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04/15/2003 - Packet FILE COPY Intergovernmental Water Board Meeting Serving Tigard, King City, Durham and Unincorporated Area -AGENDA Tuesday, April 15, 2003 5:30 p.m. 1. Call to Order/Roll Call and Introductions Motion to call meeting to order,staffto take roll call. 2. Approval ofAfinutes February 18,2003 Motion from Board for minute approval. 3. Requests for Credit from Leaks—Tom Imdieke(1 S minutes) a. Damien Merrick b. Tigard Community Friends Church 4. Assistant PW Director's Utility Report—Dennis Koellermeier(20 minutes) a. 'Fluoride b. Potential TWD changes S. Informational Items Items will be discussed briefly if time allows—otherwise printed info will be distributed. 6. Public Comments Call for any comments from public. 7. Non Agenda Items Call for non-agenda items from Board. Next meeting date- Wednesday,May 14, 2003,at the Water Auditorium. (Back to regular meeting dates) 8. Adjournment—Approximate lime 6:30 p.m. Motion for adjournment. Move to Town Hall for joint workshop meeting with Tigard City Council. A light dinner will be provided. Executive Session: The Intergovernmental Water Board may go into Executive Session under the provisions of ORS 192.660(1)(d), (e), ( &(h)to discuss labor relations, real property transactions, current and pending litigation issues and to consider records that are exempt by law from public inspection. All discussions within this session are confidential; therefore nothingfrom this meeting maybe disclosed b_v those present. Representatives of the news media are allowed to attend this session, but must not disclose any information discussed during this session. Intergovernmental Water Board Meeting Minutes Februaty 18, 2003 Members Present: Patrick Carroll, Brian Moore, Jan Drangsholt, Norm Penner, I and Bill Scheiderich Staff Present: Ed Wegner, Dennis Koellermeier, Sally Mills, and Twila Willson Visitors: Roel Lundquist 1. Call to Order, Roll Call and Introductions Commissioner Bill Scheiderich called the meeting to order at 5:31 p.m. 2. Approval of Minutes-January 21, 2003 Commissioner Brian Moore motioned to accept the January 21, 2003, minutes and Commissioner Jan Drangsholt seconded the motion. The vote was unanimous to accept the minutes as presented. 3. Requests for Credit from Leaks— Tom Imdieke Tom Imdieke explained that Stevens Marine, Inc. had requested a credit for a leak that was discovered by Tigard's meter reader. Their repairman determined that the cause of the leak was from a frozen irrigation pipe. The credit of$630.02 was reached by using the regular formula for calculation of credits, however, that amount is larger than staff is authorized to approve for credit. The board members voted unanimously to approve the credit. 4. Assistant PW Director's Utility Report—Dennis Koellermeier Security Operations Mr. Koellermeier stated that on February 7, 2003, the security level for terrorist activity was raised to red, and explained that the information was received from multiple sources (Federal Office of Homeland Security, Environmental Protection Agency, American Water Works Association,Washington County ATAC System)within about an 1 '/z hour period of time. It was thought to be a good idea to bring the new Police Chief into the awareness loop and the Police Department stepped up the security operations. There have been some other security precautions that have been created on a day-to-day basis that will continue to be monitored and will continue to operate at that level until further notification. Intergovemmental Water Board 1 February 18,2003 DRAFT COPY Commissioner Scheiderich requested information about whether security improvements were included in the Capital Improvement Plan and Mr. Koellermeier explained that there were three different components: • Physical security improvements, which are generic in the budget. • Vulnerability assessment, which is mandated. The Cities of Tualatin and Tigard are approaching this as a joint process to keep overhead costs down. • Focus,wjll be on the SCADA system. • Height6ning security will be a focus during the next two budget cycles. ASR Project The contract with Montgomery Watson Harza/Golder is nearly complete. The final report of the pilot programmas recently submitted to the Office of Water Resources. The report was very favorable. There were no water quality problems. There are differences in opinions With the consultants about the amount of water that can be stored in the system. Injection into the ASR well started today. Heavy rains and turbidity issues delayed the anticipated start date. A filtration monitor is being installed in the injection side of the system and will be tied into the SCADA system and injection pump. Rider School/Reservoir Project(550 ft. elevation#2) Through a Request for Quote, eighteen responses were received. The work was divided into three general groups, reservoir and pre-design, pump station, and piping. The Request for Proposal document has been finalized and eight companies have been asked to submit proposals. It is anticipated that the contract will be awarded in April. Coordination with the School Board is moving along well. The intergovernmental agreement (IGA) is being processed and other areas of coordination are being discussed that might save costs, such as sharing consultants. The landscaping above the reservoir would be our responsibility but details are still being worked out. A play field will be developed over our footprint of the reservoir and details will be coordinated with the school district with such issues as credit for leveling the field and the impact for use of the property. The school is handling all the land use permits. Letter from Portland A copy of a letter received last week from Portland was distributed to board members for review. The rate model was originally set at a 24% increase for Tigard, but that was rethought and lowered to 18%. All the wholesale customers will be effected by increased charges; however, Tigard is in the tier that will be effected the most. Portland will establish a summer peaking charge rather than a penalty charge. Portland claims there is an increased expense to store water in the summer months. These charges are under the old wholesale contract and are not a good indication of how a"potential part-nee' is treated. Commissioner Drangsholt stated Portland was charging us more because there is less demand. Mr. Koellermeier agreed with that statement and added that it was because they were not minimizing their fixed costs so they charge the wholesalers more to make up the difference. This is hitting the wholesale customers hard. Portland's retail customers will average a 7% increase. Intergovernmental Water Board 2 February 18,2003 DRAFT COPY Fluoride Issue Tigard's key to the Joint Water Commission (JWC) is through Beaverton unless we are prepared to spend a great deal more money to go around Beaverton. Beaverton has made a decision to fluoridate their water and that will effect Tigard. Current estimates are that 62% of our water comes from Portland with the remainder coming from the JWC. Those percentages will change slightly when the ASR wells are up and running. Fluoridation is a political issue. Information was distributed which contained the current raw data from the industry and A"A standards. The water will be mixed together and the amount of fluoride will valy within the system. The system hydraulics will create constant changes where pockets of the community will receive a higher level of fluoridation than others will. Mr. Wegner stated that fluoride injections have been done on an individual community basis but doctors and dentists have been discussing this issue and their influence may create changes in what the JWC will do. Currently there are a large percentage of cities in Oregon that do fluoridate their water. 5. Informational Items—Ed Wegner Mr. Wegner stated the reasons for not attending the Council meeting following this meeting was due to a lack of financial information for that presentation. The next IWB meeting is be the third Tuesday next month, which is March 18, 2003. Mr.Wegner stated that the ASR project has finished Phase II and Phase III would begin to drill one more well or a series of wells. Staff feels this is a good time to make a change in consultants and will be seeking a new consultant through a Request for Proposal. The JWC membership has been requested. They agreed to begin the process and will report back in April on that process. The financial details still need to be worked out, but it looks good that we will be acquiring 4 mgd through the JWC. This will allow us to get our foot in the door and we will have the opportunity to pursue other long term options such as the Hagg Lake raise or a tunnel through the mountain from Sand Creek. If the long term sources cannot be developed_, we could have buy-back option. It is possible that by the June JWC meeting,Tigard could have a seat with at JWC table. The fluoride situation is an important issue to us that needs to be addressed, but he does think it can be an issue that can be overcome. The challenge is to develop a plan to properly present the issue to the public. The Bull Run Drinking Water Agency, Technical Advisory Commission meets with the City of Portland next Monday. Rumor is that Portland says they are too busy to get involved with the regional agency at this time and they want to focus their efforts on addressing the PGE and major league baseball issues. Mr.Wegner has not heard good things about Portland wanting to proceed Two weeks ago on the"Focus in Tigard„television show, a water presentation was made. ASR information was given by Dennis and Ed, Joe Thompson talked about the JWC, and Mark Knudsen talked about the Bull Run agency. The stand was made that now is not the time for regionalization on a partnership level. They are concerned about how to pay for the treatment of the Bull Run and covering their reservoirs when many neighbors object to that. intergovemmental Water Board 3 February 18,2003 DRAFT COPY Mr.Wegner foresees that Portland will not want to continue with the regionalization but will revamp the old wholesale contracts. Commissioner Scheiderich wanted to know what was being accomplished with the Regional Water Provider's Consortium. Mr. Wegner stated that the big issue they are looking at is the dam raise and they can't just let it die until that is decided. But the managers will be asking what the worth is in paying the annual dues for staff,which is basically Portland staff,to coordinate reginal issues, if we are not going to regionalize. The Hagg Lake feasibility study should be completed in June,which will allow for the next phase of environmental assessments and biological studies to determine which altematives are best and the costs. An amendment was passed to pick to the Bureau of Reclamation's share of the expenses. Clean Water Services has hired a lobbyist to try to get that back in the federal budget.' Informational items were distributed to the board members by Ed Wegner and briefly explained. There will be no joint meeting tonight with the City Council. 6. Public Comments— None 7. Non Agenda Items Commissioner Penner announced that the National Wildlife Refuge would be celebrating their 100th birthday. There is a National Wildlife Refuge on Highway 99. On March 14th there will be a celebration and governor and Congressman Wu have been invited. He is on the board of the friend's organization and he also invited any interested board members to attend. He went on the say that they have requested a proclamation declaring that date as National Wildlife Refuge day. In 1992 some citizens wanted a wildlife refuge and they found a farmer who donated about 12 acres. It has since grown to about 1000 plus acres along the river and they are trying to get about 3000 acres. 8. Adjournment Commissioner Carroll motioned to adjourn the meeting and all board members voted in favor of adjournment. The meeting adjourned at 6:25 p.m. Intergovernmental Water Board 4 February 18,2003 DRAFT COPY MEMORANDUM TO: Intergovernmental Water Board FROM: Tom Imdieke, Financial Operations Manag RE: Tigard Community Friends Church DATE: April 3, 2003 The attached credit for leak request is being forwarded to you for your approval at the next scheduled meeting on April 15, 2003. The method used in calculating the amount of the credit is based on existing policy and there are no extenuating circumstances to this particular request. As noted in the request, a leak was discovered outside the foundation of the church and drained into the crawl space. The read taken on March 3, 2003 clearly indicated that there was a problem at the site. The leak was repaired on March 5, 2003. The amount of the credit as calculated would be $3,953.80 and requires your Board approval before processing. If you have any questions regarding this item, please feel free to call me at 503-718- 2488. CITY OF TIGARD Utility Billing Printed: 03/10/03 11:32 User: JAMIE Account History List Account Number: 010583 000 Reference Number 6600250 Account Status: Active Customer Name: TIGARD COMMUNITY FRIENDS CHUR Owner Name: TIGARD COMMUNITY FRIENDS CHUB Connect Date: 09/27/1988 Customer Address:C/O LINDA SWENWOLD Service Address: 1.5800 SW HALL BLVD Final Date: ? P O BOX 230117 TIGARD OR97281-0117 **************Account Balance Balance Due: 0.00 Water Sewer SWM Penalty Misc SurChrci Sery 7 Sery 8 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 **************Account History************** Date Type Amount Water Sewer SWM Penaltv Misc SurChrg Sery 7 Sery 8 ************** Meter Information ************** Route Number: 0066 Sequence Number: 0010 Serial Number: 7204 Read Dt Reading Consumption 03/03/03 000005039 000003748 12/31/02 000001291 000000016 11/04/02 000001'275 000000097 08/30/02 000001178 000000090 07/01/02 000001088 000000077 04/30/02 000001011 000000043 03/06/02 000000958 000000032 12/31/01 000000936 000000027 11/05/01 000000909 000000094 08/31/01 000000815 000000083 07/02/01 000000732 000000054 04/30/01 000000678 000000017 Page 6 REQUEST FOR ADJUSTMENT DUE TO A LEAK The City of Tigard has a policy of issuing partial credits for leaks that are repaired in a timely manner. The city expects leaks to be repaired within ten days of discovery. Credits are based on your average usage for the same period in previous years. This average.is deducted from the total consumption used during the time of the leak. The excess usage is charged at ..,;;. the wholesale rate of water, with the difference between wholesale and resale cost deducted from the utility account as the Credit for Leak Please describe the specific circumstances of your request: FEAsE. sEt� ATC�4c.H�� W1-i IJ GO►J$tDEwt.1L1 G2E�1T FOTZ. LV'AtL M Cr2 03 X0'3 9 — enIzrr Pte. (.2o-5) 3 z3 4-G 8(,= Date leak found: 3l3�zco Date leak repaired: 3/5�2nn Account#: 6D1 C3 rj a3 -- (0 CD a Location of Service: 115 800 '5v"/ "ALL- 1FN—%/C> Customer Name: —F1'4 q(ZD (::10M My tV i T`{ �et E�•�DS CE-FcJ r?r' H Mailing Address:_19jQxf:)tO 5W 'I- Au— ?;u/DTc,Ae� 012. 97ZZ4 503 &Zo—T8� Street address City State Zip Phone DOCUMENTATION YOU MUST SUBMIT COPIES OF PLUMBER'S BILLS AND/OR RECEIPTS FOR PARTS, REQUIRED TO FIX THE LEAK I FOR OFFICE USE ONLY ` $1.71 $1.691.99 $1.65 $2.12 - .930 _ y�C D ¢ RES MUR COM IND IRR Markup Previous years usage: L--,Q 9 C) #periods used IT x 1 �v Com¢ = 3G S3 Average Leak Period Leak ccf Markup Credit Adjustment Total Credit:$ �'1 Date Issued: 31 101Q Issued By:� 2�1 1�O'� �faTa2 1Z.EP0IZT�.� '� H>=A�1�.]Ca W.o►TE2 2U tJ 1J I fes] S v M P Pv M P W ATE P l._ t�. Tb 5TZ:T ► T�Qom,►.] FpV►J'D fliSGe�UtJ E�T1=� AcT �Tt�IZM 'DE,At V . '�bl)A'T�� t2UN�J I wt G" fou tJ.D WAS W ATE2 F rzc tit 'T'1-}�. o 1 tJ<_, l t-7 Tb -i-Ht= PCS t— a is lst= -rests ,-aAPP�w A�oLrr -It�rzs ACa o 1 t T NEa/EIz. G -BEd M�( ,✓t l U D G H Ect--- W ATl✓tZ, �RV6"-r -NEW 5VMt? PVNA?.. CouuDQ' - 46t----r Tri - -"DI'5CO3.jjef—TEr. . VJA-TE-V--- ..7-0- _WATER-P . .TPEP H ......------- - - -- - ----- - -- - --- -- - - - - 2f IQ srAULEV_ 2" + -ro rzEPLAt> A G-1 A 2M-N -t-tost -TO -t U.CO EASE WAqTElz T--LOW otJ N Ell- �1✓iP Pu M� . . - C_Zd U Q� �s Wit.�/z C�Ptit� 'e,t> _:�;3�4. d3 LE�__>�,r�cnv�..► s�.�tc.r= . _a�t�cs t_�arc... _t-s -- .:. -- - --- Dout>\1S�a_A.►_✓_1... .G�1= --��#il'r__O-_..�-_�/�,t�/_E -. ' '- _". _ .. _.. D Al-1 op IJ L.Ai- -IFL - CSZ^%Aj L . .- -:3`�,/��7---C.CI..AstaZt.�_'SPS-IGE..----�►�.>�i'�C_.----��M�f�.---co_t,J-C..D�J�_T'--- . . -. _G_�►E.T_ .-Tb----Gdv-eCt-1-- �T�-�LS. . -2�-y°t�,- _ �c�G V�S'T�D ou.N ITI.c1._. .(AP-_.P00-X - t8``_. A 4 -X. -3 4=r- vEELF). rz; W E-t-j- - D-toms �t 5 Ct---)\/E.tz6 D AV1 E�G- ►►•� �[�tE V4 CoP[-atz_ t✓_I _t W..►%.�.-! A4`' GoPt?EtZ_ -5-TU a4=F W.1 T H A. .t-TZ-0 0 Ft PE -r"1'5 is VJ H E 0-C-- -n-H—= LilAt VJA S , L.E=-A,,--iUe, v=ou>Jr,>AnoKj —. t�+tzA 1 N t t� La 1►JTL`] T�--t� G Q��1. SPACE_, LEAie- Q w,�-t^t 2e.>,ss Pipe- c=-&,F->I t �.Nr>F-o uP t txwv t-7. SOLD ACCOUNT p 8 p 8 7 9 '�6 PURCHASE ORDER N>jMBER : D TIME EMPLOYEE•^v•PAGE NOJ, PRECISION CASTP S ce . p 2/11/2003 11 : 10 1CM0 1 ofl 5001 SE JOHNSON CRK PORTLAND OR 97206_0 0 0 DEPARTMENT NUMBER DBT/CRD CODE R DELIVERY NUMBER CALLER REQUISITIONER BRANCH ADDRESS DOUGLAS JOHNSON DOUGLAS JOHNSON 6713 SW BONITA RD TELEPHONE NUMBER PROJECT/JOB NUMBER TIGARD OR 97224-8015 5037773881 DOUGLAS JOHNSON 503-624-2649 SHIP TO PO RELEASE NUMBER CHECK NUMBER CHECK AMOUNT I CASH REC'D/PAID : !iS:jyPE.: i PREOISION CASTPARTS 0 SPECIAL INSTRUCTEINVOICE ON$ 50a,01 S E JOHNSON CRK SLL FOLLOW ALES TERMS AND CONDITIONS ONSi REVERSE SIDE "PORTI�AL�ID sC�R:. '97206.;-fQ:Q' THANK YOU FOR YUR ORDER CARRIER NAME 1i of BOXES FREIGHT TERMS DATE IPP PI ATT. N,;O ED//PICKED UP E 710N..`':? ; NONE OTE ITEM DESCRIPTION 0 ITEM NUMBER SHIP QTY BACKORDER MESSAGE TAX I UNIT PRICE TOTAL 3/10 HP AUTO SUMP PUMP 2P549 117. 