAL IMPACT:
There is no financial impact associated with this action.
BACKGROUND/REASONS FOR RECOMMENDATION:
The San Francisco-to-Stockton Ship Channel, as authorized by Congress in 1965, was
comprised of five channel deepening segments. Deepening of the channel has the effect
of allowing deeper draft vessels to proceed further upstream, thus reducing or eliminating
the potentially dangerous practice of off-loading or lightering of vessels in-bay, to allow for
their safe passage upriver. The last segment to be deepened has yet to be completed,
running from Richmond to Avon, east of the Martinez-Benicia Bridge. This segment has
been problematic, primarily due to the issue of salinity intrusion and its effect on delta
freshwater supplies, and how to best measure the impacts associated with dredging this
section. How to quantify the salinity impacts remains at issue, rendering this project
unimplementable at this time. Another alternative has been identified which satisfies the
same goals as the original project, known as the Richmond Marine Pipeline Link. This
alternative provides for a pier and tank storage in the Richmond area, near Point Orient.
Fully laden vessels could proceed to this facility, and offload crude for transportation to
the respective refinery via pipeline. An existing PG&E pipeline, which connects to the
refineries is available for this purpose.
CONTINUED ON ATTACHMENT: X YES SIGNATURE:
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
APPROVE OTHER
SIGNATURE(S)•
Sue sor ale B. ilkema, Chair S is Joe Canciamilla
ACTION OF BOARD 01\1.1,13z ?91 1�97 APPROVED REGOMMENDED X OTHER
VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE
AND CORRECT COPY OF AN ACTION TAKEN
X UNANIMOUS (ABSENT ) AND ENTERED ON THE MINUTES OF THE
AYES: NOES, BOARD OF SUPERVISORS ON THE DATE SHOWN.
ABSENT: ABSTAIN:
ATTESTED July 22, 1997
Contact: Roberta Goulart(335-1226) PHIL BATCHELOR
c.c.: Community Development Department(CDD) CLERK OF THE BOARD OF SUPERVISORS
County Administrator & COUNTY ADMINISTRATOR
BY: v, , DEPUTY
RG:rw
RRG4:7-22wc2.7bd
BOARD ORDER
Report from Water Committee on Baldwin Ship
Channel/Marine Pipeline Link Project
-Page 2-
July 22, 1997
BACKGROUND/REASONS FOR RECOMMENDATION (Cont'd):
With the inclusion of the Richmond Marine Pipeline Link in the project, questions arose
from the Army Corps of Engineers Headquarters related to the single owner issue
(Wickland Oil would own the pipeline terminal on Port of Richmond land) and whether the
project was consistent with the original 1965 authorization. On May 8, 1997, the Chief of
the planning division of the Corps concluded that, based on the single-owner policy,
federal participation in the project was not warranted. Over the next weeks, staff and the
Corps worked toward a better understanding of this problem. On June 30, 1997, as one
of his last actions before retiring, Assistant Secretary for Civil Works Martin Lancaster
signed an exception to the single-owner policy for this project, allowing the project to
continue as a federal-local partnership.
The Water Committee recommends that a letter of appreciation be sent to Former
Assistant Secretary Lancaster for his help in this matter.
RRG4:7-22wc2.7bd
06 06 '97 09:57 I D:E DEL STM H WHUt e
08/08/07 7:11 QYo! 225 tell RESOURMS - DENS X001
Conarto of the l tttb Otattis
0144(ft0k "20515 —KEG*`1 VE U
June 5, 1997 JUN 10 1997
The H rable Martin H.Lancaster UPERVIS(11" !I L KEMA
Asshstsrh Secretary for Civil Works
108 Am r Pentagon,Room 2E570
WashinzonD,C. 20314-0108
Subject: ntra Costa County, San Franclsoo-to-Stochon(John F.Baldwin)Ship Channel
Prof sh the Richmond Marine Link Pipeline Alternative
Dear .
The Co ty of Contra Co"California is the local(non-faderal)sponsor for Phase III of the
John F. aldwin ship channel deepening project(the Project), authorized by the Rivers and
Harbors of 1965(Public Law 89-298). The Project would deepen shallow channel sections
to-45' om the Richmond area to Avon,east of the Martinez Benicia Bridge. The County is also
State C QA lead agency for the joint environmental impact rcport/statement being prepared for
the Proj . The undersigned Members believe that certain single-owner and project authorization
issues such that the proposed Richmond Marino Link Pipeline System(RMLPS)design
alterna"d o to the Phase III,Baldwin Ship Channel project should be eocemaed in the National.
Sscal an environmental interest.
The p se of the Project is to accommodate the continued delivery of aside oil in existing and
larger ships to refineries and termirWs in north Contra Costa and southern Solano County.
The Pr oct would minimize the potentially dangerous practice of ship-to-ship crude oil transfers
(called ghteting)within San Francisco Bay. The County supports the inclusion of an additional
altern to channel deepening,which serves the same purposes and has the same benefits as the
d project,while minuni ing unfavorable environmental,technical and economic impacts.
