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HomeMy WebLinkAboutMINUTES - 08042009 - D.1RECOMMENDATION(S): 1. APPROVE and AUTHORIZE the Chair, Board of Supervisors, to execute the Out of Area Service Agreement for Water Service to the Clayton Regency Mobile Home Park (“Agreement”), substantially in the form attached, with the Contra Costa Water District and Clayton Regency, LLC. 2. DIRECT the County Administrator and the Department of Conservation and Development to take actions necessary to implement this Agreement. FISCAL IMPACT: There is no direct fiscal impact to the County associated with this Agreement. Clayton Regency, LLC, will pay for all costs related to the provision of water service to the Clayton Regency Mobile Home Park by the Contra Costa Water District. BACKGROUND: On July 8, 2008, the Board of Supervisors considered a proposed Out of Area Service Agreement for Water Service to the Clayton APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 08/04/2009 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Gayle B. Uilkema, District II Supervisor Mary N. Piepho, District III Supervisor Susan A. Bonilla, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Patrick Roche (925) 335-1242 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: August 4, 2009 David J. Twa, County Administrator and Clerk of the Board of Supervisors By: Katherine Sinclair, Deputy cc: Fran Garland, Contra Costa Water Dist., Jason Crapo, Deputy Director, DCD, Building Inspection Division, Jerry Brown, Contra Costa Water District, John O'Meara, General Electric Capital, Linda Wilcox, County Counsel, Steve Tarantino, EKI Consulting, Patrick Roche, Advance Planning, DCD D. 1 To:Board of Supervisors From:Catherine Kutsuris, Conservation & Development Director Date:August 4, 2009 Contra Costa County Subject:Out of Area Service Agreement for Water to Clayton Regency Mobile Home Park BACKGROUND: (CONT'D) Regency Mobile Home Park with the Contra Costa Water District and Clayton Regency, LLC, the owners of the mobile home park. The Board continued to an undetermined date the approval of the Agreement after accepting public comment from proponents of the Agreement and from one resident along Marsh Creek Road, representing some 17 individual property owners between the end of the CCWD service boundary and the Clayton Regency Mobile Home Park, who were seeking to join the Agreement in order to secure water service from CCWD. The Board requested staff investigate strengthening provisions to terminate the Agreement if the use ever changed to something other than a mobile home park. The Board also directed staff to conduct a public information meeting with any interested parties to explain the need and purpose for the Out of Area Water Service Agreement prior to bringing the Agreement back to the Board for approval. Activities since the July 8, 2008 Board Meeting: Since the July 8, 2008 Board meeting, staff has been consulting with the other parties to the proposed Agreement to review and consider certain minor modifications to language in the Agreement. Each of the parties to the Agreement has suggested adding certain clarifying language. This latest version of the Agreement attached for Board consideration is substantially the same as the one submitted at the July 8, 2008 Board meeting, except that new language has been added, as requested by the Board at the 7/8/2008 meeting, to indicate that the Agreement would terminate if use of the Clayton Regency Mobile Home Park was ever changed to something other than a mobile home park; and at the request of CCWD, new language has been added clarifying that the District has declared a drought emergency and the Agreement now provides that CCWD would not be obligated to commence interim water service (interim during the period of water pipeline construction) if the CCWD Board should need to declare a water shortage as a result of the drought emergency. Also, since the July 8, 2008 Board meeting, the Department of Conservation and Development along with the Public Health Director conducted a public information meeting on May 11, 2009 to explain the purpose and need for the Agreement as directed by the Board on 7/8/2008. The meeting was conducted in the evening at the Clayton Public Library. Those in attendance were predominantly property owners along Marsh Creek Drive who desire to secure water service from CCWD. Also in attendance were staff representatives from CCWD. In addition to the 5/11/2009 public information meeting conducted in Clayton, Supervisors Federal Glover and Mary Piepho met in the District V office with a contingent of the property owners along Marsh Creek who desire to secure water service from CCWD. Attached for the Board’s consideration is a compilation of comments, concerns, and questions that were