7 5 1 E 117. ; ;,:;:; . : .:: . �5... aw Upon the return for Credit and/or replacement of the above I Certify that if I am purchasing the material(s)as listed Grainger product(s),Customer warrants and represents 'materials of trade'as defined in the Hazardous that no property damage or personal injury has resulted from Materials Regulations in Title 49 of the Code of use of returned product(s)and customer further agrees that Federal Regulations.I intend to use the material(s) t will not assert any claim against W.W.Grainger,Inc.,its '�� in direct.support of my principal business(which is TOTALGA17.7-5 subsidiaries and divisions or its suppliers in any suit not transportation),and I do not intend to resell the involving the above listed product(s). DIV of W.W.GRAINGER, INC. material,or transport them in a vehicle other than SAP DELIVERYmy own. 609473534.34 1��i11�111111111�1�1��1111�i1�11111��11111�1�11�1 Visit our web site @ www.graingerxom.:� 02/11/2003 4 ?Mri r ER® 02/11 2603 .' DIV of W.W.GRAINGER,INC. DELIVERY# 6097353434 DIV of W.W.GRAINGER,INC. DEuvERva 60973,3434 6713 SW BONITA RD STE 200 6713 SW BONITA RD STE 200 TIGARD OR 97224-8015 5.03-624-2649 TIGARD OR 97224-8015 5 3=.624-2649 r: »: OR ';:;'972Q6=000:13'';;::::: S:7"2:."0#.-:f�:0�:0:.>: TELEPHONE/f 5037773881 TELEPHONE r 5037773881 PO NUMBER cc PO NUMBER ATTENTION ATTENTION CC PROJECT/JOB#DOUGLAS JOHNSON PROJECTMOB#DOUGLAS JOHNSON DEPARTMENT>< DEPARTMENT A PO RELEASE p CALLERDOUGLAS JOHNSON PO RELEASE x CALLER DOUGLAS JOHNSO ;: INVOICE MAIL REMITTANCE TO: ENTERING OFFICE INVOICE NUMBER TRAN I TUAL Al COUPLING & HOSE CODE 932152-001 DI 7360 SW BRIDGEPORT INV - ATE PAGE TIGARD OR 97224 02/17/03 1 P.O. Box 2295 Eugene, OR 97402 Any different or additional terms that may be embodied in your purchase order are hereby objected to. If your order is not an 9 acceptance of our proposal,this will operate as an acceptance of your order only in the event you agree to the terms hereof. The terms and conditions contained above and attached shall apply. .. ..::::::::.•.:.:::::::. ; . :: ::. ::::::::::::::::.1 .::..:;...:::::::::::::::::..........................�!!....4... S�!..�............:::kH1(R AR CE:.::::::•:::.::::::::fXT�NDEfl..... BAC Tti#5.:;:;:;:;:.;::.;;>: NQ:::.... ::::•. RESAT14fIF ;;::;•;:;;;: p9FxDUG;»>::<»:;.:.;,:::.:.::::<.>:;:;:;: ...:.::............................:::..............I::::::::.:: : ..:..............9Iu�G . ....(>:>: 10 100 100 SF-10-2 .9300 46.50 WATER DISCHARGE SUN FT 50.00 i i $5 MINIMUM ON ALL CHARGE ORDERS i I i I i I i i �o v1J FOLD COST. N0. ORDER DATE TERR PC ORD Written By DATE SHIPPED WHSE AMOUNT 46.50 D1023 02/14/03 42 40 S DJH 02/17/03 40 FRGHTANS/HNDL 0 Carrier: WC FOB: SP,FNA,PREPAID ORIGINAL INVOICE SALES TAX .00 a W I•M• I iF iF iF I (1D 1 1 N N W it it it it •..• l'71 —+ 1 N O S w 1 iF it \ \ O IC O D < CD (8 � I m 3 N W N foal I n = 0 - n i� m 1 a o z x 1 m CD n o CD n w � 1 r c c x 1 '+ -% CD CL C:) to 1 a zo w I N stss .+ CD rn � m I z -� «. n \ I .. .. •. m n n as fl I n n r A I 0 02c, W �* i m m m fon M i n m c o v o0 1 v z --I rn a 1 ww a C v C r I W w 1 o rn I m m -i M I co to m n 3 n c I = a a m 1 co co 0 = um CD .+ I m r- r m 1 co fo cl < co .r (A -0 \ 0 1 o < r I co co C--> Cn a N n o- c o CD r I o d o zfTN w v CJI c C=) -V .+ CDc CID .+ I * rn I v O — -t d cc, 1 V CY I C"� GJ C> W r Cr = it i m a i as (O -< CD 7' N O if I N I O Cz> mto -% it 1 I {G w co a ((A CD -% N � I N i � -� N j N Z 1 I CD r+ W 2 CL -a C CJt � I Co Co I -� N CD n 3 CD 1 1 y d y 1 rr Q C1 W N CL O O I 1 J < y i LD E CD I I •• \ W I w W N 1 Co W FL rF CA I O Co W CID Co 1 Advanced Leak Detection INVOICE P.O. Box 244 Gladstone,OR 97027 A E (503)650-5325(LEAK) Lj- ACCOUNT NO.. YOUR P.O.NUMBER INVOICE TERMS {' t_ S SHIP VIA 1,5 (? .�,iv .� I( FOB J T 9�`�'' J SALESMAN DATE HRS. DESCRIPTION UNIT' AMOUNT RZ • M,Ll f l P 1` L .O r .� CV J PLEASE PAY FROM THIS INVOICE SUB TOTAL Terms C.O.D.unless otherwise indicated above. TAX TOTAL t1� PAID (� _ DATE y—( 3 �� MEMORANDUM TO: Intergovernmental Water Board FROM: Tom Imdieke, Financial Operations Manag RE: Damien Merrick Account DATE: February 20, 2003 The attached credit for leak request is being forwarded to you for your review and consideration at your March 18, 2003 meeting. The customer is requesting additional credit above what was issued to them under the credit for leak policy and practices. The amount credited to the customer's account was $315.72. The attached letter from a Matt Vaulue, is requesting additional credit that would amount to approximately $199.80 based on what they consider to be an average bill of$145.00. If you have any questions regarding this item, please feel free to,call me at 503-718- 2488. Q S 7 Gifu ��1 G7Yrce l�d�rro�� a� �v a�� o� t� � Y✓f AV OVIZ Roll, REQUEST FOR ADJUSTMENT DUE TO A LEAK The City of Tigard Utility Department has a policy of issuing partial credits for leaks that are repaired in a timely manner. Generally,we expect leaks to be repaired within ten days of discovery. Credits are based on your average usage for the same period in previous years. This average is deducted from the total consumption used during the time of the leak. The excess usage is charged at the wholesale rate of water,with the difference between wholesale and resale cost deducted from the utility account as the Credit for Leak Please describe the specific circumstances of your request: Date leak found: �i i�l Date leak repaired: 1 Account#• Location of Service: Customer Name: Am«� �0 2► Mailing Address: Street address City State Zip Phone DOCUMENTATION PLEASE SUBMIT COPIES OF PLUMBER'S BILLS AND/OR RECEIPTS FOR PARTS, REQUIRED TO FIX THE LEAK ------------- ��- FOR OFFICE USE ONLY $1. $1.54 $1.81 $1.50 $1.93 - .91¢ _ AE MUR COM IND IRR Markup Previous years usage: v #periods used SL .46 - 'S�_ = F�'1 x Average L AReriod L'Vlmaf Markup Cr�iy�gdj t �t l.J Total Credit-.30 I5.1a Date Issue d`oZ•ao' o?S Issued By STATEMENT INVOICE# Northwest House Doctor 13955 S.W. 20th St. Beaverton, OR 97008-4976 (503) 646-9897 Licenser!, Gonded and insured � C•� �P o � �•U-y dj'I� � �• Date o 0,3 For Work Done /h�t-rT — 17 st—.n i g .�! - D fji✓ S`a j-�9// DATE DESCRIPTION CHARGE S A P -Vi"& ems TOTAL 7- Please Pay Upon Receipt � 3 THANK YOU CITY OF TIGARD Utility Billing Printed: 02/20/03 11:58 User: SHERYL Account History List Account Number: 024845 000 Reference Number 0707300 Account Status: Active Customer Name: MERRICK, DAMIEN Owner Name: DCR PROP MGMT Connect Date: 08/24/2002 Customer Address:43887 SW.CRIST CT Service Address: 13887 SW CRIST CT Final Date: ? TIGARD OR97223- **************Account Balance************* Balance Due: 398.27 Water Sewer SWM Penalt Misc SurChrg Sery 7 Sery 8 292.48 91.24 14.55 0.00 0.00 0.00 0.00 0.00 **************Account History************** Dae Type Amount Water Sewer SWM Penalty Misc SurChrq Sery 7 Sery 8 02/20/2003 Adjustment -315.72 -315.72 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Credit Leak 02/12/2003 Balance 71199 608.20 91.24 14.55 0.00 0.00 0.00 0.00 0.00 02/12/2003 Billing 149.19 95.03 46.68 7.48 0.00 0.00 0.00 0.00 0.00 02/12/2003 Payment 95.00 86.31 7.50 1.19 0.00 0.00 0.00 0.00 0.00 02/10/2003 Letter 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0..00 0:00 Final Notice 12/18/2002 Balance 659.80 599.48 52.06 8.26 0.00 0.00 0.00 0.00 0.00 12/18/2002 Billing 659.80 599.48 52.06 8.26 0.00 0.00 0.00 0.00 0.00 10/29/2002 Payment 95.87 52.28 37.56 6.03 0.00 0.00 0.00 0.00 0.00 10/16/2002 Balance 95.87 52.28 37.56 6.03 0.00 0.00 0.00 0.00 0.00 10/16/2002 Billing 95,87 52.28 37.56 6.03 0.00 0.00 0.00 0.00 0.00 Page 1 Intergovernmental Water Board Meeting Informational Items Supplement April 15, 2003 • Tualatin Basin Water Supply Feasibility Study, Project Progress Report- February 19, 2003 • Regional Water Providers Consortium, H2O update newsletter, Winter 2003, No.3 • Districts evaluate water rate increases, article in The Oregonian February 24, 2003 • Board Activity Report Supplement—RWSP Update Project December 2002— March 2003 • Water districts shake up management, article in The Oregonian, March 4, 2003 • Study assesses Clackamas River Water security, article in The Oregonian, March 5, 2003 • The High Cost of Free Water, article in Oregon Quarterly, Spring 2003 • Willamette River Water Treatment Plant a Memorandum from Jeff Bauman, Public Works Director for the City of Wilsonville, March 5, 2003 • Tualatin Basin Water Supply Feasibility Study, Project Progress Report—March 19, 2003 • Beaverton plan may fluoridate Tigard, article in The Oregonian, March 26, 2003 • Bull Run factions move on, article in The Oregonian, March 26, 2003 • City of Tigard Council Action Letter Staff Assignments Meeting of 3/25/03 • Fluoridation may be coming to Tigard, article in the Tigard Times, March 27, 2003 • Proposed FY 2003-04 Wholesale Water Rates issue: letter from Ed Wegner to Dave Hasson dated March 25, 2003 • Letter to Commissioner Dan Saltzman dated March 28, 2003, regarding proposed wholesale water rates • City shuts of regional water authority idea, article in Portland Tribune, March 28, 2003 • April 8, 2003, Letter from City of Portland, Bureau of Water Works, to Mayor Griffith t . • Tualatin Basin Water Supply Feasibility Study Project Progress Report- February 19, 2003 These are the project elements completed since the last report of Water Managers Group meeting of January 15, 2003. 1. Feasibility Study Project Review • The Study work has been focused on alternatives analysis, cost review summary and the public review process. MWH has completed a majority of the work on the hydrologic model. In late January, Greg White of CH2MHi11 conducted the first phase of the fish spawning survey. With the assistance from myself and Wally Otto of TVID, Greg and another biologist conducted the spawning survey and fish habitat inventory of Scoggms Creek below the dam and through Stimson Property. There was only one spawning(redd) area identified in this reach of the creek. The area is 2000 feet downstream from the outlet of Scoggins Dam/Hagg Lake. Over the next few months,there will be continued monitoring of this area, depending on release flows. A Study update was provided.to several of the Stimson Company managers. • Westlake Consultants has contracted to place the water level benchmarks on Hagg Lake neighboring properties. There were eight neighbors requesting the benchmarks.This work will be completed by the end of the week. • There is continued progress on the work scope and contract for the Climate Change Study. Dr. Richard Palmer of University of Washington was sent all the available watershed information and will begin the research task within the next month. • The Congressional Funding Request document has been revised and updated. The request is seeking federal funds of$2.9 million for the Study and Final Environmental Impact Statement in the FY 03-04 budget' The final document will soon be available on the Clean Water Services website. Congress recently approved an omnibus bill,which provided$25,000 for this Study for fiscal year 2002-2003. • In the Public Review process area,Jeanna and I have continued to make Study presentations to stakeholder groups, including Committee for Citizen Involvement and Clean Water Services Advisory Commission(CWAC). A summary of the alternatives analysis and cost review was provided to the Tualatin River Watershed Council(TRWC) for their review. At the February TRWC meeting, Greg Edwards, a Hagg Lake neighbor presented issues and concerns on the Study. He presented a letter and 80-signature petition in opposition to the forty-foot raise of the Scoggins Dam/Hagg Lake. The letter questioned the need for 50,000 acre- feet of water and suggested alternatives to a dam raise including dredging and Bull Run 3. The TRWC was asked to provide a recommendation and/or list of Progress Report 1 2/19/2003 Tualatin Basin Water Supply Feasibility Study concerns and issues on the key source options at their March meeting. I met with Ralph Raines Sr. and Ralph Raines Jr. to discuss the Sain Creek Tunnel route and access to their property. Submitted by Tom VanderPlaat, WSFS Project Manager Progress Report 2 2/19/2003 IL4_ �r .kSi ayA-y j � p E� ,� i #; a y, v.-,�..� 1.e. fL✓ �► 17 4}� c.,4�_•y�" � •Iq�P � i � �"'� � ]Y L Y,N� f ;.] .'I'._ / � � ar' a tlog b. 1 tr f 9 S F ^<1.��'P'` ? �' � `1 �..•7r�• .. T e 'T. • 9-.�� i � 7P,� ( t5,( �Y 4� T II a 4 4 a 4y � III r� _ : t . . r � /'wF• 4 x� y i ��: M. •awr•.. h This is a request for $2.q million in FY 2oo4 for the U.S. Bureau of Reclamation to fund an Environmental Impact Statement/Planning Report (EIS) for the Tualatin Basin Water Supply Project. The total cost to prepare the EIS is $6.87 million, of which local partners are funding the majority. WASHINGTON COUNTY 1 1 1 PoNend 1 1 1 1 WASHINGTON COUNTII 1 1 _________ 1 OREGON 1 1 1 � 1 t Q V 1 ,y 1 Gdes i RBenb 1 Cei North _a X06 a Illllsbero e"0" d° Beewrtoe NIBS fBAs,.UwK TuataAn Mw .�y...•,•�i.:h _ - •y:;y,,;::'.:i�' - c. ?ID-d Teeletl IMPFro Canoeist on#*TuM An Fiver HM L*A TuWdnfives �NL. •ani. n; - .- � '_ �..-N.,s;;Q,_ :;�;• -:.�.,�'��.� + •:sK,-._;,:�;r.,r��'�.-++:�,-:�.,_ -•meati s. ,�;�-� i� e o -�•' y� '•F:'• Y .::''!•. =G'f`�--. .T:4' ,rR�`-, ,W..!:,~ _ _ ._ it•.+,. � .. ... ........ , n•. Need Statement The Tualatin Basin of Washington County,Oregon needs dependable water supplies to address growing municipal,industrial,agricultural and environmental water demands,and to remain economi- cally viable. Demand for water in the Tualatin Basin is expected to double by the year 2050,which means the basin will need an additional 5o,000 acre feet per year. Water resource agencies in the Tualatin Basin are making investments today to meet future needs and to avoid potential water short- ages such as those experienced in the Klamath Basin. OPTION 1 ' = OPTION Z .' 20 foot 40 foot }" t M" Seoggins Dam ScoggIns Dam Raise � Raise = ,<•��w =:::'�Y��; j{ -26 _ r5 _:.::','�::. `�k.,F,r •vy'::•'� � Si!:�t;')'i� sFyyy I 'f�" �7P1�1VN:;, `..};.�G� T.Y V �,.M�'a:y.t: .�U C•b • ra OPTION S Irrigation Exchange Pipeline from , Willamette River OTHER SOURCES OTHER SYMBOLS TmkftVwby Db Cbm Wier 0 -1 h�a�onlet servim " WasbwaEar Sts1(on Tre ftcft - ';AJ 'Si"^:;y'.i_ -- �,:.'e.N.:,,1":' - :i5•}'' "�. �Ky 1 ti:}"•�,.•+-.`.+ii�i.': .,;'•,' - ,f.^::. • fit" •�'�r�"' �, .,":.A:d��- ?y riFti kY'n' �:",q.:: %"7'r •, ;La<`•°-� �::."3 3,v�.','�..na'i�•. <. .?.•-I,`.tt?�i`• ,.s+rs` 'r,.Z^.x-_ - ,�6'.�:•, x.:.:.:.f::«....:•,, `+. _ F��.:•��r��.;:'`z: ;•,; Project Description Water resource agencies in Washington County,Oregon have been working collaboratively to meet the longterm water resource needs for drinking water,agricultural irrigation and instream flow. They have developed an integrated water resource management strategy that has resulted in the Tualatin Basin Water Supply Feasibility Study(WSFS). The WSFS will study the impacts and benefits of a range of source options for 5o,000 acre feet of needed water and select a preferred alternative as part of an EIS. Some sections of the EIS are expected to be completed by the Bureau of Reclamation(BOR)which owns the dam at Hagg Lake. The expan- sion of Hagg Lake is identified in the WSFS as one of the major sources of additional water supply. OREGON - PORTLAND TO "�• " tom. cosy o Q. LEGEND N .9eeverton 9� F.�; Forest A A9r►enrw- L'o '- Oswego ®Ur"n Berney Reservoir t t . .all �fti:--a- West Linn 4. r City of Beaverton City of Tigard City ofHillsl Project Timetable City of Banks �' sl>s;•<' yFLwai ':-� `.�n!;. :.,'�;��•,-�,?i�`�'%`sir°' .:,r ..�5�:,�+.�;.e.e:... City of Tualatin : mak_. City of Forest Grove Water Supply Feasibility October 2001 38 months December 2004 City of Sherwood Study/Final EIS City of Cornelius Permitting January 2005 12 months January 2006 City of North Plains Final Design January 2006 12 months January 2007 U.S.Bureau of Reclamation Construction January 2007 31/2 years June 2010 Tualatin Valley Water District Clean Water Services n?'-�_ _ _ _ •�'" i.r•-�'.i'a r,.;,Y,,�..:rr:r,..�;*,: -`.h!'y S':,''3y " '.'.':.•':=:- :.'bz.',,;:s•�-i:. y-`-�+:;:,+irr.••,�y,'- ..:.,�i.'�'ji tet...�� `2 c�,.-r..- 1 .,e �' ,g,�. •K.fir Y Y'y''$.''?i1. ,.yi.Ct�'�'."SiFf k'.:•+.T� "'.l.d'I�#KTg .y�FJ � N. t.4vj-PC��r�N1':mitis:':f;.�..1�•"�4-i_:A'�'O.) 5'1-%A.:,S'... . + .7 Economic Recovery infrastructure to support economic growth. ' According to the"Westside Economic PPo Study,"'a recently released report on the Washington County has become known as > westside portion of the Portland metropolitan the"economic engine"of the state,generating region (primarily Washington County),this more state revenue than is returned to the area. area has been the fastest growing part of the To remain economically viable,basic needs metro area and has played a leading role in such as adequate water supply are critical to the driving the region's and the state's economic area. Water is a necessary raw material for the growth in the past decade. Specifically,the production of computer chips by the region's study cites the establishment of the Unified high tech industry and is also fundamental to Sewerage Agency(recently renamed Clean Water the growing nursery industry,which represents Services)in the igjo's as a critical investment in almost 60%of agriculture in the county. r r Finance Plan The cost of completing a Draft and Final Environmental Impact Statement and preliminary design is estimated to be$6.87 million. The majority of funds,$3.8 million (55%),will be provided by local water resource agencies. The request for federal funds is$2.9 million (45%) for the U.S.$ureau of Reclamation. Local Requested BOR Project Component Cost Contribution Contribution ' R Totals $6.87 million $3.8 million $3.07 million (550/0) (45%) *Funds already expended **Funds requested S y ` 11 4 1 LL 7 kw U. §t r: r.- ^$,. -�� ;a-... b;:.�r}'F '�r"{t?x<•�� t.. 'p:�,.:.,F.,�:�.�.r;,Sn.� ,:�.r�:i�F% . 0 -- ..,.,.. ..,..r ..•.. - ...:..fit ... _ �° i. - ., n r } Watershed Health Sustaining the overall health of the Tualatin River watershed is a primary goal of local water re- source agencies in Washington County. Adequate instream flow is one of the most important factors in r maintaining water quality and fish habitat. The Tualatin River is currently identified as"water quality limited"according to the federal Clean Water Act;therefore efforts must be made now to improve the environmental health of the watershed. Two fish species in the Tualatin River are listed as threatened under the federal Endangered Species Act(ESA). Restoration of fish habitat will require more water. t. Hagg Lake Tualatin River Dbcavery Day Benefits There are numerous potential benefits to be realized as a result of the outcome of the Tualatin Basin Water Supply Feasibility Study. These include: •Water conservation • Flood management • Reliable,safe,cost-effective water supply •Economic development •Agricultural production • Expanded recreational use • Protection of Tualatin River and its tributaries •Wastewater reuse • Improved fish and wildlife habitat • Environmental health of the Tualatin Basin • ESA listed spring chinook and steelhead restoration a' .L - * •;t`�.:` .i s'�';":-„ .