This alt Ive is known as the Richmond Marine link Pipeline System(PJAL.PS), and includes
amuth g only a small downstream portion of the Baldwin Channel,resulting in substantial
reduction in Federal cost and environmental impacts.
�!Tnn
eS would consist of a now berth and tank farm within the Port of Richmond,at the
f the Southampton Shoal Channel(a•45'6edaul channel). As a tenant of the Port of
Rithe RMLPS will be liable to the Port for land rent and crude oil throughput UWM.
Therm facility would connect to an odatinwg pipeline which serves all of the operating
reSnThe berth,tank fine,and pipeline delivery systern would be operated as a common-
lic utility,under the jurisdiction of the California Public UdWes Commission(CPUC)
owd the Federal Energy Regulatory Commission(FERC).
The S would minimize or avoid many of the adverse environmental effects of the channel
• Q)/06 '97 09:57 I D:E DEL SM 1 TH FAX:202-822-8315 PAGE 3
00.!94/07 1 :ii Qioz ::a 1031 WSOURcsS - DBMS 91002
The Honorable Martin R Lancaster
Juno 5, 1 n7
Page 2
deep " alternative,which have precluded Project construction to date. The RMLPS will
require y 25,000 cubic yards of dredging, versus 9 million cubic yards fbr the cimmel
dee ahernativa Despite years of study,the effects of channel drodgtng and resultant
salinity on into.delta freshwater supplies aro still not quantified. Impacts to drinking water
quality f r millions of CWornla rawidetats and resultant mitigation measures remain unknown.
The dw nel deepening altecnstive Is not implementable until and unless the salinity Issue can be
quantifis J and mitigated;these impacts are eliminated by the RMLPS alternative.
The S has the added economic effect of a project cost which is significantly less to the
federal ver mart and the local sponsor. The channel deepening alternative has a federal cost
App $100 million,with the RMLPS requiring approximi<tely$500,000 or less of federal
tilnding, including design.
While a 500,000 Federal expenditure to dredge approximately 25,000 cy may not appear to
warrant ederAl involvement,it must be understood that this minimal dredging is the precursor to
a maJor oliow-on project to deepen the Southampton Channel and Extension to-50ft.which will
bring th San Francisco Bay Area channel network into parity with other West Coast ports. The
Sou pton Channel and Extension deepening project Reconnaissance Study is now nearing
complet on. Funds to initiate the Feasibility Phase of the study are included in the President's
Budget or Fiscal Year 1996 under the San Francisco Bay Bar Channel Study.
Two po cy Issues have recently been raised by Corps of Engineers Headquarters staff at an Issues
Resolu on Conference held for the revised project on April 10, 1997. At issue is whether the
existing.authorization for the Project covers the RMLPS Alternative,and whether the RMLPS
compli with Bngineer Regulation No. 1165-2-123 (Water Resources Policies and Authorities,
Sings er Situations). no Corps ofEnginom reviewed these issues in-depth both prior to
and Aftdr the'Isaues conference,and initially had concluded that the authorization language covers
the RM LPS design alternative, and that the RMLPS is in the Federal interest and should be
• constru
Des 'Despiu these recommendations,the Corps'Headquarters aafl•has taken a narrow interpretation
of'the i egulation,concluding the RMLPS violates the single-owner situation. This cunront state
of jeopardizes resolution of the safe uUsport of crude in the San Francisco Bay area,
pArticu ady when an economic and environmentally xmnd alternative exists. Inclusion of the
RMLP i altsntative('indeed the only viable alternative without Project salinity data), achieves tla
exticuli ted national objectives ofthe project as authorized by Congress in 1965.
The un iersigned Members believe that the proposed Richmond Marino Link Pipeline System
design aternative for the Project fits within the Project's 1%5 Congressional authorization and
compli with the requirements of Section 317 of the Watu Resources Development Act of 1990.
06..106. '97 0958 I D:E DEL SMITH FAX:202-822-8315 PAGE 4
•08a'08/07 7:13 0202 225 1931 RESOURCES — DENS Q003
The Honorable Martin H. LAncuter
June S, 1997
Page 3
The RM.PS is environnaatsUy sound, fiscally prudent and should be executed In the national
b"rest. our prompt resolution of this maw is appreciated.
4
LL EN TAUSCHER
istria, Califo I&District,Califbrnia
VI O
31d Dct, on is
CONTRA COSTA COUNTY
COMMUNITY DEVELOPMENT DEPARTMENT
TO: WATER COMMITTEE
Supervisor Gayle Uilkema, Chair
Supervisor Joe Canciamilla
FROM: Roberta Goulart, Water Agency Staff
DATE: June 30, 1997
SUBJECT: UPDATE ON SHIP CHANNEL NAVIGATION PROJECTS
BALDWIN SHIP CHANNEL/RICHMOND MARINE PIPELINE LINK
The 1965 Congressionally-authorized project consisted of dredging of the existing ship channel
between Richmond and Avon, CA(east of the Martinez/Benecia Bridge) from -35 to -45 feet
MLLW. This project would substantially reduce the off loading (lightering) of crude oil from
larger ships to smaller vessels in San Francisco Bay, then allowing the (lightered) vessels to
proceed upstream to the refineries located along the Carquinez Strait.
