HomeMy WebLinkAboutMINUTES - 09282004 - C.14 ON
TO: BOARD OF SUPERVISORS, CONTRA.COSTA COUNTY
FROM: FINANCE COMMITTEE
DATE: SEPTEMBER.28, 2004
SUBJECT: ACCEPT REPORT AND ADOPT RECOMMENDATIONS OF THE FINANCE COMMITTEE
REGARDING THE NEW C.3 WATER QUALITY PROVISIONS OF TIME CONTRA COSTA
COUNTYWIDE NATIONAL POLLUTANT DISCHARGE ELIMINATION SYSTEM
MUNICIPAL STORMWATER PERMIT, COUNTYWIDE. (ALL DISTRICTS)
SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION
I. RECOMMENDATION(S):
ACCEPT this report from the Finance Committee regarding actions necessary to comply with the new C3
Provisions of the Contra Costa Countywide National Pollutant Discharge Elimination System (NPDES)
Municipal Stormwater Permit and ADOPT the f've ren mendations of the Finance Committee report.
Continued on Attachment: X SIGNATURE:("
.��ECOMMI ENDATION OF BOARD COMMITTEE
t 7 APPROVE OTHER
SIGNATURE(S):
ACTION OF BOARD ON SEPT. 28, 2004 APPROVED AS RECOMMENDEDxX OTHER
VOTE OF SUPERVISORS
xx UNANIMOUS(ABSENT NODE )
AYES: NOES:
ABSENT: ABSTAIN:
I hereby certify that this is a true and correct copy of an action
RL:cw taken and entered on the minutes of the Board of Supervisors on
Cr.\GtpData\ndCtl\Adnunistration\Board Orders\2004 1101Finance Com-C.3 Provis.doc the({ate shown.
Orifi.Div: Public Works(Food Control)
Contset: Rich Lierly(925)313-2349
cc: CAO
County Counsel
Carlos Behodano,Building Inspection Director ATTESTED: SEPTEMBER 28, 2004Dennis Barry,Comnnufity Development Director
Bart Gilbert,General Services Director JOHN SWEETEN,Clerk of the Board of Supervisors and
Edward Meyer,Agricultural Commissioner
Maurice Shia,Public Works Director County Administrator
Ken Stuart,Environmental Health Director
Dr.William Walker,Health Services Director
Craig Downs,General Manager,Contra Costa County Mosquito&Vector Control District
Karl Malatnud-Roam,Contra Costa County Mosquito&Vector Control District
By ,Deputy
SUBJECT: ACCEPT REPORT AND ADOPT RECOMMENDATIONS OF THE FINANCE
COMMITTEE REGARDING THE NEW C.3 WATER QUALITY PROVISIONS OF
THE CONTRA COSTA COUNTYWIDE NATIONAL POLLUTANT DISCHARGE
ELIMINATION SYSTEM MUNICIPAL STORMWATER PERMIT, COUNTYWIDE.
(ALL DISTRICTS)
DATE: SEPTEMBER 28, 2004
PAGE: 2
The Finance Committee's recommendations are:
A. Direct the Public Works Department to identify street and infrastructure development
standards that integrate smart growth principals and clean water requirements. Further,direct
the Public Works Department to establish a team with the Community Development and
Building Inspection Departments to develop the work program,cost and funding strategy for
this effort and report back to the Finance Committee in two months.
B. Direct the Public Works Department to update the Public Works Design Manual, contract
specifications and procedures to ensure that all road and storm drain projects are in full
compliance with the new NPDES requirements. Direct the General Services Department to
modify or produce contract specifications and procedures to ensure that all County financed
building projects are in full compliance with NPDES requirements. Direct staff of these two
departments to ensure that the budgets for all projects are sufficient to comply with the new
NPDES requirements.
C. Direct the Public Works,Building Inspection,Community Development,Agriculture,Health
Services and General Services Departments,the County Administrator's Office,the County
Watershed Program and the Flood Control and Water Conservation District to work with the
Mosquito and Vector Control District to ensure that each department is revising or developing
new policies,ordinances,procedures and standards necessary to be in full compliance with the
new NPDES requirements by February 15, 2005.