-'i;-".fes. 'c-&-ii a:.z" %.�>F+6.,-T=+7'. Rj IN ,:�;P+_r. i..1'" a •j':.1�_,.v`Pt:.'''hl, :,it, _ ..: . . . .. -- A - - ..n . .. dfs. .,<r_4:.J- Community Livability Quality of life is highly valued by residents of the Portland metro area and it is directly related to the region's economy and sustainability. Residents of Washington County value the beauty,quality and ' recreational opportunities afforded by the area's natural environment. The."Westside Economic Study" recommends that the area must continue to maintain and enhance a distinctive quality of life to attract talented workers. A recent survey'of Washington County residents conducted for Clean Water Ser- vices showed that protecting the environment and planning for the future are the most important characteristics of water resource management. Anatomy of a Tualatin River Watershed r- . ..:�. lip - O�s�feoa .Xc fn�aunt ExNfey 67 : •:; ; • :3� PuStatio ' a .b{nt IMrter �,� [sirimiltio�Mutt :r 4- ,^ ate-. a.y'�`'.. ,.�.'7`'✓"" ;. y r K' Profile of Washington County, Oregon and the 'Tualatin Basin Washington County,Oregon has a population of about 47o,0oo. Since 1987,the number of jobs on the west side has doubled to a total of mo,000. The west side has outpaced the rest of the Portland metro region in eco- nomic development and is a net exporter of earnings to the state. The level of education is high among residents of the west side,with 36% of adults having a 4-year degree. There are twice as many 25-34 year old college graduates in the west side than the rest of the country per capita. The Tualatin River,fed by a network of creeks that drain over 700 square miles, is Washington County's only river. Nearly 8o miles in length,the Tualatin River begins in the Coast Range and meanders through forest,farm and city to its confluence with the Willamette River at West Linn. Investments in wastewater treatment during the past three decades have resulted in the Tualatin River being healthier than it has been mi generations. References "Westside Economic Study",Impresa,Inc.,June 2oo2 Public Values Survey, Davis Hibbitts&McCaig,June 2002 �E'£ •�—+Y�C.Z, ..s,.'.i:. - A�7•r' y,,ss"<. - e'�1;:•y� t.Sfa -`s'7, }.�.:ey_'. .. r •J,.+:-c4�+'r`}r3r�Wr '•a:r+. ^;^.1',. _ - ::d'':J•:..�5'� yy.+.;.. .- Washinr 'County ter Services 155 N:*&*-' eriu0,Room 300 ust Avenue,Suite 270 1 Hillsboro,Oregii ?:,. _ s voro Oregon 97124 A' `. 503-846-8681°Fax 12-846-4545 -"503-846-8621 Fax 503-846-3525' . wnraivtlea t�.lxeivicet.org . Tom Brla&thatr 't Wash n' un of ialt nissiors " anJCI°ea Sa i SE r oflbirictoi x "' �. - _ -ice .,, �•.�,�'y _ . . Go ��Parkers �_ "'- �•� ..-�.t :�`�. .. ilk a�yo'B :... .. Z I.. clay of. - ='��: = b9-320Q: b eF .• ;� C�of�Hillstio ,; _ _ r6.8ts r .r /E� ► ' i sj ;5ft'3. e� :fie - .. Metic Co 11 h .o. =;A lFm Griffi to F' Lou O Mayos :a:='^ ••.�` � •-, �y.;,, 'TU Grey., �2 1 Bill Ga ffirGe � , ,• -� fir• - M. 1y� jLi � +'•Na j'�517 7 't ��• lZ 4-. tt 5� f i' [n @"mss • I L• • "' r t+ i d . x rtiAl • ;fir • • • • ,..rt+' -_ s �. 7 � r c.c:-�.- • • • 'fit":�,"^ a --,'. K� F r��• h r w i ' J 'zO t r - e J -.�S Z+'t w.+Q Jy Fk'I- i� YR L � ,y7r: ` „fy�'1-,•� 3 iy!' S Ca � ';J S.''�Y{.�fyV, .{.Ct. tti. .:� � ��1">,.r•f' t;[r' )3 .�"} _` ht > "�''J'o3} '' "��" �`.5 .L'. ; IL •�x'i �' `�' ��S -.�lp {.T.`f.... hr `S ,�; - � lY•• 4 z�. r r.r Yf a :�-< .Y � G�ONA(*Jhh� RTL 4 U.S.POSTAGE y „ �, (FEB26'13"�Regional Water Supply Plan Update Project1001 SW 5th Avenue,Suite 450 � 0 0.3 7 * a 9j,.. Portland,Oregon 97204-1124 O NMETFR54 7077 A. Newsletter 1) The Regional Water Providers ConsortitlillMR ED WEGNER CITY OF TIGARD WATER DEPARTMENT Winter 2003,No. 3 13125 SW HALL BLVD. TIGARD. OR 97223 What's Up with the Regional Water RWSP UPDATE SCNEDU I Supply Plan Update? Printed on recycled paper with soy based ink. The intent of this third newsletter to is to let you know that Summer/FallIfflnter 01/02 we are still working on the Regional Water Supply Plan(RWSP) • Collect water provider plans and programs • Obtain expert assistance on water sources, Update and to tell you more about the selected source option modeling,and conservation packages and the conservation programs.In the first newsletter, • Start collecting water provider data for demand forecasting Regional Growth and Water Demands we covered the Update work tasks and schedule.In the second • Comte water provider map newsletter,we talked about water demand,where thereion • Hold stakeholder panels at Board Meetings The Metro regional government is responsible for establishing forecast and their framework plan and additions to the Urban $ • Publish first newsletter gi g po g P currently obtains supplies,the role of conservation,and what the regional population and jobs forecast. The Council has Growth Boundary. So although the largest amount of new land new sources the region might consider for the future. Since the Spring/Summer/Fall 02 approved a regional forecast and will allocate that forecast to has been added in Clackamas County.,the actual growth in • Evaluate source options summer,a number of factors have resulted in a delay of the specific cities and counties by June'of 2003. population will still be significant within Washington and • Review conservation programs The last work task to be completed in the RWSP Update before Multnomah Counties. project.We chose to wait until recent Urban Growth Boundary • Develop integration model the decision support modeling can be conducted is to prepare As the Confluence decision support model is run,it will (UGB)decisions at Metro were made to obtain the most up to • Prepare demand forecasts water demand forecasts that reflect the December 12,2002 include new water demand numbers as well as conservation date population data.We have also allowed more time for the • More newsletters and plan workshops conservation analysis to ensure that information about individual • Public workshops August 27 and 29,2002 Metro Council decision which adds 18,700 programs.The conservation programs will Y acres to the Urban Growth Boundary. This t" target changes in demand,which will result in provider systems and future plans are correct and appropriately Winter 02/Spring 03 decision adds parcels around the region that , ' some of the growth in the region being met timed to be included in the Update.The Consortium has almost • Prepare conservation plan and source option packages affect various water providers.The largest - through more efficient use of existing supplies. completed work on the packages of conservation programs.In • Newsletter on the Update progress in February 03 Greater efficiency is consistent with new Run the decision support model on packages of addition is in the Damascus area of Clackamas Y addition,packages of supply options have been identified.The supply/program options County. This area is approximately 11,000-acres rules recently adopted by the Oregon Water Confluence decision support model is complete and will be Prepare preliminary plan recommendations and adds approximately 100,000 new residents Resources Commission calling for Water ready to run the programs and supply options once the new and jobs. The water demands of the various Management and Conservation Plans in order water demand numbers are available. The preliminary RWSP Summer 03 water providers reflect their past consumption to retain unused State water rights. These Update recommendations will be worked on during the • Provide preliminary plan revisions to public and patterns,but for large new areas the actual Plans will address how water efficiency will be individual providers by June 2003 water demands are more likely to mirror those part of meeting growing demands. This same Winter and Spring of 02/03 with a set of preliminary • Newsletter on preliminary plan recommendations of established communities that are similar scrutiny will be applied to any environmental recommendations being given to all of the • Regional workshops/hearings in nature to the land uses that will be allowed permits that may be required for new source Consortium water providers • Individual provider hearin Pe Y 9 alu i dback:; develo ment. The water demand forecasts by June of 2003. A = rP Vz- in the future. Water demands in the three p :1rt, 4_. Portland metropolitan counties will increase due already reflect changes in consumption patterns ��, . $9. .n=to infill and redevelopment,so there are very that have been seen in the region over the last ° few water providers that won't see growth, 12Years.The Update '' +{ will treat conservation however some will see less over time as they as a source of supply to be evaluated along become more fully developed. The population with specific source and transmission increases will be allocated based on the Metro development projects. r NEW Conservation Survey Feedback Future Source Option Packages Path to Developing Conservation Programs In our last newsletter,we asked our readers what they thought In order to evaluate the range of options for future supplies A basic premise of the Regional Water Supply Plan(RWSP) savings,costs,economic benefits,unit costs and benefit/cost ratios about water conservation and its role in meeting water supply in the region,the Consortium and provider staff have developed is that water conservation,is a viable resource that can play a'key of water conservation programs.Our consultant has inputted all needs in the region.Thirty-nine people responded and here is a set of specific source option packages that have different role in meeting future water demand needs.The original RWSP of the necessary data into ConEAST,including existing Metro what they said: emphasis. The idea is to compare and contrast different ways included a comprehensive analysis of about 150 potential population and employment forecasts and updated individual that larger and smaller source options might perform in meeting conservation measures.These conservation measures were provider water use,rate and customer account data and other 95%of the respondents conserve water in their home and the region's water needs. We want to look at the costs of the subjected to qualitative and quantitative screens to narrow the information.The next step was to develop descriptions of potential garden.The top five activities are: source development,transmission,large storage tanks,pumping list of conservation programs to the following: new programs,aside from those already in the RWSP,and • fixing leaks costs,operating costs(fixed and variable),regulatory. /water • conservation education associated costs and savings and input those into ConEAST.The • installing low-flow fixtures rights issues,and environmental impacts and potential mitigation • outdoor water audits new programs include indoor programs and programs targeted to • using mulch to retain soil moisture costsfor each package. The intent of this exercise is to evaluate • incentives to install water efficient irrigation and landscapes commercial, industrial and institutional (CII)accounts as well • sweeping instead of hosing down sidewalks and driveways the options against a set of policy objectives. • landscape and irrigation ordinances for new developments as those aimed at reducing outdoor use. Programs were ranked • directing sprinklers away from hardscapes The Consortium Board met in September to discuss these policy • conservation pricing structures against a set of criteria and a list of recommended programs was objectives and decided that all of the policy objectives from the orig- generated.The consultant completed a draft final report and inal RWSP were important.Further they decided that the five or six The suite of conservation programs evaluated modifications are being made before a final key policy objectives related to costs,water quality,efficient use of and selected for the RWSP were designed selection of programs for the RWSP water,environmental stewardship,and catastrophic event reliability in 1995. Since then,water conservation Update is made. were all equally important in considering the changes to the RWSP. efforts,experience, and technologies One of the main issues with selecting The Board was briefed in December about the conservation have advanced. In 1999 a consultant , and implementing regional conservation programs and the future source option packages that would be was hired to review the programs in the programs is the variability among the modeled using the Consortium's Confluence decision support RWSP to determine if their designs, li "1 individual providers.Some providers model. The source options packages include the following: assumptions and resulting estimates serve more residential customers and should be revised in addition to updating others have a significant number of population and employment forecasts.The commercial,industrial and institutional alis Win` il curPent��riast�r lan§ .',"- consultant recommended some program customers.Our Consortium Board and 154!�::� a� .,,.; +<"fib_'_ ,:.: " F, MIEN' re bnall io[i' '. .,• changes and was able to provide conservation Managers have discussed this issue in depth .:,; program costs and savings at the individual and we are working to develop a way to LIIVIITE '`EXPAISIJ1�fld LARGER PROJECTS water provider level. allow our Confluence decision support model Sle% rojict$rifls�u ` A' fer Stora VA U04 P •' P JY With the update of the RWSP,the Consortium to tailor our regional conservation programs by water provider. A 'lgmaljei r r.: ti ii"'Plant:eicpuiisioxi`d'i' o" Q;. + _:.•. ... ..' :,-'..., - ;.¢. _ and its providers have the opportunity to once again look at the role Our goal is to have a set of regional programs that all providers <... .. _ 4 6P .<'el And while lettin our lawn o brown was not a selection, of conservation in the RWSP and reconsider the mix of programs will participate in.This would be mainly education and outreach g Y g r � VC,%J se nt many people noted it in their comments. n, • ' ?,<<; r :: ; _ 4{ -;; v`:y*,- in the RWSP.The programs currently in the RWSP focus on programs.Then there will be a subset of programs tailored to reducingoutdoor season use.The Consortium Board and specific customer needs that individual providers can choose The Consortium is always m to determine if our summer , P Pce Y trying {°`°="� `' °' �" ` - ;v. `y ;" stakeholders support broadening our conservation focus to from and that will be placed in the Confluence model for evaluation conservation media campaign is reaching the public.Almost e a �exc.� es half of the respondents had seen or heard water conservation ,t g�-�evlrn�;' i achieve greater savirigs'and to recognize the variations in wale_r with sources of supply.This will make our water savings messages on TV,radio or outdoor media. 10%had visited the ..; ,, tif, gron T ""sm�s ]� use among the_providers. projections.more accurate and realistic.Approximately 10 "'=.,; 2 ' For the conservation analysis,the Consortium is utilizing programs will be selected for.inclusion into the RWSP Update. Consortiums website:www.conserveH2o.org. ..• h A,, ti r , 4 a modeling tool called ConEAST(Conservation F.conomr The programs that were,evaluated and that are being:: .,. , P1vl� >E� rrening' to•folio'' . a., .; <<; .; '-. ' �."f�. ,. I�, ,a:'': Anal"sis and ScreTool .that.enables us.to calculate�v�!�te �:. •::'`'s'cbnsidered�iitclude;,th iv�i► When asked what motivates them to conserve water,most k, .,, Y, ) ,{- ,�#= 'l\� 1riF _ .g- 4 � Other res � •t" t� p s ht thing i the ri responded that .•,�- ,�. a g PO 4, *.�.. 'i;Gi' r},f"^��J •"?A3a, X .-� G i F,",� R rYy�� ..yy !F included environmentai benefits,bill reduction,Prese =;=1x.' •�� r'�-�5� mom�� , •� y,�y.,';;: - y C nz u ta.ana°e`ast�a 'ne eded .. 3o,-nand —V of high quality water sources d infrastructure Fda � _ �••Co`- . a ii;i`�, - k �•>h a 7i. �•,�-:-. - k `sS - S C S' 1 M e ..a u r;. improvements and reduced sewer flows. ... '°� �,, -�'•; ori=agill�• °.��:.;,n_:-.�.�;,.:��::��. x �` :�•- i��uiJLf►71►7 { Y� �r,.s� z'^r�,�.�4.�_'� �.� - �..+•A ��: R �i.�,' ,t'c-.