raised at the two public information meetings with the Marsh Creek Road property owners. Staff has prepared responses to many of the property owners’ comments and concerns related to the proposed Agreement. History of Clayton Regency Mobile Home Park and Water Issues: A Land Use Permit for development of the Clayton Regency Mobile Home Park (the “Park”) was originally approved by the County Planning Agency in 1962 and construction was completed in approximately 1970. The Park is located at 16711 Marsh Creek Road in unincorporated Contra Costa County and owned by Clayton Regency, LLC (“CR-LLC”). The mobile home park is permitted for 192 pre-manufactured homes and at the current time there are approximately 280 residents. The Clayton Regency Mobile Home Park is located outside the boundaries of any water district. Drinking water was initially provided onsite until the well water became too brackish to meet State standards. Later, reverse osmosis (RO) treatment produced potable water for the mobile home park, but the Central Valley Regional Water Quality Control Board ordered the mobile home park to cease onsite disposal of the RO brine (byproduct). After offsite disposal of brine was determined to be too costly, the County Health Officer allowed the temporary use of water hauled in from an approved source, in lieu of closing the mobile home park. The source of hauled water is currently the City of Brentwood. The Clayton Regency Mobile Home Park owner operates two State-certified potable water trucks that transport up to 16 loads of water per day, as needed, to two 63,000 gallon water storage tanks. This arrangement, initially established as temporary, has continued since 2001. The County Health Services Department issued a citation for contaminated water at the mobile home park in October 2005. Since that time, the County has worked with CR-LLC and the Contra Costa Water District (CCWD) to address public health risks of the trucked water service at the Park. In a June 18, 2007, letter to CCWD, the County Public Health Director advised that the potential for contaminating potable water with pathogenic bacteria and viruses during filling, transport and delivery presented an unacceptable risk of waterborne diseases to the residents of the mobile home park; that the residential density of the mobile home park compounded the risk of waterborne, and then possibly communicable, diseases; and that contamination of a single water truck had the potential to impact a large number of individuals. Based on his evaluation of these conditions, the Public Health Director concluded that there was a “severe public health hazard that constitutes a public health emergency” at the mobile home park. The Public Health Director indicated that the Health Services Department viewed water service from CCWD as the only available option that would resolve this public health hazard and requested CCWD’s assistance. Key Provisions of Proposed Out of Area Water Service Agreement: Pursuant to Government Code section 56133, CCWD, by contract or agreement, may provide extended water service outside its jurisdictional boundary to respond to an existing or impending threat to public health or safety of the residents of the affected territory, but only with the prior written approval of the Contra Costa Local Agency Formation Commission (“LAFCO”). This Agreement is intended to be such an agreement. If approved by LAFCO, the Agreement will allow for safe, sustainable long-term water service to the Park by CCWD, eliminating the health risks associated with the current trucked water service and the potential threat of having to close the Park due to unsafe drinking water. Under the Agreement, CCWD would provide interim water service from a new fill station near the termination of CCWD’s existing infrastructure. The interim service is intended to serve the Park during construction by CCWD of a pipeline extension, which is required for long-term water service to the Park. The pipeline extension is to run generally east along Marsh Creek Road from approximately Gill Drive to the mobile home park boundary. Long-term water service would commence after completion of the pipeline. CR-LLC would continue to be responsible for water distribution equipment within the Park boundaries. Barring unforeseen circumstances, it is expected that the issuance of all required approvals and completion of design and construction of the long-term water service facilities will take approximately 30 to 36 months. Clayton Regency, LLC, will be responsible for all costs associated with the design and construction of the new water pipeline extension. As part of this Agreement, Clayton Regency, LLC, waives any and all rights it may have pursuant to the County Ordinance Code to seek an increase in mobile home space rent