D. Direct staff to prepare an analysis of the various funding mechanisms available to pay for
future clean water activities and to identify the advantages, disadvantages and policy
implications of each.
E. Direct the Redevelopment Agency to research the effects that clean water requirements,
similar to those imposed on the County, have had on other redevelopment agencies and
formulate a strategy to ensure that redevelopment will remain viable and in full compliance
with the new NPDES requirements by February 15, 2005.
II. FISCAL IMPACT:
The costs to implement the recommendations of the Finance Committee report will be reimbursed by
fees placed on building permits pursuant to Resolution dated August 10, 2004.
III. BACKGROUND/REASON(S)-FOR RECOMMENDATION(S):
Since the early 1990s, the Federal Environmental Protection Agency (EPA), via the California
Regional Water Quality Control Boards(RWQCB),has required large urbanized local municipalities
(including Contra Costa County) to obtain NPDES permits. A NPDES permit allows the local
agency to discharge storm water into the waters of the United States. The County is subject to two
such NPDES permits:Permit No.CA0029912,issued by the San Francisco Bay RWQCB and Permit
No. CA0083313, issued by the Central Valley RWQCB. Failure to adhere to the conditions of
_ _
SUBJECT: ACCEPT REPORT AND ADOPT RECOMMENDATIONS OF THE FINANCE
COMMITTEE REGARDING THE NEW C.3 WATER QUALITY PROVISIONS OF
THE CONTRA COSTA COUNTYWIDE NATIONAL POLLUTANT DISCHARGE
ELIMINATION SYSTEM MUNICIPAL,STORMWATER PERMIT, COUNTYWIDE.
(ALL DISTRICTS)
DATE: SEPTEMBER 28,2004
PAGE: 3
NPDES permits exposes a permittee to significant RWQCB fines($10,000/day and$10/gallon)and
potentially more costly lawsuits. A new NPDES permit is required every five years and the RWQCB
has the right to amend the permit at any time. The latest amendment to our San Francisco Bay
RWQCB NPDES permit was made on February 19, 2003, and is commonly referred to as the"C.3
Provisions, " (since it revised Section C.3 of our permit).
In the past,each new permit and revision has increased the requirements placed on County activities
and in turn has increased the County's cost to remain in compliance. The annual budget for our
current NPDES County Watershed Program is approximately three million dollars each year. It is
very difficult to estimate the additional cost for C.3 compliance, but it could range from as low as
$200,000/yr to as much as several million dollars a year, depending on the amount of new
development and redevelopment within the County in any given year. Currently,this program is self-
supported primarily from the County-wide Stormwater Utility Assessment. If additional funding
sources are not developed, the impact on the County General Fund (for compliance or
noncompliance)could be quite significant.
These C.3 Provisions require the County to significantly change the way we currently permit private
development and construct public projects within the County. In an effort to ensure that the County
remains in compliance,several departments,most notably: Public Works,Community Development,
and General Services,along with the County Administrator's Office and the Contra Costa Mosquito
and Vector Control District,have been working to revise and adopt new County ordinances,policies,
provisions and standards. Some of the more significant changes required by these new C.3
Provisions include:
A. Revising and adopting new street and infrastructure development standards that integrate clean
water requirements as well as smart growth principles. This will require a significant joint
effort from the Public Works Department, Community Development Department, General
Services Department, the Building Inspection Department and the Fire Districts.
B. Updating the Public Works Design Manual and updating, modifying or producing contract
specifications and procedures to ensure that all road,storm drain and County financed building
projects are in full compliance with the new NPDES requirements.
C. Researching and developing long-term funding sources to pay for the significantly higher costs
associated with the C.3 Provisions(keeping in mind that costs of compliance with future new
NPDES permits will also likely increase).
At this time,it is uncertain what the total cost of C.3 will be for the County,but it is estimated that the
start up costs will be approximately$600,000 and the on-going long-term costs (depending on the
amount of development and redevelopment in the County)could be$1,000,000 annually. The Board
of Supervisors recently approved a new water quality building permit fee,which will pay for the start
up costs.
SUBJECT: ACCEPT REPORT AND ADOPT RECOMMENDATIONS OF THE FINANCE
COMMITTEE REGARDING THE NEW C.3 WATER.QUALITY PROVISIONS OF
THE CONTRA COSTA COUNTYWIDE NATIONAL POLLUTANT DISCHARGE
ELIMINATION SYSTEM MUNICIPAL STORMWATER PERMIT, COUNTYWIDE.