%y ; :ri;arn',?t • When asked how comfortable they are with relying on conservation to meet supply needs,most people were o.k. however there were several qualifiers.Notably that conservation is just one component of meeting supply needs. - • When asked about whether or not-to set conservation targets, 56%responded that setting conservation targets is a goodn �+► idea, 15%did not support targets and 28%did not know. • When asked if the Consortium should include year-round , _ water conservation programs'(indoor and commercial, •. �r t ti;= p4;' industrial and institutional)in addition to established summer programs,61%said yes,23%said no. � ! ent:"planf ':° ,. "- �;c When asked what they would be willing to pay on their water bill to support conservation 50%were willing to pay more. Districts "It is a large increase,"he said. "It is more than we expected." evaluateTheTigard City Council last year approved an unrelated 10 percent water rate increase for - ,�/�/Tater rate Tigard customers. It also aproved 6 percent rate increases for the following two years. fficreases Koellermeier said it is not a given that the rate increases will be absorbed by customers.The city could hold off on a capital Portland may raise improvement project or look at purchasing water elsewhere to wholesale prices to reduce expenses. customers in Tigard, Currently Tigard purchases 62 Tualatin and Sherwood percent of its water from Port- land and makes up the differ- By EMILY TSAO ence with water from the Joint THE OREGONIAN Water Commission and its own A proposed increase in whole- wells. sale water rates from Portland Tualatin purchases all of its may create a ripple effect in Ti- water from,Portland. City engi- gard,Tualatin and Sherwood. neer Mike McKillip said resi- The Portland Water Bureau dents should expect to see a rate announced earlier this month increase from $1.45 to about possible rate increases averaging $1.65 per hundred cubic feet in the coming fiscal Year. 18 percent for its wholesale cus- tomers. About 14 cents of that in- Tigard would see its rate in- crease would be related to the cproposed Portland rate hike.The crease 24 percent, and Tualatin remaining 6 cents would go to would see its rate increase 21 percent. David Hasson, the Portland About 14 cents of that in- crease would be related tc the Water Bureau's finance director, proposed Portland rate hike.The, said that the last double digit remaining 6 cents would go to percentage increases took place Tualatin. -back in 1995. Based on average usage, resi- dents however, does not dents would see their b s ft- face the greatest increase. That crease about$2 a month or$24 distinction goes to the Palatine Hill Water District,which serves a year,McIGllip said. the Dunthorpe-Riverdale area Sherwood is not a wholesale and will .see an increase of 27 customer of Portland and in= percent,Hasson said. stead relies mostly on well watei. Portland is looking at charging Sherwood receives some Por- j higher rates for a few reasons, land water from Tualatin. l including lower demand or cord- McKillip said Tualatin expects sumption and an increase in to pass the proposed Portland cost of doing business, Hasson rate on to Sherwood. said. Kristen Carey, a Sherwood Each wholesaler faces adiffer- spokeswoman, said dont ent rate increase because the know what the effects will be rates are based on water use pat- yet." tems in a given jurisdiction. Although these figures are preliminary, Hasson said pro- I Emily Two:503-294-5968; posed figures in the past did not emgytsao@neWs.oregonian.com -change dramatically when final- ized in June. Tigard's assistant public works director, Dennis Koeller- meier,said it was too early to de'- termm—e whether Portland's pro- posal would automatically send water rates soaring for Tigard customers, who currently pay $1.56 per hundred cubic feet. 03 ea a ace on re on ni water sUPP.1y answers from Portland at its next drinking water to 800,000 people. Portland wants to be compen- come to the conclusion that we tricts need time to renegotiate their Portland has waffled too meeting,March 31. A dozen of Portland's wholesale sated for its assets and tentatively need another study?" contracts for Bull Run water and Jon Jan to share the "Do they want to regionahze,-or water customers,including Tigard, set the value at$320 million. The Sunrise serves customers south explore other water sources, such g on a p don't they?" said Ed Wegner,,Ti- Gresham and the Tualatin Valley cities and suburban water districts and east of Portland,ranging from as.::�Js. control of Bull Run, gard's public worlcs director and Water District, jumped at the immediately said that was far too. Interstate 205 east to-Damascus. "Some of us don't have the luxu- suburban delegates say chairman of the Bull Run technical chance to share ownership. much. Dave Rouse, director of Gresh- g y advisory committee. "If not, just They've been stung by sharp rate At the technical advisory com- am's Department of Environ- n'of sitting on a water gold mine," By ERIC MORTENSON tell us." increases:Gresham alone has seen mittee meeting Monday,city offi- mental Services,said the more crit- Wegner said. THEOUGONIAN The regionalization plan was its water bill from Portland in- cials suggested a full market ap- ical dollar figure isn't the value of Edward Campbell, aide to Port- suggested two years ago by Port- crease by more than$1 million in praisal should be done to de- Portland's assets,but the$407 mil- land Commissioner Dan Saltzman, Tigard. and other suburban )and Commissioner Erik Sten,then three years, to$2.45 million budg- tennine'the value of the system; a lion the Bull Run system needs in who has succeeded Sten as Water water districts said Monday they in charge of the Water Bureau.At eted in 2002-03.Tigard also is ex- process that would take nine to 12 capitalimprovements. Bureau commissioner, said the are tired of Portland delaying its the time, Sten said that forming a pecting to see increased water weeks and might cost$300,000 to "Portland stands to gain by committee's message was "loud decision to create a regional drink- regional agency would stabilize rates as Bull Run rates rise. $800,000. bringing in partners to help pay its and clear." He said Saltzman still ing water agency and give up its water rates, coordinate develop- Technical and policy advisory Committee members weren't huge capital needs — that's the favors pushing ahead with a re- historic control of the Bull Run sys- ment of water sources and spread committees were appointed to interested. benefit of regionalization,not how gional agency, but he was unsure tem. the cost of needed maintenance work on the project, but the idea "We're now (almost) into much they can squeeze of out of how the rest of the council will re- In unusually blunt language, and system improvements. snagged in November over Port- March, and you're asking us to (partners)." act. some members of a committee ap- Portland has been drawing land's asking price for its assets— wait another three months?" said Several committee members pointed to examine forming a re- water from the Bull Run water- the reservoirs, conduits,Columbia John Thomas,general manager of said they need an answer from gional water agency, using Bull shed, northwest of Mount Hood, South Shore well fields and other Sunrise Water Authority in Clacka- Portland quickly. If Portland isn't Eric Mortenson:503-294-5972; Run as its source, said they want since 1895. The system provides facilities. mas. "Why did it take so long to interested,the cities and water dis- erkmorrenson@neu s.oregonian.com Board Activity Report Supplement—RWSP Update Project December 2002-March 2003 Water Demand Forecast—Staff have met with staff at Metro to get a better idea of when official allocated forecasts will be available for the region,particularly with the Council making the decision on UGB amendments in December 2002. Staff has produced a memo for the CTSC on the effects of waiting for newer Metro forecasts on the schedule for the project. Staff have prepared an updated map of water provider service areas including new Metro UGB changes. The map was presented to the CTSC at two meetings and feedback on couple of decisions on provider service areas was obtained. This map will then be provided to Metro to obtain new base case numbers. Staff met with Metro staff about their work schedule and whether additional funds will be needed by Metro to provide the new breakout. Hopefully all node information has been asked for correctly(e.g. splits of two water providers into two nodes each) so the numbers will be useful in the Confluence model. It is not clear at this time whether Metro will be able to provide a new set of base case numbers. Staff may have to utilize the prior set of numbers to begin model runs in Confluence, and then validate selected strategies later in the early summer prior to completion of the RWSP update decision process. Conservation Review—Staff have collected comments from the Conservation Committee members on the draft conservation program for transmittal to PMCL and discussed these with the CTSC at their December meeting. Staff has also worked on a recommendation for a revised marginal cost of water supply development to be used in the conservation program analysis. Staff has also worked with PMCL on finalizing the draft Program analysis report.Recommended programs for the Confluence model will also be shared with the CTSC. Staff has reviewed comments on the draft final report with the CTSC and CCC. A calculation of marginal cost has been further refined and was presented at the January&SC meeting. Budget for this project has been mostly expended with additional work necessary to complete the project. Staff presented a summary of the pending work tasks and proposed using contingency funds to help complete the project.PMCL will absorb a majority of the costs.Reasons for the additional work tasks were outlined in'a memo to the CTSC at their December 2002 meeting and primarily have to do with the extensive comments,change of marginal cost and a change in the planning horizon.PMCL has incorporated all of the provider-level input revisions for water usage,rates,marginal cost,number of accounts and days of summer. PMCL is now working on revising program costs and assumptions based on the comments received. Once this is done,ConEAST will be rerun and a new analysis will be available with all the program rankings. A final report should be ready by the end of February and new recommendations available for Board discussion at their March meeting. Source Options—A final version of the alternative scenarios memo was prepared by EES and a large format table was developed. EES continues work on the update of costs for the new or expanded supplies to be used in the modeling work after the demand forecasts are generated. Staff generated a large format poster of the source option scenarios and some smaller materials on conservation programs.The Board discussed the source options packages on December 4 and agreed that the ones selected were assessed as being relevant. The staff met with EES to further discuss the completion of the final source options report for this project as well as the tasks related to public involvement and the modeling and preliminary plan development. EES proposed that the Consortium determine the nature of the final plan product so that their report can be prepared with knowledge of how the RWSP would be revised,making their product more useful for that process. Staff and consultants have continued to work on identifying the remaining budget and work tasks to ensure that enough funds remain on critical tasks to complete the project. Staff met with EES to go over remaining tasks,particularly to identify a cost effective means of updating the transmission link costs which is being prepared in February. Integration Modeling—Gary Fiske has continued to work with the water providers to validate the data to be used.in the Confluence model. Gary Fiske met with Ronan Igloria of EES and Consortium Staff to discuss the effects on the project of obtaining new Metro forecasts. Staff has worked with Gary Fiske to determine the final data sets needed to fully complete the base case of the Confluence model, as well as discussed the scheduling of completing the other needed data sets for future options,demand forecasts, and the conservation programs so that Confluence can be used to begin the analysis of the source option packages. Staff has worked with Gary Fiske to complete remaining tasks on filling out the base case data,verifying the numbers being used for costs of current supplies and transmission. Public Involvement—Staff worked with Strobeck to prepare a timeline for mailing a third public newsletter at the end of February. Staff prepared a concept.outline and most of the text materials that would be used in this newsletter and this was discussed by the CTSC at their January 8 meeting. Staff worked with Strobeck to develop the third newsletter to be mailed towards the end of February. Copies of the newsletter were provided to the CTSC and EC prior to mailing. Staff have developed a memo for the CTSC,CTC,EC and Board to consider at their February/March meetings about the process and format for the endorsement/adoption process for the RWSP update. • f. i a > '� Other E E" tl n Yt fJ vv C N F „I. ," SMWCS rIder`Creek . Sherwv o Milwaukie"� Ba �y Tualatin R GW Shy ` , 7 unris p aStLo ' -' � Sunrise G'dV NCCWC Ison N.r r 5 I Will VW GW `� a0 z i< �ryM1�4 �R t a � a r L .a.9.>,��' ti 'L.i��\i •r N.-i'.Y+ f R, ry .L,p'�� b p _ exec! Input G 1F?pXGonf�u� f o Cel e.m �, ,�,. ce�B .. � It n Base�PDXBcs db r: Stax. I�y'�_ � .� /►�,�•p �,Q �.MM1 ,� . PARDTrans r'{,�11� yf'r'� .® ©`:"1-+1',��f��7 ,�;�" r. ... N,11•Y1� ,a'�K'r!:�'' gw VX' f SOURCE SCENARIOS FOR CONFLUENCE MODELING* A. EXISTING MASTER PLANS • Include all facilities contained in current master plans • No larger scale regional transmission B. LIMITED EXPANSIONINO LARGER PROJECTS • Smaller projects including ASR, smaller Water Treatment Plant expansions and dam raises, groundwater development • Some regional transmission development as needed C. HAGG LAKE SOURCE DEVELOPMENT EMPHASIS • Focus on the larger raise of Hagg Lake or water exchange • Water treatment plant expansions or new plants • Two sub-options with and without Regional Transmission • Local sources as needed D. BULL RUN-SOURCE DEVELOPMENT EMPHASIS • Develop Third Dam in Bull Run • Develop groundwater in Bull Run • Regional Transmission to south and east as needed • Local sources as needed E. CLACKAMAS RIVER DEVELOPMENT EMPHASIS • One sub-option to develop Clackamas River to level of existing water rights and use of Timothy Lake agreement • Second sub-option Includes existing and new water rights and Timothy Lake raise • Water treatment plant expansions or new plants • Regional transmission to south and east as needed • Local sources as needed F. COLUMBIA RIVER EMPHASIS • One sub-option includes 50 mgd water treatment plant using existing water rights • Second sub-option develops larger water treatment plant with new water rights • Regional transmission as needed • Local sources as needed * = Conservation Programs will be applied to all scenarios based on work being done for the Update. 3 2 MetroSouthwest news 1 MW_ EL Calendar and IMormaD Q f^ Fax ».« E-mail.........»»............ Newspaper delivery.». Classified ads......»..... On the web..--- I Water s ris sh,ake up manage-m-,-ent The South Fork board is made &JA change is necessary, in a date, but it was clear that it joint agreement. Sunrise, which Kathy Willis is out at Oak up of three elected officials from fight of the difficulties would be a short-term transition has no Clackamas River water each city.Bradley said Oregon City , to a new manager." rights,has tried to buy some from Lodge Water District, and Mayor Alice Norris told him that we've had with our "It looks like that's.going to Oak Lodge, which may take 40 it looks !-ke 5nuth Fork's West Linn officials would not sup- payers." happen,'said Paul Savas,an Oak million gallons a. day from the ort a new contract. p - bodge board member.Savas said Clackamas River but uses.only 8 Dan Bradley's on his way Bradley, who mattes $84,396 a � million gallons on a peak day. PAUL SAVAS, :hat ._.s has done a good job By STEVE MAYES Y � has not been told to leave, OAK LODGE WATER DISTRICT BOARD W11-11s that the board wants some- Sunrise, Oak.Lodge, Clackamas THE OREGONIAN but the West Linn representatives one who will take a harder line in River Water and some cities that aren't pleased with him,said West ♦ rely on the Clackamas River for One north Clackamas County Linn Mayor David Dodds, who is dealing with other water districts, water district is about to dump its chairman of the South Fork board. The situation is clearer in Oak especially the Sunrise Water idrinkinganwater have been discuss- water manager and another is consider- "I've had some qualms about Lode Authority.Y for a new regional water alliance g Mr.Bradley,"said Dodds,who dis- Lodge. for more than a year but are still ing a change. Y Willis said she will leave her A change is necessary,in light far from an agreement. The Oak Lodge Water District agreed with a recommendation by $75,130-a-year job this month, of the difficulties we've had with "The Oak Lodge board is seek- board has told manager Kathy Bradley to raised tors rates. his possibly as soon as Friday. our partners,"Savassaid. Ing a hard-driving negotiator to Willis that it plans to replace her. Bradleyperformance review for last year The Oak Lodge board will dis- Oak Lodge and Sunrise formed negotiate a new intergovemmen- And the South Fork Water and, consequently, his contract cuss Willis'departure and the pro- the North Clackamas County tal agreement and ... favorable . Board, which serves Oregon City was automatically renewed with. cess of finding a replacement at a Water Commission, which oper- terms for the sale of districts water and West Linn; may be ready to out a vote of the South Fork board, special meeting at 5:30 p.m.today ates. a Clackamas River water rights,"Willis said. "They want to sever ties with its manager, Dan Dodds.said. at the district office,14496 S.E.Riv- -treatment plant and supplies change the dynamic of negotia- Bradley. Bradley,who was hired in 1996, er Road. some of the water used by both tions." "West Linn doesn't intend to re- said the review was on the No- Board members"indicated they districts• new my C✓ntracc." which expires vember agenda, but it wasn't ad- wanted a new person in my post- Over the past two years; Oak in November, Bradley said Mon-, dressed becaus.