at the mobile home park as a means of recovering its capital costs. This will help preserve the low-cost housing provided by the mobile home park. CR-LLC would be required under the Agreement to apply for and obtain an amendment to its Land Use Permit to, among other things, allow for the change in water service. Both the Land Use Permit amendment and the water service project to be undertaken by CCWD will require review under the California Environmental Quality Act (“CEQA”). Under the Agreement, the County would act as lead agency, and approval of the necessary environmental documents would be within the County’s sole discretion. County staff will also work with CCWD staff to prepare documents required by the U.S. Bureau of Reclamation (“USBR”) for compliance with the National Environmental Policy Act (“NEPA”). Construction of long-term water service to the mobile home park would not commence until USBR has approved the mobile home park for inclusion in the CCWD Central Valley Project service area. Following completion of the environmental review and satisfaction of various other conditions as set forth in the Agreement, upon the County’s request, CCWD would be required under the Agreement to submit an application to LAFCO for approval of the Agreement. As part of this process, the Agreement would require the County to request LAFCO to expressly condition its approval of the Agreement on water service being provided only to the Park and to no other properties, because the health risks identified by the Public Health Director specifically apply only to the mobile home park and to no other properties. For this same reason, it is anticipated that the pipeline extension will have the capacity to serve only the mobile home park, and not any surrounding properties. The Agreement would require the County to take the lead role regarding public communications with Park residents, neighbors and other interested parties concerning the project. The County and CCWD would have liability protection under the Agreement from CR-LLC, which will be required to defend, indemnify and hold harmless the County and CCWD from and against claims, costs and lawsuits that arise from or are related to the operation, maintenance or replacement of the water distribution system within the Park, and the County and CCWD would be listed as additional insureds under CR-LLC’s liability insurance policies. Under the Agreement, contractors hired by CCWD for the design and construction of the interim fill station and pipeline extension would also be required to defend and indemnify the County and CR-LLC for claims, costs and lawsuits arising from that work, and to maintain insurance naming the County and CR-LLC as additional insureds through the duration of the project. CONSEQUENCE OF NEGATIVE ACTION: The Clayton Regency Mobile Home Park will continue to rely on a source of drinking water that has unacceptable health risks, as determined by the County Public Health Director. CLERK'S ADDENDUM Jason Crapo, Director of Building Inspection, presented the staff report. The following people spoke, questioning why water would be supplied to the Marsh Creek Regency Mobile Home Park and not supplied to the other residents in the area: Christian Vieville, resident of Clayton, (handout provided); Rocco Covalt, resident of Clayton; Daylene Moldoron, resident of Clayton; Jake Dawson, resident of Clayton Ally Dawson, resident of Clayton Sue Williamson, resident of Clayton; Ric Schiff, resident of Clayton; Walter Merlind, resident of Clayton; Kathy Hendrickson, resident of Clayton. Harry Williamson, resident of Clayton; Troy Bristol, Save Mount Diablo. Supervisor Glover responded that this item has been “hot” on the agenda as long as he’s been Supervisor. He said in today’s action, the Board is dealing with the emergency declared by Public Health Director Wendell Brunner. In Dr. Brunner’s absence, Dr. William Walker, Health Services Director, addressed the Board to note that the water being trucked in to the Mobile Home Park is no longer acceptable, creating a public health safety emergency. Supervisor Glover said he does not blame the homeowners who would appreciate city water availability, but said the Board’s efforts now are dealing with the emergency of water being trucked in to the people. Supervisor Piepho pointed out homeowners should discuss the matter with Contra Costa Water District, as they are the agency who can provide water service to the residents requesting. ATTACHMENTS Out of Area Service Agreement Water Clayton Regency Mobile Home Park OAS Exhibit 1 Contra Costa Public Health Director Letter OAS Exhibit 2 Fire District Letter OAS Exhibit 3 Map Water Pipeline Extension Compilation of Questions and Comments from Public Information Meetings Letter from City of Clayton Brentwood Ltr