(ALL DISTRICTS)
DATE: SEPTEMBER.28, 2004
PAGE: 4
Some of the long-term costs related to private development will be borne by the development
community in the form of higher project costs. However,other development related long-term costs
must be paid in some other fashion. It is,therefore,necessary that the County develop options to pay
for these significant long-term costs and implement a strategy to fund them as soon as possible.
In addition to the costs related to private development,there will be significant additional costs related
to County development and redevelopment projects. It will, therefore, be prudent to research how
other agencies have handled these additional new costs and then develop a plan whereby the County
can pay the cost of these significant new requirements.
Public liability exposure related to the newly required permanent water quality"Best Management
Practices" may be extremely costly. Researching how other agencies have dealt with the liability
issues and formulating a strategy to reduce the exposure and cost of liability for the County will also
be critical.
The Finance Committee's recommendations are the following:
A. Direct the Public Works Department to identify street and infrastructure development
standards that integrate smart growth principals and clean water requirements. Further,direct
the Public Works Department to establish a team with the Community Development and
Building Inspection Departments to develop the work program,cost and funding strategy for
this effort and report back to the Finance Committee in two months.
B. Direct the Public Works Department to update the Public Works Design Manual, contract
specifications and procedures to ensure that all road and storm drain projects are in full
compliance with the new NPDES requirements. Direct the General Services Department to
modify or produce contract specifications and procedures to ensure that all County financed
building projects are in full compliance with NPDES requirements. Direct staff of these two
departments to ensure that the budgets for all projects are sufficient to comply with the new
NPDES requirements.
C. Direct the Public Works,Building Inspection,Community Development,Agriculture,Health
Services and General Services Departments,the County Administrator's Office,the County
Watershed Program and the Flood Control and Water Conservation District to work with the
Mosquito and Vector Control District to ensure that each department is revising or developing
new policies,ordinances,procedures and standards necessary to be in full compliance with the
new NPDES requirements by February 15,2005.
D. Direct staff to prepare an analysis of the various funding mechanisms available to pay for
future clean water activities and to identify the advantages, disadvantages and policy
implications of each.
SUBJECT: ACCEPT REPORT AND ADOPT RECOMMENDATIONS OF THE FINANCE
COMMITTEE REGARDING THE NEW C.3 WATER QUALITY PROVISIONS OF
THE CONTRA COSTA COUNTYWIDE NATIONAL POLLUTANT DISCHARGE
ELIMINATION SYSTEM MUNICIPAL STORMWATER PERMIT, COUNTYWIDE.
{ALL DISTRICTS}
DATE: SEPTEMBER 28, 2404
PAGE: 5
E. Direct the Redevelopment Agency to research the effects that clean water requirements,
similar to those imposed on the County, have had on other redevelopment agencies and
formulate a strategy to ensure that redevelopment will remain viable and in full compliance
with the new NPDES requirements by February 15, 2045.
More detailed information regarding the recommendations is contained in the attached report ofJuly
26, 2044, to the Finance Committee from the Directors of the Building Inspection, Community
Development, General Services and Public Works Departments and the Director of Environmental
Health Programs of the Health Services Department and the memorandum of July 26, 2004, to the
Finance Committee from the Public Works Director.
IV. CONSEQUENCES OF NEGATIVE ACTION:
Without implementation of the Finance Committee Recommendations,the County could be found in
noncompliance with our NPDES permit requirements. This could cost the County$10,040/day and
$14/gallon in fines as well as exposing the County to even more costly lawsuits. The total potential
cost of noncompliance is impossible to determine,but it is very likely to have a significant negative
impact on the County General Fund.
