Title
Consider approving Amendment No. 1 to the City of Salinas Industrial Wastewater Treatment Facility Effluent Interim Agreement, which includes a six-month extension, approved as to form by County Counsel; and authorizing the General Manager to execute the Amendment. (Staff: Shaunna Murray)
Report
RECOMMENDATION:
It is recommended that the Board of Directors:
Approve Amendment No. 1 to the City of Salinas Industrial Wastewater Treatment Facility Effluent Interim Agreement, which includes a six-month extension, approved as to form by County Counsel; and authorize the General Manager to execute the Amendment.
SUMMARY/DISCUSSION:
On April 29, 2025, the Agency’s Board of Supervisors approved negotiation and execution of an Interim City of Salinas Industrial Wastewater Treatment Facility Effluent Agreement (Agreement attached) with the City of Salinas (City) and Monterey One Water (M1W) (WRAG 25-067 Board Report attached). The Agreement went into effect on May 1, 2025, for an initial six-month term, but also provided for two six-month extensions, both of which were executed. The Agreement is set to expire on November 1, 2026.
The City, M1W, and the Agency (collectively “Parties”) continue to desire to negotiate a long-term agreement; however, many details remain to be resolved. In the meantime, the Parties are agreeable to extending the existing Agreement for an additional six months, until May 1, 2027. The proposed Amendment 1 (draft attached) maintains the Agency’s priority regarding use of the City’s industrial wastewater, provides more flexibility about the volume of wastewater available for treatment, and adds cost allocation provisions for extraordinary operations during regular or unplanned maintenance outages and emergency conditions. All other recitals, terms, and conditions of the Interim Agreement not modified by Amendment 1 remain in full force and effect.
The Agency’s Finance and Administration Committee recommended this action at the Octob...
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