-7 of a scheduling tion," said Willis, whn became Lodge and Sunrise have tried un- sreveMayes.503-294-591x; day. conflict. manager in 2000. "They did;.",set successfully to renegotiate the stevem4yes-n4news.oregontan.com S dy assesses Clacl.kamasl&er Water seturity systems have more time to com- Board members will plete their assessments. Clackamas River Water com- consider the find.Ings, pleted its study Feb.14 and sent if which aren't being to the Environmental,Protection disclosed to the t�bl1C Agency, said Gregory Drechsler, p the districts project manager for 2. By SARAH HUNSBERGER the study. J THEOREGONLAN Jutila said Clackamas River What are the chances that a Water doesn't have any open res-' terrorist could dump poison into ervoirs such as those found in the water supply or blow up a res- Portland, making the water less ervoir? vulnerable to sabotage. He also The Clackamas River Water said that since the Sept 11 at= board will find out next week tacks,the water district has hired when members meet in secret to a private security company to in- discuss the findings of a just- crease monitoring of the district's finished vulnerability study. water purification plant and other Federal homeland security facilities. laws protect:discloolze of such About 134,000 people — or studies the idea;of course,be-,,about 'bne-third.,of Clackamas - (;0 to avoid tipping off the terror- County's population_are supf fists—so Clackamas River Water plied by Clackamas River Water. officials aren't saying much.about The territory is north of the Clack-. what they found. amas River and includes the We are quite secure, and the Clackamas Town Center area and nature of our water system is that parts of Milwaukee. it's well-protected,"said Dale Juti- Smaller districts in Clackamas la,the district's general manager. County are working on similar as= "So we have a high confidence sessments, although they must level." come up with money to pay for The report, compieted by ABS them. Consulting of Seattle, also in- Oak Lodge Water and the Sun-: cludes recommendatons on how rise Water Authority jointly corn to improve the water system's se- pleted'an evaluation of their fa- curity. Clackamas River Water cilities in April 2002, said John was one of six of the state's largest Thomas, Sunrise's general man- water districts to get federal grant ager.Sunrise and Oak Lodge are money to conduct the study, re- both part of the North Clackamas ceiving$115,000. County Water Commission; . Last year, Congress set aside which operates a water treatment $100 million nationally to help as- plant along the Clackamas River. sess the vulnerability of the na- Thomas said the study likely tion's drinking water supply and will have to be updated because it develop emergency response was completed before the federar plans. The money was intended water security requirements took to help water systems serving effect, more than 100,000 people. The South Fork Water Board, In Oregon, the Tualatin Valley which serves about 60,000 cus-' Water District and the water sys- tomers mostly in Oregon City and' tems in Salem, Portland, Eugene West Linn, is expected to com' and Medford also received the plete its assessment later this federal grants. year, said Dan Bradley, generat Systems serving more than manager.Water districts o it 100,000 people have until the end have until the end of December. of March to complete their stud- All water suppliers in the na- ies and submit them to the feder- tion that serve more than 3,300 al Environmental Protection people must complete a study. Agency, according tc the federal Public Health Security and:Bioter- rorism Preparedness and Re- Sarah Hunsberger.503-294-5922 _ ¢nnnen Art of 7M9 Qmallar iAmtor ehvmr;xn"rnnmi mixt ni'rnm .. ,b' HIGH COS i'MCMI and Ed Wbitildro Of FREE WATER Unless we straighten out the way we allocate water rights in Oregon (and elsewhere), the coming shortage could be an economic catastrophe. .Tbm, iC no eta h iI)lll,j Lis Jfl'(' 11'[11('1 „(n,•.:.n:::;L:•r.r,, ... .,•:nr':,.i .i L,,:.:; n 1776, when we as a nation were diseased fish mean bad water,and,eventually, young and we as a people were few, sick and suffering human beings.The cleaner the nation's and globe's fresh water the water, the healthier the fish,and the was abundant.There was enough to healthier the humans relying on the water meet our direct demands—for drink- and the fish. ing, irrigating,and carrying away wastes Even the sometimes soggy Pacific —and to support the natural productivity Northwest suffers from too little water.We're of most ecosystems.Today,we are many, not talking just about the current drought, and fresh water is scarce.That is,there though recent dry years have focused atten- isn't enough water—in the right place, tion on concerns about water quantity. In Headlines: at the right time,with the right charac- 2001,the flow of the Columbia River was teristics—to satisfy all our demands. the second-lowest since 1929,and although -:int#its find herbicides By all indicators,water will become far some areas have since returned to more or if{lsetog sex change' more scarce in the future,raising some less normal conditions,many parts of the a=`` serious questions:Will there be enough region have experienced continued drought ;::.::.,.;i,,•, ;; water to drink?To irrigate crops and conditions and must confront the possi- ` lawns?Will the water become so pol- bility of persistent water shortages. But ones luted that it injures fish and other because weather conditions can change creatures living in the water or harms quickly,it helps to remember that water .. g scarcity supply '�x ',kw:.,•y„;, .-- the children who eat the fish,drink shortages or scarci stem from both su l the water,or swim in the streams. and demand.Even if the supply of water in On,Are ... Can we do anything about it? the Pacific Northwest remains normal,the ones The worldwide water problems growing demand for water—from families, e1 are immense,with many dimensions. firms,and farms—increases the scarcity. About 40 percent of the world's popu- Increasing problems with water quality lation face water shortages,a figure that make the scarcity even more severe. ?Ys. is expected to grow to 67 percent(five Want safe drinking water?Buy bottled e4ie4tions, and a half billion people!)by 2025. water if the water in your tap comes from By some accounts,more than a billion streams or wells polluted with hard-to- =',: people,or one in six,are exposed to ill- remove chemicals from agricultural fields, ness or death because they do not have urban runoff,and municipal-industrial dis- access to a supply of safe drinking water. charges—and there's a good chance that's In a recent talk at the UO,former true if you live in Oregon. U.S.Senator Paul Simon cited United Want to go swimming?Stay away from Nations statistics that say that 9,500 the lower Willamette River whenever children die every day because of poor Portland's water-treatment facilities overflow quality water. Increased risks of floods, and discharge raw sewage. yr,w I plummeting fish populations,and other Want to catch some fish or shellfish to consequences of water-related environ- eat?Check first with Oregon's Department mental degradation also pose health of Human Services and Washington's threats and cause widespread economic Department of Health to learn where mer- damage.Studies from twenty countries cury,sewage,or other pollution has rendered indicate that about 17 percent of fresh- them unfit. water species warrant inclusion in the Want your children to enjoy a legacy of Red List of Threatened Species.Dead and healthy streams throughout the region?. SPRING 2003 OREGON QUARTERLY 27 4V Forget it,unless we reverse the condi- At the same time,supplies are tions typified by the Oregon State of the expected to shrink in many places, Environment Report 2000,which found especially in the dry seasons.Unless All Western states have that"45 percent of Oregon's freshwater urban growth patterns change dramat- designated trout/salmon fish species have declined or are at risk ically,population and economic species as their state fsh— of extinction.Among the fifty states, growth will cover thousands of acres every one of which is threat. Oregon ranks fifth[measured by] the with new parking lots and other ened with extinction in all greatest number of fish species listed impervious surfaces,causing winter or a portion of its range. [under the federal Endangered Species rains to rush into the rivers rather Act]. than soak into the ground, move Wasbington: Steelbead Trout Water in this region will become slowly toward the rivers,and reappear California: Golden Trout much more scarce in the future,as as summer flows. In addition,wide- Nevada: I.abontan Cutthroat Trout demands further outstrip supplies. spread reductions of more than 10 Arizona: Apache Trout Demands across the board will increase percent in summer flows will occur if as the population grows—it is expected predicted climate changes materialize, New Mexico: Rio Grande Cutthroat to double by mid-century or so—and raising temperatures and shrinking Trout the economy expands even more. Some snowpacks, thereby reducing summer Idabo, Montana, Wyoming: demands will grow faster than others, runoff. Cutthroat Trout particularly as higher incomes stimulate The economic and social problems Colorado: Greenback Cutthroat Trout demands for high-quality water in streams arising from water scarcity are large Oregon: Cbinook Salmon and for drinking.Lest this key point pass and will get worse, interfering with jobs unnoticed,we'll repeat it for emphasis. and incomes,draining money from As U.S.and Pacific Northwest house- pocketbooks,and diminishing the holds become wealthier,they demand— environmental and economic legacy and are willing to pay for—greater we pass to our children. environmental protection,cleaner What can we do about it?Even streams,and healthier fish. if we wanted to,we couldn't do much to slow the inevitable growth in our region.Climate change involves natural Unused Water Available in August processes and global issues. Pollution in 8 Out of 10 Years of our water sources has at least received attention from policymakers though far too frequently,we seem "y ;,max ^.�. to make progress on one type of pol- _ = lution only to discover we're losing ground somewhere else.For example, our apparent progress in coping with ,'- the effluent from industrial and ri.w�e municipal pipes has been upstaged by the cumulative contamination from the ubiquitous medications and personal-care products that have turned our rivers and streams into s chemical cocktails. But with water,scarcity-related aftw Lake f ` vs•'' problems don't arise simply from pop- ulation growth bumping against a fixed _ and threatened supply of water.Beyond the apparent sources of our water scarcity lurk the less obvious,more a ' z:fr .„ insidious,and ultimately more burden- some sources of scarcity that stem ftom No Data or Lake — Eeoregion Boundary our system of allocating water.We've (NO Water Unavailable or — Stream or River trade a bad situation far worse than it Available for Limited Uses need be.To assure the most effective ®1-100 cubic feet per second(ds) response to the scarcity-related i♦ 101-1000 ds In most years, Oregon's problems we know are coming from 1001 +ds eum®nt water supply is population growth and climate change, fully.or overualloeated we must change the way we allocate From Oregon State of the Environment Report 2000 during the driest months. water.And,with sufficient will,we can. 48 OREGON QUARTERLY SPRING 2003 Water Ri9kts money without government subsidies) to energetic ones(e.g. leaving water in allot Wrol'S. streams for healthy fish runs),the water- When water deals were first struck in rights system insulates those at the front Oregon,Washington,and the rest of the of the queue from all economic pressures. West in the late nineteenth and early Data for the twentieth centuries, the only ones at Willamette Basin the table were those who wanted to illustrate how the {„. grab and hold what they could. Had system works.Some an economist been at the table,she water rights protect probably would have been shot for in-stream flows for introducing the inconveniently com- fish and wildlife, plicating notion of efficiency.Those but most claim self-serving deals,of course,still apply. water for irrigation, .' Thus, instead of managing our water municipal utilities, for efficiency—which to economists and other out-of- ;. means generating the greatest economic stream uses,or for value—we're stuck with inefficiency, in-stream commer- the bane of economists and society alike. tial uses,such as ' X2000 So we have a system in which innova- driving hydropower tion, imagination,and the demands of generators.Of all the an evolving economy are overwhelmed basin's water allocated to water rights by special interests and bureaucracies by 1998,40 percent was for rights estab- lurching and muddling to protect water lished before 1960—predominantly users and uses that might have made agriculture and hydropower.Only 4 sense in the nineteenth century when percent was for uses established in the these vestigial deals were struck. 1990s.Water rights aimed at keeping As with other states in the West, water in streams constitute about Oregon manages water according to a legal doctrine,called prior appropria- Water Quality and Forested Lands (1997) tion,developed 150 years ago in AstDM Low Flow California's gold fields.With few excep- tions,all water is owned by the state, which issues rights to use the water to ;� .� • ' �'” households,farms,firms,water utilities, " ' (" 'N` H � and local governments.A water right t specifies the location and type of the allowed use,the amount to be used, and the"priority date"when the right Newport } was established. The water rights for a given basin form a queue of claims on whatever „, t water exists at a given time: those with earlier priority dates elbow ahead of those with later ones,and the system allocates water along the queue,begin- suve�we c 1 ning at the front.The earliest water \ i right must be fully satisfied before the one behind it can exercise its claim,and so on until the available supply of water j is exhausted. If there is not enough water to satisfy all water rights, those at the end of the queue go without,even Water quality Index if the values associated with their uses a Very Poor Forest Good or excellent water und exceed,even greatly exceed,the values a poor Non-Forest quality is usually/ores In higher altitude forests. of the water rights closer to the front • Fair — Stream or River Poor or very poor quality is of the line.Thus,instead of rewarding a Good or Excellent more likely to be found In innovation and imagination by continu- "non-forested lands where ally reallocating water from economically Intensive land uses and land tired uses(e.g.irrigating crops that lose From Oregon Stare of the Emdronment Report 2000 conversion have occurred." SPRING 2003 OREGON QUARTERLY 29 >'• 40 percent of the total water rights issued The prior-appropriation queue is a for the basin,but they lie largely at the dream for those at the front of the line but z..__ Clackamas River end of the queue:two-thirds of the water a nightmare for both the economy and rights for out-of-stream uses were already the ecosystem.The ecological damage ~u' , in place before the first in-stream right is pervasive.More than half the fish in was issued in 1963.About 40 percent the lower Willamette River are afflicted of the water withdrawn from streams or by skeletal deformities. A recent study Willamette 5 North wells is consumed by crops,evaporates, of eight species of native Western trout, River ;t u�_ Santiam or is lost to seepage.The remainder which serve as indicators of overall � is delivered to streams after it is used, ecological genet- often g'ical health,found strong or g often containing biological,chemical, ically intact populations are limited, for thermal pollutants that mix with on average,to less than 5 percent of -Y those carried by stormwater runoff their historic range,and for three of the a from urban streets,farm fields, and eight,to less than 1 percent.Oregon, McKenzie other lands. along with every other Western state, - River For most areas,we've given away lists a species of trout or salmon as its more than nature can supply.Water "state fish,"and every one of these is rights already issued exceed the amount threatened with extinction in all or a of stream flow during the driest part portion of its range. In a typical Western �•? .,, Clackamas River of the summer for all parts of the basin, river basin,about one-quarter of all fish except sections of the high Cascades species are in serious decline or facing a and the main stems of the McKenzie substantial risk of extinction. and Willamette Rivers,where flows are Economically,the costs and risks � augmented b releases from large dams. are equally severe and widespread.read. Willamette North If present trends continue until 2050, Whenever any resource—water, la nd,River i Santiam River municipal-industrial diversions would labor,and so on—is employed in a low- !� �'ty increase by 20 percent,relative to 1990, value use while a higher-value one goes and agricultural diversions of surface unsatisfied,we forgo the incremental water during d summer months would increases in our prosperity and standard g ry, P P tY double,as farmers irrigate more acres of living.The queue of water rights,with with water stored behind the basin's those at the front locked in place more s McKenzie federal dams and more consistently take than a century ago,cannot serve today's River _ their full allotment of water under each economy well,and it will fail even more water right. In the Tualatin, Molalla, miserably in the future. r` and other sub-basins,the total supply Consider how the system has of surface water would be diverted spawned the water crisis in the Klamath 4 ` - Clackamas River under out-of-stream water rights in Basin.In 2001,concerns about threat- drier-than-normal years,even if climate ened and endangered fish caused federal change does not bring hotter,drier agencies to deny the use of federal facili- ` summers more frequently. ties to provide irrigation water to farmers ,,' Other basins are even more extreme along the Oregon-California border. Wivamette i. North in their appropriation of water resources Then, in 2002, the headgates were River ,' Santiam River to out-of-stream uses,especially irrigation. opened,but the resulting low stream Nearly 80 percent of all water withdrawn flows were linked with the death of more from Oregon's streams and aquifers is used than 30,000 salmon near the river's for irrigation.Less than 20 percent of mouth.Throughout the period, the the water rights established to protect system readily allowed farmers outside in-stream flows will be satisfied under the federal project to irrigate low-value McKenzie current and yexpected usage patterns. crops on poor soils.A study of the 2001�v River events found that the value of irrigation Water Flow water varied from field to field by a factor None projections of August streamf/ows of twelve,reflecting differences in soil productivity,and that the overall cost to � 1%-10% for the Willamette Basin In 2050 the agricultural sector could have been. ® 10%-50% (relative to 1990)under dry year conditions, based on three different development scenarios: reduced by 80 percent by introducing U 50%-90% present development trends and policies continue market-like mechanisms to shift irrigation 90%-110% (top);greater reliance on market-oriented water from low-value to high-value fields. ® 110%-150% approaches to land and water use(middle); This fording raises the possibility that the 150%-200% pdo!rty given to ecological services(bottom). subsequent fish kill—indeed,the entire From WMameae River Badn Pbnr*VAtlas crisis—could have been avoided if the 30 OREGON QUARTU LY SPRING 2003 water-allocation system had been economic and environmental conditions amended to incorporate widespread use change,and