PUBLIC WORKS DEPARTMENT
Contra Costa County
255 Glacier Drive
Martinez, CA 94553
(925)313-2000
DATE: July 26, 2004
TO: Finance Committee
FROM: Carlos Baltodano,Building Inspection Director
V1,
Dennis Barry, Community Development Director
Bart Gilbert, General Services Director
• Maurice Shiu, Public Works Director
Ken Stuart, Environmental Health Director
SUBJECT: ADDRESSING THE IMPACTS OF THE NEW CLEAN WATER
REQUIREMENTS
On October 14,2003,the Finance Committee reported to the Board on funding strategies for the new
clean water requirements. The Board requested the Finance Committee to continue to work with
staff on funding strategies to cover the short-term and long-term costs of compliance with the new
clean water requirements and other related issues. The Board directives included the following:
1. Analyze the work products and activities required to comply with the new clean water
requirements and then estimate the resultant costs. Reimbursement of development related
costs would be through an increase in development fees once the total short-term costs are
determined.
2. Determine which work products and activities are related to private land development
projects and which are related to public projects.
3. Create a coordinator position in the Public Works Department to coordinate and assist the
other departments in meeting the timeline for submittal of work products identified by the
Regional Water Quality Control Board and to manage the overall transition process.
4. Develop a long-term funding strategy to address the new clean water requirements.
5. Identify the new clean water requirements in regard to redevelopment areas and
redevelopment projects.
On May 24, 2004, the Committee considered item one above. This report covers the remaining
items.
2. Determine which activities are related to land development projects and
which are related to public projects.
Discussion
Attachment 1 includes all of the activities associated with both public and private projects.
Those activities associated with private projects are related to land development activities.
Items denoted with an asterisk are associated with public projects,which would include,for
example, County buildings such as the new Juvenile Hall or Animal Shelter, new roads,
parks projects and other projects with impervious surfaces. The departments primarily
responsible for public projects are Public Works,which manages the construction of public
road and drainage infrastructure, the General Services Department and the County
Administrator's Office,which provides for the construction of the County's buildings. Clean
water implementation activities associated with the land development process can be
reimbursed through development fees (the proposed back-end fees to building permits);
however,those activities associated with public projects would have to be added to the cost
of capital projects. In other words, future public infrastructure projects will be more
expensive.
The staff effort to modify the County's business practices for public projects to incorporate
the new clean water requirements is estimated to be between 800 to 1,900 hours. At an
average cost of$120 per hour staff time,that equates to approximately$96,000 to$228,000.
The bulk of this time is for the Public Works Department to modify its Design Manual.
Since there is no outside source of funding for this activity,this work may have to be done on
an intermittent basis as time allows or in conjunction with other efforts to modify an element
of the Manual. The estimated implementation cost for the General Services Department is
$35,000,which would have to be absorbed by an increase in future project costs.
Conclusion/Recommendation
Direct Public Works' Department to update the Public Works Design Manual, contract
specifications and procedures to ensure that all road and storm drain projects are in full
compliance with the new NPDES requirements. Direct the General Services Department to
modify or produce contract specifications and procedures to ensure that all County financed
building projects are also in full compliance with NPDES requirements. Direct staff ofthese
two departments to ensure that the budgets for all projects are sufficient to ensure compliance
with these new NPDES requirements.
3. Clean Water Coordinator Position
Discussion
On November 4,2003,the Board approved the creation of a Senior Civil Engineer position
in the Public Works Department. This position is the Clean Water Coordinator, and Rich
Lierly was recently appointed to that position. Rich is working with all of the County
departments impacted by the new clean water requirements to ensure that we meet the
timeline required in our amended permit.
2
Conclusion/Recommendation
Direct staff from all nine departments, as indicated in Attachment *1, to work in full
cooperation with the new Clean Water Coordinator and Vector Control to ensure that each
department is moving forward in revising existing policies and developing new policies,
ordinances,procedures and standards,as necessary,and to ensure that each department is in
full compliance with the new NPDES requirements by February 15, 2005.
4. Lang-Term Funding Strategy
Discussion
Attachment 2 is a chart showing firture clean water activities associated with both public and
private projects and potential funding sources. The chart shows that benefit assessments
could be used to fund several of the future work activities. There are other potential
mechanisms to fund these activities, such as. County Service Areas, Community Services
Districts,Geologic Hazard Abatement Districts,2.18 vote(to increase the storm water utility
assessment fee), ACA 10, AB204 and fines. Staff should work with County Counsel to
develop a report on the various funding mechanisms and the advantages and disadvantages of
each, along with any policy implications for presentation at a future committee meeting.
