HomeMy WebLinkAboutAgenda Packet - March 18, 1996 - CC -hof A?G
V ��F ia`VOGa � The City of Azusa ( /02
9t * 0
7
March 11, 1996
AGENDA ITEM
TO: Honorable Mayor & Members of the City Council
FROM: Joseph F. Hsu, Director of Utilities
VIA: Henry Garcia, City Administrato 'j
RE: Authorization to Lease Excess Water Rights from CalMat Co
BACKGROUND
The Water Division has a replacement water obligation each year that requires the purchase
of replacement water from San Gabriel Basin responsible agencies, the Municipal Water
Districts. Occasionally, there are other water producers in the San Gabriel Basin that have
excess water rights available for lease. Said leases present an excellent opportunity to the
Water Division insomuch as the Water Division has the opportunity to lease water at 90% of
the rate they would have to pay otherwise to the responsible replacement agencies. The
current rate for replacement water in the area served by the Upper San Gabriel Valley
Municipal Water District is $235.10. CalMat will lease use 2000 acre feet of there excess for
$211.59 per acre foot, resulting in an overall savings of $47,020.00 this year.
RECOMMENDATION
I recommend City Council authorize the Water Division to lease the excess water rights from
CalMat Co. For a price not to exceed $211.59 per acre foot. Further, as replacement water
has already been purchased for this year fiscal year, and there are no funds available for
replacement water until such time as the next fiscal budget is approved, I request this
proposed lease be paid from Water Division reserves.