for water to be extensively of markets and market-like mechanisms traded in open markets.More feasible so that,as the economy evolved,water are market-like mechanisms,such as rights could have shifted from low-to short-term cash transactions that high-value uses. induce someone with a water Another example emerges in the adja- right for an out-of-stream use, "Computer models predict cent Upper Deschutes River Basin.Here, such as irrigation,to leave that the Northwest will urban water users in the Bend area,who water in the stream for fish use about 20,000 acre-feet of water per and wildlife.Other mecha- become gradually warmer year,are facing possible water shortages nisms that have been tested and wetter, with most of that could limit future growth. At the include water banks and the precipitation Increase same time,the area's irrigation districts, easements that provide a in the winter. The average of seven with some of the oldest water rights in landowner compensation in models estimates that within the next the state,divert almost 850,000 acre-feet return for accepting limits fifty years temperature will increase —and more than 500,000 acre-feet of this on the use of land and water, is lost to seepage and evaporation.To date, More broadly,we have to by more than five degrees Fahrenbeit efforts to shift water from low- to high- consider the application of in the winter, precipitation will increase value uses have been futile,and recent financial tools that allocate 5 percent, average snow depth will decrease elections seem to have reinforced the and spread the risks associated by 33 percent, and annual stream flow position of proponents of the status quo. with water scarcity,tools such will decrease by 11 percent." Some innovations have managed to as insurance that would cover _Oregon State of the Environment Report 2000 sneak through this regulatory labyrinth a farmer's losses whenever and bring the water-management system ecological conditions warrant leaving into the twenty-first century.The 2001 water in streams for fish and wildlife. electricity crisis prompted some utilities We're no more likely to find free to pay farmers to forgo irrigating fields so water than we are to get the free lunch the water could remain in rivers and pass that Harvard economist Alvin Hansen through hydropower generators.Oregon warned us about.What we do or don't Water Trust and similar organizations do with water imposes a cost. Our occasionally pay landowners to leave choices determine,among other things, water in streams.Municipal water utilities who pays and when.We can pay now face a new requirement to develop plans or make our children pay.Our forbears to conserve water.The Oregon Water clung to the rigid water-management Resources Department is trying to bring system they created about significant water conservation in and passed the bill the Deschutes Basin. But let's not fool to us.Through the F ourselves.These are Band-Aids.Unless shrewd greed of and until water uses extensively reflect a few,the inertia ' the values of the current economy and of an entrenched eir�ices: routinely respond to future climatic, bureaucracy,and a�:{• ecological,and economic shifts,we will the ignorance of k ° remain in a constant state of crisis. far too many of the rest of us,we're still Keverf(K9 tke f low clinging to the same damn system. Professors Bill Jaeger,of Oregon State C'mon.We can University, and Raymond Mikesell, change it.Unlessof the the UO,recently looked across the we find the political Northwest and concluded that, if we had will to do so,expect appropriate institutional mechanisms in the distant trickle place to facilitate exchanges between you hear about the willing buyers and sellers of water rights, coming water crisis to turn into a roar- we could augment stream flows to provide ing flood coming right at you. for fish and other ecological benefits at a cost of only$1–$10 per person per year. Ernie Niemi'70 is vice president and senior What would these mechanisms look like? economist at ECONorthwest,an economics The ideal would be for Oregonians consuking firm. Ed Whitelaw is a professor to rework the whole water-rights system, of economics at the UO and president of building in provisions for adaptation as ECONorthwest. SPRING 2003 OREGON QUARTERLY 31 ►�NO 30000 SW Town Center Loop E Wilsonville,Oregon 97070 City or (503)682-1011 WILSONVILLE (503)682-1015 Fax in OREGON (503)682=0843 TDD MEMORANDUM DATE: MARCH 5, 2003 TO: REGIONAL WATER PROVIDERS CONSORTIUM BOARD FROM: JEFF BAUMAN, PUBLIC WORKS DIRECTOR RE: WILLAMETTE RIVER WATER TREATMENT PLANT Many people have asked about the quality of the water produced at Wilsonville's new Willamette River water treatment plant. Attached is a one-page description of the water treatment process, followed by a four-page chart comparing the treated water from this facility with federal drinking water standards. Treated water quality data come from independent, certified contract laboratory analyses and have been compiled since the facility came on line in April, 2002. I could use words like`.`superb" or"spectacular." But I'll simply let the database speak for itself. AM � � "Serving The Community With Pride" The Water Treatment Process During the 1990's pilot tests were conducted here in Wilsonville using conventional treatment methods. These tests confirmed that under"worst case"conditions, treated water from the Willamette could consistently meet drinking water standards. As a further margin of safety,enhanced methods of treatment were tested and incorporated into the design of the multi-barrier system used at Wilsonville's water treatment plant. The resulting water supplied from this facility is even purer than required by current drinking water standards (as well as proposed future drinking water standards). Here's a brief description of the"step-by-step"process used in Wilsonville's multi-barrier water treatment facility. 1. Intake Screens: to protect fish and to prevent debris from entering the treatment facility. The screens are located off the bottom of the river(to avoid bringing sediments into the treatment plant) and below the surface(to avoid bringing oils or other floating material into the treatment plant). 2. Enhanced Sedimentation: to remove materials that are small enough to pass through the intake screens. Conventional chemicals called coagulants cause the suspended materials to adhere to one another forming larger,heavier"floc"which settles out of the water. By adding very fine sand to the mixture,the weight of the"floc"is increased thereby causing the settling process to occur more quickly and more completely than conventional water treatment. The sand is then cleaned, recycled and reused. 3. Ozonation: serves multiple functions including disinfection;breakdown of organic chemicals; breakdown of taste/odor causing compounds; and enhanced removal of organic material by the filters. After bubbling through the water,the ozone quickly decomposes into harmless oxygen gas. 4. Granular Activated Carbon: charcoal filters(6 feet thick) further remove turbidity and pathogens;remove organic chemicals; and remove tastelodor compounds to assure consistently high quality of the treated water. 5. Sand Filter: a"polishing"step to improve particle removal. 6. Secondary Disinfection: addition of chlorine to prevent bacterial contamination as the treated water flows through the distribution system to customers. The treatment facility is"over-designed"in the sense that drinking water standards can be met without such extensive treatment. Nonetheless,the plant is operated using all these steps at all times--whether or not they are all needed to meet drinking water standards. In addition,the treatment plant has redundant(i.e.,back-up) systems for all these processes. Federal Wilsonville Drinking Water Drinking Standards Water Microbial Contaminants: Total Coliform less than 5%of ND Bacteria monthly samples Fecal Coliform less than 20 colonies ND Bacteria per 100 ml Giardia 99.9%inactivation ND Cryptosporidium based on treatment ND technique Turbidity 0.3 0.04 to 0.1 turbidity units turbidity units Nutrients (expressed in parts per million): Nitrate+Nitrite 10 0.2 to 0.3 Inorganic Chemicals (expressed in parts per billion): Antimony 6 ND to 2 Arsenic 50 ND Baum 2000 4 to 8 Beryllium 4 ND Cadmium 5 ND Chromium 100 ND Cyanide 200 ND Fluoride 4000 ND Mercury 2 ND Selenium 50 ND Thallium 2 ND ------------------------------------------------------------------------------------------------------------------- Copper ♦ action level = 1300 70 Lead ♦ action level = 15 1 ♦ Per drinking water reporting requirements,copper and lead results are measured at the customers'tap and are expressed in terms of 9&percentile values. •In reading this table,it is helpful to note that: ND=not detected(i.e.,below the detection limit of EPA-approved analytical methods). One part per million is equivalent to one minute over the span of nearly two years. One part per billion is equivalent to one minute over the span of more than 19 centuries. Federal Wilsonville ' Drinking Water Drinking Standards Water Disinfection Byproducts (expressed in parts per billion): Bromate 10 ND Total Trihalomethanes 80 5 to 19 Total Haloacetic Acids 60 ND to 6 Radionuclides (expressed in picocuries per liter) Gross alpha particles 15 1.2 Gross beta particles 50 5.0 Radium 226/228 5 0.9 Uranium 30 0.01 Volatile Organic Chemicals (expressed in parts per billion): IJ-Dichloroethylene 7 ND 1,1,l-Trichloroethane 200 ND 1,1,2-Trichloroethane 5 ND 1,2-Dichloroethane 5 ND 1,2-Dichloropropane 5 ND 1,2,4-Trichlorobenzene 70 ND Benzene 5 ND Carbon Tetrachloride 5 ND cis-1,2-Dichloroethylene 70 ND Dichloromethane 5 ND Ethylbenzene 700 ND Monochlorobenzene 100 ND o-Dichlorobenzene 600 ND p-Dichlorobenzene 75 ND Styrene 100 ND Tetrachloroethylene 5 ND Toluene 1000 ND In reading this table,it is helpful to note that: ND=not detected(i.e.,below the detection limit of EPA-approved analytical methods). One part per,million is equivalent to one minute over the span of nearly two years. One part per billion is equivalent to one minute over the span of more than 19 centuries. • Federal Wilsonville Drinking Water Drinking Standards Water Volatile Organic Chemicals continued (expressed in parts per billion): trans-1,2-Dichloroethylene 100 ND Trichloroethylene 5 ND Vinyl Chloride 2 ND Xylenes(total) 10,000 ND Synthetic Organic Chemicals (expressed in parts per billion): 2,4-D 70 ND 2,4,5-TP (Sylvex) 50 ND Bis(2-ethylhexyl)adipate 400 ND Alachlor 2 ND Atrazine 3 ND Benzo(a)pyrene 0.2 ND Carbofuran 40 ND Chlordane 2 ND Dalapon 200 ND Dibromochloropropane 0.2 ND Dinoseb 7 ND Dioxin(2,3,7,8-TCDD) 0.00003 ND Diquat 20 ND Endothall .100 ND Endrin 2 ND Ethylene Dibromide 0.05 ND Gylphosate 700 ND Heptachlor 0.4 ND Heptachlor expoxide 0.2 ND Hexachlorobenzene 1 ND Hexachlorocyclopentadiene 50 ND In reading this table,it is helpful to note that: ND=not detected(i.e.,below the detection limit of EPA-approved analytical methods). One part per million is equivalent to one minute over the span of nearly two years. One part per billion is equivalent to one minute over the span of more than 19 centuries. Federal Wilsonville ' Drinking Water Drinking Standards ' Water Synthetic Organic Chemicals continued(expressed in parts per billion): Lindane 0.2 ND Methoxychlor 40 ND Pentachlorophenol 1 ND Bis(2-ethylhexyl)phthalate 6 ND Picloram 500 ND PCBs 0.5 ND Simazine 4 ND Toxaphene 3 ND Vydate(Oxamyl) 200 ND Unregulated Contaminant Monitoring Rule Chemicals (measured in parts per billion): 2,4-Dinitrotoluene ® ND 2,6-Dinitrotoluene ® ND Acetochlor ® ND DCPA ® ND 4,4'-DDE ® ND EPTC ® ND Molinate ® ND MTBE ® ND Nitrobenzene ® ND Perchlorate ® ND Terbacil ® ND ® EPA requires monitoring of these chemicals,but there are no drinking water standards for these chemicals. In reading this table,it is helpful to note that: ND=not detected(i.e.,below the detection limit of EPA-approved analytical methods). One part per million is equivalent to one minute over the span of nearly two years. One part per billion is equivalent to one minute over the span of more than 19 centuries. Source:City of Wilsonville Public Works Department Date: December 31,2002 Jeff Bauman,Public Works Director(503) 570-1542 For more information on the City of Wilsonville's water treatment process,visit the City's website at:b=://www.ci.wilsonville.or.us/departinentS/pw/water/wrwti).htm Y Tualatin Basin Water Supply Feasibility Study Project Progress Report-March 19, 2003 These are the project elements completed since the last report of Water Managers Group meeting of February 15, 2003. 1. Feasibility Study Project Review • The Study work has been focused on stakeholder review process of the key sources options. MWH is completing the technical memorandums on the wetlands,wildlife and fish habitats,hydrology and recreation. In February, Greg White of CH2MHil1 conducted the second of the series of four fish spawning surveys. He surveyed the gravel beds below the outlet of Scoggins Dam/Hagg Lake. Over the next few months,there will be continued monitoring of this area, depending on release flows. • The water level benchmarks on Hagg Lake neighboring properties has been completed. There were eight neighbors requesting the benchmarks. It should be noted that the maps developed from the aerialphotos were pretty accurate. • The contract has been nearly completed for the Climate Change Study. Dr. Richard PalMer of University of Washington was sent all the available watershed information and the research task has been started. • The Congressional Funding Request booklet and smaller brochure is now available in electronic format. The request is seeking federal fiords of$2.9 million for the Study and Final Environmental Impact Statement in the FY 03-04 budget. Senate Bill 625 has been co-sponsored by Senators Smith and Wyden for BOR authorization of the Study. A March 25 hearing is scheduled at the Senate Water and Energy Subcommittee. The Senators suggested that we provide testimony to the Subcommittee. Our lobbyist in Washington DC, Chair Brian and I drafted and submitted the testimony document. A similar bill will soon be sponsored by Congressmen Wu's office also. • The Corps of Engineers submitted a Scope of Work and budget for the Flood Damage Reduction Study. Pending federal funding issues,this work will likely not start until next fiscal year. This work element has an influence on the final project,but can be included later. • I met with Joe Thompson to coordinate on the Joint Water Commission's Raw Water Pipeline Project from Hagg Lake to the Joint Water Commission Treatment Plant. We have discussed opportunities to share and partner on technical elements of both projects. • In the Public Review process area,Jeanna will review the results of the various meetings and events attended. Jeanna and I have attended the Forest Grove Progress Report 1 3/19/2003 Tualatin Basin Water Supply Feasibility Study Rotary Club and Tualatin River Watershed council. Jeanna has been scheduling presentations with the Citizen Participation Organizations(CPO) and Neighborhood groups. • In the next month,the water managers will need to discuss options for agreements and contracting the various elements on next phase of the Study. Submitted by Tom VanderPlaat, WSFS Project Manager Progress Report 2 3/19/2003 Water Supply Feasibility Report Estimate of Water Supply Feasibility Report Cost Share Project Manager-Tom VanderPlaat Date 2/1912003 Water I%Share Costs FY.01.02 FY02-03 FY03-04 FY04-05 FY-05.06 FY0647 I FY07-08 FY-08-09 FY09-10 FY10.11 Allocations I Original Totals Ac.-ft 0.1% 0:8% 0.8% 1.3% 2.0% 3.0% 10.0% 29.9% 26.0% 26.0% 100.0000% Water Quality Clean Water Services 15,000 29.64% U4,466.4031 $44.466 $355.731 $364.625 $592.915. $889,328 $1,333992 $4,446,640 $13,316,176 $11.561.265 $11.561.265 $32.905.138 M81 CRY of Ti ard 9500 1877% $28J62,055 $28,162 $225;296 $230,929 $375613 241 $8".862 $2.816,206 $8,433,578 $7,322,134 $7,322,134 28,162,055 TVWQ 9500 1877% $28,182,056 $28,162 $225,296 $230,929 $375613 M.2411 "".862 $2816, O6 8 433 57 $7,322,134 $7,322,134 $28162,055 City of Hillsboro 4.6001 9.09% $13,6N.364 $13,638 $109.091 $111,818 181 27 72 72 091 Si.363.6361 U.083.627 $3.545.455 $3,545,455 13,636,364 Cfty of Beaverton 36001 7.11%, $10S71,937 $10,672 $85,375 $87.5 0 14 300 $213.4391 $320,168 $1.067.1941 $3.195,8822 774 04 S2,774104 $10,671,937 C' of Sherwood 1.8001 3.56% $5,335,968 S5.336 U2.6N $43.755 7 150 $106,719 60079 $533,597 $1.597,941 $J.387.352 $1,387,352 $5,335,968 City of Tualatin 1.7001 3.38% $5,039,526 $5,040 $40,316 $41,324 7 197 4100,791 $'151,186 $503953 $1,509,167 $1.310,277 $1.310.277 $5.039.526 City of Forest Grove 9001 1.78% $1687.984 $2.N8 $21.344 $21.877 $36,676 $53,36D $80,040 6 798 S798,97i $693,676 $693,676 $2,667,984 City of comellusP36600 3.95% $5,928,854 929 43 Bt 9055 $118,577 $177.8 592 885 1775 490 $1,541502 $1,541,502 $5,928,854 City of North Plains 1.98% $2,964,427 715 308 $39,628 $69,289 $88933 5296 443 $887.7 $770,751 $770,751 $2,964,427 C' of Banks 1.98%' $2,964,427 =,716 4 $39,528 89 933 $296,443 $887.745 $770,751 $770,751 $2,964,427 Total Mal 70.36% $105 533 687 $105'534 $844 289 $865 375 $1 407185 $2 110672 $3 166 008 $10553360 $31 803 724 $27 438 735 $27 438 735 $105533597 Sub.Total 100.00% $160 000 000 $150 000 $1-200 000 $1230000 $2 000 100 S3000000 $4 500 000 $15 000 000 544 919 900 $39000 000 $39 000 000 $150 000 exisitin Mat ax stl rH ation 27,022 Fish and Idllfe Recreation' 6,900 Hydropower Flood Management Total active sto a 104.240 Total Project Cost $150,900,00! 