Conclusion/Recommendation
Direct staff to prepare an analysis of the various funding mechanisms available for future
clean water activities and to identify the advantages,disadvantages and policy implications of
each.
5. New NPDES Implications for Redevelopment Projects
Discussion
In theory,the new clean water requirements would affect redevelopment projects in a similar
manner to private or public projects. .However, because redevelopment areas tend to
emphasize smaller infill projects,the ability of redevelopment projects to accommodate clean
water solutions may be more limited. This size constraint could lead to more expensive
projects. Combine potentially higher costs with generally weaker market conditions,and the
result could easily be that redevelopment financial assistance will be required for financially
feasible projects. It is also possible that some projects will not be feasible from a site
planning perspective;i.e.,the goal of smart growth may be compromised by the clean water
requirements. The empirical experience of working with the clean water requirements may
be the only way to assess these effects. The redevelopment agencies, including the County
Redevelopment Agency and the Public Works Department, may find it useful to jointly
finance a study to identify street and infrastructure approaches that accomplish and integrate
smart growth and clean water requirements.
3
Conclusion/Recommendation
Direct the Redevelopment Agency to research the effects that clean water requirements,
similar to those imposed on the County, have had on ether redevelopment agencies and
formulate a strategy to ensure that redevelopment will remain viable and in full compliance
with the new NPDES requirements by February 15,2405.
6. Other dean 'hater Issues
There are several other implications of the new clean water requirements,which will be the
subject of future reports to the Finance Committee. These issues include the fallowing:
■ The effect of increased infiltration of stormwater on ground water quality.
■ Possible modifications of water well and on-site wastewater disposal system
ordinances and regulations.
■ Potential changes in ground water levels due to increased infiltration.
• The impacts of fluctuations in ground water levels on on-site wastewater treatment
systems.
■ Increased costs due to Assembly Bill 885 Regulations, which will require ongoing
analysis and an annual review of on-site wastewater treatment systems by
Environmental Health.
MMS:RMA:RI.:lz:ew:lz(6/30104)
G:\ftData\AS.dmin\Mitch\Finance Committee\Long Term-Short Term Funding#2.doc
c: John sweeten,County Administrator
Lara DeLaney,County Administrator's Office
Lisa Driscoll,County Administrator's Office
Karl Malamud-Roam,Contra Costa County Mosquito&Vector Control District
Mitch Avalon,Public Works
Greg Gonnaughton,Public Works
Rich Lierly,Public Works
4
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_.... .
PUBLIC WORKS DEPARTMENT
Centra Costa County
255 Glacier Drive
Martinez,CA 94553
(925) 313-2000
DATE: July 26, 2004
TO: Finance Committee
FROM: Maurice Shiu, Public Works Director
SUBJECT: MEMO ON IMPACTS OF THE NEW CLEAN WATER REQUIREMENTS
The Finance Committee will be considering a report today on the impacts Of the new clean water
requirements. The report is outlined in a memo dated July 26,2004 from Community Development,
Building Inspection, General Services,Environmental Health,and Public Works. Section 5 of the
report covers the implications the new requirements will have on redevelopment projects. In the tent
of the discussion section there is a recommendation to fund a study to identify street and
infrastructure approaches that integrate smart growth and clean water requirements. This was not
included in the Recommendation section of the report. The committee should consider adding the
following recommendation:
"Direct Public Works to identify street and infrastructure development standards that
integrate smart growth principles and clean water requirements. Further Direct
Public Works to establish a team. with Community Development and Building
Inspection to develop the work program,cost,and funding strategy for the effort and
report back to the Finance Committee in two months."
MMS:RMA:lz
G:\GrpData\Admin\Mitch\Finance Committee\Long Term-Short'Term Funding supplement memo.doc
c: John Sweeten,County Administrator
Dennis Barry,Community Development
Carlos Baltodano,Building Inspection
Bart Gilbert,General Services
Ken Stuart,Environmental Health
Jim Kennedy,Redevelopment Agency
Lara DeLaney,County Administrator's Office
Lisa Driscoll,County Administrator's Office
Karl Malamud-Roam,Contra Costa County Mosquito&Vector Control District
Mitch Avalon,Public Works
Greg Connaughton,Public Works
Rich Lierly,Public Works