Dredging and disposal of about 9 mcy of material as part of this project presented several
challenges, among them the estimation of salinity increase into the Delta as a result of dredging,
and the disposal opportunities for this quantity of material. After several years of both physical
and numeric modeling of the Bay-Delta estuary, the impacts of salinity intrusion upon Delta
water supplies remain largely unknown. Because the Delta is the fresh water source for 2/3rds of
California, impacts on this water source need to be accurately quantified. According to the
Corps of Engineers, they do not believe that accurate quantification of salinity impacts is feasible
at this time. Therefore this project is not implementable until such a realistic analysis of impacts,
and subsequent proposed mitigation measures, can take place. As this situation began to look
more probable, several years ago, Wickland Oil introduced the Richmond Marine Pipeline Link
Alternative.
Recent Issues: Single Owner and Congressional Authorization for the Marine Link
Since that time, the County has been working with the Army Corps of Engineers on this
alternative, which has been included in the (ongoing) environmental documentation for the
project. This alternative has had the consistent and ongoing support of the Corps, until relatively
recently,when staff at Corps Headquarters in Washington raised questions related to single-
owner and authorization issues. On May 8, 1997,the Chief of the Planning division in
-,Headquarters concluded that,based on the single-owner policy, further federal participation in
the project was not warranted. Over the next couple of weeks, staff and the Corps local District
and Division offices,tried to understand what had happened, and how best to deal with this issue.
Congressional Representatives, long supporting our project,heard of this and with our help, on
June 5, 1997, sent a letter to the Assistant Secretary of the Army,requesting reconsideration of
this issue. On June 30, 1997, the Assistant Secretary of the Army granted an exemption for the
Baldwin/Marine Pipeline Link, therefore the project is again included within the Federal interest.
At this time, environmental documentation for the project is continuing,with a draft
Environmental Impact Statement/Report scheduled to be released in August, 1997.
THE SOUTHAMPTON SHOAL AND EXTENSION PROJECT
The Southampton Shoal project,is currently undergoing a reconnaissance-level review by the
Corps of Engineers. This reconnaissance study also includes the San Francisco Bar deepening
and rock removal in the Alcatraz area. The Southampton Shoal project will be separately
evaluated in a feasibility study(project engineering and design, environmental review),
beginning October 1997. The Southampton Shoal, a channel extension into the Marine Link
area, and the Chevron Long Wharf area, is included and considered for deepening to -50 feet.
This will have the effect of essentially eliminating lightering, and the need for ships to utilize
high tides before venturing into this area. The County as local sponsor for the project,will have
to enter into a contract with the Corps of Engineers for cost sharing for the feasibility study,with
the local share at 50%of total costs, estimated at about $600,000 each. The FY 1998
President's Budget includes $600,000 for this purpose. The local share is, as usual,paid by the
project beneficiaries, through the County.
COUNTY AS LOCAL SPONSOR FOR SUISUN,NEW YORK SLOUGH, EAST COUNTY
Some years ago, industry in the east county area requested that the County take local sponsorship
responsibility from the Port of Stockton for channel areas located in Contra Costa County. The
Port agreed, and several years later, an agreement was reached for an amendment to the original
contract between the Port and the Corps to allow this change. The County will not, however,
sign the amendment until such time as industry and the County sign an indemnification
document which passes all costs for local sponsorship responsibilities incurred by the County to
industry. Industry provided such a document, which has been revised by staff and County
Counsel, and is being rewritten in final form and provided back to industry for their signature.
The'Board of Supervisors Contra �r'��
County Administration BuildingCOSta C s�o Administra
�soon
651 Pine Street, Room 106
Martinez,California 94553-1293 County
Jim Ropers,1st District
S E..
Gayle B.Ulikeme,2nd District
Donna Gerber,3rd District ! _-
Mmrk DsSsulnler,4th Muict
Joe Canclille�5th District �h �a
am
.,o
�o_., r�•,CPQ
Mr. Martin Lancaster July 22, 1997
President
North Carolina Community College System
200 West Jones Street
Raleigh,North Carolina 27603-1379
Dear Mr. Lancaster,
The Contra Costa County Board of Supervisors would like to thank you for
taking the time to address issues related to our project,the Baldwin Ship
Channel/Richmond Marine Pipeline Link,before you retired as Assistant
Secretary for Civil Works. We understand that on your last day prior to
retirement, you granted an exception to the single-owner issue,which had been
plaguing us for some time. This was greatly appreciated, and we understand this
must have been difficult to accomplish, on your last day in that office.
We want you to know that your efforts were greatly appreciated. And we wish
you well in your new position. The North Carolina Community College System
will benefit greatly from your involvement.
Sincerely,
Mark DeSaulnier
Chair,
Board of Supervisors