1!viRs�� •� ' -,J / 03 Beaverton plan may Ti*gard The water would serve not only fluoride, however, can have ad- Hillsboro has explored fluolndat- whether the city had to provide a Cines may receive treated Tigard,but also King City,Durham verse effects, including fluorosis, Ing its water,but city officials de- consistent level pf fluoride to all and parts of unincorporated Wash- which leaves teeth stained or brit- cided earlier this year to put the customers all the time. drinking water because q ington County, tle,according to a report prepared discussion on hold. Mayor Iirn Griffith asked wheth- their neighbor's decision In November, Beaverton rest- for Tigard by engineering consul- Even with limited discission er 1,a cit"' uuld have;an advisory dents in an advise�y vote approved tang, Murray, Smith & Associates Tuesday,Tigard staff and council Ston the issue,but city staff said By EMILY TSAO fluoridating their water, of Portland. -ors have begun wading through a Tigard could only hold an advisory THE OREGONIAN "This is a new wrinkle we did Cities across the United States series of hard questions that may vote withinf Its city limits and TIGARD— Beaverton's plan to not anticipate a year ago,"Koeller- have been adding fluoride to water arise if Beaverton offers fluoridated would not be able to poll IGng City fluoridate its drinking water is cre- mei, said. since 1945,the report said. water. or Durham customers. , - . ating ripples in neighboring cities. Beaverton expects to finish ex- According to figures from the Water from Beaverton .he a es up engineering consultants're- The Tigard City Council on ploring a final technical issue in Oregon Department of Human about 20 percent to 40 percent of ' gin Port presented the City. CouncilTuesday heard* a presentation about a month.If all goes well,the Services, about 629,000 Oregon the daily supply for Tigard and sur- about how fluoridation may affect city may begin fluoridating its residents receive fluoridated water. rounding areas,Koellenneier said. - with three suggestions: accept the Tigard and the surrounding area. water as early as January, Koeller- Districts providing fluoridated Tigard also receives water from fluoridated water, cease using the Tigard is negotiating to receive meier said, which means Tigard water include Forest Grove,Tuala- other sources,including Portland's water,or remove the fluoride from up to 4 million gallons of drinking customers could receive fluoride in tin Valley Water District, Salem Bull Run system. the water.The third option,how- water owwater a day from the Joint Water their water. and Keizer. Because Tigard uses.a mix of ever,was not a realistic option be- Commission, which delivers the The debate over fluoridation is Tualatin Valley Water District water, fluoride levels could vary cause its cost and effectiveness, water through Beaverton, said nothing new.Fluoride in water has provides fluoridated water to all its depending on where a customer the repoort concluded. Dennis Koellermeier, Tigard's as- been proved to help prevent tooth customers except those in the- lives and the day of use. The City Council is expected to sistant,public works director. decay. High concentrations of Metzger area. Koellermeier raised the issue of revisit the issue in about a month Bull Run factions 3/z% 3 move on "XIII-IT� Without a regional water agency, Portland and suburban water customers ready for contract talks By ERIC MORTENSON THE OREGONIAN GRESHAM — Portland and the suburban water agencies that buy the city s Bull Run water are like a couple that just called it quits. They still want to be friends and maybe they can hook up lat- er. One day after Portland an- Portland Commissioner Dan nounced it's withdrawing the of- Saltzman,in charge of the Water fer to give up ownership of the Bureau, said the city couldn't Bull Run water supply system in proceed without an indepen- favor of a new regional agency, dent appraisal of the water sup- Portland's biggest wholesale ply system's assets,which would water customers said they're have been shared with its part- ready to move on. ners in a new agency. They said they're interested in Portland wanted to be reim- gaining ownership by investing bursed for its assets and set a in future expansion of the Bull, preliminary price of $320 mil- Run reservoirs. They also are lion. The cities and water dis- interested in a proposal to use tricts rejected that as far too high their bonding authority to help but saw no point in paying the Portland build a $200 million estimated$500,000 to$800,000 it water filtration plant. would cost for an appraisal. Those issues could be in Meanwhile,the cities and di�- cluded as 19 cities and water dis tricts have other issues they plan tricts begin renegotiating their' to raise when they meet Monday long-term contracts with Port- with Saltzman and Water Bu- land. Portland has operated the reau representatives. Bull Run system since 1895,pro- Chief among them is the viding drinking water to more water rate increases that will than 800,000 people. take effect July 1. Representa- Tigard public works Director fives at the Gresham meeting Ed Wegner said regionalization said the increases range from 8 of the Bull Run system could percent to 24 percent. Wegner start with such "baby steps" said he intends to make it clear rather than the bold plan that to Portland that the rate increase was proposed two years ago. was "the worst thing they•: Compensating Portland for its done." existing assets is now off the In addition, several of Port- table,Wegner said. land's biggest customers aI Agreement on those types of looking hard for cheaper sources issues could begin the process of of water.Rockwood just finished shifting and sharing ownership drilling a well that can provide and responsibility, said Greg Di- up to one-sixth of what its cus- Loretto, general manager of the tomers use on an average day. Tualatin Valley Water District The cities and districts want to begin contract negotiations as soon as possible. Most of the contracts with 19 wholesale cus- tomers expire in 2007. Tigard, Tualatin Valley and Rockwood representatives were among a dozen water and public works directors who met Tues- day at Gresham City Hall to plan their reaction to Portland's deci- sion. of r,9�r Council Action Letter L a Staff Assignments Meeting of 03/25/03 Number 0017 Agenda Iteni Number Follow • e • Business Meeting • STUDY SESSION o Tualatin Valley Television Introduction Tualatin Valley Television(TVTV)Executive Director Marci Hosier presented information (additional written materials submitted to the Council)about the services and programming provided by TVTV. o Water- Public Works Director Wegner advised the Council that the City of Portland has taken"off the table" discussions about formation of a regional drinking water supply agency for the immediate future. Portland will commence negotiations for new contracts with its wholesale drinking water customers. The Joint Water Commission remains a viable option for the Tigard water service area. Assistant Public Works Director Koellermeier explained that the City currently has an agreement with the City of Beaverton to receive 4 million gallons a day of drinking water from the Joint Water Commission. The City of Beaverton will begin fluoridating its drinking water supply by January 2004. Issues for Tigard's review include: • fluoridated water may be coming to Tigard from Beaverton • Tigard's willingness to accept fluoridated water Staff suggested,and Council concurred,that the Intergovernmental Water Board would be the best entity to monitor this issue and develop a recommendation on options for the City Council to review. Staff will keep Council apprised as developments unfold. Council Meeting Follow-Up Meeting of March 25, 2003-Page 1 There was some discussion about an advisory vote to ask service-area voters if they would want additional fluoride added as the water from Beaverton will blend with the water from Portland, which is not fluoridated. Qwest/Verizon Franchise Fee Audit Finance Director Prosser noted this matter was also scheduled for discussion during the meeting (Agenda Item No. 7). He noted receipt of communication from Qwest advising they would not be able to participate in an audit until 2006. Qwest represents a small percentage of the telecommunication service for Tigard residents. The audit for Verizon is proceeding in a cooperative manner. Administrative Items • Senator Burdick and Representative Williams will attend the April 8 City Council meeting;they will not attend tonight's meeting or the April 22 meeting as previously scheduled. • City Manager Monahan described the proposal for an Assistant Chief position in the City of Tigard. Council supported the proposal. • Council members were given preliminary information about Police Community Meetings,which is also an agenda item for the business meeting(No.5). Council members each committed to attending a meeting as follows: April 24-Councilor Dirksen May 1-Mayor Griffith May 8-Councilor Wilson May 15-Councilor Moore TBA-Business Community meeting— Councilor Sherwood • City Manager reminded Council of the benefit concert to be performed by Michael Allen Harrison on April 4 at the 2 Proclamation Tigard High School. Mayor proclaimed April 21 to 27 as National Community Development Week 3. Visitors agenda No visitors. 4.Consent Agenda 4.1 West Nile Virus Response Plan Approved Intergovernmental Agreement with Washington County. Council Meeting Follow-Up Meeting of March 25,2003-Page 2 5. Discussion concerning Community Outreach Chief Dickinson advised he is establishing a Meetings• strategic plan for providing police services. To accomplish this,available data pertaining to police activity will be assembled and analyzed. The second component is to find out what the people in Tigard want. To hear from Tigard residents and business owners, the Chief is coordinating several Community Outreach Meetings. City representatives will be available beginning at 6:30 p.m.;the meetings will start at 7 p.m.and conclude by 8 p.m.on the following dates and locations: April 24-Templeton School May 1-CF Tigard School May 8-Mary Woodward School May 15-Metzger School Tigard City Council representatives from city departments and staff from Tualatin Valley Fire & Rescue will be on hand to answer questions. The purpose of the meeting is to get citizen input on service the City provides. The goal is to improve the services and better meet the needs of Tigard's citizens. 6. Meeting with Senator Burdick and Cancelled. Legislators will meet with Council on Representative Williams. April 8. 7. Qwest/Verizon Franchise Fee Audit Update Finance Director Prosser advised that more than 69 Oregon cities have joined together to conduct an audit of franchise fees paid by Qwest and Verizon for use of the public's rights of way to deliver their services. Qwest has indicated they would not be available for such an audit until 2006. The Verizon audit is proceeding in a cooperative manner. 8.Consider a property tax exemption for three non- Finance Director Prosser reviewed this agenda item profit,low-income housing projects. and resolution,which would grant a property tax exemption for 2003 for three low-income housing projects owned and operated by the Community Partners for Affordable Housing. Council approved Resolution No. 03-10. 9. Consider accepting and endorsing the Long-Range Planning Manager Barbara Shields commuter rail station design recommendations introduced this agenda item. Project Manager Beth from the Downtown Task Force. St.Amand,gave a brief overview of the work done by the Task Force. Task Force Chairman Mike Marr reviewed the recommended station design elements for the commuter rail station to be located downtown. (Highlights of the presentation are on Council Meeting Follow-Up Meeting of March 25, 2003-Page 3 file in the City Recorder's office) Also present was Tri Met representative Joe Walsh.. Mr.Walsh agreed that much of the work done by the Task` Force might be used for the Washington Square Station as well as other stations along the rail line. Council approved Resolution No.03-11. 10. Council Liaison Reports Councilor Wilson advised that the Westside Economic Alliance Insider newsletter reported that Metro has requested the state legislature consider creating a task force to look at the concept of revenue sharing between jurisdictions that share an urban growth boundary. (SB 626) Council discussed the proposed bill and unanimously expressed the opinion that the bill is a bad idea and,if passed,it would result in loss of local control. It is Tigard's recommendation that the bill be dropped from consideration and the idea of forming a revenue sharing task force be discontinued. Mayor Griffith will sign a letter to the bill's sponsor,Senator Ryan Deckert, expressing Tigard's concerns. I:WDM%CATHY\MTGDISTIACTION-LETTER1030225.DOC Council Meeting Follow-Up Meeting of March 25, 2003 -Page 4 �7/a3 Fluondafion may ba commg to Tigar Portland is bowing out of agreement to purchase water from the a complete analysis," Wegner said. the value of the city's drinking-water forming a drinking-water Joint Water Agency could include flu- "But we had decided not to spend any supply assets that would be shared oride if Beaverton starts adding the more money without a commitment with the partners under this proposal." agency, and water purchases chemical to its water supply. from Portland." Determining the value of the sys- from Beaverton may include Public Works Director Ed Wegner In a letter to the proposed agency's tem could cost$300,000 to$800,000, the controversial chemical updated the council Tuesday about the policy steering committee and techni- which would be shared among the two potential roadblocks in the city's cal advisory committee, Katz and potential partners. By BARBARA SHERMANO search for a permanent water supply, Commissioner Dan Saltzman stated, Katz and Saltzman, who is in which started about 10 years ago. "Portland's regional partners have charge of Portland's Water Bureau, Of the Times As for buying into the Bull Run clearly communicated their'urgent estimated that the assessment would system, "It's pretty much a dead desire to move forward in the discus- take a minimum of two to three TIGARD—Talk about being a issue," Wegner said after attending a 'cions to form a regional drinking months, which would not meet the' creek without a paddle! The Tigard meeting Friday with officials from water=supply agency. March 31 deadline the group gave City Council learned this week that Portland, Tualatin, Gresham and the - "While the city of Portland is also Portland last month to make a decision Portland is backing out of a proposal Tualatin Valley Water District. interested in moving forward, it can- on whether to create a regional drink- to allow other Jurisdictions to buy into Portland Mayor Vera Katz "sun- knot do so without first conducting the the Bull Run system. And Tigard's ported regionalization but not without analysis necessary to accurately detail ■See FLUORIDE,A2 Bull Mountain Giving it all they've got annexation still UD in the air, ; say officials - _f ' r After the state makes a decision on expanding the - UGB., Tigard will have to Cn ` on Oo o x vai O �w no -p C�D °..' OO � 'L�7,o NwcC17"Q. ,.-, �• �.'oC CD aro n d c � u o5So oc , K w G O CD D o. o N �- f- t. I a�w-.'?OcwaGC<cDo W< <o.t3+ OO.c:Do:', ^ow;---On0wl. CO<Oa' coDoP: ^n � 0O cDt Ap� ccDD `D tiO°r°. 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O o - Q � Q 0 - W Q ' O � Q 0 7 � 0-7C CD �wO � (D A a D. ao:. co O COw = G O °.o ,1•O� O Oo :3 �ao =, CO > h`" o a- -O a O O ° OQ 0 0 wOc ' w oc , p 5 � - 0. „ C �z7 0. ^^ - • a tifi�sD.-. -aO.,y.l<•O<�OG CwCDL Ow.^q7.'_N...'o'�...:..�rny.. , ;�'•y,in.$ CO a CD ao s °r b . CO a . oc w" - � i L - ccD O 5"'< O 0 CSC CD ... cwa0� .`C�<TQ CD CO NCDA y _ fy y _ QR5 D a :3-Q. < CL O Q D Q° Zr w w =O • /l� rO a W O n et 9O TrO w co CO OO< ° w ° `< a DCO O o cw o h Q .-rc a WCD aco t, �o o V:b e soa ar_ ;. P: IO :+ N CQ= 0 7V\ on March 25, 2003 CITY OF TIGARD OREGON Dave Hasson City of Portland, Bureau of Water Works 1120 SW 5i'Avenue Portland, Oregon, 97204 Re: Proposed FY 3003-04 Wholesale Water Rates Dear Dave: Tigard City staff has reviewed the memorandum from Mort Anourshiravani, dated February 12, 2003. The memo indicates that wholesale rates overall will increase on average 18% (compared to the City increase of 8%), and Tigard's proposed rate increase is 24°x6. The memo states that these increases are due to a number of factors including cost, consumption, and methodological changes, but provides no documentation for how the new rates were developed. We find this unacceptable given the magnitude of the proposed rate increase for wholesale customers as a whole and for Tigard specifically. Perhaps you have every right under the current contract to raise rates without notifying the wholesale contractor, however it seems that in the spirit of cooperation on such issues as the proposed regionalization of the Bull Run and the need to begin collaboration of new wholesale contracts, the City of Portland would have notified the customers that you were changing or modifying.the existing rate.modeling. Over the last few years, the Portland Water Bureau has portrayed themselves as wanting to work closely with the suburbs to build a trusting partnership. This action certainly does not demonstrate this effort and the Portland Water Bureau wonders why wholesale contractors are looking at alternatives to purchasing Bull Run water.-This is a classic example of"Big Brother° Portland, setting rates to the suburbs without any.ponsultation. Hopefully in the future, more direct communication will take place, prior to methodology changes. We.therefore, are requesting the following: 1, ' Please provide the detailed backup that explains the increased costs being assigned to wholesale customers in general, and Service Area#3, specifically, as compared to prior years. Have new types of cost been assigned? What are the assumptions related to cost changes for each rate component? We are concerned and looking for an explanation of why your costs are growing when your production is decreasing. 2. Please provide us with documentation that.clearly shows which,capital maintenance . and capital improvement projects are being funded by revenues received from Tigard. :; 13]25 SW LuII;BIvd,Tigcirds,00 97223(303)639,4171 TDD(503)684-2772 3. Additional explanation is needed regarding your change in methodology regarding a seasonal peaking factor. What group of costs have you elected to allocate by this new seasonal basis? How was Tigard's peaking factor calculated? Are these new costs or costs that were allocated differently last year? If these costs were allocated last year, how were they allocated? Related to this issue, a memo from Mort Anourshiravani, dated June 7, 2002 states, aPeaking factors, based on summer performance will not be included in the rate calculation FY03-04"which seems inconsistent with Mort's memo of February 12, 2003 that states "Seasonal Use factor-As we studied the recent usage patterns it became clear that a more equitable cost allocation includes a peak season usage component." 4. Please provide comparison data explaining how Portland's retail rates compare to the wholesale customer's retail rates, as well as a historical trend that explains the relationships between your wholesale water sale revenues (by wholesaler) to your retail revenues. Your future projections on this relationship would also be useful. This information is needed at least three weeks prior to the City Council hearing, as our elected officials may testify about this "unreasonable increase". Has the City of Portland schedule this public hearing yet? Our preliminary calculations indicate a 6% retail rate increase will be necessary to simply cover your proposed FY 03-04 wholesale rate increase and you can expect testimony against this rate increase from Tigard. To that end, I want to make sure the issues are well understood, and the Bureau's reasoning is accurately explained. Sincerely, Ed Wegner Public Works Director CC: Mort Anourshiravani Bill Monahan, City Manager Portland City Council Tigard City Council March 28, 2003 Dan Saltzman, Commissioner City of Portland 1221 SW 4d'Avenue, Suite 340 Portland, Oregon 97204-1995 Dear Commissioner Saltzman: We would like to schedule a dedicated meeting with you to discuss a very important matter—the alarming increases to proposed wholesale water rates. The communities we serve rely on us to provide them with affordable,reliable, safe drinking water. Over the years,we have had the good fortune to rely on a preferred drinking water supply from the Bull Run watershed. The problem is the cost of wholesale water from Bull Run has been increasing at unreasonable rates. The consequence of this problem is that the cost of water has become unaffordable. Some wholesale providers are now actively looking for other source water options; some are considering whether or not to renew their existing wholesale water contracts with the City of Portland. There are several factors that have caused the significant increases. One of them, although it is allowed within'our current contracts, is the decision to reintroduce the seasonal peak factor. Several years ago,this factor was used in the wholesale water rate methodology, and then it was discontinued. Without prior notification,this factor was reintroduced to the proposed 2003-04 rate methodology. This factor alone amounts to an 8.6 percent increase. The Portland Water Bureau did decide to split the increase in half over two years,but we will end up paying the entire increase. Collectively,we serve a population of approximately 373,000, and last year our wholesale water purchases totaled approximately$14.4 million in revenue for the City of Portland. The City of Portland is no doubt counting on revenue from the sale of wholesale water. Our customers must be able to count on continued delivery of Bull Run water, at an affordable cost. We urge you and the Portland Water Bureau to reconsider the proposed 2003-04 and future wholesale water rates, and to discuss with us ways that the Bureau can keep these rate increases minimized. March 28, 2003 Page Two We have a successful history of working together with the Portland Water Bureau on drinking water-related issues, especially those that concern Bull Run. Let's continue this tradition and have a serious discussion about how we can work together in the future. A representative of our agencies will be contacting you to arrange a meeting. Respectfully, Charles Becker Jim Griffith Richard Burke Mayor Mayor President City of Gresham City of Tigard Board of Commissioners Tualatin Valley Water District Sandra Ramaker Ed Truax Tom B.Henshaw President Council President Chair Rockwood Water PUD City of Tualatin Board of Commissioners West Slope Water District Attachments: Signature page for each water agency's elected official. cc: Vera Katz, City of Portland Mayor Edward Campbell,City of Portland,Office of Commissioner Saltzman Jim Francesconi, City of Portland Commissioner Randy Leonard, City of Portland Commissioner Erik Sten,City of Portland Commissioner Mort Anoushiravani,Portland Water Bureau Administrator yl.shuts ff r o e onal Water, Other water".authority idea. s the suburbs to grow,while thesources are scarce Smaller�,�ter dtst�tcts LL suburbs have the extra ratepa�y- 1� ay hel pl iutti upgrades ers that can help pay for the im- N Frompg a e I ownership has sent local water ` pxovements needed to accommo districts off to find other sources to p d Buil Run system date that growth;" of water,a step already taken by iSounds like a good chance for a Earlier this week,though,the Wilsonville,which now takes its By DON HAMILTON cooperative agreement,right? city of Portland put a stop to talk drinking water from the The Tribune Well;,that's where things get about sharing ownership through Willamette River. complicated. a regional agency. faCillft may be Slm'eiI The future of the Portland Two years ago, Portland city Portland wanted a new apprais- area's water supply got a little Commissioner Erik Sten set in al of the system before setting a Even though the big regional more complicated this week motion a committee to study the price for the dams,conduits,wells, water district may be off the when the city spurned the idea feasibility of having area water pump stations and other hardware table,the smaller water districts of a regionatdrinking water _providers buy into the Bull Run currently owned by the system. may still wind up owning a piece agency;at least for now. system,forming a regional drink- The water districts balked, of Portland's Bull Run system. This much we know: ing: water agency. Now, those though, because the appraisal "Our customers want Bull Run Portland's Bull Run system providers simply purchase water would have taken at least two or water,"said Richard Burke,a board provides drinking water so clean from Portland. three months. Their contracts to member of the Tualatin Valley Wa- and so cheap that it's the envy of Sten' contended the shared buy Bull Run water from Portland ter District."It has a good reputation not 'just theother 26 water ownership would result in greater were expiring,and they needed to as an ecologically clean source." providers in the area but of most 'efficiencies and more reliable start negotiating new contracts. In the water purchase contracts other water districts in the world. service,.but,more important, an "At the end of the day,it was too under negotiation, the smaller But the area faces a'quandary: expanded rate base to help pay much,too big of a step,"Sten said. districts could agree to use their The aging Bull Run system needs for the improvements. �tilso fle taps Willamette bonding authority to help Port-, upgrades—costing as much as Thirteen water providers, in- land pay for the improvements in -$407 million—and the city needs eluding area cities and independ- Bull Run remains one of Port- exchange for ownership not in the help from the suburbs to meet the ent water districts, joined the land's great civic assets,local offi- existing system but in whatever price tag. study. cials like to say.It opened in 1895, new projects they help build,said Money and growth aCe at issue. and today,under federal law,hu- Ed Truax, a member of the Tu- Portland has the.46te'r needed br See WATER/Page 5 man access to the 102-square-mile alatin City Council and a member watershed 30 miles east of Port- of Sten's committee. land is restricted,making it one of "They don't want to pay more the best-protected municipal wa- and not have the benefits of own- ter sources anywhere. Its water ership,"he said."So Portland has complies with federal clean water to say what are the relevant in- laws without using filters. vestments in the supply system, The$407 million in upgrades to how to co-fund them and identify the water system includes a pro- a governance model." posed$202 million filtration plant. The work studying the system The money paid by the area water and the needs of its users during providers to buy into the system the last two years is a good start- Portland Tribune Friday,March 28,2003 would have been used to upgrade ing point,he said. the aging system, make seismic "We believe it's possible,"Tru- improvements,help maintain wa- ax said.A lot of the work has al- ter quality end expand availabili- ready been done, all the right s t as the region grows. people are ar8und the table and Portland's de Psion not to share all the issues have been aired." r a Qon cc.nn V o Dan Saltzman, Commissioner CITY OF Morteza Anoushiravani, P.E., Administrator a �+ 1120 S.W. 5th Avenue _ On Portland, Oregon 7204 PORTLAND, OREGON r Information (503) 823--7404 Fax(503) 823-6133 BUREAU OF WATER WORKS TDD (503) 823-6868 1851 - April 8, 2003 Mayor Jim Griffith City of Tigard 13125 SW Hall Blvd Tigard,OR 97223 y� Dear Mayo Thank you for your March 28 letter indicating your concerns about the City of Portland's proposed wholesale rate increases for fiscal year 2003-04. I am certainly aware the proposed increase is significant and may cause you to have questions.City staff and I are more than willing to meet with you to discuss this matter. In advance of that meeting I would like to lay out some of the important facts concerning this proposal in order to aid in our discussion_ The proposed rate increase is composed of three elements.These elements are: 1. General cost increases, 2. Decreases in water demand, and 3. Reintroducing peaking factors into the rate methodology in a modified manner. These elements are briefly discussed below.In total, the average wholesale rate increase in our proposal is 18%. Some of the City's wholesale customers are proposed to have higher increases, and others are proposed to have lower rate increases, depending on their relative seasonal peaking demands. Cost Increases: Cost increases account for 5% of the overall wholesale rate increase.The reasons for this increase are normal inflation,as well as increases for groundwater maintenance and protection,GIS enhancements, the Endangered Species Act compliance costs, and security. All water customers in the region,including both retail and wholesale, share in these cost increases. Decreases in Demand:This factor is the single largest portion of the total increase. It accounts for half (9%) of the total increase (18% on average).The Portland Water Bureau, like all water utilities, has predominantly fixed costs. As demand drops,recovery of those fixed costs requires that rates increase in order to maintain adequate revenues. Both Portland's retail and wholesale demands have declined in recent months. Retail demands have dropped primarily as a result of the recessionary economy, as well as ongoing customer conservation. Wholesale demands from Portland's system have declined for a variety of reasons. The foremost reason has been the increased reliance of the wholesale customers on alternate sources of supply. In particular, the Tualatin Valley Water District(TVWD) has apparently made a decision to maximize its use of the Joint Water Commission (JWC) sources, Nahich means reduced water purchases from Portland. TVWD has even decided to pay the minimum purchase amounts in order to maximize its JWC water use. In addition, Powell Valley Road Water District is using its wells, and many of the other wholesale customers, such as Rockwood PUD,have decreased demand from Portland as a result of decreases in their own retail sales. The cumulative impact of these demand reductions has had a very significant impact on the proposed wholesale rates. To the extent that wholesale customers continue to seek alternate sources of supply, the remaining demands met by the City will likely be priced at even higher rates as a result of fixed costs being spread over fewer units of sales. I think we would all like to avoid this outcome. On the other hand,increases in the demand from Portland's system,particularly during the off- peak season,will minimize rate increases or even decrease rates for wholesale customers. Peaking Methodology: For many years Portland's wholesale rate methodology included peaking factors for peak day and peak hour demands.This methodology is widely used across the nation and is the recommended approach of the American Water Works Association. About three years ago, this element of the rate methodology was dropped in order to encourage less volatile usage patterns from wholesale customers that did not create operational problems for the Bull Run system. However,in the past year or so it became apparent to Portland staff that the wholesale customers were taking advantage of the absence of a peaking component in the rates and using Portland's system as a peaking supply instead of a base supply of water. This change in demand behavior was particularly evident in the usage pattern of TVWD. In order to encourage consistent demands over time and reduced peaking on the Portland system, the City decided to reintroduce peaking into the rate methodology.However, the Water Bureau decided that the better application of this methodology would be a seasonal peaking factor, instead of peak day and peak hour.The system facilities used by the wholesale customers are much more constrained by seasonal considerations than daily and hourly peaks. Therefore, the daily and hourly peaking factors have not been resumed,but instead a seasonal peaking factor was used because of its greater applicability to the Bull Run system.This approach is fully justifiable on a cost-of-service basis and represents the fairest and most equitable method for charging for the water being supplied. I should also note that this approach is identical to the peaking methodology for rate setting that was developed and approved by representatives of the agencies participating in the regionalization process. In establishing the seasonal peaking factors,City staff examined water demand data for all of the City's wholesale customers over the last 15 years.These data indicate that the seasonal demand factors vary among the wholesale customers,which is why the proposed rate changes vary by wholesale customer.The data also indicate that the demand patterns have been relatively stable over time for most of the customers. The peaking factor is the smallest of the three rate increase components and averages 4% out of the 18% total this year.The full impact of this factor would have been 8%,but in order to mitigate the impact on wholesale customers, the Water Bureau has proposed to phase it in over two years. It would be possible for wholesale customers to mitigate this component of the rate increase by increasing off-peak water purchases from Portland, decreasing peak season water purchases from Portland, or some combination of these actions. Notification: I understand your concerns about notification regarding the rate increase and the Water Bureau could have notified the wholesale customers in a timelier manner about Page 2 of 3 -...,........_-:•a;��_'.;-......._moo..__:a..rolir..v'4iti.tis_�nooe�hY .'7.' -�r..>-.s _..-la,�.—..+--.._r..—___�_ components of the rate increase. However, it is important to note that Portland was unaware of the extent of the demand reduction and the seasonal impacts until relatively recently. It was only in December 2002 and January 2003 that City staff became aware that TVWD was maximizing its use of JWC water and was intending to peak off of Portland's system.City staff discovered this change in TVWD demands;TVWD did not provide any notification to the City of its intentions regarding future purchases.This information was discussed and confirmed by TVWD staff for the first time at a January 9 meeting. At that meeting TVWD staff acknowledged the potential impacts that this might have on wholesale rates,including the potential for peaking-related impacts. City staff then undertook an analysis of this matter in January and developed the proposed rates. This analysis confirmed that wholesale customers tend to have disproportionately high relative peak demands,and the results suggested to Portland staff that it would be more equitable and consistent with cost-of-service principles to return to some form of peaking- related cost allocation in its ratemaking. It was only then that the seasonal peaking factor approach was suggested.The Water Bureau contacted most of the large wholesale customers via telephone during the week of February 3rd to advise them of the proposed rate increases and indicate the reasons behind the increases.The official notice of the rate proposal was mailed on February 11th,and the discussion at the Water Managers Advisory Board occurred on February 12th. As you can see from this chronology, the notification of the proposed rate changes occurred soon after important information on wholesale water demands-particularly intended future wholesale demands-was available to the City.The timing of the bureau's notification was determined by when the City learned that its largest wholesale customer intended to maximize alternate water supplies and use Portland water predominantly as a peaking source.This information caused Portland staff to reexamine water demands in total and with respect to peaking- two of the three components of the rate increase. The City of Portland certainly understands and appreciates your concerns about rate increases. Since 1990, Portland's retail rates have increased an average of approximately 7% per year.This compares with wholesale rate increases averaging about 3 to 4% annually, depending on the service area. The differential has been a result of wholesale rates being set according to the procedures established in the contracts,but retail rates increasing to recover increased capital costs and related operating expenses. In conclusion, I agree that all water agencies in the region need to look for ways to minimize the cost of supplying water, including increases in operating efficiencies, optimizing available supplies, and cooperating in various regional water issues. I look forward to meeting with you to discuss your concerns and work on identifying ways to keep water as affordable as possible in this region. Si rely ' a, Dan altzman cc: Ed Wegner Page 3of3 Sign-in Sheet for Intergovernmental Water Board Meeting April 15, 2003 Name(Please Print) Would you like to speak to the Board? 'i D In 1I �:- D)aud afa �YriGK